Exhibit 10.1
 
Execution Version

First Amendment To Revolving
Credit and Term Loan Agreement

This FIRST AMENDMENT TO REVOLVING CREDIT AND TERM LOAN AGREEMENT (this “First
Amendment”) is entered into as of January 22, 2008, by and among:  Centerline
Holding Company and Centerline Capital Group Inc. (collectively, the
“Borrowers”); those Persons listed as Guarantors on Schedule 1 hereto (each, a
“Guarantor,” and, collectively, the “Guarantors”); and those Lenders
constituting the Required Lenders, each as set forth on a counterpart signature
page hereto, substantially in the form of Schedule 2 hereto (the “Required
Lenders”).
 
RECITALS
 
Reference is made to the following facts that constitute the background of this
First Amendment:
 
A.            The parties hereto, among others, have entered into that certain
Revolving Credit and Term Loan Agreement, dated as of December 27, 2007 (as
amended, restated, supplemented or otherwise modified from time to time, the
“Loan Agreement”).  Capitalized terms used herein and not otherwise defined
herein shall have the same meanings herein as ascribed to them in the Loan
Agreement;
 
B.            The Borrowers, the Guarantors and the Required Lenders desire to
amend Section 4.2.3 of the Loan Agreement to correct a scrivener’s error and to
conform to the understanding of the parties with respect to such provision.
 
NOW, THEREFORE, in consideration of the foregoing recitals and of the
representations, warranties, covenants and conditions set forth herein and in
the Loan Agreement, and for other valuable consideration the receipt and
adequacy of which is hereby acknowledged, the parties hereto agree as follows:
 
Section 1.               The Loan Agreement is hereby amended as follows:
 
(a)            Section 4.2.3(b) is hereby deleted and replaced in its entirety
with the following:
 

 
(b)     All payments made pursuant to subclause (ii) of Section 1) of Schedule
4.2.2, pursuant to clause (c) of Section 4.2.2, shall be applied (a) first, to
fund the Unfunded Escrow until the remaining balance of the Unfunded Escrow
equals zero Dollars, and (b) second, to repay the outstanding principal amount
of the Term Loan (to be applied to installments of the Term Loan in direct order
of maturity) pro rata among the Lenders in accordance with their respective Term
Loan Commitment Percentages.
 

 
(b)            Section 4.2.3(c) is hereby deleted and replaced in its entirety
with the following:
 

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(c)            All payments made pursuant to subclauses (i) and (iii) of Section
1), Section 2) and Section 3) of Schedule 4.2.2, pursuant to clause (c) of
Section 4.2.2, and all payments made pursuant to clauses (d) and (e) of Section
4.2.2, shall be applied to repay the outstanding principal amount of the Term
Loan (to be applied to installments of the Term Loan in direct order of
maturity) pro rata among the Lenders in accordance with their respective Term
Loan Commitment Percentages.

 
Section 2.               Representations and Warranties.  The Borrowers and
Guarantors, jointly and severally, represent and warrant to the Lenders, the
Swingline Lender, the Issuing Bank and the Administrative Agent as of the date
of this First Amendment that: (a) no Default is in existence from and after, or
will result from, the execution and delivery of this First Amendment, or the
consummation of any transactions contemplated hereby; (b) each of the
representations and warranties of the Borrowers and the Guarantors in the Loan
Agreement and the other Loan Documents is true and correct in all material
respects on the effective date of this First Amendment (except for
representations and warranties limited as to time or with respect to a specific
event, which representations and warranties shall continue to be limited to such
time or event); and (c) this First Amendment and the Loan Agreement are legal,
valid and binding agreements of the Borrowers and the Guarantors and are
enforceable against them in accordance with their terms.
 
Section 3.               Ratification.  Except as hereby amended, the Loan
Agreement, all other Loan Documents and each provision thereof are hereby
ratified and confirmed in every respect and shall continue in full force and
effect, and this First Amendment shall not be, and shall not be deemed to be, a
waiver of any Default or of any covenant, term or provision of the Loan
Agreement or the other Loan Documents.  In furtherance of the foregoing
ratification, by executing this First Amendment in the spaces provided below,
each of the Guarantors, on a joint and several basis, hereby absolutely and
unconditionally (a) reaffirms its obligations under the Guaranties, and (b)
absolutely and unconditionally consents to (i) the execution and delivery by the
Borrowers of this First Amendment, (ii) the continued implementation and
consummation of arrangements and transactions contemplated by the Loan Agreement
(including, without limitation, as amended or waived hereby) and the other Loan
Documents, and (iii) the performance and observance by each Borrower and each
Guarantor of all of its respective agreements, covenants, duties and obligations
under the Loan Agreement (including, without limitation, as amended hereby) and
the other Loan Documents.
 
