Agenda - Council - 08/08/2017 - Laserfiche WebLink

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or any part thereof, may be applied by Mortgagee at its option either to the reduction of the Indebtedness hereby secured (provided that in the event such application does not pay said Indebtedness in full, any such partial payment shall not affect or suspend remaining installment payments of principal and interest due under the Note) or to the restoration or repair of the property damaged. The original of all policies of insurance shall be deposited with Mortgagee. In lieu of a deposit of the original policy, Mortgagor may provide a certificate of insurance and a certified copy of the insuring provisions of a master policy of insurance covering the Mortgaged Property. Mortgagor shall provide Mortgagee upon request with appropriate evidence that all premiums on said policies of insurance have been paid. In the event of foreclosure of this Mortgage, all right, title and interest of Mortgagor in and to any insurance policies then in force and proceeds of insurance not yet paid for loss or damage shall pass to the purchaser at the foreclosure sale. Notwithstanding the provisions contained in Paragraphs 3 and 13 of this Mortgage to the contrary, if all or a portion of the Improvements is taken by eminent domain, or destroyed or damaged by fire or other casualty, Mortgagor may elect to have the proceeds of insurance or the condemnation award, less the portion thereof applied to the costs of obtaining such proceeds or award (the "Net Proceeds") applied to replace, repair, rebuild, and restore the Mortgaged Property to substantially the same condition as existed before "the taking or event causing the damage or destruction, with such changes, alterations, and modifications as may be desired by Mortgagor and approved by Mortgagee, and will be suitable for continued operation of the Mortgaged Property for the business purposes of Mortgagor, subject to the following conditions: (i) No uncured Event of Default shall exist hereunder on the date any disbursement of Net Proceeds is requested by Mortgagor; (ii) The appraised value of the Land and improvements after such restoration or repair shall not have been reduced below the appraised value of the Mortgaged Property as of the date of this Mortgage; and (iii) All Net Proceeds shall be paid to Mortgagee and shall be disbursed by an escrow agent designated by Mortgagee, in the manner consistent with disbursements of construction proceeds. Prior to the first disbursement of Net Proceeds, Mortgagor shall provide Mortgagee with plans and specifications for the restoration reasonably acceptable to Mortgagee, a copy of the construction contract with a contractor reasonably acceptable to Mortgagee providing for the necessary reconstruction and repair, insurance coverage commonly required for new construction, and a sworn cost statement itemizing all costs of the restoration and demonstrating that the Net Proceeds are sufficient to pay such costs. If the Net Proceeds are insufficient to complete restoration, Mortgagor shall deposit the difference with the escrow agent prior to the first disbursement of Net Proceeds. b. Mortgagor shall also maintain public liability, including personal injury and property damage, insurance applicable to the Mortgaged Property in such amounts as are usually carried by persons operating similar properties in the same general locality but in any event with limits of liability not less than $1,000,000.00 combined single limit, naming Mortgagee as an additional insured, and containing an agreement of the insurer that it will not cancel the policy except after thirty (30) days prior written notice to Mortgagee. c. If the Land or any part thereof is located in a designated official flood -hazard area, Mortgagor shall also maintain flood insurance insuring the Mortgaged Property now existing or hereafter erected on the Land in an amount equal to the actual replacement cost thereof or to the maximum limit of coverage made available with respect to the Mortgaged Property under the Federal Flood Disaster Protection Act of 1973 (P.L. 93-234), as amended, whichever is less. 4. Payment of Taxes. Assessments and Other Charges. Subject to required payments under paragraph 5 hereof and to paragraph 8 relating to contests, Mortgagor shall pay before a penalty might attach for nonpayment thereof, all taxes and assessments and all other charges whatsoever levied upon or assessed or placed against the Mortgaged Property, except that assessments may be paid in installments so long as no fine or penalty is added to any installment for the nonpayment thereof. Mortgagor shall likewise pay all taxes, assessments and other charges, levied upon or assessed, placed or made against, or measured by, this Mortgage, or the recordation hereof, or the Indebtedness secured hereby, provided that Mortgagor shall not be obliged to pay such tax, assessment or charge if such payment would be contrary to law or would result in the payment of an unlawful rate of interest on the Indebtedness secured hereby; and .provided further that nothing herein contained shall be construed as requiring Mortgagor to pay any net income, profits or revenue taxes of Mortgagee. Mortgagor shall promptly furnish to Mortgagee all notices received by Mortgagor of amounts due under this paragraph and in the event Mortgagor shall make payment directly. Mortgagor shall promptly furnish to Mortgagee receipts evidencing such payments. 3