Permanent Loan Conversion means the conversion of construction loans to permanent status, and may include payment in full or part of the principal of a construction loan or the funding of additional loans upon completion of construction. Permanent Loan Conversion may be subject to additional due diligence requirements.
Examples of Permanent Loan Conversion in a sentence
On and following the Permanent Loan Conversion Date, accrue interest at the Reset Rate per annum on the Disbursed Amount calculated on the basis of a 360 day year, consisting of twelve (12) thirty (30) day months, and interest for any partial calendar month shall be calculated at the Reset Rate on the basis of a three hundred sixty five (365) or three hundred sixty six (366) day year (as applicable) and the actual number of days in that month.
The Bondowner Representative shall, as servicer of the Loan, calculate the amount of principal and interest due monthly (together with amounts due for the Issuer's Ongoing Fee) and submit such calculations to the Trustee in writing at least 3 Business Days before each Payment Date and shall confirm to the Trustee in writing the Permanent Loan Conversion Date.
Each of the Construction Loan origination fee and one-half of the Permanent Loan fee shall be payable concurrently with the recordation of the mortgage and one-half of the Permanent Loan fee shall be payable on or before the Permanent Loan Conversion Date.
Furthermore, Bondowner Representative agrees to deliver to the Trustee on or before the Permanent Loan Conversion Date a schedule of principal payments to be made by Borrower pursuant to the Note monthly following the Permanent Loan Conversion Date, which amounts will be applied to the mandatory sinking fund redemption of the Bond pursuant to Section 3.01(c) of the Indenture.
Upon the Permanent Loan Conversion Date, the Debt Service Coverage Ratio, tested annually within 30 days as of each anniversary of the Permanent Loan Conversion Date (the Testing Date), shall be equal to or greater than 1.10:1:00, provided, however that Borrower may, at its option, satisfy the test set forth in this Section 5.26 by satisfying the DSCR/LTV Satisfaction Requirement.