87-233 WHITE - CITV CLERK
PINK - FINANCE COVnCII ry /J— /�
CANAjV - QE7�iARTMENT GITY OF SAINT PAUL File NO. ��� A`�'3
BL�'E — nAAVOR
Co,uncil Resolution
Presented By �
Referred To Committee: Date
Out of Committee By Date
RESOLUTION RE ITING A PROPOSAL FOR REFUNDING REVENUE BONDS
PREVIO SLY ISSUED TO FINANCE A PROGRAM FOR A
MULTI—FAMILY RENTAL HOUSING DEVELOPMENT, GIVING APPROVAL
TO THE R FUNDING PURSUANT TO MINNESOTA STATUTES,
CHAPT 462C AND 458 AND SECTION 471 .59 AND
AUTHORIZI THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF SAINT PAUL, MINNESOTA AND THE
PORT AUT RITY OF THE CITY OF SAINT PAUL TO ENTER
INTO JOINT POWERS AGREEMENT AND TO ISSUE
HOUSING REFUNDING REVENUE BONDS
(JAC SON/SIBLEY RENTAL HOUSING PROJECTS)
WHEREAS,
(a) Minneso a Statutes, Chapter 462C (the "Act" ) confers
upon cities, or h using and redevelopment authorities or port
authorities autho ized by ordinance to exercise on behalf of
a city the powers conferred by the Act, the power to issue revenue
bonds to finance program for the purposes of planning, administering,
making or purchas ng loans with respect to one or more multi-family
housing developme ts within the boundaries of the city;
(b) The Hou ing and Redevelopment Authority of the City
of Saint Paul, Mi nesota (the "HRA" ) and the Port Authority
of the City of Sa'nt Paul (the "Port Authority" ) (collectively,
the "Authorities" ) have been designated, by ordinance, to exercise,
on behalf of the ity of Saint Paul, Minnesota (the "City" )
the powers confer ed by Minnesota Statutes, Section 462C. 01
to 462C. 08 ;
COUNC[LMEN Requested b,�Department of:
Yeas p�eW Nays ����
Nicosia [R F8v0[
Rettman
Scheibel
Sonnen _ Age![1St BY
Tedesco
Wilson -
Form Approved by City Att ney
Adopted by Council: Date
Certified Passed by Council Secretary BY '
BS�
Approved by Mavor: Date _ Approved b Mayor r bm sion to Council
Bv - — -� �-�Jd�--
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(c) The Ci y has received from Sibley Apartments Development
Company Limited artnership and Jackson Apartments Development
Company Limited artnership (collectively the "Developer" ) a
proposal that th Port Authority, jointly with and on behalf
of the HRA, issu two series of revenue bonds (the "Bonds" )
to refund respec ively the HRA' s $16,500, 000 Rental Housing
Development Reve ue Bonds, Series 1984-A (Sibley Tower Project)
and $17, 000, 000 ental Housing Development Revenue Bonds, Series
1984-B (Jackson ower Project) (collectively the "Prior Bonds" )
pursuant to the ct;
(d) The Ci y desires to: facilitate the development of
rental housing w' thin the community; encourage the develoment
of affordable ho sing opportunities for residents of the City;
encourage the de lopment of housing facilities, a portion of
which is designed for occupancy by persons of low or moderate
income; and encou age the development of blighted or underutilized
land and structur s within the boundaries of the City; and the
refunding will as ist the City in achieving these objectives;
(e) The Cit has previously approved the housing programs
financed by the P ior Bonds;
(f ) A publi hearing on the refunding was held by the
--- HRA on February 2 , 1987 , after notice was published, at which
public hearing al those appearing at said hearing who desired
to speak were hea d and written comments were accepted;
(g) No publ c official of the City has either a direct
or indirect finan ial interest in the refunding, nor will any
public official e ther directly or indirectly benefit financially
from the refundin ;
NOW THEREFOR , BE IT RESOLVED by the City Council of the
City of Saint Pau , Minnesota, as follows :
1. Pursuant to Chapter 72, Saint Paul, Minnesota, Administrative
Code and Law of M' nnesota 1976 , Chapter 234, the City hereby
authorizes and di ects The Housing and Redevelopment Authority
of the City of Sai t Paul, Minnesota and the Port Authority
of the City of Sai t Paul, acting pursuant to this Resolution,
to jointly issue t e housing revenue bonds in an aggregate principal
amount not to exce d $33,500, 000 to refund the Prior Bonds and
to take all action necessary or desirable in connection therewith,
and no further app oval or authorization of the City shall be
required for purpo es of issuing the Bonds or any revenue bonds
subsequently issue to refund the same; and the Authorities
are further hereby authorized to enter into a joint powers agreement
for the purposes o the Bonds ;
WHITE - CITV CLERK .
