HomeMy WebLinkAbout04-24-2017 Council Work Session PacketCity Council Work Session
Monday, April 24, 2017
Council Chambers 5:00 p.m.
AGENDA
1. Consider future sale of HRA owned land
2. Discussion on City Administrator Candidates (Sharon Klump)
Annual:
• Budget: Part of June, All of July, August and October.
• City Administrator & Police Chief Update (3 times per year for 15 minutes)
Additional topics:
• Variance Training
Previous Work Session Topics
March 22, 2017
• CSAH 112 Phase 2 Update from Hennepin County
• Orono Road Planning and Funding
• Explanation of Council Memo Format — Planning Items
• Consent Agenda
• Minnetonka Beach Police Services Agreement Discussion
February 27, 2017
• Park Commission -Council Annual Joint Session
• 2017 Summary Priorities
• Park Commission Oversite of Parks
o Big Island
o Golf Course
• Park Commission Applicant Interviews
February 13, 2017
• Interviews for Council Vacancy
• Code Enforcement
CITY OF ORONO MEMORANDUM
DATE:
April 24, 2017
TO:
Orono City Council
FROM:
Jeremy Barnhart, Community Development Director
RE:
HRA Ground Lease
1. Purpose. The purpose of this work session item is gain an understanding of the Council's
appetite to consider a proposal from a potential buyer that would involve the sale of the Orono
Woods property. The proposal has not yet been developed.
2. Background. The City of Orono's HRA owns and leases the land under Orono Woods
Senior Apartments to the owner of the building, Orono Senior Housing, LLC. Orono Woods
Senior Apartments are at the northwest corner of Brown Road and Wayzata Boulevard. When
built in 2001, the Council wanted to ensure that Orono Woods would remain a senior housing
apartment building, and retained ownership of the land for that purpose. In 2006, the minimum
age was lowered from 62 and above to 59 and above via an amendment to the lease.
The lease is 99 years, expiring December 2100, and rent is $1.00 per year. The tenant may
purchase the property at the conclusion of the lease for $1.00. The tenant may not assign its'
interest in the lease without consent of the City.
This project was financed in part via Tax Increment Financing (TIF) funds. The TIF district
expires February, 2024. The development agreement stipulates that if the building remained as
housing for residents 62 and over the park dedication and utility connection fees of $202,038
would be forgiven.
Orono Senior Housing is considering selling the building; the financing for prospective buyers
relies on owning the land. The proposed buyer is a for-profit metro wide operator of senior
housing communities, recently purchasing a building from the City of Blaine. The buyer plans
to operate the building as a senior housing apartment building, in effect remain generally
consistent with the parameters of the already established agreements, though own the land.
3. Issue. The Buyer seeks support on two questions.
1. Assuming no changes to the lease, would the Council object to the Tenant assigning the
land lease to the buyer?
2. Assuming an agreement can be written to the satisfaction of the City, would the Council
consider reviewing a proposal from the buyer that allows for the sale of the land? The agreement
would include discussion of the following city goals:
a. Mechanism to ensure the building will remain senior housing
b. Amendment to allow for a for-profit operator
c. Tax Increment Financing impacts, if any.
d. Any additional concerns noted by the Council.
The city would require an escrow deposit of $5,000 to guarantee payment of legal and financial
consultant bills necessary to negotiate an agreement.
Attachments
Buyer information
Lease agreement. (unsigned final draft)
LaNel Financial/Lang-Nelson Associates
Senior Housing Summary
Nel
:UAL GROUP
LaNel Financial/Lang-Nelson Associates
All of the LaNel communities are located within the greater Minneapolis/St. Paul
area and represent well constructed, fully developed properties in strategic,
established neighborhoods.
Lang Nelson Associates is one of the largest and most experienced providers of
housing in the Twin Cities area. Currently, LaNel owns and operates market rate
apartments, senior apartments and senior living and assisted living communities
within the Metropolitan Minneapolis marketplace representing roughly 1,500 units.
LaNel has been at the forefront of Minnesota seniors housing management since
1990 and has over 45 years of multifamily property management experience. Lang -
Nelson is regarded as a leader in Minneapolis residential property management and
is well versed in acquisition, development and disposition.
Lang -Nelson has implemented its mission statement at each of its communities: 'Our
mission is to go above and beyond our customer's expectations by providing quality
living environments that enhance their lives physically, socially and spiritually.
MADAC'S
Our residents live with one of the most awarded providers of Rental Housing in
Minnesota!
With 45 years of experience in providing the finest in apartment home living, Lang
Nelson takes its tradition of excellence to the MADACS awards competition every
year. The results are impressive!
Lang Nelson offers a wide variety of choices in award-winning housing. Options vary
through an array of locations, amenities, conveniences and services. At a Lang Nelson
Community you will find exciting and comfortable lifestyles designed to cater to the
residents' needs and interests.
Lang Nelson's exceptional choices for housing lifestyles are complimented by an
outstanding list of amenities and services. Together, they comprise our Umbrella of
Services. Examples of our services and amenities include: scheduled transportation,
planned social activities and events, chapel & non -denominational church services,
24-hour maintenance, fee wellness clinics, beauty/barber salon, fine dining, weekly
housekeeping, arts & crafts, blood pressure clinics & pet therapy.
Meals at our Lang -Nelson communities are special. Come for the Food ... Stay for the
Friendship.
Taste the nutritious and delicious food. Feel the warmth of gracious hospitality.
That's the Ida Marie experience. Lang -Nelson's Ida Marie Restaurants bring you the
wonderful tradition of tasty food and cheerful cordiality created by Ida and Marie.
We're proud to continue their legacy.
Whether it's warm banana bread to start off your morning ... a bowl of homemade
wild rice soup for lunch, fresh-baked ginger snap cookies at mid-day to keep you
going or a pot roast dinner followed by scrumptious strawberry shortcake for
dessert; the Ida Marie Restaurant can satisfy your wishes throughout the day! You'll
find an atmosphere where friendship and congeniality Flourish!
In addition to great food, cordial surroundings and expert nutritional services, the
Ida Marie Restaurants offer catering services and planning for special events. Large
or small, your birthday, anniversary or other party will be a huge success with help
from the Ida Marie staff. The Ida Marie Restaurants, which are located in our
Assisted Living communities, can cater special events on the premises and, in select
restaurants, at other locations.
The legacy created by Ida and Marie focuses on good food and friendship. We are
enhancing this legacy in our Ida Marie Restaurants, and our goal is to provide our
guests with delicious food that is nutritious, too. Our chefs understand the
importance people place on healthy food as well as the beneficial effects a healthy
diet has on life and longevity. Serving tasty food that is nutritious is the best way we
can show our guests that we really care about them
The Ida and Marie tradition of friendship and pleasant surroundings is equally
important to us. At Ida Marie we are fostering an atmosphere of friendship and
cordiality not only for the immediate dining experience, but also because of the well-
recognized value of social interaction among seniors. Simply stated, people who are
socially active live longer!
These goals shape everything we do at the Ida Marie Restaurant: good food, good
friendship, good feeling... where body and soul are nourished.
It's all at Ida Marie. just for you!
Ever get tired of driving? Maybe even decided not to drive anymore? Getting around
these days can be difficult without a car, but not at a Lang -Nelson community?
We offer professional transportation services to all Lang -Nelson residents. That's
right. Door-to-door transportation to shopping, church, medical appointments, social
events and any other special destinations you wish to travel to.
Expertly coordinated and staffed with professional drivers, Lang -Nelson
Transportation enables residents to get around easily and on time. Our service
includes personalized concierge van service as well as specially and regularly
scheduled bus service.
In addition to special events, our fleet of busses makes regular trips to Target, Cub,
Wal-Mart, Churches and afternoon drives to scenic areas. Those are just a few.
Enjoying a complementary ride to your destination is yet another outstanding
advantage under Lang -Nelson's Umbrella of Services. We put real meaning into
"Leave the driving to us."
' r ^;G . - — � F L7 �1L�7L11.,7.� ii C��U �J �1Y L7�� G� �.•�M a ,
-Blaine Courts
COMMUNITY NEWSLETTER MARCIAL 2.01 7
and minds healthy.
WELLNESS AT BLAINE COURTS
Blaine Courts is having a lot of fun with our new
exercise programs, Simple Stretch and Move to the
Music! In addition, Brain Fitness has also been a great
success! These programs are hereto help with agility,
strength, hand & eye coordination, concentration,
focus, and mental
stimulation. It is '
our hope that all
these activities will
keep our bodies
Please come and check them out!
AARP Tax -Aide Coming to Blaine
Courts!
AARP Foundation Tax -Aide offers free tax
preparation. This program has helped nearly
50 million low- to moderate -income taxpayers
since 1968. AARP Foundation Tax -Aide has
more than 5,000 locations in neighborhood
libraries, malls, banks, community centers
and senior centers. There's no fee and no sales
pitch for other services and AARP membership
is not required.
Dates that AARP will be at Blaine Courts:
Thursday, March 2nd
A -F, and Thursday, March
9th
Tax -Aide'- Sign up NOW in the
Activity Book!
NEW! COFFEE WITH A COP PROGRAM
Periodically, we will be having police officers,
fire fighters, EMT's, etc. come and participate
in the "Coffee with a Cop" program. This is an
opportunity for residents to sit down with an
officer and ask questions or talk over a cup of coffee
in the community room. There is no agenda, just
conversation. Our first "Coffee with a Cop" meeting
is on Thursday, March 2nd! Come and join us!
MONTHLY HEALTH AWARENESS CLINIC +
Our monthly Health Awareness Clinic and Blood Pressure Check will be on Thursday, rw
March 16th at 10:30 a.m. Sign up now to get your Blood Pressure checked!
Lang Nelson Mission Statement. "To go above and beyond our resident's expectations.
We are dedicated to providing quality living environments that enhance our
resident's lives physically, socially, and spiritually."
Blaine Campus Manager - Amanda
No matter how long the winter, spring is sure to
follow.
i when we shake off our winter layers and
Springs y
treat ourselves to some vitamin D. Soon the flowers a -
will start to blossom, the trees will start showing
off their buds and the crisp air will turn into warm
breezes. I trust spring will invigorate us all to continue with our
wellness programs as we move some of the wellness programs
outside! Move to the music and simple stretch sessions may move
outside as the sun warms up the earth! Watch your calendars
for location alerts on our wellness programs! Keep moving! Stay
positive! Have fun!
Amanda
NEW! BAG -IT LUNCH
We are starting a new PIP V, J,
program at lunchtime in nllt, 1 3�1.
the community room. Note: - -
Vii
you need to bring your own'
lunch with you. Instead ofy. _ I�
eating in your apartment,
come to the Community - —
Room with your lunch and let's eat together! We'will be having
a Bag -It Lunch on Monday, March 6th and Thursday, March
23rd. Come join us!
CHAPLAIN CORNER
Our Words
The teacher had a tube of toothpaste on her table.
She asked a student to come and help her by
" squeezing all the toothpaste out of the tube. That
sounded okay, the student agreed to do that. Then the teacher
gave the next instruction: "Now put all the toothpaste back in the
tube!"
"That's not possible!"the student incredulously replied.
"You're right," said the teacher. "And that is true of our words also.
Once we speak them we cannot take them back.'
When I have caught myself saying something unkind that later
caused regret, I have said a prayer asking God to show me the
reason behind my saying those words. He can help us understand
the heart of what's bothering us and then change is possible.
Remember, words can injure or they can encourage.
Continuing our Bible Study on "Revealing the Mysteries of
Heaven" DVD and discussion.
Pastor Sherree Lane
RESIDENT SPOTLIGHT
Meet Bob! Bob was born in Minneapolis and A =
lived there until his family moved to Fairbanks = '
Alaska. After his father retired, the family
moved back to Minnesota and Bob attended a
vocational school for auto mechanics. He then
joined the Navy. Bob worked in electronics
throughout his life and enjoyed the work. He met his wife, Caryl,
while at work and the couple married and had three daughters,
Tammy, Teresa, and Kelly, all of whom live in Minnesota. The
couple was married for 50 years! After retirement, he worked at a
local college teaching gunsmithing.
Bob enjoys collecting coins, guns, hunting, fishing, skeet shooting,
wood working, drawing, and is an avid reader.
Stop by and say hello to Bob!
CLOVERLEAF COURTS CHOIR SPRING CONCERT
We are blessed to have very talented residents. A Blaine Courts
resident and some Cloverleaf Courts residents formed a choir led
by our In-house Chaplain, Pastor Sherree. The majority of the choir
lives at Cloverleaf Courts and they practice at Cloverleaf Courts, so
they are called the Cloverleaf Choir. However, they would welcome
more residents from Blaine Courts. If you are interested in joining
the choir, please see Pastor Sherree or Pam.
The choir will be performing spring selections at the Spring Concert
on Thursday, March 23rd at 4:00 p.m. in the Cloverleaf Courts
Community Room. All are invited to attend!
Trent's Tool Box:
Maintenance tips:
1) Every household should have their own toilet plunger.
2) Never put aluminum or metal inside your microwave.
3) Bleach tabs inside the toilet tank will help keep your tank fresh.
4) Leaving your thermostat at a comfortable /4=b�
temperature is best. Drastic adjustment of your
thermostat, up or down, is not recommended.
Our after-hours Emergency Maintenance number
is: 612-325-2780
ACTIVITIES AT A GLANCE
March 1 — Book Club7T= ; 4'' J
-�
March 2 — AARP Tax Preparation Assistance
March 2 — Activities Meeting — help us plan
F.�
new and fun activities!
March 2 — Coffee with a Cop
March 3 — NEW! King's in the Corner— new activity —come play
with us!
March 4 — Shopping Outing to Walmart
March 6 — NEW! Bag -It Lunch — Bring your lunch to the
Community Room and eat with us!
March 8 — Resident Meeting — come see what is new at Blaine
Courts!
March 9 — AARP Tax Preparation Assistance
March 10 — NEW! Dominoes — come play with us!
March 13 — NEW! Gardeneers —help plan out what our Blaine
Courts Gardens will look like!
