HomeMy WebLinkAboutNS - Loan Suborrdination of Deed of Trust - Chrysalis Foundationtoi2i~oa oa:os Faa
f~ooz
3
SUBORDINATION OF DEED OF TRUST
RECORDATION REQUESTED BY:
ROXBORO SAVINGS BANK, SSB; Math Office: 3'13 South Mafn Street; P. O. Box 488; Roxboro, NC
27573.0489
WHEN RECORDED MAIL TO:
ROXBORO SAVINGS BANK, SSB; Main Office; 319 South MaM Street; P. O. Box 489; Roxbooo, NC
27573-0469 '
SEND TAX NOTICES 70:
ROXBORO BAVINdS BANK, SSB; Maln Offloe; 313 South Main.Streat; P. 0. Box 488; Roxboro, NC
27673.0489
Tills Subordination of Deed of Trust prept~ed by:
X tt .
Arthur F. uege Jr Vice President
r
4'
NOTICE: THIS SUBO(iDINATION OF DEED RE LTS IN YOUR SECURITY INTEREST IN THE
PROPERTY BECOMING SUBJECT ?O AND OF L 0 AN THE LIEN OF SOME OTNER OR LATER
SECURITY INSTRUMENT. ! ,,
y ~ tir'
THIS SU80RDINATION OF DEED OF TRUST dated October 20, ` B Rs made and executed among Otattge
County i"Benoficfary"F: Wayne R• 1'ladl.er {"Trustee"); The Chrysalis Foundeticn
For Mental Health, Inc. ("Borrower"1; and ROX80R0 SAVINGS BANK, 888 S"Lender"1.
SUBORDINATBD fNDEBTEDNESS. Beneflclary has extended the followtng described flnanclal accommodations,
secured by the Real Property Ithe "Subordinated Indebtedness"j: '
Several Prwniasory Notes secured by Deeds of Trustto a Truateein favor of Orange County dated Ootober
17, 2003 and Juiy 22, 2003 and November 22, 2002 and February 2B, 2007 reapeetlvely, as they may
relate to the properties securing the 8ubardlneted Indebtedness.
SUBORDINATED DEED QF TRUST. The Subordinated Ind~tadnass is or will bo secured by the Rest Property
and evidenced by a deed of mist dated as shown abovefrom The Chrysal}s Foundation for Mantel Health,
Inc.t"Truster")to Geoffrey E, Gledhill ("Trusleo"1 to ievw vl Orange County
(^8eneficiary"1 ltlto "Subordinated Deed of Trust"f end recorded in Orange County, State of.North Carolina es
follows: •
R8 3235, Page 351 Irecordad October 20, 2003) and RB 3112, Page 540 (recorded July 22, 2003] and
RB 2804, Pags 161 leecorded November 28, 20021 end RB 4228, Page 178 leecordvd March 1, 2007);
respectively as they may relate to the prope~tiea securing the Subordinated Indebtedness.
REAL PROPERTY DESCRIPTION. The Subordinated Deed of Trust covers the following described real propetty
(the "Real Property") bcated in Orange County, State of North Carolina:
See Exhibit A, Which is attached to this Subordination antl made a part of this Subordination es if fully set
forth herein.
The Rest Property or its address is commonly known as t 12•A & 6 Johnson Street, 114 A & B Johnson
Street, 1100 Roosevelt Drive, 110 A & 8 and• 112A Dillard Street and Units 203 and 213, Ashley Forest
Condominitnns, Chapel Hill, NC. The Real Property tax identification number fs 9778949088 and 9789901447
and 9778494003 and 97$9385858.027 and 9789386858.022, respectively na they relate to the properties
rel8ranced herein. ,
SUPERIOR INDEBTEDNESS. Lander has extended a has agreed to extend the following described financial
accommodations to Borrower, secured by the Real Property (the "Superior Indebtedness"I:
A Promissory Nota of even date herewith, seoureq by a Oeed of Trust to a Trustee in favor of the lender
secured by iha above gesartbed real property located in Ghapel HIM, Orange County, North Carolina.
toizf.ioa 08:09 PAX l~009
SUBORDINATION Ot= HEED OF TRUST O
iContlnuedl Paga 2
LENDER'S LIEN.- The Superior Indebtedness is Or will be secured by the Real Property and evldertced by a deed
of trust, dared October 20, 2008, from Borrower to Lender Ithe "Lerdor's Lien') end recorded in Orange -
Cvunty, State of North Caroline as follows:
Orange County Registry RB ^, page _ on xx, 2006.
As a condition to the granting of the requested financial accommodotione,• Lender has requked that the
Lender'8 Lien be and remain superior to the Subordinated Oeed of Trust.
