re leas able docs hilton ventures 090711

8/3/2019 Re Leas Able Docs Hilton Ventures 090711

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USDA ..t..-s:

Un. . . . . . . . . . . . . . . . . . . . . . . of AgrIcuIt......... Development

State OffIceJune 15, 2007

Stephen A. LaRoque, Executive DirectorPiedmont Development Company, Inc.POBox 10342213 Hull Road Suite 8Kinston, NC 28503

Re; Hilton PartnershipDear Mr. LaRoque:We have reviewed the 5150,000.00loan request submitted by Mark Hilton- individual and TonyHilton - individual for the purpose of fmancing working capital for real estate leasing business. Thebusiness will retain 2 and create 1 jobs residents in Catawba and surrounding counties.Based on the infonnation provided, the total project cost is 5205,000.00. This project includes workingcapital needs and unit acquisition in the amount of5205,000.00. This represents 1000.4 ofthe projectcost.Therefore, the Intennediary Relending Program loan in the amount of$lJv.'VV\.1"vvECDC-RLF in the amount of525,OOO.OO(12.19%) and applicant contributionwill constitute 100% of the project cost. This also meets the 75125 criteria U"'..;"'AA ....,.,.4274-D section 331 (b) (2).

The project based on the infonnation submitted has been classified as a Categorical Exclusionand all applicable certifications have been received.wo6 Bland Road, Suita 280 Raleigh. North Carolina 27609Phone: (019)8734000 Fax: (018) 8 7 ~ 0 7 5 TDD: (818) 873-2003 Web: h l I p - J ~ . I U I d e v . u a d a . g o v / n c

Commltlild to the Mute of na l CXII'JII1unHIeL
http:///reader/full/5150,000.00http:///reader/full/5205,000.00http:///reader/full/5205,000.00http:///reader/full/of525,OOO.OOhttp:///reader/full/5150,000.00http:///reader/full/5205,000.00http:///reader/full/5205,000.00http:///reader/full/of525,OOO.OO


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Please provide our office with the applicable copies of the loan documents immediately after the loanfor Mark Hilton- individual and Tony Hilton - individual has been closed.

Sincerely,

GEORGE L. VITAL Business Program Specialist Attachments


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PDC Piedmont Development Company, loc. PO Bos 1034 Kinston, N.C. 18503Phone 251-527-3399 Fax 151-517-3799

June 15, 2007Mr. George VitalUSDA Rural DevelopmentSuite 2604405 Bland RoadRaleigh, NC 27609Dear Mr. Vital:Re: Hilton PartnershipI am submitting documentation for a $150,000.00 IRP loan request by Hilton Partnership. Thisis a real estate investment partnership located at 1351 Northern Drive. Conover, CatawbaCounty, NC. Loan funds will be used for the purchase of 41 mobile home rental units. Thisloan will accompany an additional loan from ECDC for $25,000.00. These loans will account for85% of the total project costs. The borrower is Hilton Partnership. They have been in thisbusiness since2002. This loan will create one new job and save two existing jobs for a total ofthree jobs. .

The project is located in and will serve a rural area as defined by Rural Business CooperativeService. The proceeds will be used for an eligible project that complies with Rural BusinessCooperative Service statutes, and regulations. We have determined that no conflict of interestexists between the borrower, Rural Business Cooperative Service, and East CarolinaDevelopment Company, Inc.The Board of Directors of Piedmont Development Development Company, Inc. has approvedthis loan as submitted toamount of $150,000new job.

I am on this loan to the applicant in thefive years. This loan will help create 3Sincerely,East carolina Development Company, Inc. is an equal opportunity lender.IRP-16
http:///reader/full/150,000.00http:///reader/full/25,000.00http:///reader/full/150,000.00http:///reader/full/25,000.00


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Stephen LaRoque Executive Director enclosures

East Carolina Development Company. Inc. is an equal opportunity lender.IRP16 o


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o'FORM 1940 - 20

C. 117 (6) REQUEST FOR ENVIRONMENTAL INFORMATIONProject Name _____ . . . ; ; . H . . ; ; . : I . : : : . L T . . ; . . O . . ; . . N ~ P _ A . . ; . . . R : . . : . T . . ; . . N . . ; ; ; ; E . . ; . . R . . ; ; ; . S . ; ; . . ; H . ; ; . : . I P______Location 1351 Northern Drive, Conover, NC

Item 1a. Has a Federal, State, or Local Environmental Statement or Analysis been prepared forthis project 0 Yes No1b. If "No", provide the information requested in instructions as EXHIBIT I.

