Document:

Exhibit 10.37

 

 

CONTRIBUTION AGREEMENT

BETWEEN

KINGSDELL L.P.,

a Delaware limited partnership

AS TRANSFEROR

AND

CHASE PARK PLAZA HOTEL, LLC,

a Delaware limited liability company

AS TRANSFEREE

As of December 1, 2006

 

 

CONTRIBUTION AGREEMENT

THIS CONTRIBUTION AGREEMENT (the “Agreement”)
is made to be effective as of the Effective Date (as hereinafter defined) by
and between KINGSDELL L.P., a Delaware limited partnership (“Transferor”),
and CHASE PARK PLAZA HOTEL, LLC, a Delaware limited liability company (“Transferee”).

W I T N E S S E T H:

ARTICLE
1.

TRANSFER

1.1.                              Transfer.  Subject to the terms and conditions
hereinafter set forth, Transferor agrees to sell and convey, transfer and
assign to Transferee and Transferee agrees to accept from Transferor all right,
title and interest of Transferor in the following:

(a)                                  that
certain tract or parcel of land situated in the City of St. Louis, Missouri,
more particularly described by metes and bounds on Exhibit A
attached hereto and made a part hereof, together with all and singular the
rights and appurtenances pertaining to such property, including any right,
title and interest of Transferor in and to adjacent streets, alleys or rights-of-way
(the property described in clause (a) of this Section 1.1 being herein referred
to collectively as the “Land”);

(b)                                 those certain condominium units situated in
the City of St. Louis, Missouri, which are more particularly described on Exhibit A attached hereto and made a part hereof for
all purposes, together with an undivided
share of the common elements relating thereto and all other and singular
rights and appurtenances pertaining to such units, including any right, title
and interest of Transferor in and to any easements benefiting the units and all
rights of ingress and egress thereto (the foregoing are hereinafter referred to
collectively as the “Units”);

(c)                                  the
buildings and other improvements on the Land and within the Units, including
specifically, without limitation, that certain hotel and related facilities
located thereon including but not limited to the eleven story hotel building
located at 212 N. Kingshighway, the subbasement, basement, floors 1-8, 16, a
portion of 28 and 29-30 of the Park Plaza Tower located at 232 N. Kingshighway
(the “Tower”) and the two parking garages that serve both buildings (the
property described in clause (b) of this Section 1.1 being herein referred to
collectively as the “Hotel” or the “Improvements”);

(d)                                 the
personal property owned by Transferor upon the Land or within the Improvements,
including specifically, without limitation, heating, ventilation and air
conditioning systems and equipment, appliances, furniture, carpeting, draperies
and curtains, tools and supplies, and other items of personal property used in
connection with the operation of the Land, Units and the Improvements (the
property described in clause (c) of this Section 1.1 being herein referred to
collectively as the “Personal Property”);

(e)                                  all
of Transferor’s right, title and interest in all oral or written agreements
pursuant to which any portion of the Land, Units or Improvements is used or
occupied by anyone other than Transferor (the property described in clause (d)
of this Section 1.1 being herein referred to collectively as the “Leases”);
and

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(f)                                    all
of Transferor’s right, title and interest in and to (i) all assignable
contracts and agreements relating to the upkeep, repair, maintenance or
operation of the Land, Units, Improvements or Personal Property which will
extend beyond the date of Closing (as such term is defined in Section 4.1
hereof) (collectively, the “Operating Agreements”); (ii) all
warranties and guaranties (express or implied) issued to Transferor in
connection with the Improvements or the Personal Property; (iii) all licenses,
permits, certificates of occupancy and other consents or approvals from
governmental authorities or private parties which relate to the Land, Units,
Improvements, or Personal Property; (iv) all other intangible property
associated with the use or operation of the Land, Units, Improvements or
Personal Property, including specifically, without limitation, the use of any
and all trade names, logos, web domain names, phone numbers and other
intellectual property used by Transferor in the operation of the Land, Units,
Improvements or Personal Property; and (v) all plans, specifications, drawings
(including CAD drawings), reports, studies, books, records and other documents
pertaining to the Land, Units, Improvements or Personal Property (the property
described in this Section 1.1(e) being sometimes herein referred to
collectively as the “Intangibles”).

1.2.                              Contributed Property
Defined.  The Land, the Units, the
Improvements, the Personal Property, the Leases, the Intangibles and cash are
hereinafter sometimes referred to collectively as the “Contributed Property.”

1.3.                              Permitted Exceptions.   The Contributed Property shall be conveyed
subject to the matters which are deemed to be Permitted Exceptions pursuant to
Section 2.3 hereof (herein referred to collectively as the “Permitted
Exceptions”) and subject to that certain Non-Negotiable Promissory Note
made by Transferor in favor of Transferee in the amount of $9,421,500 (the
“Promissory Note”).

1.4.                              Treatment as
Contribution.  The transfer, conveyance
and assignment of the Contributed Property shall constitute a capital
contribution to Transferee.

1.5.                              Consideration.  In consideration of Transferor’s contribution
of the Contributed Property, Transferee shall receive an interest as a member
of Transferee as more fully set forth in that certain limited liability company
agreement of Chase Park Plaza Hotel, LLC (the “Hotel LLC Agreement”).  In connection with the foregoing, the parties
hereby acknowledge and agree that, for purposes of this Agreement and as more
fully set forth in the Hotel LLC Agreement, Transferor shall receive a credit
to its capital account equal to $830,000, which amount is equal to the net fair
market value of the Contributed Property (net of the outstanding loan provided
by Massachusetts Mutual Life Insurance Company in the amount of $55,000,000
being assumed by Transferee (the “Mass Mutual Loan”) and the Promissory Note).

1.6.                              Agreed Value of
Contributed Property.  The parties
hereto agree that the fair market value of the elements of the Contributed
Property is as described on Schedule 1.6.

1.7.                              Tax Reporting.  Transferor agrees that it shall make an
election on its federal income tax return (Form 1065) for its taxable year
including December 1, 2006 (the “2006 Return”) pursuant to Section 754 of the
Internal Revenue Code of 1986, as amended (and a similar election if permitted
on any corresponding state income tax return). 
Transferor shall provide a copy of the 2006 Return (and any corresponding
state income tax return) to Transferee at least 45 days prior to the date of
filing of such returns.  Transferor and
Transferee shall consult prior to the filing of the 2006 Return (and any
corresponding state income tax returns) and shall agree on the reporting of the
impact of the Section 754 election on the 2006 Return (and any corresponding
state income tax returns) prior to the filing of such returns.  Such reporting shall be consistent with that
certain appraisal of the Property prepared by PKF.

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ARTICLE
2.

TITLE AND SURVEY

2.1.                              Commitment for Title
Insurance.  Transferor has delivered
to Transferee and the surveyor described in Section 2.2 below (a) a current
title commitment (the “Title Commitment”) covering the Property, showing
all matters affecting title to the Property and binding Fidelity National Title
Insurance Company (the “Title Company”) to issue at Closing an Owner’s Policy
of Title Insurance, on the form customarily used in the area in which the
Property is located, in the full amount of the value of the Land, Units and Improvements
pursuant to Section 2.4 hereof, and (b) legible copies of all instruments (the
“Exception Instruments”) referenced in the Title Commitment.

2.2.                              Survey.  Transferor has, at Transferor’s expense,
furnished to Transferee a current Survey (the “Survey”) of the Property
prepared by a reputable and duly licensed surveyor or surveying firm which (a)
locates all easements (whether of record or apparent from an inspection of the
Property) and rights of way on or adjacent to the Property (identified by recording
data, if applicable), (b) shows the Improvements situated on the Land and the
dimensions of all buildings thereon, (c) show the location and size of all
streets (existing or proposed) on or adjacent to the Property, (d) shows any
encroachments or protrusions, railroads, rivers, creeks, or other water
courses, fences, utilities (including size and location), and other matters
located on or affecting the Property (and any recording information relating
thereto), (e) sets forth the number of square feet comprising the Property,
together with a legal description of the boundaries of the Property by metes
and bounds; (f) certifies that the Property does not lie within the 100-year
flood plain as established by the U.S. Army Corps of Engineers, (g) contains a
certification by the surveyor in the form of Exhibit B attached hereto
or such other certification agreed to by Transferee, and (h) in general,
complies with the standards for an American Land Title Association survey.  Unless otherwise agreed by Transferor and
Transferee, the metes and bounds description contained in the Survey shall be
the legal description employed in the documents of conveyance of the Property.

2.3.                              Obligation to Cure
Liens.  Notwithstanding anything to
the contrary contained in this Article II, if at Closing there are any
mechanic’s or materialmen’s liens or mortgages, deeds of trust or other
instruments creating a lien for borrowed money against all or any part of the
Property (collectively, “Liens”), Transferor shall cause the same to be
discharged of record.  Notwithstanding
the foregoing, Transferor shall not be required to remove any lien evidencing
the existing financing with Massachusetts Mutual Life Insurance Company which
is being assumed by Transferee.

2.4.                              Owner’s Policy of
Title Insurance.  At Closing,
Transferor shall cause the Title Company to issue to Transferee an Owner’s
Policy of Title Insurance (the “Title Policy”) covering the Property, in
the full amount of the value of the Land, Units and Improvements, on the form
customarily used in the area in which the Property is located, insuring that
Transferee is the owner of good and indefeasible fee simple title to the
Property, subject only to the Permitted Exceptions, and with the standard
printed exceptions modified as follows: (a) the exception for restrictive
covenants shall either be deleted or shall list specific restrictions; (b) the
exception for ad valorem taxes shall reflect only taxes for the current year
and subsequent years, and subsequent assessments for prior years due to changes
in land usage or ownership, and shall be endorsed “now due and payable but not
delinquent until January 1, 2006”; (c) there shall be no exception for “visible
and apparent easements,” for “public or private roads” or the like; (d) there
shall be no exception for “rights of parties in possession,” although there may
be an exception for Leases specifically described in the Title Policy and for
residential tenants, as tenants only; and (e) any reference to submitting
claims under the Title Policy to arbitration shall be deleted.

