Defeasance and Release Sample Clauses

Defeasance and Release. (a) On any Payment Date after the expiration of the Defeasance Lockout Period and prior to the Prepayment Lockout Release Date, provided that no Event of Default has occurred and is continuing and all of the conditions set forth in Section 9.1(b) are complied with, Borrower shall have the right to obtain a release of the Liens of the Security Instrument and the Assignment of Leases on either an Individual Property that has not been subject to a prior Property Release or all of the Individual Properties that have not been subject to prior Property Releases pursuant to and in accordance with the requirements of Section 8.7, upon at least thirty (30) days prior written notice (or such shorter period of time as Lender permits in its sole discretion) and upon satisfaction of the following (such a release, after satisfaction of the other provisions of this Section 9.1(a), a Defeasance): (i) if only a portion of the Loan is the subject of the Defeasance, Borrower shall prepare all necessary documents to modify this Agreement, and to amend and restate the Notes and issue, with respect to each Individual Property that is the subject of a Defeasance, a substitute note in form and substance reasonably acceptable to Lender, dated as of the date of the Defeasance (which must be on a Payment Date), payable to Lender, having a principal balance equal to the Defeasance Collateral Requirement Percentage of the Allocated Loan Amount of the Individual Property which is the Release Property in connection with such Defeasance (each a Defeasance Note) and a series of other notes having an aggregate principal balance equal to the undefeased portion of the Loan (each an Undefeased Note). For purposes of determining the principal balance of each individual Undefeased Note, the principal amount of each Defeasance Note shall be applied on a pro rata basis to reduce the principal amount of each Undefeased Note. Each Defeased Note and Undefeased Note shall otherwise have terms identical to the Notes, except that a Defeased Note cannot be the subject of any further Defeasance Event. (ii) Borrower shall execute and deliver a pledge and security agreement (the Defeasance Security Agreement), in form and substance reasonably acceptable to Lender, dated as of the date of the Defeasance (which must be on a Payment Date), in favor of the Lender, pursuant to which the Lender is granted a perfected first priority security interest in the Defeasance Collateral. (iii) In connection with any Defe...