Document:

Exhibit
10.49

DEED OF TRUST AND
SECURITY AGREEMENT AND FIXTURE FILING

Cover Sheet

	
  Dated as of July 28, 2005

  	
  Mortgage
  Loan No. 05202

  
	
   

  	
   

  
	
  Grantor:

  	
  Kingsdell L.P.

  a Delaware limited partnership

  (Hereinafter sometimes “Borrower”)

  
	
  Grantor’s Notice address:

  	
  c/o IFC, Inc.

  
	
   

  	
  212 North Kingshighway Blvd., Suite 1023

  St. Louis, Missouri 63108

  Attn:  James
  L. Smith, President

  
	
   

  	
   

  
	
  Trustee:

  	
  Michael A. Chivell, Esq.

  
	
  Trustee’s Notice Address:

  	
  Armstrong Teasdale LLP

  
	
   

  	
  One Metropolitan Square

  St. Louis, Missouri 63102-2740

  
	
   

  	
   

  
	
  Grantee:

  	
  MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY,

  a Massachusetts corporation

  (Hereinafter sometimes “Lender”)

  
	
  Grantee’s Notice Address:

  	
  c/o Babson Capital Management LLC

  Real Estate Finance Group

  1500 Main Street, Suite 2100

  Springfield, Massachusetts 01115

  Attention:    Managing
  Director

  
	
   

  	
   

  
	
  Note Amount:

  	
  $60,000,000

  
	
   

  	
   

  
	
  Maturity Date:

  	
  August 1, 2010

  
	
   

  	
   

  
	
  State:

  	
  Missouri

  
	
   

  	
   

  
	
  Premises:

  	
  See Exhibit A attached hereto beginning on page
  62

  
	
   

  	
   

  
	
  RECORDING REQUESTED BY

  AND WHEN RECORDED MAIL TO:

  	
   

  
	
  Alison M. Mitchell

  DLA Piper Rudnick Gray Cary US LLP

  203 North LaSalle Street, Suite 1900

  Chicago, Illinois 60601

  	
   

  

 

 i
 

 

TABLE OF CONTENTS

	
   

  	
   

  	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  GRANTING CLAUSES

  	
   

  	
  1

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE I.  Definition
  of Terms

  	
   

  	
  4

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE II.  Covenants,
  Warranties and Representations of Borrower

  	
   

  	
  11

  
	
  Section 2.01.

  	
   

  	
  Payment of the Indebtedness

  	
   

  	
  11

  
	
  Section 2.02.

  	
   

  	
  Title to the Mortgaged Property

  	
   

  	
  11

  
	
  Section 2.03.

  	
   

  	
  Maintenance of the Mortgaged Property

  	
   

  	
  11

  
	
  Section 2.04.

  	
   

  	
  Insurance; Restoration

  	
   

  	
  12

  
	
  Section 2.05.

  	
   

  	
  Condemnation

  	
   

  	
  17

  
	
  Section 2.06.

  	
   

  	
  Impositions

  	
   

  	
  17

  
	
  Section 2.07.

  	
   

  	
  Deposits

  	
   

  	
  18

  
	
  Section 2.08.

  	
   

  	
  Mortgage Taxes

  	
   

  	
  19

  
	
  Section 2.09.

  	
   

  	
  Organization and Authority

  	
   

  	
  19

  
	
  Section 2.10.

  	
   

  	
  Maintenance of Existence

  	
   

  	
  20

  
	
  Section 2.11.

  	
   

  	
  Payment of Liens

  	
   

  	
  20

  
	
  Section 2.12.

  	
   

  	
  Costs of Defending and Upholding the Lien

  	
   

  	
  20

  
	
  Section 2.13.

  	
   

  	
  Costs of Enforcement

  	
   

  	
  20

  
	
  Section 2.14.

  	
   

  	
  Interest on Advances and Expenses

  	
   

  	
  21

  
	
  Section 2.15.

  	
   

  	
  Indemnification

  	
   

  	
  21

  
	
  Section 2.16.

  	
   

  	
  Financial Statements; Records

  	
   

  	
  21

  
	
  Section 2.17.

  	
   

  	
  Prohibition Against Conveyances, Encumbrances and
  Borrowing

  	
   

  	
  23

  
	
  Section 2.18.

  	
   

  	
  Estoppel Certificates

  	
   

  	
  28

  
	
  Section 2.19.

  	
   

  	
  Assignment of Leases and Property Income

  	
   

  	
  28

  
	
  Section 2.20.

  	
   

  	
  Environmental Matters; Warranties; Notice; Indemnity

  	
   

  	
  31

  
	
  Section 2.21.

  	
   

  	
  Environmental Matters; Remediation

  	
   

  	
  33

  
	
  Section 2.22.

  	
   

  	
  Environmental Matters; Inspection

  	
   

  	
  34

  
	
  Section 2.23.

  	
   

  	
  Management

  	
   

  	
  35

  
	
  Section 2.24.

  	
   

  	
  ERISA

  	
   

  	
  35

  
	
  Section 2.25.

  	
   

  	
  Terrorism and Anti-Money Laundering

  	
   

  	
  36

  
	
  Section 2.26.

  	
   

  	
  Special Purpose Entity Requirements

  	
   

  	
  36

  
	
  Section 2.27.

  	
   

  	
  Operating Agreements and Permitted Encumbrances

  	
   

  	
  39

  
	
  Section 2.28.

  	
   

  	
  Compliance with Laws

  	
   

  	
  40

  
	
  Section 2.29.

  	
   

  	
  Debt Service Coverage Ratio

  	
   

  	
  40

  
	
  Section 2.30.

  	
   

  	
  Employees of Mortgaged Property

  	
   

  	
  41

  
	
  Section 2.31.

  	
   

  	
  Partial Release

  	
   

  	
  41

  
	
  Section 2.32.

  	
   

  	
  Fire Sprinkler Deposit Account

  	
   

  	
  42

  
	
  Section 2.33.

  	
   

  	
  Additional Guarantors

  	
   

  	
  42

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE III.  Security
  Agreement

  	
   

  	
  43

  
	
  Section 3.01.

  	
   

  	
  Warranties, Representations and Covenants of
  Borrower

  	
   

  	
  43

  

 

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  Section 3.02.

  	
   

  	
  Financing Statements

  	
   

  	
  44

  
	
  Section 3.03.

  	
   

  	
  Addresses

  	
   

  	
  45

  
	
  Section 3.04.

  	
   

  	
  Fixture Filing

  	
   

  	
  45

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE IV.  Default
  and Remedies

  	
   

  	
  45

  
	
  Section 4.01.

  	
   

  	
  Events of Default

  	
   

  	
  45

  
	
  Section 4.02.

  	
   

  	
  Remedies

  	
   

  	
  47

  
	
  Section 4.03.

  	
   

  	
  General Provisions Regarding Remedies

  	
   

  	
  49

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE V.  Miscellaneous

  	
   

  	
  53

  
	
  Section 5.01.

  	
   

  	
  Notices

  	
   

  	
  53

  
	
  Section 5.02.

  	
   

  	
  Binding Obligations; Joint and Several

  	
   

  	
  55

  
	
  Section 5.03.

  	
   

  	
  Captions

  	
   

  	
  55

  
	
  Section 5.04.

  	
   

  	
  Further Assurances

  	
   

  	
  55

  
	
  Section 5.05.

  	
   

  	
  Severability

  	
   

  	
  55

  
	
  Section 5.06.

  	
   

  	
  Borrower’s Obligations Absolute

  	
   

  	
  55

  
	
  Section 5.07.

  	
   

  	
  Amendments; Consents

  	
   

  	
  55

  
	
  Section 5.08.

  	
   

  	
  Other Loan Documents and Exhibits

  	
   

  	
  56

  
	
  Section 5.09.

  	
   

  	
  Legal Construction

  	
   

  	
  56

  
	
  Section 5.10.

  	
   

  	
  Merger

  	
   

  	
  56

  
	
  Section 5.11.

  	
   

  	
  Time of the Essence

  	
   

  	
  56

  
	
  Section 5.12.

  	
   

  	
  Defeasance

  	
   

  	
  56

  
	
  Section 5.13.

  	
   

  	
  Business Purpose of Loan

  	
   

  	
  57

  
	
  Section 5.14.

  	
   

  	
  Transfer of Loan

  	
   

  	
  57

  
	
  Section 5.15.

  	
   

  	
  Cooperation

  	
   

  	
  58

  
	
  Section 5.16.

  	
   

  	
  Register

  	
   

  	
  58

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ARTICLE VI.  Trustee

  	
   

  	
  59

  
	
  Section 6.01.

  	
   

  	
  Certain Actions of Trustee

  	
   

  	
  59

  
	
  Section 6.02.

  	
   

  	
  Reconveyances

  	
   

  	
  59

  
	
  Section 6.03.

  	
   

  	
  Trustee’s Covenants and Compensation

  	
   

  	
  59

  
	
  Section 6.04.

  	
   

  	
  Substitution of Trustee

  	
   

  	
  59

  
	
  Section 6.05.

  	
   

  	
  Resignation of Trustee

  	
   

  	
  59

  
	
  Section 6.06.

  	
   

  	
  Ratification of Acts of Trustee

  	
   

  	
  59

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Signature Page

  	
   

  	
   

  	
   

  	
  60

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit A - Description of Land

  	
   

  	
  62

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit B - Permitted Encumbrances

  	
   

  	
  66

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit C - Operating Agreements

  	
   

  	
  67

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Exhibit D - Interest Rate Cap
  Agreement

  	
   

  	
  68

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Rider - Applicable State Law Provisions

  	
   

  	
  69

  

 

 iii

 

THIS DEED OF TRUST AND SECURITY AGREEMENT AND FIXTURE
FILING SECURES ALL CONTRACTUAL ADVANCES, WHETHER CONTAINED HEREIN OR OTHERWISE,
THAT MAY BE MADE BY THE BENEFICIARY TO THE TRUSTOR HEREIN, OR ANY FUTURE
CONTRACTUAL OBLIGATIONS, WHETHER CONTAINED HEREIN OR OTHERWISE, OF TRUSTOR TO
BENEFICIARY UP TO A TOTAL AMOUNT OF $120,000,000 PLUS INTEREST AT ANY TIME.
THIS DEED OF TRUST AND SECURITY AGREEMENT AND FIXTURE FILING SHALL BE GOVERNED
BY THE PROVISIONS OF SECTION 443.055 OF THE REVISED STATUTES OF MISSOURI.

DEED OF TRUST AND
SECURITY AGREEMENT AND FIXTURE FILING

THIS DEED OF TRUST AND
SECURITY AGREEMENT AND FIXTURE FILING (this “Deed of Trust”) is made as of July
28, 2005, by and between KINGSDELL L.P., a
Delaware limited partnership having an office at c/o IFC, Inc., 212 North
Kingshighway Blvd., Suite 1023, St. Louis, Missouri 63108, Attention: James L.
Smith, President (“Trustor” and “Borrower” and “Grantor”), in favor of Michael
A. Chivell, having an office at Armstrong Teasdale LLP, One Metropolitan Square,
St. Louis, Missouri 63102-2740 (“Trustee”), for the use and benefit of MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY, a
Massachusetts corporation having an address c/o Babson Capital Management LLC,
1500 Main Street, Suite 2100, Springfield, Massachusetts 01115, Attention:
Managing Director, Real Estate Finance Group (“Beneficiary” and “Lender” and “Grantee”).

GRANTING CLAUSES

For good and valuable
consideration and to secure the payment of an indebtedness in the principal sum
of up to Sixty Million and No/100 Dollars ($60,000,000) lawful money of the
United States, to be paid according to that certain Promissory Note [A] of even
date herewith (the “Note A”) from Borrower to Lender in the principal sum of
$55,000,000 and by this reference made a part hereof and that certain
Promissory Note [B] of even date herewith (the “Note B”) from Borrower to
Lender in the principal sum of up to $5,000,000 and by this reference made a
part hereof (said Note A and Note B, as the same may hereafter be amended,
modified, consolidated or extended, collectively, the “Note”), both with a
maturity date of August 1, 2010, together with all other obligations and
liabilities due or to become due to Lender, all amounts, sums and expenses paid
hereunder by or payable to Lender according to the terms hereof, and all other
covenants, obligations and liabilities of Borrower under the Note (including,
without limitation, the payment of the Quarterly Administrative Fee, as
hereinafter defined), this Deed of Trust, the Assignment (as hereinafter
defined) and any other instrument evidencing, securing or delivered in
connection with the loan evidenced by the Note (all of the foregoing
instruments, collectively, the “Loan Documents”), and together with all
interest on said indebtedness, obligations, liabilities, amounts, sums,
Advances (as hereinafter defined) and expenses (all of the foregoing,
collectively, the “Indebtedness”), Borrower does by these presents MORTGAGE,
WARRANT, GRANT, BARGAIN, SELL, CONVEY AND CONFIRM, ASSIGN, PLEDGE, TRANSFER AND
SET OVER unto Trustee, its successors and assigns, for the benefit of Lender,
its successors and assigns, and grants Lender, its successors and assigns, a

 1
 

 

security interest in, all interest and estate which
Borrower may now or hereafter acquire in the following property:

The
parcel or parcels of land described in Exhibit A attached hereto and by
this reference made a part hereof (the “Land”);

TOGETHER
with the buildings, foundations, structures and improvements (including
fixtures) now or hereafter located on or in the Land (collectively, the “Improvements”);

TOGETHER
with all right, power, privilege, option, title and interest, if any, of
Borrower in and to the streets and roads, opened or proposed, abutting the
Land, all strips and gores within or adjoining the Land, the air space and
right to use the air space above the Land, all rights of ingress and egress to
and from the Land, all easements, rights of way, reversions, remainders,
estates, rights, titles, interests, privileges, servitudes, tenements,
hereditaments, and appurtenances now or hereafter affecting the Land or the
Improvements, all royalties and rights and privileges appertaining to the use
and enjoyment of the Land or the Improvements, including all air, lateral
support, streets, alleys, passages, vaults, drainage, water, oil, gas and
mineral rights, development rights, all leases and licenses and options to
purchase or lease, and all other interests, estates or claims, in law or in
equity, which Borrower now has or hereafter may acquire in or with respect to
the Land or the Improvements (collectively, the “Appurtenances”);

The
Land, the Improvements and the Appurtenances are hereinafter collectively
referred to as the “Premises”;

TOGETHER
with all equipment, fittings, furniture, furnishings, appliances, apparatus,
and machinery in which Borrower now or hereafter has a possessory or title
interest and now or hereafter installed in or located upon the Premises and all
building materials, supplies and equipment now or hereafter delivered to the
Premises and intended to be installed therein or located thereon; all fixtures,
inventory, other goods and personal property of whatever kind and nature now
contained on or in or hereafter placed on or in the Premises and used or to be
used in connection with the letting or operation thereof, in which Borrower now
has or hereafter may acquire a possessory or title interest and all renewals or
replacements of any of the foregoing property or articles in substitution
thereof, including beds, bureaus, chiffonniers, chests, chairs, desks, lamps,
mirrors, bookcases, tables, rugs, carpeting, drapes, draperies, curtains,
shades, Venetian blinds, screens, paintings, hangings, pictures, divans,
couches, luggage carts, luggage racks, stools, sofas, chinaware, linens,
pillows, blankets, glassware, silverware, foodcarts, cookware, dry cleaning
facilities, dining room wagons, keys or other entry systems, bars, bar
fixtures, liquor and other drink dispensers, ice makers, radios, television
sets, intercom and paging equipment, electric and electronic equipment,
dictating equipment, private telephone systems which are not leased by
Borrower, medical equipment, potted plants, heating, lighting and plumbing
fixtures, fire prevention and extinguishing apparatus, cooling and
air-conditioning systems, elevators, escalators, fittings, plants, apparatus,
stoves, ranges, refrigerators, tools, machinery, engines, dynamos, motors,
boilers, incinerators, switchboards, conduits, compressors, vacuum cleaning
systems, floor cleaning, waxing and polishing equipment, call systems,
brackets, electrical signs, bulbs, bells, ash and fuel, conveyors, cabinets,
lockers, shelving, spotlighting equipment, dishwashers, garbage disposals,
washers and dryers which are

 2
 

 

not leased by Borrower, and other customary hotel
equipment used in the operation of the Premises (collectively, the “Equipment”);

TOGETHER with all right,
power, privilege, option, title and interest of Borrower in and under all
present or future accounts, deposit accounts, documents, instruments, chattel
paper, and general intangibles (including “payment intangibles”), as the
foregoing terms are defined in the Code (as hereinafter defined), all deposits,
monies or escrows held by Lender or Lender’s agent or any accounts established
pursuant hereto or pursuant to any other Loan Documents, including, without
limitation, any rights in and to the Qualifying Repair Reserve (as defined in
the Repair Reserve Agreement (as hereinafter defined)), and all contract rights
(including, without limitation, any and all rights of Borrower in and to that
certain License with an Option to Lease between Borrower and Treasurer of the
City of St. Louis acting in his capacity as Supervisor of Parking Meters, a
municipality agency dated March 2, 2001, as may hereinafter be amended),
including, without limitation, equipment leases, operating leases and licenses,
Operating Agreements (as hereinafter defined), derivative investments, letters
of credit, and rate cap agreements, including casualty insurance policies and
liability insurance policies (irrespective of whether such policies are
required to be obtained or maintained in force pursuant to this Deed of Trust
or other Loan Documents), trade names, trademarks, servicemarks, logos,
copyrights, goodwill, franchises, books, records, plans, specifications,
permits, licenses, approvals, actions, claims under the Federal Bankruptcy Code
(as hereinafter defined) and causes of action which now or hereafter relate to,
are derived from or are used in connection with the Premises or the use,
operation, maintenance, occupancy or enjoyment thereof or the conduct of any
business or activities thereon (collectively, the “Intangibles”);

TOGETHER with all right,
power, privilege, option, title and interest of Borrower in and under all
existing and future leases, lettings, tenancies, occupancy agreements, licenses
to occupy and other similar arrangements affecting the Premises or any part
thereof now or hereafter entered into and all amendments, extensions, renewals
and guaranties thereof, all security therefor, including letter of credit
rights, guaranties and other supporting obligations, and all moneys payable
thereunder, whether entered into before or after the filing by or against
Borrower of any petition for relief under the Federal Bankruptcy Code
(collectively, the “Leases”);

TOGETHER with all rents,
room rates, income, accounts, receivables, issues, profits, security deposits,
including the proceeds from letters of credit, guarantees and other supporting
obligations, all other payments and profits from the Leases and the use and
occupation of the Premises, including fixed and additional rents, cancellation
payments, option payments, all revenues and credit card receipts collected from
guest rooms, restaurants, bars, mini-bars, meeting rooms, banquet rooms and
recreational facilities and otherwise, all receivables, customer obligations,
installment payment obligations and other obligations now existing or hereafter
arising or created out of sale, lease, sublease, license, concession or other
grant of the right of the possession, use or occupancy of all or any portion of
the Premises, or personalty located thereon, or rendering of services by
Borrower or any operator or manager of any hotel or commercial space located in
the Premises or acquired from others including from the rental of any office
space, retail space, commercial space, guest room or other space, halls, stores
or offices, including any deposits securing reservations of such space, exhibit
or sales space of every kind, license, lease, sublease and concession fees and
rentals, health club membership fees, food and beverage wholesale and retail
sales, telephone and television systems, guest laundry, the

 3
 

 

provision or sale of other goods and services, service
charges, vending machine sales, and any other items of revenue, receipts or
other income as identified in the Uniform System of Accounts for the Lodging
Industry, 9th Edition, American Hotel & Motel Association (1996), as from
time to time amended, and other payments and benefits to which Borrower may now
or hereafter be entitled from the Premises, the Equipment or the Intangibles or
under or in connection with the Leases (collectively, the “Property Income”),
including the immediate and continuing right to make claim for, receive,
collect and receipt for Property Income, including the right to make claim in a
proceeding under the Federal Bankruptcy Code and to apply the same to the
payment of the Indebtedness, all whether before or after the filing by or
against Borrower of any petition for relief under the Federal Bankruptcy Code;
and

TOGETHER with all
proceeds, judgments, claims, compensation, awards of damages and settlements
pertaining to or resulting from or in lieu of any condemnation or taking of the
Premises by eminent domain or any casualty loss or damage to any of the
Premises, the Equipment, the Intangibles, the Leases or the Property Income,
and including also, the right to assert, prosecute and settle claims arising
out of or pertaining to such condemnation or taking or such casualty loss under
insurance policies constituting an Intangible and to apply for and receive
payments of proceeds under such insurance policies and in any condemnation or
taking, the right to apply for and receive all refunds with respect to the
payment of property taxes and assessments and all other proceeds from the
conversion, voluntary or involuntary, of the Premises, the Equipment, the
Intangibles, the Leases or the Property Income, or any part thereof, into cash
or liquidated claims. Collectively, all of the foregoing, are herein referred
to as the “Proceeds.”

The Equipment, the
Intangibles, the Leases, the Property Income and the Proceeds are hereinafter
collectively referred to as the “Collateral.” The Premises and the Collateral
are hereinafter collectively referred to as the “Mortgaged Property.”

TOGETHER WITH ALL POWERS
OF SALE AND RIGHTS OF ENTRY AND POSSESSION OF THE MORTGAGED PROPERTY AND ALL
STATUTORY RIGHTS AND COVENANTS IN THE STATE OF MISSOURI.

TO HAVE AND TO HOLD the
Mortgaged Property, with all the privileges and appurtenances to the same
belonging, and with the possession and right of possession thereof, unto
Trustee, its successors and assigns, for the benefit of Lender, its successors
and assigns, in fee simple forever as to the Premises, upon the terms and
conditions set forth herein.

ARTICLE I.

Definition of Terms

As used in this Deed of
Trust, the terms set forth below shall have the following meanings:

“Advances”
means all sums, amounts or expenses advanced or paid and all costs incurred by
Lender, as provided in this Deed of Trust or in any other Loan Document, upon
failure of Borrower to pay or perform any obligation or covenant contained
herein or in such other Loan Document.

 4
 

 

“Apartment Security”
means that portion of the Mortgaged Property used for apartment operations as
more specifically defined in the documents approved by Lender relating to the
condominium regime as provided in Section 2.31 below.

“Anti-Money
Laundering Laws” means the USA Patriot Act of 2001, the Bank Secrecy Act, as
amended through the date hereof, Executive Order 13324 – Blocking Property and
Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or
Support Terrorism, as amended through the date hereof, and other federal laws
and regulations and executive orders administered by the United States
Department of the Treasury, Office of Foreign Assets Control (“OFAC”) which
prohibit, among other things, the engagement in transactions with, and the
provision of services to, certain foreign countries, territories, entities and
individuals (such individuals include specially designated nationals, specially
designated narcotics traffickers and other parties subject to OFAC sanction and
embargo programs), and such additional laws and programs administered by OFAC
which prohibit dealing with individuals or entities in certain countries
regardless of whether such individuals or entities appear on any of the OFAC
lists.

“Appurtenances”
has the meaning assigned in the Granting Clauses.

“Assignment”
means the Assignment of Leases and Rents from Borrower to Lender of even date
herewith.

“Bankruptcy
Proceeding” means any proceeding, action, petition or filing under the Federal
Bankruptcy Code or any similar state or federal law now or hereafter in effect
relating to bankruptcy, reorganization or insolvency, or the arrangement or
adjustment of debts.

“Beneficiary”
means Massachusetts Mutual Life Insurance Company, its successors and assigns
(including any other holders from time to time of the Note), and also herein
called “Lender.”

“Borrower”
means the party or parties identified and defined as Grantor on the Cover Sheet
and in the preamble of this Deed of Trust, any subsequent owner of the
Mortgaged Property, and its or their respective heirs, executors, legal
representatives, successors and assigns.

“Breakage
Fee” has the meaning assigned to such term in Note B.

“Business
Day” means any day other than a Saturday, Sunday or other day on which national
banks in the State are not open for business.

“Code”
means the Uniform Commercial Code of the State, as the same may be amended from
time to time or any successor statute thereto.

“Collateral”
has the meaning assigned in the Granting Clauses.

“Contract
Rate” has the meaning assigned to such term in the Note.

“controls”
and “controlled” means the possession, directly or indirectly, of the power to
direct or cause the direction of the management or policies of the applicable
Person, whether through the ownership of voting securities or by contract or
otherwise.

 5
 

 

“Dana Corporation” means
Dana Corporation, a Virginia corporation.

“Dana
Credit” means Dana Credit Corporation, a Delaware corporation.

“Debt
Service Paydown Amount Guaranty” means that certain Debt Service Paydown Amount
Guaranty of even date herewith from Dana Credit to Lender.

“Debt
Service Coverage Ratio” means as of any date of determination, a quotient
obtained by dividing (a) the Net Operating Income on such date of determination
by (b) the sum of (i) the annual payments of interest on the Note calculated
utilizing the outstanding principal balance of the Note and the Contract Rate
as of the date the calculation is to be made and (ii) the Quarterly
Administrative Fee due during a twelve-month period.

“Debt
Service Paydown Amount” has the meaning assigned to such term in Section 2.29
of this Deed of Trust.

“Default
Rate” has the meaning assigned in Note A.

“Environmental
Law” means any applicable present or future federal, state or local law,
statute, regulation or ordinance, and any judicial or administrative order or
judgment thereunder, pertaining to health as it relates to exposure to
Hazardous Substances, industrial hygiene or the environmental or ecological
conditions on, under or about the Premises, including each of the following as
in effect on the date hereof or hereafter amended: the Comprehensive
Environmental Response, Compensation and Liability Act 1980, 42 U.S.C. §§ 9601
et seq.; the Resource Conservation and Recovery Act of 1976, 42 U.S.C. §§ 6901
et seq.; the Toxic Substances Control Act, 15 U.S.C. §§ 2601 et seq.; the Water
Pollution Control Act (also known as the Clean Water Act), 33 U.S.C. §§ 1251 et
seq.; the Clean Air Act, 42 U.S.C. §§ 7401 et seq.; the Hazardous
Materials Transportation Act, 49 U.S.C. §§ 1801 et seq.; the Solid Waste
Disposal Act; the Safe Drinking Water Act; the Occupational Safety and Health
Act; the Federal Water Pollution Control Act; the Emergency Planning and
Community Right-To-Know Act; the Federal Insecticide, Fungicide and Rodenticide
Act, as amended, 7 U.S.C. §§136 et  seq.; the Occupational Safety
& Health Act of 1970, as amended, 29 U.S.C. § 651 et seq.; the Safe
Drinking Water Act, as amended, 42 U.S.C. §300f et seq.; the National
Environmental Policy Act, as amended, 42 U.S.C. §4321 et seq.; and the Solid
Waste Disposal Act, as amended, 42 U.S.C. §6901 et seq.; and, the Rivers and
Harbors Appropriation Act.

“Environmental
Report” means Phase I Environmental Site Assessment dated May, 2002 prepared by
Ecosafe, Inc., together with that memorandum to Bob Graf from Dave Schau, CIH,
Ecosafe, Inc. dated May 30, 2002 and update by Ecosafe, Inc. dated July 20,
2005.

“Equipment”
has the meaning assigned in the Granting Clauses.

“ERISA”
means the Employee Retirement Income Security Act of 1974, as the same may be
amended from time to time.

“Event
of Default” means any one or more of the events described in Section 4.01.

 6
 

 

“Federal Bankruptcy Code”
means Title 11 of the United States Code, as the same may be amended from time
to time or any successor statute thereto.

“Fiscal
Year” means each calendar year during the term of this Deed of Trust, or such
other fiscal year of Borrower as Borrower may select from time to time with the
prior consent of Lender. During the first year of the term hereof, Borrower’s Fiscal
Year shall be deemed to have commenced on the date of this Deed of Trust and
shall end on the regular Fiscal Year ending date as indicated in the
immediately preceding sentence.

“Guaranties”
has the meaning assigned in Section 2.17 below.

