Opening Doors - Partial Releases of Mortgages for Steeple Square_Initiate Copyright 2014
City of Dubuque Items to be set for Public Hearing # 1.
ITEM TITLE: Opening Doors - Partial Releases of Mortgages
SUMMARY: City Manager recommending that the City Council set a
public hearing be set for October 3, 2016, on the partial
release of three mortgages granted by Opening Doors to
the City of Dubuque.
RESOLUTION of Intent to dispose of an interest in real
estate by Partial Release of certain mortgages granted by
Opening Doors to the City of Dubuque, Iowa
SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt
Resolution(s), Set Public Hearing for 10/3/16
ATTACHMENTS:
Description Type
Opening Doors Partial Releases of Mortgages-MVM City Manager Memo
Memo
Staff Memo Staff Memo
Drake Memo Supporting Documentation
Resolution of Intent Resolutions
Partial Release of Mortgage- No. 1350 Supporting Documentation
Partial Release of Mortgage- No. 1352 Supporting Documentation
Partial Release of Mortgage- No. 1353 Supporting Documentation
THE CITY OF Dubuque
DUB E i"
Masterpiece on the Mississippi 2007.2012.2013
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Opening Doors — Partial Releases of Mortgages
DATE: September 15, 2016
City Attorney Barry Lindahl recommends that a public hearing be set for October 3,
2016, on the partial release of three mortgages granted by Opening Doors to the City of
Dubuque.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Zia/
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
HE CITY OF
DUB
E MEMORANDUM
Masterpiece on the Mississippi
BARRY LINDAHL
CITY ATTORNEY
To: Michael C. Van Milligen
City Manager
DATE: September 14, 2016
RE: Opening Doors — Partial Releases of Mortgages
Attached is a letter from Attorney D. Flint Drake requesting the partial release of three
mortgages granted by Opening Doors to the City of Dubuque.
The City of Dubuque entered into a Development Agreement with Friends of St. Mary's
in connection with the preservation and rehabilitation of the Jackson School building on
the former St. Mary's campus.
The property was purchased by the non-profit Friends of St. Mary's from St. Mary's
Church for the sole purposes of preserving the buildings and enhancing the
neighborhood. The Jackson School is located on Lot 1 of City Lot 493 in the City of
Dubuque.
In 2011, the City of Dubuque provided funds to Opening Doors (which operates Maria
House on Lot 2 of City Lot 493) and, to secure repayment of such funds, received three
mortgages from Opening Doors. The recording information related to the mortgages is
reflected in the proposed Resolution. At the time the mortgages were granted an
incorrect legal description was used in each mortgage: the land subject to the
mortgages was described as "City Lot 493 in the City of Dubuque." However, Opening
Doors did not own all of City Lot 493 at that time; it owned only Lot 2. Lots 1 and 3 of
City Lot 493 were owned by St. Mary's Church. The use of the incorrect legal
description was apparently in error.
Lots 1 and 3 of City Lot 493 have now been conveyed to Friends of St. Mary's as part of
the preservation and rehabilitation of the St. Mary's campus. Friends of St. Mary's is
requesting that the City release Lots 1 and 3 of City Lot 493 from the mortgages. The
City would maintain its mortgage on the Opening Doors property, which was the original
intent of the transaction.
OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563)583-4113/FAX (563)583-1040/EMAIL balesq@cityofdubuque.org
I recommend that a public hearing be set for October 3, 2016 on the attached resolution
of intent to dispose of an interest in real estate by partial release of certain mortgages
granted by Opening Doors to the City of Dubuque, Iowa.
BAL:tIs
Attachment
F:\Users\fsteckle\Department Correspon den ce\Housin g\Open ing Doors Releases\MVM_ResolutionOflntent_091416.doc
OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563) 583-4113/FAx (563) 583-1040/EMAIL balesq@cityofdubuque.org
Drake Law Firm, Pc.
