EXCLUSIVE
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RIGHT TO DEAL WITH GOVERNMENTAL AUTHORITIES HAVING JURISDICTION OVER THE
PROPERTY REGARDING THE INVESTIGATION AND CHARACTERIZATION OF THE PRESENCE OF
HAZARDOUS MATERIAL AND THE SELECTION OF THE METHOD OF REMEDIATING THE SAME,
PROVIDED THAT SUCH REMEDIATION IS COMPLETED IN ACCORDANCE WITH APPLICABLE LAWS
AND RESTRICTIONS, AND NO EVENT OF DEFAULT THEN EXISTS (IT BEING UNDERSTOOD THAT
FOR SO LONG AS SUCH EVENT OF DEFAULT IS CONTINUING, LESSOR SHALL HAVE THE SOLE
RIGHT TO CONTROL SUCH METHOD OR METHODS AT LESSEE'S COST).
LESSEE SHALL NOTIFY
LESSOR IN A REASONABLE MANNER WHEN LESSEE TAKES ANY ACTIONS TO COMPLY WITH ITS
ENVIRONMENTAL-RELATED OBLIGATIONS HEREUNDER. LESSOR SHALL COOPERATE WITH LESSEE
IN A PROMPT AND TIMELY MANNER, AND AT LESSEE'S COST, IN CONNECTION WITH ANY SUCH
ACTIONS, AND SUCH COOPERATION SHALL INCLUDE EXECUTION AND DELIVERY OF DOCUMENTS
OR PLEADINGS REASONABLY REQUIRED BY ANY SUCH ACTIONS.
ARTICLE XII.
INSURANCE
SECTION 12.1.
LESSEE, AT ITS SOLE COST, FOR THE MUTUAL BENEFIT OF LESSOR AND
MORTGAGEE, SHALL OBTAIN AND MAINTAIN DURING THE TERM THE FOLLOWING POLICIES OF
INSURANCE:
(A)
PROPERTY; TERRORISM COVERAGE
(I)
PROPERTY INSURANCE INSURING AGAINST LOSS OR DAMAGE CUSTOMARILY
INCLUDED UNDER SO CALLED "ALL RISK" OR "SPECIAL FORM" POLICIES INCLUDING FIRE,
LIGHTNING, VANDALISM, AND MALICIOUS MISCHIEF, BOILER, MACHINERY AND/OR
EARTHQUAKE COVERAGE AND SUBJECT TO THE PROVISIONS OF SECTION 12.1(A)(II),
COVERAGE FOR DAMAGE OR DESTRUCTION CAUSED BY THE ACTS OF TERRORISM (OR SUCH
POLICIES SHALL HAVE NO EXCLUSION FROM COVERAGE WITH RESPECT THERETO) AND SUCH
OTHER INSURABLE HAZARDS AS UNDER GOOD INSURANCE PRACTICES, FROM TIME TO TIME ARE
INSURED AGAINST FOR OTHER PROPERTY AND BUILDINGS SIMILAR TO THE PREMISES IN
NATURE, USE, LOCATION, HEIGHT, AND TYPE OF CONSTRUCTION (THE "APPLICABLE
INSURANCE STANDARDS").
SUCH INSURANCE POLICY SHALL ALSO INSURE FOR ORDINANCE OF
LAW OVERAGE, COSTS OF DEMOLITION AND INCREASED COST OF CONSTRUCTION IN AMOUNTS
SATISFACTORY TO LESSOR AND MORTGAGEE. EACH SUCH INSURANCE POLICY SHALL:
(A)
BE IN AN AMOUNT EQUAL TO 100% OF THE THEN REPLACEMENT COST OF THE
IMPROVEMENTS WITHOUT DEDUCTION FOR PHYSICAL DEPRECIATION,
(B)
HAVE DEDUCTIBLES NO GREATER THAN $1,500,000 PER OCCURRENCE
(ADJUSTED EACH SEPTEMBER 1 BY THE PERCENTAGE CHANGE IN THE CONSUMER PRICE INDEX
FROM SEPTEMBER, 2006), PROVIDED THAT IF LESSEE'S SENIOR, LONG-TERM UNSECURED
DEBT IS LESS THAN "BB-" BY STANDARD & POOR'S RATINGS GROUP, THEN SUCH DEDUCTIBLE
SHALL NOT EXCEED 5 PERCENT OF THE THEN ANNUAL BASE NET RENT, SUBJECT TO SECTION
12.1(H) AND SECTION 12.2(C),
(C)
BE PAID AS THEY ARE DUE AND PAYABLE AND
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(D)
CONTAIN EITHER NO COINSURANCE OR, IF COINSURANCE, AN AGREED AMOUNT
ENDORSEMENT. MORTGAGEE SHALL BE NAMED MORTGAGEE AND LOSS PAYEE ON A STANDARD
MORTGAGEE ENDORSEMENT.
(II)
NOTWITHSTANDING ANYTHING IN SECTION 12.1(A)(I) TO THE CONTRARY,
FOR SO LONG AS TRIA IS IN EFFECT SUBSTANTIALLY IN THE SAME MANNER AS IN EFFECT
AS OF THE EFFECTIVE DATE, LESSEE SHALL BE REQUIRED TO OBTAIN AND MAINTAIN
COVERAGE AGAINST LOSS OR DAMAGE BY TERRORIST ACTS COVERED BY TRIA AS PART OF THE
"ALL RISK" PROPERTY POLICY REQUIRED BY SECTION 12.1(A)(I); PROVIDED THAT SUCH
COVERAGE IS AVAILABLE.
IN