25B - AGMT - LOAN MOD WITH DEPOT AT SANTIAGO

Home Browse Search

(55th) anniversary of the date of the issuance of the Certificate of Completion for the Project; or (b) July 11, 2071. Notwithstanding the foregoing, the full Note Amount may be accelerated as set forth in Section 14 hereof. 4. Definitions. As used herein, "Annual Project Revenue" shall mean all gross income and all revenues of any kind from the Project in a calendar year, including without limitation, rent, Section 8 housing assistance payments, if any, late charges, vending machine income, and any other revenues of whatever kind or nature from the Project, except that security deposits (until applied), interest on security deposits and required reserves, sales proceeds, and the proceeds of loans, refinancings, condemnation, insurance claims, and partner capital contributions, shall not be considered Annual Project Revenue, As used herein, "Applicable Federal Rate" means the interest rate set by the United States Treasury from time to time for the purpose of determining applicable Low Income Housing Tax Credit interest rates published by the Internal Revenue Service in monthly reserve rulings. As used herein, "Debt Service" means regularly scheduled payments of principal and interest made in a calendar year pursuant to the financing obtained for the development and ownership of the Project which has been approved by the City pursuant to the Agreement, and which is senior in lien priority to the City Loan, but excluding payments made pursuant to the Promissory Note. As used herein, "Capital Replacement Reserve" shall mean a reasonably required reserve not to exceed $250 per unit per year (or such greater amount as may be required by lenders or investors for the Project, to be used for the purpose of replacing capital items. On or before one hundred fifty (150) days after the end of the Borrower's fiscal year, of each year commencing in the year after the issuance of the Certificate of Completion for the Project, the Borrower shall annually provide the City an audited financial statement for the Project and a Residual Receipts Report, in the form attached hereto as Exhibit A, which shall describe in detail the Annual Project Revenue, Debt Service, Operating Expenses, Capital Replacement Reserve (including deposits therein and expenditures therefrom), and Residual Receipts for that year for the Project. The Borrower shall also submit to the City, on or before one hundred fifty (150) days after the end of the Borrower's fiscal year, of each year commencing in the year of the issuance of the Certificate of Completion for the Project, annual audited financial statements with respect to the Project that have been reviewed by an independent certified public accountant, together with an expressed written opinion of the certified public accountant that such financial statements present the financial position, results of operations, and cash flows fairly and in accordance with generally accepted accounting principles. " Operating Budget" and "Annual Budget" shall mean the annual operating budget for the Project that sets forth the projected Operating Expenses for the upcoming year that is subject to and shall be submitted for review and approval by the Deputy City Manager or his /her designee, in his /her reasonable discretion, each year during the Affordability Period pursuant to the Agreement. B -2 1076\49 \i843311.2 25B -13