Document:

Exhibit 10.11

 

HOTEL LEASE

 

between

 

GANO HOLDINGS, LLC, a Rhode Island limited
liability company, as Landlord

 

and

 

PHR
GANO OPCO SUB, LLC, a Delaware limited liability company, as Tenant

 

Dated as of February 27, 2020

 

 

Hilton Garden Inn, Providence, RI

220 India Street, Providence RI

 

     

     

    

 

	 	TABLE OF CONTENTS

 

	 	 
	 	 	 	Page
	 	 	 	 
	ARTICLE I DEFINITIONS	 	1
	 	 	 
	ARTICLE 2 DEMISE AND TERM	 	5
	2.1	Demise	 	5
	2.2	Term	 	5
	2.3	Termination Upon Sale by Landlord	 	6
	2.4	Effect of Termination	 	6
	 	 	 	 
	ARTICLE 3 RENT	 	6
	3.1	Rent	 	6
	3.2	Apportionments	 	7
	3.3	Additional Rent	 	7
	3.4	Late Charge	 	8
	3.5	Intentionally Omitted	 	8
	3.6	Personal Property Limitation	 	8
	3.7	Sublease Rent Limitation	 	8
	3.8	No Commingling of Funds	 	8
	3.9	Manager; Management	 	8
	3.10	Books and Records	 	9
	3.11	Rent without Setoff	 	10
	3.12	Rent Acceptance	 	10
	3.13	Place Where Rent Paid	 	10
	3.14	Key Money	 	10
	 	 	 	 
	ARTICLE 4 USE	 	11
	4.1	General Operating Covenants	 	11
	4.2	Prohibited Uses	 	11
	4.3	Records.	 	11
	4.4	Guests	 	12
	4.5	Advertising and Promotion	 	12
	4.6	Services and Purchases.	 	12
	4.7	Permits	 	12
	4.8	Compliance with Law, Franchise Agreement and Mortgages.	 	12
	4.9	Payment of Taxes.	 	13
	4.10	Removal of Liens	 	14
	4.11	Utilities	 	14
	4.12	Notice to Landlord	 	14
	4.13	Franchise Agreement.	 	15
	4.14	Representations, Warranties and Covenants of Landlord	 	16
	4.15	Representations and Warranties of Tenant	 	16
	4.16	Mutual Representations, Warranties and Covenants of Landlord and Tenant.	 	18
	4.17	“As Is” Leased Property	 	18

 

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	4.18	Third Party Manager	 	18
	 	 	 	 
	ARTICLE 5 FINANCIAL STATEMENTS; TRANSACTIONS WITH AFFILIATES	 	19
	5.1	Financial Statements to be Provided by Tenant	 	19
	5.2	Transactions with Affiliates	 	19
	 	 	 	 
	ARTICLE 6 MAINTENANCE, REPAIRS AND ALTERATIONS	 	19
	6.1	Maintenance and Repairs	 	19
	6.2	Alterations	 	19
	6.3	Capital Expenditures	 	20
	 	 	 	 
	ARTICLE 7 LIABILITY CLAIMS AND INSURANCE	 	20
	7.1	Waiver of Claims	 	20
	7.2	Liability Insurance	 	20
	7.3	Property Insurance	 	21
	7.4	Business Interruption Coverage.	 	21
	7.5	Waiver of Subrogation	 	21
	7.6	Other	 	21
	7.7	Single Policy	 	22
	 	 	 	 
	ARTICLE 8 DEFAULT AND TERMINATION	 	22
	8.1	Tenant Default	 	22
	8.2	Collateral Assignment	 	23
	8.3	Landlord’s Remedies	 	23
	8.4	Surrender of the Leased Property	 	23
	8.5	Landlord’s Right to Cure	 	24
	8.6	Tenant’s Bankruptcy or Insolvency	 	24
	8.7	Attorneys’ Fees	 	25
	8.8	Remedies Cumulative	 	25
	8.9	Liability for Tenant’s Obligations	 	25
	8.10	Default by Landlord	 	25
	8.11	Holding Over	 	25
	 	 	 	 
	ARTICLE 9 CASUALTY OR CONDEMNATION	 	26
	9.1	Restoration	 	26
	9.2	Condemnation	 	26
	 	 	 	 
	ARTICLE 10 ASSIGNMENT AND SUBLETTING	 	27
	10.1	Assignment or Subletting	 	27
	10.2	Notice	 	27
	10.3	Continued Primary Liability	 	27
	10.4	Miscellaneous	 	27
	 	 	 	 
	ARTICLE 11 SUBORDINATION	 	27
	11.1	Subordination.	 	27
	 	 	 	 
	ARTICLE 12 MISCELLANEOUS	 	29
	12.1	Quiet Enjoyment	 	29

 

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	12.2	Landlord’s Right of Entry	 	29
	12.3	Estoppel Certificates	 	29
	12.4	Delivery of Notices	 	29
	12.5	Notices	 	29
	12.6	No Broker	 	30
	12.7	Quarterly Meetings	 	30
	12.8	No Joint Venture	 	31
	12.9	Partial Invalidity	 	31
	12.10	Third Parties	 	31
	12.11	Waivers and Enforcement	 	31
	12.12	Modification	 	31
	12.13	Non-Recourse Liability	 	31
	12.14	Captions	 	32
	12.15	Time of Essence	 	32
	12.16	Successors and Assigns	 	32
	12.17	No Recordation	 	32
	12.18	Name	 	32
	12.19	Survival	 	32
	12.20	Confidentiality	 	32
	12.21	Conveyance by Landlord	 	32
	12.22	Governing Law	 	33
	12.23	Counterparts	 	33

 

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HOTEL LEASE

 

THIS HOTEL LEASE (this
 “Lease”) is made and entered into as of the 27th day of February 2020, by and between GANO HOLDINGS,
LLC, a Rhode Island limited liability company, having its principal office at c/o Procaccianti Companies, 1140 Reservoir Avenue,
Cranston, Rhode Island 02920-6320 (“Landlord”), and PHR GANO OPCO SUB, LLC, a Delaware limited liability company,
having its principal office at c/o Procaccianti Companies, 1140 Reservoir Avenue, Cranston, Rhode Island 02920-6320 (“Tenant”).

 

RECITALS

 

A.            Landlord
is the owner of the real property located at 220 India Street, Providence, RI and legally described on Exhibit A attached
hereto (the “Land”) and all improvements thereon, including the building that is being operated as a hotel consisting
of 137 guest rooms, and other facilities. The Property (as hereinafter defined) and that portion of the FF&E (as hereinafter
defined) that is owned by Landlord (and not paid for herein by Tenant) are hereinafter collectively referred to as the “Leased
Property”.

 

B.            Landlord
desires to lease the Leased Property to Tenant and Tenant desires to lease the Leased Property from Landlord, all on the terms
and conditions set forth herein.

 

AGREEMENT

 

In consideration of
the mutual covenants contained herein, the receipt and sufficiency of which are hereby acknowledged, Landlord and Tenant agree
as follows:

 

ARTICLE
I

DEFINITIONS

 

In addition to other
terms that are defined elsewhere in this Lease, the following terms shall have the meanings set forth below when used herein:

 

“Additional
Rent” has the meaning set forth in Section 3.3.

 

“Affiliate”
means, with respect to any Person, any other Person (a) directly or indirectly controlled by, controlling or under direct or indirect
common control with the Person in question, (b) who owns, directly or indirectly, 5% or more of the equity interest of the Person
in question, or (c) who is an immediate family member (e.g., a parent, spouse, sibling, child or grandchild) of the Person in question.
For the purposes of this definition, “control” when used with respect to any specified Person means the power to direct
the management and policies of such Person, directly or indirectly, whether through the ownership of voting securities or other
beneficial interest, by contract or otherwise; and the terms “controlling” and “controlled” have the meanings
correlative to the foregoing.

 

“Assigned
Items” has the meaning set forth in Section 2.1.

 

“Base Rent”
has the meaning set forth in Section 3.1.

 

     

     

    

 

“Code”
means the Internal Revenue Code of 1986, as amended from time to time, or any corresponding provision or provisions of prior or
succeeding law.

 

“Commencement
Date” means February 27, 2020.

 

“Consumer
Price Index” means the Consumer Price Index for All Urban Consumers (CPI-U) for the U.S. City Average for All Items,
1982-84=100 as published by the United States Department of Labor, Bureau of Labor Statistics. If the Consumer Price Index shall
cease to use 1982-84 as the base period, the Consumer Price Index shall be converted in accordance with the conversion factor,
if any, published by the United States Department of Labor, Bureau of Labor Statistics. If the Consumer Price Index is discontinued
or revised during the Term hereof such other governmental index or computation, if any, with which it is replaced shall be used.
If no conversion factor is supplied by the United States Department of Labor, Bureau of Labor Statistics, either for a new base
year or a new index, the parties hereto shall agree upon a replacement for the Consumer Price Index to be used.

 

“Cut-Off Time”
means 12:01 a.m. on the Commencement Date.

 

“Debtor’s
Law” has the meaning set forth in Section 8.6.

 

“Default Interest
Rate” means an annual rate equal to the Prime Rate, plus five percent (5%).

 

“Event of
Default” has the meaning set forth in Section 8.1.

 

“Executive
Order 13224” has the meaning set forth in Section 4.15(e)(i).

 

“Expiration
Date” has the meaning set forth in Section 2.2.

 

“FF&E”
means the furniture, furnishings, equipment, fixtures, apparatus and other personal property used in, or held in storage for use
in, the operation of the Hotel, or any replacement or substitution of such furniture, furnishings, equipment, fixtures or apparatus.

 

“Fixed Rent”
has the meaning set forth in Section 3.1(a).

 

“Foreclosure
Purchaser” means the holder of a Mortgage or the designee or assignee of the holder of a Mortgage in the case of a deed-in-lieu
of foreclosure, or the purchaser in a foreclosure proceeding.

 

“Franchise”
means the franchise rights of Tenant under the Franchise Agreement.

 

“Franchise
Agreement” means that certain Franchise Agreement dated on or about the date hereof, between Franchisor and Tenant, for
the use of the franchise rights, the “Hilton Garden Inn” trademark, services and related rights, subject to the obligations
and limitations set forth therein, as amended from time to time, and any substitute therefor mutually agreed to by Franchisor and
Tenant.

 

“Franchisor”
means Hilton Franchise Holding LLC.

 

    2

     

    

 

“GAAP”
has the meaning set forth in Section 3.1(d).

 

“Governmental
Authority” means any federal, state, county or municipal government and any appropriate department, commission, board
or other authority having jurisdiction over the Hotel now or hereafter in force, including, without limitation, any alcoholic beverage
control board, health inspector, the Board of Fire Underwriters, and any insurance company providing the insurance required to
be carried under this Lease.

 

“Gross Revenue”
has the meaning set forth in Section 3.1(d).

 

“Hazardous
Materials” means any flammables, explosives, radioactive materials, hazardous wastes, hazardous and toxic substances
or related materials, asbestos or any material containing asbestos, or any other substance or material included in the definition
of “hazardous substances”, “hazardous wastes”, “hazard materials”, “toxic substances”,
 “contaminants” or any other pollutant, or otherwise regulated by any federal, state or local environmental law, ordinance,
rule or regulation, including the Comprehensive Environmental Response Compensation and Liability Act of 1980, as amended, the
Hazardous Materials Transportation Act, as amended, and the Resource Conservation and Recovery Act, as amended, and in the regulations
adopted and publications promulgated pursuant to each of the foregoing Acts.

 

“Hotel”
means the hotel operated on the Land by Tenant, currently commonly known as the Hilton Garden Inn, Providence, and all improvements
constructed thereon, all related FF&E, and all rights appurtenances and interests in connection therewith.

 

“Hotel Personalty”
has the meaning set forth in Section 3.6(a).

 

“Land”
has the meaning set forth in Recital A.

 

“Landlord”
has the meaning set forth in the preamble.

 

“Law”
has the meaning set forth in Section 4.8(a).

 

“Lease”
has the meaning set forth in the preamble.

 

“Lease Year”
means a consecutive twelve-month period, commencing on the first day of the first full month after the Commencement Date, except
that the final Lease Year shall end on the Expiration Date (unless this Lease shall be sooner terminated in accordance with its
terms).

 

“Leased Property”
has the meaning set forth in Recital A.

 

“Licenses”
has the meaning set forth in Section 4.7.

 

“Lien”
has the meaning set forth in Section 4.10.

 

“Management
Agreement” means that certain Management Agreement, dated as of the date hereof, between Tenant and Manager for the management
and operation of the Hotel, as amended from time to time, and any substitute therefor mutually agreed to by Manager and Tenant.

 

    3

     

    

 

“Manager”
means GANO Hotel Manager, LLC.

 

“Mortgage”
means any first mortgage, deed of trust, deed to secure debt or other security instrument recorded against all or any portion of
the Property for current indebtedness of Landlord and all renewals, modifications, refinancings, rearrangements, consolidations,
replacements and extensions thereof, as evidenced or deemed to be evidenced by any mortgage, deed of trust, deed to secure debt,
assignment of leases or profits, security agreement or fixture filing from Landlord to a lender.

 

“Notices”
has the meaning set forth in Section 12.5.

 

“OFAC”
has the meaning set forth in Section 4.15(e)(i).

 

“OFAC Lists”
has the meaning set forth in Section 4.15(e)(i).

 

“Officer’s
Certificate” has the meaning set forth in Section 3.1(c).

 

“Operating
Supplies” means all supplies, except for FF&E and kitchen, restaurant and bar equipment, used or held in storage
for future use in connection with operation of the Hotel in accordance with the Operational Standards, including, without limitation,
all engineering, maintenance and housekeeping supplies, guest room cleaning supplies, soap and other toiletries, toilet paper,
stationery, writing pens, office supplies, and food and beverages of all kinds.

 

“Operational
Standards” means the operating standards required for the Hotel to be operated as a first-class, hotel staffed and equipped
and having inventories comparable to other similar first-class hotels in comparable metropolitan areas in the United States, and
at all times in accordance with the requirements established and set forth by the Franchisor.

 

“Parking Contracts”
means any agreements providing for vehicle parking (valet or otherwise) rights associated with the guests, invitees or employees
of the Hotel.

 

“Percentage
Rent” has the meaning set forth in Section 3.1(b).

 

“Person”
means any individual, corporation, partnership, limited liability company, association, trust or other entity or organization.

 

“Personal
Property Limitation” has the meaning set forth in Section 3.6(a).

 

“Persons Within
Tenant’s Control” means all of Tenant’s subtenants and assignees, and all of their respective principals,
officers, agents, contractors, servants, employees, licensees, guests and invitees.

 

“Prime Rate”
means the prime rate of interest published from time to time (and as the same may be changed from time to time) in the Money Rates
section of The Wall Street Journal, or its successor publication, from time to time.

 

“Property”
means the Land and the Hotel, in whole or in part, and all improvements, FF&E, appurtenances, rights and interests relating
thereto.

 

    4

     

    

 

“Proposed
Party” has the meaning set forth in Section 10.2.

 

“Renewal Term”
has the meaning set forth in Section 2.2.

 

“Rent”
means Base Rent, Additional Rent, Percentage Rent and any other sum payable from Tenant to Landlord pursuant to this Lease.

 

“Required
Improvements” has the meaning set forth in Section 4.13(b).

 

“Service Contracts”
has the meaning set forth in Section 4.6(a).

 

“Tenant”
has the meaning set forth in the preamble.

 

“Tenant’s
Representative” has the meaning set forth in Section 8.6.

 

“Term”
has the meaning set forth in Section 2.2.

 

The terms “herein,”
 “hereof,” “hereunder” and like terms, unless otherwise specified, shall be deemed to refer to this Lease
in its entirety and shall not be limited to any particular section or provision hereof. The terms “include” and “including”
as used herein shall be deemed to mean “including, but not limited to.” References herein to “Sections,”
and “Exhibits” shall be deemed to respectively mean sections of and exhibits to this Lease unless otherwise specified.

 

ARTICLE
2

DEMISE AND TERM

 

2.1            Demise. Upon the terms and conditions hereinafter set forth and in consideration of the payment from time to time
by Tenant of the Rent and the prompt performance by Tenant and Landlord of each and every one of the respective covenants and agreements
hereinafter contained to be kept and performed by Tenant and Landlord, the performance of each and every one of which is declared
to be an integral part of the consideration to be furnished respectively by Tenant and Landlord, (i) Landlord does hereby lease,
let and demise unto Tenant, and Tenant does hereby lease of and from Landlord, for the Term, at the Rent and upon all of the other
provisions of this Lease, the Leased Property together with any and all improvements now or hereafter erected or installed thereon
relating to the Leased Property and all present or future appurtenances, rights, service contracts, equipment leases, privileges,
licenses and easements benefiting, belonging or pertaining thereto; and (ii) effective as of the Commencement Date, Landlord does
hereby assign to Tenant and Tenant does hereby assume from Landlord, for the Term, all of Landlord’s right, title and interest
in and to, and all of Landlord’s obligations under, the Parking Contracts, the Service Contracts, the Licenses, the hotel
reservations and any proprietary rights, records, documents and intangible property required in the ordinary course of business
in operating the Hotel (collectively, the “Assigned Items”).

 

2.2            Term. The term of this Lease (the “Term”) shall commence on the Commencement Date and shall continue
until the tenth (10th) anniversary of the first full month of this Lease, or such earlier date upon which this Lease
is sooner terminated in accordance with its terms (the “Expiration Date”). Provided that no Event of Default
shall have occurred and be continuing, this Lease shall automatically extend for two (2) renewal terms of five (5) years each

    5

     

    

 

(each
a “Renewal Term”) unless Tenant elects, by providing notice to Landlord no later than 12 months prior to then
next scheduled expiration of the Term or Renewal Term of this Agreement to terminate this Agreement upon the expiration of the
then current Term or Renewal Term. Base Rent and Percentage Rent shall be renegotiated by Landlord and Tenant prior to the commencement
of each Renewal Term at rental rates with shall be “market rent” (meaning such rent which a willing tenant would pay
a willing landlord to lease the Leased Property taking into account the terms and conditions of this Lease and permitting compliance
with Sections 3.6 and 3.7 hereof) which shall be evidenced by a transfer pricing report prepared by an independent national
accounting firm. All of the terms, covenants and provisions of this Agreement shall apply to each Renewal Term. Tenant shall have
no right to extend the Term beyond the expiration of third Renewal Term. If Tenant does not give notice that it elects to terminate
this Agreement in accordance with this Section 2.2, this Lease shall automatically renew at the end of the Term or Renewal
Term then in effect as provided in the this Section 2.2.

 

2.3            Termination Upon Sale by Landlord. Notwithstanding anything to the contrary contained herein, the Term shall automatically
expire and this Lease shall automatically terminate immediately upon completion of a sale by Landlord of Landlord’s interest
in all or substantially all of the Leased Property.

 

2.4            Effect of Termination. Upon any termination of this Lease, Tenant shall pay to Landlord any Rent due and payable
as of the date of such termination.

 

ARTICLE
3

RENT

 

3.1           
Rent. Tenant agrees to pay for use of the Leased Property during each Lease Year (or partial Lease Year, if applicable
with respect to the first and last Lease Year), the rent (the “Base Rent”) equal to the sum of Fixed Rent and
Percentage Rent, as each are calculated in accordance Schedule 3.1 attached hereto and made a part hereof.

 

(a)           “Fixed Rent” shall have the meaning contained in Schedule 3.1.

 

(b)            “Percentage Rent” shall have the meaning contained in Schedule 3.1.

 

(c)           Tenant shall pay an amount equal to the Fixed Rent on the first (1st) day of each calendar month during the Term
(including the calendar month next succeeding the last month of the term hereof). Percentage Rent for each Lease Year shall be
payable monthly in arrears on the 15th day following the end of each calendar month based upon a written statement,
signed and certified by an officer of Tenant (an “Officer’s Certificate”) to be true and correct, setting
forth the total amount of Tenant’s Gross Revenue made during the immediately preceding calendar month. For the last month
of the Term, which shall be a partial month, the dollar thresholds set forth in Sections 3.1(b)(i) through (v) above shall be multiplied
by a fraction equal to (i) the number of days in such month divided by (ii) 30.

 

(d)           With respect to any applicable time period, “Gross Revenue” means all revenues and income of any kind
derived from the use of rooms at the Hotel, including, without limitation, revenue derived from rooms and suites rented or leased
for part of a day, a week, a

 

    6

     

    

 

month or longer, and all revenues and income of any kind derived from the sale of all food, liquor,
soft drinks or other beverages at the Hotel, including mini-bars, and the sale, rental or use of kitchen facilities and services,
conference facilities and services, meeting rooms, miscellaneous banquet income and service charges or audio/video equipment, and
all revenues and income of any kind derived from minor operating departments income from the operations of the Hotel. Notwithstanding
anything to the contrary contained herein, revenue from guests who guaranteed their arrival but did not “show”, shall
be included in Gross Revenue when collection is reasonably assured. The calculation of all types of revenue shall be determined
on the accrual method of accounting in accordance with generally accepted accounting principles consistently applied (“GAAP”)
and shall include sales made on a cash basis or on credit, but shall exclude the following items:

 

(i)        Federal,
state and municipal excise taxes and sales taxes paid by customers in connection with goods, merchandise or services purchased
by them to the extent that such taxes are separately levied, whether or not itemized on the customer’s bill or checks; and

 

(ii)        Service
charges or tips paid directly to employees if not separately itemized or if not included in package prices on the customer’s
bill or checks; and

 

(iii)        All
applicable room, excise, sales and use taxes or similar government charges collected directly from guests of the Hotel; and

 

(iv)        Revenues
from the sale or financing of all or any part of the Leased Property, the operating inventory, or surplus items; and

 

(v) Except for proceeds
under any business interruption policies, any insurance or condemnation proceeds related to the Leased Property.

 

(e)           Landlord and Tenant hereby agree to allocate fairly (based on relative value) the Base Rent payments between the lease of
the Hotel, on the one hand, and the lease of the Hotel Personalty, on the other hand.

 

3.2           Apportionments. In the event that Tenant receives any income or incurs any expenses attributable to the period prior
to the Cut-Off Time, Tenant shall assign such items of income and expense to the designee of Landlord, and Landlord’s designee
shall retain all such income and pay all such expenses attributable to this period. In the event that Landlord receives any income
(or a credit therefor in connection with Landlord’s purchase of the Leased Property) or incurs any expense attributable to
the period following the Cut-Off Time, and Tenant would have been entitled to such income or responsible for such expense had such
income or expense been received or incurred directly by Tenant, Landlord shall assign such items of income and expense to Tenant,
and Tenant shall retain such income and pay all such expense attributable to this period.

 

3.3           Additional Rent. All payments (whether or not specifically denoted as such) to be made by Tenant pursuant to the
provisions of this Lease in addition to Base Rent shall constitute “Additional Rent”.

 

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3.4           Late Charge. Any amount payable hereunder that shall not have been paid within ten (10) days after the date on which
the same shall become due and payable shall bear interest at a rate equal to eighteen percent (18%) per annum, compounded monthly,
but in no event in excess of the maximum rate permitted by applicable law.

 

3.5             
Intentionally Omitted.

 

3.6             
Personal Property Limitation.

 

(a)           Anything contained in this Lease to the contrary notwithstanding, the amount of Hotel Personalty subject to this Lease shall
be limited so that the rents attributed to Hotel Personalty shall not exceed fifteen percent (15%) of the total rents from all
property demised under this Lease determined at the time that the Hotel Personalty is placed in service (the “Personal
Property Limitation”). “Hotel Personalty” is defined to include, without limitation, all property
related to the Hotel that is not “real property” within the meaning of Treas. Reg. Section 1.856-10. Landlord and Tenant
shall at all times cooperate in good faith and use their best efforts to permit Landlord to comply with the Personal Property Limitation,
which compliance may include, without limitation, the purchase by Tenant at fair market value of personal property used in the
operation of the Hotel sufficient to permit compliance with the Personal Property Limitation set forth in this Section 3.6. All
such compliance shall be effected in a manner that has no material net economic detriment to Tenant. This Section 3.6 is intended
to ensure that the rents from personal property fall below the fifteen percent (15%) limitation of Section 856(d)(1) of the Code
and shall be interpreted in a manner consistent with such intent.

 

(b)           If and to the extent the ownership of any portion of the Hotel Personalty would cause the Base Rent not to qualify as “rents
from real property” for purposes of Section 856(d)(1) of the Code, or if deemed appropriate or desirable by Landlord, Tenant
agrees that, upon request of Landlord, Tenant will acquire such of the Hotel Personalty at its fair market value as Landlord shall
reasonably specify, and Landlord and Tenant agree to adjust the Base Rent (including any revenue breakpoints set forth in the Percentage
Rent) to appropriately reflect such acquisition, and Landlord and Tenant agree to amend this Lease accordingly.

 

3.7            Sublease Rent Limitation. Anything contained in this Lease to the contrary notwithstanding, Tenant shall not sublet
the Hotel or enter into any similar arrangement on any basis such that the rental or other amounts to be paid by the sublessee
thereunder would be based, in whole or in part, on either (a) the net income or profits derived by the business activities of the
sublessee, or (b) any other formula such that any portion of the Rent would fail to qualify as “rents from real property”
within the meaning of Section 856(d)(1) of the Code, or any similar or successor provision thereto.

 

3.8            No Commingling of Funds. Tenant shall not commingle monies received and held by Tenant from the possession and operation
of the Leased Property with any other funds of Tenant or of any other Person.

 

3.9            Manager; Management.

 

(a)           Pursuant to the Management Agreement, Manager has agreed to manage the Leased Property on the terms and conditions contained
therein. Tenant shall (i) at all

 

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times comply with the terms and conditions contained in the Management Agreement, (ii) do all
things necessary to preserve and keep unimpaired its material rights under the Management Agreement and (iii) notify Landlord in
writing of any default, alleged default, or event which with notice or the passage of time would constitute a default under the
Management Agreement, which default or event shall be and constitute a default hereunder.

 

(b)           Tenant hereby covenants and agrees to promptly enforce the performance and observance of all of the material covenants and
agreements required to be performed and/or observed by Manager under the Management Agreement and all of its rights and remedies
under the Management Agreement against Manager.

