HomeMy WebLinkAboutContract 1672No. R-1
uNrrED STATE OF AMERICA
STATE OF MINNESOTA
COUNTY OF ANOKA
COLUMBIA HEIGHTS ECONOMIC DEVELOPMENT AUTHORITY
TAXABLE TAX INCREMENT REVENUE NOTE
SERIES 2000
$175,100
Date
Rate of Original Issue
9.50% June 4 ,2002
Principal Amount: One Hundred Seventy-Five Thousand One Hundred Dollars and no/100ths
Registered Owner:
The Columbia Heights Economic Development Authority (the "Authority"), for value
received, certifies that it is indebted and hereby promises to pay to the registered owner specified
above, or registered assigns (the "Owner"), but solely from the sources, to the extent and in the
manner hereinafter identified, the principal amount specified above together with interest on the
outstanding principal sum from time to time at the interest rate specified above, payable on each
February 1 and August 1 ("Payment Dates"), commencing August 1, 2003 and continuing through
February 1, 2020. Payments shall be applied first to accrued interest, and then to unpaid principal.
Payments are payable by mail to the address of the Owner or such other address as the
Owner may designate upon 30 days written notice to the Authority. Payments on this Note are
payable in any coin or currency of the United Sates of America which, on the Payment Date, is legal
tender for the payment of public and private debts.
Interest at the rate stated herein shall accrue on the unpaid principal, commencing on the
date of original issue. Interest shall be computed on the basis of a year of 365 days and charged for
actual days principal is unpaid.
This Note is subject to prepayment in whole or in part at the option of the Authority on any
date.
This Note is one of an authorized issue in the total original principal amount of $175,100 to
aid in financing certain development costs of a project undertaken by the Authority pursuant to
Minnesota Statutes, Sections 469.090 through 469.1081, and is issued pursuant to an authorizing
resolution (the "Resolution") duly adopted by the Authority on December 11, 2000, and pursuant to
and in full conformity with the Constitution and laws of the State of Minnesota, including
Minnesota Statutes, Sections 469.174 to 469.179. This Note is a limited obligation of the Authority
which is payable solely from Available Tax Increment as defined in the Resolution, the terms of
which are hereby incorporated by reference. This Note and the interest hereon shall not be deemed
to constitute a general obligation of the State of Minnesota or any political subdivision thereof,
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including, without limitation, the Authority. Neither the State of Minnesota nor any political
subdivision thereof shall be obligated to pay the principal of or interest on this Note or other costs
incident hereto except out of moneys pledged thereto under the Resolution, and neither the full faith
and credit nor the taxing power of the State of Minnesota or any political subdivision thereof is
pledged to the payment of the principal of or interest on this Note or other costs incident hereto.
The Authority shall pay to the Owner on each Payment Date the amount of Available Tax
Increment. To the extent that, on any Payment Date, the Authority does not have on hand sufficient
Available Tax Increment together with capitalized interest to make the scheduled payment, the
amount of deficiency shall be deferred and paid, without interest thereon, to the extent possible on
the next Payment Date on which the Authority has received Available Tax Increment sufficient to
do so. If any amount payable under this Note has not been paid by February 1, 2020 after any
payment is made on such date, any amount not paid shall be forgiven and the Authority shall have
no further liability with respect thereto.
If as of any Payment Date there is an uncured Event of Default under the Contract for
Private Development between the Authority and to Columbia Heights Transition Block LLC
("Developer") dated as of March 23, 2001 (the "Agreement"), the Authority may withhold
Available Tax Increment otherwise payable on such Payment Date. If the default is cured in
accordance with the Agreement, the Available Tax Increment withheld shall be deferred and paid,
without interest thereon, on the next Payment Date after the default is cured.
This Note is issuable only as a fully registered note without coupons. As provided in the
Resolution, and subject to certain limitations set forth therein, this Note is transferable upon the
books of the Authority kept for that purpose at the principal office of the Authofity's Executive
Director, by the Owner hereof in person or by the Owner's attorney duly authorized in writing, upon
surrender of this Note together with a written instrument of transfer satisfactory to the .Authority,
duly executed by the Owner. Upon such transfer or exchange and the payment by the Owner of any
tax, fee, or governmental charge required to be paid by the Authority with respect to such transfer or
exchange, there will be issued in the name of the transferee a new Note of the same aggregate
principal amount, bearing interest at the same rate and maturing on the same dates.
This Note shall not be transferred to any person other than an affiliate or other related entity,
of the Owner or to the Developer unless the Authority has been provided with an opinion of counsel
or a certificate of the transferor, in a form satisfactory to the Authority, that such transfer is exempt
from registration and prospectus delivery requirements of federal and applicable state securities
laws.
1T IS HEREBY CERTIFIED AND RECITED that all acts, conditions, and things required
by the Constitution and laws of the State of Minnesota to be done, to exist, to happen, and to be
performed in order to make this Note a valid and binding limited obligation of the Authority
according to its terms, have been done, do exist, have happened, and have been performed in due
form, time and manner as so required.
This Note shall not be valid or become obligatory for any purpose until the Certificate of
Authentication hereon shall have been manually signed by the Registrar.
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IN WITNESS WHEREOF, the Board of Commissioners of the Columbia Heights
Economic Development Authority has caused this Note to be executed with the manual signatures
of its President and Executive Director, all as of the Date of Original Issue specified above.
COLUMBIA HEIGHTS ECONOMIC
DEVELOPMENT AUTHORITY
Executive Director~/f O}lt(r R. Fehst
Pr~sident~ R6~-erl~ l~Oettimann
REGISTRATION PROVISIONS
The ownership of the unpaid balance of the within Note is registered in the bond register of
the Executive Director, in the name of the person last listed below.
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Date of
Registration
June 4, 2002
Registered Owner
Columbia Heights Transition
Block,
LLC
Signature of
Executive Director
Wal ter-R. - F~h~t 7
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