Bill No. 84-23 TIF-EDC Forgivable Loan

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LOAN AGREEMENT This is a LOAN AGREEMENT dated as of December 1, 2023 ("Loan Agreement") between DELTA VENTURES LTD., an Indiana Nonprofit Corporation duly organized and existing and authorized to do business under the laws of the State of Indiana, under common control with Monreaux LLC("Borrower"),and the CITY OF SOUTH BEND,INDIANA("City"), a municipal corporation duly organized and validly existing under the laws of the State of Indiana. PRELIMINARY STATEMENT WHEREAS, Indiana Code,Title 36, Article 7,Chapters 11.9 and 12, as supplemented and amended(collectively, "Act"), has been enacted by the General Assembly of Indiana. WHEREAS,the Act provides that a municipal corporation may,pursuant to the Act,make direct loans to users or developers for the cost of acquisition, construction, or installation of economic development projects, including the construction of site work and infrastructure improvements ("Local Public Improvements") needed to serve the redevelopment and development of: (i) a four-story building containing at least sixty-five thousand (65,000) square feet which will include the incorporation of the historic masonry features preserved by the Commission;and(ii)a minimum of sixty(60)total apartment units of which no fewer than twenty- three(23) apartment units will be exclusively available for tenants at fifty percent(50%) or lower of the area median income ("AMP') and no fewer than an additional twenty-three (23) apartment units will be exclusively available for tenants at eighty percent(80%) or lower of AMI on certain real estate acquired by the Borrower with an overall investment of approximately $13,700,000 ("Development"),on certain real estate acquired by the Borrower as set forth on Exhibit B attached hereto, together with all necessary appurtenances, related improvements and equipment, with such loans to be secured by the pledge of secured or unsecured debt obligations of the Borrower to enhance revitalization efforts, increase the level of diversification of the tax base, promote economic development and job opportunities, and enhance the City's efforts to create a vibrant and active residential and business community; and WHEREAS,the South Bend Redevelopment Commission("Commission")has established the River West Development Area("Area")and the River West Development Allocation Area No. 1 ("Allocation Area") and adopted an economic development plan, as amended (collectively, as amended, "Plan") for the Area pursuant to a declaratory resolution, as amended to date, and as confirmed by a confirmatory resolution, as amended to date(collectively, "Area Resolution"). The Plan contained specific recommendations for economic development in the Area, and the Area Resolution established the Allocation Area in accordance with IC 36-7-14-39 for the purpose of capturing the TIF Revenues(as hereinafter defined). The City, upon finding that the Local Public Improvements needed to serve the Development(hereinafter, collectively, "Project") and the proposed financing of the construction thereof will create additional employment opportunities in the City;will benefit the health, safety, morals, and general welfare of the citizens of the City and the State of Indiana; will enhance revitalization efforts; will increase the level and diversity of the tax base; will enhance efforts to 4865-5920-9350.2