Document:

<PAGE>

                                                                   EXHIBIT 10.33

                                PROMISSORY NOTE

$37,500,000                                                         June 1, 1999

        FOR VALUE RECEIVED, the undersigned, CANDLEWOOD HOTEL COMPANY FUND, I,
LLC, a Delaware limited liability company (the "Borrower"), hereby promises to
pay (x) Boston Capital Institutional Advisors LLC or (y) provided that the
registration provision of Section 10.2.5 of the Loan Agreement (as that term is
hereinafter defined) has been satisfied, to the successors and assigns of Boston
Capital Institutional Advisors LLC (together with any subsequent holders of this
Note, the "Lender"), at its office at One Boston Place, Boston, Massachusetts
02108, or at such other place as the Lender may from time to time designate in
writing, the principal sum of

                        THIRTY SEVEN MILLION FIVE HUNDRED
                        THOUSAND DOLLARS AND 00/100 CENTS

($37,500,000) or such portion thereof as may have been actually advanced by the
Lender and not repaid by the Borrower with interest from the date hereof on the
principal amount hereof from time to time advanced and unpaid at the Stated Rate
(as such term is hereinafter defined), payable monthly in arrears at the
Applicable Rate (as hereinafter defined) in the following manner: commencing on
April 1, 1999, interest at the Applicable Rate on the then outstanding principal
amount hereof which has accrued as of the last day of the prior calendar month
shall be due and payable on the first business day of each calendar month;
except that in all events the entire unpaid principal balance, interest, all
accrued amounts and interest thereon, all charges and any and all other amounts
due under this Note and all other Loan Documents (as such term is hereinafter
defined) are to be paid in full on the Maturity Date (as such term is
hereinafter defined).

        The term "Applicable Rate" shall mean the Stated Rate except for any
Deferral Period (as hereinafter defined) when it shall mean the Deferral Rate.

        The term "Deferral Rate" shall mean the lesser of (i) a rate equal to
nine percent (9%) or (ii) the maximum rate of interest then permitted by law.

        The term "Stated Rate" shall mean the lesser of (i) a rate equal to
twelve percent (12%) per annum or (ii) the maximum rate of interest then
permitted by law.

<PAGE>

        The term "Maturity Date" shall mean the date which is five (5) years
from the date on which the Lender first advances any portion of the principal
amount of the loan evidenced hereby to or on behalf of the Borrower. The
Borrower and the Lender each agree upon the request of the other to memorialize
in a written agreement the exact calendar date of the Maturity Date following
such first advance of the loan evidenced hereby.

        The term "Loan Documents" shall mean that certain (i) Loan Agreement
dated as of the date hereof between the Lender and the Borrower as from time to
time amended and in effect (the "Loan Agreement"), (ii) this Note as from time
to time amended and in effect and (iii) the other Loan Documents defined as such
in the Loan Agreement.

        The term "Deferral Period" shall mean any period commencing on the first
day of any calendar month and ending on a date no later than two years after the
date of the last advance of the loan evidenced by this Note provided that the
Borrower has sent (a) a written notice to the Lender (as hereinafter provided)
requesting a partial deferral of interest on this Note equal to three percent
(3%) and (b) furnished the Lender with financial projections of the Borrower
reasonably demonstrating that such deferral is needed because of expected
shortfalls in gross income from operations and debt service reserves. For such
deferral notice to be effective (i) it must be received by the Lender at least
ten (10) days in advance of the date on which the Deferral Period is to
commence, (ii) it must specify the requested length of the deferral and (iii)
the Lender must agree that such deferral is reasonably needed, which agreement
shall not be unreasonably withheld. During any Deferral Period the deferred
interest of three percent (3%) which is not paid currently shall accrue and be
added to the principal balance due hereunder until paid. The portion of the
principal balance hereof representing accrued and unpaid interest which has been
deferred shall itself bear interest at the Stated Rate and such amount of
interest on interest shall be accrued and compounded monthly and added to the
principal balance hereof until paid.

