EXHIBIT 10.2


 


LIMITED RECOURSE GUARANTY


 


THIS LIMITED RECOURSE
GUARANTY (as the same may be amended, restated, extended or otherwise modified from time to time, this “Guaranty”)
is made as of this 6th day of March, 2017, by NEW YORK CITY OPERATING PARTNERSHIP, L.P., a Delaware limited partnership,
having an address at c/o American Realty Capital New York City REIT, Inc., 106 York Road, Jenkintown, Pennsylvania 19046 (“Guarantor”),
in favor of BARCLAYS BANK PLC, a public company registered in England and Wales, having an address at 745 Seventh Avenue,
New York, New York 10019 (together with its successors, permitted transferees and/or permitted assigns, collectively, the “Lender”).


 


RECITALS:


 


A.           Lender
and ARC NYC123WILLIAM, LLC, a Delaware limited liability company (“Borrower”) have entered into a certain
Loan Agreement (as it may hereafter be modified, supplemented, extended, or renewed and in effect from time to time, the “Loan
Agreement”), which Loan Agreement sets forth the terms and conditions of a loan (said loan, together with all advances
which may hereafter be made pursuant to the Loan Agreement, being referred to herein as the “Loan”) to Borrower
secured by certain Property as defined and more particularly described in the Loan Agreement.


 


B.           Guarantor
is an Affiliate of Borrower and will receive direct or indirect benefit from Lender’s making of the Loan to Borrower.


 


C.           The
Loan is evidenced by that certain Severed, Amended and Restated Promissory Note A-1, that certain Severed, Amended and Restated
Promissory Note A-2 and that certain Severed, Amended and Restated Promissory Note A-3, each executed by Borrower and payable to
the order of each Lender (collectively, as each may hereafter be renewed, extended, supplemented, increased or modified and in
effect from time to time, and all other notes given in substitution therefor, or in modification, renewal, or extension thereof,
in whole or in part, the “Note”).


 


D.           Any
capitalized term used and not defined in this Guaranty shall have the meaning given to such term in the Loan Agreement. This Guaranty
is one of the Loan Documents described in the Loan Agreement.


 


NOW, THEREFORE, for good
and valuable consideration, the receipt and adequacy of which are hereby acknowledged, and as a material inducement to Lender to
extend credit to Borrower, Guarantor hereby guarantees to Lender the prompt and full payment and performance of the Guaranteed
Recourse Obligations of Borrower (defined below), this Guaranty being upon the following terms and conditions:


 




     


     


    

 


1.            Guaranteed
Recourse Obligations of Borrower.


 


(a)          Guarantor
hereby unconditionally and irrevocably guarantees to Lender the punctual payment when due under the Loan Agreement, and not merely
the collectability, whether by lapse of time, by acceleration of maturity, or otherwise, and at all times thereafter the payment
of the Guaranteed Recourse Obligations of Borrower (hereinafter defined). As used herein, the term “Guaranteed Recourse
Obligations of Borrower” shall mean all obligations and liabilities of Borrower for which Borrower shall be personally
liable pursuant to Article 13 of the Loan Agreement.


 





(b)          Notwithstanding
anything herein or in the Loan Documents to the contrary, Guarantor shall have no liability for the Guaranteed Recourse Obligations
of Borrower or other matters hereunder for any action taken or event first occurring
(a) following a foreclosure or acceptance of a deed-in-lieu of foreclosure by Lender or its nominee pursuant to the Loan Agreement,
or following any acquisition of title to the Property by Lender or its nominee,
or (b) from and after a mezzanine loan foreclosure or assignment-in-lieu thereof of the direct
or indirect ownership interest of Borrower by a mezzanine lender or its designee pursuant to the terms of a mezzanine
loan permitted under the Loan Agreement, including without limitation, pursuant to Section 11.6 thereof, or otherwise entered into
with the approval of Lender.







 


2.            Certain
Agreements and Waivers by Guarantor.


 


(a)          Guarantor
hereby agrees that each of the following shall constitute Events of Default hereunder: (i) the occurrence of a default by Guarantor
in payment of the Guaranteed Recourse Obligations of Borrower, or any part thereof, when such indebtedness becomes due under the
Loan Agreement (subject to any applicable notice and cure periods expressly set forth therein), and (ii) the dissolution, bankruptcy
and/or insolvency of any Guarantor.


 


(b)          Upon
the occurrence of any Event of Default hereunder, the Guaranteed Recourse Obligations of Borrower, for purposes of this Guaranty,
shall be deemed immediately due and payable at the election of Lender. Guarantor shall, on demand following such event, pay the
Guaranteed Recourse Obligations of Borrower to Lender. It shall not be necessary for Lender, in order to enforce such payment,
first to (i) institute suit or pursue or exhaust any rights or remedies against Borrower or others liable for the Debt, (ii) enforce
any rights against any security that shall ever have been given to secure the Debt, (iii) join Borrower or any others liable for
the payment or performance of the Guaranteed Recourse Obligations of Borrower or any part thereof in any action to enforce this
Guaranty and/or (iv) resort to any other means of obtaining payment or performance of the Guaranteed Recourse Obligations of Borrower.