Section 4.               Conditions Precedent.  The agreements set forth in this
First Amendment are conditional and this First Amendment shall not be effective
until receipt by the Administrative Agent of a fully-executed counterpart of
this First Amendment.
 
Section 5.              Counterparts.  This First Amendment may be executed and
delivered in any number of counterparts with the same effect as if the
signatures on each counterpart were upon the same instrument.  Any counterpart
delivered by facsimile or by other electronic method of transmission shall be
deemed an original signature thereto.
 

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Section 6.                First Amendment as Loan Document.  Each party hereto
agrees and acknowledges that this First Amendment constitutes a “Loan Document”
under and as defined in the Loan Agreement.

Section7.               GOVERNING LAW.  THIS FIRST AMENDMENT SHALL BE DEEMED TO
CONSTITUTE A CONTRACT MADE UNDER THE LAWS OF THE STATE OF NEW YORK, INCLUDING
ARTICLE 5 OF THE UCC, AND SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING SECTION 5-1401 AND 5-1402
OF THE GENERAL OBLIGATIONS LAW, BUT OTHERWISE WITHOUT REGARD TO ITS CONFLICTS OF
LAW RULES).
 
Section 8.               Successors and Assigns.  This First Amendment shall be
binding upon each of the Borrowers, the Guarantors, the Lenders, the Swingline
Lender, the Issuing Bank, the Administrative Agent, the Agents and their
respective successors and assigns, and shall inure to the benefit of each such
Person and their permitted successors and assigns.
 
Section 9.                Headings.  Section headings in this First Amendment
are included herein for convenience of reference only and shall not constitute a
part of this First Amendment for any other purpose.
 
Section 10.             Expenses.  Each Borrower jointly and severally agrees to
promptly reimburse the Administrative Agent for all expenses, including, without
limitation, reasonable fees and expenses of outside legal counsel, such Person
has heretofore or hereafter incurred or incurs in connection with the
preparation, negotiation and execution of this First Amendment and all other
instruments, documents and agreements executed and delivered in connection with
this First Amendment.
 
Section 11.             Integration.  This First Amendment contains the entire
understanding of the parties hereto and with any other Lenders and parties to
the Loan Agreement with regard to the subject matter contained herein.  This
First Amendment supersedes all prior or contemporaneous negotiations, promises,
covenants, agreements and representations of every nature whatsoever with
respect to the matters referred to in this First Amendment, all of which have
become merged and finally integrated into this First Amendment.  Each of the
parties hereto understands that in the event of any subsequent litigation,
controversy or dispute concerning any of the terms, conditions or provisions of
this First Amendment, no party shall be entitled to offer or introduce into
evidence any oral promises or oral agreements between the parties relating to
the subject matter of this First Amendment not included or referred to herein
and not reflected by a writing included or referred to herein.
 
Section 12.             Jury Trial Waiver.  THE BORROWERS, GUARANTORS,
ADMINISTRATIVE AGENT AND LENDERS BY ACCEPTANCE OF THIS FIRST AMENDMENT MUTUALLY
HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVE THE RIGHT TO A TRIAL BY
JURY IN RESPECT OF ANY LITIGATION BASED HEREON, ARISING OUT OF, UNDER OR IN
CONNECTION WITH THIS FIRST AMENDMENT, THE LOAN AGREEMENT, OR ANY OTHER LOAN
DOCUMENTS CONTEMPLATED TO BE EXECUTED IN CONNECTION HEREWITH, OR
 

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ANY COURSE OF CONDUCT, COURSE OF DEALINGS, STATEMENTS (WHETHER VERBAL OR
WRITTEN) OR ACTIONS OF ANY PARTY, INCLUDING, WITHOUT LIMITATION, ANY COURSE OF
CONDUCT, COURSE OF DEALINGS, STATEMENTS OR ACTIONS OF ANY AGENT OR ANY LENDER
RELATING TO THE ADMINISTRATION OF THE LOAN OR ENFORCEMENT OF THE LOAN DOCUMENTS,
ARISING OUT OF TORT, STRICT LIABILITY, CONTRACT OR ANY OTHER LAW, AND AGREE THAT
NO PARTY WILL SEEK TO CONSOLIDATE ANY SUCH ACTION WITH ANY OTHER ACTION IN WHICH
A JURY TRIAL CANNOT BE OR HAS NOT BEEN WAIVED.
 

