1
(b)(24)
SALOMON BROTHERS
REALTY CORP.
000 Xxxxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
000-000-0000
December 19, 0000
Xxxxx Xxxxxx Tech LLC
c/o First Union Real Estate Investments
000 Xxxxx Xxxxxx, Xxxxx 0000
Xxx Xxxx, Xxx Xxxx 00000-0000
Attention: Xx. Xxxxx Xxxxxxxxxxx
Re: Loan Agreement, dated as of July 27, 1999 (the "Loan Agreement"),
by and among North Valley Tech, as borrower, Salomon Brothers
Realty Corp., as agent and initial lender ("Salomon") and LaSalle
Bank National Association, as collateral agent ("Collateral
Agent")
Dear Xxxxx:
Reference is made to the Loan Agreement. Capitalized terms used but
not defined herein shall have the meanings set forth in the Loan Agreement.
Salomon is pleased to issue this commitment (the "Commitment") to
restructure the Loan on the terms set forth in the previous letters sent by
Salomon to you, copies of which are attached hereto as Exhibit A (the
"Application") together with the additional terms set forth below.
Loan Amount: $22,500,000 (additional advance ("Additional
Advance") equal to $6,500,000.
Additional Advance Fee: 1% on the additional advance amount (ie. $65,000).
Interest Rate: One month LIBOR plus 3.25%.
Interest Rate Cap: As a condition precedent to the funding of the
Additional Advance, Borrower shall purchase an
interest rate cap in the notional amount of the
Additional Advance. The interest rate cap shall
have a strike rate equal to not greater than 9.00%
and shall be purchased from a counterparty
acceptable to Salomon.
Guarantor: Radiant Ventures I L.L.C.
Cost Certification: Guarantor shall certify, as a condition to funding
of the additional advance, that the allocated cost
for the Mortgaged Property is not less than
$30,000,000.
Expenses: Borrower shall pay Salomon's out-of-pocket costs
and expenses incurred in implementing the
Additional Advances and restructure
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North Valley Tech LLC
December 19, 2000
Page 2
described in this Commitment.
Third Party Reports: As a condition precedent to the funding of the
Additional Advance, Borrower will deliver to
Salomon at Borrower's expense updated third party
reports (i.e. Appraisal, Engineering Report and
Environmental Report) with respect to the Mortgage
Property in form and substance acceptable to
Salomon.
Prepaid Rent, Etc.: As a condition precedent to the funding of the
Additional Advance, Prepaid Rent and the amount of
any funds the Borrower owes to tenants in respect
of TI Costs that exceed the amount in the leasing
reserve escrow account (to the extent such
liability is not paid as of the Additional Advance
funding date) shall be held in a reserve pledged
to Salomon.
This Commitment is subject to the condition precedent that the
Additional Advance is funded on or prior to February 16, 2001 (unless such date
is extended by mutual agreement between Salomon and yourselves).
If you are in agreement with the foregoing, please execute this
letter in the space provided below and return it to the undersigned.
Very truly yours,
SALOMON BROTHERS REALTY CORP.
a New York corporation
By: /s/ A. Xxxxxx Xxxxxx
----------------------
Name: A. Xxxxxx Xxxxxx
Title: Authorized Agent
Accepted and Agreed:
NORTH VALLEY TECH LLC,
a Delaware limited liability company
By: NVT Corp., A Delaware corporation, its manager
By: /s/ Xxxxx Xxxxxxxxxxx
----------------------
Name: Xxxxx Xxxxxxxxxxx
Title: Vice President
