99106858 - Laserfiche WebLink

Browse

99 �os �� s respect to the Project for federal income tax and financial accounting purposes or would be so chargeable either with a proper election by the Borrower or but for the proper election by the Borrower to deduct those amounts;provided,however,that only such portion of the interest accrued on the Bonds and credit enhancement fees, if any, attributable to the period of the construction of the Project shall constitute Qualified Project Costs as bear the same ratio to all such interest or fees, as applicable, as the Qualified Project Costs bear to all Project Costs; provided further that such interest shall cease to be a Qualified Proj ect Cost on the Completion Date;and provided finally that if any portion of the Project is being constructed by the Borrower or an Affiliated Party(whether as a general contractor or a subcontractor), "Qualif ed Project Costs" shall include only(a)the actual out-of-pocket costs incurred by the Borrower or such Affiliated Party in constructing the Project(or any portion thereo�, (b) any reasonable fees for supervisory services actually rendered by the Borrower or such Affiliated Party(but excluding any profit component),(c)costs to the extent such costs are used to finance qualified residential rental property described in Section 142(d)of the Code and Section 1.103-8(b)of the Regulations thereunder and(d)any overhead expenses incurred by the Borrower or such Affiliated Party which are directly attributable to the work performed on the Project, and shall not include, for example, intercompany profits resulting from members of an affiliated group(within the meaning of Section 1504 of the Code)participating in the construction of the Project or payments received by such Affiliated Party due to early completion of the Project (or any portion thereo�. Qualified Project Costs do not include Costs of Issuance, letter of credit fees and municipal bond insurance premiums (including related collateral fees, counsel fees and other expenses), leasing commissions, costs of advertising for the Project or other costs related to the rental of Dwelling Units in the Praject, or management fees for the management and operation of the Project and do not include any amount which is incurred after the date 18 months after the later of the date on which the Project was acquired or the date on which the Bonds were issued. "Qualified ProjectPeriod'means the longer ofthe Qualified Project Period(Bonds) and the Qualified Project Period(LIHTC). "Qualified Project Period(Bonds)" means the period beginning on the first day on which 10% of the Dwelling Units are occupied and ending on the latest of(a) the date which is 15 years after the date on which 50%of the Dwelling Units are occupied,(b)the first date on which no tax-exempt private activity bond(as that phrase is used in Section 142(d)(2)of the Code)issued with respect to the Project is outstanding or (c) the date on which any assistance provided with respect to the Project under Section 8 of the Housing Act terminates. "Qualified Project Period(LIHTC)" means the period beginning on the first day on which the Project is placed in service and ending on the date 30 years after the Occupancy Date. "Regulations" means the Income Tax Regulations promulgated or proposed (if deemed appropriate in the opinion of Bond Counsel)by the Department of the Treasury pursuant to the Code from time to time. "Regulatory AgreemenP' means this Regulatory Agreement and Declaration of Restrictive Covenants,together with any amendments or supplements hereto,as it may be amended from time to time. 8