Document:

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                                                                    EXHIBIT 10.3

                               ADVISORY AGREEMENT

                                     Between

                          HINES REIT PROPERTIES, L.P.,

                                       and

                       HINES ADVISORS LIMITED PARTNERSHIP

                            __________________, 200__

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                                TABLE OF CONTENTS

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<Caption>
                                                                                                                Page
<S>                                                                                                             <C>
ARTICLE 1 DEFINITIONS.............................................................................................1

ARTICLE 2 APPOINTMENT.............................................................................................4

ARTICLE 3 DUTIES OF THE ADVISOR...................................................................................5

   3.01     Organizational and Offering Services..................................................................5
   3.02     Acquisition Services..................................................................................6
   3.03     Asset Management Services.............................................................................7
   3.04     Shareholder Services.................................................................................10

ARTICLE 4 AUTHORITY OF ADVISOR...................................................................................10

   4.01     General..............................................................................................10
   4.02     Powers of the Advisor................................................................................10
   4.03     Approval by Directors................................................................................11

ARTICLE 5 BANK ACCOUNTS..........................................................................................11

ARTICLE 6 RECORDS AND FINANCIAL STATEMENTS.......................................................................12

ARTICLE 7 LIMITATION ON ACTIVITIES...............................................................................12

ARTICLE 8 RELATIONSHIP WITH DIRECTORS AND OFFICERS...............................................................13

ARTICLE 9 FEES...................................................................................................13

   9.01     Acquisition Fees.....................................................................................13
   9.02     Asset Management Fees................................................................................14

ARTICLE 10 EXPENSES..............................................................................................14

   10.01    General..............................................................................................14
   10.02    Reimbursement to Advisor.............................................................................16
   10.03    Reimbursement to Company.............................................................................16

ARTICLE 11 OTHER SERVICES........................................................................................17

ARTICLE 12 RELATIONSHIP OF ADVISOR AND COMPANY; OTHER ACTIVITIES OF THE ADVISOR..................................18

   12.01    Relationship.........................................................................................18
   12.02    Time Commitment......................................................................................18
   12.03    Investment Opportunities and Allocation..............................................................19

ARTICLE 13 THE HINES NAME........................................................................................19

ARTICLE 14 TERM AND TERMINATION OF THE AGREEMENT.................................................................20

   14.01    Term.................................................................................................20
</Table>

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<Table>
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   14.02    Termination by Either Party..........................................................................20
   14.03    Termination by the Company...........................................................................20
   14.04    Termination by the Advisor...........................................................................21
   14.05    Payments on Termination and Survival of Certain Rights and Obligations...............................21
   14.06    Redemption of OP Units...............................................................................22

ARTICLE 15 ASSIGNMENT............................................................................................22

ARTICLE 16 INDEMNIFICATION AND LIMITATION OF LIABILITY...........................................................23

   16.01    Indemnification by the Company.......................................................................23
   16.02    Indemnification by the Advisor.......................................................................23
   16.03    Advisor's Liability..................................................................................24

ARTICLE 17 COMPANY ADMINISTRATION................................................................................25

ARTICLE 18 MISCELLANEOUS.........................................................................................25

   18.01    Notices..............................................................................................25
   18.02    Modification.........................................................................................26
   18.03    Severability.........................................................................................26
   18.04    Construction.........................................................................................26
   18.05    Entire Agreement.....................................................................................26
   18.06    Waiver...............................................................................................26
   18.07    Gender...............................................................................................27
   18.08    Titles Not to Affect Interpretation..................................................................27
   18.09    Counterparts.........................................................................................27
</Table>

                                       ii

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                               ADVISORY AGREEMENT

         This Advisory Agreement, dated as of ___________, 200__, is between
Hines REIT Properties, L.P., a Delaware limited partnership, and Hines Advisors
Limited Partnership, a Texas limited partnership (the "Agreement").

                                   WITNESSETH

         WHEREAS, the Company (as hereinafter defined) desires to avail itself
of the knowledge, experience, sources of information, advice, assistance and
certain facilities available to the Advisor (hereinafter defined) and to have
the Advisor undertake the duties and responsibilities hereinafter set forth
herein on the terms set forth in this Agreement; and

         WHEREAS, the Advisor is willing to undertake to render such services on
the terms and conditions hereinafter set forth.

         NOW, THEREFORE, in consideration of the foregoing and of the mutual
covenants and agreements contained herein, the parties hereto agree as follows:

                                   ARTICLE 1

                                  DEFINITIONS

         The following defined terms used in this Advisory Agreement shall have
the meanings specified below:

         "Acquisition Expenses" has the meaning set forth in the Articles of
Incorporation. "Advisor" means (i) Hines Advisors Limited Partnership, a Texas
limited partnership, or (ii) any successor advisor to the Company.

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         "Affiliate" has the meaning set forth in the Articles of Incorporation.
For the purposes of this Agreement, the Advisor shall not be deemed to be an
Affiliate of the Company, and vice versa.

         "Articles of Incorporation" means the Articles of Incorporation of the
General Partner, as amended from time to time.

         "Asset" or "Assets" means any and all property (real, personal or
otherwise), tangible or intangible, including interests in any Person or in
joint ventures, which is owned or held by, or for the account of, the Company,
whether directly or indirectly through another entity.

         "Board of Directors" means the Board of Directors of the General
Partner.

         "Bylaws" means the bylaws of the General Partner, as amended from time
to time.

         "Code" means the Internal Revenue Code of 1986, as amended from time to
time, or any successor statute thereto. Reference to any provision of the Code
shall mean such provision as in effect from time to time, as the same may be
amended, and any successor provision thereto, as interpreted by any applicable
regulations as in effect from time to time.

