Document:

EXECUTION

    VERSION

 

PURCHASE
AND SALE AGREEMENT

 

BY AND BETWEEN

 

NANTUCKET
ACQUISITION LLC

 

AND

 

NORTHBRIDGE
COMMUNITIES, LLC

 

    	 

    	 

    

 

	ARTICLE 1:	DEFINITIONS	1
	 	 	 
	1.1.	Definitions	1
	 	 	 
	ARTICLE 2:	CONSIDERATION, DEPOSIT AND ESCROW PROVISIONS	1
	 	 	 
	2.1.	Purchase Price	1
	 	 	 
	2.2.	Deposit; Escrow Agent	1
	 	 	 
	2.3.	Escrow Provisions	2
	 	 	 
	2.4.	Payment of Monies	2
	 	 	 
	ARTICLE 3:	ACCESS; INSPECTIONS	2
	 	 	 
	3.1.	Seller’s Delivery of Specified Documents	2
	 	 	 
	3.2.	Access and Inspection Rights	2
	 	 	 
	3.3.	Title and Survey Review	3
	 	 	 
	3.4.	Condition of Property; AS-IS SALE	3
	 	 	 
	ARTICLE 4:	OPERATIONS; RISK OF LOSS; LICENSING	4
	 	 	 
	4.1.	Ongoing Operations	4
	 	 	 
	4.2.	Damage	6
	 	 	 
	4.3.	Condemnation	7
	 	 	 
	4.4.	Operations Transfer Agreement	7
	 	 	 
	ARTICLE 5:	CLOSING	7
	 	 	 
	5.1.	Closing	7
	 	 	 
	5.2.	Conditions to the Parties’ Obligations to
    Close	8
	 	 	 
	5.3.	Failure of Condition	9
	 	 	 
	5.4.	Seller’s Deliveries	10
	 	 	 
	5.5.	Buyer’s Deliveries	11
	 	 	 
	5.6.	Possession	12

 

    	 

    	 

    
 

	ARTICLE 6:	PRORATIONS; COSTS; ADJUSTMENTS	12
	 	 	 
	6.1.	Prorations	12
	 	 	 
	6.2.	Sales, Transfer, and Documentary Taxes; Closing
    Costs	12
	 	 	 
	6.3.	Brokerage Commissions	13
	 	 	 
	6.4.	Post-Closing Corrections	13
	 	 	 
	6.5.	No Other Obligations	13
	 	 	 
	ARTICLE 7:	REPRESENTATIONS AND WARRANTIES	13
	 	 	 
	7.1.	Seller’s Representations and Warranties	13
	 	 	 
	7.2.	Buyer’s Representations and Warranties	16
	 	 	 
	7.3.	Indemnity	18
	 	 	 
	7.4.	Survival of Representations, Warranties and Indemnity;
    Holdback Deposit	19
	 	 	 
	ARTICLE 8:	DEFAULT AND REMEDIES	20
	 	 	 
	8.1.	Buyer’s Remedies	20
	 	 	 
	8.2.	Seller’s Remedies	20
	 	 	 
	8.3.	Other Expenses	20
	 	 	 
	ARTICLE 9:	NON SOLICITATION; NON COMPETE	20
	 	 	 
	9.1.	Non-Solicitation	20
	 	 	 
	9.2.	Non-Compete	20
	 	 	 
	9.3.	Enforcement	21
	 	 	 
	ARTICLE 10:	MISCELLANEOUS	21
	 	 	 
	10.1.	Parties Bound	21
	 	 	 
	10.2.	Headings	21
	 	 	 
	10.3.	Invalidity and Waiver	21
	 	 	 
	10.4.	Governing Law	22

  

    	 

    	 

    
 

	10.5.	Survival	22
	 	 	 
	10.6.	No Third Party Beneficiary	22
	 	 	 
	10.7.	Entirety and Amendments	22
	 	 	 
	10.8.	Time	22
	 	 	 
	10.9.	Confidentiality	22
	 	 	 
	10.10.	Enforcement Expenses	22
	 	 	 
	10.11.	Notices	22
	 	 	 
	10.12.	Construction	23
	 	 	 
	10.13.	Calculation of Time Periods	23
	 	 	 
	10.14.	Execution in Counterparts	23
	 	 	 
	10.15.	Further Assurances	23
	 	 	 
	10.16.	Waiver of Jury Trial	23
	 	 	 
	10.17.	Bulk Sales	23

 

    	 

    	 

    
 

PURCHASE
AND SALE AGREEMENT

 

This Purchase
and Sale Agreement (this “Agreement”) is made as of __________, 2012, by and between NANTUCKET ACQUISITION
LLC, a Delaware limited liability company authorized to transact business in Massachusetts under the name "Nantucket Senior
Housing Acquisition” (“Seller”), and NORTHBRIDGE COMMUNITIES, LLC, a Massachusetts limited liability
company (“Buyer”).

 

RECITALS

 

A.           Seller
owns the Property which includes the Senior Housing Facility described on Exhibit B attached hereto; and

 

B.           Seller
desires to sell and Buyer desires to purchase the Property upon and subject to the terms and conditions set forth herein.

 

AGREEMENT

 

NOW, THEREFORE,
for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller hereby agrees to sell
and Buyer hereby agrees to purchase the Property upon and subject to the following terms and conditions:

 

ARTICLE
1: DEFINITIONS

 

1.1.         Definitions.
Initially capitalized terms which are used but not otherwise defined in this Agreement shall have the meanings ascribed to
them in Exhibit A attached hereto and incorporated herein by this reference.

 

ARTICLE
2: CONSIDERATION, DEPOSIT AND ESCROW PROVISIONS

 

2.1.         Purchase
Price. The Purchase Price, subject to the prorations and adjustments set forth herein, shall be paid as follows:

 

(a)          Buyer
shall pay a deposit to Escrow Agent in the amount of One Hundred Thousand and 00/100 Dollars ($100,000.00) (such amount, together
with any Additional Deposit paid under Article 5 hereof, collectively, the “Deposit”) on or before the date
which is two (2) business days after the execution and delivery of this Agreement by both Seller and Buyer; and

 

(b)          The
balance of the Purchase Price shall be paid in cash at the time of Closing.

 

The Deposit
shall be applied to the Purchase Price at Closing, notwithstanding any provision hereof as to the non-refundability of the Deposit
or any portion thereof.

 

2.2.         Deposit;
Escrow Agent.

 

(a)          Upon
receipt from Buyer of the Deposit, Escrow Agent shall invest the Deposit in an interest-bearing account or money market fund mutually
acceptable to Seller and Buyer. Escrow Agent shall agree to hold and dispose of the Deposit in accordance with the terms and provisions
of this Agreement. If the Closing occurs, any interest on the Deposit shall be credited to Buyer and applied to the Purchase Price.
If the Closing does not occur, any interest earned on the Deposit shall follow the Deposit.

 

(b)          The
parties hereto do hereby certify that they are aware that the Federal Deposit Insurance Corporation (“FDIC”)
coverages may apply only to a cumulative maximum amount of $250,000 for each individual deposit for all of depositor’s accounts
at the same or related institution. The parties hereto further understand that certain banking instruments such as, but not limited
to, repurchase agreements and letters of credit are not covered at all by FDIC insurance. Further the parties hereto understand
that Escrow Agent assumes no responsibility for, nor will the parties hereto hold Escrow Agent liable for, any loss occurring
which arises from the fact that the amount of the above account may cause the aggregate amount of any individual depositor’s
accounts to exceed $250,000 and that the excess amount is not insured by the Federal Deposit Insurance Corporation or that FDIC
insurance is not available on certain types of bank instruments.

 

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2.3.          Escrow
Provisions. Escrow Agent agrees to hold, keep and deliver the Deposit and all other sums delivered to it pursuant hereto
in accordance with the terms and provisions of this Agreement. Escrow Agent shall not be entitled to any fees or compensation
for its services hereunder other than its customary one-time escrow fee. Escrow Agent shall be liable only to hold said sums and
deliver the same to the parties named herein in accordance with the provisions of this Agreement, it being expressly understood
that by acceptance of this Agreement Escrow Agent is acting in the capacity of a depository only and shall not be liable or responsible
to anyone for any damages, losses or expenses unless same shall have been caused by the gross negligence or willful malfeasance
of Escrow Agent. In the event of any disagreement between Buyer and Seller resulting in any adverse claims and demands being made
in connection with or for the monies involved herein or affected hereby, Escrow Agent shall be entitled to refuse to comply with
any such claims or demands so long as such disagreement may continue; and in so refusing Escrow Agent shall make no delivery or
other disposition of any of the monies then held by it under the terms of this Agreement, and in so doing Escrow Agent shall not
become liable to anyone for such refusal; and Escrow Agent shall be entitled to continue to refrain from acting until (a) the
rights of the adverse claimants shall have been finally adjudicated in a court of competent jurisdiction of the monies involved
herein or affected hereby, or (b) all differences shall have been adjusted by agreement between Seller and Buyer, and Escrow
Agent shall have been notified in writing of such agreement signed by the parties hereto. Escrow Agent shall not be required to
disburse any of the monies held by it under this Agreement unless in accordance with either a joint written instruction of Buyer
and Seller or an Escrow Demand from either Buyer or Seller in accordance with the provisions hereinafter. Upon receipt by Escrow
Agent from either Buyer or Seller (the “Notifying Party”) of any notice or request (an “Escrow Demand”)
to perform any act or disburse any portion of the monies held by Escrow Agent under the terms of this Agreement, Escrow Agent
shall give written notice to the other party (the “Notified Party”). If within five (5) days after the giving
of such notice, Escrow Agent does not receive any written objection to the Escrow Demand from the Notified Party, Escrow Agent
shall comply with the Escrow Demand. If Escrow Agent does receive written objection from the Notified Party in a timely manner,
Escrow Agent shall take no further action until the dispute between the parties has been resolved pursuant to either clause (a)
or (b) above. Further Escrow Agent shall have the right at all times to pay all sums held by it (i) to the appropriate party
under the terms hereof, or (ii) into any court of competent jurisdiction after a dispute between or among the parties hereto
has arisen, whereupon Escrow Agent's obligations hereunder shall terminate. Seller and Buyer, jointly and severally agree to indemnify
and hold harmless said Escrow Agent from any and all costs, damages and expenses, including reasonable attorneys' fees, that said
Escrow Agent may incur in compliance with and in good faith in accordance with the terms of this Agreement; provided, however,
this indemnity shall not extend to any act of gross negligence or willful malfeasance on the part of the Escrow Agent.

 

2.4.          Payment
of Monies. Any monies payable under this Agreement, unless otherwise specified in this Agreement, shall be paid by wire
transfer or certified or cashier’s check.

 

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ARTICLE
3: ACCESS; INSPECTIONS

 

3.1.          Seller’s
Delivery of Specified Documents. On or before the date hereof, Seller has delivered to Buyer true, correct and complete
originals or copies of each item described in Exhibit C attached hereto (the "Seller Deliverables")
in Seller's possession or control.

 

3.2.          Access
and Inspection Rights. Buyer and its agents, employees and representatives, contractors and consultants shall at any time,
and from time to time, between the Effective Date and the Closing Date, have reasonable access during normal business hours to
the Facility and all books and records for the Facility that are in Seller’s or the Existing Manager’s possession
or control for the purpose of conducting surveys, inspections, tests and studies, including, without limitation, engineering,
geotechnical and environmental inspections and tests; provided, however, that Buyer will work directly with the Existing Manager
to conduct any and all investigations necessary of all books and records for the Facility that are in the possession or control
of the Existing Manager. In the course of its investigation of the Property, Buyer may make inquiries to third parties, including,
without limitation, lenders, contractors, Existing Manager (including, without limitation, employees thereof), parties to any
service contracts affecting the Facility, and municipal, local and other government officials and representatives. Seller shall
cooperate with Buyer's due diligence during normal business hours so long as Buyer gives at least forty-eight (48) hours' notice
to Seller and the Existing Manager, conducts such due diligence during normal business hours and is not disruptive to the operation
of the business at the Facility or the quiet enjoyment thereof by its residents, and shall be paid for by Buyer as and when due.
Buyer shall indemnify, defend, protect and hold Seller harmless from any and all claims, liabilities, losses, expenses (including
reasonable attorneys' fees), damages, including those for injury to person or to the Property, arising out of or relating to Buyer's
due diligence activities (except for any pre-existing conditions). If Buyer is not satisfied in its sole discretion with any of
survey, inspection, test or study or with any other matter concerning the Property, then Buyer may terminate this Agreement by
written notice given to Seller on before the date of expiration of the Due Diligence Period, whereupon the Deposit plus accrued
interest shall be refunded to Buyer, and neither party shall have any further rights or obligations pursuant to this Agreement,
except those that survive the termination of this Agreement as expressly stated herein. If the written notice of termination is
not given to Seller and the Escrow Holder prior to the expiration of the Due Diligence Period, then (a) any due diligence contingency,
and any and all objections with respect to the review and inspection of the Property, shall be deemed to have been waived by Buyer
for all purposes hereof; provided, however, that Buyer's closing contingencies set forth in Section 5.2(a) below shall remain;
and (b) the Deposit shall be nonrefundable to Buyer except in the event of the failure of any of Buyer's closing contingencies
set forth in Section 5.2(a) below, or a breach of this Agreement by Seller. If this Agreement is terminated pursuant to this Section
3.2, the cost for cancellation of Escrow and all title company costs shall be borne by Buyer

 

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3.3.         Title
and Survey Review.

 

(a)          Buyer
shall have the right to obtain a title commitment for owner's title insurance policy (the "Title Commitment")
and survey of the Real Property (the "Survey"). No later than ten (10) business days prior to the expiration
of the Due Diligence Period, Buyer shall give notice to Seller of any objection to any exception or other matter shown in the
Title Commitment or Survey on or before the date of expiration of the Due Diligence Period. Within five (5) business days of Seller's
receipt of Buyer's notice of objection(s), Seller shall notify Buyer in writing of Seller's election to either (i) remove such
exceptions (in which case Buyer's objections shall be deemed waived), or (ii) terminate this Agreement. Seller's failure to make
an election shall be deemed an election to terminate. Without limiting the foregoing, Seller shall be obligated to fully discharge
on or before Closing all mortgages, security interests and other monetary liens and encumbrances of a definite and ascertainable
amount (each a "Monetary Lien"). In the event that any additional title exceptions are discovered after the reports
are issued, then if Buyer is not willing to accept such exceptions as-is, then Seller shall elect in writing to either eliminate
such exceptions (in which case this Agreement shall remain in effect) or terminate this Agreement (in which case the Deposit shall
be returned to Buyer). If Buyer fails to give written notice to Seller of any objection to title or survey within the Due Diligence
Period, then Buyer shall be deemed to have approved the state of title and survey as of the date of such title and survey reports
are issued, except for Monetary Liens.

 

(b)          If
Seller fails to cure an objection to title or survey in the manner set forth above, then Buyer may elect, on or prior to the Closing
Date, to (i) terminate this Agreement, in which event the Deposit and all interest earned thereon shall be returned to Buyer and
no party shall have any further obligations hereunder, except as specifically set forth herein, or (ii) accept the Property subject
to such objections and proceed to Closing, with the further right to deduct from the Purchase Price amounts secured by any Monetary
Lien which Seller has failed to remove as provided herein. If Buyer makes no such election, then Buyer shall be deemed to have
elected to waive its right to terminate this Agreement as provided above in this Section 3.3(b).

 

3.4.         Condition
of Property; AS-IS SALE. BUYER ACKNOWLEDGES AND REPRESENTS THAT THEY HAVE CONDUCTED OR WILL CONDUCT THEIR OWN INSPECTION
AND INVESTIGATION OF THE PROPERTY, AND OF PUBLIC RECORDS PERTAINING TO SELLER AND THE FACILITY AND AGREES TO ACCEPT AT CLOSING,
SUBJECT TO THE REPRESENTATIONS AND WARRANTIES CONTAINED IN SECTION 7.1, THE PROPERTY IN ITS "AS IS, WHERE IS" CONDITION
AS OF THE EFFECTIVE DATE, AND "WITH ALL FAULTS"; AND FURTHER ACKNOWLEDGES AND AGREES THAT, EXCEPT FOR THE REPRESENTATIONS
AND WARRANTIES EXPRESSLY SET FORTH IN THIS AGREEMENT, SELLER HAS NOT MADE AND DOES NOT MAKE, AND SELLER HEREBY EXPRESSLY DISCLAIMS,
ANY OTHER REPRESENTATIONS OR WARRANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED WITH RESPECT TO THE PROPERTY,
INCLUDING WITHOUT LIMITATION THE IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE AND REPRESENTATIONS
OR WARRANTIES WITH RESPECT TO (A) THE COMPLIANCE OF THE PROPERTY, INCLUDING ITS USE OR OPERATION, WITH THE AMERICANS WITH DISABILITIES
ACT, ANY OTHER DISCRIMINATION LAW, OR ANY FEDERAL, STATE OR LOCAL LAW, RULE OR REGULATION RELATING TO THE LICENSING AND CERTIFICATION
OF THE PROPERTY AS A SENIOR HOUSING FACILITY OR PARTICIPATION IN THE MEDICARE AND MEDICAID PROGRAMS, (B) THE ASSIGNMENT OR TRANSFERABILITY
OF ANY OF THE GOVERNMENTAL LICENSES, CERTIFICATES OR PERMITS TO OPERATE THE PROPERTY AS A SENIOR HOUSING FACILITY, AND (C) THE
EFFECT ON THE PROPERTY, CONDITION OF THE PROPERTY (FINANCIAL OR OTHERWISE), OR THE RESULTS OF ANY ENACTED, PUBLISHED OR REPORTED
LAWS, RULES, REGULATIONS OR JUDICIAL OR ADMINISTRATIVE DECISIONS OR ACTIONS OF ANY GOVERNMENTAL OR QUASI-GOVERNMENTAL AGENCY HAVING
REGULATORY OR OTHER AUTHORITY (WHETHER HAVING RETROACTIVE OR PROSPECTIVE EFFECT) RESPECTING MATTERS OF LICENSURE, SURVEY, OR REIMBURSEMENT.
THE PROVISIONS OF THIS PARAGRAPH SHALL SURVIVE THE CLOSING.

 

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ARTICLE
4: OPERATIONS; RISK OF LOSS; LICENSING

 

4.1.         Ongoing
Operations. From the Effective Date through the Closing Date:

 

(a)          Operation
of Property; Construction. Seller shall continue to own the Property and shall not terminate the Existing Management Agreement
with the Existing Manager; provided, however, that the parties hereto acknowledge that they might enter into future discussions
relating to the replacement of the Existing Manager with an Affiliate of Buyer, but any definitive arrangement relating thereto
will be subject to the mutual written agreement of the parties. Seller shall not make (or suffer or permit to be made) any renovations,
alterations, or capital expenditures to the Facility or any portion thereof costing more than $10,000, individually or in the
aggregate, or enter into any contracts or agreements (whether binding or not) regarding any such renovations, alterations, or
capital expenditures. Seller will perform all of the obligations of Seller under the Ground Lease and the Existing Management
Agreement.

 

(b)          Ground
Lease. Seller shall comply in all material respects with the terms and conditions of the Ground Lease and shall not do or
permit anything to be done, the doing of which, or refrain from doing anything, the omission of which, will be grounds for declaring
a default or forfeiture of the Ground Lease. Seller shall not modify, cancel, change, waive, supplement, alter or amend the Ground
Lease in any respect.

 

(c)          Listings
and Other Offers. Seller will not list the Property with any broker or otherwise solicit or make or accept any offers to sell
all or any part of the Property or any direct or indirect interest therein, engage in any discussions or negotiations with any
third party with respect to the sale or other disposition of the Property or any direct or indirect interest therein, or enter
into any contracts or agreements (whether binding or not) regarding any disposition of all or any part of the Property or any
direct or indirect interest therein, except as provided in Section 4.1(a) above.

 

(d)          Removal
and Replacement of Tangible Personal Property; Transfer or Conveyance of Other Property. Seller will not remove or suffer
or permit to be removed on Seller's behalf any Personal Property from the Facility except as may be required for necessary repair
or replacement in the ordinary course of business. Without limiting the foregoing, all repairs and replacements shall be of equivalent
quality and quantity as existed as of the time of removal of the applicable Personal Property. Except as permitted by the preceding
sentence, Seller shall not make (or suffer or permit to be made on Seller's behalf) any transfers or conveyances of the Property.

 

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(e)          Maintenance
of Insurance. Seller shall carry commercial general liability insurance in the amounts it currently holds and property damage
insurance for the full replacement value of the Improvements through the Closing Date. Seller shall not allow any breach, default,
termination or cancellation of any such insurance policies or agreements to occur or exist prior to Closing.

 

(f)          Incurrence
of Indebtedness. Seller shall not incur any indebtedness or other liabilities other than in the ordinary course of business
and consistent with past practices or enter into any contracts or agreements (whether binding or not) regarding the incurrence
of any such indebtedness or other liabilities.

 

(g)          Approvals.
Seller shall work diligently and cooperate with Buyer to obtain all waivers, consents, approvals and authorizations required in
connection with the transactions contemplated hereunder, including without limitation those required with respect to the Ground
Lease and all licenses and approvals required by governmental agencies charged with regulating or licensing senior housing facilities.

 

(h)          Agreements
to Effect Prohibited Actions. Seller will not enter into any contracts or agreements (whether binding or not) regarding any
of the matters prohibited by paragraphs above.

 

4.2.         Damage.
Risk of loss with respect to the Real Property up to and including the Closing Date shall be borne by Seller.  Seller
shall promptly give Buyer written notice of any damage to the Facility, describing such damage, stating whether such damage and
loss of rents is covered by insurance and the estimated cost of repairing such damage. In the event of any material damage (described
below) to or destruction of the Facility or any portion thereof, Buyer may, at its option, by notice to Seller given within ten
(10) business days after Seller has provided the above described notice to Buyer together with all relevant information concerning
the nature and extent of such damage (and if necessary the Closing Date shall be extended to give Buyer the full ten (10) business
day period to make such election): (i) terminate this Agreement, in which event the Deposit and all interest earned thereon
shall be returned to Buyer and no party shall have any further obligations hereunder, except as expressly set forth herein, or
(ii) proceed under this Agreement as to all of the Property, receive any insurance proceeds (including any rent loss insurance
applicable to any period on and after the Closing Date) due Seller as a result of such damage or destruction and assume responsibility
for such repair. If Buyer fails to timely make such election, Buyer shall be deemed to have elected to proceed under clause (ii)
above. If the Facility is not materially damaged, then (A) Buyer shall not have the right to terminate this Agreement, (B) Seller
shall, to the extent requested and directed by Buyer, repair the damage before the Closing in a manner reasonably satisfactory
to Buyer utilizing any available insurance proceeds, and (C) at Closing, Buyer shall receive any insurance proceeds (including
any rent loss insurance applicable to any period on and after the Closing Date) due Seller as a result of such damage or destruction.
To the extent Seller has incurred reasonable costs in effecting the repairs requested and directed in writing by Buyer (which
costs have not been assumed by Buyer), Seller shall be paid a portion of such insurance proceeds in an amount equal to such costs.
“Material damage” and “materially damaged” means, with respect to the Facility, damage (x)
which, in Buyer’s reasonable estimation, exceeds $150,000 to repair, or (y) which, in Buyer’s reasonable estimation,
will take longer than ninety (90) days to repair or restore.

