# EDGAR Filing Document

**Accession Number:** 0002049595
**File Stem:** 0001193125-26-259869
**Filing Date:** 2026-6
**Character Count:** 877721
**Document Hash:** 9501061e10efac5ece49a9d7d57c5122
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001193125-26-259869.hdr.sgml**: 20260605

**ACCESSION NUMBER**: 0001193125-26-259869

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 14

**CONFORMED PERIOD OF REPORT**: 20260601

**ITEM INFORMATION**: Entry into a Material Definitive Agreement

**ITEM INFORMATION**: Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20260605

**DATE AS OF CHANGE**: 20260605

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** BlackRock Monticello Debt Real Estate Investment Trust
- **CENTRAL INDEX KEY:** 0002049595
- **STANDARD INDUSTRIAL CLASSIFICATION:** REAL ESTATE INVESTMENT TRUSTS [6798]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 336595754
- **STATE OF INCORPORATION:** MD
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-56720
- **FILM NUMBER:** 261070076

**BUSINESS ADDRESS:**
- **STREET 1:** 50 HUDSON YARDS
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10001
- **BUSINESS PHONE:** 212 810-5300

**MAIL ADDRESS:**
- **STREET 1:** 50 HUDSON YARDS
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10001

?xml version='1.0' encoding='ASCII'? 8-K

### UNITED STATES

### SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

### FORM 8-K

#### CURRENT REPORT

#### Pursuant to Section 13 OR 15(d)

#### of The Securities Exchange Act of 1934

#### Date of Report (Date of earliest event reported): June 1, 2026

## BlackRock Monticello Debt Real Estate Investment Trust

#### (Exact name of registrant as specified in its charter)

---

| | | |
|:---|:---|:---|
| **Maryland** | **000-56720** | **33-6595754** |
| **(State or other jurisdiction**<br> **of incorporation)** | **(Commission**<br> **File Number)** | **(IRS Employer**<br> **Identification No.)** |

---

---

| | |
|:---|:---|
| **50 Hudson Yards, New York, New York** | **10001** |
| **(Address of principal executive offices)** | **(Zip Code)** |

---

#### Registrant's telephone number, including area code: (212) 810-5300

#### Not Applicable

#### (Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act: None

---

| | | |
|:---|:---|:---|
| **Title of each class** | **Trading<br>Symbol(s)** | **Name of each exchange**<br> **on which registered** |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging Growth Company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

------

---

| | |
|:---|:---|
| **Item 1.01.** | **Entry into a Material Definitive Agreement.**  |

---

*ConnectOne Credit Agreement* 

On June 1, 2026, BLKM VI, LLC (the "Borrower"), an indirect subsidiary of BlackRock Monticello Debt Real Estate Investment Trust (the "Company"), entered into a credit and security agreement (as it may be amended from time to time, the "ConnectOne Credit Agreement") with ConnectOne Bank, as administrative agent (in such capacity, the "Administrative Agent") and account bank, the Company, as guarantor, MonticelloAM Servicing, LLC, as servicer, and certain other lenders party thereto.

The maximum aggregate commitment under the ConnectOne Credit Agreement is $100,000,000, which may be increased up to a total amount of $150,000,000 at the Borrower's request subject to the consent of the Administrative Agent, in its sole discretion and the lenders providing such increase. The ConnectOne Credit Agreement will mature on June 1, 2029, and may be extended by the Borrower for two additional twelve-month terms subject to the payment of an extension fee and other customary conditions. The ConnectOne Credit Agreement will be secured by a first priority perfected security interest in the assets of the Borrower, including the Borrower's interest in eligible commercial real estate loans, and by a pledge of equity interests of the Borrower.

Advances under the ConnectOne Credit Agreement generally accrue interest at a rate per annum equal to the Term Secured Overnight Financing Rate ("SOFR") for a one-month period, subject to a SOFR floor of 3.00% per annum, plus an applicable spread, determined in accordance with the ConnectOne Credit Agreement. Additionally, the Borrower is required to pay a commitment fee and a non-usage fee in connection with the ConnectOne Credit Agreement.

The ConnectOne Credit Agreement contains representations, warranties, covenants, events of default and indemnities that are customary for an agreement of its type.

The foregoing summary description of the ConnectOne Credit Agreement does not purport to be complete and is qualified in its entirety by reference to the ConnectOne Credit Agreement, a copy of which is included as Exhibit 10.1 to this Current Report on Form 8-K and incorporated herein by reference.

*Nomura Repurchase Agreement* 

On June 4, 2026, BLKM V, LLC (the "Seller"), an indirect subsidiary of the Company, entered into a master repurchase agreement (as it may be amended from time to time, the "Nomura Repurchase Agreement") with Nomura Corporate Funding Americas, LLC, as buyer (in such capacity, the "Buyer"), to finance the acquisition by the Seller of eligible loans as more particularly described in the Nomura Repurchase Agreement.

The Nomura Repurchase Agreement provides for asset purchases by the Buyer for an initial maximum aggregate purchase price of $250,000,000. The initial maturity date of the Nomura Repurchase Agreement is June 4, 2029, subject to one twelve-month extension option to June 4, 2030, subject to satisfaction of certain customary conditions. The Seller's obligations under the Nomura Repurchase Agreement will be secured by a first priority security interest in the purchased assets, and by a pledge of equity interests of the Seller.

Advances under the Nomura Repurchase Agreement accrue interest at a per annum rate equal to the Term SOFR for a one month period, plus a margin as agreed upon by the Buyer and Seller for each transaction and the Seller pays a fee on each draw day equal to 25 basis points on the amount funded by the Nomura Repurchase Agreement, determined in accordance with the Nomura Repurchase Agreement. Additionally, the Seller is required to pay commitment and extension fees in connection with the Nomura Repurchase Agreement.

In connection with the Nomura Repurchase Agreement, the Company provided a Guaranty (the "Guaranty"), which may become full recourse to the Company upon the occurrence of certain events as described in the Guaranty.

The Nomura Repurchase Agreement and Guaranty contain representations, warranties, covenants, events of default and indemnities that are customary for agreements of their type.

The foregoing summary description of each of the Nomura Repurchase Agreement and Guaranty does not purport to be complete and is qualified in its entirety by reference to the Nomura Repurchase Agreement and Guaranty, copies of which are included as Exhibits 10.2 and 10.3, respectively, to this Current Report on Form 8-K and incorporated herein by reference.

------

---

| | |
|:---|:---|
| **Item 2.03.** | **Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.**  |

---

The information set forth in Item 1.01 is incorporated herein by reference into this Item 2.03.

---

| | |
|:---|:---|
| **Item 9.01** | **Financial Statements and Exhibits.**  |

---

(d) Exhibits

---

| | |
|:---|:---|
| **Exhibit**<br> **No.** | **Description** |
| 10.1\* | [Credit and Security Agreement, dated June 1, 2026, by and among BLKM VI, LLC, as borrower, BlackRock Monticello Debt Real Estate Investment Trust, as guarantor, ConnectOne Bank, as administrative agent and account bank, MonticelloAM Servicing, LLC, as servicer, and each of the lenders from time to time party thereto.](d82690dex101.htm) |
| 10.2\* | [Master Repurchase Agreement, dated June 4, 2026, by and among BLKM V, LLC, as seller, Nomura Corporate Funding Americas, LLC, as buyer, and any additional sellers from time to time party thereto.](d82690dex102.htm) |
| 10.3\* | [Guaranty, dated June 4, 2026, made by BlackRock Monticello Debt Real Estate Investment Trust for the benefit of Nomura Corporate Funding Americas, LLC.](d82690dex103.htm) |
| 104 | Cover Page Interactive Data File (embedded within the XBRL file) |

---

\* Portions of this exhibit have been omitted pursuant to Item 601(a)(6) and/or Item 601(b)(10)(iv) of Regulation S-K.

------

#### SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | |
|:---|:---|
| **BlackRock Monticello Debt Real Estate Investment Trust** | **BlackRock Monticello Debt Real Estate Investment Trust** |
| By: | /s/ Barry W. Szarvas Jr. |
| Name: | Barry W. Szarvas Jr. |
| Title: | Chief Financial Officer |

---

Dated: June 5, 2026

## Exhibit 10.1

**CERTAIN INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(B)(10) OF REGULATION S-K, BECAUSE IT IS BOTH NOT MATERIAL AND THE TYPE THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL. IN ADDITION, CERTAIN PERSONALLY IDENTIFIABLE INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(A)(6) OF REGULATION S-K. [\*\*\*] INDICATES THAT INFORMATION HAS BEEN REDACTED.** 

**Exhibit 10.1** 

Loan No.: 442984100

**CREDIT AND SECURITY AGREEMENT** 

among

**BLKM VI, LLC,** 

as the Borrower,

**EACH OF THE LENDERS FROM TIME TO TIME PARTY HERETO,** 

as the Lender,

**CONNECTONE BANK,** 

as the Administrative Agent and the Account Bank,

**BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST,** 

as the Guarantor

and

**MONTICELLOAM SERVICING, LLC,** 

as the Servicer

Dated as of June 1, 2026

------

**TABLE OF CONTENTS** 

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
|  ARTICLE I DEFINITIONS | ARTICLE I DEFINITIONS | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 1.1. | Defined Terms | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 1.2. | Other Definitional Provisions; Terms of Construction | 33 |
| ARTICLE II THE FACILITY | ARTICLE II THE FACILITY | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commitments | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Note | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Procedures for Advances | 35 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest and Fees | 38 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.5. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Collections, Allocations and Payments | 39 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.6. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Remittance Procedures | 40 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.7. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Increased Costs; Capital Adequacy | 42 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.8. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Taxes | 43 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.9. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Continuing Authority of Authorized Representatives | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.10. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Benchmark Transition Event | 45 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.11. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Defaulting Lender | 46 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.12. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Additional Lenders | 47 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 2.13. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Increases in Facility Amount | 47 |
|  ARTICLE III CONDITIONS PRECEDENT | ARTICLE III CONDITIONS PRECEDENT | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Conditions to Effectiveness | 49 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Each Advance | 52 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; [Reserved] | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 3.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Force Majeure | 54 |
|  ARTICLE IV GENERAL REPRESENTATIONS AND WARRANTIES | ARTICLE IV GENERAL REPRESENTATIONS AND WARRANTIES | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Organization; Good Standing; Subsidiaries | 54 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Authorization and Enforceability | 55 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Litigation; Judgments | 55 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Approvals | 55 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.5. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Solvency | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.6. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Payment of Taxes | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.7. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Exchange Act Compliance; Regulations T, U and X | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.8. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Security Interest | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.9. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reports Accurate | 57 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.10. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chief Executive Office; Jurisdiction of Organization | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.11. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reserved | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.12. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Special Purpose Entity Requirements | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.13. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Separateness | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.14. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Investment Company Act; Volcker Rule | 61 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.15. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ERISA | 61 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.16. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Compliance with Laws | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.17. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accuracy of Representations and Warranties | 62 |

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.18. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Environmental Laws | 62 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.19. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Event of Default; Default | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.20. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financial Condition | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.21. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other Agreements | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.22. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Organizational Chart | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.23. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fiscal Year | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.24. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Identification Numbers | 63 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.25. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Sanctions | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.26. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Anti-Terrorism Laws | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.27. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No Broker | 64 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 4.28. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Special Representations and Warranties Concerning the Collateral | 64 |
|  ARTICLE V COVENANTS | ARTICLE V COVENANTS | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 5.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Affirmative Covenants | 65 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 5.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Negative Covenants | 71 |
|  ARTICLE VI REPORTING | ARTICLE VI REPORTING | 74 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 6.1. | Reports | 74 |
|  ARTICLE VII DEFAULTS; REMEDIES | ARTICLE VII DEFAULTS; REMEDIES | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Events of Default | 75 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Remedies | 78 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Application of Proceeds | 81 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Administrative Agent Appointed Attorney-in-Fact | 82 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 7.5. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Right of Set-Off | 82 |
|  ARTICLE VIII THE ADMINISTRATIVE AGENT | ARTICLE VIII THE ADMINISTRATIVE AGENT | 82 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 8.1. | The Administrative Agent | 82 |
|  ARTICLE IX RESERVED | ARTICLE IX RESERVED | 86 |
|  ARTICLE X MISCELLANEOUS | ARTICLE X MISCELLANEOUS | 86 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amendments and Waivers | 86 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Notices, etc. | 87 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No Waiver; Remedies | 88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Binding Effect; Assignability | 88 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.5. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Term of This Agreement | 89 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.6. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; GOVERNING LAW; JURY WAIVER | 89 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.7. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Costs, Expenses and Taxes | 89 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.8. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No Proceedings | 90 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.9. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Recourse Against Certain Parties | 90 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.10. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Execution in Counterparts; Severability; Integration | 91 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.11. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consent to Jurisdiction; Service of Process | 91 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.12. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Confidentiality | 91 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.13. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-Confidentiality of Tax Treatment | 93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.14. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Waiver of Set Off | 93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.15. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Waiver of Notice | 93 |

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ii

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| | | |
|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.16. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Headings and Exhibits | 93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.17. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ratable Payments | 93 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.18. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Failure of Borrower to Perform Certain Obligations | 94 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.19. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Power of Attorney | 94 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.20. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delivery of Termination Statements, Releases, etc. | 94 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.21. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-Petition | 94 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.22. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Attorney's Fees and Expenses | 95 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.23. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Indemnification | 96 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.24. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reserved | 96 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.25. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reserved | 96 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.26. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Sole Discretion of the Administrative Agent | 96 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.27. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; No Joint Venture or Partnership | 96 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.28. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; [Reserved] | 97 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.29. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Marshalling and Other Matters | 97 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 10.30. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Patriot Act | 98 |
|  ARTICLE XI SERVICING AND COLLATERAL ASSIGNMENT OF SERVICING CONTRACT | ARTICLE XI SERVICING AND COLLATERAL ASSIGNMENT OF SERVICING CONTRACT | 98 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 11.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Servicing | 98 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 11.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Assignment | 99 |
|  ARTICLE XII GUARANTY | ARTICLE XII GUARANTY | 100 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.1. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Guaranty | 100 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.2. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Failure to Pay and Perform Guarantied Obligations; Insolvency of Guarantor | 101 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.3. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Waiver of Demands, Notices, Diligence, etc. | 101 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.4. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Obligations of Guarantor Unconditional | 101 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.5. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Representations and Warranties of Guarantor | 102 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.6. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Waiver of Rights of Subrogation | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.7. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reinstatement | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.8. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financial Statements | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.9. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Financial Covenants | 105 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.10. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Guarantor Covenants | 108 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.11. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Guarantor Events of Default | 109 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.12. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Further Assurances | 109 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.13. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Subordination by Guarantor | 109 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.14. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Recourse Liability | 110 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.15. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Additional Guaranties | 110 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Section 12.16. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Right of Setoff | 110 |

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iii

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**<u>LIST OF EXHIBITS, SCHEDULES AND ANNEXES</u>**

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| | |
|:---|:---|
| <u>EXHIBITS</u> |  |
| EXHIBIT A | Form of Advance Request |
| EXHIBIT B | Form of Notice of Reduction (Reduction of Advances Outstanding/Maximum Facility Amount) |
| EXHIBIT C | Initial Property Information and Required Third Party Reports |
| EXHIBIT D | Eligible Loans |
| EXHIBIT E | Authorized Representatives |
| EXHIBIT F | Litigation |
| EXHIBIT G | Organizational Chart |
| EXHIBIT H | Form of Compliance Certificate |
| EXHIBIT I | Form of Transferee Letter |
| EXHIBIT J | Form of Joinder Supplement |
| EXHIBIT K | Form of Borrowing Base Certificate |
| EXHIBIT L | Form of Note |
| EXHIBIT M | Form of Guarantor Compliance Certificate |
| EXHIBIT N | Form of Monthly Report |
| <u>SCHEDULES</u> |  |
| SCHEDULE I | Underwriting Package Items |
| SCHEDULE II | Loan List |
| <u>ANNEXES</u> |  |
| ANNEX A | Commitments |

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iv

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**<u>CREDIT AND SECURITY AGREEMENT</u>** 

THIS CREDIT AND SECURITY AGREEMENT (this "<u>Agreement</u>") is dated as of June 1, 2026, among BLKM VI, LLC, a Delaware limited liability company, as the borrower (in such capacity, the "<u>Borrower</u>"), EACH OF THE LENDERS FROM TIME TO TIME PARTY HERETO (each together with its successors and assigns in such capacity, the "<u>Lenders</u>"), CONNECTONE BANK, as the administrative agent (together with its successors and assigns in such capacity, the "<u>Administrative Agent</u>"),and as the account bank (together with its successors and assigns in such capacity, the "<u>Account Bank</u>"), BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST, a Maryland statutory trust, as the guarantor (together with its successors and assigns in such capacity, the "<u>Guarantor</u>") and MONTICELLOAM SERVICING, LLC, a Delaware limited liability company (together with any other Person then authorized, pursuant to <u>Section</u> <u>11.1</u> to service, administer, and collect on the Eligible Loans and exercise rights and remedies in respect of the same, the "<u>Servicer</u>").

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

WHEREAS, Borrower intends to originate and/or acquire from time to time certain Eligible Loans (defined below);

WHEREAS, Borrower desires to fund such originations or acquisitions, in part, through Advances (defined below) from each Lender on the terms and conditions set forth herein; and

WHEREAS, each Lender is willing to make Advances (defined below) to Borrower on the terms and conditions set forth herein.

NOW, THEREFORE, based upon the foregoing recitals, the premises and the mutual agreements herein contained, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:

**GRANTING CLAUSE** 

To secure the prompt, complete and indefeasible payment in full when due, whether by lapse of time, acceleration or otherwise, of the Obligations and the performance by the Borrower of all of the covenants and obligations to be performed by it pursuant to this Agreement and each other Transaction Document, whether now or hereafter existing, due or to become due, direct or indirect, or absolute or contingent, the Borrower hereby (a) collaterally assigns and pledges to the Administrative Agent, on behalf of the Secured Parties (as defined below) and (b) Grants a security interest to the Administrative Agent, on behalf of the Secured Parties, in all of the Borrower's right, title and interest in, to and under (but none of the obligations under) all of the Collateral, whether now existing or hereafter arising or acquired by the Borrower, and wherever the same may be located. Anything herein to the contrary notwithstanding, (a) the Borrower shall remain liable under the Collateral to the extent set forth therein to perform all of its duties and obligations thereunder to the same extent as if this Agreement had not been executed, (b) the exercise by the Administrative Agent, for the benefit of the Secured Parties, of any of its rights in the Collateral shall not release the Borrower from any of its duties or obligations under the Collateral, and (c) none of the Administrative Agent, any Lender (nor its successors and assigns), nor any Secured Party shall have any obligations or liability under the Collateral by reason of this Agreement, nor shall the Administrative Agent, any Lender (nor its successors and assigns), nor any Secured Party be obligated to perform any of the obligations or duties of the Borrower thereunder or to take any action to collect or enforce any claim for payment assigned hereunder.

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Borrower will, at the cost of Borrower, and without expense to the Administrative Agent or any Lender, do, execute, acknowledge and deliver all and every further acts, deeds, conveyances, assignments, notices of assignments, transfers and assurances as the Administrative Agent or any Lender shall, from time to time, reasonably require, for the better assuring, conveying, assigning, transferring, and confirming unto the Administrative Agent the property and rights hereby Granted or intended now or hereafter so to be, or which the Borrower may be or may hereafter become bound to convey or assign to the Administrative Agent, or for carrying out the intention or facilitating the performance of the terms of this Agreement. The Borrower, on demand, will execute and deliver, and in the event it shall fail to so execute and deliver, hereby authorizes the Administrative Agent, to execute in the name of the Borrower or without the signature of the Borrower to the extent the Administrative Agent may lawfully do so, one or more financing statements to evidence more effectively the security interest of the Administrative Agent on behalf of the Lenders in the Collateral. The Borrower grant to the Administrative Agent an irrevocable power of attorney coupled with an interest for the purpose of exercising and perfecting any and all rights and remedies available to the Administrative Agent at law and in equity.

The foregoing Grant shall, for the purpose of determining the property subject to the Lien of this Agreement, be deemed to include any securities and any investments granted to the Administrative Agent by or on behalf of the Borrower, whether or not such securities or investments satisfy the criteria set forth in the definitions of "Eligible Loan," "Eligible Loan" or "Permitted Investments," as the case may be.

The Administrative Agent acknowledges such Grant, accepts the trusts hereunder in accordance with the provisions hereof, and agrees to perform the duties herein in accordance with the terms hereof.

**ARTICLE I** 

**DEFINITIONS** 

Section 1.1. <u>Defined Terms</u>. In addition to terms which are defined elsewhere in this Agreement, capitalized terms defined below have the following meanings when used in this Agreement or in any other Transaction Document (and including, unless otherwise defined therein, in any Schedules or Exhibits hereto or thereto):

"<u>Account Bank</u>" has the meaning set forth in the Preamble to this Agreement.

"<u>Additional Amount</u>" has the meaning set forth in <u>Section</u> <u>2.8</u>.

"<u>Administrative Agent</u>" has the meaning set forth in the Preamble to this Agreement.

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"<u>Advance</u>" means each loan advanced by the Lenders to the Borrower on an Advance Date pursuant to <u>Section</u> <u>2.3</u>; *provided* that, each such loan advanced on an Advance Date by a Lender shall be in the amount of its applicable Pro Rata Share.

"<u>Advance Date</u>" means, with respect to any Advance, the date on which such Advance is made.

"<u>Advance Rate</u>" means, eighty-five percent (85%), provided that such percentage may be modified as otherwise agreed to by Borrower and the Administrative Agent.

"<u>Advance Request</u>" means a request for an Advance in the form attached hereto as <u>Exhibit</u> <u>A</u>.

"<u>Advances Outstanding</u>" means, on any day, the aggregate principal amount of all Advances outstanding on such day, after giving effect to all repayments of Advances and the making of new Advances on such day; *provided* that, the principal amounts of Advances outstanding shall not be reduced by any Available Collections or other amounts if at any time such Available Collections or other amounts are rescinded or must be returned for any reason.

"<u>Affected Party</u>" has the meaning assigned to that term in <u>Section</u> <u>2.7(a)</u>.

"<u>Affiliate</u>" means, when used with reference to any Person, any other Person controlling, controlled by or under common control with such Person. For the purposes of this definition, "control," when used with respect to any specified Person, means the power to vote 10.0% or more of the voting securities of such Person or to direct the management and policies of such Person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise; and the terms "controlling" and "controlled" have meanings correlative to the foregoing.

"<u>Aggregate Outstanding Balance</u>" means, as of any date of determination, with respect to all of the Eligible Loans, the sum of the Outstanding Balances of all such Eligible Loans as of such date.

"<u>Agreement</u>" means this Credit and Security Agreement (including any schedules, exhibits or annexes), as the same may be amended, restated, supplemented and/or otherwise modified from time to time hereafter.

"<u>Anti-Terrorism Laws</u>" means those laws and sanctions relating to terrorism or money laundering, including Executive Order No. 13224, the Patriot Act, the Bank Secrecy Act (Public Law 91-508), the Trading with the Enemy Act (50 U.S.C. App. Section 1.1 *et seq.*), the International Emergency Economic Powers Act (50 U.S.C. Section 1701 *et seq.*), and the sanction regulations promulgated pursuant thereto by the Office of Foreign Assets Control, as well as laws relating to prevention and detection of money laundering in 18 U.S.C. Sections 1956 and 1957 (as any of the foregoing may from time to time be amended, renewed, extended or replaced).

"<u>Applicable Law</u>" means for any Person or property of such Person all existing and future laws, rules, regulations (including proposed, temporary and final income tax regulations), statutes, treaties, codes, ordinances, permits, certificates, orders, licenses of and interpretations by any Governmental Authority applicable to such Person (including predatory lending laws, usury laws, the Federal Truth in Lending Act, Regulation Z and Regulation B of the Board of Governors of the Federal Reserve System and the Advisers Act) and applicable judgments, decrees, injunctions, writs, awards or orders of any court, arbitrator or other administrative, judicial, or quasi-judicial tribunal or agency of competent jurisdiction.

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"<u>Applicable Spread</u>" means, with respect to each Advance, (i) from the applicable Advance Date through and including the day on which (x) a temporary certificate of occupancy is issued in respect of the related Mortgaged Property, and (y) not less than twenty percent (20%) of the rentable units at the related Mortgaged Property are subject to active lease agreements (such date, the "<u>Stabilization Date</u>"), 3.00%, and (ii) from the day following the Stabilization Date to the Maturity Date, 2.50%.

"<u>Appraisal</u>" means a FIRREA-compliant appraisal of the related Mortgaged Property from an Independent Appraiser (and containing therein reliance language for the benefit of the Administrative Agent), in form and substance reasonably satisfactory to the Administrative Agent.

"<u>ASC 860</u>" means Accounting Standards Codification Topic 860 issued by the Financial Accounting Standards Board of the Financial Accounting Foundation in effect on the date hereof and as the same may be modified, amended, supplemented or replaced from time to time.

"<u>Assignment Agreement Documents</u>" means that certain omnibus assignment, allonge, mortgage assignment, ALR assignment, UCC-3 assignments, and any other assignment documents delivered by the originator of an Eligible Loan to Borrower evidencing the assignment and conveyance of such Eligible Loan to Borrower, in each case to the extent reasonably acceptable to the Administrative Agent.

"<u>Audited Statement Date</u>" means the date of Guarantor's most recent audited financial statements (and Guarantor's Subsidiaries on a consolidated basis) delivered to the Administrative Agent under this Agreement.

"<u>Authorized Representatives</u>" has the meaning set forth in <u>Section</u> <u>2.9</u>.

"<u>Available Collections</u>" means the sum of all Collections received with respect to the Collateral.

"<u>Availability</u>" means at any time, an amount equal to the positive difference, if any, of (i) the Maximum Availability *minus* (ii) the Advances Outstanding on such day.

"<u>Bailee</u>" means, with respect to any transaction involving a Pre-Positioned Loan, (i) any of Polsinelli, Blank Rome LLP, Baker Donelson, Bradley, Goldberg Kohn, Ltd., Williams Mullen, Sheppard Mullin, Carlton Fields, P.A., VedderPrice, Reed Smith LLP and Akerman LLP; (ii) a title insurance company or real estate counsel selected by the Borrower that is reasonably consented to by the Administrative Agent, or (iii) any other entity approved by the Administrative Agent in its sole discretion, in each case, which may be a title company, escrow company or attorney in accordance with local law and practice in the appropriate jurisdiction of the related Pre-Positioned Loan.

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"<u>Bailee Agreement(s)</u>" means those certain bailee agreements with respect to mortgage loans, by and among a Bailee, the Borrower and acknowledged and agreed to by ConnectOne Bank, dated as of Closing Date and after the Closing Date, in each case to the extent acceptable to the Administrative Agent in its sole but good faith discretion.

"<u>Bankruptcy Code</u>" means Title 11, United States Code, 11 U.S.C. §§ 101 *et seq.*, as amended from time to time.

"<u>Bankruptcy Event</u>" shall be deemed to have occurred with respect to a Person if either: (i) a case or other proceeding shall be commenced, without the application or consent of such Person, in any court, seeking the liquidation, reorganization, debt arrangement, dissolution, winding up, or composition or readjustment of debts of such Person, the appointment of a trustee, receiver, custodian, liquidator, assignee, sequestrator or the like for such Person or all or substantially all of its assets, or any similar action with respect to such Person under any law relating to bankruptcy, insolvency, reorganization, winding up or composition or adjustment of debts, and such case or proceeding shall continue undismissed, or unstayed and in effect, for a period of sixty (60) consecutive days; or an order for relief in respect of such Person shall be entered in an involuntary case under the federal Bankruptcy Laws or other similar laws now or hereafter in effect; or (ii) such Person shall commence a voluntary case or other proceeding under any Bankruptcy Laws now or hereafter in effect, or shall consent to the appointment of or taking possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator (or other similar official) for such Person or all or substantially all of its assets, or shall make any general assignment for the benefit of creditors, or shall fail to, or admit in writing its inability to, pay its debts generally as they become due, or, if a corporation or similar entity, its board of directors or members shall vote to implement any of the foregoing.

"<u>Bankruptcy Laws</u>" means the Bankruptcy Code and all other applicable liquidation, conservatorship, bankruptcy, moratorium, rearrangement, receivership, insolvency, reorganization, suspension of payments, or similar debtor relief laws from time to time in effect affecting the rights of creditors generally.

"<u>Bankruptcy Proceeding</u>" means any case, action or proceeding before any court or other Governmental Authority relating to any Bankruptcy Event.

"<u>Basel III</u>" means the global regulatory standards on bank capital adequacy and liquidity referred to by the Basel Committee on Banking Regulations and Supervisory Practices as "*Basel III*" or the "*Basel III Framework*" published in December 2010 together with any further guidance or standards in relation to "*Basel III*" or the "*Basel III Framework*" published or to be published by the Basel Committee on Banking Regulations and Supervisory Practices.

"<u>Basic Loan Documents</u>" means the following original, fully executed and complete documents (in each case together with an original general assignment, an original assignment of Mortgage, an original assignment of assignment of leases and rents (if applicable) and an original allonge, executed by the Borrower in blank and, as applicable, an original assignment and assumption agreement or any similar document required by the terms of the applicable Loan Documents to effectuate an assignment of such Eligible Loan, executed by the Borrower in blank): the Mortgage Note, the Mortgage, and the assignment of leases and rents, if any.

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"<u>Benchmark</u>" means, initially, Term SOFR; provided that if Lender determines that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to Term SOFR or the then-current Benchmark, then "Benchmark" means the applicable Benchmark Replacement.

"<u>Benchmark Replacement</u>" means the first alternative set forth in the order below that can be determined by Lender as of the Benchmark Replacement Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Compounded SOFR for a tenor of one-month's duration if, on the applicable Rate Determination Date, Lender determines that Compounded SOFR will be operationally, administratively, and technically feasible; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) the sum of (a) the alternate Benchmark rate that has been selected by the Administrative Agent as the replacement for the then current Benchmark giving due consideration to (i) any selection or recommendation of a replacement benchmark rate or the mechanism for determining such a rate by the Relevant Governmental Body or (ii) any evolving or then-prevailing market convention for determining a benchmark rate as a replacement for the then current Benchmark for U.S. dollar-denominated secured real estate loans at such time and (b) the Benchmark Replacement Adjustment.

"<u>Benchmark Replacement Adjustment</u>" means, for purposes of clause (b) of the definition of "Benchmark Replacement," the spread adjustment (which may be a positive or negative value or zero) that has been selected by the Administrative Agent giving due consideration to any industry-accepted spread adjustment, or method for calculating or determining such spread adjustment, for the replacement of the then-current Benchmark.

"<u>Benchmark Replacement Conforming Changes</u>" means, with respect to any Benchmark Replacement, any technical, administrative or operational changes (including changes to Accrual Periods, the timing and frequency of determining rates and making payments of interest, length of lookback periods, rounding of amounts or tenors, and other technical, administrative or operational matters) that Lender decides may be appropriate to reflect the adoption of such Benchmark Replacement in a manner substantially consistent with market practice (or, if Lender decides that adoption of any portion of such market practice is not administratively feasible or if Lender determines that no market practice for use of the Benchmark Replacement exists, in such other manner as Lender determines is reasonably necessary in connection with the administration of this Agreement).

"<u>Benchmark Replacement Date</u>" means the earliest to occur of the following events with respect to the then-current Benchmark (including the daily published component used in the calculation thereof):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) in the case of clause (1) or (2) of the definition of "Benchmark Transition Event," the later of (i) the date of the public statement or publication of information referenced therein and (ii) the date on which the administrator of the Benchmark permanently or indefinitely ceases to provide the Benchmark (or such component); or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) in the case of clause (3) of the definition of "Benchmark Transition Event," the date of the public statement or publication of information referenced therein; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) in the case of clause (4) of the definition of "Benchmark Transition Event," the date specified in the notice to the Borrower.

For the avoidance of doubt, if the event that gives rise to the Benchmark Replacement Date occurs on the same day as, but earlier than, the Reference Time in respect of any determination, the Benchmark Replacement Date will be deemed to have occurred prior to the Reference Time for such determination.

"<u>Benchmark Source</u>" means with respect to Compounded SOFR, the website of the SOFR Administrator, with respect to Term SOFR, the website of CME Group Benchmark Administration Ltd., as applicable (or a successor administrator or benchmark source for Compounded SOFR or Term SOFR selected by the Administrative Agent in its reasonable discretion).

"<u>Benchmark Transition Event</u>" means the occurrence of one or more of the following events with respect to the then-current Benchmark (including the daily published component used in the calculation thereof):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) a public statement or publication of information by or on behalf of the administrator of the Benchmark (or such component) announcing that such administrator has ceased or will cease to provide the Benchmark (or such component), permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide the Benchmark (or such component); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark (or such component), the central bank for the currency of the Benchmark (or such component), an insolvency official with jurisdiction over the administrator for the Benchmark (or such component), a resolution authority with jurisdiction over the administrator for the Benchmark (or such component) or a court or an entity with similar insolvency or resolution authority over the administrator for the Benchmark, which states that the administrator of the Benchmark (or such component) has ceased or will cease to provide the Benchmark (or such component) permanently or indefinitely, provided that, at the time of such statement or publication, there is no successor administrator that will continue to provide the Benchmark (or such component); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) a public statement or publication of information by the regulatory supervisor for the administrator of the Benchmark announcing that the Benchmark is no longer representative or in compliance with or aligned with the International Organization of Securities Commissions (IOSCO) Principles for Financial Benchmarks; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) a determination by the Lender by notice to the Borrower (in its sole discretion but after giving due consideration to any recommendation of a Relevant Governmental Body or industry standard) that the Benchmark is no longer representative.

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"<u>Benefit Plan Investor</u>" means a "benefit plan investor" as defined in 29 C.F.R. Section 2510.3-101, as modified by Section 3(42) of ERISA, and includes an "employee benefit plan" that is subject to the fiduciary responsibility provisions of Title I of ERISA, a "plan" to which Section 4975 of the Code applies, and an entity whose underlying assets include "plan assets" by reason of any such employee benefit plan's or plan's investment in the entity.

"<u>BlackRock Subscription Agreement</u>" shall mean, that certain Subscription Agreement, dated March 4, 2025, from BlackRock Advisor to Guarantor, pursuant to which BlackRock Advisor has committed to purchase Class E common shares of beneficial interests of Guarantor, as same may be amended, modified and/or restated from time to time.

"<u>Blocked Person</u>" means any of the following: (i) a Person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order No. 13224; (ii) a Person owned or controlled by, or acting for or on behalf of, any Person that is listed in the annex to, or is otherwise subject to the provisions of, the Executive Order No. 13224; (iii) a Person with which the Administrative Agent is prohibited from dealing or otherwise engaging in any transaction by any Anti-Terrorism Law; (iv) a Person that commits, threatens or conspires to commit or supports "terrorism" as defined in the Executive Order No. 13224; (v) a Person that is named as a "specially designated national" on the most current list published by the U.S. Treasury Department Office of Foreign Asset Control at its official website or any replacement website or other replacement official publication of such list; or (vi) a Person who is affiliated or associated with a Person listed above.

"<u>BLK Holding</u>" means BLK MAM Holding, LLC, a Delaware limited liability company.

"<u>Borrower</u>" has the meaning set forth in the Preamble to this Agreement.

"<u>Borrowing Base</u>" means, as of any date, an amount equal to the product of (i) the Aggregate Outstanding Balance and (ii) the Advance Rate.

"<u>Borrowing Base Certificate</u>" means a certificate setting forth the calculation of the Borrowing Base and the Maximum Availability as of the applicable date of determination substantially in the form of <u>Exhibit K</u> hereto, prepared by the Servicer, such form of Borrowing Base Certificate may be modified by the Administrative Agent from time to time to the extent such form does not, in the good faith opinion of the Administrative Agent, accurately reflect the calculation of each Borrowing Base required hereunder.

"<u>Borrowing Base Deficiency</u>" means as of any date of determination, the extent to which (i) the Advances Outstanding on such date exceed (ii) the Maximum Availability.

"<u>Business Day</u>" means any day other than (i) a Saturday or a Sunday, (ii) a day on which banks in the State of New York are authorized or obligated by law or executive order to be closed, or (iii) any day on which the New York Stock Exchange, the Federal Reserve Bank of New York or the Administrative Agent is authorized or obligated by law or executive order to be closed.

"<u>Calendar Quarter</u>" means the three (3) month period beginning on each January 1, April 1, July 1 or October 1.

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"<u>Capital Stock</u>" means any and all shares, interests, participations or other equivalents (however designated) of capital stock of a corporation, any and all equivalent equity ownership interests in a Person which is not a corporation, including, without limitation, any and all member or other equivalent interests (certificated or uncertificated) in any limited liability company, and any and all partnership or other equivalent interests in any partnership or limited partnership, and any and all warrants or options to purchase any of the foregoing.

"<u>Cash</u>" means funds denominated in currency of the United States as at the time shall be legal tender for payment of all public and private debts, including funds standing to the credit of the Collection Account.

"<u>Cash Equivalents</u>" means, without duplication, (a) direct obligations of, or obligations on which the principal and interest are unconditionally guaranteed by, the United States of America (or by any agency thereof to the extent such obligations are backed by the full faith and credit of the United States of America), in each case maturing within one year from the date of issuance thereof; (b) investments in commercial paper maturing within 270 days from the date of issuance thereof and having, at such date of acquisition, the highest credit rating obtainable from S&P or from Moody's; (c) investments in certificates of deposit, banker's acceptances and time deposits maturing within one year from the date of acquisition thereof issued or guaranteed by or placed with, and money market deposit accounts issued or offered by any domestic office of any commercial bank organized under the laws of the United States of America or any State thereof that has a combined capital and surplus and undivided profits of not less than $500,000,000 and that issues (or the parent of which issues) commercial paper rated at least "Prime-1" (or the then equivalent grade) by Moody's or "A-1" (or the then equivalent grade) by S&P; (d) fully collateralized repurchase agreements with a term of not more than 30 days for securities described in clause (a) above and entered into with a financial institution satisfying the criteria of clause (c) above; (e) (i) mortgage loans that are subject to a commitment to purchase from any of Fannie Mae, Freddie Mac, Ginnie Mae, the United States Federal Housing Administration or the United States Department of Housing and Urban Development (individually an "Agency"), (ii) securities issued or guaranteed by any Agency in connection with the sale or transfer of mortgage loans, and (iii) commercial mortgage backed securities rated at least "Prime-1" or "Aaa" (or the then equivalent grade) by Moody's or "A-1" or "AAA" (or the then equivalent grade) by S&P; (f) undrawn equity commitments from investors rated at least "Prime-1" or "Aaa" (or the then equivalent grade) by Moody's or "A-1" or "AAA" (or the then equivalent grade) by S&P that qualify for draws under committed subscription lines of the Guarantor; (g) equity subscriptions, to the extent such subscriptions have been duly executed and funds have been received by the applicable transfer agent in good order with receipt of funds scheduled to occur within 5 Business Days; (h) undrawn funds available from secured, committed revolving facilities to the extent collateral has been pledged and accepted by the secured lender, the secured lender has confirmed the total amount of funding available to draw against the pledged collateral and the secured lender has confirmed in writing that the conditions to draw under such facility has been satisfied; (i) undrawn funds available from committed unsecured subscription line credit facilities of the Guarantor to the extent that the borrowing base with respect to such subscription line credit facilities of the Guarantor consist of investors rated at least "Prime-1" or "Aaa" (or the then equivalent grade) by Moody's or "A-1" or "AAA" (or the then equivalent grade) by S&P or as otherwise approved in the sole discretion of the Administrative Agent; and (j) investments in "money market funds" within the meaning of Rule 2a-7 of the Investment Company Act of 1940, as amended, substantially all of whose assets are invested in investments of the type described in clauses (a) through (e) above.

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"<u>Cash Interest</u>" means, for any Calendar Quarter, for any Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP), the amount set forth opposite the caption "interest expense" or any like caption reflected on the most recent financial statements delivered for such Calendar Quarter.

"<u>Change of Control</u>" means the occurrence of any of the following: (a) the consummation of a sale of substantially all of the assets, merger or consolidation of Guarantor with or into another entity or any other reorganization of Guarantor if Guarantor is not the surviving entity following such merger, consolidation or reorganization, (b) Guarantor ceases to own and Control, of record and beneficially, directly or indirectly, 100% of the outstanding Capital Stock of Borrower, (c) either of BlackRock Financial Management, Inc., or MonticelloAM, LLC, is no longer a party to an advisory agreement with Guarantor, (d) BLK Holding ceases to own and Control, of record and beneficially, directly, 100% of the outstanding Capital Stock of Borrower or (e) Guarantor and Borrower are no longer under common Control.

"<u>Closing Date</u>" means June 1, 2026.

"<u>Code</u>" means the Internal Revenue Code of 1986, as amended.

"<u>Collateral</u>" means all right, title, and interest (whether now owned or hereafter acquired or arising, and wherever located) of the Borrower in (i) all accounts, cash and currency, chattel paper, tangible chattel paper, electronic chattel paper, copyrights, copyright licenses, equipment, fixtures, contract rights, general intangibles, instruments, certificates of deposit, certificated securities, uncertificated securities, financial assets, equity interests, securities entitlements, commercial tort claims, deposit accounts, inventory, investment property, letter-of-credit rights, software, supporting obligations, accessions or other property,(ii) all Eligible Loans, Loan Documents, and all monies due or to become due in payment under such Eligible Loans that are due and payable to the Borrower, including the principal balance of such Eligible Loans and not just the amount advanced; (iii) the Related Security with respect to all Eligible Loans; (iv) all Transaction Documents, including the Servicing Contract; (v) the Collection Account and the Designated Deposit Account, together with all Cash and investments in each of the foregoing; and (vi) all income and Proceeds of any of the foregoing (i) – (v) and all documents and instruments in connection with any of the foregoing (i) – (v).

"<u>Collateral Custodian</u>" means Computershare Trust Company, N.A.

"<u>Collateral Custodian Fees</u>" means the fees payable to the Collateral Custodian set forth in the Custodial Agreement.

"<u>Collection Account</u>" means a deposit account (account number TBD at the Account Bank) in the name of the Borrower for the benefit of and under the sole dominion and control of the Administrative Agent for the benefit of the Secured Parties; *provided* that, the funds deposited therein (including any interest and earnings thereon) from time to time shall constitute the property and assets of the Borrower, and the Borrower shall be solely liable for any Taxes payable with respect to the Collection Account.

"<u>Collection Date</u>" means the date on which all Advances and all other Obligations have indefeasibly been paid in full.

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"<u>Collections</u>" means all of the following (in each case with respect to the entire par amount of the Eligible Loan and not just with respect to the portion of the par amount represented by the Advance against such Eligible Loan): (i) all Principal Collections, (ii) all Interest Collections, (iii) all Deemed Collections, (iv) all other income, distributions, receipts, payments, collections, prepayments, recoveries, proceeds (including insurance and condemnation proceeds) and other payments or amounts of any kind paid, received, collected, recovered or distributed on, in connection with or in respect of such Eligible Loan, including Principal Collections, Interest Collections, prepayment fees, extension fees, exit fees, defeasance fees, transfer fees, make whole fees and all other fees or charges of any kind or nature, premiums, yield maintenance charges, penalties, default interest, dividends, gains, receipts, allocations, rents, interests, profits, payments in kind, returns or repayment of contributions, net sale, foreclosure, liquidation, securitization or other disposition proceeds, insurance payments, settlements and proceeds, and (v) [reserved]; *provided* that, any amounts that under the applicable Loan Documents are required by the underlying loan documents to be deposited into and held in escrow or reserve to be used for taxes and insurance, shall not be included in the term "Collections" unless and until (a) an event of default exists under such Loan Documents, (b) the holder of the related Eligible Loan has exercised or is entitled to exercise rights and remedies with respect to such amounts, (c) such amounts are no longer required to be held for such purpose under such Loan Documents, or (d) such amounts may be applied to all or a portion of the outstanding indebtedness under such Loan Documents.

"<u>Commitment Fee</u>" means an aggregate amount equal to $250,000, which fee shall be paid (i) an amount equal to $125,000 on the Closing Date, and (ii) an amount equal to 0.25% of each Advance on each related Advance Date until paid in full; provided, however, that the balance of the Commitment Fee then remaining unpaid shall be due, earned and payable on the date that is one year following the Closing Date.

"<u>Commitments</u>" means, with respect to each Lender, (i) for purposes of Advances made pursuant to <u>Section</u> <u>2.1</u>, the Dollar set forth opposite such Lender's name on <u>Annex A</u> hereto (as such amount may be revised from time to time in accordance with the terms hereof) or (ii) the amount set forth as such Lender's "Commitment" on <u>Schedule I</u> to the Joinder Supplement relating to such Lender, as applicable.

"<u>Compliance Certificate</u>" means a certificate substantially in the form of <u>Exhibit H</u>.

"<u>Constituent Documents</u>" means, for any Person, its constituent or organizational documents and any governmental or other filings related thereto, including: (i) in the case of any limited partnership, exempted limited partnership, joint venture, trust or other form of business entity, the limited partnership agreement, exempted limited partnership agreement, joint venture agreement, articles of association or other applicable agreement of formation and any agreement, instrument, filing or notice with respect thereto filed in connection with its formation with the secretary of state or other department in the state or jurisdiction of its formation; (ii) in the case of any limited liability company, the articles of formation, limited liability company agreement and/or operating agreement for such Person; and (iii) in the case of a corporation or an exempted company, the certificate or articles of incorporation or association, the bylaws for such Person, in each such case as it may be restated, modified, amended or supplemented from time to time, including, for the avoidance of doubt, with respect to the Borrower, limited liability company agreement.

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"<u>Construction Loan</u>" means an Eligible Loan the proceeds of which will be used for the construction of new facilities or which is deemed to be a Construction Loan by the Administrative Agent in its sole discretion.

"<u>Contingent Liabilities</u>" means, as of any date of determination, for any Person and its Subsidiaries, any Indebtedness or other liabilities of such Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP) not required by GAAP to be reflected as a liability on such Person's or its Subsidiaries' financial statements, such as letters of credit, put guarantees, principal guarantees, and loss share arrangements.

"<u>Control Person</u>" means, Guarantor and, at any time, any other Person who, directly or indirectly, has the power to vote 50% or more of the voting securities of Borrower or to direct or cause the direction of the management or policies of Borrower, whether through the ownership of voting securities, by contract, or otherwise.

"<u>Convertible Debt Securities</u>" shall mean any debt securities of Guarantor, the terms of which provide for conversion into Capital Stock, cash by reference to such Capital Stock, or a combination thereof.

"<u>Credit Event</u>" means the determination by the Administrative Agent in its sole discretion that any of the following events or any similar event, occurrence or condition has occurred: (i) a Bankruptcy Event with respect to any related Obligor with respect to any Eligible Loan, (ii) any monetary event of default under the terms of any Eligible Loan following the expiration of any applicable notice and/or cure periods, (iii) the failure of an Eligible Loan to qualify as an Eligible Loan, (iv) the material impairment of any security interest (or the priority thereof) under this Agreement or any of the documents executed in connection with this Agreement or any Loan Document, and (v) any material breach of representation or warranty with respect to any Eligible Loan and the failure to cure such material breach within the applicable cure periods, which material breach would be reasonably likely to have a Material Adverse Effect.

"<u>Custodial Agreement</u>" means the Custodial Agreement, dated as of the Closing Date, between ConnectOne Bank, as the administrative agent, BLKM VI, LLC, as the borrower, and Computershare Trust Company, N.A., as the custodian.

"<u>Damages</u>" has the meaning set forth in <u>Section</u> <u>10.23</u>.

"<u>Debt Service</u>" means, for any period, for any Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP) all regularly scheduled payments or prepayments of principal of Indebtedness (including the principal component of any payments in respect of capitalized lease obligations and any payment required as a result of a scheduled reduction of lending commitments, including the Commitment under this Agreement) made during such period *plus* all Interest Expense for such period.

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"<u>Debt Service Coverage Ratio</u>" means, as of any date of determination, for any Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP) the ratio of (i) EBITDAR for the Calendar Quarter ending on or most recently ended prior to such date (inclusive of funded interest reserves with respect to Debt Service as of such date) to (ii) Debt Service for such period.

"<u>Deemed Collections</u>" means, with respect to any Eligible Loan, deemed to have been received pursuant to <u>Section</u> <u>2.3(f)</u>.

"<u>Default</u>" means any event that, if it continues uncured, will, with lapse of time, notice or lapse of time and notice, constitute an Event of Default.

"<u>Default Rate</u>" means, for any Advance, the *per annum* rate which is five percent (5.0%) greater than the Interest Rate applicable to such Advance.

"<u>Defaulted Loan</u>" means any Eligible Loan (i) that is forty-five (45) or more days (or, in the case of payments due at maturity, ten (10) days) delinquent in the payment of principal, interest, fees, distributions or any other amounts payable under the related Loan Documents, without regard to any waivers or modifications of, or amendments to, the related Loan Documents other than those that were consented to by the Borrower in accordance with the terms of this Agreement, (ii) for which there is a breach of any representation or warranty in any material respect with respect to such Eligible Loan and the same is not cured pursuant to the applicable notice and cure period of the related Loan Documents, (iii) with respect to which a Bankruptcy Event has occurred as to the related Obligor, (iv) with respect to which there has been an extension, amendment, waiver or other modification to the terms of, or any collateral, guaranty or indemnity for, or the exercise of any material right or remedy of a holder (including all lending, corporate and voting rights, remedies, consents, approvals and waivers) of any related loan or participation document that has a Material Adverse Effect on the value in such asset, as reasonably determined by the Borrower, (v) for which Servicer has received notice of the foreclosure or proposed foreclosure of any Lien on the related Mortgaged Property, (vi) for which Borrower writes-down, charges off or sets up a reserve against such Eligible Loan, and (vii) that, on the date of reporting in accordance with <u>Section</u> <u>5.1(t)(ii)(3)</u>, has a related Mortgaged Property fails to satisfy a minimum Debt Service Coverage Ratio of 1.25 to 1.00.

"<u>Defaulting Lender</u>" means, at any time, any Lender that (a) has failed for three (3) or more Business Days after and Advance Date to fund its portion of an Advance required pursuant to the terms of this Agreement (other than failures to fund as a result of a bona fide dispute as to whether the conditions to borrowing were satisfied on the relevant Advance Date), (b) has notified the Borrower or the Administrative Agent in writing that it does not intend to comply with its funding obligations hereunder, or has made a public statement to that effect (unless such writing or public statement relates to such Lender's obligation to fund an Advance hereunder and states that such position is based on such Lender's determination that a condition precedent to funding (which condition precedent, together with any applicable default, shall be specifically identified in such writing or public statement) cannot be satisfied), (c) has failed, within three (3) Business Days after written request by the Administrative Agent or the Borrower, to confirm in writing to the Administrative Agent and the Borrower that it will comply with its prospective funding obligations hereunder (provided that such Lender shall cease to be a Defaulting Lender pursuant to this

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 <u>clause</u> <u>(c)</u> upon receipt of such written confirmation by the Administrative Agent and the Borrower) or (d) has, or has a direct or indirect parent company that has, (i) become the subject of a proceeding under the Bankruptcy Code or any other liquidation, conservatorship, bankruptcy, assignment for the benefit of creditors, moratorium, receivership, insolvency, reorganization or similar debtor relief laws of the United States or other applicable jurisdiction or (ii) had appointed for it a receiver, custodian, conservator, trustee, administrator, assignee for the benefit of creditors or similar person charged with reorganization or liquidation of its business or assets, including the Federal Deposit Insurance Corporation or any other state or federal regulatory authority acting in such a capacity; provided that a Lender shall not be a Defaulting Lender solely by virtue of the ownership of acquisition of any equity interest in that Lender or any direct or indirect parent company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such Lender with immunity from the jurisdiction of courts within the United States or from the enforcement of judgment or writs of attachment on its assets or permit such Lender (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any contracts or agreements made with such Lender. Any determination by the Administrative Agent that a Lender is a Defaulting Lender under any one or more of <u>clauses</u> <u>(a)</u> through <u>(d)</u> shall be conclusive and binding absent manifest error.

"<u>Derivatives Contract</u>" means any rate swap transaction, basis swap, credit derivative transaction, forward rate transaction, commodity swap, commodity option, forward commodity contract, equity or equity index swap or option, bond or bond price or bond index swap or option or forward bond or forward bond price or forward bond index transaction, interest rate option, forward foreign exchange transaction, cap transaction, floor transaction, collar transaction, currency swap transaction, cross–currency rate swap transaction, currency option, spot contract, or any other similar transaction or any combination of any of the foregoing (including any options to enter into any of the foregoing), whether or not any such transaction is governed by or subject to any master agreement, including any obligations or liabilities thereunder.

"<u>Designated Deposit Account</u>" means the Borrower's deposit account maintained at the Account Bank.

"<u>Determination Date</u>" means, with respect to any Payment Date, the ninth (9<sup>th</sup>) calendar day of the immediately preceding calendar month.

"<u>Dollars</u>" means, and the conventional "$" signifies, the lawful currency of the United States.

"<u>EBITDAR</u>" means, for any twelve month period most recently ended, the sum for such period, without duplication, of the following for Borrower, on a consolidated basis: Net Income before taxes on income, whether paid, payable or accrued, plus, (a) Interest Expense, (b) depreciation expense, (c) depletion expense, (d) amortization expense, (e) all other non-cash or cash non-recurring charges and expenses approved by the Administrative Agent in its sole but good faith discretion, excluding accruals for cash expenses made in the ordinary course of business, (f) the amount of rent paid under any lease, (g) loss from any sale of assets, other than sales in the ordinary course of business, (h) actual management fees, and (i) franchise taxes, minus the sum of: (1) actual management fees expensed, (2) gains from any sale of assets, other than sales in the ordinary course of business, (3) other extraordinary or non-recurring gains, in each case determined in accordance with GAAP, and (4) proceeds of insurance.

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"<u>Eligible Loan</u>" means a commercial real estate loan (or a participation interest in a commercial real estate loan), including all Mortgaged Property or Related Security therefor, that (x) has been approved for inclusion in the Collateral by the Administrative Agent in its sole and absolute discretion, (y) the Mortgaged Property securing such commercial real estate loan is eligible for inclusion in the New York 485-x tax abatement program as confirmed by Administrative Agent, and (z) that at all times maintains a Stabilized LTV or Loan to Cost Ratio, as applicable, of not greater than 65%.

"<u>Environmental Laws</u>" means any federal, state or local law, statute, ordinance, code, rule, regulation, license, authorization, decision, order, injunction, decree, or rule of common law, and any judicial interpretation of any of the foregoing, which pertains to protection of human health or the environment, any Hazardous Substances, and/or relating to liability for, or costs of, other actual or threatened danger to human health or the environment. The term "Environmental Laws" includes, but is not limited to, the following statutes, as amended, any successor thereto, and any regulations promulgated pursuant thereto, and any state or local statutes, ordinances, rules, regulations and the like addressing similar issues: the Comprehensive Environmental Response, Compensation and Liability Act of 1980, 42 U.S.C. § 9601 et seq; the Emergency Planning and Community Right-to-Know Act, 42 U.S.C. § 11001 et seq.; the Hazardous Substances Transportation Act, 49 U.S.C. §§ 5101-5127; the Resource Conservation and Recovery Act (including but not limited to Subtitle I relating to underground storage tanks) and the Solid Waste Disposal Act, 42 U.S.C. § 9601 et seq; the Clean Water Act, 33 U.S.C. §§ 1251-1387; the Clean Air Act, 42 U.S.C. § 7401 et seq.; the Toxic Substances Control Act, 15 U.S.C. §§ 2601-2629; the Safe Drinking Water Act, 42 U.S.C. § 300f; the Occupational Safety and Health Act, 29 U.S.C. § 651 et seq.; the Federal Water Pollution Control Act, 33 U.S.C. § 1151; the Federal Insecticide, Fungicide and Rodenticide Act, 7 U.S.C. § 136 et seq.; the Endangered Species Act, 16 U.S.C. § 1531 et seq.; and the National Environmental Policy Act, 42 U.S.C. § 4321 et seq. The term "Environmental Laws" also includes, but is not limited to, any other federal, state, or local Laws, environmental statutes, ordinances, rules, regulations, permits or authorizations and the like, as well as common law, that (a) condition transfer of property upon a negative declaration or other approval of a Governmental Authority of the environmental condition of the Property; (b) require notification or disclosure of releases of Hazardous Substances or other environmental condition of a property to any Governmental Authority or other Person, whether or not in connection with any transfer of title to or interest in such property; (c) impose conditions or requirements in connection with permits or other authorization for lawful activity; (d) relate to nuisance, trespass or other causes of action related to the Property; or (e) relate to wrongful death, personal injury, or property or other damage in connection with any physical condition or use of a Mortgaged Property.

"<u>Equity Interests</u>" means, with respect to any Person, (i) any share, interest, participation and other equivalent (however denominated) of Capital Stock of (or other ownership, equity or profit interests in) such Person, (ii) any warrant, option or other right for the purchase or other acquisition from such Person of any of the foregoing, (iii) any security convertible into or exchangeable for any of the foregoing, and (iv) any other ownership or profit interest in such Person (including partnership, member or trust interests therein), whether voting or nonvoting, and whether or not such share, warrant, option, right or other interest is authorized or otherwise existing on any date.

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"<u>ERISA</u>" means the United States Employee Retirement Income Security Act of 1974, as amended from time to time.

"<u>ERISA Affiliate</u>" means, with respect to any Person, (i) any corporation that is a member of the same controlled group of corporations (within the meaning of Section 414(b) of the Code) as such Person, (ii) a trade or business (whether or not incorporated) under common control (within the meaning of Section 414(c) of the Internal Revenue Code) with such Person, or (iii) a member of the same affiliated service group (within the meaning of Section 414(m) of the Code) as such Person, any corporation described in clause (i) above or any trade or business described in clause (ii) above. For the avoidance of doubt, wherever the Person with respect to which the defined term "ERISA Affiliate" refers is not specified, it shall be deemed to refer to any ERISA Affiliate of the Borrower.

"<u>Event of Default</u>" has the meaning assigned to that term in <u>Section</u> <u>7.1</u>.

"<u>Excepted Persons</u>" has the meaning assigned to that term in <u>Section</u> <u>10.12</u>.

"<u>Excluded Taxes</u>" has the meaning set forth in <u>Section</u> <u>2.8(a)</u>.

"<u>Executive Order</u>" means an executive order imposed by the President of the United States.

"<u>Extension Fee</u>" means an amount equal to 0.125% of the aggregate unpaid principal balance of the Facility as of the related date of determination.

"<u>Fannie Mae</u>" means Fannie Mae, a corporation created under the laws of the United States, and any successor corporation or other entity.

"<u>FAS 166/167</u>" means the financial accounting standards which involve the accounting for securitization transactions and the transfer of financial assets.

"<u>Fees</u>" means (i) the Commitment Fee, (ii) the Non-Usage Fee, (iii) the Collateral Custodian Fees, (iv) the Extension Fee, and (v) the Renovation Administration Fee.

"<u>FHA</u>" means the Federal Housing Administration and any successor agency or other entity.

"<u>FICA</u>" means the Federal Insurance Contributions Act and all rules and regulations promulgated under that statute, as amended, and any successor statute, rules and regulations.

"<u>FIRREA</u>" means the Financial Institutions Reform, Recovery and Enforcement Act of 1989 and all rules and regulations promulgated under that statute, as amended, and any successor statute, rules, and regulations.

"<u>Fitch</u>" means Fitch Ratings and any successor thereto.

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"<u>Fixed Rate Loan</u>" means an Eligible Loan which bears a fixed rate of interest.

"<u>Foreign Assets Control Regulations</u>" means the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, and Chapter V, as amended).

"<u>Freddie Mac</u>" means Freddie Mac, a corporation created under the laws of the United States, and any successor corporation or other entity.

"<u>Full Recourse Event</u>" means the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the filing by Borrower or Guarantor of any voluntary petition under any bankruptcy, insolvency, reorganization, liquidation, dissolution or similar law relating to the protection of creditors, or (B) the commencing, or authorizing the commencement, by Borrower or Guarantor of any case or proceeding under any bankruptcy, insolvency, reorganization, liquidation, dissolution or similar law relating to the protection of creditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) an involuntary bankruptcy or insolvency petition, case or proceeding is commenced against Borrower or Guarantor under any bankruptcy, insolvency, reorganization, liquidation, dissolution or similar law relating to the protection of creditors in connection with which Borrower or Guarantor or any Affiliate thereof has or have colluded in any way with the creditors in connection with such petition, case or proceeding;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Borrower or Guarantor seeking or consenting to the appointment of a receiver, trustee, custodian or similar official for Borrower or Guarantor or any substantial part of the property of Borrower or Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) the making by Borrower or Guarantor of a general assignment for the benefit of creditors of Borrower or Guarantor in connection with any case or proceeding described in the foregoing <u>clauses (i)</u> or <u>(ii)</u>; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the occurrence of a Change of Control without Administrative Agent's prior written consent.

"<u>GAAP</u>" means generally accepted accounting principles set forth in opinions and pronouncements of the Accounting Principles Board and the American Institute of Certified Public Accountants and in statements and pronouncements of the Financial Accounting Standards Board, or in opinions, statements or pronouncements of any other entity approved by a significant segment of the accounting profession, which are applicable to the circumstances as of the date of determination.

"<u>Governmental Authority</u>" means, with respect to any Person, any nation or government, any state or other political subdivision thereof, any central bank (or similar monetary or regulatory authority) thereof, any body or entity exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any court or arbitrator having jurisdiction over such Person.

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"<u>Governmental Plan Entity</u>" means a "governmental plan" within the meaning of Section 3(32) of ERISA or any other entity the assets of which are subject to state statutes regulating investments of and fiduciary obligations with respect to such governmental plans or to state statutes that impose prohibitions similar to those contained in Section 406 of ERISA or Section 4975 of the Code.

"<u>Grant</u>" or "<u>Granted</u>" means to grant, bargain, sell, convey, assign, transfer, mortgage, pledge, create and grant a security interest in and right of setoff against, deposit, set over and confirm. A Grant of the Collateral, or of any other instrument, shall include all rights, powers and options (but none of the obligations) of the granting party thereunder, including, the immediate continuing right to claim for, collect, receive and receipt for principal and interest payments in respect of the Collateral, and all other monies payable thereunder, to give and receive notices and other communications, to make waivers or other agreements, to exercise all rights and options, to bring proceedings in the name of the granting party or otherwise, and generally to do and receive anything that the granting party is or may be entitled to do or receive thereunder or with respect thereto.

"<u>Guarantied Obligations</u>" means:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) that Guarantor hereby unconditionally and irrevocably guarantees to Administrative Agent for the benefit of the Lenders the prompt and complete payment and performance by Borrower when due (whether at the stated maturity, by acceleration or otherwise) of any and all Obligations; <u>provided</u> <u>however</u> that (other than as set forth in the subsequent proviso) Guarantor's liability under this <u>clause (i)</u> shall not exceed an amount equal to the product of (x) twenty-five percent (25%) *multiplied by* (y) the then-outstanding aggregate principal amount owing under the terms of this Agreement (the "<u>Liability Cap</u>"); <u>provided</u> <u>however</u>, for the avoidance of doubt, that, any Liability Cap shall not apply to amounts due and payable by Guarantor pursuant to <u>clauses (ii)</u> and <u>(iii)</u> below;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) following the occurrence of a Losses Recourse Event, any losses, costs, damages (excluding punitive damages, consequential damages, or damages in the nature of "lost profits" or "lost opportunities"), claims, actual and documented expenses or other liabilities actually incurred by Administrative Agent arising out of or attributable to any Losses Recourse Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) solely following the occurrence of a Full Recourse Event, all Obligations of Borrower now or hereafter existing under or in respect of this Agreement and the other Transaction Documents, and whether for principal, interest, fees, indemnifications, costs, expenses or otherwise (including all costs of enforcement of the Transaction Documents), and the unconditional performance of all obligations to be kept and performed by Borrower in respect of this Agreement and the other Transaction Documents; and/or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) in respect of either clause (i), clause (ii), or clause (iii) above, any and all expenses (including, without limitation, reasonable fees and expenses of counsel) actually incurred by the Administrative Agent or the Lenders in enforcing any rights under the Guaranty (including <u>Article XII</u> hereof) and/or the other Transaction Documents.

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"<u>Guarantor</u>" has the meaning set forth in the Preamble to this Agreement.

"<u>Guarantor Event of Default</u>" has the meaning set forth in <u>Section</u> <u>12.11</u>.

"<u>Guarantor Formation Documents</u>" has the meaning set forth in <u>Section</u> <u>12.5(i)</u>.

"<u>Guaranty</u>" has the meaning set forth in <u>Section</u> <u>12.1</u>.

"<u>Hazardous Materials</u>" means all materials subject to any Environmental Law, including materials listed in 49 C.F.R. § 172.010, materials defined as hazardous pursuant to § 101(14) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, flammable, explosive or radioactive materials, hazardous or toxic wastes or substances, lead-based materials, petroleum or petroleum distillates or asbestos or material containing asbestos, polychlorinated biphenyls, radon gas, urea formaldehyde and any substances classified as being "in inventory," "usable work in process" or similar classification that would, if classified as unusable, be included in the foregoing definition.

"<u>Highest Required Investment Category</u>" means (i) with respect to ratings assigned by Moody's, "Aa2" or "P-1" for one (1) month instruments, "Aa2" and "P-1" for three (3) month instruments, "Aa3" and "P-1" for six (6) month instruments and "Aa2" and "P-1" for instruments with a term in excess of six (6) months, (ii) with respect to rating assigned by S&P, "A-1" for short-term instruments and "A" for long-term instruments and (iii) with respect to rating assigned by Fitch (if such investment is rated by Fitch), "F-1+" for short-term instruments and "AAA" for long-term instruments.

"<u>HUD</u>" means the Department of Housing and Urban Development, and any successor agency or other entity.

"<u>Indebtedness</u>" means, with respect to any Person as of any date of determination, (i) all indebtedness of such Person for borrowed money or for the deferred purchase price of property or services (other than current liabilities incurred in the ordinary course of business and payable in accordance with customary trade practices) or that is evidenced by a note, bond, debenture or similar instrument or other evidence of indebtedness customary for indebtedness of that type, (ii) all obligations of such Person under leases that have been or should be, in accordance with GAAP, recorded as capital leases, (iii) all obligations of such Person in respect of acceptances issued or created for the account of such Person, (iv) all liabilities secured by any Lien on any property owned by such Person even though such Person has not assumed or otherwise become liable for the payment thereof, (v) all indebtedness, obligations or liabilities of that Person in respect of derivatives, and (vi) all obligations under direct or indirect guaranties in respect of obligations (contingent or otherwise) to purchase or otherwise acquire, or to otherwise assure a creditor against loss in respect of, indebtedness or obligations of others of the kind referred to in clauses (i) through (v) of this clause. The Indebtedness of any Person shall include the Indebtedness of any other entity (including any partnership in which such Person is a general partner) to the extent such Person is liable therefor as a result of such Person's ownership interest in or other relationship with such entity, except to the extent the terms of such Indebtedness provide that such Person is not liable therefor.

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"<u>Indemnified Party</u>" has the meaning set forth in <u>Section</u> <u>10.23</u>.

"<u>Independent Appraiser</u>" means an independent professional real estate appraiser who is a member in good standing of the American Appraisal Institute, and, if the state in which the subject related Mortgaged Property is located certifies or licenses appraisers, is certified or licensed in such state, and in each such case, who has a minimum of five (5) years' experience in the subject property type.

"<u>Indorsement</u>" has the meaning specified in Section 8.1-102(a)(11) of the UCC, and "Indorsed" has a corresponding meaning.

"<u>Initial Property Information</u>" has the meaning specified in <u>Exhibit C</u>.

"<u>Initial Servicer</u>" means MonticelloAM Servicing, LLC, a Delaware limited liability company, in its capacity as Servicer under the Servicing Agreement.

"<u>Intangible Assets</u>" means assets that are considered to be intangible assets under GAAP, including customer lists, goodwill, computer software, copyrights, trade names, trademarks, patents, franchises, licenses, unamortized deferred charges, unamortized debt discount and capitalized research and development costs.

"<u>Interest</u>" means, with respect to any Remittance Period, the sum for each day in such Remittance Period determined in accordance with the following formula:

IR x P x (1/D)

where:

IR = the Interest Rate applicable on such day;

P = the Advances Outstanding on such day; and

D = three hundred and sixty (360);

provided that, (i) no provision of this Agreement shall require the payment or permit the collection of Interest in excess of the maximum permitted by Applicable Law and (ii) Interest shall not be considered paid by any distribution if at any time such distribution is later required to be rescinded by any Lender to the Borrower or any other Person for any reason including such distribution becoming void or otherwise avoidable under any statutory provision or common law or equitable action, including any provision of the Bankruptcy Code.

"<u>Interest Collections</u>" means, with respect to any Collateral, all payments of interest, income, receipts, dividends, and any other collections and distributions received from time to time in connection with any such Eligible Loan.

"<u>Interest Coverage Ratio</u>" means for any period, the ratio of the sum of interest and fee income of Guarantor and its consolidated Subsidiaries for such period to the interest expense of Guarantor and their consolidated Subsidiaries for the same period, in each case, determined in accordance with GAAP; provided that, this calculation shall exclude, without duplication, the interest income and interest expense attributable to the portions of assets financed by the forms of debt contemplated in clauses (a) and (b) of the definition of Total Debt.

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"<u>Interest Rate</u>" means, as of any date of determination, an interest rate *per annum* equal to the Benchmark for such date *plus* the Applicable Spread; provided that, any time after the occurrence of an Event of Default, the Interest Rate shall be the Default Rate.

"<u>Interim Statement Date</u>" means the date of the most recent unaudited financial statements of Borrower (or the Guarantor, as applicable, and, if applicable, Guarantor's, Subsidiaries, on a consolidated basis) delivered to the Administrative Agent under this Agreement.

"<u>Investment Company Act</u>" means the Investment Company Act of 1940 and all rules and regulations promulgated under that statute, as amended, and any successor statute, rules, and regulations.

"<u>Joinder Supplement</u>" means an agreement among the Borrower, a Lender and the Administrative Agent in the form of <u>Exhibit J</u> to this Agreement (appropriately completed) delivered in connection with a Person becoming a Lender hereunder after the Closing Date.

"<u>Lender</u>" means (i) ConnectOne Bank, (ii) each financial institution which may from time to time become a Lender hereunder by executing and delivering a Joinder Supplement as contemplated by <u>Section</u> <u>2.12</u> and (iii) any other Person to whom a Lender assigns any part of its rights and obligations under this Agreement and the other Transaction Documents in accordance with the terms of <u>Section</u> <u>10.4</u>.

"<u>Leverage Ratio</u>" means, at any time, for any Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP), the ratio of the sum of Total Debt to Total Net Worth at such time.

"<u>Lien</u>" means any mortgage or deed of trust, pledge, hypothecation, collateral assignment, deposit arrangement, encumbrance, lien (statutory or other), charge, claim, preference, priority or other security interest or preferential arrangement in the nature of a security interest of any kind or nature whatsoever (including any conditional sale, lease or other title retention agreement, sale subject to a repurchase obligation, any easement, right of way or other encumbrance on title to real property, and any financing lease having substantially the same economic effect as any of the foregoing) or the filing of or agreement to give any financing statement perfecting a security interest under the UCC or comparable law of any jurisdiction.

"<u>Lien Release Dividend</u>" has the meaning set forth in <u>Section</u> <u>2.13</u>.

"<u>Lien Release Dividend Date</u>" has the meaning set forth in <u>Section</u> <u>2.13</u>.

"<u>Liquid Assets</u>" means, as of any date of determination, for any Person, without duplication, the sum of the value of such Person's unrestricted and unencumbered cash and Cash Equivalents.

"<u>Loan Documents</u>" means, with respect to any Eligible Loan, those documents executed in connection with, evidencing or governing such Eligible Loan (including any Mortgage Note) and the related Mortgaged Property and which are required to be delivered to the Collateral Custodian under the Custodial Agreement and any other document listed in <u>Exhibit C</u>.

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"<u>Loan List</u>" means the list of all Eligible Loans, in the form of <u>Schedule II</u> hereto (in both electronic format and hardcopy form), that are originated by the Borrower on an Advance Date, as supplemented on any subsequent Advance Date by the "Loan List" attached to the applicable Advance Request, and incorporated herein by reference, as such schedule may be supplemented and amended from time to time pursuant to the terms hereof, which schedule shall, together with all supplements and amendments thereto.

"<u>Loan to Cost Ratio</u>" means loan amount divided by total project cost.

"<u>Losses Recourse Event</u>" means any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any willful misconduct or illegal act on the part of Borrower or Guarantor or any Affiliate thereof or any officer, director, partner, member, employee, agent or representative of Borrower or Guarantor or any Affiliate thereof in connection with the execution and delivery of this Agreement and the other Transaction Documents, or any certificate, report, notice, financial statement, representation, warranty or other instrument or document furnished to Administrative Agent by Borrower or Guarantor or any Affiliate thereof in connection with this Agreement or any other Transaction Document on the Closing Date or during the term of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) any claim by Borrower or Guarantor or any Affiliate thereof that, after Administrative Agent has exercised its remedies under the Transaction Documents, Administrative Agent is not the record and beneficial owner of, and did not acquire good and marketable title to, each Eligible Loan in accordance with the Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any recharacterization by any court of (a) any prior transfer of an Eligible Loan to Borrower by any Affiliate of Borrower or Guarantor or (b) any intermediate transfers of an Eligible Loan between one or more Affiliates of Borrower or Guarantor prior to such Eligible Loan being transferred to Borrower, in each case, as something other than a true sale or true contribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Borrower or Guarantor or any Affiliate of thereof seeks to contest, challenge, deny or repudiate: (a) any provision of the Transaction Documents, (b) any right or remedy of Administrative Agent under any of the Transaction Documents, (c) any obligation, covenant, agreement or duty of Borrower or Guarantor or any Affiliate thereof under any of the Transaction Documents or (d) any Lien, security interest or control granted under or in connection with the Transaction Documents, Collateral or any Eligible Loan, excluding, in each case, good faith disputes regarding the terms of the Transaction Documents and provided that, for the avoidance of doubt, nothing in this clause (b)(vi) shall limit Borrower's or Guarantor's (or any Affiliate of Borrower or Guarantor) right to file any counterclaim in good faith, raise any meritorious defense in good faith, or otherwise avail itself of any right, remedy, or defense available to it to the extent such right, remedy, or defense is not expressly waived in any of the Transaction Documents and so long as such right, remedy, or defense is made or raised in good faith;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) any intentional misappropriation or misapplication of any funds related to any of the Transaction Documents by Borrower or Guarantor or any Affiliate thereof; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) any fraud or intentional material misstatement on the part of Borrower or Guarantor or any Affiliate thereof or any officer, director, partner, member, employee, agent or representative of Borrower or Guarantor or any Affiliate thereof in connection with the execution and delivery or performance of this Agreement and the other Transaction Documents, or any certificate, report, notice, financial statement, representation, warranty or other instrument or document furnished to Administrative Agent by Borrower or Guarantor or any Affiliate thereof in connection with this Agreement or any other Transaction Document on the Closing Date or during the term of this Agreement.

