DATE: July 18, 2019
TO: Members of the Economic Development Authority
FROM: Nate Carlson, Economic Development Coordinator
Title
Consider approval of EDA Resolution 2019-004 Assignment and Assumption Agreement between The Family Residence, LLC and Prairie View Holdings, LLC
Body
SUMMARY AND ACTION REQUESTED:
The EDA Board shall review the document pertaining to the assignment and assumption between the Family Residence, LLC and Prairie View Holdings, LLC regarding the outstanding EDA Loan and approve EDA Resolution 2019-004 authorizing the execution of the Agreement.
BACKGROUND:
The EDA executed a mortgage deed with the owners of the Family Residence pertaining to the $50,000 EDA loan on October 26, 2018. The mortgage was recorded with The Family Residence, LLC initially. However, the primary financing bank notified staff that the mortgage needed to be recorded under Prairie View Holdings, LLC. The borrower cannot add additional financing to the project until this change has been made.
The attached document will assign all executed loan documents for The Family Residence, LLC EDA Loan to Prairie View Holdings, LLC, which is the real estate owner of the Family Residence business.
ANALYSIS:
N/A
OPTIONS:
N/A
RECOMMENDATION:
Staff recommends that the EDA approve EDA Resolution 2019-004.