Agenda - Council - 12/12/2023 - Laserfiche WebLink

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LOAN AGREEMENT THIS LOAN AGREEMENT (the "Agreement") is made effective as of the day of 20231 by and among: SA GROUP,INC., a Minnesota corporation, whose address is 7150 143rd Avenue NW, Ramsey, MN 55303 ("Borrower"); City of Ramsey, a Minnesota municipal corporation, whose address is 7550 Sunwood Drive NW, Ramsey, MN 55303 ("Lender"); ,S'oderholm &Associates Inc., a Minnesota corporation, whose address is 7150 143rd Avenue NW, Ramsey, MN 55303, Water Control Corp. of Minnesota,Inc., a Minnesota corporation, whose address is 7150 143rd Avenue NW, Ramsey, MN 55303, and Equip Mechanical Support,Inc., a Minnesota corporation, whose address is 7150 143rd Avenue NW, Ramsey, MN 55303 (each a"Corporate Guarantor", and together, the "Guarantors", or, individually, a"Guarantor"). PART 1. TERM AND PURPOSE 1.1 Term of this Agreement. The term of this Agreement shall be from the date of this Agreement set forth above and continue thereafter until all indebtedness has been indefeasibly paid in full. 1.2.1 Purpose of this Agreement. Lender has granted to Borrower a term loan of One Hundred Forty Nine Thousand Nine Hundred Ninety Nine and no/100 Dollars ($149,999.00) (hereinafter referred to as the "Loan") to be used for real estate acquisition, improvements financing and the construction of a not less than 40,000 square foot addition to the Borrower's existing manufacturing/warehouse facility(the "Project") located at 7150 143rd Avenue NW, Ramsey, MN 55303 (the "Property"). PART 2. TERM LOAN; TERMS AND REPAYMENT 2.1 Loan evidenced by Promissory Note. Subject to the conditions set forth herein, Lender herein grants to Borrower a term loan in the amount of $149,999.00. The Loan will be represented by a promissory note (the "Note"). 2.2 Interest rate on Note. The Note will bear interest at the fixed rate of 3.50% percent per annum. 2.3 Repayment of the Note. The Note shall require repayment in monthly installments of principal and interest in the amount of $2,312.74 per month. Such monthly installment payments are based on a six (6) year amortization from the date of the Note. The monthly principal and interest payments shall begin on December 1, 2023, and continue on the first day of each month thereafter until November 1, 2029, when the remaining balance of all principal and accrued but unpaid interest shall be due in full. Payments will be credited first to actual interest accrued on actual outstanding principal,then to principal outstanding. In addition to regularly scheduled payments of principal and interest, all interest accrued at the Interest Rate on the Note principal commencing as of the effective date of the Note Page 1 of 9 129662823v2