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34 Little Canada-Lupe - Borrower Loan Agreement - LC Apartments(199386221.3) - 5/12/2026 6:38:21 PM (j) The Project Facilities fail to achieve (i) Completion on or before the Completion Date, including any applicable extensions of the Completion Date; (ii) Stabilization on or before the Stabilization Date, including any applicable extensions of the Stabilization Date, or (iii) if specified on the Schedule of Financial Terms as applicable, to obtain and maintain the exemption from ad valorem real estate taxation under the laws of the State; (k) Any litigation or administrative proceeding ensues, and is not dismissed within ninety (90) days, involving the Borrower, the General Partner, any Guarantor or any instrument, contract or document delivered by the Borrower to the Controlling Person or the Funding Lender in compliance with this Agreement, and the adverse result of such litigation or proceeding would have, in the Controlling Person’s reasonable opinion, a materially adverse effect on the Borrower’s, the General Partner’s or any Guarantor’s ability to pay its obligations and comply with the covenants under this Agreement or any of the other Funding Loan Documents; (l) Any one or more judgments or orders are entered against the Borrower, any Guarantor or the General Partner, and (1) continue unsatisfied and unstayed for thirty (30) days or (2) a judgment lien on any property of the Borrower, any Guarantor or the General Partner is recorded in respect thereof and is not stayed pending appeal by a bond or other arrangement given or obtained by the Borrower, any Guarantor or the General Partner on terms which do not violate any of the Borrower’s covenants under this Agreement; (m) Failure by the Borrower or the Guarantor (1) to make any payment or payments in respect of any Obligation or Indebtedness (unless a bona fide dispute exists as to whether such payment is due), when such payment or payments are due and payable (after the lapse of any applicable grace period), (2) to perform any other obligation or covenant under any such obligation or obligations or (3) to pay or perform any obligation or covenant under any Material Contract, any of which (x) results in the acceleration of such Obligation or Indebtedness or enables the holder or holders of such Obligation or Indebtedness or any person acting on behalf of such holder or holders to accelerate the maturity of such obligation or (y) would have, in the Controlling Person’s reasonable opinion, a materially adverse effect on either the Borrower’s or the Guarantor’s ability to pay its obligations and comply with the covenants under this Agreement or any of the other Funding Loan Documents; (n) Construction of the Improvements shall have been discontinued for thirty (30) consecutive working days for any reason whatsoever other than a discontinuance due to Force Majeure, or except such reason as the Controlling Person shall deem reasonable; (o) If at any time the Borrower shall have been unable for a period of forty-five (45) days to meet the requirements for an Advance under this Agreement, regardless of whether the Borrower has requested an Advance that has not been funded; (p) The Contractor shall have defaulted under the Construction Contract, which default the Controlling Person, in its sole opinion, shall deem to be substantial, and the Borrower, upon ten (10) Business Days written notice from the Controlling Person, shall have failed to exercise any right or remedy to which it shall be entitled; and (q) An event of default beyond any applicable cure period shall have occurred under the Subordinate Debt Documents. Section 7.2 Remedies. If an Event of Default has occurred and is continuing uncured, the Funding Lender, or the Controlling Person on behalf of the Funding Lender, may: