TC Res. No. 2004-11 AUTHORIZING THE TOWN OF AVONTOWN OF AVON, COLORADO
RESOLUTION NO. 04-11
SERIES OF 2004
A RESOLUTION AUTHORIZING THE TOWN OF AVON
TO SELL TEN SHERWOOD MEADOWS CONDOMINIUM
UNITS.
WHEREAS, the Town of Avon (the "Town") has been duly organized and is
validly existing as a home rule town under the Constitution of the State of Colorado and the
home rule charter of the Town (the "Charter"); and
WHEREAS, in order to acquire, construct, renovate and equip 11 condominium
units in the Sherwood Meadows Condominiums (the "2000 Project") for the purpose of
providing affordable housing, the Town entered into a Lease Purchase and Sublease Agreement,
dated as of July 1, 1998 (the "1998 Lease"), and a First Amendment to Lease Purchase and
Sublease Agreement, dated as of August 1, 2000 (the "2000 Lease Amendment" and,
collectively with the 1998 Lease, the "Lease") with the Town of Avon Finance Authority (the
"Lessor"), whereby the Lessor leased the 2000 Project to the Town (the "2000 Lease"); and
WHEREAS, the Lessor issued Certificates of Participation, Series 2000 (the
"2000 Certificates") evidencing assignments in proportionate interests in the right to receive
payments pursuant to the Lease; and
WHEREAS, the 2000 Certificates were issued pursuant to a Mortgage and
Indenture of Trust, dated as of July 1, 1998 (the "1998 Indenture"), and a First Supplement to
Mortgage and Indenture of Trust, dated as of August 1, 2000 (the "2000 Indenture Supplement"
and, collectively with the 1998 Indenture, the "Indenture"), between the Lessor and American
National Bank, formerly The Bank of Cherry Creek, N.A. (the "Trustee"); and
WHEREAS, pursuant to Section 2.03(a) of the 2000 Indenture Supplement, the
2000 Certificates may be called in whole on any interest payment date in the event of, and to the
extent moneys are actually received by the Trustee from, the exercise by the Town of its option
to purchase the 2000 Project as provided in the Lease, upon payment of 100% of the principal
amount thereof, plus accrued interest to the redemption date (the "Purchase Option Price") from
Town moneys currently on hand; and
WHEREAS, pursuant to Section 4.5 of the 2000 Lease Amendment and Section
12.1 of the 1998 Lease, the Town has exercised the option to terminate the 2000 Lease and to
purchase the 2000 Project upon payment by the Town of the Purchase Option Price and
discharge of the 2000 Indenture Supplement, and the Trustee and the Lessor will transfer and
convey to the Town all property in connection with the 2000 Project ; and
WHEREAS, the Town is entering into contracts to sell all of the condominium
units comprising the 2000 Project, except Unit 1-A; and
WHEREAS, the Town Council of the Town (the "Town Council") has
determined and hereby determines it is in the best interest of the Town and its inhabitants that the
10 units be sold.
NOW, THEREFORE, BE IT RESOLVED BY THE TOWN COUNCIL OF THE
TOWN OF AVON, COLORADO, THAT:
Section 1. The sale of the all of the units, except Unit 1-A, is authorized and
approved.
Section 2. The Town Finance Director is hereby authorized and directed to
sign deeds of conveyances and to execute all other documentation in association with sale of
those units and closing of each sale.
Section 3. This Resolution shall be in full force and effect immediately upon
its passage and approval.
PASSED, ADOPTED AND APPROVED this 13'' day of April, 2004.
y0~
® U OF.4
A
Albert D. Reynolds, May
♦Y E, A LJ
Attest:
Clerk
1
Resolution No. 04-11
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