Document:

Fifth Amendment to Credit Agreement dated as of June 4, 2010

 Exhibit 10.21E 

Execution Version 

FIFTH AMENDMENT TO CREDIT AGREEMENT 

THIS FIFTH AMENDMENT TO CREDIT AGREEMENT (this “Amendment”) is made as of the 4th day of June, 2010, by and among MHI
HOSPITALITY CORPORATION, MHI HOSPITALITY, L.P., MHI HOSPITALITY TRS HOLDING, INC., MHI HOSPITALITY TRS, LLC, MHI GP LLC, PHILADELPHIA HOTEL ASSOCIATES LP, BROWNESTONE PARTNERS, LLC, LOUISVILLE HOTEL ASSOCIATES, LLC, TAMPA HOTEL ASSOCIATES LLC,
LAUREL HOTEL ASSOCIATES LLC and BRANCH BANKING AND TRUST COMPANY, as Administrative Agent, as Issuing Bank and as a Lender, KEYBANK NATIONAL ASSOCIATION and MANUFACTURERS AND TRADERS TRUST COMPANY (collectively referred to herein as the
“Lenders”). 
 R E C I T A L S: 

The Borrowers, the Guarantors, the Administrative Agent and the Lenders have entered into a certain Credit Agreement dated as of
May 8, 2006, as amended by a certain First Amendment to Credit Agreement dated August 1, 2007, a certain Second Amendment to Credit Agreement dated April 15, 2008, a certain Amendment to Second Amendment to Credit Agreement dated
August 15, 2008, a certain Third Amendment to Credit Agreement dated February 18, 2009 and a certain Fourth Amendment to Credit Agreement dated May 18, 2009 (referred to herein, as so amended, as the “Credit Agreement”).
Capitalized terms used in this Amendment which are not otherwise defined in this Amendment shall have the respective meanings assigned to them in the Credit Agreement. 

The Borrowers and Guarantors have requested the Administrative Agent and the Lenders to amend the Credit Agreement to (i) change the
definitions of “Asset Value”, “Base Rate”, “Borrowing Base Certification Report”, “Default Rate”, “Eligible Property Value”, “Fixed Charge Coverage Ratio”, “Hedge Counterparty”,
“Hedge Transaction”, “NOI”, “Release Amount” and “Total Value”, (ii) add the definitions of “Collateral Service Accounts”, “Consolidated NOI”, “Control Agreement”,
“Equity Issuance”, “Master Concentration Account”, “Maximum Equity Proceeds Prepayment Amount”, “Monthly Insurance Reserve”, “Monthly Room Report”, “Monthly Tax Reserve”, “Net Equity
Proceeds”, “Net Operating Income”, “Operating Accounts”, “Reserve Accounts” and “Reserve Agreement”, (iii) amend Sections 2.01(a), 2.06(a), 2.06(c), 2.07(a), 2.07(b), 2.07(c), 2.11, 2.18(d), 5.01,
5.05, 5.06(a), 5.07, 5.17, 5.19(a), 5.19(c), 5.28 and 5.35(a)(i) and (iv) add new Sections 5.41 and 5.42 as set forth herein. 

The Lenders, the Administrative Agent, the Guarantors and the Borrowers desire to amend the Credit Agreement upon the terms and
conditions hereinafter set forth. 
 NOW, THEREFORE, in consideration of the Recitals and the mutual promises contained herein
and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Borrowers, the Guarantors, the Administrative Agent and the Lenders, intending to be legally bound hereby, agree as follows: 

SECTION 1. Recitals. The Recitals are incorporated herein by reference and shall be deemed to be a part of this Amendment.

 SECTION 2. Change to Non-Revolving Facility. Notwithstanding anything to the contrary
within the Credit Agreement, (a) no additional Advances will be made to the Borrowers, (b) no amount of the current outstanding Advances subsequently repaid or prepaid may be reborrowed and (c) no Letters of Credit will be issued.

 SECTION 3. Amendments. The Credit Agreement is hereby amended as set forth in this Section 3. 

SECTION 3.01. Amendment to Section 1.01. The definition of “Asset Value” set forth in Section 1.01 of the
Credit Agreement shall be amended and restated to read in its entirety as follows: 
 “Asset Value”
shall be determined as of the end of each Fiscal Quarter and shall mean with respect to: (I) any Eligible Property other than the Tampa Property, the NOI of such Eligible Property for the Fiscal Quarter then ending and the immediately preceding
three Fiscal Quarters divided by 8.5%; or (II) the Tampa Property, the lesser of (A) the Appraised Value or (B) $19,600,000. 

SECTION 3.02. Amendment to Section 1.01. The definition of “Base Rate” set forth in Section 1.01 of the Credit
Agreement shall be amended and restated to read in its entirety as follows: 
 “Base
Rate” means for any Base Rate Advance for any day, the rate per annum equal to the greater of (i) the Prime Rate, (ii) the Federal Funds Rate, plus
 1/2 of 1%; and (iii) the LIBOR Rate, plus 1%.
For the purposes of determining the Base Rate, “LIBOR Rate” means the rate per annum equal to the London interbank offered rate for deposits in U.S. dollars for a one-month period, which appears on the display designated as Reuters Screen
LIBOR01 Page (or such other successor page as may replace Reuters Screen LIBOR01 Page or such other service or services as may be nominated by the British Banker’s Association for the purpose of displaying London InterBank Offered Rates for
U.S. dollar deposits) determined as of 11:00 a.m. London, England time; provided, however, that the LIBOR Rate shall in no event be less than 0.75% per annum. For the purposes of determining the Base Rate for any day, changes in the Prime Rate,
the Federal Funds Rate and the LIBOR Rate shall be effective on the date of each such change. 
  

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 SECTION 3.03. Amendment to Section 1.01. The definition of “Borrowing Base
Certification Report” set forth in Section 1.01 of the Credit Agreement shall be amended and restated to read in its entirety as follows: 

“Borrowing Base Certification Report” means a report in the form attached hereto as Exhibit N, and otherwise
satisfactory to the Administrative Agent, certified by the chief financial officer or other authorized officer of the Borrowers setting forth the calculations required to establish the Eligible Property Value for each Borrowing Base Asset and the
Eligible Property Value for all Borrowing Base Assets as of a specified date, all in form and detail satisfactory to the Administrative Agent. The Borrowing Base Certification Report shall include calculations of NOI for each Eligible Property.

 SECTION 3.04. Amendment to Section 1.01. The definition of “Collateral Service Accounts” shall be added
to Section 1.01 of the Credit Agreement in proper alphabetical order as follows: 
 “Collateral Service
Accounts” means, collectively, the zero-balance depository only accounts of the Loan Parties with the Administrative Agent established pursuant to Section 5.41, to which payments related to certain Collateral are to be deposited.

 SECTION 3.05. Amendment to Section 1.01. The definition of “Consolidated NOI” shall be added to
Section 1.01 of the Credit Agreement in proper alphabetical order as follows: 
 “Consolidated
NOI” shall be determined as of the end of each Fiscal Quarter and shall mean the Net Operating Income, of the Borrowers and their respective Consolidated Subsidiaries, on a consolidated basis for the Fiscal Quarter then ending and the
immediately preceding three Fiscal Quarters, all as determined in accordance with GAAP (for the avoidance of doubt, the Loan Parties acknowledge and agree that in computing Consolidated NOI, (i) there shall be a deduction for actual taxes and
insurance paid, (ii) there shall be a deduction for reserves related to capital improvements expenses in an amount equal to such reserves and at the time such amounts are placed into the Reserve Accounts and (iii) there shall be no
deduction for Depreciation and Amortization), except that (i) for purposes of determining expenses for management fees pursuant to the Eligible Management Agreements, there shall be included the greater of: (A) the actual management
expenses incurred and (B) a minimum management fee equal to three percent (3%) of gross room rental revenues, and (ii) only the amount of three percent (3%) of gross room rental revenue shall be utilized for purposes of computing
the capital improvements expense. 
 SECTION 3.06. Amendment to Section 1.01. The definition of “Control
Agreement” shall be added to Section 1.01 of the Credit Agreement in proper alphabetical order as follows: 

“Control Agreement” means the Control Agreement between the Loan Parties and the Administrative Agent related to
the Collateral Service Accounts, the Master Concentration Account, the Operating Accounts and the Reserve Accounts. 
  

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 SECTION 3.07. Amendment to Section 1.01. The definition of “Default
Rate” set forth in Section 1.01 of the Credit Agreement is amended and restated to read in its entirely as follows: 

“Default Rate” means, with respect to the Advances, on any day, the sum of 2% plus the then highest interest
rate which may be applicable to any Advance (irrespective of whether any such type of Advance is actually outstanding hereunder). 

SECTION 3.08. Amendment to Section 1.01. The definition of “Eligible Property Value” set forth in Section 1.01
of the Credit Agreement is amended and restated to read in its entirely as follows: 
 “Eligible Property
Value” means, with respect to any Eligible Property included in the Borrowing Base for any date of determination an amount equal to: (A) .85, multiplied by the Asset Value of such Eligible Property, except in the case of the Tampa
Property; or (B) in the case of the Tampa Property, an amount equal to the Asset Value of the Tampa Property (determined at the time as the Administrative Agent or the Required Lenders may reasonably request). Notwithstanding anything to the
contrary in the Credit Agreement, the Eligible Property Value for any Eligible Property shall in no event be greater than the amount secured by the Mortgage applicable to such Eligible Property. 

