Common use of HUD review Clause in Contracts

HUD review. The Buyer intends to obtain financing with respect to the Property from the United States Department of Housing and Urban Development ("HUD"). The environmental effects of any activity carried out with federal funds must comply with the provisions of the National Environmental Policy Act of 1969 and HUD regulations at 24 CFR Part 38, which include the completion of an environmental review. If the Vermont Department of Housing and Community Development provides the Buyer with a written determination at any time before the expiration of the Option Period, on the basis of a federally required environmental review and HUD's approval for release of federal funds, that it may enter into a conditional contract to purchase the Property, then the Buyer and the Seller may enter into a Purchase and Sale Agreement for the Property substantially in the form of Exhibit A attached hereto. The Purchase and Sale Agreement will replace this Option Agreement and this Option Agreement will thereafter become null, void and of no force or effect.