Common use of Deferred Maintenance Clause in Contracts

Deferred Maintenance. (a) Lender has caused the Property to be inspected and such inspection has revealed that the Property is in need of certain maintenance, repairs and/or remedial or corrective work. Purchaser shall cause each of the required repairs described in that certain Property Condition Report dated September 28, 2015, and prepared by ▇▇▇▇▇▇▇▇ Environmental (the "Engineering Report"), a copy of which have been provided to, and receipt of which is hereby acknowledged by, Purchaser (the “Deferred Maintenance”) to be completed, performed, remediated and corrected to the reasonable satisfaction of Lender and in compliance with all applicable laws, ordinances, rules and regulations on or before January 14, 2017, as such time period may be extended by Lender in its sole discretion. Upon completion of each item of Deferred Maintenance, Purchaser shall deliver to Lender (1) copies of invoices, receipts or other evidence satisfactory to Lender verifying the costs of the Deferred Maintenance, and (2) either (i) a new (or amended) certificate of occupancy for the improvements affected by the performance of such Deferred Maintenance, if such new (or amended) certificate of occupancy is required by applicable law or regulation or (ii) a certificate made by Borrower to Lender that no such new or amended certificate of occupancy is required under applicable law or regulation in connection with the Deferred Maintenance, and (3) affidavits, lien waivers or other evidence reasonably satisfactory to Lender showing that all materialmen, laborers, subcontractors and any other parties who might or could claim statutory or common law liens and are furnishing or have furnished materials or labor to the Property have been paid all amounts due for such labor and materials furnished to the Property. (b) The tenant known as Prime Time Storage LLC has noted certain landlord work to be performed at the Property as described in that certain tenant estoppel dated November 10, 2015 (the "Tenant Estoppel"). Purchaser shall refrigerate the dock area as described in item (c) of Section 3 of the Tenant Estoppel as and when required under the lease with said tenant. Upon completion of such item, Purchaser shall deliver to Lender a tenant estoppel, in form and substance reasonably satisfactory to Lender, confirming such work has been performed to tenant's satisfaction.

Deferred Maintenance. (a) Lender has caused the Property to be inspected and such inspection has revealed that the Property is in need of certain maintenance, repairs and/or remedial or corrective work. work (“Deferred Maintenance”) described as follows: (i) On the east building parking lot alligatoring down the center of the parking lot was observed – approx 20% (ii) Minor rust streaks were observed on the building exterior. (iii) Common area driveway between the 2 buildings to truck docks is 80% alligatored. (b) Contemporaneously with the execution of this Agreement, Borrower has deposited into the Replacement Reserve the sum of $83,750. (c) Purchaser shall cause each of the required repairs described in that certain Property Condition Report dated September 28, 2015, and prepared by ▇▇▇▇▇▇▇▇ Environmental (the "Engineering Report"), a copy of which have been provided to, and receipt of which is hereby acknowledged by, Purchaser (the “items Deferred Maintenance”) Maintenance to be completed, performed, remediated and corrected to the reasonable satisfaction of Lender and in as necessary to bring the Property into compliance with all applicable laws, ordinances, rules and regulations on or before January 14, 2017the expiration of ninety (90) days after the date hereof, as such time period may be extended by Lender in its sole reasonable discretion. (d) So long as no Default hereunder or under the other Loan Documents has occurred and is continuing, sums deposited into the Replacement Reserve may be used to pay the costs and expenses of completing the Deferred Maintenance; and Lender shall, to the extent funds are available for such purpose disburse to Purchaser the amount paid or incurred by Purchaser in completing, performing, remediating or correcting the Deferred Maintenance upon satisfaction by Purchaser of the disbursement conditions set forth in Section 1.8(a) of the Security Instrument. Upon completion of each item the Deferred Maintenance and proof of Deferred Maintenance, Purchaser shall deliver to Lender (1) copies of invoices, receipts or other evidence satisfactory to Lender verifying the costs payment of the Deferred Maintenanceexpenses related thereto as outlined above, Lender shall disburse all funds remaining in the Replacement Reserve to Purchaser. Lender shall be entitled to rely on any draw request from Purchaser without any inquiry into the accuracy, validity or contestability of any such amount. Lender, at Purchaser’s cost and expense, shall have the right to inspect the work performed hereunder as a condition to Lender’s release of funds in the Replacement Reserve. (2e) either (i) a new (or amended) certificate of occupancy for the improvements affected by the performance of such Deferred Maintenance, if such new (or amended) certificate of occupancy is required by applicable law or regulation or (ii) a certificate made Lender hereby waives any default by Borrower to Lender that no such new or amended certificate of occupancy is required under applicable law or regulation in connection with the Deferred Maintenance, Maintenance and (3) affidavits, lien waivers or other evidence reasonably satisfactory to Lender showing that all materialmen, laborers, subcontractors and any other parties who might or could claim statutory or common law liens and are furnishing or have furnished materials or labor to the Property have been paid all amounts due for such labor and materials furnished to the Property. (b) The tenant known as Prime Time Storage LLC has noted certain landlord work to be performed at the Property as described in that certain tenant estoppel dated November 10, 2015 (the "Tenant Estoppel"). Purchaser shall refrigerate not be declared in default so long as it complies with the dock area as described in item (c) provisions of Section 3 of the Tenant Estoppel as and when required under the lease with said tenant. Upon completion of such item, Purchaser shall deliver to Lender a tenant estoppel, in form and substance reasonably satisfactory to Lender, confirming such work has been performed to tenant's satisfactionthis Section.

