2469 CDBG Reconstruction Agreement 1407 W 12th StSTENSTROM, McINTOSH, COLBERT & WHIGHAM, P.A.
ATTORNEYS AND COUNSELORS AT LAW
WILLIAM L. COLBERT
300 INTERNATIONAL PARKWAY
LONNIE N. GROOT
FRANK C. WHIGHAM
DAVID W. HALL
SUITE 100
STACEY R. SPRINGER
KENNETH W. MCINTOSH
LAKE MARY, FLORIDA 32746
-RETIRED-
PHONE: (407) 322-2171
ROBERT K. MCINTOSH
FAX: (407) 330-2379
-RETIRED-
WWW.STENSTROM.COM
r�
March 2, 2023
City of Sanford
Attn: Traci Houchin, MMC, FCRM, City Clerk
300 North Park Avenue
Sanford, Florida 32771
Re: Sale of real property located at 1407 West 12th Street, Sanford, Florida 32771 to
Edgar Olvin Gathers
Dear Madam City Clerk:
Please find enclosed the below listed documents:
> copy of the recorded Warranty Deed with Resolution;
> original recorded City of Sanford Community Development Block Grant
Mortgage Loan and Promissory Note Agreement and Reconstruction
Agreement (1407 West 12th Street Property); and
> original Owner's Policy of Title Insurance.
This completes this matter. As always, it is our pleasure to be of assistance to the City.
Sincerely,
STENSTROM, McINTOSH, COLBERT & WHIGHAM, P.A.
��aoziel�e
Danielle LaVerde, Real Estate Paralegal to Lonnie N. Groot, Assistant City Attorney
Enclosures
SERVING CENTRAL FLORIDA
—SINCE 1954 —
Prepared by and Return to:
Lonnie N. Groot, Esquire
Stenstrom, McIntosh, Colbert & Whigham, P.A.
300 International Parkway, Suite 100
Lake Mary, Florida 32746
(Not the preparer of the legal
description attached hereto)
GRANT MALOY, SEMINOLE COUNTY
CLERK OF CIRCUIT COURT & COMPTROLLER
CFN# 2023015038 Bk: 10392 Pg:274-282(9Pgs)
REC: 02/17/2023 2:15:15 PM by cjones
RECORDING FEES $78.00
DEED TAX $490.00
Ij
Parcel ID: 26-19-30-505-0600-0030
WARRANTY DEED
9
h �0
THIS WARRANTY DEED made the 14th day of February, 2023, by the CITY OF
SANFORD, a Florida municipal corporation, (hereinafter referred to as "Grantor") to
EDGAR O. GAT KERS (hereinafter referred to as "Grantee") whose address is 1407
West 12th Street, Sanford, Florida 32771.
WITNESSETH:
THAT GRANTOR, for and in consideration of the sum of Ten Dollars and no/100
($10.00), and other valuable considerations, the receipt and sufficiency of which is hereby
acknowledged, hereby grants, bargains, sells, aliens, remises, releases, conveys, and
confirms unto Grantee all that certain land situate in Seminole County, Florida, viz:
Lot 3, Block 6, Meischs, according to the map or plat thereof,
as recorded in Plat Book 3, Page(s) 84, of the Public Records
of Seminole County, Florida.
(hereinafter referred to as the "Property").
GRANTOR hereby specifically releases and abandons any and all reversion,
automatic reservation and right of entry including, but not limited to, mineral rights vested
in the City of Sanford by virtue of the provisions of Section 270.11, Florida Statutes, or
any other controlling law or legal principle.
SUBJECT TO easements, restrictions and reservations of record, if any.
However, this reference shall not serve to reimpose same.
TOGETHER with all the tenements, hereditaments, and appurtenances thereto
belonging or in anywise appertaining.
TO HAVE AND TO HOLD, the same in fee simple forever.
