HomeMy WebLinkAboutSubordination Agreement (2) **This document was electronically submitted
to San Luis Obispo County for recording**
2018053342
RECORDING REQUESTED BY: Tommy Gong
Fidelity National Title Company San Luis Obispo-County Clerk-Recorder
12/31/2018 01'32 PM
Escrow Order No.: FSLC-0021801061 Recorded at the request of:
FNT SOUTH COUNTY COST CENTER
Titles: I Pages:6
When Recorded Mail Document and Tax Fees:$0.00
Statement To: Taxes: $0.00
City of Arroyo Grande Total: $0.00
300 E. Branch Street
Arroyo Grande, CA 93420
Attn: City Clerk
APN/Parcel ID(s): 077-163-044 SPACE ABOVE THIS LINE FOR RECORDERS USE
The undersigned declares exemption under the following:
Exempt from fee per GC 27388.1 (a)(2);recorded in connection with a transfer subject
to the imposition of documentary transfer tax.
Subordination Agreement
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THIS PAGE ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION
(Additional recording fee applies)
Recording Document Cover Page Printed: 12.28.18 @ 12:36 PM
SCA0000079.doc/Updated: 04.26.18 Page 1 CA-FT-FSLC-01500.076002-FSLC-0021801061
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
CITY OF ARROYO GRANDE
300 E. BRANCH STREET
ARROYO GRANDE, CA 93420
ATTN: CITY CLERK
SPACE ABOVE THIS LINE FOR RECORDER'S USE ONLY
SUBORDINATION AGREEMENT
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY
INTEREST IN THE PROPERTY BECOMING SUBJECT TO AND OF LOWER
PRIORITY THAN THE LIEN OF SOME OTHER OR LATER SECURITY
INSTRUMENT.
THIS AGREEMENT, made this 28th day of December, 2018 by Loyd Wenzel and Zena
Lal, husband and wife as community property with right of survivorship, owner of the
land hereinafter described and hereinafter referred to as "Owner," and The City of
Arroyo Grande, present owner and holder of the deed of trust first hereinafter described
and hereinafter referred to as "Beneficiary";
WITNESSETH
WHEREAS, Owner's predecessor in interest to the land below described executed a
deed of trust, dated October 01, 2002, Instrument No. 2002099224 (the "Deed of Trust")
to City of Arroyo Grande as Trustee, covering:
Parcel 2 of Parcel Map No. AG95-068, in the City of Arroyo Grande,
County of San Luis Obispo, State of California, according to map recorded
November 6, 1996 in Book 52, Page 25 of Parcel Maps, in the office of the
County Recorder of said County
(APN: 077-163-044)
to secure performance under the Purchase Money Deed of Trust, Deed of Trust
Covenants, Assignment of Rents, Security Agreement and Fixture Filing, dated October
1, 2002, in favor of Beneficiary; and
WHEREAS, on December 28, 2018 Owner entered into an Assignment and Assumption
Agreement with Owner's predecessor in interest to the land above described, wherein
Owner was assigned and assumed all rights and obligations under the Deed of Trust;
and
WHEREAS, Owner has executed, or is about to execute, a deed of trust and note in the
sum of$ 349,430.00dated December 27, 2018 in
favor of Fairway Independent Mortgage Corporationhereinafter referred to as
"Lender," payable with interest and upon the terms and conditions described therein,
which deed of trust is also to be recorded concurrently herewith; and
WHEREAS, Lender is willing to make said loan provided the deed of trust securing the
same is a lien or charge upon the above described property prior and superior to the
lien or charge of the deed of trust first above mentioned and provided that Beneficiary
will specifically and unconditionally subordinate the lien or charge of the deed of trust
first above mentioned to the lien or charge of said deed of trust in favor of Lender; and
WHEREAS, it is to the mutual benefit of the parties hereto that Lender make such loan
to Owner; and Beneficiary is willing that the deed of trust securing the same shall, when
recorded, constitute a lien or charge upon said land which is unconditionally prior and
superior to the lien or charge of the deed of trust first above mentioned.
NOW THEREFORE, in consideration of the mutual benefits accruing to the parties
hereto and other valuable consideration, the receipt and sufficiency of which
consideration is hereby acknowledged, and in order to induce Lender to make the loan
above referred to, it is hereby declared, understood, and agreed as follows:
1) That said deed of trust securing said note in favor of Lender, and any renewals or
extensions thereof, shall unconditionally be and remain at all times a lien or
charge on the property therein described, prior and superior to the lien or charge
of the deed of trust first above mentioned.
2) That Lender would not make its loan above described without this subordination
agreement.
