Document:

Exhibit
10.51

	
  Title:

  	
   

  	
  Assignment, Assumption and Modification Agreement

  
	
   

  	
   

  	
   

  
	
  Date:

  	
   

  	
  December 1, 2006

  
	
   

  	
   

  	
   

  
	
  Grantor:

  	
   

  	
  CHASE PARK PLAZA HOTEL, LLC and

  
	
   

  	
   

  	
  THE PRIVATE RESIDENCES, LLC

  
	
   

  	
   

  	
   

  
	
  Grantor’s Mailing Address:

  	
   

  	
  c/o Chase Park Plaza

  
	
   

  	
   

  	
  212 North Kingshighway Blvd.

  
	
   

  	
   

  	
  St. Louis, Missouri 63108

  
	
   

  	
   

  	
  Attention: Mr. James L. Smith

  
	
   

  	
   

  	
   

  
	
  Grantee:

  	
   

  	
  MASSACHUSETTS MUTUAL LIFE INSURANCE COMPANY

  
	
   

  	
   

  	
   

  
	
  Grantee’s Mailing Address:

  	
   

  	
  c/o Babson Capital Management LLC

  
	
   

  	
   

  	
  1500 Main Street, Suite 2100

  
	
   

  	
   

  	
  Springfield, Massachusetts 01115

  
	
   

  	
   

  	
  Attention: Managing Director, Real Estate Finance
  Group

  
	
   

  	
   

  	
   

  
	
  Legal Description:

  	
   

  	
  See Exhibit A-1 attached
  hereto

  
	
   

  	
   

  	
   

  
	
  Reference Book and Page:

  	
   

  	
  Book 08012005, Page 108

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Document prepared by and

  	
   

  	
   

  
	
  after recording return to:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Alison M. Mitchell, Esq.

  	
   

  	
   

  
	
  DLA Piper US LLP

  	
   

  	
   

  
	
  203 N. LaSalle St.

  	
   

  	
   

  
	
  Chicago, IL 60601

  	
   

  	
   

  

 

ASSIGNMENT,
ASSUMPTION AND MODIFICATION AGREEMENT

This
ASSIGNMENT, ASSUMPTION AND MODIFICATION AGREEMENT
(this “Agreement”) is entered into as of the 1st day of December, 2006 among CHASE PARK PLAZA HOTEL, LLC, a
Delaware limited liability company (“Chase Hotel”), THE PRIVATE
RESIDENCES, LLC, a Delaware limited liability company (“Private
Residences”; together with Chase Hotel, “Borrower”), KINGSDELL L.P., a Delaware limited partnership (“Original
Borrower”) and MASSACHUSETTS MUTUAL LIFE
INSURANCE COMPANY, a Massachusetts corporation (“Lender”).

R E C I T
A L S:

A.            Original Borrower is the owner of the real estate
commonly referred to as 212-232 N. Kingshighway, St. Louis, Missouri and
legally described in Exhibit A-1
attached hereto and incorporated herein by this reference and other property
located thereon or related thereto (collectively, the “Mortgaged Property”).

B.            Lender heretofore made a loan (the “Loan”) to
Original Borrower in the original principal amount of Sixty Million Dollars
($60,000,000).  The Loan is evidenced by
that certain Promissory Note dated July 28, 2005 (the “Note” or “Note
A”) in the principal amount of $55,000,000 and that certain Promissory Note
dated July 28, 2005 (“Note B”) in the principal amount of up to
$5,000,000, and is secured and governed by the instruments listed in Exhibit B attached hereto and incorporated herein by
this reference (the Note, the documents listed in Exhibit B
attached hereto, and all other documents that evidence and secure the Loan
excluding Note B, the Additional Advance Agreement (as defined in Exhibit B) the Debt Service Paydown Amount Guaranty (as
defined in Exhibit B), the Subordination and
Intercreditor Agreement (as defined in Exhibit B) and
the Terrorism Insurance Side Letter (as defined in Exhibit B)
are referred to herein as the “Loan Documents”).

C.            Lender is currently the holder of, among other things,
Note A and Note B.

D.            On even date with this Agreement, Original Borrower, in
accordance with Section 2.17(B) of the Mortgage (as defined in Exhibit B), shall convey the portion of the Mortgaged
Property descried on Exhibit A-2
attached hereto to Chase Hotel and the portion of the Mortgaged Property
described on Exhibit A-3 attached hereto to
Private Residences.

E.             Lender has agreed to consent to such conveyance of the
Mortgaged Property, subject to the lien and security interests created and
granted under the Mortgage and other Loan Documents, upon and subject to the
terms, provisions and conditions contained in this Agreement.

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

 

1.             Assignment.  Original Borrower hereby assigns, transfers
and conveys to Borrower all of its right, title and interest in and to the
Note, Mortgage and other Loan Documents.

2.             Assumption and Release.  Borrower hereby accepts said assignment and
assumes and agrees to be bound by and be liable jointly and severally for all
obligations, covenants, agreements and liabilities of “Borrower” arising on or
after the date hereof under the Note, Mortgage and the other Loan Documents,
with the same force and effect as if Borrower were the original signatory to
the Note, Mortgage, and the other Loan Documents.  The foregoing assumption shall release
Original Borrower from its obligations and liabilities under Note A, Note B,
the Mortgage and the other Loan Documents with respect to any events or
occurrences arising after the date of this Agreement but shall not release
Original Borrower from its obligations and liabilities under Note A, Note B,
the Mortgage and the other Loan Documents with respect to any events or
occurrences arising on or prior to the date of this Agreement.  The foregoing assumption shall also release,
and Lender hereby so releases, Dana Credit Corporation, a Delaware corporation
(“Original Guarantor”) from its obligations and liabilities under the
Recourse Guaranty (as defined on Exhibit B) and
the Environmental Indemnity (as defined on Exhibit B) with
respect to any events or occurrences arising after the date of this Agreement
but shall not release Original Guarantor from its obligations and liabilities
under the Recourse Guaranty and the Environmental Indemnity with respect to any
events or occurrences arising on or prior to the date of this Agreement.

3.             Consent.  Lender hereby consents to the assignment by
Original Borrower referenced in Paragraph 1 above and the assumption by
Borrower referenced in Paragraph 2 above.

4.             Termination of Note B and
Additional Advance Agreement. 
Under the Additional Advance Agreement, Lender agreed to advance to
Original Borrower, subsequent to the date of Note B, up to $5,000,000 under
Note B, subject to and in accordance with the terms and conditions of the
Additional Advance Agreement.  As of the
date hereof, no amounts have been advanced pursuant to the Additional Advance
Agreement, and no amounts are outstanding or due under Note B.    In connection with the assignment by
Original Borrower referenced in Paragraph 1 above and the assumption by
Borrower referenced in Paragraph 2 above, Note B and the Additional Advance
Agreement are hereby deemed cancelled, terminated, void and of no further force
or effect.  From and after the date
hereof, all references in this Agreement and in the Loan Documents to “Note”
shall mean only Note A.  From and after
the date hereof, any reference to Note B and the Additional Advance Agreement
in the Loan Documents shall be deemed deleted.

5.             Termination of Certain
Other Documents.  As of
the date of this Agreement, the Debt Service Paydown Amount Guaranty, the
Subordination and Intercreditor Agreement and the Terrorism Insurance Side
Letter are hereby deemed cancelled, terminated, void and of no further force or
effect.  Any reference to the Debt
Service Paydown Amount Guaranty, the Subordination and Intercreditor Agreement
and the Terrorism Insurance Side Letter in the Loan Documents shall be deemed
deleted.

