Common use of Minor Condemnation Clause in Contracts

Minor Condemnation. If a Minor Condemnation occurs or the use or occupancy of the Development or any part thereof is temporarily requisitioned by a civil or military governmental authority, then (a) this Lease shall continue in full force and effect; (b) the Rent, City Payments, Additional Charges and other obligations under this Lease, shall be equitably adjusted taking into account the effect of such Minor Condemnation on Tenant's business and operations; and (c) Tenant shall promptly perform all work (the "Condemnation Work") required in order to repair any physical damage to the Development caused by the Condemnation, and to restore the Development, to the extent reasonably practicable, to its condition immediately before the Condemnation. If a Minor Condemnation occurs, the Proceeds will be and are hereby, to the extent permitted by applicable law and agreed to by the condemnor, assigned to and shall be withdrawn and paid into an interest‑bearing escrow account (the "Condemnation Escrow Account") to be created by an escrow agent (the "Condemnation Escrow Agent") selected by Landlord and Tenant within ten (10) days of when such Proceeds are made available (and acceptable to each Leasehold Mortgagee). If Tenant or Landlord for whatever reason cannot or will not participate in the selection of the Condemnation Escrow Agent, then the other party (with approval of each Leasehold Mortgagee) shall select the Condemnation Escrow Agent. This transfer of the Proceeds, to the extent permitted by applicable law and agreed to by the condemnor, shall be self‑operative and shall occur automatically upon the availability of the Proceeds and such Proceeds shall be payable into the Condemnation Escrow Account on the naming of the Condemnation Escrow Agent to be applied as provided in this Section 15.4. If the parties who participate in the selection process are unable to agree upon the selection of the Condemnation Escrow Agent, Landlord, Tenant or any Leasehold Mortgagee may apply to the Civil District Court for the Parish of Orleans, State of Louisiana for the appointment of a national bank located in the City as the Condemnation Escrow Agent. The Condemnation Escrow Agent shall deposit the Proceeds in the Condemnation Escrow Account and any after-tax interest earned thereon shall be added to the Proceeds. The Condemnation Escrow Agent shall disburse funds from the Condemnation Escrow Account to pay the cost of the Condemnation Work in a manner substantially similar to, and following the procedures described in, Section 12.2(b) of this Lease. The Proceeds shall be allocated among the following elements of compensation and disbursed by the Condemnation Escrow Agent in the following order: (a) First, the Condemnation Escrow Agent shall disburse the portion of the Proceeds allocable to loss or damage with respect to Tenant's interest in the Improvements. (b) Second, the Condemnation Escrow Agent shall disburse the portion of the Proceeds allocable to loss or damage with respect to the City's and Landlord's interest in the Improvements. (c) Third, the Condemnation Escrow Agent shall disburse the portion of the Proceeds allocable to Tenant's and Casino Subtenant’s interests other than Tenant's interest in the Improvements. (d) Fourth, the Condemnation Escrow Agent shall disburse the portion of the Proceeds allocable to Landlord's interest other than the City's and Landlord's interest in the Improvements. If the cost of the Condemnation Work exceeds the total amount of the Proceeds, Tenant shall be responsible for paying the excess cost. If the Proceeds exceed the cost of the Condemnation Work, the Condemnation Escrow Agent shall distribute the excess Proceeds to the City, Landlord, Tenant and Casino Subtenant in accordance with their respective interests after final payment for completion of the Condemnation Work, subject to the rights of the Leasehold Mortgagees with respect to Tenant's and Casino Subtenant’s shares of the Proceeds. Notwithstanding anything to the contrary set forth in this Section 15.4, the aggregate amount of compensation for any taking or condemnation that is paid to Tenant, Casino Subtenant or any Leasehold Mortgagees will be calculated as set forth in this Section 15.4, but following the consummation of the VICI Sale-Leaseback Transaction, any Proceeds due to Tenant, Casino Subtenant or any Leasehold Mortgagee shall be paid to Tenant and thereafter allocated among Tenant, Casino Subtenant and any Leasehold Mortgagees in accordance with the methodology set forth in the VICI Sublease.