The URL can be used to link to this page

Home My WebLink About86-0505 Als Cafe - dr, v- o o5 May 5 , 1986 MEMORANDUM TO: Marie Yearman, City Clerk FROM: Pat Andrews , Administrative Assistant Attached is the original amended loan installment note for Al ' s Cafe and Creamery. This loan installment note replaces the previous loan installment note currently in your records . PA/sll Attachment OuCIe : I� I D INSTALLMENT NOTE l i (Business Purpose) iI Date Dpremhpr 1 5th ,19 83 Amot 1-11 Due December 15th ,19 92 Number Elgin,Illinois For value received,the undersigned(jointly and severally if there be more than one)promise(s)to pay to the order of THE CITY OF ELGIN(hereinafter,together with any holder hereof,called the"Bank"),at its offices at 6 Fountain Square Plaza,Elgin,Illinois 60120,in accordance with the applicable Schedule of Payments set forth below,the sum of * * FORTY SIX THOUSANIl, SEVEN JUJNDRED 1 T GHTY- THREE AND 31/100 * Dollars,with interest thereon after date until maturity at the rate of * 0 * percent per year ia.azaoccof_ * * * * * * 's ,until payment in full at the note rate stated above plus*_ per cent,together with all costs of collection,including reasonable attorneys'fees.All annual rates stated above are calculated on actual days elapsed based on a 360-day year. Schedule of Payments The undersigned agrees to repay this note as follows: (Equal Principal 17 a. in consecutive [1 monthly; Cl quarterly; ❑ installments of loan principal in Payments) the amount of$ (except the last such installment,which,if different,shall be in the amount of$ ), together with accrued interest payments,beginning on ,19 (Level [7 b. in consecutive❑ monthly; [7 quarterly; ❑ installments of interest and principal Payments) in the amount of$ (except the last installment,which,if different,shall be the amount of $ ),beginning on ,19 (Irregular) 17 c. * $974.65 Monthly on the 15th, starting on January 15th, 1989. If the interest rate of this note is based on a prime rate,a change in that prime rate will change the payment amount of each payment that includes in- terest,except in Schedule b above,in which case a change in the prime rate will affect only the amount of the last payment. SECURITY.As collateral security for payment of this note,any extensions or renewals of it,and any and all other commercial liabilities of any of the undersigned to Bank whether now existing or hereafter arising(the"Obligations"),the undersigned pledge(s)and deposit(s)herewith,and grant(s)to Bank a security interest in (i) the property described as collateral the cPr .rir AorPP Pn Trust_ Deed o other collateral s m .ssignment of Purchaser's Interest in an Installment Agreement for arranty 'Deeor t'oiiateral dated December 15th 1983 ,in favor of the Bank as secured party and executed by the undersigned and/or other debtor(s),ritalivoses. other property which secures any of the Obligations pursuant to any present or future security agreement,pledge,assignment,mortgage,or other collateral instrument executed by any of the undersigned in favor of Bank,(iii)any securities,instruments or property of the undersigned which are or may at any time be delivered to or be in the possession of Bank,and(iv)any interest,income,distributions,dividends,proceeds,substitutions,additions,accessions or replacements of or with respect to the foregoing property. SET-OFF RIGHTS.Bank may,at any time or times hereafter,without notice,appropriate and apply toward the payment of this note,whether due or not, any indebtedness of the Bank to any one or more of the undersigned howsoever created or arising,including,but without limitation to,any and all balances, credits,deposits,accounts or monies of any one or more of the undersigned. Proceeds of Loan applied to 17 Credit to A/c.No. 1 Cash CJ Cashier's Check No. I J Renewal of Note No. ❑ AL's Payee C��1F$Li�TSL�'/E �✓ W. Alan Berg Signature of Borro • EVENTS OF DEFAULT.This note and any of the other Obligations shall become immediately due and payable,at the opt'. .f Bank,without any demand or notice whatsoever in the event that any of the undersigned shall(i)fail to make any payment when due of principal or int- :st on this note or on any of the other Obligations,(ii)become insolvent or unable to pay debts as they become due,make an assignment for the benefit of creditors,or file or have filed against the