 

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4.3.          Condemnation.
In the event any proceedings in eminent domain are contemplated, threatened or instituted by any body having the power of
eminent domain with respect to the Real Property or any portion thereof, Buyer may, at its option, by notice to Seller given within
ten (10) business days after Seller provides written notice to Buyer of such proceedings together with all relevant information
concerning such proceedings (and if necessary the Closing Date shall be extended to give Buyer the full ten (10) business day
period to make such election): (i) terminate this Agreement, in which event the Deposit and all interest earned thereon shall
be returned to Buyer and no party shall have any further obligations thereunder, except as expressly set forth herein, or (ii) proceed
under this Agreement as to all of the Property, in which event Seller shall, at the Closing, assign to Buyer its entire right,
title and interest in and to any condemnation award, and Buyer shall have the sole right during the pendency of this Agreement
to negotiate and otherwise deal with the condemning authority in respect of such matter. If Buyer fails to timely make such election,
Buyer shall be deemed to have elected to proceed under clause (ii) above.

 

4.4.          Operations
Transfer Agreement. Seller shall use commercially reasonable efforts to cause the Operations Transfer Agreement (in the
form approved as of the date hereof by Buyer) to be executed (with all schedules and exhibits thereto completed) by the parties
thereto (other than Buyer, who agrees to execute the Operations Transfer Agreement promptly following its execution by the other
parties thereto). The execution and delivery of the Operations Transfer Agreement by the other parties thereto shall be a condition
precedent to Buyer’s obligation to close on its purchase of the Property.

 

ARTICLE
5: CLOSING

 

5.1.          Closing.
The consummation of the transactions contemplated herein (the “Closing”) shall occur on the date that is
the forty-fifth (45th) day after the Town Lease Amendment Approval Date. The date of Closing shall be referred to herein as the
“Closing Date.” Closing shall be effectuated through an escrow with the Escrow Agent. Buyer and Seller shall
execute such supplemental escrow instructions as may be reasonably requested by either party or Escrow Agent to comply with the
terms of this Agreement, so long as such instructions are not in conflict with this Agreement. Buyer shall have the right to accelerate
the Closing Date to such earlier date as may be selected by Buyer on ten (10) days’ written notice to Seller. In addition,
Buyer shall have the right to extend the Closing Date for up to thirty (30) days if necessary in connection with financing of
the acquisition of the Property (it being acknowledged and agreed that Buyer does not have any contingency for financing). Within
two (2) business days of Buyer's exercise of its extension option, Buyer shall deposit an additional sum of Fifty Thousand Dollars
($50,000) ("Additional Deposit") with Title Company, which Additional Deposit shall be non-refundable except
in the event that the Closing does not occur due to Seller's default or the failure of one or more of Buyer's closing conditions
set forth in Section 5.2(a) below, in which case the Additional Deposit and Deposit plus interest accrued thereon shall be returned
to Buyer

 

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5.2.         Conditions
to the Parties’ Obligations to Close.

 

(a)          Conditions
to Buyer’s Obligation to Close. As a condition to Buyer’s obligation to close with respect to the Property on
the Closing Date:

 

(i)          All
instruments and other documents required to be delivered by Seller and described in Section 5.5 have been delivered to the Escrow
Agent.

 

(ii)         The
representations and warranties of Seller contained herein shall be true and correct in all material respects as of the Effective
Date and as of the Closing Date.

 

(iii)        There
shall be no default with respect to any material obligation of Seller hereunder which Seller has not cured within thirty (30)
days after written notice from Buyer.

 

(iv)        There
shall be no notice issued after the Effective Date of any violation or alleged violation of any law, rule, regulation or code,
including, without limitation, any building code, with respect to the Facility, which has not been corrected to the satisfaction
of the issuer of the notice.

 

(v)         There
shall be no material default on the part of Seller or any other party under any agreement to be assigned to, or obligation to
be assumed by, Buyer under this Agreement, including, without limitation the Ground Lease.

 

(vi)        All
licenses, consents, approvals or other authorizations from third parties or governmental authorities required in connection with
the transactions contemplated hereunder, including, without limitation, all consents and approvals of the ground lessor under
the Ground Lease and all licenses and approvals by agencies charged with regulating or licensing Senior Housing Facilities, shall
have been obtained by, and issued in the name of, Buyer or its property manager or designee.

 

(vii)       There
shall have been no material adverse change in the business, properties, operations or condition (financial, physical, title, licensing,
environmental or otherwise) of Seller or the Facility since the Effective Date.

 

(viii)      As
of the Closing Date, the number of residents in the Facility (based upon the number of beds in the Facility) who receive any assistance
under any government assistance program shall not be more than the number of such residents for the Facility set forth in the
Rent Roll attached hereto, and the number of beds or units in the Facility which are subject to affordability or income-based
restrictions shall not be more than the number of such beds or units for the Facility as required by the Ground Lease.

 

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(ix)         No
proceedings shall be pending or threatened that could or would involve the change, redesignation, redefinition or other modification
of the zoning classifications (or any building, environmental or code requirements applicable to) in a manner that would adversely
affect the Property.

 

(x)          Seller
shall have obtained payoff letters good through the Closing Date from all holders of mortgages or other indebtedness encumbering
the Property stating the amount required to pay off such debt as of the Closing Date. Such letters shall be referred to as the
“Payoff Letters.”

 

(xi)         The
representations and warranties of the parties to the Operations Transfer Agreement (other than Buyer) shall be true and correct
in all material respects as of the Effective Date and as of the Closing Date.

 

(xii)        There
shall be no default with respect to any material obligation of any party to the Operations Transfer Agreement (other than Buyer)
which such party has not cured within thirty (30) days after written notice from Buyer.

 

(b)          Conditions
to Seller’s Obligation to Close. As a condition to Seller’s obligation to close with respect to the Property on
the Closing Date:

 

(i)          All
funds, instruments and other documents required to be delivered by Buyer and described in Section 5.5 have been delivered to the
Escrow Agent.

 

(ii)         The
representations and warranties of Buyer contained herein shall be true and correct in all material respects as of the Effective
Date and as of the Closing Date.

 

(iii)        There
shall be no default with respect to any material obligation of Buyer hereunder which Buyer has not cured within thirty (30) days
after written notice from Seller.

 

5.3.         Failure
of Condition. Provided that a party is not in default of any material obligation of such party, if any condition to such
party’s obligation to proceed with the Closing set forth in this Agreement has not been satisfied as of the Closing Date,
then such party may, in its sole discretion, elect, by notice given to the other party on or before the Closing Date, to: (i) terminate
this Agreement, in which event the Deposit and all interest earned thereon shall be paid to the party whose condition was not
met and no party shall have any further obligation hereunder, except as expressly set forth herein; (ii) extend the time available
for the satisfaction of such condition by up to a total of thirty (30) days; or (iii) close, notwithstanding the non-satisfaction
of such condition, in which event such party shall be deemed to have waived such condition. If such party elects to proceed pursuant
to clause (ii) above, and such condition remains unsatisfied after the end of such extension period, then, at such time, such
party may elect to proceed pursuant to either clause (i) or (iii) above. Any failure to timely elect to proceed under clauses
(i), (ii) or (iii) above, shall be deemed an election to proceed under clause (ii) above.

 

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5.4.         Seller’s
Deliveries. On or before the Closing Date, Seller shall deliver in escrow to the Escrow Agent or outside of escrow to
Buyer the following, each duly executed and, where appropriate, in recordable form and notarized:

 

(a)          Assignment
of Ground Lease. An assignment of the Ground Lease in the form of Exhibit D attached hereto (the “Ground
Lease Assignment”), executed and acknowledged by Seller, vesting in Buyer good, indefeasible and marketable title to
the Ground Lease, subject only to the Permitted Exceptions;

 

(b)          Bill
of Sale and Assignment Agreement. A bill of sale and assignment agreement in the form of Exhibit E attached hereto
(the “Bill of Sale”), executed and acknowledged by Seller, vesting in Buyer good title to the Personal Property
described therein free of any claims, except for the Permitted Personal Property Liens;

 

(c)          Payoff
Letters. The Payoff Letters;

 

(d)          Notice
to Residents. A notice to each resident in form as reasonably requested by Buyer;

 

(e)          State
Law Disclosures. Such disclosures and reports as are required by applicable state and local law in connection with the conveyance
of real property;

 

(f)          FIRPTA.
An affidavit of Seller substantially in the form of Exhibit F attached hereto. If Seller fail to provide the necessary
affidavit and/or documentation of exemption on the Closing Date, Buyer may proceed in accordance with the withholding provisions
imposed by Section 1445 of the Internal Revenue Code of 1986, as amended;

 

(g)          Certificates
of Title. Certificates of title (if applicable) and leases (if applicable) for each Vehicle.

 

(h)          Authority.
Evidence of the existence, organization and authority of Seller and of the authority of the persons executing documents on behalf
of Seller reasonably satisfactory to the Title Company and Buyer;

 

(i)          Title
Documents. Affidavits required by the Title Company sufficient to have the general exceptions deleted together with such other
documents and instruments required by the Title Company in order to issue the Title Policy;

 

(j)          Due
Diligence Materials. To the extent not previously delivered to Buyer, true, correct and complete originals, or copies, if
originals are not available, of each Seller Deliverable.

 

(k)          Closing
Certificate. A certificate, signed by Seller, certifying to Buyer that the representations and warranties of Seller contained
in this Agreement are true and correct in all material respects as if made on and as of the Closing Date and that all covenants
required to be performed by Seller prior to the Closing Date have been performed in all material respects;

 

    	10

    	 

    
 

(l)          Settlement
Statement. A settlement statement, duly executed by Seller;

 

(m)          Permits
and Approvals. All licenses, permits and approvals in Seller’s possession related to the construction, development ownership,
operation and use of the Property, including without limitation, certificate(s) of occupancy and all licenses required to operate
the Facility as a Senior Housing Facility;

 

(n)          Plans
and Specifications. All material plans and specifications relating to the Property in Seller’s possession and control
or otherwise reasonably available to Seller;

 

(o)          Ground
Lease Matters. (i) A consent executed and acknowledged by the ground lessor under the Ground Lease, in form and substance
reasonably acceptable to Buyer, evidencing the consent of the ground lessor to the Ground Lease Assignment, (ii) an estoppel certificate
executed and acknowledged by the ground lessor as to such matters relating to the Ground Lease as reasonably requested by Buyer
and its lender, and (iii) an amendment to the Ground Lease executed and acknowledged by the ground lessor, in the form of Exhibit
G attached hereto;

 

(p)          Other
Deliveries. Such other documents, certificates and instruments as are reasonably necessary in order to effectuate the transaction
described herein, including, without limitation, gap indemnity agreements, transfer tax declarations, broker lien waivers and
any documents or representations necessary to comply with any applicable environmental transfer disclosure laws and any other
Closing deliveries required to be made by or on behalf of Seller.

 

5.5.         Buyer’s
Deliveries. On or before the Closing Date, Buyer shall deposit the balance of the Purchase Price, plus or minus applicable
prorations and adjustments as set forth herein, in immediately available, same-day federal funds wired for credit into the Escrow
Agent’s escrow account. In addition, except as specified below, on or before the Closing Date, Buyer shall deliver in escrow
to the Escrow Agent or outside of escrow to Seller the following, each duly executed and, where appropriate, in recordable form
and notarized:

 

(a)          Bill
of Sale. The Bill of Sale, executed by Buyer;

 

(b)          Authority.
Evidence of the existence, organization and authority of Buyer and of the authority of the persons executing documents on behalf
of Buyer reasonably satisfactory to the Title Company and Seller;

 

(c)          Assignment
of Residency Agreements. The Assignment of Residency Agreements, executed by Buyer;

 

(d)          State
Law Disclosures. Such disclosures and reports as are required by applicable state and local law in connection with the conveyance
of real property;

 

(e)          Settlement
Statement. A settlement statement, duly executed by Buyer;

 

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(f)          Other
Deliveries. Such other documents, certificates and instruments reasonably necessary in order to effectuate the transactions
described herein and any other Closing deliveries required to be made by or on behalf of Buyer.

 

5.6.         Possession.
Seller shall deliver possession of the Property to Buyer at the Closing, subject only to the Permitted Exceptions.

 

ARTICLE
6: PRORATIONS; COSTS; ADJUSTMENTS

 

6.1.         Prorations.
Not less than three (3) business days prior to Closing, Seller shall provide to Buyer such information and verification reasonably
necessary to support the prorations under this Article 6. The items in this Section 6.1 shall be pro rated between Seller
and Buyer as of the close of business on the day immediately preceding the applicable Closing Date, the Closing Date being a day
of income and expense to Buyer. Credits to Buyer shall be credited against the Purchase Price to be paid hereunder and, if such
amount is exhausted, shall be paid in cash by Seller to Buyer at the Closing. Post-closing re-prorations and adjustments shall
be paid in cash. Subject to the foregoing and for the other provisions of this Article 6, the following items shall be pro rated
and adjusted at Closing:

 

(a)          Taxes
and Assessments. Buyer shall receive a credit for any accrued but unpaid real estate taxes, personal property taxes, special
assessments and betterments (“Taxes”) (including, without limitation, any assessments imposed by private covenant)
applicable to any period before the Closing Date, whether or not such Taxes are not yet due and payable, and Seller shall receive
a credit for any Taxes applicable to any period after the Closing Date paid in advance by Seller. If the amount of any such Taxes
have not been determined as of the Closing Date, then such credit shall be based on the most recent ascertainable taxes. Such
undetermined Taxes shall be reprorated upon issuance of the final tax bill. Notwithstanding the foregoing, (i) Buyer shall receive
from Seller a credit for any special assessments and betterments which are levied or charged against the Property or the Real
Property with respect to any infrastructure improvements specifically made to serve the Facility, whether or not then due and
payable, and (ii) any other special assessments and betterments shall be prorated only for the year of Closing.

 

(b)          Ground
Rent. Buyer shall receive from Seller a credit for any rent and other charges under the Ground Lease accrued or payable on
or before Closing that applies to any period prior to Closing but is unpaid as of Closing.

 

6.2.         Sales,
Transfer, and Documentary Taxes; Closing Costs.

 

(a)          Seller
shall pay all sales, gross receipts, conveyancing, stamp, excise, documentary, transfer, deed or similar taxes or fees imposed
in connection with this transaction under applicable state, county or local law. Seller and Buyer shall execute any applicable
city, county and state transfer tax or other declarations.

 

(b)          Buyer
shall pay: (i) one-half of the Escrow Agent’s escrow fee, closing charges and any cancellation fee, (ii) the costs associated
with Buyer’s due diligence activities, (iii) the cost of the Title Policy and Survey. Seller shall pay (x) one-half of the
Escrow Agent’s escrow fee, closing charges and any cancellation fee, and (y) all recording fees or other charges incurred
in connection with clearing title, including without limitation any prepayment or release fees. Each party shall be responsible
for its own attorney’s and other professional fees.

 

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6.3.         Brokerage
Commissions. Seller and Buyer each represents and warrants to the other that it has not dealt with any real estate broker,
sales person or finder in connection with this transaction other than Cushman & Wakefield, Inc. (“Broker”).
Seller shall be responsible for any fee or commission due to Broker pursuant to a separate agreement between Seller and Broker.
Buyer shall indemnify, defend and hold harmless Seller from and against any claim to a broker’s or finder’s fee or
commission by any party other than Broker based upon any actual or alleged statement, representation or agreement of Buyer. Seller
shall indemnify, defend and hold harmless Seller from and against any claim to a broker’s or finder’s fee or commission
made by Broker or by any other party based upon any actual or alleged statement, representation or agreement of Seller.

 

6.4.         Post-Closing
Corrections. Notwithstanding any provision hereof to the contrary, within sixty (60) days after Closing, the parties shall
complete a good faith reconciliation of all closing costs, prorations and adjustments under this Article 6 and shall make any
payments due to the other party pursuant thereto.

 

6.5.         No
Other Obligations. No other expense related to the ownership or operation of the Property prior to the Closing Date shall
be charged to or paid or assumed by Buyer under this Agreement, other than those obligations expressly assumed by Buyer in writing.

 

ARTICLE
7: REPRESENTATIONS AND WARRANTIES

 

7.1.         Seller’s
Representations and Warranties. As a material inducement to Buyer to execute this Agreement and consummate this transaction,
Seller represents and warrants to Buyer as follows as of the date hereof (which representations, warranties shall also be true
on the Closing Date as if made on the Closing Date):

 

(a)          Organization
and Authority of Seller. Seller has been duly organized, is validly existing, and is in good standing as a limited liability
company in the State of Delaware. Seller is in good standing and is qualified to do business in the Commonwealth of Massachusetts
under the name "Nantucket Senior Housing Acquisition”. Seller has the full right, power and authority and has obtained
any and all consents required to enter into this Agreement, all of the documents to be delivered by Seller at the Closing and
to consummate or cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents
to be delivered by Seller at the Closing will be, authorized and properly executed and constitutes, or will constitute, as appropriate,
the valid and binding obligation of Seller, enforceable in accordance with its terms subject to applicable bankruptcy and insolvency
laws and laws affecting creditor’s rights generally.

 

(b)          Pending
Actions or Proceedings. There is no action or proceeding pending or, to Seller’s knowledge, threatened against Seller.
To Seller’s knowledge, no condemnation, eminent domain or similar proceedings are pending or threatened with regard to the
Facility. Seller has not received any notice and has no knowledge of any pending or threatened liens, special assessments, impositions
or increases in assessed valuations to be made against the Facility. This Agreement constitutes the legal, valid and binding obligation
of Seller enforceable in accordance with its terms.

 

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(c)          Conflicts;
Filings. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions contemplated hereby,
will: (i) violate any law to which Seller is subject, or any provision of its operating agreement or certificate of formation;
or (b) conflict with, result in a breach of, constitute a default under, result in the acceleration of, create in any party
the right to accelerate, terminate, modify, or cancel, or require any notice under any agreement, contract, lease, license, instrument,
or other arrangement to which Seller is a party or by which it is bound or to which any of its assets is subject other than the
notices and consents which constitute conditions precedent under this Agreement. Except for such notices and consents which constitute
conditions precedent under this Agreement, Seller is not required to give any notice to, make any filing with, or obtain any authorization,
consent or approval of any government or governmental agency in order for the parties to consummate the transactions contemplated
by this Agreement.

 

(d)          Title.
Seller has good, clear record and marketable title to the Property, free and clear of all liens, encumbrances and restrictions,
other than the matters described in Exhibit H attached hereto.

 

(e)          Ground
Lease. The Ground Lease has not been modified, altered or terminated. No default or event of default now exists, or, but for
the passage of time, will exist, under the Ground Lease.

 

(f)          Operating
Statements. The operating statements of Seller and Existing Manager with respect to the Facility for the fiscal year ended
December 31, 2011 and the year-to-date interim operating statements for the period through August 31, 2012, delivered to
Buyer pursuant to this Agreement show all items of income and expense incurred in connection with the ownership, operation, and
management of the Property for the periods indicated and are true, correct, and complete in all material respects. No material
adverse change has occurred from the respective dates of such operating statements to the date hereof.

 

(g)          Permits,
Legal Compliance, and Notice of Defects. Seller has all licenses, permits and certificates necessary to be held by Seller
for the ownership of the Property, including, without limitation, all certificates of occupancy necessary for the occupancy of
the Property (the "Permits"). All of the Permits are in full force and effect, and Seller has not taken or failed
to take any action that would result in their revocation, suspension or limitation, nor received any written notice of an intention
to revoke, suspend or limit any of them. Neither the Property nor the use thereof violates any Permit, governmental law or regulation
or any covenants or restrictions encumbering the Property. Seller has not received any written notice from any insurance company
or underwriter, or is otherwise aware, of any defects that would materially adversely affect the insurability of the Property
or cause an increase in insurance premiums. Seller has not received notice from any governmental authority or other person of,
nor has any knowledge of, any violation of zoning, building, fire, health, environmental, or other statutes, ordinances, regulations
or orders (including, without limitation, those respecting the Americans with Disabilities Act), or any restriction, condition,
covenant or consent in regard to the Property or any part thereof which have not been corrected to the satisfaction of the issuer.

 

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(h)          Environmental.
Seller has no knowledge of any violation of any Environmental Law related to the Real Property or the presence or release of any
Hazardous Materials on or from the Real Property except as disclosed in the environmental reports listed in Exhibit I attached
hereto (the "Environmental Reports"). Except for de minimis amounts of Hazardous Materials used, stored and disposed
of in accordance with Environmental Laws, and used in connection with the ordinary maintenance and operation of the Property,
Seller has no knowledge of any Hazardous Materials or any toxic wastes, substances or materials (including, without limitation,
asbestos) manufactured, introduced, released or discharged from or onto the Property and Seller has no knowledge of the generation,
treatment, storage, handling or disposal of any Hazardous Materials at the Property. Except as set forth in the Environmental
Reports, there are no underground storage tanks located on the Real Property. Seller is not aware of any environmental assessments
or studies which exist with respect to the Real Property except for the Environmental Reports.

 

(i)          Bankruptcy
Matters. Seller has not made a general assignment for the benefit of creditors, filed any voluntary petition in bankruptcy
or suffered the filing of an involuntary petition by its creditors, suffered the appointment of a receiver to take possession
of all or substantially all of its assets, suffered the attachment or other judicial seizure of all or substantially all of its
assets, admitted its inability to pay its debts as they come due, or made an offer of settlement, extension or composition to
its creditors generally.

 

(j)          PATRIOT
Act. Seller is in compliance with the requirements of Executive Order No. 133224, 66 Fed. Reg. 49079 (Sept. 25, 2001) (the
“Order”) and other similar requirements contained in the rules and regulations of the Office of Foreign
Assets Control, Department of the Treasury (“OFAC”) and in any enabling legislation or other Executive
Orders or regulations in respect thereof (the Order and such other rules, regulations, legislation, or orders are collectively
called the “Orders”). Further, Seller covenants and agrees to make its policies, procedures and practices
regarding compliance with the Orders, if any, available to Buyer for its review and inspection during normal business hours and
upon reasonable prior notice. Neither Seller nor any beneficial owner of Seller:

 

(i)          is
listed on the Specially Designated Nationals and Blocked Persons List maintained by OFAC pursuant to the Order and/or on any other
list of terrorists or terrorist organizations maintained pursuant to any of the rules and regulations of OFAC or pursuant to any
other applicable Orders (such lists are collectively referred to as the “Lists”);

 

(ii)         is
a person or entity who has been determined by competent authority to be subject to the prohibitions contained in the Orders; or

 

(iii)        is
owned or controlled by, or acts for or on behalf of, any person or entity on the Lists or any other person or entity who has been
determined by competent authority to be subject to the prohibitions contained in the Orders.