ATTORNEYS
D. Flint Drake* 300 Main Street,Suite 323 Samuel M.DeGree
fdrakepdrakelawpe.com Dubuque,IA 52001 sdegcena drake lawpe.com
Both admitted in Iowa Telephone:(563)582-2000
*Also admitted in Wisconsin Facsimile:(563)583-5225
September 14,2016
Memorandum
To: City of Dubuque
From: Drake Law Firm, PC
Regarding: Partial Mortgage Release Request
We represent Jackson Street School, LLC and Friends of St. Mary's in connection with
the preservation and rehabilitation of the Jackson School building on the former St. Mary's
campus. The property was purchased by the non-profit Friends of St. Mary's from St. Mary's
church for the sole purposes of preserving the buildings and enhancing the neighborhood. The
Jackson School is located on Lot 1 of City Lot 493 in the City of Dubuque. In approximately
2011 the city of Dubuque provided funds to Opening Doors (which operates Maria House on Lot
2 of City Lot 493) and, to secure repayment of such funds, received three mortgages from
Opening Doors. The recording information related to the mortgages is reflected in the proposed
Resolution. At the time the mortgages were granted an incorrect legal description was used in
each mortgage in that the land subject to the mortgages was described as "City Lot 493 in the
City of Dubuque". However, Opening Doors did not own all of City Lot 493 at that time(it
owned only Lot 2-Lots I and 3 of City Lot 493 were owned by St. Mary's church). It is believed
that the use of the incorrect legal description was simply an error. Lots 1 and 3 of City Lot 493
have now been conveyed to Friends of St. Mary's as part of the preservation and rehabilitation of
the St. Mary's campus. Friends of St. Mary's requests that the city release Lots 1 and 3 of City
Lot 493 from the mortgages. The city would maintain its mortgage on the Opening Doors
property, which was the original intent of the transaction.
Best regards,
Drake L irm, P.C.
By:
D. Flint Drake
Prepared by: Barry A. Lindahl, Esq. 300 Main Street Suite 330, Dubuque IA 52001 563 583-4113
Return to: Barry A. Lindahl, Esq. 300 Main Street Suite 330, Dubuque IA 52001 563 583-4113
RESOLUTION NO. 329-16
INTENT TO DISPOSE OF AN INTEREST IN REAL ESTATE BY PARTIAL RELEASE
OF CERTAIN MORTGAGES GRANTED BY OPENING DOORS TO THE CITY OF
DUBUQUE, IOWA
WHEREAS, Opening Doors, an Iowa nonprofit corporation, is the owner of Lot 2
of City Lot 493 in the City of Dubuque, Iowa;
WHEREAS, on November 22, 2011 Opening Doors granted to the City of
Dubuque mortgages on City Lot 493 in the City of Dubuque, Iowa recorded as
Instrument Nos. 2012-1350, 2012-1352, and 2012-1353 (the "Mortgages"). The
Mortgages contained an incorrect legal description as Opening Doors owned only Lot 2
of City Lot 493 and not the balance of City Lot 493 (Lots 1 and 3 of City Lot 493) ; and
WHEREAS, Opening Doors and Jackson Street School, LLC, the owner of Lots 1
and 3 of City Lot 493, have requested that the Mortgages be released as to Lots 1 and
3; and
WHEREAS, the City Council has tentatively determined that the Mortgages
should be released as to those Tots; and
WHEREAS, the City Council has determined that the proposed partial release of
the Mortgages should be set for public hearing.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DUBUQUE, IOWA:
Section 1. The City of Dubuque intends to dispose of its interest in the
Property by Partial Release of Mortgages granted by Opening Doors to the City of
Dubuque, Iowa.
091316baI
Section 2. That the City Clerk is hereby authorized and directed to cause this
Resolutionand a notice to be published as prescribed by Iowa Code Section 364.7 of a
public hearing on the City's intent to dispose of its interest in Lots 1 and 3 of City Lot
493 by Partial Release of Mortgages to be. held on the 3rd day of October, 2016, at 6:00
o'clock p.m. at the Historic Federal Building, 350 West 6th Street, Dubuque, Iowa
Passed, approved and adopted this 19th day of September, 2016.