Tax Parcel Identification Number: 26-19-30-505-0600-0030
1(13Pgs)
GRANT MALOY, SEMINOLE COUNTY
CLERK OF CIRCUIT COURT & COMPTROLLER
CFN# 2023015039 Bk: 10392 Pg:283-295(13Pgs)
REC: 02/17/2023 2:15:16 PM by cones
RECORDING FEES $112.00
MTG DOC TAX $1,050.00
INTANG TAX $600.00
CITY OF SANFORD COMMUNITY DEVELOPMENT BLOCK GRANT
MORTGAGE LOAN AND PROMISSORY NOTE AGREEMENT AND
RECONSTRUCTION AGREEMENT (1407 WEST 12TH STREET PROPERTY)
THIS AGREEMENT, as titled above (hereinafter "Agreement"), is made and entered
into this 0" day of January, nunc pro tunc to the date of the attached grant agreement, 2022,
by and between Edgar O. Gathers, whose address is 1407 West 12th Street, Sanford,
Florida 32771, (hereinafter referred to as the "Owner" whether owned inidividually, jointly or
by the entirety, or sometims the "Borrower"), and the CITY OF SANFORD, a municipality of
the State of Florida, whose address is City Hall, 300 North Park Avenue, Sanford, Florida
32771, (hereinafter referred to as "City" or the "Lender").
WITNESSETH:
WHEREAS, the City of Sanford is a body corporate and politic established under the
Florida Constitution and the Laws of Florida and is authorized to, among other things, accept
and administer grants from State and Federal authorities to enhance the quality of life in the
City of Sanford and for its residents and property owners; and
WHEREAS, the City has made application, submitted a plan for receipt of
Community Development Block Grant ("CDBG") Reconstruction Funding Program funds
and has accomplished all actions in that regard in accordance with the controlling
provisions of law; and
11Page
Re-recorded since the Mortgage recorded at Official Records Book 10377, Page 1119, Public Records of
Seminole County, Florida was recorded prior to the Deed into the Mortgagor, which was recorded at Official
Records Book (Or't2 , Page' , Public Records of Seminole County, Florida
Return after recording to:
Traci Houchin, MMC, FCRM
City Clerk
City of Sanford
Post Office Box 1788
Sanford, Florida 32772
Prepared by:
William L. Colbert, Esquire
Stenstrom, McIntosh, Colbert & Whigham, P.A.
300 International Parkway
\.
Suite 100
Lake Mary, Florida 32746
Tax Parcel Identification Number: 26-19-30-505-0600-0030
1(13Pgs)
GRANT MALOY, SEMINOLE COUNTY
CLERK OF CIRCUIT COURT & COMPTROLLER
CFN# 2023015039 Bk: 10392 Pg:283-295(13Pgs)
REC: 02/17/2023 2:15:16 PM by cones
RECORDING FEES $112.00
MTG DOC TAX $1,050.00
INTANG TAX $600.00
CITY OF SANFORD COMMUNITY DEVELOPMENT BLOCK GRANT
MORTGAGE LOAN AND PROMISSORY NOTE AGREEMENT AND
RECONSTRUCTION AGREEMENT (1407 WEST 12TH STREET PROPERTY)
THIS AGREEMENT, as titled above (hereinafter "Agreement"), is made and entered
into this 0" day of January, nunc pro tunc to the date of the attached grant agreement, 2022,
by and between Edgar O. Gathers, whose address is 1407 West 12th Street, Sanford,
Florida 32771, (hereinafter referred to as the "Owner" whether owned inidividually, jointly or
by the entirety, or sometims the "Borrower"), and the CITY OF SANFORD, a municipality of
the State of Florida, whose address is City Hall, 300 North Park Avenue, Sanford, Florida
32771, (hereinafter referred to as "City" or the "Lender").
