Document:

Exhibit
10.1

AMENDMENT
NO. 1

AMENDMENT NO. 1 TO
AGREEMENT AND PLAN OF MERGER, dated as of September 13, 2006 (the “Amendment
No. 1”), among Phase Forward
Incorporated, a Delaware corporation (“Phase Forward”), Lincoln
Technologies, Inc., a Massachusetts corporation and wholly owned subsidiary of
Phase Forward (“Lincoln”) and Lincoln SR, Inc. as the Securityholder
Representative (the “SR”).

WHEREAS, reference
is made to the Agreement and Plan of Merger dated as of August 16, 2005 among
Phase Forward, Abe Acquisition Corp., a
Massachusetts corporation and wholly owned subsidiary of Phase Forward, Lincoln
Technologies, Inc., a Massachusetts corporation  and the SR (the “Agreement”);

WHEREAS, pursuant
to Section 15.7 of the Agreement, the Agreement may be amended by the parties
against which enforcement of such amendment is sought; and

WHEREAS, Phase
Forward, Lincoln and the SR desire to amend the Agreement.

NOW, THEREFORE, in
consideration of the promises and the mutual agreements and covenants
hereinafter set forth, and intending to be legally bound, the parties hereto
hereby agree as follows:

1.                             Definitions.  Capitalized terms used in this Amendment No.
1 and not otherwise defined shall have the meanings ascribed to them in the
Agreement.

2.                             Amendment
No. 1 of Section 4.8(a).  Section
4.8(a) of the Agreement is hereby amended by deleting Section 4.8(a) in its
entirety and replacing it with the following:

“(a)                                 As
part of the Merger Consideration issued by Phase Forward in the Merger, in
addition to the Base Consideration and in addition to the $2.0 million payment
made in May 2006 (the “2006 Payment”), Phase Forward shall make the
following payment(s) (collectively with the 2006 Payment, the “Earnout”)
to the Securityholder Representative for further distribution to the Lincoln
Securityholders in accordance with Sections 4.2 and 4.3:

a
fixed payment of $3.5 million due and payable on December 26, 2007 (the “2007
Payment”).”

3.                             No
Additional Consideration. Notwithstanding any other provisions of the
Agreement, Lincoln and the SR acknowledge and agree that the 2007 Payment shall
be the only additional consideration payable to the Lincoln Securityholders
under the Agreement other than the release of the Escrow Amount in accordance
with the provisions of the Agreement.

 

 

4.                             Ratification
of Agreement.  This Amendment No. 1
shall be construed in connection with and as part of the Agreement, and except
as modified and expressly waived or amended hereby, all terms, conditions and
covenants contained in the Agreement are hereby ratified and shall remain in
full force.

5.                             References
to the Agreement.  Any and all
notices, requests, certificates and other instruments executed and delivered
after the execution and delivery of this Amendment No. 1 may refer to the
Agreement without making specific reference to this Amendment No. 1, but
nevertheless, all such references shall include this Amendment No. 1 unless the
context otherwise requires.

6.                             Counterparts.  This Amendment No. 1 may be executed in two
or more counterparts, all of which shall be considered one and the same
instrument and shall become effective when counterparts have been signed by
each party and delivered to the other parties hereto.

7.                             Facsimile
Signature.  This Amendment No. 1 may
be executed by facsimile signature and a facsimile signature shall constitute
an original for all purposes.

[the remainder of
this page has been intentionally left blank]

 

 2

 

 

IN
WITNESS WHEREOF, each
party hereto has caused this Amendment No. 1 to be executed as of the date
first written above.

 

	
  

  	
  PHASE FORWARD INCORPORATED

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Robert K. Weiler

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Robert K. Weiler

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  President and CEO

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  LINCOLN TECHNOLOGIES, INC.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Robert K. Weiler

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Robert K. Weiler

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  LINCOLN SR, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Channing H. Russell

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Channing H. Russell

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  President

  
	
   

  	
   

  	
  Securityholder RepresentativeExhibit 10.1

 

The following is a form of Agreement of Sale executed by
College Park Investments, LLC, an indirect subsidiary of GMH Communities Trust
(the “Buyer”), and a number of entities affiliated with Capstone Properties
(the “Seller”), in connection with the acquisition of 13 properties. The
parties executed separate Agreements of Sale relating to each of the
properties. Subsequent to the execution of these agreements, the parties
executed an amendment to terminate agreements of sale relating to two of the
properties in the portfolio, each located in College Station, TX. A copy of
that amendment has been filed by GMH Communities Trust as an exhibit to its
Quarterly Report on Form 10-Q for the three months ended June 30,
2006.  Any material differences between
the following form agreement and the separate agreements of sale for each of
the individual properties within the portfolio are provided on Schedule I
to this form agreement.

 

 

AGREEMENT OF SALE

 

 

[Affiliate of Capstone Properties]

 

 

And

 

 

College Park Investments, LLC, Buyer

 

 

 

 

TABLE OF CONTENTS

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
  1.

  	
  PROPERTY

  	
  1

  
	
   

  	
  1.1

  	
  Property

  	
  1

  
	
  2.

  	
  PURCHASE
  PRICE

  	
  2

  
	
   

  	
  2.1

  	
  Purchase
  Price

  	
  2

  
	
   

  	
  2.2

  	
  Deposit

  	
  2

  
	
   

  	
  2.3

  	
  Balance

  	
  2

  
	
   

  	
  2.4

  	
  Deposit
  Non-Refundable

  	
  3

  
	
  3.

  	
  CONDITIONS
  PRECEDENT

  	
  3

  
	
   

  	
  3.1

  	
  Conditions
  to Buyer’s Obligation to Purchase

  	
  3

  
	
   

  	
  3.2

  	
  Conditions
  to Seller’s Obligation to Sell

  	
  3

  
	
  4.

  	
  DUE
  DILIGENCE

  	
  3

  
	
   

  	
  4.1

  	
  Buyer’s
  Investigation

  	
  3

  
	
   

  	
  4.2

  	
  Seller
  Deliverables

  	
  4

  
	
   

  	
  4.3

  	
  Termination

  	
  4

  
	
   

  	
  4.4

  	
  Survey

  	
  5

  
	
   

  	
  4.5

  	
  Clearing
  Title Objections

  	
  5

  
	
   

  	
  4.6

  	
  Termination
  of Contracts

  	
  6

  
	
  5.

  	
  REPRESENTATIONS
  AND WARRANTIES OF SELLER

  	
  7

  
	
   

  	
  5.1

  	
  Representations
  and Warranties of Seller

  	
  7

  
	
   

  	
  5.2

  	
  Effective
  Date

  	
  12

  
	
  6.

  	
  REPRESENTATIONS
  AND WARRANTIES OF BUYER

  	
  12

  
	
   

  	
  6.1

  	
  Representations
  and Warranties of Buyer

  	
  12

  
	
   

  	
  6.2

  	
  Effective
  Date

  	
  13

  
	
  7.

  	
  INDEMNITIES

  	
  13

  
	
   

  	
  7.1

  	
  Seller’s
  Indemnities

  	
  13

  
	
   

  	
  7.2

  	
  Buyer’s
  Indemnities

  	
  13

  
	
  8.

  	
  EXCLUDED
  LIABILITIES

  	
  14

  
	
   

  	
  8.1

  	
  Excluded
  Liabilities

  	
  14

  
	
  9.

  	
  INTERIM
  OPERATION OF THE PROPERTY

  	
  14

  
	
   

  	
  9.1

  	
  Operations

  	
  14

  
	
   

  	
  9.2

  	
  Lease
  Enforcement

  	
  14

  
	
   

  	
  9.3

  	
  Modifications;
  Agreements

  	
  14

  
	
   

  	
  9.4

  	
  New
  Contracts

  	
  14

  
	
   

  	
  9.5

  	
  No
  Solicitation

  	
  14

  
	
   

  	
  9.6

  	
  Leasing
  Status Reports

  	
  15

  
	
  10.

  	
  RISK
  OF LOSS

  	
  15

  
	
   

  	
  10.1

  	
  Risk
  of Loss and Insurance Proceeds

  	
  15

  
	
   

  	
  10.2

  	
  Notifications

  	
  15

  
	
  11.

  	
  CLOSING

  	
  15

  
	
   

  	
  11.1

  	
  Escrow
  Instructions

  	
  15

  
	
   

  	
  11.2

  	
  Closing
  Date

  	
  16

  
	
   

  	
  11.3

  	
  Location

  	
  16

  
	
   

  	
  11.4

  	
  Closing
  Documents

  	
  16

  
	
   

  	
  11.5

  	
  Additional
  Seller Deliverables

  	
  17

  
	
   

  	
  11.6

  	
  Buyer
  Closing Deliveries

  	
  17

  

 

i

 

	
   

  	
   

  	
  Page

  
	
   

  	
   

  	
   

  
	
   

  	
  11.7

  	
  Closing
  by Title Insurance Company

  	
  17

  
	
   

  	
  11.8

  	
  Additional
  Title Insurance Documents

  	
  18

  
	
   

  	
  11.9

  	
  Possession

  	
  18

  
	
   

  	
  11.10

  	
  Transfer
  of Licenses and Permits

  	
  18

  
	
   

  	
  11.11

  	
  Tenant
  Notices

  	
  18

  
	
   

  	
  11.12

  	
  Termination/Assignment
  of Contracts

  	
  18

  
	
  12.

  	
  PRORATIONS,
  CLOSING PAYMENTS

  	
  18

  
	
   

  	
  12.1

  	
  Closing
  Party

  	
  18

  
	
   

  	
  12.2

  	
  Sales
  Taxes

  	
  19

  
	
   

  	
  12.3

  	
  Installment
  Assessments

  	
  19

  
	
   

  	
  12.4

  	
  Tenant
  Deposits

  	
  19

  
	
   

  	
  12.5

  	
  Real
  Estate Taxes

  	
  19

  
	
   

  	
  12.6

  	
  Utilities
  and Contracts

  	
  19

  
	
   

  	
  12.7

  	
  Prorations

  	
  19

  
	
   

  	
  12.8

  	
  Proration
  Backup Information

  	
  20

  
	
   

  	
  12.9

  	
  Audit
  Rights

  	
  20

  
	
  13.

  	
  DEFAULT

  	
  20

  
	
   

  	
  13.1

  	
  Buyer’s
  Default

  	
  20

  
	
   

  	
  13.2

  	
  Seller’s
  Default

  	
  21

  
	
  14.

  	
  BROKERS

  	
  21

  
	
   

  	
  14.1

  	
  Brokers

  	
  21

  
	
  15.

  	
  NOTICES

  	
  21

  
	
   

  	
  15.1

  	
  Notices

  	
  21

  
	
  16.

  	
  MISCELLANEOUS

  	
  22

  
	
   

  	
  16.1

  	
  Entire
  Agreement

  	
  22

  
	
   

  	
  16.2

  	
  Amendments

  	
  23

  
	
   

  	
  16.3

  	
  Time

  	
  23

  
	
   

  	
  16.4

  	
  Attorneys’
  Fees

  	
  23

  
	
   

  	
  16.5

  	
  Assignment

  	
  23

  
	
   

  	
  16.6

  	
  Counterparts

  	
  23

  
	
   

  	
  16.7

  	
  Governing
  Law

  	
  23

  
	
   

  	
  16.8

  	
  Waiver
  of Trial by Jury

  	
  23

  
	
   

  	
  16.9

  	
  No
  Third-Party Beneficiary

  	
  23

  
	
   

  	
  16.10

  	
  Severability

  	
  23

  
	
   

  	
  16.11

  	
  Drafts
  Not an Offer to Enter into a Legally Binding Contract

  	
  24

  
	
   

  	
  16.12

  	
  Consents

  	
  24

  
	
   

  	
  16.13

  	
  Survival

  	
  24

  
	
   

  	
  16.14

  	
  No
  Implied Easements

  	
  24

  
	
   

  	
  16.15

  	
  Joint
  Undertaking

  	
  24

  
	
  17.

  	
  DEFINITIONS

  	
  24

  
	
   

  	
  17.1

  	
  Definitions

  	
  24

  
	
   

  	
  17.2

  	
  Terms
  Generally

  	
  26

  

 

ii

 

 

	
  Affiliate

  	
  25

  
	
  Agreement

  	
  1,
  26

  
	
  Assignment of Contracts

  	
  16

  
	
  Assignment of Leases

  	
  16

  
	
  Bill of Sale

  	
  16

  
	
  Books and Records

  	
  2

  
	
  Business Day

  	
  25

  
	
  Buyer

  	
  1,
  26

  
	
  Buyer Title Objections

  	
  6

  
	
  Buyer’s Conditions Precedent

  	
  3

  
	
  Claim

  	
  25

  
	
  Closing

  	
  16

  
	
  Closing Documents

  	
  25

  
	
  Closing Statement

  	
  17

  
	
  Closings

  	
  16

  
	
  Deed

  	
  16

  
	
  Default Schedule

  	
  8

  
	
  Deposit

  	
  2

  
	
  Deposit Date

  	
  2

  
	
  Due Diligence Period

  	
  4

  
	
  Due Diligence Termination

  	
  5

  
	
  Effective Date

  	
  1

  
	
  employee benefit plan

  	
  7

  
	
  Escrow Agreement

  	
  2

  
	
  Existing Leases

  	
  9

  
	
  Existing Litigation

  	
  8

  
	
  General Assignment

  	
  16

  
	
  Governmental Authority

  	
  25

  
	
  Hazardous Substance

  	
  25

  
	
  Improvements

  	
  1

  
	
  Insurance Policies

  	
  10

  
	
  Land

  	
  1

  
	
  Lease

  	
  25

  
	
  Lease Guaranties

  	
  9

  
	
  Licenses and Permits

  	
  2

  
	
  Monetary Liens

  	
  6

  
	
  New Leases

  	
  25

  
	
  Other Agreements

  	
  5

  
	
  parties

  	
  26

  
	
  Parties

  	
  26

  
	
  Permitted Encumbrances

  	
  6

  
	
  Person

  	
  26

  
	
  Personal Property

  	
  1

  
	
  Property

  	
  26

  
	
  Reallocated Deposit

  	
  5

  
	
  Remove of Record

  	
  6

  
	
  Rent

  	
  9

  
	
  Rent Rolls

  	
  9

  
	
  Reports and Plans

  	
  2

  
	
  Required Deletion Items

  	
  6

  
	
  Seller

  	
  26

  
	
  Seller Default

  	
  21

  
	
  Seller Deliverables

  	
  4

  
	
  Survey

  	
  5

  
	
  Tenant Deposits

  	
  9

  
	
  Tenants

  	
  9

  
	
  Threshold Aggregate Purchase
  Price

  	
  5

  
	
  Title Insurance Commitment

  	
  6

  
	
  Title Insurance Commitments

  	
  6

  
	
  Title Insurance Company

  	
  2

  
	
  Title Insurance Policy

  	
  26

  
	
  Title Objection Notice

  	
  6

  
	
  Trade Mark

  	
  2

  
	
  Trade Name

  	
  2

  
	
  Warranties

  	
  1

  
	
   

  	
   

  
	
   

  	
   

  
	
  EXHIBITS

  	
   

  
	
  A

  	
  DEED

  
	
  B

  	
  BILL
  OF SALE

  
	
  C

  	
  ASSIGNMENT
  OF CONTRACTS

  
	
  C

  	
  ASSIGNMENT
  OF LEASES

  
	
  E

  	
  REAFFIRMATION
  OF SELLER’S REPRESENTATIONS AND WARRANTIES

  
	
  F

  	
  FIRPTA
  AFFIDAVIT

  
	
  G

  	
  DESIGNATION
  AGREEMENT

  
	
  H

  	
  NOTICE
  TO TENANTS

  
	
  I

  	
  NOTICE
  TO CONTRACTORS

  
	
   

  	
   

  
	
   

  	
   

  
	
  SCHEDULES

  	
   

  
	
   

  	
   

  
	
  1.1.1

  	
  Description
  of Land

  
	
  1.1.9

  	
  Trademarks

  
	
  4.2

  	
  Seller
  Deliverables

  
				

 

iii

 

	
  5.1.2

  	
  Existing
  Litigation

  
	
  5.1.10

  	
  Employees

  
	
  RIDER

  	
   

  
	
   

  	
   

  
	
  I

  	
  Deposit
  and Escrow Agreement

  
				

 

iv

 

AGREEMENT OF SALE

 

This
Agreement of Sale (“Agreement”) is entered into as of June 12, 2006
(“Effective Date”), by and between                    
(“Seller”), and College Park Investments, LLC, a Delaware limited
liability company (“Buyer”).  In
consideration of the mutual agreements herein set forth, and other valuable
consideration, the parties hereto, intending to be legally bound, agree as
follows.

