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200905358
<br />ARTICLE VIII
<br />TITLE
<br />Section 8.1. Title. During the Term of this Lease, legal title to the Improvements
<br />and any and all repairs, replacements, substitutions and modifications thereto shall be in Lessor.
<br />Legal title to the Land shall remain in the Association, subject to the Lessor's and the Lessee's
<br />interests under the Ground Lease. Upon the payment by Lessee of all Rental Payments as
<br />indicated in Exhibit B, or the exercise by Lessee of its option to purchase the Project pursuant to
<br />Article X, full and unencumbered legal title to the Project shall pass to Lessee, and Lessor shall
<br />have no further interest therein; and Lessor shall execute and deliver to Lessee such documents
<br />as Lessee may request to evidence the passage of legal title to the Project to Lessee and the
<br />termination of Lessor's interest therein. Nothing herein shall require Lessor to remove any lien,
<br />charge or encumbrance upon legal title to the Project not arising through Lessor.
<br />Section 8.2. Liens. During the Term of this Lease, Lessee shall not, directly or
<br />indirectly, create, incur, assume or suffer to exist any mortgage, pledge, lien, charge,
<br />encumbrance ar claim on or with respect to the Project, other than the respective rights of Lessor
<br />and Lessee as herein provided and Permitted Encumbrances. Except as expressly provided in
<br />Section 7.3 and this Article, Lessee shall promptly, at its own expense, take such action as rna.y
<br />be necessary duly to discharge or remove any such mortgage, pledge, lien, charge, encumbrance
<br />or claim if the same shall arise at any time. Lessee shall reimburse Lessor for any expense
<br />incurred by Lessor in order to discharge or remove any such mortgage, pledge, lien, charge,
<br />encumbrance or claim. The Lessee shall have the right to grant licenses and make short term
<br />contracts (permitting use for any duration of less than 50 days time) for the use of the Project in
<br />the ordinary course of managing the Project as a recreational facility for use by the general
<br />public, so long as such licenses and/or contracts do not affect the tax-exempt status of the interest
<br />component of the Rental Payments.
<br />Section 8.3. Installation of Lessee's E ui ment. Lessee may at any time and
<br />from time to time, in its sole discretion and at its own expense, install items of equipment in or
<br />upon the Project, which items shall be identified by tags or other symbols affixed thereto as
<br />property of Lessee. All such items so identified shall remain the sole property of Lessee, in
<br />which Lessor shall have no interest, and may be modified or removed by Lessee at any time
<br />provided that Lessee shall repair and restore any and all damage to the Project resulting from the
<br />installation, modification or removal of any such items. Nothing in this Lease shall prevent
<br />Lessee from purchasing items to be installed pursuant to this Section under a conditional sale or
<br />lease with option to purchase contract, or subject to a vendor's lien or security agreement, as
<br />security for the unpaid portion of the purchase price thereof, provided that no such lien ar
<br />security interest shall attach to any part of the Project.
<br />Section 8.4. Modification ~f,Praject. Lessee shall, at its own expense, have the
<br />right to make repairs to the Project, and to make repairs, replacements, substitutions and
<br />modifications to all or any of the parts thereof. All such work and any part or component used or
<br />installed to make a repair or as a replacement, substitution or modification, shall thereafter
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