Common use of Mezzanine Loan Option Clause in Contracts

Mezzanine Loan Option. Lender shall have the right, at no material cost to Borrower, at any time to divide the Loan into two parts (the “Mezzanine Option”): a mortgage loan (the “Mortgage Loan”) and a mezzanine loan (the “Mezzanine Loan”). The principal amount of the Mortgage Loan plus the principal amount of the Mezzanine Loan shall equal the outstanding principal balance of the Loan immediately prior to the creation of the Mortgage Loan and the Mezzanine Loan. In effectuating the foregoing, Lender (in its capacity as the lender under the Mezzanine Loan, the “Mezzanine Lender”) will make a loan to the direct or indirect owner of Borrower (in its capacity as the borrower under the Mezzanine Loan, the “Mezzanine Borrower”); Mezzanine Borrower will contribute the amount of the Mezzanine Loan to Borrower (in its capacity as Borrower under the Mortgage Loan, “Mortgage Borrower”) and Mortgage Borrower will apply the contribution to pay down the Loan to its Mortgage Loan amount. The Mortgage Loan and the Mezzanine Loan will be on the same terms and subject to the same conditions set forth in this Agreement, the Note, the Mortgage and the other Loan Documents and shall not increase Borrower’s obligations or decrease Borrower’s rights hereunder in a material manner except as follows:”

Mezzanine Loan Option. Without limiting Borrower’s rights under Section 8.1(i), Lender shall have the right, at no material cost to Borrower, right at any time to divide the Loan into two parts (the “Mezzanine Option”): a mortgage loan (the “Mortgage Loan”) and a mezzanine loan (the “Mezzanine Loan”). The principal amount of the Mortgage Loan plus the principal amount of the Mezzanine Loan shall equal the outstanding principal balance of the Loan immediately prior to the creation of the Mortgage Loan and the Mezzanine Loan. In effectuating the foregoing, Lender (in its capacity as the lender under the Mezzanine Loan, the “Mezzanine Lender”) will make a loan to the direct or indirect owner borrower of Borrower (in its capacity as the borrower under the Mezzanine Loan, which will be Xxxxxxx Properties–355 S. Grand Mezzanine, LLC (the “Mezzanine Borrower”); Mezzanine Borrower will contribute the amount of the Mezzanine Loan to Borrower (in its capacity as Borrower under the Mortgage Loan, “Mortgage Borrower”) and Mortgage Borrower will apply the contribution to pay down the Loan to its Mortgage Loan amount. The Mortgage Loan and the Mezzanine Loan will be on the same terms and subject to the same conditions set forth in this Agreement, the NoteNotes, the Mortgage and the other Loan Documents and shall not increase Borrower’s obligations or decrease Borrower’s rights hereunder in a material manner except as follows:”

Mezzanine Loan Option. Lender shall have the right, at no material cost to Borrower, at any time to divide the Loan into two parts (the “Mezzanine Option”): a mortgage loan (the “"Mortgage Loan”) and a mezzanine loan (the “Mezzanine Loan”). The principal amount of the Mortgage Loan plus the principal amount of the Mezzanine Loan shall equal the outstanding principal balance of the Loan immediately prior to the creation of the Mortgage Loan and the Mezzanine Loan. In effectuating the foregoing, Lender (in its capacity as the lender under the Mezzanine Loan, the “Mezzanine Lender”) will make a loan to the direct or indirect owner of Borrower (in its capacity as the borrower under the Mezzanine Loan, the “Mezzanine Borrower”); Mezzanine Borrower will contribute the amount of the Mezzanine Loan to Borrower (in its capacity as Borrower under the Mortgage Loan, “Mortgage Borrower”) and Mortgage Borrower will apply the contribution to pay down the Loan to its Mortgage Loan amount. The Mortgage Loan and the Mezzanine Loan will be on the same terms and subject to the same conditions set forth in this Agreement, the Note, the Mortgage and the other Loan Documents and shall not increase Borrower’s obligations or decrease Borrower’s rights hereunder in a material manner except as follows:”

Mezzanine Loan Option. Without limiting Borrower’s rights under Section 8.1(i), Lender shall have the right, at no material cost to Borrower, right at any time to divide the Loan into two parts (the “Mezzanine Option”): a mortgage loan (the “Mortgage Loan”) and a mezzanine loan (the “Mezzanine Loan”). The principal amount of the Mortgage Loan plus the principal amount of the Mezzanine Loan shall equal the outstanding principal balance of the Loan immediately prior to the creation of the Mortgage Loan and the Mezzanine Loan. In effectuating the foregoing, Lender (in its capacity as the lender under the Mezzanine Loan, the “Mezzanine Lender”) will make a loan to the direct or indirect owner borrower of Borrower (in its capacity as the borrower under the Mezzanine Loan, which will be Xxxxxxx Properties-355 S. Grand Mezzanine, LLC (the “Mezzanine Borrower”); Mezzanine Borrower will contribute the amount of the Mezzanine Loan to Borrower (in its capacity as Borrower under the Mortgage Loan, “Mortgage Borrower”) and Mortgage Borrower will apply the contribution to pay down the Loan to its Mortgage Loan amount. The Mortgage Loan and the Mezzanine Loan will be on the same terms and subject to the same conditions set forth in this Agreement, the NoteNotes, the Mortgage and the other Loan Documents and shall not increase Borrower’s obligations or decrease Borrower’s rights hereunder in a material manner except as follows:”