06-10-2026 Council Packet - Laserfiche WebLink

Home Browse Search

10 Error! Unknown document property name. or custodian shall have been appointed for any property or assets of Borrower who shall not have been discharged within sixty (60) days after the date of such appointment, or shall have made application to a court of competent jurisdiction to become dissolved; (g) Execution shall have been levied against the Project or any lien creditor’s suit to enforce a judgment against the Project shall have been brought and (in either case) shall continue unstayed and in effect for a period of more than sixty (60) days; or (h) The Project is materially damaged or destroyed by fire or other casualty and the loss is not adequately covered by insurance proceeds actually collected or in the process of collection, or other funds of Borrower. Section 5.02. Notice of Default. Upon the occurrence of one of the Events of Default as defined in Section 5.01 hereof, the Lender shall give written notice to Borrower as provided in Section 7.01 of this Agreement, specifying: (i) the Event of Default; (ii) the action required to cure the Event of Default; (iii) a date not less than thirty (30) days from the date the notice is mailed to Borrower by which such Event of Default must be cured (except with respect to Section 5.01(d) for which any applicable cure periods shall have already expired); and (iv) that failure to cure such Event of Default on or before the date specified in the notice (except with respect to Section 5.01(d) for which any applicable cure periods shall have already expired) may result in acceleration of the LCDA Loan and appropriate legal action, that may include foreclosure of the LCDA Mortgage. The limited partners of Borrower and the lenders of the Other Project Financing shall have the right but not the obligation to cure any Event of Default during the applicable cure period and such cure shall be accepted by Borrower as though such cure had been performed by Borrower. Section 5.03. Remedies. Upon the occurrence of any Event of Default as defined in Section 5.01 hereof, and notice as provided in Section 5.02, the Lender, at its option, in addition to any other remedies to which it might by law be entitled to, shall have the right to do one or more of the following: (a) To enter into possession of the Project and perform any and all work and labor necessary to complete all or any part of the Project, at the cost and expense of Borrower, to operate and manage the Project, and to do all things necessary or incidental thereto; provided, however, that the Lender shall not be obligated in any way to complete the Project or to pay for costs thereof; (b) To perform such other acts or deeds which may be necessary to cure any default existing under this Agreement, the LCDA Loan Documents or the Construction and Other Documents; (c) To cancel this Agreement; (d) To bring appropriate action to enforce such performance and the correction of such failure or default; (e) To demand Borrower to repay the amount disbursed from the LCDA Proceeds, together with all other sums payable hereunder, immediately due and payable without presentment, demand, protest, notice of dishonor or any other notice; (f) To suspend its performance under this Agreement during the continuance of the Event of Default; or (g) To suspend disbursement of the LCDA Proceeds during the continuance of the Event of Default; or