March 14 — Social Hour
March 15 — $5 Meal
March 15 — Mystic Lake Casino Outing
March 16 — Blood Pressure Clinic
March 17 — Lunch Outing to RJ Riches
March 17 — Kings in a Corner
March 18 — Shopping Outing to Hy -Vee
March 21— Favorite Recipe Club
March 23 — Bag -It Lunch
March 24 — Dominoes
March 28 — Wellness Lunch — come enjoy a light salad lunch.
Free to participants of 5 wellness activities, small
fee for anyone else.
March 28 — Brain Fitness —enjoy fun games that 'exercise' your
brain!
March 29 — NEW! "Guess Who?" — Celebrity -Edition —match
names to faces of classic movie stars from the 30's,
40's, 50's and 60's!
March 30 — Birthday Party — all residents are welcome to attend!
March 31— Kings in a Corner
Welcome Delores! Please introduce yourself
to your new neighbors! Please join us at our
activities and gatherings! Invite your friends,
family, co-workers, to any of the scheduled in-
house activities. Blaine Courts welcomes you H° SlNeffHoo
and all of your friends to our warm community!
Pam's Corner
Hello March! One of the things I love about March
is that it means spring is right around the corner!
I am noticing that extra three minutes of daylight r t
every day and it sure adds up in a week. Even
though March can be a snowy month I feel that ,^ + ,`�•.
winter is losing its grip. I love looking through the seed catalogs
that come to my home and imagine digging in the dirt with the
end result of a beautiful vegetable garden and flower bed. We all
know they never look as good in real life as they do in the catalog
pictures but it's still fun to dream! Come and dream with me as we
reminisce, imagine and plan what beautiful plants we can add to
the gardens at Blaine Courts! Our first Gardeneers Club will be
on Monday, March 13th! I can almost smell the flowers!
MONTHLY BIRTHDAY PARTY
,� v
Join us on Thursday, March 30th
J�. joy, in the Community Room to celebrate
those residents who have birthdays
this month!
Carol W. Patt G. Bob L.
Jerry S. Pat R.
Our Continuum of Care Program continues to evolve!
Your wellbeing is important to us and we are committed to
keeping you healthy and safe in your home giving you the
highest quality of life possible.
Our continuum of care program is growing and we thank
you for your trust. As you know, the program provides i.
you support options in your current home or it helps guide - - -
you if you are looking for a community with more services available. Last
year, we proudly helped over 40 residents within the Lang Nelson family
receive additional in home support. We have also helped transition over 15
residents to communities with additional health care and meal services. Our
Continuum of care nurse is available to meet with you and your family, at your
convenience, to discuss
"I had concerns regarding any health related changes
my Insurance changing you may be experiencing.
from state to state; and We specialize in meal,
knew 1 would need a knee homemaking and house-
- replacement. Within a day keeping support. Our
_ - or two, I had a Therapy
Team working with me to partners also provide in -
strengthen me prior to surgery; l cannot say home care services that
� enough good words about the care I received include nursing, home
health support, therapies
through Lang Nelson's Continuum of Care and medication and pain
program. Thank you!" Dennis management.
For information regarding this great service available only to Lang Nelson residents,
Please see your community manager or email Info@lanel.com.
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COMMUNITY NEWSLETTER MARCH 2017
Good day Calibre Chase residents, family and friends! I want to wish everyone a Happy
St. Patrick's Day and a happy spring! Looks like winter may be behind us and spring
i. showers will soon arrive to wash away all of the remaining snow, salt and sand from
this past winter. I may be getting a bit ahead of myself as I'm sure there's plenty of
winter left. Having said that please use caution when walking outdoors as this is the
time of year when we experience re -freeze. Our caretaking and maintenance teams do a
wonderful job of keeping the grounds safe for you and your guests. However, there are
those spots that may re -freeze overnight. Also, feel free to utilize our transportation whenever possible...
It's the safest way to get around town.
Just a quick reminder: Daylight Saving Time begins March 12th so remember to "spring" ahead one hour!
Thank you for making Calibre Chase your home — You are appreciated!
riUPY ST. PATRICX'S DAY C,ACi-BARE CHASE!
Sherri Peppi, Community Manager
We appreciate you!
Calibre's very own Dancing Queens! Treasured Friends Kiss Cam!
Love Birds Happy Birthday, Jo!
Mission Statement:
Our mission is to go above and beyond our residents' expectations. We are
dedicated to providing living environments that enhance our
residents'lives physically, socially, and
spiritually. a�
RESIDENT SPOTLIGHT
Cliff Leider has been a resident
here at the Calibre Chase since
2010. Cliff worked for John
Deere for over 30 years. When
he started with them he was
responsible for taking care of
the grounds at the state fair
building. He gradually worked
his way up to District Sales. After 30 1/z years he retired. If you ever
visit his apartment you can tell that the green and yellow colors
are near and Deere to his heart.
Cliff loves spending time with his 2 children Duane and Pam,
there spouses, and 3 granddaughters. If you ask Cliff what he
loves about living at the Calibre Chase he states the closeness to
shopping, location and how friendly and personable the people
are here.
Thank you for sharing a part of your journey with us, Cliff and
being a Calibre Chase resident — We appreciate you!
DID YOU KNOW:
Every month Quality Foot Care is on site to provide specialized
foot care / pedicures in the privacy of your own home — Sign up
1 is in the lobby / Cost is $33.00
MAINTENANCE CORNER:
Maintaining Apartment Safety
• Do not allow people to tailgate / piggyback
you when entering the building. Know who
you are letting in your community.
• Always keep your apartment door locked.
We ask you to check your door whenever
you leave your apartment.
• Do not prop, unlock, or leave open any exterior building door.
This jeopardizes the safety of all members of the apartment
community.
• Immediately report any missing keys to the office. We reserve
the right to change locks and bill residents if keys are lost or
misused. Do not loan your key to anyone.
• No person shall duplicate keys to the building's exterior doors.
This is the key that has "DO NOT DUPLICATE" stamped on it.
• When someone calls from the intercom make sure it is your
guest you are letting in. If you do not know the person please
don't buzz them in.
• If you encounter an unauthorized person in the building, contact
a staff member or Public Safety immediately.
• Remember, Calibre chase is a controlled access building and
is as secure as you make it. Do not allow anyone access to the
building or garage unless they are here to see you! If someone is
in the vestibule while you are entering or leaving, and they are
not a fellow resident, they will have to wait and use the entry
system to contact the person they are here to see. Please be
diligent in your personal safety. Thank you for your continued
cooperation!
Thank you for your continued co-operation!
Dan Stevens, Maintenance Lead
Emergency Maintenance Number: 612-812-1001
Sharon B 6th
Ernie G
7th
Denise J
13th
Phyllis J
13th
Louise B
14th
Darlien J 20th
Gene J
27th
Jim P
27th
Mary Lou W
27th
Ellen A
28th
MARCH AT A GLANCE
3/2 Give Away Table @ 10:00 /Community Room
3/8 Resident Meeting @ 2:30
3/8 & 3/22 Schwan's / Community Room
3/12 Daylight Saving Time Begins—Spring Ahead one
hour!
