Document:

ex_146102.htm

Exhibit 10.1

 

REPRESENTATION AND WARRANTY INDEMNIFICATION AGREEMENT

 

This REPRESENTATION AND WARRANTY INDEMNIFICATION AGREEMENT (including all exhibits and schedules hereto, this “Agreement”) is made and entered into as of May 28, 2019, by and among MEDAMERICA PROPERTIES INC., a Delaware corporation (“MAMP”), and BROAD STREET OPERATING PARTNERSHIP, LP, a Delaware limited partnership (the “Operating Partnership” and together with MAMP, the “MAMP Parties”), on the one hand, and each of Michael Z. Jacoby and Thomas M. Yockey (collectively, the “Indemnitors”), on the other hand. The MAMP Parties and the Indemnitors are each individually referred to herein as a “Party” and collectively as the “Parties.”

 

RECITALS

 

A.     For purposes of this Agreement, all capitalized terms shall have the meanings given to such terms in Exhibit A, or as otherwise defined in this Agreement.

 

B.     Broad Street Ventures, LLC, a Maryland limited liability company (“BSV”), or its affiliate is (either alone or together with certain co-managers or co-managing members) the manager or the managing member of the limited liability companies set forth on Exhibit B (collectively, the “BSV Entities”), each of which other limited liability companies, directly or indirectly, owns certain real property set forth opposite the name of such other limited liability companies on Exhibit B (collectively, the “BSV Properties”)

 

C.     Broad Street Realty, LLC, a Maryland limited liability company (“BSR”), serves as the property manager for each of the BSV Properties, other than the property known as Brookhill Azalea Shopping Center.

 

D.     BSV, BSR, each of the BSV Entities and each of MAMP and its subsidiaries desire to combine the ownership of BSV, BSR and each of the BSV Entities through a series of merger transactions (such transactions, collectively, the “Transactions”) with MAMP or the Operating Partnership, as applicable, and certain of their respective subsidiaries pursuant to the agreements set forth on Exhibit C (the “Merger Agreements”), each of which has been entered into on the date hereof.

 

E.     Each of the Indemnitors is a managing member of, and holds a 50.0% ownership interest in, each of BSV and BSR.

 

F.     In order to induce the MAMP Parties to enter into and consummate the Transactions, the Indemnitors have agreed to provide certain indemnities with respect to the representations and warranties made by the applicable BSV Entity with respect to BSV, BSR, the other BSV Entities and the BSV Properties in the Merger Agreements.

 

NOW, THEREFORE, in consideration of the foregoing premises and the mutual undertakings set forth below, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged and agreed, and intending to be legally bound, the Parties hereto agree as follows:

 

 

 

 

Article 1. 

survival; representations and warranties

 

Section 1.1       Applicable Representations and Warranties; Survival. It is the express intention that the representations and warranties of each of the BSV Entities set forth in each of the Merger Agreements or in any certificate, schedule, instrument or other document delivered by a BSV Entity pursuant to any of the Merger Agreements shall survive the Closing for a period of twelve (12) months following the Closing.

 

Section 1.2        Indemnification by Indemnitors. Subject to the limitations set forth in Section 1.3, upon the terms and subject to the conditions set forth in this Article 1, from and after the Closing Date, the Indemnitors shall severally, and not jointly, indemnify, defend and hold harmless each of the MAMP Parties (each, an “Indemnitee”) from and against any and all Damages that the Indemnitees may suffer resulting from, arising out of, relating to or caused by any breach or inaccuracy of any representation or warranty made by any of the BSV Entities in the Merger Agreements or in any certificate or affidavit delivered by a BSV Entity pursuant to the terms of any Merger Agreement (collectively, the “Indemnified Claims”).

 

Section 1.3       Limitations on Indemnification.

 

(a)     The Indemnitors shall only be required to indemnify the Indemnitees under Section 1.2 with respect to any Indemnified Claims for which the Indemnitees have provided written notice to the Indemnitors, setting forth therein in reasonable detail the basis for such Indemnified Claims, on or prior to the twelve (12)-month anniversary of the Closing; provided, however, that, in the event that the Indemnitees notify the Indemnitors with respect to any Indemnified Claim on or prior to the twelve (12)-month anniversary of the Closing, then any such Indemnified Claim shall survive until resolved in accordance with the terms and conditions of this Agreement (the “Indemnification Period”).

 

(b)     Notwithstanding anything to the contrary contained herein, no Indemnitee shall be entitled to receive indemnification hereunder unless the aggregate amount of all Damages for all Indemnified Claims exceeds $500,000 (in which case all such Damages from the first dollar, together with all other Damages for Indemnified Claims shall then be recoverable (subject to the other limitations set forth in this Agreement, including Section 1.3(c)).

 

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(c)     In no event shall the aggregate amount of Damages for which each of the Indemnitors is liable pursuant to this Agreement exceed an amount equal to the product obtained by multiplying (i) ten percent (10%), by (ii) the aggregate number of shares of MAMP Common Stock and OP Units actually received by each such individual Indemnitor pursuant to the terms of the Merger Agreements (the resulting amount, such Indemnitor’s, the “Max Equity Pledge”). Notwithstanding anything contained herein to the contrary, the MAMP Indemnified Parties shall look first to available insurance proceeds (including, without limitation, any title insurance proceeds, if applicable), and then to the OP Units and/or shares of MAMP Common Stock held by the Indemnitors for indemnification under this Article 1. Following the Closing and the issuance of shares of MAMP Common Stock and the OP Units to the applicable Indemnitors, no Indemnitee shall have recourse to any other assets of the Indemnitors other than the shares of Common Stock and OP Units of the Indemnitors constituting each such Indemnitor’s Max Equity Pledge. The Parties acknowledge and agree that the shares of MAMP Common Stock and OP Units underlying the Max Equity Pledge shall be released to satisfy the obligations under this Agreement on a pro rata basis from each Indemnitor based on each such Indemnitor’s then-applicable Pro Rata Share. For purposes of the foregoing, each Indemnitor’s “Pro Rata Share” is determined, at the applicable time of determination, by dividing (i) the then-current value of such Indemnitor’s portion of the Max Equity Pledge that has not already been released to obligations under this Agreement, by (ii) the then-current aggregate value of all Max Equity Pledge of all Indemnitors that has not already been released to satisfy obligations under this Agreement. In addition, for purposes of this Agreement, each share of MAMP Common Stock and each OP Unit constituting a portion of an Indemnitor’s Max Equity Pledge shall be valued at $3.44 per share of MAMP Common Stock and $3.44 per OP Unit, as applicable. In the event of any reclassification, recapitalization, stock split, stock dividend (including any dividend or distribution of securities convertible into MAMP Common Stock or OP Units) or subdivision with respect to MAMP Common Stock or OP Units, any change or conversion of MAMP Common Stock or OP Units into other securities, any non-cash extraordinary dividend or distribution with respect to the MAMP Common Stock or OP Units (or if a record date with respect to any of the foregoing should occur), after the date of this Agreement, equitable, appropriate and proportionate adjustments shall be made to the number of shares of MAMP Common Stock and OP Units subject to the Max Equity Pledge and to the deemed value thereof.

 

(d)     The Indemnitors shall not have any obligation or liability under this Agreement or otherwise with respect to any Damages that are caused by the actions of any Indemnitee. If the amount of any Damages suffered by any Indemnitee is reduced at any time subsequent to any payment by an Indemnitor of any amounts in respect thereof, including as a result of such Damages being recovered from any other third party (including any insurer), then, in such event, an amount equal to the amount of such reduction (not to exceed, in any event, the amount so previously paid in respect thereof by any Indemnitor) shall promptly be repaid by the applicable Indemnitee to the applicable Indemnitor.

 

(e)     If any fact, circumstance or condition forming a basis for any Indemnified Claim under this Agreement shall overlap with any fact, circumstance, condition, agreement or event forming the basis of any other Indemnified Claim under this Agreement, then there shall be no duplication in the calculation of the amount of the Damages. For the avoidance of doubt, any Damages subject to indemnification under this Agreement shall be determined without duplication of recovery due to the facts giving rise to such Damages constituting a breach or inaccuracy of more than one representation, warranty, covenant or agreement.

 

Section 1.4      Sole and Exclusive Remedy. Subject only to potential claims following termination of the Merger Agreements, if any, the Parties agree that the indemnification rights set forth in this Agreement shall be the MAMP Parties’ sole and exclusive remedy with respect to the transactions contemplated by this Agreement and the Merger Agreements.

