20-125 Subordination Agreement (City to Lender), Sai Pradeep Vanka (Owner), Guild Mortgage Company (Lender) **This document was electronically submitted
This document,signed in counter
to Santa Clara County for recording**
part, when recorded together 24661238
constitutes one and the same Regina Alcomendras
instrument. Santa Clara County-Clerk-Recorder
10/19/2020 04:56 PM
RECORDING REQUESTED BY: Titles: 1 Pages: 10
AND WHEN RECORDED MAIL TO: Fees: $0.00
Tax: $0
City of Cupertino Total: $0.00
10300 Torre Avenue
Cupertino, CA 95014
Attention: City Manager
No fee for recording pursuant to
Government Code Section 27383
(SPACE ABOVE THIS LINE FOR RECORDER'S USE)
SUBORDINATION AGREEMENT
(CITY TO LENDER)
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY
INTEREST IN AND RESTRICTIVE COVENANTS AFFECTING THE
PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY
THAN THE LIEN OF SOME OTHER OR LATER SECURITY
INSTRUMENT AND RESTRICTIVE COVENANTS.
THIS SUBORDINATION AGREEMENT(the "Agreement") is entered into as of
September 2. ,2020, by and among the City of Cupertino,a municipal corporation (the
"City"), Sai Pradeep Vanka,a married man, as sole and separate property(the "Owner") and
Guild Mortgage Company (the "Lender").
RECITALS
A. Owner is the fee simple owner of that certain real property located at 10745
North De Anza Boulevard, Cupertino, California, as more particularly described in Exhibit A
attached hereto(the ".Property"),which is a below market rate unit restricted under the City's
Below Market Rate Housing Program.
B. In connection with the Owner's purchase of the Property,the City and the Owner
entered into the following documents (collectively,the "City Documents"):
(i) That certain Occupancy, Refinancing, and Resale Restriction Agreement
with Option to Purchase (the "City Resale Restriction Agreement")dated as of July 26, 2013, by
and between City and the Owner, and recorded in the official records of Santa Clara County (the
"Official Records") on August 1, 2013 as Document No.22328422;
(ii) That certain Promissory Note dated as of July 19,2013, executed by
Owner for the benefit of the City (the "City Promissory Note"); and
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RECORDING REQUESTED BY
Old Republic Title Company
Escrow No.: 0120028434
APN: 326-26-071
WHEN RECORDED MAIL TO
City of Cupertino Attn: City Manager
10300 Torre Avenue
Cupertino, CA 95014
SPACE ABOVE THIS LINE FOR RECORDERS USE
Subordination Agreement
LL/pr
This document,signed in counter
part, when recorded together
constitutes one and the same
instrument.
RECORDING REQUESTED BY:
AND WHEN RECORDED MAIL TO:
City of Cupertino
10300 Torre Avenue
Cupertino, CA 95014
Attention: City Manager
No fee for recording pursuant to
Government Code Section 27383
(SPACE ABOVE THIS LINE FOR RECORDER'S USE)
SUBORDINATION AGREEMENT
(CITY TO LENDER)
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY
INTEREST IN AND RESTRICTIVE COVENANTS AFFECTING THE
PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY
THAN THE LIEN OF SOME OTHER OR LATER SECURITY
INSTRUMENT AND RESTRICTIVE COVENANTS.
i
I
THIS SUBORDINATION AGREEMENT(the "Agreement") is entered into as of
September 2, , 2020, by and among the City of Cupertino, a municipal corporation(the I
"City"), Sai Pradeep Vanka, a married man, as sole and separate property (the "Owner") and
Guild Mortgage Company(the "Lender").
I
RECITALS
A. Owner is the fee simple owner of that certain real property located at 10745
North De Anza Boulevard, Cupertino, California, as more particularly described in Exhibit A
attached hereto (the "Property"), which is a below market rate unit restricted under the City's
Below Market Rate Housing Program.
