11-15-1982 Council Agenda - Laserfiche WebLink

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RESOLUTION AUTHORIZING A PROJECT UNDER THE MINNESOTA MUNICIPAL INDUSTRIAL DEVELOPMENT ACT AND THE ISSUANCE OF COMMERCIAL DEVELOPMENT REVENUE BONDS TO FINANCE THE PROJECT (STONERIDGE ASSOCIATES PROJECT) BE IT RESOLVED by the Council of the City of Little Canada, Minnesota, as follows: 1. The Council has received a proposal from Stoneridge Associates, a Minnesota general partnership (the "Company ") that the City undertake to partially finance a certain Project as herein described, pursuant to the Minnesota Municipal Industrial Development Act, Chapter 474, Minnesota Statutes (the "Act "), through issuance by the City of its $750,000 Commercial Development Revenue Bonds, Series 1982 (Stoneridge Associates Project) (the "Bonds "). 2. The Company desires to acquire certain real estate and construct thereon an approximately 26,250 square foot building and related improvements and equipment suitable for use as an office /warehouse facility (hereinafter referred to as the "Project "). The Project as described above will provide employment to additional persons and will otherwise further the policies and purposes of the Act and the findings made in the preliminary resolution adopted by this Council on April 8, 1981 with respect to the Project are hereby ratified, affirmed and approved. 3. It is proposed that, pursuant to a Loan Agreement dated as of November 1, 1982, between the City and the Company (the "Loan Agreement "), the City loan the proceeds of the Bonds to the Company to partially finance the cost of the Project. The basic payments to be made by the Company under the Loan Agreement are fixed so as to produce revenue sufficient to pay the principal of, premium, if any, and interest on the Bonds when due. It is further proposed that the City assign its . rights to the basic payments and certain other rights under the Loan Agreement to F&M Marquette National Bank, in Minneapolis, Minnesota (the "Trustee ") as security for payment of the Bonds under an Indenture of Trust dated November 1, 1982 (the "Indenture ") and that the Company grant a mortgage and security interest in the Project to the Trustee pursuant to a Mortgage and Security Agreement dated November 1, 1982 (the "Mortgage ") and to further secure the payment of the Bonds and the interest thereon, enter into an Assignment of Leases and Rents dated November 1, 1982 (the "Assignment of Leases and Rents "). 11