 

Section 1.5      Pledge by Indemnitors.

 

(a)     As collateral security for the performance of the Indemnitors’ obligations under this Agreement, each of the Indemnitors hereby pledges, assigns and grants to the Indemnitees a first priority lien, and security interest, in a number of shares of MAMP Common Stock and OP Units constituting each such Indemnitor’s Max Equity Pledge.

 

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(b)     For the purpose of perfecting the pledge of the security interest granted by each of the Indemnitors to the Indemnitees, each Indemnitor authorizes and directs MAMP or the Operating Partnership, as applicable, acting in its capacity as the issuer of the applicable securities, to register the pledge of such shares of MAMP Common Stock and OP Units on the books and records of MAMP and the Operating Partnership and to include appropriate legends on such shares of MAMP Common Stock and OP Units evidencing such pledge. In addition, in the event that any shares of MAMP Common Stock subject to the obligations hereunder shall be certificated, MAMP shall hold the certificates evidencing such shares until the expiration of the Indemnification Period.

 

(c)     Subject to the provisions of this Agreement, until such time as the applicable shares of MAMP Common Stock and OP Units constituting each Indemnitor’s Max Equity Pledge have been applied to satisfy any indemnification obligations under this Agreement, each Indemnitor shall be entitled to (i) exercise all voting rights with respect to such securities, and (ii) receive and retain for its own account any and all dividends and distributions and interest at any time and from time to time paid upon any of such securities.

 

Section 1.6      Procedures for Indemnification – Direct Claims. Subject to the limitations set forth in Article 1, if an Indemnitee wishes to make an indemnification claim under this Article 1, the Indemnitee Representative shall deliver a written notice (an “Indemnification Claim Notice”) to the Indemnitors (i) stating that an Indemnitee has paid, incurred, suffered or sustained, or reasonably anticipates that it may pay, incur, suffer or sustain Damages, and (ii) specifying in reasonable detail the factual basis of the Indemnified Claim and demanding indemnification therefor; provided that the failure to promptly notify the Indemnitors shall not prejudice the right of the Indemnitee to make or recover for such claim except to the extent that (x) such delay has caused material prejudice to the defense of such claim, or (y) such notice is not delivered to the Indemnitors prior to the expiration of the Indemnification Period.

 

Section 1.7     Procedures for Indemnification - Third Party Claims. Subject to the limitations set forth in Article 1, in the event any Indemnitee becomes aware of a third party claim which the Indemnitee reasonably believes may result in a claim for indemnification pursuant to this Article 1, then the Indemnitee Representative shall promptly (and in any event within five (5) days after the service of any summons or other document) after the Indemnitee acquired knowledge of any third party Proceeding, give written notice thereof to the Indemnitors; provided that the failure of the Indemnitee Representative to promptly notify the Indemnitors shall not prejudice the right of the Indemnitee to make or recover for such claim except to the extent that (x) such delay has caused material prejudice to the defense of such claim, or (y) such notice is not delivered to the Indemnitors prior to the expiration of the Indemnification Period. The Indemnitors shall have the right to assume the defense of any Proceeding with one (1) law firm reasonably acceptable to the Indemnitee Representative upon delivery of notice to that effect to the Indemnitee Representative. If the Indemnitors, after written notice from the Indemnitee Representative, fail to take timely action to defend the action resulting from the Proceeding or otherwise respond to the Proceeding, or if the Indemnitors’ counsel has reasonably determined that there may be a conflict between the Indemnitees and the Indemnitors in the defense of such Proceeding, then the Indemnitee Representative shall have the right to defend the action resulting from the Proceeding by counsel of its own choosing, but at the cost and expense of the Indemnitors. The Indemnitee Representative shall not have the right to settle or compromise any Proceeding, and recover from the Indemnitors any amount paid in settlement or compromise thereof, without the prior written consent of the Indemnitors. The Indemnitors shall have the right to settle or compromise any Proceeding against the Indemnitees without the consent of the Indemnitee Representative so long as the terms of the settlement or compromise provide for the unconditional release of the Indemnitees and require the payment of monetary damages only.

 

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Section 1.8       Indemnitee Representative.

 

(a)     A committee comprised of each of (i) Joe Bencivenga or, in the event Joe Bencivenga cannot or will not serve, Vineet Bedi, and (ii) an independent director of MAMP designated by the Indemnitors (each such member of the committee, an “Indemnification Committee Member”), shall be appointed as representative and attorney-in-fact to act on behalf of the Indemnitees (the “Indemnitee Representative”) with respect to any Indemnified Claim asserted by an Indemnitee and shall be authorized to initiate an Indemnified Claim on behalf of the Indemnitees, and to take any and all actions and make any decisions required or permitted to be taken by an Indemnitee pursuant to this Agreement, including the exercise of the power to give and receive notices and communications; agree to, negotiate, enter into settlements and compromises of, and comply with orders with respect to claims for indemnification pursuant to this Agreement; litigate, arbitrate, resolve, settle or compromise any claim for indemnification pursuant to this Agreement; engage, employ or appoint any agents or representatives (including attorneys, accountants and consultants) to assist the Indemnitee Representative in complying with his duties and obligations; and take all actions necessary or appropriate in the good faith judgment of the Indemnitee Representative for the accomplishment of the foregoing.

 

(b)     In the event of any dispute or disagreement between the Indemnification Committee Members with respect of any action to be taken under this Agreement in their role as the Indemnitee Representative, then the Parties agree that such dispute or disagreement shall be determined as follows: (i) the Indemnification Committee Members shall negotiate in good faith for a period of ten days to resolve the dispute or disagreement with the intent of agreeing upon the appropriate action (if any) to be taken in accordance with their role as Indemnitee Representation, and (ii) in the event that following such ten day good faith negotiation, the Indemnification Committee Members are unable to agree upon such matter, then the matter shall be determined through an alternate dispute resolution process and shall be submitted to final and binding arbitration before the American Arbitration Association (“AAA”), or its successor, at AAA’s office in Washington, D.C. pursuant to the United States Arbitration Act, 9 U.S.C. Sec. 1, et seq. In the event of an arbitration under this Section 1.8, the dispute shall be submitted to one arbitrator, who shall have sole authority to determine procedural questions, such as arbitrability and the merits of the claim. The arbitrator will be selected by mutual agreement of the Indemnification Committee Members promptly following initiation of arbitration in accordance with this Section 1.8; provided that, in the event the Indemnification Committee Members are unable to reach an agreement on an arbitrator within twenty days of initiation, then each of the Indemnification Committee Members will each select one arbitrator from a list provided by AAA (the “AAA List”), and the two arbitrators selected will select a third arbitrator, which arbitrator will be the sole arbitrator for the purpose of resolving the dispute; provided further, that, in the event the two arbitrators are unable to reach agreement on the third arbitrator within thirty days of initiation, AAA will have the authority to select an arbitrator from the AAA List provided to the Indemnification Committee Members. Any arbitrator selected to serve will be qualified by training and experience for the matters for which such arbitrator is designated to serve and will not be affiliated with either of the Indemnification Committee Members or any of their respective Affiliates.

 

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(c)     Either of the Indemnification Committee Members may commence the arbitration process by filing a written demand for arbitration with AAS at the designated office and concurrently sending a copy to the other Indemnification Committee Member. The arbitration will be conducted in accordance with the provisions of AAA’s Commercial Arbitration Rules as in effect when the arbitration demand is filed. Each of the Indemnification Committee Members shall cooperate with AAA and each other in scheduling the arbitration proceedings. The costs and fees of AAA and of the arbitrator shall be borne by the Company. The provisions of this paragraph are specifically enforceable by any court with subject matter jurisdiction.

 

(d)     The final decision of the arbitrator will be a reasoned opinion based on this Agreement and the Merger Agreements, and other factors consistent with applicable Law and will be furnished in writing to the Indemnification Committee Members. The final decision of the arbitrator will constitute a conclusive determination of the issue in question and the Indemnitee Representative shall take all actions consistent with such determination. Any judgment upon the award rendered by the arbitrator may be entered in any court having jurisdiction over the subject matter of this Agreement.

 

(e)     The arbitrator chosen in accordance with these provisions will not have the power to alter, amend, or otherwise affect the terms of these arbitration provisions or the provisions of this Agreement, the Merger Agreements, or any other documents that are delivered in connection with this Agreement.