“Hazardous
Substance” means any material, waste or substance which is:

(i)          included
within the definitions of “hazardous substances,” “hazardous materials,” “toxic
substances” or “solid waste” in or pursuant to any Environmental Law, or
subject to regulation under any Environmental Law;

(ii)         listed
in the United States Department of Transportation Optional Hazardous Materials
Table, 49 C.F.R. §172.101, as to date or hereafter amended, or in the United
States Environmental Protection Agency List of Hazardous Substances and
Reportable Quantities, 40 C.F.R. Part 302, as to date or hereafter amended; or

(iii)        explosive,
radioactive, asbestos, asbestos containing material, Microbial Matter, a
hydrocarbon, a polychlorinated biphenyl, oil, or a petroleum product.

“Hotel
Security” means that portion of the Mortgaged Property that is used for hotel
operations as more specifically defined in the documents approved by Lender
relating to the condominium regime as provided in Section 2.31 below.

“Impositions”
means all taxes or payments in lieu of taxes of every kind and nature, sewer
rents, charges for water, for setting or repairing meters and for all other
utilities serving the Premises, and assessments, levies, inspection and license
fees and all other charges imposed upon or assessed against the Mortgaged
Property or any portion thereof (including the Property Income), and any stamp
or other taxes which might be required to be paid, or with respect to any of
the Loan Documents, any of which might, if unpaid, affect the enforceability of
any of the remedies provided in this Deed of Trust or result in a lien on the
Mortgaged Property or any portion thereof, regardless of to whom assessed.

“Indebtedness”
has the meaning assigned in the Granting Clauses.

“Intangibles”
has the meaning assigned in the Granting Clauses.

“Land”
has the meaning assigned in the Granting Clauses.

“Late
Charge” means any charge designated as such and payable by Borrower for tardy
performance by Borrower under the Note, this Deed of Trust or any other Loan
Document.

“Leases”
has the meaning assigned in the Granting Clauses.

 7
 

 

“Lender” means
Massachusetts Mutual Life Insurance Company, the lender identified as such on
the Cover Sheet and in the preamble of this Deed of Trust, and its successors
and assigns (including any other holders from time to time of the Note).

“Loan”
means the loan made by Lender to Borrower evidenced by the Note.

“Loan
Documents” has the meaning assigned in the Granting Clauses.

“Loan-to-Value
Ratio” means the quotient, expressed as a percentage, obtained by dividing (a)
the outstanding principal balance of the Note at the time the calculation is
made by (b) the value of the Mortgaged Property as reasonably determined by
Lender pursuant to a current appraisal furnished to Lender, at Borrower’s sole
cost and expense, in form and content satisfactory to Lender and prepared by an
independent appraiser, reasonably acceptable to Lender, holding a MAI (Member
Appraisal Institute) designation.

“Losses”
means claims, suits, liabilities (including strict liabilities), actions,
proceedings, obligations, debts, damages, losses, costs, fines, penalties,
charges, fees, expenses, judgments, awards, amounts paid in settlement,
punitive damages, foreseeable and unforeseeable consequential damages of
whatever kind or nature (including attorneys’ fees, costs and expenses).

“Maturity
Date” has the meaning assigned on the Cover Sheet of this Deed of Trust.

“Microbial
Matter” means the presence of fungi or bacterial matter which reproduces
through the release of spores or the splitting of cells, including mold, mildew
and viruses, whether or not such Microbial Matter is living, which poses a
threat to the health, safety or welfare of any Person or adversely affects the
value of the Mortgaged Property.

“Mortgaged
Property” has the meaning assigned in the Granting Clauses.

“Net
Operating Income” means an amount determined by Lender’s own analysis and
estimate of gross rents, revenues and other income from operations of the
Mortgaged Property for the twelve (12) month period immediately following the
date the calculation is made, taking into account both (i) the amount of all
current rents, revenues and other income derived from the Mortgaged Property
which are expected to continue, and (ii) the amount of all rents, revenues and
other income to be derived from the Mortgaged Property scheduled either to have
increases in rent or to commence by their terms during the immediately
following twelve (12)-month period; and in the case of both (i) and (ii),
reduced by the amount of all rents and revenues and other income from the
Mortgaged Property expiring or terminating or being modified, or reasonably
anticipated to expire, terminate or be modified, during the immediately
following twelve (12)-month period; provided, however, that notwithstanding the
foregoing gross rent shall include gross rents for month-to-month tenants of
residential portions of the Premises; and then subtracting from such gross
rents, revenues and other income the amount, as determined by Lender, of all ordinary
and necessary operating expenses applicable to the Mortgaged Property for such
period of time, including but not limited to, utilities, administrative,
cleaning, landscaping, security, repairs and maintenance, ground rent payments,
if any, management fees (of not more than 2.50% of gross revenue),
fully-assessed (or estimated fully-assessed) real estate (including verifiable
tax abatement amounts) and other taxes, assessments and insurance, a $300 per
unit reserve for apartment units, and a hotel FF&E reserve of 4% of gross
revenues of

 8
 

 

the Mortgaged Property (net of apartment unit and
office/retail revenue) but excluding from any such expenses any deductions for
federal, state and other income taxes, debt service expense, capital
expenditures, tenant improvement costs, leasing commissions, depreciation or
amortization of capital expenditures (including leasing commissions, tenant
improvements, and other leasing costs) and other similar non-cash items,
(collectively “Operating Expenses”). Gross rents shall not be anticipated for
any greater time period than is permitted by GAAP, nor shall ordinary operating
expenses be prepaid. In no event shall operating revenue include any Proceeds
from casualty loss under insurance policies (other than business or rental
interruption insurance). Borrower shall provide Lender with its own proposed
calculation of Net Operating Income, certified by the chief financial officer,
general partner or managing member of Borrower, together with all relevant
supporting detail required to determine the same. Lender shall perform its own
independent calculation of Net Operating Income, which shall be the definitive
determination of Net Operating Income.

“Note”
has the meaning assigned in the Granting Clauses.

“OFAC
Prohibited Person” means, a country, territory, individual or Person (i) listed
on, included within or associated with any of the countries, territories,
individuals or entities referred to on The Office of Foreign Assets Control’s
List of Specially Designated Nationals and Blocked Persons or any other
prohibited person lists maintained by governmental authorities, or otherwise
included within or associated with any of the countries, territories,
individuals or entities referred to in or prohibited by OFAC or any other Anti-Money
Laundering Laws, or (ii) which is obligated or has any interest to pay, donate,
transfer or otherwise assign any property, money, goods, services, or other
benefits from the Mortgaged Property directly or indirectly, to any countries,
territories, individuals or entities on or associated with anyone on such list
or in such laws.

“Operating
Agreements” means the management agreements and leasing commission agreements
for the Premises and the agreements, licenses and leases set forth in Exhibit
C.

“Partial
Release” has the meaning assigned to such term in Section 2.31 below.

“Permitted
Encumbrances” means the liens and security interests created by this Deed of
Trust and the other Loan Documents and those exceptions to title set forth in Exhibit
B including the deed of trust securing the Permitted Subordinated
Financing.

“Permitted
Subordinated Financing” means the loan from Dana Credit (“Subordinate Lender”)
to Borrower in an amount equal to $8,000,000 secured by a deed of trust dated
on or about the date hereof and recorded after the recording of this Mortgage
encumbering the Mortgaged Property (and only the Mortgaged Property) and
subordinate to the lien of this Deed of Trust pursuant to that certain
Subordination and Intercreditor Agreement dated of even date herewith among
Dana Credit, Borrower and Lender,

“Permitted
Transfers” means any of the following: (i) transfers of ownership interests in
Dana Corporation; (ii) a transfer of Rebnec Ten, Inc.’s limited partnership
interest in Borrower to another single purpose entity (i.e., complying with the terms and
provisions of Section 2.26 below) directly or indirectly owned (at least 51%)
and controlled by Dana Corporation; (iii) a transfer of Dana Lease Finance
Corporation’s interest in Rebnec Ten, Inc. (or other entity owning

 9
 

 

Rebnec Ten, Inc.’s limited partnership interest in Borrower as a result
of a transfer under (ii) above) to another entity directly or indirectly owned
(at least 51%) and controlled by Dana Corporation; and (iv) a transfer of IFC,
Inc.’s general partner interest in Borrower to another single purpose entity (i.e., complying with the terms and provisions of Section 2.26
below) directly or indirectly owned and controlled by James L. Smith or Dana
Corporation.

“Person”
means and includes any individual, corporation, partnership, joint venture,
limited liability company, association, bank, joint-stock company, trust,
unincorporated organization or government, or an agency or political
subdivision thereof.

“Premises”
has the meaning assigned in the Granting Clauses.

“Prepayment
Fee” means the amount required to be paid under Section 8 of Note A in
connection with a prepayment of Note A.

“Principals”
means all general partners, controlling members, managing members, managing
agents and/or controlling stockholders of Borrower and Dana Credit and its
successors and assigns.

“Proceeds”
has the meaning assigned in the Granting Clauses.

“Property
Income” has the meaning assigned in the Granting Clauses.

“Property
Manager” means the property manager approved by Lender as provided in Section
2.23 hereof.

“Quarterly
Administrative Fee” means the amount due Lender under Section 24 of Note B.

“Release”
means the release, deposit, discharge, emission, leaking, spilling, seeping,
migrating, injecting, pumping, pouring, emptying, escaping, dumping, disposing
or other movement of a Hazardous Substance no matter how or by whom or what
caused.

“Remediation”
means and includes any response, remedial, removal or corrective action,
activity to cleanup, detoxify, decontaminate, contain or otherwise remediate
any Hazardous Substance or underground storage tank, any actions to prevent,
cure or mitigate any Release of a Hazardous Substance, any action to comply
with any Environmental Laws or with any permits issued pursuant thereto, any
inspection, investigation, study, monitoring, assessment, audit, sampling and
testing, laboratory or other analysis, or evaluation relating to any Hazardous
Substances or underground storage tank.

“Repair
Reserve Agreement” means that certain Repair and Replacement Reserve and
Security Agreement of even date herewith between Borrower and Lender.

“Required
Leases” means the Leases to the following tenants: Washington University,
Famous Five Cinema, St. Louis Workout and Karagiannis Investment Corporation.

“State”
means the State or Commonwealth in which the Land is situated.

 10

 

“Subordinate Lender” has
the meaning assigned to such term in the definition of Permitted Subordinated
Financing.

“Trustee”
means the party or parties identified and defined as Trustee on the Cover Sheet
and in the preamble of this Deed of Trust, and its or their respective
successors in trust created by this Deed of Trust, and its or their respective
successors and assigns.

“Trustor”
means the party or parties identified as such on the Cover Sheet and in the
preamble of this Deed of Trust, any subsequent owner of the Mortgaged Property,
and its or their respective heirs, executors, legal representatives, successors
and assigns. The Trustor is also herein called “Borrower.”

“Upstream
Owner” means any Person having a direct or indirect legal, beneficial or other
ownership interest in Borrower (e.g., if Borrower is a limited liability
company, and one of Borrower’s members is a limited partnership, whose partner
is a corporation, then the shareholder of such corporation would be an Upstream
Owner).

ARTICLE II.

Covenants,
Warranties and Representations of Borrower

Borrower
covenants, warrants, represents and agrees with and to Trustee and Lender as
follows:

Section 2.01.          Payment of the Indebtedness.
Borrower shall punctually pay the Indebtedness at the times and in the manner provided in the
Note, this Deed of Trust and the other Loan Documents, all in lawful money of
the United States of America.

Section 2.02.          Title to the Mortgaged Property.

(a)      Borrower
has fee simple title (or such lesser estate therein as may be specified in Exhibit
A) to the Premises and good
title to the balance of the Mortgaged Property, free and clear of liens and
encumbrances except Permitted Encumbrances.

(b)      Borrower
has full power and lawful authority to encumber the Mortgaged Property in the
manner and form herein set forth.

(c)      This
Deed of Trust is and will remain a valid and enforceable lien on and security
interest in the Mortgaged Property.

(d)      Borrower
will preserve such title and will forever warrant and defend the same and the validity
and priority of the lien hereof to Trustee and Lender against all claims
whatsoever.

Section 2.03.          Maintenance of the Mortgaged
Property. Borrower shall maintain the Mortgaged Property in good and safe condition, working
order and repair, and comply with all existing and future federal, state and
local laws, ordinances, rules and regulations and court

 11
 

 

orders affecting or which may be interpreted as
affecting the Mortgaged Property, including the Americans with Disabilities Act
and all zoning, subdivision, land use, environmental, traffic, fire, building,
and occupational safety and health rules, regulations, codes, acts and statutes
to which it is subject. Borrower shall permit Lender and its agents to enter
upon and inspect: (a) the areas of the Mortgaged Property which are open to the
public at all reasonable hours without prior notice and (b) all other areas of
the Mortgaged Property at all reasonable hours with two (2) Business Days prior
notice to Borrower, except that no notice shall be required in the event of an
emergency. Borrower shall not, without the prior consent of Lender: (a) change
the use of the Premises; (b) cause or permit the use or occupancy of any part
of the Premises to be discontinued if such discontinuance would violate any zoning
or other law, ordinance or regulation; (c) consent to any zoning
reclassification, modification or restriction affecting the Premises; (d)
threaten, commit or permit any physical waste, structural or material
alteration, demolition or removal of the Mortgaged Property or any portion
thereof (provided that the Equipment included within the Collateral may be
removed if replaced with similar items of equal or greater value); or (e) take
any steps whatsoever to convert the Mortgaged Property, or any portion thereof,
to a condominium or cooperative form of ownership except as otherwise permitted
under this Deed of Trust. No provision of this Section 2.03 shall prohibit
Borrower from undertaking and completing tenant improvement work authorized
under Leases previously approved by Lender or not requiring Lender’s prior
approval.

Section 2.04.          Insurance; Restoration.

(a)      Borrower
shall keep the Improvements and the Equipment insured against damage by fire,
terrorism, other hazards and loss of business income. Borrower shall furnish
Lender with such comprehensive special form cause of loss, all risk, fire,
extended coverage property insurance insuring 100% of the insurable replacement
value thereof with no coinsurance penalty (which shall mean the full repair and
actual replacement value thereof providing for no deductible in excess of
$25,000 [$100,000 for flood and 5% of replacement value for earthquake],
without reduction for depreciation), business income (including extra expense),
rental value, rent loss or business interruption insurance in an amount not
less than 12 months’ rental income from all Leases, terrorism insurance (full
limits for Certified Terrorism (foreign) and $100,000,000 sublimit for Domestic
Acts), flood insurance, earthquake insurance, wind insurance and other
insurance as Lender may from time to time require. Should the Premises be
subject to pre-existing nonconforming zoning, land use or building laws, then
Borrower shall also furnish Lender with an endorsement to the property
insurance policy for a change in conditions, ordinance or law and contingent
liability from the operation of “non-conforming” improvements, uses or
conditions on the Premises with a sublimit of $2,500,000. Borrower shall also
carry such other insurance, and in such amounts, as Lender may from time to
time reasonably require, against insurable risks which at the time are commonly
insured against in the case of premises similarly situated, due regard being
given to the type of construction, location, utilities, use and occupancy of
the Premises or any replacements or substitutions therefor. Such additional
insurance may include workers’ compensation, employer’s liability, boiler and
machinery and demolition insurance, and shall be obtained within 20 days after
demand by Lender. Borrower shall not obtain any umbrella or blanket liability
or casualty policy or any separate or additional insurance which is
contributing in the event of loss or any other insurance policy not required
hereunder. Notwithstanding the foregoing, in the event Borrower obtains an
umbrella or a blanket insurance policy or a separate policy or any other
insurance policy

 12
 

 

affecting the Mortgaged Property hereunder, it shall
include a “per location” aggregate endorsement and Borrower shall notify Lender
of the same and shall cause certified copies of each insurance policy to be
delivered as required under Section 2.04(c). Any umbrella or blanket insurance
policy shall specifically allocate to the Mortgaged Property the amount of
coverage from time to time required hereunder and shall otherwise provide the
same protection as would a separate policy insuring only the Mortgaged Property
in compliance with the provisions of Section 2.04(c), giving Lender all of the
rights set forth in this Section 2.04. The Proceeds of insurance paid on
account of any damage to or destruction of the Premises or any portion thereof
shall be paid over to Lender to be applied as hereinafter provided.

(b)      Borrower
shall also maintain commercial general liability insurance, including
contractual liability, with respect to the Mortgaged Property against personal
injury, death and property damage, with limits of liability in an amount not
less than $1,000,000 per occurrence and $2,000,000 in the aggregate.

(c)      All
insurance policies and endorsements required pursuant to this Deed of Trust
shall: (i) be endorsed to name Lender as a primary additional insured
thereunder, as its interest may appear, with loss payable to Lender, without
contribution, under a long-form, non-contributory mortgagee clause, or
otherwise endorsed as Lender may reasonably require; (ii) be fully paid for and
contain such provisions and expiration dates and be in such form and issued by
such insurance companies licensed to do business in the State, with a rating of
“A-VIII” or better as established by Best’s Rating Guide or A or better as
established by Standard & Poors, Inc. or an equivalent rating with such
other publication of a similar nature as shall be in current use, as shall be
approved by Lender; (iii) without limiting the foregoing, provide that such
policy or endorsement may not be canceled or materially changed except upon 30
days prior written notice of intention of non-renewal, cancellation or material
change to Lender, and that no act or thing done by Borrower or Lender shall
invalidate the policy as against Lender; and (iv) be in form and content
satisfactory to Lender. Borrower shall deliver all original policies including
all endorsements and renewals thereof, or copies thereof certified by the insurance
company or authorized agent as being true copies, to Lender together with all
endorsements required hereunder, on the date of this Deed of Trust and
thereafter at least 10 days prior to the expiration date of such policies.
Borrower may request an extension of time not exceeding 60 days to deliver the
foregoing policies, endorsements and renewals or certified copies thereof if
Borrower has done all things necessary to obtain the issuance of the policies,
endorsements and renewals including the payment of all premiums therefor, and
Borrower has delivered to Lender within the above 10 day period an insurance
binder and evidence of insurance satisfactory to Lender issued by the approved
insurer showing all required coverage to be in full force and effect for the
succeeding 12 month period along with evidence satisfactory to Lender of
payment in full of all premiums. If Borrower fails to maintain insurance in
compliance with this Deed of Trust, Lender may (but shall not be obligated to)
obtain such insurance and pay the premium therefor and Borrower shall reimburse
Lender on demand for all such Advances. Notwithstanding anything to the
contrary contained herein or in any provision of law, the Proceeds of insurance
policies coming into the possession of Lender shall not be deemed trust funds
and Lender shall be entitled to dispose of such Proceeds as hereinafter
provided.

(d)      In
the event of any damage to or destruction of the Premises and/or Equipment,
Borrower shall give prompt written notice to Lender and shall promptly commence
and

 13
 

 

diligently continue to completion the repair,
restoration and rebuilding of the Premises and/or Equipment so damaged or
destroyed in full compliance with all legal requirements and with the
provisions of Sections 2.04(h) and (j), and free and clear from any and all
liens and claims. Such repair, restoration and rebuilding of the Premises are
sometimes hereinafter collectively referred to as the “Work.” Borrower shall
not adjust, compromise or settle any claim for insurance proceeds without the
prior consent of Lender. Lender shall have the option in its sole discretion to
apply any insurance Proceeds it may receive pursuant to this Deed of Trust
(less any cost to Lender of recovering and paying out such Proceeds, including
reasonable attorneys’ fees, costs and expenses) to the payment of the
Indebtedness or to allow all or a portion of such Proceeds to be used for the
Work. If any insurance Proceeds are applied to reduce the Indebtedness,
provided no Event of Default shall have occurred and be continuing, Lender
shall apply the same, without any prepayment fee, in accordance with the
provisions of Section 6 of the Note. Notwithstanding the foregoing, if an Event
of Default shall have occurred and be continuing, Lender, at its option, may
apply any insurance Proceeds to the Indebtedness in such order and priority as
Lender deems appropriate in its sole discretion (and any prepayment fee
required to be paid under the Note shall be due and owing).

(e)      In
the event of the foreclosure of this Deed of Trust or other transfer of title
to or assignment of the Mortgaged Property in extinguishment of the
Indebtedness in whole or in part, all right, title and interest of Borrower in
and to all policies of insurance required by this Deed of Trust and any
insurance Proceeds shall inure to the benefit of and pass to Lender or any
purchaser or transferee at the foreclosure sale of the Mortgaged Property.

(f)       Borrower
hereby irrevocably appoints Lender its attorney-in-fact, coupled with an
interest, to apply and make claims for insurance Proceeds under all insurance
policies, to prosecute and settle such claims and to endorse any checks, drafts
or other instruments representing any insurance Proceeds whether payable by
reason of loss thereunder or otherwise. Additionally, Lender may notify any and
all insurers under casualty and liability insurance policies that Lender has a
security interest pursuant to the provisions of this Deed of Trust in and to
such insurance policies and any proceeds thereof, and that any payments under
those insurance policies are to be made directly to Lender. Lender’s rights
under this Section 2.04(f) may be exercised by Lender or a court appointed
receiver appointed upon the request of Lender and irrespective of whether or
not an Event of Default (or any matter which, after notice or passage of time
or both, would constitute an Event of Default) shall have occurred under this
Deed of Trust.

(g)      Notwithstanding
the provisions of Section 2.04(d), if in Lender’s reasonable judgment the cost
of the Work shall not exceed 50% of the then outstanding principal balance of
the Note, then Lender shall, upon request by Borrower, permit Borrower to use
the Proceeds for the Work (subject to the provisions of, and less Lender’s
costs described in, Section 2.04(h)), so long as:

(i)                        no Event
of Default shall then exist nor any matter(s) exist which, after notice of
default or passage of time or both, would constitute an Event of Default;

 14
 

 

(ii)                     the
Work can be completed, as determined by Lender in its reasonable discretion, by
the date which is the earlier to occur of (a) 12 months from the date of the
damage to or destruction of the Premises and (b) 12 months prior to the
Maturity Date;

(iii)                  none of the
Required Leases shall have been canceled or terminated nor shall any such
Required Leases contain any still exercisable right to cancel or terminate as a
result of such damage or destruction;

(iv)                 all sums
necessary to effect the Work over and above any available Proceeds, as
estimated by Lender in its reasonable discretion (the “Deficiency Amount”),
shall be at the sole cost and expense of Borrower and, at Lender’s request,
deposited with Lender prior to commencing any Work and at all times thereafter;

(v)                    at all times
during any such Work, Borrower shall maintain, at its sole cost and expense,
workers’ compensation, builders risk and public liability insurance in amounts
satisfactory to Lender and in accordance with the provisions of this Section
2.04; and

(vi)                 at all times
during any such Work, business income and extra expense including rental value
insurance shall be in full force and effect and available to cover any loss of
business income and rents resulting from the damage to or destruction of the
Premises and/or Equipment.

(h)      If
any insurance Proceeds are used for the Work, then such Proceeds together with
any Deficiency Amount shall be held by Lender and shall be paid out from time
to time to Borrower as the Work progresses (less any cost to Lender of
recovering and paying out such Proceeds and/or Deficiency Amount, including
reasonable attorneys’ fees, costs and expenses and costs allocable to
inspecting the Work and the plans and specifications therefor), subject to each
of the following conditions:

(i)                        if the
Work is structural or if the cost of the Work is reasonably estimated to exceed
Two Hundred Fifty Thousand Dollars ($250,000), the Work shall be conducted
under the supervision of a certified and registered architect or engineer
reasonably satisfactory to Lender. Before Borrower commences any Work, other
than temporary work to protect property or prevent interference with business,
Lender shall have approved the plans and specifications for the Work, which
approval shall not be unreasonably withheld or delayed, it being nevertheless
understood that such plans and specifications shall provide for Work so that,
upon completion thereof, the Premises shall be at least equal in value and
general utility to the Premises immediately prior to the damage or destruction.

(ii)                     each request
for payment shall be made on not less than seven Business Days prior notice to
Lender and shall be accompanied by a certificate of the architect or engineer
in (i) above (or a certificate given by Borrower if

 15
 

 

no architect or engineer is
so required) stating: (A) that all of the Work completed has been done in
compliance with the approved plans and specifications, if required under (i)
above; (B) that the sum requested is justly required to reimburse Borrower for
payments by Borrower, or is justly due to the contractor, subcontractors,
materialmen, laborers, engineers, architects or other Persons rendering
services or materials for the Work (giving a brief description of such services
and materials), and that when added to all sums previously paid out by Lender
does not exceed the value of the Work done to the date of such certificate; (C)
if the sum requested is to cover payment relating to repair and restoration of
Equipment required or relating to the Premises, that title to the items of
Equipment covered by the request for payment is vested in Borrower; and (D)
that the amount of such Proceeds together with any Deficiency Amount remaining
in the hands of Lender will be sufficient on completion of the Work to pay for
the same in full (giving in such reasonable detail as Lender may require an
estimate of the cost of such completion). Additionally, each request for
payment shall contain a statement signed by Borrower approving both the Work
done to date and the Work covered by the request for payment in question.

(iii)                  each request for
payment shall be accompanied by waivers of lien satisfactory to Lender covering
that part of the Work for which payment or reimbursement is being requested
and, if required by Lender, a search prepared by a title company or licensed
abstractor, or by other evidence satisfactory to Lender that there has not been
filed with respect to the Premises any mechanics’ or other lien or instrument
for the retention of title relating to any part of the Work not discharged of
record. Additionally, as to any Equipment covered by the request for payment,
Lender shall be furnished with evidence of payment therefor and such further
evidence satisfactory to assure Lender of its valid first lien on the
Equipment.

(iv)                 Lender shall have
the right to inspect the Work at all reasonable times and may condition any
disbursement of Proceeds upon the satisfactory completion, as determined in
Lender’s sole discretion, of any portion of the Work for which payment or
reimbursement is being requested. Neither the approval by Lender of the plans
and specifications for the Work nor the inspection by Lender of the Work shall
make Lender responsible for the preparation of such plans and specifications or
the compliance of such plans and specifications, or of the Work, with any
applicable law, regulation, ordinance, covenant or agreement.

(v)                    proceeds shall
not be disbursed more frequently than every 30 days.

(vi)                 any request for
payment made after the Work has been completed shall be accompanied by a copy
or copies of any certificate or certificates required by law to render
occupancy and full operation of the Premises legal.

 16
 

 

(vii)              upon completion of the Work and payment in full
therefor, any unexpended Proceeds, at the sole option of Lender, shall either
be paid over to Borrower or shall be applied to the reduction of the
Indebtedness.

(i)       Upon
any failure on the part of Borrower to promptly commence the Work or to proceed
diligently and continuously to completion of the Work or upon any Event of
Default, Lender, at its sole option, shall be entitled to apply at any time all
or any portion of insurance Proceeds it then holds to the Indebtedness or to
curing any Event of Default under the Note, this Deed of Trust or any other
Loan Document.

(j)       Notwithstanding any other provision of this Section 2.04, if no Event of
Default shall exist and be continuing (nor any matter has occurred which, after
notice or passage of time or both, would constitute an Event of Default) and in
Lender’s reasonable judgment the cost of the Work is less than 1% of the
outstanding principal balance of the Note as of the date of loss or damage to
the Premises and/or Equipment and the Work can be completed in less than 90
days, then Lender shall, upon request by Borrower, permit Borrower to apply for
and receive the insurance Proceeds directly from the insurer (and Lender shall
advise the insurer to pay over such Proceeds directly to Borrower), provided
that Borrower shall apply such insurance Proceeds solely to the prompt and
diligent commencement and completion of such Work.

