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Agenda 09/23/2014 Item #16D129/23/2014 16.D.12. EXECUTIVE SUMMARY Recommendation to approve a Subordination of an Affordable Housing Density Bonus Lien to allow for a refinancing of the first mortgage OBJECTIVE: To support the affordability of housing through subordination of liens to allow for refinancing. CONSIDERATIONS: An Affordable Housing Density Bonus Lien was filed on a parcel described as: Lot 189, Ave Maria Unit 13, Middlebrooke Townhomes, according to the plat thereof as recorded in Plat Book 48, Pages 48 through 53, of the Public Records of Collier County, Florida The lien was filed on January 23, 2008 and recorded in OR 4323, Page 2089 in the Public Records of Collier County. This lien was filed to maintain the affordability of this housing unit. The lien was required based on criteria outlined in Resolution No. 2005 -235 (aka Development Order 05 -01) for the Ave Maria Development approved on July 23, 2004 by the Board. The homeowner is in the process of refinancing his first mortgage to lower his monthly mortgage payment. To refinance the first mortgage, the lender requires liens to either be repaid or remain in a subordinate lien position. When providing housing assistance, Collier County is most often in a subordinate position. In this particular case, the lien is in third position and after the refinance process will remain in third position. The subordination will not affect the terms of the lien and it will remain in the same position as it is in now. FISCAL IMPACT: There is no fiscal impact associated with this item. The recording costs associated with the subordination agreement will be borne by the recipient. GROWTH MANAGEMENT IMPACT: The subordination will continue to allow the County to expand the affordable housing opportunities of its citizens and furthers the goals, objectives and policies of the Housing Element. LEGAL CONSIDERATIONS: This item is approved as to form and legality and requires majority vote for approval. -JAB RECOMMENDATION: That the Board of County Commissioners approves a Subordination of an Affordable Housing Density Bonus Lien. Prepared by: Elly Soto McKuen, Housing and Grant Coordinator; Housing, Human and Veteran Services Packet Page -2534- 9/23/2014 16.D.12. COLLIER COUNTY Board of County Commissioners Item Number: 16.16.D.16.D.12. Item Summary: Recommendation to approve a Subordination of an Affordable Housing Density Bonus Lien to allow for a refinancing of first mortgage Meeting Date: 9/23/2014 Prepared By Name: McKuenElly Title: Grants Coordinator, Housing, Human & Veteran Services 8/2/2014 11:14:47 AM Submitted by Title: Grants Coordinator, Housing, Human & Veteran Services Name: McKuenElly 8/2/2014 11:1.4:48 AM Approved By Name: Bendisa Marku Title: Supervisor - Accounting, Housing, Human & Veteran Services Date: 8/11/2014 3:30:31 PM Name: GrantKimberley Title: Director - Housing, Human and Veteran S, Housing, Human & Veteran Services Date: 8/19/2014 4:40:43 PM Name: TownsendAmanda Title: Director - Operations Support, Public Services Division Date: 8/21/2014 9:18:34 AM Name: AlonsoHailey Title: Operations Analyst, Public Services Division Date: 8/21/2014 3:48:47 PM Name: CarnellSteve Packet Page -2535- 9/23/2014 16.D.12. Title: Administrator - Public Services, Public Services Division Date: 8/21/2014 8:13:50 PM Name: RobinsonErica Title: Accountant, Senior, Grants Management Office Date: 8/22/2014 8:43:20 AM Name: BelpedioJennifer Title: Assistant County Attorney, CAO General Services Date: 9/9/2014 10:55:15 AM Name: KlatzkowJeff Title: County Attorney, Date: 9/10/2014 3:02:15 PM Name: StanleyTherese Title: Manager - Grants Compliance, Grants Management Office Date: 9/15/2014 10:51:41 AM Name: OchsLeo Title: County Manager, County Managers Office Date: 9/15/2014 1:59:37 PM Packet Page -2536- 9/23/2014 16.D.12. THIS INSTRUMENT PREPARED BY & RETURN TO: COLLIER COUNTY HOUSING, HUMAN AND VETERAN SERVICES 3339 EAST TAMIAMI TRAIL NAPLES, FLORIDA 34112 SUBORDINATION OF AFFORDABLE HOUSING DENSITY BONUS LIEN KNOW BY ALL MEN THESE PRESENT: In consideration of $10.00 and other good and valuable considerations, Collier County, Florida, hereby agrees that it shall postpone and make junior and subordinate in all respects that certain lien and /or assessments created, by and between Collier County, a political subdivision of the State of Florida, through its Board of