Common use of Payment of Interest and Principal Clause in Contracts

Payment of Interest and Principal. Payments of principal and interest due under the Notes, if not sooner declared to be due in accordance with the provisions of the Notes or this Agreement, shall be made as follows: (a) Commencing on the first Business Day of the calendar month following the Initial Advance and on the first Business Day of each calendar month thereafter through and including the calendar month in which the Maturity Date occurs, accrued and unpaid interest only on the Principal Balance shall be due and payable; (b) Upon the consummation of each sale of a Unit, a payment equal to 100% of the Net Sales Proceeds with respect to such Unit; (c) The principal balance of the Mortgage Note, if not sooner declared to be due in accordance with the terms of the Mortgage Note or this Agreement, together with all accrued and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender on the first day of each month during the term of the Construction Loan (and on any other date on which interest is due under the Mortgage Note) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfied; provided, however, that neither such authorization nor agreement shall be deemed to limit, reduce or otherwise affect Borrower's obligation to pay interest if (a) there are no remaining amounts in the Budget allocated for the payment of interest (including Reserves specifically allocated to pay interest), or (b) Lender is entitled to withhold disbursement of the Construction Loan for any reason. Any amounts disbursed from the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable as provided in the Mortgage Note.

Payment of Interest and Principal. Payments (a) Notwithstanding any other provision of principal and interest due under the Notes, if not sooner declared to be due in accordance with the provisions of the Notes or this Agreement, the undersigned shall be made as follows: (a) Commencing entitled to collect interest on the first Business Day Subordinated Debt that accrues from and after the date hereof and is payable at the non-default rate specified in the Notes (which rate shall in no event exceed the rate set forth in the Notes as of the calendar month following date hereof), provided that such right shall automatically be suspended, without the Initial Advance and on necessity of Lender providing the first Business Day undersigned with any notice, at any time there exists an Event of each calendar month thereafter through and including Default (as defined in the calendar month in Loan Agreement) under the terms of the Loan Agreement (which the Maturity Date occurs, accrued and unpaid interest only on the Principal Balance shall be due and payable;has not been waived). (b) Upon the consummation Notwithstanding any other provision of each sale of a Unit, a payment equal to 100% of the Net Sales Proceeds with respect to such Unit; (c) The principal balance of the Mortgage Note, if not sooner declared to be due in accordance with the terms of the Mortgage Note or this Agreement, together with all accrued and unpaid interest thereonupon ten (10) days' prior written notice to Lender by Borrower, Borrower shall be due entitled to pay, and payable in full the undersigned shall be entitled to collect, the principal amount on the Maturity Date. Borrower hereby authorizes Subordinated Debt not to exceed $1,000,000 at any time that Lender on the first day of each month during the term has determined in its sole discretion that all three of the Construction Loan following conditions have been satisfied: (i) no Event of Default exists before and on any other date on which interest is due under the Mortgage Note) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent immediately after giving effect to such disbursement payment or would result from allowing such payment, (ii) Borrower shall have Excess Availability (as set forth defined in this Agreement are satisfied; provided, however, that neither the Loan Agreement) of at least $1,000,000 after giving effect to such authorization nor agreement payment and (iii) Borrower shall be deemed to limit, reduce or otherwise affect Borrower's obligation to pay interest if have received either (a) there are no remaining amounts in the Budget allocated for the payment a subordinated loan of interest (including Reserves specifically allocated $1,000,000 on terms and conditions acceptable to pay interest), Lender which shall be subject to a Subordination Agreement acceptable to Lender or (b) Lender is entitled a cash equity investment in Borrower of at least $1,000,000 on terms and conditions acceptable to withhold disbursement Lender. For purposes of determining whether the Construction Loan for Excess Availability test has been satisfied on any reason. Any payment date, Borrower and the undersigned shall assume that such payment will be funded only after payment of any amounts disbursed from the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable as provided in the Mortgage Noteowing by Borrower to Lender.