Section 2.05.          Condemnation. Borrower shall
notify Lender immediately of the actual or threatened commencement of any
proceedings for the condemnation or taking of the Premises or any portion
thereof and shall deliver to Lender copies of any and all papers served in
connection with such proceedings. Lender may participate in such proceedings
and Borrower shall deliver to Lender all instruments requested by Lender to
permit such participation. Lender is hereby irrevocably appointed as Borrower’s
attorney-in-fact, coupled with an interest, with exclusive power to collect,
receive and retain the Proceeds of any such condemnation and to make any
compromise or settlement in connection with such proceedings, subject to the
provisions of this Deed of Trust. Borrower shall not adjust, compromise, settle
or enter into any agreement with respect to such proceedings without the prior
consent of Lender. All Proceeds of any condemnation, or purchase in lieu
thereof, of the Premises or any portion thereof are hereby assigned to and
shall be paid to Lender. Borrower hereby authorizes Lender to collect and
receive such Proceeds, to give proper receipts and acquittances therefor and,
in Lender’s sole discretion, to apply such Proceeds (less any cost to Lender of
recovering and paying out such Proceeds, including reasonable attorneys’ fees,
costs and expenses allocable to inspecting any repair, restoration or
rebuilding work and the plans and specifications therefor) toward the payment
of the Indebtedness or to the repair, restoration or rebuilding of the Premises
in the manner and subject to the conditions set forth in Section 2.04(h). If
the Proceeds are used to reduce the Indebtedness, they shall be applied in the
order provided in Section 2.04(d), without any prepayment fee. Borrower shall
promptly execute and deliver all instruments requested by Lender for the
purpose of confirming the assignment of the condemnation Proceeds to Lender.

Section
2.06.          Impositions.

(a)      Borrower shall pay and discharge all Impositions prior to delinquency
and shall furnish to Lender validated receipts or other evidence satisfactory
to Lender showing the payment of such Impositions within 15 days after the same
would otherwise have become

 17
 

 

delinquent. Borrower’s obligation to pay Impositions
pursuant to this Deed of Trust shall include, to the extent permitted by
applicable law, taxes resulting from future changes in law which impose upon
Trustee or Lender an obligation to pay any property taxes or other Impositions
or which otherwise adversely affect Trustee’s or Lender’s interests. Should
Borrower default in the payment of any Impositions, Lender may (but shall not
be obligated to) pay such Impositions or any portion thereof and Borrower shall
reimburse Lender on demand for all such Advances.

(b)      Borrower shall not be required to pay, discharge or remove any
Imposition so long as Borrower contests in good faith such Imposition or the
validity, applicability or amount thereof by an appropriate legal proceeding
which operates to prevent the collection of such amounts and the sale of the
Mortgaged Property or any portion thereof; provided, however,
that such contest will not result in a tax certificate or other sale of the tax
lien and prior to the date on which such Imposition would otherwise have become
delinquent Borrower shall have: (i) given Lender prior notice of such contest;
and (ii) deposited with Lender, and shall deposit such additional amounts as
are necessary to keep on deposit at all times, an amount equal to at least 110%
of the total of: (A) the balance of such Imposition then remaining unpaid; and
(B) all interest, penalties, costs and charges accrued or accumulated thereon.
Any such contest shall be prosecuted with due diligence, and Borrower shall
promptly pay the amount of such Imposition as finally determined, together with
all interest, penalties, costs and charges payable in connection therewith.
Lender shall have full power and authority to apply any amount deposited with
Lender under this Section 2.06(b) to the payment of any unpaid Imposition to
prevent the sale of any tax lien or the sale or forfeiture of the Mortgaged
Property for non-payment thereof. Lender shall have no liability, however, for
failure to so apply any amount deposited unless Borrower requests the
application of such amount to the payment of the particular Imposition for
which such amount was deposited. Any surplus retained by Lender after payment
of the Imposition for which a deposit was made shall be repaid to Borrower
unless an Event of Default shall have occurred under the provisions of this
Deed of Trust, in which case said surplus may be retained by Lender to be
applied to the Indebtedness. Notwithstanding any provision of this Section
2.06(b) to the contrary, Borrower shall pay any Imposition which it might
otherwise be entitled to contest if, in the reasonable opinion of Lender,
failure to pay will result in a tax certificate or other sale of the tax lien
or the Mortgaged Property is in jeopardy or in danger of being forfeited or
foreclosed. If Borrower refuses to pay any such Imposition, Lender may (but
shall not be obligated to) make such payment and Borrower shall reimburse
Lender on demand for all such Advances. Additionally, in such event, if Lender
is prevented by law or judicial or administrative order from paying such
Imposition, then Lender, at its option, may declare the entire Indebtedness
immediately due and payable.

Section
2.07.          Deposits. Borrower
shall deposit with Lender, monthly, on the due date of each monthly installment under the Note, l/12th of
the annual charges (as estimated by Lender) for Impositions, and, if required
by Lender, l/12th of the annual charges for rent (if Borrower is lessee of an
interest in the Mortgaged Property) and insurance premiums with respect to the
Mortgaged Property. If required by Lender, Borrower shall also deposit with
Lender, simultaneously with such monthly deposits and/or the execution of this
Deed of Trust, a sum of money which together with such monthly deposits will be
sufficient to make the payment of each such charge at least 30 days prior to
the date initially due. Should such charges not be ascertainable at the time
any deposit is required to be made, the deposit shall be made on the basis of
the charges for the prior year or payment period, as reasonably estimated by
Lender.

 18
 

 

When the charges are fixed for the then current year
or period, Borrower shall deposit any deficiency on demand. All funds deposited
with Lender shall be held without interest (unless the payment of interest thereon
is required under applicable law), may be commingled with Lender’s other funds,
and shall be applied in payment of the foregoing charges when and as payable
provided that no Event of Default shall have occurred which had not been cured
to Lender’s satisfaction as evidenced by a prior written agreement from Lender
acknowledging Lender’s acceptance of said cure. Should an Event of Default
occur (unless said Event of Default had been cured and Lender had previously
agreed, in writing as aforesaid, to accept said cure), the funds so deposited
may be applied in payment of the charges for which such funds shall have been
deposited or to the payment of the Indebtedness or any other charges affecting
the Mortgaged Property, as Lender in its sole discretion may determine, but no
such application shall be deemed to have been made by operation of law or
otherwise until actually made by Lender as herein provided. Borrower shall
furnish Lender with bills and all other documents necessary for the payment of
the foregoing charges at least ten (10) days prior to the date on which each
payment thereof shall first become due.

Section 2.08.          Mortgage Taxes. Borrower shall
pay any and all taxes, charges, filing, registration and recording fees, excises and levies imposed
upon Lender by reason of its ownership of, or measured by amounts payable
under, the Note, this Deed of Trust or any other Loan Document (other than
income, franchise and doing business taxes), and shall pay all stamp taxes and
other taxes required to be paid on the Note, this Deed of Trust or the other
Loan Documents. If Borrower fails to make such payment within five days after
notice thereof from Lender, Lender may (but shall not be obligated to) pay the
amount due, and Borrower shall reimburse Lender on demand for all such
Advances. If applicable law prohibits Borrower from paying such taxes, charges,
filing, registration and recording fees, excises, levies, stamp taxes or other
taxes, then Lender may declare the Indebtedness then unpaid to be immediately due
and payable. In such event, no Prepayment Fee shall be charged.

Section 2.09.          Organization and Authority.

(a)      The
execution and delivery of the Note, this Deed of Trust and the other Loan
Documents have been duly authorized and there is no provision in Borrower’s
organizational documents, as amended, requiring further consent for such action
by any other Person.

(b)      Borrower
is duly organized, validly existing and in good standing under the laws of the
state of its formation.

(c)      Borrower
has all necessary franchises, licenses, authorizations, registrations, permits
and approvals and full power and authority to own and operate its properties,
including the Mortgaged Property, and carry on its business as now conducted in
each jurisdiction where Borrower conducts its business.

(d)      The
execution and delivery of and performance of its obligations under the Loan
Documents: (i) will not result in Borrower being in default under any provision
of its organizational documents, as amended, any court order, or any mortgage,
deed of trust or other agreement to which it is a party; and (ii) do not
require the consent of or any filing with any governmental authority.

 19

 

(e)      All necessary and required
actions have been duly taken by and on behalf of Borrower to make and
constitute the Loan Documents, and the Loan Documents constitute, legal, valid
and binding obligations enforceable against Borrower in accordance with their
respective terms, subject only to the application of bankruptcy and other laws
affecting the rights of creditors generally.

Section 2.10.          Maintenance
of Existence. So long as it owns the Mortgaged Property, Borrower shall do
all things necessary to
preserve and keep in full force and effect its existence, franchises, licenses,
authorizations, registrations, permits and approvals under the laws of the
state of its formation and the State, and shall comply with all regulations,
rules, ordinances, statutes, orders and decrees of any governmental authority
or court now or hereafter applicable to Borrower or to the Mortgaged Property
or any portion thereof.

Section 2.11.          Payment
of Liens. Borrower shall pay when due all payments and charges due under or
in connection with any
liens and encumbrances on and security interests in the Mortgaged Property or
any portion thereof, all rents and charges under any ground leases and other
leases forming a part of the Mortgaged Property, and all claims and demands of
mechanics, materialmen, laborers and others which, if unpaid, might result in
or permit the creation of a lien on the Mortgaged Property or any portion
thereof (provided that if Lender in its reasonable opinion does not believe at
any time that the Mortgaged Property is in jeopardy or in danger of being
forfeited or foreclosed, Borrower shall have the right to contest, bond over,
and/or insure the same in accordance with provisions for contesting Impositions
under Section 2.06(b) hereof), and shall cause the prompt (but in no event
later than thirty (30) days after imposition), full and unconditional discharge
of all liens imposed on or against the Mortgaged Property or any portion
thereof (except to the extent contested, bonded or insured as herein above
permitted). Borrower shall do or cause to be done, at the sole cost of
Borrower, everything necessary to fully preserve the initial priority of the
lien of this Deed of Trust. If Borrower fails to make any such payment or if a
lien attaches to the Mortgaged Property or any portion thereof and is not
discharged within said thirty (30) days or bonded or insured over as herein
above permitted, Lender may (but shall not be obligated to) make such payment
or discharge such lien and Borrower shall reimburse Lender on demand for all
such Advances.

Section 2.12.          Costs of
Defending and Upholding the Lien. Lender and, to the extent authorized by
Lender, Trustee may,
after notice to Borrower: (a) appear in and defend any action or proceeding, in
the name and on behalf of either Lender or Borrower, in which Trustee or Lender
is named or which Lender in its sole discretion determines may adversely affect
the Mortgaged Property, this Deed of Trust, the lien hereof or any other Loan
Document; and (b) institute any action or proceeding which Lender in its sole
discretion determines should be instituted to protect the interest or rights of
Trustee or Lender in the Mortgaged Property or its rights under this Deed of
Trust or any other Loan Document, including foreclosure proceedings. Borrower
agrees to bear and shall pay or reimburse Trustee and Lender on demand for all
Advances and expenses (including reasonable attorneys’ fees, costs and
expenses) relating to or incurred by Lender in connection with any such action
or proceeding.

Section 2.13.          Costs of
Enforcement. Borrower agrees to bear and shall pay or reimburse Trustee and
Lender on demand for all
Advances and expenses (including reasonable attorneys’ and appraisers’ fees,
costs and expenses and the expenses and reasonable fees of any receiver or

 20
 

 

similar official) of or incidental to the collection
of the Indebtedness, any foreclosure of this Deed of Trust or any other Loan
Document, any enforcement, compromise or settlement of this Deed of Trust, any
other Loan Document or the Indebtedness, or any defense or assertion of the
rights or claims of Trustee or Lender in respect of any thereof, by litigation
or otherwise.

Section 2.14.          Interest
on Advances and Expenses. All Advances made and any reasonable expenses
incurred at any time by
Trustee or Lender pursuant to the provisions of this Deed of Trust or the other
Loan Documents or under applicable law shall be secured by this Deed of Trust
as part of the Indebtedness, with equal rank and priority. All such Advances
and expenses shall bear interest at the Default Rate from the date that each
such Advance or expenses is made or incurred to the date of repayment and all
such Advances and expenses with interest thereon shall be payable to Lender on
demand unless another date for repayment of such Advance is provided in this
Deed of Trust.

Section 2.15.          Indemnification. Borrower shall indemnify, defend
and hold Trustee and Lender and their respective directors, officers, employees
and agents            
from and against and reimburse them for all Losses which may be imposed upon,
asserted against, or incurred or paid by any of them: (a) by reason of, on
account of or in connection with any act or occurrence relating to the
Mortgaged Property or any bodily injury, death, other personal injury or
property damage occurring in, upon or in the vicinity of the Premises from any
cause whatsoever except to the extent caused by the gross negligence or willful
misconduct of Trustee, Lender or their respective successors or assigns; (b) as
a result of the failure of Borrower to perform any of its obligations under any
of the Loan Documents; or (c) on account of any transaction otherwise arising
out of or in any way connected with the Mortgaged Property, this Deed of Trust
or the Indebtedness except to the extent caused by the gross negligence or
willful misconduct of Trustee, Lender or their respective successors or
assigns.

Section 2.16.          Financial
Statements; Records. Borrower shall keep adequate books and records of
account in accordance
with generally accepted accounting principles as adjusted for real estate (“GAAP”),
or in accordance with other methods acceptable to Lender in its sole
discretion, consistently applied, and shall furnish to Lender in both hard copy
and in electronic format via e-mail to addresses specified by Lender, within
the time periods set forth:

(a)      A current
certified rent roll, signed and dated by Borrower, detailing for each of the
Leases, the names of all tenants of the Premises, the portion of the Premises
occupied by each tenant, the annual rental, including base rent, additional
rent and percentage rent, and any other charges payable and the term of each of
the Leases, including the expiration date, and any other information as is
reasonably required by Lender, within 105 days after the end of each Fiscal
Year of Borrower;

(b)      An annual
operating statement of the Premises detailing the total revenues received,
total expenses incurred, total cost of all capital improvements, total debt
service and total cash flow, to be prepared and certified by Borrower in the
form approved by Lender, within 105 days after the close of each Fiscal Year of
Borrower; provided, however, if audited statements of the aforesaid are
available, then Borrower shall deliver same to Lender promptly upon receipt
thereof;

 21
 

 

(c)      An annual
balance sheet and profit and loss statement of Borrower, the Principals (except
for IFC, Inc.), Dana Credit, Rebnec Ten, Inc. and Dandorr, LLC, in a form
approved by Lender, prepared and certified by Borrower, the Principals, or Dana
Credit, as to the applicable statement. All statements shall be delivered to
Lender within 105 days after the close of each Fiscal Year of Borrower,
Principal (except for IFC, Inc.), Dana Credit, Rebnec Ten, Inc. or Dandorr,
LLC, as the case may be; provided, however, if audited statements of the
aforesaid are available, then Borrower shall deliver same to Lender promptly
upon receipt thereof;

(d)      An annual
operating and capital budget and management plan presented on a monthly basis
consistent with the annual operating statement described above for the
Premises, including cash flow projections for the upcoming year, and all
proposed capital replacements and improvements by November 30 of each Fiscal
Year;

(e)      An annual
statement from Borrower and Dana Credit, in a form approved by Lender,
certifying: (i) the name of those Persons with a direct ownership interest in
Borrower; and (ii) that neither Borrower nor those Persons with a direct
ownership interest in Borrower have obtained any financing prohibited by this
Deed of Trust and the other Loan Documents, signed and dated by Borrower and
said Persons with a direct ownership interest in Borrower, within 105 days
after the close of each Fiscal Year of Borrower and from time to time as Lender
may reasonably request.

(f)       A copy of
Borrower’s and Principals’ federal tax return(s) as and when filed with the
Internal Revenue Service; and,

(g)      Quarterly (for
the prior fiscal quarter) and year-to-date (through the prior month) profit and
loss statements of Borrower, a budget comparison, a rent roll for office,
apartment, retail operating leases and health club tenants (containing the
information provided in (a) above), occupancy/ADR (for the hotel operations on
the Premises), and the Smith Travel Report (relative to competitive hotel
operations) for the prior fiscal quarter, all in a form approved by Lender and
formatted so as to show both consolidated and segregated operations of the
Mortgaged Property, including all components necessary to calculate Net Operating
Income, within thirty (30) days after the end of each fiscal quarter.

(h)      Upon request
from Lender, the following:

(i)                        an
accounting of all security deposits held in connection with any of the Leases,
including the name and identification number of the accounts in which such
security deposits are held, the name and address of the financial institutions
in which such security deposits are held and the name of the person to contact
at such financial institution, along with any authority or release from Borrower
to obtain information regarding such accounts directly from such financial
institutions;

(ii)                     such
other financial or management information as may, from time to time, be
reasonably required by Lender and in form and substance reasonably satisfactory
to Lender; and

 22
 

 

(iii)                  Borrower’s books and records
regarding the Premises for examination, review, copying and audit by Lender or
its auditors during normal business hours upon one (1) Business Days advance
notice and convenient facilities for such examination review, copying and audit
of Borrower’s books and records of account.

(i)       Borrower
hereby appoints Lender its attorney in fact for the purpose of hiring at
Borrower’s cost an auditing firm to prepare and deliver to Lender any overdue
rent roll, operating statement or balance sheet and profit and loss statement
in the event Borrower fails or refuses to furnish to Lender those financial
reports as and when due. Borrower agrees to make any and all of Borrower’s
books and records available to such auditing firm. The costs and expenses of
the auditor shall be due and payable to Lender upon demand and shall constitute
a part of the Indebtedness.

Section 2.17.          Prohibition
Against Conveyances, Encumbrances and Borrowing.

A.      Except with
the prior consent of Lender and as otherwise provided in Sections 2.17(C) and
2.17(D) hereof, neither Borrower nor any Person shall convey, assign, sell,
mortgage, encumber, pledge, hypothecate, grant a security interest in, grant
options with respect to, or otherwise dispose of (directly or indirectly,
voluntarily or involuntarily, by operation of law or otherwise, and whether or
not for consideration or of record) all or any portion of any legal or
beneficial interest in: (a) all or any portion of the Mortgaged Property including
the Leases; or (b) all or any ownership interest in Borrower or in any Upstream
Owner. In furtherance of the foregoing, subordinate liens (voluntary or
involuntary) secured by any portion of the Mortgaged Property, or any
beneficial interest in the Mortgaged Property and any mezzanine or any other
financing, secured by any ownership interest in Borrower or in any Upstream
Owner, shall not be permitted except with the prior consent of Lender and as
provided in Section 2.17(C) and 2.17(D) hereof. Without limiting Lender’s right
to withhold its consent to any transfer or encumbrance not otherwise permitted
below, any transfer or encumbrance (even those permitted below) must be to or
with a United States citizen or an entity owned or controlled by United States
citizens which is not an OFAC Prohibited Person. Additionally, without limiting
the generality of the foregoing, until the Loan has been paid in full, Dana
Credit shall remain a wholly-owned subsidiary of Dana Corporation. All requests
for Lender’s consent under this Section 2.17 shall be on a form previously
approved by Lender and shall be accompanied by the payment of Lender’s standard
processing fee for such transactions then in effect. Lender’s consent to any of
the foregoing actions, if given (in Lender’s sole discretion), may be
conditioned upon a change in the interest rate, maturity date, amortization
period or other terms under the Note, the payment of a transfer fee and/or any
other requirements of Lender. In addition to the standard processing fee and
the transfer fee referred to in this Section 2.17, Borrower agrees to bear and
shall pay or reimburse Lender on demand for all reasonable expenses (including
reasonable attorneys’ fees, costs and expenses, title search costs, and title
insurance endorsement premiums) incurred by Lender in connection with the
review, approval and documentation of any such transaction. The foregoing
prohibitions are not intended to prevent the Principals or Upstream Owners from
obtaining personal loans unrelated to Borrower and the Mortgaged Property and
are also not intended to prevent Borrower from incurring reasonable and
customary trade payables and unsecured operational debt incurred with trade
creditors in the ordinary course of its business of owning and operating the
Mortgaged Property in such amounts as

 23
 

 

are normal and reasonable under the circumstances that
will be satisfied within 60 days of incurrence, provided that such debt is not
evidenced by a note and is paid when due.

(B)     Notwithstanding the
prohibitions of Section 2.17(A), as long as there has not been a Partial
Release and Note B has been (or shall be concurrently with a transfer permitted
by this Section 2.17(B)) repaid in full (together with any Breakage Fee due in
connection with said prepayment), Lender will permit a one-time transfer of
title to the Mortgaged Property without modification of the terms of the Loan,
which shall be personal to the Borrower named on page one of this Deed of Trust
and shall not apply to any successor, assignee or transferee of Borrower, and
shall be subject, however, to satisfaction of each and every one of the
following conditions:

1.                         At
least thirty (30) days prior to such transfer, Borrower shall have provided
Lender with written notice of the proposed transfer together with an
administrative processing fee in the amount of $10,000 (the “Processing Fee”)
along with the name(s), address(es) and organizational documents of the
proposed transferee and principals, affiliates and parents or other majority
owners, as applicable, of the proposed transferee. Upon receipt, the Processing
Fee shall be deemed earned, whether or not Borrower completes the proposed
transfer and whether or not the proposed transfer is actually approved by
Lender. A separate Processing Fee shall be required for each transfer
requested. Additionally, Borrower shall furnish to Lender along with such
notice the following: (i) detailed and complete financial statements of the
proposed transferee and principals, affiliates and parents or other majority owners,
as applicable, of the proposed transferee, (ii) information with respect to the
business and business experience of the proposed transferee and its principals,
affiliates and parents or other majority owners, as applicable, and their
experience in the ownership and operation of properties similar to the
Mortgaged Property and other commercial real estate, (iii) evidence that the
Mortgaged Property as of the proposed date of transfer of title and thereafter
will be managed by a management company and under a management agreement
meeting the requirements of subparagraph 4 below, (iv) the terms and conditions
of the proposed sale and a copy of the executed purchase and sales agreement,
(v) a description, including a chart, if appropriate, of the ownership structure
of the proposed transferee and each of its principals, affiliates and parent or
other majority owners, as applicable, (vi) the management plan for the
Mortgaged Property, (vii) the status of the proposed transferee, and if the
proposed transferee is a special purpose entity, of its principals, parent or
other majority owners, as a “Qualified Real Estate Investor” as defined below
and (viii) such other information as Lender may request to permit it to
determine the creditworthiness and management abilities of the proposed
transferee and its principals, affiliates and parent or other majority owners,
as applicable.

2.                         The
Loan must be current in all respects and there may not be an Event of Default,
or an event with which the giving of notice or the passage of time or both
would constitute an Event of Default, either as of the date of the notice given
Lender under subparagraph 1 above or thereafter through the date of transfer of
title to the Mortgaged Property.

 24
 

 

3.                         The
proposed transferee, or, if the proposed transferee is a special single purpose
entity, each of its principals, parent or other majority owners, as applicable,
shall be a “Qualified Real Estate Investor” as defined below.

4.                         The
Mortgaged Property as of the date of transfer and thereafter must be managed by
a management company approved by Lender under a written management agreement in
form and substance satisfactory to Lender.

5.                         The
proposed transferee shall expressly assume Borrower’s obligations under the
Loan under documents in form and substance satisfactory to Lender, subject to
the non-recourse provisions of the Loan Documents existing as of the date of
the closing of the sale of the Mortgaged Property. Additionally, at the time of
the assumption of the Loan, the proposed transferee shall furnish to Lender an
environmental indemnity in form and substance satisfactory to Lender (which
form may be different from any form executed by Borrower (and/or other
indemnitors) as a result of Lender’s updating its standard form of environmental
indemnity or as a result of specific environmental conditions at the Mortgaged
Property) and a non-recourse carveout guaranty in form and substance
satisfactory to Lender, each from a financially responsible person or entity
approved by Lender. Borrower and the proposed transferee and such other
entities or persons as Lender shall require shall also deliver and, if
applicable, execute (i) evidence of authority and entity existence, (ii)
Uniform Commercial Code searches, (iii) Uniform Commercial Code financing
statements, (iv) an endorsement to Lender’s title policy updating the effective
date to the date of transfer, showing the transferee as the owner of the
Mortgaged Property, showing no additional title exceptions, except as shall be
approved by Lender in its sole and absolute discretion and otherwise in form
and substance acceptable to Lender, (v) opinions of counsel acceptable to
Lender on such matters as Lender shall reasonably require, (vi) evidence of
fire and extended coverage insurance and such other insurance, including,
without limitation, terrorism insurance, as shall be required by the Loan
Documents and (vii) such other documents as Lender shall require in order to
effectuate the transaction as contemplated by this Section 2.17(B). At the closing
of any approved transfer, the proposed transferee shall deposit with Lender
sufficient funds to pay when due all real estate taxes, assessments and
municipal charges, and insurance premiums, and to pay any ground rents. In
addition, the Lender may require the proposed transferee to establish with
Lender at the time of closing of any approved transfer a reserve for future
tenant improvements, leasing commissions and/or capital, fixtures, furniture or
equipment improvements. To the extent the Loan Documents require any other
reserves or deposits the same shall be established by the proposed transferee
prior to the date of closing of the proposed transfer. The foregoing
requirement for deposits and reserves shall be required notwithstanding that
any of the foregoing shall have been waived by Lender with respect to Borrower
either in this Deed of Trust, the Loan Documents or in any side letter or
agreement executed by Lender.

6.                         At
the closing of any approved transfer, Borrower shall pay to Lender a fee in the
amount of one percent (1%) of the then outstanding balance of the Loan in cash
or

 25
 

 

certified funds (the “Transfer Fee”); provided,
however, if James L. Smith has an ownership interest in and controls the
proposed transferee, the Transfer Fee shall be reduced to one-half percent
(1/2%) of the then outstanding balance of the Loan. The Transfer Fee is being
paid in order to induce Lender to allow the proposed transferee to assume the
obligations of the Borrower under the Loan Documents and to release Borrower
from liability thereunder for Borrower’s obligations, acts and omissions from
and after the date of transfer in accordance with these provisions, provided,
however, in no event shall the Borrower be released from any liability for acts
or omissions prior to the date of the transfer, including without limitation,
acts or omissions leading to environmental contamination, whether known or
unknown.

7.                         The
Debt Service Coverage Ratio (calculated (i) as of the last day of the month
which is two months prior to the month of the anticipated date of such transfer
of the Mortgaged Property and (ii) with the assumption that Note B has been
repaid in full) shall be not less than 1.75.

8.                         The
Loan-to-Value Ratio (calculated with the assumption that Note B has been repaid
in full) shall be not more than sixty five percent (65%).

9.                         The
proposed transfer shall not cause a violation of any federal, state or local
law, statute, rule, regulation or order governing the Mortgaged Property,
Borrower or the proposed transferee or any of its principals, parent, or other
owners.

10.                   The
proposed transferee shall not cause any breach or violation of any of the terms
or provisions of Section 2.25 of this Deed of Trust.

11.                   Borrower
shall pay all of Lender’s costs and expenses incurred in connection with the
proposed transfer of the Mortgaged Property whether or not the transfer
actually occurs including, without limitations, attorneys fees, recording and
filing charges, title charges and any endorsement to Lender’s title policy.

Lender will not review or process Borrower’s request
for approval of a proposed transfer of the Mortgaged Property pursuant to this
Section 2.17(B) until such time as Lender has received all of the items,
including the Processing Fee, required to be delivered to Lender pursuant to
this Section 2.17(B).

