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21-233 Subordination Agreement, (City to Lender) Irene Nizaov, 19503 Stevens Creek Blvd #225City of Cupertino 10300 Torre Ave. Cupertino, CA 95014 IVE.D 0 00 T 13 2021 City Attorney's office RLCORDtNG REQUESTED BY CHICAGO TITLE RECORDING REQUESTED BY AND WHEN RECORDED MAIL DOCUMENT TO: NAME City of Cupertino/Attn: City Manager STREET ADDRESS 10300 Torre Avenue CITY, STATE LP TA Cupertino, CA 95014 -ADV co/M'b **This document was electronically submitted to Santa Clara County for recording** 25054967 Regina Alcomendras Santa Clara County - Clerk -Recorder 08/05/2021 09:55 AM Titles:1 Pages:11 Fees: $0.00 Tax: $0 Total: $0.00 SPACE ABOVE FOR RECORUER'S USE ONLY Subordination Agreement Title of Document Pursuant to Senate Bill 2 — Building Homes and Jobs Act (GC Code Section 27388.1), effective January 1, 2018, a fee of seventy-five dollars ($75.00) shall be paid at the time of recording of every real estate instrument, paper, or notice required or permitted by law to be recorded, except those expressly exempted from payment of recording fees, per each single transaction per parcel of real property. The fee Imposed by this section shall not exceed two hundred twenty-five dollars ($225.00). ❑ Exempt from the fee per GC 27388.1 (a) (2); This document Is subject to Documentary Transfer Tax Exempt from fee per GC 27388.1 (a) (2); recorded concurrently "in connection with" a transfer subject to the imposition of documentary transfer tax (DTT). ❑✓ Exempt from fee per GC 27388.1 (a) (2); recorded concurrently "in connection with" a transfer of real property that is a residential dwelling to an owner -occupier. ❑ Exempt from fee per GC 27388.1 (a) (1); fee cap of $225.00 reached. Exempt from the fee per GC 27388.1 (a) (1); not related to real property. THIS COVER SHEET ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION ($3.00 Additional Recording Fee Applies) RECORDING REQUESTED BY CHICAGO TITLE RECORDING REQUESTED BY AND WHEN RECORDED MAIL DOCUMENT TO: NAME City of Cupertino/Attn: City Manager STREET ADDRESS 10300 Torre Avenue CITY, SCupertino, CA 95014 ZIP CODEDE fN(OS 1D?A CC a Ilb SPACE ABOVE FOR RECORDER'S USE ONLY Subordination Agreement cITI TO I,WbFP_ Title of Document Pursuant to Senate Bill 2 — Building Homes and Jobs Act (GC Code Section 27388.1), effective January 1, 2018, a fee of seventy-five dollars ($75.00) shall be paid at the time of recording of every real estate instrument, paper, or notice required or permitted by law to be recorded, except those expressly exempted from payment of recording fees, per each single transaction per parcel of real property. The fee imposed by this section shall not exceed two hundred twenty-five dollars ($225.00). ❑ Exempt from the fee per GC 27388.1 (a) (2); This document is subject to Documentary Transfer Tax ❑ Exempt from fee per GC 27388.1 (a) (2); recorded concurrently "in connection with" a transfer subject to the imposition of documentary transfer tax (DTT). ❑✓ Exempt from fee per GC 27388.1 (a) (2); recorded concurrently "in connection with" a transfer of real property that is a residential dwelling to an owner -occupier. ❑ Exempt from fee per GC 27388.1 (a) (1); fee cap of $225.00 reached. ❑ Exempt from the fee per GC 27388.1 (a) (1); not related to real property. THIS COVER SHEET ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION ($3.00 Additional Recording Fee Applies) 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 273 83 (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 J(A t N l �, , 2021, by and among the City of Cupertino, a municipal corporation (the "City"), Irene Nizaov, an unmarried woman (the "Owner") and First Republic Bank, a California comoration(the "Lender"). RECITALS A. Owner is the fee simple owner of that certain real property located at 19503 Stevens Creek Blvd #225 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 Property Value Restrictions, Resale Agreement and Option to Purchase (the "City Resale Restriction Agreement") dated as