Junior Participation Interest definition
Examples of Junior Participation Interest in a sentence
In the case of each Junior Participation Medallion Loan, the Lender shall have determined in its sole and absolute discretion that the subordinated participation is a Permitted Junior Participation Interest and the Lender shall have so notified the Borrower.
CapitalSource shall purchase each Junior Participation Interest at a price equal to par, and such Junior Participation Interest will accrue interest in an amount equal to the lesser of (i) a portion of the mortgage interest accruals on the Approved Loan such that CapitalSource receives a 20% annualized yield on such Junior Participation Interest, or (ii) 100% of the mortgage interest accruals on such Approved Loan.
Column will initially retain an 80% senior participation interest in such loans (a “Senior Participation Interest” and, together with the Junior Participation Interest, the “Participation Interests”).
Senior Participant shall not be obligated to make any payment hereunder to Junior Participant in respect of Junior Participation Interest or otherwise until Junior Participant shall have furnished to Senior Participant the requested forms, certificates, statements or documents.
The following table sets forth the Purchase Percentages, CF Sweep Percentages, Buyer’s Margin Percentages, Capital Call Percentages and Applicable Spread for each Eligible Loan that is a Junior Participation Interest or Mezzanine Loan and its underwriting characteristics at the time of the purchase of such Eligible Loan pursuant to this Agreement, separated into various categories A through E below (each, a “Category”).
If the Junior Participation Interest is not evidenced by an original junior Mortgage Note, as contemplated by subclause (i) above, Seller shall then deliver a copy of the executed Mortgage Note and all endorsements shall be provided, which will show the current holder thereof.
This Agreement shall terminate (except for such rights as are expressly provided to survive any termination of this Agreement) upon the earlier to occur of (a) full and final payment of all amounts due under the Senior Participation Interest and Junior Participation Interest, as the case may be, or (b) as otherwise set forth in this Agreement, including, without limitation, upon the purchase by Senior Participant of the Junior Participation Interest pursuant to Section 14.
As compensation for its services hereunder, payable to Servicer from the Junior Participation Interest in the Mortgage Loans held by the Company only and only after all amounts required to be paid to Purchaser under Section 5.01 have been paid as of the date such Servicing Fee is to be paid, the Servicer shall be entitled to withdraw from the Custodial Account the amount of its Servicing Fee.
Column will initially retain an 80% senior participation interest in such loans (a "Senior Participation Interest" and, together with the Junior Participation Interest, the "Participation Interests").
CapitalSource agrees to purchase from Column a 20% subordinate, first-loss participation interest (a "Junior Participation Interest") in any Approved Loan originated by Column.