        No prepayments are permitted hereunder except as follows: The principal
balance from time to time outstanding hereunder together with all accrued
interest and other charges and other amounts due hereunder may be prepaid (i) in
full (but not in part) or (ii) in part if such prepayment is made in accordance
with Sections 4.3 or 4.4 of the Loan Agreement, in each case, on any installment
payment date hereunder after at least 60 (sixty) days prior written notice from
the Borrower to the Lender notifying the Lender of the Borrower's intention to
prepay and including in such notice the expected amount and date of such
prepayment. In the event of any voluntary or involuntary prepayment of all or
any portion of the loan evidenced by this Note (for any reason, including
prepayment as the result of an acceleration of the loan evidenced by the Note)
whether or not the loan evidenced by this Note is then permitted to be prepaid,
a Prepayment Fee (as hereinafter defined) will be due and payable. Except as
expressly provided in the penultimately preceding sentence and in the second
paragraph following this paragraph,

                                      -2-
<PAGE>

the Borrower has no right to prepay the loan evidenced by this Note. The
Borrower hereby expressly agrees that the Prepayment Fee constitutes additional
bargained for consideration given by the Borrower to the Lender in order to
induce the Lender to extend to the Borrower the loan evidenced by this Note.

        If the Borrower provides notice to the Lender of its intention to prepay
all or a portion of the loan evidenced hereby as provided in the immediately
preceding paragraph and thereafter revokes or withdraws such notice then any
prepayment obligation shall be rescinded and the Borrower shall pay to the
Lender a revocation fee equal to three percent (3%) of the amount specified to
be prepaid in the notice letter regarding such prepayment from the Borrower to
the Lender.

        Notwithstanding anything to the contrary set forth in the two
immediately preceding paragraphs, (i) prepayments of any principal outstanding
hereunder as a result of the payment of insurance proceeds or eminent domain
awards used to repay the Lender, provided in each instance there then exists no
Event of Default and (ii) prepayments from increased equity contribution
pursuant to Section 4.4 of the Loan Agreement, may be made at any time without a
Prepayment Fee.

        The term "Prepayment Amount" is the amount of principal to be prepaid in
connection with any prepayment as set forth in the prepayment notice from the
Borrower or, in the event of an involuntary prepayment for which such notice was
not given, the amount of principal actually being prepaid.

        The term "Prepayment Fee" shall mean a fee calculated as follows: take
(a) an amount equal to interest at the Stated Rate on the Prepayment Amount for
24 months and subtract from such amount (b) an amount equal to the Paid
Interest. If such calculation results in a negative number the Prepayment Fee is
equal to zero.

        The term "Paid Interest" shall mean for any Prepayment Amount (i) if the
prepayment is a prepayment in full of the loan evidenced by this Note an amount
equal to all interest paid on amounts advanced under this Note, from the date
hereof through the date the Prepayment Amount is paid to the Lender and (ii) if
the prepayment is a partial prepayment being made from Net Asset Sale Proceeds
(as defined in the Loan Agreement), an amount equal to all interest paid on
amounts advanced under this Note with respect to the applicable Tranche (as
defined in the Loan Agreement) from the date of the first advance of such
Tranche through the date the Prepayment Amount is paid to the Lender.

        All payments hereunder shall be payable in lawful money of the United
States which shall be legal tender for public and private debts at the time of
payment. Interest shall be calculated on a daily basis using an actual 360 day
year. All payments including any prepayments shall be applied first to any costs
and expenses, including reasonable

                                      -3-
<PAGE>

attorneys' fees, then to any late charges, then to any fees or other charges,
then to interest due and any balance shall be applied in reduction of principal
including any accrued amounts added thereto.

        It is hereby expressly agreed that the occurrence of any one or more of
the following events (each an "Event of Default") shall constitute a default and
breach hereof: (a) any failure to pay any installment of interest or amount of
principal on the date when the same is payable as above expressed and the
continuation of such failure for five (5) days; or (b) any failure to repay all
principal, interest, accrued and other amounts and charges due under this Note
and all other Loan Documents in full on the Maturity Date; or (c) any default or
event of default under and as defined in any of the Loan Documents, after the
expiration of any applicable notice, grace or cure period. If any such Event of
Default shall occur, the Lender may, at its option, declare to be immediately
due and payable the then outstanding principal balance under this Note, with all
accrued and unpaid interest thereon, and all other charges and amounts payable
to the Lender hereunder and under any of the other Loan Documents whereupon all
such amounts shall become and be due and payable immediately. The failure of the
Lender to exercise said option to accelerate shall not constitute a waiver of
the right to exercise the same at any other time.

