EX-10.3






FIRST AMENDMENT TO AMENDED AND RESTATED MASTER REPURCHASE AGREEMENT




THIS FIRST AMENDMENT TO AMENDED AND RESTATED MASTER REPURCHASE AGREEMENT (this “Amendment”), dated
as of September 28, 2015 (the “Effective Date”), is made by and among CITIBANK, N.A. (together with
its successors and/or assigns, “Buyer”), RAIT CMBS CONDUIT I, LLC, a Delaware limited liability
company (“Seller I”) and RAIT CRE CONDUIT III, LLC, a Delaware limited liability company (“Seller
III”; together with Seller I, collectively, “Seller”), for the purpose of acknowledging and
agreeing to the provision set forth in Section 3 hereof, RAIT FINANCIAL TRUST., a Maryland
real estate investment trust (“Guarantor”).



W I T N E S S E T H:




WHEREAS, Seller and Buyer have entered into that certain Amended and Restated Master
Repurchase Agreement, dated as of July 28, 2014 (as the same may be amended, supplemented,
extended, restated, replaced or otherwise modified from time to time, the “Repurchase Agreement”);



WHEREAS, all capitalized terms used herein and not otherwise defined shall have the respective
meanings set forth in the Repurchase Agreement;



WHEREAS, Seller and Buyer desire to modify certain terms and provisions of the Repurchase
Agreement as set forth herein.



NOW, THEREFORE, in consideration of ten dollars ($10) and for other good and valuable
consideration, the receipt and legal sufficiency of which are hereby acknowledged, Seller and Buyer
covenant and agree as follows as of the Effective Date, and Guarantor acknowledges and agrees as to
the provision set forth in Section 3 as of the Effective Date:



1. Modification of Repurchase Agreement. The Repurchase Agreement is hereby modified
as of the Effective Date as follows:



(a) The following definitions in Section 2 of the Repurchase Agreement are hereby deleted in
their entirety and the following corresponding definitions are substituted therefor:




“Applicable Spread” shall mean, with respect to each Transaction:




(i) so long as no Event of Default shall have occurred and be continuing, two hundred
fifty basis points (i.e., 2.50%),




(ii) after the occurrence and during the continuance of an Event of Default, the
applicable incremental per annum rate described in clause (i) of this definition, as
applicable, plus 400 basis points (4.0%).




“Margin Percentage” shall mean 133.33%.




“Purchase Percentage” shall mean 75.00%; provided, however, that
with respect to any individual Transaction for a Floating Rate Purchased Loan, Buyer shall
have the right to reduce the Purchase Percentage applicable to such Transaction to the
extent necessary to cause the Debt Yield (Purchased Loans) for all Floating Rate Purchased
Loans (on a weighted average basis based upon the outstanding Purchase Price for all
Floating Rate Purchased Loans determined as of the applicable Purchase Date) to not be less
than 9.00%.



2. Seller’s Representations. Seller has taken all necessary action to authorize the
execution, delivery and performance of this Amendment. This Amendment has been duly executed and
delivered by or on behalf of Seller and constitutes the legal, valid and binding obligation of
Seller enforceable against Seller in accordance with its terms subject to bankruptcy, insolvency,
and other limitations on creditors’ rights generally and to equitable principles. No Event of
Default has occurred and is continuing, and no Event of Default will occur as a result of the
execution, delivery and performance by Seller of this Amendment. Any consent, approval,
authorization, order, registration or qualification of or with any Governmental Authority required
for the execution, delivery and performance by Seller of this Amendment has been obtained and is in
full force and effect (other than consents, approvals, authorizations, orders, registrations or
qualifications that if not obtained, are not reasonably likely to have a Material Adverse Effect).



3. Reaffirmation of Guaranty. Guarantor has executed this Amendment for the purpose
of acknowledging and agreeing that, notwithstanding the execution and delivery of this Amendment
and the amendment of the Repurchase Agreement hereunder, all of Guarantor’s obligations under the
Guaranty remain in full force and effect and the same are hereby irrevocably and unconditionally
ratified and confirmed by Guarantor in all respects.



4. Conditions Precedent. This Amendment and its provision shall become effective upon
the execution and delivery of this Amendment by a duly authorized officer of each of Seller, Buyer
and Guarantor.



5. Agreement Regarding Expenses. Seller agrees to pay Buyer’s reasonable out of
pocket expenses (including reasonable legal fees) incurred in connection with the preparation and
negotiation of this Amendment promptly (and after Buyer or Buyer’s counsel gives Seller an invoice
for such expenses).



6. Full Force and Effect. Except as expressly modified hereby, all of the terms,
covenants and conditions of the Repurchase Agreement and the other Transaction Documents remain
unmodified and in full force and effect and are hereby ratified and confirmed by Seller. Any
inconsistency between this Amendment and the Repurchase Agreement (as it existed before this
Amendment) shall be resolved in favor of this Amendment, whether or not this Amendment specifically
modifies the particular provision(s) in the Repurchase Agreement inconsistent with this Amendment.
All references to the “Agreement” in the Repurchase Agreement or to the “Repurchase Agreement” in
any of the other Transaction Documents shall mean and refer to the Repurchase Agreement as modified
and amended hereby.



7. No Waiver. The execution, delivery and effectiveness of this Amendment shall not
operate as a waiver of any right, power or remedy of the Buyer under the Repurchase Agreement, the
Guaranty, any of the other Transaction Documents or any other document, instrument or agreement
executed and/or delivered in connection therewith.



8. Headings. Each of the captions contained in this Amendment are for the convenience
of reference only and shall not define or limit the provisions hereof.



9. Counterparts. This Amendment may be executed in any number of counterparts, and
all such counterparts shall together constitute the same agreement. Signatures delivered by email
(in PDF format) shall be considered binding with the same force and effect as original signatures.



10. Governing Law. This Amendment shall be governed in accordance with the terms and
provisions of Section 20 of the Repurchase Agreement.



[No Further Text on this Page; Signature Pages Follow]




IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed by
their duly authorized representatives as of the day and year first above written and effective as
of the Effective Date.




SELLER:



	 
	RAIT CMBS CONDUIT I, LLC,

a Delaware limited liability company

By: RAIT Funding, LLC, a Delaware limited liability company, its sole Member

By: Taberna Realty Finance Trust, a Maryland real estate investment trust, its

sole Member

By: /s/ James Sebra

	 

	Name: James Sebra

Title: Chief Financial Officer







	 
	RAIT CRE CONDUIT III, LLC,
	a Delaware limited liability company
	By:	 	RAIT Partnership, L.P., a Delaware limited partnership, its sole Member
	By:	 	RAIT General, Inc., a Maryland corporation, its general partner
	By:	 	/s/ James Sebra
	Name: James Sebra
	Title: Chief Financial Officer
	 	 	[SIGNATURES PAGES CONTINUE ON NEXT PAGE]






GUARANTOR:




RAIT FINANCIAL TRUST


a Maryland real estate investment trust




By: /s/ James Sebra

Name: James Sebra

Title: Chief Financial Officer




[SIGNATURES PAGES CONTINUE ON NEXT PAGE]






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BUYER:




CITIBANK, N.A.




By: /s/ Richard B. Schlenger

Name: Richard B. Schlenger

Title: Authorized Signatory





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