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FIRST AMENDMENT
TO MASTER CREDIT FACILITY AGREEMENT
 
THIS FIRST AMENDMENT TO MASTER CREDIT FACILITY AGREEMENT (this “Amendment”) is
effective as of the 9th day of December, 2011, by and among (i) (a) PHNTUS ARBOR
GARDENS INC., a California corporation, (b) PHNTUS AUSTIN GARDENS INC., a
California corporation, (c) PHNTUS BECKETT MEADOWS LLC, a Delaware limited
liability company, (d) PHNTUS CANTERBURY WOODS LLC, a Delaware limited liability
company, (e) PHNTUS CHARLESTON GARDENS LLC, a Delaware limited liability
company, (f) PHNTUS CREEKSIDE LLC, a Delaware limited liability company, (g)
PHNTUS DESERT SPRINGS LLC, a Delaware limited liability company, (h) PHNTUS
HERITAGE HILLS LLC, a Delaware limited liability company, (i) PHNTUS KP
SHREVEPORT LLC, a Delaware limited liability company, (j) PHNTUS LAKES LLC, a
Delaware limited liability company, (k) PHNTUS LO CAPE MAY LLC, a Delaware
limited liability company, (l) PHNTUS LO FOLSOM INC., a California corporation,
(m) PHNTUS LO JOLIET LLC, a Delaware limited liability company, (n) PHNTUS LO
ROCKFORD LLC, a Delaware limited liability company, (o) PHNTUS OAK HOLLOW LLC, a
Delaware limited liability company, (p) PHNTUS PINEHURST LLC, a Delaware limited
liability company, (q) PHNTUS PINE MEADOW LLC, a Delaware limited liability
company, (r) PHNTUS PINES AT GOLDSBORO LLC, a Delaware limited liability
company, (s) PHNTUS QUAIL RIDGE LLC, a Delaware limited liability company, (t)
PHNTUS RICHLAND GARDENS LLC, a Delaware limited liability company, (u) PHNTUS
SILVERLEAF MANOR LLC, a Delaware limited liability company, and (v) PHNTUS
STONEBRIDGE LLC, a Delaware limited liability company (individually and
collectively, “Borrower”), (ii) EMERITUS CORPORATION, a Washington corporation
(“Guarantor”; together with Borrower, “Borrower Parties”), (iii) BERKADIA
COMMERCIAL MORTGAGE LLC, a Delaware limited liability company (“Lender”), and
(iv) FANNIE MAE, the corporation duly organized under the Federal National
Mortgage Association Charter Act, as amended, 12 U.S.C. §1716 et seq. and duly
organized and existing under the laws of the United States (“Fannie Mae”).
 
RECITALS
A. Borrower Parties entered into that certain Master Credit Facility Agreement,
dated as of April 1, 2008 (as amended, restated, modified, or supplemented from
time to time, the “Master Agreement”) by and among (i) Borrower Parties and (ii)
CAPMARK FINANCE INC., a California corporation (“Original Lender”).
 
B. All of Original Lender’s right, title and interest in the Master Agreement
and the Loan Documents executed in connection with the Master Agreement or the
transactions contemplated by the Master Agreement have been assigned to Fannie
Mae pursuant to that certain Assignment of Master Credit Facility Agreement and
other Loan Documents, dated as of even date with the Master Agreement (the
“Assignment”).  Lender has acquired certain loan origination and servicing
assets of Capmark Financial Group Inc., including, without limitation, the Loan
Documents executed in connection with the Master Agreement.  Fannie Mae has not
assumed (i) any of the obligations of Lender under the Master Agreement to make
Future
 

EMERITUS/Berkadia (Release of Desert Springs)
First Amendment to Master Credit Facility Agreement
DC2/1208478v2                                                                    
 
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Advances or (ii) any of the obligations of Lender which are servicing
obligations delegated to Lender as servicer of the Advances.  Fannie Mae has
designated Lender as the servicer of the Advances contemplated by the Master
Agreement.
 
C. The parties are executing this Amendment pursuant to the Master Agreement to
reflect the release of the Mortgaged Property commonly known as Emeritus at
Desert Springs located in El Paso County, Texas (the “Release Property”) from
the Collateral Pool.
 
NOW, THEREFORE, the parties hereto, in consideration of the mutual promises and
agreements contained in this Amendment and the Master Agreement, and other good
and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, hereby agree as follows:
 
Section 1. Recitals.  The recitals set forth above are incorporated herein by
reference as if fully set forth in the body of this Amendment.
 
