Common use of Method of Prorations Clause in Contracts

Method of Prorations. Notwithstanding anything contained in the foregoing provisions: i. Real estate and personal property taxes and assessments will be prorated between HSRE ▇▇ ▇▇ Member and Purchaser for the period for which such taxes are assessed, regardless of when payable. If the current tax ▇▇▇▇ is not available at the ▇▇ ▇▇ Closing, then the proration shall be made on the basis of 110% of the most recent ascertainable tax ▇▇▇▇. Any taxes paid at or prior to the ▇▇ ▇▇ Closing shall be prorated based upon the amounts actually paid. If taxes and assessments for the fiscal year in which the ▇▇ ▇▇ Closing occurs or any prior years have not been paid before the ▇▇ ▇▇ Closing, Purchaser shall be credited by HSRE ▇▇ ▇▇ Member at the time of the ▇▇ ▇▇ Closing with an amount equal to that portion of such taxes and assessments which are ratably attributable to the period before the ▇▇ ▇▇ Closing Date and Purchaser shall pay the taxes and assessments prior to their becoming delinquent. If taxes and assessments for the fiscal year in which the ▇▇ ▇▇ Closing occurs have been paid before the ▇▇ ▇▇ Closing, HSRE ▇▇ ▇▇ Member shall be credited by Purchaser at the time of the ▇▇ ▇▇ Closing with an amount equal to that portion of such taxes and assessments which are ratably attributable to the period from and after the ▇▇ ▇▇ Closing Date. All prorations for real estate taxes that are based on estimates shall be reprorated when the actual taxes for the applicable period are ascertainable. ii. Rents collected after the ▇▇ ▇▇ Closing shall be deemed to apply first to current rents and rents accrued subsequent to the month in which the ▇▇ ▇▇ Closing occurred, second to the month in which the ▇▇ ▇▇ Closing occurred, subject to the applicable proration, and third to delinquent Rents accrued prior to the month in which the ▇▇ ▇▇ Closing occurred. If Purchaser collects rent subsequent to the ▇▇ ▇▇ Closing that, based on the foregoing, should be applied to HSRE ▇▇ ▇▇ Member’s period of ownership of the ▇▇ ▇▇ Property, Purchaser shall promptly pay such rent to HSRE ▇▇ ▇▇ Member. Rents collected by HSRE ▇▇ ▇▇ Member after the ▇▇ ▇▇ Closing to which Purchaser is entitled under this Section 3(f)(ii) shall be promptly delivered to Purchaser. iii. Either party shall be entitled to a post-Closing adjustment for any incorrect proration or adjustment provided written notice thereof is given to the other party within one (1) year of the ▇▇ ▇▇ Closing and both parties agree upon the amount of the post-Closing adjustment; provided, however, that the one (1) year limitation shall not apply with respect to real estate taxes.