Loading...
HomeMy WebLinkAbout*AGMT - Latta, Robert & Marie Jane • • LOAN AGREEMENT This Loan Agreement ( "Agreement ") dated as of , 200_, is made and entered into by and between CITY OF SEAL BEACH REDEVELOPMENT AGENCY, a public body corporate and politic, with offices loccted ate., eiTh- SQL, 13EAC► the "Agency ") and ROBERT LATTA and MARIE JANE,'ERRANTE- LATTA, husband and wife, whose address is 94 Welcome Lane, Seal Beach, California 90740 (collectively, the "Borrower "). RECITALS This Agreement is entered into with reference to the following facts: A. The purpose of this Agreement is to effectuate the Redevelopment Plan for the Redevelopment Plan For the City of Seal Beach (the "Redevelopment Plan") by providing for rehabilitation of certain affordable housing related to the redevelopment of an area of the City of Seal Beach (the "Project Area ") which includes a mobile home owned by Borrower and located on certain real property leased by Borrower located at 94 wE i — A r se. , Seal Beach, California (the "Property "). The creation of this loan to assist in the rehabilitation of the improvements on the Property is in the best interests of the City and the Agency. B. Borrower has demonstrated to Agency that the rehabilitation of the Property benefits the City through the maintenance of the community's mobile home and affordable housing supply. NOW, THEREFORE, in consideration of the rehabilitation of the Housing Property and the terms of this Agreement, the parties hereto agree as follows: ARTICLE 1 THE LOAN Section 1.1 Loan Amount. Agency hereby agrees to loan to Borrower the amount of Eight Thousand Two Hundred Thirty -Three Dollars ($8,233.00 ) (the "Loan Amount "), being the amount of the cost of rehabilitation construction cost in excess of available replacement mobile home housing. Section 1.2 Loan Repayment. Upon full execution of this Agreement, Borrower shall execute a Promissory Note for the balance of the Loan Amount due in the form attached hereto and incorporated herein as Exhibit 57296 \0001 \621747 3 Page 1 of 5 _, - - 411 4111 A. Payments shall be due under the Promissory Note as follows: Beginning 20Q, Borrower shall make One Hundred Twenty (120) equal monthly payments of Se venty -Five due and Dollars and Seventy -Five Cents ($75.75), with the remaining balance of principal du payable on 1, 2010, the "Maturity Date" of the Promissory Note. Should an the Promissory Note not be paid when due, then Agency shall have the right to Y sum under g accelerate the repayment of the remaining balance of the Loan to be immediately due and payable, and an payments not made when due shall accrue interest at the rate often percent per nt (10 %) annum until paid. p m Section 1.3 Secur;ry for th Lo a. As security for payment and performance of Borrower's obligations under the Loan, and any extensions and renewals thereof, Borrower shall grant to Agency a secury in the mobile home owned by Borrower that is located on the Property, including witho interest limitation, all additions to and replacements and proceeds thereof (the "Mobile Home"). Loan shall not be secured by any other property. Borrower agrees to provide Agency with a Certificate of Title on the Mobile Home and to execute and deliver gey ) This documentation that may be needed from time to time to perfect Agency's and all additional 's securi Mobile Home. security interest in the b. Borrower agrees and acknowledges that if Borrower, without Agency's written consent, (i) sells or transfers all or any interest in the Mobile Home, or ii Mobile Home from the Property, then Agency may, at Agency's r prior accelerate the moves the of the principal of the Note and declare all sums due under the Note be immediately dupayment payable. ately due and c. Borrower agrees to: (i) comply with all terms and conditions of the lease agreement by which the Mobile Home is located on the Property, including without limit paying all rent due in a timely manner; (ii) keep the Mobile Home in good condition tpair ' (iii) and be responsible for all loss or damage to it iii comply with all laws and re oti and repair to the Mobile Home and its use; (iv) regulations pertaining ( ) pay when due all taxes, licenses and other charges on or relating to the Mobile Home; (v) execute any filings deemed necessary by Agency to protect its right s nsthe Mobile ro bile Home to and pay for any Loan; (vi) permit Agency to inspect the Mobile Home upon request, and to provide for the such information as Agency may request concerning it; (vii) notify Agency promptly if vide Agency with Borrower's address or the address at which the Mobile Home is kept is changed from that set forth in this Loan Agreement, or of any claims, confiscations, loss or theft of (viii) keep the Mobile Home free of all claims, confiscations, liens, levies, encumbrances Home; u security interests (other than Agency's) and not sell or otherwise transfer it or any therein; and (ix) not install Mobile Home on a permanent and Mobile Home to land in any way foundation system or otherwise affix Y y which could alter its legal character