Agenda Packets - 1995/05/01 - Laserfiche WebLink

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O'NEILL, BURKE, O'NEILL LEONARD & O'BRIEN John B. Burke,Jr.+ Timothy M.Walsh Joseph T.O'Neil* Joseph J.Deuhs,Jr. Brian F. Leonard* Attorneys At Law Thomas C. Atmore Michael R. O'Brien A Professional Association Karen A. Chamerlik Lawrence A. Wilfordf John T. Kelly Eldon J. Spencer,Jr.* Eric D. Cook Edward W. Gale 800 Norwest Center 100 South Fifth Street Kristen A.Ziemer Peter H. Grills 55 East Fifth Street Suite 1200 Of Counsel: James A. Geske Saint Paul, Minnesota 55101 Minneapolis, Minnesota 55402 John F. Kelly Michelle McQuarrie Colton Telephone (612)227-9505 Telephone (612)332-1030 Kenneth B. Peterson Grover C. Sayre,III Thomas W. Newcome IIIt Fax (612) 297-6641 Fax (612) 332-2740 David E.Crawford Brian F. Kidwell +Retired Thomas W. Newcome Reply to: Minneapolis *Also admitted in Wisconsin tCertified Real Property Specialist (Minnesota State BarAssociation) April 24, 1995 Mr. Jim Thomson Holmes & Graven 470 Pillsbury Center 200 South Sixth Street Minneapolis, MN 55402 Re: Your Client: City of Moundsiew Our Client: Minnesota Housi g Finance Agency Debtor: Northridge Properties Dear Jim: Our office represents the Minnesota Housing Finance Agency, which holds a first mortgage on the apartment complex known as the Woodlawn Terrace Apartments in the City of Moundsview. Our client's mortgage is roughly 2.67 million dollars. Your client is owed approximately $56,000 by the property owner, for an unpaid water bill. In October, 1994, the owner ceased making payments to the MHFA. In January, our client commenced foreclosure proceedings and brought a Motion for the appointment of a Receiver. On February 17, 1995, the owner filed a Chapter 11 bankruptcy proceeding. The MHFA has filed a Motion seeking relief from the automatic stay, or in the alternative, dismissal or conversion of the case. I enclose a copy of the summary of schedules filed by the Debtor. Your client is named on Schedule E, and is designated as an unsecured priority claim. In fact, your client may be a lien holder on the property. You will also note that the summary reflects that other unsecured creditors total only $37,526.50. It is my understanding, that in addition to the long delinquent water bill, the City may be concerned about building code violations and other problems at the property. The property owners have failed to perform much needed deferred maintenance on the property, and the property has a significant amount of problems and rehabilitation needs.