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ARTICLE
3.

FINANCIAL REPORTING

3.1.                              Financial Reporting.  Transferee has advised Transferor that
Transferee must cause to be prepared up to three (3) years of audited financial
statements in respect of the Property in compliance with the policies of
Transferee and certain laws and regulations, including, without limitation,
Securities and Exchange Commission Regulation S-X, Rule 3-05 or 3-14, if
necessary. Transferor agrees to use reasonable efforts to cooperate with
Transferee’s auditors in the preparation of such audited financial statements
(it being understood and agreed that the foregoing covenant shall survive the
Closing). Without limiting the generality of the preceding sentence (a)
Transferor shall, during normal business hours, allow Transferee’s auditors
reasonable access to such books and records maintained by Transferor (and
Transferor’s manager of the Property) in respect of the Property as necessary
to prepare such audited financial statements; (b) Transferor shall use
reasonable efforts to provide to Transferee such financial information and
supporting documentation as are necessary for Transferee’s auditors to prepare
audited financial statements; (c) Transferor will make available for interview by
Transferee and Transferee’s auditors the manager of the Property or other
agents or representatives of Transferor responsible for the day-to-day
operation of the Property and the keeping of the books and records in respect
of the operation of the Property; and (d) if Transferor has audited financial
statements with respect to the Property, Transferor shall promptly provide
Transferee’s auditors with a copy of such audited financial statements. If
after the Closing Date Transferor obtains an audited financial statement in
respect of the Property for a fiscal period prior to the Closing Date that was
not completed as of the Closing Date, then Transferor shall promptly provide
Transferee with a copy of such audited financial statement, and the foregoing
covenant shall survive Closing. Transferee agrees to indemnify and hold
Transferor harmless of and from any claim for physical damages or physical
injuries arising from Transferee’s inspection of the Property, and
notwithstanding anything to the contrary in this Agreement, such obligation to
indemnify shall survive Closing or any termination of this Agreement. It shall
be a condition precedent to the obligations of Transferee under this Agreement
that Transferor shall have complied with the covenants set forth in this
Section 3.1 as of the Closing Date.

ARTICLE
4.

CLOSING

4.1.                              Time and Place.  Closing of the transaction contemplated
hereby (“Closing”) shall be held at such time and place as the parties
mutually agree on December 1, 2006 (the “Closing Date”) unless otherwise
mutually agreed by Transferor and Transferee. 
At Closing, Transferor and Transferee shall perform the obligations set
forth in, respectively, Section 4.2 and Section 4.3, the performance of which
obligations shall be concurrent conditions.

4.2.                              Transferor’s
Obligations at Closing.  At Closing,
Transferor shall:

(a)                                  deliver
to Transferee a Special Warranty Deed (the “Deed”) in the form of Exhibit
C attached hereto and made a part hereof, executed and acknowledged by
Transferor and in recordable form, conveying the Land, the Units and
Improvements to Transferee, subject only to the Permitted Exceptions;

(b)                                 deliver
to Transferee a Bill of Sale and Assignment (the “Bill of Sale”) in the
form of Exhibit D attached hereto and made a part hereof, executed and
acknowledged by Transferor and in recordable form;

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(c)                                  join
with Transferee in the execution and acknowledgment of an Assignment and
Assumption of Contracts (the “Assignment of Contracts”) in the form of Exhibit
E attached hereto and made a part hereof;

(d)                                 join
with Transferee in the execution of a letter to each tenant of the Property set
forth on Exhibit B-1 to the Assignment of Contracts in the form of Exhibit F
attached hereto and made a part hereof;

(e)                                  deliver
to Transferee a FIRPTA Affidavit in the form of Exhibit G attached
hereto and made a part hereof, duly executed by Transferor;

(f)                                    deliver
to Transferee evidence of termination of the existing management agreement
between Transferor and CWE Hospitality Services, LLC;

(g)                                 deliver
to Transferee such evidence as Transferee’s counsel and/or the Title Company
may reasonably require as to the authority of the person or persons executing
documents on behalf of Transferor;

(h)                                 deliver
to CWE Hospitality Services, LLC, at Transferee’s direction, original Leases,
original Operating Agreements and all other documents described in Section 1.1
hereof;

(i)                                     deliver
to Transferee possession and occupancy of the Property, subject to the
Permitted Exceptions;

(j)                                     deliver
to Transferee all available keys (including security deposit box keys) or
access cards used with respect to the Property in Transferor’s possession;

(k)                                  deliver
to Transferee the Title Policy pursuant to Section 2.5 hereof;

(l)                                     join
with Behringer Harvard Opportunity OP I, L.P., in the execution of the Hotel
LLC Agreement; and

(m)                               provide
such additional items and execute such additional agreements as may be
reasonably required to complete the transactions described in this Agreement.

4.3.                              Transferee’s
Obligations at Closing.  At Closing,
Transferee shall:

(a)                                  join
Transferor in execution of the instruments described in Sections 4.2 (a),
4.2(c) and 4.2(d) above;

(b)                                 deliver
to Transferor such evidence as Transferor’s counsel and/or the Title Company
may reasonably require as to the authority of the person or persons executing
documents on behalf of Transferee;

(c)                                  execute
a certificate of value in a form approved by Transferor and Transferee; and

(d)                                 provide
such additional items and execute such additional agreements as may be
reasonably required to complete the transactions described in this Agreement.

4.4.                              Credits and Prorations.  The following provisions shall govern the
apportionment of income and expenses with respect to the Property between
Transferor and Transferee:

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(a)                                  Real
estate taxes and assessments and personal property taxes for 2006, and prepaid
insurance shall be prorated at Closing.

(b)                                 All
rentals, revenues and other income and all expenses under the Operating
Agreements shall be prorated between Transferor and Transferee at Closing as of
the Cutoff Time (as defined below).

(c)                                  Transferor
shall arrange for final meter readings on all utilities at the Property to be
taken on the day preceding Closing. 
Transferor shall be responsible for the payment of utilities used
through the day preceding the Closing Date and Transferee shall be responsible
for the payment of utilities used on or after the Closing Date.  With respect to any utility for which there
is no meter, the expenses for such utility shall be prorated between Transferor
and Transferee at Closing based upon the most current bill for such
utility.  Any deposits for utilities
shall inure to the benefit of and be deemed assigned to Transferee.  Transferor and Transferee shall cooperate to
cause the transfer of utility company accounts from Transferor to Transferee.

(d)                                 All
security deposits and other deposits payable to tenants under the Leases shall
be credited to Transferee at Closing.

(e)                                  The
prorations described in this Section 4.4 shall be made as of 12:01 a.m. on
December 1, 2006 (the “Cutoff Time”), as if Transferee were vested with title
to the Property during the entire day of December 1, 2006.  All prorations described in this Section 4.4
shall be effected by increasing or decreasing, as the case may be, the amount of
cash to be paid by Transferee to Transferor at Closing.  Transferor and Transferee agree to adjust
between themselves after Closing any errors or omissions in the prorations made
at Closing; provided, however, that such prorations shall be deemed final and
not subject to further post Closing adjustments if no such adjustments have
been requested within one (1) year after the Closing Date.

4.5.                              Closing Costs.  The Company shall pay all closing costs set
forth on Exhibit J.  All other
costs and expenses incident to this transaction and the closing thereof shall
be paid by the party incurring same.

4.6.                              Closing Accommodation
Transactions.  As a condition
precedent to the Closing, the parties acknowledge that the transactions set
forth on Exhibit K attached hereto and made a part hereof, must be
completed in the order set forth on Exhibit K prior to the Closing.

4.7.                              Post-Closing Delivery. 
Transferor shall provide Transferee with an inventory of The Personal
Property by January 20, 2007.

ARTICLE
5.

REPRESENTATIONS, WARRANTIES AND COVENANTS

5.1.                              Representations and
Warranties of Transferor.  Transferor
hereby represents and warrants to Transferee as follows:

(a)                                  Transferor
has the full right, power and authority to enter into this Agreement and to
perform all of its obligations under this Agreement, and the execution and
delivery of this Agreement and the performance by Transferor of its obligations
under this Agreement require no further action or approval of Transferor’s
partners or of any other person in order to constitute this Agreement as a
binding and enforceable obligation of Transferor.

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(b)                                 To
the best of Transferor’s knowledge, without independent inquiry, the heating,
ventilation, air conditioning and other mechanical systems located in the
Improvements are in a good and workmanlike manner and are free from defects or
damage which would render them unfit for their continued use in the manner in
which they are presently used, subject, however, to ordinary wear and tear.

(c)                                  To
the best of Transferor’s knowledge, without independent inquiry, the
foundation, walls and all structural components of the Improvements are
structurally sound and Transferor has no knowledge of any material defects or
damage to any of the foregoing.  The
Improvements comply with state, local and federal architectural barriers
requirements including any requirements of the Americans with Disabilities Act.

(d)                                 The
Property is not in violation of any governmental order, regulation, statute,
code or ordinance dealing with the use, construction, operation, safety and/or
maintenance thereof, and all existing zoning and building codes and other
applicable laws and governmental regulations permit the operation of the
Property in accordance with its present and contemplated usage.  All necessary certificates of occupancy,
licenses (including liquor licenses) or permits, authorizations, consents and
approvals required by all governmental or quasi-governmental authorities having
jurisdiction, and the requisite certificates of the local Board of Fire
Underwriters (or other body exercising similar functions) have been issued for
the Improvements, have been paid for in full, and are in full force and effect.

(e)                                  There
has been no written demand by any mortgagee, insurance underwriter or
governmental authority for work to be done or other action to be taken by
Transferor which has not been complied with to the satisfaction of the entity
making such demand.  To the best of
Transferor’s knowledge, no defect or condition exists with respect to the Property
which would adversely affect the insurability of the Property.