 

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Seller hereby
covenants and agrees that if Seller obtains knowledge that Seller or any of its beneficial owners becomes listed on the Lists
or is indicted, arraigned, or custodially detained on charges involving money laundering or predicate crimes to money laundering,
Seller shall immediately notify Buyer in writing, and in such event, Buyer shall have the right to terminate this Agreement without
penalty or liability to Seller immediately upon delivery of written notice thereof to Buyer.

 

(k)          Utilities.
Public utility services (including, without limitation, all applicable electric lines, sewer and water lines, gas, cable, television
and telephone lines) are available to service the Property at the property line without the need for any non public utility easements
over land of others, and, to Seller’s knowledge, said public utility services are adequate to service the requirements of
the Property and its tenants and occupants as presently operated, and, to Seller’s knowledge, all payments currently due
for the same have been made, and, to Seller’s knowledge, all necessary easements, permits, licenses and agreements in respect
of any of the foregoing exist and are in full force and effect and are installed and operating and all installation and connection
charges have been paid for in full. Neither Seller, nor to Seller’s knowledge, any prior owner of the Property has received
notice of any fact or condition existing and would or could result in the termination or reduction of the current access from
the Property to existing roads and highways, or to sewer or other utility services available to the Property.

 

(l)          Disclosure.
Other than this Agreement, the documents delivered at Closing pursuant hereto, the Permitted Exceptions, the Residency Agreements,
there are no contracts or agreements of any kind relating to the Property to which Seller is a party and which would be binding
on Buyer after Closing. Seller has delivered to Buyer all written materials in Seller’s possession or control which contain
information or disclose facts or conditions that would have a material adverse impact on the use, operation or marketability of
the Property. The originals and copies of Seller Deliverables delivered to Buyer pursuant to Section 3.1 hereof are true,
correct and complete originals or copies of the respective documents, instruments, agreements or other items, and Seller is not
aware of any material inaccuracy or omission in the information in Seller Deliverables.

 

(m)          Bankruptcy
Matters. Seller has not made a general assignment for the benefit of creditors, filed any voluntary petition in bankruptcy
or suffered the filing of an involuntary petition by its creditors, suffered the appointment of a receiver to take possession
of all or substantially all of its assets, suffered the attachment or other judicial seizure of all or substantially all of its
assets, admitted its inability to pay its debts as they come due, or made an offer of settlement, extension or composition to
its creditors generally.

 

As used in
this Agreement, the "knowledge" of Seller means the actual knowledge of Kent Eikanas, and shall not include any imputed
or constructive knowledge, or any implied duty to investigate or verify any matters represented to herein.

 

7.2.         Buyer’s
Representations and Warranties. As a material inducement to Seller to execute this Agreement and consummate this transaction,
Buyer represents and warrants to Seller as follows as of the date hereof (which representations, warranties shall also be true
on the Closing Date as if made as of the date thereof):

 

    	16

    	 

    
 

(a)          Organization
and Authority. Buyer has been duly organized and is validly existing as a Massachusetts limited liability company. Buyer has
the full right and authority and has obtained any and all consents required to enter into this Agreement and to consummate or
cause to be consummated the transactions contemplated hereby. This Agreement has been, and all of the documents to be delivered
by Buyer at the Closing will be, authorized and properly executed and constitutes, or will constitute, as appropriate, the valid
and binding obligation of Buyer, enforceable in accordance with their terms.

 

(b)          Pending
Action. There is no agreement to which Buyer is a party or to Buyer's knowledge binding on Buyer which is in conflict with
this Agreement. There is no action or proceeding pending or, to Buyer's knowledge, threatened against Buyer which challenges or
impairs Buyer's ability to execute or perform its obligations under this Agreement. This Agreement constitutes the legal, valid
and binding obligation of Buyer enforceable in accordance with its terms.

 

(c)          Bankruptcy
Matters. Buyer has not made a general assignment for the benefit of creditors, filed any voluntary petition in bankruptcy
or suffered the filing of an involuntary petition by its creditors, suffered the appointment of a receiver to take possession
of all or substantially all of its assets, suffered the attachment or other judicial seizure of all or substantially all of its
assets, admitted its inability to pay its debts as they come due, or made an offer of settlement, extension or composition to
its creditors generally.

 

(d)          Conflicts;
Filings. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions contemplated hereby,
will: (i) violate any law to which Buyer is subject, or any provision of its operating agreement or certificate of formation;
or (ii) conflict with, result in a breach of, constitute a default under, result in the acceleration of, create in any party
the right to accelerate, terminate, modify, or cancel, or require any notice under any agreement, contract, lease, license, instrument,
or other arrangement to which Buyer is a party or by which it is bound or to which any of its assets is subject. Buyer is not
required to give any notice to, make any filing with, or obtain any authorization, consent or approval of any government or governmental
agency in order for the parties to consummate the transactions contemplated by this Agreement.

 

(e)          PATRIOT
Act. Buyer is in compliance with the requirements of the Order and other similar requirements contained in the rules
and regulations of OFAC and in any enabling legislation or other Orders. Further, Buyer covenants and agrees to
make its policies, procedures and practices regarding compliance with the Orders, if any, available to Seller for its review and
inspection during normal business hours and upon reasonable prior notice. Neither Buyer nor any beneficial owner of Buyer:

 

(i)          is
listed on the Lists;

 

(ii)         is
a person or entity who has been determined by competent authority to be subject to the prohibitions contained in the Orders; or

 

    	17

    	 

    
 

(iii)        is
owned or controlled by, or acts for or on behalf of, any person or entity on the Lists or any other person or entity who has been
determined by competent authority to be subject to the prohibitions contained in the Orders.

 

(f)          Buyer
hereby covenants and agrees that if Buyer obtains knowledge that Buyer or any of its beneficial owners becomes listed on the Lists
or is indicted, arraigned, or custodially detained on charges involving money laundering or predicate crimes to money laundering,
Buyer shall immediately notify Seller in writing, and in such event, Seller shall have the right to terminate this Agreement without
penalty or liability to Buyer immediately upon delivery of written notice thereof to Buyer.

 

7.3.         Indemnity.

 

(a)          Seller
hereby agrees to indemnify, defend and hold Buyer harmless from any liability, claim, demand, loss, expense or damage, including,
without limitation, attorneys' fees and costs (collectively, "Claims") arising out of (i) any breach of any representation
or warranty of Seller set forth herein; (ii) any act or omission of Seller or any of its agents, employees or contractors; (iii)
the ownership of the Property accruing prior to the Closing Date, including, without limitation, any Claims made under or relating
to the Ground Lease; (iv) any breach by Seller, Principal or any of their respective Affiliates of the covenants set forth in
Section 9.1 and Section 9.2 hereof; (v) any breach of any representation or warranty of any party to the Operations Transfer Agreement
(other than Buyer); and (vi) any default with respect to any material obligation of any party to the Operations Transfer Agreement
(other than Buyer) which such party has not cured within thirty (30) days after written notice from Buyer. Notwithstanding the
foregoing or anything to the contrary in this Agreement, with respect to any Claims arising under the foregoing subsections (v)
and (vi), Buyer hereby agrees that (i) Buyer will first pursue its remedies and indemnification rights under the Operations Transfer
Agreement prior to any indemnification rights it is entitled to under this Agreement, and (ii) the aggregate liability of Seller
shall not exceed the Holdback Deposit set forth in Section 7.4(c) below.

 

(b)          Buyer
hereby agrees to indemnify, defend and hold Seller harmless from any Claim arising out of (i) any breach of any of representation
or warranty of Buyer set forth herein, (ii) any act or omission of Buyer, its agents, employees or contractors, or (iii) the ownership
or operation of the Property accruing on or after the Closing Date, including, without limitation, any Claims made by or relating
to any employee accruing on or after the Closing Date.

 

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(c)          The
following provisions govern all actions for indemnity under this Section 7.3 and any other provision of this Agreement. Promptly
after receipt by an indemnitee of notice of any claim, such indemnitee will, if a claim in respect thereof is to be made against
the indemnitor, deliver to the indemnitor written notice thereof. After such notice, the indemnitor shall be entitled, if it so
elects at its own cost, risk and expense, (i) to take control of the defense and investigation of such lawsuit or action,
(ii) to employ and engage attorneys of its own choice to handle and defend the same unless the named parties to such action
or proceeding include both the indemnitor and the indemnitee and the indemnitee has been advised in writing by counsel that there
exists a bona fide and recognized ethical conflict which would require that such counsel obtain a waiver or similar consent from
each of the indemnitor and the indemnitee to undertake such joint defense, in which event the indemnitor shall be entitled, at
the indemnitor’s cost, risk and expense, to separate counsel of its own choosing only if it reasonably determines in good
faith that such waiver or consent cannot be given, and (iii) to compromise or settle such claim, which compromise or settlement
shall be made only with the written consent of the indemnitee, such consent not to be unreasonably withheld. If the indemnitor
fails to assume the defense of such claim within thirty (30) calendar days after receipt of the claim notice, the indemnitee against
which such claim has been asserted will (upon delivering notice to such effect to the indemnitor) have the right to undertake,
at the indemnitor’s sole cost and expense (to be reimbursed as accrued), the defense, compromise or settlement of such claim
on behalf of and for the account and risk of the indemnitor. In the event the indemnitee assumes the defense of the claim, the
indemnitee will keep the indemnitor reasonably informed of the progress of any such defense, compromise or settlement. The indemnitor
shall be liable for any settlement of any action effected pursuant to and in accordance with this Section 7.3 subject to
the written consent of the indemnitor and for any final judgment (subject to any right of appeal), and the indemnitor agrees to
indemnify and hold harmless an indemnitee from and against any losses by reason of such settlement or judgment; provided,
however, that if an indemnitee settles a claim without the prior written consent of the indemnitor, then the indemnitor
shall be released from liability with respect to such claim unless the indemnitor has unreasonably withheld such consent. The
failure of indemnitee to deliver written notice to the indemnitor within a reasonable time after indemnitee receives notice of
any such claim shall relieve such indemnitor of any liability to the indemnitee under this indemnity only if and to the extent
that such failure is prejudicial to the indemnitor’s ability to defend such action, and the omission so to deliver written
notice to the indemnitor will not relieve it of any liability that it may have to any indemnitee other than under this indemnity.

 

7.4.         Survival
of Representations, Warranties and Indemnity; Holdback Deposit.

 

(a)          The
representations and warranties set forth in this Article 7 are made as of the Effective Date, and each party shall be deemed
to have remade all of their respective representations and warranties as of the Closing Date. No representations or warranties
shall be deemed to be merged into or waived by the instruments of Closing, but shall survive the Closing for a period of six (6)
months.

 

(b)          The
indemnity obligations of the parties under Section 7.3 shall survive the Closing for a period of six (6) months.

 

(c)          At
the Closing Seller shall deposit with Escrow Agent the sum of $100,000 (the “Holdback Deposit”) to serve as
a source of payment of any Claims that may become due or owing from Seller under Section 7.3(a) above. Upon receipt of the Holdback
Deposit, Escrow Agent shall invest the Holdback Deposit in an interest-bearing account or money market fund mutually acceptable
to Seller and Buyer. Escrow Agent shall agree to hold and dispose of the Holdback Deposit in accordance with the terms and provisions
of Section 2.3 hereof and this Section 7.4. Any interest earned on the Holdback Deposit shall follow the Holdback Deposit. In
the event of any Claim, Buyer shall be entitled to make an Escrow Demand for the payment of such Claim under Section 2.3 above.
Any insufficiency in the amount of the Holdback Deposit shall not limit or release Seller’s obligations under Section 7.3(a)
above. Subject to the other terms in this Section 7.5 or Section 2.3 above, and if not sooner exhausted through the payment of
Escrow Demands, the escrow of the Holdback Deposit shall terminate six (6) months after the Closing Date, whereupon Escrow Agent
shall pay and distribute the then available amount of the Holdback Deposit to Seller, unless any Escrow Demands are then unresolved
or pending, in which case an amount equal to the aggregate dollar amount of such Escrow Demands shall be retained by Escrow Agent
and the balance (if any) paid to Seller. Any amount so retained by Escrow Agent shall continue to be held by Escrow Agent until
the dispute between the parties has been resolved pursuant to either clause (a) or (b) of Section 2.3 above.

    	19

    	 

    

 

ARTICLE
8: DEFAULT AND REMEDIES

 

8.1.          Buyer’s
Remedies. If this transaction fails to close as a result of any default on the part of Seller which has not been cured
by the earlier of the thirtieth (30th) day after written notice thereof from Buyer or the Closing Date, then Buyer shall be entitled
to such remedies for breach of contract as may be available at law and in equity, including, without limitation, immediate refund
of the Deposit and all interest earned thereon and the remedy of specific performance.

 

8.2.          Seller’s
Remedies. If this transaction fails to close as a result of any default on the part of Buyer which has not been cured
within thirty (30) days after written notice thereof from Seller, then Seller’s sole remedy shall be to terminate this Agreement
and receive the Deposit, as liquidated damages, as Seller’s sole and exclusive remedy at law or in equity (Seller waiving
all other rights or remedies in the event of such default by Buyer and the parties hereby acknowledging that Seller’s actual
damages in the event of a default by Buyer under this Agreement will be difficult to ascertain, and that such liquidated damages
represent the parties’ best estimate of such damages).

 

8.3.          Other
Expenses. If this Agreement is terminated due to the default of any party, then the defaulting party shall pay any fees
due to the Escrow Agent.

 

ARTICLE
9: NON SOLICITATION; NON COMPETE

 

9.1.          Non-Solicitation.
In consideration of the premises contained herein, the consideration to be received hereunder and in consideration of and
as an inducement to Buyer to consummate the transactions contemplated hereby, Seller hereby agrees that until the first (1st)
anniversary of the Closing Date, Seller shall not and shall not suffer or permit any of its Affiliates to, directly or indirectly
(i) solicit or attempt to induce any employee of Buyer or any Affiliate of Buyer to terminate his or her employment with Buyer
or any Affiliate of Buyer; or (ii) hire or attempt to hire any employee of Buyer or any Affiliate of Buyer except on an unsolicited
basis at the request of such employee.

 

9.2.          Non-Compete.
In consideration of the premises contained herein, the consideration to be received hereunder and in consideration of and
as an inducement to Buyer to consummate the transactions contemplated hereby, Seller hereby agrees that, if the Closing hereunder
occurs, Seller shall not, and shall not suffer or permit the Principal to, develop, construct, own, lease, acquire, manage, operate
or otherwise directly or indirectly participate in any Competing Project prior to the first (1st) anniversary of the
Closing Date.

 

    	20

    	 

    
 

9.3.          Enforcement.
Seller acknowledges and recognizes the highly competitive nature of the senior housing industry. Seller has carefully considered
the nature and extent of the restrictions set forth herein and acknowledges that the same are reasonable with respect to scope,
duration and territory. It is the desire and intent of the parties that the provisions of this Article 9 be enforced to the
fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought. Accordingly,
if any particular provision of this Article 9 shall be adjudicated to be invalid or unenforceable, such provision without
any action by any party shall be deemed amended to delete therefrom or to modify the provisions thereof so as to restrict (including,
without limitation, a reduction in duration, geographical area or prohibited business activity) the portion adjudicated to be
invalid or unenforceable, such deletion or modification to apply only with respect to the operation of such provision in the particular
jurisdiction in which such adjudication is made, and such deletion or modification to be made only to the extent necessary to
cause the provision as amended to be valid and enforceable. The parties hereto recognize and acknowledge that a breach by Seller
of this Article 9 will cause irreparable and material loss and damage to Buyer as to which Buyer will not have an adequate
remedy at law or in damages. Accordingly, each party acknowledges and agrees that the issuance of an injunction or other equitable
remedy is an appropriate remedy for any such breach in addition to, and without limiting, any other remedies that the Buyer may
have at law or in equity.

 

ARTICLE
10: MISCELLANEOUS

 

10.1.          Parties
Bound. Neither party may assign this Agreement without the prior written consent of the other, and any such prohibited
assignment shall be void; provided, however, that Buyer may assign its rights and obligations under this Agreement without Seller's
consent, but with prior written notice to Seller, to any entity which is owned by or under common control with Buyer. Subject
to the foregoing, this Agreement shall be binding upon and inure to the benefit of the respective legal representatives, successors,
assigns, heirs, and devises of the parties.

 

10.2.          Headings.
The article and paragraph headings of this Agreement are for convenience only and in no way limit or enlarge the scope or
meaning of the language hereof.

 

10.3.          Invalidity
and Waiver. If any portion of this Agreement is held invalid or inoperative, then so far as is reasonable and possible
the remainder of this Agreement shall be deemed valid and operative, and, to the greatest extent legally possible, effect shall
be given to the intent manifested by the portion held invalid or inoperative. The failure by either party to enforce against
the other any term or provision of this Agreement shall not be deemed to be a waiver of such party’s right to enforce against
the other party the same or any other such term or provision in the future.

 

    	21

    	 

    
 

10.4.          Governing
Law. This Agreement shall, in all respects, be governed, construed, applied, and enforced in accordance with the laws
of the Commonwealth of Massachusetts.

 

10.5.          Survival.
The provisions of this Agreement that contemplate performance after the Closing including, without limitation, Section 5.7,
Article 6, Article 7 and Article 9, the obligations of the parties not fully performed at the Closing, and all indemnities
set forth in this Agreement shall survive the Closing and shall not be deemed to be merged into or waived by the instruments of
Closing, subject to the provisions of Section 7.4 hereof.

 

10.6.          No
Third Party Beneficiary. This Agreement is not intended to give or confer any benefits, rights, privileges, claims, actions,
or remedies to any person or entity as a third party beneficiary, decree, or otherwise.

 

10.7.          Entirety
and Amendments. This Agreement embodies the entire agreement between the parties and supersedes all prior agreements and
understandings relating to the Property. This Agreement may be amended or supplemented only by an instrument in writing executed
by the party against whom enforcement is sought.

 

10.8.          Time.
Time is of the essence in the performance of this Agreement.

 

10.9.          Confidentiality.
Neither party shall make any public announcement or other disclosure of this Agreement or any information related to this
Agreement to outside brokers or third parties, before or after the Closing, without the prior written consent of the other party;
provided, however, that each party may make disclosure of this Agreement to its lenders, creditors, officers, employees, representatives,
investors, consultants and agents as necessary or appropriate to consummate the transactions contemplated herein.

 

10.10.         Enforcement
Expenses. Should either party employ attorneys to enforce any of the provisions hereof, the party against whom any final
judgment is entered agrees to pay the prevailing party all reasonable costs, charges, and expenses, including attorneys’
fees and costs, expended or incurred in connection therewith.

 

10.11.         Notices.
All notices required or permitted hereunder shall be in writing and shall be served on the parties at the addresses set forth
in Exhibit J. Any such notices shall be either (i) sent by overnight delivery using a nationally recognized overnight
courier, in which case notice shall be deemed delivered on the date of deposit with such courier, (ii) sent by certified or regular
U.S. mail, postage prepaid, in which case notice shall be deemed delivered on the date of deposit with the U.S. Postal Service,
(iii) sent by email or facsimile, in which case notice shall be deemed delivered upon transmission thereof so long as a copy thereof
is also sent by overnight delivery using a nationally recognized overnight courier by depositing such copy on such date of delivery
by email or facsimile with such courier, or (iv) sent by personal delivery, in which case notice shall be deemed delivered upon
receipt or refusal of delivery. A party’s address may be changed to another address in the United States by written notice
to the other party; provided, however, that no notice of a change of address shall be effective until actual receipt of such notice.
Copies of notices are for informational purposes only, and a failure to give or receive copies of any notice shall not be deemed
a failure to give notice. Notices given by counsel to Buyer shall be deemed given by Buyer and notices given by counsel to Seller
shall be deemed given by Seller.

 

    	22

    	 

    
 

10.12.         Construction.
The parties acknowledge that the parties and their counsel have reviewed and revised this Agreement and the documents to be
executed at the Closing and agree that the normal rule of construction to the effect that any ambiguities are to be resolved against
the drafting party shall not be applied in the interpretation of this Agreement, the documents to be delivered at Closing or any
exhibits or amendments thereto.

 

10.13.         Calculation
of Time Periods. Unless otherwise specified, in computing any period of time described herein, the day of the act or event
after which the designated period of time begins to run is not to be included and the last day of such period is to be included,
unless such last day is a Saturday, Sunday or legal holiday for national banks in the Commonwealth of Massachusetts, in which
event the period shall run until the end of the next day which is neither a Saturday, Sunday, nor legal holiday.

 

10.14.         Execution
in Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an
original, and all of such counterparts shall constitute one Agreement. To facilitate execution of this Agreement, the parties
may execute and exchange by telephone facsimile counterparts of the signature pages.

 

10.15.         Further
Assurances. In addition to the acts and deeds recited herein and contemplated to be performed, executed and/or delivered
by either party at Closing, each party agrees to perform, execute and deliver, but without any obligation to incur any additional
liability or expense, on or after the Closing any further deliveries and assurances as may be reasonably necessary to consummate
the transactions contemplated hereby or to further perfect the conveyance, transfer and assignment of the Property to Buyer.

 

10.16.         Waiver
of Jury Trial. TO THE EXTENT PERMITTED BY APPLICABLE LAW, THE PARTIES HEREBY IRREVOCABLY WAIVE ANY AND ALL RIGHT TO TRIAL
BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT, OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

10.17.         Bulk
Sales. If any applicable provisions of law require that any state or local taxation authorities be notified of the transactions
contemplated herein, or if clearance is required of such authorities, each in order to permit the transfer of the Real Property
as contemplated herein without liability to Buyer for any state or local taxes required to be paid or collected by Seller prior
to the Closing Date, it shall be a condition precedent to the obligations of Buyer hereunder that all such notification and clearance
requirements shall have complied with and the Buyer shall have received the requisite clearances and releases from further liability.
Seller shall, within ten (10) days after the Effective Date make all filings necessary to obtain such clearances, and shall contemporaneously
provide Buyer with copies of all such filings.

 

[Remainder
of this page intentionally left blank; signature page follows]

 

    	23

    	 

    

 

IN
WITNESS WHEREOF, the parties hereto have duly executed and delivered this Agreement on the day and year written below.

