Exhibit 10.3

 

FIRST AMENDMENT TO
TERM LOAN AGREEMENT

 

THIS FIRST AMENDMENT TO TERM LOAN AGREEMENT (this “Amendment”) made as of the
28th day of July, 2016, by and among KITE REALTY GROUP, L.P., a Delaware limited
partnership (“Borrower”), KITE REALTY GROUP TRUST, a real estate investment
trust formed under the laws of the State of Maryland (“Guarantor”), KEYBANK
NATIONAL ASSOCIATION, a national banking association (“KeyBank”), THE OTHER
LENDERS WHICH ARE SIGNATORIES HERETO (KeyBank and the other lenders which are
signatories hereto, collectively, the “Lenders”), and KEYBANK NATIONAL
ASSOCIATION, a national banking association, as Administrative Agent for the
Lenders (the “Agent”).

 

W I T N E S S E T H:

 

WHEREAS, Borrower, Agent, the Lenders and certain other parties entered into
that certain Term Loan Agreement dated as of October 26, 2015 (the “Credit
Agreement”); and

 

WHEREAS, Borrower has requested that the Agent and the Lenders make certain
modifications to the terms of the Credit Agreement; and

 

WHEREAS, the Agent and the Lenders have agreed to make such modifications
subject to the execution and delivery by Borrower and Guarantor of this
Amendment.

 

NOW, THEREFORE, for and in consideration of the sum of TEN and NO/100 DOLLARS
($10.00), and other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, the parties hereto do hereby covenant and agree
as follows:

 

1.             Definitions.  All the terms used herein which are not otherwise
defined herein shall have the meanings set forth in the Credit Agreement.

 

2.             Modification of the Credit Agreement.  Borrower, the Lenders and
Agent do hereby modify and amend the Credit Agreement as follows:

 

(a)           By deleting in its entirety the definition of “Capitalization
Rate”, appearing in Section 1.1. of the Credit Agreement, and inserting in lieu
thereof the following:

 

“Capitalization Rate” means six and three-fourths percent (6.75%).

 

3.             References to Credit Agreement.  All references in the Loan
Documents to the Credit Agreement shall be deemed a reference to the Credit
Agreement, as modified and amended herein.

 

4.             Acknowledgment of Borrower and Guarantor.  Borrower and Guarantor
hereby acknowledge, represent and agree that the Loan Documents, as modified and
amended herein, remain in full force and effect and constitute the valid and
legally binding obligation of Borrower and Guarantor, as applicable, enforceable
against Borrower and Guarantor in accordance with their respective terms (except
as enforceability is limited by bankruptcy, insolvency, reorganization,
moratorium or other laws relating to or affecting generally the enforcement of

 

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creditors’ rights and the effect of general principles of equity), and that the
execution and delivery of this Amendment does not constitute, and shall not be
deemed to constitute, a release, waiver or satisfaction of Borrower’s or
Guarantor’s obligations under the Loan Documents.

 

5.             Representations and Warranties.  Borrower and Guarantor represent
and warrant to Agent and the Lenders as follows:

 

(a)           Authorization.  The execution, delivery and performance of this
Amendment and any agreements executed and delivered in connection herewith and
the transactions contemplated hereby and thereby (i) are within the authority of
Borrower and Guarantor, (ii) have been duly authorized by all necessary
proceedings on the part of the Borrower and Guarantor, (iii) do not and will not
conflict with or result in any breach or contravention of any provision of law,
statute, rule or regulation to which any of the Borrower or Guarantor is subject
or any judgment, order, writ, injunction, license or permit applicable to any of
the Borrower or Guarantor, (iv) do not and will not conflict with or constitute
a default (whether with the passage of time or the giving of notice, or both)
under any provision of the partnership agreement or certificate, certificate of
formation, operating agreement, articles of incorporation or other charter
documents or bylaws of, or any mortgage, indenture, agreement, contract or other
instrument binding upon, any of the Borrower or Guarantor or any of their
respective properties or to which any of the Borrower or Guarantor is subject,
and (v) do not and will not result in or require the imposition of any lien or
other encumbrance on any of the properties, assets or rights of any of the
Borrower or Guarantor.

 

(b)           Enforceability.  This Amendment and any agreements executed and
delivered in connection herewith are valid and legally binding obligations of
Borrower and Guarantor enforceable in accordance with the respective terms and
provisions hereof and thereof, except as enforceability is limited by
bankruptcy, insolvency, reorganization, moratorium or other laws relating to or
affecting generally the enforcement of creditors’ rights and the effect of
general principles of equity.

 

(c)           Approvals.  The execution, delivery and performance of this
Amendment and any agreements executed and delivered in connection herewith and
the transactions contemplated hereby and thereby do not require the approval or
consent of any Person or the authorization, consent, approval of or any license
or permit issued by, or any filing or registration with, or the giving of any
notice to, any court, department, board, commission or other governmental agency
or authority other than those already obtained and any disclosure filings with
the SEC as may be required with respect to this Amendment.

 

(d)           Reaffirmation.  Borrower and Guarantor reaffirm and restate as of
the date hereof each and every representation and warranty made by the Borrower
and Guarantor and their respective Subsidiaries in the Loan Documents or
otherwise made by or on behalf of such Persons in connection therewith except
for representations or warranties that expressly relate to an earlier date.

