Exhibit 10.1

FIRST AMENDMENT TO THIRD AMENDED AND RESTATED REVOLVING
CREDIT AGREEMENT

This FIRST AMENDMENT TO THIRD AMENDED AND RESTATED REVOLVING CREDIT AGREEMENT
(this “Amendment”), made as of December 30, 2015, among FORESTAR (USA) REAL
ESTATE GROUP INC., a Delaware corporation (“Borrower”), the undersigned
Guarantors, KEYBANK NATIONAL ASSOCIATION, a national banking association
(“KeyBank”), and the other financial institutions party to the Credit Agreement
as lenders (each individually a “Lender” and collectively, “Lenders”), and
KEYBANK NATIONAL ASSOCIATION, as Agent for the Lenders (in such capacity,
“Agent”) and Swing Line Lender.
W I T N E S S E T H:
WHEREAS, Borrower, Guarantors, Agent and certain of the Lenders previously
entered into a Revolving and Term Credit Agreement dated as of December 14,
2007, as amended by that certain First Amendment to Revolving and Term Credit
Agreement and Other Loan Documents dated as of March 12, 2008, that certain
Second Amendment to Revolving and Term Credit Agreement dated as of July 16,
2009, as amended and restated by that certain Amended and Restated Revolving and
Term Credit Agreement dated as of August 6, 2010, as amended by that certain
First Amendment to Amended and Restated Revolving and Term Credit Agreement
dated as of May 6, 2011, that certain Second Amendment to Amended and Restated
Revolving and Term Credit Agreement dated as of September 30, 2011, as amended
and restated by that certain Second Amended and Restated Revolving and Term
Credit Agreement dated as of September 14, 2012, as amended by that certain
First Amendment to Second Amended and Restated Revolving and Term Credit
Agreement dated as of March 14, 2014 and that certain Second Amendment to Second
Amended and Restated Revolving and Term Credit Agreement dated as of May 15,
2014, which amended and restated and re-designated such Revolving and Term
Credit Agreement as the “Third Amended and Restated Credit Agreement” (as so
amended and restated, the “Existing Credit Agreement”), pursuant to which
Lenders established and continued a revolving credit facility and a term loan
facility for the benefit of Borrower (all capitalized terms used but not defined
herein shall have the meanings ascribed thereto in the Existing Credit
Agreement); and
WHEREAS, Borrower has requested that certain terms of the Credit Agreement be
modified and amended as hereinafter set forth; and
WHEREAS, Lenders and Agent have agreed to such amendments as set forth herein,
subject to the terms and conditions hereinafter set forth;
NOW, THEREFORE, in consideration of the premises set forth above, the terms and
conditions contained herein and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties to this
Amendment hereby agree that all capitalized terms used but not defined herein
shall have the meanings ascribed thereto in the Credit Agreement, and hereby
further agree as follows:

--------------------------------------------------------------------------------

NOW, THEREFORE, in consideration of the premises set forth above, the terms and
conditions contained herein and other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties to this
Amendment hereby agree as follows:
1.Amendments to §8.7 of the Credit Agreement. Section 8.7 of the Credit
Agreement, Distributions, is hereby modified and amended as follows:
(a)by deleting the word “and” before clause (h) and by inserting a comma at the
end of clause (h) in lieu of the period.
(b)by inserting a new clause (i) at the end of Section 8.7 after the proviso in
clause (h):
“, and (i) so long as no Default or Event of Default shall have occurred and be
continuing, Borrower may make Distributions in an aggregate amount not to exceed
$50,000,000 to Forestar Group to enable Forestar Group to repurchase its common
stock and to make special dividends to its stockholders, such Distributions
pursuant to this clause (i) to be funded from up to sixty-five percent (65%) of
the net proceeds from the sales of Multifamily Properties and non-core assets
such as the Radisson Hotel in Austin, Texas and any Oil & Gas Properties.”
2.Amendment to §9.1 of the Credit Agreement. Section 9.1(a) of the Credit
Agreement, Interest Coverage Ratio, is hereby amended by deleting such
subsection in its entirety and substituting the following in lieu thereof:
“(a)    Interest Coverage Ratio. The Loan Parties will not, as of the end of any
fiscal quarter of Forestar Group, permit the Interest Coverage Ratio for the
fiscal quarter then ended and the immediately preceding three (3) fiscal
quarters (treated as a single accounting period) (the “Test Period”), to be less
than (i) 2.25:1.0 for the Test Periods ending December 31, 2015 and March 31,
2016, and (ii) 2.50:1.0 for each Test Period ended thereafter.”
3.No other Amendments. The execution, delivery and effectiveness of this
Amendment shall not, except as expressly provided or permitted herein, operate
as an amendment or waiver of any right, power or remedy of Agent or Lenders
under the Credit Agreement or any of the other Loan Documents, nor constitute an
amendment or waiver of any provision of the Credit Agreement or any of the other
Loan Documents. Except for the amendments expressly set forth above, the text of
the Credit Agreement and all other Loan Documents shall remain unchanged and in
full force and effect, and Borrower and Guarantors hereby ratify and confirm
their respective obligations thereunder, as herein modified and amended. This
Amendment shall not constitute a course of dealing with Agent or Lenders at
variance with the Credit Agreement or the other Loan Documents such as to
require further notice by Agent or Lenders to require strict compliance with the
terms of the Credit Agreement and the other Loan Documents in the future.

