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HomeMy WebLinkAbout1986-268 , . SBEOll-46/1750S/ak 06/26/86 #52 RESOLUTION NO. 86-268 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, APPROVING CERTAIN AMENDMENTS TO THE REVENUE BOND DOCUMENTS IN CONNECTION WITH ITS $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA, INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS OF 1982 (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 WHEREAS, on April 21, 1982, by adoption of its Resolution No. 82-136, the Mayor and Common Council of the City of San Bernardino, California (the "Mayor and Corrunon Council"), acting for and on behalf of the City of San Bernardino, California (the "City"), approved the execution of the Trust Indenture by and between the City and Security Pacific National Bank (the "Trustee") dated as of Apri 1 1, 1982 (the "Indenture") , and such other necessary or desirable documents in connection with the issuance of its $6,000,000 City of San Bernardino, California, Industrial Development First Mortgage Revenue Bonds (Riverview Industrial Buildings) (the Bonds"); and WHEREAS, Section 8.15 of the Loan Agreement by and among the Trustee, the City and Riverview Industrial Buildings, a California general partnership (the "Developer") dated as of April 1, 1982 (the "Loan Agreement") provides that a "Junior Lien" may be placed on the Project provided that prior written consent of the City has been obtained together with an Accountant's Certificate stating that the security for the Bonds will not be adversely - 1 - , .' , affected thereby and demonstrating that the .Pledged Revenues"available for payment on the Bonds will equal or exceed one hundred twenty-five percent (125%) of the "Debt Service" on the Bonds and Junior Liens (the "Accountant's Certificate"); and WHEREAS, such a request for consent (the "Request") has been submitted to the Mayor and Common Council by the Developer, a copy of which is on file with the City Clerk and is incorporated herein by this reference; and WHEREAS, the Developer proposes to effect the partial or complete release of the Project by offering to purchase outstanding Bonds (the "Tender Offer") through E. F. Hutton and Company, Inc. (the "Dealer Manager") and to turn over the Bonds purchased pursuant to the Tender Offer (the "Tendered Bonds") to the Trustee for defeasance and the Dealer Manager will make the Tender Offer in accordance with the provisions of the Commitment Letter dated June 13, 1986, as attached to the Request as Exhibit "A" (the "Dealer Manager Agreement"); and WHEREAS, funds for the payment of the purchase price of the Tendered Bonds will be obtained pursuant to the terms of Commitment No. GW-0153 from American Savings and Loan Association (the "Lender") to the Developer dated June 11, 1986, as attached to the Request as Exhibit "B" (the "Financing Commitment") and if the Tender Offer is completed as described hereinbelow, all funds advanced will - 2 - ,. \ be secured by the documents described in Section 7 of the Financing Commitment (the "Junior Lien"); and WHEREAS, the Developer has requested the Mayor and Common Council to approve the form of an Officer's Certificate of Consent to the Junior Lien in the form as attached hereto as Exhibit "A" (the "Officer's Certificate of Consent to the Junior Lien"); and WHEREAS, to effect the Junior Lien, the Developer has also requested the Mayor and Common Council to approve (i) a certain amendment to the Indenture in the form as attached hereto as Exhibi t "a" ("Amendment No. 1 to the Indenture"), (i i) a certain amendment to the Loan Agreement in the form as attached hereto as Exhibit "C" ("Amendment No. 1 to the Loan Agreement"), (iii) a certain amendment to the Deed of Trust in the form as attached hereto as Exhibit "D" ("Amendment No. 1 to the Deed of Trust") and (i v) a certain amendment to the Assignment of Rents, Leases and Profi ts in the form as attached hereto as Exhibit "E" ("Amendment No.1 to the Assignment of Rents, Leases and Profits"); and WHEREAS, the Developer has also requested, that in the event funds are available for a complete release of the project from the lien imposed by the Deed of Trust by the Developer to the Trustee, for the benefit of the City, the City and the Trustee execute such a release if provisions as found in Section 3.08 of the Loan Agreement and Section A.l6 of the Deed of Trust have been complied with; and - 3 - ., WHEREAS, it is now appropriate for the City to take action on the above requests of the Developer, NOW, THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA, DO HEREBY FIND, RESOLVE, DETERMINE AND ORDER AS FOLLOWS: Section 1. The recitals set forth hereinabove are true and correct in all respects. Section 2. .