DISCLAIMER

 

06-0069R


RESOLUTION AUTHORIZING EXECUTION OF CONSENT OF MORTGAGE HOLDER RELATED TO THE LAKE SUPERIOR VIEW CONDOMINIUM PROJECT.

BY COUNCILOR GILBERT:

     RESOLVED, that the proper city officials are hereby authorized to execute a consent of mortgage holder consenting to the declaration for common interest community No. 81 and any supplements thereto, substantially in the form of that on file in the office of the city clerk as Public Document No. __________, related to the Lake Superior View condominium project.


STATEMENT OF PURPOSE:  Neighborhood Housing Services (NHS) is developing the east side of Lake Avenue at East Fourth Street into eight newly constructed, for sale condominium units and eight rehabilitated, for sale condominium units. The project, called the Lake Superior View condominium project, will therefore consist of a total of 16 units.


On April 1, 2004, and April 1, 2005, the city enter into HOME program agreements with NHS in the amount of $23,000 and $30,000, respectively, for rehabilitation related to the condominium project. The agreement requires a ten-year affordability period, and the city holds ten year mortgage liens on the property.

 

NHS is requesting that the city execute the consent of mortgage holder consenting to the declaration for common interest community No. 81, and any supplements thereto, which submits the property to the condominium form of ownership. Since the city holds mortgages on the property, city’s execution of a consent of mortgage holder is required by state statute. The city’s execution of this document will not change the priority of the city’s mortgages on the property.