21-082 Subordination Agreement (City to Lender), 19503 Stevens Creek Blvd #159, APN 316-49-043RECORDING 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
""This document was electronically submitted
to Santa Clara County for recording"
25036523
Regina Alcomendras
Santa Clara County - Clerk -Recorder
07/21/2021 11:48 AM
Titles:1 Pages:11
Fees: $0.00
Tax: $0
Total: $0.00
(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
If PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY
THAN THE LIEN OF SOME OTHER OR LATER SECURITY
INSTRUMENT AND RESTRICTIVE COVENANTS.
f�
THIS SUBORDINATION AGREEMENT (the "Agreement") is entered into as of
2021, by and among the City of Cupertino, a municipal corporation (the
"City"), Li -Chen hen, an unmarried woman (the "Owner") and All California Mortgage,_a
Division of American Pacific Mortgage Corporation (the "Lender").
RECITALS
A. Owner is the fee simple owner of that certain real property located at 19503
Stevens Creek Blvd #159, 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 September 10,
2009, by and between City and the Owner, and recorded in the official records of Santa Clara
County (the "Official Records") on September 10, 2009 as Document No. 20428500, as amended
by the First Amendment dates as of April 23, 2019, and recorded on May 7, 2019 as Document
No. 24173502;
FS698Z9Z\601176i
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.
fti
THIS SUBORDINATION AGREEMENT (the "Agreement") is entered into as of J
2021, by and among the City of Cupertino, a municipal corporation (the
"City"), Li -Chen dhen, an unmarried woman (the "Owner") and All California Mortgage=a
Division of American Pacific Mortgage Corporation (the "Lender").
RECITALS
A. Owner is the fee simple owner of that certain real property located at 19503
Stevens Creek Blvd #159, 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 September 10,
2009, by and between City and the Owner, and recorded in the official records of Santa Clara
County (the "Official Records") on September 10, 2009 as Document No. 20428500, as amended
by the First Amendment dates as of April 23, 2019, and recorded on May 7, 2019 as Document
No. 24173502;
394\09\2528698.1
(ii) That certain Deed of Trust dated as of September 1, 2009, 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 September 10, 2009
as Document No. 20428501.
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 November 17, 2017 and recorded on
November 30, 2017 against the Property as Instrument No. 23815371 in the Official Records
(the "First Loan Deed of Trust").
D. Lender has agreed to refinance the First Loan in an amount not to exceed Two
Hundred T ' . Thousand Dollars ($230,000), at a fixed interest rate of Two and Three -
Hundred Seventy -Five Thousandths percent (2.375%) per annum, for a term of fifteen (15)
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 "Le der Note"), and secured by a deed of trust (the
"Lender Deed of Trust") dated as of , 2021, and recorded concurrently
herewith in the Official Records. The Lender Noe and the Lender Deed of Trust are hereinafter
collectively referred to as the "Lender Documents."
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.
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
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,
ki'Z��Ii�F�f
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
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.
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.
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]
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:
CITY OF CUPERTINO, a municipal corporation
By: t��S=
Name: Greg Larson
Its: Interim City Manager
LENDER:
All California Mortgage, a Division of American
Pacific Mortgage Corporation
SIGNED IN COUNTERPART
Name:
Its:
CI]VAT/►1 Il:i�
SIGNED IN COUNTERPART
Li -Chen Chen
394\09\2528698.1
4
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:
19/
a0u,9'?j�, OWNER:
�t
CITY OF CUPERTINO, a municipal corporation
By:
Name: Gr g Larson
Its: Interim City Manager
LENDER:
All California Mortgage, a Division of American
Pacific Mortgage Corporation
By:
Name: Steven Summerlot
Its:
VP of Capital Markets
394\09\2529698.1
SIGNED IN COUNTERPART
Li -Chen Chen
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:
CITY OF CUPERTINO, a muni ' l corporation
By:
Name: Greg Larson
Its: Interim City Manager
LENDER:
All California Mortgage, a Division of American
Pacific Mortgage Corporation
SIGNED IN COUNTERPART
ram
Its:
OWNER:
v
Li -Chen Chen
394\09\2528698.1
4
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 Santa Clara
On July 15, 2021 , before me, Kirsten Squarcia , Notary Public,
personally appeared Greg Larson , who proved to me on the basis of satisfactory
evidence to be the person( whose named is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(jeg),
and that by his/her/their signature(s) on the instrument the personfA, or the entity upon behalf of
which the pe sr orb 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.
