Common use of Initial Working Capital Reserve Clause in Contracts

Initial Working Capital Reserve. In the event that the initial working capital reserve of the Partnership following the admission of the Initial Limited Partners, determined after the payment of all Organization and Offering Expenses, Acquisition Fees, and Acquisition Expenses (the "Initial Working Capital Reserve"), is less than $1,500,000, the General Partner shall make a capital contribution in the amount of such difference to the Partnership in cash. Contributions pursuant to this Section 3.11 shall be reflected in the Capital Account of the General Partner. ARTICLE FOUR

Appears in 2 contracts

Sources: Agreement of Limited Partnership (Fairfield Inn by Marriott LTD Partnership), Limited Partnership Agreement (Fairfield Inn by Marriott LTD Partnership)