B. In connection with the Owner's purchase of the Property,the City and the Owner
entered into the following documents (collectively,the "City Documents"):
(i) That certain Occupancy, Refinancing, and Resale Restriction Agreement
with Option to Purchase (the "City Resale Restriction Agreement") dated as of July 26, 2013, by
and between City and the Owner, and recorded in the official records of Santa Clara County (the
"Official Records") on August 1, 2013 as Document No. 22328422;
(ii) That certain Promissory Note dated as of July 19, 2013, executed by
Owner for the benefit of the City (the "City Promissory Note"); and
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(iii) That certain Deed of Trust dated as of July 19, 2013, executed by the Owner, as
trustor,naming the City as beneficiary, securing the City Promissory Note and the City Resale
Restriction Agreement, and recorded in the Official Records on August 1, 2013 as Document
No. 22328423. s
1
C. Owner desires to refinance the Owner's first loan on the Property (the "First
Loan"),which was secured by a deed of trust dated October 13, 2015 and recorded on October
21, 2015 against the Property as Instrument No. 23121348 in the Official Records (the "First
Loan Deed of Trust").
I
D. Lender has agreed to refinance the First Loan in an amount not to exceed Two
Hundred Four Thousand Dollars ($204,000), at a fixed interest rate of two and eight hundred
seventy-five thousandths percent(2.875%)per annum,for a term of thirty (30)years (the
"Refinanced Loan"). The proceeds of the Refinanced Loan will be used to pay off the First
Loan and to reconvey the First Loan Deed of Trust. The Refinanced Loan will be evidenced by
a promissory note (the "Lender Note"), and secured by a deed of trust(the "Lender Deed of
Trust")dated as of o . oher 9 , 2020, and recorded concurrently herewith in the Official
Records. The Lender Note and the Lender Deed of Trust are hereinafter collectively referred to
as the "Lender Documents." Recording Concurrently Herewith
E. It is a condition of the Refinanced Loan that the Lender Documents shall
unconditionally be and remain at all times a lien or charge upon the Property,prior and superior
to the lien or charge of the City Documents.
F. As a condition to subordinating the City Documents,the City requires that the
Lender provide the City notice of defaults and the right to cure defaults under the Lender
Documents.
G. It is to the mutual benefit of the parties herein that the Lender Documents shall
constitute a lien or charge upon the Property which is unconditionally prior and superior to the
lien or charge of the City Documents.
NOW, THEREFORE, in consideration of the recitals hereof, the mutual benefits accruing
to the parties hereto and other valuable consideration, the receipt and sufficiency of which
consideration is hereby acknowledged, it is hereby declared, understood and agreed as follows:
1. Owner represents and warrants that proceeds of the Refinanced Loan will be used
to repay the First Loan.
i
2. The Lender Documents and any renewals, modifications, extensions or advances
thereunder or secured thereby shall unconditionally be and remain at all times liens, claims or I
charges on the Property therein described,prior and superior to the lien or charge of the City
Documents.
3. The City declares, agrees and acknowledges that it intentionally and unconditionally
waives,relinquishes and subordinates the lien or charge of the City Documents in favor of the
lien or charge upon the Property of the Lender Documents and understands that in reliance upon,
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and in consideration of,this waiver,relinquishment and subordination, specific monetary
obligations are being entered into which would not be made or entered into but for said reliance
upon this waiver,relinquishment and subordination.
4. Lender covenants and agrees that in the event that Lender delivers to Owner a notice
of default under the Lender Documents,Lender shall deliver to the City a copy of said notice
concurrently with delivery to Owner, and the City shall have the right(but not the obligation)to
cure any or all defaults specified in said notice for a period of ninety(90)days after the date of
such notice, and Lender hereby agrees to accept all payments and all acts done by the City on
behalf of Owner within the cure period specified herein as though the same had been timely done
and performed by Owner, so that such acts and payments shall fully and totally cure and correct
all such defaults, breaches,failures or refusals for all purposes.
