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HomeMy WebLinkAbout861252.tiff • RESOLUTION RE: APPROVE SUBORDINATION AGREEMENT BETWEEN PARKLAND HOMEOWNERS ASSOCIATION, INC. AND WELD COUNTY AND AUTHORIZE CHAIRMAN TO SIGN WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, the Board has been presented with a Subordination Agreement between Parkland Homeowners Association, Inc. and Weld County, and WHEREAS, after review, the Board deems it advisable to approve said Agreement, a copy of which is attached hereto and incorporated herein by reference. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Subordination Agreement between Parkland Homeowners Association and Weld County be, and hereby is, approved. BE IT FURTHER RESOLVED by the Board that the Chairman be , and hereby is , authorized to sign said Agreement. The above and foregoing Resolution was , on motion duly made and seconded , adopted by the following vote on the 29th day of December, A.D. , 1986. BOARD OF COUNTY COMMISSIONERS ATTE$ On,41.4 WELD COUNTY, COLORADO We -vot k and Recorder an ieff --/Board J cqu i nso , Chairman \\ BY: �� 4 / !,.4Ai G . Lac , -Tem Deputy Count EXCUSED DATE OF SIGNING - AYE APPROVED TO FORM: Gene R. Brantner C.W. Kirb� C_, reltre County Attorney 2 Fra a i E 1141 REC 02083381 01/05/87 15: 22 $0. 00 3/003 F 1097 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO 861252 AH2U$3381 • • 1 SUBORDINATION AGREEMENT THIS SUBORDINATION AGREEMENT is made effective this 28th day of October, 1986 , between THE PARKLAND HOMEOWNERS ASSOCIATION, INC. , as owner of the land (hereinafter referred to as "Owner) whose address is 4732 Sylvia Lane, Erie, Colorado 80516 , and COUNTY OF WELD, STATE OF COLORADO, the beneficiary of that certain undertaking by the owner entitled "Assumption of Subdivision Agreement" (hereinafter referred to as the "Undertaking") and secured by a Deed of Trust, whose address is 915 10th Street, Greeley, Colorado 80631 , (hereinafter referred to as "Beneficiary") . RECITALS The Parkland Homeowners Association, Inc. , the owner of certain parcels of real property situate in the County of Weld, State of Colorado, more fully described as follows: Lots 1, 12 , 13 , 18 , 20 , 21, 22 and 23 , Block 1; Lots 2 and 3 , Block 2 ; Lot 6 , Block 3 ; and Lot 7 , Block 4 , PARKLAND ESTATES , a Subdivision of WELD COUNTY did execute a Deed of Trust dated October 17 , 1984 , to the Public Trustee in and for the County of Weld to secure the Undertaking dated October 17 , 1984 , and payable to Weld County. Said Deed of Trust was recorded on November 16 , 1984 , in Book 1049 , Reception No. 1988865 , of the records of said county. The owner has executed, or will execute , a Deed of Trust and note in the original principal amount of $44 ,960 .00 bearing interest at the rate of 12% per annum, dated October 28 , 1986 , payable to Frontier Materials, Inc. (hereinafter referred to as "Lender") . It is the desire of the parties and to the mutual benefit of all parties that the lien of the Deed of Trust in favor of the Beneficiary be subordinate to the lien of the Deed of Trust for the use and benefit of the Lender. NOW, THEREFORE, for and in consideration of the mutual benefits accruing to the parties hereto, and the promises set forth, and other valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereby agree as follows: B 1141 REC 02083381 01/05/87 15: 22 $0.00 1/003 F 1095 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO 861252 1. The Deed of Trust securing said note in favor of the Lender, together with extensions or renewals thereof, shall unconditionally be, and at all times remain, a lien or charge upon the property described therein which is prior and superior to the lien or interest created by the Deed of Trust held by the Beneficiary. 2 . This agreement shall be controlling with regard to the priority of the Deeds of Trust specified above, and the terms hereof shall supersede any provisions contained in the Deed of Trust for the use and benefit of the Beneficiary regarding subordination. 3 . The Beneficiary has reviewed the terms and conditions of the note and Deed of Trust in favor of the Lender, and hereby approves those terms and conditions , together with those terms and conditions of all other agreements between the Lender and the Owner. Beneficiary understands that the Lender is under no obligation to supervise the application of the proceeds received from the Lender, and Beneficiary agrees that an endorsement will be placed upon the Undertaking held by the Beneficiary to the effect that the Deed of Trust securing said Undertaking has been subordinated to the lien created by the Deed of Trust for the use and benefit of the Lender named above. Beneficiary understands that the Lender may not have made the loan or may not have advanced funds to the Owner without this Subordination Agreement. County of Weld, State of Colorado �\ ATTEST: ��, t ".