Common use of Construction Obligations Clause in Contracts

Construction Obligations. Without limiting the foregoing and subject to the limitations set forth in Paragraph 19 hereof, each Guarantor jointly and severally, unconditionally and irrevocably guarantees to Lender (a) the construction and completion of the Improvements in accordance in all material respects with the Plans and within the time periods, in the manner and in accordance with the other requirements set forth in the Loan Agreement, including, without limitation, satisfaction of those conditions precedent set forth in Exhibit E to the Loan Agreement for payment of the final advance; and (b) the payment without demand, and without right to reimbursement therefor, of all development, construction and related costs of the Project incurred for any reason whatsoever in excess of the Committed Sum. If for any reason whatsoever Borrower: (i) fails or neglects to complete the Improvements as contemplated by, and in accordance with the requirements set forth in, the Loan Agreement, including the time and manner therein specified; (ii) fails to prosecute with diligence and continuity the construction of the Improvements in accordance with the Loan Agreement; (iii) commits, or permits to exist, a Default; or (iv) is unable to satisfy, within fifteen (15) days after Lender's written request therefor, any condition precedent to obtaining an Advance requested by Borrower pursuant to the Loan Agreement, then Lender, in addition to its other rights, remedies and recourses, whether existing hereunder, under the Loan Documents or otherwise, may require Guarantor to complete the Improvements and take such other action as hereinafter described. Within thirty (30) calendar days from the date Lender notifies Guarantor of Borrower's failure to satisfy any of the construction obligations described above, Guarantor agrees, at its sole cost and expense, to commence completion of construction of the Improvements and to diligently pursue such construction in order to complete the Improvements within the time and in the manner specified in the Loan Agreement. Guarantor shall pay all reasonable costs and expenses in connection with such construction and shall indemnify and hold Lender harmless from any and all losses, costs, liabilities, or expenses incurred in connection with such completion.

Construction Obligations. Without limiting the foregoing and subject to the limitations set forth in of Paragraph 19 hereof, each Guarantor jointly and severally, unconditionally and irrevocably guarantees to Lender (a) the construction and completion of the Improvements in accordance in all material respects with the Plans and within the time periods, in the manner and in accordance with the other requirements set forth in the Loan Agreement, including, without limitation, satisfaction of those conditions precedent set forth in Exhibit E to the Loan Agreement for payment of the final advance; and (b) the payment without demand, and without right to reimbursement therefor, of all development, construction and related costs of the Project incurred for any reason whatsoever in excess of the Committed Sum; and (c) the construction and completion of all other improvements required pursuant to Article 5 of that certain Sublease Agreement dated January 9, 1997 (the "Sublease"), by and between West 38th Street, Ltd., as sublessor, and Guarantor, as sublessee (Guarantor's interest therein having been thereafter assigned to Borrower), as amended by First Amendment to Sublease Agreement dated June 17, 1997, which improvements include, without limitation, the medical/general office building described therein. If for any reason whatsoever Borrower: (i) fails or neglects to complete the Improvements as contemplated by, and in accordance with the requirements set forth in, the Loan Agreement, including the time and manner therein specified; (ii) fails to prosecute with diligence and continuity the construction of the Improvements in accordance with the Loan Agreement; (iii) commits, or permits to exist, a Default; or (iv) is unable to satisfy, within fifteen (15) days after Lender's written request therefor, any condition precedent to obtaining an Advance requested by Borrower pursuant to the Loan Agreement, then Lender, in addition to its other rights, remedies and recourses, whether existing hereunder, under the Loan Documents or otherwise, may require Guarantor to complete the Improvements and take such other action as hereinafter described. Within thirty (30) calendar days from the date Lender notifies Guarantor of Borrower's failure to satisfy any of the construction obligations described above, Guarantor agrees, at its sole cost and expense, to commence completion of construction of the Improvements and to diligently pursue such construction in order to complete the Improvements within the time and in the manner specified in the Loan Agreement. Guarantor shall pay all reasonable costs and expenses in connection with such construction and shall indemnify and hold Lender harmless from any and all losses, costs, liabilities, or expenses incurred in connection with such completion.