EX-10.18
Indenture
BALLOON MORTGAGE
THIS MORTGAGE made the twenty fourth day of MAY nineteen hundred and eighty
eight
BETWEEN
PURO CORPORATION OF AMERICA, a domestic corporation, having its principal place
of business at ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇
designated as the BORROWER (Mortgagor), and
MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION
organized AND EXISTING UNDER THE LAWS OF THE United States of America located at
▇▇▇▇ ▇▇▇▇▇▇ and Grand Avenue, Maspeth, New York, designated as the LENDER
(Mortgagee).
IT IS AGREED, that to secure the payment of the indebtedness of ONE HUNDRED
NINETY THOUSAND FOUR HUNDRED SIXTY & 15/100--------- ($190,460.15) U.S. Dollars
with interest as stated in the bond or note dazed this day, the BORROWER hereby
mortgages to the LENDER, its successors and assigns forever:
ALL THAT certain plot, piece or parcel of land, situate, lying and being in the
Borough and County of Queens, City and State of New York, bounded and described
as follows:
BEGINNING at the corner formed by the intersection of the northerly side of 56th
Drive (Perry Avenue) with the easterly side of ▇▇▇▇ ▇▇▇▇▇▇ (▇▇▇▇▇ ▇▇▇▇▇▇);
RUNNING THENCE easterly along the northerly side of 56th Drive, 232 feet 6
inches;
THENCE northerly parallel with 58th Street 129 feet;
THENCE westerly parallel with 56th Drive and part of the distance through a
party wall, 232 feet 6 inches to the easterly side of ▇▇▇▇ ▇▇▇▇▇▇;
THENCE southerly along the easterly side of ▇▇▇▇ ▇▇▇▇▇▇ 129 feet to the corner
at the point or place of BEGINNING.
SAID PREMISES being known as and by the street number ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇,
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇.
The real property is not principally improved or to be improved by one or more
structures containing in the aggregate more than six residential dwelling units,
each dwelling unit having its own separate cooking facilities.
TOGETHER with all the right, title and interest of the BORROWER of, in and to
strips and gores of land under water, adjacent to or adjoining said premises and
to the land lying in the bed of any street, road, avenue, lane or right-of-way
as they now exist or formerly existed, included in, in front of, or adjoining
the premises. TOGETHER with the fixtures easements, riparian rights and
appurtenances and all the estate and rights of the BORROWER in and to the
premises and all replacements thereof and additions thereto, all of which shall
be deemed to be and remain and form a part of the realty and are covered by the
lien of this mortgage. TOGETHER also with any and all award and awards
previously made and in the future to be made by County, Municipal or State
authorities to the present and all subsequent owners of the premises described
in this mortgage, including any award or awards for any change or changes of
grade of streets affecting said premises, which said award and awards are hereby
assigned to the said LENDER, to be applied toward the payment of the amount
owing on account of this mortgage and its accompanying bond, even though the
amount owing on account of this mortgage and said bond may not be then due and
payable.
THE BORROWER PROMISES AS FOLLOWS:
1. PAYMENT OF THE MORTGAGE
That the BORROWER will pay to the LENDER, when due, principal and interest
under the bond; late charges and prepayment charges, as stated in the bond,
having the same date as this mortgage.
2. FIRE AND HAZARD INSURANCE
(A) That the borrower will keep the buildings on the premises insured
against loss by fire for the benefit of the LENDER; that he will assign and
deliver the policies to the LENDER; and that he will reimburse the LENDER for
any premiums paid for insurance made by the LENDER because of BORROWER'S failure
to insure the buildings or to assign and deliver the policies.
(B) The BORROWER further agrees to keep the buildings insured against loss
by fire and other hazards, casualties and contingencies, including extended
coverage, for the benefit of the LENDER, in such amounts and for such periods as
the LENDER may require, and the rights of the LENDER on failure of the BORROWER
to supply any such insurance shall be the same as provided in the Real Property
Law ss. 254(4).
3. MONTHLY PAYMENTS FOR TAXES AND INSURANCE
That in addition to the regular minimum monthly payment of principal and
interest, as required to be paid under the bond secured by this mortgage, the
BORROWER will also make monthly payments, as required by the bond for taxes,
water rates, sewer rental tax charge and fire insurance with extended coverage,
as these monthly payments will be estimated and required by the LENDER. The
LENDER may at any time waive any or all of the tax, water, sewer rental tax or
insurance payments to it and require the BORROWER to make these payments.
4. LENDER'S RIGHTS IF BORROWER FAILS TO KEEP PROMISES
That the whole of said principal sum and interest shall become due at the
option of the LENDER, after default in the payment of any monthly installment of
principal and interest and tax reserve for FIFTEEN (15) days, or after default
in the payment of any tax, water rate or assessment for FIFTEEN (15) days after
notice and demand; or after default after notice and demand either in assigning
and delivering the policies insuring the buildings against loss by fire or in
reimbursing the LENDER for premiums paid on such insurance, as stated in
paragraphs 2(A)(B) and 3; or after default upon request in furnishing a
statement on the amount due on the mortgage and whether any offsets or defenses
exist against the mortgage debt, as stated in paragraph 16(C).
5. APPOINTMENT OF RECEIVER
That the holder of this mortgage in any action to foreclose it, shall be
entitled to the appointment of a Receiver, without regard to the adequacy of any
security for the debt, WITHOUT notice to the BORROWER.
