RecDoc 2017-061512 2820 Huntington Subordination Agreement RWC-DOH

Browse Search

E. The Subordinate Lender and Owner agree to the above -referenced subordination in favor of Lender. THEREFORE, for valuable consideration and to induce Lender to make certain amendments to the Senior Loan and Senior Loan Documents, Owner and Subordinate Lender hereby agree for the benefit of Lender as follows: 1.1 Each of Lender and the Subordinate Lender agree that the Senior Loan Documents and the Subordinate Loan Documents are unconditionally and will remain at all times, liens, claims, or charges on the Property in the following priority order: (a) the Senior Loan Documents including the Senior Deed of Trust; and (b) the Subordinate Loan Documents including the Affordability Covenants. 1.2 The Senior Deed of Trust securing the Senior Note in favor of Lender, and any modifications, renewals or extensions thereof (including, without limitation, any modifications, renewals or extensions with respect to any additional advances made subject to the Senior Deed of Trust), together with Lender's right to repayment of the Senior Loan and Lender's rights under any other Senior Loan Documents, shall unconditionally be and at all times remain a lien or charge on the Property prior and superior to the Subordinate Loan Documents, the repayment of the Subordinate Loan and Subordinate Lender's rights under any other Subordinate Loan Documents, subject to the terms of this Agreement; provided, however, Subordinate Lender must have given its prior written consent to any modification, renewal or extension that affects the principal sum and/or increases the interest rate accruing on the principal sum of the Senior Loan as a condition to the subordination of the Subordinate Loan Documents to any such change in terms. 1.3 This Agreement shall be the whole agreement with regard to the subordination of (a) the Subordinate Loan Documents, (b) the repayment of the Subordinate Loan and (c) Subordinate Lender's rights under any other Subordinate Loan Documents to the lien or charge of the Senior Deed of Trust together with Lender's right to repayment of the Senior Loan and Lender's rights under any other Senior Loan Documents and shall supersede and cancel, but only insofar as would affect the priority of the Senior Deed of Trust, any prior agreements as to such subordination, including, without limitation, those provisions, if any, contained in the Subordinate Loan Documents, which provide for the subordination of the Affordability Covenants or any other Subordinate Loan Documents to a deed or deeds of trust or to a mortgage or mortgages. Subordinate Lender further declares, agrees and acknowledges for the benefit of Lender, that: 1.4 Lender, in making disbursements pursuant to any such agreement, is under no obligation or duty to, nor has Lender represented that it will, see to the application of such proceeds by the person or persons to whom Lender disburses such proceeds, and any application or use of such proceeds for purposes other than those provided for in such agreement or agreements shall not defeat the subordination herein made in whole or in part. 1.5 Subject to the order of priority set forth in Section 1.1, Subordinate Lender intentionally and unconditionally waives, relinquishes and subordinates all of its right, title and interest in and to the Property to the lien or charge of the Senior Deed of Trust upon the Property and understands that in reliance upon, and in consideration of, this waiver, relinquishment and subordination, specific amendments to the Senior Loan and Senior Loan Documents will be made by Lender and, as part and parcel thereof, specific monetary and other obligations are being and will be entered into which would not be made or entered into but for said reliance upon this waiver, relinquishment and subordination. In consldera'ion of the mutual covenants and agreements contained in this Agreement, Lender and Subordinate Lender agree as follows: Page 2 of 7 REV: 06-08-17 PR ATTY/AGR.2017.135/Service League - 2820 Huntington Loan Subordination