 

1.    PROPERTY

 

1.1           Property.  For the Purchase Price and subject to the
terms and conditions hereof, Seller agrees to sell to Buyer, and Buyer agrees
to purchase, all Seller’s right, title and interest in and to all and singular
the following (hereinafter referred to as the “Property”):

 

1.1.1        Land.  The
parcel or parcels of land described in Exhibit “A” to the form of deed
that is attached hereto as Exhibit “A” (collectively, the “Land”),
being all the land owned by Seller at the location identified in such Exhibit “A”], together with all buildings,
improvements, structures and fixtures located thereon (collectively, “Improvements”),
and together with the tenements, hereditaments, appurtenances, rights of way,
strips, gores, easements, licenses, rights and privileges in any way pertaining
or beneficial to the Land or the Improvements (including without limitation any
rights of the Seller as a declarant), the land lying in the bed of any street,
road, highway, avenue or alley, opened or unopened, adjoining the Land, subject
to the Permitted Encumbrances (as hereinafter defined), and all damages,
awards, claims and causes of action now or hereafter payable or assertable with
respect to any of the foregoing by reason of any exercise of the power of
eminent domain, any change of grade of any street, road, highway, avenue or
alley, or any damage, destruction, loss or removal of any of the foregoing (the
Land, Improvements and all of the other property, right, title and interest
referred to in this Section being sometimes collectively referred to as
the “Real Property”);

 

1.1.2        Personal Property.  All tangible and intangible personal property
located in, or attached to, or used in connection with the Real Property, and
all replacements thereof and additions thereto between the Effective Date and
the Closing Date, including without limitation all computers, software,
electronic and paper files and records, machinery, equipment, furniture,
furnishings, appliances and signs, excluding only personal property owned by
any Tenant (collectively, “Personal Property”);

 

1.1.3        Leases.  Seller’s
interest, as landlord, owner or licensor (as applicable) in all (a) Leases,
(b) Tenant Deposits and (c) Lease Guaranties;

 

1.1.4        Contracts.  Those
certain Contracts that Buyer elects to assume pursuant to Section 4.6;

 

1.1.5        Warranties. 
Warranties and guaranties made by or received from any person with
respect to any building, building component, structure, fixture, machinery,
equipment or material constituting part of the Property (collectively, “Warranties”);

 

1.1.6        Reports and Plans.  (a) Preliminary, final and proposed
building plans and specifications (including “as-built” plans and drawings) and
tenant improvement plans and 

 

1

 

specifications
for the Improvements, (b) surveys, grading plans, topographical maps,
architectural and structural drawings and engineering, soils, seismic,
environmental, geologic and architectural reports, studies and tests relating
to the Real Property and (c) lock combinations, keys, operating manuals
and technical data relating to the Real Property or Personal Property ((a), (b) and
(c) collectively, “Reports and Plans”);

 

1.1.7        Licenses and Permits.  (a) Licenses, permits, building
inspection approvals, certificates of occupancy, approvals, subdivision maps
and entitlements issued, approved or granted by Governmental Authorities in
connection with the Property, (b) development rights, covenants,
conditions and restrictions, reciprocal easement agreements and rights, area
easement agreements and rights and other common or planned development
agreements and rights benefiting the Property and (c) other licenses,
consents and approvals relating to the Real Property or Personal Property ((a),
(b) and (c) collectively, “Licenses and Permits”);

 

1.1.8        Trade Name.  The
trade name “[Name of Property]” (“Trade Name”) and the trade mark (“Trade
Mark”) identified on Schedule 1.1.8 hereto; provided, however,
that Buyer’s use of the Trade Name and the Trade Mark shall be limited solely
and exclusively to the Real Property, and Buyer may not use the Trade Name or
the Trade Mark at any location whatsoever other than the Real Property; and

 

1.1.9        Books and Records.  Books and records pertaining to the
Contracts, Leases, Warranties, Licenses and Permits, or the operation of the
Real Property (collectively, “Books and Records”).

 

2.    PURCHASE PRICE

 

2.1           Purchase Price.  The purchase price for the Property is                  
(“Purchase Price).  The parties
shall allocate the Purchase Price:

 

Land -
$                 

Improvements
- $                

Personal
Property - $              

 

2.2           Deposit.  On or before the fifth (5th) Business Day
following the Effective Date (“Deposit Date”), Buyer shall deposit in
escrow             
(“Deposit”) with Commonwealth Land Title Insurance Company (“Title
Insurance Company”), to be held in escrow and disbursed by the Title
Insurance Company pursuant to the provisions of that certain Deposit and Escrow
Agreement (“Escrow Agreement”) of even date herewith among the Sellers
under and as defined in the Other Agreements (below defined in Section 4.3),
Buyer and the Title Insurance Company, in the form attached hereto as Rider “I”.   As used herein, the term “Deposit”
shall be deemed to include all interest earned on such funds held in escrow.

 

2.3           Balance.  Subject
to the conditions of this Agreement, including the prorations and adjustments
herein provided for, the balance of the Purchase Price (i.e., after application
of the Deposit and any Reallocated Deposit pursuant to Section 4.3(E) hereof)
shall be payable at the Closing.

 

2

 

2.4           Deposit Non-Refundable.  If (i) Buyer does not elect to terminate
this Agreement at the end of the Due Diligence Period as below provided or (ii) Buyer
provides written notice to Seller waiving its right to terminate this
Agreement, then, on the first Business Day following the end of the Due
Diligence Period, the Deposit shall continue to be held by the Title Insurance
Company, but shall not be refundable to Buyer, except in the case of a Seller
Default (below defined) hereunder or as otherwise provided for herein.

 

3.    CONDITIONS PRECEDENT

 

3.1           Conditions to Buyer’s
Obligation to Purchase.  Without
limitation to other conditions or agreements stated herein, the performance by
Buyer of all agreements and obligations under this Agreement, including,
without limitation Buyer’s obligation to complete Closing, is conditioned upon
the complete satisfaction (or Buyer’s written waiver) on or prior to the
Closing Date of all of the following conditions (“Buyer’s Conditions
Precedent”):

 

3.1.1        Seller’s Representations and Warranties.  The representations and warranties of Seller
herein contained shall be materially true and correct at all times.  Seller shall have delivered to Buyer such
documents and other materials as Buyer reasonably may deem necessary to confirm
fully the truth and accuracy of such representations and warranties.

 

3.1.2        Seller’s Performance.  Seller shall have performed, observed and
complied with all agreements and obligations required by this Agreement to be
performed, observed and complied with on its part hereunder.  Seller shall have delivered to Buyer such
documents and other materials as Buyer reasonably may deem necessary to confirm
fully such performance, observance and compliance.

 

3.2           Conditions to Seller’s
Obligation to Sell.  Without limitation to other
conditions or agreements stated herein, the performance by Seller of all
agreements and obligations under this Agreement, including, without limitation
Seller’s obligation to complete Closing, is conditioned upon the complete
satisfaction (or Seller’s written waiver) on or prior to the Closing Date of
all of the following conditions (“Seller’s Conditions Precedent”):

 

3.2.1        Buyer’s Representations and Warranties.  The representations and warranties of Buyer
herein contained shall be materially true and correct at all times.  Buyer shall have delivered to Seller such
documents and other materials as Seller reasonably may deem necessary to
confirm fully the truth and accuracy of such representations and warranties.

 

3.2.2        Buyer’s Performance.  Buyer shall have performed, observed and
complied with all agreements and obligations required by this Agreement to be
performed, observed and complied with on its part hereunder.  Buyer shall have delivered to Seller such
documents and other materials as Seller reasonably may deem necessary to
confirm fully such performance, observance and compliance.

 

4.    DUE DILIGENCE

 

4.1           Buyer’s Investigation.  (A)  Buyer, from time to time prior to
Closing and at Buyer’s sole cost and expense, shall have the right to inspect
and investigate each and every aspect of the Property, audit and copy the Books
and Records, perform surveys, dig test holes, 

 

3

 

make
engineering studies, environmental studies and perform whatever other tests and
evaluations of the Property as Buyer may elect, all either independently or
through agents, representatives or contractors of Buyer’s choosing.  Such investigation by Buyer may include,
without limitation: (i)  matters relating to governmental and other legal
requirements with respect to the Property, including without limitation taxes,
assessments, zoning, use permit requirements and building codes; (ii) 
compliance with zoning, land use, building, environmental and other statutes,
rules, or regulations applicable to the Property; (iii)  the physical
condition of the Property, including, without limitation, the interior, the
exterior, the square footage of the Improvements and of each tenant space
therein, the structure, the roof, the paving, the utilities, and all other
physical and functional aspects of the Property; and (iv) all matters
relating to the income and operating or capital expenses of the Property and
all related financial matters.  Seller
shall reasonably cooperate with Buyer’s due diligence of the Property, and
shall provide Buyer with all documents, files and data reasonably requested by
Buyer relating to the Property.

 

(B)           In connection with any entry by Buyer or any of
its agents, employees or contractors onto the Property, Buyer shall give Seller
reasonable advance notice of such entry and shall conduct such entry and any
inspections during normal business hours. 
Notwithstanding anything contained in this Section 4.1 to the
contrary, Buyer acknowledges and agrees that its entry and inspection rights
are subject to the privacy rights of all Tenants, and that any such inspection
or entry shall be performed so as to reasonably minimize interference with
Tenants.  Buyer shall maintain, or shall
cause its contractors to maintain, public liability and property damage
insurance insuring Buyer against any liability arising out of any entry or inspections
of the Property pursuant to the provisions hereof.  Such insurance shall be in the minimum amount
of $1,000,000 combined single limit for injury to or death of one or more
persons in an occurrence.  Buyer shall
indemnify and hold Seller harmless from and against any Claims and reasonable
attorneys’ fees incurred by Seller arising out of or relating to any entry on
the Real Property by Buyer or any of its agents, employees or contractors in
the course of performing any inspections, testings or inquiries.

 

4.2           Seller Deliverables.  On or before the fifth (5th)
Business Day following the Effective Date, Seller shall deliver to Buyer, all
documents, records and other information listed in Schedule 4.2 as
well as the Default Schedule called for by Section 5.1.4 hereof
(collectively, “Seller Deliverables”).

 

4.3           Termination.  (A) Subject to the next sentence, at any
time prior to the expiration of the later of: (a) the forty-fifth (45) day
following the Effective Date, (b) the fifth (5th) Business Day following
Buyer’s receipt of all Seller Deliverables, the Title Commitment (as
hereinafter defined) and the Survey (as hereinafter defined), or (c) the
last Business Day on which Buyer may terminate this Agreement under Section 4.5(D) because
Seller has opted not to Remove of Record the Buyer Title Objections (such
period, the “Due Diligence Period”), Buyer may, in its sole and absolute
discretion, and for any or no reason whatsoever, terminate this Agreement by
written notice to Seller.  Any
termination of this Agreement by Buyer pursuant to this Section 4.3(A) is
herein referred to as a “Due Diligence Termination”.

 

(B)           Contemporaneously herewith, Buyer and certain
Affiliates of Seller have entered into twelve (12) other Agreements of Sale, as
identified in Schedule 4.3(B) hereto (“Other Agreements”).  Notwithstanding the foregoing provisions of Section 4.3(A),
Buyer shall 

 

4

 

not
have the right to effectuate a Due Diligence Termination of this Agreement
unless (i) Buyer effectuates Due Diligence Termination of all Other
Agreements or (ii) Buyer effectuates Due Diligence Terminations of one or
more Other Agreements under Section 4.3(A) thereof, and the aggregate
of the Purchase Prices under and as defined in the Other Agreements that have
not been so terminated equals or exceeds the Threshold Aggregate Purchase
Price.  “Threshold Aggregate Purchase
Price” means Two Hundred Twenty Two Million Three Hundred Thousand Dollars
($222,300,000), minus the Purchase Price under and as defined in each Other
Agreement that has been terminated because of a Seller Default thereunder or
pursuant to Section 10.1 thereof.

 

(C)           If, during the Due Diligence Period, Buyer
terminates this Agreement and all Other Agreements in each instance as a Due
Diligence Termination, then Seller’s Portion of the Deposit (identified in the
Escrow Agreement) and all interest earned thereon shall be paid to Seller, and
Buyer’s Portion of the Deposit (identified in the Escrow Agreement) and all
interest earned thereon shall be paid to Buyer, within two (2) Business
Days after the Title Insurance Company receives written notice of such
termination from either party.

 

(D)          If Buyer terminates this Agreement because of a
Seller Default hereunder or pursuant to Section 10.1 hereof, then the
entire Deposit shall be paid to Buyer within two (2) Business Days after
the Title Insurance Company receives notice of such termination from either
party.

 

(E)           If, during the Due Diligence Period, Buyer
effectuates a Due Diligence Termination of this Agreement, but does not
effectuate Due Diligence Terminations of all the Other Agreements, then the
Deposit hereunder shall be reallocated (“Reallocated Deposit”) to the
Deposits under all Other Agreements remaining in effect, in the same proportion
as the Deposit under each remaining Other Agreement bears to the aggregate
amounts of all Deposits under all remaining Other Agreements.

 

(F)           Notwithstanding any contrary provision of this
Agreement or the Escrow Agreement, in the event of a dispute between the
parties as to whether Seller’s Portion of the Deposit is payable to Seller
hereunder, the Title Company shall pay to Buyer Buyer’s Portion of the Deposit
pursuant to the foregoing.

 

4.4           Survey.  Buyer shall provide Seller with a copy of any
survey of the Real Property (“Survey”) obtained by Buyer in order for
Seller to review any Buyer Title Objections (as hereinafter defined).

