The following summarizes the changes made to the MLSA from the October 19, 2009 posting:
- Provides that Collateral shall be released on a "delivery versus payment basis in connection with Loan prepayments, with delivery of the Collateral to be made to any financial institution that is a TALF Agent. Also includes corresponding changes to the form of prepayment notice.
- Clarifies that the Market Price of an Item of Legacy CMBS Collateral may be the value thereof determined by Lender.
- Provides that if a Loan is to be secured by more than one SBA Pool Certificate, each such SBA Pool Certificate must have an interest rate that resets with the same frequency (i.e. either monthly or quarterly).
- Provides that the Payment Date with respect to Loans made after October 30, 2009 shall be extended to the second Business Day (rather than the first Business Day) following each Determination Date; provided, that this change shall be effective only after FRBNY posts a notification of its effectiveness to the TALF Website.1
1 Please note that with respect to Loans outstanding on October 30, 2009, FRBNY will be seeking consents from the applicable Borrowers to extend the Payment Date to the second Business Day following each Payment Date (such change to also be effective upon posting of a notification thereof to the TALF Website).