09/22/2003 Council Packet - Laserfiche WebLink

Home Search

• • • ARTICLE VII Financing Section 7.1. Financing. (a) Before commencement of construction of the Minimum Improvements, the Developer shall submit to the Authority evidence of one or more commitments for financing which, together with committed equity for such construction, is sufficient for the construction of the Minimum Improvements. Such commitments may be submitted as short term financing, long term mortgage financing, a bridge loan with a long term take -out financing commitment, or any combination of the foregoing. The Authority understand and acknowledges that Developer currently intends to obtain financing through issuance by the Authority of industrial development revenue bonds. The Authority will cooperate with Developer in such effort. (b) If the Authority finds that the financing is sufficiently committed and adequate in amount to provide for the construction of the Minimum Improvements then the Authority shall notify the Developer in writing of its approval. Such approval shall not be unreasonably withheld and either approval or rejection shall be given within ten (10) days from the date when the Authority is provided the evidence of financing. A failure by the Authority to respond to such evidence of financing shall be deemed to constitute an approval hereunder. If the Authority rejects the evidence of financing as inadequate, it shall do so in writing specifying the basis for the rejection. In any event the Developer shall submit adequate evidence of financing within ten (10) days after such rejection. Section 7.2. Subordination. In order to facilitate the Developer obtaining financing for the development of the Minimum Improvements, the Authority agrees to subordinate its rights under this Agreement to the Holder of any Mortgage, provided that such subordination shall be subject to such reasonable terms and conditions as the Authority and Holder of a Mortgage mutually agree in writing. SJB- 237079v2 LN140 -81 18