Document:

ck0001353282-ex108_220.htm

 

 

ADM Investor Services, Inc.

 
 

Exhibit 10.8 

 

 

 
CUSTOMER AGREEMENT
To: ADM Investor Services, Inc. 141 West Jackson Boulevard, Chicago, IL 60604

 

In consideration of the acceptance by ADM Investor Services, Inc. ("ADMIS") acting as broker, dealer or counterparty, of one or more accounts of the undersigned ("Customer") for the purchase or sale of commodity futures, commodity options, forward contracts, foreign exchange, physical or cash commodities, and exchange for physical ("EFP") or Exchange for Risk ("EFR") transactions (Collectively "Commodity Contracts") it is agreed as follows:

 

1.Customer acknowledges the following:

 

(a)The purchase and sale of Commodity Contracts is speculative, involves a high degree of risk and is suitable only for persons who can assume the risk of loss in excess of their margin deposits or of their entire option premium. Customer understands that because of the low margin normally required in Commodity Contract trading, price changes in Commodity Contracts may result in significant Customer losses, which losses may substantially exceed Customer's margin deposits and any other deposits Customer may make. Customer also acknowledges that Customer has received, has read and understands this agreement.

 

(b)Customer authorizes ADMIS to execute such transactions for the Customer's account, to act as counterparty to Commodity Contracts and to exercise commodity options for Customer's account in accordance with Customer's oral or written instructions. ADMIS shall have the right to refuse to accept any of Customer's orders. ADMIS shall also have the right to tape record all telephone conversations with Customer.

 

(c)Customer understands that ADMIS or its affiliates will at times act as principal in regard to cash, forward, or foreign exchange transactions. Furthermore, Customer acknowledges that ADMIS is not obligated to quote a price for any principal transaction.

 

(d)ADMIS shall not be responsible to Customer in any case for a floor brokers' inability to execute orders, or for error or negligence on the part of floor brokers who are not employees of ADMIS.

 

(e)Customer acknowledges that the execution of a futures contract always anticipates making or accepting delivery. Customer hereby authorizes ADMIS to take all action deemed necessary by ADMIS in the event ADMIS takes physical delivery for customer and customer hereby agrees to indemnify ADMIS from all costs associated therewith. ADMIS may, in its sole discretion, liquidate any short position in Customer's account if Customer has not delivered to ADMIS certificates, receipts, or other appropriate instruments of delivery at least seven days prior to the last trading day of the futures contract.

 

(f)Customer acknowledges that ADMIS may be the counterparty to foreign exchange transactions with Customer and that ADMIS may receive revenue through market making, involving foreign exchange transactions of Customer and others, through the difference between the bid and offer provided to Customer and others on foreign exchange transactions, and through markups and markdowns on foreign exchange positions that ADMIS enters into with other parties that correspond to foreign exchange positions that ADMIS enters into with Customer.

 

(g)Customer acknowledges the right of ADMIS to limit, without notice to the Customer, the number of open positions which Customer may maintain or acquire through ADMIS.

 

2.Customer shall deposit with ADMIS (1) the applicable initial and maintenance margin requirements; pay interest, commission charges in effect from time to time, (which commissions may be shared by more than one of Customer's agents) and other fees and charges, as well as costs to ADMIS occasioned by carrying the account of the Customer; (2) deposit the amount of any deficit balance that may result from transactions executed by ADMIS for Customer's account, and

 

 

 

ADM Investor Services, Inc.

 
 
(3) pay the interest and service charges on any Customer deficit balances at the rates customarily charged by ADMIS together with ADMIS' costs and attorney's fees incurred in collecting any such deficit or defending claims brought by Customer in which ADMIS is the prevailing party. Fees and charges, in addition to commissions and interest, may include, but are not limited to rollover fees and charges, currency conversion fees and charges, account transfer fees and charges, and any fees and charges imposed by any interbank agency, bank, contract market or other regulatory or self-regulatory organization. ADMIS reserves the right to change its fee structure at any time.

 

3.Customer understands and acknowledges that ADMIS acts as agent for all transactions which are executed on commodity futures exchanges and among other requirements, is financially liable to the exchange clearing houses of which it is a member and to the clearing members through which it clears transactions on exchanges of which it is not a clearing member, for deficit balances occurring in the Customer's accounts; because of this, ADMIS is the guarantor of the financial responsibility of the Customer. Customer additionally understands and acknowledges that ADMIS, in providing liquidity to Customers, acts as the counterparty  to Customers' transactions and thus assumes the risk associated with such transactions. Therefore, Customer agrees to hold ADMIS harmless with respect to any and all losses sustained by ADMIS resulting from deficit balances which may occur in Customer's account.

 

4.Customer shall, without notice or demand from ADMIS, at all times maintain adequate margins, so as continually to meet the margin requirements established by ADMIS. Such margin requirements established by ADMIS, in its sole and absolute discretion, may exceed the margin requirements set by any commodity exchange, or other regulatory authority. Customer agrees, when required, to wire transfer margins to ADMIS or any monies so required, and to furnish ADMIS with names of bank officers for immediate verification of such transfers.

 

5.If, at any time, Customer's account does not contain the amount of margin required by ADMIS, or by any exchange, clearing house or other regulatory authority, ADMIS may, in its sole and absolute discretion, at any time or from time to time, without notice to Customer, close out Customer's open positions in whole or in part or take any other action it deems necessary to satisfy such requirements, including, but not necessarily limited to, transferring funds from other accounts of Customer including transfers between CFTC Segregated and other accounts. Failure of ADMIS to so act in such circumstances, in whole or in part, shall not constitute a waiver of its rights to do so any time or from time to time thereafter, nor shall ADMIS be subject to any liability to Customer for its failure so to act. In addition, ADMIS has the right, but not the obligation, to liquidate the Customer's account upon receipt of notice of the death of Customer (if applicable).

 

6.Customer understands that there are no guarantees of profit or guarantees against loss in Commodity Contract trading. Customer has received no such guarantees from ADMIS or from any of its representatives. Customer acknowledges its awareness of the risks inherent in Commodity Contract trading and is financially able to bear such risks and withstand any losses incurred.

 

	
 
	
7.
	
Unless Customer provides ADMIS with written or oral instructions to liquidate an open foreign exchange position in the account, that position will be automatically rolled over as an open position in the account to the next successive business day, subject at all times to the right of ADMIS, in its sole and absolute discretion, to liquidate said position in accordance with the provisions of this agreement. Alternatively, in order to liquidate an open foreign exchange position in the Customer's account by means of delivering, or taking delivery, of the underlying currency, written or oral instructions to this effect must be given to ADMIS, together with sufficient funds to cover the delivery and all documents required by ADMIS to effectuate this mode of settlement, in accordance with ADMIS' instructions.
	
 

 

8.All monies, securities, negotiable instruments, forward contracts, foreign exchange contracts, physical or cash contracts, commodity options, open positions in futures contracts and commodities, or other property now or at any future time in Customer's account, or held by ADMIS or its affiliates for Customer, are hereby pledged with ADMIS, and shall be subject to a security interest in ADMIS' favor to secure any indebtedness, at any time, owing

 

 

 

ADM Investor Services, Inc.

 
 
from Customer to ADMIS without regard to whether or not ADMIS or its affiliates has made advances with respect to such property. Customer will not cause or allow any of the property held in Customer's accounts to be subject to any other liens, security interests, mortgages or other encumbrances without the express written approval of ADMIS.

 

9.If Customer directs ADMIS to enter into any Commodity Contracts denominated in a foreign currency: (a) any profit or loss arising as a result of a fluctuation in the exchange rate affecting such currency will be entirely for Customer's account and risk; (b) all initial and subsequent deposits for margin purposes shall be made in US. dollars, in such amounts as ADMIS may in its sole discretion require; and (c) ADMIS is authorized to convert funds in Customer's account for margin into and from such foreign currency at a rate of exchange determined by ADMIS in its sole discretion on the basis of the then prevailing market rates.

 

10.Customer acknowledges that: (1) any market recommendations and information communicated to Customer by ADMIS do not constitute an offer to sell, or the solicitation of an offer to buy any commodity, or any commodity futures contract; (2) such recommendations and information, although based upon information obtained from sources believed by ADMIS to be reliable, may be incomplete and may not be verified; and (3) ADMIS makes no representation, warranty or guarantee as to, and shall not be responsible for, the accuracy or completeness of any information or trading recommendation furnished to Customer. Customer understands that ADMIS and/or its officers, directors, affiliates, stockholders or representatives may have a position or positions in and may intend to buy or sell commodities or commodity futures contracts, which are the subject of market recommendations furnished to Customer, and that the position or positions of ADMIS or any such officer, director, affiliate, stockholder, or representative may or may not be consistent with the recommendations furnished to Customer by ADMIS.

 

11.All transactions by ADMIS on Customer's behalf shall be subject to the applicable constitution, rules, regulations, customs, usages, rulings, and interpretations of the exchanges or markets on which such transactions are executed by ADMIS or its agents for Customer's account (such as the Chicago Mercantile Exchange and its affiliated clearing house, the National Futures Association and to all applicable governmental acts and statutes such as the Commodity Exchange Act or the Commodity Futures Trading Commission Act of 1974) and to rules and regulations made thereunder. ADMIS shall not be liable to Customer as a result of any action taken by ADMIS, or its agents, to comply with any such constitution, rule, regulation, custom, usage, ruling, interpretation, act or statue. If Customer is subject to regulation by any regulatory body, Customer agrees that ADMIS has no duty to ascertain or ensure that Customer is in compliance with any governing statutes or rules.

 

	
 
	
12.
	