 

(c)           Tenant hereby covenants and agrees not to do any of the following without the prior written consent of Landlord: (i) surrender,
terminate or cancel the Management Agreement, (ii) reduce or consent to the reduction of the term of the Management Agreement,
(iii) increase or consent to the increase of the amount of any charges under the Management Agreement, or (iv) otherwise modify,
change, supplement, alter or amend in any material adverse respect any of the provisions of the Management Agreement or any of
Tenant’s rights and remedies under the Management Agreement.

 

(d)           If Tenant receives any notice of or becomes aware of a violation or circumstances likely to result in a violation of the
Management Agreement, Tenant shall promptly deliver to Landlord written notice of such violation or circumstances and, to the extent
the same is the responsibility of Tenant under this Lease, take all remedial action necessary for compliance with the Management
Agreement; provided that Tenant may contest any such violation if Landlord consents to such contest by Tenant, which consent shall
not be unreasonably withheld. If Tenant contests such violation, Tenant shall hold Landlord harmless from any loss, cost, damage
or expense, including reasonable attorneys’ fees, resulting from such contest, unless the contested violation resulted from
an intentional act or omission in contravention of this Lease by Landlord, its agents or employees.

 

(e)           Tenant shall deliver to Landlord, within three (3) days after receipt of same by Tenant, copies of all written notices sent
to Tenant by Manager relating to the Management Agreement.

 

(f)            Landlord and Tenant agree to cooperate fully with each other in the event it becomes necessary to obtain an extension or
modification of the Management Agreement or a new management agreement for the Leased Property.

 

(g)           Tenant shall ensure that the Management Agreement (or any successor management agreement) obligates the Manager to provide
information Landlord deems reasonably necessary to ensure that the Manager is an “eligible independent contractor”
as such term is defined in Section 856(d)(9)(A) of the Code.

 

3.10         
Books and Records. In addition to any other requirements set forth herein (including, without limitation, Sections
4.3(a) and 5.1), Tenant covenants that, for the purposes of ascertaining the amount payable to Landlord as Percentage Rent, Tenant
shall keep books of account and other records in which full, true and correct entries will be made of all financial

 

    9

     

    

 

dealings and
actions in relation to the business and affairs of the Hotel in accordance with generally accepted accounting principles, consistently
applied, and will preserve such records and books of account throughout the Term. All such books and records shall be maintained
at the Leased Property or the principal business office of Tenant or Manager during the Term and, upon the Expiration Date, shall
be delivered to Landlord, subject to Tenant’s continuing right to review such books and records and to make copies or extracts
of the same. Landlord shall keep such books and records for five (5) years after the expiration or earlier termination of this
Lease. Landlord shall have access to such books and records during regular business hours during the Term and shall have the right,
at its expense, to make copies or extracts thereof.

 

3.11         
Rent without Setoff. Except as otherwise expressly provided herein, there shall be no deduction or setoff of any
nature whatsoever from Rent payable under this Lease, by reason of (a) any damage to or destruction of the Leased Property or any
portion thereof from whatever cause or any condemnation; (b) the lawful or unlawful prohibition of, or restriction upon, Tenant’s
use of the Leased Property, or any portion thereof, unless caused by Landlord or unless the same is a breach of warranty or covenant
by Landlord; (c) any claim that Tenant may have against Landlord by reason of any default or breach of any warranty by Landlord
under this Lease or any other agreement between Landlord and Tenant, or to which Landlord and Tenant are parties; (d) any bankruptcy,
insolvency, reorganization, composition, readjustment, liquidation, dissolution, winding up or other proceedings affecting Landlord
or any assignee or transferee of Landlord; or (e) for any other cause whether similar or dissimilar to any of the foregoing. Except
as otherwise specifically provided in this Lease, Tenant hereby waives all rights arising from any occurrence whatsoever, which
may now or hereafter be conferred upon it by law, to entitle Tenant to any abatement, reduction, suspension or deferment of the
Rent or other sums payable or other obligations to be performed by Tenant hereunder. The obligations of each party hereunder shall
be separate and independent covenants and agreements, and the Rent and all other sums payable by Tenant hereunder shall continue
to be payable in all events unless the obligations to pay the same shall be terminated pursuant to the express provisions of this
Lease.

 

3.12         
Rent Acceptance. If Landlord, at any time or times, accepts any Rent or any other sum due to it hereunder after the
same becomes due and payable, such acceptance shall not excuse delay upon any subsequent occasion, or constitute, or be construed
as, a waiver of any of Landlord’s rights hereunder as to payment of any Rent or any other sums due to it thereafter. Furthermore,
Landlord’s acceptance at any time of less than the full amount of any item of Rent due shall not be deemed a waiver of any
unpaid amount, whether or not there is any dispute thereon between Landlord and Tenant, and whether or not Tenant expressly asserts,
and/or Landlord expressly disclaims or denies, such acceptance as being in full settlement, full payment or the like of any such
dispute.

 

3.13         
Place Where Rent Paid. All Rent shall be payable to Landlord at the place provided in this Lease for the sending
of notices to Landlord, or at such other place as Landlord may specify by notice to Tenant from time to time. A place once specified
as the place for the payment of Rent shall continue until changed by notice by Landlord to Tenant.

 

3.14         
Key Money. To the extent any key money is provided by Franchisor to Tenant pursuant to the terms of any Franchise
Agreement, Tenant agrees to transfer such key money to Landlord as an advance payment of Rent.

 

    10

     

    

 

ARTICLE
4

USE

 

4.1           General Operating Covenants. During the Term, Tenant shall continuously use and occupy the Hotel as a hotel which
meets or exceeds the Operational Standards. Tenant shall operate the Hotel under the name “Hilton Garden Inn Providence,”
or such other name as Landlord may approve from time to time, and shall maintain the Hotel in compliance with all applicable Laws,
the Operational Standards, all Mortgages and the Franchise Agreement. Tenant shall proceed with diligence and exercise reasonable
good faith efforts to obtain and maintain all approvals necessary to operate and use the Hotel for its intended purpose under all
applicable Laws. Tenant shall use reasonable good faith efforts to promote the maximum possible amount of trade, commerce and business
for the Hotel. Tenant shall not hold itself out as the agent of Landlord. Upon written request from Tenant, which request shall
not be delivered more frequently than quarterly, Landlord shall perform an inspection of the Leased Property, and, promptly following
such inspection, confirm that Tenant is in compliance with this Section 4.1, or, if Tenant is not in compliance with this Section
4.1, specify any violations of this Section 4.1.

 

4.2           Prohibited Uses. Tenant will not knowingly make or permit to be made any use of the Hotel or any part thereof that
would violate any of the covenants, terms, provisions and conditions of this Lease, the Franchise Agreement or any Mortgage, or
that directly or indirectly is forbidden by applicable Laws or that may be dangerous to life, limb or property or that may invalidate
or materially increase the premium cost of any policy of insurance carried on the Leased Property or covering the operation of
the Leased Property or the Hotel. Tenant shall not, and shall not knowingly permit anyone else to, bring into, use, store or dispose
of on the Leased Property any materials or substances in violation of any applicable Laws. Tenant will not, and will not knowingly
suffer or permit the Leased Property or any part thereof to be used in any manner or permit anything to be brought into or kept
therein that would in any way materially impair or tend to materially impair the character, reputation or appearance of the Hotel
or that would materially impair or interfere with or tend to materially impair or interfere with any of the services performed
by Landlord for the Hotel or that could threaten the safety of the Hotel or any of its occupants. Tenant will not, and will not
knowingly suffer or permit the Leased Property or any part thereof to be used in any manner to conduct wagering activities by any
person who is engaged in the business of accepting wagers and who is otherwise legally authorized to engage in such business.

 

4.3            
Records.

 

(a)           In addition to any other requirements set forth herein (including, without limitation, Sections 3.10 and 5.1), Tenant shall
maintain complete books and records for the Hotel, including the books of account, guest records, front office records and general
records of the Hotel.

 

(b)           Tenant shall prepare and file all forms, reports and returns for the Hotel required by all federal, state or local laws
in connection with unemployment insurance, worker’s compensation insurance, disability benefits, income tax withholding,
and social security. Tenant shall prepare for review, approval and, where appropriate, auditing by Landlord’s independent
accounting firm, all financial statements with respect to the operation of the Hotel.

 

    11

     

    

 

4.4           Guests. Tenant shall maintain business-like relations with guests of the Hotel. Tenant shall collect with diligence
the rents and other income due from guests and concessionaires and use reasonable good faith efforts to enforce compliance with
all terms of overnight occupancy rights.

 

4.5           Advertising and Promotion. Tenant shall arrange, contract and pay for all advertising and promotion that Tenant deems
necessary for the successful operation of the Hotel in order to meet or exceed the Operational Standards.

 

4.6           Services and Purchases.

 

(a)           Tenant shall enter into, perform its obligations under, administer, pay and use reasonable good faith efforts to enforce
service contracts required in the ordinary course of business in operating the Hotel, including contracts for water, electricity,
gas, telephone, refuse removal, vermin extermination, snow removal, cable, Internet, cleaning, laundry, pool service, vending services,
fire systems inspection and testing, elevator and boiler maintenance, and all other services (collectively, “Service Contracts”)
that are provided in comparable hotels.

 

(b)          Tenant shall take reasonable measures, as directed by Landlord and as are consistent with the provisions of this Lease,
to provide for security in the Hotel.

 

(c)          Tenant shall make all payments on or before the applicable due dates required to maintain the insurance regarding the Hotel
that Tenant is required to carry under Article 7.

 

4.7           Permits. To the extent not required to be provided by Landlord, Tenant shall apply for, obtain and maintain (or shall
require Manager to apply for, obtain and maintain) for the benefit of the Hotel all licenses and permits required in connection
with the management and operation of the Hotel (collectively, “Licenses”). Landlord shall execute and deliver
any and all applications and other documents and otherwise cooperate to the fullest extent with Tenant in applying for, obtaining
and maintaining such Licenses. Tenant shall assign (or cause Manager to assign) all such Licenses for the Hotel to Landlord or
its designee upon termination of this Lease (to the extent assignable).

 

4.8           Compliance with Law, Franchise Agreement and Mortgages.

 

(a)           Subject to Section 4.8(c) below, Tenant shall comply with and abide by all applicable statutes, laws, rules, regulations,
requirements, orders, notices, determinations and ordinances of any Governmental Authority (all of the foregoing hereinafter referred
to collectively as “Laws”), and with the terms and provisions of the Franchise Agreement and any Mortgage, to
the extent performance of such terms and provisions are within the control of Tenant under this Lease.

 

(b)           Subject to Section 4.8(c) below, if Tenant receives notice of or becomes aware of a violation or circumstances likely to
result in a violation of any Law, the Franchise Agreement, or any Mortgage, Tenant shall promptly deliver to Landlord, Franchisor,
and the holder of such Mortgage written notice of such violation or circumstances and, to the extent the same is the responsibility
of Tenant under this Lease, take all remedial action necessary for

    12

     

    

 

compliance with the Law, the Franchise Agreement and any Mortgage;
provided that Tenant may contest any such violation if Landlord consents to such contest by Tenant, which consent shall not be
unreasonably withheld. If Tenant contests such violation, Tenant shall hold Landlord harmless from any loss, cost, damage or expense,
including, reasonable attorneys’ fees, resulting from such contest, unless the contested violation resulted from an intentional
act or omission in contravention of this Lease by Landlord, its agents or employees. Upon written request from Tenant, which request
shall not be delivered more frequently than quarterly, Landlord shall perform an inspection of the Leased Property, and, promptly
following such inspection, confirm that there is no violation or circumstances likely to result in a violation of any Law, the
Franchise Agreement or any Mortgage, or, if such a violation or circumstance shall exist, specify any such violation or circumstance.
In addition, Tenant shall, at Tenant’s expense, comply with all requirements set forth in the Franchise Agreement.

 

(c)           Notwithstanding the foregoing provisions of this Section 4.8, Landlord shall be solely responsible for all cost and expense
arising from the presence, suspected presence, release or suspected release of any Hazardous Materials in or into the air, soil,
surface water or ground water, or any portion thereof, at, on, about, under or within the Leased Property, including any costs
of investigation or remediation, whether prior to or subsequent to the Commencement Date; provided, however, that Tenant shall
be solely responsible for all cost and expense arising from the presence, suspected presence, release or suspected release of any
Hazardous Materials in or into the air, soil, surface water or ground water, or any portion thereof, at, on, about, under or within
the Leased Property, including any costs of investigation or remediation, if and to the extent caused by the intentional act or
willful misconduct of Tenant.

 

4.9           Payment of Taxes.

 

(a)           Tenant shall pay all taxes (including, without limitation, all ad valorem, sales and use, single business, gross receipts,
transaction, privilege, imposition, rent or similar taxes as the same relate to or are imposed upon Tenant or the business conducted
upon the Leased Property) not included in Section 4.9(b) below, water, sewer or other rents and charges, excises, tax levies,
fees (including, without limitation, license, permit, inspection, authorization and similar fees) and all other governmental charges
not included in Section 4.9(b) below, in each case whether general or special, ordinary or extraordinary, foreseen or unforeseen,
of every character in respect of the Leased Property or the business conducted thereon by Tenant (including all interest and penalties
thereon due to any failure in payment by Tenant), which at any time during or in respect of the Term hereof may be assessed or
imposed on or in respect of or be a lien upon (i) Landlord’s interest in the Leased Property; (ii) the Leased Property, any
part thereof, any rent therefrom, or any estate, right, title, or interest therein; or (iii) any occupancy, operation, use or possession
of, or sales from, or activity conducted on or in connection with the Leased Property or the leasing or use of the Leased Property
or any part thereof by Tenant, including, without limitation, (A) all social security taxes, unemployment insurance taxes, withholding
taxes and similar taxes and assessments of any nature imposed on Tenant in connection with any employees or personnel of Tenant;
(B) all hotel taxes, gross receipts taxes, amusement taxes, excise taxes, sales or use taxes, rent taxes or similar taxes as the
same relate to or are imposed upon Tenant or the business conducted upon the Leased Property (excluding the income of any sublessees,
licensees or concessionaires of Tenant, but including the rent or other amounts received by Tenant under any such subleases, licenses
or concession agreements); and (C) all personal property taxes

 

    13

     

    

 

or similar taxes or assessments with respect to any period during
the Term, it being agreed that any personal property taxes payable in part with respect to the Term and in part with respect to
periods before or after the Term shall be prorated between Landlord and Tenant based on the number of days of the period for which
such personal property tax is payable that fall within the Term and that fall outside of the Term.

 

(b)          Landlord shall pay all real property or similar taxes or assessments, whether special or general, of any nature whatsoever
assessed against the Leased Property, with respect to any period before, during or after the Term, but the foregoing shall not
include any sales, use, gross receipts, occupancy, single business, transaction, privilege, imposition, rent, ad valorem or other
tax not specifically enumerated herein.

 

4.10         
Removal of Liens. Except as contemplated under any mortgage loan associated with the Leased Property, Tenant shall
at all times keep the Leased Property free of any claim, lien, encumbrance or security interest other than liens for real and personal
property taxes and assessments not then delinquent (hereinafter collectively called a “Lien”), except for taxes
that are then due and payable and that, if not then paid, would be delinquent. In the event a Lien is asserted against the Leased
Property or any part thereof, Tenant shall immediately give Landlord written notice thereof and shall, to the extent that the Lien
would be the responsibility of Tenant hereunder, within twenty (20) days after such notice is given, take all reasonable steps
necessary for removal thereof or bonding over unless Landlord notifies Tenant in writing within such 20-day period that Landlord
wishes to contest such Lien or permit Tenant to contest such Lien. Landlord shall retain all right to contest and control all matters
involving real property tax assessments and valuations regarding the Property. Tenant shall promptly notify Landlord of any notice
received by it regarding such matters.

 

4.11         
Utilities. Tenant shall be solely responsible for, and shall promptly pay directly to the utility or service provider
the cost (including connection and other charges), of all heat, air conditioning, water, gas, electrical, light, power, sewer charges,
telephone service, and other services and utilities supplied to the Leased Property, together with any taxes thereof. Landlord
shall reasonably cooperate with Tenant in connection with any energy conservation program, provided that the same shall be accomplished
without Landlord being required to incur any out-of-pocket cost or expense thereby. If such cooperation by Landlord shall result
in any out-of-pocket cost or expense to Landlord (including reasonable attorneys’ fees and disbursements), Tenant shall nonetheless
have the right to require Landlord’s cooperation in connection therewith, provided that Tenant shall reimburse Landlord for
such out-of-pocket costs or expenses, as Additional Rent, within thirty (30) days after demand therefor.

 

4.12         
Notice to Landlord. Tenant shall promptly notify Landlord in writing:

 

(a)           if, to the actual knowledge of Tenant, the condition of the Hotel or any part thereof fails to meet any Law or the standards
imposed hereunder;

 

(b)           upon receipt by Tenant of any notice, demand or similar communication with respect to the violation of (i) any Law, (ii)
the Franchise Agreement, or (iii) the obligation of Landlord under any Mortgage;

 

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(c)           upon receipt by Tenant of any summons, notice, demand or similar communication regarding any action at law or in equity
or before any regulatory body in connection with or involving the Hotel, or any portion thereof;

 

(d)           upon receipt by Tenant of any notice or communication from an insurance carrier regarding a material change to insurance
coverages or the insurability of the Leased Property; and

 

(e)           upon receipt by Tenant of any notice or communication of any nature, written or oral, that, in the reasonable opinion of
Tenant, may have a material adverse effect on the Hotel.

 

4.13         
Franchise Agreement.

 

(a)           On or before the Commencement Date, Tenant shall deliver to Landlord a copy of the Franchise Agreement and Tenant shall
be the holder and owner of the Franchise to permit the Hotel to be operated as a “Hilton Garden Inn”.

 

(b)           Landlord acknowledges and agrees that Franchisor, as a condition to its execution of the Franchise Agreement, has required
that the Hotel undergo certain modifications or renovations (the “Required Improvements”). Landlord shall cause
such Required Improvements to be completed at Landlord’s expense and in accordance with the terms set forth by the Franchisor.
Landlord acknowledges that Tenant would be unwilling to enter into this Lease without Landlord’s commitment to complete the
Required Improvements and, as such, Landlord will receive material benefit from completing the Required Improvements.

 

(c)           Landlord shall indemnify, defend (with legal counsel reasonably approved by Tenant), and hold Tenant harmless from all causes
of action, claims, debts, liabilities, controversies, damages, costs, losses, and expenses (including reasonable attorneys’
fees) suffered or incurred by Tenant, including lost profits, by reason of Landlord’s failure to complete the Required Improvements
as required by Franchisor, except to the extent that such damage or loss is attributable to the gross negligence, willful misconduct
or fraud of Tenant.

 

(d)           Except as set forth in Section 4.13(b), Tenant shall be responsible for the performance of all obligations imposed on the
franchisee under the Franchise Agreement. Neither Landlord nor Tenant shall take any actions that violate the terms of the Franchise
Agreement. To the extent any of the provisions of the Franchise Agreement impose a greater obligation on Tenant than the corresponding
provisions of this Lease, then Tenant shall be obligated to comply with, and to take all reasonable actions necessary to prevent
breaches or defaults under, the provisions of the Franchise Agreement. It is the intent of the parties hereto that Tenant shall
comply in every material respect with the provisions of the Franchise Agreement to avoid any default under the Franchise Agreement
during the term of this Lease. In the event that it becomes necessary to obtain an extension to the Franchise Agreement or a new
franchise for the Leased Property, Landlord shall cooperate with Tenant to the extent necessary in connection therewith.

 

(e)           Tenant shall indemnify, defend (with legal counsel reasonably approved by Landlord), and hold Landlord harmless from all
causes of action, claims, debts,

 

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liabilities, controversies, damages, costs, losses, and expenses (including reasonable attorneys’
fees) suffered or incurred by Landlord, including lost profits, by reason of Tenant’s failure (or the failure of any Person
occupying all or any portion of the Leased Property under or through Tenant) to comply with the terms of the Franchise Agreement,
except to the extent that such damage or loss is attributable to the gross negligence, willful misconduct or fraud of Landlord.

 

(f)            Tenant hereby covenants and agrees to promptly enforce the performance and observance of all of the material covenants and
agreements required to be performed and/or observed by Franchisor under the Franchise Agreement and all of its rights and remedies
under the Franchise Agreement against the Franchisor.

 

(g)           Tenant hereby covenants and agrees not to do any of the following without the prior written consent of Landlord and the
holder of any Mortgage: (i) surrender, terminate or cancel the Franchise Agreement, (ii) reduce or consent to the reduction of
the term of the Franchise Agreement, (iii) increase or consent to the increase of the amount of any charges under the Franchise
Agreement, or (iv) otherwise modify, change, supplement, alter or amend in any material adverse respect any of the provisions of
the Franchise Agreement or any of Tenant’s rights and remedies under the Franchise Agreement.

 

(h)           Tenant shall deliver to Landlord, within three (3) days after receipt of same by Tenant, copies of all written notices sent
to Tenant by Franchisor relating to the Franchise Agreement.

 

(i)            If the terms of this Lease conflict with the terms of the Franchise Agreement, the terms of the Franchise Agreement shall
control.

 

4.14         
Representations, Warranties and Covenants of Landlord. Landlord hereby represents, warrants and covenants to Tenant
that as of the Commencement Date:

 

(a)           Organization; Binding and Enforceable. Landlord is a duly organized limited liability company validly existing under
the laws of the State of Delaware. Landlord has full power and authority to perform its obligations under this Lease, and this
Lease is the legal, valid and binding obligation of Landlord and is enforceable against Landlord in accordance with its terms.

 

(b)           No Conflicts; Consents Obtained. The execution and delivery of this Lease does not violate or conflict with the formation
document or the operating document of Landlord or any agreement, judgment, license, permit, order or other document applicable
to or binding upon Landlord. Landlord has obtained all consents and approvals required by any third party with respect to Landlord
in connection with the execution and delivery of this Lease.

 

4.15         
Representations and Warranties of Tenant. Tenant hereby represents and warrants to Landlord that as of the Commencement
Date:

 

(a)          Organization; Binding and Enforceable. Tenant is a limited liability company duly organized, validly existing and
in good standing under the laws of the State of Delaware. Tenant has full power and authority to perform its obligations under
this Lease, and

 

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this Lease is the legal, valid and binding obligation of Tenant, and enforceable against Tenant in accordance with
its terms.

 

(b)          No Conflicts; Consents Obtained. The execution and delivery of this Lease does not violate or conflict with the formation
document or the operating document of Tenant or any agreement, judgment, license, permit, order or other document applicable to
or binding upon Tenant. Tenant has obtained all consents and approvals required by any third party with respect to Tenant in connection
with the execution and delivery of this Lease.

 

(c)          Management Agreement. (i) The Management Agreement is in full force and effect, (ii) there is no material uncured
default, breach or violation existing thereunder by either party thereto, and (iii) to Tenant’s knowledge, no event has occurred
(other than payments due but not yet delinquent) that, with the passage of time or the giving of notice, or both, would constitute
a material default, breach or violation by either party thereunder.

 

(d)          Franchise Agreements. (i) The Franchise Agreement is in full force and effect, (ii) there is no material uncured
default, breach or violation existing thereunder by either party thereto, and (iii) to Tenant’s knowledge, no event has occurred
(other than payments due but not yet delinquent) that, with the passage of time or the giving of notice, or both, would constitute
a material default, breach or violation by either party thereunder.

 

(e)          OFAC Lists.

 

(i)        Neither
Tenant, nor any member of Tenant, nor, to Tenant’s knowledge, any Person with actual authority to direct the actions of any
member of Tenant, nor, to Tenant’s present, actual knowledge, any other Persons holding any legal or beneficial interest
whatsoever in Tenant, (A) are named on any list of persons, entities, and governments issued by the Office of Foreign Assets Control
of the United States Department of the Treasury (“OFAC”) pursuant to Executive Order 13224 – Blocking
Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism (“Executive Order
13224”), as in effect on the date hereof, or any similar list known to Tenant or publicly issued by OFAC or any other
department or agency of the United States of America (collectively, the “OFAC Lists”), (b) are included in,
owned by, controlled by, knowingly acting for or on behalf of, knowingly providing assistance, support, sponsorship, or services
of any kind to, or otherwise knowingly associated with any of the Persons referred to or described in the OFAC Lists; or (c) has
knowingly conducted business with or knowingly engaged in any transaction with any Person named on any of the OFAC Lists or any
Person included in, owned by, controlled by, acting for or on behalf of, providing assistance, support, sponsorship, or services
of any kind to, or, to Tenant’s present, actual knowledge otherwise associated with any of the Persons referred to or described
in the OFAC Lists.

 

(ii)        Neither
Tenant, nor any Persons holding any legal or beneficial interest whatsoever in Tenant (whether directly or indirectly), will conduct
business with or engage in any transaction with any Person named on any of the OFAC Lists or any Person included in, owned by,
controlled by, acting for or on behalf of, providing assistance, support, sponsorship, or services of any kind to, or otherwise
associated with any of the Persons referred to or described in the OFAC Lists.

 

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(iii)        Tenant
shall comply at all times with the requirements of Executive Order 13224; the International Emergency Economic Powers Act, 50 U.S.C.
Sections 1701-06; the United and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism
Act of 2001, Pub. L. 107-56; the Iraqi Sanctions Act, Pub. L. 101-513, 104 Stat. 2047-55; the United Nations Participation Act,
22 U.S.C. Section 287c; the Antiterrorism and Effective Death Penalty Act, (enacting 8 U.S.C. Section 219, 18 U.S.C. Section 2332d,
and 18 U.S.C. Section 2339b); the International Security and Development Cooperation Act, 22 U.S.C. Section 2349 aa-9; the Terrorism
Sanctions Regulations, 31 C.F.R. Part 595; the Terrorism List Governments Sanctions Regulations, 31 C.F.R. Part 596; and the Foreign
Terrorist Organizations Sanctions Regulations, 31 C.F.R. Part 597 and any similar laws are regulation currently in force or hereafter
enacted.

 

4.16         
Mutual Representations, Warranties and Covenants of Landlord and Tenant.

 

(a)          Single Purpose Entities. Except as otherwise permitted by this Lease, each of Landlord and Tenant hereby represents
and warrants that it has been organized as a single purpose entity, solely for the purpose of entering into this Lease and the
other agreements contemplated hereby and performing the obligations required hereunder and under the other agreements contemplated
hereby. Each of Landlord and Tenant covenants that as of the date hereof and through the Term it will comply with the special purpose
entity covenants contained in the loan documents related to any Mortgage by the Landlord.