PINK - FINANCE G I TY O F SA I NT PA U L Council �g ���
CANq,RV -.DE+ARTMENT �
BLIjE - IGAVOR File NO.
Council Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
2 . The Devel per has agreed and it is hereby determined
that any and all c sts incurred by the City or the Authorities
in connection with refunding the Prior Bonds, whether or not
the refunding is c rried to completion, will be paid by the
Developer;
3. Nothing i this Resolution or the documents prepared
pursuant hereto sh 11 authorize the expenditure of any municipal
funds on the refun ing other than the revenues pledged to the
payment thereof . he Bonds shall not constitute a charge, lien
or encumbrance, le al or equitable, upon any property or funds
of the City or the Authorities except the revenue and proceeds
pledged to the pa ent thereof, nor shall the City or the Authorities
be subject to any iability thereon. The holder of the Bonds
shall never have t e right to compel any exercise of the taxing
power of the City r the Authorities to pay the outstanding
principal on the B nds or the interest thereon, or to enforce
payment thereon ag inst any property of the City or the Authorities
(other than the re enues pleclged to the payment thereof ) . The
Bond shall recite 'n substance that the Bonds, including the
interest thereon, re payable solely from the revenue and proceeds
pledged to the pay ent thereof. The Bonds shall not constitute
a debt of the City or the Authorities within the meaning of
any constitutional or statutory limitation.
COUNCILMEN Requested by Department of:
Yeas Nays
Drew
Nicosia �
Rettman In Favo[
Scheibel
Sonnen __ Ag81(lSt BY
Tedesco
Wilson _
Adopted by Council: Date
EB 1987 Form Approved by City ttor ey
1
Certified Vas• unc.'1 Se e ry BY
B},
Approved by Mav : Dat a' �� 2 7 �9 Approve by M r or bmission to Council
_ % '`l�--- � "
By - — _ �
Puet' ��o .;:�=;;; 7 �98
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AAIENDAt NT TO REDEVELOPTiENT COI�iPAN1' CONTRACT
� (Jackson)
This Agreement is en ered into this day of , 1987; among the City of
Saint Paul, Minnesota, a Minnesota municipal corporation (the "City"), the Housing and
Redevelopment Authority f the City of Saint Paul, a body corporate and politic ("HRA")
and Jackson Apartments edevelopment Company Limited Partnership, a Minnesota limited
partnership ("Owner" or "D vetoper").
BACKGROUND
A. HRA, City an Owner have entered into a Redevelopment Company Contract
dated March 22, 1984 (t e "RCC"), relating to certain property in St. Paul, Minnesota,
defined in the RCC as the " roject."
B. At the time t e RCC was entered into, it was contemplated that the Project
would be financed primar ly by means of certain bonds issued by the HRA, secured by a
mortgage on the Project and insured by the U.S. Department of Housing and Urban
Development ("HUD"). S id bonds are referred to herein as the "Original Bonds" and said
mortgage is referred to h rein as the "Original Mortgage." The loan of the bond proceeds
by the HRA to Owner is re erred to herein as the "Original Loan"
C. The RCC cont mplates that certain parking spaces could be made a part of the
Project if used by the Partnership, but the parties have in practice not caused any -
parking spaces to be part o the Project.
D. The parties co temporaneously herewith are arranging for the refinancing of the
Original Bonds and the riginal Loan by means of new bonds (the "New Bonds") under a
Supplemental Bond Resol tion adopted by the Port Authority of the City of Saint Paul
(the "Port") on February 24, 1987, and the loan of the proceeds thereof to Owner (the
"New Loan"). The New Loan is evidenced by a Lease (the "Lease") dated as of February
1, 1987. In addition, the obligation to pay Contingent Interest as provided for and
defined in that certain greement dated as of February 1, 1987 among C.R.I., Inc., the
Port and the Owner (t e "Agreement") is secured by that certain Mortgage, Security
Agreement, Assignment o Rents and Leases and Fixture Financing Statement dated as of
February 1, 1987 (the "Mor gage").
