EXCEPT AS SET FORTH
IN THE PROPERTY CONDITION ASSESSMENT, PREPARED BY EMG AND DELIVERED TO LENDER IN
CONNECTION WITH THE LOAN, THE PROPERTY, INCLUDING ALL IMPROVEMENTS, PARKING
FACILITIES, SYSTEMS, EQUIPMENT AND LANDSCAPING, ARE IN GOOD CONDITION, ORDER AND
REPAIR IN ALL MATERIAL RESPECTS; TO BORROWER'S KNOWLEDGE THERE EXISTS NO
STRUCTURAL OR OTHER MATERIAL DEFECT OR DAMAGES TO THE PROPERTY, WHETHER LATENT
OR OTHERWISE.
BORROWER HAS NOT RECEIVED NOTICE FROM ANY INSURANCE COMPANY OR
BONDING COMPANY OF ANY DEFECT OR INADEQUACY IN THE PROPERTY, OR ANY PART
THEREOF, WHICH WOULD ADVERSELY AFFECT ITS INSURABILITY OR CAUSE THE IMPOSITION
OF EXTRAORDINARY PREMIUMS OR CHARGES THEREON OR ANY TERMINATION OF ANY POLICY OF
INSURANCE OR BOND.
NO PORTION OF THE PROPERTY IS LOCATED IN AN AREA AS
IDENTIFIED BY THE FEDERAL EMERGENCY MANAGEMENT AGENCY AS AN AREA HAVING SPECIAL
FLOOD HAZARDS.
THE IMPROVEMENTS HAVE SUFFERED NO MATERIAL CASUALTY OR DAMAGE
WHICH HAS NOT BEEN FULLY REPAIRED AND THE COST THEREOF FULLY PAID.
4.16
LEASES.
THE RENT ROLL ATTACHED HERETO AS SCHEDULE 8 (THE "RENT
ROLL") IS TRUE, COMPLETE AND CORRECT AND THE PROPERTY IS NOT SUBJECT TO ANY
LEASES OTHER THAN THE LEASES DESCRIBED IN THE RENT ROLL.
EXCEPT AS SET FORTH ON
THE RENT ROLL OR TENANT ESTOPPEL CERTIFICATES
34
DELIVERED TO LENDER PRIOR TO THE DATE HEREOF: (I) EACH LEASE IS IN FULL FORCE
AND EFFECT; (II) THE TENANTS UNDER THE LEASES HAVE ACCEPTED POSSESSION OF AND
ARE IN OCCUPANCY OF ALL OF THEIR RESPECTIVE DEMISED PREMISES, HAVE COMMENCED THE
PAYMENT OF RENT UNDER THE LEASES, AND THERE ARE NO OFFSETS, CLAIMS OR DEFENSES
TO THE ENFORCEMENT THEREOF; (III) ALL RENTS DUE AND PAYABLE UNDER THE LEASES
HAVE BEEN PAID AND NO PORTION THEREOF HAS BEEN PAID FOR ANY PERIOD MORE THAN 30
DAYS IN ADVANCE; (IV) THE RENT PAYABLE UNDER EACH LEASE IS THE AMOUNT OF FIXED
RENT SET FORTH IN THE RENT ROLL, AND THERE IS NO CLAIM OR BASIS FOR A CLAIM BY
THE TENANT THEREUNDER FOR AN ADJUSTMENT TO THE RENT; (V) TO BORROWER'S BEST
KNOWLEDGE, NO TENANT HAS MADE ANY CLAIM AGAINST THE LANDLORD UNDER ANY LEASE
WHICH REMAINS OUTSTANDING, THERE ARE NO DEFAULTS ON THE PART OF THE LANDLORD
UNDER ANY LEASE, AND NO EVENT HAS OCCURRED WHICH, WITH THE GIVING OF NOTICE OR
PASSAGE OF TIME, OR BOTH, WOULD CONSTITUTE SUCH A DEFAULT; (VI) TO BORROWER'S
BEST KNOWLEDGE, THERE IS NO PRESENT MATERIAL DEFAULT BY THE TENANT UNDER ANY
LEASE; (VII) ALL SECURITY DEPOSITS UNDER LEASES ARE AS SET FORTH ON THE RENT
ROLL AND ARE HELD CONSISTENT WITH SECTION 3.8; (VIII) BORROWER IS THE SOLE OWNER
OF THE ENTIRE LESSOR'S INTEREST IN EACH LEASE; (IX) EACH LEASE IS THE VALID,
BINDING AND ENFORCEABLE OBLIGATION OF BORROWER AND THE APPLICABLE TENANT
THEREUNDER; (X) TO BORROWER'S BEST KNOWLEDGE, NO PERSON HAS ANY POSSESSORY
INTEREST IN, OR RIGHT TO OCCUPY, THE PROPERTY EXCEPT UNDER THE TERMS OF THE
LEASE; AND (XI) EACH LEASE IS SUBORDINATE TO THE LOAN DOCUMENTS, EITHER PURSUANT
TO ITS TERMS OR