Agmt 2006 Mercy Housing California XXXIII (4)

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14.2.2 Right to Cure. (a) In the event of any default by Tenant under the provisions of this Lease, the Leasehold Mortgagee shall have the right to remedy or cause to be remedied such default within the same cure period as afforded Tenant hereunder, extended by an additional ninety (90) days, which cure period shall commence as against the Leasehold Mortgagee upon the receipt by the Leasehold Mortgagee of the notice of default. Landlord shall accept such performance by the Leasehold Mortgagee as ifthe same had been done by Tenant. (b) The term "incurable default" as used herein means any default which cannot be reasonably cured by a Leasehold Mortgagee. The term "curable default" means any default under this Lease which is not an incurable default. Any failure to pay monetary sums shall at all times be deemed a curable default. Any failure to comply with the requirements of Section 6.2 and 6.3 hereof shall at all times be deemed a curable default, and as to Leasehold Mortgagees or any entity acquiring the interest of Tenant in the Property and in this Lease as a result of the foreclosure of a Leasehold Mortgage (or an assignment or deed in lieu thereof), Landlord shall not terminate this Lease provided such party is diligently and in good faith proceeding to cure any such default. In the event of any curable default under this Lease, and if prior to the expiration of the applicable grace period specified in Section 14.2.2 (i) the Leasehold Mortgagee shall give Landlord written notice that it intends to undertake the curing of such default, or to cause the same to be cured, or to exercise its rights to acquire the leasehold interest of Tenant by foreclosure or otherwise, and shall immediately commence and then proceed with diligence to do so, whether by performance on behalf of Tenant of its obligations under this Lease, by foreclosure or otherwise, then Landlord will not terminate or take any action to effect a termination of this Lease or re-enter, take possession of or relet the Property or similarly enforce performance of this Lease so long as the Leasehold Mortgagee is diligently and in good faith engaged in the curing of such default or effecting such foreclosure. The foregoing sentence shall not be deemed to extend the time period within which a default in the payment of money must be cured under other applicable Lease provisions. The Leasehold Mortgagee shall not be required to continue such possession or continue such foreclosure proceedings. Nothing herein shall preclude Landlord from terminating this Lease with respect to any additional default which shall occur during any period of forbearance and not be remedied within the cure period, if any, applicable to any such additional default, except that Leasehold Mortgagee shall have the same rights specified in this Article 14 with respect to any additional defaults. (c) Ifthe default by Tenant pertains to the failure of Tenant to complete the rehabilitation of the Project within the time period required under Section 5.2 of this Lease, and if within one hundred twenty (120) days following written notice to Leasehold Mortgagee of such default Leasehold Mortgagee shall give Landlord written notice that it intends to undertake the curing of such default, or to cause the same to be cured, and to exercise its rights to acquire the leasehold interest of Tenant by foreclosure or otherwise in order to effectuate such cure, and shall immediately commence and then proceed with diligence to do so, then Landlord will not terminate or take any action to effect a termination of this Lease or re-enter, take possession of or relet the Property or similarly enforce performance of this Lease so long as the Leasehold Mortgagee is diligently and in good faith engaged in the completion of the rehabilitation of the Project or effecting such foreclosure; provided, however, Landlord shall not be obligated to forbear from a termination or other enforcement of its rights under the Lease in 833368-4 24