7.1 SR 10-05-2020 - Laserfiche WebLink

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-, ; Inge Bar* (f'cb August 3, 2020 Evan Moyer Shoot Steel, Inc. 6230 McKinley Ave NW Unit C2 Ramsey, MN 55303 Dear Mr. Moyer, Village Bank is pleased to present the following proposal. This proposal is for discussion purposes only and should not be construed as a lending commitment on the part of Village Bank. A commitment can only be made after completion of our underwriting process, management approval, and completion of documentation acceptable to the bank and its counsel. Loan #1: Commercial Real Estate Loan Bank Portion): Borrower: A to -be -determined Limited Liability Company Loan Amount: Up to $1,259,050 (based upon and approximately 50% of total project) Maturity: 12-month Interest -Only draw phase, followed by a 25 year fully amortizing Note. Interest Rate: 4.05% per annum, fixed for 7 years, then adjusting and fixing (between adjustment periods) every 5 years thereafter based upon the highest published Wall Street Journal Prime + 1% with a floor of 4.05%, per annum. Payment Amount; Initial 12-month Interest -Only draw phase, based upon the amount of credit outstanding, followed by fully amortizing monthly Principal and Interest payments of approximately $6,681.00 (based upon full advance of the loan at the time of conversion). Prepayment Penalty: 3%, 3%, 3%, 2%, 2%, 1%, 1% over the first 7 years from the date of loan closing and based upon outstanding principal balance at the time of payoff should the loan be refinanced at another financial institution. No prepayment penalty shall be applicable should the funds be derived from Borrower or affiliate of Borrower/Guarantor. Purpose: A dual phase note to finance commercial real estate purchase and construction for a to -be - constructed building to be located at: 17565 Tyler St NW, Elk River, MN 55330 Member FDIC #ItTakesaVillage I www.villagebankonline.bank „a4.,.�, L k'.N{J�ft