         "Company" means Hines REIT Properties, L.P., a Delaware limited
partnership. Within the context of discussions of the operations, business and
administration of the Company, the term "Company" shall mean, collectively,
Hines REIT Properties, L. P. and the General Partner for the purposes of this
Agreement.

         "Director" means a member of the Board of Directors of the General
Partner.

         "General Partner" means Hines Real Estate Investment Trust, Inc., a
Maryland corporation and general partner of the Company.

         "Gross Proceeds" has the meaning set forth in the Articles of
Incorporation.

         "Hines" means Hines Interests Limited Partnership and its Affiliates.

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         "Independent Director" has the meaning set forth in the Articles of
Incorporation.

         "Initial Asset Value" means (i) in the case of an Asset other than a
mortgage loan, the gross purchase price of real estate investments acquired
directly by the Company, including any debt attributable to such investments, or
the pro rata share of the gross asset value of real estate investments held by
entities in which we invest, and (ii) in the case of a mortgage loan, the total
amount of the funds advanced.

         "Managing Dealer" means Hines Real Estate Securities, Inc., a Delaware
corporation, or such other entity selected by the Board of Directors to act as
the managing dealer for the Offering.

         "Offering" means the public offering of Shares pursuant to the
Prospectus.

         "Operating Expenses" has the meaning set forth in the Articles of
Incorporation.

         "Organizational and Offering Expenses" has the meaning set forth in the
Articles of Incorporation.

         "Person" means an individual, corporation, partnership, estate, trust,
a portion of a trust permanently set aside for or to be used exclusively for the
purposes described in Section 642(c) of the Code, association, private
foundation within the meaning of Section 509(a) of the Code, joint stock company
or other entity.

         "Property Manager" means Hines Interests Limited Partnership, a Texas
limited partnership.

         "Property Management and Leasing Agreement" means that certain Property
Management and Leasing Agreement between the Company and the Property Manager.

         "Prospectus" means the General Partner's final prospectus within the
meaning of Section 2(10) of the Securities Act of 1933, as amended.

                                       3
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         "REIT" means a "real estate investment trust" under Sections 856
through 860 of the Code.

         "Securities" means any class or series of units or shares of the
Company or the General Partner, including common shares or preferred units or
shares and any other evidences of equity or beneficial or other interests,
voting trust certificates, bonds, debentures, notes or other evidences of
indebtedness, secured or unsecured, convertible, subordinated or otherwise, or
in general any instruments commonly known as "securities" or any certificates of
interest, shares or participations in, temporary or interim certificates for,
receipts for, guarantees of, or warrants, options or rights to subscribe to,
purchase or acquire, any of the foregoing.

         "Selling Commissions" has the meaning set forth in the Articles of
Incorporation. "Shares" means shares of common stock of the General Partner, par
value $.001 per share.

         "Shareholders" means the registered holders of the outstanding Shares.

         "Termination Date" means the date of termination of this Agreement.

         "2%/25% Guidelines" has the meaning set forth in the Articles of
Incorporation.

                                   ARTICLE 2

                                  APPOINTMENT

         The Company hereby appoints the Advisor to serve as its advisor on the
terms and conditions set forth in this Agreement, and the Advisor hereby accepts
such appointment.

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                                    ARTICLE 3

                              DUTIES OF THE ADVISOR

         The Advisor is responsible for managing, operating, directing and
supervising the operations and administration of the Company and its Assets. The
Advisor shall, either directly or by engaging an Affiliate or third party,
perform the following duties:

         3.01 Organizational and Offering Services. The Advisor shall manage and
supervise:

                  (i) Development of the product offering, including the
determination of the specific terms of the Securities to be offered by the
General Partner and/or the Company;

                  (ii) Formation and organization of the Company, preparation of
all offering and related documents, and obtaining of all required regulatory
approvals of such documents;

                  (iii) Along with the Managing Dealer, approval of the
participating broker dealers and negotiation of the related selling agreements;

                  (iv) Coordination of the due diligence process relating to
participating broker dealers and their review of the Prospectus and other
Offering and Company documents;

                  (v) Preparation and approval of all marketing materials
contemplated to be used by the Managing Dealer or others in the Offering of the
General Partner's Securities;

                  (vi) Along with the Managing Dealer, negotiation and
coordination with the transfer agent for the receipt, collection and processing
of subscription agreements, commissions, and other administrative support
functions;

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                  (vii) Creation and implementation of various technology and
electronic communications related to the Offering of the General Partner's
Securities; and

                  (viii) All other services related to organization of the
Company or the Offering, whether performed and incurred by the Advisor or its
Affiliates.

         3.02 Acquisition Services.

                  (i) Serve as the Company's investment and financial advisor
and provide relevant market research and economic and statistical data in
connection with the Company's assets and investment objectives and policies;

                  (ii) Subject to Section 4 hereof and the investment objectives
and policies of the Company: (a) locate, analyze and select potential
investments; (b) structure and negotiate the terms and conditions of
transactions pursuant to which investments in Assets will be made; (c) acquire
Assets on behalf of the Company; and (d) arrange for financing related to
potential acquisitions of Assets;

                  (iii) Perform due diligence on prospective investments and
create due diligence reports summarizing the results of such work;

                  (iv) Prepare reports regarding prospective investments which
include recommendations and supporting documentation necessary for the Directors
to evaluate the proposed investments;

                  (v) Obtain reports (which may be prepared by the Advisor or
its Affiliates), where appropriate, concerning the value of contemplated
investments of the Company; and

                  (vi) Negotiate and execute approved investments and other
transactions.

