Property Accounts Clause Samples
The Property Accounts clause establishes the requirement for maintaining detailed records of all financial transactions related to a specific property. Typically, this involves tracking income, expenses, and other monetary activities associated with the property, often by the property manager or owner. By ensuring accurate and transparent accounting, this clause helps prevent disputes over financial management and provides a clear audit trail for all parties involved.
Property Accounts. (a) All funds received by Property Manager derived from the operation of the Property, as well as working capital furnished by Owner, shall be deposited in an account (the "Property Bank Account") in Property Manager’s name, as agent for Owner, in an FDIC-insured bank designated or approved by Owner, which such account will be in compliance with applicable law. Owner may direct Property Manager to change depository banks or the depository arrangements. All funds so deposited shall be deemed to be trust funds held by Property Manager for the benefit of Owner and shall be held and disbursed as provided herein. Property Manager shall establish another custodial and/or trust account as required by applicable law or the Owner for the deposit of tenant security deposits (the "TSD Account").
(b) A Working Capital Reserve equal to Fifty Thousand Dollars ($50,000) (the "Working Capital Reserve") shall be funded upon execution of this Agreement and maintained in the Property Bank Account at all times throughout the term of the Agreement. A monthly cash payment will be made by Property Manager to Owner solely from funds in the Property Bank Account in excess of the amount of the Working Capital Reserve in an amount equal to the excess, if any, of the current month projected cash receipts less the current month's budgeted operating and capital expenditures. This payment will be made to Owner on or before the tenth (10th) day of each month. A reconciliation of receipts and expenditures will be prepared by Property Manager in accordance with Section 6.02 above to account for any prior period operating cash overage or shortage and any additional cash payments due to Owner will be made to Owner no later than the twenty-fifth (25th) day of the current month and any overpayments made to Owner will be returned to Property Manager for deposit in the Property Bank Account no later than the thirtieth (30th) day of the current month.
(c) No non-Property funds shall be commingled with the funds in the Property Bank Account or TSD Account (collectively, the "Accounts"). Property Manager may not, under any circumstances, write a check payable to or in favor of, or transfer funds to, Property Manager or any Affiliate of Property Manager from the Accounts other than to (i) reimburse itself or an Affiliate for expenditures made on behalf of Owner and approved by Owner, or (ii) pay itself the Management Fee or other fee payable hereunder; provided that, within fifteen (15) days after p...
Property Accounts. (a) All funds received by Agent derived from the operation of the Property, as well as working capital furnished by Owner, shall be deposited in an account (the “Property Bank Account”) in Agent’s name, as agent for Owner, in an FDIC-insured bank designated or approved by Owner, which such account will be in compliance with applicable law. Owner may direct Agent to change depository banks or the depository arrangements. All funds so deposited shall be deemed to be trust funds held by Agent for the benefit of Owner and shall be held and disbursed as provided herein. Agent shall establish another custodial and/or trust account as required by applicable law or the Owner for the deposit of tenant security deposits (the “TSD Account”).
(b) No non-Property funds shall be commingled with the funds in the Property Bank Account or TSD Account (collectively, the “Accounts”).
Property Accounts. (a) All funds received by Property Manager derived from the operation of the Property, as well as working capital furnished by Owner, shall be deposited in an account (the “Property Bank Account”) in the Property’s name, as established by Legacy, which such account will be in compliance with applicable law. All funds so deposited shall be deemed to be trust funds held for the benefit of Owner. Legacy shall establish another custodial and/or trust account as required by applicable law or the Owner for the deposit of tenant security deposits (the “TSD Account”).
(b) No non-Property funds shall be commingled with the funds in the Property Bank Account or TSD Account (collectively, the “Accounts”).
(c) Property Manager may not, under any circumstances, write a check transfer funds from the Accounts. Only those persons specifically authorized by Owner shall have authority to write checks from the Accounts.
Property Accounts. Manager shall open a bank account, to be known as the “Operating Account”, or a name of similar import. Owner shall designate the bank in which such account shall be established. Manager shall deposit all rent, proceeds or other sums received by Manager from tenants or occupants of the Property or collected by Manager in connection with the management and operation of the Property (“Gross Income”) into the Operating Account to be held in trust for the benefit of Owner. The Operating Account shall be used to pay Manager’s compensation and to pay the normal and reasonable expenses incurred in the operation of the Property. If at any time Gross Income from the Property is not sufficient to pay the expenses incurred in connection with the management and operation of the Property as authorized by this Agreement, Manager shall submit to Owner a statement of such expenses and the funds that will be required to satisfy the same and Owner shall deposit sufficient moneys into the Operating Account to pay such expenses. At Owner’s request, Manager shall keep the Operating Account open for a period of three (3) months from the date of termination of this Agreement. Manager will verify and pay all appropriate invoices relating to the period prior to termination and will furnish monthly financial statements as specified in Section 6.1 below.
