HomeMy WebLinkAbout1992-11 CRA
RESOLUTION NO. 92-
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A RESOLUTION OF THE COMMUNITY REDEVELOPMENT AGENCY OF THE
CITY OF SANTA ANA AUTHORIZING THE REFINANCING OF A
REHABILITATION LOAN SECURED BY PROPERTY LOCATED AT 505 NORTH
MAIN STREET
WHEREAS, the Community Redevelopment Agency of the City of Santa Ana
made a loan of One Hundred Eighty-Eight Thousand Nine Hundred Dollars
($l88,900.00) to 505 North Main Street Company, a California general
partnership, to provide partial funding for the rehabilitation of an office
building located at 505 North Main Street in the City of Santa Ana; and
WHEREAS, the obligation to repay said loan is evidenced by a promissory
note dated November 27, 1985 (hereinafter the "1985 Note") by which 505 North
Main Street Company, a California general partnership, undertook to pay the
principal sum of One Hundred Eighty-Eight Thousand Nine Hundred Dollars
($188,900.00) with interest thereon from the date of said note on unpaid
principal at the rate of ten percent (10%) per annum, to the Agency in annual
payments equal to the profit, as defined in the promissory note.
WHEREAS, the said 1985 Note is secured by a deed of trust of the same
date on the abovesaid real property, duly recorded in the records of Orange
County (hereinafter, the "l985 Trust Deed"); and
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WHEREAS, 505 North Main Street Company, a California general
partnership, now requests the refinancing of the abovesaid loan and the Agency
agrees to such refinancing on the terms and conditions hereinafter set forth;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMUNITY REDEVELOPMENT AGENCY OF
THE CITY OF SANTA ANA AS FOLLOWS:
l. The Executive Director of the Agency is authorized to cancel the
1985 Note and reconvey the Agency's interest under the 1985 Trust Deed,
subject to the following terms and conditions:
(a) 505 North Main Street Company, a California general
partnership, shall deliver to the Agency $34,682 through escrow as payment in
full for the December l8, 1981 promissory note.
(b) 505 North Main Street Company, a California general
partnership, shall duly execute and deliver to the Agency, through escrow, a
Zero Coupon U.S. Treasury Bond, in the principal amount of Fifty Nine Thousand
Dollars ($59,000.00), (hereinafter, the "New Bond").
(c) The New Bond shall bear interest at the current market
interest rate per annum.
.
(d) The New Bond shall be issued in the name of the Community
Redevelopment Agency of the City of Santa Ana, a public body, corporate and
politic.
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(e)
The New Bond will have a maturity date of September 15,
2007.
(f) The value of the bond upon maturity will be One Hundred
Eighty-Eight Thousand Nine Hundred Dollars ($l88,900.00).
(g) The 1981 Note shall be cancelled and the 1981 Deed of Trust
shall be reconveyed.
(h) The 1985 Note shall be cancelled and the 1985 Deed of Trust
shall be reconveyed.
BE IT FURTHER RESOLVED that the Executive Director is authorized to take
such actions on behalf of the Agency as are appropriate to carry out the above
described refinancing, including, but not limited to, the signing of all
appropriate documents, the establishment of a loan escrow, and execution of
agreements with the borrower, including joint escrow instructions, and in so
doing to impose such requirements as he deems appropriate for the protection
of the Agency's interest.
ADOPTED this
l8th day of
August
, 1992, by the following vote:
AYES:
McGuigan, Norton, Pulido, Richardson
MEMBERS
NOES:
MEMBERS
ABSENT:
Griset, Acosta, Young
MEMBERS
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ATTEST:
Cy~2:::wr-
Executive Director and
Recording Secretary
APPROVED AS TO FORM:
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Edward J. Co r
Agency Legal Counsel
RLD:3lJ
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