To the Borrowers’ knowledge, none of the Loan Parties is in default under or with respect to any of its Contractual Obligations in any respect that could reasonably be expected to have a Material Adverse Effect.  To the Borrowers’ knowledge, no Default or Event of Default has occurred and is continuing (other than, prior to the first instance of completion of the condition to each extension of credit set forth in Section 4.2(e), non-compliance of the limited liability company agreements of each of the Initial Borrower and KREF Mezz with the definition of “Special Purpose Entity” in Section 1.1 ).