Common use of Distribution of Net Proceeds of Sale or Refinancing A Clause in Contracts

Distribution of Net Proceeds of Sale or Refinancing A. Upon a Refinancing and upon a Sale that does not constitute a Sale of all or substantially all of the Facilities or Operating Partnership Interests, Net Proceeds from a Refinancing or Net Proceeds from a Sale, as the case may be, shall be distributed, credited and applied in the following order of priority: (i) First, to the Investors until each Investor has received an amount equal to his unpaid Preferred Return, if any, and then his Adjusted Capital Balance.