 
[Remainder of page intentionally left blank; signature pages follow]
 
 
 
 
 
 
 

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IN WITNESS WHEREOF, the parties have caused this First Amendment to be duly
executed by their duly authorized officers or representatives, all as of the
date first above written.
 
 

   BORROWERS:  CENTERLINE HOLDING COMPANY      By:  __________________________  
     Name: _____________________        Title: ______________________      

                  

      CENTERLINE CAPITAL GROUP INC.        By:  __________________________      
   Name: _____________________          Title: ______________________        

 
       
 

 
(Signatures continued on next page)
 

S-Borrowers
Signature page to First Amendment to Revolving Credit and Term Loan Agreement

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  GUARANTORS: CENTERLINE CAPITAL COMPANY LLC      By: 
__________________________        Name: _____________________      
 Title: ______________________      

      CENTERLINE AFFORDABLE HOUSING ADVISORS LLC        By: 
__________________________          Name: _____________________        
 Title: ______________________        

 

      CENTERLINE/AC INVESTORS LLC        By:  __________________________        
 Name: _____________________          Title: ______________________        

 

      CENTERLINE HOLDING TRUST         By:  __________________________        
 Name: _____________________          Title: ______________________        

 

      CENTERLINE INVESTORS I LLC        By:  __________________________        
 Name: _____________________          Title: ______________________        

 
 
 
(Signatures continued on next page)
 

S-Guarantors
Signature page to First Amendment to Revolving Credit and Term Loan Agreement

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  GUARANTORS (CONT.): CENTERLINE REIT INC.      By:  __________________________
       Name: _____________________        Title: ______________________      

 

    CENTERLINE SERVICING INC.      By:  __________________________      
 Name: _____________________        Title: ______________________      

    CENTERLINE FINANCE CORPORATION      By:  __________________________      
 Name: _____________________        Title: ______________________      

 

    CENTERLINE INVESTOR LP LLC      By:  __________________________      
 Name: _____________________        Title: ______________________      

  

    CENTERLINE INVESTOR LP II LLC      By:  __________________________      
 Name: _____________________        Title: ______________________      

 

    CENTERLINE CREDIT MANAGEMENT LLC      By:  __________________________      
 Name: _____________________        Title: ______________________      

                                           

    CM INVESTOR LLC      By:  __________________________      
 Name: _____________________        Title: ______________________      

  

 
(Signatures continued on next page)
 

S-Guarantors
Signature page to First Amendment to Revolving Credit and Term Loan Agreement

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Schedule1

Guarantors
 
1. 
Centerline Investor LP,
2.  Centerline Investor LP II, 3.  CCC, 4.  CAHA, 5.  Centerline/AC, 6.  Holding
Trust, 7.  Centerline Investors, 8.  Centerline REIT Inc., 9.  Centerline
Servicing Inc., 10.  Centerline Finance Corporation, 11.  Credit Management, and
12.  CM Investor LLC.

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Schedule 2

Form of Signature Page for Lenders included in Required Lenders for purposes of
approving
FIRST AMENDMENT TO REVOLVING CREDIT AND TERM LOAN AGREEMENT:

The undersigned hereby evidences its agreement to the terms of the FIRST
AMENDMENT TO REVOLVING CREDIT AND TERM LOAN AGREEMENT, and the consummation of
the transactions contemplated thereby, amending that certain Revolving Credit
and Term Loan Agreement dated as of December 27, 2007 by and among Centerline
Holding Company and Centerline Capital Group Inc. as the Borrowers, the
Guarantors described therein, the Lenders described therein, and Bank of
America, N.A., as Administrative Agent, Swingline Lender and Issuing Bank.

[Name of Lender]

By: ________________________________
Name:
Title:

Representing _____% of all Term Loans outstanding, all Revolving Exposure,
unused Revolving Loan Commitments and unused Term Loan Commitments

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