7.2 HRSR 06-01-2015 - Laserfiche WebLink

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percent or more of the assessorÔs current yearÔs estimated marke Loan Structure All Housing and Redevelopment Authority Blighted Properties Forgivable Loans shall be structured as direct loans. Applicant must provide at least 50% of project cost through other means. Equity down payment requirements may vary depending on project and prim institution. Blighted Properties Forgivable Loan funds may be u approval of primary lending institution The HRA may require additional agreements to be signed by the bo (i.e. mortgage, promissory note, security agreement, personal gu subsidy agreement). Other HRA Incentives Projects can combine the Blighted Properties Forgivable Loan with all other incentives (i.e.: Micro Loan Program, Tax Abatement, TIF, etc.) Evaluate Building(s) Existing Condition An evaluation must be conducted to determine if the building(s) substandard by a licensed structural engineer with experience in facility assessment projects. Structurally substandard shall mean containing defects in structural elements or a combination of deficiencies in essential utilities and facilities, light and ventilation, fire protection including adequate egress, layout and condition of interior partitions, or similar factors, which defects or deficiencies are of sufficient total significance to justify substantial renovation or clearance. Deliver a written narrative analysis of the property describing why the property does or does not meet the criteria as Ñstructurally substandardÒ as e Minnesota Statutes Section 117.025, subdivision 7. Call of Loan Blighted Properties Forgivable Loan terms are set by the HRA. Projects which donÔt meet the terms may be required to repay all or a portion of the the loan agreement. A extension may be granted upon review of the Housing and Redevelopment Authority on a case by case basis, except as otherwise required by law. Repayment terms will vary depending on the use of funds an securing the loan. Specific repayment terms will be defined in the loan agreement in the event repayment of part or the entire Blighted Properties Fo required. A loan shall become due and payable in full if a busi of the city of Elk River prior to the maturity date of the loan are not maintained for a period of 2 years from the date of clos VIII. LOAN SECURITY AND GUARANTEES Applicant must secure the loan by providing the HRA with a mini subordinate mortgage upon the building and/or assets or other ap Blighted Properties Forgivable Loan Policy & Guidelines Page 4 of 15