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<br />ECONOMIC DEVELOPMENT LOAN AGREEMENT
<br />Between
<br />The City of Lakewood
<br />And "
<br />Green Wave Services It, Ltd. --_
<br />and.-
<br />Roundstone Management, Ltd. ,
<br />Wave Services 11, L
<br />016 by and
<br />Hon, and Green
<br />limited liability
<br />compact eAvAth arrentrwl rgaddresz of 27887 Clemens Road, Sone 1, Westlake, Ohio 4414S, both
<br />being duty M,mIed and vaBdy r.hi euMe, the laws of the State of Ohl., by through its duty
<br />authnrbed representatbe -
<br />'WITNESSETH:
<br />A WHEREAS, the Borrowers have requested an aconomkdevelupment loan (the °Loan ")
<br />to as IA with the pbrthase and Installation of building materials and infrastructure to
<br />make totemr and interior buNing repairs and renovations to the bolding and site at
<br />15422 DetrortAvende, PPN 312-14 101 (the " Pojed Site ");
<br />B. WHEREAS, the Cdy has determined that the protect Is an economic dewlepment
<br />project as explained in the City of Lakewood financial Policies and Guidelines adopted
<br />by Lakewood City Cound;
<br />C. WHEREAS, Borrowers have requested assistance in order to complete a financial
<br />package to assist with the rehablgaWn of the building, inducting the Purchase and
<br />Installation of building materials and Infrastructure to make exterior and interior
<br />building repatrsaM ren ewtionstothe Projed Sfte; and
<br />D. WHEREAS, The Gt ys funding win be used for Improvements to the building and the
<br />site, recognizing this as an opportunity to help p.red the property, and secure the
<br />Page f cf 2T
<br />Use of City LoanF Ms
<br />The Loan from the City to the Borowers (Loan Funds") shall be in the amount of Fifty Thousand
<br />Dollars ($50,000.00) It accordance with Article II and the other pmadve. of th0 Lean Agreement.
<br />Such Loan Funds shall be Used fore
<br />the Purchase and installation of building materials and infrastructure to make exteder and
<br />interior IMMUng repairs and renovations to the building and site at 15422 Detroit Avenue, as
<br />more fully set forth to the 5tope or WMkls Mrkaded.SExhtit E.
<br />Saction1.03 Timetable fw ProiMAdlvifies
<br />Borrowers shall perform the Projed in accordance with the following schedule
<br />Activity <wnmem'ememeete e.mdetian oast
<br />G.rdure.rd atalationoHMMIngmrteru6aM -. Onor lterlanuary l5, Aby 15, 2012
<br />infrastructure per ssape cfeork - 2016
<br />Sedionl.04 Protect Completion
<br />Borrower agrees to timely complete the Project by the.Compktbn Date set forth In Section 1.03 of
<br />this Loan Agreement Completion -ofthe Project Is degrned as substantially completing the Scope of
<br />Work If completion of the Projed is' dewy d at an➢time by an ad w neglect of the Oty or by his r
<br />disputes, fire, unusual delay M Ietcwdas Unawldable casualties, or other causes beyond Borrowers
<br />control, the flare foe completion of the project shag be extended by mutual agreement in wiling
<br />bemeentlie8orrowers ardlhe CM1y.:.
<br />On or before the Completion Date, Borrowers shall verify to the City, to the Crtys satisfaction, that
<br />the Project hesbeen completed, which method of verification may include a physical review of the
<br />Project Site and th'eprov6lon of paidanvokes for the work Performed.
<br />Section 1.05 lob Requirements, Documentation and Reporting Reauiremenls
<br />Borrowers agree that nor fewer than Thirty Seven (37), Permanent, full -time equivalent (HE)
<br />jobs wal be maintained at project Site by Borrowers for a period of an fewer than fort, eight (48)
<br />months after a valid Cep ate of Occupancy is obtained by the Borrowers to ocapy the buUnii at
<br />15422 Detrob Avenue. Borrowers pledge and wli document with the CM1Y annually a list of RE
<br />employees for a period fortyeght (48) months following the Cep ate of Occupancy, being
<br />obtained.
