Res 2005-091 - Laserfiche WebLink

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acquisition or improvement of real property, the acquisition of equipment or facilities, or other purposes directly related to economic development; WHEREAS, the City Council finds and detern1ines that the Project will promote local economic development and stimulate business and commercial activity in the City, and that this Agreement will facilitate the acquisition of real property for purposes directly related to economic development; WHEREAS, the City's Economic Development Incentives Policy authorizes the City Council to waive development regulations if a development: (1) will be a unique and regional economic draw with projections to support major direct new tax benefits for the City that far exceed those of the typical development or business, (2) incorporates design or construction features or characteristics that exceed City regulations or standards in other respects, or (3) will make a unique or unequaled contribution to development or redevelopment efforts in the City of San Marcos, due to its magnitude, uniqueness to the community, or aesthetic quality; WHEREAS, the City Council finds and determines that it is necessary and prudent to temporarily waive the provisions of the City's Land Development Code that require City approval of a subdivision concept plat, and preliminary and final subdivision plats before a tract of land is divided into two or more tracts for the purpose of sale or development, in that the Project will be a unique and regional economic draw with projections to support major direct new tax benefits for the City that far exceed those of the typical development or business, the Project will incorporate design and construction features and characteristics that exceed City regulations and standards in other respects, and the Project will make a unique or unequaled contribution to development efforts in the City due to its magnitude, uniqueness to the community, and aesthetic quality; WHEREAS, the City Council, on July 14, 2005, adopted a resolution authorizing the City to enter into this Agreement; and WHEREAS, to formalize their agreements regarding the Loan and Grant, City and JQH desire to enter into tl1is Agreement. NOW THEREFORE, For and in consideration ofthe making of the Grant and the Loan by City, and the covenants, agreements, representations and warranties set forth in this Agreement, the receipt and sufficiency of which is hereby acknowledged by each Party, the Parties hereby covenant, agree, represent and warrant as follows: ARTICLE I DEFINITIONS AND REFERENCE TERMS In addition to any other terms defined herein, the following terms shall have the meaning set forth with respect thereto: 1.1 Financing Lien. "Financing Lien" means a lien which (i) is granted by JQH on the Property in a Deed of Trust to a third party lender not related to JQH to secure a loan from such lender for construction or permanent financing for the Hotel and (ii) secures only such lender's construction or permanent financing loan to JQH for the Hotel on the Property and no other indebtedness. 1.2 Hazardous Materials. "Hazardous Materials" include all materials defined as hazardous materials or substances under any local, state or federal environmental laws, rules or regulations, and petroleum, petroleum products, oil and asbestos. CITY OF SAN MARcos-JQH LOAN AGREEMENT 779097.9 2