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HomeMy WebLinkAbout851369.tiff RESOLUTION RE: INTENTION OF THE COUNTY OF WELD TO ISSUE INDUSTRIAL DEVELOPMENT REVENUE BONDS OF THE COUNTY OF WELD NOT TO EXCEED FOUR MILLION DOLLARS ($4 ,000 , 000) FOR THE PURPOSE OF FINANCING THE ACQUISITION, CONSTRUCTION AND IMPROVEMENT OF CERTAIN INDUSTRIAL FACILITIES TO BE OWNED BY EDWARD J. EISENMAN OR A RELATED ENTITY WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, the County of Weld, Colorado, (the "Issuer") is a body politic and corporate duly organized and existing as a County under the Constitution and laws of the State of Colorado and is authorized and empowered by the provisions of the County and Municipality Development Revenue Bond Act, Title 29 , Article 3 , Colorado Revised Statutes, as amended (the "Act") , to acquire whether by construction, purchase, devise, gift, lease, or sublease, one or more "projects" , as that term is defined in the Act, or part thereof, and to issue revenue bonds for the purpose of defraying the cost of financing, acquiring, improving, and equipping a project, and WHEREAS, the Issuer has been requested to issue and sell its Industrial Development Revenue Bonds pursuant to provisions of the Act for the purpose of defraying the cost of acquiring and improving a project, which project is described in Exhibit A attached hereto and constitutes a "project" as defined in the Act (the "Project") , to be owned by Edward J. Eisenman or a related entity, (the "Company") , and WHEREAS, the Company has agreed to indemnify the Issuer for any claims against the Issuer in connection with the proposed bond issuance, and WHEREAS , it is deemed necessary and advisable that the Issuer take such action as may be required under the Act to authorize and issue its Industrial Development Revenue Bonds in order to promote , develop and advance the general prosperity and economic welfare of the people of Colorado, and WHEREAS , a Memorandum of Agreement attached as Exhibit B has been prepared setting forth the respective agreement and undertakings of the Issuer and the Company with respect to the issuance by the Issuer of its Industrial Development Revenue Bonds and the Project, and 851369 Page 2 RE: IDRB - EISENMAN WHEREAS , the Issuer wishes to declare its intention to authorize an issue of Industrial Development Revenue Bonds of the Issuer qualifying under Section 103 (b) (6) of the Internal Revenue Code of 1954 , as amended, for the purpose of defraying the cost of acquiring, constructing and improving the Project, when so requested by the Company, upon such terms and conditions as may then be agreed upon by the Issuer, and Company and the purchasers of the land. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that: 1 . The Issuer does hereby declare its intention to authorize the issuance of Industrial Development Revenue Bonds of the Issuer under and in accordance with the applicable statutes of the State of Colorado, and particularly the Act, in such amounts , but not to exceed $4 ,000 ,000 , and upon such terms and conditions as may be agreed upon by the Issuer, the Company and the purchasers of the bonds, for the purpose of paying the costs of the Project to be used and operated by the Company. 2 . The issuance of such bonds shall be authorized by an Ordinance of the Board of County Commissioners of the Issuer at a meeting to be held for such purpose, subject to; (i) the receipt of an agreement on the part of the Company to indemnify the Issuer for any claims against the Issuer in connection with the proposed bond issue; (ii) the approval of the Issuer' s Attorney; and (iii) the receipt at the closing on such bonds of an approving legal opinion of a qualified Bond Counsel acceptable to the Company and the Issuer. 3 . A Memorandum of Agreement, substantially in the form and with the content set forth in Exhibit B attached hereto be entered into with the Company. 4 . The Resolution and the Memorandum of Agreement is hereby declared to constitute official action of the Issuer to evidence its intent to issue industrial revenue bonds qualifying under Section 103 (b) (6) of the Internal Revenue Code of 1954 , as amended. 