Unassociated Document


    ADVISORY
AGREEMENT

       


    Between

       


    HARTMAN
ADVISORS, LLC

      


    and

        


    HARTMAN
SHORT TERM INCOME PROPERTIES XX, INC

      


     ________
, 2009 


    
      
         


      

      
        1

        
          

        

      

      
         


      

    


    TABLE
OF CONTENTS

    


    
      
        
          
            
              
                	
                        TABLE
      OF CONTENTS

                      	 
      	
                        2

                      
	
                        ADVISORY
      AGREEMENT

                      	 
      	
                        3

                      
	
                        ARTICLE
      1

                      	 
      	
                        3

                      
	
                        DEFINITIONS

                      	 
      	
                        3

                      
	
                        ARTICLE
      2

                      	 
      	
                        6

                      
	
                        APPOINTMENT

                      	 
      	
                        6

                      
	
                        ARTICLE
      3

                      	 
      	
                        6

                      
	
                        DUTIES
      OF THE ADVISOR

                      	 
      	
                        6

                      
	
                        3.01   
      Offering Services

                      	 
      	
                         
      6

                      
	
                        3.02
      Acquisition Services.

                      	 
      	
                        7

                      
	
                        3.03
      Asset Management Services.

                      	 
      	
                        7

                      
	
                        3.04
      Shareholder Services.

                      	 
      	
                        10

                      
	
                        ARTICLE
      4

                      	 
      	
                        10

                      
	
                        AUTHORITY
      OF THE ADVISOR

                      	 
      	
                        10

                      
	
                        4.03
      Approval by Directors.

                      	 
      	
                        11

                      
	
                        ARTICLE
      5

                      	 
      	
                        11

                      
	
                        BANK
      ACCOUNTS

                      	 
      	
                        11

                      
	
                        ARTICLE
      6

                      	 
      	
                        12

                      
	
                        RECORDS
      AND FINANCIAL STATEMENTS

                      	 
      	
                        12

                      
	
                        ARTICLE
      7

                      	 
      	
                        12

                      
	
                        LIMITATION
      ON ACTIVITIES; LIMITATION ON LIABILITY

                      	 
      	
                        12

                      
	
                        7.01   
      Limitation on Activities.

                      	 
      	
                        12

                      
	
                        ARTICLE
      8

                      	 
      	
                        13

                      
	
                        RELATIONSHIP
      WITH DIRECTORS AND OFFICERS

                      	 
      	
                        13

                      
	
                        ARTICLE
      9

                      	 
      	
                        13

                      
	
                        FEES

                      	 
      	
                        13

                      
	
                        ARTICLE
      10

                      	 
      	
                        15

                      
	
                        EXPENSES

                      	 
      	
                        15

                      
	
                        ARTICLE
      11

                      	 
      	
                        16

                      
	
                        OTHER
      SERVICES

                      	 
      	
                        16

                      
	
                        ARTICLE
      12

                      	 
      	
                        17

                      
	
                        RELATIONSHIP
      OF THE ADVISOR AND COMPANY;

                      	 
      	
                        17

                      
	
                        OTHER
      ACTIVITIES OF THE ADVISOR

                      	 
      	
                        17

                      
	
                        ARTICLE
      13

                      	 
      	
                        18

                      
	
                        THE
      HARTMAN NAME

                      	 
      	
                        18

                      
	
                        ARTICLE
      14

                      	 
      	
                        18

                      
	
                        TERM
      AND TERMINATION OF THE AGREEMENT

                      	 
      	
                        18

                      
	
                        ARTICLE
      15

                      	 
      	
                        19

                      
	
                        ASSIGNMENT

                      	 
      	
                        19

                      
	
                        ARTICLE
      16

                      	 
      	
                        19

                      
	
                        INDEMNIFICATION
      AND LIMITATION OF LIABILITY

                      	 
      	
                        19

                      
	
                        16.03
      The Advisor’s Liability.

                      	 
      	
                        20

                      
	
                        ARTICLE
      17

                      	 
      	
                        21

                      
	
                        MISCELLANEOUS

                      	
                          

                      	
                        21

                      


              

            

          

        

      

    


    
      
         


      

      
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    ADVISORY
AGREEMENT

    


     This
Advisory Agreement (this “Agreement”), dated as of ________ , 2009, is entered
into between Hartman Advisors, LLC, a Texas limited liability company (the
“Advisor”), and Hartman Short Term Income Properties XX, Inc., a Maryland
corporation (the “Company”). 

    


    WITNESSETH

    


    WHEREAS,
the Company desires to avail itself of the knowledge, experience, sources of
information, advice, assistance and certain facilities available to the Advisor
(hereinafter defined) and to have the Advisor undertake the duties and
responsibilities hereinafter set forth herein on the terms set forth in this
Agreement; and

    


    WHEREAS,
the Advisor is willing to undertake to render such services on the terms and
conditions hereinafter set forth.

    


    NOW,
THEREFORE, in consideration of the foregoing and of the mutual covenants and
agreements contained herein, the parties hereto agree as follows:

    


    ARTICLE
1

    


    DEFINITIONS

    


    The
following defined terms used in this Agreement shall have the meanings specified
below:

    


    “Acquisition
Expenses” has the meaning set forth in the Articles of
Incorporation.

    


    “Advisor”
means (i) Hartman
Advisors, LLC, a Texas limited liability company, or (ii) any successor advisor
to the Company.

    


    “Affiliate”
has the meaning set forth in the Articles of Incorporation. For the purposes of
this Agreement, the Advisor shall not be deemed to be an Affiliate of the
Company, and vice versa.

    


    “Articles
of Incorporation” means the Second Amended and Restated Articles of
Incorporation of the Company, as amended from time to time.

    


    “Asset”
or “Assets” means any and all real estate investments (real, personal or
otherwise), tangible or intangible, owned or held by, or for the account of, the
Company, whether directly or indirectly through another entity or entities,
including interests in any Person or in joint ventures which directly or
indirectly own real estate investments.

    


    “Board of
Directors” means the Board Directors of the Company.

    


    “Bylaws”
means the Bylaws of the Company, as amended from time to time.

    


    “Code”
means the Internal Revenue Code of 1986, as amended from time to time, or any
successor statute thereto. Reference to any provision of the Code shall mean
such provision as in effect from time to time, as the same may be amended, and
any successor provision thereto, as interpreted by any applicable regulations as
in effect from time to time.


    
      
         


      

      
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    “Common
Share” or “Share” means a share of the Company’s common stock.

    


    “Company”
means Hartman Short Term Income Properties XX, Inc., a Maryland corporation
..

    


    “Director”
means a member of the Board of Directors of the Company.

