04-26-2023 Council Packet - Laserfiche WebLink

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ASSIGNMENT OF MORTGAGE AND FUNDING LOAN DOCUMENTS This ASSIGNMENT OF MORTGAGE AND FUNDING LOAN DOCUMENTS, dated as of May 1, 2023 (as the same may be amended, modified or supplemented from time to time, “Assignment”) from the CITY OF LITTLE CANADA, MINNESOTA, a municipal corporation organized under the laws of the State of Minnesota (together with its successors and assigns, the “Assignor”), to U.S. BANK TRUST COMPANY, NATIONAL ASSOCIATION, a national banking association organized under the laws of the United States of America (together with its successors and assigns, the “Assignee”) under the Funding Loan Agreement dated as of May 1, 2023 (as the same may be amended, modified or supplemented from time to time, the “Funding Loan Agreement”), among the Assignor as Governmental Lender, the Assignee as Fiscal Agent and ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA, as funding lender (the “Funding Lender”), WITNESSETH: WHEREAS, Little Canada Phase II Limited Partnership (the “Borrower”) has applied to the Governmental Lender for a loan (the “Borrower Loan”), to finance the acquisition, construction and equipping of a multifamily apartment housing facility consisting of total of 60 units and related personal property and equipment, located in Little Canada, Minnesota on the land described in Exhibit A attached hereto and known as “Lica Apartments” (the “Project Facilities”); all capitalized terms used herein and not otherwise defined shall have the meanings given to them in the Funding Loan Agreement; WHEREAS, the Borrower has requested the Governmental Lender to enter into the Funding Loan Agreement between Governmental Lender, Funding Lender and U.S. Bank Trust Company, National Association, as fiscal agent (the “Fiscal Agent”) dated as of May 1, 2023 (the “Funding Loan Agreement”) under which the Funding Lender will make a loan (the “Funding Loan”) to the Governmental Lender, the proceeds of which will be loaned to Borrower pursuant to a Borrower Loan Agreement of even date herewith (as it may be supplemented or amended, the “Borrower Loan Agreement”) to finance the acquisition, construction, development, equipping and/or operation of the Project Facilities; WHEREAS, pursuant to the Borrower Loan Agreement, the Borrower agrees to make loan payments to the Governmental Lender in an amount which, when added to other funds available under the Funding Loan Agreement, will be sufficient to enable the Governmental Lender to repay the Funding Loan and to pay all costs and expenses related thereto when due; WHEREAS, to evidence its payment obligations under the Borrower Loan Agreement, the Borrower will execute and deliver to the Governmental Lender its Promissory Note dated the Closing Date (the “Borrower Note”) which will be secured by that certain Mortgage, Assignment of Rents and Leases, Security Agreement and Fixture Filing (the “Mortgage”) on the Project Facilities; WHEREAS, the rights of the Governmental Lender under the Mortgage, the Borrower Note and the other Funding Loan Documents (collectively, the “Assigned Documents”) are being assigned contemporaneously with the execution and delivery hereof to the Fiscal Agent for the benefit of the Funding Lender as set forth in the Funding Loan Agreement; WHEREAS, simultaneously with the Funding Loan Agreement, the Borrower will enter into a $_________ Promissory Note for the benefit of Funding Lender in order to additionally finance construction of the Project Facilities (the “Bridge Note”) and the Borrower will be obligated to make payments thereunder; and