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<br />200804831
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<br />(k) To borrow from the Bank such funds as may be reasonably necessary to
<br />the effective exercise of the receiver's powers, on such terms as may be agreed upon by the
<br />receiver and the Bank, but not in excess ofthe Default Rate under the Note; and
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<br />(1) Generally do anything which Borrower could legally do if Borrower were
<br />in possession of the Property.
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<br />(m) All expenses incurred by the receiver or the receiver's agent shall
<br />constitute part of the Secured Obligations. Any revenues collected by the receiver shall be
<br />applied first to the expenses of the receivership (including attorneys' fees incurred by the receiver
<br />and by Bank), to expenses of the Property, and to preserve, protect, maintain and operate the
<br />Property and any other collateral which is security for the Secured Obligations, and the balance
<br />shall be applied toward the Secured Obligations or any deficiency which may result from any
<br />foreclosure sale, and then in such other manner as the court may direct. Unless sooner
<br />terminated with the express consent of the Bank, any such receivership will continue until all
<br />amounts remaining due under the Note have been discharged in full, or until title to the Property
<br />has passed after foreclosure sale and all applicable periods of redemption have expired, and in
<br />either case, the court has discharged the receiver. Borrower covenants to promptly reimburse
<br />and pay to Bank or such receiver, at the place where the Note is payable, or at such other place as
<br />may be designated in writing, the amount of all reasonable expenses (including the cost of any
<br />insurance, taxes, or other charges) incurred by Bank or such receiver in connection with its
<br />custody, preservation, use or operation of the Property, together with interest thereon from the
<br />date incurred by Bank or such receiver at the Default Rate, as set forth in the Note, and all such
<br />expenses, costs, taxes, interest, and other charges shall be part of the Secured Obligations. It is
<br />agreed, however, that the risk of accidental loss or damage to the Property is undertaken by
<br />Borrower and, except for Bank's or such receiver's willful misconduct or gross negligence, Bank
<br />or such receiver shall have no liability whatsoever for decline in value of the Property, for failure
<br />to obtain or maintain insurance (provided, however, that to the extent that there is sufficient cash
<br />flow from the Property, Bank or such receiver shall use available funds for maintenance of
<br />insurance), or for failure to determine whether any insurance ever in force is adequate as to
<br />amount or as to the risks insured, or to complete development.
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<br />7.11 Further Assurances. Upon issuance of a deed or deeds pursuant to foreclosure of
<br />this Deed of Trust, all right, title, and interest of the Borrower in and to the Leases shall, by
<br />virtue of this instrument, thereupon vest in and become the absolute property of the grantee or
<br />grantees in such deed or deeds without any further act or assignment by the Borrower. Borrower
<br />hereby agrees to execute all instruments of assignment or further assurance in favor of such
<br />grantee or grantees in such deed or deeds, as may be necessary or desirable for such purpose.
<br />But nothing contained herein shall prevent Bank from terminating any subordinated Lease or
<br />Contract not approved by the Bank through such foreclosure.
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<br />ARTICLE 8.
<br />ASSIGNMENT OF RENTS AND REVENUES
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<br />8.1 Assignment of Rents and Revenues. To further secure the Secured Obligations,
<br />Borrower does hereby sell, assign and transfer unto the Bank all rents, issues, profits, revenue,
<br />and income now due and which may hereafter become due under or by virtue of any Leases,
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<br />I03209-60617-957802v5
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<br />us Bank / Riverbend Apartments Phase I
<br />Deed of Trust
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