 


(c)          Suit
may be brought or demand may be made against all parties who have signed this Guaranty as Guarantor or any other guaranty covering
all or any part of the Guaranteed Recourse Obligations of Borrower, or against any one or more of them, separately or together,
without impairing the rights of Lender against any party hereto.


 




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(d)          In
the event any payment by Borrower or any other Person to Lender is held to constitute a preference, fraudulent transfer or other
voidable payment under any bankruptcy, insolvency or similar law, or if for any other reason Lender is required to refund such
payment or pay the amount thereof to any other party, such payment by Borrower or any other party to Lender shall not constitute
a release of Guarantor from any liability hereunder and this Guaranty shall continue to be effective or shall be reinstated (notwithstanding
any prior release, surrender or discharge by Lender of this Guaranty or of Guarantor), as the case may be, with respect to, and
this Guaranty shall apply to, any and all amounts so refunded by Lender or paid by Lender to another Person (which amounts shall
constitute part of the Guaranteed Recourse Obligations of Borrower), and any interest paid by Lender and any attorneys’ fees,
costs and expenses actually paid or incurred by Lender in connection with any such event. If acceleration of the time for payment
of any amount payable by Borrower under any Loan Document is stayed or delayed by any law or tribunal, any amounts due and payable
hereunder shall nonetheless be payable by Guarantor on demand by Lender.


 


3.            Subordination.
If, for any reason whatsoever, Borrower is now or hereafter becomes indebted to Guarantor:


 


(a)          such
indebtedness and all interest thereon and all liens, security interests and rights now or hereafter existing with respect to property
of Borrower securing same shall, at all times, be subordinate in all respects to the Guaranteed Recourse Obligations of Borrower
and to all liens, security interests and rights now or hereafter existing to secure the Guaranteed Recourse Obligations of Borrower;


 


(b)          Guarantor
shall not be entitled to enforce or receive payment, directly or indirectly, of any such indebtedness of Borrower to Guarantor
until the Guaranteed Recourse Obligations of Borrower have been fully and finally paid and performed; provided, however, nothing
herein is intended to limit Borrower’s ability to make distributions to Guarantor in the normal course of operations of Borrower;


 


(c)          Guarantor
hereby assigns and grants to Lender a security interest in all such indebtedness and security therefor, if any, of Borrower to
Guarantor now existing or hereafter arising, including any dividends and payments pursuant to debtor relief or insolvency proceedings
referred to below. In the event of receivership, bankruptcy, reorganization, or other debtor relief or insolvency proceedings involving
Borrower as debtor, Lender shall have the right to prove its claim in any such proceeding so as to establish its rights hereunder
and shall have the right to receive directly from the receiver, trustee or other custodian (whether or not an Event of Default
shall have occurred or be continuing under any of the Loan Documents), dividends and payments that are payable upon any obligation
of Borrower to Guarantor now existing or hereafter arising, and to have all benefits of any security therefor, until the Guaranteed
Recourse Obligations of Borrower have been fully and finally paid and performed. If, notwithstanding the foregoing provisions,
Guarantor should receive any payment, claim or distribution that is prohibited as provided above in this Section, Guarantor shall
pay the same to Lender immediately, Guarantor hereby agreeing that it shall receive the payment, claim or distribution in trust
for Lender and shall have absolutely no dominion over the same except to pay it immediately to Lender; and


 


(d)          Guarantor
shall promptly upon request of Lender from time to time execute such documents and perform such acts as Lender may require to evidence
and perfect its interest and to permit or facilitate exercise of its rights under this Section.


 




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4.            Other
Liability of Guarantor or Borrower. If Guarantor is or becomes liable, by endorsement or otherwise, for any indebtedness owing
by Borrower to Lender other than under this Guaranty, such liability shall not be in any manner impaired or affected hereby, and
the rights of Lender hereunder shall be cumulative of any and all other rights that Lender may have against Guarantor.


 


5.            Assignment
by Lender. This Guaranty is for the benefit of Lender and Lender’s successors and permitted assigns, and in the event of
an assignment by Lender of the Guaranteed Recourse Obligations of Borrower, or any part thereof, the rights and benefits hereunder,
to the extent applicable to the Guaranteed Recourse Obligations of Borrower so assigned, may be transferred with such Guaranteed
Recourse Obligations of Borrower. Guarantor waives notice of any transfer or assignment of the Guaranteed Recourse Obligations
of Borrower, or any part thereof, and agrees that failure to give notice will not affect the liabilities of Guarantor hereunder.