SECTION 3.09. Amendment to Section 1.01. The definition of “Fixed Charge Coverage Ratio” set forth in
Section 1.01 of the Credit Agreement is amended and restated to read in its entirety in appropriate order as follows: 

“Fixed Charge Coverage Ratio” shall be determined as of the end of each Fiscal Quarter and shall mean the ratio
of Consolidated NOI for the Fiscal Quarter then ending and the immediately preceding three Fiscal Quarters to the sum of: (i) Consolidated Interest Expense for the Fiscal Quarter then ending and the immediately preceding three Fiscal
Quarters, (ii) the aggregate net payments made by the Borrowers and its Consolidated Subsidiaries under Hedge Transactions during the Fiscal Quarter then ending and the immediately preceding three Fiscal Quarters, (iii) the aggregate
scheduled principal repayments on Debt made by the Borrowers and its Consolidated Subsidiaries during the Fiscal Quarter then ending and the immediately preceding three Fiscal Quarters (excluding any principal payments arising out of remargin
requirements related to the Hotel Property in Jacksonville, Florida (up to the amount of $2,000,000 unless the Borrowers prepay Revolver Advances in an aggregate amount equal to or greater than the Maximum Equity Proceeds Prepayment Amount (as
defined in Section 2.11(g)), in which case all principal payments related to the Hotel Property in Jacksonville, Florida shall be excluded)), and (iv) Preferred Dividends made during the Fiscal Quarter then ending and the immediately
preceding three Fiscal Quarters. 
  

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 SECTION 3.10. Amendment to Section 1.01. The definition of “Hedge
Counterparty” set forth in Section 1.01 of the Credit Agreement is amended and restated to read in its entirety in appropriate order as follows: 

“Hedge Counterparty” means: (i) BB&T and its Affiliates; and (ii) any Lender that (A) has
provided the Administrative Agent with a fully executed designation notice, substantially in the form of Schedule A – Designation Notice and (B) is the counterparty to a Hedging Agreement with the Borrowers that is permitted by
Section 5.35 (even if the Hedging Agreement was entered into prior to the Closing Date) so long as such Person is, but only for so long as such Person remains, a Lender; provided, however, that any such Person that ceases to be a Lender shall
no longer be deemed a Hedge Counterparty, effective immediately upon the date such Person ceases to be a Lender, and as of such time, such Person shall no longer be a Secured Party under the Loan Documents. 

SECTION 3.11. Amendment to Section 1.01. The definition of “Hedge Transaction” set forth in Section 1.01 of
the Credit Agreement is amended and restated to read in its entirety as follows: 
 “Hedge Transaction”
means each interest rate swap transaction by the Borrowers that is entered into pursuant to Section 5.35 for the purpose of hedging interest rate risk for indebtedness under this Agreement. 

SECTION 3.12. Amendment to Section 1.01. The definition of “Master Concentration Account” shall be added to
Section 1.01 in proper alphabetical order as follows: 
 “Master Concentration Account” means the
account of the Loan Parties with the Administrative Agent established pursuant to Section 5.41 to facilitate the concentration of daily balances from the Collateral Service Accounts and the Operating Accounts. 

SECTION 3.13. Amendment to Section 1.01. The definition of “Net Operating Income” shall be added to
Section 1.01 in proper alphabetical order as follows: 
 “Net Operating Income” means, for any
period of determination, as calculated in accordance with GAAP and consistent with prior accounting practices of the Borrowers as reflected in the financial statements delivered to the Lenders pursuant to Sections 5.01(a) and (b), to the extent such
amounts are included in computing the aggregate Net Income of the Borrowers and their respective Consolidated Subsidiaries (with the exception of (c) below) and without duplication, the sum of (a) Net Income from continuing operations of
the Borrowers and their respective Consolidated Subsidiaries, plus (b) to the extent 
  

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such amounts were deducted in computing Net Income for such period: (i) income taxes of the Borrowers and their respective Consolidated Subsidiaries, plus (ii) interest expense
of the Borrowers and their respective Consolidated Subsidiaries, plus (iii) Depreciation and Amortization of the Borrowers and their respective Consolidated Subsidiaries, plus (c) cash distributions resulting from income of
the Borrowers and their respective Consolidated Subsidiaries attributable to equity investments in Persons other than Consolidated Subsidiaries (including, but not limited to, actual cash amounts remitted by a Non-Core Investment to the Borrowers or
a Consolidated Subsidiary), plus (d) extraordinary losses and losses from asset dispositions of the Borrowers and their respective Consolidated Subsidiaries, minus (e) extraordinary gains and gains from asset dispositions of
the Borrowers and their respective Consolidated Subsidiaries, minus (f) interest income of the Borrowers and their respective Consolidated Subsidiaries, minus (g) non-cash income of the Borrowers and their respective
Consolidated Subsidiaries attributable to equity investments in Persons other than Consolidated Subsidiaries, minus (h) unrealized gains from hedging activities of the Borrowers and their Consolidated Subsidiaries, plus
(i) unrealized losses from hedging activities of the Borrowers and their Consolidated Subsidiaries, minus (j) gains attributable to noncontrolling (minority) property interests, plus (k) losses attributable to
noncontrolling (minority) property interests. 
 SECTION 3.14. Amendment to Section 1.01. The definition of
“NOI” set forth in Section 1.01 of the Credit Agreement is amended and restated to read in its entirety as follows: 

“NOI” shall be determined as of the end of each Fiscal Quarter and shall mean, as to any Eligible Property or
Non-Core Investment, as the case may be, the consolidated net operating income with respect to such Eligible Property or Non-Core Investment, as the case may be, for the Fiscal Quarter then ending and the immediately preceding three Fiscal Quarters,
in each case as determined in accordance with GAAP, except that (i) for purposes of determining expenses for management fees, there shall be included the greater of: (A) the actual management expenses incurred or (B) a minimum
management fee equal to three percent (3%) of gross room rental revenue, and (ii) for purposes of determining capital improvements expense, there shall be included three percent (3%) of gross room rental revenue. 

SECTION 3.15. Amendment to Section 1.01. The definition of “Operating Accounts” shall be added to Section 1.01
in proper alphabetical order as follows: 
 “Operating Accounts” means, collectively, the zero-balance
accounts of the Loan Parties with the Administrative Agent established pursuant to Section 5.41 and funded by means of transfers from the Collateral Service Accounts (through the Master Concentration Account). 

 

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 SECTION 3.16. Amendment to Section 1.01. The definition of “Release
Amount” set forth in Section 1.01 of the Credit Agreement is amended and restated to read in its entirety as follows: 

“Release Amount” means with respect to each Borrowing Base Asset an amount determined at the time of the release
of the Administrative Agent’s Lien on such Borrowing Base Asset equal to: (i) in the case of a sale or transfer to a Third Party of such Borrowing Base Asset, the consideration received by the Borrowers must be entirely in cash and the
Release Amount shall be in an amount satisfactory to the Administrative Agent in its sole discretion, which in no event shall be less than the greater of (x) the proceeds from the cash sale of such Borrowing Base Asset, less closing expenses
reasonably approved by the Administrative Agent, (y) the Asset Value of such Borrowing Base Asset and (z) the Minimum Release Amount of such Borrowing Base Asset, or (ii) in the case of refinancing or replacement of the Mortgage
applicable to such Borrowing Base Asset, an amount satisfactory to the Administrative Agent in its sole discretion, which shall in no event be less than the greater of (x) the Asset Value of such Borrowing Base Asset and (y) the Minimum
Release Amount of such Borrowing Base Asset. For the purposes of this definition, “Minimum Release Amount” shall mean (A) prior to the date upon which the Borrowers prepay Revolver Advances in an aggregate amount equal to or greater
than the Maximum Equity Proceeds Prepayment Amount, the amount for each Borrowing Base Asset listed on Schedule B, and (B) on or after the date upon which the Borrowers prepay Revolver Advances in an aggregate amount equal to or greater than
the Maximum Equity Proceeds Prepayment Amount, the amount for each Borrowing Base Asset listed on Schedule C. The Loan Parties agree that no Borrowing Base Asset will be released from the lien of the Administrative Agent except in the case of
(i) a sale or transfer to a Third Party of such Borrowing Base Asset or (ii) refinancing or replacement of the Mortgage applicable to such Borrowing Base Asset. 

SECTION 3.17. Amendment to Section 1.01. The definition of “Reserve Accounts” shall be added to Section 1.01
in proper alphabetical order as follows: 
 “Reserve Accounts” means, collectively, the accounts
maintained by the Administrative Agent established pursuant to Section 5.42 and funded by means of transfers from the Operating Accounts. 

SECTION 3.18. Amendment to Section 1.01. The definition of “Reserve Agreement” shall be added to Section 1.01
in proper alphabetical order as follows: 
 “Reserve Agreement” means the Reserve Agreement between the
Loan Parties and the Administrative Agent related to the Reserve Accounts. 
  

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 SECTION 3.19. Amendment to Section 1.01. The definition of “Total
Value” set forth in Section 1.01 of the Credit Agreement is amended and restated to read in its entirety as follows: 

“Total Value” shall be determined as of the end of each Fiscal Quarter and shall mean the sum of (a) cash
and cash equivalents (including funds restricted for property capital improvements and funds reserved for furniture, fixtures and equipment, taxes and insurance) of the Borrowers and their Subsidiaries, determined on a consolidated basis,
(b) the Asset Values of the Eligible Properties; and (c) the Non-Core Investment Value. 
 SECTION 3.20. Amendment
to Section 2.01(a). Section 2.01(a) of the Credit Agreement is amended and restated to read in its entirety as follows: 

(a) As of the Fifth Amendment Effective Date, each Lender has made the Advances in an amount as set forth opposite such
Lender’s name below and such amounts remain outstanding. Other than set forth below, no Advances shall be outstanding on the Fifth Amendment Effective Date. Amounts borrowed under this Agreement and subsequently repaid or prepaid may not be
reborrowed. 
  

