2019 Loan Subsidy Nation Oak AvePrepared by:
David Hall, Esquire
Stenstrom, McIntosh, Colbert & Whigham, P.A.
1001 Heathrow Park Lane
Suite 4001
Lake Mary, Florida 32746
(407)322-2171
Return to:
Sonia Fonseca, Executive Director
Community Redevelopment Agency
City of Sanford
300 North Park Avenue
Sanford, Florida 32771
(407)562-2820
GRANT MALOY, SEMINOLE COUNTY
CLERK OF CIRCUIT COURT & COMPTROLLER
CFN# 2020018343 Bk:9540 Page:409-116 (813gs)
REC: 02/18/2020 10:36:30 AM by hdevore
RECORDING FEES $69.50
CITY OF SANFORD LOAN SUBSIDY AGREEMENT AND GRANT OF
LIENHOLD INTEREST RELATING TO NATION OAK AVENUE I, LLC.
THIS LOAN SUBSIDY AGREEMENT AND GRANT OF LIENHOLD INTEREST
(hereinafter the "Agreement") is entered into this _15th_ day of March, 2019 by
NATION OAK AVENUE I, LLC, a Florida limited liability company, whose address is 570
Crown Oak Centre Dr., Longwood, Florida 32750, (hereinafter referred to as the
"OWNER"), and the CITY OF SANFORD, a Florida municipal corporation, whose
address is 300 North Park Avenue, Sanford, Florida 32772, (hereinafter referred to as
the "CITY")
This Agreement is for the benefit of the OWNER relative to the following
described real property (hereinafter the "Property") and the CITY shall have the rights
hereinafter set forth as to the Property: Tax Parcel Identification Number 25-19-30-5AG-
0405-0010. (See Exhibit "A" attached hereto for legal description of the Property)
The CITY hereby subsidizes the financing of the new construction efforts relative
to the redevelopment of the Property in the sum of up to, but no greater than, TWENTY
FIVE THOUSAND AND NO/100THS DOLLARS U.S. ($25,000.00), as part of a total
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project and loan that approximates FOUR HUNDRED FORTY SIX THOUSAND
DOLLARS AND NO/100THS DOLLARS U.S. ($446,000.00), said project involving
certain construction work on the Property. This subsidization being made under the
following terms and conditions:
(1). The actual amount awarded by the CITY to the OWNER shall be less the
charges incurred by the CITY for any draw inspections required by the CITY and all
recording fees that are associated with this matter and incurred by the CITY of
whatsoever type or nature.
(2). The purpose of this Agreement is to implement a program of the CITY, as
set forth in Ordinance Number 2009-4162, as codified in the City of Sanford City Code
at Section 2-369, which has been legislatively developed to encourage the renovation
and productive use of the Property which is located in the Sanford Lake Monroe
Waterfront and Downtown Sanford Community Redevelopment Area within the City
Limits of the City of Sanford and to assist business owners such as the OWNER to
redevelop properties located within the City of Sanford for the benefit of the public.
(3). The CITY's grant to the OWNER, as set forth herein, will provide a
subsidy to the OWNER to effectively reduce the interest rate on the OWNER's financing
which is necessary for funding the building construction and/or renovations/rehabilitation
occurring on the Property.
(4). The OWNER has obtained financing for the Property in order to assist in
the funding and implementation of the construction, renovation, and improvements on
the Property. The OWNER covenants and agrees that the status of title of the Property
is such that the CITY will have first and priority position as to any and all lienhold
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interests except as to the indebtedness of the OWNER to the Primary Lender identified
as N/A f'r
(5). The OWNER covenants and agrees that the financing from the CITY or
otherwise, shall be used, or has been used, solely relating to the renovation and
improvement of the Property and exclusively used for the purposes set forth in the
OWNER's grant application filed with the CITY relative to the Property which is deemed
to be incorporated into this Agreement by this reference thereto.
(6). The OWNER and the CITY agree that, in order to secure the use of the
public funds as set forth herein, the CITY shall have a lienhold interest relative to the
Property upon the recording of this Agreement in the Official Records (Land Records) of
Seminole County, Florida at the expense of the OWNER (to include, but not be limited
to, the payment of the documentary stamp tax and recording fees).
(7). The OWNER and the CITY agree that the amounts set forth above as the
CITY's financial supplementation of the construction, renovation/rehabilitation financing
shall be reduced annually, consistent with the terms of this Agreement, such that credits
shall occur and be implemented by equal amounts of reduction of the OWNER's
indebtedness to the CITY, for a period of ten (10) years and, during such period of time,
the CITY shall hold a declining balance lien upon the Property. The declining balance
calculation is 1/10"' of the grant amount reduced annually on the anniversary of the
issued Certificate of Occupancy for the project described in the OWNER's new
construction application filed with the Sanford Community Redevelopment Agency
("CRA") on January 31, 2019.