If, at any time, Customer shall be unable to deliver to ADMIS any security, commodity or other property previously bought or sold by ADMIS on Customer's behalf, Customer authorizes ADMIS, in its discretion, to borrow or to buy any security, commodity, or other property necessary to make delivery thereof, and Customer shall pay and indemnify ADMIS for any costs, losses, and damages (including consequential costs, losses and damages) which ADMIS may sustain thereby and any premiums which ADMIS may be required to pay thereon, and for any costs, losses and damages (including consequential costs, losses and damages) which ADMIS may sustain from its inability to borrow or buy any such security, commodity or other property.
	
 

 

13.Customer acknowledges and agrees that ADMIS shall not be responsible to Customer for any losses resulting from conduct or advice (including but not limited to errors and negligence) on the part of any broker/dealer, futures commission merchant, independent introducing broker, commodity trading advisor, or any other person or entity introducing Customer to ADMIS or having trading authority over the account of Customer at ADMIS. Customer specifically agrees that ADMIS shall have no obligation to supervise the activities of any such person or entity and Customer will indemnify ADMIS and hold ADMIS harmless from and against all losses, liabilities, and damages (including attorney's fees) incurred by ADMIS as a result of any actions taken or not taken by such person or entity.

 

14.Customer authorizes ADMIS to contact such banks, financial institutions, credit agencies, and other references as ADMIS shall deem appropriate from time to time to verify the information regarding Customer

 

 

 

ADM Investor Services, Inc.

 
 
which may be provided by Customer. Customer understands that an investigation may be made pertaining to Customer's personal and business credit standing and that Customer may make a written request within a reasonable period of time for complete and accurate disclosure of its nature and scope.

 

15.ADMIS shall not be responsible for delays in the execution of orders due to breakdown or failure of transmission, or communication facilities, or to any other cause beyond ADMIS' control. Since ADMIS does not control signal power, its reception or routing via internet, configuration of Customer's equipment or reliability of its connection, ADMIS shall not be liable for any claims, losses, damages, costs or expenses, including attorneys' fees, caused, directly or indirectly, by a break-down or failure of any transmission or communication system or computer facility or trading software, whether belonging to ADMIS, Customer, any market, or any settlement or clearing system when Customer trades on-line (via internet or electronically).

 

16.Confirmation of trades, contracts, statements of account, margin calls, and any other notices transmitted by ADMIS to Customer shall be transmitted to either the email address or the physical address shown in and to the attention of the person (s) named in the "Customer Account Documentation" and shall be conclusively deemed accurate and complete, and Customer waives and releases any claim relating thereto, if not objected to, in writing, prior to the opening of trading on the contract market on which such transaction occurred on the next business day following the day on which such communication was first received. The price at which an order is executed shall be binding notwithstanding the fact an erroneous report is made. An order which was executed but in error reported as not executed shall be binding. Customer shall direct all objections to ADM Investor Services, Inc., 141 West Jackson Boulevard, Suite #2100A, Chicago, Illinois 60604, (312) 242-7000.

 

17.With respect to foreign exchange transactions, Customer specifically consents to receive trade confirmations, daily and monthly account activity statements, margin calls and any other notices sent by ADMIS to Customer electronically via email transmission. This consent shall be effective until revoked by Customer in writing and received by ADMIS. Customer is responsible for providing immediate notification to ADMIS of any change in its email address. Physical copies of Customer's foreign exchange activity statements are available upon request but may incur additional charge to Customer. ADMIS will provide Customer with password-protected access to on-line reports. Customer will be able to generate daily, monthly and annual account statements which provide transaction activity, profit and loss statements, open positions and margin balances. Statements are deemed received when made available to Customer by ADMIS, regardless of whether Customer actually accesses the statement.

 

18.All transactions for or on Customer's behalf shall be deemed to be included in a single account whether or not such transactions are segregated on ADMIS' records into separate accounts, either severally or jointly with others, for regulatory purposes including the reporting of Customer's positions as required by regulatory authorities.

 

19.Customers not residing in the United States (Foreign Accounts) may be asked to comply with requests for special information by ADMIS as required by any governmental unit or regulatory agency. This includes, but is not limited to, special calls for information. In the event of a special call for information, ADMIS shall be required to obtain the information set forth by any governmental unit or regulatory agency requesting information. In addition, failure to respond to a special call for information may cause transactions to be prohibited (other than offsetting trades) for Customer. Foreign Customer accounts must copy and forward an official form of picture I.D. and must provide a bank reference before customer is approved for trading.

 

	
 
	
20.
	
The rights and remedies conferred upon the parties hereto shall be cumulative, and the exercise or waiver of any thereof shall not preclude or inhibit the exercise of additional rights or remedies .
	
 

 

21.Customer agrees that ADMIS may, from time to time, change the account number assigned to any account covered by this Agreement, and that this Agreement shall remain in full force and effect. Customer agrees further that this account, as well as all additional accounts opened by him at ADMIS, shall be covered by this same Agreement with the exception of any new account for which a new Customer Agreement is signed.

 

 

 

ADM Investor Services, Inc.

 
 
22.Subject to the Arbitration Agreement between ADMIS and Customer, Customer agrees that any civil action or other legal proceeding between ADMIS or its employees, agents, representatives, affiliated brokers and/or associated persons, on the one hand, and Customer, on the other hand, arising out of or relating to this Agreement, transactions hereunder, or Customer's account shall be brought, heard and resolved in the Cook County Circuit Court located in Chicago, Illinois and Customer waives the right to have such proceeding transferred to any other location. In addition, Customer waives the right to trial by jury in any such action or proceeding. Any such action or proceeding shall be governed by the law of the State of Illinois. No action, including arbitration, and regardless of form arising out of or relating to this Agreement , transactions hereunder, or Customer's account may be brought by Customer more than one year after the cause of action arose (regardless of the date of discovery of the alleged injury), provided, however, that any action brought under the provisions of Section 14 of the Commodity Exchange Act may be brought at any time within two years after the cause of action accrues.

 

23.Customer represents that (1) he/she is (or, if Customer is a corporation, that each officer and director is, if Customer is a partnership, that each partner is) an adult of sound mind and is under no legal disability which would prevent him/her from trading in commodities, commodity futures contracts, options contracts, forward contracts, foreign exchange or other physical or cash contracts therein or entering into this Agreement; (2) he/she is (or its officers and directors or its partners are) authorized to enter into this Agreement.

 

24.Customer warrants the accuracy of the information contained in the account application to be complete, true and correct and agrees that Customer will promptly notify ADMIS of any material change in the information. Customer further warrants that no one except Customer has an interest in the account and that Customer has full power and authority to enter into this Agreement and to engage in the transactions of the kind contemplated herein.

 

25.Customer agrees to pay to ADMIS the commissions, fees and other charges as are in effect from time to time, and Customer hereby authorizes ADMIS to withdraw the amount of any such commissions, fees and charges from Customer 's Account as such commissions, fees and charges are incurred. ADMIS may provide notice electronically or otherwise of any changes in its amount and type of commissions, fees and other charges, and the effective date of such charges. If Customer is introduced to ADMIS by another party, such other party may receive a portion of any commission paid to ADMIS by Customer.

 

26.This Agreement, including all authorizations, shall inure to the benefit of ADMIS, its successors and assigns and shall be binding upon Customer and Customer's personal representatives, executors, trustees, administrators , agents, successors, and assigns. In the event of (a) the death or judicial declaration of

incompetence of Customer; (b) the filing of a petition in bankruptcy, or a petition for the appointment of a receiver, or the institution of any insolvency or similar proceeding by or against Customer; (c) the filing of an attachment against any of Customer's accounts carried by ADMIS; (d) insufficient margin, or ADMIS' determination that any collateral deposited to protect one or more account of Customer is inadequate, regardless or current market quotations, to secure the account; (e) Customer's failure to provide ADMIS any information requested pursuant to this agreement; or (f) any other circumstances or developments that ADMIS deems appropriate for its protection, and in ADMIS' sole discretion, it may take one or more, or any portion of, the following actions: (1) satisfy any obligation Customer may have to ADMIS, either directly or by way of guaranty or suretyship, out of any Customer's funds or property in its custody or control or in the custody or control of ADMIS; (2) sell any or purchase any or all Commodity Contracts, securities or other property held or carried for Customer; and (3) cancel any or all outstanding orders or Commodity Contracts, or any other commitments made with Customer.

Any of the above actions may be taken without demand for margin or additional margin, without prior notice of sale or purchase or other notice to Customer, Customer's personal representatives, heirs, executors,

admin istrators, trustees, legatees or assigns and regardless of whether the ownership interest shall be solely Customers or held jointly with others.

 

27.Customer shall indemnify, defend and hold ADMIS, its affiliates, directors, officers, stockholders, employees, agents, successors and assigns harmless from and against any and all liabilities, claims, losses, damages, costs

 

 

 

ADM Investor Services, Inc.

 
 
and expenses, including reasonable attorneys' fees and expenses, incurred by ADMIS, arising from (a) Customer's failure to fully and timely perform its obligations hereunder, or (b) any of Customer's representations and warranties made being untrue or incorrect. Customer also agrees to pay promptly to ADMIS any and all claims, losses, damages, costs and expenses, including reasonable attorneys' fees, incurred by ADMIS in enforcement of any of the provisions of this Agreement and any of the transactions contemplated hereunder, the collection of any amounts due hereunder, and the defense of any action or proceeding, including an arbitration proceeding, brought by Customer against ADMIS in which ADMIS is the substantially prevailing party.

 

28.Limitation of Liability. IN NO EVENT SHALL ADMIS BE LIABLE TO CUSTOMER OR ANY PERSON FOR INDIRECT, INCIDENTAL, SPECIAL, PUNITIVE OR CONSEQUENTIAL DAMAGES OF ANY KIND OR NATURE WHATSOEVER, WHETHER ARISING UNDER CONTRACT, WARRANTY, OR TORT (INCLUDING NEGLIGENCE OR STRICT LIABILITY) OR ANY OTHER THEORY OF LIABILITY EVEN IF THE POSSIBILITY OF SUCH DAMAGES WERE DISCLOSED TO ADMIS OR COULD HAVE BEEN REASONABLY FORESEEN BY ADMIS. The limitations of liability reflect the allocation of risk between the parties. The limitations specified in this paragraph 28 will survive and apply even if any limited remedy specified in this Agreement is found to have failed of its essential purpose.

