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rights of Lenders pursuant to California Civil Code Section 29246, or to diminish the rights of a junior lienholder to receive notice under applicable law. (v) If following the occurrence of a default under the Senior Lienholder Documents but prior to any foreclosure or deed in lieu of foreclosure under the Senior Lienholder Documents, Subordinate Lienholder takes title to or possession of the Property and cures all outstanding defaults under the Senior Lienholder Documents, Senior Lienholder hereby agrees not to exercise any rights Senior Lienholder may have under the Senior Lienholder Documents to declare a default and accelerate the Senior Lienholder Loan that arise solely as a result of the transfer of title or possession of the Property to Subordinate Lienholder (or, i Senior Lienholder has already accelerated the Senior Lienholder Loan, Senior Lienholder hereby agrees that Senior Lienholder will reinstate the Senior Lienholder Loan at that time) and Senior Lienholder shall permit the transfer of the entire Property to Subordinate Lienholder subject to the Senior Lienholder Documents if and only if each and all of the following conditions have been satisfied in Senior Lienholder's reasonable determination: (1) Subordinate Lienholder has executed the form of Assumption Agreement provided by Senior Lienholder; (2) Subordinate Lienholder cures any existing defaults under the Senior Lienholder Documents through escrow, and there exists no other event, which, with the giving of notice or the passage of time or both, would constitute an event of default under any of the Senior Lienholder Documents; and (3) Senior Lienholder receives a new Senior Lienholder's policy of title insurance or endorsement insuring the continued existing lien status of the Senior Lienholder Loan. In the event the above conditions are met, all existing terms of the Senior Lienholder Documents will remain in effect. The obligations of Senior Lienholder stated herein are expressly conditioned upon the assumption transaction being in compliance with the applicable law and regulations of all government agencies having jurisdiction over Senior Lienholder at the time of the transfer. The provisions of this Paragraph shall apply to the transfer of the Property to Subordinate Lienholder only and it shall not apply to any other or subsequent transfer to any other party. (vi) As required pursuant to Section 33334.14(a)(4) of the California, Health and Safety Code, Subordinate Lienholder has determined that an economically feasible alternative method of financing, refinancing or assisting the project situated or to be situated on the Property, on substantially comparable terms and conditions to the Senior Lienholder Documents, without subordination, is not reasonably available. 6. The Agency declares, agrees and acknowledges that: a. It consents to and approves of all provisions of the Senior Lienholder Loan Documents and any and all loan or escrow agreements between the Borrower and Senior Lienholder for the disbursement of the proceeds of Senior Lienholder's loan; b. Senior Lienholder in making disbursements pursuant to any such agreement is under no obligation or duty to, nor has Senior Lienholder represented that it will see to the application of such proceeds by the person or persons to whom Senior Lienholder disburses such proceeds and any application or use of such proceeds for purposes other than