##### 



Exhibit 10.4
  CREDIT AGREEMENT
    HINES REIT 3100 MCKINNON STREET LP,
HINES REIT 1900/2000 ALAMEDA DE LAS PULGAS LLC,
HINES REIT 321 NORTH CLARK STREET LLC  THE BORROWING BASE SUBSIDIARIES PARTY HERETO FROM TIME TO TIME,
 HINES REIT PROPERTIES, L.P.,
 HSH NORDBANK AG, NEW YORK BRANCH   THE LENDERS PARTY HERETO FROM TIME TO TIME,
  HSH NORDBANK AG, NEW YORK BRANCH,




---



##### 



PageARTICLE I Definitions
    
    
    1SECTION 1.01. Defined Terms
    
    
    1SECTION 1.02. Terms Generally
    
    
    30SECTION 1.03. Accounting Terms; GAAP
    
    
    30ARTICLE II The Credits
    
    
    31SECTION 2.01. Commitments
    
    
    31SECTION 2.02. Loans and Borrowings
    
    
    31SECTION 2.03. Requests for Borrowings
    
    
    31SECTION 2.04. Funding of Borrowings
    
    
    32SECTION 2.05. LIBOR Rate Periods
    
    
    33SECTION 2.06. Termination and Reduction of Commitments
    
    
    33SECTION 2.07. Additional Interest
    
    
    33SECTION 2.08. Evidence of Debt
    
    
    34SECTION 2.09. Prepayment of Loans; Certain Other Payments
    
    
    35SECTION 2.10. Fees
    
    
    37SECTION 2.11. Interest
    
    
    38SECTION 2.12. Unavailability of LIBOR
    
    
    38SECTION 2.13. Increased Costs and Capital Adequacy
    
    
    39SECTION 2.14. Joint and Several Liability of Borrowers
    
    
    40SECTION 2.15. No Withholdings
    
    
    42SECTION 2.16. Payments Generally; Pro Rata Treatment;
Sharing of Set-offs
    
    
    43SECTION 2.17. Cash Management Accounts
    
    
    44SECTION 2.18. Interest Rate Protection Agreement
    
    
    47SECTION 2.19. Tenant Security Deposits
    
    
    51SECTION 2.20. Additional Collateral
    
    
    52SECTION 2.21. Lease Termination Account
    
    
    54SECTION 2.22. Substitution of Initial Limited Payment Guaranty
    
    
    55ARTICLE III Representations and Warranties
    
    
    58SECTION 3.01. Existence and Power
    
    
    58SECTION 3.02. Authorization; No Contravention
    
    
    58SECTION 3.03. Binding Effect
    
    
    59SECTION 3.04. Financial Information
    
    
    59SECTION 3.05. Litigation
    
    
    59SECTION 3.06. Compliance with Laws and Agreements
    
    
    60SECTION 3.07. Use of Proceeds
    
    
    60SECTION 3.08. Compliance with ERISA
    
    
    60SECTION 3.09. Taxes
    
    
    60SECTION 3.10. Properties
    
    
    61SECTION 3.11. Defaults
    
    
    63SECTION 3.12. Offsets and Defenses
    
    
    63
 i




---



##### 



PageSECTION 3.13. Holding Company Status
    
    
    63SECTION 3.14. Full Disclosure
    
    
    64SECTION 3.15. Security Interest and Liens
    
    
    64SECTION 3.16. Liens on Ownership Interests
    
    
    64SECTION 3.17. Solvency
    
    
    64SECTION 3.18. Space Lease
    
    
    65SECTION 3.19. Federal Reserve Regulations
    
    
    66SECTION 3.20. Foreign Person
    
    
    66SECTION 3.21. Control Person
    
    
    66SECTION 3.22. Name; Principal Place of Business
    
    
    67SECTION 3.23. Brokerage
    
    
    67SECTION 3.24. Purpose of Borrower
    
    
    67SECTION 3.25. Organizational and Operational Restrictions
    
    
    67SECTION 3.26. Usury
    
    
    67SECTION 3.27. Patriot Act
    
    
    68SECTION 3.28. Conditions to Closing
    
    
    68SECTION 3.29. REAs
    
    
    68SECTION 3.30. Ground Lease
    
    
    69ARTICLE IV Conditions to Funding; Security and Collateral
    
    
    69SECTION 4.01. Conditions to Closing
    
    
    69SECTION 4.02. Each Borrowing after Initial Loans
    
    
    71SECTION 4.03. Addition of Properties as Borrowing Base Properties
    
    
    74SECTION 4.04. Removal of Borrowing Base Properties
    
    
    81ARTICLE V Affirmative Covenants
    
    
    84SECTION 5.01. Financial Reporting
    
    
    84SECTION 5.02. Payment of Obligations
    
    
    86SECTION 5.03. Maintenance of Property
    
    
    87SECTION 5.04. Compliance with Laws and Documents
    
    
    87SECTION 5.05. Inspection of Property, Books and Records
    
    
    88SECTION 5.06. Use of Proceeds
    
    
    88SECTION 5.07. Environmental Matters
    
    
    88SECTION 5.08. Taxes; Certain Liens
    
    
    89SECTION 5.09. Security Interests and Defense of Title
    
    
    89SECTION 5.10. REIT Status
    
    
    90SECTION 5.11. Litigation and Other Notices
    
    
    90SECTION 5.12. Additional Borrowers
    
    
    92SECTION 5.13. Further Assurances
    
    
    92SECTION 5.14. Appraisals
    
    
    92SECTION 5.15. Utilities
    
    
    93SECTION 5.16. Maintenance of Existence
    
    
    93SECTION 5.17. Patriot Act Compliance
    
    
    93
 ii




---



##### 



PageSECTION 5.18. Estoppel Certificates
    
    
    93SECTION 5.19. Required Insurance
    
    
    94SECTION 5.20. Damage or Destruction
    
    
    95SECTION 5.21. Taking of the Mortgaged Property
    
    
    100SECTION 5.22. Application of Proceeds of Casualty or Taking
to Loan; Loan Repayment
    
    
    102SECTION 5.23. Debt Service Coverage Ratio
    
    
    102SECTION 5.24. Borrowing Base Loan Amount
    
    
    103SECTION
5.25. Post-Closing Obligations
    
    
    103SECTION 5.26. Leasing
    
    
    104SECTION 5.27. REAs
    
    
    105SECTION 5.28. Ground Leases
    
    
    105ARTICLE VI Negative Covenants
    
    
    107SECTION 6.01. Indebtedness
    
    
    107SECTION 6.02. Liens
    
    
    108SECTION 6.03. Fundamental Changes; Certain Transfers of
Collateral and Equity Interest
    
    
    108SECTION 6.04. Investments, Loans, Advances, Guarantees and
Acquisitions
    
    
    109SECTION 6.05. Restricted Payments
    
    
    109SECTION 6.06. Interest Rate Protection Agreements
    
    
    109SECTION 6.07. Transactions with Affiliates
    
    
    109SECTION 6.08. Modification of Documents; Management
Agreements; New Accounts
    
    
    110SECTION 6.09. Negative Pledges, etc.
    
    
    110SECTION 6.10. Intentionally Omitted
    
    
    110SECTION 6.11. Sole Purpose of Borrowing Base Subsidiaries
    
    
    110SECTION 6.12. Changes in Zoning
    
    
    111SECTION 6.13. ERISA
    
    
    111SECTION 6.14. Adverse Contracts
    
    
    111SECTION 6.15. Alterations
    
    
    111SECTION 6.16. KeyBank Revolving Credit Facility
    
    
    111ARTICLE VII Events of Default
    
    
    112ARTICLE VIII Agent and The Lenders
    
    
    115SECTION 8.01. Appointment of Agent
    
    
    115SECTION 8.02. Agents Rights as a Lender
    
    
    115SECTION 8.03. Agent Obligations
    
    
    115SECTION 8.04. Right to Rely
    
    
    116SECTION
8.05. Appointment of Sub-Agents
    
    
    116SECTION 8.06. Release of Collateral
    
    
    116SECTION 8.07. Perfection of Lien by Possession; Appointment
of Lenders
    
    
    117
 iii




---



##### 



PageSECTION 8.08. Bankruptcy of Any Borrower
    
    
    117SECTION 8.09. Resignation; Successor Agent
    
    
    117SECTION 8.10. Lenders Independent Analysis
    
    
    118SECTION 8.11. Defaults by Any Lender
    
    
    118ARTICLE IX Miscellaneous
    
    
    120SECTION 9.01. Notices
    
    
    120SECTION 9.02. Each Borrower as Agent for Each Other
    
    
    122SECTION 9.03. Waivers; Amendments
    
    
    123SECTION 9.04. Expenses; Indemnity; Damage Waiver
    
    
    124SECTION 9.05. Successors and Assigns
    
    
    125SECTION 9.06. Survival
    
    
    127SECTION 9.07. Counterparts; Integration; Effectiveness
    
    
    128SECTION 9.08. Severability
    
    
    128SECTION 9.09. Right of Setoff
    
    
    128SECTION 9.10. Governing Law; Jurisdiction; Consent to
Service of Process
    
    
    128SECTION 9.11. Waiver of Jury Trial
    
    
    129SECTION 9.12. Headings
    
    
    129SECTION 9.13. Confidentiality
    
    
    130SECTION 9.14. Interest Rate Limitation
    
    
    130SECTION 9.15. Determinations and Consent of Agent
    
    
    131SECTION 9.16. No Joint Venture
    
    
    131SECTION 9.17. Limitation on Liability
    
    
    131
 iv




---



##### 



EXHIBITS
 Exhibit A-1
    
    
    
    Legal Description of Alameda PropertyExhibit A-2
    
    
    
    Legal Description of McKinnon PropertyExhibit A-3
    
    
    
    Legal Description of North Clark PropertyExhibit B
    
    
    
    List of Letters of CreditExhibit C-1
    
    
    
    Form of Account Agreement (with notice)Exhibit C-2
    
    
    
    Form of Account Agreement (without notice)Exhibit D
    
    
    
    Form of Borrowing Base CertificateExhibit E
    
    
    
    Form of Borrowing Base Property Compliance CertificateExhibit F
    
    
    
    CommitmentsExhibit G
    
    
    
    Disclosed Matters as to LitigationExhibit H
    
    
    
    Acceptable Major Metropolitan MarketExhibit I
    
    
    
    Form of Estoppel CertificateExhibit J
    
    
    
    Form of Managers Cooperation AgreementExhibit K
    
    
    
    Form of Mortgage/Deed of Trust/Deed to Secure DebtExhibit L
    
    
    
    Form of Assignment of Leases and RentsExhibit M
    
    
    
    Form of Assignment and AssumptionExhibit N
    
    
    
    Schedule of Material Operating AgreementsExhibit O
    
    
    
    AccountsExhibit P
    
    
    
    Contractual Restrictions regarding LiensExhibit Q
    
    
    
    Schedule of Registered TrademarksExhibit R
    
    
    
    Rent RollExhibit S
    
    
    
    Form of SNDAExhibit T
    
    
    
    Insurance PoliciesExhibit U
    
    
    
    SPE CovenantsExhibit V
    
    
    
    Exceptions to RepresentationsExhibit W
    
    
    
    Assignment of Leases of Rents and Mortgages relating to the Initial Borrowing Base PropertiesExhibit X
    
    
    
    Form of Westin REA Estoppel
 v




---



##### 



CREDIT AGREEMENT Agreement HINES REIT 3100
MCKINNON STREET LP McKinnon LP HINES REIT 1900/2000
ALAMEDA DE LAS PULGAS LLC Alameda LLC HINES REIT
321 NORTH CLARK STREET LLC North Clark LLC Borrower Borrowers HINES REIT PROPERTIES, L.P. Sponsor HSH NORDBANK AG, NEW YORK BRANCH Lender Lenders HSH NORDBANK AG, NEW YORK BRANCH Agent
 W I T N E S S E T H:
     Definitions
 Defined Terms
 Acceptable Major Metropolitan Market Exhibit H
 Accessibility Laws




---



##### 



Accounts
 Account Agreements Exhibit C-1 Exhibit C-2
 Additional Collateral Sections 4.04(a) 5.23 5.24 Section 2.20
 Additional Collateral Account Section 2.20(b)
 Additional Collateral Value
 Additional Interest Sections 2.07 2.13 2.15
 Administrative Questionnaire
 Advisor
 Advisory Agreement
 2




---



##### 



Affiliate
 Agent
 Aggregate Vacancy Rate Section 1.1
 Alameda LLC
 Alameda Property Exhibit A-1
 Allocated Title Amount provided however
 Applicable Margin
 Applicable Percentage
 Appraisal
 3




---



##### 



Appraised Value
 Assignment and Assumption Section
9.05 Exhibit M
 Assignments of Agreements
 Assignments of Leases and Rents Exhibit W Exhibit L provided however Exhibit
L
 Authorized Officer
 Availability
 4




---



##### 



Availability Period
 Base Rate plus plus
 Board
 Borrower Borrowers
 Borrowers Certificate
 Borrowing
 Borrowing Base Certificate Exhibit D
 Borrowing Base Loan Amount
 plus Section 4.04(a)
    Borrowing Base Net Operating Income
 5




---



##### 



Borrowing Base Operating Expenses
 Borrowing Base Operating Revenues
 Borrowing Base Property Section 4.03
 Borrowing Base Property Compliance Certificate Exhibit E
 Borrowing Base Subsidiary
 6




---



##### 



Borrowing Base Subsidiary Section 4.04(b)
 Borrowing Request Section 2.03
 Business Day
 Capital Lease Obligations
 Capital Repair Guaranty Amount
 Cash Management Accounts Section 2.17(a)
 Casualty
 Casualty Proceeds Disbursement Threshold Section
5.20(b)
 CERCLA
 Change in Control
 7




---



##### 



Closing
 Code
 Collateral
 Collateral Letter of Credit
 Commercial Spread
 Commitment Section 2.06 Section 9.05 Exhibit F Section 9.05 Exhibit F
 Commitment Fee Section 2.10(a)
 Commitment Fee Rate
 Comparable Building Standards
 8




---



##### 



Consolidated consolidated
 Consolidated Subsidiaries
 Control Controlling Controlled
 Credit Exposure
 Credit Party
 Debt Service Coverage Ratio
 Sections 2.20 5.01 5.23 Sections 2.20 5.01 5.24
 Operative Day clause (b)
 9




---



##### 



Deemed DSCR Deficiency Amount Section 4.04
 Deemed LTV Deficiency Amount Section 4.04
 Default
 Default Rate Section 2.11(b)
 Defaulting Lender Section 8.11(a)
 Disclosed Matters Exhibit
G
 Dollars dollars $
 DSCR Deficiency Amount Section 5.23
 DSCR Due Date Section 5.23
 Effective Date
 Environmental Indemnity
 Environmental Laws
 Environmental Losses
 Equity Interests
 ERISA
 ERISA Affiliate
 ERISA Event
 10




---



##### 



Estoppel Certificate Exhibit I
 Event of Default Article VII
 Facility Maturity Date
 Federal Funds Effective Rate
 Financing Documents
 Fitch
 Five Year Loan
 11




