RM 03-25-88 - Laserfiche WebLink

Home Browse Search

South Bend Regular Me elopment Commission - March 25, 1988 6. NEW BUSINESS (Cont.) e. Lonrinuea... and it was difficult to convince the investors. It was a whole sequence of events to get Draper and Kramer involved, to get HUD involved. HUD has now said that the project may be insured by Cin innati Mortgage. Mrs Kolata asked if the Commission has the assurance that the project has passed all of the marketing tests. Mr. Conard responded that it wouldn't pass all of the marketing tests until Cincinnati Mor cage commits to the co- insurance. Ms. Auburn stated that we seem to be going over the same ground about the financing as we did last summer. Her notes indicate that HUD approval was nent then. Mr. Conard said HUD gave app oval in August or September that they wou d allow this project to be co- insured. Ms. Auburn asked why Cincinnati Mortgage is not ready with their decision if they were considering co- insurance back in August or September 1987 as her notes reflect. Mr. Conard responded that Lloyds Bank's financing was more attractive and the partnership waited on Cincinnati Mortgage until after Llo ds Bank backed out. Ms. Auburn asked about the change in the mexdDers of the partnership since the original people are no longer involved. The Commission doesn't have any documents on Eile indicating who is involved in ownership, who Mr. Conard represents, if Mr. Conard has an ownership position in the project. The Commission also has questions about what the project is because the project keeps changing. Mr. Conard indicated that he will supply documents indicating that he and Merrill Jones are the partners in Mill Race Par ership. He indicated that it is impDrtant to have the partnership remain "Mi 1 Race Partnership" since that is how the bonds were closed.