Notice of HUD-Held Multifamily and Healthcare Loan Sale (MHLS 2005-2), 53805-53807 [E5-4972]
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Federal Register / Vol. 70, No. 175 / Monday, September 12, 2005 / Notices
costs. For a period of up to 72 hours, you are
authorized to fund assistance for emergency
protective measures, including direct Federal
assistance, at 100 percent of the total eligible
costs. Federal funding for debris removal will
remain at 75 percent.
Further, you are authorized to make
changes to this declaration to the extent
allowable under the Stafford Act.
The time period prescribed for the
implementation of section 310(a),
Priority to Certain Applications for
Public Facility and Public Housing
Assistance, 42 U.S.C. 5153, shall be for
a period not to exceed six months after
the date of this declaration.
The Federal Emergency Management
Agency (FEMA) hereby gives notice that
pursuant to the authority vested in the
Under Secretary for Emergency
Preparedness and Response, Department
of Homeland Security, under Executive
Order 12148, as amended, William L.
Carwile, III, of FEMA is appointed to act
as the Federal Coordinating Officer for
this declared disaster.
I do hereby determine the following
areas of the State of Mississippi to have
been affected adversely by this declared
major disaster:
Amite, Forrest, George, Greene, Hancock,
Harrison, Jackson, Lamar, Marion, Pearl
River, Perry, Pike, Stone, Walthall, and
Wilkinson Counties for Individual
Assistance.
Adams, Amite, Attala, Chickasaw,
Choctaw, Claiborne, Clarke, Clay, Copiah,
Covington, Forrest, Franklin, George, Greene,
Hancock, Harrison, Hinds, Itawamba,
Jackson, Jasper, Jefferson, Jefferson Davis,
Jones, Kemper, Lamar, Lauderdale,
Lawrence, Leake, Lee, Lincoln, Lowndes,
Madison, Marion, Monroe, Neshoba, Newton,
Noxubee, Oktibbeha, Pearl River, Perry, Pike,
Rankin, Scott, Simpson, Smith, Stone,
Walthall, Warren, Wayne, Webster,
Wilkinson, and Winston Counties for debris
removal and emergency protective measures,
including direct Federal assistance. For a
period of up to 72 hours, assistance for
emergency protective measures, including
direct Federal assistance, will be provided at
100 percent of the total eligible costs. The
period of up to 72 hours at 100 percent
excludes debris removal.
All counties within the State of Mississippi
are eligible to apply for assistance under the
Hazard Mitigation Grant Program.
(The following Catalog of Federal Domestic
Assistance Numbers (CFDA) are to be used
for reporting and drawing funds: 97.030,
Community Disaster Loans; 97.031, Cora
Brown Fund Program; 97.032, Crisis
Counseling; 97.033, Disaster Legal Services
Program; 97.034, Disaster Unemployment
Assistance (DUA); 97.046, Fire Management
Assistance; 97.048, Individual and
Household Housing; 97.049, Individual and
Household Disaster Housing Operations;
97.050, Individual and Household Program—
Other Needs; 97.036, Public Assistance
VerDate Aug<18>2005
15:25 Sep 09, 2005
Jkt 205001
Grants; 97.039, Hazard Mitigation Grant
Program.)
Michael D. Brown,
Under Secretary, Emergency Preparedness
and Response, Department of Homeland
Security.
[FR Doc. 05–17998 Filed 9–9–05; 8:45 am]
BILLING CODE 9110–10–P
DEPARTMENT OF HOMELAND
SECURITY
Federal Emergency Management
Agency
[FEMA–1604–DR]
Mississippi; Amendment No. 1 to
Notice of a Major Disaster Declaration
Federal Emergency
Management Agency, Emergency
Preparedness and Response Directorate,
Department of Homeland Security.
ACTION: Notice.
AGENCY:
SUMMARY: This notice amends the notice
of a major disaster for the State of
Mississippi (FEMA–1604–DR), dated
August 29, 2005, and related
determinations.
EFFECTIVE DATE: September 1, 2005.
FOR FURTHER INFORMATION CONTACT:
Magda Ruiz, Recovery Division, Federal
Emergency Management Agency,
Washington, DC 20472, (202) 646–2705.
SUPPLEMENTARY INFORMATION: Notice is
hereby given that, in a letter dated
September 1, 2005, the President
amended the cost sharing arrangements
concerning Federal funds provided
under the authority of the Robert T.