Payment of Interest and Principal. Payments Interest shall accrue on the Principal Balance from and after the date hereof. All interest payable hereunder shall be computed on the basis of a 360 day year, but shall be charged for the actual number of days principal and interest due under the Notes, if not sooner declared to be due is unpaid. Interest accruing in accordance with the provisions of the Notes or this Agreement, herewith shall be made as follows: (a) Commencing on the first Business Day of the calendar month following the Initial Advance and payable, in arrears, on the first Business Day of each calendar month, commencing with the first Business Day of the next calendar month thereafter through and including following the calendar month in which the Maturity Date occursinitial advance is made to Borrower, accrued and unpaid interest only continuing on the first Business Day of each and every calendar month thereafter until the Principal Balance (as advanced and readvanced) and all accrued interest thereon are paid in full. Agent shall provide a monthly notice to Borrower setting forth the amount of interest due and the due date thereof, which notice shall be due and payable; mailed on or prior to the tenth (b10th) Upon the consummation of each sale of a Unit, a payment equal to 100% of the Net Sales Proceeds with respect to such Unit; (c) The principal balance of the Mortgage Note, if not sooner declared to be due in accordance with the terms of the Mortgage Note or this Agreement, together with all accrued and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender on day preceding the first day of each month during the term of the Construction Loan (and on any other date on which interest is due under the Mortgage Note) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfiedmonth; provided, however, that neither Borrower shall be obligated to pay interest on the Loan when due regardless of the date Borrower receives such authorization nor agreement notice. All unpaid, accrued interest shall be paid in full on the Termination Date. In the event that the interest and/or charges in the nature of interest, if any, provided for by this Agreement or by any other Loan Document, shall contravene a legal or statutory limitation applicable to the Loan, if any, Borrower shall pay only such amounts as would legally be permitted; provided, however, that if the defense of usury and all similar defenses are unavailable to Borrower, Borrower shall pay all amounts provided for herein. If, for any reason, amounts in excess of the amounts permitted in the foregoing sentence shall have been paid, received, collected or applied hereunder, whether by reason of acceleration or otherwise, then, and in that event, any such excess amounts shall be applied to principal, unless principal has been fully paid, in which event such excess amount shall be refunded to Borrower. With respect to an Approved Acquisition for which the Lenders make an Advance under the Acquisition Sublimit, if all or any portion of such Advance remains outstanding under the Acquisition Sublimit for a period of time in excess of eighteen (18) months, Borrower shall pay to Agent quarterly amortization payments in the amount of $1,000,000.00 (commencing on the first Business Day of the next calendar quarter (i.e., the quarter commencing on January 1st, April 1st, July 1st and October 1st) after such eighteen (18) month period) until no portion of such Advance under the Acquisition Sublimit remains outstanding, whether because Borrower has requested, and Majority Lenders have approved, that such asset no longer be considered an "Approved Acquisition" and be deemed only an "Approved Asset" (in which instance the amount advanced with respect to such asset shall no longer be deemed advanced under the Acquisition Sublimit and shall be deemed advanced as working capital) or the Advance attributable to limit, reduce or otherwise affect Borrower's obligation such Approved Acquisition from the Acquisition Sublimit has been repaid in full (in which instance such Approved Acquisition shall no longer be deemed an Approved Asset). An amount equal to pay interest if (a) there are the Advance under the Acquisition Sublimit with respect to any Approved Acquisition shall again be available for readvance under the Acquisition Sublimit when no remaining amounts in the Budget allocated for the payment of interest (including Reserves specifically allocated to pay interest), or (b) Lender is entitled to withhold disbursement portion of the Construction Loan Advance for any reason. Any amounts disbursed from such Approved Acquisition remains outstanding under the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable as provided in the Mortgage NoteAcquisition Sublimit.