E. Under the R C, the Owner has certain obligations to make payments of
principal and interest, w ich obligations are intended to be secured by a mortgage junior
to the Lease and senior to the Mortgage, pursuant to Section 1.06 of the RCC. Owner
, has contemporaneously he ewith executed such a mortgage (the "PILOT Mortgage") on the ,
Project. The parties he eto desire to provide for the subordination called for in Section
1.06 in the RCC by the ex cution of this agreement. �
NOW, THEREFORE for valuable consideration hereby acknowledged as having been
received, and in fulfilim nt of the requirements of Section 1.06 of the RCC, the parties
hereto hereby agree as foll ws, fully intending to be legally bound hereby.
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AGREEAtENT
� 1. The parties ack owledge that the term "Project" as defined in the RCC does not
include any portion of he property of Owner used or designed primarily for parking,
retail or office use, whic excluded property Owner has been and shall be free to dispose
of in such manner as O ner deems appropriate, without restriction by the RCC, the Plan
for Tax Exemption descri ed in the RCC or statutes relating thereto, and without causing
any default or acceleration nder any of the same.
2. Section 4.01 of e RCC is hereby amended to read as follows:
"Section 4.01. Rent Restrictions. Developer shall comply with such restrictions
on rent as may be imposed under any Housing Assistance Payments contract
relating to the HU "Section 8" program, and further shall take such action as
may be necessary t cause rents to be low enough for a sufficient number of
units in the Project in order to enable the Project to comply with the 15% low
income occupancy equirements of the Declaration of Restrictive Covenants
executed by Develope in favor of HRA"
3. Subsection 1.04 A)(i) of the RCC is amended by deleting the parenthetical clause
contained therein.
4. Section 1.04(B) i) of the RCC is amended by deleting everything from and
including "provided..° thr ugh the end of said Section 1.04(B)(i) and replacing said deleted
language with the followin
" r vid that for 987 and subsequent years, (i) Total Repiacement Cost shall be
determined in the anner which would be used by HUD at Final Endorsement (if
such Final Endorse ent were done upon completion of construction), and (ii) in lieu
of the HUD-FHA L an, .there shall be used the original principal amount of the New
Bonds, less all amo nts originally deposited in reserves in the Bond Fund under the
documents relating to the New Bonds°
5. It is acknowle ged that the New Bonds are an obligation incurred to refinance
the Original Bonds, with' the meaning of Section 1.04(A)(ii) of the RCC. Accordingly,
the deduction for "inte est and principal amortization" provided for in said Section
1.04(A)(ii) shall include 11 payments of interest (including servicing fees and Contingent
Interest, as defined in the documents evidencing the New Bonds) and principal
amortization required und r the terms of the Lease; nrovided that no such deduction shall
be allowed for Contingen Interest paid to any partner in the Partnership or to any entity
which is held, directly or i directly, by any such partner or group of Partners.
6. It is acknowl ged that the New Bonds are an obligation to refinance the
Original Bonds, within th meaning of Section 1.06 of the RCC. Accordingly, the interest
of the HRA and City in the Project pursuant to the PILOT Mortgage shall be subordinate .
and junior in all respe ts to the Lease, and HRA and City shall execute appropriate •
documents from time to ime to evidence such subordination. However, the Mortgage shall
be subordinate and junior i all respects to the Pilot Mortgage.
7. Except as expl citly amended above, the terms and conditions of the RCC shall
remain in full force and ef ect.
058SVBCA.SEW 2 �
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IN 1�'ITNESS OF T E ABOVE, the undersigned have executed this agreement below
on the date first written ab ve.
APPROVED AS TO FOR�i C]TY OF ST. PAUL
By
City Attorney Its
By
Its
HOUSING AND REDEVELOPMENT
AUTHORITY OF THE CITY OF ST. PAUL
By
Its
BY
Its
JACKSON APARTMENTS REDEVELOPMENT
COMPANY LIMITED PARTNERSHIP
By Alpha Enterprises
Its Partner
By
Patrick M. Ruhr, Partner
058SVBCA.SEW � 3
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SUBORDINATION AGREEMENT
(JACKSON)
This agreement is e tered into as of the day of , 1987
between the City of Sain Paul ("City"), the Port Authority of the City of Saint
Paui ("Port"), and C.R.I. Inc. , a Delaware corporation ("CRI") .
