EXECUTION COPY
MORTGAGE LOAN PURCHASE AGREEMENT
THIS MORTGAGE LOAN PURCHASE AGREEMENT (this "Agreement") is dated
as
of October 27, 2005, between GERMAN AMERICAN CAPITAL CORPORATION
(the "Seller")
and CITIGROUP COMMERCIAL MORTGAGE SECURITIES INC. (the
"Purchaser").
The Seller intends to sell, and the Purchaser intends to purchase,
certain multifamily and commercial mortgage loans (the "Mortgage
Loans")
identified on the schedule (the "Mortgage Loan Schedule") annexed
hereto as
Annex A. The Purchaser intends to deposit the Mortgage Loans, along
with certain
other mortgage loans (the "Other Mortgage Loans"), into a trust
fund (the "Trust
Fund"), the beneficial ownership of which will be evidenced by
multiple classes
(each, a "Class") of mortgage pass-through certificates (the
"Certificates").
One or more "real estate mortgage investment conduit" ("REMIC")
elections will
be made with respect to most of the Trust Fund. The Trust Fund will
be created
and the Certificates will be issued pursuant to a Pooling and
Servicing
Agreement (the "Pooling and Servicing Agreement"), dated as of
November 1, 2005,
among the Purchaser, as depositor, Midland Loan Services, Inc., as
master
servicer (the "Master Servicer"), LNR Partners, Inc., as special
servicer (the
"Special Servicer"), LaSalle Bank National Association, as trustee
(the
"Trustee"), and ABN AMRO Bank N.V., as fiscal agent. Capitalized
terms used
herein (including the schedules attached hereto) but not defined
herein (or in
such schedules) have the respective meanings set forth in the
Pooling and
Servicing Agreement.
Now, therefore, in consideration of the premises and the mutual
agreements set forth herein, the parties agree as follows:
SECTION 1. Agreement to Purchase.
The Seller agrees to sell, and the Purchaser agrees to purchase,
the
Mortgage Loans identified on the Mortgage Loan Schedule. The
Mortgage Loan
Schedule may be amended to reflect the actual Mortgage Loans
delivered to the
Purchaser pursuant to the terms hereof. The Mortgage Loans are
expected to have
an aggregate principal balance of $1,607,475,670 (the "GACC
Mortgage Loan
Balance") (subject to a variance of plus or minus 5.0%) as of the
close of
business on the Cut-off Date, after giving effect to any payments
due on or
before such date, whether or not such payments are received. The
GACC Mortgage
Loan Balance, together with the aggregate principal balance of the
Other
Mortgage Loans as of the Cut-off Date (after giving effect to any
payments due
on or before such date whether or not such payments are received),
is expected
to equal an aggregate principal balance (the "Cut-off Date Pool
Balance") of
$3,878,244,727 (subject to a variance of plus or minus 5.0%). The
purchase and
sale of the Mortgage Loans shall take place on November 15, 2005 or
such other
date as shall be mutually acceptable to the parties to this
Agreement (the
"Closing Date"). The consideration (the "Aggregate Purchase Price")
for the
Mortgage Loans shall consist of an amount equal to (i) 98.6289% of
the GACC
Mortgage Loan Balance as of the Cut-off Date, plus (ii) $3,097,606,
which amount
represents the amount of interest accrued on the GACC Mortgage Loan
Balance, as
agreed to by the Seller and the Purchaser.
The Aggregate Purchase Price shall be paid to the Seller or its
designee by wire transfer in immediately available funds on the
Closing Date.
SECTION 2. Conveyance of Mortgage Loans.
(a) Effective as of the Closing Date, subject only to receipt by
the
Seller of the Aggregate Purchase Price and satisfaction or waiver
of the other
conditions to closing that are for the benefit of the Seller (which
conditions
shall be deemed to have been satisfied or waived upon the Seller's
receipt of
the Aggregate Purchase Price), the Seller does hereby sell,
transfer, assign,
set over and otherwise convey to the Purchaser, without recourse
(except as set
forth in this Agreement), all the right, title and interest of the
Seller in and
to the Mortgage Loans identified on the Mortgage Loan Schedule as
of such date,
on a servicing-released basis (except with respect to the Outside
Serviced
Mortgage Loan), together with all of the Seller's right, title and
interest in
and to the proceeds of any related title, hazard, primary mortgage
or other
insurance proceeds and any escrow, reserve or comparable accounts
related to the
Mortgage Loans, subject, in the case of any Mortgage Loan that is
part of a Loan
Combination, to the rights of the holder(s) of any other mortgage
loan(s) in the
related Loan Combination in such proceeds and reserve or comparable
accounts,
and further subject to that certain Servicing Rights Purchase
Agreement, dated
as of November 15, 2005, between the Master Servicer and the
Seller, and further
subject to the continuing rights of the Seller (which rights the
Seller does not
sell, transfer, assign, set over or otherwise convey to the
Purchaser
hereunder), pursuant to the related loan documents, to (i)
establish or
designate a successor borrower in connection with a defeasance of
the subject
Mortgage Loan, and (ii) to purchase or cause to be purchased the
related
defeasance collateral.
(b) The Purchaser or its assignee shall be entitled to receive all
scheduled payments of principal and interest due after the Cut-off
Date, and all
other recoveries of principal and interest collected after the
Cut-off Date
(other than in respect of principal and interest on the Mortgage
Loans due on or
before the Cut-off Date). All scheduled payments of principal and
interest due
on or before the Cut-off Date but collected after the Cut-off Date,
and
recoveries of principal and interest collected on or before the
Cut-off Date
(only in respect of principal and interest on the Mortgage Loans
due on or
before the Cut-off Date and principal prepayments thereon), shall
belong to, and
shall be promptly remitted to, the Seller.
(c) No later than the Closing Date, the Seller shall, on behalf of
the
Purchaser, deliver to the Trustee (with a copy to the Master
Servicer and the
Special Servicer within ten Business Days of the Closing Date) the
documents and
instruments specified below under clauses (i), (ii), (vii), (ix)(A)
and (xi)(D)
and shall, not later than the date that is 30 days after the
Closing Date,
deliver to the Trustee the remaining documents and instruments
specified below
with respect to each Mortgage Loan that is a Serviced Mortgage Loan
(the
documents and instruments specified below, collectively, the
"Mortgage File").