 

	 	 		SELLER:  	 
	 	 	 	NANTUCKET ACQUISITION LLC, a Delaware limited liability company  
	 	 	 	 
	Dated:	 	 	By:	 
	 	 	 	 	Name:
	 	 	 	 	Title:

 

	 	 	 	BUYER:  
	 	 	 	 
	 	 	 	NORTHBRIDGE COMMUNITIES, LLC, a Massachusetts limited liability company
	 	 	 	 
	Dated:	 	 	By:	 
	 	 	 	 	Name:
	 	 	 	 	Title:

 

    	24

    	 

    

 

JOINDER

 

Commonwealth
Land Title Insurance Company hereby joins this Agreement for the sole purpose of agreeing to be bound by the provisions of Sections
2.2 and 2.3 hereof.

 

	 	COMMONWEALTH LAND TITLE INSURANCE COMPANY
	 	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

    	 

    	 

    

 

JOINDER

 

Kent
Eikanas, as owner of beneficial interests in Seller (“Principal”), hereby acknowledges and agrees that he will
derive substantial benefits from the consummation of the transactions herein described. Accordingly, Principal hereby agrees to
comply with the covenants and requirements of Article 9 of the Agreement as though each reference therein to “Seller”
were instead a reference to “Principal.” The provisions of this Joinder shall survive Closing.

 

Executed
under seal as of the date first above written.

 

	 	PRINCIPAL:
	 	 
	 	 
	 	Name: Kent Eikanas

 

    	 

    	 

    

 

List of
Exhibits

	 	 	 	 
	Exhibit	 	Description	 
	 	 	 	 
	A	 	Definitions
	 	 	 
	B	 	Property Information
	 	 	 
	C	 	Seller Deliverables
	 	 	 
	D	 	Form of Ground Lease Assignment
	 	 	 
	E	 	Form of Bill of Sale and General Assignment
	 	 	 
	F	 	Form of FIRPTA Affidavit
	 	 	 
	G	 	Form of Ground Lease Amendment
	 	 	 
	H	 	Title Matters
	 	 	 
	I	 	Environmental Reports
	 	 	 
	J	 	Notice Addresses
	 	 	 
	K	 	Description of Land

 

    	 

    	 

    
 

Exhibit
A

Definitions

 

"Affiliate"
shall mean (i) as to Seller: Principal, any entity that directly or indirectly controls, is controlled by, or is under common
control with Seller or Principal, or any entity at least a ten percent (10%) of whose economic interest is owned, directly or
indirectly, by Seller or Principal; and (ii) as to Buyer: James C. Coughlin, Wendy A. Nowokunski, any entity that directly or
indirectly controls, is controlled by, or is under common control with Buyer, James C. Coughlin, or Wendy A. Nowokunski, or any
entity at least a ten percent (10%) of whose economic interest is owned, directly or indirectly, by Buyer, James C. Coughlin,
or Wendy A. Nowokunski; and the term "control" means the power to direct the management of such entity through voting
rights, ownership or contractual obligations.

 

"Competing
Project" shall mean, as to the Facility, any Senior Housing Facility located within the town of Nantucket, Massachusetts.

 

"Due
Diligence Period" shall mean the period beginning on the Effective Date and ending at 11:59 p.m. on the thirtieth (30th)
day following the Effective Date; provided, however that if Buyer does not receive the Operations Transfer Agreement (with all
schedules and exhibits thereto completed) executed and delivered by the other parties thereto on or before the fifteenth (15th)
day following the Effective Date, then the last day of the Due Diligence Period shall be extended on a day-for-day basis for each
day beyond said fifteenth (15th) day until Buyer receives the Operations Transfer Agreement (with all schedules and exhibits thereto
completed) executed and delivered by the other parties thereto.

 

"Effective
Date" shall mean the date that this Agreement has been executed and delivered by all parties hereto.

 

"Environmental
Laws" shall mean all applicable federal, state, county, municipal and other local laws governing or relating to Hazardous
Materials or the environment, together with their implementing regulations, ordinances and guidelines, including without limitation,
the Resource Conservation and Recovery Act and the Comprehensive Environmental Response Compensation and Liability Act.

 

"Escrow
Agent" shall mean Commonwealth Land Title Insurance Company (Boston Office).

 

"Existing
Management Agreement" shall mean the Pre-Acquisition Services and Management Agreement dated November 2, 2009, by and
between Seller’s tenant, Sherburne Commons Residences, LLC dba Sherburne Commons, a Massachusetts limited liability company
and Existing Manager with respect to the Facility, as amended.

 

"Existing
Manager" shall mean Riverwood Retirement Management, Incorporated, a Florida corporation.

 

"Facility"
shall mean the Senior Housing Facility operated by Existing Manager set forth on Exhibit B attached hereto.

 

    	Exhibit A-1

    	 

    
 

"Ground
Lease" shall mean that certain Second Amended and Restated Ground Lease dated as of December 9, 2009, by and among Seller,
as lessee, Town of Nantucket, Massachusetts, as lessor, and Sherburne Commons, Inc., a notice of lease of which is recorded in
Book 1213 at Page 226 of the Nantucket Registry of Deeds.

 

"Hazardous
Materials" shall mean, without limitation, polychlorinated biphenyls, urea formaldehyde, radon gas, lead paint, radioactive
matter, medical waste, asbestos, petroleum products, including crude oil or any fraction thereof, natural gas, natural gas liquids,
liquefied natural gas, or synthetic gas usable for fuel (or mixtures of natural gas or such synthetic gas), and any substance,
material, waste, pollutant or contaminant listed or defined as hazardous, infectious or toxic under any applicable federal, state
or local law.

 

"Improvements"
shall mean all buildings, improvements, fixtures, structures, parking areas and landscaping located on or appurtenant to the Land,
including, but not limited to, the Facility and the buildings currently used for employee housing on the easterly portion of the
Land along South Shore Road.

 

"Intangible
Property" shall mean all right, title and interest of Seller in and to all intangible personal property owned by Seller
and now or hereafter used in connection with the ownership of the Facility, including, without limitation, any and all of the
following: trade names and trademarks associated with the Facility, including, without limitation, the name "Sherburne Commons"
and the trade names set forth on Exhibit B attached hereto; web sites, domain names, and web addresses; the plans
and specifications for the Improvements, including as-built plans; warranties, guarantees, indemnities and claims against third
parties benefiting Seller; contract rights related to the ownership of the Facility; pending permit or approval applications as
well as existing permits, approvals and licenses (to the extent assignable); and insurance proceeds and condemnation awards to
the extent provided in Sections 4.2 or 4.3 of this Agreement.

 

"Land"
shall mean all of the land described in and subject to the Ground Lease and all and singular the rights, benefits, privileges,
easements, tenements, hereditaments, and appurtenances thereon or in anywise appertaining to such land, including any and all
mineral rights, development rights, water rights and the like; and all right, title, and interest of Seller in and to all strips
and gores and any land lying in the bed of any street, road or alley, open or proposed, adjoining such land.

 

"Lease"
shall mean and refer to any lease, license or other agreement other than residency agreements, pursuant to which any person or
entity has the right to occupy or use the Real Property or any portion thereof.

 

"Operations
Transfer Agreement" shall mean that certain Operations Transfer Agreement dated on or after the date hereof, by and among
Buyer, the Existing Manager, and Sherburne Commons Residences, LLC.

 

"Permitted
Exceptions" shall mean: (i) title and survey exceptions approved by Buyer pursuant to Section 3.3 of this Agreement;
(ii) provisions of existing building and zoning laws; (iii) any liens for municipal betterments assessed after the date
of this Agreement; (iv) existing rights and obligations in party walls which are not the subject of written agreement; (v) such
taxes for the then current year as are not due and payable on the Closing Date; and (vi) parties in possession of individual
senior housing units as residents only.

 

    	Exhibit A-2

    	 

    
 

"Permitted
Personal Property Liens" shall mean, for the Property (i) leases, license rights or restrictions incurred in the
ordinary course of business which do not in any case materially detract from the value of the property subject thereto; (ii) pledges
or deposits in connection with workers' compensation, unemployment insurance and other social security legislation and deposits
securing liability to insurance carriers under self-insurance arrangements; (iii) deposits to secure the performance of bids,
trade contracts (other than for borrowed money), leases, statutory obligations, surety and appeal bonds, performance bonds and
other obligations of a like nature incurred in the ordinary course of business; and (iv) purchase money security interest
in respect of new equipment in an aggregate amount not in excess of $50,000 at any time, provided Buyer shall receive a credit
against the Purchase Price in an amount equal to any such purchase money indebtedness.

 

"Personal
Property" shall mean all Tangible Personal Property and Intangible Personal Property.

 

"Principal"
shall mean Kent Eikanas.

 

"Property"
shall mean the Real Property and the Personal Property.

 

"Purchase
Price" shall mean, subject to adjustments and prorations as set forth herein, the sum of Four Million and 00/100 Dollars
($4,000,000.00).

 

"Real
Property" shall mean (i) all right, title and interest of Seller, as lessee, in and to the leasehold estate created pursuant
to the Ground Lease and (ii) the Improvements.

 

"Rents"
shall mean all rental income from the Real Property, including without limitation, base rent and additional rent or fees paid
by residents pursuant to the Residency Agreements.

 

"Residency
Agreements" shall mean all residency agreements or other occupancy agreements between Seller or its agents and any other
person or entity with respect to the Facility.

 

"Senior
Housing Facility" shall mean a facility which provides any one or more of the following types of senior housing: independent
living for seniors, assisted living for seniors or Alzheimer's/memory care for seniors.

 

"Tangible
Personal Property" shall mean all right, title and interest of Seller in and to all tangible personal property now or
hereafter used in connection with the use, operation, maintenance or management of the Real Property, including, without limitation,
all tools, equipment, machinery, heating, ventilating and air conditioning units, furniture, art work, furnishings, trade fixtures,
office equipment and supplies.

 

"Title
Company" shall mean Commonwealth Land Title Insurance Company (Boston office).

 

“Town
Lease Amendment Approval Date” shall mean the date that the Town of Nantucket has informed the parties hereto in writing
that it has approved the form of the ground lease amendment required under Section 5.4 hereof and has authorized the execution
and delivery thereof (subject only to such reasonable and customary contingencies that Seller and Buyer deem to be capable of
satisfaction within the succeeding 30-day period) and the expiration of all appeal periods that may be applicable with respect
to such actions of the Town of Nantucket.

 

    	Exhibit A-3

    	 

    

 

 

Exhibit
B

Property Information

 

	Facility/Address	Tradename	Units
	Sherburne
    Commons, 40 Sherburne Commons, Nantucket, MA	Sherburne
    Commons	60
        Units in total:

        38
        Independent Living Units;

        14
        Assisted Living Units; and

        8
        Alzheimer’s /Memory Care Units

 

    	Exhibit B-1

    	 

    

 

 

Exhibit
C

 

Seller
Deliverables

 

		1.	All
                                                                              title insurance policies or other evidence of title,
                                                                              together with copies of all encumbrances, easements
                                                                              and restrictions and other matters referenced therein
                                                                              or otherwise affecting the property.

 

		2.	Current
                                                                              ALTA survey.

 

		3.	Copies
                                                                              of real estate tax bills and other municipal, county,
                                                                              state or other assessments for current and up to
                                                                              two prior years.

 

		4.	Evidence
                                                                              of connection and operating of all gas, water, electric,
                                                                              sewer and other utility services (may be shown of
                                                                              survey). Copies of utility invoices for prior twelve
                                                                              months.

 

		5.	All
                                                                              building and occupancy permits and licenses and
                                                                              all other governmental permits, licenses and approvals
                                                                              and notices of violation. This should include zoning
                                                                              opinions and other evidence of compliance with zoning
                                                                              (use, building dimensions, parking, loading and
                                                                              access), variances, special permits, site plan approvals,
                                                                              subdivision, building code, wetlands, curb cuts,
                                                                              historic regulations, environmental and similar
                                                                              land use laws and regulations as well as operational
                                                                              licenses for the facility.

 

		6.	All
                                                                              plans and specifications prepared in connection
                                                                              with the property including as-built plans, site
                                                                              plans, floor plans and model unit plans.

 

		7.	The
                                                                              Ground Lease.

 

		8.	All
                                                                              leases, license agreements or similar agreements
                                                                              for use and occupancy allowing any lessees or third
                                                                              parties to use or occupy any portion of the property,
                                                                              together with all amendments, notices, estoppel
                                                                              certificates or agreements or documentation regarding
                                                                              security deposits.

 

		9.	All
                                                                              environmental reports on the property, including
                                                                              Phase I reports, Phase II reports; repairs re: air
                                                                              quality, asbestos, lead; all logs of borings and
                                                                              testing wells and test results on the property.
                                                                              Any notices, citations or correspondence to or from
                                                                              the DEP, DEQE, local, state or national agencies;
                                                                              all environmental opinions on the property.

 

		10.	Roof
                                                                               study and any other engineering or structural studies
                                                                               performed on the property over the past five (5)
                                                                               years.

 

		11.	Any
                                                                               existing geotechnical, engineering, ADA or other
                                                                               reports or documentation regarding the status of
                                                                               the land and structures and the mechanical, electrical,
                                                                               utility and other building systems.

 

		12.	A
                                                                               list of all personal property and equipment used
                                                                               in the operation and management of the property
                                                                               and included in the sale, including all on site
                                                                               vehicles.

 

    	Exhibit C-1

    	 

    
 

		13.	All
                                                                               management contracts or other service agreements
                                                                               regarding maintenance or operation of the property.
                                                                               Agreements to include: elevator maintenance, landscaping,
                                                                               snow removal, fire alarm systems, and all other
                                                                               service agreements or contracts related to the
                                                                               property.

 

		14.	Copies
                                                                               of all warranties of guarantees for HVAC, roof,
                                                                               elevators and equipment.

 

		15.	Aerial
                                                                               photographs (if available).

 

		16.	List
                                                                               of all outstanding litigation.

 

Financial
Due Diligence

 

		17.	Current
                                                                               Rent Roll, including prepaid rent and security/last
                                                                               month’s rent deposits.

 

		18.	Current
                                                                               listing of ancillary revenue utilization and charges
                                                                               by unit/resident.

 

		19.	Lease
                                                                               expiration report.

 

		20.	Current
                                                                               year capital budget.

 

		21.	Capital
                                                                               expenditure recap for last two years.

 

		22.	Current
                                                                               operating budgets broken down by month, including
                                                                               detailed staffing schedules.

 

		23.	Current
                                                                               month and prior 12 months detailed internal operating
                                                                               statements.

 

		24.	Staffing
                                                                               patterns by month for past two years including
                                                                               hours by position, wages by position and wage totals.

 

Operations
Due Diligence

 

		25.	Standard
                                                                               form and all residency agreements including any
                                                                               modifications, addendum’s attachments and
                                                                               Resident Handbooks or House Rules.

 

		26.	Incident
                                                                               reports for the prior one year.

 

		27.	Outline
                                                                               of existing benefits for all associates (including
                                                                               health, vacation, 401k etc.).

 

		28.	Current
                                                                               site organizational chart and job descriptions.

 

		29.	Property
                                                                               Bonus Program.

 

		30.	Prior
                                                                               two years inspection reports and correspondence
                                                                               from licensing agencies; including department of
                                                                               health, state licensing/certification and all other
                                                                               regulatory agencies.

 

		31.	All
                                                                               service agreements related to the operations, including
                                                                               but not limited to pharmacy, beauty shop, transfer,
                                                                               and medical services.

 

    	Exhibit C-2

    	 

    
 

Information
Systems

 

		32.	An
                                                                               inventory of computers, hardware, software applications
                                                                               per community and home office.

 

		33.	Outline
                                                                               payroll process to include pay periods, process,
                                                                               vendors, inventory of time clocks, etc.

 

Marketing
& Sales

 

		34.	All
                                                                               marketing materials including collaterals, schedule
                                                                               of fees, current and past one-year ads, brochures,
                                                                               newsletters, direct mailings and disclosure statements.

 

		35.	Financial
                                                                               and medical criteria for move-in.

 

		36.	24-month
                                                                               occupancy trend on a monthly basis or from opening
                                                                               to the present, itemized by unit type (i.e. IL,
                                                                               AL).

 

		37.	Market
                                                                               feasibility studies; demographics, target markets,
                                                                               etc.

 

		38.	One
                                                                               complete collateral kit per project.

 

		39.	New
                                                                               resident move in packet; lease, forms, handbooks,
                                                                               etc.

 

Insurance
Due Diligence

 

		40.	General
                                                                               and Professional Liability Long Term Care Applications
                                                                               for various insurers, completed for each location.

 

		41.	Statement
                                                                               of property values by location.

 

		42.	Construction,
                                                                               protection and exposure information by property.

 

		43.	Vehicle
                                                                               schedule.

 

		44.	Driver
                                                                               schedule.

 

		45.	Workers
                                                                               Compensation remuneration, by location, by classification.

 

		46.	Copy
                                                                               of the most recent Workers Compensation experience
                                                                               modification and accompanying worksheets.

 

		47.	Detailed
                                                                               descriptions of all open and closed claims over
                                                                               $25,000 in the last five years (minimum).

 

		48.	Most
                                                                               recent State Surveys including re-visits and compliance
                                                                               letters.

 

		49.	Admission
                                                                               Material and Agreements.

 

		50.	Copy
                                                                               of all Licenses.

 

		51.	Contracts
                                                                               with Vendors.

 

		52.	Copy
                                                                               of Safety Program.

 

    	Exhibit C-3

    	 

    

 

 

Exhibit
D

GROUND LEASE ASSIGNMENT

 

ASSIGNMENT
OF GROUND LEASE

 

THIS
ASSIGNMENT OF GROUND LEASE (this “Assignment”) is made as of ____________, 20___ (“Effective Date”)
by and among THE TOWN OF NANTUCKET, MASSACHUSETTS, acting by and through its Board of Selection (“Landlord”),
NANTUCKET ACQUISITION, LLC, a Delaware limited liability company (“Assignor”), and ______________________________
(“Assignee”), with reference to the following facts:

 

RECITALS

 

A.           By
Second Amended and Restated Ground Lease dated as of December 9, 2009, as amended to date (the “Lease”), Landlord
leased to Assignor certain property located at 21 South Shore Road, Nantucket, Massachusetts as such property is further described
therein (the “Property”).

 

B.           Assignor
has entered into a purchase and sale agreement (the “Purchase Agreement”) to sell the Property to Assignee.

 

C.           Pursuant
to the Purchase Agreement, Assignor is obligated to assign to Assignee all of Assignor’s right, title and interest in and
to the Lease.

 

D.           Assignor
and Assignee desire to enter into this Assignment to set forth their respective rights and obligations with respect to the Lease.

 

AGREEMENT

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto
hereby agree as follows:

 

1.          Incorporation
of Recitals. The Recitals are incorporated herein by this reference as though fully set forth.

 

2.          Definitions.
 Except as otherwise expressly provided in this Assignment to the contrary, any capitalized words shall have the meaning
ascribed to them in the Lease.

 

    	Exhibit D-1

    	 

    
 

3.          Assignment
of Lease. Assignor hereby grants, sells, bargains, conveys, transfers and assigns to Assignee all of Assignor’s right,
title and interest in the Lease.

 

4.          Assumption
of Lease. Assignee hereby accepts the sale, bargain, conveyance, transfer and assignment by Assignor to Assignee, its successors
and assigns, of all of Assignor’s right, title and interest in the Lease and hereby assumes all of Assignor’s obligations
and liabilities under the Lease arising on or after the Effective Date (the “Assumed Obligations”), notwithstanding
the later execution and delivery of this Agreement.

 

5.          Consent.
Landlord hereby consents to the assignment made herein from Assignor to Assignee and confirms that it has waived its right of
first refusal relating thereto contained in the Lease and that no assignment or transfer fee is due and payable to Landlord under
Section 12 of the Lease on account of such transfer.

 

6.          Indemnity.
Assignee shall indemnify, protect, defend and hold harmless Assignor from and against any and all Assumed Obligations from and
after the Effective Date. Assignors shall indemnify, protect, defend and hold Assignee harmless from and against any and all liabilities
and obligations under the Lease arising and accruing prior to the Effective Date.

 

7.          Successors
and Assigns. This Assignment shall be binding upon and inure to the benefit of the parties hereto and their respective successors
in interest and assigns.

 

8.          Counterparts.
This Assignment may be executed in one (1) or more counterparts, each of which shall be deemed an original, but all of which when
assembled together shall constitute one (1) and the same instrument.

 

    	Exhibit D-2

    	 

    
 

IN
WITNESS WHEREOF, the parties have executed this Assignment as of the date first written above.

 

	ASSIGNOR:	 	ASSIGNEE:
	 	 	 
	NANTUCKET ACQUISITION, LLC, 

    a Delaware limited liability company	 	_____________________________,
        a

        ________________________

	 	 	 
	By:	Cornerstone Ventures, Inc., a California corporation,
    its ______________ 	 	By:	 
	 	 	 	Name:	 

 

	By:	 	 	 
	Name:	 	 	 
	 	 	 	LANDLORD:
	 	 	 	TOWN OF NANTUCKET
	 	 	 	By its Board of Selectmen
	 	 	 	 
	 	 	 	 
	 	 	 	 
	 	 	 	 

  

	 	 
	 	 
	 	 

 

    	Exhibit D-3

    	 

    

 

Exhibit
E

BILL OF SALE AND GENERAL ASSIGNMENT

 

THIS
BILL OF SALE AND GENERAL ASSIGNMENT (this “Assignment”) is made as of the ___ day of ______________, 20___
(the “Transfer Date”), by and between ____________________, a _________________ (“Assignor”),
and ____________________, a _________________ (“Assignee”).

 

A.           Assignor
and certain affiliates thereof, as seller, and Northbridge Communities, LLC (“Northbridge”), as buyer, entered
into that certain Purchase and Sale Agreement dated as of ___________, 20___ (the “Purchase Agreement”) in
connection with, inter alia, that certain senior housing facility commonly known as ____________, located in ________________
(the “Facility”).

 

B.           Northbridge’s
rights under the Purchase Agreement with respect to the Facility have been assigned to Assignee pursuant to an assignment agreement
by and between Northbridge and Assignee of even date herewith.

 

C.           Pursuant
to the Purchase Agreement, Assignor has agreed to assign, transfer and convey all of its rights, title and interest in, to and
under the Personal Property with respect to the Facility to Assignee.

 

AGREEMENT

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby
agree as follows:

 

1.          Personal
Property. Assignor hereby sells, assigns, transfers and conveys unto Assignee all of Assignor’s rights, title and interest
in, to and under all Personal Property, including, without limitation, (i) all trade names and trademarks associated with the
Facility, including, without limitation, the name "Sherburne Commons" and the trade names set forth in Exhibit B
to the Purchase Agreement, and (ii) all vehicles and equipment listed on Exhibit A attached hereto, subject only to
the Permitted Personal Property Liens, as is, where is and without warranty, express or implied, of merchantability or fitness
for a particular purpose, except as set forth in the Purchase Agreement, TO HAVE AND TO HOLD all of said Personal Property unto
Assignee, its successors and assigns, to its own use forever.

