Common use of CONDITIONS PRECEDENT TO FIRST ADVANCE FOR NEW PROJECT Clause in Contracts

CONDITIONS PRECEDENT TO FIRST ADVANCE FOR NEW PROJECT. Atlantic shall not be obligated to advance funds in respect of a new Future Project for which Pursuit Costs are to be funded or for any Project to be acquired by Homestead or any Subsidiary until each of the following conditions is fulfilled: (a) The conditions precedent set forth in Section 5.1 shall remain satisfied. (b) Receipt by Atlantic of each of the following for each Future Project for which Pursuit Costs are to be funded: (i) a Funding Notice for the subject Future Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Future Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Future Project; and (iii) a Development Budget and Development Schedule for the subject Future Project. (c) Receipt by Atlantic of each of the following for each Project: (i) an Acquisition Notice for the subject Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Project; (iii) duly executed copies of any Homestead Security Documents, Partnership Security Documents or Subsidiary Security Documents, any Subsidiary Note, and any other Loan Documents which Atlantic may reasonably require to be executed and delivered in connection with such Project; (iv) an opinion of counsel addressing, as to the subject Borrower and the Loan Documents then being executed by such Borrower, the matters set forth in Section 5.1(a)(viii) above; (v) the Title Policy for the subject Property (or irrevocable commitment to issue such Title Policy), effective as of the date of the first advance in respect of such Project, in form and substance satisfactory to Atlantic in its reasonable judgment, confirming the first priority status and validity of the lien of the Security Documents on the Property to secure the obligations under the Notes, the Security Documents and the other Loan Documents; (vi) a survey of the subject Land, and a soils report, geotechnical report and environmental audit of the Land, satisfactory to Atlantic, in its reasonable judgment; and (vii) Copies of the Plans, Project Budget and Project Schedule for the subject Project. (d) With respect to each Project, the Title Insurer shall have been paid all title insurance premiums, filing fees, recording fees and taxes required for proper recording of the Security Documents to be recorded at such time and any other Loan Document to be filed or recorded at such time. (e) There shall not have occurred and be continuing any Default. (f) There shall be no actual or threatened condemnation of all or any portion of the Land comprising the Property. (g) The Completion and Payment Guaranty shall be in full force and effect.

CONDITIONS PRECEDENT TO FIRST ADVANCE FOR NEW PROJECT. Atlantic PTR shall not be obligated to advance funds in respect of a new Future Project for which Pursuit Costs are to be funded or for any Project to be acquired by Homestead or any Subsidiary until each of the following conditions is fulfilled: (a) The conditions precedent set forth in Section 5.1 shall remain satisfied. (b) Receipt by Atlantic PTR of each of the following for each Future Project for which Pursuit Costs are to be funded: (i) a Funding Notice for the subject Future Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Future Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Future Project; and (iii) a Development Budget and Development Schedule for the subject Future Project. (c) Receipt by Atlantic PTR of each of the following for each Project: (i) an Acquisition Notice for the subject Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Project; (iii) duly executed copies of any Homestead Security Documents, Partnership Security Documents or Subsidiary Security Documents, any Subsidiary Note, and any other Loan Documents which Atlantic PTR may reasonably require to be executed and delivered in connection with such Project; (iv) an opinion of counsel addressing, as to the subject Borrower and the Loan Documents then being executed by such Borrower, the matters set forth in Section 5.1(a)(viii) above; (v) the Title Policy for the subject Property (or irrevocable commitment to issue such Title Policy), effective as of the date of the first advance in respect of such Project, in form and substance satisfactory to Atlantic PTR in its reasonable judgment, confirming the first priority status and validity of the lien of the Security Documents on the Property to secure the obligations under the Notes, the Security Documents and the other Loan Documents; (vi) a survey of the subject Land, and a soils report, geotechnical report and environmental audit of the Land, satisfactory to AtlanticPTR, in its reasonable judgment; and (vii) Copies of the Plans, Project Budget and Project Schedule for the subject Project. (d) With respect to each Project, the Title Insurer shall have been paid all title insurance premiums, filing fees, recording fees and taxes required for proper recording of the Security Documents to be recorded at such time and any other Loan Document to be filed or recorded at such time. (e) There shall not have occurred and be continuing any Default. (f) There shall be no actual or threatened condemnation of all or any portion of the Land comprising the Property. (g) The Completion and Payment Guaranty shall be in full force and effect.

CONDITIONS PRECEDENT TO FIRST ADVANCE FOR NEW PROJECT. Atlantic PTR shall not be obligated to advance funds in respect of a new Future Project for which Pursuit Costs are to be funded or for any Project to be acquired by Homestead or any Subsidiary until each of the following conditions is fulfilled: (a) The conditions precedent set forth in Section 5.1 shall remain ----------- satisfied. (b) Receipt by Atlantic PTR of each of the following for each Future Project for which Pursuit Costs are to be funded: (i) a Funding Notice for the subject Future Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Future Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Future Project; and (iii) a Development Budget and Development Schedule for the subject Future Project. (c) Receipt by Atlantic PTR of each of the following for each Project: (i) an Acquisition Notice for the subject Project; (ii) if applicable, a fully executed copy of any agreement to be delivered by a Subsidiary in connection with such Project whereby such Subsidiary agrees to be bound by the terms of this Agreement with respect to the subject Project; (iii) duly executed copies of any Homestead Security Documents, Partnership Security Documents or Subsidiary Security Documents, any Subsidiary Note, and any other Loan Documents which Atlantic PTR may reasonably require to be executed and delivered in connection with such Project; (iv) an opinion of counsel addressing, as to the subject Borrower and the Loan Documents then being executed by such Borrower, the matters set forth in Section 5.1(a)(viii) above;; -------------------- (v) the Title Policy for the subject Property (or irrevocable commitment to issue such Title Policy), effective as of the date of the first advance in respect of such Project, in form and substance satisfactory to Atlantic PTR in its reasonable judgment, confirming the first priority status and validity of the lien of the Security Documents on the Property to secure the obligations under the Notes, the Security Documents and the other Loan Documents; (vi) a survey of the subject Land, and a soils report, geotechnical report and environmental audit of the Land, satisfactory to AtlanticPTR, in its reasonable judgment; and (vii) Copies of the Plans, Project Budget and Project Schedule for the subject Project. (d) With respect to each Project, the Title Insurer shall have been paid all title insurance premiums, filing fees, recording fees and taxes required for proper recording of the Security Documents to be recorded at such time and any other Loan Document to be filed or recorded at such time. (e) There shall not have occurred and be continuing any Default. (f) There shall be no actual or threatened condemnation of all or any portion of the Land comprising the Property. (g) The Completion and Payment Guaranty shall be in full force and effect.