Swap Option. The Sponsor may in the future request F▇▇▇▇▇▇ Mac’s consent to the delivery of an interest rate swap agreement (a “Swap”) instead of a Cap as an interest rate hedge to satisfy its obligations under this Article V; provided, however, (a) the fixed interest rate to be paid by the Sponsor with respect to such Swap shall not exceed the lesser of (i) 4% per annum or (ii) the applicable market rate at the time of pricing the Swap and (b) any such Swap shall meet all of F▇▇▇▇▇▇ Mac’s requirements for Swaps credit enhanced by F▇▇▇▇▇▇ Mac. Any such request shall be in writing delivered to F▇▇▇▇▇▇ Mac and be accompanied by a review fee of $5,000 payable to F▇▇▇▇▇▇ Mac, which fee shall be nonrefundable. The granting of any such request shall be subject to F▇▇▇▇▇▇ Mac’s re-pricing of the F▇▇▇▇▇▇ Mac Fee as determined by F▇▇▇▇▇▇ Mac in its sole discretion at such time. All documentation in connection with any such request (including any amendment to this Agreement entered into by the parties in connection with the granting of such request) shall be in form and substance acceptable to F▇▇▇▇▇▇ Mac. The Sponsor shall be responsible for paying any reasonable legal fees or expenses incurred by F▇▇▇▇▇▇ Mac in connection with such request, whether or not such request is approved.
Appears in 2 contracts
Sources: Bond Exchange, Reimbursement, Pledge and Security Agreement (America First Multifamily Investors, L.P.), Bond Exchange, Reimbursement, Pledge and Security Agreement (America First Tax Exempt Investors Lp)