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HomeMy WebLinkAboutSubordination Agreement (2) RECORDING REQUESTED BY JULIE RODEWALD SN ID,EiTy NATIONAL TITLE San Luis Obispo County—Clerk/Recorder 7/18/2012 Recorded at the request of 8:00 AM RECORDING REQUESTED BY: Fidelity Title Company Fidelity National Title Company Escrow No.: 12-400206232-KM D O C#: 2012038876 Titles: 1 Pages: 4 Locate No.: CAFNT0940-0940-0002-0400206232 Title No.: I 203..0000 Recorded Mail Document To: City of Arroyo Grande II 11101 IIII II II II II I Others 0.00 TFaexeess 300 E. Branch Street PAID $23.00 Arroyo Grande, Ca 93420 Attn: City Clerk APN: 007-019-030 SPACE ABOVE THIS LINE FOR RECORDER'S USE 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 June 28, 2012, by Clay Damian Landers and Kirsten Leigh Landers owner of the land hereinafter described and hereinafter referred to as"Owner,"and City of Arroyo Grande present owner and holder of the deed of trust and note first hereinafter described and hereinafter referred to as "Beneficiary"; WITNESSETH THAT WHEREAS,Clay Landers and Kirsten Landers, Husband and Wife as Joint Tenants,did execute a deed of trust, dated April 14, 2011, to City of Arroyo Grande, as trustee, covering SEE EXHIBIT"A"ATTACHED HERETO AND MADE A PART HEREOF to secure performance under the Buyer's Occupancy and Resale Agreement with Option to purchase,dated April 14, 2011, in favor of City of Arroyo Grande, which deed of trust was recorded as Instrument no. 2011021087 on May 3, 2011, in book n/a, page n/a, Official Records of said county; and $318,750.00 WHEREAS, Owner has executed, or is about to execute, a deed of trust and note in the sum of $iidbbb!dd dated July 10, 2012 , in favor of PMAC Lending Services, Inc., hereinafter referred to as "Lender," payable with Interest and upon the terms and conditions described therein, which deed of trust Is 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 the 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 dedared, 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 above mentioned. FD-46A CLTA SUBORDINATION"A" (subora) (EXISTING DEED OF TRUST TO NEW DEED OF TRUST) Page No. 1 of 3 ARN: OD7-019-030 (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 shall supersede and cancel, but only Insofar as would affect the priority between the deeds of trust hereinbefore specifically described, any prior agreement as to such subordination including,but not limited,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 and approves (I) all provisions of the note and deed of trust in favor of Lender above referred to,and(II)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 note secured by 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 THE LAND. IT IS RECOMMENDED THAT, PRIOR TO THE EXECUTION OF THIS SUBORDINATION AGREEMENT, THE PARTIES CONSULT WITH THEIR ATTORNEYS WITH RESPECT THERETO. City of Arroyo Grande / — /� ay ;:- a Land BY: 5fe Vcn ,da m 5 KI en Leigh Landers l'v7 61-4- G] FD-46A CLTA SUBORDINATION"A" (subora) (EXISTING DEED OF TRUST TO NEW DEED OF TRUST) Page No.2 of 3 ARN: OD7-019-030 Beneficiary Owner (ALL SIGNATURES MUST BE ACKNOWLEDGED) State of California ) County of San Luis Obispo ) On ..r1.41 i_2( 4.01a- before me, !Pl r'7' )-. , Notary Public(here Insert name and tide of the officer), personally appeared �J 5701/Gr[ 42 5 who proved to me on the basis of satisfactory evidence to be the person )whose name(dj is/.resubscribed to the within Instrument and acknowledged to me that he/slie{they executed the same in his/her/their authorized capacity(.ies), and that by his/I eyt refit signature(e}on the instrument the persons,or the entity upon behalf of which the person 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. KITTY MORT N WITNESS my hand and official )se !?�' Commission• 1924921 / / ;:j Mlftatryt RIM O l -O CC fl 11 Signature (Seal) \' % gum Luis Obispo Co111q State of California J o�U R ) County of / r( «/22 ) On 9k , , /Z before me, I I Notary Public(here insert name and title of the officer), personall':ppeared Ca 'au IrLa •e aid KI to Lei•rr Laide who proved 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(les), 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 PERJUR der the laws of the State of California that the foregoing paragraph Is true and correct. WITNESS my hand and official seal. i Signature / ea / / rt is I Calffomla �" `° 't/% SAN LUIS OBISPO COUNTY • , My Cormisskn Expires Menfi 23.2018 FD-46A CLTA SUBORDINATION"A" (subora) (EXISTING DEED OF TRUST TO NEW DEED OF TRUST) Page No.3 of 3 .. • . Escrow No.: 12-400206232-KM Locate No.: CAFNT0940-0940-0002-0400206232 Title No.: 12-400206232-RB EXHIBIT "A" THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF ARROYO GRANDE, COUNTY OF SAN LUIS OBISPO, STATE OF CALIFORNIA AND IS DESCRIBED AS FOLLOWS: Parcel 1: Parcel C of Parcel Map AGAL 10-0075, in the City of Arroyo Grande, County of San Luls Obispo, State of California, according to Map recorded October 26, 2010 in Book 74, Pages 48 through 50 of Parcel Maps, in the Office of the County Recorder of said County. Excepting therefrom an undivided 5/12th interest in and to all oil, gas and other hydrocarbon substances produced on said land as reserved by William Quaresma, Joseph Quaresma, Edward Quaresma, Eveline Lovaa, formerly Eveline Quaresma, Ernest Olive and Lucille Olive Simas, in Deed dated January 3, 1952 and recorded January 28, 1952 in Book 643, Page 426 of Official Records. Said surface rights have been relinquished by certain documents recorded December 29, 1977 in Book 2036, Pages 749 through 752 of Official Records; recorded January 9, 1978 in Book 2039, Page 2 of Offldal Records and recorded August 17, 1979 in Book 2178, Page 840 of Official Records. Parcel 2: A non-exdusive easement for ingress,egress,private water,sewer,drainage and public utility purposes over those certain portions of Parcel B of Parcel Map AGAL 10-0075 per Map filed In Book 74 Pages 48 through 50 of Parcel Maps; Parcel A of Certificate of Compliance recorded April 11,2011 as Instrument 2011017722 and Parcel B of Certificate of Compliance recorded April 11, 2011 as Instrument 2011017723 as said easement is shown and depicted on Parcel Map AGAL 10-0075 in the County of San Luls Obispo, State of California as per Map filed in Book 74 Pages 48 through 50 of Parcel Maps In the Office of the County Recorder of said county as "easement for reciprocal Ingress, egress, private water, sewer, drainage and P.U.E. per this Map". Parcel 3: An non-exclusive easement for access, ingress and egress as described in that certain Easement Grant Deed, recorded December 8, 2006 as Document No. 2006086701 of Official Records. APN: 007-019-030 END OF DOCUMENT