CONDITIONS OF THE LOAN DOCUMENTS, FREE FROM ANY LIENS (OTHER THAN PERMITTED
ENCUMBRANCES), CLAIMS OR ASSESSMENTS (ACTUAL OR CONTINGENT) ASSERTED AGAINST ANY
OF THE PROPERTIES FOR ANY MATERIAL, LABOR OR OTHER ITEMS FURNISHED IN CONNECTION
THEREWITH UNLESS (I) BONDED AND REMOVED AS A LIEN ON THE AFFECTED PROPERTY OR
(II) BEING CONTESTED IN ACCORDANCE WITH THE PROVISIONS OF SECTION 3.6(B) OF THE
MORTGAGE.
REASONABLE EVIDENCE OF SATISFACTORY COMPLIANCE WITH THE FOREGOING
SHALL BE FURNISHED BY BORROWERS TO LENDER UPON FINAL COMPLETION.
IN ADDITION,
IF ANY SUCH CERTIFICATE OF OCCUPANCY OR OTHER GOVERNMENTAL APPROVALS ARE
TEMPORARY IN NATURE, BORROWERS SHALL DILIGENTLY PURSUE PROCURING FINAL
CERTIFICATES OF OCCUPANCY AND/OR GOVERNMENTAL APPROVALS, AS APPLICABLE.
(H)
INSPECTION OF PROPERTY.
BORROWERS SHALL
PERMIT LENDER, THE CONSTRUCTION CONSULTANT AND THEIR RESPECTIVE REPRESENTATIVES,
UPON REASONABLE ADVANCE NOTICE (WHICH MAY BE GIVEN VERBALLY) DURING BUSINESS
HOURS WHEN POSSIBLE, TO ENTER UPON ANY PROPERTY, INSPECT THE PROGRESS OF THE
PROJECT AND ALL MATERIALS TO BE USED IN THE CONSTRUCTION THEREOF AND TO EXAMINE
THE PLANS AND SPECIFICATIONS WHICH ARE OR MAY BE KEPT AT THE CONSTRUCTION SITE
AT ALL REASONABLE TIMES AND WITH REASONABLE ADVANCE WRITTEN NOTICE (WHICH MAY BE
GIVEN VERBALLY) AND WILL COOPERATE, AND USE REASONABLE EFFORTS TO CAUSE THE
CONSTRUCTION MANAGER AND THE MAJOR CONTRACTORS TO COOPERATE, WITH THE
CONSTRUCTION CONSULTANT TO ENABLE HIM/HER TO PERFORM HIS/HER FUNCTIONS
HEREUNDER.
(I)
CONSTRUCTION CONSULTANT.
BORROWERS
ACKNOWLEDGE THAT (I) THE CONSTRUCTION CONSULTANT HAS BEEN RETAINED BY LENDER, AT
THE SOLE EXPENSE OF BORROWERS, TO ACT AS A CONSULTANT AND ONLY AS A CONSULTANT
TO LENDER IN CONNECTION WITH THE CONSTRUCTION OF THE PROJECT AND HAS NO DUTY TO
BORROWERS, (II) THE CONSTRUCTION CONSULTANT SHALL IN NO EVENT HAVE ANY POWER OR
AUTHORITY TO GIVE ANY APPROVAL OR CONSENT OR TO DO ANY OTHER ACT OR THING WHICH
IS BINDING UPON LENDER, (III) LENDER RESERVES THE RIGHT TO MAKE ANY AND ALL
DECISIONS REQUIRED TO BE MADE BY LENDER UNDER THIS AGREEMENT AND TO GIVE OR
REFRAIN FROM GIVING ANY AND ALL CONSENTS OR APPROVALS REQUIRED TO BE GIVEN BY
LENDER UNDER THIS AGREEMENT AND TO ACCEPT OR NOT ACCEPT ANY MATTER OR THING
REQUIRED TO BE ACCEPTED BY LENDER UNDER THIS AGREEMENT, AND WITHOUT BEING BOUND
OR LIMITED IN ANY MANNER OR UNDER ANY CIRCUMSTANCE WHATSOEVER BY ANY OPINION
EXPRESSED OR NOT EXPRESSED, OR ADVICE GIVEN OR NOT GIVEN, OR INFORMATION,
CERTIFICATE OR REPORT PROVIDED OR NOT PROVIDED, BY THE CONSTRUCTION CONSULTANT
WITH RESPECT THERETO, (IV) LENDER RESERVES THE RIGHT IN ITS SOLE AND ABSOLUTE
DISCRETION TO DISREGARD OR DISAGREE, IN WHOLE OR IN PART, WITH ANY OPINION
EXPRESSED, ADVICE GIVEN OR INFORMATION, CERTIFICATE OR REPORT FURNISHED OR
PROVIDED BY THE CONSTRUCTION CONSULTANT TO LENDER OR ANY OTHER PERSON OR PARTY,
AND (V) LENDER RESERVES THE RIGHT TO REPLACE THE CONSTRUCTION CONSULTANT WITH
ANOTHER INSPECTING ENGINEER AT ANY TIME AND WITHOUT PRIOR NOTICE TO OR APPROVAL
BY BORROWERS (BUT LENDER AGREES TO PROVIDE BORROWERS WITH REASONABLY PROMPT
NOTICE OF ANY DECISION TO CHANGE THE CONSTRUCTION CONSULTANT).
LENDER HEREBY
ADVISES