 2
 

 

6.             Mortgage.  In addition to all other modifications
referred to herein, the Mortgage is hereby modified as of the date of this
Agreement as follows:

(a)                                  The
definition of “Principals” set forth in Article I of the Mortgage is deleted
and the following is inserted in its place:

““Principals”
means all general partners, controlling members, managing members, managing
agents and/or controlling stockholders of Borrower and Behringer Harvard
Opportunity REIT I, Inc. and its successors and assigns.”

(b)                                 Sections
2.17(B), 2.17(C), 2.17(D), 2.29, 2.31 and 2.33 of the Mortgage are deleted.

(c)                                  The
following sentence is deleted from Section 2.17(A) of the Mortgage:

“Additionally,
without limiting the generality of the foregoing, until the Loan has been pain
in full, Dana Credit shall remain a wholly-owned subsidiary of Dana
Corporation.”

(d)                                 Section
2.16(c) of the Mortgage is deleted and the following is inserted in its place:

“(c)         An annual balance sheet and profit and
loss statement of Borrower, the Principals, and Behringer Harvard Opportunity
REIT I, Inc., in a form approved by Lender, prepared and certified by Borrower,
the Principals, or Behringer Harvard Opportunity REIT I, Inc., as to the
applicable statement.  All statements
shall be delivered to Lender within 105 days after the close of each Fiscal
Year of Borrower, Principal, or Behringer Harvard Opportunity REIT I, Inc., as
the case may be; provided, however, if audited statements of the aforesaid are
available, then Borrower shall deliver same to Lender promptly upon receipt
thereof;”

(e)                                  Section
2.16(e) of the Mortgage is deleted and the following is inserted in its place:

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

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(f)                                    The
fourth (4th) sentence of Section 2.23 of the Mortgage is deleted and the
following is inserted in its place:

“As
of the date hereof, Lender approves CWE Hospitality Services LLC as manager of
the Mortgaged Property (as to both the Hotel Security and the Apartment
Security), reserving the right, however, to revoke such approval for good cause
only.”

(g)                                 Section
2.26(b) of the Mortgage is deleted and the following is inserted in its place:

“(b)         At any time during the term of the Loan
if Borrower is a limited partnership, then any general partner of Borrower must
also be a special purpose entity and comply with the provisions of this Section
2.26.  Moreover, at any time during the
term of the Loan if Borrower is a limited liability company, then any managing
member of Borrower must also be a special purpose entity and comply with the
provisions of this Section 2.26.”

(h)                                 Section
4.01(x) of the Mortgage is deleted and the following is inserted in its place:

“(x)          If either Person comprising Borrower
files, claims or institutes a proceeding or other action for partition (or any
other kind of division) of, or otherwise transfers its interest in, the
Mortgaged Property (or part thereof).”

7.             Note.  In addition to all other modifications
referred to herein, the Note is hereby modified as of the date of this
Agreement by adding to Section 10(c) as follows:

“(xi)         If
either Person comprising Borrower files, claims or institutes a proceeding or
other action for partition (or any other kind of division) of, or otherwise
transfers its interest in, the Mortgaged Property (or part thereof) – full
recourse liability for the entire Indebtedness under the Loan.”

8.             Additional
Modifications to All Loan Documents.  From and after the date of this Agreement:

(a)                                  All
references in the Note, the Mortgage and the other Loan Documents to Original
Borrower shall be deemed to refer to Borrower.

(b)                                 All
references in any of the Loan Documents to “Loan Documents” shall be deemed to
include, in addition to the Loan Documents (as hereinbefore defined), this
Agreement and the documents listed on Exhibit C attached
hereto (the “New Loan Documents”).

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(c)                                  Any
reference in the Loan Documents to the Federal Tax Identification Number or “FEIN”
of Borrower shall mean and refer to the Federal Employer Identification Numbers
of Chase Hotel and Private Residences, which respectively are:  20-5901759 and 20-5901834.

(d)                                 Any
reference in the Loan Documents to the Organizational Number of Borrower shall
mean and refer to the Organizational Numbers of Chase Hotel and Private
Residences, which respectively are: 
4253489 and 4253490.

(e)                                  All
notices to Borrower under the Loan Documents shall be directed as follows:

Chase
Park Plaza Hotel, LLC and The Private Residences, LLC

c/o
Chase Park Plaza

212
North Kingshighway Blvd.

St.
Louis, Missouri  63108

Attention:  Mr. James L. Smith

Facsimile:  (314) 633-3233

With a copy to:

Behringer
Harvard Opportunity REIT I, Inc.

15601
Dallas Parkway, Suite 600

Addison,
Texas  75001

Attention:  Chief Legal Officer

Facsimile: 
(214) 655-1610

(f)                                    All
notices to Guarantor or Indemnitor under the Loan Documents shall be directed
as follows:

Behringer
Harvard Opportunity REIT I, Inc.

15601
Dallas Parkway, Suite 600

Addison,
Texas  75001

Attention:  Chief Financial Officer

Facsimile:  (214) 655-1610

With a copy to:

Behringer
Harvard Opportunity REIT I, Inc.

15601
Dallas Parkway, Suite 600

Addison,
Texas  75001

Attention:  Chief Legal Officer

Facsimile: 
(214) 655-1610

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9.             Confirmation
of Debt.  On November 1,
2006, the Original Borrower made a monthly interest payment in the amount of
$238,333.33.  The next monthly payment
that is due under the Note is in the amount of $238,333.33, which is due and
payable on December 1, 2006.  The
outstanding principal balance of the Note is $55,000,000.

10.           Borrower’s
Representations.  Borrower
represents and warrants to Lender as follows:

(a)                                  Borrower
has full power and authority to execute and deliver this Agreement and to
perform its obligations hereunder.  Upon
execution and delivery of this Agreement, this Agreement will be valid, binding
and enforceable upon Borrower in accordance with its terms.  Execution and delivery of this Agreement do
not and will not contravene, conflict with, violate or constitute a default
under (i) the operating agreement creating and governing Borrower or
(ii) any applicable law, rule, regulation, judgment, decree or order or
any agreement, indenture or instrument to which Borrower is a party or is bound
or which is binding upon or applicable to the Mortgaged Property or any portion
thereof.

(b)                                 There
is not any condition, event or circumstance existing, or any litigation,
arbitration, governmental or administrative proceedings, examinations, claims
or demands pending, or to Borrower’s knowledge, threatened, affecting Borrower
or the Mortgaged Property.

(c)                                  To
the best of Borrower’s knowledge, no Event of Default (as defined in the
Mortgage) or event or circumstance which with the giving of notice, the passage
of time, or both would constitute a default exists under the Note, Mortgage or
any of the other Loan Documents, all as amended by this Agreement and Borrower
hereby acknowledges that as of the date of this Agreement, Borrower has no
defenses, claims or set-offs to the enforcement by Lender of the obligations
and liabilities of Borrower or Original Borrower under the Note, Mortgage and
the other Loan Documents, all as amended by this Agreement.