- The Mayor and Common Council hereby approves the forms of the Officer's Certificate of Consent to the Junior Lien, Amendment No. 1 to the Indenture and Amendment No. 1 to the Loan Agreement. The Mayor and Common Council further authorizes the execution of the final form of said Officer's Certificate, Amendment No. 1 of the Indenture and Amendment No. 1 to the Loan Agreement when the same shall be presented for execution by the Mayor and City Clerk of the City or such other appropriate City official, subject to (i) satisfaction of the terms and conditions of the Request, the Dealer Manager Agreement and the Financing Commitment and (ii) such changes, additions or deletions as may be recommended by the City Attorney and Bond Counsel. The execution thereof by the Mayor and City Clerk of the City or such other appropriate City official shall be deemed to be conclusive as to the approval thereof by and on behalf of the City. - 4 - Section 3. The Mayor and Common Council hereby approves the form of Amendment No. 1 to the Deed of Trust by the Developer to the Trustee, for the benefit of the City, dated April 1, 1982 and recorded as Instrument No. 82-078253 by the County Recorder of the County of San Bernardino on April 22, 1982. Section 4. The Mayor and City Council hereby approves the form of Amendment No. 1 to the Assignment of Leases, Rents and Profits by the Developer to the Trustee, for the benefit of the City, dated as April 1, 1982 and recorded as Instrument - No. 82-078254 by the County Recorder on April 22, 1982. Section 5. The Mayor and Common Council further authorizes the execution of the final form of said Amendment No. 1 of the Deed of Trust and the Assignment of Rents, Leases and Profits when the same shall be presented for execution by the Mayor and City Clerk of the City or such other appropriate City official, subject to (i) satisfaction of the terms and conditions of the Request, the Dealer Management Agreement and the Financing Commitment and (ii) such changes, additions or deletions as may be recommended by the City Attorney and Bond Counsel. The execution thereof by the Mayor and City Clerk of the City or such other appropriate City official shall be deemed to be conclusive as to the approval thereof by and on behalf of the City. Section 6. The Mayor and Common Council hereby approves the form of the Officer's Certificate of the City to the - 5 - Reconveyance and Release of Property in the form attached hereto as Exhibit "F." The Mayor and Common Council further authorizes the preparation of the documentation necessary to reconvey and release the Property upon satisfaction of the terms of the Request, Dealer Manager Agreement and the Financing Commitment and the execution of said documentation when the same shall be presented for execution by the Mayor and City Clerk of the City or such other appropriate City official, subject to such changes, additions or deletions as may be recommended by the City Attorney and Bond Counsel. The execution thereof by the Mayor and City Clerk of the City or such other appropriate City official shall be deemed to be conclusive as to the approval thereof by and on behalf of the City. Section 7. The Mayor, City Clerk and any other duly authorized City official, officer or employee are hereby authorized to execute any and all other documents, including, but not limited to, security documents, including the UCC-l Financing Statements as the Staff of the Redevelopment Agency of the City of San Bernardino (the "Redevelopment Agency") has deemed desirable to record or properly perfect the security interests of the City in such property in order to effect the transactions listed above subject to the approval of the City Attorney. Section 8. The officers of the City are hereby authorized and directed, jointly and severally, to do any and all things to execute and deliver any and all documents which they may - 6 - deem necessary or advisable in order to effectuate the purposes of this Resolution. I HEREBY adopted by the San Bernardino at held on the 7+h the following vote, to CERTIFY that the foregoing Mayor and Common Council a X'G'Jular day of wit: resolution of the meeting was duly City of thereof, 1986, by July AYES: Council Members Reilly Hern~nne7. Fr;:l7;p.r . Strickler NAYS: None ABSENT: Council MemherR F.R+r~n~ M~rk~. Quiel ~~~N/ City...(:lerk The foregoing July resolution is hereby approved this , 1986. /()Z:L day of Mayor of he City 0 San Bernardino Approved as to form: A. ~ tf.