Payment of Interest and Principal. Payments a. On the date of this Note, Borrower shall pay to Lender a payment of interest only at the Interest Rate on the principal and interest due under the Notes, if not sooner declared to be due in accordance with the provisions amount of the Notes or Loan commencing on the date of this AgreementNote through the last day of the current calendar month. b. Commencing on January 1, shall be made as follows: (a) Commencing 1997 and continuing on the first Business Day of the calendar month following the Initial Advance and on the first Business Day day of each calendar month Loan Month thereafter through until and including the calendar month Maturity Date, Borrower shall pay to Lender the sum of (i) all accrued interest at the Interest Rate on the principal amount hereof then outstanding and (ii) installments of principal for each Loan Month in the amounts set forth on EXHIBIT A attached hereto, which amounts are calculated to be equal to the amount which would be sufficient to amortize the principal balance of this Note over a twenty (20) year term commencing on the date hereof (or the remainder of said term at the time of each such monthly payment), with interest accruing thereon at ten percent (10%) per annum; provided that on the Maturity Date occursDate, the entire unpaid principal balance of this Note and all accrued and unpaid interest only on the Principal Balance shall be due and payable;. (b) Upon c. In addition to the consummation of each sale of a Unitpayments required under SUBSECTIONS 2.a and 2.b above, a payment equal Lender shall have the right, subject to 100% and in accordance with SECTION 4.1.R of the Net Sales Proceeds with respect Loan Agreement, to such Unit; apply PAR Funds held by Lender to payment of (ci) The the outstanding principal balance of the Mortgage this Note, if not sooner declared or (ii) upon the occurrence of an Event of Default, amounts then due and payable under the Loan Documents in such order and priority as Lender may elect in its sole and absolute discretion. Said mandatory payments made pursuant to be due in accordance with the terms SECTION 4.1.R of the Mortgage Note or this AgreementLoan Agreement shall not be subject to the Prepayment Fee. d. The entire outstanding principal amount of the Loan, together with and all accrued and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender acknowledges and agrees that a substantial portion of the principal balance evidenced by this Note will be outstanding and due and payable on the first Maturity Date. e. All payments hereunder shall be made by wire transfer of immediately available federal funds without set-off or counterclaim and shall be made to the following account of Lender prior to 1:30 p.m., Eastern Standard Time, on the date due: FIRST NATIONAL BANK OF CHICAGO CHICAGO, ILLINOIS ABA#0710▇▇▇▇▇ ACCOUNT NUMBER:#52-56933 ACCOUNT NAME: NATIONSCREDIT COMMERCIAL CORPORATION REFERENCE: THE BADLANDS GOLF CLUB, INC. Whenever any payment to be made hereunder shall be stated to be due on a date other than a Business Day, such payment may be made on the next succeeding Business Day, and such extension of time shall be included in the calculation of interest on such principal. Any payments received after 1:30 p.m., Eastern Standard Time shall be deemed received on the next Business Day and shall include interest to such next Business Day. f. All interest required to be paid by Borrower hereunder shall be calculated on the basis of a year consisting of 360 days and shall be paid in arrears for the actual number of days elapsed, calculated as to each Advance from and including the date the applicable period commences to, but not including, the date such period ends. g. If any regular monthly installment of principal and interest shall not be paid at the place required under this Note on or before the fifth (5th) day following the due date thereof, Borrower shall pay to Lender a late charge (the "LATE CHARGE") of five cents ($0.05) for each month during Dollar so overdue in order to compensate Lender for its frustration in the term meeting of the Construction Loan (its financial and on loan commitments and to defray part of Lender's expenses incident to handling such delinquent payments. This charge shall be in addition to any other date on remedy Lender may have and is in addition to Lender's right to collect reasonable fees and charges of any agents or attorneys which Lender employs in connection with any Event of Default. To the extent that any Late Charge shall constitute interest is due under applicable law, the amount thereof, together with all other interest hereunder and under the Mortgage Note) Loan Documents, shall be expressly limited to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfied; provided, however, that neither such authorization nor agreement Maximum Rate. Nothing herein contained shall be deemed to limitconstitute a waiver or modification of the due date for such installments or any deposits required to be made hereunder or under any of the Loan Documents or the requirement that Borrower make all payments of installments and deposits as and when the same are due and payable. In addition, reduce Borrower shall pay to Lender interest at the Default Rate on (i) any part of any regular monthly installment of principal and interest which is not paid on or otherwise affect Borrower's obligation before the fifth (5th) day following the due date thereof, and (ii) any other amounts owed to pay Lender hereunder or under any Loan Document which are not paid on or before the tenth (10th) day following the due date thereof; such interest if (a) there are no remaining amounts in at the Budget allocated for Default Rate shall be calculated from the date the payment of interest (including Reserves specifically allocated in question became due to pay interest), or (b) Lender the date such payment is entitled to withhold disbursement of the Construction Loan for any reason. Any amounts disbursed from the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable as provided in the Mortgage Notemade.

