Loading...
Res 70-86 RESOLUTION N0.70-86, A RESOLUTION OF T~E CITY CO~INCIL OF T~E CITY OF DELI/AY BEACH, FLORIDA, AOT~ORIZlN~ T~E EXECUTI(~ ~ ~ ~ B~CH C~I~ ~~ ~; ~ ~ ~~I~ ~ CE~AIN CI~ O~I~CES ~ ~SOL~I~S PB~~ ~ ~ C~TION OF ~g DEL~Y B~CB C~I~ ~D~ AGENCY; AND PROVIDING FOR AN EFFECTIVE DATE FOR TBIS ~SOL~ION. WHEREAS, Palm Beach County (the "County"), the City of Delray Beach (the "City"), and the Delray Beach Community Redevelopment Agency (the "Aqency") have previously entered into an Ifiterlocal Agreement, dated August 12, 1986 (the 'Agreement"), ..~ whereby the County desires to construct a new courthouse and other governmental facilities within the boundaries of the City (the "Facility'); and WHEREAS], pursuant to the Agreement and as an inducement for the County to locate the Facility in the designated slum and blighted area within the City. the City and the Agency are required to convey certain real property to the County; and WHEREAS, in furtherance of the aforementioned requirement under the Agreement, the Agency desires to acquire certain real prop- ert¥ more particularly described on Exhibit A and Exhibit B to the Loan Agreement (herein defined the "Property"); and W~EREAS, the Aqency deems it to be in its best interest to acquire the Property at this time; and WHEREAS, the Aqency currently lacks the funds necessary to acquire the Property; and WHEREAS, the City finds it to be in its best interest to loan to the Agency the monies necessary to acquire the Property; and WHEREAS, the City will make one or more loans (the "Loans") to ehe Aaency pursuant to that certain Interlocal Agreement by and between the City and Agency substantially in the form attached hereto as Exhibit A (the 'Loan Agreement'); and WHEREAS, in consideration of the Loans from the City and as security for the repayment thereof, the Aaency has aareed to grant to the City a mortgage on the Property in a form as shall be acceptable to the City, a mortgage substantially in the form attached hereto as Exhibit B hereof is deemed acceptable to the City with respect to the Property described in Exhibit A (the 'Mortgage') of the Loan Agreement; and WHEREAS, in connection with entering into the Loan Agreement with the Agency, the City recognizes that certain actions have been taken with respect to the creation and legal existence of the Agency including but not limited to the adoption of Resolution No- 32-85, Ordinance No. 46-85, Ordinance No. 64-85, Resolution No. 9-86, Resolution No. 25-86, Resolution No. 49-86, Ordinance No. 62-86 (collectively called "City Action'); and WHEREAS, the City finds it is necessary at this time to reaffirm and ratify such City Action. NOW, THEREFORE, BE IT RESOLVED BY THE CITYCOONCILOFTHB CITY OF DELRAY BEACH, FLORIDA, AS FOLLOWS: -2- Reso. No. 70-86 SECTION 1. That the form, terms and provisions of the Loan Agreement between the City and the Agency, as submitted to this meeting, be and the same are hereby approved and accepted. The Mayor or the Vice-Mayor of the City be and each of them hereby is autho- rized and directed to execute and deliver the Loan Agreement in sub- stantially the form submitted to this meeting, with such changes, insertions and deletions thereto as are necessary or desirable for carrying out the purposes thereof and as may be approved by such officers and by the City Attorney and Finance Director of the City, the execution of said Loan Agreement being conclusive evidence of such approval. SECTION 2. That the form, terms and provisions of the Mortgage between the City and the Agency, as submitted to this meet- ing, be and the same are hereby approved and accepted. The Mayor or the Vice-Mayor of the City be and each of them hereby is authorized and directed to execute and deliver the Mortgage in substantially the form submitted to this meeting, with such changes, insertions and deletions thereto as are necessary or desirable for carrying out the purposes thereof and as may be approved by such officers and by the City Attorney and Finance Director of the City, the execution of said Mortgage being conclusive evidence of such approval. SECTION 3. That the City hereby expressly affirms and ratifies all City action heretofore taken by the City and its offi- cers, agents and employees in connection with the creation of the Agency including but not limited to the adoption of Resolution No. 32-85, Ordinance No. 46-85, Ordinance No. 64-85, Resolution No. 9-86, Resolution No. 25-86, Resolution No. 49-86 and Ordinance No. 62-86. -3- Reso. No. 70-86 ~E~'TION,,4. That the Mayor, the Vice-Mayor, and any other proper official of the City. be and each of them is hereby authorized and directed to execute and deliver any and all documents and instru- ments and to do and cause to be done any and all acts and thinqs nec- essary or proper for carrying out the transactions contemplated by this Resolution. ~_CTION 5. That this Resolution shall take effect upon its passage in the manner provided by law. PASSED AND ADOPTED in special session on this the 30th day ~ of December, 1986. Mayo r Attest: City Clerk -4- Reso. No. 70-86 EXHIBIT "A" INTBRLOCAL