6. LENDER'S RIGHT TO PROTECT PROPERTY
(A) That the BORROWER will pay all taxes, water rates, assessments,
insurance premiums and/or similar charges affecting the mortgaged premises, and
if BORROWER fails to pay these, the LENDER may pay the same, and add the amount
so paid to the unpaid balance of the mortgage debt. (B) That if the mortgaged
premises shall be abandoned by the BORROWER or any successors in title, the
LENDER shall be entitled to enter upon and take possession of the mortgaged
premises to protect and conserve its security.
7. LENDER'S RIGHT TO RENTAL PAYMENTS
That in the event of a default in the payment of any monthly installment
under this mortgage, or in the bond secured by this mortgage, the LENDER shall
have the right to receive and collect any and all rents derived from the
property subject to this mortgage, and to apply such rents in the same manner as
provided in the bond bearing the same date as this mortgage, for the application
of such monthly installments. The BORROWER assigns the rents to the LENDER and
designates the LENDER, BORROWER'S agent, to effect the collection of rents. The
BORROWER ratifies and affirms any and all acts of the LENDER in undertaking to
effect the collection of rents.
8. ADDITIONAL RIGHTS OF LENDER UPON DEFAULT
That in the event of any default (in addition to any other rights and
remedies) the LENDER shall have the right IMMEDIATELY upon demand, to enter upon
and take possession of the mortgaged premises and to receive and collect any and
all rents derived from the mortgaged property and to apply the rents in the same
manner as in this mortgage for the application of monthly installments or
carrying charges. If the BORROWER or any subsequent owner is occupying said
premises or any part of the premises, it is agreed that a reasonable
occupational rental for the premises so occupied shall be paid monthly in
advance by the occupant to the LENDER. And the BORROWER consents to the above
entry and possession and assigns said rents and rental to the LENDER, and
designates the LENDER, BORROWER'S agent, to effect the collection of such rents
and rental. The BORROWER ratifies and affirms any and all acts of the LENDER in
making entry and taking possession of the premises and in undertaking to effect
the collection of rents.
9. DEFENSE OF MORTGAGE LIEN
That if any action or proceeding be commenced by any person other than the
LENDER, to which action or proceeding the LENDER is made a party, or in which it
becomes necessary to defend or uphold the lien of this mortgage, all sums paid
by the LENDER for the expenses of any such litigation to prosecute or defend the
rights and lien created by this mortgage (including reasonable counsel fees)
shall be paid by the BORROWER, together with interest thereon, at the rate of
SIX PERCENT (6%) per year, and any such sum and interest shall be a lien on the
premises described in this mortgage, prior to any right, title or interest in or
claim upon the premises attaching or accruing subsequent to the lien of this
mortgage, and shall be added to the principal amount intended to be secured by
this mortgage and the accompanying bond.
10. LENDER'S RIGHT TO INSPECT PROPERTY
That the LENDER and any persons authorized by the LENDER shall have the
right to enter and inspect the premises at all reasonable times.
11. UPKEEP OF THE PROPERTY
(A) That no buildings, fixtures or personal property covered by this
mortgage shall be removed or demolished without the written consent of the
LENDER. (B) That the BORROWER agrees to maintain the buildings on the premises
covered by the mortgage in reasonably good repair and not to permit the premises
to substantially depreciate in value because of neglect or otherwise, and
further agrees to comply with the requirements of any public authority within
THREE MONTHS after an order making such requirement has been issued by any
Municipal, State, Federal or other public authority. That the principal sum
remaining unpaid shall become due at the option of the LENDER upon BORROWER'S
failure to comply with any of the agreements contained in this paragraph.
12. MODIFICATION OF MORTGAGE
The terms of payment of this mortgage and of the bond accompanying this
mortgage may be mutually modified by the parties to this mortgage or their
successors in interest and any and every other mortgage or lien now or in the
future placed on the premises covered by this mortgage shall be subject and
subordinate at all times to the lien of this mortgage as so modified.
13. TITLE TO THE PROPERTY
That the BORROWER warrants the title to the mortgaged premises. This means
that BORROWER will be fully responsible for any losses which LENDER suffers
because someone other than BORROWER has some of the rights in the property which
BORROWER promises to have.
14. SALE OF THE PREMISES
In the event of a transfer of title of the premises described in this
mortgage from the BORROWER or any subsequent owner to any other party, the
LENDER or its assigns shall have the option to declare the entire unpaid
principal sum and accrued interest due and payable.
15. OBLIGATION OF BORROWER AND BORROWER'S SUCCESSORS
That upon any transfer of the title to the premises described in this
mortgage, the successor in title of the BORROWER shall, by accepting such
transfer IMMEDIATELY become a member of the LENDER (Association) and be bound by
the terms and provisions of its charter and by-laws. And should any subsequent
owner refuse on demand to subscribe to the Association's charter and by-laws,
the LENDER may at its option, IMMEDIATELY declare the full balance of the
principal sum secured by this mortgage to be due in like manner, as provided in
paragraph 4, for default in the payment of the monthly installments.
16. NOTICES AND ANNUAL STATEMENT
(A) That any notice, demand or request, provided for in this mortgage, may
be made in writing and may be served in person or by mail. (B) The BORROWER will
furnish annually to the LENDER within TEN (10) days after written demand, a
statement in writing verified by the BORROWER or officer of the BORROWER if
requested setting forth in detail all income received from the mortgaged
premises as well as all expenses and expenditures in connection therewith,
together with a certified rent roll showing all rents of the mortgaged premises
as of the date of the statement, such instruments to be prepared in accordance
with the usual accounting practices for real estate in the City of New York, and
in such form as may be required by the LENDER. (C) That the BORROWER within FIVE
(5) DAYS upon request in person or within TEN (10) DAYS upon request by mail
will furnish a written statement duly acknowledged of the amount due on this
mortgage and whether any offsets or defenses exist against the mortgage debt.