All Mortgage Files so delivered will be held by the Trustee in
escrow for the
benefit of the Seller at all times prior to the Closing Date. The
Mortgage File
for each Mortgage Loan that is a Serviced Mortgage Loan shall
contain the
following documents:
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(i) the original executed Mortgage Note including any power of
attorney related to the execution thereof, together with any and
all
intervening endorsements thereon, endorsed on its face or by
allonge
attached thereto (without recourse, representation or warranty,
express or
implied) to the order of "LaSalle Bank National Association, as
trustee for
the registered holders of CD 2005-CD1 Commercial Mortgage Trust,
Commercial
Mortgage Pass-Through Certificates, Series 2005-CD1" or in blank
(or a lost
note affidavit and indemnity with a copy of such Mortgage Note
attached
thereto);
(ii) an original or a copy of the Mortgage, together with any and
all intervening assignments thereof, in each case (unless not yet
returned
by the applicable recording office) with evidence of recording
indicated
thereon or certified by the applicable recording office;
(iii) an original or a copy of any related Assignment of Leases
(if such item is a document separate from the Mortgage), together
with any
and all intervening assignments thereof, in each case (unless not
yet
returned by the applicable recording office) with evidence of
recording
indicated thereon or certified by the applicable recording office;
(iv) an original executed assignment, in recordable form (except
for any missing recording information and, if delivered in blank,
the name
of the assignee), of (A) the Mortgage, (B) any related Assignment
of Leases
(if such item is a document separate from the Mortgage) and (C) any
other
recorded document relating to the Mortgage Loan otherwise included
in the
Mortgage File, in favor of "LaSalle Bank National Association, as
trustee
for the registered holders of CD 2005-CD1 Commercial Mortgage
Trust,
Commercial Mortgage Pass-Through Certificates, Series 2005-CD1"
(and, in
the case of a Serviced Loan Combination, also on behalf of the
related
Non-Trust Loan Noteholder(s)), or in blank;
(v) an original assignment of all unrecorded documents relating
to the Mortgage Loan (to the extent not already assigned pursuant
to clause
(iv) above), in favor of "LaSalle Bank National Association, as
trustee for
the registered holders of CD 2005-CD1 Commercial Mortgage Trust,
Commercial
Mortgage Pass-Through Certificates, Series 2005-CD1" (and, in the
case of a
Serviced Loan Combination, also on behalf of the related Non-Trust
Loan
Noteholder(s)), or in blank;
(vi) originals or copies of any consolidation, assumption,
substitution and modification agreements in those instances where
the terms
or provisions of the Mortgage or Mortgage Note have been
consolidated or
modified or the Mortgage Loan has been assumed or consolidated;
(vii) the original or a copy of the policy or certificate of
lender's title insurance or, if such policy has not been issued or
located,
an original or copy of an irrevocable, binding commitment (which
may be a
pro forma policy or marked version of the policy that has been
executed by
an authorized representative of the title company or
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an agreement to provide the same pursuant to binding escrow
instructions
executed by an authorized representative of the title company) to
issue
such title insurance policy;
(viii) any filed copies (bearing evidence of filing) or other
evidence of filing reasonably satisfactory to the Purchaser of any
prior
UCC Financing Statements in favor of the originator of the Mortgage
Loan or
in favor of any assignee prior to the Trustee (but only to the
extent the
Seller had possession of such UCC Financing Statements when it was
to
deliver the subject Mortgage File on or prior to the Closing Date)
and, if
there is an effective UCC Financing Statement and continuation
statement in
favor of the Seller on record with the applicable public office for
UCC
Financing Statements, an original UCC Financing Statement
assignment, in
form suitable for filing in favor of "LaSalle Bank National
Association, as
trustee for the registered holders of CD Commercial Mortgage Trust,
Commercial Mortgage Pass-Through Certificates, Series 2005-CD1"
(and, in
the case of any Serviced Loan Combination, also on behalf of the
related
Non-Trust Loan Noteholder(s)), as assignee, or in blank;
(ix) an original or a copy of any (A) Ground Lease and ground
lessor estoppel, (B) loan guaranty or indemnity, (C) secured
creditor
environmental insurance policy or (D) lease enhancement policy;
(x) any intercreditor, co-lender or similar agreement relating to
permitted debt of the Mortgagor;
(xi) copies of any (A) loan agreement, (B) escrow agreement, (C)
security agreement or (D) letter of credit relating to the Mortgage
Loan;
and
(xii) with respect to each Non-Trust Loan that is part of a
Serviced Loan Combination, all of the above documents with respect
to such
Non-Trust Loan and the related Loan Combination Intercreditor
Agreement;
provided that a copy of the Mortgage Note relating to each such
Non-Trust
Loan, rather than the original, shall be provided, and no
endorsements to
such note shall be provided.
Not later than the Closing Date, the Seller shall, on behalf of the
Purchaser, deliver to the Trustee (with a copy to the Master
Servicer and the
Special Servicer within ten Business Days of the Closing date) the
documents
specified below under clauses (i) through (iii). The Mortgage File
with respect
to the Outside Serviced Mortgage Loan shall contain the following
documents:
(i) the original executed Mortgage Note including any power of
attorney related to the execution thereof, together with any and
all
intervening endorsements thereon, endorsed on its face or by
allonge
attached thereto (without recourse, representation or warranty,
express or
implied) to the order of "LaSalle Bank National Association, as
trustee for
the registered holders of CD 2005-CD1 Commercial Mortgage Trust,
Commercial
Mortgage Pass-Through Certificates, Series 2005-CD1" or in blank
(or a lost
note affidavit and indemnity with a copy of such Mortgage Note
attached
thereto);
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(ii) an executed copy of the Loews Universal Hotel Portfolio
Co-Lender Agreement; and
(iii) an executed copy of the Outside Servicing Agreement.
The Seller hereby further represents and warrants that with respect
to the
Outside Serviced Mortgage Loan, it has delivered to the Outside
Trustee the
documents constituting the "Mortgage File" within the meaning of
the Outside
Servicing Agreement in connection with its sale of the related
Non-Trust Loan to
the depositor in connection with the Outside Servicing Agreement.
(d) The Seller, at its own cost and expense, shall retain an
independent third party (the "Recording/Filing Agent") that shall,
as to each
Mortgage Loan, promptly (and in any event, as to any Mortgage Loan,
within 90
days following the latest of (i) the Closing Date and (ii) the
delivery of the
related Mortgage(s), Assignment(s) of Leases, recordable documents,
and UCC
Financing Statements to the Trustee complete (if and to the extent
necessary)
and cause to be submitted for recording or filing, as the case may
be, in the
appropriate public office for real property records or UCC
Financing Statements,
as appropriate, each assignment of Mortgage, assignment of
Assignment of Leases
and assignment of any other recordable documents relating to each
such Mortgage
Loan, in favor of the Trustee referred to in Sections 2(c)(iv)(A),
(B) and (C)
and each assignment of a UCC Financing Statement in favor of the
Trustee and so
delivered to the Trustee and referred to in Section 2(c)(viii). The
Seller shall
cause the recorded original of each such assignment of recordable
documents to
be delivered to the Trustee or its designee following recording,
and shall cause
the file copy of each such UCC Financing Statement to be delivered
to the
Trustee or its designee following filing; provided that in those
instances where
the public recording office retains the original assignment of
Mortgage or
assignment of Assignment of Leases, the Seller or the
Recording/Filing Agent
shall obtain therefrom a certified copy of the recorded original,
which shall be
delivered to the Trustee or its designee. If any such document or
instrument is
lost or returned unrecorded or unfiled, as the case may be, because
of a defect
therein, the Seller shall promptly prepare or cause to be prepared
a substitute
therefor or cure such defect, as the case may be, and thereafter
cause the same
to be duly recorded or filed, as appropriate. The Seller shall be
responsible
for the out-of-pocket costs and expenses of the Recording/Filing
Agent in
connection with its performance of the recording, filing and
delivery
obligations contemplated above.
(e) All documents and records (except draft documents,
attorney-client
privileged communications and internal correspondence, credit
underwriting or
due diligence analyses, credit committee briefs or memoranda or
other internal
approval documents or data or internal worksheets, memoranda,
communications or
evaluations and other underwriting analysis of the Seller) relating
to, and
necessary for the servicing and administration of, each Mortgage
Loan (other
than the Outside Serviced Mortgage Loan) and in the Seller's
possession that are
not required to be delivered to the Trustee shall promptly be
delivered or
caused to be delivered by the Seller to the Master Servicer or at
the direction
of the Master Servicer to the appropriate sub-servicer, together
with any
related escrow amounts and reserve amounts.
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(f) The Seller shall take such actions as are reasonably necessary
to
assign or otherwise grant to the Trust Fund the benefit of any
letters of credit
in the name of the Seller which secure any Mortgage Loan. Without
limiting the
generality of the foregoing, if a draw upon a letter of credit is
required
before its transfer to the Trust Fund can be completed, the Seller
shall draw
upon such letter of credit for the benefit of the Trust pursuant to
written
instructions from the Master Servicer.
SECTION 3. Representations, Warranties and Covenants of Seller.
(a) The Seller hereby represents and warrants to and covenants with
the Purchaser, as of the date hereof, that:
(i) The Seller is a corporation organized and validly existing
and in good standing under the laws of the State of Maryland and
possesses
all requisite authority, power, licenses, permits and franchises to
carry
on its business as currently conducted by it and to execute,
deliver and
comply with its obligations under the terms of this Agreement;
(ii) This Agreement has been duly and validly authorized,
executed and delivered by the Seller and, assuming due
authorization,
execution and delivery hereof by the Purchaser, constitutes a
legal, valid
and binding obligation of the Seller, enforceable against the
Seller in
accordance with its terms, except as such enforcement may be
limited by
bankruptcy, insolvency, reorganization, receivership, moratorium
and other
laws affecting the enforcement of creditors' rights in general and
by
general equity principles (regardless of whether such enforcement
is
considered in a proceeding in equity or at law), and by public
policy
considerations underlying the securities laws, to the extent that
such
public policy considerations limit the enforceability of the
provisions of
this Agreement which purport to provide indemnification from
liabilities
under applicable securities laws;
(iii) The execution and delivery of this Agreement by the Seller
and the Seller's performance and compliance with the terms of this
Agreement will not (A) violate the Seller's certificate of
incorporation or
bylaws, (B) violate any law or regulation or any administrative
decree or
order to which it is subject or (C) constitute a material default
(or an
event which, with notice or lapse of time, or both, would
constitute a
material default) under, or result in the breach of, any material
contract,
agreement or other instrument to which the Seller is a party or by
which
the Seller is bound, which default might have consequences that
would, in
the Seller's reasonable and good faith judgment, materially and
adversely
affect the condition (financial or other) or operations of the
Seller or
its properties or have consequences that would materially and
adversely
affect its performance hereunder;
(iv) The Seller is not in default with respect to any order or
decree of any court or any order, regulation or demand of any
federal,
state, municipal or other governmental agency or body, which
default might
have consequences that would, in the Seller's reasonable and good
faith
judgment, materially and adversely affect the condition
6
(financial or other) or operations of the Seller or its properties
or have
consequences that would materially and adversely affect its
performance
hereunder;
(v) The Seller is not a party to or bound by any agreement or
instrument or subject to any certificate of incorporation, bylaws
or any
other corporate restriction or any judgment, order, writ,
injunction,
decree, law or regulation that would, in the Seller's reasonable
and good
faith judgment, materially and adversely affect the ability of the
Seller
to perform its obligations under this Agreement or that requires
the
consent of any third person to the execution of this Agreement or
the
performance by the Seller of its obligations under this Agreement
(except
to the extent such consent has been obtained);
(vi) No consent, approval, authorization or order of any court or
governmental agency or body is required for the execution, delivery
and
performance by the Seller of, or compliance by the Seller with,
this
Agreement or the consummation of the transactions contemplated by
this
Agreement except as have previously been obtained, and no bulk sale
law
applies to such transactions;
(vii) No litigation is pending or, to the Seller's knowledge,
threatened against the Seller that would, in the Seller's good
faith and
reasonable judgment, prohibit its entering into this Agreement or
materially and adversely affect the performance by the Seller of
its
obligations under this Agreement; and
(viii) Under generally accepted accounting principles ("GAAP")
and for federal income tax purposes, the Seller will report the
transfer of
the Mortgage Loans to the Purchaser as a sale of the Mortgage Loans
to the
Purchaser in exchange for consideration consisting of the Aggregate
Purchase Price. The consideration received by the Seller upon the
sale of
the Mortgage Loans to the Purchaser will constitute at least
reasonably
equivalent value and fair consideration for the Mortgage Loans. The
Seller
will be solvent at all relevant times prior to, and will not be
rendered
insolvent by, the sale of the Mortgage Loans to the Purchaser. The
Seller
is not selling the Mortgage Loans to the Purchaser with any intent
to
hinder, delay or defraud any of the creditors of the Seller.
(b) The Seller hereby makes, on the date hereof and on the Closing
Date, the representations and warranties contained in Schedule I
and Schedule II
hereto with respect to each Mortgage Loan, for the benefit of the
Purchaser,
which representations and warranties are subject to the exceptions
set forth on
Schedule III.