 

(b)          No Discrimination. Each of Landlord and Tenant covenants by and for itself, its successors and assigns, and all persons
claiming under or through them, and this Lease is made and accepted upon and subject to the condition that there shall be no discrimination
against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, national
origin or ancestry in the leasing, subleasing, transferring, use or enjoyment of the Property herein leased, nor shall the Lease
itself, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation
with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants or vendees of the Property
herein leased.

 

4.17         
“As Is” Leased Property. Tenant agrees to accept the Leased Property on the Commencement Date “AS
IS” in the condition existing on the date hereof, subject to the provisions of Section 6.3 below. Landlord shall have no
obligation to do any work in order to make the Leased Property suitable and ready for occupancy and use by Tenant. Landlord shall
deliver actual possession of the Leased Property to Tenant in such condition on the Commencement Date. Tenant agrees that, except
as expressly provided herein, (a) Tenant enters into this Lease without any representations, warranties or promises, express or
implied, by Landlord, its agents, representatives, employees, servants or any other person in respect of the Leased Property, and
(b) no rights, easements or licenses are acquired by Tenant by implication or otherwise.

 

4.18         
Third Party Manager. Tenant shall have the right to cause Manager to perform all obligations of Tenant to be performed
under this Lease, provided that Tenant shall

 

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remain liable to Landlord for the performance of all such obligations, notwithstanding
any liability of Manager to Tenant.

 

ARTICLE
5

FINANCIAL STATEMENTS; TRANSACTIONS WITH AFFILIATES

 

5.1           Financial Statements to be Provided by Tenant. In addition to any other requirements set forth herein (including,
without limitation, Sections 3.10 and 4.3(a)), Tenant shall maintain accurate and complete books of account and records showing
the assets and liabilities, operations, transactions and financial condition of Tenant and the Property on an accrual basis in
accordance with GAAP. The books of account and records of Tenant and the Property shall at all times be maintained at the principal
business office of Tenant or Manager. All such books of account and records may be inspected, copied and audited by Landlord or
any of its members or their designees or representatives from time to time and upon reasonable prior notice at the office of Tenant
or Manager. Tenant shall, as and when received (or required to be received), furnish to Landlord copies of the financial statements
and reports furnished (or required to be furnished) by Manager to Tenant pursuant to the terms of the Management Agreement. In
addition, if not furnished pursuant to the immediately preceding sentence, Tenant shall furnish to Landlord, as and when required
pursuant to the terms of any Mortgage, any and all operating statements, financial statements, balance sheets, budgets and reports
regarding the Leased Property, including the Hotel, that shall be required under such Mortgage.

 

5.2            Transactions with Affiliates. In Tenant’s management and operation of the Hotel, Tenant may not purchase goods,
supplies or services from or through any of its Affiliates, except with the prior written consent of Landlord, which consent shall
not be unreasonably withheld.

 

ARTICLE
6

MAINTENANCE, REPAIRS AND ALTERATIONS

 

6.1            Maintenance and Repairs. Subject to Landlord’s performance of its obligations under this Lease with respect
to the condition of the Leased Property (including, without limitation, with respect to the Required Improvements), Tenant shall
keep and maintain the Leased Property, the heating, air conditioning, ventilating, plumbing, mechanical, electrical, telephone,
elevator, escalator, life and safety and security systems, floor and wall coverings in good order, repair and condition, including
making and paying for necessary replacements, additions and substitutions in order to maintain the Hotel in compliance with any
Mortgage, the Operational Standards, the Franchise Agreement, and all applicable Laws; provided, however, that Landlord shall have
the right to (i) participate in meetings with Tenant’s contractors performing any such repairs, replacements, additions and
substitutions and (ii) require that any such repairs, replacements, additions and substitutions be supervised by Landlord.

 

6.2            Alterations. Except for Tenant’s obligations hereunder to renew and replace (which may, without Landlord’s
consent, be made with the same, similar, or better materials and workmanship), Tenant shall not have any right to make any alterations,
changes, additions or improvements to the Hotel or the FF&E, if and to the extent such FF&E is owned by Landlord, without
the prior written consent of Landlord, which consent Landlord may withhold in

 

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its sole discretion. Any work that Tenant may perform
in the Hotel that is done with Landlord’s consent, if given, may be conditioned on (i) Landlord’s approval of Tenant’s
plans therefor, (ii) Landlord’s participation in meetings with Tenant’s contractors performing any such alterations,
changes, additions or improvements, (iii) Landlord’s supervision of the performance of any such alterations, changes, additions
or improvements, and (iv) compliance by Tenant with such terms and conditions as Landlord may reasonably impose or as are required
to maintain the quality of the improvements on the Land in accordance with the Operational Standards, any Mortgage or the Franchise
Agreement. All alterations, additions, and improvements in, on, or to the Hotel made or installed by Tenant, including carpeting
and wall covering, shall be and become a part of the realty and owned by Landlord without compensation to Tenant.

 

6.3            Capital Expenditures. Landlord shall be responsible for any capital expenditure (determined in accordance with GAAP)
necessary to operate and maintain the Leased Property in accordance with the Operational Standards.

 

ARTICLE
7

LIABILITY CLAIMS AND INSURANCE

 

7.1            Waiver of Claims. To the extent permitted pursuant to applicable Laws, Tenant agrees that Landlord, its Affiliates,
and each of their respective shareholders, directors, partners, members, officers, employees and agents, shall not be liable to
Tenant, and Tenant hereby releases said parties from any liability, for any personal injury to Tenant’s employees, invitees,
guests or licensees, for loss of income or damage to or loss of persons or personal property in or about the Hotel from any cause
whatsoever except to the extent that such damage or loss of income is attributable to the gross negligence, willful misconduct
or fraud of Landlord. To the extent permitted pursuant to applicable Laws, Landlord agrees that Tenant, its Affiliates and each
of their respective shareholders, directors, partners, members, officers, employees and agents shall not be liable to Landlord,
and Landlord hereby releases said parties from any liability for any personal injury to Landlord’s employees, invitees, guests
or licensees, for loss of income or damage or loss of income of persons or property in or about the Hotel from any cause whatsoever
except to the extent that such damage or loss is attributable to the gross negligence, willful misconduct or fraud of Tenant.

 

7.2            Liability Insurance. Tenant will secure and maintain broad form commercial general liability insurance (including
innkeeper’s legal liability insurance and dram shop insurance, if applicable) designating Landlord, Manager, and Tenant as
named insureds and Franchisor and the holder of each Mortgage as additional insureds, from financially responsible insurance companies,
covering the Hotel in forms and with limits that are in compliance with the Franchise Agreement, the Management Agreement and each
Mortgage and which are reasonable and appropriate based on the Operational Standards. The companies issuing such policies and the
form and coverage of such policies shall be subject to the prior written approval of Landlord, which approval shall not be unreasonably
withheld. Tenant shall cause Manager to maintain workers’ compensation insurance and employer’s liability insurance
in forms and amounts required by law. Tenant shall supply Landlord with certificates of insurance for all the above-described policies
of insurance. Such certificates shall provide that Tenant’s insurance may not be terminated, canceled or amended except upon
thirty (30) days’ prior written notice to Landlord.

 

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7.3            Property Insurance. Subject to the terms of Section 7.7 below, Landlord shall obtain and keep in full force and effect
 “all risk” property insurance on the Hotel, including all FF&E owned by Landlord, in compliance with each Mortgage
and the Franchise Agreement, for the full replacement cost thereof, excluding deductibles. Tenant shall insure all FF&E owned
by Tenant, in compliance with each Mortgage and the Franchise Agreement, for the full replacement cost thereof, excluding deductibles.
Landlord shall supply Tenant, and Tenant shall supply Landlord, with certificates of insurance for all the above-described policies
of insurance and each shall name Landlord, Manager, and Tenant as named insured parties. In addition, each policy maintained by
Landlord under this Section 7.3 shall name the holder of each Mortgage as loss payee. Such certificates shall provide that such
insurance may not be terminated, canceled or amended except upon thirty (30) days’ prior written notice to Landlord and Tenant.
Tenant hereby waives any claims against Landlord for any loss or damage to the Leased Property as a result of fire or other casualty
covered by insurance (unless such loss or damage is a direct result of Landlord’s negligence, willful misconduct or fraud).

 

7.4            Business Interruption Coverage.

 

(a)           Subject to the terms of Section 7.7 below, Landlord shall obtain coverage for the actual loss sustained (including rental
value) resulting from the necessary interruption of business caused by direct physical damage to or destruction of real or personal
property resulting from an occurrence covered by the insurance described in Section 7.3 above, including one hundred eighty (180)
days subsequent to completion of any required repairs or replacements necessary to return the Leased Property to a condition at
least as good as the condition prior to the interruption event and sufficient to satisfy the requirements of the Franchise Agreement,
any Mortgage and the Operational Standards. The insurance described in this Section 7.4(a) shall name Landlord as named insured
party and each mortgagee under any Mortgage as loss payee.

 

(b)           Subject to the terms of Section 7.7 below, Tenant shall obtain coverage for the actual loss of profits sustained resulting
from the necessary interruption of business caused by direct physical damage to or destruction of real or personal property resulting
from an occurrence covered by the insurance described in Section 7.3 above, including one hundred eighty (180) days subsequent
to completion of any required repairs or replacements necessary to return the Leased Property to a condition at least as good as
the condition prior to the interruption event and sufficient to satisfy the requirements of the Franchise Agreement and the Operational
Standards.

 

7.5           Waiver of Subrogation. All insurance policies described in Sections 7.1, 7.2, 7.3 and 7.4(a) shall provide for waiver
of rights of subrogation against Landlord, Tenant, Manager and the holder of each Mortgage.

 

7.6           Other. Any insurance provided by Tenant under this Article 7 may be provided under the blanket insurance policies
of Manager, which policies cover other hotel properties managed by Manager, subject, however, to the prior written approval of
Landlord (which approval shall not be unreasonably withheld) if Landlord shall have an approval right pursuant to this Article
7 over the insurance coverage being provided by any such blanket insurance policy. All premiums, costs and expenses shall be allocated
among the properties

 

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participating in such program. Coverage extended to any additional insured or additional named insured under
these policies will expire on the Expiration Date.

 

7.7            Single Policy. Notwithstanding anything to the contrary contained in this Article 7, any insurance coverage required
to be provided by Landlord under this Article 7 may be provided by Tenant on behalf of Landlord under a single policy, and any
insurance required to be provided by Tenant under this Article 7 may be provided by Landlord on behalf of Tenant under a single
policy, provided that (i) any such coverage shall otherwise comply with the foregoing provisions of this Article 7, including with
respect to the naming of loss payees, named insureds and additional insureds, (ii) in the result of an insured claim, any such
coverage shall result in the same allocation of proceeds as would have been made had the policies been maintained separately, and
(iii) notwithstanding the fact that one party may maintain insurance coverage for the benefit of the other party, the cost of insurance
under this Article 7 shall be allocated such that each party shall pay for its respective share of such insurance.

 

ARTICLE
8

DEFAULT AND TERMINATION

 

8.1            Tenant Default. The following events shall constitute a default by Tenant (subsequent to the associated notice and
cure periods set forth in this Section 8.1, each an “Event of Default”) under this Lease:

 

(a)           Tenant shall fail to pay when due and payable any of the Rent herein provided for or any other sum agreed or required by
this Lease to be paid by Tenant upon the respective dates that the same becomes due and payable and such failure shall continue
for a period of five (5) business days after written notice of non-payment from Landlord; or

 

(b)           Tenant shall fail to perform any other covenant of this Lease to be kept and performed by Tenant, and such failure shall
thereafter continue for a period of thirty (30) days after written notice from Landlord to Tenant specifying the nature of said
failure; provided that, if the default is one that cannot, by its nature, reasonably be cured within thirty (30) days, no Event
of Default will have occurred hereunder if Tenant commences reasonable and diligent efforts to cure such default within such 30-day
period after receipt of Landlord’s notice and thereafter diligently prosecutes such efforts to completion; or

 

(c)            Tenant shall file an application for, or consent to, the appointment of a receiver, trustee or liquidator of itself or of
all of its assets, or file a voluntary petition in bankruptcy or for reorganization, or have filed against it an involuntary petition
in bankruptcy which is not dismissed within sixty (60) days, or file a pleading in any court of record admitting in writing its
inability to pay its debts as they come due, or make a general assignment for the benefit of creditors or file an answer admitting
the material allegations of, or its consenting to, or defaulting in answering, a petition filed against it in any bankruptcy or
reorganization proceeding; or

 

(d)           any order, judgment or decree by any court of competent jurisdiction, is entered adjudicating Tenant as bankrupt, or appointing
a receiver, trustee or

 

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liquidator of it or of all of its assets, and such order, judgment or decree continues unstayed and in effect
for any period of ninety (90) consecutive days; or

 

(e)           the Management Agreement is terminated for any reason during the Term, unless terminated by Tenant on account of the default
or failure to perform by Manager; or

 

(f)            Tenant is in default (after notice and the expiration of applicable cure periods) under the Franchise Agreement, unless
such default is solely as a result of Landlord’s failure to comply with its obligations set forth in Section 4.13(b) hereof;
or

 

(g)           an act or omission of Tenant causes a default under the Mortgage; or

 

(h)           Tenant violates Section 12.20.

 

8.2           Collateral Assignment. To secure payment and performance of Tenant’s obligations to Landlord under this Lease,
Tenant hereby irrevocably, absolutely and unconditionally assigns, transfers and conveys to Landlord, its successors and assigns,
all of Tenant’s right, title and interest, if any, and grants to Landlord a security interest, in and to all of Tenant’s
right, title and interest in and to the property and items set forth on Exhibit B hereto. The foregoing is intended to grant
in favor of Landlord a first priority continuing lien and security interest in all of Tenant’s personal property. Tenant
authorizes Landlord (or holder of a Mortgage, on Landlord’s behalf) and its counsel to file UCC statements in form and substance
satisfactory to Landlord, describing the collateral as all assets and personal property of Tenant, whether now owned or existing
or hereafter acquired or arising and wheresoever located, including all accessions thereto and products and proceeds thereof, or
using words with similar effect. Tenant acknowledges, agrees and consents to the pledge by Landlord to any holder of a Mortgage
of Landlord’s rights, title, and interests herein as collateral security for the Landlord’s obligations to any holder
of a Mortgage.

 

8.3           Landlord’s Remedies. Upon a continuing and uncured Event of Default, Landlord shall have, in addition to all
rights and remedies provided by law, the right to terminate this Lease by delivery of written notice thereof to Tenant at any time
prior to the cure of the Event of Default.

 

8.4           Surrender of the Leased Property. Tenant shall, on the Expiration Date, or on the earlier termination hereof, peaceably
and quietly leave (subject to any continuing rights of Tenant to enter onto the Leased Property for the purposes specifically contemplated
in this Lease), surrender and yield up unto Landlord the Leased Property in good order and repair, excepting reasonable wear and
tear. Upon the termination of this Lease for any reason, (i) Landlord, or a purchaser of Landlord’s interest in the Leased
Property, shall purchase all of the Hotel Personalty (including FF&E) owned by Tenant and all of the Operating Supplies owned
by Tenant and used in connection with the Leased Property (if any) for an amount equal to the fair market value of such Hotel Personalty
and Operating Supplies as of the date of termination, (ii) Tenant shall leave at the Hotel the Hotel Personalty and Operating Supplies
not owned by Tenant (which shall be in a condition consistent with the Operational Standards), and (iii) Tenant shall assign the
Assigned Items to Landlord. Tenant shall also reasonably cooperate for thirty (30) days with any successor

 

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tenant or owner of the
Hotel upon the expiration or termination of this Lease to effect a smooth and efficient transition in the operation of the Hotel.
Upon termination of this Lease and surrender of the Hotel by Tenant, Landlord shall either assume or cause to be assumed all of
the Assigned Items and perform or otherwise cause to be performed all of Tenant’s obligations thereunder relating to any
period after the Expiration Date.

 

8.5            Landlord’s Right to Cure. Tenant agrees that, if an Event of Default occurs, Landlord may, but shall not be
obligated to, after the occurrence of the Event of Default, until the same has been cured, and after notice or demand to Tenant,
without waiving or releasing Tenant from any of Tenant’s obligations under this Lease, make any payment or perform such other
act in whole or in part to the extent Landlord may deem desirable and, in connection therewith, to pay expenses and employ legal
counsel. All sums paid by Landlord pursuant to this Section 8.5 and all reasonable expenses, including reasonable attorneys’
fees, paid in connection therewith, together with interest thereon at the Default Interest Rate calculated from the date of payment
by Landlord, shall be deemed to be Rent hereunder and shall be payable upon demand by Landlord, and Landlord shall have the same
rights and remedies for the nonpayment thereof as in the case of default in the payment of Rent.

 

8.6            Tenant’s Bankruptcy or Insolvency. If Tenant shall be subjected to the provisions of the United States Bankruptcy
Code or other law of the United States or any state thereof for the protection of debtors as in effect at such time (each a “Debtor’s
Law”), the debtor-in-possession and any trustee or receiver of Tenant’s assets (each a “Tenant’s
Representative”) shall have no greater right to assume or assign this Lease or any interest in this Lease, or to sublease
any of the Leased Property then accorded to Tenant by the specific provisions of this Lease, except to the extent Landlord shall
be required to permit such assumption, assignment or sublease by the provisions of such Debtor’s Law. Without limitation
of the generality of the foregoing, any right of any Tenant’s Representative to assume or assign this Lease or to sublease
any of the Leased Property shall be subject to the conditions that:

 

(a)           Such Debtor’s Law shall provide to Tenant’s Representative a right of assumption of this Lease which Tenant’s
Representative shall have timely exercised and Tenant’s Representative shall have fully cured any default of Tenant under
this Lease.

 

(b)           Tenant’s Representative or the proposed assignee, as the case shall be, shall have deposited with Landlord as security
for the timely payment of rent an amount equal to three (3) months’ Rent and other monetary charges accruing under this Lease,
and shall have provided Landlord with adequate other assurance of the future performance of the obligations of Tenant under this
Lease. Without limitation, such assurances shall include, at least, in the case of assumption of this Lease, demonstration to the
satisfaction of Landlord that Tenant’s Representative has and will continue to have sufficient unencumbered assets after
the payment of all secured obligations and administrative expenses to assure Landlord that Tenant’s Representative will have
sufficient funds to fulfill the obligations of Tenant under this Lease.

 

(c)           In the case of assignment, submission of current financial statements of the proposed assignee, audited by an independent
certified public accountant reasonably acceptable to Landlord and showing a net worth and working capital in amounts determined
by

 

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Landlord to be sufficient to assure the future performance by such assignee of all of Tenant’s obligations under this
Lease.

 

(d)           Any existing or proposed assumption or assignment of this Lease and any subleasing of any part or all of the Leased Property
will not breach any provision of any other lease, mortgage, financing agreement or other agreement by which Landlord is bound.

 

8.7           Attorneys’ Fees. If at any time litigation is instituted between Landlord and Tenant with respect to this Lease,
the prevailing party in such litigation may recover from the losing party all court costs, reasonable costs of litigation and reasonable
attorneys’ fees incurred or expended by the prevailing party in such action.

 

8.8           Remedies Cumulative. To the maximum extent permitted by law, each legal, equitable or contractual right, power and
remedy of Landlord or Tenant, now or hereafter provided either in this Lease or by statute or otherwise, shall be cumulative and
concurrent and shall be in addition to every other right, power and remedy and the exercise or beginning of the exercise by Landlord
or Tenant (as applicable) of any one or more of such rights, powers and remedies shall not preclude the simultaneous or subsequent
exercise by Landlord of any or all of such other rights, powers and remedies.

 

8.9           Liability for Tenant’s Obligations. Landlord covenants and agrees to look solely to Tenant (and not its Affiliates)
for all obligations of Tenant under this Lease.

 

8.10         
Default by Landlord. Landlord shall not be in default of any obligation of Landlord hereunder unless and until Landlord
has failed to perform such obligation within thirty (30) days after receipt of written notice of such failure from Tenant; provided,
however, that in the event the nature of Landlord’s obligation is such that more than thirty (30) days are required for complete
performance, Landlord shall not be in default pursuant to this Section 8.10 if Landlord commences performance within such thirty
(30) day period and thereafter diligently prosecutes such performance to completion.

 

8.11         
Holding Over. Tenant acknowledges that (a) Tenant’s complete vacancy and surrender of the Leased Property in
strict compliance with Section 8.4 (and all other provisions of this Lease) on or before the Expiration Date or earlier termination
may be critical to the sale by Landlord of the Leased Property, and (b) if Tenant or any Person occupying the Leased Property (or
any part thereof) by or through Tenant holds over past the Expiration Date for any period of time, however brief, such holding
over will compromise and deleteriously affect Landlord’s ability to timely conclude any sale of the Leased Property. In light
of the foregoing, (i) Tenant and any Person occupying the Leased Property (or any part thereof) by or through Tenant shall not
be permitted to hold over for any period of time beyond the Expiration Date for any reason or length of time, (ii) if Tenant (or
any Person holding through Tenant) shall hold over for any period whatsoever, Tenant shall be a tenant at sufferance, subject to
eviction without notice, and (iii) Tenant shall indemnify, defend (with legal counsel reasonably approved by Landlord), and hold
Landlord harmless from all causes of action, claims, debts, liabilities, controversies, damages, costs, losses, and expenses (including
reasonable attorneys’ fees) suffered or incurred by Landlord, including lost profits, by reason of Tenant’s failure
(or the failure of any Person occupying all or any portion of the Leased Property under or through Tenant) to completely vacate
and surrender

 

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the Leased Property on or before the Expiration Date in strict compliance with Section 8.4 and all other applicable
provisions of this Lease.

 

ARTICLE
9

CASUALTY OR CONDEMNATION

 

9.1          
Restoration. If, during the Term, the Hotel is damaged or destroyed by fire, casualty or other cause, Landlord shall,
at its cost and expense and with all reasonable diligence, comply with the requirements of each Mortgage, as such document pertains
to casualty and repair, and with Tenant’s directions so as to enable Tenant to comply with the requirements of the Franchise
Agreement, as such document pertains to casualty and repair. If the Leased Property, or any material part thereof, shall be rendered
untenantable by reason of such damage and such damage shall not be due to the fault of Tenant or of Persons Within Tenant’s
Control, then the Base Rent hereunder, or an amount thereof apportioned according to the area of the Leased Property so rendered
untenantable (if less than the entire Leased Property shall be so rendered untenantable), shall be abated for the period from the
date of such damage to the date when the damage shall have been repaired as aforesaid. If all or any part of the Leased Property
shall be damaged or destroyed by fire or other casualty such that the Hotel is closed and Landlord determines in its reasonable
judgment that the damage cannot be fully restored within 365 days, then either Landlord or Tenant may terminate this Lease by notice
given to the other party not later than thirty (30) days after the determination by Landlord that the Leased Property cannot be
restored within such time period. If this Lease is terminated pursuant to this Section 9.1, all insurance proceeds shall be paid
to Landlord free of any claim or interest therein whatsoever of Tenant. If this Lease is not terminated as the result of any fire
or other casualty, then, subject to the rights of the holder of each Mortgage, the proceeds of any casualty insurance or the equivalent
thereof shall be used by Landlord to pay for the cost of restoration.

 

9.2           Condemnation. If, during the Term, all or any part of or interest in the Hotel is taken by any public authority under
the power of eminent domain or by purchase in lieu thereof, Landlord shall, at its cost and expense and with all reasonable diligence,
comply with the requirements of each Mortgage, as such document pertains to condemnation and restoration, and with Tenant’s
directions so as to enable Tenant to comply with the requirements of the Franchise Agreement, as such document pertains to condemnation
and restoration. If only a part of the Leased Property shall be so condemned or taken, then effective as of the date of vesting
of title, the Base Rent and shall be abated in an amount apportioned according to the area of the Leased Property so condemned
or taken. If all or any part of or interest in the Hotel is taken by any public authority under the power of eminent domain or
by purchase in lieu thereof, such that the Hotel is closed and Landlord determines in its reasonable judgment that the Hotel cannot
be reopened within 365 days, then either Landlord or Tenant may terminate this Lease by notice given to the other party within
thirty (30) days after possession of the Leased Property has been taken. If this Lease is terminated pursuant to this Section 9.2,
then, subject to the rights of the holder of any applicable Mortgage, all awards and proceeds of condemnation shall be paid to
Landlord free and clear of any claim or interest therein whatsoever of Tenant. Tenant shall have no claim against the condemning
authority, whether for the value of its leasehold estate or otherwise.

 

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ARTICLE
10

ASSIGNMENT AND SUBLETTING

 

10.1         
Assignment or Subletting. Tenant shall not assign, transfer, mortgage, hypothecate, or encumber, by operation of
law or otherwise, this Lease, or any of Tenant’s interest herein or hereto, nor sublet the Leased Property, or any portion
thereof, nor grant any license or right of use or occupancy with respect to the Leased Property, without the prior written consent
of Landlord, which consent may be withheld by Landlord in its sole and absolute discretion. In addition, Tenant shall not do any
of the foregoing without the prior written consent of the holder of any Mortgage if and to the extent such consent is required
by such Mortgage or related loan documents. Any consent shall be specifically conditioned upon Tenant’s compliance with all
of the provisions of this Article 10. Any attempt to do otherwise shall be absolutely and unconditionally null and void and of
no force or effect whatsoever.

 

10.2         
Notice. If Tenant desires to undertake any such transaction, it shall provide Landlord with written notice of such
desire, specifying the consideration for, and all other terms and conditions of such proposed transaction, and identifying the
proposed assignee or subtenant (the “Proposed Party”). Tenant shall also provide Landlord with such corporate,
financial, and insurance information as Landlord may reasonably request concerning the Proposed Party.

 

10.3         
Continued Primary Liability. Notwithstanding any assignment, conveyance or subletting, permitted or otherwise, Tenant
shall at all times remain directly, primarily and fully responsible and liable for the payment of the Rent and for compliance with
all of its other obligations under the terms, provisions and covenants of this Lease.

