HomeMy WebLinkAbout2026-06-01 I01D_04 Consent to Collateral Assignment_Waukee Towne Center, Wells Fargo BankAGENDA ITEM:
CITY OF WAUKEE, IOWA
CITY COUNCIL MEETING COMMUNICATION
MEETING DATE: June 1, 2026
AGENDA ITEM:Consideration of approval of a resolution approving and authorizing execution
of a Consent to Collateral Assignment of Amended and Restated Agreement
for Private Development from Waukee Towne Center, LLC and Waukee
Towne Center II, LLC to Wells Fargo Bank, National Association
FORMAT:Resolutions
SYNOPSIS INCLUDING PRO & CON: The City has previously entered into a development
agreement and several amendments with Waukee Towne Center, LLC and
Waukee Towne Center II, LLC for development of the property located at the
southwest corner of Hickman Road and Alice’s Road.
The developer has entered into an agreement for financing which requires a
collateral assignment of the Amended and Restated Development Agreement
to the financing agency, Wells Fargo. The Amended and Restated
Development Agreement requires the City to consent to any requests for
assignment.
FISCAL IMPACT INCLUDING COST/BENEFIT ANALYSIS:
COMMISSION/BOARD/COMMITTEE COMMENT:
RECOMMENDATION: The City Attorney has reviewed the Consent to Assignment and has
prepared the resolution. Staff would recommend approval.
ATTACHMENTS: I. Proposed Resolution
II. Collateral Assignment
PREPARED BY:Brad Deets, City Administrator
REVIEWED BY:
PUBLIC NOTICE INFORMATION –
NAME OF PUBLICATION:
DATE OF PUBLICATION:
I1D4
RESOLUTION NO. ______
RESOLUTION APPROVING AND AUTHORIZING
EXECUTION OF A CONSENT TO COLLATERAL
ASSIGNMENT OF AMENDED AND RESTATED
AGREEMENT FOR PRIVATE DEVELOPMENT FROM
WAUKEE TOWNE CENTER, LLC AND WAUKEE TOWNE
CENTER II, LLC TO WELLS FARGO BANK, NATIONAL
ASSOCIATION
WHEREAS, on the 18th day of September, 2023, the City of Waukee, Iowa ("City"),
Waukee Towne Center, LLC, and Waukee Towne Center II, LLC (individually and collectively,
jointly and severally, the "Borrower") entered into an Amended and Restated Agreement for
Private Development, as amended by a First Amendment dated March 3, 2025 (collectively, the
("Development Agreement"), pursuant to which the Borrower agreed to construct certain Phase
One Improvements and Phase Two Improvements (collectively, the "Minimum Improvements"),
and the City agreed to provide certain Economic Development Grants (as defined in the
Development Agreement) to the Borrower in exchange for Borrower’s obligations under the
Development Agreement; and
WHEREAS, at the request of Borrower, the Public Finance Authority, a unit of
government and a body corporate and politic under the laws of the State of Wisconsin ("Issuer")
has agreed to issue its not to exceed $70,000,000 Taxable Revenue Bonds, Series 2026 (Waukee
Towne Center Project) (the "Bonds"), pursuant to the terms of a Financing Agreement dated as
of May 1, 2026 (the "Financing Agreement"), by and among the Issuer, Borrower and Wells
Fargo Bank, National Association (the "Purchaser"); and
WHEREAS, Purchaser has agreed to purchase the Bonds from Issuer and, as a condition
thereto, Purchaser has required Borrower to enter into a Continuing Covenant Agreement dated
as of May 1, 2026, between Borrower and Purchaser (the "Continuing Covenant Agreement");
and
WHEREAS, the proceeds from the sale of the Bonds to Purchaser will be loaned by
Issuer to Borrower in one or more advances (the "Loan") in accordance with the Financing
Agreement and the Continuing Covenant Agreement and used by Borrower to finance the
Minimum Improvements; and
WHEREAS, the City has received a request from the Borrower and Purchaser to consent
to a proposed Collateral Assignment of Amended and Restated Agreement for Private
Development (the "Assignment") by and between the Borrower and the Purchaser, pursuant to
which, among other things, the Borrower would assign all of its rights to the Development
Agreement and Economic Development Grants (as defined in the Development Agreement) as
additional security for the Loans under the Continuing Covenant Agreement; and
WHEREAS, the City is willing to provide such consent to the proposed Assignment,
under the terms and conditions set forth in the Consent to Collateral Assignment of Amended
and Restated Agreement for Private Development ("Consent") attached to the Assignment.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF WAUKEE, IOWA:
Section 1. That the form and content of the Consent, the provisions of which are
incorporated herein by reference, be and the same hereby are in all respects authorized, approved
and confirmed, and the Mayor and the City Clerk be and they hereby are authorized, empowered
and directed to execute, attest, seal and deliver the Consent for and on behalf of the City in
substantially the form and content now before this meeting, but with such changes,
modifications, additions or deletions therein as shall be approved by such officers, and that from
and after the execution and delivery of the Consent, the Mayor and the City Clerk are hereby
authorized, empowered and directed to do all such acts and things and to execute all such
documents as may be necessary to carry out and comply with the provisions of the Consent as
executed.
PASSED AND APPROVED this 1st day of June, 2026.
______________________________________
Mayor
ATTEST:
__________________________________
City Clerk