undersigned a petition for relief under any insolvency,receivership or bankruptcy law or any proceeding relating to the relief of debtors or read- justment of indebtedness,(iii)die or be adjudged incompetent,or(iv)cause or suffer conditions which cause Bank to deem itself insecure.Presentment,de- mand,protest and notice of dishonor are hereby waived.In the event of a default under this note or any other Obligation,the undersigned shall be liable for all costs of collection and realization on any collateral securing this note,including court costs and attorneys'fees. NONWAIVER.No delay or omission on the part of Bank in exercising any power or right hereunder on one or more occasions shall be deemed a waiver of or impair the exercise of that right or power on any future occasion nor shall it affect in any manner the exercise of any other right or power of Bank hereunder.The undersigned and all guarantors and endorsers hereby consent to and waive notice of the Bank's(i)extending of the time for payment or per- formance of any of the Obligations,(ii)modifying or waiving any of the terms of any security agreement securing this note,and(iii)compromising or modify- ing any of the obligations of any maker,guarantor or endorser of any notes,security or other obligation held as collateral security for this note. CONFESSION OF JUDGMENT.To further secure the payment of this note,the undersigned hereby jointly and severally irrevocably authorize(s)any at- torney of any court of record to appear for them,or any one or more of them,in court,in term time or vacation,at any time after the stated or accelerated maturity hereof,and confess a judgment without process against them,or any one or more of them,in favor of the legal holder of this note,for such sum as may appear to be due and unpaid thereon,together with interest,costs,and reasonable attorneys'fees,and to waive and release all errors which may in- tervene in such proceeding and consent to immediate execution upon such judgment,hereby ratifying and confirming all that said attorney may do by vir- tue hereof. Each of the undersigned also agree to the terms stated on the reverse side hereof and that the proceeds of this n e shall be used solely for business purposes. Address: Signature: 's/9 j • C RY 43 Fountain Square Plaza Y /�� Elgin, IL. 60120 W. Alan erg BFC Form 97448 April 14, 1986 MEMORANDUM TO: City Council FROM: City Manager SUBJECT: Central Business District - Economic Development Program (CBD-EDP) . PURPOSE: To consider an extension to the loan deferral period for Al 's Cafe and Creamery located at 43 Fountain Square Plaza. BACKGROUND: Al ' s Cafe received a reduced interest rate loan for $46, 783. 31 through the referenced program in December of 1983. This loan package featured a one (1 ) year deferral with the monthly repayment schedule due to begin on January 15, 1985 and end on December 15 , 1988. To date, the city has not received any of the monthly Payments ($974. 65) due on this loan. The city ' s Finance Department has issued a series of invoices indicating payments due on the loan . Al ' s Cafe has appealed to the CBD-EDP Review Loan Committee for a further deferral of the loan repayment . The proposed deferral extension would result in a loan repayment period beginning in January 1989 and ending in December 1992 . The proposed loan would be for a four (4) year period , as the original , but would feature a five (5) year deferral period . FINANCIAL IMPACT: The present amount due on this loan is $14, 619. 75. If granted , the deferral extension would reduce the amount due to $0. 0. Repayment of loans for the CBD-EDP are considered Community Development Block Grant (CDBG) program income. The theory behind the CBD-EDP is that CDBG program income can serve as an ongoing source of revenue for additional loan activity . Under the original loan provisions a total of $46, 783. 31 would be available for reprogramming by December 1988 . Under the proposed loan provisions the same amount would not be available until December 1992. r ' RECOMMENDATION: The Loan Review Committee (LRC) has considered the request for the loan deferral extension and has recommended approval . The LRC is of the opinion that if Al ' s Cafe had originally sought a five (5) year deferral period , their recommendation would have been for approval . ames J ook , City Manager