Property Accounts. Borrower will set up and maintain all operating accounts and other accounts related to the Property with Agent and shall maintain monthly minimum balances sufficient to cover demand deposit account activities.
Property Accounts. (a) Borrowers shall:
(i) cause all income from the ownership and operation of each Property from whatever source, including Rents, utility charges, escalations, service fees or charges, license fees, parking fees, other required pass-throughs to be deposited into one or more Controlled Accounts maintained with the Depository Bank in the name of the applicable Borrower or Borrowers (collectively, the “Property Accounts”);
(ii) immediately deposit or cause to be deposited into the applicable Property Accounts all funds held by or behalf of Borrowers as of the Eighth Modification Date;
(iii) deposit (and cause each Approved Manager to deposit) any revenues derived from the Properties that any Borrower (or Approved Manager) receives directly into the applicable Property Account;
(iv) on or before the Eighth Modification Date, deliver (or cause the applicable Approved Manager to deliver) a direction letter in the form attached hereto as Exhibit “S” (a “Tenant Direction Notice”) to each tenant under each Lease in effect as of the Eighth Modification Date, instructing each such tenants to deposit their remittances directly into the applicable Property Account, to the extent that any such tenant has not previously been instructed to do so on terms substantially similar to the terms set forth in such Tenant Direction Notice form or on other terms that are satisfactory to Administrative Agent;
(v) simultaneously with the execution of each Lease entered into on or after the Eighth Modification Date, furnish (or cause the applicable Approved Manager to furnish) the tenant under such Lease a Tenant Direction Notice; and
(vi) continue to send such Tenant Direction Notices until each addressee thereof complies with the terms thereof, and not deliver any inconsistent instructions to any tenant with respect to the manner in which or account to which the remittances due from such tenant shall be paid. Notwithstanding the foregoing, nothing in this Section 4.25.1(a) shall prohibit the existence or use of the existing property account for the Legacy Town Center Property (in which Administrative Agent holds a security interest that has been perfected through the execution and delivery by the applicable depository bank of a deposit account control agreement) for the applicable time periods set forth in the post-closing conditions of the Eighth Modification Agreement.
(b) Other than such accounts are expressly permitted or required under the Loan Documents, Borrowers shall not m...
Property Accounts. Accounts with certain kinds of property, such as cash, merchandise, real estate, etc.
Property Accounts. For so long as Tenant shall elect to have Landlord perform the following service, Landlord will, as agent of Tenant, maintain on behalf of PPPC a checking account (the “Operating Account”) and an investment or market account (the “Grant Account”, and the Operating and the Grant Account are collectively called , the “Property Account”). In connection with performing this service, Landlord shall cause to be delivered to Tenant (i) monthly statement of such accounts, and (ii) such other reports and information as shall be reasonably required by Tenant. Checks drawn against the Operating Account may at the direction of Tenant, be made upon the signature of a duly authorized representative of Landlord and shall be made for the following when due:
(i) expenses of all types and for all services incurred by Tenant in maintaining, administering and operating the Premises;
(ii) salary, payroll and social security taxes and other expenses attributable to the employees of Tenant; and for hereunder.
(iii) any other items of expense reasonably incurred by Tenant in connection with the Property provided
Property Accounts. Schedule 4.29 hereof contains as of the Closing Date a complete and accurate list of all Property Accounts maintained with any bank or other financial institution by the Borrower, each of which financial institutions shall be an Approved Bank and shall have executed a Deposit Account Control Agreement.
Property Accounts. (a) All funds received by Property Manager derived from the operation of the Property, as well as working capital furnished by Owner, shall be deposited in an account (the "Property Bank Account") in Property Manager’s name, as agent for Owner, in an FDIC-insured bank designated or approved by Owner, which such account will be in compliance with applicable law. Owner may direct Property Manager to change depository banks or the depository arrangements. All funds so deposited shall be deemed to be trust funds held by Property Manager for the benefit of Owner and shall be held and disbursed as provided