 

10.4         
Miscellaneous. Notwithstanding any other provision of this Article 10 to the contrary, in connection with any proposed
assignment or subletting, (a) Tenant shall pay to Landlord all reasonable expenses, including reasonable attorneys’ fees
incurred by Landlord in connection with the transaction, (b) Tenant and its proposed party shall, within ten (10) days after notice
to do so, execute and deliver to Landlord such documents, including insurance, and take such further action, as Landlord may reasonably
require to effect such transaction or to protect Landlord’s rights, (c) the acceptance by Landlord of Rent from any other
person other than Tenant shall not be deemed a waiver by Landlord of any provision of this Lease or a consent to any transaction
subject to this Article 10, (d) the consent to any particular transaction shall not be deemed a consent to any other transaction
subject to this Article 10, and (e) the consent to any assignment, subletting or other such transfer (or the consummation of any
such transaction) shall not in any way relieve Tenant of any of its obligations under this Lease, whether arising before or after
such consent.

 

ARTICLE
11

SUBORDINATION

 

11.1         
Subordination.

 

(a)           This Lease shall be subject and subordinate to any existing or future Mortgage. Tenant shall execute such instruments as
shall from time to time be reasonably requested by the holder of the Mortgage confirming such subordinated status. Tenant agrees
that

 

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if a Foreclosure Purchaser shall succeed to the interest of Landlord in the Leased Property, (i) this Lease will terminate
by operation of law or upon written notice to Tenant from the Foreclosure Purchaser, as applicable, (ii) the holder of such Mortgage
shall not have any obligation under this Lease to Tenant, (iii) Tenant’s rights in and ownership of any FF&E or other
property or items set forth on Exhibit B hereto owned or leased by Tenant shall terminate by operation of law or upon written notice
to Tenant, as applicable (if by written notice to Tenant from the Foreclosure Purchaser, Tenant shall deliver to the Foreclosure
Purchaser such assignments and bills of sale as the Foreclosure Purchaser may require to evidence the transfer of such FF&E
and other property or items), and (iv) Tenant shall cooperate with the Foreclosure Purchaser with respect to delivery of all licenses
and permits, if any, held by Tenant.

 

(b)           In the event of any foreclosure of any Mortgage or conveyance in lieu of foreclosure, neither the Foreclosure Purchaser
nor its successors or assigns shall in any way or to any extent (i) be bound by any modification or amendment of this Lease executed
after the date of this Lease or by any existing prepayment of Rent for a period greater than one (1) month, unless such modification,
amendment or prepayment shall have been expressly approved in writing by such Foreclosure Purchaser, (ii) be bound by any assignment
of Tenant’s interest in this Lease by Tenant or by operation of law or otherwise (except for any assignment of Tenant’s
interest in this Lease by Tenant made in accordance with the terms of this Lease, which assignment shall be expressly subject to
the security interests of the holder of the Mortgage, including, without limitation, any security interests granted to Landlord
by Tenant and pledged or assigned including, without limitation, any notices by Landlord to the holder of any Mortgage as permitted
under Section 8.2 above) without the express prior written consent of such Foreclosure Purchaser, (iii) be obligated or liable
to Tenant with respect to any act or failure to act on the part of Landlord occurring prior to the transfer of title to the Foreclosure
Purchaser, or (iv) be obligated or liable to Tenant for failure to complete any proposed construction regarding the Leased Property.
Except to the extent permitted in accordance with the preceding sentence, Tenant shall have no right to assert or claim any of
the foregoing or any damages arising therefrom against the Foreclosure Purchaser, whether as an offset or defense or otherwise.

 

(c)           After notice is given to Tenant by the Foreclosure Purchaser that the rents under this Lease should be paid to the Foreclosure
Purchaser, Tenant shall pay to the Foreclosure Purchaser, or in accordance with the directions of the Foreclosure Purchaser, all
rents and other monies due and to become due to Landlord under this Lease, and Landlord hereby expressly authorizes Tenant to make
such payments to the Foreclosure Purchaser and hereby releases and discharges Tenant of and from any liability to Landlord on account
of any such payments.

 

(d)           Tenant agrees to provide to the Foreclosure Purchaser a copy of any notice, demand or request provided to Landlord under
this Lease at the address of the Foreclosure Purchaser provided to Tenant by the Foreclosure Purchaser.

 

(e)           If the terms of this Lease conflict with the terms of any Mortgage regarding the matters set forth in this Section 11.1,
the terms of the Mortgage shall control.

 

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ARTICLE
12

MISCELLANEOUS

 

12.1        
Quiet Enjoyment. Landlord covenants and agrees that Tenant, upon compliance with the obligations of Tenant hereunder,
and subject to the provisions hereof, shall lawfully and quietly enjoy the Leased Property and Tenant’s rights hereunder
during the Term without hindrance by Landlord or any Persons by, through and under Landlord.

 

12.2        
Landlord’s Right of Entry. Landlord, its employees and agents, shall have the right to enter the Hotel at reasonable
times and on reasonable notice to Tenant to examine the condition and use thereof, exhibit the same, and otherwise perform its
obligations and exercise its rights hereunder. Landlord will endeavor to examine the Hotel or otherwise perform its obligations
and exercise its rights with minimum disruption to the operation of the Hotel.

 

12.3         
Estoppel Certificates. Tenant and Landlord, from time to time within ten (10) business days following written request
by the other party or by the holder of any Mortgage of the Leased Property, shall execute, acknowledge and deliver to the requesting
party or its designee a written statement in form and substance reasonably requested by such requesting party certifying to such
requesting party or to such other Person as such requesting party may designate (i) the commencement and expiration dates of the
Term, (ii) that this Lease is unmodified and in full force and effect or, if there have been modifications, that the same is in
full force and effect as modified and setting forth the modifications, (iii) the dates to which Rent and other payments due under
this Lease from Tenant have been paid in advance, if any, and (iv) whether or not, to the best knowledge of the party signing such
certificate, the requesting party is in default in the performance of any term, covenant or condition contained in this Lease or
any Mortgage and, if so, specifying each such default of which the signing party may have knowledge. Such certificate shall also
set forth such other information regarding this Lease as may reasonably be requested or, with respect to a certificate delivered
by Tenant, regarding the Management Agreement as may be reasonably requested, including, without limitation, (A) that the Management
Agreement is in full force and effect, and (B) that there is no material uncured default, breach or violation existing thereunder
by either party thereto and that, to Tenant’s knowledge, no event has occurred (other than payments due but not yet delinquent)
that, with the passage of time or the giving of notice, or both, would constitute a material default, breach or violation by either
party thereunder.

 

12.4         
Delivery of Notices.

 

(a)          If Tenant shall give Landlord any notice of a default or breach by Landlord, Tenant shall simultaneously deliver a written
notice of such breach or default to the holder of all Mortgages.

 

(b)          If Landlord shall receive any written notice from a Governmental Authority, a mortgagee under any Mortgage or any party
commencing a litigation against Landlord or the Leased Property, Landlord shall, upon receipt of such notice, deliver a copy thereof
to Tenant.

 

12.5         
Notices. All notices, demands, consents, approvals, requests or other communications that either Landlord or Tenant
may desire or be required to give hereunder

 

    29

     

    

 

(collectively, “Notices”) shall be in writing and shall be given
by personal delivery or facsimile or United States registered or certified mail (postage prepaid, return receipt requested) addressed
as hereinafter provided, provided, however, that any Notice given by facsimile shall also be given by personal delivery or United
States registered or certified mail. Except as otherwise specified herein, the time period in which a response to any notice or
other communication must be made, if any, shall commence to run on the earliest to occur of (a) if by personal delivery, the date
of receipt, or attempted delivery, if such communication is refused; (b) if given by facsimile, the date on which such facsimile
is transmitted and confirmation of delivery thereof is received; and (c) if sent by mail (as aforesaid), the date of receipt or
attempted delivery, if such mailing is refused. Until further notice, notices and other communications under this Agreement shall
be addressed to the parties listed below as follows:

 

(a)           Each notice to Tenant shall be delivered to Tenant at the following addresses:

 

PHR GANO OPCO SUB, LLC

c/o Procaccianti Companies

1140 Reservoir Avenue

Cranston, Rhode Island 02920-6320

Attention: Ron M. Hadar, General
Counsel

 

 

(b)           Each notice to Landlord shall be delivered to Landlord at the following address:

 

GANO HOLDINGS, LLC

c/o Procaccianti Companies

1140 Reservoir Avenue

Cranston, Rhode Island 02920-6320

Attention: Ron M. Hadar, General
Counsel

 

Either party shall have the right from
time to time during the term of this Lease to change the address thereof and to specify as the address thereof any other address
within the United States of America.

 

12.6         
No Broker. Tenant and Landlord each represents and warrants to the other that no broker or finder was engaged in
connection with the execution of this Lease and each agrees to indemnify and hold the other harmless of and from and against all
liabilities, costs and expenses (including reasonable attorneys’ fees) arising from any claim by any such broker or finder
arising out of the acts of the indemnifying party.

 

12.7        
Quarterly Meetings. Landlord covenants to meet with Tenant not less frequently than quarterly (and otherwise, as
may be reasonably requested by Tenant) so as to review and consult with Tenant with respect to any and all matters concerning the
Leased Property that Tenant may desire to discuss, including, without limitation, the condition of the Leased Property.

 

    30

     

    

 

12.8         
No Joint Venture. Nothing contained in this Lease shall be construed to make Landlord and Tenant partners or joint
venturers or to render any of said parties liable for the debts or obligations of the others or to create any agency relationship
between the parties.

 

12.9         
Partial Invalidity. If any provisions of this Lease or the application thereof to any Person or circumstances shall
to any extent be invalid or unenforceable, the remainder of this Lease, or the application of such provision to Persons or circumstances
other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each provision of this Lease shall
be valid and be enforced to the fullest extent permitted by law.

 

12.10     
Third Parties. The Lease is made for the exclusive benefit of the parties hereto and their successors and assigns
herein permitted and not for any third party other than (only to the extent specifically provided in Section 11.1, 12.3 and 12.4)
the holder of any Mortgage and any Foreclosure Purchaser, and, except to such extent, nothing in this Lease, expressed or implied,
is intended to confer upon any Person, other than the parties hereto and their respective successors and permitted assigns, any
rights or remedies under or by this Lease.

 

12.11     
Waivers and Enforcement. No delay or omission by either of the parties hereto to exercise any right or power accruing
upon any non-compliance or failure of performance by the other party under the provisions of this Lease shall impair any such right
or power or be construed to be a waiver thereof. The failure herein to specify a right, power or remedy accruing upon any non-compliance
or failure of performance by either of the parties hereto shall not be construed to be a waiver thereof so as to impair the right
of the party thereby aggrieved to all remedies then available to it at law or in equity by reason of such noncompliance or failure
of performance. A waiver by either of the parties hereto of performance of any of the covenants, conditions or agreements hereof
to be performed by the other party hereto shall not be construed to be a waiver of any succeeding breach thereof or of any other
covenant condition or agreement herein contained.

 

12.12     
Modification. This Lease contains the entire agreement between the parties hereto with respect to the subject matter
hereof and supersedes all other agreements, oral or written, between the parties on or prior to the date hereof with respect to
such subject matter. None of the covenants, terms or conditions of this Lease to be kept and performed by either party to this
Lease shall in any manner be waived, modified, changed or abandoned except by written instrument duly signed, acknowledged and
delivered by the parties to this Lease. Any amendment to this Lease that is not ministerial in nature shall require the prior written
consent of Franchisor or the holder of any Mortgage to the extent required in the Franchise Agreement or in such Mortgage, as applicable.

 

12.13     
Non-Recourse Liability. Landlord and each of its officers, directors, affiliates, shareholders, members and constituent
partners, as applicable, shall in no event or at any time be personally liable for the payment or performance of any obligation
required or permitted of Landlord under this Lease or under any document executed in connection herewith. In the event of any actual
or alleged failure, breach or default by Landlord under this Lease or any such document, the sole recourse of Tenant shall be against
the interest of Landlord in the Leased Property. No attachment, execution, writ, or other process shall be sought or obtained,
and no judicial proceeding shall be initiated by or on behalf of Tenant, against Landlord (or any of

 

    31

     

    

 

Landlord’s officers,
directors, affiliates or constituent partners or shareholders) personally or Landlord’s assets as a result of any such failure,
breach, or default. In no event shall Landlord have any liability for any loss of profits, business interruptions and/or consequential
damages of Tenant.

 

12.14     
Captions. The Article and Section headings or captions are for convenience and reference only and in no way define,
limit or describe the scope or intent of this Lease, nor in any way affect this Lease.

 

12.15     
Time of Essence. Time is of the essence as to the covenants in this Lease.

 

12.16     
Successors and Assigns. All the covenants, agreements, conditions and undertakings in this Lease shall extend and
inure to and be binding upon the successors and permitted assigns of each of the parties hereto, the same as if they were in every
case named and expressed.

 

12.17     
No Recordation. Neither party shall record this Lease or any memorandum thereof.

 

12.18     
Name. Subject to the terms of the Franchise Agreement, Landlord shall have the right to change the name of the Hotel
at any time and from time to time and the right to place any signs in or on the Hotel from time to time indicating the name of
the Hotel as designated by Landlord. Landlord and Tenant shall at all times refer to the Hotel by such name as is designated by
Landlord from time to time. Tenant shall have no right to place any signs on the exterior of the Hotel without the prior written
consent of Landlord.

 

12.19     
Survival. All of the provisions of this Lease shall survive the termination of this Lease, and, except as otherwise
specifically provided herein, neither party shall be relieved from any liability hereunder accruing prior to the Expiration Date.

 

12.20     
Confidentiality. Tenant and Landlord each agree that it and its Affiliates will keep all non-public information obtained
by them with respect to the business and business terms of the parties confidential and will not provide such information to any
third parties without the prior written consent of the other party, unless required by court order or Law, except to their employees,
agents, contractors, lenders, professionals and consultants on a need-to-know basis. Notwithstanding any terms or conditions in
this Lease or any related agreement to the contrary, but subject to restrictions reasonably necessary to comply with federal or
state securities laws, any Person may disclose to any and all Persons, without limitation of any kind, the tax treatment and tax
structure of the transaction and all materials of any kind (including opinions or other tax analyses) that are provided relating
to such tax treatment and tax structure. For the avoidance of doubt, this authorization is not intended to permit disclosure of
the names of, or other identifying information regarding, the participants in the transaction, or of any information of the portion
of any materials not relevant to the tax treatment or tax structure of the transaction.

 

12.21     
Conveyance by Landlord. If Landlord or any successor owner of all or any portion of the Leased Property conveys all
or any portion of the Leased Property in accordance with the terms hereof, other than as security for debt, if the grantee or transferee
of such of the Leased Property expressly assumes and agrees to perform, by written instrument in form approved

 

    32

     

    

 

by Tenant, which
approval shall not unreasonably be withheld, all obligations of Landlord hereunder arising or accruing from and after the date
of such conveyance or transfer, Landlord or such successor owner, as the case may be, shall thereupon be released from all liabilities
and obligations hereunder arising or accruing from and after the date of such conveyance or other transfer, all such future liabilities
and obligations shall thereupon be binding upon the new owner, and this Lease shall continue in full force and effect.

 

12.22      
Governing Law. This Lease shall be construed and enforced in accordance with the Laws of the State of Rhode Island.

 

12.23     
Counterparts. This Lease may be executed in several counterparts, each of which shall be deemed an original, and
all such counterparts shall together constitute one and the same instrument. Executed counterparts of thus Lease delivered by facsimile
transmission to the other party shall be binding on the party delivering such executed counterpart.

 

 

[the remainder of this page is intentionally
blank]

 

    33

     

    

 

IN WITNESS WHEREOF, Landlord and Tenant
have caused this Lease to be executed on the day, month and year first above dated.

 

 

	 	LANDLORD:
	 	 
	 	GANO HOLDINGS, LLC, a Delaware limited liability company
	 	 
	 	 
	 	By:	/s/ James A. Procaccianti
	 	Name:	James A. Procaccianti
	 	Title:	Authorized Representative
	 	 
	 	TENANT:
	 	 
	 	PHR GANO OPCO SUB, LLC, a Delaware limited liability company
	 	 
	 	 
	 	By:	/s/ James A. Procaccianti
	 	Name:	James A. Procaccianti
	 	Title:	Authorized Representative

 

[Signature Page to Hotel Lease – Hilton
Garden Inn, Providence, RI]

 

     

     

    

 

SCHEDULE 3.1

 

(a)       Fixed
Rent” means the monthly Fixed Rent as shown in the chart contained in subsection (c) below for such applicable month (or
partial month).

 

(b)       “Percentage
Rent” means an amount each month equal to the amount Gross Revenues exceed the applicable Revenue Floor (as defined in the
chart contained in subsection (c) below) for such month (or partial month) multiplied by the applicable Percentage Rent Multiplier
for such month (or partial month) shown in the chart contained in subsection (c) below.

 

(c)  

 

	Month/Year	 	 	Fixed 

Rent	 	 	Revenue 

Floor	 	 	Percentage Rent 

Multiplier	 
	 	Feb-2020 (Partial month)	 	 	$	6,306	 	 	$	33,629	 	 	 	23.22	%
	 	Mar-20	 	 	$	55,204	 	 	$	224,905	 	 	 	30.39	%
	 	Apr-20	 	 	$	70,461	 	 	$	240,543	 	 	 	36.27	%
	 	May-20	 	 	$	112,329	 	 	$	299,683	 	 	 	46.41	%
	 	Jun-20	 	 	$	111,599	 	 	$	305,654	 	 	 	45.20	%
	 	Jul-20	 	 	$	94,011	 	 	$	285,467	 	 	 	40.77	%
	 	Aug-20	 	 	$	95,228	 	 	$	286,604	 	 	 	41.14	%
	 	Sep-20	 	 	$	80,608	 	 	$	264,711	 	 	 	37.70	%
	 	Oct-20	 	 	$	106,510	 	 	$	297,409	 	 	 	44.34	%
	 	Nov-20	 	 	$	34,866	 	 	$	187,657	 	 	 	23.00	%
	 	Dec-20	 	 	$	52,902	 	 	$	114,869	 	 	 	15.35	%
	 	Jan-21	 	 	$	54,665	 	 	$	143,508	 	 	 	12.70	%
	 	Feb-21	 	 	$	37,030	 	 	$	198,882	 	 	 	23.05	%
	 	Mar-21	 	 	$	56,094	 	 	$	229,324	 	 	 	30.28	%
	 	Apr-21	 	 	$	71,702	 	 	$	245,269	 	 	 	36.19	%
	 	May-21	 	 	$	114,540	 	 	$	305,572	 	 	 	46.41	%
	 	Jun-21	 	 	$	113,797	 	 	$	311,660	 	 	 	45.21	%
	 	Jul-21	 	 	$	95,803	 	 	$	291,076	 	 	 	40.75	%
	 	Aug-21	 	 	$	97,048	 	 	$	292,235	 	 	 	41.12	%
	 	Sep-21	 	 	$	82,088	 	 	$	269,912	 	 	 	37.65	%
	 	Oct-21	 	 	$	108,590	 	 	$	303,252	 	 	 	44.33	%

 

     

     

    

 

	 	Nov-21	 	 	$	35,280	 	 	$	191,345	 	 	 	22.83	%
	 	Dec-21	 	 	$	52,902	 	 	$	117,126	 	 	 	15.06	%
	 	Jan-22	 	 	$	54,665	 	 	$	146,193	 	 	 	12.46	%
	 	Feb-22	 	 	$	37,527	 	 	$	202,603	 	 	 	22.93	%
	 	Mar-22	 	 	$	56,890	 	 	$	233,613	 	 	 	30.15	%
	 	Apr-22	 	 	$	72,747	 	 	$	249,857	 	 	 	36.05	%
	 	May-22	 	 	$	116,262	 	 	$	311,287	 	 	 	46.24	%
	 	Jun-22	 	 	$	115,504	 	 	$	317,490	 	 	 	45.04	%
	 	Jul-22	 	 	$	97,224	 	 	$	296,520	 	 	 	40.60	%
	 	Aug-22	 	 	$	98,489	 	 	$	297,702	 	 	 	40.96	%
	 	Sep-22	 	 	$	83,293	 	 	$	274,961	 	 	 	37.51	%
	 	Oct-22	 	 	$	110,215	 	 	$	308,925	 	 	 	44.17	%
	 	Nov-22	 	 	$	35,751	 	 	$	194,924	 	 	 	22.71	%
	 	Dec-22	 	 	$	52,902	 	 	$	119,317	 	 	 	14.78	%
	 	Jan-23	 	 	$	54,665	 	 	$	149,855	 	 	 	12.16	%
	 	Feb-23	 	 	$	38,249	 	 	$	207,678	 	 	 	22.80	%
	 	Mar-23	 	 	$	58,034	 	 	$	239,465	 	 	 	30.01	%
	 	Apr-23	 	 	$	74,241	 	 	$	256,116	 	 	 	35.89	%
	 	May-23	 	 	$	118,708	 	 	$	319,085	 	 	 	46.06	%
	 	Jun-23	 	 	$	117,931	 	 	$	325,443	 	 	 	44.86	%
	 	Jul-23	 	 	$	99,249	 	 	$	303,949	 	 	 	40.43	%
	 	Aug-23	 	 	$	100,542	 	 	$	305,160	 	 	 	40.79	%
	 	Sep-23	 	 	$	85,014	 	 	$	281,849	 	 	 	37.34	%
	 	Oct-23	 	 	$	112,526	 	 	$	316,664	 	 	 	44.00	%
	 	Nov-23	 	 	$	36,436	 	 	$	199,807	 	 	 	24.58	%
	 	Dec-23	 	 	$	73,481	 	 	$	122,306	 	 	 	20.03	%
	 	Jan-24	 	 	$	73,481	 	 	$	152,718	 	 	 	16.04	%
	 	Feb-24	 	 	$	38,121	 	 	$	211,645	 	 	 	22.30	%
	 	Mar-24	 	 	$	58,036	 	 	$	244,040	 	 	 	29.44	%
	 	Apr-24	 	 	$	74,364	 	 	$	261,009	 	 	 	35.27	%
	 	May-24	 	 	$	119,136	 	 	$	325,181	 	 	 	45.36	%
	 	Jun-24	 	 	$	118,341	 	 	$	331,660	 	 	 	44.18	%
	 	Jul-24	 	 	$	99,522	 	 	$	309,755	 	 	 	39.78	%
	 	Aug-24	 	 	$	100,825	 	 	$	310,989	 	 	 	40.14	%
	 	Sep-24	 	 	$	85,193	 	 	$	287,233	 	 	 	36.72	%
	 	Oct-24	 	 	$	112,901	 	 	$	322,713	 	 	 	43.31	%
	 	Nov-24	 	 	$	36,305	 	 	$	203,624	 	 	 	24.07	%
	 	Dec-24	 	 	$	73,481	 	 	$	124,643	 	 	 	19.65	%
	 	Jan-25	 	 	$	73,481	 	 	$	155,772	 	 	 	15.72	%
	 	Feb-25	 	 	$	41,360	 	 	$	215,878	 	 	 	23.72	%
	 	Mar-25	 	 	$	62,089	 	 	$	248,921	 	 	 	30.88	%

 

    2

     

    

  

	 	Apr-25	 	 	$	78,962	 	 	$	266,229	 	 	 	36.72	%
	 	May-25	 	 	$	125,454	 	 	$	331,685	 	 	 	46.83	%
	 	Jun-25	 	 	$	124,727	 	 	$	338,293	 	 	 	45.65	%
	 	Jul-25	 	 	$	105,250	 	 	$	315,950	 	 	 	41.24	%
	 	Aug-25	 	 	$	106,595	 	 	$	317,209	 	 	 	41.60	%
	 	Sep-25	 	 	$	90,345	 	 	$	292,978	 	 	 	38.18	%
	 	Oct-25	 	 	$	119,063	 	 	$	329,167	 	 	 	44.78	%
	 	Nov-25	 	 	$	39,404	 	 	$	207,696	 	 	 	23.49	%
	 	Dec-25	 	 	$	0	 	 	$	0	 	 	 	0.00	%
	 	Jan-26	 	 	$	5,140	 	 	$	158,888	 	 	 	4.01	%
	 	Feb-26	 	 	$	41,934	 	 	$	220,196	 	 	 	23.58	%
	 	Mar-26	 	 	$	63,077	 	 	$	253,899	 	 	 	30.76	%
	 	Apr-26	 	 	$	80,288	 	 	$	271,554	 	 	 	36.61	%
	 	May-26	 	 	$	127,710	 	 	$	338,319	 	 	 	46.74	%
	 	Jun-26	 	 	$	126,967	 	 	$	345,059	 	 	 	45.56	%
	 	Jul-26	 	 	$	107,101	 	 	$	322,269	 	 	 	41.15	%
	 	Aug-26	 	 	$	108,473	 	 	$	323,553	 	 	 	41.51	%
	 	Sep-26	 	 	$	91,898	 	 	$	298,837	 	 	 	38.07	%
	 	Oct-26	 	 	$	121,191	 	 	$	335,751	 	 	 	44.69	%
	 	Nov-26	 	 	$	39,939	 	 	$	211,850	 	 	 	23.34	%
	 	Dec-26	 	 	$	0	 	 	$	0	 	 	 	0.00	%
	 	Jan-27	 	 	$	4,978	 	 	$	162,066	 	 	 	3.80	%
	 	Feb-27	 	 	$	42,508	 	 	$	224,600	 	 	 	23.43	%
	 	Mar-27	 	 	$	64,074	 	 	$	258,977	 	 	 	30.63	%
	 	Apr-27	 	 	$	81,629	 	 	$	276,985	 	 	 	36.49	%
	 	May-27	 	 	$	129,999	 	 	$	345,085	 	 	 	46.64	%
	 	Jun-27	 	 	$	129,242	 	 	$	351,960	 	 	 	45.46	%
	 	Jul-27	 	 	$	108,979	 	 	$	328,715	 	 	 	41.05	%
	 	Aug-27	 	 	$	110,378	 	 	$	330,024	 	 	 	41.41	%
	 	Sep-27	 	 	$	93,471	 	 	$	304,814	 	 	 	37.97	%
	 	Oct-27	 	 	$	123,350	 	 	$	342,466	 	 	 	44.59	%
	 	Nov-27	 	 	$	40,473	 	 	$	216,087	 	 	 	23.19	%
	 	Dec-27	 	 	$	0	 	 	$	0	 	 	 	0.00	%
	 	Jan-28	 	 	$	4,802	 	 	$	165,307	 	 	 	3.60	%
	 	Feb-28	 	 	$	43,082	 	 	$	229,092	 	 	 	23.28	%
	 	Mar-28	 	 	$	65,080	 	 	$	264,157	 	 	 	30.50	%
	 	Apr-28	 	 	$	82,986	 	 	$	282,524	 	 	 	36.37	%
	 	May-28	 	 	$	132,324	 	 	$	351,987	 	 	 	46.54	%
	 	Jun-28	 	 	$	131,552	 	 	$	359,000	 	 	 	45.37	%
	 	Jul-28	 	 	$	110,883	 	 	$	335,289	 	 	 	40.94	%
	 	Aug-28	 	 	$	112,310	 	 	$	336,625	 	 	 	41.31	%

