Resolutions - Jersey City

City Clerk File No. Res. 09-754Agenda No.10.Z.26Approved: SEP 0 9 2009TITLE:RESOLUTION AUTHORIZING THE EXECUTION OF A MORTGAGESUBORDINATION AGREEMENT AFFECTING PROPERTY KNOWN AS80 PEARSALL AVENUE AlA BLOCK 1422, LOT 2L.DUPCOUNCILthe following resolution:Offered and moved adaption ofWHEREAS, Michael Szymanski, the owner ofBlock i 422, Lot 21.Dup aIa 80 Pearsall Avenue,paricipated in the City of Jersey City's ("City") HORP Program; andWHEREAS, the owner received from the City a $24,900.00 loan on August 27, 2007 for thepurpose of making home improvements and it self-amortizes over a period of ten (i 0) yearsprovided that the homeowner resides in the propert, does not sell the propert and complieswith all terms of the City's mortgage; andWHEREAS, the City's loan was recorded as a second mortgage against the propert; andWHEREAS, the owner now desires to refinance the first mortgage in order to obtain lower monthlymortgage payments and additional loan funds; andWHEREAS, the new lender,.Amerisave Mortgage Corporation, its successors and/or assigns,requires that the City's mortgage be made subordinate to the new loan; andWHREAS, the amount ofthe new first mortgage is $163,000.00; andWHREAS, the City's lien will be in second lien position; and'WHEREAS, the City by its Division of Community Development reviewed the appraisal report andtitle commitment and has determined that the value of the propert does not support the new loanand the City's existing mortgage however, it supports the subordination to prevent the potential ofthe City losing its investment and to assist the owner in making affordable payments on the mortgageand possibly not face foreclosure.NOW, THEREFORE, BE IT RESOLVED by the Municipal Council ofthe City of Jersey Citythat the Mayor or Business Administrator is authorized to execute a mortgage subordinationagreement, in a form to be approved by Corporation Counsel subordinating the City's lien affectingBlock 1422, Lot 2l.Dup ala 80 Pearsall Avenue, to the interests of the new rirst mortgage ofAmerisave Mortgage Corporation.APPROVED:APPROVED:IW/mw9.2-09~2009094APPROVED AS TO LEGAL FORMßJ i44i,r Corporation CounselCertifcation Required 0Not Required 0 APPROVED 9 - 0'./':/U':RECORD OF COUNCIL VOTE ON FINAL PASSAGECOUNCILPERSON AYE NAY N.V. COUNCILPERSON AYE NAY N.V. COUNCILPERSON AYE NAY N.V.SOTTOLANO i/ GAGHA i/ BRENNAN 7KENNYi/ FULOP ,/ FLOOD viLOPEZi/ RICHARDSON II VEGA, PRES.i/N.V.-Not Vofing (Abstain)