Section 2. Release of Mortgaged Property.  The Release Property is hereby
released from the Collateral Pool under the Master Agreement.  Except as
otherwise set forth in Section 18 of the Security Instrument, PHNTUS DESERT
SPRINGS LLC, a Delaware limited liability company, is hereby released as a
Borrower from the Master Agreement and the Loan Documents.
 
Section 3. Exhibit A.  Exhibit A to the Master Agreement is hereby deleted in
its entirety and replaced with the Exhibit A attached to this Amendment.
 
Section 4. Capitalized Terms.  All capitalized terms used in this Amendment
which are not specifically defined herein shall have the respective meanings set
forth in the Master Agreement.
 
Section 5. Full Force and Effect.  Except as expressly modified by this
Amendment, all terms and conditions of the Master Agreement shall continue in
full force and effect.
 
Section 6. Counterparts.  This Amendment may be executed in counterparts by the
parties hereto, and each such counterpart shall be considered an original and
all such counterparts shall constitute one and the same instrument.
 
Section 7. Applicable Law.  The provisions of Section 13.06 of the Master
Agreement (entitled “Choice of Law; Consent to Jurisdiction; Waiver of Jury
Trial”) are hereby incorporated into this Amendment by this reference to the
fullest extent as if the text of such provisions were set forth in their
entirety herein.

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EMERITUS/Berkadia (Release of Desert Springs)
First Amendment to Master Credit Facility Agreement
DC2/1208478v2
 
 
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IN WITNESS WHEREOF, the parties hereto have signed and delivered this Amendment
under seal (where applicable) or have caused this Amendment to be signed and
delivered under seal (where applicable), each by its duly authorized
representative.  Where applicable law so provides, the parties hereto intend
that this Amendment shall be deemed to be signed and delivered as a sealed
instrument.
 
BORROWER:

PHNTUS ARBOR GARDENS INC., a California corporation

 
By:
Emeritus Corporation, a Washington corporation, its sole shareholder

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS AUSTIN GARDENS INC, a California corporation

 
By:
Emeritus Corporation, a Washington corporation, its sole shareholder

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS BECKETT MEADOWS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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DC2/1208478v2          
 
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PHNTUS CANTERBURY WOODS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric
Mendelsohn                                                       (SEAL)
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS CHARLESTON GARDENS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS CREEKSIDE LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS DESERT SPRINGS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS HERITAGE HILLS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric
Mendelsohn                                                       (SEAL)
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS KP SHREVEPORT LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS LAKES LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS LO CAPE MAY LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS LO FOLSOM INC, a California corporation

 
By:
Emeritus Corporation, a Washington corporation, its sole shareholder

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS LO JOLIET LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS LO ROCKFORD LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS OAK HOLLOW LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS PINEHURST LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS PINE MEADOW LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS PINES AT GOLDSBORO LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric
Mendelsohn                                                       (SEAL)
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS QUAIL RIDGE LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS RICHLAND GARDENS LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

PHNTUS SILVERLEAF MANOR LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
(Signatures continue on next page)

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PHNTUS STONEBRIDGE LLC, a Delaware limited liability company

 
By:
Emeritus Corporation, a Washington corporation, its sole member

By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
 
(Signatures continue on next page)

 

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GUARANTOR
 
EMERITUS CORPORATION, a Washington corporation
 

 
By:           /s/  Eric Mendelsohn 
 Eric Mendelsohn
 Senior Vice President Corporate Development

 
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LENDER:

BERKADIA COMMERCIAL MORTGAGE LLC, a Delaware limited liability company
 

 
By:           /s/  Allen
Sullivan                                                                
Name:     Allen Sullivan 
Title:       Authorized Representative 
 

 
(Signatures continue on next page)

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FANNIE MAE:

FANNIE MAE, the corporation duly organized under the Federal National Mortgage
Association Charter Act, as amended, 12 U.S.C. §1716 et seq. and duly organized
and existing under the laws of the United States

By:           /s/  Michael W. Dick 
Name:      Michael W. Dick 
Title:        Asst. Vice President 

 

 

EMERITUS/Berkadia (Release of Desert Springs)
First Amendment to Master Credit Facility Agreement
DC2/1208478v2
 
 
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EXHIBIT A
 
SCHEDULE OF MORTGAGED PROPERTIES
AND INITIAL VALUATIONS

Borrower
Property Name & Address
Initial Valuation
PHNTUS ARBOR GARDENS INC., a California corporation
Arbor Gardens at Corona
2005 Kellogg Avenue
Corona, California  92870
(Riverside County)
$4,465,000
 