 

2.          Indemnity
by Assignor. Assignor agrees to indemnify, defend and hold Assignee harmless from and against any and all losses, costs, claims,
damages, liabilities and expenses, including, without limitation, reasonable attorneys’ fees and expenses, accruing prior
to the Transfer Date relating to the Personal Property.

 

3.          Indemnity
of Assignee. Assignee agrees to indemnify, defend and hold Assignor harmless from and against any and all losses, costs, claims,
damages, liabilities and expenses, including, without limitation, reasonable attorneys’ fees and expenses, accruing on or
after the Transfer Date relating to the Personal Property.

 

    	Exhibit E-1

    	 

    
 

4.          Prevailing
Party. In the event of any legal or equitable proceeding to enforce any of the terms or conditions of this Assignment, or
any alleged disputes, breaches, defaults or misrepresentations in connection with any provision of this Assignment, the prevailing
party in such proceeding shall be entitled to recover its reasonable costs and expenses, including, without limitation, reasonable
attorneys’ fees and costs of defense paid or incurred in good faith.

 

5.          Counterparts.
This Assignment may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together
shall constitute one and the same instrument. Signature pages may be detached from the counterparts and attached to a single copy
of this Assignment to physically form one document.

 

6.          Definitions.
Capitalized terms used and not otherwise defined herein shall have the meanings given to such terms in the Purchase Agreement.

 

    	Exhibit E-2

    	 

    

 

IN
WITNESS WHEREOF, the parties have executed this Assignment as of the __________ day of __________, 20___.

 

	 	ASSIGNOR:
	 	 
	 	___________________________,
    a                    
	 	___________________________         
	 	 
	 	By:      _______________________, a       

                _______________________
	 	 
	 	By:	___________________________
	 	 	Name:
	 	 	Title:

 

	 	ASSIGNEE:
	 	 
	 	____________________________, a                                      

    _________________ limited liability company
	 	 
	 	By:	___________________________
	 	 	Name:
	 	 	Title:

 

    	Exhibit E-3

    	 

    

 

Exhibit
F

FIRPTA Affidavit

 

Section 1445
of the Internal Revenue Code of 1986, as amended, provides that a transferee of a United States real property interest
must withhold tax if the transferor is a foreign person. To inform the Transferee (hereinafter defined) that withholding of tax
is not required upon the disposition of a United States real property interest by _________________________________, a __________
(the “Transferor”) to ___________________________________, a ___________ (the “Transferee”),
the undersigned, being first duly sworn upon oath, does hereby depose and say, and does hereby certify the following on behalf
of the Transferor:

 

1.          The
undersigned is the ____________________ of the Transferor and is familiar with the business of the Transferor;

 

2.          The
Transferor is not a foreign person;
that is, the Transferor is not a nonresident alien, a foreign corporation, foreign partnership, foreign trust or foreign estate
(as all such terms are defined in the Internal Revenue Code of 1986, as amended, and United States Treasury Department Income
Tax Regulations in effect as of the date hereof);

 

3.          The
Transferor is a corporation duly
organized, validly existing and in good standing under the laws of the State of ____________;

 

4.          The
Transferor’s United States
employer identification number is __________;

 

5.          The
Transferor’s office address and principal place of business is ___________________; and

 

6.          This
certificate and affidavit is made to induce the Transferee to consummate the transactions contemplated by the Transferor and Transferee.

 

The Transferor
understands that this affidavit and certification may be disclosed to the United States Internal Revenue Service by the Transferee
and that any false statement contained herein could be punished by fine, imprisonment, or both.

 

Under penalties
of perjury, the undersigned declares that he has examined this affidavit and certificate, and to the best of the undersigned’s
knowledge and belief, it is true, correct and complete. The undersigned further declares that he has authority to sign this affidavit
and certificate on behalf of the Transferor.

 

    	Exhibit F-1

    	 

    

 

This affidavit
and certificate is executed and delivered as of the ___ day of _______________, 20___.

 

	 	 	 
	 	 	,
	 	a	 	 

 

	 	By:	 
	 	 	Name:
	 	 	Title:

  

STATE OF ____________)

                              )
SS.

COUNTY OF                    )

 

I,
_____________________, a notary public in and for said County, in the State aforesaid, DO HEREBY CERTIFY that ______________________
personally known to me to be the __________________ of _______________________________________, a _________, and personally known
to me to be the same person whose name is subscribed to the foregoing instrument, appeared before me this day in person and acknowledged
that as such _____________, he/she signed and delivered the said instrument, pursuant to authority, given by the Board of Directors
of said corporation as his/her free and voluntary act, and as the free and voluntary act of said corporation, for the uses and
purposes herein set forth.

 

GIVEN
under my hand and official seal this _____ day of ___________, 20__.

 

	 	Notary Public
	 	 
	 	 
	 	My Commission Expires:__________

 

    	Exhibit F-2

    	 

    

 

Exhibit
G

Form of Ground Lease Amendment

 

AMENDMENT
TO SECOND AMENDED AND RESTATED GROUND LEASE

 

This
AMENDMENT TO SECOND AMENDED AND RESTATED GROUND LEASE (this “Amendment”) is dated as of ___________,
2012 and is made by and between THE TOWN OF NANTUCKET, MASSACHUSETTS, acting by and through its Board of Selection (the
“Landlord”) and NANTUCKET ACQUISITION, LLC, a Delaware limited liability company (“Ground Tenant”).

 

RECITALS

 

A.           WHEREAS,
by Second Amended and Restated Ground Lease dated as of December 9, 2009 (the “Lease”), Landlord leased to
Ground Tenant certain property located at 21 South Shore Road, Nantucket, Massachusetts as such property is further described
therein (the “Property”).

 

B.           WHEREAS,
Ground Tenant desires to market for sale all of its right, title and interest in the Lease and, in connection with such marketing,
has requested that the Landlord enter into this amendment of the Lease; and

 

NOW, THEREFORE,
in consideration of the foregoing recitals, the obligations, rights and benefits contained herein, and for other valuable consideration
the receipt and sufficiency of which is hereby acknowledged, Landlord and Ground Tenant (collectively, the “Parties”)
hereby agree as follows:

 

1.          Side
Letter re: Adult Community Day Care and Skilled Nursing. Landlord and Tenant acknowledge and agree that the undertakings set
forth in Paragraph 4(p) of the Lease have been satisfied and that said Paragraph 4(p) is hereby deleted from the Lease.

 

2.          Assignments
and Transfers. The Lease is hereby amended by adding the following as a new sentence at the end of the fourth full paragraph
of Paragraph 12 of the Lease:

 

“Notwithstanding
anything herein to the contrary contained in this Amended Ground Lease, the Ground Tenant shall be permitted, without the Landlord’s
prior written consent, to: (i) mortgage, collaterally assign, or grant security interests in its leasehold estate and other interests
in the Property and this Amended Ground Lease pursuant to Paragraph 23 hereof and (ii) to enter into leases, subleases, and occupancy
agreements with commercial tenants or service providers for less than 500 square feet of space or with tenants or occupants of
any residential units.”

 

    	 

    	 

    
 

3.          Condemnation.
If title to, or the permanent or temporary use of, all or a part of the Property is taken under the exercise of the power of eminent
domain to such extent that in the Ground Tenant’s reasonable determination, (i) the Property and the improvements thereon
cannot reasonably be expected to be restored, within a period of six months from the commencement of restoration, to a condition
of usefulness comparable to that existing prior to the taking, or (ii) as a result of the taking, normal use and operation of
the Project is reasonably expected to be prevented for a period of six consecutive months or more, then, within 90 days following
the date of entry of a final order in any eminent domain proceeding, the Ground Tenant may elect to terminate this Amended Ground
Lease by giving at least 30 days written notice to Landlord. In the event of such termination, the net proceeds or award of such
eminent domain shall be applied as follows: first, to payment of the outstanding principal balance, unpaid interest and other
amounts due under any Leasehold Mortgages; second, to reimburse the Ground Tenant in an amount equal to the Ground Tenant's unamortized
cost of acquiring, constructing, installing and/or equipping any buildings and other improvements on the Property; and the balance
to the Landlord and Ground Tenant to be apportioned between them based on their respective interests in the Property as encumbered
by this Amended Ground Lease. If the Ground Tenant does not elect to terminate this Amended Ground Lease, the net proceeds or
award of such eminent domain shall be paid to the Ground Tenant and/or its Leasehold Mortgagee and used to repair and replace
the Property and the buildings and other improvements thereon as nearly as practicable to the condition and character thereof
existing immediately prior to such taking, with such changes or alterations, however, as the Ground Tenant may reasonably deem
necessary for proper operation of the Property.

 

4.          Skilled
Nursing Facility. The parties hereto agree that notwithstanding anything to the contrary contained in Section 13 of the Lease
regarding the footprint for any skilled nursing facility, the location of such footprint and the portion of Ground Tenant’s
leasehold interest that may be taken back by Landlord shall be located in and limited to the area designated as “Possible
Future Skilled Nursing Facility” on the map attached hereto as Exhibit A and made a part hereof. If Ground Tenant
does not exercise its right to develop such skilled nursing facility, the following costs incurred by Ground Tenant and necessitated
by the development, construction or operation of such skilled nursing facility shall be paid for or reimbursed by Landlord and
the developer and operator of such facility: (a) architectural, engineering, construction and legal services or work; (b) utilities,
access, parking, landscaping, or other site work; and (c) redevelopment, replacement and reconstruction of any buildings, improvements
or appurtenances used or owned by Ground Tenant and located within the footprint of such skilled nursing facility or affected
by its development, construction or operation.

 

5.          Leasehold
Mortgages. The Lease is hereby amended by adding the following as a new Paragraph 23 of the Lease:

 

    	2

    	 

    
 

“23.        Leasehold
Mortgages.

 

Ground
Tenant shall have the right to mortgage any or all of its interest in this Amended Ground Lease. If Ground Tenant shall mortgage
its leasehold interest hereunder pursuant to any leasehold mortgage or similar security instrument (each, a “Leasehold
Mortgage”), and if the holder of any such Leasehold Mortgage (together with its successors and/or assigns, a “Leasehold
Mortgagee”) shall forward written notice setting forth the name and address of said Leasehold Mortgagee, then, until
the time that said mortgage has been irrevocably satisfied:

 

(a)          This
Lease shall not be amended, amended, modified, subordinated, cancelled, or surrendered without the prior written consent of Leasehold
Mortgagee.

 

(b)          If
Landlord shall give any notice, demand, election or other communication (hereafter in this Paragraph (only) collectively referred
to as “Notices”, and individually, as a “Notice”) to Ground Tenant hereunder, Landlord shall
at the same time give a copy of each such Notice to said Leasehold Mortgagee at the address theretofore designated by said Leasehold
Mortgagee. Such copies of Notices shall be given in the same manner and subject to the same terms and conditions as other notices
given under this Amended and Restated Lease. No Notice given by Landlord to Ground Tenant shall be binding upon or affect said
Leasehold Mortgagee unless a copy of said Notice shall be given to said Leasehold Mortgagee pursuant to this Paragraph.

 

(c)          Until
such time as any leasehold mortgage has been irrevocably satisfied in full, Leasehold Mortgagee shall have the right, but not
the obligation, to perform any term, covenant, condition or agreement, to exercise any and all of Ground Tenant’s rights
under this Amended Ground Lease (specifically including, but not limited to, the option to extend the term as provided for in
this Amended and Restated Lease), and to remedy any default by Ground Tenant hereunder. Landlord shall accept such performance
by said Leasehold Mortgagee with the same force and effect as if performed, exercised and/or remedied by Ground Tenant.

 

(d)          In
case of a default by Ground Tenant in the performance or observance of any term, covenant, condition or agreement on Ground Tenant’s
part to be performed under this Amended and Restated Lease, then Landlord shall not serve a notice of election to terminate this
Amended and Restated Lease pursuant to this Amended and Restated Lease, or otherwise terminate the leasehold estate of Ground
Tenant hereunder by reason of such default, if and so long as:

 

    	3

    	 

    
 

(i)          in
the case of a default in the payment of basic rent, said Leasehold Mortgagee shall make such payment, together with any late fee
or penalty, if any (collectively, the “Rent”) within thirty (30) days after written notice thereof by Landlord;

 

(ii)         in
the case of a default which can be practicably cured by said Leasehold Mortgagee without taking possession of the Property, said
Leasehold Mortgagee shall cure such default within ninety (90) days after written notice thereof by Landlord or if such default
is not reasonably susceptible of being cured within such ninety (90) day period, such longer period of time as is necessary to
cure such default so long as Leasehold Mortgagee has commenced and is diligently pursuing said cure;

 

(iii)        in
the case of a default which cannot practicably be cured by said Leasehold Mortgagee without taking possession of the Property,
said Leasehold Mortgagee shall proceed diligently to obtain possession of the Property as mortgagee (including possession by a
receiver), and, upon obtaining such possession, shall proceed diligently to cure such default; and

 

(iv)        in
the case of default which is not susceptible of being cured by said Leasehold Mortgagee, said Leasehold Mortgagee shall institute
foreclosure proceedings and diligently prosecute the same to completion (unless in the meantime said Leasehold Mortgagee shall
acquire Ground Tenant’s estate hereunder, either in its own name or through a nominee, by assignment in lieu of foreclosure).

 

Notwithstanding
anything to the contrary contained herein, Leasehold Mortgagee shall not be required to continue to proceed to obtain possession,
or to continue in possession as mortgagee, of the Property pursuant to Paragraph 23(d)(iii) above, or to continue to prosecute
foreclosure proceedings pursuant to Paragraph 23(d)(iv) above, if and when such default shall be cured. If said Leasehold Mortgagee,
or its nominee, or a purchaser at a foreclosure sale, shall acquire title to Ground Tenant’s leasehold estate hereunder,
and shall cure all defaults of Ground Tenant hereunder which are susceptible of being cured by said Leasehold Mortgagee, or by
said purchaser, as the case may be, then the defaults of any prior holder of Ground Tenant’s leasehold estate hereunder
which are not susceptible of being cured by said Leasehold Mortgagee (or by said purchaser) shall no longer be deemed to be defaults
hereunder. Leasehold Mortgagee shall have no liability under this Amended Ground Lease unless it forecloses and actually operates
the Property after such foreclosure or assignment in lieu of foreclosure.

 

    	4

    	 

    
 

(e)          If
Ground Tenant shall reject or disaffirm this Amended and Restated Lease pursuant to any bankruptcy law, Landlord shall give to
Leasehold Mortgagee written notice of such rejection or disaffirmance, together with a statement of all Rent then due and payable
by Ground Tenant under this Amended and Restated Lease (without giving effect to any acceleration of the due date of any such
payment of Rent), and of all other defaults under this Amended and Restated Lease. Leasehold Mortgagee shall have the right (but
not the obligation), to give to Landlord within thirty (30) days after receipt by such Leasehold Mortgagee of such notice from
Landlord, a notice that such Leasehold Mortgagee elects to (a) assume this Amended and Restated Lease, and (b) cure all then-existing
outstanding balance of Rent concurrently with such assumption of all non-monetary defaults (except for defaults of the type specified
in Section 365(b)(2) of the Bankruptcy Code or which are impossible for Leasehold Mortgagee to cure) with reasonable diligence.
In the event of such election, (i) Ground Tenant’s rejection or disaffirmance of this Amended and Restated Lease shall not
constitute a termination of this Amended and Restated Lease, (ii) Ground Tenant and such Leasehold Mortgagee’s interest
in the Facility shall remain in effect (except to the extent Ground Tenant’s interest therein shall have terminated or been
transferred in connection with any enforcement of any Leasehold Mortgage) and shall not be terminated or subjected to any divestiture
or defeasance as a result of such rejection or disaffirmance, (iii) such Leasehold Mortgagee may assume the obligations of Ground
Tenant without any instrument of assignment or transfer from Ground Tenant, (iv) such Leasehold Mortgagee’s rights under
this Amended and Restated Lease shall be free and clear of all rights, claims and encumbrances of or in respect of Ground Tenant,
(v) such Leasehold Mortgagee shall consummate the assumption of this Amended and Restated Lease and the payment of the amounts
payable by it to Landlord as provided above at a closing to be held at the office of such Leasehold Mortgagee on the thirtieth
(30th) business day after such Leasehold Mortgagee shall have given to Landlord the notice hereinabove provided for,
and (vi) upon an assignment of this Amended and Restated Lease by such Leasehold Mortgagee, such Leasehold Mortgagee shall be
relieved of all obligations and liabilities arising from and after the date of such assignment.

 

(f)          If
Landlord (whether as debtor in possession or otherwise) or any trustee of Landlord shall reject or disaffirm this Amended and
Restated Lease pursuant to the Bankruptcy Code, (i) Ground Tenant, without further act or deed, shall be deemed to have elected
to remain in possession of the Property for the balance of the term hereof (including any extension or renewal terms) (unless
Leasehold Mortgagee shall otherwise consent in writing), and (ii) this Amended and Restated Lease shall not be terminated, or
be deemed to have terminated, unless Ground Tenant (with the written consent of Leasehold Mortgagee) shall elect to treat this
Amended and Restated Lease as terminated under Section 365 of the Bankruptcy Code. Any exercise or attempted exercise by Ground
Tenant of any right to treat this Amended and Restated Lease as terminated after any rejection or disaffirmance of this Amended
and Restated Lease by Landlord (whether as debtor in possession or otherwise) or any trustee of Landlord shall be void unless
consented to in writing by Leasehold Mortgagee. In the absence of such election with such consent, this Amended and Restated Lease
shall not be treated as terminated under any provision of the Bankruptcy Code, and this Amended and Restated Lease shall continue
in full force and effect in accordance with its terms (except that Ground Tenant shall have the rights conferred under Section
365 of the Bankruptcy Code), and the rights of any Leasehold Mortgagee shall not be affected or impaired by such rejection or
disaffirmance.

 

    	5

    	 

    
 

(g)          If
this Amended and Restated Lease shall terminate pursuant to the terms hereof, or shall otherwise terminate by reason of a default
of Ground Tenant hereunder, and if within thirty (30) days after such termination said Leasehold Mortgagee, by written notice
to Landlord, shall request Landlord to enter into a new lease pursuant to this Paragraph, then Landlord shall enter into a new
lease of the Property and all improvements thereon with said Leasehold Mortgagee (or its nominee which is approved by Landlord),
within thirty (30) days after the giving of said written notice by said Leasehold Mortgagee, if said Leasehold Mortgagee shall
comply with the following provisions of this Paragraph. Leasehold Mortgagee shall agree to cure all of the defaults of the Ground
Tenant under this Amended and Restated Lease which are susceptible of being cured by said Leasehold Mortgagee. Said new lease
shall commence, and rent and all obligations of the Ground Tenant under the new lease shall accrue, as of the date of termination
of this Amended and Restated Lease. The term of said new lease shall continue for the period which would have constituted the
remainder of the term of this Amended and Restated Lease had this Amended and Restated Lease not been terminated, and shall be
upon all of the terms, covenants, conditions, conditional limitations and agreements contained herein which were in force and
effect on the date of termination of this Amended and Restated Lease, but excluding such terms, covenants, agreements and conditions
which have been fully performed prior to that time or which are not reasonably susceptible to being kept, observed or performed
by such Leasehold Mortgagee or which are otherwise inapplicable. Said new lease, and this covenant, shall be superior to all rights,
liens and interests intervening between the date of this Amended and Restated Lease and the granting of said new lease, and shall
be free of any and all rights of Ground Tenant hereunder. The provisions of the immediately preceding sentence shall be self-executing,
and Landlord shall have no obligation to do anything, other than to execute said new lease as herein provided, to assure to said
Leasehold Mortgagee or to the Ground Tenant under the new lease good title to the leasehold estate granted thereby. Each subtenant
of space in the Property, if any, whose sublease was in force and effect immediately prior to the delivery of said new lease shall
attorn to the Ground Tenant under the new lease, unless said Ground Tenant shall, at its option, elect to dispossess said subtenant
or otherwise terminate the sublease held by said subtenant. Each subtenant who hereafter subleases space within the Property shall
be deemed to have agreed to the provisions of this paragraph. The foregoing shall not be deemed to obligate Landlord to keep any
sublease in force and effect after the termination of this Amended and Restated Lease, nor shall Landlord have any obligation
to terminate any sublease simultaneously with the termination of this Amended and Restated Lease. Said Leasehold Mortgagee shall,
simultaneously with the delivery of the new lease by Landlord, pay to Landlord all Rent due under this Amended and Restated Lease
on the date of termination of this Amended and Restated Lease and then remaining unpaid. Simultaneously therewith, Landlord shall
pay or credit to said Leasehold Mortgagee any rentals, less costs and expenses of collection, received by Landlord between the
date of termination of this Amended and Restated Lease and the date of execution of said new lease, from subtenants or other occupants
of the Property, if any, which shall not theretofore have been applied by Landlord towards the payment of rent or any other sum
of money payable by Ground Tenant hereunder or towards the cost of operating the Property and all buildings and improvements thereon
or performing the obligations of Ground Tenant hereunder.

 

    	6

    	 

    
 

(h)          Except
as provided in the foregoing Paragraph 23(g) no mortgage now or hereafter a lien upon this Amended and Restated Lease shall extend
to or affect in any manner whatsoever the reversionary interest and estate of Landlord in and to the Property or in any manner
attach to or affect the Property from and after any expiration or termination of this Amended and Restated Lease.

 

(i)          Notwithstanding
anything to the contrary contained herein, in the event of any foreclosure proceeding or deed-in-lieu of foreclosure transaction:
(A) Landlord’s consent shall not be required for the sale, purchase, conveyance, transfer or acquisition of the Property
or any interest in this Amended Ground Lease pursuant to any such proceeding or transaction; (B) Leasehold Mortgagee, or any other
party who purchases or acquires the Property or any interest in this Amended Ground Lease in such proceeding or transaction shall
not be obligated to pay to Landlord the fee specified in Paragraph 12 hereof and payment of such fee is hereby waived by Landlord;
and (C) the ROFR set forth in Paragraph 12 hereof shall not apply to such proceeding or transaction and is hereby waived by Landlord.

 

(j)          There
shall be no merger of Ground Tenant’s leasehold estate under this Amended and Restated Lease with the fee estate in the
Property by reason of the fact that Ground Tenant’s leasehold estate may be held directly or indirectly by or for the account
of any person who shall also hold directly or indirectly the fee estate, or any interest in such fee estate, no shall there be
any such merger by reason of the fact that all or any part of Ground Tenant’s leasehold estate may be conveyed or mortgaged
to a Leasehold Mortgagee who shall also hold directly or indirectly the fee estate, or any part thereof, in the Property or any
interest of Landlord under this Amended and Restated Lease.