(d)                                 To
the best of Borrower’s knowledge, there is not any condition, event or
circumstance existing, or any litigation, arbitration, governmental or
administrative proceedings, examinations, claims or demands pending, or to any
Borrower’s knowledge, threatened, affecting Borrower or the Mortgaged Property,
which would prevent Borrower from complying with or performing its obligations
under the Note, the Mortgage or any of the other Loan Documents, as the same
are being modified by this Agreement, within the time limits set forth therein
for such compliance or performance, and no basis for any such matter exists.

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(e)                                  Borrower
is solvent and able to pay its debts as such debts become due, and has capital
sufficient to carry on its present business transactions.  The value of the Borrower’s property, at a
fair valuation, is greater than the sum of its debts.

(f)                                    Borrower
is not bankrupt or insolvent, nor has Borrower made an assignment for the benefit
of its creditors, nor has there been a trustee or receiver appointed for
Borrower, nor has there been any bankruptcy, reorganization or insolvency
proceeding instituted by or against Borrower, nor will Borrower be rendered
insolvent by its execution, delivery or performance of this Agreement, the
Note, Mortgage or any of the other Loan Documents, all as amended by this
Agreement.

(g)                                 The
most recent financial statements for Borrower and the Mortgaged Property
provided to Lender fairly and accurately present the financial condition of
such entity and, to the extent applicable, the results of operations for the
applicable periods covered thereby.

(h)                                 Each
representation and warranty made by the Original Borrower in favor of Lender
pursuant to the Note, Mortgage and the other Loan Documents are hereby ratified
and confirmed and shall remain in full force and effect in accordance with
their respective terms, except those representations and warranties which were
specific to the Original Borrower and are not applicable to Borrower.

11.           Original
Borrower’s Representations. 
The Original Borrower represents and warrants to Lender as follows:

(a)                                  The
Original Borrower has full power and authority to execute and deliver this
Agreement and to perform its obligations hereunder.  Upon execution and delivery of this
Agreement, this Agreement will be valid, binding and enforceable upon Original
Borrower in accordance with its terms. 
Execution and delivery of this Agreement do not and will not contravene,
conflict with, violate or constitute a default under (i) the partnership
agreements creating and governing Original Borrower or (ii) any applicable
law, rule, regulation, judgment, decree or order or any agreement, indenture or
instrument to which Original Borrower is a party or is bound or which is
binding upon or applicable to the Mortgaged Property or any portion thereof.

(b)                                 There
is not any condition, event or circumstance existing, or any litigation,
arbitration, governmental or administrative proceedings, examinations, claims
or demands pending, or to Original Borrower’s knowledge, threatened, affecting
Original Borrower or the Mortgaged Property.

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(c)                                  No
Event of Default or event or circumstance which with the giving of notice, the
passage of time, or both would constitute an Event of Default exists under the
Note, Mortgage or any of the other Loan Documents, all as amended by this
Agreement and Original Borrower hereby acknowledges that as of the date of this
Agreement, Original Borrower has no defenses, claims or set-offs to the
enforcement by Lender of the obligations and liabilities of Borrower or
Original Borrower under the Note, Mortgage and the other Loan Documents, all as
amended by this Agreement.

12.           Lender’s Representation.  Lender hereby represents to Borrower
that:  (a) Lender is the holder of
the Note, the Mortgage and the other Loan Documents; (b) prior to the
execution hereof, the Loan Documents were the only documents evidencing,
securing or directly related to the Loan; (c) the maturity of the Note has
not been accelerated and to Lender’s knowledge, no Event of Default (as defined
in the Mortgage) currently exists, nor, to Lender’s knowledge does any
circumstance currently exist to which, with the giving of notice or the passage
of time, or both, would constitute an Event of Default; (d) there is no
indebtedness owing to Lender or any related parties that is secured by the
Mortgage other than the indebtedness secured by the Note; and (e) Lender
currently holds the following escrows in connection with the Loan:  (i) a tax escrow in the amount of
$1,100,006.36 and (ii) furnitures, fixtures and equipment escrow in the
amount of $151,785.58.  Notwithstanding
anything contained herein to the contrary, Lender has been advised that neither
Behringer Harvard Opportunity REIT I, Inc., a Maryland corporation (“Behringer”)
nor Behringer Harvard Opportunity OP I LP, a Texas limited partnership (“BH
Opportunity”) is a special purpose entity, and Lender hereby confirms that
the Loan Documents do not require that either Behringer or BH Opportunity be a
special purpose entity.  Further, Lender
agrees that, subject to compliance with Section 2.25 of the Mortgage, the
transfer of shares of Behringer shall be permitted under the Loan Documents and
shall not constitute an Event of Default.

13.           New Loan Documents.  The obligation of Lender to enter into this
Agreement shall be subject to Original Borrower and/or Borrower having
delivered or causing to be delivered on or prior to the date of this Agreement
the New Loan Documents in form and substance acceptable to Lender.

14.           Title Endorsement.  The obligation of Lender to enter into this
Agreement shall be (among other conditions) subject to Original Borrower and/or
Borrower having delivered or causing to be delivered on or prior to the date of
this Agreement an endorsement (the “Title Endorsement”) to Lender’s
policy of title insurance insuring the lien of the Mortgage (the “Title
Policy”), covering the date of the recording of this Agreement, evidencing
Borrower as the party in title to the Mortgaged Property and providing that
there are no exceptions to title other than those exceptions to title set forth
in the Title Policy and the lien of real estate taxes not yet due or payable

15.           Release.  Borrower, Original Borrower and Original
Guarantor (collectively “Obligors”), on behalf of themselves and all of
their heirs, successors and assigns, hereby remise, release, acquit, waive,
satisfy and forever discharge Lender and all of its past, present and future

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officers, directors, employees, agents, attorneys,
representatives, participants, heirs, subsidiaries, affiliates, successors and
assigns (collectively, the “Lender Parties”) from any and all manner of
debts, accountings, bonds, warranties, representations, covenants, promises,
contracts, controversies, agreements, liabilities, obligations, expenses,
damages, judgments, executions, objections, defenses, setoffs, actions, claims,
demands and causes of action of any nature whatsoever (“Claims”),
whether at law or in equity, whether known or unknown, either now accrued or
hereafter maturing, which any Obligor now has or hereafter can, shall or may
have by reason of any matter, cause or thing, from the beginning of the world
to and including the date of this Agreement, arising out of or relating to (a)
the Loan, including, but not limited to, the administration or funding thereof,
(b) the Loan Documents, or the indebtedness evidenced and secured thereby,
or (c) the Mortgaged Property.  Obligors,
on behalf of themselves and all of their heirs, successors and assigns, hereby
covenant and agree never to institute or cause to be instituted or continue
prosecution of any suit or other form of action or proceeding of any kind of
nature whatsoever against any of the Lender Parties by reason of or in
connection with any of the foregoing matters, claims or causes of action;
provided that nothing in the foregoing shall release any of the Lender Parties
from any Claims of Borrower first arising after the date of this Agreement.

16.           Expenses.  Original Borrower and/or Borrower agree to
pay (jointly and severally) all expenses, charges, costs and fees, including
without limitation, attorneys’ fees, incurred by Lender in connection with the
negotiation and documentation of the agreements contained in this Agreement,
together with all expenses, charges, costs and fees relating to the delivery
and issuance to Lender of the New Loan Documents and the Title Endorsement
(collectively, the “Additional Loan Expenses”).  The Additional Loan Expenses shall be paid
promptly upon demand from Lender to Original Borrower or Borrower.