Deferred Maintenance. Upon receipt of notice of OWNER’s intent to sell, TOWN or its designee shall be entitled to inspect the PROPERTY. TOWN or its designee shall have an opportunity to determine whether: i. all plumbing, electrical and heating systems are in working order; ii. any violations of applicable building, plumbing, electric, fire, or housing codes exist; iii. all appliances which were originally furnished to OWNER as part of the PROPERTY, or any replacements thereof, are in working order; iv. walls, ceilings, and floors are clear and free of holes or other defects (aexcept for holes typical of picture hangers); v. doors, window screens, and similar appurtenances are cracked, broken, or torn; and, vi. carpets, drapes, and similar features which were originally furnished to OWNER as part of the PROPERTY, or any replacement thereof, are clean and free of holes, tears, or other defects. In the event deficiencies are noted, the TOWN or its designee shall obtain estimates to cure the observed deficiencies. The OWNER shall cure the deficiencies in a reasonable manner acceptable to TOWN or designee within thirty (30) Lender has caused days of being notified of the Property results of the inspection, but in no event later than close of escrow. Should OWNER fail to cure such deficiencies prior to the scheduled date of close of escrow, at the option of TOWN, its designee or assignee, escrow may be closed, title passed and monies paid to the selling OWNER subject to the condition that such funds as are necessary to pay for curing such deficiencies (based upon written estimates obtained by TOWN) shall be withheld from the monies due the selling OWNER and held by the escrow holder for the purpose of curing such deficiencies. TOWN, its designee or assignee, shall cause such deficiencies to be inspected cured and upon certification of completion of work by TOWN, escrow holder shall utilize such inspection has revealed that the Property is in need of certain maintenance, repairs and/or remedial or corrective funds to pay for said work. Purchaser Any remaining funds shall cause each of the required repairs described in that certain Property Condition Report dated September 28, 2015, and prepared by ▇▇▇▇▇▇▇▇ Environmental (the "Engineering Report"), a copy of which have been provided to, and receipt of which is hereby acknowledged by, Purchaser (the “Deferred Maintenance”) to be completed, performed, remediated and corrected paid to the reasonable satisfaction of Lender and in compliance with all applicable laws, ordinances, rules and regulations on or before January 14, 2017, as such time period may selling OWNER. No other payment shall be extended by Lender in its sole discretion. Upon completion of each item of Deferred Maintenance, Purchaser shall deliver to Lender (1) copies of invoices, receipts or other evidence satisfactory to Lender verifying the costs of the Deferred Maintenance, and (2) either (i) a new (or amended) certificate of occupancy for the improvements affected by the performance of such Deferred Maintenance, if such new (or amended) certificate of occupancy is required by applicable law or regulation or (ii) a certificate made by Borrower to Lender that no such new or amended certificate of occupancy is required under applicable law or regulation in connection with the Deferred Maintenance, and (3) affidavits, lien waivers or other evidence reasonably satisfactory to Lender showing that all materialmen, laborers, subcontractors and any other parties who might or could claim statutory or common law liens and are furnishing or have furnished materials or labor to the Property have been paid all amounts due for such labor and materials furnished to the Propertysaid OWNER. (b) The tenant known as Prime Time Storage LLC has noted certain landlord work to be performed at the Property as described in that certain tenant estoppel dated November 10, 2015 (the "Tenant Estoppel"). Purchaser shall refrigerate the dock area as described in item (c) of Section 3 of the Tenant Estoppel as and when required under the lease with said tenant. Upon completion of such item, Purchaser shall deliver to Lender a tenant estoppel, in form and substance reasonably satisfactory to Lender, confirming such work has been performed to tenant's satisfaction.

