COMMUNITY FIRST NATIONAL BANK - Laserfiche WebLink

AGREEMENT BETWEEN CITY OF PLEASANTON AND COMMUNITY FIRST NATIONAL BANK CONCERIVING CONSTRUCTION FINANCING FOR TRACT 6601 THIS AGREEMENT, dated as of June 3, 1993, is by and between the Ciry of Pleasanton ("Ciry"), and Community First National Bank ("Bank"). WITNESSETH: WHEREAS, City has previously authorized the contribution/sale of City owned property ("the Property"), located at the southeast comer of Palomino Drive and Concord Street, to the Rotary Club of Pleasanton North ("Rotary North") for the purpose of Rotary North's constructing thereon 7 residential units ("the Project"); and WHEREAS, the value of the Property is $238;000; and WHEREAS, Ciry has previously agreed with Rotary North to waive Ciry building and related fees for the Project; and WHEREAS, the value of such fees is $110,509; and WHEREAS, Ciry conditioned its sale/contribution of the Property to Rotary North by placing certain restrictions on the disposition and sale of the residential units including, but not limited to, restricting the amount of the sale (and resale) price and limiting the sales to first time home buyers; and WHEREAS, Rotary North is required to obtain private financing for the construction costs for the Project; and WHEREAS, Bank is willing to provide construction financing for the Project, in the amount of $797, 314, which amount represents all costs which Rotary North expects to incur in financing the construction of the Project ("the construction costs"), as more specifically identified in Exhibit A; and WHEREAS, Bank has requested certain assurances from Ciry as to how sale proceeds of the units will be distributed in the event (a) that Rotary North is unable to complete the Project, (b) title to the Property vests in Bank, and (c) Bank has to advance additional funds in order to complete the Project; and WHEREAS, Ciry is willing to provide such assurances if Ciry is given the opportunity to work with the Bank to complete the Project should Rotary North fail to do so; -1-