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01/25/11 Special
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01/25/11 Special
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7/18/2025 10:57:39 AM
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Meetings
Meeting Document Type
Agenda
Document Title
Housing & Redevelopment Authority - Special
Document Date
01/25/2011
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the Purchase Agreement, this Agreement automatically <br />terminates except as to terms and provisions that this <br />Agreement expressly states survive termination. The <br />Purchase Agreement provides that if the City, HRA or <br />Developer terminate this Agreement, the Purchase <br />Agreement automatically terminates except as to terms <br />and provisions that the Purchase Agreement expressly <br />states survive termination. <br />Section 4.3 Right of Reverter. The Purchase <br />Agreement provides for the HRA's conveyance of the <br />Development Property to Developer subject to a right of <br />reverter. The Right of Reverter shall provide that (a) if <br />the Developer fails to commence construction of the <br />Minimum Improvements on or before the <br />Commencement Date, as the same may be extended <br />pursuant to Section 5.4 as a result of an Unavoidable <br />Delay: (b) if Developer fails to substantially complete <br />the construction of the Minimum Improvements in <br />accordance with the Final Construction Plans on or <br />before the Completion Date, as the same may be <br />extended pursuant to Section 5.4 as a result of an <br />Unavoidable Delays or ft) if the holder of a <br />Construction Mortgage commences proceedings to <br />foreclose the Construction Mortgage prior to <br />Developer's substantial completion of the Minimum <br />Improvements, the HRA may commence an action in <br />Anoka County District Court seeking an order that re- <br />vests title to the Development Property in the HRA and <br />grants the HRA immediate possession of the <br />Development Property. In the Purchase Agreement, the <br />HRA agrees that the HRA will subject the HRA's <br />interest in the Development Property pursuant to the <br />Right of Reverter to the lien of any Construction <br />Mortgage provided the holder of the Construction <br />Mortgage acknowledges, in writing, that if the <br />Construction Mortgage is foreclosed and if the HRA <br />obtains a District Court Order re- vesting title to the <br />Development Property in the HRA, the HRA shall be <br />entitled to redeem the Development Property from <br />foreclosure, as an owner, pursuant to Minnesota Statutes <br />Sections 580 or 581, as applicable. <br />8 <br />
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