RIDGE VIEW COMMONS - CONSTRUCTION LOAN

THIS AGREEMENT is made as of June 27 19 88 between EDEN HOUSING, INC., a California nonprofit corporation ( "Borrower") and the CITY OF PLEASANTON, a municipal corporation ( "mender "). A. Borrower owns or will own the reol property described in Exhibit A hereto ( "Property "). B. Borrower proposes to construct on the Property the improvements described in Exhibit B hereto ( "Improvements ") in occordonce with the plans and specifications described in Exhibit B, as they may be amended in accordance with the terms of this Agreement ( "Plans and Specifications '), and has requested o loan from Lender for said purpose. THEREFORE, Borrower and Lender ogree as follows: BUILDING LOAN AGREEMENT ARTICLE I. Loan 1.01 Loan. By and subject to the terms of this Agreement Lender ogrees to1 d nd Borrower agrees to borrow the principol sum of TEN MILLION THREE HUNDRED SIXTY THOUSAND AND NO e /IU ■ Dollars (S10, 360,000.00 ) ( "Loon "), to finance the construction of the Improvements and for the other purposes provided in the Loon Documents (described below). 1.02 Loan Documents. Borrower shall deliver to Lender concurrently with this Agreement the documents, properly executed and in recordable form if necessary, described in Exhibit C (collectively "Loon Documents "). The terms "Note" and "Deed of Trust" shall hove the meanings defined in Exhibit C. 1.03 Effective Date. The dote of the Loan Documents is for reference purposes only. The effective dote ( "Effective Date ") of delivery and transfer to Lender of the security under the Loan Documents and of Borrower's and Lender's obligations under the Loan Documents is the dote the Deed of Trust is recorded in the office of the County Recorder of the county where the Property is located. ARTICLE 11. Disbursement 2.01 Conditions Precedent. Lender shall not be obligoted to make any disbursements or toke any other oction under the Loon Documents unless oil of the following conditions precedent ore satisfied at the time of such action: (a) There exists no Defoult, os defined this Agreement, or Defoult or Event of Defoult as defined in any of the other Loon Documents, or event, omission or failure of condition which would constitute o Default or Event of Defoult after notice or Lapse of time, or both; and (b) The undisbursed Loan proceeds together with all sums (if any) to be provided by Borrower os shown in Exhibit D shall at all times be not less than the amount which Lender from time to time determines necessary to: (i) poy, through completion, all costs of development, construction, marketing and sale or lensing of the Property and Improvements in occordonce with the Loon Documents; (ii) pay all sums which may occrue under the Loan Documents prior to repayment of the Loon; and (iii) enable Borrower to perform and satisfy all of the covenants of Borrower contained in the Loan Documents. If Lender determines of any time that said funds are not sufficient for said purposes, Borrower may sotisfy this condition by depositing the amount of such deficiency in the Borrower's Funds Account (defined below) within seven (7) doys of Lender's written demand; and (c) Borrower has delivered to Lender oli Loon Documents, other documents, instruments, policies, and forms of evidence or other materials requested by Lander under the terms of this Agreement or any of the other Loon Documents. 2.02 Account. H required by Lender, o non - interest bearing demand deposit account in Borrower's name ( "Ac- count') will be opened with Lender and administered in occordonce with the terms of this Agreement. The proceeds of the Loon and Borrower's Funds, when qualified for disbursement, shall be deposited into the Account, if opened, or otherwise disbursed to or for the benef or account of Borrower under the terms of this Agreement. 2.03 Borrower's Funds Account, Except as otherwise provided in this Agreement, all funds which are deposited with Lender pursuant to Section 2.01(b) ( "Borrower's Funds ") or any other provision of the Loon Documents, shall be placed in o non - interest beoring demond deposit account ( "Borrower's Funds Account ") with, and controlled by, Lender for disbursement under this Agreement. —t—