17.           Miscellaneous.

(a)                                  If
one or more of the provisions contained in this Agreement shall for any reason
be held to be invalid, illegal or unenforceable in any respect by a court of
competent jurisdiction, such invalidity, illegality or unenforceability shall
not affect any other provision of this Agreement, and this Agreement shall be
construed as if such invalid, illegal or unenforceable provision had never been
contained herein or therein.

(b)                                 This
Agreement shall be binding on and enforceable against each Obligor and their
respective heirs, legatees, legal representatives, successors and assigns and
shall inure to the benefit of Lender, its successors and assigns.

(c)                                  The
Note, the Mortgage and the other Loan Documents shall remain in full force and
effect in accordance with their respective terms and except as expressly
provided herein unmodified.

(d)                                 This
Agreement shall be governed in accordance with the laws of the State of Missouri
without regard to its conflict of laws principles.

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(e)                                  If
there is a default in any provision of this Agreement by Borrower then Lender
shall be entitled to all rights and remedies provided under the other Loan
Documents.

(f)                                    Borrower,
Original Borrower and Lender each acknowledge that there are no other
agreements or representations, either oral or written, express or implied, not
embodied in this Agreement, the Note B, the Additional Advance Agreement, the
Subordination and Intercreditor Agreement, the New Loan Documents or the other
Loan Documents, which, together, represent a complete integration of all prior
and contemporaneous agreements and understandings of Borrower, Original
Borrower and Lender.

(g)                                 Except
as provided herein, this Agreement shall be binding upon and shall inure to the
benefit of Borrower, Original Borrower and Lender, and their respective
successors, permitted assigns, grantees, heirs, executors, personal
representatives, and administrators.

(h)                                 All
of the Mortgaged Property shall remain in all respects subject to the lien,
charge and encumbrance of the Mortgage and the other Loan Documents, as herein
modified, and except as specifically set forth herein, nothing herein contained
and nothing done pursuant hereto, shall affect the lien, charge or encumbrance
of the Mortgage, as herein modified, or the priority thereof with respect to
other liens, charges, encumbrances or conveyances, or release or affect the
liability of any party or parties whomsoever who may now or hereafter be liable
under or on account of the Loan Documents.

(i)                                     Borrower
acknowledges that it has thoroughly read and reviewed the terms and provisions
of this Agreement and is familiar with same, that the terms and provisions
contained herein are clearly understood by Borrower and have been fully and
unconditionally consented to by Borrower, and that Borrower and Lender have had
full benefit and advice of counsel of their own selection, or the opportunity
to obtain the benefit and advice of counsel of their own selection, in regard
to understanding the terms, meaning and effect of this Agreement, and that this
Agreement has been entered into by Borrower and Lender, freely, voluntarily,
with full knowledge, and without duress, and that in executing this Agreement,
Borrower and Lender are relying on no other representations either written or
oral, express or implied, made to Borrower, Lender or its partners, members or
officers, by any other party hereto, and that the consideration received by
Borrower and Lender hereunder has been actual and adequate.

(j)                                     Original
Borrower acknowledges that it has thoroughly read and reviewed the terms and
provisions of this Agreement and is familiar with same, that the terms and
provisions contained herein are clearly understood by

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Original Borrower and has
been fully and unconditionally consented to by Original Borrower, and that
Original Borrower and Lender have had full benefit and advice of counsel of
their own selection, or the opportunity to obtain the benefit and advice of
counsel of their own selection, in regard to understanding the terms, meaning
and effect of this Agreement, and that this Agreement has been entered into by
Original Borrower and Lender, freely, voluntarily, with full knowledge, and
without duress, and that in executing this Agreement, Original Borrower and
Lender are relying on no other representations either written or oral, express
or implied, made to Original Borrower, Lender or its partners or officers, by
any other party hereto, and that the consideration received by Original
Borrower and Lender hereunder has been actual and adequate.

(k)                                  This
Agreement may be executed in several counterparts, each of which shall, for all
purposes, be deemed an original and all of such counterparts, taken together,
shall constitute one and the same Agreement, even though all of the parties
hereto may not have executed the same counterpart of this Agreement.

(l)                                     The
obligations of Chase Hotel and Private Residences under this Agreement, the New
Loan Documents and the other Loan Documents shall be joint and several for all
purposes.

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[Signature
Page to Assignment, Assumption and Modification Agreement]

IN WITNESS WHEREOF,
this Agreement has been entered into as of the date first written above.

	
  

  	
   

  	
  BORROWER:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CHASE PARK PLAZA HOTEL, LLC, a

  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Kingsdell L.P., a Delaware limited

  partnership, its Authorized Member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  IFC, Inc., a Missouri corporation, its

  General Partner

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ James L. Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Name: James L. Smith

  
	
   

  	
   

  	
   

  	
  Its: President

  

 

[Signatures continue on next
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[Signature
Page to Assignment, Assumption and Modification Agreement]

	
  

  	
   

  	
  THE PRIVATE RESIDENCES, LLC, a

  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Kingsdell L.P., a Delaware limited

  partnership, its Authorized Member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

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

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ James L. Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Name: James L. Smith

  
	
   

  	
   

  	
   

  	
  Its: President

  

 

[Signatures continue on next
page]

 

[Signature
Page to Assignment, Assumption and Modification Agreement]

	
  

  	
   

  	
  ORIGINAL BORROWER:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  KINGSDELL L.P., a Delaware
  limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

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

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ James L. Smith

  	
   

  
	
   

  	
   

  	
   

  	
  Printed Name: James L. Smith

  
	
   

  	
   

  	
   

  	
  Title: President

  

 

[Signatures continue on next
page]

 

[Signature
Page to Assignment, Assumption and Modification Agreement]

	
   

  	
   

  	
  LENDER:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  MASSACHUSETTS MUTUAL LIFE

  INSURANCE COMPANY, a Massachusetts

  corporation

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  Babson Capital Management LLC

  
	
   

  	
   

  	
   

  	
  Its: Authorized Agent

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  /s/ Thomas Zatko

  
	
   

  	
   

  	
   

  	
  Printed Name:

  	
  Thomas Zatko

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Managing Director

  
								

 

[Signatures continue on next
page]

 

[Signature
Page to Assignment, Assumption and Modification Agreement]

Original Guarantor
executes this Agreement below solely for the purpose of acknowledging that it
agrees to be bound by the provisions of Section 15 hereof.

	
  

  	
   

  	
  ORIGINAL GUARANTOR:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DANA CREDIT CORPORATION, a
  Delaware

  corporation

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Joseph A. Beham

  
	
   

  	
   

  	
  Name:

  	
  Joseph A. Beham

  
	
   

  	
   

  	
  Its:

  	
  President

  
						

 

 

[Notary
Page to Assignment, Assumption and Modification Agreement]

	
  STATE OF MISSOURI

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF ST. LOUIS

  	
  )

  

 

I, Kristin
M. Gounis, a Notary Public in and for said County, in the State aforesaid, do
hereby certify that James L. Smith, the President of IFC, Inc., a Missouri
corporation, the General Partner of KINGSDELL L.P.,
a Delaware limited partnership, an Authorized Member of CHASE PARK
PLAZA HOTEL, LLC, a Delaware limited liability company, who is
personally known to me to be the same person whose name is subscribed to the
foregoing instrument as such Authorized Member, appeared before me this day in
person and acknowledged that he signed and delivered the said instrument as his
own free and voluntary act and as the free and voluntary act of said company,
for the uses and purposes therein set forth.