Item 2. The State Historic Preservation Officer (SHPO) has been provided a detailed projectdescription and has been requested to submit comments to the appropriate FmHA Office.Yes @ Date description submitted to SHPO(...JeJf"k'"1 ay,ittfItem 3. Are any of the following land uses or environmental resources either to be effected by theproposal or located within or adjacent to the project site(s)? (Check appropriate box for

every item of the checklist).Yes No Unknown

1 Industrial 0 Iv! 02 Commercial 0 0 03 Residential [2 j 0 04 Agricultural 0 [2J 05 Grazing 0 Iv! 06 Mining, Quarrying 0 0 07 Forests 0 I vi 08 Recreational 0 Iv l 09 Transportation 0 U2J 010 Parks 0 ua 011 Hospitals 0 U2J 012 Schools 0 Iv l 013 Open Spaces 0 Iv l 014 Aquifer Recharge Area 0 Iv l 015 Steep Slopes 0 U2l 016 Wildlife Refuge 0 Iv! 017 Shoreline 0 0 0


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o Yes No Unknown

18 Beaches D 0 D19 Dunes D [2J D20 Estuary D G2J D21 Wetlands D Iv l D22 Floodplain D Iv l D23 Wilderness D D(designated or proposed under the Wilderness Act)24 Wild or Scenic River D D(proposed or designated under the Wild andScenic Rivers Act)25 Historical, Archeological Sites D D(Listed on the National Registry of Historic Placesor which may be eligible for listing)26 Critical Habitats D [Z ] D(endangered/threatened species)27 Wildlife D [2 ] D28 Air Quality D Iv l D29 Solid Waste management D [ZJ D30 Energy Supplies D [0 D31 Natural Landmark D D(Listed on National Registry of Natural Landmarks)32 Coastal Barrier Resources System D 0 DItem 4. Are any facilities under your ownership, lease, or supervision to be utilized in theaccomplishment of this project, either listed or under consideration for listing on theEnvironmental Protection Agency's list of Violating Facilities?

DYes IXI No OS/24/07~ M a r k Hilton (Date)


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oPosition 3

USDA-FmHA 1. DescriptionForm FmHA 1940-22 a. Name of Project:(Rev. 6-88) Hilton Partnershipb. Project Number: Piedmont DevelopmentENVIRONMENTAL CHECKLIST FOR RBEGIIRPCATEGORICAL EXCLUSIONS c. Location: Conover, NC

2. Protected ResourcesFor the below listed land uses or environmental resources, the undersignedhas checked Column A to indicate those that are present within the site(s) of theproposed action. Column B has been checked for those that are within theaction's area of environmental impact, such as the areas adjacent to theproposed site(s). Column C has been checked for those land uses and environmental resources that will be affected by the proposed action, as defined inSection 1940.317. (Check appropriate box or circle, as provided. I f a checkappears in any circle in column A, B, or C, the environmental assessment fora Class I action must be completed).

a. Wetlands .........................................................................................b. Floodplains with existing structure( s) ...............__ ....................__ . __ .. __ ......_c. Floodplains without existing structure(s)d. Wilderness (designated or proposed under the Wilderness Act) ..... ______.... __ .e. Wild or Scenic River (proposed or designated under the Wild and ................

Scenic Rivers Act)f. Historical, Archeological Sites (listed on the National Register

Historic Places or which may be eligible for listing)g. Critical Habitat or Endangered/Threatened Species (listed or proposed) .. __ ..h. Coastal Barrier included in Coastal Barrier Resources System ..................._

Natural Landmark (listed on National Registry ofNatural Landmarks) .........j. Important Farmlands . __.. _ ..... __ . __ ....___ .................._..... __ .. __ ...................._k. Prime Forest Lands ... _ .......................................___ ........ ___ ........ ____ .... __I. Prime Rangeland .............--..................- ...... ----- ...... - .................- .....m. Approved Coastal Zone Management Area __ .......................__ ................ __n. Sole Source Aquifer Recharge Area ......................................................