Stafford Disaster Relief and Emergency
Assistance Act, 42 U.S.C. 5121–5206
(Stafford Act), in a letter to Michael D.
Brown, Under Secretary for Emergency
Preparedness and Response, Federal
Emergency Management Agency,
Department of Homeland Security as
follows:
I have determined that the damage in
certain areas of the State of Mississippi
resulting from Hurricane Katrina on August
29, 2005, and continuing, is of sufficient
severity and magnitude that special
conditions are warranted regarding the cost
sharing arrangements concerning Federal
funds provided under the Robert T. Stafford
Disaster Relief and Emergency Assistance
Act, 42 U.S.C. 5121–5206 (the Stafford Act).
Therefore, I amend my declaration of
August 29, 2005, to authorize Federal funds
for debris removal and emergency protective
measures (Categories A and B), including
direct Federal assistance, under the Public
Assistance program at 100 percent of total
eligible costs, for a 60-day period retroactive
to the date of the major disaster declaration.
This adjustment to State and local cost
sharing applies only to Public Assistance
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Fmt 4703
Sfmt 4703
53805
costs and direct Federal assistance eligible
for such adjustments under the law. The law
specifically prohibits a similar adjustment for
funds provided to States for Other Needs
Assistance (Section 408), and the Hazard
Mitigation Grant Program (Section 404).
These funds will continue to be reimbursed
at 75 percent of total eligible costs.
Please notify Governor Barbour and the
Federal Coordinating Officer of this
amendment to my major disaster declaration.
This cost share is effective as of the date
of the President’s major disaster declaration.
(The following Catalog of Federal Domestic
Assistance Numbers (CFDA) are to be used
for reporting and drawing funds: 97.030,
Community Disaster Loans; 97.031, Cora
Brown Fund Program; 97.032, Crisis
Counseling; 97.033, Disaster Legal Services
Program; 97.034, Disaster Unemployment
Assistance (DUA); 97.046, Fire Management
Assistance; 97.048, Individuals and
Households Housing; 97.049, Individuals and
Households Disaster Housing Operations;
97.050, Individuals and Households
Program—Other Needs; 97.036, Public
Assistance Grants; 97.039, Hazard Mitigation
Grant Program.)
Michael D. Brown,
Under Secretary, Emergency Preparedness
and Response, Department of Homeland
Security.
[FR Doc. 05–17999 Filed 9–9–05; 8:45 am]
BILLING CODE 9110–10–P
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
[Docket No. FR–4639–N–08]
Notice of HUD-Held Multifamily and
Healthcare Loan Sale (MHLS 2005–2)
Office of the Assistant
Secretary for Housing—Federal Housing
Commissioner, HUD.
ACTION: Notice.
AGENCY:
SUMMARY: This notice announces HUD’s
intention to sell certain unsubsidized
multifamily and healthcare mortgage
loans, without Federal Housing
Administration (FHA) insurance, in a
competitive, sealed bid sale (MHLS
2005–2). This notice also describes
generally the bidding process for the
sale and certain persons who are
ineligible to bid.
DATES: The Bidder Information Package
(BIP) was made available to qualified
bidders on August 10, 2005. Bids for the
loans must be submitted on the bid date,
which is currently scheduled for
September 13, 2005. HUD anticipates
that awards will be made on or before
September 15, 2005. Closings are
expected to take place on September 21,
2005.
ADDRESSES: To become a qualified
bidder and receive the BIP, prospective
E:\FR\FM\12SEN1.SGM
12SEN1
53806
Federal Register / Vol. 70, No. 175 / Monday, September 12, 2005 / Notices
bidders must complete, execute, and
submit a Confidentiality Agreement and
a Qualification Statement acceptable to
HUD. Both documents will be available
on the HUD Web site at https://
www.hud.gov/offices/hsg/comp/asset/
mfam/mhls.cfm. The executed
documents must be mailed and faxed to
KEMA Advisors, Inc., HUD’s transaction
specialist for the sale, at 1400 K Street,
NW., Suite 950, Washington, DC 20005,
Attention: MHLS 2005–2 Sale
Coordinator, Fax: 202–464–3047.
FOR FURTHER INFORMATION CONTACT:
Myrna Gordon, Deputy Director, Asset
Sales Office, Room 3136, Department of
Housing and Urban Development, 451
Seventh Street, SW., Washington, DC
20410–8000; telephone 202–708–2625,
extension 3369, or Gregory Bolton,
Senior Attorney, Office of Insured
Housing, Multifamily Division, Room
9230; telephone 202–708–0614,
extension 5245. Hearing- or speechimpaired individuals may call 202–708–
4594 (TTY). These are not toll-free
numbers.
