Examples of Componentization Notice in a sentence
Each Component shall have an initial principal amount as Lender shall specify in such Componentization Notice, provided that (i) the sum of the principal balances of all Components shall equal the then-current outstanding principal amount of the Loan and (ii) the weighted average of the Interest Rate of all Components shall equal the then-current weighted average Interest Rate.
All payments of principal in respect of each Note shall be applied to the corresponding Note Components of such Note in Sequential Order, and all payments of interest in respect of each Note shall be applied to the corresponding Note Components of such Note sequentially in respect of their respective interest entitlements, in each case, pursuant to the Componentization Notice.
So long as no Event of Default exists, the Monthly Debt Service Payment Amount will be applied pro rata and pari passu between Note A-1 and Note A-2 and, if the Loan has been divided into two or more Components, so long as no Event of Default exists, each Monthly Debt Service Payment Amount shall be applied among the Components in the order of priority specified in the related Componentization Notice with respect to such Components.
If the Loan has been divided into two or more Components, so long as no Event of Default exists, any voluntary or mandatory prepayment of principal (or portion thereof) shall be applied among the Components in the order of priority set forth in the Componentization Notice, which applications among Components may result in “rate creep”.
A Componentization Notice need not be countersigned by Borrower in order to be effective, but Borrower shall countersign any Componentization Notice if requested by Lender.
Voluntary and involuntary prepayments of principal on the Loan shall be applied to the Notes or Note Components sequentially or in such other manner specified by Lender in the Componentization Notice which may increase the weighted average interest rate of the Notes or Note Components (with the result that the monthly interest payment owed by Borrower might increase).