				
	 Lender
	  	Total Advances
	 Branch Banking and Trust Company
	  	$	42,298,795.00
	 Keybank National Association
	  	$	20,366,086.93
	 Manufacturers and Traders Trust Company
	  	$	12,532,976.32

 SECTION 3.21.
Amendment to Section 2.06(a). Section 2.06(a) of the Credit Agreement is amended and restated to read in its entirety as follows: 

(a) “Applicable Margin” is as follows: 

 

				
	 Euro-Dollar Advances

and Letters of Credit
	  	Base
Rate Advances	 
	 4.00%
	  	3.0	% 

 SECTION 3.22.
Amendment to Section 2.06(c). Section 2.06(c) of the Credit Agreement is amended and restated to read in its entirety as follows: 

(c) During each Interest Period in which an Advance is a Euro-Dollar Advance, such Euro-Dollar Advance shall bear interest
on the outstanding principal amount thereof, for the Interest Period applicable thereto, at a rate per annum equal to the sum of: (1) the Applicable Margin for Euro-Dollar Advances, plus (2) the applicable Adjusted Monthly Libor Index for
such Interest Period. Any overdue principal of and, to the extent permitted by applicable law, overdue interest on any Euro-Dollar Advance shall bear interest, payable on demand, for each day until paid in full at a rate per annum equal to the
Default Rate. 
  

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 The “Adjusted Monthly Libor Index” applicable to any Interest
Period means a rate per annum equal to the quotient obtained (rounded upward, if necessary, to the next higher 1/100th of 1%) by dividing (i) the applicable London Interbank Offered Rate for such Interest Period by (ii) 1.00 minus the
Euro-Dollar Reserve Percentage. 
 The “London Interbank Offered Rate” applicable to any Euro-Dollar
Advance means for the Interest Period of such Euro-Dollar Advance the rate per annum determined on the basis of the rate for deposits in Dollars of amounts equal or comparable to the principal amount of such Euro-Dollar Advance offered for a term
comparable to such Interest Period, which rate appears on the display designated as Reuters Screen LIBOR01 Page (or such other successor page as may replace Reuters Screen LIBOR01 Page or such other service or services as may be nominated by the
British Banker’s Association for the purpose of displaying London InterBank Offered Rates for U.S. dollar deposits) determined as of 11:00 a.m. London, England time, on the first day of such Interest Period or on the immediately preceding
Euro-Dollar Business Day if the first day of such Interest Period is not a Euro-Dollar Business Day; provided, however, that the London Interbank Offered Rate shall in no event be less than 0.75% per annum. 

“Euro-Dollar Reserve Percentage” means for any day that percentage (expressed as a decimal) which is in effect
on such day, as prescribed by the Board of Governors of the Federal Reserve System (or any successor) for determining the maximum reserve requirement for a member bank of the Federal Reserve System in respect of “Eurocurrency liabilities”
(or in respect of any other category of liabilities which includes deposits by reference to which the interest rate on such Euro-Dollar Advance is determined or any category of extensions of credit or other assets which includes loans by a
non-United States office of any Lender to United States residents). The Adjusted Monthly Libor Index shall be adjusted automatically on and as of the effective date of any change in the Euro-Dollar Reserve Percentage. 

SECTION 3.23. Amendment to Section 2.07. Sections 2.07(a), 2.07(b) and 2.07(c) of the Credit Agreement are hereby deleted in
their entirety. 
 SECTION 3.24. Amendment to Section 2.11. New subsections (f) and (g) are hereby added
to Section 2.11 as follows: 
 (f) Excess Cash Flow. (i) Beginning with the Fiscal Quarter
ending September 30, 2010 and subject to the limitations set forth below, within five (5) days of the date on which the quarterly financial information is delivered to the Administrative Agent and the Lenders in accordance with the terms
of Section 
  

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5.01, but in any event before the fiftieth
(50th) day after the end of each of the four Fiscal
Quarters, the Borrowers shall prepay the Revolver Advances in an aggregate amount equal to fifty percent (50%) of Excess Cash Flow determined for the applicable Fiscal Quarter (such prepayment to be applied as set forth in clause
(ii) below). As used herein, “Excess Cash Flow” shall mean (x) in respect of any Fiscal Quarter, the amount determined by deducting, to the extent such amounts have not been deducted in calculating Consolidated NOI (as applied to
such Fiscal Quarter), the sum of: (A)(i) Capital Expenditures during such Fiscal Quarter (excluding the capital improvement reserves already deducted from Consolidated NOI), (ii) the Consolidated Interest Expense during such Fiscal Quarter,
(iii) the aggregate payments of principal on Debt made by the Borrowers and its Consolidated Subsidiaries during such Fiscal Quarter (including any principal payments arising out of remargin requirements for the Hotel Property located in
Jacksonville, Florida (up to the amount of $2,000,000)), excluding payments required under Section 2.11(c), (d), (e), (f) and (g), (iv) the portion of the Amendment Fee paid to the Administrative Agent and the Lenders during such
Fiscal Quarter and (vi) scheduled payments of principal and interest made by the Loan Parties during such Fiscal Quarter in connection with the Non-Core Investments with The Carlyle Group and associated loan documents dated February 9,
2009 as in effect as of June 4, 2010, from (B) Consolidated NOI for such Fiscal Quarter, and (y) in respect of the month of June, 2010, the amount determined by deducting, to the extent such amounts have not been deducted in
calculating Consolidated NOI (as applied to June, 2010), the sum of: (A)(i) Capital Expenditures during the Fiscal Quarter ending June 30, 2010 (excluding the capital improvement reserves already deducted from Consolidated NOI) and divided by
3, (ii) the Consolidated Interest Expense during the Fiscal Quarter ending June 30, 2010 and divided by 3, (iii) the aggregate payments of principal on Debt made by the Borrower and its Consolidated Subsidiaries during the Fiscal
Quarter ending June 30, 2010, excluding payments required under Section 2.11(c), (d), (e), (f) and (g) and divided by 3, (iv) the portion of the Amendment Fee paid to the Administrative Agent and the Lenders during the
Fiscal Quarter ending June 30, 2010 and divided by 3 and (v) scheduled payments of principal and interest made by the Loan Parties during the Fiscal Quarter ending June 30, 2010 and divided by 3 in connection with the Non-Core
Investments with The Carlyle Group and associated loan documents dated February 9, 2009 as in effect as of June 4, 2010, from (B) Consolidated NOI for the month of June, 2010. Notwithstanding and in addition to the foregoing, on or
before August 15, 2010, the Borrowers shall prepay the Revolver Advances in an aggregate amount equal to 50% of the Excess Cash Flow calculated with regard to the month of June, 2010 only. 

(ii) Application of Mandatory Prepayments. All amounts required to be paid pursuant to this Section shall be
applied to the repayment of the Revolver Advances and are in addition to all other payments and amounts payable hereunder, including, without limitation, payments pursuant to any other subsection of this Section 2.11. 

 

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 (iii) Hedging Obligations Unaffected. Any repayment or prepayment
made pursuant to this Section shall not affect the Borrowers’ obligation to continue to make payments under any Hedging Agreement, which shall remain in full force and effect notwithstanding such repayment or prepayment, subject to the terms of
such Hedging Agreement. 
 (iv) Limitation. In no event will the Borrowers’ obligation to prepay
amounts under this Section 2.11(f) exceed the amount of $4,000,000 for any Fiscal Year. 
 (g) Equity
Proceeds. (i) Within fifteen (15) days of the date of the receipt of Net Equity Proceeds (as defined below), the Borrowers shall prepay the Revolver Advances, as applicable, in an aggregate amount equal to the sum of the aggregate of
(1) 100% of the first $10,000,000 of the aggregate Net Equity Proceeds, (2) 50% of the aggregate Net Equity Proceeds greater than $10,000,000 but less than $20,000,000, (3) 33% of the aggregate Net Equity Proceeds greater than
$20,000,000 but less than $40,000,000 and (4) 0% of the aggregate Net Equity Proceeds greater than $40,000,000. In no event will the Borrowers’ obligation to prepay the Revolver Advances pursuant to this Section 2.11(g) exceed in the
aggregate the amount of $21,700,000 (the “Maximum Equity Proceeds Prepayment Amount”). For the avoidance of doubt, if the Borrowers or any one or more Borrower consummate multiple Equity Issuances (as defined below) after the Fifth
Amendment Effective Date, the Net Equity Proceeds of all such Equity Issuances shall be aggregated when determining the applicable prepayment percentage pursuant to this Section 2.11(g). 

(ii) Application of Mandatory Prepayments. All amounts required to be paid pursuant to this Section shall be
applied to the repayment of the Revolver Advances and are in addition to all other payments and amounts payable hereunder, including, without limitation, payments pursuant to any other subsection of this Section 2.11. 

(iii) Definition. For the purposes of this Section, “Net Equity Proceeds” shall mean the cash proceeds
(net of reasonable out-of-pocket fees and expenses) received by the Company or the Operating Partnership in connection with any issuance (an “Equity Issuance”) by the Company or the Operating Partnership of any shares or units of its
Capital Securities, other equity interests or options, warrants or other purchase rights to acquire such Capital Securities (which, for the avoidance of doubt, shall include preferred stock), or the receipt of a capital contribution from, any
Person. 
  

