Agreement of Landlord to Cooperate with Syndication of Tax Credits. Landlord hereby acknowledges that the right to syndicate the low-income housing tax credits under Section 42 of the Internal Revenue Code (“Tax Credits”) allocated to the Project is a material benefit bargained for by Tenant. Therefore, Landlord agrees that notwithstanding anything else in this Lease to the contrary, Tenant shall have the right to syndicate the Tax Credits allocated to the Project and Landlord shall cooperate with Tenant in connection with any syndication of the Tax Credits. To effectuate any such syndication, Tenant may elect to: (a) form a condominium on the Project such that one or more condominium units contain all of the low-income units which can be conveyed to a syndication company; or (b) enter into a master sublease whereby all of the low-income rental units are subleased to a syndication company. Furthermore, Tenant shall not be charged any fee by Landlord in connection with a syndication of the Tax Credits allocated to the Project or require the reimbursement of any costs incurred in connection with the admission of a Person who will claim the Tax Credits with respect to the Project as a partner or member of Tenant under its organizational documents. Landlord acknowledges and agrees that the Project may be operated and maintained in accordance with all requirements related to the Tax Credits (while such requirements remain effective against the Tax Credits) notwithstanding any provision of this Lease to the contrary.
Agreement of Landlord to Cooperate with Syndication of Tax Credits. Landlord hereby acknowledges that the right to syndicate the low-income housing tax credits (the “Tax Credits”) allocated to the Project is a material benefit bargained for by Tenant. Therefore, Landlord agrees that notwithstanding anything else in this Lease to the contrary, Tenant shall have the right to syndicate the Tax Credits allocated to the Project and Landlord shall cooperate with Tenant in connection with any syndication of the Tax Credits. To effectuate any such syndication, Tenant may elect to: (a) form a condominium on the Project such that one or more condominium units contain all of the low-income units which can be conveyed to a syndication company; or (b) enter into a master sublease, or bifurcate this lease into two or more leases to separate the leasehold interest, whereby all of the low-income rental units are subleased to a syndication company. Furthermore, Tenant shall not be charged any fee by Landlord in connection with a syndication of the Tax Credits allocated to the Project or require the reimbursement of any costs incurred in connection with the admission of a Person who will claim the Tax Credits with respect to the Project (the “Tax Equity Investor”) as a partner or member of Tenant under its organizational documents. Landlord acknowledges and agrees that the Project may be operated and maintained in accordance with all requirements related to the Tax Credits (while such requirements remain effective against the Tax Credits (the “Tax Credit Period”)) notwithstanding any provision of this Lease to the contrary. In addition, notwithstanding anything in Article 24 to the contrary, during any Tax Credit Period where a Tax Equity Investor is a partner, member or shareholder of Tenant, a Tax Equity Investor shall be afforded the notice and cure rights of a Mortgagee under Section 10.04(c) above (the parties agreeing that any notice given to a Tax Equity Investor under Section 25.01 will also be deemed to satisfy the notice requirement of Section 10.04(c)), provided however, that Landlord and Tenant agree that the Tax Equity Investor shall only be afforded the additional cure periods set forth in Section 10.04(c) if Tenant has terminated (or terminates prior to the end of the notice and cure period for such Event of Default) Tenant’s property manager and replaces such property manager with an Approved Property Manager (that is not an Affiliate of the terminated property manager) under the Lease.
Agreement of Landlord to Cooperate with Syndication of Tax Credits. (a) Landlord hereby acknowledges that the right to syndicate the low-income housing tax credits (the “Tax Credits”) allocated to the Project is a material benefit bargained for by Tenant. Therefore, Xxxxxxxx agrees that Xxxxxx will have the right to syndicate the Tax Credits allocated to the Project and Landlord will reasonably cooperate with Tenant in connection with any syndication of the Tax Credits.
