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HomeMy WebLinkAboutLetter of Credit IRREVOCABLE LETTER OF CREDIT NO. 2006-30-S DATE: August 1, 2006 TO BENEFICIARY: City of College Station Attention: Director of Development Services 1101 Texas Avenue College Station, Texas 77840 IRREVOCABLE LETTER OF CREDIT NO. : 2006-30-S ISSUE DATE: 12:00 Noon Central Standard Time, August 1, 2006 EXPIRATION DATE:12:00 Noon Central Standard Time, August 1, 2007. LOCATION OF PROJECT: Lots 2, 3, and 4 Valley Park Center College Station,Brazos County, Texas AMOUNT: ONE HUNDRED THIRTY THOUSAND AND NO/lOO DOLLARS ($130,000.00) ACCOUNT OF: TITAN VALLEY PARK, LIMITED PARTNERSHIP, A NEW MEXICO LIMITED PARTNERSHIP GENERAL TERMS & CONDITIONS: The Issuing Bank set out above hereby issues its IRREVOCABLE LETTER OF CREDIT No. 2006-30-S, in favor of the CITY OF COLLEGE STATION, TEXAS, in accordance with Chapter 5, V.T.C.A. Texas Business and Commerce Code and pursuant to the Code of Ordinances of the City of College Station, Chapter 9: Subdivisions, for the Account and DEVELOPER for an amount up to ONE HUNDRED THIRTY THOUSAND AND NO/100 DOLLARS ($130,000.00). This amount is available by your draft(s) payable at sight when accompanied by the following: 1. Sworn Statement by a duly authorized representative of the City of College Station, Texas, stating that Developer has/have defaulted and failed to complete the performance and construction of the improvements described below in accordance with the Chapter 9 of the Code of Ordinances of the City of College Station, Texas, and that the proceeds from this Letter of Credit will either be utilized by the City of College Station, Texas, to complete such construction or will be returned by the City of College Station to the Issuing Bank. INTER NATIONAL BANK SPECIAL TERMS & CONDITIONS: 1. All banking fees/expenses/charges incurred are for the account of Developer. This Letter of Credit is issued in conjunction with the development of Developer in the City of College Station,Texas, specifically for the following: To guarantee the payment and performance of the proposed construction of the water, sanitary sewer, storm sewer and street improvements in Valley Park Center Subdivision, Texas, for a period not to exceed one (1) year from the date hereof. 2. Disbursements pursuant to this Letter of Credit will never exceed the above-stated amount, less any amount released by the City of College Station, Texas. The amount of credit under this Letter of Credit may be reduced upon approval and acceptance by the City of College Station of completed improvements, which reduction may only be made with the written authorization of the Director of Development Services of the City of College Station. 3. In accordance with Section 5.106 of the Texas Business and Commerce Code, this Letter of Credit may be modified, upon the execution and delivery to Issuer of a sworn statement giving consent to modification by the Director Services of the City of College Station. 4. The Issuer of this Letter of Credit has caused this Letter to be signed by the undersigned officer authorized attesting officer and s led with the .eal of Issuer. INTE' TIONAL C ANK g BY: ILI RotertJ.Hy r -1, Executive Vice President TITAN VALLEY PARK,LIMITED PARTNERSHIP, A NEW MEXICO LIMITED PARTNERSHIP BY: TITAN D VELOPMENT OF TEXAS,LLC, A NEW M-,...7, I O LIMITED LIABILITY COMPANY, GENERA TNER BY: R N W.MILLS,CO-MANAGING MEMBER