(c) If the Seller receives written notice of a Document Defect or a
Breach pursuant to Section 2.03(a) of the Pooling and Servicing
Agreement
relating to a Mortgage Loan, then the Seller shall, not later than
90 days from
receipt of such notice (or, in the case of a Document Defect or
Breach relating
to a Mortgage Loan not being a "qualified mortgage" within the
meaning of the
REMIC Provisions (a "Qualified Mortgage"), not later than 90 days
from any party
to the Pooling and Servicing Agreement discovering such Document
Defect or
Breach, provided the Seller receives such notice in a timely
manner), if such
Document Defect or Breach
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shall materially and adversely affect the value of the applicable
Mortgage Loan
or the interests of the Certificateholders therein, cure such
Document Defect or
Breach, as the case may be, in all material respects, which shall
include
payment of actual losses and any Additional Trust Fund Expenses
directly
resulting therefrom or, if such Document Defect or Breach (other
than omissions
solely due to a document not having been returned by the related
recording
office) cannot be cured within such 90-day period, (i) repurchase
the affected
Mortgage Loan at the applicable Purchase Price not later than the
end of such
90-day period, or (ii) substitute a Qualified Substitute Mortgage
Loan (other
than with respect to the One Court Square-Citibank Mortgage Loan,
for which no
substitution shall be permitted) for such affected Mortgage Loan
not later than
the end of such 90-day period (and in no event later than the
second anniversary
of the Closing Date) and pay the Master Servicer for deposit into
the
Certificate Account, any Substitution Shortfall Amount in
connection therewith;
provided, however, that, if a Document Defect or Breach is capable
of being
cured but not within such 90-day period and the Seller has
commenced and is
diligently proceeding with the cure of such Document Defect or
Breach within
such 90-day period, then unless such Document Defect or Breach
would cause the
Mortgage Loan not to be a Qualified Mortgage, such Seller shall
have an
additional 90 days to complete such cure (or, failing such cure, to
repurchase
or substitute for the related Mortgage Loan); and provided,
further, that with
respect to such additional 90-day period the Seller shall have
delivered an
officer's certificate to the Trustee setting forth what actions the
Seller is
pursuing in connection with the cure thereof and stating that the
Seller
anticipates that such Document Defect or Breach will be cured
within the
additional 90-day period. For a period of two years from the
Closing Date, so
long as there remains any Mortgage File relating to a Mortgage Loan
as to which
there is an uncured Document Defect, the Seller shall provide the
officer's
certificate to the Trustee described above as to the reasons such
Document
Defect remains uncured and as to the actions being taken to pursue
cure.
No substitution of a Qualified Substitute Mortgage Loan or
Qualified
Substitute Mortgage Loans may be made in any calendar month after
the
Determination Date for such month. Periodic Payments due with
respect to any
Qualified Substitute Mortgage Loan after the related date of
substitution shall
be part of the Trust Fund. Periodic Payments due with respect to
any Qualified
Substitute Mortgage Loan on or prior to the related date of
substitution shall
not be part of the Trust Fund and shall be remitted to the Seller
promptly
following receipt.
(d) If (i) any Mortgage Loan is required to be repurchased or
substituted for in the manner described above, (ii) such Mortgage
Loan is a
Crossed Loan, and (iii) the applicable Document Defect or Breach
does not
constitute a Document Defect or Breach, as the case may be, as to
any other
Crossed Loan in such Crossed Group (without regard to this
paragraph), then the
applicable Document Defect or Breach, as the case may be, will be
deemed to
constitute a Document Defect or Breach, as the case may be, as to
each other
Crossed Loan in the Crossed Group for purposes of this paragraph,
and the Seller
will be required to repurchase or substitute for the remaining
Crossed Loan(s)
in the related Crossed Group as provided in the immediately
preceding paragraph
unless such other Crossed Loans in such Crossed Group satisfy the
Crossed Loan
Repurchase Criteria and satisfy all other criteria for substitution
or
repurchase, as applicable, of Mortgage Loans set forth herein or in
the Pooling
and Servicing Agreement. In the event that the remaining Crossed
Loans satisfy
the aforementioned criteria, the Seller may elect either to
repurchase or
substitute for only the affected Crossed Loan as to which the
related
8
Document Defect or Breach exists or to repurchase or substitute for
all of the
Crossed Loans in the related Crossed Group. The Seller shall be
responsible for
the cost of any Appraisal required to be obtained by the Master
Servicer to
determine if the Crossed Loan Repurchase Criteria have been
satisfied, so long
as the scope and cost of such Appraisal has been approved by the
Seller (such
approval not to be unreasonably withheld). To the extent that the
Seller is
required to purchase or substitute for a Crossed Loan hereunder in
the manner
prescribed above while the Purchaser continues to hold any other
Crossed Loans
in such Crossed Group, neither the Seller nor the Purchaser shall
enforce any
remedies against the other's Primary Collateral, but each is
permitted to
exercise remedies against the Primary Collateral securing its
respective Crossed
Loans, including, with respect to the Purchaser, the Primary
Collateral securing
the Crossed Loans still held by the Purchaser, so long as such
exercise does not
materially impair the ability of the other party to exercise its
remedies
against its Primary Collateral.
If the exercise of remedies by one party would materially impair
the
ability of the other party to exercise its remedies with respect to
the Primary
Collateral securing the Crossed Loans held by such party, then the
Seller and
the Purchaser shall forbear from exercising such remedies until the
Mortgage
Loan documents evidencing and securing the relevant Crossed Loans
can be
modified in a manner that complies with this Agreement to remove
the threat of
material impairment as a result of the exercise of remedies or some
other
accommodation can be reached. Any reserve or other cash collateral
or letters of
credit securing the Crossed Loans shall be allocated between such
Crossed Loans
in accordance with the Mortgage Loan documents or, if not specified
in the
related Mortgage Loan documents, on a pro rata basis based upon
their
outstanding Stated Principal Balances. Notwithstanding the
foregoing, if a
Crossed Loan included in the Trust Fund is modified to terminate
the related
cross-collateralization and/or cross-default provisions, as a
condition to such
modification, the Seller shall furnish to the Trustee an Opinion of
Counsel that
such modification shall not cause an Adverse REMIC Event. Any
expenses incurred
by the Purchaser in connection with such modification or
accommodation
(including but not limited to recoverable attorney fees) shall be
paid by the
Seller.
Notwithstanding any of the foregoing provisions of this Section
3(d),
if there is a Document Defect or Breach (which Document Defect or
Breach shall
materially and adversely affect the value of the related Mortgage
Loan or the
interests of the Certificateholders therein) with respect to one or
more
Mortgaged Properties with respect to a Mortgage Loan, the Seller
shall not be
obligated to repurchase or substitute the Mortgage Loan if (i) the
affected
Mortgaged Property(ies) may be released or substituted pursuant to
the terms of
any partial release or substitution provisions in the related
Mortgage Loan
documents (and such Mortgaged Property(ies) are, in fact, released
or
substituted) and, to the extent not covered by the applicable
release price (if
any) required under the related Mortgage Loan documents, the Seller
pays (or
causes to be paid) any additional amounts necessary to cover all
reasonable
out-of-pocket expenses reasonably incurred by the Master Servicer,
the Special
Servicer, the Trustee or the Trust Fund in connection with such
release or
substitution, (ii) the remaining Mortgaged Property(ies) satisfy
the
requirements, if any, set forth in the related Mortgage Loan
documents and the
Seller provides an opinion of counsel to the effect that such
release would not
cause either of REMIC I or REMIC II to fail to qualify as a REMIC
under the Code
or result in the imposition of any tax on "prohibited transactions"
or
"contributions" after the Startup Day under the REMIC Provisions
and (iii) each
Rating Agency then rating the Certificates shall have
9
provided written confirmation that such release would not cause the
then-current
ratings of the Certificates rated by it to be qualified, downgraded
or
withdrawn.