(f)                                    To
the best of Transferor’s knowledge, there is no pending condemnation,
expropriation, eminent domain, litigation, administrative action or other legal
proceeding affecting all or any portion of the Property, and Transferor has not
received any written or oral notice of any of the same and has no knowledge
that any such proceeding is contemplated.

(g)                                 Transferor
has no knowledge of any change contemplated in any applicable laws or any judicial
or administrative action, or any action by adjacent landowners, or any natural
or artificial conditions upon the Property, which would prevent, limit, impede
or render more costly Transferee’s contemplated use of the Property.

(h)                                 The
Leases are in full force and effect and no default on the part of Transferor or
any tenant thereunder exists or has been alleged to exist. All repairs,
alterations, and other work required to be performed by Transferor under the
Leases have been fully performed and paid for in full by Transferor.  There are no Leases granting any person a
right to occupy the Property other than the Leases listed on Exhibit I attached
hereto and made a part hereof. No tenant of the Property has paid rent for more
than one month in advance of the current month.

(i)                                     No
tenant under the Leases has asserted any claim or offset which would in any way
affect the collection of rent from such tenant, nor has any tenant given any
notice to Transferor of its intention to terminate its tenancy.

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(j)                                     All
obligations of Transferor arising from the ownership and operation of the
Property and business operated thereon, including but not limited to salaries,
taxes, charges, operating expenses and the like, have been paid as they became
due or will be paid at or prior to Closing. 
Except for obligations for which provisions are herein made for
proration or other adjustment at Closing, there will be no obligations of
Transferor with respect to the Property outstanding as of the Closing Date.

(k)                                  No
person, firm or entity, other than Transferee has any right to acquire the
Property or any part thereof.

(l)                                     This
Agreement and the conveyance of the Property will not cause to be imposed on
Transferee any liability to withhold any amount pursuant to Section 1445 of the
Internal Revenue Code or the implementing regulations.

(m)                               Transferor
has not disposed of or otherwise released or allowed to be released any
hazardous or toxic substances, petroleum products, chemicals, or wastes of any
kind on, in, or under the Property, including any surface waters or groundwater
located on such Property, nor has Transferor caused or allowed to be released
or discharged any hazardous or toxic substances, petroleum products, chemicals,
or wastes of any kind on, in, or under any tracts in proximity to the Property,
including the surface or groundwaters thereof. 
To the best of Transferor’s knowledge, except for the existence of a
possible transformer in Unit 1 of the Park Plaza Master Condominium, there are
no hazardous or toxic substances, petroleum products, chemicals, or wastes on,
in, or under the Property, including surface or groundwaters, regardless of
source or cause, and there are no underground storage tanks on the Property.

(n)                                 Transferor
is not a party to any collective bargaining agreement or other labor agreement
with respect to the employees working at the hotel and, to Transferor’s
knowledge, there is no labor strike or other labor dispute pending with respect
to the employees working at the hotel.

5.2.                              Tenant Estoppels  Transferor
must obtain and deliver to Transferee, no later than the Closing Date (the “Estoppel
Return Date”), a tenant estoppel certificate in substantially the form of Exhibit H
attached hereto executed by each of the following tenants at the Property:  Karagiannis Investment Corporation, Famous
Five, LLC, The Washington University and Fredman & Fredman.  The form of tenant estoppel certificate shall
reflect appropriate changes thereto for any tenant that has specific
requirements in its Lease regarding the form of the tenant estoppel
certificate. An executed tenant
estoppel certificate in the form of Exhibit H (as such form may be
changed for any tenant that has
specific requirements in its Lease regarding the form of the tenant estoppel
certificate) is herein
referred to as a “Tenant Estoppel”. 
Notwithstanding anything
contained herein to the contrary, it shall be a condition precedent to the
obligation of Transferee to consummate the transaction that is the subject of
this Agreement that Transferor deliver to Transferee, on or before the Estoppel
Return Date, the Tenant Estoppels set forth above (the “Tenant Estoppel
Condition”). In the event that Transferor is unable to satisfy the Tenant
Estoppel Condition by the Estoppel Return Date, Transferor shall not be in
default under this Agreement. However, if the Tenant Estoppel Condition is not
fulfilled as of the Estoppel Return Date, then, for three (3)
business days thereafter, Transferee shall have the option either to (i) waive
the Tenant Estoppel Condition, (ii) extend the Closing Date for up to fourteen
(14) days to allow Transferor more time to obtain additional estoppel
certificates; or (iii) terminate this Agreement. If Transferee elects to extend
the Closing Date pursuant to clause (ii) of the preceding sentence and the
Tenant Estoppel Condition is still not fulfilled on or before the expiration of
the fourteen (14) day extension period, then Transferee may elect one of the
options set forth in clauses (i) and (iii) of the preceding sentence.

5.3.                              Representations and
Warranty of Transferee.  Transferee
hereby represents and warrants to Transferor that Transferee has the full
right, power and authority to enter into this Agreement and to carry out

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Transferee’s obligations hereunder, and to
perform all of its obligations under this Agreement, and the execution and
delivery of this Agreement and the performance by Transferee of its obligations
under this Agreement requires no further action or approval of Transferee’s
partners or of any other person in order to constitute this Agreement as a
binding and enforceable obligation of Transferee.

5.4.                              Survival of
Obligations.  Transferor and
Transferee agree as follows:

(a)                                  The
representations and warranties made by Transferor herein shall be continuing
and shall be deemed to be made by Transferor as of the Closing Date with the
same force and effect as if made at and as of that time.  All representations, warranties and covenants
made by Transferor herein shall survive Closing for a period of two (2) years,
unless a longer survival period is expressly provided herein.  Transferor shall indemnify and hold
Transferee free and harmless from and against all losses, costs, damages and
expenses of every kind and nature whatsoever (including reasonable attorneys’
fees and costs) sustained by Transferee as a result of any breach of any
representation, warranty or covenant made by Transferor in this Agreement.

(b)                                 The
representations and warranties made by Transferee herein shall be continuing
and shall be deemed to be made by Transferee as of the Closing Date with the
same force and effect as if made at and as of that time.  All representations and warranties of
Transferee shall survive Closing for a period of two (2) years.  Transferee shall indemnify and hold Transferor
free and harmless from and against all losses, costs, damages, and expenses of
every kind and nature whatsoever (including reasonable attorneys’ fees and
costs) sustained by Transferor as a result of any breach of any representation
or warranty made by Transferee.

ARTICLE
6.

CONDITIONS PRECEDENT TO THE CLOSING

6.1.                              Conditions Precedent
of Transferee.  In addition to all
other conditions set forth in this Agreement, Transferee’s obligation to
consummate the Closing is subject to the satisfaction of each and every one of
the conditions precedent set forth in this section 6.1 (all of which are for
the sole benefit of Transferee):

(a)                                  All
representations of Transferor set forth in Section 5.1 shall be true, correct
and complete in all material respects as of the Effective Date and shall be
true, correct and complete in all material respects as of the Closing Date.

(b)                                 Transferor
shall have performed in all material respects all obligations required to be
performed by Transferor hereunder prior to or in connection with the Closing.

6.2.                              Conditions Precedent
of Transferor.  In addition to all
other conditions set forth in this Agreement, Transferor’s obligation to
consummate the Closing is subject to the satisfaction of each and every one of
the conditions precedent set forth in this Section 6.2 (all of which are for
the sole benefit of Transferor):

(a)                                  All
representations of Transferee set forth in Section 5.2 shall be true, correct
and complete in all material respects as of the Effective Date and shall be
true, correct and complete in all material respects as of the Closing Date; and

(b)                                 Transferee
shall have performed in all material respects all obligations required to be
performed by Transferee hereunder prior to or in connection with the Closing.

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6.3.                              Failure of Condition
Precedent.  Upon the failure of any
of the foregoing conditions precedent, the party benefited by such failed
condition shall have the option to (a) waive such condition precedent and
proceed to Closing, or (b) terminate this Agreement by sending written
notice to the other party on or before the date of Closing..

ARTICLE
7.

DEFAULT

7.1.                              Default by Transferee.  In the event that Transferee fails to
consummate this Agreement for any reason, except Transferor’s default or the
permitted termination of this Agreement by either Transferor or Transferee as
herein expressly provided, Transferor shall be entitled, as its sole remedy, to
terminate this Agreement.  In the event
that Transferee closes under this Agreement and then fails to fully and timely
perform any of its other obligations under this Agreement that survive or are
performable after the Closing, Transferor may seek all remedies available at
law or in equity.

7.2.                              Default by Transferor.  In the event that Transferor fails to
consummate this Agreement for any reason, except Transferee’s default or the
permitted termination of this Agreement by Transferor or Transferee as herein
expressly provided, Transferee shall be entitled, as its exclusive remedies,
either (i) to terminate this Agreement by giving written notice thereof to
Transferor, whereupon neither party shall have any further rights or
obligations under this Agreement, or (ii) to enforce specific performance of
Transferor’s obligations under this Agreement; provided, however, if Transferor’s
default is such that specific performance cannot be granted as a judicial
remedy, then Transferee may seek any and all other remedies available at law or
in equity.  In the event Transferee
closes under this Agreement and then Transferor fails to fully perform any of
its other obligations under this Agreement that survive or are performable
after the Closing, Transferee may seek all remedies available at law or in
equity.

ARTICLE
8.

COMMISSIONS

8.1.                              Brokerage Commission.  Each party represents that it does not owe
any brokerage commissions in connection with this Agreement.   Each party agrees that should any claim be
made for brokerage commissions or finder’s fees by any broker or finder by,
through or on account of any acts of said party or its representatives, said
party will hold the other party free and harmless from and against any and all
loss, liability, cost, damage and expense in connection therewith.  The provisions of this paragraph shall survive
Closing.

ARTICLE
9.