Payment of Interest and Principal. Payments (a) Interest shall accrue daily on the unpaid principal balance under this Note at an interest rate of eight percent (8%) per annum (the “Interest Rate”), commencing on the respective dates of the Advances or increases of the Principal Amount contemplated herein, as applicable, and continuing until repaid in full, and shall be compounded annually. Upon the occurrence and during the continuation of an Event of Default, interest shall accrue on the unpaid principal and balance under this Note at an interest due under rate equal to the NotesInterest Rate plus two percent (2%) per annum. All interest accruing hereunder shall be computed on the basis of a 365-day year for the actual number of days elapsed. For greater certainty, if not sooner declared interest on the Specified Expenses shall accrue from the date such Specified Expenses become subject to be due reimbursement by Borrower in accordance with the provisions of the Notes or this Development and License Agreement, shall be made as follows: (a) Commencing on the first Business Day of the calendar month following the Initial Advance and on the first Business Day of each calendar month thereafter through and including the calendar month in which the Maturity Date occurs, accrued and unpaid interest only on the Principal Balance shall be due and payable;. (b) Upon Notwithstanding anything to the consummation contrary contained in this Note, if during any period for which interest is computed hereunder, the amount of each sale interest computed on the basis provided for in this Note, together with all fees, charges and other payments which are treated as interest under applicable Law, as provided for herein or in any other document executed in connection herewith, would exceed the amount of a Unit, a payment equal to 100% such interest computed on the basis of the Net Sales Proceeds Highest Lawful Rate, Borrower shall not be obligated to pay, and Len▇▇▇ ▇▇all not be entitled to charge, collect, receive, reserve or take interest together with respect to all fees, charges and other payments which are treated as interest under applicable Law in excess of the Highest Lawful Rate, and during any such Unit;period the interest payable hereunder, together with all fees, charges and other payments which are treated as interest under applicable Law, shall be computed on the basis of the lower of the Interest Rate and the Highest Lawful Rate. (c) The unpaid principal balance of the Mortgage Note, if not sooner declared to be due in accordance with the terms of the Mortgage Note or this Agreementowing hereunder, together with all any accrued and unpaid interest thereonand all other unpaid obligations hereunder (the sum of such amounts, at the applicable time, the “Balance”), shall be due and payable in full on the Maturity Dateearliest to occur of: (i) the three (3)-year anniversary of the issuance of this Note, (ii) a Change of Control, or (iii) the Licensing Fee becoming due and payable by Lender pursuant to the Development and License Agreement. Borrower hereby authorizes may prepay this Note at any time, in whole or in part, without fee or penalty. Borrower may not reborrow previously repaid amounts hereunder. (d) Any and all payments by Borrower under this Note shall be made without deduction or withholding for any Indemnifiable Taxes except as required by applicable Laws, in which case the sum payable by Borrower shall be increased as necessary so that after all such deductions or withholdings for Indemnifiable Taxes have been made Lender receives an amount equal to the sum it would have received had no such deductions or withholdings had been made. (e) For purposes of the Interest Act (Canada), (i) whenever any interest is calculated using a rate based on a period that is less than a calendar year, the rate determined pursuant to such calculation, when expressed as an annual rate, is equivalent to (x) the applicable rate based on the first day period that is less than a calendar year, (y) multiplied by the actual number of each month during days in the term of calendar year in which the Construction Loan (and on any other date on period for which such interest is due under the Mortgage Notepayable (or compounded) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loanends, and Lender agrees (z) divided by the period that is less than a calendar year, (ii) the principle of deemed reinvestment of interest does not apply to disburse Construction Loan proceeds to itself to pay such interestany interest calculation under this Agreement, provided all conditions precedent to such disbursement as set forth and (iii) the rates of interest stipulated in this Agreement are satisfied; providedintended to be nominal rates and not effective rates or yields. (f) In the event that the Balance becomes due and payable to Lender pursuant to Section 2(c)(iii) above, however, that neither such authorization nor agreement shall be deemed Lender or its applicable affiliate is hereby irrevocably instructed by Borrower to limit, reduce or otherwise affect Borrower's obligation to pay interest if (a) there are no remaining amounts in the Budget allocated for the retain from payment of interest (including Reserves specifically allocated the Licensing Fee to pay interest), or (b) Borrower an amount equal to the Balance and to apply such amount in satisfaction of all amounts owed to Lender is entitled to withhold disbursement of the Construction Loan for any reason. Any amounts disbursed from the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable as provided in the Mortgage Notehereunder.