SUPPLEMENTARY INFORMATION: HUD
announces its intention to sell in MHLS
2005–2 certain unsubsidized mortgage
loans (Mortgage Loans) secured by
multifamily and healthcare properties
located throughout the United States.
The Mortgage Loans are comprised
primarily of non-performing mortgage
loans. A final listing of the Mortgage
Loans will be included in the BIP. The
Mortgage Loans will be sold without
FHA insurance and with servicing
released. HUD will offer qualified
bidders an opportunity to bid
competitively on the Mortgage Loans.
The Mortgage Loans will be stratified
for bidding purposes into several
mortgage loan pools. Each pool will
contain Mortgage Loans that generally
have similar performance, property
type, geographic location, lien position
and other characteristics. Qualified
bidders may submit bids on one or more
pools of Mortgage Loans or may bid on
individual loans. A mortgagor who is a
qualified bidder may submit an
individual bid on its own Mortgage
Loan.
The Bidding Process
The BIP will describe in detail the
procedure for bidding in MHLS 2005–2.
The BIP will also include a standardized
nonnegotiable loan sale agreement
(Loan Sale Agreement) and a loan
information CD that contains a
spreadsheet with selected attributes for
each Mortgage Loan.
As part of its bid, each bidder must
submit a deposit equal to the greater of
$100,000 or ten percent of the bid price.
VerDate Aug<18>2005
15:25 Sep 09, 2005
Jkt 205001
HUD will evaluate the bids submitted
and determine the successful bids in its
sole and absolute discretion. If a bidder
is successful, the bidder’s deposit will
be non-refundable and will be applied
toward the purchase price. Deposits will
be returned to unsuccessful bidders.
Closings are scheduled to occur on
September 21, 2005.
These are the essential terms of sale.
The Loan Sale Agreement, which will
be included in the BIP, will contain
additional terms and details. To ensure
a competitive bidding process, the terms
of the bidding process and the Loan Sale
Agreement are not subject to
negotiation.
Due Diligence Review
The BIP will describe the due
diligence process for reviewing loan
files in MHLS 2005–2. Qualified bidders
will be able to access loan information
remotely via a high speed Internet
connection. Further information on
performing due diligence review of the
Mortgage Loans will be provided in the
BIP.
Mortgage Loan Sale Policy
HUD reserves the right to add
Mortgage Loans to or delete Mortgage
Loans from MHLS 2005–2 at any time
prior to the Award Date. HUD also
reserves the right to reject any and all
bids, in whole or in part, without
prejudice to HUD’s right to include any
Mortgage Loans in a later sale. Mortgage
Loans will not be withdrawn after the
Award Date except as is specifically
provided in the Loan Sale Agreement.
This is a sale of unsubsidized
mortgage loans. Pursuant to the
Multifamily Mortgage Sale Regulations,
24 CFR 290.30 et seq., the Mortgage
Loans will be sold without FHA
insurance. Consistent with HUD’s
policy as set forth in 24 CFR 290.35,
HUD is unaware of any Mortgage Loan
that is delinquent and secures a project
(1) for which foreclosure appears
unavoidable, and (2) in which very lowincome tenants reside who are not
receiving housing assistance and who
would be likely to pay rent in excess of
30 percent of their adjusted monthly
income if HUD sold the Mortgage Loan.
If HUD determines that any Mortgage
Loans meet these criteria, they will be
removed from the sale.
Mortgage Loan Sale Procedure
HUD selected a competitive sale as
the method to sell the Mortgage Loans
primarily to satisfy the Mortgage Sale
Regulations. This method of sale
optimizes HUD’s return on the sale of
these Mortgage Loans, affords the
greatest opportunity for all qualified
PO 00000
Frm 00034
Fmt 4703
Sfmt 4703
bidders to bid on the Mortgage Loans,
and provides the quickest and most
efficient vehicle for HUD to dispose of
the Mortgage Loans.