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         3.03     Asset Management Services.

                  (i) Real Estate Services:

                           (a) Investigate, select, and, on behalf of the
Company, engage and conduct business with such Persons as the Advisor deems
necessary to the proper performance of its obligations hereunder, including but
not limited to consultants, accountants, lenders, technical advisors, attorneys,
brokers, underwriters, corporate fiduciaries, escrow agents, depositaries,
custodians, agents for collection, insurers, insurance agents, developers,
construction companies and any and all Persons acting in any other capacity
deemed by the Advisor necessary or desirable for the performance of any of the
foregoing services;

                           (b) Negotiate and service the Company's debt
facilities and other financings;

                           (c) Monitor applicable markets and obtain reports
(which may be prepared by the Advisor or its Affiliates) where appropriate,
concerning the value of investments of the Company;

                           (d) Monitor and evaluate the performance of
investments of the Company; provide daily management services to the Company and
perform and supervise the various management and operational functions related
to the Company's investments;

                           (e) Coordinate with the Property Manager on its
duties under the Property Management and Leasing Agreement and assist in
obtaining all necessary approvals of major property transactions as governed by
the Property Management and Leasing Agreement;

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                           (f) Coordinate and manage relationships between the
Company and any joint venture partners;

                           (g) Consult with the officers and Directors of the
General Partner and provide assistance with the evaluation and approval of
potential property dispositions, sales or refinancings;

                  (ii) Accounting and Other Administrative Services:

                           (a) Manage and perform the various administrative
functions necessary for the management of the day-to-day operations of the
Company;

                           (b) From time-to-time, or at any time reasonably
requested by the Directors, make reports to the Directors on the Advisor's
performance of services to the Company under this Agreement;

                           (c) Coordinate with the Company's independent
accountants and auditors to prepare and deliver to the General Partner's audit
committee an annual report covering the Advisor's compliance with certain
material aspects of this Advisory Agreement;

                           (d) Provide or arrange for administrative services
and items, legal and other services, office space, office furnishings, personnel
and other overhead items necessary and incidental to the Company's business and
operations;

                           (e) Maintain accounting data and any other
information requested concerning the activities of the Company as shall be
required to prepare and to file all periodic financial reports and returns
required to be filed with the

                                       8
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Securities and Exchange Commission and any other regulatory agency, including
annual financial statements;

                           (f) Maintain all appropriate books and records of the
Company;

                           (g) Provide tax and compliance services and
coordinate with appropriate third parties, including independent accountants and
other consultants, on related tax matters;

                           (h) Supervise the performance of such ministerial and
administrative functions as may be necessary in connection with the daily
operations of the Assets;

                           (i) Provide the Company with all necessary cash
management services;

                           (j) Manage and coordinate with the transfer agent the
quarterly dividend process and payments to shareholders;

                           (k) Consult with the officers and Directors of the
General Partner and assist the Directors in evaluating and obtaining adequate
insurance coverage based upon risk management determinations;

                           (l) Provide the officers and Directors of the General
Partner with timely updates related to the overall regulatory environment
affecting the Company, as well as managing compliance with such matters,
including but not limited to compliance with the Sarbanes-Oxley Act of 2002;

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                           (m) Consult with the officers and Directors of the
General Partner and the Board of Directors relating to the corporate governance
structure and appropriate policies and procedures related thereto; and

                           (n) Perform all reporting, record keeping, internal
controls and similar matters in a manner to allow the General Partner to comply
with applicable law including the Sarbanes-Oxley Act.

         3.04     Shareholder Services.

                  (i) Manage communications with shareholders, including
answering phone calls, preparing and sending written and electronic reports and
other communications; and

                  (ii) Establish technology infrastructure to assist in
providing shareholder support and service.

                                    ARTICLE 4

                              AUTHORITY OF ADVISOR

         4.01 General. All rights and powers to manage and control the
day-to-day business and affairs of the Company shall be vested in the Advisor.
The Advisor shall have the power to delegate all or any part of its rights and
powers to manage and control the business and affairs of the Company to such
officers, employees, Affiliates, agents and representatives of the Advisor or
the Company as it may from time to time deem appropriate. Any authority
delegated by the Advisor to any other Person shall be subject to the limitations
on the rights and powers of the Advisor specifically set forth in this Agreement
or the Articles of Incorporation.

         4.02 Powers of the Advisor. Subject to the express limitations set
forth in this Agreement, the power to direct the management, operation and
policies of the Company shall be

                                       10
<PAGE>

vested in the Advisor, which shall have the power by itself and shall be
authorized and empowered on behalf and in the name of the Company to carry out
any and all of the objectives and purposes of the Company and to perform all
acts and enter into and perform all contracts and other undertakings that it may
in its sole discretion deem necessary, advisable or incidental thereto to
perform its obligations under this Agreement.

         4.03 Approval by Directors.

                   (i) Notwithstanding the foregoing any investment in Assets,
including any acquisition of an Asset by the Company or any investment by the
Company in a joint venture, limited partnership or similar entity owning real
properties, will require the prior approval of the Board of Directors. The
Advisor will deliver to the Board of Directors all documents required by it to
properly evaluate the proposed investment.

                   (ii) If the Articles of Incorporation require that a
transaction be approved by the Independent Directors, the Advisor will deliver
to the Independent Directors all documents required by them to properly evaluate
the proposed investment in the Asset. The prior approval of a majority of the
Independent Directors will be required for each transaction between the Company
and the Advisor or its Affiliates.

