black book - please help

[zara]

We received the black book for our building. Under "special risks" it says the following: "The property is currently encumbered by a mortgage held by **** in the original principal amount of $11,200,000, having a maturity date of August 30, 2010. The Mortgagee (bank) will release or partially assign a lien of the Mortgage with respect to each Unit as same is conveyed to each Purchaser under this Plan upon payment to the Mortgagee of a release price."

What does this mean?

Thank you for any help.

[TenantNet]

Is this a co-op conversion?

[zara]

Is this a co-op conversion?

No, it's a conversion to a condominium.

[zara]

Also, I was wondering what happens if the mortgage is not paid off by the due date - does the bank foreclose on the building?

[cestmoi123]

Sounds like they're going to split up the mortgage among the condo units, in effect, and allow each condo purchaser to pay off their share of the mortgage, leaving no lien from that original mortgage against that particular condo unit.

Honestly, if you've got a black book, you should have a lawyer. Relying on our best guesses is not the way to go here.