5 . The issuance of the bonds shall be pursuant to the Act, and neither the passage of this Resolution nor the issuance of said bonds shall obligate the Issuer for any pecuniary liability or constitute a charge upon the general credit or taxing powers of the Issuer. Page 3 RE: IDRB - EISENMAN 6 . All commitments by the Issuer, made herein, are subject to the condition that on or before one year from the date hereof, the Issuer and the Company shall have agreed to mutually acceptable terms for the bonds or other obligations provided for hereunder, in an amount not to exceed $4 ,000 ,000 and for the sale and delivery thereof . 7 . The other appropriate officials of the Issuer are hereby authorized and directed, for and on behalf of the Issuer, to do all things , execute all instruments and otherwise take all action necessary to the performance of the Issuer' s obligations under the Memorandum of Agreement. The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 13th day of May, A.D. , 1985 . .-L BOARD OF COUNTY COMMISSIONERS ATTEST: ‘1311- Y4A lv WELD COUNTY, COLORADO Weld County Clerk and Recorder and Clerk to the Board J u ne Jo son, Chairman Q �r � ... BY: - p--m.rn�_P1 � , 2J e R. Brantner, Pro-Tem eputy CountyClerk J r 2.APPROVED AS TO FORM: C.W. 'Kirb 7 EXCUSED Cj Gordon E. L y #2,---n" ///�County Attor ey nk � ��IFrank am EXHIBIT A The Project consists of ( i) the acquisition, construction and improvement of certain industrial facilities to be used for purposes authorized under the Act and under the Internal Revenue Code of 1954, as amended, and (ii) the acquisition of such machinery, equipment and other personal property as shall be designated by the Company to be included in the Project. The Project is located at the Eisenman Industrial Park, Greeley, Colorado, and is comprised of up to ten ( 10) indus- trial buildings to be located on approximately 17 acres of land. EXHIBIT B MEMORANDUM OF AGREEMENT This Memorandum of Agreement is between the County of Weld, State of Colorado (hereinafter referred to as the "Issuer" ) and Edward J. Eisenman or a related entity (herein- - after referred to as the "Company" ) : 1 . Preliminary Statement. Among the matters of mutual inducement which have resulted in the execution of this Agree- - ment are the following: (a) The Issuer is a body politic and corporate, duly organized and existing as a County within the State of Colorado (the "State" ) under the Constitution and laws of the State and is authorized and empowered by the provi- sions of Title 29 , Article 3 of the Colorado Revised Statutes, as amended (the "Act" ) to acquire, whether by construction, purchase, devise, gift, lease or sublease, one or more "projects" , as that term is defined in the Act, and to issue its industrial development bonds (the "Bonds" ) for the purpose of paying the cost of acquiring, constructing or improving any such project; (b) The Company has requested the Issuer to issue and sell its Bonds pursuant to provisions of the Act for the purpose of paying the costs of acquiring, constructing and improving certain facilities (the "Project" ) , as generally described in Exhibit A. (c) The Project will constitute a "project" , as defined in Section 29-3-103 (10 ) of the Act; and (d) The Issuer finds that the Project and its devel- opment under the Act will be economically advantageous to the State and the general public welfare and will contri- bute to securing and maintaining a balanced and stable economy in the State. 2 . Undertakings on the Part of the Issuer. In order to effectuate the purposes of the Act, and to promote, develop and advance the general prosperity and economic welfare of the people of the State, the Issuer hereby determines: (a) That it will authorize, issue and sell one or more series of its Bonds pursuant to the Act in a princi- - pal amount sufficient to pay the cost of acquisition, by construction, purchase, lease or otherwise, of the Project and of improving the Project, including reimbursement or repayment to the Company of any moneys expended by the Company for planning and engineering, interest to be paid during construction, underwriting expenses, attorney and bond counsel fees, and other costs incident to the authori- zation, issuance and sale of such Bonds, the aggregate cost