Common use of Modification or Alteration of Facilities; No Liens Clause in Contracts

Modification or Alteration of Facilities; No Liens. The Lessee shall have the privilege at its own cost and expense of making substitutions, additions, modifications and improvements to the Facilities, and the same shall be the property of the Lessor and be included under the terms of this Lease as part of the Facilities; provided, however, that (i) such remodeling, substitution, addition, modification and improvement shall not in any way damage the Facilities or cause them to be used for purposes other than those authorized under the constitutional provisions and laws applicable to the Lessee, (ii) the Facilities, as improved or altered upon completion of remodeling, substitution, addition, modification, and improvement made pursuant to this Section 5.3(e) shall be of a value not less than the value of the Facilities immediately prior to the remodeling or the making of substitutions, additions, modifications and improvements, and (iii) the tax-exempt status of the Bonds will not be adversely affected. Any property for which a substitution or replacement is made pursuant to this Section may be disposed of by the Lessee in any manner and in the sole discretion of the Lessee, subject to any requirements of the Vendor. Neither the Lessor nor the Lessee will permit any mechanic's or other lien to be established or remain against or the Facilities for labor or materials furnished in connection with any remodeling, substitution, addition, modification, improvement, repair, renewal or replacement so made by the Lessee or permit any other lien or encumbrance to be made against the Facilities at any time during the Lease Term or while the Bonds are outstanding, except for Permitted Encumbrances.