3/13 & 3/20 Mystic Lake — Bus Departs @ 9:00
3/14 BP Clinic @ 9:30 / Community Room
3/15
Resident Birthday Celebration @ 2:30
3/15
Continuum of Care Presentation @ 3:00 /
Community Room
3/16
Bible Study @ 11:00 / Community Room
3/16
Lunch Out at Pub 42 — Bus Departs @ 11:00
3/16
Travel & Adventure — Bus Departs @ 2:30
3/17
St. Patrick's Day Happy Hour @ 4:00
TUESDAYS — Grocery Runs - Bus departs @ 1:00
TUESDAYS — Crazy Crafters — / Community Room @ 7pm
WEDNESDAYS — Poker @ 1:00 / Library
MONDAYS & THURSDAYS — Adult Coloring @ 1:30 / Library
FRIDAYS — Wii Bowling @ 10:00 / Community Room
SATURDAYS — Dominoes @ 12:00 / Library
March 12th
Ill
. v O� .
7
Time to
Spring Ahead
GET A $300 RENT CREDIT
1 Sharing The Experience with someone important to you.
It is that easy and it earns you a $300 rent credit, upon
their move in! We appreciate you telling everyone you
know about the Calibre Chase community. Please invite
them to come for a cup of coffee or join us in an activity.
Our Community Room is also available for company
meetings, book clubs, social activities, etc. It's your
home, show it off!
Good Samaritan
Blood Pressure and Education
TUESDAY MARCH 14th @ 9:30am
Community Room
—SPIRITUAL OFFERINGS—
March 16th @ 11:00 am - Bible study with Pastor
Dave in the Community Room (NOTE NEW
LOCATION)
St. Raphael's Church — CONI E,t„N0U9
Bus departs every Saturday @
5:00pm B_E
First Lutheran Church —
Bus departs every Sunday @ t y
8:50am
Our Continuum of Care Program continues to evolvei
Your wellbeing is important to us and we are committed to
keeping you healthy and safe in your home giving you the
highest quality of life possible.
Our continuum of care program is growing and we thank
you for your trust. As you know, the program provides N
you support options in your current home or it helps guide
you if you are looking for a community with more services available. Last
year, we proudly helped over 40 residents within the Lang Nelson family
receive additional in home support. We have also helped transition over 15
residents to communities with additional health care and meal services. Our
Continuum of care nurse is available to meet with you and your family, at your
convenience, to discuss
"I had concerns regarding any health related changes
my Insurance changing you may be experiencing.
from state to state; and We specialize in meal,
knew I would need a knee homemaking and house -
replacement. Within a day keeping support. Our
or two, I had a Therapy partners also provide in -
Team working with me to home care services that
strengthen me prior to surgery, I cannotsay include nursing, home
enough good words about the care I received health support, therapies
through Lang Nelson's Continuum of Care and medication and pain
program. Thankyou!" Dennis management.
For information regarding this great service available only to Lang Nelson residents,
Please see your community manager or email Info@lanel.com.
5
CALIBRE CHASE
O F C R Y S T A L
Sun
8:50 First Lutheran
2 O'clock Coffee
�Liu�eSmoke Free C 1L.I S j E CHASE QF C ��,,YSTAL MA ,�r�.0 til 2 017
Office: 763-533-1012 After Hours Maintenance: 612-812-1001 Alarm Deactivation: 1-888-872-3640
.Lon
D1r3_r r%AVC
Sharon 1:3 lith
Ernie G 7th
Denise J 13th
Phyllis J 13th
Louise B 14th
6 8:30 Kaffee Klatch
10:15 TOPS
1:30 Adult Coloring
2 O'clock Coffee
6:45 "500"
12 DAYLIGHT SAVING TIME 13 8:30 Kaffee Klatch
BEGINS 9:00 Mystic Lake
10:15 TOPS
8:50 First Lutheran 1:30 Adult Coloring
2 O'clock Coffee
2 O'clock Coffee 6:45 "500" MYs+<LAKE
19 20 8:30 Kaffee Klatch
8:50 First Lutheran 9:00 Mystic Lake
2 O'clock Coffee 10:15 TOPS
1:30 Adult Coloring
2 O'clock Coffee
6:45 "500"
MYW, LAKE
26 27
8:50 First Lutheran 8:30 Kaffee Klatch
2 O'clock Coffee 10:15 TOPS
1:30 Adult Coloring
2 O'clock Coffee
6:45 "500"
7ue
Wed
Darlien J 20th
1 8:30 Kaffee Klatch
Gene J 27th
1:00 Poker
Jim P 27th
2 O'clock Coffee
Mary Lou 27th
7:00 "31"
Ellen A 28th
7:00 Cribbage
7
8:30 Kaffee Klatch
1:00 Cub Foods / Wal-Mart
2 O'clock Coffee
7:00 Crazy Crafters
14 8:30 Kaffee Klatch
9:30 BP Clinic
1:00 Errand Bus / Aldi's
2 O'clock Coffee
7:00 Card Bingo
21
8:30 Kaffee Klatch
1:00 Cub Food / Target
2 O'clock Coffee
7:00 Crazy Crafters
28
8:30 Kaffee Klatch
1:00 HyVee / Almsted's
2 O'clock Coffee
7:00 Crazy Crafters
8 8:30 Kaffee Klatch
1:00 Poker
2:30 Resident Mtg
3:15 SCHWAN'S
7:00 "31"
7:00 Cribbage
15 2:30 B'Day Celebration
3:00 Continuum of Care Pres-
entation
7:00 "31 " ,gyp
7:00 Cribbage C
22 8:30 Kaffee Klatch
1:00 Poker
2 O'clock Coffee
3:15 SCHWAN'S
7:00 "31"
7:00 Cribbage
29
8:30 Kaffee Klatch
1:00 Poker
2 O'clock Coffee
7:00 "31 "
7:00 Cribbage
Thu
2 8:30 Kaffee Klatch 3
10:00 GIVE AWAY TABLE
1:30 Adult Coloring
2 O'clock Coffee
7:00 POKENO
9 8:30 Kaffee Klatch
1:30 Adult Coloring
2 O'clock Coffee
6:30 Game Night
16 11:00 BIBLE STUDY
11:00 Lunch Out / Pub 42
1:30 Adult Coloring
2:30 Travel & Adventure / Osseo
High School
7:00 POKENO
23
30
8:30 Kaffee Klatch
1:30 Adult Coloring
2 O'clock Coffee
6:30 Game Night
8:30 Kaffee Klatch
1:30 Adult Coloring
2 O'clock Coffee
6:30 Game Night
8:30 Kaffee Klatch
10:00 Wii Bowling
2:00 O'clock Coffee
4:00 Happy Hour
10 8:30 Kaffee Klatch
10:00 Wii Bowling
1:00 Movie Matinee
3 O'clock Coffee
17
8:30 Kaffee Klatch
10:00 Wii Bowling
4:00 St. Patrick's Day
Happy Hour
24
8:30 Kaffee Klatch
10:00 Wii Bowling
12:00 Quality Foot Care
1:00 Movie Matinee
3 O'clock Coffee
31
8:30 Kaffee Klatch
10:00 Wii Bowling
2 O'clock Coffee
4:00 Happy Hour
Sat
4
8:30 Kaffee Klatch
12:00 Dominos
2 O'clock Coffee
5:00 St. Raphael Church
11
8:30 Kaffee Klatch
12:00 Dominos
2 O'clock Coffee
5:00 St. Raphael Church
18
8:30 Kaffee Klatch
12:00 Dominos
2 O'clock Coffee
5:00 St. Raphael Church
25
8:30 Kaffee Klatch
12:00 Dominos
2 O'clock Coffee
5:00 St. Raphael Church
EXHIBIT B
GROUND LEASE
between
ORONO HOUSING AND REDEVELOPMENT AUTHORITY,
as Landlord
and
ORONO SENIOR HOUSING, LLC,
as Tenant
Dated as of .2001
TABLE OF CONTENTS
ARTICLE 1 DEFINITIONS........................................................... 1
1.1 Definitions................................................................... 1
1.2 Exhibits...................................................................... 2
ARTICLE 2 - LEASE AND TERM ...................................................... 3
2.1 Grant........................................................................ 3
2.2 Covenants.................................................................... 3
2.3 OuietEniovment.............................................................. 3
2.4 Term........................................................................ 3
2.5 Purchase of Development Property ................................................ 3
2.6 Title to Improvements.......................................................... 4
ARTICLE 3-RENT.................................................................. 4
3.1 Rent........................................................................ 4
3.2 Net Lease.................................................................... 4
3.3 Manner of Payment............................................................ 4
ARTICLE 4 - TENANT'S COVENANTS ................................................ 4
4.1 Tenant's Equipment............................................................ 4
4.2 Maintenance.................................................................. 5
