CCP 06-15-1992 - Laserfiche WebLink

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'" ARTICLE VI . Financinll Section 6.1. Financinll. Within thirty (30 ) days after entering into this Agreement, the Developer shall submit to the City evidence of a commitment for financing sufficient for construction of the Minimum Improvements (taking into account equity monies that will be provided by the Developer). If the City finds that the financing is sufficiently committed, adequate in amount to provide for the construction of the Minimum Improvements, and contains other terms and conditions which are not inconsistent with the objectives and needs of the City, then the City shall notify the Developer in writing of its approval. Such approval shall not be unreasonably withheld and either approval or rejection shall be given within five (5 ) days from the date when the City is provided the evidence of such financing. If the City rejects the evidence of financing as inadequate. it shall do so in writing specifying the basis for the rejection. In any event the Developer shall submit adequate evidence of financing within thirty (30) days after such rejection. Section 6.2. Equity Funds. The Developer shall submit to the City evidence that at least twenty-five percent (25") of the total cost of the project has or will be paid by the Developer and will .- not come from borrowed funds. The 25" equity rate will be reduced to fifteen percent ( 15%) when permanent financing is taken out on the project. For the purpose of this section; the term "equityll shall include all debt service reserves established pursuant to the indenture of trust. Section 6 . 3 . Revenue Bonds. To help this Program, the city has authorized Revenue Bonds to be sold with the proceeds to be paid to the Developer. Section 6.4. COpy of Notice of Default to Mortllallee. Whenever the City shall deliver any notice or demand to the Developer with respect to any breach or default by the Developer in its obligations or covenants under the Agreement, the City shall at the same time forward a copy of such n~tice or demand to each Holder of any Mortgage authorized by the Agreement at the last address of such Holder shown in the records of the City. Section 6,5. Mortllallee's Option to Cure Defaults. After any breach or default referred to in Section 8.1 hereof, each such Holder shall (insofar as the rights of the City are concerned) have the right, at its option, to cure or remedy such breach or default (or such breach or default to the extent that it relates to the part of the Development Property covered by its mortgage) and to add the cost thereof to the Mort~a~e debt and the lien of its . Mortgage: Provided, that if the breach or default is ,;ith respect to construction of the Minimum Improvements, nothing contained in 14