BACKGROUND
A. Port is the less r under a Lease (the "Lease") dated as of February 1,
1987, executed by Jackson Apartments Redevelopment Company Limited
Partnership, re ating to the property described on �Exhibit A attached
hereto (the "Pro erty").
B. City is the mor gagee under a mortgage (the "City Mortgage") dated as
of February 1, 1987 executed by Jackson Apartments Redevelopment
Company Limited Partnership, relating to the Property.
C. Port and CRI a e co-mortgagees under a mortgage dated as of February
1, 1987, (the 'Port/CRI Mortgage") executed by Jackson Apartments
Redevelopment ompany Limited Partnership, relating to the Property.
D. The parties de ire to establish the priority of the Lease over the City
Mortgage and t e Port/CRI Mortgage, and of the City Mortgage over the
Port/CRI Mortga e.
NOW, THEREFORE, in onsideration of the covenants contained herein, and in
consideration of the e ecution of the Lease, City Mortgage and Port/CRI
hlortgage, and the tra sactions related thereto, the parties hereto agree as
follows, fully intending t be legally bound hereby:
AGREEMENT:
1. It is the inten ion of the parties that the Lease be senior to and be
recorded and eemed recorded prior . to the City Mortgage and the
Port/CRI Mortg ge, and that the City A4ortgage be senior to and be
recorded and de med recorded prior to the Port/CRI Mortgage.
2. The Lease sh il be deemed a "Senior Lien" for purposes of this
Agreement with respect to the City Mortgage and Port/CRI Mortgage,
which shall eac be deemed a "Junior Lien" with respect to the Lease.
The City Mortg ge shall be deemed a "Senior Lien" for purposes of this
� Agreement with respect to the Port/CRI Mortgage, which shall be deemed
a "Junior Lien" with respect to the City Mortgage. It is acknowledged
that the Port's nterest under the Lease is a fee title landlord's interest,
notwithstanding references herein to the Lease as a "Senior Lien".
3. Each Junior Li n, and each Senior Lien with respect to such Junior
Lien, shall be g verned by Paragraphs 4, 5, 6 and 7 below.
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4. Each Junior Lie and the right§ of the hoider thereof, its successors
and assigns, u der the Junior Lien and in the Property, are hereby
subjected and ubordinated and shall remain in all respects and for all
purposes subjec , subordinate and junior to the lien of each Senior Lien
with respect t ereto, and to the rights and interests of the holders
thereof, their s ccessors and assigns, as fully and. with the same effect
as if each such Senior Lien had been duly executed, acknowledged and
recorded, and the indebtedness secured thereby had been fully
disbursed prio to the execution, acknowiedgement, recording and
disbursement of he Junior Lien.
5. Any covenants in the Junior Lien relating to maintenance, repair,
insurance, taxe , condemnation, use of the property or otherwise, to the
extent such cov nants conflict with or contradict covenants in any Senior
Lien with respe t thereto shail, so long as such Senior Lien shall remain
in effect, be of o effect. �
6. This Subordi tion Agreement, shall remain fully in effect
notwithstanding modification, renewal, extension, amendment, waiver or
other alteration or accommodation made or consented to by the holder of
any Senior Lie , its successors or assigns, with respect to the Senior
Lien or the obligations secured thereby. The holder of each Junior Lien
waives any rig ts it might otherwise have to receive any. notices from
the holder of ach Senior Lien with respect thereto relating to such
matters.
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I n witness of the a ve, the undersigned have executed this Agreement below
as of the date set forth i the preamble to this Agreement.
CITY OF SAINT PAUL
BY
I ts Mayor
AN D BY
its Director, Finance and Management
Services
AND BY
Its City Clerk
STATE OF MINNESOTA )
) ss.
COUNTY OF RAMSEY ) -
The foregoing inst ument was acknowiedged before me this day of
, 1987, by , the Mayor,
, the Director, Finance and Management Services, and
by , the City Clerk, of the City of Saint
Paul, on behaif of the Ci y.
Notary Public
(Signature Page to Subo dination Agreement.) .
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THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF SAINT PAUL
BY
• Its
AND BY �
Its
STATE OF MINNESOTA )
) ss.
COUNTY OF RAMSEY )
The foregoing inst ument was acknowledged before me this day of
, 1987 by and by
the and
respectively, of the Housing and Redevelopment
Authority of the City of Saint, on behalf of the Housing and � Redevelopment
Authority of the City of Saint Paul.
