Collateral Assignment of Leases and Rents Clause Samples

The Collateral Assignment of Leases and Rents clause gives a lender the right to take over a borrower's rights to income from leases and rents associated with a property, typically as security for a loan. In practice, if the borrower defaults on the loan, the lender can collect rent payments directly from tenants or manage the leases to recover the outstanding debt. This clause ensures the lender has a direct source of repayment and reduces the risk of loss if the borrower fails to meet their obligations.
POPULAR SAMPLE Copied 8 times
Collateral Assignment of Leases and Rents. A first priority collateral assignment of leases and rents (individually and collectively, the “Assignment of Leases and Rents”) granted by each Borrowing Base Property Owner to the Administrative Agent, for the ratable benefit of the Lenders, with respect to all Leases of each Collateral Property and all income and profits to be derived from the operation and leasing of each Collateral Property.
View SourceView Similar (14)
Collateral Assignment of Leases and Rents. Mortgagor hereby assigns to the Bank as collateral security for the Obligations all of Mortgagor's rights and benefits under any and all Leases (as defined in Section 1.4 below) and any and all rents and other amounts now or hereafter owing with respect to the Leases or the use or occupancy of the Property. This collateral assignment shall be absolute and effective immediately, but Mortgagor shall continue to collect rents owing under the Leases until an Event of Default (as defined in Section 6.1 below) occurs and the Bank exercises its rights and remedies to collect such rents as set forth in Section 6.2(c) hereof.
View SourceView Similar (4)
Collateral Assignment of Leases and Rents 
View SourceView Similar (2)
Collateral Assignment of Leases and Rents. The Mortgagor hereby irrevocably and unconditionally assigns to the Bank, and its successors and assigns, as collateral security for the Obligations all of the Mortgagor's rights and benefits under any and all Leases (as hereinafter defined) and any and all rents and other amounts now or hereafter owing with respect to the Leases or the use or occupancy of the Property. This collateral assignment shall be absolute and effective immediately, but the Mortgagor shall have a license, revocable by the Bank, to continue to collect rents owing under the Leases until an Event of Default (as hereinafter defined) occurs and the Bank exercises its rights and remedies to collect such rents as set forth herein.
View SourceView Similar (9)
Collateral Assignment of Leases and Rents. As additional security for the payment of the indebtedness evidenced by the Note, together with all interest, attorneys' fees, insurance premiums, taxes, collection costs, keeper's fees, and all other costs and to secure the full and punctual payment and performance of all other obligations of Mortgagor to Mortgagee, now existing or hereafter arising, up to the maximum amount of five (5) times the principal amount of the Note, Mortgagor does hereby pledge, pawn, grant a security interest in, transfer, assign, set over, abandon, and deliver with full subrogation to Mortgagee all right, title, and interest of Mortgagor in and to (i) all present and future rents, fruits, revenues, income, and profits accruing from time to time from the use, possession, occupancy, or lease of all or any part of the Mortgaged Property and from Mortgagor's operation thereof (collectively, the "Rents") and (ii) all present and future leases on all or any part of the Mortgaged Property (collectively, the "Leases"). Although this creates a present assignment and vested security right in favor of Mortgagee, Mortgagor shall be entitled to collect, use, commingle, and dispose of the Rents as long as there has been no Default (as hereinafter defined) under this mortgage or until Mortgagee sends written notice as hereinafter provided. Mortgagor covenants and agrees not to execute in favor of any person, firm, or corporation any sale, assignment, pledge, or other document that affects or encumbers the Rents or Leases until all obligations secured by this mortgage have been paid in full. Upon the occurrence of a Default or upon Mortgagee sending written notice to Mortgagor at Mortgagor's address set forth above by hand delivery or by deposit in the United States mail, certified mail, return receipt requested, Mortgagee shall have the right to receive and collect the Rents until all obligations secured by this mortgage have been paid in full. Mortgagor hereby irrevocably makes, constitutes, and appoints Mortgagee its attorney-in-fact, either in its own name or in the name of Mortgagee, to demand, sue for, collect, receive, and re▇▇▇pt for the Rents, to endorse in the name of Mortgagor any checks or drafts payable to Mortgagor that may be received or collected on account of or in payment of the Rents, to settle, adjust and compromise, without incurring any liability in connection therewith, all present and future claims arising out of the Rents and Leases, and to exercise all the rights and...
View SourceView Similar (2)
Collateral Assignment of Leases and Rents. Mortgagor hereby collaterally assigns and pledges the Leases and Rents to Mortgagee for the ratable benefit of the Holders as additional collateral security for repayment and performance of the Secured Obligations. To the maximum extent permitted by applicable law, Mortgagor hereby further grants to Mortgagee the right, but not the obligation, after the occurrence of an Event of Default, to (i) demand, sue for, collect, receive and receipt for Rents, (ii) apply the Rents ▇▇ account of the Secured Obligations, and (iii) perform such other acts as Mortgagee is entitled to perform pursuant to this Mortgage, the Indenture, or any other Security Document. Such assignment shall continue in effect until the entire amount of the Secured Obligations shall be paid in full and all of the Secured Obligations shall be fully performed in accordance with this Mortgage and the other Security Documents. Mortgagee shall be entitled to all the security rights, remedies and benefits afforded by La. R.S. ss. 9:4401.
View Source
Collateral Assignment of Leases and Rents. This Mortgage is hereby amended by inserting at the end of Section 1.2 hereof the following sentence: “Mortgagee shall be entitled to all of the security rights, remedies and benefits afforded by La. R.S. §9:4401.”
View Source

