Capital Reserve Requirements. Developer shall annually set aside and fund the Capital Replacement Reserve amounts defined and required under this Agreement (two percent (2%) of Annual Project Revenues) or shall cause the Property Manager to do so. The Capital Replacement Reserve deposits shall be allocated from the gross rents received from the Site and shall be deposited into a separate interest-bearing trust account. Funds in the Capital Replacement Reserve shall be used for capital replacements to the fixtures and equipment on the Site (including common areas) that are normally capitalized under generally accepted accounting principles and shall include the following: carpet and drape replacement; appliance replacement; exterior painting, including exterior trim; hot water heater replacement; plumbing fixtures replacement, including tubs, showers, toilets, lavatories, sinks, faucets; air conditioning and heating replacement; asphalt repair and replacement, and seal coating; roofing repair and replacement; landscape tree replacement; irrigation pipe and controls replacement; gas line pipe replacement; lighting fixture replacement; elevator replacement and upgrade work; miscellaneous motors and blowers; common area furniture replacement; and common area repainting. The non-availability of funds in the Capital Replacement Reserve does not in any manner relieve Developer of the obligation to undertake necessary capital repairs and improvements and to continue to maintain the Site and all common areas and common improvements in the manner prescribed herein.
Capital Reserve Requirements. Commencing upon the closing for the permanent Primary Loan for Phase I, Developer shall annually set aside an amount of not less than Three Hundred Dollars ($300.00) per Housing Unit (16 Housing Units times $300 equals $4,800) or such increased amount required by TCAC or the Partnership Agreement or the Lender under the Primary Loan for Phase I) from the gross rents received from Phase I, into a separate interest-bearing trust account defined as the Capital Replacement Reserve. Funds in the Capital Replacement Reserve shall be used only for capital repairs, improvements and replacements to Phase I, including fixtures and equipment, which are normally capitalized under generally accepted accounting principles. The non-availability of funds in the Capital Replacement Reserve does not in any manner relieve or lessen Developer’s obligation to undertake any and all necessary capital repairs, improvements, or replacements and to continue to maintain Phase I in the manner prescribed herein for Phase I. Not less than once per year, Developer, at its expense, shall submit to Authority Executive Director an accounting for the Capital Replacement Reserve for Phase I. Capital improvements and repairs to, and replacements at Phase I shall include only those items with a long useful life, including without limitation the following: carpet and drapery replacement; appliance replacement; exterior painting, including exterior trim; hot water heater replacement; plumbing fixtures replacement, including tubs and showers, toilets, lavatories, sinks, faucets; air conditioning and heating replacement; asphalt repair and replacement, and seal coating; roofing repair and replacement; landscape tree replacement; irrigation pipe and controls replacement; sewer line replacement; water line replacement; gas line replacement; lighting fixture replacement; elevator replacement and upgrade work; miscellaneous motors and blowers; common area furniture replacement; and common area repainting. Pursuant to the procedure for submittal of each Annual Budget for Phase I to Executive Director by Developer, Executive Director will evaluate the cumulative amount on deposit in the Capital Replacement Reserve account and exercise his/her sole, reasonable discretion to determine if existing balance(s) in, proposed deposits to, shortfalls, if any, and/or a cumulative unexpended/unencumbered account balance in such Capital Replacement Reserve account are adequate to provide for necessary capital repai...
Capital Reserve Requirements. Developer shall annually set aside an amount of not less than Two Hundred Fifty Dollars ($250.00) per Housing Unit ($13,000/year total units or such increased amount required by TCAC or the Partnership Agreement or the Lender under the Primary Loan) from the gross rents received from the Apartment Complex, into a separate interest-bearing trust account (“Capital Replacement Reserve”). Funds in the Capital Replacement Reserve shall be used only for capital repairs, improvements and replacements to the Apartment Complex, including fixtures and equipment, which are normally capitalized under generally accepted accounting principles. The non-availability of funds in the Capital Replacement Reserve does not in any manner relieve or lessen Developer’s obligation to undertake any and all necessary capital repairs, improvements, or replacements and to continue to maintain the Apartment Complex in the manner prescribed herein. Not less than once per year, Developer, at its expense, shall submit to Authority Executive Director an accounting for the Capital Replacement Reserve. Capital improvements and repairs to, and replacements at the Apartment Complex shall include only those items with a long useful life, including without limitation the following: carpet and drapery replacement; appliance replacement; exterior painting, including exterior trim; hot water heater replacement; plumbing fixtures replacement, including tubs and showers, toilets, lavatories, sinks, faucets; air conditioning
Capital Reserve Requirements. The Authority hereby acknowledges and agrees that any requirement to maintain capital reserves pursuant to Section 3.3.4 of the AHA Agreement may be satisfied at Assignee’s election by any similar capital reserves required by Assignee’s lender and/or California Tax Credit Allocation Committee to be maintained by Assignee (pursuant to any loan documents and/or Capital Needs Covenant), provided that such reserves are greater than or equal to $200 per Unit per year and otherwise comply with the terms of Section 3.3.4 of the AHA Agreement. Notwithstanding the foregoing, as provided in Section
Capital Reserve Requirements. The Authority hereby acknowledges and agrees that any requirement to maintain capital reserves pursuant to Section 3.3.4 of the AHA Agreement may be satisfied at Assignee’s election by any similar capital reserves required by Assignee’s lender and/or California Tax Credit Allocation Committee to be maintained by Assignee (pursuant to any loan documents and/or Capital Needs Covenant), provided that such reserves are greater than or equal to $200 per Unit per year and otherwise comply with the terms of Section 3.3.4 of the AHA Agreement. Notwithstanding the foregoing, as provided in Section