                                   ARTICLE 5

                                  BANK ACCOUNTS

         The Advisor will maintain one or more bank accounts in the name of the
Company and will collect and deposit into any such account or accounts, and
disburse from any such account or accounts, any money on behalf of the Company.
Notwithstanding the foregoing, no funds shall be commingled with the funds of
the Advisor.

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<PAGE>

                                   ARTICLE 6

                        RECORDS AND FINANCIAL STATEMENTS

         Advisor, in the conduct of its responsibilities to the Company, shall
maintain adequate and separate books and records for the Company's operations in
accordance with United States generally accepted accounting principles ("GAAP"),
which shall be supported by sufficient documentation to ascertain that such
books and records are properly and accurately recorded. Such books and records
shall be the property of the Company. Such books and records shall include all
information necessary to calculate and audit the fees or reimbursements paid
under this Agreement. Advisor shall utilize procedures to attempt to ensure such
control over accounting and financial transactions as is reasonably required to
protect the Company's assets from theft, error or fraudulent activity. All
financial statements Advisor delivers to the Company shall be prepared on an
accrual basis in accordance with GAAP, except for special financial reports
which by their nature require a deviation from GAAP. Advisor shall maintain
necessary liaison with the Company's independent accountants and shall provide
such accountants with such reports and other information as the Company shall
request.

                                   ARTICLE 7

                            LIMITATION ON ACTIVITIES

         Notwithstanding any provision in this Agreement to the contrary, the
Advisor shall not take any action which, in its sole judgment made in good
faith, would (i) adversely affect the ability of the General Partner to qualify
or continue to qualify to be taxed as a REIT, (ii) subject the Company or the
General Partner to regulation under the Investment Company Act of 1940, as
amended, (iii) violate any law, rule or regulation of any governmental body or
agency having jurisdiction over the Company, the General Partner or their
Securities, or (iv) violate the Articles

                                       12
<PAGE>

of Incorporation or Bylaws. In the event an action that would violate (i)
through (iv) of the preceding sentence but such action has been ordered by the
Board of Directors acting on behalf of the General Partner, the Advisor shall
notify the Board of Directors of the Advisor's judgment of the potential impact
of such action and shall refrain from taking such action until it receives
further clarification or instructions from the Board of Directors. In such event
the Advisor shall have no liability for acting in accordance with the specific
instructions of the Board of Directors so given. Notwithstanding the foregoing,
none of the Advisor, its Affiliates and none of their directors, officers,
employees and equityholders, shall be liable to the Company, the General
Partner, the Board of Directors or the Shareholders for any act or omission by
such Persons or individuals, except as provided in this Agreement.

                                   ARTICLE 8

                    RELATIONSHIP WITH DIRECTORS AND OFFICERS

         Directors, officers and employees of the Advisor or any direct or
indirect Affiliate of the Advisor may serve as a Director and as officers of the
General Partner, except that no director, officer or employee of the Advisor or
any of its Affiliates who also is a Director or officer of the General Partner
shall receive any compensation from the Company or General Partner for serving
as a Director or officer other than reasonable reimbursement for travel and
related expenses incurred in attending meetings of the Board of Directors.

                                   ARTICLE 9

                                     FEES

         9.01 Acquisition Fees. The Company will pay the Advisor in cash as
compensation for services described in Section 3.02 an acquisition fee of 0.50%
of the Initial Asset Value of each Asset or loan acquired by the Advisor as well
as reimburse the Company for all out-of-pocket

                                       13
<PAGE>

third-party expenses incurred by the Advisor in connection with such services as
required by Article 10. The amount of such acquisition fees shall be subject to
any limitations contained in the Articles of Incorporation. The Advisor shall
submit an invoice to the Company following the closing or closings of each
acquisition, accompanied by a computation of the fee. The fee shall be payable
within ten business days after receipt of the invoice by the Company.

         9.02 Asset Management Fees. The Company will pay the Advisor in cash as
compensation for services described in Section 3.03 an asset management fee in
accordance with this Section 9.02 as well as reimburse the Advisor for all
out-of-pocket third-party expenses incurred by the Advisor in connection with
such services as required by Article 10. Subject to any limitations contained in
the Articles of Incorporation, this asset management fee shall be earned monthly
and the amount of this asset management fee payable by the Company to the
Advisor shall equal 0.0625% multiplied by the net equity invested in real estate
investments as of the end of the applicable month. The Advisor shall submit a
monthly invoice to the Company, accompanied by a computation of the asset
management fee for the applicable period. The asset management fee shall be
payable within ten business days after receipt of the invoice by the Company.

                                   ARTICLE 10

                                    EXPENSES

         10.01 General. In addition to the compensation paid to the Advisor
pursuant to Section 9 hereof, the Company shall pay directly or reimburse the
Advisor for all of the expenses paid or incurred by the Advisor or Affiliates in
connection with the services provided to the Company pursuant to this Agreement,
including, but not limited to:

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                  (i) all Organizational and Offering Expenses; provided,
         however, that the Company shall have no obligation to reimburse such
         expenses until the "minimum offering" (as such term is described in the
         Prospectus) has been reached and provided further that the Company
         shall at no time reimburse the Advisor for any Organizational and
         Offering Expenses reimbursements pursuant to this Section 10 to the
         extent that such reimbursement would exceed 3.0% of Gross Proceeds;

                  (ii) Acquisition Expenses incurred in connection with the
         selection and acquisition of Assets including such expenses incurred
         related to assets pursued or considered but not ultimately acquired by
         the Company;

                  (iii) the actual cost of goods and services used by the
         Company or the General Partner and obtained from entities not
         Affiliated with the Advisor, including brokerage fees paid in
         connection with the purchase and sale of Securities;