ATTEST:
. Firnstahl, City Clerk
Kevin J. Lynch, or -
y a y o`em
F:\USERS\tsteckle\Department Correspondence\Housing\Opening Doors Releases\ResolutonDisposingInterest OpeningDoors_091316.docx
2
STATE
PARTIAL RELEASE OF REAL ESTATE MORTGAGE
O Yn THE IOWA STATE B uo 130130 CIATION
OlFciel Forth Na
y g Recorder's Cover Sheet
C1 x1to
Preparer Information: (Name, address and phone number)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, Iowa 52001 (563) 583-4113
Taxpayer Information: (Name and complete address)
City Hall, 50 W. 13th Street, Dubuque, IA 52001
Return Document To: (Name and complete address)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, IA 52001
Grantors: Grantees:
The City of Dubuque, Iowa Opening Doors
Legal description: See Page 2
Document or instrument number of previously recorded documents:
2012-1350
@TM I—Shb B,,A—m —2016
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PARTIAL RELEASE OF REAL ESTATE MORTGAGE
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The undersigned, the present owner(s) of the mortgage hereinafter described, for valuable
consideration, receipt of which is hereby acknowledged, do hereby acknowledge that the following
described real estate situated in Dubuque County, Iowa,to wit:
Lot 1 and Lot 3 of City Lot 493 in the City of Dubuque, Iowa, according to the recorded plat thereof
(1561 Jackson Street)
is hereby released from the lien of the real estate mortgage, executed by Opening Doors
dated November 22, 2011 , recorded in the
records of the Office of the Recorder of the County of Dubuque , State of Iowa, recorded as
document reference number 2012-1350 specifically reserving and retaining the
mortgage lien and all mortgage rights against all of the remaining property embraced in the mortgage
above described.
Words and phrases herein, including acknowledgment hereof, shall be construed as in the
singular or plural, and as masculine, feminine or neuter gender, according to the context.
Dated
Roy D. Buol, Mayor Kevin S. Fimstahl, City Clerk
REPRESENTATIVE CAPACITY ACKNOWLEDGMENT
STATE OF IOWA I COUNTY OF DUBUQUE
This record was acknowledged before me on by Roy D. Buol
and Kevin S. Firnstahi
as Mavor and Citv Clerk, respectively
of The City of Dubuque, Iowa
Signature of Notary Public
INDIVIDUAL ACKNOWLEDGMENT
STATE OF I COUNTY OF
This record was acknowledged before me on by
Signature of Notary Public
NOTE:For complete release of real estate mortgage,see ISBA Tom No. 129.
O The Iowa State Bar Associatl® 2016 Form No.130,Partial Release or Real Estate Mortgage
IowaDoa® Revised January 2016
STATE
PARTIAL RELEASE OF REAL ESTATE MORTGAGE
O Yn THE IOWA STATE B uo 130130 CIATION
OlFciel Forth Na
y g Recorder's Cover Sheet
C1 x1to
Preparer Information: (Name, address and phone number)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, Iowa 52001 (563) 583-4113
Taxpayer Information: (Name and complete address)
City Hall, 50 W. 13th Street, Dubuque, IA 52001
Return Document To: (Name and complete address)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, IA 52001
Grantors: Grantees:
The City of Dubuque, Iowa Opening Doors
Legal description: See Page 2
Document or instrument number of previously recorded documents:
2012-1352
@TM I—Shb B,,A—m —2016
IOWAOOC
r srwre
o
PARTIAL RELEASE OF REAL ESTATE MORTGAGE
r
r�9�Crw
The undersigned, the present owner(s) of the mortgage hereinafter described, for valuable
consideration, receipt of which is hereby acknowledged, do hereby acknowledge that the following
described real estate situated in Dubuque County, Iowa,to wit:
Lot 1 and Lot 3 of City Lot 493 in the City of Dubuque, Iowa, according to the recorded plat thereof
(1561 Jackson Street)
is hereby released from the lien of the real estate mortgage, executed by Opening Doors
dated November 22, 2011 , recorded in the
records of the Office of the Recorder of the County of Dubuque , State of Iowa, recorded as
document reference number 2012-1352 specifically reserving and retaining the
mortgage lien and all mortgage rights against all of the remaining property embraced in the mortgage
above described.
