The URL can be used to link to this page

Home My WebLink AboutAgenda - 08-21-2001-8d~. ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 21, 2001 Action Agenda Item No. ~-d , SUBJECT: Re lacement of Deed ofi Trust -- Pine Hill Drive Bond Project DEPARTMENT: Housing/Comm. Development PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Replacement Document Property Map INFORMATION CONTACT: Tara L. Fikes, ext 2490 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To authorize the Chair of the Board to execute documents necessary to release the Deed of Trust for the Pine Hill Drive Bond Project. BACKGROUND: Funds provided to non-profit organizations for affordable housing projects approved under the CDBG, HOME, and Housing Bond Programs are provided as a deferred second mortgage that is transferable to the individual families at the time of sale to them. The investment is secured by a Deed of Trust and Promissory Note that constitutes a lien on the property, and is forgivable at the end of the term. At the time of closing of the sale of a dwelling unit to a homebuyer, the homebuyer is required to "assume"'the deferred loan received initially by the non-profit organization. The homebuyer obligation is documented by a Promissory Note from the homebuyer to the County and the note is secured by a Deed of Trust on the Property. Once the Note and Deed of Trust is executed and recorded by the homebuyer, the Master Deed of Trust signed by the non-profit organization can be released since the homebuyer has executed a new Deed of Trust which constitutes a lien on the property. The County Attorney advises that upon confirmation of the recordation of the new Deed of Trust, this release process is fairly routine. A Release Deed document is executed by the authorized County official and sent to the closing attorney for recordation. In February 2000, the County provided $90,000 in bond funds to EmPOWERment, Inc. to acquire praperty on Pine Hill Drive in Carrboro in order to build four condominiums for low/moderate income first-time homebuyers. EmPOWERment has completed that project and has sold the condominiums to four first-time homebuyers. At the closing for each unit, a new Deed of Trust was executed for $22,500 (1/4t" of $90,000) in order to secure the County's bond contribution. These new Deeds of Trust secure the total Bond commitment with the new owners, therefore, the original Deed of Trust executed by EmPOWERment, Inc at the beginning of this project can now be released. Each condominium has a 99-year period of affordability that is secured by a recorded Declaration of Restrictive Covenants executed by EmPOWERment, Incorporated. The Declaration will not be affected by the release of the Master Deed of Trust. ' FINANCIAL IMPACT: None. RECOMMENDATION(S): The Manager recommends that the Board authorize the Chair of the Board to execute documents necessary to release the Deed of Trust for the Pine Hill Drive Bond Project. {/ Mai1To: lCendall H. Pa a Col bia Thin Instrument was prapared hyKendall H, Pa e ' RELEASE DEED - RD-1 Printed by James Williams & Co., Inc., P, O. Box 127, Yadkinville, N. C. 27055 3 5'fATE OF NORTH CAROLINA, County. THIS DP.)rD, made and eataed~into this 7_5th _. day of July 2001 •~ _, by and between Geof`fre E. Gledh311 , Trustee, hereinafter called Trustee, sad ,hereinafter called Note Holder, parry of the first part, and- _ ,,, _ EmPOWERment,z.~nc. •__, ;hereinafter referred to as parry of the second part, all of North Cazolina WITNESS$TH: That, Whereas, said party of the second part haetofote executed to said Trustee, a catain deed of trust, dated _ _ _ March 3 2000, and recorded in Book 2049 ,Page 5 51 , ___ Ora}t~e ~_ Couuty Registry, to secure a certain note therein set out due and payable to the said Note Halda, patty of the fast part, and Wl-I13R13A5, said part? of the second part has requested the said Trustee, and the said Note Holder, parry of the first part, to release from the lien of said deed of trust so much of the land therein conveyed as is hereinafter described, and the said Note Holds, party of the fast part has agreed to do so and has requested said Trustee to join in said relpae: NOW THEREFORE, satd parties of the fast part, for and in consideration of the sum of .Ten Dollars anti-other valuable Considerations Dollars to them paid by the said party of the second part, have remised and released and by these presents do remise, release and forever quitclaim unto the said party of the second part and his heirs and assigns certain lands situate in the County of and State of North Carolina, in Township, and more pazticularly described as follows: BEING KNOWN~AND DESIGNATED as 100E as shown on a plat oz plats entitled "Pine Hill Condominium" recorded in Plat Book 88, Pages 92 and 93, in the Register of Deeds for Orange County, North Carolina, to which plat references are hereby made for a mote particulaz description of said unit. TO HAV$ AND TO HOLD said lands to him, the said party of the second part, and his heirs sad assigns, free and discharged from the lien of said decd o£ trust herein above referred to. But it is understood and agreed that this release shall apply only to so much of said lands as aze herein expressly described and conveyed, and that the remainder of said lands shall remain subject to the lien of acid decd of trust, and shall remain in full force and effect. When reference is made to the Trustee, any Party ar Parties, or to the Note Holder ar the Note, the singular shall include the plural and the masculine shall include the feminine or the neuter. IN TESTIMONY WHSREOP, said Trustee, and said Note Holder, party of the first part, have hereunto set their hands and seals, the day and year first above written, and a corporation, has caused this deed tv be signed in its corporate name by its President and attested by its__. _ ' and sealed with its carparate seal, the day sad gear fast above writtep. ' -- llvatee~SEAL) Geoffrey E. Gledhill SEAL) (SEAL) Orange County~~ (Name of Corporation ) Attest: Secretary gy SEAL=STAMP NORTFI CAROLAYA, COUNTY• I, a Notary Public of the County and State aforesaid, certify tba[ personally appeared before me this day end acknowledged the execution of the foregoing instrument. Witness my hand and official stamp or seal, this day of My Camtuission expires: Notary Public SEAL-STAMP NORTFI CAROLINA, COUNTY. I, a Notary Public of the County and State aforesaid, cereify that Geoffre E. Gledh111 Trustee, personally appeared before me this day and acknowledged the execution of the foregoing iustrument. Witness my hand and official stamp or seal, this day of , , ~~ My Commission expires: Notary Public SEAL-STAMP NORTH CAROLINA, COUNTY. I, a Notary Public of the County and State aforesaid, certify that , personally cants before roe this day and ackaowkd$ed that he is Secretary of a North Carolina corporation, and that by authority duly given and as the act of the.corporation, the foregoing iastrument was signed in its name by its President, aeakd with its corporate seal and attested by es its Secretary Witness my hand and official stamp or seal, this day of My corttmisslon expires: Notary Public The foregoing Certit"icate(s) of is/are certified to be correct. This instrument and this certificate are duly registered this day of ______, at A.M., P.M., Hook ,Page Register of Deeds for County, North Carolina. gy Deputy/Assistant - Register of Deeds. cs. i ~ i ~ ~ ti M 1 ~r,/wJ ~ ~1, 1 1 I ~ ; y1J l -' y . ~ ~ i ~ a 4 ~, J ~~~ ~, ~ ~ ., ~` r ~ ' o ~~~ o°~ , ~ ~' ~~,• . , ~ . .. , t7 %~ c~ o, o d ~~- ~~, O, ~~~ ~O ~~. O. ~~ c9 ~o~ ~i~ z~< < \~ r ~ ~ f ' ' d 0 ~ ~_ ~ I l` ~, I ~ C ~ C o ' ~ , o o ~s~~' --- °' U °~ ~ ~6' ~~ ti ~o~ o~ ~. `cam r~ n ~~ ~,.~/ ~, w z a ~~ Z O D Z. O U J J 2 W Z 0 a~i o~