Notary Pubiic
(Signature Page to Su rdination Agreement)
� .
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PORT AUTHORITY OF THE CITY OF
SAINT PAUL
BY
Its
AND BY
Its
STATE OF MINNESOTA )
) ss.
COUNTY OF RAMSEY )
The foregoing inst ument was acknowledged before me this day of
1987, by and by
� the and
respectively, of the Port Authority of the City of
Saint Pau , a pub ic bod corporate on behalf of said body.
Notary Pubiic
(Signature Page to Su rdination Agreement)
L
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J , i
C.R.1. INC.
BY
its
STATE OF )
) ss.
COUNTY OF )
The foregoing ins rument was acknowiedged before me this . day of
1987, by � , the
� of C.R.I. , Inc., a Delaware Corpoation, on behalf
of said corporation. -
Notary Public
(Signature page to Subo dination Agreement)
DRAFTED BY:
HALPERN E DRUCK
1709 Cargiii Building
Minneapolis, MN 55402
4'
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� AhtENDAf NT TO REDEVELOPI�IENT CO\'IPANY CONTRAC'T
(Sibiey)
This Agreement is e tered into this day of , 1987, among the City of
Saint Paul, Minnesota, a Minnesota municipal corporation (the "City"), the Housing and
Redevelopment Authority f the City of Saint Paul, a body corporate and politic ("HRA")
and Sibley Apartments edevelopment Company Limited Partnership, a Minnesota limited
partnership ("Owner" or "D veloper").
BACKGROUND
A. HRA, City an Owner have entered into a Redevelopment Company Contract
dated March 22, 1984 (t e "RCC"), relating to certain property in St. Paul, Minnesota,
defined in the RCC as the " roject."
B. At the time t e RCC was entered into, it was contemplated that the Project
would be financed primar ly by means of certain bonds issued by the HRA, secured by a
mortgage on the Project and insured by the U.S. Department of Housing and Urban
Development ("HUD"). S id bonds are referred to herein as the "Original Bonds" and said
mortgage is referred to h rein as the "Original Mortgage° The loan of the bond proceeds
by the HRA to Owner is re erred to herein as the "Original Loan."
C. The RCC conte plates that certain parking spaces could be made a part of the
Project if used by the Partnership, but the parties have in practice not caused any
parking spaces to be part of the Project.
D. The parties con emporaneously herewith are arranging for the refinancing of the
Original Bonds and the O iginal Loan by means of new bonds (the "New Bonds") under a
Supptemental Bond Resol ion adopted by the Port Authority of the City of Saint Paul
February 24, 1987, and t loan of the proceeds thereof to Owner (the "New Loan"). The
New Loan is evidenced y a Lease dated as of February 1, 1987, (the "Lease"). In
addition, the obligation t pay Contingent Interest as provided for and defined in that
certain Agreement dated s of February 1, 1987 among C.R.I., Inc., the Port and the
Owner (the "Agreement") is secured by that certain Mortgage, Security Agreement,
Assignment of Rents and Leases and Fixture Financing Statement dated as of February 1,
1987 (the "Alortgage").
E. Under the RC , the Owner has certain obligations to make payments of
principal and interest, wh ch obligations are intended to be secured by a mortgage junior
to the Lease and senior o the Mortgage, pursuant to Section 1.06 of the RCC. Owner
has contemporaneously her with executed such a mortgage (the "PILOT Mortgage") on the
Project. The parties her to desire to provide for the subordination called for in Section
1.06 in the RCC by the exe tion of this agreement.
NOW, THEREFORE, for valuable consideration hereby acknowledged as having been
received, and in fulfillme t of the requirements of Section 1.06 of the RCC, the parties
hereto hereby agree as follo s, fully intending to be legally bound hereby.
C:
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AGREEAtENT
l. The parties ack owledge that the term "Project" as defined in the RCC does not
include any portion of t e property of Owner used or designed primarily for parking,
retail or office use, whic excluded property Owner has been and shall be free to dispose
of in such manner as O ner deems appropriate, without restriction by the RCC, the Plan
for Tax Exemption descri ed in the RCC or statutes relating thereto, and without causing
any default or acceleration nder any of the same.