For purposes of this Section 2.17(B), “Qualified Real
Estate Investor” shall mean any reputable entity which is domiciled in the U.S.
with principals who are U.S. citizens and which is reasonably determined by Lender
to have satisfied all of the following conditions: (1) the proposed transferee
has the qualifications, experience and creditworthiness at least equal to that
of Dana Credit on the date of closing of the Loan or the proposed transferee
has (a) net worth of not less than $250,000,000, and (b) liquid assets of not
less than $20,000,000, and (2) neither the proposed transferee nor any
principal, affiliate, parent or other majority owner of the proposed
transferee, as of the date for the closing of the transfer of title to the
Mortgaged Property or at any time prior thereto, is or has been (i) in default

 26
 

 

on any indebtedness or loan from Lender or any
affiliate of Lender, (ii) involved as a debtor or as the principal of a debtor
in any bankruptcy, reorganization or insolvency proceeding, (iii) the subject
of any criminal charges or proceedings, (iv) involved in litigation which is
deemed significant by Lender acting reasonably, or (v) listed on, included
within or associated with any of the persons or entities referred to in
Executive Order 13324 - Blocking Property and Prohibiting Transactions with
Persons Who Commit, Threaten to Commit, or Support Terrorism, as amended by the
United States Department of the Treasury, Office of Foreign Assets Control
through the date the determination of Qualified Real Estate Investor is made or
otherwise not in compliance with the Anti-Money Laundering Laws. All of the
foregoing conditions must be satisfied as of the date of the request for
approval of transfer of title to the Mortgaged Property and on the date of the
proposed closing of the transfer.

(C)     Notwithstanding the
prohibitions of Section 2.17(A), Borrower shall be entitled to cause Permitted
Transfers to occur without Lender’s consent provided that each of the following
conditions are satisfied:

1.                         At
least ten (10) days prior to such transfer Borrower delivers to Lender written
notice of the transfer, along with the name(s), address(es) and organization
documents of the transferee(s) and any amended organizational documents of
Borrower.

2.                         The
payments due under the Loan Documents must be current in all respects and no
other event shall have occurred as of the date of the transfer, which, after
notice or passage of time or both, would constitute an Event of Default.

3.                         Within
thirty (30) days after the transfer, Borrower delivers to Lender a written
certification, in favor of Lender, that the transfer satisfies the requirements
provided for in the definition of Permitted Transfers provided in this Deed of
Trust.

4.                         Other
than with respect to transfers of ownership interest in Dana Corporation (the
number of transfers of which shall not be limited), there has been no more than
one (1) other prior Permitted Transfer. (Only two (2) Permitted Transfers
(exclusive of any transfers of Dana Corporation) shall be allowed by Lender
during the term of the Loan.)

5.                         Throughout
the term of the Loan, Dana Credit remains a wholly owned subsidiary of Dana
Corporation and Dana Credit remains liable under the Debt Service Paydown
Amount Guaranty, Environmental Indemnification Agreement and Recourse Guaranty
Agreement, each of even date herewith (said three (3) documents are
collectively referred to herein as “Guaranties”).

6.                         After
giving effect to such transfer Borrower shall have substantially the same
financial strength and reputation as Borrower had prior to such transfer, as
determined by Lender in its reasonable discretion.

 27
 

 

7.                         Borrower
pays to Lender all of Lender’s reasonable out-of-pocket costs and expenses
incurred by Lender relative to its review of the documents referenced in (1)
above, its determination that the other requirements hereinabove have been
satisfied and servicing fees incurred by Lender for data system changes to
Borrower information.

(D)     Notwithstanding the provisions
of Section 2.17(A) to the contrary, the Permitted Subordinated Financing shall
be permitted provided that on or prior to the funding of the Loan the
Subordinated Lender executes and delivers to Lender a subordination and
intercreditor agreement in form and content acceptable to Lender.

Section 2.18. Estoppel
Certificates. Within 10 Business Days of a request by Lender, Borrower
shall furnish to Lender
a duly acknowledged written statement confirming: (a) the original principal
amount of the Note; (b) the unpaid principal amount of the Note; (c) the rate
of interest of the Note; (d) the terms of payment and maturity date of the
Note; (e) the date installments of interest and/or principal were last paid;
(f) that, except as provided in detail in such statement, there are no offsets
or defenses against the Indebtedness or defaults or events which with the
passage of time or the giving of notice, or both, would constitute an Event of
Default under the Note, this Deed of Trust or the other Loan Documents; and (g)
such other information that Lender shall reasonably request. Borrower shall
also furnish to Lender within 30 days of its request therefor tenant estoppel
letters from non-residential tenants of the Premises as Lender may require, but
such requests as to any one tenant shall not be made more often than once in a
calendar year period.

Section 2.19. Assignment
of Leases and Property Income.

(a)      Borrower hereby absolutely,
presently, unconditionally and irrevocably assigns, transfers and sets over to
Lender all of the right, title and interest of Borrower in and to the Leases
and the Property Income. Except in connection with the Permitted Subordinated
Financing, Borrower shall not otherwise assign, transfer or encumber in any
manner the Leases or the Property Income or any portion thereof. Borrower shall
have a license, revocable by Lender, to collect and use the Property Income as
the same becomes due and payable so long as no Event of Default has occurred
which had not been cured to Lender’s satisfaction as evidenced by a prior
written agreement from Lender acknowledging Lender’s acceptance of said cure,
but may not collect any Property Income more than 30 days in advance of the
date the same becomes due. The assignment in this Section 2.19 shall constitute
an absolute, irrevocable and present assignment of the Leases and the Property
Income, and not an additional assignment for security, and the existence or
exercise of Borrower’s revocable license to collect Property Income shall not
operate to subordinate this assignment to any subsequent assignment. The
exercise by Lender of any of its rights or remedies under this Section 2.19
shall not be deemed or construed to make Lender: (i) a mortgagee-in-possession;
(ii) responsible for the payment of any taxes or assessments with respect to
the Premises; (iii) liable to perform any obligation of the lessor under any
Lease(s) or under applicable law; (iv) liable to any person for any dangerous
or defective condition in the Premises or for any negligence in the management,
upkeep, repair, or control of the Premises resulting in loss or injury or death
to any Person; or (v) be liable in any manner for the remediation of any
environmental impairment.

 28

 

(b)      Except as permitted by
Section 2.19(d) and other than residential Leases relating to residential
multifamily property, all Leases and amendments, modifications and renewals of
existing Leases, shall be subject to the prior review and approval of Lender
and its counsel, at Borrower’s expense. Except as otherwise consented to by
Lender, all Leases shall be written on the standard form of lease, which shall
have been approved by Lender. No material changes may be made to the
Lender-approved standard lease form without the prior consent of Lender. All
Leases shall be at rental rates and on terms comparable to existing local
market rates and terms and shall be arms-length transactions with bona fide,
independent third party tenants. All Leases shall provide that they are
subordinate to this Deed of Trust and that the lessee agrees to attorn to
Lender. Borrower shall furnish Lender with executed copies of all Leases,
amendments, modifications and renewals of existing Leases within 20 days after
execution thereof.

(c)      Borrower
shall perform all obligations as lessor under all Leases and shall enforce all
of the terms, covenants and conditions therein contained upon the part of the
lessee to be performed or observed, short of termination thereof. Additionally,
Borrower shall not take any action which would cause any Lease to cease to be
in full force and effect. Except with the prior consent of Lender or as
permitted by Section 2.19(d) and 2.19(e) hereof, Borrower shall not: (i)
cancel, terminate (with the exception of a residential Lease relating to a
multifamily property carried out in the manner of a prudent landlord in the
ordinary course of business), surrender, sublet or assign any Lease or consent
to any cancellation, termination (with the exception of a residential Lease
relating to a multifamily property carried out in the manner of a prudent
landlord in the ordinary course of business), surrender, subletting or
assignment thereof; (ii) subordinate any Lease to any mortgage, deed of trust
or other security interest that is subordinate to this Deed of Trust; (iii)
enter into any new Lease or amend, modify or renew any existing Lease (except
as permitted in Section 2.19(d)); (iv) waive any default under or breach of any
Lease; (v) consent to or accept any prepayment or discount of rent or advance
rent under any Lease; (vi) take any other action in connection with any Lease
which may impair or jeopardize the validity of such Lease or Lender’s interest
therein; or (vii) alter, modify or change the terms of any guaranty, letter of
credit or other credit support with respect to any of the Leases or cancel or
terminate such guaranty, letter of credit or other credit support without the
prior consent of Lender.

(d)      Notwithstanding
Section 2.19(b), Lender’s prior consent shall not be required for entering into
any new Lease or renewing, amending or modifying any existing Lease covering
3,000 square feet of net rentable area or less (after taking into account such
amendment or modification), or a residential Lease relating to a residential
multifamily property, provided that: (i) the Lease utilized is on a standard
form previously approved by Lender, without material modification; (ii) the
Lease (including any amendments or modifications) represents an arm’s- length
transaction with a bona fide, independent third party tenant and provides for
rental rates and terms comparable to existing local market rates and terms;
(iii) neither the Lease (including any amendments or modifications) nor the
activity of the tenant will violate any provision of any other Lease or
restriction or covenant affecting the Premises or this Deed of Trust or any
other Loan Document, including Section 2.20(b); (iv) the Lease contains no
purchase options; (v) the Lease contains no rights of first refusal, no rights
to lease other space, or expansion rights, so that the total space would exceed
3,000 net rentable square feet. Except for residential Leases relating to a
multifamily property, notice and copies of which shall be furnished only upon
request, Borrower shall give Lender notice of any Lease, renewal, amendment or
modification

 29
 

 

thereof described in this Section 2.19(d), together
with a fully executed and complete copy of such Lease, renewal, amendment or
modification not later than 10 days after the execution thereof. In determining
under this subsection (d) whether a Lease is for more than 3,000 square feet of
net rentable area of the Premises, all space leased to any one tenant (whether
pursuant to one or more Lease) shall be aggregated. If Lender and its loan
servicer, Babson Capital Management LLC (Babson Capital Management LLC or any
successor servicer thereof, the “Servicer”), both fail to respond to a request
to approve or disapprove any proposed Lease (including any Lease modifications,
amendments and extensions) within ten (10) Business Days following Borrower’s
delivery to Lender and the Servicer, in accordance with the notice requirements
set forth in this Deed of Trust, of (i) a true, correct and complete copy of
any proposed final Lease (or Lease amendment, modification or extension, as the
case may be), (ii) a blacklined copy of the final lease showing differences
from the standard lease form previously approved by Lender, (iii) a lease
summary letter describing in reasonable detail all of the material terms of the
lease, (iv) a written description of all financial and operational information
relating to the proposed tenant, including a description of tenant’s business,
industry, operations and owners, (v) income statements, balance sheets and cash
flow statements for the tenant for the last 2 years, (vi) a credit report for
the tenant (if available) and (vii) a written request delivered to Lender
requesting its approval of such Lease (or Lease amendment, modification or
extension, as the case may be), then Lender shall be deemed to have approved of
such Lease, or Lease amendment, modification or extension, as the case may be.

(e)      Notwithstanding
anything in Section 2.19 to the contrary, Borrower may terminate any Lease
without Lender’s prior consent unless a termination fee of $200,000 or more is
to be collected by Borrower, in which event Lender’s prior written consent to
such termination shall be required.

(f)       In
addition to the foregoing, Borrower shall comply with all terms and provisions
of the Assignment.

(g)      Upon
Lender’s request, Borrower shall deliver to Lender any or all of the tenant
security deposits, including any letters of credit, under the Leases, together
with: (i) any assignment of the proceeds of such security deposits; (ii) any
assignment and transfer of such letters of credit or the proceeds thereof; and
(iii) any tenants’ consents to assignment of such security deposits and
assignment and transfer of such letters of credit, as Lender shall reasonably
request. All security deposits delivered to Lender shall be held without
interest and may be commingled with Lender’s other funds (unless the payment of
interest thereon and a separate account therefor is required under applicable
tenant leases or by law).

(h)      Borrower
hereby agrees that Lender may authorize and direct the tenants named in the
Leases and all Lease guarantors, to pay over to Lender or such other party as
Lender may direct, all Property Income upon receipt from Lender of written
notice to the effect that an Event of Default exists, and to continue to do so
until the tenants and Lease guarantors are otherwise notified by Lender.

(i)       Upon
the occurrence of an Event of Default, Lender may, with or without exercising
any other rights or remedies: (i) give or require Borrower to give notice to
any or all tenants under the Leases authorizing and directing them to pay all
Property Income under the

 30
 

 

Leases directly to Lender; and (ii) without regard to
any waste, adequacy of the security or solvency of Borrower, apply for the
appointment of a receiver of the Mortgaged Property to which appointment
Borrower hereby consents, whether or not foreclosure proceedings have been
commenced under this Deed of Trust and whether or not a foreclosure sale has
occurred.

(j)       If
any tenant is required to pay a lease termination fee as a result of such
tenant terminating its Lease, upon such Lease termination, the amount so
required to be paid by such tenant shall be collaterally assigned to Lender as
additional collateral for the Loan and deposited with Lender in an interest
bearing account (the “Lease Termination Escrow Account”), with interest
accruing for the benefit of Borrower. Once the space vacated as a result of the
Lease termination is occupied and the new tenant is paying rent, the portion of
the Lease Termination Escrow Account relating to the Lease termination payment
for the applicable space (inclusive of interest attributable thereto) shall be
refunded to Borrower. Should an Event of Default occur, the funds so deposited
may be applied in payment of the charges for which such funds shall have been
deposited or to the payment of the Indebtedness or any other charges affecting
the Mortgaged Property, as Lender in its sole discretion may determine, but no
such application shall be deemed to have been made by operation of law or
otherwise until actually made by Lender as herein provided.

Section 2.20.          Environmental Matters; Warranties; Notice;
Indemnity.

(a)      Borrower
represents and warrants to Lender, based upon the Environmental Report and to
the actual knowledge of Borrower, regarding the Premises and the Equipment as
follows:

(i)                  Borrower has not
installed, used, generated, manufactured, produced, stored, Released,
discharged or disposed of in, on, under or about the Premises, or transported
to or from any portion of the Premises, any Hazardous Substance or allowed any
other Person to do so, except under conditions permitted by applicable
Environmental Laws and except for cleaning supplies in reasonable quantities
used in the operation of the Premises so long as the supplies are maintained,
used, stored and disposed of in accordance with all applicable Environmental
Laws;

(ii)                 there are no
Hazardous Substances or underground storage tanks in, on, or under or about the
Premises, except those that are both: (A) in compliance with Environmental Laws
and with permits issued pursuant thereto; and (B) fully disclosed to Lender in
writing pursuant to the written reports resulting from environmental
assessments of the Mortgaged Property delivered to Lender (the “Environmental
Report”);

(iii)                there are no past,
present or threatened Releases of any Hazardous Substance in, on, under or
about the Premises except as described in the Environmental Report;

(iv)               there is no threat
of any Release of Hazardous Substances migrating to the Premises except as
described in the Environmental Report;

 31
 

 

(v)                there is no past
or present non-compliance with Environmental Laws, or with permits issued
pursuant thereto, in connection with the Premises or the Equipment except as
described in the Environmental Report;

(vi)               except as set forth
in the Environmental Report, Borrower does not know of, and has not received,
any written or oral notice or other communication from any Person (including a
governmental entity) relating to Hazardous Substances or Remediation thereof,
of possible liability of any Person pursuant to any Environmental Law, other
environmental conditions in connection with the Premises or Equipment, or any
actual or potential administrative or judicial proceedings in connection with
any of the foregoing; and

(vii)              Borrower has
truthfully and fully provided to Lender, in writing, any and all information
relating to adverse conditions in, on, under or about the Premises that is
known by Borrower and that is contained in Borrower’s files and records,
including any reports relating to Hazardous Substances in, on, under or about
the Premises and/or to the environmental condition of the Premises.

(b)      Borrower
shall not install, use, generate, manufacture, produce, store, Release,
discharge or dispose of on, under or about the Premises, or transport to or
from any portion of the Premises, any Hazardous Substance or allow any other
Person to do so, except under conditions permitted by applicable Environmental Laws,
except for cleaning supplies in reasonable quantities used in the operation of
the Premises so long as the supplies are maintained, used, stored and disposed
of in accordance with all applicable Environmental Laws. Additionally, except
with the prior consent of Lender, no portion of the Premises shall be leased,
used or occupied for dry cleaning operations or the storage of any chemicals
used in the dry cleaning process.

(c)      Borrower
shall keep and maintain the Premises in compliance with, and shall not cause or
permit the Premises to be in violation of, applicable Environmental Laws.

(d)      Borrower
shall promptly provide notice to Lender of:

(i)                  any proceeding,
investigation or inquiry commenced by any governmental authority with respect
to the presence of any Hazardous Substance on, under or about the Premises or
the migration of any Hazardous Substance to or from adjoining property;

(ii)                 all claims made
or threatened by any Person against Borrower, any other party occupying the
Premises or any portion thereof, or the Premises, relating to any loss or
injury allegedly resulting from any Hazardous Substance; and

(iii)                the discovery of
any occurrence or condition on the Premises or on any real property adjoining
or in the vicinity of the Premises, of which Borrower becomes aware, which
might cause the Premises or any portion

 32
 

 

thereof to be in violation of any Environmental Law or
subject to any restriction on ownership, occupancy, transferability or use
under any Environmental Law (collectively, an “Environmental Violation”).

(e)      Lender
and, to the extent authorized by Lender, Trustee may join and participate in,
as a party if Lender so determines, any legal or administrative proceeding or
action concerning the Premises or Equipment under any Environmental Law.
Borrower agrees to bear and shall pay or reimburse Lender on demand for all
Advances and expenses (including reasonable attorneys’ fees, costs and
expenses) relating to or incurred by Lender in connection with any such action
or proceeding.

(f)       Borrower
shall indemnify, defend and hold Trustee and Lender and their respective
directors, officers, employees and agents harmless from and against any and all
claims, demands, liabilities, losses, damages, judgments, fines, penalties,
costs and expenses (including reasonable attorneys’ fees, costs and expenses)
directly or indirectly arising out of or attributable to: (i) a breach of any
warranty or representation contained in this Section 2.20, Section 2.21 or
Section 2.22 or of any other provision thereof; (ii) an action against Borrower
to enforce any of the provisions of this Section 2.20, Section 2.21 or Section
2.22; and (iii) the installation, use, generation, manufacture, production,
storage, Release, threatened Release, or presence of a Hazardous Substance on,
under, or about the Premises or any portion thereof including: (a) all direct
and consequential damages; (b) the costs of any required or necessary
Remediation; and (c) the costs of the preparation and implementation of any
plans for Remediation, closure or other required plans. This indemnity shall
survive the satisfaction, release or extinguishment of the lien of this Deed of
Trust including any extinguishment of such lien by foreclosure or deed in lieu
thereof.

Section 2.21.          Environmental Matters; Remediation.

(a)      If
any investigation, site monitoring, containment, cleanup, removal, restoration
or other Remediation of any kind or nature is required, reasonably necessary or
desirable under any applicable Environmental Law because of or in connection with
the current or future presence, suspected presence, Release or suspected
Release of a Hazardous Substance into the air, soil, ground water, surface
water, or soil vapor on, under or about the Premises or any portion thereof,
Borrower shall promptly commence and diligently prosecute to completion all
such Remediation. In all events, such Remediation shall be commenced within 45
days after any demand therefor by Lender or such shorter period as may be
required under any applicable Environmental Law.

(b)      All
Remediation shall be performed by contractors, and under the supervision of a
consulting engineer, each approved in advance by Lender. All costs and expenses
of such Remediation and of Lender’s monitoring or review of such Remediation
(including reasonable attorneys’ fees, costs and expenses) shall be paid by
Borrower. If Borrower does not timely commence and diligently prosecute to
completion the Remediation, Lender may (but shall not be obligated to) cause
such Remediation to be performed. Borrower agrees to bear and shall pay or
reimburse Lender on demand for all Advances and expenses (including reasonable
attorneys’ fees, costs and expenses) relating to or incurred by Lender in
connection with monitoring, reviewing or performing any Remediation.

 33
 

 

(c)      Except with Lender’s prior
consent, Borrower shall not commence any Remediation or enter into any
settlement agreement, consent decree or other compromise relating to any
Hazardous Substances or Environmental Laws which might, in Lender’s sole
judgment, impair the value of Lender’s security hereunder. Lender’s prior
consent shall not be required, however, if the presence or threatened presence
of Hazardous Substances on, under or about the Premises poses an immediate
threat to the health, safety or welfare of any person or is of such a nature
that an immediate remedial response is necessary, and it is not possible to
obtain Lender’s prior consent. In such event Borrower shall notify Lender as
soon as practicable of any action taken.

Section 2.22.          Environmental Matters; Inspection.

(a)      Lender
and its agents shall have the right at all reasonable times and upon two (2)
Business Days advance notice (provided that no advance notice shall be required
in the event of an emergency) to enter upon and inspect all or any portion of
the Premises, and to conduct customary environmental tests, assessments, audits
and soil borings. Except in an emergency, such entry shall be at reasonable
times, with reasonable advance notice, and subject to the rights of tenants of
the Premises. Lender may select a consulting engineer to conduct and prepare
reports of such inspections, tests, assessments, audits and soil borings. The
inspection rights granted to Lender in this Section 2.22 shall be in addition
to, and not in limitation of, any other inspection rights granted to Lender in
this Deed of Trust.

(b)      Promptly
upon the written request of Lender from time to time, Borrower shall provide
Lender with an environmental site assessment or environmental audit report
prepared by an environmental engineering firm acceptable to Lender, to assess
with a reasonable degree of certainty the presence or absence of any Hazardous
Substance and the potential costs in connection with abatement, cleanup or
removal of any Hazardous Substance found on, under, at, or within the Premises.

(c)      Borrower
agrees to bear and shall pay or reimburse Lender on demand for all Advances and
expenses (including reasonable attorneys’ fees, costs and expenses) relating to
or incurred by Lender in connection with the inspections, tests, assessments,
audits, soil borings and reports described in this Section 2.22 and to provide
the environmental site assessment or environmental report described in Section
2.22(b) in the following situations:

(i)                  if Lender has
reasonable grounds to believe, at the time any such inspection, test,
assessment, audit, or soil boring is ordered or Environmental Report is
requested, that there exists an Environmental Violation or that a Hazardous
Substance is present on, under or about the Premises or is migrating to or from
adjoining property, except under conditions permitted by applicable
Environmental Laws and not prohibited by any Loan Document;

(ii)                 if any such
inspection reveals an Environmental Violation or that a Hazardous Substance is
present on, under or about the Premises or is migrating to or from adjoining
property, except under conditions permitted

 34
 

 

by applicable Environmental Laws and not prohibited by
any Loan Document;

(iii)                if Lender has
reasonable grounds to believe that a change in the presence of Hazardous
Substances on the Premises has occurred;

(iv)               if Lender has
reasonable grounds to believe that a change in the compliance of the Premises
with any Environmental Law has occurred;

(v)                if Lender is not
reasonably satisfied with the results or quality of an environmental site
assessment or an environmental audit report which has been prepared in
connection with the Premises, with the exception of the environmental site
assessment and environmental audit report required by Lender in conjunction
with the making of the Loan; or

(vi)               if an Event of
Default exists at the time such inspection is ordered or at the time the
request is made for an Environmental Report.

Section 2.23.          Management. At all times prior to the
payment in full of the Indebtedness, the Mortgaged Property shall be managed by
a management company reasonably satisfactory to Lender, and pursuant to a
management agreement reasonably satisfactory to Lender. In addition, any
leasing commission agreement affecting the Mortgaged Property must be
reasonably satisfactory to Lender. Such management agreement and leasing
commission agreement shall be subordinate to this Deed of Trust. As of the date
hereof, Lender approves CWE Hospitality LLC as manager of the Mortgaged
Property, reserving the right, however, to revoke such approval for good cause
only. If at any time the management company, management agreement or leasing
commission agreement is not satisfactory to Lender, Borrower shall have a
reasonable period, not exceeding 90 days after notice to Borrower of Lender’s
disapproval, to obtain a management company, management agreement and/or
leasing commission agreement approved by and satisfactory to Lender. The
management agreement shall provide that the fee (base plus incentive) due the
property manager thereunder shall be no greater than 2.50% of the gross revenue
for the Mortgaged Property.

Section 2.24.          ERISA. As of the date hereof and
throughout the term of this Deed of Trust: (i) Borrower is not and will not be
an “employee benefit plan” as defined in Section 3(3) of ERISA, which is
subject to Title I of ERISA; (ii) the assets of Borrower do not and will not
constitute “plan assets” of one or more such plans for purposes of Title I of
ERISA; (iii) Borrower is not and will not be a “governmental plan” within the
meaning of Section 3(32) of ERISA; (iv) transactions by or with Borrower are
not and will not be subject to state statutes applicable to Borrower regulating
investments of fiduciaries with respect to governmental plans; and (v) Borrower
shall not engage in any transaction which would cause any obligation, or action
taken or to be taken, hereunder (or the exercise by Lender of any of its rights
under the Note, this Deed of Trust or the other Loan Documents) to be a non-exempt
(under a statutory or administrative class exemption) prohibited transaction
under ERISA. Borrower further agrees to deliver to Lender such certifications
or other evidence of compliance with the provisions of this Section 2.24 as
Lender may from time to time request.

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Section 2.25.          Terrorism and
Anti-Money Laundering.

(a)      As
of the date hereof and throughout the term of this Deed of Trust: (i) Borrower;
(ii) any Person controlling or controlled by Borrower; (iii) any Person having
a 5% or more ownership interest in Borrower; (iv) if Borrower is a privately
held entity, any Person having a beneficial interest in Borrower; or (v) any
Person for whom Borrower is acting as agent or nominee in connection with this
transaction, is not an OFAC Prohibited Person.

(b)      To
comply with applicable U.S. Anti-Money Laundering Laws, all payments by
Borrower to Lender or from Lender to Borrower will only be made in Borrower’s
name and to and from a bank account of a bank based or incorporated in or
formed under the laws of the United States or a bank that is not a “foreign
shell bank” within the meaning of the U.S. Bank Secrecy Act (31 U.S.C. § 5311 et seq.), as amended, and the regulations promulgated thereunder by the U.S.
Department of the Treasury, as such regulations may be amended from time to
time.

(c)      Borrower
agrees to provide Lender at any time and from time to time during the term of
the Loan with such information as Lender determines to be necessary or
appropriate to comply with the Anti-Money Laundering Laws of any applicable
jurisdiction, or to respond to requests for information concerning the identity
of Borrower, any Person controlling or controlled by Borrower or any Person
having a beneficial interest in Borrower, from any governmental authority, self-regulatory
organization or financial institution in connection with its Anti-Money
Laundering Laws and compliance procedures, or to update such information.

(d)      The
representations and warranties set forth in this Section 2.25 shall be deemed
repeated and reaffirmed by Borrower as of each date that Borrower makes a
payment to Lender under the Note, this Deed of Trust and the other Loan
Documents or receives any payment from Lender. Borrower agrees promptly to
notify Lender in writing should Borrower become aware of any change in the
information set forth in these representations.

Section 2.26.          Special Purpose Entity Requirements.