thereof being presently estimated to be no more than $4,000 ,000; (b) That it will adopt such resolutions and ordi- nances and authorize the execution and delivery of such instruments and the taking of such actions as may be necessary or advisable for the authorization, issuance and sale of the Bonds for acquiring, constructing and improv- - ing the Project; (c) That it will take or cause to be taken such other actions as may be required to implement the aforesaid, as it may deem appropriate in pursuance thereof, provided that all of the foregoing shall be as authorized by law and as mutually acceptable to the Issuer and Company. 3. Undertakings on the Part of the Company. Subject to the conditions above stated, the Company agrees as follows: (a) That it will enter into a contract or contracts for the acquisition, construction and improvement of the Project; (b) Contemporaneously with the delivery of the Bonds, it shall enter into a financing agreement (as defined in the Act, hereinafter referred to as the "Finan- cing Agreement" ) with the Issuer under the terms of which the Company will obligate itself to complete the acquisi- tion, construction and improvement of the Project, to use the proceeds of the Bonds to pay only the costs of acquir- - ing, constructing and improving the Project, including payment of interest on the Bonds for a period not to exceed three years, and the payment of the expenses inci- - dental to the issuance of the Bonds, to pay to the Issuer sums sufficient in the aggragate to pay the principal of, premium, if any, and interest on the Bonds, to pay all _ necessary expenses of the Issuer in connection with the Bonds, including but not limited to the application fee, issuance fees and legal fees, and to pay any trustee's fees as and when the same shall become due and payable. The Financing Agreement shall also contain such other provisions as may be required by law and such other provi- - sions as shall be mutually acceptable to the Issuer and the Company. (c) Contemporaneously with the delivery of the Bonds, it shall execute and deliver a mortgage, deed of trust or other such instrument whereby the Company will mortgage the Project or so much thereof as the Issuer shall require to secure the payment of the principal of, premium, if any, and interest on the Bonds. (d) It shall comply with all requirements of the Issuer's zoning districts and shall be in strict compli- ance with appropriate zoning and subdivision regulations of the Issuer and of any incorporated City or Town in which the Project is located. (e) That it will take such further action as may be required to implement its aforesaid undertakings or as it may deem appropriate in pursuance thereof. 4. General Provisions. (a) The form of the Memorandum of Agreement is hereby approved, and the Chairman and the County Clerk are hereby authorized and directed to execute this Memorandum of Agreement on behalf of the Issuer. (b) The entire cost of financing the Project will be paid from the proceeds of the sale of the Bonds or from other Company funds. The Bonds will not be a general obligation of the Issuer. Neither shall the Bonds, in- cluding interest thereon, constitute the debt or indebted- ness of the Issuer within the meaning of any limitation of the Constitution or statutes of the State of Colorado nor give rise to a pecuniary liability of the Issuer or a charge against its general credit or taxing powers. The Bond shall be payable solely from and secured by a pledge of the revenues derived from and payable pursuant to such financing agreements as may be entered into with respect to the Project. (c) Nothing contained in this Resolution or the Memorandum of Agreement shall constitute a debt or indebt- - edness of the Issuer within the meaning of the Constitu- tion or statutes of the State of Colorado nor give rise to a pecuniary liability of the Issuer or a charge against its general credit or taxing powers. (d) If the Bonds are not issued and sold, the Company agrees that it shall reimburse the Issuer for all necessary expenses which the Issuer may incur at the request of the Company arising from the execution of this Agreement and the performance by the Issuer of its obliga- - tions hereunder . (e) All covenants and agreements herein contained by or on behalf of the Issuer and the Company shall bind and inure to the benefit of the respective successors and assignees of the Issuer and the Company. IN WITNESS WHEREOF , the parties hereto have entered into - this Agreement as of the 13th day of May, 1985 . THE COUNTY OF WELD STATE OF COLORADO By \" \ `IWLlecr— h. irm of B d of Commissioners ATTEST: 71 /^ �t1 "�� zk L24Cry✓ • Ct5unty Clerk I BY 072 "`"01 "r "� 'W/ EDWARD J. EISENMAN (Or Related Entity) , D putt' County Clerk The Company, ' By ! ,'rte`_ L — Edward J. Er �/L —— man ATTEST: My Commission Expires June 8, 1906 %_ e• / eithele..rt NOTICE OF PUBLIC HEARING on THE ISSUANCE OF WELD COUNTY, COLORADO INDUSTRIAL DEVELOPMENT REVENUE BONDS IRONWOOD BUSINESS PARK, SERIES 1985 IN THE AGGREGATE PRINCIPAL AMOUNT OF $4 ,000 ,000 DOCKET NO. 85-20 PUBLIC NOTICE IS HEREBY GIVEN that the Board of County Commissioners (the "Board") of Weld County, Colorado (the "County") will hold a public hearing at the regular meeting of the Board to be held in the First Floor Hearing Room, 915 10th Street, Greeley, Colorado, on Monday, May 13 , 1985 , at or about 9 : 00 a.m. on the proposed issuance by the County of its Industrial Development Revenue Bonds (Ironwood Business Park) , Series 1985 (the "Bonds") , in the aggregate principal amount of $4 ,000 ,000 to finance the cost of the acquisition, construction and improvements of industrial buildings to be owned by Edward J. Eisenman or related entity. The Project will be located at First Avenue and Sixteenth Street in the City of Greeley, Colorado. The Bonds and the interest thereon shall never constitute the debt or indebtedness of the County, within the meaning of any provision or limitation of the State Constitution or statutes, and shall not constitute nor give rise to a pecuniary liability of Weld County, Colorado, or a charge against the general credit or taxing powers thereof. All interested persons may appear and be heard on the issuance of the Bonds and the location and nature of the proposed Project. On a date to be determined, but following the public hearing, the Board will consider and act upon a Resolution approving the issuance and delivery of the Bonds by the County. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO BY: MARY ANN FEUERSTEIN COUNTY CLERK AND RECORDER AND CLERK TO THE BOARD BY: Mary Reiff, Deputy DATED: April 24 , 1985 PUBLISHED: April 25 , 1985 , in the La Salle Leader Affidavit of Publication STATE OF COLORADO) County of Weld) ss. i Pa 1.1 :a :sey of said County of Weld being duly sworn,say that I Legal Notice am publisher of T.a SR',1 P Tn. rir'. , NOTICE OF PUBLIC HEARING that the same is a weekly newspaper of general circulation was printed and published in the °" • town of THE ISSUANCE OF WELD COUNTY, is S2112 COLORADO INDUSTRIAL DEVELOP. in said county and state:that the notice of adver- WOO REVENUE BONDS IRON. WOOD BUSINESS PARK, SERIES ttsement,of which the annexed is a true copy has 1985 IN THE AGGREC,STE PRIN- been published in said weekly newspaper for CIPAL AMOUNT OF seoo,000: one itOFl art-fi'e DOC,IIET NO.85-20 weeks; that the notice was published in the PUBLIC NOTICE R,d{v HEREBY regular and entire issue of every number of said GIVEN that the Board JRouaty Com newspaper during the period and time of publica- t .Clol ra (the oarcrEel Weld hold tion of said notice and in the newspaper proper public hearing l•t regular) meeddng of and not in a supplement thereof: that the first the Board to be held in the First Floor Hearing Rot, 915,10th Street. publication of said notice was contained in the Greeley,Colorado.on Men.y.May 13. issue of said newspaper bearing the date, the 1985,et or about 9:00 a.m.on the pro- . Posed Stamm by the County of its In. 25 date of h Mistrial Development Revenue Bonds y' l A.D.. 19 u (Ironwood PS Series 1985 (the"Bondi).M tMygre'ste petaclpel and the last publication thereof, in the issue of anoint of 84.000.000 to Anasce the said newspaper,bearing date,the 22 day of nom of tbeseaYhlen,eatw.rtw and Improvement?of Industrial buildings to `i ` , lg r" that the said bberoownd M Edward J, E enaen'or estly. The Ptalect wet be located at First Avenue and Sixteenth L a Salle u.'