2. Section 4.O1 of t e RCC is hereby amended to read as follows:
"Section 4.01. Rent Restrictions. Developer shall comply with such restrictions
on rent as may be imposed under any Housing Assistance Payments contract
relating to the HUD "Section 8" program, and further shall take such action as
may be necessary to cause rents to be low enough for a sufficient number of
units in the Project n order to enable the Project to comply with the 1596 low
income occupancy equirements of the Declaration of Restrictive Covenants
executed by Develope in favor of HRA."
3. Subsection 1.04( )(i) of the RCC is amended by deleting the parentheticai clause
contained therein.
4. Section 1.04(B)( ) of the RCC is amended by deleting everything from and
including " r vid . ." thr gh the end of said Section 1.04(B)(i) and replacing said deleted
language with the following: .
"�rovided that for 1987 and subsequent years, (i) Total Replacement Cost shall be
determined in the anner which would be used by HUD at Final Endorsement (if
such Final Endorsem nt were done upon completion of construction), and (ii) in lieu
of the HUD-FHA L an, there shall be used the original principal amount of the New
Bonds, less all amou ts originally deposited in reserves in the Bond Fund under the
documents relating to he New Bonds"
5. It is acknowled ed that the New Bonds are an obligation incurred to refinance
the Original Bonds, withi the meaning of Section 1.04(A)(ii) of the RCC. Accordingly,
the deduction for "inter st and principal amortization" provided for in said Section
1.04(A)(ii) shall include a 1 payments of interest (including servicing fees and Contingent
Interest, as defined in � the documents evidencing the New Bonds) and principal
amortization required unde the terms of the Lease; r vid that no such deduction shall
be allowed for Contingent Interest paid to any partner in the Partnership or to any entity
which is held, directly or in irectly, by any such partner or group of Partners.
6. It is acknowle ged that the New Bonds are an obligation to refinance the
Original Bonds, within the meaning of Section 1.06 of the RCC. Accordingly, the interest
� of the HRA and City in he Project pursuant to the PILOT Mortgage shall be subordinate .
and junior in all respect to the Lease, and HRA and City shall execute appropriate
documents from time to ti e to evidence such subordination. However, the Mortgage shal]
be subordinate and junior in all respects to the Pilot Mortgage.
7. Except as expli itly amended above, the terms and conditions of the RCC shall
remain in full force and eff ct. �
058SVBC2.SEW 2
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IN 11'ITNESS OF HE ABOVE, the undersigned have executed this agreement below
on the date first written ab ve.
APPROVED AS TO FORh : CI1'1' OF ST. PAUL
By
City Attorney j�
By
Its
HOUSING AND REDEVELOPMENT
AUTHORITY OF THE CITY OF ST. PAUL
By
Its
By
Its
SIBLEY APARTMENTS REDEVELOPMENT
COMPANY LIMITED PARTNERSHIP
By Alpha Enterprises
Its Partner
By
Patrick M. Ruhr, Partner
OS8SVBC2.SEW 3 �
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SUBORDINATION AGREEMENT
(SIBLEY)
• This agreement is entered into as of the day of , 1987
between the City of 5 int Paul ("City"), the Port Authority of the City of Saint
Paul ("Port"), and C.R I. Inc. , a Delaware corporation ("CRI").
BACKGROUND
A. Port is the le sor under a Lease (the "Lease") dated as of February 1,
1987, execute by Sibley Apartments Redevelopment Company Limited
Partnership, elating to the property described on Exhibit A attached
hereto (the "P operty").
6. City is the m rtgagee under a mortgage (the "City Mortgage") dated as
of February , 1987 executed by Sibley Apartments Redevelopment
Company Limit d Partnership, relating to the Property.
C. Port and CRI re co-mortgagees under a mortgage dated as of February
1, 1987, (th "Port/CRI Mortgage") executed by Sibley Apartments
Redevelopment Company Limited Partnership, relating to the Property.
D. The parties d sire to establish the priority of the Lease .over the City
Mortgage and the Port/CRI Mortgage, and of the City Mortgage over
the Port/CRI ortgage.
NOW, THEREFORE, in consideration of the covenants contained herein, and in
consideration of the xecution of the Lease, City Mortgage and Port/CRI
Mortgage, and the tr nsactions related thereto, the parties hereto agree as
follows, fully intending o be legally bound hereby:
AGREEMENT:
1. It is the inte tion of the parties that the Lease be senior to and be
recorded and deemed recorded prior to the City Mortgage and the
Port/CRI A4ort age, and that the City Mortgage be senior to and be
recorded and emed recorded prior to the Port/CRI Mortgage.
