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Item 16 - Affordable Housing Project at 801, 807, 809 and 809 ½ E. Santa Ana Blvd
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Item 16 - Affordable Housing Project at 801, 807, 809 and 809 ½ E. Santa Ana Blvd
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City Clerk
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Agenda Packet
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Clerk of the Council
Item #
16
Date
12/7/2021
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5. Prior Mortgages and Deeds of Trust; Charges; Liens. Trustor shall perform all of <br />Trustor’s obligations under any mortgage, deed of trust or other security agreement with a lien that <br />has priority over this Instrument, including Trustor’s covenants to make payments when due <br />(subject to all applicable notice and cure provisions). Trustor will pay all taxes, assessments and <br />other charges, fines and impositions attributable to the Security that may attain a priority over this <br />Deed of Trust, by Trustor making any payment, when due, directly to the payee thereof. Trustor <br />will promptly furnish to the Beneficiary all notices of amounts due under this paragraph, and in the <br />event Trustor makes payment directly, Trustor will promptly discharge any lien that has priority <br />over this Deed of Trust; provided that Trustor will not be required to discharge the lien of the Deed <br />of Trust securing any Senior Lender or any other lien described in this paragraph so long as Trustor <br />will agree in writing to the payment of the obligation secured by such lien in a manner acceptable to <br />the Beneficiary, or will, in good faith, contest such lien by, or defend enforcement of such lien in, <br />legal proceedings, which operate to prevent the enforcement of the lien or forfeiture of the Security, <br />or any part thereof. <br /> <br />6. Hazard Insurance. Trustor will keep the Security insured by such insurance policies <br />in such amounts and for such periods as called for in the Agreement. <br /> <br />7. Preservation and Maintenance of Security. Trustor will keep the Security in good <br />repair and will not commit waste or permit impairment or deterioration of the Security. <br /> <br />8. Protection of the Beneficiary's Security. If Trustor fails to perform the covenants <br />and agreements contained in this Deed of Trust, or if any action or proceeding is commenced that <br />materially affects the Beneficiary's interest in the Security, including, but not limited to, an Event of <br />Default under the Deed of Trust securing any Senior Lender, eminent domain, insolvency, code <br />enforcement, or arrangements or proceedings involving a bankruptcy or decedent, then the <br />Beneficiary, at the Beneficiary's option, upon notice to Trustor, may make such appearances, <br />disburse such sums and take such action as it determines necessary to protect the Beneficiary's <br />interest, including, but not limited to, disbursement of reasonable attorneys' fees and entry upon the <br />Security to make repairs. <br /> <br /> Any amounts disbursed by the Beneficiary pursuant to this paragraph, with interest thereon, <br />will become an indebtedness of Trustor secured by this Deed of Trust. Unless Trustor and the <br />Beneficiary agree to other terms of payment, such amount will be payable upon notice from the <br />Beneficiary to Trustor requesting payment thereof, and will bear interest from the date of <br />disbursement at the rate payable from time to time on outstanding principal under the Agency <br />Promissory Note, unless payment of interest at such rate would be contrary to applicable law, in <br />which event such amounts will bear interest at the highest rate permissible under applicable law. <br />Nothing contained in this paragraph will require the Beneficiary to insure any expense or take any <br />action hereunder. <br /> <br />9. Inspection. The Beneficiary may make, or cause to be made, reasonable entries <br />upon and inspections of the Security upon reasonable prior notice during normal business hours; <br />provided that, the Beneficiary will give Trustor reasonable notice of inspection. <br /> <br />10. Forbearance by the Beneficiary Not a Waiver. Any forbearance by the Beneficiary <br />in exercising any right or remedy will not be a waiver of the exercise of any such right or remedy. <br />The procurement of insurance or the payment of taxes or other liens or charges by the Beneficiary <br />EXHIBIT 4
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