(designated by Environmental Protection Agency)o. State Water Quality Standard .............................................................

.A..Located onProposedSite(s)

Yes No000000

00000000

.a .c.Located within Affected byActions's Area of ProposedEnvironmentalImpact Action

Yes No Yes No0 00 00 00 00 00 00 00 00 00 00 00 00 00 0

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Page 2 o3. Compliance With Highly Erodible Land and Wetland Conservation Requirements

DYe s No This action is subject to the highly erodible land and wetland conservation requirements contained in ExhibM of FmHA Instruction 1940-G.

If "yes' is checked, complete (a), (b), (c), and (d).

a. Attached as Exhibit__ s a completed Form SCS-CPA-026 which documents the following: DYes D No Highly erodible land is present on the farm property. DYes D No Wetland is present on the farm property. DYes D No Converted wetland is present on the farm property.

b. DYes D No This action qualifies for the following exemption allowed under Exhibit M:

c. DYes D No The applicant must complete the following requirements prior to approval of the action in order to retain regain its eligibility for FmHA financial assistance:

d. 0 Yes D No Under the requirements of Exhibit M, the applicant's proposed activities are eligible for FmHA financiassistance.

4. Finding

This proposal meets, in terms of its size and components, the criteria for a categorical exclusion as defined in Sections 1940.3 1and 1940.317. As indicated in item 2 above, the proposal does not affect any important land uses or environmental resourcesth ould subject it ~ ' ~ l i f i ion as a categorical exclusion. Finally, the proposal is neither a phase nor segment of a proj ieh when vi ();:,e " mee"h"equi.emen" of a catogo.ieal oxclusion pc< Section 1940 317 (d).

f r ; - ! : ; ; ~ U(*Signature ofPreparer)George L. Vital- Business Program Speciali t

(Date)Zeb Steven Byrd - Director- Business Coop. Services

(Title)* See Section 1940.302 for listing of FmHA officials authorized to prepare this form. See Section 1940.316 for when a concurring official's signaturerequired and who is authorized to sign as the concurring official. 'US.GPO 1995.655.0091225


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C.114

o NO CONFLICT OF INTEREST

BETWEEN PIEDMONT DEVELOPMENT COMPANY, INC.

AND HILTON PARTNERSHIP

Piedmont Development Company, Inc., and its principal officers, including immediate family holdsno legal or financial interest or influence in the ultimate recipient. Hilton PartnershipThe ultimate recipient. Hilton Partnership . its principal officers. includingimmediate family, hold no legal or financial interest in Piedmont Development Company. Inc.

Stephen LaRoque, Executive DirectorPiedmont Development Company. Inc. Mark HiltonHilton Partnership

05/24/07(Date)


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o BANK REJECTION ANDIOR COMMITMENT LETTER

HILTON PARTNERSHIP

"The loan is not otherwise available on reasonable (Le., usual and customary) rates and terms fromprivate sources or other Federal, State or local program$. The intermediary and ultimate recipientare unable to finance the proposed project from their own resources or through commercial creditor other Federal, State, or local programs at reasonable rates and terms."

Bank Rejection Letters from:

CAPITAL BANK

BANK OF GRANITE

Mark Hilton 05/24/07(Date)

Stephen LaRoque, Executive Director 05/24/07(Date)


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o RIGHT TO REQUEST SPECIFIC REASONS FOR CREDIT DENIAL

May 29,2007

RE: Commercial Loan RequestApplication Date: April 25, 2007Amount: $205,000.00Purpose: To purchase 41 mobile homesCollateral: 41 individual mobile homes

Dear Mark Hilton:, :'.Thank you for applying to us for the above referenced loan request. Af ter carefully reviewing yourapplication, we are sorry to advise you that we cannot grant a loan to you at this time.If you would like a s tatement of specific reasons why your application was denied, please contact ourcompliance officer at the address listed below. We will provide you with the statement of reasons within30 days after receiving your request.