        The Borrower agrees that all expenditures by the Lender that the
Borrower is obligated to pay under any of the Loan Documents, other than
advances of principal, which are not reimbursed by the Borrower immediately upon
demand, all amounts due under any of the Loan Documents after maturity, and any
amounts due under any of the Loan Documents after the occurrence of an Event a
Default (as defined in the Loan Agreement) from the date fifteen (15) days after
the sooner of (x) the date any such amount is due or (y) the date of any such
Event of Default, shall bear interest at the maximum rate of interest then
permitted by law or twenty-one percent (21%), whichever shall be less, until
all such expenditures are repaid or this Note and such amounts as are due are
paid to the Lender. In addition, the Lender hereof may collect a "late charge"
to cover the extra expense involved in handling delinquent payments which shall
not exceed the lesser of (i) an amount equal to five percent (5%) of any amount
or installment which is not paid within five (5) days of the due date thereof,
or (ii) the maximum rate of interest then permitted by law.

        This Note may not be waived, changed or discharged orally, but only by
an agreement in writing and, with respect to waivers or discharges, signed by
the Lender and, with respect to other changes, signed by the Borrower and the
Lender and any oral waiver, change or discharge of any term or provision of this
Note shall be without authority and of no force or effect.

                                      -4-
<PAGE>

        All of the provisions of this Note shall be binding upon the Borrower
and its successors and assigns and shall inure to the benefit of the Lender and,
provided the registration requirement in Section 10.2.5 of the Loan Agreement
has been satisfied, to the successors and assigns of the Lender. This Note shall
be interpreted in accordance with and governed by the laws of The Commonwealth
of Massachusetts.

        The Borrower hereby consents to any extension of time of payment hereof
or compromise with or release of any party liable for this obligation and waives
presentment for payment, demand, protest and notice of dishonor. Any such
extension or release may be made without notice to the Borrower and without
discharging its liability.

        All notices or other communications required or permitted to be given
hereunder shall be in writing and delivered by hand or mailed, postage prepaid,
by registered or certified mail, return receipt requested or by a nationally
recognized overnight courier for delivery the next Business Day (as defined in
the Loan Agreement). Notices shall be deemed given (a) when delivered if
delivered by hand, (b) three (3) Business Days after mailing by registered or
certified mail or (c) the next Business Day following deposit with a nationally
recognized overnight courier. All notices shall be addressed:

        If to the Borrower, to:

        Candlewood Hotel Company, Inc.
        8621 21st North Street, Suite 200
        Wichita, KS 67206
        Attn: Warren D. Fix

        With a copy to:

        Latham & Watkins
        Sears Tower, Suite 5800
        Chicago, IL 60606
        Attn: Kenneth D. Crews, Esq.

        If to the Lender, to:

        Boston Capital Institutional Advisors LLC
        One Boston Place
        Boston, MA 02108
        Attn: William H. Kremer

                                      -5-
<PAGE>

        with a copy to:

        Ropes & Gray
        One International Place
        Boston, MA 02110
        Attn: Walter R. McCabe III, Esq.

        with an additional copy to:

        Massachusetts Mutual Life Insurance Company
        Real Estate Finance Group
        1295 State Street K161
        Springfield, MA 01111-0001
        Attn: Robert F. Little

Any party may from time to time change its address by providing notice to the
other parties in accordance with the requirements of this paragraph.

                                      -6-
<PAGE>

        IN WITNESS WHEREOF, this instrument has been executed and delivered by
the undersigned, under seal, by a person or persons thereunto duly authorized,
on the day and year first written above.