17. PARTIES
(A) That if more than one party joins in the execution of this instrument,
the covenants and agreements contained in this mortgage shall be their joint and
several obligations and the relative words contained in this mortgage shall read
as if written in the plural. (B) That, if the BORROWER is a corporation, the
execution of this mortgage has been duly authorized by a resolution adopted by
the board of directors of said corporation; and/or has been consented to and
authorized by its stockholders.
18. CONTINUITY OF AGREEMENTS
This agreement shall bind and apply to the parties to this mortgage and
their respective heirs, executors, administrators, successors and assigns.
19. LIEN LAW AGREEMENTS
The BORROWER will receive all amounts lent by LENDER subject to the trust
fund provisions of Section 13 of the New York Lien Law. This means that if, on
the date this mortgage is recorded in the proper official records, construction
or other work on any building or other improvement located on the property has
not been completed for at least FOUR (4) months, the BORROWER will: (a) hold all
amounts which BORROWER receives and which BORROWER has a right to receive from
LENDER under the bond, as a "trust fund"; and (b) use those amounts to pay for
that construction or work before BORROWER uses them for any other purpose. The
fact that BORROWER is holding those amounts as a "trust fund" means that
BORROWER has a special responsibility under the law to use the amounts in the
manner described in this paragraph 19.
20. APPLICATION OF RPL ss. 254 TO MORTGAGE
Nothing contained in this mortgage shall be construed as depriving the
LENDER of any right or advantage available under Section 254 of the Real
Property Law of the State of New York; but all agreements contained in this
mortgage differing from Section 254 of the Real Property Law shall be construed
as conferring additional and not substitute rights and advantages.
21. SERVICEMEN'S READJUSTMENT ACT
That, if the indebtedness secured hereby to be guaranteed or insured under
the Servicemen's Readjustment Act, as amended, such Act and Regulations issued
thereunder and in effect on the date hereof shall govern the rights, duties and
liabilities of the parties hereto, and any provisions of this or other
instruments executed in connection with said indebtedness which are inconsistent
with said Act or Regulations are hereby amended to conform thereto.
22. RULES AND REGULATIONS
The Maspeth Federal Savings and Loan Association exists under the laws of
the United States and the rules and regulations of the Federal Home Loan Bank
Board and under charter and by-laws approved by said Federal Home Loan Bank
Board and it is expressly agreed that these regulations, rules, charter and
by-laws as they now are and as they may hereafter be amended are a part of this
agreement and that the BORROWER agrees to abide by them and hereby subscribed
thereto.
23. TYPE OF MORTGAGE
This is not a Purchase Money Mortgage.
24. INTERPRETATION OF TERMS
Wherever the word BOND is used herein, the same shall also mean NOTE in the
event that this mortgage secures a NOTE.
25. CAPTIONS
The captions and titles of this mortgage are for convenience only. They may
not be used to interpret or to define the terms of this mortgage.
By signing this mortgage I agree to all of the above.
In presence of: PURO CORPORATION OF AMERICA
By: /s/ ▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
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President
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STATE OF NEW YORK
COUNTY OF QUEENS }ss:
On the __________________ day of ____________ 19__, before me came
____________________ to me known to be the individual described in, and who
executed the foregoing instrument, and acknowledged that he executed the same.
STATE OF NEW YORK
COUNTY OF QUEENS }ss:
On the __________________ day of ____________ 19__, before me came
____________________ to me known to be the individual described in, and who
executed the foregoing instrument, and acknowledged that he executed the same.
STATE OF NEW YORK
COUNTY OF QUEENS }ss:
On this 24th day of May nineteen hundred eighty-eight before me personally came
▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇ to me known, who, being by me duly sworn, did depose and say
that he resides at ▇▇▇ ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇, ▇▇ that he is the President
of PURO CORPORATION OF AMERICA the corporation described in, and which executed,
the above instrument; that he knows the corporate seal of said corporation; that
the seal affixed to said instrument is such corporate seal; that it was so
affixed by order of the Board of Directors of said corporation, and that he
signed his name thereto by like order.
Loan No. 100447
MORTGAGE
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PURO CORPORATION OF AMERICA
TO
MASPETH
FEDERAL SAVINGS
AND LOAN ASSOCIATION
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DATED, May 24, 1988
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Amount, $190,460.15
▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇▇
▇▇▇▇▇ ▇▇▇▇, ▇▇▇ ▇
▇▇▇ ▇▇▇ ▇▇ ▇▇▇ ▇▇▇▇▇▇ of Queens
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Record and Return to:
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▇▇▇▇▇▇ & WHITE
Attorneys
▇▇-▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
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BOND
1. BORROWER'S PROMISE TO PAY
That, PURO CORPORATION OF AMERICA, a domestic corporation, having its
principal place of business at ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇
member(s) of the association and designated as the BORROWER(S)
acknowledge(s) to be indebted to the
MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION
a savings and loan association, organized and existing under the laws of
the United States of America, having its office at ▇▇▇▇ ▇▇▇▇▇▇ and Grand
Avenue, Maspeth, Queens County, New York and designated as the LENDER, in
the sum of ONE HUNDRED NINETY THOUSAND FOUR HUNDRED SIXTY & 15/100
($190,460.15) Dollars which sum with interest on unpaid balance of
principal, at the rate of ELEVEN & ONE-HALF (11 1/2%) percent per year from
the date of this bond, the BORROWER does promise to pay to the LENDER, its
successors or assigns.