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 (iv) Limitation. If the Borrowers prepay Revolver Advances pursuant
to clause (i) of this Section 2.11(g) in an aggregate amount equal to or greater than the Maximum Equity Proceeds Prepayment Amount, then Sections 2.11(f) and 2.11(g) shall cease to have effect and no further prepayments of Revolver
Advances shall be due under either section and Section 5.41 shall cease to have effect. 
 SECTION 3.25. Amendment to
Section 2.18(d). Section 2.18(d) is hereby amended and restated to read in its entirety as follows: 

(d) Subject to the limitations contained in this Agreement, the Borrowers may prepay under this Section 2.18 at any
time before the Termination Date. 
 SECTION 3.26. Amendment to Section 5.01. New subsections (o), (p) and
(q) are hereby added to Section 5.01 as follows: 
 (o) as soon as available and in any event within 30
days prior to the end of each Fiscal Year, a budget for annual Capital Expenditures for the subsequent Fiscal Year; 

(p) as soon as available and in any event within fifteen (15) Domestic Business Days after the end of each Fiscal
Quarter, the quarterly calculation of the following for each Hotel Property (including a comparison with the same quarter from the prior year): (i) NOI for each Eligible Property, (ii) statement of cash generated from operations for each
Eligible Property and (iii) operating statements for each Eligible Property, in each case subject to adjustments in the ordinary course in the preparation of financial statements disclosed in or supporting disclosure in the Company’s
annual and quarterly reports on Forms 10-K and 10-Q, respectively; 
 (q) as soon as available and in any event
within ten (10) Domestic Business Days after the end of each month, a forward-looking forecast of cash to be generated from operations for the subsequent 13 weeks; provided, however, that no cash forecast will be required for a particular month
if the Borrowers can demonstrate minimum liquidity of $4,000,000 for such month (through the presentation of monthly bank statements or other evidence acceptable to the Administrative Agent); and 

(r) as soon as available and in any event within five (5) Domestic Business Days after the end of each month, a
statement of monthly room revenue information for each Mortgaged Property (the “Monthly Room Report”). 
  

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 SECTION 3.27. Amendment to Section 5.05. Section 5.05 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows: 
 SECTION 5.05. Coverage
Ratio. At the end of each Fiscal Quarter, the Fixed Charge Coverage Ratio will not at any time be less than 1.00 to 1.00. 

SECTION 3.28. Amendment to Section 5.06(a). Section 5.06(a) of the Credit Agreement is hereby amended and restated to
read in its entirety as follows: 
 SECTION 5.06. Restricted Payments. The Borrowers will not declare or make any
Restricted Payment during any Fiscal Year, except that: 
 (a) subject to the second sentence of this
Section 5.06(a), the Company and the Operating Partnership may declare and make cash distributions to its shareholders and other equity owners, with respect to the final Fiscal Quarter of any Fiscal Year of the Company and the Operating
Partnership, provided that (i) such cash distributions shall not exceed the minimum amount required to be distributed for the Company to remain in compliance with Section 5.38 and the Operating Partnership shall make no more than an
equivalent per-unit distribution in cash to its equity owners; (ii) no Default or Event of Default shall exist at the time of such cash distributions or arise after giving effect to such cash distributions; (iii) such cash distributions
are made without incurring any Debt and without any amount of a Revolver Advance; and (iv) such cash distributions with respect to the final Fiscal Quarter of any Fiscal Year of the Company and the Operating Partnership may be paid in such
final Fiscal Quarter or in a Fiscal Quarter in the subsequent Fiscal Year. However, if at any time no Default or Event of Default exists and the Company maintains (i) Liquidity of at least Ten Million Dollars ($10,000,000) and (ii) a
minimum Debt Yield of 0.10, then notwithstanding the limitations in (i) through (iv) above, the Company may declare and make an additional cash distribution to its shareholders or other equity owners with respect to any Fiscal Quarter of
any Fiscal Year of the Company, so long as the aggregate distributions paid for the current Fiscal Year do not exceed 90% of Funds From Operations of the Company on a consolidated basis for the previous Fiscal Year, provided that (x) the
Company shall maintain Liquidity of at least Ten Million Dollars ($10,000,000) and a Debt Yield of 0.10 after giving effect to such cash distributions, and (y) no Default or Event of Default shall exist after giving effect to such cash
distributions; 
 SECTION 3.29. Amendment to Section 5.07. Section 5.07 of the Credit Agreement is hereby
deleted in its entirety. 
  

 13 

 SECTION 3.30. Amendment to Section 5.17. Section 5.17 of the Credit
Agreement is hereby amended and restated to read in its entirety as follows: 
 SECTION 5.17. Insurance. Each
Loan Party will maintain, and will cause each Subsidiary of a Loan Party to maintain (either in the name of such Loan Party or in such Subsidiary’s own name), with financially sound and reputable insurance companies, insurance on all its
Property in at least such amounts and against at least such risks as are usually insured against in the same general area by companies of established repute engaged in the same or similar business, including without limitation, business interruption
insurance for a period of at least 12 months. If any of the Borrowing Base Assets are located in a flood hazard area (or, prior to the Termination Date, ever determined to be located in a flood hazard area), then the applicable Loan Party will
obtain and maintain flood hazard insurance and furnish evidence of flood hazard insurance to the Administrative Agent. Upon request, the Loan Parties shall promptly furnish the Administrative Agent copies of all such insurance policies or
certificates evidencing such insurance and such other documents and evidence of insurance as the Administrative Agent shall request. 

SECTION 3.31. Amendment to Section 5.19(a). Section 5.19(a) of the Credit Agreement is hereby amended and restated to
read in its entirely as follows: 
 (a) Capital Improvements. The Loan Parties must annually
reserve or cause the appropriate Loan Party to reserve a minimum of three percent (3%) of annual room revenues received from each Mortgaged Property for capital improvement for such Mortgaged Property, including without limitation, furniture,
fixtures and equipment replacements (the “Minimum Improvements”). The Minimum Improvements shall be deposited in the Reserve Accounts subject to the terms of Section 5.42. 

SECTION 3.32. Addition of New Section 5.19(c). New subsection (c) to Section 5.42 of the Credit Agreement is hereby
added as follows: 
 (c) Limitation on Capital Improvements. The Loan Parties may not expend or reserve
capital improvements related to the Mortgaged Properties in excess of the Minimum Improvements without the prior written consent of the Administrative Agent. 

SECTION 3.33. Amendment to Section 5.35(a)(i). Section 5.35(a)(i) of the Credit Agreement is hereby amended and restated
to read in its entirely as follows: 
 (i) be entered into with (1) a Hedge Counterparty and governed by a
Hedging Agreement; or (2) another institutional provider of Hedge Transactions, upon terms and conditions reasonably satisfactory to the Administrative Agent, which shall include, without limitation, that such Hedge Transaction is not secured
by a Lien upon any asset of any Loan Party or any Subsidiary of a Loan Party. 
  

 14 

 SECTION 3.34. Addition of Section 5.41. New Section 5.41 of the Credit
Agreement is hereby added as follows: 
 SECTION 5.41. Controlled Accounts. The Loan Parties will deposit,
and will instruct the Eligible Operator, as manager of the Borrowing Base Assets, to deposit all Account Assets (as defined below) into the Collateral Service Accounts. In accordance with the terms of the Control Agreement, all amounts deposited in
the Collateral Service Accounts shall be automatically swept from the Collateral Service Accounts into the Master Concentration Account from which transfers shall be made, prior to a Monetary Default, to fund any presentments and withdrawals from
the Operating Accounts requested by any Loan Party, such that the Collateral Service Accounts and the Operating Accounts shall be zero balance accounts. From and after the occurrence of any Monetary Default (as defined below), the deposit bank under
the Control Agreement (i) shall disregard any Loan Party directions with respect to the Master Concentration Account and the Operating Accounts and block any withdrawals by the Loan Parties therefrom, and (ii) to the extent instructed by
the Administrative Agent (which instructions shall be given in the Administrative Agent’s sole discretion), disburse funds from the Master Concentration Account, the Operating Accounts and the Reserve Accounts (subject to the terms of the
Reserve Agreement) in order to fund the operating expenses of the Borrowing Base Assets incurred in the ordinary course of business. For a period of ninety (90) days following the date of such Monetary Default (the “Agent Disbursement
Period”), the Administrative Agent may in its sole and absolute discretion (but without any obligation) (i) authorize the disbursement of funds from the Master Concentration Account, the Operating Accounts and the Reserve Accounts (subject
to the terms of the Reserve Agreement) in order to fund the operating expenses of the Borrowing Base Assets incurred in the ordinary course of business, and (ii) exercise any or all of the remedies available under this Agreement, the Control
Agreement, the Reserve Agreement or any other Loan Document. From and at any time after the completion of the Agent Disbursement Period, the Administrative Agent shall (i) cause all amounts collected in the Collateral Service Accounts and any
amounts in the Master Concentration Account or the Operating Accounts to be applied (A) directly to prepayment of the Revolver Advances and the Obligations and (B) to fund the Reserve Accounts; and (ii) exercise any or all of the
remedies available under this Agreement, the Control Agreement, the Reserve Agreement or any other Loan Document. For the purposes of this section, “Monetary Default” shall mean the failure of any Loan Party to pay when due any principal
of any Advance (whether at maturity, upon acceleration or otherwise, including, without limitation, any Advance or portion thereof to be repaid pursuant to Section 2.11) or shall fail to pay any interest on any Advance within five
(5) Domestic Business Days after such interest shall become due, or any Loan Party shall fail to pay any 
  

 15 

 
fee or other amount payable under this Agreement or any other Loan Document within five (5) Domestic Business Days after such fee or other amount becomes due, including, without limitation,
any Reserve Payments. For the purposes of this Section 5.41, “Account Assets” shall mean all amounts held or received by the Loan Parties or the Eligible Operator for the benefit of the Loan Parties related to, arising from or in
connection with the Borrowing Base Assets, including, without limitation, any Accounts (as defined in the Security Agreement and including, without limitation, all amounts related to room rental revenue). 