 

Customer:

 

Managed Futures Premier Warrington L.P., by: Warrington GP, LLC, its general partner

 

 

 

NAME (SIGNATURE): Mark Adams

TITLE: Assistant Portfolio ManagerDATE: 3/13/2017Exhibit 10.7

 

CONTRACT OF SALE

 

This Contract of Sale (this Contract)
is between THE ABLON AT FRISCO SQUARE, LLC, a Delaware limited liability company (Seller), and IRWIN R. ROSE & CO.,
LLC, an Indiana limited liability company and/or its permitted assignee (Buyer), and is dated effective as of April 10,
2017, which is the date the Closing Agent acknowledges its receipt of a fully executed copy of this Contract (the Effective
Date).

 

BACKGROUND

 

Buyer wants to purchase, and Seller wants
to sell:

 

		a.	the real property located in Collin County, Texas, more particularly described on Exhibit
A attached to this Contract (the Real Property), and all rights and appurtenances pertaining to the Real Property,
including any interest of Seller in adjacent streets, alleys, easements, and rights-of-way, but excluding any interest in the minerals
severed by prior conveyance;

 

		b.	all improvements and fixtures located on the Real Property, which include the apartment project
commonly known as The Ablon at Frisco Square (collectively, the Improvements);

 

		c.	all of Seller’s rights and interests in the leases affecting the Real Property (Leases)
and, to the extent assignable by Seller and to the extent Buyer elects or is required herein to assume, the service agreements
in effect with respect to the Real Property or Improvements (the Service Contracts);

 

		d.	the tangible personal property owned by Seller and either located at or used exclusively in connection
with the Real Property or Improvements (the Personal Property);

 

		e.	all of Seller’s rights and interests in assignable warranties and guaranties relating to
the Improvements (the Warranties); and

 

		f.	all of Seller’s rights and interests in records of
tenants used in the continuing operation of the Improvements (the Tenant Records).

 

The Real Property, the Improvements, the
Leases, the Service Contracts, the Personal Property, the Warranties and the Tenant Records are collectively called the Property.
For the avoidance of doubt, the definition of Property does not include, and Seller does not intend to convey to Buyer, any right,
title or interest of Seller in and to the name “Ablon” or “Pegasus” or any trademarks, logos, trade colors,
service marks, or trade names of Seller or such names, including all combinations and derivations of the names “Ablon”
and “Pegasus” or any signage, branding or other materials associated with same.

 

ARTICLE 1

PURCHASE PRICE AND EARNEST MONEY

 

		Section 1.1	Agreement to Sell and Purchase.

 

Seller shall sell to Buyer, and Buyer shall
purchase from Seller, the Property, subject to the terms and conditions of this Contract.

 

		Section 1.2	Purchase Price.

 

The Purchase Price of the Property is $53,500,000.00,
payable in immediately available federal funds at Closing (defined in Section 6.1).

 

    	Contract of Sale	 	Page 1

     

    

 

		Section 1.3	Earnest Money.

 

Within 3 business days after the Effective
Date, Buyer shall deposit with Commonwealth Title (Closing Agent), 8222 Douglas Avenue, Suite 570, Dallas, Texas 75225,
Attention: Stacie Taylor, immediately available federal funds in the amount of $1,500,000.00 (the Earnest Money). The Earnest
Money will be applied in its entirety to the Purchase Price at Closing. Otherwise, the Earnest Money will be paid as provided elsewhere
in this Contract. Closing Agent shall, promptly upon receipt, place the Earnest Money in a federally insured, interest bearing
account. All interest on the Earnest Money becomes part of the Earnest Money. Closing Agent is authorized and directed to pay the
Earnest Money to the party entitled to receive the Earnest Money under the terms of this Contract.

 

ARTICLE 2

TITLE INSURANCE, OTHER INFORMATION, AND
SURVEY

 

		Section 2.1	Title Insurance.

 

Seller shall cause Closing Agent to agree
to issue to Buyer as soon as practicable after Closing, a Texas standard form of Owner Policy of Title Insurance for the Real Property
and Improvements (the Owner Policy), in the amount of the Purchase Price and insuring fee simple title to the Real Property
as being vested in Buyer. Seller is responsible only for payment of the premium for the standard form of Owner Policy. Buyer shall
pay the premiums charged for and costs associated with obtaining any endorsements or modifications to the standard form of Owner
Policy and for any loan policy or endorsements required by Buyer's lender, but Seller is not obligated to cause Closing Agent to
issue any endorsements, extensions or modifications to the Owner Policy or any lender policy. Upon issuance, the Owner Policy will
except to the standard printed exceptions, conditions and exclusions and to the Permitted Exceptions (defined in Section 3.1).
Buyer acknowledges receipt, prior to the Effective Date, of the title insurance commitment covering the Real Property issued by
Closing Agent with an effective date of March 6, 2017, under GF Number CW-2246-2246003010-ST (as updated from time to time, the
Commitment), together with copies of all documents referenced as title exceptions in Schedule B of such commitment (collectively,
the Title Exceptions).

 

		Section 2.2	Other Information.

 

Buyer acknowledges receipt or acceptable
access, prior to the Effective Date, of all of the records and documents listed on Schedule 1 attached hereto that are in Seller’s
possession or are located at the Real Property and in the possession of Seller’s property manager (collectively, the Documents).
No later than 14 days after the Effective Date, Seller shall obtain and deliver to Buyer an update of the Survey (defined below)
or a new survey of the Real Property and Improvements (in either case, the Updated Survey) at Seller’s sole cost and
expense. Without limitation on the foregoing, Seller shall make the Leases and the Tenant Records in Seller's possession available
to Buyer for Buyer's inspection and copying (at Buyer's expense) at the Real Property during normal business hours upon 48 hours'
prior notice of Buyer’s desire to inspect same.

 

ARTICLE 3

TITLE REVIEW AND DUE DILIGENCE

 

		Section 3.1	Title Review.

 

		(a)	Buyer has until 5:00 pm (Dallas, Texas time) on the Effective
Date or until 10 days after its receipt of the Commitment and Title Exceptions, whichever is later (the Title Review Period),
to give Seller a notice objecting to any exception or encumbrance contained in the Commitment or shown on the existing survey
referenced on such Schedule 1 (the Survey). If Buyer does not give notice of any objections to Seller within the Title
Review Period, then Buyer is deemed to approve the title as shown in the Commitment, the title exceptions, and matters shown on
the Survey. If Buyer provides timely objections, then Seller shall have 7 days after receipt of Buyer's notice (the Title Cure
Period) in which it may attempt or agree to cure Buyer's objections; provided, however, Seller has no obligation to cure or
agree to cure any of Buyer's objections.

 

    	Contract of Sale	 	Page 2

     

    

 

		(b)	If Buyer provides timely objections as contemplated above
and Seller does not cure or agree to cure all of Buyer's objections within the Title Cure Period for any reason, then within 5
days after the last day of the Title Cure Period but in no event later than the last day of the Due Diligence Period (the Election
Period), Buyer shall, as its sole and exclusive remedy, waiving all other remedies, either: (i) terminate this Contract by
giving a termination notice to Seller within the Election Period, in which case the parties will have no further rights, liabilities,
or obligations under this Contract (other than those that expressly survive termination); or (ii) waive the uncured objections
and be deemed to approve Seller's title as shown in the Commitment, the title exception documents, and the Survey. If Seller does
not receive notice of Buyer's election to terminate under this Section 3.1(b) prior to the expiration of the Election Period,
then Buyer is deemed to have provided its waiver and approval in accordance with clause (ii) immediately above. If Buyer terminates
this Contract under clause (i) where authorized herein and such election is based upon Buyer’s timely objection to (and
Seller’s failure to cure or agree to cure) one or more encumbrances on the Real Property that are reasonably anticipated
to have a material adverse effect on the marketability of the Property (a Material Encumbrance), then upon such termination,
Closing Agent shall return all of the Earnest Money to Buyer. However, if such a termination occurs on the basis of Seller’s
failure to cure or agree to cure one or more objections that do not pertain to a Material Encumbrance, then upon such termination,
Closing Agent shall deliver to Seller the Released Funds as defined below, and Seller shall be irrevocably and unconditionally
entitled to same, and Closing Agent shall return the remainder of the Earnest Money to Buyer.

 

		(c)	The Permitted Exceptions are all matters disclosed
by the Commitment, title exception documents, or the Survey: (i) to which Buyer does not timely object or (ii) to which Buyer
does timely object but which Seller does not cure or agree to cure in writing within the Title Cure Period.

 

		Section 3.2	Due Diligence Period.

 

		(a)	During the Due Diligence Period, Buyer may enter the Real
Property to conduct inspections of the Real Property and Improvements and review and analyze all materials, surveys, maps, reports,
and other matters and information provided by Seller under this Contract. Buyer must notify Seller of Buyer's intention to enter
the Real Property and Improvements at least 2 business days prior to each intended entry (which notice may be provided via email).
No invasive testing or inspections may be performed without prior written approval of Seller, which approval may be withheld or
given in Seller's sole and absolute discretion. Invasive testing shall include, without limitation, any so-called Phase 2 environmental
site assessment. Seller may, at its option, have a representative present for each inspection or test. Buyer may not enter any
Improvements except in accordance with the Leases and applicable law and only with prior notice to Seller specifying such intended
entry.