Capital Bank Attn: TERESA GRIGSBY 333 Fayetteville Street, Suite 400 Raleigh, NC 27601 (919) 645-6370D We obtained information from a consumer reporting agency as part of our consideration of yourapplication, its name, address, and toll free number is listed below. The report ing agency played nopart in our decision and is unable to supply specific reasons why we have denied credit to you. Youhave the right under the Fair Credit Reporting Act to know the information contained in your credit fileat the consumer reporting agency. You have a right to a free copy of your report from the reportingagency, if you request it no later than 60 days after you receive this notice. In addition, if you find thatany information contained in the report you receive is inaccurate or incomplete, you have the right todispute the matter with the reporting agency. You can find out about the information contained in your

file by contacting:D Equlfax Consumer Relations D Experlan D TransUnlon

P.O. Box 740241 P.O. Box 2002 P.O. Box 1000Atlanta, GA 30374 Allen, TX 75013 Chester, PA 19022(800) 685-1111 (888) 397-3742 (800) 888-4213www.eguifax.com www.experian.com www.transunion.com

[K] Our credit decision was based In whole or in part on information obtained from an affiliate or from anoutside source other than a consumer reporting agency. Under the Fair Cred it Reporting Act, you havethe right to make a written request, no later than sixty (60) days after you received this notice, fordisclosure of the nature of this information.Name: M. Kent Walker Title: Commercial Relationship Mgr.

EQUAL CREDIT OPPORTUNITY ACT NOTICEThe federal Equal Credit Opportunity Act prohibits creditors from discrimination aga inst credi t applicantson the basis of race, color, religion, national origin, sex marital status, age (provided the applicant has thecapacity to enter into a binding contract); because all or part of the applicant's income derives from anypublic assistance program; or because the applicant has in good faith exercised any right under theConsumer Credit Protection Act. The federal agency that administers compliance with this lawconcerning this creditor is:

FDIC Consumer Response Center 2345 Grand Ave Suite 100 Kansas City, MO 64108
http:///reader/full/205,000.00http:///reader/full/205,000.00


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o NOTICE OF ACTION TAKEN {} PRINCIPAL R E A ~ N ( S ) FOR CREDIT DENIAL, TERMltIn"ION, CHANGE OR OTHER ACTION TAKEN CONCERNING CREDIT BANK OF GRANITE Date 5/29/07AddressPO Box 1567Conover NC 28613Applicant Mark K Hilton NOTICE: The federal Equal Opportuni ty Act prohibits creditors from discriminaApplicant against credit applicants on the basis of race, color, religion, national origin, Mailing AddressCity. State. Zip

1351 Northern Dr NWConover NC 28613marital status, age (provided the applicant has the capacity to enter into a bindcontract); because all or part of the applicant's income derives from any puassistance program; or because the applicant has in good faith exercised any runder the Consumer Credit Protection Act. The federal agency that adminiscompliance with this law concerning this creditor isFederal Deposit Insurance CorporationConsumer Response Center2345 Grand Boulevard, Suite 100Kansas City, Missouri 64108

Thank you for your application.Description of Account, Transaction, or Requested Credit Loan to purchase mobile homesBased on your application. we must inform you thato We are unable to make a decision on your application because the following information is missingPlease provide the requested information to us by so that we may give your application further consideration.o We are unable to offer you credit on the terms that you requested. We can, however, offer you credit on the following terms

If this offer is acceptable to you, please notify us by[8] We regret that we are unable to approve your request for the following reason(s):o Credit application incomplete 0 Length of employment o No credit fileo Insufficient number of credit 0 Unable to verify employment o Limited credit experiencereferences provided 0 Temporary or irregular employment o Poor credit performance with uso Unacceptable type of credit 0 Unable to verify income o Delinquent past or present credit obligationsreferences provided 0 Income inSUfficient for amount with otherso Unable to verify credit references of credit requested o Garnishment, attachment, foreclosure, repossession,o Length of residence 0 Excessive obligations in relation collection action or judgemento Temporary residence to income o Bankruptcyo Unable to verify residence 0 Sufficient unsecured credit for o Slow or past due in trade or loan payments