 

4.5           Clearing Title
Objections.  (A)  Buyer shall, within
twenty (20) Business Days following the Effective Date, cause the Title
Insurance Company to issue and shall deliver to Seller a commitment to issue a
Title Insurance Policy covering the Property (“Title Insurance Commitment”)
in order for Seller to review any Buyer Title Objections.

 

(B)           Buyer shall notify Seller (“Title Objection
Notice”) what, if any, matters disclosed by the Title Insurance Commitment
or Survey are objectionable to Buyer (collectively, “Buyer Title Objections”)
within five (5) Business Days following Buyer’s provision of the Title
Insurance Commitment and Survey to Seller. 
If Buyer shall fail to give Seller a Title Objection 

 

5

 

Notice
within such period, then Buyer shall be deemed to have approved all such
matters, and, at Closing, shall take title to the Property subject to all
encumbrances, exceptions and other matters disclosed by the Title Insurance
Commitment and Survey, other than mortgages, deeds of trust, judgments,
security interests, mechanics’ liens and other monetary liens (collectively, “Monetary
Liens”) which Seller shall be obligated to Remove of Record at or prior to
the Closing (“Remove of Record” means causing the Title Insurance
Company to remove a matter disclosed by the Title Insurance Commitment as an
exception from coverage under the Title Insurance Policy or, as applicable,
causing the surveyor to remove a matter from the Survey).

 

(C)           Within five (5) Business Days after Seller’s
receipt of the Title Objection Notice, Seller shall notify Buyer of those Buyer
Title Objections (other than Monetary Liens) that Seller shall not be obligated
to Remove of Record at or prior to Closing (the Buyer Title Objections that are
duly identified in Seller’s responsive notice as matters that Seller will not
be obligated to Remove of Record, together with title encumbrances that Buyer
does not identify as Buyer Title Objections, are herein collectively referred
to as “Permitted Encumbrances”; “Required Deletion Items” means
all Monetary Liens and all Buyer Title Objections that do not become Permitted
Encumbrances).  Seller shall not be
obligated to Remove of Record any Permitted Encumbrances.  Seller shall Remove of Record, at or prior to
Closing, all Required Deletion Items, and, prior to Closing, Exhibit “B”
to the form of Deed attached hereto as Exhibit “A” shall be modified by
the parties to reflect the Permitted Encumbrances.

 

(D)          If Seller does not give such a responsive notice
within such five (5) Business Day period, then (i) Seller shall be
obligated to Remove of Record all Buyer Title Objections and (ii) Buyer
shall cause the Title Insurance Company, within five (5) Business Days
thereafter, to revise and reissue the Title Insurance Commitment, calling for
the removal of all Required Deletion Items and obligating the Title Insurance
Company to issue the Title Insurance Policy under and subject only to the
Permitted Encumbrances listed in the Title Insurance Commitment.  If Seller timely gives such a responsive
notice to the effect that Seller will not Remove of Record certain Buyer Title
Objections then, within the five (5) Business Day period following Buyer’s
receipt of such notice from Seller, Buyer shall have the right to terminate
this Agreement by notifying Seller, whereupon the Deposit shall be refunded to
Buyer promptly, and neither party shall have any further rights, duties,
liabilities, or obligations under this Agreement, except as otherwise expressly
set forth herein.  If Buyer fails to so
terminate this Agreement, then Buyer shall take title to the Property at Closing
subject to the Buyer Title Objections identified in Seller’s responsive notice.

 

(E)           If at Closing there are any Required Deletion
Items that have not been Removed of Record, then, without limitation to any
other right or remedy of Buyer, Buyer may: (a) use any portion of the
Purchase Price otherwise payable to Seller to Remove of Record such Required
Deletion Items or (b) by notice to Seller, adjourn the Closing one or more
times for an aggregate period not to exceed thirty (30) days in order to give
Seller more time to Remove of Record such Required Deletion Items.

 

4.6           Termination of
Contracts.  Buyer shall review the Contracts
during the Due Diligence Period and notify Seller in writing no later than ten (10) Business
Days following Buyer’s receipt of true, correct and complete copies of the
Contracts which Contracts Buyer wishes to assume and which Contracts Buyer
wishes for Seller to terminate.  Within
five (5)

 

6

 

Business
Days following receipt of Buyer’s notice as aforesaid, Seller shall notify
Buyer in writing which, if any, Contracts designated by Buyer for termination
Seller refuses or is unable to terminate, whereupon Buyer shall have the option
to proceed to Closing and accept an assignment of such Contracts or terminate
this Agreement and receive a refund of the Deposit.  Seller, at its expense, shall terminate, with
respect to the Property, effective on the Closing Date, all Contracts which
Seller has agreed to terminate as aforesaid. 
All Contracts not agreed to be terminated by Seller as aforesaid shall
be assigned to Buyer at the Closing, if Buyer has not terminated this Agreement
as aforesaid, pursuant to the Assignments of Contracts, and Seller shall obtain
any and all consents necessary to effectuate such assignment.

 

5.    REPRESENTATIONS AND WARRANTIES
OF SELLER

 

5.1           Representations and
Warranties of Seller.  In order to
induce Buyer to enter into this Agreement and to complete Closing, Seller
represents, warrants and agrees with Buyer as follows:

 

5.1.1        Seller Subsistence; Power; Authority.  (a)  Seller is the entity identified in
the first paragraph of this Agreement, and is duly organized, validly
subsisting and in good standing under the laws of the State of Alabama, and
duly qualified and with full power and authority generally to do business in
the state where the Property is located, with all legal power and authority to
undertake, observe and perform all of Seller’s agreements and obligations
hereunder and under the Closing Documents.

 

(b)           Seller’s entry into this Agreement, and the
observance and performance of Seller’s agreements and obligations hereunder,
have been duly approved by all necessary action of the directors, shareholders,
members and/or partners (as applicable) in Seller. This Agreement constitutes
and the Closing Documents will, when executed and delivered, constitute the
valid and binding obligations of Seller, enforceable in accordance with their
terms.

 

(c)           None of the Property is an asset, and none of the
funds used by Seller to acquire the Property were assets, of any “employee
benefit plan” within the meaning of the Employee Retirement Income Security Act
of 1974, as amended, or of any entity the underlying assets of which constitute
“plan assets” of one or more of such plans under applicable U.S. Department of
Labor regulations.

 

(d)           Seller is not a foreign person within the meaning
of Section 1445 of the Internal Revenue Code of 1986, as amended.

 

(e)           All the persons who have any legal or equitable
interest in the Property, or whose joinder in any Closing Document would be
necessary to convey to Buyer title to all the Property, as required by this
Agreement, are named above as “Seller”.

 

(f)            Seller’s execution and
delivery of this Agreement and the Closing Documents and Seller’s compliance
with the provisions thereof will not conflict with or constitute a breach of,
or a default under, any of the provisions of any applicable law, rule,
regulation or order of any court, administrative agency, bureau, board, commission,
office, authority, department or other governmental entity.

 

7

 

(g)           Seller is not a party to or bound by any
agreement or obligation or subject to any restriction or to any applicable law,
rule, regulation or order of any court, administrative agency, bureau, board,
commission, office, authority, department or other governmental entity, which
might result in a material impairment of the rights or abilities of Seller to
perform its obligations hereunder or under the Closing Documents.

 

5.1.2        Litigation.  There
are no judgments, orders, suits, actions, garnishments, attachments or
proceedings of any nature by or before any court, commission, board or other
governmental body pending, or to the knowledge of Seller threatened, which
involve or affect, or could involve or affect: (a) the Property, or any
part thereof, except for that certain ongoing litigation described in Schedule 5.1.2
(“Existing Litigation”), (b) the validity or enforceability of this
Agreement or the Closing Documents, (c) any risk of any judgment or
liability being imposed upon Seller which could materially adversely affect the
financial condition of Seller or Seller’s ability to observe or perform fully
its agreements and obligations hereunder or under the Closing Documents.

 

5.1.3        Bankruptcy Matters.  The consummation of the transactions
contemplated hereby will not render Seller insolvent or constitute a fraudulent
conveyance or fraudulent transfer under any applicable law.  Seller has not made any general assignment
for the benefit of  Seller’s
creditors.  No proceeding seeking (a) relief
for Seller under any bankruptcy or insolvency law, (b) the rearrangement
or readjustment of Seller’s debt, (c) the appointment of a receiver,
custodian, liquidator or trustee to take possession of substantially all of the
assets of Seller, or (d) the liquidation of Seller, has been commenced or
is planned by Seller or has been threatened by any other Person.

 

5.1.4        No Default.  (A) 
Except as will be disclosed in a schedule which Seller shall deliver to
Buyer as part of the Seller Deliverables (“Default Schedule”), Seller
has not received written notice, nor is Seller (to its knowledge) aware, of any
default under any License or Permit, Lease, Lease Guaranty or Contract, or any
other agreement or instrument relating to the Property to which Seller is a
party or by which Seller or Property is bound. 
Except as will be disclosed in the Default Schedule, to Seller’s
knowledge, there exists no condition or state of facts which, but for the
giving of notice or the expiration of time (or both), would constitute such a
default.  The observance and performance
of Seller’s obligations hereunder and under the Closing Documents will not
conflict with or result in the breach of any License or Permit, Lease, Lease
Guaranty, Contract or other such agreement or other instrument.

 

5.1.5        Environmental.  (A) In
accordance with Section 4.2 hereof, Seller will provide Buyer with true,
complete and correct copies of all environmental assessments, reports, permits
and other written material relating to the environmental condition of the
Property and the presence of Hazardous Substances, if any, to the extent in
Seller’s possession or control.

 

(B)           In accordance with Section 4.2 hereof,
Seller will provide Buyer with true, complete and correct copies of all notices
and information received by Seller from any Person, if any, relating to the
presence of Hazardous Substances on the Property or in the vicinity of the
Property.

 

(C)           To Seller’s knowledge, Seller has not received
any complaint, order, 

 

8

 

summons,
citation, notice of violation, directive letter or other communication from any
Governmental Authority with regard to air emissions, water discharges, noise
emissions or Hazardous Substances, or any other environmental, health or safety
matters affecting the Real Property, or any portion thereof.  Seller has complied with all federal, state
or local environmental laws affecting the Real Property, including notification
requirements relating to the release of Hazardous Substances.

 

(D)          Seller has not knowingly undertaken, permitted,
authorized or suffered the presence, or suspected presence, use, manufacture,
handling, generation, storage, treatment, discharge, release, burial or
disposal on, under or about the Real Property of any Hazardous Substances,
except in compliance with all federal, state or local environmental laws, or
the transportation to or from the Real Property, of any Hazardous Substances in
violation of any federal, state or local environmental laws.

 

(E)           Seller has not removed, or caused to be removed,
any underground storage tanks from the Real Property and, to the best of Seller’s
knowledge, there are no underground storage tanks located on the Real Property.

 

5.1.6        Leases.  (a)            The rent rolls (“Rent
Rolls”) with respect to the Property that Seller delivers to Buyer as part
of the Seller Deliverables shall accurately state, with respect to each
existing written or oral lease, license, concession or other agreement
(collectively, “Existing Leases”) that permits any person (collectively,
“Tenants”) to use or occupy all or any part of the Property, among other
things, the name of the Tenant, the lease term (including all renewal options),
the leased premises (including all expansion or surrender options), all rent,
additional rent, fees and other sums payable by the Tenant (collectively, “Rent”),
any security deposit, tax or operating expense escrow, and other accounts in which
the Tenant has an interest, including all accrued interest payable to the
Tenant (collectively, “Tenant Deposits”).  Any and all Rent prepaid by Tenants in
advance of the current month for which they are due shall be specified in the
Rent Roll.  Seller represents and
warrants to Buyer that there are no tenant improvement allowances, or any
commission payable (including commissions payable upon renewals) in connection
with the Existing Leases.

 

(b)           Buyer will have access, at the Property, to true,
complete and correct copies of all Leases and all guaranties and sureties with
respect to such Existing Leases (“Lease Guaranties”), including all
amendments and modifications thereto.

 

(c)           Except as specified in the Rent Roll or on Schedule 5.1.4
attached hereto and made a part hereof, (i) to Seller’s knowledge, each
Lease and Lease Guaranty is in full force and effect and is binding and
enforceable against each of the parties thereto, (ii) to Seller’s
knowledge, no party is in default of any of its agreements or obligations
under, and has not made any claim against another party, under a Lease or Lease
Guaranty, (iii) Seller has not given or received any written notice of
default or claim under any Lease or Guaranty, (iv) to Seller’s knowledge,
each Tenant is in actual possession of its demised premises in the normal
course under its Lease, (v) all tenant improvements, capital improvements,
repairs, remodeling, furnishing and other work required by each Lease has been
fully completed and accepted by the relevant Tenant, and (vi) there is no
litigation, arbitration or similar proceeding pending or, to Seller’s
knowledge, threatened with respect to any Lease or Lease Guaranty.

 

9

 

(d)           Except as set forth on the Rent Roll, no Tenant
is entitled to any concession, allowance, rebate or refund with respect to any
rent payable or paid under any Lease. 
Except as set forth on Schedule 5.1.6 hereto, no Tenant has
prepaid, and if a Tenant hereafter tenders prepayment, Seller shall accept, any
Rent payable under its Lease for more than the month in advance.

 

(e)           None of the Leases or Lease Guaranties and none
of the Rents payable under the Leases is subject to any assignment, pledge or
other encumbrance, except with respect to the existing financing of Seller,
which Seller shall cause to be released at the Closing.

 

(f)            No brokerage or leasing
commissions or other compensation is or will be due or payable to any person,
firm, corporation or other entity with respect to or on account of any of the
Leases or any extensions or renewals thereof, except as specified in the Rent
Roll.

 

5.1.7        Mechanics’ Liens.  No work has been or will be performed at, and
no materials have been or will be furnished to, the Property, or any part
thereof, which might give rise to any mechanics’, materialmen’s or other lien
against the Property, or any part thereof, except for certain repairs of
sheetrock and the installation of attic access panels, which work shall be
completed and paid for by Seller prior to Closing.  If any lien for such work is filed, Seller
shall discharge the same promptly and in any event prior to Closing.

 

5.1.8        Insurance.  As part
of the Seller Deliverables, Seller shall provide Buyer with a true, complete
and correct copy of Seller’s certificate of insurance demonstrating all
coverages applicable to the Property (“Insurance Policies”).  All premiums due under the Insurance Policies
have been paid, and the Insurance Policies are valid and enforceable.  No insurer of any Property has imposed any
requirement with respect to any Property which is unfulfilled, or has called
attention to the need for any work, repair or installation in connection with
such Property, or, to Seller’s knowledge, has threatened to withdraw, cancel,
reduce or adversely affect the insurance protection with respect to such
Property, or to increase materially the premiums thereof.  Seller has not assigned, mortgaged or pledged
the Insurance Policies or the proceeds thereof, except with respect to the
existing financing of Seller, which Seller shall cause to be released at the
Closing.

