Agenda - Economic Development Authority - 03/09/2017

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not available, coverage must be for the maximum insurable value. Insurance coverage must contain a MORTGAGEE CLAUSE (or substantial equivalent)in favor of the City of Ramsey. This clause must provide that any action or failure to act by Borrower, the mortgagor or owner of the insured Property will not invalidate the interest of the City of Ramsey. The policy or endorsements must provide for at least 10 days prior written notice to the City of Ramsey of policy cancellation. 4.5 Guaranty. Guarantors herein covenant that they guaranty payment of all loan accommodations referred to in this Agreement and repayment of all advances made thereunder, together with interest and costs of collection, if any, including reasonable attorney fees not prohibited by law. Said guaranty is of payment and is a continuing, absolute, and unconditional guaranty. 4.6 Use of Proceeds. Borrower warrants that it will use the proceeds of the Loan made by Lender solely for costs of the purchase and renovation of the Property. PART 5. DOCUMENTS FURNISHED PERIODICALLY BY BORROWER AND GUARANTORS AND INSPECTIONS ALLOWED BY BORROWER 5.1 Documents to be furnished periodically. Borrower and Guarantors will furnish to Lender the following documents at the times indicated throughout the term of this Agreement: a. As a condition precedent to closing of this Agreement and upon request of Lender thereafter, evidence satisfactory to Lenderthat Borrower and the Corporate Guarantor are able and authorized to enter into and consummate the credit transactions referred to in this Agreement shall be provided. Such evidence shall include, but is not necessarily limited to, the following: Borrower's and Corporate Guarantor's articles of organization; certificate of good standing from the state; company authorization resolutions; company minutes; and if Lender requests in a separate writing, an opinion of Borrower's and Corporate Guarantor's counsel to the foregoing effect. b. As a condition precedent to closing of the Loan and upon request of the Lender thereafter, appropriate loan documents to support the credit accommodations in this Agreement, including, as appropriate, promissory notes, mortgages, lease assignments, subordination agreements, other perfection documents, insurance and other Collateral assignments, insurance certificates identifying Lender as loss payee, setoff disclosures, and any and all other documents and instruments which in the opinion of Lender are necessary to validate and consummate the credit transactions referred to in this Agreement will be received by Lender. C. Income Tax returns of Borrower and Corporate Guarantor certified by each respective entity, to be received by Lender within 120 days after each fiscal year end. d. Annual personal financial statement of each Individual Guarantor, to be submitted concurrently with the Borrower's statement required above. 5