**FIRST      AMENDMENT TO MASTER REPURCHASE AGREEMENT**

**(VFCC/NorthStar)**

**THIS      FIRST AMENDMENT TO MASTER REPURCHASE AGREEMENT**
** **
**NRFC      WA HOLDINGS, LLC**
**NRFC      WA HOLDINGS II, LLC**
**NRFC      WA HOLDINGS VII, LLC**
**NRFC      WA HOLDINGS X, LLC**
**NRFC      WA HOLDINGS XI, LLC**
**NRFC      WA HOLDINGS XII, LLC**
**VARIABLE      FUNDING CAPITAL COMPANY LLC**
**WACHOVIA      BANK, NATIONAL ASSOCIATION**
**WACHOVIA      CAPITAL MARKETS, LLC**
**NORTHSTAR      REALTY FINANCE CORP**
**NORTHSTAR      REALTY FINANCE L.P.**
**NRFC      SUB-REIT CORP.**

**R**
**E**
**C**
**I**
**T**
**A**
**L**
**S**

**WHEREAS**

**WHEREAS**

**WHEREAS**

**WHEREAS**

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**NOW      THEREFORE**

**Section      **
**1**
**.**
**Amendment      to Repurchase Agreement**
**.      **

**Section      **
**2**
**.**
**[**
**Reserved**
**].**

**Section      **
**3**
**.**
**Repurchase      Documents in Full Force and Effect as Modified**
**.**

**Section      **
**4**
**.**
**Representations**
**.**

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**Section      **
**5**
**.**
**Conditions      Precedent**
**.**

**Section      **
**6**
**.**
**Miscellaneous**
**.**

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**THIS      AMENDMENT**
**NO. 1      AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES UNDER THIS AMENDMENT NO. 1      SHALL BE GOVERNED BY AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH THE LAWS      OF THE STATE OF NEW YORK WITHOUT REFERENCE TO ITS CONFLICT OF LAWS      PROVISIONS.**

**[REMAINDER      OF PAGE INTENTIONALLY LEFT BLANK]**

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**IN      WITNESS WHEREOF,**

|                          |   |   |                                                                                                                                                                                                      |
|-------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE              SELLERS:** |   |   | **NRFC              WA              HOLDINGS, LLC,**                                                                                                                                                      |
|                          |   |   | a Delaware limited liability              company                                                                                                                                                         |
|                          |   |   |                                                                                                                                                                                                      |
|                          |   |   | By:               /s/              Daniel R. Gilbert                                                                                                                                                 |
|                               |   |   | Name:                 Daniel R. Gilbert                                                                                                                                                              |
|                               |   |   | Title: Executive                Vice President                                                                                                                                                       |
|                          |   |   |                                                                                                                                                                                                      |
|                          |   |   | Address                for Notices:NRFC                WA Holdings, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                          |   |   |                                                                                                                                                                                                      |
|                          |   |   | Attention:                                                                                                                                                                                                | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                          |   |   | Facsimile No.:                                                                                                                                                                                       | (212)                547-2700 |
|                          |   |   | Confirmation No.:                                                                                                                                                                                    | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                          |   |   |                                                                                                                                                                                                      |
|                          |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022                              |
|                          |   |   | Attention:                                                                                                                                                                                                | Robert J. Grados, Esq. |
|                          |   |   | Facsimile No.:                                                                                                                                                                                            | (212)              230-7830 |
|                          |   |   | Confirmation No.:                                                                                                                                                                                    | (212)              318-6923 |

----

|                                  |   |   |                                                                                                                                                                                                         |
|---------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE              SELLERS (cont.):** |   |   | **NRFC              WA              HOLDINGS II, LLC,**                                                                                                                                                      |
|                                  |   |   | a Delaware limited liability              company                                                                                                                                                            |
|                                  |   |   |                                                                                                                                                                                                         |
|                                  |   |   | By: /s/              Daniel R. Gilbert                                                                                                                                                                  |
|                                       |   |   | Name:                 Daniel R. Gilbert                                                                                                                                                                 |
|                                       |   |   | Title: Executive                Vice President                                                                                                                                                          |
|                                  |   |   |                                                                                                                                                                                                         |
|                                  |   |   | Address                for Notices:NRFC                WA Holdings II, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                  |   |   |                                                                                                                                                                                                         |
|                                  |   |   | Attention:                                                                                                                                                                                                   | Andy                Richardson Al                  Tylis, Esq.Daniel                  R. Gilbert |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                          | (212)                547-2700 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                       | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                  |   |   |                                                                                                                                                                                                         |
|                                  |   |   | with                  a copy to:Paul                  Hastings Janofsky & Walker LLP75                  East 55th                  StreetNew                  York, New York 10022                       |
|                                  |   |   | Attention:                                                                                                                                                                                                   | Robert J. Grados, Esq. |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                               | (212)              230-7830 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                       | (212)              318-6923 |

