200109053 - Laserfiche WebLink

Browse

200109053 transfer or other disposition of the Project, it being understood and agreed that this Section 11 shall not be applicable to any transfer of the Project to or by a Successor in Interest following foreclosure or deed in lieu of foreclosure, provided the conditions of Section 12(b) and (d) are satisfied. Nothing contained in this Section 11 shall affect any provision of any other document or instrument between the Borrower and the Credit Enhancer or any other party which requires the Borrower to obtain the consent of the Credit Enhancer or such other party as a precondition to sale, transfer or other disposition of the Project. Upon any sale or other transfer which complies with this Regulatory Agreement, and upon indemnification of each Indemnified Party by the Borrower for acts or omissions occurring during such period as the Borrower owned the Project, the Borrower shall be fully released from its obligations hereunder, to the extent such obligations have been assumed by the transferee of the Project, without the necessity of further documentation. Section 12. Term. (a) This Regulatory Agreement and each of the provisions hereof shall become effective upon its execution and delivery, and shall remain in full force and effect for the periods provided herein and, except as otherwise provided in this Section 12, shall terminate in its entirety at the end of the Qualified Project Period (Bonds) or the Qualified Project Period (LIHTC), whichever is later, it being expressly agreed and understood that the provisions hereof which are required to remain in effect for the Qualified Project Period (Bonds) shall terminate at the end of the Qualified Project Period (Bonds) and the provisions hereof which are required to remain in effect for the Qualified Project Period (LIHTC) shall terminate at the end of the Qualified Project Period (LIHTC); provided, further, that, except as otherwise provided in this Section 12, the provisions hereof are intended to survive the retirement of the Bonds, discharge of the Mortgage Loan and termination of the Indenture and the Loan Agreement. (b) Specifically with respect to the 15 -year extended use period of the Qualified Project Period (LIHTC), (i) notwithstanding subsection (a) above, the Borrower shall comply with the requirements of Section 42(h) relating to the 15 -year extended use period (30 years total); provided, however, that, with respect to any building that is part of the Project, this Regulatory Agreement shall terminate: (1) on the date such building is acquired by foreclosure or deed in lieu of foreclosure; or (2) if the Borrower has properly requested in accordance with Code Section 42(h)(6) within the period specified in Section 42(h)(6)(I) that the Issuer assist in procuring a "qualified contract," as defined in Section 42 of the Code, for the acquisition of the low- income portion of such building and the Issuer is unable to present a qualified contract, one year after the date the written request was submitted to the Issuer. (ii) Notwithstanding subsection (b)(i) above, certain Section 42 rent requirements shall continue for a period of three years following the termination of this Regulatory Agreement. During such three -year period, the Borrower shall not evict or terminate the tenancy of an existing tenant of any low- income Dwelling Unit other than for good cause and shall not increase the gross rent above the maximum allowed under the Code with respect to such low - income Dwelling Unit. -20-