Common use of Mandatory Principal Prepayments Clause in Contracts

Mandatory Principal Prepayments. Subject to compliance with Section 3.5, Borrower shall make mandatory prepayments on the Loan as follows: (1) Borrower shall, immediately after the completion of each sale or other disposition which results in Net Asset Disposition Proceeds, prepay the Loan in an aggregate principal amount equal to one hundred percent (100%) of such Net Asset Disposition Proceeds. (2) If, at any time after the date that the Loan is Advanced, Borrower or any Subsidiary issues or incurs any Debt for borrowed money, including Debt evidenced by notes, bonds, debentures or other similar instruments, Borrower shall, immediately after such issuance or incurrence, prepay the Loan in an aggregate principal amount equal to one hundred percent (100%) of the Net Debt Proceeds of such Debt. (3) If, at any time after the Closing Date, Borrower or any Subsidiary issues or sells any Equity Securities, Borrower shall, immediately after such issuance or sale, prepay the Loan in an aggregate principal amount equal to one hundred percent (100%) of the Net Equity Proceeds of such Equity Securities. (4) No later than three (3) Business Days following the date of receipt by Borrower or a Subsidiary of any Net Insurance Proceeds or Net Condemnation Proceeds, Borrower shall prepay the Loan in an amount equal to the aggregate amount of the sum of such Net Insurance Proceeds and Net Condemnation Proceeds.