Related to Collateral Assignment of Leases and Rents

  • Assignment of Leases and Rents There exists as part of the related Mortgage File an Assignment of Leases (either as a separate instrument or incorporated into the related Mortgage). Subject to the Permitted Encumbrances and the Title Exceptions, each related Assignment of Leases creates a valid first-priority collateral assignment of, or a valid first-priority lien or security interest in, rents and certain rights under the related lease or leases, subject only to a license granted to the related Mortgagor to exercise certain rights and to perform certain obligations of the lessor under such lease or leases, including the right to operate the related leased property, except as the enforcement thereof may be limited by the Standard Qualifications. The related Mortgage or related Assignment of Leases, subject to applicable law, provides that, upon an event of default under the Mortgage Loan, a receiver is permitted to be appointed for the collection of rents or for the related Mortgagee to enter into possession to collect the rents or for rents to be paid directly to the Mortgagee.

  • Assignment of Leases The Assignment of Leases creates a valid assignment of, or a valid security interest in, certain rights under the Leases, subject only to a license granted to Borrower to exercise certain rights and to perform certain obligations of the lessor under the Leases, including the right to operate the Property. No Person other than Lender has any interest in or assignment of the Leases or any portion of the Rents due and payable or to become due and payable thereunder.

  • Assignment of Lease The Tenant may not assign the Lease or sublet all or any part of the Premises or otherwise grant possession of the Premises or any portion thereof to any other person without first obtaining the prior written consent of the Landlord, such consent not to be unreasonably withheld. In no event shall the Tenant be released or discharged from the full performance of this Lease and the payment of all rents and monies and the observance of all covenants, agreements, terms and conditions herein contained and any such consent granted by the Landlord shall not be deemed or implied as consent to any further or subsequent assignment or subletting. In the event this Lease is assigned or all or a portion of the Premises sublet, the Tenant shall pay all reasonable out-of-pocket expenses incurred by the Landlord in any such assignment or subletting, including the Landlord’s legal costs in connection therewith and a non-refundable amount of Five Hundred Dollars ($500.00) in advance to the Landlord, representing a reasonable cost to the Landlord for reviewing such application. Any transferee shall enter into an agreement directly with the Landlord covenanting to be bound by all of the Tenant’s obligations hereunder to the extent applicable to it. Notwithstanding the foregoing provisions of this Section 10.01 or anything else contained herein, so long as Tenant is not then in default under this Lease beyond any applicable curative period provided for in this Lease, Tenant shall have the right, without the consent of Landlord, but otherwise in accordance with the requirements of this Lease, including without limitation, the obligation of any transferee to enter into an agreement directly with the Landlord covenanting to be bound by all of the Tenant’s obligations hereunder to the extent applicable, to assign this Lease and/or sublease the whole or part of the Premises to:

