CUSTOMARILY REQUIRED BY TITLE INSURER IN ORDER TO CAUSE IT TO
ISSUE THE TITLE POLICY OR THE ENDORSEMENT, AS APPLICABLE; AND
COPIES OF RESOLUTIONS AUTHORIZING THIS TRANSACTION AND
AN INCUMBENCY CERTIFICATE EVIDENCING THE AUTHORITY OF HSRE'S SIGNATORIES.
4.3
CREDITS AND PRORATIONS.
4.3.1
PRORATIONS.
SUBJECT TO THE PRORATION REVIEW (AS DEFINED IN
EXHIBIT D), THE FOLLOWING SHALL BE APPORTIONED BETWEEN EXTRA SPACE AND HSRE-ESP
WITH RESPECT TO THE PROPERTY, SUCH PRORATIONS TO BE COMPUTED BASED ON THE NUMBER
OF DAYS EXTRA SPACE AND HSRE-ESP EACH OWN THE PROPERTY IN THE MONTH IN WHICH THE
CLOSING OCCURS, AS OF 12:01 A.M. ON THE THIRD DAY PRIOR TO THE CLOSING DATE (THE
"PRORATION DATE"), AS IF EXTRA SPACE WERE SELLING THE PROPERTY TO HSRE ON THE
PRORATION DATE, AND SUCH PRORATIONS SHALL INCREASE OR DECREASE THE AMOUNT OF
CASH DISBURSED TO EXTRA SPACE AT CLOSING:
ALL COLLECTED RENTS AND OTHER SUMS RECEIVED UNDER LEASES
("RENTS") (INCLUDING PREPAID RENTS) (TO THE EXTENT THAT COLLECTED RENTS OR OTHER
SUMS ARE DISTRIBUTED BY EITHER ESP 51 OR ESP TEXAS TO EXTRA SPACE, THE
APPLICABLE PRORATED PORTION OF SUCH COLLECTED RENTS AND OTHER SUMS SHALL BE A
CREDIT TO HSRE-ESP AND TO THE EXTENT THAT SUCH COLLECTED RENTS OR OTHER SUMS ARE
RETAINED BY ESP 51 AND/OR ESP TEXAS, THE APPLICABLE PRORATED PORTION OF SUCH
COLLECTED RENTS OR OTHER SUMS SHALL BE A CREDIT TO EXTRA SPACE);
TAXES AND ASSESSMENTS (INCLUDING, WITHOUT LIMITATION,
PERSONAL PROPERTY TAXES ON THE PERSONAL PROPERTY AND RENT TAXES) LEVIED AGAINST
THE PROPERTY;
PRE-PAYMENTS AND ACCRUED AMOUNTS DUE UNDER ANY CONTRACTS
RELATING TO THE PROPERTY;
9
ACCRUED INCOME AND EXPENSES (INCLUDING, WITHOUT
LIMITATION, GAS, ELECTRICITY AND OTHER UTILITY CHARGES FOR WHICH ESP 51 OR ESP
TEXAS IS LIABLE, IF ANY, WITH SUCH CHARGES TO BE APPORTIONED AS OF THE PRORATION
DATE ON THE BASIS OF THE MOST RECENT METER READING OCCURRING PRIOR TO THE
PRORATION DATE OR, IF UNMETERED, ON THE BASIS OF A CURRENT BILL FOR EACH SUCH
UTILITY);
ALL OTHER EXPENSES PERTAINING TO THE PROPERTY;
PREMIUMS UNDER INSURANCE POLICIES; AND
A CREDIT TO EXTRA SPACE FOR THE AMOUNT OF ANY RESERVE
ACCOUNTS HELD BY THE LENDER TO THE EXTENT RETAINED FOR THE BENEFIT OF HSRE-ESP
AFTER CLOSING.
4.3.2
METHOD OF PRORATIONS.
NOTWITHSTANDING ANYTHING CONTAINED IN THE
FOREGOING PROVISIONS:
REAL ESTATE AND PERSONAL PROPERTY TAXES AND ASSESSMENTS
WILL BE PRORATED BETWEEN EXTRA SPACE AND HSRE-ESP FOR THE PERIOD FOR WHICH SUCH
TAXES ARE ASSESSED, REGARDLESS OF WHEN PAYABLE.
IF THE CURRENT TAX BILL IS NOT
AVAILABLE AT CLOSING, THEN THE PRORATION SHALL BE MADE ON THE BASIS OF 100% OF
THE MOST RECENT ASCERTAINABLE TAX BILL.
ANY TAXES PAID AT OR PRIOR TO CLOSING
SHALL BE PRORATED BASED UPON THE AMOUNTS ACTUALLY PAID.
IF TAXES AND
ASSESSMENTS FOR THE FISCAL YEAR IN WHICH CLOSING OCCURS OR ANY PRIOR YEARS HAVE
NOT BEEN PAID BEFORE CLOSING, HSRE-ESP SHALL BE CREDITED BY EXTRA SPACE AT THE
TIME OF CLOSING WITH AN AMOUNT EQUAL TO