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CCR2016087-Westwood Centre Loan Extension COMMON COUNCIL - CITY OF MUSKEGO RESOLUTION #087-2016 APPROVAL OF A LOAN EXTENSION Westwood Centre S75 W17301-51 Janesville Road / Tax Key No. 2196.032 WHEREAS, SDS2 Management LLC, owner of the Westwood Centre has had approval of a loan from the City of Muskego over the past year as per Council Resolution #035- 2015; and WHEREAS, The original loan allowed a possible three year extension of the loan subject to city approval; and WHEREAS, The original loan was administered by the Southeastern WI Regional Planning Commission (SEWRPC), as per Council direction, and SEWRPC has provided a letter of review for the loan extension that outlines a loan could be extended; and WHEREAS, SEWRPC has indicated that the interest rate for the extension would go up to 1.75% and an extension of the loan is contingent on the main bank loan being extended as well per the original loan terms; and WHEREAS, The Community Development Authority has recommended up to a three year extension of the loan since the owner has made timely payments in the last year and has completed all improvements that were originally intended. NOW, THEREFORE, BE IT RESOLVED That the Common Council of the City of Muskego, upon the recommendation of the Community Development Authority, does hereby approve of a loan extension to SDS2 Management LLC subject to the following conditions: Loan Conditions- 1. That a loan, not to exceed the current outstanding balance, is provided to SDS2 Management LLC. 2. That the City’s loan is still matched with financing that is provided by Waukesha State Bank. 3. That 65% of the loan is still matched with a bond or letters of credit in favor of the City of Muskego and that the city is in a second position on the main mortgage of the property. 4. That the loan is provided with a term of no more than three (3) years and an interest rate of 1.75%. 5. That the borrowers provide to the City, or its designee, on an annual basis, semi-annual financial statements and signed copies of their Federal income tax return. 6. All other terms of the SEWRPC letter are met dated November 10, 2016. Resolution #087-2016 BE IT FURTHER RESOLVED That the Mayor and Clerk-Treasurer are authorized to sign any documents in the name of the City. nd DATED THIS 22 DAY OF NOVEMBER , 2016. SPONSORED BY: COMMUNITY DEVELOPMENT AUTHORITY Ald. Neil Borgman Ald. John Engelhardt This is to certify that this is a true and accurate copy of Resolution #087-2016 which was adopted by the Common Council of the City of Muskego. _________________________ Deputy Clerk