WITNESSETH:
WHEREAS, the City of Sanford is a body corporate and politic established under the
Florida Constitution and the Laws of Florida and is authorized to, among other things, accept
and administer grants from State and Federal authorities to enhance the quality of life in the
City of Sanford and for its residents and property owners; and
WHEREAS, the City has made application, submitted a plan for receipt of
Community Development Block Grant ("CDBG") Reconstruction Funding Program funds
and has accomplished all actions in that regard in accordance with the controlling
provisions of law; and
11Page
Re-recorded since the Mortgage recorded at Official Records Book 10377, Page 1119, Public Records of
Seminole County, Florida was recorded prior to the Deed into the Mortgagor, which was recorded at Official
Records Book (Or't2 , Page' , Public Records of Seminole County, Florida
WHEREAS, the City has been awarded requested funding to be used in accordance
with the controlling requirements of law; and
WHEREAS, the Owner has submitted an application for financial assistance to the
City in order address a crucial immediate reconstruction work needs relative to the Owner's
real property the description of which and the elements of reconstruction work which are
subsequently described herein; and
WHEREAS, the City has evaluated the Owner's application for said financial
assistance and finds that the Owner Is qualified for such assistance in accordance with
the requirements of controlling law and hereby evidences the City's approval of the
application by entering this Agreement as an objective of the CDBG Program is the
development of viable urban communities by providing decent housing, a suitable living
environment, and expanding economic opportunities for low and moderate -income
individuals; and
WHEREAS, the aforestated objective includes providing support for public
facilities that house programs that serve low -to -moderate income persons; and
WHEREAS, the Borrower has benefited from a project funded by the City as set
forth herein; and
WHEREAS, the Borrower wishes to borrow CDBG funds from the City to improve
a home in which he will live as a qualified person for the funding which homeplace may
only be owned by a person equally qualified under controlling law and CDBG funding
requirements.
NOW, THEREFORE, the parties, in reliance upon the foregoing recitals and in
consideration of the mutual promises and covenants set forth herein, agree as follows:
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Section 1. Recitals. The statements contained in the recitation of facts set forth
above are true and correct and are hereby incorporated in and made part of this
Agreement upon which the parties hereto have relied.
Section 2. Purpose. The purpose of this Agreement is to set forth the mutual
performance obligations and responsibilities of the City, as Lender, and the Owner, as
Borrower, in regard to the reconstruction work to be accomplished upon the Owner's real
property and the scope of the reconstruction work of which is being funded by the City.
Section 3. Amount Of Loan.
The City agrees under the terms and conditions of the loan provided for in this
Agreement, in the principal amount of three hundred thousand AND NO/100 DOLLARS
($300,000) and that it shall maintain on hand such sum to pay for the agreed upon
reconstruction work to and at the Owner's real property. Such sum shall be paid directly
to the reconstruction work contractor, as invoiced.
Section 4. Promise To Pay.
In exchange for the value received in the form of the loan, the Borrower promises
to pay the City, its successors or assigns, as Lender, the sum of three hundred thousand
AND NO/100 DOLLARS ($300,000). The Borrower hereby waives all benefit or
advantage to which it may be entitled to by virtue of any homestead or other exemption
law now or hereafter in force in the State of Florida. Payments shall be made in
accordance with the 20 -year declining balance amortization schedule attached as an
exhibit hereto. If the Borrower should lose eligibility at any time during the 20 -year
declining balance amortization period, the total amount remaining to be due at the time
of the loss of eligibility, as determined by the City in all respects, shall immediately be due
and payable and subject to any collection proceeding available to the City under
controlling law. The Owner had 3 business days after the entry of this Agreement to
3 1 P a g e
be subject to the provisions of the Agreement but shall remain subject to the terms and
conditions of all other agreements with the City.
Section 5. Option To Forgive Any Or All Of The Loan Amount.
The City may forgive all or part of the loan amount in accordance with the declining
balance amortization schedule attached as an exhibit hereto. Forgiveness for any portion
of the loan amount will only occur upon continued use by Borrower of the facility to benefit
low- and moderate -income City residents in the manner proposed by Borrower in their
CDBG application and in compliance with the terms of the Grant Award Agreement.
Section 6. Conditions Of Loan; Promissory Note.
This Loan is secured by this Loan and Agreement.
Section 7. Compliance With Application And Award Agreement.
(a). Borrower submitted an application for CDBG funds, which was approved by
the City. Borrower has also executed a Grant Award Agreement with the City setting forth
all of the obligation and responsibilities of the Borrower in accepting CDBG funds.
Borrower's application for CDBG assistance and the Grant Award Agreement are
incorporated into this Agreement by this reference and the representations made in the
application are binding upon the Borrower. If the Borrower undertakes activities not
represented in its application or the Grant Award Agreement, this Agreement may be
subject to termination. Borrower agrees to comply with all CDBG program requirements
as well as the provisions of controlling law.