Deferred Maintenance. (a) Lender has caused the Property For each Project requiring Deferred Maintenance work, as identified in Schedule 1.1(DM) to be inspected and such inspection has revealed that the Property is in need of certain maintenance, repairs and/or remedial or corrective work. Purchaser shall cause each of the required repairs described in that certain Property Condition Report dated September 28Contribution and Sale Agreements, 2015, and prepared by ▇▇▇▇▇▇▇▇ Environmental (the "Engineering Report"), a copy of which have been provided to, and receipt of which is hereby acknowledged by, Purchaser (the “Deferred Maintenance”) to such work shall be completed, performed, remediated and corrected completed on or prior to the reasonable satisfaction first (1st) anniversary of Lender and in compliance with all applicable laws, ordinances, rules and regulations on the closing of the acquisition of the Project. Each Member shall be required to fund (or before January 14, 2017, be deemed to have funded) as Project Capital Contributions such time period may be extended by Lender in its sole discretion. Upon completion of each item of Deferred Maintenance, Purchaser shall deliver to Lender (1) copies of invoices, receipts or other evidence satisfactory to Lender verifying the costs Member's share of the Deferred Maintenance. The funding or deemed funding of such Deferred Maintenance shall occur on a progress billing basis, meaning that funding will occur or be deemed to have occurred after (but not until) such costs and expenses are incurred and that portion of the Deferred Maintenance work is completed. Deferred Maintenance will be funded as follows: (21) either (i) a new (or amended) certificate of occupancy first, if the Subsidiary for which Deferred Maintenance is completed has funds on hand from Available Cash, then such Subsidiary shall apply the improvements affected by the performance of same to fund such Deferred Maintenance, and such amounts so applied from Available Cash of such Subsidiary shall be deemed to have been distributed to the Company and then to the Members as a special distribution to the Members, allocated in accordance with the Capital Sharing Ratios, which amounts are then contributed by the Members to the Company as Project Capital Contributions in accordance with the Members' Capital Sharing Ratios, and which the Company then contributes as capital contributions to such Subsidiary for such Deferred Maintenance at such Project; (2) then, if such new Subsidiary's funds on hand from Available Cash are not sufficient to fund all of such Deferred Maintenance but the Company has funds on hand from Available Cash, then the Company shall fund as much of the Deferred Maintenance from such Subsidiaries' funds in hand pursuant to clause (or amended1) certificate of occupancy is required above, and such remaining Deferred Maintenance Amounts shall be paid for by applicable law or regulation or (ii) a certificate made by Borrower the Company contributing to Lender that no such new or amended certificate of occupancy is required under applicable law or regulation in connection with the Subsidiary such necessary amounts to fund such remaining Deferred Maintenance, and such amounts from Available Cash of the Company shall be deemed to have been distributed as a special distribution to the Members, allocated in accordance with the Capital Sharing Ratios, which amounts are then contributed by the Members to the Company as Project Capital Contributions in accordance with the Members' Capital Sharing Ratios, and which the Company then contributes as capital contributions to such Subsidiary for such Deferred Maintenance at such Project; and (3) affidavitsfinally, lien waivers or other evidence reasonably satisfactory if such Subsidiary's and the Company's aggregate funds on hand from Available Cash are not sufficient to Lender showing that all materialmenfund such Deferred Maintenance, laborers, subcontractors and any other parties who might or could claim statutory or common law liens and are furnishing or have furnished materials or labor then the Members shall contribute to the Property have been paid all Company as Project Capital Contributions such necessary amounts due for to fund such labor and materials furnished Deferred Maintenance in proportion to the PropertyMember's Capital Sharing Ratio and the Company will immediately contribute such amounts to such Subsidiary to fund such Deferred Maintenance. If Project Capital Contributions are required from the Members under this clause (3), then the Manager shall submit to the Members a Funding Request pursuant to Section 6.3(b) hereof. (b) The tenant known as Prime Time Storage LLC has noted certain landlord work to be performed at Manager shall call for Project Capital Contributions for Deferred Maintenance under Section 6.3(a)(3) hereof by written notice (a "Funding Request") in the Property as described in that certain tenant estoppel dated November 10, 2015 (the "Tenant Estoppel"). Purchaser shall refrigerate the dock area as described in item (c) form of Section 3 of the Tenant Estoppel as and when required under the lease with said tenant. Upon completion of such item, Purchaser shall deliver to Lender a tenant estoppel, in form and substance reasonably satisfactory to Lender, confirming such work has been performed to tenant's satisfaction.Schedule 6.3