~ /",lAIf.itY Attorney - 7 - CITY OF SAN BERNARDINO, CALIFORNIA AGENDA 1. Exhibit July 7, 19R~ ~ RESOLUTION OF THE MAYOR AND, I JA 1-0 ~ r SAN BERNARDINO, CALIFORNIA, Al /' ~~_ THE REVENUE BOND DOCUMENT: tI.Il ~ <A-ti- 1 $6,000,000 CITY OF SAN BERNAl r It{). tf. DEVELOPMENT FIRST MORTGAGE REV: ~ / ~. , (tf~.v4- INDUSTRIAL BUILDINGS) SERIES 19 ~J-'~~ af r.-/r {:~~ ~~ 0(<4- e.p p ~ Adopt Resolution Item: Action to be Taken: following: "A" - Officer's Certificate 0 2 . Exhibit "B" - 'Amendment No. 1 to the 3. Exhibit "c" - Amendment No.1 to the L 4. Exhibit "D" - Amendment No. 1 to the Deed of Trust 5. Exhibit "E" - Amendment No.1 to the Assignment of Rents, Leases and Profits 6. Exhibit "F" - Officer's Certificate of Consent to Release of Project. Document on file with City Clerk - Request of Developer. To be Published: N/A Newspaper: N/A Dates: N/A Certified copy of Resolution and signature pages to be returned to Sabo & Deitsch. /1750S SBEOll-55/l772S/pd 06/26/86 $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 OFFICER'S CERTIFICATE OF CONSENT TO THE JUNIOR LIEN The undersigned, a duly authorized official of the City of San Bernardino, California (the "City"), in connection with the industrial development bond financing program entitled "$6,000,000 City of San Bernardino, California, Industrial Development First Mortgage Revenue Bonds (Riverview Industrial Buildings) Series 1982" (the "Bonds") does hereby certify that: (1) Attached hereto is an Accountant's Certificate; (2) On the date hereof, the debt service on the Bonds is an amount equal to ; (3) The amount of the Junior Lien to be placed on the Property is . , (4) The Pledge Revenues available for payment an the Bonds are ; (5) The amount equals or exceeds 125% of the amounts listed in Items (3) and (4); (6) The City hereby consents to the Junior Lien as evidenced by (a) the Promissory Note, (b) the Second Trust Deed, (c) the Security Agreement, and (d) the Assignment of Leases, as previously approved by adoption of Resolution No. of the City, adopted July 7, 1986. DATED: By: Ti tle : /1772S EXHIBIT "A" SBEOll-50/l760S/ak 06/26/86 #53 $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 AMENDMENT NO. 1 TO THE TRUST INDENTURE This Amendment No. 1 to the Trust Indenture by and between the City of San Bernardino, California (the "City") and Security Pacific National Bank (the "Trustee"), dated as of April 1, 1982 ("Amendment No.1") is dated this day of , 1986, and shall amend the Trust Indenture to the extent hereinafter set forth: (1) Section 11.2 is amended by adding the following paragraph: "No Event of Default hereunder shall have deemed to have occurred until (i) the Trustee shall have given to the Lender notice of each Event of Default known to the Trustee within five (5) days after knowledge of the occurrence thereof (unless such Event of Default shall have been remedied or cured before the giving of such notice) and (ii) the Lender has been given an opportuni ty to cure the same wi thin at least thi rty (30) days after the date of giving such notice" of Event of Default if such default is monetary or sufficient additional time to cure non-monetary defaults not personal to the Developer. The Deed of Trust will not be foreclosed in the event of a bankruptcy effecting the Developer if the Lender keeps payments due on any Bonds hereunder current." (2) Section 11.11 is amended by adding a new first sentence: "The Trustee shall give to the Lender notice of each Event of Default hereunder known to the Trustee within five (5) days after knowledge of the occurrence thereof, unless such Event of Default shall have remedied or cured before the giving of such notice." (3) The definition of "Lender" Article I and shall read as follows" is hereby added to EXHIBIT "B" - 1 - "'Lender' means American Savings and Loan Association, a California corporation." This Amendment No. 1 may be simultaneously executed in several counterparts, each of which shall constitute but one in the same instrument. Except as and to the extent express ly amended pursuant to this Amendment No. 1 to the Trust Indenture, the Trust Indenture shall continue unmodified and in full force and effect. - 2 - IT WITNESS WHEREOF, the City and the Trustee have caused this Amendment No. 1 to the Trust Indenture to be executed by the authorized representatives as of the date first written above. (SEAL) ::~ OF "f;;;::; Title: ~4-V CALIFORNIA IlA~7 By: ~//n?