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HomeMy WebLinkAbout89-121 • CITY OF LAREVILLE, MINNESOTA RESOLUTION NO. 89-121 A RESOLUTION RELATING TO THE APPROVAL OF AND EXECUTION OF DOCUMENT AMENDMENTS IN CONNECTION WITH $4,625,000 MULTIFAMILY RENTAL HOUSING REVENUE BONDS (SOUTHFORR VILLAGE APARTMENTS PROJECT) SERIES 1985 REISSUED ON DECEMBER 1, 1988 WHEREAS, the City has heretofore issued its Multifamily Rental Housing Revenue Bonds (SouthFork Village Apartments Project) Series 1985 in the original aggregate principal amount of $15,000,000, of which $4,625,000 remains outstanding as of the date hereof (the "Bonds") pursuant to an Indenture of Trust dated as of December 1, 1985, as amended by a First Supplemental Indenture of Trust dated January 5, 1988 and a Second Supplemental Indenture of Trust dated as of December 1, 1988 (collectively, the "Indenture"); and WHEREAS, Southfork Apartments Limited Partnership - II (the "Company") has advised the City that pursuant to the Indenture the Bonds are subject to redemption on September 1, 1989 and has requested that the City amend the Indenture to cancel such • redemption date and extend such redemption date to no later than November 1, 1989; and WHEREAS, to effect the foregoing cancellation and extension, the City desires to amend the Indenture; and WHEREAS, the amendments to the Indenture will cause the Bonds to be deemed reissued under the Internal Revenue Code of 1986, as amended (the "Code"); NOW, THEREFORE, be it resolved by the City Council of the City of Lakeville, Minnesota, as follows: 1. The form of Third Supplemental Indenture of Trust, proposed to be dated as of September 1, 1989 between the City and Sovran Bank/Maryland on file with the City Administrator (the "Supplemental Indenture") is hereby approved. 2. The City hereby approves the reissuance of the Bonds with such terms and in the maturity and in the form and denominations originally set forth in the Indenture as amended by the Supplemental Indenture hereby authorized, with such terms and provisions as therein provided. From and after September 1, 1989 until the Conversion Date (as defined in the Indenture), the Bonds shall bear interest at a rate not in excess of eleven percent (ilo) per annum. The Bonds shall be a limited obligation of the City in • accordance with the Indenture and shall not constitute a general obligation of the City. . 3. The Mayor and City Administrator are hereby authorized and directed, upon the request of the Company, to execute and deliver the Supplemental Indenture on behalf of the City with such modifications thereto, deletions therefrom and additions thereto as may be necessary and appropriate and not otherwise materially adverse to the City. The execution of the Supplemental Indenture shall be conclusive evidence as to the approval of such documents in accordance with their terms. 4. The Mayor, City Administrator and other officers of the City are hereby authorized and directed upon the request of the Company to execute on behalf of the City such .other consents, instruments and certificates and take such further actions as may be reasonably requested by the Company to give effect to the transactions contemplated herein and in the foregoing instruments. 5. In the absence of any official hereby authorized to execute any instrument or to take an action such instrument may be executed or such action may be taken by such other person who is otherwise permitted by law to undertake the same. Adopted: August 21, 1989. Approved: • Ma or ATTEST: C~.ty Clerk ~ • 2