(e) In connection with any permitted repurchase or substitution of
one
or more Mortgage Loans contemplated hereby, upon receipt of a
certificate from a
Servicing Officer certifying as to the receipt of the Purchase
Price or
Substitution Shortfall Amount(s), as applicable, in the Certificate
Account, and
the delivery of the Mortgage File(s) and the Servicing File(s) for
the related
Qualified Substitute Mortgage Loan(s) to the Custodian and the
Master Servicer,
respectively, if applicable, (i) the Trustee shall execute and
deliver such
endorsements and assignments as are provided to it by the Master
Servicer, in
each case without recourse, representation or warranty, as shall be
necessary to
vest in the Seller, the legal and beneficial ownership of each
repurchased
Mortgage Loan or substituted Mortgage Loan, as applicable, (ii) the
Trustee, the
Custodian, the Master Servicer and the Special Servicer shall each
tender to the
Seller, upon delivery to each of them of a receipt executed by the
Seller, all
portions of the Mortgage File and other documents pertaining to
such Mortgage
Loan possessed by it, and (iii) the Master Servicer and the Special
Servicer
shall release to the Seller any Escrow Payments and Reserve Funds
held by it in
respect of such repurchased or deleted Mortgage Loans.
(f) Without limiting the remedies of the Purchaser, the
Certificateholders or the Trustee on behalf of the
Certificateholders pursuant
to this Agreement, it is acknowledged that the representations and
warranties
are being made for risk allocation purposes. This Section 3
provides the sole
remedy available to the Certificateholders, or the Trustee on
behalf of the
Certificateholders, respecting any Document Defect in a Mortgage
File or any
Breach of any representation or warranty set forth in or required
to be made
pursuant to this Section 3.
SECTION 4. Representations and Warranties of the Purchaser. In
order
to induce the Seller to enter into this Agreement, the Purchaser
hereby
represents and warrants for the benefit of the Seller as of the
date hereof
that:
(a) The Purchaser is a corporation duly organized, validly existing
and in good standing under the laws of the State of Delaware. The
Purchaser has
the full corporate power and authority and legal right to acquire
the Mortgage
Loans from the Seller and to transfer the Mortgage Loans to the
Trustee.
(b) This Agreement has been duly and validly authorized, executed
and
delivered by the Purchaser, all requisite action by the Purchaser's
directors
and officers has been taken in connection therewith, and (assuming
the due
authorization, execution and delivery hereof by the Seller) this
Agreement
constitutes the valid, legal and binding agreement of the
Purchaser, enforceable
against the Purchaser in accordance with its terms, except as such
enforcement
may be limited by (i) laws relating to bankruptcy, insolvency,
reorganization,
receivership or moratorium, (ii) other laws relating to or
affecting the rights
of creditors generally, or (iii) general equity principles
(regardless of
whether such enforcement is considered in a proceeding in equity or
at law).
(c) Except as may be required under federal or state securities
laws
(and which will be obtained on a timely basis), no consent,
approval,
authorization or order of,
10
registration or filing with, or notice to, any governmental
authority or court,
is required, under federal or state law, for the execution,
delivery and
performance by the Purchaser of or compliance by the Purchaser with
this
Agreement, or the consummation by the Purchaser of any transaction
described in
this Agreement.
(d) None of the acquisition of the Mortgage Loans by the Purchaser,
the transfer of the Mortgage Loans to the Trustee, and the
execution, delivery
or performance of this Agreement by the Purchaser, results or will
result in the
creation or imposition of any lien on any of the Purchaser's assets
or property,
or conflicts or will conflict with, results or will result in a
breach of, or
constitutes or will constitute a default under (i) any term or
provision of the
Purchaser's articles of association or bylaws, (ii) any term or
provision of any
material agreement, contract, instrument or indenture, to which the
Purchaser is
a party or by which the Purchaser is bound, or (iii) any law, rule,
regulation,
order, judgment, writ, injunction or decree of any court or
governmental
authority having jurisdiction over the Purchaser or its assets,
which default
might have consequences that would, in the Purchaser's reasonable
and good faith
judgment, materially and adversely affect the condition (financial
or other) or
operations of the Purchaser or its properties or have consequences
that would
materially and adversely affect its performance hereunder.
(e) Under GAAP and for federal income tax purposes, the Purchaser
will
report the transfer of the Mortgage Loans by the Seller to the
Purchaser as a
sale of the Mortgage Loans to the Purchaser in exchange for
consideration
consisting of the Aggregate Purchase Price.
(f) There is no action, suit, proceeding or investigation pending
or
to the knowledge of the Purchaser, threatened against the Purchaser
in any court
or by or before any other governmental agency or instrumentality
which would, in
the Purchaser's reasonable and good faith judgment, materially and
adversely
affect the validity of this Agreement or any action taken in
connection with the
obligations of the Purchaser contemplated herein, or which would be
likely to
impair materially the ability of the Purchaser to enter into and/or
perform
under the terms of this Agreement.
(g) The Purchaser is not in default with respect to any order or
decree of any court or any order, regulation or demand of any
federal, state,
municipal or governmental agency, which default might have
consequences that
would materially and adversely affect the condition (financial or
other) or
operations of the Purchaser or its properties or might have
consequences that
would materially and adversely affect its performance hereunder.
SECTION 5. Closing. The closing of the sale of the Mortgage Loans
(the
"Closing") shall be held at the offices of Sidley Austin Brown
& Wood LLP, New
York, New York on the Closing Date.
The Closing shall be subject to each of the following conditions:
(a) All of the representations and warranties of the Seller set
forth
in or made pursuant to Section 3(a) and Section 3(b) of this
Agreement and all
of the representations and
11
warranties of the Purchaser set forth in Section 4 of this
Agreement shall be
true and correct in all material respects as of the Closing Date;
(b) The Pooling and Servicing Agreement (to the extent it affects
the
obligations of the Seller hereunder) and all documents specified in
Section 6 of
this Agreement (the "Closing Documents"), in such forms as are
agreed upon and
acceptable to the Purchaser, the Seller, the Underwriters, the
Initial
Purchasers and their respective counsel in their reasonable
discretion, shall be
duly executed and delivered by all signatories as required pursuant
to the
respective terms thereof;
(c) The Seller shall have delivered and released to the Trustee (or
a
Custodian on its behalf) and the Master Servicer, respectively, all
documents
represented to have been or required to be delivered to the Trustee
and the
Master Servicer pursuant to Section 2 of this Agreement;
(d) All other terms and conditions of this Agreement required to be
complied with on or before the Closing Date shall have been
complied with in all
material respects and the Seller and the Purchaser shall each have
the ability
to comply with all terms and conditions and perform all duties and
obligations
required to be complied with or performed after the Closing Date;
(e) The Seller shall have paid all fees and expenses payable by it
to
the Purchaser or otherwise pursuant to this Agreement as of the
Closing Date;
and
(f) Letters from the independent accounting firms of Ernst &
Young LLP
and PricewaterhouseCoopers LLP in form satisfactory to the
Purchaser, relating
to certain information regarding the Mortgage Loans and
Certificates as set
forth in the Prospectus and Prospectus Supplement, respectively.