 

    	Contract of Sale	 	Page 3

     

    

 

		(b)	Buyer may, in its sole discretion, elect to terminate this
Contract for any or no reason by giving notice of termination to Seller at any time on or before April 20, 2017 (the period from
the Effective Date through such later date being the Due Diligence Period). If no notice of termination is timely received
by Seller, then this Contract remains in full force and effect and Buyer's right to terminate this Contract under this Section
3.2 is waived. Upon a timely termination under this Section 3.2: (i) the parties have no further rights, liabilities,
or obligations under this Contract (other than those that expressly survive termination); and (ii) Closing Agent shall deliver
the Earnest Money as follows: (A) $350,000 of the Earnest Money (the Released Funds) shall be delivered to Seller and Seller
shall be irrevocably and unconditionally entitled to same; and (B) the remainder of the Earnest Money shall be returned to Buyer.
The foregoing division of the Earnest Money upon a termination under this Section is not intended to limit or affect a parties’
express rights to the Earnest Money under other Sections of this Contract or the application of the Earnest Money to the Purchase
Price at Closing. After the expiration of the Due Diligence Period, Buyer is deemed to waive any defaults of Seller that arose
prior to or during the Due Diligence Period of which Buyer has actual knowledge as of the expiration of the Due Diligence Period,
and any deficiencies in Seller’s representations and warranties of which Buyer has actual knowledge at such time.

 

		(c)	Buyer agrees that Buyer and all of its agents entering
on the Property shall carry commercial general liability insurance with limits of no less than $2,000,000.00 in the aggregate
and $1,000,000.00 per occurrence, insuring all activity and conduct of Buyer and such agents while exercising the right of access
provided for in this Section. Such insurance shall be written on an occurrence basis, shall include a contractual liability endorsement
that insures Buyer’s indemnity obligations hereunder, and shall name Seller and Seller’s property manager as additional
insureds. Buyer hereby represents and warrants that it carries the insurance required under this paragraph. Prior to Buyer or
any agent entering the Property, and upon request of Seller, Buyer will provide Seller with written evidence of the insurance
required under this paragraph.

 

		(d)	Buyer shall perform, and shall cause its agents, employees,
and contractors to perform, all inspections and reviews of the Property so as not to cause any damage, loss, cost, or expense
to, or claims against, Seller or the Property. Buyer shall, at its expense, promptly repair any damage to the Property caused
by or attributable to Buyer's inspections, testing or other activities under this Section 3.2 to the condition existing
immediately prior to the inspection or testing. Buyer shall indemnify, defend, and hold harmless Seller, and its owners, principals,
officers, affiliates, agents and employees, from and against any and all damages, losses, costs, liabilities, claims and expenses
(including, without limitation, reasonable legal fees and court costs) arising out of or resulting from the entry onto the Property
by Buyer or any of its affiliates, agents, employees, contractors, or consultants or any of the inspections, tests or other activities
of such parties under this Section 3.2. Additionally, Buyer shall, at its expense, cause any lien filed against the Real
Property arising by, through, or under Buyer or otherwise attributable to such inspections, testing, and review of the Property
to be released of record within 20 days after receipt of notice of the filing of any lien. The terms of this Section 3.2(d)
survive the Closing or any termination of this Contract, and notwithstanding anything to the contrary, Seller may enforce
specific performance of Buyer’s obligations under this Section 3.2(d) and pursue any other remedy at law or in equity
in connection with same.

 

    	Contract of Sale	 	Page 4

     

    

 

		(e)	Buyer shall, on or before the expiration of the Due Diligence
Period, provide written notice to Seller stipulating which Service Contracts Buyer elects to assume (Assigned Contracts)
and which Service Contracts Buyer elects not to assume (the Rejected Contracts). Seller shall deliver a notice to terminate
the Rejected Contracts on or prior to the date of Closing. Notwithstanding anything to the contrary herein, the contracts
with Grande Communications Networks LLC and AT&T Services, Inc., regardless of any notice from Buyer to the contrary,
are deemed Assigned Contracts hereunder and will be assumed by Buyer at Closing accordingly. If Buyer does not timely make an
election with respect to any one or more of the Service Contracts, it shall be deemed to have elected to assume each of those
Service Contract(s). At Closing, all of the Assigned Contracts shall be assigned to Buyer pursuant and subject to the terms of
the Assignment of Leases defined below.

 

ARTICLE 4

SELLER'S REPRESENTATIONS, WARRANTIES,
AND COVENANTS

 

		Section 4.1	Seller's Representations and Warranties.

 

Seller represents and warrants to Buyer as follows:

 

		(a)	Seller is validly existing under the laws of the State
of its incorporation, and is, to the extent necessary, qualified to do business in the State of Texas.

 

		(b)	Seller has the authority to execute this Contract and,
prior to the performance of the respective obligation, will have the authority to perform its obligations under this Contract.
The person executing this Contract on behalf of Seller is duly authorized to do so.

 

		(c)	There is no pending condemnation or change in zoning affecting
the Property as of the Effective Date.

 

		(d)	Seller has received no written notice as of the Effective
Date concerning the Real Property or the Improvements from any governmental authority stating that the Real Property or the Improvements
are in violation of applicable law, except such violations as have been previously cured.

 

		(e)	Except for any written items disclosed by Seller, there
is no pending litigation affecting the Real Property and Improvements.

 

		(f)	There are no attachments, executions, assignments for the
benefit of creditors, or voluntary or involuntary proceedings in bankruptcy or under other debtor relief laws contemplated by
or pending against Seller.

 

		(g)	To Seller’s knowledge: (i) the Leases available for
review by Buyer are true and correct copies of the actual Leases that are in Seller's possession; (ii) there are no adverse parties
in possession of any portion of the Real Property or Improvements as of the Effective Date; and (iii) each Lease is valid and
enforceable.

 

		(h)	The Rent Roll delivered by Seller to Buyer under Section
2.2 is the Rent Roll relied upon by Seller in connection with the operation of the Real Property and Improvements as of the
date of such Rent Roll.

 

		(i)	As of the Closing, no portion of the Property will be subject
to any management agreement, so that Buyer shall receive all of the Property free and clear of any such management agreement.

 

    	Contract of Sale	 	Page 5

     

    

 

		(j)	As of the Effective Date, Seller has not received any written
notice that the Property was not built or does not comply with all legal requirements relative to state, local and federal accessibility
laws.

 

		(k)	There are no warranty claims, defaults or notices of default
under any contracts or agreements related to or pertaining to the construction of the Improvements.

 

		(l)	Subject to Seller’s replacement rights under Section
4.4(c) hereof, the items of tangible personal property described on Schedule 2 attached hereto are among the items of personal
property that will be conveyed to Buyer at Closing pursuant to the Bill of Sale.

 

		Section 4.2	Survival of Representations and Warranties.

 

The representations and warranties in Section
4.1 will be deemed made on and as of the Closing Date (as hereinafter defined) with the same force and effect as if made at
that time and survive Closing for a period of 120 days. Effective at 5:00 p.m. (Dallas, Texas time) on the date that is 120 days
after the Closing, such representations and warranties shall automatically terminate, except to the extent that notice from Buyer
of a claim for breach thereof has been received by Seller within the 120-day period, and such notice identifies the respective
claim with reasonable specificity. Buyer may bring an action for a breach of a representation and warranty by Seller only
if and only to the extent that: (a) such action is commenced after the Closing and Buyer gives Seller the notice of the respective
breach within the 120-day period as required above, and (b) the aggregate, actual damages from all such breaches of which Buyer
gives timely notice exceed $25,000. At all times subject to the other limitations on recovery of damages set forth in this Section
4.2, Buyer may collect only actual damages for any breach of Seller's representations and warranties under this Contract. Buyer
waives the right to claim, seek or recover special, consequential, punitive, or any other damages other than actual damages in
connection with this transaction and this Contract. Except for Seller’s special warranty in the Deed and Seller’s indemnification
obligations under Section 9.3, the aggregate liability of Seller for all damages of any kind related to this Contract or
this transaction is limited to $750,000.00. The provisions of this Section 4.2 survive the Closing or any termination of
this Contract.

 

		Section 4.3	Knowledge Standard.

 

For purposes of this Contract, the term
Seller's knowledge (and similar phrases) means the current actual knowledge of Steve Brookshire and Kevin Hickman. The named
individuals are acting for and on behalf of Seller and are in no manner personally liable or expressly or impliedly making any
representations or warranties in an individual capacity. Buyer waives any right to sue or to seek any personal judgment or claim
or take any other action against any such named individual.

 

		Section 4.4	Seller's Covenants.

 

		(a)	At all times from the Effective Date to the Closing, Seller
shall keep and perform all of the obligations to be performed by the landlord under the Leases. Seller will promptly deliver to
Buyer any written notice Seller receives regarding the occurrence of any default or alleged default by landlord under the Leases.

 

		(b)	After the expiration of the Due Diligence Period, Seller
may not grant any leasing incentives other than incentives consistent with (or less than) any of those previously offered by Seller
during its ownership of the Property, without the prior consent of Buyer (which consent may not be unreasonably withheld, conditioned,
or delayed).

 

    	Contract of Sale	 	Page 6

     

    

 

		(c)	At all times from the Effective Date to the Closing, Seller
shall maintain the Improvements in their present condition and repair in all material respects, except for normal wear and tear
and any casualty or condemnation. Seller may not remove any Personal Property from the Improvements without replacing them with
items of substantially similar kind (or utility) and quality prior to Closing.

 

		(d)	Seller will cause all insurance policies related to the
Property to be maintained in full force and effect up to the Closing.

 

		(e)	Seller will promptly notify Buyer in writing of any violation
or alleged violation affecting the Property received by Seller in writing from any governmental authority.

 

		(f)	At all times from the Effective
Date to the Closing, Seller shall operate the Property in a manner consistent in all material respects with Seller’s operation
of the Property immediately prior to the Effective Date, in compliance with all applicable laws, subject to normal wear and tear
and any casualty or condemnation. Such operational covenant shall not limit Seller’s rights to grant incentives and
replace Personal Property to the extent expressly contemplated elsewhere in this Section 4.4.

 

ARTICLE 5

BUYER'S REPRESENTATIONS, WARRANTIES AND
COVENANTS

 

		Section 5.1	Buyer's Representations and Warranties.

