In one sentence
A mechanism directing excess property cash flow to the lender, for paydown or reserves, when a performance trigger is breached.
The longer version
A cash sweep traps cash that would otherwise go to the borrower once a metric like DSCR falls below a threshold. It protects the lender by redirecting cash flow before a problem deepens.
Sweeps live inside the cash management structure and are tested from financial reporting, tying together servicing, covenants, and the controlled accounts.
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