Bidder Eligibility
In order to bid in the sale, a
prospective bidder must complete,
execute and submit both a
Confidentiality Agreement and a
Qualification Statement acceptable to
HUD. The following individuals and
entities are ineligible to bid on any of
the Mortgage Loans included in MHLS
2005–2:
1. Any employee of HUD, a member
of such employee’s household, or an
entity owned or controlled by any such
employee or member of such an
employee’s household;
2. Any individual or entity that is
debarred, suspended, or excluded from
doing business with HUD pursuant to
Title 24 of the Code of Federal
Regulations, part 24;
3. Any contractor, subcontractor and/
or consultant or advisor (including any
agent, employee, partner, director,
principal or affiliate of any of the
foregoing) who performed services for or
on behalf of HUD in connection with
MHLS 2005–2;
4. Any individual who was a
principal, partner, director, agent or
employee of any entity or individual
described in subparagraph 3 above, at
any time during which the entity or
individual performed services for or on
behalf of HUD in connection with
MHLS 2005–2;
5. Any individual or entity that uses
the services, directly or indirectly, of
any person or entity ineligible under
subparagraphs 1 through 4 above to
assist in preparing any of its bids on the
Mortgage Loans;
6. Any individual or entity which
employs or uses the services of an
employee of HUD (other than in such
employee’s official capacity) who is
involved in MHLS 2005–2;
7. Any mortgagor (or affiliate of a
mortgagor) that failed to submit to HUD
on or before August 30, 2005, audited
financial statements for 1998 through
2004 for a project securing a Mortgage
Loan; and
8. Any individual or entity and any
Related Party (as such term is defined in
the Qualification Statement) of such
individual or entity that is a mortgagor
in any of HUD’s multifamily housing
programs and that is in default under
such mortgage loan or is in violation of
any regulatory or business agreements
with HUD, unless such default or
violation is cured on or before August
30, 2005.
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12SEN1
Federal Register / Vol. 70, No. 175 / Monday, September 12, 2005 / Notices
In addition, any entity or individual
that serviced or held any Mortgage Loan
at any time during the 2-year period
prior to August 30, 2005, is ineligible to
bid on such Mortgage Loan or on the
pool containing such Mortgage Loan,
but may bid on loan pools that do not
contain Mortgage Loans that they have
serviced or held at any time during the
2-year period prior to August 30, 2005.
Also ineligible to bid on any Mortgage
Loan are: (a) any affiliate or principal of
any entity or individual described in the
preceding sentence; (b) any employee or
subcontractor of such entity or
individual during that 2-year period; or
(c) any entity or individual that employs
or uses the services of any other entity
or individual described in this
paragraph in preparing its bid on such
Mortgage Loan.
Prospective bidders should carefully
review the Qualification Statement to
determine whether they are eligible to
submit bids on the Mortgage Loans in
MHLS 2005–2.
Freedom of Information Act Requests
HUD reserves the right, in its sole and
absolute discretion, to disclose
information regarding MHLS 2005–2,
including, but not limited to, the
identity of any bidder and their bid
price or bid percentage for any pool of
loans or individual loan, upon the
completion of the sale. Even if HUD
elects not to publicly disclose any
information relating to MHLS 2005–2,
HUD will have the right to disclose any
information that HUD is obligated to
disclose pursuant to the Freedom of
Information Act and all regulations
promulgated thereunder.
Scope of Notice
This notice applies to MHLS 2005–2,
and does not establish HUD’s policy for
the sale of other mortgage loans.
Dated: September 6, 2005.
Frank L. Davis,
General Deputy Assistant Secretary for
Housing.
[FR Doc. E5–4972 Filed 9–9–05 8:45 am]
BILLING CODE 4210–27–P
DEPARTMENT OF THE INTERIOR
Fish and Wildlife Service
Endangered and Threatened Wildlife
and Plants; 5-Year Review of Eight
Southeastern Species
Fish and Wildlife Service,
Interior.
ACTION: Notice.
AGENCY:
VerDate Aug<18>2005
15:25 Sep 09, 2005
Jkt 205001
SUMMARY: The U.S. Fish and Wildlife
Service (Service) announces a 5-year
review of the Puerto Rican parrot
(Amazona vittata), Puerto Rican plain
pigeon (Columba (=Patagioenas)
inornata wetmorei), red-cockaded
woodpecker (Picoides borealis), Puerto
Rican boa (Epicrates inornatus), Virgin
Islands tree boa (Epicrates monensis
´
granti), guajon (Eleutherodactylus
cooki), Harrisia portoricensis (higo
chumbo), and Adiantum vivesii (no
common name), under section 4(c)(2) of
the Endangered Species Act of 1973, as
amended (Act). The purpose of reviews
conducted under this section of the Act
is to ensure that the classification of
species as threatened or endangered on
the List of Endangered and Threatened
Wildlife and Plants (50 CFR 17.11 and
17.12) is accurate. The 5-year review is
an assessment of the best scientific and
commercial data available at the time of
the review.