as personal property, without the prior written consent of Agency Section 4. Insurance. rance 57296 \ \62 1747 3 Page 2 of 5 • • Borrower agrees to keep the Mobile Home insured against loss by fire, hazards included within the term "extended coverage" and any other hazards, including floods or flooding, for which Agency requires insurance. Such insurance shall be maintained in amounts and for the periods that Agency requires. The insurance must include a lender's loss payable endorsement with Agency as loss payee or lienholder. ARTICLE 2 DEFAULT AND REMEDIES 2.1 Default by Borrower. Failure or delay by Borrower in making any payment due under the Promissory Note or this Agreement shall be deemed a default hereunder. No notice shall be due from Agency specifying the default as Borrower agrees that it is fully aware of the repayment schedule under this Agreement and is responsible for making timely and complete payments under the Promissory Note without any further notice from Agency. If Agency elects to give any notice of a default to Borrower, any delay or failure to give any notices shall not constitute a waiver of any default, nor shall it change the time of default. Further, any failure or delay by Agency in asserting any of its rights or remedies as to any default shall not operate as a waiver of any default or of any such rights or remedies or deprive Agency of its right to institute and maintain ay actions or proceedings which it may deem necessary to protect, assert or enforce any such rights and remedies. 2.2. Agency Remedies. Upon a default by Borrower under this Agreement or the Promissory Note, then Agency may, in its sole discretion: (i) terminate this Agreement, and Borrower shall be liable to Agency for any damages caused by such default, and Agency may thereafter commence an action for damages against Borrower with respect to such default; and/or, (ii) commence an action for specific performance of the terms of this Agreement pertaining to such default; and/or, (iii) declare all sums.disbursed by Agency hereunder, at the option of Agency, to be immediately due and payable, and Agency shall be released from any and all further obligations to Borrower under the terms of this Agreement. ARTICLE 3 GENERAL PROVISIONS 3.1 Notices. Demands and Communications Between the Parties Any written notice or payment of one party to the other shall be served by registered or certified mail, postage prepaid, return receipt requested, addressed to the parties at the addresses set forth in the preamble of this Agreement 3.2 Conflicts of Interest. S7296\0001\621747 3 Page 3 of 5 • • No member, official or employee of Agency shall have any direct or indirect interest in this Agreement, nor participate in any decision relating to the Agreement which is prohibited by law. 3.3 Warranty Against Payment of Consideration for Agreement. Borrower warrants that it has not paid or given, and will not pay or give, to any third person, any money or other consideration for obtaining this Agreement, other than normal costs of conducting business and costs of professional services, such as accountants and lawyers. 3.4 Non- liability of Agency and City Officials. No member, official or employee of Agency or City shall personally be liable to Borrower, or any successor in interest of Borrower, in the event of any default or breach by Agency or for any amount which may become due to Borrower or successor or on any obligation under the terms of this Agreement. 3.5 Litigation. If Agency shall be or shall become a party to any legal proceedings instituted in connection with or arising out of the Loan or the improvement of the Property, Borrower agrees to pay to Agency all sums paid or incurred by Agency as costs and expenses in the legal proceedings, including but not limited to actual attorneys' fees and costs incurred by Agency. In the event of any litigation between the parties hereto arising out of this Agreement, the prevailing party shall be entitled to receive, in addition to any other relief, all costs of suit, including actual attorney fees. 3.6 Entire Agreement. Waivers and Amendments. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and when taken together, constitute one and the same original. This Agreement, together with all attachments and exhibits hereto, constitutes the entire understanding and agreement of the parties. This Agreement integrates all of the terms and conditions mentioned herein or incidental hereto, and supersedes all negotiations or previous agreements between the parties with respect to all or any part of the subject matter hereof. Any waiver or modification of any provision of this Agreement must be in writing and signed by the party to be charged. [Remainder of page intentionally left blank] S7296\0001\621747 3 Page 4 of 5 • • IN WITNESS WHEREOF, the parties hereto have entered into this Agreement as of the day and year first above written. " CITY OF SEAL BEACH REDEVELOPMENT AGENCY By �G��C Executive Director, nterim ATTEST: — Secretary "Borrower": ROBERT LATTA MARIE J %ERRANTE -LATTA S7296\0001\621747.3 Page 5 of 5