 


6.            Binding
Effect. This Guaranty is binding not only on Guarantor, but also on Guarantor’s heirs, personal representatives, successors
and assigns. Upon the death of Guarantor, if Guarantor is a natural person, this Guaranty shall continue against Guarantor’s
estate as to all of the Guaranteed Recourse Obligations of Borrower, including that portion incurred or arising after the death
of Guarantor and shall be provable in full against Guarantor’s estate, whether or not the Guaranteed Recourse Obligations
of Borrower are then due and payable. If this Guaranty is signed by more than one Person, then all of the obligations of Guarantor
arising hereunder shall be jointly and severally binding on each of the undersigned, and their respective heirs, personal representatives,
successors and assigns, and the term “Guarantor” shall mean all of such Persons and each of them individually. Without
limitation of any other term, provision or waiver contained herein, Guarantor hereby acknowledges and agrees that it has been furnished
true, complete and correct copies of the Loan Documents and has reviewed the terms and provisions thereof (including, without limitation,
the Guaranteed Recourse Obligations of Borrower).


 


7.            Nature
of Guaranty. Guarantor hereby acknowledges and agrees that this Guaranty (a) is a guaranty of payment and not only of collection
and that Guarantor is liable hereunder as a primary obligor, (b) shall only be deemed discharged after the indefeasible satisfaction
in full of the Guaranteed Recourse Obligations of Borrower and the Debt, (c) shall not be reduced, released, discharged, satisfied
or otherwise impacted in connection with (i) any act or occurrence that might, but for the provisions hereof, be deemed a legal
or equitable reduction, satisfaction, discharge or release and/or (ii) Lender’s enforcement of remedies under the Loan Documents
and (d) shall survive the foregoing and shall not merge with any resulting foreclosure deed, deed in lieu or similar instrument
(if any).


 


8.            Governing
Law. The governing law and related provisions set forth in Section 17.2 of the Loan Agreement (including, without limitation, any
authorized agent provisions thereof) are hereby incorporated by reference as if fully set forth herein (with Guarantor substituted
in all places where Borrower appears thereunder) and shall be deemed fully applicable to Guarantor hereunder. Guarantor hereby
certifies that it has received and reviewed the Loan Agreement (including, without limitation, Section 17.2 thereof).


 




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9.            Invalidity
of Certain Provisions. If any provision of this Guaranty or the application thereof to any Person or circumstance shall, for any
reason and to any extent, be declared to be invalid or unenforceable, neither the remaining provisions of this Guaranty nor the
application of such provision to any other Person or circumstance shall be affected thereby, and the remaining provisions of this
Guaranty, or the applicability of such provision to other Persons or circumstances, as applicable, shall remain in effect and be
enforceable to the maximum extent permitted by applicable Legal Requirements.


 


10.           Attorneys’
Fees, Costs and Expenses of Collection. Guarantor shall pay on demand all attorneys’ fees and all other costs and expenses
actually incurred by Lender in the enforcement of or preservation of Lender’s rights under this Guaranty including, without
limitation, all attorneys’ fees, costs and expenses, investigation costs, and all court costs, whether or not suit is filed
herein, or whether at maturity or by acceleration, or whether before or after maturity, or whether in connection with bankruptcy,
insolvency or appeal, or whether in connection with the collection and enforcement of this Guaranty against any other Guarantor,
if there be more than one. Guarantor agrees to pay interest on any expenses or other sums due to Lender under this Section 10 that
are not paid when due, at a rate per annum equal to the interest rate provided for in the Note. Guarantor’s obligations and
liabilities under this Section 10 shall survive any payment or discharge in full of the Guaranteed Recourse Obligations of Borrower.


 


11.          Payments.
All sums payable under this Guaranty shall be paid in lawful money of the United States of America that at the time of payment
is legal tender for the payment of public and private debts.


 


12.          Controlling
Agreement. It is not the intention of Lender or Guarantor to obligate Guarantor to pay interest in excess of that lawfully permitted
to be paid by Guarantor under applicable Legal Requirements. Should it be determined that any portion of the Guaranteed Recourse
Obligations of Borrower or any other amount payable by Guarantor under this Guaranty constitutes interest in excess of the maximum
amount of interest that Guarantor, in Guarantor’s capacity as guarantor, may lawfully be required to pay under applicable
Legal Requirements, the obligation of Guarantor to pay such interest shall automatically be limited to the payment thereof in the
maximum amount so permitted under applicable Legal Requirements. The provisions of this Section shall override and control all
other provisions of this Guaranty and of any other agreement between Guarantor and Lender.


