Common use of Certain Acts Prohibited Clause in Contracts

Certain Acts Prohibited. The Borrower shall not, without the prior written approval of the Agency, do any of the following. The granting of the Agency's approval shall be in its sole, unfettered discretion and may be conditioned upon the satisfaction of such terms and conditions as the Agency may prescribe. (a) Make any sale, assignment, conveyance, or transfer in any other form, of the Development or any part thereof, or of any of its interest therein, whether voluntarily or involuntarily, or by operation of law. (i) A transfer by the Borrower in whole or in part, or a transfer by a party having a substantial interest in the Borrower, or transfers by more than one party of interests aggregating a substantial interest in the Borrower, or any other similarly significant change in the ownership of interests in the Borrower, or in the relative distribution thereof, or with respect to the parties in control of the Borrower or the degree thereof, by any other method or means (e.g., increased capitalization, merger with another corporation or other entity, corporate or other amendments, issuance of new or additional ownership interests or classification of ownership interests or otherwise) shall be deemed an assignment, conveyance, or transfer for purposes of this subsection. Additionally, for purposes of this subsection, an “assignment, conveyance, or transfer” includes any security interests and pledge agreements given to evidence or secure an obligation. An assignment by the Borrower to a limited partnership, in which no limited partner has a twenty-five percent (25%) or more interest and of which the Borrower is the sole general partner, shall not be considered an assignment, conveyance, or transfer.