 

    	7

    	 

    
 

(k)          Landlord
waives and relinquishes any landlord’s lien, all rights of levy, distress or distraint and all claims and demands of every
kind against any of the Ground Tenant’s property now or hereafter located at the Property, including, without limitation,
Ground Tenant’s present and future inventory, equipment and all tangible property now owned or hereafter acquired by the
Ground Tenant (collectively, the “Goods”, which term, as used herein, shall not include any property owned
by the Landlord or required to support the structure of, or to heat or cool as a whole, the building located on the Property or
which would cause material structural damage or constitute a material adverse alteration to the structure of the Property if removed).
Without limiting the foregoing provisions of this Paragraph, Leasehold Mortgagee or its receiver or any officer or other representative
of Leasehold Mortgagee, may, at its option, from time to time enter the Property for the purpose of inspecting, possessing, removing,
selling (by way of public or private auction), advertising for sale or otherwise dealing with the Goods, and such license shall
be irrevocable and shall continue from the date the Leasehold Mortgagee enters the Property for as long as it deems necessary
but not to exceed a period of ninety (90) days after the receipt by the Leasehold Mortgagee of written notice by the Landlord
directing removal of the Goods.

 

(l)          Landlord
hereby represents and warrants that there are no fee mortgages encumbering the Property as of the date hereof. Landlord shall
not grant any fee mortgage after the date hereof unless and until the Landlord’s mortgagee shall have entered into a satisfactory
non-disturbance agreement with Leasehold Mortgagee providing, among other things, that the Landlord’s mortgagee shall not
take any action to terminate this Amended Ground Lease as a result of a default thereunder unless and until Leasehold Mortgagee
shall have first been given notice and opportunity to cure such default as is required herein.

 

(m)          In
the case of any casualty or similar event, any proceeds from the policies of insurance maintained by Ground Tenant or otherwise
for the benefit of said Leasehold Mortgagee shall be applied to pay the costs of repair and restoration resulting from such casualty
or similar event, provided that any and all conditions contained in the Leasehold Mortgage and the loan documents related thereto
regarding the disposition of insurance proceeds have been satisfied; otherwise, such insurance proceeds shall be applied and used
as provided for in the Leasehold Mortgage and the loan documents related thereto. In the case of any condemnation, any awards
for a total taking received by Ground Tenant shall be paid to the Leasehold Mortgagee and any awards for a partial taking shall
be payable to the Leasehold Mortgagee or an insurance trustee for restoration with the excess, if any, to be payable to the Leasehold
Mortgagee, provided that any and all conditions contained in the Leasehold Mortgage and the loan documents related thereto regarding
the disposition of condemnation awards have been satisfied; otherwise, such condemnation awards shall be applied and used as provided
for in the Leasehold Mortgage and the loan documents related thereto.

 

    	8

    	 

    
 

(n)          Leasehold
Mortgagee shall be named as an additional insured on each and every hazard-type insurance policy required hereunder.

 

(o)          Landlord
and Ground Tenant will from time to time upon not less than twenty (20) days’ prior written request deliver an estoppel
certificate in favor of the other party to this Amended Ground Lease or any proposed mortgagee or purchaser certifying (i) whether
this Amended Ground Lease is in full force and effect, (ii) whether this Amended Ground Lease has been modified or amended and,
if so, describing any such modification or amendment, (iii) the date to which rent and other charges have been paid and the amounts
and due dates of the remaining installments of rent due under the Lease, (iv) whether the party furnishing such certificate knows
of any default on the part of the other party or has any claim against such party and, if so, specifying the nature of such default
or claim, (v) if applicable, Landlord’s receipt of the name and address of any Leasehold Mortgagee and that the terms and
conditions of this Agreement shall exist for the benefit of said Leasehold Mortgagee, and (v) any other matters reasonably requested
concerning the Lease.”

 

6.            Condominium.

 

(a)          Subparagraph
d. of Paragraph 4 of the Lease is hereby deleted and replaced with the following: “d. Intentionally Omitted.”

 

(b)          The
Lease is hereby amended by adding the following as a new Paragraph 24 of the Lease:

 

“24.        Condominimum.
Ground Tenant shall have the right to adopt one or more condominium, co-operative, tenancy in common, or other similar forms of
multiple owner ownership of the Facility or units therein and to market, sell or lease parts of the Facility or units therein
or other rights; provided, however, that in each case: (a) this Amended Ground Lease shall be superior to any such condominiums,
co-operatives, tenancies in common, and other forms of ownership, which shall remain subject and subordinate to the terms and
conditions of this Amended Ground Lease; (b) Ground Tenant shall be liable for the payment of any remaining amounts due to “EF
Current Residents” to the extent required under Section 4.7 of the Liquidating Trust Agreement dated as of December __,
2009 entered in the Chapter 11 Case No. 08-18026-WCH of the U.S. Bankruptcy Court for the District of Massachusetts as a result
of re-sales of the residential units of such “EF Current Residents”; and (c) any and all documents and actions executed
and taken by Ground Tenant in connection with such condominiums, co-operatives, tenancies in common, and other forms of ownership
shall be done in compliance with all applicable statutes, regulations, and other legal requirements.”

 

    	9

    	 

    
 

7.          On
or after the date hereof, each reference in the Lease to this “Lease”, “this Amended and Restated Lease”,
“hereunder”, “herein”, “hereof” or words of similar meaning shall mean and be a reference
to the Lease as amended hereby.

 

8.          Except
as specifically set forth herein, the Lease shall remain in full force and effect and is hereby ratified and confirmed.

 

9.          If
any term or provision of this Agreement is to any extent held invalid or unenforceable, the remaining terms of this Agreement
will not be affected thereby, but each term and provision of this Agreement will be valid and enforceable to the fullest extent
permitted by law. This Agreement shall be governed by the laws of the Commonwealth of Massachusetts and shall be binding upon
and inure to the benefit of the successors and assigns of each party hereto.

 

[Remainder
of this page intentionally left blank; Signature Page follows]

 

    	10

    	 

    

 

IN WITNESS
WHEREOF, the undersigned have executed this Amendment of the Lease on and as of the date first above set forth.

 

	 	LANDLORD:
	 	 
	 	TOWN OF NANTUCKET
	 	 
	 	By its Board of Selectmen
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	 
	 	GROUND TENANT:
	 	 
	 	NANTUCKET ACQUISITION, LLC, a Delaware limited liability company

 

	 	By:	Cornerstone Ventures, Inc., a California
    corporation, its ________________

 

	 	By:	 
	 	 	Name:
	 	 	Title:

 

    	Exhibit G-1

    	 

    

 

Exhibit
H

Title Matters

 

		1.	Rights
                                                                               of residents under Residency Agreements.

 

		2.	Liens
                                                                               for taxes and municipal charges not yet due and
                                                                               payable as of the Closing Date.

 

		3.	Terms
                                                                                                                 and provisions
                                                                                                                 of that certain
                                                                                                                 Amended and Restated
                                                                                                                 Lease, dated
                                                                                                                 December 9, 2009,
                                                                                                                 among the Town
                                                                                                                 of Nantucket,
                                                                                                                 as Landlord,
                                                                                                                 Sherburne Commons,
                                                                                                                 Inc. and Nantucket
                                                                                                                 Acquisition LLC,
                                                                                                                 as Ground Tenant,
                                                                                                                 Notice of which
                                                                                                                 is recorded with
                                                                                                                 said Deeds, Book
                                                                                                                 1213, Page 226.

 

		4.	Terms
                                                                               and provisions of an Order of Taking for Sewer
                                                                               Easement to the Town of Nantucket dated August
                                                                               12, 1981, recorded in Book 185, Page 6.

 

		5.	Terms
                                                                                                                 and provisions
                                                                                                                 of a License
                                                                                                                 Agreement between
                                                                                                                 Sherburne Commons,
                                                                                                                 Inc., and Nantucket
                                                                                                                 Electric Company,
                                                                                                                 dated August
                                                                                                                 4, 2006 and recorded
                                                                                                                 in Book 1036,
                                                                                                                 Page 168.

 

		6.	Terms
                                                                                                                 and provisions
                                                                                                                 of a License
                                                                                                                 Agreement between
                                                                                                                 Sherburne Commons,
                                                                                                                 Inc., and Verizon
                                                                                                                 New England,
                                                                                                                 Inc., dated October
                                                                                                                 10, 2006 and
                                                                                                                 recorded in Book
                                                                                                                 1049, Page 281.

 

		7.	Terms
                                                                                                                 and provisions
                                                                                                                 of an Order Confirming
                                                                                                                 First Amended
                                                                                                                 Plan of Liquidation
                                                                                                                 filed November
                                                                                                                 30, 2009 with
                                                                                                                 the United States
                                                                                                                 Bankruptcy Court
                                                                                                                 District of Massachusetts
                                                                                                                 as Case 08-18026
                                                                                                                 recorded on December
                                                                                                                 28, 2009 in Book
                                                                                                                 1213, page 163.

 

		8.	Order
                                                                                                                 of Conditions
                                                                                                                 (SE48-1643) dated
                                                                                                                 August 8, 2003
                                                                                                                 and recorded
                                                                                                                 at Book 870,
                                                                                                                 Page 43.

 

    	Exhibit H-1

    	 

    

 

Exhibit
I

List of Environmental Reports

 

None

 

    	Exhibit I-1

    	 

    

 

Exhibit
J

 

Notice
Addresses

 

	(a)	Seller:	With a copy to:
	 	 	 
	 	Nantucket Acquisition LLC	Jennifer R. Berland, Esq.
	 	c/o Cornerstone	425 Market St., 26th Floor
	 	1920 Main St, Suite 400,	San Francisco, CA 90275
	 	Irvine, California 92614	Phone: 415-995-5837
	 	Attention: Kent Eikanas                                   	Fax: 415-995-3409
	 	Facsimile: (949) 852-2729	Email: JBerland@hansonbridgett.com
	 	E-Mail: KEikanas@crefunds.com	 
	 	 	 
	(b)	Buyer:	With a copy to:
	 	Northbridge Communities, LLC	 
	 	15 Third Avenue	Frank A. Appicelli, Esq.
	 	Burlington, MA 01803	Bingham McCutchen LLP
	 	Attn:  James C. Coughlin, Managing Member	One State Street, Hartford, CT 06103
	 	Phone: (781) 238-4851	Phone:  860-240-2984
	 	Fax: (781) 272-0846	Fax:  860-240-2540
	 	Email: jcoughlin@northbridgecos.com	Email: frank.appicelli@bingham.com
	 	 	 
	(c)	Escrow Agent and Title Company:	 
	 	Commonwealth Land Title Insurance Company	 
	 	265 Franklin Street, 8th Floor	 
	 	Boston, MA 02110	 
	 	Attn:  Robert Capozzi	 
	 	Phone: (617) 619-4810	 
	 	Fax: (617) 851-8294	 
	 	Email: Robert.Capozzi@fnf.com	 

 

    	Exhibit J-1Exhibit 4.1

 

FORBEARANCE AGREEMENT AND AMENDMENT

 

This FORBEARANCE
AGREEMENT AND AMENDMENT ("Agreement") is dated as of November 8, 2012, and is entered into by and among Global
Axcess Corp. a Nevada corporation ("Global Axcess"), Nationwide Money Services Inc., a Nevada corporation ("NMS"),
Nationwide Ntertainment Services, Inc., a Nevada corporation ("NNS"), and EFT Integration, Inc., a Florida corporation
("EFT"; together with Global Axcess, NMS and NNS collectively, the "Borrowers" and each individually
a "Borrower"), Insta Video, Inc., a Nevada corporation, in its capacity as a Guarantor, Fifth Third Bank ("Lender")
and Fifth Third Equipment Finance Company (f/k/a The Fifth Third Leasing Company) ("Lessor"; together with Lender,
the "Fifth Third Parties").

 

WHEREAS, Borrowers and
Lender are parties to (i) that certain Loan and Security Agreement dated June 18, 2010 (as amended, supplemented or otherwise modified
from time to time, the "Initial Loan Agreement"), (ii) that certain Global Axcess 2011 Loan and Security Agreement
dated September 28, 2011 (as amended, supplemented or otherwise modified from time to time, the "2011-A Loan Agreement"),
(iii) that certain Global Axcess 2011-B Loan and Security Agreement dated November 23, 2011 (as amended, supplemented or otherwise
modified from time to time, the "2011-B Loan Agreement"), and (iv) that certain Global Axcess 2011-C Loan and
Security Agreement dated on or about December 29, 2011, by and among Borrowers and Lender (as amended, supplemented or otherwise
modified from time to time, the "2011-C Loan Agreement"; together with the Initial Loan Agreement, the 2011-A
Loan Agreement, and the 2011-B Loan Agreement, collectively, the "Loan Agreements");

 

WHEREAS, Global Axcess,
NMS and NNS (collectively, the "Lessees" and each individually a "Lessee") and Lessor are parties
to (i) that certain Master Equipment Lease Agreement dated June 18, 2010 (as amended, supplemented or otherwise modified from time
to time, the "Master Lease Agreement"), (ii) Equipment Schedule No. 001 dated March 21, 2011, (iii) Equipment
Schedule No. 002 dated November 21, 2011, (iv) Equipment Schedule No. 003 dated February 10, 2012, (v) Equipment Schedule No. 004
dated February 10, 2012, (vi) Equipment Schedule No. 005 dated February 10, 2012, (vii) Equipment Schedule No. 006 dated February
10, 2012, (viii) that certain Interim Funding Schedule No. 001, and (ix) that certain Interim Funding Schedule No. 002 dated January
19, 2012 (the Master Lease Agreement, together with the other lease agreements and schedules referenced in clauses (ii)-(ix) above
and any other lease agreements and/or schedules executed in connection therewith, in each case as amended, supplemented or otherwise
modified from time to time, are collectively referred to herein as the "Lease Agreements");

 

WHEREAS, (a) EFT (in
such capacity, a "Guarantor") executed that certain Continuing Guaranty dated as of June 18, 2010 (the "EFT
Guaranty") in favor of the Fifth Third Parties and others constituting the "Beneficiary" (as defined in the
Guaranty), pursuant to which EFT guaranteed all "Obligations" (as defined in the EFT Guaranty) in favor of the Fifth
Third Parties and such others that constitute the Beneficiary; and (b) Insta Video, Inc., a Nevada corporation ("Insta
Video"; together with EFT, the "Guarantors"; the Guarantors together with the Borrowers are hereinafter collectively
referred to as the "Loan Parties" and each individually as a "Loan Party") executed that certain
Guaranty dated as of October 5, 2012 (the "Insta Video Guaranty"; together with the EFT Guaranty, the "Guarantees"),
pursuant to which Insta Video guaranteed the "Guaranteed Obligations" (as defined in the Insta Video Guaranty);

 

    	 

    	 	

    
 

WHEREAS, as of the date
hereof, Borrowers are in default under the Loan Agreements and the Lease Agreements as more particularly described below;

 

WHEREAS, the circumstances
described herein constitute multiple Events of Default under the Loan Agreements, the Lease Agreements and the other Loan Documents;

 

WHEREAS, Borrowers
have requested that the Fifth Third Parties forbear from exercising their rights as a result of such Events of Default, which are
continuing, notwithstanding such Events of Default; and

 

WHEREAS, the Fifth Third
Parties are willing to agree to forbear from exercising certain of their rights and remedies solely for the period and on the terms
and conditions set forth herein.

 

NOW THEREFORE, in consideration
of the mutual conditions and agreements set forth in the Loan Agreements, the Lease Agreements and this Agreement, and other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

1.                 
Definitions. Capitalized terms used in this Agreement, unless otherwise defined herein, shall have the meanings
ascribed to such terms in the Loan Agreements. The following terms, however shall have the respective meanings given to them below:

 

"Existing Defaults"
shall mean the Events of Default more particularly identified on Exhibit A hereto.

 

"Forbearance Period"
means the period commencing on the date hereof and ending on the date which is the earliest of (i) February 15, 2013, (ii) the
occurrence or existence of any Event of Default, other than the Existing Defaults, or (iii) the occurrence of any Termination Event.

 

"Termination Event"
means the initiation of any action by any Borrower or any Releasing Party (as defined below) to invalidate or limit the enforceability
of any of the acknowledgments set forth in Section 2, the release set forth in Section8(i) or the covenant not to sue set forth
in Section8(j).

 

2.                 
Acknowledgements.

 

(a)               
Acknowledgment of Obligations. Loan Parties hereby acknowledge, confirm and agree that, as of the close of business
on November 7, 2012, (i)  Borrowers are indebted to Lender in respect of the Loans under the Initial Loan Agreement in the
aggregate principal amount of not less than $3,130,005.47, (ii) Borrowers are indebted to Lender in respect of the Loans under
the 2011-A Loan Agreement in the aggregate principal amount of not less than $517,042.79, (iii) Borrowers are indebted to
Lender in respect of the Loans under the 2011-B Loan Agreement in the aggregate principal amount of not less than $916,416.11,
(iv) Borrowers are indebted to Lender in respect of the Loans under the 2011-C Loan Agreement in the aggregate principal
amount of not less than $85,869.06, (v) Lessees are indebted to Lessor in respect of the Rent (as defined in the Master Lease Agreement)
under the Lease Agreements in the aggregate principal amount of not less than $7,402,671.21, and (vi) as of October 31, 2012, the
mark-to-market with respect to the Rate Management Obligations was an aggregate amount of not less than $551,000. Loan Parties
hereby acknowledge, confirm and agree that all such obligations, together with interest accrued and accruing thereon, and all fees,
costs, expenses and other charges now or hereafter payable by Loan Parties to Lender or Lessor, as applicable, under the Loan Documents
or Lease Agreements, as applicable (collectively, "Aggregate Obligations") are unconditionally owing by Loan Parties
to Lender or Lessor, as applicable, without offset, defense or counterclaim of any kind, nature or description whatsoever.

 

    	-2-

    	 

    
 

(b)              
Acknowledgment of Security Interests. Loan Parties hereby acknowledge, confirm and agree that the Fifth Third Parties
have and shall continue to have valid, enforceable and perfected first-priority liens upon and security interests in the Collateral
heretofore granted to Lender and/or Lessor pursuant to the Loan Agreements, the Lease Agreements and the other Loan Documents or
otherwise granted to or held by Lender and Lessor.

 

(c)               
Acknowledgement and Reaffirmation of Guarantees. Guarantors hereby acknowledge, confirm and agree that: (i) nothing
contained in the Agreement shall modify in any respect whatsoever any Loan Agreement, Lease Agreement or other Loan Document
to which such Guarantor is a party, except as expressly set forth herein and (ii) such Guarantor is and shall remain liable under
its respective Guaranty for the full payment and performance of the Aggregate Obligations owed to any of the Fifth Third Parties
from time to time, which obligations under such Guarantees are unconditional and not subject to any defense, setoff, counterclaim
or other adverse claim.

 

(d)              
Binding Effect of Documents. Each Loan Party hereby acknowledges, confirms and agrees that: (i) each of the
Loan Agreements, Lease Agreements and the other Loan Documents to which it is a party has been duly executed and delivered to Lender
or Lessor, as applicable, by such Loan Party, as applicable, and each is and shall remain in full force and effect as of the date
hereof except as modified pursuant hereto, (ii) the agreements and obligations of Loan Parties contained in such documents
and in this Agreement constitute the legal, valid and binding Aggregate Obligations of Loan Parties, enforceable against them in
accordance with their respective terms, and Loan Parties have no valid defense to the enforcement of such Aggregate Obligations,
and (iii) the Fifth Third Parties are and shall be entitled to the rights, remedies and benefits provided for under the Loan
Agreements, the Lease Agreements, the other Loan Documents and applicable law.

 

(e)               
Acknowledgment Regarding No Future Loans. Loan Parties acknowledge and agree that, except as set forth in the Initial
Loan Agreement (as amended hereby), the Fifth Third Parties shall have no obligation under any Loan Agreement, Lease Agreement
or other Loan Document to advance or fund any Loans or any other amounts at any time, and that any commitments that may remain
outstanding under any Loan Agreement, Lease Agreement or other Loan Document as of the date hereof are hereby terminated.

 

    	-3-

    	 

    
 

3.                 
Forbearance in Respect of Existing Defaults

 

(a)   
Acknowledgment of Default. Each Loan Party hereby acknowledges and agrees that the Existing Defaults have occurred
and are continuing, each of which constitutes an Event of Default and entitles the Fifth Third Parties to exercise their respective
rights and remedies under the Loan Agreements, the Lease Agreements, and the other Loan Documents, applicable law or otherwise.
Each Loan Party represents and warrants that as of the date hereof, no Events of Default exist other than the Existing Defaults.
Each Loan Party hereby acknowledges and agrees that the Fifth Third Parties have the exercisable right to declare the Aggregate
Obligations to be immediately due and payable under the terms of the Loan Agreements, the Lease Agreements and the other Loan Documents,
as applicable.

 

(b)  
Forbearance. In reliance upon the representations, warranties and covenants of the Loan Parties contained in this
Agreement, and subject to the terms and conditions of this Agreement and any documents or instruments executed in connection herewith,
the Fifth Third Parties agree to forbear during the Forbearance Period from exercising their rights and remedies under the Loan
Agreements, the Lease Agreements and the other Loan Documents or applicable law in respect of or arising out of the Existing Defaults;
provided, however that upon the expiration or termination of the Forbearance Period, the agreement of the Fifth Third
Parties to forbear shall automatically and without further action terminate and be of no force and effect, it being expressly agreed
that the effect of such termination will be to permit each of the Fifth Third Parties to exercise immediately its respective rights
and remedies under the Loan Agreements, the Lease Agreements and the other Loan Documents, as applicable, and applicable law, including,
but not limited to, (i) ceasing to make any further "Revolving Loans" (as defined in the Initial Loan Agreement,
as amended hereby) and (ii) accelerating all of the Aggregate Obligations under the Loan Agreements, the Lease Agreements
and the other Loan Documents, in each case without any further notice to any Borrower, passage of time or forbearance of any kind.

 

(c)   
No Waivers; Reservation of Rights. The Fifth Third Parties have not waived, are not by this Agreement waiving, and
have no intention of waiving, any Events of Default which may be continuing on the date hereof or any Events of Default which may
occur after the date hereof (whether the same or similar to the Existing Defaults or otherwise), and the Fifth Third Parties have
not agreed to forbear with respect to any of their rights or remedies concerning any Events of Default (other than, during the
Forbearance Period, the Existing Defaults to the extent expressly set forth herein) occurring at any time. Subject to Section 3(b)
above (solely with respect to the Existing Defaults), the Fifth Third Parties reserve the right, in their discretion, to exercise
any or all of their rights and remedies under the Loan Agreements, the Lease Agreements and the other Loan Documents as a result
of any other Events of Default occurring at any time. The Fifth Third Parties have not waived any of such rights or remedies, and
nothing in this Agreement, and no delay on their part in exercising any such rights or remedies, shall be construed as a waiver
of any such rights or remedies.