REQUESTED FINANCIAL ACCOMMODATIONS. Beneficiary, who may Of may not ba the same person or• enthy
as Truster, and Borrower each want Lender to provide financial accommodations to Borrower in the form of the
superior lndebtedneae. Borrower and Beneficiary each represent end acknowledge to Lender that Beneficiary
will benefit as a result of these financial accommodations from Lender to Borrower, and Beneficiary
acknowledges receipt of vakrable consideration for entering into this Subordination.
NOW THEREFORE TWE PARTIES TO THIS SUBORDINATION HEREBY AGREE AS'FOLLOWS:
8UBORDtNATION. The Subordinated Deed of Trust and the Subordinated Indebtedness secured by the
Sutwrdlnated Deed of Trust k and shah be subordinated in eM respects to Lender's Lien and the Superior
lndebtednasa, and It is agreed that Lender's Lien obeli be end remain, at all times, prior and superior to the Aen
of the Subordinated peed of Trust. 8eneficiery also subordinates to Lendar'a Lien all other Security Interests in
the Real Property held by Barxrficiary, whether now extsttng a hereafter acquired. The words "Security
Interest", mean and include without limitation any type of collateral aec-rcity, whether in the form of a lien,
charge, mortgage, deed of trust, assignment, pledge, chattel mortgage, chattel treat, factor's Ilan, equipment
trust, conditions! sale, trust receipt, Ilan or title ratentioh contract, lease of consignment intended as a security
device, or any othei security ar Tien interest whatsoever, whether created by taw, contract, or otherwise.
BENEFlCIARY'S REPRESENTATIONS AND WARRANTIES. Baneftclary represents and warrants to Lander that:
IA1 no representations or agreements of any kind have been made to Beneftolary which would Ihnit ar qualify
~in any way the forma of this Subordtnetion; IB) this Subortlinetion is executed at Borrower's request and not at
the request of Lender; iC) Lender has a f+o representation to Beneficiary as to the creditworthiness of
borrower; and (D) Beneficiary has est adequate means Of obtaining from Borrower on a continuing
basis Information regarding Borrower' fin Ia~contliCron. eeneticlary agrees to keep adequetefy informed
from such means of any facts, eve s, o r ilia ncea which Wright in any way aflect eeneflclary's risks
under this Subordination, and Benefi ~ r e reel that Lander shall have no obNgetion to disclose to
Beneficiary information or material acquired L in 1f voursa of its releYronshlp with ee»eficiary,
BENEFICIARY WAIVERS. Beneficiary weivea r~ ' e Lender: (A1 to make, extend, renew, or
modify any loan to Borrower or to grant any other insn ylal aucsc~o' dationa to Borrower whatsoever; (B) to
make any pres~rtment,.protest, demand, or•notice ofr'BrLy'~k'im'~j, in 'ng notice of any nonpayment of any
Superior Indebtedness secured by Lender's Lien, or notice•!of any a r nonactivn on the port of Borrower,
Lender, any surety, endorser, or other guarantor in connection wit a superior indebtedness, or in connection
with the creation of new or additional indabtadness; fCl to ref~rt for payment or to proceed directly or at
once agalnat any person, includ+ng Borrower; ID) to proceed drectly against or exhaust arty collateral held by
Lentler from Borrower, any other guarantor. or any other person; IE1 to give notice of the terms, lima, and
place of any public or private sale of personal property security held by Lender from 8orrvwor or to corr~ly
with any other applicable provisions of the Uniform Commercial Code; iF) to pursue any other remedy within
Lender's power; or (G) to commit any act ar omission of any kind, at any time, with respect to any matter
whatsoever.
LENDER'S R1GH7S. Lender may take or omit any and all actions with respect to Lender's Llen without
affecting whatsoever any of Lender's rights under this Subordination. In particular, without ('imitation, Lander
may, wiUhout notice of any kind to Beneficiary, (A) make one or more additional secured or unsecured loans
to Borrower; i6) repeatedly alter, compromise, renew, extend, accelerate, or otherwise change the time for
payment or other terms of the Superior Indabtadnasa or any part of it, including Increases and decreases of the
rata of interest on the Superior indabtadness; extensions may be repeated end may be for longer tha» the
original loan term; tC- take and hold collateral for the payment of the Superior Indebtedness, end exchange,
enforce, waive, and release any such eoHeteral, with or without the substitution of new cofleterel; (D) release,
substitute, agree not to cue, or deal with any one or more of Borrower's sureties, endorsers, or guarantors on
any terms or manner Lender chooses; IE1 determine how, when and what application of payments and
credits, shall be made on the Superior Indebtedness; (FI apply such security arxf direct the order or manner of
sate of the security, ea Lander in its discretion may determine; and IG) transfer this 5ubordinaton to another
Pe-tY•
DEFAULT BY BORROWER. If borrower becomes fisoNent or bankrupt, this Subordination shell remain in fttlt
force and effect. Any de'tault by Borrower under the terms of the subordinated Indebtedness also shall
constitute an event of default under the forma of the• Superior Indebtedness in favor of Lender.