Witness:                                CANDLEWOOD HOTEL COMPANY FUND I, LLC

/s/ [Signature Illegible]               By: /s/ WARREN D. FIX
------------------------------------        ------------------------------------
                                            Name: Warren D. Fix
                                            Title: Authorized Signatory<PAGE>

                                                                   EXHIBIT 10.34

                        KEY PRINCIPAL RECOURSE AGREEMENT

        This Key Principal Recourse Agreement ("Agreement") is made as of this
1st day of June, 1999 by Candlewood Hotel Company, Inc., a Delaware corporation
("Candlewood") for the benefit of Boston Capital Institutional Advisors LLC, a
Delaware limited liability company (the "Lender").

                                   WITNESSETH:

        WHEREAS, Candlewood owns certain interests in Candlewood Hotel Company
Fund I, LLC (the "Borrower"); and

        WHEREAS, the Lender intends to enter into a certain Loan Agreement of
even date herewith (as amended, modified and from time to time in effect, the
"Loan Agreement") pursuant to which the Lender will make certain loan advances
to the Borrower to enable the Borrower through Wholly Owned Subsidiaries to
finance a portion of the cost of acquisition of certain parcels of real property
and the construction of extended-stay hotel projects thereon; and

        WHEREAS, the Loan is to be evidenced by a certain Promissory Note of
even date herewith (as amended, modified and from time to time in effect, the
"Note") from the Borrower to the order of the Lender;

        WHEREAS, as a condition to the Lender entering into the Loan Agreement
and making the Loan, Candlewood is required to execute and deliver this
Agreement; and

        WHEREAS, Candlewood desires to execute and deliver this Agreement;

        NOW, THEREFORE, in consideration of the foregoing recitals, and for
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, and notwithstanding any contrary provisions contained in
the Note or any of the other Loan Documents, Candlewood hereby agrees with and
for the benefit of the Lender as follows:

        1. Certain Definitions. Capitalized terms used herein and not otherwise
defined herein are used herein as defined in the Loan Agreement.

<PAGE>

        2. Certain Recourse Matters.

                2.1. Loan Obligations. Following any Triggering Event (as
        hereinafter defined), Candlewood agrees to be liable for the full
        payment and performance of all Loan Obligations to the Lender, whether
        direct or indirect, absolute or contingent, due or to become due,
        secured or unsecured, now existing or subsequently arising by contract,
        operation of law or otherwise, including, without limitation, those
        arising under or in connection with the Note, the Loan Agreement and the
        other Loan Documents. Candlewood's obligations hereunder are not
        conditioned upon any requirement that the Lender first attempt to
        collect any of the Loan Obligations from the Borrower or any of the
        other Obligors or to enforce any of the Loan Obligations against the
        Borrower or any of the other Obligors.

                2.2. Indemnity. Following any Triggering Event, Candlewood
        hereby covenants and agrees (a) to indemnify and hold the Lender
        harmless from and against any and all losses, damages, costs, expenses
        (including reasonable attorneys' fees) or disbursements of any kind
        whatsoever which may at any time be suffered or incurred by the Lender
        in connection with the Loan or any Loan Document including without
        limitation all costs and expenses under Section 9.1 of the Loan
        Agreement; and (b) to defend the Lender from and against any and all
        claims, demands, causes of action, actions, suits, liabilities and
        obligations which may be asserted against the Lender in connection with
        the Loan or any Loan Document.

                2.3. Triggering Event. The term "Triggering Event" means any of
        the following: (a) fraud or intentional misrepresentation by the
        Borrower, Candlewood or any Hotel Owner or any representative thereof in
        connection with the execution, delivery, or performance of any Loan
        Document; (b) the Borrower's or any Hotel Owner's application or
        appropriation in intentional violation of the Loan Documents of any
        amounts (including without limitation all rents, revenues, profits and
        capital contributions and all loan, insurance and taking proceeds)
        received by the Borrower or such Hotel Owner in respect of any Approved
        Project including, without limitation, any prohibited Distribution; (c)
        any act of intentional waste or arson by the Borrower, Candlewood or any
        Hotel Owner with respect to any Approved Project; (d) the Borrower or
        any Hotel Owner paying any fees, commissions, amounts or any other
        Distributions in intentional violation of the terms of any Loan Document
        or the Borrower's or any Hotel Owner's Charter (regardless of whether
        Candlewood receives or benefits from such payments); (e) a voluntary
        bankruptcy filing by Borrower ("Voluntary Bankruptcy"); or (f) an
        involuntary bankruptcy filing against Borrower brought by the
        undersigned or any entity controlled directly or indirectly by (meaning
        more than fifty percent (50%) of the beneficial interest in such entity
        is owned, directly or indirectly, by) the undersigned ("Related Party
        Filing"). Notwithstanding the foregoing, any action or inaction
        (including a Voluntary Bankruptcy or Related Party Filing) of Borrower
        or a Hotel Owner that would otherwise be a Triggering Event as