    


    “Enterprise Value” means the
actual value of the Company as a going concern based on the difference
between  (a) the actual value of all of its assets as determined by
appraisal prepared by an Independent Expert, less (b) all of its liabilities as
set forth on its then current balance sheet; provided that (i) if such
Enterprise Value is being determined in connection with a Change of Control that
establishes the Company’s net worth (e.g., a successful tender offer or other
sale for the Common Shares, sale of all or substantially all of the Company’s
assets or a merger) then the Enterprise Value shall be the net worth established
thereby and (ii) if such Enterprise Value is being determined in connection with
a listing on a national exchange, then the Enterprise Value shall be equal to
the number of outstanding Common Shares multiplied by the Market Price of a
single Common Share averaged over a period of 30 trading days during which the
Shares are listed or quoted for trading after the date of listing. For purposes
hereof, a “trading day” shall be any day on which the exchange on which the
Shares are listed is open for trading whether or not there is an actual trade of
Common Shares on any such day.

    


    “Gross
Proceeds” has the meaning set forth in the Articles of
Incorporation.

    


    “Hartman”
means Allen Hartman, the chief executive officer of the Advisor, and his
affiliates.

    


    “Independent
Director” has the meaning set forth in the Articles of
Incorporation.

    


    Initial
Investment” means aggregate real estate investments made by the Company with the
proceeds of the Initial Offering, as completed.

    


    “Limited
Partnership Agreement” means the Limited Partnership Agreement of Hartman Short
Term Income Properties XX Operating Partnership, L.P., the Operating
Partnership, as the same may be amended and restated from time to time, if the
Advisor and the Company determine to organize that limited
partnership.

    


    “Managing
Dealer” means Pavek Investments, Inc., a Wisconsin corporation, or such other
entity selected by the Board of Directors to act as the managing dealer for the
Offering if the Company and the Advisor determine that having a Managing Dealer
is necessary or appropriate for the  Offering.

    


    “Market
Price” means on any
date the average of the closing price per Share for the five consecutive trading
days ending on such date. If the Shares are not quoted by any such organization,
the average of the closing bid and asked prices as furnished by a professional
market maker making a market in the Shares selected by the Board, or if there is
no professional market maker making a market in the Shares, the average of the
last ten (10) sales pursuant to the Offering if the Offering has not concluded,
or if the Offering has concluded, the average of the last ten (10) purchases by
the Company pursuant to its Share Repurchase Program (the "SRP"), and if there
are fewer than ten (10) of such purchases under the SRP, then the average of
such lesser number of purchases, or, if the SRP is not then in existence, the
price at which the Company is then offering Shares to the public if the Company
is then engaged in a public offering of Shares, or if the Company is not then
offering Shares to the public, the price at which a Stockholder may purchase
Shares pursuant to the Company's Distribution Reinvestment Plan (the "DRP") if
such DRP is then in existence, or if the DRP is not then in existence, the fair
market value of the Shares as determined by the Company, in its sole
discretion.


    
      
         


      

      
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    “Offering”
means a public offering of Shares pursuant to any Prospectus.

    


    “Operating
Expenses” means all costs and expenses incurred by the Company, as determined
under generally accepted accounting principles, which in any way are related to
the operation of the Company or to Company business, including advisory
expenses, but excluding (i) the expenses of raising capital such as
Organizational and Offering Expenses, legal, audit, accounting, underwriting,
brokerage, listing, registration and other fees, printing and other such
expenses, and taxes incurred in connection with the issuance, distribution,
transfer, registration, and stock exchange listing of the Shares, (ii) interest
payments, (iii) taxes, (iv) non-cash expenditures such as depreciation,
amortization and bad debt reserves, (v) incentive fees, (vi) Acquisition Fees
and Acquisition Expenses, (vii) distributions made pursuant to percentage
interests in the Operating Partnership and (viii) real estate commissions on the
resale of property and other expenses connected with the acquisition,
disposition and ownership of real estate interests, mortgage loans, or other
property (such as the costs of foreclosure, insurance premiums, legal services,
maintenance, repair, and improvement of property)

    


    “Operating
Partnership” means Hartman Short Term Income Properties XX Operating
Partnership, L.P., a Delaware limited partnership if the Company and the Advisor
determine to form the limited partnership.

    


    “Organizational
and Offering Expenses” has the meaning set forth in the Articles of
Incorporation.

    


     “Person”
means an individual, corporation, partnership, estate, trust, a portion of a
trust permanently set aside for or to be used exclusively for the purposes
described in Section 642(c) of the Code, association, private foundation within
the meaning of Section 509(a) of the Code, joint stock company or other
entity.

    


    “Property
Management Agreement” means any Property Management Agreement between the
Company and the Property Manager.

    


    “Property
Manager” means Hartman Income REIT Management, Inc., a Texas corporation, or an
Affiliate thereof.

    


    “Prospectus”
means the Company’s final prospectus for any public offering within the meaning
of Section 2(10) of the Securities Act of 1933, as amended.

    


    “REIT”
means a “real estate investment trust” under Sections 856 through 860 of the
Code.


    
      
         


      

      
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    “Securities”
means any class or series of units or shares of the Company or the Operating
Partnership, including common shares or preferred units or shares and any other
evidences of equity or beneficial or other interests, voting trust certificates,
bonds, debentures, notes or other evidences of indebtedness, secured or
unsecured, convertible, subordinated or otherwise, or in general any instruments
commonly known as “securities” or any certificates of interest, shares or
participations in, temporary or interim certificates for, receipts for,
guarantees of, or warrants, options or rights to subscribe to, purchase or
acquire, any of the foregoing.

    


    “Shareholders”
means the registered holders of the outstanding Shares.

    


    “Subsequent
Investment” means a real estate investment made by the Company after it has
acquired  the Initial Investments.

    


    “Termination
Date” means the date of termination of this Agreement.

    


    “2%/25%
Guidelines” means the limitations that the Company will not reimburse the
Advisor for any amount by which the Company’s operating expenses (including the
asset management fee) at the end of the four preceding fiscal quarters exceed
the greater of: (A) 2% of its Average Invested Assets, or (B) 25% of its net
income determined without reduction for any additions to reserves for
depreciation, bad debts or other similar non-cash reserves and excluding any
gain from the sale of its assets for that period.  Notwithstanding the
above, the Company may reimburse the Advisor for expenses in excess of this
limitation if a majority of the independent directors determines that such
excess expenses are justified based on unusual and non-recurring
factors.

    


    Any
capitalized term not otherwise defined shall have the meaning ascribed to it in
the Articles of Incorporation.

    


    ARTICLE
2

    


    APPOINTMENT

    


    The
Company hereby appoints the Advisor to serve as its advisor on the terms and
conditions set forth in this Agreement, and the Advisor hereby accepts such
appointment.