2. The Lease s all be deemed a "Senior Lien" for purposes of this
Agreement wit respect to the City Mortgage and Port/CRI Mortgage,
which shali ea h be deemed a "Junior Lien" with respect to the Lease.
The City Mort age shall be deemed a "Senior Lien" for purposes of this
Agreement wi h respect to the Port/CRI hlortgage, which shall be
deemed a "Junior Lien" with respect to the City h4ortgage. it is
acknowledged hat the Port's interest under the Lease is a fee title
• landlord's inte est, notwithstanding references herein to the Lease as a
"Senior Lien".
3. Each Junior ien, and each Senior Lien with respect to such Junior
Lien, shall be overned by Paragraphs 4, 5, 6 and 7 below.
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4. Each Junior Li n and the rights of the holder thereof, its successors
� and assigns, nder the Junior Lien and in the Property, are hereby
subjected and ubordinated and shall remain in all respects a�d for al)
purposes subje t, subordinate and junior to the lien of each Senior Lien
with respect t ereto, and to the rights and interests of the holders
thereof, their uccessors and assigns, as fully and with the same effect
as if each suc Senior Lien had been duly executed, acknowiedged and
recorded, and the indebtedness secured thereby had been fully
disbursed prio to the execution, acknowledgement, recording and
disbursement of the Junior Lien.
5. Any covenants in the Junior Lien relating to maintenance, repair,
insurance, taxe , condemnation, use of the property or otherwise, to the .
extent such co nants conflict with or contradict covenants in any Senior
Lien with resp t thereto shall, so long as such Senior Lien shall remain
in effect, be of o effect.
6. This Subordi ation Agreement, shall remain fully in effect
notwithstanding modification, renewal, extension, amendment, waiver or
other alteration or accommodation made or consented to by the holder of
any Senior Lie , its successors or assigns, with respect to the Senior
Lien or the obt gations secured thereby. The hotder of each Junior Lien
waives any rig ts it might otherwise have to receive any notices from
the hoider of each Senior Lien with respect thereto relating to such
matters.
�•
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� � � ��7�33
In witness of the a ove, the undersigned have executed this Agreement below
as of the date set forth i the preamble to this Agreement.
CITY OF SAINT PAUL
BY
I ts Mayor
AND BY
Its Director, Finance and Management
Services
AND BY
Its City Clerk
STATE OF MINNESOTA )
' ) ss.
COUNTY OF RAMSEY )
The foregoing inst ument was acknowiedged before me this day of
, 1 gg7 by , the Mayor,
� , the Director, Finance and Management Services, and
by , the City Clerk, of the .City of Saint
Paui, on behal of the Ci y.
Notary Public
(Signature Page to Subo dination Agreement.)
�'
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� THE HOUSING AND REDEVELOPMENT AUTHORITY
OF THE CITY OF SAINT PAUL
BY
Its
AND BY.
Its �
STATE OF MINNESOTA )
) ss.
COUNTY OF RAMSEY )
The foregoing inst ument was acknowledged before me thts day of
, 1987 by and by
the and
respectively, of the Housing and Redevelopment
uthority of the City of Saint, on behalf of the Housing and Redevelopment
Authority of the City o Saint Paui.
Notary Public
(Signature Page to Sub rdination Agreement)
t":
������
PORT AUTHORITY OF THE CITY OF
SAINT PAUL
. BY �
Its
AND BY
Its
STATE OF MINNESOTA )
) ss.
COUNTY OF RAMSEY )
The foregoing ins ument was acknowledged before me this day of
1987, by and by
� the and
respectively, of the Port Authority of the City of
Saint Paul, a pub ic bod corporate on behalf of said body. . .
Notary Public
(Signature Page to Su rdination Agreement) �
� .
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i .
� . �'�=-�7_a��
C.R.1. iNC.
BY
Its
STATE OF )
) ss.
COUNTY OF )
The foregoing inst ument was acknowledged before me this day of
1987, by , the
� of C.R.I., Inc., a Delaware Corpoation, on behalf
of said corporation. -
Notary Public
(Signature�page to Subo ination Agreement) �
DRAFTED BY:
HALPERN E DRUCK
1709 Cargill Buiiding
Minneapolis, MN 55402
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