MISCELLANEOUS PROVISIONS. The following miscellaneous provtslona ere a part of this 8ubordlnstton:
Amcndmants. This Subordlna[bn eonatitutes the entire understandlnp anti agreement of the parties es to
the matters sat forth in this Subordinstioo. No alteration of or amendment to this Subordination shah be
effective unless given in writing and signed by the party or parties sought to be charged or bound by the
alteration or amendment.
Attorneys' Fags; Exp9ncea. I! t_onper instituiea any suit a action Co on(ero• my of the terms oT thfa
ioiztioa oa:oa Pax
~ooa
SUBORb)NAT)ON OF AI:ED OF TRUST
(Continued) Pago 3
Subordination, Lender shall ba entitled to recover such sum as the court may adjudge reasonable as
attorney§' fees at trial and upon any appeal. Whether or not any court action is.InvoNed, and to the extent
not prohibited by law, all reasonable expenses Lender incurs that in Lender's opinion ore necassery at any
time for the protection of its interest or the entorcament of its rights shall become a part of the
Indebtedness payable on demand and"shah beer Interest at the Nota rate from the date of the expenditure
until repaid. Expenses eoverod by this paragraph include. without limitation, however subject to any limits
under applicable law, Lender's reasonable attorneys' fees and Lender's legal expenses, whetter or not
there is a lawsuit, including reasonable attorneys' tees and expanses for bankruptcy proceedings linclutling
efforts to modify or vacate any automatic stay of injunction), appeals, and any anticipated poet-judgment
' collection services, the coal of searching rerorda, obtairrng title reports Gncluding foreclosure reports}.
surveyors' raporta, eruf appraisal fees, title insurance, and fees for the Trustee, to the extent permitted by
applicable taw. Beneficiary also wlil pay any court costa, in addition to ell other sums provided by law.
Authority. The person who signs this Subordination as or on behalf of Beneficiary represents and warrants
the[ he or site has authority to execute this Subordination and to subordinate the Subordinated
indebtedness and the Eanaficiary's security interests in Beneficiary's property, if any.
Caption Headingc. Caption headings in this Subordination are for convenience purposes only and are not to
be used to imarprat or define the provisions of this Subordination.
Goveming Law. This Subordination will be governed by federal law applicable to Lender end, to she extant
not preempted by federal few, the laws of the Stets of•North Carolina without regard to its oontlicta of law
provisions. This 3ubwd-natlon has been accepted by Lender Itt the State of Nortlt Caroline.
Choloe of Venue. If tharv is a lawauif, Beneficiary agrees upon Lender's request to submit to the
jurisdiction of the courts of Person County, State of Nor[h Carolina.
Successors. This Subordination shall extend to and bind the respective heirs, personal representatives,
successors and assigns of the parties to this Subordination, and the covenants of 8enetfciary hereto to
favor of Lender shall extend to, include, and be enforceable by any transferee or endorsee to whom Lender
may transfer any Or all of the Superior Indebtedness.
No Waiver by Lentler. Lender sh4g~n be deemed to have waived any rights under this Subetdinetion
unless such waiver is given in w~~frg e s d by Lender. No daisy or omission on the part of Lender in
exercising any right shall oporetd'bLtN. er suoh right or any other right. A waiver by Lender of v
provision of this 5ubordlnatlon sria11 a or cohstitufs a waiver of Lender's right otherwise to
demand suict compliance with that pro sion~5r a t~ter provision of thi8 Subordination. No prior waiver
by Lander, nor any co[vae of dealing betwaYin.,~ a natlclary, shall constitute a waiver of any of
Lender's rights or of any ot• Benflflciery's obligtitia[ s an + Curs trensec[lons. Whenever the consent
of Lender is required under this Subordination, the 6f au nsent by Lender In any Instance shah
not constitute continuing consent to subsequent insta ees wher consent is required and in aN cases
such consent may be granted or withl'feld In the sole discretion ~ Lender.
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
HXPENDL-O FOR OTHER PURPOSES THAN IMPROVEMENT OF THE LAND,
EACH PARTY TO THIS SUBORDINATION ACKNOWLEDGES HAVING READ ALL THE PROVISIONS Ot: TH13
SUBORDINATION, ANp EACH PARTY AGREES TO IT3 TERM3. THIS SUBORDINATION !S GATED OCTOBER
Z0, Z6P8.
THIS SUBORDINATION !S OIYEN UNDER SEAL AND IT 15 INTENDED THAT THIS SUBORDINATION IS AND
SHALL CONSTITUTE AND HAVE: THE EFFECT OF A SEALED INSTRUMENT ACCORDING TO LAW.
