STATE FARM BANK One State Farm Plaza Bloomington, IL 61710-0001 December 23, 2008
STATE FARM BANK
One State Farm Plaza
Bloomington, IL 61710-0001
December 23, 2008
VIA OVERNIGHT MAIL
Blue Ridge Real Estate Company
Attn: Xxxxx X. Xxxxxxxxxx
Rt. 000 & Xxxxxxxxx Xxxx
P.O. Box 707
Blakeslee, PA 18610-0707
Re: Blue Ridge Real Estate Company ("Borrower")/Extension of State Farm Bank, Loan No. SFB0097, 0000 Xxxxxxxx Xxxx, Xxx'x Xxxxx, XX 00000 ("Secured Property")
Dear Xx. Xxxxxxxxxx:
State Farm Bank, F.S.B. ("State Farm") previously made a loan to Borrower in the original principal amount of $3,000,000.00 as evidence by a certain promissory note dated December 11, 2006 ("Note") executed and delivered by Xxxxxxxx, which Note is secured by, among other things, a certain Mortgage And Security Agreement of even date therewith ("Mortgage"), encumbering the Secured Property as well as a certain Guaranty Agreement ("Guaranty") executed by Big Boulder Corporation, BBC Holdings, Inc. and BRRE Holdings, Inc. (collectively, the "Guarantor") also of even date therewith. The Note, Mortgage, Guaranty and all other documents and instruments in connection therewith are hereinafter referred to collectively as the "Loan Documents".
Xxxxxxxx has requested, pursuant to the Loan Documents, a one (1) year extension of the term of the Loan. Provided that Borrower satisfies all of the terms and conditions precedent set forth in the Loan Documents, State Farm is willing to grant the requested extension of the original Loan term. As a result, the new or extended maturity date with respect to the Loan shall be January 1, 2010.
The interest rate for the Note, applicable during the one year extension, shall be set two (2) LIBOR Business Days (as defined in the Note) prior to the original maturity date i.e., January 1, 2009. The interest rate shall be calculated by adding the LIBOR Rate (as defined in the Note) in effect on said date to State Farm's current interest rate spread for floating rate first mortgage financing as determined by State Farm (the "Spread"). In this particular case, said Spread shall be 450 basis points over the one-month LIBOR Rate.
Except for the aforesaid one (1) year extension of the Loan term and spread change, all of the terms and provisions of the Loan Documents shall remain unaltered and in full force and effect.
Please acknowledge the terms set forth herein by signing a duplicate original of this Letter Agreement and returning it to State Farm on or before Monday, December 29, 2008.
Sincerely,
STATE FARM BANK, F.S.B.
By: /s/ Xxxxx X. Xxxxxx
Xxxxx X. Xxxxxx
Vice President of Commercial Real Estate
Accepted and Approved
this 29th day of December, 2008.
Blue Ridge Real Estate Company, Borrower
By: /s/ Xxxxx X. Xxxxxxxxxx
Name:
Xxxxx X. Xxxxxxxxxx
Title:
Exec. Vice President & Treasurer
Big Boulder Corporation
By: /s/ Xxxxx X. Xxxxxxxxxx
Name:
Xxxxx X. Xxxxxxxxxx
Title:
Exec. Vice President & Treasurer
BRRE Holdings, Inc., Guarantor
By: /s/ Xxxxx X. Xxxxxxxxxx
Name:
Xxxxx X. Xxxxxxxxxx
Title:
President & Treasurer
BBC Holdings, Inc., Guarantor
By: /s/ Xxxxx X. Xxxxxxxxxx
Name:
Xxxxx X. Xxxxxxxxxx
Title:
President & Treasurer
