Common use of Tax and Insurance Escrow Account Clause in Contracts

Tax and Insurance Escrow Account. (a) On or prior to the Closing Date, Borrower shall establish and thereafter maintain with the Cash Management Bank an account for the purpose of reserving amounts payable by Borrower in respect of Taxes and insurance premiums (the “Tax and Insurance Escrow Account”). (b) On the Closing Date, the Tax and Insurance Escrow Account shall be funded in an amount equal to the sum of (i) an amount sufficient to pay all Taxes by the 10th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected annual Taxes, plus (ii) an amount sufficient to pay all insurance premiums by the 10th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected insurance premiums. (c) On each subsequent Payment Date, an additional deposit shall be made therein in an amount equal to the sum of: (A) 1/12 of the Taxes that Lender reasonably estimates, based on information provided by Borrower, will be payable during the next ensuing 12 months, plus (B) 1/12 of the insurance premiums that Lender reasonably estimates, based on information provided by Borrower, will be payable during the next ensuing 12 months; provided, however, that if at any time Lender reasonably determines that the amount in the Tax and Insurance Escrow Account will not be sufficient to accumulate (upon payment of subsequent monthly amounts in accordance with the provisions hereof) the full amount of all installments of Taxes and insurance premiums by the date on which such amounts come due, then Lender shall notify Borrower of such determination and Borrower shall increase its monthly payments to the Tax and Insurance Escrow Account by the amount that Lender reasonably estimates is sufficient to achieve such accumulation. (d) Borrower shall provide Lender with copies of all tax and insurance bills relating to the Property promptly after Borrower’s receipt thereof. Lender will apply amounts in the Tax and Insurance Escrow Account toward the purposes for which such amounts are deposited therein. In connection with the making of any payment from the Tax and Insurance Escrow Account, Lender may cause such payment to be made according to any xxxx, statement or estimate procured from the appropriate public office, without inquiry into the accuracy of such xxxx, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof unless given written advance notice by Borrower of such inaccuracy, invalidity or other contest.

Tax and Insurance Escrow Account. (a) On or prior to the Closing Date, Borrower shall establish and thereafter maintain with the Cash Management Bank an account for the purpose of reserving amounts payable by Borrower in respect of Taxes and insurance premiums (the “Tax and Insurance Escrow "TAX AND INSURANCE ESCROW ACCOUNT"), which may be a subaccount of the Cash Management Account”). (b) On the Closing Date, the Borrower shall deposit into the Tax and Insurance Escrow Account shall be funded in an amount equal to the sum of (i) an amount sufficient to pay all Taxes by the 10th 30th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected annual Taxes, plus PLUS (ii) an amount sufficient to pay all insurance premiums by the 10th 30th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected insurance premiums. (c) On each subsequent Payment Date, an additional deposit shall be made therein in an amount equal to the sum of: (A) 1/12 of the Taxes that Lender reasonably estimates, based on information provided by Borrower, will be payable during the next ensuing 12 months, plusPLUS (B) 1/12 of the insurance premiums that Lender reasonably estimates, based on information provided by Borrower, will be payable during the next ensuing 12 months; providedPROVIDED, howeverHOWEVER, that if at any time Lender reasonably determines that the amount in the Tax and Insurance Escrow Account will not be sufficient to accumulate (upon payment of subsequent monthly amounts in accordance with the provisions hereofof this Agreement) the full amount of all installments of Taxes and insurance premiums by the date on which such amounts come due, then Lender shall notify Borrower of such determination and Borrower shall increase its monthly payments to the Tax and Insurance Escrow Account by the amount that Lender reasonably estimates is sufficient to achieve such accumulation. (d) Borrower shall provide Lender with copies of all tax and insurance bills relating to the Property promptly after Borrower’s 's receipt thereof. Lender will apply amounts in the Tax and Insurance Escrow Account toward the purposes for which such amounts are deposited therein. In connection with the making of any payment from the Tax and Insurance Escrow Account, Lender may cause such payment to be made according to any xxxx, statement or estimate procured from the appropriate public officeoffice or insurance carrier, without inquiry into the accuracy of such xxxx, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof unless given written advance notice by Borrower of such inaccuracy, invalidity or other contest. (e) Notwithstanding the terms and provisions of this SECTION 3.4, in the event that and for so long as Borrower has provided, upon request of Lender, evidence reasonably satisfactory to Lender that (i) the insurance escrow account described in Section 1(d) of Article VI of the REA (the "REA INSURANCE ESCROW ACCOUNT") is being maintained and (ii) Borrower and each of the other parties to the REA required to make deposits into the REA Insurance Escrow Account are doing so in accordance therewith, in lieu of the reserve for insurance premiums provided in this SECTION 3.4, Borrower shall instead make the deposits to the REA Insurance Escrow Account in accordance with the applicable provisions of the REA, PROVIDED that (v) Borrower shall cause the trustee maintaining the REA Insurance Escrow Account to select an Eligible Account to serve such purpose, (w) Borrower shall have granted to the trustee of the REA Insurance Escrow Account for the benefit of Lender a first priority security interest in the REA Insurance Escrow Account, (x) any documents or agreements relating to the establishment and administration of the REA Insurance Escrow Account shall provide that such account is held by the trustee for the benefit of Lender, (y) Borrower shall do all things reasonably necessary in order to perfect the trustee's first priority security interest, for the benefit of Lender, in such account, and (z) Borrower shall have complied with the requirements set forth in the last sentence of SECTION 5.15(c). In the event Borrower shall fail to deliver reasonably satisfactory evidence of the maintenance of the REA Insurance Escrow Account to Lender in accordance with the foregoing sentence or the REA Insurance Escrow Account shall no longer be maintained, the provisions of this SECTION 3.4(e) shall be of no further force and effect until such evidence is delivered or such account is once again maintained.

