2018-12-05 EDA Packet - Laserfiche WebLink

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NEIGHBORHOOD SMALL BUSINESS REVOLVING LOAN FUND CERTIFICATE OF PARTICIPATION WHEREAS, ON 20 , (the"Financial Institution")has loaned the sum of Dollars ($ ) for financing improvements to an existing business located at (the"Project")in the City Of White Bear Lake (the"City"); and WHEREAS, on even date herewith the Housing and Redevelopment Authority in and for the City of White Bear Lake (the "Authority") has acquired a participation in the Loan for the sum of Dollars ($ ), bearing interest at the rate of two percent (2%) per annum, evidenced by Note, dated , due , until paid (the Financial Institution and the Authority being hereafter referred to as the"Participants"); and WHEREAS, the Financial Institution agrees, during the term of this Participation Agreement (the "Agreement"), to act as servicer on behalf of itself and the Authority in the receipt and disbursement of all payments to and from the Borrower and in exercising any remedies available against the Borrower with respect to security for the payment of all amounts due under the Loan. NOW THEREFORE, in consideration of the premises and the mutual benefits to be derived therefrom, it is hereby agreed as follows: 1. The Financial Institution shall have a percent (_%) interest in the Loan and the Authority shall have a percent (_%) interest in the Loan, provided that the Authority's interest in the Loan shall be, as provided herein, subordinate to the Financial Institution's interest in the Loan. 2. The right of the Authority to any and all security for the repayment of the Loan shall be subordinate to the right of the Financial Institution to receive any amounts due to it from any security for the repayment of the Loan to the extent of the Financial Institution's interest in the Loan.