� ('B Y' Street N the City.f Greeley.Coloraa. The loads d a the interest therein A O has been published continously and uninter- new: ceeelltate the debt or in. ruptedly during the period of at least fifty-two debtedness ^e.ee County, within the consecutive weeks next prior to the first issue weaning° l'Provision°r limitation of thereof containing said notice or advertisement ine state C°ai9�wnNwan°"tatatee,and above referred to: and that said newspaper was `heB 4e�cos pa an i co Sett l' ad err a chee aJV against the l at the time of each of the publications of said orado,ter a chair general notice duly qualified for that purpose within the credit or tatinvoeters thereof. meaning of an act entitled, "An Act Concerning All interested persona may appear ead Legal Notices. Advertisements and Publications be heard on-the Issuance of the Bonds and the Fees of Printers and Publishers thereof, and thAOCVOIRM oatote of the pro. and to Repeal all Acts and Parts of Acts in Con- 'p0eldPeoi .' y °` flict with the Provisions of this Act" approved On a date to be determined, but April 7. 1921. and all amendments thereof, and following the public hearing,the Board particularily as amended by an act approved, will consider and act upon a Resolution March 30. 1923, and an ct approved May 13. approving the issuance and Minns)of ��9,�3y�f���� PP the Bonds by the County. �'C/ ' ^A9� BO LONERS COMMISSIONERS M OF O WELD COUNTY,COLORADO Publisher ` BY:MARY ANN FEUERSTEIN �Subscribed and sworn to before me this x COUNTY CLERK AND RECORDER AND CLERK TO THE BOARD 8c BY:Mary Rent.Deputy day of A.D.. 19 DATED:April 24.1985 "deist /�J Published in the La Salle Leader on A.44.e./e st /`7(._a'<._ Thursday.April 25.1985. 1Nataal' Public My commission expires /� / -Q c ELIZABETH MASSEY 22019 W.C.RD, 54 gREELEYY CO 80631 DATE: April 24 , 1985 TO: The Board of County Commissioners Weld County, Colorado FROM: Clerk to the Board Office Commissioners: If you have no objections, we have tentatively set the following hearing for the 13th day of May, 1985 , at or about 9 :00 A.M. Docket No. 85-20 - IDRB, Edward J. Eisenman (Ironwood Business Park) OFFICE OF THE CLERK 3'O THE BOARD BY: 4f, 71,/ Deputy The above mentioned hearing date and hearing time may be scheduled on the agenda as stated above. BOARD OF COUNTY COMMISSIONERS WELD COUNTY, COLORADO Cro 6YYooa) May 10, 1985 ABttsinesfhrk Weld County Commissioners 915 10 Street Greeley, Colorado 80631 Dear Commissioners: This proforma projects a situation where the project is 100% debt financed. The purpose of showing this level of financing is to demonstrate the economic feasibility of the Ironwood Business Park. The presumption is that the buildings will be built and fully leased prior to the bonds being placed, thereby reducing the risk to the bondholder. The proforma deals only with the cost of the project and the cash flow from the on going operations. Cordially, IRONWOOD A BUSINESS PARK Edward J. Eis President EJE/syh Enclosures 300 E. 16th Street Greeley,CO 80631 Greeley 303-351-6051 Metro 303-571-1830 CrotiWooD) IRONWOOD BUSINESS PARK A BtuinessThrh Projected Cash Flow From Ten Buildings DEVELOPMENT COST PROFORMA Five Buildings (13,500 sq. ft. X $31.50 per sq. ft.) $2,125,000 Five Buildings (12,000 sq. ft. X $31.50 per sq. ft.) 1,875,000 Total Project Cost $4,000,000. INCOME AND EXPENSE Income (net operating income) See page two Five Buildings (13,500 sq. ft) X NOI of $49,425 $ 247,125 Five Buildings (12,000 sq. ft) X NOI of $43,930 219,650 Total Project Effective Gross Income $ 466,775 Bond Debt Service $4,000,000 loan - 10.5% interest rate - 30 year amortization Annual Payment ($36,590 X 12) 439,074 Positive Cash Flow (100% refunded) $ 27,700 300 E. 16th Street Greeley,CO 80631 —1— Greeley 303-351-6051 Metro 303-571-1830 IRO NWOOD BUSINESS PARK (Zcivoói) 13,500 Square Foot Building A Misiness Ihrk INCOME AND EXPENSE PROFORMA Income 9 units X $562.50/Month 13,500 square feet X $4.50 $ 60,750 Less: 5% Vacancy Factor 3,040 Gross Operating Inane $57,710 Expenses Taxes $ .25/square foot $ 3,375 Insurance .05/square foot 675 Maintenance .10/square foot 1,350 Management 5% 2,885 $ 8,285 Net Operating Income $49,425 300 E. 16th Street Greeley.CO 80631 -2- Greeley 303-351-6051 