Agenda - Council - 09/26/2017 - Laserfiche WebLink

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Section 1.07. Permitted Contests. Except for the monthly escrows of real estate taxes and special assessments required in Section 1.03(b), the Mortgagor shall not be required to pay any tax, assessment, or other charge referred to in Section 1.03 hereof, pay any charge referred to in Section 1.04 hereof, discharge or remove any lien, encumbrance or charge referred to in Section 1.05 hereof, or comply with any statute, law, rule, regulation or ordinance referred to in Section 1.06 hereof, so long as Mortgagor shall contest, in good faith, the existence, amount, or validity thereof, the amount of damages caused thereby, or the extent of its liability therefor, by appropriate proceedings which shall operate during the pendency thereof to prevent the collection of, or other realization upon, the tax, assessment, charge or lien, encumbrance or charge so contested, the sale, forfeiture or loss of the Mortgaged Property or any part thereof, and any interference with the use or occupancy of the Mortgaged Property or any part thereof. Mortgagor shall give prompt written notice to Mortgagee of the commencement of any contest referred to in this Section 1.07. Prior to such contest, the Mortgagor shall provide to the Mortgagee or the title company a bond or other security reasonably satisfactory to the Mortgagee securing the payment of any such contested amount. ARTICLE TWO INSURANCE Section 2.01. Insurance. The Mortgagor, at its sole cost and expense, will maintain or cause to be maintained continuously in effect with respect to the Mortgaged Property policies of insurance against such risks and in such amounts as are customary for a prudent owner of property comparable to those comprising the Mortgaged Property. Without limiting the generality of the foregoing provision, the Mortgagor shall maintain, or cause to be maintained, insurance of the following character to the extent available: (a) Following completion of construction or rehabilitation, insurance on the buildings and other improvements now existing or hereafter erected on the Land and on the fixtures and personal property included in the Mortgaged Property against loss by fire, and other hazards covered by the so-called "all-risk" form of policy with no co-insurance clause in an amount equal to the actual replacement cost thereof (exclusive of foundations and excavations) without deduction for physical depreciation. Commencing with the date hereof and while any building or other improvement is in the course of being constructed or rebuilt on the Land, the Mortgagor shall provide the aforesaid hazard insurance in builder's risk completed value form, including coverage available on the so-called "all-risk" non -reporting form of policy for an amount equal to 100% of the insurable replacement value of such building or other improvement. Insurance obtained pursuant to this Section 2.01(a) shall contain both "agreed amount" and "inflation guard" endorsements. (b) If the Mortgaged Property includes steam boilers or other equipment for the generation or transmission of steam, insurance against loss or damage by explosion, rupture or bursting of steam boilers, pipes, turbines, engines and other pressure vessels and equipment, in customary amounts for similar enterprises. US.113578590.01 B-2-5