(a)      Borrower
has not and shall not:

(i)                  engage in any
business or activity other than the acquisition, ownership, operation and maintenance
of the Mortgaged Property, and activities incidental thereto;

(ii)                 acquire or own
any material asset other than the Mortgaged Property and such incidental
personal property as may be necessary for the operation of the Mortgaged
Property;

(iii)                merge into or
consolidate with any Person or 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 obtaining the prior consent
of Lender;

(iv)               fail to preserve
its existence as an entity duly organized, validly existing and in good
standing (if applicable) under the laws of the jurisdiction of its

 36
 

 

organization or formation, or without the prior
consent of Lender, amend, modify, terminate or fail to comply with the
provisions of Borrower’s formation documents;

(v)                own any subsidiary
or make any investment in or acquire the obligations or securities of any other
Person without the prior consent of Lender;

(vi)               commingle its
assets with the assets of any of its shareholders, partners, members,
Principals, affiliates, or any shareholder, partner, member, principal or
affiliate thereof, or of any other Person or transfer any assets to any such
Person other than distributions on account of equity interests in Borrower
permitted hereunder and properly accounted for;

(vii)              incur any debt,
secured or unsecured, direct or contingent (including guaranteeing any
obligation), other than the Indebtedness, except reasonable and customary trade
payables and operational debt incurred with trade creditors in the ordinary
course of its business of owning and operating the Mortgaged Property in such
amounts as are normal and reasonable under the circumstances that will be
satisfied within 60 days of incurrence, provided that such debt is not
evidenced by a note and is paid when due;

(viii)             allow any Person to
pay its debts and liabilities (except a guarantor or indemnitor of the Loan) or
fail to pay its debts and liabilities solely from its own assets;

(ix)                fail to maintain
its records, books of account and bank accounts separate and apart from those
of its shareholders, partners, members, Principals and affiliates, or any
shareholder, partner, member, principal or affiliate thereof, and any other
Person or fail to prepare and maintain its own financial statements in
accordance with generally accepted accounting principles and susceptible to
audit, or if such financial statements are consolidated fail to cause such
financial statements to contain footnotes disclosing that the Mortgaged
Property is actually owned by Borrower;

(x)                 enter into any
contract or agreement with any of its shareholders, partners, members,
Principals or affiliates, any guarantor or indemnitor of all or a portion of
the Loan or any shareholder, partner, member, principal or affiliate thereof,
except upon terms and conditions that are intrinsically fair and substantially
similar to those that would be available on an arms-length basis with third
parties;

(xi)                fail to correct
any known misunderstandings regarding the separate identity of Borrower;

(xii)               share any common
logo with or hold itself out as or be considered as a department or division of
any of its shareholders, partners, members, Principals or affiliates, or any
shareholder, partner, member, principal or

 37
 

 

affiliate thereof, or any other Person or allow any
Person to identify Borrower as a department or division of that Person;

(xiii)              hold itself out to
be responsible or pledge its assets or credit worthiness for the debts of
another Person or allow any Person to hold itself out to be responsible or
pledge its assets or credit worthiness for the debts of Borrower (except for a
guarantor or indemnitor of the Loan);

(xiv)              make any loans or
advances to any third party, including any of its shareholders, partners,
members, Principals or affiliates, or any shareholder, partner, member,
principal or affiliate thereof;

(xv)               fail to use
separate contracts, purchase orders, stationery, invoices and checks;

(xvi)              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 entity with which such other party is transacting
business; or (B) to suggest that Borrower is responsible for the debts of any
third party (including any of its shareholders, partners, members, Principals
or affiliates, or any shareholder, partner, member, principal or affiliate
thereof);

(xvii)             fail to allocate
fairly and reasonably among Borrower and any third party (including any
guarantor or indemnitor of the Loan) any overhead for common employees, shared
office space or other overhead and administrative expenses;

(xviii)            allow any Person to
pay the salaries of its own employees or fail to maintain a sufficient number
of employees for its contemplated business operations;

(xix)              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;

(xx)               seek dissolution or
winding up in whole, or in part;

(xxi)              file a voluntary
petition or otherwise initiate proceedings to have Borrower or any Principal
adjudicated bankrupt or insolvent, or consent to the institution of bankruptcy
or insolvency proceedings against Borrower or any Principal, or file a petition
seeking or consenting to reorganization or relief of Borrower or any Principal
as debtor under any applicable federal or state law relating to bankruptcy,
insolvency, or other relief for debtors with respect to Borrower or Principal;
or seek or consent to the appointment of any trustee, receiver, conservator,
assignee, sequestrator, custodian, liquidator (or other similar official) of
Borrower or any Principal or of all or any substantial part of the properties
and assets of

 38
 

 

Borrower or any Principal, or make any general
assignment for the benefit of creditors of Borrower or any Principal, or admit
in writing the inability of Borrower or Principal to pay its debts generally as
they become due or declare or effect a moratorium on Borrower or any Principal
debt or take any action in furtherance of any such action; or

(xxii)             conceal assets from
any creditor, or enter into any transaction with the intent to hinder, delay or
defraud creditors of Borrower or the creditors of any other Person.

(b)      IFC,
Inc. must also be a special purpose entity and comply with the provisions of
this Section 2.26. Dandorr, LLC and Rebnec Ten, Inc. shall own no assets other
than for its partnership interests in the Borrower. Furthermore, at any time
during the term of the Loan if Borrower is a limited partnership, then any
general partner of Borrower must also be a special purpose entity and comply
with the provisions of this Section 2.26. Moreover, at any time during the term
of the Loan if Borrower is a limited liability company, then any managing
member of Borrower must also be a special purpose entity and comply with the
provisions of this Section 2.26.

(c)      Borrower
and any other Person required to
be a special purpose entity pursuant to the terms of this Section 2.26 shall
not amend or modify any of their respective formation documents without the
prior consent of Lender, which consent shall not be unreasonably withheld.
Promptly after Lender’s written request from time to time, but not more
frequently than once in any calendar year, Borrower shall deliver to Lender
evidence reasonably satisfactory to Lender that Borrower and any other Person
required to be a special purpose entity pursuant to the terms of this Section
2.26 are in compliance with the provisions of this Section.

Section 2.27.          Operating Agreements and Permitted
Encumbrances.

(a)      No
Operating Agreement or Permitted Encumbrance shall be amended, modified,
supplemented, restated or otherwise altered by Borrower, nor shall Borrower
consent or otherwise acquiesce in any of the foregoing, without in each
instance the prior consent of Lender.

(b)      No
Operating Agreement or Permitted Encumbrance benefiting the Mortgaged Property
shall be terminated by Borrower unless such terminated Operating Agreement or
such Permitted Encumbrance is replaced with a similar agreement upon terms and
conditions, and with such third parties, as are acceptable to Lender.

(c)      Borrower
will deliver to Lender, at the same time received or sent by Borrower, copies
of all notices, demands or requests sent or otherwise made by Borrower or any
other Person under or pursuant to any Operating Agreement or Permitted
Encumbrance.

(d)      The
term of any Operating Agreement or Permitted Encumbrance shall not be extended
or otherwise renewed by Borrower (unless pursuant to a right currently afforded
Borrower thereunder) without in each instance Lender’s prior written approval.

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(e)      Borrower agrees to observe,
perform and discharge all obligations, covenants and warranties required to be
kept and performed by Borrower under the Operating Agreements and Permitted
Encumbrances.

(f)       Borrower
shall use reasonable commercial efforts to enforce or secure the performance of
each and every material obligation, term, covenant, condition and agreement to
be performed by any other party to any of the Operating Agreements and
Permitted Encumbrances.

Section 2.28. Compliance with Laws. The
Mortgaged Property is in compliance with all provisions of all zoning,
subdivision, land use, environmental, traffic, fire, building, and occupational
safety and health rules, regulations, codes, acts and statutes to which it is
subject.

Section 2.29.          Debt Service Coverage Ratio.

(a)      Borrower
covenants and agrees that as long as there is a principal balance outstanding
under Note B, on October 1, 2005, January 1, 2006, April 1, 2006 and July 1,
2006 and on the first day of each October, January and April and July
thereafter (unless such date is not a Business Day; then the next following
Business Day) (each such date shall be referred to herein as a “Calculation
Date”) during the term of the Loan, if the Debt Service Coverage Ratio is less
than 1.50 then Borrower shall (i) prepay or cause to be prepaid to Lender that
portion of the outstanding principal balance of Note B necessary so that, upon
recalculation, the Debt Service Coverage Ratio shall be equal to or greater
than 1.50 and (ii) pay or cause to be paid to Lender any Breakage Fee due in
connection with such prepayment (the aggregate amount required to be paid by
Borrower in this sentence shall be referred to as the “Debt Service Paydown
Amount”). If the Debt Service Coverage Ratio is less than 1.50 on any Calculation
Date and Lender does not receive the Debt Service Paydown Amount within five
(5) Business Days after notice to Borrower that such amount is due then such
failure shall be an Event of Default hereunder (with no further notice or grace
periods required to be provided to Borrower). Notwithstanding the aforesaid, in
no event shall Borrower be required to prepay Note A to achieve the aforesaid
Debt Service Coverage Ratio (i.e., the Debt Service Paydown Amount shall not
exceed the then outstanding principal balance of Note B). Additionally, if
Lender has not received the Debt Service Paydown Amount required to be paid as
aforesaid within said five (5) Business Day period then Lender shall have the
right, any time thereafter, in its sole and absolute discretion to purchase an
Interest Rate Cap Agreement, from an issuer acceptable to Lender and in form
and substance acceptable to Lender, in a notional amount equal to $5,000,000
and with a LIBOR strike price equal to the interest rate, as determined by Lender
in its sole discretion, required to cover additional LIBOR Rate (as defined in
Note B) increases over the remainder of the term of the Loan in order to
achieve a Debt Service Coverage Ratio equal to 1.50 on the date of Lender’s
purchase of the Interest Rate Cap Agreement. Borrower shall pay the cost of
this Interest Rate Cap Agreement promptly after receipt of an invoice therefor
and the cost therefore shall be deemed an Advance hereunder from the date of
acquisition until so paid. Borrower shall provide Lender with any information
reasonably requested by Lender in order for Lender to make the determinations
required herein.

(b)      At
any time during the term of the Loan, Borrower may elect to purchase, in lieu
of the requirement to make any Debt Service Paydown Amount, an Interest Rate
Cap Agreement

 40
 

 

satisfying all of the terms and provisions of Exhibit
D attached hereto. Upon Lender’s receipt of said Interest Rate Cap
Agreement and satisfaction of all provisions set forth in Exhibit D
attached hereto, Borrower shall not be required to make any Debt Service
Paydown Amount. If, however, at any time thereafter the requirements set forth
in Exhibit D attached hereto are not satisfied, then Borrower shall
automatically be required to pay each Debt Service Paydown Amount as required
by subsection (a) above.

Section 2.30.          Employees of
Mortgaged Property. Borrower covenants and agrees that at all times
throughout the term of the Loan, the employees of the Hotel Security will be
employees of the Property Manager (not the Borrower).

Section 2.31.          Partial Release.
Upon the filing of a condominium regime for either (i) all or a portion of the
Hotel Security, or (ii) all or a portion of the Apartment Security, Lender
agrees to release from the lien of the Mortgage the Hotel Security (a “Hotel
Partial Release”) or the Apartment Security, (a “Apartment Partial Release” and
together with a Hotel Partial Release, each a “Partial Release”), as
applicable, provided that all of the following terms and conditions are
satisfied as determined by Lender in its sole and absolute discretion:

(a)      A Partial Release shall be
permitted from the first day of August, 2006 through and including the last day
of April, 2010 (the “Release Period”).

(b)      Lender shall have approved,
in its sole and reasonable discretion, all documents relating to the
condominium regime and the proposed Partial Release.

(c)      A Partial Release may take
place not more than one (1) time during the Release Period.

(d)      At the time of the
applicable Partial Release, the Loan-to-Value Ratio for the Loan must be equal
to or less than (i) 60% in the event of an Apartment Partial Release (the
“Hotel LTV Requirement”), or (ii) 75% in the event of a Hotel Partial Release
(the “Apartment LTV Requirement”), each based upon the value of the remaining
Mortgaged Property as reasonably estimated by Lender based upon an appraisal
satisfying the definition of Loan-to- Value Ratio set forth in Article I
hereof. Borrower shall have the right, to the extent required to satisfy this
subsection (d), to pay down the principal balance of the Loan, together with
the payment of the Prepayment Fee and/or Breakage Fee due in connection with
such prepayment, by an amount necessary to satisfy the applicable Loan-to-Value
Ratio. In the event of a principal pay down, the monthly interest only Loan
payments due under the Note shall be adjusted accordingly.

(e)      At the time of the
applicable Partial Release, the Debt Service Coverage Ratio shall not be less
than 1.50 (assuming (i) Net Operating Income from the remaining Mortgaged
Property only and (ii) any prepayment provided for in subsection (d) above
shall have been made).

(f)       The Loan shall not be in
default at the time such request for Partial Release is made through the
completion of the Partial Release, nor may any event have occurred which, after
notice or passage of time or both, would constitute an Event of Default under
the Loan Documents at such times.

 41
 

 

(g)      Borrower shall pay all of
Lender’s out-of-pocket costs associated with the review of the condominium
documents and the Partial Release plus a non-refundable processing fee of
$10,000 for such Partial Release. Without limitation, Borrower shall pay within
10 days after receipt of billings, all costs arising from any request for
Partial Release, whether or not such Partial Release is actually approved or
completed, including without limitation, the processing fee, legal fees,
appraisal fees, market studies and expenses, title insurance premiums,
recording fees and taxes.

(h)      Borrower shall have prepared
and delivered to Lender all documents that Lender is required to execute in
order to effectuate the Partial Release at least fifteen (15) days prior to the
Partial Release and such documents shall be in form and substance satisfactory
to Lender.

The terms of this Section
are personal to the Borrower named on page one of this Deed of Trust and shall
not apply to any successor, assignee or transferee of Borrower. Any right to
request any Partial Release shall terminate and become null and void upon any transfer
of title to the Mortgaged Property, or any portion thereof, or, other than for
the Permitted Transfers satisfying the terms of Section 2.17(C) above, upon any
direct or indirect transfer of any ownership interest in Borrower or in the
Upstream Owners, whether or not any such transfers are permitted by the terms
of this Deed of Trust (other than for the Permitted Transfers satisfying the
terms of Section 2.17(C) above), or otherwise approved by Lender in advance in
writing.

Section 2.32.          Fire Sprinkler
Deposit Account. Lender will require that if during the term of the Loan,
the City of St. Louis, or other government agency (collectively “Government
Agency”) having jurisdiction over the Mortgaged Property, issues an order
requiring installation of fire sprinklers over any portion of the Mortgaged
Property, then Borrower shall immediately cause funds to be paid into an
interest bearing account (the “Sprinkler Deposit Account”), with interest
accruing to the benefit of the Sprinkler Deposit Account and held and
administered by Lender. The Sprinkler Deposit Account will be funded by
Borrower on a monthly straight-line basis based upon the total cost required to
install the required sprinkler improvements, as determined by a third-party
consultant acceptable to both Borrower and Lender at Borrower’s sole cost and
expense, divided by the time period allocated by the Government Agency for
sprinkler installation. Monthly deposits to the Sprinkler Deposit Account may
be off set by actual expenditures for sprinkler improvements made pursuant to
the Government Agency requirement so long as such expenditures are documented
to Lender’s satisfaction. Deposits to the Sprinkler Deposit Account will be
made available to Borrower for required sprinkler improvements in accordance
with this Section. All Funds in the Sprinkler Deposit Account shall be
collaterally assigned to Lender as additional collateral for the Loan. Should
an Event of Default occur, the funds in the Sprinkler Deposit Account may be
applied in payment of the charges for which such funds shall have been
deposited or to the payment of the Indebtedness or any other charges affecting
the Mortgaged Property, as Lender in its sole discretion may determine, but no
such application shall be deemed to have been made by operation of law or
otherwise until actually made by Lender as herein provided.

Section 2.33.          Additional Guarantors.
In the event that Dana Credit is acquired by, or merges into, another Person,
Borrower shall cause, within five (5) Business Days after written request by
Lender, additional Person(s) acceptable to Lender in Lender’s sole discretion
to execute and deliver to Lender a debt service paydown amount guaranty,
environmental

 42
 

 

indemnification and a recourse guaranty agreement in
form and substance identical to the Guaranties.

ARTICLE III.

Security Agreement

Section 3.01.          Warranties,
Representations and Covenants of Borrower. Borrower covenants, warrants,
represents and agrees with and to Trustee and Lender as follows:

(a)      This Deed of Trust constitutes
a security agreement under the Code and serves as a fixture filing in
accordance with the Code. This Deed of Trust creates, and Borrower hereby
grants to Lender, a security interest in favor of Lender as secured party under
the Code with respect to all property (specifically including the Collateral)
included in the Mortgaged Property which is covered by the Code. The mention of
any portion of the Mortgaged Property in a financing statement filed in the
records normally pertaining to personal property shall not derogate from or
impair in any manner the intention of Borrower and Lender hereby declared that
all items of the Collateral are part of the real property encumbered hereby to
the fullest extent permitted by law, regardless of whether any such item is
physically attached to the Improvements or whether serial numbers are used for
the better identification of certain items. Specifically, the mention in any
such financing statement of: (i) the rights in or to the Proceeds of any policy
of insurance; (ii) any condemnation Proceeds; (iii) Borrower’s interest in any
Leases or Property Income; or (iv) any other item included in the Mortgaged
Property, shall not be construed to alter, impair or impugn any rights of
Lender as determined by this Deed of Trust or the priority of Lender’s lien
upon and security interest in the Mortgaged Property. Any such mention shall be
for the protection of Lender in the event that notice of Lender’s priority of
interest as to any portion of the Mortgaged Property is required to be filed in
accordance with the Code to be effective against or take priority over the
interest of any particular class of Persons, including the federal government
or any subdivision or instrumentality thereof.

(b)      Except for the security
interest granted by this Deed of Trust, Borrower is and, as to portions of the
Collateral to be acquired after the date hereof, will be the sole owner of the
Collateral, free from any lien, security interest, encumbrance or adverse claim
thereon of any kind whatsoever except Permitted Encumbrances. Borrower shall
notify Lender of, and shall defend the Collateral against, all claims and
demands of all Persons at any time claiming the same or any interest therein.

(c)      Except as otherwise provided
in this Deed of Trust, Borrower shall not lease, sell, convey or in any manner
transfer the Collateral without the prior consent of Lender. Notwithstanding
the foregoing or any other provision in this Deed of Trust to the contrary, in
the event the total annual rental obligations of any leased Collateral is less
than $500,000 in the aggregate, Borrower shall not be required to disclose such
leased Collateral to Lender or obtain Lender’s prior consent thereto.

(d)      The Collateral is not used
or bought for personal, family or household purposes.

 43
 

 

(e)      The Collateral shall be kept
on or at the Premises, and Borrower shall not remove the Collateral from the
Premises without the prior consent of Lender, except such portions or items of
the Collateral as are consumed or worn out in ordinary usage, all of which
shall be promptly replaced by Borrower with items of equal or greater value.

(f)       Borrower shall provide
Lender upon Lender’s request from time to time with an inventory of the
Collateral by serial number and account number, as appropriate.

(g)      Borrower shall not change
its place of formation or its entity name without providing Lender with 60 days
prior notice. In the event of any change in name, identity or structure of
Borrower, Borrower shall notify Lender thereof and promptly after request shall
execute, file and record such Code forms as are necessary to maintain the
priority of Lender’s lien upon and security interest in the Collateral, and
shall pay all expenses and fees in connection with the filing and recording
thereof. If Lender shall require the filing or recording of additional Code
forms or continuation statements, Borrower shall, promptly after request,
execute, file and record such Code forms or continuation statements as Lender
shall deem necessary (subject to Lender’s right to sign such statements on
behalf of Borrower as provided in Section 3.01(h)), and shall pay all expenses
and fees in connection with the filing and recording thereof. If Lender shall
initially pay such expenses, Borrower shall promptly reimburse Lender for the
expenses.

(h)      Borrower hereby irrevocably
appoints Lender as its attorney-in-fact, coupled with an interest, to execute
in the name of and on behalf of Borrower any and all financing statements and
continuations thereof and to file with the appropriate public office on its
behalf and at its expense any financing or other statements signed only by
Lender, as secured party, in connection with the Collateral covered by this
Deed of Trust.

(i)       Borrower represents that
its exact legal name is as set forth on the Cover Sheet of this Deed of Trust.

(j)       Borrower’s Federal Tax
Identification Number is 43-1794300 and Borrower’s Organizational Number is
2802363.

(k)      Borrower shall not file any
termination statements concerning the Mortgaged Property without Lender’s prior
consent unless the Indebtedness has been repaid and this Deed of Trust has been
released.

(l)       Where Collateral is in
possession of a third party, Borrower will join with Lender in notifying the
third party of Lender’s interest and obtaining an acknowledgment from the third
party that it is holding the Collateral for the benefit of Lender.

(m)     Borrower will cooperate with
Lender in obtaining control with respect to Collateral consisting of deposit
accounts, investment property, letter of credit rights and electronic chattel
paper.

Section 3.02.          Financing Statements.
A CARBON, PHOTOGRAPHIC OR OTHER REPRODUCTION OF THIS DEED OF TRUST OR ANY
FINANCING STATEMENT RELATING TO THIS DEED OF TRUST SHALL BE SUFFICIENT AS A
FINANCING STATEMENT.

 44
 

 

Section 3.03.          Addresses. The
state of organization, organizational ID number and mailing address of Borrower
and the address of Lender from which information concerning the security
interest granted hereby may be obtained are set forth on the Cover Sheet of
this Deed of Trust. Borrower maintains its sole place of business or its chief
executive office at the address shown on said Cover Sheet, and Borrower shall
immediately notify Lender in writing of any change in said place of business or
chief executive office.

Section 3.04.          Fixture Filing.
This Deed of Trust shall constitute a fixture filing under the Code as to any
goods and other personal property included in the Mortgaged Property in which
Borrower has granted to Lender a security interest as provided in this Article
III which are or may become fixtures under applicable law. This fixture filing
is to be recorded in St. Louis County, Missouri.

ARTICLE IV.

Default and Remedies

Section 4.01.          Events of Default.
Each of the following shall constitute an Event of Default under the Note, this
Deed of Trust and the other Loan Documents:

(a)      Failure to pay any
principal, interest, deposit or other amount due under the Note, this Deed of
Trust or any other Loan Document within 5 days after the date such amount is
due.

(b)      Except as provided in
Section 4.01(a) and Sections 4.01(c) to 4.01(x), inclusive, failure to perform
or comply with any term, obligation, covenant or condition contained in the
Note, this Deed of Trust or any other Loan Documents, within 30 days after the delivery
of written notice from Lender of such failure; provided that if such default is
not reasonably capable of being cured (without taking into account financial
capability) within such 30 day period, such failure shall not constitute an
Event of Default so long as Borrower commences the cure of such default within
such 30 day period, diligently prosecutes such cure to completion and completes
the cure within 90 days after delivery of such written notice from Lender.

(c)      The
occurrence of an Event of Default, or default after passage of any applicable
grace or cure period, hereunder or under any of the other Loan Documents.

(d)      The
occurrence of an Event of Default, or default after passage of any applicable
grace or cure period, under any guaranty, indemnity or other instrument
delivered to Lender in connection with the Loan.

(e)      If
any representation, warranty, certification or other statement made herein, in
any other Loan Document, in any application for the Loan or in any statement or
certificate at any time given to Lender in connection with the Loan shall prove
to be untrue or misleading in any material respect.

(f)       If
Lender fails to have a legal, valid, binding and enforceable first priority
lien on the Mortgaged Property or any portion thereof or on any material
portion of the personal property or other Collateral.

 45
 

 

(g)      Failure to permit Lender or
its agents to enter to the Mortgaged Property or to access Borrower’s books and
records in accordance with the terms of this Deed of Trust and the other Loan
Documents which failure has not been cured within five (5) days after the
delivery of written notice from Lender to Borrower.

(h)      Failure
to pay any Imposition prior to the date on which the same becomes delinquent,
or to maintain insurance or apply insurance proceeds as required by this Deed
of Trust.

(i)       Except
as permitted in this Deed of Trust, adjusting, compromising, settling or
entering into any agreement with respect to insurance settlements and
condemnation proceedings, without the prior consent of Lender.

(j)       Damage
to any of the Mortgaged Property in any manner which is not covered by
insurance as a result of Borrower’s failure to maintain insurance required in
accordance with this Deed of Trust.

(k)      Except
as permitted in this Deed of Trust: (i) a change in the use of the Premises or
causing or permitting the use or occupancy of any part of the Premises to be
discontinued if such change of use or discontinuance would violate any zoning
or other law, ordinance or regulation; (ii) consent to any zoning
reclassification, modification or restriction affecting the Premises; (iii)
taking any steps whatsoever to convert the Mortgaged Property, or any portion
thereof, to a condominium or cooperative form of ownership; or (iv) the actual
alteration, demolition or removal of any of the Improvements, without the prior
consent of Lender.

(l)       Failure
to deliver copies of any notices from governmental or regulatory authorities in
accordance with the terms of this Deed of Trust and the other Loan Documents if
Borrower had knowledge of the existence of said notice.

(m)     Failure
to deliver financial statements required by Section 2.16 or the estoppel
certificates required by Section 2.18 within 10 days after the delivery of
written notice from Lender.

(n)      Violation
of any of the terms, obligations, covenants or conditions set forth in Section
2.17, Section 2.19(a), Section 2.19(c) (i) through (vii), inclusive, or Section
2.27.

(o)      If
a default or event of default shall occur under any permitted mortgage, deed of
trust, encumbrance, lien or security agreement, including, without limitation,
under the Permitted Subordinated Financing, encumbering all or any portion of
the Mortgaged Property which is subordinate or superior to the lien of this
Deed of Trust or if any party under any such instrument shall commence a
foreclosure or other collection or enforcement action in connection therewith.

(p)      Failure
to obtain a management company, management agreement and/or leasing commissions
agreement satisfactory to Lender within the 90-day period set forth in Section
2.23.

(q)      Failure
of Borrower or any Principal to preserve and keep in full force and effect its
existence, franchises, licenses, authorizations, registrations, permits and
approvals required under the laws of the state of its formation and the State
and any franchises, licenses,

 46
 

 

authorizations, registrations, permits and approvals
required or necessary to operate its business and failure of any guarantor or
indemnitor of the Loan to preserve and keep in full force and effect its
existence and good standing as required under the laws of the state of its
formation.

(r)       If
Borrower, any Principal or any guarantor or indemnitor of the Loan consents to
the filing of, or commences or consents to the commencement of, any Bankruptcy
Proceeding with respect to Borrower or such Principal, guarantor or indemnitor.

(s)      If
any Bankruptcy Proceeding shall have been filed against Borrower, any Principal
or any guarantor or indemnitor of the Loan and the same is not withdrawn, dismissed,
canceled or terminated within 90 days of such filing.

(t)       If
Borrower, any Principal or any guarantor or indemnitor of the Loan is
adjudicated bankrupt or insolvent or a petition for reorganization of Borrower
or any such Principal, guarantor or indemnitor is granted.

(u)      If
a receiver, liquidator or trustee of Borrower, any Principal or any guarantor
or indemnitor of the Loan or of any of the properties of Borrower or any such
Principal, guarantor or indemnitor shall be appointed.

(v)      If
Borrower, any Principal or any guarantor or indemnitor of the Loan shall make
an assignment for the benefit of its creditors or shall admit in writing the
inability to pay its debts generally as they become due.

(w)     Except
as otherwise permitted herein, if Borrower, any Principal or any guarantor or
indemnitor of the Loan shall die or shall institute or cause to be instituted
any proceeding for the termination or dissolution of Borrower or any such
Principal, guarantor or indemnitor.

(x)      If
Dana Credit is not a wholly owned subsidiary of Dana Corporation; provided,
however, the aforesaid shall not be an Event of Default hereunder if Lender has
received from a Person(s) acceptable to Lender, in Lender’s sole discretion, a
debt service paydown amount guaranty, an environmental indemnification and a
recourse guaranty agreement in form and substance identical to the Guaranties.

Section 4.02.          Remedies. Upon the occurrence of any
Event of Default, Lender may take such actions against Borrower and/or the
Mortgaged Property or any portion thereof as it deems advisable to protect and
enforce its rights against Borrower and in and to the Mortgaged Property,
without notice or demand except as set forth herein. Any such actions taken by
Lender shall be cumulative and concurrent and may be pursued independently,
singly, successively, together or otherwise, at such time and in such order as
Lender may determine in its sole discretion, to the fullest extent permitted by
law, without impairing or otherwise affecting the other rights and remedies of
Lender permitted by law, equity or contract or as set forth herein or in the
other Loan Documents. Such actions may include the following:

(a)      Lender
may declare the entire outstanding principal balance under the Note then
unpaid, together with all accrued and unpaid interest thereon, prepayment fees
thereunder, and all other unpaid Indebtedness, to be immediately due and
payable.