DATES: To allow us adequate time to
conduct this review, information
submitted for our consideration must be
received on or before November 14,
2005. However, we will continue to
accept new information about any listed
species at any time.
ADDRESSES: Information submitted on
the red-cockaded woodpecker should be
sent to the Field Supervisor, Clemson
Field Office, U.S. Fish and Wildlife
Service, 2610 Lehotsky Hall, Box
341003, Clemson, South Carolina 29634.
Information on the other seven listed
species should be sent to the Field
Supervisor, Caribbean Field Office, U.S.
Fish and Wildlife Service, P.O. Box 491,
´
Boqueron, Puerto Rico 00622.
Information received in response to this
notice of review will be available for
public inspection by appointment,
during normal business hours, at the
same address in Clemson, South
Carolina, and at Cabo Rojo National
Wildlife Refuge, Ecological Service
Office, Carr. 301, Km. 5.1, Bo. Corozo,
´
Boqueron, Puerto Rico, for the other
seven species.
FOR FURTHER INFORMATION CONTACT:
Ralph Costa, Field Supervisor, Clemson,
South Carolina, at address above
(telephone, (864) 656–2432) or Carlos
´
´
Dıaz, Boqueron, Puerto Rico, at address
above (telephone, (787) 851–7297, ext.
230).
SUPPLEMENTARY INFORMATION: Under the
Act (16 U.S.C. 1533 et seq.), the Service
maintains a list of endangered and
threatened wildlife and plant species at
50 CFR 17.11 (for animals) and 17.12
(for plants) (collectively referred to as
the List). Section 4(c)(2)(A) of the Act
requires that we conduct a review of
listed species at least once every five
PO 00000
Frm 00035
Fmt 4703
Sfmt 4703
53807
years. Then, on the basis of such
reviews, under section 4(c)(2)(B), we
determine whether or not any species
should be removed from the List
(delisted), or reclassified from
endangered to threatened or from
threatened to endangered. Delisting a
species must be supported by the best
scientific and commercial data available
and only considered if such data
substantiate that the species is neither
endangered nor threatened for one or
more of the following reasons: (1) The
species is considered extinct; (2) the
species is considered to be recovered;
and/or (3) the original data available
when the species was listed, or the
interpretation of such data, were in
error. Any change in Federal
classification would require a separate
rulemaking process. The regulations at
50 CFR 424.21 require that we publish
a notice in the Federal Register
announcing those species currently
under active review. This notice
announces our active review of the
following species that are currently
´
federally listed as threatened: guajon
and higo chumbo; and the following
species currently federally listed as
endangered: Puerto Rican parrot, Puerto
Rican plain pigeon, red-cockaded
woodpecker, Puerto Rican boa, Virgin
Islands tree boa, and Adiantum vivesii.
The List is found in 50 CFR 17.11
(wildlife) and 17.12 (plants) and is also
available on our Internet site at https://
endangered.fws.gov/
wildlife.html#Species. Amendments to
the List through final rules are
published in the Federal Register.
What Information Is Considered in the
Review?
A 5-year review considers the best
scientific and commercial data that has
become available since the current
listing determination or most recent
status review of each species, such as:
A. Species biology, including but not
limited to population trends,
distribution, abundance, demographics,
and genetics;
B. Habitat conditions, including but
not limited to amount, distribution, and
suitability;
C. Conservation measures that have
been implemented to benefit the
species;
D. Threat status and trends (see five
factors under heading ‘‘How do we
determine whether a species is
endangered or threatened?’’); and
E. Other new information, data, or
corrections, including but not limited to
taxonomic or nomenclatural changes,
identification of erroneous information
contained in the List, and improved
analytical methods.
E:\FR\FM\12SEN1.SGM
12SEN1
Agencies
[Federal Register Volume 70, Number 175 (Monday, September 12, 2005)]
[Notices]
[Pages 53805-53807]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E5-4972]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
[Docket No. FR-4639-N-08]
Notice of HUD-Held Multifamily and Healthcare Loan Sale (MHLS
2005-2)
AGENCY: Office of the Assistant Secretary for Housing--Federal Housing
Commissioner, HUD.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: This notice announces HUD's intention to sell certain
unsubsidized multifamily and healthcare mortgage loans, without Federal
Housing Administration (FHA) insurance, in a competitive, sealed bid
sale (MHLS 2005-2). This notice also describes generally the bidding
process for the sale and certain persons who are ineligible to bid.
