Company: CIO
Filing Date: 2025-08-15
Form Type: DEFA14A
Source: 0001193125-25-181889
Chunk: 47

Company: City Office REIT, Inc.
Filing Date: 2025-08-15
Form: DEFA14A
Chunk 47
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 management fees); less (c) the Capital Reserve. Net Operating Income shall be calculated based on the immediately preceding calendar quarter, annualized,
unless the Real Property is being simultaneously acquired by the Borrower or a subsidiary and added as a Pool Property, in which event annualized Net Operating Income shall be calculated based upon the historical data provided by the Borrower,
subject to adjustment by the Agent in its reasonable discretion and thereafter until such Real Property has been owned by the Borrower or its subsidiaries for the entirety of a calendar quarter, Net Operating Income shall be grossed up for such
ownership period. Net Operating Income shall be calculated on a consolidated basis in accordance with GAAP but adjusted for non-cash operating items such as straight line rents and the amortization of above and below market lease assets and
liabilities and other non-cash items and including (without duplication) the Equity Percentage of Net Operating Income for the Borrower’s non wholly owned Affiliates. For leases subject to rent abatement periods not exceeding twelve
(12) months from the calculation date, Net Operating Income shall include the first three months of rent scheduled to be paid under the lease upon termination of such rent abatement period.

Non-Recourse Default Indebtedness. Any Non-Recourse Indebtedness of anyCredit Party or Subsidiary thereofin which there is a pending monetary default and the Real Estate securing such Indebtedness is not then subject to a pending foreclosure, deed-in-lieu of foreclosure, or other similar conveyance of the Real Property to the holder of such Indebtedness.

. With respect to any Non-Recourse Indebtedness of any Person, any industry standard
exclusions from the non-recourse limitations governing such Indebtedness, including, without limitation, exclusions for claims that (i) are based on fraud, intentional misrepresentation, misapplication or misappropriation of funds, gross
negligence or willful misconduct (ii) result from intentional mismanagement of or physical waste at the Real Estate securing such Non-Recourse Indebtedness, or (iii) arise from the presence of Hazardous Substances on the Real Estate
securing such Non-Recourse Indebtedness (whether contained in a loan agreement, promissory note, indemnity agreement or other document), (iv) are the result of any unpaid real estate taxes and assessments if sufficient cash flow from the Real
Estate exists (whether contained in a loan agreement, promissory