"<u>Margin Stock</u>" has the meaning assigned to that term in Regulation T, U or X of the Board of Governors of the Federal Reserve System, as amended.

"<u>Material Adverse Effect</u>" means, with respect to any event or circumstance, a material adverse effect on (a) the business, condition (financial or otherwise), operations, performance or properties of (i) the Borrower, (ii) Guarantor, or (iii) the Servicer and their respective Affiliates taken as a whole, (b) the validity, enforceability or collectability of any portion of the Collateral, or the validity or enforceability of this Agreement or any other Transaction Document or collectability of amounts payable thereunder, (c) the rights and remedies under the Transaction Documents of the Borrower, the Administrative Agent and the Secured Parties, (d) the ability of the Borrower, the Servicer or Guarantor to perform its respective obligations under this Agreement or any Transaction Document or (e) the status, existence, perfection, priority or enforceability of the Administrative Agent's security interest in the Collateral.

"<u>Material Modification</u>" means, with respect to any Eligible Loan, any material extension, amendment, waiver, termination, rescission, cancellation, release or other modification to the terms of, or any collateral, guaranty or indemnity for, or the exercise of any material right or remedy of a holder (including all lending, corporate and voting rights, remedies, consents, approvals and waivers) of such Eligible Loan or its related Loan Documents; provided, however, that any waiver, amendment, or modification of a financial covenant or similar term shall not be deemed a Material Modification so long as the related Eligible Loan continues to achieve a Debt Service Coverage Ratio of at least 1.25 to 1.00 in each case, on a pro forma basis after giving effect to any such modification.

"<u>Maturity Date</u>" means the earliest to occur of (i) the Stated Maturity Date, (ii) the date of the declaration, or automatic occurrence, of the Maturity Date pursuant to <u>Section</u> <u>7.2</u> and (iii) the Collection Date.

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"<u>Maximum Availability</u>" means, at any time, the lesser of (i) the Maximum Facility Amount and (ii) the Borrowing Base.

"<u>Maximum Facility Amount</u>" means the aggregate Commitments as then in effect, which amount shall not exceed $100,000,000 (as such amount may be increased from time to time with the consent of the Administrative Agent, each Lender and the Borrower in accordance with <u>Section</u> <u>2.13</u>).

"<u>Measurement Date</u>" means each of the following, as applicable: (i) the Closing Date; (ii) each Payment Date; (iii) each Advance Date; (iv) each Determination Date; (v) the date of any sale of an Eligible Loan; (vi) the date as of which a Borrowing Base Deficiency occurs; and (vii) any other date reasonably requested by the Administrative Agent on at least three (3) Business Days' notice.

"<u>Moody's</u>" means Moody's Investors Service and any successor thereto.

"<u>Monthly Report</u>" means the form of monthly report attached hereto as <u>Exhibit N</u>.

"<u>Mortgage</u>" means any mortgage, deed of trust, assignment of rents, security agreement and fixture filing, or other instruments creating and evidencing a lien on real property and other property and rights incidental thereto.

"<u>Mortgage Asset File</u>" has the meaning set forth in the Custodial Agreement.

"<u>Mortgagee</u>" means the beneficial owner of a Mortgage Note secured by a Mortgage.

"<u>Mortgage Note</u>" means the original executed promissory note or other evidence of the indebtedness of an Obligor with respect to a commercial mortgage loan.

"<u>Mortgaged Property</u>" means the real property (including all improvements, buildings, fixtures, building equipment and personal property thereon and all additions, alterations and replacements made at any time with respect to the foregoing) and all other collateral securing repayment of the debt on an Eligible Loan as evidenced by a Mortgage Note.

"<u>Multiemployer Plan</u>" means a "multiemployer plan" as defined in Section 4001(a)(3) of ERISA to which the Borrower or any ERISA Affiliate contributed or had any obligation to contribute on behalf of its employees at any time during the current year or the preceding five (5) years.

"<u>Net Income</u>" means, for any period, for any Person and its Subsidiaries (determined on a consolidated basis without duplication in accordance with GAAP), the net income (or loss), after all expenses, Taxes and other proper charges, determined in accordance with GAAP eliminating (i) all inter-company items, (ii) all earnings attributable to equity interests in Persons that are not Subsidiaries unless actually received by such Person, (iii) all income arising from the forgiveness, adjustment or negotiated settlement of any Indebtedness, and (iv) any increase or decrease of income arising from any change in the method of accounting for any item from that employed in the preparation of the financial statements referred to herein.

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"<u>Non-Usage Fee</u>" means an amount, payable in arrears to the Administrative Agent on each Non-Usage Payment Date as required herein to be distributed *pro rata* to each Lender, with respect to any Remittance Period equal to the sum of the products for each day during such Remittance Period of (i) one *divided by* 360, (ii) the applicable Non-Usage Fee Rate (as defined below), and (iii) the Maximum Facility Amount *minus* the Advances Outstanding on such day. The Non-Usage Fee Rate (the "<u>Non-Usage Fee Rate</u>") shall be equal to: if the Advances Outstanding on such day are less than or equal to 65% of the Maximum Facility Amount, 0.25%. Notwithstanding the foregoing, for the avoidance of doubt, no Non-Usage Fee shall begin to accrue until the date that is twelve (12) months days after the Closing Date.

"<u>Non-Usage Payment Date</u>" means, commencing on the Non-Usage Payment Date immediately following the date that is twelve (12) months after the Closing Date, the 5th calendar day of each calendar month immediately following the end of a Calendar Quarter or, if such day is not a Business Day, the next succeeding Business Day.

"<u>Note</u>" has the meaning set forth in <u>Section</u> <u>2.2</u>.

"<u>Notices</u>" means all communications required or permitted to be given or made under this Agreement.

"<u>Obligations</u>" means all present and future indebtedness and other liabilities and obligations (howsoever created, arising or evidenced, whether direct or indirect, absolute or contingent, or due or to become due) of the Borrower to the Lenders, the Administrative Agent or the Account Bank (i) arising under this Agreement and/or any other Transaction Document and shall include all liability for principal of and interest on the Advances, indemnifications and other amounts due or to become due by the Borrower to the Lenders, the Administrative Agent, the Collateral Custodian and the Account Bank under this Agreement and/or any other Transaction Document, including any amounts payable under the Custodial Agreement and costs and expenses payable by the Borrower to the Lenders, the Administrative Agent, the Account Bank or the Collateral Custodian, including attorneys' fees, costs and expenses, including interest, fees and other obligations that accrue after the commencement of an insolvency proceeding (in each case whether or not allowed as a claim in such insolvency proceeding), (ii) for disbursements made by the Lenders for Borrower's account, (iii) for overdrafts, and (iv) for automated clearinghouse exposure.

"<u>Obligor</u>" means, collectively, each Person obligated to make payments under a Mortgage or other Loan Document, including any guarantor thereof.

"<u>Outstanding Balance</u>" means the outstanding principal balance (net of funded capital reserves) of an Eligible Loan; provided that, the outstanding balance of any Eligible Loan that is not an Eligible Loan shall be zero.

"<u>Patriot Act</u>" means the "Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA PATRIOT Act) of 2001" (Title III of Pub. L. 107-56 (signed into law October 26, 2001)).

"<u>Payment Date</u>" means (i) the 20th calendar day of each calendar month or, if such day is not a Business Day, the next succeeding Business Day, commencing thirty (30) days immediately proceeding the first Advance and (ii) solely with respect to payment of the Non-Usage Fee, the Non-Usage Payment Date; provided that, in each case, the final Payment Date shall occur on the Collection Date.

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"<u>Payment Date Statement</u>" means a statement prepared on or prior to each Payment Date by the Servicer as of each Determination Date immediately prior to such Payment Date setting forth the calculation of each amount due and payable on such Payment Date pursuant to <u>Section</u> <u>2.6</u>, together with the payment information for each recipient of such amounts.

"<u>Pension Plan</u>" means each "employee pension benefit plan," as such term is defined in Section 3(3) of ERISA, that is subject to Title IV of ERISA, Section 412 of the Code or Section 302 of ERISA (other than any Multiemployer Plan) and that is, or at any time during the preceding six (6) years was, maintained by the Borrower or any ERISA Affiliate of the Borrower, or open to participation by employees of the Borrower or of any ERISA Affiliate of the Borrower, as from time to time in effect.

"<u>Periodic Term SOFR</u>" has the meaning specified in the definition of "Term SOFR".

"<u>Permitted Assignee</u>" means a Person that is both (a) either (i) a Lender or any of its Affiliates or any Person managed by a Lender or any of its Affiliates other than a Defaulting Lender or any of its Affiliates, or (ii) a bank acceptable to the Administrative Agent (or following the occurrence and continuation or any Event of Default, any other non-natural Person acceptable to the Administrative Agent), and (b) owns total assets (in name or under management) in excess of $250,000,000 and capital/statutory surplus or shareholders' equity of $100,000,000.

"<u>Permitted Investments</u>" means, as of any date of determination:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) direct interest bearing obligations of, and interest bearing obligations guaranteed as to timely payment of principal and interest by, the United States or any agency or instrumentality of the United States, the obligations of which are backed by the full faith and credit of the United States;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) demand or time deposits in, certificates of deposit of, demand notes of, or bankers' acceptances issued by any depository institution or trust company organized under the laws of the United States or any State thereof (including any federal or state branch or agency of a foreign depository institution or trust company) and subject to supervision and examination by federal and/or state banking authorities (including, if applicable, the Collateral Custodian or the Administrative Agent or any agent thereof acting in its commercial capacity); provided that, the short-term unsecured debt obligations of such depository institution or trust company at the time of such investment, or contractual commitment providing for such investment, shall have a credit rating from S&P, Moody's and Fitch in the Highest Required Investment Category granted by each of S&P, Moody's and Fitch;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) commercial paper that (a) is payable in Dollars and (b) is rated in the Highest Required Investment Category granted by each of S&P, Moody's and Fitch; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) units of money market funds having a rating of the Highest Required Investment Category from each of S&P, Moody's and Fitch (if rated by Fitch).

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No Permitted Investment shall have an "f," "r," "p," "pi," "q," "sf" or "t" subscript affixed to its S&P rating. Any such investment may be made or acquired from or through the Administrative Agent or any of their respective affiliates, or any entity for whom the Administrative Agent, the Collateral Custodian or any of their respective affiliates provides services and receives compensation (so long as such investment otherwise meets the applicable requirements of the foregoing definition of Permitted Investment at the time of acquisition).

"<u>Permitted Liens</u>" means any of the following as to which no enforcement, collection, execution, levy or foreclosure proceeding shall have been commenced (i) Liens for Taxes if such Taxes shall not at the time be due and payable or if a Person shall currently be contesting the validity thereof in good faith by appropriate proceedings and with respect to which reserves in accordance with GAAP (or if the Person is domiciled in an Eligible Foreign Jurisdiction, the accounting standard utilized by such Person) have been provided on the books of such Person, (ii) Liens imposed by law, such as materialmen's, warehousemen's, mechanics', carriers', workmen's and repairmen's Liens and other similar Liens, arising by operation of law in the ordinary course of business for sums that are not overdue or are being contested in good faith and (iii) Liens Granted pursuant to or by the Transaction Documents.

"<u>Person</u>" means and includes any individual, sole proprietorship, partnership, corporation, business trust, joint stock company, trust, unincorporated organization, association, limited liability company, institution, public benefit corporation, joint venture, entity or governmental body (or any agency or political subdivision thereof).

"<u>Plan</u>" means an employee benefit plan as defined in Section 3(3) of ERISA, subject to Title IV of ERISA, Section 412 of the Code or Section 302 of ERISA in respect of which the Borrower, the Servicer, the Guarantor or any other ERISA Affiliate thereof has any actual or potential liability or, if such plan were terminated at such time, would under Section 4069 of ERISA be deemed to be, an "employer" as defined in Section 3(5) of ERISA.

"<u>Pledge Agreement</u>" means the Pledge Agreement, dated as of the date hereof, by and between BLK Holding and the Administrative Agent, as the same may be amended, restated, or otherwise modified and in effect from time to time.

"<u>Prepayment Fee</u>" means (x) solely with respect to any Advance that is prepaid in whole or in part on a date that is prior to six (6) months following the related Advance Date, an amount equal to the greater of the prepayment penalty and exit fee under the Loan Documents, or 0.50% of the amount being prepaid, and (y) solely with respect to any Advance that is prepaid in whole or in part on a date that is at least six (6) months following the related Advance Date but prior to twelve (12) months following the related Advance Date, an amount equal to 0.25% of the amount being prepaid. For the avoidance of doubt, no Prepayment Fee shall be due in connection with the prepayment, in whole or in part, of any Advance on or after the date that is twelve (12) months following the related Advance Date.

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"<u>Pre-Positioned Loan</u>" means an Eligible Loan for which the Borrower has delivered an Advance Request, for which a copy of a complete Mortgage Asset File has not been delivered to the Collateral Custodian prior to the related Advance Date, and that is closed in part, either directly or indirectly, with the Advance given to the Borrower for such Eligible Loan.

"<u>Principal Collections</u>" means, with respect to any Collateral, all amounts that do not constitute Interest Collections.

"<u>Proceeds</u>" means, with respect to any assets included in the Collateral, all property that is receivable or received when such assets are collected, sold, liquidated, foreclosed, exchanged, or otherwise disposed of, whether such disposition is voluntary or involuntary, and includes all rights to payment with respect to any insurance relating thereto.

"<u>Pro Rata Share</u>" means, with respect to each Lender, the percentage obtained by *dividing* the Commitment of such Lender (or, following the termination thereof, the outstanding principal amount of all Advances of such Lender), *by* the aggregate Commitments of all the Lenders (or, following the termination thereof, the aggregate Advances Outstanding).

"<u>Prohibited Transaction</u>" has the meanings set forth for such term in Section 4975 of the Code and Section 406 of ERISA.

"<u>Qualified Substitute Arrangement</u>" has the meaning set forth in <u>Section</u> <u>5.1(r)(iii)</u>.

"<u>Rating Agency</u>" means Fitch, S&P or Moody's, as applicable.

"<u>Register</u>" has the meaning set forth in <u>Section</u> <u>10.4(d)</u>.

"<u>Related Security</u>" means, with respect to each Eligible Loan, all right, title and interest of the Borrower in and to: (i) any amounts on deposit in any cash reserve, collection, custody or lockbox accounts securing such Eligible Loan; (ii) all rights (but no obligations) with respect to such Eligible Loan to which the Borrower is entitled as lender of record under the applicable Loan Documents; (iii) any Mortgaged Property securing such Eligible Loan, all payments paid in respect thereof and all monies due, to become due and paid in respect thereof owed to the Borrower and all liquidation proceeds; (iv) all Loan Documents, all Mortgage Asset Files and the documents, agreements related to such Eligible Loan, and instruments included in such Mortgage Asset File; (v) all Servicing Rights related to such Eligible Loan; (vi) all Liens, guaranties, indemnities, warranties, letters of credit, accounts, bank accounts and property subject thereto from time to time purporting to secure or support payment of such Eligible Loan, together with all UCC financing statements, Mortgages and Security Agreements or similar filings; (vii) any mortgage guaranties and insurance (issued by Governmental Authorities or otherwise) and claims, payments and proceeds thereunder; (viii) security interests of the Borrower in Derivatives Contracts entered into by related Obligor; (ix) rights of the Borrower under any letter of credit, guarantee, warranty, indemnity or other credit support or enhancement; (x) all supporting obligations of any kind; and (xi) all collections, income, payments, recoveries, Proceeds and other benefits of each of the foregoing.

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"<u>Relevant Governmental Body</u>" means the Federal Reserve Board or the Federal Reserve Bank of New York, or a committee officially endorsed or convened by the Federal Reserve Board or the Federal Reserve Bank of New York, or any successor thereto.

"<u>Remittance Period</u>" means, (i) as to the initial Payment Date, the period beginning on the Closing Date and ending on, and excluding, the Determination Date immediately preceding such Payment Date and (ii) as to any subsequent Payment Date, the period beginning on the Determination Date after the most recently ended Remittance Period and ending on, and excluding, the Determination Date immediately preceding such Payment Date, or, with respect to the final Remittance Period, the Collection Date.

"<u>Renovation Administration Fee</u>" means, as to each Mortgaged Property, a one-time, non-refundable, fully earned fee in the amount of $4,000.00 due and payable on each related Advance Date.

"<u>Reportable Event</u>" has the meaning set forth in <u>Section</u> <u>4.15(a)</u>.

"<u>Required Lenders</u>" means (i) ConnectOne Bank (as a Lender hereunder) and its successors and assigns and (ii) the Lenders representing an aggregate of at least 51.0% of the aggregate Commitments of the Lenders then in effect.

"<u>Required Third Party Reports</u>" has the meaning specified in <u>Exhibit C</u>.

"<u>Reserve Account</u>" has the meaning set forth in <u>Section</u> <u>2.4(d)</u>.

"<u>Resizing Amount</u>" has the meaning set forth in <u>Section</u> <u>2.3(f)</u>.

"<u>Responsible Officer</u>" means, with respect to any Person, any duly authorized officer of such Person (or, if applicable, a duly authorized officer of the general partner or manager of such Person) with direct responsibility for the administration of this Agreement and also, with respect to a particular matter, any other duly authorized officer of such Person to whom such matter is referred because of such officer's knowledge of and familiarity with the particular subject.

"<u>S&P</u>" means Standard & Poor's Ratings Services, a division of The McGraw-Hill Companies, Inc. and any successor thereto.

"<u>Sanctioned Country</u>" means, at any time, a country or territory which is the subject or target of any Sanctions.

"<u>Sanctioned Person</u>" means, at any time, (i) any Person listed in any Sanctions-related list of designated Persons maintained by the Office of Foreign Assets Control of the U.S. Department of the Treasury, the U.S. Department of State, or by the United Nations Security Council, the European Union, any EU member state or Canada, (ii) any Person operating, organized or resident in a Sanctioned Country or (iii) any Person controlled by any such Person.

"<u>Sanctions</u>" means economic or financial sanctions or trade embargoes imposed, administered or enforced from time to time by (i) the U.S. government, including those administered by the Office of Foreign Assets Control of the U.S. Department of the Treasury or the U.S. Department of State, or (ii) the United Nations Security Council, the European Union, Canada or His Majesty's Treasury of the United Kingdom.

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"<u>Secured Party</u>" means each of the Administrative Agent, each Lender (together with its successors and assigns), each Affected Party, each Indemnified Party, and the Account Bank.

"<u>Security Agreement</u>" means a security agreement or other agreement that creates a Lien on personal property, including furniture, fixtures and equipment, to secure repayment of an Eligible Loan.

"<u>Servicer</u>" has the meaning assigned thereto in the preamble hereof.

"<u>Servicer Removal Event</u>" means any default by Servicer of any of its material obligations under the Servicing Agreement beyond any applicable notice and/or cure period.

"<u>Servicing Agreement</u>" has the meaning assigned thereto in the definition of "Servicing Contract".

"<u>Servicing Contract</u>" means (i) that certain Servicing Agreement, dated as of the date hereof, by and between Servicer and Borrower, as the same may be amended, restated, or otherwise modified and in effect from time to time (the "<u>Servicing Agreement</u>"), and (ii) with respect to any replacement Servicer, the arrangement under which such replacement Servicer agrees to service the Collateral.

"<u>Servicing Expenses</u>" means any reasonable and customary third party expenses incurred by the Servicer in connection with servicing the Eligible Loans in accordance with the terms of this Agreement and the Servicing Contract, including advances by the Servicer of its own funds which it elects to advance under an Eligible Loan to preserve or protect the Eligible Loan or to enforce remedies and to force place insurance coverage with respect to an Eligible Loan.

"<u>Servicing Fee</u>" shall have the meaning given to such term in the Servicing Contract.

"<u>Servicing Rights</u>" means, with respect to any Eligible Loan, all right, title and interest of in and to any and all of the following (subject to the rights of the Servicer under the Servicing Contract):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) rights to service and collect and make all decisions with respect to such Eligible Loan,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) amounts received by any Person for servicing such Eligible Loan, (iii) late fees, penalties or similar payments with respect to such Eligible Loan, (iv) agreements and documents creating or evidencing any such rights to service, documents, files and records relating to the servicing of such Eligible Loan, (v) escrow, reserve and similar amounts with respect to such Eligible Loan (and not payable to the related Obligor), (vi) rights to appoint, designate and retain any other servicers, sub-servicers, special servicers, agents, custodians, trustees and liquidators with respect to such Eligible Loan, and (vii) accounts and other rights to payment related to such Eligible Loan.

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"<u>Servicing Standard</u>" has the meaning set forth in the Servicing Contract.

"<u>SOFR</u>" means a rate equal to the secured overnight financing rate as administered by the Relevant Governmental Body.

"<u>Stabilized LTV</u>" means, as of any date of determination, with respect to each Eligible Loan (i) the outstanding principal balance (net of funded capital reserves) of an Eligible Loan *divided by* (ii) the as-stabilized value of the applicable Mortgaged Property as set forth in an Appraisal acceptable to the Administrative Agent in its sole discretion.

"<u>Stated Maturity Date</u>" means June 1, 2029, as the same may be extended in accordance with the terms of <u>Section</u> <u>2.14</u> hereof.

"<u>Statement Date</u>" means the Audited Statement Date or the Interim Statement Date, as applicable.

"<u>Subordinated Debt</u>" means, with respect to any Person, all Indebtedness of that Person for borrowed money that is effectively subordinated in right of payment to all present and future Obligations either (i) under an agreement subordinating such Indebtedness to the Obligations on a form approved by Administrative Agent or (ii) otherwise on terms acceptable to Administrative Agent.

"<u>Subsidiary</u>" means with respect to any Person, any corporation, partnership, limited liability company or other entity (heretofore, now or hereafter established) of which at least a majority of the securities or other ownership interests having by the terms thereof ordinary voting power to elect a majority of the board of directors or other persons performing similar functions of such corporation, partnership, limited liability company or other entity (without regard to the occurrence of any contingency) is at the time directly or indirectly owned or controlled by such Person or one or more Subsidiaries of such Person or by such Person and one or more Subsidiaries of such Person, and shall include all Persons the accounts of which are with those of such Person pursuant to GAAP.

"<u>Total Net Worth</u>" means the total capital of Guarantor and its consolidated Subsidiaries as reflected in Guarantor's most recent unaudited quarterly balance sheet or audited annual financial statements, as applicable, prepared in accordance with GAAP, plus without duplication, (i) accrued but unpaid shareholder servicing fees charged directly to equity and (ii) equity subscriptions including the undrawn balance under the BlackRock Subscription Agreement and other subscriptions, to the extent such other subscriptions have been duly executed and funds have been received by the applicable transfer agent in good order with receipt of funds scheduled to occur within five (5) Business Days.

"<u>Taxes</u>" means any present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), charges, assessments or fees of any nature (including interest, penalties, and additions thereto) that are imposed by any Governmental Authority.

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"<u>Term SOFR</u>" means for any calculation with respect to a SOFR Advance, the greater of (x) three percent (3.00%) per annum, or (y) the Term SOFR Reference Rate for a tenor of one month (such day, the *"*<u>Periodic Term SOFR Determination Day</u>*"*) that is two (2) U.S. Government Securities Business Days prior to the first day of Remittance Period, as such rate is published by the Term SOFR Administrator; provided, however, that if as of 5:00 p.m. (New York City time) on any Periodic Term SOFR Determination Day the Term SOFR Reference Rate for the applicable tenor has not been published by the Term SOFR Administrator and a Benchmark Replacement Date with respect to the Term SOFR Reference Rate has not occurred, then Term SOFR will be the Term SOFR Reference Rate for such tenor as published by the Term SOFR Administrator on the first preceding U.S. Government Securities Business Day for which such Term SOFR Reference Rate for such tenor was published by the Term SOFR Administrator so long as such first preceding U.S. Government Securities Business Day is not more than three (3) U.S. Government Securities Business Days prior to such Periodic Term SOFR Determination Day; provided, further*,* that with respect to any SOFR Advance that is advanced during an Interest Accrual Period applicable other SOFR Advances outstanding hereunder, Term SOFR shall mean the Term SOFR Reference Rate as of the first day of the Remittance Period applicable to such other SOFR Advances outstanding hereunder.

"<u>Term SOFR Administrator</u>" means CME Group Benchmark Administration Ltd (or any successor or replacement administrator, as determined by the Bank).

"<u>Term SOFR Reference Rate</u>" means the forward-looking term rate based on SOFR.

"<u>Total Debt</u>" means borrowed money appearing (or required to appear in accordance with GAAP) on the balance sheet of Guarantor or its consolidated financial statements, provided that, for the avoidance of doubt, Total Debt shall not include (a) (i) any collateralized loan obligations or other securitization financings or (ii) any promissory notes, consolidated senior interests (*i.e.,* "A Notes"), or participation certificate obligations payable in connection with participations in loans that are, in each of clauses (i) and (ii), non-recourse to Guarantor, and (b) the proceeds of any subscription line of credit obtained by Guarantor to the extent that the borrowing base with respect to any such subscription line credit consist of investors rated at least "Prime-1" or "Aaa" (or the then equivalent grade) by Moody's or "A-1" or "AAA" (or the then equivalent grade) by S&P or as otherwise approved in the sole discretion of the Administrative Agent.

"<u>Transaction Documents</u>" means this Agreement, the Servicing Agreement, the Custodial Agreement, the Pledge Agreement, any Bailee Agreements, the Assignment Agreement Documents, all notes, all UCC financing statements, amendments and continuation statements and any agreement of Borrower or Guarantor for the benefit of the Secured Parties relating to any guaranties, security agreements, collateral assignments, pledge agreements, lockbox agreements, account assignments, control agreements, letter of credit application and agreement or other reimbursement agreements, any subordination agreements, intercreditor agreements and any and all other agreements, instruments and documents, including powers of attorney, consents, and all other writings heretofore, now or hereafter executed by Borrower or Guarantor or delivered to the Administrative Agent in connection with this Agreement (or the aforementioned documents or agreements) as originally executed or as any of the same may be amended, restated, renewed or replaced.

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"<u>Transferee Letter</u>" has the meaning set forth in <u>Section</u> <u>10.4(a)</u>.

"<u>Trust Receipt</u>" has the meaning set forth in the Custodial Agreement.

"<u>UCC</u>" means the Uniform Commercial Code as presently in effect in the State of New York, or any applicable jurisdiction.

"<u>Underwriting Package</u>" means, with respect to any Eligible Loan, the internal document or credit committee memorandum setting forth all material information relating to such Eligible Loan which is known by the Servicer, prepared by Servicer for its evaluation of such Eligible Loan, including the items set forth on <u>Schedule I</u>, to the extent applicable and available.

"<u>United States</u>" or "<u>U.S</u>." means the United States of America.

"<u>U.S. Dollars</u>" means the lawful currency of the United States.

"<u>Volcker Rule</u>" means Section 13 of the U.S. Bank Holding Company Act of 1956, as amended, and the applicable rules and regulations thereunder.

"<u>Warranty Event</u>" means, as of any date of determination, with respect to an Eligible Loan, the Administrative Agent determines (in its sole discretion) any one of the following has occurred with respect to such Eligible Loan (solely in the case of clauses (vii), (viii), (ix) and (x) to the extent required to cause such Eligible Loan to be back in compliance with the applicable limitation): (i) five (5) Business Days elapse from the date an Advance was made against such Eligible Loan, without receipt of the Loan Documents relating to that Eligible Loan required to be delivered on such date; (ii) ten (10) Business Days elapse without the return of one (1) or more Loan Documents delivered by the Administrative Agent to Borrower under a Trust Receipt for correction or completion; (iii) on the date on which such Eligible Loan is determined to have been originated or acquired based on material untrue, incomplete or inaccurate information or otherwise to be subject to fraud, whether or not Borrower or the Servicer had knowledge of the misrepresentation, incomplete or incorrect information or fraud; (iv) on the date on which Borrower knows or receives Notice from the Administrative Agent, that such Eligible Loan is not an Eligible Loan or is subject to a Credit Event; (v) upon the sale, other disposition or prepayment of any Eligible Loan; (vi) any of the Loan Documents relating to such Eligible Loan, upon examination by the Administrative Agent, are found not to be in material compliance with the requirements of this Agreement; (vii) the Outstanding Balance of any Eligible Loan that is paid in whole or in part while an Advance is outstanding against such Eligible Loan; (viii) the Advances outstanding against any Eligible Loan on the final maturity date of such Eligible Loan (after giving effect to any right to extend the term of such Eligible Loan exercised by Borrower under such Eligible Loan); and (ix) the Advances outstanding on any Defaulted Loan to the extent necessary to cause the Stabilized LTV to equal no more than eighty percent (80%).

Section 1.2. <u>Other Definitional Provisions; Terms of Construction</u>. (a) All accounting terms not specifically defined herein shall be defined in accordance with GAAP. All financial computations to be made under this Agreement, unless otherwise specifically provided herein, shall be construed in accordance with GAAP.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Defined terms may be used in the singular or the plural, as the context requires.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) All reference to any time means New York, New York time (unless expressly specified otherwise).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) References in Transaction Documents to Sections, Exhibits, Schedules and like references are to Sections, Exhibits, Schedules and the like in and to such Transaction Document unless otherwise expressly provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) References in a Transaction Document to any document, instrument, or agreement (i) shall include all exhibits, schedules, and other attachments thereto, (ii) shall include all documents, instruments, or agreements issued or executed in replacement thereof, to the extent permitted hereby or thereby, and (iii) shall mean such document, instrument, or agreement, or replacement thereof, as amended, supplemented, restated, or otherwise modified from time to time to the extent permitted hereby or thereby and in effect at any given time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The words "include," "includes" and "including" are deemed to be followed by the phrase "without limitation."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Unless the context in which it is used otherwise clearly requires, the word "or" has the inclusive meaning represented by the phrase "and/or."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) All incorporations by reference of provisions from other agreements are incorporated as if such provisions were fully set forth into this Agreement, and include all necessary definitions and related provisions from those other agreements. All provisions from other agreements incorporated into this Agreement by reference survive any termination of those other agreements until the Obligations of Borrower under this Agreement and the Note are irrevocably paid in full and the Commitment is terminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) All capitalized terms used herein with reference to the Collateral and defined in the UCC as adopted in the applicable jurisdiction from time to time shall have the meaning given therein unless otherwise defined herein. To the extent the definition of any category or type of Collateral is expanded by any amendment, modification or revision to the UCC, such expanded definition will apply automatically as of the effective date of such amendment, modification or revision.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) With respect to any Person, the terms "knowledge" or "actual knowledge" shall mean such knowledge as such Person has or should have after conducting commercially reasonably due inquiry.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) Default is "continuing" if it has not been remedied or waived and an Event of Default is "continuing" if it has not been waived.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) References to any Person include that Person's heirs, personal representatives, successors, trustees, receivers, and permitted assigns.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Unless the context in which it is used otherwise clearly requires, all references to days, weeks and months mean calendar days, weeks and months.

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**ARTICLE II** 

**THE FACILITY** 

Section 2.1. <u>Commitments</u>. On the terms and subject to the conditions and limitations of this Agreement, including the criteria set forth on <u>Exhibit D</u>, the Borrower may request and each Lender shall have the right in its sole discretion to make Advances. Under no circumstances shall any Lender be required to make any Advance if (a) such Lender elects in its sole discretion not to make an Advance or the conditions to advance described herein are not satisfied, or (b) after giving effect to such Advance and the addition to the Collateral of the Eligible Loans being acquired by the Borrower using the proceeds of such Advance, (i) an Event of Default has occurred or would result therefrom or a Default exists or would result therefrom, (ii) the Advances Outstanding would exceed the Maximum Facility Amount, or (iii) the Advances Outstanding would exceed the Availability. No Lender shall be obligated to provide the Borrower with aggregate funds in connection with an Advance that would exceed the lesser of (1) such Lender's or unused Commitment then in effect and (2) the aggregate unused Commitments, as applicable, then in effect. The proceeds of Advances shall be used solely to originate Eligible Loans.

Section 2.2. <u>Note</u>. In each case, to the extent requested by the applicable Lender, the Borrower has heretofore delivered or shall, on the date hereof (and on the terms and subject to the conditions hereinafter set forth), deliver, to each Lender, at the address set forth in <u>Section</u> <u>10.2</u> of this Agreement, and on the effective date of any Joinder Supplement, to each additional Lender, at the address set forth in the applicable Joinder Supplement, a duly executed line of credit note (a "<u>Note</u>"), in substantially the form of <u>Exhibit L</u>, in an aggregate face amount equal to the applicable Lender's Commitment as of the Closing Date or the effective date of any Joinder Supplement, as applicable, and otherwise duly completed. Interest shall accrue on the Note, and the Note shall be payable, as described herein. Each Lender is hereby authorized to enter on a schedule attached to the Note a notation (which may be computer generated) with respect to each Advance made by the applicable Lender of: (a) the date and principal amount thereof and (b) each repayment of principal thereof, and any such recordation shall (absent manifest error) constitute *prima facie* evidence of the accuracy of the information so recorded. The failure of any Lender to make any such notation on the schedule attached to any Note shall not limit or otherwise affect the obligation of the Borrower to repay the Advances in accordance with their respective terms as set forth herein.

Section 2.3. <u>Procedures for Advances</u>. (a) Subject to the terms and conditions set forth herein, the Borrower may request an Advance in connection with the acquisition of an Eligible Loan by delivering to the Administrative Agent the information and documents set forth in this <u>Section</u> <u>2.3</u> at the applicable times provided herein. Not later than five (5) Business Days following its receipt of such information and documents, the Administrative Agent will provide notification to the Lenders with respect thereto.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) With respect to (i) all Advances, all Initial Property Information in Borrower's possession and Required Third Party Reports no later than five (5) days prior to such Advance Date and (ii) all Advances, no later than 1:00 p.m. two (2) Business Days prior to the proposed Advance Date, the Borrower shall deliver:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) to the Administrative Agent (with a copy to the Collateral Custodian) written notice of such proposed Advance Date (including a duly completed Borrowing Base Certificate and Loan List updated to the date such Advance is requested and giving *pro forma* effect to the Advance requested and the use of the proceeds thereof);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) to the Administrative Agent a description of the Obligor and the Eligible Loan(s) to be funded by the proposed Advance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) to the Administrative Agent a wire disbursement and authorization form, to the extent not previously delivered; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) to the Administrative Agent (with a copy to the Collateral Custodian) a duly completed Advance Request which shall (A) specify the desired amount of such Advance, which amount must be at least equal to $500,000, (B) specify the proposed Advance Date of such Advance, (C) specify the Eligible Loan(s) to be financed on such Advance Date (including a description of each proposed Eligible Loan and any related Mortgaged Property and other security therefor in reasonable detail and transmitting a complete Underwriting Package for each proposed Eligible Loan) and (D) include a representation that all conditions precedent for an Advance described in <u>Article III</u> hereof have been met. Each Advance Request shall be irrevocable. If any Advance Request is received by the Administrative Agent after 1:00 p.m. three (3) Business Days prior to the proposed Advance Date (in the case of an Advance), or on a day that is not a Business Day, such Advance Request shall be deemed to be received by the Administrative Agent and each Lender at 9:00 a.m. on the next Business Day;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) On the proposed Advance Date, subject to the limitations set forth in <u>Section</u> <u>2.1</u> and upon satisfaction of the applicable conditions set forth in <u>Article III</u> each Lender shall make available to the Administrative Agent in same day funds, for remittance to the Borrower in the Designated Deposit Account, an amount equal to such Lender's Pro Rata Share of the least of (1) the amount requested by the Borrower for such Advance, (2) the aggregate unused Commitments then in effect and (3) an amount equal to the Availability on such Advance Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) On each Advance Date, the obligation of each Lender to remit its Pro Rata Share of any such Advance shall be several from that of each other Lender and the failure of any Lender to so make such amount available to the Borrower shall not relieve any other Lender of its obligation hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary contained herein, the Borrower's obligation to repay Advances Outstanding and all other Obligations in full on the Maturity Date shall be absolute, unconditional and irrevocable, and shall be paid strictly in accordance with the terms hereof, under any and all circumstances and irrespective of any setoff, counterclaim or defense to payment which the Borrower or any other Person may have or have had against any

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Secured Party or any other Person. Advances Outstanding shall be repaid as and when necessary to cause the Availability to equal or exceed $0, and any amount so repaid may, subject to the terms and conditions hereof, be reborrowed. All repayments of any Advance or any portion thereof shall be made together with payment of all Interest accrued and unpaid on the amount repaid to (but excluding) the date of such repayment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) If on any day the Outstanding Balance of any Eligible Loan is reduced or such Outstanding Balance is canceled as a result of any Warranty Event or otherwise, the Borrower shall be deemed to have received on such day a Collection of such Eligible Loan in the amount of the Outstanding Balance (as determined immediately prior to such Warranty Event or other event) of such Eligible Loan (if such Eligible Loan is canceled) or, otherwise in the amount of such reduction, and the Borrower shall pay to the Collection Account an amount equal to such Deemed Collection and such amount shall be applied as a Collection in accordance with <u>Section</u> <u>2.6</u>. If on any day any of the representations or warranties in <u>Section</u> <u>4.8(b)(ii)</u> was or becomes untrue with respect to an Eligible Loan (whether on or after the date of transfer thereof to the Borrower, for the benefit of the Lenders, as contemplated hereunder), the Borrower shall be deemed to have received on such day a Collection of such Eligible Loan in full and the Borrower shall on such day pay to the Collection Account an amount equal to the Outstanding Balance (as determined immediately prior to such breach) of such Eligible Loan and such amount shall be allocated and applied as a Collection in accordance with <u>Section</u> <u>2.6</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Borrower shall be entitled at its option and upon twenty (20) days' prior written notice in the form of <u>Exhibit B</u> to the Administrative Agent to either (i) terminate the Maximum Facility Amount in whole upon payment in full of all Advances Outstanding, all accrued and unpaid Interest, any Non-Usage Fee, all accrued and unpaid costs and expenses of the Administrative Agent and the Lenders and all other Obligations, or (ii) reduce in part the portion of the Maximum Facility Amount that exceeds the sum of the Advances Outstanding, all accrued and unpaid Interest (*pro rata* with respect to the portion of the Maximum Facility Amount so reduced), all accrued and unpaid costs and expenses of the Administrative Agent and the Lenders (payable *pro rata* to each Lender). Any request for a reduction or termination pursuant to this <u>Section</u> <u>2.3(g)</u> shall be irrevocable. The Commitment of each Lender shall be reduced by an amount equal to its Pro Rata Share (prior to giving effect to any reduction of Commitments hereunder) of the aggregate amount of any reduction under this <u>Section</u> <u>2.3(g)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Borrower shall be entitled at its option, at any time, subject to the Non-Usage Fee, to reduce Advances Outstanding; provided that, (i) the Borrower shall give five (5) Business Day's prior written notice of such reduction in the form of <u>Exhibit B</u> to the Administrative Agent and (ii) any reduction of Advances Outstanding shall be in a minimum amount of $100,000. In connection with any reduction of Advances Outstanding (1) in part, the Borrower shall deliver to each Lender funds sufficient to repay such Advances Outstanding, together with all accrued and unpaid Interest, accrued and unpaid costs and expenses of the Administrative Agent and the Lenders related to such repayment (payable *pro rata* to each Lender) and (2) in whole, the Borrower shall deliver to the Administrative Agent funds sufficient to repay such Advances Outstanding, together with all accrued and unpaid Interest, accrued and unpaid costs and expenses of the Administrative Agent and the Lenders related to such repayment (payable *pro rata* to each Lender); provided that, no such reduction shall be given effect unless (A) sufficient funds have been remitted to pay all such amounts (whether in part, pursuant to <u>clause (1)</u> above or in full,

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pursuant to <u>clause (2)</u> above), as determined by the Administrative Agent in its sole discretion and (B) no event has occurred or would result from such prepayment which would constitute an Event of Default or a Default. Any Advance so repaid may, subject to the terms and conditions hereof, be reborrowed. Any request for a reduction or termination pursuant to this <u>Section</u> <u>2.3</u> shall be irrevocable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) In addition to the foregoing provisions of this <u>Section</u> <u>2.3</u>, solely with respect to any Pre-Positioned Loan, a preliminary draft of the related Advance Request shall be delivered by the Borrower to the Administrative Agent no later than 3:00 p.m. three (3) Business Days prior to the proposed Advance Date, pending finalization and execution of the Advance Request and the origination of such Pre-Positioned Loan on the related Advance Date. A copy of the final, executed Advance Request for such Pre-Positioned Loan shall be delivered to the Administrative Agent on or prior to 11:00 a.m. on the related Advance Date with the original Advance Request to be delivered in accordance with the delivering of the original Mortgage Note for the Pre-Positioned Loan; *provided* that if any preliminary draft or Advance Request is received by the Administrative Agent after the dates and times specified in this <u>Section</u> <u>2.3(i)</u>, or on a day that is not a Business Day, such preliminary draft or Advance Request, as applicable, shall be deemed to be received by the Administrative Agent and each Lender at 9:00 a.m. on the next Business Day.

Section 2.4. <u>Interest and Fees</u>. (a) The Borrower hereby promises to pay, on the dates specified in <u>Section</u> <u>2.6(b)</u>, Interest on the outstanding amount of each Advance (or each portion thereof) for the period commencing on the applicable Advance Date until such Advance is paid in full. No provision of this Agreement or the Note shall require the payment or permit the collection of Interest in excess of the maximum amount permitted by Applicable Law. The Administrative Agent shall determine the applicable Interest and any Fees to be paid by the Borrower on each Payment Date for the related Remittance Period and shall advise each of the Lenders, the Collateral Custodian, and the Borrower thereof in writing no later than the Determination Date immediately prior to such Payment Date. Administrative Agent's determination of Interest as of any date of determination is conclusive and binding, absent manifest error. The Borrower shall also pay the Non-Usage Fee relating to any relevant period occurring on the dates specified in <u>Section</u> <u>2.6(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Interest accrued on each Advance (including any previously accrued and unpaid Interest) and the Non-Usage Fee and any other Fees (as applicable) shall be payable, without duplication: (i) on the Maturity Date; (ii) on the date of any payment or prepayment, in whole or in part, of principal outstanding on such Advance; (iii) on each Payment Date; (iv) and in the case of the Commitment Fee on the date of each Advance (including, for the avoidance of doubt, any increases to the Maximum Facility Amount in accordance with the terms and conditions herein) until paid in full in an amount determined by the Administrative Agent in its sole discretion; provided, however, that the balance of the Commitment Fee then remaining unpaid shall be due, earned and payable on the date that is one year following the Closing Date. The Borrower shall be required to pay in full on each Payment Date each of the amounts specified in <u>Section</u> <u>2.6</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Borrower shall have the right, at any time, to prepay, in whole or in part, any Advance and, upon prepaying any Advance in full, obtain the release of any related Eligible Loan provided that any such prepayment shall be accompanied by (x) all Interest then due and payable in respect of the related Advance, and (y) the Prepayment Fee, if applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The debt service on each advance will be supported by an interest Reserve Account to be calculated by the Borrower and verified by the Administrative Agent. The amount will vary based on the respective Eligible Loan amount.

Section 2.5. <u>Collections, Allocations and Payments</u>. (a) Amounts received by the Servicer or the Borrower on account of Eligible Loans shall be treated as payments of Principal Collections or Interest Collections, as applicable, on such Eligible Loans. The Borrower (or the Servicer on its behalf) shall instruct all Obligors of Eligible Loans to remit all payments of principal, interest and other amounts payable hereunder with respect to the Eligible Loans directly to the Servicer, who will hold such amounts in accordance with <u>Section</u> <u>2.5(d)</u>. The Servicer shall transfer, or cause to be transferred, all Available Collections received by it to the Collection Account no later than 1:00 p.m. on the third (3rd) Business Day after such Collections are received. Upon the transfer of Available Collections to the Collection Account, the Servicer shall promptly identify such Available Collections as being on account of Interest Collections or Principal Collections and the Servicer shall separately account for such Interest Collections and Principal Collections. The Servicer shall further provide to the Administrative Agent and the Collateral Custodian a statement as to the amount of Principal Collections and Interest Collections on deposit in the Collection Account on each Determination Date in the Monthly Report delivered pursuant to <u>Section</u> <u>6.1(a)</u>. On and after the applicable Advance Date, the Servicer and the Borrower will deposit into the Collection Account all Available Collections received in respect of such Eligible Loan being transferred to and included as part of the Collateral on such date. Until the occurrence of an Event of Default, to the extent there are uninvested amounts deposited in the Collection Account, to the extent agreed by the Account Bank in its sole discretion, all such amounts shall be invested in Permitted Investments selected by the Servicer on each Payment Date; from and after the occurrence of an Event of Default, to the extent there are uninvested amounts in the Collection Account, all such amounts may be invested in Permitted Investments selected by the Account Bank (acting at the direction of the Administrative Agent). On and after the occurrence of an Event of Default, the Borrower authorizes the Account Bank to pay and the Administrative Agent to charge the Collection Account, for any Obligations due and payable to Secured Parties, without the necessity of prior demand or notice from the Administrative Agent. All earnings (net of losses and investment expenses) thereon shall be retained or deposited into the Collection Account and shall be applied on each Payment Date pursuant to the provisions of <u>Section</u> <u>2.6</u>. For the avoidance of doubt and notwithstanding anything to the contrary contained herein or otherwise, neither the Account Bank nor the Administrative Agent shall be required to make any investment permitted herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) All amounts to be paid or deposited by the Borrower or the Servicer hereunder shall be paid or deposited in accordance with the terms hereof no later than 1:00 p.m. on the day when due in lawful money of the United States in immediately available funds to the Collection Account or such other account as is designated by the Administrative Agent. Any Obligation hereunder shall not be reduced by any distribution of any portion of Available Collections if at any time such distribution is rescinded or required to be returned by any Lender to the Borrower or any other Person for any reason. Whenever any payment hereunder shall be stated to be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day, and such extension of time shall in such case be included in the computation of payment of Interest or any fee payable hereunder, as the case may be.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any Advance requested by the Borrower and approved by the Administrative Agent pursuant to <u>Section</u> <u>2.3</u> is not for any reason whatsoever, except as a result of the gross negligence or willful misconduct of, or failure to fund such Advance on the part of, the Lenders, the Administrative Agent or an Affiliate thereof, made or effectuated, as the case may be, on the date specified therefor, the Borrower shall indemnify and hold harmless such Lender against any loss, cost or expense incurred by such Lender related thereto (other than any such loss, cost or expense solely due to the gross negligence or willful misconduct or failure to fund such Advance on the part of the Lenders, the Administrative Agent or an Affiliate thereof), including, without limitation, any loss (including cost of funds and reasonable out-of-pocket expenses), cost or expense incurred by reason of the liquidation or reemployment of deposits or other funds acquired by such Lender to fund Advances or maintain the Advances. Any such Lender shall provide to the Borrower documentation setting forth the amounts of any loss, cost or expense referred to in the previous sentence, such documentation to be conclusive absent manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) All amounts collected by the Servicer (on behalf of the Borrower) under the Eligible Loans shall be held in trust by the Servicer for the benefit of the Lenders until remitted to the Collection Account for the benefit of the Lenders pursuant to Section 2.5(a) and (to the extent required by the applicable Loan Documents of the Eligible Loan) for the benefit of the Obligors until remitted to the Lenders pursuant to Section 2.5(a). All amounts received by the Servicer with respect to the Eligible Loans may be deposited when received in a clearing account maintained by the Servicer with an institution insured by the Federal Deposit Insurance Corporation.

Section 2.6. <u>Remittance Procedures</u>. (a) On each Payment Date, prior to the distribution of any Principal Collections, the Account Bank shall transfer Interest Collections held by the Account Bank in the Collection Account to the following Persons in the following amounts, calculated as of the most recent Determination Date:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *first,* to the Administrative Agent to pay the fees and expenses of the Administrative Agent under the
Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) *second*, to the payment of taxes, governmental fees and charges, registered office fees and annual filing
fees owed by the Borrower (if any);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) *third*, *pro rata,* in accordance with the amounts due under this <u>clause (iii)</u>, (1) to the
Collateral Custodian, in payment in full of all accrued Collateral Custodian Fees and of all accrued fees and expenses due under the Custodial Agreement and (2) to the Account Bank, in payment in full of all accrued fees and expenses, if any,
due with respect to the applicable accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) [reserved];

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) *fifth*, *pro rata*, to each Lender in an amount (if any) necessary to cause the Advances Outstanding
to no longer exceed the Availability;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) *sixth, pro rata*, to each Lender all Interest and Fees due and payable on the applicable Payment Date
(including, if applicable, the Non-Usage Fee due and payable on the Non-Usage Payment Date), that are accrued and unpaid as of the last day of the related Remittance Period;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) *seventh,* [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) *eighth, pro rata*, in accordance with the amounts due under this clause (viii), without duplication, to
the Administrative Agent, each Lender, each Affected Party and each Indemnified Party, as applicable, all accrued and unpaid fees, costs, expenses (including attorneys' fees, costs and expenses) and other amounts due and payable (other than
Advances Outstanding) to such Person under the Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) *ninth,* [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) *tenth*, to the payment *pro rata*, to the Collateral Custodian and the Account Bank, in an amount
equal to any accrued and unpaid fees and expenses to the end of the related Remittance Period, in each case to the extent not paid pursuant to clause (iii) above due to the limitation contained therein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) [reserved]; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) *twelfth*, any remaining amounts to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) On each Payment Date, following the distribution of all Interest Collections pursuant to <u>Section</u> <u>2.6(a)</u>, the Account Bank shall transfer Principal Collections held by the Account Bank in the Collection Account to the following Persons in the following amounts, calculated as of the most recent Determination Date, and priority:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *first*, to the Administrative Agent to pay the fees and expenses of the Administrative Agent under the
Transaction Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) *second*, to pay amounts due under <u>Section</u> <u>2.6(a)(i)</u> through <u>(viii)</u> (in
the priority stated therein), to the extent not paid thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) *third*, at the option of the Borrower (in its sole discretion), for deposit into the Collection Account,
to be applied towards the acquisition of additional Eligible Loans;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) *fourth*, to pay amounts due under <u>Section</u> <u>2.6(a)(ix)</u>, to the extent not paid
thereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) *fifth*, to pay amounts due under <u>Section</u> <u>2.6(a)(x)</u>, to the extent not paid
thereunder; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) *sixth*, any remaining amounts shall be distributed to the Borrower *provided* that prior to the
Collection Date, if an Event of Default has occurred or would result therefrom after giving effect to all payments pursuant to this <u>Section</u> <u>2.6(b)(vi)</u>, such amounts shall be applied pursuant to <u>Section</u> <u>2.6(b)(iv)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) All instructions and directions given to the Account Bank by the Servicer, the Borrower or the Administrative Agent pursuant to <u>Section</u> <u>2.6</u> shall be in writing (including instructions and directions transmitted to the Account Bank by telecopy or e-mail), and such written instructions and directions shall be delivered with a written certification that such instructions and directions are in compliance with the provisions of <u>Section</u> <u>2.6</u>. The Servicer and the Borrower shall immediately transmit to the Administrative Agent by telecopy or e-mail a copy of all instructions and directions given to the Account Bank by such party pursuant to <u>Section</u> <u>2.6</u>. The Administrative Agent shall promptly transmit to the Servicer and the Borrower by telecopy or e mail a copy of all instructions and directions given to the Account Bank by the Administrative Agent, pursuant to <u>Section</u> <u>2.6</u>. If either the Administrative Agent or Account Bank disagrees with the computation of any amounts to be paid or deposited by the Borrower or the Servicer under <u>Section</u> <u>2.6</u> or otherwise pursuant to this Agreement, or upon their respective instructions, it shall so notify the Borrower and the Servicer in writing and in reasonable detail to identify the specific disagreement. If such disagreement cannot be resolved within two (2) Business Days, the determination of the Administrative Agent as to such amounts shall be conclusive and binding on the parties hereto absent manifest error. In the event the Account Bank receives instructions from the Servicer or the Borrower which conflict with any instructions received by the Administrative Agent it shall rely on and follow the instructions given by the Administrative Agent.

Section 2.7. <u>Increased Costs; Capital Adequacy</u>. (a) If, due to either (i) the introduction of or any change following the date hereof (including any change by way of imposition or increase of reserve requirements) in or in the interpretation, administration or application following the date hereof of any Applicable Law (including any law or regulation resulting in any payments paid to any Lender under this Agreement being subject to any Tax), in each case whether foreign or domestic or (ii) the compliance with any guideline or request following the date hereof from any central bank or other Governmental Authority (whether or not having the force of law), there shall be any increase in the cost to the Administrative Agent, any Lender or any Affiliate, participant, successor or assign thereof (each of which shall be an "<u>Affected Party</u>") of agreeing to make or making, funding or maintaining any Advance (or any reduction of the amount of any payment (whether of principal, interest, fee, compensation or otherwise) to any Affected Party hereunder), as the case may be, or there shall be any reduction in the amount of any sum received or receivable by an Affected Party under this Agreement or under any other Transaction Document, the Borrower shall, from time to time, after written demand by the Administrative Agent (which demand shall be accompanied by a statement setting forth in reasonable detail the basis for such demand), on behalf of such Affected Party, pay to the Administrative Agent, on behalf of such Affected Party, additional amounts sufficient to compensate such Affected Party for such increased costs or reduced payments within ten (10) days following the Borrower's receipt of such demand.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If either (i) the introduction of or any change following the date hereof in or in the interpretation, administration or application following the date hereof of any law, guideline, rule or regulation, directive or request or (ii) the compliance by any Affected Party with any law, guideline, rule, regulation, directive or request following the date hereof, from any central bank, any Governmental Authority or agency, including compliance by an Affected Party with any request or directive regarding capital adequacy, but, in each case, excluding Taxes, has or would have the effect of reducing the rate of return on the capital of any Affected Party, as a consequence of its obligations hereunder or any related document or arising in connection herewith or therewith to a level below that which any such Affected Party could have achieved but for such introduction, change or compliance (taking into consideration the policies of such Affected Party with respect to capital adequacy), by an amount deemed by such Affected Party to be material, then, from time to time, after demand by such Affected Party (which demand shall be accompanied by a statement setting forth in reasonable detail the basis for such demand), the Borrower shall pay the Administrative Agent on behalf of such Affected Party such additional amounts as will compensate such Affected Party for such reduction. For the avoidance of doubt, any increase in cost and/or reduction in Interest with respect to any Affected Party caused by regulatory capital allocation adjustments due to FAS 166/167 or ASC 810 and subsequent statements and interpretations shall constitute a circumstance on which such Affected Party may base a claim for reimbursement under this <u>Section</u> <u>2.7</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In determining any amount provided for in this <u>Section</u> <u>2.7</u>, the Affected Party may use any reasonable averaging and attribution methods. The Administrative Agent, on behalf of any Affected Party making a claim under this <u>Section</u> <u>2.7</u>, shall submit to the Borrower a certificate setting forth in reasonable detail the basis for and the computations of such additional or increased costs, which certificate shall be conclusive absent manifest error. Failure or delay on the part of any Affected Party to demand compensation pursuant to this <u>Section</u> <u>2.7</u> shall not constitute a waiver of such Affected Party's right to demand or receive such compensation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything herein to the contrary, (i) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all rules and regulations promulgated thereunder or issued in connection therewith and (ii) all requests, rules, guidelines, requirements and directives promulgated by the Bank for International Settlements, the Basel Committee on Banking Supervision (or any successor or similar authority) or the United States or foreign regulatory authorities, in each case pursuant to Basel III, shall in each case be deemed to have been introduced after the Closing Date, thereby constituting a demonstrable change for which a claim for increased costs or additional amounts may be made hereunder with respect to the Affected Parties, regardless of the date enacted, adopted or issued.

Section 2.8. <u>Taxes</u>. (a) All payments made by or on account of any obligation of the Borrower, contemplated in this Agreement, will be made free and clear of and without deduction or withholding for or on account of any Taxes, except as required by Applicable Law. If any Taxes are required to be withheld from any amounts payable to any Lender or the Administrative Agent (including such deductions and withholdings applicable to Additional Amounts payable under this Section), then (i) the amount payable to such Person will be increased (the amount of such increase,

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the "<u>Additional Amount</u>") by the Borrower such that the Lender or Administrative Agent, as applicable, receives an amount equal to the sum it would have received had no such deduction or withholding been made and (ii) the Borrower shall timely pay the full amount withheld to the relevant Governmental Authority in accordance with Applicable Law. The foregoing obligation to pay Additional Amounts with respect to payments required to be made by the Borrower under this Agreement will not, however, apply with respect to Taxes that are imposed on or measured by net income (however denominated) or that are franchise Taxes or branch profits Taxes imposed on any Lender or the Administrative Agent (i) by the jurisdiction (or any political subdivision thereof) under the laws of which such Lender or the Administrative Agent is organized or in which its principal office is located, or in the case of any Lender, in which its applicable lending office is located or (ii) by any other jurisdiction as a result of a present or former connection between such Lender or the Administrative Agent and the jurisdiction imposing such Tax (other than any connection arising from the Lender or the Administrative Agent having executed, delivered, or performed its obligations or received payments under, or enforced this Agreement) ("<u>Excluded</u> <u>Taxes</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Borrower will indemnify each Lender and the Administrative Agent for the full amount of Taxes, other than Excluded Taxes, payable or paid by such Person in respect of Taxes (including Additional Amounts) with respect to any payment by or on account of any obligation of an Obligor hereunder or under any other Transaction Documents, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. All payments in respect of this indemnification shall be made within ten (10) days following the date a written invoice therefor is delivered to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Within thirty (30) days after the date of any payment by the Borrower of any Taxes, the Borrower will furnish to the Administrative Agent and the Lenders at the applicable address set forth on this Agreement, evidence reasonably satisfactory to the Administrative Agent of payment thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Administrative Agent and each Lender that is a United States person as that term is defined in Section 7701(a)(30) of the Code hereby agrees that it shall deliver, no later than the date upon which such Lender becomes a party hereto, two accurate, complete and signed copies (one to the Borrower and one to the Administrative Agent, with a copy to the Collateral Custodian) of U.S. Internal Revenue Service Form W-9 or any successor form, certifying that such Lender is, on the date of delivery thereof, entitled to an exemption from U.S. backup withholding tax. Each Lender that is organized under the laws of a jurisdiction outside the United States shall, no later than the date on which such Lender becomes a party hereto, deliver two properly completed and duly executed copies (one to the Borrower and one to the Administrative Agent) of any applicable U.S. Internal Revenue Service Form W-8BEN, W-8BEN-E, W-8ECI or W-8IMY or any subsequent versions thereof or successors thereto, in each case to the extent legally entitled to do so, claiming a reduction of or complete exemption from U.S. federal withholding tax. In addition, in the case of a Lender claiming exemption from U.S. federal withholding tax under Section 871(h) or 881(c) of the Code, such Lender will represent to Borrower in a form reasonably acceptable to Borrower that it is not a bank for purposes of Section 881(c) of the Code, is not a 10-percent shareholder (within the meaning of Section 871(h)(3)(B) of the Code) of the Borrower and is not a controlled foreign corporation related to the Borrower (within the meaning of Section 864(d)(4) of the Code), and such Lender will promptly notify the Borrower in the event any such

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representation is no longer accurate. Such forms shall be delivered by each Lender on or before the date it becomes a party to this Agreement or participant herein and on or before the date, if any, such Lender designates a new lending office. In addition, each Lender agrees that, from time to time after the Closing Date, it shall deliver the forms described above, as applicable, as promptly as practicable after receipt of a reasonable written request therefor from the Borrower or the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Without prejudice to the survival of any other agreement of the Borrower hereunder, the agreements and obligations of the Borrower contained in this <u>Section</u> <u>2.8</u> shall survive the termination of this Agreement.

Section 2.9. <u>Continuing Authority of Authorized Representatives</u>. The Administrative Agent is authorized to rely upon the continuing authority of the Persons hereafter designated by Borrower ("<u>Authorized Representatives</u>") to bind Borrower with respect to all matters pertaining to the Transaction Documents, including, but not limited to, the submission of requests for Advances, and certificates with regard thereto, instructions with regard to the Collection Account and, to the extent permitted under this Agreement, the Collateral, and matters pertaining to the procedures and documentation for Advances. Such authorization may be changed only upon written Notice to the Administrative Agent accompanied by evidence, reasonably satisfactory to the Administrative Agent, of the authority of the Person giving such Notice and such Notice shall be effective not sooner than five (5) Business Days following receipt thereof by the Administrative Agent. The Authorized Representatives as of the Closing Date are listed on <u>Exhibit E</u>. The Administrative Agent shall have a right of approval, not to be unreasonably withheld or delayed, over the identity of the Authorized Representatives so as to assure the Administrative Agent that each Authorized Representative is a responsible and senior official of Borrower.

Section 2.10. <u>Benchmark Transition Event</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding anything to the contrary herein or in any other Loan Document, if the Administrative Agent determines prior to the relevant Reference Time that a Benchmark Transition Event and its related Benchmark Replacement Date have occurred with respect to the then-current Benchmark, the Benchmark Replacement will replace the then-current Benchmark for all purposes relating to this Agreement in respect of all determinations on such date and for all determinations on all subsequent dates without any amendment to, or further action or consent of any other party to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In connection with the implementation of a Benchmark Replacement, the Administrative Agent will have the right to make Benchmark Replacement Conforming Changes from time to time. Notwithstanding anything to the contrary in this Agreement or in any other Transaction Documents, any amendments to this Agreement or the other Transaction Documents implementing such Benchmark Replacement Conforming Changes will become effective and binding on Borrower upon notice by the Administrative Agent to Borrower without the necessity of any action by or consent of any other party.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Any determination, decision or election that may be made by the Administrative Agent pursuant to this Agreement, including any determination with respect to administrative feasibility (whether due to technical, administrative or operational issues), a tenor, a rate, an adjustment or the occurrence or non-occurrence of an event, circumstance or date and any decision to take or refrain from taking any action or any selection, will be conclusive and binding absent manifest error, and, notwithstanding anything to the contrary in the documentation relating to this Agreement, will become effective without consent from any other party. Each such determination, decision and election will be in the Administrative Agent's sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Administrative Agent will promptly provide notice to the Borrower of (i) any Benchmark Replacement Date and the related Benchmark Replacement, (ii) the effectiveness of any Benchmark Replacement Conforming Changes, and (iii) the removal or reinstatement of any tenor of a Benchmark. For the avoidance of doubt, any notice required to be delivered by the Administrative Agent as set forth herein may be provided, at the option of the Administrative Agent (in its sole discretion), in one or more notices and may be delivered together with, or as part of any amendment which implements any Benchmark Replacement or Benchmark Replacement Conforming Changes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Administrative Agent does not warrant or accept any responsibility for, and shall not have any liability with respect to (i) the administration, submission or any other matter related to SOFR or with respect to any alternative or successor rate thereto, or replacement rate thereof (including, without limitation any Benchmark Replacement implemented hereunder), (ii) the composition or characteristics of any Benchmark Replacement, including whether it is similar to, or produces the same value or economic equivalence to SOFR (or any other Benchmark) or have the same volume or liquidity as did SOFR (or any other Benchmark), (iii) any actions or use of its discretion or other decisions or determinations made with respect to any matters covered by this <u>Section</u> <u>2.1.14</u> including, without limitation, whether or not a Benchmark Transition Event has occurred, the removal or lack thereof of unavailable or non-representative tenors, the implementation or lack thereof of any Benchmark Replacement Conforming Changes, the delivery or non-delivery of any notices required hereby or otherwise in accordance herewith, and (iv) the effect of any of the foregoing provisions of this <u>Section</u> <u>2.10</u>.

Section 2.11. <u>Defaulting Lender</u>. Notwithstanding anything to the contrary contained in this Agreement, if any Lender becomes a Defaulting Lender, then, until such time as that Lender is no longer a Defaulting Lender, to the extent permitted by Applicable Law:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any payment of principal, interest, fees or other amounts received by the Administrative Agent for the account of that Defaulting Lender (whether voluntary or mandatory, at maturity, or otherwise), shall be applied at such time or times as may be determined by the Administrative Agent as follows: *first*, to the payment of any amounts owing by that Defaulting Lender to the Administrative Agent hereunder; *second*, as the Borrower may request (so long as no Default or Event of Default exists), to the funding of any Advance in respect of which that Defaulting Lender has failed to fund its portion thereof as required by this Agreement, as determined by the Administrative Agent; *third*, if so determined by the Administrative Agent and the Borrower, to be held in a non-interest bearing deposit account and released in order to satisfy obligations of that Defaulting Lender to fund Advances under this Agreement; *fourth*, to the payment of any amounts owing to the Lenders a result of any judgment of a court of competent jurisdiction obtained by any Lender against that Defaulting Lender as a result of that Defaulting Lender's breach of its obligations under this Agreement; *fifth*, so long as no Default or Event of Default exists, to the payment of any amounts owing to the Borrower as a result of any judgment

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of a court of competent jurisdiction obtained by such Borrower against that Defaulting Lender as a result of that Defaulting Lender's breach of its obligations under this Agreement; and *sixth*, to that Defaulting Lender or as otherwise directed by a court of competent jurisdiction; *provided* that, if such payment is a payment of the principal amount of any Advances in respect of which that Defaulting Lender has not fully funded its appropriate share, such payment shall be applied solely to pay the Advances of all non-Defaulting Lenders on a *pro rata* basis prior to being applied to the payment of any Advances of that Defaulting Lender. Any payments, prepayments or other amounts paid or payable to a Defaulting Lender that are applied (or held) to pay amounts owed by a Defaulting Lender or to post cash collateral pursuant to this <u>Section</u> <u>2.11</u> shall be deemed paid to and redirected by that Defaulting Lender, and each Lender irrevocably consents hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) For any period during which that Lender is a Defaulting Lender, that Defaulting Lender shall not be entitled to receive any Fees owed to such Lender for any period during which that Lender is a Defaulting Lender (and the Borrower shall not be required to pay any such fee that otherwise would have been required to have been paid to such Defaulting Lender).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) If the Administrative Agent agrees in writing in their sole discretion that a Defaulting Lender should no longer be deemed to be a Defaulting Lender, the Administrative Agent will so notify the parties hereto, whereupon as of the effective date specified in such notice and subject to any conditions set forth therein (which may include arrangements with respect to any cash collateral), that Lender will, to the extent applicable, purchase that portion of outstanding Advances of the other Lenders or take such other actions as the Administrative Agent may determine to be necessary to cause the Advances to be held on a *pro rata* basis by the Lenders in accordance with their Pro Rata Shares, whereupon that Lender will cease to be a Defaulting Lender; *provided* that, no adjustments will be made retroactively with respect to fees accrued or payments made by or on behalf of the Borrowers while that Lender was a Defaulting Lender; and *provided further* that, except to the extent otherwise expressly agreed by the affected parties, no change hereunder from Defaulting Lender to Lender will constitute a waiver or release of any claim of any party hereunder arising from that Lender's having been a Defaulting Lender.

Section 2.12. <u>Additional Lenders</u>. The Borrower may, with the written consent of the Administrative Agent, in Administrative Agent's sole discretion, add additional Persons as Lenders. Each additional Lender shall become a party hereto by executing and delivering to the Administrative Agent and the Borrower a Joinder Supplement and a Transferee Letter.

Section 2.13. <u>Increases in Facility Amount</u>.

Subject to the terms and conditions set forth herein, the Borrower shall have the right, at any time, with the consent of the Administrative Agent (acting in its sole discretion), to increase the Maximum Facility Amount up to a total amount of $150,000,000. The following terms and conditions shall apply to any such increase: (i) any such increase shall be obtained from existing Lenders or from other Permitted Assignees acceptable to the Administrative Agent (acting in its sole discretion), in each case in accordance with the terms set forth below; (ii) the Commitment of any Lender may not be increased without the prior written consent of such Lender;

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(iii) the Borrower and Lenders providing such increased or new Commitments shall execute an acknowledgement (or in the case of the addition of a bank or other financial institution not then a party to this Agreement, a joinder agreement) in form and content satisfactory to the Administrative Agent and the Borrower to reflect the revised Commitments and Maximum Facility Amount (which acknowledgement (or joinder agreement) shall not (x) increase the Commitment of a Lender without such Lender's consent or (y) amend this Agreement or the other Loan Documents other than as provided for in this <u>Section</u> <u>2.13</u>); (iv) the Borrower shall execute such Notes as are necessary to reflect the increase in or creation of the Commitments; (v) if any Advances are outstanding at the time of any such increase, the Lenders, as directed by the Administrative Agent, shall make such payments and adjustments on the Advances amongst themselves as necessary to give effect to the revised commitment percentages of the Lenders and cause all Advances to be held ratably by the Lenders after giving effect to such increased Commitments; (vi) the Borrower may solicit commitments from Permitted Assignees that are not then a party to this Agreement so long as such Permitted Assignees are acceptable to the Administrative Agent (acting in its sole discretion) execute a joinder agreement in form and content satisfactory to the Administrative Agent and the Borrower; (vii) the conditions set forth in <u>Section</u> <u>3.2</u> shall be satisfied in all material respects; (viii) after giving effect to any such increase in the Maximum Facility Amount, no Default or Event of Default shall have occurred and be continuing; and (ix) the Borrower shall have provided to the Administrative Agent, at least five (5) Business Days prior to such proposed increase in the Maximum Facility Amount, written evidence demonstrating the Guarantor's pro forma compliance with <u>Section</u> <u>12.9</u> after giving effect to such proposed increase, such evidence to be satisfactory in the sole discretion of the Administrative Agent. Notwithstanding anything to the contrary contained herein, the amount of any increase in the Maximum Facility Amount hereunder shall be offered first to the existing Lenders, and the failure of any existing Lender to respond within five (5) Business Days of such offer shall be deemed to constitute a refusal by such Lender to increase its Commitment with no further right of first offer. In the event the additional commitments which existing Lenders are willing to take shall exceed the amount requested by the Borrower, such excess shall be allocated in proportion to the commitments of such existing Lenders willing to take additional commitments. If the amount of the additional commitments requested by the Borrower shall exceed the additional commitments which the existing Lenders are willing to take, then the Borrower may invite other Permitted Assignees acceptable to the Administrative Agent (acting in its sole discretion) to join this Agreement as Lenders hereunder for the portion of commitments not taken by existing Lenders; provided that such Permitted Assignees shall enter into such joinder agreements to give effect thereto as the Administrative Agent and the Borrower may reasonably request. Unless otherwise agreed by the Administrative Agent, the Borrower and the Lenders, the terms of any increase in the Maximum Facility Amount shall be the same as those in effect prior to any increase; provided, however, that should the terms of the increase agreed to be other than those in effect prior to the increase, then the Loan Documents shall, with the consent of the Administrative Agent, the Borrower and the Lenders, be amended to the extent necessary to incorporate any such different terms. For the avoidance of doubt, any increase in the Facility Amount pursuant to this <u>Section</u> <u>2.13</u> may be effected by an increase in the Commitment of the Administrative Agent, in its capacity as a Lender.

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Section 2.14 <u>Extensions of the Maturity Date</u>. Notwithstanding the Stated Maturity Date, Borrower shall have the right to extend the loan term for two (2) additional twelve (12) month terms, conditioned and subject to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) No events of default with timely payments.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Payment of 1/8% extension fee for each extension.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Satisfactory review of financials, progress of projects, payment history, and other discretionary conditions subject to the Administrative Agent's review.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Compliance with all covenants.