 

5.1.9        Contracts.  Except
for the Contracts, there is no management, service, equipment, supply,
maintenance or other agreement of any kind or nature with respect to or
affecting any Property.  As part of the
Seller Deliverables, Seller shall deliver to Buyer true, correct and complete
copies of all the Contracts, including all supplements, amendments and
modifications thereto.  Seller has full
authority, right and title to assign the Contracts to Buyer. Seller has not
previously sold, assigned, transferred, mortgaged or pledged the Contracts,
except with respect to the existing financing of Seller, which Seller shall
cause to be released at the Closing. 
Each of the Contracts is fully enforceable in accordance with its terms,
is in full force and effect, and has not been amended, modified or
supplemented. Seller has not received written notice, nor is Seller (to its
knowledge) aware, of any default of any of its obligations under any of the
Contracts. Seller has not given any other party to a Contract a notice of
default which remains uncured, and no default has occurred under any Contract,
and, to Seller’s knowledge, no event has occurred or condition exists which,
with the passage of time or the giving of notice, or 

 

10

 

both,
would constitute such a default.  The
Assignment of Contracts shall assign to Buyer at Closing all Seller’s right,
title and interest in and to the Contracts.

 

5.1.10      Employees.  Seller
does not employ any persons at the Property other than the persons listed on Schedule 5.1.10.  Buyer shall have no obligation to hire any of
the present employees of Seller engaged in connection with the Property, but
Buyer shall be free to do so if Buyer so elects.

 

5.1.11      Personal Property.  Except for the Personal Property that will be
transferred to Buyer pursuant to the Bill of Sale, there is no personal
property of any nature or description on or in the Property other than personal
property owned by Tenants.

 

5.1.12      Compliance with Laws.  No notice or communication of any kind has
been issued by any public authority relating to the Property, or any business
or activity conducted thereon, including, but not limited to, notice of violation
under zoning, building, health, or fire codes. 
Seller shall be responsible for all such notices and communications, and
for the cost of all work, repairs, construction and installations which may be
required or called attention to by any such notice or communication issued to
Seller prior to Closing.  If any such
notice or communication is received by Seller after the date of this Agreement,
Seller shall promptly notify Buyer in writing, and Seller, if Buyer so
requests, shall give Buyer full opportunity, with the cooperation of Seller, to
contest such governmental action and to initiate or participate in such
proceedings as Buyer may deem necessary or desirable to protect Buyer’s
interests.  In the event Buyer takes any
such actions, such actions taken by Buyer shall be at Buyer’s sole cost and
expense.

 

5.1.13      Financial Information.  All the operating statements and other
financial data which shall have been delivered by Seller to Buyer with respect
to the Property, are true and current and accurately reflect the revenue,
expenses and operations of the Property in all material respects.

 

5.1.14      Condemnation.  As of
the Effective Date, Seller has not received any written notice of any pending
or threatened condemnation of all or any portion of the Property.

 

5.1.15      Quality of Title.  (a)    Seller now has,
and at Closing will have, full legal and equitable fee simple absolute title to
the Property, subject to the Permitted Encumbrances, of the quality and
insurability called for by this Agreement.

 

(b)           There is no existing agreement, commitment, right
of first refusal, right of first offer, option or right with, in or to any
person to acquire the Property or any interest therein.

 

(c)           Seller has not received written notice, nor is
Seller (to its knowledge) aware, of any default or breach under any recorded
easement, covenant, agreement or restriction affecting the Property.

 

5.1.16      Accuracy of Information.  All Seller Deliverables prepared by Seller or
its employees including, without limitation, the Rent Roll and, to Seller’s
knowledge, all other information, materials, copies of documents and other
materials (including, without limitation, financial data, copies of Leases,
Contracts, Books and Records, Licenses and Permits, Insurance 

 

11

 

Policies,
Warranties, municipal approvals, architect’s certificates, plans, surveys,
estoppel certificates and subordination agreements) prepared by third parties
heretofore or hereafter submitted by Seller, or anyone on Seller’s behalf, to
Buyer with respect to the Property or this Agreement shall be accurate,
complete, true and correct, and no fact or circumstance has occurred or exists
since the time of such submissions which in any way materially affects same.  Such submissions are not misleading and do
not omit facts or circumstances having a material bearing on Seller’s ability
to observe or perform its agreements or obligations hereunder or under the
Closing Documents.  No representation,
statement or warranty by Seller contained in this Agreement or in any schedule or
exhibit attached hereto or in any Seller Deliverables or any Closing Document
or other document to be executed in connection herewith contains or will
contain any untrue statement or omits or will omit a material fact necessary to
make the statement of fact therein recited not misleading.

 

5.2           Effective Date.  Each of the representations and warranties of
Seller contained in this Agreement:  (a) is
made as of the Effective Date, and (b) shall be deemed remade by Seller,
and shall be true and correct in all respects, as of the Closing Date.  If, after the execution of this Agreement,
any event occurs or condition exists which renders any of Seller’s
representations or warranties untrue or misleading, then Seller shall promptly
notify Buyer.

 

6.    REPRESENTATIONS AND WARRANTIES
OF BUYER

 

6.1           Representations and
Warranties of Buyer.  Buyer hereby
makes the following representations and warranties:

 

(a)           Buyer is a limited liability company duly
organized and validly existing and in good standing under the laws of the State
of Delaware.  This Agreement and all
documents executed by Buyer that are to be delivered to Seller at Closing (i) are,
or at the time of Closing will be, duly authorized, executed and delivered by
Buyer, (ii) do not, and at the time of Closing will not, violate any
provision of any agreement or judicial order to which Buyer is a party and (iii) constitute
(or in the case of Closing Documents will constitute) a valid and legally
binding obligations of Buyer, enforceable in accordance with their terms.

 

(b)           Buyer has full and complete power and authority
to enter into this Agreement and to perform its obligations hereunder.

 

(c)           Buyer’s execution and delivery of this Agreement
and the Closing Documents and Buyer’s compliance with the provisions thereof
will not conflict with or constitute a breach of, or a default under, any of
the provisions of any applicable law, rule, regulation or order of any court,
administrative agency, bureau, board, commission, office, authority, department
or other governmental entity.

 

(d)           Buyer is not a party to or bound by any agreement
or obligation or subject to any restriction or to any applicable law, rule,
regulation or order of any court, administrative agency, bureau, board,
commission, office, authority, department or other governmental entity, which
might result in a material impairment of the rights or abilities of Buyer to
perform its obligations hereunder or under the Closing Documents.

 

12

 

(e)           To the best of Buyer’s knowledge, there are no
judgments, orders, suits, actions, garnishments, attachments or proceedings of
any nature by or before any court, commission, board or other governmental body
pending, or to the knowledge of Buyer threatened, which involve or affect, or
could involve or affect: (i) the validity or enforceability of this
Agreement or the Closing Documents, (ii) any risk of any judgment or
liability being imposed upon Buyer which could materially adversely affect the
financial condition of Buyer or Buyer’s ability to observe or perform fully its
agreements and obligations hereunder or under the Closing Documents.

 

(f)            The consummation of the
transactions contemplated hereby will not render Buyer insolvent.  No proceeding seeking (i) relief for
Buyer under any bankruptcy or insolvency law, (ii) the rearrangement or
readjustment of Buyer’s debt, (iii) the appointment of a receiver,
custodian, liquidator or trustee to take possession of substantially all of the
assets of Buyer, or (iv) the liquidation of Buyer, has been commenced or
is planned by Buyer or has been threatened by any other Person.

 

(g)           To Buyer’s knowledge, no representation,
statement or warranty by Buyer contained in this Agreement or in any schedule or
exhibit attached hereto or in any Closing Document or other document to be
executed in connection herewith contains or will contain any untrue statement
or omits or will omit a material fact necessary to make the statement of fact therein
recited not misleading.

 

6.2           Effective Date.  Each of the representations and warranties of
Buyer contained in this Agreement (a) is made on the Effective Date and (b) shall
be deemed remade by Buyer and shall be true in all material respects as of the
Closing Date.  If, after the execution of
this Agreement, any event occurs or condition exists which renders any of Buyer’s
representations or warranties untrue or misleading, then Buyer shall promptly
notify Seller.

 

7.    INDEMNITIES

 

7.1           Seller’s Indemnities.  Provided Closing takes place, Seller shall
indemnify, protect and hold harmless Buyer against all Claims arising in
connection with any (a) breach or inaccuracy of any representation or
warranty of Seller contained herein, provided that with respect to a breach or
inaccuracy of any representation or warranty, Buyer shall have given Seller
notice of such breach or inaccuracy within one (1) year following the
Closing Date, except that Seller’s Representations and Warranties under
Sections 5.1.1, 5.1.2 and 5.1.3 shall not be limited by such notice or one-year
period, (b) failure by Seller to observe or perform when due any agreement
or obligation contained herein or in any Closing Document, and (c) Existing
Litigation.

 

7.2           Buyer’s Indemnities.  Provided Closing takes place, Buyer shall
indemnify, protect and hold harmless Seller against all Claims suffered or
incurred by Seller, in connection with any (a) breach or inaccuracy of any
representation or warranty of Buyer contained herein, and (b) failure by
Buyer to observe or perform when due any agreement or obligation contained
herein.

 

13

 

8.    EXCLUDED LIABILITIES

 

8.1           Excluded Liabilities.  Buyer shall neither assume nor pay for nor be
liable for any of Seller’s agreements, liabilities, debts, responsibilities or
obligations with respect to the Property or otherwise, whether direct, fixed or
contingent, and whether existing or arising at any time prior or subsequent to
the Closing Date, except and only to the extent otherwise provided herein with
respect to Leases and Contracts expressly assumed by Buyer at Closing.

 

9.    INTERIM OPERATION OF THE
PROPERTY

 

9.1           Operations.  Except as otherwise approved by Buyer in
writing, from the Effective Date until the Closing Date, Seller shall (a) operate,
maintain, repair and lease the Property in the ordinary course and consistent
with sound business practices and (b) not sell, dispose of or encumber the
Property, or enter into an agreement to so do, except replacements of Personal
Property in the ordinary course of business. 
Without limiting the foregoing, Seller shall, in the ordinary course: (i) enforce
the Leases in all material respects, (ii) perform in all material respects
all of landlord’s obligations under the Leases (other than Leases that have
been or are in the process of being terminated due to the Tenant’s default
thereunder), and (iii) pay all costs and expenses of the Property,
including, without limitation, debt service and Real Estate Taxes.

 

9.2           Lease Enforcement.  Without limitation to the provisions of Section 9.1,
prior to Closing, Seller shall enforce the rights and remedies of the landlord
under each existing Lease and New Lease following a default by the Tenant
thereunder by legal proceedings or otherwise, provided Seller shall not apply
all or any portion of any security deposits then held by Seller toward any loss
or damage incurred by Seller by reason of any default by any Tenant, unless (i) written
notice of such default and of the application of such security deposit shall
have been provided to the relevant Tenant, and such notice shall comply with
the applicable terms of such Tenant’s Lease and with all applicable laws, and (ii) the
applicable Tenant is more than sixty (60) days in default under its Lease.

 

9.3           Modifications;
Agreements.  Seller shall not terminate, or
modify or amend any material term of, any Lease, Lease Guaranty, Contract,
License or Permit or Warranty without, in each instance, Buyer’s prior written
consent, which consent (i) shall not unreasonably be withheld if such
consent is requested prior to the expiration of the Due Diligence Period or (ii) may
be withheld in Buyer’s sole discretion if such consent is requested following
the expiration of the Due Diligence Period.

 

9.4           New Contracts.  Seller shall not enter into any new lease
(other than residential leases on market terms), contract, agreement or
understanding with respect to the Property unless: (a) by its express
terms, it is terminable by Seller by no more than thirty (30) days notice,
without premium or penalty, and (b) a copy is provided to Buyer prior to
its effectiveness.

 

9.5           No Solicitation.  Seller shall not solicit offers for the
Property, or submit or accept or discuss proposals or solicitations for the
sale or other disposition of, or investment in, the Property.

 

14

 

9.6           Leasing Status Reports.  Upon request by Buyer, Seller shall promptly
deliver to Buyer, with respect to the Property, updated certified rent rolls
(including rent concession information) and pre-leasing reports and such other
information as may reasonably be requested by Buyer.

 

10.    RISK OF LOSS

 

10.1         Risk of Loss and
Insurance Proceeds.  (A) Seller shall bear the
risk of loss with respect to the Property in the manner provided herein.  If, on or after the Effective date, (a) the
Property is contaminated or damaged or destroyed by fire or other casualty, and
Buyer’s estimated cost of repair exceeds one percent (1%) of the Purchase Price,
or (b) the Property is condemned, then Buyer shall have the right to
terminate this Agreement upon notice to Seller. 
If Buyer elects to terminate this Agreement, the Deposit shall be
refunded to Buyer promptly.  If Buyer
does not elect to terminate this Agreement, at the Closing, there shall be
credited against the Purchase Price an amount equal to the gross amount of any
insurance proceeds collected by Seller as a result of such damage or
destruction, plus the gross amount of any insurance policy deductible, or as
applicable, the gross amount of the condemnation award collected by
Seller.  To the extent any such proceeds
or awards have not been collected as of the Closing, then such proceeds or
awards shall be unconditionally and absolutely assigned to Buyer at Closing, in
form reasonably satisfactory to Buyer. 
Notwithstanding anything herein to the contrary, no proceeds from a
casualty or condemnation shall be payable to Buyer hereunder unless the Deposit
has become non-refundable in accordance with the provisions of Section 2.4
hereof and Buyer has agreed to proceed to Closing.

 

(B)           Seller shall not settle, compromise or otherwise
stipulate any award or recovery in connection with any such damage, destruction
or condemnation without the prior written approval of Buyer, which approval
shall not be unreasonably withheld if Buyer has the right to terminate this
Agreement in accordance with Section 10.1 (A) above, and Buyer shall
have the right to participate in any such settlement and other proceedings.

 

10.2         Notifications.  Between the Effective Date and the Closing,
Seller shall promptly notify Buyer of any Material Damage (as hereinafter
defined) to the Property, any condemnation, environmental, zoning or other
land-use regulation proceedings relating to the Property of which Seller
becomes aware, any notices of violations of any legal requirements relating to
the Property received by Seller, and any litigation of which Seller receives
written notice that relates to the Property or Seller’s ability to perform its
agreements and obligations hereunder.  As
used herein, “Material Damage” shall mean damage which, in Seller’s
commercially reasonable judgment, will cost in excess of Five Thousand Dollars
($5,000) to repair or replace.

 

11.    CLOSING

 

11.1         Escrow Instructions.  Upon execution of this Agreement, the parties
hereto shall deposit an executed counterpart of this Agreement with the Title
Insurance Company, and this Agreement, as well as the Deposit Escrow Agreement,
shall serve as the instructions to the Title Insurance Company as escrow holder
for consummation of the purchase and sale contemplated hereby (the “Closing”).  Seller and Buyer agree to execute such
reasonable additional escrow instructions as may be appropriate to enable the
Title Insurance Company to comply with the 

 

15

 

terms
of this Agreement, provided, however, that in the event of any conflict between
or among the provisions of this Agreement, the Deposit Escrow Agreement and/or
any supplementary escrow instructions, the terms of this Agreement shall
control.

 

11.2         Closing Date.  Closing shall be held at 10:00 A.M.
prevailing local time on the date (the “Closing Date”) which shall be no
more than thirty (30) days following the expiration of the Due Diligence Period
(as extended, if applicable) on such date as is mutually agreed upon by the
parties.