 

4.                 
Amendments to Loan Agreements.

 

(a)               
Section 1.1 of the Initial Loan Agreement is hereby amended by adding the following definitions thereto in appropriate alphabetical
order:

 

(i)                
"Borrowing Availability" means, as of any date of determination, the "Commitment" (as defined in Section
2.2B(i) of this Agreement) less the sum of (a) the Revolving Loans then outstanding (including amounts advanced to pay "in
kind" the interest on the Revolving Loan as set forth in Section 2.2B(ii)) and (b) reserves required by Bank in its reasonable
credit judgment.

 

    	-4-

    	 

    
 

(ii)              
"Budget" has the meaning set forth in the Forbearance Agreement.

 

(iii)            
"Forbearance Agreement" means that certain Forbearance Agreement and Amendment dated as of November 8, 2012,
as the same may be amended, supplemented or otherwise modified from time to time.

 

(iv)            
"Forbearance Effective Date" means November 8, 2012.

 

(b)              
The definition of "Loans" in Section 1.1 of the Initial Loan Agreement is hereby amended by adding the words "Revolving
Loan" immediately after the word "collectively."

 

(c)               
The Initial Loan Agreement is hereby amended by adding the following Section 2.2B immediately after Section 2.2 of the Initial
Loan Agreement:

 

2.2BRevolving Loans.

 

(i)Commitment; Borrowings.
Subject to the terms and conditions set forth herein, Bank agrees to make revolving loans ("Revolving Loans")
to Borrowers from time to time in an aggregate principal amount not to exceed $1,000,000 (the "Commitment"), which
shall be evidenced by a Revolving Note in the form attached as Exhibit D to the Forbearance Agreement; provided,
however, that upon Borrowers' written request, the Commitment may be increased to an amount not to exceed $1,500,000, at
Bank's sole discretion and upon Bank's delivery of written confirmation thereof to Borrowers and Borrowers execution of an amended
Revolving Note in form and substance acceptable to Bank. Borrowers may borrow, prepay and reborrow the Revolving Loans; provided
that the amount of Revolving Loans outstanding at any one time shall not exceed the Borrowing Availability. To request a Revolving
Loan, Borrowers must notify Bank of such request, in writing, not later than 10 a.m. (eastern time) on the date of the proposed
borrowing. Such written request must include the aggregate amount of the requested borrowing and a written certification, signed
by an officer or director of the Borrowers, certifying that no Event of Default (other than the Existing Defaults (as defined in
the Forbearance Agreement)) has occurred and is continuing and that such Revolving Loans shall be used solely to pay the expenses
set forth in the Budget as and when such expenses are due and payable. In any given week, Borrowers may not borrow more than the
aggregate amount of expenses set forth in the Budget for such week.

 

(ii)Interest. The outstanding
principal balance of the Revolving Loans (including interest accrued on all additional principal added to the principal balance
of the Revolving Loans in accordance with this Section) shall accrue interest at a per annum rate equal to LIBOR plus twelve
percent (12.0%), which interest shall be paid and discharged on the first day of each calendar month without the taking of any
further action by adding such interest to the principal balance of the Revolving Loans. The aggregate amount of interest added
to the principal balance of the Revolving Loan in accordance with this Section shall be due and payable in cash on the earlier
of (x) the expiration or termination of the "Forbearance Period" (as defined in the Forbearance Agreement), (y) the maturity
or acceleration of the Revolving Loan (in accordance with Loan Documents or applicable law), or (z) such other date that all other
amounts of Obligations are to be paid in full.

 

    	-5-

    	 

    
 

(iii)Use of Proceeds.
Borrowers acknowledge and agree that Borrowers shall only use the proceeds of the Revolving Loans to the extent required to pay
those expenses enumerated in the Budget, as and when such expenses become due and payable.

 

(iv)Closing Fee. Borrowers
shall pay Bank a closing fee in an amount equal to $30,000. Borrowers acknowledge and agree that such closing fee has been fully
earned and shall be payable on or before the "Forbearance Effective Date" (as defined herein).

 

5.                 
Covenants; Other Agreements.

 

(a)               
Fees. Borrowers acknowledge and agree that they are jointly and severally liable for the following fees, which have
been fully earned, and shall be due and payable to Lender on the date on which the Forbearance Period expires or is otherwise terminated:
(i) the Amendment Fee in the aggregate amount of $150,000 set forth in Section 5(a) of that certain Amendment dated September 28,
2012 (the "September Amendment") and (ii) the $100,000 Waiver and Amendment Fee set forth in Section 5(a) of that
certain Waiver and Amendment to Global Axcess Loan and Security Agreements dated August 13, 2012 (the "August Amendment").

 

(b)              
Consultant. At all times during the Forbearance Period, Borrowers shall continue to retain and engage MorrisAnderson
& Associates, Ltd. (together with any such other advisor acceptable to Lender, "Consultant"), on terms and
conditions (including, without limitation, the scope of engagement) satisfactory to Lender. Borrowers (i) agree to fully cooperate
with Consultant, (ii) authorize Consultant to provide to Lender such information and reports from time to time with respect to
Borrowers and their financial condition, business, assets, liabilities and prospects, as Lender may request from time to time,
and (iii) authorize Consultant to communicate directly with Lender and any consultant retained by Lender, at such times and for
such durations as Lender and any consultant of Lender may reasonably request. All fees and expenses of Consultant shall be solely
the responsibility of Borrowers and in no event shall Lender have any liability or responsibility for the payment of any such fees
or expenses, and Lender shall have no obligation or liability to Borrowers or any other person by reason of any acts or omissions
of Consultant.

 

(c)               
Cash Flow Forecast; Budget Performance.

 

(i)                
The cash flow forecast through December 2, 2012, prepared by the Borrowers and attached hereto as Exhibit B shall
constitute the "Budget". On or before November 30, 2012, Borrowers shall deliver to Lender a thirteen-week cash
flow forecast in form and substance acceptable to Lender, which, subject to written confirmation from Lender, shall supplement
and become part of the "Budget". On Thursday of each week, Borrowers shall deliver to Lender an updated thirteen-week
cash flow forecast, which cash flow forecast shall be in form and substance acceptable to Lender; provided, however,
that for the avoidance of doubt, such updated thirteen-week cash flow forecasts shall not be deemed to amend or supplement the
Budget in any way, unless consented to by Lender, in writing. In addition, on Tuesday of each week, Borrowers shall (a) deliver
to Lender a certified reconciliation of its actual performance for the week ending on the Friday of the prior week to the forecasted
performance set forth in the Budget, which reconciliation shall be in form and substance satisfactory to Lender, and (b) deliver
to Lender a narrative setting forth the explanations for any material variances in actual results as compared to forecasted performance).

 

    	-6-

    	 

    
 

(ii)              
Tested as of Sunday, November 11, 2012, and each Sunday thereafter (each, a "Budget Test Date"), Borrowers
shall (i) generate cash receipts in an amount equal to at least ninety percent (90%) of the aggregate amount set forth in the Budget
for the period commencing on Monday, October 15, 2012 and ending on the applicable Budget Test Date, and (ii) make aggregate cash
disbursements no greater than ten percent (10%) more than the amount set forth in the Budget for the period commencing on Monday,
October 15, 2012 and ending on the applicable Budget Test Date.

 

(d)              
Use of Proceeds in Accordance with Budget. With respect to all proceeds of Collateral collected by Borrowers or proceeds
of Revolving Loans, Borrowers acknowledge and agree that Borrowers shall only use such proceeds to the extent required to pay those
expenses enumerated in the Budget, as and when such expenses become due and payable.

 

(e)               
Sale Covenants. Borrowers shall comply with each of the Sale Covenants set forth on Exhibit C attached hereto.
For the avoidance of doubt, if and to the extent Borrowers dispose of their DVD line of business separate from and/or prior to
Borrowers' other lines of business, such sale shall be subject to the consent of the Fifth Third Parties and all proceeds thereof
shall be paid to the Fifth Third Parties on account of the Aggregate Obligations.

 

(f)               
Restricted Payments. Unless consented to in writing by Lender, Loan Parties shall not directly,
or indirectly, (i) make any distribution or dividend (including stock dividends), whether in cash or otherwise, to or for
the benefit of any of its equity holders, affiliates, subsidiaries, predecessors, directors, officers, agents or other representatives,
except to the extent set forth in the Budget, (ii) make any advances or loans, whether in cash or otherwise, to any of its equity
holders or affiliates, (iii) purchase or redeem any of its equity interests or any warrants, options or other rights in respect
thereof, (iv) pay any management fees or similar fees to any of its equity holders or any Affiliate thereof, (v) pay or prepay
interest on, principal of, premium, if any, redemption, conversion, exchange, purchase, retirement, defeasance, sinking fund or
any other payment in respect of any subordinated debt, or (vi) set aside funds for any of the foregoing.

 

(g)              
Landlord Waivers. On or before November 15, 2012, Borrowers shall deliver executed landlord waivers, in form and
substance acceptable to Lender, for each of the Borrowers' leased locations.

 

    	-7-

    	 

    
 

(h)              
Pending Litigation. Borrowers shall deliver to Lender such information that Lender requests from time to time regarding
the litigation pending in the U.S. District Court for the Northern District of Georgia, styled as Harris v. Nationwide Money
Services, Inc. et al, Case No. 1:11-cv-00216-SCJ.

 

(i)                
Chief Executive Officer. At all times during the Forbearance Period, Kevin Reager (or another individual acceptable
to Lender) shall act as the Chief Executive Officer of Borrowers.

 

(j)                
Lender Advisors. In accordance with Section 13.18 of the Loan Agreements, Section 7(b) of the August Amendment and
Section 8(b) of the September Amendment, Loan Parties acknowledge and agree that Borrowers shall reimburse Lender for all costs
and expenses reasonably incurred or paid by Lender in connection with the enforcement of any of the Loan Documents, including,
without limitation, all fees, costs and expenses of any consultant or other advisor retained by Lender, and acknowledge and agree
that such fees, costs and expenses shall constitute Aggregate Obligations under the Loan Agreements and the other Loan Documents.
Further, Loan Parties shall fully cooperate with any consultant or other advisor retained by Lenders and shall provide any such
consultant or advisor with access to Loan Parties' financial and other information and to Loan Parties' management as may be requested
from time to time.

 

(k)              
Chief Restructuring Officer. At all times during the Forbearance Period, Borrowers shall retain the Chief Restructuring
Officer engaged in accordance with Section 6(c) of this Agreement.

 

6.                 
Conditions. The effectiveness of the terms and provisions of Section 3(b) and Section 4 of this Agreement
shall be subject to each of the following:

 

(a)               
Lender shall have received an original of this Agreement, duly authorized, executed and delivered by each Loan Party;

 

(b)              
Lender shall have received the $30,000 closing fee set forth in Section 2.2B(iv) of the Initial Loan Agreement in immediately
available funds;

 

(c)               
Borrower shall have retained a Chief Restructuring Officer acceptable to Lender, pursuant to an engagement letter in form
and substance acceptable to Lender, including, without limitation, with respect to the scope of engagement, which shall include
full authority (subject to any necessary approval of the Board of Directors and shareholders) to make decisions and execute documents
with respect to the sale of all or substantially all of the assets of the Borrowers in accordance with the terms of this Agreement;

 

(d)              
Lender shall have received corporate resolutions duly authorized and executed by the Boards of Directors of each of the
Borrowers that authorize, empower and direct the Borrowers' Chief Restructuring Officer to (i) exercise full day-to-day management
authority and control with respect to the Borrowers, (ii) pursue and execute documents, and consummate transactions (subject to
any necessary approval of the Board of Directors and shareholders) regarding the sale of all or substantially all of the assets
of the Borrowers in accordance with the terms of this Agreement and (iii) advise the Borrowers' Boards of Directors of all material
information relating to the restructuring efforts, including the Chief Restructuring Officer's proposed strategy, timetable, and
Investment Banker (as defined below) recommendations, expressions of interest received from potential acquirers and investors and
such other information as the Boards of Directors may reasonably request from time to time;

 

    	-8-

    	 

    
 

(e)               
Lender shall have received an executed copy of an engagement letter between Borrowers and Golding & Company Inc., which
engagement letter shall be in form and substance acceptable to Lender; and

 

(f)               
no material adverse change in the business, financial condition, operations or performance or properties of Borrowers or
any Guarantor shall have occurred from that reflected in the most recent financial statements delivered to the Fifth Third Parties.

 

7.                 
Representations and Warranties of Borrowers. As a material inducement to the Fifth Third Parties to enter
into this Agreement, each Loan Party hereby represents and warrants to the Fifth Third Parties, that both before and after giving
effect to the consummation of the transactions contemplated hereby as follows:

 

(a)               
Authorization. The execution, delivery and performance of this Agreement has been duly authorized by all requisite
corporate action on the part of each Borrower; and

 

(b)              
No Default. No Default or Event of Default has occurred and is continuing.

 

8.                 
Miscellaneous.

 

(a)               
Additional Events of Default. The parties hereto acknowledge, confirm and agree that any misrepresentation
by any Borrower or Guarantor, or any failure of any Borrower or Guarantor to comply with the covenants, conditions and agreements
contained in this Agreement, the Loan Agreements, the Lease Agreements and the other Loan Documents, the Guarantees or in any other
agreement, document or instrument at any time executed and/or delivered by any Loan Party with, to or in favor of the Fifth Third
Parties shall constitute an immediate Event of Default under the Loan Agreements, the Lease Agreements, the other Loan Documents,
and the Guarantees without any cure period. In the event any Person, other than the Fifth Third Parties, shall at any time exercise
for any reason (including, without limitation, by reason of any Existing Defaults, any other present or future Event of Default,
or otherwise) any of its rights or remedies against any Loan Party or any obligor providing credit support for any Loan Party's
obligations to such other Person, or against any Loan Party's or such obligor's properties or assets, such event shall constitute
an Event of Default hereunder and an Event of Default under the Loan Agreements, the Lease Agreements, the other Loan Documents,
and the Guarantees.

 

(b)              
Costs and Expenses. Loan Parties absolutely and unconditionally agree to pay to the Fifth Third Parties, jointly
and severally, on demand by the Fifth Third Parties at any time, whether or not all or any of the transactions contemplated by
this Agreement are consummated: all reasonable fees and disbursements of any counsel to the Fifth Third Parties, any participant
of the Fifth Third Parties, or any of their respective directors, officers, employees or agents, that are incurred in good faith
(regardless of whether the Fifth Third Parties or such other Person is the prevailing party) in connection with the preparation,
negotiation, execution, delivery or enforcement of this Agreement, the Loan Agreements, the Lease Agreements and any other Loan
Document, and the Guarantees, including, without limitation, with respect to any investigation, litigation, or proceeding related
to this Agreement, the Loan Agreements, the Lease Agreements, the Guarantees or any other Loan Document or the use of the proceeds
of the credit provided under the Loan Agreements or the Lease Agreements or any act, omission, event or circumstance in any manner
related thereto. For the avoidance of doubt, Loan Parties acknowledge and agree that an Event of Default shall occur if Loan Parties
fail to pay (within five (5) Business Days of written notice from the Fifth Third Parties) all reasonable costs and expenses (including,
without limitation, legal costs and expenses) incurred by the Fifth Third Parties in connection with the negotiation, preparation,
execution or enforcement of this Agreement.

 

    	-9-

    	 

    
 

(c)               
Governing Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Florida,
without giving effect to conflict of laws principles to the extent that the application of the laws of another jurisdiction would
be required thereby.

 

(d)              
Consent to Jurisdiction and Venue. NOTWITHSTANDING ANYTHING TO THE CONTRARY IN THE LOAN AGREEMENTS, THE LEASE AGREEMENTS
OR THE OTHER LOAN DOCUMENTS, LOAN PARTIES HEREBY CONSENT AND AGREE THAT THE STATE OR FEDERAL COURTS LOCATED IN COOK COUNTY, ILLINOIS
AND OAKLAND COUNTY, MICHIGAN SHALL HAVE EXCLUSIVE JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES BETWEEN LOAN PARTIES,
ON THE ONE HAND, AND ANY FIFTH THIRD PARTY, ON THE OTHER HAND, PERTAINING TO THIS AGREEMENT OR THE LOAN AGREEMENTS, THE LEASE AGREEMENTS,
THE GUARNATEES OR THE OTHER LOAN DOCUMENTS OR TO ANY MATTER ARISING OUT OF OR RELATED TO THIS AGREEMENT, THE LOAN AGREEMENTS, THE
LEASE AGREEMENTS, THE GUARANTEES OR ANY OF THE OTHER LOAN DOCUMENTS; AND FURTHER PROVIDED, THAT NOTHING IN
THIS AGREEMENT SHALL BE DEEMED OR OPERATE TO PRECLUDE THE FIFTH THIRD PARTIES FROM BRINGING SUIT OR TAKING OTHER LEGAL ACTION IN
ANY OTHER JURISDICTION TO COLLECT THE AGGREGATE OBLIGATIONS, TO REALIZE ON THE COLLATERAL OR ANY OTHER SECURITY FOR THE AGGREGATE
OBLIGATIONS, OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN FAVOR OF THE FIFTH THIRD PARTIES. LOAN PARTIES EXPRESSLY SUBMIT AND
CONSENT IN ADVANCE TO SUCH JURISDICTIONS IN ANY ACTION OR SUIT COMMENCED IN ANY SUCH COURT, AND LOAN PARTIES HEREBY WAIVE ANY OBJECTION
WHICH THEY MAY HAVE BASED UPON LACK OF PERSONAL JURISDICTION, IMPROPER VENUE OR FORUM NON CONVENIENS AND HEREBY
CONSENT TO THE GRANTING OF SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY SUCH COURT. LOAN PARTIES HEREBY WAIVE PERSONAL
SERVICE OF ANY AND ALL PROCESS ISSUED IN ANY SUCH ACTION OR SUIT AND AGREE THAT SERVICE OF SUCH PROCESS MAY BE MADE BY REGISTERED
OR CERTIFIED MAIL ADDRESSED TO BORROWERS AT THE ADDRESS SET FORTH IN THE LOAN AGREEMENTS AND THAT SERVICE SO MADE SHALL BE DEEMED
COMPLETED UPON THE EARLIER OF ANY LOAN PARTY'S ACTUAL RECEIPT THEREOF OR FIVE (5) DAYS AFTER THE SAME HAS BEEN POSTED.

 

    	-10-

    	 

    
 

(e)               
Counterparts. This Agreement and all other instruments, agreements or documents provided for herein or delivered
or to be delivered hereunder or in connection herewith may be executed in any number of counterparts, and by the parties hereto
on the same or separate counterparts, and each such counterpart, when executed and delivered, shall be deemed to be an original,
but all such counterparts shall together constitute but one and the same agreement, instrument or document.

 

(f)               
Ratification. The terms and provisions set forth in this Agreement shall modify and supersede all inconsistent terms
and provisions of the Loan Agreements and/or the Lease Agreements, as applicable, and shall not be deemed to be a consent to the
modification of or waiver of any other term or condition of the Loan Agreements or the Lease Agreements. Except to the extent herein
expressly modified, the Loan Agreements, the Lease Agreements and each of the other Loan Documents shall remain in full force and
effect and each such Loan Document is hereby ratified in all respects.

 

(g)              
Reference to Loan Agreements/Lease Agreements. On and after the effectiveness of the amendments accomplished hereby,
each reference in the Loan Agreements or the Lease Agreements to "the Agreement," "hereunder," "hereof,"
"herein" or words of like import, and each reference to the Loan Agreements or the Lease Agreements, as applicable, in
any note and in any Loan Document, or other agreements, documents or other instruments executed and delivered pursuant to the Loan
Agreements or the Lease Agreements, shall mean and be a reference to the Loan Agreements or the Lease Agreements, as applicable,
to the extent modified by this Agreement.

 

(h)              
Successors. This Agreement shall be binding upon the Loan Parties, the Fifth Third Parties and their respective successors
and assigns, and shall inure to the benefit of the Loan Parties, the Fifth Third Parties and their respective successors and assigns.

 

(i)                
Release.

 

(i)                
In consideration of the agreements of the Fifth Third Parties contained herein and for other good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged, each of the Loan Parties, on behalf of itself and its successors
and assigns, and its present and former members, shareholders, affiliates, subsidiaries, divisions, predecessors, directors, officers,
attorneys, employees, agents, legal representatives and other representatives (each Loan Party and all such other Persons being
hereinafter referred to collectively as the "Releasing Parties" and individually as a "Releasing Party"),
hereby absolutely, unconditionally and irrevocably releases, remises and forever discharges the Fifth Third Parties, and their
respective successors and assigns, and their respective present and former shareholders, affiliates, subsidiaries, divisions, predecessors,
directors, officers, attorneys, employees, agents, legal representatives and other representatives (the Fifth Third Parties and
all such other Persons being hereinafter referred to collectively as the "Releasees" and individually as a "Releasee"),
of and from all demands, actions, causes of action, suits, damages and any and all other claims, counterclaims, defenses, rights
of set-off, demands and liabilities whatsoever (individually, a "Claim" and collectively, "Claims")
of every kind and nature, known or unknown, suspected or unsuspected, at law or in equity, which any Releasing Party may now or
hereafter own, hold, have or claim to have against the Releasees or any of them for, upon, or by reason of any circumstance, action,
cause or thing whatsoever which arises at any time on or prior to the date of this Agreement, including, without limitation, for
or on account of, or in relation to, or in any way in connection with this Agreement, the Loan Agreements, the Lease Agreements,
the Guarantees, any of the other Loan Documents or any of the transactions hereunder or thereunder.

 

    	-11-

    	 

    
 

(ii)              
Loan Parties understand, acknowledge and agree that the release set forth above may be pleaded as a full and complete defense
to any Claim and may be used as a basis for an injunction against any action, suit or other proceeding which may be instituted,
prosecuted or attempted in breach of the provisions of such release.

 

(iii)            
Loan Parties agree that no fact, event, circumstance, evidence or transaction which could now be asserted or which may hereafter
be discovered shall affect in any manner the final, absolute and unconditional nature of the release set forth above.

 

(j)                
Covenant Not to Sue. Each of the Releasing Parties hereby absolutely, unconditionally and irrevocably, covenants
and agrees with and in favor of each Releasee that it will not sue (at law, in equity, in any regulatory proceeding or otherwise)
any Releasee on the basis of any Claim released, remised and discharged by any Releasing Party pursuant to Section 8(i)(i) above.
If any Releasing Party violates the foregoing covenant, each of the Loan Parties, for itself and their successors and assigns,
and its present and former members, shareholders, affiliates, subsidiaries, divisions, predecessors, directors, officers, employees,
agents, legal representatives and other representatives, agrees to pay, in addition to such other damages as any Releasee may sustain
as a result of such violation, all reasonable attorneys' fees and costs incurred by any Releasee as a result of such violation.