4.3 Repairs ...................................................................... 5
4.4 Nondiscrimination; Restrictions on Use . ........................................... 5
ARTICLE5-FINANCING............................................................ 5
5.1 Mortgages.................................................................... 5
5.2 Notice....................................................................... 5
5.3 Performance.................................................................. 6
6.4 New Lease................................................................... 6
5.5 Further Assurances............................................................. 7
5.6 Termination of Lease........................................................... 7
ARTICLE 6 - ASSIGNMENT AND SUBLETTING ......................................... 8
6.1 Assignments.................................................................. 8
6.2 Subleases.................................................................... 8
6.3 Other Agreements.............................................................. 8
-i-
ARTICLE 8 - NOTICES AND ESTOPPELS .............................................. 9
8.1 Notices...................................................................... 9
8.2 Estoppels .................................................................... 9
ARTICLE 9-DEFAULT.............................................................
10
9.1 Events of Default.............................................................
10
9.2 Termination.................................................................
10
9.3 Payment ...................................................................
11
9.4 Iniunctive Relief..............................................................
11
9.5 Forbearance.................................................................
11
9.6 Costs.......................................................................
12
9.7 Waiver of Default.............................................................
12
9.8 Tenant's Liability............................................................
12
ARTICLE 10 -MISCELLANEOUS ....................................................
12
10.1 Relationship................................................................
12
10.2 Number and Gender..........................................................
12
10.3 Ca tions...................................................................
12
10.4 Time......................................................................
12
10.5 Construction................................................................
12
11.6 Law.......................................................................
13
10.7 Binding....................................................................
13
10.8 Short Form.................................................................
13
10.9 Severabilitv.................................................................
13
10.10 Counterparts ................................................................
13
10.11 Interest Rate................................................................
13
EXHIBIT A Legal Description of the Development Property ............................... A-1
EXHIBIT B Permitted Encumbrances ................................................. B-1
THIS GROUND LEASE, made on or as of the _ day of November, 2001, by and
between ORONO HOUSING AND REDEVELOPMENT AUTHORITY, a public body
corporate and politic and a governmental subdivision under Minnesota law, and ORONO
SENIORHOUSING, LLC ("ORONO SENIORHOUSING, LLC'), aMinnesota limited liability
company.
The Authority and Orono Senior Housing, LLC, in consideration of the covenants herein
contained, hereby agree as follows:
ARTICLE 1
DEFINITIONS
1.1 Definitions. In this Lease:
"City" means the City of Orono, Minnesota.
"Commencement Date" means that date upon which all of the parties hereto
have executed this Lease.
"Development" means the Development Property and the Improvements to be
constructed pursuant to the Development Agreement.
"Development Agreement" means the Development Agreement dated as of
November 2001 between the City, the Landlord and the Tenant.
"Development Property" means the real property that is the subject of the
Development Agreement, which is legally described in Exhibit A.
'Event of Default' means any one or more of the events listed under
Section 10.2 of this Lease.
"Financing Documents" means any of the following documents to be executed
and delivered in connection with the issuance and sale of the Housing Bonds
and the Subordinate Housing Note:
"Holder" means the holder of any Mortgage.
"Improvements" means the 62 -unit senior housing apartment building to be
constructed by Tenant upon and within the Development Property pursuant to
the Development Agreement.
"Landlord" means the Authority, its successors and assigns.
-1-
"Lease" means this lease agreement for the Development Property entered into
pursuant to the Development Agreement.
"Mortgage" means any mortgage or deed of trust on Tenant's interest in this
Lease, the Development Property and the Improvements permitted under
Article 5 of this Lease.
"Permitted Encumbrances" means the matters described in Exhibit C.
"Rent" means any amounts due from Tenant to Landlord under the terms of
this Lease.
"Tenant" means Orono Senior Housing, LLC and its permitted successors and
assigns.
"Tenant's Equipment" means all movable equipment, furniture and other trade
fixtures installed or placed in the Development by or for the account of Tenant
or any occupant of the Development.
"Term" means the period of time set out in Section 2.4 of this Lease.
"Termination Date" means 12100.
"Unrelated Third Party" means an individual or entity that is not (i) an
individual ("Related Individual") who is an owner or officer of Tenant or a
Related Company, (ii) any subsidiary or parent of Tenant (each of which is a
"Related Company"), or (iii) a general partnership, limited partnership or
limited liability partnership ("Related Partnership") in which a Related
Individual or Related Company is a partner, or (iv) a corporation or limited
liability corporation in which a Related Individual, Related Company or
Related Partnership is an owner, shareholder, officer, member or manager.
1.2 Exhibits. The following exhibits are attached to and by this reference
made a part of this Lease:
(1) "Exhibit A" - Legal Description of the Development Property
(2) "Exhibit B" - Permitted Encumbrances
y0a
ARTICLE 2
LEASE AND TERM
2.1 Grant. Upon the terms and conditions of this Lease, Landlord demises and
leases the Development Property to Tenant and Tenant leases and accepts the Development
Property from Landlord subject to the Permitted Encumbrances.
2.2 Covenants. Landlord covenants to observe and perform all of the covenants
and conditions to be observed and performed by Landlord under this Lease. Tenant
covenants to pay the Rent when due under this Lease and to observe and perform all of the
terms and conditions and covenants to be observed and performed by Tenant under this
Lease.
2.3 Quiet Enjoyment. Landlord covenants that Tenant, on paying the Rent, shall
peacefully have, hold and enjoy the Development Property subject to the terms of this Lease,
subject only to the Permitted Encumbrances.