 

11.3         Location.  The parties shall use their best efforts to
conduct the Closing through the Title Insurance Company pursuant to the escrow
instructions provided herein.  If a
Closing shall require in-person attendance by the parties, then such in-person
Closing shall be held commencing at 10:00 a.m. prevailing local time on
the Closing Date at a location mutually acceptable to the parties,

 

11.4         Closing Documents.  At least one (1) Business Day prior to
the Closing Date, Seller shall execute and deposit into escrow with the Title
Insurance Company the following:

 

(a)           a special warranty deed (“Deed”)
substantially in the form attached hereto as Exhibit “A”,
sufficient to vest in Buyer title to the Real Property in accordance with this
Agreement.  The Deed shall describe the
Land in accordance with the Survey and, if necessary, the legal description of
the Land that appears in Exhibit “A” to the form of Deed attached hereto
as “Exhibit “A” shall be revised by the parties prior to Closing to
reflect the legal description in the Survey;

 

(b)           a Bill of Sale (“Bill of Sale”),
substantially in the form attached hereto as Exhibit “B”;

 

(c)           an Assignment and Assumption of Contracts (“Assignment
of Contracts”), substantially in the form attached hereto as Exhibit “C”;

 

(d)           an Assignment and Assumption of Leases (“Assignment
of Leases”),  substantially in the
form attached hereto as Exhibit “D”;

 

(e)           a General Assignment (“General Assignment”),
substantially in the form attached hereto as Exhibit “E”;

 

(f)            a FIRPTA Affidavit,
substantially in the form attached hereto as Exhibit “F”;

 

(g)           a duly executed counterpart of an agreement
designating the Title Insurance Company as the “Reporting Person” for the
transaction contemplated hereby pursuant to Section 6045(e) of the
Internal Revenue Code and the regulations promulgated thereunder, substantially
in the form attached hereto as Exhibit “G”;

 

(h)           all documents required by the Title Insurance
Company which are reasonably necessary in order for the Title Insurance Company
to issue the Title Insurance Policy 

 

16

 

to
Buyer in accordance with this Agreement, including without limitation the
seller’s affidavit prepared by the Title Insurance Company;

 

(i)            a termination of
management agreement between Seller and the manager or managers of the Property
in form reasonably satisfactory to Buyer; and

 

(j)            (j)            a duly executed counterpart
of such certificates, disclosures and reports as are required by applicable
state and local law in connection with the conveyance of the Property.

 

11.5         Additional Seller
Deliverables.  (A) At Closing, Seller
shall deliver to Buyer the complete, original counterparts, to the extent
originals of such documents are in the possession or available to Seller, of
the Leases, Lease Guaranties, Contracts, Licenses and Permits, Books and
Records and Warranties, all certified as true and correct by Seller.

 

(B)           At Closing Seller shall deliver to Buyer
originals of all tenant correspondence files for the Property, and originals of
all other files and items in Seller’s possession relating to the use,
ownership, operation, maintenance, leasing, repair, alteration, management or
development of the Property.

 

11.6         Buyer Closing
Deliveries.  At least one (1) Business
Day prior to the Closing Date, Buyer shall execute and deposit into escrow with
the Title Insurance Company the following:

 

(i)            a duly executed counterpart
of the Assignment of Leases;

 

(ii)           a duly executed counterpart of the Assignment of
Contracts; and

 

(iii)          a duly executed counterpart of the Designation
Agreement.

 

11.7         Closing by Title
Insurance Company.  At least one (1) Business
Day prior to the Closing Date, Seller and Buyer shall approve a closing
statement in the Title Insurance Company’s customary form (the “Closing
Statement”) and shall detail: (i) the disposition of the Deposit and
the Purchase Price, (ii) the proration amounts allocable to each of the
parties pursuant to Article 12, (iii) the closing costs allocable to
each of the parties pursuant to Article 12, (iv) all fees, costs and
expenses payable to any third party, including the Title Insurance Company, and
(vi) all necessary wiring instructions. 
On the Closing Date, Buyer shall effect a wire transfer of immediately
available federal funds to the Title Insurance Company’s escrow account in the
amount set forth in the Closing Statement and Seller and Buyer shall deposit
with the Title Insurance Company the documents required by this Agreement and
such other instruments as are reasonably required by the Title Insurance
Company or otherwise required to close the escrow and consummate the purchase
and sale of the Property in accordance with the terms hereof.  Upon receipt of the documents and funds in
accordance with the terms of this Agreement and the Closing Statement, and at
such time as the Title Insurance Company has issued the Title Insurance Policy
called for by the Title Insurance Commitment, without exception for Required
Deletion Items, and subject only to the Permitted Encumbrances, the Title
Insurance Company shall: (i) record the Deed and deliver copies to both
Seller and Buyer, (ii) disburse funds to persons entitled thereto, as
expressly stated in the Closing Statement, (iii) 

 

17

 

deliver:
(A) to Seller: (1) two originals of all documents deposited with the
Title Insurance Company (other than the Deed and the FIRPTA Affidavit), (2) one
conformed copy of each document recorded pursuant to the terms hereof, and (3) a
counterpart of the Title Insurance Commitment marked to conform to the issuance
to Buyer of the Title Insurance Policy; and (B) to Buyer: (1) two
originals of all documents deposited into escrow (other than the Deed and the
FIRPTA Affidavit), (2) the original FIRPTA Affidavit, (3) one
conformed copy of each document recorded pursuant to the terms hereof, and (4) the
Title Insurance Policy.

 

11.8         Additional Title Insurance
Documents.  Buyer and Seller shall each
execute and deposit in escrow with the Title Insurance Company such other
instruments as are reasonably required by the Title Insurance Company or
otherwise required to close the escrow and consummate the purchase and sale of
the Property in accordance with the terms hereof.

 

11.9         Possession.  At Closing, Seller shall deliver to Buyer
actual possession of the Property, vacant and free of all leases and rights of
possession, use or occupancy, excepting only the Leases.

 

11.10       Transfer of Licenses and Permits.   Seller shall cooperate with Buyer in Buyer’s
efforts to obtain from all public authorities (a) the transfer or the
reissuance, as applicable, to Buyer of all Licenses and Permits, and (b) such
site plan, land use plan, land development plan approvals and other approvals,
building, construction and other permits, certificates, agreements,
authorizations, zoning variances and special exceptions as may be required or
desired by Buyer in connection with its intended use and/or development of the
Property.  Seller shall execute promptly
all documents necessary or reasonably required by Buyer with respect thereto.

 

11.11       Tenant Notices.  At
Closing, Seller shall execute and deliver to Buyer, for delivery by Buyer to
each Tenant, a notice to each Tenant of the assignment of the Tenant’s lease to
Buyer, in conformity with each Lease and with applicable law.  Such notices shall be substantially in the
form of Exhibit “H”.

 

11.12       Termination/Assignment of Contracts.  All Contracts not designated by Buyer for
termination, as above provided, shall be assigned to Buyer pursuant to the
Assignment of Contracts, and at Closing, Seller shall notify each counterpart
to each Assigned Contract of such assignment, which notices shall be
substantially in the form of  “Exhibit I.”  At Closing, Seller shall provide Buyer with
copies of all such termination and assignment notices.

 

12.           PRORATIONS, CLOSING
PAYMENTS

 

12.1         Closing Party.  At Closing, the Parties shall pay the
following closing expenses:

 

	
  Expense

  	
   

  	
  Paying
  Party

  
	
   

  	
   

  	
   

  
	
  Title
  Insurance Commitment and Owner’s Title Insurance Policy

  	
   

  	
  Buyer

  
	
   

  	
   

  	
   

  
	
  Survey

  	
   

  	
  Buyer

  

 

18

 

	
  Title
  Insurance Company Closing and Escrow Fees

  	
   

  	
  Seller

  
	
   

  	
   

  	
   

  
	
  Transfer
  Taxes on Deed

  	
   

  	
  Seller

  
	
   

  	
   

  	
   

  
	
  Recording
  Cost for Deed and Monetary Lien Releases

  	
   

  	
  Buyer

  

 

12.2         Sales Taxes.  At Closing, any and all sales taxes, duties,
levies or imposts payable by reason of the sale of the Property shall be paid
by Seller to the extent such taxes are then due and payable.

 

12.3         Installment Assessments.  If, at the time of Closing, the Property is
affected by any assessment which is or may become payable in annual
installments, then for the purpose of this Agreement, all the unpaid
installments of any such assessment, including without limitation those which
are to become due and payable after Closing, shall be deemed liens on the
Property and shall be paid and discharged by Seller at or prior to Closing.

 

12.4         Tenant Deposits.  At the Closing, Seller shall pay to Buyer all
Tenant Deposits for the Property.

 

12.5         Real Estate Taxes.  At Closing, all real estate taxes general
assessments and municipal water and sewer rents assessed against the Property
for the tax year in which Closing occurs shall be apportioned between Seller
and Buyer as of the Closing Date.   Such
apportionment shall be based on the respective tax years for which such taxes
are assessed, and on the most recent assessment of the Property and the then
applicable tax rates.  Any “roll back”
taxes payable in relation to any period tax abatement or relief or preferential
assessment with respect to the Property prior to the Closing Date shall be paid
in full by Seller, whenever billed by the relevant taxing authority.

 

12.6         Utilities and Contracts.  Payments under the Contracts assumed by Buyer
and charges for the supply of telephone, heat, steam, electric power, gas,
lighting and any other utility service consumed at the Property for the month,
or other relevant billing period, in which Closing takes place, shall be
prorated between the parties as of the Closing Date.  Where possible, Seller shall obtain cutoff
readings for all utilities as of the Closing Date.  To the extent they are not available, the
cost of such utilities shall be apportioned between the parties on the basis of
the latest actual (not estimated) bill for such service and adjusted by the
parties as necessary post-Closing.  Buyer
shall receive a credit for any of the foregoing items to the extent the same
are accrued but unpaid as of the Closing Date (whether or not due, owing or
delinquent as of the Closing Date), and Seller shall receive a credit to the
extent any of the foregoing items shall have been paid prior to the Closing
Date to the extent the payment thereof specifically relates to any period of
time after the Closing Date.

 

12.7         Prorations.  (A)  Current Rents, fees and any
additional charges and expenses payable under the Leases, all as and when
actually collected (whether such collection occurs prior to, on or after the
Closing Date), water, sewer and utility charges and amounts payable under any
Contract that is assigned to Buyer at Closing, and real estate taxes payable
for, or 

 

19

 

levied
or assessed with respect to, the calendar year in which the Closing Date
occurs, shall all be prorated as of 12:01 a.m. prevailing time on the
Closing Date, on the basis of a 365-day year, with Buyer deemed the owner of
the Property on the Closing Date.

 

(B)           Any delinquent rents or expense reimbursements
under any current Lease collected by Seller or Buyer after the Closing shall be
the property of Buyer.

 

(C)           If any of the aforesaid prorations cannot be
calculated accurately on the relevant Closing Date, either party owing the
other party a sum of money based on proration(s) calculated after a Closing
Date shall promptly pay said sum to the other party, together with interest
thereon at the rate of ten percent (10%) per annum from the date the invoice is
delivered to the date of payment, if payment is not made within thirty (30)
days after delivery of a bill therefor.

 

12.8         Proration Backup
Information.  Seller shall calculate the
adjustments and prorations called for by this Article and shall deliver
such calculations and all relevant back-up information to Buyer no less than
five (5) Business Days prior to the Closing Date.  If all such information is not so delivered,
then Buyer shall have the right, without limitation to Buyer’s other rights and
remedies hereunder, to postpone the Closing until the fifth (5th) Business Day
after Buyer’s receipt from Seller of all such information.

 

12.9         Audit Rights.  (A) Buyer or an independent auditor
designated by Buyer shall have the right to inspect and audit Seller’s books
and records related to the Property for calendar years 2004 through 2006.  Such rights shall be available to Buyer prior
to Closing and for a period of two (2) years following Closing.  Such inspection and audit may be conducted by
Buyer at any time during normal business hours upon prior written notice from
Buyer to Seller and shall not result in an unreasonable disruption of the
business of Seller.  If requested by
Seller, the party performing such audit shall enter into a commercially
reasonable confidentiality agreement regarding the disclosure of information
obtained during such audit, the terms of which agreement shall permit
disclosure of such information if required by law or in connection with legal
process.

 

(B)           Buyer shall reimburse Seller for all reasonable costs
incurred by Seller in participating in any such audit and in any audit or
investigation of this transaction by the United States Securities and Exchange
Commission.

 

13.    DEFAULT

 

13.1         Buyer’s Default.  (A) If Seller complies with all of its
obligations under this Agreement, and any time after the Deposit has become
non-refundable in accordance with Section 2.4 hereof, Buyer defaults in
its obligation to complete Closing hereunder, then Seller shall have the right
at Closing to terminate this Agreement and to be paid the Deposit as liquidated
damages for such breach.  The parties
have agreed that Seller’s actual damages, in the event of a failure to
consummate this sale due to Buyer’s default, would be extremely difficult or
impossible to determine.  After
negotiation, the parties have agreed that, considering all the circumstances
existing on the date of this Agreement, the amount of the Deposit is a
reasonable estimate of the damages that Seller would incur in such event. Upon
such termination, Seller and Buyer shall be released from all further liability
and obligations hereunder, it being understood 

 

20

 

that
Seller’s right to terminate this Agreement and to be paid the Deposit shall be
the sole remedy available to Seller in the event of any default by Buyer
hereunder, Seller hereby waiving all other rights and remedies.

 

(B)           If this Agreement is terminated by Seller
pursuant to the foregoing provisions of Section 13.1, then any Reallocated
Deposit under a terminated Other Agreement that shall have been applied to the
Deposit hereunder pursuant to Section 2.4(E) of such Other Agreement (i) shall
be refunded to Buyer if the aggregate Purchase Prices under and as defined in
all Other Agreements under which Closing (as defined thereunder) shall have
occurred, equals or exceeds the Threshold Aggregate Purchase Price, or (ii) shall
be paid to Seller if the aggregate Purchase Price under and as defined in all
Other Agreements under which Closing (as defined thereunder) shall have
occurred is less than the Threshold Aggregate Purchase Price.

