|
200507874
<br />Work has been completed in compliance with all Legal Requirements, and Lender shall, within twenty (20) days
<br />thereafter, disburse any balance of the Engineering Escrow Sub - Account to Borrower. Should an Event of
<br />Default occur, the sums on deposit in the Engineering Escrow Sub - Account may be applied by Lender in payment
<br />of any Required Engineering Work or may be applied to the payment of the Debt or any other charges affecting
<br />all or any portion of the Cross - collateralized Properties, as Lender in its sole discretion may determine; provided,,
<br />however, that no such application shall be deemed to have been made by operation of law or otherwise until
<br />actually made by Lender as herein provided.
<br />Section 5.13. Loss Proceeds. In the event of a casualty to the Property, unless Lender elects, or is required
<br />pursuant to Article III hereof to make all of the Insurance Proceeds available to Borrower for restoration, Lender and
<br />Borrower shall cause all such Insurance Proceeds to be paid by the insurer directly to the Central Account,
<br />whereupon Lender shall, after deducting Lender's costs of recovering and paying out such Insurance Proceeds,
<br />including without limitation, reasonable attorneys' fees, apply same to reduce the Debt in accordance with the terms
<br />of the Note; rop vided, however, that if Lender elects, or is deemed to have elected, to make the Insurance Proceeds
<br />available for restoration, all Insurance Proceeds in respect of rent loss, business interruption or similar coverage
<br />shall be maintained in the Central Account, to be applied by Lender in the same manner as Rent received with
<br />respect to the operation of the Property; provided, fiu-ther, however, that in the event that the Insurance Proceeds
<br />with respect to such rent loss, business interruption or similar insurance policy are paid in a lump sum in advance,
<br />Lender shall hold such Insurance Proceeds in a segregated interest - bearing escrow account, which shall be an
<br />Eligible Account, shall estimate, in Lender's reasonable discretion, the number of months required for Borrower to
<br />restore the damage caused by the casualty, shall divide the aggregate rent loss, business interruption or similar
<br />Insurance Proceeds by such number of months, and shall disburse from such bank account into the Central Account
<br />each month during the performance of such restoration such monthly installment of said Insurance Proceeds. In the
<br />event that Insurance Proceeds are to be applied toward restoration, Lender shall hold such funds in a segregated
<br />bank account at the Bank, which shall be an Eligible Account, and shall disburse same in accordance with the
<br />provisions of Section 3.04 hereof. Unless Lender elects, or is required pursuant to Section 6.01 hereof to make all of
<br />the Condemnation Proceeds available to Borrower for restoration, Lender and Borrower shall cause all such
<br />Condemnation Proceeds to be paid to the Central Account, whereupon Lender shall, after deducting Lender's costs
<br />of recovering and paying out such Condemnation Proceeds, including without limitation, reasonable attorneys' fees,
<br />apply same, by transferring such amounts to the Collection Account, to reduce the Debt in accordance with the
<br />terms of the Note; provided, however, that any Condemnation Proceeds received in connection with a temporary
<br />Taking shall be maintained in the Central Account, to be applied by Lender in the same manner as Rent received
<br />with respect to the operation of the Property; row vided, further however, that in the event that the Condemnation
<br />Proceeds of any such temporary Taking are paid in a lump sum in advance, Lender shall hold such Condemnation
<br />Proceeds in a segregated interest- bearing bank account, which shall be an Eligible Account, shall estimate, in
<br />Lender's reasonable discretion, the number of months that the Property shall be affected by such temporary Taking,
<br />shall divide the aggregate Condemnation Proceeds in connection with such temporary Taking by such number of
<br />months, and shall disburse from such bank account into the Central Account each month during the pendency of
<br />such temporary Taking such monthly installment of said Condemnation Proceeds. In the event that Condemnation
<br />Proceeds are to be applied toward restoration, Lender shall hold such funds in a segregated bank account at the
<br />Bank, which shall be an Eligible Account, and shall disburse same in accordance with the provisions of Section 3.04
<br />hereof. If any Loss Proceeds are received by Borrower, such Loss Proceeds shall be received in trust for Lender,
<br />shall be segregated from other funds of Borrower, and shall be forthwith paid into the Central Account, or paid to
<br />Lender to hold in a segregated bank account at the Bank, in each case to be applied or disbursed in accordance with
<br />the foregoing. Any Loss Proceeds made available to Borrower for restoration in accordance herewith, to the extent
<br />not used by Borrower in connection with, or to the extent they exceed the cost of, such restoration, shall be
<br />deposited into the Central Account, whereupon Lender shall apply the same to reduce the Debt in accordance with
<br />the terms of the Note.
<br />Section 5.14. Mez Payment Sub-Account. Provided that no Event of Default has occurred and is
<br />continuing, on each Payment Date during which the Mez Loan is outstanding, Lender shall transfer to the holder of
<br />the Mez Loan, as identified in writing by a joint direction executed by Borrower and the holder of the Mez Loan, an
<br />amount equal to the Mez Payment Amount. Should an Event of Default occur, the sums on deposit in the Mez
<br />Payment Sub - Account may be applied by Lender to the payment of the Debt or any other charges affecting all or
<br />any portion of the Property, as Lender in its sole discretion may determine; rop vided, however, that no such
<br />1:
<br />
|