 


13.          Notices.
Any and all notices, elections, demands, requests and responses thereto permitted or required to be given under this Guaranty shall
be given in accordance with the applicable terms and conditions of the Loan Agreement. Notices to Guarantor shall be addressed
as follows:


 




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	Guarantor:	New York City Operating Partnership, L.P.
	 	c/o American Realty Capital New York City REIT, Inc.
	 	405 Park Avenue, 14th Floor
	 	New York, New York 10022
	 	Attention:  Legal Department
	 	 
	and	Arnold & Porter Kaye Scholer LLP
	 	250 West 55th Street
	 	New York, New York  10019
	 	Attention:  John J. Busillo, Esq.
	 	 
	Lender:	Barclays Bank PLC
	 	745 Seventh Avenue
	 	New York, New York 10019
	 	Attention:  Michael Birajiclian 
	 	 
	with a copy to:	Paul Hastings LLP
	 	200 Park Avenue
	 	New York, New York 10166
	 	Attention: Eric F. Allendorf, Esq.


 


14.          Cumulative
Rights. The exercise by Lender of any right or remedy hereunder or under any other Loan Document, or at law or in equity, shall
not preclude the concurrent or subsequent exercise of any other right or remedy. Lender shall have all rights, remedies and recourses
afforded to Lender by reason of this Guaranty or any other Loan Document or by law or equity or otherwise, and the same (a) shall
be cumulative and concurrent, (b) may be pursued separately, successively or concurrently against Guarantor or others obligated
for the Guaranteed Recourse Obligations of Borrower, or any part thereof, or against any one or more of them, or against any security
or otherwise, at the sole discretion of Lender, (c) may be exercised as often as occasion therefor shall arise, it being agreed
by Guarantor that the exercise of, discontinuance of the exercise of or failure to exercise any of such rights, remedies, or recourses
shall in no event be construed as a waiver or release thereof or of any other right, remedy, or recourse, and (d) are intended
to be, and shall be, nonexclusive. No waiver of any default on the part of Guarantor or of any breach of any of the provisions
of this Guaranty or of any other document shall be considered a waiver of any other or subsequent default or breach, and no delay
or omission in exercising or enforcing the rights and powers granted herein or in any other document shall be construed as a waiver
of such rights and powers, and no exercise or enforcement of any rights or powers hereunder or under any other document shall be
held to exhaust such rights and powers, and every such right and power may be exercised from time to time. The granting of any
consent, approval or waiver by Lender shall be limited to the specific instance and purpose therefor and shall not constitute consent
or approval in any other instance or for any other purpose. No notice to or demand on Guarantor in any case shall of itself entitle
Guarantor to any other or further notice or demand in similar or other circumstances. No provision of this Guaranty or any right,
remedy or recourse of Lender with respect hereto, or any default or breach, can be waived, nor can this Guaranty or Guarantor be
released or discharged in any way or to any extent, except specifically in each case by a writing intended for that purpose (and
which refers specifically to this Guaranty) executed, and delivered to Guarantor, by Lender.


 




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15.          Subrogation.
Notwithstanding anything to the contrary contained herein, until the Guaranteed Recourse Obligations of Borrower have been fully
and finally paid, (a) Guarantor shall not have any right of subrogation in or under any of the Loan Documents or to participate
in any way therein, or in any right, title or interest in and to any security or right of recourse for the Guaranteed Recourse
Obligations of Borrower, and (b) if Guarantor is or becomes an “insider” (as defined in Section 101 of the Bankruptcy
Code) with respect to Borrower, then Guarantor hereby irrevocably and absolutely waives any and all rights of contribution, indemnification,
reimbursement or any similar rights against Borrower with respect to this Guaranty (including any right of subrogation, except
to the extent of collateral held by Lender), whether such rights arise under an express or implied contract or by operation of
law. It is the intention of the parties that Guarantor shall not be deemed to be a “creditor” (as defined in Section
101 of the Bankruptcy Code) of Borrower by reason of the existence of this Guaranty in the event that Borrower or Guarantor becomes
a debtor in any proceeding under the Bankruptcy Code. This waiver is given to induce Lender to make the Loan as evidenced by the
Note to Borrower.


 


16.          Further
Assurances. Guarantor at Guarantor’s expense will promptly execute and deliver to Lender upon Lender’s reasonable request
all such other and further documents, agreements, and instruments in compliance with or accomplishment of the agreements of Guarantor
under this Guaranty.


 


17.          No
Fiduciary Relationship. The relationship between Lender and Guarantor is solely that of lender and guarantor. Lender has no fiduciary
or other special relationship with or duty to Guarantor and none is created hereby or may be inferred from any course of dealing
or act or omission of Lender.