SECTION 3.35. Addition of Section 5.42. New Section 5.42 of the Credit Agreement is hereby added as follows: 

SECTION 5.42. Reserves. The Administrative Agent will, and the Loan Parties authorize the Administrative Agent to,
withdraw funds from the Operating Accounts and deposit such amounts in the Reserve Accounts to maintain reserves (the “Reserves”) to fund payment of Property Taxes (defined below), Property Insurance (defined below) and Minimum
Improvements attributable to the Mortgaged Properties (the “Reserve Payments”). The Reserve Payments will be applied as provided herein and upon payment in full of all Advances and Obligations, all amounts held in the Reserve Accounts will
be refunded to the Borrowers. 
 (a) Property Taxes. Subject to the Reserve Agreement, the Administrative
Agent shall withdraw funds from the Operating Accounts each month in the amount of 1/12 of the total aggregate Property Taxes (such amount to be calculated as 105% of the applicable amount from the prior year if current year information is not
available) (the “Monthly Tax Reserve”). The Administrative Agent will maintain such amounts in the Reserve Accounts and apply all amounts so received to the outstanding Property Taxes obligations of the Loan Parties. “Property
Taxes” shall be defined as the taxes described in Section 2.12(c) of the Credit Agreement applicable to each Mortgaged Property. So long as no Event of Default has occurred and is continuing, after payment of the Property Taxes for any
Fiscal Year, any surplus remaining in the applicable Reserve Account shall be, at the sole option of the Loan Parties, (i) returned to the Master Concentration Account or (ii) applied to the subsequent Monthly Tax Reserve for such Loan
Party and the Monthly Tax Reserve shall be reduced accordingly. 
 Commencing the tenth (10
th) Domestic Business day of June, 2010, each Reserve
Account for Property Taxes will be funded by the Loan Parties in the amounts described on Exhibit A for the duration indicated; thereafter, the Monthly Tax Reserve will be calculated as indicated above. 

(b) Property Insurance. Subject to the Reserve Agreement, the Administrative Agent shall withdraw funds from the
Operating Accounts 
  

 16 

 
each month in the amount of 1/12 of the total aggregate Property Insurance (such amount to be calculated as 105% of the applicable amount from the prior year if current year information is not
available) (the “Monthly Insurance Reserve”). The Administrative Agent will maintain such amounts in the Reserve Accounts and apply all amounts so received to the outstanding Property Insurance premiums of the Loan Parties. “Property
Insurance” shall be defined as the insurance described in Section 5.17 of the Credit Agreement applicable to each Mortgaged Property. So long as no Event of Default has occurred and is continuing, after payment of the Property Insurance
for any Fiscal Year, any surplus remaining in the applicable Reserve Account shall be, at the sole option of the Loan Parties, (i) returned to the Master Concentration Account or (ii) applied to the subsequent Monthly Insurance Reserve for
such Loan Party and the Monthly Insurance Reserve shall be reduced accordingly. 
 (c) Allowance for Minimum
Improvements. Subject to the Reserve Agreement, the Administrative Agent shall withdraw funds from the Operating Accounts each month in the amount of 3% of the prior month’s monthly room revenues (the “Monthly Improvements
Allowance”) as reported in the Monthly Room Report no earlier than two (2) Domestic Business Days after receiving such Monthly Room Report. The “Minimum Improvements Allowance” shall be defined as the aggregate of the Monthly
Improvements Allowances for each applicable Mortgaged Property for the trailing twelve month period, as reasonably calculated by the Administrative Agent based upon the Monthly Room Reports provided by the Loan Parties for each Mortgaged Property.
So long as no Event of Default has occurred and is continuing, no more than once a month, the Borrowers shall be permitted to be reimbursed by the Administrative Agent from the Reserve Accounts maintained by the Administrative Agent for payment of
the Minimum Improvements, up to the amount of the Minimum Improvements Allowance, for actual work expended for maintenance and other capital projects on Mortgaged Properties by third party contractors who are not an Affiliate of any Loan Party.

 SECTION 4. Laurel Property. No later than thirty (30) Domestic Business Days after the Fifth Amendment Effective
Date, the Administrative Agent shall procure an Appraisal for the Hotel Property located in Laurel, Maryland (at the sole cost and expense of the Loan Parties) and if such Appraisal values such Hotel Property for an amount more than Nine Million
Dollars ($9,000,000), then Laurel Hotel Associates, LLC (and the other Loan Parties, as necessary) shall, within ten (10) Domestic Business Days of receipt of such Appraisal, execute and deliver all amendments to the Mortgaged Property Security
Documents for such Hotel Property located in Laurel, Maryland necessary to secure the debt up to Appraised Value, all in a form satisfactory to the Administrative Agent in all respects. 

 

 17 

 SECTION 5. Other Appraisals. No later than ninety (90) days after the Fifth
Amendment Effective Date, the Administrative Agent shall procure an Appraisal for each Hotel Property located in Philadelphia, Pennsylvania, Jeffersonville, Indiana and Raleigh, North Carolina (at the sole cost and expense of the Loan Parties).

 SECTION 6. Comfort Letter. No later than five (5) Domestic Business Days after the Fifth Amendment Effective
Date, the Loan Parties shall provide a Franchisor Estoppel and Recognition Letter for the Hotel Property located in Jeffersonville, Indiana which is satisfactory to the Administrative Agent in all respects. 

SECTION 7. Extension of Termination Date. Borrowers shall have the option to request an extension of (the “Option to
Extend”) the Termination Date to May 8, 2012 (the “Extended Termination Date”), upon receipt by the Administrative Agent of written notice from the Borrowers of Borrowers’ request to exercise the Option to Extend, which
notice shall be provided to the Administrative Agent no less than ninety (90) days prior to the Termination Date. The Administrative Agent and the Lenders shall consent to the Extended Termination Date, provided that the following conditions
are satisfied in the reasonable discretion of the Administrative Agent and the Lenders: (a) as of the date of Borrowers’ delivery of notice of request to exercise the Option to Extend, and as of the Termination Date, no Default shall have
occurred and be continuing, and no event or condition which, with the giving of notice or the passage of time or both, would constitute a Default shall have occurred and be continuing, and Borrowers shall so certify in writing; (b) prior to the
Termination Date, Borrowers shall execute or cause the execution of all documents reasonably required by the Administrative Agent to exercise the Option to Extend and shall deliver to the Administrative Agent, at Borrowers’ sole cost and
expense, such amendments to the Mortgaged Property Security Documents and endorsements to the Title Policies as reasonably requested by the Administrative Agent; (c) at least 60 days prior to the Termination Date, new Appraisals shall be
obtained as to each Mortgaged Property, the cost of which shall be fully reimbursed to the Administrative Agent by the Borrowers whether or not the Extended Termination Date is approved; (d) prior to the Termination Date, the Borrowers shall
pay an extension fee in the amount of 0.50% of the total outstanding Advances; (e) as of the effective date of the extension and at all times thereafter, the ratio of the aggregate principal amount of the Advances to the total Appraised Value
of the Borrowing Base Assets shall be no more than .80; (f) as of the effective date of the extension and at all times thereafter, the Advances shall not exceed the total Extension Eligible Property Values (defined below) of the Borrowing Base
Assets and (g) the renewal and extension of the maturity date of the financing related to the Hotel Property in Jacksonville, Florida, on terms and conditions reasonably acceptable to the Administrative Agent. If any Lender determines that the
conditions set forth above are not satisfied, such Lender will provide the Borrowers and the Administrative Agent written notice and neither such Lender nor any of the other Lenders shall be obligated to consent to the Option to Extend. For the
purposes of this Section 6, “Extension Eligible Property Value” shall mean, with respect to any Eligible Property included in the Borrowing Base, an amount equal to .70 multiplied by the Extension Asset Value of such Eligible
Property. “Extension Asset Value” shall be determined as of the end of each Fiscal Quarter and shall mean the NOI of such Eligible Property for the Fiscal Quarter then ending and the immediately preceding three Fiscal Quarters divided by
10.0%. 
  

 18 

 SECTION 8. Conditions to Effectiveness. The effectiveness of this Amendment and the
obligations of the Lenders hereunder are subject to the following conditions, unless the Required Lenders waive such conditions: 

(a) receipt by the Administrative Agent from each of the parties hereto of a duly executed counterpart of this Amendment signed by such
party; 
 (b) receipt by the Administrative Agent from each of the Loan Parties of a duly executed Control Agreement, in the
form attached hereto as Exhibit B; 
 (c) receipt by the Administrative Agent from each of the Loan Parties of a duly executed
Reserve Agreement, in the form attached hereto as Exhibit C; 
 (d) the fact that the representations and warranties of the
Borrowers and Guarantors contained in Section 10 of this Amendment shall be true on and as of the date hereof except to the extent such representations and warranties specifically relate to an earlier date, in which case such representations
and warranties were true on and as of such earlier date; 
 (e) confirmation that financing arrangements related to all Hotel
Properties owned by the Borrowers which are not Borrowing Base Assets qualify as Long Term Limited Recourse Mortgage Loans; 

