ORDINANCE
WHEREAS, the City of Chicago (the "City") is a home rule unit of government under Section 6(a), Article VII of the 1970 Constitution of the State of Illinois and as such may legislate as to matters which pertain to its local government and affairs; and
WHEREAS, the City programmed Community Development Block Grant funds for its Multi-Unit Rehabilitation Assistance Program ("Multi-Program") whereby acquisition and rehabilitation loans were made available to owners of rental properties containing five or more dwelling units located in low- and moderate-income areas, and the Multi-Program was administered by the City's Department of Housing ("DOH"); and
WHEREAS, the City Council of the City (the "City Council"), pursuant to an ordinance enacted on December 17, 1985, and published at pages 25005-25008 of the Journal of the Proceedings ofthe City Council of that date, authorized DOH to provide Multi-Program financing in the amount of $327,000 (the "City Loan") for the rehabilitation of a building located at 821-27 East 49th Street, in Chicago, Illinois (the "Property"), which contains 48 residential dwelling units (the "Project"); and
WHEREAS, McGill Terrace Associates, an Illinois limited partnership, owns the Project (the "Owner"); and
WHEREAS, on March 2, 1987, the City made a loan in the amount of $327,000 with an interest rate of three percent per annum (the "City Loan") to the trustee of a land trust in which the Property was held and of which the Owner was the sole beneficiary, and said trustee subsequently transferred the Property to the Owner; and
WHEREAS, the City Loan is secured by, among other things, that certain Junior Mortgage, Assignment of Rents and Security Agreement dated March 2,1987 and recorded on March 6,1987 in the Office of the Recorder of Deeds of Cook County, Illinois as document number 87125596 (the "City Mortgage"); and
WHEREAS, the City Mortgage is currently subordinated to that certain mortgage dated as of May 1, 2010, secu...
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