 47
 

 

(b)      Lender may enter into or
upon the Mortgaged Property, personally or by its agents, nominees or
attorneys, and may dispossess Borrower and its agents and servants therefrom,
and thereupon Lender at its sole discretion may: (i) use, operate, manage,
control, insure, maintain, repair, restore and otherwise deal with all and
every portion of the Mortgaged Property and conduct business thereon in any
case either in the name of Lender or in such other name as Lender shall deem
best; (ii) complete any construction on the Mortgaged Property in such manner
and form as Lender deems advisable; (iii) make alterations, additions,
renewals, replacements and improvements to or on the Mortgaged Property; (iv)
exercise all rights and powers of Borrower with respect to the Mortgaged
Property, whether in the name of Borrower or otherwise, including the right to
make, cancel, enforce or modify Leases, obtain and evict tenants, and demand,
sue for, collect and receive all Property Income; and (v) apply the receipts of
Property Income to the payment of the Indebtedness (including any prepayment
fee payable under the Note) in such order as Lender shall determine in its sole
discretion, after deducting therefrom all expenses (including reasonable
attorneys’ fees, costs and expenses) incurred in connection with the aforesaid
operations and all amounts necessary to pay the Impositions, insurance and
other charges in connection with the Mortgaged Property, as well as just and
reasonable compensation for the services of Lender, its agents, nominees and
attorneys.

(c)      With
or without entry, personally or by its agents, nominees or attorneys, Lender
may require Trustee to sell all or any portion of the Mortgaged Property and
all or any portion of Borrower’s estate, right, title, interest, claim and
demand therein and right of redemption thereof at one or more private or public
sales in the manner and to the extent permitted by law, as an entirety or in
parcels or portions, and Trustee shall have any statutory power of sale as may
be provided by law in the State.

(d)      Lender
may institute or require Trustee to institute proceedings for the complete foreclosure
of this Deed of Trust, in which case the Mortgaged Property may be sold for
cash or upon credit, as an entirety or in parcels or portions.

(e)      Lender
may require Trustee to institute, proceedings for the partial foreclosure of
this Deed of Trust for the portion of the Indebtedness then due and payable,
subject to the continuing lien of this Deed of Trust for the balance of the
Indebtedness not then due.

(f)       Lender
may institute, or require Trustee to institute, an action, suit or proceeding
at law or in equity for the specific performance of any covenant, condition or
agreement contained in the Note, this Deed of Trust or any other Loan Document,
or in aid of the execution of any power granted hereunder or for the
enforcement of any other appropriate legal or equitable remedy.

(g)      Lender
and Trustee shall have the rights and may take such actions as are set forth,
described or referred to in any rider entitled “Rider - Applicable State Law
Provisions” attached hereto and made a part hereof, or as are permitted by the
laws of the State.

(h)      Lender
may recover judgment on the Note, either before, during or after any
proceedings for the foreclosure or enforcement of this Deed of Trust.

 48

 

(i)                     Lender may
secure the appointment of a receiver, trustee, liquidator or similar official
of the Mortgaged Property or any portion thereof, and Borrower hereby consents
and agrees to such appointment, without notice to Borrower and without regard
to the adequacy of the security for the Indebtedness and without regard to the
solvency of Borrower or any other Person liable for the payment of the
Indebtedness, and such receiver or other official shall have all rights and
powers permitted by applicable law and such other rights and powers as the
court making such appointment may confer, but the appointment of such receiver
or other official shall not impair or in any manner prejudice the rights of
Lender to receive the Property Income pursuant to this Deed of Trust or the
Assignment.

(j)                     Lender
may exercise any or all of the remedies available to a secured party under the
Code.

(k)                  Lender
may pursue, or require Trustee to pursue, any other rights and remedies of
Lender permitted by law, equity or contract or as set forth herein or in the
other Loan Documents.

(l)                     Lender
may apply any funds then on deposit with Lender for payment of Impositions,
ground rent or insurance premiums in the manner provided for in Section 2.07.

(m)               Lender
in its sole discretion may surrender any insurance policies and collect the
unearned premiums and apply such sums against the Indebtedness.

(n)                 To
the extent permitted by law, exercise or require Trustee to exercise any power
of sale.

Section 4.03.          General
Provisions Regarding Remedies.

(a)                  Proceeds
of Sale. The proceeds of any sale of the Mortgaged Property received by
Lender, or part thereof, shall be distributed and applied to the amounts set
forth in Section 6 of the Note in such order and priority as Lender deems
appropriate in its sole discretion.

(b)                 Effect
of Judgment. No recovery of any judgment by Lender or Trustee and no levy
of an execution under any judgment upon the Mortgaged Property or upon any
other property of Borrower shall affect in any manner or to any extent the lien
of this Deed of Trust upon the Mortgaged Property or any portion thereof, or
any rights, powers or remedies of Lender or Trustee hereunder. Such lien,
rights, powers and remedies of Lender and Trustee shall continue unimpaired as
before.

(c)                  Continuing
Power of Sale. The power of sale conferred upon Trustee in this Deed of
Trust shall not be exhausted by any one or more sales as to any portion of the
Mortgaged Property remaining unsold, but shall continue unimpaired until all of
the Mortgaged Property is sold or all of the Indebtedness is paid.

(d)                 Right
to Purchase. At any sale of the Mortgaged Property or any portion thereof
pursuant to the provisions of this Deed of Trust, Lender or Trustee shall have
the right to purchase the Mortgaged Property being sold, and in such case shall
have the right to credit

 49
 

 

against the amount of the bid made therefor (to the
extent necessary) all or any portion of the Indebtedness then due.

(e)                  Right
to Terminate Proceedings. Lender or Trustee may terminate or rescind any
proceeding or other action brought in connection with its exercise of the
remedies provided in Section 4.02 at any time before the conclusion thereof, as
determined in Lender’s sole discretion and without prejudice to Lender.

(f)                    No
Waiver or Release. Lender may resort to, or require Trustee to resort to,
any remedies and the security given by the Loan Documents, in whole or in part,
and in such portions and in such order as determined in Lender’s sole
discretion. No such action shall in any way be considered a waiver of any
rights, benefits or remedies evidenced or provided by the Loan Documents. The
failure of Lender or Trustee to exercise any right, remedy or option provided
in the Loan Documents shall not be deemed a waiver of such right, remedy or option
or of any covenant or obligation secured by the Loan Documents. No acceptance
by Lender or Trustee of any payment after the occurrence of an Event of Default
and no payment by Lender or Trustee of any Advance or obligation for which
Borrower is liable hereunder shall be deemed to waive or cure such Event of
Default or Borrower’s liability to pay such obligation. No sale of all or any
portion of the Mortgaged Property, no forbearance on the part of Lender or
Trustee, and no extension of time for the payment of the whole or any portion
of the Indebtedness or any other indulgence given by Lender or Trustee to
Borrower or any other Person, shall operate to release or in any manner affect
Lender’s or Trustee’s interest in the Mortgaged Property or the liability of
Borrower to pay the Indebtedness, except to the extent that such liability
shall be reduced by Proceeds of the sale of all or any portion of the Mortgaged
Property received by Lender. No waiver by Lender or Trustee shall be effective
unless it is in writing and then only to the extent specifically stated.

(g)                 No
Impairment; No Release. The interests and rights of Lender or Trustee under
the Loan Documents shall not be impaired by any indulgence, including: (i) any
renewal, extension or modification which Lender may grant with respect to any
of the Indebtedness; (ii) any surrender, compromise, release, renewal,
extension, exchange or substitution which Lender or Trustee may grant with
respect to the Mortgaged Property or any portion thereof; or (iii) any release
or indulgence granted to any maker, endorser, guarantor or surety of any of the
Indebtedness. If the Mortgaged Property is sold and Lender enters into any
agreement with the then owner of the Mortgaged Property extending the time of
payment of the Indebtedness, or otherwise modifying the terms hereof or of any
other Loan Document, Borrower shall continue to be liable to pay the
Indebtedness according to the tenor of any such agreement unless expressly
released and discharged in writing by Lender.

(h)                 Waivers
and Agreements Regarding Remedies. To the fullest extent that Borrower may
legally do so, Borrower:

(i)                                                     agrees
that Borrower will not at any time insist upon, plead, claim or take the
benefit or advantage of any laws now or hereafter in force providing for any
appraisal or appraisement, valuation, stay, extension or redemption, and waives
and releases all rights of redemption, valuation,

 50
 

 

appraisal or
appraisement, stay of execution, extension and notice of election to accelerate
or declare due the whole of the Indebtedness;

(ii)                                                  waives
all rights to a marshalling of the assets of Borrower, Borrower’s partners, if
any, and others with interests in Borrower, including the Mortgaged Property,
or to a sale in inverse order of alienation in the event of foreclosure of the
interests hereby created, and agrees not to assert any right under any laws
pertaining to the marshalling of assets, the sale in inverse order of
alienation, homestead exemption, the administration of estates of decedents, or
any other matters whatsoever to defeat, reduce or affect the right of Lender
under the Loan Documents to a sale of the Mortgaged Property for the collection
of the Indebtedness without any prior or different resort for collection, or
the right of Lender or Trustee to the payment of the Indebtedness out of the
Proceeds of sale of the Mortgaged Property in preference to every other
claimant whatsoever;

(iii)                                               waives
any right to bring or utilize any defense, counterclaim or setoff, other than
one in good faith, which denies the existence or sufficiency of the facts upon
which the foreclosure action is grounded or which is based on Lender’s or
Trustee’s wrongful actions. If any defense, counterclaim or setoff (other than
one permitted by the preceding sentence) is raised by Borrower in such
foreclosure action, such defense, counterclaim or setoff shall be dismissed. If
such defense, counterclaim or setoff is based on a claim which could be tried
in an action for money damages, the foregoing waiver shall not bar a separate
action for such damage (unless such claim is required by law or applicable
rules of procedure to be pleaded in or consolidated with the action initiated
by Lender or Trustee), but such separate action shall not thereafter be
consolidated with Lender’s or Trustee’s foreclosure action. The bringing of
such separate action for money damages shall not be deemed to afford any
grounds for staying any such foreclosure action;

(iv)                                              waives
and relinquishes any and all rights and remedies which Borrower may have or be
able to assert by reason of the provisions of any laws pertaining to the rights
and remedies of sureties;

(v)                                                 waives
the defense of laches and any applicable statutes of limitation; and

(vi)                                              waives
any right to have any trial, action or proceeding tried by a jury.

(i)                     Lender’s
Discretion. Except as otherwise provided herein the contrary, Lender may
exercise its rights, options and remedies and may make all decisions, judgments
and determinations under this Deed of Trust and the other Loan Documents in its
sole unfettered discretion.

(j)                     Recitals
of Facts. In the event of a sale or other disposition of the Mortgaged
Property pursuant to Section 4.02 and the execution of a deed or other
conveyance pursuant

 51
 

 

thereto, the recitals
therein of facts (such as default, the giving of notice of default and notice
of sale, demand that such sale should be made, postponement of sale, terms of
sale, purchase, payment of purchase money and other facts affecting the
regularity or validity of such sale or disposition) shall be conclusive proof
of the truth of such facts. Any such deed or conveyance shall be conclusive
against all Persons as to such facts recited therein.

(k)                  Lender’s
Right to Waive, Consent or Release. Lender may at any time, in writing: (i)
waive compliance by Borrower with any covenant herein made by Borrower to the
extent and in the manner specified in such writing; (ii) consent to Borrower’s
doing any act which Borrower is prohibited hereunder from doing, or consent to
Borrower’s failing to do any act which Borrower is required hereunder to do, to
the extent and in the manner specified in such writing; or (iii) release or
require Trustee to release any portion of the Mortgaged Property, or any
interest therein, from this Deed of Trust and the lien of the other Loan
Documents. No such act shall in any way impair the rights of Lender or Trustee
hereunder except to the extent specified by Lender in such writing.

(l)                     Possession
of the Mortgaged Property. Upon the occurrence of any Event of Default
hereunder and demand by Lender at its option, Borrower shall immediately
surrender or cause the surrender of possession of the Premises to Lender. If
Borrower or any other occupant (other than tenants occupying space pursuant to
the Leases) is permitted to remain in possession, such possession shall be as
tenant of Lender and such occupant: (i) shall on demand pay to Lender monthly,
in advance, reasonable use and occupancy charges for the space so occupied; and
(ii) in default thereof, may be dispossessed by the usual summary proceedings.
Upon the occurrence of any Event of Default and demand by Lender, Borrower
shall assemble the Collateral and make it available at any place Lender may
designate to allow Lender to take possession and/or dispose of the Collateral.
The covenants herein contained may be enforced by a receiver of the Mortgaged
Property or any portion thereof. Nothing in this Section 4.03(1) shall be
deemed a waiver of the provisions of this Deed of Trust prohibiting the sale or
other disposition of the Mortgaged Property without the prior consent of
Lender.

(m)               Limitations
on Liability. Subject to the provisions of Section 10 of the Note, in any
action or proceedings brought on the Note, this Deed of Trust or any other Loan
Documents in which a money judgment is sought, Lender and Trustee will look
solely to the Mortgaged Property and other property described in the Loan
Documents (including the Property Income and any other rents and profits from
such property) for payment of the Indebtedness and, specifically and without
limitation, Lender and Trustee agree to waive any right to seek or obtain a
deficiency judgment against Borrower.

(n)                 Subrogation.
If all or any portion of the proceeds of the Note or any Advance shall be used
directly or indirectly to pay off, discharge or satisfy, in whole or in part,
any prior lien or encumbrance upon the Mortgaged Property or any portion
thereof, then Lender and Trustee shall be subrogated to, and shall have the
benefit of the priority of, such other lien or encumbrance and any additional
security held by the holder thereof.

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ARTICLE
V.

Miscellaneous

Section 5.01.          Notices.

(a)                  All
notices, consents, approvals and requests required or permitted hereunder or
under any other Loan Document shall be given in writing and shall be effective
for all purposes if hand delivered or sent by: (i) certified or registered
United States mail, postage prepaid; (ii) expedited prepaid delivery service,
either commercial or United States Postal Service, with proof of attempted
delivery; or (iii) facsimile provided a confirming copy is sent the same day in
the manner set forth in (ii) above, addressed in either case as follows:

If
to Lender, at the following address:

Massachusetts Mutual Life Insurance Company

c/o Babson Capital Management LLC

1500 Main Street, Suite 2100

Springfield, Massachusetts 01115

Attention: Managing Director, Real Estate Finance Group

Facsimile: 413-226-2498

With
a copy to:

Massachusetts Mutual Life Insurance Company

c/o Babson Capital Management LLC

1500 Main Street, Suite 2800

Springfield, Massachusetts 01115

Attention: Vice President, Real Estate Law 

Facsimile: 413-226-1079

If to Trustee, at the following address:

Armstrong Teasdale LLP 

One Metropolitan Square 

St. Louis, Missouri 63102-2740 

Attention: Michael A. Chivell 

Facsimile: (314) 612-2232

If to Borrower, at the following address:

Kingsdell L.P.

c/o IFC, Inc.

212 North Kingshighway Blvd., Suite 1023

St. Louis, Missouri 63108

Attention: Mr. James L. Smith, President

Facsimile: (314) 633-3233

 53
 

 

With a copy to:

REBNEC Ten, Inc.

c/o Dana Corporation

4500 Dorr Street

Toledo, Ohio 43615

Attention: Robert E. Pollock, International Counsel

Facsimile: (419) 535-4790

With a copy to:

Dana Corporation 

4500 Dorr Street 

Toledo, Ohio 43615 

Attention: Corporate Secretary 

Facsimile: (419) 535-4790

or to such other address
and person as shall be designated from time to time by Lender or Borrower, as
the case may be, in a written notice to the other party in the manner provided
for in this Section 5.01. A notice shall be deemed to have been given: in the
case of hand delivery or by facsimile, at the time of delivery; in the case of
registered or certified mail, three Business Days after deposit in the United
States mail; or in the case of expedited prepaid delivery, upon the first
attempted delivery on a Business Day. A party receiving a notice which does not
comply with the technical requirements for notice under this Section 5.01 may
elect to waive any deficiencies and treat the notice as having been properly
given.

(b)                 Borrower
acknowledges that Lender may elect to correspond or transmit information
concerning the Loan or Borrower to Borrower, the Principals, guarantors,
indemnitors, investors and other third parties via email or the internet. Such
transmissions shall be for the convenience of the parties hereto and shall not
replace or supplement the required methods of delivering notices provided for
above. In addition, Borrower acknowledges that such information may be
transmitted via the internet or by email and with or without any algorithm
enhanced security software and Borrower waives any right to privacy in
connection therewith.

(c)                  Borrower
shall notify Lender promptly of the occurrence of any of the following: (i)
receipt of notice from any governmental authority relating to the Mortgaged
Property; (ii) any material change in the occupancy of the Mortgaged Property;
(iii) receipt of any notice from the holder of any other lien or security
interest in the Mortgaged Property; or (iv) commencement of any judicial or
administrative proceedings by, against or otherwise affecting any Person
controlling, controlled by or under common control with Borrower or any
guarantor if such proceeding could have a material adverse affect on the
Mortgaged Property or such Person’s obligations under the Loan Documents or any
judicial or administrative proceedings by, against or otherwise affecting
Borrower or the Mortgaged Property, or any other action by any creditor thereof
as a result of any default under the terms of any loan.

 54
 

 

Section 5.02.          Binding Obligations; Joint and
Several. The provisions and covenants of this Deed of Trust shall run with
the land, shall be binding upon Borrower, its successors and assigns, and shall
inure to the benefit of Lender and Trustee and their respective successors and
assigns. If there is more than one Borrower, all their obligations and
undertakings hereunder are and shall be joint and several.

Section 5.03.          Captions.
The captions of the sections and subsections of this Deed of Trust are for
convenience only and are not intended to be a part of this Deed of Trust and
shall not be deemed to modify, explain, enlarge or restrict any of the
provisions hereof.

Section 5.04.          Further
Assurances. Borrower shall do, execute, acknowledge and deliver, at its
sole cost and expense, such further acts, instruments or documentation,
including additional title insurance policies or endorsements, and title
reinsurance, as Lender or Trustee may reasonably require from time to time to
better assure, transfer and confirm unto Lender the rights now or hereafter
intended to be granted to Lender and/or Trustee under this Deed of Trust or any
other Loan Document.

Section 5.05.          Severability.
If any one or more of the provisions contained in this Deed of Trust shall for
any reason be held to be invalid, illegal or unenforceable in any respect, such
invalidity, illegality or unenforceability shall not affect any other provision
of this Deed of Trust, but this Deed of Trust shall be construed as if such
invalid, illegal or unenforceable provision had never been contained herein.

Section 5.06.          Borrower’s
Obligations Absolute. All sums payable by Borrower hereunder shall be paid
without notice, demand, counterclaim, setoff, deduction or defense and without
abatement, suspension, deferment, diminution or reduction, and the obligations
and liabilities of Borrower hereunder shall in no way be released, discharged,
or otherwise affected (except as expressly provided herein) by reason of: (a)
any damage to or destruction of or any condemnation or similar taking of the
Mortgaged Property or any portion thereof; (b) any restriction or prevention of
or interference with any use of the Mortgaged Property or any portion thereof;
(c) any title defect or encumbrance or any eviction from the Premises or any
portion thereof by title paramount or otherwise; (d) any Bankruptcy Proceeding
relating to Borrower, any general partner of Borrower, or any guarantor or
indemnitor, or any action taken with respect to this Deed of Trust or any other
Loan Document by any trustee or receiver of Borrower or any such general
partner, guarantor or indemnitor, or by any court, in any such proceeding; (e)
any claim which Borrower has or might have against Lender or Trustee; (f) any
default or failure on the part of Lender or Trustee to perform or comply with
any of the terms hereof or of any other agreement with Borrower; or (g) any
other occurrence whatsoever, whether similar or dissimilar to the foregoing,
whether or not Borrower shall have notice or knowledge of any of the foregoing.
Except as expressly provided herein, Borrower waives all rights now or
hereafter conferred by statute or otherwise to any abatement, suspension,
deferment, diminution or reduction of any sum secured hereby and payable by
Borrower.

Section 5.07.          Amendments;
Consents. This Deed of Trust cannot be altered, amended, modified or
discharged orally and no executory agreement shall be effective to modify or
discharge it in whole or in part, unless in writing and signed by the party
against which

 55
 

 

enforcement is sought. No consent or approval required
hereunder or under any other Loan Document shall be binding unless in writing
and signed by the party sought to be bound.

Section 5.08.          Other
Loan Documents and Exhibits. All of the agreements, conditions, covenants,
provisions and stipulations contained in the Note and the other Loan Documents,
and each of them, which are to be kept and performed by Borrower are hereby
made a part of this Deed of Trust to the same extent and with the same force
and effect as if they were fully set forth in this Deed of Trust, and Borrower
shall keep and perform the same, or cause them to be kept and performed,
strictly in accordance with their respective terms. The Cover Sheet and each
exhibit, schedule and rider attached to this Deed of Trust are integral parts
of this Deed of Trust and are incorporated herein by this reference. In the
event of any conflict between the provisions of any such exhibit, schedule or
rider and the remainder of this Deed of Trust, the provisions of such exhibit,
schedule or rider shall prevail.

Section 5.09.          Legal
Construction.

(a)                  The
enforcement of this Deed of Trust shall be governed by, and construed and
interpreted in accordance with, the laws of the State.

(b)                 All
terms contained herein shall be construed, whenever the context of this Deed of
Trust so requires, so that the singular number shall include the plural, and
the plural the singular, and the use of any gender shall include all genders.

(c)                  The
terms “include” and “including” as used in this Deed of Trust shall be
construed as if followed by the phrase “without limitation”. The words
“hereof,” “herein” and “hereunder” and words of similar import when used in
this Deed of Trust shall refer to this Deed of Trust as a whole and not to any particular
provision of this Deed of Trust, and Article, Section and Exhibit references
contained in this Deed of Trust are references to Articles, Sections and
Exhibits in or to this Deed of Trust unless otherwise specified.

(d)                 Any
provision of this Deed of Trust or in the other Loan Documents permitting the
recovery of “attorneys’ fees”, “attorneys’ fees and expenses”, “attorneys’ fees
and costs” or “attorneys’ fees, costs and expenses” or any similar term shall
be deemed: (i) to include such attorneys’ fees, costs and expenses; (ii) to
include such fees, costs and expenses incurred in all probate, appellate and
bankruptcy proceedings, as well as any post-judgment proceedings to collect or
enforce any judgment or order relating to the Indebtedness or any of the Loan
Documents; and (iii) shall be deemed to be separate and several, and shall
survive merger into judgment.

Section 5.10.          Merger.
So long as any Indebtedness shall remain unpaid, fee title to and any other
estate in the Mortgaged Property shall not merge, but shall be kept separate
and distinct, notwithstanding the union of such estates in any Person.

Section 5.11.          Time
of the Essence. Time shall be of the essence in the performance of all
obligations of Borrower under this Deed of Trust.

Section 5.12.          Defeasance.
If all of the Indebtedness is paid in full in accordance with the Note, this
Deed of Trust and the other Loan Documents and all of the covenants,
warranties,

 56
 

 

conditions, undertakings and agreements made in the
Note, this Deed of Trust and the other Loan Documents are fully kept and
performed, then in that event only all rights of Lender under this Deed of
Trust and the other Loan Documents shall terminate and the Mortgaged Property
shall become wholly clear of the liens, grants, security interests, conveyances
and assignments evidenced hereby and thereby, and Lender shall release or cause
to be released such liens, grants, assignments, conveyances and security
interests in due form at Borrower’s cost (to the extent permitted by the law of
the State), and this Deed of Trust shall be void; provided, however,
that no provision of this Deed of Trust or any other Loan Document which, by
its own terms, is intended to survive such payment, performance, and release
(nor the rights of Lender or Trustee under any such provision) shall be
affected in any manner thereby and such provision shall, in fact, survive.
Recitals of any matters or facts in any release instrument executed by Lender
or Trustee under this Section 5.12 shall be conclusive proof of the
truthfulness thereof. To the extent permitted by law, such an instrument may
describe the grantee or releasee as “the person or persons legally entitled
thereto” and Lender and Trustee shall not have any duty to determine the rights
of persons claiming to be rightful grantees or releases of any of the Mortgaged
Property. When this Deed of Trust has been fully released or discharged by
Lender and/or Trustee, the release or discharge hereof shall operate as a
release and discharge of the Assignment and as a reassignment of all future
Leases and Property Income with respect to the Mortgaged Property to the person
or persons legally entitled thereto, unless such release expressly provides to
the contrary.

Section 5.13.          Business
Purpose of Loan. Borrower stipulates and warrants that the purpose of the
Loan is for the sole purpose of carrying on or acquiring a business,
professional or commercial enterprise. Borrower further stipulates and warrants
that all proceeds will be used for said business, professional or commercial
enterprise.

Section 5.14.          Transfer
of Loan. Lender may, at any time, sell, transfer or assign the Note, this
Deed of Trust and the other Loan Documents or any portion thereof, and any or
all servicing rights with respect thereto (collectively, a “Transfer”), or
grant participations therein (a “Participation”) or issue mortgage pass-through
certificates or other securities (the “Securities”) evidencing a beneficial
interest in a rated or unrated public offering or private placement (a
“Securitization”). In the case of a Transfer, the transferee shall have, to the
extent of such Transfer, the rights, benefits and obligations of “Lender”
hereunder and the other Loan Documents. Lender may forward to each purchaser,
transferee, assignee, servicer, participant, investor in such Transfer,
Participation or Securitization or any Rating Agency (as hereinafter defined)
rating such Securitization (collectively, the “Investor”) and each prospective
Investor or any agency maintaining databases on the underwriting and
performance of commercial mortgage loans, all documents and information which
Lender now has or may hereafter acquire relating to the Loan, the Mortgaged
Property, Borrower, any principal of Borrower, and any guarantor and indemnitor
of the Loan, whether furnished by Borrower, any guarantor, indemnitor or
otherwise, as Lender determines necessary or desirable. Borrower irrevocably
waives any and all rights it may have under applicable state or federal law to
prohibit disclosure, including any right of privacy. Further Borrower
acknowledges that such information may be transmitted via the internet or by
email. Lender will notify Borrower in writing of any Transfer of the Loan that
results in Lender or its affiliates not retaining any ownership or servicing
interest in the Loan. The term “Rating Agency” shall mean each statistical
rating agency that has assigned a rating to the Securities.

 57
 

 

Section 5.15.          Cooperation. Borrower, any
Principal of Borrower, and any guarantor and indemnitor of the Loan shall cooperate
with Lender, at no out-of-pocket costs or expense to Borrower or any Principal,
in connection with servicing the Loan and any Transfer, Participation,
Securitization or any other financing created or obtained in connection with
the loan, including:

(a)                  Estoppel
Certificates. After request by Lender, Borrower, within 10 days, shall
furnish Lender or any proposed assignee with an estoppel certificate contain
the information set forth in Section 2.18 and such other information that
Lender shall reasonably request, duly acknowledged and certified.

(b)                 Bifurcation
of Note. The Note and this Deed of Trust may, at any time until the same
shall be fully paid and satisfied, at the sole election of Lender, be split or
divided into two or more notes and two or more security instruments, each of
which shall cover all or a portion of the Mortgaged Property to be more
particularly described therein. To that end, Borrower, upon written request of
Lender, shall execute, acknowledge and deliver, or cause to be executed,
acknowledged and delivered by any guarantor or indemnitor of the Loan or the
then owner of the Mortgaged Property, to Lender and/or its designee or
designees substitute notes and security instruments in such principal amounts,
aggregating not more than the then unpaid principal amount of Indebtedness, and
containing terms, provisions and clauses similar to those contained herein and
in the Note, and such other documents and instruments as may be required by
Lender, which have no material adverse effect on Borrower. Borrower shall not
be required to incur any out of pocket costs in connection with any such
bifurcation.