(f) Title search updates to the Title Policy for each Mortgaged Property; and 

(g) all other documents and legal matters in connection with the transactions contemplated by this Amendment shall be reasonably
satisfactory in form and substance to the Administrative Agent and its counsel. 
 SECTION 9. No Other Amendment. Except
for the amendments set forth above and those contained in the First Amendment to Credit Agreement dated August 1, 2007 (“First Amendment”), the Second Amendment to Credit Agreement dated April 15, 2008 (“Second
Amendment”), the Amendment to Second Amendment to Credit Agreement dated August 15, 2008 (“Amendment to Second Amendment”), the Third Amendment to Credit Agreement dated February 18, 2009 (“Third Amendment”) and
the Fourth Amendment to Credit Agreement dated May 18, 2009 (“Fourth Amendment), the text of the Credit Agreement shall remain unchanged and in full force and effect. On and after the Fifth Amendment Effective Date, all references to the
Credit Agreement in each of the Loan Documents shall hereafter mean the Credit Agreement as amended by the First Amendment, the Second Amendment, the Amendment to Second Amendment, the Third Amendment, the Fourth Amendment and this Amendment. This
Amendment is not intended to effect, nor shall it be construed as, a novation. The Credit Agreement, the First Amendment, the Second Amendment, the Amendment to Second Amendment, the Third Amendment, the Fourth Amendment and this Amendment shall be
construed together as a single agreement. This Amendment shall constitute a Loan Document under the terms of the Credit Agreement. Nothing herein contained shall waive, annul, vary or 

 

 19 

 
affect any provision, condition, covenant or agreement contained in the Credit Agreement, except as herein amended, nor affect nor impair any rights, powers or remedies under the Credit Agreement
as hereby amended. The Lenders and the Administrative Agent do hereby reserve all of their rights and remedies against all parties who may be or may hereafter become secondarily liable for the repayment of the Notes. The Borrowers and Guarantors
promise and agree to perform all of the requirements, conditions, agreements and obligations under the terms of the Credit Agreement, as heretofore and hereby amended, the Credit Agreement, as amended, and the other Loan Documents being hereby
ratified and affirmed. The Borrowers and Guarantors hereby expressly agree that the Credit Agreement, as amended, and the other Loan Documents are in full force and effect. 

SECTION 10. Representations and Warranties. The Borrowers and Guarantors hereby represent and warrant to each of the Lenders as
follows: 
 (a) No Default or Event of Default under the Credit Agreement or any other Loan Document has occurred and is
continuing unwaived by the Lenders on the date hereof. 
 (b) The Borrowers and Guarantors have the power and authority to enter
into this Amendment and to do all acts and things as are required or contemplated hereunder to be done, observed and performed by them. 

(c) This Amendment has been duly authorized, validly executed and delivered by one or more authorized officers of the Borrowers and
Guarantors and constitutes the legal, valid and binding obligations of the Borrowers and Guarantors enforceable against them in accordance with its terms, provided that such enforceability is subject to general principles of equity. 

(d) The execution and delivery of this Amendment and the performance by the Borrowers and Guarantors hereunder does not and will not, as
a condition to such execution, delivery and performance, require the consent or approval of any regulatory authority or governmental authority or agency having jurisdiction over the Borrowers, or any Guarantor, nor be in contravention of or in
conflict with the articles of incorporation, bylaws or other Organizational Documents of the Borrowers, or any Guarantor or the provision of any statute, or any judgment, order or indenture, instrument, agreement or undertaking, to which any
Borrower, or any Guarantor is party or by which the assets or properties of the Borrowers, and Guarantors are or may become bound. 

(e) The Collateral Documents continue to create a valid security interest in, and Lien upon, the Collateral, in favor of the
Administrative Agent, for the benefit of the Secured Parties, which security interests and Liens are perfected in accordance with the terms of the Collateral Documents and prior to all Liens other than Permitted Liens. 

(f) The revised Schedules to the Credit Agreement attached hereto as Exhibit D are true and correct as of the Fifth Amendment Effective
Date. 
  

 20 

 SECTION 11. Counterparts; Governing Law. This Amendment may be executed in multiple
counterparts, each of which shall be deemed to be an original and all of which, taken together, shall constitute one and the same agreement. This Amendment shall be construed in accordance with and governed by the laws of the State of North
Carolina. 
 SECTION 12. Amendment. Neither this Amendment, nor the Control Agreement or the Reserve Agreement, may be
amended or modified without the consent of the Required Lenders. 
 SECTION 13. Effective Date. This Amendment shall be
effective as of June 4, 2010 (the “Fifth Amendment Effective Date”). 
 SECTION 14. Expenses. The
Borrowers and Guarantors agree to pay all reasonable costs and expenses of the Administrative Agent in connection with the preparation, execution and delivery of this Amendment, including without limitation the reasonable fees and expenses of the
Administrative Agent’s legal counsel. 
 SECTION 15. Further Assurances. The Loan Parties agree to promptly take
such action, upon the request of the Administrative Agent, as is necessary to carry out the intent of this Amendment. 
 SECTION
16. Consent by Guarantors. The Guarantors consent to the foregoing amendments. The Guarantors promise and agree to perform all of the requirements, conditions, agreements and obligations under the terms of the Credit Agreement as hereby
amended, said Credit Agreement, as hereby amended, being hereby ratified and affirmed. In furtherance and not in limitation of the foregoing, the Guarantors acknowledge and agree that the “Guaranteed Obligations” (as defined in the Credit
Agreement) include, without limitation, the indebtedness, liabilities and obligations evidenced by the Notes and the Loans made and Letters of Credit issued under the Credit Agreement as hereby amended. The Guarantors hereby expressly agree that the
Credit Agreement, as hereby amended, is in full force and effect. 
 SECTION 17. Amendment Fee. The Borrowers and
Guarantors shall pay to the Administrative Agent for the ratable account of each approving Lender an amendment fee in an amount equal to $375,989.00 (the “Amendment Fee”). The Amendment Fee is payable in four equal payments. The first
quarterly payment of the Amendment Fee ($93,997.25) is payable on the Fifth Amendment Effective Date, the second quarterly payment of the Amendment Fee ($93,997.25) is payable on September 30, 2010, the third quarterly payment of the Amendment
Fee ($93,997.25) is payable on December 31, 2010, and the fourth and final quarterly payment of the Amendment Fee ($93,997.25) is payable on March 31, 2011. 

SECTION 18. Release. Each of the Borrowers and the Guarantors acknowledge, represent and agree that none of the
Borrowers or the Guarantors have any defenses, setoffs, claims, counterclaims or causes of action of any kind or nature whatsoever with respect to the Loan Documents, the administration or funding of the Advances or with respect to
any acts or omissions of the Administrative Agent or any Lender, or any past or present officers, agents or 

 

 21 

 
employees of the Administrative Agent or any Lender, and each of the Borrowers and the Guarantors does hereby expressly waive, release and relinquish any and all such defenses, setoffs,
claims, counterclaims and causes of action, if any. 
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 22 

 IN WITNESS WHEREOF, the parties hereto have executed and delivered, or have caused their
respective duly authorized officers or representatives to execute and deliver, this Amendment as of the day and year first above written. 
  

					
	MHI HOSPITALITY CORPORATION
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
	
	MHI HOSPITALITY, L.P.
	By:	 	MHI Hospitality Corporation, General Partner
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
		
	MHI HOSPITALITY TRS HOLDING, INC.	 	
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
	
	 MHI HOSPITALITY TRS, LLC

a Delaware limited liability company

		
	By:	 	MHI Hospitality TRS Holding, Inc.,
		 	A Maryland Corporation, its sole member
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	

  

 23 

					
	MHI GP LLC
	By:	 	MHI Hospitality, LP, its sole member
	By:	 	MHI Hospitality Corporation, General Partner
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
	
	PHILADELPHIA HOTEL ASSOCIATES LP
	By:	 	MHI GP LLC, General Partner
	By:	 	MHI Hospitality, LP, its sole member
	By:	 	MHI Hospitality Corporation, General Partner
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
	
	BROWNESTONE PARTNERS, LLC
	By:	 	MHI Hospitality, LP, its sole member
	By:	 	MHI Hospitality Corporation, General Partner
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Chief Operating Officer	 	
	
	LOUISVILLE HOTEL ASSOCIATES, LLC
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Manager	 	
	
	TAMPA HOTEL ASSOCIATES LLC
			
	By:	 	 /s/ David R. Folsom
	 	(SEAL)
	Name:	 	David R. Folsom	 	
	Title:	 	Manager	 	

  

 24 

									
	LAUREL HOTEL ASSOCIATES LLC
		
	By:	 	MHI Hospitality, L.P., its Member
		
		 	By: MHI Hospitality Corporation, its General Partner
					
		 		 	By:	 	 /s/ David R. Folsom
	 	(SEAL)
		 		 	Name:	 	David R. Folsom	 	
		 		 	Title:	 	Chief Operating Officer	 	

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 25 

					
	 BRANCH BANKING AND TRUST COMPANY,

as Administrative Agent, as Issuing Bank and as a Lender

			
	By:	 	 /s/ Greg Drabik
	 	(SEAL)
	Name:	 	 Greg Drabik
	 	
	Title:	 	 Senior Vice President
	 	

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 26 

					
	KEYBANK NATIONAL ASSOCIATION
			
	By:	 	 /s/ Tayven Hike
	 	(SEAL)
	Name:	 	 Tayven Hike, CFA
	 	
	Title:	 	 Vice President
	 	

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 27 

					
	MANUFACTURERS AND TRADERS TRUST COMPANY
			
	By:	 	 /s/ Jeff Prather
	 	(SEAL)
	Name:	 	 Jeff Prather
	 	
	Title:	 	 Bank Officer
	 	

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 28Seventh Supplemental Indenture to the Senior Indenture

 Exhibit 4.1 

 
  

TANGER PROPERTIES LIMITED PARTNERSHIP 

AS ISSUER 
 AND

 U.S. BANK NATIONAL ASSOCIATION 

AS TRUSTEE 
  

 
 SEVENTH
SUPPLEMENTAL INDENTURE 
 DATED AS OF JUNE 7, 2010 

 
  

$300,000,000 6.125% SENIOR NOTES DUE 2020 
  

 
 SUPPLEMENT TO
INDENTURE 
 DATED AS OF MARCH 1, 1996, BETWEEN 

TANGER PROPERTIES LIMITED PARTNERSHIP (AS ISSUER) AND 

U.S. BANK NATIONAL ASSOCIATION (AS TRUSTEE) 
  

 
  

 - 1 - 

 SEVENTH SUPPLEMENTAL INDENTURE, dated as of June 7, 2010, between TANGER PROPERTIES
LIMITED PARTNERSHIP, a limited partnership duly organized and existing under the laws of North Carolina (hereinafter called the “Issuer”), having its principal executive office located at 3200 Northline Avenue, Suite 360,
Greensboro, North Carolina 27408, and U.S. BANK NATIONAL ASSOCIATION (as successor in interest to State Street Bank and Trust Company), a national banking association having a corporate trust office at One Federal Street, 3rd Floor, Boston,
Massachusetts 02110, as successor trustee under the Original Indenture (as defined below) (the “Trustee”). 