Payment of Interest and Principal. Payments a. On the date of this Note, Borr▇▇▇▇ ▇▇▇ll pay to Lender a payment of interest only at the Interest Rate on the principal and interest due under the Notes, if not sooner declared to be due in accordance with the provisions amount of the Notes or Loan commencing on the date of this AgreementNote through the last day of the current calendar month. b. Commencing on January 1, shall be made as follows: (a) Commencing 1997 and continuing on the first Business Day of the calendar month following the Initial Advance and on the first Business Day day of each calendar month Loan Month thereafter through until and including the calendar month Maturity Date, Borrower shall pay to Lender the sum of (i) all accrued interest at the Interest Rate on the principal amount hereof then outstanding and (ii) installments of principal for each Loan Month in the amounts set forth on attached hereto, which amounts are calculated to be equal to the amount which would be sufficient to amortize the principal balance of this Note over a twenty (20) year term commencing on the date hereof (or the remainder of said term at the time of each such monthly payment), with interest accruing thereon at ten percent (10%) per annum; provided that on the Maturity Date occursDate, the entire unpaid principal balance of this Note and all accrued and unpaid interest only on the Principal Balance shall be due and payable;. (b) Upon c. In addition to the consummation of each sale of a Unitpayments required under SUBSECTIONS 2.a and 2.b above, a payment equal Lender shall have the right, subject to 100% and in accordance with SECTION 4.1.R of the Net Sales Proceeds with respect Loan Agreement, to such Unit; apply PAR Funds held by Lender to payment of (ci) The the outstanding principal balance of the Mortgage this Note, if not sooner declared or (ii) upon the occurrence of an Event of Default, mounts then due and payable under the Loan Documents in such order and priority as Lender may elect in its sole and absolute discretion. Said mandatory payments made pursuant to be due in accordance with the terms SECTION 4,1.R of the Mortgage Note or this AgreementLoan Agreement shall not be subject to the Prepayment Fee. d. The entire outstanding principal amount of the Loan, together with and all accrued and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender Borr▇▇▇▇ ▇▇▇nowledges and agrees that a substantial portion of the principal balance evidenced by this Note will be outstanding and due and payable on the first Maturity Date. e. All payments hereunder shall be made by wire transfer of immediately available federal funds without set-off or counterclaim and shall be made to the following account of Lender prior to 1:30 p.m., Eastern Standard Time, on the date due: FIRST NATIONAL BANK OF CHICAGO CHICAGO, ILLINOIS ABA #0710▇▇▇▇▇ ACCOUNT NUMBER: #52-56933 ACCOUNT NAME: NATIONSCREDIT COMMERCIAL CORPORATION REFERENCE: THE BADLANDS GOLF CLUB, INC. Whenever any payment to be made hereunder shall be stated to be due on a date other than a Business Day, such payment may be made on the next succeeding Business Day, and such extension of time shall be included in the calculation of interest on such principal. Any payments received after 1:30 p.m., Eastern Standard Time shall be deemed received on the next Business Day and shall include interest to such next Business Day. f. All interest required to be paid by Borr▇▇▇▇ ▇▇▇eunder shall be calculated on the basis of a year consisting of 360 days and shall be paid in arrears for the actual number of days elapsed, calculated as to each Advance from and including the date the applicable period commences to, but not including, the date such period ends. g. If any regular monthly installment of principal and interest shall not be paid at the place required under this Note on or before the fifth (5th) day following the due date thereof, Borrower shall pay to Lender a late charge (the "LATE CHARGE") of five cents ($0.05) for each month during Dollar so overdue in order to compensate Lender for its frustration in the term meeting of the Construction Loan (its financial and on loan commitments and to defray part of Lender's expenses incident to handling such delinquent payments. This charge shall be in addition to any other date on remedy Lender may have and is in addition to Lend▇▇'▇ ▇ight to collect reasonable fees and charges of any agents or attorneys which Lend▇▇ ▇▇▇loys in connection with any Event of Default. To the extent that any Late Charge shall constitute interest is due under applicable law, the amount thereof, together with all other interest hereunder and under the Mortgage Note) Loan Documents, shall be expressly limited to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfied; provided, however, that neither such authorization nor agreement Maximum Rate. Nothing herein contained shall be deemed to limit, reduce constitute a waiver or otherwise affect Borrower's obligation to pay interest if (a) there are no remaining amounts in the Budget allocated for the payment of interest (including Reserves specifically allocated to pay interest), or (b) Lender is entitled to withhold disbursement modification of the Construction due date for such installments or any deposits required to be made hereunder or under any of the Loan for Documents or the requirement that Borrower make all payments of installments and deposits as and when the same are due and payable. In addition, Borrower shall pay to Lender interest at the Default Rate on (i) any reason. Any amounts disbursed from the interest reserve shall become part of the outstanding any regular monthly installment of principal balance and interest thereon shall accrue which is not paid on or before the fifth (5th) day following the due date thereof, and be payable as provided in (ii) any other amounts owed to Lender hereunder or under any Loan Document which are not paid on or before the Mortgage Note.tenth