    


    ARTICLE
3

    


    DUTIES OF
THE ADVISOR

    


    The
Advisor is responsible for managing, operating, directing and supervising the
operations and administration of the Company and its Assets to the fullest
extent allowed by law. The Advisor shall, either directly or by engaging an
Affiliate or third party, perform the following duties:

    


    3.01          Offering
Services. The Advisor shall manage and supervise:

    


    (i)          Development
of the offering, including the determination of the specific terms of the
Securities to be offered by the Company, preparation of all offering and related
documents, and obtaining all required regulatory approvals of such
documents;


    
      
         


      

      
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    (ii)         Along
with the Managing Dealer, if any, approval of the participating broker dealers
and negotiation of the related selling agreements;

    


    (iii)        Coordination
of the due diligence process relating to participating broker dealers and their
review of any Prospectus and other Offering and Company documents;

    


    (iv) 
      Preparation and approval of all marketing
materials contemplated to be used by the Managing Dealer or others in the
Offering of the Company’s Securities;

    


    (v)         Along
with the Managing Dealer, negotiation and coordination with the transfer agent
for the receipt, collection, processing and acceptance of subscription
agreements, commissions, and other administrative support
functions;

    


    (vi)        Creation
and implementation of various technology and electronic communications related
to the Offering of the Company’s Securities; and

    


    (vii)      All
other services related to organization of the Company or the Offering, whether
performed and incurred by the Advisor or its Affiliates.

    


    3.02
Acquisition Services.

    


    (i)          Serve
as the Company’s investment and financial advisor and provide relevant market
research and economic and statistical data in connection with the Company’s
Assets and investment objectives and policies;

    


    (ii)         Subject
to Section 4.03 and Article 7 hereof and the investment objectives and policies
of the Company: (a) locate, analyze and select potential investments; (b)
structure and negotiate the terms and conditions of transactions pursuant to
which investments in Assets will be made; (c) acquire Assets on behalf of the
Company; and (d) arrange for financing on behalf of the Company;

    


    (iii)        Perform
due diligence on prospective investments and create due diligence reports
summarizing the results of such work;

    


    (iv)        Prepare
reports regarding prospective investments which include recommendations and
supporting documentation necessary for the Directors to evaluate the proposed
investments;

    


    (iv)        Obtain
reports (which may be prepared by the Advisor or its Affiliates), where
appropriate, concerning the value of contemplated investments of the Company;
and

    


    (v)        Negotiate
and execute approved investments, loans, debt financing and other
transactions.

    


    3.03
Asset Management Services.

    


    (i)           Real
Estate Services:


    
      
         


      

      
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    (a)           Investigate,
select, and, on behalf of the Company, engage and conduct business with such
Persons as the Advisor deems necessary to the proper performance of its
obligations hereunder, including but not limited to consultants, accountants,
lenders, technical advisors, attorneys, brokers, underwriters, corporate
fiduciaries, escrow agents, depositaries, custodians, agents for collection,
insurers, insurance agents, developers, construction companies and any and all
Persons acting in any other capacity deemed by the Advisor necessary or
desirable for the performance of any of the foregoing services;

    


    (b)           Negotiate
and service the Company’s debt facilities and other financings;

    


    (c)           Monitor
applicable markets and obtain reports (which may be prepared by the Advisor or
its Affiliates) where appropriate, concerning the value of investments of the
Company;

    


    (d)           Monitor
and evaluate the performance of investments of the Company; provide daily
management services to the Company and perform and supervise the various
management and operational functions related to the Company’s
investments;

    


    (e)           Coordinate
with the Property Manager on its duties under any Property Management Agreement
and assist in obtaining all necessary approvals of major property transactions
as governed by the applicable Property Management Agreement;

    


    (f)            Coordinate
and manage relationships between the Company and any joint venture partners;
and,

    


    (g)           Consult
with the officers and Directors of the Company and provide assistance with the
evaluation and approval of potential property dispositions, sales or
refinancings.

    


    (ii)          Accounting
and Other Administrative Services:

    


    (a)           Manage
and perform the various administrative functions necessary for the management of
the day-to-day operations of the Company;

    


    (b)           From
time-to-time, or at any time reasonably requested by the Directors, make reports
to the Directors on the Advisor’s performance of services to the Company under
this Agreement;

    


    (c)           Coordinate
with the Company’s independent accountants and auditors to prepare and deliver
to the Company’s audit committee an annual report covering the Advisor’s
compliance with certain material aspects of this Advisory
Agreement;

    


    (d)           Provide
or arrange for administrative services and items, legal and other services,
office space, office furnishings, personnel and other overhead items necessary
and incidental to the Company’s business and operations;


    
      
         


      

      
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    (e)           Provide
financial and operational planning services and portfolio management
functions;

    


    (f)           Maintain
accounting data and any other information requested concerning the activities of
the Company as shall be required to prepare and to file all periodic financial
reports and returns required to be filed with the Securities and Exchange
Commission and any other regulatory agency, including annual financial
statements;

    


    (g)           Maintain
all appropriate books and records of the Company;

    


    (h)           Provide
tax and compliance services and coordinate with appropriate third parties,
including independent accountants and other consultants, on related tax
matters;

    


    (i)            Supervise
the performance of such ministerial and administrative functions as may be
necessary in connection with the daily operations of the Assets;

    


    (j)            Provide
the Company with all necessary cash management services;

    


    (k)           Manage
and coordinate with the transfer agent the quarterly dividend process and
payments to shareholders;

    


    (l)            Consult
with the officers and Directors of the Company and assist the Directors in
evaluating and obtaining adequate insurance coverage based upon risk management
determinations;

    


    (m)          Provide
the officers and Directors of the Company with timely updates related to the
overall regulatory environment affecting the Company, as well as managing
compliance with such matters, including but not limited to compliance with the
Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”);

    


    (n)           Consult
with the officers and Directors of the Company and the Board of Directors
relating to the corporate governance structure and appropriate policies and
procedures related thereto;

    


    (o)           Perform
all reporting, record keeping, internal controls and similar matters in a manner
to allow the Company to comply with applicable law, including the Sarbanes-Oxley
Act;

    


    (p)           find,
evaluate, present and recommend to the Company investment opportunities
consistent with the Company’s investment policies and objectives;

    


    (q)           structure
the terms and conditions of the Company’s our acquisitions, sales and joint
ventures;


    
      
         


      

      
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    (r)            acquire
properties and make and invest in mortgage loans and other investments on behalf
of the Company in compliance with the Company investment objectives and
policies;

    


    (s)           arrange
for financing and refinancing of the Company’s properties and other
investments;

    


    (t)            service
or enter into contracts for servicing mortgage loans that the Company makes or
acquires;

    


    (u)           assist
the Company in obtaining insurance;

    


    (v)           generate
an annual budget for the Company;

    


    (w)          review
and analyze financial information for each of the Company’s properties and the
overall portfolio;

    


    (x)            formulate
and oversee the implementation of strategies for the administration, promotion,
management, operation, maintenance, improvement, financing and refinancing,
marketing, leasing and disposition of the Company’s properties and other
investments;

    


    (y)           perform
investor-relations services;

    


    (z)            maintain
our accounting and other records and assisting the Company in filing all reports
required to be filed with the SEC, the IRS and other regulatory
agencies;

    


    (aa)         engage
and supervise the performance of agents, including registrar and transfer agent
for the Company; and

    


    (bb)        perform
any other services reasonably requested by the Company.

