Approved Offer Letter

Test 11.03.2020 Mar 19 2020 2:31PM

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Company ID:

Subject: Approval letter for your Commercial Property Finance

Dear Sir,

We are pleased to inform you that Abu Dhabi Commercial bank (ADCB) has approved a Commercial Property Finance for you for a
Commercial property located in Abu Dhabi. The details are as follows:

The Loan has been sanctioned for a commercial property on its valuation/secondary market price however it will be restricted to %
of valuation/secondary market sale price or AED /- (AED only), whichever is lower.

The facility is subject to the following conditions:

1. You will be required to sign the ADCB Loan agreement & offer letter.
2. Submit Passports, visa copies should be valid for one month at the time of disbursement.
3. Trade License should be valid at least for 7 days at the time of disbursement.
4. ADCB CML Application form should be completely filled and wherever details are not applicable it should be marked with
‘NA’. If corrections are noted in the application form, it must be countersigned at submission.
5. All the documents submitted should be self-attested. Besides all the photocopy documents should be original sighted by
ADCB sales officer.
6. Submit copy of valid Chamber of Commerce Certificate prior to disbursement.
7. Clearance of the processing fee cheque paid towards the Loan.
8. Personal Guarantee of Test 11.03.2020 along with Personal financial statement.
9. Registered first degree mortgage on freehold rights on property (Sky Tower) for the Loan amount financed by ADCB.
Mortgage to be ensured prior to disbursement.
10. Notarized POA to manage the property, collect rentals and sell the property in the event of default.
11. Assignment of insurance over the property in favor of ADCB as loss payee for an amount equal to the property purchase
price and Loan tenor.
12. 2 Undated security cheque – One for 100% of the total sanctioned Loan and the other for 10% of the sanctioned Loan
covering the annual interest portion.
13. Assignment of Key man Insurance of Test 11.03.2020 for AED 1.59 Mio and Loan tenor in favor of ADCB.
14. Borrower to provide evidence for his share of contribution of 25% of purchase price.
15. Undertaking from the concern that the commercial property being purchased shall be used only for its own business
purposes.
16. Tangible Net worth of the Concern not to fall below AED 8.25 Mio (O/s as on 31.12.2012) during the tenor of Commercial
Property Finance.
17. At least 50% of Net profit of the Concern for FYE 31.12.2013 to be retained in business during the tenor of Commercial
Property Finance.
18. Leverage of the concern to be below 1x during the tenor of Commercial Property Finance.
19. Repayment to be from business income, through the Concern’s Current A/c with ADCB through S.I.
20. pre-payment charges on the pre-payment amount will be charged. No pre-payment is allowed in first 12 months.
21. Your submission of all the documents related to the purchase of the unencumbered property with plot, building and
location specifications together with the original sale documents / title deeds. Broker letter and other documents in relation to
the purchase of this property to be provided.
22. You are required to provide a letter from seller for amount received as down payment, excluding all other charges.
23. You are required to provide an Undertaking in favor of ADCB to allow disposition of subject property.

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Approved Offer Letter

24. You are required to open a Current A/C with ADCB and set up a standing order instruction from this A/C for the repayment
of subject Loan. The repayment of the ADCB Commercial Property Finance should be from this account.
25. All the photocopy documents should be original sighted by ADCB sales officer and internet documents to be replaced.

Customer’s signature __________________

You will be required to provide the following undated signed cheques and standing order instructions in favor of ADCB:

Types No. Description

Security Cheque 1 Covering full principal Loan amount
Covering the interest of the Loan for the first year @ 10% of the Loan
First year interest cheque 2
amount.
Processing Fee 3 1.5% of Loan amount (non-refundable fee)
Property insurance fee 4 (NA if property is self-provided by the customer)
Life insurance fee 5 (NA if property is self-provided by the customer)
Standing order Instructions (SIs) 6 One SI for Loan repayment equal to the subject Loan EMI.

ADCB reserves the right to request other fee payable to Dubai/Abu Dhabi Government etc. at any point of time in due
course of the Loan.
This offer is an approval offer and is subject to change. ADCB reserves the right to change the offer and conditions at its discretion, if
any of the conditions are not met.
Any penalty/interest /charges levied upon you by the developer will be your responsibility and ADCB will not pay any such penalties
on your behalf.
The Loan amount sanctioned along with the rate of interest and the tenure of the Loan shall be considered final and shall override
the details contained in the Application form.
This offer is valid for 90 days from the date of issuance, post which this offer stands invalid.
If you agree with the terms and conditions mentioned above, please sign the offer letter and return one copy to the bank.