 


18.          Interpretation.
If this Guaranty is signed by more than one Person as “Guarantor”, then the term “Guarantor” as used in
this Guaranty shall refer to all such Persons jointly and severally, and all promises, agreements, covenants, waivers, consents,
representations, warranties and other provisions in this Guaranty are made by and shall be binding upon each and every such undersigned
Person, jointly and severally and Lender may pursue any Guarantor hereunder without being required (i) to pursue any other Guarantor
hereunder or (ii) pursue rights and remedies under any Security Instrument and/or applicable Legal Requirements with respect to
the Property or any other Loan Documents.


 


19.          Time
of Essence. Time shall be of the essence in this Guaranty with respect to all of Guarantor’s obligations hereunder.


 


20.          Execution.
This Guaranty may be executed in multiple counterparts, each of which, for all purposes, shall be deemed an original, and all of
which together shall constitute one and the same agreement.


 




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21.          Entire
Agreement. This Guaranty embodies the entire agreement between Lender and Guarantor with respect to the guaranty by Guarantor of
the Guaranteed Recourse Obligations of Borrower. This Guaranty supersedes all prior agreements and understandings, if any, with
respect to guaranty by Guarantor of the Guaranteed Recourse Obligations of Borrower. No condition or conditions precedent to the
effectiveness of this Guaranty exist. This Guaranty shall be effective upon execution by Guarantor and delivery to Lender. This
Guaranty may not be modified, amended or superseded except in a writing signed by Lender and Guarantor referencing this Guaranty
by its date and specifically identifying the portions hereof that are to be modified, amended or superseded. The Loan Documents
represent the final agreement between the parties and may not be contradicted by evidence of prior, contemporaneous or subsequent
oral agreements of the parties.


 


22.          WAIVER
OF JURY TRIAL. EACH OF GUARANTOR AND LENDER (BY ACCEPTANCE OF THIS GUARANTY) HEREBY WAIVES TRIAL BY JURY IN ANY ACTION OR PROCEEDING
TO WHICH GUARANTOR AND LENDER MAY BE PARTIES ARISING OUT OF, IN CONNECTION WITH, OR IN ANY WAY PERTAINING TO, THIS GUARANTY AND
ANY OTHER LOAN DOCUMENT. IT IS AGREED AND UNDERSTOOD THAT THIS WAIVER CONSTITUTES A WAIVER OF TRIAL BY JURY OF ALL CLAIMS AGAINST
ALL PARTIES TO SUCH ACTIONS OR PROCEEDINGS, INCLUDING CLAIMS AGAINST PARTIES WHO ARE NOT PARTIES TO THIS GUARANTY. THIS WAIVER
IS KNOWINGLY, WILLINGLY AND VOLUNTARILY MADE BY GUARANTOR, AND GUARANTOR HEREBY REPRESENTS THAT NO REPRESENTATIONS OF FACT OR OPINION
HAVE BEEN MADE BY ANY INDIVIDUAL TO INDUCE THIS WAIVER OF TRIAL BY JURY OR TO IN ANY WAY MODIFY OR NULLIFY ITS EFFECT. GUARANTOR
FURTHER REPRESENTS AND WARRANTS THAT IT HAS BEEN REPRESENTED IN THE SIGNING OF THIS GUARANTY AND IN THE MAKING OF THIS WAIVER BY
INDEPENDENT LEGAL COUNSEL, OR HAS HAD THE OPPORTUNITY TO BE REPRESENTED BY INDEPENDENT LEGAL COUNSEL SELECTED OF ITS OWN FREE WILL,
AND THAT IT HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH COUNSEL.


 


23.          Consent
to Jurisdiction. Guarantor irrevocably submits generally and unconditionally for itself and in respect of its property to the nonexclusive
jurisdiction of any state or federal court sitting in the State over any suit, action or proceeding arising out of, or relating
to, this Guaranty, and irrevocably agrees that all claims in respect of such action or proceeding may be heard and determined in
such state or federal court. Guarantor irrevocably waives, to the fullest extent permitted by law, any objection that Guarantor
may now or hereafter have to the laying of venue of any such suit, action or proceeding brought in any such court, and any claims
that any such suit, action or proceeding is brought in an inconvenient forum. Final judgment in any such suit, action or proceeding
brought in any such court shall be conclusive and binding upon Guarantor and may be enforced in any court in which Guarantor is
subject to jurisdiction, by a suit upon such judgment provided that service of process is effected upon Guarantor as provided in
the Loan Documents or as otherwise permitted by applicable Legal Requirements. Guarantor hereby releases, to the extent permitted
by applicable Legal Requirements, all errors and all rights of exemption, appeal, stay of execution, inquisition, and other rights
to which Guarantor may otherwise be entitled under the laws of the United States of America or of any state of possession of the
United States of America now in force and which may hereinafter be enacted. The authority and power to appear for and enter judgment
against Guarantor shall not be exhausted by one or more exercises thereof or by any imperfect exercise thereof and shall not be
extinguished by any judgment entered pursuant thereto. Such authority may be exercised on one or more occasions or from time to
time in the same or different jurisdiction as often as Lender shall deem necessary and desirable, for all of which this Guaranty
shall be sufficient warrant.