- 2 -

--------------------------------------------------------------------------------

4.Conditions of Effectiveness. This Amendment shall become effective as of the
date hereof when, and only when, Agent, on behalf of Lenders, shall have
received, in form and substance satisfactory to it, the following:
(a)Counterparts of this Amendment duly executed by Borrower, each of the
Guarantors and the Required Lenders;
(b)The representations and warranties made pursuant to Section 5 of this
Amendment shall be true and correct; and
(c)Payment of all reasonable and documented expenses incurred by Agent in
connection with the execution and delivery of this Amendment, together with
reasonable fees and actually incurred expenses of Agent’s counsel with respect
to this Amendment and other post-closing matters, in each case to the extent
invoiced at least one (1) Business Day prior to the date hereof.
5.Representations and Warranties. Each of the Loan Parties represents and
warrants as follows:
(a)The execution, delivery and performance by Borrower and each Guarantor of
this Amendment are within each such party’s legal powers, have been duly
authorized by all necessary shareholder, partner or member action and do not
contravene (i) Borrower’s or any such Guarantor’s Organizational Documents,
respectively, or (ii) any law or contractual restriction binding on or affecting
such Person;
(b)No authorization, approval or other action by, and no notice to or filing
with, any governmental authority or regulatory body, except for those already
obtained or made and the filing of Security Documents delivered in connection
herewith in the appropriate records office with respect thereto, is required for
the due execution, delivery and performance by Borrower or any Guarantor of this
Amendment;
(c)This Amendment constitutes the legal, valid and binding obligations of each
such party, enforceable against such Person in accordance with their respective
terms, provided that enforcement may be limited by bankruptcy, insolvency,
liquidation, reorganization, reconstruction and other similar laws affecting
enforcement of creditor’s rights generally and except to the extent that
availability of the remedy of specific performance or injunctive relief is
subject to the discretion of the court before which any proceeding therefore may
be brought;
(d)All of the representations and warranties of the Loan Parties in the Loan
Documents are true and correct in all material respects as of the date hereof
(or if such representations and warranties by their terms relate solely to an
earlier date, then as of such earlier date); and
(e)No Default or Event of Default is existing and none would result, in each
case upon this Amendment becoming effective and after giving effect hereto.
6.Reaffirmation of Guaranty and Security Documents. By execution of this
Amendment, each Guarantor reaffirms and restates its guaranty of the Obligations
pursuant to the

- 3 -

--------------------------------------------------------------------------------

Guaranty Agreement and agrees that its obligations thereunder are not released,
diminished, impaired or reduced or otherwise adversely affected by this
Amendment. Each Loan Party reaffirms and admits the validity and enforceability
of each Security Document to which it is a party and all of its obligations
thereunder and agrees and admits that (a) it has no defense to any such
obligation (as of the date of this Amendment) and (b) it shall not exercise any
setoff or offset to any such obligation.
7.Reference to and Effect on the Loan Documents. Upon the effectiveness of this
Amendment, on and after the date hereof: each reference in the Credit Agreement
to “this Agreement,” “hereunder,” “hereof” or words of like import referring to
the Credit Agreement, and each reference in the other Loan Documents to the
“Credit Agreement,” “thereunder,” “thereof” or words of like import referring to
the Credit Agreement, shall mean and be a reference to the Credit Agreement as
amended and modified hereby.
8.Costs, Expenses and Taxes. Borrower agrees to pay on demand all reasonable and
documented out-of-pocket expenses of Agent actually incurred in connection with
the preparation, execution and delivery of this Amendment and the other
instruments and documents to be delivered hereunder, including, without
limitation, the reasonable and documented fees and out-of-pocket expenses of
Agent’s counsel with respect thereto and with respect to advising Agent as to
its rights and responsibilities hereunder and thereunder.
9.Governing Law. This Amendment shall be governed by and construed in accordance
with the laws of the State of New York, without regard to the conflict of laws
principles thereof.
10.Loan Document. This Amendment shall be deemed to be a Loan Document for all
purposes.
11.Counterparts. This Amendment may be executed by one or more of the parties
hereto on any number of separate counterparts, each of which shall be deemed an
original and all of which, taken together, shall be deemed to constitute one and
the same instrument. Delivery of an executed counterpart of this Amendment by
facsimile or other electronic transmission shall be as effective as delivery of
a manually executed counterpart hereof.

[The remainder of this page is intentionally left blank.]