2. PAYMENTS ON DEMAND
3. ADDITIONAL MONTHLY CHARGES
(A) That in addition to the minimum monthly payment of principal and
interest, the LENDER may at its option, have the BORROWER pay to the LENDER, at
the time of the monthly payments of principal and interest, one-twelfth (1/12)
of the total annual taxes, water rates, sewer rental tax and fire insurance
premiums including the charge for extended coverage, as estimated and required
by the LENDER.
(B) If LENDER fails to exercise this option, and LENDER pays any of the
above mentioned taxes, rates or premiums, such payments or advances shall be
added to and become part of the unpaid balance.
(C) If at any time the monthly payment is found insufficient in the opinion
of the LENDER, to fully pay the taxes, water charges, sewer rental tax, fire
insurance premiums including the extended coverage charge or tax reserve, the
BORROWER agrees to pay such deficiency IMMEDIATELY upon demand. If BORROWER does
NOT pay within FIFTEEN (15) days after demand, the whole of the principal sum
remaining due and unpaid with accrued interest, shall, at the option of the
LENDER IMMEDIATELY become due and payable. Any other future real estate tax or
additional real estate tax that may become a lien on the property, described in
the mortgage securing this bond, may be paid and apportioned in monthly payments
by the LENDER in the same manner as provided for above.
(D) That the LENDER may, at any time, waive the monthly payment to it for
taxes and/or water rates, sewer rental tax and/or fire insurance premiums
including extended coverage or either of them and in the event of such waiver,
such charge shall be paid by the BORROWERS and proof that these payments have
been made shall be furnished to the LENDER.
4. PREPAYMENT
That the BORROWER has the right to prepay the entire amount due on this
obligation, or any part thereof, provided, however, that when the amount prepaid
in any one (1) year exceeds TWENTY PERCENT (20%) of the original amount of this
mortgage loan, then the BORROWER shall pay in addition to such balance, a sum
equivalent to NINETY (90) days interest on the amount prepaid over TWENTY
PERCENT (20%).
5. DEFAULT
That the whole of the principal sum and interest remaining unpaid shall
become due IMMEDIATELY, at the option of the LENDER, its successors or assigns,
after default in the payment of any monthly installment described above for
FIFTEEN (15) days, or after default in the payment of any taxes, water rates,
assessments, insurance premiums and/or similar charges affecting the mortgaged
premises for FIFTEEN (15) days, or upon the happening of any event by which,
under the terms of the mortgage having the same date as this bond, the said
principal sum may or shall become due and payable.
6. MORTGAGE
That ALL the covenants and agreements made by the BORROWER in the mortgage
having the same date as this bond and covering the described premises are made
part of this bond.
7. NOTICE
That the BORROWER will give IMMEDIATE written notice to the LENDER of any
damage, from whatever cause, to the mortgaged premises, or of any conveyance,
transfer, or change of ownership thereof.
8. MASPETH FEDERAL CHARTER AND BY-LAWS
(A) That the BORROWER hereby becomes a member of the LENDER (Association)
and the BORROWER hereby agrees to abide by the terms and provisions of LENDER'S
charter and by-laws as they are now and as they may be hereafter revised,
altered or amended.
(B) The Association exists under the laws of the United States and the
rules and regulations of the Federal Home Loan Bank Board and under charter and
by-laws approved by said Federal Home Loan Bank Board and it is expressly agreed
that these regulations, rules, charter and by-laws as they now are and as they
may hereafter be amended are a part of this agreement and that the BORROWER
agrees to abide by them and hereby subscribes thereto.
9. VA LOAN
If this bond and the mortgage collateral thereto are executed by a Veteran
as defined by the Servicemen's Readjustment Act of 1944 and provided the payment
of the within obligation is guaranteed or insured under the provisions of said
Servicemen's Readjustment Act, to the LENDER, then and in that event any of the
foregoing provisions of this bond and said mortgage to the contrary
notwithstanding, the maximum rate of interest to be paid by said Veteran at all
times and in every event shall not exceed ( %) percent per year, and said
Veteran shall have the privilege of paying off this obligation at any time with
interest to date of payment and without any prepayment penalty; furthermore, if
any of the provisions of this bond and said mortgage conflict with or differ
from the provisions of Title III of said Act and any amendments thereto or any
Regulation or Rule promulgated thereunder, then and in that event it is mutually
agreed that the provisions of such Act, Rule or Regulation shall prevail, and
any provisions in this bond and said mortgage in conflict therewith shall be
deemed amended to conform to the provisions of said Act, Rule or Regulation.
10. LATE CHARGES
The BORROWER further agrees that in the event any monthly payment of
interest, principal, taxes, assessments, insurance, water rates, or any of the,
due to be paid to the LENDER on the first day of any month, is not paid to it
during the first FIFTEEN (15) days of each month, the BORROWER will, at the
option of the LENDER, pay to it a "late charge" of SIX PERCENT (6%) of the
overdue payment, to cover the expense involved in handling delinquent payments,
and that such "late charge" may be collected by the LENDER out of any future
payment or any moneys held in the mortgage escrow account.
11. HANDLING CHARGE
In addition to the payments described above, the BORROWER shall pay the
LENDER, annually, the sum of $10.00 to defray part of the expense incidental to
handling the payment of taxes covering the mortgaged premises including yearly
report of the tax status.
12. RETURNED CHECKS
That in the event any of the BORROWER'S checks for payments of this
mortgage are returned due to insufficient funds, the LENDER shall have the right
to impose a $5.00 charge to cover the cost of the additional bookkeeping and
other work involved in processing the payment. This charge may be collected by
the LENDER out of any future payment or any moneys held in the mortgage escrow
account.
13. RESPONSIBILITY OF PARTIES UNDER THIS BOND
(A) That the BORROWER will give IMMEDIATE written notice to the LENDER of
any damage, from whatever cause, to the mortgaged premises, or of any
conveyance, transfer or change of ownership thereof.