----

|                                  |   |   |                                                                                                                                                                                                          |
|---------------------------------------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE              SELLERS (cont.):** |   |   | **NRFC              WA HOLDINGS VII, LLC,**a                Delaware limited liability company                                                                                                                |
|                                  |   |   |                                                                                                                                                                                                          |
|                                  |   |   | By:                /s/              Daniel R. Gilbert                                                                                                                                               |
|                                       |   |   | Name:               Daniel R. Gilbert                                                                                                                                                                    |
|                                       |   |   | Title: Executive              Vice President                                                                                                                                                             |
|                                  |   |   |                                                                                                                                                                                                          |
|                                  |   |   | Address                for Notices:NRFC                WA Holdings VII, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                  |   |   | Attention:                                                                                                                                                                                                    | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                           | (212) 547-2700 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                        | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                  |   |   |                                                                                                                                                                                                          |
|                                  |   |   | with a copy to:                                                                                                                                                                                               |
|                                  |   |   |                                                                                                                                                                                                          |
|                                  |   |   | Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022                                                                |
|                                  |   |   | Attention:                                                                                                                                                                                                    | Robert J. Grados, Esq. |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                                | (212) 230-7830 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                        | (212)              318-6923 |

----

|                                  |   |   |                                                                                                                                                                                                        |
|---------------------------------------|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE SELLERS              (cont.):** |   |   | **NRFC WA HOLDINGS              X,              LLC,**a                Delaware limited liability company                                                                                                   |
|                                  |   |   |                                                                                                                                                                                                        |
|                                  |   |   | By:               /s/              Daniel R. Gilbert                                                                                                                                                   |
|                                       |   |   | Name:               Daniel R. Gilbert                                                                                                                                                                  |
|                                       |   |   | Title: Executive              Vice President                                                                                                                                                           |
|                                  |   |   |                                                                                                                                                                                                        |
|                                  |   |   | Address                for Notices:NRFC                WA Holdings X, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                  |   |   |                                                                                                                                                                                                        |
|                                  |   |   | Attention:                                                                                                                                                                                             | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                                  |   |   | Facsimile              No.:                                                                                                                                                                                 | (212) 547-2700 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                      | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                  |   |   |                                                                                                                                                                                                        |
|                                  |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022                                |
|                                  |   |   | Attention:                                                                                                                                                                                                  | Robert J. Grados, Esq. |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                              | (212) 230-7830 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                      | (212)              318-6923 |

----

|                                  |   |   |                                                                                                                                                                                                                 |
|---------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE SELLERS              (cont.):** |   |   | **NRFC              WA HOLDINGS XI, LLC,**a                Delaware limited liability company                                                                                                                        |
|                                  |   |   |                                                                                                                                                                                                                 |
|                                  |   |   | By:               /s/              Daniel R. Gilbert                                                                                                                                                            |
|                                       |   |   | Name:               Daniel R. Gilbert                                                                                                                                                                           |
|                                       |   |   | Title: Executive              Vice President                                                                                                                                                                    |
|                                  |   |   |                                                                                                                                                                                                                 |
|                                  |   |   | Address                for Notices: NRFC                  WA Holdings XI, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                  |   |   |                                                                                                                                                                                                                 |
|                                  |   |   | Attention:                                                                                                                                                                                                      | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                                  |   |   | Facsimile              No.:                                                                                                                                                                                          | (212) 547-2700 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                               | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                  |   |   |                                                                                                                                                                                                                 |
|                                  |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022                                         |
|                                  |   |   | Attention:                                                                                                                                                                                                           | Robert J. Grados, Esq. |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                                       | (212) 230-7830 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                               | (212)              318-6923 |