GIVEN under my hand and notarial
seal this 5th day of December, 2006.

	
  

  	
  KRISTIN M.
  GOUNIS

  	
  /s/ Kristin M. Gounis

  
	
   

  	
  Notary Public,
  State of Missouri

  	
  Notary Public

  
	
  (SEAL)

  	
  St. Charles
  County

  	
   

  
	
   

  	
  Commission #
  03386987

  	
   

  
	
   

  	
  My Commission
  Expires August 03, 2007

  	
   

  
	
   

  

 

 

[Notary
Page to Assignment, Assumption and Modification Agreement]

	
  STATE OF MISSOURI

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF ST. LOUIS

  	
  )

  

 

I, Kristin
M. Gounis, a Notary Public in and for said County, in the State aforesaid, do
hereby certify that James L. Smith, the President of IFC, Inc., the General
Partner of KINGSDELL L.P., a Delaware limited
partnership, an Authorized Member of THE PRIVATE RESIDENCES,
LLC, a Delaware limited liability company, who is personally known
to me to be the same person whose name is subscribed to the foregoing
instrument as such Authorized Member, appeared before me this day in person and
acknowledged that he signed and delivered the said instrument as his own free
and voluntary act and as the free and voluntary act of said company, for the
uses and purposes therein set forth.

GIVEN under my hand and notarial
seal this 5th day of December, 2006.

	
  

  	
  KRISTIN M.
  GOUNIS

  	
  /s/ Kristin M. Gounis

  
	
   

  	
  Notary Public,
  State of Missouri

  	
  Notary Public

  
	
  (SEAL)

  	
  St. Charles
  County

  	
   

  
	
   

  	
  Commission #
  03386987

  	
   

  
	
   

  	
  My Commission
  Expires August 03, 2007

  	
   

  

 

 

[Notary
Page to Assignment, Assumption and Modification Agreement]

	
  STATE OF MISSOURI

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF ST. LOUIS

  	
  )

  

 

I, Kristin
M. Gounis, a Notary Public in and for said County, in the State aforesaid, do
hereby certify that James L. Smith, the President of IFC, Inc., a Missouri corporation,
the General Partner of KINGSDELL L.P.,
a Delaware limited partnership, who is personally known to me to be the same
person whose name is subscribed to the foregoing instrument as such President
at such General Partner, appeared before me this day in person and acknowledged
that he signed and delivered the said instrument as his own free and voluntary
act and as the free and voluntary act of said partnership, for the uses and
purposes therein set forth.

GIVEN under my hand and notarial
seal this 5th day of December, 2006.

	
  

  	
  KRISTIN M.
  GOUNIS

  	
  /s/ Kristin M. Gounis

  
	
   

  	
  Notary Public,
  State of Missouri

  	
  Notary Public

  
	
  (SEAL)

  	
  St. Charles
  County

  	
   

  
	
   

  	
  Commission #
  03386987

  	
   

  
	
   

  	
  My Commission
  Expires August 03, 2007

  	
   

  

 

 

[Notary
Page to Assignment, Assumption and Modification Agreement]

	
  STATE OF MASSACHUSETTS

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF HAMPDEN

  	
  )

  

 

I, Lori
Bryskiewicz, a Notary Public in and for said County, in the State aforesaid, do
hereby certify that Thomas Zatko, the Managing Director of MASSACHUSETTS
MUTUAL LIFE INSURANCE COMPANY, a Massachusetts corporation, who is
personally known to me to be the same person whose name is subscribed to the
foregoing instrument as such                           ,
appeared before me this day in person and acknowledged that he signed and
delivered the said instrument as his own free and voluntary act and as the free
and voluntary act of said corporation, for the uses and purposes therein set
forth.

GIVEN under my hand and notarial
seal this 6th day of December, 2006.

	
  

  
	
   

  
	
   

  	
  /s/ Lori Bryskiewicz

  
	
   

  	
  Notary Public

  
	
   

  	
  Lori Bryskiewicz

  
	
   

  	
  My Commission Expires 2/23/2012

  
	
   

  
	
   

  
	
  (SEAL)

  

 

 

[Notary
Page to Assignment, Assumption and Modification Agreement]

	
  STATE OF OHIO

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF LUCAS

  	
  )

  

 

I, Brenda
K. Howard, a Notary Public in and for said County, in the State aforesaid, do
hereby certify that Joseph A. Beham, the President of DANA CREDIT
CORPORATION, a Delaware corporation, who is personally known to me
to be the same person whose name is subscribed to the foregoing instrument as
such President, appeared before me this day in person and acknowledged that he
signed and delivered the said instrument as his own free and voluntary act and
as the free and voluntary act of said corporation, for the uses and purposes
therein set forth.

GIVEN under my hand and notarial
seal this 5th day of December, 2006.

	
  

  
	
   

  
	
   

  	
  /s/ Brenda K. Howard

  
	
   

  	
  Notary Public

  
	
   

  	
   

  
	
   

  	
  BRENDA K. HOWARD

  
	
   

  	
  Notary Public, State of Ohio

  
	
   

  	
   

  
	
   

  	
  Commission Expires 2/10/07

  
	
   

  
	
   

  
	
  (SEAL)Exhibit
10.52

Mortgage Loan No.
05202

RECOURSE
GUARANTY AGREEMENT

THIS RECOURSE GUARANTY AGREEMENT (“Agreement”)
is made as of December 1, 2006, by BEHRINGER HARVARD
OPPORTUNITY REIT I, INC., a Maryland corporation (“Guarantor”)
to and for the benefit of MASSACHUSETTS MUTUAL LIFE
INSURANCE COMPANY, a Massachusetts corporation (“Lender”).

R E C I T
A L S

A.            Kingsdell,
L.P., a Delaware limited partnership (“Original Borrower”), as maker,
executed and delivered to Lender, as payee, a Promissory Note, dated as of July
28, 2005, in the original principal sum of $55,000,000 (as said Promissory Note
may be amended, replaced, substituted, restated, renewed or extended, the “Note”),
a copy of the form of which is attached as Exhibit A.

B.            The
Note evidences a loan (the “Loan”) in the original principal amount of
$55,000,000.00 made by Lender to Original Borrower.

C.            The
Loan is secured in part by Original Borrower’s interest in and to that certain
real property located in the County of St. Louis and State of Missouri and
described in Exhibit B attached hereto and made a part hereof
(collectively, the “Premises”), as evidenced by (i) a certain Deed
of Trust and Security Agreement and Fixture Filing (as the same may be amended
or modified from time to time, the “Mortgage”) with respect to the
Premises, and (ii) a certain Assignment of Leases and Rents (as the same
may be amended or modified from time to time, the “Assignment”) with
respect to the Premises.  Unless
otherwise defined herein, all initially capitalized terms shall have the
respective meanings ascribed to such terms in the Mortgage.

