HomeMy WebLinkAboutReso. 1987 - 228 - Approving the agreement between the city of redding and gary j. rowe and mary l. rowe for consent to assumption and modification i • •
RESOLUTION NO. $72/
A RESOLUTION OF THE CITY COUNCIL OF THE CITY 1OF REDDING
APPROVING THE AGREEMENT BETWEEN THE CITY OF REDDING AND GARY
J. ROWE AND MARY L. ROWE FOR CONSENT TO ASSUMPTION AND
MODIFICATION OF NOTE AND DEED OF TRUST ON THE REDDING HOTEL,
AND AUTHORIZING THE CITY MANAGER TO SIGN SAME. I
BE IT RESOLVED by the City Council of the City of Redding as
follows:
1 . That the City Council of the City of Redding hereby
approves the attached Agreement between the City of Redding and
Gary J. Rowe and Mary L. Rowe for Consent to Assumption and
Modification of Note and Deed of Trust on the Redding Hotel; and
2. That the City Manager of the City of Redding is hereby
authorized and directed to sign all necessary documents on behalf
of the City of Redding, and the City Clerk is herebylauthorized
and directed to attest the signature of the City Manager and to
impress the official seal of the City of Redding on the aforesaid
Agreement, when appropriate.
3. That a true copy of said Agreement is attached hereto
and incorporated herein by reference.
I HEREBY CERTIFY that the foregoing Resolution was intro-
duced and read at a regular meeting of the City ; Council of
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the City of Redding on the 21st day of July ,. 1987, and was
duly adopted at said meeting by the following vote:
AYES: COUNCIL MEMBERS: Carter, Fulton, Gard, Johanness1en, & Dahl
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
MIKE DAHL, Mayor
City of Redding
ATTEST:
0e.
ETHEL A. NICHOLS, City Clerk
FORM APPROVED:
�.GC^tic Y 7 /e
" BALL A. HAYS, Cit Attorney
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AGREEMENT FOR CONSENT TO ASSUMPTION
AND MODIFICATION OF NOTE AND DEED OF TRUST '
THIS AGREEMENT made this I5 day of July, 1987, by and
between the CITY OF REDDING and GARY J. ROWE and his wife, MARY
L. ROWE, (referred to herein as "Purchasers" ) .
WHEREAS , in April , 1982 , the CITY OF REDDING made a housing
rehabilitation loan to Gary Barber for the purpose of bringing
the Redding Hotel into compliance with housing quality standards
of the U. S. Department of Housing and Urban Development Section 8
Housing Assistance Program;
WHEREAS , said loan, the obligation to repay same, and
security for repayment are evidenced by the Promissory Note dated
April 5, 1982 , in the face amount of $153, 000. 00 , a copy of which
is attached hereto as Exhibit "A" and incorporated by reference
herein, and the Deed of Trust dated April 5, 1982, recorded in
Book 1883 at page 43 , Official Records of Shasta County, attached
hereto as Exhibit "B" and incorporated by reference h;lrein;
WHEREAS, said Promissory Note contains a "due on sale"
clause and is subject to the provisions of California Civil Code
§711 . 5;
WHEREAS , Gary Barber commenced bankruptcy proceedings on
August 18 , 1986, thereby making the Redding Hotel a part of the
bankruptcy estate, which estate has continued after Gary Barber ' s
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death on March 15, 1987, in case no. 286-04167-D-7 of the U.S.
Bankruptcy Court for the Eastern District of California;
WHEREAS, the Trustee in said bankruptcy proceedings desires
to sell the Redding Hotel to DR. and MRS. ROWE for $505 , 560. 00 ,
subject to existing liens and encumbrances;
WHEREAS , DR. and MRS. ROWE desire to purchase the Redding
Hotel from the bankruptcy Trustee, provided that the City of
Redding will agree to certain modifications in its Note and Deed
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of Trust as set forth below;
WHEREAS, the Purchasers intend to continue to make housing
in the Redding Hotel available to low and moderlate income
tenants, as well as elderly tenants;
NOW, THEREFORE, it is covenanted and agreed that:
1 . Upon close of escrow of the purchase of the Redding
Hotel, Purchasers shall have cured the default and caused all
delinquencies , charges, and penalties owing to the CITY OF
REDDING under its Note and Deed of Trust to have belen paid and
brought current.
2. Purchasers represent and warrant that (regardless of
what may happen to any other lien on the subject property) upon
close of escrow and transfer of title to Purchasers, Ithe lien of
the Note and Deed of Trust to the City of Redding shall be
intact, in full force and effect, and shall not have Leen removed
by the Trustee in bankruptcy as part of the sale to Purchasers.
3 . The CITY OF REDDING consents to assumption of its Note
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and Deed of Trust by Purchasers, with resumption ofithe regular
monthly payments of One Thousand Six Hundred Forty-four and
15/100 Dollars ($1 , 644. 15) on the Note.