MISCELLANEOUS

9.1.                              Disclaimers.  IT IS EXPRESSLY UNDERSTOOD AND AGREED THAT
TRANSFEREE IS PURCHASING THE PROPERTY “AS IS” AND “WHERE IS,” AND WITH ALL
FAULTS AND THAT TRANSFEROR IS MAKING NO REPRESENTATIONS OR WARRANTIES WITH
RESPECT TO THE PROPERTY, EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT.

9.2.                              Assignment.  Transferee shall have the right to assign its
rights under this Agreement without the consent of Transferor.

 10
 

 

9.3.                              Notices.  Any notice pursuant to this Agreement shall
be given in writing by (a) personal delivery, or (b) expedited delivery service
with proof of delivery, or (c) United States Mail, postage prepaid, registered
or certified mail, return receipt requested, or (d) prepaid telegram, telex or
telecopy (provided that such telegram, telex or telecopy is confirmed by
expedited delivery service or by mail in the manner previously described), sent
to the intended addressee at the address set forth below, or to such other
address or to the attention of such other person as the addressee shall have
designated by written notice sent in accordance herewith, and shall be deemed
to have been given either at the time of personal delivery, or, in the case of
expedited delivery service or mail, as of the date of first attempted delivery
at the address and in the manner provided herein, or, in the case of telegram,
telex or telecopy upon receipt.  Unless
changed in accordance with the preceding sentence, the addresses for notices
given pursuant to this Agreement shall be as follows:

If to Transferor:                                                            Kingsdell L.P.

212 N. Kingshighway, Suite 1023

St. Louis, Missouri 63108

Attn: James L. Smith

with a copy to:                                                                 Sonnenschein Nath & Rosenthal LLP

One Metropolitan Square, Suite 3000

St. Louis, Missouri 63102

Attn: Jennifer A. Marler, Esq.

If to Transferee::                                                        Chase Park Plaza Hotel, LLC

15601 Dallas Parkway, Suite 600

Addison, Texas 75001

Attn: Joe Jernigan

Fax No. (214) 655-1610

with a copy to:                                                                 Powell & Coleman, L.L.P.

8080 N. Central Expressway, Suite 1380

Dallas, Texas 75206

Attn: Patrick Arnold

Fax No. (214) 373-8768

9.4.                              Calculation of Time
Periods.  Unless otherwise specified, in computing any period of
time described in this Agreement, 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 the period so computed is to be included, unless such last day is a
Saturday, Sunday or legal holiday under the laws of the State of Texas, in
which event the period shall run until the end of the next day which is neither
a Saturday, Sunday or legal holiday.

9.5.                              Time of Essence.  Transferor and Transferee agree that time is
of the essence of this Agreement.

9.6.                              Successors and Assigns.  The terms and provisions of this Agreement
are to apply to and bind the permitted successors and assigns of the parties
hereto.

9.7.                              Entire Agreement.  This Agreement, including the Exhibits,
contains the entire agreement between the parties pertaining to the subject
matter hereof and fully supersedes all prior agreements and understandings
between the parties pertaining to such subject matter.

9.8.                              Further Assurances.  Each party agrees that it will without
further consideration execute and deliver such other documents and take such
other action, whether prior or subsequent to Closing, as may be

 11
 

 

reasonably requested by the other party to
consummate more effectively the purposes or subject matter of this Agreement.

9.9.                              Attorneys’ Fees.  In the event of any controversy, claim or
dispute between the parties affecting or relating to the subject matter or
performance of this Agreement, the prevailing party shall be entitled to
recover from the nonprevailing party all of its reasonable expenses, including
reasonable attorneys’ fees.

9.10.                        Counterparts.  This Agreement may be executed in several
counterparts, and all such executed counterparts shall constitute the same
agreement.  It shall be necessary to
account for only one such counterpart in proving this Agreement.

9.11.                        Severability.  If any provision of this Agreement is
determined by a court of competent jurisdiction to be invalid or unenforceable,
the remainder of this Agreement shall nonetheless remain in full force and
effect.

9.12.                        Applicable Law.  THIS AGREEMENT IS PERFORMABLE IN ST. LOUIS,
MISSOURI, AND SHALL IN ALL RESPECTS BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE
WITH, THE SUBSTANTIVE FEDERAL LAWS OF THE UNITED STATES AND THE LAWS OF THE
STATE OF MISSOURI.  TRANSFEROR AND
TRANSFEREE HEREBY IRREVOCABLY SUBMIT TO THE JURISDICTION OF ANY STATE OR
FEDERAL COURT SITTING IN ST. LOUIS, MISSOURI, IN ANY ACTION OR PROCEEDING
ARISING OUT OF OR RELATING TO THIS AGREEMENT AND HEREBY IRREVOCABLY AGREE THAT
ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING SHALL BE HEARD AND
DETERMINED IN A STATE OR FEDERAL COURT SITTING IN ST. LOUIS, MISSOURI.  TRANSFEROR AND TRANSFEREE AGREE THAT THE
PROVISIONS OF THIS SECTION SHALL SURVIVE THE CLOSING OF THE TRANSACTION
CONTEMPLATED BY THIS AGREEMENT.

9.13.                        No Third Party Beneficiary.  Except as expressly provided in Section
6.1(b), the provisions of this Agreement and of the documents to be executed
and delivered at Closing are and will be for the benefit of Transferor and
Transferee only and are not for the benefit of any third party, and
accordingly, no third party shall have the right to enforce the provisions of
this Agreement or of the documents to be executed and delivered at Closing.

9.14.                        Exhibits and Schedules.  The following schedules or exhibits attached
hereto shall be deemed to be an integral part of this Agreement:

(a)                                  Exhibit
A -                                        Legal
description of the Land

(b)                                 Exhibit
B -                                          Form
of Surveyor’s Certificate

(c)                                  Exhibit
C -                                          Form
of Special Warranty Deed

(d)                                 Exhibit
D -                                         Form
of Bill of Sale and Assignment

(e)                                  Exhibit
E -                                           Form
of Assignment and Assumption of Contract

(f)                                    Exhibit
F -                                           Form
of Tenant Notice Letter

(g)                                 Exhibit
G -                                          FIRPTA
Affidavit

 12
 

 

(h)                                 Exhibit
H -                                         Form
of Tenant Estoppel

(i)                                     Exhibit
I -                                              List
of Leases

(j)                                     Exhibit
J -                                             Closing
Costs

(k)                                  Exhibit
K -                                         Closing
Accommodation Transactions

(l)                                     Schedule
1.6 -                      Agreed Value
of Contributed Property

9.15.                        Captions.  The section headings appearing in this
Agreement are for convenience of reference only and are not intended, to any
extent and for any purpose, to limit or define the text of any section or any
subsection hereof.

9.16.                        Construction.  The parties acknowledge that the parties and
their counsel have reviewed and revised this Agreement and that the normal rule
of construction to the effect that any ambiguities are to be resolved against
the drafting party shall not be employed in the interpretation of this
Agreement or any exhibits or amendments hereto.

[REMAINDER OF PAGE
INTENTIONALLY LEFT BLANK]

 13

 

IN WITNESS WHEREOF, the parties hereto have duly
executed this Agreement to be effective as of the Effective Date.

	
  

  	
   

  	
  TRANSFEROR:

  
	
   

  	
   

  	
   

  
	
  Executed by Transferor

  	
   

  	
  KINGSDELL L.P.,

  
	
  this 1st day of December 2006

  	
   

  	
  a Delaware limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  IFC, INC., a Missouri corporation,

  
	
   

  	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ James L. Smith

  
	
   

  	
   

  	
   

  	
  James L. Smith, President

  

 

 

 

	
  

  	
   

  	
  TRANSFEREE:

  	 

	
   

  	
   

  	
   

  	 

	
  Executed by Transferee

  	
   

  	
  CHASE PARK PLAZA HOTEL,
  LLC,

  	 

	
  this 1st day of December 2006

  	
   

  	
  a Delaware limited
  liability company

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
  By:

  	
  Behringer Harvard Opportunity OP I LP,

  	 

	
   

  	
   

  	
   

  	
  a Texas limited partnership

  	 

	
   

  	
   

  	
   

  	
  Authorized Member

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	
  By:

  	
  Behringer Harvard Opportunity REIT I,

  
	
   

  	
   

  	
   

  	
   

  	
  Inc., a Maryland corporation

  
	
   

  	
   

  	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	 

	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Gerald J. Reihsen, III

  	 

	
   

  	
   

  	
   

  	
  Gerald J. Reihsen, III

  	 

	
   

  	
   

  	
   

  	
  Executive Vice President

  	 

 

 

EXHIBIT K

CLOSING ACCOMMODATION TRANSACTIONS

1)                                      Behringer Harvard Opportunity Op I, LP and Kingsdell L.P. will form
Chase Park Plaza Hotel, LLC and enter into a limited liability company
agreement and related operating agreements. 
Behringer Harvard Opportunity Op I, LP and Kingsdell L.P. will also form
The Private Residences, LLC and enter into a limited liability company
agreement and related operating agreements.

2)                                      Kingsdell L.P. will create and file a condominium regime approved by
Behringer Harvard Opportunity Op I, LP.

3)                                      Chase Park Plaza Hotel, LLC will make a loan to Kingsdell L.P. (the
“Hotel Loan”) evidenced by the Promissory Note. 
The Private Residences, LLC will also make a loan to Kingsdell L.P. (the
“Condo Loan”) evidenced by a promissory note.

4)                                      Kingsdell L.P. will redeem the interests of Dana Credit Corporation,
Rebnec Ten, Inc. and Dandorr, LLC in Kingsdell L.P. such that Kingsdell L.P. is
wholly owned by IFC, Inc. and [Smith entity].

5)                                      Kingsdell L.P. and Chase Park Plaza Hotel, LLC will enter into this
Agreement for the contribution of the Hotel and related facilities (the “Hotel
Assets”).  Kingsdell L.P. and The Private
Residences, LLC will enter into a Contribution Agreement for the contribution of
the portion of the Tower to be converted to condominiums (the “Condo Assets).

