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HomeMy WebLinkAbout05-57 Resolution No. 05-57 RESOLUTION AUTHORIZING THE EXECUTION OF A RELEASE AND SATISFACTION OF JUDGMENT FOR CASE NO. 04 OV 933 ENTITLED CITY OF ELGIN V. ROBERT STURDIVANT WHEREAS, Robert Sturdivant is the owner of the property commonly referred to as 160 Summit Street, Elgin; and WHEREAS, violations of the Property Maintenance Code are currently existing on the property; and WHEREAS,the City has obtained judgments against Robert Sturdivant in one housing court case because he has failed to maintain the property in compliance with the Property Maintenance Code of the City of Elgin; and WHEREAS,economic rehabilitation of the property is not feasible unless the city's judgment liens on the property are reduced; and WHEREAS,Robert Sturdivant has secured purchasers for the property who have agreed to deposit rehabilitation funds with the city to ensure the Property Maintenance Code violations are corrected before 31 July 2005; and WHEREAS, the public interest will best be served if the Property Maintenance Code violations are corrected as quickly as possible to eliminate the property's blight and its detrimental effect on surrounding properties. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Corporation Counsel William A. Cogley be and is hereby authorized and directed to execute a Release and Satisfaction of Judgment on behalf of the City of Elgin for Case No. 04 OV 933, City of Elgin v. Robert Sturdivant on the condition that (1) Robert Sturdivant tenders payment to the City of Elgin in the amount of Two Thousand Dollars ($2,000) before 28 February 2005, and (2) the property's purchasers execute a Code Violation Escrow Agreement with the City, and deposit the sum of One Thousand Dollars ($1,000) with the city in accordance with that agreement before 28 February 2005. s/Ed Schock Ed Schock,Mayor R f Presented: February 23, 2005 Adopted: February 23, 2005 Omnibus Vote: Yeas: 6 Nays: 0 Attest: s/Dolonna Mecum Dolonna Mecum, City Clerk `0 OF f�Ci `0\ti C It of E I I t1 Agenda Item No. \ �-I p 41TEDFE�� E r r i` L G ** ,s February 18, 2005 N TO: Mayor and Members of the City Council NEIGHBORHOOD VITALITY FROM: Olufemi Folarin, Acting City Manager Adam Garcia, Code Enforcement Supe isor SUBJECT: Judgment Release for 160 Summit Street PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to authorize the execution of a release and satisfaction of judgment for case number 04 OV 933, entitled City of Elgin V. Robert Sturdivant. RECOMMENDATION It is recommended that the City Council authorize the execution of the release and satisfaction of judgment in return for payment of$1000 for the outstanding judgment, $1,000 for outstanding weed and water bills and $1000 deposited with the City in a Code Violation Escrow account. BACKGROUND The City of Elgin started a housing court case for code violations against this property on March 22, 2004. The violations cited in the court case were not complied and the case ended with a $52,575 judgment in favor of the City. The violations remain not complied. The City received a Notice of Foreclosure as a lien holder of record on February 10, 2005. Mr. Sturdivant is trying to sell this property before a foreclosure action is finalized. According to Mr. Sturdivant, the mortgage company has agreed to put the foreclosure on hold until February 24, 2005 for the closing of the sale of the property. The City has received a proposed closing statement showing that Mr. Sturdivant will receive no proceeds from the sale of the property. The proposed sales price is less than the mortgage balance. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None . . e,... Judgment Release for 160 Summit Street February 18, 2005 Page 2 yitA FINANCIAL IMPACT The City would receive a total of $3,000: $1,000 would satisfy outstanding water and weed bills; $1,000 would be used to partially satisfy the outstanding judgment and $1,000 would be held in escrow for improvements to the property. If the property is foreclosed the City would lose its judgment and ability to collect on amounts outstanding. V AI GAL IMPACT II None. ALTERNATIVES 1. Authorize the execution of the release and satisfaction of judgment in return for payment of $1000 to satisfy the outstanding judgment, $1,000 for payment of outstanding weed and water bills and $1000 deposited with the City in a Code Violation Escrow account. 2. Do not reduce the judgment and let the property go into foreclosure. rib' Respectfully submitted for Council consideration. AAG Attachments rak • a V� f�Y Y f J V J r• AI TIMATE REAL ESTATE, INC . ESTRIATE OF SELLER'S EQUITY ctrepared For: ,154-K7 l Date: i 2/o27/O OrrN: 0/907 aft/QC/ _.�l' Your:1 . ...-F►rote58ion �al CAR SELLING PRICE $ -f. O GQ, Da ESTIMATED MORTAGE BALANCE $ I Sq 0400,o� NET BEFORE EXPENSES: $ Less Closing Expenses: stets I or. Revenue Stamps l wvr4 $ O'7 CO Tide Charges S1>o t lc- $ 7-2 s` 0 0 • Survey $ 7°O- 00 Attorney Interest Arrears S Prorated Real Estate Taxes 105-94; $ .3'f d 0 . Oa Brokerage Fees s 4 70O do_ Miscellaneous $ f TOTAL CLOSING EXPENSES: $ 1 I tO(11 O. 0 d "SELLERS ESTIMATED EQUITY: $ The ernes shown are pdBninery Wonsles for planning purposes only.Actual costs will be shown in a closing sunernsnt prepared and approved bt►your suorney.Omer costs not shown here may be}Warred by yon Usual perorations WI be made atdos+rg for reef estates toes,etc.as palled to the Sales Conlrsct Your shame,':tees should also be eateddered as an expense cube sale SIGNATURE DATE SIGNATURE DATE •