Memorandum

City of Lawrence

Planning and Development Services

TO:	Diane Stoddard, Interim City Manager
FROM:	Danelle Dresslar, Community Development Manager, Planning and Development Services
CC:	Scott McCullough, Director, Planning and Development Services
DATE:	August 12, 2015
RE:	Mortgage Subordination

Background:

The following individuals participated in a Community Development Division loan program.

1. Ryan Douglas Johnson and Ann-Louise Elizabeth Dean, 1246 Prospect Avenue, participated in the Homeowners Out of Tenants (HOOT) Program in 2003.

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.  They wish to refinance a primary mortgage on the property; in order to do so the City must subordinate the lien to the loan with Truity Credit Union.

Staff Recommendation:

The City’s interest will be protected and staff recommends approval. 

Action:

Authorize the Mayor to sign a Subordination Agreement for Ryan Douglas Johnson and Ann-Louise Elizabeth Dean, 1246 Prospect Avenue.

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