Words and phrases herein, including acknowledgment hereof, shall be construed as in the
singular or plural, and as masculine, feminine or neuter gender, according to the context.
Dated
Roy D. Buol, Mayor Kevin S. Fimstahl, City Clerk
REPRESENTATIVE CAPACITY ACKNOWLEDGMENT
STATE OF IOWA I COUNTY OF DUBUQUE
This record was acknowledged before me on by Roy D. Buol
and Kevin S. Firnstahi
as Mavor and Citv Clerk, respectively
of The City of Dubuque, Iowa
Signature of Notary Public
INDIVIDUAL ACKNOWLEDGMENT
STATE OF I COUNTY OF
This record was acknowledged before me on by
Signature of Notary Public
NOTE:For complete release of real estate mortgage,see ISBA Tom No. 129.
O The Iowa State Bar Associatl® 2016 Form No.130,Partial Release or Real Estate Mortgage
IowaDoa® Revised January 2016
STATE
PARTIAL RELEASE OF REAL ESTATE MORTGAGE
O Yn THE IOWA STATE B uo 130130 CIATION
OlFciel Forth Na
y g Recorder's Cover Sheet
C1 x1to
Preparer Information: (Name, address and phone number)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, Iowa 52001 (563) 583-4113
Taxpayer Information: (Name and complete address)
City Hall, 50 W. 13th Street, Dubuque, IA 52001
Return Document To: (Name and complete address)
Barry A. Lindahl, 300 Main Street, Suite 330, Dubuque, IA 52001
Grantors: Grantees:
The City of Dubuque, Iowa Opening Doors
Legal description: See Page 2
Document or instrument number of previously recorded documents:
2012-1353
@TM I—Shb B,,A—m —2016
IOWAOOC
r srwre
o
PARTIAL RELEASE OF REAL ESTATE MORTGAGE
r
r�9�Crw
The undersigned, the present owner(s) of the mortgage hereinafter described, for valuable
consideration, receipt of which is hereby acknowledged, do hereby acknowledge that the following
described real estate situated in Dubuque County, Iowa,to wit:
Lot 1 and Lot 3 of City Lot 493 in the City of Dubuque, Iowa, according to the recorded plat thereof
(1561 Jackson Street)
is hereby released from the lien of the real estate mortgage, executed by Opening Doors
dated November 22, 2011 , recorded in the
records of the Office of the Recorder of the County of Dubuque , State of Iowa, recorded as
document reference number 2012-1353 specifically reserving and retaining the
mortgage lien and all mortgage rights against all of the remaining property embraced in the mortgage
above described.
Words and phrases herein, including acknowledgment hereof, shall be construed as in the
singular or plural, and as masculine, feminine or neuter gender, according to the context.
Dated
Roy D. Buol, Mayor Kevin S. Fimstahl, City Clerk
REPRESENTATIVE CAPACITY ACKNOWLEDGMENT
STATE OF IOWA I COUNTY OF DUBUQUE
This record was acknowledged before me on by Roy D. Buol
and Kevin S. Firnstahi
as Mavor and Citv Clerk, respectively
of The City of Dubuque, Iowa
Signature of Notary Public
INDIVIDUAL ACKNOWLEDGMENT
STATE OF I COUNTY OF
This record was acknowledged before me on by
Signature of Notary Public
NOTE:For complete release of real estate mortgage,see ISBA Tom No. 129.
O The Iowa State Bar Associatl® 2016 Form No.130,Partial Release or Real Estate Mortgage
IowaDoa® Revised January 2016