Both parties agree to use their best efforts to perform their
respective obligations hereunder in a manner that will enable the
Purchaser to
purchase the Mortgage Loans on the Closing Date.
SECTION 6. Closing Documents. The Closing Documents shall consist
of
the following:
(a) This Agreement duly executed by the Purchaser and the Seller;
(b) A certificate of the Seller, executed by a duly authorized
officer
of the Seller and dated the Closing Date, and upon which the
Purchaser, the
Underwriters and the Initial Purchasers may rely, to the effect
that: (i) the
representations and warranties of the Seller in this Agreement are
true and
correct in all material respects at and as of the Closing Date with
the same
effect as if made on such date; and (ii) the Seller has, in all
material
respects, complied with all the agreements and satisfied all the
conditions on
its part that are required under this Agreement to be performed or
satisfied at
or prior to the Closing Date;
12
(c) An officer's certificate from the Seller, dated the Closing
Date,
and upon which the Purchaser may rely, to the effect that each
individual who,
as an officer or representative of the Seller, signed this
Agreement or any
other document or certificate delivered on or before the Closing
Date in
connection with the transactions contemplated herein, was at the
respective
times of such signing and delivery, and is as of the Closing Date,
duly elected
or appointed, qualified and acting as such officer or
representative, and the
signatures of such persons appearing on such documents and
certificates are
their genuine signatures;
(d) An officer's certificate from an officer of the Seller (signed
in
his/her capacity as an officer), dated the Closing Date, and upon
which the
Purchaser, the Underwriters and the Initial Purchasers may rely, to
the effect
that (i) such officer has carefully examined the Specified Portions
(as defined
below) of the Prospectus Supplement and nothing has come to his
attention that
would lead him to believe that the Specified Portions of the
Prospectus
Supplement, as of the date of the Prospectus Supplement or as of
the Closing
Date, included or include any untrue statement of a material fact
relating to
the Mortgage Loans or the Seller or omitted or omit to state
therein a material
fact necessary in order to make the statements therein relating to
the Mortgage
Loans or the Seller, in light of the circumstances under which they
were made,
not misleading, and (ii) such officer has examined the Specified
Portions of the
Memorandum and nothing has come to his attention that would lead
him to believe
that the Specified Portions of the Memorandum, as of the date
thereof or as of
the Closing Date, included or include any untrue statement of a
material fact
relating to the Mortgage Loans or omitted or omit to state therein
a material
fact necessary in order to make the statements therein related to
the Mortgage
Loans or the Seller, in the light of the circumstances under which
they were
made, not misleading. The "Specified Portions" of the Prospectus
Supplement
shall consist of Annexes A-1, A-2, A-3, A-4, A-5 and B thereto
(insofar as the
information contained in such annexes relates to the Mortgage
Loans), the
diskette which accompanies the Prospectus Supplement (insofar as
such diskette
is consistent with such Annexes A-1, A-2, A-3, A-4, A-5 and B) and
the following
sections of the Prospectus Supplement (to the extent they relate to
the Seller
or the Mortgage Loans and exclusive of any statements in such
sections that
purport to summarize the servicing and administration provisions of
the Pooling
and Servicing Agreement): "Summary of Prospectus
Supplement--Relevant
Parties--Mortgage Loan Sellers," "Summary of Prospectus
Supplement--The
Underlying Mortgage Loans and the Mortgaged Real Properties," "Risk
Factors--Risks Related to the Underlying Mortgage Loans," and
"Description of
the Mortgage Pool." The "Specified Portions" of the Memorandum
shall consist of
the Specified Portions of the Prospectus Supplement and "Summary of
the Offering
Memorandum--Relevant Parties--Mortgage Loan Sellers".
(e) The certificate of incorporation and by-laws of the Seller, and
a
certificate of good standing of the Seller issued by the State of
Maryland not
earlier than sixty (60) days prior to the Closing Date;
(f) A written opinion of counsel for the Seller (which opinion may
be
from in-house counsel, outside counsel or a combination thereof),
relating to
certain corporate and enforceability matters and reasonably
satisfactory to the
Purchaser, its counsel and the Rating Agencies, dated the Closing
Date and
addressed to the Purchaser, the Trustee, the Underwriters,
13
the Initial Purchasers and each of the Rating Agencies, together
with such other
written opinions as may be required by the Rating Agencies; and
(g) Such further certificates, opinions and documents as the
Purchaser
may reasonably request prior to the sale of the Mortgage Loans by
the Seller to
the Purchaser.
SECTION 7. Costs. The Seller shall pay (or shall reimburse the
Purchaser to the extent that the Purchaser has paid) the Seller's
pro rata
portion of the aggregate of the following amounts (the Seller's pro
rata portion
to be determined according to the percentage that the GACC Mortgage
Loan Balance
represents as of the Cut-off Date Pool Balance, the exact amount of
which shall
be as set forth in or determined pursuant to the memorandum of
understanding, to
which the Seller and the Purchaser (or affiliates thereof) are
parties, with
respect to the transactions contemplated by this Agreement): (i)
the costs and
expenses of delivering the Pooling and Servicing Agreement and the
Certificates;
(ii) the costs and expenses of printing (or otherwise reproducing)
and
delivering a preliminary and final Prospectus and Memorandum
relating to the
Certificates; (iii) the initial fees, costs, and expenses of the
Trustee
(including reasonable attorneys' fees); (iv) the filing fee charged
by the
Securities and Exchange Commission for registration of the
Certificates so
registered; (v) the fees charged by the Rating Agencies to rate the
Certificates
so rated; (vi) the fees and disbursements of a firm of certified
public
accountants selected by the Purchaser and the Seller with respect
to numerical
information in respect of the Mortgage Loans and the Certificates
included in
the Prospectus, the Memorandum and any related Computational
Materials or ABS
Term Sheets, including in respect of the cost of obtaining any
"comfort letters"
with respect to such items; (vii) the reasonable out-of-pocket
costs and
expenses in connection with the qualification or exemption of the
Certificates
under state securities or "Blue Sky" laws, including filing fees
and reasonable
fees and disbursements of counsel in connection therewith, in
connection with
the preparation of any "Blue Sky" survey and in connection with any
determination of the eligibility of the Certificates for investment
by
institutional investors and the preparation of any legal investment
survey;
(viii) the expenses of printing any such "Blue Sky" survey and
legal investment
survey; and (ix) the reasonable fees and disbursements of counsel
to the
Underwriters and the Initial Purchasers. All other costs and
expenses in
connection with the transactions contemplated hereunder shall be
borne by the
party incurring such expense.
