AND ARE
FURNISHING OR HAVE FURNISHED MATERIAL OR LABOR TO THE PROPERTY HAVE BEEN PAID
ALL AMOUNTS DUE FOR LABOR AND MATERIALS FURNISHED TO THE PROPERTY; (D) FOR
DISBURSEMENT REQUESTS IN EXCESS OF $25,000.00, DELIVERY TO LENDER OF A
CERTIFICATION FROM AN INSPECTING ARCHITECT OR OTHER THIRD PARTY ACCEPTABLE TO
LENDER DESCRIBING THE COMPLETED REPAIRS AND VERIFYING THE COMPLETION OF THE
REPAIRS AND THE VALUE OF THE COMPLETED REPAIRS; AND (E) FOR DISBURSEMENT
REQUESTS IN EXCESS OF $25,000.00, DELIVERY TO LENDER OF A NEW CERTIFICATE OF
OCCUPANCY FOR THE PORTION OF THE IMPROVEMENTS COVERED BY SUCH REPAIRS, IF SAID
NEW CERTIFICATE OF OCCUPANCY IS REQUIRED BY LAW, OR A CERTIFICATION BY BORROWER
THAT NO NEW CERTIFICATE OF OCCUPANCY IS REQUIRED. LENDER SHALL NOT BE REQUIRED
TO MAKE ADVANCES FROM THE REPLACEMENT RESERVE MORE FREQUENTLY THAN ONCE IN ANY
THIRTY (30) DAY PERIOD. IN MAKING ANY PAYMENT FROM THE REPLACEMENT RESERVE,
LENDER SHALL BE ENTITLED TO RELY ON SUCH REQUEST FROM BORROWER WITHOUT ANY
INQUIRY INTO THE ACCURACY, VALIDITY OR CONTESTABILITY OF ANY SUCH AMOUNT. LENDER
MAY, AT BORROWER'S EXPENSE, MAKE OR CAUSE TO BE MADE DURING THE TERM OF THIS
MORTGAGE AN ANNUAL INSPECTION OF THE PROPERTY TO DETERMINE THE NEED, AS
DETERMINED BY LENDER IN ITS REASONABLE JUDGMENT, FOR FURTHER REPAIRS OF THE
PROPERTY. IN THE EVENT THAT SUCH INSPECTION REVEALS THAT FURTHER REPAIRS OF THE
PROPERTY ARE REQUIRED, LENDER SHALL PROVIDE
54
BORROWER WITH A WRITTEN DESCRIPTION OF THE REQUIRED REPAIRS AND BORROWER SHALL
COMPLETE SUCH REPAIRS TO THE REASONABLE SATISFACTION OF LENDER WITHIN NINETY
(90) DAYS AFTER THE RECEIPT OF SUCH DESCRIPTION FROM LENDER, OR SUCH LATER DATE
AS MAY BE APPROVED BY LENDER IN ITS SOLE DISCRETION.
SECTION 3.6
ROLLOVER RESERVE. (A) ON THE DATE HEREOF, BORROWER SHALL
PAY INTO A RESERVE (THE "ROLLOVER RESERVE") THE SUM OF $170,000.00. THEREAFTER,
BORROWER SHALL PAY TO LENDER INTO THE ROLLOVER RESERVE THE SUM OF $8,333.33 ON
EACH PAYMENT DATE, PROVIDED, HOWEVER, THAT BORROWER SHALL NOT BE REQUIRED TO
MAKE DEPOSITS TO THE ROLLOVER RESERVE IN ANY MONTH TO THE EXTENT THAT, AFTER
DEDUCTING THEREFROM ANY PENDING REQUESTS FOR DISBURSEMENTS FROM THE ROLLOVER
RESERVE, SUCH DEPOSIT WOULD INCREASE THE BALANCE IN THE ROLLOVER RESERVE ABOVE
$620,000.00. BORROWER SHALL ALSO PAY TO LENDER FOR TRANSFER INTO THE ROLLOVER
RESERVE ALL PAYMENTS RECEIVED FROM TENANTS IN CONNECTION WITH THE EARLY
TERMINATION OR CANCELLATION OF ANY LEASES, INCLUDING FEES, PENALTIES AND
COMMISSIONS.
IF LENDER DETERMINES IN ITS REASONABLE JUDGMENT THAT THE FUNDS IN
THE ROLLOVER RESERVE WILL BE INSUFFICIENT TO PAY (OR IN EXCESS OF) THE AMOUNTS
DUE OR TO BECOME DUE FOR APPROVED LEASING EXPENSES (AS HEREINAFTER DEFINED),
LENDER MAY INCREASE (OR DECREASE) THE MONTHLY CONTRIBUTION REQUIRED TO BE MADE
BY BORROWER TO THE ROLLOVER RESERVE. PROVIDED THAT NO EVENT OF DEFAULT HAS
OCCURRED AND IS CONTINUING, LENDER SHALL DISBURSE FUNDS HELD IN THE ROLLOVER
RESERVE TO BORROWER, WITHIN FIFTEEN (15) DAYS AFTER THE DELIVERY BY BORROWER TO
LENDER OF A REQUEST THEREFOR (BUT NOT MORE OFTEN THAN ONCE PER