RENT
IS NEXT DUE DURING THE TERM AN AMOUNT EQUAL TO THE IMPOSITIONS (THE "IMPOSITIONS
RESERVE"), PREMIUMS FOR INSURANCE REQUIRED UNDER ARTICLE 6 (THE "INSURANCE
RESERVE") AND/OR MAINTENANCE EXPENSES ("MAINTENANCE EXPENSES") FOR THE PREMISES
(IN AN AMOUNT EQUAL TO $0.20 PER NET RENTABLE SQUARE FOOT OF THE PREMISES) (THE
"MAINTENANCE RESERVE"; THE IMPOSITIONS RESERVE, THE INSURANCE RESERVE AND/OR THE
MAINTENANCE RESERVE ARE EACH A "RESERVE" AND COLLECTIVELY, THE "RESERVES") THAT
LANDLORD REASONABLY ESTIMATES WILL BE NECESSARY IN ORDER TO ACCUMULATE WITH
LANDLORD SUFFICIENT FUNDS TO PAY SUCH IMPOSITIONS, INSURANCE PREMIUMS AND
MAINTENANCE EXPENSES AS APPLICABLE FOR THE EARLIER OF (A) THE ENSUING TWELVE
(12) MONTHS, OR (B) AT LEAST THIRTY (30) DAYS PRIOR TO THEIR RESPECTIVE DUE
DATES. LANDLORD SHALL HOLD OR CAUSE THE MORTGAGEE TO HOLD THE AMOUNT FOR EACH
RESERVE REQUIRED HEREUNDER IN AN INTEREST-BEARING ACCOUNT WHICH INTEREST THEREON
SHALL ACCRUE FOR THE BENEFIT OF TENANT (WHICH MAY BE A BOOK ENTRY SUBACCOUNT)
(EACH, A "RESERVE SUBACCOUNT ACCOUNT", AND COLLECTIVELY, THE "RESERVE
SUBACCOUNTS"). LANDLORD SHALL HAVE THE RIGHT TO COLLECT RESERVES ON AN ANNUAL
BASIS UNTIL THE OCCURRENCE OF A RESERVE REVERSAL EVENT (DEFINED IN SECTION 30.06
(G) BELOW).
30.02
SATISFACTION OF TENANT'S OBLIGATIONS. ANY RESERVE PAYMENTS MADE
BY TENANT PURSUANT TO SECTION 30.01 FOR IMPOSITIONS, MAINTENANCE EXPENSES AND
INSURANCE PREMIUMS SHALL SATISFY TENANT'S OBLIGATIONS TO PAY IMPOSITIONS AND
MAINTENANCE EXPENSES AND TO PAY FOR AND
49
MAINTAIN INSURANCE UNDER THIS LEASE FOR THE APPLICABLE TWELVE (12) MONTH PERIOD.
LANDLORD SHALL TIMELY PAY OR CAUSE TO BE PAID SUCH IMPOSITIONS AND INSURANCE
PREMIUMS OR MAKE SUCH RESERVES AVAILABLE TO TENANT TO TIMELY PAY SUCH
IMPOSITIONS AND INSURANCE PREMIUMS.
30.03
RESERVE PERIOD; MAINTENANCE EXPENSES. DURING A RESERVE PERIOD (AS
DEFINED BELOW), LANDLORD SHALL DISBURSE OR CAUSE THE MORTGAGEE TO DISBURSE FUNDS
HELD IN THE RESERVE SUBACCOUNT FOR MAINTENANCE EXPENSES TO TENANT WITHIN FIFTEEN
(15) DAYS AFTER THE DELIVERY BY TENANT TO LANDLORD OF A REQUEST THEREFOR, IN AN
AMOUNT GREATER THAN TWENTY FIVE THOUSAND DOLLARS ($25,000) (OR A LESSER AMOUNT
IF THE TOTAL AMOUNT IN THE MAINTENANCE RESERVE IS LESS THAN TWENTY FIVE THOUSAND
DOLLARS ($25,000), IN WHICH CASE ONLY ONE SUCH DISBURSEMENT AS TO THAT
PARTICULAR MAINTENANCE EXPENSE SHALL BE MADE), PROVIDED THAT THE REQUEST FOR
DISBURSEMENT IS ACCOMPANIED BY: (A) A CERTIFICATE SIGNED BY AN OFFICER OF
TENANT: (I) STATING THAT THE MAINTENANCE WHICH IS THE SUBJECT OF THE REQUESTED
DISBURSEMENT HAS BEEN COMPLETED, (II) IDENTIFYING EACH PERSON THAT SUPPLIED
MATERIALS OR LABOR IN CONNECTION WITH SUCH MAINTENANCE OR ANY PORTION THEREOF,
AND (III) STATING THAT EACH SUCH PERSON SUPPLYING MATERIALS OR LABOR HAS BEEN
OR, UPON RECEIPT OF THE REQUESTED DISBURSEMENT, WILL BE PAID IN FULL WITH
RESPECT TO THE PORTION OF THE MAINTENANCE WHICH IS THE SUBJECT OF THE REQUESTED
DISBURSEMENT; (B) COPIES OF APPROPRIATE LIEN WAIVERS, TO THE EXTENT APPLICABLE,
OR OTHER EVIDENCE OF PAYMENT REASONABLY SATISFACTORY TO LANDLORD; AND (C) IF
REQUESTED BY LANDLORD'S MORTGAGEE, A TITLE SEARCH FOR SUCH PROPERTY LOCATION
INDICATING THAT SUCH PROPERTY LOCATION IS FREE FROM ALL LIENS,