1818 PACIFIC AVE BASE FILE 2018-01-01 MF Import

with what we believe aze the needs in the City to prepaze and provide sufficient facilities for the ' City's aging population. We believe that Bethany, as a non-profit, tax�xempt organiraaon, whose focus is on community benefit, is the type of low income housing provider to which state public policy gives a preference• Enclosed is a copy of RCW 35.82.070 relating to the power of public hoasing authorities (such as the Everett Ho�sing Authority), which provides in Section (lg) that low income housing pro,jects developc� by govemmental enflties or non-profit organi7ations may set aside the low income housing for persons whose income do not wccad �of the area median income. We recognize that you are very familiar with Bethany and its strong reputation as a longstanding provider of quality services in Everett with a strong community benefit focus. We believe Bethany can be the sort of�rivate secwr "paztner" the City desires for projxts uf this i nature. �� ih* •�all result in n�blic imnrovements for �tv re�ident�. In addi6on to upgrading the City's sewer system at a projected addifional cost to Bethany in excess of E80,000, Bethany as the developer will be required to improve sidewalks, curbs and gutters and otha possible public improvemenu for the general benefit of Everett citizens. 3. pr000sed Loan Terms. The request is for a loan on the following terms: a. Principal Amount . 5375,000 b. Payment Term: 10 years with egual principai payments in each of the 10 yeazs plus incecest:accrued thereon c. Drawing Schedula 10096 lump sum at wmmencement of loan d. Interesr. U.S. Treasury rate corresponding to the repayment date plus 500 basis points (Sx calculations based upon July 3, 1995 Wall St. 7ournal quotadons, attached) e. Security: Sa Secaon 4 below 4. �11IIt�C. Bethany proposes co give the City an addidonal mortgage licn against the Bethany Apartments lacaced in the 3200 block on Lombazd Avenue, in which the City presently holds -- a similar s�curity interest for the ouutanding balancz of the 1989 loan. - 3 - �,, ,., . _ .