 

Article 2.

Miscellaneous

 

Section 2.1     Counterparts. This Agreement may be executed in counterparts, all of which shall be considered one and the same agreement and shall become effective when counterparts have been signed by each of the Parties and delivered to each other Party (including by means of electronic delivery), it being understood that the Parties need not sign the same counterpart. Signatures to this Agreement transmitted by facsimile transmission, by electronic mail in “portable document format” (“.pdf”), or by any other electronic means intended to preserve the original graphic and pictorial appearance of a document, will have the same effect as physical delivery of the paper document bearing the original signature.

 

Section 2.2     Governing Law. This Agreement shall be governed by and construed in accordance with the internal Laws of the State of Delaware, without regard to the choice of laws provisions thereof.

 

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Section 2.3      Exclusive Jurisdiction; Waiver of Jury Trial. 

 

(a)     ANY PROCEEDING ARISING OUT OF OR BASED UPON THIS AGREEMENT OR THE TRANSACTIONS SHALL BE INSTITUTED FIRST, IN THE COURT OF CHANCERY WITHIN NEW CASTLE COUNTY IN THE STATE OF DELAWARE (AND ANY APPELLATE COURT THEREOF LOCATED WITHIN SUCH COUNTY) AND TO THE EXTENT SUCH COURT OF CHANCERY (OR APPELLATE COURT THEREOF LOCATED WITHIN SUCH COUNTY) LACKS JURISDICTION OVER THE MATTER, THE FEDERAL COURTS OF THE UNITED STATES OF AMERICA LOCATED WITHIN NEW CASTLE COUNTY IN THE STATE OF DELAWARE (OR APPELLATE COURT THEREOF LOCATED WITHIN SUCH COUNTY), AND EACH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY SUBMITS TO THE EXCLUSIVE JURISDICTION OF SUCH COURTS IN ANY SUCH PROCEEDING. SERVICE OF PROCESS, SUMMONS, NOTICE OR OTHER DOCUMENT BY MAIL TO SUCH PARTY’S ADDRESS SET FORTH HEREIN SHALL BE EFFECTIVE SERVICE OF PROCESS FOR ANY PROCEEDING BROUGHT IN ANY SUCH COURT. THE PARTIES IRREVOCABLY AND UNCONDITIONALLY WAIVE ANY OBJECTION TO THE LAYING OF VENUE OF ANY PROCEEDING IN SUCH COURTS AND IRREVOCABLY WAIVE AND AGREE NOT TO PLEAD OR CLAIM IN ANY SUCH COURT THAT ANY SUCH PROCEEDING BROUGHT IN ANY SUCH COURT HAS BEEN BROUGHT IN AN INCONVENIENT FORUM.

 

(b)     EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT OR THE RELATED AGREEMENTS IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES AND, THEREFORE, EACH SUCH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, THE MERGER AGREEMENTS OR THE TRANSACTIONS. EACH PARTY TO THIS AGREEMENT CERTIFIES AND ACKNOWLEDGES THAT (I) NO REPRESENTATIVE OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT SEEK TO ENFORCE THE FOREGOING WAIVER IN THE EVENT OF A PROCEEDING, (II) SUCH PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (III) SUCH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (IV) SUCH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 2.3(b).

 

Section 2.4      Amendment; Waiver. Any amendment hereto shall be in writing and signed by all Parties. No waiver of any provisions of this Agreement shall be valid unless in writing and signed by the Party against whom enforcement is sought. The waiver by any Party of the performance of any act shall not operate as a waiver of the performance of any other act or an identical act required to be performed at a later time. Except as otherwise provided herein, no action taken pursuant to this Agreement, including any investigation by or on behalf of any Party, shall be deemed to constitute a waiver by the Party taking such action of compliance with any representations, warranties, covenants or agreements contained in this Agreement.

 

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Section 2.5     Entire Agreement. This Agreement, the exhibits and schedules hereto and the Merger Agreements, constitute the entire agreement of the Parties and supersede conflicting provisions set forth in all other prior agreements and understandings, both written and oral, among the Parties with respect to the subject matter hereof and thereof, as the case may be.

 

Section 2.6     Assignability. Neither this Agreement nor any of the rights, interests or obligations of the Parties hereunder shall be assigned by any of the Parties hereto (whether by operation of law or otherwise) without the prior written consent of the other Parties, and any attempt to make any such assignment without such consent shall be null and void. Subject to the preceding sentence, this Agreement will be binding upon, inure to the benefit of and be enforceable by the Parties and their respective successors and permitted assigns.

 

Section 2.7     Titles. The titles and captions of the Articles, Sections and paragraphs of this Agreement are included for convenience of reference only and shall have no effect on the construction or meaning of this Agreement.

 

Section 2.8     Third Party Beneficiary. No provision of this Agreement is intended, nor shall it be interpreted, to provide or create any third party beneficiary rights or any other rights of any kind in any customer, affiliate, stockholder, partner, member, director, officer or employee of any party hereto or any other Person. All provisions hereof shall be personal solely among the Parties to this Agreement.

 

Section 2.9     Severability. If any provision of this Agreement, or the application thereof, is for any reason held to any extent to be invalid or unenforceable, the remainder of this Agreement and application of such provision to other Persons or circumstances will be interpreted so as reasonably to effect the intent of the Parties hereto. The Parties further agree to replace such void or unenforceable provision of this Agreement with a valid and enforceable provision that will achieve, to the extent possible, the economic, business and other purposes of the void or unenforceable provision and to execute any amendment, consent or agreement deemed necessary or desirable by the Parties to effect such replacement. To the extent permitted by applicable Law, the Parties waive any provision of applicable Law which renders any provision of this Agreement unenforceable in any respect.

 

Section 2.10     Interpretation. This Agreement shall be read and construed in the English language. As used in this Agreement, any reference to the masculine, feminine or neuter gender shall include all genders, the plural shall include the singular, and singular shall include the plural. References herein to a Party or other Person include their respective successors and permitted assigns. The words “include,” “includes” and “including” when used herein shall be deemed to be followed by the phrase “without limitation” unless such phrase otherwise appears. Unless the context otherwise requires, references herein to articles, sections, schedules, exhibits and attachments shall be deemed references to articles and sections of, and schedules, exhibits and attachments to, this Agreement. Unless the context otherwise requires, the words “hereof,” “hereby” and “herein” and words of similar meaning when used in this Agreement refer to this Agreement in its entirety and not to any particular article, section or provision hereof. Except when used together with the word “either” or otherwise for the purpose of identifying mutually exclusive alternatives, the term “or” has the inclusive meaning represented by the phrase “and/or.” Any deadline or time period set forth in this Agreement that by its terms ends on a day that is not a Business Day shall be automatically extended to the next succeeding Business Day. All references in this Agreement to “dollars” or “$” shall mean United States Dollars. With regard to each and every term and condition of this Agreement, the Parties understand and agree that the same have or has been mutually negotiated, prepared and drafted, and that if at any time the Parties desire or are required to interpret or construe any such term or condition or any agreement or instrument subject thereto, no consideration shall be given to the issue of which Party actually prepared, drafted or requested any term or condition of this Agreement.

 

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Section 2.11     Notices. All notices, requests, demands, waivers and communications required or permitted to be given under this Agreement shall be in writing signed by or on behalf of the Party making such notice, request, demand, waiver or communication and shall be deemed to be given (i) on the day delivered (or if that day is not a Business Day, or if delivered or refused after the close of business on a Business Day, on the next day that is a Business Day) when sent by personal delivery or overnight courier, (ii) on the third Business Day after mailed by registered or certified mail, postage prepaid, return receipt requested, or (iii) upon transmission when sent by facsimile transmission or email transmission. Mailed notices shall be addressed as set forth below, but any Party may change the address set forth below by written notice to other Parties in accordance with this paragraph.

 

To the Indemnitors:

 

c/o Broad Street Realty, LLC

7250 Woodmont Avenue, Suite 350

Bethesda, MD 20814

Attention: Michael Z. Jacoby

Facsimile: (301) 828-1201

Email: mjacoby@broadstreetllc.net

 

To the MAMP Parties:

 

MedAmerica Properties, Inc.