PHNTUS AUSTIN GARDENS INC, a California corporation
Austin Gardens
2150 W. Kettleman Lane
Lodi, California  95242
(San Joaquin County)
$5,840,000
 
PHNTUS BECKETT MEADOWS LLC, a Delaware limited liability company
Beckett Meadows
7709 Beckett Road
Austin, Texas  78749
(Travis County)
$16,400,000
 
PHNTUS CANTERBURY WOODS LLC, a Delaware limited liability company
Canterbury Woods
100 Garfield Avenue
Attleboro, Massachusetts  02703
(Bristol County)
$29,610,000
 
PHNTUS CHARLESTON GARDENS LLC, a Delaware limited liability company
Charleston Gardens
800 Association Drive
Charleston, West Virginia  25311
(Kanawha County)
$22,970,000
 
PHNTUS CREEKSIDE LLC, a Delaware limited liability company
Creekside
2000 West Spring Creek Parkway
Plano, Texas  75023
(Collin County)
$9,000,000
 
PHNTUS HERITAGE HILLS LLC, a Delaware limited liability company
Heritage Hills
3607 Weems Road
Columbus, Georgia  31909
(Muscogee County)
$7,800,000
 
PHNTUS KP SHREVEPORT LLC, a Delaware limited liability company
Kingsley Place Shreveport
7110 University Drive
Shreveport, Louisiana  71105
(Caddo Parish)
$8,700,000
 
PHNTUS LAKES LLC, a Delaware limited liability company
The Lakes
7460 Lake Breeze Drive
Fort Meyers, Florida  33907
(Lee County)
$45,400,000
 
PHNTUS LO CAPE MAY LLC, a Delaware limited liability company
Loyalton of Cape May
591 Route 9 South
Cape May, New Jersey  08210
(Cape May County)
$14,126,000
 
PHNTUS LO FOLSOM INC, a California corporation
Loyalton of Folsom
780 Harrington Way
Folsom, California  95630
(Sacramento County)
$28,720,000
 
PHNTUS LO JOLIET LLC, a Delaware limited liability company
Loyalton of Joliet
3320 Executive Drive
Joliet, Illinois  60431
(Will County)
$12,470,000
 

 
 
EMERITUS/Berkadia (Release of Desert Springs)
First Amendment to Master Credit Facility Agreement
DC2/1208478v2                                                                 
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PHNTUS LO ROCKFORD LLC, a Delaware limited liability company
Loyalton of Rockford
1545 Temple Lane
Rockford, Illinois  61112
(Winnebago County)
$20,340,000
 
PHNTUS OAK HOLLOW LLC, a Delaware limited liability company
Oak Hollow
2016 L Don Dodson Parkway
Bedford, Texas  76095
(Tarrant County)
$10,400,000
 
PHNTUS PINEHURST LLC, a Delaware limited liability company
Pinehurst
5403 Plantation Drive
Tyler, Texas  75703
(Smith County)
$8,640,000
 
PHNTUS PINE MEADOW LLC, a Delaware limited liability company
Pine Meadows
107 Fox Chase Drive
Hattiesburg, Mississippi  39401
(Forrest County)
$5,275,000
 
PHNTUS PINES AT GOLDSBORO LLC, a Delaware limited liability company
Pines at Goldsboro
380 Country Day Road
Goldsboro, North Carolina  27530
(Wayne County)
$18,010,000
 
PHNTUS QUAIL RIDGE LLC, a Delaware limited liability company
Quail Ridge
5204 Elgin Avenue
Lubbock, Texas  79413
(Lubbock County)
$11,100,000
 
PHNTUS RICHLAND GARDENS LLC, a Delaware limited liability company
Richland Gardens
770 W. Gage Boulevard
Richland, Washington  99352
(Benton County)
$16,800,000
 
PHNTUS SILVERLEAF MANOR LLC, a Delaware limited liability company
Silverleaf Manor
4555 35th Avenue
Meridian, Mississippi  39305
(Lauderdale County)
$9,670,000
 
PHNTUS STONEBRIDGE LLC, a Delaware limited liability company
Stonebridge
9271 White Rock Trail
Dallas, Texas  75238
(Dallas County)
$9,200,000
 

EMERITUS/Berkadia (Release of Desert Springs)
First Amendment to Master Credit Facility Agreement
DC2/1208478v2                                                                 
 
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