Common use of Loan Components Clause in Contracts

Loan Components. Borrower covenants and agrees that in connection with any Securitization of the Loan or the Mortgage Loan, upon Lender’s request Borrower shall deliver one or more new component notes to replace the original note or modify the original note to reflect multiple components of the Loan or the Mortgage Loan (and such new notes or modified note shall have the same weighted average spread as the original note, but the weighted average spread may subsequently change due to involuntary prepayments or if an Event of Default shall occur), and modify the Cash Management Agreement and/or resize the Interest Rate Cap Agreement with respect to the newly created components such that the pricing and marketability of the Securities and the size of each class of Securities and the rating assigned to each such class by the Rating Agencies shall provide the most favorable rating levels and achieve the optimum bond execution for the Loan.