Common use of Collateral Value Adjustments Clause in Contracts

Collateral Value Adjustments. (a) By the Required Appraisal Date for any Mortgage Loan (or such longer period as the Special Servicer is (as certified thereby to the Trustee in writing) diligently and in good faith proceeding to obtain such appraisal), the Special Servicer shall use its best efforts consistent with Accepted Special Servicing Practices to obtain an appraisal for the related Mortgaged Property from an Independent MAI appraiser, or, if such Mortgage Loan has a Stated Principal Balance of less than $2,000,000, an Appraisal Estimate (except if an appraisal, or Appraisal Estimate, as appropriate has been conducted within the 12 month period preceding such event). The cost of such appraisal shall be paid by the Master Servicer as a Servicing Advance. Notwithstanding the foregoing, the Directing Certificateholder shall have the right, at any time within six months of the date of its receipt of any appraisal of any Mortgaged Property required to be obtained pursuant to the immediately preceding paragraph, to require that the Special Servicer obtain a new appraisal of such Mortgaged Property in accordance with MAI standards from a state certified appraiser chosen by the Special Servicer, the cost of which shall be paid by the Monitoring Certificateholders without right of reimbursement; provided, however, that the Special Servicer shall not be required to obtain any such appraisal unless the Special Servicer shall have received reasonable assurance of payment of the costs of such appraisal and of any expenses related thereto. Upon receipt of the appraisal obtained pursuant to the immediately preceding sentence, the Special Servicer shall redetermine and report in writing to the Master Servicer, the Trustee and the Directing Certificateholder the amount of the Collateral Value Adjustment with respect to such Mortgage Loan, and such redetermined Collateral Value Adjustment shall replace the prior Collateral Value Adjustment with respect to such Mortgage Loan. (b) Until such time as the related Collateral Value Adjustment is reduced to zero, within 30 days of each anniversary of a Required Appraisal Date for any Mortgage Loan, the Special Servicer shall order an update of the prior appraisal or make an Appraisal Estimate for the related Mortgaged Property (the cost of which will be a Servicing Advance of the Master Servicer). (c) The Special Servicer shall determine and report to the Master Servicer any appraisal value obtained pursuant to clause (a) or (b) above pursuant to Section 6.09.

Collateral Value Adjustments. (a) By the Required Appraisal Date for any Mortgage Loan (or such longer period as the Special Servicer is (as certified thereby to the Trustee in writing) diligently and in good faith proceeding to obtain such appraisal), the Special Servicer shall use its best efforts consistent with Accepted Special Servicing Practices to obtain an appraisal for the related Mortgaged Property from an Independent MAI appraiser, or, if such Mortgage Loan has a Stated Principal Balance of less than $2,000,000, an Appraisal Estimate (except if an appraisal, or Appraisal Estimate, as appropriate appropriate, has been conducted within the 12 month period preceding such event). The cost of such appraisal shall be paid by the Master Servicer as a Servicing Advance. Notwithstanding the foregoing, the Directing Certificateholder shall have the right, at any time within six months of the date of its receipt of any appraisal of any Mortgaged Property required to be obtained pursuant to the immediately preceding paragraph, to require that the Special Servicer obtain a new appraisal of such Mortgaged Property in accordance with MAI standards from a state certified appraiser chosen by the Special Servicer, the cost of which shall be paid by the Monitoring Certificateholders without right of reimbursement; provided, however, that the Special Servicer shall not be required to obtain any such appraisal unless the Special Servicer shall have received reasonable assurance of payment of the costs of such appraisal and of any expenses related thereto. Upon receipt of the appraisal obtained pursuant to the immediately preceding sentence, the Special Servicer shall redetermine and report in writing to the Master Servicer, the Trustee and the Directing Certificateholder the amount of the Collateral Value Adjustment with respect to such Mortgage Loan, and such redetermined Collateral Value Adjustment shall replace the prior Collateral Value Adjustment with respect to such Mortgage Loan. (b) Until such time as the related Collateral Value Adjustment is reduced to zero, within 30 days of each anniversary of a Required Appraisal Date for any Mortgage Loan, the Special Servicer shall order an update of the prior appraisal or make an Appraisal Estimate for the related Mortgaged Property (the cost of which will be a Servicing Advance of the Master Servicer). (c) The Special Servicer shall determine and report to the Master Servicer any appraisal value obtained pursuant to clause (a) or (b) above pursuant to Section 6.09and the Master Servicer will adjust the amount of the Collateral Value Adjustment in accordance therewith.