(B) That if more than one party joins the execution of this instrument, the
covenants and agreements contained in this bond shall be their joint and several
obligations, and the relative words contained in the bond shall read as if
written in the plural.
SIGNED AND SEALED this twenty fourth day of May nineteen hundred and
eighty-eight
In presence of: PURO CORPORATION OF AMERICAN
By: /s/ ▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
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President
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STATE OF NEW YORK )
) ss.:
COUNTY OF QUEENS )
On the [illegible] day of __________ 19__, before me came
________________________________ to me known to be the individual described in,
and who executed the foregoing instrument, and acknowledged that he executed the
same.
STATE OF NEW YORK )
) ss.:
COUNTY OF QUEENS )
On the ______________ day of __________ 19__, before me came
________________________________ to me known to be the individual described in,
and who executed the foregoing instrument, and acknowledged that he executed the
same.
SATE OF NEW YORK
COUNTY OF QUEENS
On this 24th day of May nineteen hundred eighty-eight before me personally
came ▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇ to me known, who, being by me duly sworn, did depose
and say that he resides at ▇▇▇ ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇, ▇▇ that he is the
President of PURO CORPORATION OF AMERICA the corporation described in, and which
executed, the above instrument; that he knows the corporate seal of said
corporation; that the seal affixed to said instrument is such corporate seal;
that it was so affixed by order of the Board of Directors of said corporation,
and that he signed his name thereto by like order.
Loan No. 10047
BOND
================================
PURO CORPORATION OF AMERICA
TO
MASPETH
FEDERAL SAVINGS
AND LOAN ASSOCIATION
================================
Dated, May 24, 1988
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Amount, $190,460.15
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Record and Return To:
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▇▇▇▇▇▇ & White
Attorneys
▇▇-▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
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BALLOON CONSOLIDATION AND EXTENSION AGREEMENT
AGREEMENT made the 24th day of May nineteen hundred and eighty-eight BETWEEN
MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION, a savings and loan association
organized and existing under the laws of the UNITED STATES OF AMERICA, having
its principal office at ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇,
hereinafter designated as the party of the first part, and
PURO CORPORATION OF AMERICA, a domestic corporation, having its principal place
of business at ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇
hereinafter designated as the party of the second part, WITNESSETH: whereas, the
party of the first part is the holder of the following mortgages and of the
bonds or notes secured thereby:
MORTGAGE dated the 9th day of July 1985 made by PURO CORPORATION OF AMERICA
to MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION in the principal sum of
$800,000.00 and recorded in the office of the Register of the County of Queens
on Reel 1892 Page 121;
MORTGAGE dated the 19th day of March 1987 made by PURO CORPORATION OF
AMERICA to MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION in the principal sum of
$115,006.85 and recorded in the office of the Register of the County of Queens
in Reel 2333, page 917;
WHICH TWO MORTGAGES were consolidated by Agreement dated March 19, 1987 and
recorded on Reel 2333 page 921 to form one single lien of $900,000.00, upon
which there is due and owing the sum of $884,539.85.
MORTGAGE dated the 24th day of May 1988 made by PURO CORPORATION OF AMERICA
to MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION in the principal sum of
$190,460.15 and intended to be recorded in the Office of the Register of the
County of Queens simultaneously herewith.
WHEREAS, the party of the first part, the holder of said bonds or notes and
mortgages and the party of the second part, the owner in fee simple of the
property hereinafter described, have mutually agreed to consolidate said bonds
or notes and to consolidate and co-ordinate the liens of said mortgages and to
modify the terms thereof in the manner hereinafter appearing.
Now, THEREFORE, in pursuance of said agreement and in consideration of the
sum of One Dollar and other valuable consideration each to each other in hand
paid, receipt whereof is hereby acknowledged, the parties hereto mutually
covenant and agree as follows:
That the lien of the three mortgages hereinabove mentioned hereby are
consolidated and co-ordinated so that together they shall hereafter constitute
in law but one first mortgage, a single lien, securing the principal sum of ONE
MILLION SEVENTY-FIVE THOUSAND AND NO/100 ($1,075,000.00) Dollars and the said
bonds or notes and mortgages as so consolidated and co-ordinated shall be deemed
to be one bond or note and one and the said bonds or notes and mortgages as so
consolidated and co-ordinated shall be deemed to be one bond or note and one
mortgage with the same effect as if the party of the first part was the holder
of a single bond or note and a single mortgage.
And the parties hereto agree that the principal indebtedness secured by
said consolidated bond or note and mortgage is herewith extended and modified:
PROVIDED the party of the second part shall pay to the party of the first
part the balance due on said bond or note and mortgage to wit; ONE MILLION
SEVENTY-FIVE THOUSAND AND NO/100 ($1,075,000.00) Dollars by the payment of not
less than ELEVEN THOUSAND FOUR HUNDRED SIXTY-FIVE & NO/100 ($11,465.00) Dollars
on the first day of the ensuing month from the date hereof, and on the first day
of each and every month thereafter, until May 1, 1998 when the entire unpaid
balance of principal with accrued interest at the rate of ELEVEN & ONE-HALF
(11 1/2%) per cent per annum computed on a monthly basis shall be due and
payable, and further
PROVIDED that said monthly payments of ELEVEN THOUSAND FOUR HUNDRED
SIXTY-FIVE & NO/100 ($11,465.00) Dollars may be applied by the party of the
first part, FIRST, to the payment of interest, and SECOND, towards the payment
of the principal sum remaining unpaid. Interest for each month shall be added to
the unpaid balance on the first day of each month at the rate of one-twelfth
(1/12) of the annual interest and shall be calculated upon the unpaid balance
due as of the last day of the preceding month.