                  (iv) taxes and assessments on income or Assets and taxes as an
         expense of doing business and any other taxes otherwise imposed on the
         Company and its business or income;

                  (v) costs associated with insurance required in connection
         with the business of the Company or by the Board of Directors;

                  (vi) all expenses in connection with payments to the Board of
         Directors and meetings of the Board of Directors and Shareholders;

                  (vii) personnel and related employment direct costs and
         overhead of the Advisor or Affiliates in performing the services
         described in Sections 3.01 and 3.04;

                                       15
<PAGE>

                  (viii) expenses of maintaining communications with
         Shareholders, including the cost of preparation, printing, and mailing
         annual reports and other Shareholder reports, proxy statements and
         other reports required by governmental entities;

                  (ix) audit, accounting and legal fees, and other fees for
         professional services relating to the operations of the Company and all
         such fees incurred at the request, or on behalf of, the Independent
         Directors or any committee of the Board of Directors;

                  (x) costs for the Company to comply with all applicable laws,
         regulation and ordinances; and

                  (xi) all other costs necessary for the operation of the
         Company and its Assets incurred by the Advisor in performing its duties
         hereunder.

         Except as specifically provided for above in (i) and (viii) related to
Organization and Offering Expenses and shareholder services expenses, the
expenses and payments subject to reimbursement by the Company in this Section
10.01 do not include personnel and related direct employment or overhead costs
of the Advisor or Affiliates. The Company shall also reimburse the Advisor or
Affiliates of the Advisor for all expenses incurred on behalf of the Company or
the General Partner prior to the execution of this Agreement.

         10.02 Reimbursement to Advisor. Expenses incurred by the Advisor on
behalf of the Company and payable pursuant to this Section 10 shall be
reimbursed to the Advisor within 10 days after the Advisor provides the Company
with an invoice and supporting documentation relating to such reimbursement.

         10.03 Reimbursement to Company. The Company shall not reimburse the
Advisor during any fiscal quarter for Operating Expenses that, in the four
consecutive fiscal quarters then ended (the "Expense Year"), exceed the 2%/25%
Guidelines for such year (the "Excess

                                       16
<PAGE>

Amount"), unless the Independent Directors determine that such excess was
justified, based on unusual and non-recurring factors which they deem
sufficient, in which case the Excess Amount may be reimbursed. Any Excess Amount
paid to the Advisor during a fiscal quarter without the Independent Directors
determining that such expenses were justified shall be repaid to the Company.
Within 60 days after the end of any fiscal quarter of the Company for which
total Operating Expenses for the Expense Year exceed the 2%/25% Guidelines and
the Independent Directors determined that such expenses were justified, there
shall be sent to the Shareholders a written disclosure of such fact, together
with an explanation of the factors the Independent Directors considered in
determining that such excess expenses were justified. Such determination shall
be reflected in the minutes of the meetings of the Board of Directors. The
Company will not reimburse the Advisor or its Affiliates for services for which
the Advisor or its Affiliates are entitled to compensation in the form of a
separate fee.

                                   ARTICLE 11

                                 OTHER SERVICES

         Should (i) the General Partner request that the Advisor or any
director, officer or employee thereof render services for the Company other than
as set forth in this Agreement or (ii) there are changes to the regulatory
environment in which the Advisor or Company operates that would increase
significantly the level of services performed such that the costs and expenses
borne by the Advisor for which the Advisor is not entitled to separate
reimbursement for personnel and related employment direct costs and overhead
under Article 10 of this Agreement would increase significantly, such services
shall be separately compensated at such rates and in such amounts as are agreed
by the Advisor and the Independent Directors, subject to the

                                       17
<PAGE>

limitations contained in the Articles of Incorporation, and shall not be deemed
to be services pursuant to the terms of this Agreement.

                                   ARTICLE 12

      RELATIONSHIP OF ADVISOR AND COMPANY; OTHER ACTIVITIES OF THE ADVISOR

         12.01 Relationship. The Company and the Advisor are not partners or
joint venturers with each other, and nothing in this Agreement shall be
construed to make them such partners or joint venturers. Nothing herein
contained shall prevent the Advisor from engaging in other activities,
including, without limitation, the rendering of advice to other Persons and the
management of other programs advised, sponsored or organized by the Advisor or
its Affiliates. Nor shall this Agreement limit or restrict the right of any
director, officer, employee, or equityholder of the Advisor or its Affiliates to
engage in any other business or to render services of any kind to any other
Person. The Advisor may, with respect to any investment in which the Company is
a participant, also render advice and service to each and every other
participant therein. The Advisor shall promptly disclose to the Board of
Directors the existence of any condition or circumstance, existing or
anticipated, of which it has knowledge, which creates or could create a conflict
of interest between the Advisor's obligations to the Company and its obligations
to or its interest in any other Person.

         12.02 Time Commitment. The Advisor shall, and shall cause its
Affiliates and their respective employees, officers and agents to, devote to the
Company such time as shall be reasonably necessary to conduct the business and
affairs of the Company in an appropriate manner consistent with the terms of
this Agreement. The Company acknowledges that the Advisor and other Affiliates
of Hines and their respective employees, officers and agents may

                                       18
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also engage in activities unrelated to the Company and may provide services to
Persons other than the Company or any of its Affiliates.

         12.03 Investment Opportunities and Allocation. The Advisor shall be
required to use commercially reasonable efforts to present a continuing and
suitable investment program to the Company which is consistent with the
investment policies and objectives of the Company, but neither the Advisor nor
any Affiliate of the Advisor shall be obligated generally to present any
particular investment opportunity to the Company even if the opportunity is of
character which, if presented to the Company, could be taken by the Company. In
the event an investment opportunity is located, the allocation procedure set
forth under the caption "Conflicts of Interest--Competitive Activities of Hines
and its Affiliates" in the Prospectus shall govern the allocation of the
opportunity among the Company and Affiliates of the Advisor.

