SANTA ANA WBBB, LP 4 - Laserfiche WebLink

Home Browse Search

502.2 City Promissory Note and Deed of Trust. The City Loan shall be evidenced by the City Promissory Note in the form attached hereto as Exhibit G. The City Loan shall be secured by the City Deed of Trust in the form attached hereto as Exhibit H-2. The City Deed of Trust shall be a deed of trust encumbering the Property in third position, subordinate only to the Senior Loan Deed of Trust, as approved by the Executive Director, and the Agency Deed of Trust. 502.3 Use of City Loan Proceeds. The proceeds of the City Loan shall be used only for costs incurred by Developer to construct the Improvements as set forth in the approved Project Budget. 502.4 City Loan Terms. The terms and conditions of the City Loan are as set forth in the City Promissory Note which is a residual receipts note. The HOME Program compliance period is fifteen (15) years, commencing on the date that all work is complete and the Property is fully occupied. 503. Other Terms and Conditions of the Loans. (a) The Agency Promissory Note and City Promissory Note shall become immediately due and payable, in the event of any of the following: (i) failure to complete the Project within the time set forth in the Schedule of Performance; (ii) violation of any of the use covenants and restrictions contained in this Agreement or any other Project Document after the expiration of any applicable notice and cure periods; (iii) an Event of Default by Developer under this Agreement or any other Project Document which is not timely cured after expiration of any applicable notice and cure periods pursuant to the terms of this Agreement or the applicable Project Document. 600. CONDITIONS TO DISBURSEMENT OF LOAN PROCEEDS 601. Conditions Precedent. In addition to the Conditions Precedent set forth in Sections 602 and 603 below, Agency/City's obligation to disburse the Loan Amounts is subject to the satisfaction, or waiver by the Executive Director, of the following Conditions Precedent: 601.1 Loan Documents. Developer shall have delivered to the Agency, signed by the authorized officer or officers of Developer, with such signature(s) acknowledged where necessary, each of the following documents: (a) this Agreement; (b) the City Promissory Note; (c) the City Deed of Trust; (d) the Agency Promissory Note; (e) the Agency Deed of Trust; and 20 DOCSOC/ 1469583 v5/200272-0003