ABR Borrowing Clause Samples
The ABR Borrowing clause defines the terms under which a borrower can obtain loans based on the Alternate Base Rate (ABR) rather than a fixed or LIBOR-based rate. Typically, this clause outlines how the ABR is calculated—often as a combination of a reference rate such as the prime rate or federal funds rate plus a margin—and specifies when and how a borrower may request ABR-based advances. This mechanism provides flexibility for borrowers to access funds at a variable rate, which can be advantageous in fluctuating interest rate environments or when LIBOR-based borrowing is unavailable, thereby ensuring continued access to credit and managing interest rate risk.
ABR Borrowing. 1. Amount of ABR Borrowing: $_____________
2. Date of ABR Borrowing _____________
ABR Borrowing. 1. Amount of ABR Borrowing: $_____________ 2. Date of ABR Borrowing _____________ B. Eurodollar Borrowing:
1. Amount of Eurodollar Borrowing: $_____________
2. Amount of conversion of existing Loan to Eurodollar Borrowing: $_____________
3. Number of Eurodollar Borrowing(s) now in effect: _____________ [cannot exceed six (6)]
ABR Borrowing. If the Borrower fails to reimburse any honored drawing under any Letter of Credit on or before the Reimbursement Date, the Administrative Agent shall notify each Lender of such failure, the payment then due from the Borrower in respect of such honored drawing, and such Lender’s Applicable Percentage thereof. Promptly following receipt of such notice, each Lender shall pay to the Administrative Agent, in dollars, its Applicable Percentage of the amount then due from the Borrower, in the same manner as provided in Section 2.6 with respect to Loans made by such Lender (and Section 2.6 shall apply, mutatis mutandis, to the payment obligations of the Lenders pursuant to this paragraph), and the Administrative Agent shall promptly remit to the applicable Issuing Bank the amounts so received by it from the Lenders. Promptly following receipt by the Administrative Agent of any payment from the Borrower pursuant to this paragraph, the Administrative Agent shall distribute such payment to the applicable Issuing Bank or, to the extent that Lenders have made payments pursuant to this paragraph to reimburse such Issuing Bank, then to such Lenders and such Issuing Bank as their interests may appear. Any payment made by a Lender pursuant to this paragraph to reimburse an Issuing Bank for an honored drawing under a Letter of Credit (other than the funding of a Swing Line Loan or an ABR Borrowing as contemplated above) shall not constitute a Loan and shall not relieve the Borrower of its obligation to reimburse such drawing. If any Lender fails to make available to the Administrative Agent for the account of the relevant Issuing Bank any amount required to be paid by such Lender pursuant to the foregoing provisions of this Section 2.4(d) by the time specified herein, such Issuing Bank shall be entitled to recover from such Lender (acting through the Administrative Agent), on demand, such amount with interest thereon for the period from the date such payment is required to the date on which such payment is immediately available to such Issuing Bank at a rate per annum equal to the greater of the NYFRB Rate and a rate determined by the Administrative Agent in accordance with banking industry rules on interbank compensation from time to time in effect.
ABR Borrowing. In the event of any such determination, the Lenders shall negotiate with the Borrower, at its request, as to the interest rate which the Loans comprising such an ABR Borrowing shall bear; provided that such Loans shall bear interest as provided in Section 2.09(b) pending the execution by the Borrower and the Lenders of a written agreement providing for a different interest rate. Each determination by the Agent hereunder shall be conclusive absent manifest error.
ABR Borrowing. The representations and warranties set forth in Article III of the Credit Agreement are true and correct as though made on and as of the date of the Borrowing.
ABR Borrowing. If the Borrower fails to make such payment when due, the Agent shall notify each Lender of the applicable LC Disbursement, the payment then due from the Borrower in respect thereof and such Lender’s Revolving Credit Commitment Percentage thereof. Promptly following receipt of such notice, each Lender shall pay to the Agent its Revolving Credit Commitment Percentage of the payment then due from the Borrower, in the same manner as provided in Section 2.05 with respect to Revolving Credit Loans made by such Lender (and Section
ABR Borrowing. If the Borrower fails to make such payment when due, the Administrative Agent shall notify each Lender of the applicable LC Disbursement, the payment then due from the Borrower in respect thereof and such Lender's Applicable Percentage thereof.
ABR Borrowing. If no Interest Period is specified with respect to any requested Eurodollar Borrowing, then the Borrower shall be deemed to have selected an Interest Period of one month’s duration. Promptly following receipt of a Borrowing Request in accordance with this Section, the Administrative Agent shall advise each Lender of the details thereof and of the amount of such Lender’s Loan to be made as part of the requested Borrowing.
ABR Borrowing. 1. Amount of ABR Borrowing: $
2. Date of ABR Borrowing B. Eurodollar Borrowing:
1. Amount of Eurodollar Borrowing: $
2. Amount of conversion of existing Loan to Eurodollar Borrowing: $
3. Number of Eurodollar Borrowing(s) now in effect: [cannot exceed four (4)]
4. Date of Eurodollar Rate Borrowing or conversion:
5. Interest Period:
6. Expiration date of current Interest Period as to this conversion:
ABR Borrowing. $
1. Amount of ABR Borrowing:
2. Date of ABR Borrowing B. EurodollarBorrowing. $
1. Amount of Eurodollar Borrowing:
2. Amount of conversion of existing Loan to Eurodollar Borrowing: $
3. Number of Eurodollar Borrowing(s) now in effect: [cannot exceed three (3)]
4. Date of Eurodollar Rate Borrowing or conversion:
5. Interest based on Adjusted LIBO Rate or Daily Floating LIBOR Rate?
6. Expiration date of current Interest Period as to this conversion: The Borrower hereby represents and warrants that the amounts set forth above are true and correct, that the representations and warranties contained in the Credit Agreement are true and correct as if made as of this date (except to the extent relating to a specific date), that Borrower has satisfied all conditions required to be satisfied, or such conditions have been waived by Agent, as of the date hereof to qualify for the Borrowing requested hereby, and to the Borrower’s knowledge it has kept, observed, performed and fulfilled each and every one of its obligations under the Credit Agreement as of the date hereof [except as follows: ]. Very truly yours, By: Industrial Income Trust Inc., its General Partner ▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇ Chief Financial Officer and Treasurer
1. Amended and Restated Limited Partnership Agreement of Industrial Income Operating Partnership LP, dated February 9, 2010, by and among the Company, as general partner, and the Limited Partner thereto.
2. Property Management Agreement, dated as of December 16, 2009, by and between Industrial Income Operating Partnership LP and Dividend Capital Property Management LLC.
3. Amended and Restated Advisory Agreement, dated as of May 14, 2010, by and among Industrial Income Trust Inc., Industrial Income Operating Partnership LP and Industrial Income Advisors LLC.