                                   ARTICLE 13

                                 THE HINES NAME

         The Advisor, Hines and their Affiliates have a proprietary interest in
the name "Hines". The Advisor hereby grants to the Company a non-transferable,
non-assignable, non-exclusive royalty-free right and license to use the name
"Hines" during the term of this Agreement. Accordingly, and in recognition of
this right, if at any time the Company ceases to retain Hines or an Affiliate
thereof to perform the services of Advisor, the Company (including the General
Partner) will, promptly after receipt of written request from Hines, cease to
conduct business under or use the name "Hines" or any derivative thereof and the
Company and the General Partner shall change the name of the Company and the
General Partner to a name that does not contain the name "Hines" or any other
word or words that might, in the reasonable discretion of the Advisor, be
susceptible of indication of some form of relationship between the Company and

                                       19
<PAGE>

the Advisor or any Affiliate thereof. At such time, the Company will also make
any changes to any trademarks, servicemarks or other marks necessary to remove
any references to the word "Hines". Consistent with the foregoing, it is
specifically recognized that the Advisor or one or more of its Affiliates has in
the past and may in the future organize, sponsor or otherwise permit to exist
other investment vehicles (including vehicles for investment in real estate) and
financial and service organizations having "Hines" as a part of their name, all
without the need for any consent (and without the right to object thereto) by
the Company or the General Partner.

                                   ARTICLE 14

                      TERM AND TERMINATION OF THE AGREEMENT

         14.01 Term. This Agreement shall have an initial term of one year from
the date of the Agreement. This Agreement may be renewed for an unlimited number
of successive one-year terms upon mutual consent of the parties. Any such
renewal must be approved by a majority of the Independent Directors. The General
Partner (through the Independent Directors) will evaluate the performance of the
Advisor annually before renewing the Agreement, and each such renewal shall be
for a term of no more than one year.

         14.02 Termination by Either Party. This Agreement may be terminated
upon 60 days' written notice without cause or penalty by either party.

         14.03 Termination by the Company. This Agreement may be terminated
immediately by the Company upon (i) any fraudulent conduct, criminal conduct,
willful misconduct or the negligent breach of fiduciary duty of or by the
Advisor, (ii) a material breach of this Agreement by the Advisor not cured
within 10 business days after the Advisor receives written notice of such
breach, or (iii) an event of the bankruptcy of the Advisor or commencement of
any bankruptcy or similar insolvency proceedings of the Advisor.

                                       20
<PAGE>

         14.04 Termination by the Advisor. This Agreement may be terminated
immediately by the Advisor in the event of (i) the bankruptcy of the Company or
commencement of any bankruptcy or similar insolvency proceedings of the Company,
or (ii) any material breach of this Agreement by the Company not cured by the
Company within 10 days after written notice thereof.

         14.05 Payments on Termination and Survival of Certain Rights and
Obligations. Payments to the Advisor pursuant to this Section 14.05 shall be
subject to the 2%/25% Guidelines to the extent applicable.

                           (i) After the Termination Date, the Advisor shall not
         be entitled to compensation for further services hereunder except it
         shall be entitled to receive from the Company within 30 days after the
         effective date of such termination all unpaid reimbursements of
         expenses and all earned but unpaid fees payable to the Advisor prior to
         termination of this Agreement.

                           (ii)     The Advisor shall promptly upon termination:

                                    (a) pay over to the Company all money
                  collected pursuant to this Agreement, if any, after deducting
                  any accrued compensation and reimbursement for its expenses to
                  which it is then entitled;

                                    (b) deliver to the Directors a full
                  accounting, including a statement showing all payments
                  collected by it and a statement of all money held by it,
                  covering the period following the date of the last accounting
                  furnished to the Directors;

                                    (c) deliver to the Directors all assets and
                  documents of the Company then in the custody of the Advisor;
                  and

                                       21
<PAGE>

                                    (d) cooperate with the Company to provide an
                  orderly transition of advisory functions.

Upon the expiration or termination of this Agreement, neither party shall have
any further rights or obligations under this Agreement, except that Articles 13,
16 and 18 shall survive the termination or expiration of this Agreement.

         14.06 Redemption of OP Units. In the event this Agreement expires
without the consent of the Advisor, or is terminated for any reason other than
by the Advisor pursuant to Section 14.02, the Company shall, at the election of
the Advisor or its Affiliates (as applicable) and at any time after the
effective date of such expiration or termination, purchase all or a portion of
the Units (as such term is defined in the Agreement of Limited Partnership of
the Company) held by the Advisor and its Affiliates. The Company shall purchase
such Units for cash, which shall be payable within 120 days after the Advisor or
its Affiliates (as applicable) gives the Company written notice of its desire to
sell all or a portion of the Units held by such Person to the Company. The
purchase price shall be paid in cash or, at the election of the selling Person,
Shares. The purchase price of each Unit shall be (i) in the event the seller
elects to receive cash, the then-existing "Market Value" of such Unit, as such
term is defined in the Agreement of Limited Partnership of the Company, or (ii)
in the event the seller elects to receive Shares, the then-existing "REIT Shares
Amount" of such Unit, as such term is defined in the Agreement of the Limited
Partnership of the Company.