**ARTICLE III** 

**CONDITIONS PRECEDENT** 

Section 3.1. <u>Conditions to Effectiveness</u>. The effectiveness of this Agreement is subject to the satisfaction, in the sole discretion of the Administrative Agent, of the following conditions precedent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Administrative Agent must receive the following, all of which must be satisfactory in form and content to the Administrative Agent, in its sole discretion:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) This Agreement duly executed by Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) A copy of the Custodial Agreement, the Servicing Agreement, any Bailee Agreements (to the extent applicable), the Pledge Agreement, and the Assignment Agreement Documents, in each case, duly executed by each party thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) A copy of Borrower's certificate of formation, together with all amendments, as certified by the Secretary of State of Delaware, a copy of Borrower's limited liability company agreement and any other Constituent Documents, together with all amendments, certified by the Secretary or other authorized representative of Borrower, and certificates of good standing dated within thirty (30) days of the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) A copy of a resolution, consent or approval of the manager, board of directors or other governing body of Borrower authorizing the execution, delivery and performance of this Agreement and the other Transaction Documents, each Advance Request and all other agreements, instruments or documents to be delivered by Borrower under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) A certificate as to the incumbency and authenticity of the signatures of the officers of Borrower executing this Agreement and the other Transaction Documents, and of the Authorized Representatives (the Administrative Agent being entitled to rely on that certificate until a new incumbency certificate has been furnished to the Administrative Agent).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) A copy of BLK Holding's certificate of organization, together with all amendments, as certified by the Secretary of State of Delaware, a copy of BLK Holding's limited liability company agreement and any other Constituent Documents, together with all amendments, certified by the Secretary or other authorized representative of BLK Holding, and certificates of good standing dated within thirty (30) days of the date of this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) A copy of a resolution, consent or approval of the manager, board of directors or other governing body of BLK Holding authorizing the execution, delivery and performance of this Agreement and the other Transaction Documents, each Advance Request and all other agreements, instruments or documents to be delivered by BLK Holding under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) A certificate as to the incumbency and authenticity of the signatures of the officers of BLK Holding executing this Agreement and the other Transaction Documents, and of the Authorized Representatives (the Administrative Agent being entitled to rely on that certificate until a new incumbency certificate has been furnished to the Administrative Agent).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) A copy of Guarantor's certificate of trust, together with all amendments, as certified by the Director of the Maryland Department of Assessments and Taxation, Guarantor's declaration of trust, bylaws, and any other Constituent Documents, together with all amendments, certified by an authorized representative of Guarantor, and certificates of good standing dated within thirty (30) days of the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) A copy of a resolution, consent or approval of the board of directors, sole member or other governing body of Guarantor authorizing the execution, delivery and performance of the Transaction Documents to which it is a party and all other agreements, instruments or documents to be delivered by Guarantor under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) A certificate as to the incumbency and authenticity of the signatures of the officers of Guarantor executing the Transaction Documents to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) A certificate of a Responsible Officer of each of the Borrower, BLK Holding and the Guarantor stating (1) that, subject to exceptions acceptable to the Administrative Agent, all representations and warranties contained herein and in the other Transaction Documents are true as of the Closing Date, (2) that, subject to exceptions acceptable to the Administrative Agent, there has been no material adverse change in Borrower's or the Guarantor's financial condition from the financial statements submitted to the Administrative Agent, and such financial statements fairly present in all material respects the financial condition of the Borrower and Guarantor, respectively, in accordance with GAAP as of the date thereof, (3) that Borrower is in compliance with the covenants set forth in this Agreement, (4) that the Guarantor is in compliance with the covenants set forth in this Agreement that are applicable to the Guarantor and that, as of the Closing Date, there have occurred no Defaults under this Agreement or the other Transaction Documents that have not been cured or waived, and (5) certifying as to the identity of the holders of the Equity Interests in Borrower and Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) UCC, federal and state tax lien, bankruptcy and judgment searches of the appropriate public records for Borrower and Guarantor that do not disclose the existence of any prior Lien on the Collateral other than in favor of the Administrative Agent on behalf of the Secured Parties or as permitted under this Agreement and that are otherwise satisfactory to the Administrative Agent.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) Copies of Borrower's and/or Servicer's errors and omissions insurance policy or mortgage impairment insurance policy, and blanket bond coverage policy, or certificates in lieu of policies, showing compliance by Borrower and Servicer of the date of this Agreement with the provisions of <u>Section</u> <u>5.1(u)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) Payment of all fees and other amounts due on or prior to the date hereof, including the payment of the Commitment Fee in an amount of $250,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) An opinion from counsel for Borrower and Guarantor in form and substance satisfactory to the Administrative Agent concerning, among other matters (1) the legal existence, good standing and qualification to do business of Borrower and Guarantor, (2) the power and authority of Borrower and Guarantor to enter into and perform the Transaction Documents to which they respectively are a party, (3) the authorization of the individuals executing and delivering Transaction Documents on behalf of Borrower and Guarantor to do so, (4) the enforceability of Borrower's and Guarantor's respective obligations under the Transaction Documents, (5) the validity and perfection of the Administrative Agent's security interest in the Collateral on behalf of the Secured Parties, (6) the non-contravention of Borrower's and Guarantor's obligations under the Transaction Documents under Borrower's and Guarantor's charter documents or under any agreements or legal proceedings to which they are a party or by which they are bound, and (7) such other matters as the Administrative Agent reasonably shall request consistent with loan facilities similar to the loan facility established by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) The establishment of the Collection Account and the Designated Deposit Account and the Reserve Account at the Account Bank.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) Such financial statements and other information and projections as the Administrative Agent shall have requested.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) A certificate of compliance from the Guarantor in the form required under the Guaranty setting forth reasonably detailed calculations and other related information and documentation demonstrating compliance with the financial covenants contained in the Guaranty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) Such documentation reasonably requested by the Lenders (through the Administrative Agent) so that the Guarantor and the Borrower are KYC compliant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) Copies of UCC-1 financing statements in favor of the Administrative Agent Secured Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) Such other documents as the Administrative Agent reasonably may require, including, without limitation, any other Transaction Document, duly executed and delivered, and evidence satisfactory to the Administrative Agent of the occurrence of any further conditions precedent to the closing of the credit facility established hereby.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Neither Borrower nor Guarantor shall have incurred any liabilities, direct or contingent, other than in the ordinary course of its business, since the Audited Statement Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Administrative Agent shall be satisfied that the conditions precedent contained in this <u>Section</u> <u>3.1</u> and all transactions contemplated hereby shall be in material compliance with, and Borrower shall have obtained all material and appropriate approvals pertaining to, all Applicable Laws, rules, regulations and orders, including, without limitation, all governmental, environmental, ERISA retiree health benefits, workers' compensation and other requirements, regulations and laws and shall not contravene any charter, by-law, debt instrument or other material contractual obligation of Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Administrative Agent shall have filed such UCC financing statements, in such jurisdictions, as the Administrative Agent shall have determined to be appropriate in order to perfect the security interest in the Collateral Granted by the Borrower pursuant to this Agreement or any other Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Administrative Agent shall have completed all legal, technical and financial due diligence with respect to the Guarantor and the Borrower and the transactions contemplated in the Transaction Documents and the results thereof shall be satisfactory to the Administrative Agent in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) No change, event or circumstance has occurred and is continuing that has, or could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) No Default or Event of Default shall have occurred and be continuing as of the Closing Date or would result from this Agreement becoming effective in accordance with its terms.

Section 3.2. <u>Each Advance</u>. The effectiveness of this Agreement, including the Lenders' obligation to make the initial and each subsequent Advance is subject to the satisfaction, in the sole discretion of the Administrative Agent, as of the date of each Advance, of the following additional conditions precedent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Borrower must have delivered to the Administrative Agent and counsel for the Administrative Agent ("Warehouse Counsel") the Advance Request and Loan Documents required by (including, with respect to any Pre-Positioned Loan, a Bailee Agreement and the Assignment Agreement Documents with respect thereto), and must have satisfied the requirements and procedures set forth in <u>Article II</u> and <u>Exhibit A</u>, <u>Exhibit C</u> and <u>Exhibit D</u>. All items delivered to the Administrative Agent must be satisfactory to the Administrative Agent in form and content, and the Administrative Agent may reject any item that does not satisfy the requirements of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Borrower shall reimburse Administrative Agent on demand for all reasonable and documents fees and expenses of Warehouse Counsel incurred in connection with the review of Eligible loans whether or not any requested Advance is ultimately funded.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Administrative Agent must have received evidence satisfactory to it as to the making or continuation of any book entry or the due filing and recording in all appropriate offices of all financing statements and other instruments necessary to perfect the security interest of the Administrative Agent in the Collateral for the benefit of the Secured Parties under the applicable UCC or other Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The representations and warranties of Borrower contained in <u>Article IV</u> and the covenants of the Borrower contained in <u>Article V</u> and all of the representations and warranties and covenants of Guarantor contained in <u>Article XII</u> of this Agreement must be accurate and complete in all material respects as if made on and as of the date of each Advance, except for those representations and warranties made as of a certain date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Borrower must have performed all agreements to be performed by it under this Agreement, all proceedings in connection with the transactions contemplated by this Agreement, the other Transaction Documents and all other documents incident thereto shall be reasonably satisfactory in substance and in form to the Administrative Agent. Guarantor must have performed all agreements to be performed by it under the Transaction Documents to which it is a party and all other documents incident thereto shall be reasonably satisfactory in substance and in form to the Administrative Agent. The Administrative Agent shall have received all information and such counterpart originals or certified or other copies of such documents as the Administrative Agent may reasonably request, and after giving effect to the requested Advance, no Default or Event of Default will exist under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) No change, event or circumstance has occurred and is continuing that has, or could reasonably be expected to have, a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) If the Eligible Loans being funded by such Advance were originally funded by the Guarantor under any credit facility or similar arrangement between the Guarantor and any lender party thereto, such lender shall, in each case, have consented to the transfer of, and released all liens and security interests of any kind whatsoever in, any assets being transferred from the Guarantor to the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No Event of Default has occurred, or would result from such Advance, and no Default or Borrowing Base Deficiency exists or would result from such Advance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) No event has occurred and is continuing, or would result from such Advance, which constitutes a Servicer Removal Event or any event which, if it continues uncured, will, with notice or lapse of time, constitute a Servicer Removal Event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Borrower shall have paid in full all Fees then required to be paid and shall have reimbursed the Lenders, the Administrative Agent, the Collateral Custodian and the Account Bank for all fees, costs and expenses of closing the transactions contemplated hereunder and under the other Transaction Documents, including the reasonable attorney fees and any other legal and document preparation costs incurred by the Lenders and the Administrative Agent including, in the case of the initial Advance, all such fees, costs and expenses that are invoiced on or prior to the date of the initial Advance.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) The Administrative Agent and Warehouse Counsel shall have completed their due diligence review of the Loan Documents and such other documents, records and information as the Administrative Agent deems appropriate, and the results of such reviews are satisfactory to the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) The Administrative Agent shall have received executed blank assignments of all Loan Documents in appropriate form for recording in the jurisdiction in which the underlying Mortgaged Property is located.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) The Administrative Agent shall have received and approved such other documents, and certificates as the Administrative Agent reasonably may request, in form and substance reasonably satisfactory to the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) The Administrative Agent has approved, in its sole discretion, for inclusion in the Borrowing Base the Eligible Loan for which an Advance is requested by Borrower under this Agreement.

Delivery of an Advance Request by Borrower will be deemed a representation by Borrower that all conditions set forth in this Section have been satisfied as of the date of the Advance.

Section 3.3. <u>[Reserved]</u>

Section 3.4. <u>Force Majeure</u>. Notwithstanding Borrower's satisfaction of the conditions set forth in this Agreement, no Lender shall have an obligation to make an Advance if such Lenders is prevented from obtaining the funds necessary to make an Advance or is otherwise unable to deliver such funds as a result of any fire or other casualty, failure of power, strike, lockout or other labor trouble, banking moratorium, embargo, sabotage, confiscation, condemnation, riot, civil disturbance, insurrection, act of terrorism, war or other activity of armed forces, act of God or other similar reason beyond the control of such Lender. Such Lender will make the requested Advance as soon as reasonably possible following the occurrence of such an event; provided that, all applicable terms and conditions relating to such Advance continues to be satisfied.

**ARTICLE IV** 

**GENERAL REPRESENTATIONS AND WARRANTIES** 

Borrower represents and warrants to the Administrative Agent and each Lender, as of the date of this Agreement and as of each Measurement Date, that:

Section 4.1. <u>Organization; Good Standing; Subsidiaries</u>. Borrower is a limited liability company duly organized, validly existing and in good standing under the laws of the State of Delaware, and has the full legal power and authority to own its property and to carry on its business as currently conducted. Borrower is duly qualified as a foreign limited liability company to do business and is in good standing in each jurisdiction in which the transaction of its business makes qualification necessary, except in jurisdictions, if any, where a failure to be in good standing has no Material Adverse Effect. For the purposes of this Agreement, good standing includes qualification for all licenses and payment of all taxes required in the jurisdiction of its formation and in each jurisdiction in which Borrower transacts business. Borrower has not changed its name or location within the past twelve (12) months.

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Section 4.2. <u>Authorization and Enforceability</u>. Borrower has the power and authority to execute, deliver and perform this Agreement, the Note and other Transaction Documents to which Borrower is party and to make the borrowings under this Agreement. The execution, delivery and performance by Borrower of this Agreement, the Note and the other Transaction Documents to which Borrower is party and the making of the borrowings under this Agreement and the Note, have been duly and validly authorized by all necessary company action on the part of Borrower (none of which actions has been modified or rescinded, and all of which actions are in full force and effect) and do not and will not (a) conflict with or violate any provision of law, of any judgments binding upon Borrower, or of the certificate of formation, operating agreement or other Constituent Documents of Borrower, or (b) conflict with or result in a breach of, constitute a default or require any consent under, or result in or require the acceleration of any indebtedness of Borrower under any agreement, instrument or indenture to which Borrower is a party or by which Borrower or its property may be bound or affected, or result in the creation of any Lien upon any property or assets of Borrower (other than the Lien on the Collateral Granted by Borrower under this Agreement). This Agreement, the Note and the other Transaction Documents to which Borrower is a party constitute the legal, valid and binding obligations of Borrower, enforceable in accordance with their respective terms, except as limited by bankruptcy, insolvency or other such laws affecting the enforcement of creditors' rights and by general principles of equity.

Section 4.3. <u>Litigation; Judgments</u>. (a) Except as set forth on <u>Exhibit F</u>, there are no actions, claims, suits or proceedings pending or, to Borrower's knowledge, threatened or reasonably anticipated against or affecting any Control Person, Borrower or any Subsidiary of any Control Person in any court or before any arbitrator or before any government commission, board, bureau or other administrative agency that, if adversely determined, may reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Except as set forth on <u>Exhibit F</u>, there is no money judgment, writ or warrant of attachment or similar process which is not fully covered by insurance (without any reservation of rights by the insurance carrier) which has been entered or filed against Borrower, any Control Person, or any of their respective assets that may reasonably be expected to have a Material Adverse Effect.

Section 4.4. <u>Approvals</u>. The execution and delivery of this Agreement, the Note and the other Transaction Documents by Borrower, and the performance of Borrower's obligations under this Agreement, the Note and the other Transaction Documents by Borrower, and the validity and enforceability of this Agreement, the Note and the other Transaction Documents do not require any license, consent, approval or other action of any state or federal agency or governmental or regulatory authority other than those that have been obtained and remain in full force and effect. Borrower has obtained all necessary licenses and permits required by Applicable Law so as to permit Borrower to conduct a mortgage banking activity and related activities in accordance therewith, and such licenses remain in full force and effect and have not otherwise lapsed or been suspended.

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Section 4.5. <u>Solvency</u>. The Borrower is not and has never been the subject of any Bankruptcy Proceedings or Bankruptcy Event. The Borrower is solvent, and the transactions under this Agreement and any other Transaction Document to which the Borrower is a party do not and will not render the Borrower insolvent. The Borrower is not entering into this Agreement or any other Transaction Documents with the intent to hinder, delay or defraud any creditor of Borrower, or Guarantor or any Affiliate thereof. The Borrower has received or will receive reasonably equivalent value for the Eligible Loans. The Borrower is paying its debts as they become due (subject to any applicable grace period); and the Borrower, after giving effect to the transactions contemplated hereby, will have adequate capital to conduct its business.

Section 4.6. <u>Payment of Taxes</u>. Borrower has filed or caused to be filed all federal, state and local income, excise, property and other Tax returns that are required to be filed with respect to the operations of Borrower, all such Tax returns are true and correct and Borrower has paid or caused to be paid all Taxes shown on those Tax returns or on any assessment, to the extent that those taxes have become due, including all FICA payments and withholding Taxes, if appropriate. The amounts reserved as a liability for income and other taxes payable in the financial statements described in <u>Section</u> <u>4.20</u> are sufficient for payment of all unpaid federal, state and local income, excise, property and other Taxes, whether or not disputed, of Borrower accrued for or applicable to the period and on the dates of those financial statements and all years and periods prior to those financial statements and for which Borrower may be liable in their own right or as transferee of the assets of, or as successor to, any other Person. No Tax Liens have been filed and no material claims are being asserted against Borrower or any property of Borrower with respect to any Taxes, fees or charges.

Section 4.7. <u>Exchange Act Compliance; Regulations T, U and X</u>. None of the transactions contemplated herein or in the other Transaction Documents (including the use of proceeds from the sale of the Collateral) will violate or result in a violation of Section 7.1 of the United States Securities Exchange Act of 1934, as amended, or any regulations issued pursuant thereto, including Regulations T, U and X of the Board of Governors of the Federal Reserve System, 12 C.F.R., Chapter II. The Borrower does not own or intend to carry or purchase, and no proceeds from the Advances will be used to carry or purchase, any Margin Stock or to extend "purpose credit" within the meaning of Regulation U.

Section 4.8. <u>Security Interest</u>. (a) This Agreement creates a valid and continuing security interest (as defined in the applicable UCC) in the Collateral in favor of the Administrative Agent, on behalf of the Secured Parties, which security interest is prior to all other Liens (except for Permitted Liens), and is enforceable as such against creditors of and purchasers from the Borrower; (b) the Collateral is comprised of "cash," "instruments," "security entitlements," "general intangibles," "tangible chattel paper," "accounts," "certificated securities," "uncertificated securities," "securities accounts," "deposit accounts," "supporting obligations" or "insurance" (each as defined in the applicable UCC), real property and/or such other category of collateral under the applicable UCC as to which the Borrower has complied with its obligations under this <u>Section</u> <u>4.8</u>; (c) with respect to Collateral that constitute "security entitlements": (i) all of such security entitlements have been credited to the Collection Account and the securities intermediary for the Collection Account has agreed to treat all assets credited to such Collection Account as "financial assets" within the meaning of the applicable UCC; (ii) the Borrower has taken all steps necessary to cause the securities intermediary to identify in its records the

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Administrative Agent, for the benefit of the Secured Parties, as the Person having a security entitlement against the securities intermediary in the Collection Account; and (iii) the Collection Account is not in the name of any Person other than the Borrower, subject to the lien of the Administrative Agent, for the benefit of the Secured Parties; (d) the Collection Account and the Designated Deposit Account constitute "securities accounts" or "deposit accounts" as defined in the applicable UCC; (e)[reserved]; (f) the Borrower owns and has good and marketable title to (or with respect to assets securing any Eligible Loans, a valid security interest in) the Collateral free and clear of any Lien (other than Permitted Liens) of any Person; (g) the Borrower has received all consents and approvals required by the terms of any Eligible Loan to the Granting of a security interest in the Eligible Loans hereunder to the Administrative Agent, on behalf of the Secured Parties; (h) the Borrower has caused the filing of all appropriate financing statements in the proper filing office in the appropriate jurisdictions under Applicable Law in order to perfect the security interest Granted to the Administrative Agent, on behalf of the Secured Parties, under this Agreement in the Collateral and that portion of the Eligible Loans in which a security interest may be perfected by filing; (i) other than as expressly permitted by the terms of this Agreement and the security interest Granted to the Administrative Agent, on behalf of the Secured Parties, pursuant to this Agreement, the Borrower has not pledged, assigned, sold, Granted a security interest in or otherwise conveyed any of the Collateral; (j) the Borrower has not authorized the filing of and is not aware of any financing statements against the Borrower that include a description of collateral covering the Collateral other than any financing statement that has been terminated and/or fully and validly assigned to the Administrative Agent on or prior to the date hereof; (k) the Borrower is not aware of the filing of any judgment or Tax lien filings against the Borrower; (l) all original executed copies of each underlying Mortgage Note that constitute or evidence each Eligible Loan has been, or subject to the delivery requirements contained herein, will be delivered to the Collateral Custodian for crediting to the Collection Account; (m) the Borrower has received, or subject to the delivery requirements contained herein will receive, a written acknowledgment from the Collateral Custodian that the Collateral Custodian, as the bailee of the Administrative Agent, is holding the underlying Mortgage Notes that constitute or evidence the Eligible Loans solely on behalf of and for the Administrative Agent, for the benefit of the Secured Parties; (n) none of the underlying Mortgage Notes that constitute or evidence the Eligible Loans has any marks or notations indicating that they have been pledged, assigned or otherwise conveyed to any Person other than the Administrative Agent, on behalf of the Secured Parties; (o) with respect to any Collateral that constitutes a "certificated security," such certificated security has been delivered to the Collateral Custodian, on behalf of the Secured Parties and, if in registered form, has been specially Indorsed to the Administrative Agent, for the benefit of the Secured Parties, or in blank by an effective Indorsement or has been registered in the name of the Administrative Agent, for the benefit of the Secured Parties, upon original issue or registration of transfer by the Borrower of such certificated security; and (p) with respect to any Collateral that constitutes an "uncertificated security," that the Borrower shall cause the issuer of such uncertificated security to register the Administrative Agent, on behalf of the Secured Parties, as the registered owner of such uncertificated security.

Section 4.9. <u>Reports Accurate</u>. Each Borrowing Base Certificate, Loan List, Monthly Report and all other written or electronic information, exhibits, financial statements, documents, books, records or reports furnished by the Borrower to the Administrative Agent, the Lenders or the Collateral Custodian in connection with this Agreement are, as of their date, accurate, true and correct in all material respects and no such document or certificate omits to state a material fact or

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any fact necessary to make the statements contained therein not misleading; *provided* that, neither the Borrower nor the Servicer shall be responsible for any factual information furnished or omitted to be furnished to it by any third party not affiliated with it, except to the extent that a Responsible Officer thereof has actual knowledge that such factual information is inaccurate in any material respect or such Responsible Officer's lack of actual knowledge is a violation of the standard of care of the Servicer or is the result of bad faith, gross negligence or willful misconduct. Promptly after a Responsible Officer has actual knowledge thereof, the Borrower or the Servicer on the Borrower's behalf shall notify the Administrative Agent and Collateral Custodian in writing.

Section 4.10. <u>Chief Executive Office; Jurisdiction of Organization</u>. On the Closing Date, Borrower's chief executive office, is, and has been, located at 600 Third Avenue, 21st Floor, New York, New York 10016. On the Closing Date, Borrower's jurisdiction of organization is Delaware. Borrower shall provide Administrative Agent with ten (10) days advance notice of any change in its principal office or place of business or jurisdiction. Borrower does not have a trade name. During the preceding five (5) years, Borrower has not been known by or done business under any other name, corporate or fictitious, and has not filed or had filed against it any bankruptcy receivership or similar petitions nor has it made any assignments for the benefit of creditors.

Section 4.11. <u>Reserved</u>.

Section 4.12. <u>Special Purpose Entity Requirements</u>. The Borrower is in compliance with the requirements of <u>Section</u> <u>9(d)</u> of its Constituent Document.

Section 4.13. <u>Separateness</u>(a) . The Borrower is operated as an entity with assets and liabilities distinct from those of the Servicer and the Guarantor and any Affiliates thereof (other than the Borrower), and the Borrower hereby acknowledges that the Administrative Agent and the Lenders are entering into the transactions contemplated by this Agreement in reliance upon the Borrower's identity as a separate legal entity from Dwight Capital and the Guarantor and from each such other Affiliate of the Servicer and the Guarantor. The Borrower has not and shall not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) engage in any business or activity other than the ownership of Eligible Loans and other Collateral and related assets, entering into this Agreement and the other Transaction Documents and related Loan Documents, or otherwise permitted hereby, in each case, to which it is a party, performing its duties and obligations, and exercising its rights and privileges, thereunder, the granting of Liens in Collateral under the Transaction Documents, and such other activities as are incidental thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) acquire, hold, lease, operate, maintain, development, improve or own any material assets other than (A) Eligible Loans, the other Collateral and related assets, (B) incidental property as may be necessary for the operation of the Borrower and its performance under the Transaction Documents and performing its duties and obligations and exercising its rights and privileges thereunder and under the related Loan Documents, and (C) cash generated from the foregoing;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) merge into or consolidate with any Person, dissolve, terminate or liquidate in whole or in part, transfer or otherwise dispose of all or substantially all of its assets or change its legal structure, without in each case first obtaining the consent of the Administrative Agent (acting at the direction of the Required Lenders);

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) fail to preserve its existence as a duly organized limited liability company validly existing and in good standing under the laws of the State of Delaware, or without the prior written consent of the Administrative Agent (acting at the direction of the Required Lender), amend, modify or terminate (in a manner not permitted by <u>clause (xvi)</u> below) or fail to comply with the provisions of its Constituent Documents or fail to do all things necessary to observe any statutory and/or corporate formalities;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) own any Subsidiary or make any investment in any Person, other than the Eligible Loans or Collateral, or own any equity interest in any other entity, without the consent of the Administrative Agent (acting at the direction of the Required Lenders);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) commingle its assets with the assets of any of its Affiliates, or of any other Person, and will hold all of its assets in its own name;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) incur any indebtedness, secured or unsecured, direct or contingent (including guaranteeing any obligation) except (A) obligations incurred under this Agreement and the other Transaction Documents and (B) liabilities incident to the maintenance of its existence in good standing (provided such debt is not evidenced by a note and paid when due);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in the Borrower's reasonable determination, fail to maintain adequate capital for the normal obligations reasonably foreseeable in a business of its size and character and in light of its contemplated business operations, or become insolvent or fail to pay its debts and liabilities from its assets as the same shall become due; provided, that the foregoing shall not require any equity holder of the Borrower to provide capital contributions to the Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) fail to maintain its records, books of account bank accounts, accounting records and other entity documents separate and apart from those of any other Person and shall not list its assets as assets on the financial statement of any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) maintain its assets in such a manner that will be costly or difficult to segregate, ascertain or identify its individual assets from those of any other person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) seek its dissolution or winding up, in whole or in part;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) fail to correct any known misunderstandings regarding the separate identity of the Borrower, the Servicer and the Guarantor or any principal or Affiliate thereof or any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) guarantee, become obligated for, or hold itself out to be responsible for the debts or obligations of another Person, pledge its assets to secure the obligation of another Person or otherwise pledge its assets for the benefit of any other Person (other than with respect to payment of the Indebtedness to the Lenders), or hold out its credit as being available to satisfy the obligations of any other Person;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) fail either to hold itself out to the public as a legal entity separate and distinct from any other Person or to conduct its business solely in its own name in order not (A) to mislead others as to the identity with which such other party is transacting business, or (B) to suggest that it is responsible for the debts of any third party (including any of its principals or Affiliates);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) make any loan or advances to any third party, including any principal or Affiliate, or hold evidence of indebtedness issued by any other Person (other than as permitted by the Transaction Documents);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) fail to maintain separate financial statements, showing its assets and liabilities separate and apart from those of any other Person, or have its assets listed on the financial statement of any other Person; provided, however, that the Company may be included in an Affiliate's consolidated financial statements for Tax and reporting purposes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) permit any Affiliate independent access to its bank accounts;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) fail to use separate stationary, invoices and checks bearing its own name;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) acquire the obligations or securities of its Affiliates or stockholders, except for the Eligible Loans, interests in Mortgaged Property and interests in related Loan Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xx) pledge its assets to secure the indebtedness, or for the benefit, of any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxi) reserved;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxii) reserved;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiii) fail to maintain its Constituent Documents in conformity with this Agreement, such that it does not amend, restate, supplement or otherwise modify its Constituent Documents in any respect that would impair its ability to comply with the terms or provisions of any of the Transaction Documents, nor fail to comply at all times in all material respects with the terms of such organizational documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxiv) reserved;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxv) reserved;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvi) except as contemplated by this Agreement or the other Transaction Documents, commingle its funds or other assets with those of any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxvii) fail to maintain a sufficient number of employees (if any) in light of its contemplated business operations and pay the salaries of its own employees, if any, only from its own funds; provided, however, the foregoing shall not require any equity holder of the Borrower to make any additional capital contributions to the Borrower;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxviii) fail to maintain its assets in a way such that it is not difficult to segregate and identify its assets from any Affiliate or principal thereof or from any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxix) enter into any contract or agreement with any of its principals or Affiliates or any other Person, except (A) the Transaction Documents and (B) other contracts or agreements that are upon terms and conditions that are commercially reasonable and that would be available on an arms-length basis with third parties other than such Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxx) except as may be required or permitted by the Code and regulations or other applicable state or local tax law, hold itself out as or be considered as a department or division of (A) any of its principals or Affiliates, (B) any Affiliate of a principal or (C) any other Person;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxi) permit any transfer (whether in any one or more transactions) of a direct or indirect ownership interest in the Company unless the Company delivers to the Administrative Agent an acceptable non-consolidation opinion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxii) fail to pay its own liabilities and expenses only out of its own funds when become due;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiii) fail to allocate fairly and reasonably any overhead expenses that are shared with an Affiliate, including paying for office space and services performed by any employee of an Affiliate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xxxiv) fail to file its own income tax returns separate from those of any other Person, except to the extent that the Borrower is treated as a "disregarded entity" for tax purposes and is not required to file tax returns under Applicable Law, and pay any taxes required to be paid under Applicable Law.

Section 4.14. <u>Investment Company Act; Volcker Rule</u>. Borrower is not an "investment company" or controlled by an "investment company" within the meaning of the Investment Company Act. The Borrower has been structured so as not to constitute, and is not, a "covered fund" for purposes of Section 619 of the Volcker Rule.

Section 4.15. <u>ERISA</u>. (a) The present value of all benefits vested under each Pension Plan, does not exceed the value of the assets of the Pension Plan allocable to such vested benefits (based on the value of such assets as of the last annual valuation date). No non-exempt prohibited transactions, failure to meet the minimum funding standard set forth in Section 302(a) of ERISA and Section 412(a) of the Code (with respect to any Pension Plan other than a Multiemployer Plan), withdrawals or reportable events under Section 4043 of ERISA, other than an event for which the reporting requirements have been waived by regulation (a "<u>Reportable</u> <u>Event</u>") have occurred with respect to any Pension Plan that, in the aggregate, could subject the Borrower to any material Tax, penalty or other liability. No notice of intent to terminate a Pension Plan has been filed, nor has any Pension Plan been terminated under Section 4041(c) of ERISA, nor has the Pension Benefit Guaranty Corporation instituted proceedings to terminate, or appoint a trustee to administer, a Pension Plan and no event has occurred or condition exists that might constitute grounds under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Pension Plan.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Borrower either (i) is not a Benefit Plan Investor or a Governmental Plan Entity; or (ii) its entering into, performing under, and entering into each transaction in connection with, this Agreement and all other Transaction Documents (1) will be covered by and exempt under Prohibited Transaction Class Exemption ("<u>PTCE</u>") 84-14, PTCE 90-1, PTCE 91-38, PTCE 95-60, PTCE 96-23 or another similar prohibited transaction exemption applicable thereto, if Borrower is a Benefit Plan Investor, or (2) will not constitute or result in a non-exempt violation of Similar Law, if Borrower is a Governmental Plan Entity.

Section 4.16. <u>Compliance with Laws</u>. The Borrower is not in violation of any provision of any Applicable Law, or of any judgment, award, rule, regulation, order, decree, writ or injunction of any court or public regulatory body or authority that is reasonably likely to result in a Material Adverse Effect or that would affect the validity or enforceability of this Agreement, the Note or any other Transaction Document.

Section 4.17. <u>Accuracy of Representations and Warranties</u>. Each representation or warranty by the Borrower contained in any other Transaction Document or in any certificate or other document furnished by the Borrower pursuant hereto or in connection herewith is true and correct in all material respects as of the date made (other than any such representation and warranty that is qualified by "material," "materially," "Material Adverse Effect," or a similar term or phrase, in which case, such representation and warranty shall be true and correct (as so qualified) in all respects), except to the extent relating to an earlier date, in which case, on and as of such date.

Section 4.18. <u>Environmental Laws</u>. With respect to each item of Collateral as of the related Advance Date, to the best knowledge of Borrower and except as otherwise disclosed to the Administrative Agent, (a) the related Obligor has obtained all material permits, licenses, and other authorizations that are required under Environmental Laws and such Obligor is in compliance in all material respects with all terms and conditions of such permits, licenses, and authorizations, and is also in compliance in all material respects with all other limitations, restrictions, conditions, standards, prohibitions, requirements, obligations, schedules, and timetables contained in any applicable Environmental Laws; (b) Borrower is not aware of, nor has received notice of, any past, present, or future events, conditions, circumstances, activities, practices, incidents, actions, or plans that, with respect to any Obligor, may interfere with or prevent compliance or continued compliance in all material respects with Environmental Laws, or may give rise to any material common law or legal liability, or otherwise form the basis of any material claim, action, demand, suit, proceeding, hearing, study, or investigation, based on or related to the manufacture, processing, distribution, use, treatment, storage, disposal, transport, or handling, or the emission, discharge, release, or threatened release to the environment, or any pollutant, contaminant, chemical, or industrial, toxic, or hazardous substance or waste; and (c) the related Obligor is not the subject of any civil, criminal, or administrative action, suit, demand, hearing notice, or demand proceeding pending or, to the knowledge of the Borrower, threatened against such Obligor relating in any way to Environmental Laws. As of the related Advance Date for each item of the Collateral, the Borrower has not received any written notice from any Governmental Authority regarding any violation, alleged violation, noncompliance, liability or potential liability regarding environmental matters or compliance with Environmental Laws with regard to any of the Collateral.

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Section 4.19. <u>Event of Default; Default</u>. No event has occurred and is continuing which constitutes an Event of Default, and no event has occurred and is continuing which constitutes a Default.

Section 4.20. <u>Financial Condition</u>. The balance sheet of Borrower as of each Statement Date, and the related statement of income for the fiscal period ended on each Statement Date, furnished to the Administrative Agent, fairly present the financial condition of Borrower as at that Statement Date and the results of its operations for the fiscal period ended on that Statement Date. Borrower had, on each Statement Date, no known material liabilities, direct or indirect, fixed or contingent, matured or unmatured, or liabilities for taxes, long-term leases or unusual forward or long-term commitments not disclosed by, or reserved against in, those financial statements, and, at the present time, there are no material unrealized or anticipated losses from any loans, advances or other commitments of Borrower except as previously disclosed to the Administrative Agent in writing. Those financial statements were prepared in accordance with GAAP applied on a consistent basis throughout the periods involved. Since the Audited Statement Date, there has been no material adverse change in the business, operations, assets or financial condition of Borrower, nor is Borrower aware of any state of facts that (with or without notice or lapse of time or both) is reasonably likely to have a Material Adverse Effect. All schedules and reports furnished by Borrower to the Administrative Agent, including, without limitation, schedules of contingent liabilities and off balance sheet transactions, were materially true, accurate and complete, and did not omit any information necessary in order to make any provided information not misleading in any material respect.

Section 4.21. <u>Other Agreements</u>. The Borrower is not a party to any agreement, instrument or indenture or subject to any restriction materially and adversely affecting its business, operations, assets or financial condition. Borrower is not in default in the performance, observance or fulfillment of any of the obligations, covenants or conditions contained in any agreement, instrument, or indenture which default is reasonably likely to have a Material Adverse Effect.

Section 4.22. <u>Organizational Chart</u>. The organizational chart attached hereto as <u>Exhibit G</u> accurately reflects the ownership interests and structure of Borrower.

Section 4.23. <u>Fiscal Year</u>. The fiscal year of Borrower and Guarantor presently ends on December 31 of each year. If Borrower or Guarantor shall change its fiscal year end, Borrower shall promptly furnish the Administrative Agent with written notice thereof.

Section 4.24. <u>Identification Numbers</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Borrower's taxpayer identification number is 33-6595754.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If Borrower is a disregarded entity for U.S. federal income Tax purposes, Borrower's regarded
owner's taxpayer identification number is 33-6595754.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Guarantor's taxpayer identification number is 33-6595754.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) In the event any of the foregoing taxpayer identification numbers are required to be changed, Borrower shall
provide the Administrative Agent with written Notice of such replacement taxpayer identification numbers within three (3) Business Days of such change, together with any updated IRS documentation reflecting such new taxpayer identification
numbers as may be reasonably requested by the Administrative Agent.

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Section 4.25. <u>Sanctions</u>. None of (a) the Borrower, the Servicer, the Guarantor, any Subsidiary of the Servicer or Guarantor or any of their respective directors, officers or employees, or (b) to the knowledge of the Borrower, any agent of the Borrower, the Servicer, the Guarantor or any Subsidiary of the Servicer or Guarantor that will act in any capacity in connection with or benefit from the facility established hereby, is a Sanctioned Person. No Advance, use of proceeds or other transaction contemplated by this Agreement will violate applicable Sanctions.

Section 4.26. <u>Anti-Terrorism Laws</u>. The Borrower is not in violation of any Anti-Terrorism Law or engaged in nor has it conspired to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law. Neither the Borrower nor the Guarantor (a) conducts any business or engages in making or receiving any contribution of funds, goods or services to or for the benefit of any Blocked Person, or (b) deals in, or otherwise engages in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order No. 13224.

Section 4.27. <u>No Broker</u>. Neither Borrower nor any Affiliate of Borrower has dealt with any broker, investment banker, agent or other Person, except for Administrative Agent, Collateral Custodian or an Affiliate thereof, who may be entitled to any commission or compensation in connection with any transaction contemplated hereunder.

Section 4.28. <u>Special Representations and Warranties Concerning the Collateral</u>. The Borrower hereby represents and warrants as of (i) the Closing Date, (ii) each applicable Advance Date (with respect to the relevant Eligible Loans being pledged as of such Advance Date), (iii) each Measurement Date and (iv) each other date provided under this Agreement or the other Transaction Documents on which such representations and warranties are required to be (or deemed to be) made:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) this Agreement constitutes a Grant of a security interest in all Collateral to the Borrower which upon the delivery of the Loan Documents and the filing of the financing statements shall be a first priority perfected security interest in all Collateral, subject only to Permitted Liens. Neither the Borrower nor any Person claiming through or under the Borrower shall have any claim to or interest in the Collection Account;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) (i) the Loan List is an accurate and complete listing of all the Collateral and the information contained therein with respect to the identity of such Collateral and the amounts owing thereunder is true and correct as of such date, (ii) each Eligible Loan purchased by the Borrower hereunder is an Eligible Loan and (iii) with respect to each item of the Collateral, all consents, licenses, approvals or authorizations of or registrations or declarations of any Governmental Authority or any Person required to be obtained, effected or given by the Borrower in connection with the Grant of a security interest in each item of Collateral to the Administrative Agent, on behalf of the Secured Parties, have been duly obtained, effected or given and are in full force and effect; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) each Eligible Loan was originated without any fraud or misrepresentation by the Borrower or, to the best of the Borrower's knowledge, on the part of the Obligor.

It is understood and agreed that the representations and warranties provided in this <u>Section</u> <u>4.28</u> shall survive (x) the Grant of a first priority perfected security interest in, to and under the Collateral by the Borrower and (y) the termination of this Agreement. Upon discovery by the Borrower of a breach of any of the foregoing representations and warranties, the party discovering such breach shall give prompt written notice thereof to the other and to the Administrative Agent and each Lender immediately upon obtaining knowledge of such breach

**ARTICLE V** 

**COVENANTS** 

Section 5.1. <u>Affirmative Covenants</u>. From the Closing Date until the Collection Date, the Borrower (either directly or through the Servicer) shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Compliance with Applicable Laws</u>. Comply with the requirements of all Applicable Laws, rules, regulations and orders of any Governmental Authority, a breach of which could reasonably be expected to result in a Material Adverse Effect or on the enforceability of this Agreement, the Note, any other Transaction Document or any Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Maintenance of Existence; Conduct of Business</u>. Preserve and maintain its existence, rights, franchises and privileges in the jurisdiction of its formation, and qualify and remain qualified in good standing as a limited liability company in each jurisdiction where the failure to preserve and maintain such existence, rights, franchises, privileges and qualification has had, or could reasonably be expected to have, a Material Adverse Effect. For the purposes of this Agreement, good standing includes qualification for all licenses and payment of all Taxes required in the jurisdiction of its formation and in each jurisdiction in which the Borrower or Servicer transacts business; conduct its business in an orderly and efficient manner; and make no material change in the nature or character of its business or engage in any business in which it was not engaged as of the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Performance of Agreements</u>. Timely and fully observe and perform in all material respects each and every term to be observed or performed by it pursuant to the terms of this Agreement and any other Transaction Document and any agreement or recorded instrument affecting or pertaining to the Collateral (or any portion thereof).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Proper Records</u>. At all times keep proper books of records and accounts in which full, true and correct entries shall be made of its transactions in accordance with GAAP and set aside on its books all such proper reserves in accordance with GAAP.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Books and Records</u>. Furnish to the Administrative Agent, as soon as available and in any event within the time periods specified:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) with respect to each Eligible Loan, within forty-five (45) days after the end of a Calendar Quarter, a quarterly operations report prepared by the Servicer with respect to the following: delinquency, loss experience, recoveries, cash flow and such other information as may be reasonably requested by the Administrative Agent;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) with respect to each Eligible Loan and the related Mortgaged Property, copies of operating and financial statements of the related Obligors, and related rent rolls, occupancy and other property-level information, to the extent received by Borrower;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) within fifteen (15) days after the end of each month, a report of all proposed sales, repurchases and other transactions with respect to the Eligible Loans, which schedule shall be acceptable to Administrative Agent; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) such other information regarding the financial condition, operations or business of Borrower, Servicer or any Obligor with respect to an Eligible Loan as the Administrative Agent may reasonably request in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Special Covenants Concerning Collateral</u>. (i) Warrant and defend the right, title and interest of the Administrative Agent, on behalf of the Secured Parties, in and to the Collateral against the claims and demands of all Persons.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Execute and deliver to the Administrative Agent with respect to the Collateral those further instruments of sale, pledge, assignment or transfer, and those powers of attorney, as required by the Administrative Agent, and do and perform all matters and things necessary or desirable to be done or observed, for the purpose of effectively creating, maintaining and preserving the security and benefits intended to be afforded the Administrative Agent and each Lender under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Prior to origination and/or acquisition, confirm that every Obligor, guarantor and other obligor of the Eligible Loan to be originated or acquired by Borrower, together with appropriate identifying information concerning those Persons obtained by Borrower, is not a Sanctioned Person, and make certain that none of the Obligors, guarantors or other obligors of any Eligible Loan of Borrower is a Person is a Sanctioned Person and to whom the provision of financial services is prohibited or otherwise restricted by Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Special Purpose Entity Requirements</u>. Comply with the requirements of <u>Section</u> <u>9(d)</u> of its Constituent Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Separateness</u>. From and after the date of execution and delivery of this Agreement, the Borrower shall comply with the requirements set forth in <u>Section</u> <u>4.13</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Payment of Indebtedness, Taxes and Other Obligations</u>. Pay, perform and discharge, or cause to be paid, performed and discharged, all Taxes, assessments and governmental charges or levies imposed upon the Borrower or upon its income, receipts or properties before those Taxes, assessments and governmental charges or levies become past due, and all lawful claims for labor, materials and supplies or otherwise that, if unpaid, might become a Lien or charge upon any of their respective properties or assets. The Borrower is not required to pay, however, any Taxes, assessments and governmental charges or levies or claims for labor, materials or supplies for which the Borrower has obtained an adequate bond or adequate insurance or that are being contested in good faith and by proper proceedings that are being reasonably and diligently pursued and for which proper reserves have been created.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Disregarded Entity</u>. Treat the Borrower as a disregarded entity separate from its regarded owner pursuant to Treasury Regulation Section 301.7701-3(b), and neither the Borrower nor any other Person on its behalf shall make an election to be, or take any other action that is reasonably likely to result in the Borrower being treated as other than an entity disregarded from its regarded owner under Treasury Regulation Section 301.7701-3(c).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Use of Proceeds of Advances</u>. Use the proceeds of each Advance solely to acquire Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Protection of Security Interest</u>. With respect to the Collateral, (i) take all action necessary to perfect, protect and more fully evidence the Borrower's ownership of such Collateral free and clear of any Lien other than the Lien created hereunder, including (1) with respect to the Eligible Loans and that portion of the Collateral in which a security interest may be perfected by filing, filing and maintaining (at the expense of the Borrower), effective financing statements against the Borrower in all necessary or appropriate filing offices, (including any amendments thereto or assignments thereof) and filing continuation statements, amendments or assignments with respect thereto in such filing offices, (including any amendments thereto or assignments thereof) and (2) executing or causing to be executed such other instruments or notices as may be necessary or appropriate, (ii) at the expense of the Borrower, take all action necessary to cause a valid, subsisting and enforceable first priority perfected security interest, to exist in favor of the Administrative Agent (for the benefit of the Secured Parties) in the Borrower's interests in all of the Collateral being Granted hereunder including the filing of a UCC financing statement in the applicable jurisdiction adequately describing the Collateral (which may include an "all asset" filing), and naming the Borrower as debtor and the Administrative Agent as the secured party, and filing continuation statements, amendments or assignments with respect thereto in such filing offices, (including any amendments thereto or assignments thereof), (iii) take all additional action that the Administrative Agent or the Collateral Custodian may reasonably request to perfect, protect and more fully evidence the respective first priority perfected security interests of the parties to this Agreement in the Collateral, or to enable the Administrative Agent or the Collateral Custodian to exercise or enforce any of their respective rights hereunder and (iv) furnish to the Collateral Custodian, the Administrative Agent and each Lender promptly, from time to time such other information, documents, records or reports respecting the Collateral or the condition or operations, financial or otherwise, of the Servicer or the Borrower as the Collateral Custodian, the Administrative Agent and each Lender may from time to time reasonably request in order to protect the interests of the Collateral Custodian, the Administrative Agent and each Lender or the Secured Parties under or as contemplated by this Agreement and the other Transaction Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Officer's Certificate</u>. On each one (1) year anniversary of the Closing Date or upon written request by the Administrative Agent, shall deliver an officer's certificate of the Borrower, in form and substance acceptable to the Administrative Agent and each Lender, providing (1) a certification, based upon a review and summary of UCC search results reasonably satisfactory to the Administrative Agent, that there is no other interest in the Collateral perfected by filing of a UCC financing statement other than in favor of the Administrative Agent pursuant to the terms of the Transaction Documents and (2) a certification, based upon a review and summary of tax and judgment lien searches satisfactory to the Administrative Agent, that there is no other interest in the Collateral based on any tax or judgment lien.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Notice</u>. Give immediate Notice to the Administrative Agent and each Lender of (i) any action, suit or proceeding instituted by or against Borrower, Servicer or Guarantor in any federal or state court or before any commission or other regulatory body (federal, state or local, domestic or foreign), which action, suit or proceeding has at issue (1) with respect to the Borrower, in excess of $250,000 (or, in the case of a personal injury claim fully covered by insurance, $500,000), or (2) with respect to the Servicer or Guarantor, in excess of $1,000,000, or any such proceedings threatened against Borrower, Servicer or Guarantor in a writing containing the details of that action, suit or proceeding; (ii) the filing, recording or assessment of any federal, state or local tax Lien against Borrower, Servicer or Guarantor or any of their respective assets; (iii) an Event of Default; (iv) a Default; (v) any Prohibited Transaction or Reportable Event with respect to any Plan of Borrower, Servicer or Guarantor, specifying the nature of the Prohibited Transaction or Reportable Event and what action Borrower, Servicer or Guarantor proposes to take with respect to it; (vi) the Borrower becoming a Benefit Plan Investor or a Governmental Plan Entity; (vii) any Eligible Loan becoming a Defaulted Loan or subject to a Credit Event or Warranty Event, and (viii) any other action, event or condition of any nature that may lead to, result in, or is reasonably likely to have a Material Adverse Effect; provided that, any such written notice must be provided within three (3) Business Days of the Borrower or the Servicer obtaining actual knowledge of such event. In addition, no later than two (2) Business Days following the Borrower or the Servicer obtaining knowledge notice of the occurrence of any Event of Default or Default, the Borrower or the Servicer will provide to the Administrative Agent and each Lender a written statement of a Responsible Officer of the Borrower or of the Servicer setting forth the details of such event and the action that the Borrower or the Servicer proposes to take with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Inspection of Properties and Books; Operational Reviews</u>. (i) Permit the Administrative Agent (and its authorized agents and representatives) to discuss the business, operations, assets and financial condition of Borrower with its respective officers, agents and employees who have knowledge thereof, and to examine and make copies or extracts of the Borrower's books of account, records and other documentation and information all at such reasonable times and at Borrower's cost and expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Provide its accountants with a copy of this Agreement promptly after its execution and authorize and instruct them to answer candidly, at Borrower's cost and expense, all questions that the officers of the Administrative Agent or any authorized representatives of the Administrative Agent may address to them in reference to the financial condition or affairs of Borrower. As long as no Default or Event of Default has occurred and is continuing with respect to Borrower, (1) the Administrative Agent shall provide Borrower with advance notice of any such inquiry to Borrower's accountants and (2) the Administrative Agent may only exercise the foregoing rights once during each one (1) consecutive twelve (12) month period.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Permit the Administrative Agent (and its authorized agents and representatives) access to the Borrower's premises and records for the purpose of conducting a review of the Borrower's general mortgage business methods, policies and procedures, auditing its loan files, and reviewing the financial and operational aspects of Borrower's business. As long as no Default or Event of Default has occurred and is continuing, (1) the Administrative Agent shall provide Borrower with advance notice of any such access to Borrower's premises and records and (2) the Administrative Agent may only exercise the foregoing rights once during each one (1) consecutive twelve (12) month period.

The Borrower and the Servicer may have its representatives in attendance at any meetings held between the officers or other representatives of the Administrative Agent and Borrower's, Servicer's accountants under this authorization in this <u>Section</u> <u>5.1(o)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Change of Jurisdiction, Location or Names</u>. Change the jurisdiction of its formation, make any change to its legal name or use any tradenames, fictitious names, assumed names, "doing business as" names or other names unless, prior to the effective date of any such change in the jurisdiction of its formation, name change or use, the Borrower and the Servicer provide written notice and receives at least thirty (30) days prior written consent from the Administrative Agent of such change and delivers to the Administrative Agent such financing statements as the Administrative Agent may request to reflect such name change or use, together with such opinions of nationally recognized counsel and other documents and instruments as the Administrative Agent may request in connection therewith. The Borrower will not change the location of its chief executive office unless prior to the effective date of any such change of location, the Borrower notifies the Administrative Agent of such change of location in writing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Instructions to Obligors; Payments to Collection Account</u>. Make or permit any change, in its instructions to Obligors or the agents or administrative agents for the Eligible Loans regarding payments to be made to the Servicer or the Collection Account, unless the Administrative Agent has consented to such change. Notwithstanding directions to the contrary, if the Borrower and/or the Servicer receive any payments directly from any Obligor, the Borrower and/or the Servicer will promptly transfer such payments within two (2) Business Days to the Collection Account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>Financial Statements</u>. Deliver to the Administrative Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) As soon as available and in any event within sixty (60) days after the end of each Calendar Quarter other than the last Calendar Quarter of Borrower's fiscal year, an interim statement of income of Borrower for that Calendar Quarter and the period from the beginning of the fiscal year to the end of that Calendar Quarter, and the related balance sheet (on a consolidated basis) as at the end of that Calendar Quarter, all in reasonable detail and internally compiled.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) As soon as available and in any event within one hundred and twenty (120) days after the end of each fiscal year, a statement of income of Borrower for that fiscal year, and the related balance sheet (on a consolidated basis) as at the end of that fiscal year, all in reasonable detail satisfactory to the Administrative Agent.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Together with each delivery of financial statements required by this <u>clause (s)</u>, a Compliance Certificate executed by a Responsible Officer of the Borrower substantially in the form of <u>Exhibit H</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) As soon as available and in any event within twenty (20) calendar days of each calendar month or, if such day is not a Business Day, the next succeeding Business Day, concurrently with any Advance and on any other date requested by the Administrative Agent in its sole discretion following the occurrence and continuation of an Event of Default, the Borrower Base Certificate in the form of <u>Exhibit K</u> setting forth the calculation of the Borrowing Base as of such date and a monthly loan tape.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) <u>Borrowing Base Assets</u>. Ensure that from and after (x) the date that is one hundred eighty (180) days following the date of this Agreement, and/or (y) the date that is ninety (90) days following the closing date of each securitization occurring after the Closing Date, there shall be no fewer than five (5) Eligible Loans included in the Borrowing Base.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) <u>Insurance</u>. Cause Servicer to maintain on Borrower's behalf, blanket bond coverage and errors and omissions insurance or mortgage impairment insurance, with such companies and in such amounts as reasonably required by the Administrative Agent, and liability insurance and fire and other hazard insurance on Borrower's tangible properties, in each case with responsible insurance companies acceptable to the Administrative Agent, in such amounts and against such risks as is customarily carried by similar businesses operating in the same vicinity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>Delivery of Loan Documents</u>. (i) Cause the delivery of the Mortgage Note, the other Loan Documents and the Mortgage Asset Files for any Eligible Loan to the applicable Bailee in accordance with the terms of the applicable Bailee Agreement; and (ii) Deliver (or cause the delivery of by the applicable Bailee) the Mortgage Note, the other Loan Documents and the Mortgage Asset Files for any Eligible Loan to the Collateral Custodian in accordance with the terms of the Custodial Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) <u>Accounts</u>. Maintain the Collection Account, the Designated Deposit Account, all escrow, reserve, clearing, and cash management accounts related to the Eligible Loans, and all other deposit and securities accounts (to the extent any such accounts are acceptable to the Administrative Agent in its sole discretion) with the Account Bank.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Material Adverse Effect</u>. Promptly notify the Administrative Agent and each Lender upon acquiring actual knowledge of any event or other circumstance that is reasonably likely to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) <u>Servicing</u>. Maintain or cause the servicing of the Eligible Loans to be done in compliance with the terms of the Servicing Contract.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) <u>Cooperate in Legal Proceedings</u>. Cooperate fully with any Lender with respect to any proceedings before any court, board or other Governmental Authority which may in any way affect the rights of such Lender hereunder or any rights obtained by such Lender under any of the Transaction Documents, other than any such proceeding in which Borrower or any of its Affiliates is adverse to any Lender.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) <u>United States Person</u>. Ensure that the sole equity owner of Borrower, as determined for U.S. federal income tax purposes, is a "United States person" as defined in Section 7701(a)(30) of the Code.

Section 5.2. <u>Negative Covenants</u>. As long as the Commitment is outstanding or there remain any Obligations to be paid or performed, Borrower shall not:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Restrictions on Indebtedness; Contingent Liabilities</u>. Create, incur, assume, guarantee or be or remain liable, contingently or otherwise, with respect to any Indebtedness (including contingent liabilities), other than Indebtedness incurred under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Restrictions on Liens, Etc</u>. (i) Take any action which would directly or indirectly impair or adversely affect Borrower's title to the Collateral, (ii) create or incur or suffer to be created or incurred or to exist any lien, encumbrance, mortgage, pledge, charge, restriction or other security interest of any kind upon any item of Collateral; or (iii) transfer any Eligible Loan without paying the related Advance in full.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Restrictions on Fundamental Changes</u>. (i) Consolidate with, merge with or into, or enter into any analogous reorganization or transaction with any Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Amend or otherwise modify its certificate of formation or operating agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Liquidate, wind up or dissolve (or suffer any liquidation or dissolution).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Engage in any line of business substantially different from those lines of businesses intended to be carried on by it as of the date of this Agreement or make any other material change in the nature or scope of the business in which it intends to engage in as of the date of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Sell, assign, lease, convey, transfer or otherwise dispose of (whether in one transaction or a series of transactions) all or any substantial part of its business or assets, whether now owned or acquired after the Closing Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Acquire by purchase or in any other transaction all or substantially all of the business or property of, or all or substantially all of the stock or other ownership interests of, any Person, except in connection with the collection or restructuring of any Eligible Loan acquired by it in the ordinary course of its business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Subsidiaries</u>. Form or acquire any Subsidiary.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Accounting Changes</u>. Make any significant change in accounting treatment or reporting practices, except as required by GAAP, or change its fiscal year. If any changes in GAAP would result in any material deviation in the method of calculating and results of testing Borrower's compliance with any financial covenant hereunder, such financial covenant shall continue to be calculated and tested as if such change in GAAP had not occurred, unless otherwise specifically agreed in writing by the Administrative Agent after full disclosure by Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Distributions</u>. Declare or pay or make, directly or indirectly, any distribution (whether in cash or other property) with respect to any Person's equity interests in the Borrower (collectively, a "<u>Distribution</u>"); provided, however, if no Event of Default or Default has occurred and is continuing, or will occur as a result thereof, the Borrower may make Distributions from funds (subject to Section 2.6 hereof) that are made available to Borrower pursuant to Section 2.6 hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Transactions with Affiliates. Enter into, or be a party to, any transaction with any of its Affiliates, except transactions (x) in the ordinary course of business, (y) pursuant to the reasonable requirements of the Borrower's business, and (z) upon fair and reasonable terms that are no less favorable to the Borrower than could be obtained in a comparable arm's-length transaction with a Person not an Affiliate of the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Instructions to Obligors; Payments to the Collection Account</u>. Make any change, or permit the Servicer to make any change, in its instructions to Obligors or the agents or administrative agents for the Eligible Loans regarding payments to be made to the Servicer or the Collection Account, unless the Administrative Agent has consented to such change. Notwithstanding directions to the contrary, if the Borrower and/or the Servicer shall receive any payments directly from any Obligor, the Borrower and/or the Servicer will promptly transfer such payments within three (3) Business Days to the Collection Account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Debt Cancellation</u>. Cancel or otherwise forgive or release any claim or debt owed to Borrower by any Person, except for adequate consideration and in the ordinary course of Borrower's business.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Sanctions</u>. Request any Advance, and the Borrower shall not use, and shall insure that its respective directors, officers, employees and agents shall not use, the proceeds of any Advance (i) for the purpose of funding, financing or facilitating any activities, business or transaction of or with any Sanctioned Person, or in any Sanctioned Country, or (ii) in any manner that would result in the violation of any Sanctions applicable to any party hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Anti-Terrorism Laws</u>. (i) Directly or through its Affiliates and agents, conduct any business or engage in any transaction or dealing with any Blocked Person, including the making or receiving of any contribution of funds, goods or services to or for the benefit of any Blocked Person, (ii) directly or through its Affiliates and agents, deal in, or otherwise engage in any transaction relating to, any property or interests in property blocked pursuant to the Executive Order No. 13224; (iii) directly or through its Affiliates and agents, engage in or conspire to engage in any transaction that evades or avoids, or has the purpose of evading or avoiding, or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism Law; or (iv) fail to deliver to the Administrative Agent any certification or other evidence requested from time to time by the Administrative Agent in its sole discretion, confirming the compliance of the Borrower with this <u>Section</u> <u>5.2(l)</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>ERISA</u>. (i) Engage, and will exercise its best efforts not to permit any ERISA Affiliate to engage, in any Prohibited Transaction for which an exemption is not available or has not previously been obtained from the United States Department of Labor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) fail to meet the minimum funding standard set forth in Section 302(a) of ERISA and Section 412(a) of the Code with respect to any Pension Plan other than a Multiemployer Plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) fail to make any payments to a Multiemployer Plan that the Borrower or any ERISA Affiliate may be required to make under the agreement relating to such Multiemployer Plan or any law pertaining thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) terminate any Pension Plan so as to result, directly or indirectly in any liability to the Borrower; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) permit to exist any occurrence of any reportable event described in Section 4043 of ERISA with respect to any Pension Plan, other than an event for which reporting requirements have been waived by regulation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Special Negative Covenants Concerning Collateral</u>. From the Closing Date until the Collection Date, Borrower shall not, either directly or indirectly, without the prior written consent of the Administrative Agent:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Amend or modify, or waive any of the terms and conditions of, or settle or compromise any claim in respect of, any Eligible Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Sell, transfer or assign, or Grant any option with respect to, or pledge (except under this Agreement) any of the Collateral or any interest in any of the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Make any compromise, adjustment or settlement in respect of any of the Collateral or accept other than cash in payment or liquidation of the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Non-Petition; Limited Recourse</u>. Be a party to any agreement that does not include a non-petition provision which is substantially identical to <u>Section</u> <u>10.21</u> or amend or eliminate such provisions in any agreement to which it is party, in each case, except for any agreements related to the purchase of the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Amendment of Transaction Documents</u>. Amend or modify, without the Administrative Agent's prior written consent (acting in its sole discretion), the Servicing Contract, the Custodial Agreement, any Bailee Agreement, its Constituent Documents or any other Transaction Document.

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**ARTICLE VI** 

**REPORTING** 

Section 6.1. <u>Reports</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Monthly Report</u>. The Servicer will prepare on behalf of the Borrower (based on information provided to it by the Servicer) a report substantially in the form of <u>Exhibit</u> <u>N</u> (such monthly statement, a "<u>Monthly Report</u>") and provide on each Payment Date, beginning with the Payment Date following the first Advance made pursuant to this Agreement, such Monthly Report to the Borrower, each Lender and the Administrative Agent. If any party receiving any Monthly Report or Payment Date Statement disagrees with any items of such report, it shall contact the Servicer and notify it of such disputed item and provide reasonably sufficient information to correct such item, with (if other than the Administrative Agent) a copy of such notice and information to the Administrative Agent and the Servicer. If the Servicer agrees with any such correction and unless the Servicer is otherwise timely directed by the Administrative Agent, the Servicer shall distribute a revised Monthly Report or Payment Date Statement, as applicable, on the Business Day after it receives such information. If the Servicer does not agree with any such correction or it is directed by the Administrative Agent to not make such correction, the Servicer shall (within one (1) Business Day) contact the Administrative Agent and request instructions on how to proceed. The Administrative Agent's reasonable determination with regard to any disputed item in the Monthly Report or Payment Date Statement, as applicable, shall be conclusive (absent manifest error).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Amendments to Basic Loan Documents</u>. Within five (5) Business Days following its effective date, Servicer shall deliver to the Administrative Agent a copy of any material amendment, restatement, supplement, waiver or other modification to any Basic Loan Document of any Eligible Loan, together with any documentation prepared by the Borrower in connection with such document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Significant Events</u>. Servicer shall provide written notice as soon as possible and in any event within five (5) Business Days after a Responsible Officer becomes aware, or should have become aware, of the occurrence of any Event of Default or Servicer Removal Event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Breaches of Representations and Warranties</u>. Upon a Responsible Officer obtaining knowledge thereof, the Borrower shall notify the Administrative Agent if any representation or warranty set forth in <u>Article IV</u> was incorrect at the time it was given or deemed to have been given and at the same time deliver to the Administrative Agent a written notice setting forth in reasonable detail the nature of such facts and circumstances. In particular, but without limiting the foregoing, the Borrower shall notify the Administrative Agent in the manner set forth in the preceding sentence before any Borrowing Date of any facts or circumstances within the knowledge of the Borrower which would render any of the said representations and warranties untrue at the date when such representations and warranties were made or deemed to have been made.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Corporate Changes</u>. As soon as practical and in any event within five (5) Business Days after the effective date thereof, the Borrower shall notify the Administrative Agent of any change in the name, jurisdiction of organization, corporate structure, tax characterization or location of records of the Borrower; provided that, the Borrower agrees not to effect or permit any change referred to in the preceding sentence unless all filing have been made under the UCC or otherwise that are required in order for the Administrative Agent to continue at all times following such change to have a valid, legal and perfected security interest in all the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Other Information</u>. Promptly upon request, the Borrower shall deliver to the Administrative Agent such other information, documents, records or reports respecting the Eligible Loans or the condition or operations, financial or otherwise, of the Borrower, the Servicer or the Guarantor as the Administrative Agent may from time to time reasonably request in order to protect the interests of the Administrative Agent or the Secured Parties under or as contemplated by this Agreement including, without limitation, any underwriting or credit memorandums prepared with respect to any Eligible Loan (including all attachments and calculations related thereto) and any modifications, amendments or waivers granted with respect to any Eligible Loan.

**ARTICLE VII** 

**DEFAULTS; REMEDIES** 

Section 7.1. <u>Events of Default</u>. The occurrence of any of the following is an event of default ("<u>Event of Default</u>"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Failure of the Borrower to pay Interest or the Non-Usage Fee within one (1) Business Day of any Payment Date or within three (3) Business Days of when otherwise due or, at any time, the Advances Outstanding exceed the Maximum Facility Amount.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Failure of the Borrower to pay the Advances Outstanding or any other Obligation not described in clause (a) above, when the same shall become due and payable, whether at stated maturity, by acceleration, or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Borrower fails to pay, or defaults in the payment of any principal or interest on, any other Indebtedness or any contingent obligation within any applicable grace period; breaches or defaults with respect to any other material term of any other Indebtedness or of any loan agreement, mortgage, indenture or other agreement relating to that Indebtedness, if the effect of that breach or default is to cause, or to permit the holder or holders of that indebtedness (or a trustee on behalf of such holder or holders) to cause, Indebtedness of Borrower in the aggregate amount of $500,000 or more to become or be declared due before its stated maturity (upon the giving or receiving of notice, lapse of time, both, or otherwise).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Borrower fails to perform or comply with any term or condition applicable to it contained in <u>Section</u> <u>5.1(b)</u>, <u>Section</u> <u>5.1(f)</u>, <u>Section</u> <u>5.1(g)</u>, <u>Section</u> <u>5.1(h)</u>,_<u>Section 5.1(i)</u>, <u>Section</u> <u>5.1(k)</u>, <u>Section</u> <u>5.1(l)</u>, <u>Section</u> <u>5.1(q)</u>, <u>Section</u> <u>5.1(s)</u>, <u>Section</u> <u>5.1(t)</u>, <u>Section</u> <u>5.1(u)</u>, <u>Section</u> <u>5.1(v)</u>, <u>Section</u> <u>5.1(w)</u>, <u>Section</u> <u>5.2</u>, or <u>Section</u> <u>6.1</u>.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Any failure on the part of the Borrower duly to observe or perform in any material respect any other covenants or agreements of the Borrower set forth in this Agreement or the other Transaction Documents to which the Borrower is a party and the same continues unremedied for a period of thirty (30) days (if such failure can be remedied) after the earlier to occur of (i) the date on which written notice of such failure requiring the same to be remedied shall have been given to the Borrower by the Administrative Agent and (ii) the date on which the Borrower acquires knowledge thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) The failure on the part of the Borrower or the Servicer to make any payment or deposit (including with respect to remittance of Collections or any other payment or deposit required to be made by the terms of the Transaction Documents to any Secured Party, Affected Party or Indemnified Party); *provided* that, in the case of a default in payment resulting solely from an administrative error or omission by the Borrower or the Servicer, such default continues for a period of five (5) or more Business Days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The occurrence of a Bankruptcy Event relating to the Borrower, Servicer or the Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) (i) the rendering of one or more final judgments, decrees or orders by a court or arbitrator of competent jurisdiction for the payment of money in excess, individually or in the aggregate, of $250,000, against the Borrower and individually or in the aggregate, of $5,000,000 against the Guarantor and such Person shall not have either (1) discharged or provided for the discharge of any such judgment, decree or order in accordance with its terms or (2) perfected a timely appeal of such judgment, decree or order and caused the execution of same to be stayed during the pendency of the appeal or (ii) the Borrower shall have made payments of amounts in excess of $250,000 in the settlement of any litigation, claim or dispute.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Any order, judgment or decree decreeing the dissolution of Borrower or the Guarantor is entered and remains undischarged or unstayed for a period of sixty (60) days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Borrower, the Guarantor, the Servicer or any of their respective Affiliates purports to disavow its obligations under any Transaction Document or contests the validity or enforceability of any Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) The Administrative Agent's first priority, perfected security interest, on behalf of the Secured Parties, in the Collateral becomes unenforceable or otherwise impaired in any respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) The Administrative Agent shall fail to have a perfected first priority Lien on behalf of the Secured Parties in the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Guarantor terminates its existence or suspends or discontinues its business, or any event described in <u>Section</u> <u>12.10(d)(ii)</u> occurs with respect to Guarantor, without the prior written consent of the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) (i) Guarantor fails to perform or comply with any term or condition applicable to it contained in Article XII; (ii) Servicer fails to perform or comply with any term of conditions applicable to it contained in Article XI; or (iii) Guarantor or Servicer defaults in the performance of or compliance with any other obligation of Guarantor of Servicer (as the case may be) contained in any Transaction Document to which Guarantor or Servicer is a party and such default has not been remedied or waiver within thirty (30) days after the occurrence of such default.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) The U.S. Internal Revenue Service shall file notice of a lien pursuant to Section 6323 of the Code with regard to any assets of the Borrower and such lien shall not have been released within five (5) Business Days, or the Pension Benefit Guaranty Corporation shall file notice of a lien pursuant to Section 4068 of ERISA with regard to any of the assets of the Borrower and such lien shall not have been released within five (5) Business Days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) A Change of Control occurs.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) Any Transaction Document, or any lien or security interest Granted thereunder, shall (except in accordance with its terms), in whole or in part, terminate, cease to be effective or cease to be the legally valid, binding and enforceable obligation of the Borrower or the Guarantor; (ii) the Borrower or the Guarantor (or any of their Affiliates) shall, directly or indirectly, contest in any manner the effectiveness, validity, binding nature or enforceability of any Transaction Document or any lien or security interest thereunder; or (iii) any security interest securing any Obligation under any Transaction Document shall, in whole or in part, cease to be a first priority perfected security interest except as otherwise expressly permitted to be released in accordance with the applicable Transaction Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) Any Material Modification is made to any Eligible Loan or any Loan Document without the prior written consent of the Administrative Agent and for which the Borrower has, or reasonably should have, knowledge of such Material Modification.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) A failure of the Borrower to pay, on the Maturity Date, all outstanding Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) A Borrowing Base Deficiency exists and remains unremedied for a period of (i) ten (10) consecutive Business Days to the extent that the receipt of proceeds of a capital call are required to satisfy such deficiency or (ii) two (2) Business Days to the extent that the Borrower has cash on hand or Cash Equivalents sufficient to satisfy such deficiency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) A Governmental Authority takes any action to (i) condemn, seize or appropriate, or assume custody or control of, all or any substantial part of the property of Borrower, (ii) displace the management of Borrower or curtail its authority in the conduct of the business of Borrower, (iii) terminate the activities of Borrower as contemplated by the Transaction Documents, or (iv) remove, limit or restrict the approval of Borrower of the foregoing as an issuer, buyer or seller of securities, or owner, holder or obligor of Eligible Loans, and in each case such action is not discontinued or stayed within thirty (30) days.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) Borrower engages in any conduct or action where Administrative Agent's prior consent is required by any Transaction Document and Borrower fails to obtain such consent and such consent has not been waived by the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) Borrower, Servicer or any other Person acting on behalf of the Borrower fails to deposit to the Collection Account all amounts as required under this Agreement within the time provided in this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) Except as described elsewhere in this <u>Section</u> <u>7.1</u>, there shall have occurred a default under any of the Transaction Documents (other than this Agreement) beyond the expiration of any applicable grace period.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) (i) The Servicer fails to remit amounts received by it from Obligors on account of Eligible Loans to the Collection Account within the time specified in <u>Section</u> <u>2.5</u> or (ii) the Servicer or the Borrower fails to remit any amounts received directly from Obligors to the Collection Account within the time specified in <u>Section</u> <u>5.1(q)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) A Guarantor Event of Default shall occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) Any representation or warranty contained in this Agreement or any other Transaction Document shall have been incorrect or untrue in any material respect when made or repeated or deemed to have been made or repeated which incorrect or untrue representation is not cured within thirty (30) days of the earlier of (i) the receipt of written notice by Borrower and (ii) actual knowledge of Borrower; <u>provided</u>, <u>however</u>, that if such breach or failure is not reasonably susceptible of cure within such thirty (30) day period, then provided that a cure is possible, Borrower commences to cure within such thirty (30) day period and diligently pursues such cure, such thirty (30) day period shall be extended as reasonably necessary to complete the cure thereof for a period not to exceed thirty (30) additional days.