Payment of Interest and Principal. Payments Interest shall accrue on the Principal Balance from and after the date hereof. All interest payable hereunder shall be computed on the basis of a 360 day year, but shall be charged for the actual number of days principal and interest due under the Notes, if not sooner declared to be due is unpaid. Interest accruing in accordance with the provisions of the Notes or this Agreement, herewith shall be made as follows: (a) Commencing on the first Business Day of the calendar month following the Initial Advance and payable, in arrears, on the first Business Day of each calendar month, commencing with the first Business Day of the next calendar month thereafter through and including following the calendar month in which the Maturity Date occursinitial advance is made to Borrower, accrued and unpaid interest only continuing on the first Business Day of each and every calendar month thereafter until the Principal Balance (as advanced and readvanced) and all accrued interest thereon are paid in full. Agent shall provide a monthly notice to Borrower setting forth the amount of interest due and the due date thereof, which notice shall be due and payable; mailed on or prior to the tenth (b10th) Upon the consummation of each sale of a Unit, a payment equal to 100% of the Net Sales Proceeds with respect to such Unit; (c) The principal balance of the Mortgage Note, if not sooner declared to be due in accordance with the terms of the Mortgage Note or this Agreement, together with all accrued and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender on day preceding the first day of each month during the term of the Construction Loan (and on any other date on which interest is due under the Mortgage Note) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued and unpaid interest on the Construction Loan, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfiedmonth; provided, however, that neither such authorization nor agreement Borrower shall be deemed to limit, reduce or otherwise affect Borrower's obligation obligated to pay interest if on the Loan (aand any Swing Loan) there are no remaining amounts when due regardless of the date Borrower receives such notice. All unpaid, accrued interest shall be paid in full on the Termination Date. In the event that the interest and/or charges in the Budget allocated nature of interest, if any, provided for by this Agreement or by any other Loan Document, shall contravene a legal or statutory limitation applicable to the payment of interest Loan (including Reserves specifically allocated to pay interestor any Swing Loan), or (b) Lender is entitled if any, Borrower shall pay only such amounts as would legally be permitted; provided, however, that if the defense of usury and all similar defenses are unavailable to withhold disbursement of the Construction Loan Borrower, Borrower shall pay all amounts provided for herein. If, for any reason. Any , amounts disbursed from the interest reserve shall become part in excess of the outstanding principal balance and interest thereon shall accrue and be payable as provided amounts permitted in the Mortgage Noteforegoing sentence shall have been paid, received, collected or applied hereunder, whether by reason of acceleration or otherwise, then, and in that event, any such excess amounts shall be applied to principal, unless principal has been fully paid, in which event such excess amount shall be refunded to Borrower.

Payment of Interest and Principal. Payments of principal (a) If no default by the LLE Servicer has occurred and interest due is continuing under the NotesLLE Servicing Agreement, if not sooner declared the LLE Servicer may direct the Indenture Trustee in writing to withdraw from the Servicer Account on any Business Day, in each case before depositing (or causing to be deposited) Scheduled Lease Payments and Unscheduled Project Payments received with respect to any Land Lease Asset into the Collection Account pursuant to Section 5.03(b), only those amounts necessary to (i) pay known or reasonably anticipated Asset Level Expenses as and when due or (ii) reimburse the LLE Servicer for its payment of Asset Level Expenses, including LLE Servicer Advances related to such Land Lease Asset, in each case without duplication. If the amount available to be withdrawn on any Business Day is insufficient to pay or reimburse such Asset Level Expenses or LLE Servicer Advances, the LLE Servicer may direct the Indenture Trustee to withdraw such shortfall on one or more subsequent Business Days. The