Yours sincerely,

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Approved Offer Letter

Signed Acceptance:
I, Test 11.03.2020 agree to the terms and conditions set above and overleaf.
Test 11.03.2020
Date: Mar 19 2020 2:31PM

• Processing fee of AED of the Loan amount (non–refundable)

* EMI amount is likely to vary during full disbursal of the Loan due to capitalization of the broken period interest , if any.

Standard terms and conditions of the offer letter

1. The offer letter does not oblige Abu Dhabi Commercial Bank (the”Bank”) to disburse the Loan mentioned overleaf.
Disbursement of the Loan is subject to you executing a Loan agreement (the “Loan Agreement”) and submitting such other
documents as required by the Bank, in form and substance acceptable to the Bank
2. The Loan mentioned overleaf is calculated based on the value of the property that is being financed (the “Property”), as
disclosed to the Bank by you. If at any later time the value of the Property is determined by the Bank, either by itself or through
valuations made by the values, to be lower than the value disclosed to the Bank by you, the Loan would be proportionately
reduced by the Bank at its sole discretion or alternatively the Bank may require you to provide such additional security in form
and substance acceptable to the Bank, which you shall be obliged to provide forthwith.
3. The Loan will be repayable in equated monthly installments and / or in such other manner as mentioned overleaf subject to
clause 4 hereunder. The equated monthly installments may be paid to the Bank by way of irrevocable standing instructions or
postdated cheque as per the Bank discretion. Equated monthly installments shall comprise of principal and interest calculated
on monthly rests at the rate and tenor mentioned overleaf and shall be rounder off to the nearest Dirham
4. If the rate of interest applicable to the Loan is a variable rate of interest it shall be subject to revision to any higher/lower rate
that may be prevailing at the time of disbursement of tranche of the Loan as set out in the Loan Agreement
5. The Base Rate which shall be used to calculate the variable rate of interest may be revised from time to time at the sole
discretion of the Bank and/or when directed by the UAE Central Bank
6. The Loan will be disbursed in one lump sum or in installments, at the sole discretion of the Bank and in the manner set out in
the Loan Agreement. As a condition precedent to the disbursal of the Loan you shall be required to provide the Bank with
evidence that you have paid in full, all sums payable by you towards your contribution under the agreement entered by you
with the seller of the property.
7. In case of pre-approval of the Loan, the Loan amount may vary depending on the transaction of purchase, type of the property,
status of completion of the property and the developer.
8. The Property, being mortgaged as collateral security by you for availing the Loan, must confirm to the sanctioned plans and
other legal / technical requirements to the satisfaction of the Bank.
9. The Bank shall be at liberty, at any time during the tenure of the Loan to have the Property offered as collateral security
assessed / valued by independent experts / employees of the Bank, and such assessment value shall be final and binding on you
10. You shall comply with and discharged all your liabilities / responsibilities with regard to the Property including but not limited to
strict compliance with all concerned bye-lays, rules, regulations and payment of electricity, water charges, service charges etc
and shall not do or cause to be done any act which may jeopardize the security of the Bank in any manner whatsoever
11. Disbursement of the Loan shall be subject to you having a clear and marketable title of the Property, to the satisfaction of the
Bank.
12. The Bank reserves the right to request for additional security at its sole discretion. Upon such request you shall be obliged to
forthwith provide such additional security in form and substance satisfactory to the Bank.
13. This offer letter shall be stand revoked, cancelled and shall become null and void, if in the sole discretion of the Bank:
• There is any material change in the facts, information and/or circumstances which were the basis on which the Bank
decided, in principal, to provide the Loan
• There is any material change in your financial condition or employment status

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Approved Offer Letter

• There is any false or incorrect statement in your Loan application or you have failed to disclose certain information
which renders the information disclosed to the Bank as untrue or misleading in any respect
• an event occurs which is prejudicial to the interest of the Bank
• you fail to complete the documentation required by the Bank and/or draw down the Loan within the time period stated
by the Bank
14. This offer is valid for a period of 90 days from the date of this offer letter unless extended at the discretion of the Bank for a
maximum further period of 90 days, provided you submit such information and documents as may be requested by the Bank.
Any such extension may be subject to such revised terms and conditions to be determined by the Bank at its discretion.
15. All fees payable to the Bank shall be non-refundable unless mentioned otherwise overleaf

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