1984-04-BOS-min - Laserfiche WebLink

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PM 0 SELECTMEN S MEETING rr APRIL 4, 1984 S L' ° F A meeting of the Board of Selectmen was held in the Selectmen's Meeting Room, Town Office Building, on Wednesday, April 4, 1984, at 7:00 p.m. Chair- man Battin, Mr. Sacco, Mr. McLaughlin, Mr. Marshall, Mr. Eddison; Mr. Hutchin- son, Town Manager; Mr. Cohen, Town Counsel; Miss Adler, Assistant to the Town Manager and Mrs. Snow, Executive C Jerk, ' were present. Chairman Jean Gaudet and members of LexHAB were present to update the Board on its progress. Mrs. Gaudet noted that two primary concerns of her Board were an amendment to the Land Disposition Agreement for Muzzey School relative to obtaining financing by the developer and the designation of LexHAB as Muzzey Administrator. David Rodgers of Palmer & Dodge explained the need for a mechanism within the proposed amendment to allow the Town to attempt to re- capture any of the restricted united which may be released from restrictions because of a mortgage default by the owner. Mr. Rodgers outlined provisions of a proposed amendment, which would siAbst:Ltute a revised form of the Qu itclaim Deed, add a requirement that the Developer grant mortgages on Restricted Units to the Town to secure certain notice requirements, and extend certain dates appearing in the Land Dis- position Agreement as requested by the Developer. The Deed, as revised, would provide for subordination of the resale, income and rental restrict- ions to the rights of holders of first mortgages on condominium units granted'to institutional lenders. The provisions of the Deed, which is an exhibit to the Land Disposition Agreement, will ensure that the Town will receive notice of foreclosure under such mortgages, and require the lender to offer to sell the note and mortgage to the Town prior to the foreclosure sale, and if the lender acquires the unit upon foreclosure or otherwise, to offer to sell the unit to the Town for a period of 30 days after the lender acquires the unit. Mr. Noyes and his Attorney, Mr. Shafer, were present. Mr. Shafer further explained the procedure by which the Town is given the opportunity to protect restricted units. If a bank schedules a foreclosure sale, the Town could, within five days before the bidding, exercise its rights to redeem before the foreclosure and be in a position of holding the mortgage.. Parties of interest would be given 20 days notice. The procedure would protect the restricted units, but the Town or designee must be ready to buy out the Bank. Based on the discussion, it was agreed that the Second Amendment to the Land Disposition Agreement should be prepared for action by the Board during the next week. Upon motion duly made and seconded, it was voted to permit the developer access to the Muzzey Building for the purpose of removal of certain materials and objects such as lockers and excess furniture, prior to the scheduled start of construction. Mr. Noyes noted that he had requested amendment to the Land Disposition Agreement to provide for moving all dates forward 30 days, with the start of construction on May 30, rather than April 30, as now scheduled. LexHAB Amendment, Land Disp . Agreement Muzzey