 

13.2         Seller’s Default.  If Buyer complies with all of its obligations
under this Agreement, and if on the date of this Agreement or at the time of
Closing title to the Property is not as required by this Agreement, or if, at
any time, Seller fails to complete Closing or otherwise defaults in the
observance or performance of any of its other material agreements or
obligations hereunder, or if any of Seller’s representations and warranties
hereunder is untrue or incorrect (each, a “Seller Default”), then, in
any such case, Buyer shall have the right, in addition to all its other rights
and remedies at law or in equity or as set forth herein, including without
limitation the right of specific performance of this Agreement (in which event
Buyer shall have the right to collect all attorneys fees and costs and all
other costs and expenses incurred in connection with any such specific
performance action), to terminate its obligations hereunder.  If Buyer so elects to terminate its
obligations hereunder, then the Deposit shall be refunded promptly to Buyer,
and Seller, upon demand of Buyer, shall reimburse Buyer for all costs and
expenses incurred by Buyer in connection with this transaction including,
without limitation, costs and expenses incurred for legal counsel, surveys,
engineering tests, environmental studies, feasibility studies, due diligence,
permit applications and title searches provided that Buyer delivers to Seller
all reasonable supporting documentation evidencing such costs and
expenses.  If the remedy of specific
performance is not available, Buyer shall have the right to seek damages
(including, without limitation, all attorneys fees and costs and all other
costs and expenses incurred in connection with any cause of action) against
Seller.  Notwithstanding anything herein
to the contrary, Seller’s obligation to reimburse Buyer for, and Buyer’s right
to recover, damages against Seller hereunder shall be limited to the amount of
$287,020.50

 

14.    BROKERS

 

14.1         Brokers.  Seller and Buyer hereby represent and warrant
to the other that they have not engaged the services of any agent, broker or
similar party in connection with this transaction.  Seller and Buyer each hereby agree to
indemnify one another for any claim for brokerage commissions or the like
asserted by any person or entity claiming to have been engaged by the party
against whom indemnity is sought.

 

15.    NOTICES

 

15.1         Notices.  Any notices required or permitted to be given
hereunder shall be given in writing and shall be delivered (a) in person, (b) by
certified mail, postage prepaid, return 

 

21

 

receipt
requested, (c) by a commercial overnight courier that guarantees next day
delivery and provides to the sender a delivery receipt or (d) by legible
facsimile (followed by hard copy delivered in accordance with preceding
subsections (a)-(c)). Any notice shall be effective only upon receipt (or
refusal by the intended recipient to accept delivery).  Such notices shall be addressed as follows:

 

	
  Seller:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  c/o
  Capstone Properties

  
	
   

  	
   

  	
  431
  Office Park Drive

  
	
   

  	
   

  	
  Birmingham,
  AL 35223

  
	
   

  	
   

  	
  Attention:
  Rob Howland

  
	
   

  	
   

  	
  Fax:
  205-414-6455

  
	
   

  	
   

  	
   

  
	
  With
  a required copy to:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Hand
  Arendall, L.L.C.

  
	
   

  	
   

  	
  107
  St. Francis Street

  
	
   

  	
   

  	
  3000
  AmSouth Bank Building

  
	
   

  	
   

  	
  Mobile,
  AL 36602

  
	
   

  	
   

  	
  Attention:
  Christopher M. Gill

  
	
   

  	
   

  	
  Fax:
  251-544-1615

  
	
   

  	
   

  	
   

  
	
  Buyer:

  	
   

  	
  College
  Park Investments, LLC

  
	
   

  	
   

  	
  c/o
  GMH Communities Trust

  
	
   

  	
   

  	
  10
  Campus Boulevard

  
	
   

  	
   

  	
  Newtown
  Square, PA 19073

  
	
   

  	
   

  	
  Attention:
  Joseph M. Macchione

  
	
   

  	
   

  	
  Fax:
  610-359-0572

  
	
   

  	
   

  	
   

  
	
  With
  a required copy to:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Morgan,
  Lewis & Bockius LLP 

  1701
  Market Street 

  Philadelphia,
  PA 19103-2921 

  Attention:  Richard
  J. Sabat, Esquire 

  Telephone:
  (215) 963-5357 

  Fax: (877)
  432-9652

  

 

or to
such other address as either party may from time to time specify in writing to
the other party.

 

16.    MISCELLANEOUS

 

16.1         Entire Agreement.  This Agreement sets forth all of the
agreements, representations, warranties and conditions of the parties hereto
with respect to the subject matter hereof, and supersedes all prior or
contemporaneous letters of intent, agreements, representations, warranties and
conditions. This Agreement, together with the Exhibits, 

 

22

 

Schedules
and Rider hereto contain all representations, warranties and covenants made by
Buyer and Seller and constitutes the entire understanding between the parties
hereto with respect to the subject matter hereof. Any correspondence, memoranda
or agreements between the parties are not binding on or enforceable against any
party, and are superseded and replaced in total by this Agreement together with
the Exhibits, Schedules and Rider attached hereto.

 

16.2         Amendments.  This Agreement may be amended or modified
only by a written instrument signed by Buyer and Seller.

 

16.3         Time.  Time is of the essence in the performance of
each of the parties’ respective agreements and obligations contained herein.

 

16.4         Attorneys’ Fees.  If either party hereto fails to perform any
of its obligations under this Agreement or if any dispute arises between the
parties hereto concerning the meaning or interpretation of any provision of
this Agreement, then the defaulting party or the party not prevailing in such
dispute, as the case may be, shall pay any and all costs and expenses incurred
by the other party on account of such default and/or in enforcing or
establishing its rights hereunder, including, without limitation, court costs
(including costs of any trial or appeal therefrom) and reasonable attorneys’
fees and disbursements.

 

16.5         Assignment.  Buyer may assign to any Affiliate of Buyer
all of Buyer’s rights and obligations under this Agreement without Seller’s
approval; provided, however, that Buyer shall not be released or discharged
from all obligations and liabilities hereunder. 
Buyer shall not assign Buyer’s rights and obligations under this
Agreement to any person or entity that is not an Affiliate of Buyer without
Seller’s prior written consent, which consent may be withheld in Seller’s sole
discretion.

 

16.6         Counterparts.  This Agreement may be executed in separate
counterparts, all of which taken together shall constitute one and the same
instrument.

 

16.7         Governing Law.  This Agreement and all issues arising
hereunder shall be governed by the laws of the state in which the Property is
located, except that the Escrow Agreement and all issues arising thereunder
shall be governed by the laws of the Commonwealth of Pennsylvania.

 

16.8         Waiver of Trial by Jury.  EACH PARTY HEREBY WAIVES, IRREVOCABLY AND
UNCONDITIONALLY, TRIAL BY JURY IN ANY ACTION BROUGHT ON, UNDER OR BY VIRTUE OF
OR RELATING IN ANY WAY TO THIS AGREEMENT OR ANY OF THE DOCUMENTS EXECUTED IN
CONNECTION HEREWITH, THE PROPERTY, OR ANY CLAIMS, DEFENSES, RIGHTS OF SET-OFF
OR OTHER ACTIONS PERTAINING HERETO OR TO ANY OF THE FOREGOING.

 

16.9         No Third-Party
Beneficiary.  The provisions of this Agreement
are not intended to benefit any Person who is not a party to this Agreement.

 

16.10       Severability.  If any
provision of this Agreement, or the application thereof to any person, place or
circumstance, shall be held by a court of competent jurisdiction to be invalid,

 

23

 

unenforceable
or void, the remainder of this Agreement and such provisions as applied to
other persons, places and circumstances shall remain in full force and effect.

 

16.11       Drafts Not an Offer to Enter into a Legally
Binding Contract.  The parties hereto agree that
the submission of a draft of this Agreement by one party to another is not
intended by either party to be an offer to enter into a legally binding
contract with respect to the purchase and sale of the Property.  The parties shall be legally bound with
respect to the purchase and sale of the Property pursuant to the terms of this
Agreement only if and when the parties have been able to negotiate all of the
terms and provisions of this Agreement in a manner acceptable to each of the
parties in their respective sole discretion, including, without limitation, all
of the Exhibits and Schedules and the Rider hereto, and Seller and Buyer have
fully executed and delivered to each other a counterpart of this Agreement,
including, without limitation, all Exhibits and Schedules and the Rider hereto.

 

16.12       Consents.  Any
consent, determination, election or approval required to be obtained, or
permitted to be given, by or of any party hereunder, shall be granted, withheld
or made (as the case may be) by such party in the exercise of such party’s sole
and absolute discretion, except as otherwise set forth herein.

 

16.13       Survival. 
Notwithstanding any presumption to the contrary, all agreements,
covenants and conditions contained in this Agreement which, by their nature,
impliedly or expressly involve observance or performance in any respect after
the Closing, or which cannot be ascertained to have been fully observed or
performed until after Closing, and all representations and warranties of Seller
contained in this Agreement, shall survive Closing and shall not merge with any
Closing Document or with the conveyance of the Property.

 

16.14       No Implied Easements.  Nothing shown on any subdivision plan now or
hereafter recorded, on any plan referred to in this Agreement or in the Deed,
or on any other plan, shall create or constitute an additional covenant,
representation or agreement of Buyer or create a lien, easement, right of way
or encumbrance with respect to the Property.

 

16.15       Joint Undertaking.  In addition to the obligations expressly
required to be performed hereunder by Seller and Buyer, each party agrees to
cooperate with the other and to perform such other acts and to execute,
acknowledge and deliver, before and after the Closing, such other instruments,
documents and materials as a party may reasonably request and as shall be
necessary in order to effect the consummation of the transactions contemplated
hereby and to vest title to the Property in Buyer or its assignees or nominees;
provided that no such other instrument, document or material shall either
extend or enlarge the obligations of the non-requesting party beyond the
express undertakings of this Agreement or shall require or could require the
non-requesting party to make any payment or expend any funds which are not
expressly provided for herein.

 

17.    DEFINITIONS

 

17.1         Definitions.  As used in this Agreement, the following
terms shall have the meanings set forth below, which meanings shall be
applicable equally to the singular and plural of the terms defined:

 

24

 

“Affiliate”
shall mean with respect to any Person (i) any other Person that directly
or indirectly through one or more intermediaries controls or is controlled by
or is under common control with such Person, (ii) any other Person owning
or controlling ten percent (10%) or more of the outstanding voting securities
of or other ownership interests in such Person, (iii) any officer,
director or partner of such Person, or (iv) if such Person is an officer,
director or partner, any other company for which such Person acts in any such
capacity.

 

“Business
Day” shall mean any day other than a Saturday, a Sunday, or a federal
holiday recognized by the Federal Reserve Bank of New York.

 

“Claim”
or “Claims” shall mean any and all suits, actions, proceedings,
investigations, demands, claims, liabilities, fines, penalties, liens,
judgments, losses, injuries and damages.

 

“Closing
Documents” shall mean all the documents to be executed and delivered by the
parties at each Closing.

 

“Governmental
Authority” shall mean any federal, state, county or municipal government, or
political subdivision thereof, any governmental agency, authority, board,
bureau, commission, department, instrumentality, or public body, or any court
or administrative tribunal.

 

“Hazardous
Substance” shall mean materials, wastes or substances that are (A) included
within the definition of any one or more of the terms “hazardous substances,” “hazardous
materials,” “toxic substances,” “toxic pollutants” and “hazardous waste” in the
Comprehensive Environmental Response, Compensation and Liability Act of 1980,
as amended (42 U.S.C. Section 9601, et seq.), the Resource Conservation
and Recovery Act of 1976 (42 U.S.C. Section 6901, et seq.), the Clean
Water Act (33 U.S.C. Section 1251, et seq.), the Safe Drinking Water Act
(14 U.S.C. Section 1401, et seq.), the Hazardous Materials Transportation
Act (49 U.S.C. Section 1801, et seq.), and the Toxic Substance Control Act
(15 U.S.C. Section 2601, et seq.) and the regulations promulgated pursuant
to such laws, (B) regulated or classified as hazardous or toxic, under
federal, state or local environmental laws or regulations, (C) petroleum, (D) asbestos
or asbestos-containing materials, (E) polychlorinated biphenyls, (F) flammable
explosives or (G) radioactive materials.

 

“Lease”
or “Leases” shall mean all or any of the Existing Leases and New Leases,
collectively.

 

“New
Leases” shall mean those leases, license agreements and occupancy
agreements with respect to the Property which are entered into after the
Effective Date in accordance with the terms of this Agreement, as the same may
be amended or modified from time to time in accordance with the terms of this
Agreement.

 

“Parties”
shall mean Seller and Buyer and their respective successors and assigns.

 

“Person”
shall mean any individual, partnership, corporation, limited liability company,
trust or other legal entity and any governmental authority, agency or body.

 

“Title
Insurance Policy” shall mean a standard 1992 ALTA owner’s policy of title 

 

25

 

insurance
with respect to the Property, in the form customary in the county in which the
Property is located, showing title to the Property to be vested in Buyer,
subject only to the Permitted Encumbrances, with affirmative insurance as to
contiguity of lots and the absence of any gaps and gores (if the Property
includes more than one lot), with additional coverage to the effect that no
financing statements or other personal property liens or encumbrances shall
have been filed or recorded against those portions of the Property that
constitute personal property under applicable law, and with a coverage amount
equal to the Purchase Price.

 

17.2         Terms Generally.  For all purposes of this Agreement, except as
otherwise expressly provided or unless the context otherwise requires, the
words “herein,” “hereof” and “hereunder” and other words of similar import
refer to this Agreement as a whole and not to any particular Article, Section or
other subdivision, the words “including” and “include” and other words of
similar import shall be deemed to be followed by the phrase “without
limitation,” “Property” includes each portion of the Property and each
estate and interest therein, “Agreement” includes these presents as
supplemented or amended from time to time by written agreement(s) entered into
by Seller and Buyer, “Seller” includes each Seller’s successors and
assigns,  “Buyer” includes Buyer’s
successors and assigns and “parties” means Buyer and Seller.  Whenever the context may require, any pronoun
used herein shall include the corresponding masculine, feminine or neuter
forms, and the singular form of pronouns or nouns shall include the plural and
vice versa.  The captions of the sections
of this Agreement are for convenience only and have no meaning with respect to
this Agreement or the rights or obligations of the parties hereto.

 

[Execution Pages Follow]

 

26

 

IN
WITNESS WHEREOF, the parties have executed this Agreement the date and year
first above written.

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:
  Joseph M. Macchione

  	
   

  
	
   

  	
   

  	
  Title:
  Vice President

  	
   

  
						

 

27

 

Exhibit A

 

[Special Warranty Deed for each property to be attached]

 

 

EXHIBIT “A”

 

Land

 

 

EXHIBIT “B”

 

Permitted Encumbrances

 

 

Exhibit B

 

BILL OF SALE

 

On               ,
2006,                           
(“Seller”), in consideration of Ten Dollars ($10.00) and other valuable
consideration received from College Park Investments, LLC, a Delaware limited
liability company (“Buyer”), receipt of which is hereby acknowledged,
hereby grants, bargains, sells and delivers to Buyer, its successors and
assigns, all Seller’s right, title and interest in and to Warranties, Reports
and Plans, Books and Records, Licenses and Permits, Trade Name, Trademarks and
the Personal Property (as those terms are defined in a certain Agreement of
Sale between Seller and Buyer, dated June 12, 2006), including without
limitation the personal property described in Exhibit “A” attached
hereto and made a part hereof (collectively, “Property”), to have and to
hold the Property unto the Buyer, its successors and assigns, forever.  Notwithstanding the foregoing, Buyer, by its
acceptance of this instrument, acknowledges and agrees that any use of the
Trade Name shall be made strictly in accordance with the terms and conditions
of the Agreement of Sale.

 

Seller,
for itself, its successors and assigns, hereby represents, warrants and
covenants to Buyer, its successors and assigns, that Seller is the lawful owner
of all the Property, that the Property is free from all pledges, security
interests, mortgages, liens and encumbrances, and that Seller, its successors
and assigns, shall forever warrant and defend good and clear title to the
Property against all claims and demands of all persons whatsoever.

 

In
witness whereof, Seller has executed and delivered this Bill of Sale as of the
date first above written.