---



##### 



Full Recourse Event clause (h) Section 1.01
 GAAP Section 1.03
 Governmental Authority
 Ground Lease
 Ground Rent
 Guarantor provided however Section 2.22
 Guarantor Financial Covenants
 Guaranty Collateral Section 2.22
 Guaranty Collateral Account Section 2.22
 Guaranty Collateral Amount
 Guaranty Letter of Credit
 12




---



##### 



Hazardous Substances
 Identified Investment Accounts Exhibit
O
 Improvements
 Imputed Debt Service
 Imputed Loan Amount
 Indebtedness
    13




---



##### 



Individual Vacancy Rate Section 1.1 Section 1.1
 Initial Borrowing Base Properties
 Initial Capital Repair Guaranty Amount
 Initial Interest Rate Protection Agreement
 Initial Limited Payment Guaranty
 14




---



##### 



Initial Loan
 Insolvency Proceeding
 Insurance Policies Exhibit T
 Interest
 Interest Rate Protection Agreement Section 2.18
 Investment Package Section 4.03(a)
 KeyBank
 KeyBank Guaranty Related Amendment Section 2.22
 KeyBank Revolving Credit Facility Section 6.16
 Lease Termination Account Section 2.21
 Lease Termination Payments
 Leasing Commissions and Tenant Improvement Costs
 15




---



##### 



Legal Requirements
 Lender Lenders
 Lender Interest Rate Protection Agreement
 LIBOR
 LIBOR Banking Day
 16




---



##### 



LIBOR Rate
 LIBOR Rate Period provided clause (a)
 Lien
 Limited Payment Guaranty Section 2.22
 Loan Fee Letter
 Loan-to-Value Ratio
 Loan Year
 Loans
 LTV Deficiency Amount Section 5.24
 LTV Due Date Section 5.24
 17




---



##### 



Majority Lenders
 Management Agreement
 Manager
 Managers Cooperation Agreement Exhibit J
 Margin Stock
 Material Adverse Effect
 Material Indebtedness
 Material Operating Agreements Exhibit N
 Material Taking
 18




---



##### 



Maturity Date Maturity
Date
 Maximum Loan Amount Section 2.06(a) (b)
 McKinnon LP
 McKinnon Property Exhibit A-2
 Minimum Required Liquidity Amount
 Moodys
 Mortgaged Property
 Mortgages Exhibit
W Exhibit K provided however Exhibit
K provided further that
 19




---



##### 



Multiemployer Plan
 Net Proceeds
 Net Restoration Award
 North Clark LLC
 North Clark Property Exhibit A-3
 Note
 Obligations
 Operating Account Section 2.19
 20




---



##### 



Operating Agreements
 Participant Section 9.05
 Patriot Act
 PBGC
 Permitted Encumbrances
 Section 5.08
 Section 5.08
     21




---



##### 



provided
 Permitted Forward Swap Agreement Section
2.18(b)
 Permitted Indebtedness
 Permitted Investments
     clause (a) clause (c)
  22




---



##### 



clauses
(a) (f)
 Person
 Plan
 Premises Documents
 Prepayment Fee
    23




---



##### 



provided however Sections 5.22 5.23 5.24
 Pro Rata Share
 Property Property
 Property Leasing Guaranty Amount Section 2.22
 Property Owner Property Owner
 Proposed Addition Date Section 4.03(a)
 Proposed Removal Date Section 4.04
 Qualified Counterparty
 REA
 24




---



##### 



Real Estate Investment Trust
 Recourse Liability Agreement
 Recourse Liability Events
   Section 2.17 Section 2.19(a) Section 2.17(f)
 Section 6.05
    clause (h) Article
VII clause
(g) Article VII clause
(g)
 Register Section 9.05
 25




---



##### 



Regulation T
 Regulation U
 Regulation X
 REIT
 Related Parties
 Release Released
 Release Conditions Section 5.20(d)(i)
 Rent Roll Section 3.18
 Required Lenders
 Restoration
 26




---



##### 



Restricted Payment
 S&P
 Security Agreements
 Security Deposits Section 2.19(a)
 Security Documents
 Security Interests
 Seven Year Loan
 Single Purpose Bankruptcy Remote Entity Exhibit
U
 Solvent
 Space Lease Space Leases
 Space Lease Letter of Credit
 Space Lease Rents
 27




---



##### 



Specified Substitution Date Section 2.22
 Sponsor
 Subsidiary subsidiary parent
 Substitute Limited Payment Guaranty Section
2.22
 Successor Agent Requirements Section 8.09
 Survey
 Swap Rate
 Taking
 Taxes
 28




---



##### 



Ten Year Loan
 Tenant
 Tenant Security Account Section 2.19
 Term
 Testing Determination Date Section 5.01(h)
 Title Continuation
 Title Insurance Policy
 Total Commitments
 Transactions
 29




---



##### 



Transfer
 Withdrawal Liability
 Terms Generally
 Accounting Terms; GAAP provided
 30




---



##### 



The Credits
 Commitments provided that
 Loans and Borrowings
 provided
 provided
  Section 2.03
 Requests for Borrowings provided however
 31




