Common use of Development; Completion Clause in Contracts

Development; Completion. (a) Borrower shall cause (x) development and construction of the Project to begin by the date that is forty-five (45) days from the date hereof and (y) development and construction of the Project to be completed to the reasonable satisfaction of Lender on or before the Completion Date, unless otherwise approved by Lender in writing. Borrower shall prosecute development and construction of the Project with good faith and diligence in compliance with the Construction Schedule. Borrower’s failure to proceed diligently and (subject to Permitted Delay) make regular progress toward completion of the Project, as determined by Lender acting reasonably, and/or Borrower’s failure to meet (subject to Permitted Delay) any of the other deadlines set forth in this Section 9.3, shall constitute an Event of Default. (b) All construction will be performed free of defects in a good and workmanlike manner with materials which are new and of high quality. The Project will be equipped with furnishings, fixtures and equipment which are new and of high quality. All construction shall be performed in compliance with the Plans, all applicable governmental approvals and all requirements of any applicable covenants, conditions and restrictions and the Project Documents. Borrower will promptly correct any defects in construction or material deviations from the Plans. Borrower will not commence any phase of construction or operation until it has secured all required permits, licenses or other authorizations from the applicable governmental authorities. All materials and labor purchased and employed for the Project shall be used solely for the Project and for no other purpose. No changes will be made to the Plans except in accordance with Section 9.2 hereof, and all such changes shall be in compliance with applicable governmental approvals. All upgrades shall be performed in compliance with the applicable standards set forth in this subsection (b).