RES-1997-062 Resolution Providing Final Approval of Terms and Documents Related to Financing for Skills Development Center Improvements

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-- - 12 The parties desire to modify the Original Documents. Pursuant to the Original Documents, the Beneficiary provided financing to the Grantor for the acquisition and improvement of the Project, as defined in the Original Documents. The purpose of the modification is to provide additional financing to the Grantor for the improvement of the Project. This Modification Agreement provides for an additional advance to the Grantor of 8780,000 (the"1997 Advance"), and is therefore given to secure a current advance of$780,000. The current scheduled date for final repayment of the 1997 Advance is on or about January 1, 2008. The total amount, including present and future obligations, that may be secured by the Original Documents, as modified by this Modification Agreement, shall be$1,980,000. The security interest evidenced hereby is a "construction mortgage" within the meaning of N.C. Gen. Stat. § 25-9-313. Now, therefore, for and in consideration of the premises, the Grantor covenants and agrees with the Deed of Trust Trustee and Beneficiary (and their respective heirs, successors and assigns), as follows: 1. Pursuant to this Modification Agreement, the Beneficiary shall advance $780,000 to the Grantor by making deposits to the credit of such accounts as Grantor shall direct. 2. The Grantor shall repay the 1997 Advance, together with interest thereon at the rate of 5.03% per year, by making additional Exempt Payments, within the meaning of the Contract, to the Beneficiary on each January 1 and July 1, beginning July 1, 1998, on the dates and in the amounts set forth on Exhibit A. Such payments reflect the amortization of principal and include an interest component. All payments shall be applied first to interest accrued and unpaid to the payment date and then to principal. If not sooner paid, all remaining principal and interest shall be due and payable by the Grantor on January 1, 2008. 3. The County may prepay principal components of the Exempt Payments related to the 1997 Advance in whole or in part at any time at the Grantor's option, at a prepayment price equal to the principal amount to be prepaid plus interest accrued to the prepayment date, without premium. Any prepayment shall be applied first to any accrued and unpaid interest and then to installments of principal in inverse order of maturity. No such prepayment shall in any way affect the Grantor's obligation to pay when due the remaining scheduled installments of principal and interest. Upon any such prepayment, the Grantor shall continue to make payments at the times and in the total amounts shown on Exhibit A, with the effect of the prepayment to be to increase the amount of each payment allocated to principal. 4. Except as modified by this Modification Agreement, the terms and provisions of the Original Documents are in all respects ratified and confirmed. The terms and provisions of the Original Documents are incorporated in this Modification Agreement by this reference, and shall bind the Grantor with respect to the 1997 Advance to the extent applicable. The County's 2 �� dnssa� .W 4jago21 dSZ =ZI L6 Sz ^ON