5200 Town Center Circle, Suite 550

Boca Raton, FL 33486

Attention: Gary Marino

Facsimile: (561) 314-6834

Email: gary@medamericaproperties.com

 

Section 2.12     Additional Representations and Warranties of the Indemnitors. Each Indemnitor represents and warrants that, during the MAMP Governance Period (as defined in the Merger Agreements), it shall, in such Indemnitor’s capacity as a shareholder of MAMP: (i) vote in favor of the election of Joe Bencivenga and Vineet Bedi as directors of MAMP, and (ii) not take any action to remove Joe Bencivenga or Vineet Bedi as directors of MAMP.

 

 

[Signature Page Follows]

 

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IN WITNESS WHEREOF, the Parties have executed and delivered this Agreement as of the date first written above.

 

 

 

	 	
			MICHAEL Z. JACOBY

			 

			 

			/s/ Michael Z. Jacoby                                        

			 

			 

			 

			
	 	
			THOMAS M. YOCKEY

			 

			 

			/s/ Thomas M. Yockey                                       

			 

			 

			 

			
	 	
			MEDAMERICA PROPERTIES INC.

			 

			 

			By:        /s/ Gary O. Marino                                                

			Name: Gary O. Marino

			Title:   Chairman

			 

			 

			
	 	
			BROAD STREET OPERATING 

			PARTNERSHIP, LP

			 

			By: BROAD STREET OP GP, LLC, its general

			partner

			 

			By: MEDAMERICA PROPERTIES INC., its

			sole member

			 

			 

			By:        /s/ Gary O. Marino                                                  

			Name: Gary O. Marino

			Title:   Chairman

			

 

 

Signature Page to Representation and Warranty Indemnification Agreement

 

 

 

 

EXHIBIT A

TO

REPRESENTATION AND WARRANTY INDEMNIFICATION AGREEMENT

 

DEFINITIONS

 

For purposes of the Agreement, the following terms have the meanings set forth below:

 

(a)     “Business Day” means any day other than a Saturday, a Sunday or a day on which banks in the City of New York are authorized or obligated by applicable Law to close.

 

(b)     “Closing” shall mean the closing of the transactions contemplated by the Merger Agreements (other than in respect of the Delayed Transactions).

 

(c)     “Closing Date” shall mean the date on which the Closing actually occurs.

 

(d)     “Damages” means all claims, liabilities, Taxes, demands, obligations, losses, penalties, fines, assessments, levies and judgments (at equity or at law), damages (including compensatory damages and amounts paid in settlement), costs and expenses, including reasonable attorneys’, accountants’, investigators’, and experts fees and expenses (reasonably sustained or incurred in connection with the defense or investigation of any Proceedings, including Proceedings to establish insurance coverage), whenever arising or incurred and regardless of whether subject to a Proceeding, but (i) reduced by any insurance proceeds or other payment or recoupment received, realized or retained by a Party as a result of the events giving rise to the Proceeding net of any expenses related to the receipt of such proceeds, payment or recoupment, including retrospective premium adjustments, if any, and (ii) expressly excluding exemplary, consequential and punitive damages (except to the extent awarded in any Proceeding initiated by a third party), a multiple of earnings, a decline in value of the Merger Consideration or any other indirect speculative damages.

 

(e)     “Governmental Entity” means any governmental agency or quasi-governmental agency, bureau, board, commission, court, department, official, political subdivision, tribunal or other instrumentality of any government, whether federal, state or local, domestic or foreign.

 

(f)     “Law” means any statute, code, rule, regulation, order, ordinance, judgment or decree or other pronouncement of any Governmental Entity having the effect of law.

 

(g)     “MAMP Common Stock” means the common stock, $0.01 par value per share, of MAMP.

 

(h)     “OP Unit” means a common unit of limited partnership interest of the Operating Partnership.

 

(i)     “Person” means any individual, corporation, limited liability company, partnership, joint venture, association, joint-stock company, trust, unincorporated organization or Governmental Entity.

 

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(j)     “Proceeding” means any governmental, judicial, administrative or adversarial proceeding (public or private), any action, claim, lawsuit, legal proceeding, whistleblower complaint, charge, accusation, petition, litigation, arbitration or mediation, any hearing, investigation (internal or otherwise), probe or inquiry by any Governmental Entity or any other dispute, including any adversarial proceeding.

 

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EXHIBIT B

TO

REPRESENTATION AND WARRANTY INDEMNIFICATION AGREEMENT

 

BSV ENTITIES AND PROPERTIES

 

 

	
			Broad Street Entity

				
			Related Property

			
	
			BSV Avondale LLC

				
			Avondale Shops

			
	
			BSV Colonial Investor LLC

				
			Midtown Colonial

			
	
			BSV Coral Hills Investors LLC

				
			Coral Hills Shopping Center

			
	
			BSV Crestview Square LLC

				
			Crestview Square

			
	
			BSV Cromwell Parent LLC

				
			Cromwell Field Shopping Center

			
	
			BSV Cypress Point Investors LLC

				
			Cypress Point Shopping Center

			
	
			BSV Dekalb LLC

				
			Dekalb Plaza

			
	
			BSV Greenwood Investors LLC

				
			The Shops at Greenwood Village

			
	
			BSV Highlandtown Investors LLC

				
			Highlandtown Village Shopping Center

			
	
			BSV Hollinswood LLC

				
			Hollinswood Shopping Center

			
	
			BSV Lamont Investors LLC

				
			Lamar Station Plaza

			
	
			BSV Lamonticello Investors LLC

				
			Midtown Lamonticello

			
	
			BSV LSP East Investors LLC

				
			Lamar Station Plaza East

			
	
			BSV Patrick Street Member LLC

				
			Vista Shops at Golden Mile

			
	
			BSV Premier Brookhill LLC

				
			Brookhill Azalea Shopping Center

			
	
			BSV Spotswood Investors LLC

				
			Spotswood Valley Square Shopping Center

			
	
			BSV West Broad Investors LLC

				
			West Broad Commons Shopping Center

			

 

B-1

 

 

EXHIBIT C

TO

REPRESENTATION AND WARRANTY INDEMNIFICATION AGREEMENT

 

MERGER AGREEMENTS

 

 

	 	
			1.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among Broad Street Realty, LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and Broad Street Realty Merger Sub LLC.

			

 

	 	
			2.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among Broad Street Ventures, LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and Broad Street Ventures Merger Sub LLC.

			

 

	 	
			3.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Avondale LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Avondale Merger Sub LLC.

			

 

	 	
			4.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Colonial Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Colonial Merger Sub LLC.

			

 

	 	
			5.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Coral Hills Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Coral Hills Merger Sub LLC.

			

 

	 	
			6.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Crestview Square LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Crestview Square Merger Sub LLC.

			

 

	 	
			7.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Cromwell Parent LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Cromwell Merger Sub LLC.

			

 

	 	
			8.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Cypress Point Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Cypress Point Merger Sub LLC.

			

 

	 	
			9.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Dekalb LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Dekalb Merger Sub LLC.

			

 

	 	
			10.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Greenwood Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Greenwood Merger Sub LLC.

			

 

C-1

 

 

	 	
			11.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Highlandtown Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Highlandtown Merger Sub LLC.

			

 

	 	
			12.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Hollinswood LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Hollinswood Merger Sub LLC.

			

 

	 	
			13.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Lamont Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Lamont Merger Sub LLC.

			

 

	 	
			14.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Lamonticello Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Lamonticello Merger Sub LLC.

			

 

	 	
			15.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV LSP East Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV LSP East Merger Sub LLC.

			

 

	 	
			16.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Patrick Street Member LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Patrick Street Merger Sub LLC.

			

 

	 	
			17.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Premier Brookhill LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Brookhill Merger Sub LLC.

			

 

	 	
			18.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV Spotswood Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV Spotswood Merger Sub LLC.

			

 

	 	
			19.

				
			Agreement and Plan of Merger, dated as of the date hereof, by and among BSV West Broad Investors LLC, MedAmerica Properties Inc., Broad Street Operating Partnership, LP and BSV West Broad Merger Sub LLC.

			

 

C-2EX-10.1

 Exhibit 10.1 

Execution Version 
 THIS
REAL ESTATE SALE CONTRACT (this “Contract”) is made as of June 2, 2019 (the “Effective Date”), by and between SPIRIT FJ SMF SPE, LLC, a Delaware limited liability company (the “Seller”) and
BANNER NEWCO LLC, a Delaware limited liability company (the “Buyer”). Seller and Buyer are also collectively referred to in this Contract as the “Parties”. 