    


    3.04
Shareholder Services.

    


    (i)           Manage
communications with shareholders, including answering phone calls, preparing and
sending written and electronic reports and other communications;
and

    


    (ii)          Establish
technology infrastructure to assist in providing shareholder support and
service.

    


    ARTICLE
4

    


    AUTHORITY
OF THE ADVISOR

    


    4.01      
 General.             All
rights and powers to manage and control the day-to-day business and affairs of
the Company shall be vested in the Advisor to the fullest extent allowed by law.
The Advisor shall have the power to delegate all or any part of its rights and
powers to manage and control the business and affairs of the Company to such
officers, employees, Affiliates, agents and representatives of the Advisor or
the Company as it may from time to time deem appropriate. Any authority
delegated by the Advisor to any other Person shall be subject to applicable law
and the limitations on the rights and powers of the Advisor specifically set
forth in this Agreement or the Articles of Incorporation.


    
      
         


      

      
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    4.02  
     Powers of the
Advisor.             Subject
to the express limitations set forth in this Agreement, the power to direct the
management, operation and policies of the Company shall to the fullest extent
allowed by law be vested in the Advisor, which shall have the power by itself
and shall be authorized and empowered on behalf and in the name of the Company
to carry out any and all of the objectives and purposes of the Company and to
perform all acts and enter into and perform all contracts and other undertakings
that it may in its sole discretion deem necessary, advisable or incidental
thereto to perform its obligations under this Agreement.

    


    4.03    
   Approval by Directors.

    


    (i)
Notwithstanding the foregoing, any investment in Assets, including any
acquisition of an Asset by the Company or any investment by the Company in a
joint venture, limited partnership or similar entity owning real properties,
will require the prior approval of the Board of Directors. The Advisor will
deliver to the Board of Directors all documents required by it to properly
evaluate the proposed investment.

    


    (ii)      If
the Articles of Incorporation require that a transaction be approved by the
Independent Directors, the Advisor will deliver to the Independent Directors all
documents required by them to properly evaluate the proposed investment in the
Asset. The prior approval of a majority of the Independent Directors will be
required for each transaction between the Company and the Advisor or its
Affiliates.

    


    (iii)     The
Advisor may not cause the Company to acquire or finance any property or make or
invest in any mortgage loan or other investment on the Company’s behalf without
the prior approval of the Company’s Board of Directors, including a majority of
its Independent Directors.  The actual terms and conditions of
transactions involving the Company’s investments will be determined by the
Advisor, subject at all times to such board approval.

    


    ARTICLE
5

    


    BANK
ACCOUNTS

    


    The
Advisor will maintain one or more bank accounts in the name of the Company and
will collect and deposit into any such account or accounts, and disburse from
any such account or accounts, any money on behalf of the Company.
Notwithstanding the foregoing, no funds shall be commingled with the funds of
the Advisor.


    
      
         


      

      
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    ARTICLE
6

    


    RECORDS
AND FINANCIAL STATEMENTS

    


    The
Advisor, in the conduct of its responsibilities to the Company, shall maintain
adequate and separate books and records for the Company’s operations in
accordance with United States generally accepted accounting principles (“GAAP”),
which shall be supported by sufficient documentation to ascertain that such
books and records are properly and accurately recorded. Such books and records
shall be the property of the Company. Such books and records shall include all
information necessary to calculate and audit the fees or reimbursements paid
under this Agreement. The Advisor shall utilize procedures to attempt to ensure
such control over accounting and financial transactions as is reasonably
required to protect the Company’s assets from theft, error or fraudulent
activity. All financial statements that the Advisor delivers to the Company
shall be prepared on an accrual basis in accordance with GAAP, except for
special financial reports which by their nature require a deviation from GAAP.
The Advisor shall maintain the necessary liaison with the Company’s independent
accountants and shall provide such accountants with such reports and other
information as the Company shall request.

    


    ARTICLE
7

    


    LIMITATION
ON ACTIVITIES; LIMITATION ON LIABILITY

    


    7.01         Limitation
on Activities.

    


    Notwithstanding
any provision in this Agreement to the contrary, the Advisor shall not take any
action which, in its sole judgment made in good faith, would (i) adversely
affect the ability of the Company to qualify or continue to qualify to be taxed
as a REIT, (ii) subject the Company or the Operating Partnership to regulation
under the Investment Company Act of 1940, as amended, (iii) violate any law,
rule or regulation of any governmental body or agency having jurisdiction over
the Company, or its Securities, or (iv) violate the Articles of Incorporation or
Bylaws. In the event that an action that would violate (i) through (iv) of the
preceding sentence has been ordered by the Board of Directors acting on behalf
of the Company, the Advisor shall notify the Board of Directors of the Advisor’s
judgment of the potential impact of such action and shall refrain from taking
such action until it receives further clarification or instructions from the
Board of Directors. In such event the Advisor shall, to the fullest extent
allowed by law, have no liability for acting in accordance with the specific
instructions of the Board of Directors so given.

    


    7.02         Limitation
on Liability.

    


    Notwithstanding
the foregoing, none of the Advisor, its Affiliates and none of their managers,
directors, officers, employees and equity-holders, shall be liable to the
Company, the Operating Partnership, if any, the Board of Directors or the
Shareholders for any act or omission by such Persons or individuals, except as
provided in this Agreement. The parties hereto intend that the limitation of
liability set forth in this section be construed and applied as written
notwithstanding any rule of construction to the contrary. Without limiting the
foregoing, the limitation of liability shall, to the fullest extent allowed by
law, apply, notwithstanding any state’s “express negligence rule” or similar
rule that would deny coverage based on a person’s sole, concurrent or
contributory active or passive negligence, gross negligence or strict liability.
It is the intent of the parties that, to the extent provided in this section,
the limitation of liability set forth herein shall, to the fullest extent
allowed by law, apply to a person’s sole, concurrent or contributory active or
passive negligence, gross negligence or strict liability. The parties agree that
this provision is “conspicuous” for purposes of all state laws.


