Exhibit 10.5

AMENDMENT NO. 5 TO MASTER REPURCHASE AGREEMENT

THIS AMENDMENT NO. 5 TO MASTER REPURCHASE AGREEMENT (this “Amendment”), made as
of the 14th day of February, 2007 by CAPITAL TRUST, INC., a Maryland
corporation, CT RE CDO 2004-1 SUB, LLC, a Delaware limited liability company,
and CT RE CDO 2005-1 SUB, LLC, a Delaware limited liability company
(collectively, “Seller”), and MORGAN STANLEY BANK, a Utah industrial bank
(“Buyer”).

WITNESSETH:

WHEREAS, Seller and Buyer previously entered into that Master Repurchase
Agreement dated as of July 29, 2005, as amended by that certain Amendment No. 1
to Master Repurchase Agreement dated as of November 4, 2005, as amended by that
certain Amendment No. 2 to Master Repurchase Agreement dated as of November 16,
2005, as amended by that certain Amendment No. 3 to Master Repurchase Agreement
dated as of April 6, 2006, as amended by that certain Amendment No. 4 to Master
Repurchase Agreement dated as of April 26, 2006, and as amended by that certain
letter from Seller dated June 23, 2006 (as amended, the “Master Repurchase
Agreement”); and

WHEREAS, the parties to the Master Repurchase Agreement wish to modify certain
terms and provisions thereof:

NOW, THEREFORE, the parties hereto agree as follows:

1.     Amendments to Master Repurchase Agreement.  The Master Repurchase
Agreement is hereby amended as follows:

(a)           The definition of “Maximum Purchase Amount” in Section 2.01 is
hereby deleted in its entirety and the following is inserted in lieu thereof:

“Maximum Purchase Amount” shall mean Three Hundred Million Dollars
($300,000,000).

(b)           The definition of “Eurodollar Rate Spread” in Section 2.01 is
hereby deleted in its entirety and the following is inserted in lieu thereof:

“Eurodollar Rate Spread” means, with respect to each Transaction Asset, the
applicable Eurodollar Rate Spread set forth below opposite such Purchase Rate
for the applicable Transaction Asset type, or such other Eurodollar Rate Spread
as may be mutually agreed to by Seller and Buyer; provided, however, that if the
“first dollar” and “last dollar” of the Indebtedness represented by such
Transaction Asset would dictate different Eurodollar Rate Spreads (any such
Transaction Asset shall, for purposes of this Amendment, be referred to as a
“Blended Rate Asset”), then the Eurodollar Rate Spread for such a Blended Rate
Asset shall be the weighted average of the Eurodollar Rate Spreads attributable
to each dollar of such Blended Rate Asset, as determined in the sole good faith
of Buyer. 

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Transaction Asset Type

 

Purchase Rate

 

Eurodollar Rate Spread
(expressed as percentage points
per annum and as basis points)

Whole Loans

 

TBD by MS on a case by case basis

 

TBD by MS on a case by case basis

 

TBD by MS on a case by case basis

B Notes, Preferred Equity Interests and Mezzanine Loans and participation
interests in any of the foregoing*

 

 

 

 

 

 

(greater than 50%, up to 55% LTV)

 

[****]

 

[****]

 

[****]

(greater than 55%, up to 60% LTV)

 

[****]

 

[****]

 

[****]

(greater than 60%, up to 70% LTV)

 

[****]

 

[****]

 

[****]

(greater than 70%, up to 75% LTV)

 

[****]

 

[****]

 

[****]

(greater than 75%, up to 80% LTV)

 

[****]

 

[****]

 

[****]

(greater than 80%, up to 85% LTV)

 

[****]

 

[****]

 

[****]

(greater than 85%, up to 90% LTV)

 

[****]

 

[****]

 

[****]

 

CMBS

 

 

 

 

 

 

Rating:

 

 

 

 

 

 

BBB

 

[****]

 

[****]

 

[****]

BBB-

 

[****]

 

[****]

 

[****]

BB+

 

[****]

 

[****]

 

[****]

BB

 

[****]

 

[****]

 

[****]

BB-

 

[****]

 

[****]

 

[****]

B+

 

[****]

 

[****]

 

[****]

B

 

[****]

 

[****]

 

[****]

B-

 

[****]

 

[****]

 

[****]

Unrated

 

[****]

 

[****]

 

[****]

Class F Notes

 

[****]

 

[****]

 

[****]

Class G Notes

 

[****]

 

[****]

 

[****]

Class H Notes

 

[****]

 

[****]

 

[****]

Other CDO Notes

 

[****]

 

[****]

 

[****]

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*                 B Notes, Preferred Equity Interests and Mezzanine Loans and
participations in any of the foregoing, in each case relating to hotel and other
hospitality properties shall have a maximum LTV as determined by the Buyer in
its sole discretion.