- 4 -

--------------------------------------------------------------------------------

IN WITNESS WHEREOF, the undersigned have duly executed this Amendment as of the
date first set forth above.
BORROWER:
FORESTAR (USA) REAL ESTATE GROUP INC., a Delaware corporation
By:
/s/ Charles D. Jehl  
 
Name: Charles D. Jehl
 
Its: Chief Financial Officer
 
 
 
 

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

GUARANTORS:
FORESTAR GROUP INC., a Delaware corporation
 
By:
/s/ Charles D. Jehl  
 
Name: Charles D. Jehl
 
Title: Chief Financial Officer
 
FORESTAR MINERALS LP, a Delaware limited partnership

By: Forestar Minerals GP, LLC, general partner
 
FORESTAR OIL & GAS LLC, a Delaware limited liability company
 
 
FORESTAR REALTY INC.,
a Delaware corporation
 
 
FORESTAR HOTEL HOLDING COMPANY
INC., a Nevada corporation
 
 
CAPITOL OF TEXAS INSURANCE GROUP
INC., a Delaware corporation
 
 
FORESTAR CAPITAL INC., a Delaware corporation
 
 
FORESTAR MINERALS GP LLC, a Delaware limited liability company
 
 
JOHNSTOWN FARMS, LLC,
a Delaware limited liability company
 
 
SAN JACINTO I, LLC,
a Texas limited liability company
 
 
SUSTAINABLE WATER RESOURCES LLC, a Texas limited liability company
 
 
SWR HOLDINGS LLC, a Delaware limited liability company

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
STONEY CREEK PROPERTIES LLC, a Delaware limited liability company
 
 
 
FORCO REAL ESTATE INC.,
a Delaware corporation
 
 
 
FORESTAR PETROLEUM CORPORATION, a Delaware corporation
 
 
 
 
SECO ENERGY CORPORATION,
a Nevada corporation
 
 
 
 
UNITED OIL CORPORATION,
an Oklahoma corporation
 
 
 
 
 
 
 
 
 
 
By:
/s/ Charles D. Jehl
 
 
Name: Charles D. Jehl
 
 
Title: Chief Financial Officer
 
 
 
 
FORESTAR MINERALS HOLDINGS LLC, a Delaware limited liability company
 
 
 
 
By:
/s/ Michael Quinley
 
 
Name: Michael Quinley
 
 
Title: President

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
KEYBANK NATIONAL ASSOCIATION, as a Lender, as Swing Line Lender, and as Agent
 
 
 
 
 
 
 
By:
/s/ Nathan Weyer  
 
Name:
Nathan Weyer
 
Title:
Vice President

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

        
LENDERS:
 
 
 
 
AgFIRST FARM CREDIT BANK, as a lender
 
 
 
 
By:
/s/ Matthew H Jeffords  
 
Name:
Matthew H Jeffords
 
Title:
Vice President

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
NORTHWEST FARM CREDIT SERVICES, PCA, as a lender
 
 
 
 
By:
/s/ Jim Allen  
 
Name:
Jim Allen
 
Title:
SVP Capital Markets

[SIGNATURES CONTINUED ON FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

    
 
AMEGY BANK NATIONAL ASSOCIATION, as a lender

 
 
 
 
By:
/s/ Barrett Tondre  
 
Name:
Barrett Tondre
 
Title:
Assistant Vice President

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
CAPITAL ONE N.A., as a lender

 
 
 
 
By:
                                        
 
Name:
 
 
Title:
 

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
TEXAS CAPITAL BANK, NATIONAL ASSOCIATION, as a lender

 
 
 
 
By:
/s/ Mike McConnell  
 
Name:
Mike McConnell
 
Title:
Senior Vice President

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
GOLDMAN SACHS BANK USA, as a lender

 
 
 
 
By:
/s/ Jerry Li  
 
Name:
Jerry Li
 
Title:
Authorized Signatory

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
JPMORGAN CHASE BANK, NATIONAL ASSOCIATION, as a lender

 
 
 
 
By:
/s/ Melissa Burnett
 
Name:
Melissa Burnett

 
Title:
Senior Commercial Banker

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
WELLS FARGO BANK, NATIONAL ASSOCIATION, as a lender
 
 
 
 
By:
/s/ Chris M. Garza
 
Name:
Chris M. Garza
 
Title:
Senior Vice President

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
SYNOVUS BANK, as a lender

 
 
 
 
By:
/s/ David W. Bowman
 
Name:
David W. Bowman
 
Title:
Director

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
METROPOLITAN LIFE INSURANCE COMPANY, as a Lender

 
 
 
 
By:
/s/ W. Kirk Duruis
 
Name:
W. Kirk Duruis

 
Title:
Director

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
UNITED FCS, PCA, d/b/a FCS COMMERCIAL
FINANCE GROUP, as a lender

 
 
 
 
By:
/s/ Lisa Caswell
 
Name:
Lisa Caswell
 
Title:
Vice President

[SIGNATURES CONTINUED ON THE FOLLOWING PAGES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement

--------------------------------------------------------------------------------

 
CADENCE BANK, N.A., as a lender

 
 
 
 
By:
/s/ Melinda N. Jackson
 
Name:
Melinda N. Jackson
 
Title:
Senior Vice President

[END OF SIGNATURES]

Signature page to First Amendment to Third Amended and Restated Revolving Credit
Agreement