022123 CPII Apartments Resolution Approving Coll_Assn_of_Special_Assess_TIF_NoteHOUSING AND REDEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF RICHFIELD, MINNESOTA
RESOLUTION NO. 1449
RESOLUTION APPROVING A COLLATERAL ASSIGNMENT OF TAX INCREMENT NOTE BY
CPII DEVELOPMENT LLC IN FAVOR OF BRIDGEWATER BANK
WHEREAS, the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota (the “Authority”) entered into a Contract for Private Development, dated
September 17, 2018, with NHH Companies, L.L.C., a Minnesota limited liability company (“NHH”),
as assigned by NHH to CPII Development LLC, a Minnesota limited liability company (“CPII
Development”), pursuant to an Assignment of Contract for Private Development, dated
January 15, 2019, as amended by the First Amendment to Contract for Private Development,
dated September 16, 2019, between the Authority and CPII Development, as amended by the
Second Amendment to Contract for Private Development, dated October 19, 2020, between the
Authority and CPII Development, as assigned by CPII Development to Rya Apartments, LLC, a
Minnesota limited liability company (“Rya Apartments”), pursuant to the Assignment and
Assumption Agreement, dated March 11, 2021 (collectively, the “Contract”), between CPII
Development, Rya Apartments, and the Authority; and
WHEREAS, under the terms of the Contract, the Authority issued its Tax Increment Limited
Revenue Note, Series 2021 (the “Special Assessments Costs TIF Note”), in the original aggregate
principal amount of $590,800, to reimburse CPII Development for special assessments and other
capital costs in connection with the Minimum Improvements as defined and described in the
Contract; and
WHEREAS, Bridgewater Bank, a Minnesota banking corporation (the “Lender”), has
agreed to provide CPII Development with a loan (the “Loan”) in the principal amount of $531,700,
and the Lender requires that CPII Development assign its interests in the Special Assessments
Costs TIF Note to the Lender; and
WHEREAS, there have been presented to the Board of Commissioners of the Authority
(the “Board”) a form of a Collateral Assignment of Tax Increment Note (the “Collateral
Assignment”) between CPII Development and the Lender, including a consent of the Authority,
pursuant to which CPII Development will assign its interest in the Special assessments Costs TIF
Note and the payments made thereunder to the Lender and the Authority will consent to such
assignment; and
NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Housing
and Redevelopment Authority in and for the City of Richfield, Minnesota as follows:
1.The Board hereby consents to the assignment of the Special Assessments Costs
TIF Note by CPII Development to the Lender.
2.The Collateral Assignment is hereby in all respects authorized, approved, and
confirmed, and the Chair and the Executive Director are hereby authorized and directed to execute
the Collateral Assignment for and on behalf of the Authority in substantially the form now on file
with the Executive Director but with such modifications as shall be deemed necessary, desirable,
or appropriate, the execution thereof to constitute conclusive evidence of their approval of any and
all modifications therein.
3.The Chair and the Executive Director are authorized and directed to execute any
and all other documents or certificates deemed necessary to carry out the intentions of this
resolution.
4.This resolution shall be in full force and effect upon its adoption.
Adopted by the Housing and Redevelopment Authority in and for the City of Richfield,
Minnesota this 21 st day of February, 2023. ,1
Gordon Hanson, Sec'i-etary
Erin �fieze Dani
2