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  	
   

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  	
   

  

 

 

EXHIBIT “A”

 

2

 

Exhibit C

 

ASSIGNMENT OF CONTRACTS

 

This
Assignment of Contracts (“Assignment”) is entered into as of           ,
2006 by                            ,
with offices at 431 Office Park Drive, Birmingham, Alabama 35223 (“Seller”),
and College Park Investments, LLC, a Delaware limited liability company, with
offices at 10 Campus Boulevard, Newtown Square, Pennsylvania 19073 (“Buyer”).  For valuable consideration, the parties
hereto, each intending to be legally bound and to bind their respective
successors and assigns, hereby covenant and agree as follows.

 

1.  Seller hereby assigns, transfers and sets
over unto Buyer, and Buyer hereby accepts and assumes, all Seller’s rights,
title and interest in and to those certain contracts, copies of which are
attached hereto as Exhibit “A” and made a part hereof (“Contracts”),
which Contracts pertain to certain real property located at                            ,
which Seller has contemporaneously herewith conveyed unto Buyer.

 

2.  Seller represents and warrants to Buyer that:
(a) the Contracts have not been assigned previously and are not subject to
any lien or encumbrance, (b) all sums required to be paid as of the date
hereof under the Contracts have been paid or will be paid by Seller, and (c) to
Seller’s knowledge, the copies of the Contracts which are attached hereto are
true correct and complete and constitute the entire agreement between Seller
and the respective contractors under the Contracts.

 

3.  Buyer hereby assumes and agrees to perform
all agreements and obligations of Seller with respect to the Contracts arising
on and after the date hereof.  Seller
shall be responsible for the observance and performance of all its agreements
and obligations under the Contracts arising prior to the date hereof.

 

4.  Seller shall defend, protect, indemnify and
save harmless Buyer from and against any and all liabilities, suits, actions,
losses, damages, costs and expenses, including without limitation counsel fees,
suffered or incurred by Buyer resulting from or relating to any failure by
Seller to observe or perform any of its agreements or obligations under the
Contracts prior to the date hereof.

 

5.  Buyer shall defend, protect, indemnify and
save harmless Seller from and against any and all liabilities, suits, actions,
losses, damages, costs and expenses, including without limitation counsel fees,
suffered or incurred by Seller resulting from or relating to any failure by
Buyer to observe or perform any of its agreements or obligations under the
Contracts on or after the date hereof.

 

6.  This Assignment may be executed in any number
of counterparts, each of which shall be deemed to be an original and all of
which shall constitute one and the same agreement.

 

[Execution pages follow.]

 

 

IN
WITNESS WHEREOF, Seller and Buyer have executed this Assignment as of the date
first above written.

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  	
   

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
							

 

2

 

EXHIBIT “A”

 

3

 

Exhibit D

 

ASSIGNMENT AND ASSUMPTION OF LEASES

 

This
Assignment and Assumption of Leases (“Assignment”) is entered into as of
               ,
2006, by                                 ,
with offices at 431 Office Park Drive, Birmingham, Alabama 35223 (“Seller”),
and College Park Investments, LLC, a Delaware limited liability company, with
offices at 10 Campus Boulevard, Newtown Square, Pennsylvania 19073 (“Buyer”).  For valuable consideration, the parties
hereto, each intending to be legally bound and to bind their respective
successors and assigns, hereby covenant and agree as follows.

 

1.  Seller hereby assigns, transfers and sets
over unto Buyer, and Buyer hereby accepts, all Seller’s rights, title and
interest in and to those certain leases, a schedule of which is attached
hereto as Exhibit “A” and made a part hereof (“Leases”),
which Leases pertain to various portions of that certain real property located
at                               ,
which Seller has contemporaneously herewith conveyed unto Buyer. This
Assignment includes (i) all sureties and guaranties of the leases, (ii) the
right to collect from all tenants under the Leases (collectively, “Tenants”)
all rents and other payments whether heretofore or hereafter payable, (iii) the
right to enforce all obligations of the Tenants under the Leases and all
sureties and guaranties, and (iv) all security deposits paid by the
tenants under the Leases.

 

2.  Seller represents and warrants to Buyer that
Seller is the landlord under the Leases, and the Leases, except with respect to
Seller’s former financing facilities, the liens of which are being released
contemporaneous herewith, have not been assigned previously and are not subject
to any lien or encumbrance.

 

3.  Buyer hereby assumes and agrees to perform
all agreements and obligations of the landlord with respect to the Leases
arising on and after the date hereof. 
Seller, and not Buyer, shall be responsible for the observance and
performance of all agreements and obligations of the landlord with respect to
the Leases arising prior to the date hereof. 
Buyer, and not Seller, shall be responsible for the observance and
performance of all agreements and obligations of the landlord with respect to the
Leases arising on or after the date hereof.

 

4.  Seller shall defend, protect, indemnify and
save harmless Buyer from and against any and all liabilities, suits, actions,
losses, damages, costs and expenses, including without limitation counsel fees,
suffered or incurred by Buyer resulting from or relating to any failure by
Seller to observe or perform any of its agreements or obligations hereunder or
under the Leases prior to the date hereof.

 

5.  Buyer shall defend, protect, indemnify and
save harmless Seller from and against any and all liabilities, suits, actions,
losses, damages, costs and expenses, including, without limitation counsel
fees, suffered or incurred by Seller resulting from or relating to any failure
by Buyer to observe or perform any of its agreements or obligations hereunder
or under the Leases on or after the date hereof.

 

6.  This Assignment may be executed in any number
of counterparts, each of which shall be 

 

 

deemed
to be an original and all of which shall constitute one and the same agreement.

 

2

 

IN
WITNESS WHEREOF, Seller and Buyer have executed this Assignment as of the date
first above written.

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  	
   

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
						

 

3

 

EXHIBIT “A”

 

4

 

Exhibit E

 

GENERAL ASSIGNMENT

 

Effective
                 ,
2006,                   
(“Seller”), in consideration of Ten Dollars ($10.00), and other valuable
consideration, the receipt of which is hereby acknowledged, intending to be
legally bound and to bind its successors and assigns, hereby sells, assigns,
transfers and sets over to College Park Investments, LLC, a Delaware limited
liability company (“Buyer”), its successors and assigns, all of Seller’s
right, title and interest of, in and to                                                                                                                             .

 

Seller,
for itself, its successors and assigns, hereby covenants and warrants to Buyer,
its successors and assigns, that Seller is the lawful owner of all the                                                      ,
that the                                                  
is free from all pledges, security interests and encumbrances, and that Seller,
shall forever warrant and defend the good and clear title to the                                                
against all claims and demands of all persons whatsoever.

 

IN
WITNESS WHEREOF, Seller has executed and delivered this Assignment as of the
date first above written.

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
						

 

 

Exhibit F

 

Internal Revenue Code

Section 1445(b)(2)

Nonforeign Affidavit

(FIRPTA)

 

              ,
2006

 

For
purposes of Section 1445(b)(2) of the Internal Revenue Code, as
amended, the undersigned, as Senior Vice President of Capstone Development
Corp., an Alabama corporation, which is a general partner of                                 
(“Transferor”), hereby certifies, under penalty of perjury, to College
Park Investments, LLC, a Delaware limited liability company, that (i) Transferor’s
United States taxpayer identification number is 63-1057148, (ii) Transferor’s
address is 431 Office Park Drive, Birmingham, Alabama 35223, and (iii) Transferor
is not a “foreign person”, within the meaning of said Section 1445(b)(2),
as amended.  Transferor understands that
this Affidavit may be disclosed to the Internal Revenue Service, and that any
false statement made herein could be punished by fine, imprisonment or both.

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  	
   

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  	
   

  
							

 

 

Sworn
to and subscribed

before
me this         day

of                ,
      .

 

 

	
   

  	
   

  
	
  Notary
  Public

  
	
  My
  Commission Expires:

  

 

 

Exhibit G

 

DESIGNATION AGREEMENT

 

THIS
DESIGNATION AGREEMENT (the “Agreement”) is entered into as of                      ,
2006, by and between                              
(“Seller”), College Park Investments, LLC, a Delaware limited liability
company (“Buyer”) and Commonwealth Land Title Insurance Company (“Title
Insurance Company”).

 

1.  RECITALS

 

a.   Pursuant to that certain Agreement of Sale,
dated June 12, 2006 (“Agreement”), Seller has agreed to sell to Buyer, and
Buyer has agreed to buy from Seller (“Transaction”), that certain property
located at                                       
(“Property”).

 

b.   Section 6045(e) of the United
States Internal Revenue Code and the regulations promulgated thereunder
(collectively, the “Reporting Requirements”) require an information return
to be made to the United States Internal Revenue Service, and a statement to be
furnished to Seller, in connection with the Transaction.

 

c.   Pursuant to Section 2.2(b)(i) of
the Agreement, an escrow has been opened with Title Insurance Company [Escrow No.                            ] through which the Transaction will be or
is being accomplished.  Title Insurance
Company is either (i) person responsible for closing the Transaction (as
described in the Reporting Requirements) or (ii) the disbursing title or
escrow company that is most significant in terms of gross proceeds disbursed in
connection with the Transaction (as described in the Reporting Requirements).

 

d.   Seller, Buyer and Title Insurance Company
desire to designate Title Insurance Company as the “Reporting Person” (as
defined in the Reporting Requirements) with respect to the Transaction.

 

2.     AGREEMENT

 

NOW,
THEREFORE, for good and valuable consideration, the receipt and adequacy of
which are hereby acknowledged, Seller, Buyer and Title Insurance Company agree
as follows:

 

a.   Title Insurance Company is hereby designated
as the Reporting Person for the Transaction. 
Title Insurance Company shall perform all duties that are required by
the Reporting Requirements to be performed by the Reporting Person for the
Transaction.

 

b.   Seller and Buyer shall furnish to Title
Insurance Company, in a timely manner, any information requested by Title
Insurance Company, and necessary, for Title Insurance Company, to perform its
duties as Reporting Person for the transaction.

 

c.   Seller hereby certifies to Title Insurance
Company, under penalties of perjury, that Seller’s correct taxpayer
identification number is                       .

 

 

d.    The correct names and addresses of the
parties hereto are as set forth above.

 

e.   Each of the parties hereto shall retain this
Agreement for a period of four (4) years following the calendar year
during which the date of closing of the Transaction occurs.

 

f.   This Agreement may be executed in any number
of counterparts, each of which shall be deemed to be an original and all of
which shall constitute one and the same agreement.

 

g.   This Agreement shall be governed by and
construed in accordance with the laws of the state in which the Property is
located.

 

IN
WITNESS WHEREOF, the parties have entered into this Agreement as of the date
and year first above written.

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Commonwealth
  Land Title Insurance 

  Company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
							

 

2

 

Exhibit H

 

[Affiliate of Capstone Properties]

431 Office Park Drive

Birmingham, Alabama 35223

 

                   ,
2006

 

Re:                               Lease, dated                  ,
between                                       
and                    
(“Lease”)

 

Dear
Sirs/Madams:

 

We
have sold the property, of which your leased premises are a part, and have
assigned your Lease to College Park Investments, LLC.

 

From
and after the date of this notice, all rent payments should be made to the
order of                                      
and transmitted to:

 

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  	
   

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
							

 

 

Exhibit I

 

[Affiliate of Capstone Properties]

431 Office Park Drive

Birmingham, Alabama 35223

 

            ,
2006

 

Re:                                         ,
dated                  ,
between                    
and                     
(“Contract”)

 

Dear
Sirs/Madams:

 

We
have sold the property, to which your Contract applies, and have assigned your
Contract to                                                .

 

	
   

  	
  [Affiliate
  of Capstone Properties]

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware 

  limited liability company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
							

 

 

Schedule 1.1.8

 

Trademark

 

 

 

Schedule 4.2

 

Seller Deliverables

 

1.                                       Bankruptcy/Default/Workout
History
– A detailed narrative of any bankruptcy filings, foreclosure proceedings or
significant loan modifications involving Seller.  If no such events have occurred, please
provide a statement to that effect.

 

2.                                       Financial
Information – Current, audited (if available) financial statements for Seller.

 

3.                                       Property
Level Information – Originals or legible copies of the following property level
information:

 

a.                                       A title report for each
parcel comprising the Property issued by a national title insurance company,
together with complete legible copies of all documents reference therein.

b.                                      ALTA as-built surveys
and legal descriptions of each parcel comprising the Property in insurable
form.

c.                                       Real estate tax bills
for each parcel comprising the Property for the three most recently ended tax
years and, the extent available, for the current tax year.  Also, the most recent tax assessment for each
parcel comprising the Property, any current or threatened betterment
assessments, and complete files on any pending tax appeal proceedings.

d.                                      A detailed listing of
all capital expenditures on the Property made during the last three years.

e.                                       All existing and
proposed leases, lease proposals and standard lease forms.

f.                                         All service contracts,
management agreements, leasing agreements, reciprocal easement and/or operating
agreements, common area maintenance agreements, option agreements, land
purchase agreements and other agreements relating to the Property, including
all amendments thereto.

g.                                      Any environmental,
asbestos, lead paint, engineering and other physical reports of the Property in
Seller’s possession or obtainable by Seller.

h.                                      Any appraisals of the
Property completed within the past three years.

i.                                          Operating statements
for the Property for the two most recently ended calendar years, and operating
statements for the Property through the most recently ended calendar month of
the current calendar year.  Audited
financial statements for the Property (if available) for the three most
recently ended calendar years.

j.                                          Rent-rolls for the
Property for the past three months, identifying any rental concessions
currently in effect.

k.                                       A schedule of all
licenses, permits (including grading, building and other permits for any work
currently in progress), certificates of occupancy, etc. for the Property
currently in effect together with copies thereof and of all amendments thereto.

 

 

l.                                          Zoning compliance
letters of governmental authorities and/or similar evidence that the Property
is in compliance with zoning, subdivision and other land use requirements.

m.                                    Utility bills for the
Property for the past twenty-four months, which will be made available on site.

n.                                      An inventory of all
personal property at the Property.

o.                                      Complete files and
details on any pending or threatened litigation at or affecting the Property.

p.                                      The current year’s operating,
leasing and capital budget for the Property and a proposed operating, leasing
and capital budget for the first 12 months after closing.

q.                                      As-built plans and
specifications for the Property together with a full set of soil reports.

r.                                         An incident report for
the Property for the past twenty-four months.

s.                                       A list of names of all
architects and engineers and all major subcontractors, materialmen and
suppliers used in construction and development of the Property, to the best of
Seller’s capability.

 

t.                                         Loss runs for any and
all insurance claims for the history of the Property.

 

2

 

Schedule 4.3(B)

 

Other Agreements

 

	
  Property

  	
   

  	
  Seller

  	
   

  	
  Purchase Price

  	
   

  	
  Deposit

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Capstone Commons Apartments
  

  2501 Abbott Road 

  East Lansing, MI 48823-1415

  	
   

  	
  University Commons-East
  Lansing, Ltd.