3) That this agreement shall be the whole and only agreement with regard to the
subordination of the lien or charge of the deed of trust first above mentioned to
the lien or charge of the deed of trust in favor of lender above referred to and
specifically described, any prior agreement as to such subordination including,
but not limited to, those provisions, if any, contained in the deed of trust first
above mentioned, which provide for the subordination of the lien or charge
thereof to another deed or deeds of trust or to another mortgage or mortgages.
Beneficiary declares, agrees, and acknowledges that
a) He consents to the note and deed of trust in favor of Lender above referred to,
and all agreements, including but not limited to any loan or escrow agreements,
between Owner and Lender for the disbursement of the proceeds of Lender's
loan;
b) Lender in making disbursements pursuant to any such agreement is under no
obligation or duty to, nor has Lender represented that it will, see to the
application of such proceeds by the person or persons to whom Lender
disburses such proceeds and any application or use of such proceeds for
purposes other than those provided for in such agreement or agreements shall
not defeat the subordination herein made in whole or in part;
c) He intentionally and unconditionally waives, relinquishes, and subordinates the
lien or charge of the deed of trust first above mentioned in favor of the lien or
charge upon said land of the deed of trust in favor of Lender above referred to
and understands that in reliance upon, and in consideration of, this waiver,
relinquishment and subordination specific loans and advances are being and will
be made and, as part and parcel thereof, specific monetary and other obligations
are being and will be entered into which would not be made or entered into but
for said reliance upon this waiver, relinquishment and subordination; and
d) An endorsement has been placed upon the deed of trust first above mentioned
that said deed of trust has by this instrument been subordinated to the lien or
charge of the deed of trust in favor of Lender above referred to.
NOTICE: THIS SUBORDINATION AGREEMENT CONTAINS A PROVISION WHICH
ALLOWS THE PERSON OBLIGATED ON YOUR REAL PROPERTY SECURITY TO
OBTAIN A LOAN A PORTION OF WHICH MAY BE EXPENDED FOR OTHER
PURPOSES THAN IMPROVEMENT OF LAND.
BENEFICIARY: OWNER:
111A _ ,,. .-..,?
Jim Be` 1�� ..=-f= Manager Loy. enzel
4111111,
e(4/Fir'��' Lal
_____„
of-- . ,
. .
(ALL SIGNATURES MUST BE ACKNOWLEDGED.) 0 '
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Acknowledgment
A notary public or other officer completing this certificate verifies only the identity
of the individual who signed the document to which this certificate is attached,
and not the truthfulness, accuracy, or validity of that document.
State of California )
)
County of San Luis Obispo )
On m ,C 212s`5l5‘ , before me, S r SCc , notary public,
personally appeared -.cc\ @'3Qk rw-Y\ , who proved to me on the basis of
satisfactory evidence to be the peon(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies) and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the
instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
NESS my hand and official seal. :.n�,, JESSICAMaTSON
,(! l_s?
nom/\� ,) w ;-„ Notary Public California
� ~ f i ,,.,� _ Sah Luis Obispo County
( otary Signature) (Seal) , ' Commission N 2235281
`•`4*1-' My Comm.Expires Mar 22,2022 r
Acknowledgment
A notary public or other officer completing this certificate verifies only the identity
of the individual who signed the document to which this certificate is attached,
and not the truthfulness, accuracy, or validity of that document.
State of Ca's z nia )
)/
Count of San Lu Obispo J
On 2$ 61& , before me, �` r oz V , notary public,
personally appeared L( .I WBvx -' ` A 0.? ., . p . ed to me on the basis of
satisfactory evidence to be le person(s, hose name(s) is/are subscribed to the within
instrument and acknowledged met . t he/she/they executed the same in his/her/their
authorized capacity(ies) and that :
Acknowledgment
A notary public or other officer completing this certificate verifies only the identity
of the individual who signed the document to which this certificate is attached,
and not the truthfulness, accuracy, or validity of that document.
cument.
State of California )
)
County of San Luis Obispo )
On OM ?�. �i 8 , before me, '�/e-'41`-1, notary public,
personally appearedbyo lJeiv & be.-i .4.►; ved to me on the basis of
satisfactory evidence to be the person(s)whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies) and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the
instrument.
I certify under PENALTY OF PERJURY under e laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal. x
(Notary Signature) / (Seal)
1 � ` A. ZELIS
11 , 61r\ Commission#2143938
,4 1i,,, x� ��' . Notary Public
4' -0 California
t "' ti SAN LUIS OBISPO OCUNTY
' '" 01'. My Commission Expires March a,2020