HopeSource CIP Amend 4 - Laserfiche WebLink

Home Browse Search

Priority and Subordination Agreement 2 Teanaway Court project including an early learning facility, or (ii) the buildings and all related improvements so constructed. B. Commission’s Interest. The Partnership has obtained financing for the Project through the use of Low Income Housing Tax Credits (“LIHTC”). In connection with the LIHTC, the Partnership has executed a Regulatory Agreement (Extended Use Agreement) with the Commission (the “Commission Extended Use Agreement”), to be recorded in Kittitas County, Washington. In addition, as described in Paragraph C below, the Partnership has obtained financing for the Project through the Borrower Loan (as defined herein). In connection with the Borrower Loan, the Partnership has executed a Regulatory Agreement with the Commission (the “Commission Bond Regulatory Agreement”), to be recorded in Kittitas County, Washington. C. Commission’s and Citibank’s Interest as a Tax Exempt Bond Loan Lender. The Partnership has applied to the Commission to issue its revenue note designated as Multifamily Revenue Note (Teanaway Court Apartments Project), Series 2026 and to use the proceeds thereof to acquire a loan made to the Partnership by Citibank in a maximum principal amount not to exceed $9,000,000 (the “Borrower Loan”). The Borrower Loan is evidenced by, among other things, that certain Multifamily Note (Tax-Exempt), made by the Partnership payable to the order of Citibank, as endorsed and assigned to the Commission, and secured by that certain Multifamily Deed of Trust, Assignment of Rents, Security Agreement and Fixture Filing (the “Tax Exempt Bond Deed of Trust”) executed by the Partnership for the benefit of Citibank, to be recorded in Kittitas County, Washington, and assigned to the Commission, and that certain Borrower Loan Agreement by and among the Partnership, Commission, U.S. Bank Trust Company, National Association, a national banking association, as fiscal agent (in such capacity, the “Fiscal Agent”), and Citibank (the “Borrower Loan Agreement”). Each of the foregoing documents shall be assigned by Commission to Citibank in its capacity as funding lender (in such capacity, “Funding Lender”) to secure the Funding Loan (defined below). The Partnership has further requested that Citibank enter into that certain Funding Loan Agreement by and among Commission, Fiscal Agent, and Funding Lender, pursuant to which Citibank will make a loan to Commission (the “Funding Loan”), the proceeds of which will be used to acquire the Borrower Loan made to the Partnership pursuant to the Borrower Loan Agreement. The Commission shall assign its interest in each of the documents evidencing the Borrower Loan, other than certain reserved rights, to Funding Lender to secure the Funding Loan. The Borrower Loan will be advanced to the Partnership pursuant to that certain Construction Funding Agreement by and between the Partnership and Funding Lender. The Borrower Loan and the Funding Loan shall be referred to herein collectively as the “Bond Loan.” All documents identified in this paragraph, and any documents executed by the Partnership in connection therewith, are collectively referred to as the “Bond Documents.” D. Citibank’s Interest as Taxable Loan Lender. Citibank and the Partnership have entered into a Construction Loan Agreement which sets forth the terms and conditions under which Citibank has agreed make a loan to the Partnership in the amount of up to $14,450,000 (the “Taxable Loan”). The Taxable Loan is evidenced by, among other things, that certain Multifamily Construction Note (Taxable) made by the Partnership payable to the order of