1988-06-27 LOC Reduction
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CITY OF ALBERTVILLE
P. O. BOX 131
ALBERTVILLE, MINNESOTA 55301
PHONE: (612) 497-3384
.June 27, 1988
Mr. John Darltenwald
Mr. George Yankoupe
7767 N. River Road
Elk River. Minnesota 55330
1,.
RE: REOOCTI~ IN THE LETl'ER OF CREDIT
Dear Jolm and George:
As you requested the City of Albertville has reviewed your Letter of
Credit in the 8IOCltIDt of $~,3?0.e0 and have determined that it can be reduced
to represent the coats of the improvements being undertaken in the WES'J.ltlIND
development.
The reduction in the Letter of Credit is the direct result of the bid for
the Westwind construction coming in Dl.1Ch lower than originally estimated.
Based on the sale of the, City's G. O. Improvement Ebnda, of which Westwind is a
part of, it appears that your Letter of Credit can be reduced to $138,er20.e0,
which is 3er% of the total coat of the improvements ($461.704.78).
Please have the Security State Bank of St. Michael prepare for us a new
Letter of Credit in the 8IOCltIDt of $138,020. e0 and I will attach it to your
Developer's Agleement, replacing the original one. The second Letter of
Credit, in the 8IOCltIDt of $28,6021.e0 can remain in place as is, since it
represents of 1~ of the Escrow Items which were not effected by the outcome
of the bond sale.
As we discussed this moming, I will be forwarding to you a revised DEBT
SERVICE SCHEIXJI..E (Exhibit "C") once I have received the final numbers from
Juran and Moody. I will attach the same to the Developer's Agreement.
Sincerely,
.J
CITY OF ALBERTVILLE
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Maureen T. Andrews
City Administrator
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