W I T N E S S E T H 

WHEREAS, reference is made to that certain Equity Purchase Agreement (as may be amended from time to time, the “EPA”),
dated as of the Effective Date, by and among Spirit MTA REIT (“SMTA”), SMTA Financing JV, LLC, a Delaware limited liability company, an indirect wholly owned subsidiary of SMTA (“EPA Seller”), Buyer and Hospitality
Properties Trust, a Maryland real estate investment trust (“EPA Acquirer”), pursuant to which, subject to the terms and conditions of the EPA, EPA Acquirer will purchase from EPA Seller, and EPA Seller will sell to EPA Acquirer, all
of EPA Seller’s right, title and interest in and to all of the limited liability company interests in Buyer, which is a newly created subsidiary of EPA Seller and which, at the closing of the transactions contemplated by the EPA (the
“EPA Closing”), will own all of the outstanding limited liability company interests of the Acquired Companies (as defined in the EPA); and 

WHEREAS, Seller agrees to sell and convey, and Buyer agrees to purchase and accept conveyance of, upon the terms and conditions set
forth in this Contract (A) the fee interest in the real property on which the Flying J Travel Plaza stores described by address on Exhibit A-1 attached hereto are located and as more particularly
described on Exhibit A-2 attached hereto (the “Flying J Properties”), together with all rights and privileges appurtenant thereto, (B) all buildings and land improvements now located
thereon, if any (all the foregoing property described in clauses (A) and (B), the “Real Property”), (C) all of Seller’s right, title and interest, if any, in and to the equipment, trade fixtures and other tangible personal
property located at the Real Property and intangible personal property related to the Real Property (the “Personal Property”), and (D) all of Seller’s right, title and interest in and to the Flying J Lease (defined below),
together with the Real Property and the Personal Property, collectively, the “Property”). 
 NOW, THEREFORE, for good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller and Buyer hereby agree as follows: 
  

	 	1.	 Purchase and Sale. Upon the terms and conditions hereinafter set forth, Seller shall sell and convey
insurable title to the Property to Buyer, free and clear of any charge, mortgage, pledge, security interest, restriction, deed of trust, option, preemptive purchase right, easement, encroachment, claim, lien or encumbrance
(“Liens”), other than Permitted Liens (as defined below), and otherwise without representation, warranty or guaranty, expressed or implied (except as otherwise expressly provided in this Contract) (the closing of such sale and
conveyance, the “Flying J Closing”). As used herein, “Permitted Liens” means any of the following: (a) Liens for Taxes (as defined in the EPA), assessments and governmental charges or levies either not yet due
and payable or which are being contested in good faith by appropriate proceedings and for which appropriate reserves have been established in accordance with GAAP (as defined in the EPA), (b) statutory mechanics, carriers’, workmen’s,
warehouseman’s, repairmen’s, materialmen’s 

	 	
or other similar Liens arising in the ordinary course of business consistent with past practice that are not yet due or that are being contested in good faith by appropriate proceedings,
(c) pledges, deposits and guarantees to secure the performance of bids, trade contracts, leases, surety and appeal bonds, performance bonds and other obligations of a similar nature, in each case, in the ordinary course of business consistent
with past practice and which are not yet due and payable, (d) minor defects, imperfections or irregularities in title, easements, covenants and rights of way or other real property matters of record and other similar restrictions, and zoning,
planning, building and other similar codes or restrictions, in each case, that do not, and would not reasonably be expected to, adversely affect in any material respect the current use or operation of the Property, (e) [intentionally
omitted], (f) [intentionally omitted], (g) all Liens and other matters disclosed in the property surveys, title policies and property/title reports or other title documents with respect to the Property that have been Previously Disclosed
(as defined in the EPA) to EPA Acquirer in the Data Room (as defined in the EPA) or otherwise contained in any title documents with respect to the Property in EPA Acquirer’s possession prior to the date hereof, that, in each case, do not, and
would not reasonably be expected to, adversely affect in any material respect the current use or operation of the Property, (h) easements, rights of way, restrictions, restrictive covenants, encroachments, protrusions and other similar
encumbrances or Liens affecting the Property which are not violated by the current or intended use or operation of the Property or materially impair the intended use thereof, (i) rights of the Flying J Tenant under the Flying J Lease, (j)
[intentionally omitted], (k) Liens relating to obligations or liabilities for which the Flying J Tenant is responsible under the Flying J Lease, and (l) [intentionally omitted]. It shall be a condition to Buyer’s obligation to close
hereunder that the Title Company (as defined below) shall be willing to insure title to each of the Flying J Properties pursuant to a standard owner’s form of policy of title insurance in the amount of the Flying J Purchase Price, as defined
below (as reasonably allocated between the Flying J Properties by Buyer) in form and substance reasonably acceptable to Buyer, subject only to the Permitted Liens (collectively, the “Title Policy”). In addition, it shall be a
condition to each Party’s obligation to close hereunder that Seller has received a waiver from the Flying J Tenant of the Flying J Tenant Purchase Rights (as hereinafter defined) as of the date of the EPA Closing. 

 

	 	2.	 Flying J Purchase Price. The purchase price for the Property (the “Flying J Purchase
Price”) shall be an amount equal to Fifty-Five Million and No/100 Dollars ($55,000,000.00), as the same may be increased or decreased by prorations and adjustments as provided in Section 3 hereof.

  

	 	3.	 Prorations and Expenses. The following items, except as specifically provided in this Contract to the
contrary, shall be prorated as of 12:01 a.m. Eastern Time (the “Adjustment Time”) on the Flying J Closing Date (as hereinafter defined), and shall increase or decrease the Flying J Purchase Price to be paid by Buyer on the Flying J
Closing Date, as follows: 

  
 2 

 a. Any rent under the Flying J Lease which has actually been received by Seller as of the
Flying J Closing Date shall be prorated based on the actual number of days in the month in which the Flying J Closing occurs, with any rent allocable to the period following the Adjustment Time to be credited to Buyer, it being understood and agreed
that if there is any arrearage in such rent as of the Flying J Closing, Buyer shall have the sole right to collect and keep such arrearage from and after the Flying J Closing; 

b. [Intentionally Omitted;] 

c. Real estate and personal property taxes and assessments shall be prorated on the basis of the tax bill for the tax year in which the Flying
J Closing occurs and the number of days in such period the Property will have been owned by Seller and Buyer, respectively (provided that there shall be no such proration of such taxes and assessments to the extent that it is the obligation of the
Flying J Tenant to pay same under the Flying J Lease); and 
 d. Any other items, the credit or proration of which are necessary to fairly
allocate the benefits and burdens of ownership of the Property, which such items shall be prorated in accordance with customary practices in the jurisdiction in which the applicable Flying J Property is located. In the event that accurate prorations
and other adjustments cannot be made at the Flying J Closing because current bills are not available or the amount to be adjusted is not yet ascertainable, the Parties shall prorate on the best available information. All prorations under this
Section 3 shall be final and binding at the Final J Closing and shall be paid in immediately available federal funds wire transferred between Buyer and Seller as applicable. 

 

	 	4.	 Closing-related Costs. At the Flying J Closing, Buyer and Seller shall each pay half of (i) the
cost of the Closing Escrow to the extent allocable to the Flying J Closing, (ii) all recording charges for the Deed (as hereinafter defined), and (iii) the cost of any stamp or transfer tax or other similar fees and amounts imposed by any
municipality and any county ordinance, and the state in which the Real Property is located (the “State”). All closing costs other than as specified above, or as may be specifically allocated elsewhere in this Contract, will be
equally shared by Buyer and Seller at the Flying J Closing; provided, that, each Party shall each be solely responsible for the fees and disbursements of such Party’s respective counsel and other professional advisors and the costs of any due
diligence conducted by such Party; provided, further, that the payment of any costs and expenses pertaining to the Title Policy (including without limitation, any standard or extended coverage, and any endorsements requested by the Buyer) shall be
governed by the terms of the EPA. 