BORROWER:
THE CHRYSALtB FOUNDATION FOR MENTAL I~EALTH, INC.
gy; jSeall
Alan Meltbia. Chair of The Chrysalis Foundation for Mental
Health, inc.
gyc -_.."Jseal)
Curtle McLaughlin, Treasurer of Tfie Chrysalis Foundation for
Mental Health, inc.
10/21/08 09:03 FAZ
~ oos
SUBORDINATION OF DEED OF TRUST
(Continued) ~ Page 4
BENEFICIARY:
ORANGEGOUNTY
BY= lSseli
Authorized Signer for Orange County
BYE iSeall
Authorized Signor fo- Orange County
TAUSTSE:
X ~ ~ISsall
Authorized Signer
X _ )sago
Authorized Signor
LENDER:
ROXBORO SAVINGS BANK, SSB ~`~~
x "~ t ai! ~+
Arthur F. Krueger, Jr., Vice President s l(rJ i'~~
;~~
•r ~~.
_ :~
10/21/08 09:0 FA.C l~008
SUBORbINATION OF DEED OF TRUST
{Conttnuedl ~ Page 5
CORPORATE ACKNOWLEDGMENT
STATE OF
COUNTY OF
)
) SS
1
I, _, a Notary Public For said County and State, do
hereby certify that Alan Maitbfe, Chair of The Chrysalis Foundation for K7ental Health, Ino. and Curtis
Mclaughgn, Treasurer of The Chrysalis Foundetlon for Mental Health, Inc. personaAy came before me this daY
and acknowledged that they era Chair of The Chrysaga Foundation for Mental Haalth, Inc. and Treastrcer of The
Chrysalis Foundetlon for Mental Health, Inc., a corporation, and that they, as Chair of The Chrysagv
Foundation for Mentat Health, inc. and Treasurer of The Chrysalis Foundation for Mental Haeltlt, Inc. being
authorlxed to do so executed the foregoing on 6eheli of the corporation.
Witness my hand and Notarial Seal this the day of ~_, 20
Notary public
My Commission Expires: '
Affix Notarial Seal Here I ~ +-rt$r
~~_~~~ ~ y
~'T
t~.fC~t ~;')~~ .
t•s .
'GOVERNMENT ACKf~OWLE NT
•~
STATE OF 1
1 SS'
COUNTY OF )
I, a Notary Public for said Govnty and State,
certify that
personally came before me this day and aoknotvledged the due execution of the Foregoing instrument in wrltlrtg
by for Orange County, a government, for me uses
and purposes therein sat forth.
Witness my hand and Notarial Seal this the day of , 20
My Comntlasfon Expires:
Notary Public
I Attlx Notorlol Seal Here
10/Yl/08 00:0 FAT ~ 007
8UBORDINATION OF DEED OF TRUST
(Continued) Page o
CORPORATE ACKNOWLEDGMENT
STATE OF
COUNTY OF
155
I, ~ , a Notary Publfc for said County end Stata, do
hereby certify that _ ____
personally came before me this day and acknowledged that they ere
a corporation, and that they, as ,^~~__
being authorized to do so executed die foregoing on behalf of the corporation. ~~~
Witness my hand and Natsriel Seal this the day of __~ , 20
My Commission Expires:
------ a
~~~
Affix Notarial Seal Here 1 , `~ r,.~
~"v~p~r~~ihr
gr yF" ~,,,t.9~~r
~r,,,,~i
,n.~
Notary Pubkc ~~
10/21/08 09:04 FAX
~ooa
SUBORDINATION OF DEED dF TRUST •
(Continued) Page 7
CORPORATE ACKNOWLEDGMENT
STATE OF l
)SS
COUNTY OF )
l , e Notary Public for said County and Stato, d0
hereby certify that
personoNy came bofora ma this day and acknowledged that they are ____ ~ u^~~
a corporation, and that they, as ~~^TML .
being authorized to do so executed the foregoing an behalf of the corporation.
Witness my (tend and Notar)at Seal this tiro day of „_~ , 2U
Notary Pvbtlc
xny Comm)sslon Expires:
I Affx Notarial Seal Here )
~~'~j ,g
-s~,,,,e
)F ,rr~,~
i, ~ra~
e~'~e3
LENDER ACKNOWLED
STATE OF )
) SS
COUNTY OF ~„_,_ •~ ,_,_,_ •)
1 _ , a Notary Public for sold County and State, do
hereby certify that ArUtur F. Krueger, Jr., Vtoe President personally came before me this day end acknowledged
that he (or she) is Vice President of ROXBORO SAVINGS BANK, SSB, a corporation, and that ha/she, as Vioe
Preafdsnt being authorized to do so executed the foregoing on behalf of the corporation.
Witneaa my hand and Notarial Seal this the day of __. , 20
My Commtsslon Expires:
! Affix Notarial Seal Here 1
Notary Public
O