                                      -2-
<PAGE>

        herein defined shall not be a Triggering Event if such action or
        inaction is performed or caused solely by BCIA CW Member, LLC or its
        successors and assigns.

        3. Intentionally Omitted.

        4. Representations and Warranties. Candlewood hereby represents and
warrants to the Lender as follows:

                4.1. Consideration. (a) it is directly or indirectly the owner
        and holder of the membership interests in the Borrower and a vendor to
        the Hotel Owners; (b) the Loan will inure directly or indirectly to its
        benefit; and (c) after giving effect to its probable liability under
        this Agreement, it is receiving at least reasonably equivalent
        consideration from the Lender for entering into this Agreement.

                4.2. Authority. (a) it is a duly organized and validly existing
        corporation, in good standing under the laws of Delaware with power
        adequate for the execution, delivery and performance of its obligations
        under each Loan Document to which it is a party and grant to the Lender
        the security interest in the Loan Security owned by it to secure the
        Loan Obligations; (b) it has full power and authority to carry on its
        business; and (c) its Board of Directors has approved the Loan and the
        Letter of Intent dated February 17, 1999 relating to the Loan and
        certain associated transactions.

                4.3. Execution and Deliver; Binding Obligation. (a) each Loan
        Document to which it is a party has been duly executed and delivered on
        its behalf pursuant to authority legally adequate therefor; (b) each
        Loan Document to which it is a party is in full force and effect and has
        not been amended; and (c) each Loan Document to which it is a party is a
        legal, valid and binding obligation of Candlewood, enforceable against
        Candlewood in accordance with its terms, subject to the effect of
        federal and state bankruptcy, insolvency and similar laws, and general
        principals of equity.

                4.4. No Violation. (a) it is not in violation of any term or
        provision of its Charter or By-laws or of any agreement or other
        instrument which is material to its business or assets, or, to its
        knowledge, of any judgment, decree, governmental order, statute, rule or
        regulation by which it is bound or to which any of its assets are
        subject which is material to its business or assets; (b) the execution,
        delivery and performance of each Loan Document to which it is a party
        and the consummation of the transactions contemplated thereby will not
        violate or constitute a default under any term or provision of its
        Charter or By-laws or of any other document or agreement to which it is
        a party or by which it may be bound or affected which is material to its
        business or assets and none of such instruments imposes or is made in
        contemplation of any obligation which is or will be inconsistent with
        any other obligations imposed upon it under any Loan Document; and (c)
        to its knowledge, no approval by, authorization of, or filing with

                                      -3-
<PAGE>

        any board, agency or authority is necessary in connection with its
        execution and delivery of any Loan Document.

                4.5. Deliveries; Financial Matters. (a) all statements,
        financial or otherwise, submitted by it to the Lender in connection with
        the transactions contemplated by the Loan are true and correct in all
        material respects (but the Lender acknowledges that the proforma
        financial statements are not a guarantee that the projected results will
        actually occur); and (b) it has made no additional borrowings and
        incurred no additional material liabilities since December 31, 1998
        which would, individually or in the aggregate, have a material effect
        upon such financial statements.