  	
   

  	
  $

  	
  22,700,000.00

  	
   

  	
  $

  	
  459,514.17

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Athens
  

  1000 Lakeside Drive 

  Athens, GA 30605

  	
   

  	
  Capstone Commons-Athens, Ltd

  	
   

  	
  $

  	
  17,950,000.00

  	
   

  	
  $

  	
  363,360.32

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Baton Rouge
  

  4600 Burbank Drive 

  Baton Rouge, LA 70820

  	
   

  	
  University Commons-Baton
  Rouge, Ltd.

  	
   

  	
  $

  	
  18,950,000.00

  	
   

  	
  $

  	
  383,603.24

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Bloomington
  

  1150 Clarizz Boulevard 

  Bloomington, IN 47401

  	
   

  	
  University
  Commons-Bloomington, IN., Ltd.

  	
   

  	
  $

  	
  28,450,000.00

  	
   

  	
  $

  	
  575,910.93

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons College
  Station – 

  Phase I 

  950 Colgate Drive 

  College Station, TX 77840

  	
   

  	
  University Commons-College
  Station, Ltd.

  	
   

  	
  $

  	
  17,700,000.00

  	
   

  	
  $

  	
  358,299.60

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons College
  Station – 

  Phase II 

  950 Colgate Drive 

  College Station, TX 77840

  	
   

  	
  University Commons-College
  Station Phase II, Ltd.

  	
   

  	
  $

  	
  6,350,000.00

  	
   

  	
  $

  	
  128,542.51

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Columbia
  

  800 Alexander Road 

  Cayce, SC 29033

  	
   

  	
  University Commons-Columbia,
  S.C., L.P.

  	
   

  	
  $

  	
  19,450,000.00

  	
   

  	
  $

  	
  393,724.70

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Eugene
  

  90 Commons Drive 

  Eugene, OR 97401

  	
   

  	
  University Commons-Eugene,
  OR., Ltd.

  	
   

  	
  $

  	
  22,450,000.00

  	
   

  	
  $

  	
  454,453.44

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Lexington
  

  845 Red Mile Road 

  Lexington, KY 40504

  	
   

  	
  University Commons-Lexington,
  KY., Ltd.

  	
   

  	
  $

  	
  21,450,000.00

  	
   

  	
  $

  	
  434,210.53

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Oxford
  

  5262 Brown Road 

  Oxford, OH 45056

  	
   

  	
  University Commons-Ohio, Ltd.

  	
   

  	
  $

  	
  20,500,000.00

  	
   

  	
  $

  	
  414,979.76

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Starkville
  

  1000 Campus View Drive 

  Starkville, MS 39759

  	
   

  	
  University Commons-Starkville,
  Ltd.

  	
   

  	
  $

  	
  10,399,900.00

  	
   

  	
  $

  	
  210,524.29

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Tuscaloosa
  

  301 Helen Keller Blvd. 

  Tuscaloosa, AL 35404

  	
   

  	
  University Commons-Tuscaloosa,
  Ltd.

  	
   

  	
  $

  	
  19,700,100.00

  	
   

  	
  $

  	
  398,787.44

  

 

 

	
  Property

  	
   

  	
  Seller

  	
   

  	
  Purchase Price

  	
   

  	
  Deposit

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University
  Commons Urbana

  1321
  Lincoln Ave.

  Urbana,
  IL 61801

  	
   

  	
  University Commons-Urbana,
  IL., Ltd.

  	
   

  	
  $

  	
  20,950,000.00

  	
   

  	
  $

  	
  424,089.05

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
  247,000,000.00

  	
   

  	
  $

  	
  5,000,000.00

  

 

2

 

Schedule 5.1.2

Existing Litigation

 

NONE

 

 

Schedule 5.1.10

Employees

 

 

RIDER I

 

 

DEPOSIT AND ESCROW AGREEMENT

 

Commonwealth
Land Title Insurance Company (“Escrowee”) hereby agrees to hold in
escrow pursuant to this Deposit and Escrow Agreement, the aggregate amount of
Five Million Dollars ($5,000,000) (“Aggregate Deposit”) to be deposited
by College Park Investments, LLC (“Buyer”) pursuant to thirteen (13)
Agreements of Sale, dated June 12, 2006, (collectively, the “Agreements”,
and each an “Agreement”), between Buyer and University Commons-East
Lansing, Ltd., Capstone Commons-Athens, Ltd., University Commons-Baton Rouge,
Ltd., University Commons-Bloomington, IN., Ltd., University Commons-College
Station, Ltd., University Commons-College Station Phase II, Ltd., University
Commons-Columbia, S.C., L.P., University Commons-Eugene, OR., Ltd., University
Commons-Lexington, KY., Ltd., University Commons-Ohio, Ltd., University
Commons-Starkville, Ltd., University Commons-Tuscaloosa, Ltd., University
Commons-Urbana, IL., Ltd. (collectively, “Sellers”, and each a “Seller”),
respectively, the provisions of which (including, without limitation, the
defined terms) are hereby incorporated herein by reference.  Escrowee shall, immediately upon receipt of
the Aggregate Deposit, deposit same in an interest bearing, money market type
escrow account with a federally insured bank or savings and loan association in
Pennsylvania.  The Aggregate Deposit has
been allocated by Buyer and Sellers to each of the Agreements as shown in Exhibit “A”
hereto, each such allocated amount constituting the Deposit under, and as
defined in, each Agreement.  Escrowee
shall pay each Deposit to each Seller, on account of the Purchase Price under
each Agreement, at Closing under each Agreement, or if Closing does not take
place under any Agreement, distribute the Deposit in accordance with the terms
of such Agreement.  In the event Buyer
terminates all Agreements during the Due Diligence Period as Due Diligence
Terminations, then Escrowee shall pay each Seller the amount of “Seller’s Share
of Deposit” in the amount shown on Exhibit “A” hereto, and all
interest accrued thereon, and shall pay Buyer “Buyer’s Share of Deposit” in the
amount shown on “Exhibit “A” hereto.

 

Seller
and Buyer agree that Escrowee is an escrow holder only and is merely
responsible for the safekeeping of the Aggregate Deposit and interest.  Escrowee is not authorized, and shall not be
required, to determine questions of fact or law.  If Escrowee shall receive notice of a dispute
as to the disposition of any Deposit, then Escrowee shall not distribute such
Deposit or interest except in accordance with written instructions signed by
both Buyer and Seller.  Pending
resolution of any such dispute, Escrowee may at its own election, and Escrowee
shall at the direction of any Seller or Buyer, pay the relevant Deposit and
interest into court.  If Escrowee pays
any Deposit and interest into court, it shall be discharged from all further
obligations hereunder with respect to that Deposit.

 

This
Escrow Agreement shall be governed by the laws of the Commonwealth of
Pennsylvania.  This Escrow Agreement may
be executed in any number of counterparts, each of which shall be deemed to be
an original and all of which shall constitute one and the same 

 

 

agreement.

 

Each
Seller represents that its Federal Tax Payer Identification Number is as stated
in Exhibit “B” hereto.  Buyer
represents that its Federal Employer Identification Number is                     .

 

Escrowee
agrees to hold the Closing Documents in escrow, to conduct Closing and to
distribute such documents as provided in the Agreement.

 

IN
WITNESS WHEREOF, Buyer, Sellers and Escrowee, for valuable consideration, each
intending to be legally bound and to bind its respective heirs, administrators,
executors, personal representatives, successors and assigns, have caused this
Deposit and Escrow Agreement to be executed and delivered as of June 12,
2006.

 

 

	
   

  	
  BUYER:

  
	
   

  	
   

  
	
   

  	
  College
  Park Investments, LLC, a Delaware limited 

  liability company

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  ESCROWEE:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Commonwealth
  Land Title Insurance Company

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  SELLER:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Capstone
  Commons-Athens, Ltd., an Alabama limited 

  partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
							

 

 

	
   

  	
  University
  Commons-Baton Rouge, Ltd., an Alabama

  limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  University
  Commons-Bloomington, IN., Ltd., an 

  Alabama limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-College Station, Ltd., an 

  Alabama limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  University
  Commons-College Station Phase II, Ltd., an 

  Alabama limited partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
						

 

 

	
   

  	
  University
  Commons, Columbia, S.C., L.P., an

  Alabama limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-East Lansing, Ltd., an Alabama 

  limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-Eugene, OR., Ltd., an Alabama 

  limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-Lexington, KY., Ltd., an 

  Alabama limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  

 

 

	
   

  	
  University
  Commons-Ohio, Ltd., an Alabama limited 

  partnership

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  University
  Commons-Starkville, Ltd., an Alabama 

  limited partnership

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-Tuscaloosa, Ltd., an Alabama 

  limited partnership

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  University
  Commons-Urbana, IL., Ltd., an Alabama 

  limited partnership

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Capstone
  Development Corp., an Alabama

  corporation, its sole general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:
  Rob Howland

  
	
   

  	
   

  	
   

  	
  Title:
  Senior Vice President

  

 

 

Exhibit “A”

 

	
  Property

  	
   

  	
  Seller

  	
   

  	
  Deposit

  	
   

  	
  Seller’s Portion of 

  Deposit

  	
   

  	
  Buyer’s Portion of 

  Deposit

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Capstone Commons Apartments
  

  2501 Abbott Road 

  East Lansing, MI 48823-1415

  	
   

  	
  University Commons-East
  Lansing, Ltd.

  	
   

  	
  $

  	
  459,514.17

  	
   

  	
  $

  	
  22,975.71

  	
   

  	
  $

  	
  436,538.46

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Athens
  

  1000 Lakeside Drive 

  Athens, GA 30605

  	
   

  	
  Capstone Commons-Athens, Ltd

  	
   

  	
  $

  	
  363,360.32

  	
   

  	
  $

  	
  18,168.01

  	
   

  	
  $

  	
  345,192.31

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Baton Rouge
  

  4600 Burbank Drive 

  Baton Rouge, LA 70820

  	
   

  	
  University Commons-Baton
  Rouge, Ltd.

  	
   

  	
  $

  	
  383,603.24

  	
   

  	
  $

  	
  19,180.16

  	
   

  	
  $

  	
  364,423.08

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Bloomington
  

  1150 Clarizz Boulevard 

  Bloomington, IN 47401

  	
   

  	
  University
  Commons-Bloomington, IN., Ltd.

  	
   

  	
  $

  	
  575,910.93

  	
   

  	
  $

  	
  28,795.55

  	
   

  	
  $

  	
  547,115.38

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons College
  Station – 

  Phase I 

  950 Colgate Drive 

  College Station, TX 77840

  	
   

  	
  University Commons-College
  Station, Ltd.

  	
   

  	
  $

  	
  358,299.60

  	
   

  	
  $

  	
  17,914.98

  	
   

  	
  $

  	
  340,384.62

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons College
  Station – 

  Phase II 

  950 Colgate Drive 

  College Station, TX 77840

  	
   

  	
  University Commons-College
  Station Phase II, Ltd.

  	
   

  	
  $

  	
  128,542.51

  	
   

  	
  $

  	
  6,427.12

  	
   

  	
  $

  	
  122,115.39

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Columbia
  

  800 Alexander Road 

  Cayce, SC 29033

  	
   

  	
  University Commons-Columbia,
  S.C., L.P.

  	
   

  	
  $

  	
  393,724.70

  	
   

  	
  $

  	
  19,686.23

  	
   

  	
  $

  	
  374,038.47

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Eugene
  

  90 Commons Drive 

  Eugene, OR 97401

  	
   

  	
  University Commons-Eugene,
  OR., Ltd.

  	
   

  	
  $

  	
  454,453.44

  	
   

  	
  $

  	
  22,722.67

  	
   

  	
  $

  	
  431,730.77

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Lexington
  

  845 Red Mile Road 

  Lexington, KY 40504

  	
   

  	
  University Commons-Lexington,
  KY., Ltd.

  	
   

  	
  $

  	
  434,210.53

  	
   

  	
  $

  	
  21,710.53

  	
   

  	
  $

  	
  412,500.00

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Oxford
  

  5262 Brown Road 

  Oxford, OH 45056

  	
   

  	
  University Commons-Ohio, Ltd.

  	
   

  	
  $

  	
  414,979.76

  	
   

  	
  $

  	
  20,748.99

  	
   

  	
  $

  	
  394,230.77

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Starkville
  

  1000 Campus View Drive 

  Starkville, MS 39759

  	
   

  	
  University Commons-Starkville,
  Ltd.

  	
   

  	
  $

  	
  210,524.29

  	
   

  	
  $

  	
  10,526.22

  	
   

  	
  $

  	
  199,998.07

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University Commons Tuscaloosa
  

  301 Helen Keller Blvd. 

  Tuscaloosa, AL 35404

  	
   

  	
  University Commons-Tuscaloosa,
  Ltd.

  	
   

  	
  $

  	
  398,787.44

  	
   

  	
  $

  	
  19,939.38

  	
   

  	
  $

  	
  378,848.06

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  University
  Commons Urbana

  1321
  Lincoln Ave.

  Urbana,
  IL 61801

  	
   

  	
  University Commons-Urbana,
  IL., Ltd.

  	
   

  	
  $

  	
  424,089.05

  	
   

  	
  $

  	
  21,204.45

  	
   

  	
  $

  	
  402,884.60

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  $

  	
  5,000,000.00

  	
   

  	
  $

  	
  250,000.00

  	
   

  	
  4,750,000.00

  	
   

  

 

 

Exhibit “B”

 

Partnership Tax Payer ID Numbers:

 

 

SCHEDULE I

 

The
individual purchase prices and deposits with respect to each of the properties
is provided in Schedule 4.3(b) to this form Agreement of Sale.

 

The
responsibilities regarding the payment of closing expenses for each of the
properties vary with respect to the individual Agreement of Sale for each such
property, based upon the customs of the state in which the property is located.

 

The
form of deed and closing documents attached as exhibits to this form Agreement
of Sale vary with respect to the state in which each of the properties is
located.

 

Seller’s
right to receive damages, as set forth in Section 12 of this form
Agreement of Sale, differ with respect to each separate Agreement of Sale in
proportion to the purchase price for each individual property.

 

Each
individual Agreement of Sale contains certain immaterial modifications from
those set forth in this form Agreement of Sale, which modifications are based
on varying state law regarding warranties and mechanics liens.

 

The
Agreement of Sale relating to the property located in Starkville, Mississippi
provides for a drainage easement and an access easement granting the seller an
access right to the property the seller is retaining and the right to drain
into one of the water-retention basins located on the property to be conveyed
to the buyer.  The seller also has agreed
to share in the cost of maintaining the access routes and the retention basin.
This Agreement of Sale also contains a representation from the seller that the
property the seller is retaining has been legally subdivided form the property
the seller is conveying to the buyer.

 

The
Agreement of Sale relating to the property located in Tuscaloosa, Alabama
provides for a drainage easement and an access easement granting the seller an
access right to the property the seller is retaining and the right to drain
into one of the water-retention basins located on the property to be conveyed
to the buyer.  In addition, this
agreement contains a provision granting an easement to the seller to utilize a
parking area located on the property to be conveyed to the buyer.  The seller has agrees to share in the cost of
maintaining the access routes, parking area and retention basin.  This Agreement of Sale also contains a
representation from the seller that the property the seller is retaining has
been legally subdivided from the property the seller is conveying to the buyer.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00110-of-00352.parquet"}]]