 

    3

     

    

 

	 	Sep-28	 	 	$	95,065	 	 	$	310,910	 	 	 	37.86	%
	 	Oct-28	 	 	$	125,541	 	 	$	349,315	 	 	 	44.50	%
	 	Nov-28	 	 	$	41,007	 	 	$	220,409	 	 	 	23.03	%
	 	Dec-28	 	 	$	0	 	 	$	0	 	 	 	0.00	%
	 	Jan-29	 	 	$	4,611	 	 	$	168,613	 	 	 	3.39	%
	 	Feb-29	 	 	$	43,657	 	 	$	233,674	 	 	 	23.13	%
	 	Mar-29	 	 	$	66,095	 	 	$	269,440	 	 	 	30.37	%
	 	Apr-29	 	 	$	84,359	 	 	$	288,175	 	 	 	36.24	%
	 	May-29	 	 	$	134,683	 	 	$	359,026	 	 	 	46.45	%
	 	Jun-29	 	 	$	133,896	 	 	$	366,180	 	 	 	45.27	%
	 	Jul-29	 	 	$	112,814	 	 	$	341,995	 	 	 	40.84	%
	 	Aug-29	 	 	$	114,269	 	 	$	343,357	 	 	 	41.20	%
	 	Sep-29	 	 	$	96,680	 	 	$	317,129	 	 	 	37.74	%
	 	Oct-29	 	 	$	127,765	 	 	$	356,301	 	 	 	44.40	%
	 	Nov-29	 	 	$	41,540	 	 	$	224,817	 	 	 	22.88	%
	 	Dec-29	 	 	$	0	 	 	$	0	 	 	 	0.00	%
	 	Jan-30	 	 	$	4,694	 	 	$	171,985	 	 	 	3.38	%
	 	Feb 2030 - Partial month	 	 	$	36,837	 	 	$	197,253	 	 	 	23.12	%

 

    4

     

    

 

Exhibit A

 

Legal Description

 

A.P. 17, Lot 633

 

#220 India Street

 

Providence, Rhode Island

 

That certain tract or parcel of land situated
southeasterly of Interstate Route 195, westerly of Tockwotton Street and westerly of India Street in the City of Providence, Providence
County, State of Rhode Island and Providence Plantations, delineated on that plan entitled “ALTA / NSPS Land Title Survey
Plan, A.P. 17, Lot 633, Wyndham Garden Providence, 220 India Street, Providence, RI 02903, Gano Holdings, L.L.C. c/o The Procaccianti
Group, 1140 Reservoir Avenue, Cranston, Rhode Island 02920 Project No. 04-313 Scale: 1”=20’ Date:01/22/20 by Waterman
Engineering Company Richard S. Lipsitz, P.L.S. No. 1837”, more particularly bounded and described as follows;

 

 Beginning at a point in the northerly
State Highway Line of India Point Park as delineated on Rhode Island Highway Plat No. 2869, said point being at the westerly terminus
of India Street and the southeasterly corner of the parcel herein-described;

 

thence proceeding N 79°51'31"
W, by and with the said northerly State Highway Line of India Point Park, a distance of one hundred forty six and 26/100 (146.26')
feet to an angle point;

 

thence proceeding N 74°04'39"
W, by and with the said northerly State Highway Line of India Point Park, a distance of thirty nine and 55/100 (39.55') feet to
an angle point;

 

thence proceeding N 59°28'57"
W, by and with the said northerly State Highway Line of India Point Park, a distance of twenty eight and 27/100 (28.27') feet to
an angle point;

  

thence proceeding N 42°06'33"
W, by and with the said northerly State Highway Line of India Point Park, a distance of ten and 76/100 (10.76') feet to an angle
point;

 

thence proceeding N 16°05'44"
W, by and with the said northerly State Highway Line of India Point Park, a distance of ten and 76/100 (10.76') feet to an angle
point;

 

    5

     

    

 

thence proceeding N 05°27'51"
W, in part by and with the said northerly State Highway Line of India Point Park and in part by and with the southeasterly State
Freeway Line of Interstate Route 195 as delineated on Rhode Island Highway Plat No. 1374, a distance of one hundred twenty four
and 00/100 (124.00') feet to the northwesterly corner of the parcel herein-described;

 

thence proceeding N 53°40'20"
E, by and with the said southeasterly State Freeway Line of Interstate Route 195, a distance of thirty and 19/100 (30.19') feet
to an angle point;

 

thence proceeding N 47°53'52"
E, by and with the said southeasterly State Freeway Line of Interstate Route 195, a distance of thirty one and 22/100 (31.22')
feet to an angle point;

 

thence proceeding N 78°04'49"
E, by and with the said southeasterly State Freeway Line of Interstate Route 195, a distance of one hundred thirteen and 72/100
(113.72') feet to an angle point;

 

thence proceeding S 79°08'48"
E, by and with the said southeasterly State Freeway Line of Interstate Route 195, a distance of one hundred seventeen and 70/100
(117.70') feet to the westerly terminus of Tockwotton Street and the northeasterly corner of the parcel herein-described;

 

thence proceeding S 10°51'12"
W, bounded easterly by the said westerly terminus of Tockwotton Street, a distance of twenty five and 00/100 (25.00') feet to land
now or formerly of Brown University;

 

thence proceeding S 11°12'26"
W, bounded easterly in part by the said Brown University land and in part by the aforesaid westerly terminus of India Street, a
distance of two hundred twelve and 36/100 (212.36') feet to the point and place of beginning.

 

The above-described parcel contains 53,715
+/- square feet (1.233 +/- acres) of land, more or less

 

    6

     

    

 

Exhibit B

 

The Collateral

 

1.       Fixtures
and Personal Property. All goods, inventory, machinery, equipment, fixtures (including, without limitation, all heating, air
conditioning, plumbing, lighting, communications and elevator fixtures), furnishing, building supplies and materials, and all other
personal property of every kind and nature whatsoever owned by Tenant (or in which Tenant has or hereafter acquires an interest)
and now or hereafter located upon, or appurtenant to, the Property or used or useable in the present or future operation and occupancy
of the Property, along with all accessions, replacements or substitutions of all or any portion thereof including, but not limited
to, all items of personal property located within or adjacent to the Hotel and included within the definition of “Property
and Equipment” and “Inventories” under the Uniform System of Accounts for the Lodging Industry as published by
the American Hotel Association of the United States and Canada, including but not limited to, beds, bureaus, chiffoniers, chests,
chairs, desks, lamps, mirrors, bookcases, tables, rugs, carpeting, drapes, draperies, curtains, shades, Venetian blinds, screens,
paintings, hangings, pictures, divans, couches, luggage carts, luggage racks, stools, sofas, chinaware, linens, pillows, blankets,
glassware, tableware, uniforms, guest ledgers, foodcarts, cookware, dry cleaning facilities, dining room wagons, tools, keys or
other entry systems, bars, bar fixtures, and other drink dispensers, icemakers, radios, televisions sets, intercom and paging equipment,
electric and electronic equipment, dictating equipment, private telephone systems, medical equipment, potted plants, heating, lighting
and plumbing equipment, fire prevention and extinguishing apparatus, escalators, fittings, plants, apparatus, stoves, ranges, refrigerators,
laundry machines, tools, machinery, engines, dynamos, motors, boilers, incinerators, switchboards, conduits, compressors, vacuum
cleaning systems, floor cleaning, waxing and polishing equipment, call systems, brackets, electrical signs, bulbs, bells, ash and
disposals, washers and dryers and other customary hotel equipment, and computer software and hardware, but excluding, in all events,
alcoholic beverages inventory;

 

2.       Leases
and Rents. All income, rents, room rates, issues, profits, revenues, deposits, accounts and other benefits from the operation
of the Hotel, including, without limitation, all revenues, cash and credit card receipts collected from guest rooms, restaurants,
bars, mini-bars, meeting rooms, banquet rooms and recreational facilities and otherwise, all receivables, customer obligations,
installment payment obligations and other obligations now existing or hereafter arising or created out of sale, lease, sublease,
license, concession, or other grant of the right of the possession, use or occupancy of all or any portion of the Land, the Hotel
or personalty located therein, or rendering of services by Tenant or any operator or manager of the Hotel or the commercial space
located therein or acquired from others including, without limitation, from the rental of any office space, retail space, commercial
space, guest room or other space, halls, stores or offices, including any deposits securing reservations of such space, exhibit
or sales space of every kind, license, lease, sublease and concession fees and rentals, health club membership fees, food and beverage
wholesale and retail sales, service charges, vending

 

    7

     

    

 

machine sales, all deposits or other security now or hereafter made with or
given to any utility company by Tenant with respect to the Property, and all proceeds, if any, from business interruption or other
loss of income insurance relating to the use, enjoyment or occupancy of the Land and/or the Hotel whether paid or accruing before
or after the filing by or against Tenant of any petition for relief under any present or future state or federal law regarding
bankruptcy (each a “Bankruptcy Code”), reorganization or other relief to debtors and all proceeds from the sale
or other disposition of the Tenant Leases (hereinafter defined). All leases, subleases, licenses and other agreements granting
others the right to use or occupy all or any part of the Property together with all restatements, renewals, extensions, amendments
and supplements thereto, (collectively, the “Tenant Leases”), now existing or hereafter entered into, and whether
entered before or after the filing by or against Tenant of any petition for relief under a Bankruptcy Code, and all of Tenant’s
right, title and interest in the Tenant Leases, including, without limitation (i) all guarantees, letters of credit and any other
credit support given by any tenant or guarantor in connection therewith (collectively, the “Tenant Lease Guaranties”),
(ii) all cash, notes, or security deposited thereunder to secure the performance by the tenants of their obligations thereunder
(collectively, the “Tenant Security Deposits”), (iii) all claims and rights to the payment of damages and other
claims arising from any rejection by a tenant of its Tenant Lease under a Bankruptcy Code (“Bankruptcy Claims”),
(iv) all of the landlord’s rights in casualty or condemnation proceeds of a tenant in respect of the leased premises (collectively,
the “Tenant Claims”), (v) all rents, ground rents, additional rents, revenues, termination and similar payments,
issues and profits (including all oil and gas or other mineral royalties and bonuses) from the Property (collectively with the
Tenant Lease Guaranties, Tenant Security Deposits, Bankruptcy Claims and Tenant Claims, the “Rents”), whether
paid or accruing before or after the filing by or against Tenant of any petition for relief under a Bankruptcy Code, (vi) all
proceeds or streams of payment from the sale or other disposition of the Tenant Leases or disposition of any Rents, and (vii) the
right to receive and apply the Rents to the payment of Tenant’s obligations under this Lease and to do all other things which
Tenant or a lessor is or may become entitled to do under the Tenant Leases or with respect to the Rents;

 

3.       Condemnation
Awards. All awards or payments, including interest thereon, which may heretofore and hereafter be made with respect to the
Property, whether from the exercise of the right of eminent domain (including, without limitation, any transfer made in lieu of
or in anticipation of the exercise of the right), or for a change of grade, or for any other injury to or decrease in the value
of the Property;

 

4.       Insurance
Proceeds. All proceeds of, and any unearned premiums on, any insurance policies covering the Property, including, without limitation,
the exclusive right to receive and apply the proceeds of any claim awards, judgments, or settlements made in lieu thereof, for
damage to the Property;

 

5.       Tax
Certiorari. All refunds, rebates or credits in connection with a reduction in any taxes, including, without limitation, rebates
as a result of tax certiorari or any other applications or proceedings for reduction;

 

    8

     

    

 

6.       Agreements.
All agreements (including, without limitation, interest rate cap agreements, swaps or other interest hedging agreements), contracts
(including, without limitation, the Management Agreement and construction, architectural, service, supply and maintenance contracts),
registrations, permits, licenses (including, without limitation, liquor licenses, if any, to the fullest extent assignable by Tenant),
franchise (including, without limitation, the Franchise Agreement), plans, specifications and other documents, now or hereafter
entered into, and all rights therein and thereto, respecting or pertaining to the use, occupation, construction, management or
operation of the Property, or respecting any business or activity conducted from the Property, and all right, title and interest
of Tenant therein and thereunder, including, without limitation, the right, while an Event of Default remains uncured, to receive
and collect any sums payable to Tenant thereunder;

 

7.       Intangibles.
All accounts, escrows, chattel paper, claims, deposits, trade names, trademarks, service marks, logos, copyrights, goodwill, licenses,
permits, plans and specifications, environmental audits, engineering reports, warranties, guaranties, books and records and all
other general intangibles and payment intangibles relating to or used in connection with the operation of the Property;

 

8.       Accounts.
All reserves, escrows and deposit accounts maintained by Tenant with respect to the Property, together with all cash, checks, drafts,
certificates, accounts receivable, documents, letter of credit rights, commercial tort claims, securities, investment property,
financial assets, instruments and other property from time to time held therein, and all proceeds, products, distributions, dividends
or substitutions thereon or thereof, and all accounts (including, without limitation, any deposit accounts), impounds, contract
rights, book debts, letters of credit, letter of credit rights, supporting obligations, drafts and notes arising from the operation
of a hotel at the Property or arising from the sale, lease or exchange of goods or other property and/or the performance of services,
and Tenant’s rights to payment from any consumer credit/charge card organization or entities which sponsor and administer
such cards, including, without limitation, the American Express card, the Visa card, the Discover card, and the MasterCard;

 

9.       Rights
to Conduct Legal Actions. The right, in the name and on behalf of Tenant, to commence any action or proceeding to protect the
interest of Landlord in the Property and to appear in and defend any action or proceeding brought with respect to the Property;
and

 

10.     Proceeds.
All proceeds and profits arising from the conversion, voluntary or involuntary, of any of the foregoing into cash (whether made
in one payment or a stream of payments) and any liquidation claims applicable thereto.

 

    9Exhibit 10.12

 

HOTEL MANAGEMENT AGREEMENT

 

between

 

PHR GANO OPCO SUB, LLC

 

as Owner

 

and

 

GANO HOTEL MANAGER, LLC

 

as Manager

 

FOR

 

Hilton Garden Inn Providence RI

220 India Street, Providence RI

 

    

     

    

 

HOTEL MANAGEMENT AGREEMENT

 

This Hotel
Management Agreement (the "Agreement") made as of this 27th day of February 2020 (the
 “Effective Date”) between PHR GANO TCI OPCO SUB, LLC, a Delaware limited liability company (the "Owner")
and GANO HOTEL MANAGER, LLC, a Rhode Island limited liability company, as Manager ("Manager"),

 

RECITALS:

 

WHEREAS, GANO HOLDINGS,
LLC, a Rhode Island limited liability company (“Fee Owner”) is the owner of the Premises (as defined below),
and (ii) all Building and Appurtenances (as defined below), including, without limitation an existing 137 -room hotel which
is branded as a Hilton Garden Inn located at 220 India Street, Providence, RI (as more particularly defined in the Article I
below, the “Hotel”).

 

WHEREAS, Owner holds
a leasehold interest in the Hotel pursuant to the Lease (as defined below).

 

WHEREAS, Manager is
experienced in the management and operation of hotels.

 

WHEREAS, Owner desires
to retain Manager to manage and operate the Hotel. Manager is willing to perform such services for the account of Owner on the
terms and conditions set forth in this Agreement.

 

NOW, THEREFORE, in
consideration of the premises and the mutual covenants contained herein, and for other good and valuable consideration, the parties
hereto agree as follows:

 

ARTICLE 1

 

DEFINITIONS, TERMS AND REFERENCES

 

1.1          Definitions.
In this Agreement and any Exhibits, the following terms shall have the following meanings:

 

"AAA”
shall have the meaning set forth in Article 30.

 

"Accounting
Period" shall mean each calendar month (whether of 28, 29, 30 or 31 days) during each Fiscal Year.

 

"Affiliate"
shall mean any person or entity that directly or indirectly, through one or more intermediaries, controls, is controlled by or
is under common control with another person or entity. The term “control” (and correlative terms) shall mean
the power, whether by contract, equity ownership or otherwise, to direct the policies or management of a person or entity. Without
limiting the foregoing, an "Affiliate" also includes any partner or a partnership of any party to this Agreement,
any member or membership parties thereto and any corporation, partnership, individual or trust related to or controlling or controlled
by such partnership, individual or trust related to or controlling or controlled by such partnership party or its partners or
such membership 

 

    Management Agreement - Page 1

     

    

 

party or its members. A natural person is related to another natural person if he or she is a spouse, parent,
or lineal descendant of the other person.

 

"Allocated
Services" shall mean certain support services that Manager obtains from a third party and provides on a central or regional
basis to the hotels that it manages because such support services can be provided on a more efficient, effective and economical
basis to each individual Manager managed hotel if the expenses of such support services are shared by other Manager managed hotels.
Such support services include services in the areas of sales and marketing, purchasing, food and beverage, human resources, insurance,
technology, training and payroll (each such service, an "Allocated Service"; collectively, the "Allocated
Services"). Owner and Manager agree that Manager shall provide Allocated Services to the Hotel and that the Hotel's portion
of the cost thereof shall constitute a Gross Operating Expense so long as (i) the costs of the Allocated Services are allocated
in a commercially reasonable fashion on a proportionate basis among the Hotel and the other Manager managed hotels benefiting
therefrom; and (ii) the Allocated Services shall not include services that do not benefit the Hotel. The parties agree that
Manager (or its Affiliates) and the Hotel shall be returned a proportionate share of any rebates received by Manager with respect
to any of the Allocated Services on a proportionate basis as compared to other hotels managed by Manager or its Affiliates.

 

"Annual Operating
Budget" shall mean an annual operating projection for the Hotel prepared and submitted by Manager to Owner and approved
by Owner for each Fiscal Year pursuant to Section 4.4(a).

 

"Annual Plan"
shall mean an annual business plan for the operation of the Hotel prepared by the Manager and approved by the Owner, which shall
include the Annual Operating Budget, the Approved Capital Budget and any other material included therein by Manager as provided
in Section 4.4.

 

"Approved
Capital Budget" shall have the meaning set forth in Section 4.4(b).

 

"Base Fee"
shall have the meaning set forth in Article 11.

 

"Building
and Appurtenances" shall mean (i) the hotel building located on the Premises, and (ii) landscaping and other
related facilities, together with all installations located at, or used in connection with the operation of the building for hotel
purposes including, without limitation, any swimming pools, health club and recreational facilities, walkways, parking facilities,
heating, lighting, sanitation equipment, air conditioning, laundry facilities, refrigeration, built-in kitchen equipment, and
elevators.

 

"Capital Budget"
shall mean Manager's proposed estimate of FF&E and Capital Improvements submitted to Owner each Fiscal Year pursuant to Section 4.4.

 

"Capital Improvements"
shall have the meaning set forth in Section 8.2 hereof.

 

    Management Agreement - Page 2

     

    

 

“Centralized
Services” means those services described on Schedule IV attached hereto, which reflects those Centralized Services
provided by the Manager and which may be amended from time to time in writing by the Owner and Manager or as set forth in an approved
Annual Plan.

 

“Commencement
Date” shall mean the date hereof.

 

"Competitive
Set" shall mean the properties listed on Exhibit C attached hereto and any revisions to such list agreed
upon by Owner and Manager from time to time.

 

"CPI"
shall mean the Consumer Price Index for All Urban Consumers, United States City Average, All Items (1982-84=100), issued by the
Bureau of Labor Statistics of the United States Department of Labor.

 

“Default
Rate” shall mean the lesser of (i) the Prime Rate plus four percent (4%) per annum or (ii) the highest lawful
rate permitted by applicable Legal Requirements from time to time.

 

“Earnings
Before Interest, Taxes, Depreciation and Amortization” or “EBITDA” shall Total Operating Revenues
less Gross Operating Expenses, excluding taxes of any kind (including betterments and assessments), interest, depreciation, amortization,
reserves, insurance, any debt service payments and costs of the Hotel (including without limitation, debt service, fees to lenders
and servicers, penalties, late fees, amortization any equipment lease payments and costs) and property, casualty and hazard insurance.

 

"Effective
Date" shall mean the date of this Agreement as set forth on page 1 hereof.

 

"ERISA”
shall have the meaning set forth in Section 4.2(a).

 

"Event of
Default" shall mean any of the events described in Article 16, provided that any condition contained therein for
the giving of notice or the lapse of time, or both, has been satisfied.

 

“Executive
Personnel” shall mean the general manager, director of sales and the controller of the Hotel.

 

“Fee Owner”
shall have the meaning set forth in the introductory section of this Agreement.

 

"Fiscal Year"
shall mean the fiscal year that ends on the last day of each calendar year. The first Fiscal Year shall be the period commencing
on the Commencement Date and ending on December 31st of the same calendar year in which the Commencement Date
occurs. The last Fiscal Year shall be the period commencing on January 1st of the same calendar year in which the last day
of the Term of this Agreement occurs and ending on such last day of the Term. The words "full Fiscal Year" shall mean
any Fiscal Year containing not fewer than 365 days. A partial Fiscal Year after the end of the last full Fiscal Year and ending
with the expiration or earlier termination of the Term shall constitute a separate Fiscal Year.

 

    Management Agreement - Page 3

     

    

 

"Furniture,
Fixtures and Equipment" or "FF&E" shall mean all furniture, furnishings, wall coverings,
fixtures, carpeting, rugs, fine arts, paintings, statuary, decorations, and hotel equipment and systems (including the costs associated
with the purchase, installation and delivery thereof) located at, or used in connection with, the operation of the Building and
Appurtenances as a hotel, including without limitation, major equipment and systems required for the operation of kitchens, bars,
laundry and dry cleaning facilities, office equipment, dining room wagons, major material handling equipment, major cleaning and
engineering equipment, telephone systems, computerized accounting and vehicles (including the costs associated with the purchase,
installation and delivery thereof) together with all replacements therefor and additions thereto, but in all events excluding
Operating Equipment and Supplies.

 

"GAAP”
shall have the meaning set forth in Section 4.2.

 

"Gross Operating
Expenses" shall have the meaning contained on Schedule II attached hereto. .

 

"Hotel"
shall mean (a) the Building and Appurtenances and the Premises owned by Owner and (b) all FF&E, all Operating Equipment
and Supplies, and all Inventories owned by Owner located at the address set forth on Schedule I.

 

"hotel"
shall mean any hotel (other than the Hotel), inn, motor inn, motor hotel, motel, suite hotel, conference center, meeting center
or any other facility providing either or both of short-term lodging and meeting arrangements.

 

"Hotel Employees"
shall have the meaning set forth in Section 4.2.

 

"Inventories"
shall mean inventories of supplies, in accordance with the Uniform System of Accounts, such as soap, toilet paper, stationery,
writing pens, food and beverage inventories, paper products, menus, expendable office and kitchen supplies, fuel, supplies and
items similar to any of the foregoing.

 

“Lease”
means that certain Hotel Lease entered into by and between Owner, as tenant, and Fee Owner, as landlord, on or about the date
hereof, as the same may be amended from time to time.

 

"Legal Proceedings"
shall mean all complaints, counterclaims or cross-claims filed in a court of competent jurisdiction, any notice of any claim of
violation of any legal requirement by any governmental agency or authority, or any summons or other legal process, in each instance
by or against the Hotel or by or against Owner, or Manager in connection with the Hotel.

 

"Legal Requirements"
shall mean (a) all laws, ordinances, statutes, regulations and orders relating to the Hotel and the Premises now or hereafter
in effect, including but not limited to, environmental laws and (b) all terms, conditions, requirements and provisions of
(i) all Permits; (ii) all leases; and (iii) all liens, restrictive covenants and encumbrances affecting the Hotel
or the Premises or any part thereof.

 

    Management Agreement - Page 4

     

    

 

"Liabilities"
shall have the meaning set forth in Section 24.1.

 

"License Agreement"
shall mean the franchise or license agreement from time to time entered into by Owner with respect to the branding and operation
of the Hotel. For the purposes of this definition, the following terms used in said section shall have the following meaning:

 

"Licensor"
shall mean the franchisor or licensor under the franchise or license agreement from time to time entered into by Owner with respect
to the branding and operation of the Hotel.

 

"Licensee"
shall mean Owner; and the "Manual" shall mean the Licensor's operating manual and other manuals for Licensor
described in its standard license agreement.

 

"Major Capital
Expenditures" shall have the meaning set forth in Section 4.4.

 

"Major Renovations"
shall mean a contemporaneously made set or series of alterations, additions and/or improvements to the Hotel with a total cost
in excess of $100,000 (or a lesser amount in the event a project with a total cost less than $100,000 requires material design
and purchasing and installation services related thereto and/or results in a material alteration in the design of the Hotel),
but shall not include any Repairs or Maintenance with respect to Capital Improvements or FF&E.

 

"Management
Fee" shall mean the Base Fee and other fees payable or due hereunder, all as set forth in Article 11 hereof and
Schedule I attached hereto.

 

"Manager"
shall have the meaning set forth in the introductory section of this Agreement.

 

"Manager’s
Liability Cap" shall have the meaning set forth in Article 33.

 

"MEPPA”
shall have the meaning set forth in Section 4.2(a).

 

"Minimum Cost"
shall have the meaning set forth in Section 15.1.

 

"Mortgage"
shall mean, collectively, each of the documents evidencing or securing current or future indebtedness on the Hotel in favor of
a third party lender or financial institution or any successor thereto or replacement thereof (the "Lender").

 

"OFAC”
shall have the meaning set forth in Section 26.18.

 

“Open for
Business” shall mean the period of time during which all or substantially all of the Hotel is open for business to the
general public.