RECITALS 

WHEREAS, the Issuer executed and delivered the Indenture (the “Original Indenture”), dated as of March 1, 1996, to
the Trustee to issue from time to time for its lawful purposes debt securities evidencing the Issuer’s senior Unsecured Indebtedness. 

WHEREAS, Section 301 of the Original Indenture provides that by means of a supplemental indenture the Issuer may create one or more
series of its debt securities and establish the form, terms and provisions thereof. 
 WHEREAS, the Issuer intends by this
Supplemental Indenture to (i) create a series of Issuer’s debt securities, in an aggregate principal amount equal to $300,000,000, entitled 6.125% Senior Notes due 2020 (the “Notes”) and (ii) establish the form and
the terms and provisions of the Notes. 
 WHEREAS, the Board of Directors of Tanger Factory Outlet Centers, Inc. (the
“Company”), the sole owner of Tanger GP Trust who is the sole general partner of the Issuer, has approved the creation of the Notes and the form, terms and provisions thereof. 

WHEREAS, the consent of Holders to the execution and delivery of this Supplemental Indenture is not required, and all other actions
required to be taken under the Original Indenture with respect to this Supplemental Indenture have been taken. 
 NOW, THEREFORE
IT IS AGREED: 
 ARTICLE ONE 

DEFINITIONS, CREATION, FORM AND TERMS AND CONDITIONS OF THE DEBT SECURITIES 

Section 1.1 Definitions. Capitalized terms used but not otherwise defined in this Seventh Supplemental Indenture shall have
the meanings ascribed to them in the Original Indenture. In addition, the following terms shall have the following meanings to be equally applicable to both the singular and the plural forms of the terms set forth below: 

“COMPARABLE TREASURY ISSUE” means, with respect to any redemption or acceleration date for the Notes, the United States
Treasury security selected by the Independent Investment Banker as having a maturity comparable to the remaining term of the Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial practice,
in pricing new issues of corporate debt securities of comparable maturity to the remaining term of the Notes to be redeemed. 

“COMPARABLE TREASURY PRICE” means, with respect to any redemption or acceleration date for the Notes: (a) the average of
four Reference Treasury Dealer Quotations for such redemption or acceleration date, after excluding the highest and lowest such Reference Treasury Dealer Quotations, or (b) if the Issuer obtains fewer than four but more than one such Reference
Treasury Dealer Quotations for 
  

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such redemption or acceleration date, the average of all such quotations, or (c) if the Issuer obtains only one such Reference Treasury Dealer Quotation for such redemption or acceleration
date, that Reference Treasury Dealer Quotation. 
 “DTC” means The Depository Trust Company. 

“GAAP” means generally accepted accounting principles, as in effect from time to time, as used in the United States applied on
a consistent basis. 
 “GLOBAL NOTE” means a single fully-registered global note in book-entry form, without coupons,
substantially in the form of Exhibit A attached hereto, which represents the Notes. 
 “INDENTURE” means
the Original Indenture as supplemented by this Seventh Supplemental Indenture and as further amended, modified or supplemented with respect to the Notes pursuant to the provisions of the Original Indenture. 

“INDEPENDENT INVESTMENT BANKER” means, with respect to any redemption or acceleration date for the Notes, Banc of America
Securities LLC and its successors or Wells Fargo Securities, LLC and its successors (whichever shall be appointed by the Issuer) or, if both such firms or the respective successors, if any, to such firms, as the case may be, are unwilling or unable
to select the Comparable Treasury Issue, an independent investment banking institution of national standing appointed by the Issuer. 

“INTERCOMPANY DEBT” means indebtedness owed by the Issuer, the Company or any Subsidiary solely to the Issuer, Company or any
Subsidiary. 
 “MATURITY DATE,” when used with respect to any Note, means the date on which the principal of such Note
or an installment of principal becomes due and payable as therein or herein provided, whether at the Stated Maturity or by declaration of acceleration, notice of redemption, notice of option to elect repayment or otherwise. 

“REFERENCE TREASURY DEALER” means with respect to any redemption or acceleration date for the Notes, Banc of America Securities
LLC and a Primary Treasury Dealer (defined herein) selected by Wells Fargo Securities, LLC and their respective successors (provided, however, that if any such firm or any such successor, as the case may be, ceases to be a primary U.S. Government
securities dealer in The City of New York (a “Primary Treasury Dealer”), the Issuer shall substitute therefor another Primary Treasury Dealer) and two other Primary Treasury Dealers selected by the Issuer. 

“REFERENCE TREASURY DEALER QUOTATIONS” means, with respect to each Reference Treasury Dealer and any redemption or acceleration
date for the Notes, the average, as determined by the Issuer, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Issuer by such Reference Treasury
Dealer at 5:00 p.m., New York City time, on the third Business Day preceding such redemption or acceleration date. 

“STATED MATURITY” when used with respect to any Note or any installment of principal thereof or interest thereon, means the
date specified in such Note or a coupon representing such installment of interest as the fixed date on which the principal of such Note or such installment of principal or interest is due and payable. 

 

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 “SUBSIDIARY” means any entity of which at the time of determination the Issuer or
one or more other Subsidiaries owns or controls, directly or indirectly, more than 50% of the shares of Voting Stock. The foregoing definition of “Subsidiary” shall only be applicable with respect to the covenants and other definitions set
forth herein. 
 “TOTAL UNENCUMBERED ASSETS” as of any date means Total Assets minus the value of any properties of
the Issuer and its Subsidiaries that are encumbered by any mortgage, charge, pledge, lien, security interest, trust deed, deed of trust, deed to secure debt, security agreement, or other encumbrance of any kind to secure Indebtedness (other than
those relating to Intercompany Debt), including the value of any stock of any Subsidiary that is so encumbered determined on a consolidated basis in accordance with GAAP; provided, however, that, in determining Total Unencumbered Assets as a
percentage of outstanding Unsecured Indebtedness for purposes of the covenant set forth below in Section 2.1(a) “Maintenance of Total Unencumbered Assets, “ all investments in any Person that is not consolidated with the Issuer for
financial reporting purposes in accordance with GAAP shall be excluded from Total Unencumbered Assets to the extent that such investments would have otherwise been included. For purposes of this definition, the value of each property shall be equal
to the purchase price or cost of each such property (original cost plus capital improvements) and the value of any stock subject to any encumbrance shall be determined by reference to the value of the properties owned by the issuer of such stock as
aforesaid. 
 “TREASURY RATE” means, with respect to any redemption or acceleration date for the Notes: (a) the
yield, under the heading that represents the average for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)” or any successor publication which is published weekly by the
Board of Governors of the Federal Reserve System and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant Maturities,” for the maturity
corresponding to the Comparable Treasury Issue (if no maturity is within three months before or after the Maturity Date of the Notes, yields for the two published maturities most closely corresponding to the Comparable Treasury Issue shall be
determined and the Treasury Rate shall be interpolated or extrapolated from such yields on a straight-line basis, rounding to the nearest month) or (b) if such release (or any successor release) is not published during the week preceding the
calculation date or does not contain such yields, the rate per annum equal to the semiannual equivalent yield to maturity of the Comparable Treasury Issue, calculated using a price for the Comparable Treasury Issue (expressed as a percentage of its
principal amount) equal to the Comparable Treasury Price for such redemption date. The Treasury Rate shall be calculated by the Issuer and certificated to the Trustee in writing on the third Business Day preceding the applicable redemption or
acceleration date. 
 “UNSECURED INDEBTEDNESS” means Indebtedness of the Issuer or any Subsidiary that is not secured
by any mortgage, pledge, lien, charge, encumbrance or security interest of any kind upon any property of the Issuer or any Subsidiary. 

Section 1.2 Creation of Notes. In accordance with Section 301 of the Original Indenture, the Issuer hereby creates the
Notes as a separate series of its debt securities, entitled “6.125% Senior Notes due 2020,” issued pursuant to the Indenture. The Notes shall initially be limited to an aggregate principal amount equal to $300,000,000, subject to the
exceptions set forth in Section 301(2) of the Original Indenture and section 1.4(f) hereof. 
 Section 1.3 Form of
Notes. The Notes will be issued as registered securities and represented by a single Global Note, without coupons, registered in the name of DTC or its nominee, as the case may be, subject to the provisions of the seventh paragraph of
Section 305 of the Original Indenture. So long as DTC, or its nominee, is the registered owner of the Global Note, DTC or its nominee, as the case may be, 

 

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will be considered the sole Holder of the Notes represented by the Global Note for all purposes under the Indenture. 