  

	 	5.	 The Flying J Closing. The Flying J Closing shall occur on the date of the EPA Closing as determined
pursuant to the EPA, immediately after (but on the same day as) the EPA Closing (the “Flying J Closing Date”). 

a. Seller Closing Deliverables. At or before the Flying J Closing, Seller shall deliver or cause to be delivered to Escrow Agent (as
hereinafter defined) the following items for each Flying J Properties on Exhibit A-2: 

  
 3 

	 	i.	 Deeds (collectively, the “Deed”) substantially in the forms attached hereto and made a part
hereof as Exhibit K with respect to each applicable Flying J Property (with such modifications thereto as are reasonably requested by the Title Company), duly executed by Seller; 

 

	 	ii.	 A bill of sale (the “Bill of Sale”) in the form attached hereto and made a part hereof as
Exhibit C duly executed by Seller; 

  

	 	iii.	 A FIRPTA Affidavit in the form attached hereto and made a part hereof as Exhibit D duly executed by
Seller, or a duly executed IRS W-9 form, as applicable; 

  

	 	iv.	 An assignment of all of Seller’s right title and interest in and to the Flying J Lease (the
“Assignment of Leases”) in the form attached hereto and made a part hereof as Exhibit E duly executed by Seller; 

  

	 	v.	 Those books, records and other documents relating solely to the Flying J Properties set forth on Exhibit
F; 

  

	 	vi.	 Such affidavits as may be customarily and reasonably required by the applicable title company issuing
Buyer’s owner’s policy of title insurance (the “Title Company”), in a form reasonably acceptable to Seller; 

  

	 	vii.	 Subject to Section 10(b) hereof, the full amount of the Burger King Loan Repayment
Amount (as defined below) in immediately available wire transferred funds; 

  

	 	viii.	 Such other documents, certificates, instruments, affidavits and transfer tax returns as are customarily
executed by a seller of real property in the city, county and State where the Flying J Properties are located or as are reasonably requested by Buyer to close the transactions contemplated hereunder; and 

 

	 	ix.	 An estoppel certificate in the form attached hereto and made a part hereof as Exhibit J duly executed by
the tenant under the Flying J Lease (the “Flying J Tenant”); provided, that Buyer shall accept such modifications to the form attached as Exhibit J as are reasonably requested by Flying J Tenant, provided further there shall be no
material changes to the certifications given under paragraphs 1, 2, 3 and 4 thereof. 

 b. Buyer Closing
Deliverables. At or before the Flying J Closing, Buyer shall deliver or cause to be delivered to Escrow Agent the following items: 
  

	 	i.	 The full amount of the Flying J Purchase Price (as increased or decreased by the prorations and adjustments as
provided in Section 3) in immediately available wire transferred funds; 

  

	 	ii.	 The Assignment of Leases; 

  
 4 

	 	iii.	 Satisfactions with respect to each of the mortgages (the “Flying J Releases”) securing the
loans encumbering the Property listed on Exhibit B (the “Flying J Loan”) in proper form for recording in the applicable jurisdiction, and such other instruments as may be necessary to release all liens of the Flying J Loan,
duly executed by Buyer; 

  

	 	iv.	 Satisfactions with respect to each of the mortgages (the “Burger King Releases”) securing the
loans more particularly described on Exhibit G attached hereto (the “Burger King Loans”) in proper form for recording in the applicable jurisdiction, and such other instruments as may be necessary to release all liens of the
Burger King Loans, duly executed by the applicable Acquired Company; 

  

	 	v.	 Such other documents, certificates, instruments, affidavits and transfer tax returns as are customarily
executed by a buyer of real property in the city, county and State where the Flying J Properties are located or as are reasonably requested by Seller to close the transactions contemplated hereunder. 

 

	 	vi.	 On or before the Flying J Closing Date, Seller and Buyer shall jointly execute and deliver or cause to be
executed and delivered to Escrow Agent any county and municipal transfer tax declarations, in each case duly approved by Seller and Buyer, which approval by both parties shall not be unreasonably withheld or conditioned. 

 

	 	6.	 Seller Representations: Seller hereby represents to Buyer, as of the date hereof and as of the Flying J
Closing Date, as follows: 

  

	 	a.	 Seller is a limited liability company validly existing and in good standing under the laws of the State of
Delaware, is qualified to do business in each of the states in which the Flying J Properties are located and has the requisite power and authority to enter into and to perform the terms of this Contract. The execution and delivery of this Contract
and the consummation of the transactions contemplated hereby have been duly authorized by all requisite corporate or equivalent action of Seller and are not prohibited by any agreement or instrument to which Seller is a party or to Seller’s
knowledge which the Flying J Property is subject. This Contract constitutes, and each document and instrument contemplated hereby to be executed and delivered by Seller, when executed and delivered, shall constitute the legal, valid and binding
obligation of Seller enforceable against Seller in accordance with its respective terms (subject to bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally). 

 

	 	b.	 To Seller’s Knowledge, no law, statute, rule, regulation, judgment, order, writ, injunction or decree
which is binding upon Seller prohibits the execution, delivery or performance of this Contract by Seller or the consummation of the transactions contemplated hereby, or requires Seller to obtain any consent, authorization, approval or registration
which Seller has not obtained. 

  
 5 

	 	c.	 Seller is not a “foreign person” within the meaning of Section 1445 of the Internal Revenue Code
1986, as amended, or any regulations promulgated thereunder (collectively, the “Code”). 

  

	 	d.	 To Seller’s Knowledge, without investigation or inquiry, there is no action, claim, audit, lawsuit,
litigation, arbitration, proceeding (including civil, criminal, administrative, investigative or appellate proceeding), hearing, inquiry, examination, investigation commenced, brought or conducted or heard by or before, or otherwise involving, any
court or other Governmental Authority (defined below) or any arbitrator or arbitration panel pending or, threatened against it in a writing received by Seller, nor is there any order, judgment, decision, decree, injunction, ruling, writ or
assessment (whether temporary, preliminary or permanent) of any federal, state or local or foreign court, administrative agency, department, division, commission or other governmental authority or instrumentality, domestic or foreign, or any
industry self-regulatory authority (each, a “Governmental Authority”) or arbitration outstanding against it, in each case, except for those that are not, individually or in the aggregate, reasonably likely to have a material adverse
effect on Seller’s ability to timely consummate the transactions contemplated hereunder or Buyer’s interest in the Flying J Properties after the Flying J Closing. 

 

	 	e.	 To Seller’s Knowledge, Seller does not have, and has never had, any employment or collective bargaining
agreements with respect to the Flying J Properties that will be binding on Buyer following the Flying J Closing. 

  

	 	f.	 To Seller’s Knowledge, there are no service, maintenance or supply contracts, or brokerage agreements in
connection with the Flying J Properties to which Seller is a party that will be binding on Buyer following the Flying J Closing. 

  

	 	g.	 [Intentionally Omitted]. 

 

	 	h.	 To Seller’s Knowledge, the lease agreement attached hereto as Exhibit I (the “Flying J
Lease”) is (i) in full force and effect and (ii) the only lease, license or occupancy agreement entered into by Seller with respect to the Flying J Properties that will be in effect following the Flying J Closing. To Seller’s
Knowledge, neither Seller nor the Flying J Tenant is in material default under the Flying J Lease. 

  

	 	i.	 [Intentionally Omitted]. 

 

	 	j.	 [Intentionally Omitted]. 

  
 6 

	 	k.	 To Seller’s Knowledge, (A) no purchase option has been exercised under the Flying J Lease,
(B) except with respect to the purchase option and right to make a Rejectable Purchase Offer (as defined in the Flying J Lease) (collectively, the “Flying J Tenant Purchase Rights”), there are no unexpired option to purchase
agreements, rights of first refusal or first offer or any other rights to purchase or otherwise acquire any Flying J Property or any portion thereof, and (C) there are no other written agreements to which Seller is a party to enter into any
Contract (as defined in the EPA) to sell or lease any Flying J Property or any portion thereof that is owned by Seller, which, in each case, is in favor of any other party. 

The term “Knowledge” as used herein with respect to Seller, shall mean the current actual and not implied or constructive knowledge based on
written materials, and after inquiry of all relevant facts from the asset manager who manages the portfolio that includes the Flying J Properties, but otherwise without the duty of investigation or independent inquiry, of Ken Heimlich. Seller’s
representations and warranties under this Section 6 shall survive for a period of three (3) months following the Flying J Closing. Except as set forth in the immediately preceding sentence, no representations,
warranties and/or agreements of Seller set forth herein shall survive the Flying J Closing. No claim for a breach of any representation or warranty of Seller shall be actionable or payable if the breach in question results from or is based on a
condition, state of facts or other matter as to which Buyer has actual knowledge prior to the Flying J Closing, if Buyer elects to consummate the transactions described herein with such actual knowledge. Seller shall have no liability to Buyer for a
breach of any representation or warranty hereunder unless the valid claims for all breaches with respect to the Flying J Properties, individually or in the aggregate, equal a total aggregate amount greater than $50,000, in which event the full
amount of such valid claims hereunder shall be actionable, provided that in no event shall Seller’s liability with respect to all claims for a breach of any representation or warranty of Seller exceed $550,000 in the aggregate. The provisions
of this Section 6 shall survive the Flying J Closing. 
  

