7.5 SR 06-17-2024 - Laserfiche WebLink

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Developer and City agree as follows: 1. PAYMENT OF PRINCIPAL AND INTEREST, LATE CHARGES. Developer shall promptly pay when due the principal of and accrued interest on the debt evidenced by the Note and any late charges due under the Note. 2. CHARGES, LIENS. Developer shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which may attain priority over this Mortgage, and leasehold payments or ground rents, if any. Developer shall pay these obligations on time directly to the person owed payment. Developer shall promptly discharge any lien which has priority over this Mortgage except the Permitted Encumbrances, unless Developer: (a) agrees in writing to the payment of the obligation secured by the lien in a manner reasonably acceptable to City; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in City's opinion operate to prevent the enforcement of the lien; or (c) secures from the holder of the lien an agreement satisfactory to City subordinating the lien to this Mortgage. If City determines that any part of the Property is subject to a lien other than the Permitted Encumbrances which may attain priority over this Mortgage, City may give Developer a notice identifying the lien. Developer shall satisfy the lien or notify City of its intent to take one or more of the actions set forth above within 30 days of the giving of notice. 3. HAZARD OR PROPERTY INSURANCE. For so long as this Mortgage is in effect, Developer shall continuously maintain insurance in accordance with the provisions of the Development Assistance Agreement. Further, City hereby acknowledges that this Section 3 shall be subject to Section 4.1 of the Development Assistance Agreement. If under Section 15 the Property is acquired by City, Developer's right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to City to the extent of the sums secured by this Mortgage immediately prior to the acquisition. 4. ASSIGNMENT OF LEASES AND RENTS. Developer hereby assigns to City, as additional security, all leases, rents, and profits now due or which may become due under or by virtue of any lease, license, sublease, or agreement, whether written or verbal, for the use or occupancy of the Property, or any part thereof, whether before or after foreclosure or during any redemption period, and City shall have the power irrevocably to manage, control and lease the Property and collect such leases, rents, and profits. However, this Section 4 shall be enforceable by City only during such period of time as an Event of Default (as defined in the Development Assistance Agreement) shall have occurred and shall be continuing hereunder. 5. PROTECTION OF THE PROPERTY. Developer shall not destroy or damage the Property or commit waste on the Property. Developer shall be in default if any forfeiture action or proceeding, whether civil or criminal, is begun that in City's good faith judgment could result in forfeiture of the Property or otherwise materially impair the lien created by this Mortgage or City's security interest. Developer may cure such a default and reinstate, as provided in Section 13, by causing the action or proceeding to be dismissed with a ruling that, in City's good faith determination, precludes forfeiture of Developer's interest in the Property or other material impairment of the lien created by this Mortgage or City's security interest. Developer shall also be in default if Developer gave materially false or inaccurate information or statements to City in connection with the loan evidenced by the Note. Developer shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property A-2 EL185\77\951254.v6 Page 345 of 372