6.0. EDSR 08-19-2002 - Laserfiche WebLink

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II/ III. FINANCIAL PACKAGE • City Tax Rebate Financing Assistance (TRF) up to $225,000 or 10 years;whichever is earlier (subject to and contingent upon minimum building and land value of$2,800,000). • County Tax Rebate Financing Assistance (TRF) up to $225,000 or 10 years;whichever is earlier (subject to and contingent upon minimum building and land value of$2,800,000). Tax Rebate Financing assistance, or Tax Abatement,is provided on a "pay-as-you-go" basis,in which the property owner (Equity Management, Inc.) pays improvement costs upfront, and is then reimbursed annually with 100% of abatement proceeds upon receipt of annual real estate taxes by the participating governmental entities (possibly the City, County, and School District). See TRF Projection Worksheet—Exhibit E There may be additional funding opportunities available to Cymbet through the MN Department of Trade&Economic Development by means of the MN Investment Fund—Exhibit F Financing Requirements: • Equity Management to purchase property up front from landowner and plat property in accordance with City requirements. • Minimum of 20% cash equity investment by Equity Management in the construction • project. • Equity Management's completion of a minimum 60,000 square foot light manufacturing facility in accordance with Business Park District Ordinance and other City requirements. • Cymbet to occupy a minimum of 50,000 square feet of building with a minimum 3-year lease agreement. Cymbet provides to Equity Management$250,000 for initial building improvement, due upon execution of lease agreement. Equity Management to provide Cymbet a lease guarantee not to exceed$4.50/sf annual net rate on the total 50,000 square feet for 5-years. • Up to 10,000 square feet of building reserved for tenants of the City of Elk River Business Incubator Program, for 5-years plus option to extend for an additional 5-years - Exhibit K. • Equity Management's completion of City and County Tax Rebate Financing Applications &payment of applicable fees—Exhibit G. • Proposal is subject to Final Approval by the Elk River Economic Development Authority, Elk River City Council, Sherburne County Economic Development Affiance (SCEDA), and Sherburne County Board of Commissioners upon proposal acceptance. Cymbet Corporation/Equity Management,Inc. City of Elk River Expansion Siting Proposal Page 4 August 2002