Note; Payment Terms Clause Samples

Note; Payment Terms. Each Loan shall be evidenced by an individual Note to be executed at closing of each Loan and shall be payable upon the terms provided therein, which may include, but not be limited to, the following: (a) As more fully provided in the Notes, interest shall accrue at the Interest Rate on the outstanding principal balance of each Note. (b) Upon and after the occurrence of an Event of Default, at the option of Lender, the outstanding principal balance of each Note shall bear interest at a rate per annum equal to the Default Rate. (c) All accrued and unpaid interest shall be due and payable on the first day of each calendar month from and after the date of the Note to and including the Maturity Date of such Loan as set forth in Section 2.4(d). (d) If not sooner paid, the entire unpaid principal balance, all accrued and unpaid interest, and all other amounts payable under each Note shall be due and payable in full on the date that is the twelve-month anniversary of the date of the Note; provided, however that each Note shall have a single six-month extension option subject to the following conditions that must be satisfied as determined by the Lender: (1) the completion of the Project is scheduled to be completed in compliance with the Project Budget and the Project Schedule; (2) the Lessee is in compliance with the Approved Lease, no event of default or breach has occurred under the Approved Lease, no material adverse event shall have occurred affecting the Lease and the Lessee shall not have the option to terminate the Approved Lease; (3) there shall have occurred no Event of Default nor shall there have occurred any event that with the passage of time or giving of notice, or both, would constitute an Event of Default; (4) Borrower shall have paid the extension fee as defined in section 2.6 below; (5) Borrower shall have given Lender not less than thirty (30) days’ written notice of its exercise of such extension option; (6) The Debt Service Coverage Ratio must equal or exceed 1.25 to 1 for the period or periods determined by Lender; and (7) Borrower shall have paid the extension fee provided for in Section 2.6(c). (e) Notwithstanding the foregoing, each Loan and all accrued and unpaid interest thereon, together with all other sums payable under the Note and Deed of Trust relating thereto, shall be due and payable in full upon the sale of any Project encumbered by such Loan.