��e \y^.n_�v_ ` Ch.i an, oard County Commissioners 50, BY: Deputli STAT' cs . r` DO ) ss. COUNTY OF ) The foregoing instrument was subscribed and sworn to before in the County of this day of , 19 , by Witness my hand and official seal. My commission expires: Notary Public Address: JTA2d -2- B 1141 REC 02083381 01/05/87 15: 22 $0. 00 2/003 F 1096 MARY ANN FEUERSTEIN CLERK & RECORDER WELD CO, CO mtmoRnnDurft 111 -M6-11k Board of TO County Commissioners Date December 24 , 1986 COLORADO From Bruce T. Barker, Assistant County Attorney Subordination Agreement and Letter to HTC subject. Escrow Company for the Paving of Rue-de-Trust in the Parkland Estates Subdivision As you may recall, on October 17 , 1984 , the Board of County Commissioners approved a complex deal for the paving of the streets and cul-de-sacs within the Parkland Estates Subdivision. The deal went like this: The Parkland Homeowners Association asked that Board to release approximately $100 ,000 in escrow so that the Association could pave the runway in the Subdivision. In exchange , the Association gave the Board fourteen lots in a Deed of Trust, and an agreement whereby all proceeds from the sale of those lots would be used for the paving of the streets and cul-de-sacs. The Parkland Homeowners Association contracted at that time with Frontier Materials for a three-phase paving program. Phase I was the paving of the runway in 1984. Phase II was the paving of Rue-de-Trust between Weld County Roads 3 and 5, to be completed by November 1 , 1986 . Phase III is the paving of the remaining streets and cul-de-sacs in the Subdivision , to be completed by December 31 , 1989 . Frontier agreed to this arrangement only if after the paving of each phase , the Board of County Commissioners would subordinate its Deed of Trust on the fourteen lots to Frontier to secure the payment of the paving costs. So far, Phase I and Phase II have been completed. The runway was paved in May or June of 1985 . Rue-de-Trust was paved on or about October 27 , 1986. The Board subordinated the Deed of Trust to Frontier for the remaining costs of paving the runway back in the Spring of 1986 . The Parkland Homeowners Association has paid Frontier in total for the paving of the runway, and therefore the first subordination to Frontier has been released. The Parkland Homeowners Association is now asking the Board of County Commissioners to subordinate the Deed of Trust to Frontier for the remaining cost of the paving of Rue-de-Trust which is $44,960. 00 . The Parkland Homeowners Association is also requesting the Board of County Commissioners to approve Jackie' s signature on the letter from Tom Ayres. That letter will authorize HTC Escrow Company to release the $30, 100 in the escrow to United Bank of Denver and to Frontier Materials. A few months ago, the Homeowners Association took out a loan of $25 ,000 from the United Bank of Denver to pay Frontier Materials as a deposit for the paving of Rue-de-Trust. The $30, 100 will first be paid to United Bank as repayment for the $25 , 000 loan. The remainder will be paid to Frontier Materials as a reduction of the $44 ,960 . I would • Hoard of County Co•ssioners • Page 2 December 24 , 1986 estimate that the Homeowners Association will have $2 ,000 to $3 ,000 out of the $30 , 100 to pay to Frontier for Rue-de-Trust. Thus , the amount will be reduced to approximately $42 ,000. On Friday, December 19 , 1986 , the Parkland Homeowners Association sold another lot in the Deed of Trust for about $29 ,500. That amount will be put into the escrow, and it will eventually be paid to Frontier Materials for the paving of Rue-de-Trust. After this occurs, the total amount to be paid to Frontier for the paving of Rue-de-Trust will be reduced to about $12 ,500 . I would therefore recommend that the Board authorize Jackie' s signature on the Subordination Agreement and on the letter from Tom Ayres. ce T. Barker Assistant County Attorney BTB: ss H UNITED BANK OF DENVER V.A. t ONE UNITED HANK CENTc 4; lilted Bank 1700 BROADWAY Statement For DENVER, COLORADO 80274 UNITED MONEY MARKET ACCOUNT Bank Telephone I Pape N ( 303 ) 861-8811 0 SAFEKEEPING H TC ESCROW CO I NC Account Number Statement Date (WELD COUNTY/PHA ) 340 476. DEC 31, 198 1655 GRANT STREET Social Security-Number Merest Paid This Year DENVER CO 80203-1601 54-0895403 101 .8 DATE DESCRIPTION WITHDRAWALS DEPOSITS BALANC! BEGINNING BALANCE NJV 28, 1986 30, 101.8 12/16 INVESTMENT - MONEY CENTER 500.00 30,601 .8, 1/01 INTEREST EARNED 143.63 - 30,745.4'. TOTAL WITHDRAWALS/DEPOSITS .00 643.63 ENDING BALANCE 30,743 .4'. -- INTEREST RATE HISTORY --------------- • - LISTED BELOW ARE THE RATES PAID ON YOUR ACCOUNT DURING THIS STATEMENT PERIOD, DATES RATE% 11/29 THRU 12/15 5. 150 • 12/16 THRU 12/31 5. 300 CURRENT RATES _ AS OF STATEMENT DATE BALANCE RATE% EFFECTIVE --ANNUAL -YIELD = -- ---- _ _ _.00 - 2 ,499.99 5. 150 5.284% 2,500.00+ 5.300 - 5.442% RETAIN THIS STATEMENT FOR 1986 INCOME TAX PURPOSES Hello