Indenture Trustee shall, promptly after its receipt of any written direction pursuant to this Section 3.07(a), withdraw from the Servicer Account the amount specified in such written direction and pay such amount in accordance with such written direction. If a Servicer Event of Default or an Event of Default has occurred and is continuing or a default by the provisions LLE Servicer under the LLE Servicing Agreement has occurred and is continuing, then, in each case, the LLE Servicer may deliver to the Indenture Trustee, in each case not fewer than two and not more than five Business Days before any Asset Level Expense is scheduled to become due and payable or any Asset Level Expense is eligible to be reimbursed, a notice executed and delivered by an Authorized Officer of the Notes LLE Servicer (i) specifying the date on which such Asset Level Expense will become due and payable or this Agreementsuch Asset Level Expense was incurred, shall be made as follows: (aii) Commencing on describing the first Business Day nature of such Asset Level Expense, (iii) identifying the Land Lease Entity to which such Asset Level Expense relates, and (iv) specifying the amount of such Asset Level Expense. The Indenture Trustee shall, promptly after its receipt of any such notice, withdraw from the Servicer Account the amount specified in such notice and pay such amount at the direction of the calendar month following LLE Servicer. The LLE Servicer may not amend, supplement or otherwise modify the Initial LLE Servicing Agreement without the prior written consent of the Required Bondholders. If the Servicer makes a Servicer Advance and on pursuant to Section 6.12, the first Business Day of each calendar month thereafter through and including Servicer may direct or instruct the calendar month Indenture Trustee to withdraw funds from the Servicer Account with respect to such Servicer Advance in which accordance with this Section 3.07(a) as if such advance had been made by the Maturity Date occurs, accrued and unpaid interest only on the Principal Balance shall be due and payable;LLE Servicer. (b) Upon On each Payment Date, the consummation Indenture Trustee shall, to the extent directed in the related Quarterly Servicer Report, apply the related Available Funds on deposit in the Collection Account to make the following payments and deposits in the following order of each sale of a Unitpriority: (i) pro rata (A) to the Owner Trustee and the Indenture Trustee, a payment equal to 100% of the Net Sales Proceeds Trustee Fees for such Payment Date plus any accrued but unpaid Trustee Fees with respect to such Unit; (c) The principal balance prior Payment Dates plus any extraordinary out-of-pocket expenses of the Mortgage NoteOwner Trustee or the Indenture Trustee incurred and not reimbursed and indemnity amounts owed to the Owner Trustee or the Indenture Trustee, if not sooner declared to be due in accordance each case in connection with the terms of the Mortgage Note or this Agreement, together with all accrued their respective obligations and unpaid interest thereon, shall be due and payable in full on the Maturity Date. Borrower hereby authorizes Lender on the first day of each month during the term of the Construction Loan (and on any other date on which interest is due duties under the Mortgage Note) to disburse to itself from the undisbursed proceeds of the Construction Loan all then accrued Trust Agreement and unpaid interest on the Construction Loanthis Indenture, and Lender agrees to disburse Construction Loan proceeds to itself to pay such interest, provided all conditions precedent to such disbursement as set forth in this Agreement are satisfiedrespectively; provided, however, that neither the aggregate amount payable to the Owner Trustee and the Indenture Trustee on such authorization nor agreement Payment Date as reimbursement for such expenses shall be deemed limited to limit$450,000 per calendar year unless an Event of Default has occurred, the Bonds have been accelerated, or the Trust Estate has been sold pursuant to this Indenture; and (B) to the Backup Servicer, the Backup Servicer Fee for such Payment Date plus any accrued but unpaid Backup Servicer Fees with respect to prior Payment Dates; (ii) to the Servicer, the Servicer Fee for such Payment Date; (iii) to the Servicer, any accrued but unpaid Servicer Fees with respect to prior Payment Dates plus, to the extent not otherwise reimbursed, any other costs and expenses of the Servicer relating to mistaken deposits, postings or checks returned for insufficient funds; provided, however, that the aggregate amount payable to the Servicer as reimbursement for such other reimbursable costs and expenses incurred by the Servicer in the performance of its duties, to the extent unanticipated, will be limited to $1,500 per calendar year; (iv) to the Class A Bondholders, the Class A Bond Interest for such Payment Date; (v) except during any Class B Interest Deferral Period, to the Class B Bondholders, the Class B Bond Interest for such Payment Date; (vi) to the Class A Liquidity Reserve Account, an amount equal to (A) the Class A Liquidity Reserve Account Required Balance for such Payment Date minus (B) the amount on deposit in the Class A Liquidity Reserve Account