CC PACKET 10131987 - Laserfiche WebLink

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L Section 6 .3 . .Reimbursement -to Redeveloper. . If .the • Redeveloper: makes any, payments to -the HRA under -'Sect-ion 6 . 1 hereof ..i.t shall .be:.entitled •to reimbursement for such payment ., by the -HRA, without interest thereon, but only out of the amount of tax increment generated ' by the- Redevelopment Property - > received by the HRA in any .year which, together with any tax increment generated by the Redevelopment Property in previous years which the HRA -has on hand, is in excess .of 115% of the principal and interest to be paid.. on the Bonds in such year and is not needed by -the HRA to pay any- other public costs of the redevelopment of the -Redevelopment ..Property. The obligation of the HRA to .reimburse the .Redeveloper is expressly .limited .to such excess tax. increment, and no other moneys_ or other. property or revenues of the HRA or City shall be available to reimburse the Redeveloper . .- If such .excess tax increment is not ava.ilab,l-e to the HRA in an amount sufficient to - reimburse the Redeveloper under this Section 6 . 3 the HRA shall be under de no obligation to reimburse the Redeveloper for an amount greater than such excess tax ,increment . The Redeveloper agrees that the obligation ' of the HRA to reimburse the Redeveloper shall not constitute a debt of the HRA or the' City. ARTICLE VII Mortgage Financing Section 7 . 1 Mortgage Financing. Mortgage financing • for construction of the Minimum Improvements shall - be in accordance with this Article VII . Section -7 . 2 Limitation Upon Encumbrance of Property. Prior to - the completion of the Minimum Improvements, - as certified by the HRA, neither Redeveloper nor any successor in interest- to the Redevelopment Property or any part thereof shall engage in any financing or any other transaction creating any Mortgage or other encumbrance or lien upon the Redevelopment Property, whether by express agreement or operation, of law-, or suffer any encumbrance or lien to be made on or attach to the Redevelopment Property, except with the prior written approval of the HRA, and for the purposes of obtaining - funds only to the extent necessary for acquiring the Redevelopment Property and development of the Minimum Improvements . The HRA shall not approve any Mortgage which does not. co.nform to the requirements of this Agreement . Section 7 . 3 Approval of Mortgage . -The HRA shall approve a Mortgage if the HRA first (a) receives a copy of all mortgage documents ; (b) determines-, . in its reasonable discretion, that the Mortgagee is a responsible lender capable of making the mortgage loan; (c) determines, in its reasonable -16-