STALE UNITS definition
STALE UNITS means Units which have not been sold by the Borrower and therefore remain part of the Borrowing Base Collateral after the following periods of time: Sold Units 2 months from the date construction on the Home is completed Spec Units 6 months from the date construction on the Home is completed Model Units 24 months from the date construction on the Home is completed; provided however that in the event a Spec Unit becomes a Stale Unit and after such date the Borrower receives a Sales Agreement relating to such Unit, then such Unit shall become a Sold Unit and shall cease to be classified as a Stale Unit; provided further however that no Unit, other than Model Units, shall remain as part of the Borrowing Base Collateral for a period of time longer than eight (8) months, aggregating all periods of time that such Unit was part of the Borrowing Base Collateral as a Spec Unit and as a Sold Unit.
Examples of STALE UNITS in a sentence
STALE UNITS Any Unit, exclusive of Project Model Homes, which has not been repaid within twelve (12) months of the commencement of construction on said Unit, must be repaid.