 




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24.          Waivers.


 


(a)           Guarantor
hereby agrees that neither Lender’s rights or remedies nor Guarantor’s obligations under the terms of this Guaranty
shall be released, diminished, impaired, reduced or affected by any one or more of the following events, actions, facts, or circumstances,
and the liability of Guarantor under this Guaranty shall be absolute and unconditional irrespective of (and Guarantor hereby waives
any rights or protections related to): (i) any limitation of liability or recourse in any other Loan Document or arising under
any law; (ii) any claim or defense that this Guaranty was made without consideration or is not supported by adequate consideration;
(iii) the taking or accepting of any other security or guaranty for, or right of recourse with respect to, any or all of the Guaranteed
Recourse Obligations of Borrower; (iv) any homestead exemption or any other similar exemption under applicable Legal Requirements
and Guarantor hereby waives the benefit of any such exemption as to the Guaranteed Recourse Obligations of Borrower; (v) any release,
surrender, abandonment, exchange, alteration, sale or other disposition, subordination, deterioration, waste, failure to protect
or preserve, impairment, or loss of, or any failure to create or perfect any lien or security interest with respect to, or any
other dealings with, any collateral or security at any time existing or purported, believed or expected to exist in connection
with any or all of the Guaranteed Recourse Obligations of Borrower, including any impairment of Guarantor’s recourse against
any Person or collateral; (vi) whether express or by operation of law, any partial release of the liability of Guarantor hereunder,
or if one or more other guaranties are now or hereafter obtained by Lender covering all or any part of the Guaranteed Recourse
Obligations of Borrower, any complete or partial release of any one or more of such guarantors under any such other guaranty, or
any complete or partial release or settlement of Borrower or any other party liable, directly or indirectly, for the payment or
performance of any or all of the Guaranteed Recourse Obligations of Borrower; (vii) the death, insolvency, bankruptcy, disability,
dissolution, liquidation, termination, receivership, reorganization, merger, consolidation, change of form, structure or ownership,
sale of all assets, or lack of corporate, partnership or other power of Borrower or any other party at any time liable for the
payment or performance of any or all of the Guaranteed Recourse Obligations of Borrower; (viii) either with or without notice to
or consent of Guarantor: any renewal, extension, modification or rearrangement of the terms of any or all of the Guaranteed Recourse
Obligations of Borrower and/or any of the Loan Documents; (ix) any neglect, lack of diligence, delay, omission, failure, or refusal
of Lender to take or prosecute (or in taking or prosecuting) any action for the collection or enforcement of any of the Guaranteed
Recourse Obligations of Borrower, or to foreclose or take or prosecute any action to foreclose (or in foreclosing or taking or
prosecuting any action to foreclose) upon any security therefor, or to exercise (or in exercising) any other right or power with
respect to any security therefor, or to take or prosecute (or in taking or prosecuting) any action in connection with any Loan
Document, or any failure to sell or otherwise dispose of in a commercially reasonable manner any collateral securing any or all
of the Guaranteed Recourse Obligations of Borrower; (x) any failure of Lender to notify Guarantor of any creation, renewal, extension,
rearrangement, modification, supplement, subordination, or assignment of the Guaranteed Recourse Obligations of Borrower or any
part thereof, or of any Loan Document, or of any release of or change in any security, or of any other action taken or refrained
from being taken by Lender against Borrower or any security or other recourse, or of any new agreement between Lender and Borrower,
it being understood that Lender shall not be required to give Guarantor any notice of any kind under any circumstances with respect
to or in connection with the Guaranteed Recourse Obligations of Borrower, any and all rights to notice Guarantor may have otherwise
had being hereby waived by Guarantor, and Guarantor shall be responsible for obtaining for itself information regarding Borrower,
including, but not limited to, any changes in the business or financial condition of Borrower, and Guarantor acknowledges and agrees
that Lender shall have no duty to notify Guarantor of any information which Lender may have concerning Borrower; (xi) if for any
reason that Lender is required to refund any payment by Borrower to any other party liable for the payment or performance of any
or all of the Guaranteed Recourse Obligations of Borrower or pay the amount thereof to someone else; (xii) the making of advances
by Lender to protect its interest in the Property, preserve the value of the Property or for the purpose of performing any term
or covenant contained in any of the Loan Documents; (xiii) the existence of any claim, counterclaim (other than compulsory counterclaims),
set off, recoupment, reduction or defense based upon any claim or other right that Guarantor may at any time have against Borrower,
Lender, or any other Person, whether or not arising in connection with this Guaranty, the Note, the Loan Agreement, or any other
Loan Document; (xiv) the unenforceability of all or any part of the Guaranteed Recourse Obligations of Borrower against Borrower,
whether because the Guaranteed Recourse Obligations of Borrower exceed the amount permitted by law or violate any usury law, or
because the act of creating the Guaranteed Recourse Obligations of Borrower, or any part thereof, is ultra vires, or because the
officers or Persons creating same acted in excess of their authority, or because of a lack of validity or enforceability of or
defect or deficiency in any of the Loan Documents, or because Borrower has any valid defense, claim or offset with respect thereto
(other than the defense of payment and satisfaction), or because Borrower’s obligation ceases to exist by operation of law,
or because of any other reason or circumstance, it being agreed that Guarantor shall remain liable hereon regardless of whether
Borrower or any other Person be found not liable on the Guaranteed Recourse Obligations of Borrower, or any part thereof, for any
reason (and regardless of any joinder of Borrower or any other party in any action to obtain payment or performance of any or all
of the Guaranteed Recourse Obligations of Borrower); (xv) any order, ruling or plan of reorganization emanating from proceedings
under any bankruptcy or similar insolvency laws with respect to Borrower or any other Person, including any extension, reduction,
composition, or other alteration of the Guaranteed Recourse Obligations of Borrower, whether or not consented to by Lender; and/or
(xvi) any partial or total transfer, pledge and/or reconstitution of Borrower and/or any direct or indirect owner of Borrower (regardless
of whether the same is permitted under the Loan Documents).