---



##### 



Section 2.02
    provided
 Section 2.04
 Section 2.03 Section 2.03 Section 4.02
 Funding of Borrowings
  Section 2.04(a)
 32




---



##### 



LIBOR Rate Periods
 Termination and Reduction of Commitments
    Additional Interest
 Section 2.03
 33




---



##### 



clause (a) Section 2.07
 Evidence of Debt
   Sections 2.08(a) (b) prima facie provided
  34




---



##### 



Section 1.01 Section 9.05
 Prepayment of Loans; Certain Other Payments
 Principal Payment at Maturity
 Optional Prepayments Section
2.09(d) Section 2.09(b)
 Mandatory Prepayments
 Section 5.23 Section 4.03 clause (ii)(z) Section 5.23
 Section 5.24 Section 4.03 clause (iii)(z) Section 5.24
 35




---



##### 



Section 5.22
 Prepayment Notice Section 2.09(c) Section 2.09(e)
 Reduction of Lender Interest Rate Protection Agreement Section 2.18(i) clauses (i) (ii) Section 2.09(e) provided however Section 2.18(i) provided further however Section 2.18(i)
 36




---



##### 



clauses (ii) (iii) Section 2.09(e) Section 2.09(e) rd Section 2.09(e) rd rd
 Other Sums
 No Set-offs, etc.
 Fees
 Commitment Fee Section 4.02
  37




---



##### 



Interest
  Section
2.11(a) Default Rate
 provided Section 2.11(b)
   Unavailability of LIBOR
   provided however
 38




---



##### 



Increased Costs and Capital Adequacy
   Section 2.13(a) (b)
 39




---



##### 



Joint and Several Liability of Borrowers Section 9.17
  Section 2.14
  Section 2.14
  40




---



##### 



Section 2.14 Section 2.14 Section 2.14 Section 2.14
   41




---



##### 



Claiming Borrower Contributing
Borrower provided however Section 2.14(h) Section 2.14(h) Section 9.17
 No Withholdings provided however Section 2.15
 42




---



##### 



Section 2.15
 Payments Generally; Pro Rata Treatment; Sharing of Set-offs
    43




---



##### 



provided Section 2.16(c) Section
2.16(c)
  Cash Management Accounts
 Section 2.21 Cash Management
Accounts
  44




---



##### 



Section
6.05
  Section 4.03 Section 2.17 provided
 subject however Section 6.05
 45




---



##### 



Section 2.17(e) Section 2.17(d)
 Section 6.05
 Section 2.17(f))
 46




---



##### 



Interest Rate Protection Agreement
 Interest Rate Protection Agreement Section 1.01 Section 2.09(e) 2.18(i)
  Section 2.09(e) 2.18(i)
     47




---



##### 



clause (v) Interest Rate Protection Agreement
Consent
  Forward Interest Rate Protection Agreements Section 2.18(a) clauses (ii) (vi) Section 2.18(a) Permitted Forward Swap Agreements Section 1.1 rd
 Failure to Provide Interest Rate Protection Section 2.18(a) Section 2.18(a) Section 2.18(a) Section 2.18
 48




---



##### 



Obligation of Borrowers Unaffected by Interest Rate Protection Agreement
 Termination, etc. of Interest Rate Protection Agreement Section 2.09(e) 2.18(i) Section 2.18(a)
 Receipts from Interest Rate Protection Agreements provided however provided further however provided however
 Security pari passu pari passu
 Interest Rate Protection Agreements
 49




---



##### 



Section 2.18(f)
 Additional Interest Rate Protection Agreements Section 2.18 Section 2.09(e) provided further however Section 2.18(i) Section 2.09(e) Section 2.09(e) clauses (i) (ii) Section 2.18(i) Section 2.18(i) Section 2.18 rd Section 2.18(i) rd rd
 50




---



##### 



Tenant Security Deposits
 Security Deposits Tenant Security Account Section 2.19
 Section 2.19
  51




---



##### 



Section
2.19
  Additional Collateral
 Sections 4.04(a) 5.23(b) 5.24(b)
 Additional Collateral Account
 52




---



##### 



Section 2.16 Section
2.20
 53




---



##### 



Sections 4.03(a) 5.23 5.24
 Section 2.20
 Lease Termination Account
 Lease Termination
Account
 clause (y)
 54




---



##### 



clause (y) Section 2.21(b)
 Substitution of Initial Limited Payment Guaranty
 Section 6.16 KeyBank Guaranty Related Amendment Section
2.22(b) Specified Substitution Date Section 2.22(b)
 Section 2.22(d)
     Substitute Limited Payment
Guaranty
 55




---



##### 



Section 2.22(b) Guaranty Collateral
 Section 2.22(b) Section 2.22(c) clause (ii) clause (i) clause
(i) Section 2.22(b)
 Section 2.22(b) Section 2.22(b) clauses (iii) (iv) Section 5.01(e)
 56




---



##### 



Section 2.22 Guaranty Collateral
Account
 Section
2.16 Section 2.22
 57




---



##### 



Section 2.22
  Representations and Warranties
  Existence and Power
 Authorization; No Contravention
 58