(b). The Borrower will remain fully obligated under the provisions of this
Agreement notwithstanding its designation of any third party or parties with written
approval of the City for the undertaking of all or any part of the CDBG program with
respect to which assistance is being provided under this Loan Agreement. The Borrower
shall comply with all applicable laws, rules and regulations of the City, the
4 1 P a g e
State of Florida, and the United States Government and with all lawful requirements of
the City so as to ensure that this Agreement is carried out in accordance with the
obligations and responsibility of the City to the United States Government, in general, and
.the relevant agencies of the Federal Government, in particular.
(c). The Borrower agrees and acknowledges that it must comply with all
insurance requirements set forth in the requirements of the City in order to protect the
real property relative to which this Agreement applies..
Section 8. Right to Enter and Inspect. The City reserves the right to enter or visit
the Owner's Property at any reasonable time to inspect and verify for any reason within the
sound discretion of the City. Denials of entry and inspection rights shall be a breach of this
Agreement and, at the sole determination of the City, could serve to result in a recapture of
funds.
Section 9. Owner's Indemnification and Release.
(a). The Owner, for his self, and on behalf of all occupants and users of the
Property of the Owner, individually and collectively, does hereby release and discharge
the City, its officials, agents, officers and employees, from any and all claims, demands,
grievances and causes of action of every kind and type of whatsoever nature including,
but not by way of limitation, all liability for property damages and personal injury of every
kind, nature, or description arising or which may arise hereafter from the City funded
reconstruction work being performed on the Owner's Property.
(b). The Owner and any and all occupants and users further agree to indemnify
and hold harmless the City, its agents, officers and employees from any and all claims,
demands, defalcation, dishonesty and causes of action of every kind and nature by third
parties for damages to persons or property, costs, charges and expenses, including
attorneys' fees, which may arise out of, by reason of, or in any manner grow out of the
5 1 P a g e
reconstruction work that is the subject of this Agreement as well as any and all fraud,
defalcation, dishonesty, the activities of the reconstruction work contractor or its
subcontractors, as well as the Owner's and occupants' own use or misuse of the Owner's
Property irrespective of intent or negligence whether actual, imputed or claimed.
(c). This Section and the covenants of the Owner in this Agreement shall survive
expiration of this Agreement and shall run with title to the Owner's Property consistent with
the provisions hereof.
Section 10. Recapture Of Funds.
(a). The Owner shall be liable for recapture of funds spent by the City on the
Owner's behalf if any representation made by the Owner in this Agreement or any
application for funding shall at any time be false or misleading in any respect, or if the Owner
is found in non-compliance with laws, rules or regulations governing the use of the funds
provided pursuant to this Agreement.
(b). This Agreement may be terminated by the written mutual consent of both
parties.
Section 11. Records: Meetings.
(a). All contracts, correspondence, memoranda and other documents
accumulated, acquired, prepared, or received by the parties hereto created by this
Agreement shall be maintained as public records to the extent required by law. This Section
shall survive termination or expiration of this Agreement. The OWNER shall cooperate with
the CITY in order to ensure that all pertinent public records are appropriately created and
maintained. To that end:
IF THE OWNER HAS QUESTIONS REGARDING THE
APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO
THE OWNER'S DUTY TO PROVIDE PUBLIC RECORDS
RELATING TO THIS AGREEMENT, CONTACT THE
6l Page
CUSTODIAN OF PUBLIC RECORDS AT (407) 688-5012,
TRACI HOUCHIN, CMC, FORM, CITY CLERK, CITY OF
SANFORD, CITY HALL, 300 NORTH PARK AVENUE,
SANFORD, FLORIDA 32771,
TRACI.HOUCHIN@SAN FORDFL.GOV.
(b). All actions taken by the City relative to the implementation of this Agreement
and related matters shall be subject to open government provisions of Florida law.
Section 12. No Third Parties Beneficiaries. This Agreement shall inure to the
benefit of the parties to this Agreement and is for the exclusive benefit of said parties. This
Agreement shall not be deemed to be made for the benefit of any other entity or person not
so specified, including specifically, but not limited to the selected reconstruction work
contractor.
