Common use of Repair Obligation Clause in Contracts

Repair Obligation. The Seller of the Sycamore Creek Property is currently in the process of repairing twelve (12) fire-damaged units at the Sycamore Creek Property. To the extent that such Seller has not completed such repairs by the Closing Date, then (a) the Seller of the Sycamore Creek Property shall have until March 31, 2009 (the “Sycamore Completion Date”) to complete such repairs, and (b) the Seller of the Sycamore Creek Property shall pay to Purchaser’s Designated Entity for Sycamore Creek the sum of Seven Thousand Six Hundred Dollars ($7,600.00) (the “Lost Rent Amount”), per month beginning on the later to occur of November 1, 2008 or the actual Closing Date for the Sycamore Creek Property, as revenue for “lost rents” for the down units, from the Closing Date until that date that is thirty (30) days after all the Certificates of Occupancy for such down units have been received by the Seller of the Sycamore Creek Property or Purchaser’s Designated Entity therefore. All repairs required by the Seller of the Sycamore Creek Property hereunder shall be completed in a good and workmanlike manner, shall return the Sycamore Creek Property to its condition prior to the damage, shall comply with all applicable zoning and building codes, and shall be at the Sycamore Creek Property Seller’s sole cost and expense. Upon completion of the repairs, the Sycamore Creek Seller shall assign to Purchaser all warranties, if any, held by such Seller with respect to the materials or labor used in performing the repairs.