MEMORANDUM
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: November 28, 2012
RE: Subordination Agreement
The Community Development Division received a request for a Subordination Agreement for a lien the City holds for a loan recipient. The information regarding the request follows:
In 1995, James and Patrice Krause, 1409 New Jersey, participated in the City’s First Time Homebuyer program. In order to participate in the program, they were required to sign a mortgage and mortgage note to protect the City’s interest in the property. The Krause’s wish to refinance the primary mortgage on the property and in order to do so the City must subordinate the lien to the new loan with US Bank N.A. The City’s interest will be protected and staff recommends approval.
The City Clerk will have the documents for the Mayor's signature. If you have further questions, please let me know.