D.            In
accordance with Section 2.17(B) of the Mortgage, Original Borrower has
elected to transfer the Premises to Chase Park Plaza Hotel, LLC, a Delaware
limited liability company (“Chase Hotel”) and to The Private Residences,
LLC, a Delaware limited liability company (“Private Residences”; Chase
Hotel and Private Residences are collectively referred to herein as “Borrower”)
and in accordance therewith Original Borrower, Borrower and Lender have
executed and delivered that certain Assignment, Assumption and Modification
Agreement of even date herewith (“Modification Agreement”) whereby,
among other things, (i) Borrower has assumed all of Original Borrower’s
obligations under the Note, the Mortgage and the other Loan Documents (as
defined in the Modification Agreement) and (ii) the Note has been modified
to include an additional recourse carveout as set forth in Section 7 of
the Modification Agreement (and attached hereto as Exhibit C).

E.             Lender
has required as a further condition to the execution and delivery of the
Modification Agreement that Guarantor guaranty payment of all amounts due under

 

Section 10(c) of the
Note, as modified by the Modification Agreement (the “Recourse Provision”).

F.             Guarantor
is financially interested in Borrower and is materially benefited by the
Modification Agreement and has agreed to unconditionally and personally
guarantee payment of all amounts due Lender under the Recourse Provision.

NOW THEREFORE, for good and valuable consideration,
the receipt and sufficiency of which are hereby acknowledged and in order to
induce Lender to execute and deliver the Modification Agreement and to accept
this Agreement, Guarantor, intending to be legally bound, hereby makes the
following representations and warranties to the Lender and hereby covenants and
agrees with the Lender as follows:

1.             Guaranty.  Notwithstanding any provision contained in
the Note, Mortgage or any other Loan Document to the contrary, Guarantor
absolutely, irrevocably, and unconditionally guarantees to the Lender payment
when due of all amounts due to Lender by Borrower pursuant to the Recourse
Provision, including, without limitation, repayment of the Loan in full under
Section 10(c)(i), (vii), (ix), (x) and (xi) of the Note (collectively, the
“Guaranteed Obligations”), but only to the extent that amounts become
payable under the Recourse Provision after the date hereof.  This agreement is a direct and primary
obligation of Guarantor, and Guarantor’s obligations hereunder are not as a
surety.  This is a guarantee of payment
and performance and not of collection. 
In the event of a default in payment of any Guaranteed Obligations when
due, Lender may institute a judicial proceeding for the collection of the sums
so due and unpaid, and may prosecute such proceeding to judgment or final
decree, and may enforce the same against Guarantor and collect the moneys
adjudged or decreed to be payable in the manner provided by law out of the
property of Guarantor, wherever situated.

2.             Guarantor’s
Waiver of Notice.  Guarantor
absolutely, irrevocably and unconditionally waives notice of acceptance of this
Agreement and notice of any payment, liability or obligation to which it may
apply, and waives presentment, demand of payment, protest, notice of dishonor
or nonpayment of such liabilities under this Agreement or any of the Loan
Documents creating the Guaranteed Obligations and any suit or taking other
action by the Lender against, and any other notice to, any party liable thereon
or any property which may be security therefor.

3.             Lender’s
Rights.  The Lender may at any time
and from time to time without the consent of, or notice to, Guarantor, without
incurring any responsibility to Guarantor and without impairing or releasing
any of the obligations of Guarantor hereunder, upon or without any terms or
conditions and in whole or in part:

(a)           amend, modify, renew, supplement,
extend (including extensions beyond the original term) or accelerate any of the
Loan Documents, including without limitation, renew, alter or change the
interest rate, manner, time, place or terms of payment or performance of any of
the Guaranteed Obligations, or any liability incurred directly or indirectly in
respect thereof, whereupon the guaranty herein made shall apply to the
Guaranteed Obligations as so changed, extended, renewed or altered;

 2
 

 

(b)           sell, exchange, release, surrender,
and in any manner and in any order realize upon or otherwise deal with the
Premises or any property at any time directly and absolutely assigned or
pledged or mortgaged to secure the Loan;

(c)           consent to the transfer of the
Premises or any portion thereof or any other Collateral (as defined in the
Mortgage) described in the Loan Documents;

(d)           exercise or refrain from exercising
any rights or remedies available to Lender under the Loan Documents or pursuant
to any applicable statute against Borrower or any other person (including
Guarantor) or otherwise act or refrain from acting with regard to the Loan
Documents, Guaranteed Obligations or this Agreement;

(e)           settle or compromise any of the
Indebtedness (as defined in the Mortgage), any security therefor or any
liability (including any of those hereunder) incurred directly or indirectly in
respect thereof or hereof, and/or subordinate the payment of all or any part
thereof to the payment of any liability of Borrower (whether or not then due)
to creditors of Borrower other than the Lender and Guarantor;

(f)            release or discharge Borrower from
its liability under any of the Loan Documents or release or discharge any
Guarantor or endorser or any other party at any time directly or contingently,
liable for the repayment of the Loan or any of Borrower’s other obligations
under the Loan Documents;

(g)           apply any sums in whatever manner
paid or realized to any liability or liabilities of Borrower or Guarantor to
the Lender hereunder or under any of the other Loan Documents regardless of
what liability or liabilities of Borrower or Guarantor remain unpaid;

(h)           consent to or waive any breach of or
any act, omission or default under the Loan Documents or accept partial
performance of any of the obligations under this Agreement or under any of the
other Loan Documents; and/or

(i)            sell, convey, participate or assign
all or any part of Lender’s interest in this Agreement and the other Loan
Documents.

4.             Guarantor Waiver of Defenses.  Guarantor unconditionally waives any defense
to the enforcement of this Agreement, including, without limitation:

(a)           Any defense arising by reason of
Lender’s failure to provide presentments, demands for performance, notices of
nonperformance, protests, notices of protest, notices of dishonor, and notices
of acceptance of this Agreement;

(b)           Any defense of any statute of
limitations affecting the liability of Guarantor hereunder or the liability of
Borrower, or any other guarantor under the Loan Documents, or the enforcement
hereof, to the extent permitted by law;

 3
 

 

(c)           Any defense arising by reason of
(i) any invalidity or unenforceability of (or any limitation of liability
in) any of the Loan Documents or (ii) any defense whatsoever that the
Borrower may or might have to the payment of the Indebtedness or to the
performance of any of the terms, provisions, covenants and agreements contained
in the Loan Documents or (iii) any manner in which Lender has exercised
its rights and remedies under the Loan Documents, or (iv) cessation from
any cause whatsoever;

(d)           Any defense based upon any disability
of Borrower or any Guarantor, lack of authority of the officers, directors,
partners or agents acting or purporting to act on behalf of Borrower, Guarantor
or any principal of Borrower or Guarantor or any defect in the formation of
Borrower, Guarantor or any principal of Borrower or Guarantor as a legal
entity;

(e)           Any defense based upon the
application by Borrower of the proceeds of the Loan for purposes other than the
purposes represented by Borrower to Lender or intended or understood by Lender
or Guarantor;

(f)            Any defense based upon an election
of remedies by Lender, including any election to proceed by judicial or
nonjudicial foreclosure of any security, whether real property or personal
property security, or by deed in lieu thereof, and whether or not every aspect
of any foreclosure sale is commercially reasonable, or any election of
remedies, including remedies relating to real property or personal property
security, which destroys or otherwise impairs the subrogation rights of
Guarantor to proceed against Borrower or any guarantor for reimbursement, or
both;

(g)           Any defense based upon any statute or
rule of law which provides that the obligation of a surety must be neither
larger in amount nor in any other aspects more burdensome than that of a
principal;

(h)           Any defense based upon Lender’s
election, in any proceeding instituted under the Federal Bankruptcy Code, of
the application of Section 1111(b)(2) of the Federal Bankruptcy Code or
any successor statute;

(i)            Any defense based upon any borrowing
or any grant of a security interest under Section 364 of the Federal
Bankruptcy Code;

(j)            Any defense based upon any duty of
Lender to advise Guarantor of any information known to Lender regarding the
financial condition of Borrower and all other circumstances affecting Borrower’s
ability to perform its obligations to Lender, it being agreed that Guarantor
assumes the responsibility for being and keeping informed regarding such
condition or any such circumstances; and

(k)           Any defense based on any right, claim
or offset which Guarantor may have against Borrower.