    
      
         


      

      
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    ARTICLE
8

    


    RELATIONSHIP
WITH DIRECTORS AND OFFICERS

    


    Managers,
Directors, officers and employees of the Advisor or any direct or indirect
Affiliate of the Advisor may serve as a Director and as officers of the Company,
except that no manager, director, officer or employee of the Advisor or any of
its Affiliates who also is a Director or officer of the Company shall receive
any compensation from the Company or Operating Partnership for serving as a
Director or officer other than reasonable reimbursement for travel and related
expenses incurred in attending meetings of the Board of Directors.

    


    ARTICLE
9

    


    COMPENSATION

    


    9.01       Acquisition
Fees.          The
Company will pay the Advisor in cash as compensation for services described in
Section 3.02 an acquisition fee of (i) 2.5% of the funds paid and/or budgeted in
respect of the purchase, development, construction or improvement of each asset
we acquire, including any debt attributable to each real estate asset that the
Company acquires.   The Company shall also reimburse the Advisor
for all out of pocket third party expenses incurred by the Advisor in connection
with such services as required by Article 10. The amount of such acquisition
fees and expenses shall be subject to any limitations contained in the Articles
of Incorporation. The Advisor shall submit an invoice to the Company following
the closing or closings of each acquisition, accompanied by a computation of the
fee. The fee shall be payable within ten (10) business days after receipt of the
invoice by the Company.

    


    9.02        Asset
Management Fees.      The Company will pay the Advisor
in cash as compensation for services described in Section 3.03 an asset
management fee in accordance with this Section 9.02 as well as reimburse the
Advisor for all out of pocket third party expenses incurred by the Advisor in
connection with such services as required by Article 10. Subject to any
limitations contained in the Articles of Incorporation, this asset management
fee shall be earned monthly and the amount of this asset management fee payable
by the Company to the Advisor shall equal 1/12th of .75%
of the sum of the higher of the cost or value of each asset, where cost equals
the amount actually paid and/or budgeted (excluding acquisition fees and
expenses) in respect of the purchase, development, construction or improvement
of an asset, including the amount of any debt attributable to the
asset  (including debt encumbering the asset after its acquisition)
and where the value of an asset is the value established by the most recent
independent valuation report. If available and if the independent members of the
Company’s board of directors have determined to obtain an independent appraisal,
without reduction for depreciation, bad debts or other non-cash
reserves.  The asset management fee will be based only on the portion
of the cost or value attributable to the Company’s investment in an asset if the
Company does not own all or a majority of an asset, does not manage or control
the asset, and did not or does not provide substantial services in the
acquisition, development or management of the asset. The Advisor shall submit a
monthly invoice to the Company, accompanied by a computation of the asset
management fee for the applicable period. The asset management fee shall be
payable within ten business days after receipt of the invoice by the
Company.


    
      
         


      

      
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    9.03          Debt
Financing Fees.    The Company will pay the Advisor in cash
as compensation for services described in Section 3.02 a debt financing fee
equal to 1% of the amount obtained under any property loan or made available to
us under any other debt financing. In no event will the debt financing fee be
paid more than once in respect of the same debt.

    


    9.04          Organization
and Offering Expense Reimbursement.  With respect to the Company’s
primary offering, the Company will reimburse the Advisor for organization and
offering expenses that the Advisor incurs on the Company’s behalf (other than
selling commissions and the dealer manager fee), provided that at no point will
the Company reimburse expenses that would cause its total organization and
offering expenses related to the primary offering (other than selling
commissions and the dealer manager fee) to exceed 1.5% of gross offering
proceeds from the primary offering.  The Advisor and its affiliates
will be responsible for the payment of organization and offering expenses
related to the primary offering (other than selling commissions and the dealer
manager fee) to the extent they exceed 1.5% of gross offering proceeds from the
primary offering. The Company may not amend this Advisory Agreement to increase
the amount it is obligated to pay the Advisor with respect to organization and
offering expenses during this primary offering.  Under no
circumstances may the Company’s total organization and offering expenses
(including selling commissions and dealer manager fees) exceed 11% of gross
proceeds from this primary offering or 15% of gross proceeds from any subsequent
offerings.

    


    9.05          Convertible
Stock.  The convertible stock issued to the Advisor will convert to
shares of common stock if (1) the Company made total distributions on then
outstanding shares of its common stock equal to the issue price of those shares
plus a 6% cumulative, non-compounded annual return on the issue price of those
outstanding shares, (2) the Company lists its common stock for trading on a
national securities exchange if the sum of prior distributions on then
outstanding shares of our common stock plus the aggregate market value of its
common stock (based on the 30-day average closing price) meets the same 6%
performance threshold, or (3) the Advisory Agreement with Hartman Advisors
expires without renewal or is terminated (other than because of a material
breach by Advisor), and at the time of such expiration or termination the
company is deemed to have met the foregoing 6% performance threshold based on
its enterprise value and prior distributions and, at or subsequent to the
expiration or termination, the stockholders actually realize such level of
performance upon listing or through total distributions.  In general,
the Company’s convertible stock will convert into shares of common stock with a
value equal to 15% of the excess of the Company’s Enterprise Value plus the
aggregate value of distributions paid to date on then outstanding shares of its
common stock over the aggregate issue price of those outstanding shares plus a
6% cumulative, non-compounded, annual return on the issue price of those
outstanding shares.  With respect to conversion in connection with the
termination of the Advisory Agreement, this calculation is made at the time of
termination even though the actual conversion may occur later or not at
all.  The value of the Common Shares into which the convertible stock
may be converted shall not exceed the amount specified in Section 9.9 of the
Company’s Articles of Incorporation.


    
      
         


      

      
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    ARTICLE
10

    


    EXPENSES

    


    10.01      General.        
 In addition to the compensation paid to the Advisor pursuant to Article 9
hereof, the Company shall pay directly or reimburse the Advisor for the
following expenses paid or incurred by the Advisor or Affiliates in connection
with the services provided to the Company pursuant to this Agreement, including,
but not limited to:

    


    (i)          Acquisition
Expenses incurred in connection with the selection and acquisition of Assets,
whether or not acquired by us, including, but not limited to, legal fees and
expenses, travel and communications expenses, costs of appraisals, nonrefundable
option payments on property not acquired, accounting fees and expenses,
third-party brokerage or finder’s fees, title insurance, premium expenses and
other closing costs

    


    (ii)          the
actual out-of-pocket cost of goods and services used by the Company (or the
Operating Partnership, if formed) and obtained from entities not Affiliated with
the Advisor, including brokerage fees paid in connection with the purchase and
sale of Assets;

    


    (iii)         taxes
and assessments on income or Assets and taxes as an expense of doing business
and any other taxes otherwise imposed on the Company and its business or
income;

    


