MEMORANDUM

City of Lawrence

Planning and Development Services Department

 

TO:              David L. Corliss, City Manager

 

FROM:         Margene K. Swarts, Assistant Director, Development Services

 

CC:                  Scott McCullough, Director, Planning and Development Services

 

DATE:           February 8, 2011

 

RE:              Subordination Agreement

 

The Community Development Division received a request for a Subordination Agreements for a lien the City holds for a loan recipient.  The information regarding the request follows:

 

In 1993, Diane Bucia, 333 Johnson Avenue, participated in the City’s First Time Homebuyer Program.  In order to participate in the program, she was required to sign a mortgage and mortgage note to protect the City’s interest in the property.  Ms. Bucia wishes to refinance the primary mortgage on the property and in order to do so the City must subordinate the liens to the new loan with U. S. Bank NA.  The City’s interest will be protected and staff recommends approval. 

 

In 2003, Patricia Huebner, 1068 Home Circle, participated in the City’s First Time Homebuyer Program.  In order to participate in the program, she was required to sign a mortgage and mortgage note to protect the City’s interest in the property.  Ms. Huebner wishes to refinance the primary mortgage on the property and in order to do so the City must subordinate the liens to the new loan with Capital Federal Savings Bank.  The City’s interest will be protected and staff recommends approval. 

 

The City Clerk will have the document for the Mayor's signature.  If you have further questions, please let me know.