HomeMy WebLinkAbout8782 - Balboa Bay ClubRESOLUTION NO. 8782
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH APPROVING ASSIGNMENT OF AN
INTEREST IN THE BALBOA BAY CLUB LEASEHOLD
ESTATE BY SUPPLEMENTAL DEED OF TRUST TO TITLE
INSURANCE AND TRUST COMPANY, AS TRUSTEE FOR THE
BENEFIT OF INDEPENDENCE MORTGAGE TRUST (SUCCESSOR
IN INTEREST TO USF INVESTORS)
WHEREAS, the City of Newport Beach has entered into a
lease dated March 24, 1948, with the predecessors in interest
to International Bay Clubs, Incorporated, a California
corporation, which lease has since been amended by instruments
dated April 10, 1950, September 29, 1952 and March 28, 1960,
covering the premises in the City of Newport Beach more particu-
larly described in said lease, as amended, which is referred
to in the consent to assignment authorized hereby as the "Main
Lease "; and
WHEREAS, one of the provisions of the said lease
provides that the lease may not be assigned without the consent
of the City of Newport Beach; and
WHEREAS, the City of Newport Beach has heretofore by
Resolution No. 7586 on December 13, 1971, authorized certain
assignments of portions of the leasehold estate by deeds of
trust and /or by sale lease -back of its leasehold estate and
leasehold improvements thereon; and
WHEREAS, pursuant to that authority, a certain deed
of trust dated February 25, 1972, between Lessee, as Trustor,
USF Investment Managers, Inc. (now Provident Realty, Inc.), a
Delaware corporation, as Trustee, and USF Investors (now
Independence Mortgage Trust), a Georgia Business Trust, as
• Beneficiary, was recorded March 16, 1972, in Book 10040, page 629
• of the official records in the office of the county recorder of
Orange County, State of California (herein called the "Original
Deed of Trust "); and
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WHEREAS, the City of Newport Beach has heretofore
by Resolution No. 8365 on September 30, 1974, authorized the
execution of a Supplemental Deed of Trust in favor of Citinational
Development Trust similar to the one now requested, which
authority was never used and said Supplemental Deed of Trust
was not recorded; and
WHEREAS, International Bay Clubs, Incorporated, successor
in interest to Balboa Bay Club, Inc., proposes to hypothecate
additional portions of the leasehold estate created by the Main
Lease by a deed of trust which will be supplemental to the
Original Deed of Trust (hereinafter referred to as the "Supple-
mental Deed of Trust ") which encompasses the entire leasehold
estate as well as portions thereof as more particularly described
in that certain Supplemental Deed of Trust to be given by
International Bay Clubs, Incorporated, a California corporation,
as Trustor, in favor of Title Insurance and Trust Company, a
California corporation, as successor Trustee to Provident Realty,
Inc. (formerly USF Investment Managers, Inc.) pursuant to a
substitution of trustee and to Independence Mortgage Trust, an
unincorporated business trust organized under the laws of the
State of Georgia, and its successors and assigns to secure the
payment of a Renewal, Extension and Modification Note in the
principal sum of $3,054,622.94 and an Additional Note in the prin-
cipal sum of $225,000.00 and certain other obligations therein
described. An unexecuted copy of such Supplemental Deed of Trust
is attached to the proposed Consent to Assignment of Leasehold
Estate by Deed of Trust and marked Exhibit "A" thereto; and
WHEREAS, it appears to be in the best interests of the
citizens of the City of Newport Beach that the City consent to
such assignments by the Supplemental Deed of Trust described
above;
NOW, THEREFORE, BE IT RESOLVED, that the City Council
of the City of Newport Beach hereby consents to the above - described
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assignment by Supplemental Deed of Trust subject to all of the
terms and conditions set forth in the Consent to Assignment in
the form described above or as modified, subject to the approval
of the City Attorney, and hereby authorizes the Mayor and City
Clerk to execute said consent to assignment on behalf of the
City.
ADOPTED this 24th day of
ATTEST:
J
City Clerk
J��ffD THE ORIGINA➢.
.............. _........ - - ... .................
CITY CLERK OF THE CITY OF NcY - T BEAOi-0
1976.
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5/20/76