6)                                      Kingsdell L.P. will complete a Chapter 353 transfer and reconveyance
necessary to obtain a tax abatement from the City of St. Louis immediately
prior to Closing.

7)                                      Kingsdell L.P. will contribute the Hotel Assets to Chase Park Plaza
Hotel, LLC, subject to the Hotel Loan and the Mass Mutual Loan, in exchange for
a membership interest in Chase Park Plaza Hotel, LLC.  Kingsdell L.P. will contribute the Condo
Assets to The Private Residences, LLC, subject to the Condo Loan, in exchange
for a membership interest in The Private Residences, LLC.

 K-1
 

 

Schedule 1.6

Agreed Value of
Contributed Property

	
  Real and Personal Property

  	
   

  	
  $

  	
  63,586,554.20

  	
   

  
	
  Cash (including costs
  already paid)

  	
   

  	
  $

  	
  1,664,945.80

  	
   

  

 

 K-2Exhibit 10.38

 

 

CONTRIBUTION AGREEMENT

BETWEEN

KINGSDELL L.P.,

a Delaware limited partnership

AS TRANSFEROR

AND

THE PRIVATE RESIDENCES, LLC,

a Delaware limited liability company

AS TRANSFEREE

As of December 1, 2006

 

 

CONTRIBUTION AGREEMENT

THIS CONTRIBUTION AGREEMENT (the “Agreement”)
is made to be effective as of the Effective Date (as hereinafter defined) by
and between KINGSDELL L.P., a Delaware limited partnership (“Transferor”),
and THE PRIVATE RESIDENCES, LLC, a Delaware limited liability company (“Transferee”).

W I T N E S S E T H:

ARTICLE
1.

TRANSFER

1.1.          Transfer.  Subject to the terms and conditions
hereinafter set forth, Transferor agrees to sell and convey, transfer and
assign to Transferee and Transferee agrees to accept from Transferor all right,
title and interest of Transferor in the following:

(a)           that
certain tract or parcel of land situated in the City of St. Louis, Missouri,
more particularly described by metes and bounds on Exhibit A
attached hereto and made a part hereof, together with all and singular the
rights and appurtenances pertaining to such property, including any right,
title and interest of Transferor in and to adjacent streets, alleys or rights-of-way
(the property described in clause (a) of this Section 1.1 being herein referred
to collectively as the “Land”);

(b)           those
certain condominium units situated in the City of St. Louis, Missouri, which
are more particularly described on Exhibit
A attached hereto and made a part hereof for all purposes, together with an undivided share of the common
elements relating thereto and all other and singular rights and
appurtenances pertaining to such units, including any right, title and interest
of Transferor in and to any easements benefiting the units and all rights of
ingress and egress thereto (the foregoing are hereinafter referred to
collectively as the “Units”);

(c)           the
buildings and other improvements on the Land and within the Units, including
specifically, without limitation, floors 9-12, 14-15, 17-27 and a portion of 28
of the Park Plaza Tower located at 232 N. Kingshighway (the “Tower”) (the
property described in clause (b) of this Section 1.1 being herein referred to
collectively as the “Improvements”);

(d)           the
personal property owned by Transferor upon the Land, Units or within the
Improvements, including specifically, without limitation, heating, ventilation
and air conditioning systems and equipment, appliances, furniture, carpeting,
draperies and curtains, tools and supplies, and other items of personal
property used in connection with the operation of the Land and the Improvements
(the property described in clause (c) of this Section 1.1 being herein referred
to collectively as the “Personal Property”);

(e)           all
of Transferor’s right, title and interest in all oral or written agreements
pursuant to which any portion of the Land, Units or Improvements is used or
occupied by anyone other than Transferor (the property described in clause (d)
of this Section 1.1 being herein referred to collectively as the “Leases”);
and

(f)            all
of Transferor’s right, title and interest in and to (i) all assignable
contracts and agreements relating to the upkeep, repair, maintenance or
operation of the Land, Units, Improvements or Personal Property which will extend
beyond the date of Closing (as such term is defined in 

 1
 

 

Section 4.1 hereof) (collectively, the “Operating Agreements”);
(ii) all warranties and guaranties (express or implied) issued to
Transferor in connection with the Improvements or the Personal Property; (iii)
all licenses, permits, certificates of occupancy and other consents or
approvals from governmental authorities or private parties which relate to the
Land, Units, Improvements, or Personal Property; (iv) all other intangible
property associated with the use or operation of the Land, Units, Improvements
or Personal Property, including specifically, without limitation, the use of
any and all trade names, logos, web domain names, phone numbers and other
intellectual property used by Transferor in the operation of the Land, Units,
Improvements or Personal Property; and (v) all plans, specifications, drawings
(including CAD drawings), reports, studies, books, records and other documents
pertaining to the Land, Units, Improvements or Personal Property (the property
described in this Section 1.1(e) being sometimes herein referred to
collectively as the “Intangibles”).

1.2.          Contributed
Property Defined.  The Land, the
Units, the Improvements, the Personal Property, the Leases, the Intangibles and
cash are hereinafter sometimes referred to collectively as the “Contributed
Property.”

1.3.          Permitted
Exceptions.  The Contributed Property
shall be conveyed subject to the matters which are deemed to be Permitted
Exceptions pursuant to Section 2.3 hereof (herein referred to collectively
as the “Permitted Exceptions”) and subject to that certain
Non-Negotiable Promissory Note made by Transferor in favor of Transferee in the
amount of $29,078,500 (the “Promissory Note”).

1.4.          Treatment as
Contribution.  The transfer,
conveyance and assignment of the Contributed Property shall constitute a
capital contribution to Transferee.

1.5.          Consideration.  In consideration of Transferor’s contribution
of the Contributed Property, Transferee shall receive an interest as a member
of Transferee as more fully set forth in that certain limited liability company
agreement of The Private Residences, LLC (the “Condo LLC Agreement”).  In connection with the foregoing, the parties
hereby acknowledge and agree that, for purposes of this Agreement and as more
fully set forth in the Condo LLC Agreement, Transferor shall receive a credit
to its capital account equal to $1,670,000, which amount is equal to the net
fair market of the Contributed Property (net of the Promissory Note).

1.6.          Agreed Value of
Contributed Property.  The parties
hereto agree that the fair market value of the elements of the Contributed
Property is as described on Schedule 1.6.

1.7.          Tax Reporting.  Transferor agrees that it shall make an
election on its federal income tax return (Form 1065) for its taxable year
including December 1, 2006 (the “2006 Return”) pursuant to Section 754 of the
Internal Revenue Code of 1986, as amended (and a similar election if permitted
on any corresponding state income tax return). 
Transferor shall provide a copy of the 2006 Return (and any
corresponding state income tax return) to Transferee at least 45 days prior to
the date of filing of such returns. 
Transferor and Transferee shall consult prior to the filing of the 2006
Return (and any corresponding state income tax returns) and shall agree on the
reporting of the impact of the Section 754 election on the 2006 Return (and any
corresponding state income tax returns) prior to the filing of such
returns.  Such reporting shall be
consistent with that certain appraisal of the Property prepared by PKF.

 2
 

 

ARTICLE 2.

TITLE AND SURVEY

2.1.          Commitment for
Title Insurance.  Transferor has
delivered to Transferee and the surveyor described in Section 2.2 below (a) a
current title commitment (the “Title Commitment”) covering the Property,
showing all matters affecting title to the Property and binding Fidelity
National Title Insurance Company (the “Title Company”) to issue at Closing an
Owner’s Policy of Title Insurance, on the form customarily used in the area in
which the Property is located, in the full amount of the value of the Land,
Units and Improvements pursuant to Section 2.4 hereof, and (b) legible copies
of all instruments (the “Exception Instruments”) referenced in the Title
Commitment.

2.2.          Survey.  Transferor has, at Transferor’s expense,
furnished to Transferee a current Survey (the “Survey”) of the Property
prepared by a reputable and duly licensed surveyor or surveying firm which (a)
locates all easements (whether of record or apparent from an inspection of the
Property) and rights of way on or adjacent to the Property (identified by
recording data, if applicable), (b) shows the Improvements situated on the Land
and the dimensions of all buildings thereon, (c) show the location and size of
all streets (existing or proposed) on or adjacent to the Property, (d) shows
any encroachments or protrusions, railroads, rivers, creeks, or other water
courses, fences, utilities (including size and location), and other matters
located on or affecting the Property (and any recording information relating
thereto), (e) sets forth the number of square feet comprising the Property,
together with a legal description of the boundaries of the Property by metes
and bounds; (f) certifies that the Property does not lie within the 100-year
flood plain as established by the U.S. Army Corps of Engineers, (g) contains a
certification by the surveyor in the form of Exhibit B attached hereto
or such other certification as approved by Transferee, and (h) in general,
complies with the standards for an American Land Title Association survey.  Unless otherwise agreed by Transferor and
Transferee, the metes and bounds description contained in the Survey shall be
the legal description employed in the documents of conveyance of the Property.

2.3.          Obligation to
Cure Liens.  Notwithstanding anything
to the contrary contained in this Article II, if at Closing there are any
mechanic’s or materialmen’s liens or mortgages, deeds of trust or other
instruments creating a lien for borrowed money against all or any part of the
Property (collectively, “Liens”), Transferor shall cause the same to be
discharged of record.  Notwithstanding
the foregoing, Transferor shall not be required to remove any lien evidencing
the existing financing with Massachusetts Mutual Life Insurance Company which
is being assumed by Transferee.