KIRSTEN SQUARCIA
Notary Public - California
z _ Santa Clara County
Z Commission k 2257322
My Comm, Expires Oct 4, 2022
Name: <i --.r
Notary Public
5
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 Placer
On July19 2021 , before me, J. Harwood , Notary Public,
personally appeared Steven Summerlot , 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: - L4,�fl�,�0(7
4
Notary Public
J. HARWOOD
Notary Public - California l
Z Placer
z � - County a
4 Commission » 2304056
My Comm. Expires Sep 6, 2023
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 ag
On 21g) , before me, C. V. Gage, Notary Public , Notary Public,
personall ppeared t .i W M CkM , who proved to me on the basis of satisfactory
evidence to be the person(s� whose name>) is/atesubscribed to the within instrument and
acknowledged to me that Vshe/t�y executed the same in 111s/her/tWiir authorized capacity(ips<
and that by hV erhhepit signature( on the instrument the persono, or the entity upon behalf of
which the personKacted, 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.
�r
_. Noury Public
V. GAGE Name: C. age,
S.
commission # 2303769 ro
ry Notary Public
,eyu .a1 Nota .Public - California
Santa Clara County
;;,. My Comm. Exp: SEP24 2023
ORDER NO.: 0436028937
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 NO. 159 LOCATED IN BUILDING B, AS DEPICTED UPON THAT CERTAIN CONDOMINIUM
PLAN FOR METROPOLITAN AT CUPERTINO (THE "PLAN") WHICH PLAN IS ATTACHED AS
EXHIBIT A TO THE DECLARATION OF COVENANTS AND RESTRICTIONS ESTABLISHING A PLAN
FOR CONDOMINIUM OWNERSHIP FOR METROPOLITAN AT CUPERTINO (THE "DECLARATION")
WHICH DECLARATION RECORDED DECEMBER 1, 2005 AS DOCUMENT NO. 18700161,
OFFICIAL RECORDS, SANTA CLARA COUNTY, SAID UNIT AND BUILDING BEING SITUATED ON
LOT 1 AS SAID LOT IS SHOWN UPON THAT CERTAIN MAP ENTITLED "TRACT NO. 9655",
WHICH MAP WAS FILED IN THE OFFICE OF THE RECORDER, COUNTY OF SANTA CLARA,
STATE OF CALIFORNIA ON JANUARY 27TH IN BOOK 780 OF MAPS, AT PAGES 40 AND 41.
PARCEL TWO:
AN UNDIVIDED PERCENTAGE INTEREST IN THE BUILDING B - BUILDING COMMON AREA IN
WHICH THE CONDOMINIUM UNIT DESCRIBED IN PARCEL ONE ABOVE IS LOCATED, AS
DEPICTED ON THE PLAN AND AS DEFINED ON THE DECLARATION AND AS SAID UNDIVIDED
INTEREST IS SET FORTH IN EXHIBIT E ATTACHED THERETO.
EXCEPTING THEREFROM THE FOLLOWING:
ALL THE CONDOMINIUM UNITS DEPICTED ON THE PLAN AND DEFINED IN THE DECLARATION
OTHER THAN THE UNIT DESCRIBED IN PARCEL ONE ABOVE.
THE EXCLUSIVE USE COMMON AREAS AS DEFINED IN THE DECLARATION AND THE EXHIBITS
ATTACHED THERETO, AND AS DEPICTED ON THE PLAN WHICH ARE SET ASIDE AND
ALLOCATED FOR THE EXCLUSIVE USE OF THE OWNERS OF CONDOMINIUMS OTHER THAN
THE CONDOMINIUM UNIT DESCRIBED IN PARCEL ONE ABOVE,
NON-EXCLUSIVE EASEMENTS FOR INGRESS, EGRESS, SUPPORT, ENCROACHMENT, USE,
ENJOYMENT AND RIGHTS OVER, UNDER, UPON AND THROUGH THE COMMON AREAS
APPURTENANT TO ALL UNITS AS SAID EASEMENTS AND RIGHTS ARE DEFINED IN THE
DECLARATION.
PARCEL THREE:
THE EXCLUSIVE RIGHT TO THE USE, POSSESSION AND ENJOYMENT OF THE EXCLUSIVE USE
COMMON AREAS APPURTENANT TO PARCEL ONE ABOVE, AS DEFINED IN THE DECLARATION
AND THE EXHIBITS ATTACHED THERETO AND AS DEPICTED ON THE PLAN WHICH ARE SET
ASIDE AND ALLOCATED FOR THE EXCLUSIVE USE OF THE OWNER OF THE UNIT TO WHICH
THEY ARE ATTACHED OR ASSIGNED.
PARCEL FOUR:
A NON-EXCLUSIVE EASEMENT FOR INGRESS AND EGRESS, SUPPORT, ENCROACHMENT, USE,
ENJOYMENT AND RIGHTS OVER, UNDER, UPON AND THROUGH THE COMMON AREAS AS
SHOWN ON THE PLAN AND DEFINED IN THE DECLARATION.
APN: 316-49-043