SECTION 8. Grant of a Security Interest. It is the express intent
of
the parties hereto that the conveyance of the Mortgage Loans by the
Seller to
the Purchaser as provided in Section 2 hereof be, and be construed
as, a sale of
the Mortgage Loans by the Seller to the Purchaser and not as a
pledge of the
Mortgage Loans by the Seller to the Purchaser to secure a debt or
other
obligation of the Seller. However, if, notwithstanding the
aforementioned intent
of the parties, the Mortgage Loans are held to be property of the
Seller, then,
(a) it is the express intent of the parties that such conveyance be
deemed a
pledge of the Mortgage Loans by the Seller to the Purchaser to
secure a debt or
other obligation of the Seller, and (b) (i) this Agreement shall
also be deemed
to be a security agreement within the meaning of Article 9 of the
Uniform
Commercial Code of the applicable jurisdiction; (ii) the conveyance
provided for
in Section 2 hereof shall be deemed to be a grant by the Seller to
the Purchaser
of a security interest in all of the Seller's right, title and
interest in and
to the Mortgage Loans, and all amounts payable to the holder of the
Mortgage
Loans in accordance with the terms thereof, and all
14
proceeds of the conversion, voluntary or involuntary, of the
foregoing into
cash, instruments, securities or other property, including, without
limitation,
all amounts, other than investment earnings, from time to time held
or invested
in the Certificate Account, the Distribution Account or, if
established, the REO
Account (each as defined in the Pooling and Servicing Agreement)
whether in the
form of cash, instruments, securities or other property; (iii) the
assignment to
the Trustee of the interest of the Purchaser as contemplated by
Section 1 hereof
shall be deemed to be an assignment of any security interest
created hereunder;
(iv) the possession by the Trustee or any of its agents, including,
without
limitation, the Custodian, of the Mortgage Notes, and such other
items of
property as constitute instruments, money, negotiable documents or
chattel paper
shall be deemed to be possession by the secured party for purposes
of perfecting
the security interest pursuant to Section 9-313 of the Uniform
Commercial Code
of the applicable jurisdiction; and (v) notifications to persons
(other than the
Trustee) holding such property, and acknowledgments, receipts or
confirmations
from persons (other than the Trustee) holding such property, shall
be deemed
notifications to, or acknowledgments, receipts or confirmations
from, financial
intermediaries, bailees or agents (as applicable) of the secured
party for the
purpose of perfecting such security interest under applicable law.
The Seller
and the Purchaser shall, to the extent consistent with this
Agreement, take such
actions as may be necessary to ensure that, if this Agreement were
deemed to
create a security interest in the Mortgage Loans, such security
interest would
be deemed to be a perfected security interest of first priority
under applicable
law and will be maintained as such throughout the term of this
Agreement and the
Pooling and Servicing Agreement, and in connection therewith the
Seller
authorizes the Purchaser to file any and all appropriate Uniform
Commercial Code
financing statements.
SECTION 9. Covenants of Purchaser. The Purchaser shall provide the
Seller with all forms of Disclosure Materials (including the final
form of the
Memorandum and the preliminary and final forms of the Prospectus
Supplement)
promptly upon any such document becoming available.
SECTION 10. Notices. All notices, copies, requests, consents,
demands
and other communications required hereunder shall be in writing and
telecopied
or delivered to the intended recipient at the "Address for Notices"
specified
beneath its name on the signature pages hereof or, as to either
party, at such
other address as shall be designated by such party in a notice
hereunder to the
other party. Except as otherwise provided in this Agreement, all
such
communications shall be deemed to have been duly given when
transmitted by
telecopier or personally delivered or, in the case of a mailed
notice, upon
receipt, in each case given or addressed as aforesaid.
SECTION 11. Representations, Warranties and Agreements to Survive
Delivery. All representations, warranties and agreements contained
in this
Agreement, incorporated herein by reference or contained in the
certificates of
officers of the Seller submitted pursuant hereto, shall remain
operative and in
full force and effect and shall survive delivery of the Mortgage
Loans by the
Seller to the Purchaser (and by the Purchaser to the Trustee).
SECTION 12. Severability of Provisions. Any part, provision,
representation, warranty or covenant of this Agreement that is
prohibited or
which is held to be void or
15
unenforceable shall be ineffective to the extent of such
prohibition or
unenforceability without invalidating the remaining provisions
hereof. Any part,
provision, representation, warranty or covenant of this Agreement
that is
prohibited or unenforceable or is held to be void or unenforceable
in any
particular jurisdiction shall, as to such jurisdiction, be
ineffective to the
extent of such prohibition or unenforceability without invalidating
the
remaining provisions hereof, and any such prohibition or
unenforceability in any
particular jurisdiction shall not invalidate or render
unenforceable such
provision in any other jurisdiction. To the extent permitted by
applicable law,
the parties hereto waive any provision of law which prohibits or
renders void or
unenforceable any provision hereof.
SECTION 13. Counterparts. This Agreement may be executed in any
number
of counterparts, each of which shall be an original, but which
together shall
constitute one and the same agreement.
SECTION 14. GOVERNING LAW. THIS AGREEMENT AND THE RIGHTS, DUTIES,
OBLIGATIONS AND RESPONSIBILITIES OF THE PARTIES HERETO SHALL BE
GOVERNED IN
ACCORDANCE WITH THE INTERNAL LAWS AND DECISIONS OF NEW YORK. THE
PARTIES HERETO
INTEND THAT THE PROVISIONS OF SECTION 5-1401 OF THE NEW YORK
GENERAL OBLIGATIONS
LAW SHALL APPLY TO THIS AGREEMENT.
SECTION 15. Attorneys' Fees. If any legal action, suit or
proceeding
is commenced between the Seller and the Purchaser regarding their
respective
rights and obligations under this Agreement, the prevailing party
shall be
entitled to recover, in addition to damages or other relief, costs
and expenses,
attorneys' fees and court costs (including, without limitation,
expert witness
fees). As used herein, the term "prevailing party" shall mean the
party which
obtains the principal relief it has sought, whether by compromise
settlement or
judgment. If the party which commenced or instituted the action,
suit or
proceeding shall dismiss or discontinue it without the concurrence
of the other
party, such other party shall be deemed the prevailing party.
SECTION 16. Further Assurances. The Seller and the Purchaser agree
to
execute and deliver such instruments and take such further actions
as the other
party may, from time to time, reasonably request in order to
effectuate the
purposes and to carry out the terms of this Agreement.