2.4.          Owner’s Policy of
Title Insurance.  At Closing,
Transferor shall cause the Title Company to issue to Transferee an Owner’s
Policy of Title Insurance (the “Title Policy”) covering the Property, in
the full amount of the value of the Land, Units and Improvements, on the form
customarily used in the area in which the Property is located, insuring that
Transferee is the owner of good and indefeasible fee simple title to the Property,
subject only to the Permitted Exceptions, and with the standard printed
exceptions modified as follows: (a) the exception for restrictive covenants
shall either be deleted or shall list specific restrictions; (b) the exception
for ad valorem taxes shall reflect only taxes for the current year and
subsequent years, and subsequent assessments for prior years due to changes in
land usage or ownership, and shall be endorsed “now due and payable but not
delinquent until January 1, 2006”; (c) there shall be no exception for “visible
and apparent easements,” for “public or private roads” or the like; (d) there
shall be no exception for “rights of parties in possession,” although there may
be an exception for Leases specifically described in the Title Policy and for
residential tenants, as tenants only; and (e) any reference to submitting
claims under the Title Policy to arbitration shall be deleted.

 3
 

 

ARTICLE 3.

FINANCIAL REPORTING

3.1.          Financial
Reporting.  Transferee has advised Transferor that
Transferee must cause to be prepared up to three (3) years of audited financial
statements in respect of the Property in compliance with the policies of
Transferee and certain laws and regulations, including, without limitation,
Securities and Exchange Commission Regulation S-X, Rule 3-05 or 3-14, if
necessary. Transferor agrees to use reasonable efforts to cooperate with
Transferee’s auditors in the preparation of such audited financial statements
(it being understood and agreed that the foregoing covenant shall survive the
Closing). Without limiting the generality of the preceding sentence (a)
Transferor shall, during normal business hours, allow Transferee’s auditors
reasonable access to such books and records maintained by Transferor (and
Transferor’s manager of the Property) in respect of the Property as necessary
to prepare such audited financial statements; (b) Transferor shall use
reasonable efforts to provide to Transferee such financial information and
supporting documentation as are necessary for Transferee’s auditors to prepare
audited financial statements; (c) Transferor will make available for interview
by Transferee and Transferee’s auditors the manager of the Property or other
agents or representatives of Transferor responsible for the day-to-day operation
of the Property and the keeping of the books and records in respect of the
operation of the Property; and (d) if Transferor has audited financial
statements with respect to the Property, Transferor shall promptly provide
Transferee’s auditors with a copy of such audited financial statements. If
after the Closing Date Transferor obtains an audited financial statement in
respect of the Property for a fiscal period prior to the Closing Date that was
not completed as of the Closing Date, then Transferor shall promptly provide
Transferee with a copy of such audited financial statement, and the foregoing
covenant shall survive Closing. Transferee agrees to indemnify and hold
Transferor harmless of and from any claim for physical damages or physical
injuries arising from Transferee’s inspection of the Property, and
notwithstanding anything to the contrary in this Agreement, such obligation to
indemnify shall survive Closing or any termination of this Agreement. It shall be a condition precedent to the
obligations of Transferee under this Agreement that Transferor shall have
complied with the covenants set forth in this Section 3.1 as of the Closing
Date.

ARTICLE 4.

CLOSING

4.1.          Time and Place.  Closing of the transaction contemplated
hereby (“Closing”) shall be held at such time and place as the parties
mutually agree on December 1, 2006 (the “Closing Date”) unless otherwise
mutually agreed by Transferor and Transferee. 
At Closing, Transferor and Transferee shall perform the obligations set
forth in, respectively, Section 4.2 and Section 4.3, the performance of which
obligations shall be concurrent conditions.

4.2.          Transferor’s
Obligations at Closing.  At Closing,
Transferor shall:

(a)           deliver to Transferee a Special
Warranty Deed (the “Deed”) in the form of Exhibit C attached
hereto and made a part hereof, executed and acknowledged by Transferor and in
recordable form, conveying the Land, the Units and Improvements to Transferee,
subject only to the Permitted Exceptions;

(b)           deliver to Transferee a Bill of Sale
and Assignment (the “Bill of Sale”) in the form of Exhibit D
attached hereto and made a part hereof, executed and acknowledged by Transferor
and in recordable form;

 4
 

 

(c)           join with Transferee in the execution
and acknowledgment of an Assignment and Assumption of Contracts (the “Assignment
of Contracts”) in the form of Exhibit E attached hereto and made a
part hereof;

(d)           deliver to Transferee a FIRPTA
Affidavit in the form of Exhibit G attached hereto and made a part
hereof, duly executed by Transferor;

(e)           deliver to Transferee evidence of
termination of the existing management agreement between Transferor and CWE
Hospitality Services, LLC;

(f)            deliver to Transferee such evidence
as Transferee’s counsel and/or the Title Company may reasonably require as to
the authority of the person or persons executing documents on behalf of
Transferor;

(g)           deliver to CWE Hospitality Services,
LLC, at Transferee’s direction, original Leases, original Operating Agreements
and all other documents described in Section 1.1 hereof;

(h)           deliver to Transferee possession and
occupancy of the Property, subject to the Permitted Exceptions;

(i)            deliver to Transferee all available
keys (including security deposit box keys) or access cards used with respect to
the Property in Transferor’s possession;

(j)            deliver to Transferee the Title
Policy pursuant to Section 2.5 hereof;

(k)           join with Behringer Harvard
Opportunity OP I, L.P, in the execution of the Condo LLC Agreement; and

(l)            provide such additional items and
execute such additional agreements as may be reasonably required to complete
the transactions described in this Agreement.

4.3.          Transferee’s
Obligations at Closing.  At Closing,
Transferee shall:

(a)           join Transferor in execution of the
instruments described in Sections 4.2(a), 4.2(c), 4.2(d) and 4.2(l) above;

(b)           deliver to Transferor such evidence
as Transferor’s counsel and/or the Title Company may reasonably require as to
the authority of the person or persons executing documents on behalf of
Transferee;

(c)           execute a certificate of value in a
form approved by Transferor and Transferee; and

(d)           provide such additional items and
execute such additional agreements as may be reasonably required to complete
the transactions described in this Agreement.

4.4.          Credits and
Prorations.  The following provisions
shall govern the apportionment of income and expenses with respect to the
Property between Transferor and Transferee:

(a)           Real estate taxes and assessments and
personal property taxes for 2006, and prepaid insurance shall be prorated at
Closing.

 5
 

 

(b)           All rentals, revenues and other
income and all expenses under the Operating Agreements shall be prorated
between Transferor and Transferee at Closing as of the Cutoff Time (as defined
below).

(c)           Transferor shall arrange for final
meter readings on all utilities at the Property to be taken on the day
preceding Closing.  Transferor shall be
responsible for the payment of utilities used through the day preceding the
Closing Date and Transferee shall be responsible for the payment of utilities used
on or after the Closing Date.  With
respect to any utility for which there is no meter, the expenses for such
utility shall be prorated between Transferor and Transferee at Closing based
upon the most current bill for such utility. 
Any deposits for utilities shall inure to the benefit of and be deemed
assigned to Transferee.  Transferor and
Transferee shall cooperate to cause the transfer of utility company accounts
from Transferor to Transferee.

(d)           All security deposits and other
deposits payable to tenants under the Leases shall be credited to Transferee at
Closing.

(e)           The prorations described in this
Section 4.4 shall be made as of 12:01 a.m. on December 1, 2006 (the “Cutoff
Time”), as if Transferee were vested with title to the Property during the
entire day of December 1, 2006.  All
prorations described in this Section 4.4 shall be effected by increasing or
decreasing, as the case may be, the amount of cash to be paid by Transferee to
Transferor at Closing.  Transferor and
Transferee agree to adjust between themselves after Closing any errors or
omissions in the prorations made at Closing; provided, however, that such
prorations shall be deemed final and not subject to further post Closing
adjustments if no such adjustments have been requested within one (1) year
after the Closing Date.

4.5.          Closing Costs.  The Company shall pay all closing costs set
forth on Exhibit J.  All other
costs and expenses incident to this transaction and the closing thereof shall
be paid by the party incurring same.

4.6.          Closing Accommodation Transactions.  As a condition precedent to the Closing, the
parties acknowledge that the transactions set forth on Exhibit I
attached hereto and made a part hereof, must be completed in the order set
forth on Exhibit I prior to the Closing.

4.7.          Post-Closing Delivery.  Transferor shall provide Transferee with an
inventory of The Personal Property by January 20, 2007.

ARTICLE
5.

REPRESENTATIONS,
WARRANTIES AND COVENANTS

5.1.          Representations
and Warranties of Transferor. 
Transferor hereby represents and warrants to Transferee as follows:

(a)           Transferor has the full right, power
and authority to enter into this Agreement and to perform all of its
obligations under this Agreement, and the execution and delivery of this
Agreement and the performance by Transferor of its obligations under this
Agreement require no further action or approval of Transferor’s partners or of
any other person in order to constitute this Agreement as a binding and
enforceable obligation of Transferor.

(b)           To the best of Transferor’s
knowledge, without independent inquiry, the heating, ventilation, air
conditioning and other mechanical systems located in the Improvements are in a
good 

 6
 

 

and
workmanlike manner and are free from defects or damage which would render them
unfit for their continued use in the manner in which they are presently used,
subject, however, to ordinary wear and tear.

(c)           To the best of Transferor’s
knowledge, without independent inquiry, the foundation, walls and all
structural components of the Improvements are structurally sound and Transferor
has no knowledge of any material defects or damage to any of the
foregoing.  The Improvements comply with
state, local and federal architectural barriers requirements including any
requirements of the Americans with Disabilities Act.

(d)           The Property is not in violation of
any governmental order, regulation, statute, code or ordinance dealing with the
use, construction, operation, safety and/or maintenance thereof, and all
existing zoning and building codes and other applicable laws and governmental
regulations permit the operation of the Property in accordance with its
present  and contemplated usage.  All necessary certificates of occupancy,
licenses (including liquor licenses) or permits, authorizations, consents and
approvals required by all governmental or quasi-governmental authorities having
jurisdiction, and the requisite certificates of the local Board of Fire
Underwriters (or other body exercising similar functions) have been issued for
the Improvements, have been paid for in full, and are in full force and effect.

