90-7700R61
CITY OF BICHZtIELD
Resolution No. 7700
AUTHORIZING AMENDMENTS TO
DOCUMENTS RELATING TO THE CITY'S
;8,250,000 MULTIFAMILY HOUSING REVENUE
BONDS (MARKET PLAZA HOUSING PROJECT)
ISSUED AS OF SEPTEMBER 1, 1985
WHEREAS, the City of Richfield (the "City") has previously issued its
;8,250,000 Multifamily Housing Revenue Bonds (Market Plaza Housing Project) (the
"Bonds") pursuant to an Indenture of Trust (the "Indenture") dated as of September
1, 1985, between the City and First Trust National Association (formerly First
Trust Company, Inc.); and
WHEREAS, the proceeds of the Bonds were loaned to Market Plaza Housing
Limited Partnership (the "Company") pursuant to a Loan Agreement (the "Loan
Agreement") dated as of September 1, 1985, between the City and the Company in
order to fiance the acquisition and construction of a 166-unit multifamily rental
housing facility in the City (the "Project"); and
WHEREAS, the Bonds were secured by a letter of credit the (the "Letter of
Credit") issued by Midwest Federal Savings and Loan Association ("Midwest") and
by a Mortgage, Assignment of Rents and Leases, Security Agreement and Fixture
Financing Statement dated as of September 1, 1985 from the Company in favor in
the Trustee; and
WHEREAS, Midwest has been taken into conservatorship by the Resolution
Trust Corporation (the "RTC") and the RTC is the successor to Midwest with
respect to the Letter of Credit;. and
WHEREAS, on August 31, 1990, as a result of a failed remarketing of the
Bonds on a Mandatory Tender Date, the Trustee drew on the Letter of Credit to
pay the purchase price of the Bonds tendered for purchase on that date and not
remarketed, so that the RTC is now the owner of such Bonds; and
WHEREAS, the Company has. requested that the City approve certain
amendments to the Indenture and related Bond documents in order that the Bonds
may be remarketed; and
NOW, THEREFORE, HE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF RICHFIELD, MINNESOTA AS FOLLOWS:
1. The City hereby approves the execution and delivery of a
Supplemental Indenture of Trust which amends the interest rate on the Bonds from
the date of execution and delivery of such Supplemental Indenture to the next
Mandatory Tender Date to a rate not exceeding 7.596 per annum, establishes the
next Mandatory Tender Date for September 1, 1994, and make other modification
requested by the RTC, in a form approved by the Mayor and the City Attorney.
2. The Mayor and City Clerk of the City are hereby authorized and
directed to execute the Supplemental Indenture described above and to execute and
Resolution No. 7700
page 2
deliver, on behalf of the City, any othe
f Mayor and City Attorney and necessa:
the event that either the Mayor or
execution of the documents described
the City shall be authorized to act in
execution on behalf of the City with
be valid and binding on the City.
Adopted: December 10, 1990
Attest:
City Clerk
r documents or amendments approved by the
y to permit the Honds to be remarketed. In
the City Clerk is unable to carry out the
herein, any member of the City Council of
either of their capacity and undertake such
ull force and effect, which executions shall