Section 13. Compliance with Federal, State, County and Local Laws. The
parties shall comply with all Federal, State, County and local laws, regulations, ordinances
and health and safety rules and regulations at all times. Without limiting the generality of the
foregoing, the Owner covenants and agrees to adhere to all applicable CDBG program
regulations, policies, procedures and laws regulating the loan made herein.
Section 14. Events Of Default.
(a). If any of the following events occur, the City may, in its sole discretion, declare
such event a default under this Loan Agreement:
(i). Any representation or warranty made by the Borrower in this
Agreement or in any request or certificate or other information furnished
to the City hereunder proves to have been incorrect in any material
respect.
(ii). The Borrower fails in any material respect to carry out its obligations
under its agreements with the City for the loan provided hereunder.
7 1 P a g e
(iii). The Borrower defaults in maintaining eligibility under the CDBG
program relating to this Agreement.
(iv). The Borrower applies for or consents to the appointment of a
receiver, trustee or liquidator, admits in writing to its inability to pay its
debts as they become due, makes a general assignment for the benefit
of creditors, or invokes any relief under any chapter of the United States
Bankruptcy Code.
(v). The Borrower fails to execute any documents necessary to make
the City secure in its financial position as stated in this Agreement.
(vi). The Borrower violates any term, assurance, or conditions of this
Agreement.
(b). In the event the Borrower fails to make timely payments under this Agreement
or perform any of the covenants on its part or any event of default occurs as stated above,
the City may declare the Borrower to be in default and thereafter give the Borrower written
notice setting forth the action or inaction which constitutes the default and giving the
Borrower 30 days in which to correct the default. If the Borrower fails to correct the default
within 30 days of receipt of this notice, the City may notify the Borrower in writing that the
full balance due upon this Agreement is then due and payable in full within 60 days.
(c). In addition, the City, with or without declaring all Loan repayments
immediately due and payable, may take whatever action to collect the Loan repayment then
due, or to enforce the performance and observation of any obligation of the Borrower under
this Agreement.
(d). It is agreed by the parties hereto that the provisions of this Agreement provide
for reasonable and sufficient notice to be given to the Borrower in case of the Borrower's
8l Page
failure to perform any of its covenants and that this notice is sufficient for the Borrower to
rectify its actions or inactions of default.
(e). Any waiver by the City of any default by the Borrower does not constitute a
waiver of a continuing breach or a waiver of a subsequent breach. Any agreement contrary
to this Agreement is not binding upon either party hereto unless it is in writing and executed
by both parties
Section 15. Governing Law and Venue. This Agreement is to be constructed in
accordance with the laws of the State of Florida. Venue for any cause of action or claim
asserted by either party hereto brought in State courts shall be in Seminole County, Florida.
Venue for any action brought in Federal court shall be in the Middle District of Florida,
Orlando Division, unless a division shall be created in Seminole County in which case action
shall be brought in that division.
Section 16. Notification.
(a). All notices, requests, demands, or other written communications hereunder
shall be in writing and shall be deemed to have been served as of the delivery date
appearing upon the return receipt if sent by certified mail, postage prepaid, with return
receipt requested at the address listed below, or upon the actual date of delivery, if hand
delivered, to the address below. Either party may change the below -listed address at which
it receives written notices by so notifying the other party hereto in writing.
For The City:
Ms. Edwige "Eddie" Josue
CDBG Program Manager
City of Sanford
300 North Park Avenue
Sanford, Florida 32771
; rol 11ITWOT=
Edgar O. Gathers
91 Page
1407 West 12th Street
Sanford, Florida 32771
(b). The parties shall give the other party prompt notice of any material event or
claim coming to its knowledge which directly or indirectly effects the other party.
Section 17. Electronic Signatures. This agreement, ancillary to this agreement,
and related documents .entered into in connection with this agreement are signed when
a party's signature is delivered by facsimile, e-mail, or other electronic medium. These
signatures must be treated in all respects as having the same force and effect as original
signatures.
Section 18. Waiver. No act or omission or commission of either party, including
without limitation, any failure to exercise any right, remedy, or recourse shall be deemed to
be a waiver, release, or modification of the same. Such a waiver, release, or modification is
to be effected only through a written modification to this Agreement.