 

Buyer represents and warrants to Seller, which representations
and warranties are also deemed to be made on and as of the Closing Date:

 

		(a)	Buyer is validly existing under the laws of the State of
its incorporation, and is, to the extent necessary, qualified to do business in the State of Texas.

 

		(b)	Buyer has the authority to execute this Contract and to
perform its obligations under this Contract. The person executing this Contract on behalf of Buyer is duly authorized to do so.

 

		(c)	There are no attachments, executions, assignments for the
benefit of creditors, or voluntary or involuntary proceedings in bankruptcy or under other debtor relief laws contemplated by,
pending, or threatened against Buyer.

 

ARTICLE 6

CLOSING AND PRORATIONS

 

		Section 6.1	Closing Date.

 

The Closing of this Contract will take place in Closing
Agent's offices commencing at 11:00 a.m., Dallas, Texas time, on May 25, 2017 (the Closing Date).

 

		Section 6.2	Closing Matters.

 

		(a)	Prior to the Closing, Seller shall deliver into escrow
with Closing Agent, for delivery to Buyer upon Closing:

 

		(i)	a Special Warranty Deed (the Deed), duly executed
and acknowledged by Seller, in the form attached to this Contract as Exhibit B;

 

    	Contract of Sale	 	Page 7

     

    

 

		(ii)	a Bill of Sale (the Bill of Sale), duly executed
by Seller, in the form attached to this Contract as Exhibit C;

 

		(iii)	2 counterparts of an Assignment of Leases, Contracts, Security
Deposits, and Warranties (the Assignment of Leases) duly executed by Seller, in the form attached to this Contract as Exhibit
D;

 

		(iv)	an IRC Section 1445 Certification, duly executed by Seller,
in the form attached to this Contract as Exhibit E;

 

		(v)	2 counterparts of a notice to tenants (the Tenant Notice
Letter), duly executed by Seller in the form attached to this Contract as  Exhibit F, to be duplicated for and
addressed to each tenant at the Property promptly after Closing and delivered accordingly by Buyer after Closing;

 

		(vi)	if required under a Service Contract that Buyer has elected
or is required hereunder to assume, 2 counterparts of an assignment instrument effecting the assignment by Seller and assumption
by Buyer of the respective Service Contract, in the form required by such Service Contract or (if no form is specified) a commercially
reasonable form presented by Seller (each a Service Contract Assignment);

 

		(vii)	an updated Rent Roll dated no earlier than 1 business day
prior to Closing, certified by Seller as true, correct and complete in all material respects as of the date thereof;

 

		(viii)	any other document reasonably required by Closing Agent
to consummate the transactions contemplated herein; and

 

		(ix)	the following, which will be left at the Property and not
delivered into escrow: (A) originals or copies of the Leases, the Service Contracts, the Warranties, and the Tenant Records, and
(B) keys to the Improvements.

 

		(b)	Prior to the Closing, Buyer shall deliver into escrow with
Closing Agent, for delivery to Seller upon Closing:

 

		(i)	by wire transfer or other immediately available federal
funds, the Purchase Price, subject to applicable prorations and credits;

 

		(ii)	2 counterparts of the Assignment of Leases, duly executed
by Buyer;

 

		(iii)	2 counterparts of the Tenant Notice Letter, duly executed
by Buyer;

 

		(iv)	2 counterparts of each Service Contract Assignment, if
any, duly executed by Buyer; and

 

		(v)	any other document reasonably required by Closing Agent
to consummate the transactions contemplated herein.

 

		(c)	Buyer shall, within five (5) business days after Closing,
deliver to each tenant at the Property the executed and completed Tenant Notice Letter for such tenant in a manner consistent
with applicable law. If not so timely delivered by Buyer, Seller has the right to enter the Property after Closing to deliver
the Tenant Notice Letters on behalf of Buyer or Seller, as applicable. Prior to delivery of same, Buyer shall use the information
contained on the Rent Roll provided by Seller at Closing.The rights and obligations of this paragraph survive the Closing.

 

    	Contract of Sale	 	Page 8

     

    

 

		Section 6.3	Prorations.

 

		(a)	Ad valorem taxes and assessments (whether for real estate
or personal property) against the Property will be prorated at Closing as of the date of Closing based on the tax bills for the
year of the Closing. If Closing occurs before that year's tax bills are available, the proration will be based on the latest tax
rate applied to the latest valuation provided by the applicable taxing authority. Buyer shall thereafter pay all taxes and assessments
against the Property before they become delinquent.

 

		(b)	Except as set forth in Section 6.3(c), all income
and expenses in connection with the operation of the Property (other than ad valorem taxes and assessments) will be prorated at
Closing as of the Closing Date as more particularly described below. All income and expense items subject to proration pertaining
to the period prior to the Closing Date will be allocated to Seller and all income and expense items subject to proration pertaining
to the period starting on the Closing Date will be allocated to Buyer. With respect to income (including rents) actually received
by Seller for the month in which the Closing occurs (the Closing Month), Buyer will receive a credit against the Purchase
Price equal to the portion of such income actually received that is attributable to the period of the Closing Month starting on
the Closing Date. With respect to prepaid income (including prepaid rents) actually received by Seller for periods after the Closing
Month, Buyer will receive a credit against the Purchase Price for such income actually received. With respect to expenses allocable
to the Closing Month, Seller will receive from Buyer at Closing an amount equal to the portion of such expenses that Seller has
actually paid that is attributable to the period of the Closing Month starting on the Closing Date. With respect to expenses actually
paid by Seller for periods after the Closing Month for Service Contracts or items that Buyer has expressly assumed or is required
herein to assume, Seller will receive from Buyer at Closing an amount equal to such expenses actually paid.

 

		(c)	Notwithstanding the generality of Section 6.3(b),
the following specific allocations will apply to Buyer and Seller, as applicable. Seller is responsible for locator fees and commissions
for Leases under which the tenant moves into a unit prior to the Closing and commences the payment of rent for same. Buyer is
responsible for locator fees and commissions for Leases under which the tenant moves into a unit on or after the Closing or has
not yet commenced payment of rent as of the Closing. Any income payable in connection with any Service Contract will be prorated
as set forth in Section 6.3(a), but no lump sum, front-loaded or similar bonus payments paid to Seller with respect to
any Service Contract will be prorated, including (without limitation) any so-called “door fee” or similar incentive
payment under a telecommunications contract. Finally, Buyer acknowledges that Seller bills the tenants in connection with the
Leases for certain utility services procured by Seller and furnished to such tenants (Utility Payments), with billings
to tenants for such utility services being made monthly and in arrears (ie: for a utility service period that concluded prior
to tenant actually being billed for same). To ensure Seller’s recoupment of all utility expenses allocable to periods prior
to Closing, Buyer shall remit to Seller after Closing an amount equal to the actual Utility Payments paid by the tenants and attributed
to: (i) Seller’s last monthly utility service period that concludes prior to Closing; and (ii) the monthly utility service
period during which Closing occurs but only the pro-rata share allocable to such period up to (but not including) the date of
the Closing. As to matters other than taxes on real and personal property, Seller and Buyer shall make appropriate post-closing
adjustments to the prorations of income and expenses but in no event will any readjustment be made after the 60th day after the
Closing Date.

 

    	Contract of Sale	 	Page 9

     

    

 

		(d)	All deposits and/or fees made by tenants under the Leases
(whether or not such deposits and/or fees have been designated as refundable security for rent, cleaning, pets, or any other purposes)
and not applied by Seller will be credited against the Purchase Price and the obligation to refund the cash deposits to tenant
is assumed by Buyer, such actual cash deposits being retained by Seller. The application fees which are not prepaid security deposits
shall be retained by Seller.

 

		(e)	To the extent received by Buyer after Closing, Buyer will
promptly remit to Seller any bonds or letters of credit issued in favor of any governmental authorities by Seller or any Seller
affiliate in connection with the construction, operation or maintenance of the Improvements and any property tax refunds, utility
refunds or any other refunds in connection with the ownership, development or operation of the Property attributable to any period
prior to Closing. To the extent received by Seller after Closing, Seller will promptly remit to Buyer any bonds or letters of
credit issued in favor of any governmental authorities by Buyer or any Buyer affiliate in connection with the operation or maintenance
of the Improvements and any property tax refunds, utility refunds or any other refunds in connection with the ownership, development
or operation of the Property attributable to any period on or after Closing.

 

		(f)	Buyer shall use reasonable efforts to collect Delinquent
Rentals (defined herein) for Seller's benefit after the Closing in the usual course of the operation of the Property, and collections,
if any, will be remitted to Seller promptly upon receipt by Buyer. Buyer's obligation to remit Delinquent Rentals to Seller terminates
120 days after the Closing. Nothing contained herein requires Buyer to institute any lawsuit or other collection procedure. Seller
and Buyer agree that any sums received by Buyer from any tenant owing Delinquent Rentals will first be applied to the rent of
such tenant for periods after Closing that are currently due and payable to Buyer, then to rent for the Closing Month (and prorated
between the parties and remitted accordingly), and then to other Delinquent Rentals and remitted to Seller accordingly. Delinquent
Rentals are defined as rents owed by tenants for the Closing Month or any month prior to the Closing Month but uncollected
by Seller as of the Closing Date. To the extent Buyer collects any other income that is attributable to the Closing Month or any
month prior to the Closing Month, Buyer shall remit such amounts to Seller promptly upon receipt (but retaining its prorated share
of any income for the Closing Month).

