Common use of Eligibility Reserves Clause in Contracts

Eligibility Reserves. In the event that the Borrowers shall be required to (a) make a prepayment in respect of any Financed Property pursuant to Section 2.05(b)(vi) or (vii) (other than in the case of any Property that constitutes a Disqualified Property or a Disqualified Non-Conforming Property due to the occurrence of a Prohibited Action in respect thereof) or (b) any Financed Property shall become a Specified Property that is not a Permitted Specified Property, the Borrowers may have an option to deposit into the Eligibility Reserve Account, an amount equal to 100% of the Allocated Loan Amount for any Financed Property described in clause (a) and/or (b) above (the “Eligibility Reserves”). The Borrowers shall provide the Calculation Agent with written notice of any such Eligibility Reserves and, within the applicable time periods specified in Section 2.05(b)(vi) or (vii), as applicable, that the Borrowers would otherwise be required to make a prepayment, shall deposit such Eligibility Reserves with the Paying Agent for transfer to the Eligibility Reserves Account. Provided no Default or Event of Default exists, the Paying Agent shall disburse the Eligibility Reserves with respect to a Property to the Borrower Representative (as directed in writing by the Administrative Agent pursuant to Section 6.13(e)) upon (i) sale or refinancing of such Property and payment in full of the applicable Release Amount, (ii) in respect of any Disqualified Property or Disqualified Non-Conforming Property, upon such Property meeting all of the Eligibility Criteria set forth on Schedule I-A, (iii) in respect of any Disqualified Non-Conforming Property, upon such Property meeting all of the Eligibility Criteria set forth on Schedule I-B so long as no more than 180 days have passed since the original Borrowing Date in respect of such Non-Conforming Property or (iv) in respect of any Specified Property, upon such Property becoming a Stabilized Property. Notwithstanding the foregoing, if the Administrative Agent notifies the Borrowers that the applicable Borrower is required to sell or transfer a Disqualified Property or a Non-Conforming Property, as applicable, pursuant to Section 10.22, the Borrowers shall not be permitted to maintain Eligibility Reserves in respect of such Property and shall be required to prepay the Obligations in the applicable Release Amount in respect of such Property within two (2) Business Days from such notice.

Eligibility Reserves. In the event that the Borrowers shall be required to (a) make a prepayment in respect of any Financed Property pursuant to Section 2.05(b)(vi) or (vii2.05(b)(v) (other than in the case of any Property that constitutes a Disqualified Property or a Disqualified Non-Conforming Property due to the occurrence of a Prohibited Action in respect thereof) or (b) any Financed Property shall become a Specified Property that is not a Permitted Specified Long-Term Vacant Property, the Borrowers may have an option to deposit into the Eligibility Reserve Account, an amount equal to 100% of the Allocated Loan Amount for any Financed Property described in clause (a) and/or (b) above (the “Eligibility Reserves”). The Borrowers shall provide the Calculation Agent with written notice of any such Eligibility Reserves and, within the applicable time periods specified in Section 2.05(b)(vi) or (vii2.05(b)(v), as applicable, that the Borrowers would otherwise be required to make a prepayment, shall deposit such Eligibility Reserves with the Paying Agent for transfer to the Eligibility Reserves Account. Provided no Default or Event of Default exists, the Paying Agent shall disburse the Eligibility Reserves with respect to a Property to the Borrower Representative (as directed in writing by the Administrative Agent pursuant to Section 6.13(e)) upon (i) sale or refinancing of such Property and payment in full of the applicable Release Amount, (ii) in respect of any Disqualified Property or Disqualified Non-Conforming Property, upon such Property meeting all of the Eligibility Criteria criteria set forth on Schedule I-A, or (iii) in respect of any Disqualified NonLong-Conforming Term Vacant Property, upon such Property meeting all of satisfying the Eligibility Criteria set forth on Schedule I-B so long as no more than 180 days have passed since the original Borrowing Date in respect of such Non-Conforming Property or (iv) in respect of any Specified Property, upon such Property becoming Leasing Condition and constituting a Renovated Stabilized Property. Notwithstanding the foregoing, if the Administrative Agent notifies the Borrowers that the applicable Borrower is required to sell or transfer a Disqualified Property or a Non-Conforming Property, as applicable, pursuant to Section 10.22, the Borrowers shall not be permitted to maintain Eligibility Reserves in respect of such Property and shall be required to prepay the Obligations in the applicable Release Amount in respect of such Property within two (2) Business Days from such notice.