Debt Service Coverage Amount. At any time determined by the Agent, an amount equal to the maximum principal amount of Loans that may be outstanding pursuant to the following formula: ADJUSTED NOI = P ------------ 2.0 x D Where P = maximum principal balance of Loans that may be outstanding D = the greater of (a) the greater of (i) the then-current annual yield on ten (10) year obligations issued by the United States Treasury most recently prior to the date of determination plus 2.0% payable on a 25-year mortgage style amortization schedule (expressed as a decimal), or (ii) .095, and (b) the actual blended rate of interest then payable with respect to the Loans (expressed as a decimal) NOI = the product of (a) Net Operating Income from the Unencumbered Borrowing Base Properties for the preceding two (2) fiscal quarters most recently ended multiplied by (b) two (2) (subject to the provisions for the calculation of Adjusted Net Operating Income for the period through December 31, 2001 as set forth in the definition of Adjusted Net Operating Income) Adjusted NOI = the sum of (a) NOI less (b) the Capital Expenditure Reserve for the Unencumbered Borrowing Base Properties Attached hereto as SCHEDULE 2 is an example of the calculation of Debt Service Coverage Amount (such example is meant only as an illustration based upon the assumptions set forth in such example, and shall not be interpreted so as to limit the Agent in its good faith determination of the Debt Service Coverage Amount hereunder as hereinafter provided). The determination of the Debt Service Coverage Amount and the components thereof by the Agent shall, so long as the same shall be determined in good faith, be conclusive and binding absent manifest error.
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Debt Service Coverage Amount. At any time determined by the Agent, an amount equal to the maximum principal amount of Loans all Funded Unsecured Indebtedness (including Loans) that may be outstanding pursuant to the following formula: ADJUSTED Adjusted NOI = P ------------ 2.0 x D Where P = maximum principal balance of Loans all Funded Unsecured Indebtedness (including the Loans) that may be outstanding D = the greater greatest of (a) the greater of (i) a loan constant based upon the then-current annual yield on ten (10) year obligations issued by the United States Treasury most recently prior to the date of determination plus 2.01.75% payable on a 25-year mortgage style amortization schedule (expressed as a decimal), or (iib) .095.09, and (bc) the actual blended rate of interest then payable with respect to the Loans (expressed as a decimal) NOI = the product of (a) Net Operating Income from the Unencumbered Borrowing Base Properties for the preceding two (2) fiscal quarters most recently ended multiplied by (b) two (2) (subject to the provisions for the calculation of Adjusted Net Operating Income for the period through December 31, 2001 as set forth in the definition of Adjusted Net Operating Income) Adjusted NOI = the sum of (a) NOI less (b) the Capital Expenditure Reserve for the Unencumbered Borrowing Base Properties Attached hereto as SCHEDULE Schedule 2 is an example of the calculation of Debt Service Coverage Amount (such example is meant only as an illustration based upon the assumptions set forth in such example, and shall not be interpreted so as to limit the Agent in its good faith determination of the Debt Service Coverage Amount hereunder as hereinafter provided). The determination of the Debt Service Coverage Amount and the components thereof by the Agent shall, so long as the same shall be reasonably determined in good faith, be conclusive and binding absent manifest error. The Debt Service Coverage Amount shall not be used in determining the Borrowing Base except as provided in the definition thereof.
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