 

[signature page follows]

 

    	-12-

    	 

    
 

IN WITNESS WHEREOF, the
parties hereto have caused this Agreement to be executed by their respective officers thereunto duly authorized and delivered as
of the date first above written.

 

	 	LOAN PARTIES:
	 	 
	 	GLOBAL AXCESS CORP.,
	 	a Nevada corporation
	 	 
	 	 
	 	By: /s/ Kevin L. Reager 
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer
	 	 
	 	 
	 	NATIONWIDE MONEY SERVICES INC.,
	 	a Nevada corporation
	 	 
	 	 
	 	By: /s/ Kevin L. Reager 
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer
	 	 
	 	 NATIONWIDE NTERTAINMENT SERVICES, INC.,
	 	a Nevada corporation
	 	 
	 	 
	 	By: /s/ Kevin L. Reager
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer  
	 	 
	 	eft integration, inc.,
	 	a Florida corporation
	 	 
	 	 
	 	By: /s/ Kevin L. Reager
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer  
	 	 
	 	INSTA VIDEO, inc.,
	 	a Nevada corporation  
	 	 
	 	By: /s/ Kevin L. Reager
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer  

 

    	Signature Page to Forbearance Agreement

    	 

    
 

	 	FIFTH THIRD PARTIES:
	 	 
	 	FIFTH THIRD BANK
	 	 
	 	 
	 	By: /s/ Steven J. Englehart
	 	Name: Steven J. Englehart
	 	Title: Vice President
	 	 
	 	 
	 	FIFTH THIRD EQUIPMENT FINANCE COMPANY 

(F/K/A/ THE FIFTH THIRD LEASING COMPANY)
	 	 
	 	 
	 	By: /s/ Steven J. Englehart
	 	Name: Steven J. Englehart
	 	Title: Vice President

 

    	Signature Page to Forbearance Agreement

    	 

    
 

EXHIBIT A

 

Existing Defaults

 

		1.	Event of Default under Section 8(a) of the Amendment dated September 28, 2012 (the “Amendment”)
by and among Borrowers and the Fifth Third Parties, amending the Loan Agreements and the Lease Agreements, as a result of the Borrowers
failure to receive an equity contribution on or before October 31, 2012, as required by Section 5(b) of the Amendment.

 

		2.	Event of Default under Section 16(a) of the Master Lease as a result of the Lessees' failure to
satisfy the financial covenant under Section 12(e) thereof, for the period ending September 30, 2012.

 

		3.	Event of Default under Section 16(a) of the Master Lease as a result of the Lessees; failure to
satisfy the financial covenant under Section 12(f) thereof, for the period ending September 30, 2012.

 

		4.	Anticipated Event of Default under Section 16(a) of the Master Lease as a result of the Lessees'
failure to satisfy the financial covenant under Section 12(e) thereof, for the period ending December 31, 2012.

 

		5.	Anticipated Event of Default under Section 16(a) of the Master Lease as a result of the Lessees;
failure to satisfy the financial covenant under Section 12(f) thereof, for the period ending December 31, 2012.

		6.	

 

		7.	Event of Default under Section 11.3 of the Initial Loan Agreement as a result of the Borrowers'
failure to satisfy the financial covenant under Section 10.2 thereof, for the period ending September 30, 2012.

 

		8.	Event of Default under Section 11.3 of the Initial Loan Agreement as a result of the Borrowers;
failure to satisfy the financial covenant under Section 10.3 thereof, for the period ending September 30, 2012.

 

		9.	Anticipated Event of Default under Section 11.3 of the Initial Loan Agreement as a result of the
Borrowers' failure to satisfy the financial covenant under Section 10.2 thereof, for the period ending December 31, 2012.

 

		10.	Anticipated Event of Default under Section 11.3 of the Initial Loan Agreement as a result of the
Borrowers; failure to satisfy the financial covenant under Section 10.3 thereof, for the period ending December 31, 2012

 

		11.	Events of Default under Section 11.5 of each of the other Loan Agreements as a result of the occurrence
of the foregoing Events of Default, each of which constitutes a separate Event of Default.

 

    	 

    	 	

    
 

 

		12.	Anticipated Events of Default under Section 11.1 of each of the Loan Agreements as a result of
Borrower's failure to make the principal payments with respect to the Loans that are due on November 1, 2012, November 18, 2012,
December 1, 2012, December 18, 2012, January 1, 2013, January 18, 2013, and February 1, 2013, each of which constitutes a separate
Event of Default.

 

		13.	Anticipated Events of Default under Section 16(a) of the Master Lease as a result of Lessee's failure
to pay the Rent due on November 1, 2012, December 1, 2012, January 1, 2013 and February 1, 2013, as required pursuant to Equipment
Schedule No. 001 and Equipment Schedule 002, each of which constitutes a separate Event of Default.

 

    	-16-

    	 

    
  

EXHIBIT B

 

Budget

  

	CONFIDENTIAL	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	$000s	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	(week-ending,
    Sunday)	 	 	WEEK
                                                                                                                      9 Forecast
                                                                                                                      10/21/2012	 	 	 	WEEK
                                                                                                                      10 Forecast
                                                                                                                      10/28/2012	 	 	 	WEEK
                                                                                                                      11 Forecast
                                                                                                                      11/4/2012	 	 	 	WEEK
                                                                                                                      12 Forecast
                                                                                                                      11/11/2012	 	 	 	WEEK
                                                                                                                      13 Forecast
                                                                                                                      11/18/2012	 	 	 	WEEK
                                                                                                                      14 Forecast
                                                                                                                      11/25/2012	 	 	 	WEEK
                                                                                                                      15 Forecast
                                                                                                                      12/2/2012	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Cash
    Receipts	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ATM Surcharge	 	$	529	 	 	$	529	 	 	$	502	 	 	$	502	 	 	$	502	 	 	$	502	 	 	$	502	 
	Interchange	 	 	200	 	 	 	25	 	 	 	365	 	 	 	65	 	 	 	-	 	 	 	20	 	 	 	345	 
	DVD Rentals	 	 	79	 	 	 	79	 	 	 	79	 	 	 	79	 	 	 	79	 	 	 	79	 	 	 	79	 
	Deposits/Other	 	 	15	 	 	 	15	 	 	 	15	 	 	 	15	 	 	 	15	 	 	 	15	 	 	 	15	 
	 Total
    Cash Receipts	 	$	822	 	 	$	647	 	 	$	961	 	 	$	661	 	 	$	596	 	 	$	616	 	 	$	941	 
	CUMULATIVE
    CASH RECEIPTS >>>>	 	$	6,690	 	 	$	7,338	 	 	$	8,298	 	 	$	8,959	 	 	$	9,555	 	 	$	10,171	 	 	$	11,112	 
	Cash
    Disbursements	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Bantek (Pendum)	 	 	35	 	 	 	35	 	 	 	-	 	 	 	35	 	 	 	-	 	 	 	35	 	 	 	-	 
	Loomis	 	 	40	 	 	 	40	 	 	 	20	 	 	 	40	 	 	 	40	 	 	 	40	 	 	 	40	 
	Armored Knights	 	 	-	 	 	 	5	 	 	 	-	 	 	 	5	 	 	 	-	 	 	 	5	 	 	 	-	 
	Rocky Mountain	 	 	5	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Other	 	 	20	 	 	 	36	 	 	 	16	 	 	 	36	 	 	 	36	 	 	 	36	 	 	 	36	 
	Cash Management/Maintenance
    Services	 	 	100	 	 	 	100	 	 	 	20	 	 	 	100	 	 	 	60	 	 	 	100	 	 	 	60	 
	Title Purchases (VPD/View)	 	 	28	 	 	 	28	 	 	 	28	 	 	 	28	 	 	 	28	 	 	 	28	 	 	 	28	 
	Elan Processing	 	 	51	 	 	 	129	 	 	 	-	 	 	 	-	 	 	 	51	 	 	 	129	 	 	 	-	 
	ATM Commissions	 	 	21	 	 	 	892	 	 	 	-	 	 	 	790	 	 	 	155	 	 	 	898	 	 	 	-	 
	DVD Commissions	 	 	 	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	64	 	 	 	-	 	 	 	-	 
	DVD Processing	 	 	-	 	 	 	-	 	 	 	45	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Payroll incl. taxes	 	 	106	 	 	 	-	 	 	 	106	 	 	 	-	 	 	 	106	 	 	 	-	 	 	 	106	 
	Benefits/401(k)	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	16	 	 	 	-	 	 	 	-	 
	Insurance	 	 	-	 	 	 	-	 	 	 	-	 	 	 	32	 	 	 	-	 	 	 	-	 	 	 	-	 
	Data Sales Leases	 	 	-	 	 	 	-	 	 	 	32	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Dell Lease	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Materials & Supplies	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 
	Transport/Shipping	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 
	Phone & IT Support	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 	 	 	20	 
	Rent & Facilities	 	 	-	 	 	 	-	 	 	 	10	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Attorney/Legal	 	 	8	 	 	 	8	 	 	 	8	 	 	 	8	 	 	 	8	 	 	 	8	 	 	 	8	 
	Directors Fees/Salary	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Consultants (Other professionals)	 	 	10	 	 	 	-	 	 	 	10	 	 	 	-	 	 	 	10	 	 	 	10	 	 	 	10	 
	Expense Reports (T&E)	 	 	7	 	 	 	7	 	 	 	7	 	 	 	7	 	 	 	7	 	 	 	7	 	 	 	7	 
	Taxes	 	 	-	 	 	 	5	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	5	 	 	 	-	 
	Other - Events Not Anticipated	 	 	5	 	 	 	5	 	 	 	5	 	 	 	5	 	 	 	5	 	 	 	5	 	 	 	5	 
	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Total Operating
    Disbursements	 	 	385	 	 	 	1,223	 	 	 	321	 	 	 	1,020	 	 	 	559	 	 	 	1,239	 	 	 	274	 
	CUMULATIVE
    CASH DISBURSEMENTS >>>>	 	 	6,667	 	 	 	7,890	 	 	 	8,211	 	 	 	9,230	 	 	 	9,790	 	 	 	11,029	 	 	 	11,303	 
	Free
    Cash Flow from Operations	 	 	437	 	 	 	(576	)	 	 	640	 	 	 	(359	)	 	 	37	 	 	 	(623	)	 	 	667	 
	 CUMULATIVE
    FREE CASH FLOW >>>>	 	 	24	 	 	 	(552	)	 	 	87	 	 	 	(271	)	 	 	(235	)	 	 	(858	)	 	 	(191	)
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Non-Operating
    Disbursements	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Past due trade payables	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 
	Restructuring Fees	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 	 	 	10	 
	Capital Expenditures	 	 	10	 	 	 	-	 	 	 	-	 	 	 	15	 	 	 	-	 	 	 	-	 	 	 	-	 
	Total
    Non-Operating Disbursements	 	 	30	 	 	 	20	 	 	 	20	 	 	 	35	 	 	 	20	 	 	 	20	 	 	 	20	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Debt
    Service	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Interest Swap Payment	 	 	-	 	 	 	-	 	 	 	-	 	 	 	29	 	 	 	-	 	 	 	-	 	 	 	-	 
	Interest Expense	 	 	182	 	 	 	-	 	 	 	-	 	 	 	64	 	 	 	-	 	 	 	-	 	 	 	-	 
	Principal Payment	 	 	-	 	 	 	-	 	 	 	69	 	 	 	-	 	 	 	-	 	 	 	-	 	 	 	-	 
	Other Debt Service	 	 	-	 	 	 	-	 	 	 	-	 	 	 	3	 	 	 	2	 	 	 	-	 	 	 	-	 
	Total
    Debt Service	 	 	182	 	 	 	-	 	 	 	69	 	 	 	95	 	 	 	2	 	 	 	-	 	 	 	-	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Total Disbursements	 	 	597	 	 	 	1,243	 	 	 	410	 	 	 	1,150	 	 	 	581	 	 	 	1,259	 	 	 	294	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Net
    Cash Flow/(Usage)	 	$	225	 	 	$	(596	)	 	$	551	 	 	$	(489	)	 	$	15	 	 	$	(643	)	 	$	647	 
	 CUMULATIVE
    NET CASH FLOW >>>>	 	 	(541	)	 	 	(1,137	)	 	 	(586	)	 	 	(1,075	)	 	 	(1,060	)	 	 	(1,703	)	 	 	(1,056	)
	Cash
    Balance (Without Principal Payments)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Beginning Balance	 	 	54	 	 	 	279	 	 	 	(317	)	 	 	303	 	 	 	(186	)	 	 	(171	)	 	 	(815	)
	Net Cash
    Flow/(Usage)	 	 	225	 	 	 	(596	)	 	 	620	 	 	 	(489	)	 	 	15	 	 	 	(643	)	 	 	647	 
	Ending
    Balance	 	 	279	 	 	 	(317	)	 	 	303	 	 	 	(186	)	 	 	(171	)	 	 	(815	)	 	 	(168	)
	Cash
    Balance	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Beginning Balance	 	 	54	 	 	 	279	 	 	 	(317	)	 	 	234	 	 	 	(255	)	 	 	(240	)	 	 	(884	)
	Net Cash
    Flow/(Usage)	 	 	225	 	 	 	(596	)	 	 	551	 	 	 	(489	)	 	 	15	 	 	 	(643	)	 	 	647	 
	Ending
    Balance	 	 	279	 	 	 	(317	)	 	 	234	 	 	 	(255	)	 	 	(240	)	 	 	(884	)	 	 	(237	)
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 

 

 

    	-17-

    	 

    
 

EXHIBIT C

 

Sale Covenants

 

 

(1)  
 Investment Banker. At all times through February 15, 2013, Borrowers shall continue to retain and
engage Golding & Company Inc. (together with any such other advisor acceptable to Lender, "Investment Banker"),
on terms and conditions (including, without limitation, the scope of engagement) satisfactory to Lender. Borrowers (i) agree to
fully cooperate with Investment Banker, (ii) authorize Investment Banker to provide to Lender such information and reports from
time to time with respect to Borrowers as Lender may request from time to time, including, without limitation, regarding Borrowers'
financial condition, business, assets, liabilities, prospects, and the sales process, and (iii) authorize Investment Banker to
communicate directly with Lender and any consultant retained by Lender, at such times and for such durations as Lender and any
consultant of Lender may reasonably request. All fees and expenses of Investment Banker shall be solely the responsibility of Borrowers
and in no event shall Lender have any liability or responsibility for the payment of any such fees or expenses, and Lender shall
have no obligation or liability to Borrowers or any other person by reason of any acts or omissions of Investment Banker.

 

(2)  
Teaser. On or before the date hereof, Borrowers shall cause the Investment Banker to begin contacting prospective
purchasers, negotiating confidentiality agreements and distributing a teaser memorandum prepared by Investment Banker, which shall
be in form and substance acceptable to Lender, to prospective purchasers who have executed and delivered confidentiality agreements
in form and substance acceptable to Lender.

 

(3)  
Offering Memorandum. On or before November 15, 2012, Borrowers shall cause the Investment Banker distribute an offering
memorandum regarding Borrowers' assets and businesses, in form and substance reasonably acceptable to Lender to prospective purchasers
who have executed and delivered confidentiality agreements in form and substance acceptable to Lender.

 

(4)  
Letters of Intent. On or before December 15, 2012, Borrowers shall deliver to Lender one or more letters of intent
or other written indications of interest from prospective purchasers regarding the potential sale of Borrowers' assets and/or businesses
in form and substance reasonably acceptable to Lender (including, without limitation, as to the price, manner and timing of any
such transaction).

 

(5)  
Continuation of Active Negotiations. Borrowers shall use commercially reasonable efforts to engage (and to remain
engaged in) negotiations with one or more potential purchasers that deliver letters of intent that satisfy clause (4) above, and
shall promptly notify Lender if negotiations cease with any such potential purchasers.

 

(6)  
Definitive Offers. On or before January 15, 2013, Borrowers shall deliver to Lender definitive offers from one or
more of the potential purchasers, in form and substance reasonably acceptable to Lender, which offers provide, among other things,
for net cash proceeds sufficient to fully and finally satisfy the Aggregate Obligations, in cash.

 

    	-18-

    	 

    
 

(7)  
Purchase Agreements. On or before the January 31, 2013, Borrowers shall have entered into one or more purchase
agreements, in form and substance acceptable to Lender with one or more prospective purchasers that (i) provide for the sale, merger
or other disposition of all or substantially all of the assets and/or businesses of Borrowers, (ii) provide for the closing of
such dispositions to occur on or before the applicable date set forth in this Agreement below or before any later date acceptable
to Lender, (iii) provide for proceeds of such sales up to the amount of the Aggregate Obligations, net only of such fees,
expenses or other amounts that may be expressly agreed to by the Fifth Third Parties in a subsequent written agreement, to be remitted
to the Fifth Third Parties and applied to the Aggregate Obligations on a final and indefeasible basis, and (iv) are otherwise in
form and substance reasonably acceptable to the Fifth Third Parties ("Final Purchase Agreements"). Without limiting
the foregoing, Borrowers acknowledge and agree that (1) it shall provide the Fifth Third Parties and its counsel a reasonable
opportunity to propose changes to the Borrowers on such form of Final Purchase Agreements, and (2) the Fifth Third Parties have
expressly reserved all of their rights to withhold their approval or consent with respect to any Final Purchase Agreement or other
proposed disposition of the Collateral.

 

(8)  
Closing. On or before February 15, 2013 (or such later date as the Fifth Third Parties may agree, in writing, in
their sole discretion), Borrowers shall consummate the transactions contemplated by the Final Purchase Agreements and, immediately
upon the closing thereof, remit to the Fifth Third Parties an amount of proceeds arising therefrom to fully, finally and indefeasibly
repay the Aggregate Obligations, in cash.

 

(9)  
Access to Investment Banker. Borrowers shall permit the Investment Banker to provide to the Fifth Third Parties such
information and reports regarding the Borrowers, and its respective financial condition, business, assets, liabilities and prospects,
as Fifth Third Parties may request from time to time. Borrowers shall provide further access to the Investment Banker by the Fifth
Third Parties to include, without limitation, telephonic conferences with the Investment Banker, at a time and for a duration reasonably
requested by the Fifth Third Parties. In addition, Borrower shall direct the Investment Banker to provide the Fifth Third Parties,
on not less than a weekly basis, an updated chart, in form and substance satisfactory to the Fifth Third Parties, specifying for
each prospective purchaser that has been contacted by the Investment Banker, (i) whether and/or when such prospective purchaser
entered into a confidentiality agreement, (ii) whether and/or when such prospective purchaser was given or availed itself of access
to a data room established Borrowers and the Investment Banker, (iii) whether and/or when such prospective purchaser delivered
a written indication of interest (or any revised version thereof), (iv) whether and/or when such prospective purchaser has been
given a management presentation, (v) whether and/or when such prospective purchaser delivered a binding bid, and (vi) such other
information relating to the status of such prospective purchaser's participation in the sale process as the Fifth Third Parties
may reasonably request from time to time.

 

    	-19-

    	 

    
 

EXHIBIT D

 

Revolving Note

 

[See Attached]

 

    	-20-

    	 

    
 

REVOLVING NOTE

 

 

	$1,000,000.00	November 8, 2012

 

FOR VALUE RECEIVED,
GLOBAL AXCESS CORP., a Nevada corporation, NATIONWIDE MONEY SERVICES INC., a Nevada corporation, NATIONWIDE NTERTAINMENT SERVICES,
INC., a Nevada corporation, and EFT INTEGRATION, INC., a Florida corporation (collectively, the "Borrowers" and
each individually a "Borrower"), hereby jointly and severally promise to pay to the order of FIFTH THIRD BANK,
an Ohio banking corporation ("Lender"), in such coin or currency of the United States which shall be legal tender
in payment of all debts and dues, public and private, at the time of payment, the principal sum of ONE MILLION DOLLARS AND 00/100
($1,000,000.00), or so much thereof as may be advanced or re-advanced and remains outstanding, together with interest from and
after the date hereof on the unpaid principal balance outstanding at the rates provided for in, and calculated in accordance with
the terms of, the Loan Agreement (as hereinafter defined). Principal and interest hereunder shall be paid as provided in the Loan
Agreement.

 

This Revolving Note (this
"Note") is the Revolving Note referred to in, and is issued pursuant to, that certain Loan and Security Agreement
dated June 18, 2010 (as amended, restated, supplemented or otherwise modified from time to time, including as amended by the Forbearance
Agreement and Amendment dated as of even date herewith, the "Loan Agreement") among Borrowers and Lender, and
is entitled to all of the benefits and security of the Loan Agreement and the other "Loan Documents" (as defined in the
Loan Agreement). All of the terms, covenants and conditions of the Loan Agreement and the other Loan Documents are hereby made
a part of this Note and are deemed incorporated herein in full. All capitalized terms used herein, unless otherwise specifically
defined in this Note, shall have the meanings ascribed to them in the Loan Agreement.

 

Time is of the essence
of this Note. To the fullest extent permitted by applicable law, each Borrower, for itself and its successors and assigns, expressly
waives presentment, demand, protest, notice of dishonor, notice of non-payment, notice of maturity, notice of protest, presentment
for the purpose of acceleration of maturity, diligence in collection, and the benefit of any exemption or insolvency laws.

 

Wherever possible each
provision of this Note shall be interpreted in such a manner as to be effective and valid under applicable law, but if any provision
of this Note shall be prohibited or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition
or invalidity without invalidating the remainder of such provision or remaining provisions of this Note. No delay or failure on
the part of Lender in the exercise of any right or remedy hereunder shall operate as a waiver thereof, nor as an acquiescence in
any default, nor shall any single or partial exercise by Lender of any right or remedy preclude any other right or remedy. Lender,
at its option, may enforce its rights against any collateral securing this Note without enforcing its rights against any Borrower,
any guarantor of the indebtedness evidenced hereby or any other property or indebtedness due or to become due to any Borrower.
Each Borrower agrees that, without releasing or impairing such Borrower's liability hereunder, Lender may at any time release,
surrender, substitute or exchange any collateral securing this Note and may at any time release any party primarily or secondarily
liable for the indebtedness evidenced by this Note.

 

This Note is secured
by the Collateral described in the Loan Agreement and the other Loan Documents.

 

This Note shall be governed
by, and construed and enforced in accordance with, the internal laws of the State of Florida.

 

    	-21-

    	 

    
 

IN WITNESS WHEREOF, each
Borrower has caused this Note to be duly executed and delivered as of the date first above written.

 

 

	 	GLOBAL AXCESS CORP.. 
	 	NATIONWIDE MONEY SERVICES INC.
	 	NATIONWIDE NTERTAINMENT SERVICES, INC.
	 	EFT INTEGRATION, INC.
	 	 
	 	 
	 	 
	 	By: /s/ Kevin L. Reager
	 	Name: Kevin L. Reager
	 	Title: Chief Executive Officer

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