Tax and Insurance Escrow Account. (a) On or prior to the Closing Date, Borrower Borrowers shall establish and thereafter maintain with the Mezzanine Cash Management Bank an account for the purpose of reserving amounts payable by any Borrower in respect of Taxes and insurance premiums Insurance Premiums for each Mezzanine Property (the “"Tax and Insurance Escrow Account”"). (b) On or prior to the Closing Date, the Tax and Insurance Escrow Account shall be funded in an amount equal to the sum of (i) an amount sufficient to pay all Taxes for the Mezzanine Properties by the 10th thirtieth (30th) day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 one-twelfth (1/12th) of projected annual Taxes, plus (ii) an amount sufficient to pay all insurance premiums Insurance Premiums for the Mezzanine Properties by the 10th thirtieth (30th) day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 one-twelfth (1/12th) of projected insurance premiumsInsurance Premiums. (c) On each subsequent Payment DateBusiness Day during an Interest Accrual Period, an additional deposit the Mezzanine Cash Management Bank shall be made therein withdraw all available funds in the Mezzanine Cash Management Account and shall disburse such funds into the Tax and Insurance Escrow Account in accordance with the provisions set forth in Section 6.2 until an amount equal to the sum of: (A) 1/12 one-twelfth (1/12th) of the Taxes for the Mezzanine Properties that Lender reasonably estimates, based on information provided by BorrowerBorrowers, will be payable during the next ensuing 12 twelve (12) months, plus (B) 1/12 one-twelfth (1/12th) of the insurance premiums Insurance Premiums for the Mezzanine Properties that Lender reasonably estimates, based on information provided by BorrowerBorrowers, will be payable during the next ensuing 12 twelve (12) months; has been deposited into the Tax and Insurance Escrow Account provided, however, that if at any time Lender reasonably determines that the amount in the Tax and Insurance Escrow Account will not be sufficient to accumulate (upon payment of subsequent monthly amounts in accordance with the provisions hereofof this Agreement) the full amount of all installments of Taxes and insurance premiums Insurance Premiums for the Mezzanine Properties by the date on which such amounts come due, then Lender shall notify Borrower Borrowers of such determination and Borrower Borrowers shall increase its the monthly payments to the Tax and Insurance Escrow Account by the amount that Lender reasonably estimates is sufficient to achieve such accumulation. (d) Each Borrower shall provide Lender with copies of all tax and insurance bills relating to the each Mezzanine Property promptly after the applicable Borrower’s 's receipt thereof. Lender will apply amounts in the Tax and Insurance Escrow Account toward the purposes for which such amounts are deposited therein. In connection with the making of any payment from the Tax and Insurance Escrow Account, Lender may cause such payment to be made according to any xxxx, statement or estimate procured from the appropriate public officeoffice or insurance carrier, without inquiry into the accuracy of such xxxx, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof unless given written advance notice by a Borrower of such inaccuracy, invalidity or other contest.

