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DEED OF TRUST
<br />Loan No: 1551209 200207138 (Continued) Page 2
<br />written consent.
<br />Removal of Improvements. Trustor shall not demolish or remove any Improvements from the Real Property without Lenders prior written
<br />consent. As a condition to the removal of any Improvements, Lender may require Truster Is make arrangements satisfactory to Lender to
<br />replace such Improvements with Improvements of al least equal value.
<br />Lender's Right to Enter. Lender and Lender's agents and representatives may enter upon the Reel Properly at all reasonable times to
<br />attend to Lender's interests and to inspect the Real Property for purposes of Truslei s comp lacy a with the terms and conditions 01 this Deed
<br />of Trust.
<br />Compliance with GovernmenMl Requirements. Truslor shall promptly comply with all laws, ordinances, and regulations, now or thereafter
<br />in amount, at all governmental authorities applicable to the use or occupancy of the Peabody, including without branch, the Americans With
<br />Disabilities Act. Truster may contest In good faith any Such law, ordinance, or regulation and withhold compliance during any proceeding,
<br />Including appropriate appeals, so long as Trustor has barred Lender in wrlmng prior to doing so and so long as in Lender 'a sole opinion,
<br />Lender's interests in the Properly are not jeopardized. Lender may require Traylor to pest adequate security or a surety bond, reasonably
<br />satisfactory to Lender, to project Lender s interest.
<br />Duly to Protect. Trustor agrees neither to abandon or leave unattended the Property. Trustor shall do all other sots, in addition Io (hose
<br />eels set forth above In this Mellon. which from the character and use of the Property are reasonably nacossery to project and preserve the
<br />Property.
<br />TAXES AND LIENS. The Following provisions relating to the taxes and liens on the Property are part of this Deed of Trusf.
<br />Payment. Truster shall pay when due (end in all events prim to delinquency) all taxes, special taxes, assessments, charges (including water
<br />and sewer), fines and impositions levied against or on account of the Property, and shall pay when due all claims for work done on or for
<br />services rendered Or material furnished to the ProperTy. Trustor shall maintain the Properly hoe of all liens having Onodly over or equal to the
<br />interest of Lender under this Deed of Trust, except for the Ilan OI taxes and assessments not due, except for the Existing Indebtedness
<br />referred to below, and except as ether and provided In this Deed of Trust.
<br />Right Ip Conrad. Truslor may withhold payment of any tax, assessment, or claim In cometcllon with a good faith dispute over the obligation
<br />to pay so long as Lender's Interest In the Properly Is not jeopardized- IF a lien vises or is filed as a result of nonpayment Trader shall within
<br />fifteen 115) days after the Ilan arises or, It a Ilan Is filed, within flXeen (15) days agar Truster has notice of the flung, secure the discharge OF the
<br />lien, or IF requested by Lender, deposd with Lender cash or s sufficient corporate surety bond or other security satisfactory to Lender in an
<br />cunt sufficient to discharge its Ilan plus any costs and diamond fees, or other charges that could ewrue as a result of a foreclosure or
<br />the Properi Truster shall name Lender as eo additional Obliges under errandreel bond furnished In the contact against
<br />surety
<br />Evidence of Payment. Truslor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or assessments and sh ell
<br />authorize IM1e appropriate governmental official to deliver to Lender at any time a written statement of the lases and assessments against the
<br />Property.
<br />Notice of OOnstruclon. Trustor shall notify Lender at leas! fifteen (16) days before any work Is commenced, any services are furnished, Or
<br />any materials are supplied to the Property, If any mechanic's Ilan, mate mmenS lien, ar other Ilan could be asserted on account of the work,
<br />staccatos, or procuale. Trustor will even request of Lender furnish to Lender advance assurances satisfactory to Lender that Truslor can and
<br />will pay the COSI OF such improvements.
<br />PROPERTY DAMAGE INSURANCE. The following provisions reNling to Insuring the Property area part of this Deed of Trust.
<br />Maintenance of Insurance. Trustor Shall procure and maintain pChdre of lire insurance with standard extended coverage endorsements an
<br />a lair value basis for the Full Insurable value covering all Improvements on the Reel Property in an amount sufficient to avoid application of
<br />FLY coinemnce clause, and with a standard mortgagee clause m favor of Lender. Truslor shall also procure and maintain comprehensive
<br />general (lability insurance in such coverage amounts as Lender may request with Trustee and Lender being named as addirienal insureds in
<br />such Mobility Insurance policies. Additionally, Truster shall maintain such ether insurance, Including but not limited to M1azard, business
<br />Interruption, and boiler Insurance, as Lender may reasonably require. POICKS shall be written In Form, amounts, coverages and basis
<br />onamy acceptable to Lender and Issued by a company or Companies reasonably acceptable to Lender. Truslor, upon request of
<br />Lender, will deliver to Lender from Ilene to time the policies Or cerllficates M resonance in Form Satisfactory to Lender, Including stipulations
<br />that coverages will not be cancelled or diin nlsM1ed without at least thirty (30) days prior written notice to Lender. Each insurance policy also
<br />shall Include an endorsement providing that coverage In favor of Lender will not be Impaired In any way by any act, omission or default of
<br />Trustor or any other person. Should the Real Property be Iocaled in an area designated by the Director of the Federal Emergency
<br />Management Agency as a special flood hazard Probe TNStor agrees t0 obtain and maintain Federal Flood Insurance, 'rf available, within 45
<br />days alter notice Is given by Lender that the Property 15located In a special flood hazard area, for the full unpaid principal balance of the (Dan
<br />and any prior (lens on the properly securing the loan, up to the maximum policy limits set under the National Flood Insuance Program, or as
<br />otherwise required by Lender, and to maintain such Insurance for the tern of the loan.