Section 7.2. <u>Remedies</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If an Event of Default described in <u>Section</u> <u>7.1(g)</u> occurs with respect to Borrower, the Commitment will automatically terminate as to Borrower, and the unpaid principal amount of and accrued interest on Borrower's Note and all other Obligations of Borrower will automatically become due and payable at the Default Rate, without presentment, demand or other Notice or requirements of any kind, all of which Borrower expressly waives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If any other Event of Default continues beyond any applicable notice and/or cure period, the Administrative Agent, by Notice to Borrower, may terminate all or any portion of the Commitment and declare the Obligations to be immediately due and payable, and the unpaid principal amount of and accrued interest on Borrower's Note and all other Obligations of Borrower will automatically become due and payable without presentment, demand or other Notice or requirements of any kind, all of which Borrower expressly waives, and shall begin to accrue interest at the Default Rate from and after the date on which an Event of Default has commenced and is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If any Event of Default continues beyond any applicable notice and/or cure period, the Administrative Agent, may, also take any of the following actions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Foreclose upon or otherwise enforce its security interest in any Lien on the Collateral to secure all payments and performance of the Obligations in any manner permitted by law.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Notify all Obligors under any of the Collateral that the Collateral has been assigned to the Administrative Agent (or to another Person designated by the Administrative Agent) and that all payments on that Collateral are to be made directly to the Administrative Agent (or such other Person); settle, compromise or release, in whole or in part, any amounts any obligor owes on any of the Collateral on terms acceptable to the Administrative Agent; enforce payment and prosecute any action or proceeding involving any of the Collateral; and where any Collateral is in default, foreclose on and enforce any Liens securing that Collateral in any manner permitted by law and sell any property acquired as a result of those enforcement actions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Act, or contract with a third party to act, at Borrower's expense, as servicer or subservicer of Collateral of Borrower requiring servicing, and perform all obligations required under any Collateral of Borrower, including Servicing Contracts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Require Borrower and the Servicer to assemble and make available to the Administrative Agent the Collateral and all related books and records at a place designated by the Administrative Agent or its designee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Before the disposition of the Collateral, prepare it for disposition in any manner and to the extent the Administrative Agent deems appropriate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Exercise all rights and remedies of a secured creditor under the UCC or other Applicable Law, including selling or otherwise disposing of all or any portion of the Collateral at one or more public or private sales, whether or not such Collateral is present at the place of sale, for cash or credit or future delivery, on terms and conditions and in the manner as the Administrative Agent may determine. Borrower waives any right it may have to prior notice of the sale of all or any portion of the Collateral to the extent allowed by Applicable Law. If notice is required under Applicable Law, the Administrative Agent will give Borrower not less than ten (10) days' notice of any public sale or of the date after which any private sale may be held. Borrower agrees that ten (10) days' notice is reasonable notice. The Administrative Agent may, without notice or publication, adjourn any public or private sale one or more times by announcement at the time and place fixed for the sale, and the sale may be held at any time or place announced at the adjournment. In the case of a sale of all or any portion of the Collateral on credit or for future delivery, such Collateral sold on those terms may be retained by the Administrative Agent until the purchaser pays the selling price or takes possession of such Collateral. The Administrative Agent has no liability to Borrower if a purchaser fails to pay for or take possession of Collateral sold on those terms, and in the case of any such failure, the Administrative Agent may sell the Collateral again upon notice complying with this <u>Section</u> <u>7.2</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Instead of or in conjunction with exercising the power of sale authorized by <u>Section</u> <u>7.2(c)(vi)</u>, the Administrative Agent may proceed by suit at law or in equity to collect all amounts due on the Collateral, or to foreclose the Administrative Agent's Lien on and sell all or any portion of such Collateral pursuant to a judgment or decree of a court of competent jurisdiction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Proceed against Borrower and/or Guarantor on any Note.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) Retain all excess proceeds from the sale or other disposition of the Collateral, and apply them to the payment of the Obligations of Borrower under <u>Section</u> <u>7.3</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Administrative Agent will incur no liability as a result of the commercially reasonable sale or other disposition of all or any portion of the Collateral at any public or private sale or other disposition. Borrower and Guarantor waive (to the extent permitted by law) any claims it may have against the Administrative Agent arising by reason of the fact that the price at which the Collateral may have been sold at a private sale was less than the price that the Administrative Agent might have obtained at a public sale, or was less than the aggregate amount of the Advances Outstanding, accrued and unpaid interest on those Advances, and unpaid fees, even if the Administrative Agent accepts the first offer received and does not offer the Collateral to more than one offeree. Borrower and Guarantor agree that any sale of Collateral by the Administrative Agent, or any other disposition of Collateral arranged by the Administrative Agent after the occurrence of an Event of Default, will be deemed to have been made in a commercially reasonable manner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Reserved.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Borrower and Guarantor specifically waive and release (to the extent permitted by law) any equity or right of redemption, stay or appraisal that Borrower and Guarantor have or may have under any rule of law or statute now existing or adopted after the date of this Agreement, and any right to require the Administrative Agent to (i) proceed against any Person, (ii) proceed against or exhaust any of the Collateral or pursue its rights and remedies against the Collateral in any particular order, or (iii) pursue any other remedy within its power. The Administrative Agent is not required to take any action to preserve any rights of Borrower and Guarantor against holders of mortgages having priority to the Lien of any Mortgage or Security Agreement included in the Collateral or to preserve Borrower and Guarantor's rights against other prior parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) The Administrative Agent may, but is not obligated to, advance any sums or do any act or thing necessary to uphold or enforce the Lien and priority of, or the security intended to be afforded by, any Mortgage or Security Agreement included in the Collateral, including payment of delinquent Taxes or assessments and insurance premiums. All advances, charges, costs and expenses, including reasonable attorneys' fees and disbursements, incurred or paid by the Administrative Agent in exercising any right, power or remedy conferred by this Agreement, or in the enforcement of this Agreement, together with interest on those amounts at the Default Rate, from the time paid by the Administrative Agent until repaid by Borrower, are deemed to be principal outstanding under this Agreement and the Note.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) No failure or delay on the part of the Administrative Agent or the Collateral Custodian to exercise any right, power or remedy provided in this Agreement or under any other Transaction Document, at law or in equity, will operate as a waiver of that right, power or remedy. No single or partial exercise by the Administrative Agent or the Collateral Custodian of any right, power or remedy provided under this Agreement or any other Transaction Document, at law or in equity, precludes any other or further exercise of that right, power, or remedy by the Administrative Agent or the Collateral Custodian or the Administrative Agent's or Collateral Custodian's exercise

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of any other right, power or remedy. Without limiting the foregoing, Borrower hereby expressly waives and releases to the fullest extent permitted by Applicable Law, the pleading of any statute of limitations as a defense to payment of the Obligations or performance of its obligations hereunder, under the Note, or the other Transaction Documents. The rights, powers and remedies of the Administrative Agent and the Collateral Custodian under this Agreement or any other Transaction Document shall be cumulative and not exclusive of any other right, power or remedy which the Administrative Agent or the Collateral Custodian may have against Borrower pursuant to this Agreement, the Note, or the other Transaction Documents or existing at law or in equity or otherwise. The Administrative Agent's or the Collateral Custodian's rights, powers and remedies may be pursued singularly, concurrently or otherwise, at such time and in such order as the Administrative Agent may determine in the Administrative Agent's or the Collateral Custodian's sole discretion, as applicable. No delay or omission to exercise any remedy, right or power accruing upon an Event of Default shall impair any such remedy, right or power or shall be construed as a waiver thereof, but any such remedy, right or power may be exercised from time to time and as often as may be deemed expedient. A waiver of one Default or Event of Default with respect to Borrower shall not be construed to be a waiver of any subsequent Default or Event of Default by Borrower or to impair any remedy, right or power consequent thereon.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Upon the occurrence of a Servicer Removal Event, the Borrower agrees that, notwithstanding anything herein or in any Transaction Document to the contrary, the Administrative Agent, by written notice to the Servicer, shall have the sole right to terminate all of the rights and obligations of the Servicer under the Servicing Contract and that the Administrative Agent shall have the sole right to appoint a replacement servicer, and such replacement shall accept its appointment by a written assumption in a form acceptable to the Administrative Agent. Upon its appointment, the replacement servicer, shall be the successor in all respects to the Servicer with respect to servicing functions under the Servicing Contract, which may be documented pursuant to a separate Servicing Contract in a form acceptable to the Administrative Agent; *provided* that, the replacement servicer, shall have (i) no liability with respect to any action performed by the terminated Servicer prior to the date that the replacement servicer, becomes the successor to the Servicer or any claim of a third party based on any alleged action or inaction of the terminated Servicer, (ii) no obligation to perform any advancing or origination obligations including responsibility for any eligibility representations related to the Eligible Loans, (iii) no obligation to pay any Taxes required to be paid by the Servicer, (iv) no obligation to pay any of the fees and expenses of any other party to the transactions contemplated hereby, and (v) no liability or obligation with respect to any Servicer indemnification obligations of any prior Servicer, including the original Servicer. The indemnification obligations of the replacement Servicer, upon becoming a replacement Servicer, are expressly limited to those arising on account of its failure to act in good faith and with reasonable care under the circumstances.

Section 7.3. <u>Application of Proceeds</u>. Any amounts received from any sale or liquidation of the Collateral pursuant to this <u>Article VII</u> in excess of the Obligations will be applied by the Administrative Agent in accordance with the provisions of <u>Section</u> <u>2.6</u>, or as a court of competent jurisdiction may otherwise direct.

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Section 7.4. <u>Administrative Agent Appointed Attorney-in-Fact</u>. Borrower appoints the Administrative Agent its attorney-in-fact, with full power of substitution, for the purpose of carrying out the provisions of this Agreement, the Note and the other Transaction Documents and taking any action and executing any instruments that the Administrative Agent deems necessary or advisable to accomplish that purpose. Borrower's appointment of the Administrative Agent as attorney-in-fact is irrevocable and coupled with an interest. Without limiting the generality of the foregoing, the Administrative Agent may give notice of its Lien on the Collateral to any Person, either in Borrower's name or in its own name, endorse all Eligible Loans payable to the order of Borrower, change or cause to be changed the book-entry registration or name of subscriber on any Collateral, prepare and submit for filing Uniform Commercial Code amendment statements with respect to any Uniform Commercial Code financing statements filed in connection with any item of Collateral or receive, endorse and collect all checks made payable to the order of Borrower representing payment on account of the principal of or interest on, or the proceeds of sale of, any of the Eligible Loans or Collateral and give full discharge for those transactions. Except as set forth in the preceding sentence, the Administrative Agent agrees not to exercise the foregoing power of attorney except after the occurrence and during the continuance of an Event of Default.

Section 7.5. <u>Right of Set-Off</u>. Borrower hereby Grants to Administrative Agent, a continuing lien, security interest and right of setoff as security for all liabilities and obligations of Borrower to Administrative Agent, whether now existing or hereafter arising, upon and against all deposits, credits, collateral and property of Borrower, now or hereafter in the possession, custody safekeeping or control of Administrative Agent or any entity under the control of Administrative Agent (and with respect to Administrative Agent, all deposits, credits, collateral and property, now or hereafter in the possession, custody safekeeping or control Administrative Agent or any other entity under control of Administrative Agent) and its successors and assigns or in transit to any of them, except for any accounts being held by Borrower in trust or in escrow solely for the benefit of one or more third parties that are not Affiliates of Borrower and in which Borrower has no ownership or beneficial interest. At any time upon or after the occurrence and during the continuance of an Event of Default, without demand or notice (any such notice being expressly waived by Borrower), Administrative Agent may setoff the same or any part thereof and apply the same to any liability or obligation of Borrower even though unmatured and regardless of the adequacy of any other Collateral of Borrower securing the Advances. ANY AND ALL RIGHTS TO REQUIRE ADMINISTRATIVE AGENT TO EXERCISE ITS RIGHTS OR REMEDIES WITH RESPECT TO ANY OTHER COLLATERAL OF BORROWER WHICH SECURES THE LOAN, PRIOR TO EXERCISING ITS RIGHT OF SETOFF WITH RESPECT TO SUCH DEPOSITS, CREDITS OR OTHER PROPERTY OF BORROWER, ARE HEREBY KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVED.

**ARTICLE VIII** 

**THE ADMINISTRATIVE AGENT** 

Section 8.1. <u>The Administrative Agent</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Appointment</u>. Each Secured Party hereby appoints and authorizes the Administrative Agent as its agent hereunder and hereby further authorizes the Administrative Agent to appoint additional agents to act on its behalf and for the benefit of each Secured Party. Each Secured Party further authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such powers under this Agreement and the other Transaction Documents as are delegated to the Administrative Agent by the terms hereof and thereof, together with such

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powers as are reasonably incidental thereto. Notwithstanding any provision to the contrary contained elsewhere in this Agreement or in any other Transaction Document, the Administrative Agent shall not have any duties or responsibilities, except those expressly set forth in this Agreement, nor shall the Administrative Agent have or be deemed to have any fiduciary relationship with any Lender, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall be read into this Agreement or any other Transaction Document or otherwise exist against the Administrative Agent. Without limiting the generality of the foregoing sentence, the use of the term "agent" in this Agreement with reference to the Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any Applicable Law. Instead, such term is used merely as a matter of market custom, and is intended to create or reflect only an administrative relationship between independent contracting parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Delegation of Duties</u>. The Administrative Agent may execute any of its duties under this Agreement or any other Transaction Document by or through agents, employees or attorneys in fact and shall be entitled to advice of counsel concerning all matters pertaining to such duties. The Administrative Agent shall not be responsible for the negligence or misconduct of any agent or attorney in fact that it selects with reasonable care.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Administrative Agent's Reliance, etc</u>. Neither the Administrative Agent nor any of its directors, officers, agents or employees shall be liable for any action taken or omitted to be taken by it or them as Administrative Agent under or in connection with this Agreement or any of the other Transaction Documents. Each Lender and each Secured Party hereby waives any and all claims against the Administrative Agent or any of its Affiliates for any action taken or omitted to be taken by the Administrative Agent or any of its Affiliates under or in connection with this Agreement or any of the other Transaction Documents. Without limiting the foregoing, the Administrative Agent: (i) may consult with legal counsel (including counsel for the Borrower), independent public accountants and other experts selected by it and shall not be liable for any action taken or omitted to be taken in good faith by it in accordance with the advice of such counsel, accountants or experts; (ii) makes no warranty or representation and shall not be responsible for any statements, warranties or representations made in or in connection with this Agreement; (iii) shall not have any duty to ascertain or to inquire as to the performance or observance of any of the terms, covenants or conditions of this Agreement or any of the other Transaction Documents on the part of the Borrower or the Servicer or to inspect the property (including the books and records) of the Borrower or the Servicer; (iv) shall not be responsible for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement, any of the other Transaction Documents or any other instrument or document furnished pursuant hereto or thereto; and (v) shall incur no liability under or in respect of this Agreement or any of the other Transaction Documents by acting upon any notice (including notice by telephone), consent, certificate or other instrument or writing (which may be by facsimile) believed by it to be genuine and signed or sent by the proper party or parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Actions by Administrative Agent</u>. The Administrative Agent shall be fully justified in failing or refusing to take any action under this Agreement or any other Transaction Document unless it shall first receive such advice or concurrence of the Lenders as it deems appropriate and, if it so requests, it shall first be indemnified to its satisfaction by the Lenders against any and all liability and expense which may be incurred by it by reason of taking or

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continuing to take any such action. The Administrative Agent shall in all cases be fully protected in acting, or in refraining from acting, under this Agreement or any other Transaction Document in accordance with a request or consent of the Lenders; *provided* that, notwithstanding anything to the contrary herein, the Administrative Agent shall not be required to take any action hereunder if the taking of such action, in the reasonable determination of the Administrative Agent, shall be in violation of any Applicable Law or contrary to any provision of this Agreement or shall expose the Administrative Agent to liability hereunder or otherwise. In the event the Administrative Agent requests the consent of a Lender pursuant to the foregoing provisions and the Administrative Agent does not receive a response (either positive or negative) from such Lender within ten (10) Business Days of such Lender's receipt of such request, then such Lender shall be deemed to have declined to consent to the relevant action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Notice of Event of Default, Default or Servicer Removal Event</u>. The Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of an Event of Default, Default or Servicer Removal Event, unless the Administrative Agent has received written notice from a Lender, the Borrower or the Servicer referring to this Agreement, describing such Event of Default, Default or Servicer Removal Event and stating that such notice is a "Notice of Event of Default," "Notice of Default" or "Notice of Servicer Removal Event," as applicable. The Administrative Agent shall take such action with respect to such Event of Default, Default or Servicer Removal Event as may be requested by the Lender acting jointly or as the Administrative Agent shall deem advisable or in the best interest of the Lenders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Credit Decision with Respect to the Administrative Agent</u>. Each Lender and each Secured Party acknowledges that none of the Administrative Agent or any of its Affiliates has made any representation or warranty to it, and that no act by the Administrative Agent hereinafter taken, including any consent to and acceptance of any assignment or review of the affairs of the Borrower, the Servicer or any of their respective Affiliates or review or approval of any of the Collateral, shall be deemed to constitute any representation or warranty by any of the Administrative Agent or its Affiliates to any Lender as to any matter, including whether the Administrative Agent has disclosed material information in its possession. Each Lender and each Secured Party acknowledges that it has, independently and without reliance upon the Administrative Agent, or any of the Administrative Agent's Affiliates, and based upon such documents and information as it has deemed appropriate, made its own evaluation and decision to enter into this Agreement and the other Transaction Documents to which it is a party. Each Lender and each Secured Party also acknowledges that it will, independently and without reliance upon the Administrative Agent, or any of the Administrative Agent's Affiliates, and based on such documents and information as it shall deem appropriate at the time, continue to make its own decisions in taking or not taking action under this Agreement and the other Transaction Documents to which it is a party. Each Lender and each Secured Party hereby agrees that the Administrative Agent shall not have any duty or responsibility to provide any Lender or any Secured Party with any credit or other information concerning the business, prospects, operations, property, financial and other condition or creditworthiness of the Borrower, the Servicer or their respective Affiliates which may come into the possession of the Administrative Agent or any of its Affiliates.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Indemnification of the Administrative Agent</u>. Each Lender agrees to indemnify the Administrative Agent (to the extent not reimbursed by the Borrower), ratably in accordance with the Pro Rata Share, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever which may be imposed on, incurred by, or asserted against the Administrative Agent in any way relating to or arising out of this Agreement or any of the other Transaction Documents, or any action taken or omitted by the Administrative Agent hereunder or thereunder; *provided* that, no action taken in accordance with the directions of the Lenders shall be deemed to constitute gross negligence or willful misconduct for purposes of this <u>Article VIII</u>. Without limitation of the foregoing, each Lender agrees to reimburse the Administrative Agent, ratably in accordance with the Pro Rata Share, promptly upon demand for any out-of-pocket expenses (including counsel fees) incurred by the Administrative Agent in connection with the administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this Agreement and the other Transaction Documents, to the extent that such expenses are incurred in the interests of or otherwise in respect of the Lenders hereunder and/or thereunder and to the extent that the Administrative Agent is not reimbursed for such expenses by the Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Successor Administrative Agent</u>. The Administrative Agent may resign at any time, effective upon the appointment and acceptance of a successor Administrative Agent as provided below by giving at least five (5) days' written notice thereof to each Lender (other than in the case of <u>Section</u> <u>7.1(i)</u>). Upon any such resignation or removal, the Lenders acting jointly shall appoint a successor Administrative Agent subject to the approval of the Borrower (which approval shall not be (i) unreasonably withheld, conditioned or delayed or (ii) required at any time during the continuance of an Event of Default or after the declaration or automatic occurrence of the Maturity Date). Each Lender agrees that it shall not unreasonably withhold or delay its approval of the appointment of a successor Administrative Agent. If no such successor Administrative Agent shall have been so appointed, and shall have accepted such appointment, within thirty (30) days after the retiring Administrative Agent's giving of notice of resignation or the removal of the retiring Administrative Agent, then the retiring Administrative Agent may, on behalf of the Secured Parties, appoint a successor Administrative Agent which successor Administrative Agent shall be either (i) a commercial bank organized under the laws of the United States or of any state thereof and have a combined capital and surplus of at least $50,000,000 or (ii) an Affiliate of such a bank. Upon the acceptance of any appointment as Administrative Agent hereunder by a successor Administrative Agent, such successor Administrative Agent shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and the retiring Administrative Agent shall be discharged from its duties and obligations under this Agreement. After any retiring Administrative Agent's resignation hereunder as Administrative Agent, the provisions of this <u>Article VIII</u> shall continue to inure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Succession of Administrative Agent upon Payment of Obligations</u>. Upon payment in full of the Obligations, the successor Administrative Agent shall, without further action, succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and ConnectOne Bank shall be discharged from its duties and obligations as Administrative Agent under this Agreement and the other Transaction Documents. If no such successor Administrative Agent shall have been so appointed, and shall have accepted such appointment, within thirty (30) days after the retiring Administrative Agent's giving of notice of resignation or the removal of the retiring Administrative Agent, then the retiring Administrative

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Agent may appoint a successor Administrative Agent which successor Administrative Agent shall be either (i) a commercial bank organized under the laws of the United States or of any state thereof and have a combined capital and surplus of at least $50,000,000 or (ii) an Affiliate of such a bank. Upon the acceptance of any appointment as Administrative Agent hereunder by a successor Administrative Agent, such successor Administrative Agent shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring Administrative Agent, and the retiring Administrative Agent shall be discharged from its duties and obligations under this Agreement. After any retiring Administrative Agent's resignation or removal hereunder as Administrative Agent, the provisions of this <u>Article VIII</u> shall continue to inure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Payments by the Administrative Agent</u>. Unless specifically allocated to a specific Lender pursuant to the terms of this Agreement, all amounts received by the Administrative Agent on behalf of the Lenders shall be paid by the Administrative Agent to the Lenders in accordance with their Pro Rata Shares in the applicable Advances Outstanding, or if there are no Advances Outstanding in accordance with their related Lender's most recent Commitments, on the Business Day received by the Administrative Agent, unless such amounts are received after 12:00 Noon on such Business Day, in which case the Administrative Agent shall use its reasonable efforts to pay such amounts to each Lender on such Business Day, but, in any event, shall pay such amounts to such Lender not later than the following Business Day.

**ARTICLE IX** 

**RESERVED** 

**ARTICLE X** 

**MISCELLANEOUS** 

Section 10.1. <u>Amendments and Waivers</u>. (a) (i) No amendment or modification of any provision of this Agreement shall be effective without the written agreement of the Borrower, the Required Lenders, the Administrative Agent and, solely if such amendment or modification would adversely affect the rights and obligations of the Account Bank, the written agreement of the Account Bank, as applicable; (ii) no termination or waiver of any provision of this Agreement or consent to any departure therefrom by the Borrower or the Servicer shall be effective without the written concurrence of the Administrative Agent and the Required Lenders; (iii) reserved; and (iv) the Administrative Agent and the Borrower shall be permitted to amend any provision of the Transaction Documents (and such amendment shall become effective without any further action or consent of any other party to any Transaction Document) if the Administrative Agent and the Borrower shall have jointly identified an obvious error or any error or omission of a technical or immaterial nature in any such provision. Any waiver or consent shall be effective only in the specific instance and for the specific purpose for which given.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding the provisions of <u>Section</u> <u>10.1(a)</u>, the written consent of all of the Lenders shall be required for any amendment, modification or waiver (i) reducing any Advances Outstanding, or the interest payable pursuant to this Agreement thereon, (ii) postponing any date for any payment of any Advance, or the interest payable pursuant to this Agreement thereon, (iii) modifying the provisions of this <u>Section</u> <u>10.1</u>, or (iv) extending the Maturity Date.

Section 10.2. <u>Notices, etc</u><u>.</u> All notices and other communications hereunder shall, unless otherwise stated herein, be in writing (which shall include facsimile communication and communication by e-mail) and e-mailed or delivered by hand or by overnight courier, to each party hereto, at its address set forth below:

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| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; If to Borrower: | BLKM VI, LLC<br> 600 Third Avenue<br> 21st Floor<br> New York, New York 10016<br> Attention: Marc Fox<br> Telephone No: [\*\*\*]<br> Email: [\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; With a copy to: | Polsinelli<br> 1201 W Peachtree St NW, Ste. 1100<br> Atlanta, Georgia 30309<br> Attn: Joshua F. Reif<br> Telephone No: [\*\*\*]<br> Email: [\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; If to Lender: | ConnectOne Bank<br> 275 Broadhollow Road<br> Melville, New York 11747<br> Attention: Kirk Lloyd<br> Telephone No: [\*\*\*]<br> Email: [\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; With a copy to: | Forchelli Deegan Terrana LLP<br> 333 Earle Ovington Blvd., Suite 1010<br> Uniondale, New York 11553<br> Attention: James C. Ricca<br> Telephone No: [\*\*\*]<br> Email: [\*\*\*] |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; If to Account Bank: | ConnectOne Bank<br> 275 Broadhollow Road<br> Melville, New York 11747<br> Attention: Kirk Lloyd<br> Telephone No: [\*\*\*]<br> Email: [\*\*\*] |

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or at such other address as shall be designated by such party in a written notice to the other parties hereto. Notices and communications by e-mail shall be effective when sent (and shall be followed by hard copy sent by regular mail), and notices and communications sent by other means (e.g. by hand or overnight courier) shall be effective when received.

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Section 10.3. <u>No Waiver; Remedies</u>. Neither any failure nor any delay on the part of the Administrative Agent, the Collateral Custodian or any Lender in insisting upon strict performance of any term, condition, covenant or agreement, or exercising any right, power, remedy or privilege under this Agreement, the Note, the Custodial Agreement or the other Transaction Documents, or any other instrument given as security therefor, shall operate as or constitute a waiver thereof, nor shall a single or partial exercise thereof preclude any other future exercise, or the exercise of any other right, power, remedy or privilege. In particular, and not by way of limitation, by accepting payment after the due date of any amount payable under this Agreement, the Note, the Custodial Agreement or the other Transaction Documents, none of the Administrative Agent, the Collateral Custodian or any Lender shall be deemed to have waived any right either to require prompt payment when due of all other amounts due under this Agreement, the Note, the Custodial Agreement and the other Transaction Documents, or to declare a default for failure to effect prompt payment of any such other amount.

Section 10.4. <u>Binding Effect; Assignability</u>. (a) This Agreement shall be binding upon and inure to the benefit of the Borrower, the Administrative Agent, the Guarantor, each Lender, the Account Bank and their respective successors and permitted assigns. Each Lender and their respective successors and assigns may assign, or grant a security interest or sell a participation interest in, (i) this Agreement and such Lender's rights and obligations hereunder and interest herein in whole or in part (including by way of the sale of participation interests therein) and/or (ii) any Advance (or portion thereof) or any Note (or any portion thereof) to any Person that is a Permitted Assignee, in each case with the consent of the Administrative Agent. Any such assignee shall execute and deliver to the Borrower and the Administrative Agent a fully-executed Transferee Letter substantially in the form of <u>Exhibit I</u> hereto (a "<u>Transferee Letter</u>") and a fully-executed Joinder Supplement. Neither the Borrower nor the Guarantor may assign or transfer, or permit any Lien to exist upon, any of its rights or obligations hereunder (including, with respect to the Guarantor, under the Guaranty contained herein) or under any Transaction Document, or any interest herein or in any Transaction Document, without the prior written consent of the Administrative Agent after receipt of certain documents, legal opinions, corporate resolutions or other information reasonably requested by the Administrative Agent in relation to such assignment or transfer, which, in each case, may be withheld by the Administrative Agent in the exercise of its sole discretion. For the avoidance of doubt, any permitted assignment or transfer by the Guarantor in accordance with this Agreement will include, in full, the assignment or transfer of the Guaranty herein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding any other provision of this <u>Section</u> <u>10.4</u>, any Lender may at any time pledge or grant a security interest in all or any portion of its rights (including rights to payment of principal and interest) under this Agreement to secure obligations of such Lender to a Federal Reserve Bank, without notice to or consent of the Borrower or the Administrative Agent; *provided* that, no such pledge or grant of a security interest shall release such Lender from any of its obligations hereunder, or substitute any such pledgee or grantee for such Lender as a party hereto.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Affected Party and each Indemnified Party shall be an express third party beneficiary of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Administrative Agent, acting solely for this purpose as an agent of the Borrower, shall maintain at one of its offices a copy of each Transferee Letter delivered to it and a register for the recordation of the names and addresses of the Lenders, and the Commitments of, and principal amounts (and stated interest) of the Advances and any other amounts owing to, each Lender pursuant to the terms hereof from time to time (the "<u>Register</u>"). The entries in the Register shall be conclusive absent manifest error, and the Borrower, the Administrative Agent and the Lenders may treat each Person whose name is recorded in the Register pursuant to the terms hereof as a Lender hereunder for all purposes of this Agreement. The Register shall be available for inspection by the Borrower and any Lender, at any reasonable time and from time to time upon reasonable prior notice.

Section 10.5. <u>Term of This Agreement</u>. This Agreement, including the Borrower's representations and covenants set forth in <u>Article IV</u> and <u>Article V</u>, shall remain in full force and effect until the Collection Date; *provided* that, the rights and remedies with respect to any breach of any representation and warranty made or deemed made by the Borrower pursuant to <u>Article IV</u> and the provisions of <u>Section</u> <u>10.7</u>, <u>Section</u> <u>10.8</u>, <u>Section</u> <u>10.9</u> and <u>Section</u> <u>10.23</u> shall be continuing and shall survive any termination of this Agreement.

Section 10.6. <u>GOVERNING LAW; JURY WAIVER</u>. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK. EACH OF THE PARTIES HERETO WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR INDIRECTLY OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR ANY OF THE TRANSACTIONS CONTEMPLATED HEREUNDER.

Section 10.7. <u>Costs, Expenses and Taxes</u>. (a) In addition to the rights of indemnification granted to the Account Bank, the Administrative Agent, the Lenders and their respective Affiliates under <u>Section</u> <u>10.23</u> hereof, the Borrower agrees to pay on demand all reasonable and documented out-of-pocket costs and expenses of the Administrative Agent, the Lenders and the Account Bank and incurred in connection with the preparation, execution, delivery, administration (including periodic auditing), syndication, renewal, amendment or modification of, any waiver or consent issued in connection with, this Agreement, the Transaction Documents and the other documents to be delivered hereunder or in connection herewith, including the fees and reasonable and documented out-of-pocket expenses of counsel for the Administrative Agent, the Lenders and the Account Bank with respect thereto and with respect to advising the Administrative Agent, the Lenders and the Account Bank as to their respective rights and remedies under this Agreement and the other documents to be delivered hereunder or in connection herewith, and all out-of-pocket costs and expenses, if any (including counsel fees and expenses), incurred by the Administrative Agent, the Lenders or the Account Bank in connection with the enforcement or potential enforcement of this Agreement or any Transaction Document by such Person and the other documents to be delivered hereunder or in connection herewith.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Borrower shall pay on demand any and all stamp, sales, excise and other Taxes (excluding Taxes imposed on or measured by net income) and fees payable or determined to be payable to any Governmental Authority in connection with the execution, delivery, filing and recording of this Agreement, the other Transaction Documents or any other document providing liquidity support, credit enhancement or other similar support to the Lender in connection with this Agreement or the funding or maintenance of Advances hereunder.

Section 10.8. <u>No Proceedings</u>. Each of the parties hereto agree that it will not institute against, or join any other Person in instituting against, the Borrower any proceedings of the type referred to in the definition of "Bankruptcy Event" so long as there shall not have elapsed one (1) year and one (1) day (or such longer preference period as shall then be in effect) since the Collection Date.

Section 10.9. <u>Recourse Against Certain Parties</u>. (a) No recourse under or with respect to any obligation, covenant or agreement (including the payment of any fees or any other obligations) of the Administrative Agent, the Lenders or any Secured Party as contained in this Agreement or any other agreement, instrument or document entered into by the Administrative Agent, the Lenders or any Secured Party pursuant hereto or in connection herewith shall be had against any administrator of the Lenders or any Secured Party or any incorporator, affiliate, stockholder, officer, employee or director of the Administrative Agent, the Lenders or any Secured Party or of any such administrator, as such, by the enforcement of any assessment or by any legal or equitable proceeding, by virtue of any statute or otherwise; it being expressly agreed and understood that the agreements of each party hereto contained in this Agreement and all of the other agreements, instruments and documents entered into by the Administrative Agent, the Lenders or any Secured Party pursuant hereto or in connection herewith are, in each case, solely the corporate obligations of such party (and nothing in this <u>Section</u> <u>10.9</u> shall be construed to diminish in any way such corporate obligations of such party), and that no personal liability whatsoever shall attach to or be incurred by any administrator of the Administrative Agent, the Lenders or any Secured Party or any incorporator, stockholder, affiliate, officer, employee or director of the Administrative Agent, the Lenders or of any such administrator, as such, or any of them, under or by reason of any of the obligations, covenants or agreements of the Administrative Agent, the Lenders or any Secured Party contained in this Agreement or in any other such instruments, documents or agreements, or are implied therefrom, and that any and all personal liability of every such administrator of the Administrative Agent, the Lenders or any Secured Party and each incorporator, stockholder, affiliate, officer, employee or director of the Administrative Agent, the Lenders or any Secured Party or of any such administrator, or any of them, for breaches by the Administrative Agent, the Lenders or any Secured Party of any such obligations, covenants or agreements, which liability may arise either at common law or in equity, by statute or constitution, or otherwise, is hereby expressly waived as a condition of and in consideration for the execution of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Notwithstanding any contrary provision set forth herein, no claim may be made by the Borrower or any other Person against the Administrative Agent, the Lenders or any Secured Party or their respective Affiliates, directors, officers, employees, attorneys or agents for any special, indirect, consequential or punitive damages in respect to any claim for breach of contract or any other theory of liability arising out of or related to the transactions contemplated by this Agreement, or any act, omission or event occurring in connection therewith; and the Borrower hereby waives, releases, and agrees not to sue upon any claim for any such damages, whether or not accrued and whether or not known or suspected.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) No obligation or liability to any Obligor under any of the Collateral is intended to be assumed by the Administrative Agent, the Lenders or any Secured Party under or as a result of this Agreement and the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The provisions of this <u>Section</u> <u>10.9</u> shall survive the termination of this Agreement.

Section 10.10. <u>Execution in Counterparts; Severability; Integration</u>. This Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute one and the same agreement. Delivery of an executed counterpart of a signature page to this Agreement by e-mail in portable document format (.pdf) or facsimile shall be effective as delivery of a manually executed counterpart of this Agreement. In the event that any provision in or obligation under this Agreement shall be invalid, illegal or unenforceable in any jurisdiction, the validity, legality and enforceability of the remaining provisions or obligations, or of such provision or obligation in any other jurisdiction, shall not in any way be affected or impaired thereby. This Agreement and any agreements or letters executed in connection herewith contains the final and complete integration of all prior expressions by the parties hereto with respect to the subject matter hereof and shall constitute the entire agreement among the parties hereto with respect to the subject matter hereof, superseding all prior oral or written understandings other than any engagement letter delivered by the Servicer to the Administrative Agent and the Lenders.

Section 10.11. <u>Consent to Jurisdiction; Service of Process</u>. (a) Each party hereto hereby irrevocably submits to the non-exclusive jurisdiction of any New York State or federal court sitting in New York City in any action or proceeding arising out of or relating to the Transaction Documents, and each party hereto hereby irrevocably agrees that all claims in respect of such action or proceeding may be heard and determined in such New York State court or, to the extent permitted by law, in such federal court. The parties hereto hereby irrevocably waive, to the fullest extent they may effectively do so, the defense of an inconvenient forum to the maintenance of such action or proceeding. The parties hereto agree that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Borrower agrees that service of process may be effected by mailing a copy thereof by registered or certified mail, postage prepaid, to the Borrower at its address specified in <u>Section</u> <u>10.2</u> or at such other address as the Administrative Agent shall have been notified in accordance herewith. Nothing in this <u>Section</u> <u>10.11</u> shall affect the right of the Lenders or the Administrative Agent to serve legal process in any other manner permitted by law.

Section 10.12. <u>Confidentiality</u>. (a) Each of the Administrative Agent, the Lenders, the Borrower and the Account Bank shall maintain and shall cause each of its employees, directors, agents, attorneys, accounts, other professional advisors and officers to maintain the confidentiality of this Agreement, the Collateral, the Obligors and all information with respect to the other parties,

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including all information regarding the business of the Borrower hereto and their respective businesses obtained by it or them in connection with the structuring, negotiating and execution of the transactions contemplated herein, except that each such party and its officers and employees may (i) disclose such information to its external accountants, investigators, auditors, attorneys or other agents, including any valuation firm engaged by such party in connection with any due diligence or comparable activities with respect to the transactions and Loans contemplated herein and the agents of such Persons ("<u>Excepted Persons</u>"); *provided* that, except as provided in <u>clause (c)</u> below, each Excepted Person shall, as a condition to any such disclosure, agree for the benefit of the Administrative Agent, the Lenders, the Borrower and the Account Bank that such information shall be used solely in connection with such Excepted Person's evaluation of, or relationship with, the Borrower and its affiliates, (ii) disclose the existence of the Agreement, but not the financial terms thereof, (iii) disclose such information as is required by Applicable Law, and (iv) disclose the Agreement and such information in any suit, action, proceeding or investigation (whether in law or in equity or pursuant to arbitration) involving any of the Transaction Documents for the purpose of defending itself, reducing its liability, or protecting or exercising any of its claims, rights, remedies, or interests under or in connection with any of the Transaction Documents. It is understood that the financial terms that may not be disclosed except in compliance with this <u>Section</u> <u>10.12(a)</u> include all fees and other pricing terms, and all Events of Default, Servicer Removal Events, and priority of payment provisions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Anything herein to the contrary notwithstanding, but subject to the last sentence of <u>clause (a)</u> above, the Borrower hereby consent to the disclosure of any nonpublic information with respect to it (i) to the Administrative Agent, the Lenders or the Account Bank by each other, or (ii) by the Administrative Agent, the Lenders and the Account Bank to any prospective or actual assignee or participant of any of them provided such Person agrees to hold such information confidential in accordance with the terms of this Agreement, and to any officers, directors, employees, outside accountants and attorneys of any of the foregoing, provided each such Person is informed of the confidential nature of such information. In addition, the Administrative Agent, the Lenders and the Account Bank may disclose any such nonpublic information as required pursuant to any law, rule, regulation, direction, request or order of any judicial, administrative or regulatory authority or proceedings (whether or not having the force or effect of law).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything herein to the contrary, but subject to the last sentence of <u>clause (a)</u> above, the foregoing shall not be construed to prohibit: (i) disclosure of any and all information that is or becomes publicly known; (ii) disclosure of any and all information (1) if required to do so by any applicable statute, law, rule or regulation, (2) to any government agency or regulatory body having or claiming authority to regulate or oversee any aspects of the Administrative Agent's, the Lenders', the Account Bank's or the Collateral Custodian's business or that of their affiliates, (3) pursuant to any subpoena, civil investigative demand or similar demand or request of any court, regulatory authority, arbitrator or arbitration to which the Administrative Agent, the Lenders, the Collateral Custodian or the Account Bank or an officer, director, employer, shareholder or affiliate of any of the foregoing is a party, (4) in any preliminary or final offering circular, registration statement or contract or other document approved in advance by the Borrower and the Administrative Agent, or (5) to any affiliate, independent or internal auditor, agent, employee or attorney of the Collateral Custodian having a need to know the same; *provided* that, the disclosing party advises such recipient of the confidential nature of the information being disclosed; or (iii) any other disclosure authorized by the Borrower, the Servicer and the Administrative Agent.

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Section 10.13. <u>Non-Confidentiality of Tax Treatment</u>. All parties hereto agree that each of them and each of their employees, representatives, and other agents may disclose to any and all Persons, without limitation of any kind, the tax treatment and tax structure of the transaction and all materials of any kind (including, without limitation, opinions or other tax analyses) that are provided to any of them relating to such tax treatment and tax structure. "Tax treatment" and "tax structure" shall have the same meaning as such terms have for purposes of Treasury Regulation Section 1.6011-4; *provided* that, with respect to any document or similar item that in either case contains information concerning the tax treatment or tax structure of the transaction as well as other information, the provisions of this <u>Section</u> <u>10.13</u> shall only apply to such portions of the document or similar item that relate to the tax treatment or tax structure of the transactions contemplated hereby.

Section 10.14. <u>Waiver of Set Off</u>. Each of the parties hereto hereby waives any right of setoff it may have or to which it may be entitled under this Agreement from time to time against the Administrative Agent, the Lenders or their respective assets.

Section 10.15. <u>Waiver of Notice</u>. Borrower shall not be entitled to any notices of any nature whatsoever from the Administrative Agent except (a) with respect to matters for which this Agreement specifically and expressly provides for the giving of notice by the Administrative Agent to Borrower and (b) with respect to matters for which Administrative Agent is required by Applicable Law to give notice, and Borrower hereby expressly waives the right to receive any notice from the Administrative Agent with respect to any matter for which this Agreement does not specifically and expressly provide for the giving of notice by the Administrative Agent to Borrower.

Section 10.16. <u>Headings and Exhibits</u>. The headings herein are for purposes of references only and shall not otherwise affect the meaning or interpretation of any provision hereof. The schedules and exhibits attached hereto and referred to herein shall constitute a part of this Agreement and are incorporated into this Agreement for all purposes.

Section 10.17. <u>Ratable Payments</u>. If any Lender, whether by setoff or otherwise, shall obtain any payment (whether voluntary, involuntary, through the exercise of any right of setoff, or otherwise) on account of Advances owing to it in excess of its ratable share of payments on account of the Advances obtained by all the Lenders, such Lender shall forthwith purchase from the other Lenders such participations in the Advances owing to them as shall be necessary to cause such purchasing Lender to share the excess payment ratably with each of them; *provided* that, if all or any portion of such excess payment is thereafter recovered from such purchasing Lender, such purchase from each Lender shall be rescinded and such Lender shall repay to the purchasing Lender the purchase price to the extent of such recovery together with an amount equal to such Lender's ratable share (according to the proportion of (a) the amount of such Lender's required repayment to (b) the total amount so recovered from the purchasing Lender) of any interest or other amount paid or payable by the purchasing Lender in respect of the total amount so recovered.

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Section 10.18. <u>Failure of Borrower to Perform Certain Obligations</u>. If the Borrower fails to perform any of its agreements, covenants or obligations under <u>Section</u> <u>5.1(l)</u> or <u>Section</u> <u>5.1(p)</u>,<u> </u>the Administrative Agent may (but shall not be required to) itself perform, or cause performance of, such agreement or obligation, and the expenses of the Administrative Agent incurred in connection therewith shall be payable by the Borrower upon the Administrative Agent's demand therefor.

Section 10.19. <u>Power of Attorney</u>. The Borrower irrevocably authorizes the Administrative Agent and appoints the Administrative Agent as its attorney-in-fact to act on behalf of the Borrower (a) to file financing statements necessary or desirable in the Administrative Agent's sole discretion to perfect and to maintain the perfection and priority of the interest of the Secured Parties in the Collateral and (b) to file a carbon, photographic or other reproduction of this Agreement or any financing statement with respect to the Collateral as a financing statement in such offices as the Administrative Agent in its sole discretion deems necessary or desirable to perfect and to maintain the perfection and priority of the interests of the Secured Parties in the Collateral. This appointment is coupled with an interest and is irrevocable.

Section 10.20. <u>Delivery of Termination Statements, Releases, etc</u><u>.</u> Upon payment in full of all of the Obligations (other than unmatured contingent indemnification obligations) and the termination of this Agreement, the Administrative Agent shall deliver to the Borrower termination statements, reconveyances, releases and other documents necessary or appropriate to evidence the termination of the Grant pursuant to the Granting Clause and other Liens securing the Obligations, all at the expense of the Borrower.

Section 10.21. <u>Non-Petition</u>. (a) Each of the parties hereto (other than the Administrative Agent and the Lenders) hereby agrees for the benefit of the Borrower, the Administrative Agent and the Lenders that it will not institute, or cause to be instituted, against, or join any other Person in instituting against, the Borrower any Bankruptcy Proceeding so long as there shall not have elapsed one (1) year and one (1) day since the payment in full of all Borrower Obligations and all Indebtedness incurred herein. The Borrower shall file a timely objection to, and promptly and timely move to dismiss and diligently prosecute such objection and/or motion to dismiss, any Bankruptcy Proceeding commenced by any Person in violation of this <u>Section</u> <u>10.21(a)</u>. The Borrower hereby expressly consents to, and agrees not to raise any objection in respect of, each of the Administrative Agent and the Lender having creditor derivative standing in any Bankruptcy Proceeding to enforce each and every covenant contained in this <u>Section</u> <u>10.21(a)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of the Borrower, the Servicer and the Guarantor further agrees that (i) a breach of any of their respective covenants contained in <u>Section</u> <u>10.21(a)</u> will cause irreparable injury to the Administrative Agent and the Lenders, (ii) the Administrative Agent and the Lenders have no adequate remedy at law in respect of such breach, and (iii) each and every covenant contained in <u>Section</u> <u>10.21(a)</u> shall be specifically enforceable against the Borrower, the Servicer and the Guarantor, and each of the Borrower, the Servicer and the Guarantor hereby waives and agrees not to object, or assert any defenses to an action for specific performance, or injunction in respect of any breach of such covenants.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Borrower hereby irrevocably appoints the Administrative Agent its true and lawful attorney (with full power of substitution) in its name, place and stead and at its expense, in connection with the enforcement of the covenants provided for in this <u>Section</u> <u>10.21</u>, including without limitation the following powers (i) to object to and seek to dismiss any Bankruptcy Proceeding relating to a Bankruptcy Event described in clause (i) of the definition thereof and (ii) all powers and rights incidental thereto. This appointment is coupled with an interest and is irrevocable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Nothing in this <u>Section</u> <u>10.21</u> shall preclude, or be deemed to estop, the Administrative Agent or any Lender (i) from taking any action prior to the expiration of the aforementioned period in (1) any case or proceeding voluntarily filed or commenced by (2) any involuntary bankruptcy, reorganization, arrangement, insolvency, moratorium or liquidation proceeding instituted by a Person other than the Administrative Agent or any Lender and which the Administrative Agent or any Lender did not join in the institution of, or (ii) from commencing against the Borrower or any of their respective properties any legal action which is not a Bankruptcy Proceeding.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The provisions of this <u>Section</u> <u>10.21</u> shall survive the termination of this Agreement.

Section 10.22. <u>Attorney</u><u>'</u><u>s Fees and Expenses</u>. Borrower agrees to pay all costs, expenses, fees (including attorneys' fees), and disbursements incurred by the Administrative Agent or the Lenders (a) in all efforts made to enforce payment of the Indebtedness or effect collection of any Collateral, (b) in connection with entering into, modifying, amending, and enforcing this Agreement or any consents or waivers hereunder and all related agreements, documents and instruments, (c) in maintaining, storing, or preserving any Collateral, or in instituting, enforcing and foreclosing on the Administrative Agent's security interest on behalf of the Secured Parties in any Collateral or possession of any premises containing any Collateral, whether through judicial proceedings or otherwise, (d) in defending or prosecuting any actions or proceedings arising out of or relating to the Administrative Agent's or the Lenders' transactions with Borrower, or (e) in connection with any advice given to the Administrative Agents or any Lender with respect to its rights and obligations under this Agreement and all related agreements. Expenses being reimbursed by Borrower under this section include costs and expenses incurred in connection with: (i) appraisals and insurance reviews; (ii) environmental examinations and reports; (iii) field examinations and the preparation of reports based thereon; (iv) the fees charged by a third party retained by the Administrative Agents or any Lender or the internally allocated fees for each Person employed by the Administrative Agents or any Lender with respect to each field examination; (v) background checks regarding senior management and/or key investors, as deemed necessary or appropriate in the sole discretion of the Administrative Agent; (vi) Taxes, fees and other charges for (1) lien and title searches and title insurance and (2) the recording of any mortgages, filing of any financing statements and continuations, and other actions to perfect, protect, and continue the Administrative Agent's security interests on behalf of the Secured Parties; (vii) solely during the continuance of an Event of Default and in accordance with the terms of this Agreement, sums paid or incurred to take any action required of Borrower under the Transaction Documents or Loan Documents that Borrower fails to pay or take; and (viii) forwarding loan proceeds, collecting checks and other items of payment, and costs and expenses of preserving and protecting the Collateral.

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Section 10.23. <u>Indemnification</u>. Borrower shall indemnify and hold harmless the Account Bank, the Administrative Agent, the Lenders and their respective Affiliates, officers, directors, employees or agents or any subsequent holder of the Note, and all those claiming by, through or under Lender (each an "<u>Indemnified Party</u>") from and against any and all claims, actions and suits whether groundless or otherwise, and from and against any and all liabilities, losses, damages and expenses of every nature and character arising out of this Agreement or any of the other Transaction Documents or the transactions contemplated hereby ("<u>Damages</u>") including, without limitation (a) any actual or proposed use by Borrower of the proceeds of the Advances, (b) Borrower entering into or performing this Agreement or any of the other Transaction Documents, or (c) with respect to Borrower and its respective properties and assets, the violation of any Applicable Law, in each case including, without limitation, the reasonable fees and disbursements of external counsel incurred in connection with any such investigation, litigation or other proceeding; *provided however* that, no Indemnified Party shall be entitled to indemnification if a court of competent jurisdiction finally determines (all appeals having been exhausted or waived) that such Indemnified Party acted in bad faith, with willful misconduct, in gross negligence, as finally determined by a court of competent jurisdiction. In litigation, or the preparation therefor, each Lender shall be entitled to select its own counsel and, in addition to the foregoing indemnity, Borrower agrees to pay promptly the reasonable fees and expenses of such counsel. If, and to the extent that the obligations of Borrower under this <u>Section</u> <u>10.23</u> are unenforceable for any reason, Borrower hereby agrees to make the maximum contribution to the payment in satisfaction of such obligations which is permissible under Applicable Law. The provisions of this 0 shall survive the repayment of all Obligations and the termination of the obligations of each Lender hereunder.

Section 10.24. <u>Reserved</u>.

Section 10.25. <u>Reserved</u>.

Section 10.26. <u>Sole Discretion of the Administrative Agent</u>. Wherever pursuant to this Agreement (a) the Administrative Agent exercises any right given to it to approve or disapprove, (b) any arrangement or term is to be satisfactory to the Administrative Agent, or (c) any other decision or determination is to be made by the Administrative Agent, the decision to approve or disapprove all decisions that arrangements or terms are satisfactory or not satisfactory, and all other decisions and determinations made by the Administrative Agent, shall be in the sole discretion of the Administrative Agent, except as may be otherwise expressly and specifically provided herein.

Section 10.27. <u>No Joint Venture or Partnership</u>. (a) The Borrower, the Administrative Agent and each Lender intend that the relationships created under this Agreement and the other Transaction Documents be solely that of Borrower, the Administrative Agent and each Lender. Nothing herein or therein is intended to create a joint venture, partnership, tenancy-in-common, or joint tenancy relationship between Borrower, the Administrative or any Lender nor to grant the Lenders any interest in the Collateral other than that of the Administrative Agent.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) This Agreement and the other Transaction Documents are solely for the benefit of the Administrative Agent, the Lenders and Borrower and nothing contained in this Agreement or the other Transaction Documents shall be deemed to confer upon anyone other than the Administrative Agent, the Lenders and Borrower any right to insist upon or to enforce the performance or observance of any of the obligations contained herein or therein. All conditions to the obligations of the Lenders to consummate the transaction contemplated hereunder are imposed solely and exclusively for the benefit of the Lenders and no other Person shall have standing to require satisfaction of such conditions in accordance with their terms or be entitled to assume that Lenders will refuse to consummate the transaction contemplated hereunder in the absence of strict compliance with any or all thereof and no other Person shall under any circumstances be deemed to be a beneficiary of such conditions, any or all of which may be freely waived in whole or in part by a Lender if, in such Lender's sole discretion, such Lender deems it advisable or desirable to do so.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The members, principals and beneficial owners of the Borrower are experienced in the ownership and operation of properties similar to the Collateral, and Borrower and each Lender are relying solely upon such expertise and business plan in connection with the ownership and operation of the Collateral. Borrower is not relying on any Lender's expertise, business acumen or advice in connection with the Collateral.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything to the contrary contained herein, no Lender is undertaking the performance of (i) any obligations related to the Collateral or (ii) any obligations with respect to any agreements, contracts, certificates, instruments, franchises, permits, trademarks, licenses and other documents to which the Borrower and/or the Collateral (or any portion thereof) is subject.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) By accepting or approving anything required to be observed, performed or fulfilled or to be given to the Administrative Agent or any Lender pursuant to this Agreement and the other Transaction Documents, including, without limitation, any officer's certificate, balance sheet, statement of profit and loss or other financial statement, survey, appraisal, or insurance policy, neither any Lender nor the Administrative Agent shall be deemed to have warranted, consented to, or affirmed the sufficiency, the legality or effectiveness of same, and such acceptance or approval thereof shall not constitute any warranty or affirmation with respect thereto by such Lender or the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Borrower recognizes and acknowledges that in accepting this Agreement and the other Loan Documents, each Lender and the Administrative Agent is expressly and primarily relying on the truth and accuracy of the representations and warranties set forth in <u>Article IV</u> of this Agreement without any obligation to investigate and notwithstanding any investigation by any Lender or the Administrative Agent; that such reliance existed on the part of such Lender and the Administrative Agent prior to the date hereof, that the warranties and representations are a material inducement to each Lender and the Administrative Agent in consummating the transaction contemplated hereunder; and that neither any Lender nor the Administrative Agent would be willing to consummate the transaction contemplated hereunder and accept the this Agreement or the other Transaction Documents in the absence of the warranties and representations as set forth in <u>Article IV</u> of this Agreement.

Section 10.28. <u>[Reserved]</u>.

Section 10.29. <u>Marshalling and Other Matters</u>. Borrower hereby waives, to the extent permitted by Applicable Law, the benefit of all appraisement, valuation, stay, extension, reinstatement and redemption laws now or hereafter in force and all rights of marshalling in the event of any sale under this Agreement of the Collateral or any part thereof or any interest therein.

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Section 10.30. <u>Patriot Act</u>. Each Lender hereby notifies the Borrower and the Guarantor that pursuant to the requirements of the Patriot Act, it is required to obtain, verify and record information that identifies the Borrower and the Guarantor, which information includes the name and address of the Borrower and the Guarantor and other information that will allow such Lender to identify the Borrower in accordance with the Patriot Act. The Borrower and the Guarantor shall, and shall cause each of its Subsidiaries, if any, to, provide to the extent commercially reasonable, such information and take such actions as are reasonably requested by any Lender in order to assist such Lender in maintaining compliance with the Patriot Act.

**ARTICLE XI** 

**SERVICING AND COLLATERAL ASSIGNMENT OF SERVICING CONTRACT** 

Section 11.1. <u>Servicing</u>. (a) Notwithstanding anything to the contrary contained herein or in any other Transaction Document, this Article shall apply to the servicing of all Eligible Loans.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The servicing, administering and collection of the Eligible Loans hereunder and under the Servicing Contract shall be conducted by the Person so designated from time to time as Servicer in accordance with this <u>Section</u> <u>11.1</u>. Each of the Borrower, the Administrative Agent and the Lenders hereby appoints as its agent the Servicer, from time to time designated pursuant to this Section, to enforce its respective rights and interests in and under the Eligible Loans. To the extent permitted by Applicable Law, each of the Borrower and the Initial Servicer (to the extent not then acting as Servicer hereunder) hereby grants to any Servicer appointed hereunder an irrevocable power of attorney to take any and all steps as necessary or desirable, in the reasonable determination of the Servicer, to collect all amounts due under any and all Eligible Loans, including endorsing the Borrower's and/or the Initial Servicer's name on checks and other instruments representing Collections and enforcing such Eligible Loans and to take all such other actions set forth in this <u>Article XI</u>. Until the Administrative Agent gives notice to the Servicer (in accordance with this <u>Section</u> <u>11.1(b)</u>) of the designation of a new Servicer, the Initial Servicer is hereby designated as, hereby agrees to perform the duties and obligations of, the Servicer pursuant to the terms hereof and makes as to itself for the benefit of the Administrative Agent and the Lenders each of the representations and warranties set forth, and on the dates specified, in <u>Article IV</u> and <u>Article V</u> hereof *mutatis mutandis*. Upon either (i) prior written notice to the Initial Servicer or (ii) the occurrence of a Servicer Removal Event or an Event of Default, the Administrative Agent may designate as Servicer any Person (including itself) to succeed the Initial Servicer or any successor Servicer, on the condition in each case that any such Person so designated shall agree to perform the duties and obligations of the Servicer pursuant to the terms hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Upon the designation of a successor Servicer as set forth above, the Initial Servicer agrees that it will terminate its activities as Servicer hereunder and under the Servicing Contract in a manner which the Administrative Agent determines will facilitate the transition of the performance of such activities to the new Servicer, and the Initial Servicer shall cooperate with and assist such new Servicer. Such cooperation shall include access to and transfer of records and use by the new Servicer of all records, licenses, hardware or software necessary or desirable to collect the Eligible Loans.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Initial Servicer acknowledges that the Borrower, the Administrative Agent and the Lenders have relied on the Initial Servicer's agreement to act as Servicer hereunder in making their decision to execute and deliver this Agreement. Accordingly, the Initial Servicer agrees that it will not voluntarily resign as Servicer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) The Servicer may not delegate any of its rights, duties or obligations hereunder, or designate a substitute Servicer, without the prior written consent of the Administrative Agent; *provided* that, the Servicer shall continue to remain solely liable for the performance of the duties as Servicer hereunder notwithstanding any such delegation hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Servicer shall service the Eligible Loans on behalf of Borrower pursuant to the terms of this Agreement and the Servicing Contract. The Servicing Contract shall contain provisions which are consistent with this <u>Article XI</u> and must otherwise be in form and substance satisfactory to Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Notwithstanding anything to the contrary contained herein or in any other Transaction Document, the only amount payable to Servicer as compensation for its role as servicer or otherwise shall be the Servicing Fee and reimbursement for Servicing Expenses, each of which shall be payable solely in accordance with this Agreement and the Servicing Contract. The Servicer shall be solely responsible for the payment, from Servicer's own funds, of all other fees and expenses, which shall not be payable under this Agreement or the other Transaction Documents.

Section 11.2. <u>Assignment</u>. (a) The Borrower hereby acknowledges that its Grant of a security interest hereunder includes all of the Borrower's estate, right, title and interest in, to and under (i) the Servicing Contract including the right to give all notices, consents and releases thereunder, the right to take any legal action upon the breach of an obligation of the Servicer thereunder, including the commencement, conduct and consummation of proceedings at law or in equity, the right to receive all notices, accountings, consents, releases and statements thereunder and the right to do any and all other things whatsoever that the Borrower is or may be entitled to do thereunder and (ii) the Loan Documents related to each Eligible Loan, including all other agreements, documents and instruments evidencing, securing or guaranteeing any Eligible Loan and all other agreements, documents and instruments related to any of the foregoing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The assignment made hereby is executed as collateral security, and the execution and delivery hereby shall not in any way impair or diminish the obligations of the Borrower or the Servicer under the provisions of the Servicing Contract or the Loan Documents, nor shall any of the obligations contained in the Servicing Contract, the Loan Documents or such other documents be imposed on the Administrative Agent. Upon the occurrence of the Collection Date, this assignment and all rights herein assigned to the Administrative Agent for the benefit of the Secured Parties shall cease and terminate and all the estate, right, title and interest of the Administrative Agent in, to and under the Servicing Contract, the Loan Documents and the other documents referred to in this <u>Section</u> <u>11.2</u> shall revert to the Borrower and the Servicer, as applicable, and no further instrument or act shall be necessary to evidence such termination and reversion.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The Borrower represents that it has not executed any other assignment of the Servicing Contract or Loan Documents. The Borrower agrees that this assignment is irrevocable until the Collection Date, and that it will not take any action which is inconsistent with this assignment or make any other assignment inconsistent herewith. The Borrower will, from time to time, execute all instruments of further assurance and all such supplemental instruments with respect to this assignment as may be necessary to continue and maintain the effectiveness of such assignment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The Borrower hereby agrees: (i) it consents to the provisions of this assignment and agree to perform any provisions of this Agreement applicable to the Servicer; (ii) it acknowledges that the Borrower is collaterally assigning all of its right, title and interest in, to and under the Servicing Contract to the Administrative Agent for the benefit of the Secured Parties; (iii) it shall deliver to the Administrative Agent copies of all notices, statements, communications and instruments delivered or required to be delivered by or to it pursuant to the Servicing Contract; and (iv) it shall not enter into any agreement amending, modifying or terminating the Servicing Contract without complying with the applicable terms of this Agreement.

**ARTICLE XII** 

**GUARANTY** 

Section 12.1. <u>Guaranty</u>. In consideration of the willingness of the Lenders to make the Loan to Borrower, and for other good and valuable consideration, receipt of which is hereby acknowledged by Guarantor, Guarantor does hereby irrevocably and unconditionally guarantee the due and punctual payment when due, and performance of the Guarantied Obligations to each Lender. The guaranty set forth in this <u>Article XII</u> and the other provisions set forth in this Article are referred to herein as the "<u>Guaranty</u>."

Without limiting the generality of the foregoing, Guarantor's liability shall extend to all amounts that constitute part of the Guarantied Obligations that would be owed by Borrower under or in respect of the Transaction Documents but for the fact that they are unenforceable or not allowable due to the existence of a bankruptcy, reorganization or similar proceeding involving Borrower.

Guarantor and, by its acceptance of this Guaranty, each Lender hereby confirms that it is the intention of all such persons that this Guaranty and the obligations of Guarantor hereunder not constitute a fraudulent transfer or conveyance for purposes of any Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the Uniform Fraudulent Transfer Act or any similar foreign, federal or state law to the extent applicable to this Guaranty and the obligations of Guarantor hereunder. To effectuate the foregoing intention, each Lender and Guarantor hereby irrevocably agree that the obligations of Guarantor under this Guaranty at any time shall be limited to the maximum amount as will result in the obligations of Guarantor under this Guaranty not constituting a fraudulent transfer or conveyance.

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Section 12.2. <u>Failure to Pay and Perform Guarantied Obligations; Insolvency of Guarantor</u>. Upon failure by Borrower punctually to pay or perform any Guarantied Obligation when due, Guarantor binds and obligates itself to make the payment or performance of such Guarantied Obligation. Guarantor further agrees, as the principal obligor and not as a surety only, to pay to the Administrative Agent, on demand, all costs and expenses (including court costs and reasonable attorneys' fees and expenses) incurred or expended by the Administrative Agent or any Lender in connection with the Guarantied Obligations, this Guaranty and the enforcement thereof, together with interest on amounts recoverable under this Guaranty from the time such amounts become due until payment, at the rate *per annum* equal to the Default Rate. Such costs shall include any reasonable costs and expenses of the Administrative Agent or any Lender (or a third party designated any by such party) if the Administrative Agent, in its sole and absolute discretion, elects to exercise its rights under the Transaction Documents after an Event of Default to take control of and perform and pay the Guarantied Obligations (or cause a third party to perform and pay the Guarantied Obligations).

Section 12.3. <u>Waiver of Demands, Notices, Diligence, etc</u><u>.</u> Guarantor hereby assents to all of the terms and conditions of the Guarantied Obligations and waives: (a) demand for the payment of the principal of any Guarantied Obligation or of any claim for interest or any part of any thereof; (b) notice of the occurrence of a default or an event of default under any Guarantied Obligation; (c) protest of the nonpayment of the principal of any Guarantied Obligation or of any claim for interest or any part thereof; (d) notice of presentment, demand and protest; (e) notice of acceptance of any guaranty herein provided for or of the terms and provisions thereof or hereof by the Administrative Agent or any Lender; (f) notice of any indulgences or extensions granted to Borrower or any successor to Borrower or any person or party which shall have assumed the obligations of Borrower; (g) any requirement of diligence or promptness on the part of the Administrative Agent or any Lender in the enforcement of any of its rights under the provisions of any Guarantied Obligation or this Guaranty; (h) any enforcement of any Guarantied Obligation; (i) any right which Guarantor might have to require the Administrative Agent or any Lender to proceed against any other guarantor of the Guarantied Obligations or to realize on any collateral security therefor; and (j) any and all notices of every kind and description which may be required to be given by any statute or rule of law in any jurisdiction. Guarantor acknowledges and agrees that neither the Administrative Agent nor any Lender has any obligation to marshal any assets in favor of Guarantor, or against or in payment of (i) any of the Guaranteed Obligations or (ii) any other obligation owed to the Administrative Agent or any Lender by Guarantor, Borrower or any other Person.

Section 12.4. <u>Obligations of Guarantor Unconditional</u>. The obligations of Guarantor under this Guaranty shall be unconditional, irrespective of the validity, regularity or enforceability of any Guarantied Obligation, and shall not be affected by any action taken under any Guarantied Obligation in the exercise of any right or remedy therein conferred, or by any failure or omission on the part of the Administrative Agent to enforce any right given thereunder or hereunder or any remedy conferred thereby or hereby, or by any waiver of any term, covenant, agreement or condition of any Guarantied Obligation or this Guaranty, or by any release of any security or any other guaranty at any time existing for the benefit of any Guarantied Obligation or any other obligation of Borrower to the Administrative Agent or any Lender under the Transaction Documents, or by any action of the Administrative Agent or any Lender granting indulgence or extension to, or waiving or acquiescing in any default by, Borrower or any successor to Borrower

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or any person or party which shall have assumed its obligations, or by reason of any disability or other defense of Borrower or any successor to Borrower, it being the purpose and intent of Guarantor that the obligations of Guarantor hereunder shall be absolute and unconditional under any and all circumstances and shall not be discharged except by payment or performance as herein provided, and then only to the extent of such payment or performance. This Guaranty is an absolute, unconditional and continuing guaranty of the full and punctual payment and performance of the Guarantied Obligations and not of their collectability only.

Section 12.5. <u>Representations and Warranties of Guarantor</u>. Guarantor makes the following representations and warranties which shall survive the execution and delivery of this Guaranty and this Agreement (and each substitute Guarantor shall make and/or reaffirm the same):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Guarantor: (i) is a duly organized and validly existing limited liability company in good standing under the laws of the state of its organization with its principal place of business at 600 Third Avenue, 21st Floor, New York, New York 10016; (ii) has the power and authority to own its properties and to carry on its business as being conducted on the date hereof; and (iii) is duly qualified as an entity to transact business and is in good standing in every jurisdiction in which the ownership of property or the nature of the business conducted by it makes such qualification necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor has the power and authority to execute, deliver and carry out the terms and provisions of this Agreement applicable to it and the other Transaction Documents to which it is a party and has taken all necessary action (including, without limitation, any consent of managers or members required by law, by its Constituent Documents or otherwise) to authorize the execution, delivery and performance hereof and the consummation of the transactions contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Neither the execution and delivery of this Agreement or the other Transaction Documents to which it is a party, nor the consummation of any of the transactions contemplated hereby or thereby nor compliance by Guarantor with any of the terms and provisions hereof or thereof will conflict with, or result in a breach of any of the terms, conditions or provisions of, or constitute a default under, or result in any violation of, or result in the creation of any lien upon any of the properties or assets of Guarantor pursuant to its Constituent Documents or any Applicable Law, statute, rule, regulation or award of any arbitrator or any agreement, instrument, order, judgment or decree to which Guarantor is a party or to which it or its properties are subject or by which they may be bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Neither the execution and delivery of this Agreement or the other Transaction Documents to which it is a party, nor the consummation of any of the transactions contemplated hereby or thereby requires any consent, approval or authorization of, or filing, recording, registration or qualification by Guarantor with, any court or governmental or administrative body or authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Guarantor has duly executed and delivered each of the Transaction Documents to which it is a party, and each of such Transaction Documents constitutes its legal, valid and binding obligation enforceable against it in accordance with the respective terms thereof, subject to bankruptcy, insolvency and similar laws of general application affecting the rights and remedies of creditors and, with respect to the availability of the remedies of specific enforcement, subject to the discretion of the court before which any proceeding therefor may be brought.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) There are no actions, suits or proceedings pending or threatened against Guarantor before any court or any governmental, administrative, regulatory, adjudicatory or arbitrational body or agency of any kind which, if decided adversely, could reasonably be expected to adversely affect performance by Guarantor of such Guarantor's obligations pursuant to and as contemplated by the terms and provisions of this Guaranty and this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Guarantor has independently and based on such documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into the Transaction Documents to which it is a party. This Guaranty is not made in reliance on any representation or warranty, express or implied, by the Administrative Agent or any Lender concerning the financial condition of Borrower, the nature, value or extent of any security for the Guarantied Obligations, or any other matter. Guarantor warrants that it has full knowledge of the financial condition of Borrower and agrees that it will continue to be fully cognizant of Borrower's financial condition until all Guarantied Obligations are finally paid in full in cash, and neither the Administrative Agent nor any Lender has any obligation to advise Guarantor of any information relating to Borrower's financial condition or otherwise relating to Borrower or any of the Guarantied Obligations or any security therefor or guaranty thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Guarantor will receive substantial direct and indirect benefits from the financial accommodations extended by the Administrative Agent or any Lender to Borrower, and the agreements and waivers set forth in this Guaranty and in this Agreement are knowingly made in contemplation of such benefits.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) A true, complete and correct copy of the limited liability company agreement creating Guarantor and any amendments thereto, the certificate of formation and all other documents creating and governing Guarantor (collectively, the "<u>Guarantor Formation Documents</u>") have been furnished to Administrative Agent. The Guarantor Formation Documents constitute the entire agreement among the members of Guarantor and are binding upon and enforceable against each of the members in accordance with their terms. There are no other agreements, oral or written, among any of the members with respect to Guarantor. No breach exists under any of the Guarantor Formation Documents and no condition exists which, with the giving of notice or the passage of time would constitute a breach under any of the Guarantor Formation Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The balance sheet of Guarantor (and, if applicable, Guarantor's respective Subsidiaries, on a consolidated basis) as of each Statement Date, and the related statements of income, and cash flows for the fiscal period ended on each Statement Date, furnished to the Administrative Agent, fairly present the financial condition of Guarantor (and, if applicable, Guarantor's Subsidiaries) as at that Statement Date and the results of its operations for the fiscal period ended on that Statement Date. Guarantor had, on each Statement Date, no known material liabilities, direct or indirect, fixed or contingent, matured or unmatured, or liabilities for taxes, long-term leases or unusual forward or long-term commitments not disclosed by, or reserved against in, those financial statements, and, at the present time, there are no material unrealized or anticipated losses from any loans, advances or other commitments of Guarantor except as

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previously disclosed to the Administrative Agent in writing. Those financial statements were prepared in accordance with GAAP applied on a consistent basis throughout the periods involved. Since the Closing Date, there has been no material adverse change in the business, operations, assets or financial condition of Guarantor (and, if applicable, Guarantor's Subsidiaries), nor is Guarantor aware of any state of facts that (with or without notice or lapse of time or both) is reasonably likely to result in any such material adverse change. All schedules and reports furnished by Guarantor to the Administrative Agent, including, without limitation, schedules of contingent liabilities and off balance sheet transactions, were materially true, accurate and complete, and did not omit any information necessary in order to make any provided information not misleading in any material respect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) To the best of Guarantor's knowledge, neither this Agreement, any other Transaction Document to which Guarantor is a party, nor any documents, financial statements, reports, notices, schedules, certificates, statements or other writings (other than any such materials which were subsequently updated or corrected) furnished by or on behalf of Guarantor to the Administrative Agent in connection with the negotiation of this Agreement or other Transaction Documents or the consummation of the transactions contemplated hereby, or required herein or by the other Transaction Documents to be furnished by or on behalf of Guarantor, with respect to the Guarantor, contains any untrue or misleading statement of a material fact or omits a material fact necessary to make the statements herein or therein not misleading; there is no fact which Guarantor has not disclosed to the Administrative Agent in writing which materially and adversely affects Guarantor, or the ability of Guarantor to perform its obligations under this Agreement and the other Transaction Documents to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) As of the date of this Agreement, Guarantor's obligations under this Guaranty are not subject to any offsets or defenses against Administrative Agent or Lender of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) Guarantor and any person owning Guarantor: (i) is not currently identified on the list of specially designated nationals and blocked persons subject to financial sanctions that is maintained by the U.S. Treasury Department, Office of Foreign Assets Control (currently is accessible through the internet website at www.treas.gov/ofac/t11sdn.pdf.) or any other similar list maintained by the U.S. Treasury Department, Office of Foreign Assets Control pursuant to any Legal Requirements (or if such list does not exist, the similar list then being maintained by the United States), including trade embargo, economic sanctions, or other prohibitions imposed by Executive Order of the President of the United States; (ii) is not subject to any trade restriction, trade embargo, economic sanction, or other prohibition under federal law, including the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701 *et seq*., The Trading with the Enemy Act, 50 U.S.C. App. 1 *et seq*., and any executive orders or regulations promulgated thereunder; and (iii) is not in violation of Executive Order No. 13224 on Terrorist Financing, effective September 24, 2001, and relating to Blocking Mortgaged Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism and the Uniting and Strengthening America by Providing Appropriate Tools Required in Intercept and Obstruct Terrorism Act of 2001 (Public Law 107-56), with the result that (1) the investment in Borrower (whether directly or indirectly) is prohibited by law or (2) any loan is in compliance with (A) the Trading with the Enemy Act, as amended, and each of the Foreign Assets Control Regulations, (B) the Patriot Act and (C) any other enabling legislation or executive order relating to the foregoing.

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Section 12.6. <u>Waiver of Rights of Subrogation</u>. Guarantor hereby waives, until the Obligations have been satisfied or paid in full, any claim, right or remedy which Guarantor may now have or hereafter acquire against Borrower that arises hereunder and/or from the performance by Guarantor hereunder including, without limitation, any claim, remedy or right of subrogation, reimbursement, exoneration, indemnification, or participation in any claim, right or remedy of the Administrative Agent or any Lender against Borrower on any security which the Administrative Agent or any Lender (directly or indirectly) now has or hereafter acquires, whether or not such claim, right or remedy arises in equity, under contract, by statute, under common law or otherwise.

Section 12.7. <u>Reinstatement</u>. This Guaranty shall continue to be effective, or be reinstated, as the case may be, if at any time any amount received by the Administrative Agent or any Lender in respect of the Guarantied Obligations is held to constitute a preference, fraudulent transfer or otherwise voidable payment under any bankruptcy or insolvency law, is rescinded or must otherwise be restored or returned by the Administrative Agent or any Lender upon the insolvency, bankruptcy, dissolution, liquidation or reorganization of Borrower or Guarantor upon the appointment of an intervenor or conservator of, or trustee or similar official for, Borrower or Guarantor or any substantial part of any of their respective properties, or otherwise, all as though said payments had not been made.

Section 12.8. <u>Financial Statements</u>. (a) Guarantor (i) shall keep and maintain complete and accurate books and records and (ii) shall permit the Administrative Agent and any authorized representatives of the Administrative Agent 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 the Administrative Agent, upon the Administrative Agent's reasonable request, such proofs of payments, costs, expenses, revenues and earnings, and other documentation, as the Administrative Agent may reasonably request, from time to time, and with such other information, in such detail as may be reasonably requested by the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor agrees to provide to the Administrative Agent, within sixty (60) days after the end of each of the first three (3) Calendar Quarters of the Guarantor's fiscal year, and within one hundred twenty (120) days after the end of the last Calendar Quarter of the Guarantor's fiscal year, a Compliance Certificate executed by a Responsible Officer of the Guarantor substantially in the form of <u>Exhibit M</u>.