----

|                                  |   |   |                                                                                                                                                                                                            |
|---------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE SELLERS              (cont.):** |   |   | **NRFC WA HOLDINGS              XII,              LLC,**a                Delaware limited liability company                                                                                                     |
|                                  |   |   |                                                                                                                                                                                                            |
|                                  |   |   | By:               /s/              Daniel R. Gilbert                                                                                                                                                       |
|                                       |   |   | Name:               Daniel R. Gilbert                                                                                                                                                                      |
|                                       |   |   | Title: Executive              Vice President                                                                                                                                                               |
|                                  |   |   |                                                                                                                                                                                                            |
|                                  |   |   | Address                for Notices:NRFC                  WA Holdings XII, LLCc/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                  |   |   |                                                                                                                                                                                                            |
|                                  |   |   | Attention:                                                                                                                                                                                                 | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                                  |   |   | Facsimile              No.:                                                                                                                                                                                     | (212) 547-2700 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                          | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                  |   |   |                                                                                                                                                                                                            |
|                                  |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022                                    |
|                                  |   |   | Attention:                                                                                                                                                                                                      | Robert J. Grados, Esq. |
|                                  |   |   | Facsimile No.:                                                                                                                                                                                                  | (212) 230-7830 |
|                                  |   |   | Confirmation No.:                                                                                                                                                                                          | (212)              318-6923 |

----

|                               |   |   |                                                                                                                                                                                                                                        |
|------------------------------------|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE                PURCHASERS:** |   |   | **VARIABLE                FUNDING CAPITAL COMPANY LLC,**                                                                                                                                                                                    |
|                               |   |   | as                a Purchaser                                                                                                                                                                                                               |
|                               |   |   |                                                                                                                                                                                                                                        |
|                               |   |   | By:                    Wachovia                    Capital Markets, LLC, as                attorney-in-fact                                                                                                                                 |
|                               |   |   |                                                                                                                                                                                                                                        |
|                               |   |   | By:               /s/              Douglas R. Wilson, Sr.                                                                                                                                                                              |
|                                    |   |   | Name:                 Douglas R. Wilson, Sr.Title:                 Director                                                                                                                                                       |
|                               |   |   |                                                                                                                                                                                                                                        |
|                                    |   |   | Variable                Funding Capital Company LLCc/o                Wachovia Capital Markets, LLCOne                Wachovia Center, Mail Code: TW10301                South College StreetCharlotte,                North Carolina 28288 |
|                               |   |   | Attention:                                                                                                                                                                                                                             | Conduit Administration |
|                               |   |   | Facsimile No.:                                                                                                                                                                                                                              | (704) 383-9579 |
|                               |   |   | Confirmation No.:                                                                                                                                                                                                                           | (704) 374-2520 |
|                               |   |   |                                                                                                                                                                                                                                        |
|                               |   |   | with                a copy to:Wachovia                Capital Markets, LLCOne                Wachovia Center, Mail Code: NC0166301                South College StreetCharlotte,                North Carolina 28288                        |
|                               |   |   | Attention:                                                                                                                                                                                                                                  | Joseph F. Cannon |
|                               |   |   | Facsimile No.:                                                                                                                                                                                                                              | (704) 715-0066 |
|                               |   |   | Confirmation No.:                                                                                                                                                                                                                           | (704)              383-2324 |

----

|                                       |   |   |                                                                                                                                                                                         |
|--------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE                PURCHASERS (cont.):** |   |   | **WACHOVIA                BANK, NATIONAL ASSOCIATION**                                                                                                                                       |
|                                       |   |   | as                the Swingline Purchaser                                                                                                                                                    |
|                                       |   |   |                                                                                                                                                                                         |
|                                       |   |   | By:                 /s/                Joseph F. Cannon                                                                                                                                 |
|                                            |   |   | Name:                 Joseph F. CannonTitle:                 Vice President                                                                                                        |
|                                       |   |   |                                                                                                                                                                                         |
|                                            |   |   | Wachovia                Bank, National AssociationOne                Wachovia Center, Mail Code: NC0166301                South College StreetCharlotte,                North Carolina 28288 |
|                                       |   |   | Attention:                                                                                                                                                                              | Joseph F. Cannon |
|                                       |   |   | Facsimile No.:                                                                                                                                                                               | (704) 715-0066 |
|                                       |   |   | Confirmation No.:                                                                                                                                                                       | (704)              383-2324 |

----

|                                   |   |   |                                                                                                                                                                                   |
|----------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE              DEAL AGENT:**  |   |   | **WACHOVIA              CAPITAL MARKETS, LLC**                                                                                                                                         |
|                                   |   |   |                                                                                                                                                                                   |
|                                   |   |   | By:                 /s/                Joseph F. Cannon                                                                                                                           |
|                                        |   |   | Name:                 Joseph F. CannonTitle:                 Vice President                                                                                                  |
|                                   |   |   |                                                                                                                                                                                   |
|                                        |   |   | Wachovia                Capital Markets, LLCOne                Wachovia Center, Mail Code: NC0166301                South College StreetCharlotte,                North Carolina 28288 |
|                                   |   |   | Attention:                                                                                                                                                                        | Joseph F. Cannon |
|                                   |   |   | Facsimile No.:                                                                                                                                                                         | (704) 715-0066 |
|                                   |   |   | Confirmation No.:                                                                                                                                                                 | (704)              383-2324 |