<br />Pape 3 cy24
<br />long term stability of one of Lake,exi original commercial Structures along Detroit
<br />Avenue; and
<br />E. WHEREAS, the City desires to make the Loan to Borrowers so that BOnowers can catty
<br />out its plans, subject to the terms and conditions of this Agreement as set forth below
<br />and
<br />F. WHEREAS, City Council adopted Resolution — approving the can as
<br />described below attached hereto as ExhlbitA
<br />NOW, THEREFORE, in consideration of the mutual promises and coverunts stated below and
<br />Other good and valuable consideration, receipt and Sufficiency Of which are hereby acknowledged,
<br />the City and the Borrowers agree as follows:
<br />Amictsl PWIECT
<br />SMion1.01 Loan Purled - —'
<br />The incled shall genemny rMOUL of the purchase and Installation of IMMU, materials and
<br />infrastructure to make exterior and Interior: budding reports and renovations (°Projed °) to the
<br />bnidlpg the sco , of 15422
<br />work Detroit b in 3to This 01 eProjed'ScOp a Wink') . Tin, set
<br />s coot
<br />forth to the uoce of work set forth in Ealy li a to This Agreement ( 'Scope of WorK) . The total
<br />Projed cost IS estimated [obe approximatety $300,000,......,_. ..
<br />Section 1A2 SOWcesand UseSOffundSfortheirmled
<br />be financed from the following
<br />The manfrom City w Hormwers which Shan be N the amount .!fifty Thousand
<br />reolars($SO; 000)1. accordance with Article it and the other Provisions ofthis
<br />(2)
<br />(2) Renewers equity in the amount of apprommattly $200,000.
<br />The Loan shall be contingent upon the Borrowers' procuring either a contract from a
<br />reputable londer andjor a reasonable demonstration of the equity necessary to complete the Scope
<br />of Work
<br />Page2 d 24
<br />preaine Doome ntalion RekdramenU
<br />Prior to Iran disbursement, Borrowers shall submit an °fmpioynont Summary,' indkaifng its
<br />umber of foil time equivalent payroll positions and employees which existed prior to exeeat ng this
<br />Agreement. A toper of Borrowers' certified payroll for the period Immediately prior to executing this
<br />Agreement must accompany the Employment Summary.
<br />Reporting Rogticari is
<br />Borrowers agree to report to the City, In a form acceptable to the City, total employee count at the
<br />Project Sae annually on or before the anniversary date of necenjro the certfi to of occupancy for
<br />employment maintained during the preceding 12 months Such report shall Include a Unified Payroll
<br />dated the final day of the reporting period
<br />ARTICLE II - THE LOAN
<br />SMIon2.01 TheLOanerd Note
<br />Subject to the terms and conditions of tMe Agreement together with The Seared Promissory
<br />Note And Open End Mortgage of even date and attached as ExhfbRS Canal D (`Loan Documents "t, the
<br />Cry agrees to lead to the Borrowers the sum of Fifty Thousand Dollars ($50,001 Subject to the
<br />conditions setfotth in Sedbn2D2aM Sed on203 -- -
<br />The Borrowers obigirtum b repay tho Iman Shan be evidenced by and repayable in
<br />reco with the terms ofthis Agreement and Loan Documents.
<br />The i mulpal Sum of the Loan to the extent rot f.rgWen, pursuant to the below provision of
<br />this Section 2.02,slmll be payable Upon def niftm accordance with the Loan Douments.
<br />In accordance with the provisions of this Agreement and the Secured Promissory Note of even
<br />date, the City shall forgtve3weFae3housand Five Hundred Dollars ($12,500) of the original principal
<br />SUM of Fifty Thousand Dollars ($50,000.00) of the man (Servted Promissory Note) each consecutive
<br />year commencing on the date the Certificate of Occupancy is trained by the IakewoM Budding
<br />Department and continuing unto the first to Occur of: (a) the balance of the Economic Development
<br />Fund Loan (Seared Promissory Note) is $0.00 or Hal the Borrowers default on its obligations under
<br />this Economic Development Two Agreement and Loan documents. Such forgmness shah Occur
<br />automatically, without ho Met action of the Cory, provided that Borrowers have sot defaulted on this
<br />Agreement and the Seared Promissory Note during The preceding year. Upon forgiveness of all two
<br />Ducts, the Promissory Nate shall be deemed fully Satisfied and, within thirty (30) days thereafter,
<br />the Owdollfep satistactwnof Mortgage inthe Land RetordsofComhoea Counts Uponrecordig
<br />of the satisfaction of Mortgage, this Agreement shag terminate and Borrowers shall have no further
<br />obligation under this Agreement or the Loan Documents.
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