(c)                  Transfer
of Funds. In the event of a Securitization, all funds held by Lender in
connection with the Loan may be deposited in eligible accounts at eligible
institutions as then defined and required by any nationally recognized Rating
Agency. Borrower may be required to execute additional documents in connection
with any such Transfer, Participation, Securitization or financing, including a
new note or notes, which have no material adverse effect on Borrower. Borrower
shall not be required to incur any out of pocket costs in connection with any
such cooperation.

Section 5.16.          Register. Lender shall cause to
be kept a register (the “Register”) for the registration of ownership
and transfer or assignment of the Note or any substitute note or notes secured
by this Deed of Trust. The names and addresses of the registered owners of such
notes, the transfers or assignment of such notes and the names and addresses of
the transferees of such notes will be registered in the Register under such
reasonable regulations as Lender may prescribe. Borrower and Lender shall deem
and treat the registered owner of any note as shown in the Register as the absolute
owner thereof for all purposes, and neither Borrower nor Lender shall be
affected by any notice to the contrary and payment of the principal of,
interest on, and Prepayment Fee, if any, due on or with respect to the related
note shall be made only to or upon the order of such registered owner. All such
payments so made shall be valid and effective to satisfy and discharge the
liability of any Borrower upon such notes to the extent of the sums so paid.
Upon reasonable request from time to time, Lender shall permit any Borrower to
examine the Register.

 58

 

ARTICLE VI.

Trustee

Section 6.01.          Certain Actions of
Trustee. Upon the written request of Lender, Trustee may at any time: (a)
reconvey all or any portion of the Mortgaged Property; (b) consent to the
making of any map or plat thereof; (c) join in granting any easement thereon or
in creating any covenants or conditions restricting the use or occupancy
thereof; or (d) join in any extension agreement or in any agreement
subordinating the lien or charge hereof. Any such action may be taken by
Trustee without notice, and shall not affect the personal liability of any
person for the payment of the Indebtedness or the lien of this Deed of Trust
upon the Mortgaged Property for the full amount of the Indebtedness.

Section 6.02.          Reconveyances.
Upon the written request of Lender stating that all sums secured hereby have
been paid, and upon payment of its fees, Trustee shall reconvey without
warranty the Mortgaged Property then held by Trustee hereunder.

Section 6.03.          Trustee’s Covenants
and Compensation. Trustee, by its acceptance hereof, covenants faithfully
to perform and fulfill the trust herein created, being liable, however, only
for negligence or willful misconduct. Trustee hereby waives any statutory fee
and shall be entitled to, and hereby agrees to accept, reasonable compensation
in lieu thereof for all services rendered or expenses incurred in the
administration or execution of the trust hereby created. Borrower hereby agrees
to pay such compensation subject to any applicable legal limitations.

Section 6.04.          Substitution of
Trustee. Lender at any time in its sole discretion may select and appoint a
successor or substitute Trustee hereunder by instrument in writing in any
manner now or hereafter provided by law. Such writing, upon recordation in the
county where the Land is located, shall be conclusive proof of proper
substitution of such successor or substitute Trustee which shall thereupon and
without conveyance from the predecessor Trustee succeed to all its title,
estate rights, powers and duties.

Section 6.05.          Resignation of
Trustee. Trustee may resign at any time upon giving 30 days’ notice to
Borrower and to Lender.

Section 6.06.          Ratification of Acts
of Trustee. Borrower hereby ratifies and confirms any and all acts which
Trustee named herein or its successors or assigns in this trust shall do
lawfully by virtue hereof.

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IN WITNESS
WHEREOF, this Deed of Trust has been duly executed and delivered as of the day
and year first above written.

	
  

  	
  BORROWER

  
	
   

  	
   

  
	
   

  	
  KINGSDELL
  L.P., a Delaware limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  IFC, Inc., a
  Missouri corporation, its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ James L.
  Smith

  
	
   

  	
   

  	
  Name: James L.
  Smith

  
	
   

  	
   

  	
  Its: President

  

 

 60
 

 

STATE
OF Missouri]

COUNTY
OF St. Louis]

On
this          day of July,
2005, before me, a Notary Public in and for said State, personally appeared
James L. Smith known to me to be the person described in and who executed such
instrument as President of IFC, Inc., a Missouri corporation, the general
partner, and duly authorized signatory of Kingsdell L.P., a Delaware limited
partnership, and who acknowledged the execution of such instrument as such
officer for and on behalf of and as the act and deed of such corporation, as
the general partner of such partnership, pursuant to authority lawfully
conferred upon him by such partnership and neither said corporation nor said
partnership have a corporate seal.

IN WITNESS WHEREOF, I
have hereunto set my hand and affixed my official seal the day and year first
set forth above.

	
  

  	
  KRISTIN M. GOUNIS

  	
  /s/ Kristin M. Gounis

  
	
   

  	
  Notary Public,
  State of Missouri

  	
  Notary Public

  	
  KRISTIN M. GOUNIS

  
	
  [SEAL]

  	
  St. Charles
  County

  	
   

  
	
   

  	
  Commission #
  03386987

  	
  My Commission expires: August 3, 2007

  
	
   

  	
  My Commission
  Expires August 03, 2007

  	
   

  

 

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EXHIBIT A

DESCRIPTION
OF LAND

PARCEL 1:

A tract of land in Block 3882 of the City of St.
Louis, Missouri, beginning at the intersection of the Eastern line of
Kingshighway Boulevard, 100 feet wide, with the Southern line of Maryland
Plaza, 80 feet wide; thence along the Southern line of Maryland Plaza, South 88
degrees 57 minutes 40 seconds East, 200.00 feet to a point, said point being
the Northeast corner of property conveyed to Singleton by deed recorded in Book
4189 page 404 of the St. Louis City records; thence leaving said street line
and running along a line parallel with the Eastern line of Kingshighway
Boulevard and being the Eastern line of said Singleton property, South 6
degrees 21 minutes 40 seconds East, 196.62 feet to a point; thence leaving said
point and running the following: North 89 degrees 33 minutes 08 seconds West,
61.67 feet; North 4 degrees 42 minutes 25 seconds West, 8.16 feet and South 85
degrees 17 minutes 58 seconds West, 137.39 feet to a point on the Eastern line
of Kingshighway Boulevard, as aforementioned, said point being distant, North 6
degrees 21 minutes 40 seconds West, 247.83 feet from the Northern line of
Lindell Boulevard, 100 feet wide, as measured along the Eastern line of
Kingshighway Boulevard; thence along said Eastern street line, North 6 degrees
21 minutes 40 seconds West, 202.93 feet to the point of beginning.

PARCEL 2:

Sub-surface easement more particularly described as
follows: A portion of the public street rights-of-way known as Kingshighway
Boulevard, 100 feet wide, and Maryland Plaza, 80 feet wide, adjacent to Block
3882 of the City of St. Louis, Missouri, lying between horizontal planes at
elevation 72.35 and 82.20 above 0.00 on the St. Louis City Datum and bounded by
vertical planes described as follows: Commencing at the intersection of the
Northern line of Lindell Boulevard, 100 feet wide, with the Eastern line of
Kingshighway Boulevard, 100 feet wide; thence along said Eastern line of
Kingshighway Boulevard, North 6 degrees 21 minutes 40 seconds West, 233.89 feet
to the point of beginning of the herein described tract of land; thence leaving
said Eastern street line, and running South 85 degrees 17 minutes 58 seconds
west, 17.01 feet to a point; thence along a line parallel with the Eastern line
of Kingshighway Boulevard, North 6 degrees 21 minutes 40 seconds West, 202.48
feet to a point; thence North 36 degrees 10 minutes 13 seconds East, 34.20 feet
to a point; thence along a line parallel with the Southern line of Maryland
Plaza, South 88 degrees 57 minutes 40 seconds East, 107.00 feet to a point;
thence North 86 degrees 28 minutes 40 seconds East, 25.15 feet to a point;
thence along a line parallel with the Southern line of Maryland Plaza, South 88
degrees 57 minutes 40 seconds East, 61.50 feet to a point; thence South 6
degrees 21 minutes 40 seconds East, 14.12 feet to a point on the Southern line
of Maryland Plaza at the Northeast corner of property conveyed to Singleton by
Deed recorded in Book 4189 page 404 of the St. Louis City records; thence along
the Southern line of Maryland Plaza, North 88 degrees 57 minutes 40 seconds
West, 200.00 feet to its intersection with the Eastern line of Kingshighway
Boulevard, as aforementioned; thence along said Eastern street line, South 6
degrees 21 minutes 40 seconds East, 216.87 feet to the point of, beginning.

PARCEL 3:

A tract of land in Block 3882 of the City of St.
Louis, Missouri, beginning at the intersection of the Northern line of Lindell
Boulevard, 100 feet wide, with the Eastern line of Kingshighway,

 62
 

 

100 feet wide; thence along said Eastern line of
Kingshighway Boulevard, North 6 degrees 21 minutes 40 seconds West, 247.83 feet
to a point; thence leaving said street line and running the following; North 85
degrees 17 minutes 58 seconds East, 137.39 feet; South 4 degrees 42 minutes 25
seconds East, 8.16 feet and South 89 degrees 33 minutes 08 seconds East, 61.67
feet to a point; thence North 6 degrees 21 minutes 40 seconds West 1.98 feet to
a point; thence South 89 degrees 00 minutes 00 seconds East 46.97 feet to a
point; thence North 1 degree 02 minutes 20 seconds East 98.99 feet to a point;
thence leaving said point and running along a line parallel with and 94.00 feet
perpendicular distant South of the Southern line of Maryland Plaza, South 88
degrees 57 minutes 40 seconds East 252.68 feet to a point, said point being
distant North 88 degrees 57 minutes 40 seconds West, 68.24 feet from the
Western line of York Avenue, as measured along the last mentioned line and
located on the direct Northward prolongation of the Eastern wall of a concrete
parking garage; thence leaving said point and running along said prolongation,
along the Eastern wall of said parking garage and along its direct Southward
prolongation South 1 degree 06 minutes 00 seconds West, 139.23 feet to a point
on the Northern line of property conveyed to “220 Television, Inc.”, by deed
recorded in Book 154M page 1091 of the City of St. Louis records, said point
being distant North 88 degrees 57 minutes 40 seconds West, 88.41 feet from the
West line of York Avenue, as measured along said Northern line; thence leaving
the aforementioned point and running along the Northern line of “220 Television
Inc.”, North 88 degrees 57 minutes 40 seconds West, 18.06 feet to the Northwest
corner thereof; thence along the Western line of said property, South 1 degree
02 minutes 20 seconds West, 25.63 feet to a point on the Northern wall of a one
story, brick and concrete building; thence leaving said Western property line
and running along said Northern wall line South 88 degrees 52 minutes 34 seconds
East, 6.97 feet to the Northeast corner of said one story building and located
on the Western wall of a two story brick and concrete block building; thence
along the wall line of said one story building and said two story building,
South 1 degree 06 minutes 59 seconds West, 24.32 feet to a point; thence
leaving the Eastern wall of said one story building and running along the wall
of said two story building the following; South 88 degrees 53 minutes 01
seconds East, 9.04 feet; South 0 degrees 55 minutes 46 seconds West, 50.77
feet; North 88 degrees 53 minutes 07 seconds West, 1.20 feet; South 0 degrees
55 minutes 46 seconds West, 1.36 feet and South 88 degrees 53 minutes 07
seconds East, 1.20 feet to a point; thence leaving said wall line and running South
1 degree 02 minutes 17 seconds West, 111.36 feet to a point on the Northern
line of Lindell Boulevard, as aforementioned, said point being distant South 89
degrees 00 minutes 00 seconds East, 5.92 feet from the Southwest corner of
property conveyed to “220 Television Inc.”, as measured along the Northern line
of Lindell Boulevard; thence leaving said point and running along the Northern
line of said Lindell Boulevard North 89 degrees 00 minutes 00 seconds West,
464.53 feet to the point of beginning.

PARCEL 4:

A tract of land being part of Block 3882 of the City
of St. Louis, Missouri, and described as follows: Commencing at the
intersection of the Eastern line of Kingshighway Boulevard, 100 feet wide, with
the Southern line of Maryland Plaza, 80 feet wide; thence along said Southern
line of Maryland Plaza, South 88 degrees 57 minutes 40 seconds East, 200.00
feet to a point, said point being the Northeast corner of property conveyed to
Singleton by deed recorded in Book 4189 page 404 of the St. Louis City Records;
thence leaving said street line and running along a line parallel with the
Eastern line of Kingshighway Boulevard and being the Eastern line of said
Singleton property South 6 degrees 21 minutes 40 seconds East, 94.79 feet to a
point of beginning of the herein described tract of land; thence leaving said
point and running along a line parallel with and 94.00 feet perpendicular
distance South of the Southern line of Maryland Plaza, South 88 degrees 57
minutes 40 seconds East, 59.83 feet to a point; thence leaving said point and

 63
 

 

running South 1 degrees 02 minutes 20 seconds West,
98.99 feet to a point; thence leaving said point and running along a line
parallel with the Northern line of Lindell Boulevard, 100 feet wide, North 89
degrees 00 minutes 00 seconds West, 46.97 feet to a point on the Eastern line
of Singleton as aforementioned; thence along said Eastern line North 6 degrees
21 minutes 40 seconds West, 99.85 feet to the point of beginning.

PARCEL 5:

Easement for the benefit of Parcels 1, 3 and 4 herein
described for the purpose of vehicular and pedestrian access, ingress and
egress, according to Easement Agreement and Parking Space Lease dated July 31,
1998, by and between W.S. Stallings Corporation, and Kingsdell L.P., recorded
October 22, 1998 in Book 1444M page 1253, over the area described therein, as
follows:

A tract of land in Block
3882 of the City of St. Louis, Missouri, and described as follows: Beginning at
a point in the South line of Maryland Avenue distant 200 feet 0 inches East of
the intersection of said South line with the East line of Kingshighway
Boulevard; thence Southwardly parallel with Kingshighway Boulevard and along
the East line of property conveyed to Marvin E. Singleton by deed recorded in
Book 4189 page 404, 94 feet 9-1/2 inches to a point distant 94 feet 0 inches
South of the South line of Maryland Avenue; thence Eastwardly parallel with
Maryland Avenue and along the North line of property conveyed to Harvey
Imbolden by deed recorded in Book 6227 page 294, 62 feet 0-3/8 inches to a
point; thence Northwardly perpendicular with Maryland Avenue, 39 feet 0 inches
to a point; thence Westwardly parallel with Maryland Avenue, 25 feet 6 inches
to a point; thence Northwardly perpendicular with Maryland Avenue, 55 feet 0
inches to a point in the South line of Maryland Avenue, 48 feet 9 inches to the
point of beginning.

PARCEL 6:

Easements for the benefit of Parcels 1, 3 and 4 herein
described, for the purposes of Construction, use, maintenance, repair and
reconstruction of driveways and ingress and egress created by instrument
designated “Driveway Easement Agreement”, dated May 18, 1981 and recorded in
Book 271M page 64 on May 21, 1981 over the following described property:

EASEMENT “A”:

A tract of land being part of Block 3882 of the City
of St. Louis, Missouri, and described as follows: Beginning at a point on the
Western line of York Avenue, 40 feet wide, at the Northeast corner of property
conveyed to “220 Television Inc.”, by deed recorded in Book 154M page 1091 of
the St. Louis City records, said point being distant North 7 degrees 08 minutes
40 seconds West, 215.57 feet from the Northern line of Lindell Boulevard, 100
feet wide, as measured along the Western line of York Avenue; thence leaving
said Western street line and running along the Northern line of “220 Television
Inc.”, North 88 degrees 57 minutes 40 seconds West, 88.41 feet to a point, said
point being on the direct Southward prolongation of the Eastern wall of a
Concrete Parking Garage; thence leaving said point and running along said
prolongation, North 1 degree 06 minutes 00 seconds East, 20.00 feet to a point;
thence leaving said point and running South 88 degrees 57 minutes 40 seconds
East, 85.51 feet to a point on the Western line of York Avenue, as aforementioned;
thence along said Western street line South 7 degrees 08 minutes 40 seconds
East, 20.21 feet to the point of beginning.

 64
 

 

EASEMENT “B”:

A tract of land being part of Block 3882 of the City
of St. Louis, Missouri, and described as follows: Commencing at a point on the
Western line of York Avenue, 40 feet wide, at the Southeast corner of property
conveyed to H & M Koplar by deed recorded in Book 207M page 206 of the St.
Louis City records, said point being distant South 7 degrees 08 minutes 40
seconds East, 94.97 feet from the Southern line of Maryland Plaza, 80 feet
wide, as measured along the Western line of York Avenue; thence along said
Western street line South 7 degrees 08 minutes 40 seconds East, 19.00 feet to
the point of beginning of the herein described tract of land; thence continuing
along said street line South 7 degrees 08 minutes 40 seconds East, 34.00 feet
to a point; thence leaving said Western street line and running North 75
degrees 38 minutes 39 seconds West, 8,51 feet and North 84 degrees 43 minutes
40 seconds West 67.74 feet to a point on the Eastern wall of a concrete parking
garage; thence along said Eastern wall North 1 degree 06 minutes 00 seconds
East, 20.50 feet to a point; thence leaving said point and running North 89
degrees 06 minutes 58 seconds East, 59.61 feet and North 70 degrees 50 minutes
17 seconds East, 12,14 feet to the point of beginning.

PARCEL 7:

Easement for the benefit of Parcels No. 1, 3 and 4
herein described, for the purpose of construction use, storage, maintenance,
demolition, repair and reconstruction of a basement, including access thereto,
created by instrument designated “Basement Easement Agreement”, dated May 18,
1981 and recorded in Book 271M page 84 on May 21, 1981 over the following
described property; a tract of land being part of Block 3882 of the City of St.
Louis, Missouri, and described as follows: Commencing at a point on the
Northern line of Lindell Boulevard, 100 feet wide, at the Southwest corner of
property conveyed to “220 Television Inc”, by deed recorded in Book 154M page
1091 of the St. Louis City records; thence along the Northern line of Lindell
Boulevard South 89 degrees 00 minutes 00 seconds East, 5.92 feet to a point;
thence leaving said street line and running North 1 degrees 02 minutes 17
seconds East, 24.71 feet to the point of beginning of the herein described
tract of land; thence continuing along the last mentioned line, North 1 degrees
02 minutes 17 seconds East, 86.65 feet to its intersection with the Southern
wall of a two story brick and concrete block building; thence along the wall of
said building the following bearing and distances: North 88 degrees 53 minutes
07 seconds West, 1.20 feet; North 0 degrees 55 minutes 46 seconds East, 1.36
feet; South 88 degrees 53 minutes 07 seconds East, 1.20 feet; North 0 degrees
55 minutes 46 seconds East, 50.77 feet and North 88 degrees 53 minutes 01
seconds West, 9.04 feet to its intersection with the Eastern wall of a one
story brick and concrete block building; thence along the wall line of said one
story and said two story buildings North 1 degree 06 minutes 59 seconds East,
24.32 feet to the Northwest corner of said one story building; thence leaving
said point and running the following bearings and distances; South 88 degrees
52 minutes 34 seconds East, 8.51 feet; South 1 degree 06 minutes 59 seconds
West, 12.67 feet; South 88 degrees 53 minutes 01 second East, 8.93 feet and
South 1 degree 12 minutes 50 seconds West, 57.77 feet to the Northwest corner
of an eight story brick building; thence along the Western wall of said
building and the following bearings and distances: South 1 degree 23 minutes 44
seconds East, 78.19 feet; South 88 degrees 36 minutes 16 seconds West, 0.27
feet and South 1 degree 23 minutes 44 seconds East, 14.46 feet to the Southwest
corner thereof; thence leaving said point and running North 89 degrees 17
minutes 57 seconds west, 11.81 feet to the point of beginning.

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EXHIBIT
B

PERMITTED
ENCUMBRANCES

The Schedule B Part 1
Exception Nos. 1 through 17 as shown in Commonwealth Land Title Insurance
Company Pro-Forma Policy File No. 474079 (Revision No. 2).

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EXHIBIT C

OPERATING
AGREEMENTS

1.         Easement Agreement and
Parking Space Lease dated July 31, 1998, by and between W.S. Stallings
Corporation, and Kingsdell L.P., recorded October 22, 1998 in Book 1444M page
1253.

2.         Driveway Easement
Agreement, dated May 18, 1981 and recorded in Book 271M page 64 on May 21,1981.

3.         Basement Easement
Agreement, dated May 18,1981 and recorded in Book 271M page 84 on May 21,1981.

4.         Property Management and
Leasing Agreement dated April 1, 2003 between Borrower and CWE Hospitality,
LLC.

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EXHIBIT D

INTEREST
RATE CAP AGREEMENT

(a)                  Borrower
shall enter into, and Borrower shall thereafter maintain in full force and
effect, an “Interest Rate Cap Agreement” from an issuer acceptable to Lender
(“Issuer”), for a term equal to the remaining term of the Loan, in a notional
amount not less than $5,000,000. The Interest Rate Cap Agreement shall provide
that if the LIBOR Rate (as defined in Note B) then in effect under Note B is at
any time greater than 13% (the “Strike Price”), then the Issuer shall pay to
Lender, on the dates when monthly payments of interest are required to be paid
to the Lender under Note B, an amount equal to interest on said notional amount
at the Excess Rate (as hereinafter defined).

(b)                 Prior
to the expiration of any Interest Rate Cap Agreement, Borrower shall, at
Borrower’s cost and expense, replace the same with an Interest Rate Cap
Agreement (i) covering a notional amount not less than the then outstanding
principal balance of Note B, (ii) issued at a strike price identical to the
initial Interest Rate Cap Agreement, (iii) issued by an issuer satisfying the
Rate Cap Rating Criteria (as hereinafter defined) and otherwise reasonably
satisfactory to Lender, (iv) for a term of at least one (1) year, and (v)
otherwise in form and substance reasonably satisfactory to the Lender. Borrower
shall maintain in full force and effect an Interest Rate Cap Agreement during
the entire term of the Loan. In the event that (1) an Interest Rate Cap
Agreement is terminated for any reason or is otherwise unenforceable by the
Lender or (2) the issuer executing the Interest Rate Cap Agreement is not a
financial institution satisfying the Rate Cap Rating Criteria, Borrower shall
immediately obtain from a financial institution that satisfies the Rate Cap Rating
Criteria a replacement Interest Rate Cap Agreement in form and substance
satisfactory to the Lender in its reasonable discretion.

(c)                  The
cost of the Interest Rate Cap Agreement(s) shall be paid for by Borrower on or
prior to the commencement of the term of the Interest Rate Cap Agreement(s).

(d)                 Each
Interest Rate Cap Agreement shall be collaterally assigned to Lender pursuant
to a collateral assignment in form and substance satisfactory to Lender, which
assignment shall be consented to by the Issuer and delivered to Lender, with
respect to the initial Interest Rate Cap Agreement, prior to the commencement
of the term of the Interest Rate Cap Agreement and with respect to any
replacement Interest Rate Cap Agreement, prior to the expiration of the Interest
Rate Cap Agreement then being replaced.

(e)                  As
used herein, “Excess Rate” shall mean an amount equal to the LIBOR Rate then in
effect under Note B minus the Strike Price. As used herein, “Rate Cap Rating
Criteria” means with respect to any Person, the long term unsecured debt
obligations of the applicable Person are rated at least “AA” by Standard &
Poor’s Rating Services, a division of The McGraw-Hill Companies, Inc., and any
successor thereto, and at least “Aa” by Moody’s Investor Services, Inc., and
any successor thereto.

 68
 

 

RIDER

APPLICABLE
STATE LAW PROVISIONS

Section
I: Section 19 shall be supplemented by the following
provisions:

Upon and after any Event
of Default, Trustee or Lender, with or without entry, personally or by its
agents or attorneys, insofar as applicable, may:

(1)                  proceed
to sell the Mortgaged Property as one parcel in its entirety or any part
thereof either in mass or in parcels, at the absolute discretion of Trustee, at
public venue, to the highest bidder for cash at the door of the Court House or
other location then customarily employed for that purpose in the county (or
city) where the Mortgaged Property is located, first giving notice of the time
and place of sale, and a description of the property to be sold, by
advertisement published and as is provided by the laws of the State of Missouri
then in effect, and upon sale shall execute and deliver a deed of conveyance of
the property sold to the purchaser or purchasers thereof, and any statement or
recital of fact in such deed, in relation to the nonpayment of the money hereby
secured to be paid, existence of the indebtedness so secured, notice of
advertisement, sale and receipt of the proceeds of sale, shall be prima facia
evidence of the trust of such statements or recital, and Trustee shall receive
the proceeds of such sale out of which Trustee shall pay: First, the cost and
expenses of executing this trust, including compensation to the Trustee and to
any attorneys employed by him or Lender for their services; second, to Lender, upon
the usual vouchers therefor, all amounts paid for insurance, taxes, lien
claims, and other payments made by Lender as provided herein, with interest
thereon as provided herein; third, the amount on the indebtedness then due and
unpaid; fourth, the amount due on any junior encumbrances, with interest;
fifth, the remainder of such proceeds, if any, shall be paid to Borrower or as
otherwise provided by law. The power or sale hereunder shall not be exhausted
by any one or more such sales (or attempts to sell) as to all or any portion of
the Mortgaged Property remaining unsold, but shall continue unimpaired until
all of the Mortgaged Property has been sold or the loan and all other
indebtedness of Borrower to Lender secured hereby shall have been paid in full.

(2)                  Trustee
may sell and convey the Mortgaged Property under the power aforesaid, although
Trustee has been, may now be or may hereafter be attorney or agent of Lender in
respect to the Loan or this Deed of Trust or in respect to any matter of
business whatsoever. The making of oath or giving of bond by Trustee or any
successor Trustee is expressly waived.

(3)                  Trustee
may adjourn from time to time any sale by Trustee to be made under or by virtue
of this Deed of Trust by announcement at the time and place appointed for such
sale or for such adjourned sale or sales; and, except as otherwise provided by
any applicable provision law, Trustee, without further notice or publication,
may make such sale at the time and place to which the same shall be so adjourned.

 69
 

 

(4)                  Upon
the completion of any sale or sales made by Trustee under or by virtue of this
section, Trustee, or an officer of any court empowered to do so, shall execute
and deliver to the accepted purchaser or purchasers a good and sufficient
instrument, or good and sufficient instruments, conveying, assigning and
transferring the estate, right, title and interest in and to the property and
rights sold, but without any covenant or warranty express or implied. The
recitals in such deed of any matters or facts shall be prima facie evidence of the truthfulness thereof. Any
such sale or sales made under or by virtue of this section whether made under
the power of sale of foreclosure and sale, shall operate to divest the estate,
right, title, interest, claim and demand whatsoever, whether at law or in
equity, of Borrower in and to the properties and rights so sold, and shall be a
perpetual bar both at law and in equity against Borrower and against any and
all persons claiming or who may claim the same, or any part thereof from,
through or under Borrower.

(6)                  Upon
any sale made under or by virtue of this section, whether made under the power
of sale herein granted or under or by virtue of judicial proceedings or of a
judgment or decree of, foreclosure and sale, Lender may bid for and acquire the
Mortgaged Property or any part thereof and in lieu of cash payment therefor may
make settlement for the purchase price by crediting upon the indebtedness of
Borrower secured by this Deed of Trust, the net sales price after deducting
therefrom the expenses of the sale and the cost of the action and any other
sums which Lender is authorized to deduct under this Deed of Trust. Lender,
upon so acquiring the Mortgaged Property, or any part thereof shall be entitled
to hold, lease, rent, operate, manage and sell the same in any manner provided
by applicable laws.

(7)                  Borrower
agrees that a commercially reasonable manner of disposition of the personal
property comprised within the Mortgaged Property shall include without
limitation at the option of the Lender the sale of all personal property in
full or in part concurrently with the foreclosure of the real estate in
accordance with the provisions of this Deed of Trust and as permitted by
Missouri law.

(8)                  The
making of oath or giving of bond by Trustee or any successor trustee is
expressly waived.