	 	7.	 Buyer Representations: Buyer hereby represents to Seller, as of the date hereof and as of the Flying J
Closing Date, as follows: 

  

	 	a.	 Buyer is a limited liability company validly existing and in good standing under the laws of the State of
Delaware, and has the requisite power and authority to enter into and to perform the terms of this Contract. The execution and delivery of this Contract and the consummation of the transactions contemplated hereby have been duly authorized by all
requisite corporate or equivalent action of Seller and are not prohibited by any material agreement or instrument to which Seller is a party. This Contract constitutes, and each document and instrument contemplated hereby to be executed and
delivered by Seller, when executed and delivered, shall constitute the legal, valid and binding obligation of Seller enforceable against Seller in accordance with its respective terms (subject to bankruptcy, insolvency, reorganization, moratorium or
similar laws affecting creditors’ rights generally). 

  

	 	b.	 No law, statute, rule, regulation, judgment, order, writ, injunction or decree which is binding upon Buyer
prohibits the execution, delivery or performance of this Contract by Buyer or the consummation of the transactions contemplated hereby, or requires Buyer to obtain any consent, authorization, approval or registration which Buyer has not obtained.

  
 7 

 Buyer’s representations and warranties under this Section 7 shall survive the
Flying J Closing. 
  

	 	8.	 Seller Covenants. From and after the Effective Date, through and including the Flying J Closing Date,
Seller shall (x) operate the Flying J Properties in accordance with, and comply in all material respects with all of its obligations under, the documents evidencing or securing the Mortgage Loans (the “Mortgage Loan
Documents”), (y) not take any action or omit to take any action that results in an Event of Default (as defined in the Mortgage Loan Documents), and (z) deliver to Buyer a copy of any material correspondence received from the Flying J
Tenant within two (2) Business Days (as defined in the EPA) of receipt thereof. Without limitation of the foregoing, Seller shall not, without the prior written approval of Buyer: 

 

	 	a.	 Terminate, or waive any material rights under, or amend or modify in any material respect, the Flying J Lease.

  

	 	b.	 Subject to any rights of the Flying J Tenant under the Flying J Lease, grant (or suffer to be created) any lien
or cause any instrument to be recorded that would further encumber the Flying J Properties in any manner, other than Permitted Liens. 

  

	 	c.	 Sell or otherwise transfer any part of the Flying J Properties, or any interest therein, other than in
connection with any Permitted Liens. 

  

	 	9.	 Casualty and Condemnation. If after the Effective Date and prior to the Flying J Closing there shall
occur (a) damage to any of the Flying J Properties caused by fire or other casualty or (b) a taking by condemnation of any portion of the Flying J Properties, then, and in either such event, Buyer shall not have the right to terminate this
Contract by reason thereof, but, subject to the rights of the Flying J Tenant, Seller shall (i) assign to Buyer at the Flying J Closing, by written instrument in form and substance reasonably satisfactory to Buyer, all of Seller’s interest
in any insurance proceeds or condemnation awards which may be payable to Seller on account of any such fire, casualty or condemnation, (ii) deliver to Buyer any such proceeds or awards actually theretofore paid, and (iii) to the extent
that the claim is made under Seller’s policy(ies), pay to Buyer the amount of the deductible, if any, under Seller’s property insurance policy(ies). Subject to the rights of the Flying J Tenant, the proceeds of rent interruption insurance,
if any, shall on the Flying J Closing Date be appropriately apportioned between Buyer and Seller as of the Adjustment Time. The terms of this Section 9 constitute an express agreement to the contrary of Section 5-1311 of the New York General Obligations Law. 

  

	 	10.	 Closing Escrow and Closing Process. 

 

	 	a.	 The Flying J Closing shall take place through a deed and money escrow at the offices of First American Title
Insurance Company in National Commercial Services, 2425 East Camelback Road, Suite 300, Phoenix, Arizona 85016 (the “Escrow Agent”). The Parties, together with the parties to the EPA shall enter into an escrow agreement (the
“Escrow Agreement”) with Escrow Agent in form 

  
 8 

	 	
and substance reasonably acceptable to the Parties and the parties to the EPA (the “Closing Escrow”). Seller shall prepare, and deliver to Buyer, at least five (5) Business
Days prior to the Flying J Closing Date a closing statement (the “Closing Statement”), which shall contain Seller’s estimate of the amounts of all of the items requiring adjustment upon the Flying J Closing Date pursuant to
this Contract, each such amount to be verifiable by such documentary evidence of the same that is reasonably available to Seller. The amounts set forth on the Closing Statement shall be subject to the reasonable review of Buyer and shall be the
basis upon which the prorations and apportionments provided for in this Contract shall be made at the Flying J Closing. At the Flying J Closing, the Closing Statement shall be executed and delivered by the Parties, and once executed and delivered,
shall be binding and conclusive on the Parties (absent manifest error). 

  

	 	b.	 Seller shall use best efforts to consummate, and Spirit Realty, L.P. shall use best efforts to cause Seller to
consummate, the Flying J Closing in accordance with the provisions of this Contract. 

  

	 	c.	 Upon the Flying J Closing, pursuant to the terms of the Escrow Agreement and the Closing Statement:

  

	 	i.	 Buyer shall pay the Flying J Purchase Price to Seller; 

 

	 	ii.	 Seller shall pay or direct to be paid an amount sufficient to repay in full the Flying J Loan to SMTA (the
“Flying J Loan Repayment Amount”), which amount shall be final and binding as of the Flying J Closing; 

  

	 	iii.	 the Flying J Loans shall be deemed terminated and repaid in full and Escrow Agent shall cause the Flying J
Releases to be recorded in the land records of the applicable jurisdictions in which the Flying J Properties are located; 

  

	 	iv.	 Seller shall pay or direct to be paid an amount sufficient to repay in full the Burger King Loans to SMTA (the
“Burger King Loan Repayment Amount”), which amount shall be final and binding as of the Flying J Closing; and 

  

	 	v.	 the Burger King Loans shall be deemed terminated and repaid in full, and Escrow Agent shall cause the Burger
King Releases to be recorded in the land records of the applicable jurisdictions in which the applicable properties are located. 

Notwithstanding the foregoing, Seller and Buyer hereby agree that upon the Flying J Closing, in lieu of Seller making a separate payment of
the Flying J Loan Repayment Amount and the Burger King Loan Repayment Amount, Seller and Buyer shall direct the Escrow Agent to cause an amount equal to the sum of the Flying J Loan Repayment Amount and the Burger King Repayment Amount to be

  
 9 

 
netted out of the total Flying J Purchase Price and paid to SMTA to an account or accounts set forth in the Escrow Agreement, and upon such payment the Flying J Loan Repayment Amount and the
Burger King Repayment Amount and the Flying J Loans and the Burger King Loans shall be deemed repaid in full as set forth in this Section 10(b). The Parties shall cause the Escrow Agreement and the Closing Statement, as
applicable, to reflect the arrangements set forth in this Section 10(b). 
  

	 	d.	 All documents required to be provided by Seller and Buyer pursuant to this Contract and otherwise appropriate
to consummate the transaction contemplated by this Contract together with remittance of amounts sufficient to pay all costs required for recording of the Deed and related documents, including but not limited to transfer taxes, shall be delivered by
the Parties to the Escrow Agent, as closing agent, on or before the Flying J Closing Date. Notwithstanding the foregoing, subject to the requirements of the Escrow Agent, the Parties agree that the Flying J Closing may be set up remotely and/or in a
manner so that the Parties and their respective attorneys, or any of them, need not be physically present and may deliver all necessary documents by overnight mail or other means so that all requirements for the Flying J Closing are in place by the
scheduled time for the Flying J Closing. 

  

	 	e.	 The Parties agree that as promptly as practicable following the Flying J Closing, each party hereto shall do
and perform, or cause to be done and performed, all such acts and things, and shall execute and deliver all such agreements, certificates, instruments and documents as Seller may reasonably request in order to have the Burger King Releases recorded
in the counties where the applicable corresponding mortgages are recorded. 

