Laserfiche WebLink
LOAN AGREEMENT <br />(Microloan) <br />THIS LOAN AGREEMENT (“Agreement”) is made effective as of _______________, <br />2016, by and between F & M Properties, LLC, a Minnesota limited liability company <br />(“Borrower”), and the ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF ELK <br />RIVER, a public body corporate and politic of the State of Minnesota (“Lender”). <br />RECITALS <br />A.Borrower has applied to Lender for a Microloan Program loan for Borrower’s <br />relocation to and purchase and renovation of an existing building located on certain real property <br />at 18489 Twin Lakes Road, Elk River, Minnesota 55330 (the “Loan Property”) in the principal <br />amount of $185,200.00. <br />B.Lender is willing to make such loan to Borrower in the principal amount of <br />$185,200.00(the “Loan”), subject to all of the termsand conditions of this Agreement. <br />C.Contemporaneously with the execution hereof, Borrower is delivering to Lender <br />the following security documents: <br />(i)A Promissory Note (“Note”) effective as of the date herewith made by <br />Borrower and payable to the order of Lender, in the original principal amount of <br />$185,200.00. <br />(ii)A Security Agreement securing the Note (“Security Agreement”). The <br />Security Agreement is of even date herewith, is executed by the Entity Guarantor, in favor <br />of the Lender, as secured party, and provides a [first lien]security interest in the <br />equipment owned or will be ownedby the Entity Guarantorat the Loan Property(the <br />“Equipment”); <br />(iii)The personal guaranty of Fred Trapp, Presidentof Borrower and the <br />personal guaranty of Michael Tracey, Vice Presidentof Borrower (collectively, the <br />“Personal Guaranty”); <br />(iv)Mortgage and Assignment of Rents and Security Agreement and Fixture <br />Financing Statement (“Mortgage”). The Mortgage is of even date herewith, is executed <br />by Borrower, as mortgagor, in favor of Lender, as mortgagee, and covers the Loan <br />Property as well as a security interest in certain other property described therein; and <br />(v)An entity guaranty (the “Entity Guaranty”) of Die Concepts, Inc. (the <br />“Entity Guarantor”). <br />NOW, THEREFORE, in consideration of the mutual covenants hereinafter contained, it is <br />hereby agreed as follows: <br />1 <br />477330v1EL185-40 <br /> <br />