Section
II               Lease
of Mortgaged Property. The Trustee hereby lets the Mortgaged Property
unto the Borrower, until this Deed of Trust is satisfied and released or until
an Event of Default be made under the covenants or agreements hereof, upon the
following terms and provisions, to-wit: The Borrower, its successors and
assigns, shall pay rent therefor during said terms at the rate of one cent
($.01) per month, payable monthly upon demand, and shall and will peaceably
surrender possession of the Mortgaged Property, and every part thereof, to
Trustee immediately upon an Event of Default, and without notice or demand
therefor, and thereupon Trustee or Lender shall be entitled to the rents,
revenues, income and profits derived therefrom as provided herein and shall
have the right to sell the Mortgaged Property or any part thereof as herein
provided.

Section
III           Loan
Proceeds. The proceeds of the Loan secured by this Deed of Trust will
be used for the purposes specified in Section 408.035 of the Revised Statutes
of Missouri and the

 70
 

 

obligations secured hereby constitute both a business
loan and a real estate loan which comes within the purview of Section 408.035
of the Revised Statutes of Missouri.

Section
IV          Oral
Agreements. The following is added to this Deed of Trust pursuant to
Section 432.045 of the Revised Statutes of Missouri:

ORAL
AGREEMENTS OR COMMITMENTS TO LOAN MONEY, EXTEND CREDIT, OR TO FOREBEAR FROM
ENFORCING REPAYMENT OF A DEBT INCLUDING PROMISES TO EXTEND OR RENEW SUCH DEBT
ARE NOT ENFORCEABLE, REGARDLESS OF THE LEGAL THEORY UPON WHICH IT IS BASED THAT
IS IN ANY WAY RELATED TO THE CREDIT AGREEMENT. TO PROTECT YOU (BORROWER) AND US
(LENDER) FROM MISUNDERSTANDING OR DISAPPOINTMENT, ANY AGREEMENTS BORROWER AND
LENDER REACH COVERING SUCH MATTERS ARE CONTAINED IN THIS WRITING, WHICH IS THE
COMPLETE AND EXCLUSIVE STATEMENT OF THE AGREEMENT BETWEEN BORROWER AND LENDER,
EXCEPT AS BORROWER AND LENDER MAY LATER AGREE IN WRITING TO MODIFY IT.

Section
V              Future
Advances. This instrument secures future advances and shall be governed
by the provisions of Section 443.055 of the Revised Statutes of Missouri. The
maximum principal indebtedness secured hereby shall in no event exceed One
Hundred Twenty Million Dollars ($120,000,000).

Section
VI          Termination of Future Advances. In the
event any person legally entitled thereto shall at any time deliver or cause to
be delivered to Lender a notice pursuant to subsection 6 or 8 of Section
443.055 of the Revised Statutes of Missouri electing to terminate the operation
of this Deed of Trust as security for future advances or future obligations
made or incurred after the date of such notice, then upon receipt of such
notice the Lender shall have no further obligation under the Loan Documents,
this Deed of Trust or otherwise to advance monies to or for the account of the
Borrower, notwithstanding anything in the Loan Documents or this Deed of Trust
to the contrary. Moreover, any request by Borrower for an advance under the
Loan Documents shall constitute a certification that no such notice of lien
termination has been given.

Section
VII      Statutory
Notice-Insurance. The following notice is given pursuant to Section
427.120 of the Revised Statutes of Missouri; nothing contained in such notice
shall be deemed to limit or modify the terms of the Loan Documents:

UNLESS BORROWER PROVIDES
EVIDENCE OF THE INSURANCE COVERAGE REQUIRED BY THIS DEED OF TRUST, LENDER MAY
PURCHASE INSURANCE AT BORROWER’S EXPENSE TO PROTECT LENDER’S INTERESTS IN
BORROWER’S MORTGAGED PROPERTY. THIS INSURANCE MAY, BUT NEED NOT, PROTECT
BORROWER’S INTERESTS. THE COVERAGE THAT LENDER PURCHASES MAY NOT PAY ANY CLAIM
THAT BORROWER MAKES OR ANY CLAIM THAT IS MADE AGAINST BORROWER IN CONNECTION
WITH THE MORTGAGED PROPERTY. BORROWER MAY LATER CANCEL ANY INSURANCE PURCHASED
BY LENDER, BUT

 71
 

 

ONLY AFTER PROVIDING EVIDENCE THAT BORROWER HAS OBTAINED INSURANCE AS
REQUIRED BY THIS DEED OF TRUST. IF LENDER PURCHASES INSURANCE FOR THE MORTGAGED
PROPERTY, BORROWER WILL BE RESPONSIBLE FOR THE COSTS OF THAT INSURANCE,
INCLUDING THE INSURANCE PREMIUM, INTEREST AND ANY OTHER CHARGES LENDER MAY
IMPOSE IN CONNECTION WITH THE PLACEMENT OF THE INSURANCE, UNTIL THE EFFECTIVE
DATE OF THE CANCELLATION OR EXPIRATION OF THE INSURANCE. THE COSTS OF THE
INSURANCE MAY BE ADDED TO BORROWER’S TOTAL OUTSTANDING BALANCE OR OBLIGATION.
THE COSTS OF THE INSURANCE MAY BE MORE THAN THE COST OF INSURANCE BORROWER MAY
BE ABLE TO OBTAIN ON BORROWER’S OWN.

 72Exhibit 10.50

ASSIGNMENT OF LEASES AND RENTS

Cover Sheet

	
  Dated as of July 28, 2005

  	
   

  	
  Mortgage
  Loan No. 05202

  
	
   

  	
   

  	
   

  
	
  Grantor/Assignor:

  	
   

  	
  Kingsdell L.P., a Delaware limited partnership

  (Hereinafter sometimes “Borrower”)

  
	
  Grantor/Assignor’s Notice address:

  	
   

  	
  c/o IFC, Inc.

  212 North Kingshighway Blvd.

  St. Louis, Missouri 63108

  Attn: James L. Smith, President

  
	
   

  	
   

  	
   

  
	
  Grantee/Assignee:

  	
   

  	
  MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY, a
  Massachusetts corporation

  (Hereinafter sometimes “Lender”)

  
	
  Grantee/Assignee’s Notice Address:

  	
   

  	
  c/o Babson Capital Management LLC

  Real Estate Finance Group

  1500 Main Street, Suite 2100

  Springfield, Massachusetts 01115

  Attention:   Managing Director

  
	
   

  	
   

  	
   

  
	
  Premises:

  	
   

  	
  See Exhibit A attached hereto beginning on page
  12

  

 

RECORDING REQUESTED BY 

AND WHEN RECORDED MAIL TO:

Alison M. Mitchell

DLA Piper Rudnick Gray Cary US LLP 

203 North LaSalle Street, Suite 1900 

Chicago, Illinois 60601

 i

 

 

ASSIGNMENT OF LEASES AND RENTS

THIS ASSIGNMENT OF LEASES AND RENTS (this “Assignment”)
is made as of July 28, 2005 by and between KINGSDELL
L.P., a Delaware limited partnership having an office at c/o IFC,
Inc., 212 North Kingshighway Blvd., Suite 1023, St. Louis, Missouri 63108,
Attention: James L. Smith, President (“Assignor”), and MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY, a
Massachusetts corporation having an address c/o Babson Capital Management LLC,
1500 Main Street, Suite 2100, Springfield, Massachusetts 01115, Attention:
Managing Director, Real Estate Finance Group (“Assignee”).

RECITALS

A.       Assignor,
as maker, executed and delivered to Assignee, as payee, two (2) Promissory
Notes, each of even date herewith, one (1) in the amount of $55,000,000 (“Note
A”) and the second in the original principal amount of up to $5,000,000 (“Note
B”) (as said Promissory Notes may be amended, replaced, substituted,
restated, renewed or extended, collectively, the “Note”) in the stated
principal amount of $60,000,000.00, which Note evidences a loan (the “Loan”)
in the original principal amount of up to $60,000,000.00 made by Assignee to
Assignor.

B.       The Loan
is secured in part by Assignor’s interest in and to that certain real property
located in the County of St. Louis and State of Missouri and described in Exhibit
A attached hereto and made a part hereof (collectively, the “Premises”),
as evidenced by a certain Deed of Trust and Security Agreement and Fixture
Filing dated of even date herewith (“Mortgage”) with respect to the
Premises (which secures future advances pursuant to Section 443.055 of the
Revised Statutes of Missouri, and intended to be duly recorded). As used
herein, the Note, the Mortgage, this Assignment and all other instruments
evidencing, securing or pertaining to the Loan, now or from time to time
hereafter executed and delivered to Assignee, are referred to collectively
herein as the “Loan Documents”.

C.       Assignee
has required, as a condition to the making of the Loan, that Assignor make and
deliver this Assignment as below provided.

NOW THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Assignor, intending to be legally
bound, hereby agrees as follows:

1.        Recitals. The foregoing recitals are incorporated into this Assignment by this reference.

2.        Defined
Terms. As used in this
Assignment, unless otherwise defined herein, all initially capitalized terms
shall have the respective meanings ascribed to such terms in the Mortgage.

 1
 

 

3.        Assignment.

(a)       Assignor does
hereby absolutely, presently and irrevocably assign, transfer, and set over
unto Assignee:

(i)        All of the
right, title and interest of Assignor in and to all leases, occupancy
agreements, licenses to occupy, lettings, tenancies and other similar
agreements, affecting all or a portion of the Premises, which leases, occupancy
agreements, licenses to occupy, and other similar agreements are listed on Exhibit
B hereto, and all other and future leases, occupancy agreements, licenses
to occupy, lettings and tenancies and other similar arrangements, of the
Premises, and all modifications, renewals, and extensions of the existing
leases, occupancy agreements, licenses to occupy, lettings, tenancies and other
similar arrangements present and future, together with guarantees, if any, of
the lessee’s obligations thereunder whether entered into before or after the
filing by or against Assignor of any petition for relief under 11 U.S.C. §101
et. seq. as the same may be amended from time to time, or any successor statute
thereto (the “Bankruptcy Code”) (collectively the “Leases”);

(ii)       All rents,
issues, income, proceeds payments, and profits arising from the Lease(s) and
from the use and occupation of the Premises, including, without limitation, all
fixed and additional rents, cancellation payments, option payments, letter of
credit proceeds, supporting obligations, security deposits and all sums due and
payments made under any guarantee of any of the Lease(s) or any obligations
thereunder, including, without limitation, all revenues and credit card
receipts collected from guest rooms, restaurants, bars, mini-bars, meeting
rooms, banquet rooms and recreational facilities and otherwise, all
receivables, customer obligations, installment payment obligations and other
obligations now existing or hereafter arising or created out of sale, lease,
sublease, license, concession or other grant of the right of the possession,
use or occupancy of all or any portion of the Premises, or personalty located
thereon, or rendering of services by Assignor or any operator or manager of the
hotel or the commercial space located in the Premises or acquired from others
including, without limitation, from the rental of any office space, retail
space, commercial space, guest room or other space, halls, stores or offices,
including any deposits securing reservations of such space, exhibit or sales
space of every kind, license, lease, sublease and concession fees and rentals,
health club membership fees, food and beverage wholesale and retail sales,
telephone and television systems, guest laundry, the provision or sale of other
goods and services, service charges, vending machine sales, and any other items
of revenue, receipts or other income as identified in the Uniform System of
Accounts for the Lodging Industry, 9th Edition, American Hotel & Motel
Association (1996), as from time to time amended, all regardless of whether
paid or accruing before or after the filing by or against Assignor of any
petition for relief under the Bankruptcy Code (collectively “Rents”); and

 2
 

 

(iii)      All
rights, powers, privileges, options and other benefits of Assignor under the
Leases, including without limitation the immediate and continuing right to make
claim for, receive, collect and receipt for all Rents, including the right to
make such claim in a proceeding under the Bankruptcy Code, and the right to
apply the same to the payment of the Indebtedness (collectively “Rights”).

(b)       Assignor and
Assignee intend that this Assignment constitute a present, irrevocable and
absolute assignment of the Lease(s) and Rents, and not an assignment for
additional security only. Assignee grants to Assignor a revocable license
(“License”) to collect and receive the Rents. Assignor hereby agrees that
Assignee may authorize and direct the lessee(s) named in the Lease(s), and any
other occupants of the Premises, and all Lease guarantors, to pay over to
Assignee or such other party, as Assignee may direct, all Rents, upon receipt
from Assignee of written notice to the effect that an Event of Default (as said
term is defined in the Mortgage) is continuing, and to continue to do so until
the lessees are otherwise notified by Assignee.

4.        Assignor’s
Warranties and Representations: Covenants.

(a)       Assignor
hereby warrants and represents to Assignee as follows:

(i)        Assignor has
not executed any prior assignment of the Leases or Rents that has not been
released as of the date hereof, nor has it performed any act or executed any
other instrument which might prevent Assignor from fulfilling any of the terms
and conditions of this Assignment or which might prevent Assignee from
operating under any of the terms and conditions of this Assignment or which
would limit Assignee in such operation;

(ii)       Assignor has
not executed or granted any modification, waiver or amendment whatsoever of any
of the Lease(s) that has not been released as of the date hereof, except as
indicated on Exhibit B; the Lease(s) are in full force and effect; and
there are no defaults now existing under the Lease(s), or any conditions which,
after notice, passage of time, or both would constitute defaults;

(iii)      Assignor
will observe and perform all the obligations imposed upon the lessor under any
Lease(s) and will not do or permit to be done anything to impair any of the
Lease(s);

(iv)     Assignor will
not collect any of the rents, issues, income, proceeds payments, and profits
arising or accruing under the Lease(s) or from the Premises more than 30 days
in advance of the time when the same shall become due under the Lease(s) (except
for security deposits under Leases and deposits for bookings of the Khorrajan
Room), nor execute any other assignment of the Lease(s) or assignment of rents,
issues, income, proceeds or profits with respect to the Premises; and

 3
 

 

 

(v)      Except as
otherwise specifically permitted under Section 2.19(d) of the Mortgage, or with
the prior written consent of the Assignee, Assignor will not alter or modify
the terms of the Lease(s), give any consent or exercise any option required or
permitted by such terms, accept a surrender thereof, or consent to any
assignment of or subletting under the Lease(s), whether or not in accordance
with their terms.

5.        Revocation
of License.

(a)       Upon or at
any time after the occurrence of a default under this Assignment, or an Event
of Default (unless such default or Event of Default had been cured and Lender
had previously agreed in writing to accept the cure of such default or Event of
Default), the License granted to Assignor in paragraph 3 of this Assignment
shall automatically be revoked without the need of any action by Assignee, and
Assignee shall immediately be entitled to the receipt and possession of all
Rents, and to the assumption of the Rights whether or not Assignee enters upon
or takes control of the Premises.

(b)       Upon demand
by Assignee following the occurrence of an Event of Default (unless such Event
of Default had been cured and Lender had previously agreed in writing to accept
the cure of such Event of Default), Assignor shall immediately deliver to
Assignee all Rents in the possession of Assignor or its agents, and shall
cooperate in instructing Assignor’s agents and the lessee(s) under the
Leases(s) and all others in possession of the Premises or any portion thereof
to pay directly to Assignee all Rents.

(c)       Upon revocation
of the License, Assignee may, at its option, without waiving such Event of
Default and without notice or regard to the adequacy of the security for the
Indebtedness, either in person or by agent, nominee or attorney, or by a
receiver appointed by a court, with or without bringing any action or
proceeding, dispossess Assignor and its agents and servants from the Premises,
without liability for trespass, damages or otherwise, and exclude Assignor and
its agents from the Premises.

(d)       Upon
revocation of the License, Assignee may also take possession of the Premises,
and all books, records and accounts relating thereto and have, hold, manage,
lease and operate the Premises on such terms and for such period of time as
Assignee may deem proper. In addition, and with or without taking possession of
the Premises, Assignee, in its own name, may demand, sue for or otherwise
collect and receive all Rents, including those past due and unpaid and may
apply any Rents collected in such order of priority as Assignee in its sole
discretion deems appropriate, to the payment of:

(i)       all expenses
of managing the Premises, including, without limitation, the salaries, fees and
wages of a managing agent and such other persons or entities as Assignee may
deem necessary or desirable, and all expenses of operating and maintaining the
Premises, including, without limitation, all taxes, claims, assessments, ground
rents, water rents, sewer rents and any other liens or

 4
 

 

charges, and
premiums for all insurance which Assignee may deem necessary or desirable, and
the cost of all alterations, renovations, repairs or replacements, and all
expenses incident to taking and retaining possession of the Premises;

(ii)       the
Indebtedness; and

(iii)      all
costs and attorneys’ fees and other costs and expenses incurred in connection
with the enforcement of this Assignment and any of the Loan Documents.

6.        No
Liability of Assignee. This Assignment shall not be construed to bind
Assignee to the performance of any of the covenants, conditions, or provisions
contained in any Lease, or otherwise impose any obligation upon Assignee.
Assignee shall not be liable for any loss sustained by Assignor resulting from
Assignee’s failure to let the Premises, or from any other act or omission of
Assignee either in collecting the Rents, or if Assignee shall have taken
possession of the Premises, in managing the Premises, unless such loss is
caused by the willful misconduct or gross negligence or bad faith of Assignee.

7.        No
Mortgagee in Possession. In the absence of taking actual possession of the
Premises by Assignee, in its own right and person, Assignee (i) shall not be
deemed a mortgagee in possession, (ii) shall not be responsible for the payment
of any taxes or assessments with respect to the Premises, (iii) shall not be
liable to perform any obligation of the lessor under any Leases or under
applicable law, (iv) shall not be liable to any person for any dangerous or
defective condition in the Premises nor for any negligence in the management,
upkeep, repair, or control of the Premises resulting in loss or injury or death
to any person, and (v) shall not be liable in any manner for the remediation of
any environmental impairment.

8.        Bankruptcy.

(a)       Assignee
shall have the right to proceed in its own name or in the name of Assignor in
respect of any claim, suit, action or proceeding, relating to any Leases in a
proceeding under the Bankruptcy Code including, without limitation, the right
to file and prosecute, all to the exclusion of Assignor, any proofs of claim, complaints,
motions, applications, notices and other documents.

(b)       If there
shall be filed by or against Assignor a petition under the Bankruptcy Code, and
Assignor, as lessor under any Leases, shall determine to reject any Lease(s)
pursuant to Section 365(a) of the Bankruptcy Code, the Assignor shall give
Assignee not less than ten (10) days’ prior notice of the date on which
Assignor shall apply to the bankruptcy court for authority to reject the
Leases. Assignee shall have the right, but not the obligation, to serve upon
Assignor within such ten-day period a notice stating that (i) Assignee demands
that Assignor assume and assign the Leases to Assignee pursuant to Section 365
of the Bankruptcy Code and (ii) Assignee covenants to cure or provide adequate
assurance of future performance under the Leases. If Assignee serves upon
Assignor the notice described in the preceding sentence, Assignor shall not
seek to reject the Lease(s) and shall comply with the demand provided for in
clause (i) of the

 5
 

 

preceding sentence within
thirty (30) days after the notice shall have been given, subject to the
performance by Assignee of the covenant provided for in clause (ii) of the
preceding sentence.

9.        Indemnity of Assignee.

(a)       Except with
respect to Assignee’s gross negligence or willful misconduct, Assignor hereby
indemnifies Assignee for, and holds Assignee harmless from, any and all
liability, loss or damage which may be incurred under the Leases, or under or
by reason of this Assignment, and from any and all claims and demands
whatsoever which may be asserted against Assignee by reason of any alleged
obligations or undertakings under any of the Leases.

(b)       Should
Assignee incur any such liability under the Leases or under or by reason of
this Assignment or in defense of any such claims or demands, the amount
thereof, including costs, expenses and reasonable attorneys’ fees, shall be
secured by the Mortgage and Assignor shall reimburse Assignee therefor,
immediately upon demand and upon the failure of Assignor soto do, Assignee, at its option, may
declare all sums secured by the Mortgage immediately due and payable. Interest
shall accrue on the amounts so expended by Assignee at the Default Rate (as
said term is defined in the Mortgage) from the date expended until repaid.

10.      No Waiver
of Rights by Assignee. Nothing contained in this Assignment and no act done
or omitted by Assignee pursuant to the powers and rights granted it hereunder
shall be deemed to be a waiver by Assignee of any of its rights and remedies
under the Note, Mortgage or any other Loan Document. This Assignment is made
and accepted without prejudice to any of such rights and remedies possessed by
Assignee to collect the Indebtedness and to enforce the Loan Documents, and
said rights and remedies may be exercised by Assignee either prior to,
simultaneously with, or subsequent to any action taken by it hereunder.

11.      Releases of
Parties and Security. Assignee may take or release other security for the
payment of the Indebtedness, may release any party primarily or secondarily
liable therefor, and may apply any other security held by it to the
satisfaction of any portion of the Indebtedness without prejudice to any of its
rights under this Assignment.

12.      Future
Assurances. Assignor agrees that it will, from time to time, upon demand
therefor by Assignee, deliver to Assignee an executed counterpart of each and
every Lease. Further, Assignor agrees that it will execute, acknowledge and
record such additional assurances and assignments as Assignee may request covering
any and all of the Leases. Such assignments shall be on forms approved by the
Assignee, and Assignor agrees to pay all costs incurred in connection with the
examination of the Leases and the preparation, execution and recording of such
assignments or any other related documents, including, without limitation, fees
of Assignee’s local counsel.

13.      Amendments.
This Assignment may not be altered or amended except in writing, intended for
that specific purpose, signed by both Assignor and Assignee.

 6
 

 

14.      Legal Construction.

(a)       All terms
contained herein shall be construed, whenever the context of this Assignment so
requires, so that the singular number shall include the plural, and the plural
the singular, and the use of any gender shall include all genders.

(b)       The terms
“include” and “including” as used in this Assignment shall be construed as if
followed by the phrase “without limitation”.

(c)       Any provision
of this Assignment permitting the recovery of attorneys’ fees and costs shall
be deemed to include such fees and costs incurred in all appellate proceedings.

(d)       In the event
there is more than one Assignor, the obligations of each Assignor shall be
joint and several for all purposes

15.      Notices.
All notices, consents, approvals and requests required or permitted hereunder
or under any other Loan Document shall be given in writing and shall be
effective for all purposes if hand delivered or sent by: (i) certified or
registered United States mail, postage prepaid; (ii) expedited prepaid delivery
service, either commercial or United States Postal Service, with proof of
attempted delivery; or (iii) facsimile provided a confirming copy is sent the
same day in the manner set forth in (ii) above, addressed in either case as
follows:

If to Assignee, at the following address:

Massachusetts Mutual Life
Insurance Company

c/o Babson Capital
Management LLC

1500 Main Street, Suite
2100

Springfield,
Massachusetts 01115

Attention: Managing
Director, Real Estate Finance Group

Facsimile: 413-226-2498

With a copy to:

Massachusetts Mutual Life
Insurance Company

c/o Babson Capital
Management LLC

1500 Main Street, Suite
2800

Springfield,
Massachusetts 01115

Attention: Vice
President, Real Estate Law

Facsimile: 413-226-1079

 7
 

 

If to Assignor, at the
following address:

Kingsdell L.P.

c/o IFC, Inc.

212 North Kingshighway
Blvd., Suite 1023

St. Louis, Missouri 63108

Attention: Mr. James L.
Smith, President

Facsimile: (314) 633-3233

With a copy to:

REBNEC Ten, Inc.

c/o Dana Corporation

4500 Dorr Street

Toledo, Ohio 43615

Attention: Robert E.
Pollock, International Counsel

Facsimile: (419) 535-4790

With a copy to:

Dana Corporation

4500 Dorr Street

Toledo, Ohio 43615

Attention: Corporate
Secretary

Facsimile: (419) 535-4790

or to such other address
and person as shall be designated from time to time by Assignee or Assignor, as
the case may be, in a written notice to the other party in the manner provided
for in this Section 15. A notice shall be deemed to have been given: in the
case of hand delivery or by facsimile, at the time of delivery; in the case of
registered or certified mail, three (3) Business Days after deposit in the
United States mail; or in the case of expedited prepaid delivery, upon the
first attempted delivery on a Business Day. A party receiving a notice which
does not comply with the technical requirements for notice under this Section
15 may elect in writing to waive any deficiencies and treat the notice as
having been properly given.

16.      Controlling
Law. This instrument shall be governed by and construed in accordance with
the laws of the state in which the Premises is situated.

17.      Discharge.
Until the payment in full of the Indebtedness, this Assignment shall continue
in full force and effect, whether or not recorded. Assignor hereby authorizes
Assignee to furnish to any Person written notice that this Assignment remains
in effect and agrees that such Person may rely upon and shall be bound by such
statement. Upon payment in fullof
the Indebtedness and the delivery and recording of a satisfaction or discharge
of Mortgage duly executed, this Assignment shall be void and of no effect.

 8
 

 

18.      Severability.
All rights, powers and remedies provided in this Assignment may be exercised
only to the extent that the exercise thereof does not violate any applicable
law, and are intended to be limited to the extent (but only to the extent)
necessary so that they will not render this Assignment invalid or
unenforceable. If any term, covenant, condition, or provision of this
Assignment or the application thereof to any person or circumstances shall, to
any extent, be invalid or unenforceable, the remaining terms, covenants,
conditions and provisions of this Assignment, or the application of such term,
covenant, condition or provision to persons or circumstances other than those
as to which it is held invalid or unenforceable, shall not be affected thereby,
and each term, covenant, condition and provision of this Assignment shall be
modified and/or limited to the extent necessary to render the same valid and
enforceable to the fullest extent permitted by law.

19.      Future
Advances. This instrument secures future advances and shall be covered by
the provisions of Section 443.055 of the Revised Statutes of Missouri, The
maximum principal indebtedness secured hereby shall in no event exceed One
Hundred Twenty Million Dollars ($120,000,000).

20.      Successors
and Assigns. This Assignment shall be binding upon Assignor’s successors
and assigns and shall inure to the benefit of Assignee and its successors and
assigns, and shall survive payment of the Loan, foreclosure, deed-in-lieu of
foreclosure and any other transfer of the Premises or any interest therein.

 9
 

 

IN WITNESS WHEREOF, the Assignor has duly executed
this Assignment as of the date first written above.

	
  

  	
  ASSIGNOR:

  
	
   

  	
   

  
	
   

  	
  BORROWER

  
	
   

  	
   

  
	
   

  	
  KINGSDELL
  L.P., a Delaware limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  IFC, Inc., a
  Missouri corporation, its General 

  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ James L.
  Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Name: James L.
  Smith

  
	
   

  	
   

  	
   

  	
  Its: President

  

 

 10
 

 

STATE OF Missouri]

COUNTY OF St. Louis]

On this 28 day of
July, 2005, before me, a Notary Public in and for said State, personally
appeared James L. Smith known to me to be the person described in and who
executed such instrument as President of IFC, Inc., a Missouri corporation, the
general partner, and duly authorized signatory of Kingsdell L.P., a Delaware
limited partnership, and who acknowledged the execution of such instrument as
such officer for and on behalf of and as the act and deed of such corporation,
as the general partner of such partnership, pursuant to authority lawfully
conferred upon him by such partnership and neither said corporation nor said
partnership have a corporate seal.

IN WITNESS
WHEREOF, I have hereunto set my hand and affixed my official seal the day and
year first set forth above.

	
   

  	
   

  	
  KRISTIN M.
  GOUNIS

  	
   

  	
  /s/ Kristin M.
  Gounis

  	
   

  
	
   

  	
   

  	
  Notary Public,
  State of Missouri

  	
   

  	
  Notary Public
  KRISTIN M. GOUNIS

  	
   

  
	
  [SEAL]

  	
   

  	
  St. Charles
  County

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Commission #
  03386987

  	
   

  	
  My Commission
  expires: August 3, 2007

  	
   

  
	
   

  	
   

  	
  My Commission
  Expires August 03, 2007

  	
   

  	
   

  	
   

  

 

 11

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