AGREENENT BETWEEN TIlE ~ITY 0t~ D~.uq.y BEACI~ AND THE DELBAY BEACH CO~qUNITY BBDEVELOPI~BNT AGENCY FOR THE LOAN OF HONEY FOR THE ACQUISITION OF CERTAIN LAND TO BE USED BY THE COUNTY TO CONSTRUCT A COUNTY COGRTHOGSE. T~IS INTERLOCAL AGREEMENT, made this day of _ , 1986, by and between the CITY Om DELl{AY BEACH, FLORIDA, hereinafter referred to as "City," a municipal corporation existing under the laws of the State of Florida, and the DELRAY BEACH COMMUNITY REDEVELOPMENT AGENCY, hereinafter referred to as "Agency," an agency established pursuant to Section 163. Part III of the Florida Statutes (the "Agreement"). NHEREAS, the City. the A-ency. and Palm Beach County (the "County") have previously entered into an "INTERLOCAn AGREEMENT BETWEEN PALM BEACH COUIfTY, THE C~TY OF DELBAY ~ Ali) THE D~T.nAy BEACH COJ~UNITY REDEVELOPMENT AGENCY," dated August 12, 1986 (the "County Agreement"~, whereby the County agreed to build a county courthouse and other governmental facilities within the City limits; and #HEREAS, pursuant to the aforementioned aareement the Agency agreed to acquire certain rea/ property, a portion of which is the subject of the loans herein contemplated and is more fully described in Exhibit A and Exhibit B hereof (collectively, "Propert¥." and individually, the "Property described in Exhibit A or Exhibit B," as the case may be), in accordance with the terms of the County Aqreement to the County for construction of the county court- house; and WHEREAS, the City and the Agency agree that the prompt acquisition of the Property is in the best interest of both the City and the Agency and is necessary to effectuate the obligations of the Aaency under the County Agreement; and N~E~EAS, the Agency lacks the funds to acquire the Property and the City is willing to make one or more loans (the "Loans") as is necessary to promptly acquire the Property, subject to the Agency granting to the City a purchase money mortgage in a form acceptable to the City on the Property as security for the Loans, the Mortgage attached as E~hibit C hereof shall be deemed the form of the Mortgage acceptable to the City. NOW, THE~EFOP~, in consideration of the sum of One Dollar ($1.00) paid by each party to the other, the receipt of which is hereby acknowledged, the mutual covenants and aareements herein con- tained and other good and valuable consideration, the City and the Agency aaree as follows: SECTION 1. _Representations of ~he Age~y~ (a) The Agency is an aaency established pursuant to the Florida Statutes with full power and legal right to enter into this Agreement and perform its obligations hereunder. The Agency's actions in making and performing this Agreement have been duly autho- rized by all necessary official action and will not violate or con- flict with any applicable provision of the Constitution, or laws of the State of Florida or with any ordinance, government rule or regu- lations, or with any agreement, instrument or other document by which the A-ency or its funds or properties are bound. -2- (b) Immediately after the execution hereof, no Event of Default shall exist hereunder nor shall there exist any condition which with the lapse of time, the giving of notice, or both, would constitute an Event of Default hereunder. SECTION 2. Representations of the ¢it¥. The City repre- sents that it is a municipal corporation existing under the laws of the State of Florida, and with full power and authority to enter into this Agreement. SECTION 3. Nakinq of the Loans; Application O~ Loan Pzoceeds. The City hereby agrees, subject to the terms and provi- sions of this Agreement, to make one or more loans to the Agency in the total amount of $400,000, and the Agency hereby agrees to borrow the sum of $400,000 from the City subject to the terms and provisions of the Agreement. The Agency agrees that all monies provided to the Agency by the City under this Agreement shall be used to acquire the Property. SECTION 4. Disbursement of The Loans. Following the exe- cution and delivery of this Agreement, a portion of the loan proceeds shall be disbursed to the Agency in the sum of $300,000 for the in~e- diate acquisition of the Property described in Exhibit A, and when the Agency notifies the City that all conditions necessary to to acquire such of the Property as described in Exhibit B have been met, loan proceeds shall be disbursed to the Agency in the sum of $100,000 for the immediate acquisition of such of the Property as described in Exhibit B subject to the Agency granting to the City a purchase money mortgage in a form acceptable to the City. -3- SECTIOH 5. Repayment oE the Loan and Source of Payment. (a) The outstanding principal of the Loans, with respect to the Property as described in Exhibit A, shall be paid in 120 consecu- tive monthly installments of $. each commencing on the first day of , 198__, and on the first day of each month thereafter. (aa) The outstanding principal of the loan, with respect to the Property described in Exhibit B, shall be paid in 120 consecutive monthly installments of $ , each commencing on the first day of the month (which is not more than 30 days from the making of such loan) and on the first day of the month thereafter. (b) The interest on the outstanding balance of the loan, with respect to the Property as described in Exhibit A, shall accrue at a rate of , commencing on the first day of , 19__, and on the first day of each month thereafter until the principal amount of such loan has been paid. (bb) The interest on the outstanding balance of the loan, with respect to the Property described in Exhibit B, shall accrue at a rate of $ , commencing on the first day of the month (which is not more than 30 days from the making of such loan) and on the first day of each month thereafter until the principal amount of such loan has been paid. (c) In addition to the above payments of principal and interest on the Loans, the Agency will pay a late charge for any payment of principal and interest on each loan which is received -4- later than the fifth day following its due date, in an amount equal to 5% of such payment. (d) The Agency is obligated to pay the principal of and interest on the Loans from funds of the Redevelopment Trust Fund as established by the City for the Agency pursuant to Section 163.387, Florida Statutes, and pursuant to Ordinance No. 62-86 and any other available revenues of the Agency (collectively, "the Pledged Revenues") until all principal and interest on the Loans has been paid in accordance with the terms of this Agreement. Neither the faith and credit nor the taxing power of the State of Florida or the County or the Agency is pledged to the payment of the principal of or interest on the Loans. SECTION 6. Pcepaym. ent of the l~ns, The Agency may at any time upon not less than 5 days prior written notice to the City, prepay the outstanding principal of each loan made pursuant to this Agreement, together with the accrued interest on each loan to the date of such prepayment. SECTION 7. S_Decial Cgvenants. (a) Non-Disturbance. The City covenants, subject to the following paragraph, that, so long as the Agency observes and per- forms the terms, conditions and covenants on its part to be observed and performed under this Agreement, the Agency shall peaceably and quietly have, hold and enjoy the Property as owner , free from moles- tation, hindrance, eviction or disturbance by the City or by any other person or persons lawfully claiming the same by, through or under the City. The Agency covenants that it shall not create or suffer to be created any lien, charge or encumbrance on the Property -5- or any part thereof [except for any purchase money mortgages granted to the City in a form that is acceptable to the City and any other encumbrances accepted under the title insurance policy (collectively, "Permitted Encumbrances")], without the prior written consent of the City, (b) Notice of Default. Within 15 days of an officer of the Agency obtaining actual knowledge of the occurrence of any actual event of default hereunder or any event which, with the passage of time or the giving of notice would constitute an event of default, the Agency shall notify the City of the occurrence of any event of default hereunder or any event which, with the passage of time or the giving of notice would constitute an event of default, which notice shall specify the nature and period of existence thereof. (c) Ad4itional Debt. The Agency shall not issue or incur any additional debt secured by the Pledged Revenues until the princi- pal of and interest on the Loans has been paid in accordance with the terms of this Agreement. The Agency may issue or incur additional debt during the term of this Agreement, provided that such obliga- tions are not secured by the Pledged Revenues or, if secured by the Pledged Revenues, the claim thereto is junior and inferior to the City's right to receive such Pledged Revenues. (d) Title Insurance. Prior to or simultaneously with the acquisition of the Property the Agency will furnish a current bound- ary survey of the Property, prepared by a registered land surveyor, and a standard form owner's affidavit, together with title insurance in the form of: (i) an ALTA owner's title binder issued by a title insurance company acceptable to the City in the face amount of each loan and ('ii) an ALTA mortgagee's title binder issued by such title --6-- insurance company in the face amount of each loan, and will furnish a copy of such title binder to the City. Such coverage may be con- tained in one binder or policy. The Agency will furnish within the time limit specified in such binder or binders an owner's title policy and mortgagee's title policies issued by such insurance company. Each of the owner's policy will insure that the Agency holds the title to the Property warranted in this section. Each of the mortgagee's title policies shall insure that the City holds a first mortgage lien on the Property, and that title to the Property is free and clear of any liens or encumbrances existing on the date hereof, except Permitted Encumbrances. (e) Leasing. The Property may be leased by the Agency as a whole or in part, provided however, that such lease