County Commissioners, and Thomas E. Moonan, an unmarried man, recorded on January 23, 2008, in OR Book 4323, Page 2089, Public Records of Collier County, Florida. Said agreement pertains to the real property described in: Legal Description: Lot 189, Ave Maria Unit 13, Middlebrooke Townhomes, a subdivision according to the plat thereof recorded at Plat Book 48, Pages 48 through 53, in the Public Records of Collier County, Florida. Commonly known as: 5182 Beckton Rd, Ave Maria, Florida 34142. Said agreement will be subordinate only to the Affordable Housing Density Bonus Lien executed by, Thomas E. Moonan, an unmarried man, to Suncoast Credit Union as first lien holder on the day of , 2014. This agreement shall continue in full force and effect so long. as Thomas E. Moonan, an unmarried man, shall be indebted to the above financial institutions and government agencies, and /or their assigns. ATTEST: DWIGHT E. BROCK, CLERK By: , Deputy Clerk BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY, FLORIDA By: Tom Henning, Chairman Packet Page -2537- Approved as to Form & Legality Jennifer A. Belpedio Assistant County Attorney AN UV Instrument prepared by and after recording return to: LIEN 41205 9/23/2014 16.D.12. IBCOIDID in OPPICIIi ncons of Cows COSITI, n 0111312008 at 01:551K NIGI! B. BIM, CUOI IIC PSI 10.50 Leta: UMIS TIni IISMCO COIF PICK DP We, Ave Maria University, Inc., a Florida Not For- Profit Corporation as Grantees, do hereby acknowledge that the real property legally described in Exhibit "A" attached hereto (the "Property ") and conveyed by Pulte Home Corporation on Jan. 18 , 2008 , ( "Original Purchase Date ") is subject to a lien in favor Collier County or the Collier County Housing Development Corporation, Florida for any resale proceeds in excess of the limitations described herein. Said lien is established in Resolution No. 05 -235 (a/k/a Development Order No. 05 -01). Pursuant to said Resolution No. 05 -235, Collier County and the Collier County Housing Development Corporation have has agreed and committed to enforce said lien and to use the proceeds from such lien to maintain the affordability of such parcels. We ftnther acknowledge the terms and conditions of the Development Order /Resolution No. 05 -235 dated July 23, 2004 between Ave Maria Development LLL.P and Collier County and Collier County Housing Development Corporation ( "Resolution'l and through this lien instrument agree to the following: 1. In the event that we, our heirs, legal representatives, successors or assigns sell the Property (including the land and/or the unit) within five (5) years after the Original Purchase Date, at a sales price in excess of five percent per year of the original purchase price of $ 165,900.00 we, our heirs, legal representatives, successors or 1 y to Collier County all amounts in excess of the five percent increase qi C(�U, 2. Violation of any r ' of the Agreement T ien is punishable through criminal enforcement as f on 2.06.06(C) o the and civil enforcement as set forth in Section2. .06L on 2.06.06(C) SUBORDINATION. A viol on idy' n (s a o defeat or render invalid the lien of any fist mortgage made in g fa d l e, d e co n andlprovisions of this Lien shall be inferior and subordinate to j oft rt concurrently with the deed conveying the property to Gran n . l IN WTI'NESS id Grantees have s d sealed these presents on the day and year set forth below. WITNESSES (if more than one. as to both):�E C1RCt� Print Nam& 02- I s s i c end . ' C Thomas E. Moonan li'llbiIt/j�.s The foregoing instrument was acknowledged before me thid O day of � a e)u(A --i 2008 by I nmas F. m cena.) who[ ] is/arepersonally known to me or[ v1produced Ar , %art 1 + LL,r,s 4 , as proof of identity. (affix notarial seal) MEUSSIk k_•rpRICK N NOTARY UBLIC (� Ofo y : a�ic • S!.,i_. or Fbrkic N5 ame• �'- i +5+a Mend �A— ,2npa C-r:m ;lion # DL 958924 (Type or Print) eorae-,' by NoborKd N YNrn. My Commission Expires: (Middlebrooke) Packet Page -2538- Lawyers Title Insurance Corporation 9/23/2014 16. D.12. ALTA COMMITMENT Pan No. DiVosta OR; 4323 PG; 2090 Ageht's File Number: 07 -41176 Underwriter File Number: 070010991 Exhibit A Lot 189, AVE MARIA UNIT 13, MIDDLEBROOKE TOWNHOMES, according to the plat thereof as recorded in Plat Book 48, Pages 48 through 53, of the Public Records of Collier County, Florida. ALTA Commitment Closers' Choice ,1ER Cplj Gp TFIE CIRCA Packet Page -2539- 074!',76 76