  

	 	f.	 The Parties agree that they will cooperate to obtain, and to cause the Acquired Companies to provide,
terminations and releases from all applicable parties of all obligations, liabilities and claims under the Master Trust Transaction Documents (as defined in the EPA) in connection with the EPA Closing. In that connection, each party hereto shall do
and perform, or cause to be done and performed, all such acts and things, and shall execute and deliver all such agreements, certificates, instruments and documents as the Parties may reasonably request in order to implement such terminations and
releases. 

  

	 	11.	 AS IS/NO WARRANTIES; RELEASE. EXCEPT AS EXPRESSLY SET FORTH HEREUNDER, BUYER ACKNOWLEDGES THAT THE
PROPERTY IS BEING TRANSFERRED ON AN “AS IS” “WHERE IS” AND “WITH ALL FAULTS” BASIS WITHOUT ANY WARRANTIES, REPRESENTATIONS OR GUARANTEES, EITHER EXPRESS OR IMPLIED, OF ANY KIND, NATURE OR TYPE WHATSOEVER FROM, OR ON
BEHALF OF, SELLER. BUYER EXPRESSLY RELEASES SELLER, AND ANY AFFILIATE OF SELLER, AND THEIR RESPECTIVE REPRESENTATIVES, SUCCESSORS AND ASSIGNS FROM AND AGAINST ANY AND ALL DEMANDS AND CLAIMS AT LAW OR EQUITY

  
 10 

	 	
WHICH BUYER OR ITS AFFILIATES, REPRESENTATIVES, SUCCESSORS AND/OR ASSIGNS HAS OR MAY HAVE ARISING FROM OR RELATING TO THE PROPERTY OR ANY PORTION THEREOF, EXCEPT WITH RESPECT TO THE EXPRESS
REPRESENTATIONS AND WARRANTIES OF SELLER MADE HEREUNDER. 

  

	 	12.	 Governing Law and Consent to Jurisdiction. This Contract will be exclusively governed by and construed
and enforced in accordance with the laws of the State of New York, without regard to conflicts of law principles thereof (other than Section 5-1401 of the New York General Obligations Law). The Parties
each consent to the exclusive subject matter and personal jurisdiction and the venue of the New York State Supreme Court, County of New York or the United States District Court for the Southern District of New York with regard to any and all
disputes arising under, or related to, this Contract and the transactions contemplated herein. This Contract shall be deemed to be a contract accepted, made and formed in the State of New York. SELLER AND BUYER HEREBY WAIVE TRIAL BY JURY IN ANY
ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER ARISING IN TORT OR CONTRACT) BROUGHT BY SUCH PARTY AGAINST THE OTHER ON ANY MATTER ARISING OUT OF OR IN ANYWAY CONNECTED WITH THIS CONTRACT. 

 

	 	13.	 Termination. 

  

	 	a.	 In the event the EPA is terminated prior to the EPA Closing, this Contract shall immediately terminate and be
deemed void and of no further force and effect. 

  

	 	b.	 If (x) the EPA Closing occurs under the EPA, (y) the sale of the Flying J Properties does not occur
in accordance with this Contract on the date of the EPA Closing, and (z) the Property Transfer Adjustment Amount (as defined in the EPA) is deducted from the Base Purchase Price (as defined in the EPA) pursuant to clause (d)(2) of the
definition of the “Closing Payment Amount” under the EPA, then this Contract shall automatically terminate and be of no further force and effect; provided, however, that in the event of such termination the Parties
agree that as promptly as practicable following such termination, each Party shall do and perform, or cause to be done and performed, all such acts and things, and shall execute and deliver all such agreements, certificates, instruments and
documents as Seller or Buyer may reasonably request in order to have the Burger King Releases and the Flying J Releases recorded in the counties where the applicable corresponding mortgages are recorded and that, for the avoidance of doubt, this
Section 13(b) shall survive such termination. 

  

	 	c.	 Notwithstanding anything to the contrary herein, if the Flying J Tenant makes a Rejectable Purchase Offer,
Seller shall immediately notify Buyer thereof and this Agreement shall automatically terminate and be of no further force and effect as of the date of such notice. 

  
 11 

	 	d.	 In the event that the sale of the Flying J Properties does not occur in accordance with this Contract due to
the failure of any condition to either Party’s obligation to close under this Contract (which such condition was not waived by the applicable Party), this Contract shall automatically terminate and be of no further force and effect.

  

	 	e.	 Notwithstanding anything to the contrary in this Contract, in the event of any termination pursuant to this
Section 13 or any other provision of this Contract, neither Party shall have any further obligations or liabilities to the other Party (except those obligations or liabilities which expressly survive the termination of this Contract) and
neither Party shall be entitled to, and each Party hereby waives any right to, any damages or other remedies as a result of such termination, including without limitation, any special, punitive, exemplary, incidental, indirect, or consequential
damages. 

  

	 	14.	 Brokerage. Buyer warrants and represents to Seller that Buyer has not dealt with any real estate broker
or salesperson in connection with the transaction contemplated by this Contract. Seller warrants and represents to Buyer that Seller has not dealt with any real estate broker or salesperson in connection with the transaction contemplated by this
Contract. If any person shall assert a claim to a finder’s fee, brokerage commission, or any other compensation on account of alleged employment as a finder or broker or performance of services as a finder or broker in connection with this
transaction, the party under whom the finder or broker is claiming shall indemnify and hold the other party harmless from and against any such claim and all costs, expenses and liabilities incurred in connection with such claim or any action of
proceeding brought on account of such claim, including, but not limited to, reasonable counsel and witness fees and court costs in defending against such claim. This indemnity shall survive the Flying J Closing or cancellation and termination of
this Contract. 

  

	 	15.	 Entire Agreement. This Contract, together with all exhibits referred to herein, which are incorporated
herein and made a part hereof by this reference, constitutes the entire agreement between the Parties pertaining to the subject matter contained in this Contract. No supplement, modification or amendment of this Contract shall be binding unless in
writing and executed by Seller and Buyer. 

  

	 	16.	 Counterparts. This Contract may be executed in any number of counterparts, each of which shall be deemed
an original, but all of which shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page of this Contract by facsimile or electronic image scan transmission (such as a “.pdf” file) will be
effective as delivery of an original manually-executed counterpart of the Contract. 

  

	 	17.	 Time of the Essence. The Parties acknowledge and agree that, except as otherwise expressly provided in
this Contract, TIME IS OF THE ESSENCE for the performance of all actions (including, without limitation, the giving of notices, the delivery of documents and the funding of money) required or permitted to be taken under this Contract.

  
 12 

	 	18.	 Further Acts. Each Party agrees, upon request from the other Party, to promptly perform any and all
further acts and/or execute and deliver (with acknowledgement, verification, and/or affidavit, if require) any further documents and instruments, as may be reasonably necessary or desirable to implement and/or accomplish the provisions of this
Contract and the transactions contemplated herein. 

 [Remainder of Page Intentionally Left Blank; Signature Page
Follows] 

  
 13 

 IN WITNESS WHEREOF, the Parties have executed this Contract as of the date first
written above. 
  

			
	SELLER:	 	
	
	SPIRIT FJ SMF SPE, LLC, a Delaware limited liability company
	
	By: Spirit SPE Manager, LLC, a Delaware limited liability Company, its manager
		
	By:	 	 /s/ Jay Young

	Name:	 	Jay Young
	Title:	 	Executive Vice President, General Counsel and Corp Secretary
		
	BUYER:	 	
	
	BANNER NEWCO LLC, a Delaware limited liability company 
	
	By: SMTA Financing JV, LLC, its sole and managing member
		
	By:	 	 /s/ Ricardo Rodriguez

	Name:	 	Ricardo Rodriguez
	Title:	 	Authorized Signatory

  

			
	SOLELY TO CONFIRM THE
	PROVISIONS OF SECTIONS 10(b)
	OF THIS AGREEMENT:
	
	Spirit Realty, L.P., a Delaware limited liability company
	
	By: Spirit General OP Holdings, LLC
	A Delaware limited liability company, its general partner
		
	By:	 	 /s/ Jay Young

	Name:	 	Jay Young
	Title:	 	Executive Vice President,
		 	General Counsel and Corporate Secretary

 [Signature Page to Real Estate Sales Contract]

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