5. As a condition for approval of this subordination, a request for notice of default and
notice of sale regarding the Refinanced Loan shall be recorded in the Official Records for the i
benefit of the City.
6. With regard to the priority of the deeds of trust described herein,this Agreement
shall be the sole and only agreement with regard to the subordination of the lien of the City
Documents to the liens, claims or charges of the Lender Documents and shall supersede and
cancel any prior agreements as to such subordination including,but not limited to,those
provisions, if any, contained in the City Documents, which provide for the subordination of the
restrictions contained therein to another deed or deeds of trust or to another mortgage or
mortgages or to another regulatory agreement.
7. This Agreement shall be binding on and inure to the benefit of the legal
representatives, heirs, successors and assigns of the parties.
8. This Agreement shall be governed by and construed in accordance with the laws of
the State of California.
i
9. If any of the provisions or terms of this Agreement shall for any reason be held
invalid or unenforceable, such invalidity or unenforceability shall not affect any other of the
terms hereof, and this Agreement shall be construed as if such unenforceable term had never
been contained herein.
I
10. This Agreement may be signed by different parties hereto in counterparts, each of
which shall be deemed an original but all of which together shall constitute one and the same
agreement.
[Signatures on following page]
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394\09\2528698.1
IN WITNESS WHEREOF,the parties have executed this Agreement as of the day first
above written.
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR
SECURITY INTEREST IN THE PROPERTY BECOMING
SUBJECT TO AND LOWER PRIORITY THAN THE LIENS) OF
SOME OTHER LATER SECURITY INTEREST(S).
IT IS RECOMMENDED THAT PRIOR TO THE EXECUTION OF THIS
AGREEMENT,THE PARTIES CONSULT WITH THEIR ATTORNEYS WITH
RESPECT HERETO.
CITY: OWNER:
CITY OF CUPERTINO, a municipal corporation Sai Pradeep Vanka
By:
SIGNED IN COUNTERPART
Name: � ✓Gc!r, l�,
Its:
LENDER:
Guild Mortgage Company
By:
SIGNED IN COUNTERPART
Name:
Its:
4
394\09\2528698.1
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day first
above written.
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR
SECURITY INTEREST IN THE PROPERTY BECOMING
SUBJECT TO AND LOWER PRIORITY THAN THE LIEN(S)OF
SOME OTHER LATER SECURITY INTEREST(S).
IT IS RECOMMENDED THAT PRIOR TO THE EXECUTION OF THIS
AGREEMENT,THE PARTIES CONSULT WITH THEIR ATTORNEYS WITH
RESPECT HERETO.
CITY: OWNER:
CITY OF CUPERTINO, a municipal corporation Sai Pradeep Vank
By:
Name: ^LG�Cr-,
Its: ---
LENDER:
Guild Mortgage Company
By:
SIGNED IN COUNTERPART
Name:
Its:
4
39410912528698.1
IN WITNESS WHEREOF, the parties have executed this Agreement as of the day first
above written.
NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR
SECURITY INTEREST IN THE PROPERTY BECOMING
SUBJECT TO AND LOWER PRIORITY THAN THE LIEN(S) OF
SOME OTHER LATER SECURITY INTEREST(S).
IT IS RECOMMENDED THAT PRIOR TO THE EXECUTION OF THIS
AGREEMENT, THE PARTIES CONSULT WITH THEIR ATTORNEYS WITH
RESPECT HERETO.