                4.6. No Proceedings. (a) there are no actions, suits,
        proceedings (including, without limitation, any condemnation proceeding,
        any proceeding in the nature of bankruptcy or for reorganization or
        arrangement or any proceeding by any governmental authority) or
        investigations at law or in equity before or by any court or public
        board or body pending or, to its knowledge, threatened or contemplated
        against or affecting it, wherein an unfavorable decision, ruling or
        finding would in any material respect adversely affect the validity or
        enforceability of any Loan Document to which it is a party, its
        condition (financial or otherwise) or its ability to meet its
        obligations under any Loan Document to which it is a party, except
        actions, suits, proceedings or investigations fully covered by insurance
        and fully disclosed to the Lender; and (b) it is not in violation or
        default with respect to any order, writ, injunction, decree or demand of
        any court or any governmental authority affecting it which violation or
        default would in any material respect adversely affect its business or
        assets.

        5. Waivers.

                5.1. Waivers Generally. Candlewood hereby acknowledges receipt
        of a copy of the Loan Agreement and each other Loan Document as in
        effect on the date hereof, and consents to all of the terms and
        provisions thereof, as the same may be from time to time hereafter
        amended or changed. Candlewood hereby waives (a) presentment, demand for
        payment and protest of nonpayment of any of the Loan Obligations, and
        notices of protest, dishonor and nonperformance; (b) notice of
        acceptance of this Agreement and notice that loan advances have been
        made by the Lender in reliance hereon; (c) notice of any Event of
        Default; (d) demand for performance or observance of, and any
        enforcement of any provision of, or any pursuit or exhaustion of rights
        or remedies with respect to the Loan Agreement or any other Loan
        Document or any Obligor or guarantor of the Loan Obligations and any
        requirements of diligence or promptness on the Lender's part in
        connection therewith; (e) any defense based on an election of remedies
        by the Lender; (f) to the extent it lawfully may do so, any defense
        based upon any statute or rule of law which provides that the obligation
        of a surety must be neither larger in amount nor in other respects more
        burdensome than that of the principal; and (g) to the extent it lawfully
        may do so, any and all demands and notices

                                      -4-
<PAGE>

        of every kind and description with respect to the foregoing or which may
        be required to be given by any statute or rule of law, and defense
        (other than payment) of any kind which it may now or hereafter have with
        respect to the Loan Agreement or any other Loan Document, or any
        guaranty of or any collateral securing the Loan Obligations. No delay or
        omission on the Lender's part in exercising any right under the Loan
        Agreement or any other Loan Document, or under any guaranty of the Loan
        Obligations, or with respect to any other collateral securing the Loan
        Obligations, shall operate as a waiver or relinquishment of such right.
        To the extent Candlewood may lawfully do so, it hereby agrees to waive,
        and does hereby absolutely and irrevocably waive and relinquish the
        benefit and advantage of, and does hereby covenant not to assert, any
        appraisement, valuation, stay, extension, redemption or similar laws,
        now or at any time hereafter in force, which might delay, prevent or
        otherwise impede the performance or enforcement of the Loan Obligations.
        The obligations of Candlewood under this Agreement shall not be affected
        by the invalidity or unenforceability of any of the Loan Obligations as
        against any other person. For purposes of this Agreement, the Loan
        Obligations shall be due and payable when and as the same shall be so
        due and payable under the terms of the Loan Agreement or any other Loan
        Document, notwithstanding the fact that the collection or enforcement
        thereof may be stayed or enjoined under Title 11 of the United States
        Code, as from time to time in effect, or other applicable law.

                5.2. Waivers of Subrogation. Candlewood hereby covenants and
        agrees that (a) it will not enforce or otherwise exercise any rights of
        reimbursement, subrogation, offset, contribution or other similar rights
        or claims with respect to the obligations and indemnification provided
        for herein against any Person, including, without limitation, the
        Borrower or any other Obligor, prior to the full and indefeasible
        payment and performance of the Loan Obligations; and (b) it hereby
        waives all rights of reimbursement, subrogation, offset, contribution
        and all other similar rights and claims against the Borrower or any
        other Obligor arising whether by contract or operation of law out of or
        in connection with any payment made under this Agreement prior to the
        full payment and performance of the Loan Obligations and within one year
        after the full payment and performance of the Loan Obligations or such
        lesser time if such payments can no longer be voided by the bankruptcy
        of Candlewood. The provisions set forth in this Section 5.2 may not be
        altered, amended or waived without the express written consent of the
        Lender and shall survive the full payment and performance of the Loan
        Obligations and the termination of this Agreement.

