Below are the minutes from the meeting.
2011 Special Board of Directors Meeting about Loan/Mortgage Approval on August 10, 2011
A. Meeting via conference call started at 8:07 pm
- On the call are Board Members Richard Maltz, Chris Burke, Chris Bartnik and Jim Stuhltrager.
- Jim Smith is unable to call in, but has provided a proxy to Richard Maltz for his vote.
B. Chris Burke cover details of the loan from Nittany Bank and 2nd loan from Norwich Housing Corporation of Theta Chi Fraternity.
$516,000 Nittany Bank (5.25% pts)
$ 64,000 Borrower's Equity
$ 80,000 2nd Mortgage (Sellers Note) (5 to 7% pts) $660,000 Total
$640,000 Purchase Price
$ 20,000 Estimated closing Costs $660,000 Total
25-year mortgage with a balloon payment in 10 years
Discussion of other options and ramifications of not securing a loan.
We have till September 15th 2011 to close and pay Norwich Housing Corporation.
Norwich Housing Corporation and Nittany Bank will combine audit, appraisal and other loan aspects to save Alumni Corporation money and time of not having to do process twice for both parties.
C. A call to vote is requested by Alumni President Richard Maltz
- All board members vote to secure mortgage from Nittany Bank and a second mortgage from Norwich Housing Corporation.
D. Alumni Board directs Chris Burke to charged with securing loan and buying the chapter house back from Norwich Housing Corporation.
E. Meeting adjourned at 9:10pm
Addendum - September 14th, 2011
On September 14th a vote was held asking the alumni board to approval an increase in our loan request from the Norwich Housing Corporation from $80,000 to $100,000. The measure passed with a 4-0 vote for raising the amount of the loan from Norwich with one abstention.