SECTION 17. Successors and Assigns. The rights and obligations of
the
Seller under this Agreement shall not be assigned by the Seller
without the
prior written consent of the Purchaser, except that any person into
which the
Seller may be merged or consolidated, or any corporation resulting
from any
merger, conversion or consolidation to which the Seller is a party,
or any
person succeeding to all or substantially all of the business of
the Seller,
shall be the successor to the Seller hereunder. The Purchaser has
the right to
assign its interest under this Agreement, in whole or in part, as
may be
required to effect the purposes of the Pooling and Servicing
Agreement, and the
assignee shall, to the extent of such assignment, succeed to the
rights and
obligations hereunder of the Purchaser. Subject to the foregoing,
this Agreement
shall bind and inure to the benefit of and be enforceable by the
Seller, the
Purchaser, the Underwriters
16
and the Initial Purchasers (as intended third party beneficiaries
hereof) and
their permitted successors and assigns. This Agreement is
enforceable by the
Underwriters, the Initial Purchasers and the other third party
beneficiaries
hereto in all respects to the same extent as if they had been
signatories
hereof.
SECTION 18. Amendments. No term or provision of this Agreement may
be
waived or modified unless such waiver or modification is in writing
and signed
by a duly authorized officer of the party, or third party
beneficiary, against
whom such waiver or modification is sought to be enforced. No
amendment to the
Pooling and Servicing Agreement which relates to defined terms
contained
therein, Section 2.01(d) thereof or the repurchase obligations or
any other
obligations of the Seller shall be effective against the Seller (in
such
capacity) unless the Seller shall have agreed to such amendment in
writing.
SECTION 19. Accountants' Letters. The parties hereto shall
cooperate
with Ernst & Young LLP and PricewaterhouseCoopers LLP in making
available all
information and taking all steps reasonably necessary to permit
such accountants
to deliver the letters required by the Underwriting Agreement.
SECTION 20. Knowledge. Whenever a representation or warranty or
other
statement in this Agreement is made with respect to a Person's
"knowledge," such
statement refers to such Person's employees or agents who were or
are
responsible for or involved with the indicated matter and have
actual knowledge
of the matter in question.
[SIGNATURES COMMENCE ON THE FOLLOWING PAGE]
17
IN WITNESS WHEREOF, the Seller and the Purchaser have caused their
names to be signed hereto by their respective duly authorized
officers as of the
date first above written.
SELLER
GERMAN AMERICAN CAPITAL
CORPORATION
By: /s/ Helaine M. Kaplan
-------------------------
Name: Helaine M. Kaplan
Title: Vice President
By: /s/ Andrew Cherrick
-------------------------
Name: Andrew Cherrick
Title: Authorized Signatory
Address for Notices:
388 Greenwich Street
New York, New York 10013
Telecopier No.:
Telephone No.:
PURCHASER
CITIGROUP COMMERCIAL MORTGAGE
SECURITIES INC.
By: /s/ Angela Vleck
---------------------------
Name: Angela Vleck
Title: Vice President
Address for Notices:
388 Greenwich Street
New York, New York 10013
Telecopier No.: 212-816-8307
Telephone No.: 212-816-8087
MORTGAGE LOAN PURCHASE AGREEMENT
SCHEDULE I
GENERAL MORTGAGE REPRESENTATIONS AND WARRANTIES
1. The information pertaining to each Mortgage Loan set forth in
the
Mortgage Loan Schedule was true and correct in all material
respects as of
the Cut-off Date.
2. As of the date of its origination, such Mortgage Loan and, the
interest (exclusive of any default interest, late charges or
prepayment
premiums) contracted for thereunder, complied in all material
respects
with, or was exempt from, all requirements of federal, state or
local law
relating to the origination of such Mortgage Loan, including those
pertaining to usury.
3. Immediately prior to the sale, transfer and assignment to the
Purchaser, the Seller had good and marketable title to, and was the
sole
owner of, each Mortgage Loan, and the Seller is transferring such
Mortgage
Loan free and clear of any and all liens, pledges, charges or
security
interests of any nature encumbering such Mortgage Loan. Upon
consummation
of the transactions contemplated by the Mortgage Loan Purchase
Agreement,
the Seller will have validly and effectively conveyed to the
Purchaser all
legal and beneficial interest in and to such Mortgage Loan free and
clear
of any pledge, lien or security interest.
4. The proceeds of such Mortgage Loan have been fully disbursed
(except if such Mortgage Loan is a Mortgage Loan as to which a
portion of
the funds disbursed are being held in escrow or reserve accounts)
and there
is no requirement for future advances thereunder by the Mortgagee.
5. Each related Mortgage Note, Mortgage, Assignment of Leases (if
any)
and other agreement executed by the Mortgagor in connection with
such
Mortgage Loan is a legal, valid and binding obligation of the
related
Mortgagor (subject to any non-recourse provisions therein and any
state
anti-deficiency or market value limit deficiency legislation),
enforceable
in accordance with its terms, except (a) that certain provisions
contained
in such Mortgage Loan documents are or may be unenforceable in
whole or in
part under applicable state or federal laws, but neither the
application of
any such laws to any such provision nor the inclusion of any such
provisions renders any of the Mortgage Loan documents invalid as a
whole
and such Mortgage Loan documents taken as a whole are enforceable
to the
extent necessary and customary for the practical realization of the
rights
and benefits afforded thereby and (b) as such enforcement may be
limited by
bankruptcy, insolvency, receivership, reorganization, moratorium,
redemption, liquidation or other laws affecting the enforcement of
creditors' rights generally, or by general principles of equity
(regardless
of whether such enforcement is considered in a proceeding in equity
or at
law). The related Mortgage Note and Mortgage contain no
I-1
provision limiting the right or ability of the Seller to assign,
transfer
and convey the related Mortgage Loan to any other Person.
6. As of the date of its origination, there was no valid offset,
defense, counterclaim, abatement or right to rescission with
respect to any
of the related Mortgage Notes, Mortgage(s) or other agreements
executed in
connection therewith, and, as of the Cut-off Date, there is no
valid
offset, defense, counterclaim or right to rescission with respect
to such
Mortgage Note, Mortgage(s) or other agreements, except in each
case, with
respect to the enforceability of any provisions requiring the
payment of
default interest, late fees, additional interest, prepayment
premiums or
yield maintenance charges.
7. Each related assignment of Mortgage and assignment of Assignment
of
Leases from the Seller to the Trustee constitutes the legal, valid
and
binding assignment from the Seller, except as such enforcement may
be
limited by bankruptcy, insolvency, redemption, reorganization,
liquidation,
receivership, moratorium or other laws relating to or affecting
creditors'
rights generally or by general principles of equity (regardless of
whether
such enforcement is considered in a proceed