Section 12.9. <u>Financial Covenants</u>. (a) Unless otherwise agreed to by the Administrative Agent in writing in its sole discretion, the Guarantor agrees to comply with the following financial covenants at all times during the term of this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Commencing with the fiscal quarter ending June 30, 2027, Guarantor shall maintain, as of the last day of any fiscal quarter following the Closing Date, unrestricted and unencumbered Liquid Assets in an amount not less than $20,000,000.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Commencing with the first full fiscal quarter ending June 30, 2027, and during the Loan Term thereafter, the Guarantor shall maintain a Total Net Worth equal to not less than the greater of: (a) seventy percent (70%) of the aggregate net cash proceeds advanced by Lender under the Loan as of such date, or (b) One Hundred Million and 00/100 Dollars ($100,000,000.00). The Guarantor shall deliver a quarterly certification Lender, within thirty (30) to ninety (90) days after the end of each fiscal quarter of the Guarantor (the "Quarterly Net Worth Certificate") and the Guarantor's 10-K annual filing within one-hundred twenty (120) days of Guarantor's fiscal year end, certifying and evidencing, in form and substance reasonably satisfactory to Lender, that the Guarantor maintains, as of the last day of such fiscal quarter, a Total Net Worth equal to not less than the greater of: (a) seventy percent (70%) of the aggregate net cash proceeds advanced by Lender under the Loan as of such date, or (b) One Hundred Million and 00/100 Dollars ($100,000,000.00). Each Quarterly Net Worth Certificate shall include a reasonably detailed statement of assets and liabilities of the Guarantor. In addition, Guarantor shall furnish such financial reports as Lender may reasonably request from time to time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Commencing with the fiscal quarter ending June 30, 2027, Guarantor shall maintain, as of the last day of any fiscal quarter following the Closing Date, a Leverage Ratio no greater than 4.50 to 1.00.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Commencing with the fiscal quarter ending June 30, 2027, Guarantor shall maintain an Interest Coverage Ratio of at least 1.25 to 1.00, calculated as of the last day of any fiscal quarter following the Closing Date using the results of the twelve-month period ending on such day; provided that, if Guarantor fails to comply with the covenant set forth in this <u>Section</u> <u>12.9(a)(iv)</u>, then Guarantor shall have the right to have such covenant failure waived with the consent of the Administrative Agent by maintaining $30,000,000 of unrestricted and unencumbered Liquid Assets within thirty (30) days after the end of the fiscal quarter that the covenant set forth in this <u>Section</u> <u>12.9(a)(iv)</u> was not met and Guarantor and its consolidated Subsidiaries shall thereafter maintain such liquidity at all time until such time as the covenant set forth in this <u>Section</u> <u>12.9(a)(iv)</u> has been met (and to the extent requested by the Administrative Agent, Guarantor must present evidence of the maintenance of such liquidity from time to time).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If Guarantor fails to comply with the requirements of any financial covenant set forth in this <u>Section</u> <u>12.9</u> (each, a "<u>Financial Covenant</u>" and, collectively, the "<u>Financial Covenants</u>"), then from and after the date that is the earlier of (x) the date that Guarantor obtains actual knowledge of such failure to comply and delivers a notice thereof to Administrative Agent and (y) the date that Administrative Agent notifies Guarantor of such failure to comply (such earlier date, the "<u>Cure Trigger Commencement Date</u>") until the date that is the earlier of (A) the date that is 30 days after the Cure Trigger Commencement Date and (B) the date that is ten (10) Business Days following the date that the financial statements were required to be delivered for the relevant period pursuant to this Agreement, as the case may be (such period, the "<u>Cure Period</u>"), Guarantor shall have the right (the "<u>Cure Right</u>") to give irrevocable written notice to Administrative Agent of its intent to receive cash capital contributions from its equityholder(s) in an amount that, if applied in the manner described in <u>clause (C)</u> below for the relevant testing period, would have been sufficient to cause compliance with the Financial Covenants for such period (an "<u>Equity Cure</u>"); provided that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Guarantor shall not be entitled to exercise the Equity Cure any more than five times prior to the Maturity Date and in each four consecutive fiscal quarters, there shall be at least two fiscal quarters in which no Equity Cure shall have been made;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) No Default or Event of Default with solely with respect to the applicable Financial Covenant shall be deemed to exist pursuant to the applicable Financial Covenant subject to such cure (and any such Default or Event of Default shall be retroactively considered not to have existed or occurred) during the Cure Period (<u>provided</u> that, if the Equity Cure is not consummated within the Cure Period, each such Default or Event of Default shall be deemed to have occurred);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) The cash amount received by Guarantor or its Subsidiaries pursuant to exercise of the right to make an Equity Cure shall be:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. in the case of a failure to comply with the Total Net Worth, Leverage Ratio and Interest Coverage Ratio
Financial Covenants set forth in <u>Sections 12.9(a)(ii)</u>, <u>(iii)</u> and <u>(iv)</u>, applied to increase the Total Net Worth of Guarantor by means of an increase in cash and Cash Equivalents on the balance sheet of Guarantor, which increase
shall be deemed to have occurred on the last day of the applicable fiscal quarter for which such Equity Cure is being made; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. in the case of a failure to comply with the Liquid Assets Financial Covenant set forth in <u>Section</u> <u>12.9(a)(i)</u>, added to Liquid Assets in the calculation thereof solely to the extent constituting unrestricted cash and Cash Equivalents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) any Equity Cure pursuant to <u>clause (C)(a)</u> or clause (C)(b) above shall only be taken into account for purposes of calculating compliance with the Financial Covenants (and not for any other use of Total Net Worth, leverage ratio, or Liquid Assets under this Agreement or any other Loan Document) and shall be included in each Financial Covenant as set forth in <u>clauses (A)</u>, <u>(B)</u>, <u>(C)(a)</u> and <u>(C)(b)</u> above, in all instances for purposes of determining whether there has been a failure to comply with such Financial Covenant; and (v) the amount of any Equity Cure shall be no more than the amount required to cause Guarantor to be in pro forma compliance with the applicable Financial Covenant for which the Equity Cure is being made pursuant to <u>clause (C)(a)</u> or <u>clause (C)(b)</u> above, as applicable (and Guarantor shall deliver an updated and duly executed compliance certificate (as contemplated in the Repurchase Agreement) evidencing such pro forma compliance).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Notwithstanding anything in this Agreement to the contrary, following the delivery by Guarantor of a written notice to Administrative Agent of its intent to exercise the Cure Right (x) Administrative Agent shall not be permitted to exercise any rights then available as a result of an Event of Default under this <u>Section</u> <u>12.9</u> on the basis of a breach of any of the Financial Covenants until the expiration of the Cure Period so as to enable Guarantor to consummate its Cure Right as permitted under this <u>Section</u> <u>12.9(b)</u> and (y) for the avoidance of doubt, if an Event of Default would have occurred and be continuing had Guarantor not had the option to exercise the Cure Right as set forth in <u>clause (A)</u> above and not exercised such Cure Right pursuant to the foregoing provisions, Administrative Agent shall not be required, from the date such Event of Default would have occurred until the date such Event of Default is cured in accordance with the terms of <u>clause (i)</u> above (or waived in accordance with the terms of this Agreement), to make any Advance under this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything to the contrary contained herein, to the extent that the Borrower has elected to cure a default of Section 12.9(a)(iv) hereof pursuant to the terms of the proviso to such Section, the Borrower shall not also be permitted to exercise the Cure Right in accordance with the term hereof.

Section 12.10. <u>Guarantor Covenants</u>. (a) Guarantor shall not (i) declare or pay any dividends or otherwise declare or make any distribution to Guarantor's members (including any purchase or redemption of its membership interests) if Guarantor is or would be in breach under any of the financial covenants set forth in <u>Section</u> <u>12.9</u> above as a result of such dividend or distribution, or (ii) assume, guarantee, endorse, or otherwise become contingently liable for the obligation of any Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor agrees that its obligations under this Guaranty and this Agreement shall not be subject to any counterclaims, offsets or defenses against Administrative Agent or any Lender of any kind which may arise in the future.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) [Reserved].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Guarantor (i) shall preserve and keep in full force and effect its existence, entity status, franchises, rights and privileges under the laws of its state of formation; (ii) shall not wind up, liquidate, dissolve, reorganize, merge, or consolidate with or into, or convey, sell, assign, transfer, lease or otherwise dispose of all or substantially all of its assets; (iii) shall not amend or terminate or permit the amendment or termination of the Guarantor Formation Documents without providing prior written notice to the Administrative Agent; and (iv) shall not change its name, identity, or organizational structure, the location of its chief executive office or place of business or its state of organization without providing prior written notice to the Administrative Agent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Inspection of Properties and Books; Operational Reviews</u>. (i) Permit the Administrative Agent (and its authorized representatives) to discuss the business, operations, assets and financial condition of the Guarantor with their respective officers, agents and employees, and to examine and make copies or extracts of Guarantor's books of account, records and other documentation and information all at such reasonable times and at the Guarantor's cost and expense.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Provide its accountants with a copy of this Agreement promptly after its execution and authorize and instruct them to answer candidly, at Guarantor's cost and expense, all questions that the officers of the Administrative Agent or any authorized representatives of the Administrative Agent may address to them in reference to the financial condition or affairs of the Guarantor. As long as no Default or Event of Default has occurred and is continuing with respect to Borrower or the Guarantor, (1) the Administrative Agent shall provide the Guarantor with advance notice of any such inquiry to Guarantor's accountants and (2) the Administrative Agent may only exercise the foregoing rights once during each one (1) consecutive twelve (12) month period.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Guarantor may have its representatives in attendance at any meetings held between the officers or other representatives of the Administrative Agent and Guarantor's accountants under this authorization.

Section 12.11. <u>Guarantor Events of Default</u>. Upon the occurrence of any of the following events, the Administrative Agent may, without notice to Borrower or Guarantor, declare any or all of the Guarantied Obligations, whether or not then due, immediately due and payable by Borrower and Guarantor under this Agreement, and the Administrative Agent shall be entitled to all available remedies under the Transaction Documents, at law or in equity as a result thereof (each a "<u>Guarantor Event of Default</u>"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the occurrence of an Event of Default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor fails to perform any of its obligations under this Guaranty, this Agreement or any agreement under which security is given herefor or any other breach of a covenant of this Guaranty or this Agreement occurs, or this Guaranty or this Agreement is revoked or terminated by Guarantor, or any representation or warranty made or given by Guarantor to the Administrative Agent proves to be false or misleading in any material respect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the making by Guarantor of any assignment for the benefit of creditors, or a trustee or receiver being appointed for Guarantor or for any property of Guarantor, or Guarantor becoming insolvent or the subject of any Bankruptcy Proceeding and, in the case of such a proceeding being commenced against Guarantor, such proceeding is not dismissed within thirty (30) days following the commencement date thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the occurrence of a default which, in the commercially reasonable judgment of the Administrative Agent, could result in a Material Adverse Effect and which continues beyond any applicable notice and cure periods under any documents evidencing or securing or otherwise pertaining to any indebtedness of Guarantor for borrowed money; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Guarantor sells, assigns, conveys, transfers or otherwise disposes of or leases all or substantially all of Guarantor's assets without the prior written consent of the Administrative Agent.

Section 12.12. <u>Further Assurances</u>. Guarantor agrees that promptly after it obtains actual knowledge of any Event of Default by Borrower on any Guarantied Obligation, or of any material change in the financial position or business of Borrower, Guarantor will immediately notify the Administrative Agent of such default, event, circumstance or change.

Section 12.13. <u>Subordination by Guarantor</u>. Guarantor has a significant business interest in Borrower, and the transactions represented by the Transaction Documents will be of material and substantial benefit to Guarantor. Guarantor, to the extent that Guarantor is now or may be a creditor of Borrower, hereby subordinates any and all of Borrower's indebtedness to Guarantor's to all indebtedness of Borrower to the Administrative Agent or any Lender and agrees with the Administrative Agent that Guarantor shall not demand or accept any payment from Borrower on any such indebtedness, and Guarantor further agrees with the Administrative Agent that if any Event of Default exists Guarantor shall not claim any offset or other reduction of Guarantied Obligations because of any such indebtedness and shall not take any action to obtain any of the

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security described in the Transaction Documents; *provided however*, that, if the Administrative Agent so requests, such indebtedness shall be collected, enforced and received by Guarantor as trustee for the Administrative Agent and be paid over to the Administrative Agent on account of the indebtedness of Borrower to the Administrative Agent but without reducing or affecting in any manner the liability of Guarantor under this Guaranty. Nothing contained herein shall be deemed to restrict the right of Guarantor to receive distributions from Borrower.

Section 12.14. <u>Recourse Liability</u>. Guarantor hereby agrees that Guarantor and its assets shall be fully and personally liable with respect to the covenants and agreements of Guarantor under this Guaranty and this Agreement.

Section 12.15. <u>Additional Guaranties</u>. This Guaranty shall be in addition to any other guaranty or other security for any obligations of Borrower under the Transaction Documents, and it shall not be prejudiced or rendered unenforceable by the invalidity of any such other guaranty or security or by any waiver, amendment, release or modification thereof.

Section 12.16. <u>Right of Setoff</u>. Except with respect to any escrow or trust funds being held by Guarantor on behalf of or for the benefit of third parties, the Guarantor hereby irrevocably authorizes the Administrative Agent, without the requirement that any notice be given to Guarantor (such notice being expressly waived), upon the occurrence of any Event of Default, to setoff and appropriate and apply to the payment of the Guarantied Obligations (whether or not then due, and whether or not the Administrative Agent has made any demand for payment of the Guarantied Obligations), and Guarantor hereby Grants to the Administrative Agent a security interest on behalf of the Secured Parties in, any and all balances, claims, credits, deposits (general or special, time or demand, provisional or final), accounts or money of Guarantor then or thereafter maintained with the Administrative Agent. The Administrative Agent agrees to notify Guarantor after any such setoff and application made by the Administrative Agent; provided however, that, the failure to give such notice shall not affect the validity of such setoff and application. The right of the Administrative Agent or any Lender under this <u>Section</u> <u>12.16</u> is in addition to other rights and remedies (including other rights of setoff under Applicable Law or otherwise) which the Administrative Agent or any Lender may have.

**[SIGNATURE PAGES TO FOLLOW]** 

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IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as an instrument under seal of the date first above written.

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| | |
|:---|:---|
| **<u>BORROWER:</u>** | **<u>BORROWER:</u>** |
| **BLKM VI, LLC** | **BLKM VI, LLC** |
|  By: | /s/ Marc Fox |
|  | Name: Marc Fox |
|  | Title: Treasurer |
| **<u>GUARANTOR:</u>** | **<u>GUARANTOR:</u>** |
| **BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST** | **BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST** |
|  By: | /s/ Marc Fox |
|  | Name: Marc Fox |
|  | Title: Treasurer |

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BLKM VI, LLC

Credit Agreement

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| | |
|:---|:---|
| **<u>SERVICER:</u>** | **<u>SERVICER:</u>** |
| **MONTICELLOAM SERVICING LLC** | **MONTICELLOAM SERVICING LLC** |
|  By: | /s/ Thomas Lally |
|  | Name: Thomas Lally |
|  | Title: Vice President |

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BLKM VI, LLC

Credit Agreement

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| | |
|:---|:---|
| **CONNECTONE BANK, as Lender, Administrative Agent and Account Bank** | **CONNECTONE BANK, as Lender, Administrative Agent and Account Bank** |
|  By: | /s/ Kirk Lloyd |
|  | Name: Kirk Lloyd |
|  | Title: Senior Vice President |

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BLKM VI, LLC

Credit Agreement

## Exhibit 10.2

**Exhibit 10.2** 

**CERTAIN INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(B)(10) OF REGULATION S-K, BECAUSE IT IS BOTH NOT MATERIAL AND THE TYPE THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL. IN ADDITION, CERTAIN PERSONALLY IDENTIFIABLE INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(A)(6) OF REGULATION S-K. [\*\*\*] INDICATES THAT INFORMATION HAS BEEN REDACTED.** 

**EXECUTION VERSION** 

**MASTER REPURCHASE AGREEMENT** 

among

**BLKM V, LLC**,

as a Seller,

any Additional Sellers joined hereto from time to time,

and

**NOMURA CORPORATE FUNDING AMERICAS, LLC**,

as Buyer

Dated as of June 4, 2026

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**TABLE OF CONTENTS**

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| | | |
|:---|:---|:---|
|  **SECTION 1.** | **APPLICABILITY; TRANSACTION OVERVIEW** | 1 |
|  **SECTION 2.** | **DEFINITIONS** | 1 |
|  **SECTION 3.** | **NO COMMITMENT; INITIATION; TERMINATION** | 30 |
|  **SECTION 4.** | **MANDATORY REPURCHASES** | 41 |
|  **SECTION 5.** | **INCOME PAYMENTS** | 42 |
|  **SECTION 6.** | **REQUIREMENTS OF LAW** | 43 |
|  **SECTION 7.** | **MARGIN MAINTENANCE** | 44 |
|  **SECTION 8.** | **TAXES** | 44 |
|  **SECTION 9.** | **SECURITY INTEREST; POWER OF ATTORNEY** | 48 |
|  **SECTION 10.** | **PAYMENT, TRANSFER AND REMITTANCE** | 50 |
|  **SECTION 11.** | **HYPOTHECATION OR PLEDGE OF PURCHASED ASSETS** | 51 |
|  **SECTION 12.** | **FEES** | 51 |
|  **SECTION 13.** | **REPRESENTATIONS** | 51 |
|  **SECTION 14.** | **COVENANTS OF SELLERS** | 57 |
|  **SECTION 15.** | **EVENTS OF DEFAULT** | 67 |
|  **SECTION 16.** | **REMEDIES** | 71 |
|  **SECTION 17.** | **INDEMNIFICATION AND EXPENSES** | 73 |
|  **SECTION 18.** | **SERVICING** | 75 |
|  **SECTION 19.** | **RECORDING OF COMMUNICATIONS** | 77 |
|  **SECTION 20.** | **DUE DILIGENCE** | 77 |
|  **SECTION 21.** | **ASSIGNABILITY** | 78 |
|  **SECTION 22.** | **TRANSFER AND MAINTENANCE OF REGISTER** | 79 |
|  **SECTION 23.** | **TAX TREATMENT** | 79 |
|  **SECTION 24.** | **SET-OFF** | 79 |
|  **SECTION 25.** | **TERMINABILITY** | 80 |
|  **SECTION 26.** | **NOTICES AND OTHER COMMUNICATIONS** | 80 |
|  **SECTION 27.** | **ENTIRE AGREEMENT; SEVERABILITY; SINGLE AGREEMENT** | 80 |
|  **SECTION 28.** | **GOVERNING LAW** | 81 |
|  **SECTION 29.** | **SUBMISSION TO JURISDICTION; WAIVERS** | 81 |
|  **SECTION 30.** | **NO WAIVERS, ETC** | 82 |
|  **SECTION 31.** | **NETTING** | 82 |
|  **SECTION 32.** | **CONFIDENTIALITY** | 82 |
|  **SECTION 33.** | **INTENT** | 83 |
|  **SECTION 34.** | **CONFLICTS** | 84 |
|  **SECTION 35.** | **AUTHORIZATIONS** | 84 |
|  **SECTION 36.** | **MISCELLANEOUS** | 84 |
|  **SECTION 37.** | **GENERAL INTERPRETIVE PRINCIPLES** | 85 |

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**TABLE OF CONTENTS**

Schedules and Exhibits

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| | |
|:---|:---|
| SCHEDULE 1 | REPRESENTATIONS AND WARRANTIES RE: PURCHASED ASSETS |
| SCHEDULE 2 | AUTHORIZED REPRESENTATIVES |
| EXHIBIT A | FORM OF CONFIRMATION LETTER |
| EXHIBIT B | SELLERS' AND GUARANTOR TAX IDENTIFICATION NUMBER |
| EXHIBIT C | ASSET SCHEDULE FIELDS |
| EXHIBIT D | DILIGENCE MATERIALS |
| EXHIBIT E | FORM OF SECTION 8 CERTIFICATE |
| EXHIBIT F-1 | FORM OF SELLER POWER OF ATTORNEY |
| EXHIBIT F-2 | FORM OF SERVICER POWER OF ATTORNEY |
| EXHIBIT G | FORM OF SERVICER NOTICE |
| EXHIBIT H | FORM OF ESCROW INSTRUCTION LETTER |
| EXHIBIT I | FORM OF INBOUND BAILEE LETTER |
| EXHIBIT J | FORM OF JOINDER AGREEMENT |

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ii

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**MASTER REPURCHASE AGREEMENT** 

This MASTER REPURCHASE AGREEMENT is entered into as of June 4, 2026, among BLKM V, LLC, a Delaware limited liability company ("<u>Initial Seller</u>"), any Additional Sellers joined hereto from time to time (together with Initial Seller, each, a "<u>Seller</u>" and collectively, "<u>Sellers</u>") and Nomura Corporate Funding Americas, LLC, a Delaware limited liability company (including its successors and assigns, "<u>Buyer</u>").

**Section 1. <u>Applicability; Transaction Overview</u>**. From time to time, upon the terms and conditions set forth herein, the parties hereto may enter into transactions on an uncommitted basis, in which a Seller agrees to transfer to Buyer certain Mortgage Assets against the transfer of funds by Buyer representing the Purchase Price for such Mortgage Assets, with a simultaneous agreement by Buyer to transfer to such Seller such Mortgage Assets against the transfer of funds by such Seller. From time to time, one or more Sellers may request a release of Purchased Assets from Buyer in conjunction with an Optional Repurchase. Each such transaction involving the transfer of Mortgage Assets to Buyer shall be referred to herein as a "Transaction" and, unless otherwise agreed in writing, shall be governed by this Agreement, including any supplemental terms or conditions contained in any annexes identified herein, as applicable hereunder.

This Agreement is not a commitment by Buyer to engage in the Transactions, but sets forth the requirements under which Buyer would consider entering into Transactions as set forth herein. As additional credit enhancement in connection with the Transactions hereunder and as a condition precedent to Buyer entering into the Transactions hereunder, Guarantor shall deliver a guaranty (as specified in the Guaranty) of all Obligations to Buyer.

**Section 2. <u>Definitions</u>**. As used herein, the following terms shall have the following meanings. Any capitalized term used but not defined herein shall have the meaning assigned to such term in the Pricing Side Letter.

"<u>Accelerated Repurchase Date</u>" shall have the meaning set forth in <u>Section</u> <u>16(a)(i</u>) hereof.

"<u>Accepted Servicing Practices</u>" shall mean, (a) with respect to any Mortgage Asset, those procedures (including collection procedures) that are reasonable and customary servicing practices for the same types of mortgage loans, senior notes, mezzanine loans or participation interests, as applicable, as such Mortgage Asset, and which are in accordance with (i) the accepted mortgage servicing practices of prudent servicers of mortgage loans, senior notes, mezzanine loans or participation interests, as applicable, of the same type as such Mortgage Asset in the jurisdiction where the related Mortgaged Property is located, (ii) the terms of the related Asset Documents, (iii) Applicable Laws and (iv) the servicing practices that the applicable Servicer customarily employs and exercises in servicing and administering mortgage loans, senior notes, mezzanine loans or participation interests, as applicable, of the same type as the Mortgage Assets for its own account (to the extent not conflicting with <u>subclauses (i)</u> through <u>(iii)</u> in this <u>clause (a)</u>), or (b) with respect to any of Servicer's obligations under the Servicing Agreement, the "Servicing Standard" or similar definition in accordance with the Servicing Agreement.

"<u>Accrual Day</u>" shall have the meaning set forth in the definition of "Term SOFR" hereof**.**

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"<u>Additional Seller</u>" shall mean any entity joined hereto from time to time as a Seller as approved by Buyer in its sole and absolute discretion. In connection with any joinder of an Additional Seller, Seller shall deliver a Joinder Agreement in substantially the form of <u>Exhibit J</u> attached hereto and such agreements, certificates, opinions and other documentation as are required by Buyer in its sole and absolute discretion.

"<u>Adjusted Principal Balance</u>" shall mean, with respect to any Mortgage Asset, the unpaid principal balance of such Mortgage Asset (without duplication, inclusive of Future Advances solely if such amounts have been disbursed by or on behalf of a Seller to the related Borrower).

"<u>Affiliate</u>" shall mean, with respect to any Person, any "affiliate" of such Person, as such term is defined in the Bankruptcy Code. "<u>Affiliated</u>" shall have the correlative meaning thereto.

"<u>Affiliated Transferor</u>" shall mean, with respect to any Purchased Asset that is transferred to a Seller from any Affiliate thereof, such Affiliate transferor and any prior intervening transferor of such Purchased Asset that is an Affiliate of a Seller.

"<u>Affiliated Transferor Pledge Agreement</u>" shall mean, with respect to each Affiliated Transferor, a pledge agreement from such Affiliated Transferor in favor of Buyer, in form and substance acceptable to Buyer, pursuant to which such Affiliated Transferor pledges in favor of Buyer any right, title and interest that it may have in any Purchased Asset which it has transferred to Seller or any other Affiliate prior to Seller, as the same may be amended, modified and/or restated from time to time, and/or any replacement agreement.

"<u>Affiliated Transferor Pledge Agreement Requirements</u>" shall mean, with respect to each Affiliated Transferor Pledgor, each of the following: (i) approval of such Affiliated Transferor Pledgor by Buyer in its sole discretion, (ii) delivery to Buyer of an Affiliated Transferor Pledge Agreement duly executed by each of the parties thereto; (iii) delivery of a power of attorney from such Affiliated Transferor Pledgor in the form required by the Affiliated Transferor Pledge Agreement, (iv) receipt of satisfactory UCC searches, (v) the recordation of an Affiliated Transferor Pledgor Financing Statement in the appropriate filing jurisdiction; (vi) with respect to the Affiliated Transferor Pledgor and Affiliated Transferor Pledge Agreement, delivery to Buyer of opinions of outside counsel in form and substance reasonably acceptable to Buyer (including, but not limited to, those relating to corporate matters, enforceability, applicability of the Investment Company Act of 1940, security interests and Bankruptcy Code safe harbors); and (vii) delivery to Buyer of a good standing certificate dated within ten (10) Business Days prior to the related Purchase Date, certified true, correct and complete copies of organizational documents and certified true, correct and complete copies of resolutions (or similar authority documents) with respect to the execution, delivery and performance of the Affiliated Transferor Pledge Agreement and each other document to be delivered by such Affiliated Transferor Pledgor from time to time in connection therewith. The Affiliated Transferor Pledge Agreement Requirements may be deemed satisfied with respect to a Purchased Asset if the applicable Affiliated Transferor Pledgor previously delivered an Affiliated Transferor Pledge Agreement with respect to which all Affiliated Transferor Pledge Agreement Requirements were satisfied and such Affiliated Transferor Pledge Agreement remains in effect and covers the transfer of such Purchased Asset.

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"<u>Affiliated Transferor Pledgor</u>" shall mean, individually or collectively, any Affiliated Transferor that delivers an Affiliated Transferor Pledge Agreement and its successors-in-interest.

"<u>Affiliated Transferor Pledgor Financing Statement</u>" shall mean, with respect to any Affiliated Transferor Pledgor, a UCC financing statement in appropriate form for filing in the jurisdiction of formation of such Affiliated Transferor Pledgor and naming such Affiliated Transferor Pledgor as "Debtor" and Buyer as "Secured Party" and describing as "Collateral" all of the items set forth in the definition of Pledged Collateral in the applicable Affiliated Transferor Pledge Agreement.

"<u>Aggregate Facility Repurchase Price</u>" shall mean, as of any date of determination, the sum of the Repurchase Prices (excluding from the definition of Repurchase Price any amounts calculated pursuant to clause (B) of such definition) of all Purchased Assets.

"<u>Agreement</u>" shall mean this Master Repurchase Agreement between Buyer and Sellers, dated as of the date hereof, as the same may be amended, restated, supplemented or otherwise modified in accordance with the terms hereof.

"<u>Amortization Period</u>" shall have the meaning set forth in the Pricing Side Letter.

"<u>Anti-Corruption Laws</u>" shall mean all applicable anti-corruption or anti-bribery laws, including the U.S. Foreign Corrupt Practices Act of 1977, as amended (including its books-and-records and internal accounting controls provisions), and any similar applicable anti-corruption laws.

"<u>Anti-Money Laundering Laws</u>" shall mean all applicable anti-money laundering and counter-terrorist financing statutes and regulations, including the U.S. Bank Secrecy Act (31 U.S.C. § 5311 et seq.) and its implementing regulations at 31 C.F.R. Chapter X (including customer identification program and customer due diligence/beneficial ownership requirements), and any related guidelines of applicable Governmental Authorities.

"<u>Applicable Law</u>" shall mean all applicable provisions of constitutions, laws, statutes, ordinances, rules, treaties, regulations, permits, licenses, approvals, interpretations and orders of courts or Governmental Authorities and all orders and decrees of all courts and arbitrators including, without limitation, the Anti-Corruption Laws, the Anti-Money Laundering Laws and the Privacy Laws.

"<u>Appraisal</u>" shall mean, with respect to any Mortgaged Property, the "as-is" or "as-stabilized" independent appraisal of the fair market value thereof by an Approved Appraisal Firm and, solely with respect to the assumptions and analysis contained in such Appraisal and the form of such Appraisal, otherwise in form and substance acceptable to Buyer in its good faith discretion obtained in accordance with customary and usual business practices, applicable Requirements of Law, the Uniform Standards of Professional Appraisal Practice of the Appraisal Foundation and Title 11 of the Financial Institutions Reform, Recovery and Enforcement Act of 1989. For purposes of this definition, an "<u>Approved Appraisal Firm</u>" shall mean an appraisal firm acceptable to Buyer in its sole discretion, in each case, that (a) holds a Member Appraisal Institute designation, (b) is licensed or certified under the laws of the state where the applicable Mortgaged Property is located, (c) has no interest, direct or indirect, in the Mortgaged Property and (d) whose

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compensation is not affected by the approval or disapproval of the related Mortgage Asset; <u>provided</u>, that (i) Cushman & Wakefield, (ii) Colliers, (iii) Newmark, (iv) CBRE, (v) JLL and (vi) BBG are acceptable to Buyer, unless approval is withdrawn by Buyer in writing, so long as they satisfy the conditions set forth in the preceding <u>clauses (a)</u> through <u>(d)</u>.

"<u>Asset Documents</u>" shall mean, with respect to any Purchased Asset, the documentation governing such Mortgage Asset and all ancillary documents related thereto, including, without limitation, the documents comprising the Asset File for such Mortgage Asset.

"<u>Asset File</u>" shall have the meaning specified in the Custodial Agreement.

"<u>Asset Manager</u>" shall mean MonticelloAM, LLC, a Delaware limited liability company.

"<u>Asset Schedule</u>" shall mean with respect to any Transaction and all Transactions, as applicable, as of any date, an asset schedule in the form of a computer tape or other electronic medium (including an Excel spreadsheet) generated by Sellers and delivered to Buyer and Custodian, which provides information (including, without limitation, the information set forth on <u>Exhibit C</u> attached hereto) relating to the Mortgage Assets in a format reasonably acceptable to Buyer.

"<u>Asset Schedule and Exception Report</u>" shall have the meaning specified in the Custodial Agreement.

"<u>Asset Value</u>" shall mean, on any date of determination, for each Purchased Asset, an amount equal to the product of (i) the applicable Purchase Price Percentage with respect to such Purchased Asset, (ii) the Market Value of such Purchased Asset (expressed as a percentage of par) and (iii) the Adjusted Principal Balance of such Purchased Asset.

"<u>Assignment and Acceptance</u>" shall have the meaning set forth in <u>Section</u> <u>21(a</u>) hereof.

"<u>Authorized Representative</u>" shall mean, for the purposes of this Agreement only, an agent or Responsible Officer of a Seller Party or Buyer, as applicable, listed on <u>Schedule 2</u> hereto, as such <u>Schedule 2</u> may be amended from time to time.

"<u>Availability Period</u>" shall have the meaning specified in the Pricing Side Letter.

"<u>Backup Servicer</u>" shall mean (i) Situs Asset Management LLC, or (ii) another backup servicer approved by Buyer in its sole discretion.

"<u>Backup Servicer Notice</u>" shall mean, with respect to any Backup Servicer, a servicer notice that is entered into by such Backup Servicer, Buyer and the applicable Seller(s), in each case, which shall be substantially in the form of <u>Exhibit G</u> hereto, as the same may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Backup Servicer Termination Event</u>" shall mean, with respect to any Backup Servicer: (a) the occurrence of a material breach or default or an event of default or similar occurrence under the applicable Backup Servicing Agreement, (b) a material breach of the related Backup Servicer Notice or other Facility Document to which it is a party or (c) such Backup Servicer shall become the subject of an Insolvency Event.

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"<u>Backup Servicing Agreement</u>" shall mean a servicing agreement and/or asset management agreement entered into among Seller(s) and Backup Servicer, as approved by Buyer and of which Buyer shall be an intended third-party beneficiary pursuant to a Servicer Notice, and as each may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Bailee</u>" shall mean, with respect to any Wet-Ink Mortgage Asset, a law firm or other bailee appointed to hold the related Asset File on the related Purchase Date and which has delivered an Inbound Bailee Letter agreeing to, among other things, hold such Asset File for the benefit of Buyer and deliver the same to Custodian on or before the Wet-Ink Delivery Date and which has been approved by Buyer in its reasonable discretion. Unless approval is withdrawn by Buyer in writing, each of the following shall be deemed approved by Buyer to serve as a Bailee for all purposes hereunder: (i) Polsinelli PC, (ii) Blank Rome LLP, (iii) Baker, Donelson, Bearman, Caldwell & Berkowitz, PC, (iv) Bradley Arant Boult Cummings LLP, (v) Goldberg Kohn, Ltd., (vi) Williams Mullen, (vii) Sheppard Mullin, (viii) Carlton Fields, P.A., (ix) VedderPrice, (x) Reed Smith LLP, and (xi) Akerman LLP.

"<u>Bank</u>" shall mean The Huntington National Bank and any other bank approved in writing by Buyer in its sole discretion.

"<u>Bankruptcy Code</u>" shall mean the United States Bankruptcy Code of 1978, as amended from time to time.

"<u>Benchmark</u>" shall mean, with respect to any date of determination, Term SOFR or a Benchmark Replacement Rate (determined as provided in <u>Section</u> <u>3(f</u>) hereof). For each Pricing Rate Period, the applicable Benchmark rate shall be determined as of the related Pricing Rate Determination Date.

"<u>Benchmark Administration Changes</u>" shall mean, with respect to the Benchmark (including any Benchmark Replacement Rate), any technical, administrative or operational changes (including without limitation changes to the timing and frequency of determining rates and making payments of interest, length of lookback periods, and other administrative matters) as may be appropriate, in the sole discretion of Buyer, to reflect the adoption and implementation of such Benchmark and to permit the administration thereof by Buyer in a manner substantially consistent with market practice (or, if Buyer determines that adoption of any portion of such market practice is not administratively feasible or that no market practice for the administration of such Benchmark exists, in such other manner of administration as Buyer decides is reasonably necessary in connection with the administration of this Agreement and the other Facility Documents).

"<u>Benchmark Replacement Rate</u>" shall mean a rate determined by Buyer in accordance with <u>Section</u> <u>3(f)</u> hereof.

"<u>Borrower</u>" shall mean the obligor or obligors on a Promissory Note, including any Person who has assumed or guaranteed the obligations of the obligor thereunder, and (i) in the case of a Mortgage Loan, the grantor of the related Mortgage or, (ii) in the case of a Mezzanine Loan, the pledgor of equity interests in entities that own, directly or indirectly, the collateral for a related Mortgage Loan.

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"<u>BOV</u>" shall mean, with respect to any Mortgage Asset, a broker's opinion of value of the "as-is" or "as-stabilized" fair market value thereof by an Approved Broker and, solely with respect to the assumptions and analysis contained in such BOV and the form of such BOV, otherwise in form and substance acceptable to Buyer in its good faith discretion. For the purpose of this definition, "<u>Approved Broker</u>" shall mean a commercial real estate broker acceptable to Buyer in its sole discretion, in each case, that (a) is licensed as a commercial real estate broker under the laws of the jurisdiction where the related Mortgaged Property is located, (b) has no interest, direct or indirect, in such Mortgage Asset or related Mortgaged Property, and (c) whose compensation is not affected by the approval or disapproval of the related Mortgage Asset; <u>provided</u> that, each of (i) Cushman & Wakefield, (ii) Colliers, (iii) Newmark, (iv) CBRE, (v) JLL and (vi) BBG are acceptable to Buyer, unless approval is withdrawn by Buyer in writing, so long as they satisfy the conditions set forth in the preceding <u>clauses (a)</u> through <u>(c)</u>.

"<u>Business Day</u>" shall mean a day other than (i) a Saturday or Sunday, (ii) any day on which banking institutions are authorized or required by law, executive order or governmental decree to be closed in the State of New York, or (iii) any day on which the New York Stock Exchange is closed.

"<u>Buyer</u>" shall mean Nomura Corporate Funding Americas, LLC, its successors in interest and assigns, and with respect to <u>Section</u> <u>8</u>, its participants.

"<u>Buyer's Account</u>" shall mean, unless otherwise disclosed to Sellers by Buyer in writing, the following account maintained by Buyer: Account No. [\*\*\*], for the account of [\*\*\*], [\*\*\*], ABA No. [\*\*\*], Ref: Funds for BLKM Repo.

"<u>Capital Lease Obligations</u>" shall mean, for any Person, all obligations of such Person to pay rent or other amounts under a lease of (or other agreement conveying the right to use) Property to the extent such obligations are required to be classified and accounted for as a capital lease on a balance sheet of such Person under GAAP, and, for purposes of this Agreement, the amount of such obligations shall be the capitalized amount thereof, determined in accordance with GAAP.

"<u>Capital Stock</u>" shall mean, as to any Person, any and all shares, interests, participations or other equivalents (however designated) of capital stock of a corporation, any and all equivalent equity ownership interests in a Person which is not a corporation, including, without limitation, any and all member or other equivalent interests in any limited liability company, limited partnership, trust, and any and all warrants or options to purchase any of the foregoing, in each case, designated as "securities" (as defined in <u>Section</u> <u>8</u>-102 of the Uniform Commercial Code) in such Person, including, without limitation, all rights to participate in the operation or management of such Person and all rights to such Person's properties, assets, interests and distributions under the related organizational documents in respect of such Person. "Capital Stock" also includes (i) all accounts receivable arising out of the related organizational documents of such Person; (ii) all general intangibles arising out of the related organizational documents of such Person; and (iii) to the extent not otherwise included, all proceeds of any and all of the foregoing (including within proceeds, whether or not otherwise included therein, any and all contractual rights under any revenue sharing or similar agreement to receive all or any portion of the revenues or profits of such Person).

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"<u>Cash</u>" shall have the meaning set forth in the Pricing Side Letter.

"<u>Change in Control</u>" shall mean the occurrence of any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any transaction or event as a result of which Guarantor ceases to directly or indirectly own one hundred percent (100%) of the Capital Stock of each Equity Pledgor and each Seller;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the sale, transfer, or other disposition of all or substantially all of any Seller Party's assets (excluding, with respect to a Seller, any such action taken in connection with any Optional Repurchase);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any transaction or event as a result of which any Equity Pledgor ceases to directly own, beneficially or of record, 100% of the Capital Stock of the related Seller;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the consummation of a merger or consolidation of any Seller Party with or into another entity or any other corporate reorganization (in one transaction or in a series of transactions), if more than 49% of the combined voting power of the continuing or surviving entity's Capital Stock outstanding immediately after such merger, consolidation or such other reorganization is owned by persons who were not owners of such Seller Party immediately prior to such merger, consolidation or other reorganization;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Affiliated Servicer ceases to be an Affiliate of any Seller Party; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) either Investment Manager or Asset Manager is no longer a party to an advisory agreement with Guarantor relating to management of the repurchase facility contemplated hereunder and the Purchased Assets subject thereto.

"<u>Closing Date</u>" shall mean June 4, 2026.

"<u>CME Term SOFR Administrator</u>" shall mean CME Group Benchmark Administration Limited as administrator of the forward-looking term Secured Overnight Financing Rate (or a successor administrator).

"<u>Code</u>" shall mean the Internal Revenue Code of 1986, as amended from time to time.

"<u>Collection Account</u>" shall mean each segregated account established by and in the name of any Seller at Bank exclusively for the benefit of Buyer, into which Income will be deposited, and which shall be subject to the related Collection Account Control Agreement.

"<u>Collection Account Control Agreement</u>" shall mean, with respect to each Collection Account, that certain Cash Management Agreement, dated as of the date hereof, by and among the applicable Seller, Buyer and Bank, in form and substance acceptable to Buyer, as the same may be amended, restated, supplemented or otherwise modified from time to time, and which shall provide for Buyer exclusive control of such Collection Account as of the date of execution.

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"<u>Companion Interest</u>" shall mean, with respect to any Purchased Asset that is a Participation Interest or a Senior Note, any subordinate or pari passu Promissory Note or Participation Interest secured directly or indirectly by the same Mortgaged Property.

"<u>Companion Interest Holder</u>" shall mean, with respect to any Purchased Asset that is a Participation Interest or a Senior Note, any holder of a related Companion Interest.

"<u>Confidential Information</u>" shall have the meaning set forth in <u>Section</u> <u>32</u> hereof.

"<u>Confirmation</u>" shall have the meaning set forth in <u>Section</u> <u>3(c)(iii</u>) hereof.

"<u>Connection Income Taxes</u>" shall mean Other Connection Taxes that are imposed on or measured by net income (however denominated) or that are franchise Taxes or branch profits Taxes.

"<u>Controlling Holder</u>" shall mean, the holder of any Promissory Note or Participation Interest, to the extent that such holder has the full power, authority and discretion to service (or cause to be serviced) the related Mortgage Loan and/or Mezzanine Loan and to direct servicing actions with respect thereto (including, without limitation, to modify and amend the terms thereof and to pursue remedies and enforcement actions) without the consent of any other Person (including, without limitation, any holder of a companion Promissory Note or companion Participation Interest).

"<u>Costs</u>" shall have the meaning set forth in <u>Section</u> <u>17(a</u>) hereof.

"<u>Credit Event</u>" shall mean, with respect to any Purchased Asset, the occurrence of an event or the existence of any circumstance relating to the Purchased Asset, the related Mortgaged Property or any related Borrower or guarantor of such Purchased Asset that could reasonably be expected to have an adverse effect on the value, operations or cash flows of such Purchased Asset, the value, operations, condition or cash flows at the related Mortgaged Property or the ability of the related Borrower or guarantor to perform its obligations under the related Asset Documents (including, without limitation, any default under the related Asset Documents beyond any applicable notice and cure period), as determined by Buyer in its sole discretion, exercised in good faith; provided, however, that no Credit Event shall be deemed to have occurred solely based on any disruption in the commercial real estate loan markets, commercial mortgage-backed securities markets, capital markets, or credit markets, or any other event that, in each case, solely results in the increase or decrease of interest rate spreads or other similar benchmarks (including U.S. Treasuries, interest rate swaps, Term SOFR or any other rate) unless the same has had an effect on the value of the related Mortgaged Property. Any determination that a Credit Event has occurred shall be made by Buyer in its sole good faith discretion. For the avoidance of doubt, any cram down of the unpaid principal balance of any Purchased Asset pursuant to any action by any bankruptcy court shall constitute a Credit Event.

"<u>Custodial Agreement</u>" shall mean that certain Custodial Agreement, dated as of the date hereof, among Seller(s), Buyer, and Custodian, as the same may be amended, restated, supplemented or otherwise modified from time to time.

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"<u>Custodian</u>" shall mean Computershare Trust Company, N.A., and any successor thereto under the Custodial Agreement, and any other custodian approved in writing by Buyer in its sole discretion.

"<u>Default</u>" shall mean an Event of Default or an event that with notice or lapse of time or both would become an Event of Default.

"<u>Default Threshold</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Defaulting Party</u>" shall have the meaning set forth in <u>Section</u> <u>31(b</u>) hereof.

"<u>Delaware LLC Act</u>" shall mean Chapter 18 of the Delaware Limited Liability Company Act, 6 Del. C. §§ 18-101 et seq., as amended.

"<u>Division/Series Transaction</u>" shall mean, with respect to any Person that is a limited liability company organized under the laws of the State of Delaware, that any such Person (a) divides into two or more Persons (whether or not the original Person or Subsidiary thereof survives such division) or (b) creates, or reorganizes into, one or more series, in each case, as contemplated under the laws of the State of Delaware, including without limitation Section 18-217 of the Delaware LLC Act.

"<u>Dollars</u>" and "<u>$</u>" shall mean lawful money of the United States of America.

"<u>Due Diligence Documents</u>" shall have the meaning set forth in <u>Section</u> <u>20</u> hereof.

"<u>Effective Date</u>" shall mean the date upon which the conditions precedent set forth in <u>Section</u> <u>3(a)</u> hereof shall have been satisfied.

"<u>Eligible Asset</u>" shall mean any Mortgage Asset that meets the following criteria (unless otherwise agreed to by Buyer in writing in its sole and absolute discretion) at all times (unless otherwise set forth below):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) as of the related Purchase Date, has been approved to be made subject to a Transaction by Buyer in its sole and absolute discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) complies with the representations and warranties set forth on Schedule 1 (subject to any exceptions listed on the approved Requested Exceptions Report attached to the related Confirmation) applicable to Mortgage Assets of the same type;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) as of the related Purchase Date, has a minimum Adjusted Principal Balance of at least $15 million;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) as of the related Purchase Date, the related Mortgaged Property has an Appraisal dated within the preceding 180 days;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) in respect of which the related Asset File has been delivered to, and retained at, the Custodian in accordance with the terms of the Custodial Agreement; provided, that if such Purchased Asset is a Wet-Ink Mortgage Asset, such condition shall be satisfied by no later than the Wet-Ink Delivery Date;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) is being serviced by a Servicer that has entered into a Servicing Agreement and Servicer Notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) with respect to any Mortgage Loan and/or Mezzanine Loan:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) as of the related Purchase Date, is not delinquent, and was not delinquent at any time prior to the related Purchase Date with respect to any payment of principal or interest and is otherwise not in default;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) accrues interest at a floating rate based on Term SOFR or, a successor benchmark in accordance with its Asset Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) in the case of a Mortgage Asset that accrues interest at a floating rate, has a benchmark rate cap in place that is acceptable to Buyer in its sole and absolute discretion (provided that a strike price which is sufficient to cause the related Purchased Asset's debt service coverage ratio to equal at least 1.00x shall be deemed acceptable to Buyer);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) has a term of no greater than five (5) years, inclusive of extension options;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the related Borrower is a U.S. Person and is not subject to an Insolvency Event and the related Mortgaged Property is not the subject of any Insolvency Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) no Borrower, sponsor, guarantor or other obligor of such Mortgage Asset is (A) an investor or owner in any Seller Party or (B) Affiliated with any Seller Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) in the case of a Mortgage Loan, is secured by a first lien on one or more Mortgaged Properties that are of an Eligible Property Type and are located in a State in the U.S. or in the District of Columbia; <u>provided</u> that, with respect to any Mortgaged Property located in the State of North Carolina, Seller shall have obtained a North Carolina Loan Broker Registration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) in the case of a Mezzanine Loan, is secured by first lien pledges of all of the equity interests in entities that own, directly or indirectly, the real property that serves as collateral for the related Mortgage Loan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) as of the related Purchase Date, has a Senior Financing LTV of up to 80.0% as determined by Buyer in its sole and absolute discretion on a case-by-case basis based on the most recent Appraisal with respect to the related Mortgaged Property (which Appraisal is not older than 12-months at the date of determination); and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) as of the related Purchase Date, has a Total Financing LTV of up to 85.0% as determined by Buyer in its sole and absolute discretion on a case-by-case basis based on the most recent Appraisal with respect to the related Mortgaged Property (which Appraisal is not older than 12-months at the date of determination); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) with respect to any Mezzanine Loan, such Mezzanine Loan is sold and repurchased together with the related Mortgage Loan pursuant to the same Transaction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) with respect to any Promissory Note, such Promissory Note is a Senior Note and the related Mortgage Loan and/or Mezzanine Loan satisfies the criteria set forth in clause (g) above; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) with respect to any Participation Interest, such Participation Interest is a Senior Participation Interest and the related Mortgage Loan and/or Mezzanine Loan satisfies the criteria set forth in clause (g) above.

"<u>Eligible Property Type</u>" shall mean multi-family, student housing, self-storage, manufactured-housing community, office, industrial, hospitality, data center, life science, retail, assisted living, memory care, independent living, skilled nursing, or mixed-use properties primarily comprising any of the foregoing.

"<u>Equity Pledge Agreement</u>" shall mean, with respect to each Seller, the Equity Pledge and Security Agreement made by the related Equity Pledgor in favor of Buyer, granting Buyer a security interest in the equity interests in such seller, as each may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Equity Pledged Assets</u>" shall mean the "Pledged Assets" as defined in the applicable Equity Pledge Agreement.

"<u>Equity Pledgor</u>" shall mean, (x) with respect to Initial Seller, Initial Equity Pledgor and (y) with respect to each Additional Seller, the direct parent or parents of such Additional Seller, in each case, in their respective capacities as a pledgor under the related Equity Pledge Agreement.

"<u>Equity Pledgor Financing Statement</u>" shall have the meaning set forth in <u>Section</u> <u>3(a)(ix)(C)</u> hereof.

"<u>ERISA</u>" shall mean the Employee Retirement Income Security Act of 1974, as amended from time to time and any successor thereto, and the regulations promulgated and rulings issued thereunder.

"<u>ERISA Affiliate</u>" shall mean any Person which, together with any other Person is treated, as a single employer under Section 414(b) or (c) of the Code or solely for purposes of Section 302 of ERISA and Section 412 of the Code is treated as a single employer described in Section 414 of the Code.

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"<u>Escrow Instruction Letter</u>" shall mean the Escrow Instruction Letter from Buyer and Seller to the Settlement Agent, in the form of <u>Exhibit H</u> hereto or as otherwise approved by Buyer in writing, as the same may be modified, supplemented and in effect from time to time.

"<u>Event of Default</u>" shall have the meaning set forth in <u>Section</u> <u>15</u> hereof.

"<u>Event of ERISA Termination</u>" shall mean (i) with respect to any Plan, a Reportable Event, as to which the PBGC has not by regulation waived the reporting of the occurrence of such event, or (ii) the withdrawal of any Seller or Guarantor or any ERISA Affiliate thereof from a Plan during a plan year in which it is a substantial employer, as defined in Section 4001(a)(2) of ERISA, or (iii) the failure by any Seller or Guarantor or any ERISA Affiliate thereof to meet the minimum funding standard of Section 412 of the Code or Section 302 of ERISA with respect to any Plan, including, without limitation, the failure to make on or before its due date a required installment under Section 430 (j) of the Code or Section 303(j) of ERISA, or (iv) the distribution under Section 4041 of ERISA of a notice of intent to terminate any Plan or any action taken by any Seller or Guarantor or any ERISA Affiliate thereof to terminate any Plan, or (v) the failure to meet the requirements of Section 436 of the Code resulting in the loss of qualified status under Section 401(a)(29) of the Code, or (vi) the institution by the PBGC of proceedings under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan, or (vii) the receipt by any Seller or Guarantor or any ERISA Affiliate thereof of a notice from a Multiemployer Plan that action of the type described in the previous clause (vi) has been taken by the PBGC with respect to such Multiemployer Plan, or (viii) any event or circumstance exists which may reasonably be expected to constitute grounds for any Seller or Guarantor or any ERISA Affiliate thereof to incur liability under Title IV of ERISA or under Sections 412(b) or 430 (k) of the Code with respect to any Plan.

"<u>Excluded Taxes</u>" shall mean any of the following Taxes imposed on or with respect to a Buyer or required to be withheld or deducted from a payment to a Buyer, (a) Taxes imposed on or measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (i) imposed as a result of such Buyer being organized under the laws of, or having its principal office or the office from which it books the Transactions located in, the jurisdiction imposing such Tax (or any political subdivision thereof) or (ii) that are Other Connection Taxes, (b) U.S. federal withholding Taxes imposed on amounts payable to or for the account of such Buyer with respect to an applicable interest in a Transaction pursuant to a law in effect on the date on which (i) such Buyer becomes a party to this Agreement or (ii) such Buyer changes its office from which it books the Transactions, except in each case to the extent that, pursuant to <u>Section</u> <u>8</u>, amounts with respect to such Taxes were payable either to such Buyer's assignor immediately before such Buyer became a party hereto or to such Buyer immediately before it changed the office from which it books the Transactions, (c) Taxes attributable to such Buyer's failure to comply with <u>Section</u> <u>8(e)</u> and (d) any withholding Taxes imposed under FATCA.

"<u>Exit Fee</u>" shall have the meaning set forth in the Pricing Side Letter.

"<u>Extension Date</u>" shall have the meaning set forth in the Pricing Side Letter.

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"<u>Facility Documents</u>" shall mean this Agreement, the Pricing Side Letter, each Custodial Agreement, the Guaranty, each Collection Account Control Agreement, each Equity Pledge Agreement, each Affiliated Transferor Pledge Agreement, each Servicing Agreement, the Backup Servicing Agreement, each Servicer Notice, each Seller Agreement, each Escrow Instruction Letter (if any), each Inbound Bailee Letter, each Power of Attorney, each Confirmation, the Risk Retention Letter, the Recycled SPE Certificate and all assignment documentation executed pursuant to this Agreement in connection with specific Transactions, and any and all other documents and agreements executed and delivered by any Seller Party in connection with this Agreement or any Transactions hereunder, in each case, as the same may be amended, restated, supplemented or otherwise modified from time to time pursuant to the terms hereof.

"<u>Facility Fee</u>" shall have the meaning specified in the Pricing Side Letter.

"<u>FATCA</u>" shall mean Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Code and any fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among Governmental Authorities and implementing such Sections of the Code.

"<u>Fidelity Insurance</u>" shall mean insurance coverage with respect to employee errors, omissions, dishonesty, forgery, theft, disappearance and destruction, robbery and safe burglary, property (other than money and securities) and computer fraud, with broad coverage on all officers, employees or other persons set forth in the next sentence acting in any capacity requiring such persons to handle funds, money, documents or papers relating to the Purchased Assets. For the sake of clarity such policies must protect and insure each Seller and its Affiliates against losses (i) resulting from fraud, theft, errors, omissions, negligence, dishonest or fraudulent acts committed by such Seller's and its Affiliates' personnel, and temporary contract employees or student interns and (ii) in connection with the release or satisfaction of a Purchased Asset that is a Mortgage Loan without having obtained payment in full of the indebtedness secured thereby.

"<u>Financial Condition Covenants</u>" shall have the meaning set forth in the Pricing Side Letter, with respect to Guarantor.

"<u>Financial Statements</u>" shall mean, with respect to any Person, the consolidated financial statements of income and changes in cash flow for such fiscal year and balance sheet as of the end of such fiscal year, presented fairly in accordance with GAAP for the year or other period then ended. Such financial statements will be audited, in the case of annual statements, by a nationally recognized independent certified public accounting firm approved by Buyer.

"<u>Future Advance</u>" shall mean, with respect to any Mortgage Asset, any amount to be advanced by the holder of such Mortgage Asset after the initial disbursement under such Mortgage Asset and which as of the date of determination has not yet been advanced. For the avoidance of doubt, (i) any earnouts or upfront reserves under, or established prior to the initial disbursement under, such Mortgage Asset that are included in the unpaid principal balance shall not constitute Future Advances and (ii) amounts in respect of earnouts shall not be considered part of the unpaid principal balance nor shall any earnouts be considered a Future Advance and as a result will not be advanced against.

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"<u>Future Advance Failure</u>" shall mean, with respect to any Purchased Asset, the occurrence of any litigation or other proceeding alleging a failure to fund any Future Advance as and when required thereunder.

"<u>GAAP</u>" shall mean generally accepted accounting principles in the United States of America, applied on a consistent basis and applied to both classification of items and amounts, and shall include, without limitation, the official interpretations thereof by the Financial Accounting Standards Board, its predecessors and successors.

"<u>Governmental Authority</u>" shall mean any nation or government, any state, county, municipality or other political subdivision thereof or any governmental body, agency, authority, department or commission (including, without limitation, any taxing authority) or any instrumentality or officer of any of the foregoing (including, without limitation, any court or tribunal) exercising executive, legislative, judicial, regulatory or administrative functions of or pertaining to government and any corporation, partnership or other entity directly or indirectly owned by or controlled by the foregoing.

"<u>Guarantee</u>" shall mean, as to any Person, any obligation of such Person directly or indirectly guaranteeing any Indebtedness of any other Person or in any manner providing for the payment of any Indebtedness of any other Person or otherwise protecting the holder of such Indebtedness against loss (whether by virtue of partnership arrangements, by agreement to keep-well, to purchase assets, goods, securities or services, or to take-or-pay or otherwise); <u>provided</u> that the term "Guarantee" shall not include endorsements for collection or deposit in the ordinary course of business. The amount of any Guarantee of a Person shall be deemed to be an amount equal to the stated or determinable amount of the primary obligation in respect of which such Guarantee is made or, if not stated or determinable, the maximum reasonably anticipated liability in respect thereof as determined by such Person in good faith. The terms "Guarantee" and "Guaranteed" used as verbs shall have correlative meanings.

"<u>Guarantor</u>" shall mean BlackRock Monticello Debt Real Estate Investment Trust, a Maryland statutory trust, and its successors and permitted assigns.

"<u>Guaranty</u>" shall mean the Guaranty, dated as of the date hereof, made by Guarantor for the benefit of Buyer, as the same may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Inbound Bailee Letter</u>" shall mean a bailee letter substantially in the form attached hereto as <u>Exhibit I</u> or otherwise approved in writing by Buyer delivered by a Bailee to Buyer and Custodian.

"<u>Income</u>" shall mean, with respect to any Purchased Asset, without duplication, all principal and income or interest or distributions, dividends or other amounts received with respect to such Purchased Asset, including any Liquidation Proceeds, loan sale proceeds, insurance proceeds or interest payable thereon or any fees or payments of any kind received, or other amounts received, but excluding (i) any amounts required to be deposited into and held in escrow or reserve pursuant to the related Asset Documents, which shall be maintained and administered by Servicer in accordance with the Servicing Agreement, as modified by the related Servicer Notice, (ii) any

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monthly servicing fees with respect to the Purchased Asset permitted to be retained as compensation by Servicer in accordance with the Servicing Agreement, as modified by the related Servicer Notice and (iii) solely from amounts paid by a Borrower for such purpose or as otherwise approved by Buyer in its sole and absolute discretion, reimbursements of costs and expenses to which Servicer is entitled in accordance with the Servicing Agreement.

"<u>Indebtedness</u>" shall mean, with respect to any Person: (a) obligations created, issued or incurred by such Person for borrowed money (whether by loan, the issuance and sale of debt securities or the sale of Property to another Person subject to an understanding or agreement, contingent or otherwise, to repurchase such Property from such Person); (b) obligations of such Person to pay the deferred purchase or acquisition price of Property or services, other than trade accounts payable (other than for borrowed money) arising, and accrued expenses incurred, in the ordinary course of business so long as such trade accounts payable are payable within ninety (90) days of the date the respective goods are delivered or the respective services are rendered; (c) Indebtedness of others secured by a Lien on the Property of such Person, whether or not the respective Indebtedness so secured has been assumed by such Person; (d) obligations (contingent or otherwise) of such Person in respect of letters of credit or similar instruments issued or accepted by banks and other financial institutions for the account of such Person; (e) Capital Lease Obligations of such Person; (f) obligations of such Person under repurchase agreements, sale/buy-back agreements or like arrangements; (g) Indebtedness of others Guaranteed by such Person, excluding contingent obligations that may arise by reason of customary recourse carve-outs under a non-recourse instrument, including, but not limited to, fraud, misappropriation and misapplication, and environmental indemnities, unless such carve-outs have been triggered or demand has been made thereunder; (h) all obligations of such Person incurred in connection with the acquisition or carrying of fixed assets by such Person; and (i) Indebtedness of general partnerships of which such Person is a general partner.

"<u>Indemnified Party</u>" shall have the meaning set forth in <u>Section</u> <u>17(a</u>) hereof.

"<u>Indemnified Taxes</u>" shall mean (a) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by or on account of any obligation of the Seller under any Facility Document and (b) to the extent not otherwise described in (a), Other Taxes.

"<u>Independent Manager</u>" shall mean a natural Person who (a) is not at the time of initial appointment and has never been, and will not while serving as Independent Manager be: (i) a stockholder, director, officer, employee, partner, member (other than a "special member" or "springing member"), manager (with the exception of serving as the Independent Manager of Seller), attorney or counsel of any Seller Party or any Affiliate or equity owner of any Seller Party; (ii) a customer, supplier or other Person who derives any of its purchases or revenues (other than any revenue derived from serving as the Independent Manager of such party) from its activities with any Seller Party, or any Affiliate or equity owner of any Seller Party; (iii) a Person controlling or under common control with any such stockholder, director, officer, employee, partner, member, manager, attorney, counsel, equity owner, customer, supplier or other Person of any Seller Party or any Affiliate or equity owner of any Seller Party; or (iv) a member of the immediate family of any such stockholder, director, officer, employee, partner, member, manager, attorney, counsel, equity owner, customer, supplier or other Person of any Seller Party or any Affiliate or equity owner of any Seller Party and (b) has (i) prior experience as an independent director or independent

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manager for a corporation, a trust or limited liability company whose charter documents required the unanimous consent of all independent directors or independent managers thereof before such corporation, trust or limited liability company could consent to the institution of bankruptcy or insolvency proceedings against it or could file a petition seeking relief under any applicable federal or state law relating to bankruptcy and (ii) at least three (3) years of employment experience and who is provided by CT Corporation, Corporation Service Company, National Registered Agents, Inc., Wilmington Trust Company, Stewart Management Company, or Cogency Global, Inc., or if none of these companies is then providing professional independent directors, another nationally recognized company acceptable to Buyer, that is not an Affiliate of Seller and that provides, inter alia, professional independent directors or independent managers in the ordinary course of their respective business to issuers of securitization or structured finance instruments, agreements or securities or lenders originating commercial real estate loans for inclusion in securitization or structured finance instruments, agreements or securities (a "<u>Professional Independent Manager</u>") and is an employee of such a company or companies at all times during his or her service as an Independent Manager. A natural Person who satisfies the foregoing definition except for being (or having been) the independent director or independent manager of a "special purpose entity" Affiliated with any Seller Party (provided such Affiliate does not or did not own a direct or indirect equity interest in Seller) shall not be disqualified from serving as an Independent Manager, <u>provided</u> that such natural Person satisfies all other criteria set forth above and that the fees such individual earns from serving as independent director or independent manager of Affiliates of Seller or in any given year constitute in the aggregate less than five percent (5%) of such individual's annual income for that year. A natural Person who satisfies the foregoing definition other than <u>clause</u> <u>(a)(ii)</u> shall not be disqualified from serving as an Independent Manager if such individual is a Professional Independent Manager and such individual complies with the requirements of the previous sentence.

"<u>Initial Equity Pledgor</u>" shall mean BLK MAM Holding, LLC, a Delaware limited liability company.

"<u>Insolvency Event</u>" shall mean, for any Person:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) that a proceeding shall have been instituted in a court having jurisdiction in the premises seeking a decree or order for relief in respect of such Person or any Affiliate in an involuntary case under any applicable bankruptcy, insolvency, liquidation, reorganization or other similar law now or hereafter in effect, or for the appointment of a receiver, liquidator, assignee, trustee, custodian, sequestrator, conservator or other similar official of such Person or any Affiliate, or for any substantial part of its property, or for the winding-up or liquidation of its affairs; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) the commencement by such Person or any Affiliate of a voluntary case under any applicable bankruptcy, insolvency or other similar law now or hereafter in effect, or such Person's or any Affiliate's consent to the entry of an order for relief in an involuntary case under any such law, or consent to the appointment of or taking possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator, conservator or other similar official of such Person, or for any substantial part of its property, or any general assignment for the benefit of creditors; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) [reserved];

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the making of a general assignment for the benefit of creditors of such Person; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) such Person or any Affiliate, or any of their Subsidiaries, shall consent to, affirmatively acquiesce in or solicit any of the actions set forth in the preceding clauses (c) or (d); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any Governmental Authority or agency or any person, agency or entity acting or purporting to act under Governmental Authority shall have taken any action to condemn, seize or appropriate, or to assume custody or control of, all or substantially all of the property of such Person, or shall have taken any action to displace the management of such Person or to curtail its authority in the conduct of the business of such Person.

"<u>Investment Company Act</u>" shall mean the Investment Company Act of 1940, as amended from time to time, including all rules and regulations promulgated thereunder.

"<u>Investment Manager</u>" shall mean BlackRock Financial Management, Inc., a Delaware corporation.

"<u>IRS</u>" shall mean the United States Internal Revenue Service.

"<u>Lien</u>" shall mean any lien, claim, charge, restriction, pledge, security interest, mortgage, deed of trust or other encumbrance.

"<u>Liquidation Proceeds</u>" shall mean, with respect to a Purchased Asset, all cash amounts received by the related Servicer or a Seller in connection with: (i) the liquidation of the related Mortgaged Property or other collateral constituting security for such Purchased Asset through trustee's sale, foreclosure sale, disposition or otherwise, exclusive of any portion thereof required to be released to the related Borrower, (ii) the realization upon any deficiency judgment obtained against a Borrower or (iii) any other amounts collected on account of subsequent recoveries.

"<u>Litigation Threshold</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Mandatory Early Repurchase Date</u>" shall have the meaning assigned thereto in <u>Section</u> <u>4(a)</u> hereof.

"<u>Mandatory Early Repurchase Event</u>" shall mean, with respect to each Purchased Asset, the occurrence of any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) such Purchased Asset is not, or ceases to be, an Eligible Asset;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the complete Asset File (subject to any exceptions previously approved by Buyer in writing in its sole and absolute discretion) is not with Custodian or any applicable Bailee in violation of the Custodial Agreement and/or applicable Inbound Bailee Letter, as applicable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) a material breach of the representations and warranties made by the related Seller with respect to such Purchased Asset, including those set forth in <u>Section</u> <u>13(f)</u> and Schedule 1 (subject to any exceptions listed on the approved Requested Exceptions Report attached to the related Confirmation) applicable to Mortgage Assets of the same type, which has not been cured within the applicable cure period (if any), as determined by Buyer in its sole good faith discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a Future Advance Failure has occurred with respect to such Purchased Asset for which the related Seller has not deposited Reserve Funds in accordance with <u>Section</u> <u>4(d)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the occurrence of a maturity default or any other event of default under the related Asset Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any payment (other than a payment at maturity) under such Purchased Asset is thirty (30) days or more delinquent;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) an Insolvency Event has occurred with respect to the related Borrower, guarantor, holder of a companion Participation Interest (to the extent such holder is the Record Holder, the Controlling Holder or has any future funding obligations) or other obligor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any Significant Modification with respect to such Purchased Asset occurring without prior written consent of Buyer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the commencement of a mortgage foreclosure or UCC sale (under an accommodation pledge) and/or the appointment of a receiver has been initiated with respect to the related Borrower, guarantor or other obligor, related Mortgaged Property or other collateral related to such Purchased Asset.

"<u>Margin Call</u>" shall have the meaning assigned thereto in <u>Section</u> <u>7(a</u>) hereof.

"<u>Margin Deficit</u>" shall have the meaning assigned thereto in <u>Section</u> <u>7(a</u>) hereof.

"<u>Margin Payment</u>" shall have the meaning assigned thereto in <u>Section</u> <u>7(a</u>) hereof.

"<u>Margin Threshold</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Market Value</u>" shall mean, as of any date of determination, for each Purchased Asset, the market value of such Purchased Asset which may be determined by Buyer in its sole and absolute discretion (A) as of the related Purchase Date, (B) at any time following the occurrence of an Event of Default or (C) at any time after the occurrence and during the continuance of a Credit Event; <u>provided</u>, that, the Market Value of a Purchased Asset shall in all cases be capped at the Adjusted Principal Balance of such Purchased Asset (i.e., 100%). Without limiting the foregoing, the Market Value shall be deemed to be zero with respect to any Purchased Asset for which a Repurchase Date has occurred.

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"<u>Material Adverse Effect</u>" shall mean a material adverse effect on (a) the Property, business, operations, or financial condition or prospects of any Seller Party or any Affiliate thereof, (b) the ability of any Seller Party to perform its obligations under any of the Facility Documents to which it is a party, (c) the validity or enforceability of any of the Facility Documents, or (d) the rights and remedies of Buyer under any of the Facility Documents, in each case as determined by Buyer in its good faith discretion. Notwithstanding the foregoing, general market conditions shall not, in and of themselves, constitute a Material Adverse Effect unless such market conditions have, or could reasonably be expected to have, a disproportionate impact on any Seller Party as compared to similarly situated entities.

"<u>Maximum Aggregate Purchase Price</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Mezzanine Loan</u>" shall mean a whole mezzanine loan that is secured by a pledge of all of the equity interests in the entity or entities that own, directly or indirectly, the Mortgaged Property securing the related Mortgage Loan.

"<u>Mortgage</u>" shall mean each mortgage, or deed of trust, security agreement and fixture filing, deed to secure debt, or similar instrument creating and evidencing a first Lien on real property and other property and rights incidental thereto.

"<u>Mortgage Asset</u>" shall mean any (i) Mortgage Loan, (ii) Mezzanine Loan, (iii) Promissory Note (with respect to any Mortgage Loan and/or Mezzanine Loan represented by multiple notes) or (iv) Participation Interest representing an interest in a Mortgage Loan and/or Mezzanine Loan.

"<u>Mortgage Loan</u>" shall mean a whole mortgage loan that is secured by a first priority mortgage Lien on one or more commercial real properties.

"<u>Mortgaged Property</u>" shall mean, in the case of (a) a Mortgage Loan, the real property securing such Mortgage Loan; (b) a Mezzanine Loan, the mortgaged property indirectly securing such Mezzanine Loan and (c) a Participation Interest, the mortgaged property directly or indirectly securing the Mortgage Loan and/or Mezzanine Loan in which such Participation Interest represents a participation, as applicable.

"<u>Multiemployer Plan</u>" shall mean, with respect to any Person, a "multiemployer plan" as defined in Section 3(37) of ERISA which is or was at any time during the current year or the immediately preceding five (5) years contributed to (or required to be contributed to) by such Person or any ERISA Affiliate thereof on behalf of its employees and which is covered by Title IV of ERISA.

"<u>Nondefaulting Party</u>" shall have the meaning set forth in <u>Section</u> <u>31(b</u>) hereof.

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"<u>Obligations</u>" shall mean (a) any amounts owed by any Seller to Buyer in connection with any or all Transactions hereunder, together with interest thereon (including interest which would be payable as post-petition interest in connection with any bankruptcy or similar proceeding) and all other obligations, amounts, fees or expenses which are payable to Buyer hereunder or under any of the Facility Documents and (b) all other obligations or amounts owed by any Seller to Buyer or its Affiliates under any other contract or agreement, in each case, whether such amounts or obligations owed are direct or indirect, absolute or contingent, matured or unmatured.

"<u>OFAC</u>" shall have the meaning set forth in the definition of "Sanctions".

"<u>Optional Repurchase</u>" shall have the meaning set forth in <u>Section</u> <u>3(d</u>) hereof.

"<u>Optional Repurchase Date</u>" shall have the meaning set forth in <u>Section</u> <u>3(d)</u> hereof.

"<u>Other Connection Taxes</u>" shall mean, with respect to any Buyer, Taxes imposed as a result of a present or former connection between such Buyer and the jurisdiction imposing such Tax (other than connections arising from such Buyer having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Facility Document, or sold or assigned an interest in any Transaction or Facility Document).

"<u>Other Taxes</u>" shall mean all present or future stamp, court or documentary, intangible, recording, filing or similar Taxes that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Facility Document, except any such Taxes that are Other Connection Taxes imposed with respect to an assignment.

"<u>Participant Register</u>" shall have the meaning set forth in <u>Section</u> <u>22(c)</u> hereof.

"<u>Participation Certificate</u>" shall mean the original participation certificate that was executed and delivered in connection with a Participation Interest.

"<u>Participation Interest</u>" shall mean a participation interest in a Mortgage Loan and/or Mezzanine Loan.

"<u>PBGC</u>" shall mean the Pension Benefit Guaranty Corporation or any entity succeeding to any or all of its functions under ERISA.

"<u>Permitted Encumbrances</u>" shall have the meaning set forth in <u>Schedule 1</u> attached hereto.

"<u>Person</u>" shall mean any individual, corporation, company, voluntary association, partnership, joint venture, limited liability company, trust, unincorporated association or government (or any agency, instrumentality or political subdivision thereof).

"<u>Plan</u>" shall mean, with respect to any Person, any employee benefit or similar plan that is or was at any time during the current year or immediately preceding five years established, maintained or contributed to by such Person or any ERISA Affiliate thereof and that is covered by Title IV of ERISA or Section 412 of the Code, other than a Multiemployer Plan.

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"<u>Pledged Collateral</u>" shall have the meaning specified in the applicable Affiliated Transferor Pledge Agreement.

"<u>Post-Default Rate</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Power of Attorney</u>" shall mean, individually or collectively as the context may require, a power of attorney in the form of <u>Exhibit F-1</u> hereto delivered by each Seller and/or <u>Exhibit F-2</u> hereto delivered by each Servicer (if any) which is an Affiliate of any Seller Party.

"<u>Price Differential</u>" shall mean, for each day, the aggregate amount obtained by daily application of the applicable Pricing Rate (or, during the continuation of an Event of Default, by daily application of the Post-Default Rate) for the related Purchased Asset to the Repurchase Price (excluding from the definition of Repurchase Price any amounts calculated pursuant to clause (B) of such definition) for such Purchased Asset on a 360 day per year basis for the actual number of days during the period commencing on (and including) the Purchase Date for such Purchased Asset and ending on (but excluding) the Repurchase Date for such Purchased Asset (reduced by any amount of such Price Differential previously paid by a Seller to Buyer with respect to such Purchased Asset). For the avoidance of doubt, each Seller's obligation to pay any Price Differential to Buyer with respect to any Purchased Asset shall continue until the Repurchase Price for such Purchased Asset is remitted to Buyer's Account (and not any Collection Account or any other account).

"<u>Pricing Rate</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Pricing Rate Determination Date</u>" shall mean, with respect to each Pricing Rate Period and each Transaction, (a) if Term SOFR is the applicable Benchmark, the second (2nd) U.S. Government Securities Business Day preceding the first day of such Pricing Rate Period or (b) if Term SOFR is not the applicable Benchmark, the second (2nd) Business Day preceding the first day of such Pricing Rate Period or such other day as may be determined by Buyer in accordance with the Benchmark Administration Changes.

"<u>Pricing Rate Period</u>" shall mean, with respect to each Remittance Date and each Transaction: (a) in the case of the first Pricing Rate Period for such Transaction, the period commencing on and including the initial Purchase Date for such Transaction and ending on and excluding the following Remittance Date, and (b) in the case of any subsequent Pricing Rate Period for such Transaction, the period commencing on and including the immediately preceding Remittance Date and ending on and excluding the following Remittance Date; provided, however, that in no event shall any Pricing Rate Period for any Purchased Asset end subsequent to the date on which such Purchased Asset is actually repurchased.

"<u>Pricing Side Letter</u>" shall mean that certain Pricing Side Letter, dated as of the date hereof, between Buyer and Sellers, as acknowledged and agreed to by Guarantor, as the same may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Privacy Laws</u>" shall mean any applicable local, state and federal laws relating to privacy and data protection.

"<u>Prohibited Transferee</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

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"<u>Promissory Note</u>" shall mean the promissory note or other evidence of the indebtedness of a Borrower secured by a Mortgage Loan or Mezzanine Loan.

"<u>Property</u>" shall mean any right or interest in or to property of any kind whatsoever, whether real, personal or mixed and whether tangible or intangible.

"<u>Purchase Date</u>" shall mean the date on which (i) Purchased Assets are transferred by a Seller to Buyer hereunder and (ii) the date on which a Purchase Price Increase is made.

"<u>Purchase Price</u>" shall mean with respect to a Purchased Asset, an amount equal to (x) the amount paid by Buyer to a Seller on the Purchase Date for such Purchased Asset, which shall be an amount equal to the Asset Value of such Purchased Asset as of the related Purchase Date, plus (y) the amount of any related additional Purchase Price funded to a Seller pursuant to this Agreement on account of any related Future Advance.

"<u>Purchase Price Increase</u>" shall mean, with respect to any Purchased Asset, an increase in the Purchase Price pursuant to <u>Sections 3(c)(ii)</u> or <u>3(g)</u> or otherwise on account of amounts advanced by Buyer.