Metro 303-571-1830 iete ( ronwo&) IRONWOOD BUSINESS PARK 13,500 Square Foot Building ABusirussBirk DEVELOPMENT COST PROFORMA 1. Land Acquisition 57,600 Square Feet X $1.25 $ 72,000.00 2. Construction 312,000.00 3. Soft Costs a) Architectural/Engineering $ 2,000.00 b) Legal/Accounting 1,000.00 c) Marketing/Advertising 4,000.00 d) Leasing Conmissions 7,000.00 14,000.00 4. Financing Costs a) Loan Points (two points) $ 7,000.00 b) Interest During Construction and Lease up - 12 Months 20,000.00 27,000.00 Total Development Cost $425,000.00 Cost Per Square Foot of Rentable Space $ 31.50 300 E. 16th Street _3_ Greeley,CO 80631 Greeley 303-351-6051 Metro 303-571-1830 NELSON & HARDING ATTORNEYS-AT-LAW 1100 Ytno-Lana Town 9mna 101 717 1782 Stnar 800 AMERICAN CHARTER CENTER 3685 Snow's Row Dona. CoLD.ADo 80909.3357 1623 FARNAM RAPID CITY SOUTH DAKOTA 57702-2346 (303) 206.7707 (805) 348-7250 OMAHA. NEBRASKA 68102-2130 OP 000w•SL 500 Tv Azava DONALD Y. ROSWAN 1200 N x82028 (402) 348-0832 P.O. Box 82028 Sam 420 LOICOLa, N0 ) 475 68501-2028 SSOO Nat ow. D. C. Amu; N.W. twaaaoma, D. C. 90036-4366 ({O i) k73•6761 (108) 775.0141 April 16 , 1985 Re: Eisenman, Edward J. (Application for IDB Financing for Edward J. Eisenman) N&H File No. 13550-1 Mr. Don Warden Director Department of Finance and Administration Weld County, Colorado 915 10th Street Post Office Box 758 Greeley, Colorado 80632 Dear Mr. Warden: Please find enclosed an Application for Industrial Development Revenue Bond Financing submitted on behalf of Edward J. Eisenman. Also enclosed is a check in the amount of $500 . 00 representing the Application Fee required pursuant to Ordinance No. 69-A. As we discussed by telephone, Mr. Eisenman will be forwarding to you under separate cover financial projections for the project and a report from Mr. Eisenman' s principal banker concerning Mr. Eisenman' s financial position and ability to meet the expense of the proposed bond issue. A copy of our proposed Intent Resolution is enclosed with the Application. Please feel free to contact me at your convenience with any questions or comments you may have. I will be happy to supply any additional information you may deem necessary or appropriate. Thank you very much for your cooperation and I look forward to working with you and the Weld County Board of Commissioners on this project. Very truly yours , flPoo9 Loel P. Brooks For the Firm LPB:mml Enclosures cc: E. J. Eisenman C. F. Downs APPLICATION FOR INDUSTRIAL DEVELOPMENT REVENUE BOND FINANCING TO BOARD OF COUNTY COMMISSIONERS COUNTY OF WELD, COLORADO ON BEHALF OF MR. EDWARD J. EISENMAN (Or Related Entity) APRIL 18, 1985 This application for Industrial Development Revenue Bond Financing is submitted to the Board of Commissioners of Weld County, Colorado pursuant to Ordinance No. 69-A, adopted by the Weld County Board of Commissioners on October 13, 1980. The Application was prepared by Nelson & Harding, Attorneys at Law for and on behalf of Mr. Edward J. Eisenman. INDEX Legal Opinion of Nelson & Harding Marketability of Bonds Applicant and History Resume' of Mark K. Rasmus Financial Information Applicant's Personal Financial Statements Description of Proposed Project Form of Intent Resolution NELSON & HARDING ATTORNEYS-AT-LAW 8800 Psne-Lrwts Tow.. Sum 101 717 1778 Stmt 800 AMERICAN CHARTER CENTER 3683 STlhOtr ROAD Dana Cocoawno 80802.8357 1829 FARNAM RAPID CITY,Rolm DAKOTA 57702-2348 (308) 388.7707 (605) 848-7250 OMAHA, NEBRASKA 68102-2130 — 500 Tao Mazur OP OOa.v. 1200 N Swart (402) 348-0832 DONRII•D K. Kosour P.0. Box 82028 Sons 420 LmcOld.NrrrA.EA 08501.2028 1200 NNW Hanmr AnsOa N.w. wA.motor, D. O. 80088.4851 (*02)475.8781 (102) 775.9141 April 18, 1985 Board of County Commissioners The County of Weld, Colorado Members of the Board of Commissioners : Our law firm has been requested to act as Bond Counsel in connection with the application for industrial development revenue bond financing by Mr. Edward J. Eisenman dated as of the date hereof. We are qualified municipal bond counsel and have acted in such capacity on transactions in Colorado, Nebraska and Iowa. Our most recent transaction in Colorado was as Bond Counsel in connection with the issuance of $3,800 , 000, The City of Commerce City, Colorado, Industrial