Restrictive covenant

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Related to Negative Covenants: Affirmative Covenants

Restrictive covenant

A requirement to adhere to a specific restriction on the use or development of real property.

restrictive covenant

An agreement between two or more individuals, incorporated within a deed which stipulates how land may be used. The constraints may include: the specific use to which a property can be put, the location and dimensions of fences, the setback of buildings from the street, the size of yards, the type of architecture, the cost of the house, etc. Racial and religious restrictions on inhabitants are legally unenforceable.
References in periodicals archive ?
The Notes will mature on November 28, 2013 and contain customary affirmative and negative covenants of the Company.
The terms of the new facility are substantially similar to the Company's previous revolving credit facility and include a customary financial covenant governing total leverage as well as negative covenants limiting subsidiary indebtedness and certain other items typical for investment grade-rated borrowers.
The Notes will mature on August 21, 2013 and contain customary affirmative and negative covenants of the Company.
The Agreement is now unsecured and subject to customary affirmative and negative covenants for credit agreements of this type.
Customary affirmative and negative covenants for a senior facility of this kind, including those governing total leverage, senior leverage and fixed charge coverage.
As part of that redetermination, we have initiated discussions regarding an amendment to one of the negative covenants in the credit agreement, which prohibits us from allowing, as of the last day of any fiscal quarter, our ratio of Total Debt (as of such day) to EBITDAX (for the immediately preceding four fiscal quarters ending on such day) to be greater than 4.
0 million, reduce the applicable margin under the first level of the pricing grid and modify certain negative covenants contained in the agreement.