 

		(g)	The Real Property is subject to certain assessments by
the applicable property owner’s association, pursuant to the Declaration of Covenants, Conditions and Restrictions and associated
instruments, which encumber the Real Property along with other tracts of real property within the vicinity of same (the Restrictive
Covenants). During years prior to the year of the Closing, a portion of such assessments that were allocable to one or more
of such other tracts were not paid (the Delinquency), and Seller paid a portion of the Delinquency to such owner’s
association. Seller and Buyer hereby expressly agree that Buyer is not assuming any responsibility for the Delinquency and Seller
shall remain liable for such Delinquency. If any of such Delinquency is hereafter recovered by such association from the proper
payers, then Seller may be entitled to reimbursement of all or a portion of the Delinquency that was previously paid by Seller.
Buyer acknowledges and agrees that the rights to any such reimbursement will not be conveyed to Buyer at the Closing. Buyer has
no obligation to attempt to pursue or collect any such reimbursement; however, if Buyer hereafter receives any such reimbursement,
then Buyer agrees to remit such payment to Seller within 10 days after receipt of same.

 

		(h)	The obligations of Seller and Buyer under this Section
6.3 survive the Closing.

 

    	Contract of Sale	 	Page 10

     

    

 

		Section 6.4	Closing Costs.

 

Seller shall pay (i) the basic premium
for the Owner Policy (but not for any extended coverage, endorsements or modifications to the Owner Policy or for any loan policy
or endorsements or modifications required by Buyer's lender), (ii) the cost of recording the Deed, (iii) 50% of any escrow fees
or similar charges of Closing Agent, (iv) the cost of the Updated Survey, and (v) the costs, if any, incurred by Seller in connection
with the performance of its obligations under this Contract. Buyer shall pay (i) any premiums related to any extended coverage,
endorsements or modifications to the Owner Policy and for any loan policy or endorsements or modifications required by Buyer's
lender, (ii) the cost of any other conveyance documents that Buyer may choose to record in addition to the Deed, (iii) 50% of any
escrow fee or similar charges of Closing Agent, and (iv) the costs, if any, incurred by Buyer in connection with the performance
of its obligations under this Contract. All other expenses incurred by Seller or Buyer with respect to the Closing will be borne
and paid exclusively by the party incurring same, without reimbursement, except to the extent otherwise specified in this Contract.

 

		Section 6.5	Signage.

 

All signage and other current branding
of the Property will remain the property of Seller, as contemplated above. Within ten (10) business days after the Closing and
upon advance written notice to Buyer (which may be provided by email), Seller may remove all signage and other branding of the
Property from the Improvements. Upon Seller’s timely removal as contemplated above, Seller shall be entitled to enter the
Real Property and remove same therefrom and to relocate, reuse, alter, discard or destroy same. Such relocation may, at Seller’s
option, include the use of such signage and branding at any other real property owned by Seller or its affiliates. With respect
to any signage or branding not removed by Seller from the Real Property within ten (10) business days after the Closing, Buyer
may discard or destroy (but not use) such items at its sole cost and expense. The provisions of this Section shall survive the
Closing.

 

ARTICLE 7

DEFAULTS AND REMEDIES

 

		Section 7.1	Breach of Seller's Representations and Warranties Prior
to Closing.

 

If any of Seller's representations and
warranties in Section 4.1 are inaccurate in any material respect at or prior to Closing and Seller does not cure the material
breach within 5 days after receipt of notice of the breach from Buyer, then Buyer shall, as its sole and exclusive remedy, waiving
all other remedies, either: (a) terminate this Contract by giving notice to Seller within 5 days after the end of Seller's cure
period with respect to such breach; or (b) waive the respective deficiency in such representation and warranty in its entirety
and proceed to the Closing. If Buyer does not provide notice of termination to Seller within such 5-day period, then Buyer shall
be deemed to have elected to waive the deficiency as provided in clause (b). Only upon Buyer’s approval, the Closing Date
may be extended to the extent necessary to afford Seller the entire cure period hereunder. If Buyer terminates this Contract under
this Section 7.1, then Closing Agent shall return the Earnest Money to Buyer and the parties have no further rights, liabilities,
or obligations under this Contract (other than those that expressly survive termination). If Buyer has actual knowledge of the
inaccuracy or breach of any representation or warranty by Seller at or prior to Closing and the Closing occurs, then effective
as of Closing, Buyer is deemed to waive such breach or inaccuracy in the representation and warranty in its entirety (such waiver
to survive Closing accordingly).

 

    	Contract of Sale	 	Page 11

     

    

 

		Section 7.2	Buyer's Remedies.

 

If Seller does not timely perform any one
or more of its obligations under this Contract whether in whole or in part and Seller does not cure the default within 5 days after
receipt of notice of the default from Buyer, then Buyer may elect, as its sole and exclusive remedy, to either: (i) enforce specific
performance of Seller's obligation to convey the Property to Buyer under this Contract, if the default at issue involves Seller’s
failure to timely consummate the transactions contemplated hereunder; or (ii) terminate this Contract by giving notice to Seller
within 5 days after the expiration of Seller’s cure period, in which case Closing Agent shall return the Earnest Money to
Buyer, and the parties will have no further rights, liabilities, or obligations under this Contract (other than those that expressly
survive termination).

 

Only upon Buyer’s approval, the Closing
Date may be extended as necessary to afford Seller the time to cure Seller’s default, and if necessary, to accommodate Buyer’s
5-day termination period above. As a condition to pursuing such remedy, Buyer shall give Seller notice of its intent to enforce
specific performance within 60 days after the Closing Date, and file an action to enforce specific performance against Seller in
an appropriate State court having jurisdiction over the Real Property within 180 days after the Closing Date.

 

		Section 7.3	Seller's Remedies.

 

If Buyer fails to comply with any one or
more of its obligations under this Contract whether in whole or in part or if any of Buyer’s representations or warranties
in this Contract are determined to be inaccurate or false in any material respect, and Buyer does not cure such default or deficiency
within 5 days after receipt of notice of such matter from Seller, then Seller may, as its sole and exclusive remedy, terminate
this Contract by giving notice to Buyer of such termination. Upon such termination, the Closing Agent shall pay all of the Earnest
Money to Seller, and Seller will retain all Earnest Money as liquidated damages, and the parties have no further rights, liabilities,
or obligations under this Contract (except for those that expressly survive termination). The parties agree that Seller's damages
are difficult to ascertain and that the Earnest Money is a fair approximation of Seller's damages. Notwithstanding anything to
the contrary herein, Seller is not required to give Buyer notice of default or opportunity to cure with respect to the performance
of any obligation involving the deposit of Earnest Money or the payment of the Purchase Price hereunder.

 

ARTICLE 8

CASUALTY AND CONDEMNATION

 

		Section 8.1	Risk of Loss and Notice.

 

Seller shall give Buyer written notice
within 48 hours after obtaining knowledge of any destruction of any part of the Real Property and Improvements or the commencement
of any condemnation proceedings against the Real Property and Improvements between the Effective Date and the Closing Date.

 

		Section 8.2	Minor Casualty and Condemnation.

 

If condemnation proceedings are commenced
against any portion of the Real Property and Improvements and Buyer does not timely elect to terminate this Contract under Section
8.3 (an Immaterial Condemnation) or if Improvements are destroyed by fire or other casualty and the estimated cost of
repairs as reasonably determined by Seller is less than or equal to one percent (1%) of the Purchase Price (a Minor Casualty),
Closing will occur with no reduction in the Purchase Price and at Closing:

 

		(a)	Seller shall assign its interest in all proceeds of property
insurance or condemnation awards to Buyer, less any amounts actually paid by Seller to third parties to secure such proceeds or
awards and to repair, restore, or clean up the Real Property and Improvements;

 

    	Contract of Sale	 	Page 12

     

    

 

		(b)	If a Minor Casualty occurs: (i) Buyer will receive a credit
against the Purchase Price equal to the deductible applicable to the damage claim at issue under Seller's applicable property
insurance policy, if any; and (ii) Buyer shall accept the Real Property and remaining Improvements in their damaged state, and
Seller has no obligation to repair or restore any damaged or destroyed portions of the Real Property and Improvements but may
do so at its election; and

 

		(c)	If an Immaterial Condemnation is commenced: (i) Buyer will
accept the remaining Real Property and Improvements subject to the condemnation proceedings, and (ii) Seller has no obligation
to defend or otherwise appear in any condemnation proceedings after Closing;

 

		Section 8.3	Major Casualty and Condemnation.

 

If condemnation proceedings are commenced
against any portion of the Real Property and Improvements (a Condemnation), or if Improvements are destroyed by fire or
other casualty and the estimated cost of repairs as reasonably determined by Seller’s applicable insurance adjuster is more
than one percent (1%) of the Purchase Price (a Major Casualty), then Buyer may, as its sole and exclusive remedy, terminate
this Contract by giving notice to Seller within 10 days after receiving notice of such Condemnation or Major Casualty. Upon such
notice of termination, Closing Agent shall deliver the Earnest Money to Buyer, and the parties have no further rights, liabilities,
or obligations under this Contract (other than those that expressly survive termination). If Buyer does not provide notice of termination
within such 10-day period, then Buyer is deemed to waive its right to terminate under this Section 8.3, Closing will occur
without reduction in the Purchase Price, and such matter will be deemed a Minor Casualty or Immaterial Condemnation (as applicable)
and governed accordingly under Section 8.2.

 

ARTICLE 9

MISCELLANEOUS

 

		Section 9.1	Notices.

