Agenda - Council - 09/27/2011 - Special

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deliver the Assessment Agreement to the City and record the Assessment Agreement in the Anoka County land records. The schedule of minimum market values attached to the Assessment Agreement as Exhibit B is based on the City's estimate. Prior to the City's and Developer's execution of the Assessment Agreement, the schedule of minimum market values attached to the Assessment Agreement as Exhibit B may be modified as follows: (a) The Tax Increment Act requires that the Anoka County Assessor certify that the minimum market values set forth in the Assessment Agreement are reasonable. After Developer submits Construction Plans to the City pursuant to Section 5.2, the City will provide the Anoka County Assessor with copies of the Construction Plans and request that the County Assessor execute the certification attached to the Assessment Agreement. The City and Developer agree that if the County Assessor requires modifications to the schedule of minimum market values attached as Exhibit B to the Assessment Agreement as a condition of the County Assessors execution of the required certification, the City and Developer will modify the schedule of minimum market values to the minimum extent necessary to obtain the County Assessors Certification; and (b) If the amount of the TIF Note is determined pursuant to Section 6.2(c), the City and Developer will amend Exhibit B of the Assessment Agreement so that the minimum market values for the years 2014 — 2036 are equal to the assessed value that the Anoka County Assessor establishes for the Development Property for purposes for real property taxes assessed in the year following the year of which the City issues the Certificate of Completion, and the minimum market value for 2013 is 30% of the minimum market value for 2014. DEVELOPER MUST RECORD THE ASSESSMENT AGREEMENT AGAINST TITLE TO THE DEVELOPMENT PROPERTY PRIOR TO THE RECORDING OF ANY MORTGAGE OR OTHER LIEN ON THE DEVELOPMENT PROPERTY THAT DEVELOPER GRANTS TO THIRD PARTY OR, IF SUCH THIRD PARTY MORTGAGE OR LIEN IS RECORDED FIRST, MUST OBTAIN AND RECORD AN INSTRUMENT WHEREBY THE HOLDERS OF SUCH MORTGAGE OR LIEN ACKNOWLEDGE AND AGREE THAT THEY AND THEIR SUCCESSORS AND ASSIGNS ARE SUBJECT TO THE RIGHTS OF THE CITY UNDER THE ASSESSMENT AGREEMENT. IF THE ASSESSMENT AGREEMENT IS AMENDED PURSUANT TO SECTION 10.2(B) ABOVE, DEVELOPER MUST CAUSE ANY PARTIES HOLDING LIENS ON THE DEVELOPMENT PROPERTY TO EXECUTE A CONSENT TO THE ASSESSMENT AGREEMENT AMENDMENT SUFFICIENT TO CAUSE THE LIEN HOLDERS INTEREST IN THE PROPERTY TO BE SUBJECT TO THE ASSESSMENT AGREEMENT, AS AMENDED. ARTICLE XI RESTRICTIONS ON ASSIGNMENTS AND TRANSFERS, SUBORDINATION AND RENTAL RESTRICTIONS Section 11.1 Prohibition against Transfer of the Development Property; Assignment of Development Agreement and Assignment of the TIF Note. Prior to Developer's substantial completion of the Minimum Improvements and the City's issuance of the Certificate of Completion described in Section 5.5, Developer may not, except as set forth in Section 11.2, convey; mortgage; lease, other than in the ordinary course of Developer's business; or otherwise 2695614v12 17