DATES: The Bidder Information Package (BIP) was made available to
qualified bidders on August 10, 2005. Bids for the loans must be
submitted on the bid date, which is currently scheduled for September
13, 2005. HUD anticipates that awards will be made on or before
September 15, 2005. Closings are expected to take place on September
21, 2005.
ADDRESSES: To become a qualified bidder and receive the BIP,
prospective
[[Page 53806]]
bidders must complete, execute, and submit a Confidentiality Agreement
and a Qualification Statement acceptable to HUD. Both documents will be
available on the HUD Web site at https://www.hud.gov/offices/hsg/comp/
asset/mfam/mhls.cfm. The executed documents must be mailed and faxed to
KEMA Advisors, Inc., HUD's transaction specialist for the sale, at 1400
K Street, NW., Suite 950, Washington, DC 20005, Attention: MHLS 2005-2
Sale Coordinator, Fax: 202-464-3047.
FOR FURTHER INFORMATION CONTACT: Myrna Gordon, Deputy Director, Asset
Sales Office, Room 3136, Department of Housing and Urban Development,
451 Seventh Street, SW., Washington, DC 20410-8000; telephone 202-708-
2625, extension 3369, or Gregory Bolton, Senior Attorney, Office of
Insured Housing, Multifamily Division, Room 9230; telephone 202-708-
0614, extension 5245. Hearing- or speech-impaired individuals may call
202-708-4594 (TTY). These are not toll-free numbers.
SUPPLEMENTARY INFORMATION: HUD announces its intention to sell in MHLS
2005-2 certain unsubsidized mortgage loans (Mortgage Loans) secured by
multifamily and healthcare properties located throughout the United
States. The Mortgage Loans are comprised primarily of non-performing
mortgage loans. A final listing of the Mortgage Loans will be included
in the BIP. The Mortgage Loans will be sold without FHA insurance and
with servicing released. HUD will offer qualified bidders an
opportunity to bid competitively on the Mortgage Loans.
The Mortgage Loans will be stratified for bidding purposes into
several mortgage loan pools. Each pool will contain Mortgage Loans that
generally have similar performance, property type, geographic location,
lien position and other characteristics. Qualified bidders may submit
bids on one or more pools of Mortgage Loans or may bid on individual
loans. A mortgagor who is a qualified bidder may submit an individual
bid on its own Mortgage Loan.
The Bidding Process
The BIP will describe in detail the procedure for bidding in MHLS
2005-2. The BIP will also include a standardized nonnegotiable loan
sale agreement (Loan Sale Agreement) and a loan information CD that
contains a spreadsheet with selected attributes for each Mortgage Loan.
As part of its bid, each bidder must submit a deposit equal to the
greater of $100,000 or ten percent of the bid price. HUD will evaluate
the bids submitted and determine the successful bids in its sole and
absolute discretion. If a bidder is successful, the bidder's deposit
will be non-refundable and will be applied toward the purchase price.
Deposits will be returned to unsuccessful bidders. Closings are
scheduled to occur on September 21, 2005.
These are the essential terms of sale. The Loan Sale Agreement,
which will be included in the BIP, will contain additional terms and
details. To ensure a competitive bidding process, the terms of the
bidding process and the Loan Sale Agreement are not subject to
negotiation.
Due Diligence Review
The BIP will describe the due diligence process for reviewing loan
files in MHLS 2005-2. Qualified bidders will be able to access loan
information remotely via a high speed Internet connection. Further
information on performing due diligence review of the Mortgage Loans
will be provided in the BIP.
Mortgage Loan Sale Policy
HUD reserves the right to add Mortgage Loans to or delete Mortgage
Loans from MHLS 2005-2 at any time prior to the Award Date. HUD also
reserves the right to reject any and all bids, in whole or in part,
without prejudice to HUD's right to include any Mortgage Loans in a
later sale. Mortgage Loans will not be withdrawn after the Award Date
except as is specifically provided in the Loan Sale Agreement.
