HomeMy WebLinkAboutResolution - 91-51 - Preliminary Approval Tanager Creek $10,045,000 Refunding Bonds - 03/05/1991 CITY OF EDEN PRAIRIE
• RESOLUTION NO. '� 1" 6'1
GIVING PRELIMINARY APPROVAL TO THE ISSUANCE OF
MULTIFAMILY HOUSING REVENUE REFUNDING BONDS FOR THE
TANAGER CREEK APARTMENTS PROJECT AND AUTHORIZING
PUBLICATION OF A NOTICE OF PUBLIC HEARING.
WHEREAS, pursuant to Minnesota Statutes, Chapter 462C, as
amended (the "Act" ) , the City of Eden Prairie (the "City") issued
on August 12, 1985 its $10,400,000 Multifamily Housing Revenue
Bonds (Tanager Creek Apartments Project) (the "Prior Bonds") ; and
WHEREAS, the proceeds of the Prior Bonds were loaned to
Cheyenne Land Company, a general partnership organized and
existing under the laws of the State of Minnesota (the
"Developer" ) , the sole general partners of which are Richard
Neslund and R. Neslund Co. , for the purpose of constructing a
multifamily housing development of 185-units located on the
northwest and southwest quadrants of Baker Road and Edenvale
Boulevard in the City (the "Project") ; and
WHEREAS, the Developer has requested that the City issue its
$10,045,000 Multifamily Housing Revenue Refunding Bonds (Tanager
Creek Apartments Project) , Series 1991 (the "Bonds") in order to
refund the outstanding principal amount of the Prior Bonds and
refinance the Project; and
WHEREAS, the issuance of the Bonds requires that the City
hold a public hearing after publication of notice;
NOW, THEREFORE, BE IT RESOLVED by the City of Eden Prairie:
1. The issuance of the Bonds is hereby preliminarily approved,
and the City Clerk is hereby authorized to publish the notice
of public hearing in substantially the form attached hereto.
2. The adoption of this resolution does not constitute a
guarantee that the City will issue the Bonds as requested by
the Developer. The City retains the right in its sole
discretion to withdraw from participation and accordingly not
issue the Bonds should the City at any time prior to the
issuance thereof determine that it is in the best interest of
the City not to issue the Bonds or should the parties to the
transaction be unable to reach agreement as to the terms and
conditions of any of the documents required for the
transaction.
3. The Developer has agreed to pay directly or through the City
any and all costs incurred by the City in connection with the
Project whether or not the Bonds or operative instruments are
executed.
4. All commitments of the City expressed herein are subject to
the condition that by December 31, 1991 the City and the
Developer shall have agreed to mutually acceptable terms and
conditions of the Loan Agreement, the Bonds and of the other
instruments and proceedings relating to the Bonds and their
issuance and sale. If the events set forth herein do not
take place within the time set forth above, or any extension
thereof, and the Bonds are not sold within such time, this
Resolution shall expire and be of no further effect.
ADOPTED: March 5, 1991
Mayor
ATTEST:
ity Clerk