EDC Packet 9.18.2025 - Laserfiche WebLink

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6 (g) The Borrower shall use commercially reasonable efforts to invest such capital expenditures in the Project by not later than the Mandatory Project Completion Date and shall work diligently to complete the Project, subject to the Unavoidable Delay provisions of Section 7.12 of this Agreement. The Borrower shall apply all of the proceeds of the Loan toward the costs of the Project and shall finance all remaining costs of the Project from other available funds of the Borrower, including, but not limited to, construction financing. (h) No portion of the proceeds of the Loan will be used to provide any private or commercial golf course, country club, massage parlor, tennis club, skating facility (including roller skating, skateboard and ice skating), racquet sports facility (including any handball or racquetball court), hot tub facility, suntan facility, racetrack, airplane, skybox or other private luxury box, health club facility, facility primarily used for gambling or store, the principal business of which is the sale of alcoholic beverages for off premises consumption. (i) No litigation at law or in equity nor any proceeding before any governmental agency or other tribunal involving the Borrower is pending or, to the knowledge of the Borrower threatened, in which any liability of the Borrower is not adequately covered by insurance and in which any judgment or order would have a material and adverse effect upon the business or assets of the Borrower or would materially and adversely affect the Project, the validity of this Agreement or the performance of the Borrower’s obligations thereunder or the transactions contemplated hereby. (j) No event has occurred and is continuing which with the lapse of time or the giving of notice would constitute an event of default under this Agreement or the Note. Section 2.3. Loan . The City will fund the Loan on a draw basis (each draw on the Loan, a “Draw”) by making tax increment revenues then currently on deposit in the allocation fund for the (i) South Side Allocation Area of the South Side Development Area in the amount of $465,377, (ii) River West Allocation Area of the River West Development Area in the amount of $2,475,686, and (iii) River East Allocation Area of the River East Development Area in the amount of $1,058,937 available to the Borrower as provided herein. The Borrower acknowledges and agrees that such tax increment revenues are subject to appropriations thereof by the Redevelopment Commission. Such Loan is being evidenced by the execution and delivery by the Borrower of the Note substantially in the form attached hereto as Exhibit A. To request a draw on the Loan, the Borrower shall submit a written draw request not more frequently than monthly to the City’s Department of Community Investment (the “Department”) for review and approval by the Department. Each written draw request shall indicate the amount of the Draw, detail the costs of the Project to be reimbursed from such Draw, and state a recap of vendors and the amount paid to each and attach copies of invoices paid. ARTICLE III. COMPLETION OF THE PROJECT Section 3.1. Acquisition, Construction, Equipping and Improving of Project. It is understood that improvements made for the Project are that of the Borrower and any contracts made by the Borrower with respect thereto shall acquire and construct the Project. The Borrower shall use commercially reasonable efforts to construct the Project with all reasonable dispatch and