~ / ~~M Title: SECURITY PACIFIC NATIONAL BANK, TRUSTEE By: Title: SBEOll-51/1761S/pd 06/26/86 #54 $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 AMENDMENT NO. 1 TO THE LOAN AGREEMENT This Amendment No. 1 to the Loan Agreement by and among Security Pacific National Bank (the "Trustee"), the City of San Bernardino (the .Ci ty") and Ri verview Industrial Bui Idings, a California general partnership (the "Developer"), dated as of April 1,1982 ("Amendment No.1") is dated this day of , 1986, and shall amend the Loan Agreement to the extent as hereinafter set forth: (1) Section 9.01 is amended by adding a paragraph to the end thereof as follows: "No Event of Default shall have deemed to have occurred hereunder unless (i) the Trustee shall have given to the Lender notice of each such Event of Default within five (5) days after knowledge of the occurrence thereof (unless such Event of Default shall have been remedied or cured before the giving of such notice), and (ii) the Lender has been provided an opportunity to cure said Event of Default within at least thirty (30) days after the date of giving of such notice of Event of Default to Lender if such default is monetary or sufficient additional time to cure non-monetary defaults not personal to the Developer. The Deed of Trust will not be foreclosed in the event of a bankruptcy affecting the Developer if the Lender keeps payment hereunder current." (2) Section 10.01 is amended by adding a new addressee to said section: "To the Lender at American Savings and Loan Association, 15260 Ventura Boulevard, Suite 1600, Sherman Oaks, California 91403, Attention: " This Amendment No. 1 may be simultaneously executed in several counterparts, each of which shall constitute but one the same instrument. Except as and to the extent expressly amended pursuant to this Amendment No.1 to the Loan Agreement, the Loan Agreement shall continue unmodified and in full force and effect. EXHIBIT "c" - 1 - IN WITNESS WHEREOF, the parties have this Amendment No. I to the Loan Agreement thereunder duly authorized as of the date in above. executed and attest by their officers year first written SECURITY PACIFIC NATIONAL BANK, as Trustee By: Title: N BERNARDINO, CALIFORNIA v-..J ~ By: Title: (SEAL) By: ~/.l/~~/ -tity Clerk RIVERVIEW INDUSTRIAL BUILDINGS, a California general partnership By: Riverview Properties, Ltd., a California limited partnership General Partner of Riverview Industrial Buildings By: Community Consultants Corporation, a California corporation General Partner of Riverview properties, Ltd. By: Russ E. Hatle, Its President By: Western States Projects Corporation, a California corporation General Partner of Riverview Industrial Buildings By: Richard O'Hara, Its President SBEOll-52/l767S/sg 06/26/86 RECORDING REQUESTED BY: CITY OF SAN BERNARDINO, California 300 North "0" Street San Bernardino, California 92418 WHEN RECORDED MAIL TO: SABO & DEITSCH Suite 100 5855 Topanga Canyon Boulevard Woodland Hills, California 91367 (Space above for Recorder's use) AMENDMENT NO. 1 TO THE DEED OF TRUST This Amendment No. 1 to the Deed of Trust by Ri verview Industrial Buildings, a California general partnership (the "Developer"), to Security Pacific National Bank (the "Trustee"), on behalf of the City of San Bernardino, California (the "City"), dated as of April 1, 1982 ("Amendment No.1") is dated , 1986, and shall amend the Deed of Trust to the extent that is hereinafter set forth: (1) Section B.l is amended by adding the following paragraph: "No Event of Default as under the Loan Agreement as described above shall be deemed to have occurred until (i) the Trustee shall have given to the Lender notice of each event of default hereunder known to the Trustee wi thin five (5) days after knowledge of the occurrence thereof (unless such Event of Default shall have been remedied or cured before the giving of such notice) and (ii) the Lender has been given an opportunity to cure the same within at least thirty (30) days after the date of giving such notice of Event of Default if such default is monetary or sufficient additional time to cure non-monetary defaults not personal to the borrower. The Deed of Trust will not be foreclosed in the event of a bankruptcy effecting the Developer if the Lender keeps payments due on any Bonds current. "The Trustee shall give to the Lender notice of each Event of Default hereunder known to the Trustee within five (5) days after knowledge of the occurrence thereof, unless such Event of Default shall have been EXHIBIT "0" remedied or cured before the giving of such notice." "Lender" means American Savings and Loan Association, a California corporation. This Amendment No. 1 may be simultaneously executed in several counterparts, each of which shall constitute but one in the same instrument. - 2 - IN WITNESS WHEREOF, the parties have this Amendment No. 1 to the Deed of Trust thereunder duly authorized as of the date in above. executed and attest by their officers year first written RIVERVIEW INDUSTRIAL BUILDINGS, a California general partnership By: Riverview Properties, Ltd., a California limited partnership General Partner of Riverview Industrial Buildings By: Community Consultants Corporation, a California corporation General Partner of Riverview Properties, Ltd. By: Russ E. Hatle, Its President By: Western States Projects Corporation, a California corporation General Partner of Riverview Industrial Buildings By: Richard O'Hara, Its President The Trustee and the City hereby consent to the above Amendment No. 1 to the Deed of Trust. Dated: SECURITY PACIFIC NATIONAL BANK, as Trustee By: Ti tle: C'TV ~ BERNARDINO, CALIFOHN" By, ~J:l~t7>~y Title: __ ACKNOWLEDGMENT STATE OF ) ) ) On this day of ,1986, before me, a Notary Public duly commissioned, qualified and acting within and for the State and City aforesaid, appeared in person the within-named in the capacity of of Community Consultants Corporation, a California corporation, as general partner of Riverview Properties, Ltd., a California limited partnership, as general partner of Riverview Industrial Buildings, a California general partnership, to me personally known, who stated that he was duly authorized in his capacity as aforementioned to execute the foregoing instrument for and in the name and behalf of the Corporation, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. IN TESTIMONY WHEREOF, official seal this day of I have hereunto set my hand and , 1986. Notary Public (SEAL) My Commission expires: ACKNOWLEDGMENT STATE OF ) ) ) On this day of ,1986, before me, a Notary Public duly commissioned, qualified and acting within and for the State and County aforesaid, appeared in person the within-named in the capacity of of Western States Projects Corporation, a California corporation, as general partner of Riverview Industrial Buildings, a California general partnership, to me personally known, who stated that he was duly authorized in his capacity as aforementioned to execute the foregoing instrument for and in the name and behalf of the said Corporation, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. IN TESTIMONY official seal this WHEREOF, day of have hereunto , 1986. I set my hand and Notary Public (SEAL) My Commission expires: ACKNOWLEDGMENT STATE OF CALIFORNIA ) ) COUNTY OF LOS ANGELES ) Public County this day of ,1986, before me, a Notary commissioned, qualified and acting within and for the State aforesaid, appeared in person the within-named , the of Security Pacific National Bank, a national banking association, to me personally known, who stated that he is duly authorized in his capacity to execute the foregoing instrument for and in the name and behalf of said Bank, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. On duly and IN TESTIMONY WHEREOF, official seal this day of I have hereunto set my hand and , 1986. Notary Public (SEAL) My Commission expires: , SBEOll-53/1768S/ak 06/26/86 RECORDING REQUESTED BY: City of San Bernardino, California 300 North "D" Street San Bernardino, California 92418 WHEN RECORDED MAIL TO: SABO lit DEITSCH, A PROFESSIONAL CORPORATION 5855 Topanga Canyon Boulevard Suite 100 Woodland Hills, California 91367 (Space above for Recorder's use) AMENDMENT NO. 1 TO THE ASSIGNMENT OF LEASES, RENTS AND PROFITS This Amendment No. 1 to the Assignment of Rents, Leases and Profits by Riverview Industrial Buildings, a California general partnership (the "Developer"), dated as of April 1, 1982 ("Amendment No. I") to Security Pacific National Bank (the "Trustee"), on behalf of the City of San Bernardino (the "City"), is dated this day of , 1986, and shall amend the Assignment of Rents, Leases and Profits to the extent as hereinafter set forth: (1) Section 13 is amended by adding a sentence to the beginning of the section: "All notices given by Developer to the Trustee hereunder shall also be given to the Lender listed below." and by adding a new addressee to said section: "To the Lender at American Savings and Loan Association, 15260 Ventura Boulevard, Suite 1600, Sherman Oaks, California 91403, Attention: " (2) Section 14 is amended to read as follows: "Neither this Agreement nor any memorandum, modification or amendment hereof shall be recorded without the prior written approval of the Trustee or the Lender." This Amendment No. 1 may be simultaneously executed in several counterparts, each of which shall constitute but one the same instrument. Except as and to the extent expressly amended pursuant to this Amendment No. 1 to the Assignment of Rents, Leases and Profits, the Assignment of Rents, Leases and Profits shall continue unmodified and in full force and effect. EXHIBIT "E" - 1 - IN WITNESS WHEREOF, the parties have executed and attest this Amendment No. 1 to the by their