IT IS AGREED AND UNDERSTOOD that all fixtures and articles of personal
property, including but not limited to steam and hot water boilers, pipes,
radiators, bathtubs, water closets, refrigerators, gas and electric fixtures and
heating plants, ranges, plumbing and bathroom fixtures, air conditioning and
sprinkler systems, wash tubs, sinks, stoves, awnings, screens, storm windows and
storm door, elevators, motors, dynamos, kitchen, cabinets, incinerators and all
other equipment and machinery, appliances, fittings and fixtures of every kind
together with any and all replacements thereof and additions thereto, and all
other furnishings, if any are in the building erected upon the premises now or
hereafter attached to, or used in connection with the premises, all of which
shall be deemed to be and remain and form a part of the realty and are covered
by the lien of this mortgage.
TOGETHER also with any and all award and awards hereto made and hereinafter
to be made by County, Municipal or State authorities to the present and all
subsequent owners of the premises herein described including any award or awards
for any change or changes of grade of streets affecting said premises, which
said award and awards are hereby assigned to the said party of the first part,
to be applied toward the payment of the amount owning on account of said
mortgage and its accompanying bond or note notwithstanding the fact that the
amount owing on account of said mortgage and said bond or note may not be then
due and payable.
AND the party of the second part, in consideration of the above extension
and of one dollar paid by said party of the first part, and other valuable
consideration, the receipt whereof is hereby acknowledged, does hereby covenant
to pay said principal sum and interest as above set forth and to comply with the
other terms of said bond or note and mortgage; and the party of the second part
covenants that the principal and the interest hereby agrees to be paid, shall be
a lien on the mortgaged premises and be secured by said bond or note and
mortgage, and that when the terms of the mortgages described above and bonds or
notes secured thereby, in any conflict with the terms of this agreement, the
terms and provisions of this agreement shall prevail.
AND THE PARTY OF THE SECOND PART COVENANTS WITH THE PARTY OF THE FIRST PART AS
FOLLOWS:
1. PROMISE TO PAY
The party of the second part will pay the indebtedness as hereinbefore
provided.
2. ESCROW
In addition to the minimum monthly payment of principal and interest,
payable as hereinbefore provided, the party of the second part will pay to the
party of the first part, at the time of said monthly payments of principal and
interest, one-twelfth of the total annual taxes, water rates, sewer rental tax
and fire insurance premiums with extended coverage upon the mortgaged premises
as estimated and required by the party of the first part. If at any time the
aforesaid monthly sum is found insufficient to fully pay said taxes, water
charges, sewer rental tax and fire insurance premiums and extended coverage
charge or tax reserve in the opinion of the party of the first part is
insufficient, the party of the second part agrees to pay such deficiency
immediately upon demand, in default whereof for fifteen days after demand the
whole of the principal sum remaining due and unpaid with accrued interest shall,
at the option of the party of the first part, immediately become due and
payable. The party of the first part may, at any time, waive the monthly payment
to it for taxes and/or water and/or fire insurance premiums or either of them;
and in the event of such waiver, such charges shall be paid by the party of the
second part and proof of payment thereof shall be furnished to the party of the
first part.
3. PREPAYMENT
The party of the second part shall have the right to prepay the
consolidated debt, or any part thereof, provided however, that when the amount
prepaid in any one year exceeds 20% of the original amount of the loan, then the
party of the second part shall pay in addition to such balance, a sum equivalent
to ninety days' interest on the amount prepaid over said 20%.
4. PROMISE TO KEEP INSURANCE
The party of the second part will keep the buildings on the premises
insured against loss by fire for the benefit of the party of the first part;
that he will assign and deliver the policies to the party of the first part; and
that he will reimburse the party of the first part for any premiums paid for
insurance made by the party of the first part on the default of the party of the
second part in so insuring the buildings or in so assigning and delivering the
policies. The party of the second part further agrees to keep the buildings
insured against loss by fire and other hazards, casualties and contingencies,
including extended coverage, for the benefit of the party of the first part, in
such amounts and for such periods as the party of the first part may require,
and the rights of the party of the first part on failure of the party of the
second part to supply any such insurance shall be the same as provided in the
Real Property Law in reference to fire insurance.
5. PRESERVATION OF PROPERTY
No buildings, fixtures or personal property covered by said mortgage shall
be removed or demolished without the written consent of the party of the first
part.
6. DEFAULT
The whole of said principal sum and interest shall become due at the option
of the part of the first party, after default in the payment of any monthly
installment of principal and interest and tax reserve for fifteen days, or after
deault in the payment of any tax, water rate or assessment for fifteen days
after notice and demand; or after default after notice and demand either in
assigning and delivering the policies insuring the building against loss by fire
or in reimbursing the party of the first part for premiums paid on such
insurance, as hereinbefore provided; or after default upon request in furnishing
a statement of the amount due on the mortgage and whether any offsets or
defenses exist against the mortgage debts, as hereinafter provided.
7. RECEIVER
The holder of said mortgage in any action to foreclose it, shall be
entitled to the appointment of a Receiver, without regard to the adequacy of any
security for the debt, and without notice to the party of the second part herein
or the then owner of the property.
8. PAYMENT OF CHARGES
The party of the second part will pay all taxes, water rates, assessments,
insurance premiums and/or similar charges affecting the mortgaged premises, and
in default thereof the party of the first part may, at its option, pay such
taxes, assessments, insurance premiums and/or similar charges and all such
payments or advances, if paid by the party of the first part, shall be added to
and become a part of the unpaid balance of the indebtedness aforesaid as of the
first day of the month in which such payments are made or advanced and shall be
deemed to be secured in like manner.