<br />Application of Proceeds. Truslor shall pmmplly notify Lender Of any loss or damage to the Properly. Lender may make proof of less If
<br />Trustor taus to do so within fineer (15) days of the casualty. whether or not Lenders security is Impaired, Lander may, at enders election,
<br />receive and retain the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness, Payment of any lien shooting
<br />a
<br />the Penalty. or me restoration and repair of the Property_ It Lender elects Ie apply the proceeds to restoration and repay, Turns shell
<br />repair or replace the damaged or dashoyed Improvements In a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such
<br />expenditure, pay or reimburse Truslor from Pe proceeds for the reasonable cost of repair w restoration IF Trustor Is n0t In default under this
<br />Used of Trust. Any proceeds which have not been disbursed within 18D days after (heir receipt and which Lender has not committed to the
<br />repair or restoration of the Pmpedy shall be used first t0 pay any amount owing to Lender under this Deed of Trust, then to pay accrued
<br />Interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. II Lender M1olds any pr0eeds after payment
<br />In all of the Indebtedness, such proceeds shall be paid to Truslor as Local's Interests may appear.
<br />Troubles Report On Insurance. Upon request of Londe , however not more than Once a year, Trustor shall furnish to Lender a report on
<br />each edsllng policy of Insurance showing_ (1) the name of the Insurer; (2) the risks insured; (3) the amount of the policy; j4) the
<br />properly Insured, the then current replacement value of such property, end the manner Of determining that value; and (5) the expiration
<br />date of the policy. Truster shaft, upon request of Lender have an Independent appraiser saltsfaclory to Lender determine the cash value
<br />replacement cool of the Property.
<br />LENDER'S EXPENDITURES. IF any action or proceeding is commenced IIIat would materially other Lenders interest in the Properly or if Trustor
<br />fails to comply with any provision of this Deed of Trust or any Related Document, Pending but not limited to Tradition 9 Failure to discharge or pay
<br />when due any amounts Truslor IS required to discharge or pay under this Deed of Trust or any Related Decum omp Lender on Tmslor'S behalf
<br />may (but shall not be obligated to) lake any action that Lender deems appropriate, including but not limited to discharging or paying all lazes,
<br />liens, uriy interests, encumbrances and other claims, at any time levied Or placed On the Properly and paying all costs for insuring, maintaining
<br />andpreshrving the Properly All such expenditures incurretl or paid by Lender for such purposes will then bear Interest at the rate charged under
<br />the Note from the dale incurred or paid by Lender to the data of repayment by Truster All such expenses will become a pert of the Indebtedness
<br />and at Landed option, will (A) be Payable on demand, (B) be added to the balance of the Note and be apportioned among and be payable
<br />with any Installment payments to become due during either (1) the term of any applicable Insurance policy; or (2) the remaining term of the
<br />Note; Or (C) be treated as a balloon payment Which will be due and payable at the Note's maluriny The Dead of Trust also will secure payment
<br />of these amounts. Soon right shall be In etldifion to all other right and remedies to which Lender may be emitted upon Default.
<br />WARRANTY; DEFENSE OF TITLE. The following previsions totaling to ownership of the Property are a part of this Deed of Trusf.
<br />Title. Trustor warrants that'. (a) Truslor holds good and marketable the of record to the Property in fee simple, free and clear of all liens and
<br />umbmnces other than (hose set forth In the Real Property Speculation or In any title Insurance policy, tlue report, or final Mlle opinion
<br />sued In favor of, and accepted fry, Lender In connection with this Deed of Trust, and du Trustor has the full rlghl, power, and authority to
<br />execute and deliver this Deed of Trust 10 Lender.
<br />Defense of Title. Subject to the exception In the paragraph above. Leader warrants and will forever defend the the to the Property against
<br />Le der a Claims of e d of trust ITuylor shall defend the aproceeding
<br />tion at Truslor8 expense tTrusteBSmay be ire nomttna'rpartyinterest such of Trustee ng,
<br />Lamer under this Deed of Trost expense sea mesa
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