officers thereunder duly authorized as of the date in year first written above. RIVERVIEW INDUSTRIAL BUILDINGS, a California general partnership By: Riverview Properties, Ltd., a California limited partnership General Partner of Riverview Industrial Buildings By: Community Consultants Corporation, a California corporation General Partner of Riverview Properties, Ltd. By: Russ E. Hatle, Its President By: Western States Projects Corporation, a California corporation General Partner of Riverview Industrial Buildings By: Richard O'Hara, Its President The Trustee and the City hereby consent to the above Amendment No. 1. Dated: SECURITY PACIFIC NATIONAL BANK, as Trustee By: Title: By: Ti tle: ACKNOWLEDGMENT STATE OF ) ) ) On this day of ,1986, before me, a Notary Public duly commissioned, qualified and acting within and for the State and City aforesaid, appeared in person the within-named in the capacity of of Community Consultants Corporation, a California corporation, as general partner of Riverview Properties, Ltd., a California limited partnership, as general partner of Riverview Industrial Buildings, a California general partnership, to me personally known, who stated that he was duly authorized in his capacity as aforementioned to execute the foregoing instrument for and in the name and behalf of the Corporation, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. IN TESTIMONY WHEREOF, official seal this day of I have hereunto set my hand and , 1986. Notary Public (SEAL) My Commission expires: ACKNOWLEDGMENT STATE OF ) ) ) On this day of , 1986, before me, a Notary Public duly commissioned, qualified and acting within and for the State and County aforesaid, appeared in person the within-named in the capacity of of Western States Projects Corporation, a California corporation, as general partner of Riverview Industrial Buildings, a California general partnership, to me personally known, who stated that he was duly authorized in his capacity as aforementioned to execute the foregoing instrument for and in the name and behalf of the said Corporation, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. WHEREOF, day of I have hereunto , 1986. set my hand and IN TESTIMONY official seal this Notary Public (SEAL) My Commission expires: ACKNOWLEDGMENT STATE OF CALIFORNIA ) ) COUNTY OF LOS ANGELES ) this day of ,1986, before me, a Notary commissioned, qualified and acting within and for the State aforesaid, appeared in person the wi thin-named , the of Security Pacific National Bank, a national banking association, to me personally known, who stated that he is duly authorized in his capacity to execute the foregoing instrument for and in the name and behalf of said Bank, and further stated and acknowledged that he had so signed, executed and delivered the foregoing instrument for the consideration, uses and purposes therein mentioned and set forth. On duly and Public County IN TESTIMONY WHEREOF, official seal this day of I have hereunto set my hand and , 1986. Notary Public (SEAL) My Commission expires: SBEOll-54/1771S/ak 06/26/86 $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 OFFICER'S CERTIFICATE OF CONSENT TO RELEASE OF PROJECT The undersigned, a duly authorized official of the City of San Bernardino, California (the "City"), in connection with the industrial development bond financing program entitled "$6,000,000 City of San Bernardino, California, Industrial Development First Mortgage Revenue Bonds (Riverview Industrial Buildings) Series 1982" (the "Bonds") does hereby certify that: (1) The portion of the Project property to be released is square feet. (2) The release price for the portion of the property to be released is , which price is equal to or greater than twenty-five dollars ($25) per square feet of the gross leasable space subject to such release. (3) Attached hereto is an Accountant's Certificate demonstrating that the annualized net revenues after the partial prepayment of the Note pursuant to Section 3.08 in the amount determined pursuant to (2) above shall not be less than one hundred thirty-five percent (1351) of the average annual debt service on the Note. (4) Pursuant to said Accountant's Certificate, the prepayment amount as determined pursuant to Section 3.08(iv) of the Loan Agreement is (5) The Trustee is hereby requested to accept the present Deed of Trust and to execute the attached Deed of Trust to effect the release of the property pursuant to Section A.16 of the Deed of Trust. Dated: By: Title: EXHIBIT "F" RIVERVIEW INDUSTRIAL BUILDINGS 25201 Paseo de Alisa, Suite 120 Laguna Hills, California 92653 (714) 768-8011 $6,000,000 CITY OF SAN BERNARDINO, CALIFORNIA INDUSTRIAL DEVELOPMENT FIRST