9. MORTGAGE DEBT
The party of the second part within five days upon request in person or
within ten days upon request by mail will furnish a written statement duly
acknowledged of the amount due on said mortgage and whether any offsets or
defenses exist against the mortgage debt.
10. NOTICE
Any notice, demand or request, herein provided for, may be made in writing,
and may be served in person or by mail.
11. TITLE
The party of the second part warrants the title to the mortgaged premises.
12. ASSIGNMENT OF RENTS
In the event of a default in the payment of any monthly installment under
said mortgage, or in the bond or note secured thereby, the party of the first
part shall have the right to receive and collect any and all rents derived from
said property and to apply such rents in the same manner as provided in said
bond or note for the application of such monthly installments. And the party of
the second part hereby assigns said rents to the party of the first part and
designates the party of the first part, agent of the party of the second part,
to effect the collection of rents hereby ratifying and affirming any and all
acts of the party of the first part in undertaking to effect such collection.
13. POSSESSION OF PROPERTY
If the mortgaged premises shall be abandoned or vacated by the party of the
second part or any successors in title, the party of the first part shall be
entitled to enter upon and take possession of the same to protect and conserve
its security.
14. MAINTENANCE OF PROPERTY
The party of the second part covenants to maintain the buildings on said
premises in reasonably good repair and not to permit the same to substantially
depreciate in value by reason of neglect or otherwise, and further covenants to
comply with the requirements of any public authority within three months after
an order making such requirements has been issued by any Muncipal, State,
Federal and other public authority. The principal sum remaining unpaid shall
become due at the option of the party of the first part on default in any of
said covenants.
15. TRUST FUND
The party of the second part will receive the advances secured by said
mortgage and will hold the right to receive such advances as a trust fund to be
applied, first, [illegible] he purpose of paying the cost of
improvement [illegible] nd that the party of the second part will [illegible]
are amortized over 20 years, the entire unpaid principal balance [illigible]
accrued interest, if any, shall be due and payable on May 1, 1998.
17. MEMBERSHIP
That upon any transfer of the title to the premises described herein, the
successor in title of the party of the second part shall, by accepting such
transfer immediately become a member of the party of the first party, MASPETH
FEDERAL SAVINGS AND LOAN ASSOCATION, and be bound by the terms and provisions of
its charters and by-laws. And should any such subsequent owner refuse on demand
to subscribe to such charter and by-laws, the party of the first part may, at
its option, immediately declare the full balance of the principal sum hereby
secured, to be due in like manner, as hereinbefore provided, for default in the
payment of the monthly installments.
18. DEFENSE OF LIEN
If any action or proceedings by commenced by any other person than the
party of the first part, to which action or proceedings the party of the first
part is made a party, or in which it becomes necessary to defend or uphold the
lien of said mortgage, all sums paid by the party of the first part for the
expenses of any such litigation to prosecute or defend the rights and lien
created by said mortgage (including reasonable counsel fees) shall be paid by
the party of the second part, together with interest thereon, at the maximum
legal rate of interest, and such sum and interest shall be a lien on said
premises, prior to any right, title or interest in or claim upon the premises
attaching or accruing subsequent to the lien of said mortgage, and shall be
added to the principal amount intended to be secured by said mortgage and the
accompany bond.
19. TRANSFER OF TITLE
In the event of a transfer of title of the premises described herein from
the part of the second party or any subsequent owner to any other party, the
party of the first part or its assigns shall have the option to declare the
entire unpaid principal sum and accrued unpaid interest, due, and payable.
20. POSSESSION AND ASSIGNMENT OF RENTS
In the event of any default, (in addition to any other rights and remedies)
the party of the first part shall have the right forthwith on demand to enter
upon and take possession of the mortgaged premises and to receive and collect
any and all rents derived from said property and to apply the rents in the same
manner as is herein provided for the application of monthly installments or
carrying charges. If the party of the second part or any subsequent owner is
occupying said premises or any part thereof, it is hereby agreed that a
reasonable occupational rental for the premises so occupied shall be paid
monthly in advance by the occupant to the party of the first part. And the party
of the second part hereby consents to the entry and possession and hereby
assigns said rents and rental to the party of the first part, and designates the
party of the first part, agent of the party of the second part, to effect the
collection of such rents and rental, hereby ratifying and affirming any and all
acts of the party of the first part in making entry and taking possession and in
undertaking to effect such collection.
21. NO DEFENSES
The party of the second part is now the owner of the premises upon which
the aforesaid consolidated mortgage is a valid first lien for the principal sum
of $1,075,000.00 with interest thereon payable as above set forth, and that
there are no defenses or offsets to the aforesaid mortgages or to the bonds or
notes which it secures.
22. PARTIES
If more than one party joins in the execution of this instrument, the
covenants and agreements hereof shall be their joint and several obligations,
and if any be of other than the masculine sex, the relative words herein shall
be read as if written in the plural and/or in such other gender, accordingly, as
the case may be.
23. MEMBERSHIP
The party of the second part hereby becomes a member of the party of the
first part, and the party of the second part hereby agrees to abide by the terms
and provisions of the charter and by-laws of the party of the first part, as
they are now and as they may hereafter be revised, altered or amended.
