Consent 1.I.
Regular City Council Meeting
- Meeting Date:
- 11/09/2009
- TITLE
- Financial Services Manager
- PRESENTED BY:
- Patrick Weber
- Department:
- City Hall Administration
Presentation:
PROBLEM/ISSUE STATEMENT
The Downtown Revolving Loan Committee approved a substitute of subordination parties to Anderson Management Group Building (formerly Hospitality Concepts) on October 22, 2009.
Management Group Building has requested financing from Beartooth Bank to pay off the following debt for which all liens will be released:
The Council approved a re-subordination of $352,000 at the October 13th meeting for Beartooth Bank and Anderson Management Group. The bank forgot to add the loan fees when providing the loan amount to the City. The re-subordination will need to be in the amount of $357,314.50.
The current balance of the loan from the City’s Downtown Revolving Loan Fund is $36,304.25.
Management Group Building has requested financing from Beartooth Bank to pay off the following debt for which all liens will be released:
The Council approved a re-subordination of $352,000 at the October 13th meeting for Beartooth Bank and Anderson Management Group. The bank forgot to add the loan fees when providing the loan amount to the City. The re-subordination will need to be in the amount of $357,314.50.
The current balance of the loan from the City’s Downtown Revolving Loan Fund is $36,304.25.
ALTERNATIVES ANALYZED
The Council may:
- Approve the request for subordination of the loan; or
- Not approve the request for subordination of the loan.
FINANCIAL IMPACT
There is no financial impact to the Downtown Revolving Loan fund.
RECOMMENDATION
The Downtown Revolving Loan Committee recommends that Council approve the loan subordination to Beartooth Bank, for the amount of $357,314.50.
APPROVED BY CITY ADMINISTRATOR
Attachments
No file(s) attached.