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HomeMy WebLinkAboutResolution - 89-142 - Refunding $5,560,000 Bonds for Edenvale Apartments - 07/18/1989 CITY OF EDEN PRAIRIE, MINN.ESOTA RESOLUTION NO. l AUTHORIZING CERTAIN AMENDMENTS TO THE FORMS OF AN APPROVING THE FORM AND AUTHORIZING THE EXECUTION AND DELIVERY OF AN INDENTURE OF TRUST AND A LOAN AGREEMENT RELATING TO THE ISSUANCE OF THE CITY OF EDEN PRAIRIE, MINNESOTA, $5,375,000 HOUSING DEVELOPMENT REVENUE REFUNDING BONDS (EDENVALE APARTMENTS PROJECT), SERIES 1989A, AND $185,000 TAXABLE HOUSING DEVELOPMENT REVENUE BONDS (EDENVALE APARTMENTS PROJECT), SERIES 1989B WHEREAS, the City of Eden Prairie, Minnesota (the "Issuer") is a statutory city duly organized and existing under the Constitution and laws of the State of Minnesota; and WHEREAS, the Issuer, pursuant to Minnesota Statutes, Chapter 462C, as amended (the "Act"), is authorized to carry out the public purposes described therein and contemplated thereby by issuing its revenue bonds and is authorized to enter into any agreements made in connection therewith; and WHEREAS, the Issuer on August 31, 1982, issued its $5,500,000 City of Eden Prairie, Minnesota Housing Development Revenue Note (the "Prior Note") to First National BanK of Minneapolis the proceeds of which were lent to Edenvale f Apartments, a Minnesota general partnership pursuant to a Loan Agreement (the t "Prior Loan Agreement") dated as of August 31, 1982 between the Issuer and Edenvale Apartments to finance the costs of acquiring, constructing and equipping a 174-unit multifamily rental housing development, known as Edenvale Apartments (the "Project"); and WHEREAS, pursuant to and in accordance with the provisions of the Prior Note and the Prior Loan Agreement, the interests and obligations of Edenvale Apartments thereunder have been transferred to Edenvale Company, a Minnesota general partnership (the "Company"), as its successor and assign; and WHEREAS, the Issuer proposes to issue its $5,375,000 City of Eden Prairie, Minnesota Housing Development Revenue Refunding Bonds (Edenvale Apartments Project), Series 1989A (the "Series 1989A Bonds"); and WHEREAS, the Issuer proposes to issue its $185,000 City of Eden Prairie, Minnesota Taxable Housing Development Revenue Bonds (Edenvale Apartments Project), Series 1989E (the "Series 1989B Bonds"); and WHEREAS, the Issuer by the passage of Resolution No. _ on June 20, 1989 (the "Bond Resolution") authorized the issuance of the Series 1989A Bonds to refund and prepay the entire outstanding principal amount of the Prior Note and the issuance or the Series 1989B Eonds to be used to pay certain costs of issuance (the Series 1989A Bonds and the Series 1989B Bonds are referred to jointly herein as the "Bonds"); and 1 WHEREAS, the Bonds will be issued under an Indenture of Trust dated as of June 1, 1989 (the "Indenture") between the Issuer. and American National Bank and Trust Company, as trustee (the "Trustee"); and WHEREAS, the Issuer has agreed to enter into the Loan Agreement dated as of June 1, 1989 between the Issuer and the Company (the "Loan Agreement') pursuant to which the Issuer will lend to the Company the proceeds from the sale of the Bonds; and WHEREAS, subsequent to the date of passage of the Bond Resolution, certain modifications and amendments have been proposed to the forms of the Indenture and Loan Agreement originally approved by the Issuer in the Bond Resolution, the amended forms of which have been submitted to the Issuer for its approval. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF EDEN PRAIRIE: 1. That the City Council of the Issuer (the "Council") ratifies and confirms its findings previously made that the undertaking of the Project within the Issuer has served to provide decent, safe and sanitary rental housing to Dersons and families of low or moderate income, as defined in Minnesota Statutes, Chapter 462C (the "Act"), and as such has served the public purposes provided in the Act. The Council further ratifies and confirms the findings and approvals set forth and granted by the Bond Resolution. 2. That the Loan Agreement as amended to the date hereof; and the Indenture are hereby approved. That the Mayor and City Manager of the Issuer are hereby authorized and directed to execute and deliver on behalf of the Issuer the Loan Agreement and the Indenture, substantially in the forms now on file with the Issuer, with such ne--bry and appropriate omissions, modifications, insertions, and additions as are not materially inconsistent with the form on file with the Issuer, and which are consistent with the Act, as the City Attorney and Bond Counsel in their discretion shall determine. The execution of the Loan Agreement and the Indenture by the appropriate officers of the Issuer with approval of the City Attorney as to form shall be conclusive evidence that any omissions, modifications, insertions and additions to such documents meet the conditions of the preceding sentence. All of the provisions of the Loan Agreement and the Indenture when executed and delivered as authorized herein, shall be deemed to be a part of this resolution as fully and to the same extent as if incorporated herein and shall be in full force and effect from the date of execution and delivery thereof. 3. That except as set forth above, the Bond Resolution shall remain in full force and effect from and after the date of this Resolution and all findings, provisions and approvals set forth in the Bond Resolution are hereby incorporated by reference into this Resolution. 2 Adopted this I Ith day of July, 1989 Mayor Attest: City Clerk