 




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(b)          This
Guaranty shall be effective as a waiver of, and Guarantor hereby expressly waives:


 


(i)          any
and all rights to which Guarantor may otherwise have been entitled under any suretyship laws in effect from time to time, including
any right or privilege, whether existing under statute, at law or in equity, to require Lender to take prior recourse or proceedings
against any collateral, security or Person whatsoever;


 


(ii)         any
rights of sovereign immunity and any other similar and/or related rights;


 


(iii)        any
other circumstance that may constitute a defense of Borrower or Guarantor hereunder and/or under the other Loan Documents (other
than the defense of payment and satisfaction); and


 


(iv)        any
right and/or requirement of or related to notice, presentment, protest, notice of protest, further notice of nonpayment, notice
of dishonor, default, nonperformance, intent to accelerate, acceleration, existence of the Debt and/or any amendment or modification
of the Debt.


 





25.          Representations,
Warranties and Covenants of Guarantor. Guarantor hereby makes the following representations, warranties and covenants (each of
which shall remain materially true and correct during the term hereof): (a) Guarantor is duly organized, validly existing and in
good standing under the laws of its state of formation, and Guarantor has all requisite right and power to execute and deliver
this Guaranty and to perform the Guaranteed Recourse Obligations of Borrower; (b) the execution, delivery and performance of this
Guaranty and the incurrence of the Guaranteed Recourse Obligations of Borrower, now or hereafter owing, (i) are within the powers
of Guarantor and (ii) do not require any approval or consent of, or filing with, any governmental authority or other Person (or
such approvals and consents have been obtained and delivered to the Lender) and are not in contravention of any provision of law
applicable to Guarantor; (c) this Guaranty and the other Loan Documents to which Guarantor is a party constitutes when delivered,
valid and binding obligations of Guarantor, enforceable in accordance with their respective terms; (d) Guarantor has filed all
tax returns which are required to be filed (or obtained proper extensions of time for the filing thereof) and has paid, or made
adequate provision for the payment of, all taxes which have or may become due pursuant to said returns or to assessments received;
(e) the financial statements and other information pertaining to Guarantor submitted
to Lender are true, complete and correct in all material respects and do not contain any material misstatement of fact or omit
to state a material fact or any fact necessary to make the statements contained therein not misleading; (f)
there is no litigation, at law or in equity, or any proceeding before any federal, state, provincial or municipal board or other
governmental or administrative agency pending or, to the knowledge of Guarantor, threatened, or any basis therefor, which involves
a risk of any material judgment or liability not fully covered by insurance (other than any deductible) which is likely to be adversely
determined and if so, would have a Material Adverse Effect, and no judgment, decree, or order of any federal, state, provincial
or municipal court, board or other governmental or administrative agency has been issued against Guarantor which has a Material
Adverse Effect; (g) the making of the Loan to Borrower will result in material
benefits to Guarantor; (h) Guarantor (i) has not entered into this Guaranty or
any Loan Document with the actual intent to hinder, delay, or defraud any creditor and (ii) has received reasonably equivalent
value in exchange for the Guaranteed Recourse Obligations of Borrower hereunder and under the Loan Documents.; and (i)
Guarantor is not a “foreign person” within the meaning of Section 1445(1)(3) of the Internal Revenue Code. Each of
the representations and covenants of and/or relating to Guarantor set forth in the other Loan Documents are hereby re-made by Guarantor
and incorporated herein by reference as if fully set forth herein. This Guaranty is not subject to any right of rescission, setoff,
counterclaim or defense (except of payment and satisfaction) by Guarantor, nor would the operation of any of the terms of this
Guaranty, or the exercise of any right hereunder, render the Loan Documents unenforceable. Guarantor has not asserted any right
of rescission, setoff, counterclaim or defense with respect to the Loan Documents.







