1981-143 CRA - Laserfiche WebLink

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. . I . . ART! CLE II THE NOTE Section 2.01. Authorization. A N.ote in the aggregate principal amount of Seven Hundred Thousand Dollars ($75D,OOO) is hereby authorized to be issued by the Agency under and subject to the terms of this Resolution and the Act. This Resolution constitutes a continuing agreement with the Holder of the Note to secure the full and final payment of principal of and premium, if any, and the interest, fees and other charges on the Note subject to the covenants, agreements, provisions and conditions herein contained. The purpose for which the Note shall be issued is to provide funds to make the Loan to the Participating Party for the purp.ose of Financing of the Project pursuant to the Agreement. The Note shall be designated the "Community Redevelopment Agency of the Agency .of Santa Ana Secured Promissory Note (205 W. Civic Center)." Secti on 2.02. Terms of the Note. The Note shall be dated as of December 1, 1981, and shall be lSSUed as a single fully registered Note, without coupons, substantially in the form set forth on Exhibit A attached hereto and by this reference incorporated herein. The Note shall be sold and delivered t.o the Bank in accordance with the Purchase Agreement. The Note shall mature and become payable on December 1, 1991, and shall bear interest on the unpaid principal balance hereof from the date hereof until due, at a rate ("Basic Rate") per annum one-half percent greater than sixty-five hundredths (.65) times the Base Rate (.5%) (as hereinafter defined and determined). "Base Rent" shall mean that rate of interest charged by Bank on comnercial real estate loans, interest on which is subject to federal income taxation, on properties similar in use to those described in the Project Agreement referenced below. The Base Rate for the period from December 1, 1981 to December 1, 1986 shall be determined as of December 1, 1981 and the Base Rate from and after December 1, 1986 shall be determi ned as of December 1, 1986. Interest only shall be due and payable on the first day of each ca lendar month conmenc i ng January 1, 1982 and cont i nui ng through December 1, 1982. Thereafter, installments .of principal and interest shall be due and payable on the first day of each calendar month convnencing January 1, 1983 and continuing through December 1, 1991, whereupon the entire principal balance of this Note, t.ogether with interest thereon, shall be due and payable. Installment of principal and interest due from January 1, 1983 to DecellÍJer 1, 1991 shall be in equal amounts sufficient, after the payment of accrued interest to amortize the original principal amount of this Note in 360 equal monthly installments; provided that the amount of such installments shall be subject to adjustment, as necessary, on December 1, 1986 to reflect any change in the Base Rate. Bank shall determine the initial amount of such installments and give Agency notice thereof between December 1, 1982 and December 20, 1982. Bank shall determine the amount of such installments for the period commencing December 1, 1986 and shall give Agency notice thereof between December 1, 1986 and December 20, 1986. 6