7.5 HRSR 05-01-2017 - Laserfiche WebLink

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PROMISSORY NOTE (Blighted Properties Forgivable Commercial /Industrial Loan) May , 2017 Amount: $75,000.00 Interest: 2.00% Maturity: May , 2022 FOR VALUE RECEIVED, the undersigned, TRUCK SHOP, INC., a Minnesota corporation (`Borrower "), promises to pay to the order of the HOUSING AND REDEVELOPMENT AUTHORITY IN AND FOR THE CITY OF ELK RIVER, a public body corporate and politic of the State of Minnesota ( "Lender "), at 13065 Orono Parkway, Elk River, Minnesota 55330, or such other place as the Lender or any other holder of this Note may designate in writing, on or before May , 2022 ( "Maturity Date "), the principal sum of Seventy -Five Thousand and 00 /100 Dollars ($75,000.00), together with interest on any and all amounts remaining unpaid thereon from time to time from the date hereof (computed on the basis of actual days elapsed in a year of 360 days) at a fixed interest rate of two percent (2.00 %) per annum. This Note is made pursuant to a Loan Agreement, between Borrower and Lender, of even date herewith ( "Loan Agreement ") which provides for the payment of a portion of the cost of acquisition of certain real property, removal of existing substandard buildings and the construction of a new light maintenance facility with related office and storage space on certain Loan Property (as defined in the Loan Agreement) in the City of Elk River, Minnesota (the "Project "). All capitalized terms which are not otherwise defined herein shall have the meanings set forth in the Loan Agreement. Except as provided in the following paragraph, the principal of and accrued interest on this Note shall be due and payable on May , 2022 (the "Note Maturity Date "); provided, however that the Note is subject to repayment prior to the Note Maturity Date in accordance with Section 24 of the Loan Agreement. If, as of the Note Maturity Date (a) no Event of Default exists under the Loan Agreement, (b) the Borrower has acquired the Loan Property and completed the Project (as evidenced by a certificate of occupancy from the City), and (c) the Borrower has created 5 new full time equivalent jobs in the City of Elk River, Minnesota (the "City ") at the Loan Property at the greater of $16.00 per hour or 150% of state or federal minimum wage, whichever is greater, exclusive of benefits, (the "Jobs ") and maintained the Jobs in the City through the Note Maturity Date, then the principal of and interest on this Note shall be deemed paid in full on the Note Maturity Date. This Note may be prepaid by the Borrower at any time. This Note is secured by, among other things a Mortgage and Assignment of Rents and Security Agreement and Fixture Financing Statement, a Personal Guaranty made by Kenneth J. 498722v1 EL185 -51