Proceedings of the Board of Regents (1936-1939)

SPECIAL DECEMBER:MEETING, 1936 125
tory units to be constructed shall be attached to and connected with the heating
and lighting facilities of the University of Michigan, and that so long as any of
the Certificates of Indebtedness above referred to remain outstanding, in making
up the annual budget of said University the procedure shall be to pay the heating
and lighting costs of said dormitory units from such funds other than the income
from said dormitory units and the dining rooms operated in conjunction therewith
as may legally be used for that purpose.
TRUST AGREEMENT
This Agreement, made and entered into this..........................
day of....................... A.D., 193...., between The Regents of the
University of Michigan, a body corporate, created by and existing under the
Constitution of the State of Michigan, party of the first part, hereinafter sometimes known as "Obligor," and the Ann Arbor Trust Company of Ann Arbor,
Michigan, a Corporation organized under the laws of the State of Michigan, and
qualified to do a trust business, party of the second part, hereinafter sometimes
known as "Trustee."
WITNESSETH:
WHEREAS, The Obligor is desirous of constructing two dormitory units for
the housing of male students at the University of Michigan on property adjacent to the present addition to the Michigan Union Building now being constructed, and described as follows:
"... so much of a certain piece or parcel of real estate as shall be necessary for
the construction of Dormitory Units "E" and "F," located in the City of Ann
Arbor, County of Washtenaw, and State, of Michigan, and described as follows:
"'Lots nineteen (19) and twenty (20) of Block five (5), south of Huron
Street, range eight (8) east, Maynard and Morgan's Addition to the Village
(now City) of Ann Arbor, Washtenaw County, Michigan, according to the
recorded plat thereof,' " and
WHEREAS, The Obligor has power to borrow money and to pledge the income
from a portion of its property to secure the repayment thereof and to make all
necessary and proper instruments therefor; and
WHEREAS, The Obligor, by appropriate resolution, has duly determined to
issue Certificates of Indebtedness in the aggregate principal amount of One
Hundred Eighty-five Thousand Dollars ($185,000) for the purpose of providing
money to be used in acquiring certain real estate in addition to the real estate
now owned by it on which to construct said units; for the construction costs of
said units; for the equipment thereof; to complete and equip the dining rooms
now under construction in the addition being built to the present Michigan Union
Building, to be used as the dining rooms for said dormitory units; and for other
expenses incidental thereto; and to pay interest on the certificates herein authorized
during the period of construction; and
WHEREAS, The Trustee is duly authorized and empowered and is willing to
accept and execute the trust and obligations hereunder,
Now, therefore, in consideration of the premises and of the sum of One
Dollar ($1.00) and other good and valuable considerations, the receipt of which
is hereby acknowledged, the Obligor has covenanted and agreed, and by this
Agreement does hereby covenant and agree with the Trustee, for the equal and
proportionate benefit of the several holders of the Certificates of Indebtedness
hereinafter described, as follows:
ARTICLE I
Section 1. The Certificates of Indebtedness to be issued hereunder shall be
of an aggregate principal sum of One Hundred Eighty-five Thousand Dollars
($185,000), all to be equally secured as hereinafter set forth, and shall be issued
in two series, to be designated as "University of Michigan Dormitory Certificates of Indebtedness of Units 'E' and 'F,' Series A" and "University of Michigan Dormitory Certificates of Indebtedness of Units 'E' and 'F,' Series B."
University of Michigan Dormitory Certificates of Indebtedness of Units "E"
and "F," Series A, shall be dated January 1, 1937, and shall consist of Seventyfive (75) Certificates of Indebtedness of the denomination of One Thousand
Dollars ($1,000) each, numbered 1 to 75, both inclusive, shall bear interest at
the rate of three and one-half per cent (32%) per annum, payable semiannually