----

|                |   |   |                                                                                                                                                                         |
|---------------------|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE GUARANTORS:** |   |   | **NORTHSTAR              REALTY FINANCE CORP.,**a                Maryland corporation                                                                                        |
|                |   |   |                                                                                                                                                                         |
|                |   |   | By:                 /s/                Daniel R. Gilbert                                                                                                                |
|                     |   |   | Name:                 Daniel R. GilbertTitle: Executive                Vice President                                                                              |
|                |   |   |                                                                                                                                                                         |
|                     |   |   | NorthStar                Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022                                               |
|                |   |   | Attention:                                                                                                                                                                   | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                |   |   | Facsimile No.:                                                                                                                                                          | (212) 547-2700 |
|                |   |   | Confirmation No.:                                                                                                                                                       | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022 |
|                |   |   | Attention:                                                                                                                                                                   | Robert J. Grados, Esq. |
|                |   |   | Facsimile No.:                                                                                                                                                               | (212) 230-7830 |
|                |   |   | Confirmation No.:                                                                                                                                                            | (212)              318-6923 |

----

|                                       |   |   |                                                                                                                                                                               |
|--------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE                GUARANTORS (cont.):** |   |   | **NORTHSTAR              REALTY FINANCE L.P.,**a                Delaware limited partnership,                                                                                      |
|                                       |   |   |                                                                                                                                                                               |
|                                       |   |   | By:                NorthStar                Realty Finance Corp., a                Maryland corporation, its general partner                                                       |
|                                       |   |   |                                                                                                                                                                               |
|                                       |   |   | By:                 /s/                Daniel R. Gilbert                                                                                                                      |
|                                            |   |   | Name:                 Daniel R. GilbertTitle: Executive                Vice President                                                                                    |
|                                       |   |   |                                                                                                                                                                               |
|                                            |   |   | NorthStar                  Realty Finance L.P.c/o                  NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022 |
|                                       |   |   | Attention:                                                                                                                                                                         | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                                       |   |   | Facsimile No.:                                                                                                                                                                | (212) 547-2700 |
|                                       |   |   | Confirmation No.:                                                                                                                                                             | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                                       |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022       |
|                                       |   |   | Attention:                                                                                                                                                                         | Robert J. Grados, Esq. |
|                                       |   |   | Facsimile No.:                                                                                                                                                                     | (212) 230-7830 |
|                                       |   |   | Confirmation No.:                                                                                                                                                                  | (212)              318-6923 |

----

**Acknowledged      and Agreed to:**

|                          |   |   |                                                                                                                                                                         |
|-------------------------------|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **THE              PLEDGOR:** |   |   | **NRFC              SUB-REIT CORP.,** a                Maryland corporation                                                                                             |
|                          |   |   |                                                                                                                                                                         |
|                          |   |   | By:                 /s/                Daniel R. Gilbert                                                                                                                |
|                               |   |   | Name:                 Daniel R. GilbertTitle: Executive                Vice President                                                                              |
|                          |   |   |                                                                                                                                                                         |
|                               |   |   | NRFC                Sub-REIT Corp.c/o                NorthStar Realty Finance Corp.399                Park Avenue, 18th floorNew                York, New York 10022         |
|                          |   |   | Attention:                                                                                                                                                                   | Andy RichardsonAl                Tylis, Esq.Daniel                R. Gilbert |
|                          |   |   | Facsimile No.:                                                                                                                                                               | (212) 547-2700 |
|                          |   |   | Confirmation No.:                                                                                                                                                            | (212) 547-2650(212)                547-2641(212)                547-2680 |
|                          |   |   |                                                                                                                                                                         |
|                          |   |   | with                a copy to:Paul                Hastings Janofsky & Walker LLP75                East 55th                StreetNew                York, New York 10022 |
|                          |   |   | Attention:                                                                                                                                                                   | Robert J. Grados, Esq. |
|                          |   |   | Facsimile No.:                                                                                                                                                               | (212) 230-7830 |
|                          |   |   | Confirmation No.:                                                                                                                                                            | (212)              318-6923 |

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