"<u>Purchase Price Percentage</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Purchased Assets</u>" shall mean the collective reference to the Mortgage Assets transferred by a Seller to Buyer in connection with a Transaction hereunder and listed on the Asset Schedule attached to the related Confirmation, which Asset Files the Custodian has been instructed to hold pursuant to the Custodial Agreement (other than Purchased Assets that have been repurchased by the applicable Seller in accordance with the terms hereof and reassigned in accordance with <u>Section</u> <u>3(e</u>)). Unless otherwise specified, any reference to a Purchased Asset which is a Mortgage Loan shall include the Mortgage Loan and any related Mezzanine Loan, if any, that is subject to the same Transaction.

"<u>Qualified Transferee</u>" shall have the meaning set forth in the Pricing Side Letter.

"<u>Record Holder</u>" shall mean, the holder of any Promissory Note or Participation Interest, to the extent that such holder is a lender of record (including, without limitation, the mortgagee or pledgee, as applicable, of record) with respect to the related Mortgage Loan and/or Mezzanine Loan pursuant to the related co-lender agreement, participation agreement or intercreditor agreement.

"<u>Records</u>" shall mean all instruments, agreements and other books, records, and reports and data generated by other media for the storage of information maintained by any Seller or any other Person or entity with respect to a Mortgage Asset. Records shall include the Promissory Notes, the Asset Files and the credit files related to the Mortgage Asset and any other instruments necessary to document or service a Mortgage Asset.

"<u>Recycled SPE Certificate</u>" shall mean that certain Recycled Special Purpose Entity Certificate, dated as of the date hereof, delivered by Initial Seller.

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"<u>Register</u>" shall have the meaning set forth in <u>Section</u> <u>22(b</u>) hereof.

"<u>Regulation Z</u>" shall mean Regulation Z implementing the Truth in Lending Act of 1968, as the same may be modified and supplemented and in effect from time to time.

"<u>Regulations T, U and X</u>" shall mean Regulations T, U and X of the Board of Governors of the Federal Reserve System (or any successor), as the same may be modified and supplemented and in effect from time to time.

"<u>Remittance Date</u>" shall mean (i) the fifteenth (15th) calendar day of the month, or the next succeeding Business Day, if such calendar day shall not be a Business Day and (ii) the Termination Date.

"<u>Reportable Event</u>" shall mean any of the events set forth in Section 4043(c) of ERISA, other than those events as to which the thirty-day notice period is waived under PBGC Reg. § 4043.

"<u>Repurchase Assets</u>" shall have the meaning provided in <u>Section</u> <u>9(a)(i</u>) hereof.

"<u>Repurchase Date</u>" shall mean, with respect to any Purchased Asset, the earliest to occur of (i) the Termination Date, (ii) the maturity date of such Purchased Asset, as the same may be extended in accordance with the express terms of the related Asset Documents (<u>provided</u> that, the prior written consent of Buyer shall be obtained for any extension for which there is any lender discretion), (iii) the date on which such Purchased Asset has been paid in full, (iv) the Optional Repurchase Date with respect to such Purchased Asset, (v) the Mandatory Early Repurchase Date with respect to such Purchased Asset; (vi) the Accelerated Repurchase Date; or (vii) the date (if any) specified in the related Confirmation.

"<u>Repurchase Notice</u>" shall have the meaning provided in <u>Section</u> <u>4(a</u>) hereof.

"<u>Repurchase Price</u>" shall mean, with respect to any Purchased Asset, as of any date of determination, an amount equal to the applicable Purchase Price minus (A) the sum of (i) any Income which has been remitted to Buyer's Account and applied to the Repurchase Price of such Purchased Asset (and allocated to such Purchased Asset) by Buyer pursuant to this Agreement and (ii) any payments made by or on behalf of any Seller in reduction of the outstanding Repurchase Price in each case before or as of such determination date with respect to such Purchased Asset (and allocated to such Purchased Asset), *plus* (B)(i) any accrued and unpaid Price Differential, (ii) any related fees, increased costs, indemnification amounts, taxes and breakage fees allocable to the repurchase of such Purchased Assets or release of such Purchased Asset, and (iii) any other amounts due and payable under this Agreement, including if applicable, any fee due in each case pursuant to the Pricing Side Letter.

"<u>Requested Exceptions Report</u>" shall mean, with respect to each Mortgage Asset proposed to be sold to Buyer in accordance with, and subject to the terms and conditions of, this Agreement, the list of all exceptions to the applicable representations and warranties set forth in <u>Schedule 1</u>. The approved Requested Exception Report for a Purchased Asset shall be attached to the related Confirmation and Buyer's signature on such Confirmation shall be deemed to be Buyer's approval of the exceptions listed on such Requested Exceptions Report.

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"<u>Requirement of Law</u>" shall mean as to any Person, any law, treaty, rule, regulation, procedure or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its property or to which such Person or any of its property is subject.

"<u>Reserve Fund</u>" shall have the meaning specified in <u>Section</u> <u>4(d)</u>.

"<u>Responsible Officer</u>" shall mean, (a) as to any Person, the chief executive officer, chief analytics officer, chief investment officer, chief capital markets officer or, with respect to financial matters, the chief financial officer of such Person and (b) additionally, as to any Seller Party, any manager, officer or director or managing member thereof.

"<u>Retention Holder</u>" shall mean BLK MAM Holding, LLC, a Delaware limited liability company.

"<u>Risk Retention Letter</u>" shall mean the Risk Retention Letter from Retention Holder and Sellers to Buyer, as the same may be modified, supplemented and in effect from time to time.

"<u>Sanctioned Jurisdiction</u>" shall mean any country, region or territory that is the subject of comprehensive Sanctions (as of the date hereof, including Cuba, Iran, North Korea, and the covered regions of Ukraine (currently, Crimea, the so-called Donetsk People's Republic and Luhansk People's Republic regions, and the Kherson and Zaporizhzhia regions), in each case as such list may be updated by OFAC from time to time).

"<u>Sanctioned Person</u>" shall mean (a) any Person that is listed on OFAC's List of Specially Designated Nationals and Blocked Persons ("<u>SDN List</u>"), or is otherwise the subject of blocking sanctions administered by OFAC, or (b) any entity owned 50 percent or more, directly or indirectly and in the aggregate, by one or more Persons described in clause (a).

"<u>Sanctions</u>" shall mean any economic or financial sanctions or trade embargoes administered, enacted or enforced by the U.S. Department of the Treasury's Office of Foreign Assets Control ("OFAC") or the U.S. Department of State.

"<u>SEC</u>" shall mean the U.S. Securities and Exchange Commission.

"<u>Section</u> <u>4402</u>" shall have the meaning set forth in <u>Section</u> <u>31</u> hereof.

"<u>Seller</u>" or "<u>Sellers</u>" shall have the meaning set forth in the preamble.

"<u>Sellers' Account</u>" shall mean, unless otherwise specified in the Confirmation for a particular Transaction, the following account maintained by Sellers: Account No. [\*\*\*], for the account of [\*\*\*], [\*\*\*], ABA No. [\*\*\*].

"<u>Seller Agreement</u>" shall mean (i) with respect to Initial Seller, that certain Amended and Restated Limited Liability Company Agreement, dated as of the date hereof, of such Seller, by and between Initial Equity Pledgor and the Independent Manager (as defined therein), and (ii) with respect to any Additional Seller, the applicable limited liability company agreement of such Additional Seller entered into by the related Equity Pledgor and an Independent Manager, in each case, as the same may be amended, restated, supplemented, or otherwise modified from time to time, as permitted pursuant to this Agreement.

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"<u>Seller Financing Statement</u>" shall have the meaning set forth in <u>Section</u> <u>3(a)(ix)(A)</u> hereof.

"<u>Seller Party</u>" shall mean, individually or collectively, as the context may require, each Seller, each Equity Pledgor, each Affiliated Transferor Pledgor, each Guarantor, and any Servicer that is Affiliated with any other Seller Party.

"<u>Senior Financing LTV</u>" shall mean, with respect to any Mortgage Asset, a fraction (expressed as a percentage) (A) the numerator of which is the outstanding principal balance of such Mortgage Asset (taking into account the Mortgage Loan and any related Mezzanine Loan that is, or will be, included as a Purchased Asset, together with any pari-passu loans but excluding any subordinate loans (other than any Mezzanine Loan that is, or will be, included as a Purchased Asset) secured directly or indirectly by the related Mortgaged Property) and (B) the denominator of which is the "as-is" value of the related Mortgaged Property or Mortgaged Properties as determined by Buyer in its sole and absolute discretion.

"<u>Senior Note</u>" shall mean a Promissory Note evidencing a senior or pari passu senior position in a Mortgage Loan or a Mezzanine Loan; <u>provided</u> that the holder of any pari passu Senior Note is the Controlling Holder. A Senior Note shall not be junior to any other Promissory Note secured by the same Mortgaged Property.

"<u>Senior Participation Interest</u>" shall mean a senior or pari passu senior Participation Interest in a Mortgage Loan or a combination of a Mortgage Loan and a related Mezzanine Loan evidenced by a Participation Certificate; <u>provided</u> that the holder of any pari passu Senior Participation Interest is the Record Holder and the Controlling Holder. A Senior Participation Interest shall not be junior to any other Participation Interest or Promissory Note secured directly or indirectly by the same Mortgaged Property.

"<u>Servicer</u>" shall mean (i) MonticelloAM Servicing, LLC, a Delaware limited liability company, (ii) Backup Servicer and (iii) any other servicer approved by Buyer in its sole discretion to service or subservice Purchased Assets, in each case solely to the extent such Person has entered into a Servicing Agreement with the applicable Seller and a Servicer Notice with the applicable Seller and Buyer.

"<u>Servicer Account</u>" shall mean, with respect to any Servicer, each segregated account (if any) established by such Servicer exclusively for Income (if applicable, it being acknowledged that initial Servicer shall remit Income directly to the Collection Account) and/or any escrows and reserves related to the Purchased Assets serviced or managed, as applicable, by such Servicer. All references to "Servicer Account" shall mean the applicable Servicer Account.

"<u>Servicer Notice</u>" shall mean, with respect to any Servicer, a servicer notice that is entered into by such Servicer, Buyer and the applicable Seller(s), in each case, which shall be substantially in the form of <u>Exhibit G</u> hereto, as the same may be amended, restated, supplemented or otherwise modified from time to time.

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"<u>Servicer Termination Event</u>" shall mean, with respect to any Servicer: (a) the occurrence of a material breach or default or an event of default or similar occurrence under the applicable Servicing Agreement, (b) a material breach of the related Servicer Notice or other Facility Document to which it is a party beyond any applicable notice and/or cure period, or (c) such Servicer shall become the subject of an Insolvency Event.

"<u>Servicing Agreement</u>" shall mean any servicing agreement and/or asset management agreement entered into among the applicable Seller(s) and a Servicer, as approved by Buyer and of which Buyer shall be an intended third-party beneficiary pursuant to a Servicer Notice, and as each may be amended, restated, supplemented or otherwise modified from time to time.

"<u>Servicing Records</u>" shall mean, with respect to each Purchased Asset, all servicing records, including but not limited to any and all servicing agreements, files, documents, records, data bases, computer tapes, copies of computer tapes, proof of insurance coverage, insurance policies, appraisals, other closing documentation, payment history records, and any other records relating to or evidencing the servicing of such Purchased Asset.

"<u>Servicing Rights</u>" shall mean rights of any Person to administer, manage, service or subservice, the Purchased Assets or to possess related Servicing Records.

"<u>Settlement Agent</u>" shall mean, with respect to any Wet-Ink Mortgage Asset, (i) a national title company or other escrow agent to which the proceeds of the related Transaction are to be wired and with has agreed to comply with the instructions set forth in the related Escrow Instruction Letter with respect to such proceeds and (ii) which has been approved by Buyer in its reasonable discretion.

"<u>Significant Modification</u>" shall mean, with respect to any Purchased Asset (as used in this definition, including without limitation, with respect to any Purchased Asset which is a partial interest in a Mortgage Loan and/or Mezzanine Loan, such underlying Mortgage Loan and/or Mezzanine Loan), any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any amendment, consent, or written waiver or other action or inaction which has the effect of modifying or waiving any monetary term or material non-monetary term (including, without limitation, prepayment terms, timing of payments and acceptance of discounted payoffs) of such Purchased Asset or any extension of the maturity date of such Purchased Asset, other than (i) if required pursuant to the specific terms of such Purchased Asset without any lender discretion, or (ii) any amendment, consent, or written waiver that has the effect of modifying or waiving a financial covenant or similar term under the related Asset Documents, which shall not be deemed a Significant Modification so long as, after giving effect to such amendment, consent or waiver, (A) the related Mortgage Asset is current (i.e., no monetary default or payment delinquency exists thereunder); (B) the debt service coverage ratio with respect to the related Purchased Asset is greater than 1.25x, as determined by Seller in its reasonable discretion; (C) the minimum net worth requirement applicable to the related guarantor is an amount equal to or greater than seventy-five (75%) of the outstanding principal balance of such Purchased Asset; (D) the minimum liquidity requirement applicable to the related guarantor is an amount equal to or greater than seven and one-half percent (7.5%) of the outstanding principal balance of such Purchased Asset; and (E) the same financial covenant has not been amended or waived, whether pursuant to a single amendment, consent, or waiver or a series thereof, for more than two (2) consecutive calendar quarters without the prior written consent of Buyer;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any release of collateral or any acceptance of substitute or additional collateral for such Purchased Asset or any consent to either of the foregoing, other than (i) if required pursuant to the specific terms of such Purchased Asset and (ii) for which there is no lender discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any waiver of a "due-on-sale" or "due-on-encumbrance" clause with respect to such Purchased Asset or any consent to such a waiver or consent to a transfer of the related Mortgaged Property (or any portion thereof) or interests in the related Borrower (or any portion thereof) or consent to the incurrence of debt, other than any such transfer or incurrence of debt as may be effected without the consent of the lender under the related Asset Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any acceptance of an assumption agreement releasing the related Borrower or other obligor from liability under such Purchased Asset other than (i) pursuant to the specific terms of such Purchased Asset and (ii) for which there is no lender discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any foreclosure or exercise of any material remedies under such Purchased Asset;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any approval of a ground lease, master lease or other lease for all or substantially all of the Mortgaged Property for which lender consent is required pursuant to the related Asset Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any approval of a management agreement or any amendment of or any material consent, waiver or other action under a management agreement or the Asset Documents related thereto, unless there is no lender discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any material amendment of, material waiver of right under, entering into or execution of any intercreditor, co-lender, participation or other similar agreement among creditors other than any such agreements that are in effect as of the related Purchase Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any amendment, consent, waiver or other action or inaction under or in connection with such Purchased Asset which, in each case, would have the effect of waiving any monetary or material non-monetary default or any event of default, or waiving or delaying the exercise of any remedies in connection therewith, including without limitation, entering into any legally binding forbearance agreement; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) with respect to any Purchased Asset where the related Borrower, guarantor or other obligor is an Affiliate of any Seller Party, any modification, consent, waiver or other action or inaction which has the effect of waiving or modifying any term thereof or the granting of any accommodation or approval thereunder.

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With respect to any Purchased Asset for which an Affiliate of Seller is the holder of, or has the right to exercise, any control rights (including, without limitation, as holder of a controlling class in a securitization) with respect to any Significant Modification of the related Mortgage Loan, Mezzanine Loan and/or Companion Interest, as applicable, shall be deemed to be a Significant Modification of such Purchased Asset.

"<u>Single-Employer Plan</u>" shall mean a single-employer plan as defined in Section 4001(a)(15) of ERISA which is subject to the provisions of Title IV of ERISA.

"<u>SOFR</u>" shall mean a rate per annum equal to the secured overnight financing rate as calculated by the Federal Reserve Bank of New York (or a successor administrator of the secured overnight financing rate) and set forth on its public website.

"<u>S&P</u>" shall mean Standard & Poor's Ratings Services, or any successor thereto.

"<u>Sponsor</u>" shall mean, with respect to any Mortgage Loan, any Person that is the ultimate controlling owner of the related Borrower.

"<u>Subsidiary</u>" shall mean, with respect to any Person, any corporation, partnership, limited liability company or other entity of which at least a majority of the securities or other ownership interests having by the terms thereof ordinary voting power to elect a majority of the board of directors or other persons performing similar functions of such corporation, partnership or other entity (irrespective of whether or not at the time securities or other ownership interests of any other class or classes of such corporation, partnership or other entity shall have or might have voting power by reason of the happening of any contingency) is at the time directly or indirectly owned or controlled by such Person or one or more Subsidiaries of such Person or by such Person and one or more Subsidiaries of such Person.

"<u>Taxes</u>" shall mean all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees or other charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto.

"<u>Termination Date</u>" shall have the meaning assigned thereto in the Pricing Side Letter.

"<u>Term SOFR</u>" shall mean, with respect to each Pricing Rate Period, the rate per annum determined by Buyer as the forward-looking one-month term rate based on SOFR, as published by the CME Term SOFR Administrator at approximately 5:00 a.m., Chicago time, on the related Pricing Rate Determination Date. Any change in Term SOFR in accordance with this definition shall be effective without notice to Seller.

"<u>Total Financing LTV</u>" shall mean, with respect to any Mortgage Asset, a fraction (expressed as a percentage) (A) numerator of which is the sum of (i) the outstanding principal balance of such Mortgage Asset (taking into account the Mortgage Loan and any related Mezzanine Loan that is, or will be, included as a Purchased Asset) plus (ii) the outstanding principal balance of any other related pari-passu or subordinate loans (including Mezzanine Loans secured directly or indirectly by the related Mortgaged Property) and (B) the denominator of which is the "as-is" value of the related Mortgaged Property or Mortgaged Properties as determined by Buyer in its sole and absolute discretion.

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"<u>Transaction</u>" shall have the meaning set forth in <u>Section</u> <u>1</u> hereof.

"<u>Transaction Notice</u>" shall mean a request from any Seller to Buyer, which may be by electronic means (including e-mail), to enter into a Transaction.

"<u>Trust Receipt</u>" shall have the meaning set forth in the definition of "Trust Receipt" or any similar term in the Custodial Agreement.

"<u>Underwriting Package</u>" shall mean with respect to any proposed Purchased Assets, the Asset Schedule listing such proposed Purchased Assets and such other computer readable file or other information requested by Buyer during the course of its due diligence, including but not limited to the items set forth on <u>Exhibit D</u> hereto, and delivered prior to the date of a Transaction for such proposed Purchased Assets containing, with respect to the related proposed Purchased Assets, information in form and substance acceptable to Buyer in its sole discretion.

"<u>Uniform Commercial Code</u>" or "<u>UCC</u>" shall mean the Uniform Commercial Code as in effect from time to time in the State of New York; <u>provided</u> that if by reason of mandatory provisions of law, the perfection or the effect of perfection or non-perfection of the security interest in any Repurchase Assets or the continuation, renewal or enforcement thereof is governed by the Uniform Commercial Code as in effect in a jurisdiction other than New York, "Uniform Commercial Code" shall mean the Uniform Commercial Code as in effect in such other jurisdiction for purposes of the provisions hereof relating to such perfection or effect of perfection or non-perfection.

"<u>UCC Filing Jurisdiction</u>" shall mean, (a) with respect to any Seller, the State of Delaware and (b) with respect to any other Person, the State or Commonwealth of organization of such Person.

"<u>UCC Financing Statement</u>" shall mean, individually or collectively as the context may require, each Seller Financing Statement, each Affiliated Transferor Pledgor Financing Statement, each Equity Pledgor Financing Statement and any other UCC financing statement filed pursuant to <u>Section</u> <u>3(b)(xvii)</u>.

"<u>USA Patriot Act</u>" shall mean the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, as amended.

"<u>U.S. Government Securities Business Day</u>" shall mean any day except for (i) a Saturday, (ii) a Sunday or (iii) a day on which the Securities Industry and Financial Markets Association recommends that the fixed income departments of its members be closed for the entire day for purposes of trading in United States government securities.

"<u>U.S. Person</u>" shall mean a "United States person" (as such term is defined in Section 7701(a)(30) of the Code).

"<u>U.S. Tax Compliance Certificate</u>" shall have the meaning set forth in <u>Section</u> <u>8(e)(ii</u>) hereof.

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"<u>Wet-Ink Delivery Date</u>" shall have the meaning assigned to such term in the Pricing Side Letter.

"<u>Wet-Ink Mortgage Asset</u>" shall mean a Mortgage Asset which a Seller is selling to Buyer simultaneously with the origination thereof and for which the related Asset File has not been received by Custodian as of related Purchase Date. A Purchased Asset shall cease to be a Wet-Ink Mortgage Asset on the date on which Buyer has received (i) an Asset Schedule and Exception Report from Custodian with respect to such Purchased Asset confirming that Custodian has physical possession of the related Asset File and (ii) a Trust Receipt issued by Custodian showing no exceptions with respect to such Purchased Asset in accordance with the Custodial Agreement.

**Section 3. <u>No Commitment; Initiation; Termination</u>** 

During the Availability Period and subject to the terms and conditions set forth herein, Buyer agrees that it may, in its sole discretion, enter into Transactions with Sellers from time to time for the purchase of Eligible Assets and subsequent increases (and corresponding decreases, as applicable) in the Purchase Price thereof in accordance with the terms set forth herein, in an aggregate principal amount that will not result in the Aggregate Facility Repurchase Price to exceed, as of any date of determination, the Maximum Aggregate Purchase Price. The repurchase facility provided under this Agreement is not a commitment by Buyer to enter into Transactions with the Sellers but sets forth the requirements under which Buyer would consider entering into such Transactions as set forth herein. For the sake of clarity, each Seller hereby acknowledges that Buyer is under no obligation to agree to enter into, or to enter into, any Transaction pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Conditions Precedent to Initial Transaction</u>. Buyer's agreement (if any) to enter into the initial Transaction hereunder is subject to the satisfaction, immediately prior to or concurrently with the making of such Transaction, of the condition precedent that Buyer shall have received from Seller any fees and expenses payable hereunder, and all of the following documents, each of which shall be satisfactory to Buyer and its counsel in form and substance:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Facility Documents</u>. The Facility Documents duly executed by the parties thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Opinions of Counsel</u>. An opinion or opinions of the Seller Parties' outside counsel, dated as of the date hereof, as to such customary matters as Buyer may request and in form and substance acceptable to Buyer in its sole good faith discretion, including, without limitation, with respect to (A) Buyer's first priority lien on and perfected security interest in the Purchased Assets and the Repurchase Assets; (B) Buyer's perfected security interest in any Collection Account and the amounts deposited therein from time to time; (C) the non-contravention of law, enforceability and corporate opinions with respect to the Seller Parties; (D) the inapplicability of the Investment Company Act of 1940 to the Seller Parties; and (E) the applicability of Bankruptcy Code, "repurchase agreement", "securities contract" and "master netting agreement" safe harbors to this Agreement, the Guaranty, each Equity Pledge Agreement, each Affiliated Transferor Pledge Agreement (if any) and the Servicer Notice;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <u>Seller Parties' Organizational Documents</u>. A certificate of existence of each Seller Party delivered to Buyer prior to the Effective Date and certified copies of the organizational documents of each Seller Party and of all corporate or other authority for each Seller Party with respect to the execution, delivery and performance of the Facility Documents and each other document to be delivered by such Seller Party from time to time in connection herewith, in each case, in form and substance acceptable to Buyer in its good faith discretion;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) <u>Good Standing Certificates</u>. A certified copy of a good standing certificate from the jurisdiction of organization of each Seller Party, dated as of no earlier than the date that is thirty (30) calendar days prior to the date hereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>Incumbency Certificates</u>. An incumbency certificate of the manager, member, director or other similar officer of each Seller Party, certifying the names, true signatures and titles of the representatives duly authorized to request transactions hereunder and to execute the Facility Documents to which it is a party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) <u>Security Interest</u>. Evidence that all other actions necessary or, in the good faith opinion of Buyer, desirable to perfect and protect the sale, transfer, conveyance and assignment by each Seller to Buyer or its designee, subject to the terms of this Agreement, all of such Seller's right, title and interest in and to the Purchased Assets, the Repurchase Assets and other items pledged under <u>Section</u> <u>9(a)</u> hereof, together with all right, title and interest in and to the proceeds of the Purchased Assets and the Repurchase Assets have been taken;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) <u>Insurance</u>. Evidence that Buyer has been added as an additional loss payee under the Guarantor's Fidelity Insurance;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) <u>Power of Attorney</u>. A Power of Attorney in the form of <u>Exhibit F-1</u> hereto executed by each Seller and a Power of Attorney in the form of <u>Exhibit F-2</u> hereto executed by each Servicer (if any) which is an Affiliate of any Seller Party;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) <u>Security Interest</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Evidence that all other commercially reasonable actions necessary to perfect and protect Buyer's interest in the Purchased Assets have been taken. Each Seller shall take all commercially reasonable steps as may be necessary in connection with performing UCC searches and duly authorizing and filing Uniform Commercial Code financing statements in the UCC Filing Jurisdiction of such Seller, naming such Seller as "Debtor" and Buyer as "Secured Party" and describing as "Collateral" "All assets of Seller, whether now owned or existing or hereafter acquired or arising and wheresoever located, and all proceeds and all products there" (each, a "<u>Seller Financing Statement</u>");

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Evidence that all other commercially reasonable actions necessary to perfect and protect Buyer's interest in the Servicing Rights have been taken. Each Seller shall take (or cause Servicer to take) all commercially reasonable steps as may be necessary in connection with duly authorizing and filing a UCC financing statement in the UCC Filing Jurisdiction of each Servicer (if any) which is an Affiliate of any Seller Party naming such Servicer as "Debtor" and Buyer as "Secured Party" and describing as "Collateral" all of such Servicer's Servicing Rights related to the Purchased Assets and all proceeds related thereto; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Evidence that all other commercially reasonable actions necessary to perfect and protect Buyer's interest in the Equity Pledged Assets have been taken. Each Equity Pledgor shall take all steps as may be necessary in connection with duly authorizing and filing a UCC financing statement in the UCC Filing Jurisdiction of such Equity Pledgor naming such Equity Pledgor as "Debtor" and Buyer as "Secured Party" and describing as "Collateral" all of such Equity Pledged Assets and all proceeds related thereto (each, an "<u>Equity Pledgor Financing Statement</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Other Documents</u>. Such other documents as Buyer may reasonably request, in form and substance reasonably acceptable to Buyer; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) <u>Payment of Facility Fee</u>. Payment to Buyer from Sellers of the Facility Fee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Conditions Precedent to all Transactions</u>. Upon satisfaction of the conditions set forth in this <u>Section</u> <u>3(b)</u>, and subject to the limitations set forth in the first paragraph of <u>Section</u> <u>3</u>, Buyer may, in its sole discretion, enter into a Transaction with Sellers; <u>provided</u> that, each Seller agrees and acknowledges that there shall be no new Transactions during the Amortization Period. Buyer's entering into each Transaction (including the initial Transaction and each Purchase Price Increase) is subject to the satisfaction of the following further conditions precedent, both immediately prior to entering into such Transaction and also after giving effect thereto to the intended use thereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Confirmation</u>. Seller shall have executed and delivered to Buyer a Confirmation in accordance with the procedures set forth in <u>Section</u> <u>3(c)</u>;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Due Diligence Review</u>. Without limiting the generality of <u>Section</u> <u>20</u> hereof, Buyer shall have received the Underwriting Package at least ten (10) Business Days prior to the related Purchase Date (or such lesser time agreed to by Buyer in writing in its sole discretion), and (A) shall have completed, to Buyer's satisfaction, its due diligence review of the related proposed Purchased Assets, and (B) at its sole discretion, shall have completed, to its satisfaction, its due diligence review of the Seller Parties and each applicable Servicer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) <u>No Margin Deficit; No Default; No Servicer Termination Event</u>. No Margin Deficit, Servicer Termination Event, Default or Event of Default shall have occurred and be continuing or will result after giving effect to the requested Transaction;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) <u>Representations and Warranties; Eligible Assets</u>. Both immediately prior to the requested Transaction and also after giving effect thereto and to the intended use thereof, the representations and warranties made by the Seller Parties under the Facility Documents (including <u>Section</u> <u>13(f)</u> and <u>Schedule 1</u> hereto in respect of each related Mortgage Asset subject to any exceptions listed on the approved Requested Exceptions Report attached to the related Confirmation) shall be true, correct and complete on and as of such Purchase Date with the same force and effect as if made on and as of such date (or, if any such representation or warranty is expressly stated to have been made as of a specific date, as of such specific date). Each Mortgage Asset offered for purchase to Buyer pursuant to such Transaction is an Eligible Asset;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>Maximum Purchase Price</u>. After giving effect to the requested Transaction, (i) the Aggregate Facility Repurchase Price for all Purchased Assets subject to then outstanding Transactions under this Agreement (including such Purchased Assets that are being proposed by the Sellers for purchase under such Transaction) shall not exceed the Maximum Aggregate Purchase Price and (ii) the Purchase Price of the related Purchased Asset shall not exceed its Asset Value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) <u>Transaction Notice</u>. With respect to each proposed Purchased Asset, at least ten (10) Business Days (or such lesser time agreed to by Buyer in its sole discretion) prior to the related Purchase Date, Sellers shall have delivered to Buyer (a) a Transaction Notice, (b) an Asset Schedule, and (c) an initial Confirmation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) <u>Delivery of Asset File</u>. With respect to each Mortgage Asset that is subject to a proposed Transaction: (A) other than in the case of a Wet-Ink Mortgage Asset, (x) the applicable Seller shall have delivered to Custodian the Asset File with respect to such Mortgage Asset and (y) the Custodian shall have issued (i) an Asset Schedule and Exception Report with respect to such Mortgage Asset as soon as practicable (but no later than one (1) Business Day prior to the related Purchase Date or such later time as agreed to by Buyer) and (ii) a Trust Receipt showing no exceptions with respect to such Mortgage Asset to Buyer as of the related Purchase Date by no later than 3:00 p.m. (New York City time) on such Purchase Date subject to and in accordance with the Custodial Agreement, and (B) in the case of a Wet-Ink Mortgage Asset, (w) the applicable Bailee and the applicable Seller shall have delivered to Buyer an Inbound Bailee Letter for such Mortgage Asset duly executed and delivered by the parties thereto, (x) the applicable Seller shall have delivered to Bailee the Asset File with respect to such Mortgage Asset, (y) the applicable Bailee has confirmed possession of the Asset File by no later than 3:00 p.m. (New York City time) on the related Purchase Date in accordance with the terms of the related Inbound Bailee Letter and (z) the applicable Settlement Agent and the applicable Seller shall have delivered to Buyer an Escrow Instruction Letter with respect to such Mortgage Asset duly executed and delivered by the parties thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) <u>Delivery of Appraisal</u>. With respect to the Mortgaged Property securing any Mortgage Asset that is subject to a proposed Transaction, Sellers shall have delivered to Buyer a true and complete copy of a related Appraisal for such Mortgaged Property dated no more than one hundred eighty (180) days prior to the origination date of such Mortgage Asset;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) <u>Servicer Notices</u>. Buyer shall have received an acknowledgment from Servicer, which may be by email, that each Mortgage Asset that is subject to the proposed Transaction will be subject to the applicable Servicer Notice upon becoming a Purchased Asset;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Approval of Servicing Agreement</u>. To the extent not previously delivered and approved, Buyer shall have, in its sole discretion, approved each Servicing Agreement pursuant to which any Mortgage Asset that is subject to the proposed Transaction is serviced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xi) <u>Purchase Price Floor</u>. With respect to Mortgage Assets to be subject to the proposed Transaction, the aggregate Purchase Price for any Transaction shall not be less than Ten Million Dollars ($10,000,000) unless approved by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xii) <u>Fees and Expenses</u>. Buyer shall have received all fees and expenses due and owing as of the related Purchase Date, including, but not limited to, all fees and expenses of counsel to Buyer and due diligence vendors as contemplated by herein and the Pricing Side Letter, which amounts, at Buyer's option, may be withheld from the proceeds remitted by Buyer to the Sellers pursuant to any Transaction hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiii) <u>Requirements of Law</u>. Buyer shall not have determined that the introduction of or a change in any Requirement of Law or in the interpretation or administration of any Requirement of Law applicable to Buyer has made it unlawful, and no Governmental Authority shall have asserted in writing that it is unlawful, for Buyer to enter into Transactions hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xiv) <u>No Material Adverse Change</u>. None of the following shall have occurred and/or be continuing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) an event or events shall have occurred in the good faith determination of Buyer resulting in the effective absence of a "repo market" or comparable "lending market" for financing debt obligations secured by mortgage loans or securities or an event or events shall have occurred resulting in Buyer not being able to finance mortgage loans through the "repo market" or "lending market" with traditional counterparties at rates which would have been reasonable prior to the occurrence of such event or events; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) an event or events shall have occurred resulting in the effective absence of a "securities market" for securities backed by mortgage loans or an event or events shall have occurred resulting in Buyer not being able to sell securities backed by mortgage loans at prices which would have been reasonable prior to such event or events; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) there shall have occurred a material adverse change in the financial condition of Buyer which affects (or can reasonably be expected to affect) materially and adversely the ability of Buyer to fund its obligations under this Agreement; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) there shall have occurred (i) a material change in financial markets, an outbreak or escalation of hostilities or a material change in national or international political, financial or economic conditions; (ii) a general suspension of trading on major stock exchanges; or (iii) a disruption in or moratorium on commercial banking activities or securities settlement services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xv) <u>Certification.</u> Each Confirmation executed and delivered by Sellers hereunder shall constitute a certification by Sellers that all the conditions set forth in this <u>Section</u> <u>3(b)</u> have been, or will be on the related Purchase Date, satisfied (both as of the date of such notice or request and as of such Purchase Date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvi) <u>Evidence of Ownership</u>. Buyer shall have received evidence satisfactory to it that (x) Sellers own the proposed Purchased Assets prior to remittance of the Purchase Price by Buyer and (y) if any proposed Purchased Asset is a Wet-Ink Mortgage Asset, Sellers own the proposed Purchased Asset simultaneously with the origination thereof, in each case, prior to remittance of the Purchase Price by Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xvii) <u>Acquisition from Affiliated Transferor</u>. To the extent any Mortgage Asset that is subject to a proposed Transaction is transferred to a Seller from an Affiliated Transferor, the Affiliated Transferor Pledge Agreement Requirements by each applicable Affiliated Transferor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xviii) <u>Funding of Wet-Ink Mortgage Asset</u>. With respect to any proposed Transaction involving a Wet-Ink Mortgage Asset:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the related Seller shall have provided evidence satisfactory to Buyer that such Seller has transferred funds to the related Settlement Agent on the related Purchase Date to be applied to the origination of such Wet-Ink Mortgage Asset, in an amount equal to the portion of the funding for the origination of such Wet-Ink Mortgage Asset that will not be funded by Buyer pursuant to such Transaction; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) the related Seller shall have confirmed receipt of a closing protection letter and the wire instructions for Settlement Agent have been validated by Buyer or its designee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(xix) <u>Other Documents</u>. Such other agreements, documents, letters or side letters as Buyer may reasonably request, in form and substance reasonably acceptable to Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Initiation</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) During the Availability Period, Sellers shall request that Buyer enter into any Transaction for Eligible Assets by delivering to Buyer an Asset Schedule, Underwriting Package and a Transaction Notice, as early as practicable, but no later than ten (10) Business Days (or such lesser time agreed to by Buyer in writing in its sole discretion) prior to the proposed Purchase Date and delivery of such Transaction Notice

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shall be deemed a representation and warranty that no Seller has actual knowledge of any material information concerning the applicable Eligible Asset which is not reflected in such Asset Schedule or Transaction Notice or other information or otherwise disclosed to Buyer in writing. Buyer shall have the right to review the information set forth on the Transaction Notice and accompanying Asset Schedule, the Underwriting Package and the Eligible Assets proposed to be subject to a Transaction as Buyer determines during normal business hours. Sellers shall involve Buyer in all aspects of due diligence as Buyer shall deem necessary in its sole discretion for all related diligence items in each Seller's possession or control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon Sellers' request to enter into a Transaction pursuant to <u>Section</u> <u>3(c)(i</u>) and satisfaction of all conditions precedent set forth in this <u>Section</u> <u>3</u> have been met, on the requested Purchase Date, Buyer may, in its sole discretion, purchase the Eligible Assets included in the related Transaction Notice pursuant to the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Upon request, Sellers shall deliver to Buyer (a) a draft initial confirmation no later than two (2) Business Days prior to the proposed Purchase Date, or on such date as mutually agreed upon by Sellers and Buyer, substantially in the form of <u>Exhibit A-1</u> attached hereto (a "<u>Confirmation</u>"), confirming the terms agreed upon between Buyer and Sellers for such Transaction and attaching the final Asset Schedule. If each of the conditions precedent in this <u>Section</u> <u>3</u> hereof have been met as determined by Buyer in its sole discretion, and Buyer so elects in its sole discretion, Buyer may fund the related Purchase Price on the Purchase Date in accordance with <u>Section</u> <u>3(c)(vi)</u> below and such funding shall be deemed to be Buyer's acceptance of the terms of the proposed Transaction set forth in the applicable Confirmation. Sellers shall execute and return the final Confirmation to Buyer via e-mail on or prior to noon (New York City time) on the related Purchase Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Each Transaction Notice and Confirmation, together with this Agreement, shall be conclusive evidence of the terms of the Transaction(s) covered thereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Other than with respect to any Wet-Ink Mortgage Asset, prior to the related Purchase Date, Sellers shall deliver to Custodian the Asset File pertaining to each Mortgage Asset made subject to a Transaction. With respect to each Mortgage Asset that is a Wet-Ink Mortgage Asset, Seller shall deliver to Custodian the Asset File pertaining to such Mortgage Asset no later than the Wet-Ink Delivery Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Subject to the provisions of this <u>Section</u> <u>3</u>, to the extent that Buyer agrees in its sole discretion to fund the related Purchase Price on the Purchase Date in accordance with <u>Sections 3(c)(ii</u>) and <u>(iii)</u> above, the aggregate Purchase Price for the related Transaction shall then be made available to Sellers (x) with respect to each Purchased Asset which is not a Wet-Ink Mortgage Asset, and upon Buyer's receipt of the Trust Receipt in accordance with the Custodial Agreement by Buyer transferring, via wire transfer in the aggregate amount of such Purchase Prices in funds immediately available in accordance with <u>Section</u> <u>10(b</u>) and (y) with respect to each Wet-Ink Mortgage Asset, by

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Buyer transferring to the Settlement Agent in accordance with the wire instructions set forth in the related Confirmation via wire transfer the aggregate amount of such Purchase Price in funds immediately available; <u>provided</u> that to the extent funds are disbursed to the Settlement Agent and a Wet-Ink Mortgage Asset is not funded, such funds shall be refunded to Buyer on the same Business Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) With respect to any Wet-Ink Mortgage Asset subject to a Transaction, on the related Purchase Date and on each Business Day following such Purchase Date, no later than 5:00 p.m. (New York time), pursuant to the Custodial Agreement, Custodian shall deliver to Buyer a schedule listing each Wet-Ink Mortgage Asset with respect to which the complete Asset File has not been received by Custodian.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Optional Repurchase</u>. Sellers may effect a repurchase of one or more Purchased Assets on any Business Day (such repurchase, an "<u>Optional Repurchase</u>" and the date thereof, an "<u>Optional Repurchase Date</u>") subject to satisfaction of the following conditions: (i) at least five (5) Business Days' prior written notice to Buyer designating the Optional Repurchase Date and the Purchased Assets to be repurchased, (ii) no Default or Event of Default has occurred and be continuing as of the Optional Repurchase Date unless, with respect to a Default, such Default will be cured by such Optional Repurchase, (iii) no Margin Deficit shall result or remain immediately after such repurchase and (iv) the payment by Sellers to Buyer of the Repurchase Price and the related Exit Fee (if any) directly to Buyer's Account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Repurchase</u>. On the Repurchase Date (including an Optional Repurchase Date, so long as the conditions in <u>Section</u> <u>3(d)</u> are satisfied) for any Transaction, termination of such Transaction will be effected by reassignment to the applicable Seller or its designee of the Purchased Assets (and any Income in respect thereof received by Buyer not previously credited or transferred to, or applied to the obligations of, Sellers pursuant to <u>Section</u> <u>5</u> hereof) against the simultaneous transfer of the Repurchase Price to Buyer's Account; <u>provided</u> that, Buyer shall have no obligation to permit such Seller to repurchase individual Purchased Assets if an Event of Default has occurred and be continuing. Such obligation to repurchase exists without regard to any prior or intervening liquidation or foreclosure with respect to any Purchased Asset (but Liquidation Proceeds received by Buyer shall be applied to reduce the Repurchase Price for the Purchased Assets to which such Liquidation Proceeds relate on each Remittance Date except as otherwise provided herein). Seller is obligated to obtain the Asset Files from the Custodian at such Seller's expense on the Repurchase Date; provided that Buyer shall execute any required request for release or similar instrument and shall otherwise reasonably cooperate with Seller in connection with obtaining Asset Files related to Purchased Assets that have been repurchased in accordance with the terms of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Administration of the Benchmark</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) If prior to any Remittance Date, Buyer determines in its sole but good faith discretion that, by reason of circumstances affecting the relevant market, (i) adequate and reasonable means do not exist for ascertaining the Benchmark, (ii) the Benchmark is no longer in existence, (iii) continued implementation of the Benchmark is no longer administratively feasible or no significant market practice for the administration of the Benchmark exists, (iv) the Benchmark will not adequately and fairly reflect the cost

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to Buyer of purchasing or maintaining Purchased Assets or (v) the administrator of the applicable Benchmark or a Governmental Authority having jurisdiction over Buyer has made a public statement identifying a specific date after which the Benchmark shall no longer be made available or used for determining the interest rate of loans, Buyer may give prompt notice thereof to Sellers, whereupon the rate that will replace the Benchmark for the Pricing Rate period immediately succeeding such Remittance Date, and for all subsequent Pricing Rate periods until such notice has been withdrawn by Buyer, shall be the greater of (i) an alternative benchmark rate (including any mathematical or other adjustments to such benchmark rate (if any) incorporated therein) and (ii) zero, in lieu of the then-applicable Benchmark (any such rate, a "<u>Benchmark Replacement Rate</u>"), together with any proposed Benchmark Administration Changes, in each case as determined by Buyer in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Subject to the following sentence, Buyer will have the right to make Benchmark Administration Changes from time to time with respect to the Benchmark (including any Benchmark Replacement Rate), and will promptly notify Sellers of the effectiveness of any such changes. Any adoption of Benchmark Administration Changes and any determination of a Benchmark Replacement Rate shall be made by Buyer in a manner substantially consistent with market practice (or, if Buyer decides that adoption of any portion of such market practice is not administratively feasible or if Buyer determines that no market practice for the administration of such Benchmark Replacement Rate exists, in such other manner of administration as Buyer decides is reasonably necessary in connection with the administration of this Agreement and the other Facility Documents). Notwithstanding anything to the contrary herein or the other Facility Documents, any such Benchmark Administration Changes will become effective without any further action or consent of Sellers or any other party to this Agreement or the other Facility Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Any determination, decision or election that may be made by Buyer pursuant to this <u>Section</u> <u>3(f</u>), including any determination with respect to a tenor, rate or adjustment or of the occurrence or non-occurrence of an event, circumstance or date and any decision to take or refrain from taking any action or any selection, will be conclusive and binding absent manifest error and may be made in its discretion and without consent from any other party to this Agreement or any other Facility Document.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Buyer does not warrant or accept responsibility for, and shall not have any liability with respect to (a) the continuation of, administration of, submission of, calculation of or any other matter related to Term SOFR, or any component definition thereof or rates referred to in the definition thereof, or any alternative, successor or replacement rate thereto (including any Benchmark Replacement Rate), including whether the composition or characteristics of any such alternative, successor or replacement rate (including any Benchmark Replacement Rate) will be similar to, or produce the same value or economic equivalence of, or have the same volume or liquidity as, Term SOFR or any other Benchmark prior to its discontinuance or unavailability, or (b) the effect, implementation or composition of any Benchmark Administration Changes, unless, solely with respect to this clause (b), such liability arises from Buyer's bad faith, gross negligence or willful misconduct in connection with such Benchmark Administration Changes. Buyer and its Affiliates or other related entities may engage in transactions that affect the

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calculation of Term SOFR, any alternative, successor or replacement rate (including any Benchmark Replacement Rate) or any relevant adjustments thereto, in each case, in a manner adverse to Sellers. Buyer may select information sources or services in its reasonable discretion to ascertain the Term SOFR or any other Benchmark, in each case pursuant to the terms of this Agreement, and shall have no liability to any Seller Party or any other person or entity for damages of any kind, including direct or indirect, special, punitive, incidental or consequential damages, costs, losses or expenses (whether in tort, contract or otherwise and whether at law or in equity), for any error or calculation of any such rate (or component thereof) provided by any such information source or service.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Future Advances</u>. (i) From time to time during the Availability Period, in connection with the making of a Future Advance to a Borrower under a Purchased Asset, the related Seller may request an increase of the Purchase Price of such Purchased Asset; <u>provided</u> that Sellers shall not request more than one (1) increase with respect to the same Purchased Asset during any calendar month. Any approval by Buyer of such increase of the Purchase Price shall be in writing and given or denied at Buyer's sole and absolute discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If such approval for a Purchase Price increase is granted, Buyer's funding of such increase shall be subject to the satisfaction of the following conditions:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) both immediately prior to the requested Purchase Price increase and also after giving effect thereto and to the intended use thereof, the conditions set forth in <u>Sections 3(b)(xiii)</u> (Requirements of Law), <u>3(b)(xiv)</u> (No Material Adverse Change) and <u>3(b)(xvi)</u> (Security Interest) have been satisfied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) at least ten (10) Business Days prior written notice to Buyer together with (1) copies of all documentation submitted by Borrower in connection with the applicable Future Advance and (2) evidence that all conditions precedent to such Future Advance under the related Asset Documents have been satisfied or will be satisfied as of the date of the related funding (or, if any conditions will not be satisfied, written request for Buyer's waiver of such conditions);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) unless otherwise consented to by Buyer, the amount of the requested Purchase Price increase with respect to any Purchased Asset is at least $1,000,000;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) Buyer shall have determined to its satisfaction that (1) there is no monetary or material non-monetary default then existing under such Purchased Asset, (2) all conditions precedent to such Future Advance under the related Asset Documents have been duly satisfied or waived by Buyer in writing and (3) any additional conditions imposed by Buyer with respect to such Future Advance, as specified in the related Confirmation, have been duly satisfied or waived by Buyer in writing;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) delivery by the applicable Seller to Buyer of an amended and restated Confirmation for the applicable Transaction which reflects the increase in the Purchase Price signed by a Responsible Officer of such Seller (<u>provided</u>, <u>however</u>, that Buyer shall not be liable to any Seller if it inadvertently acts on a Confirmation that has not been signed by a Responsible Officer of such Seller), and delivery by Buyer to such Seller of a countersigned copy of such amended and restated Confirmation;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) no Margin Deficit, Servicer Termination Event, Default or Event of Default shall have occurred and be continuing or will result after giving effect to the requested Purchase Price increase;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) both immediately prior to the requested Purchase Price increase and also after giving effect thereto and to the intended use thereof, the representations and warranties made by the Seller Parties under the Facility Documents (including in <u>Section</u> <u>13(f)</u> and <u>Schedule 1</u> hereto in respect of each related Purchased Asset subject to any exceptions listed on the approved Requested Exceptions Report attached to the related Confirmation) shall be true, correct and complete on and as of such Purchase Date with the same force and effect as if made on and as of such date (or, if any such representation or warranty is expressly stated to have been made as of a specific date, as of such specific date);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) after giving effect to the requested Purchase Price Increase, (1) the Aggregate Facility Repurchase Price for all Purchased Assets subject to then outstanding Transactions under this Agreement (including such Purchase Price Increase) shall not exceed the Maximum Aggregate Purchase Price and (2) the Purchase Price of the related Purchased Asset shall not exceed its Asset Value;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) Buyer shall have received a written certification by Sellers (which may be contained in the related Confirmation) stating that foregoing conditions have been or will be satisfied as of the time required above and all conditions precedent to the funding of such Future Advance under the related Asset Documents have been satisfied; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) Sellers shall have delivered to Buyer such other information and documentation (including, without limitation, either an updated title policy or an appropriate date-down endorsement) as Buyer requests, in its sole and absolute discretion, to the extent in Seller's possession or obtainable by Seller pursuant to the related Asset Documents or at *de minimis* expense to Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Upon the satisfaction of all conditions set forth in <u>Section</u> <u>3(g)(ii)</u> as determined by Buyer, in its sole but good faith discretion, Buyer shall transfer the amount of the Purchase Price increase to an account of the applicable Seller or, if such increase is being funded on the same day as the Future Advance is being made to the related Borrower, directly to the Borrower, Servicer or any title company, settlement agent or other Person, as agreed to by Buyer and such Seller.

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**Section 4. <u>Mandatory Repurchases</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Without limiting Buyer's rights and remedies under <u>Section</u> <u>7</u> hereof or otherwise, if a Mandatory Early Repurchase Event has occurred for any Purchased Asset, then the Asset Value thereof shall automatically be reduced to zero (unless otherwise determined by Buyer in its sole discretion) and Buyer may, at its option, by written notice to Sellers (as such notice is more particularly set forth below, a "<u>Repurchase Notice</u>"), require the applicable Seller to repurchase such Purchased Asset. In the case of such repurchase, Sellers shall, at Buyer's written direction, be required to repurchase the affected Purchased Asset by remitting the related Repurchase Price (as set forth in the Repurchase Notice) to Buyer as soon as is practicable but, in any case, not more than five (5) Business Days after Buyer has delivered such Repurchase Notice to Sellers (such date, the "<u>Mandatory Early Repurchase Date</u>"). Sellers shall be required to notify Buyer as soon as is practicable after obtaining actual knowledge of any fact that could be the basis for any Mandatory Early Repurchase Event (x) pursuant to <u>clauses (e)</u> (with respect to a maturity default) or <u>(f)</u> of such definition, not more than two (2) Business Days after obtaining knowledge thereof, and (y) pursuant to any other clause of such definition, not more than five (5) Business Days after obtaining knowledge thereof. For the sake of clarity, Sellers shall ensure that such Repurchase Price (including without limitation any related expenses of Buyer incurred in connection therewith) is remitted directly to Buyer's Account and not pursuant to <u>Section</u> <u>5</u> hereof. Any cash remitted to Buyer pursuant to this <u>Section</u> <u>4(a</u>) shall be credited and applied to the Repurchase Price of the related Purchased Asset and any other amounts then due and payable by Sellers with respect to such Purchased Asset.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer's election, in its sole and absolute discretion, not to send a Repurchase Notice at any time a Purchased Asset is subject to a Mandatory Early Repurchase Event shall not in any way limit or impair its right to send a Repurchase Notice at a later time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The fact that Buyer has conducted or has failed to conduct any partial or complete due diligence investigation in connection with its purchase of any Purchased Asset shall not affect Buyer's right to demand repurchase or any other remedy as permitted under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Notwithstanding anything to the contrary in <u>Section</u> <u>4(a)</u> hereof, to the extent that (i) a Future Advance Failure has occurred, (ii) Seller has provided evidence satisfactory to Buyer in its sole good faith discretion that such Seller is contesting such alleged Future Advance Failure in good faith and (iii) Seller has deposited in the Collection Account (to be held therein for the benefit of Buyer) a Cash reserve (each, a "<u>Reserve Fund</u>") equal to the disputed Future Advance amount, no Mandatory Early Repurchase Date shall be deemed to occur with respect to such Purchased Asset. Buyer shall apply Reserve Funds (i) so long as no Event of Default shall have occurred and is continuing, at the request of such Seller, to cure the applicable Future Advance Failure or (ii) upon the occurrence and during the continuance of an Event of Default, to the Obligations in such order of priority as Buyer shall determine in its sole and absolute discretion.

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**Section 5. <u>Income Payments</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Notwithstanding that Buyer and Sellers intend that the Transactions hereunder be sales to Buyer of the Purchased Assets and Repurchase Assets for all purposes except accounting and tax purposes, Sellers shall pay to Buyer the accrued and unpaid Price Differential (less any amount of such Price Differential previously paid by Sellers to Buyer) on each Remittance Date. If any Seller fails to pay all or part of the Price Differential then due on any Remittance Date and such failure has resulted in an Event of Default, the Pricing Rate shall be equal to the Post-Default Rate until the Price Differential then due is received in full by Buyer. For the avoidance of doubt, each Seller's obligation to pay any Price Differential to Buyer shall not be deemed to be satisfied (and such Price Differential shall not be deemed to be paid to Buyer) until the amount of such Price Differential is actually received in full by Buyer in Buyer's Account (and not any Collection Account or any other account).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Sellers shall cause all Borrowers and other obligors to make all payments in respect of the Purchased Assets to Servicer. Sellers shall, and shall cause Servicer, and any interim servicer to, segregate and hold for the benefit of, and in trust for, Buyer all Income and other amounts received with respect to the Purchased Assets, and dispose thereof in accordance with the terms of the Servicing Agreement as modified by the related Servicer Notice. Each Seller shall cause Servicer to deposit all Income received on account of the Purchased Assets serviced or managed by Servicer into a Collection Account within three (3) Business Days following receipt. To the extent any Seller is holding any Income, such Seller shall deposit such Income promptly on receipt into a Collection Account. All Income shall be held in trust for Buyer, shall constitute the property of Buyer except for tax purposes which shall be treated as income and property of such Seller and when deposited to the Collection Account in accordance with the Servicer Notice and this Agreement, shall not be commingled with other property of such Seller, any Servicer or any of their respective Affiliates. Funds deposited in each Collection Account shall be held therein, in trust for Buyer, until they are distributed in accordance with this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Subject to the terms of the applicable Collection Account Control Agreement, funds on deposit in each Collection Account shall be applied by the Bank at the direction of Buyer on each Remittance Date prior to the occurrence of an Event of Default as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) first, to Buyer an amount equal to the Price Differential which has accrued and is outstanding as of such Remittance Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) second, to Buyer on account of unpaid fees, expenses, and indemnity amounts due to Buyer under the Facility Documents, amounts due to Buyer in connection with any Optional Repurchase, amounts due to Buyer in connection with Buyer's delivery of a Repurchase Notice under <u>Section</u> <u>4(a)</u> and any other amounts due to Buyer from any Seller Party under the Facility Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) third, to Buyer on account of, and for application to, the Repurchase Price of each Purchased Asset, the amount of principal payments that have been received with respect to such Purchased Asset and the amount of any sale proceeds received by Sellers in connection with sale of Purchased Assets; <u>provided</u> that, with respect to any Purchased Asset that is paid in full, Buyer shall receive the related Repurchase Price for such Purchased Asset;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) fourth, and without limiting Buyer's rights under <u>Section</u> <u>7</u>, to Buyer an amount equal to any unpaid Margin Deficit regardless of whether notice has been delivered;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) fifth, remaining amounts (if any), to the Sellers' Account.

Buyer shall be expressly permitted to set-off and appropriate and apply any amounts on deposit in each Collection Account against any payment obligation due and owing under this <u>Section</u> <u>5(c</u>).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) To the extent that Buyer receives any funds from a third party purchaser with respect to the purchase by such third party purchaser of a Purchased Asset, Buyer shall promptly apply such funds in accordance with the same order of priority set forth in <u>Section</u> <u>5(c)</u> hereof with such funds being first allocated to the Repurchase Price of the related Purchased Assets purchased by such third party purchaser.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Notwithstanding anything to the contrary herein, if an Event of Default has occurred and is continuing, Bank shall remit all amounts in each Collection Account to, or at the direction of, Buyer for applicable to the Obligations in such order of priority as Buyer shall determine in its sole and absolute discretion.

**Section 6. <u>Requirements of Law</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If any Requirement of Law or any change in the interpretation or application thereof or compliance by Buyer with any request or directive (whether or not having the force of law) from any central bank or other Governmental Authority made subsequent to the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) shall subject Buyer to any Taxes (other than (i) Indemnified Taxes, (ii) Taxes described in <u>clauses (b)</u> through <u>(d)</u> of the definition of "Excluded Taxes" or (iii) Connection Income Taxes) on its loans, loan principal, letters of credit, commitments, or other obligations, or its deposits, reserves, other liabilities or capital attributable thereto;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) shall impose, modify or hold applicable any reserve (including pursuant to regulations issued from time to time by the Federal Reserve Board for determining the maximum reserve requirement (including any emergency, special, supplemental or other marginal reserve requirement) with respect to eurocurrency funding (currently referred to as "Eurocurrency liabilities" in Regulation D)), special deposit, compulsory loan or similar requirement against assets held by, deposits or other liabilities in or for the account of, advances, or other extensions of credit by, or any other acquisition of funds by, any office of Buyer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) shall impose on Buyer any other condition;

and the result of any of the foregoing is to increase the cost to Buyer, by an amount which Buyer determines is material, of entering, continuing or maintaining any Transaction or to reduce any amount due or owing hereunder in respect thereof, then, in any such case, Sellers shall promptly pay Buyer such additional amount or amounts as calculated by Buyer in good faith as will compensate Buyer for such increased cost or reduced amount receivable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If Buyer shall have determined that the adoption of or any change in any Requirement of Law regarding capital adequacy or in the interpretation or application thereof or compliance by Buyer or any corporation controlling Buyer with any request or directive regarding capital adequacy (whether or not having the force of law) from any Governmental Authority made subsequent to the date hereof shall have the effect of reducing the rate of return on Buyer's or such corporation's capital as a consequence of its obligations hereunder to a level below that which Buyer or such corporation could have achieved but for such adoption, change or compliance (taking into consideration Buyer's or such corporation's policies with respect to capital adequacy) by an amount deemed by Buyer to be material, then from time to time, Sellers shall promptly pay to Buyer such additional amount or amounts as will compensate Buyer for such reduction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If Buyer becomes entitled to claim any additional amounts pursuant to this Section, it shall make good faith efforts to promptly notify Sellers of the event by reason of which it has become so entitled. A certificate as to any additional amounts payable pursuant to this Section submitted by Buyer to Sellers shall be conclusive in the absence of manifest error.

**Section 7. <u>Margin Maintenance</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Buyer shall have the right to determine the Market Value of each Purchased Assets in accordance with the definition thereof, which determination may affect the Asset Value of such Purchased Asset. If, as of any date of determination, the Asset Value of any Purchased Asset is less than the outstanding Repurchase Price (excluding any amounts of Repurchase Price calculated pursuant to clause (B) of such definition) of such Purchased Asset (a "<u>Margin Deficit</u>"), then, provided such Margin Deficit is in an amount equal to or exceeding the Margin Threshold, Buyer may, by written notice to Sellers (as such written notice is more particularly set forth below, a "<u>Margin Call</u>"), require Sellers to transfer to Buyer or its designee cash to cure such Margin Deficit (such amount, the "<u>Margin Payment</u>"). If Buyer delivers a Margin Call to Sellers, then Sellers shall transfer the Margin Payment to Buyer or its designee no later than 5:00 p.m. (New York City time) two (2) Business Days after the applicable Margin Call delivery.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The failure of Buyer, on any one or more occasions, to exercise its rights hereunder, shall not change or alter the terms and conditions of this Agreement or limit the right of Buyer to do so at a later date. Sellers and Buyer each agree that a failure or delay by Buyer to exercise its rights hereunder shall not limit or waive Buyer's rights under this Agreement or otherwise existing by law or in any way create additional rights for Sellers.

**Section 8. <u>Taxes</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Any and all payments by or on account of any obligation of any Seller under any Facility Document shall be made without deduction or withholding for any Taxes, except as required by law. If any Requirement of Law requires the deduction or withholding of any Tax from any such payment, then such Seller shall make (or cause to be made) such deduction or withholding and shall timely pay (or cause to be timely paid) the full amount deducted or withheld to the relevant Governmental Authority in accordance with Requirement of Law and, if such Tax is an Indemnified Tax, then the sum payable by such Seller shall be increased as necessary so that after such deduction or withholding has been made (including such deductions and withholdings applicable to additional sums payable under this <u>Section</u> <u>8</u>) Buyer receives an amount equal to the sum it would have received had no such deduction or withholding been made in respect of such Indemnified Taxes.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) In addition, Sellers shall timely pay any Other Taxes to the relevant Governmental Authority in accordance with any Requirement of Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Sellers shall indemnify Buyer, within ten (10) Business Days after written demand therefor, for the full amount of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under this <u>Section</u> <u>8</u>) payable or paid by Buyer or required to be withheld or deducted from a payment to Buyer, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to any Seller by Buyer shall be conclusive absent manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) As soon as practicable after any payment of Taxes by any Seller to a Governmental Authority pursuant to this <u>Section</u> <u>8</u>, such Seller shall deliver to Buyer the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the return reporting such payment or other evidence of such payment reasonably satisfactory to Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) (i) If Buyer is entitled to an exemption from or reduction of withholding Tax with respect to payments made under any Facility Document, Buyer shall deliver to Seller, at the time or times reasonably requested by any Seller, such properly completed and executed documentation reasonably requested by such Seller as will permit such payments to be made without withholding or at a reduced rate of withholding. In addition, Buyer, if reasonably requested by any Seller, shall deliver such other documentation prescribed by Requirements of Law or reasonably requested by such Seller as will enable such Seller to determine whether or not Buyer is subject to backup withholding or information reporting requirements. Notwithstanding anything to the contrary in the preceding two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in <u>Section</u> <u>8(e)(ii)(A)</u>, <u>Section</u> <u>8(e)(ii)(B)</u> and <u>Section</u> <u>8(e)(ii)(D)</u> below) shall not be required if in Buyer's reasonable judgment such completion, execution or submission would subject Buyer to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of Buyer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Without limiting the generality of the foregoing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) if Buyer is a U.S. Person, it shall deliver to each Seller on or prior to the date on which Buyer becomes a party under this Agreement (and from time to time thereafter upon the reasonable request of Seller), executed copies of IRS Form W-9 certifying that Buyer is exempt from U.S. federal backup withholding tax;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) if Buyer is not a U.S. Person, it shall, to the extent it is legally entitled to do so, deliver to such Seller (in such number of copies as shall be requested by such Seller) on or prior to the date on which Buyer becomes a party under this Agreement (and from time to time thereafter upon the reasonable request of such Seller), whichever of the following is applicable:

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) in the case of a Buyer that is not a U.S. Person claiming the benefits of an income tax treaty to which the United States is a party, (x) with respect to payments of interest under any Facility Document, executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E (as applicable) establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the "interest" article of such tax treaty and (y) with respect to any other applicable payments under any Facility Document, IRS Form W-8BEN or IRS Form W-8BEN-E (as applicable) establishing an exemption from, or reduction of, U.S. federal withholding Tax pursuant to the "business profits" or "other income" article of such tax treaty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) executed copies of IRS Form W-8ECI;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) in the case of a Buyer that is not a U.S. Person claiming the benefits of the exemption for portfolio interest under section 881(c) of the Code, (x) a certificate substantially in the form of <u>Exhibit E</u> to the effect that such Buyer is not a "bank" within the meaning of section 881(c)(3)(A) of the Code, a "10 percent shareholder" of such Seller within the meaning of section 881(c)(3)(B) of the Code, or a "controlled foreign corporation" described in section 881(c)(3)(C) of the Code (a "<u>U.S. Tax Compliance Certificate</u>") and (y) executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E (as applicable);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) to the extent that a Buyer that is not a U.S. Person is not the beneficial owner, executed copies of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form W-8BEN, IRS Form W-8BEN-E, a U.S. Tax Compliance Certificate or IRS Form W-9, and/or other certification documents from each beneficial owner, as applicable; provided that if the Buyer is a partnership and one or more direct or indirect partners of such Buyer are claiming the portfolio interest exemption, such Buyer may provide a U.S. Tax Compliance Certificate on behalf of each such direct and indirect partner;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) if Buyer is not a U.S. Person, it shall, to the extent it is legally entitled to do so, deliver to such Seller (in such number of copies as shall be requested by such Seller) on or prior to the date on which Buyer becomes a party under this Agreement (and from time to time thereafter upon the reasonable request of such Seller), executed copies of any other form prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit such Seller to determine the withholding or deduction required to be made; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) if a payment made to Buyer under any Facility Document would be subject to U.S. federal withholding Tax imposed by FATCA if Buyer were to fail to comply with the applicable reporting requirements of FATCA (including those contained in section 1471(b) or 1472(b) of the Code, as applicable), Buyer shall deliver to such Seller at the time or times prescribed by law and at such time or times reasonably requested by Seller such documentation prescribed by applicable law (including as prescribed by section 1471(b)(3)(C)(i) of the Code) and such additional documentation reasonably requested by such Seller as may be necessary for such Seller to comply with its obligations under FATCA and to determine that Buyer has complied with Buyer's obligations under FATCA or to determine the amount to deduct and withhold from such payment. Solely for purposes of this clause (D), "FATCA" shall include all amendments made to FATCA after the date of this Agreement.

Buyer agrees that if any form or certification it previously delivered expires or becomes obsolete or inaccurate in any respect, it shall update such form or certification or promptly notify the applicable Seller(s) in writing of its legal inability to do so.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) If any party hereto determines, in its sole discretion exercised in good faith, that it has received a refund of any Taxes as to which it has been indemnified pursuant to this <u>Section</u> <u>8</u> (including by the payment of additional amounts pursuant to this <u>Section</u> <u>8</u>), it shall pay to the indemnifying party an amount equal to such refund (but only to the extent of indemnity payments made under this <u>Section</u> <u>8</u> with respect to the Taxes giving rise to such refund), net of all out-of-pocket expenses (including Taxes) of such indemnified party and without interest (other than any interest paid by the relevant Governmental Authority with respect to such refund). Such indemnifying party, upon the request of such indemnified party, shall repay to such indemnified party the amount paid over pursuant to this <u>Section</u> <u>8(f)</u> (plus any penalties, interest or other charges imposed by the relevant Governmental Authority) in the event that such indemnified party is required to repay such refund to such Governmental Authority. Notwithstanding anything to the contrary in this <u>Section</u> <u>8(f)</u>, in no event will the indemnified party be required to pay any amount to an indemnifying party pursuant to this <u>Section</u> <u>8(f)</u> the payment of which would place the indemnified party in a less favorable net after Tax position than the indemnified party would have been in if the Tax subject to indemnification and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Tax had never been paid. This <u>Section</u> <u>8(f)</u> shall not be construed to require any indemnified party to make available its Tax returns (or any other information relating to its Taxes that it deems confidential) to the indemnifying party or any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Without prejudice to the survival of any other agreement of Sellers hereunder, the agreements and obligations of Sellers contained in this <u>Section</u> <u>8</u> shall survive any assignment of rights by, or the replacement of the Buyer, the termination of the Transactions, the termination of this Agreement, and the repayment, satisfaction or discharge of all obligations under any Facility Document.

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**Section 9. <u>Security Interest; Power of Attorney</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Security Interest</u>. On each Purchase Date, each Seller hereby sells, assigns and conveys to Buyer all right, title and interest in each related Mortgage Asset, including all of each Seller's Servicing Rights. Although the parties intend that all Transactions hereunder be sales and purchases and not loans (in each case, other than for accounting and tax purposes), in the event any such Transactions are deemed to be loans, and in any event, each Seller, to the extent of its rights therein, hereby pledges to Buyer as security for the performance of the Obligations and hereby grants, assigns and pledges on the date hereof and on each Purchase Date, to Buyer a first priority security interest in such Seller's rights, title and interest in:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the Purchased Assets, the Records related to the Purchased Assets, all Servicing Rights related to the Purchased Assets and the related Servicing Records (including all rights of any Servicer to receive from any third party or to take delivery of any Servicing Records or other documents which constitute a part of the Asset File or the Servicing Records), the Facility Documents, any Property relating to any Purchased Asset or the related Mortgaged Property, all insurance policies and insurance proceeds relating to any Purchased Asset or any related Mortgaged Property, including but not limited to any payments or proceeds under any related primary insurance or hazard insurance, any Income relating to any Purchased Asset, each Collection Account, each Servicing Agreement, and any other contract rights, accounts (including any interest of such Seller in escrow accounts and trust accounts) and any other payments, rights to payment (including payments of interest or finance charges) and general intangibles to the extent that the foregoing relates to any Purchased Assets and any other assets relating to the Purchased Assets (including, without limitation, any other accounts) or any interest in the Purchased Assets, and any proceeds, products and distributions, together with all accessions and additions thereto, substitutions and replacements therefor, and any other property, rights, title or interests with respect to any of the foregoing, in all instances, whether now owned or hereafter acquired, now existing or hereafter created and wherever located (collectively, together with the Equity Pledged Assets, the "<u>Repurchase Assets</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The grant of security interest set forth in this <u>Section</u> <u>9(a)</u> is intended to constitute a security agreement or other arrangement or other credit enhancement related to this Agreement and Transactions hereunder as defined under Sections 101(47)(v) and 741(7)(xi) of the Bankruptcy Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Mezzanine Loans</u>. Without limiting the generality of the foregoing and for the avoidance of doubt, if any determination is made that any Mezzanine Loan which is a Purchased Asset was not sold by a Seller to Buyer pursuant to this Agreement, or that any Mezzanine Loan does not qualify for the safe harbor treatment provided by the Bankruptcy Code, then such Seller hereby pledges, assigns and grants to Buyer as further security for such Seller's obligations to Buyer hereunder, a continuing first priority security interest in and Lien upon each such Mezzanine Loan which constitutes a Purchased Asset hereunder, and Buyer shall have all the rights and remedies of a "secured party" under the Uniform Commercial Code with respect thereto. The foregoing provision is intended to constitute a security agreement or other arrangement or other credit enhancement related to this Agreement and Transactions hereunder as defined under Sections 101(47)(A)(v) and 741(7)(A)(xi) of the Bankruptcy Code.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Servicing Rights</u>. Without limiting the generality of the foregoing and in the event that a Seller is deemed to retain any residual Servicing Rights, and for the avoidance of doubt, such Seller grants, assigns and pledges to Buyer a first priority security interest in the related Servicing Rights and the related Servicing Records, all rights of such Seller to receive from any third party or to take delivery of any Servicing Records or other documents which constitute a part of the Asset File and proceeds related thereto and all of its contractual rights under any Servicing Agreement in respect of the servicing thereunder and in all instances, whether now owned or hereafter acquired, now existing or hereafter created, including all of the Servicing Rights related to the Purchased Assets. The foregoing provision is intended to constitute a security agreement or other arrangement or other credit enhancement related to this Agreement and Transactions hereunder as defined under Sections 101(47)(A)(v) and 741(7)(A)(xi) of the Bankruptcy Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Financing Statements</u>. Each Seller hereby authorizes Buyer to file such financing statement or statements relating to the Repurchase Assets as Buyer, at its option, may deem reasonable and appropriate to protect Buyer's interest therein. Sellers shall pay the filing costs for any financing statement or statements prepared pursuant to this <u>Section</u> <u>9</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Buyer's Appointment as Attorney in Fact</u>. Each Seller hereby irrevocably constitutes and appoints Buyer and any officer or agent thereof, with full power of substitution, as its true and lawful attorney-in-fact with full irrevocable power and authority in the place and stead of such Seller and in the name of such Seller or in its own name, from time to time solely during the continuance of an Event of Default, for the purpose of carrying out the terms of this Agreement and to take any and all appropriate action and to execute any and all documents and instruments which may be reasonably necessary or desirable to accomplish the purposes of this Agreement, in each case, during the continuance of an Event of Default and subject to the terms of this Agreement. Without limiting the generality of the foregoing, each Seller hereby gives Buyer the power and right, on behalf of such Seller without assent by, but with notice to, such Seller, if an Event of Default has occurred and be continuing, to do the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) in the name of such Seller or in its own name, or otherwise, to take possession of and endorse and collect any checks, drafts, notes, acceptances or other instruments for the payment of moneys due with respect to any Repurchase Assets and to file any claim or to take any other action or proceeding in any court of law or equity or otherwise deemed appropriate by Buyer for the purpose of collecting any and all such moneys due with respect to any Repurchase Assets whenever payable;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) to pay or discharge taxes and Liens levied or placed on or threatened against the Repurchase Assets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) (A) to direct any party liable for any payment under any Repurchase Assets to make payment of any and all moneys due or to become due thereunder directly to Buyer or as Buyer shall direct, including, without limitation, any payment agent with respect to any Repurchase Asset; (B) to send "goodbye" letters on behalf of such Seller and Servicer; (C) to ask or demand for, collect, receive payment of and receipt for, any and all moneys, claims and other amounts due or to become due at any time in respect of or arising out of any Repurchase Assets; (D) to sign and endorse any invoices, assignments, verifications, notices and other documents in connection with any Repurchase Assets;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (E) to commence and prosecute any suits, actions or proceedings at law or in equity in any court of competent jurisdiction to collect the Repurchase Assets or any proceeds thereof and to enforce any other right in respect of any Repurchase Assets; (F) to defend any suit, action or proceeding brought against such Seller with respect to any Repurchase Assets; (G) to settle, compromise or adjust any suit, action or proceeding described in <u>clause</u> <u>(F)</u> above and, in connection therewith, to give such discharges or releases as Buyer may deem appropriate; and (H) generally, to sell, transfer, pledge and make any agreement with respect to or otherwise deal with any Repurchase Assets as fully and completely as though Buyer were the absolute owner thereof for all purposes, and to do, at Buyer's option and Sellers' expense, at any time, and from time to time, all acts and things which Buyer deems necessary to protect, preserve or realize upon the Repurchase Assets and Buyer's Liens thereon and to effect the intent of this Agreement, all as fully and effectively as such Seller might do.

Each Seller hereby ratifies all that said attorneys shall lawfully do or cause to be done by virtue hereof. This power of attorney is a power coupled with an interest and shall be irrevocable. In addition to the foregoing, each Seller agrees to execute a Power of Attorney in the form of <u>Exhibit F-1</u> hereto to be delivered on the date hereof and upon the written request of Buyer; <u>provided</u>, that Buyer agrees not to exercise any such Power of Attorney unless an Event of Default has occurred. Sellers and Buyer acknowledge that the Power of Attorney shall terminate on the date on which both (1) this Agreement is terminated and (2) all Obligations hereunder have been satisfied in full.

Each Seller also authorizes Buyer, if an Event of Default shall have occurred, from time to time, to execute, in connection with any sale provided for in <u>Section</u> <u>16</u> hereof, any endorsements, assignments or other instruments of conveyance or transfer with respect to the Repurchase Assets.