 

"Operating
Account" shall mean a special account or accounts, bearing the name of the Hotel, established by Owner in a federally
insured bank or trust company selected by Owner.

 

    Management Agreement - Page 5

     

    

 

"Operating
Equipment and Supplies" shall mean supply items which constitute "Operating Equipment and Supplies" under the
Uniform System of Accounts, all miscellaneous serving equipment, linen, towels, uniforms, silver, glassware, china and similar
items.

 

“Operating
Standards” shall mean the operation of the Hotel in a manner consistent with (i) the requirements under the License
Agreement; (ii) the condition of the Hotel as of the Commencement Date (or, following completion of a Renovation, the condition
of the Hotel as of the completion of the Renovation), normal wear and tear excepted; (iii) the condition and level of the
operation of hotels of comparable class and standing to the Hotel in its market area; (iv) then current market conditions
regarding rental rates and lease terms and conditions with respect to Hotels of comparable class and standing to the Hotel (including
but not limited to the Competitive Set); (v) the requirements under the Lease; and (vi) then current business and management
practices (including those related to compliance with Legal Requirements) applicable to the management, operation, leasing, maintenance
and repair of a hotel comparable in size, character and location to the Hotel.

 

"Owner"
shall have the meaning set forth in the introductory section of this Agreement.

 

"Owner’s
Annual Plan Objections” shall have the meaning set forth in Section 4.4.

 

"Performance
Standard" shall have the meaning set forth in Section 18.2.

 

"Permits"
shall mean all governmental or quasi-governmental licenses and permits, including but not limited to any certificate of occupancy,
business licenses and liquor licenses.

 

"Permitted
Investments" shall mean (subject to modification, addition or deletion from time to time at the option of Owner by written
request to Manager) all of which shall be in the name of Owner:

 

		(a)	interest-bearing deposit
accounts (which may be represented by certificates of deposit, time deposit open account agreements or other deposit instruments)
in commercial banks having a combined capital and surplus of not less than $50,000,000; or

 

		(b)	all other investments approved by
                                         Owner.

 

"Premises"
shall mean the land on which the Hotel is located, which land is described in Exhibit A attached hereto.

 

“Prime Rate”
shall mean the rate per annum announced, designated or published from time to time by JP Morgan Chase Bank N.A. as its “prime”,
 “reference” or “base” rate of interest for commercial loans.

 

"Privileged
Information" shall have the meaning set forth in Section 26.19.

 

"Prohibited
Persons” shall have the meaning set forth in Section 26.18.

 

    Management Agreement - Page 6

     

    

 

"Proposed
Capital Expenditures Budget" shall have the meaning set forth in Section 4.4.

 

"Proposed
FF& E Budget” shall have the meaning set forth in Section 4.4.

 

"Proposed
Operating Budget” shall have the meaning set forth in Section 4.4.

 

“Reimbursable
Expenses” shall mean all travel, lodging, entertainment, telephone, facsimile, postage, courier, delivery, employee
training and other expenses incurred by Manager in accordance with the standard policies for expenses incurred by Manager on its
own behalf and which are directly related to its performance of this Agreement, but in no event will Reimbursable Expenses include
or duplicate expenses for Manager’s overhead, Allocated Services or Centralized Services.

 

“Renovation”
shall mean a renovation of any portion of the Hotel during the Term, pursuant to a plan proposed by Manager and approved by Owner
to, among other things, bring the Hotel to a physical condition that satisfies the standards under the License Agreement and to
operate in a manner consistent with the assumptions for the then-current Annual Operating Budget and then-current Annual Plan.
A Renovation shall be carried out at the expense of Owner pursuant to plans and specifications and a schedule prepared by Manager
and approved by Owner and, to the extent required under the License Agreement, by Licensor.

 

"Repairs and
Maintenance" shall have the meaning as defined in Section 8.1.

 

"Reserve"
shall mean an account maintained as a Permitted Investment for Reserve for replacement of FF&E and/or Capital Improvements,
as described in Section 7.1 and funded as provided in Section 7.2.

 

“Schedule
I” shall mean Schedule I attached to and made a part of this Agreement.

 

“Schedule
II” shall mean Schedule II attached to and made a part of this Agreement.

 

“Schedule
III” shall mean Schedule III attached to and made a part of this Agreement.

 

“Schedule
IV” shall mean Schedule IV attached to and made a part of this Agreement.

 

"State"
shall mean the State in which the Hotel is located or other as designated.

 

"Term"
shall mean the term of this Agreement, which shall be an initial five (5) year term commencing on the Commencement Date and
expiring on the fifth (5th) anniversary of the Commencement Date, as such Term may be extended or shortened as expressly
set forth in this Agreement or as otherwise agreed to by Owner and Manager.

 

“Third Party
Purchaser” shall have the meaning set forth in Section 18.1.

 

"Total Operating
Revenues" has the meaning set forth on Schedule III attached hereto.

 

    Management Agreement - Page 7

     

    

 

"Unavoidable
Interruptions" shall mean interruptions in the operation of or access to the Hotel or any of its essential services on
account of an interruption in any one or more of the utility services described in Section 13.2, or on account of labor disputes,
strikes, lockouts, fire or other casualty, war, terrorist actions, acts of God and other similar causes beyond the reasonable
control of the party claiming an unavoidable interruption, but never financial inability. Other than obligations accruing prior
to the occurrence of an event of Unavoidable Interruption or obligations that, if not performed, would cause a material adverse
effect on the Hotel or its operations (for instance, the requirement to maintain the Permits or insurance obligations hereunder),
the obligations of the party hereunder shall be suspended during the period of an Unavoidable Interruption.

 

"Uniform System
of Accounts" shall mean the Uniform System of Accounts for the Lodging Industry, 11th Revised Edition, 2014, as published
by the Hotel Association of New York City, Inc. or any later edition thereof.

 

"Working Capital"
shall mean and refer to the funds which are reasonably necessary for the day-to-day operation of the Hotel's business, including,
without limitation, amounts sufficient for the maintenance of petty cash funds, operating bank accounts, receivables, payrolls,
prepaid expenses, advance deposits, funds required to maintain inventories, and amounts due to/or from Manager and/or Owner less
accounts payable and accrued current liabilities.

 

1.2            Terminology.
All personal pronouns used in this Agreement, whether used in the masculine, feminine or neuter gender, shall include all genders;
the singular shall include the plural, and the plural shall include the singular. The titles of Articles, Sections and Subsections
in this Agreement are for convenience only, and neither limit nor amplify the provisions of this Agreement, and all references
in this Agreement to Articles, Sections, Subsections, paragraphs, clauses, sub-clauses or exhibits shall refer to the corresponding
Article, Section, Subsection, paragraph, clause or sub-clause of, or exhibit attached to, this Agreement, unless specific reference
is made to the articles, sections or other subdivisions of, or exhibits to, another document or instrument.

 

1.3            Exhibits.
All exhibits, schedules and other attachments attached hereto are by this reference made a part of this Agreement.

 

ARTICLE 2

MANAGEMENT OF HOTEL

 

Owner hereby engages
and appoints Manager, pursuant to the terms of this Agreement, to operate and manage the Hotel, and Manager hereby agrees and
contracts to plan, operate, repair and manage the Hotel pursuant to the terms of this Agreement.

 

Subject to the terms
of this Agreement, Hotel operations shall be under the exclusive supervision of Manager, which, except as otherwise specifically
provided in this Agreement, shall be responsible for the proper and efficient operation, maintenance and repair of the
Hotel in accordance with the terms of this Agreement. Except as specifically set forth in this Agreement, Manager shall have discretion
and control respecting matters relating to management and 

 

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operation of the Hotel, including, without limitation, charges for rooms
and commercial space, credit policies, food and beverage services, other Hotel services, employment policies, granting of concessions
or leasing of shops and agencies within the Hotel, procurement of inventories, supplies and services, promotion and publicity
and, in general, all activities necessary for operation of the Hotel.

 

Manager shall devote its knowledge, experience
and efforts to operate and manage the Hotel pursuant to this Agreement in a businesslike manner in accordance with the Operating
Standards. Manager shall make available to Owner the full benefit of the judgment, experience and advice of the members of Manager's
organization and staff with respect to the policies pursued by Owner in operating, maintaining, and servicing the Hotel.

 

ARTICLE 3

TERM

 

3.1            Term.
The agreement shall be in effect for the initial Term. If this Agreement has not been otherwise terminated in accordance with
the terms of this Agreement, upon the expiration of the initial Term, the initial Term shall be automatically be extended by four
(4) terms of one (1) year each, unless either Owner and Manager send a termination notice at least thirty (30) days
prior to the then expiration of the Term to cancel this Agreement effective as of the then next expiration of the Terms (as it
may be extended). Notwithstanding the foregoing, the Agreement may be terminated prior to the scheduled expiration of the Term
or any extension thereof (i) upon the sale of the Hotel to a bona fide Third Party Purchaser, subject to and as allowed and
provided in Article 18 hereof; and (ii) as otherwise provided in Articles 15, 17 and 18.

 

3.2            Surrender.
On the expiration or sooner termination of the Term, Manager shall quit and surrender
the Premises to Owner in the condition required pursuant to this Agreement and take such other actions as contemplated by Article 20
hereof.

 

ARTICLE 4

USE AND OPERATION OF THE HOTEL

 

4.1            Operation.
Manager shall be the sole and exclusive manager of the Hotel during the Term and shall operate the Hotel in accordance with the
Operating Standards and the provisions of this Agreement. Manager shall act in good faith with respect to the proper protection
of and accounting for Owner's assets and shall deal at arm's length with Owner and all third parties.

 

4.2           Employment.
(a)     Subject to the terms of this Agreement, Manager shall
select, employ, promote, transfer, compensate, terminate where appropriate, supervise, direct, train, and assign the duties of
the Executive Personnel and, through the Executive Personnel, a sufficient number of personnel whom Manager reasonably determines
to be necessary or appropriate for the proper, adequate and safe operation and management of the Hotel (collectively, the "Hotel
Employees"). All such employees of the Hotel shall be employees of Manager or Manager's Affiliate. In addition, Manager
may, from time to time, assign one or more of its employees to the staff of the Hotel on a full-time, part-time or temporary basis.
Notwithstanding the provisions of this Section 4.2 or any other provision of this Agreement, all costs, expenses and liabilities
relating to

 

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Hotel Employees shall be expenses of operating the Hotel and the responsibility of Manager for acts or omissions of
Hotel Employees shall not extend beyond responsibility for the gross negligence or willful misconduct of, or the willful violation
of Legal Requirements by the Executive Personnel. Subject to Section 4.6 below, Manager will negotiate with any union lawfully
entitled to represent such employees and may execute collective bargaining agreements or labor contracts resulting therefrom that
have been approved by Owner. Manager shall fully comply with all Legal Requirements having to do with worker's compensation, social
security, unemployment insurance, hours of labor, wages, working conditions, and other employer-employee related subjects. The
cost of all labor, employees and employment arrangements and any benefits and taxes related thereto shall be charged as Gross
Operating Expenses of the Hotel and shall be accrued in accordance with generally accepted accounting principles (“GAAP”)
and shall be promptly paid by Owner in accordance with the terms of this Agreement. The costs provided for in the immediately
preceding sentence shall include, by way of example and not limitation, all reasonable costs and expenses (including, without
limitation, all employment related expenses incurred by Manager with respect to the Hotel Employees), such as severance pay, unemployment
compensation and health insurance and related costs (i.e., in order to comply with COBRA-type regulations) as a result of the
termination of employees and which shall have been paid or accrued in accordance with GAAP. Manager shall use commercially reasonable
efforts and exercise reasonable care to select qualified, competent, and trustworthy employees. The Hotel's general cashier and
all employees having check signing authority shall be adequately bonded or insured to the reasonable satisfaction of Owner (or
as provided herein) and the cost of such bonds or insurance shall be an expense of the Hotel. To the extent possible and reasonably
available, Manager shall use local labor to fill non-Executive Personnel positions in the operation of the Hotel. Owner may at
any time consult or communicate with Manager regarding any of the Hotel Employees, but will not interfere in the day-to-day activities
of Hotel Employees. The Manager shall not discriminate against any employee or applicant for employment because of race, color,
religion, national origin, ancestry, age, sex or sexual orientation, and all employment advertising shall indicate that Manager
and Owner are each an Equal Opportunity Employer as that term is defined under Legal Requirements.

 

Notwithstanding anything to the contrary
contained in this Agreement, the following subparagraphs (b) and (c) shall apply to any liability that may, from time
to time, arise out of the Employee Retirement Income Security Act of 1974 ("ERISA") and the Multi-employer Pension
Plan Amendments Acts of 1980 ("MEPPA"), respectively, as from time to time amended.

 

(b)            Employee
Benefits: Any Hotel Employees who are not then represented by a collective bargaining representative shall be entitled to participate
in the incentive programs, profit sharing and/or other employee retirement, disability, health, welfare or other benefit plan
or plans then made available by Manager to similarly situated employees of other hotels managed by Manager, in accordance with
their respective terms. Manager will have the right to charge the Hotel with its allocable share of the cost of any such plan
or plans and any contributions to be made thereunder provided that such charges and contributions shall be determined by Manager
in good faith on a uniform basis with respect to charges and contributions imposed for the same or similar plans at other hotels
then managed by Manager, subject to Legal Requirements. Manager's rights under this Subsection (b) shall be subject to the
condition that Manager shall not put into

 

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effect any amendment to any existing plan, or adopt any additional plan, which is not
imposed upon all other similarly situated hotels managed by Manager.

 

Upon the expiration
or termination of this Agreement, the sale of the Hotel or other similar event, Manager shall cooperate with the Owner with respect
to disposition of such plan or plans (or plan assets) in a mutually satisfactory manner, all in compliance with then applicable
Legal Requirements.

 

(c)          Collective
Bargaining or Other Multi-employer Plans: Manager and Owner agree that with respect to any withdrawal liability arising under
any collective bargaining agreement or other "multi-employer plan" (as defined in Section 3(37) of ERISA) in which
the Hotel Employees become participants, the obligations of the parties shall be determined as follows:

 

(1)            Withdrawal
liability arising with respect to Hotel Employees shall be the responsibility of Owner, and Owner shall either pay the amount
of such withdrawal liability directly to such plan or reimburse Manager for withdrawal liability payments made to such plan by
Manager with respect to Hotel Employees (including withdrawal liability arising after the sale or other termination of this Agreement,
provided that such liability arises as a result of such sale, disposition, termination or other similar event). To the extent
permitted under then applicable laws, regulations and agreements, Manager shall cooperate with Owner in structuring transactions
and transferring actual or contingent withdrawal liability to a successor in ownership or purchaser of the Hotel in accordance
with "relief" provisions of ERISA, such as ERISA Section 4204 or then applicable statutory or regulatory provisions
of a similar nature.

 

(2)            For
purpose of this subparagraph (c), the term "withdrawal liability" shall mean the actual amount assessed by and payable
to a multi-employer pension fund upon a complete or partial withdrawal of the Hotel or Hotel Employees from such fund. Manager
shall cooperate with Owner in challenging a plan's assessment of such liability, provided that all costs of litigation, arbitration
or other procedures shall be paid by Owner (including any bonds that must be posted). If Manager or its Affiliates have employees
at other locations who participate in the same multi-employer plan as Hotel Employees, Owner shall be charged with and be responsible
only for multi-employer plan withdrawal liability arising solely with respect to the participation of Hotel Employees in such
plan.

 

4.3            Legal
Proceedings. Legal Proceedings of a "non-extraordinary nature" (hereafter defined), may be instituted by Manager,
in accordance with guidelines and policies determined from time to time by Manager and Owner, in the name of Manager or the Hotel
or Owner and by counsel designated by Manager pursuant to such guidelines and policies. Legal Proceedings of an "extraordinary
nature" (hereafter defined) shall require Owner's prior approval of the proceedings and counsel approved by Owner. Manager
shall furnish Owner with quarterly status reports with respect to all Legal Proceedings of an extraordinary nature. In addition,
Manager shall have the right to defend, through counsel designated by Manager, Legal Proceedings of a non-extraordinary nature
against Owner or Manager resulting from the operation of the Hotel. The defense of Legal Proceedings against the Hotel of an extraordinary
nature (including, without limitation, any aspect of any claims against Manager or Owner arising out of the operation of the Hotel
as to which the insurance company denies coverage) shall be coordinated with Owner, designated counsel shall

 

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be subject to Owner's
reasonable approval and Manager shall furnish Owner with quarterly status reports with respect to such actions. All claims against
Owner and/or Manager arising out of the management or operation of the Hotel which (i) are not covered by insurance shall
be promptly communicated to Owner and (ii) are covered in whole or in part by insurance shall be promptly forwarded by Manager
to the appropriate insurer (with a copy thereof to Owner in the case of claims against Owner). Legal Proceedings of a "non-extraordinary
nature" shall be proceedings in which the monetary exposure is less than $50,000 that are (i) initiated by Manager or
Owner relating to the operation of the Hotel for matters such as collections, maintenance of licenses and permits, enforcement
of contracts and proceedings against Hotel tenants; and/or (ii) defense of actions against the Owner or Manager resulting
from the operation of the Hotel, for matters such as guest claims for loss of property or injury to persons and claims relating
to employment or the application for employment at the Hotel. Legal Proceedings of an "extraordinary nature" shall mean
all other Legal Proceedings. All costs, expenses, fees and liability associated with any Legal Proceedings shall be paid solely
by Owner.

 

4.4            Annual
Plan. On or before the date that is forty-five (45) days following the Commencement Date, Manager shall submit to Owner a
proposed Annual Plan in Manager’s format for the remaining portion of the Fiscal Year in which the Commencement Date occurs
and Owner and Manager shall cooperate to agree on the annual plan for the remainder of the Fiscal Year in which the Commencement
Date occurs, which shall be the “Annual Plan” for such Fiscal Year. On or before December 1st of each
year following the Commencement Date, Manager shall submit to Owner a proposed Annual Plan in Manager’s format for the next
Fiscal Year. On or before December 15th of each year following the Commencement Date, Owner either shall accept
the proposed Annual Plan submitted to Owner by Manager or shall submit to Manager a detailed list of Owner's objections or questions
to the proposed Annual Plan ("Owner's Annual Plan Objections"). Within fifteen (15) days after Manager's receipt
of Owner's Annual Plan Objections, Owner and Manager shall meet and discuss Owner's Annual Plan Objections with the goal of agreeing
upon an Annual Plan for the subject Fiscal Year (the “Annual Plan”). Owner, as part of Owner's Annual Plan
Objections, shall have the right to object to the entire proposed Annual Plan or to any specific item or items contained in the
proposed Annual Plan. In the event Owner objects to the proposed Annual Plan or any specific item or items of expense in the proposed
Annual Plan and Owner and Manager are unable to reach agreement thereon as provided above prior to commencement of the Fiscal
Year in question, pending such agreement, the proposed Annual Plan or the specific item or items of expense (not revenue) in question
shall be suspended and replaced for such period that the Annual Plan or such item(s) are in question by an amount equal to
the lesser of (i) that proposed by Manager for such Fiscal Year, or (ii) if an objection to the entire Annual Plan,
the Actual Gross Operating Expenses for the immediately preceding Fiscal Year subject to an adjustment equal to the percentage
increase in the CPI over the last twelve (12) month period immediately preceding the start of the Fiscal Year in question, or
(iii) if an objection to a specific item or items of expense in the Annual Plan, such item or items of expense for the immediately
preceding Fiscal Year subject to an adjustment for each item equal to the percentage increase in the CPI over the twelve (12)
month period immediately preceding the start of the Fiscal Year in question.

 

(a)            The
Annual Operating Budget shall be prepared in accordance with the Uniform System of Accounts. The proposed Annual Operating Budget
shall incorporate

 

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Manager's good faith reasonable estimates of the items of revenue and expense contained therein and shall contain
the proposed budget for operations for the succeeding Fiscal Year. When approved by Owner, the proposed Annual Operating Budget
shall be the approved Annual Operating Budget. Any revisions, substitutions or additions to the Annual Operating Budget must be
approved by the Owner in writing. The proposed Annual Plan shall include for the ensuing Fiscal Year, the following proposed budgets
and programs:

 

A.            A
proposed operating budget (the “Proposed Operating Budget”) on a monthly and yearly basis with detailed departmental
schedules for each line item and the assumptions underlying the same, including, without limitation: (a) projected occupancy
and average room rates by month broken down by room segment; (b) projected Total Operating Revenues; (c) proposed Hotel
room rates and charges for other services; (d) projected Gross Operating Expenses; (e) projected EBITDA; (f) proposed
staff scheduling and compensation (including, without limitation, any bonuses or other incentive compensation for Hotel Employees
which may take the form of a “bonus pool” stating an aggregate amount to be distributed among the Hotel Employees
as appropriate, rather than separately setting forth incentive and/or bonus compensation for each Hotel Employee); (g) a
narrative comparison of budgeted revenue and expense levels to the previous Fiscal Year’s estimated and actual results,
highlighting material changes for the upcoming Fiscal Year; (h) anticipated depreciation and amortization of fixed assets
at the Hotel; (i) annual debt service with respect to the Hotel; (j) projected contributions by, and distributions to,
Owner as the result of Hotel operations; (k) an estimate of the working capital funds required to be maintained, as of the
end of each month; (l) a year-over-year comparison with comments regarding variance; (m) the cost of the Centralized
Services, and(o) all other items reasonably requested by Owner in order to provide the projected cash flow for the Hotel
during such upcoming Fiscal year.

 

B.            A
proposed budget (the “Proposed Capital Expenditures Budget” or “Capital Budget” and when
the Annual Plan is approved and agreed, the “Approved Capital Budget”) setting forth Manager’s estimate
of the Capital Expenditures to be made respecting the Hotel for both of the following:

 

(a)          major
repairs, alterations, improvements, renewals and replacements (which repairs, alterations, improvements, renewals and replacements
are not routine maintenance, repairs and alterations referred to in Section 6.1.2(b)) to the structural, mechanical,
electrical, heating, ventilating, air conditioning, plumbing and vertical transportation elements of the Hotel building (“Major
Capital Expenditures”); and

 

(b)          non-routine
repairs and maintenance to the Hotel building which are normally capitalized under GAAP, such as exterior and interior repainting,
resurfacing building walls, floors, roofs and parking areas, and replacing folding walls and the like, but which are not Major
Capital Expenditures.

 

C.            A
proposed budget (the “Proposed FF&E Budget”) setting forth Manager’s estimate of the FF&E expenditures
to be made and the sources of funds for the replacements and renewals to the Hotel’s FF&E, including all information
necessary to

 

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satisfy the reporting requirements in the License Agreement and the Mortgage relating to the FF&E Reserve.

 

D.            A
market overview of local competitive properties of the Hotel including narrative descriptions of (a) the Hotel’s target
market, (b) the Hotel’s relative position in such market, and (c) the proposed room rate structures and occupancy
for the target market.

 

E.            A
marketing plan for the Hotel including narrative descriptions and Hotel allocable costs, of (a) Manager’s national
or regional or business segment marketing plans, (b) local Hotel marketing, and (c) intended sales initiatives.

 

F.            A
staffing plan describing the general staffing needs for the operation and management of the Hotel.

 

In preparing the Proposed
Operating Budget, or otherwise from time to time upon the request of Owner, Manager shall use commercially reasonable efforts
to investigate, consider and incorporate into the day-to-day operations of the Hotel certain efficiencies and economies of scale
that may be achieved by outsourcing some or all services that may be currently provided “in-house”.

 

In addition, Manager shall provide to
Owner for Owner's review, a written schedule for the Hotel listing all executive and management employees to be employed "on-site"
in the direct management of the Hotel including, but not limited to the positions of General Manager, Director of Sales, and Chief
Engineer. These schedules shall include such employee's title or job description and the salary range including additional compensation
or prerequisites such as lodging, meals, maintenance, moving expenses, bonus/incentive compensation and the like. In the event
that any employee's services are shared with (or subsidized through a sharing arrangement with) another hotel, the employee shall
be identified together with a description of his/her responsibilities and the amount and source of any subsidy, together with
a breakdown of the relative time expended with respect to the Hotel and each other hotel. If Owner notifies Manager that Owner
does not believe that some or all of the scheduled wages and salaries are reasonable and customary as required above, then Manager
shall promptly provide to Owner a wage and salary survey that supports the scheduled wages and salaries. No proposed amendment
including changes in salary or other compensation shall be effective unless the salary or other compensation as changed is reasonable
and customary as required above.

 

4.5            Contracts;
Equipment Leases.

 

Subject to the terms of this
Section 4.5, Manager may contract for the purchase of goods and services for the Hotel with third parties that have other
contractual relationships with Manager or its Affiliates, so long as the prices charged by such third parties are reasonably competitive.

 

A.            Contracts.
Manager is authorized, without the prior written approval of Owner if not otherwise expressly contemplated by the Annual Plan,
to enter in the name of Owner any contracts for or covering the Hotel (except for Equipment Leases

 

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and Space Leases as more fully
described in subparagraph B below) with vendors of its choice; provided, however, if not otherwise expressly contemplated
by the Annual Plan, Manager may not enter into any contract for or covering the Hotel without Owner’s prior written approval
if (a) the contract term is longer than one (1) year and is not terminable by Owner without penalty upon 30 days’
prior written notice, or (b) the total expenditure by the Hotel pursuant to such contract shall be in excess $25,000.

 

B.            Equipment
Leases. Manager is authorized, without the prior written approval of Owner if not otherwise a part of the Annual Plan, to
enter in the name of Owner any equipment leases and Space Leases covering the Hotel with vendors of its choice; provided,
however, if not otherwise expressly contemplated by the Annual Plan, Manager may not enter into any equipment lease without
Owner’s prior written consent if (a) the contract term is longer than one (1) year and is not terminable by Owner
without penalty upon 30 days’ prior written notice or (b) the total expenditures under such Equipment Lease or
Space Lease exceed $25,000.