 

6.             No Default.  By execution hereof, the Borrower and Guarantor
certify that as of the date of this Amendment and immediately after giving
effect to this Amendment, no Default or Event of Default has occurred and is
continuing.

 

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7.             Waiver of Claims.  Borrower and Guarantor acknowledge, represent
and agree that none of such Persons has any defenses, setoffs, claims,
counterclaims or causes of action of any kind or nature whatsoever arising on or
before the date hereof with respect to the Loan Documents, the administration or
funding of the Loan or with respect to any acts or omissions of Agent or any
Lender, or any past or present officers, agents or employees of Agent or any
Lender pursuant to or relating to the Loan Documents, and each of such Persons
does hereby expressly waive, release and relinquish any and all such defenses,
setoffs, claims, counterclaims and causes of action arising on or before the
date hereof, if any.

 

8.             Ratification.  Except as hereinabove set forth, all terms,
covenants and provisions of the Credit Agreement remain unaltered and in full
force and effect, and the parties hereto do hereby expressly ratify and confirm
the Loan Documents as modified and amended herein.  Guarantor hereby consents to
the terms of this Amendment.  Nothing in this Amendment or any other document
delivered in connection herewith shall be deemed or construed to constitute, and
there has not otherwise occurred, a novation, cancellation, satisfaction,
release, extinguishment or substitution of the indebtedness evidenced by the
Notes or the other obligations of Borrower and Guarantor under the Loan
Documents.

 

9.             Effective Date.  This Amendment shall be deemed effective and in
full force and effect as of the date hereof upon the execution and delivery of
this Amendment by Borrower, Guarantor, Agent and the Requisite Lenders and the
effectiveness of that certain Fifth Amended and Restated Credit Agreement, dated
as of even date herewith, by and between Borrower, Agent and all of the lenders
party thereto. The Borrower will pay the reasonable fees and expenses of Agent
in connection with this Amendment in accordance with Section 13.2. of the Credit
Agreement.  All interest and fees accrued prior to the date of this Amendment
under provisions of the Credit Agreement modified by this Amendment shall remain
payable at the due dates set forth in the Credit Agreement.

 

10.          Amendment as Loan Document.  This Amendment shall constitute a Loan
Document.

 

11.          Counterparts.  This Amendment may be executed in any number of
counterparts which shall together constitute but one and the same agreement.

 

12.          MISCELLANEOUS.  THIS AMENDMENT SHALL PURSUANT TO NEW YORK GENERAL
OBLIGATIONS LAW SECTION 5-1401 BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS EXECUTED, AND TO BE
FULLY PERFORMED, IN SUCH STATE.  This Amendment shall be binding upon and shall
inure to the benefit of the parties hereto and their respective permitted
successors, successors-in-title and assigns as provided in the Credit Agreement.

 

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IN WITNESS WHEREOF, the parties hereto have hereto set their hands and affixed
their seals as of the day and year first above written.

 

 

BORROWER:

 

 

 

KITE REALTY GROUP, L.P., a Delaware limited partnership

 

 

 

By:

Kite Realty Group Trust, its sole General Partner

 

 

 

 

 

By:

/s/ Daniel R. Sink

 

 

 

Daniel R. Sink, Executive Vice President and

 

 

 

Chief Financial Officer

 

 

 

 

 

REIT:

 

 

 

KITE REALTY GROUP TRUST

 

 

 

 

By:

/s/ Daniel R. Sink

 

Name:

Daniel R. Sink

 

Title:

Executive Vice President and Chief Financial Officer

 

[Signatures Continued On Next Page]

 

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LENDERS:

 

 

 

KEYBANK NATIONAL ASSOCIATION, as Administrative Agent and as a Lender

 

 

 

By:

/s/ James Komperda

 

Name:

James Komperda

 

Title:

Vice President

 

[Signatures Continued On Next Page]

 

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CAPITAL ONE, NATIONAL ASSOCIATION, as Co-Syndication Agent and as a Lender

 

 

 

By:

/s/ Frederick H. Denecke

 

Name:

Frederick H. Denecke

 

Title:

Senior Vice President

 

[Signatures Continued On Next Page]

 

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REGIONS BANK, as Co-Syndication Agent and as a Lender

 

 

 

By:

/s/ Kerri L. Raines

 

Name:

Kerri L. Raines

 

Title:

Senior Vice President

 

[Signatures Continued On Next Page]

 

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SUNTRUST BANK, as a Lender

 

 

 

By:

/s/ Danny Stover

 

Name:

Danny Stover

 

Title:

Senior Vice President

 

[Signatures Continued On Next Page]

 

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JPMORGAN CHASE BANK, N.A., as a Lender

 

 

 

By:

/s/ Elizabeth Johnson

 

Name:

Elizabeth Johnson

 

Title:

Executive Director

 

[Signatures Continued On Next Page]

 

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RAYMOND JAMES BANK, N.A., as a Lender

 

 

 

By:

/s/ James M. Armstrong

 

Name:

James M. Armstrong

 

Title:

Senior Vice President

 

[Signatures Continued On Next Page]

 

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ASSOCIATED BANK, NATIONAL ASSOCIATION, as a Lender

 

 

 

By:

/s/ Shawn S. Bullock

 

Name:

Shawn S. Bullock

 

Title:

Senior Vice President

 

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