The powers conferred on Buyer hereunder are solely to protect Buyer's interests in the Repurchase Assets and shall not impose any duty upon it to exercise any such powers. Buyer shall be accountable only for amounts that it actually receives as a result of the exercise of such powers, and neither it nor any of its officers, directors, employees or agents shall be responsible to Sellers for any act or failure to act hereunder, except for its or their own gross negligence or willful misconduct.

**Section 10. <u>Payment, Transfer And Remittance</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Payments and Transfers of Funds</u>. Unless otherwise mutually agreed in writing, all transfers of funds to be made by Sellers hereunder shall be made in Dollars, in immediately available funds, without deduction, set-off or counterclaim, to Buyer's Account, not later than 3:00 p.m. (New York City time), on the date on which such payment shall become due (and each such payment made after such time shall be deemed to have been made on the next succeeding Business Day). Each Seller acknowledges that it has no rights of withdrawal from the foregoing account.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Remittance of Purchase Price</u>. On the Purchase Date for each Transaction, ownership of the related Mortgage Assets shall be transferred to Buyer or its designee (i) with respect to Mortgage Assets which are not Wet-Ink Mortgage Assets, against the simultaneous transfer of the Purchase Price to the account of Sellers or such other account designated by Sellers to Buyer simultaneously with the delivery to Buyer of the Mortgage Assets relating to each Transaction and (ii) with respect to Wet-Ink Mortgage Assets upon the disbursement of funds by Settlement Agent pursuant to the terms and conditions of the Escrow Instruction Letter. Upon Settlement Agent obtaining knowledge that any Wet-Ink Mortgage Asset proposed to be subject to a Transaction was not originated, Seller shall cause Settlement Agent to immediately return Buyer's funds via wire transfer to Buyer's Account in accordance with the Escrow Instruction Letter. Sellers shall use commercially reasonable efforts to notify Buyer and Settlement Agent (including via-email) if a Wet-Ink Mortgage Asset was not originated within three (3) business hours of any Seller's knowledge of the occurrence thereof.

**Section 11. <u>Hypothecation or Pledge of Purchased Assets</u>**. Title to all Purchased Assets and Repurchase Assets shall pass to Buyer and Buyer shall have free and unrestricted use of all Purchased Assets and Repurchase Assets, subject to the terms hereof. Nothing in this Agreement shall preclude Buyer from engaging in repurchase transactions with the Repurchase Assets or otherwise pledging, repledging, transferring, hypothecating, or rehypothecating the Repurchase Assets; <u>provided</u> that, so long as no Event of Default has occurred and is continuing, without the written consent of any Seller, no pledge, repledge, transfer, hypothecation or rehypothecation shall be made to a Prohibited Transferee. In furtherance, and not by limitation of, the foregoing, it is acknowledged that each counterparty with which Buyer may engage in a transaction as contemplated hereunder is a repledgee as contemplated by Sections 9-207 and 9-623 of the UCC (and the relevant Official Comments thereunder). Nothing contained in this Agreement shall obligate Buyer to segregate any Purchased Assets delivered to Buyer by Sellers.

**Section 12. <u>Fees</u>**. Sellers shall pay to Buyer, in immediately available funds, all fees and amounts due and owing as set forth in the Pricing Side Letter. Such payment shall be made in Dollars, in immediately available funds, without deduction, set-off or counterclaim, to Buyer at such account designated by Buyer.

**Section 13. <u>Representations</u>**. Each Seller represents and warrants to Buyer, jointly and severally, that as of the date of this Agreement, each Purchase Date and any other date on which these representations and warranties are remade or deemed remade in accordance with the terms of this Agreement or any other Facility Document or certification delivered in connection herewith or therewith, and at all times while the Facility Documents and any Transaction hereunder is in full force and effect:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Acting as Principal</u>. Sellers will engage in such Transactions as principal (or, if agreed in writing in advance of any Transaction by the other party hereto, as agent for a disclosed principal).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Solvency</u>. Neither the Facility Documents nor any Transaction thereunder are entered into in contemplation of insolvency or with intent to hinder, delay or defraud any of a Seller's creditors. The transfer of the Purchased Assets subject hereto is not undertaken with the intent to hinder, delay or defraud any of a Seller's creditors. Each Seller is not insolvent within the meaning of 11 U.S.C. Section 101(32) and the transfer and sale of the Purchased Assets pursuant hereto (i) will not cause such Seller to become insolvent, (ii) will not result in any property remaining with such Seller to be unreasonably small capital with which to engage in its business, and (iii) will not result in debts that would be beyond such ability to pay as same mature. Each Seller received reasonably equivalent value in exchange for the transfer and sale of the Purchased Assets.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>No Broker</u>. No Seller has dealt with any broker, investment banker, agent, or other person, except for Buyer, who may be entitled to any commission or compensation in connection with the sale of Purchased Assets pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Ability to Perform</u>. Each Seller has the ability to perform each and every covenant contained in the Facility Documents to which it is a party on its part to be performed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Existence</u>. Each Seller (i) is a limited liability company duly organized, validly existing under the laws of the State of Delaware, (ii) is in good standing under the laws of the State of Delaware, (iii) has all requisite limited liability company or other power, and has all governmental licenses, authorizations, consents and approvals necessary to own its assets and carry on its business as now being or as proposed to be conducted; and (iv) is qualified to do business and is in good standing in all other jurisdictions in which the nature of the business conducted by it makes such qualification necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Representations and Warranties Regarding the Purchased Assets</u>. With respect to each Purchased Asset, the representations and warranties on <u>Schedule</u> <u>1</u> are true, correct and complete subject to any exceptions listed on the approved Requested Exceptions Report attached to the related Confirmation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>No Breach</u>. Neither (a) the execution and delivery of the Facility Documents nor (b) the consummation of the transactions therein contemplated to be entered into by Sellers in compliance with the terms and provisions thereof will conflict with or result in (i) a breach of the organizational documents of Sellers, or (ii) a breach of any applicable law, rule or regulation in any material respect, or (iii) a breach of any order, writ, injunction or decree of any Governmental Authority, or (iv) a breach of or default under any other agreement or instrument to which a Seller or any of its Subsidiaries is a party or by which any of them or any of their Property is bound or to which any of them is subject, or (v) the creation or imposition of any Lien (except for the Liens created pursuant to the Facility Documents and, with respect to any Mortgaged Property, Permitted Encumbrances) upon any Property of a Seller or any of its Subsidiaries pursuant to the terms of any such agreement or instrument.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Action</u>. Each Seller has all necessary limited liability company or other power, authority and legal right to execute, deliver and perform its obligations under each of the Facility Documents and each of the Asset Documents to which it is a party; the execution, delivery and performance by Sellers of each of the Facility Documents to which it is a party have been duly authorized by all necessary limited liability company or other action on its part; and each Facility Document to which it is a party has been duly and validly executed and delivered by Sellers for good and valuable consideration, and each person signing any Facility Document on its behalf is duly authorized to do so on its behalf.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Approvals</u>. No authorizations, approvals or consents of, and no filings or registrations with, any Governmental Authority or any securities exchange are necessary for the execution, delivery or performance by each Seller of the Facility Documents to which it is a party or for the legality, validity or enforceability thereof, except for filings and recordings in respect of the Liens created pursuant to the Facility Documents and except for authorizations, approvals and consents that have been obtained and are in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Enforceability</u>. This Agreement and all of the other Facility Documents executed and delivered by Sellers in connection herewith are legal, valid and binding obligations of such Seller and are enforceable against such Seller in accordance with their terms except as such enforceability may be limited by (i) the effect of any applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors' rights generally and (ii) general principles of equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Material Adverse Effect</u>. Except as disclosed to Buyer, as of the date hereof, as of each Extension Date and, to Sellers' knowledge, as of each Purchase Date, there has been no development or event which has had or could be reasonably likely to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>No Default</u>. No Default or Event of Default has occurred and is continuing.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>No Adverse Selection</u>. No Seller or Affiliate thereof has intentionally selected the Purchased Assets in a manner different from the manner in which such Seller or such Affiliate selects assets with regard to any other facilities to which it is a party or, in any event, so as to adversely affect Buyer's interests.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Litigation</u>. There are no actions, suits, arbitrations, investigations (including, without limitation, any of the foregoing which are pending or, to Sellers' knowledge, threatened) or other legal or arbitrable proceedings affecting any Seller Party or any of their respective Subsidiaries or affecting any of the Property of any of them before any federal or state court or before any Governmental Authority that (i) questions or challenges the validity or enforceability of any of the Facility Documents or any action to be taken in connection with the transactions contemplated hereby, (ii) makes a claim which, individually or in the aggregate with other claims, is in an amount greater than the applicable Litigation Threshold or (iii) which, individually or in the aggregate, if adversely determined, could be reasonably likely to have a Material Adverse Effect or constitute an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Margin Regulations</u>. The use of all funds acquired by Sellers under this Agreement will not conflict with or contravene any of Regulations T, U and X promulgated by the Board of Governors of the Federal Reserve System as the same may from time to time be amended, supplemented or otherwise modified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Taxes</u>. Each Seller and its Subsidiaries have timely filed all tax returns that are required to be filed by them and have timely paid all Taxes, except for any such Taxes as are being appropriately contested in good faith by appropriate proceedings diligently conducted and with respect to which adequate reserves have been <u>provided</u>. There are no Liens for Taxes, except for statutory Liens for Taxes not yet due and payable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Investment Company Act</u>. No Seller or any of its Subsidiaries is an "investment company", or a company "controlled" by an "investment company," within the meaning of the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Purchased Assets</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No Seller has assigned, pledged, or otherwise conveyed or encumbered any of the Purchased Assets to any other Person, the related Mortgaged Property or other Repurchase Asset other than as contemplated by the Facility Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Immediately prior to the sale of a Purchased Asset to Buyer, (x) the related Seller was the sole record and beneficial owner of such Purchased Asset and had good and marketable title thereto, free and clear of all Liens, in each case except for Liens to be released simultaneously with the sale to Buyer hereunder or, with respect to any Mortgaged Property, Permitted Encumbrances and (y) the related Seller had the right to sell and transfer such Purchased Asset and other Repurchase Assets to Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The provisions of this Agreement are effective to either constitute a sale of the Repurchase Assets owned by Sellers to Buyer or to create in favor of Buyer a valid security interest in all right, title and interest of Sellers in, to and under the Repurchase Assets owned by Sellers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>Chief Executive Office/Jurisdiction of Organization</u>. On the Effective Date, each Seller's chief executive office is, and has been located, at 600 Third Avenue, 21st Floor, New York, New York 10016. On the Effective Date, each Seller's jurisdiction of organization is Delaware.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) <u>Location of Books and Records</u>. The location where each Seller keeps its books and records, including all computer tapes and records related to the Repurchase Assets, is its chief executive office.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) <u>True and Complete Disclosure</u>. The information, reports, financial statements, financial data, exhibits and schedules furnished in writing by or on behalf of each Seller Party and Affiliate thereof to Buyer in connection with the negotiation, preparation or delivery of this Agreement and the other Facility Documents or included herein or therein or delivered pursuant hereto or thereto, when taken as a whole, do not contain any untrue statement of material fact or omit to state any material fact necessary to make the statements herein or therein, in light of the circumstances under which they were made, not materially misleading. All written information and financial data furnished after the date hereof by or on behalf of each Seller Party and Affiliate thereof to Buyer in connection with this Agreement and the other Facility Documents, any Purchased Assets and/or the transactions contemplated hereby and thereby will be true, complete and accurate in every material respect, or (in the case of projections) based on reasonable estimates, on the date as of which such information is stated or certified. There is no fact known, development or event that is known to any Seller, nor to the knowledge of a Responsible Officer of each Seller, that could reasonably be expected to have a Material Adverse Effect that has not been disclosed herein, in the other Facility Documents or in a report, financial statement, exhibit, schedule, disclosure letter or other writing furnished to Buyer for use in connection with the transactions contemplated hereby or thereby.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>ERISA</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No liability under Section 4062, 4063, 4064 or 4069 of ERISA has been or is expected by Sellers to be incurred by any Seller or any ERISA Affiliate thereof with respect to any Plan which is a Single-Employer Plan in an amount that could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No Plan which is a Single-Employer Plan had any minimum required contribution under Section 430 of the Code or any required installment under Section 430(j) of the Code that was due but unpaid or underpaid as of the last day of the most recent fiscal year of such Plan ended prior to the date hereof, and no such plan which is subject to Section 412 of the Code failed to meet the requirements of Section 436 of the Code as of such last day. No Seller or any ERISA Affiliate thereof is subject to a Lien in favor of such a Plan as described in Section 430(k) of the Code or Section 303(k) of ERISA. No Plan which is a Single-Employer Plan is, or is reasonably expected to be, in "at risk" status (within the meaning of Section 430 of the Code or Section 303 of ERISA).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Each Plan of each Seller and its Subsidiaries and each of their ERISA Affiliates is in compliance in all material respects with the applicable provisions of ERISA and the Code, except where the failure to comply would not result in any Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) No Seller, any of its Subsidiaries or any ERISA Affiliate thereof has incurred a tax liability under Chapter 43 of the Code or a penalty under Section 502(i) of ERISA which has not been paid in full, except where the incurrence of such tax or penalty would not result in a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) No Seller, any of its Subsidiaries or any ERISA Affiliate hereof has incurred or reasonably expects to incur any withdrawal liability under Section 4201 of ERISA as a result of a complete or partial withdrawal from a Multiemployer Plan in an amount that could reasonably be expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) <u>No Reliance</u>. Each Seller has made its own independent decisions to enter into the Facility Documents and each Transaction and as to whether such Transaction is appropriate and proper for it based upon its own judgment and upon advice from such advisors (including without limitation, legal counsel and accountants) as it has deemed necessary. No Seller is relying upon any advice from Buyer as to any aspect of the Transactions, including without limitation, the legal, accounting or tax treatment of such Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Plan Assets</u>. No Seller or Guarantor is an employee benefit plan as defined in Section 3(3) of Title I of ERISA, or a plan described in Section 4975(e)(1) of the Code, or an entity deemed to hold "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA, or is acting on behalf of any of the foregoing. No Seller or Guarantor is subject to any federal, state or local statute or rule-regulating investments of, or fiduciary obligations with respect to governmental plans within the meaning of Section 3(32) of ERISA. The Purchased Assets are not "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) <u>Regulatory Compliance (Anti-Corruption; AML)</u>. Each Seller is, and will remain, in compliance with all Applicable Laws, including Anti-Corruption Laws and Anti-Money Laundering Laws. Without limiting the foregoing, each Seller (A) maintains an anti-money laundering compliance program that meets the requirements of 31 C.F.R. Chapter X (including internal controls, independent testing, designated compliance personnel, training, and appropriate risk-based customer due diligence, including beneficial ownership identification, as applicable), (B) has conducted, and will conduct, risk-based due diligence (including, as applicable, identification and verification of beneficial owners) on each Borrower, guarantor and sponsor of any Purchased Asset consistent with such program, and (C) will not use, and will not permit any Purchased Asset proceeds to be used, directly or indirectly, in violation of Anti-Corruption Laws or Anti-Money Laundering Laws. No Seller Party or any respective Affiliate thereof is in default with respect to any judgment, order, writ, injunction, decree, rule or regulation of any arbitrator or Governmental Authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) <u>Sanctions Compliance</u>. Each Seller confirms and represents that it, the other Seller Parties and their respective directors, officers and, to the extent applicable, employees and agents: (i) are not Sanctioned Persons; (ii) do not, and will not, directly or indirectly, conduct business with, or engage in any dealings or transactions involving, any Sanctioned Person or Sanctioned Jurisdiction, or otherwise in violation of Sanctions; and (iii) will not use, and will not knowingly permit any Purchased Asset proceeds to be used, directly or indirectly, to fund or facilitate any activities or business of or with any Sanctioned Person or in any Sanctioned Jurisdiction, or in any other manner that would result in a violation by any Person (including Buyer) of Sanctions. For the avoidance of doubt, an entity owned 50 percent or more, directly or indirectly and in the aggregate, by one or more Sanctioned Persons shall itself be treated as a Sanctioned Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) <u>Financial Covenants</u>. Guarantor is in compliance with each of the Financial Condition Covenants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) <u>Indebtedness</u>. No Seller has any Indebtedness (other than Indebtedness evidenced by this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) <u>No Outstanding Judgments</u>. Except as disclosed in writing to Buyer, there are no judgments against any Seller Party unsatisfied of record or docketed in any court located in the United States of America.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) <u>No Bankruptcies</u>. No Insolvency Event has ever occurred with respect to any Seller Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) <u>Security Interest Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The provisions of the Facility Documents are effective to either (x) constitute a sale of Repurchase Assets to Buyer (other than for United States federal, state and local income or franchise tax purposes) or (y) create in favor of Buyer a legal, valid and enforceable first priority "security interest" (as defined in Section 1-201(b)(35) of the UCC) in all rights, title and interest of each Seller in, to and under the Repurchase Assets.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Upon possession by Custodian or Bailee pursuant to an Inbound Bailee Letter of each Promissory Note or Participation Certificate, endorsed in blank by a duly authorized officer of the related Seller, Buyer shall have a legal, valid, enforceable and fully perfected first priority security interest in all right, title and interest of such Seller in such Promissory Note or Participation Certificate, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Upon the filing of the UCC Financing Statements in the applicable UCC Filing Jurisdiction, Buyer shall have a legal, valid, enforceable and fully perfected first priority security interest in that portion of the Repurchase Assets or the Pledged Collateral, as applicable, in which a security interest can be perfected under the UCC by the filing of financing statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) The provisions of this Agreement are effective to create in favor of Buyer a legal, valid and enforceable first priority "security interest" (as defined in Section 1-201(b)(35) of the UCC) in all rights, title and interest of each Seller in and to each Collection Account, each Servicer Account and all funds at any time credited to each Collection Account and each Servicer Account and, upon execution and delivery of each Collection Account Control Agreement, Buyer shall have a legal, valid, enforceable and fully perfected first priority security interest in, the related Collection Account and all funds at any time credited thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) <u>No Real Property</u>. No Seller has at any time since its formation (x) held title to any real property or (y) owned any Subsidiaries.

**Section 14. <u>Covenants of Sellers</u>**. On and as of the date of this Agreement and each Purchase Date and on each day until the Obligations hereunder have been paid in full and this Agreement is no longer in force, each Seller, jointly and severally, covenants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Preservation of Existence; Compliance with Law.</u> Each Seller shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) preserve and maintain its legal existence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (A) comply with (1) the requirements of all Applicable Laws, whether now in effect or hereafter enacted or promulgated by any applicable Governmental Authority (including, without limitation, all environmental laws), (2) any agreements to which it is bound or its assets are subject and (3) its organizational documents, and (B) not engage in any conduct or activity that could subject its assets to forfeiture or seizure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) preserve and maintain all material rights, privileges, licenses, franchises, permits or other approvals necessary for such Seller to conduct its business (including, without limitation, preservation of all lending licenses held by such Seller and of such Seller's status as a "qualified transferee" (however denominated) under all documents which govern the Purchased Assets), to protect the validity and enforceability of the Facility Documents and each Purchased Asset and to perform its obligations under the Facility Documents, and shall conduct its business strictly in accordance with Applicable Laws; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) keep records and books of account, in which complete and correct entries will be made in accordance with GAAP consistently applied;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Taxes</u>. Each Seller and its Subsidiaries shall timely file all tax returns that are required to be filed by them and shall timely pay and discharge all Taxes due, except for any such Taxes as are being appropriately contested in good faith by appropriate proceedings diligently conducted and with respect to which adequate reserves have been provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Notice of Proceedings or Adverse Change</u>. Sellers shall give notice to Buyer in reasonable detail:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) within two (2) Business Days after any Seller has obtained actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the occurrence of any Default or Event of Default, Servicer Termination Event, or any other event, circumstance or condition that has resulted or could reasonably be expected to result in a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) (1) any default or event of default (or similar event) under any Purchased Asset; (2) any facts or circumstances that are not publicly known that have caused (as reasonably determined by Seller) a Credit Event with respect to any Purchased Asset or the Market Value of any Purchased Asset to materially decline; or (3) any Mandatory Early Repurchase Event;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any requested Significant Modification (such notice to specify if any timing or deemed consent is specified in the related Asset Documents); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) receipt of written notice of any Lien or security interest (other than security interests created hereby or under any other Facility Document or, with respect to any Mortgaged Property, Permitted Encumbrances) on, or claim asserted against, any of the Repurchase Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) as soon as reasonably possible (and, in any case, within five (5) Business Days) after any Seller has obtained actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) (1) any event of default under any Indebtedness or other material contractual obligation of any Seller Party or (2) any investigation or regulatory action that is pending or threatened in writing by or against any Seller Party in any federal or state court or before any Governmental Authority;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) (1) any litigation or proceeding that is pending or threatened in writing against any Seller Party in which the amount involved exceeds the applicable Litigation Threshold or which, if adversely determined, would reasonably be expected to have a Material Adverse Effect or (2) any litigation or proceeding that is pending or threatened in writing in connection with any Repurchase Assets, which, if adversely determined, would reasonably be expected to have a Material Adverse Effect; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the consummation of a merger or consolidation of any Asset Manager or Investment Manager with or into another entity or any other corporate reorganization (in one transaction or in a series of transactions), if more than 49% of the combined voting power of the continuing or surviving entity's Capital Stock outstanding immediately after such merger, consolidation or such other reorganization is owned by persons who were not owners of such Asset Manager or Investment Manager immediately prior to such merger, consolidation or other reorganization;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) as soon as reasonably possible (and, in any case, within ten (10) Business Days) after any Seller has obtained actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) a material adverse change in the insurance coverage of any Seller, with a copy of evidence of same attached;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any material change in accounting policies or financial reporting practices of any Seller; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the termination or non-renewal of any other debt facilities with a principal balance in excess of $500,000,000 of Guarantor or any Subsidiary thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) promptly, but no later than two (2) Business Days after any Seller receives any of the same, deliver to Buyer a true, complete, and correct copy of any schedule, report, notice, property performance report (including, without limitation, cash flow statements and rent rolls), compliance certificate or any other document received by any Seller from any Person pursuant to, or in connection with, any of the Repurchase Assets, that, in the reasonable judgment of any Seller, a lender, acting prudently, would deem to be material (including, without limitation, any notice of the occurrence of a default or an event of default under the Asset Documents, appraisals, broker price opinions, valuations, property condition reports, environmental reports and zoning reports); <u>provided</u> that no Seller is prohibited by law from so disclosing such information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Sellers shall advise Buyer in writing of the opening of any chief executive office, or the closing of any such office, of any Seller Party and/or of any change in any Seller Party's name or the places where the books and records pertaining to any Purchased Asset are held not less than fifteen (15) Business Days prior to taking any such action; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Sellers shall promptly (and in any event within one (1) Business Day) notify Buyer in writing upon any breach of <u>Section</u> <u>13(y)</u> (Regulatory Compliance) or <u>Section</u> <u>13(z)</u> (Sanctions Compliance), and shall describe in reasonable detail the facts and remediation steps.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Reporting</u>. Each Seller shall maintain a system of accounting established and administered in accordance with GAAP, and each Seller (or the related Servicer on its behalf) shall furnish (or cause Guarantor to furnish) to Buyer:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Within sixty (60) days after the last day of each of the first three (3) fiscal quarters of each fiscal year of Sellers, Equity Pledgors and Guarantor, each Seller's, each Equity Pledgor's, and Guarantor's unaudited balance sheets, each as of the end of such fiscal quarter and in each case presented fairly in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Within one hundred twenty (120) days after the last day of its fiscal year, each Seller's and each Equity Pledgor's (which may be consolidated) unaudited balance sheet as of the end of such fiscal year, in each case presented fairly in accordance with GAAP;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Within one hundred twenty (120) days after the last day of its fiscal year, commencing with the 2026 fiscal year, Guarantor's Financial Statements accompanied by an unqualified report of a nationally recognized accounting firm reasonably consented to by Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) (A) Simultaneously with the furnishing of each of the financial statements to be delivered pursuant to subsection (i)-(iii) above, a certificate of Guarantor in form and substance acceptable to Buyer in its reasonable discretion, and certified by an executive officer of Guarantor, and (B) quarterly, or simultaneously with the financial statements to be delivered pursuant to subsection (ii) above, an officer's certificate of covenant compliance of Guarantor certifying that the related Financial Statements are true and correct in all material respects;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) No later than forty-five (45) days after the end of each calendar quarter, a summary property performance report certified by the related Seller for each Purchased Asset in a form reasonably acceptable to Buyer, which shall include, without limitation, net operating income, a debt service coverage ratio calculation, occupancy, revenue per available unit (for hospitality properties) and sales per square foot (for retail properties) for the preceding calendar month. For any portfolio, the report shall include a summary of the performance of the portfolio on a consolidated basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) At least two (2) Business Days prior to each Remittance Date, a monthly servicing and remittance report of the related Servicer, in form and substance acceptable to Buyer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Within two (2) Business Days after any amendment, modification or supplement has been entered into with respect to any Purchased Asset, a fully executed copy thereof (with the original thereof to Custodian);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) Any other material agreements, correspondence, documents or other information not included in an Underwriting Package which is related to any Seller Party, the Purchased Assets, as soon as possible after the discovery thereof by any Seller or any Affiliate of a Seller; and

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) Promptly following Buyer's written request therefor from time to time (and in any event, within ten (10) Business Days after request therefor or such longer period as agreed to by Buyer), such other information, reports or documentation regarding the business affairs, operations and financial condition of a Seller and its Subsidiaries or any Purchased Assets or Transactions as Buyer may reasonably request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Visitation and Inspection Rights</u>. Each Seller shall, and shall cause each Servicer to, permit Buyer to inspect, examine and to discuss with such Seller's officers, agents and auditors, the affairs, business, finances, and accounts of such Seller, each Servicer, the Repurchase Assets, and each such Person's books and records, and to make abstracts or reproductions thereof and to duplicate, reduce to hard copy or otherwise use any and all computer or electronically stored information or data, in each case, (i) during normal business hours, (ii) upon reasonable notice (<u>provided</u>, that upon the occurrence of an Event of Default, no notice shall be required), and (iii) at the expense of such Seller to discuss with its officers, its affairs, finances, and accounts.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Reimbursement of Expenses</u>. On the date of execution of this Agreement, Sellers shall reimburse Buyer for all actual out-of-pocket expenses (including reasonable legal fees) incurred by Buyer on or prior to such date. From and after such date, Sellers shall reimburse Buyer for all such expenses within thirty (30) days of the receipt of invoices therefor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Further Assurances</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Each Seller shall execute and deliver to Buyer all further documents, financing statements, agreements and instruments, and take all further action that may be required under applicable law, or that Buyer may reasonably request, in order to effectuate the transactions contemplated by this Agreement and the Facility Documents or, without limiting any of the foregoing, to grant, preserve, protect and perfect the validity and first-priority of the security interests created or intended to be created hereby. Each Seller shall do all things necessary to preserve the Repurchase Assets so that they remain subject to a first priority perfected security interest hereunder. Without limiting the foregoing, each Seller will comply with all rules, regulations, and other laws of any Governmental Authority and cause the Repurchase Assets to comply with all applicable rules, regulations and other laws. Each Seller will not allow any default for which a Seller is responsible to occur under any Repurchase Assets or any Facility Document and each Seller shall fully perform or cause to be performed when due all of its obligations under any Repurchase Assets or the Facility Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If Buyer shall reasonably request, specifying the reasons for such request, reasonable information, and/or written responses to such requests, regarding the financial well-being of any Seller Party (including but not limited to any information regarding any repurchase and indemnity requests or demands made upon any Seller Party or their Affiliates by any third party investors), each Seller shall provide or cause to be <u>provided</u> such reasonable information and/or responses within five (5) Business Days of Buyer's request.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>True and Correct Information</u>. All information, reports, exhibits, schedules, financial statements or certificates of any Seller Party or any of its Affiliates thereof or any of their officers furnished to Buyer hereunder or under any other Facility Document and during Buyer's diligence of each Seller Party are and will be true, accurate and complete and will not omit to disclose any material facts necessary to make the statements herein or therein, in light of the circumstances in which they are made, not misleading. All required financial statements, information and reports delivered by each Seller to Buyer pursuant to this Agreement shall be prepared in accordance with GAAP, or in connection with SEC filings, if any, the appropriate SEC accounting requirements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>ERISA Events</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Promptly upon becoming aware of the occurrence of any Event of ERISA Termination which, together with all other Events of ERISA Termination occurring within the prior twelve (12) months, involve a payment of money by or a potential aggregate liability of any Seller or any ERISA Affiliate thereof or any combination of such entities in excess of $500,000 such Seller shall give Buyer a written notice specifying the nature thereof, what action any Seller or any ERISA Affiliate thereof has taken and, when known, any action taken or threatened by the Internal Revenue Service, the U.S. Department of Labor or the PBGC with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Promptly upon receipt thereof, Sellers shall furnish to Buyer copies of (i) all notices received by any Seller or any ERISA Affiliate thereof of the PBGC's intent to terminate any Plan or to have a trustee appointed to administer any Plan; (ii) all notices received by any Seller or any ERISA Affiliate thereof from the sponsor of a Multiemployer Plan pursuant to Section 4202 of ERISA involving a withdrawal liability in excess of $500,000; and (iii) all funding waiver requests filed by any Seller or any ERISA Affiliate thereof with the Internal Revenue Service with respect to any Plan, the accrued benefits of which exceed the present value of the plan assets as of the date the waiver request is filed by more than $500,000, and all communications received by any Seller or any ERISA Affiliate thereof from the Internal Revenue Service with respect to any such funding waiver request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Financial Condition Covenants</u>. Sellers shall ensure that Guarantor shall comply with Sections 3 and 4 of the Pricing Side Letter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>No Adverse Selection</u>. No Seller nor Affiliate thereof shall select Mortgage Assets to be sold to Buyer as Purchased Assets in a manner different from the manner in which such Seller or Affiliate selects assets with regard to any other facilities to which it is a party or, in any event, which would adversely affect Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Investment Company Act</u>. No Seller or any of its Subsidiaries shall be an "investment company", or a company "controlled" by an "investment company," within the meaning of the Investment Company Act of 1940, as amended.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Insurance</u>. Guarantor shall maintain or cause to be maintained Fidelity Insurance in an aggregate amount at least equal to Five Million Dollars ($5,000,000) in respect of its officers, employees and agents, with respect to any claims made in connection with all or any portion of the Repurchase Assets. Sellers shall notify Buyer of any material change in the terms of any such Fidelity Insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Books and Records</u>. Each Seller shall, to the extent practicable, maintain and implement administrative and operating procedures (including, without limitation, an ability to recreate records evidencing the Repurchase Assets in the event of the destruction of the originals thereof), and keep and maintain or obtain, as and when required, all documents, books, records and other information reasonably necessary or advisable for the collection of all Purchased Assets and other Repurchase Assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Illegal Activities</u>. No Seller shall engage in any conduct or activity that could subject its assets to forfeiture or seizure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Material Change in Business</u>. No Seller shall make any material change in the nature of its business as carried on at the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Limitation on Dividends and Distributions</u>. Following the occurrence and during the continuation of an Event of Default or if an Event of Default would result therefrom, no Seller shall make any payment on account of, or set apart assets for, a sinking or other analogous fund for the purchase, redemption, defeasance, retirement or other acquisition of any Capital Stock of such Seller, whether now or hereafter outstanding, or make any other distribution or dividend in respect of any of the foregoing or to any shareholder or equity owner of such Seller, either directly or indirectly, whether in cash or property or in obligations of such Seller or any of such Seller's consolidated Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Disposition of Assets; Liens</u>. No Seller shall (i) cause or permit any of the Purchased Assets or other Repurchase Assets to be sold, pledged, assigned or transferred except in compliance with the applicable Facility Documents; (ii) create, incur, assume or suffer to exist any mortgage, pledge, Lien, charge or other encumbrance of any nature whatsoever on any of the Repurchase Assets, whether real, personal or mixed, now or hereafter owned, other than Liens in favor of Buyer or, with respect to any Mortgaged Property, Permitted Encumbrances; (iii) create, incur, assume or suffer to exist any mortgage, pledge, Lien, charge or other encumbrance of any nature whatsoever on all or substantially all of its assets pursuant to a blanket lien or otherwise, whether real, personal or mixed, now or hereafter owned; (iv) take any action that would directly or indirectly impair or adversely affect Buyer's title to any Purchased Asset or other Repurchase Asset; or (v) transfer, assign, convey, grant, bargain, sell, set over, deliver or otherwise dispose of, or pledge or hypothecate, directly or indirectly, any interest in any Purchased Asset or other Repurchase Asset to any Person other than Buyer, or engage in repurchase transactions or similar transactions with respect to any Purchased Asset or other Repurchase Asset with any Person other than Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>Transactions with Affiliates</u>. No Seller shall enter into any transaction, including, without limitation, the purchase, sale, lease or exchange of property or assets or the rendering or accepting of any service with any Affiliate, unless such transaction is (a) not otherwise prohibited in this Agreement, (b) in the ordinary course of any Seller's business, and (c) upon fair and reasonable terms no less favorable to any Seller than it would obtain in a comparable arm's length transaction with a Person which is not an Affiliate.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) <u>ERISA Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No Seller shall permit any event or condition which is described in any of clauses (i) through (viii) of the definition of "Event of ERISA Termination" to occur or exist with respect to any Plan or Multiemployer Plan if such event or condition, together with all other events or conditions described in the definition of Event of ERISA Termination occurring within the prior twelve (12) months, involves the payment of money by or an incurrence of liability of any Seller or any ERISA Affiliate thereof, or any combination of such entities in an amount in excess of $500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No Seller nor any Guarantor shall be an employee benefit plan as defined in Section 3(3) of Title I of ERISA, or a plan described in Section 4975(e)(1) of the Code or an entity deemed to hold "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA, and transactions by or with any Seller or any Guarantor are not subject to any federal, state or local statute or rule regulating investments of, or fiduciary obligations with respect to governmental plans within the meaning of Section 3(32) of ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) <u>Consolidations, Mergers and Sales of Assets</u>. No Seller shall (i) consolidate or merge with or into any other Person; (ii) sell, lease or otherwise transfer all or substantially all of its assets to any other Person, except in connection with any Transaction or Optional Repurchase or (iii) enter into any transaction of merger or consolidation or amalgamation, or liquidate, wind up, divide or dissolve itself (or suffer any liquidation, winding up, division or dissolution), or sell all of its assets (except in connection with the sale or securitization of the Purchased Assets in the ordinary course of such Seller's business after the repurchase thereof in accordance with this Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) <u>Facility Documents</u>. No Seller shall permit the amendment or modification of, the waiver of any event of default under, or the termination of any Facility Document without Buyer's prior written consent. No Seller shall waive (or direct the waiver of) the performance by any party to any Facility Document of any action, if the failure to perform such action would adversely affect any Seller Party, any Purchased Assets or any Repurchase Assets in any material respect, nor has any such Person waived (or has directed the waiver of) any default resulting from any action or inaction by any party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(w) <u>Due Diligence Reports</u>. Each Seller shall deliver to Buyer any other information related to the Purchased Assets that is in the possession or control of such Seller reasonably requested by Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) <u>Special Purpose Entity</u>. Unless otherwise consented to by Buyer in writing, and except as permitted by the Facility Documents, each Seller shall be a special purpose entity that shall (i) own no assets, and will not engage in any business, other than the assets and transactions specifically contemplated by the Facility Documents; (ii) not incur any Indebtedness or obligation, secured or unsecured, direct or indirect, absolute or contingent (including

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guaranteeing any obligation), other than pursuant to the Facility Documents; (iii) not make any loans or advances to any Affiliate or third party, and shall not acquire obligations or securities of such Seller's Affiliates; (iv) pay its debts and liabilities (including, as applicable, shared personnel expenses and overhead expenses) only from its own assets; (v) comply with the provisions of its organizational documents; (vi) do all things necessary to observe organizational formalities and to preserve its existence, and not amend, modify or otherwise change its organizational documents, or suffer same to be amended, modified or otherwise changed, without Buyer's prior written consent which shall not be unreasonably withheld; (vii) maintain all of its books, records and financial statements separate from those of its Affiliates (except that such financial statements may be to the extent consolidation is required under GAAP, consolidated with Guarantor or as a matter of applicable law; <u>provided</u>, that (a) appropriate notation shall be made on such financial statements if prepared to indicate the separateness of such Seller from such Affiliate and to indicate that such Seller's assets and credit are not available to satisfy the debts and other obligations of such Affiliate or any other Person and (b) such assets shall also be listed on such Seller's own separate balance sheet if prepared and (c) each Seller shall file its own tax returns if filed, except to the extent consolidation is required or permitted under applicable law); (viii) be, and at all times will hold itself out to the public as, a legal entity separate and distinct from any other entity (including any Affiliate), shall correct any known misunderstanding regarding its status as a separate entity, shall conduct business in its own name, shall not identify itself or any of its Affiliates as a division or part of the other; (ix) not enter into any transactions with any Affiliates except on commercially reasonable terms similar to those available to unaffiliated parties in an arm's length transaction; (x) maintain adequate capital (as applicable) in light of its contemplated business purpose, transactions and liabilities; (xi) not engage in or suffer any dissolution, winding up, liquidation, consolidation or merger or transfer all or substantially all of its properties and assets to any Person (except as contemplated herein); (xii) not commingle its funds or other assets with those of any Affiliate or any other Person and shall maintain its properties and assets in such manner that it would not be costly or difficult to identify, segregate or ascertain its properties and assets from those of others; (xiii) not institute against, or join any other Person in instituting against such Seller, any proceedings of the type referred to in the definition of "Insolvency Event" hereunder or seek to substantively consolidate such Seller in connection with any Insolvency Event with respect to any other Person; (xiv) will not hold itself out to be responsible for the debts or obligations of any other Person; (xv) not form, acquire or hold any Subsidiary or own any equity interest in any other entity; (xvi) use separate stationery, invoices and checks bearing its own name; (xvii) allocate fairly and reasonably any overhead for shared office space and services performed by an employee of an Affiliate; (xviii) not pledge its assets to secure the obligations of any Person except as contemplated hereunder and (xix) at all times have at least one (1) Independent Manager and (xx) provide in its organizational documents (x) that Buyer be given at least two (2) Business Days prior notice of the removal and/or replacement of any Independent Manager, together with the name and contact information of the replacement Independent Manager and evidence of the replacement's satisfaction of the definition of Independent Manager and (y) that any Independent Manager of such Seller shall not have any fiduciary duty to anyone including the holders of the equity interest in such Seller and any Affiliates of such Seller except such Seller and the creditors of such Seller with respect to taking of, or otherwise voting on, any Insolvency Event, <u>provided</u>, that the foregoing shall not eliminate the implied contractual covenant of good faith and fair dealing.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(y) <u>No Division/Series Transactions</u>. Notwithstanding anything to the contrary contained in this Agreement or any other Facility Document, (i) no Seller shall enter into (or agree to enter into) any Division/Series Transaction, or permit any of their respective Subsidiaries to enter into (or agree to enter into), any Division/Series Transaction and (ii) none of the provisions in this Agreement nor any other Facility Document, shall be deemed to permit any Seller or any of its Subsidiaries to enter into (or agree to enter into) any Division/Series Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(z) <u>Comfort Letters</u>. With respect to any Purchased Asset that is subject to a franchise agreement and/or comfort letter, as applicable, the applicable Seller shall reasonably cooperate with Buyer in order to fully assign to Buyer, or its designee, in the name of Buyer or such designee, any applicable franchise agreement and/or comfort letter (or to have a replacement comfort letter issued in lieu of an assignment), as applicable, with respect to such Purchased Asset.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(aa) [<u>Reserved</u>].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(bb) <u>Additional Rights</u>. If any Seller shall at any time become entitled to receive or shall receive any rights, whether in addition to, in substitution of, as a conversion of, or in exchange for a Purchased Asset, or otherwise in respect thereof, such Seller shall accept the same as Buyer's agent, hold the same in trust for Buyer and deliver the same forthwith to Buyer (or Custodian, as appropriate) in the exact form received, duly endorsed by such Seller to Buyer, if required, together with an undated bond power covering such certificate duly executed in blank to be held by Buyer hereunder as additional collateral security for the Transactions. If any sums of money or property so paid or distributed in respect of the Purchased Assets shall be received by any Seller, such Seller shall, until such money or property is paid or delivered to Buyer, hold such money or property in trust for Buyer, segregated from other funds of such Seller, as additional collateral security for the Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(cc) <u>Compliance with Facility Documents</u>. Each Seller shall observe, perform and satisfy all the terms, provisions, covenants and conditions required to be observed, performed or satisfied by it, and shall pay when due all costs, fees and expenses required to be paid by it, under the Facility Documents.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(dd) <u>Responsibility for Fees and Expenses of Third-Parties</u>. Sellers shall be solely responsible for the fees and expenses of Custodian, Bank and Servicer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ee) <u>Future Advances</u>. To the extent any advance of funds is required to be made by the lender to a Borrower pursuant to the Asset Documents for any Purchased Asset, the applicable Seller shall fund such advance in accordance with such Asset Documents, regardless of whether Buyer agrees to fund an increase in the Purchase Price or the conditions for increasing the Purchase Price under this Agreement have been satisfied with regard to such Future Advance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ff) <u>Change of Control</u>. No Seller shall suffer a Change in Control without the prior written consent of Buyer, which may be granted or denied at Buyer's sole and absolute discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(gg) <u>Real Property</u>. No Seller shall directly or through a Subsidiary, acquire or hold title to any real property without the prior written consent of Buyer, which may be granted or denied at Buyer's sole and absolute discretion.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(hh) <u>KYC Information</u>. Sellers shall, upon Buyer's reasonable request, promptly provide (or cause to be provided) information and documentation reasonably requested by Buyer to comply with applicable customer identification, customer due diligence, beneficial ownership, sanctions screening and related "know your customer" requirements under Anti-Money Laundering Laws and Sanctions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) <u>Delivery of Annual Valuations</u>. With respect to each Purchased Asset, the related Seller shall provide to Buyer a valuation (which, at Buyer's election, shall be an Appraisal or a BOV) of each related Mortgaged Property on each one-year anniversary of such Purchased Asset which is subject to a Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(jj) <u>Backup Servicer Termination Event</u>. In the event that a Backup Servicer Termination Event shall have occurred with respect to Backup Servicer, Sellers shall use commercially reasonable efforts to appoint a successor Backup Servicer and execute a new Backup Servicer Agreement within forty-five (45) days after the occurrence thereof.

**Section 15. <u>Events of Default</u>**. If any of the following events (each an "<u>Event of Default</u>") occur, Buyer shall have the rights set forth in <u>Section</u> <u>16</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Payment Default</u>. (i) Any Seller or Guarantor fails to make any payment of (A) Repurchase Price (other than Price Differential) when due, whether by acceleration, mandatory repurchase or otherwise, (B) Price Differential when due, under the terms of the Facility Documents; <u>provided</u>, <u>however</u>, no more than twice during any twelve (12)-month period, Seller may cure such failure within three (3) Business Days if such failure arose solely by reason of an error or omission of an administrative or operational nature and funds were not available to Seller to enable it to make such payment when due or (C) Margin Deficit when due, under the terms of the Facility Documents or (ii) any Seller Party fails to make any payment of any sum (other than amounts described in <u>clause (i)</u> hereof) when due under the terms of the Facility Documents within ten (10) Business Days following the earlier of (x) any Seller's or Guarantor's actual knowledge thereof or (y) the delivery of notice thereof by Buyer to any Seller; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Immediate Representation and Warranty Default</u>. Any representation, warranty or certification made or deemed to be made:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) by any Seller contained in any of <u>Sections</u> <u>13(b) (Solvency)</u>; <u>(e)</u> <u>(Existence)</u>; <u>(g)</u> <u>(No Breach)</u>; <u>(h) (Action)</u>; <u>(j)</u> <u>(Enforceability)</u>; <u>(o)</u> <u>(Margin Regulations)</u>; <u>(q)</u> <u>(Investment Company Act)</u>; <u>(r) (Purchased Assets)</u>; <u>(u)</u> <u>(True and Complete Disclosure)</u>; <u>(v) (ERISA)</u>; <u>(w)</u> <u>(No Reliance)</u>; <u>(x) (Plan Assets)</u>; <u>(y) (Regulatory Compliance)</u>; <u>(z) (Sanctions Compliance)</u>; or <u>(bb)</u> <u>(Indebtedness)</u>, in each case, of this Agreement, shall be determined by Buyer to have been untrue or misleading in any respect as of the time made or furnished, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) by Guarantor contained in any of Sections 10(a) (Solvency); (c)(i) (Existence); (d) (No Breach); (e) (Action); (g) (Enforceability); (k) (Investment Company Act); (m) (True and Complete Disclosure); (n) (No Reliance); (p) (ERISA); (q) (Plan Assets) or (r) (Sanctions Compliance), in each case, of the Guaranty, shall be determined by Buyer to have been untrue or misleading in any respect as of the time made or furnished, or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) by any Equity Pledgor contained in any of Sections 6(a) (Solvency); (b)(i) (Existence); (c) (No Breach); (d) (Action); (f) (Enforceability); (h) (Investment Company Act); (j) (True and Complete Disclosure); (k) (No Reliance); (m) (ERISA); (n) (Plan Assets), (o) (Collateral; Collateral Security) or (p) (Sanctions Compliance), in each case, of the related Equity Pledge Agreement, shall be determined by Buyer to have been untrue or misleading in any respect as of the time made or furnished, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) by any Affiliated Transferor contained in any of Sections 7(a) (Solvency); (b)(i) (Existence); (c) (No Breach); (d) (Action); (f) (Enforceability); (m) (ERISA); (n) (Plan Assets); (o) (Collateral; Collateral Security) or (p) (Sanctions Compliance), in each case, of the related Affiliated Transferor Pledge Agreement, shall be determined by Buyer to have been untrue or misleading in any respect as of the time made or furnished; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Additional Representation and Warranty Defaults</u>. Any representation or warranty or certification made or deemed to be made herein or in any other Facility Document (and not identified in <u>clause (b)</u> of this <u>Section</u> <u>15</u>) by any Seller Party or any certificate furnished to Buyer pursuant to the provisions hereof or thereof or any information with respect to the Purchased Assets furnished in writing by or on behalf of any Seller Party shall be determined by Buyer to have been untrue or misleading in any respect as of the time made or furnished (other than the representations and warranties set forth in <u>Section</u> <u>13(f)</u> and <u>Schedule 1</u> hereof; unless (A) a Seller shall have made any such representations and warranties with actual knowledge that they were materially false or misleading at the time made or (B) any such representations and warranties have been determined in good faith by Buyer to be materially false or misleading on a regular basis), and if such default shall be capable of being remedied as determined by Buyer, such failure shall continue unremedied for more than ten (10) Business Days; <u>provided</u>, that, if such breach or failure to perform is capable of being cured within thirty (30) calendar days of the occurrence of such breach or failure, as determined by Buyer in its sole and absolute discretion, and the applicable Seller Party is diligently and continuously pursuing such a cure in good faith, then such cure period shall be extended to a thirty (30) calendar day period from such breach; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Immediate Covenant Default</u>. The failure of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any Seller to perform, comply with or observe any term, covenant or agreement applicable to any Seller contained in any of <u>Sections</u> <u>14(a)(</u><u>i</u>) and (<u>ii) (Preservation of Existence; Compliance with Law</u>); <u>(d)</u> <u>(Reporting</u>); (<u>h)</u> <u>(True and Correct Information</u>); (<u>j)</u> <u>(Financial Condition Covenants</u>); (<u>l)</u> <u>(Investment Company Act</u>); (<u>o)</u> <u>(Illegal Activities</u>); (<u>r)</u> <u>(Disposition of Assets; Liens</u>); (<u>s) (Transactions with Affiliates</u>); (<u>t) (ERISA Matters</u>); (<u>u)</u> <u>(Consolidations, Mergers and Sales of Assets</u>); or (<u>x) (Special Purpose Entity</u>), in each case, of this Agreement, or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Guarantor to perform, comply with or observe any term, covenant or agreement applicable to Guarantor contained in any of Sections 11(a)(i) or (ii) (Preservation of Existence; Compliance with Law); (g) (Limitation on Dividends and Distributions); (h) (Investment Company Act); (i) (True and Correct Information); (l) (Financial Covenants); (n) (ERISA Matters); (o) (Consolidations, Mergers and Sales of Assets); (p) (Anti-Money Laundering and Sanctions Laws) or (s) (Prohibited Transactions), in each case, of the Guaranty, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any Equity Pledgor to perform, comply with or observe any term, covenant or agreement applicable to such Equity Pledgor contained in any of Sections 7(a)(i) or (ii) (Preservation of Existence; Compliance with Law); (d) (True and Correct Information); (f) (Anti-Money Laundering Laws); (i) (Sanctions); (k) (No Division/Series Transactions); or (l) (UCC Article 8), in each case, of the related Equity Pledge Agreement, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any Affiliated Transferor to perform, comply with or observe any term, covenant or agreement applicable to such Affiliated Transferor contained in any of Sections 8(a)(i) or (ii) (Preservation of Existence; Compliance with Law); 8(d) (True and Correct Information); (f) (Anti-Money Laundering Laws) or (i) (Sanctions), in each case, of the related Affiliated Transferor Pledge Agreement, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Additional Covenant Defaults</u>. Any Seller Party shall fail to observe or perform any other covenant or agreement contained in the Facility Documents (and not identified in <u>clause (d)</u> of this <u>Section</u> <u>15</u>), and if such default shall be capable of being remedied as determined by Buyer, such failure to observe or perform shall continue unremedied for more than ten (10) Business Days; <u>provided</u>, that, if such failure is capable of being cured within thirty (30) calendar days of the occurrence of such failure, as determined by Buyer in its sole and absolute discretion, and the applicable Seller Party is diligently and continuously pursuing such a cure in good faith, then such cure period shall be extended to a thirty (30) calendar day period from such breach; <u>provided</u> <u>further</u> that, any breach or failure to perform resulting from the gross negligence, willful misconduct or bad faith of any applicable Seller Party or any Affiliate thereof shall not be susceptible to cure; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Judgments</u>. A judgment or judgments for the payment of money in excess of the applicable Default Threshold in the aggregate, shall be rendered against any Seller Party, by one or more courts, administrative tribunals or other bodies having jurisdiction; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Cross-Default</u>. Any Seller Party or any of their respective Affiliates shall be in default (A) under any other Indebtedness, financing, hedging, security or other agreement or contract, which default involves the failure to pay a material matured obligation or permits the acceleration of the maturity of obligations by any other party to or beneficiary with respect to such agreement or Indebtedness, or (B) in making any payment when due under, or performing any other obligation under, any other Indebtedness, financing, hedging, security or other agreement or contract between any Seller Party or any of their respective Affiliates, as applicable, on the one hand, and Buyer or any Affiliate of Buyer on the other; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Insolvency Event</u>. (i) An Insolvency Event shall have occurred with respect to any Seller Party, (ii) any Seller Party shall discontinue or abandon all or substantially all operation of its business, (iii) any Seller Party shall fail generally to, or admit in writing its inability to, pay its debts as they become due or (iv) any Seller Party shall become "Insolvent" (as such term is defined in Section 101(32) of the Bankruptcy Code); or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Enforceability</u>. For any reason (i) any Seller Party or any Affiliate thereof shall contest the validity, enforceability, perfection or priority of any Lien granted pursuant to the Facility Documents, (ii) any Person (other than Buyer) contests the validity, enforceability, perfection or priority of any Lien granted pursuant thereto, (iii) any Seller Party or any Affiliate thereof shall seek to disaffirm, terminate, limit, challenge, repudiate or reduce its obligations under any Facility Document, in whole or in part or (iv) any Facility Document at any time shall fail to be in full force and effect in all material respects in accordance with its terms or shall not be enforceable in all material respects in accordance with its terms; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Liens</u>. Any Seller Party or any Affiliate thereof shall grant, or suffer to exist, any Lien on any Repurchase Asset (except any Lien in favor of Buyer or, with respect to any Mortgaged Property, any Permitted Encumbrances) or Buyer for any reason ceases to have a valid, first priority security interest in any of the Repurchase Assets free of any adverse claim; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) [<u>Reserved</u>]; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Change in Control</u>. A Change in Control shall have occurred without the prior written consent of Buyer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Inability to Perform</u>. Any Seller Party shall admit in writing or in a legal proceeding its inability to, or its intention not to, perform any of its obligations under the Facility Documents to which it is a party; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>Failure to Transfer</u>. Any Seller Party fails to transfer the Purchased Assets and Repurchase Assets to Buyer on or prior to the applicable Purchase Date (<u>provided</u> that Buyer has tendered the related Purchase Price); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Government Action</u>. Any Governmental Authority or any person, agency or entity acting or purporting to act under Governmental Authority shall have taken any action to condemn, seize or appropriate, or to assume custody or control of, all or any substantial part of the Property of any Seller Party or shall have taken any action to displace the management of any Seller Party or to curtail its authority in the conduct of the business of any Seller Party, or takes any action in the nature of enforcement to remove, limit or restrict the approval of any Seller Party as an issuer, buyer or a seller of the Mortgage Assets or securities backed thereby; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Assignment</u>. Any assignment or attempted assignment by any Seller Party or any of their respective Affiliates of this Agreement or any other Facility Document or any rights hereunder or thereunder without first obtaining the specific written consent of Buyer; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) [<u>Reserved</u>]; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Servicer Termination Event</u>. A Servicer Termination Event shall have occurred with respect to any Servicer and the applicable Seller shall fail to appoint and transfer the servicing of the related Purchased Assets to a successor Servicer that is satisfactory to Buyer in Buyer's good faith discretion within forty-five (45) days.

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**Section 16. <u>Remedies</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If an Event of Default occurs, the following rights and remedies are available to Buyer; <u>provided</u>, that an Event of Default shall be deemed to be continuing unless expressly waived by Buyer in writing:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) At the option of Buyer, exercised by written notice to Sellers (which option shall be deemed to have been exercised, even if no notice is given, immediately upon the occurrence of an Insolvency Event of any Seller Party), the Repurchase Date for each Transaction hereunder, if it has not already occurred, shall be deemed immediately to occur (the date on which such option is exercised or deemed to have been exercised being referred to hereinafter as the "<u>Accelerated Repurchase Date</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If Buyer exercises or is deemed to have exercised the option referred to in <u>subsection</u> <u>(a)(i)</u> of this Section,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Sellers' obligations in such Transactions to repurchase all Purchased Assets, at the Repurchase Price therefor on the Repurchase Date determined in accordance with subsection (a)(i) of this Section, (1) shall thereupon become immediately due and payable, (2) all Income paid after such exercise or deemed exercise shall be retained by Buyer and applied to the aggregate unpaid Repurchase Price and any other amounts owed by Sellers hereunder, and (3) each Seller shall immediately deliver to Buyer any and all Purchased Assets subject to such Transactions then in such Seller's or Servicer's possession or control, including Purchased Assets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) to the extent permitted by applicable law, the Repurchase Price with respect to each such Transaction (determined as of the Accelerated Repurchase Date) shall be increased by the aggregate amount obtained by daily application of, on a 360 day per year basis for the actual number of days during the period from and including the date of the exercise or deemed exercise of such option to but excluding the date of payment of the Repurchase Price as so increased, (x) the Post-Default Rate in effect following an Event of Default to (y) the Repurchase Price for such Transaction as of the Repurchase Date as determined pursuant to subsection (a)(i) of this Section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Upon the occurrence of one or more Events of Default, Buyer shall have the right to obtain physical possession of all files of each Seller Party relating to the Repurchase Assets and all documents relating to the Purchased Assets and the Repurchase Assets related thereto which are then or may thereafter come in to the possession of each Seller or any third party acting for such Seller and such Seller shall deliver to Buyer such assignments as Buyer shall request. Buyer shall be entitled to specific performance of all agreements of any Seller or Guarantor contained in any Facility Documents.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Upon the occurrence of an Event of Default, Buyer, or Buyer through its Affiliates or designees, may (A) immediately sell, without demand or further notice of any kind, at a public or private sale at such price or prices as Buyer may deem satisfactory any or all of the Purchased Assets and Repurchase Assets or (B) in its sole discretion elect, in lieu of selling all or a portion of such Purchased Assets and Repurchase Assets, to retain such Purchased Assets and Repurchase Assets and give Sellers credit for such Purchased Assets and Repurchase Assets in an amount equal to the Market Value of the related Purchased Assets (as determined and adjusted by Buyer in its sole discretion, giving such weight to the Market Value or outstanding principal balance of such Purchased Asset as Buyer deems appropriate) against the aggregate unpaid Repurchase Price for such Purchased Assets and Repurchase Assets and any other amounts owing by Sellers under the Facility Documents. The proceeds of any disposition of Purchased Assets and Repurchase Assets effected pursuant to the foregoing shall be applied as determined by Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Sellers shall be liable to Buyer for (A) the amount of all actual expenses, including reasonable documented legal fees and expenses, actually incurred by Buyer in connection with or as a consequence of an Event of Default, (B) all actual costs incurred in connection with covering transactions or hedging transactions, (C) any marketing or sales fee(s) charged by Buyer or an Affiliate in connection with marketing and selling the Repurchase Assets and (D) any other actual loss, damage, cost or expense arising or resulting from the occurrence of an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) Buyer shall have, in addition to its rights hereunder, any rights otherwise available to it under any other agreement or Applicable Law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Seller acknowledges and agrees that (A) in the absence of a generally recognized source for prices or bid or offer quotations for any Purchased Assets and Repurchase Assets, Buyer may establish the source therefor in its sole discretion and (B) all prices, bids and offers shall be determined together with accrued Income. Each Seller recognizes that it may not be possible to purchase or sell all of the Purchased Assets and Repurchase Assets on a particular Business Day, or in a transaction with the same purchaser, or in the same manner because the market for such Purchased Assets and Repurchase Assets may not be liquid at such time. In view of the nature of the Purchased Assets and Repurchase Assets, each Seller agrees that liquidation of a Transaction or the Purchased Assets and Repurchase Assets does not require a public purchase or sale and that a good faith private purchase or sale shall be deemed to have been made in a commercially reasonable manner. Accordingly, Buyer may elect, in its sole discretion, the time and manner of liquidating any Purchased Assets and Repurchase Assets, and nothing contained herein shall (A) obligate Buyer to liquidate any Purchased Assets or Repurchase Assets on the occurrence and during the continuance of an Event of Default or to liquidate all of the Purchased Assets or Repurchase Assets in the same manner or on the same Business Day or (B) constitute a waiver of any right or remedy of Buyer. Buyer may exercise one or more of the remedies available hereunder immediately upon the occurrence of an Event of Default and at any time thereafter without notice to any Seller. All rights and remedies arising under this Agreement as amended from time to time hereunder are cumulative and not exclusive of any other rights or remedies which Buyer may have.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Buyer may enforce its rights and remedies hereunder without prior judicial process or hearing, and each Seller hereby expressly waives any defenses such Seller might otherwise have to require Buyer to enforce its rights by judicial process. Each Seller also waives any defense (other than a defense of payment or performance) such Seller might otherwise have arising from the use of nonjudicial process, enforcement and sale of all or any portion of the Repurchase Assets, or from any other election of remedies. Each Seller recognizes that nonjudicial remedies are consistent with the usages of the trade, are responsive to commercial necessity and are the result of a bargain at arm's length.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Without limiting the rights of Buyer hereto to pursue all other legal and equitable rights available to Buyer for any Seller's failure to perform its obligations under this Agreement, each Seller acknowledges and agrees that the remedy at law for any failure to perform obligations hereunder would be inadequate and Buyer shall be entitled to specific performance, injunctive relief, or other equitable remedies in the event of any such failure. The availability of these remedies shall not prohibit Buyer from pursuing any other remedies for such breach, including the recovery of monetary damages.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Buyer shall have, in addition to its rights and remedies under the Facility Documents, all of the rights and remedies provided by applicable federal, state, foreign, and local laws (including, without limitation, if the Transactions are recharacterized as secured financings, the rights and remedies of a secured party under the UCC of the State of New York, to the extent that the UCC is applicable, and the right to offset any mutual debt and claim), in equity, and under any other agreement between Buyer and any Seller. Without limiting the generality of the foregoing, Buyer shall be entitled to set off the proceeds of the liquidation of the Purchased Assets and Repurchase Assets against all of Sellers' obligations to Buyer, whether or not such obligations are then due, without prejudice to Buyer's right to recover any deficiency.

**Section 17. <u>Indemnification and Expenses</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Each Seller agrees to hold Buyer, and its Affiliates and their officers, directors, employees, agents and advisors (each an "<u>Indemnified Party</u>") harmless from and indemnify any Indemnified Party against all actual and documented out-of-pocket liabilities, losses, damages (excluding in all cases, however, punitive damages, consequential damages, indicative damages, special damages, in each case, except to the extent owed to third parties, or damages in the nature of "lost profits" or "lost opportunities"), judgments, costs and expenses of any kind (including, without limitation, reasonable fees and expenses of counsel) which may be imposed on, incurred by or asserted against such Indemnified Party (collectively, "<u>Costs</u>"), relating to or arising out of this Agreement, any other Facility Document or any transaction contemplated hereby or thereby, or any amendment, supplement or modification of, or any waiver or consent under or in respect of, this Agreement, any other Facility Document or any transaction contemplated hereby or thereby (including without limitation any such Costs arising from (i) any acts or omissions of any Seller Party and (ii) any wire fraud or data or systems intrusion on the systems of any Seller Party or Affiliate thereof), that, in each case, results from anything other than the Indemnified Party's gross negligence, willful misconduct, bad faith or illegal acts (which gross negligence, willful misconduct, bad faith or illegal acts is determined by a court of competent jurisdiction pursuant to a final judgment). For the avoidance of doubt "Costs" shall include Taxes that represent losses, damages, claims, costs and expenses arising from any non-Tax claim. Without limiting the generality of the foregoing, each Seller agrees to hold any Indemnified Party harmless from and indemnify such Indemnified Party against all Costs with respect to all

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Purchased Assets that results from anything other than the Indemnified Party's gross negligence, willful misconduct, bad faith or illegal acts (which gross negligence, willful misconduct, bad faith or illegal acts is determined by a court of competent jurisdiction pursuant to a final judgment). In any suit, proceeding or action brought by an Indemnified Party in connection with any Purchased Assets for any sum owing thereunder, or to enforce any provisions of any Purchased Assets, each Seller will save, indemnify and hold such Indemnified Party harmless from and against all expense, loss or damage suffered by reason of any defense, set-off, counterclaim, recoupment or reduction or liability whatsoever of the account debtor or obligor thereunder, arising out of a breach by such Seller of any obligation thereunder or arising out of any other agreement, indebtedness or liability at any time owing to or in favor of such account debtor or obligor or its successors from such Seller. Each Seller also agrees to reimburse an Indemnified Party within ten (10) Business Days of the date when billed by such Indemnified Party for all the Indemnified Party's actual and documented out-of-pocket costs and expenses incurred in connection with the enforcement or the preservation of Buyer's rights under this Agreement, any other Facility Document or any transaction contemplated hereby or thereby, including without limitation the reasonable fees and disbursements of its counsel. Each Seller's agreements in this <u>Section</u> <u>17</u> shall survive the payment in full of the Repurchase Price and the expiration or termination of this Agreement. Each Seller hereby acknowledges that its obligations hereunder are recourse obligations of such Seller and are not limited to recoveries each Indemnified Party may have with respect to the Purchased Assets. Each Seller also agrees not to assert any claim against Buyer or any of its Affiliates, or any of their respective officers, directors, employees, attorneys and agents, on any theory of liability, for special, indirect, consequential or punitive damages arising out of or otherwise relating to the facility established hereunder, the actual or proposed use of the proceeds of the Transactions, this Agreement or any of the Transactions contemplated thereby. THE FOREGOING INDEMNITY AND AGREEMENT NOT TO ASSERT CLAIMS EXPRESSLY APPLIES, WITHOUT LIMITATION, TO THE NEGLIGENCE (BUT NOT GROSS NEGLIGENCE OR WILLFUL MISCONDUCT) OF THE INDEMNIFIED PARTIES.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each Seller agrees to pay within ten (10) Business Days of the date when billed by Buyer all of the actual and documented out-of-pocket costs and expenses (including reasonable legal fees and expenses of Buyer's counsel) incurred by Buyer in connection with the development, preparation and execution of, and any amendment, supplement or modification to, this Agreement, any other Facility Document or any other documents prepared in connection herewith or therewith. Each Seller agrees to pay within ten (10) Business Days of the date when billed by Buyer all of the actual and documented out-of-pocket costs and expenses incurred in connection with the consummation and administration of the transactions contemplated hereby and thereby including without limitation filing fees and all the reasonable fees, disbursements and expenses of counsel to Buyer which amount shall be deducted from the Purchase Price paid for the first Transaction hereunder. Each Seller agrees to pay Buyer all the due diligence, inspection, testing and review costs and expenses incurred by Buyer with respect to Mortgage Assets submitted by such Seller to be subject to a Transaction under this Agreement, including, but not limited to, those out-of-pocket costs and expenses incurred by Buyer pursuant to <u>Sections</u> <u>16(b)</u> and <u>20</u> hereof. Each Seller shall pay all invoices within ten (10) Business Days of such Seller's receipt thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The obligations of Sellers from time to time to pay the Repurchase Price, the Price Differential, all Obligations, all fees, expenses and indemnity amounts and all other amounts due under this Agreement shall be full recourse obligations of Sellers, jointly and severally.

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**Section 18. <u>Servicing</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The parties hereto agree and acknowledge that the Purchased Assets are sold to Buyer on a "servicing released" basis and Buyer is owner of all Servicing Rights so long as the Purchased Assets are subject to this Agreement. Notwithstanding the foregoing, Sellers, on Buyer's behalf, shall contract with the related Servicer to service the Purchased Assets consistent with the degree of skill and care that such Servicer customarily requires with respect to similar Mortgage Assets owned or managed or serviced by such Servicer and in accordance with Accepted Servicing Practices. Sellers shall cause each Servicer to (i) comply with all applicable federal, state and local laws and regulations, (ii) maintain all state and federal licenses necessary for it to perform its servicing responsibilities hereunder and (iii) not impair the rights of Buyer in any Purchased Asset or any payment thereunder. Sellers shall and, in accordance with the Servicer Notice, shall cause each Servicer (if applicable) to hold each related Servicer Account (if any) for the benefit of Buyer. Buyer may terminate the servicing of any Purchased Asset with any Servicer in accordance with <u>Section</u> <u>18(d)</u> hereof. Notwithstanding anything to the contrary herein, neither Seller nor any Affiliate thereof shall take (or permit to be taken) any action to effect or fail to take (or permit to not be taken) any action if the result thereof effects any modification or amendment of, or waiver or consent under any Purchased Asset which is a Significant Modification, without giving prompt written notice thereof to Buyer in accordance with <u>Section</u> <u>14(c)(</u><u>i</u><u>)(C)</u> and receiving the prior written consent of Buyer. If any Significant Modification or any failure to take any steps which would have the effect of any Significant Modification, with respect to any Purchased Asset occurs without prior written consent of Buyer, such occurrence shall constitute a Mandatory Early Repurchase Event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Sellers shall cause each Servicer to hold or cause to be held all collections, escrows and reserves received by such Servicer with respect to any Purchased Assets in trust and shall apply the same for the purposes for which such funds were collected.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Each Seller shall cause each Servicer to deposit all Income received by such Servicer on behalf of Sellers on account of the Purchased Assets in the applicable Collection Account in accordance with the provisions of <u>Section</u> <u>5(b)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Upon the occurrence and during the continuance of a Servicer Termination Event or an Event of Default hereunder, Buyer shall have the right to immediately terminate the related Servicer's right to service the Purchased Assets without payment of any penalty or termination fee and to appoint Backup Servicer as servicer of the Mortgage Assets pursuant to the Backup Servicing Agreement. In connection with such termination, Sellers shall and shall cause the applicable Servicer to cooperate in transferring the servicing of the Purchased Assets to Backup Servicer. Upon the resignation of any Servicer, Sellers shall (and shall cause the related Servicer to) promptly transfer the servicing of the related Purchased Assets to Backup Servicer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If any Servicer, for any reason whatsoever, has failed to perform fully such Servicer's obligations under the Facility Documents or any of the obligations of such Servicer with respect to the servicing of the Purchased Assets, Sellers shall promptly notify Buyer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Buyer may, in its sole discretion, consent to a waiver of a Servicer Termination Event or Backup Servicer Termination Event. Sellers shall not consent to any waiver under a Servicing Agreement or Backup Servicing Agreement without Buyer's prior written consent, which consent shall not be unreasonably withheld, conditioned or delayed. No new Servicer shall be appointed except in accordance with <u>Section</u> <u>18(g)</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Buyer may, from time to time in its sole discretion exercised in good faith, approve a Servicer to service or perform as backup servicer for the Purchased Assets, as applicable; <u>provided</u> that, to the extent not previously delivered and approved, (x) Buyer shall have, in its sole discretion, approved each Servicing Agreement or Backup Servicing Agreement, as applicable, pursuant to which any Mortgage Asset that is subject to the proposed Transaction is serviced, and (y) Buyer shall have received a fully executed copy of the related Servicer Notice or Backup Servicer Notice, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) As compensation for its services under any Servicing Agreement, the applicable Servicer shall be entitled to a servicing fee pursuant to such Servicing Agreement as modified by the Servicer Notice. Notwithstanding anything contained in any Servicing Agreement to the contrary, Sellers shall not modify any servicing fee without Buyer's prior written consent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) As compensation for its services under any Backup Servicing Agreement, the applicable Backup Servicer shall be entitled to a servicing fee pursuant to such Backup Servicing Agreement as modified by the Backup Servicer Notice. Notwithstanding anything contained in any Backup Servicing Agreement to the contrary, Sellers shall not modify any servicing fee without Buyer's prior written consent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) The form and substance of any Servicing Agreement or any Backup Servicing Agreement shall be approved by Buyer, acting reasonably. No Servicing Agreement or Backup Servicing Agreement shall be amended without the written consent of Buyer, which may be granted or withheld in its good faith discretion. Sellers shall provide Buyer with a copy of any executed amendment to any Servicing Agreement or Backup Servicing Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Backup Servicer</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Sellers shall contract with each applicable Backup Servicer to provide backup servicing functions with respect to the Mortgage Loans in accordance with the terms of the applicable Backup Servicing Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Sellers shall not interfere with any Backup Servicer's performance of its duties under the related Backup Servicing Agreement or take any action that would be inconsistent in any way with the terms of the related Backup Servicing Agreement. Sellers shall provide any and all information and data reasonably requested by any Backup Servicer to be provided promptly to such Backup Servicer in the manner and form required by this Agreement and/or the Backup Servicing Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Upon the occurrence of a Backup Servicer Termination Event, Buyer shall have the right to terminate the related Backup Servicer and appoint a successor backup servicer in its sole and absolute discretion.

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**Section 19. <u>Recording of Communications</u>**. Buyer, Sellers and Guarantor shall have the right (but not the obligation) from time to time to make or cause to be made tape recordings of communications between its employees and those of the other party with respect to Transactions upon notice to the other party of such recording (such notice may be given by means of a beep or other audible tone at the commencement of, or during, a telephone call).

**Section 20. <u>Due Diligence</u>**. Each Seller acknowledges that Buyer has the right to perform continuing due diligence reviews with respect to the proposed and actual Purchased Assets, each Seller Party and their respective Affiliates, including, without limitation, financial information, organization documents, purchase agreements and underwriting purchase models for each pool of proposed and actual Purchased Assets and such other information regarding such Persons or the Purchased Assets that Buyer may request and such Seller Party or such other Person shall have in their possession or control, for purposes of approving any Mortgage Asset, verifying compliance with the representations, warranties and specifications made hereunder, or otherwise, and each Seller agrees that (a) upon reasonable prior notice to Sellers, unless an Event of Default shall have occurred, in which case no notice is required, Buyer or its authorized representatives will be permitted during normal business hours to examine, inspect, and make copies and extracts of the Asset Files and any and all documents, records, agreements, instruments or information relating to such actual and proposed Purchased Assets (the "<u>Due Diligence Documents</u>") in the possession or under the control of Sellers and/or the Custodian, or (b) upon request, Sellers shall create and deliver to Buyer within one (1) Business Day of such request, an electronic copy via email to [\*\*\*], in a format acceptable to Buyer, of such Due Diligence Documents as Buyer may request. Without limiting the generality of the foregoing, prior to each Transaction, Buyer shall have received such additional due diligence items that Buyer may require with respect to the applicable Mortgage Asset. Each Seller also shall make available to Buyer a knowledgeable financial or accounting officer for the purpose of answering questions respecting the Asset Files, the proposed and actual Purchased Assets. Without limiting the generality of the foregoing, each Seller acknowledges that Buyer may purchase Purchased Assets from such Seller and enter into additional Transactions with respect to the proposed Purchased Assets based solely upon the information provided by such Seller to Buyer in the Asset Schedule and the representations, warranties and covenants contained herein, and that Buyer, at its option, has the right at any time to conduct a partial or complete due diligence review on some or all of the Purchased Assets subject to a Transaction, including, without limitation, ordering broker's price opinions, new credit reports and new appraisals on the related Mortgaged Properties with respect to the Purchased Assets (including, without limitation, upon the occurrence of any Credit Event or any delinquency in payment by the related Borrower with respect to such Purchased Asset) and otherwise re-generating the information used to originate such Purchased Assets. Buyer may underwrite such Purchased Assets itself or engage a mutually agreed upon third party underwriter to perform such underwriting. Each Seller agrees to cooperate, and to cause each Seller Party to cooperate, with Buyer or any third party underwriter in connection with such underwriting, including, but not limited to, providing Buyer with access to any and all documents, records, agreements, instruments or information relating to such Purchased Assets in the possession, or under the control, of such Seller. Each Seller further agrees that such Seller shall pay all out-of-pocket costs and expenses incurred by Buyer in connection with Buyer's due diligence activities pursuant to this <u>Section</u> <u>20</u>. Buyer may, based on such due diligence, require such Seller to change contractual terms and add protections Buyer deems, in its absolute discretion, necessary to protect its rights in the Purchased Assets.