Development Revenue Bonds - Series 1984 (Republic Paperboard Company Project) . A copy of our listing in the Bond Buyer is attached hereto. • In our opinion, the financing proposal submitted to you by Mr. Eisenman, dated as of the date hereof, complies with the intent and meaning of the Colorado Economic Development Revenue Bond Act, Title 29 , Article 3 , Colorado Revised Statutes, as amended. Very truly` yours, ly Wk& Loel P. Brooks For the Firm FROM THE BOND BUYER MUNICIPAL BOND ATTORNEYS OF THE UNITED STATES NEBRASKA Lincoln. NE NELSON & HARDING (Jahn N. Keen. 9nan R_ Rlaenour. Los P. Broom. Gerald 9. Buecnler. Jr.) P.O.Boa 82028. 500 The Atrium. 1200 N Street Tel.: 402-475-6281 Lincoln.NE.86501 Omaha, NE NELSON&HANDING (Jon A.Elliott.John N.Her.Bnan K.Ridenour,Los P. Brooks, Gerald B. Buechler,Jr.) 800 Amerman Charter Center. 1823 Farnam Tel.: 402-348-0832 Omaha.NE.68102-2130 Marketability of Bonds Mr. Eisenman does not yet have a financing commitment for the sale of the bonds, however, negotiations are underway with certain financial institutions which have expressed strong interest in the project. Mr. Eisenman expects that a firm committment for the purchase of the bonds will be obtained very soon. A copy of such financing committment will be supplied as soon as it is obtained. Applicant Mr. Edward J. Eisenman (or related entity*) 2400 Twenty Second Avenue Greeley, Colorado 80631 (303) 352-9476 *Mr. Eisenman may wish to designate a related entity to be the ultimate obligor on the bonds. Such entity will likely be a family owned partnership, trust or corporation in which Mr. Eisenman will maintain a continuing personal interest. History of Applicant The Applicant and developer of the proposed project, The Ironwood Business Park, will be Mr. Edward J. Eisenman. Mr. Eisenman has owned and operated his own business since 1951. His first operation was in the trucking and produce business in Greeley which lead to the formation, in 1955 , of Eisenman Chemical Company, a diverse oil service related company for which he served as president and CEO until the company was sold in 1979 . Mr. Eisenman is currently president of Eisenman Enterprises, Inc. which was incorporated in 1973 and in addition to its present real estate operations , also operates a fabrication division which manufactures siesmographic and specialized oil field related units . He also serves on the boards of Newpark Resources Inc. a New Orleans based NYSE Company and the Colorado National Bank of Greeley. Real Estate development experience include the development of the following in Greeley, Colorado. 1. College Green I An 80 unit condominium PUD 2. College Green II A 37 lot subdivision 3. College Green III A 55 lot subdivision 4. College Green IV A 66 lot subdivision 5 . Ironwood Business Centre A 17 acre office/warehouse business park Mr. Eisenman also has real estate interests in Nevada and New Mexico . Mr. Mark K. Rasmus, real estate manager for Eisenman Enterprises, Inc. will be project manager for the proposed project. Mr. Rasmus has a diverse real estate and construction background. His resume' is included herewith. -2- MARK K. RASMUS 3109 Michelle Lane Fort Collins, Colorado 80525 (303) 226-4399 CAREER OBJECTIVE Real Estate EXPERIENCE OWNER Heatherwood Development Company, Fort Collins, Colorado 80524. 1979 - Present Responsibilities: Overall corporate management, planning, marketing, land acquisition, syndication packaging and sales, property management, leasing, construction supervision of mini storage facilities, office buildings and custom homes. PROJECT MANAGER-PARTNER James St. Builders - James St. Properties, Fort Collins, Colorado. 1978-1979 Responsibilities: Corporate management, design, marketing, sales, purchasing and field coordination of custom single family homes and townhouses. Prepared financing packages for lending institutions and pri- vate syndication. CONSTRUCTION MANAGER Bartran Homes, Fort Collins, Colorado. 1977-1978 Responsibilities: Vice President of Bartran's subsidiary commercial construction company, Construction Managers, Inc. Duties included planning, marketing, bidding, contract negotiation and field coordination. OWNER Heatherwood Development Company and Heatherwood Realty, Fort Myers, Florida. 