2.4 Term. The term of this Lease commences on the Commencement Date and
expires at 11:59 p.m. on the Termination Date, unless terminated earlier as provided in this
Lease.
2.5 Purchase of Development Property. On the Termination Date, if there is no
uncured Event of Default by Tenant under this Lease at the time of exercise, Tenant may
purchase the Landlord's entire interest in the Development Property on the following
conditions:
(1) Tenant shall give Landlord not less than thirty (30) days prior written
notice exercising its right to purchase the Development Property,
(2) the closing shall take place on a mutually convenient date at the
principal office of Landlord or such other location as the parties agree,
(3) the purchase price for the Landlord's entire interest in the Development
Property shall be One Dollar ($1.00),
(4) at closing, Landlord shall convey fee title in the Development Property
to Tenant by quit claim deed, assignments and other appropriate instruments of
conveyance, such conveyance to be subject only to (i) the Permitted
Encumbrances, (ii) at Landlord's option, a restriction running with the land for
such period as the Landlord may specify to the effect that the Development
may be used only for residential housing purposes available for occupancy by
persons 62 years of age and older, and (iii) any liens and encumbrances created
511
or consented to by Tenant or arising from the failure of Tenant to perform or
observe by its agreements under this Lease,
(5) this Lease shall automatically terminate on closing,
(6) Tenant shall reimburse Landlord for all reasonable out of pocket costs
and expenses incurred by Landlord in connection with the conveyance.
2.6 Title to Improvements. Title to the Improvements hereafter erected or located
on the Development Property by or on behalf of the Tenant shall remain the property of
Tenant, except that if (1) Tenant does not purchase the Development Property pursuant to
Section 2.5 of this Lease, all Improvements located on the Development Property on the
Termination Date shall become the property of Landlord, or (2) Landlord terminates this
Lease pursuant to Section 9.2(1) hereof, then Landlord may repossess the Development, as
provided in said Section 9.2(1).
ARTICLE 3
199aNI
3.1 Rent. Tenant shall pay Rent to Landlord on of each calendar year
until the Termination Date in the amount of $1.
3.2 Net Lease. It is the intention and purpose of Landlord and Tenant that this
Lease shall be a "Net Lease" to Landlord. All costs and expenses of whatever character or
kind, general and special, ordinary and extraordinary, foreseeable or unforeseeable, and of
every kind and nature whatsoever that may be necessary in or about the operation of the
Improvements shall be the responsibility of Tenant.
3.3 Manner of Payment. Rent payable to Landlord shall be paid to Landlord in
immediately available funds of the United States of America at the office of Landlord set out
in Section 9.1 or at such place and to such party as Landlord may from time to time
designate. Except as otherwise provided, Rent that has accrued prior to the expiration or
earlier termination of this Lease shall be absolutely net to Landlord throughout the Term
without offset or deduction. Tenant's obligation to pay Rent that has accrued prior to the
expiration or earlier termination of this Lease shall survive the expiration or earlier
termination of this Lease.
ie
ARTICLE 4
TENANT'S COVENANTS
4.1 Tenant's Equipment. All Tenant's Equipment shall be the property of Tenant,
Tenant's tenants or any lessor of such equipment. Landlord shall have no interest in Tenant's
Equipment. Landlord shall not be responsible for any loss or damage to Tenant's Equipment
except to the extent caused by Landlord's wrongful act or negligence.
4.2 Maintenance. Tenant shall at Tenant's expense maintain the Improvements
and, to the extent imposed by law on adjacent property owners, the adjacent sidewalks and
curbs in good order and condition, ordinary wear excepted, and in compliance with legal
requirements.
4.3 Repairs. Tenant shall make all necessary or appropriate capital and operating
repairs and replacements and renewals to the Improvements, interior and exterior, structural
and non-structural, ordinary and extraordinary, and foreseen and unforeseen sufficient for
proper operation thereof using materials of good quality. The need for or appropriateness of
such repairs, replacements and renewals and the quality of the materials used in
accomplishing the same shall be in accordance with the reasonable standards of prudent
operators of similar facilities.
4.4 Nondiscrimination: Restrictions on Use. Tenant covenants that during the
Term, ff it shall permit the Development to be used only for residential rental housing and
may rent units in the Development only to persons who are 62 years of age or older (the
"Senior Housing Restriction"). In addition; the Developer shall to the extent permitted by
law give preference in the rental of units in the following order of priority: (i)to persons who
are residents or former residents of the City, (ii)persons who have a child who is a resident of
the City -and, (iii) persons who have at any time been full time employees of the City or an
agency or department of the City and (iv) persons who are residents or former residents of the
City of Long Lake (the "Orono Preference Requirement"). The Senior Housing Restriction
shall apply to all units. The Orono Preference Requirement shall apply only if there is a
waiting list for available units. Except for the Senior Housing Restriction and the Orono
Preference Requirement it shall not discriminate upon the basis of race, color, creed, religion,
ancestry, national origin or sex, affectional preference, disability, marital status or status with
regard to public assistance, in the sale, lease, or rental or in the use or occupancy of the
Development Property or any improvements erected or to be erected thereon, or any part
thereof.
POW
,Aa- -5-
ARTICLE 5
FINANCING
5.1 Mortgages. Tenant's interest in this Lease, the Development Property, the
Improvements, or any combination thereof may be encumbered only as provided by the
Financing Documents and the Development Agreement.
5.2 Notice. If any Holder registers with Landlord its name and address in writing
by registered or certified mail, Landlord shall by registered or certified mail, return receipt
requested, addressed as registered with Landlord, give such Holder a copy of any notice or
other communication with respect to any claim that a default exists or is about to exist under
this Lease and a copy of any notice changing Landlord's address. Any notice given to a
Holder shall be deemed duly served when personally delivered to an officer of Holder or
mailed in accordance with Section 8.1 of this Lease.
5.3 Performance. If Tenant fails to make any payment or perform any act required
of Tenant under this Lease, then any Holder may (but shall not be obligated to), to the extent
permitted under its Mortgage, make such payment or perform such act with the same effect as
if made or performed by Tenant. Entry by a Holder upon the Development for such purpose
or partial performance of the Mortgage shall not waive or release Tenant from any obligation
or default under this Lease except for an obligation or default fully performed or cured by
Holder.
5.4 New Lease.
(a) If (i) this Lease is rejected or disaffirmed pursuant to bankruptcy
law or other law affecting creditor's rights, (ii) Holder gives written
request to Landlord not later than thirty (30) days after the effective
date of such rejection or disaffirmance, (iii) Holder pays to Landlord all
of Landlord's expenses (including reasonable attorneys' fees) incidental
thereto, and (iv) Holder pays all Rent accrued as of the date of rejection
or disaffirmance, then Landlord shall execute and deliver a new lease
with Holder or its nominee, purchaser, assignee or transferee, as the
case may be, for the remainder of the Term with the same terms as are
contained herein except for charges and encumbrances caused or
suffered by Tenant.