                                   ARTICLE 15

                                   ASSIGNMENT

         This Agreement may be assigned by the Advisor to an Affiliate with the
consent of the General Partner by approval of a majority of the Independent
Directors. The Advisor may assign

                                       22
<PAGE>

any rights to receive fees or other payments under this Agreement without
obtaining the approval of the Board of Directors. This Agreement shall not be
assigned by the Company without the consent of the Advisor.

                                   ARTICLE 16

                   INDEMNIFICATION AND LIMITATION OF LIABILITY

         16.01 Indemnification by the Company. The Company shall indemnify and
hold harmless the Advisor and its Affiliates, including their respective
officers, directors, partners and employees, from all liability, claims, damages
or losses arising in the performance of their duties hereunder, and related
expenses, including reasonable attorneys' fees, to the extent such liability,
claims, damages or losses and related expenses are not fully reimbursed by
insurance, subject to any limitations imposed by the laws of the State of Texas,
the Articles of Incorporation or Agreement of Limited Partnership of the
Company, provided that: (i) the Advisor and its Affiliates have determined that
the course of conduct which caused the loss or liability was in the best
interests of the Company, (ii) the Advisor and its Affiliates were acting on
behalf of or performing services for the Company, and (iii) the indemnified
claim was not the result of negligence, misconduct, or fraud of the indemnified
person or resulted from a breach of the agreement by the Advisor. Any
indemnification of the Advisor may be made only out of the net assets of the
Company and not from the General Partner or the Shareholders.

         16.02 Indemnification by the Advisor. The Advisor shall indemnify and
hold harmless the Company from contract or other liability, claims, damages,
taxes or losses and related expenses, including attorneys' fees, to the extent
that such liability, claims, damages, taxes or losses and related expenses are
not fully reimbursed by insurance and are incurred by reason of the Advisor's
bad faith, fraud, willful misconduct or reckless disregard of its duties, but
the

                                       23
<PAGE>

Advisor shall not be held responsible for any action of the Board of Directors
in following or declining to follow any of the Advisor's advice or
recommendation.

         16.03 Advisor's Liability

                  (i) Notwithstanding any other provisions of this Agreement, in
         no event shall the Company make any claim against Advisor, or its
         Affiliates, on account of any good faith interpretation by Advisor of
         the provisions of this Agreement (even if such interpretation is later
         determined to be a breach of this Agreement) or any alleged errors in
         judgment made in good faith and in accordance with this Agreement in
         connection with the operation of the operations of the Company
         hereunder by Advisor or the performance of any advisory or technical
         services provided by or arranged by the Advisor. The provisions of this
         Section 16.3(a) shall not be deemed to release Advisor from liability
         for its gross negligence.

                  (ii) The Company shall not object to any expenditures made by
         the Advisor in good faith in the course of its performance of its
         obligations under this Agreement or in settlement of any claim arising
         out of the operation of the Company unless such expenditure is
         specifically prohibited by this Agreement. The provisions of this
         Section 16.03(b) shall not be deemed to release Advisor from liability
         for its gross negligence.

                  (iii) IN NO EVENT WILL EITHER PARTY BE LIABLE FOR DAMAGES
         BASED ON LOSS OF INCOME, PROFIT OR SAVINGS OR INDIRECT, INCIDENTAL,
         CONSEQUENTIAL, EXEMPLARY, PUNITIVE OR SPECIAL DAMAGES OF THE OTHER
         PARTY OR PERSON, INCLUDING THIRD PARTIES, EVEN IF SUCH PARTY HAS BEEN
         ADVISED OF THE POSSIBILITY OF SUCH

                                       24
<PAGE>

         DAMAGES IN ADVANCE, AND ALL SUCH DAMAGES ARE EXPRESSLY DISCLAIMED. IN
         NO EVENT WILL ADVISOR'S AGGREGATE LIABILITY UNDER THIS AGREEMENT EVER
         EXCEED THE TOTAL AMOUNT OF FEES IT ACTUALLY RECEIVES FROM THE COMPANY
         PURSUANT TO ARTICLE 9.

                                   ARTICLE 17

                             COMPANY ADMINISTRATION

         The Advisor shall keep or cause to be kept complete and appropriate
records and books of account for the Company. Except as otherwise expressly
provided herein, such books and records shall be maintained on a basis which
allows the proper preparation of the Company's financial statements and tax
returns. The books and records shall be maintained at the principal office of
the Company.

                                   ARTICLE 18

                                  MISCELLANEOUS

         18.01 Notices. Any notice, report or other communication required or
permitted to be given hereunder shall be in writing unless some other method of
giving such notice, report or other communication is required by the Articles of
Incorporation, the Bylaws, or accepted by the party to whom it is given, and
shall be given by being delivered by hand or by overnight mail or other
overnight delivery service to the addresses set forth herein:

                  To the  Company, the General Partner or the Directors:

                           Hines REIT Properties, L.P.
                           c/o  Hines Real Estate Investment Trust, Inc.
                           2800 Post Oak Blvd., Suite 5000
                           Houston, Texas 77056

                  To the Advisor:

                           Hines Advisors Limited Partnership
                           2800 Post Oak Blvd., Suite 5000
                           Houston, Texas 77056

         Either party may at any time give notice in writing to the other party
of a change in its address for the purposes of this Section 18.01.

                                       25
<PAGE>

         18.02 Modification. This Agreement shall not be changed, modified,
terminated, or discharged, in whole or in part, except by an instrument in
writing signed by both parties hereto, or their respective successors or
assignees.

         18.03 Severability. The provisions of this Agreement are independent of
and severable from each other, and no provision shall be affected or rendered
invalid or unenforceable by virtue of the fact that for any reason any other or
others of them may be invalid or unenforceable in whole or in part.