immediately prior to such Payment Date; (vii) during any Partial Early Amortization Period or any Regular Amortization Period, to the Class A Bondholders in the following order of priority: (A) the Scheduled Bond Principal Payment for the Class A Bonds for such Payment Date; (B) the Unscheduled Bond Principal Payment for such Payment Date (or such lesser amount as will reduce or otherwise affect Borrower's obligation the Outstanding Bond Balance of the Class A Bonds to zero); and (C) the Class A Target Balance Supplemental Principal Payment for such Payment Date; (viii) during any Early Amortization Period, in the following order of priority: (A) to the Class A Bondholders until the Outstanding Bond Balance of the Class A Bonds has been reduced to zero; and (B) to the Class B Bondholders in the following order of priority: (1) to reduce the Outstanding Bond Balance of the Class B Bonds to zero and (2) to pay interest if any unpaid Class B Deferred Interest for such Payment Date; (aix) there are no during any Partial Early Amortization Period to the extent of 50% of any remaining amounts Available Funds on deposit in the Budget allocated Collection Account, to the Class A Bondholders until the Outstanding Bond Balance of the Class A Bonds has been reduced to zero; (x) during any Partial Early Amortization Period, to the Class B Bondholders in the following order of priority: (A) to pay any unpaid Class B Deferred Interest for such Payment Date; (B) to pay any unpaid Class B Bond Interest for such Payment Date; and (C) to reduce the Outstanding Bond Balance of the Class B Bonds to zero; (xi) during any Regular Amortization Period, to the Class B Bondholders in the following order of priority: (A) the Scheduled Bond Principal Payment for the Class B Bonds for such Payment Date; (B) the Unscheduled Bond Principal Payment for such Payment Date remaining after payment to the Class A Bondholders (or such lesser amount as will reduce the Outstanding Bond Balance of the Class B Bonds to zero); and (C) any unpaid Class B Deferred Interest; (xii) to the Owner Trustee and the Indenture Trustee, any extraordinary out-of-pocket expenses of the Owner Trustee or the Indenture Trustee not paid pursuant to clause (i) above because of the expense amount limitation described in such clause; (xiii) to the Class A Bondholders and the Class B Bondholders, in that order of priority, their respective Post-ARD Additional Bond Interest and Deferred Post-ARD Additional Bond Interest, if any, for such Payment Date; and (xiv) to or at the direction of the Issuer, any remaining Available Funds on deposit in the Collection Account, free and clear of the Lien of this Indenture. (c) Each Class of Bonds shall accrue interest during each Interest Accrual Period at the related Bond Rate, and such interest shall be due and payable on each Payment Date. Interest on each Class of Bonds shall be calculated on the basis of a 360 day year consisting of twelve 30-day months. Notwithstanding any other provision hereof, no Bond Rate may exceed the maximum rate permitted by law. (d) Subject to Section 3.01, any installment of interest or principal, if any, payable on any Bond that is punctually paid or duly provided for on the applicable Payment Date shall be paid to the Person in whose name such Bond is registered at the close of business on the related Record Date by wire transfer or by check mailed first-class postage prepaid to such Person’s address as it appears on the Bond Register at the close of business on such Record Date. The funds represented by any such checks returned undelivered shall be held in accordance with Section 4.02. (e) All principal and interest payments on a Class of Bonds shall be made pro rata to the Bondholders of such Class entitled thereto. Except as otherwise provided herein, the Indenture Trustee shall, before the Payment Date on which the Issuer expects to pay the final installment of principal of and interest on any Bond, notify the Holder of such Bond as of the close of business on the related Record Date of such final installment. Such notice shall be delivered prior to such final Payment Date and shall specify that such final installment shall be payable only upon presentation and surrender of such Bond and shall specify the place where such Bond may be presented and surrendered for payment of interest (including Reserves specifically allocated such installment. Notices in connection with any Voluntary Prepayment shall be delivered to pay interest), or (b) Lender is entitled to withhold disbursement of the Construction Loan for any reason. Any amounts disbursed from the interest reserve shall become part of the outstanding principal balance and interest thereon shall accrue and be payable Bondholders as provided in Section 8.02. (f) Notwithstanding the Mortgage Noteforegoing, the unpaid principal amount of the Bonds shall be due and payable, to the extent not previously paid, on the date on which an Event of Default shall have occurred and be continuing, if the Indenture Trustee, acting at the direction of the Required Bondholders (or immediately upon the occurrence of an Event of Default described in Section 7.01(c)) have declared the Bonds to be immediately due and payable in the manner provided in Section 7.02.