In the event of a foreclosure by an institutional first mortgagee, the unit shall be exempt from all further resale restrictions, provided that the following conditions have been satisfied:
(A) The first mortgage did not exceed 100% of the authorized sales price of the unit by the current occupancy (unless written authorization was given by the agency for the owner to enter into a mortgage for a higher amount).
(B) The Board has been given both notice of the default by the mortgagee, as well as notice of the institution of foreclosure. In addition, the Board has not exercised its rights to cure the default.
(C) The lender who is the foreclosing mortgagee is the successful bidder at a sheriff's sale and takes title by deed from the sheriff, or the Board has given written approval for a deed in lieu of foreclosure.
('74 Code, § 131-94) (Ord. 15-1975, passed 8-11-75; Am. Ord. 369-1987, passed 7-27-87; Am. Ord. 699-94, passed 6-13-94; Am. Ord. 945-99, passed 9-13-99; Am. Ord. 43-04, passed 3-22-04; Am. Ord. 266-15, passed 5-11-15)