Common use of Exit Strategy Clause in Contracts

Exit Strategy. 1. In order for the property to obtain an ad valorem tax exemption, the General Partner shall at all times have an option to compel title to the property. During the initial tax credit compliance period, this option price will be at a price satisfactory to the Investor Limited Partner so as to reimburse the Investor Limited Partner all Capital Contributions plus costs, expenses and lost profits if in the event the option is exercised. From and after the end of the initial tax credit compliance period, the purchase option shall be at fair market value. 2. The Special Limited Partner desires at the end of the 15 years to re- syndicate and rehabilitate the project and proceed in the same fashion as contemplated by this agreement. In the event that the General Partner and Special Limited Partner elect at the end of the tax credit compliance period to re-syndicate the Project to allow for additional improvements and to maintain the Project as affordable housing, the parties will enter into an agreement for the re-syndication under substantially the same terms and conditions as contained in this MOU.