940 S. MINNIE, LP - 2014 - Laserfiche WebLink

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1. Amount and Purpose. Subject to the terms and conditions of this Agreement, City agrees to make a loan of HOME funds to Developer in the principal amount of up to $1,422,000 (the "City Loan ") for the acquisition and rehabilitation of the Property. 2. City /HOME Note and Deed of Trust. The City /HOME Loan shall be evidenced by the City /HOME Loan Note in the form attached hereto as Exhibit F. The City Loan shall be secured by the City/HOME Loan Deed of Trust in the fonn attached hereto as Exhibit E. The City/HOME Deed of Trust shall be a deed of trust encumbering the Property, subordinate to the Senior Loan(s) made to Developer. 3. City /HOME Loan Terms. The terms and conditions of the City /HOME Loan are as set forth in the City/HOME Loan Note which is a residual receipts note. The HOME compliance period is fifteen (15) years, commencing on the date that all work is complete and the Property is fully occupied. 6. CONDITIONS TO DISBURSEMENT OF LOAN PROCEEDS 6.1 Conditions Precedent. City's obligation to disburse the Loan Amount is subject to the satisfaction, or waiver by the Executive Director, of the following conditions precedent: ( a) Loan Documents. Developer shall have delivered to the Escrow Holder, signed by the authorized officer or officers of Developer, with such signature(s) acknowledged where necessary, each of the following documents: (i) the Loan Agreement; (ii) The City /HOME Loan Note; (iii) The City /HOME Deed of Trust, (iv) The Affordability Restrictions on Transfer of Property; and (b) Title Insurance. City shall have received an LP -10 ALTA Lender's loan policy of title insurance (1970 edition), or evidence of a commitment therefore satisfactory to City, issued by First American Title Insurance Company and in fonn and substance satisfactory to City, together with all endorsements and binders required, naming City as the insured, in a policy amount of not less than the City/HOME Loan Amount, showing Developer as the fee owner of the Property and insuring the City /HOME Deed of Trust to be valid priority liens on the Property. The City /HOME Loan Note and Deed of Trust shall be subordinate to the Senior Loan Note and First Deed. (c) Affordability Restrictions on Transfer of Propert y. Developer shall have delivered to the Escrow Holder, in the form attached hereto as Exhibit G, the Affordability Restrictions on Transfer of Title pursuant to which, among other things, Developer agrees that the Property shall be used only for decent, safe, sanitary and 8