    (iv)        out-of-pocket
costs associated with insurance required in connection with the business of the
Company or by its officers and Directors;

    


    (v)         all
out-of-pocket expenses in connection with payments to the Board of Directors and
meetings of the Board of Directors and Shareholders;

    


    (vi)        personnel
and related employment direct costs incurred by the Advisor or Affiliates (a) in
performing the services described in Section 3.04 or (b) as otherwise approved
by Independent Directors, including but not limited to salary, benefits, burdens
and overhead of all employees directly involved in the performance of such
services, plus all out-of-pocket costs incurred;

    


    (vii)       out-of-pocket
expenses of maintaining communications with Shareholders, including the cost of
preparation, printing, and mailing annual reports and other Shareholder reports,
proxy statements and other reports required by governmental
entities;

    


    (viii)      audit,
accounting and legal fees, and other fees for professional services relating to
the operations of the Company and all such fees incurred at the request, or on
behalf of, the Independent Directors or any committee of the Board of
Directors;

    


    (ix)         out-of-pocket
costs for the Company to comply with all applicable laws, regulations and
ordinances;

    


    (x)          organization
and offering expenses related to the Company’s primary offering (other than
selling commissions and the dealer manager fee) in an amount up to 1.5% of gross
offering proceeds from the primary offering less any such organization and
offering expenses that the Company may pay directly. The Advisor and its
affiliates will be responsible for the payment of organization and offering
expenses related to the Company’s primary offering (other than selling
commissions and the dealer manager fee), to the extent they exceed 1.5% of gross
offering proceeds from the primary offering, without recourse against or
reimbursement by the Company; and


    
      
         


      

      
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    (xi)         all
other out-of-pocket costs necessary for the operation of the Company and its
Assets incurred by the Advisor in performing its duties hereunder.

    


    Except as
specifically provided for above in (vi) related to shareholder services expenses
or as contemplated by Article 11, the expenses and payments subject to
reimbursement by the Company in this Section 10.01 do not include personnel and
related direct employment or overhead costs of the Advisor or Affiliates.
Further, the Company shall have no liability with respect to Organizational and
Offering Expenses incurred on its behalf or on behalf of the Company in
connection with the Third Offering. The Advisor shall pay for all such
Organizational and Offering Expenses.

    


    10.02      Reimbursement
to Advisor. Expenses incurred by the Advisor on behalf of the Company and
payable pursuant to this Article 10 shall be reimbursed to the Advisor within 10
days after the Advisor provides the Company with an invoice and supporting
documentation relating to such reimbursement.

    


    10.03      Reimbursement
to Company. The Company shall not reimburse the Advisor during any fiscal
quarter for Operating Expenses that, in the four consecutive fiscal quarters
then ended (the “Expense Year”), exceed the 2%/25% Guidelines for such year (the
“Excess Amount”), unless the Independent Directors determine that such excess
was justified, based on unusual and non-recurring factors which they deem
sufficient, in which case the Excess Amount may be reimbursed. Any Excess Amount
paid to the Advisor during a fiscal quarter without the Independent Directors
determining that such expenses were justified shall be repaid to the Company.
Within 60 days after the end of any fiscal quarter of the Company for which
total Operating Expenses for the Expense Year exceed the 2%/25% Guidelines and
the Independent Directors determined that such expenses were justified, there
shall be sent to the Shareholders a written disclosure of such fact, together
with an explanation of the factors the Independent Directors considered in
determining that such excess expenses were justified. Such determination shall
be reflected in the minutes of the meetings of the Board of Directors. The
Company will not reimburse the Advisor or its Affiliates for services for which
the Advisor or its Affiliates are entitled to compensation in the form of a
separate fee.

    


    ARTICLE
11

    


    OTHER
SERVICES

    


    Should
(i) the Company request that the Advisor or any manager, officer or employee
thereof render services for the Company other than as set forth in this
Agreement or (ii) there are changes to the regulatory environment in which the
Advisor or Company operates that would increase significantly the level of
services performed such that the costs and expenses borne by the Advisor for
which the Advisor is not entitled to separate reimbursement for personnel and
related employment direct costs and overhead under Article 10 of this Agreement
would increase significantly, such services shall be separately compensated at
such rates and in such amounts as are agreed by the Advisor and the Independent
Directors, subject to the limitations contained in the Articles of
Incorporation, and shall not be deemed to be services pursuant to the terms of
this Agreement.


    
      
         


      

      
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    ARTICLE
12

    


    RELATIONSHIP
OF THE ADVISOR AND COMPANY;

    OTHER
ACTIVITIES OF THE ADVISOR

    


    12.01  
  Relationship. To the fullest extent allowed by law, the Company and
the Advisor are not partners or joint venturers with each other, and nothing in
this Agreement shall be construed to make them such partners or joint venturers.
Nothing herein contained shall prevent the Advisor from engaging in other
activities, including, without limitation, the rendering of advice to other
Persons and the management of other programs advised, sponsored or organized by
the Advisor or its Affiliates. Nor shall this Agreement limit or restrict the
right of any manager, director, officer, employee, or equity holder of the
Advisor or its Affiliates to engage in any other business or to render services
of any kind to any other Person. The Advisor may, with respect to any investment
in which the Company is a participant, also render advice and service to each
and every other participant therein. The Advisor shall promptly disclose to the
Board of Directors the existence of any condition or circumstance, existing or
anticipated, of which it has knowledge, which creates or could create a conflict
of interest between the Advisor’s obligations to the Company and its obligations
to or its interest in any other Person.

    


    12.02      Time
Commitment. The Advisor shall, and shall cause its Affiliates and their
respective employees, officers and agents to, devote to the Company such time as
shall be reasonably necessary to conduct the business and affairs of the Company
in an appropriate manner consistent with the terms of this Agreement. The
Company acknowledges that the Advisor and other Affiliates of Hartman and their
respective employees, officers and agents may also engage in activities
unrelated to the Company and may provide services to Persons other than the
Company or any of its Affiliates.

    


    12.03      Investment
Opportunities and Allocation. The Advisor shall be required to use commercially
reasonable efforts to present a continuing and suitable investment program to
the Company which is consistent with the investment policies and objectives of
the Company, but neither the Advisor nor any Affiliate of the Advisor shall be
obligated generally to present any particular investment opportunity to the
Company even if the opportunity is of character which, if presented to the
Company, could be taken by the Company. In the event an investment opportunity
is located, the allocation procedure set forth under the caption “Conflicts of
Interest-Competitive Activities of Hartman and its Affiliates” in any Prospectus
(as may be amended from time to time) shall govern the allocation of the
opportunity among the Company and Affiliates of the Advisor.


