Notice of HUD-Held Multifamily and Healthcare Loan Sale (MHLS 2006-2), 67625-67626 [E6-19691]

Download as PDF pwalker on PROD1PC61 with NOTICES Federal Register / Vol. 71, No. 225 / Wednesday, November 22, 2006 / Notices Manager, Office of Asset Management, Department of Housing and Urban Development, 451 7th Street, SW., Washington, DC 20410, telephone (202) 708–3730 (this is not a toll free number) for copies of the proposed forms and other available information. SUPPLEMENTARY INFORMATION: The Department is submitting the proposed information collection to OMB for review, as required by the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35, as amended). This Notice is soliciting comments from members of the public and affected agencies concerning the proposed collection of information to: (1) Evaluate whether the proposed collection is necessary for the proper performance of the functions of the agency, including whether the information will have practical utility; (2) Evaluate the accuracy of the agency’s estimate of the burden of the proposed collection of information; (3) Enhance the quality, utility, and clarity of the information to be collected; and (4) Minimize the burden of the collection of information on those who are to respond; including the use of appropriate automated collection techniques or other forms of information technology, e.g., permitting electronic submission of responses. This Notice also lists the following information: Title of Proposal: Multifamily Default Status Report. OMB Control Number, if applicable: 2502–0041. Description of the need for the information and proposed use: Mortgagees use this information collection to notify HUD that a project owner is more than 30 days past due on the mortgage payment. HUD Field Office and Headquarters staff use the data to: (a) Monitor mortgage compliance with HUD’s loan servicing procedures and assignments; and (b) avoid mortgage assignments in the future. This information is submitted electronically via the Internet. Agency form numbers, if applicable: HUD–92426. Estimation of the total numbers of hours needed to prepare the information collection including number of respondents, frequency of response, and hours of response: The estimated total number of burden hours needed to prepare the information collection is 1,893; the number of respondents is 98 generating approximately 11,368 annual responses; the frequency of response is on occasion; and the estimated time needed to prepare the response is 10 minutes. VerDate Aug<31>2005 22:25 Nov 21, 2006 Jkt 211001 Status of the proposed information collection: Extension of a currently approved collection. Authority: The Paperwork Reduction Act of 1995, 44 U.S.C., Chapter 35, as amended. Dated: November 15, 2006. Frank L. Davis, General Deputy Assistant Secretary for Housing, Deputy Federal Housing Commissioner. [FR Doc. E6–19692 Filed 11–21–06; 8:45 am] BILLING CODE 4210–67–P DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT [Docket No. FR–5113–N–01] Notice of HUD-Held Multifamily and Healthcare Loan Sale (MHLS 2006–2) Office of the Assistant Secretary for Housing—Federal Housing Commissioner, HUD. ACTION: Notice of sale of mortgage loans. 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 2006–2). This notice also describes generally the bidding process for the sale and certain persons who are ineligible to bid. DATES: The Bidder’s Information Package (BIP) will be made available to qualified bidders on or about October 31, 2006. Bids for the loans must be submitted on the bid date, which is currently scheduled for December 6, 2006. HUD anticipates that awards will be made on or before December 7, 2006. Closings are expected to take place on December 13, 2006. ADDRESSES: To become a qualified bidder and receive the BIP, prospective 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 http:// www.hud.gov/offices/hsg/comp/asset/ mfam/mhls.cfm. The executed documents must be mailed and faxed to The Debt Exchange, HUD’s Transaction Specialist for the sale, at 133 Federal Street, 10th Floor, Boston, Massachusetts 02110, Attention: MHLS 2006–2 Sale Coordinator, Fax: (617) 531–3499. FOR FURTHER INFORMATION CONTACT: John Lucey, Acting Deputy Director, Asset Sales Office, Department of Housing and Urban Development, 451 Seventh Street, SW., Room 3136, Washington, DC 20410–8000; telephone (202) 708–2625, PO 00000 Frm 00085 Fmt 4703 Sfmt 4703 67625 extension 3927 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 2006–2 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. Interested Mortgagors should review the Qualification Statement to determine whether they may also be eligible to qualify to submit bids on one or more pools of Mortgage Loans or on individual loans in MHLS 2006–2. The Bidding Process The BIP will describe in detail the procedure for bidding in MHLS 2006–2. The BIP will also include a standardized nonnegotiable loan sale agreement (Loan Sale Agreement). As part of its bid, each bidder must submit a deposit equal to the greater of $100,000 or 10% of the bid price. In the event the bidder’s aggregate bid is less than $100,000.00, the minimum deposit shall be not less than fifty percent (50%) of the bidder’s aggregate bid. 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 December 13, 2006. 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 E:\FR\FM\22NON1.SGM 22NON1 67626 Federal Register / Vol. 71, No. 225 / Wednesday, November 22, 2006 / Notices 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 2006–2. 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 2006–2 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. pwalker on PROD1PC61 with NOTICES 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 VerDate Aug<31>2005 22:25 Nov 21, 2006 Jkt 211001 the Mortgage Loans included in MHLS 2006–2: (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 2006–2; (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 2006– 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 2006–2; (7) any mortgagor (or affiliate of a mortgagor) that failed to submit to HUD on or before November 29, 2006, audited financial statements for 1999 through 2005 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 November 29, 2006. In addition, any entity or individual that serviced or held any Mortgage Loan at any time during the 2-year period prior to October 31, 2006, 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 October 31, 2006. Also ineligible to bid on any Mortgage Loan are: (a) Any affiliate or principal PO 00000 Frm 00086 Fmt 4703 Sfmt 4703 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 2006–2. Freedom of Information Act Requests HUD reserves the right, in its sole and absolute discretion, to disclose information regarding MHLS 2006–2, including, but not limited to, the identity of any successful bidder and its bid price or bid percentage for any pool of loans or individual loan, upon the closing of the sale of all the Mortgage Loans. Even if HUD elects not to publicly disclose any information relating to MHLS 2006–2, 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 2006–2 and does not establish HUD’s policy for the sale of other mortgage loans. Dated: November 15, 2006. Brian D. Montgomery, Assistant Secretary for Housing—Federal Housing Commissioner. [FR Doc. E6–19691 Filed 11–21–06; 8:45 am] BILLING CODE 4210–67–P DEPARTMENT OF THE INTERIOR Fish and Wildlife Service Notice of Availability of the Final Comprehensive Plan and Finding of No Significant Impact for D’Arbonne National Wildlife Refuge in Union and Ouachita Parishes, LA Fish and Wildlife Service, Interior. ACTION: Notice of availability. AGENCY: SUMMARY: The Fish and Wildlife Service announces that a Final Comprehensive Conservation Plan and Finding of No Significant Impact for D’Arbonne National Wildlife Refuge in Union and Ouachita Parishes are available for distribution. The plan was prepared pursuant to the National Wildlife Refuge System Improvement Act of 1997, and in accordance with the National E:\FR\FM\22NON1.SGM 22NON1