(e)           There has been no written demand by
any mortgagee, insurance underwriter or governmental authority for work to be
done or other action to be taken by Transferor which has not been complied with
to the satisfaction of the entity making such demand.  To the best of Transferor’s knowledge, no
defect or condition exists with respect to the Property which would adversely
affect the insurability of the Property.

(f)            To the best of Transferor’s
knowledge, there is no pending condemnation, expropriation, eminent domain,
litigation, administrative action or other legal proceeding affecting all or
any portion of the Property, and Transferor has not received any written or
oral notice of any of the same and has no knowledge that any such proceeding is
contemplated.

(g)           Transferor has no knowledge of any
change contemplated in any applicable laws or any judicial or administrative
action, or any action by adjacent landowners, or any natural or artificial
conditions upon the Property, which would prevent, limit, impede or render more
costly Transferee’s contemplated use of the Property.

(h)           The Leases are in full force and
effect and no default on the part of Transferor or any tenant thereunder exists
or has been alleged to exist. All repairs, alterations, and other work required
to be performed by Transferor under the Leases have been fully performed and
paid for in full by Transferor.  There
are no Leases granting any person a right to occupy the Property other than the
Leases listed on Exhibit H attached hereto and made a part hereof. No
tenant of the Property has paid rent for more than one month in advance of the
current month.

(i)            No tenant under the Leases has
asserted any claim or offset which would in any way affect the collection of
rent from such tenant, nor has any tenant given any notice to Transferor of its
intention to terminate its tenancy.

(j)            All obligations of Transferor
arising from the ownership and operation of the Property and business operated
thereon, including but not limited to salaries, taxes, charges, operating
expenses and the like, have been paid as they became due or will be paid at or
prior to Closing.  Except for 

 7
 

 

obligations
for which provisions are herein made for proration or other adjustment at
Closing, there will be no obligations of Transferor with respect to the
Property outstanding as of the Closing Date.

(k)           No person, firm or entity, other than
Transferee has any right to acquire the Property or any part thereof except
pursuant to the pre-sale contracts for the planned condominium units.

(l)            This Agreement and the conveyance of
the Property will not cause to be imposed on Transferee any liability to
withhold any amount pursuant to Section 1445 of the Internal Revenue Code or
the implementing regulations.

(m)          Transferor has not disposed of or
otherwise released or allowed to be released any hazardous or toxic substances,
petroleum products, chemicals, or wastes of any kind on, in, or under the
Property, including any surface waters or groundwater located on such Property,
nor has Transferor caused or allowed to be released or discharged any hazardous
or toxic substances, petroleum products, chemicals, or wastes of any kind on,
in, or under any tracts in proximity to the Property, including the surface or
groundwaters thereof.  To the best of
Transferor’s knowledge, there are no hazardous or toxic substances, petroleum
products, chemicals, or wastes on, in, or under the Property, including surface
or groundwaters, regardless of source or cause, and there are no underground
storage tanks on the Property.

(n)           No portion of the Intangibles
consists of rights to any brand name under which any lodging facility (as
defined in Section (d)(9)(D)(ii) of the Internal Revenue Code of 1986, as
amended) is operated.

5.2.          Representations
and Warranty of Transferee. 
Transferee hereby represents and warrants to Transferor that Transferee
has the full right, power and authority to enter into this Agreement and to
carry out Transferee’s obligations hereunder, and to perform all of its
obligations under this Agreement, and the execution and delivery of this
Agreement and the performance by Transferee of its obligations under this
Agreement requires no further action or approval of Transferee’s partners or of
any other person in order to constitute this Agreement as a binding and
enforceable obligation of Transferee.

5.3.          Survival of
Obligations.  Transferor and
Transferee agree as follows:

(a)           The representations and warranties
made by Transferor herein shall be continuing and shall be deemed to be made by
Transferor as of the Closing Date with the same force and effect as if made at
and as of that time.  All
representations, warranties and covenants made by Transferor herein shall
survive Closing for a period of two (2) years, unless a longer survival period
is expressly provided herein.  Transferor
shall indemnify and hold Transferee free and harmless from and against all
losses, costs, damages and expenses of every kind and nature whatsoever
(including reasonable attorneys’ fees and costs) sustained by Transferee as a
result of any breach of any representation, warranty or covenant made by
Transferor in this Agreement.

(b)           The representations and warranties
made by Transferee herein shall be continuing and shall be deemed to be made by
Transferee as of the Closing Date with the same force and effect as if made at
and as of that time.  All representations
and warranties of Transferee shall survive Closing for a period of two (2)
years.  Transferee shall indemnify and
hold Transferor free and harmless from and against all losses, costs, damages,
and expenses of every kind and nature whatsoever (including reasonable
attorneys’ fees and costs) sustained by Transferor as a result of any breach of
any representation or warranty made by Transferee.

 8
 

 

ARTICLE 6.

CONDITIONS PRECEDENT TO THE CLOSING

6.1.          Conditions
Precedent of Transferee.  In addition
to all other conditions set forth in this Agreement, Transferee’s obligation to
consummate the Closing is subject to the satisfaction of each and every one of
the conditions precedent set forth in this section 6.1 (all of which are for
the sole benefit of Transferee):

(a)           All representations of Transferor set
forth in Section 5.1 shall be true, correct and complete in all material
respects as of the Effective Date and shall be true, correct and complete in
all material respects as of the Closing Date.

(b)           Transferor shall have performed in
all material respects all obligations required to be performed by Transferor
hereunder prior to or in connection with the Closing.

6.2.          Conditions
Precedent of Transferor.  In addition
to all other conditions set forth in this Agreement, Transferor’s obligation to
consummate the Closing is subject to the satisfaction of each and every one of
the conditions precedent set forth in this Section 6.2 (all of which are for
the sole benefit of Transferor):

(a)           All representations of Transferee set
forth in Section 5.2 shall be true, correct and complete in all material
respects as of the Effective Date and shall be true, correct and complete in
all material respects as of the Closing Date; and

(b)           Transferee shall have performed in
all material respects all obligations required to be performed by Transferee
hereunder prior to or in connection with the Closing.

6.3.          Failure of
Condition Precedent.  Upon the
failure of any of the foregoing conditions precedent, the party benefited by
such failed condition shall have the option to (a) waive such condition
precedent and proceed to Closing, or (b) terminate this Agreement by
sending written notice to the other party on or before the date of Closing..

ARTICLE
7.

DEFAULT

7.1.          Default by
Transferee.  In the event that
Transferee fails to consummate this Agreement for any reason, except Transferor’s
default or the permitted termination of this Agreement by either Transferor or
Transferee as herein expressly provided, Transferor shall be entitled, as its
sole remedy, to terminate this Agreement. 
In the event that Transferee closes under this Agreement and then fails
to fully and timely perform any of its other obligations under this Agreement
that survive or are performable after the Closing, Transferor may seek all
remedies available at law or in equity.

7.2.          Default by
Transferor.  In the event that
Transferor fails to consummate this Agreement for any reason, except
Transferee’s default or the permitted termination of this Agreement by
Transferor or Transferee as herein expressly provided, Transferee shall be
entitled, as its exclusive remedies, either (i) to terminate this Agreement by
giving written notice thereof to Transferor, whereupon neither party shall have
any further rights or obligations under this Agreement, or (ii) to enforce
specific performance of Transferor’s obligations under this Agreement;
provided, however, if Transferor’s default is such that specific performance
cannot be granted as a judicial remedy, then Transferee may seek any and all
other remedies available at law or in equity. 
In the event Transferee closes under this Agreement and then Transferor
fails to fully perform any of

 9
 

 

its other obligations under this Agreement that survive or are
performable after the Closing, Transferee may seek all remedies available at
law or in equity.

ARTICLE
8.

COMMISSIONS

8.1.          Brokerage
Commission.  Each party represents
that it does not owe any brokerage commissions in connection with this
Agreement.   Each party agrees that
should any claim be made for brokerage commissions or finder’s fees by any
broker or finder by, through or on account of any acts of said party or its
representatives, said party will hold the other party free and harmless from
and against any and all loss, liability, cost, damage and expense in connection
therewith.  The provisions of this
paragraph shall survive Closing.

ARTICLE
9.

MISCELLANEOUS

9.1.          Disclaimers.  IT IS EXPRESSLY UNDERSTOOD AND AGREED THAT
TRANSFEREE IS PURCHASING THE PROPERTY “AS IS” AND “WHERE IS,” AND WITH ALL
FAULTS AND THAT TRANSFEROR IS MAKING NO REPRESENTATIONS OR WARRANTIES WITH
RESPECT TO THE PROPERTY, EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT.

9.2.          Assignment.  Transferee shall have the right to assign its
rights under this Agreement without the consent of Transferor.

9.3.          Notices.  Any notice pursuant to this Agreement shall
be given in writing by (a) personal delivery, or (b) expedited delivery service
with proof of delivery, or (c) United States Mail, postage prepaid, registered
or certified mail, return receipt requested, or (d) prepaid telegram, telex or
telecopy (provided that such telegram, telex or telecopy is confirmed by
expedited delivery service or by mail in the manner previously described), sent
to the intended addressee at the address set forth below, or to such other
address or to the attention of such other person as the addressee shall have
designated by written notice sent in accordance herewith, and shall be deemed
to have been given either at the time of personal delivery, or, in the case of
expedited delivery service or mail, as of the date of first attempted delivery
at the address and in the manner provided herein, or, in the case of telegram,
telex or telecopy upon receipt.  Unless
changed in accordance with the preceding sentence, the addresses for notices
given pursuant to this Agreement shall be as follows:

	
  If to Transferor:

  	
   

  	
  Kingsdell L.P.

  
	
   

  	
   

  	
  212 N.
  Kingshighway, Suite 1023

  
	
   

  	
   

  	
  St. Louis,
  Missouri 63108

  
	
   

  	
   

  	
  Attn: James L.
  Smith

  
	
   

  	
   

  	
   

  
	
  with a copy to:

  	
   

  	
  Sonnenschein Nath & Rosenthal LLP

  
	
   

  	
   

  	
  One Metropolitan
  Square, Suite 3000

  
	
   

  	
   

  	
  St. Louis,
  Missouri 63102

  
	
   

  	
   

  	
  Attn: Jennifer
  A. Marler, Esq.