 

All notices, requests, approvals, consents,
and other communications required or permitted under this Contract (Notices) must be in writing and are effective: (a) on
the business day sent, if sent by fax or e-mail prior to 5:00 p.m. Dallas, Texas time, and (i) with respect to fax, the sending
fax generates a written confirmation of sending, or (ii) with respect to e-mail, the sender receives evidence of sending, via copy
of the message in its “sent” file or other similar electronic storage; (b) on the date of deposit, if deposited on
a business day with a nationally recognized overnight courier service for prepaid delivery on the next business day; or (c) 3 business
days after being deposited on a business day in the United States mail, certified, return receipt requested, postage prepaid. In
each instance, the Notice must be addressed to Buyer or Seller, as the case may be, at the following addresses:

 

	Seller:	The Ablon at Frisco Square, LLC
	 	8222 Douglas Avenue, Suite 390
	 	Dallas, Texas 75225
	 	Tel No. (214) 720-9237
	 	Fax No. (214) 871-2799
	 	Contact: Stephen Brookshire
	 	Email: sbrookshire@pegasusablon.com
	 	 
	 	With a copy to:

 

    	Contract of Sale	 	Page 13

     

    

 

	 	Munsch Hardt Kopf & Harr, P.C.
	 	500 N. Akard Street, Suite 3800
	 	Dallas, Texas 75201
	 	Contact: Will Themer
	 	Telephone: (214) 855-7582
	 	Facsimilie: (214) 978-4333
	 	Email: wthemer@munsch.com
	 	 
	Buyer:	Irwin R. Rose & Co., LLC
	 	8801 River Crossing Blvd Suite 340
	 	Indianapolis, Indiana 46240 or
	 	 
	 	P.O. Box 40879
	 	Indianapolis, IN 46240-8079
	 	Tel No. (317) 884-8825
	 	Fax No. (317) 575-0850
	 	Contact: Douglas C. Rose
	 	Email:  drose@rose-apartments.com
	 	 
	 	With a copy to:
	 	 
	 	Irwin R. Rose & Co., LLC
	 	3811 Turtle Creek Blvd Suite 1000
	 	Dallas, Texas 75219
	 	Contact: Jane Rose Hurst
	 	Telephone: (469) 828-2596
	 	Facsimilie: (469) 828-3606
	 	Email:  jrose@amcapts.com

 

Either party may change its addresses or
numbers for notice hereunder, by providing the other party with at least 5 days’ prior notice of such change in accordance
with this provision. Legal counsel of Buyer or Seller, as applicable, may deliver Notice on behalf of the respective party.

 

		Section 9.2	Assignment.

 

This Contract may not be assigned by Buyer
without the prior consent of Seller, except the assignment of the Contract to an affiliate of Buyer. Any assignee of Buyer's interest
in this Contract is bound by all of Buyer’s actions prior to the assignment, and must assume in writing all of Buyer's obligations
under this Contract. Buyer is not released from the obligations or agreements created under this Contract as a result of any assignment.
Upon any assignment of this Contract, Buyer shall promptly deliver to Seller a fully executed copy of the assignment of this Contract
and the assumption by the assignee of Buyer's obligations under this Contract, which assignment and assumption must be effected
and delivered to Seller at least 7 days prior to Closing. No transfer or assignment in violation of this Section 9.2 is
valid or enforceable. An affiliate is any person, partnership, company or entity that controls, is controlled by, or is
under common control with the assignor in question.

 

		Section 9.3	Commissions.

 

Each party hereby warrants to the other
party that it has not dealt with any real estate broker or salesman in the negotiation of this Contract except Brian O’Boyle
of ARA Newmark Dallas (Broker). Seller shall pay to Broker the commissions due and payable to Broker in connection with
the transactions contemplated by this Contract, pursuant to separate written agreement between Seller and Broker. Each party shall
indemnify, defend, and hold harmless the other party against any other real estate commissions due by virtue of the execution or
Closing of this Contract, the obligation or asserted claim for which arises from actions taken or claimed to be taken by or through
the indemnifying party. The provisions of this Section 9.3 survive the Closing or any termination of this Contract, and
is not affected by any limitation on remedies provided in this Contract.

 

    	Contract of Sale	 	Page 14

     

    

 

		Section 9.4	Holidays, Etc.

 

Whenever any time limit or date provided
herein falls on a date that is not a business day, then that date is extended to the next day that is a business day. The term
business day as used in this Contract means any day that is not a Saturday, Sunday, or other day on which national banks
in the State of Texas are authorized or required to be closed. Furthermore, the Friday immediately following Thanksgiving Day is
not a business day.

 

		Section 9.5	Legal Fees.

 

If there is litigation, arbitration, or
mediation concerning the interpretation or enforcement of this Contract or any portion of this Contract, the prevailing party is
entitled to recover from the other party its reasonable legal fees and related expenses, and this paragraph survives the Closing
or any earlier termination of this Contract.

 

		Section 9.6	Disclaimers, Waivers, Releases and Indemnities.

 

Buyer acknowledges and agrees that:

 

		(a)	EXCEPT AS MAY BE SPECIFICALLY STATED IN THE CLOSING
DOCUMENTS OR IN THE SURVIVING OBLIGATIONS OF THIS CONTRACT, BUYER IS PURCHASING THE PROPERTY AS IS, WHERE IS, AND WITH ALL FAULTS,
AND BUYER RELEASES SELLER AND ALL SELLER AFFILIATES AND THEIR EMPLOYEES, OFFICERS, DIRECTORS, REPRESENTATIVES, AND AGENTS FOR
ANY COST, LOSS, LIABILITY, DAMAGE, EXPENSE, DEMAND, ACTION, OR CAUSE OF ACTION ARISING FROM OR RELATED TO ANY CONSTRUCTION OR
DESIGN DEFECTS, ERRORS, OMISSIONS, OR OTHER CONDITIONS AFFECTING THE PROPERTY, KNOWN OR UNKNOWN. THIS RELEASE WILL BE GIVEN FULL
FORCE AND EFFECT ACCORDING TO EACH OF ITS EXPRESS TERMS AND PROVISIONS, INCLUDING, WITHOUT LIMITATION, THOSE RELATING TO UNKNOWN
CLAIMS, DAMAGES, AND CAUSES OF ACTION. THIS COVENANT RELEASING SELLER AND ALL SELLER AFFILIATES IS A COVENANT RUNNING WITH THE
PROPERTY AND IS BINDING UPON BUYER, ITS SUCCESSORS AND ASSIGNS. BUYER SHALL PERFORM ALL INVESTIGATIONS OF THE PROPERTY IT DEEMS
NECESSARY DURING THE DUE DILIGENCE PERIOD. SUBJECT TO SELLER'S REPRESENTATIONS AND WARRANTIES SPECIFIED IN SECTION 4.1, BUYER
IS RELYING SOLELY ON BUYER'S INDEPENDENT ANALYSIS AND INVESTIGATION OF THE PROPERTY AND BUYER ASSUMES THE RISK THAT AN ADVERSE
CONDITION OF THE PROPERTY MAY NOT HAVE BEEN REVEALED BY ITS OWN DUE DILIGENCE.

 

		(b)	EXCEPT AS MAY BE SPECIFICALLY STATED IN THE CLOSING
DOCUMENTS OR IN THE SURVIVING OBLIGATIONS OF THIS CONTRACT, SELLER, FOR ITSELF AND ON BEHALF OF ALL SELLER AFFILIATES, SPECIFICALLY
DISCLAIMS, AND BUYER EXPRESSLY WAIVES, ANY WARRANTY, GUARANTY, OR REPRESENTATION, ORAL OR WRITTEN, PAST, PRESENT, OR FUTURE, OF,
AS, TO, OR CONCERNING ALL OR ANY PORTION OF THE PROPERTY OR THE OWNERSHIP OR OPERATION THEREOF, INCLUDING (WITHOUT LIMITATION):
(I) THE NATURE AND CONDITION OF THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE WATER (INCLUDING BUT NOT LIMITED TO, DRINKING
WATER, GROUNDWATER, SURFACE WATER, WETLANDS), SOIL, AND GEOLOGY, AND THE SUITABILITY OF THE REAL PROPERTY AND IMPROVEMENTS FOR
ANY AND ALL ACTIVITIES AND USES THAT BUYER MAY ELECT TO CONDUCT THEREON; (II) MATTERS OF TITLE; (III) THE COMPLIANCE OF THE REAL
PROPERTY AND IMPROVEMENTS OR THE OPERATION THEREOF WITH ANY LAWS, RULES, ORDINANCES, OR REGULATIONS OF ANY GOVERNMENTAL AUTHORITY
OR OTHER BODY, INCLUDING, WITHOUT LIMITATION, THE AMERICANS WITH DISABILITIES ACT AND THE FAIR HOUSING ACT, AS AMENDED FROM TIME
TO TIME AND RELATED RULES AND REGULATIONS; (IV) WHETHER THE IMPROVEMENTS ARE BUILT IN A GOOD AND WORKMANLIKE MANNER; (V) ZONING
TO WHICH THE REAL PROPERTY AND IMPROVEMENTS OR ANY PORTION THEREOF MAY BE SUBJECT; (VI) WARRANTIES (EXPRESS OR IMPLIED) OF CONDITION
REGARDING THE FITNESS OF THE REAL PROPERTY AND IMPROVEMENTS FOR A PARTICULAR PURPOSE, MERCHANTABILITY, TENANTABILITY, HABITABILITY,
OR SUITABILITY FOR ANY INTENDED USE; AND (VII) ANY ENVIRONMENTAL CONDITIONS THAT MAY EXIST ON THE REAL PROPERTY AND IMPROVEMENTS
(COLLECTIVELY, THE "HAZARDOUS WASTE LAWS") AND BUYER RELEASES AND WAIVES ANY CLAIMS OR CAUSES OF ACTION AGAINST SELLER,
SELLER'S AGENTS AND SELLER'S AFFILIATES BASED IN WHOLE OR IN PART ON ANY VIOLATION OF, OR ARISING OUT OF THE HAZARDOUS WASTE LAWS,
OR A VIOLATION OF OR ARISING OUT OF ANY FEDERAL, STATE, OR LOCAL STATUTE, ORDINANCE, RULE, OR REGULATION RELATING TO THE HAZARDOUS
WASTE LAWS.