(b) Any new lease entered into pursuant to this Section 5.4 shall be superior
to all rights, liens and interest intervening between the date of this Lease
and the date of such new lease. Upon the request of the new tenant,
Landlord shall execute and deliver a memorandum of the new lease in
recordable form so that notice of the new lease may be placed of record by
the new tenant.
0
(c) The rights hereunder of Holders shall be exercisable by such Holders in
the order of the priority of lien or other security interest of their
respective Mortgages.
(d) At Tenant's expense, upon written request of Tenant, any Holder, or
any prospective Holder, Landlord shall deliver to them or any of them a
separate written instrument signed and acknowledged by Landlord
setting forth and confirming the provisions of this Section 5.4, and
acknowledging to them or any of them in writing the receipt by
Landlord of any notice or instrument given, sent or delivered to
Landlord pursuant to the provisions of this Section 5.4.
(e) When a new lease is entered into such Holder or (if reasonably
approved by Landlord pursuant to the Development Agreement) its
designee (such holder or designee the "Acquiring Holder," and the
Mortgage of such Acquiring Holder the "Acquiring Holder's Leasehold
Mortgage"), the liens on and estates and other interests in the
Development Property or this Lease of all persons holding directly or
indirectly under or through Tenant (including the Acquiring Holder's
Leasehold Mortgage), other than liens, estates and interests which are
subordinate to the Acquiring Holder's Leasehold Mortgage, shall
immediately and without documentation continue in effect, attach to the
new lease and be reinstated as to each other to the same extent, and in
the same manner, order and priority, as if (i) the new lease were this
Lease, (ii) this Lease had not been terminated, and (iii) the Acquiring
Holder had acquired the leasehold estate under this Lease by
assignment on the date the term of the new lease commences. Each
lien, estate or interest which could have been extinguished by the
foreclosure of the Acquiring Holder's Leasehold Mortgage shall be
deemed to be subordinate to the Acquiring Holder's Leasehold
Mortgage.
(f) Notwithstanding any provision of this Section 5.4 apparently to the
contrary, Landlord shall not be required to provide any notice to any
Holder under this Section 5.4 unless such Holder has provided
Landlord written notice of its existence in accordance with Section 5.2
hereof.
(g) Upon request of a Holder, Landlord will enter into an agreement with
such Holder confirming the provisions of this Section 5.4 for the benefit
of such Holder and acknowledging the Holder's Mortgage and the
assignments made therein.
-7-
5.5 Further Assurances. Landlord agrees to execute such amendments to this
Lease and further agreements as may reasonably be requested by any Holder, provided such
amendments and further agreements do not impose any material obligations or liabilities
upon Landlord, or affect the rights of Landlord hereunder in any material respect.
5.6 Termination of Lease. No cancellation, surrender, abandonment, acceptance
of surrender or modification or amendment of this Lease shall be binding upon any Holder or
affect the lien of any Mortgage if done without the prior written consent of said Holder
(provided (x) that no consent shall be required to a surrender on the Termination Date or
earlier termination hereof, and (y) consents to any modification or amendment to this Lease
shall not be unreasonably withheld or delayed by such Holder).
ARTICLE 6
ASSIGNMENT AND SUBLETTING
6.1 Assiximents. Tenant and its successors and assigns shall not assign or sublet
all or substantially all of Tenant's interest in this Lease or the Development without the prior
written consent of Landlord, except as otherwise provided in (a) the Development
Agreement, (b) Article 5 hereof, or (c) Section 6.2 hereof.
6.2 Subleases.
(a) Tenant may enter into subleases of the housing in the Improvements as
provided in the Development Agreement without the need for Landlord
consent.
(b) Units in the Development may be subleased only for purposes of residential
housing and no unit may be subleased to a person under 62 years of age.
6.3 Other Agreements. Tenant may enter into the Financing Documents and such
other agreements affecting the Development Property as are contemplated by the
Development Agreement.
ARTICLE 7
END OF TERM
7.1 Surrender. Upon termination of this Lease or of Tenant's right of possession
of the Development Property, Tenant shall immediately quit and surrender possession of the
Development to Landlord in its then condition.
9.3
7.2 Vesting. Upon termination of this Lease, if Tenant does not exercise Tenant's
option to purchase under Section 2.5 of this Lease, all right, title and interest of Tenant in the
Development shall automatically vest in Landlord without the necessity of confirmation by
any other document. However, upon the request of Landlord, such vesting shall be
confirmed in separate recordable instruments in form and substance acceptable to Landlord.
7.3 Tenant's Equipment. Any of Tenant's Equipment remaining in the
Development after termination of this Lease or of Tenant's right of possession of the
Development Property shall be deemed conclusively to have been abandoned by Tenant and,
after notice to Tenant and Tenant's failure to respond within twenty (20) business days after
service thereof, may be appropriated, sold, destroyed, or disposed of by Landlord without
further notice or obligation to compensate Tenant or account therefor.
7.4 Acceptance. No modification, termination or surrender of this Lease or
surrender of the Development Property or any part thereof or any interest therein by Tenant
shall be valid or effective unless agreed to and accepted in writing by Landlord and any
Holders, and no act by any representative or agent of Landlord or any Holder other than such
written agreement and acceptance shall constitute acceptance thereof.
7.5 Merger. There shall be no merger of the leasehold estate created by this Lease
with the fee estate in the Development Property by reason of the same party owning or
holding any interest in such leasehold estate and any interest in such fee estate. No merger of
the leasehold estate and fee estate shall occur unless and until all parties (including any
Holder) having any interest in the leasehold estate created by this Lease and the fee estate in
the Development Property shall join in and duly record a written instrument effecting such
merger.
ARTICLE 8
NOTICES AND ESTOPPELS
8.1 Notices. All notices and other communications from Landlord to Tenant or
from Tenant to Landlord under this Lease shall be in writing and shall be deemed duly served
if delivered personally to an officer of the party being served or if mailed by registered or
certified mail, postage prepaid, addressed
if to Landlord:
in
if to Tenant:
or such other address or addresses as Landlord or Tenant shall have designated in writing to
the other. Notices which are mailed shall be deemed to have been given on the date received
as evidenced by the customary registered or certified mail receipt.
8.2 EstoWels. Landlord or Tenant shall at any time and from time to time upon
not less than thirty (30) days prior notice from the other execute, acknowledge and deliver a
written statement certifying
(1) that this Lease is in full force and effect, subject only to such
modification (if any) as may be set out therein,
(2) the dates (if any) to which Rent is paid in advance,
(3) that there are not, to such party's knowledge, any uncured defaults on
the part of the other party, or specifying such defaults if any are claimed, and
(4) such other matters as may be reasonably required by the requesting
ply.
Any such statement may be relied upon by any prospective transferee or encumbrancer of all
or any portion of the Development or any interest therein or any assignee of any such
persons. If any party fails to timely deliver such statement, such party shall be deemed to
have acknowledged that this Lease is in full force and effect, without modification except as
may be represented by the other, and that there are no uncured defaults in the other's
performance.