24. LATE CHARGES, HANDLING CHARGE AND RETURNED CHECKS
The party of the second part further agrees that in the event that any
monthly payment of interest, principal, taxes, assessments, insurance, water
rates, or any of them, due to be paid to the party of the first part on the
first day of any month, is not paid to it during the first fifteen days of each
month, the party of the second part will, at the option of the party of the
first part pay to it a "late charge" of Six (6)% of such overdue payment, to
cover the extra expense involved in handling delinquent payments, and that such
charge may be collected by the party of the first part out of any payment
thereafter made or any moneys held in the mortgage escrow account. In addition
to the payments herein provided, the party of the second part shall pay to the
party of the first part annually the sum of $10.00 to defray part of the expense
incidental to handling the payment of taxes covering the mortgaged premises
including annual report of the tax status. In the event any of checks for
payments of this mortgage are returned due to insufficient funds, the party of
the first part shall have the right to impose a $5.00 charge to cover the cost
of the additional bookkeeping and other work involved in processing the payment.
This charge may be collected by the party of the first part out of any future
payments or any moneys held in the mortgage escrow account.
25. INCOME
The party of the second part will furnish annually to the party of the
first part within ten days after written demand, a statement in writing verified
by the party of the second part or an officer of the party of the second part if
requested, setting forth in detail all income received from the mortgaged
premises as well as all expenses and expenditures in connection therewith,
together with a certified rent roll showing all rents of the mortgaged premises
as of the date of the statement, such instruments to be prepared in accordance
with the usual accounting practices for real estate in the City of New York, and
in such form as may be required by the party of the first part.
26. DESCRIPTION
The premises affected by this agreement are described as follows:
ALL that certain plot, piece or parcel of land, situate, lying and being in the
Borough and County of Queens, City and State of New York, bounded and described
as follows:
BEGINNING at the corner formed by the intersection of the northerly side of 56th
Drive (Perry Avenue) with the easterly side of ▇▇▇▇ ▇▇▇▇▇▇ (▇▇▇▇▇ ▇▇▇▇▇▇);
RUNNING THENCE easterly along the northerly side of 56th Drive, 232 feet 6
inches;
THENCE northerly parallel with 58th Street 129 feet;
THENCE westerly parallel with 56th Drive and part of the distance through a
party wall, 232 feet 6 inches to the easterly side of ▇▇▇▇ ▇▇▇▇▇▇;
THENCE southerly along the easterly side of ▇▇▇▇ ▇▇▇▇▇▇ 129 feet to the corner
at the point or place of BEGINNING.
SAID PREMISES being known as and by the street number ▇▇-▇▇ ▇▇▇▇ ▇▇▇▇▇▇,
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇.
The real property is not principally improved or to be improved by one or more
structures containing in the aggregate more than six residential dwelling units,
each dwelling unit having its own separate cooking facilities.
The covenants, agreements and options herein contained shall bind and
inure to the benefit of the distributees, executors, administrators, successors,
and assigns of the parties hereto.
IN WITNESS WHEREOF, this agreement has been duly executed by the
parties hereto.
IN PRESENCE OF: MASPETH FEDERAL SAVINGS AND LOAN ASSOCIATION
By /s/ May ▇▇▇▇▇▇▇▇
-------------------------------------
Assistant Vice President
PURO CORPORATION OF AMERICA
By /s/ ▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇, Pres.
-------------------------------------
President
STATE OF NEW YORK, COUNTY OF QUEENS, ss.:
On the _______________ day of ________________ 19__, before me personally
came ________________________________________ to me known to be the individual
______________ described in and who executed the foregoing instrument, and
acknowledged that ___________________ executed the same.
STATE OF NEW YORK, COUNTY OF QUEENS, ss.:
On the 24th day of May 1988, before me personally came ▇▇▇▇ ▇▇▇▇▇▇▇▇ to me
known, who, being by me duly sworn, did depose and say that she resides at No.
▇▇-▇▇ ▇▇▇▇▇▇▇ ▇▇▇., ▇▇▇▇▇▇▇, ▇▇; that she is the Asst. Vice President of MASPETH
FEDERAL SAVINGS AND LOAN ASSOCIATION, the corporation described in and which
executed the foregoing instrument; that she knows the seal of said corporation;
that the seal affixed to said instrument is such corporate seal; that it was so
affixed by order of the board of directors of said corporation, and that she
signed her name thereto by like order.
/s/[illigible]
▇▇▇▇▇▇▇ ▇▇▇▇▇▇
Notary Public, State of New York
No. 2573615
Qualified in Nassau County
Commission Expires November 30, ▇▇▇▇
▇▇▇▇▇ ▇▇ ▇▇▇ ▇▇▇▇, ▇▇▇▇▇▇ ▇▇ ▇▇▇▇▇▇, ss.:
On the _______________ day of ________________ 19__, before me personally
came ________________________________________ to me known to be the individual
______________ described in and who executed the foregoing instrument, and
acknowledged that ___________________ executed the same.
STATE OF NEW YORK, COUNTY OF QUEENS, ss.:
On the 24th day of May 1988, before me personally came ▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇▇
to me known, who, being by me duly sworn, did depose and say that he resides at
No. ▇▇▇ ▇▇▇▇ ▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇, ▇▇ that he is the President of PURO
CORPORATION OF AMERICA, the corporation described in and which executed the
foregoing instrument: that he knows the seal of said corporation; that the seal
affixed to said instrument is such corporate seal; that it was so affixed by
order of the board of directors of said corporation, and that he signed his name
thereto by like order.
Record and return to:
▇▇▇▇▇▇ and White
▇▇-▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇
▇▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇ ▇▇▇▇▇
Loan No. 10047
================================
MASPETH FEDERAL SAVINGS
AND
LOAN ASSOCIATION
with
PURO CORPORATION OF AMERICA
================================
BALLOON CONSOLIDATION AND
EXTENSION AGREEMENT
================================
Dated May 24, 1988
The land affected by
the within instrument lies
Block 2664, Lot 1, Queens County Tax Map
================================