Section 19. Funding. The source of City funding for this Agreement shall be solely
from the funds described herein and no other.
Section 20. Headings. The paragraph headings are inserted herein for
convenience and reference only and in no way define, limit, or otherwise the scope or intent
of any provisions hereof.
Section 21. Counterparts. This Agreement may be executed in one or more
counterparts, each of which may be executed by less than all of the parties to this
Agreement, but all of which shall be construed together as a single instrument.
Section 22. Assignment. This Agreement may not be assigned by the Owner
without the consent of the CITY, which consent shall be at the sole discretion of the City.
Section 23. Exhibits. Any and all exhibits to this Agreement shall be deemed to be
incorporated into this Agreement as if fully set forth verbatim into the body of this Agreement.
101 Page
Section 24. Recording And Lien; Ratification Of Prior Acts; Interpretation Of
Agreement.
(a). This Agreement shall be recorded in the Official Records (Land Records) of
Seminole County and shall constitute a lien on the subject real property in favor of the City
and the City may require the Owner to execute any and all documents that the City may
require in order to protect the interest of the City as the City may deem appropriate in its
sole and exclusive discretion.
(b). This Agreement shall be subject to the provisions of the after acquired title
doctrine.
(c). All prior acts of the City and the Owner relative the matters set forth herein,
and any and all associated matters, are hereby ratified and affirmed including, but not limited
to, reconstruction work that has been commenced and completed to date.
(d). This Agreement shall be interpreted and construed in pari materia as to all
terms and conditions hereof and with regard to the prior agreements entered into between
the City and the Owner relating to the matters and real property as set forth herein.
Section 25. Amendments. This Agreement may be altered, amended, extended,
modified and/or revised only by a written instrument subsequently executed by the parties
to this Agreement.
Section 26. Severability. Should any section or part of any section of this
Agreement be rendered void, invalid, or unenforceable by any court of law, for any reason,
such a determination shall not render void, invalid, or unenforceable any other section or
any part of any section of this Agreement.
Section 27. Entire Agreement. Consistent with the provisions hereof, this
Agreement constitutes the complete, full and wholly independent agreement among the
parties to this Agreement with regard to the matters contained herein. This Agreement also
111Page
supersedes all prior representation, statements and understandings among the parties to
this Agreement with respect to the matters and things addressed herein, either written or
oral.
IN WITNESS WHEREOF, the parties hereto have executed this instrument on the
date first above written.
Attest.
CITY OF SANFORD
Noeny N �� �� �����( By: Norton �oha��-te,E 7�
Traci Houchin, MMC, FCRM �: rIorfnaN. Bonaparte, Jr., ICMA- CM
City Clerk
4 '' Date: 'Jah80,2023
Approved as to form and legal sufficier by.,;�-< }
A V� ;�J�1!
s
William L. Colbert City Attorney
ADDITIONAL SIGNATURE BLOCK FOLLOWS ON NEXT PAGE:
121 Page
Witness
Sigh ture ,
Printed Name: /�S�I ��i%f��/n i
f�
By: �J(;10&- A_ �-ukg"�
Signature
Printed Name: 1evc Jo ,lei I I -c
STATE OF FLORIDA
COUNTY OF SEMINOLE
OWNER
By:
Signature
Edgar O�a�hers
Date: 1, 3
HEREBY CERTIFY that on this day, before me, an officer duly authorized to
administer oaths and take acknowledgments, personally appeared Edgar O. Gathers
❑ who is personally known to me or a who produced I as
identification and acknowledged before me that he executed the same. Sworn and
subscribed before me by Edgar O. Gathers by means of { } physical presence or { } online
notarization and who is personally know by me on this _ day of January, 2023, the said
person(s) did take an oath and was first duly sworn by me, on oath, said person, further,
deposing and saying that he has read the foregoing and that the statements and
allegations contained herein are true and correct.
WITNESS my hand and official seal in the County and State last aforesaid this _
day of January, 2023.
ELNETTETORRES
+: * MY COMMISSION # HH 290044
F °j EXPIRES: July 30, 2026
., qF F•
131 Page
Notary Public; State of Honda
(Affix Notarial Seal