 

4.6            Labor
Relations. Manager shall have no right to enter into any collective bargaining agreement concerning any employees of the Hotel
without the prior written approval of Owner, which may be granted or withheld in its reasonable discretion. Upon Owner’s
approval of any such agreement, Manager shall be responsible to perform such agreements. To the extent applicable, Manager: (a) represents
that it is an equal opportunity employer as described in Section 202 of Executive Order 11246 dated September 24, 1965,
as amended, and as such agrees to comply with the provisions of Paragraphs 1 through 7 of Section 202 of said Executive Order
during the performance of this Agreement, (b) agrees to comply with the affirmative action requirements of Part 60.741
of Title 41, Code of Federal Regulations, with respect to handicapped workers during the performance of this Agreement, (c) agrees
to comply with the affirmative action requirements of Part 60.250 of Title 41, Code of Federal Regulations, with respect
to Disabled Veterans and Veterans of the Vietnam Era during the performance of this Agreement, and (d) shall submit to Owner
in the form approved by the Director of the Office of Federal Contract Compliance, U.S. Department of Labor, a certification that
Manager does not and will not maintain any facilities that provide for their employees in a segregated manner, or permit their
employees to perform their services at any location under its control, where segregated facilities are maintained, and that Manager
will obtain a similar certification from its contractors.

 

4.7            Liquor
License. Owner shall obtain and maintain throughout the Term all alcoholic beverage licenses either in its name or its designee
and shall maintain the alcoholic beverage licenses in good standing and effect, free of all liens (and in compliance with the
conditions imposed upon such alcoholic beverage licenses by any alcoholic beverage control commission or other governmental authority
or agency, pursuant to the License Agreement.

 

4.8            Employee
Discount. To the extent Manager provides discounted rates to Manager’s employees at other hotels managed by Manager
or its Affiliates, pursuant to discount rate programs applicable to other hotels, Manager agrees to include this Hotel in such
discounted rate programs (subject to availability and black-out periods determined by Owner and Manager during the Annual Plan
process, or as otherwise approved by Manager or Owner as part of the revenue

 

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management of this Hotel) and to provide the same
discounted rates to the Hotel Employees, to the extent allowed under the management and franchise agreements affecting such other
hotels.

 

4.9            Forms.
Manager shall prepare or cause to be prepared for execution by Owner all forms, reports and returns, if any, required to be filed
by Owner under applicable law with respect to the operation of the Hotel; however, Manager shall not be obligated to prepare any
of Owner's income tax returns. Without limitation, Manager shall timely prepare and deliver, as required by law, an Internal Revenue
Service Tax Form 1099 with respect to payments made during a calendar year to third party contractors and professionals.

 

4.10            Notice
of Violations. Manager shall promptly notify Owner in writing of any written notice received from any regulatory or governmental
body regarding an actual or perceived violation of any Legal Requirements.

 

4.11            In-House
Services. Manager shall have the right to provide in-house services to the Hotel, including without limitation, legal
counsel, the reasonable costs of which shall not exceed current market rates for similar services and shall be paid to Manager
or its Affiliates as an

Gross Operating Expense of the Hotel; provided, however, that the cost of such in-house services shall not exceed the $25,000
in the aggregate in any Fiscal Year without Owner’s prior written approval. In the event Manager desires to enter into any
transaction with an Affiliate or any person in which Manager or any of its Affiliates has any ownership, investment or management
interest or responsibility which is on terms that are not arms-length, Manager shall (i) disclose to Owner the nature of
such affiliation prior to engaging in any transaction in connection with the Hotel; and (ii) obtain the prior written approval
of Owner (which consent shall not be unreasonably withheld, conditioned or delayed), regardless if such transaction was included
in the approved Annual Plan.

 

4.12            Centralized
Services. Subject to the terms and conditions of this Agreement, Manager shall furnish or cause its Affiliates to furnish
to the Hotel, the Centralized Services. Subject to the approved Annual Plan and the terms and conditions of this Agreement, Owner
shall pay to Manager the Hotel’s allocable share of the Centralized Services actually incurred by Manager or its Affiliates
(without profit, premium or mark-up or other element of compensation of any kind). Although the method of allocation of the Centralized
Services among the Managed Hotels may change from time to time as agreed to by Owner and Manager, the current method of allocating
the Centralized Services is set forth on Schedule IV. Additional Centralized Services may be added by amendment to Schedule IV
from time to time only upon Owner’s prior written approval (which shall not be unreasonably withheld, conditioned or delayed)
with Manager’s explanation of how the costs of such additional Centralized Services to be charged and allocated among the
Manager managed hotels or if provided for in an approved Annual Plan. Except with respect to the Centralized Services, under no
circumstances shall Manager charge for any general corporate overhead of Manager or Affiliates (except as otherwise provided or
allowed in this Agreement). As part of the Proposed Annual Plan, in addition to the Centralized Services, Manager will set forth
a list of those additional services (if any) that are furnished generally on a central or system-wide basis to Managed Hotels,
together with Manager’s proposal as to which of such additional services are appropriate for the Hotel.

 

4.13            Lease.
Owner or Manager at Owner’s request shall make any and all lease payments under the Lease as and when they become due, and
shall comply with and perform any and all covenants

 

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contained in the Lease, in each instance before any event of default (as defined
in the Lease) or other event occurs under the Lease, which would trigger the lessor’s right to terminate the Lease.

 

ARTICLE 5

RELATIONSHIP OF PARTIES

 

Owner and Manager
acknowledge and agree that this Agreement creates an agency relationship; provided, however, that (a) each Hotel Employee
shall be the employee of Manager or Manager’s Affiliate and not of Owner, (b) Manager's authority is subject to the
terms and conditions of this Agreement, and (c) nothing in this Agreement shall constitute, or be construed to be, or create,
a partnership, joint venture or lease or employment arrangement between Owner and Manager with respect to the Hotel or the operation
thereof. Employees or agents of Manager are not by this Agreement or by any actions of Owner and/or Manager hereunder made employees
of Owner, and are not entitled to the benefits provided by Owner or its Affiliates to its employees, including but not limited
to, group insurance, leave and pension plan. This Agreement shall not be deemed at any time to be an interest in real estate or
a lien or security interest of any nature against the Hotel, the Premises or any other land used in connection with the Hotel,
or any equipment, fixtures, inventory, motor vehicles, contracts, documents, accounts, notes, drafts, acceptances, instruments,
chattel paper, general intangibles, or other personal property now existing or that may hereafter be acquired or entered into
with respect to the Hotel or the operation thereof.

 

ARTICLE 6

ADVERTISING

 

Subject to and in
strict compliance with the provisions of the License Agreement, Manager shall arrange and contract for all advertising, which
Manager may reasonably deem necessary, in accordance with Section 4.4, for the operation of the Hotel. So long as the License
Agreement may be in effect, Manager generally shall advertise the Hotel under the name of the Hotel set forth on Schedule I or
such other name as Owner may designate or approve.

 

ARTICLE 7

RESERVE FOR FF&E

 

7.1.            Reserve
for Replacement of FF&E. The Reserve shall be funded pursuant to Section 7.2, and Manager shall use amounts in the
Reserve to cover the cost of FF&E expenditures and Capital Improvements, as described in Section 4.4 in conjunction with
the Approved Capital Budget. All FF&E, Capital Improvements and the Reserve shall be the property of Owner.

 

7.2            Transfers
to Reserve for FF&E. Commencing on the Commencement Date and continuing thereafter during the remainder of the Term, Manager
shall deposit monthly into the Reserve for FF&E an amount equal to the amounts required by Lender and/or by Licensor; provided
that in no event will the amounts to be deposited monthly into the Reserve be less than an amount equal to such amounts required
by the Owner’s lender or the Franchisor.

 

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7.3            Annual
Adjustment. At the end of each Fiscal Year and following receipt by Manager of the annual accounting referred to in Article 10,
an adjustment will be made to such annual account, if necessary and if available, so that the appropriate amount shall have been
deposited in the Reserve.

 

7.4            Maintenance
of Reserve. Checks or other documents of withdrawal shall be signed by representatives of Manager who shall be bonded or otherwise
insured pursuant to insurance provisions of this Agreement. The proceeds from the sale of FF&E no longer needed for the operation
of the Hotel shall be deposited in the Reserve, but not be credited against the obligation to deposit cash in such fund for the
then current Fiscal Year. All interest earned or accrued on amounts invested from the Reserve shall be added to the Reserve (but
shall not be credited against Owner's obligations to fund the Reserve), and shall not constitute Total Operating Revenues or be
included therein.

 

7.5            Accumulation
of Reserve and Additional Cost of FF&E and Capital Improvements. Owner and Manager acknowledge and agree that portions
of the Reserve may, from time to time in accordance with the then-current Annual Plan, be used for more significant expenditures
than could be reserved for in a single year. Accordingly, at the end of each Fiscal Year, any amounts remaining in the Reserve
shall be carried forward to the next Fiscal Year, and shall be in addition to the amount to be reserved in the next Fiscal Year.
In the event at any time there are insufficient funds in the Reserve for any Fiscal Year to pay the cost of FF&E in accordance
with the Annual Operating Budget and the Approved Capital Budget, then Owner will, within thirty (30) days after request therefor
by Manager shall provide the additional cash to the Manager.

 

7.6.            Final
Remittance. Upon expiration or termination of this Agreement, subject to the other terms and provisions of this Agreement,
all remaining amounts in the Reserve shall be remitted forthwith to Owner.

 

ARTICLE 8

REPAIRS AND MAINTENANCE AND CAPITAL
IMPROVEMENTS

 

8.1            Repairs
and Maintenance. Subject to the terms hereof, Manager shall, from time to time, make such expenditures from Total Operating
Revenues for repairs and maintenance including service contracts ("Repairs and Maintenance") as required by the
Lender, the License Agreement, the Legal Requirements, the then current Annual Plan or as necessary to maintain the Hotel in good
operating condition in compliance with the License Agreement and otherwise in the condition required by this Agreement, including
but not limited to repairs and maintenance of HVAC, mechanical and electrical systems, exterior and interior repainting, resurfacing
building walls and parking areas, waterproofing of exterior surfaces of floors, roofs, and replacement of plate glass, or the
like. It is Owner's intent that the sums allocated for Repairs and Maintenance in accordance with the then current Annual Plan
are to be fully expended during that Fiscal Year exclusively for the purposes identified in such Annual Plan. Except in the event
of an emergency due to casualty, act of God or otherwise under circumstances in which it would be unreasonable to seek to obtain
prior approval (and provided that Manager shall notify Owner of any such

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expenditure within a reasonable time given the nature
and scope of the emergency), all expenditures for the foregoing shall be as provided in the Annual Operating Budget and the Approved
Capital Budget. If any such Repairs or Maintenance shall be made necessary by any condition against the occurrence of which Owner
has received the guaranty or warranty of the builder or the Hotel or of any supplier of labor or materials for the Hotel or of
any supplier of labor or materials for the construction of the Hotel, then Manager may invoke said guarantees or warranties in
Owner's or Manager's name and Owner shall cooperate in all reasonable respects with Manager in the enforcement thereof.

 

8.2            Capital
Improvements. Owner may, from time to time, at its sole expense, make such structural repairs, replacements, substitutions,
alterations, additions or improvements (exclusive of FF&E) ("Capital Improvements") in or to the Hotel as
Owner shall determine are necessary to comply with the Operating Standards. If Capital Improvements included in the definition
of Building and Appurtenances shall be required at any time during the Term by the terms of any Mortgage, the License Agreement,
to maintain the Hotel in good operating condition or by reason of any Legal Requirements, or because Manager and Owner jointly
agree upon the desirability thereof, then in such event all such Capital Improvements shall be made with as little hindrance to
the operation of the Hotel as reasonably possible. Notwithstanding the foregoing, as long as the Hotel can continue to operate
without interruption, Owner shall have the right to contest the need for any such Capital Improvements required by any Legal Requirements
and may postpone compliance therewith, if so permitted by law and if such postponement will not expose Manager to any civil or
criminal liability. All recommendations by Manager of Capital Improvements shall be submitted in conjunction with the Capital
Budget for the Fiscal Year described in Section 4.4(b). In the event that Owner elects to perform Major Renovations to the
Hotel, the oversight of the performance of the Major Renovations shall be placed to bid, it being agreed that the Manager or its
Affiliates may participate in any such bidding process.

 

8.3            Service
Contracts. Manager, without requiring the consent of Owner, shall enter into any contract for cleaning, maintaining, repairing
or servicing the Hotel or any of the constituent parts of the Hotel as Manager deems necessary for the operation of the Hotel,
except as specifically provided in Section 4.4 or 4.5. Unless otherwise approved by Owner, all service contracts shall: (a) be
in the name of Owner or Owner's nominee, (b) to the extent customary, include a provision for cancellation thereof by Owner
or Manager upon not more than thirty (30) days written notice, and (c) shall require that all contractors provide evidence
of such insurance as is customarily carried by other contractors involved in similar servicing arrangements.

 

8.4            Liens.
Owner and Manager shall cooperate and use all commercially reasonable efforts to prevent any liens from being filed against the
Hotel that arise from any maintenance, changes, repairs, alterations, improvements, renewals or replacements in or to the Hotel.
If any such liens are filed, Manager shall, subject to the availability of funds therefor in the Operating Accounts or as otherwise
supplied by Owner, obtain the release thereof prior to the institution of legal proceedings in connection therewith. The cost
of obtaining such release shall be included in Gross Operating Expenses, unless the imposition of the lien results from a default
by Owner or Manager, in which event the cost of obtaining such release shall be borne by such defaulting party.

 

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8.5            Notice
of Unavoidable Interruptions. In the event of any occurrence constituting an Unavoidable Interruption, Manager shall promptly
notify Owner of such occurrence and shall keep Owner informed as to the extent and impact thereof on the Hotel.

 

ARTICLE 9

WORKING CAPITAL AND BANK ACCOUNTS; DISTRIBUTIONS

 

9.1            Working
Capital. Owner shall provide initial Working Capital in the amount set forth on Schedule I in addition to the value of all
Inventories. Owner shall at all times cause sufficient funds to be on hand in the Operating Accounts to assure the timely payment
of all current liabilities of the Hotel, including but not limited to Gross Operating Expenses, all other costs and expenses incurred
in connection with the Hotel pursuant to this Agreement and the performance by Manager of its obligations under this Agreement,
all fees, charges and reimbursements payable to Manager hereunder and all amounts required hereunder to be transferred into the
Reserve. In no event shall Owner permit the balance in the Operating Accounts to be less than an amount equal to the estimated
monthly operating expenses of the Hotel as reflected in the then current Annual Operating Budget. From time to time, upon five
(5) days prior written notice from Manager that such funds are required, Owner shall furnish to Manager funds that Manager
deems reasonably necessary to assure that the Project shall have adequate working capital as herein provided. In the event Owner
fails to supply required working capital in accordance with the provisions of this Section or if Manager otherwise deems
such action to be necessary, Manager may use all or part of the funds in the Reserve to supplement the Operating Accounts in order
to defray or pay the Hotel's operating costs and expenses, to the extent permitted by the Mortgage. Owner shall promptly reimburse
the Reserve for all sums so used or transferred. All unexpended Working Capital, Inventories and Operating Equipment and
Supplies purchased with Working Capital shall remain the property of Owner.

 

9.2            Operating
Account. All funds (exclusive of funds deposited in the Reserve and house banks at the Hotel) received by Manager in the operation
of or otherwise relating to the Hotel, and funds for Working Capital provided by Owner or retained by Manager from Total Operating
Revenues, shall be deposited in the Operating Account, provided that in connection with any cash management arrangements with
the Lender, all Total Operating Revenues shall be deposited to the Operating Account upon being swept out of the accounts associated
with such cash management arrangements. No funds shall be deposited into the Operating Account attributable to any other property.
To the extent permitted by the Mortgage, amounts in the Operating Account may be temporarily withdrawn and invested by Manager
in any Permitted Investments, having due regard for the timing of cash needs, but in no event shall such funds be co-mingled by
Manager with any other funds. From the Operating Account, Manager shall pay all Gross Operating Expenses (other than the excess
FF&E if funded by or through Owner) before any penalty or interest accrues thereon, however, taking into account sound cash
management. All interest earned or accrued on amounts invested from the Operating Account shall be added to the Operating Account.
All checks or other documents of withdrawal from the Operating Account shall be signed by representatives of Manager except as
provided in Section 9.3 hereof.

 

9.3            Maintenance
of Operating Account. Subject to Section 9.4, the Operating Account shall be opened and maintained at all times by Manager
and checks and other documents of withdrawal shall be signed only by representatives of Manager who are covered by the insurance
required

 

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herein. The Operating Account and any other bank accounts approved by Owner shall be in Owner's name (for example, “[Owner’s
name] d/b/a/ [trade name of Hotel]”).

 

Manager shall not change the bank or open
or close any bank account described in this Article 9 without Owner's prior written approval, which approval Owner shall
not unreasonable withhold.

 

9.4            Final
Remittance. Upon the expiration or termination of this Agreement, after payment of all Gross Operating Expenses for which
bills were received to such date, Manager's Management Fee, Reimbursable Expenses, any Termination Fee and any other amounts then
due and payable to Manager, all remaining amounts in (i) the Reserve, (ii) the Operating Account and (iii) the
Permitted Investments, shall be transferred forthwith to Owner by Manager. Owner shall pay Manager any remaining Management Fee,
any Reimbursable Expenses and any other amounts then due and payable to Manager and Owner shall pay, or cause to be paid, and
shall hold Manager harmless from and against all Gross Operating Expenses or other costs or expenses received after Manager has
so transferred all funds. The provisions hereof shall survive any termination of this Agreement.

 

9.5            Distributions
of Excess Cash. The Owner agrees that no distributions of cash to Owner or any other party designated by Owner from the Operating
Account except in accordance with the following:

 

  Full payment of the
following items in the following order has occurred:

 

		(A)	all due and payable Management Fees,
                                         Centralized Services costs, Reimbursable Expenses and/or any other amounts due hereunder
                                         to Manager;

 

		(B)	due and payable Gross Operating
                                         Expenses; and

 

		(C)	the deposit of any reserves required
                                         to be held hereunder, under the Mortgage or the License Agreement.

 

Upon payment of the same, Manager may
distribute from the Operating Account to Owner all sums in the Operating Accounts in excess of the then working capital requirements
of the Hotel determined in accordance with Section 9.1 of this Agreement.

 

ARTICLE 10

BOOKS, RECORDS AND STATEMENTS

 

10.1            Books
and Records. Manager (at the cost of Owner) shall keep full and adequate books of account and other records reflecting the
results of operation of the Hotel in accordance with the Uniform System of Accounts and GAAP. The books of account and all other
records relating to or reflecting the operation of the Hotel shall be kept either at the Hotel or at Manager's corporate offices
and shall be available to Owner and its representatives and its auditors or accountants, at all reasonable times for examination,
audit, inspection and transcription at Owner's sole cost and expense. All of such books and records pertaining to the Hotel including,
without limitation, books of account, guest records and front office records at all times shall be the property of Owner. Upon
any termination of this Agreement, all of such books and records forthwith shall be turned over to Owner at a location reasonably
designated by Owner so as to insure the orderly continuance of the

 

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operation of the Hotel, but such books and records shall thereafter
be available to Manager at all reasonable times for inspection, audit, examination and transcription for a period of two (2) years.
Any books and records relating to Hotel Employees and payroll costs shall be the property of the Manager.

 

10.2        Financial
Reports.

 

(a)            Manager
shall deliver to Owner within twenty (20) days following the close of each Accounting Period a monthly profit and loss statement
reflecting a comparison of periodic and year-to-date actual revenues and expenses with the Annual Operating Budget as well as
a periodic and year-to-date comparison of such actual revenues and expenses with those of the prior Fiscal Year.

 

(b)            Further,
Manager shall provide to Owner within twenty (20) days following the close of each Accounting Period a report prepared in accordance
with the example set forth in Exhibit B attached hereto and made a part hereof.

 

(c)            Further,
within seventy-five (75) days after (i) the end of each Fiscal Year and (ii) the end of the Term of this Agreement,
Manager shall deliver to Owner an annual accounting, showing the results of operation of the Hotel during the Fiscal Year and
a computation of Total Operating Revenues, Gross Operating Expenses, and any other information necessary to make the computations
required hereby or which may be requested by Owner, all for such Fiscal Year. The annual accounting for any Fiscal Year shall
be controlling over the interim accountings for such Fiscal Year. Owner shall have the right to conduct an audit of the books.

 

(d)            Further,
Manager shall prepare and deliver any additional reports or information as Owner is required to provide under the License Agreement
with respect to the operations of the Hotel.

 

10.3        Audits
by Owner. Owner shall have the right to audit, conducted either by Owner's internal personnel or by a third party auditor
retained by Owner at its expense, all items of expense and revenue under this Agreement including, but not limited to, Total Operating
Revenues, Gross Operating Expenses, depreciation, the Management Fee and Reserve. Manager shall cooperate and assist with such
audit. In the event that an audit reflects an underpayment to Owner or Manager or an overpayment to Manager or Owner, Manager
shall correct same by a corrective payment to Owner or Manager, as appropriate, within ten (10) days following notice of
the audit results to Manager, subject to Owner’s and Manager’s right to challenge the audit results in accordance
with the provisions of Article 30 of this Agreement.

 

10.4        Segregation
of Accounts. In any instance where Manager manages several properties for Owner, Manager shall segregate the income and expenses
of each property so that Total Operating Revenues from each property will be applied only to the bills and charges from that property.

 

ARTICLE 11

 

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MANAGER'S MANAGEMENT FEES; TIMING OF

PAYMENT TO MANAGER

 

11.1        Fees.
For each Fiscal Year or portion thereof, Manager shall receive, by a distribution made by Manager out of Total Operating Revenues
at the end of each Accounting Period in respect of its management services hereunder, a fee (collectively, the "Management
Fee(s)") calculated as follows:

 

(a)            the
Base Fee set forth on Schedule I; plus

 

(b)            the
fees and costs for Centralized Services provided herein.

 

The Management Fee generally shall be
computed separately for each Fiscal Year and shall not be accumulated from Fiscal Year to Fiscal Year. Owner shall reimburse Manager
for all Reimbursable Expenses incurred by it in connection with the performance of this Agreement. Any such amount shall be payable
within thirty (30) days of billing, and upon request of Owner, Manager shall provide a statement showing in reasonable detail
the nature and amount of such expenses, together with supporting documentation reasonably requested by Owner.

 

11.2        Treatment
of Proceeds of Business Interruption Insurance and Condemnation Awards. In the event of a casualty or condemnation for temporary
use resulting in the payment of business interruption insurance (with respect to such casualty) or a condemnation award (with
respect to such condemnation for temporary use), the amount of such proceeds shall be considered a part of Total Operating Revenues
for the purpose of computing Manager's Management Fee.

 

ARTICLE 12

INSURANCE

 

Manager shall procure and maintain (i) the
Workers’ Compensation and employer’s liability insurance required under Section 12.2.1 and (ii) Commercial
Crime insurance required under Section 12.2.2 and (iii) Employment Practices Liability insurance required under Section 12.2.4
and (iv) at Manager’s sole cost and expense, the professional liability/errors and omissions insurance required under
Section 12.2.7. Except to the extent caused by Manager’s or its Affiliate’s negligence or willful misconduct,
Owner assumes all risks in connection with the adequacy of any insurance and waives any claim against Manager and its Affiliates
for any liability, cost, or expense arising out of any uninsured or under-insured claim. All insurance for the Hotel that is obtained
under Manager’s insurance program will terminate effective upon Termination. Except as otherwise provided herein, the costs
and expense of the insurance required by the Manager under this Article 12 shall be a Gross Operating Expense or otherwise
paid by Owner.

 

12.1            Property
Insurance. Insurance on the Hotel (including the improvements and contents) against loss or damage on an all risk coverage basis
and all other risks covered by the usual standard extended coverage endorsements, insuring against loss or damage from windstorm,
flood, hail and earthquake, all to the extent available on commercially reasonable terms, with deductible limits in an amount
not to exceed $25,000 per occurrence will be procured and

 

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maintained by the Owner, provided however with respect to windstorm
and earthquake coverage, providing for a deductible reasonably satisfactory to Owner and Manager, all in an amount which shall
be sufficient to avoid any coinsurance penalty clause application;

 

12.1.1            Insurance
against loss or damage from explosion of boilers, pressure vessels, pressure pipes and sprinklers, to the extent applicable, installed
in the Hotel; and

 

12.1.2            Business
interruption insurance covering net income plus necessary continuing expenses for interruptions caused by any occurrence covered
by the insurance referred to in Section 12.1.1 and 12.1.2, for a period of not less than twelve (12) months commencing at
the time of loss.

 

12.2         Operational
Insurance.

 

12.2.1            Workers’
Compensation and employer’s liability insurance as may be required under Applicable Laws covering all of the Hotel Employees,
with such deductible limits in an amount not to exceed $25,000 and waiver of subrogation in favor of Owner will be procured and
maintained by the Manager.

 

12.2.2            Fidelity
bonds or insurance, subject to a deductible of not more than $25,000 per loss, covering Manager’s on site Hotel Employees
in job classifications normally bonded in the hotel industry or as otherwise required by law will be procured and maintained by
the Manager. Such coverage shall include a loss payable endorsement in favor of Owner and, to the extent available on commercially
reasonable terms, shall include an extension for third party coverage with an endorsement confirming such extension that protects
Owner’s property, including, without limitation, monies and securities.

 

12.2.3            Commercial
general public liability insurance and excess umbrella liability insurance, including, but not limited to, coverage against claims
for personal injury, death or property damage occurring on, in, or about the Hotel, including, without limitation, innkeeper’s
liability, garage liability, garage keeper’s legal liability, liquor liability and automobile insurance on vehicles operated
in conjunction with the Hotel, as applicable, with single-limit coverage for personal and bodily injury and bodily damage of at
least $1,000,000 per occurrence and $2,000,000 in the aggregate and protection for third party claims will be procured and maintained
by the Owner. Manager and any other party or interest requested by Manager shall be included as an additional named insured under
the coverages required in this subsection.

 

12.2.4            Employment
practices liability insurance with an extension for third party claims will be procured and maintained by the Manager.

 

12.2.5            Umbrella
liability insurance coverage to a limit of not less than $25,000,000 which shall provide excess coverage of all underlying insurances
will be procured and maintained by the Owner.