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(8). The OWNER accepts the funds set forth herein from the CITY for the
purposes herein stated. The OWNER hereby grants unto the CITY, in accordance with
the terms of this Agreement, a lien on the Property. Should the OWNER sell or transfer
title to the Property without completing the construction, renovations, improvements and
subsequent maintenance of the Property to the satisfaction of the CITY, the OWNER
shall repay said sums to the CITY upon demand of the CITY.
(9). The OWNER additionally covenants and agrees to the following terms and
conditions:
(a). To ensure that the work for the project set forth in the specifications
provided to the CITY, and by this reference made a part hereof, is completed in a good
and workmanlike manner and that all work shall be accomplished in strict conformance
with all applicable Federal, State, County and City codes, laws, regulations and
ordinances.
(b). To commence the specified work within 60 0/months)
and complete the work within one calendar year of the CRA award date, unless
otherwise agreed to by the parties in a written amendment of this Agreement executed
by all parties hereto.
(c). To ensure that all work on the project is bonded and guaranteed for a
period of at least one (1) year after completion against defects in workmanship and
materials.
(d). To hold the CITY harmless from and against any and all loss, cost,
damage and/or expense in any way related property damage, personal or physical
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injury occurring as a result of work done on the project and in any way relating to the
Property.
(e). To adhere to, and comply with, all terms and conditions of the grant
program of the CITY under which funds have been paid to the OWNER for the project
which terms and conditions are incorporated herein by this reference.
(f). Upon any sale or transfer of the Property, the OWNER shall immediately
notify the CITY of such sale or transfer and the OWNER will satisfy any outstanding
obligation as provided herein to the CITY prior to or at the closing of the sale or transfer
of the Property.
(g). Upon expiration or satisfaction of the CITY's lien, the OWNER shall be
entitled to request a satisfaction of the lien, in recordable form, from the CITY. The
expense and recordation of the satisfaction of lien shall be the responsibility of the
(h). Any failure by the OWNER to notify the CITY of the sale or transfer of the
Property or the failure of the OWNER to maintain the Property in compliance with CITY
codes and ordinances or the failure to satisfy the conditions of this Agreement shall
result in the total original principal amount (as set forth hereinabove) becoming
immediately due and payable to the CITY.
(i). Payments or correspondence required by this Agreement to or for the
CITY shall be directed to the CITY's Community Redevelopment Agency or its
successor.
In Witness Whereof, the said OWNER has signed and sealed these presents
the day and year first above written.
Page 5
SIGNATURE BLOCKS FOLLOW:
Owner/Nation Oak Avenue I, LLC
A0M11 2
Printed name of witness
Acknowledgment
State Of Florida )
County Of Seminole )
I hereby Certify that on this day, before me an officer duly authorized to
administer oaths and take acknowledgments, personally appeared Mark Nation as the
Manager of Nation Oak Avenue I, LLC, a Florida Limited Liability Company, who is
personally known to me or who produced
as identification and who did
execute the foregoing document under oath or affirmation.
Witness my hand and official seal in the County and State aforesaid this )61
day of
-Ica c� +^nom✓ A.D. 2019.
N tary Public, State of Florida
My Commission Expires
BETH H. WHITAKER
Woo1+Bu i&ON # (i(i 344951
,�" ...p:°`� Bonded iTxuitru Nofi�y PubBC20Un=wrlMti
Page 6
AGREEMENT BY THE CITY OF SANFORD
In Witness Whereof, the City of Sanford has signed and sealed these presents
the day and year first above written and agrees to the terms and con 'tions hereof.
Attest: CITY OF SANFORD
Traci Houchin
City Clerk
Approved As To Form
Ani
Attorney
Jeff Trip
�P+riPO.q.b
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APPROVAL FOR FUNDING BY COMMUNITY REDEVELOPMENT AGENCY
In Witness Whereof, the Community Redevelopment Agency of the City of
Sanford has approved the funding set forth in this Agreement and certifies that the
funding is consistent with the Community Redevelopment Plan and that funds may be
lawfully drawn from the Community Redevelopment Trust Fund.
Attest:
onia Fonseca, Executive Director
Approved:
Cynt is in say, Treasurer
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CITY OF SANFORD COMMUNITY
REDEVELOPMENT AGENCY
Charles Dav,is� irperson
Date:L
EXHIBIT "A"
(Legal Description)
Lots 1, 2, 3, 6, 7, 8, and 9, BLOCK 4, TIER 5, E.R. TRAFFORD'S MAP
OF THE TOWN OF SANFORD, according to the plat thereof as recorded
in Plat Book 1, Pages 56 through 64, Public Records of Seminole County,
Florida, together with former railroad right-of-way located to the East of
said Lots 6, 7, 8 and 9 and to the West of said Lots 1, 2, and 3, all in
BLOCK 4, TIER 5, E.R. TRAFFORD'S MAP OF THE TOWN OF
SANFORD, according to the Plat thereof, as recorded in Plat Book 1,
Pages 56 through 64, Public Records of Seminole County, Florida.
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