    
      
         


      

      
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    ARTICLE
13

    


    THE
HARTMAN NAME

    


    The
Advisor, Hartman and their Affiliates have a proprietary interest in the name
“Hartman”. The Advisor hereby grants to the Company a non-transferable,
non-assignable, non-exclusive royalty-free right and license to use the name
“Hartman” during the term of this Agreement. Accordingly, and in recognition of
this right, if at any time the Company ceases to retain Hartman or an Affiliate
thereof to perform the services of the Advisor, the Company (including the
Operating Partnership, if formed) will, promptly after receipt of written
request from Hartman, cease to conduct business under or use the name “Hartman”
or any derivative thereof and the Company and the Operating Partnership shall
change the name of the Company and the Operating Partnership to a name that does
not contain the name “Hartman” or any other word or words that might, in the
reasonable discretion of the Advisor, be susceptible of indication of some form
of relationship between the Company and the Advisor or any Affiliate thereof. At
such time, the Company will also make any changes to any trademarks, service
marks or other marks necessary to remove any references to the word “Hartman”.
Consistent with the foregoing, it is specifically recognized that the Advisor or
one or more of its Affiliates has in the past and may in the future organize,
sponsor or otherwise permit to exist other investment vehicles (including
vehicles for investment in real estate) and financial and service organizations
having “Hartman” as a part of their name, all without the need for any consent
(and without the right to object thereto) by the Company or the Operating
Partnership, if formed.

    


    ARTICLE
14

    


    TERM AND
TERMINATION OF THE AGREEMENT

    


    14.01      Term.
This Agreement shall have an initial term of one year from the date of the
Agreement. This Agreement may be renewed for an unlimited number of successive
one-year terms upon mutual consent of the parties. Any such renewal must be
approved by a majority of the Independent Directors. The Company (through the
Independent Directors) will evaluate the performance of the Advisor annually
before renewing the Agreement, and each such renewal shall be for a term of no
more than one year.  The Advisor, at no charge to the Company, shall
provide the Independent Directors with a report, no less than thirty (30) days
before the annual expiration of this Agreement’s term, setting forth all of the
compensation, in total and by category, that the Company has paid and is
expected to pay to the Advisor in the current year and in the two most recently
completed years.

    


    14.02      Termination
by Either Party. This Agreement may be terminated upon 60 days’ written notice
without cause or penalty by either party.

    


    14.03      Termination
by the Company. This Agreement may be terminated immediately by the Company upon
(i) any fraudulent conduct, criminal conduct, willful misconduct or the
negligent breach of fiduciary duty of or by the Advisor, (ii) a material breach
of this Agreement by the Advisor not cured within 30 days after the Advisor
receives written notice of such breach, or (iii) an event of the bankruptcy of
the Advisor or commencement of any bankruptcy or similar insolvency proceedings
of the Advisor.  If the Company elects to terminate the Agreement
under Sections 14.02 or 14.03, the Company first shall have obtained the
approval of a majority of its independent directors.

    


    14.04      Termination
by the Advisor. This Agreement may be terminated immediately by the Advisor in
the event of (i) the bankruptcy of the Company or commencement of any bankruptcy
or similar insolvency proceedings of the Company, or (ii) any material breach of
this Agreement by the Company not cured by the Company within 10 days after
written notice thereof.


    
      
         


      

      
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    14.05      Payments
on Termination and Survival of Certain Rights and Obligations.

    


    (i) After
the Termination Date, the Advisor shall not be entitled to compensation for
further services hereunder except it shall be entitled to receive from the
Company within 30 days after the effective date of such termination all unpaid
reimbursements of expenses and all earned but unpaid fees payable to the Advisor
prior to termination of this Agreement.

    


    (ii) The
Advisor shall promptly upon termination:

    


    (a) pay
over to the Company all money collected pursuant to this Agreement, if any,
after deducting any accrued compensation and reimbursement for its expenses to
which it is then entitled;

    


    (b)
deliver to the Directors a full accounting, including a statement showing all
payments collected by it and a statement of all money held by it, covering the
period following the date of the last accounting furnished to the
Directors;

    


    (c)
deliver to the Directors all assets and documents of the Company then in the
custody of the Advisor; and

    


    (d)
cooperate with the Company to provide an orderly transition of advisory
functions.

    


    Upon the
expiration or termination of this Agreement, neither party shall have any
further rights or obligations under this Agreement, except that Articles 13, 16,
17 and section 9.05 of Article 9 shall survive the termination or expiration of
this Agreement.

    


    ARTICLE
15

    


    ASSIGNMENT

    


    This
Agreement may be assigned by the Advisor to an Affiliate with the consent of the
Company by approval of a majority of the Independent Directors. The Advisor may
assign any rights to receive fees or other payments under this Agreement without
obtaining the approval of the Board of Directors. This Agreement shall not be
assigned by the Company without the consent of the Advisor.

    


    ARTICLE
16

    


    INDEMNIFICATION
AND LIMITATION OF LIABILITY

    


    16.01      Indemnification
by the Company. The Company shall indemnify and hold harmless the Advisor and
its Affiliates, including their respective managers, officers, directors,
partners and employees, from all liability, claims, damages or losses arising in
the performance of their duties hereunder, and related expenses, including
reasonable attorneys’ fees, to the extent such liability, claims, damages or
losses and related expenses are not fully reimbursed by insurance, subject to
any limitations imposed by the laws of the State of Texas, the Articles of
Incorporation or Agreement of Limited Partnership of the Company, provided that:
(i) the Advisor and its Affiliates have determined that the course of conduct
which caused the loss or liability was in the best interests of the Company,
(ii) the Advisor and its Affiliates were acting on behalf of or performing
services for the Company, (iii) the indemnified claim was not the result of
negligence, misconduct, or fraud of the indemnified person or resulted from a
breach of the agreement by the Advisor, and (iv) in the event the loss,
liability or expense arises from or out of an alleged violation of federal or
state securities laws by the Advisor or its Affiliates, the conditions set forth
in Section 12.2(e) of the Articles of Incorporation must be satisfied for the
Company to provide such indemnification. Any indemnification of the Advisor may
be made only out of the net assets of the Company and not from the
Shareholders.


    
      
         


      

      
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    16.02      Indemnification
by the Advisor. Subject to Section 16.01 above, the Advisor shall indemnify and
hold harmless the Company from contract or other liability, claims, damages,
taxes or losses and related expenses, including attorneys’ fees, to the extent
that such liability, claims, damages, taxes or losses and related expenses are
not fully reimbursed by insurance and are incurred by reason of the Advisor’s
bad faith, fraud, willful misconduct or reckless disregard of its duties, but
the Advisor shall not be held responsible for any action of the Board of
Directors in following or declining to follow any of the Advisor’s advice or
recommendation. The parties hereto intend that the indemnities set forth in this
agreement be construed and applied as written notwithstanding any rule of
construction to the contrary. Without limiting the foregoing, the indemnities
shall, to the fullest extent allowed by law, and to the extent provided in this
agreement, apply notwithstanding any state’s “express negligence rule” or
similar rule that would deny coverage based on an indemnified person’s sole,
concurrent or contributory active or passive negligence or strict liability or
gross negligence. It is the intent of the parties that, to the extent provided
in this agreement, the indemnities set forth herein shall, to the fullest extent
allowed by law, apply to an indemnified person’s sole, concurrent or
contributory active or passive negligence or strict liability or gross
negligence. The parties agree that this provision is “conspicuous” for purposes
of all state laws.