4 . Ninety (90) days following close of escrow, the full
balance of the obligations under the Note and Deed of ;Trust shall
become due and payable. No extensions of this period shall be
granted except in writing signed by the City Manager of the City
of Redding. In no event shall the period extend beyond one
hundred fifty (150) days following close of escrow. , If escrow
does not close by August 1 , 1987, the aforementioned Ininety (90)
day period and any extensions thereof shall commence running as
of August 1 , 1987. If escrow does not close by August 10, 1987 ,
this Agreement shall be void and of no effect whatsoever.
5. Purchasers agree to obtain fire and liability insurance
for the Redding Hotel. Upon Purchasers obtaining fire insurance,
the CITY OF REDDING agrees to pay over any refund on !lits premium
of $4 , 809. 61 after deduction of the short-rate cancellation
penalty. (Purchasers will have paid that $4, 809. 61 as part of
curing the default. )
6 . Purchasers agree to make all housing accommodations
available to lower income or moderate income tenants, or to
elderly tenants, for no less than four (4) years following close
of escrow. "Lower income" and "moderate income" are defined in
accordance with Section 3 (b) (2) of the U. S. Housing Act of 1937
and standards developed by the U. S. Department of Housing and
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Urban Development. "Elderly" shall be defined as 60 years of age
or older.
EXECUTED at Redding, Shasta County, California, ilhe day and
year first written above.
a
ROBERT M. CHRISTOFFERSON,
City Ma, . .
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GARY J. ROWE
MARY L. muWE
ATTEST:
ETHEL A. NICHOLS, City Clerk
FORM APPROVED:
RANDALL A. HAYS, City Attorney
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EXHIBIT "A" •
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DO NOT DESTROY THIS ORIGINAL NOTE: When paid, said Original Note, together wall the Deed of Trust
securing same, must be surrendered to Trustee for cancellation and retention before reconveyance will be made.
NOTE SECURED BY DEED OF TRUST
(INSTALLMENT—INTEREST INCLUDED) j
:AP.ril 5, 1982 -
�r_�8153 �Q0.99Redding. ,California,.Califoia
In installments as herein stated, for value received, I promise to pay to C5.ty...0.f...Reddi ng -_
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at any place designated by the holder of this Note 'I. .- , ororder,Y
the sum of...Qn.e..Hu>Cdr..ed..E.i.fty....T.hree..Ihousand...and..Koi.1.04 ************* ********* DOLLARS,
with interest from April 5, 1982 on unpaid principal at the .
rate of Ten (10%) per cent per annum; principal and interest payable in installments of
One Thousand Six Hundred Forty Four and 151.1OQ ****************($.1.,5.4.4...15.1***** Dollars,
or more on the Fifth (5th) day of eachan.d.:w.ery -- --- month,beginning
on the Fifth (5thl , day of May.,...19.82
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._.._..... and continuing until said principal and interest have been paid. -
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Each payment shall be credited first on interest then due and the remainder on principal; and interest shall there------ I
upon cease upon the princi'al so credited. Should default be made in payment of any installment when due the whole sum
of principal and interest shall become immediately due at the option of the holder of this note. Principal and interest__
payable in lawful money of the United States. If action be instituted on this note I promise to pay such sum as the
Court may fix as attorneys' fees. This note is secured by a Deed of Trust. Said Deed of Trust contains the following
provision: -
In the event the herein devt�iiied property or any part thereof, or any interest therein is sold, agreed to be sold, con-- ---
veyed or alienated by tru:.t3Y;or by the operation of Law or otherwise, all obligations secured by this instrument, irre-
spective of the maturity dates expressed therein, at the option of the holder thereof and without demand or notice shall
immediately become due and payable.*** or by probate pr ceedi ngs on trustor ,
c. i j _,ekli..-e.6..A._......_.. .. —
-'Gary J. a,er
WCST[RN TITLC►ORM NO.302-AC .