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[Federal Register Volume 71, Number 225 (Wednesday, November 22, 2006)]
[Notices]
[Pages 67625-67626]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-19691]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket No. FR-5113-N-01]


Notice of HUD-Held Multifamily and Healthcare Loan Sale (MHLS 
2006-2)

AGENCY: Office of the Assistant Secretary for Housing--Federal Housing 
Commissioner, HUD.

ACTION: Notice of sale of mortgage loans.

-----------------------------------------------------------------------

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 2006-2). This notice also describes generally the bidding 
process for the sale and certain persons who are ineligible to bid.

DATES: The Bidder's Information Package (BIP) will be made available to 
qualified bidders on or about October 31, 2006. Bids for the loans must 
be submitted on the bid date, which is currently scheduled for December 
6, 2006. HUD anticipates that awards will be made on or before December 
7, 2006. Closings are expected to take place on December 13, 2006.

ADDRESSES: To become a qualified bidder and receive the BIP, 
prospective 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 http://
www.hud.gov/offices/hsg/comp/asset/mfam/mhls.cfm. The executed 
documents must be mailed and faxed to The Debt Exchange, HUD's 
Transaction Specialist for the sale, at 133 Federal Street, 10th Floor, 
Boston, Massachusetts 02110, Attention: MHLS 2006-2 Sale Coordinator, 
Fax: (617) 531-3499.

FOR FURTHER INFORMATION CONTACT: John Lucey, Acting Deputy Director, 
Asset Sales Office, Department of Housing and Urban Development, 451 
Seventh Street, SW., Room 3136, Washington, DC 20410-8000; telephone 
(202) 708-2625, extension 3927 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 
2006-2 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. Interested Mortgagors should review the 
Qualification Statement to determine whether they may also be eligible 
to qualify to submit bids on one or more pools of Mortgage Loans or on 
individual loans in MHLS 2006-2.

The Bidding Process

    The BIP will describe in detail the procedure for bidding in MHLS 
2006-2. The BIP will also include a standardized nonnegotiable loan 
sale agreement (Loan Sale Agreement).
    As part of its bid, each bidder must submit a deposit equal to the 
greater of $100,000 or 10% of the bid price. In the event the bidder's 
aggregate bid is less than $100,000.00, the minimum deposit shall be 
not less than fifty percent (50%) of the bidder's aggregate bid. 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 December 13, 2006.
    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

[[Page 67626]]

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 2006-2. 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 2006-2 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 2006-2:

(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 2006-2;
(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 2006-2;
(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 2006-2;
(7) any mortgagor (or affiliate of a mortgagor) that failed to submit 
to HUD on or before November 29, 2006, audited financial statements for 
1999 through 2005 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 November 29, 2006.

    In addition, any entity or individual that serviced or held any 
Mortgage Loan at any time during the 2-year period prior to October 31, 
2006, 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 October 31, 2006. 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 2006-2.

Freedom of Information Act Requests

    HUD reserves the right, in its sole and absolute discretion, to 
disclose information regarding MHLS 2006-2, including, but not limited 
to, the identity of any successful bidder and its bid price or bid 
percentage for any pool of loans or individual loan, upon the closing 
of the sale of all the Mortgage Loans. Even if HUD elects not to 
publicly disclose any information relating to MHLS 2006-2, 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 2006-2 and does not establish HUD's 
policy for the sale of other mortgage loans.

    Dated: November 15, 2006.
Brian D. Montgomery,
Assistant Secretary for Housing--Federal Housing Commissioner.
 [FR Doc. E6-19691 Filed 11-21-06; 8:45 am]
BILLING CODE 4210-67-P