Common use of Strike Rate Clause in Contracts

Strike Rate. (i) 6% for the initial term of the Loan; and (ii) with respect to each Extension Period, the greater of (A) 6% and (B) the highest strike rate, as determined by Lender at the commencement of each such Extension Period, which rate when added to the applicable Spread (as defined herein and the Mezzanine Loan Agreement) would result in an In Place Debt Service Coverage Ratio on the then outstanding principal balances of the Loan and the Mezzanine Loan of 1.00:1.00 (assuming that the aggregate amount of Adjusted Debt Service and Adjusted Mezzanine Debt Service for purposes of calculating such In Place Debt Service Coverage Ratio would be due at such Strike Rate plus the applicable Spread); provided, however, Borrower may obtain an Interest Rate Cap Agreement with a strike rate lower than the strike rate as determined above and such lower strike rate shall be deemed the “Strike Rate” for all purposes hereunder; provided, further, however, that the Strike Rate on the Interest Rate Cap Agreement and the Mezzanine Interest Rate Cap Agreement shall be the same.

Strike Rate. (i) 6% for the initial term of the Loan; and (ii) with respect to each Extension Period, the greater of (A) 6% and (B) the highest strike rate, as determined by Lender at the commencement of each such Extension Period, which rate when added to the applicable Spread (as defined herein and the Mezzanine Mortgage Loan Agreement) would result in an In Place Debt Service Coverage Ratio on the then outstanding principal balances of the Loan and the Mezzanine Mortgage Loan of 1.00:1.00 (assuming that the aggregate amount of Adjusted Debt Service and Adjusted Mezzanine Mortgage Debt Service for purposes of calculating such In Place Debt Service Coverage Ratio would be due at such Strike Rate plus the applicable Spread); provided, however, Borrower may obtain an Interest Rate Cap Agreement with a strike rate lower than the strike rate as determined above and such lower strike rate shall be deemed the “Strike Rate” for all purposes hereunder; provided, further, however, that the Strike Rate on the Interest Rate Cap Agreement and the Mezzanine Mortgage Interest Rate Cap Agreement shall be the same.