 4
 

 

5.             Bankruptcy.

(a)           The obligations of Guarantor
hereunder shall remain in full force and effect without regard to, and shall
not be affected or impaired by any bankruptcy, insolvency, reorganization,
composition, adjustment, dissolution, liquidation or other like proceeding
relating to Borrower, Guarantor, any other guarantor (which term shall include
any other party at any time directly or contingently liable for any of Borrower’s
obligations under the Loan Documents) or any affiliate of Borrower or any
action taken with respect to this Agreement by any trustee or receiver, or by
any court, in any such proceeding, whether or not Guarantor shall have had
notice or knowledge of any of the foregoing.

(b)           Notwithstanding any modification,
discharge or extension of the maturity date of the Note or any amendment,
modification, stay or cure of the Lender’s rights under the Note, Mortgage or
other Loan Document which may occur in any bankruptcy or reorganization case or
proceeding affecting the Borrower, whether permanent or temporary, and whether
or not assented to by the Lender, Guarantor hereby agrees that Guarantor shall
be obligated hereunder to pay the amounts due hereunder in accordance with the
terms of this Agreement as in effect on the date hereof.

(c)           Guarantor agrees that to the extent
that Borrower makes a payment or payments to Lender, which payment or payments
or any part thereof are subsequently invalidated, declared to be fraudulent or
preferential, set side or required, for any of the foregoing reasons or for any
other reasons, to be repaid or paid over to a custodian, trustee, receiver or
any other party under any bankruptcy act, state or federal law, common law or
equitable cause, then to the extent of such payment or repayment, the
obligation or part thereof intended to be satisfied shall be revived and
continue in full force and effect as if such payment had not been made and
Guarantor shall be primarily liable for this obligation.

6.             Subrogation
Waiver/Subordination.

(a)           Notwithstanding any provision to the
contrary contained in the other Loan Documents or this Agreement, Guarantor
hereby unconditionally and irrevocably waives until all obligations under the
Loan Documents have been paid and performed in full (i) any and all rights
of subrogation (whether arising under contract, 11 U.S.C. §509 or otherwise),
to the claims, whether existing now or arising hereafter, Lender may have
against Borrower, and (ii) any and all rights of reimbursement,
contribution or indemnity against Borrower or any future guarantors of any
obligations under the Loan Documents) which may have heretofore arisen or may
hereafter arise in connection with any guaranty or pledge or grant of any lien
or security interest made in connection with any obligations under the Loan
Documents.  Guarantor hereby acknowledges
that the waiver contained in the preceding sentence (the “Subrogation Waiver”)
is given as an inducement to the Lender to enter into the Loan Documents and,
in consideration of the Lender’s willingness to enter into the Loan Documents,
Guarantor agrees not to amend or modify in any way the Subrogation Waiver
without the Lender’s prior written consent. 
If any amount shall 

 5
 

 

be paid to Guarantor on account of any claim
set forth at any time when all of the obligations under the Loan Documents
shall not have been paid or performed in full, such amount shall be held in
trust by such Guarantor for the Lender’s benefit, shall be segregated from the
other funds of Guarantor and shall forthwith be paid over to the Lender to be
applied in whole or in part by the Lender against such obligations, whether
matured or unmatured.  Nothing contained
herein is intended or shall be construed to give to Guarantor any rights of
subrogation or right to participate in any way in the Lender’s rights, title or
interest in the Loan Documents, notwithstanding any payments made by Guarantor
under this Agreement, all such rights of subrogation and participation being
hereby expressly waived and released.

(b)           In the event that Guarantor shall
advance or become obligated to pay any sums with respect to any obligation
hereby guaranteed or in the event that for any reason whatsoever Borrower or
any subsequent owner of the collateral securing the Loan is now, or shall
hereafter become, indebted to Guarantor, Guarantor agrees that the amount of
such sums and of such Indebtedness together with all interest thereon, shall at
all times be subordinate as to the lien, time of payment and in all other
respects, to all sums, including principal, interest and other amounts, at any
time owing to the Lender under any of the Loan Documents and that Guarantor
shall not be entitled to enforce or receive payment thereof until all such sums
owing to the Lender have been paid. 
Nothing herein contained is intended or shall be construed to give to
Guarantor any right to participate in any way in the right, title or interest
of the Lender in or to the collateral securing the Loan, notwithstanding any
payments made by Guarantor under this Agreement, all such rights of participation
being hereby expressly waived and released.

7.             Guarantor’s Representations and Warranties.  Guarantor makes the following representations
and warranties which shall survive the execution and delivery of this
Agreement:

(a)           Guarantor has the power and authority
to execute, deliver and carry out the terms and provisions of this Agreement
and has duly authorized, executed, and delivered the same.

(b)           Neither the execution and delivery of
this Agreement, nor the consummation of the transactions herein contemplated,
nor compliance with the terms and provisions hereof, will contravene any
provision of law, statute, rule or regulation to which Guarantor is subject or
any judgment, decree, franchise, order or permit applicable to Guarantor, or
will conflict or will be inconsistent with, or will result in any breach of,
any of the terms, covenants, conditions or provisions of, or constitute a
default under, or result in the creation or imposition of any lien, security
interest, charge or encumbrance upon any of the property or assets of Guarantor
pursuant to the terms of, any indenture, mortgage, deed of trust, agreement or
other instrument to which Guarantor is a party or may be bound or subject.

(c)           No consent or approval of, or
exemption by, any governmental or public body or authority is required to
authorize, or is required in connection with the execution, 

 6
 

 

delivery and performance of, this Agreement
or of any of the Loan Documents, or the taking of any action hereby
contemplated.

8.             Guarantor’s Relationship to Borrower.  Guarantor is related and/or affiliated with
Borrower, has personal knowledge of and is familiar with Borrower’s business
affairs and books and records.  Guarantor
warrants that Borrower is in sound financial condition as of the date of this
Agreement, and that to Guarantor’s knowledge Borrower will perform its
obligations under the Loan Documents in accordance with the terms and
conditions thereof.

9.             Mortgage Priority.  Nothing herein contained shall in any manner
affect the lien or priority of the Mortgage securing the Note, and upon the
occurrence of an Event of Default (as defined in the Mortgage), the Lender may
invoke any remedies it may have under this Agreement or the other Loan
Documents, either concurrently or successively and the exercise of any one or
more of such remedies shall not be deemed an exhaustion of such remedy or
remedies or a waiver of any other remedy or remedies and shall not be deemed an
election of remedies.    The exercise by
the Lender of any such remedies shall not release or discharge Guarantor from
its obligations hereunder unless and until the full amount of the Indebtedness
evidenced by the Note and secured by the Mortgage has been fully paid and
satisfied.

