TABLE OF CONTENTS
Exhibit 10.9
THIS DOCUMENT
PREPARED BY AND UPON
RECORDING, RETURN TO:
Alan J. Robin, Esq.
Shartsis Friese LLP
One Maritime Plaza, 18th Floor
San Francisco, CA 94111
MORTGAGE, SECURITY AGREEMENT AND
FIXTURE FILING
BY
SHC Columbus Drive, LLC
a Delaware limited liability company,
as Borrower
and
DTRS Columbus Drive, LLC, a Delaware limited liability,
Operating Lessee
TO
METROPOLITAN LIFE INSURANCE COMPANY,
a New York corporation,
as Lender
May 5, 2010
TABLE OF CONTENTS
TABLE OF CONTENTS
Page ARTICLE I
GRANT OF SECURITY
4
Section 1.1
REAL PROPERTY GRANT
4
Section 1.2
PERSONAL PROPERTY GRANT
6
Section 1.3
CONDITIONS TO GRANT
7 ARTICLE II
BORROWER COVENANTS
8
Section 2.1
DUE AUTHORIZATION, EXECUTION, AND DELIVERY
8
Section 2.2
PERFORMANCE BY BORROWER; HOTEL LICENSES AND PERMITS
8
Section 2.3
WARRANTY OF TITLE TO REAL PROPERTY AND FF&E
8
Section 2.4
TAXES, LIENS AND OTHER CHARGES
9
Section 2.5
ESCROW DEPOSITS
10
Section 2.6
CARE AND USE OF THE PROPERTY
11
Section 2.7
COLLATERAL SECURITY INSTRUMENTS
12
Section 2.8
MANAGEMENT AGREEMENT
12
Section 2.9
FF&E
13
Section 2.10
SUITS AND OTHER ACTS TO PROTECT THE PROPERTY
13
Section 2.11
LIENS AND ENCUMBRANCES
14
Section 2.12
DEBT SERVICE RESERVE ACCOUNT
14
Section 2.13
PROCEEDS DEPOSIT ACCOUNT
16 ARTICLE III
INSURANCE
16
Section 3.1
REQUIRED INSURANCE AND TERMS OF INSURANCE POLICIES
16
Section 3.2
ADJUSTMENT OF CLAIMS
20
Section 3.3
ASSIGNMENT TO LENDER
20 ARTICLE IV
BOOKS, RECORDS AND ACCOUNTS
21
Section 4.1
BOOKS AND RECORDS
21
Section 4.2
PROPERTY REPORTS
22
Section 4.3
ADDITIONAL MATTERS
22 ARTICLE V
LEASES AND OTHER AGREEMENTS AFFECTING
THE PROPERTY
22
Section 5.1
BORROWER'S REPRESENTATIONS AND WARRANTIES
22
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Section 5.2
REPRESENTATIONS AND COVENANTS WITH RESPECT TO THE OPERATING LEASE
23
Section 5.3
ASSIGNMENT OF LEASES
23
Section 5.4
PERFORMANCE OF OBLIGATIONS
23
Section 5.5
SUBORDINATE LEASES
24
Section 5.6
LEASING COMMISSIONS
25
Section 5.7
REPRESENTATIONS AND COVENANTS WITH RESPECT TO THE OWNER AGREEMENT.
25
ARTICLE VI
ENVIRONMENTAL HAZARDS
25
Section 6.1
REPRESENTATIONS AND WARRANTIES
25
Section 6.2
REMEDIAL WORK
26
Section 6.3
ENVIRONMENTAL SITE ASSESSMENT
26
Section 6.4
UNSECURED OBLIGATIONS
26
Section 6.5
HAZARDOUS MATERIALS
27
Section 6.6
REQUIREMENTS OF ENVIRONMENTAL LAWS
28 ARTICLE VII
CASUALTY,
CONDEMNATION AND RESTORATION
28
Section 7.1
BORROWER'S REPRESENTATIONS
28
Section 7.2
RESTORATION
28
Section 7.3
CONDEMNATION
29
Section 7.4
CASUALTY AND CONDEMNATION RESTORATION PURSUANT TO MANAGEMENT AGREEMENT
30
Section 7.5
REQUIREMENTS FOR RESTORATION
31
ARTICLE VIII
REPRESENTATIONS, WARRANTIES AND COVENANTS OF BORROWER
33
Section 8.1
ERISA
33
Section 8.2
NON-RELATIONSHIP
33
Section 8.3
NO ADVERSE CHANGE
33
Section 8.4
BORROWER'S REPRESENTATIONS AND WARRANTIES
33
Section 8.5
COVENANTS AND AGREEMENTS WITH RESPECT TO LIABLE PARTY AND STRATEGIC HOTELS &
RESORTS, INC
34
Section 8.6
FOREIGN INVESTOR
35
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Section 8.7
US PATRIOT ACT
35
ARTICLE IX
EXCULPATION AND LIABILITY
36
Section 9.1
LIABILITY OF BORROWER
36
Section 9.2
RECOURSE LOAN
38
ARTICLE X
SINGLE PURPOSE ENTITY; CHANGE IN OWNERSHIP, CONVEYANCE OF
PROPERTY;