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6.1. B. - Page 67 NOTE 3 - LOANS RECEIVABLE As of June 30, 2011, loans receivable consist of the following: Wyndham Place First Time Homebuyer Loan Program $ 546,481 City Centre Plaza Loans 1,665,649 First Time Homebuyer Silent Loan Program 557,005 Loans with Non-profits and For Profit Organizations 1,133,153 Housing Rehabilitation Loans 2,191,074 Shores Childcare Loan 2,041,244 Parking Fund Loan 1,300,000 First Community Housing Loan 2,627,000 PAL Loan 300,000 Kainos Home and Training Center Loan 57,500 Total $ 12.419.106 A. Wyndham Place First Time Homebuyer Loan Program The City established a First Time Homebuyer Program during fiscal year 1995 on a specific development sponsored by the Redevelopment Agency called Wyndham Place. The program currently involves the resale of Wyndham units where the City has First Right of Refusal. The City or Agency exercises its First Right of Refusal and markets to solicit qualified buyers. A portion of the City and Agency's Shared Appreciation is used to assist the new buyer in the Resale Program. While the initial program in 1995 made 0% interest loans, current buyers in the Resale Program are assisted according to the needs of the Borrower. Depending on the Borrower's ability to secure private financing for a first mortgage, the City and Agency loan is underwritten based on the Borrower's spendable income. These loans bear no interest and are secured by second deeds of trust on the property, and typically, no payments are due until five years after the date of purchase. As of June 30, 2011 the Agency has outstanding loans of $235,586 to nine Wyndham Place buyers, while the City has loaned $310,895 from the HOME Investment Partnership Block Grant, Community Development Blocl< Grant (CDBG), and Rental Rehabilitation Program (RRP) funds to seven Wyndham Place homebuyers. Since these loans are not currently available for expenditure, fund balance has been reserved in this amount. 8. City Centre Plaza Loans The Redevelopment Agency sold several parcels of land to the developers of the City Centre Plaza project (a residential and commercial development) for $1,700,000 in 1996. The developers constructed City Center Plaza, which contains 81 affordable housing units, a childcare facility, residential and commercial parking, and 17,900 square feet of retail space. The promissory note from Mezes Court Associate in the amount of $1,445,000 is to be repaid through 2028 from surplus revenues generated by the housing project and accrued interest at 3%. The promissory note from J.H.R. Trust in the amount of $255,000 is also due to begin making payments beginning in 2008 and continuing until 2028 and accrues interest at 3% as well. The outstanding balance at June 30, 2011 was $1,665,649. C. First Time Homebuyer Silent Loan Program In 2000, the Redevelopment Agency established a First Time Homebuyer Silent Loan Program. Loans are deferred for the first five years, and then amortized at 4% interest over the remaining 25 years. An 41