12-19-2007 Council Agenda - Laserfiche WebLink

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Section 4.6 Lease or Sale of Project. The Borrower shall not lease, sell, convey or otherwise transfer the Project in whole or part, nor sell the Project in whole or part, without first securing the written consent of the Lender; provided that in no event shall such lease, transfer, assignment or sale be permitted if the effect thereof would otherwise be to impair the validity or the tax exempt status of the Note, nor shall any such transaction release the Borrower of any of its obligations under this Agreement, unless the assignee - transferee is a surviving, resulting or transferee entity as permitted under Section 4.2 hereof. The Borrower shall promptly notify the City of any such sale, transfer, assignment or lease. Section 4.7 Project Operation and Maintenance Expenses. The Borrower shall pay all expenses of the operation and maintenance of the Project including, but without limitation, fire and other risk insurance, public liability insurance, and such other insurance as Lender may require with respect to Borrower's properties and operations, in form, amounts, coverages and with insurance companies or self - insurance programs reasonably acceptable to the Lender, and all taxes and special assessments levied upon or with respect to the Project and payable during the term of this Agreement, all in conformance with the provisions of the Mortgage and the Security Agreement. Upon request of the Lender from time to time, the Borrower will deliver policies or certificates of insurance in form satisfactory to the Lender, evidencing compliance with the foregoing requirement. The Borrower shall, to the extent practicable, exercise its best efforts to target any employment opportunities created by the Project to qualified individuals who are unemployed or economically disadvantaged as contemplated in Section 469.152, Subd. 11 of the Act. The Borrower will not use any Note proceeds to pay any costs of, or attributable to, the construction or equipping of any facilities used primarily for religious instruction or worship; all such costs will be paid with the Borrower's funds. The Borrower agrees that it will not use the Project or any part thereof (a) for sectarian instruction or study or primarily as a place for devotional activities or religious worship or as a facility used primarily in connection with any part of a program of a school or department of divinity for any religious denomination or the training of ministers, priests, rabbis or other similar persons in the field of religion or (b) in a manner which would violate the First Amendment to the Constitution of the United States of America, including the decisions of the United States Supreme Court interpreting the same, or any comparable provisions of the Constitution of the State of Minnesota, including the decisions in the Supreme Court of the State interpreting the same. Section 4.8 Notification of Changes. The Borrower covenants and agrees that it will promptly notify the Lender of: (1) any litigation which might materially and adversely affect the Borrower and any of its properties; (2) the occurrence of any Event of Default under this Agreement or under any other loan agreement, debenture, note, purchase agreement or any other agreement providing for the borrowing of money by the Borrower or any event of which the Borrower has knowledge and which, with the passage of time or giving of notice, or both, would constitute an Event of Default under this Agreement or under such other agreements; 2110583v4 1f -34-