2003-07-23 LOC Establish
~
11/25/2003 20:12 76355e3g1~
~ov ~~ U~ 10:00~ 4Iff1C.
MUt:..N LI::.Ut:.t<: I.;UI'b I t<U1.; I
7S3e?-92S6
I,. Central
_ Bank
edon P!'lIirie
5&16 Sho<l~ 011o Aac.4
iWn PrllN:. ~ ~53U
(Olili) 1Y.0001l8~O
Fal< IlI52l114;..:lG\l!l
Cloh:len Valley
sscr. w~ Iloule_
CloItl", VilllIy, t.lN~I4'6
il'iaJ ...-G0<li
F.~. rro:ll $olS-aMO
Stillwater
227~ ""'".....I<"'Ill~..
~Q, S'"' ~s
~11'''61'', Mil Il$lle~
1l~ '1 43!MI1GO
P..t/lMt&:I1.1$eO
WI1lte Iear Uikc
~7C ~I eal'llY Ll'T. N
WMr. t1o~rLalal. MN lil110
(OS1) ~a.Z"4
~"" \lIlll1'2<o'1""~
Web Site
"'IiWW.t)II'!\-nbnk,CUm
G)
I<1iRl ~lZIIIn11
l.!;NDER
McmbCIt FO.l.C,
To:
No, 700919420
:Date July 22, 2003
IRREVOCABLE J...E
R OF CREDIT
Cny of Albertville
A~; Lhuha GOlOb \\
llo>t '" )\
.., ~ll:-':~{;O
We heroby establish ow: Irrevocable Letter tit. Credit #700919420 effective m.m:::dian::ly, ill
favor of the City of Albertville (the "City") at the IeqUest IUd for the IlCCOut'lt of Leucr..
Ml,Itlstel't:JliSott Properties, Inc. and Kollvilh:, L1~C in the amount of'S9:54,itOO.6[l, as such.
Ilm.QUOt is decreased !S provided be1<lw, available to Yc)\llly your siJht draft or drafts dmwu
upon ~ in <Xml'lcction with. the completion of streets, stOrm and. Ilmitluy sewer, and WIlter
linea in the KollV111e :Estate 3" A<lditiolL, City of Albertville (the "Improveme1'l~") in the
Developmmt Agreemen,t bc~n 1bt City of AlbertVille and. Koll'YiIle, LLC.
Eacb drllft dra\1n:1 undet this Letter of Credi.t must be aeeompatl1(!d by:
ll) !'be original Qf this Letter of Credit;
b) A notarized drlf't executed by the: City AdtnirWn-alor. .stating lbe developer j$
m defsult oftbc Development Aarcem!1'lT, and tIu1t the aty it: cntitlec:i to dr4\l1{
upon the Letter of Credit. Such S1atc:mCllt sban set forth the Improvemenlll not
cOUlpleted, the respect in which the ImpIO'\'emeDts !1.11ve not be~ eompletl::d
2l11d the amo'ltl),t required to CUre such failure,
ee.oh draft: drawn under thl!: Lett.er of Credit must:
1)
2)
Be rigned on b;half of the City by the City Admmi!tratcr or his\h,er
designee;
Be in an mntlun.t rElqlJired to C\Ih the default by the :Developer to
cOtr\1l1eto the ImprovetnCIlis, which amount shill 1:I.ot exceed
$934,400,00;
Bear. on its face the clause: "Orawl) \1DCl~ Letter of Credit
#700919420, dated My 22, 2003";
Bc presenwd Cor paymmt at this ofllee no later than I :00 PM on July
22,2004, at which time this Letter ofCr~dit shall expire.
3)
4.)
t-'Al::Ie:. I::J:.!
p.2
11/25/2e03 2e:12 7&355.13
. Mev ~5 03 lO:OOa flce
MOEN LEUER CONS~CT
7S3~-92es
We hereby e8I'cc hI dra& drawn u~dcr and presented 1n eonfOlmity with the teIml of th<1
Letter of Credit will duly be honored upon pt'esentntiOr1.
E'Icept lIS othcIWise expressly stated, th.i$ letter of Credit ~ 5Ubje<;1 to the Uniform
CWitoms and Practice for Doc\\lI'len1aty Crec!it lDternational CbIalber of Commerce
Publication NO, 500 (The "Uni!onn ClU~"). Tbis Letter ofCrcdit shall Dc governed ny
aJXi construed in accordance with the lawll and of the State of MUlnetota, irIohl.ding the
Ul:ti.fonn C.o1mDl:rCjal Code lS in efl"ecl in the Stam ofMiImasOl1.
Thls Lotter Ot Credit i~ DCJt tra.nsferable Or ani,gnable ~c1 is not i,sued for the benefit of any
third party claimant
We shan not be ca.l1ed upon eo IClolvc issues of fact Ql' law bctmen !:he Beneficiary and the
DevQloper.
S il1ccrel Y.
Central Bank ..A
-7c1H /~7:?6 ~ ~
Todd .Petcrsoll
VjQC Presidalt
PAGE e3
p.3