    


    16.03 The
Advisor’s Liability.

    


    (i)  Subject
to Section 16.01 above, but notwithstanding any provisions other than Section
16.01 of this Agreement, in no event shall the Company make any claim against
the Advisor, or its Affiliates, on account of any good faith interpretation by
the Advisor of the provisions of this Agreement (even if such interpretation is
later determined to be a breach of this Agreement) or any alleged errors in
judgment made in good faith and in accordance with this Agreement in connection
with the operation of the operations of the Company hereunder by the Advisor or
the performance of any advisory or technical services provided by or arranged by
the Advisor. The provisions of this Section 16.03(i) shall not be deemed to
release the Advisor from liability for its gross negligence.

    


    (ii) The
Company shall not object to any expenditures made by the Advisor in good faith
in the course of its performance of its obligations under this Agreement or in
settlement of any claim arising out of the operation of the Company unless such
expenditure is specifically prohibited by this Agreement. The provisions of this
Section 16.03(ii) shall not be deemed to release the Advisor from liability for
its negligence or misconduct.


    
      
         


      

      
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    (iii) in
no event will either party be liable for damages based on loss of income, profit
or savings or indirect, incidental, consequential, exemplary, punitive or
special damages of the other party or person, including third parties, even if
such party has been advised of the possibility of such damages in advance, and
all such damages are expressly disclaimed. In no event will the Advisor’s
aggregate liability under this agreement ever exceed the total amount of fees it
actually receives from the Company pursuant to Article 9.

    


    (iv) the
parties hereto intend that the release from liability set forth in section 16.03
be construed and applied as written notwithstanding any rule of construction to
the contrary. Without limiting the foregoing, the release from liability shall,
to the fullest extent allowed by law, apply notwithstanding any state’s “express
negligence rule” or similar rule that would deny coverage based on a person’s
sole, concurrent or contributory active or passive negligence or strict
liability. It is the intent of the parties that, to the extent provided in
section 16.03, the release from liability set forth herein shall, to the fullest
extent allowed by law, apply to a released person’s sole, concurrent or
contributory active or passive negligence or strict liability. The parties agree
that this provision is “conspicuous” for purposes of all state
laws.

    


    ARTICLE
17

    


    MISCELLANEOUS

    


    17.01      Notices.
Any notice, report or other communication required or permitted to be given
hereunder shall be in writing unless some other method of giving such notice,
report or other communication is required by the Articles of Incorporation, the
Bylaws, or accepted by the party to whom it is given, and shall be given by
being delivered by hand or by overnight mail or other overnight delivery service
to the addresses set forth herein:

    


    To the
Company, the Operating Partnership or the Directors:

     

    Hartman
Short Term Income Properties XX, Inc.

    2909
Hillcroft Suite 420

    Houston,
Texas 77057-5815

    


    To the
Advisor:

    


    Hartman
Advisors, LLC

    2909
Hillcroft Suite 420

    Houston,
Texas 77057-5815

    


    Either
party may at any time give notice in writing to the other party of a change in
its address for the purposes of this Section 17.01.

    


    17.02      Modification.
This Agreement shall not be changed, modified, terminated, or discharged, in
whole or in part, except by an instrument in writing signed by both parties
hereto, or their respective successors or assignees.

    


    17.03      Severability.
The provisions of this Agreement are independent of and severable from each
other, and no provision shall be affected or rendered invalid or unenforceable
by virtue of the fact that for any reason any other or others of them may be
invalid or unenforceable in whole or in part.


    
      
         


      

      
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    17.04      Construction.
The provisions of this Agreement shall be construed and interpreted in
accordance with the laws of the State of Texas.

    


    17.05      Entire
Agreement. This Agreement contains the entire agreement and understanding among
the parties hereto with respect to the subject matter hereof, and supersedes all
prior and contemporaneous agreements, understandings, inducements and
conditions, express or implied, oral or written, of any nature whatsoever with
respect to the subject matter hereof. The express terms hereof control and
supersede any course of performance and/or usage of the trade inconsistent with
any of the terms hereof. This Agreement may not be modified or amended other
than by an agreement in writing.

    


    17.06      Waiver.
Neither the failure nor any delay on the part of a party to exercise any right,
remedy, power or privilege under this Agreement shall operate as a waiver
thereof, nor shall any single or partial exercise of any right, remedy, power or
privilege preclude any other or further exercise of the same or of any other
right, remedy, power or privilege, nor shall any waiver of any right, remedy,
power or privilege with respect to any occurrence be construed as a waiver of
such right, remedy, power or privilege with respect to any other occurrence. No
waiver shall be effective unless it is in writing and is signed by the party
asserted to have granted such waiver.

    


    17.07      Gender.
Words used herein regardless of the number and gender specifically used, shall
be deemed and construed to include any other number, singular or plural, and any
other gender, masculine, feminine or neuter, as the context
requires.

    


    17.08      Titles
Not to Affect Interpretation. The titles of Articles and Sections contained in
this Agreement are for convenience only, and they neither form a part of this
Agreement nor are they to be used in the construction or interpretation
hereof.

    


    17.09      Counterparts.
This Agreement may be executed in any number of counterparts, each of which
shall be deemed to be an original as against any party whose signature appears
thereon, and all of which shall together constitute one and the same instrument.
This Agreement shall become binding when one or more counterparts hereof,
individually or taken together, shall bear the signatures of all of the parties
reflected hereon as the signatories


    
      
         


      

      
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    IN WITNESS WHEREOF, the
parties hereto have executed this Advisory Agreement as of the date and year
first above written.

    


    ADVISOR

    


    
      
        
          
            	
                    HARTMAN
      ADVISORS, LLC

                  
	 
      	 
      
	
                    By:

                  	 
      
	 
      	
                    Allen
      R. Hartman,
Manager

                  


          

        

      

    

    


    COMPANY

    


    
      
        
          
            	
                    HARTMAN
      SHORT TERM INCOME PROPERTIES XX, INC.

                  
	 
      	 
      
	
                    By:

                  	 
      
	 
      	
                    Allen
      R. Hartman,
President

                  


          

        

      

    


    
      
         


      

      
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