  • Assignment of Leases, Rents and Profits There exists as part of the related Mortgage File an Assignment of Leases, Rents and Profits (either as a separate instrument or incorporated into the related Mortgage). Subject to the Permitted Encumbrances and the Title Exceptions (and, in the case of a Mortgage Loan that is part of a Whole Loan, subject to the related Assignment of Leases, Rents and Profits constituting security for the entire Whole Loan), each related Assignment of Leases, Rents and Profits creates a valid first-priority collateral assignment of, or a valid first-priority lien or security interest in, rents and certain rights under the related lease or leases, subject only to a license granted to the related Borrower to exercise certain rights and to perform certain obligations of the lessor under such lease or leases, including the right to operate the related leased property, except as the enforcement thereof may be limited by the Standard Qualifications. The related Mortgage or related Assignment of Leases, Rents and Profits, subject to applicable law, provides that, upon an event of default under the Mortgage Loan, a receiver is permitted to be appointed for the collection of rents or for the related mortgagee to enter into possession to collect the rents or for rents to be paid directly to the mortgagee.

  • Leases and Rents (a) Borrower may enter into a proposed Lease (including the renewal or extension of an existing Lease (a "Renewal Lease")) without the prior written consent of Lender, provided such proposed Lease or Renewal Lease (i) provides for rental rates and terms comparable to existing local market rates and terms (taking into account the type and quality of the tenant) as of the date such Lease is executed by Borrower (unless, in the case of a Renewal Lease, the rent payable during such renewal, or a formula or other method to compute such rent, is provided for in the original Lease), (ii) is an arms-length transaction with a bona fide, independent third party tenant, (iii) does not have a materially adverse effect on the value of the Property taken as a whole, (iv) is subject and subordinate to the Security Instrument and the lessee thereunder agrees to attorn to Lender, and (v) is written on the standard form of lease approved by Lender. All proposed Leases which do not satisfy the requirements set forth in this Subsection 3.8(a) shall be subject to the prior approval of Lender and its counsel, at Borrower's expense. Borrower shall promptly deliver to Lender copies of all Leases which are entered into pursuant to this Subsection together with Borrower's certification that it has satisfied all of the conditions of this Subsection. (b) Borrower (i) shall observe and perform all the obligations imposed upon the lessor under the Leases and shall not do or permit to be done anything to impair the value of any of the Leases as security for the Debt; (ii) upon request, shall promptly send copies to Lender of all notices of default which Borrower shall send or receive thereunder; (iii) shall enforce all of the material terms, covenants and conditions contained in the Leases upon the part of the tenant thereunder to be observed or performed, (iv) shall not collect any of the Rents more than one (1) month in advance (except security deposits shall not be deemed Rents collected in advance); (v) shall not execute any other assignment of the lessor's interest in any of the Leases or the Rents; and (vi) shall not consent to any assignment of or subletting under any Leases not in accordance with their terms, without the prior written consent of Lender. (c) Borrower may, without the consent of Lender, amend, modify or waive the provisions of any Lease or terminate, reduce rents under, accept a surrender of space under, or shorten the term of, any Lease (including any guaranty, letter of credit or other credit support with respect thereto) provided that such action (taking into account, in the case of a termination, reduction in rent, surrender of space or shortening of term, the planned alternative use of the affected space) does not have a materially adverse effect on the value of the Property taken as a whole, and provided that such Lease, as amended, modified or waived, is otherwise in compliance with the requirements of this Security Instrument and any subordinate agreement binding upon Lender with respect to such Lease. A termination of a Lease with a tenant who is in default beyond applicable notice and grace periods shall not be considered an action which has a materially adverse effect on the value of the Property taken as a whole. Any amendment, modification, waiver, termination, rent reduction, space surrender or term shortening which does not satisfy the requirements set forth in this Subsection shall be subject to the prior approval of Lender and its counsel, which approval shall not be unreasonably withheld or delayed, at Borrower's expense. Borrower shall promptly deliver to Lender copies of amendments, modifications and waivers which are entered into pursuant to this Subsection together with Borrower's certification that it has satisfied all of the conditions of this Subsection. (d) Notwithstanding anything contained herein to the contrary, Borrower shall not, without the prior written consent of Lender, enter into, renew, extend, amend, modify, waive any provisions of, terminate, reduce rents under, accept a surrender of space under, or shorten the term of, any Major Lease. The term "Major Lease" shall mean any Lease between Borrower as landlord and a third party as tenant demising in the aggregate more than the lesser of (i) 15,000 rentable square feet or (ii) fifteen percent (15%) of the total rentable square feet at the Property.