Common use of Development Loan Clause in Contracts

Development Loan. It is the intention of the Members and the Company to secure one or more development loans (collectively, the "Development Loan") which will cover all or substantially all of the anticipated Budgeted Pre-Development Expenses and the Budgeted Development Costs. The Development Loan may take the form of traditional bank construction financing, a "mini-perm" construction/permanent loan(s), or other comparable financing. It will be the joint responsibility of both Legacy and Newpar to secure the Development Loan for the Center and it will be the responsibility of the Development Supervisor to prepare all loan packages and submissions in connection therewith. It is the intention of the Members that the Development Loans will be non-recourse as to any of the Members. Notwithstanding the foregoing, to the extent required by the applicable Lender under any Development Loan: (a) Legacy shall have the right, but not the obligation (which determination shall be made in the sole and absolute discretion of Legacy), to execute and deliver to the Lender any and all guarantees of the financial obligations of the Company under the applicable Development Loan; (b) Newpar hereby agrees to and shall execute and deliver to the Lender any and all guarantees of the financial obligations of the Company under the applicable Development Loan; and (c) Newpar hereby agrees to and shall execute and deliver, and shall also cause ▇▇▇▇▇▇▇ Caype Interests, Inc., a Florida corporation, and/or ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ to execute and deliver, to the Lender any and all completion guarantees required by Lender in conjunction with the applicable Development Loan. In the event Legacy is required to furnish any guaranty with respect to the financial obligations of the Company under any Development Loan, Legacy shall be entitled to receive the Guaranty Fee set forth in Section 8.13.4 hereof.

Development Loan. It is the intention of the Members and the Company to secure one or more development loans (collectively, the "a Development Loan") Loan which will cover all or substantially all of the anticipated Budgeted Pre-Development Expenses and the Budgeted Costs ("Development CostsLoan"). The Development Loan may take the form of traditional bank construction financing, a "mini-perm" construction/permanent loan(s)loan, or other comparable financing. It will be the joint responsibility of both Legacy and Newpar to secure take the lead role in connection with locating the Development Loan for the Center Project and it will be the responsibility of CV to assist Legacy in the Development Supervisor to prepare preparation of all loan packages and submissions in connection therewith. It is the intention of the Members that In conjunction with securing the Development Loans will be non-recourse as to any of the Members. Notwithstanding the foregoingLoan, to the extent required by the applicable Lender lender under any the Development Loan:Loan ("Lender"): (ai) Legacy shall have the right, but not the obligation (which determination shall be made in the sole and absolute discretion of Legacy), to execute and deliver to the Lender any and all guarantees of the financial obligations of the Company under the applicable Development Loan; (b) Newpar hereby agrees to and shall execute and deliver to the Lender any and all guarantees of the financial obligations of the Company under the applicable Development Loan; and (cii) Newpar CV hereby agrees to and shall execute and deliver, and shall also cause ▇▇▇▇▇▇▇ Caype Interests▇. ▇▇▇▇, Inc.▇▇., a Florida corporation, and/or and S. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇▇ to execute and deliver, to the Lender Lender, any and all completion guarantees required by Lender in conjunction with the applicable Development Loan. Notwithstanding the foregoing: (A) in no event shall Legacy or any Legacy Affiliate be required to furnish any completion guarantees required in conjunction with the Development Loan, other than the financial guarantees contemplated in Section 4.1(i) above; and (B) in no event shall CV, ▇▇▇▇▇▇▇ ▇. ▇▇▇▇, ▇▇., nor S. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇ be required to furnish any guarantees of the financial obligations of the Company under the Development Loan, other than the completion guarantees contemplated in Section 4.1(ii) above. In the event Legacy is required to furnish any guaranty with respect to the financial obligations of the Company under any the Development Loan, Legacy shall be entitled to receive the Guaranty Fee set forth in Section 8.13.4 8.13.2 hereof. The Members acknowledge and agree that: (Y) as of the date of this Agreement, Phase I has been substantially completed and is generally open for business; (Z) in lieu of a Development Loan, the Members elected to construct and develop Phase I and Legacy agreed to pay all Demolition Costs, Pre-Development Expenses and Development Costs incurred in connection therewith, as more fully described in Sections 5.1 and 5.2 below. Based on the foregoing, with respect to Phase I only, neither CV, ▇▇▇▇▇▇▇ ▇. ▇▇▇▇, ▇▇., nor S. ▇▇▇▇▇▇▇ ▇▇▇▇▇▇ shall have any obligation to furnish the completion guarantees contemplated in Section 4.1(ii) above.