7A Request from Presbyterian Homes for Conduit Financing

Home Browse Search

RESOLUTION APPROVING THE ISSUANCE AND SALE OF A COMMERCIAL FACILITIES REVENUE NOTE, SERrES 2008 AUTHORIZING THE EXECUTION OF DOCUMENTS RELATING THERETO (PHM&S BUTLDING PROJECT) WHEREAS, (a) The purpose of Minnesota Statutes, Chapter 469.152 to 469.1651 (the "Act"), as four�d and deiermined by �ie legislature, is to promote the welfare of the state by the active attraction and encouragement and development of ecanomically sound industry and commerce to prevent so far as possible the emergence of blighted and marginai lands and areas of chronic unemployment; {b) Factors necessita�ing the active promotion and development of econornically sound industry and commerce are the increasing concentration of popu�ation in the metropolitan areas and the rapidly rising increase in the amount and cost of governmental services xequired to meet the needs of the increased population and the need for development of land use which will provide an adequate tax base to finance ihese increased costs and the need for access ta emplayment opport�nities for such population, (c) The Ciiy Council oi the City of Ard.en Hills, Miz�u�esota {the "City") has received from Presbyterian Hames ManagerrFent and Services, Inc., a Minnesota nonprafit carporation organized under the laws of the State o� Minnesota (the "Borrower"), a proposal that the City assist in financing a Project hereinafter described ihrough ihe issuance of a revenue nate, (as further defined below, the "Note") pursuant to the Act; (d) The City desires to facilitate ihe selective development af the community, retain and improve the tax base and help to provide the range of services and employxr�.ent opportunities requzred by the population, includin.g housing and services for seniars; and ihe Pxoject will assist the City in achieving those objectiv�s and will enhance the image and reputation of the community; (e) The Praject to be financed by the Nate is (i) ihe acquisition, const�-uciion and equipping of an approximaiely 27,000 square foot addition to Xhe Borrower's corparate headq�artexs located at 2845 Hamline Avenue North {the "Office Facilities") in Roseville, Minnesata ("Roseville"), and (ii) refinancing the remaining outstanding debt the proceeds of which were used �6y the Borrower to acquire ihe Office Facilities (the "P�oject"). The Projeci wili be owned and operated by the Borrower; (� The City has been advised by representatives of th� Borrower that conventional, commercial financing to pay the capital cost of the Project is available only on a iimiied basis and at such high costs af borrowing that the econornic feasibility of operating the Project would be significantly reduced; (g} Based on representations of the Borrower, no public official of the City has either a direct ar indirect financial interest in the Project nor vvili any public official either direcily or indirectly benef t f nancially from the Proj ect; 22ias�a�2 2