ARTICLE 9
DEFAULT
9.1 Events of Default. Any one or more of the following events constitutes an
Event of Default:
(1) If Tenant shall have failed to pay when due Rent or any other amount
payable by Tenant pursuant to this Lease within ten (10) days following
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Tenant's receipt of written notice from Landlord stating that such payment was
not made; or
(2) If Tenant shall have failed to perform any of the other covenants, terms,
conditions or provisions of this Lease or any of its obligations under the
Development Agreement within sixty (60) days after Tenant's receipt of
written notice specifying such failure; provided, however, with respect to those
failures which cannot with due diligence be cured within said 60 -day period,
Tenant shall not be deemed to be in default hereunder if Tenant commences to
cure such default within such 60 -day period and thereafter continues the curing
of such default with all due diligence;
9.2 Termination. If an uncured Event of Default exists under this Lease, then
Landlord may, subject to Section 9.5 hereof, exercise one or more of the following remedies
in addition to any other rights and remedies provided at law or in equity:
(1) Landlord may terminate this Lease by written notice to Tenant and may
forthwith repossess the Development and recover as damages the amounts
provided in Section 9.3 hereof, or
(2) Landlord may terminate Tenant's right of possession and repossess the
Development without demand or notice of any kind and without terminating
this Lease, in which event Landlord may (but will not be obligated to) relet all
or any part of the Development or any part thereof for the account of Tenant
for such rent and upon such terms as Landlord deems advisable and may make
any changes, additions, improvements, redecorations and repairs to the
Development as Landlord deems advisable without affecting Tenant's liability
under this Lease.
9.3 Payments. If pursuant to Section 9.2 this Lease is terminated or Landlord
terminates Tenant's right of possession and repossesses the Development, Tenant shall pay to
Landlord on demand the sum of
(1) all unpaid Rent owing at the time of termination or repossession, as the
case may be,
(2) all expenses (together with interest thereon at a rate of twelve percent
(12%) per annum from the date paid by Landlord) incurred by Landlord in
terminating, repossessing and reletting including but not limited to costs of
changes, additions, improvements, redecorations and repairs, brokerage and
legal fees, and the collection of Rent, and
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(3) any deficiency between the Rent, when due in accordance with this
Lease, for the remainder of the Term and the payments, if any, received by
Landlord from any reletting of the Development or portions thereof.
9.4 Injunctive Relief. If an uncured Event of Default exists under this Lease,
Landlord shall have the right, in addition to any remedy available to Landlord under Section
9.2 of this Lease, to institute from time to time an action or actions for injunctive and/or other
equitable relief.
9.5 Forbearance. If there is a Mortgage on Tenant's interest in this Lease or the
Development Property, Landlord will not terminate this Lease or Tenant's right of possession
of the Development Property pursuant to Section 9.2 of this Lease, if Holder or any purchaser
or transferee of Tenant's interest in this Lease or the Development by reason of foreclosure
or other proceedings or by deed or assignment in lieu of such proceedings (or an assignee of
Holder or such purchaser or transferee) shall, within one hundred eighty (180) days after
acquiring Tenant's interest in this Lease or the Development, cure all defaults susceptible of
being cured by such entity (or, if such cure would reasonably require more than one hundred
eighty (180) days and thereafter promptly, effectively and continuously proceed to cure such
default). Nothing in this Section shall affect Landlord's right to enforce any remedy under
this Lease for an Event of Default except, so long as Holder is in the process of curing such
Event of Default or foreclosing its Mortgage under this Section, the right to terminate this
Lease or Tenant's right of possession of the Development.
9.6 Costs. Tenant shall indemnify Landlord against all costs and charges
(including reasonable legal fees) lawfully and reasonably incurred in enforcing payment of
Rent, and in obtaining possession of the Development after an Event of Default of Tenant or
upon expiration or earlier termination of this Lease, or in enforcing any covenant, proviso or
agreement of Tenant contained in this Lease. Landlord shall indemnify Tenant against all
costs and charges (including legal fees) lawfully and reasonably incurred in enforcing any
covenant, proviso or agreement of Landlord contained in this Lease.
9.7 Waiver of Default. No failure or delay by Landlord or Tenant to insist on strict
performance of any term of this Lease or to exercise any right, power, or remedy upon a
breach of this Lease shall constitute a waiver of such term or such breach.
9.8 Tenant's Liability. Notwithstanding anything to the contrary provided in this
Lease, it is specifically understood and agreed, such agreement being a primary consideration
for the execution of this Lease by Tenant, that (i) there shall be absolutely no personal
liability on the part of Tenant, or its officers, directors, members, employees and agents, to
Landlord with respect to any of the terms, covenants and conditions of this Lease, and
(ii) Landlord shall look solely to recovering possession of the Development Property in the
event of any breach by Tenant of any of the terms, covenants and conditions of this Lease to
be performed by Tenant.
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ARTICLE 10
MISCELLANEOUS
10.1 Relationship. Nothing contained in this Lease shall create any relationship
between the parties hereto other than that of lessor and lessee. Landlord and Tenant disclaim
any intention to create ajoint venture, partnership or agency relationship.
10.2 Number and Gender. The words "Landlord" and "Tenant" as used herein
includes the plural as well as the singular. The use of specific gender includes any other
gender as applicable.
10.3 Captions. The captions in this Lease are for convenience only and shall have
no effect on the construction or interpretation of this Lease.
10.4 Time. Time is of the essence of this Lease and each of its provisions.
10.5 Construction. The provisions of this Lease shall be construed as a whole
according to their common meaning, and not strictly for or against Landlord or Tenant.
10.6 Law. This Lease shall be governed by and construed under the laws of
Minnesota.
10.7 Bindine. This Lease is binding upon and inures to the benefit of Landlord and
Tenant and their respective successors and assigns and shall not be for the benefit of any third
parties other than such successors and assigns.
10.8 Short Form. Landlord and Tenant agree upon request of the other to execute a
Short Form of this Lease suitable for recording.
10.9 Severability. If any term of this Lease or application of it to any person or
circumstance is invalid or unenforceable, the remainder of this Lease or the application of it
to other persons or circumstances shall not be affected, and each provision of this Lease shall
be valid and enforceable to the extent permitted by law.
10.10 Counterparts. This Lease may be executed in several counterparts, each of
which shall be an original and all of which shall constitute but one and the same instrument.
10.11 Interest Rate. Any interest due from one party to another hereunder shall be at
the interest rate specified herein or the maximum rate permitted by applicable law, if less.
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IN WITNESS OF THIS LEASE, Landlord and Tenant have properly executed it as of
the date set out at its head.
LANDLORD ORONO HOUSING AND REDEVELOPMENT
AUTHORITY
Its: Executive Director
[SIGNATURE PAGE TO LEASE (DEVELOPMENT PROPERTY)]
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TENANT
ORONO SENIOR HOUSING, LLC, a Minnesota
limited liability company
By: Wedum Foundation, its Manager Member
By:_
Name:
Its:
[SIGNATURE PAGE TO LEASE (DEVELOPMENT PROPERTY)]
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EXHIBIT A
LEGAL DESCRIPTION OF DEVELOPMENT PROPERTY
MI: 49628&9}796288.04
w
Ml: ""�3-796288.04
PERMITTED ENCUMBRANCES
A-1
Draft: 10/17/01