MORTGAGE REVENUE BONDS (RIVERVIEW INDUSTRIAL BUILDINGS) SERIES 1982 June 26, 1986 City of San Bernardino, California 300 North "D" Street San Bernardino, California 92418 Security Pacific National Bank P.O. Box 30376 Terminal Annex Los Angeles, California 90030 REQUEST OF THE DEVELOPER FOR CONSENT TO A "JUNIOR LIEN" ON THE RIVERVIEW INDUSTRIAL BUILDINGS PROJECT AND THE PARTIAL OR COMPLETE RELEASE OF THE PROJECT LIEN IMPOSED BY THE DEED OF TRUST The purpose of this letter is to request that the City of San Bernardino, California (the "City"), and Security Pacific National Bank (the "Trustee") consent to the imposition of a "Junior Lien" pursuant to Section 8.15 of the Loan Agreement by and among the Trustee, the City and Riverview Industrial Buildings, a California general partnership (the "Developer"), dated as of April I, 1982 (the "Loan Agreement"), and to the partial or complete release of the project financed with the proceeds of the above-mentioned bonds (the "Project") from the Lien imposed by the deed of trust by the Developer to the Trustee, for the benefit of the City, dated as of April I, 1982 (the "Deed of Trust"), pursuant to the terms of Section A.16 of the Deed of Trust and Section 3.08 of the Loan Agreement. Unless otherwise defined herein, all capitalized terms used herein shall have the same meaning as in the Trust Indenture by and between the City and the Trustee dated as of April I, 1982 (the "Indenture"). The Developer proposes to effect the partial or complete release of the Project by offering to purchase Outstanding Bonds (the "Tender Offer") through E. F. Hutton and Company, Inc. (the "Dealer Manager") and to turn over the Bonds purchased pursuant to the Tender Offer (the "Tendered Bonds") to the Trustee for defeasance. The Dealer Manager will make the Tender Offer in accordance with the provisions of the Commitment Letter dated June 13, 1986, as attached hereto as Exhibit "A" (the "Dealer Manager Agreement"). Funds for the payment of the purchase price of the Tendered Bonds will be obtained pursuant to the terms of Commitment No. GW-0153 from American Savings and Loan Association (the "Lender") to the Developer dated June 11, 1986, as attached hereto as " Page 2 Exhibit "B" (the "Financing Commitment"). If the Tender Offer is completed as described hereinbelow, all funds advanced will be secured by the documents described in Section 7 of the Financing Commitment (the "Junior Lien"). At this time it is not possible to know how many Bond Holders will accept the Tender Offer. There are three possible scenarios. First, Section 11(0)(4) of the Financing Commitment provides that if the Developer is successful in convincing all of the Bond Holders to accept the Tender Offer, the Developer will turn over all of the Tendered Bonds to the Trustee for defeasance, and the Trustee and the City will reconvey the entire Project to the Lender pursuant to Section 3.08 of the Loan Agreement and Section A.16 of the Deed of Trust. Second, if less than $2,400,000 of the Bonds are tendered for purchase pursuant to the Tender Offer, the provisions of Section 1l(0)(5)(a) of the Financing Commitment will be in effect, and the Financing Commitment will lapse. No Junior Lien will be placed on the Project and there will be no release of Project. Third, if less than $6,000,000 but more than $2,400,000 of the Bonds are tendered for purchase (the "Tendered Amount"), the provisions of Section 1l(0)(5)(b) and Section 11(0)(6) of the Financing Commitment will be in effect. Upon satisfaction of the terms and conditions of Section 3.08 by the Developer the remaining amount of the Financing Commitment (the "Remaining Amount") shall be "held-back" pursuant to the terms of a loan agreement as described in Section U(O)(6)(a) of the Financing Commitment. The Developer will then request that the City elect to redeem the rest of the Outstanding Bonds pursuant to Sections 3.3 and 3.8 of the Trust Indenture with the redemption price of said Bonds to be paid by the amounts "held-back." The Redemption Date will be April 1, 1989, the first date on which the Bonds may be redeemed. Thank you for your time and cooperation. questions, please do not hesitate to contact Russ E. Consultants Corporation, 25201 Paseo de Alisa, Suite California 92653, or by calling (714) 768-8011. If you have any Hat1e at Community 120, Laguna Hills, RIVERVIEW INDUSTRIAL BUILDINGS, a California general partnership By: Riverview Properties, Ltd., a California limited partnership General Partner of Riverview Industrial Buildings By: Community Consultants Corporation, a California corporation General Partner of Riverview Properties, Ltd. By: /s/ Russ E. Hat1e, Its President