Title
Approval of Request for Reconveyance for Property located at 1413 Dickenson Avenue NW
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve the Request for Reconveyance for the property located at 1413 Dickinson Avenue NW, and authorize the City Manager to execute the Request and all other documents necessary to cancel the Promissory Note dated October 4, 1996, between the City and Susan Fears Parish, and the Deed of Trust (Recording #3057915) securing the Promissory Note, and to make any minor modifications as may be required and are consistent with the intent of the Request for Reconveyance.
Report
Issue:
Whether to authorize the City Manager to execute the Request for Reconveyance for the property located at 1413 Dickinson Avenue NW, Olympia, WA.
Staff Contact:
Annaliese Harksen, Deputy City Attorney, Legal Department, 360.753.8003
Presenter(s):
None - Consent Calendar Item.
Background and Analysis:
The City entered into a Promissory Note with the owner of property located at 1413 Dickinson Avenue NW on October 4, 1996 for a loan totaling $24,000.00 under a Housing Rehabilitation Loan Program. This program allows Community Development Block Grant (CDBG) loans to be provided to qualifying individuals under terms that allow deferred payments and/or interest until such time as the person receiving the loan is no longer residing there or has sold or otherwise relinquished ownership of the property. A Deed of Trust was filed against the property in 1996 to secure the loan. The owner lost the property in foreclosure and it was transferred to a new owner in 2010. At that time, the loan became due and has continued to accrue interest. In April 2017, the City sent a demand for payment of the loan, plus interest, in an amount totaling $44,944.00. Interest continued to accrue daily. On June 5, 2017, First American Title (title insurer for the current owner) delivered a check to the City in the amount of $45,336.00, in total payment of the loan. Pursuant to RCW 61.24.110, the City is required to reconvey the property once the loan is paid in full. According to Olympia Municipal Code 3.16.020, any conveyance of property must be authorized by the City Council.
Neighborhood/Community Interests (if known):
No neighborhood and/or community concerns.
Options:
Authorize the City Manager to sign the Request for Reconveyance and all other documents necessary to cancel the Promissory Note and Deed of Trust securing the Promissory Note and to make any minor modifications as may be required and are consistent with the intent of the Request for Reconveyance.
Financial Impact:
The City’s CDBG program will receive the check for $45,336.00.
Attachments:
Resolution
Reconveyance with Promissory Note and Deed of Trust