---



##### 



Binding Effect
 Financial Information
    Litigation
 59




---



##### 



Compliance with Laws and Agreements
 Use of Proceeds
 Compliance with ERISA
 Taxes
 Section 5.08
 60




---



##### 



Properties
 Title
 Trademarks Exhibit Q
 Casualty/Taking
 61




---



##### 



Encroachments
 Defects
 Alterations
 Utilities and Access
 Equipment
 Tax Parcel Section 5.08
 Flood Hazards
 62




---



##### 



Employee Matters Exhibit V
 Insurance Policies Section 5.19
 Accounts Exhibit O
 Agreements Exhibit
N
 Defaults
 Offsets and Defenses
 Holding Company Status
 63




---



##### 



Full Disclosure provided
 Security Interest and Liens Section 6.02 Section 6.02 Exhibit P
 Liens on Ownership Interests Section 6.02
 Solvency
   64




---



##### 



Section 3.17(c)
 Space Lease Exhibit R Rent Roll Exhibit V Exhibit B
 65




---



##### 



Section 2.19
 Federal Reserve Regulations
   Foreign Person
 Control Person
 66




---



##### 



Name; Principal Place of Business
 Brokerage
 Purpose of Borrower
 Organizational and Operational Restrictions provided that
 Usury
 67




---



##### 



Patriot Act Patriot Act Offense Patriot Act Offense Government Lists OFAC
 Conditions to Closing Section 4.01 Section 4.02
 REAs
 68




---



##### 



Ground Lease Section 3.30
  Conditions to Funding; Security and Collateral
 Conditions to Closing Section 9.03
  69




---



##### 



Section 6.02
    clause (C)
 70




---



##### 



clause (C)
   Section 5.19
   Each Borrowing after Initial Loans Section 9.03
  71




---



##### 



provided however Section
4.03
 Section 4.01 clauses (g) (j) (k) Section 4.03 provided , clause (b)
 Section 2.18(a)
     provided however Section
4.03
 72




---



##### 



Section 4.02 Section 9.03
 Section 3.17
 Section 4.03 Section 4.03
 Section 4.03
     73




---



##### 



Section 4.02(l)(i)
 Section 4.03(c)(ii)
 Section 2.03
 Addition of Properties as Borrowing Base Properties
 Request for Addition as Borrowing Base Property Proposed Addition
Date Investment
Package
 Qualification as Borrowing Base Property Section 9.03
  Section 4.03(c)
  74




---



##### 



Section 4.03(c) Section 4.03(c) Section 4.03(c) Section 4.03(c)
 Conditions Precedent for the Addition of a Property as a Borrowing Base Property Section 9.03
 Section 4.03(a) Section 4.03(c)
 clause (ii)
  75




---



##### 



76




---



##### 



77




---



##### 



Estoppel
Threshold provided however
 Exhibit S
 Section 5.19
  78




---



##### 



Section 4.03(c)
 Sections 4.01(f) (g) (h) (j) (k)
  79




---



##### 



Section 4.03
  Section 2.17
    80




---



##### 



Removal of Borrowing Base Properties
 Removal of Borrowing Base Properties provided that
 Proposed Removal Date
  provided however clause
(iii) clause (iii)
 81




---



##### 



Section 4.03 clause (iii) Section 2.09(b) clause (iii) Deemed LTV Deficiency Amount Section 2.20(a)
  Section 4.03 subclauses (A) (B) (C) clauses (iii) (viii) Section 4.04(a) Section 2.09 clause
(iii)(z)(B) clause (viii)(z)(B) Section 4.04(a)
  82




---



##### 



clauses (iii) (iv) (v) (vi) Section 4.04(a)
 provided however clause (viii) clause
(viii) Section 4.03 clause (viii) Section 2.09(b) clause (viii) Deemed DSCR
Deficiency Amount Section 2.20(a)
  Release of Borrowing Base Subsidiaries
 83




---



##### 



Affirmative Covenants
  Financial Reporting
   84




---



##### 



Section 4.03
    85




---



##### 



Section 5.01(b) (d) Section 3.04
    Payment of Obligations Section 5.08
 86




---



##### 



Maintenance of Property
 Section 5.04 Section 6.15
   Section 5.03(d)
 Compliance with Laws and Documents
 87




---



##### 



Inspection of Property, Books and Records provided that
 Use of Proceeds
 Environmental Matters clauses (i) (v)
  88




---



##### 



Taxes; Certain Liens provided however
 Security Interests and Defense of Title
 Section 6.02
 89




---



##### 



REIT Status
 Litigation and Other Notices
   90




---



##### 



91




---



##### 



Section 5.11
 Additional Borrowers
 Further Assurances
 Appraisals nd Section 5.14 Section 4.03(c)(ii)(E)
 92




---



##### 



Utilities
 Maintenance of Existence
 Patriot Act Compliance
 Estoppel Certificates
 93




---



##### 



Required Insurance
 Required Coverage Exhibit T
 General Requirements of Insurance Policies Exhibit T provided that Section 5.19(a) provided however
 As to Agent and the Lenders
 94




---



##### 



clauses (y) (z)
 Blanket Policies Section 5.19 provided Section 5.19
 Agents Right to Procure Insurance
 Damage or Destruction
   95




