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HomeMy WebLinkAbout0938 ~ 18. t~lo Tcar?sfer, Credit Approval, Int__erest Adjustaent. It is understoo an agree~c y Mortgagor t at as part o t e nduce- ment to Mortgagee to make the loan evidenced by the Note, Mort- gagee has considered and relied on the credit worthiness and reliability of Mortgagor. Mortgagor covenants and agrees not to sell, convey, transfer, lease or further encumber any interest (either legal or beneficial) in or any part of the Mortgaged Property without the prior written consent of Mortgagee, and any such sale, conveyance, transfer, lease or encumbrance made with- out Mortgagee's_prior written consent shall be void. If any person should obtain an interest (either legal or beneficial) in all or any part of the Mortgaged Property pursuant to the execu- tion or enforcement of any lien, security interest or other right, whether superior, equal or subordinate to this Mortgage or the lien hereof, such event shall be deemed to be a transfer by Mortgagor and an event of default hereunder. In the event, Mortgagee, at its option (and not to the exclusion of any other remedy which it may have) may declare all the sums secured by this Mortgage to be immediately due and payable. Mortgagee shall have waived such option to accelerate if, prior to the sale or transfer, Mortgagee and the person to whom the Property is to be sold or transferred reach agreement in writing that the credit of such person is satisfactory to Mortga- gee and that the interest payable on the sums secured by this Mortgage shall be •at such rate as Mortgagee shall request. If Mortgagee has waived the option to accelerate provided in this paragraph, and if Mortgagor's successor in interest has executed a written assumption agreement accepted in writing by Mortgagee, Mortgagee shall release Mortgagor from all obligations under this Mortgage and Security Agreement and the Note. 19. Financial Stateraents. Mortgagor shall, at the option of Mortgagee, furnish the Mortgagee annually, within sixty (60) days of the end of its fiscal year, financial statements in a form and certified in the manner satisfactory to the Mortgagee. 20. Develo ent and Construction Loan. This mortgage and the note secure ere y are execute an delivered to seeure monies advanced or to be advanced in accordance with a develop- ment and construction Loan Agreement tthe "Loan Agreement") of even date herewith between the Mortgagor and Mortgagee, which ~ ' Loan Agreement is incorporated herein by reference. Failure by ~ ; the Mortgagor to carry on or complete the development or construc E tion of improvements in accordance with such Loan Agreement or any other default by the Mortgagor under such Loan Agreement ~ shall constitute a default urider this mortgage and the holder of ~ the~notes may at its option.cause the entire indebtedness secured - by this mortgage to become immediately due and payable; in addi- ~ tion, Mortgagor shall be authorized to advance money for comple- tion of development and construction, as contemplated by the Loan ~ Agreement, which sums so advanced shall be secured by this Mortgage. . ~ ~ ~ ~ 21. Condaainiut Unit Release Pravision. It is agreed that ~ if the Mortgagor is not in e au t o any o the terms and condi- ~ tions of this Mortgage and Security Agreement or Note or Loan Agreeme nt, then the Mortgagee shall release f rom the lien of this Mortgage and Security Agreement, condominium units to be con- ~ structed upon the Real Property (which shall also be secured hereby) upon the payment, for each condominium unit to be ~ released, of the sum of $87,000.00. Payments as specified herein { shall be applied to the last principal payment coming due under the Note and this Mortgage and Secu rity Ag reement. ~ ~ ~ ; ~ ~ . ~ ~ - 8 - E. 60UK PAGE ~8 ~ ~r t _ . _ _ _ . - .~.-..C.:'S ~ "d' ~:.°r +w..r "L,~,. . *H..~ '~'x~ry.T.+r s'"W .~.r -;y~~k'-., ' ~