                5.3. The Lender's Power to Waive. Candlewood hereby grants to
        the Lender full power in its uncontrolled discretion, without notice to
        it, such notice being hereby expressly waived, and without in any way
        affecting its liability under this Agreement (a) to waive compliance
        with and any Event of Default under, and to consent to any amendment or
        change of any terms of the Loan Agreement or any other Loan Document
        other than this Agreement, and any guaranty thereof, each to the extent
        that

                                      -5-
<PAGE>

        it affects the Loan Obligations from time to time; (b) to grant any
        extensions or renewals of the Loan Obligations and any other indulgence
        with respect thereto, and to effect any release, compromise or
        settlement with respect thereto; and (c) to take other Loan Security in
        any form for the Loan Obligations and to consent to the addition to or
        the substitution, exchange, release or other disposition of, and to deal
        in any other manner with, all or any part of the security which secures
        the Loan Obligations, whether or not the property, if any received upon
        the exercise of such power shall be of a character or value the same as
        or different from the character or value of any property disposed of.

        6. Notices. All notices or other communications required or permitted to
be given hereunder shall be in writing and delivered by hand or mailed, postage
prepaid, by registered or certified mail, return receipt requested or by a
nationally recognized overnight courier for delivery the next Business Day.
Notices shall be deemed given (a) when delivered if delivered by hand, (b) three
(3) Business Days after mailing by registered or certified mail or (c) the next
Business Day following deposit with a nationally recognized overnight courier.
All notices shall be addressed:

        If to Candlewood, to:

        Candlewood Hotel Company, Inc.
        8621 East 21st Street North, Suite 200
        Wichita, KS 67206
        Attn: Warren D. Fix

        with a copy to:

        Latham & Watkins
        Sears Tower, Suite 5800
        Chicago, IL 60606
        Attn: Kenneth D. Crews, Esq.

        If to the Lender, to:

        Boston Capital Institutional Advisors LLC
        One Boston Place
        Boston, MA 02108
        Attn: William H. Kremer

                                      -6-
<PAGE>

        with a copy to:

        Ropes & Gray
        One International Place
        Boston, MA 02110
        Attn: Walter R. McCabe III, Esq.

        with an additional copy to

        Massachusetts Mutual Life Insurance Company
        Real Estate Finance Group
        1295 State Street K161
        Springfield, MA 01111-0001
        Attn: Robert F. Little

        Either party hereto may from time to time change its address by
providing notice to the other party hereto in accordance with the requirements
of this Section 6.

        If the Lender commences an action against Candlewood to enforce any of
the terms hereof or because of the breach by Candlewood of any of the terms
hereof, or for the recovery of any sum secured hereby, Candlewood shall pay to
the Lender's reasonable attorneys' fees and all costs and expenses. The right to
such reasonable attorneys' fees and all costs and expenses shall be deemed to
have accrued on the commencement of such action, and shall be enforceable
whether or not such action is prosecuted to judgment. If Candlewood breaches any
term of this Agreement, the Lender may employ any attorney or attorneys to
protect its rights hereunder, and in the event of such employment following any
breach by Candlewood, Candlewood shall pay the reasonable attorneys' fees and
all costs and expenses incurred by the Lender, whether or not an action is
actually commenced against Candlewood by reason of such breach. All such fees,
costs and expenses shall become part of the Loan Obligations. Notwithstanding
the foregoing, if Candlewood prevails in any litigation with the Lender
regarding any enforcement action then Candlewood shall not be required to pay
the fees, costs and expenses related to such action to the Lender.