Deferred Maintenance. Landlord and Tenant acknowledge that there are certain pre-existing conditions at the Property (acollectively, the “Deferred Maintenance”) Lender has caused that need to be repaired and/or addressed (in addition to the Pre-Existing Environmental Conditions that are covered by Section 6.4 above). The Deferred Maintenance are more particularly described on Exhibit “I” attached hereto. The Deferred Maintenance includes certain repairs required for the amphitheater on the Property to comply with the Americans With Disabilities Act (the “ADA Work”). Tenant agrees that Landlord shall not have any obligations with respect to the Deferred Maintenance, except that Landlord shall diligently pursue and obtain from the State, in accordance with the Purchase Agreement, the amount of up to One Million Dollars ($1,000,000.00) to be inspected used for the ADA Work (“ADA Reimbursement”). Upon receiving said funds from the State (if same have not been delivered directly to Tenant), Landlord shall promptly deliver the funds to Tenant. Landlord and such inspection has revealed ▇▇▇▇▇▇ shall work together in good faith to obtain said funds as soon as possible following the Commencement Date. Except for Landlord’s express obligation set forth above with respect to obtaining funds for the ADA Work, Tenant shall be solely responsible for the Deferred Maintenance, which Deferred Maintenance will be addressed by Tenant to bring the Property into good condition and repair in accordance with the performance schedule set forth on Exhibit “I” and in compliance with and subject to all Applicable Laws. Landlord and ▇▇▇▇▇▇ acknowledge and agree that the Property ADA Reimbursement: (i) is in need of certain maintenance, repairs and/or remedial or corrective work. Purchaser shall cause each to remedy a pre-existing condition satisfying an obligation of the required repairs described in that certain Property Condition Report dated September 28, 2015, State of California pursuant to the Agreement and prepared by Settlement and Release arising out of the matter entitled ▇▇▇▇▇▇▇▇▇ Environmental (the "Engineering Report")v. State of California, a copy of which have been provided to, and receipt of which is hereby acknowledged by, Purchaser (the “Deferred Maintenance”) to be completed, performed, remediated and corrected to the reasonable satisfaction of Lender and in compliance with all applicable laws, ordinances, rules and regulations on or before January 14, 2017, as such time period may be extended by Lender in its sole discretion. Upon completion of each item of Deferred Maintenance, Purchaser shall deliver to Lender (1) copies of invoices, receipts or other evidence satisfactory to Lender verifying the costs of the Deferred Maintenanceet al., and (2) either (i) a new (or amended) certificate of occupancy for the improvements affected by the performance of such Deferred Maintenance, if such new (or amended) certificate of occupancy is required by applicable law or regulation or (ii) a certificate made the receipt and use of the funds by Borrower ▇▇▇▇▇▇ was factored into the negotiations establishing the fair market rental value of the Premises under this Lease (i.e., ▇▇▇▇▇▇ would have otherwise paid less under this Lease had Tenant not assumed the obligation to Lender that perform the ADA Work), (iii) Tenant is obtaining no such new or amended certificate public benefit from the receipt of occupancy is required under applicable law or regulation in connection with the Deferred MaintenanceADA Reimbursement, and (3iv) affidavitsTenant’s performance of the ADA Work may require the payment of prevailing wages, lien waivers or other evidence reasonably satisfactory to Lender showing that all materialmenand if so paid, laborers, subcontractors and any other parties who might or could claim statutory or common law liens and are furnishing or have furnished materials or labor the ADA Reimbursement shall be limited solely to the Property have been paid all amounts due ADA Work. In the event that ▇▇▇▇▇▇ is able to complete the ADA Work for such labor and materials furnished less than the amount of the ADA Reimbursement, Tenant shall refund any remaining funds to the Property. State within sixty (b60) The tenant known as Prime Time Storage LLC has noted certain landlord work to be performed at the Property as described in that certain tenant estoppel dated November 10, 2015 (the "Tenant Estoppel"). Purchaser shall refrigerate the dock area as described in item (c) of Section 3 days after completion of the Tenant Estoppel as and when required under the lease with said tenant. Upon completion of such item, Purchaser shall deliver to Lender a tenant estoppel, in form and substance reasonably satisfactory to Lender, confirming such work has been performed to tenant's satisfactionADA Work.