  

 10
 

 

 

	
  If to Transferee:

  	
   

  	
  The Private Residences, LLC

  
	
   

  	
   

  	
  15601 Dallas
  Parkway, Suite 600

  
	
   

  	
   

  	
  Addison, Texas
  75001

  
	
   

  	
   

  	
  Attn: Joe
  Jernigan

  
	
   

  	
   

  	
  Fax No. (214)
  655-1610

  
	
   

  	
   

  	
   

  
	
  with a copy to:

  	
   

  	
  Powell & Coleman, L.L.P.

  
	
   

  	
   

  	
  8080 N. Central
  Expressway, Suite 1380

  
	
   

  	
   

  	
  Dallas, Texas
  75206

  
	
   

  	
   

  	
  Attn: Patrick
  Arnold

  
	
   

  	
   

  	
  Fax No. (214)
  373-8768

  

 

9.4.          Calculation
of Time Periods.  Unless otherwise
specified, in computing any period of time described in this Agreement, 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 the period so computed is to be
included, unless such last day is a Saturday, Sunday or legal holiday under the
laws of the State of Texas, in which event the period shall run until the end
of the next day which is neither a Saturday, Sunday or legal holiday.

9.5.          Time
of Essence.  Transferor and
Transferee agree that time is of the essence of this Agreement.

9.6.          Successors
and Assigns.  The terms and
provisions of this Agreement are to apply to and bind the permitted successors
and assigns of the parties hereto.

9.7.          Entire
Agreement.  This Agreement, including
the Exhibits, contains the entire agreement between the parties pertaining to
the subject matter hereof and fully supersedes all prior agreements and
understandings between the parties pertaining to such subject matter.

9.8.          Further
Assurances.  Each party agrees that
it will without further consideration execute and deliver such other documents
and take such other action, whether prior or subsequent to Closing, as may be
reasonably requested by the other party to consummate more effectively the
purposes or subject matter of this Agreement.

9.9.          Attorneys’
Fees.  In the event of any
controversy, claim or dispute between the parties affecting or relating to the
subject matter or performance of this Agreement, the prevailing party shall be
entitled to recover from the nonprevailing party all of its reasonable
expenses, including reasonable attorneys’ fees.

9.10.        Counterparts.  This Agreement may be executed in several
counterparts, and all such executed counterparts shall constitute the same
agreement.  It shall be necessary to account
for only one such counterpart in proving this Agreement.

9.11.        Severability.  If any provision of this Agreement is
determined by a court of competent jurisdiction to be invalid or unenforceable,
the remainder of this Agreement shall nonetheless remain in full force and
effect.

9.12.        Applicable
Law.  THIS AGREEMENT IS PERFORMABLE
IN ST. LOUIS, MISSOURI, AND SHALL IN ALL RESPECTS BE GOVERNED BY, AND CONSTRUED
IN ACCORDANCE WITH, THE SUBSTANTIVE FEDERAL LAWS OF THE UNITED STATES AND THE
LAWS OF THE STATE OF MISSOURI. 
TRANSFEROR AND TRANSFEREE HEREBY IRREVOCABLY SUBMIT TO THE JURISDICTION
OF ANY STATE OR FEDERAL COURT SITTING IN ST. LOUIS, MISSOURI, IN ANY 

 11
 

 

ACTION OR
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT AND HEREBY IRREVOCABLY
AGREE THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING SHALL BE HEARD
AND DETERMINED IN A STATE OR FEDERAL COURT SITTING IN ST. LOUIS, MISSOURI.  TRANSFEROR AND TRANSFEREE AGREE THAT THE
PROVISIONS OF THIS SECTION SHALL SURVIVE THE CLOSING OF THE TRANSACTION
CONTEMPLATED BY THIS AGREEMENT.

9.13.        No
Third Party Beneficiary.  Except as
expressly provided in Section 6.1(b), the provisions of this Agreement and of
the documents to be executed and delivered at Closing are and will be for the
benefit of Transferor and Transferee only and are not for the benefit of any
third party, and accordingly, no third party shall have the right to enforce
the provisions of this Agreement or of the documents to be executed and
delivered at Closing.

9.14.        Exhibits
and Schedules.  The following
schedules or exhibits attached hereto shall be deemed to be an integral part of
this Agreement:

	
  (a)

  	
   

  	
  Exhibit A -

  	
   

  	
  Legal description of the Land

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (b)

  	
   

  	
  Exhibit B -

  	
   

  	
  Form of Surveyor’s Certificate

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (c)

  	
   

  	
  Exhibit C -

  	
   

  	
  Form of Special Warranty Deed

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (d)

  	
   

  	
  Exhibit D -

  	
   

  	
  Form of Bill of Sale and Assignment

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (e)

  	
   

  	
  Exhibit E -

  	
   

  	
  Form of Assignment and Assumption of Contract

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (f)

  	
   

  	
  Exhibit F -

  	
   

  	
  Reserved

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (g)

  	
   

  	
  Exhibit G -

  	
   

  	
  FIRPTA Affidavit

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (h)

  	
   

  	
  Exhibit H -

  	
   

  	
  List of Leases

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (i)

  	
   

  	
  Exhibit I -

  	
   

  	
  Closing Accommodation Transactions

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (j)

  	
   

  	
  Exhibit J -

  	
   

  	
  Closing Costs

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  (k)

  	
   

  	
  Schedule 1.6 -

  	
   

  	
  Agreed Value of Contributed Property

  

 

9.15.        Captions.  The section headings appearing in this
Agreement are for convenience of reference only and are not intended, to any
extent and for any purpose, to limit or define the text of any section or any
subsection hereof.

9.16.        Construction.  The parties acknowledge that the parties and
their counsel have reviewed and revised this Agreement and that the normal rule
of construction to the effect that any ambiguities are to be resolved against
the drafting party shall not be employed in the interpretation of this
Agreement or any exhibits or amendments hereto.

[REMAINDER OF PAGE
INTENTIONALLY LEFT BLANK]

 12

 

IN WITNESS WHEREOF, the parties hereto have duly
executed this Agreement to be effective as of the Effective Date.

	
  

  	
   

  	
  TRANSFEROR:

  
	
   

  	
   

  	
   

  
	
  Executed by Transferor

  	
   

  	
  KINGSDELL L.P.,

  
	
  this 1st day of December 2006

  	
   

  	
  a Delaware limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  IFC, INC., a Missouri corporation,

  
	
   

  	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ James L. Smith

  
	
   

  	
   

  	
   

  	
   

  	
  James L. Smith, President

  
						

 

 

 

	
  

  	
   

  	
  TRANSFEREE:

  
	
   

  	
   

  	
   

  
	
  Executed by Transferee

  	
   

  	
  THE PRIVATE RESIDENCES, LLC,

  
	
  this 1st day of December 2006

  	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Behringer Harvard Opportunity OP I LP,

  
	
   

  	
   

  	
   

  	
  a Texas limited partnership

  
	
   

  	
   

  	
   

  	
  Authorized Member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  Behringer Harvard Opportunity REIT I, Inc.,

  
	
   

  	
   

  	
   

  	
   

  	
  a Maryland corporation

  
	
   

  	
   

  	
   

  	
   

  	
  its General Partner

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Gerald J. Reihsen, III

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Gerald J. Reihsen, III

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Executive Vice President

  
							

 

 

EXHIBIT I

CLOSING ACCOMMODATION TRANSACTIONS

1)             Behringer Harvard Opportunity Op I,
LP and Kingsdell L.P. will form Chase Park Plaza Hotel, LLC and enter into a
limited liability company agreement and related operating agreements.  Behringer Harvard Opportunity Op I, LP and
Kingsdell L.P. will also form The Private Residences, LLC and enter into a
limited liability company agreement and related operating agreements.

2)             Kingsdell L.P. will create and file
a condominium regime approved by Behringer Harvard Opportunity Op I, LP.

3)             Chase Park Plaza Hotel, LLC will
make a loan to Kingsdell L.P. (the “Hotel Loan”) evidenced by a promissory
note.  The Private Residences, LLC will
also make a loan to Kingsdell L.P. (the “Condo Loan”) evidenced by the
Promissory Note.

4)             Kingsdell L.P. will redeem the
interests of Dana Credit Corporation, Rebnec Ten, Inc. and Dandorr, LLC in
Kingsdell L.P. such that Kingsdell L.P. is wholly owned by IFC, Inc. and [Smith
entity].

5)             Kingsdell L.P. and The Private
Residences, LLC will enter into this Agreement for the contribution of the
portion of the Tower to be converted to condominiums (the “Condo Assets).  Kingsdell L.P. and Chase Park Plaza Hotel,
LLC will enter into a Contribution Agreement for the contribution of the Hotel
and related facilities (the “Hotel Assets”).

6)             Kingsdell L.P. will complete a
Chapter 353 transfer and reconveyance necessary to obtain a tax abatement from
the City of St. Louis immediately prior to Closing.

7)             Kingsdell L.P. will contribute the Hotel Assets to Chase
Park Plaza Hotel, LLC, subject to the Hotel Loan and the Mass Mutual Loan, in
exchange for a membership interest in Chase Park Plaza Hotel, LLC.  Kingsdell L.P. will contribute the Condo
Assets to The Private Residences, LLC, subject to the Condo Loan, in exchange
for a membership interest in The Private Residences, LLC.

 I-1

 

Schedule 1.6

Agreed Value of
Contributed Property

	
  Real and Personal Property

  	
   

  	
   

  	
  $

  	
  27,913,445.80

  	
   

  
	
  Cash (including
  costs already paid)

  	
   

  	
   

  	
  $

  	
  2,835,054.20

  	
   

  

 

 J-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00116-of-00352.parquet"}]]