HomeMy WebLinkAbout2012-06-05 Bridgewater Letter of Credit - Phase II Plan A Elements re
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BRIDGEWATER BANK
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June 5, 2012 h l 12
Irrevocable Letter of Credit No. 222
City of Oak Park Heights
Attn.: City Administrator
14169 Oak Park Blvd
Oak Park Heights, MN 55082
To Whom It May Concern:
We hereby establish in favor of the City of Oak Park Heights this Irrevocable Letter of
Credit Number 222 for the account of Oakgreen Senior Villas, LLC ( "the Developer ") for
Oakgreen Project in an aggregate amount of Two Hundred Thirty-Seven Thousand Two
Hundred Twenty -Six and 50 /100 Dollars ($237,226.50).
This LETTER OF CREDIT shall be deemed automatically renewed without modification
for one (1) year from June 5, 2012 or any extended expiration date unless forty -five (45)
days or more prior to such date we shall notify you by registered or certified mail that we
elect not to extend this LETTER OF CREDIT for any such additional period. The Letter
of Credit shall remain in full force and effect until such time as the Developer completes
Phase II as required in the Developer's Agreement.
Partial drawings permitted.
Each draft under this Letter of Credit must:
1. Be signed on behalf of the City;
2. Bear on its face the clause "drawn under Bridgewater Bank Letter of Credit Number
222 dated June 5, 2012; and
3. Be accomplished by a certification signed on behalf of the City of Oak Park Heights
that the Developer fails to renew the letter of credit for at least a one -year period at
least 45 days prior to its stated termination date, as renewed or extended from time to
time, the City may draw upon the letter of credit in the amount of $237,226.50 and
retain such funds as a penalty.
3800 Ameacan Boulevard West, PHONE 9518916868 bridgewaterbnnkâirn.com
Suite 100 FAX 952.893.6869
Bloomington, MN 55431
4. Stating that Developer fails to complete certain Plan A Improvements per Section 2
of the Development Agreement dated May 29, 2012.
We hereby engage with drawers and/or bona fide holders that drafts drawn and
negotiated in conformity with the terms of the credit will be duly honored upon
presentation.
Except as otherwise state herein, this Letter of Credit shall be governed by the most
recent version of the Uniform Customs and Practice for Documentary Credits,
International Chamber of Commerce Publication No. 600.
Bridgewater Bank
By:
Je ° ey D. Shellberg
Its: Executive Vice President