1973-1977 Responsibilities: Overall corporate management, sales, estimating, purchasing, contract negotiation and field coordination and supervision of small commercial projects and custom single family homes. PROJECT MANAGER Development Concepts Corporation, Fort Myers, Florida. 1971-1973 Responsibilities: Managed the firm's activities which included land acquisition, financing, planning and zoning, contract negotiations, sales and leasing coordination of commercial and multi-family projects. PROJECT MANAGER Investment Dynamics Corporation, Minneapolis, Minnesota. 1969-1971 Responsibilities: Initially managed the leasing and construction of office and warehouse buildings in Minneapolis. Transferred to manage the Florida division which included land acquisition, syndication, sales, leasing and property management. MARK K. RASMUS Page Two PROJECT MANAGER Ernest M. Ganley Company, Inc. , Minneapolis, Minnesota. 1968-1969. Responsibilities: Estimating and bidding, negotiation of subcontracts, project coordination and supervision of large commercial projects. ESTIMATOR Axel H. Ohman, Inc. , Minneapolis, Minnesota. 1965-1968 Responsibilities: Estimating, purchasing and scheduling of masonry- concrete subcontract work. EDUCATION Current Continuous Self Study 1982 CCIM Courses Cl 101 and Cl 102 Realtors National Marketing Institute 1979 University of Colorado, Boulder, Colorado Securities and Syndication 1977 Regis College, Denver, Colorado Real Estate Finance, Real Estate Law, Real Estate Appraisal 1974 Florida State University, Gainesville, Florida Real Estate Finance, Real Estate Appraisal 1972 Florida State University, Gainesville, Florida Real Estate Principal , Real Estate Law 1964-1965 Iowa State University, Ames, Iowa Civil Engineering and Business Administration Course of Study 1963-1964 Boone Junior College, Boone, Iowa Civil Engineering Course of Study LICENSES Colorado Real Estate Brokers Private Pilot - Single Engine Land City of Fort Collins Unlimited Contractors License PERSONAL Born: July 20, 1945 Boone, Iowa Appearance: Height: 6' 1" Weight: 190 Marital Status: Married, two children, ages 17 and 14 Health: Excellent with no physical limitations REFERENCES Available upon request FINANCIAL INFORMATION 1. Historical Financial Statistics. Because the operation and financing of Ironwood is unrelated to Mr. Eisenman' s other business interests, historical sales information is of little relevance to the proposed project. The financial integrity of the users of each proposed warehouse, the inherent value of the project itself, and the personal financial resources of Mr. Eisenman and/or his designated related entity, will provide the financial backing and source of repay- - ment for the bonds . 2. Report from Applicant' s Principal Banker. A written report from Mr. Eisenman' s principal banker will be supplied under separate cover. 3. Major Customers - Sales . As stated in "1" above, major customers and their annual sales are unrelated to the financial backing and support of this proposed project. 4 . Pro forma' s. A detailed pro forma for the proposed project will be forthcoming under separate cover. 5. Historical Personal Financing Statements . Mr. Eisenman ' s Historic Financial Statements would not be relevant to the financing of the proposed project. Description of Project The proposed project, Ironwood Business Park, will consist of the acquisition, construction and improvement of up to ten (10) industrial buildings to be owned by Edward J. Eisenman or a related entity (the "Borrower") . The Borrower will lease each facility to individuals or entities to be used for purposes authorized under the Act and under Section 103 of the Internal Revenue Code of 1954 , as amended. The industrial buildings will be either 12 ,000 square feet or 13, 500 square feet depending on location and will cost about $400 ,000 each. Bond proceeds will not be used to acquire signifi- cant amounts of machinery or equipment, it being the obligation of each lessee to provide for all such property. Each building is expected to be financed as lease committments are entered into in amounts sufficient to satisfy the security requirements of the purchaser (s) of the bonds. Hello