CITY: OWNER:
CITY OF CUPERTINO, a municipal corporation Sai Pradeep Vanka
By:
�f � �� SIGNED IN COUNTERPART
Name: �-
Its:
LENDER:
Guild Mo gage C mpany
By:
Name: aco
ASSIST T SECRETARY
Its:
4
394109\2528698,1
A notary public or other officer completing this certificate verifies only the
identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA )
COUNTY OF ?p„A-t 0jAra )
On SQ bra e,- Z 7—z—_, before me, Laure,N SgP(,<-Aar ,Notary Public,
personally appeared e,(,or i, �c,^ ,who proved to me on the basis of satisfactory
evidence to be the p,!�s)whose (s)ds✓are subscribed to the within instrument and
acknowledged to me that he/O/they executed the same in hiss/their authorized c aft (ies),
and that by his/fie /their s' n Res) on the instrument the I s (s), or the entity upon behalf of
which the er •s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
MAR
Notary
Public
SAublic-California z
Santa Clara County
Commission#2247155
My Comm.Expires Jun 22,2022 Name: (-,AURkN SA'P✓DA,9—
Notary Public
i
A notary public or other officer completing this certificate verifies only the
identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA 1 )
COUNTY OF Sa c:LC "G }
On Q� O(� 9L"2-f-) ,before me, SIVANAGARAJU YARRAMANENI, Notary Public
Notary Public,
personally appeared SA�PRA IMP-Witit4who proved to me on the basis of satisfactory
evidence to be the person(s) whose nam(s) is/Mv subscribed to the within instrument and
acknowledged to me that he/sRUAiwoy executed the same in his/kerAh,&k authorized capacity(ies),
and that by his/hsrA�signature(s)on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name: SIVANAGARAJU YARRAMANE otary Public
Notary Public
SIVANAGARAJU YARRAMANENI
Comm. No.2171230 >
m NOTARY PUBLIC-CALIFORNIA
SANTA CLARA COUNTY
My Comm.Expires Nov.17,2020
u�4.4xr`:s:m-i�r����6 �. trowA�4
�Vi bi F e'!�r
A notary public or other officer completing this certificate verifies only the
identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
On October 12, 2020 , before me, Dorothy Giacalone ,Notary Public,
personally appeared David Canseco , who proved to me on the basis of satisfactory
evidence to be the person(s)whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
I certify UNDER PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Name: Dorothy Giacalone
Notary Public
0DOROTHY G ACALONE
COMM. #2297837 to
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NOTARY PUBLIC•CALIFORNIA c
SAN DIEGO COUNTY.
ommission x ires Au .16 2023
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ORDER NO. : 0120028434
EXHIBIT A
The land referred to is situated in the County of Santa Clara, City of Cupertino, State of
California, and is described as follows:
PARCEL ONE:
Unit 315, as shown on the Condominium Plan recorded September 6, 2007, as Document No.
19576335, Official Records, as amended by document recorded August 29, 2008 as Document
No. 19976841 of Official Records ("Plan") and described and defined in the Declaration of
Covenants, Conditions and Restrictions recorded June 23, 2008, as Document No. 19893757, of
Official Records together with any amendments, modifications, or annexations thereto, as may
occur from time to time ("Declaration"), being a portion of Lot 1 as shown on the Map entitled
"Tract 9729", filed September 21, 2005, in Book 791 of Maps, at Pages 43 and 44, Santa Clara
County Records.
PARCEL TWO:
An undivided 2.18% interest in and to the Building Common Area as shown, described and
defined in the Plan and the Declaration.
RESERVING THEREFROM, exclusive easements appurtenant to each unit for the use, occupancy
and possession of the restricted common areas which are shown on the plan, as said
easements are provided for in the Declaration.
PARCEL THREE:
Exclusive easements appurtenant to Parcel One above for the use, occupancy and possession of
the Patio, Deck and Garage Space/s shown as "PT", "D" and "G" and the corresponding unit
number on the plan, as is applicable, together with the additional restricted common areas set
forth in Section 2.2C of the Declaration, as said easement(s) is/are provided for in the
Declaration.
PARCEL FOUR:
Non-exclusive easements over the Association Common Area, as set forth in the Declaration.
APN: 326-26-071
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