---



##### 



provided however Casualty Proceeds Disbursement Threshold Section 5.20 Section 5.22 Section 5.20(g)
 Section
5.20(d)
  Release Condition Release
Conditions
  96




---



##### 



Section 5.19
     Section 5.20
 97




---



##### 



(1)
    
    A request for
disbursement signed by the applicable Borrower,
accompanied by billing statements, vouchers or invoices,
which request for disbursement shall expressly warrant
that the work with respect to which the advance is
requested has been performed substantially in accordance
with the approved plans and specifications for the
restoration or repair;(2)
    
    Proof that all
invoices for labor and materials previously submitted by
the applicable Borrower and approved and reimbursed by
Agent have been paid, except for those the subject of
the current request for disbursement and except for
customary retainage;(3)
    
    Lien waivers
(full or partial, as applicable) for all payees under
previous requests for disbursements;(4)
    
    A report from the
applicable Borrowers architect or, if Agent shall
elect, Agents consultant, which shall specify the
percentage of completion of restoration or repair, shall
provide detailed
comments on specific work performed since the date of
the last such report, and, if required by Agent, an
estimate of the cost to complete the restoration and
repair after taking into account the work then
completed;(5)
    
    At the reasonable
request of Agent, a Title Continuation, or if the
applicable Borrowing Base Property is located in a
jurisdiction in which a full title premium shall be
required in order to obtain a Title Continuation, then
Borrowers shall provide Agent with an updated title
report or abstractors certification indicating that,
since the immediately preceding Title Continuation (or
title update or abstractors certification, as
applicable) relating to such Borrowing Base Property, as
applicable, delivered to Agent pursuant to this
Agreement, there has been no change in the state of
title to such Borrowing Base Property and no Liens or
survey exceptions not theretofore approved by Agent as
provided herein, which title report shall be in form and
substance reasonably acceptable to Agent;
 98




---



##### 



(6)
    
    Copies of the
material agreements pursuant to which the restoration or
repair shall be done, which shall be in form and
substance reasonably satisfactory to Agent, and which
also shall be reasonably satisfactory to Agent as to the
party performing the construction obligations
thereunder;(7)
    
    An assignment to
Agent of all material construction and
design-professional contracts (which may be pursuant to
the applicable Mortgage and the applicable Assignment of
Agreements), together with the written consent to such
assignments by all parties to such contracts (which may
be included in any such contract); and(8)
    
    Such other
information and documentation as Agent may reasonably
request regarding the Improvements and the restoration
or repairs and the cost thereof; and
 Section 5.20(d)(i) Section
5.20(d) Sections 5.20(e) 5.20(f)
 Section 5.20(d) Section 5.22 provided Section 5.20(d)(i)(A)
  Section 2.09
 99




---



##### 



Section 5.20(g)
 Section 5.20
 Taking of the Mortgaged Property
 provided however provided however
 100




---



##### 



Section 5.21 Section 5.20(d) Section 5.20(d) Section 5.21
 Section
5.20(d) Section 5.22 provided Section 5.20(d)(i)(A)
  101




---



##### 



Section 5.21
 Application of Proceeds of Casualty or Taking to Loan; Loan Repayment Section 5.20(e) Section
5.21(c)(ii) Section 5.20(d)
 Debt Service Coverage Ratio clauses (i) (ii) (iii) Section 5.01(h) DSCR Due
Date clause
(a) clause (b) DSCR Deficiency Amount Section 2.20(a) Section 4.03
 102




---



##### 



provided that Section 4.03
 Borrowing Base Loan Amount
 Section 5.24(b)
 LTV Due Date clauses (i) (ii) (iii) Section 5.01(h) Section 4.03 provided that Section 4.03 LTV Deficiency Amount Section 2.20(a)
 Post-Closing Obligations
 Section 4.03(c)(ii)(N)
 103




---



##### 



Exhibit X
  Leasing
 provided however
 104




---



##### 



provided however that
   REAs
 Ground Leases
  105




---



##### 



106




---



##### 



Negative Covenants
  Indebtedness
 107




---



##### 



Liens
    Fundamental Changes; Certain Transfers of Collateral and Equity Interest
 Section 5.26 Section 6.03(d)
    108




---



##### 



provided that
 Investments, Loans, Advances, Guarantees and Acquisitions Section 6.11 Investments
    Section 6.06
 Restricted Payments
 Interest Rate Protection Agreements
 Transactions with Affiliates
 109




---



##### 



Modification of Documents; Management Agreements; New Accounts
    Negative Pledges, etc.
 Intentionally Omitted.
 Sole Purpose of Borrowing Base Subsidiaries Exhibit U
 110




---



##### 



Changes in Zoning
 ERISA
 Adverse Contracts
 Alterations Section 5.26
 KeyBank Revolving Credit Facility provided however
 111




---



##### 



Section 6.16
  Events of Default
 Events of Default
  Sections 2.17 2.22 Section
2.22(c) clause (a) Article VII subclause (ii)
 Section 3.04
 Sections 5.17 5.19 5.22 5.25 5.26(e) 5.28(e) 5.28(f) 6.01 6.07 6.09 6.11 6.12 6.16 Sections 2.09(e) 2.17 2.22 Section 2.22(c) 5.23 5.24 Sections 5.01 5.07 5.08 5.09 5.10 5.12 5.20 5.21 5.26(b) 5.26(c) 5.27 5.28(a)
 112




