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HomeMy WebLinkAbout23-20 - ADMIN Resolution - Economic Development Authority - 2023/09/18EDA Resolution No. 23-20 Resolution approving a first amendments to grant agreement and loan agreement Be it resolved by the board of commissioners (the “board”) of the St. Louis Park Economic Development Authority (the “authority”) as follows: Section 1. Recitals; authorization. (a) The authority and the Metropolitan Council (the “grantor”) entered into a Livable Communities Demonstration Account development grant agreement, grant number SG-14542, on December 3, 2020 (the “grant agreement”), pursuant to which the authority was awarded $1,430,000 (the “grant funds”) to fund stormwater management, holding costs, and site acquisition (“grant-eligible activities”) for a mixed-use development on certain property within the City of St. Louis Park (the “development”) to be developed by CB SLP Housing Limited Partnership, a Minnesota limited partnership (the “developer”) on behalf of CommonBond Communities. (b) On January 3, 2022, the authority and the nonprofit entered into a sub-grantee agreement which detailed the parties respective responsibilities in regard to the grant funds, which was superseded by a certain loan agreement, dated July 1, 2022, between the authority and the developer (the “loan agreement”), pursuant to which the authority agreed to loan the grant funds to the developer to finance the grant-eligible activities (the “loan”). The loan was secured by a promissory note (the “note”) and a mortgage (the “mortgage”), both from the developer to the authority and dated July 1, 2022. (c) On July 1, 2022, the authority and the developer entered into certain subordination agreement with JLL Real Estate Capital, LLC, a Delaware limited liability company (the “senior lender”), pursuant to which the authority agreed to subordinate its rights under the loan agreement, the note and the mortgage to the senior lender. (d) On behalf of the developer, the authority has requested, and the grantor has approved, an amendment to the grant agreement to revise the project summary and to extend the term of the grant agreement to allow for completion of the development, all as reflected in that first amendment of Metropolitan Livable Communities Act Livable Communities Account development grant agreement (the “amended grant agreement”). (e) The authority and the developer now desire to revise the loan agreement to reflect the changes to the amended grant agreement, as such, the authority has caused to be prepared a first amendment to loan agreement (the “amended loan agreement”). (f) The board has reviewed the amended grant agreement and the amended loan agreement and finds that the execution thereof and performance of the authority’s obligations thereunder are in the best interest of the city and its residents. Section 2. Approval of documents. DocuSign Envelope ID: 75FD6F35-7A02-4074-B56D-86A92539049A EDA Resolution No. 23-20 2 (a) The board approves the amended grant agreement and the amended loan agreement in substantially the forms presented to the board, together with any related documents necessary in connection therewith, including without limitation all documents, exhibits, certifications, or consents, referenced in or attached to the amended grant agreement and the amended loan agreement (the “documents”). (b) The board hereby authorizes the president and executive director, in their discretion and at such time, if any, as they may deem appropriate, to execute the documents on behalf of the authority, and to carry out, on behalf of the authority, the authority’s obligations thereunder when all conditions precedent thereto have been satisfied. The documents shall be in substantially the form on file with the authority and the approval hereby given to the documents includes approval of such additional details therein as may be necessary and appropriate and such modifications thereof, deletions therefrom and additions thereto as may be necessary and appropriate and approved by legal counsel to the authority and by the officers authorized herein to execute said documents prior to their execution; and said officers are hereby authorized to approve said changes on behalf of the authority. The execution of any instrument by the appropriate officers of the authority herein authorized shall be conclusive evidence of the approval of such document in accordance with the terms hereof. This resolution shall not constitute an offer and the documents shall not be effective until the date of execution thereof as provided herein. (c) In the event of absence or disability of the officers, any of the documents authorized by this resolution to be executed may be executed without further act or authorization of the board by any duly designated acting official, or by such other officer or officers of the board as, in the opinion of the city attorney, may act in their behalf. Upon execution and delivery of the documents, the officers and employees of the board are hereby authorized and directed to take or cause to be taken such actions as may be necessary on behalf of the board to implement the documents. Section 3. Effective date. This resolution shall be effective upon approval. Reviewed for administration: Adopted by the Economic Development Authority September 18, 2023 Karen Barton, executive director Nadia Mohamed, president Attest Melissa Kennedy, secretary DocuSign Envelope ID: 75FD6F35-7A02-4074-B56D-86A92539049A