HomeMy WebLinkAboutProposed Ordinance - 9/30/2025SALT LAKE CITY ORDINANCE
No. _____ of 2025
(Ordinance approving a $40,000 loan for Rich’s Grub Houses LLC d/b/a Rich’s Burgers N Grub, at 30 E
Broadway from the Economic Development Loan Fund)
WHEREAS, Salt Lake City Corporation’s (“City”) Economic Development Loan Fund
(“EDLF”) is a program to stimulate local business development, encourage private investment, enhance
neighborhood vitality, and boost commercial enterprise in Salt Lake City.
WHEREAS, the EDLF is administered by the Department of Economic Development (“DED”)
and loan applications are first prescreened by DED staff and then reviewed by the EDLF Loan
Committee.
WHEREAS, the EDLF Loan Committee and DED staff recommend the approval of the attached
loan term sheet for a $40,000 loan to Rich’s Grub Houses LLC d/b/a Rich’s Burgers N Grub, a local
business located at 30 E Broadway.
NOW, THEREFORE, be it ordained by the City Council of Salt Lake City, Utah, that:
SECTION 1. Loan Approval. The City Council approves the loan outlined in the Term Sheet
attached hereto, subject to revisions that do not materially affect the rights and obligations of the City
hereunder. The City Council authorizes the Mayor to negotiate and execute the loan agreement and any
other relevant documents consistent with the Term Sheet, and incorporating such other terms and
agreements as recommended by the City Attorney’s office.
SECTION 2. Effective Date. This ordinance shall become effective on the date of its first
publication.
Passed by the City Council of Salt Lake City, Utah, this ______ day of
_____________________, 2025.
Chris Wharton, Council Chair
ATTEST AND COUNTERSIGN:
______________________________
CITY RECORDER
Transmitted to Mayor on _______________________.
Mayor's Action: _______Approved. _______Vetoed.
______________________________
MAYOR
______________________________
CITY RECORDER
(SEAL)
Bill No. ________ of 2025.
Published: ______________.
APPROVED AS TO FORM
Salt Lake City Attorney’s Office
Date: September 9, 2025
/s/ Sara Montoya
Sara Montoya, City Attorney
LOAN TERM SHEET
Applicant: Rich’s Grub Houses LLC d/b/a Rich’s Burgers N Grub
Address: 30 E Broadway
Salt Lake City, UT 84111
Proposed Loan Terms
Loan Amount: $40,000
Monthly Payment: $674.43
Loan Terms: 7 Years
Interest Rate Calculation Prime Interest Rate: 7.50% (At the time of completion for Part B of the
Application on July 11, 2025)
Plus EDLF Charge: 4%
Less Discount: 1% for each
• Priority Area (CBD CRA Project Area)
Final Interest Rate: 10.5%
Use of Funds: Machinery & Equipment, Leasehold Improvements
Loan Type: Existing
Collateral: Equipment
Personal Guarantees: Richard Shellene
Conditions for Closing
• None
• Obtain all City approvals, execute all loan documents as deemed necessary by City legal counsel
and DED staff, such other terms as recommended by City legal counsel and DED staff.