Finance Dept. #8942 DO NOT DESTROY THIS NOTE
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RECORDING REQUESTED I RECORDED-AT REQUEST _
• wr.li8N tint INS C Exhibit "B"
• • Western Title Insurance Culnpany AT toy .ur.�sT__s_ •
ftFKtN RICOtIA ytISTA COUNTY, EwF. •
AND WHEN RECORDED MAIL TO •
FCity of Redding Housing Section APR I s 1982
"'M` 760 Parkview Avenue _
Redding, CA 96001 Q
STAT[I J Yo2Flit iff3
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Title Order No.25729 Escrow No. SPACE ABOVE THIS LINE FOR RECORDER'S USE
Finance Dept. #8942 •
Deed of Trust anb a55ignment of tents
WESTERN TITLE FORM NO. 222 .�
(1/el)
Tfji5 73Pea of ZLru5t,Made this 5th day of April 1 19 82
38ettr)een GARY J. BARBER, a single man herein called TRUSTOR,
whose address is 1748 Market Street. Redding. California 96001
WESTERN TITLE INSURANCE COMPANY,a corporation,herein called Trustee,and CITY OF BEDDING
,herein called BENEFICIARY,
ilittne9etfj: That Trustor irrevocably GRANTS, TRANSFERS AND ASSIGNS TO TRUSTEE IN TRUST, WITH
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POWER OF SALE,that real property in the City of Redding
County of Shasta ,State of California,described as:
Lot 4, 5, and 6 in Block 38, as shown on the map of Town of Redding, recorded in the
office of the County Recorder September 25, 1872 in Book of Old Plats at!Page 65,
Shasta County Records./ •
•TOGETHER WITH the rents,issues and profits thereof,SUBJECT,HOWEVER,to the right,power and authority given to and conferred upon
Beneficiary by Paragraph(10) of the provisions incorporated herein by reference to collect and apply such rental issues and profits,for the
puroose of securing payment of the indebtedness evidenced by a promissory note,of even date herewith,executed by Trustor in the sum of
$ 153,nn0_nn ,any additional sums and interest thereon hereafter loaned by Beneficiary to the then record owner of said property
which loans are evidenced by a promissory note or notes,containing a recitation that this Deed of Trust secures the payment thereof,any law-
ful charge made by Beneficiary for a statement regarding the obligations secured hereby requested by or for Trustor, nd the performance of
each agreement herein contained. By the execution and delivery of this Deed of Trust and the note secured hereby; pr
inclusive,of the fictitious deed of trust recorded in Santa Barbara County and Sonoma County October 18,1961,and in all other counties
October 23,1961,in the book and at the page of Official Records in the office of the county recorder of the county where said property's
located,noted below opposite the name of such county,viz: NTY BOOK PAGE
COUNTY BOOK PAGE COUNTY BOOK PAGE COUNTY BOOK 3015 CK PAGE COU
29 335
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Alameda 435 684 Kings 792 833 Placer 151 Sierra 468 181
• Alpine 1 250 Lake 362 39 Plumes
Amador _ 104 348 Lassen 171 471 Riverside 3005 523 Solado 1105 182
Sacramento 4931 62 Sonoma 1851 689
Butte 1145 1 Los Angeles 12055 899 Stanislaw; 1715 456
Calaveras 145 152 Madera 810 170 San Benito . 971 383 5567 61 Sutter 572 497
Contra 296 617 Marin 1508 339 San 77 292 San Franciacom A392 905 Tehama 401 289
Contra Costa 3978 47 Mariposa93 366
Del Norte 78 414 Mendocino b79 690 San.foaquin 2470 811 Trinity 2294 275 -
El Dorado 668 456 Merced 11847 538 San 851 San Lois Mateober 4078 420 1151 12 1 d�usnna 186 47 Glenn
no 4626 572 Monne
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_ 422 184 Mono 52 429 Santa Barbara 1878 860 Ventura 26� 245388 1
Humboldt 667 527 Monterey 2194 538 Santa Clara 5336 341 Yolo 334 486
Imperial 1091 501 Napa 639 86 Santa Cruz 1431494 494 Yubit
Inyo 147 698 Nevada 305 320 Shasta
Kern 3427 60 Orange 5889 611 San Diego—Series 2 Book 1961,Page 183887
(which provisions,identical in all counties,are printed on the reverse hereof)hereby are adopted and incorporated herein and made a part herr
of as fully as though set forth herein at length;that he will observe and perform said provisions;and that the references to property,obligations,
and parties in said provisions shall be construed to refer to the property,obligations,and parties set forth in this Deed of Trust.
thereof,or an interest therein s sold,agreed to be sold,conveyed or alienated by Trust-
1n toe event the herein of Law property or say obit y tive of the r rturi dates expressed therein,at
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or*or by the operation of Law or otherwise,all obligations secured by thin instrument,irrespee
the option of the holder thereof and without demand or notice shall immediately become due and payable.m�itin,' Cfrtk4iiess given herein._��p�rr}obate proce'edi fl
l�d
Trustor requests that a copy of any Notice of Default and a copy of any Notice of Sale hereunder be L�N
t-a r Ct 1 -Q/1_, •
Gary J. Bace� .
FOR NOTARY]SEAL OR STAMP
STATE OF CALIFORNIA 1 ss
County of Shasta
A ri1 5 82I
On_ p 19—�before me,the undersigned,a Notary Public, _ _ � '
in and for said State,personally appearea Gary J. Barber I f1GAL SEAT- -
...!`' ALICE HASTINGS -
f_.- 1 TARP ptiBLK{fLIFORNIA . -
known to me to be the person__whose name_ i S subscribed to the within .;� 1 "O PRINCIPAL OFFICE B4 - _ .
instrument,and acknowledged to me ti executed the same. —" [SHASTA-COUNTY :- <
_J •- Mr Camssh,, bowel Oct 51982
L:."_2fir_4 ni j
i (J E/2-P, ✓ r
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Notary Public 'I
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