shall not in any way conflict with the provisions of this Agreement the mortgages granted to the City or the County Agreement. SECTION 8. Events of Default, The following shall be "events of default" under this Agreement, and the terms "event of default" or "default" shall mean, whenever they are used in this Agreement, any one or more of the following events: (a) Failure by the Agency to pay when due any loan payment required to be paid under Section 5 hereof, which failure shall con- tinue for a period of five (5) consecutive days; (b) Failure by the Agency to observe and perform in any material way any covenant, condition or agreement on its part to be observed or performed as set forth herein, other than as referred to in subsection (a) of this Section 8, which failure shall continue for a period of thirty (30) days after written notice, provided, however, -7- that if the failure be such that it can be corrected but not within such 90 day period, that it shall not be an event of default if appropriate corrective action is instituted by the Agency within the 30 day period and diligently pursued until the failure is corrected, specifying such failure and requesting that it be remedied, is given to the Agency by the City, as the case may be. SECTION 9. Remedies. (a) Whenever any event of default referred to in Section 8 hereof shall have happened and be subsisting, any one or more of the following remedial steps may be taken; provided that written notice of the default has been given to the Agency by the City and the default has not theretofore been cured: (b) The City may at its option declare all unpaid loan pay- ments, together with interest then due thereon, to be immediately due and payable, whereupon the same shall bec~me immediately due and pay- able; (c) The City may take any lawful action at law or in equity, including the institution of foreclosure proceedings and any other rights the City may have under any mortgage between the City and Agency, to collect the payments then due and thereafter to become due, or to enforce performance and observance of any obligation, agreement or covenant of the Agency under this Agreement, and the City shall be entitled to collect reasonable attorneys fees and costs pursuant to Section 11 hereof. -8- SECTXO~ 10. ~o aemed¥ E~clusive, No remedy conferred upon or reserved to the City by this Agreement is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the City to exercise any re me dy rese rve d to it in Section 10, it shall not be necessary to give any notice, other than such notice as may be herein expressly required. SECTION 11. Payment of Fees and E _xpenses. If the Agency shall default under any of the provisions of this Agreement and the City shall employ attorneys or incur other expenses for the collec- tion of the loan payments or to secure possession, or to resell the Property or for the enforcement of performance or observance of any obligation or agreement on the part of the Agency contained in this Agreement, the Agency will on demand therefor pay the reasonable fees and expenses of the City and its attorneys as they are incurred. SECTION 12. Effect of Waivez. In the event any agreement contained in this Agreement shall be breached and such breach shall thereafter be waived, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other breach hereunder. SECTION 13. Severabilit_v of Invalid Provisions. I f a n y clause, provision or section of this Agreement be held illegal or -9- invalid by any court, the invalidity of such clause, provision or section shall not affect any of the remaining clauses, provisions or sections hereof, and this Agreement shall be construed and enforced as if such illegal or invalid clause, provision or section had not been contained herein. WBBHEFOHB, the parties hereto have set their hands and seals on the day set forth next to their signatures. Attest: CITY OF DELRAY BEACH, FLORIDA Mayor Date: Attest: COMMUNITY REDEVELOPI~NT AGENCY Executive Director Date: -10- An undivided one half (1/2) interest in Lots 1 and 2 less the North 20 feet (SR806 Road Right-of-Way) and all of Lots 11 & 12 and the North 50 feet of Lot 13, Block 53, Delray Beach, Florida, according to the Plat thereof on file in the Office of the Clerk of the Circuit Court in and for Palm Beach County, Florida, in Plat Book 1, Page 3, of the Public Records of Palm Beach County, Florida. -11- An undivided one half (1/2) interest in Lots 1 & 2 less the North 20 feet (SR 806 Road Right-of-Way), Block 53, Delray Beach, Florida, according to the Plat thereof on file in the office of the Clerk of the Circuit Court in and for Palm Beach County, Florida, Plat Book 1, Page 3, of the Public Records of Palm Beach County, Florida. -12- EXHIBIT MORTGAGE TBIS NORTGAGE is made this 31st day of December, 1986, between the Mortgagor, DBLRAY BEACB COOl,UNITY HEDEVI~OP~ENTAGENCY, (herein 'Borrower'), and the Mortgagee, CItY OF DELRAY BEACH, FLORIDA, a municipal corporation existing under the laws of the State of Florida, (herein 'Lender'). ~EREAS, Borrower is indebted to Lender in the principal sum of THREE HUNDRED