---



##### 



(d) 6.08 6.13 6.14 6.15
    clause (g) Article VII
   113




---



##### 



Article VII provided however
   114




---



##### 



clause (g) (h) Article VII clause (g) (h) Article VII
  Agent and The Lenders
 Appointment of Agent
 Agents Rights as a Lender
 Agent Obligations
 115




---



##### 



Section 9.03 Section 9.03 Article IV
 Right to Rely
 Appointment of Sub-Agents
 Release of Collateral
 116




---



##### 



Section 4.04 provided however
 Perfection of Lien by Possession; Appointment of Lenders
 Bankruptcy of Any Borrower
 Resignation; Successor Agent Section 8.09 Successor Agent Requirements
 117




---



##### 



Article VIII Section 9.04
 Lenders Independent Analysis
 Defaults by Any Lender
 Consequences of Default Defaulting
Lender Section
9.05
 Remedies Section 8.11
 118




---



##### 



Purchase of Defaulting Lenders Interest After Default Section 8.11(a) Exercise
Notice Section 8.11(d) Purchase
Date Section 8.11
 Purchase Price; Payment for Defaulting Lenders Interest Purchase Price
 119




---



##### 



Miscellaneous
 Notices
 clause (b)
  
  
  
 120




---



##### 



121




---



##### 



provided Article II provided
  Each Borrower as Agent for Each Other
 122




---



##### 



Waivers; Amendments
 Section 9.03(b)
 provided Borrowing
Base Loan Amount Imputed Loan Amount Section 9.03 Required Lenders Majority Lenders provided further Sections 2.20 8.06 provided however
 123




---



##### 



Section 2.22 Section 2.22
 Exhibit F
 Expenses; Indemnity; Damage Waiver
 Section 9.04
 Indemnitee
 124




---



##### 



provided
 Section 9.04(a (b) provided
  Section 9.04
 Successors and Assigns
 Section 9.05
 clause (ii) provided
 125




---



##### 



clause (iv) Sections 2.07 2.13 2.15 9.04 Section 9.05 Section 9.05(c)
 Register
 126




---



##### 



Section 9.05(b)(i) Section 9.05(b)(v)
 Participant provided provided Section 9.03(b) Section 9.05(c)(ii) Sections 2.07 2.13 2.15 Section 9.05(b) Section 9.09 provided Section 2.18(c)
 Section
2.13 2.15
 Section 9.05 provided
 Survival
 127




---



##### 



Sections 2.07 2.13 2.15 9.04 Article VIII
 Counterparts; Integration; Effectiveness Section 4.01
 Severability
 Right of Setoff Section 9.09
 Governing Law; Jurisdiction; Consent to Service of Process
 (a) THIS AGREEMENT, IN ACCORDANCE WITH SECTION 5-1401 OF THE GENERAL OBLIGATION LAW OF THE
STATE OF NEW YORK, SHALL BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF THE STATE OF
NEW YORK WITHOUT REGARD TO ANY CONFLICTS OF LAWS
 128




---



##### 



PRINCIPLES THEREOF THAT WOULD CALL FOR THE
APPLICATION OF THE LAWS OF ANY OTHER JURISDICTION.
  Section 9.10(b)
 Section 9.01
 Waiver of Jury Trial SECTION 9.11
 Headings
 129




---



##### 



Confidentiality Section 9.13 Section 9.13 Section
9.13 Section
9.13 Information Section 9.13
 Interest Rate Limitation Section 9.14
 130




---



##### 



Determinations and Consent of Agent
 No Joint Venture
 Limitation on Liability provided however
 131




---



##### 



Section
9.17
 Section
9.17
  132




---



##### 



BORROWERSHINES REIT 3100 MCKINNON STREET LP, a Delaware limited
partnershipBy:
    
    Hines REIT 3100 MCKINNON STREET GP LLC, a Delaware
limited liability company, its general partnerBy:
    
    /s/Name:Title: Authorized RepresentativeHINES REIT 1900/2000 ALAMEDA DE LAS PULGAS LLC, a Delaware
limited liability companyBy:
    
    /s/Name:Title: Authorized RepresentativeHINES REIT 321 NORTH CLARK STREET LLC, a Delaware limited
liability companyBy:
    
    /s/Name:Title: Authorized Representative
  133




---



##### 



SPONSORHINES REIT PROPERTIES, L.P., a Delaware limited partnershipBy:
    
    Hines Real Estate
Investment Trust, Inc., a Maryland corporation, its
general partnerBy:
    
    /s/Name:Title: Authorized Representative
  134




---



##### 



AGENTHSH NORDBANK AG, NEW YORK BRANCHBy:
    
    /s/Name:Title: Authorized RepresentativeBy:
    
    /s/Name:Title: Authorized RepresentativeLENDERSHSH NORDBANK AG, NEW YORK BRANCHBy:
    
    /s/Name:Title: Authorized RepresentativeBy:
    
    /s/Name:Title: Authorized Representative
 135