         18.04 Construction. The provisions of this Agreement shall be construed
and interpreted in accordance with the laws of the State of Texas.

         18.05 Entire Agreement. This Agreement contains the entire agreement
and understanding among the parties hereto with respect to the subject matter
hereof, and supersedes all prior and contemporaneous agreements, understandings,
inducements and conditions, express or implied, oral or written, of any nature
whatsoever with respect to the subject matter hereof. The express terms hereof
control and supersede any course of performance and/or usage of the trade
inconsistent with any of the terms hereof. This Agreement may not be modified or
amended other than by an agreement in writing.

         18.06 Waiver. Neither the failure nor any delay on the part of a party
to exercise any right, remedy, power or privilege under this Agreement shall
operate as a waiver thereof, nor shall any single or partial exercise of any
right, remedy, power or privilege preclude any other or

                                       26
<PAGE>

further exercise of the same or of any other right, remedy, power or privilege,
nor shall any waiver of any right, remedy, power or privilege with respect to
any occurrence be construed as a waiver of such right, remedy, power or
privilege with respect to any other occurrence. No waiver shall be effective
unless it is in writing and is signed by the party asserted to have granted such
waiver.

         18.07 Gender. Words used herein regardless of the number and gender
specifically used, shall be deemed and construed to include any other number,
singular or plural, and any other gender, masculine, feminine or neuter, as the
context requires.

         18.08 Titles Not to Affect Interpretation. The titles of Articles and
Sections contained in this Agreement are for convenience only, and they neither
form a part of this Agreement nor are they to be used in the construction or
interpretation hereof.

         18.09 Counterparts. This Agreement may be executed in any number of
counterparts, each of which shall be deemed to be an original as against any
party whose signature appears thereon, and all of which shall together
constitute one and the same instrument. This Agreement shall become binding when
one or more counterparts hereof, individually or taken together, shall bear the
signatures of all of the parties reflected hereon as the signatories

            [The remainder of this page is intentionally left blank.
                            Signature page follows.]

                                       27
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have executed this Agreement as
of the date and year first above written.

                                   Hines REIT Properties, L.P.

                                   By:  Hines Real Estate Investment Trust, Inc.
                                   Its: General Partner

                                   By:
                                       -----------------------------------------
                                   Name:
                                         ---------------------------------------
                                   Title:
                                          --------------------------------------

                                   Hines Advisors Limited Partnership

                                   By:  Hines Advisors GP LLC
                                   Its: General Partner

                                        By:
                                            ------------------------------------
                                        Name:
                                              ----------------------------------
                                        Title:
                                               ---------------------------------

                                       28<PAGE>
                                                                    EXHIBIT 10.9

--------------------------------------------------------------------------------
                             SUBSCRIPTION AGREEMENT
--------------------------------------------------------------------------------

Hines Real Estate Investment Trust, Inc.
Hines REIT Operating Partnership, L.P.
2800 Post Oak Boulevard
Houston, Texas 77056-6118
Attn:  Frank R. Apollo

Ladies and Gentlemen:

         Subscription. Hines Real Estate Holdings Limited Partnership ("Hines"),
a Texas limited partnership, subject only to the condition that the minimum
offering (the "Minimum Offering") as described in the final prospectus of Hines
Real Estate Investment Trust, Inc. (the "Company") is reached, hereby subscribes
for and agrees to acquire 1,086,957 limited partnership units in Hines REIT
Operating Partnership, L.P. (the "Operating Partnership"), a Delaware limited
partnership, at a purchase price of $9.20 per unit for an aggregate purchase
price of $10,000,000. Upon the execution of this subscription agreement (the
"Subscription Agreement") by Hines and delivery thereof to the Company this
Subscription Agreement shall become a binding obligation of Hines.

         Assignment. Hines may assign its rights and obligations under this
Subscription Agreement to one of its affiliates without the consent of the
Company or the Operating Partnership.

         Covenant. If Hines is admitted to the Operating Partnership as a
limited partner, Hines agrees to comply with all of the terms of the partnership
agreement of the Operating Partnership.

         Modification. Neither this Subscription Agreement nor any of the
provisions hereof shall be modified, waived or terminated except by an
instrument in writing signed by each party entitled to the benefits of the same.

         Binding Effect. This Subscription Agreement shall be binding upon and
inure to the benefit of the parties and their heirs, executors, administrators,
successors, legal representatives and assigns.

         Entire Agreement. This Subscription Agreement contains the entire
agreement of the parties with respect to the subject matter hereof, and there
are no covenants or other agreements with respect thereto except as stated or
referred to herein.

         Governing Law. This Subscription Agreement shall be governed by and
construed in accordance with the laws of the State of Texas applicable to
agreements made wholly within such state, without regard to the conflict of law
provisions thereof.

                            [signature pages follow]

                                      -1-
<PAGE>

         IN WITNESS WHEREOF, Hines Real Estate Holdings Limited Partnership has
executed this Subscription Agreement this 11th day of September 2003.

HINES REAL ESTATE HOLDINGS LIMITED PARTNERSHIP

By:  JCH Investments, Inc.

By:
   -----------------------------------------
   Name:
   Title:

                                      -2-
<PAGE>

         EXECUTED by Hines REIT Operating Partnership, L.P. as of this 11th day
of September 2003 to indicate that the subscription made by Hines pursuant to
this Subscription Agreement has been accepted.

HINES REIT OPERATING PARTNERSHIP, L.P.

By:  Hines Real Estate Investment Trust, Inc.
     its general partner

By:
   -----------------------------------------
   Name:
   Title:

                                      -3-

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