ORDINANCE
WHEREAS, the City of Chicago (the "City") is a home rule unit of government under Section 6(a), Article VII of the 1970 Constitution of the State of Illinois and as such may legislate as to matters which pertain to its local government and affairs; and
WHEREAS, the City has determined that the continuance of a shortage of affordable housing to persons of low and moderate income is harmful to the health, prosperity, economic stability and general welfare of the City; and
WHEREAS, the City received an allocation of funds under the Community Development Block Grant Program from the United States Department of Housing and Urban Development (the "Multi-Program Funds") to make loans and grants to expand the long-term supply of affordable housing through, among other things, acquisition and moderate and substantial rehabilitation in low- and moderate-income areas to be administered by the City's Department of Planning and Development ("DPD"); and
WHEREAS, pursuant to an Ordinance approved by the City Council of the City (the "City Council") on May 14, 1997 and published in the Journal of Proceedings of the City Council for such dates at pages 43724-43728, on July 31, 1997 the City made a loan of Multi-Program Funds in the principal amount of $425,452, with an interest rate of one and one-half (1.5%) percent per annum and a term not to exceed 20 years (the "Loan"), to R.M. Newton Development Corporation, a corporation wholly-owned by R.M. Newton, an individual (the "Borrower"); and
WHEREAS, the Loan was secured by, among other things, that certain Junior Mortgage, Security Agreement and Financing Statement dated as of July 31, 1997, made by the Borrower in favor of the City (the "Mortgage"); and
WHEREAS, proceeds of the Loan were used to provide for the rehabilitation of certain improvements located generally at 6213-15 South Greenwood Avenue, in the City (the "Property"); and
WHEREAS, as part of the rehabilitation of the Property, the Borrower entered into a l...
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