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**Section 21. <u>Assignability</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The rights and obligations of the parties under this Agreement and under any Transaction shall not be assigned by any Seller without the prior written consent of Buyer. Subject to the foregoing, this Agreement and any Transactions shall be binding upon and shall inure to the benefit of the parties and their respective successors and assigns. Nothing in this Agreement express or implied, shall give to any Person, other than the parties to this Agreement and their successors and permitted assigns hereunder, any benefit of any legal or equitable right, power, remedy or claim under this Agreement. Buyer may from time to time assign all or a portion of its rights and obligations under this Agreement and the Facility Documents to any Person pursuant to an executed assignment and acceptance by Buyer and assignee ("<u>Assignment and Acceptance</u>"), specifying the percentage or portion of such rights and obligations assigned; <u>provided</u> that, so long as no Event of Default has occurred and is continuing, without the written consent of Sellers, any such assignment shall be made only to a Qualified Transferee. Upon such assignment, (a) such assignee shall be a party hereto and to each Facility Document to the extent of the percentage or portion set forth in the Assignment and Acceptance, and shall succeed to the applicable rights and obligations of Buyer hereunder and thereunder, and (b) Buyer shall, to the extent that such rights and obligations have been so assigned by it be released from its obligations hereunder and under the Facility Documents. Unless otherwise stated in the Assignment and Acceptance, Sellers shall continue to take directions solely from Buyer unless otherwise notified by Buyer in writing. Buyer may distribute to any prospective assignee any document or other information delivered to Buyer by Sellers.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer may sell participations to one or more Persons in or to all or a portion of its rights and obligations under this Agreement to any Person; <u>provided</u>, <u>however</u>, that (i) Buyer's obligations under this Agreement shall remain unchanged, (ii) Buyer shall remain solely responsible to the other parties hereto for the performance of such obligations; and (iii) so long as no Event of Default has occurred and is continuing, Sellers shall continue to deal solely and directly with Buyer or an Affiliate thereof in connection with Buyer's rights and obligations under this Agreement and the other Facility Documents except as provided in <u>Section</u> <u>8</u>. Each participant shall be entitled to the benefits of <u>Section</u> <u>6</u> and <u>Section</u> <u>8</u> (subject to the requirements and limitations therein, including the requirements under <u>Section</u> <u>8(e)</u> (it being understood that the documentation required under <u>Section</u> <u>8(e)</u> shall be delivered to the participating Buyer)), provided that such participant shall not be entitled to receive any greater payment under <u>Section</u> <u>6</u> or <u>Section</u> <u>8</u> than its participating Buyer would have been entitled to receive, except to the extent such entitlement to receive a greater payment results from the adoption of or any change in any Requirements of Law or in the interpretation or application thereof by a Governmental Authority or compliance by Buyer or such participant with a request or directive (whether or not having the force of law) from a central bank or other Governmental Authority having jurisdiction over Buyer or such participant, in each case made or issued after such participant acquired the applicable participation.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event Buyer assigns all or a portion of its rights and obligations under this Agreement, the parties hereto agree to negotiate in good faith an amendment to this Agreement to add agency provisions similar to those included in repurchase agreements for similar syndicated repurchase facilities.

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**Section 22. <u>Transfer and Maintenance of Register</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Subject to acceptance and recording thereof pursuant to paragraph (b) of this <u>Section</u> <u>22</u>, from and after the effective date specified in each Assignment and Acceptance the assignee thereunder shall be a party hereto and, to the extent of the interest assigned by such Assignment and Acceptance, have the rights and obligations of Buyer under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer shall maintain a register (the "<u>Register</u>") on which it will record Buyer's rights hereunder, and each Assignment and Acceptance and participation. The Register shall include the names and addresses of Buyer (including all assignees, successors and participants) and the percentage or portion of such rights and obligations assigned or participated. Failure to make any such recordation, or any error in such recordation shall not affect any Seller's or Guarantor's obligations in respect of such rights.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) If Buyer sells a participation in its rights hereunder, it shall, acting solely for this purpose as a non-fiduciary agent of Seller, maintain a register on which it enters the name and address of each related participant and, with respect to each such participant, and any other interest in any obligations under the Facility Documents (the "<u>Participant Register</u>"); provided that no Buyer shall have any obligation to disclose all or any portion of the Participant Register (including the identity of any such participant or any information relating to any such participant's interest in any obligations under any Facility Document) to any Person except to the extent that such disclosure is necessary to establish that such obligation is in registered form under Section 5f.103-1(c) of the United States Treasury Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and the participating Buyer shall treat each Person whose name is recorded in the Participant Register as the owner of the applicable participation for all purposes of this Agreement notwithstanding any notice to the contrary.

**Section 23. <u>Tax Treatment</u>**. Each party to this Agreement acknowledges that it is its intent for purposes of U.S. federal, state and local income and franchise taxes, to treat each Transaction as indebtedness of Sellers that is secured by the Purchased Assets and that the Purchased Assets are owned by Sellers in the absence of a Default by Sellers. All parties to this Agreement agree to such treatment and agree to take no action inconsistent with this treatment, unless required by law.

**Section 24. <u>Set-Off</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) In addition to any rights and remedies of Buyer hereunder and by law, Buyer shall have the right, without prior notice to Sellers, any such notice being expressly waived by Sellers to the extent permitted by Applicable Law, to set-off and appropriate and apply against any obligation from Sellers to Buyer or any of its Affiliates any and all deposits (general or special, time or demand, provisional or final), in any currency, and any other obligation (including to return excess margin), credits, indebtedness or claims, in any currency, in each case whether direct or indirect, absolute or contingent, matured or unmatured, at any time held or owing by or due from Buyer or any of its Affiliates to or for the credit or the account of Sellers. Buyer agrees promptly to notify Sellers after any such set-off and application made by Buyer; <u>provided</u> that the failure to give such notice shall not affect the validity of such set-off and application.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer shall at any time have the right, in each case until such time as Buyer determines otherwise, to retain, to suspend payment or performance of, or to decline to remit, any amounts or deliver any property that Buyer would otherwise be obligated to pay, remit or deliver to any Seller hereunder if an Event of Default has occurred.

**Section 25. <u>Terminability</u>**. Each representation and warranty made or deemed to be made by entering into a Transaction, herein or pursuant hereto shall survive the making of such representation and warranty, and Buyer shall not be deemed to have waived any Default that may arise because any such representation or warranty shall have proved to be false or misleading, notwithstanding that Buyer may have had notice or knowledge or reason to believe that such representation or warranty was false or misleading at the time the Transaction was made. The obligations of Sellers under <u>Section</u> <u>17</u> hereof shall survive the termination of this Agreement.

**Section 26. <u>Notices And Other Communications</u>**. Except as otherwise expressly permitted by this Agreement, all notices, requests and other communications provided for herein (including without limitation any modifications of, or waivers, requests or consents under, this Agreement) shall be given or made in writing (including without limitation by electronic mail, telecopy or other electronic delivery) delivered to the intended recipient at the "Address for Notices" specified below its name on the signature pages hereof or thereof; or, as to any party, at such other address as shall be designated by such party in a written notice to each other party. Except as otherwise provided in this Agreement and except for notices given under <u>Section</u> <u>3</u> hereof (which shall be effective only on receipt), all such communications shall be deemed to have been duly given when transmitted by electronic mail, telecopy or other electronic delivery or personally delivered or, in the case of a mailed notice, upon receipt, in each case given or addressed as aforesaid. In all cases, to the extent that the related individual set forth in the respective "Attention" line is no longer employed by the respective Person, such notice may be given to the attention of a Responsible Officer or other similar officer of the respective Person or to the attention of such individual or individuals as subsequently notified in writing by a Responsible Officer or other similar officer of the respective Person.

**Section 27. <u>Entire Agreement; Severability; Single Agreement</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) This Agreement, together with the Facility Documents, constitute the entire understanding between Buyer and Sellers with respect to the subject matter they cover and shall supersede any existing agreements between the parties containing general terms and conditions for repurchase transactions involving Purchased Assets. By acceptance of this Agreement, Buyer and each Seller acknowledge that they have not made, and are not relying upon, any statements, representations, promises or undertakings not contained in this Agreement. Each provision and agreement herein shall be treated as separate and independent from any other provision or agreement herein and shall be enforceable notwithstanding the unenforceability of any such other provision or agreement. No amendment, modification or supplement to any Facility Documents to which Buyer is a party shall be binding or effective unless pursuant to an agreement or agreements in writing entered into by Buyer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer and each Seller acknowledge that, and have entered hereinto and will enter into each Transaction hereunder in consideration of and in reliance upon the fact that, all Transactions hereunder constitute a single business and contractual relationship and that each has been entered into in consideration of the other Transactions. Accordingly, each of Buyer and each Seller agrees (i) to perform all of its obligations in respect of each Transaction hereunder, and that a default in the performance of any such obligations shall constitute a default by it in respect of all Transactions hereunder, (ii) that payments, deliveries, and other transfers made by either of them in respect of any Transaction shall be deemed to have been made in consideration of payments, deliveries, and other transfers in respect of any other Transactions hereunder, and the obligations to make any such payments, deliveries, and other transfers may be applied against each other and netted by Buyer and (iii) to promptly provide notice to the other after any such set-off or application.

**Section 28. <u>GOVERNING LAW</u>**. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CONFLICT OF LAW PRINCIPLES THEREOF, OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW, WHICH SHALL GOVERN.

**Section 29. <u>SUBMISSION TO JURISDICTION; WAIVERS</u>**. BUYER AND EACH SELLER HEREBY IRREVOCABLY AND UNCONDITIONALLY:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **SUBMITS FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT AND THE OTHER FACILITY DOCUMENTS, OR FOR RECOGNITION AND ENFORCEMENT OF ANY JUDGMENT IN RESPECT THEREOF, TO THE EXCLUSIVE GENERAL JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK, THE FEDERAL COURTS OF THE UNITED STATES OF AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK, AND APPELLATE COURTS FROM ANY THEREOF;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **CONSENTS THAT ANY SUCH ACTION OR PROCEEDING MAY BE BROUGHT IN SUCH COURTS AND, TO THE EXTENT PERMITTED BY LAW, WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH ACTION OR PROCEEDING IN ANY SUCH COURT OR THAT SUCH ACTION OR PROCEEDING WAS BROUGHT IN AN INCONVENIENT COURT AND AGREES NOT TO PLEAD OR CLAIM THE SAME;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **AGREES THAT SERVICE OF PROCESS IN ANY SUCH ACTION OR PROCEEDING MAY BE EFFECTED BY MAILING A COPY THEREOF BY REGISTERED OR CERTIFIED MAIL (OR ANY SUBSTANTIALLY SIMILAR FORM OF MAIL), POSTAGE PREPAID, TO ITS ADDRESS SET FORTH UNDER ITS SIGNATURE BELOW OR AT SUCH OTHER ADDRESS OF WHICH BUYER SHALL HAVE BEEN NOTIFIED;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **AGREES THAT NOTHING HEREIN SHALL AFFECT THE RIGHT TO EFFECT SERVICE OF PROCESS IN ANY OTHER MANNER PERMITTED BY LAW OR SHALL LIMIT THE RIGHT TO SUE IN ANY OTHER JURISDICTION; AND**

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) **BUYER AND EACH SELLER HEREBY IRREVOCABLY WAIVE, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, ANY OTHER FACILITY DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.**

**Section 30. <u>No Waivers,</u> <u>etc</u>**. No failure on the part of Buyer to exercise and no delay in exercising, and no course of dealing with respect to, any right, power or privilege under any Facility Document shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power or privilege under any Facility Document preclude any other or further exercise thereof or the exercise of any other right, power or privilege. The remedies <u>provided</u> herein are cumulative and not exclusive of any remedies provided by law. An Event of Default shall be deemed to be continuing unless expressly waived by Buyer in writing. For the avoidance of doubt, no oral waivers shall be enforceable.

**Section 31. <u>Netting</u>**. If Buyer and each Seller are "financial institutions" as now or hereinafter defined in Section 4402 of Title 12 of the United States Code ("Section 4402") and any rules or regulations promulgated thereunder,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All amounts to be paid or advanced by one party to or on behalf of the other under this Agreement or any Transaction hereunder shall be deemed to be "payment obligations" and all amounts to be received by or on behalf of one party from the other under this Agreement or any Transaction hereunder shall be deemed to be "payment entitlements" within the meaning of Section 4402, and this Agreement shall be deemed to be a "netting contract" as defined in Section 4402.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The payment obligations and the payment entitlements of the parties hereto pursuant to this Agreement and any Transaction hereunder shall be netted as follows. In the event that either party (the "<u>Defaulting Party</u>") shall fail to honor any payment obligation under this Agreement or any Transaction hereunder, the other party (the "<u>Nondefaulting Party</u>") shall be entitled to reduce the amount of any payment to be made by the Nondefaulting Party to the Defaulting Party by the amount of the payment obligation that the Defaulting Party failed to honor.

**Section 32. <u>Confidentiality</u>**.

Buyer and each Seller each hereby acknowledges and agrees that all written or computer-readable information provided by one party to any other regarding the terms set forth in any of the Facility Documents or the Transactions contemplated thereby or pursuant to the terms thereof, including, but not limited to, the name of, or identifying information with respect to Buyer, any pricing terms, or other nonpublic business or financial information (including, without limitation, any sub-limits, financial covenants, financial statements and performance data), the existence of this Agreement and the Transactions with Buyer (the "<u>Confidential Information</u>") shall be kept confidential and shall not be divulged to any party without the prior written consent of such other party except to the extent that (i) it is necessary to disclose to its Affiliates and its and their employees, consultants, service providers, directors, officers, advisors (including legal counsel, accountants, and auditors), representatives and servicers, (ii) it is requested or required by governmental agencies, regulatory bodies or other legal, governmental or regulatory process, in which case such Seller shall provide prior written notice to Buyer to the extent not prohibited by the applicable law or regulation, (iii) any of the Confidential Information is in the public domain

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other than due to a breach of this covenant, (iv) an Event of Default has occurred and Buyer determines such information to be necessary or desirable to disclose in connection with the marketing and sales of the Purchased Assets or otherwise to enforce or exercise Buyer's rights hereunder, or (v) Buyer determines such information is necessary or desirable to disclose (A) to any assignee, participant or proposed assignee or participant of Buyer, (B) in connection with a repurchase transaction or potential repurchase transaction of the Purchased Assets or Repurchase Assets as described in <u>Section</u> <u>11</u> hereof or (C) to any other financing source or provider to Buyer. Sellers shall be responsible for any breach of the terms of this <u>Section</u> <u>32</u> by any Person that it discloses Confidential Information to pursuant to clause (i) above. Sellers shall not, without the written consent of Buyer, make any communication, press release, public announcement or statement in any way connected to the existence or terms of this Agreement or the other Facility Documents or the Transactions contemplated hereby or thereby, except where such communication or announcement is required by law or regulation, in which event Sellers will consult and cooperate with Buyer with respect to the wording of any such announcement. Notwithstanding the foregoing or anything to the contrary contained herein or in any other Facility Document, the parties hereto may disclose to any and all Persons, without limitation of any kind, the federal, state and local tax treatment or tax structure of the Transactions, any fact relevant to understanding the federal, state and local tax treatment or tax structure of the Transactions, and all materials of any kind (including opinions or other tax analyses) relating to such federal, state and local tax treatment and that may be relevant to understanding such tax treatment or tax structure; <u>provided</u> that the "tax treatment" or "tax structure" shall be limited to any facts relevant to the U.S. federal, state or local tax treatment of any Transaction contemplated hereunder and specifically does not include any information relating to the identity of Buyer or any pricing terms hereunder. The provisions set forth in this <u>Section</u> <u>32</u> shall survive the termination of this Agreement for two years.

**Section 33. <u>Intent</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The parties recognize that each Transaction and this Agreement is a "<u>repurchase agreement</u>" as that term is defined in Section 101 of the Bankruptcy Code, as amended, a "<u>securities contract</u>" as that term is defined in Section 741 of the Bankruptcy Code and a "<u>master netting agreement</u>" as that term is defined in Section 101(38A)(A) of the Bankruptcy Code, that all payments hereunder are deemed "<u>margin payments</u>" or "<u>settlement payments</u>" as defined in the Bankruptcy Code, and that the pledge of the Repurchase Assets constitutes "a security agreement or other arrangement or other credit enhancement" that is "related to" this Agreement and the Transactions hereunder within the meaning of Sections 101(38A)(A), 101(47)(A)(v) and 741(7)(A)(xi) of the Bankruptcy Code. Each Seller and Buyer further recognize and intend that this Agreement is an agreement to provide financial accommodations and is not subject to assumption pursuant to Bankruptcy Code Section 365(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The parties intend and acknowledge that (i) Buyer's right to liquidate the Repurchase Assets delivered to it in connection with the Transactions hereunder or to accelerate or terminate this Agreement or otherwise exercise any other remedies pursuant to <u>Section</u> <u>16</u> hereof is a contractual right to liquidate, accelerate or terminate such Transactions as described in Bankruptcy Code Sections 555, 559 and 561; (ii) Buyer's right to set-off claims and appropriate and apply any and all deposits of money or other property or any other indebtedness at any time held or owing by Buyer to or for the credit of the account of any Affiliate against and on account

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of the obligations and liabilities of Sellers pursuant to <u>Section</u> <u>24</u> hereof is a contractual right as described in Bankruptcy Code Sections 553 and 561 and subsections (b)(6), (b)(7) and (b)(27) of Section 362; and (iii) any payments or transfers of property made with respect to this Agreement or any Transaction shall be considered a "margin payment" and "settlement payment" as such terms are defined in Bankruptcy Code Sections 101(38), 101(51A), 741(5) and 741(8).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) This Agreement is intended to be a "repurchase agreement" a "securities contract," and a "master netting agreement" within the meaning of Sections 555, 559 and 561 of the Bankruptcy Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Each party agrees that this Agreement is intended to create mutuality of obligations among the parties, and as such, the Agreement constitutes a contract which (i) is between all of the parties and (ii) places each party in the same right and capacity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Each party agrees that it shall not challenge the characterization of this Agreement or any Transaction as a securities contract and master netting agreement under the Bankruptcy Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Each party agrees that this Agreement and the Facility Documents and the Transactions entered into hereunder are part of an integrated, simultaneously-closing suite of financial contracts.

**Section 34. <u>Conflicts</u>**. In the event of any conflict between the terms of this Agreement, any other Facility Document and any Confirmation, the documents shall control in the following order of priority: first, the terms of the Confirmation shall prevail, second, then the terms of the Pricing Side Letter shall prevail, third, then the terms of this Agreement shall prevail, and then the terms of the Facility Documents shall prevail.

**Section 35. <u>Authorizations</u>**. Any of the persons whose signatures and titles appear on <u>Schedule 2</u> are authorized, acting singly, to act for Sellers or Buyer under this Agreement.

**Section 36. <u>Miscellaneous</u>**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Amendments</u>. Unless otherwise specified herein, this Agreement may be amended by written agreement signed by the parties hereto. For the avoidance of doubt, no oral amendments, modifications or waivers shall be enforceable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Counterparts</u>. This Agreement may be executed by each of the parties hereto on any number of separate counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument. Counterparts may be delivered electronically. Documents executed, scanned and transmitted electronically and electronic signatures shall be deemed original signatures for purposes of this Agreement and all matters related thereto, with such scanned and electronic signatures having the same legal effect as original signatures. The parties agree that this Agreement, any addendum or amendment hereto or any other document necessary for the consummation of the transaction contemplated by this Agreement may be accepted, executed or agreed to through the use of an electronic signature in accordance with Electronic Signatures In Global and National Commerce Act, Title 15, United States Code, Sections 7001 et seq., the Uniform Electronic Transaction Act, the Electronic

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Signatures and Records Act and any other applicable state law. Any document accepted, executed or agreed to in conformity with such laws will be binding on all parties hereto to the same extent as if it were physically executed and each party hereby consents to the use of any secure third party electronic signature capture service providers, as long as such service providers use system logs and audit trails that establish a temporal and process link between the presentation of identity documents and the electronic signing, together with identifying information that can be used to verify the electronic signature and its attribution to the signer's identity and evidence of the signer's agreement to conduct the transaction electronically and of the signer's execution of each electronic signature.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Captions</u>. The captions and headings appearing herein are for included solely for convenience of reference and are not intended to affect the interpretation of any provision of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Acknowledgment</u>. Each Seller hereby acknowledges, represents and agrees that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) it has been advised by counsel in the negotiation, execution and delivery of this Agreement and the other Facility Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Buyer has no fiduciary relationship to any Seller Party in connection with the Facility Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) no joint venture exists between Buyer and any Seller Party as a result of the Facility Documents; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) it has made its own independent decisions to enter into the Facility Documents and each Transaction and as to whether such Transaction is appropriate and proper for it based upon its own judgment and upon advice from such advisors (including without limitation, legal counsel and accountants) as it has deemed necessary and no Seller is relying upon any advice from Buyer as to any aspect of the Transactions, including without limitation, the legal, accounting or tax treatment of such Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Documents Mutually Drafted</u>. Sellers and Buyer agree that this Agreement and each other Facility Document prepared in connection with the Transactions set forth herein have been mutually drafted and negotiated by each party, and consequently such documents shall not be construed against either party as the drafter thereof.

**Section 37. <u>General Interpretive Principles</u>**. For purposes of this Agreement, except as otherwise expressly provided or unless the context otherwise requires:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the terms defined in this Agreement have the meanings assigned to them in this Agreement and include the plural as well as the singular, and the use of any gender herein shall be deemed to include the other gender;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) accounting terms not otherwise defined herein have the meanings assigned to them in accordance with GAAP;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) references herein to "Articles", "Sections", "Subsections", "Paragraphs", and other subdivisions without reference to a document are to designated Articles, Sections, Subsections, Paragraphs and other subdivisions of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a reference to a Subsection without further reference to a Section is a reference to such Subsection as contained in the same Section in which the reference appears, and this rule shall also apply to Paragraphs and other subdivisions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) the words "herein", "hereof", "hereunder" and other words of similar import refer to this Agreement as a whole and not to any particular provision;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) the term "include" or "including" shall mean without limitation by reason of enumeration;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) all times specified herein or in any other Facility Document (unless expressly specified otherwise) are local times in New York, New York unless otherwise stated;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) all references herein or in any Facility Document to "good faith" shall mean good faith as defined in Section 5-102(7) of the UCC as in effect in the State of New York; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) all references to <u>Schedule 1</u> hereto shall include all sub-schedules thereof.

[SIGNATURE PAGES FOLLOW]

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IN WITNESS WHEREOF, the parties have entered into this Agreement as of the date set forth above.

---

| | |
|:---|:---|
| <u>BUYER:</u> | <u>BUYER:</u> |
| **NOMURA CORPORATE FUNDING AMERICAS, LLC** | **NOMURA CORPORATE FUNDING AMERICAS, LLC** |
| By: | /s/ Francis X. Gilhool |
|  | Name: |
|  | Title: |
| <u>Address for Notices:</u> | <u>Address for Notices:</u> |
| Nomura Corporate Funding Americas, LLC | Nomura Corporate Funding Americas, LLC |
| Worldwide Plaza | Worldwide Plaza |
| 309 West 49th Street | 309 West 49th Street |
| New York, New York 10019-7316 | New York, New York 10019-7316 |
| Tel: | [\*\*\*] |
| Fax: | [\*\*\*] |
| Attn: | Operations |
| Email: [\*\*\*] | Email: [\*\*\*] |
| With copies to: | With copies to: |
| Nomura Corporate Funding Americas, LLC | Nomura Corporate Funding Americas, LLC |
| Worldwide Plaza | Worldwide Plaza |
| 309 West 49th Street | 309 West 49th Street |
| New York, New York 10019-7316 | New York, New York 10019-7316 |
| Tel: [\*\*\*], [\*\*\*] | Tel: [\*\*\*], [\*\*\*] |
| Attn: Francis X. Gilhool, Michael Rogozinski | Attn: Francis X. Gilhool, Michael Rogozinski |
| Email: [\*\*\*], [\*\*\*] | Email: [\*\*\*], [\*\*\*] |
| and | and |
| Dechert LLP | Dechert LLP |
| Cira Centre | Cira Centre |
| 2929 Arch Street | 2929 Arch Street |
| Philadelphia, Pennsylvania 19104 | Philadelphia, Pennsylvania 19104 |
| Attention: Gennady A. Gorel | Attention: Gennady A. Gorel |
| Telephone: [\*\*\*] | Telephone: [\*\*\*] |
| Email: [\*\*\*] | Email: [\*\*\*] |

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[Nomura/Blackrock-Monticello – Master Repurchase Agreement]

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| | | |
|:---|:---|:---|
| <u>SELLER:</u> | <u>SELLER:</u> | <u>SELLER:</u> |
| **BLKM V, LLC** | **BLKM V, LLC** | **BLKM V, LLC** |
| By: | /s/ Marc Fox | /s/ Marc Fox |
|  | Name: | Marc Fox |
|  | Title: | Treasurer |
| Address for Notices: | Address for Notices: | Address for Notices: |
| BLKM V, LLC | BLKM V, LLC | BLKM V, LLC |
| 600 Third Avenue | 600 Third Avenue | 600 Third Avenue |
| 21st Floor | 21st Floor | 21st Floor |
| New York, New York 10016 | New York, New York 10016 | New York, New York 10016 |
| Attention: Marc Fox | Attention: Marc Fox | Attention: Marc Fox |
| Telephone No: [\*\*\*] | Telephone No: [\*\*\*] | Telephone No: [\*\*\*] |
| Email: [\*\*\*] | Email: [\*\*\*] | Email: [\*\*\*] |
| With a copy to: | With a copy to: | With a copy to: |
| Polsinelli | Polsinelli | Polsinelli |
| 1201 W Peachtree St NW, Ste. 1100 | 1201 W Peachtree St NW, Ste. 1100 | 1201 W Peachtree St NW, Ste. 1100 |
| Atlanta, Georgia 30309 | Atlanta, Georgia 30309 | Atlanta, Georgia 30309 |
| Attn: Joshua F. Reif | Attn: Joshua F. Reif | Attn: Joshua F. Reif |
| Telephone: [\*\*\*] | Telephone: [\*\*\*] | Telephone: [\*\*\*] |
| Email: [\*\*\*] | Email: [\*\*\*] | Email: [\*\*\*] |

---

[Nomura/Blackrock-Monticello – Master Repurchase Agreement]

## Exhibit 10.3

**Exhibit 10.3** 

**CERTAIN INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(B)(10) OF REGULATION S-K, BECAUSE IT IS BOTH NOT MATERIAL AND THE TYPE THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL. IN ADDITION, CERTAIN PERSONALLY IDENTIFIABLE INFORMATION HAS BEEN OMITTED FROM THIS EXHIBIT PURSUANT TO ITEM 601(A)(6) OF REGULATION S-K. [\*\*\*] INDICATES THAT INFORMATION HAS BEEN REDACTED.** 

**EXECUTION VERSION** 

**GUARANTY** 

**GUARANTY**, dated as of June 4, 2026 (as amended, restated, supplemented, or otherwise modified from time to time, this "<u>Guaranty</u>"), made by BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST, a Maryland statutory trust ("<u>Guarantor</u>"), in favor of NOMURA CORPORATE FUNDING AMERICAS, LLC (including its successors and assigns, "<u>Buyer</u>").

**RECITALS** 

Pursuant to the Master Repurchase Agreement, dated as of June 4, 2026 (as amended, restated supplemented or otherwise modified from time to time, the "<u>Repurchase Agreement</u>"), among BLKM V, LLC, as a seller ("<u>Initial Seller</u>"), the Additional Sellers joined thereto from time to time (together with the Initial Seller, each, a "<u>Seller</u>" and collectively, the "<u>Sellers</u>") and Buyer, Buyer may agree, from time to time to enter into Transactions with Sellers, upon the terms and subject to the conditions set forth therein. It is a condition precedent to Buyer entering into Transactions with Sellers under the Repurchase Agreement that Guarantor shall have executed and delivered this Guaranty to Buyer.

NOW, THEREFORE, in consideration of the premises and to induce Buyer to enter into the Repurchase Agreement and engage in Transactions with Sellers, and for other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged, Guarantor hereby agrees to execute and deliver this Guaranty to Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>Defined Terms</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Unless otherwise defined herein, terms defined in the Repurchase Agreement and used herein (including the Recitals) shall have the meanings given to them in the Repurchase Agreement and the Pricing Side Letter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) For purposes of this Guaranty, the following terms shall have the following meanings:

"<u>Full Recourse Trigger Event</u>" shall mean the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) an Insolvency Event occurs with respect to any Seller Party;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) any Seller Party has breached Section 14(x) (Special Purpose Entity) of the Repurchase Agreement, which breach results in a substantive consolidation of any Seller with any other entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the removal or disposal of any portion of the Purchased Assets by any Seller Party after an Event of Default; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) a Change in Control shall have occurred without the prior written consent of Buyer.

"<u>Guarantor Obligations</u>" shall mean collectively (but without duplication) (a) the Trigger Obligations, (b) the amounts due and payable by Guarantor pursuant to <u>Sections 2(b)</u> and <u>2(d)</u> hereof, and (c) other than as set forth in clause (b) of this definition, full payment and performance of all Obligations under the Repurchase Agreement, <u>provided</u> that Guarantor's total liability under this <u>clause (c)</u> shall not exceed the product of (i) twenty-five percent (25%) and (ii) the Obligations.

"<u>Loss Recourse Trigger Event</u>" shall mean the occurrence of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) any material fraud, intentional misrepresentation of a material fact or intentional omission of a material fact on the part of any Seller Party or any of their respective Affiliates in connection with any of the Facility Documents or the Obligations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the gross negligence, illegal acts or willful misconduct by or on behalf of any Seller Party or any of their respective Affiliates in connection with any of the Facility Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) any misappropriation, misapplication or conversion by any Seller Party or any of their respective officers, employees or affiliates, of any Income received with respect to the Purchased Assets or any escrows, reserves or other amounts maintained in respect of any Purchased Asset, in each case, in violation of the Facility Documents;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) any seizure or forfeiture of any Purchased Asset or portion thereof, or any Seller's interest therein, as a result of any criminal wrongdoing on the part of any Seller Party or any of their respective officers, employees or Affiliates;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) any claim made or any litigation or other legal proceeding filed by any Seller Party or any of their respective officers, employees or Affiliates (other than defenses and counterclaims raised in good faith and which no Seller Party has affirmatively waived pursuant to the Facility Documents) which (i) alleges that, after Buyer has exercised its remedies under the Facility Documents, Buyer is not the record and beneficial owner of, and did not acquire good and marketable title to, each Purchased Asset in accordance with the Facility Documents, or (ii) is intended to delay, oppose, impede, obstruct, hinder, enjoin or otherwise interfere with or frustrate the efforts of Buyer to exercise any rights and remedies available to Buyer as provided in the Facility Documents;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) any Seller Party has breached Section 14(x) (Special Purpose Entity) of the Repurchase Agreement, which breach does not result in a substantive consolidation of any Seller with any other entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) any Future Advance Failure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) any material breach of any representations and warranties in any of the Facility Documents by any Seller Party or any Affiliate thereof relating to environmental laws, any action or omission by any Seller Party or any Affiliate thereof resulting in the violation of environmental laws or any material breach of any indemnity for costs incurred in connection with the violation of any environmental law, the correction of any environmental condition, or the removal of any hazardous, toxic or harmful substances, materials, wastes, pollutants or contaminants defined as such in or regulated under any environmental law, in each case in any way affecting the properties of any Seller or any Subsidiary thereof, or any of the Purchased Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) any breach by (i) any Seller of Sections 13(y) (Regulatory Compliance) or 13(z) (Sanctions Compliance) of the Repurchase Agreement, (ii) any Affiliated Transferor of Section 7(l) (Compliance with Law) and 7(q) (Regulatory Compliance) of the related Affiliated Transferor Pledge Agreement, (iii) Equity Pledgor of Sections 6(l) (Compliance with Law) and 6(q) (Regulatory Compliance) of the Equity Pledge Agreement, or (iv) Guarantor of Sections 10(o) (Regulatory Compliance) or 10(r) (Sanctions Compliance) of this Guaranty;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) any recharacterization by any court of any prior transfer of a Purchased Asset to any Seller by any Affiliate of any Seller or Guarantor as something other than a true sale or true contribution;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) any failure of any statement in the Recycled SPE Certificate to be true and correct; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) any failure of any Servicer that is an Affiliate of any Seller Party to turn over or otherwise transfer to Buyer or its designee any escrows, reserves or any other amounts held by it under or with respect to the Purchased Assets that are maintained by it upon Buyer's exercise of remedies under any Facility Document.

"<u>REIT</u>" shall mean an entity that has elected to be a "real estate investment trust" for federal income tax purposes pursuant to Sections 856, et seq. of the Internal Revenue Code.

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"<u>Trigger Obligations</u>" shall mean, (i) to the extent a Full Recourse Trigger Event shall have occurred, the Obligations under the Repurchase Agreement, and (ii) to the extent a Loss Recourse Trigger Event shall have occurred under the definition thereof, any actual and documented out-of-pocket losses, damages (excluding in all cases, however, punitive damages, consequential damages, indicative damages, special damages, in each case, except to the extent owed to any third parties, or damages in the nature of "lost profits" or "lost opportunities"), costs, liabilities, claims, expenses or other obligations actually incurred by Buyer (including, without limitation, fees and expenses of counsel) arising out of such event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The words "hereof," "herein" and "hereunder" and words of similar import when used in this Guaranty shall refer to this Guaranty as a whole and not to any particular provision of this Guaranty, and section and paragraph references are to sections and paragraphs of this Guaranty unless otherwise specified.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) The meanings given to terms defined herein shall be equally applicable to both the singular and plural forms of such terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>Guaranty</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Guarantor hereby, unconditionally and irrevocably, guarantees to Buyer and its successors, indorsees, transferees and assigns, the prompt and complete payment and performance of the Guarantor Obligations when due (whether at stated maturity, by acceleration or otherwise).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor further agrees to pay any and all actual and documented out-of-pocket expenses (including, without limitation, all fees and disbursements of outside counsel) which may be paid or incurred by Buyer in enforcing, or obtaining the advice of counsel in respect of, any rights with respect to, or collecting any or all of the Guarantor Obligations and/or enforcing any rights with respect to, or collecting against, Guarantor under this Guaranty. This Guaranty shall remain in full force and effect until the latest to occur of (i) the termination of the Repurchase Agreement and this Guaranty and the payment in full of the Obligations and (ii) the payment in full of the Guarantor Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Other than payments made by or otherwise received or collected from Guarantor in respect of the Guarantor Obligations, no payment or payments made by any Seller, Guarantor, or any other Person or received or collected by Buyer from any Seller, Guarantor or any other Person by virtue of any action or proceeding or any set-off or appropriation or application at any time or from time to time in reduction of or in payment of the Guarantor Obligations shall be deemed to modify, reduce, release or otherwise affect the liability of Guarantor hereunder which shall, notwithstanding any such payment or payments, remain liable for Guarantor Obligations until the Obligations are paid in full and the Repurchase Agreement is terminated subject to the provisions of <u>Section</u> <u>7</u> hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Guarantor, without duplication for amounts paid by Sellers, shall pay additional amounts to, and indemnify, Buyer (including for purposes of this <u>Section</u> <u>2</u>, any assignee, successor or participant) with respect to Taxes (as defined in the Repurchase Agreement) imposed on payments pursuant to this Guaranty to the same extent as Sellers would have paid additional amounts and indemnified Buyer with respect to Taxes under Section 8 of the Repurchase Agreement if Guarantor were a Seller under the Repurchase Agreement. For the avoidance of doubt, any such payments are in addition to Guarantor's obligation to pay any amounts otherwise required to be paid by Sellers to Buyer.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Guarantor agrees that whenever, at any time, or from time to time, Guarantor shall make any payment to Buyer on account of Guarantor's liability hereunder, Guarantor will notify Buyer in writing that such payment is made under this Guaranty for such purpose.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>Right of Set</u><u>-off</u>. Guarantor hereby irrevocably authorizes Buyer at any time and from time to time without notice to Guarantor, any such notice being expressly waived by Guarantor, to set-off and appropriate and apply any and all monies and other property of Guarantor, deposits (general or special, time or demand, provisional or final), in any currency, and any other credits, indebtedness or claims, in any currency, in each case whether direct or indirect, absolute or contingent, matured or unmatured, at any time held or owing by Buyer or any Affiliate thereof to or for the credit or the account of Guarantor or any part thereof in such amounts as Buyer may elect against and on account of the Guarantor Obligations, Obligations under the Repurchase Agreement and liabilities of Guarantor to Buyer hereunder, and claims of every nature and description of Buyer against Guarantor, in any currency, whether arising hereunder, under the Repurchase Agreement, or otherwise, as Buyer may elect, whether or not Buyer has made any demand for payment and although such Guarantor Obligations, such Obligations under the Repurchase Agreement and liabilities and claims may be contingent or unmatured. Buyer shall notify Guarantor promptly of any such set-off and the application made by Buyer, <u>provided</u> that the failure to give such notice shall not affect the validity of such set-off and application. The rights of Buyer under this <u>Section</u> <u>3</u> are in addition to other rights and remedies (including, without limitation, other rights of set-off) which Buyer may have.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>No Subrogation</u>. Notwithstanding any payment or payments made by Guarantor hereunder or any set-off or application of funds of Guarantor by Buyer, Guarantor shall not be entitled to be subrogated to any of the rights of Buyer against any Seller or any other Person or any collateral security or guarantee or right of offset held by Buyer for the payment of the Guarantor Obligations, nor shall Guarantor seek or be entitled to seek any contribution or reimbursement from any Seller or any other Person in respect of payments made by Guarantor hereunder, until all amounts owing to Buyer on account of the Guarantor Obligations are paid in full and the Repurchase Agreement is terminated. Guarantor hereby subordinates all of its subrogation rights against any Seller to the full payment of the Obligations due Buyer under the Repurchase Agreement for a period of ninety-one (91) days following the final payment of the last of all of the Obligations under the Facility Documents. If any amount shall be paid to Guarantor on account of such subrogation rights at any time when all of the Guarantor Obligations shall not have been paid in full, such amount shall be held by Guarantor in trust for Buyer, segregated from other funds of Guarantor, and shall, forthwith upon receipt by Guarantor, be turned over to Buyer in the exact form received by Guarantor (duly indorsed by Guarantor to Buyer, if required), to be applied against Guarantor Obligations, whether matured or unmatured, in such order as Buyer may determine.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>Amendments, Etc. with Respect to Guarantor Obligations; Waiver of Rights</u>. Guarantor shall remain obligated hereunder notwithstanding that, without any reservation of rights against Guarantor and without notice to or further assent by Guarantor, any demand for payment of any of the Guarantor Obligations made by Buyer may be rescinded by Buyer and any of the Guarantor Obligations continued, and Guarantor Obligations or the liability of any other party upon or for any part thereof, or any collateral security or guarantee therefor or right of offset with respect thereto, may, from time to time, in whole or in part, be renewed, extended, amended, modified, accelerated, compromised, waived, surrendered or released by Buyer, and the Repurchase Agreement, and the other Facility Documents and any other documents executed and delivered in connection therewith may be amended, modified, supplemented or terminated, in whole or in part, as Buyer may deem advisable from time to time, and any collateral security, guarantee or right of offset at any time held by Buyer for the payment of the Guarantor Obligations may be sold, exchanged, waived, surrendered or released. Buyer shall not have any obligation to protect, secure, perfect or insure any lien at any time held by it as security for Guarantor Obligations or for this Guaranty or any property subject thereto. When making any demand hereunder against Guarantor, Buyer may, but shall be under no obligation to, make a similar demand on Sellers or any other Person, and any failure by Buyer to make any such demand or to collect any payments from Sellers or any such other Person or any release of Sellers or such other Person shall not relieve Guarantor of its obligations or liabilities hereunder, and shall not impair or affect the rights and remedies, express or implied, or as a matter of law, of Buyer against Guarantor. For the purposes hereof "demand" shall include the commencement and continuance of any legal proceedings.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>Guarantee Absolute and Unconditional</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Guarantor waives any and all notice of the creation, renewal, extension or accrual of any of the Guarantor Obligations and notice of or proof of reliance by Buyer upon this Guaranty or acceptance of this Guaranty, Guarantor Obligations, and any of them, shall conclusively be deemed to have been created, contracted or incurred, or renewed, extended, amended or waived, in reliance upon this Guaranty; and all dealings between any Seller and Guarantor, on the one hand, and Buyer, on the other hand, likewise shall be conclusively presumed to have been had or consummated in reliance upon this Guaranty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Guarantor hereby expressly waives all set-offs and counterclaims and all diligence, presentments, demands for payment, demands for performance, notices of nonperformance, protests, notices of protest, notices of dishonor, notices of acceptance of this Guaranty, notices of sale, notice of default or nonpayment to or upon any Seller or Guarantor, surrender or other handling or disposition of assets subject to the Repurchase Agreement, any requirement that Buyer exhaust any right, power or remedy or take any action against any Seller or against any assets subject to the Repurchase Agreement, and other formalities of any kind.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Guarantor understands and agrees that this Guaranty shall be construed as a continuing, absolute and unconditional guarantee of payment and performance of the Guarantor Obligations (and not of their collectability only), and is in no way conditioned upon any requirement that Buyer first attempt to collect or seek performance of any of the Guarantor Obligations from any Seller, without regard to (i) the validity, regularity or enforceability of the Repurchase Agreement, any of the Obligations or any other collateral security therefor or guarantee or right of offset with respect thereto at any time or from time to time held by Buyer, (ii) any defense, set-off or counterclaim (other than a defense

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of payment or performance) which may at any time be available to or be asserted by any Seller against Buyer, or (iii) any other circumstance whatsoever (with or without notice to or knowledge of any Seller or Guarantor) which constitutes, or might be construed to constitute, an equitable or legal discharge of any Seller from the Obligations, or of Guarantor from this Guaranty, in bankruptcy or in any other instance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) When pursuing its rights and remedies hereunder against Guarantor, Buyer may, but shall be under no obligation to, pursue such rights and remedies as it may have against any Seller or any other Person or against any collateral security or guarantee for the Obligations or any right of offset with respect thereto, and any failure by Buyer to pursue such other rights or remedies or to collect any payments from any Seller or any such other Person or to realize upon any such collateral security or guarantee or to exercise any such right of offset, or any release of any Seller or any such other Person or any such collateral security, guarantee or right of offset, shall not relieve Guarantor of any liability hereunder, and shall not impair or affect the rights and remedies, whether express, implied or available as a matter of law, of Buyer against Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) This Guaranty shall remain in full force and effect and be binding in accordance with and to the extent of its terms upon Guarantor and the successors and assigns thereof, and shall inure to the benefit of Buyer, and its successors, indorsees, transferees and assigns, until all the Obligations and Guarantor Obligations shall have been satisfied by payment in full and the Repurchase Agreement shall be terminated, notwithstanding that from time to time prior thereto any Seller may be free from any Obligations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Guarantor waives, to the fullest extent permitted by applicable law, all defenses of surety to which it may be entitled by statute or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>Reinstatement</u>. The obligations of Guarantor under this Guaranty, and this Guaranty, shall continue to be effective, or be reinstated, as the case may be, and be continued in full force and effect, if at any time any payment, or any part thereof, of any of the Obligations is rescinded, invalidated, declared fraudulent or preferentially set aside or must otherwise be restored, returned or repaid by Buyer upon the insolvency, bankruptcy, dissolution, winding-up, liquidation or reorganization of a Seller or Guarantor, or upon or as a result of the appointment of a receiver, intervenor or conservator of, or trustee or similar officer for, a Seller or Guarantor or any substantial part of its or their property, or for any other reason, all as though such payments had not been made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>Payments</u>. Guarantor hereby agrees that payments hereunder will be paid to Buyer without set-off or counterclaim in U.S. Dollars.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>Guarantor Obligations Enforceable</u>. Guarantor agrees that, as between Guarantor and Buyer, Guarantor Obligations may be declared to be due for purposes of this Guaranty notwithstanding any stay, injunction or other prohibition which may prevent, delay or vitiate any such declaration as against a Seller and that, in the event of any such declaration (or attempted declaration), Guarantor Obligations shall forthwith become due by Guarantor for purposes of this Guaranty.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>Representations</u>. Guarantor represents and warrants to Buyer that as of the date of this Guaranty, each Purchase Date and each other date on which these representations and warranties are remade or deemed remade in accordance with the terms of this Guaranty or any other Facility Document or certification delivered in connection herewith or therewith and at all times while the Facility Documents and any Transaction thereunder is in full force and effect:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Solvency</u>. This Guaranty is not entered into in contemplation of insolvency or with intent to hinder, delay or defraud any of Guarantor's creditors. Guarantor is not insolvent within the meaning of 11 U.S.C. Section 101(32) or any successor provision thereto. Guarantor has received reasonably equivalent value in exchange for entering into this Guaranty. Guarantor has adequate capital for the normal obligations foreseeable in a business of its size and character and in light of its contemplated business operations. Guarantor is generally able to pay, and is paying, its debts as they come due. After giving effect to this Guaranty and the contingent obligation evidenced hereby, Guarantor is, and will be, solvent, and has, and will have, assets which, fairly valued, exceed its obligations, liabilities (including contingent liabilities fairly estimated) and debts, and has, and will have, property and assets sufficient to satisfy and repay its obligations and liabilities, as and when the same become due.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Ability to Perform</u>. Guarantor has the ability to perform each and every covenant contained in this Guaranty and each other<u> </u><u>Facility Document</u> <u>to which it is a party</u> on its part to be performed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Existence</u>. Guarantor (i) is a statutory trust duly organized and validly existing under the laws of the State of Maryland, (ii) is in good standing under the laws of the State of Maryland, (iii) has all requisite statutory trust power or other power and has all governmental licenses, authorizations, consents and approvals necessary to own its assets and carry on its business as now being or as proposed to be conducted, and (iv) is qualified to do business and is in good standing in all other jurisdictions in which the nature of the business conducted by it makes such qualification necessary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>No Breach</u>. Neither (a) the execution and delivery of this Guaranty nor any other Facility Document to which Guarantor is a party nor (b) the consummation of the transactions herein or therein contemplated to be entered into by Guarantor in compliance with the terms and provisions hereof or thereof will conflict with or result in (i) a breach of the organizational documents of Guarantor, (ii) a breach of any applicable law, rule or regulation, (iii) a breach of any order, writ, injunction or decree applicable to Guarantor of any Governmental Authority, (iv) a breach of or default under any other agreement or instrument to which Guarantor or any of its Subsidiaries is a party or by which Guarantor or any of its Property is bound or to which Guarantor is subject or (v) the creation or imposition of any Lien (except for the Liens created pursuant to this Guaranty or any other Facility Document) upon any Property of Guarantor or any of its Subsidiaries pursuant to the terms of any such agreement or instrument.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Action</u>. Guarantor has all necessary limited liability or other power, authority and legal right to execute, deliver and perform its obligations under this Guaranty and each other Facility Document to which Guarantor is a party; the execution, delivery and performance by Guarantor of this Guaranty and each other Facility Document to which Guarantor is a party has been duly authorized by all necessary limited liability company action or other action on its part; and this Guaranty and each other Facility Document to which Guarantor is a party has been duly and validly executed and delivered by Guarantor for good and valuable consideration, and constitutes a legal, valid and binding obligation of Guarantor enforceable against Guarantor in accordance with its terms.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Approvals</u>. No authorizations, approvals or consents of, and no filings or registrations with, any Governmental Authority or any securities exchange are necessary for the execution, delivery or performance by Guarantor of this Guaranty or any other Facility Document to which Guarantor is a party or for the legality, validity or enforceability hereof or thereof, except for (i) such authorizations, approvals or consents as have already been obtained, and (ii) filings and recordings in respect of the Liens created pursuant to the Facility Documents, if any.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Enforceability</u>. This Guaranty and each other Facility Document to which Guarantor is a party are legal, valid and binding obligations of Guarantor and are enforceable against Guarantor in accordance with their terms except as such enforceability may be limited by (i) the effect of any applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors' rights generally and (ii) general principles of equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Material Adverse Effect</u>. Since the date of the most recent Financial Statements with respect to Guarantor delivered to Buyer, there has been no development or event nor, to Guarantor's knowledge, any prospective development or event, which has had or could be reasonably expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>Litigation</u>. <u>There</u> are no actions, suits, arbitrations, investigations (including, without limitation, any of the foregoing which are pending or threatened in writing) or other legal or arbitrable proceedings affecting Guarantor or any of its Subsidiaries or affecting any of the Property of any of them before any federal or state court or before any Governmental Authority that (i) questions or challenges the validity or enforceability of this Guaranty, any other Facility Document to which Guarantor is a party or any action to be taken in connection with the transactions contemplated hereby or thereby, (ii) makes a claim which, individually or in the aggregate with other claims, is in an amount greater than the applicable Litigation Threshold or (iii) which, individually or in the aggregate, if adversely determined, could be reasonably likely to have a Material Adverse Effect or constitute an Event of Default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Taxes</u>. Guarantor and its Subsidiaries have timely filed all tax returns that are required to be filed by them and have timely paid all Taxes, except for any timely filed extensions or any such Taxes as are being appropriately contested in good faith by appropriate proceedings diligently conducted and with respect to which adequate reserves have been provided. There are no Liens for Taxes, except for statutory Liens for Taxes not yet due and payable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>Investment Company Act</u>. Neither Guarantor nor any of its Subsidiaries is an "investment company", or a company "controlled" by an "investment company," within the meaning of the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Location of Books and Records</u>. The location where Guarantor keeps its books and records, including all computer tapes and records related to the Repurchase Assets, is its chief executive office listed on <u>Schedule 1</u> hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>True and Complete Disclosure</u>. The information, reports, financial statements, exhibits and schedules furnished in writing by or on behalf of Guarantor to Buyer in connection with the negotiation, preparation or delivery of this Guaranty and each other Facility Document to which Guarantor is a party or included herein or therein or delivered pursuant hereto or thereto, when taken as a whole, do not contain any untrue statement of material fact or omit to state any material fact necessary to make the statements herein or therein, in light of the circumstances under which they were made, not misleading. All written information furnished after the date hereof by or on behalf of Guarantor to Buyer in connection with this Guaranty and the other Facility Documents to which it is a party and the transactions contemplated hereby and thereby will be true, complete and accurate in every material respect, or (in the case of projections) based on reasonable estimates, on the date as of which such information is stated or certified. There is no fact known, development or event that is known to Guarantor, nor to the knowledge of a Responsible Officer of Guarantor, after reasonable due inquiry any prospective development or event, that could reasonably be expected to have a Material Adverse Effect that has not been disclosed herein, in the other Facility Documents or in a report, financial statement, exhibit, schedule, disclosure letter or other writing furnished to Buyer for use in connection with the transactions contemplated hereby or thereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>No Reliance</u>. Guarantor has made its own independent decisions to enter into this Guaranty and each Facility Document to which it is a party and as to whether it is appropriate and proper for it based upon its own judgment and upon advice from such advisors (including without limitation, legal counsel and accountants) as it has deemed necessary. Guarantor is not relying upon any advice from Buyer as to any aspect of this Guaranty, including without limitation, the legal, accounting or tax treatment thereof. Neither Buyer nor any other party on Buyer's behalf has made any representation, warranty or statement to Guarantor in order to induce Guarantor to execute this Guaranty. In addition, Guarantor is familiar with, and has independently reviewed books and records regarding, the financial condition of each Seller and is, or will be, familiar with the value of any and all Mortgage Assets intended to be subject to Transactions; however, as between Buyer and Guarantor, Guarantor is not relying on such financial condition or the value of the Mortgage Assets as an inducement to enter into this Guaranty.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Compliance with Law</u>. Guarantor has complied with, and will continue to comply with, all Applicable Laws, including, without limitation, Anti-Corruption Laws and Anti-Money Laundering Laws. Without limiting the foregoing, Guarantor maintains an anti-money laundering compliance program appropriate to its risk profile and consistent with Anti-Money Laundering Laws.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>ERISA</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) No liability under Section 4062, 4063, 4064 or 4069 of ERISA has been or is expected by Guarantor to be incurred by Guarantor or any ERISA Affiliate thereof with respect to any Plan in an amount that could reasonably be expected to create liability for Guarantor in excess of $500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) No Plan of Guarantor or any ERISA Affiliate thereof had any minimum required contribution under Section 430 of the Code or any required installment under Section 430(j) of the Code that was due but unpaid or underpaid as of the last day of the most recent fiscal year of such Plan ended prior to the date hereof, and no such Plan which is subject to Section 412 of the Code failed to meet the requirements of Section 436 of the Code as of such last day. Neither Guarantor nor any ERISA Affiliate thereof is subject to a Lien in favor of such a Plan as described in Section 430(k) of the Code or Section 303(k) of ERISA. No Plan is, or is reasonably expected to be, in "at risk" status (within the meaning of Section 430 of the Code or Section 303 of ERISA).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Each Plan of Guarantor and its Subsidiaries and each of its ERISA Affiliates is in compliance in all material respects with the applicable provisions of ERISA and the Code, except where the failure to comply would not result in any liability for Guarantor in excess of $500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) None of Guarantor, any of its Subsidiaries or any ERISA Affiliate has incurred a tax liability under Chapter 43 of the Code or a penalty under Section 502(i) of ERISA which has not been paid in full, except where the incurrence of such tax or penalty is less than $500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) None of Guarantor, any of its Subsidiaries or any ERISA Affiliate thereof has incurred or reasonably expects to incur any withdrawal liability under Section 4201 of ERISA as a result of a complete or partial withdrawal from a Multiemployer Plan in an amount that could create liability for Guarantor in excess of $500,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>Plan Assets</u>. Guarantor is not an employee benefit plan as defined in Section 3 of Title I of ERISA, or a plan described in Section 4975(e)(1) of the Code, or an entity deemed to hold "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA, or is acting on behalf of any of the foregoing. Guarantor is not subject to any state or local statute regulating investments of, or fiduciary obligations with respect to governmental plans within the meaning of Section 3(32) of ERISA, and none of the assets of Guarantor are "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Sanctions Compliance</u>. Neither Guarantor nor any of its Affiliates, directors, officers or, to the extent applicable, employees or agents is a Sanctioned Person. Guarantor does not, and will not, directly or indirectly, conduct business with, or engage in any dealings or transactions involving, any Sanctioned Person or any Sanctioned Jurisdiction, or otherwise in violation of Sanctions, and Guarantor will not use any proceeds of the transactions contemplated by the Facility Documents, directly or indirectly, to fund or facilitate any activities or business of or with any Sanctioned Person or in any Sanctioned Jurisdiction or in any other manner that would result in a violation by any Person (including Buyer) of Sanctions. For the avoidance of doubt, an entity owned 50 percent or more, directly or indirectly and in the aggregate, by one or more Sanctioned Persons shall itself be treated as a Sanctioned Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>No Outstanding Judgments</u>. Except as disclosed in writing to Buyer, there are no judgments against Guarantor unsatisfied of record or docketed in any court located in the United States of America.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) [<u>Reserved</u>].

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(u) <u>Real Estate Investment Trust</u>. Guarantor is a REIT and has not engaged in any "prohibited transactions" as defined in Section 857(b)(6)(B)(iii) and (C) of the Code, that would be reasonably expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>Covenants</u>. On and as of the date of this Guaranty and each Purchase Date and on each day until this Guaranty and the Repurchase Agreement are no longer in force, Guarantor covenants as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <u>Preservation of Existence; Compliance with Law</u>. Guarantor shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) preserve and maintain its legal existence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) (A) comply with (1) the requirements of all Applicable Laws, rules, regulations and orders, whether now in effect or hereafter enacted or promulgated by any applicable Governmental Authority (including, without limitation, all environmental laws), (2) any agreements to which it is bound or its assets are subject and (3) its organizational documents, and (B) not engage in any conduct or activity that could subject its assets to forfeiture or seizure;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) preserve and maintain all rights, privileges, licenses, franchises, permits or other approvals necessary for Guarantor to conduct its business and to perform its obligations under the Facility Documents, and shall conduct its business in accordance with Applicable Laws; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) keep records and books of account, in which complete and correct entries will be made in accordance with GAAP consistently applied, and set aside on its books from its earnings for each fiscal year of Guarantor all such proper reserves in accordance with GAAP, consistently applied.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Taxes</u>. Guarantor and its Subsidiaries shall timely file all tax returns that are required to be filed by them and shall timely pay all Taxes due, except for any such Taxes as are being appropriately contested in good faith by appropriate proceedings diligently conducted and with respect to which adequate reserves have been provided.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Notice of Proceedings or Adverse Change</u>. Guarantor shall give to Buyer notice of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) as soon as practicable, but in any case, no more than two (2) Business Days after Guarantor has actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) the occurrence of any Default, Event of Default or any other event, circumstance or condition that has resulted or could reasonably be expected to result in a Material Adverse Effect;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any fact that could be the basis of any Mandatory Early Repurchase Event or Credit Event with respect to a Purchased Asset, notice identifying the related Purchased Asset with respect to which such Mandatory Early Repurchase Event or Credit Event exists and detailing the cause of such potential Mandatory Early Repurchase Event or Credit Event; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) receipt of notice or knowledge of any Lien or security interest (other than security interests created hereby or under any other Facility Document) on, or claim asserted against, any of the Repurchase Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) as soon as practicable, but in any case, no more than five (5) Business Days after Guarantor has actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) any event of default (or similar event) that is continuing under any Indebtedness or other material contractual obligations of Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any investigation, regulatory action or proceeding that is pending or threatened by or against Guarantor in any federal or state court or before any Governmental Authority; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) any litigation or proceeding that is pending or threatened against (a) such Guarantor in which the amount involved exceeds the applicable Litigation Threshold or which, if adversely determined, would reasonably be expected to have a Material Adverse Effect and (b) any litigation or proceeding that is pending or threatened in connection with any Seller or any of the Repurchase Assets;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) as soon as practicable, but in any case, no more than ten (10) Business Days after Guarantor has actual knowledge of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) an adverse change in the insurance coverage of Guarantor, with a copy of evidence of the same attached;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) any material change in the accounting policies or financial reporting practices of Guarantor; or

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) the termination or non-renewal of any debt facilities of Guarantor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) promptly, but no later than two (2) Business Days after Guarantor receives any of the same, Guarantor shall deliver to Buyer a true, complete, and correct copy of any schedule, report, notice, or any other document received by Guarantor from any Person pursuant to, or in connection with, any of the Repurchase Assets; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) promptly, but no later than two (2) Business Days after Guarantor receives notice of the same, any Purchased Asset submitted for a potential Optional Repurchase (whole loan or securitization) under a bailee letter, and which was rejected for purchase.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>Financial Statements</u>. Guarantor shall deliver to Buyer the financial statements, certificates and reports required pursuant to Section 14(d) of the Repurchase Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) <u>Visitation and Inspection Rights</u>. Guarantor shall permit Buyer to inspect, examine and to discuss with Guarantor's officers, agents and auditors, the affairs, business, finances, and accounts of Guarantor, the Repurchase Assets, and Guarantor's books and records, and to make abstracts or reproductions thereof and to duplicate, reduce to hard copy or otherwise use any and all computer or electronically stored information or data, in each case, (i) during normal business hours, (ii) upon reasonable notice (provided, that upon the occurrence of an Event of Default, no notice shall be required), and (iii) at the expense of Guarantor.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) <u>Material Change in Business</u>. Guarantor shall not make any material change in the nature of its business as carried on at the date hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) <u>Limitation on Dividends and Distributions</u>. To the extent any Guarantor Obligations have accrued and are outstanding, or if an Event of Default would result therefrom, Guarantor shall not make any payment on account of, or set apart assets for, a sinking or other analogous fund for the purchase, redemption, defeasance, retirement or other acquisition of any equity interest of Guarantor, whether now or hereafter outstanding, or make any other distribution or dividend in respect of any of the foregoing or to any shareholder or equity owner of Guarantor, either directly or indirectly, whether in cash or property or in obligations of Guarantor or any of Guarantor's consolidated Subsidiaries.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) <u>Investment Company Act</u>. Neither Guarantor nor any of its Subsidiaries shall be an "investment company", or a company "controlled" by an "investment company," within the meaning of the Investment Company Act of 1940, as amended.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) <u>True and Correct Information</u>. All information, reports, exhibits, schedules, financial statements or certificates of Guarantor or any of its Affiliates thereof or any of their officers furnished to Buyer hereunder or under any other Facility Document to which Guarantor is a party and during Buyer's diligence of Guarantor are and will be true, accurate and complete in all material respects and will not omit to disclose any material

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facts necessary to make the statements herein or therein, in light of the circumstances in which they are made, not materially misleading. All required financial statements, information and reports delivered by Guarantor to Buyer pursuant to this Guaranty or any other Facility Document shall be prepared in accordance with GAAP, or in connection with SEC filings, if any, the appropriate SEC accounting requirements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) <u>Further Assurances</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Guarantor will not allow any default for which it is responsible to occur under this Guaranty or any other Facility Document to which it is a party and Guarantor shall fully perform or cause to be performed when due all of its obligations under this Guaranty and each other Facility Document to which it is a party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If Buyer shall reasonably request, specifying the reasons for such request, reasonable information, and/or written responses to such requests, regarding the financial well-being of Guarantor (including but not limited to any information regarding any repurchase and indemnity requests or demands made upon Guarantor or its Affiliates by any third party investors), Guarantor shall provide or cause to be provided such reasonable information and/or responses within five (5) Business Days of Buyer's request.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k) <u>ERISA Events</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Promptly upon becoming aware of the occurrence of any Event of ERISA Termination which together with all other Events of ERISA Termination occurring within the prior twelve (12) months involve a payment of money by or a potential aggregate liability of Guarantor or any ERISA Affiliate thereof or any combination of such entities in excess of Five Hundred Thousand Dollars ($500,000), Guarantor shall give Buyer a written notice specifying the nature thereof, what action Guarantor or any ERISA Affiliate thereof has taken and, when known, any action taken or threatened by the Internal Revenue Service, the U.S. Department of Labor or the PBGC with respect thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Promptly upon receipt thereof, Guarantor shall furnish to Buyer copies of (i) all notices received by Guarantor or any ERISA Affiliate thereof of the PBGC's intent to terminate any Plan or to have a trustee appointed to administer any Plan; (ii) all notices received by Guarantor or any ERISA Affiliate thereof from the sponsor of a Multiemployer Plan pursuant to Section 4202 of ERISA involving a withdrawal liability in excess of Five Hundred Thousand Dollars ($500,000); and (iii) all funding waiver requests filed by Guarantor or any ERISA Affiliate thereof with the Internal Revenue Service with respect to any Plan, the accrued benefits of which exceed the present value of the plan assets as of the date the waiver request is filed by more than Five Hundred Thousand Dollars ($500,000), and all communications received by Guarantor or any ERISA Affiliate thereof from the Internal Revenue Service with respect to any such funding waiver request.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(l) <u>Financial Condition Covenants</u>. At all times, Guarantor shall comply and agrees to comply with the Financial Condition Covenants as set forth in Section 3 of the Pricing Side Letter, as the same may be amended in accordance with the terms of the Pricing Side Letter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(m) <u>Limitation on Accounting Changes</u>. Guarantor shall not make any material change in the accounting policies or financial reporting practices of Guarantor or its Subsidiaries, except to the extent such change is required by GAAP, consistently applied.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(n) <u>ERISA Matters</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Guarantor shall not permit any event or condition which is described in any of clauses (i) through (viii) of the definition of "Event of ERISA Termination" to occur or exist with respect to any Plan or Multiemployer Plan if such event or condition, together with all other events or conditions described in the definition of Event of ERISA Termination occurring within the prior twelve (12) months, involves the payment of money by or an incurrence of liability of Guarantor or any ERISA Affiliate thereof, or any combination of such entities in an amount in excess of Five Hundred Thousand Dollars ($500,000).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Guarantor shall not be an employee benefit plan as defined in Section 3 of Title I of ERISA, or a plan described in Section 4975(e)(1) of the Code or an entity deemed to hold and Guarantor shall not use "plan assets" within the meaning of 29 CFR §2510.3-101, as modified by Section 3(42) of ERISA. Neither the execution of this Guaranty by nor the consummation of any transactions hereunder with Guarantor is subject to any state or local statute regulating investments of, or fiduciary obligations with respect to governmental plans within the meaning of Section 3(32) of ERISA.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(o) <u>Consolidations, Mergers and Sales of Assets</u>. Guarantor shall not (i) consolidate or merge with or into any other Person or (ii) sell, lease or otherwise transfer all or substantially all of its assets to any other Person.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(p) <u>Anti-Money Laundering and Sanctions Laws</u>. Guarantor shall comply with all applicable Anti-Money Laundering Laws, and maintain its policies with respect thereto. Guarantor shall comply with Sanctions at all times and shall not, directly or indirectly, conduct business with, or engage in any dealings or transactions involving, any Sanctioned Person or any Sanctioned Jurisdiction, or otherwise in violation of Sanctions. Guarantor shall promptly (and in any event within one (1) Business Day) notify Buyer in writing upon any Responsible Officer of Guarantor obtaining knowledge of any breach of Sections 10(o) or 10(r), and shall describe in reasonable detail the facts and remediation steps.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(q) <u>No Change in Control</u>. Guarantor shall not, without the prior consent of Buyer, permit a Change in Control to occur.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(r) <u>Voluntary or Collusive Filing</u>. Guarantor shall not voluntarily file a case, or join or collude with any Person in the filing of an involuntary case, in respect of any Seller under the Bankruptcy Code.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(s) <u>Prohibited Transactions</u>. Guarantor shall not, at any time while a default in the payment of the Guarantor Obligations has occurred and is continuing, either (i) enter into or effectuate any transaction with any Affiliate that would reduce the Net Worth of such Guarantor (including the payment of any dividend or distribution to a shareholder, or the redemption, retirement, purchase or other acquisition for consideration of any stock or other ownership interest in Guarantor) or (ii) sell, pledge, mortgage or otherwise transfer to any Person any of Guarantor's assets, or any interest therein without adequate consideration therefore. As used herein, "<u>Net Worth</u>" means, with respect to Guarantor and its consolidated Subsidiaries, an amount equal to, on a consolidated basis, Guarantor's stockholder equity (determined in accordance with GAAP).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(t) <u>Real Estate Investment Trust</u>. Guarantor will remain a REIT and will not engage in any "prohibited transactions" as defined in Section 857(b)(6)(B)(iii) and (C) of the Code that would be reasonably expected to have a Material Adverse Effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>Waiver of Rights</u>. Guarantor hereby waives: (i) notice of or proof of reliance by Buyer upon this Guaranty or acceptance of this Guaranty and the Obligations shall conclusively be deemed to have been created, contracted or incurred, or renewed, extended, amended or waived, in reliance upon this Guaranty, and all dealings between Sellers and Guarantor, on the one hand, and Buyer, on the other hand, likewise shall be conclusively presumed to have been had or consummated in reliance upon this Guaranty; (ii) diligence, presentment, protest, all demands whatsoever, and notice of default or nonpayment with respect to Guarantor Obligations; (iii) the filing of claims with any court in case of the insolvency, reorganization or bankruptcy of any Seller; and (iv) any fact, event or circumstance that might otherwise constitute a legal or equitable defense to or discharge of Guarantor, including (but without typifying or limiting this waiver), failure by Buyer to perfect a security interest in any collateral securing payment and performance of the Guarantor Obligations or to realize the value of any collateral or other assets which may be available to satisfy Guarantor Obligations and any delay by Buyer in exercising any of its rights hereunder or against any Seller.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>Notices</u>. All notices, requests and other communications provided for herein (including without limitation any modifications of, or waivers, requests or consents under, this Guaranty) shall be given or made in writing (including without limitation by electronic transmission) delivered to the intended recipient at the "Address for Notices" specified below its name on the signature pages of the Repurchase Agreement, or, with respect to Guarantor, at the "Address for Notices" specified below its name on the signature page hereof; or, as to any party, at such other address as shall be designated by such party in a written notice to each other party. All such communications shall be deemed to have been duly given when transmitted electronically or personally delivered or, in the case of a mailed notice, upon receipt, in each case given or addressed as aforesaid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>Severability</u>. Any provision of this Guaranty which is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions hereof, and any such prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. <u>Integration</u>. This Guaranty represents the agreement of Guarantor with respect to the subject matter hereof and thereof and there are no promises or representations by Buyer relative to the subject matter hereof or thereof not reflected herein or therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. <u>Amendments in Writing; No Waiver; Cumulative Remedies</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) None of the terms or provisions of this Guaranty may be waived, amended, supplemented or otherwise modified except by a written instrument executed by Guarantor and Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Buyer shall not by any act (except by a written instrument pursuant to clause (a) above), delay, indulgence, omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any event giving rise to Guarantor's obligations under Guarantor Obligations or in any breach of any of the terms and conditions hereof. No failure to exercise, nor any delay in exercising, on the part of Buyer, any right, power or privilege hereunder shall operate as a waiver thereof. No single or partial exercise of any right, power or privilege hereunder shall preclude any other or further exercise thereof or the exercise of any other right, power or privilege. A waiver by Buyer of any right or remedy hereunder on any one occasion shall not be construed as a bar to any right or remedy which Buyer would otherwise have on any future occasion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The rights and remedies herein provided are cumulative, may be exercised singly or concurrently and are not exclusive of any other rights or remedies provided by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. <u>Section Headings</u>. The section headings used in this Guaranty are for convenience of reference only and are not to affect the construction hereof or be taken into consideration in the interpretation hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. <u>Successors and Assigns</u>. This Guaranty shall be binding upon the successors and assigns of Guarantor and shall inure to the benefit of Buyer and its successors and assigns. This Guaranty may not be assigned by Guarantor without the express written consent of Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. <u>Agents</u>. Buyer may employ agents and attorneys-in-fact in connection herewith and shall not be responsible for their actions except for the gross negligence or willful misconduct of any such agents or attorneys-in-fact selected by it in good faith.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. <u>Governing Law</u>. THIS GUARANTY SHALL BE GOVERNED BY AND ENFORCED IN ACCORDANCE WITH, THE INTERNAL LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO THE CONFLICT OF LAW PRINCIPLES THEREOF, OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS LAW, WHICH SHALL GOVERN.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. **<u>SUBMISSION TO JURISDICTION; WAIVERS</u>. GUARANTOR HEREBY IRREVOCABLY AND UNCONDITIONALLY:**

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) **SUBMITS FOR ITSELF AND ITS PROPERTY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS GUARANTY AND THE OTHER FACILITY DOCUMENTS, OR FOR RECOGNITION AND ENFORCEMENT OF ANY JUDGMENT IN RESPECT THEREOF, TO THE EXCLUSIVE GENERAL JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK, THE FEDERAL COURTS OF THE UNITED STATES OF AMERICA FOR THE SOUTHERN DISTRICT OF NEW YORK, AND APPELLATE COURTS FROM ANY THEREOF;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) **CONSENTS THAT ANY SUCH ACTION OR PROCEEDING MAY BE BROUGHT IN SUCH COURTS AND, TO THE EXTENT PERMITTED BY LAW, WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH ACTION OR PROCEEDING IN ANY SUCH COURT OR THAT SUCH ACTION OR PROCEEDING WAS BROUGHT IN AN INCONVENIENT COURT AND AGREES NOT TO PLEAD OR CLAIM THE SAME;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) **AGREES THAT SERVICE OF PROCESS IN ANY SUCH ACTION OR PROCEEDING MAY BE EFFECTED BY MAILING OR DELIVERING A COPY THEREOF BY REGISTERED OR CERTIFIED MAIL (OR ANY SUBSTANTIALLY SIMILAR FORM OF MAIL OR DELIVERY), POSTAGE PREPAID, TO ITS ADDRESS SET FORTH UNDER ITS SIGNATURE BELOW OR AT SUCH OTHER ADDRESS OF WHICH BUYER SHALL HAVE BEEN NOTIFIED; AND**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) **AGREES THAT NOTHING HEREIN SHALL AFFECT THE RIGHT TO EFFECT SERVICE OF PROCESS IN ANY OTHER MANNER PERMITTED BY LAW OR SHALL LIMIT THE RIGHT TO SUE IN ANY OTHER JURISDICTION.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. **<u>WAIVER OF JURY TRIAL</u>. EACH OF GUARANTOR AND BUYER HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS GUARANTY, ANY OTHER FACILITY DOCUMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. <u>Intent</u>. The parties intend and agree that (i) this Guaranty, as it relates to the Repurchase Agreement, is a security agreement and credit enhancement related to a "repurchase agreement", a "securities contract" and a "master netting agreement" and as such, is also a "repurchase agreement", a "securities contract" and a "master netting agreement" and (ii) each of Buyer's rights—specifically, the termination, liquidation or acceleration or offset of net termination values, payment amounts or other transfer obligations—arising under or in connection with this Guaranty, is, in each case, a contractual right as such term is used in Sections 741(7)(A), 101(47), 555, 559, 362(b)(6) and 362(b)(7) of the Bankruptcy Code when relating to a "repurchase agreement" and "securities contract" and Sections 101(38A)(A), 561 and 362(b)(27) of the Bankruptcy Code when relating to "a master netting agreement." The parties further agree not to

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challenge, and hereby waives to the fullest extent available under applicable law their rights to challenge, the characterization of this Guaranty, the Repurchase Agreement or any Transaction under the Repurchase Agreement as a "master netting agreement," "repurchase agreement" and/or "securities contract" within the meaning of the Bankruptcy Code.

[SIGNATURE PAGE FOLLOWS]

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IN WITNESS WHEREOF, the undersigned has caused this Guaranty to be duly executed and delivered by its duly authorized officer as of the date first above written.

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| | |
|:---|:---|
| BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST**,** as Guarantor | BLACKROCK MONTICELLO DEBT REAL ESTATE INVESTMENT TRUST**,** as Guarantor |
| By: | /s/ Marc Fox |
|  | Name: Marc Fox |
|  | Title: Treasurer |

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<u>Address for Notices</u>:

BlackRock Monticello Debt Real Estate Investment Trust

50 Hudson Yards

New York, NY 10001

Attention: James Rehlaender III

Email: [\*\*\*]

<u>With a copy to</u>:

MONTICELLOAM LLC

600 Third Avenue

21st Floor

New York, NY 10016

Attention: Marc Fox

Telephone: [\*\*\*]

Email: [\*\*\*]

<u>And to</u>:

Polsinelli

1201 W Peachtree St NW, Ste. 1100

Atlanta, Georgia 30309

Attention: Joshua F. Reif

Telephone: [\*\*\*]

Email: [\*\*\*]

[Nomura/Blackrock-Monticello – Guaranty]