TH~JSAND DOLLARS AND 00/100 ($300,000.00), which indebtedness is evidenced by that certain Interlocal Agreement dated December 31, 1986 (herein 'Agreement'), providing for monthly installments of principal and interest, with the balance of the indebtedness, if not sooner paid, due and payable on January 1, 1997. TO SECURE the repayment of the indebtedness evidenced by the Agreement, with interest thereon the payment of all other sums, with interest thereon, advanced in accordance herewith to protect the security of this Mortgage, and the performance of the covenants and agreements of Borrower herein contained, Borrower does hereby mort- gage, grant and convey to Lender the following described property located in the County of Palm Beach, State of Florida: which has the address of (herein "Property Address"); Together with all the improvements now or hereafter erected on the property, and all easements, rights, appurtenances, rents, royalties, mineral, oil and gas rights and profits, water, water rights, and water stock, and all fixtures now or hereafter attached to the property, all of which, including replacments and additions thereto, shall be deemed to be and remain apart of the property cov- ered by this Mortgage; and all of the foregoing, together with said property are herein referred to as the "Property." Borrower covenants that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property, that the Property is unencumbered, and that Borrower will warrant and defend generally the title to the Property against all claims and demands, subject to any declarations, ease- ments or restrictions listed in a schedule of exceptions to coverage in any title insurance policy insuring Lender's interest in the Property. COVENANTS. Borrower and Lender covenant and agree as follows .- 1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebted- ness evidenced by the Agreement and late charges as provided in the Loan Agreement, and the principal of and interest on any Future Advances secured by the Mortgage. 2. Charges~ Liens. Borrower shall pay all taxes, assess- ments and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage and leasehold payments or ground rents, if any, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage~ provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforce- ment of the lien or forfeiture of the Property or any part thereof. 3. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, including, but not limited to, eminent domain or code enforcement, then Lender at Lender's option, upon notice to Borrower, may make such appearance, disburse such sums and take such action as is necessary to protect Lender's interest, including, but not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. Any amounts disbursed by Lender pursuant to this paragraph 3, with inter- est thereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payable from time to time on out- standing principal under the Loan Agreement unless payment of inter- est at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 3 shall require Lender to incur any expense or take any action hereunder. 4. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. 5. Borrower Not ~elease~. Extension of the time for payment or modification of amortization of the sums secured by this Mortgage -2- granted by Lender to any successor in interest of Borrower shall not operate to release, in any manner, the liability of the original Borrower and Borrower's successors in interest. Lender shall not be required to commence proceedings against such successor or refuse to extend time for payment or otherwise modify amortization of the sums secured by this Mortgage by reason of any demand made by the original Borrower and Borrower's successors in interest. 6. Forbearance by Lender Not a Waiver. Any forbearance by Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude the exercise of any such right or remedy. The procurement of insurance or the payment of taxes or other liens or charges by Lender shall not be a waiver of Lender's right to accelerate the maturity of the indebtedness secured by this Mortgage. 7. Remedies Cumulative. All remedies provided in this Mortgage are distinct and cumulative to any other right or remedy under this Mortgage or afforded by law or equity~ and may be exer- cised concurrently, independently or successively. 8. Notice. Except for any notice required under applicable law to be given in another manner, (a) any notice to Borrower pro- vided for in this Mortgage shall be given by mailing such notice by certified mail s to Borrower at the Agency Address, 64 S.E. 5th Avenue, Delray Beach, Florida 33444, or at such other address as Borrower may designate by notice to Lender as provided herein, and (b) any notice to Lender shall be given by certified mail, return receipt requested, to Lender's address stated herein or to such other address as Lender shall be given by certified mail, return receipt requested, to Lender's address stated herein or to such other address as Lender may designate by notice to,Borrower as provided herein. Any notice provided for in this Mortgage shall be deemed to have been given to Borrower or Lender when given in the manner designated herein. 