Section 1.4 Terms and Provisions of Notes. The Notes shall be governed by all of the terms and provisions of the Original
Indenture, as supplemented by this Seventh Supplemental Indenture, and in particular, the following provisions shall be terms of the Notes: 

(a) Registration and Form. The Notes shall be issuable as registered securities as provided in Section 1.3 of this Seventh
Supplemental Indenture. The Notes shall be issued and may be transferred only in minimum denominations of $2,000 and integral multiples of 1,000 in excess thereof. 

(b) Payment of Principal and Interest. All payments of principal and interest in respect of the Global Note
will be made by the Issuer in immediately available funds to DTC or its nominee, as the case may be, as the Holder of the Global Note. The Notes shall mature, and the unpaid principal thereon, shall be payable, on June 1, 2020, subject to the
provisions of the Original Indenture. The rate per anum at which interest shall be payable on the Notes shall be 6.125%. Interest on the Notes will be payable semi-annually in arrears on each June 1 and December 1, commencing
December 1, 2010 (each, an “Interest Payment Date”) and on the Stated Maturity as specified in Section 1.4(b) hereof, to the Persons in whose names the Notes are registered in the Security Register applicable to the Notes
at the close of business on the 15th calendar day
immediately prior to such payment date regardless of whether such payment date is a Business Day (each a “Regular Record Date”). Interest on the Notes shall be computed on the basis of a 360-day year of twelve 30-day months.
Interest on the Notes shall accrue from June 7, 2010. 
 (c) Sinking Fund, Redemption or Repayment. No sinking fund
shall be provided for the Notes and the Notes shall not be repayable at the option of the Holders thereof prior to Stated Maturity. 

(d) Redemption at the Option of the Issuer. 

(1) The Notes will be redeemable at any time in whole, or from time to time in part, at the option of the Issuer on any date at a
Redemption Price equal to the greater of (i) 100% of the principal amount of the Notes to be redeemed, and (ii) the sum of the present values as of the date of redemption or accelerated payment of the remaining scheduled payments of
principal of and interest on the Notes to be redeemed (exclusive of interest accrued to the applicable redemption or acceleration date) discounted to such redemption or acceleration date on a semiannual basis, assuming a 360-day year consisting of
twelve 30-day months, at the Treasury Rate plus 45 basis points, plus, in the case of both clauses (i) and (ii) above, any accrued and unpaid interest on the principal amount of the notes being redeemed to such Redemption Date.
Notwithstanding the foregoing, installments of interest on Notes that are due and payable on an Interest Payment Date falling on or prior to the relevant Redemption Date will be payable to the persons who were the Holders of the Notes registered as
such at the close of business on the relevant Regular Record Dates according to the terms and provisions of the Indenture. 

(2) Notice of any redemption by the Issuer will be mailed at least 30 days but no more than 60 days before the Redemption Date to each
Holder of Notes to be redeemed. The notice of redemption will specify among other things, the Redemption Price and principal amount of the Notes held by the Holder to be redeemed. 

(3) If the Issuer chooses to redeem less than all of the Notes of a series, the Issuer will notify the Trustee at least 40 days prior to
the Redemption Date, or a shorter period 
  

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as may be satisfactory to the Trustee, of the aggregate principal amount of Notes of the series to be redeemed, if less than all of the Notes of that series are to be redeemed, and their
Redemption Date. The Trustee will select, based on a method that most nearly approximates a pro rata selection as the Trustee deems fair and appropriate unless otherwise required by law or applicable stock exchange or depositary requirements, no
less than 30 days nor more than 60 days prior to the Redemption Date, the Notes of that series to be redeemed in whole or in part. 

(4) Unless the Issuer defaults in payment of the Redemption Price, on and after any Redemption Date interest will cease to accrue on the
Notes or portions thereof called for redemption 
 (e) Defeasance; Covenant Defeasance; Waiver. The provisions for
defeasance in Section 402(2) of the Original Indenture for covenant defeasance in Sections 402(3) and 1012 of the Original Indenture shall apply to the Notes (including, without limitation, to the covenants set forth in Article Two hereof and
Article Ten of the Original Indenture as if such covenants were referred to therein). 
 (f) Further Issues. The Issuer
may, from time to time, without the consent of the Holders, create and issue further securities having the same terms and conditions as the Notes in all respects, except for issue date and issue price. Additional Notes issued in this manner shall be
consolidated with and shall form a single series with the previously outstanding Notes. Notice of any such issuance shall be given to the Trustee and a new supplemental indenture shall be executed in connection with the issuance of such securities.

 ARTICLE TWO 

COVENANTS FOR BENEFIT OF HOLDERS OF NOTES 

Section 2.1 Additional Covenants. In addition to the covenants set forth in the Original Indenture, the Issuer hereby further
covenants as follows: 
 (a) Maintenance of Total Unencumbered Assets. The Issuer will maintain at all times Total
Unencumbered Assets of not less than 150% of the aggregate outstanding principal amount of the Unsecured Indebtedness of the Issuer and its Subsidiaries, computed on a consolidated basis in accordance with GAAP. 

Section 2.2 Amendment of Existing Covenants. The Issuer hereby amends Section 1010(b) of the Original Indenture and
replaces it in its entirety with the following: 
 (a) Debt Service Coverage. In addition to the other limitations set
forth in Section 1010 of the Original Indenture, the Issuer will not, and will not permit any Subsidiary to, incur any Indebtedness if, for the period consisting of the four consecutive fiscal quarters most recently ended prior to the date on
which such additional Indebtedness is to be incurred, the ratio of Consolidated Income Available for Debt Service to the Annual Service Charge shall have been less than 1.5 to 1, on a pro forma basis after giving effect to the incurrence of such
Indebtedness and to the application of the proceeds therefrom, and calculated on the assumption that (i) such Indebtedness and any other Indebtedness incurred by the Issuer or its Subsidiaries since the first day of such four-quarter period and
the application of the proceeds therefrom, including to refinance other Indebtedness, had occurred at the beginning of such period, (ii) the repayment or retirement of any other Indebtedness by the Issuer or its Subsidiaries since the first day
of such four-quarter period had been incurred, repaid or retired at the beginning of such period (except that, in making such computation, the amount of Indebtedness under any 

 

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revolving credit facility shall be computed based upon the average daily balance of such Indebtedness during such period), and (iii) any income earned as result of any increase in Adjusted
Total Assets since the end of such four-quarter period had been earned, or an annualized basis, during such period, and (iv) in the case of an acquisition or disposition by the Issuer of any Subsidiary of any asset or group of assets since the
first day of such four-quarter period, including, without limitation, by merger, stock purchase or sale, or asset purchase or sale, such acquisition or disposition or any related repayment of Indebtedness had occurred as of the first day of such
period with the appropriate adjustments with respect to such acquisition or disposition being included in such pro forma calculation. 

ARTICLE THREE 

TRUSTEE 

SECTION 1.01. Trustee. The Trustee is appointed as the principal paying agent, transfer agent and registrar for the Notes and for
the purposes of Section 1002 of the Indenture. The Notes may be presented for payment at the Corporate Trust Office of the Trustee or at any other agency as may be appointed from time to time by the Issuer in The City of New York. The Trustee
shall not be responsible in any manner whatsoever for or in respect of the validity or sufficiency of this Supplemental Indenture or the due execution hereof by the Issuer. The recitals of fact contained herein shall be taken as the statements
solely of the Issuer, and the Trustee assumes no responsibility for the correctness thereof. 
 ARTICLE FOUR 

MISCELLANEOUS PROVISIONS 

Section 4.1 Ratification of Original Indenture. This Supplemental Indenture is executed and shall be construed as an
indenture supplemental to the Original Indenture, and as supplemented and modified hereby, the Original Indenture is in all respects ratified and confirmed, and the Original Indenture and this Supplemental Indenture shall be read, taken and
construed as one and the same instrument. 
 Section 4.2 Effect of Headings. The Article and Section headings herein
are for convenience only and shall not affect the construction hereof. 
 Section 4.3 Successors and Assigns. All
covenants and agreements in this Supplemental Indenture by the Issuer shall bind its respective successors and assigns, whether so expressed or not. 

Section 4.4 Separability Clause. In case any one or more of the provisions contained in this Supplemental Indenture shall for
any reason be held to be invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 

Section 4.5 Governing Law. This Supplemental Indenture shall be governed by, and construed in accordance with, the laws of
the State of New York applicable to agreements made and instruments entered into and, in each case, performed in said state. This Seventh Supplemental Indenture is subject to the provisions of the Trust Indenture Act of 1939, as amended, that are
required to be part of this Seventh Supplemental Indenture and shall, to the extent applicable, be governed by such provisions. 

Section 4.6 Counterparts. This Supplemental Indenture may be executed in several counterparts, each of which shall be an
original and all of which shall constitute one and the same instrument. 
  

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 IN WITNESS WHEREOF, the parties hereto have caused this Seventh Supplemental Indenture to be
duly executed, and their respective corporate seals to be hereunto affixed and attested, all as of the date first above written. 
  

					
	 TANGER PROPERTIES LIMITED PARTNERSHIP,

as ISSUER

		
	By:	 	Tanger GP Trust, as General Partner
		
	By:	 	 /s/ Frank C. Marchisello, Jr.

		 	Name:	 	Frank C. Marchisello, Jr.
		 	Title:	 	 Vice President, Treasurer and

Assistant Secretary

Attest: 
  

			
	 /s/ Virginia R. Summerell

	Name:	 	Virginia R. Summerell
	Title:	 	Secretary

  

					
	U.S. BANK NATIONAL ASSOCIATION,
	as TRUSTEE
		
	By:	 	 /s/ Karen R. Beard

		 	Name:	 	Karen R. Beard
		 	Title:	 	Vice President

 Attest: 

 

			
	 /s/ James Loring

	Name:	 	James Loring
	Title:	 	Trust Officer

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