(c)           The definition of “Purchase Rate” in Section 2.01 is hereby
deleted in its entirety and the following is inserted in lieu thereof:

“Purchase Rate” means, for any Eligible Transaction Asset, the ratio, expressed
as a percentage, set forth opposite the collateral type in the chart provided in
the definition of Eurodollar Rate Spread or as otherwise defined or limited
herein; provided, however, that if the “first dollar” and “last dollar” of the
Indebtedness represented by such Blended Rate Asset would permit different
Purchase Rates, then the Purchase Rate for such Blended Rate Asset shall be the
weighted average of the Purchase Rates attributable to each dollar of such
Blended Rate Asset, as determined in the sole good faith of Buyer.  Exhibit A
attached hereto illustrates a hypothetical example of the application of the
foregoing calculations.  Such example is for illustration purposes only and does
not purport to describe every circumstance in which the foregoing might be
applied.

(d)           The definition of “Maximum Purchase Rate” in Section 2.01 is
hereby deleted in its entirety and the following is inserted in lieu thereof:

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**** Material omitted pursuant to a request for confidential treatment under
Rule 24b-2 of the Exchange Act of 1934.  Material filed separately with the
Securities and Exchange Commission.

2

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“Maximum Purchase Rate” shall mean, as to Eligible Transaction Asset, the
maximum Purchase Rate that shall be determined by Buyer in Buyer’s sole and
absolute discretion; provided that, with respect to the specific categories of
Eligible Transaction Assets referred to in the definition of Eurodollar Rate
Spread, the Maximum Purchase Rate shall not exceed the respective Purchase Rates
set forth in such definition or the weighted average thereof with respect to a
Blended Rate Asset, as determined in the sole good faith of Buyer.

(e)           The definition of “Preliminary Due Diligence Package” in Section
2.01 is hereby amended by adding the following thereto:

“(xvi)      requested Purchase Rate (which shall not exceed the Maximum Purchase
Rate).”

(f)            Section 12.20 is hereby amended by adding the following sentence
at the conclusion thereof:

“Buyer and Seller agree that in connection with the increase of the Maximum
Purchase Amount by One Hundred Million and 00/100 Dollars ($100,000,000.00) as
of the date hereof pursuant to this Amendment, Seller shall pay to Buyer a
Structuring Fee (the “Increased Structuring Fee”) in the amount of [****].”

(g)           The form of Confirmation attached as Exhibit A to the Master
Repurchase Agreement is hereby deleted and the form attached hereto as Exhibit B
substituted in lieu thereof.

2.     Representations and Warranties.  Seller hereby makes to Buyer the
representations and warranties set forth in Section 7 of the Master Repurchase
Agreement, as amended hereby.

3.     Binding Effect; No Partnership; Counterparts.  The provisions of the
Master Repurchase Agreement, as amended hereby, shall be binding upon and inure
to the benefit of the parties hereto and their respective successors and
permitted assigns.  Nothing herein contained shall be deemed or construed to
create a partnership or joint venture between any of the parties hereto.  For
the purpose of facilitating the execution of this Amendment as herein provided,
this Amendment may be executed simultaneously in any number of counterparts,
each of which shall be deemed to be an original, and such counterparts when
taken together shall constitute but one and the same instrument.

4.     Further Agreements.   Seller agrees to execute and deliver such
additional documents, instruments or agreements as may be reasonably requested
by Buyer and as may be necessary or appropriate from time to time to effectuate
the purposes of this Amendment.

5.     Governing Law.  This Amendment shall be governed by the laws of the State
of New York.

6.     Continuing Effect.  Except as modified by this Amendment, all terms of
the Master Repurchase Agreement shall remain in full force and effect.

7.     Conditions Precedent.

It is a condition precedent to the effectiveness of this Amendment that each of
the following shall have occurred:

(a)   each party hereto shall have executed and delivered this Amendment;

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**** Material omitted pursuant to a request for confidential treatment under
Rule 24b-2 of the Exchange Act of 1934.  Material filed separately with the
Securities and Exchange Commission.

3

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(b)   Buyer shall have received from Seller an officer’s certificate dated the
date hereof in the form required under Section 6.02(b) of the Master Repurchase
Agreement;

(c)   Buyer shall have received the Increased Structuring Fee from Seller; and

(d)   Buyer shall have received a legal opinion from counsel to Seller dated the
date hereof as to the enforceability of this Amendment and as to Seller’s
authority to execute, deliver and perform its obligations under the Master
Repurchase Agreement as amended hereby.  Such opinion shall be addressed to
Buyer and its successors and assigns, and shall be in a form and substance
reasonably satisfactory to Buyer.

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IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly
executed and delivered as of the day and year first above written.

 

SELLER:

 

CAPITAL TRUST, INC.,

as a Seller

 

 

By:

/s/ Geoffrey G. Jervis

 

 

Name: Geoffrey G. Jervis

 

Title: Chief Financial Officer

 

 

CT RE CDO 2004-1 SUB, LLC,

as a Seller

 

 

By:

/s/ Geoffrey G. Jervis

 

 

Name: Geoffrey G. Jervis

 

Title: Chief Financial Officer

 

 

 

CT RE CDO 2005-1 SUB, LLC,

as a Seller

 

 

By:

/s/ Geoffrey G. Jervis

 

 

Name: Geoffrey G. Jervis

 

Title: Chief Financial Officer

 

BUYER:

MORGAN STANLEY BANK,

a Utah industrial bank

By:

/s/Deborah Goodman

 

Name: Deborah Goodman

Title: Vice President

 

 

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