9. Mortgage; Governing 'Law; Severability. The state and local laws applicable to this Mortgage shall be the laws of the jurisdiction in which the Property is located. In the event that any provision .or clause of this Mortgage or the Agreement conflicts with applicable law, such conflict shall not affect other provisions of this Mortgage or the Loan Agreement which can be given effect without the conflicting provision, and to this end the provisions of the Mortgage and the Loan Agreement are declared to be severable. 10. Transfer of Property. No part of the Property may be sold or transferred without the prior written consent of Lender. 11. Acceleration; Remedies. Except as provided in paragraph 10 hereof, upon Borrower's breach of any covenant or agreement of Borrower in this Mortgage, including the covenants to pay when due any sums secured .by this Mortgage, Lender prior to acceleration shall mail notice to Borrower as provided in paragraph 8 hereof specifying: (1) the breach; (2) the action required to cure such breach; (3) a date, not less than 30 days from the date the notice is mailed to Borrower, by which such breach must be cured; and (4) that failure to cure such breach on or before the date specified in the notice may result in acceleration of the sums secured by this Mortgage, foreclosure by judicial proceeding and sale of the Property. If the breach is not cured on or before the date specified in the notice, Lender at Lender's option may declare all of the sums -3- secured by this Mortgage to be i~aediately due and payable without further demand and may foreclose this Mortgage by judicial proceeding. Further, Lender nmy at Lender's option, make demand upon the Borrower to surrender title to the Property, and such surrender shall constitute full satisfaction of this Mortgage. 12. Release. Upon payment of all sums secured by this Mortgage, Lender shall release this Mortgage without charge to Borrower. Borrower shall pay all costs of recordation, if any. 13. Attorney's Fees. As used in this Mortgage and in the Loan Agreement, "attorney's fees" shall include attorney's fees, if any, which may be awarded by an appellate court. IN #ITNESS W~EP. EOF, Borrower has executed this Mortgage. Signed, sealed and delivered By: in the presence of: Title: -4- TBIS #ORTGAGE is made this 31st day of December, 1986, between the Mortgagor, DELRAY BEACB COOl, UNITY REDEVELOP~IENT AGEI%CY, (herein 'Borrower'), and the Mortgagee, CITY OF DELRAY BEACB, FLORIDA, a municipal corporation existing under the laws of the State of Florida, (herein 'Lender'). ~EREAS, Sorrower is indebted to Lender in the principal sum of T~REE HUNDRED THOUSAND DO~.L~RS AND 00/100 ($300,000.00), which indebtedness is evidenced by that certain Interlocal Agreement dated December 31, 1986 (herein 'Agreement'), providing for monthly installments of principal and interest, with the balance of the indebtedness, if not sooner paid, due and payable on January 1, 1997. TO SECURE the repayment of the indebtedness evidenced by ~.] th~ Agreement, with interest thereon the payment of all other sums, with interest thereon, advanced in accordance herewith to protect the [;,~ security of this Mortgage, and the performance of the covenants and ~,~t agreements of Borrower herein contained, Borrower does hereby mort- gage, grant and convey to Lender the following described property located in the County of Palm Beach, State of Florida: which has the address of (herein "Property Address"); Together with all the improvements now or hereafter erected on the property, and all easements, rights, appurtenances, rents, royalties, mineral, oil and gas rights and profits, water, water rights, and water stock, and all fixtures now or hereafter attached to the property, all of which, including replacments and additions thereto, shall be deemed to be and remain a part of the property cov- ered by this Mortgage; and all of the foregoing, together with said property are herein referred to as the 'Property.' Borrower covenants that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property, that the Property is unencumbered, and that Borrower will warrant and defend generally the title to the Property against all claims and demands, subject to any declarations, ease- ments or restrictions listed in a schedule of exceptions to coverage in any title insurance policy insuring Lender's interest in the Property. COVENANTS. Borrower and Lender covenant and agree as follows .. 1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebted- ness evidenced by the Agreement and late charges as provided in the Loan Agreement, and the principal of and interest on any Future Advances secured by the Mortgage. 2. Charges; Liens. Borrower shall pay all taxes, assess- ments and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage and leasehold payments or ground rents, if any, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforce- ment of the lien or forfeiture of the Property or any part thereof. 3. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, including, but not limited to, eminent domain or code enforcement, then Lender at Lender's option, upon notice to Borrower, may make such appearance, disburse such sums and take such action as is necessary to protect Lender's interest, including, but not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. Any amounts disbursed by Lender pursuant to this paragraph 3, with inter- est thereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payable from time to time on out- standing principal under the Loan Agreement unless payment of inter- est at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 3 shall require Lender to incur any expense or take any action hereunder. 4. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. 5. Borrower Not ltelease(]. Extension of the time for payment or modification of amortization of the sums secured by this Mortgage -2- granted by Lender to any successor in interest of Borrower shall not operate to release, in any manner, the liability of the original Borrower and Borrower's successors in interest. Lender shall not be required to commence proceedings against such successor or refuse to extend time for payment or otherwise modify amortization of the sums secured by this Mortgage by reason of any ~emand made by the original Borrower and Borrower's successors in interest. 6. Forbearance by ~ender Not a #aiver. Any forbearance by. Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude the exercise of any such right or remedy. The procurement of insurance or the payment of taxes or other liens or charges by Lender shall not be a waiver of Lender's right to accelerate the maturity of the indebtedness secured by this Mortgage. 7. Remedies Cumulative. All remedies provided in this Mortgage are distinct and cumulative to any other right or remedy under this Mortgage or afforded by law or equity, and may be exer- cised concurrently, independently or successively. 8. Notice. Except for any notice required under applicable law to be given in another manner, (a) any notice to Borrower pro- vided for in this Mortgage shall be given by mailing such notice by certified mail s to Borrower at the Agency Address, 64 S.E. 5th Avenue, Delray Beach, Florida 33444, or at such other address as Borrower may designate by notice to Lender as provided herein, and (b) any notice to Lender shall be given by certified mail, return receipt requested, to Lender's address stated herein or to such other address as Lender shall be given by certified mail, return receipt requested, to Lender's address stated herein or to such other address as Lender may designate by notice to Borrower as provided herein. Any notice provided for in this Mortgage shall be deemed to have been given to Borrower or Lender when given in the manner designated herein. 9. #ortgage; Governing Law; Severability. The state and local laws applicable to this Mortgage shall be the laws of the jurisdiction in which the Property is located. In the event that any provision or clause of this Mortgage or the Agreement conflicts with applicable law, such conflict shall not affect other provisions of this Mortgage or the Loan Agreement which can be given effect without the conflicting provision, and to this end the provisions of the Mortgage and the Loan Agreement are declared to be severable. 10. ?ransfer of Pro~)erty. No part of the Property may be sold or transferred without the prior written consent of Lender. 11. Acceleration; ]%emedies. Except as provided in paragraph 10 hereof, upon Borrower's breach of any covenant or agreement of Borrower in this Mortgage, including the covenants to pay when due any sums secured by this Mortgage, Lender prior to acceleration shall mail notice to Borrower as provided in paragraph 8 hereof specifying: (1) the breach; (2) the action required to cure such breach; (3) a date, not less than 30 days from the date the notice is mailed to Borrower, by which such breach must be cured; and (4) that failure to cure such breach on or before the date specified in the notice may result in acceleration of the sums secured by this Mortgage, foreclosure by judicial proceeding and sale of the Property. If the breach is not cured on or before the date specified in the notice, Lender at Lender's option may declare all of the sums -3- secured by this Mortgage to be immediately due and payable without further demand and may foreclose this Mortgage by judicial proceeding. Further, Lender may at Lender's option, make demand upon the Borrower to surrender title to the Property, and such surrender shall constitute full satisfaction of this Mortgage. 12. Release. Upon payment of all sums secured by this Mortgage, Lender shall release this Mortgage without charge to Borrower. Borrower shall pay all costs of recordation, if any. 13. Attorney's Fees. As used in this Mortgage and in the Loan Agreement, 'attorney's fees' shall include attorney's fees, if any, which may be awarded by an appellate court. IN WITNESS #HEREOF, Borrower has executed this Mortgage. Signed, sealed and delivered By: in the presence of: Title: -4-