REIT Distributions Sample Clauses
The REIT Distributions clause defines how and when a Real Estate Investment Trust (REIT) will distribute its earnings or profits to shareholders. Typically, this clause outlines the frequency of distributions, such as quarterly or annually, and may specify the calculation method for determining the amount each shareholder receives, often based on their proportionate ownership. Its core practical function is to ensure that investors receive a share of the REIT’s income in a predictable and transparent manner, thereby fulfilling regulatory requirements and providing a steady return to shareholders.
REIT Distributions. During any period while the Company has in effect an election to be treated as a REIT, the Company shall make at least the minimum distributions required to maintain such election in effect.
REIT Distributions. Notwithstanding anything to the contrary in this Agreement, the General Partner shall cause the Partnership to distribute amounts sufficient to enable the Apple REIT to pay its shareholders dividends that will allow the Apple REIT to (i) meet the distribution requirement for qualification as a REIT as set forth in Section 857(a)(1) of the Code and (ii) avoid any federal income or excise tax liability imposed by the Code.
REIT Distributions. The General Partner shall use its best efforts to cause Operating Cash Flow and Capital Cash Flow to be distributed so as to allow the General Partner to satisfy the REIT Requirements and avoid imposition of any federal income or excise tax.
REIT Distributions. During the term of the Loan, and after the Spinoff Transaction, Borrower and Sponsor shall undertake all reasonable and necessary actions to preserve Sponsor’s status as a REIT. In connection therewith, notwithstanding anything in this Agreement to the contrary, for each taxable year of Sponsor, Borrower and Sponsor shall utilize their respective sources of liquidity in the following order and priority to make any and all Required REIT Distributions and to pay all TRS Taxes and Puerto Rico Taxes:
(a) first, to the extent of available funds and otherwise pursuant to the terms of this Agreement, (i) amounts released to Borrower from the Cash Management Account in accordance with the Loan Documents (after payment of Debt Service and other amounts due and owing under the Loan (including deposits into Reserve Accounts) and Operating Expenses) and (ii) Excess Cash Flow (and Excess Cash Flow Funds) shall be used to pay all Required REIT Distributions, TRS Taxes and Puerto Rico Taxes;
(b) second, available funds from any Corporate Loan (or any other credit facility available to Sponsor or its Affiliates) shall be used to pay all Required REIT Distributions, TRS Taxes and Puerto Rico Taxes until such funds are fully exhausted; and
(c) lastly, available funds from the Required REIT Distributions and Tax Account.
REIT Distributions. At the option of the General Partner, the Company shall take, and the General Partner is authorized to take, reasonable action which in the opinion of tax counsel selected by the General Partner and reasonably acceptable to NYSCRF, is necessary and consistent with the General Partner’s (or its Affiliate’s) qualification as a REIT, to distribute sufficient amounts pursuant to this ARTICLE V to enable the General Partner to pay shareholder dividends that will (i) enable the General Partner to satisfy the requirements for qualifying as a REIT under the Code and Regulations; and (ii) enable the General Partner (or its Affiliate that is a REIT) to avoid any material federal income or excise tax liability of the General Partner (or its Affiliate that is a REIT) as a result of its status as a REIT, assuming for purposes of this determination that the only items on the federal income tax return of the General Partner (or such Affiliate that is a REIT) are the items shown on its Schedule K-1 received from the Company and all cash distributions received from the Company (less a reasonable allowance for non-deductible administrative costs) have been paid as dividends to the shareholders of the General Partner on the day after such distributions are received from the Company. Any distribution made pursuant to this Section 5.05 shall be made to all Partners in accordance with ARTICLE V. In no event shall NYSCRF incur any cost or expense as a result of this Section 5.05.
REIT Distributions. Notwithstanding Sections 5.1 and 5.3, the General Partner shall cause the Partnership to distribute such amounts to the REIT Limited Partner as may be necessary in order for the REIT Limited Partner or CMCT to satisfy the requirements for qualifying as a REIT under the Code and Regulations (the “REIT Requirements”).
REIT Distributions. Notwithstanding anything to the contrary in this Agreement, the General Partner shall cause the Partnership to distribute amounts sufficient to enable the Cornerstone REIT to pay its shareholders dividends that will allow the Cornerstone REIT to (i) meet the distribution requirement for qualification as a REIT as set forth in Section 857(a)(1) of the Code and (ii) avoid any federal income or excise tax liability imposed by the Code.
REIT Distributions. Notwithstanding anything to the contrary in this Partnership Agreement, the General Partner shall cause the Partnership to distribute amounts sufficient to enable CAC-REIT to pay dividends to shareholders so that CAC-REIT will (a) meet the distribution requirements for qualification as a REIT as set forth in Section 857(a)(i) of the Code; and (b) avoid any Federal income or excise tax liability imposed by the Code.
REIT Distributions. The REIT will not make any Distributions which would cause it to violate any of the following covenants:
(a) In the event that an Event of Default shall have occurred and be continuing, the REIT shall make no Distributions in respect of its Series 1997-A Convertible Preferred Stock and shall make no other Distributions except dividends declared prior to such occurrence and other Distributions required under the Code to maintain the REIT Status of the REIT, as evidenced by a certification of the principal financial or accounting officer of the REIT containing calculations in reasonable detail satisfactory in form and substance to the Agent.
(b) Notwithstanding the foregoing, at any time when an Event of Default under ss.12.1(a) or ss.12.1(b) or an Event of Default under ss.12.1(d) (with respect to the covenants contained in ss.9 or this ss.8.7) shall have occurred and be continuing beyond the applicable cure period and the Agent has accelerated the maturity of the Obligations, the REIT shall not make any Distributions whatsoever, directly or indirectly.
REIT Distributions. The General Partner shall use its best efforts to cause distributions to be made so as to allow the General Partner to satisfy the REIT Requirements and avoid imposition of any federal income or excise tax.