10.           Duration of Agreement.  This Agreement shall remain in full force and
effect until all obligations of the Borrower and Guarantor under the Loan
Documents have been satisfied in full and are no longer subject to disgorgement
under any applicable state or federal creditor rights or bankruptcy laws.  No delay on the part of the Lender in
exercising any options, powers or rights, or the partial or single exercise
thereof, shall constitute a waiver thereof. 
No waiver of any rights hereunder, and no modification or amendment of
this Agreement, shall be deemed to be made by the Lender unless the same shall
be in writing, duly signed on behalf of the Lender, and each such waiver (if
any) shall apply only with respect to the specific instance involved and shall
in no way impair the rights of the Lender or the obligations of Guarantor to
the Lender herein provided in any other respect at any other time.  This Agreement is binding upon Guarantor,
Guarantor’s successors or assigns, and shall inure to the benefits of the
Lender and its successors or assigns including (without limitation) any other
holder at any time of the Loan Documents.

11.           Guarantor’s Familiarity with the
Loan Documents.  Guarantor
acknowledges that copies of the Loan Documents have been made available to
Guarantor and that Guarantor is familiar with their contents including, without
limitation, the Recourse Provision. 
Guarantor affirmatively agrees that upon any transfer of the Premises in
accordance with the provisions of the Mortgage, it shall not be necessary for
Guarantor to reaffirm its continuing obligations under this Agreement, but
Guarantor will do so upon request by Lender.

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

 7
 

 

If to Guarantor, at the
following address:

Behringer Harvard Opportunity REIT I, Inc.

15601 Dallas Parkway, Suite 600

Addison, Texas 
75001

Attention: 
Chief Financial Officer

Facsimile: 
(214) 655-1610

With a copy to:

Behringer Harvard Opportunity REIT I, Inc.

15601 Dallas Parkway, Suite 600

Addison, Texas 
75001

Attention: 
Chief Legal Officer

Facsimile:  (214) 655-1610

 If to Lender, at the following addresses:

Massachusetts
Mutual Life Insurance Company

c/o Babson Capital
Management LLC

1500 Main Street,
Suite 2100

Springfield,
Massachusetts 01115

Attention:
Managing Director, Real Estate Finance Group

Facsimile:  (413) 226-1498

With a copy to:

Massachusetts
Mutual Life Insurance Company

c/o Babson Capital
Management LLC

1500 Main Street,
Suite 2800

Springfield,
Massachusetts 01115

Attention: Vice
President, Real Estate Law

Facsimile:  (413) 226-1079

or to such other address and person as shall be designated from time to
time by Guarantor or Lender, as the case may be, in a written notice under this
Section 12.  A notice shall be
deemed given: in the case of hand delivery or by facsimile, at the time of
delivery; in the case of certified or registered mail, three Business Days (as
defined in Mortgage) after deposit in the United States Mail; or in the case of
expedited prepaid delivery, upon the first attempted delivery on a Business
Day.  A party receiving a notice that
does not comply with the technical requests for notice under this
Section 12 may elect to waive any deficiencies and treat the notice as
having been properly given.

13.           Successors and Assigns.  All references to Lender and Guarantor shall
be deemed to include references to their successors and assigns.

 8
 

 

14.           Governing Law.  In all respects, including, without
limitation, matters of construction and performance of this Agreement and the
obligations arising hereunder, this Agreement shall be governed by, and
construed in accordance with, the laws of the state in which the Premises is
located applicable to contracts and obligations made and performed in such
state and any applicable laws of the United States of America.  Interpretation and construction of this
Agreement shall be according to the contents hereof and without presumption or
standard of construction in favor of or against Guarantor or Lender.

15.           Waiver of Trial by Jury.  GUARANTOR HEREBY WAIVES THE RIGHT TO A TRIAL
BY JURY IN ANY ACTION OR PROCEEDING BASED UPON, OR RELATED TO, THE SUBJECT
MATTER OF THIS AGREEMENT.  THIS WAIVER IS
KNOWINGLY, INTENTIONALLY, AND VOLUNTARILY MADE BY GUARANTOR, AND GUARANTOR
ACKNOWLEDGES THAT LENDER HAS NOT MADE ANY REPRESENTATIONS OF FACT TO INDUCE
THIS WAIVER OF TRIAL BY JURY OR IN ANY WAY TO MODIFY OR NULLIFY ITS EFFECT.  GUARANTOR FURTHER ACKNOWLEDGES THAT GUARANTOR
HAS BEEN REPRESENTED (OR HAS HAD THE OPPORTUNITY TO BE REPRESENTED) IN THE
SIGNING OF THIS AGREEMENT BY INDEPENDENT LEGAL COUNSEL, SELECTED BY GUARANTOR,
AND THAT GUARANTOR HAS HAD THE OPPORTUNITY TO DISCUSS THIS WAIVER WITH COUNSEL.

16.           Jurisdiction.  Guarantor hereby submits to personal
jurisdiction in the state in which the Premises is located for the enforcement
of the provisions of this Agreement and irrevocably waives any and all rights
to object to such jurisdiction for the purposes of litigation to enforce any
provision of this Agreement.  Guarantor
hereby consents to the jurisdiction of and agrees that any action, suit or
proceeding to enforce this Agreement may be brought in any state or federal court
in the state in which the Premises is located. 
Guarantor hereby irrevocably waives any objection that they may have to
the laying of the venue of any such actions, suit, or proceeding in any such
court and hereby further irrevocably waive any claim that any such action, suit
or proceeding brought in such a court has been brought in an inconvenient
forum.

17.           Attorneys’ Fees.  In addition to all other amounts payable by
Guarantor hereunder, Guarantor hereby agrees to pay to Lender upon demand any
and all reasonable attorneys’ fees, costs and expenses, including all fees
costs and expenses incurred in all enforcement, probate, appellate and
bankruptcy proceedings, as well as any post-judgment proceedings to collect or
enforce any judgment or order relating to the obligations of Guarantor under
this Agreement.

18.           Partial Invalidity.  Should any part of this Agreement be invalid
or unenforceable, such invalidity or unenforceability shall not affect the
validity and enforceability of the remaining portion of the Agreement.

19.           Definitions.  Any term not defined herein shall have the
meaning set forth in the Mortgage.

20.           Joint and Several.  In the event there is more than one
Guarantor, the obligations of each Guarantor shall be joint and several for all
purposes.

 9
 

 

21.           Counterparts.  This Agreement may be executed in
counterparts, which together shall constitute one original agreement.

22.           Representations of Lender.  Lender hereby represents to Guarantor that
(a) the maturity of the Note has not been accelerated and, to Lender’s
knowledge, no Event of Default currently exists, nor, to Lender’s knowledge,
does any circumstance currently exist which, with the giving of notice or the
passage of time, or both, would constitute an Event of Default; and (b) to
Lender’s knowledge, no amount is currently due under the Recourse Provision.

 10
 

 

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

	
  

  	
  GUARANTOR:

  
	
   

  	
   

  
	
   

  	
  BEHRINGER
  HARVARD OPPORTUNITY 

  REIT I, INC., a Maryland corporation

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Gerald J.
  Reihsen, III

  
	
   

  	
  Name:

  	
  Gerald J.
  Reihsen, III

  
	
   

  	
  Its:

  	
  Executive Vice
  President

  
						

 

 11

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