Tax and Insurance Escrow Account. (a) On or prior to the Closing Date, Borrower shall establish and thereafter maintain with the Cash Management Bank an account for the purpose of reserving amounts payable by Borrower in respect of Taxes and Taxes, insurance premiums and Common Charges (the “"Tax and Insurance Escrow Account”"). (b) On Upon the Closing Dateoccurrence of a Cash Trap Period, the Tax and Insurance Escrow Account shall be funded in an amount equal to the sum of (i) an amount sufficient to pay all Taxes not otherwise payable directly by Tenants pursuant to their Leases by the 10th 30th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected annual Taxes, plus (ii) an amount sufficient to pay all insurance premiums payable by Borrower by the 10th 30th day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 of projected annual insurance premiums, plus (iii) $100,000.00 with respect to Common Charges, which amount shall be increased on each anniversary of the date hereof to an amount equal to the product of (a) $100,000.00 and (b) the Consumer Price Index Fraction. (c) On During a Cash Trap Period, on each subsequent Payment Date, an additional deposit shall be made therein in an amount equal to the sum of: (A) 1/12 of the Taxes that Lender reasonably estimates, based on information provided by Borrower, will be payable by Borrower during the next ensuing 12 months, plus (B) 1/12 of the insurance premiums that Lender reasonably estimates, based on information provided by Borrower, will be payable by Borrower during the next ensuing 12 months; plus (C) if and to the extent that such amount is not already being maintained, then, on the first Payment Date subsequent to each anniversary of the date hereof, an amount such that on such Payment Date the amount specified in Section 3.3(b)(iii) above is maintained with respect to Common Charges; provided, however, that if at any time Lender reasonably determines that the amount in the Tax and Insurance Escrow Account will not be sufficient to accumulate (upon payment of subsequent monthly amounts in accordance with the provisions hereofof this Agreement) the full amount of all installments of Taxes and Taxes, insurance premiums and Common Charges payable by Borrower by the date on which such amounts come due, then Lender shall notify Borrower of such determination and on the next Payment Date Borrower shall increase its monthly payments to the Tax and Insurance Escrow Account by the amount that Lender reasonably estimates is sufficient to achieve such accumulation. (d) Borrower shall provide Lender with copies of all tax tax, insurance and insurance Common Charges bills relating to the Property promptly after Borrower’s 's receipt thereof. Lender will apply amounts in the Tax and Insurance Escrow Account toward the purposes for which such amounts are deposited therein. In connection with the making of any payment from the Tax and Insurance Escrow Account, Lender may cause such payment to be made according to any xxxx, statement or estimate procured from the appropriate public office, insurance carrier or the Association or any board thereof or pursuant to the Condominium Documents, without inquiry into the accuracy of such xxxx, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof unless given written advance notice by Borrower of such inaccuracy, invalidity or other contest. (e) Upon the termination of a Cash Trap Period, provided no Event of Default is then continuing, Lender shall remit to Borrower the amount then contained in the Tax and Insurance Escrow Account. (f) Notwithstanding anything to the contrary contained herein, in lieu of making deposits to the Tax and Insurance Escrow Account, Borrower shall be permitted to deliver to Lender a Qualified Letter of Credit or a Qualified Guarantee in such amount.

Tax and Insurance Escrow Account. (a) On or prior to the Closing Date, Borrower Borrowers shall establish and thereafter maintain with the Cash Management Bank an account for the purpose of reserving amounts payable by any Borrower in respect of Taxes and insurance premiums Insurance Premiums for each Property (the “"Tax and Insurance Escrow Account”"). (b) On or prior to the Closing Date, the Tax and Insurance Escrow Account shall be funded in an amount equal to the sum of (i) an amount sufficient to pay all Taxes for the Properties by the 10th thirtieth (30th) day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 one-twelfth (1/12th) of projected annual Taxes, plus (ii) an amount sufficient to pay all insurance premiums Insurance Premiums for the Properties by the 10th thirtieth (30th) day prior to the date they come due, assuming subsequent monthly fundings on Payment Dates of 1/12 one-twelfth (1/12th) of projected insurance premiumsInsurance Premiums. (c) On each subsequent Payment DateBusiness Day during an Interest Accrual Period, an additional deposit the Cash Management Bank shall be made therein withdraw all available funds in the Cash Management Account and shall disburse such funds into the Tax and Insurance Escrow Account in accordance with the provisions set forth in Section 6.2 until an amount equal to the sum of: (A) 1/12 one-twelfth (1/12th) of the Taxes for the Properties that Lender reasonably estimates, based on information provided by BorrowerBorrowers, will be payable during the next ensuing 12 twelve (12) months, plus (B) 1/12 one-twelfth (1/12th) of the insurance premiums Insurance Premiums for the Properties that Lender reasonably estimates, based on information provided by BorrowerBorrowers, will be payable during the next ensuing 12 twelve (12) months; has been deposited into the Tax and Insurance Escrow Account provided, however, that if at any time Lender reasonably determines that the amount in the Tax and Insurance Escrow Account will not be sufficient to accumulate (upon payment of subsequent monthly amounts in accordance with the provisions hereofof this Agreement) the full amount of all installments of Taxes and insurance premiums Insurance Premiums for the Properties by the date on which such amounts come due, then Lender shall notify Borrower Borrowers of such determination and Borrower Borrowers shall increase its the monthly payments to the Tax and Insurance Escrow Account by the amount that Lender reasonably estimates is sufficient to achieve such accumulation. (d) Each Borrower shall provide Lender with copies of all tax and insurance bills relating to the each Property promptly after the applicable Borrower’s 's receipt thereof. Lender will apply amounts in the Tax and Insurance Escrow Account toward the purposes for which such amounts are deposited therein. In connection with the making of any payment from the Tax and Insurance Escrow Account, Lender may cause such payment to be made according to any xxxx, statement or estimate procured from the appropriate public officeoffice or insurance carrier, without inquiry into the accuracy of such xxxx, statement or estimate or into the validity of any tax, assessment, sale, forfeiture, tax lien or title or claim thereof unless given written advance notice by a Borrower of such inaccuracy, invalidity or other contest.