 




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26.          Financial
Covenants of Guarantor


 


(a)           Guarantor
(i) shall keep and maintain complete and accurate books and records and (ii) shall permit Lender and any authorized representatives
of Lender to have access to and to inspect, examine and make copies of the books and records, any and all accounts, data and other
documents of Guarantor, at all reasonable times, during normal business hours, at Guarantor’s address for notices as set
forth herein upon the giving of reasonable notice of such intent. Guarantor shall also provide to Lender, upon Lender’s reasonable
request, such information as Lender may reasonably request, from time to time, in such detail as may reasonably be required by
Lender.


 


(b)           Without
limiting the provisions of Section 26(a), Lender shall have the right, at any time and from time to time upon the occurrence and
continuance of an “Event of Default” hereunder or under the other Loan Documents, to audit the books and records of
Guarantor.


 





(c)            During
the term hereunder, sGuarantor will furnish or cause to be furnished to Lender, as soon as available, and in any event within one
hundred and twenty (120) days after the end of each fiscal year, (i) the annual consolidated financial statements of American Realty
Capital New York City REIT, Inc., which are inclusive of the Guarantor, which financial statements shall be
in form substantially similar to those previously delivered by Guarantor to Lender and which shall include a balance
sheet, income statement, and statement of cash flows, and
(ii) a certificate delivered to Lender by Guarantor which is signed by Responsible Officer of Guarantor certifying as to the Net
Worth and Liquidity of Guarantor as of the end of the preceding fiscal year. All such annual financial statements shall (A) be
prepared and audited by a “Big 4” accounting firm or other independent certified public accountant reasonably acceptable
to Lender, (B) be certified by Guarantor to Lender as true, correct and complete, in all material respects and (C) contain such
backup and/or supporting information as may be reasonably requested by Lender. In addition, Guarantor shall promptly furnish to
Lender any other financial information reasonably requested by Lender from time to time in respect of Guarantor.







 




    	 	11	 



     


    

 


(d)           Guarantor
shall, at all times while the Debt remains unsatisfied, maintain a Net Worth of not less than $100,000,000.00 and Liquidity of
not less than $5,000,000.00, in each case as calculated in accordance with GAAP.


 


(e)           As
used in this Section, the following terms shall have the respective meanings set forth below: 


 


(i)          “GAAP”
shall mean generally accepted accounting principles, consistently applied.


 


(ii)         “Liquidity”
shall mean, only to the extent owned individually or on a consolidated basis with Guarantor’s wholly-owned subsidiaries,
free of any security interests, liens or pledges: (a) cash or cash equivalents, (b) obligations of (or fully guaranteed as to principal
and interest by) the United States or any agency or instrumentality thereof (provided that the full faith and credit of the United
States supports such obligation or guarantee), (c) certificates of deposit (with a maturity of two years or less) issued by, or
savings account with, any bank or other financial institution having net assets of not less than $1 billion or (d) marketable securities
listed on a recognized stock exchange or traded over the counter and listed in the National Association of Securities Dealers Automatic
Quotations, marked to market, other than securities issued by any Guarantor or any Affiliate thereof.


 


(iii)        “Net
Worth” shall mean, as of a given date, (i) a Guarantor’s total assets as of such date, on a consolidated basis
with Guarantor’s wholly-owned subsidiaries (exclusive of any interest in the Property or in any other asset that is part
of the collateral for the Loan) less (ii) Guarantor’s total liabilities (including contingent liabilities but exclusive of
any liability under the Loan Documents) as of such date, calculated based on financial statements compiled in accordance with GAAP.


 


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IN WITNESS WHEREOF,
Guarantor has duly executed this Guaranty under as of the date first written above.


 


	 	GUARANTOR:
	 	 
	 	NEW YORK CITY OPERATING PARTNERSHIP, LP, a Delaware limited partnership
	 	 	 
	 	By:	 /s/ Michael A. Ead
	 	 	Name: Michael A. Ead
	 	 	Title: Authorized Signatory


 


[Signature Page to Limited Recourse Guaranty]