RDA Reso 2000-006 - Laserfiche WebLink

Home

(j) Limitation. Notwithstanding the foregoing portion of this Section 4.12, in the event Friends of the Creek develops a building on the Adjacent City Property, Friends of the Creek and not the Developer shall be responsible for the construction, utility charges, or maintenance for such building. 4.13 Compliance with Laws. The Developer shall accomplish the development of the Phase 1 Improvements and, if undertaken, the Phase 2 Improvements in conformity with all applicable laws, including without limitation state labor standards (if applicable). 4.14 Contingent Limitation Concerning Friends of the Creek. As of the Date of Agreement, Friends of the Creek has expressed an interest in developing and operating an educational center on or adjacent to the Adjacent City Property, but no agreement has been reached with Friends of the Creek by the Developer, the City, or the Agency. It is contemplated by the parties hereto that, in the event Friends of the Creek undertakes to develop and operate a building on or adjacent to the Adjacent City Property, the Developer shall not be responsible for the development or maintenance of facilities developed by the Friends of the Creek (absent later agreement which expressly provides therefor). 4.15 Credit Upon Opening of Conforming Restaurant. In the event the Developer has, in addition to completing the Phase 1 Improvements in conformity with this Agreement, caused the completion and Opening of a Conforming Restaurant Facility on or before the Restaurant Opening Deadline, the Agency shall, within thirty (30) days after the Opening of such Conforming Restaurant Facility, disburse to the Developer an amount equal to the Conforming Restaurant Amount, plus any interest earned thereon, less any Setoff. For purposes of this Section 4.15, "interest earned thereon' shall be deemed to be equal to (i) the passbook rate (or, if applicable, the interest rate for a certificate of deposit) of the corresponding banking or savings institution as applied to the amount of the Restaurant Security for the period the Restaurant Security is retained by the Agency in the event the Developer provided the Restaurant Security, or (ii) the interest rate paid by the Local Agency Investment Fund ("LAIF") as applied to the Conforming Restaurant Amount for the period the Conforming Restaurant Amount is retained by the Agency, in the event the Developer paid the Conforming Restaurant Amount in cash through escrow. In any event, the Agency shall have no obligation to maximize interest or earnings on the Conforming Restaurant Amount. If the Conforming Restaurant Amount is paid in cash to the Agency, the Agency may commingle such moneys with other funds of the Agency. The Agency shall not owe any fiduciary duties to the Developer, and the moneys deposited in the name of the Agency or paid to the Agency as the Conforming Restaurant Amount are not held in trust for the Developer. The parties agree and acknowledge that the variation in amount of the Purchase Price based upon the development and opening of a Conforming Restaurant Facility is reasonable, and is based upon such factors as: (i) the policy objective of the Agency to encourage the development and opening of a Conforming Restaurant Facility; (ii) the circumstance that greater costs for tenant 18 DOCS00701700v6\24258.0001