Economic Development Authority Meeting Date: January 26, 2026
To: Members of the Economic Development Authority
From: Emery John, Program Associate
Title
Loan Extension Resolution
Body
Action Requested:
The EDA is asked to approve the attached resolution, Approval of a Loan Agreement and Extension of a Loan Agreement with Rebound Phoenix LLC for the Refinancing of the 618 Division St. Building, affirming the decision made by the EDA Loan Committee on December 11th, 2025.
Summary Report:
Staff was asked to extend Rebound Phoenix’s loan in November, 2025, upon the due date of their balloon payment. They cited the loss of a major tenant in their building as the cause of the request. The EDA Loan Committee met on December 11th, and approved the loan terms provided in the resolution and summarized here:
- 2 year term, ending in February 28th, 2028
- 6% interest rate
- Monthly payments
- No prepayment penalty (consistent with EDA practice)
Staff learned through the process of working with legal council to draft the amended loan that it is appropriate for the EDA to pass the extension formally, hence the late addition of the Resolution to the packet.
City Plans & Policies Relevance:
N/A
Alternative Options:
The EDA could alter the terms of the loan amendment or vote to oppose the resolution.
Financial Impacts:
This decision will result in additional interest earned by the EDA, as the interest rate is increasing from the previous iteration of the loan.
Tentative Timelines:
January 26, 2026 - Resolution Approval
February, 2026 - Loan Amendment Executed
February 28th 2028 - Final Loan Payment