        7. Venue; Service of Process. Each of the Lender and Candlewood:

        (a) Irrevocably submits to the nonexclusive jurisdiction of the state
courts of The Commonwealth of Massachusetts and to the nonexclusive jurisdiction
of the United States District Court for the District of Massachusetts for the
purpose of any suit, action or other proceeding arising out of or based upon
this Agreement or any other Loan Document or the subject matter hereof or
thereof;

        (b) Waives to the extent not prohibited by applicable law, and agrees
not to assert, by way of motion, as a defense or otherwise, in any such
proceeding brought in any of the above-

                                      -7-
<PAGE>

named courts, any claim that it is not subject personally to the jurisdiction of
such court, that its property is exempt or immune from attachment or execution,
that such proceeding is brought in an inconvenient forum, that the venue of any
such proceeding is improper, or that this Agreement or any other Loan Document,
or the subject matter hereof or thereof, may not be enforced in or by such
court; and

        (c) Consents to service of process in any such proceeding in any manner
permitted by Chapter 223A of the General Laws of The Commonwealth of
Massachusetts and agrees that service of process by registered or certified
mail, return receipt requested, at its address specified in or pursuant to
Section 6 is reasonably calculated to give actual notice.

        8. WAIVER OF JURY TRIAL. TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW
WHICH CANNOT BE WAIVED, EACH OF the Lender AND CANDLEWOOD WAIVES, AND COVENANTS
THAT IT WILL NOT ASSERT (WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE), ANY
RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY ISSUE, CLAIM, DEMAND OR
ACTION ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE LOAN AGREEMENT OR ANY
OTHER LOAN DOCUMENT OR THE SUBJECT MATTER HEREOF OR THEREOF OR ANY OF THE LOAN
OBLIGATIONS OR IN ANY WAY CONNECTED WITH THE DEALINGS OF THE LENDER OR
CANDLEWOOD IN CONNECTION WITH ANY OF THE ABOVE, IN EACH CASE WHETHER NOW
EXISTING OR HEREAFTER ARISING AND WHETHER IN CONTRACT OR TORT OR OTHERWISE.
Candlewood acknowledges that it has been informed by the Lender that the
provisions of this Section 9 constitute a material inducement upon which the
Lender has relied, is relying and will rely in entering into the Loan Agreement
and any other Loan Document, and that it has reviewed the provisions of this
Section 9 with its counsel. the Lender or Candlewood may file an original
counterpart or a copy of this Section 9 with any court as written evidence of
the consent of the Lender and Candlewood to the waiver of the right to trial by
jury.

        9. Successors and Assigns. This Agreement shall be binding upon
Candlewood and its successors and assigns and inure to the benefit of the Lender
and its successors and assigns.

        10. Amendments or Waivers. This Agreement may not be waived, changed or
discharged orally but only by an agreement in writing and, with respect to
waivers or discharges, signed by the Lender and, with respect to other changes,
signed by the Lender and Candlewood, and any oral waiver, change or discharge of
any term or provision of this Agreement shall be without authority and of no
force or effect.

        11. Intentionally Omitted.

                                      -8-
<PAGE>

        12. Miscellaneous. All covenants, agreements, representations and
warranties made in this Agreement or any other Loan Document or in certificates
delivered pursuant hereto or thereto shall be deemed to have been relied on by
the Lender and shall survive the execution and delivery to the Lender hereof and
thereof. The invalidity or unenforceability of any term or provision hereof
shall not affect the validity or enforceability of any other term or provision
hereof and any invalid or unenforceable provision shall be modified so as to be
enforced to the maximum extent of its validity or enforceability. The headings
in this Agreement are for convenience of reference only and shall not limit,
alter or otherwise affect the meaning hereof. This Agreement and the other Loan
Documents constitute the entire understanding of the parties with respect to the
subject matter hereof and thereof and supersede all prior and current
understandings and agreements, whether written or oral. This Agreement is a Loan
Document and may be executed in any number of counterparts which together shall
constitute one instrument. This Agreement shall be interpreted in accordance
with and governed by the laws (other than the conflict of laws rules) of The
Commonwealth of Massachusetts.

                [Remainder of this Page Intentionally Left Blank]

                                      -9-
<PAGE>

        IN WITNESS WHEREOF, this instrument has been executed and delivered by
Candlewood, under seal, as of the day and year first written above.

                                        CANDLEWOOD HOTEL COMPANY, INC.

                                        By: /s/ WARREN D. FIX
                                            ------------------------------------
                                            Name: Warren D. Fix
                                            Title: Executive Vice President,
                                                   Treasurer and Secretary

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00044-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00044-of-00352.parquet"}]]