Laserfiche WebLink
6.4 Termination for Failure of Condition. If (a) any of the conditions set forth <br />herein are not timely satisfied or waived by the Executive Director, and (b) Agency/City <br />is not in default under this Agreement, Agency/City may terminate this Agreement <br />without any further liability on its part by giving written notice of termination to <br />Developer. Upon the giving of such notice, all principal, interest and other amounts <br />owing under the City/HOME Loan Note(s) shall be immediately due and payable, <br />regardless of any other specified due date. <br />6.5 Any Disbursement. City's obligation to make any disbursement of the <br />Rehabilitation Proceeds (including the first and final disbursements) is subject to the <br />satisfaction of the following conditions precedent: <br />(a) Satisfactory Progress. The Executive Director shall be satisfied, <br />based on his/her own inspections or other reliable information, that the rehabilitation is <br />progressing satisfactorily in conformance with all applicable laws and other requirements <br />(including HOME regulations). <br />(b) Condition of Title. Either (i) the Executive Director reasonably <br />believes that no event has occurred since the Close of Loan that would give rise to a <br />colorable claim against the Property (e.g., a mechanic's lien) superior to the claim of City <br />against the Property with respect to the subject disbursement, or (ii) City must have <br />received, at Developer's expense but payable out of the Rehabilitation Proceeds, from the <br />title insurer who issued City's LP -10 Title Policy, all endorsements thereto then <br />reasonably required by City. <br />(c) Representations and Warranties. The representations and <br />warranties of Developer contained in this Agreement and the other City/HOME Loan <br />Documents shall be correct as of the date of the disbursement as though made on and as <br />of that date. <br />(d) No Default. No Event of Default by Developer shall remain <br />uncured and no event shall have occurred which, with the giving of notice or the passage <br />of time or both, would constitute an Event of Default by Developer. <br />6.6 Final Disbursement. City's obligation to disburse that portion of the <br />rehabilitation portion retained pursuant to Section 6.12 is subject to the satisfaction of the <br />following additional conditions precedent: <br />(a) Rehabilitation Complete. The rehabilitation shall be complete. <br />(b) Certificate of Occupancy Issued. Any portion of the rehabilitation <br />requiring inspection or certification by any Governmental Authority <br />shall have been inspected and certified as complete. Developer shall <br />request that the Building Department issue a Certificate of Occupancy, <br />a copy of which shall be delivered to the Executive Director, in order <br />for final disbursement to occur. <br />10 <br />