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<br />200609624
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<br />Property, the successor trustee shall succeed to all the title, power and duties conferred upon the Trustee
<br />herein and by applicable law.
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<br />30. OTHER DOCUMENTS. The undersigned has also executed other Loan Documents
<br />simultaneously with the Note and this Security Instrument. The parties hereto agree that said Loan
<br />Documents shall survive the closing, and that a default or violation of anyone Loan Document is a
<br />default or violation of all Loan Documents, and that as a result thereof, the Security Instrument can be
<br />foreclosed or a default can be declared.
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<br />31. ANNUAL OPERATING STATEMENTS. Borrower shall furnish to Lender, Borrower
<br />certified annual operating statements for the Property by April 1 of each year during the term of the loan,
<br />which statements shall be prepared in accordance with generally accepted accounting principles
<br />consistently applied. Said statements shall include a rent roll, gross income (itemized as to source),
<br />operating expenses (itemized) and net income before federal income taxes.
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<br />Borrower shall furnish to Lender, annual financial statements for the Borrower by April 1 of
<br />each year during the loan term. Said statements shall include a balance sheet, profit and loss statement,
<br />and any supplemental schedules. If Borrower fails to furnish said statements, Lender shall, at its option,
<br />have the right to audit Borrower's books and records. Upon request, Borrower will also provide copies
<br />of its federal income tax returns to Lender.
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<br />Guarantors, Raymond J. O'Connor and Jennifer S. O'Connor, shall submit personal financial
<br />statements dated and signed certifying to the accuracy of the statement by April 1 of each year during the
<br />term of the loan. Said personal financial statements must be current (not more than 60 days old) when
<br />submitted to Lender. Upon request, Guarantors will also provide copies of their respective federal
<br />income tax returns to Lender.
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<br />32. SECONDARY FINANCING. Borrower hereby agrees that there shall be no secondary
<br />financing on the Property without the prior written consent of Lender.
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<br />33. CONSTRUCTION LOAN PROVISIONS. Borrower agrees to comply with the covenants
<br />and conditions of the Construction Loan Agreement, if any, which is hereby incorporated by reference in
<br />and made a part of this Security Instrument. All advances made by Lender pursuant to the Construction
<br />Loan Agreement shall be indebtedness of Borrower secured by this Security Instrument, and such advances
<br />may be obligatory as provided in the Construction Loan Agreement. All sums disbursed by Lender prior to
<br />completion of the improvements to protect the security of this Security Instrument up to the principal
<br />amount of the Note shall be treated as disbursements pursuant to the Construction Loan Agreement. All
<br />such sums shall bear interest from the date of disbursement at the rate stated in the Note, unless collection
<br />from Borrower of interest at such rate would be contrary to applicable law in which event such amounts
<br />shall bear interest at the highest rate which may be collected from Borrower under applicable law and shall
<br />be payable upon notice from Lender to Borrower requesting payment therefore.
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<br />From time to time as Lender deems necessary to protect Lender's interests, Borrower shall, upon
<br />request of Lender, execute and deliver to Lender, in such form as Lender shall direct, assignments of any
<br />and all rights or claims which relate to the construction of the Property and which Borrower may have
<br />against any party supplying or who has supplied labor, materials or services in connection with construction
<br />of the Property. In case of breach by Borrower of the covenants and conditions of the Construction Loan
<br />Agreement, Lender, at Lender's option, with or without entry upon the Property, (i) may invoke any of the
<br />rights or remedies provided in the Construction Loan Agreement, (ii) may invoke all rights and remedies
<br />provided in this Security Instrument, including the acceleration of all sums secured by this Security
<br />Instrument, or (iii) may exercise any other right or remedy available to Lender under the Loan Documents or
<br />such remedies as may be provided at law or in equity. All such rights and remedies shall be cumulative.
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<br />34. REQUEST FOR NOTICE. Borrower and Lender hereby request that a copy of any notice
<br />of default and notice of sale made or executed by Trustee pursuant to the provisions hereof be sent to
<br />Borrower and Lender at their respective mailing addresses set forth above.
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<br />35. CROSS-DEFAULT PROVISION. In the event Borrower fails to comply with or is in
<br />default or breach of or fails to perform any term, obligation, covenant or condition contained in any other
<br />agreement between Lender and Borrower, including any other loan, obligation, debt or liability of
<br />Borrower to Lender, whether Borrower may be liable individually or jointly with others, whether
<br />obligated as guarantor, surety, accommodation party or otherwise, then such failure, default or breach
<br />shall constitute an event of default under this Security Instrument and Borrower further covenants and
<br />agrees that any event of default under the Note or this Security Instrument shall likewise constitute an
<br />event of default under any and all other loans, obligations, debts or liabilities of Borrower to Lender.
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