of December 21, 2006, by and between City and the Owner, and recorded in the official records of Santa Clara County (the "Official Records") on December 28, 2006, as Document No. 19242200; 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 January 24, 2013 and recorded on January 39AW2528698.1 30, 2013 against the Property as Instrument No. 22070826 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 One Hundred Twenty -Four Thousand Dollars ($124,000), at a fixed interest rate of Two and One Tenth percent (2_1%) 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 "Lender Note"), and secured by a deed of trust (the "Lender Deed of Trust") dated as of -11 (V ?, v , 2J2- , 2021, 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." 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, 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 394\02528698.1 2 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 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: CITY OF CUPERTINO, a municipal corporation By: 445�_'_ 'o"�_ Name: Greg Larson Its: Interim City Manager LENDER: First Republic Bank Its Successors and/or Assigns NGNED IN COOTER"ART By: Name: Its: 1 kk► T . SWMW IN COUNTMART Irene Niazov 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 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: CITY OF CUPERTINO, a municipal corporation By: Name: Greg Larson Its: Interim City Manager LENDER: First Republic Bank Its Successors and/or Assigns By: Name: Its: SIGNO IN COUPaART 394\09\2528698.1 4 OWNER: Irene Niazov 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 By: Name: Greg Larson Its: Interim City Manager LENDER: Irene Niazov First Republic Its Successors anq/or Assigns By: A4 �Aj Name: - es y V@16SgUAt Its: using Manager 394\09\2528698.1 4 �u« k3�.v Ij!rAR,.i yFfl�fs.�M rr,r , I.,�..,. u17ar{ 41}:i�y�Ch� f�� :I� t ;gA M. ,. 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 Scluarcia , Notary Public, personally appeared Greg Larson , who proved to me on the basis of satisfactory evidence to be the persons whose names/are subscribed to the within instrument and acknowledged to me thathe/she/they executed the same inhis/her/their authorized capacity, and that by his/her/their signatur5k on the instrument the persor3(K, or the entity upon behalf of which the persory 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. KIRSTEN7SQUARCIA Notary Publirnia rSanta Clara County Commission # 2257322 My Comm. Expires Oct 4, 2022 Name: kL_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 ---� a W- C �-K--) - On I k?A (7-2A , before me, 0e:P✓^ 0 t--� , Notary Public, personally appeared 1 N i P 7-- ✓ , 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. Notary Pubiic - California San Francisco County Commission = 2274496 My Comm. Expires Feb t, 2023 Name: Qj-^ C5 w:.;P-, Notary Public n 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 On D % 2f ?. p Z( , before me, -< G C , Notary Public, personally appeared 1/4 «a�p Y- proved to me on the basis of satisfactory evidence to be the perso (s) whose name(s) is are s c ed 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. CAVALLI Q�. COMM. 42307754 z tryo Notary Public California z` San Francisco County^ e. ���� Gc— otary Public 6 �:.,.,..-: f - — siiii'. EXHIBIT "A" Legal Description For APN/Parcel ID(s): 316-49-058 THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF CUPERTINO, COUNTY OF SANTA CLARA, STATE OF CALIFORNIA AND IS DESCRIBED AS FOLLOWS: PARCEL ONE UNIT NO, 225 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 I 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 AND EXCEPTING THE FOLLOWING; 1, ALL THE CONDOMINIUM UNITS DEPICTED ON THE PLAN AND DEFINED IN THE DECLARATION OTHER THAN THE UNIT DESCRIBED IN PARCEL ONE ABOVE. 2. 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. 3. 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. PARCELTHREE 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. CLTA Preliminary Report Form -Modified (11.17.06) SCA0002402.doc / Updated: 07.10.19