reported income[8] Value or type of collateral not sufficiento Other, specifyIf you have any questions regarding this notice, you should contact Vicki A LovettTelephone 828-464-4539o Our credit decision was based in whole or in part on information obtained in a report from the consumer reporting agency listed below. You have aright under the Fair Credit Reporting Act to know the information contained in your credit file at the consumer reporting agency. The reporting agencyplayed no part in our deCision and is unable to supply specific reasons why we have denied credit to you. You also have a right to a free copy of youreport from the reporting agency. if you request it no later than 60 days after you receive this notice. In addition, if you find any information contained inthe report that you receive is inaccurate or incomplete, you have the right to dispute the matter with the reporting agency.Name: EaUIFAX CREDIT INFORMATION SERVICES, INC.Address: 1150 Lake Hearn Drive Suite 460, Atlanta, GA 30374-0241Telephone: 1-800-685-1111o Our credit decision was based in whole or in part on information obtained from an affiliate or from an outside source other than a consumer reportingagency. Under the Fair Credit Reporting Act, you have the right to make a written request, no later than 60 days after you receive this notice, fodisclosure of the nature of this information.o NOTICE OF RIGHT TO RECEIVE COPY OF APPRAISALYou have the right to a copy of the appraisal report used in connection with your application for credit. If you wish to receive a copy, please write to us athe mailing address we have provided. We must hear from you no later than 90 days after we notify you about the action taken on your crediapplication or your withdrawal of your application. In your letter, include the following information: date of application, name(s) of loan applicant(s)property address, and your current mailing address.


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o FORM 1940 - Q

LOBBYING FORM BETWEEN

PIEDMONT DEVELOPMENT COMPANY, INC. AND

HILTON PARTNERSHIP

The undersigned states that to the best of his or her knowledge and belief that if any funds havebeen paid or will be paid to any person for influencing or attempting to influence an officer oremployee of any agency, a Member of Congress, or an employee of a Member of Congress inconnection with this commitment providing for the United States to insure or guarantee a loan, theundersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying,"in accordance with its instructions.Submission of this statement is a prerequisite for making or entering into this transaction imposedby section 1352, title 31, US Code. Any person who fails to file the required statement shall besubject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure.

Mark Hilton Piedmont Development Company, Inc. Hilton Partnership ~ ~ , ~ 05/24/07(Date)


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C.114

o NO CONFLICT OF INTEREST

BETWEEN PIEDMONT DEVELOPMENT COMPANY, INC.


Piedmont Development Company, Inc., and its principal officers, including immediate family holdsno legal or financial interest or influence in the ultimate recipient. Hilton PartnershipThe ultimate recipient, Hilton Partnership , its principal officers, includingimmediate family, hold no legal or financial interest in Piedmont Development Company, Inc.

iedmont Development Company, Inc. Mark HiltonHilton Partnership05/24/07(Date)


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o C,128 CERTIFICATION OF ELIGIBILITY AND COMPLIANCE

BETWEEN EAST CAROLINA DEVELOPMENT COMPANY, INC.


Piedmont Development Company, Inc., hereby certifies that Hilton Partnershipis an eligible recipient. the proposed loan is for eligible purposes, and the proposed loan complieswith all applicable statutes and regulations.

iedmont Development Company, Inc.Mark Hilton

Hilton Partnership05/24/07(Date)


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o C. 118 (A) (7) (IV)

CERTIFICATION OF FLOOD PLAIN STATUS

The undersigned hereby certifies that the property to be purchased and or collateralized by theproposed loan is not located in a flood hazard zone as defined by the US Department of Housingand Urban Development.

05/24/07Mark Hilton (Date)Hilton Partnership


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o o RURAL CERTIFICATION

The undersigned hereby certifies that the assistance requested in the application will be used tocarry out activities or projects located in or servicing residents of a rural area. "Rural Area" shallmean all territory of a state that is not within the outer boundary of any city having a population oftwenty-five thousand or more and its immediate adjacent urban area with a population density ofmore than one hundred persons per square mile as determined by the Secretary of Agricultureaccording to the latest Decennial Census.

Stephen LaRoque, Executive DirectorPiedmont Development Company, Inc.

Mark HiltonHilton Partnership

05/24/07(Date)


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o o C. 117 (C)

NONDISCRIMINATION CERTIFICATION

The undersigned does hereby certify that the applicant organization does not deny services,employment, or membership to persons based on political preference, race, religion, age, sex,sexual preference, disability, or marital status.

05/24/07 Mark Hilton (Date)

Hilton Partnership


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o CITIZENSHIP CERTIFICATION

I hereby certify that I am a United States Citizen.

05/24/07Mark Hilton (Date)Hilton Partnership

re leas able docs hilton ventures 090711

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