 

    	Contract of Sale	 	Page 15

     

    

 

		(c)	THE TERM “CLOSING DOCUMENTS” IS DEFINED
COLLECTIVELY AS THE DEED, BILL OF SALE, ASSIGNMENT OF LEASES, AND OTHER DOCUMENTS UNDER SECTION 6.2 THAT ARE EXECUTED BY SELLER
AND DELIVERED TO BUYER AT THE CLOSING. THE TERM “SURVIVING OBLIGATIONS” IS DEFINED AS THE EXPRESS REPRESENTATIONS,
WARRANTIES AND INDEMNITIES OF SELLER THAT ARE EXPRESSLY SET FORTH ELSEWHERE WITHIN THIS CONTRACT AND STIPULATED AS SURVIVING CLOSING,
AS EXPRESSLY LIMITED BY THIS CONTRACT.

 

		(d)	SELLER INDEMNIFIES BUYER FOR LOSSES, COSTS, LIABILITIES,
CLAIMS AND CAUSES OF ACTION ARISING OR ACCRUING PRIOR TO THE DATE OF CLOSING, AS AND TO THE EXTENT PROVIDED WITHIN THE BILL OF
SALE AND THE ASSIGNMENT OF LEASES. BUYER INDEMNIFIES SELLER FOR LOSSES, COSTS, LIABILITIES, CLAIMS AND CAUSES OF ACTION ARISING
OR ACCRUING ON OR AFTER THE DATE OF CLOSING, AS AND TO THE EXTENT PROVIDED WITHIN THE BILL OF SALE AND THE ASSIGNMENT OF LEASES.
THE PARTIES ACKNOWLEDGE THAT THE FOREGOING INDEMNITIES DO NOT EXTEND TO MATTERS PERTAINING TO THE PHYSICAL CONDITION OF THE PROPERTY,
INCLUDING (BY WAY OF EXAMPLE AND NOT LIMITATION) THE CONSTRUCTION OF THE IMPROVEMENTS.

 

THE PROVISIONS OF THIS SECTION 9.6 SURVIVE THE CLOSING OR
ANY EARLIER TERMINATION OF THIS CONTRACT.

 

		Section 9.7	Independent Contract Consideration.

 

Buyer tenders to Seller and Seller acknowledges
receipt of the sum of $100 as independent and non-refundable contract consideration for any options granted in this Contract. This
independent consideration is in addition to any other deposits made under this Contract, is earned by Seller upon its execution
of this Contract, and will not be credited against the Purchase Price.

 

		Section 9.8	General.

 

This Contract may be executed in one or
more counterparts. Each counterpart is an original and proof of this Contract may be made without more than one counterpart. Facsimile
pdf and/or email signatures are binding on the party providing the facsimile signatures. The laws of the State of Texas govern
this Contract. Time is of the essence in the performance of this Contract. This Contract is binding upon and inures to the benefit
of the successors and assigns of the parties. This Contract embodies the complete agreement between the parties and cannot be varied
except by written agreement of Seller and Buyer. If any provision in this Contract is unenforceable in any respect, the remainder
of this Contract remains enforceable and, in lieu of the unenforceable provision, there will be added to this Contract a provision
as similar in terms to the unenforceable clause as may be possible and be enforceable. Section headings or captions are used in
this Contract for convenience only and do not limit or otherwise affect the meaning of any provision of this Contract.

 

    	Contract of Sale	 	Page 16

     

    

 

		Section 9.9	No Recording.

 

Buyer covenants that neither it nor any
successor or assign will record in any public records this Contract or any memorandum or affidavit relating to this Contract. This
provision survives the Closing or earlier termination of this Contract, and notwithstanding Section 7.3, Seller may enforce
specific performance of Buyer's obligations under this Section 9.9 and pursue any other remedy at law or in equity in connection
with same.

 

		Section 9.10	Confidentiality.

 

Unless Seller specifically and expressly
otherwise agrees in writing, Buyer agrees that (a) the results of all inspections, analyses, studies and similar reports relating
to the Property prepared by or for Buyer or any agent utilizing any information acquired in whole or in part through the exercise
of Buyer’s access or inspection rights under this Contract (the “Buyer’s Studies”); and (b) all information
regarding the Property of whatsoever nature made available to Buyer by Seller or Seller’s agents or representatives (the
Seller’s Proprietary Information), is confidential and shall not be disclosed to any other person except those assisting
Buyer with the transaction, or Buyer’s lender or investors, if any, and then only upon Buyer making such persons aware of
the confidentiality restriction and procuring such persons’ agreement to be bound thereby. Buyer agrees not to use, or allow
to be used, any such information for any purpose other than to determine whether to proceed with the contemplated purchase, unless
the same is consummated, in connection with the operation of the Property post-closing. Further, if this Contract is terminated
or if the transaction thereafter fails to close for any reason whatsoever, Buyer agrees to return to Seller, or cause to be returned
to Seller, all of Seller’s Proprietary Information. Unless Seller reimburses Buyer for Buyer’s costs associated with
the Buyer’s Studies, Seller shall not be entitled to receive the Buyer’s Studies. The provisions of this Section survive
the Closing or early termination of this Contract.

 

For the avoidance of doubt and notwithstanding
anything to the contrary in this Contract, Seller and its owners and investors, and each of their respective affiliates (collectively,
the Seller Group), and Buyer and its owners and investors, and each of their respective affiliates (collectively, Buyer
Group) may cause to be made any disclosure with respect to this Contract or the subject transactions that is reasonably deemed
necessary by any member of the Seller Group and or Buyer Group or its counsel in connection with financial reporting, securities
disclosures or other legal, tax or financial requirements or guidelines applicable to any of the Seller Group and/or Buyer Group,
including (without limitation) any disclosures to or filings with the Securities and Exchange Commission.

 

		Section 9.11	Waiver of Jury Trial.

 

TO THE MAXIMUM EXTENT PERMITTED BY LAW,
EACH OF BUYER AND SELLER IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING, OR COUNTERCLAIM (WHETHER BASED
ON CONTRACT, TORT, OR OTHERWISE) ARISING OUT OF OR RELATING TO ANY OF THE PROVISIONS OF THIS CONTRACT OR ANY DOCUMENT DELIVERED
IN CONNECTION WITH THIS CONTRACT OR THE TRANSACTIONS CONTEMPLATED THEREBY, WHETHER NOW EXISTING OR HEREAFTER ARISING. EITHER PARTY
MAY FILE AN ORIGINAL COUNTERPART OR COPY OF THIS CONTRACT WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE PARTIES TO THE
WAIVER OF ITS RIGHT TO TRIAL BY JURY.

 

    	Contract of Sale	 	Page 17

     

    

 

		Section 9.12	OFAC.

 

Each party hereby represents to the other
that it is in compliance with the requirements of Executive Order No. 13224, 66 Fed. Reg. 49079 (Sept. 23, 2001) (the Order)
and other similar requirements contained in the rules and regulations of the Office of Foreign Assets Control, Department of the
Treasury (OFAC) and in any enabling legislation or other Executive Orders or regulations in respect thereof (the Order and
such other rules, regulations, legislation, or orders are collectively called the Orders). Furthermore, each party represents
to the other that neither it nor, to its knowledge, any of its beneficial owners: (a) is listed on the Specially Designated Nationals
and Blocked Persons List maintained by OFAC pursuant to the Order and/or on any other list of terrorists or terrorist organizations
maintained pursuant to any of the rules and regulations of OFAC or pursuant to any other applicable Orders (such lists are collectively
referred to as the Lists); (b) is a Person who has been determined by competent authority to be subject to the prohibitions
contained in the Orders; or (c) is owned or controlled by, or acts for or on behalf of, any Person on the Lists or any other Person
who has been determined by competent authority to be subject to the prohibitions contained in the Orders. The provisions of this
paragraph survive Closing.

 

		Section 9.13	Exchange.

 

Seller or Buyer may elect to consummate
the sale or purchase (as applicable) of the Property as part of a so-called like kind exchange (the Exchange) pursuant to
Section 1031 of the Internal Revenue Code of 1986, as amended (the Code); provided, however, the following provisions shall
apply: (a) the Closing Date is not delayed; (b) the non-exchanging party incurs no additional liabilities of any kind in effecting
the Exchange; (c) the non-exchanging party is not required to hold title to the exchange property at any time; (d) the exchanging
party shall pay all additional costs incurred in effecting the Exchange, including attorneys' fees; and (e) if the exchanging party
uses a qualified intermediary to effectuate the Exchange, any assignment of the rights or obligations of the exchanging party hereunder
shall not relieve, release or absolve the exchanging party of its obligations under this Contract. The non-exchanging party is
obligated to reasonably cooperate with the exchanging party in effecting the Exchange, but only if the exchanging party adheres
to the foregoing provisions and otherwise causes the Exchange to adhere to same.

 

[SIGNATURE PAGE FOLLOWS]

 

    	Contract of Sale	 	Page 18

     

    

 

EXECUTED by Seller on the tenth day of April, 2017.

 

	 	THE ABLON AT FRISCO SQUARE, LLC,
	 	a Delaware limited liability company
	 	 	 
	 	By:	Ablon Multifamily Ill LLC,
	 	 	a Texas limited liability company,
	 	 	its managing member
	 	 	 
	 	By:	Pegasus Ablon Properties LLC,
	 	 	a Texas limited liability company,
	 	 	its managing member
	 	 	 
	 	By:	/s/ Stephen Brookshire
	 	 	Name:	Stephen Brookshire
	 	 	Title:	Vice President

 

EXECUTED by Buyer on the tenth day of April, 2017.

 

	 	 	Irwin R. Rose & CO, LLC
	 	 	 
	 	By:	/s/ Douglas C. Rose
	 	 	Douglas C. Rose President

 

    	Contract of Sale	 	Page 19

     

    

 

The undersigned acknowledges receipt of a copy of this Contract,
fully-executed by Buyer and Seller, and shall comply with the terms of this Contract that relate to Closing Agent.

 

COMMONWEALTH TITLE

 

	By:	/s/ Stacie Taylor	 
	 	Name:	Stacie Taylor	 
	 	Title:	Sr. Commercial EO	 

 

    	Contract of Sale	 	Page 20

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