This is a sale of unsubsidized mortgage loans. Pursuant to the
Multifamily Mortgage Sale Regulations, 24 CFR 290.30 et seq., the
Mortgage Loans will be sold without FHA insurance. Consistent with
HUD's policy as set forth in 24 CFR 290.35, HUD is unaware of any
Mortgage Loan that is delinquent and secures a project (1) for which
foreclosure appears unavoidable, and (2) in which very low-income
tenants reside who are not receiving housing assistance and who would
be likely to pay rent in excess of 30 percent of their adjusted monthly
income if HUD sold the Mortgage Loan. If HUD determines that any
Mortgage Loans meet these criteria, they will be removed from the sale.
Mortgage Loan Sale Procedure
HUD selected a competitive sale as the method to sell the Mortgage
Loans primarily to satisfy the Mortgage Sale Regulations. This method
of sale optimizes HUD's return on the sale of these Mortgage Loans,
affords the greatest opportunity for all qualified bidders to bid on
the Mortgage Loans, and provides the quickest and most efficient
vehicle for HUD to dispose of the Mortgage Loans.
Bidder Eligibility
In order to bid in the sale, a prospective bidder must complete,
execute and submit both a Confidentiality Agreement and a Qualification
Statement acceptable to HUD. The following individuals and entities are
ineligible to bid on any of the Mortgage Loans included in MHLS 2005-2:
1. Any employee of HUD, a member of such employee's household, or
an entity owned or controlled by any such employee or member of such an
employee's household;
2. Any individual or entity that is debarred, suspended, or
excluded from doing business with HUD pursuant to Title 24 of the Code
of Federal Regulations, part 24;
3. Any contractor, subcontractor and/or consultant or advisor
(including any agent, employee, partner, director, principal or
affiliate of any of the foregoing) who performed services for or on
behalf of HUD in connection with MHLS 2005-2;
4. Any individual who was a principal, partner, director, agent or
employee of any entity or individual described in subparagraph 3 above,
at any time during which the entity or individual performed services
for or on behalf of HUD in connection with MHLS 2005-2;
5. Any individual or entity that uses the services, directly or
indirectly, of any person or entity ineligible under subparagraphs 1
through 4 above to assist in preparing any of its bids on the Mortgage
Loans;
6. Any individual or entity which employs or uses the services of
an employee of HUD (other than in such employee's official capacity)
who is involved in MHLS 2005-2;
7. Any mortgagor (or affiliate of a mortgagor) that failed to
submit to HUD on or before August 30, 2005, audited financial
statements for 1998 through 2004 for a project securing a Mortgage
Loan; and
8. Any individual or entity and any Related Party (as such term is
defined in the Qualification Statement) of such individual or entity
that is a mortgagor in any of HUD's multifamily housing programs and
that is in default under such mortgage loan or is in violation of any
regulatory or business agreements with HUD, unless such default or
violation is cured on or before August 30, 2005.
[[Page 53807]]
In addition, any entity or individual that serviced or held any
Mortgage Loan at any time during the 2-year period prior to August 30,
2005, is ineligible to bid on such Mortgage Loan or on the pool
containing such Mortgage Loan, but may bid on loan pools that do not
contain Mortgage Loans that they have serviced or held at any time
during the 2-year period prior to August 30, 2005. Also ineligible to
bid on any Mortgage Loan are: (a) any affiliate or principal of any
entity or individual described in the preceding sentence; (b) any
employee or subcontractor of such entity or individual during that 2-
year period; or (c) any entity or individual that employs or uses the
services of any other entity or individual described in this paragraph
in preparing its bid on such Mortgage Loan.
Prospective bidders should carefully review the Qualification
Statement to determine whether they are eligible to submit bids on the
Mortgage Loans in MHLS 2005-2.
Freedom of Information Act Requests
HUD reserves the right, in its sole and absolute discretion, to
disclose information regarding MHLS 2005-2, including, but not limited
to, the identity of any bidder and their bid price or bid percentage
for any pool of loans or individual loan, upon the completion of the
sale. Even if HUD elects not to publicly disclose any information
relating to MHLS 2005-2, HUD will have the right to disclose any
information that HUD is obligated to disclose pursuant to the Freedom
of Information Act and all regulations promulgated thereunder.
Scope of Notice
This notice applies to MHLS 2005-2, and does not establish HUD's
policy for the sale of other mortgage loans.
Dated: September 6, 2005.
Frank L. Davis,
General Deputy Assistant Secretary for Housing.
[FR Doc. E5-4972 Filed 9-9-05 8:45 am]
BILLING CODE 4210-27-P