 

12.2.6            Manager’s
or Manager’s Affiliates’ corporate office professional liability/errors and omissions insurance with a minimum amount
of a $2,000,000 limit of liability, covering financial loss arising from errors and omissions committed in the performance of
Hotel

 

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Management services at the Hotel. Such insurance shall provide coverage for claims arising from professional services performed
by Manager for wrongful acts which shall be defined as any actual or alleged negligent act, error or omission, misstatement or
misleading statement or personal injury offense committed by the Manager or by any other person or entity acting on Manager’s
behalf in the performance of or failure to perform professional services. Personal injury offense also means any actual or alleged
false arrest, detention or imprisonment, malicious prosecution, defamation including libel, slander and disparagement, publication
or an utterance in violation of an individual’s right to privacy and invasion of the right to private occupancy, including
wrongful entry or eviction. The cost of this insurance shall be borne by Manager and is not an Operating Expense.

 

12.2.7            Cyber
Liability Insurance, covering privacy liability, data breach, network security, network extortion, and business interruption,
against loss from the failure by the Owner or the Hotel or by an independent contractor for which the Insured is legally responsible
(including Manager) to properly handle, manage, store, destroy or otherwise control any : (i) personal information; (ii) third
party corporate information in any format provided to the Insured, the Hotel or the Manager and specifically identified as confidential
and protected under a nondisclosure agreement or similar contract; (iii) an unintentional violation of the Owner’s,
Manager’s or the Hotel’s privacy policy that results in the violation of any law or regulation with respect to privacy
and personal information; (iv) a failure of computer network security. Such coverage will provide minimum limits of Five
Million Dollars ($5,000,000).

 

12.3         Cost
and Expense. Except as otherwise provided herein, insurance premiums and any costs or expenses respecting the insurance described
in this Article 12 shall be a Gross Operating Expense of the Hotel or otherwise paid by Owner. Premiums on policies for more
than one year shall be charged pro rata over the period of the policies. Any reserves, losses, costs, damages or expenses which
are uninsured, or fall within deductible limits or self-insured retentions, shall be treated as a cost of insurance and shall
be a Gross Operating Expense.

 

12.4         Coverage.
All insurance described in this Article 12 to be obtained by Manager (at Owner’s request) may be obtained by endorsement
or equivalent means under Manager’s blanket insurance policies, provided that such blanket policies substantially fulfill
the requirements specified herein. Deductible limits and self-insured retentions shall be as provided in the blanket policies
covering the hotels leased or managed by Manager. In addition, Manager shall not self-insure or otherwise retain such risks or
portions thereof as it may respecting other hotels it leases or manages. Notwithstanding the foregoing, all insurance policies
and coverages shall be subject to the requirements of all Mortgages and any License Agreement.

 

12.5         Policies
and Endorsements.

 

12.5.1            Where
permitted and as applicable, all insurance provided under this Article 12 shall be carried in the name of Manager. Owner,
Fee Owner and each of their officers, members, partners, shareholders, directors, agents, Affiliates, employees, successors and
assigns, Licensor and the holder of the Mortgage on the Hotel, if any, shall be named as additional insureds on any insurance
hereunder and any losses thereunder shall be payable to the parties as their respective

 

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interests may appear. To the extent any
insurance is carried in the name of Owner, Manager and its officers, members, partners, shareholders, directors and employees
shall be named as additional insureds on any such policies and any losses thereunder shall be payable to the parties as their
respective interests may appear. The party procuring such insurance shall deliver to the other party certificates of insurance
respecting all policies so procured, including existing, additional and renewal policies and, in the case of insurance about to
expire, shall deliver certificates of insurance respecting the renewal policies within ten (10) days of the respective expiration
dates.

 

12.5.2          All
policies of insurance provided under this Article 12 shall, to the extent obtainable, have attached an endorsement that such
policy shall not be canceled or materially changed without at least thirty (30) days prior notice to Owner, Manager, any Franchisor
and the holder of the Mortgage.12.6

 

12.6.            Waiver
of Subrogation. Owner and Manager each waive their respective rights of subrogation against each other.

 

12.7.            Mortgage
Requirements. Insurance shall be maintained in a manner consistent with the terms and conditions of any Mortgage and any conflict
between those terms and conditions and the provisions of this Agreement shall be resolved in favor of the Mortgage.

 

ARTICLE 13

REAL AND PERSONAL PROPERTY TAXES; UTILITIES

 

13.1            Taxes.
Manager shall, on behalf of Owner, pay from the Total Operating Revenues, on or before the dates the same become delinquent, with
the right to pay the same in installments to the extent permitted by law, all real estate taxes, all personal property taxes and
all betterment assessments levied against the Hotel or any of its component parts. Manager shall promptly deliver to Owner all
notices of assessments, valuations and similar documents to be filed by Manager or Owner, which are received from taxing authorities
by Manager. Owner shall have the right to hire property tax consultants or like professionals that reasonably provide economic
benefits to Owner and the costs thereof shall be a part of Gross Operating Expenses. Notwithstanding the foregoing obligations
of Manager, Owner may elect to contest the validity or the amount of any such tax or assessment, provided that such contest does
not materially jeopardize Manager's rights under this Agreement. Manager agrees to cooperate with Owner and execute any documents
or pleadings required for such purpose, provided Owner agrees to reimburse Manager for any out-of-pocket costs occasioned to Manager
by any such contest. At Owner's election, all costs relating to any such contest may be paid from the Operating Account but will
not be included as Gross Operating Expenses.

 

13.2            Utilities,
Etc. Manager shall promptly pay all fuel, gas, light, power, water, sewage, garbage disposal, telephone and other utility
bills currently as required to operate the Hotel from the Total Operating Revenues.

 

ARTICLE 14

USE OF NAME

 

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14.1       Name.
During the Term of this Agreement, the Hotel shall at all times be known by the hotel name designated on Schedule I or
by such other name as from time to time may be agreed upon by Owner and Manager. Manager shall not use or employ such name unless
such use fully complies with the terms of the License Agreement, if any.

 

ARTICLE 15

DAMAGE OR DESTRUCTION; CONDEMNATION

 

15.1       Damage
or Destruction. (a) If the Hotel or any portion thereof shall be damaged or destroyed at any time or times during the
Term by fire, casualty or any other cause commonly covered by fire and extended coverage insurance and the cost of repairing such
damage and restoring the Hotel to substantially its condition immediately prior to such damage or destruction, as reasonably estimated
by Owner based upon estimates Owner receives from contractors and other reasonable and customary evidence, will not exceed the
sum of $1,000,000 plus adjustments to reflect increases in the CPI for each Fiscal Year after 2019 exclusive of the cost of the
foundation and footings ("Minimum Cost"), Owner will, at its own cost and expense (subject to Owner's receipt
of insurance proceeds sufficient to pay such costs and expenses) and with due diligence repair and/or restore the Hotel so that
after such repair and/or restoration, the Hotel shall be in substantially the same condition as it was immediately prior to such
damage or destruction.

 

(b)            If
the cost of such repair and/or restoration will, as so reasonably estimated by Owner, exceed the Minimum Cost, then Owner shall,
within one hundred twenty (120) days after such damage or destruction, elect by notice to Manager either (x) to carry out
such repair and/or restoration, in which case Owner shall complete such repair and/or restoration pursuant to the last sentence
of Section 15.1(a) or (y) to terminate this Agreement; should Owner so elect to terminate this Agreement. Upon
the termination of this Agreement pursuant to this paragraph, Operator shall be entitled to a Reinstatement Right for a period
of 24 months from the date of termination.

 

(c)            In
the case of damage or destruction which Owner is required by the preceding provisions of this Section 15.1 to repair or restore
or where Owner has not elected under said preceding provisions to terminate this Agreement, Owner shall undertake to so repair
and/or restore such damage or destruction and neither Owner nor Manager shall have a right to terminate this Agreement on account
of such damage or destruction.

 

15.2       Condemnation.
If the whole of the Hotel shall be taken or condemned in any eminent domain, condemnation, compulsory acquisition or like proceeding
by any competent authority or if such a portion thereof shall be taken or condemned as to make it imprudent or unreasonable, in
the sole opinion of Owner, to use the remaining portion as a hotel of the type and class immediately preceding such taking or
condemnation, then the Term shall terminate as of the date title vests in the condemning authority. Manager has no interest in
any award paid to Owner and Manager shall make no claim against the condemnor for any loss to its business as a result of such
condemnation or otherwise. If only a part of the Hotel shall be taken or condemned and the taking or condemnation of such part
does not, in the opinion of Owner, make it unreasonable or imprudent to operate the remainder as a hotel of the type and class
immediately preceding such taking or condemnation, this Agreement shall not terminate, and so much of any award to Owner shall
be

 

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made available as shall be reasonably necessary for making alterations or modifications of the Hotel, or any part thereof,
so as to make it a satisfactory architectural unit as a hotel of similar type and class as prior to the taking or condemnation.

 

15.3.      Mortgage
Requirements. Actions as to damage or destruction and condemnation shall be taken only in a manner that is consistent with
the terms and conditions of the Mortgage and any conflict between those terms and conditions and the provisions of this Agreement
shall be resolved in favor of the Mortgage.

 

ARTICLE 16

EVENTS OF DEFAULT

 

16.1       Manager
Defaults. Subject to the conditions contained in Section 17.3 below, each of the following shall constitute an Event
of Default by Manager:

 

(a)            The
failure of Manager to pay any sum of money to Owner provided for herein when the same is payable, if such failure is not cured
within ten (10) days after written notice specifying such failure is given by Owner to Manager

 

		(b)	  An assignment by Manager in violation
                                         of the provisions of Article 23 hereof.

 

(c)            If
Manager shall fail to keep, observe or perform any other material covenant, agreement, term or provision of this Agreement to
be kept, observed or performed by Manager and such failure shall continue for a period of thirty (30) days after written
notice specifying such failure given by Owner to Manager, or if Manager due to any act or omission on the part of Manager and
without the fault of Owner, shall fail to maintain the Permits and such failure shall continue for a period of thirty (30)
days after written notice specifying such failure given by Owner to Manager; provided that if such failure is incapable of
cure within such thirty (30) day period, then the cure period shall be extended provided that Manager commenced the
cure during such initial thirty (30) day period and thereafter diligently and continuously pursues the cure thereof to
completion.

 

(d)            If
because of any act or omission on the part of Manager, and without the fault of Owner, either (i) the License Agreement or
(ii) any required license for the sale of alcoholic beverages at the Hotel, is at any time suspended, terminated or revoked
for a period of more than thirty (30) consecutive days, provided, however, if, at the end of such thirty (30) day period the cure
has not been effectuated notwithstanding Manager's diligent and continuous attempts to cure, then the cure period shall be extended
for an additional period of ninety (90) days.

 

(e)            If
Manager shall fail to maintain and operate the Hotel in accordance with the standards required under Section 4.1 and such
failure shall not be due to a refusal on the part of Owner to approve the Annual Plan submitted by Manager under Section 4.4
or Owner's failure to properly provide funds requested pursuant to the provisions of Article 9 and such failure shall continue
for a period of sixty (60) days after written notice by Owner to Manager specifying the matters or conditions which constitute
the basis for such Event of Default, provided that if such failure is not reasonably capable of cure within such sixty (60) day
period, then the cure period

 

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shall be extended provided that Manager commences the cure during such initial sixty (60) day period
and thereafter diligently and continuously pursues the cure thereof to completion.

 

(f)            If
Manager shall apply for or consent to the appointment of a receiver, trustee or liquidator of Manager or of all or a substantial
part of its assets, admit in writing its inability to pay its debts as they come due, make a general assignment for the benefit
of creditors, take advantage of any insolvency law, or file an answer admitting the material allegations of a petition filed against
Manager in any bankruptcy, reorganization or judgment or if an order, judgment or decree shall be entered by any court of competition
jurisdiction, on the application of a creditor, adjudicating Manager bankrupt or insolvent or approving a petition seeking reorganization
of Manager or appointing a receiver, trustee or liquidator of Manager or of all or a substantial part of its assets, and such
order, judgment or decree shall continue unstayed and in effect for any period of ninety (90) consecutive days.

 

(g)            The
filing of a voluntary petition in bankruptcy or insolvency or a petition for liquidation or reorganization under any bankruptcy
law by Manager, or Manager shall consent to, acquiesce in, or fail timely to controvert, an involuntary petition in bankruptcy,
insolvency or an involuntary petition for liquidation or reorganization filed against it.

 

(h)            The
filing against Manager of a petition seeking adjudication of Manager as insolvent or seeking liquidation or reorganization or
appointment of a receiver, trustee or liquidator of all or a substantial part of Manager's assets, if such petition is not dismissed
within ninety (90) days.

 

(i)             Failure
of Manager (but excluding such a failure which results from the failure by Owner to provide the necessary funds therefor) to maintain
at all times throughout the term hereof all of the insurance required to be maintained by Manager under Article 12, if such
failure is not cured within fifteen (15) days after written notice specifying such failure is given by Owner to Manager.

 

  (j)            The
fraud, gross negligence, willful misconduct or criminal conduct of or by Manager in connection with the Hotel.

 

16.2       Owner
Defaults. Each of the following shall constitute an Event of Default by Owner:

 

(a)            The
failure of Owner to pay or furnish to Manager any money Owner is required to pay or furnish to Manager in accordance with the
terms hereof on the date the same is payable, if such failure is not cured within five (5) days after written notice specifying
such failure is given by Manager to Owner. If any sum of money is not paid within five (5) days following the date same becomes
due and payable under this Agreement, and Manager has advanced such sum on behalf of Owner, such sum shall bear interest at the
Default Rate from the date Manager advanced such sum on behalf of Owner until the date Owner actually pays such sum. If the failure
to pay relates to the Management Fee, such sum shall bear interest at the Default Rate from the date due until the date actually
paid.

 

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(b)            If
because of a default under the Mortgage, if any, not caused by the act or omission of Manager, the Mortgage shall be foreclosed,
or the Hotel sold in lieu of foreclosure.

 

(c)            If
Owner shall apply for or consent to the appointment of a receiver, trustee or liquidator of Owner of all or a substantial part
of its assets, or admit in writing its inability to pay its debts as they come due, make a general assignment for the benefit
of creditors, take advantage of any insolvency law, or file an answer admitting the material allegations of a petition filed against
Owner in any bankruptcy, reorganization or insolvency proceeding, or if an order, judgment or decree shall be entered by any court
of competent jurisdiction, on the application of a creditor, adjudicating Owner a bankrupt or insolvent or approving a petition
seeking reorganization of Owner or appointing a receiver, trustee or liquidator of Owner or of all or a substantial part of its
assets, and such order, judgment or decree shall continue unstayed and in effect for any period of ninety (90) consecutive days.

 

(d)            The
filing of a voluntary petition in bankruptcy or insolvency or a petition for liquidation or reorganization under any bankruptcy
law by Owner, or Owner shall consent to, acquiesce in, or fail timely to controvert, an involuntary petition in bankruptcy, insolvency
or an involuntary petition for liquidation or reorganization filed against it.

 

(e)            The
filing against Owner of a petition seeking adjudication of Owner as insolvent or seeking liquidation or reorganization or appointment
of a receiver, trustee or liquidator of all or a substantial part of Owner's assets, if such petition is not dismissed within
ninety (90) days.

 

(f)            Failure
of Owner to maintain at all times throughout the term hereof all of the insurance required to be maintained by Owner under Article 12,
if such failure is not cured within fifteen (15) days after written notice specifying such failure is given by Manager to Owner.

 

(g)            The
failure of Owner to perform, keep or fulfill any of the other covenants, undertakings, obligations or conditions set forth in
this Agreement, or the failure of Owner to approve expenditures or to authorize procedures necessary to maintain the standards
of the Hotel in accordance with the Operating Standards, if such failure shall continue for a period of sixty (60) days after
written notice by Manager or Licensor to Owner specifying the matters or conditions which constitute the basis for such Event
of Default, provided that if such failure is incapable of cure within such sixty (60) day period, then the cure period shall be
extended provided that Owner commences the cure during such initial sixty (60) day period and thereafter diligently and continuously
pursues the cure thereof to completion.

 

ARTICLE 17

TERMINATION UPON EVENT OF DEFAULT; OTHER
REMEDIES; OTHER MANAGER TERMINATION

 

17.1       Termination.
Upon the occurrence of an Event of Default, in addition to and cumulative of any and all rights and remedies available to the
non-defaulting party under this Agreement, at law or in equity, the non-defaulting party may: (a) terminate this Agreement
without penalty, effective upon receipt of written notice of termination to the defaulting party, provided that termination may
be effective immediately in the case of fraud, gross negligence, willful

 

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misconduct, criminal conduct or misappropriation of funds;
and (b) pursue any and all other remedies and damages available to the non-defaulting party at law or in equity. In addition
to and cumulative of the foregoing, upon the occurrence of any Event of Default on the part of Owner, all Management Fees, Reimbursable
Expenses and all other sums payable to Manager under this Agreement shall be immediately due and payable without notice. In no
event shall the provisions of this Agreement with respect to the any allowed termination of this Agreement under certain circumstances
be construed as defining or limiting the amount recoverable by Manager from Owner by reason of any Event of Default on the part
of Owner.

 

		17.2	Manager’s Rights to Perform.

 

		(a)	If Owner shall fail to make any
                                         payment or to perform any act required of Owner pursuant to this Agreement, Manager may
                                         (but shall not be obligated to), without further notice to, or demand upon, Owner and
                                         without waiving or releasing Owner from any obligations under this Agreement, make such
                                         payment (either with its own funds or with funds withdrawn for such purpose from the
                                         Operating Accounts or the Reserve) or perform such act. All sums so paid by Manager and
                                         all necessary incidental costs and expenses incurred by Manager in connection with the
                                         performance of any such act, together with interest thereon at the Default Rate from
                                         the date of making such expenditure by Manager, shall be payable to Manager on demand.

 

		(b)	Manager shall have the right to
                                         set-off against any payments to be made to Owner by Manager under any provision of this
                                         Agreement and against all funds from time to time in the Operating Accounts and the Reserve,
                                         any and all liabilities of Owner to Manager. Manager may withdraw from the Operating
                                         Accounts and the Reserve from time to time such amounts as Manager deems desirable in
                                         partial or full payment of all or any portion of said liabilities, the amount of such
                                         withdrawals to be paid by Owner to Manager on demand and to be replaced in the respective
                                         account and fund.

 

17.3       Excused
Non-Performance. Notwithstanding any contrary provision of this Agreement, Manager shall be excused from the performance of
any obligation hereunder (including the obligation to operate the Hotel in conformity with the Operating Standards), and shall
not be deemed in default, for such period of time as such performance is prevented by a breach of this Agreement by Owner or a
limitation imposed on Manager’s ability to expend funds in respect of the Hotel, due to Owner’s act or Owner’s
failure to act upon Manager’s request for funds or payment of Gross Operating Expenses, including, Working Capital and/or
payroll costs (provided Manager has provided Owner with reasonably timely notice of the need for additional funds and that the
failure to expend or make payment of the same shall reasonably prevent Manager from meeting such obligation).

 

ARTICLE 18

OWNER'S ADDITIONAL TERMINATION RIGHTS

 

18.1       Sale
of the Hotel. If the Hotel is sold or is otherwise disposed of the Hotel any interests therein, to a bona fide third-party
(the "Third-Party Purchaser"), this Agreement will terminate

 

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effective upon the consummation of the closing of
such sale. Owner shall provide Manager with written notice of termination of this Agreement not less than sixty (60) days prior
to the scheduled date of closing of the sale of the Hotel, provided, however, if such a sale does not actually occur, the notice
of termination shall be deemed ineffective and no such termination shall occur. Upon such sale, the Manager shall be entitled
to a termination fee equal to the average monthly Base Fees payable hereunder prior to such sale multiplied by 12.

 

18.2         No
Other Termination Right. Except as expressly provided herein, the Owner shall not have any other “without cause”
or similar discretionary right to terminate the Manager hereunder.

 

ARTICLE 19

INTENTIONALLY OMITTED

 

ARTICLE 20

TRANSFER TO OWNER UPON TERMINATION

 

Upon the termination
or expiration of the Term of this Agreement, whether due to the occurrence of an Event of Default or otherwise, Manager shall
cooperate with Owner and shall execute those documents or instruments reasonably requested by Owner in connection with the transfer
or reissue the Permits, without payment of a fee to Manager, to Owner or its nominee, provided that Manager shall not be required
to incur liability or out of pocket cost in connection with such transfer. Without limiting the generality of the foregoing, Manager
shall cause its officials to execute documents and visit licensing authorities, along with Owner's representatives, in order to
expedite the orderly transfer or reissuance to Owner or its designee of the Permits. Following the termination or expiration of
the Term, Manager will prepare provide a final accounting report in accordance with the provisions set forth in Section 10.2(c) of
this Agreement and in the same manner and scope as previously provided by Manager following prior Fiscal Years under this Agreement.
In the event that Owner requests additional reports or assistance from Manager following the termination or expiration of this
Agreement, Owner shall pay to Manager the such reasonable fees as determined by the Manager through the date on which such additional
services or assistance are to be provided. In the event that this Agreement terminates due to any reason other than a default
by Manager under this Agreement, a sufficient number of Hotel Employees will be hired by Owner or its successor, assign or designee,
and retained for at least 90 days thereafter, so as not to cause a “mass layoff” or “plant closing”, as
defined in the Workers Adjustment and Retraining Act, 29 USC, sec 2101 et seq.

 

ARTICLE 21

NOTICES

 

All notices, elections,
acceptances, demands, consents and reports (collectively "notice") provided for in this Agreement shall be in
writing and shall be given to the other party at the address set forth below or at such other address as any of the parties hereto
may hereafter specify in writing.

 

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	To Owner:	PHR GANO OPCO SUB, LLC
	 	1140 Reservoir Avenue
	 	Cranston, RI 02920
	 	Attn: Gregory D. Vickowski
	 
	With a copy to:	 Ron M. Hadar
	 	General Counsel
	 	Procaccianti Companies
	 	1140 Reservoir Avenue
	 	Cranston, Rhode Island 02920
	 	Telephone: (401) 946-4600
	 	Email: rhadar@procaccianti.com
	 	Facsimile: (401) 943-6320
	 
	To Manager:	1140 Reservoir Avenue
	 	Cranston, Rhode Island 02920
	 	Attn: Elizabeth A. Procaccianti
	 	Telephone: (401) 946-4600
	 	Facsimile: (401) 943-6320
	 
	 	With copy to:
	 	Natasha Ruane, Esq.
	 	Corporate Counsel
	 	Procaccianti Companies
	 	1140 Reservoir Avenue
	 	Cranston, Rhode Island 02920
	 	Telephone: (401) 946-4600
	 	Facsimile: (401) 943-6320

 

Such notice or other communication may
be given by Federal Express or other nationally recognized overnight carrier or by electronic facsimile in which case notice shall
be deemed given upon confirmed delivery. Notice may be mailed by United States registered or certified mail, return receipt requested,
postage prepaid, deposited in a United States post office or a depository for the receipt of mail regularly maintained by the
post office. If mailed, then such notice or other communication shall be deemed to have been received by the addressee on the
fifth (5th) day following the date of such mailing. Such notices, demands, consents and reports may also be delivered
by hand, in which case it shall be deemed received upon delivery.

 

ARTICLE 22

CONSENT AND APPROVAL

 

Except as herein otherwise
provided, whenever in this Agreement the consent or approval of Manager or Owner is required, such consent or approval shall not
be unreasonably withheld or

 

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delayed. Such consent or approval shall also be in writing only and shall be executed only by an authorized
officer or agent of the party granting such consent or approval.

 

ARTICLE 23

NON-ASSIGNABILITY

 

This Agreement shall
not be assignable by Manager or Owner; provided however, that either party shall be entitled to assign this Agreement to an Affiliate
of such party as part of a modification to such party’s company structure in which all or substantially all of such party’s
assets are transferred to an Affiliate of such party; and Manager shall have the right to assign its rights to receive payments
under this Agreement as security for indebtedness or other obligations. Notwithstanding the foregoing, any “assignment”
by Manager to a successor entity resulting from a merger, acquisition, disposition or consolidation of all or substantially all
of the equity or assets of Manager shall be permitted and not require the consent of Owner hereunder so long as (i) either
(A) the “Manager” under this Agreement remains controlled by at least any two of James A. Procaccianti, Elizabeth
A. Procaccianti, Gregory D. Vickowski, Robert Leven, or Mark Bacon (the “Executive Team”) or, (B) if Manager
is itself, or is controlled by, a corporation whose stock is listed and publicly traded over-the-counter on a nationally recognized
stock exchange in the United States, so long as at least two (2) members of the Executive Team are on the Board of that corporation,
(ii) the assignee continues to comply with all of the obligations of Manager hereunder, (iii) the assignee, in Owner’s
good faith reasonable judgment, has the skill, experience, professional resources and financial ability to perform under this
Agreement and can provide the comparable operating, management and financial reporting functions of Manager under this Agreement
consistent with the Operating Standards, including without limitation providing the Centralized Services and holding the right
to use all trademarks and proprietary information related to the Hotel, and (iv) no such assignment shall cause Owner to
be in default under the Franchise Agreement or under the Mortgage.

 

ARTICLE 24

INDEMNITY

 

24.1       Indemnity
by Manager. To the extent that Owner shall not be fully covered by insurance required to be maintained pursuant to this Agreement,
Manager shall indemnify, defend and hold harmless Owner, any director, officer, agent or officer or any corporate partner thereof,
from and against any damages, loss, liability, cost, action, cause, claim or expense, including attorneys' fees, arising out of
or in connection with the management and operation of the Hotel including, without limitation, all employment related claims and
litigation (collectively, the "Liabilities"). The costs of such indemnity shall be borne as follows:

 

(a)            If
the Liabilities are attributable to the gross negligence or willful misconduct of the Executive Personnel, the cost thereof shall
be borne solely by Manager and not paid out of Total Operating Revenues.

 

(b)            If
the Liabilities are attributable to any other reason or cause, the cost of such indemnification shall be paid as a Gross Operating
Expense of the Hotel or failing payment of the same, by Owner.

 

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Manager's obligations
under this Section 24.1 shall not include any losses, expenses or damages arising from any matters relating to the structural
integrity of the Hotel or other matters relating to defects in design, materials or workmanship in the construction of the Hotel.

 

24.2         Indemnity
by Owner. To the extent that Manager shall not be fully covered by insurance required to be maintained pursuant to this Agreement
or if, after giving effect to the provisions of Section 24.1(b) of this Agreement, Total Operating Revenues are not
sufficient to pay all Liabilities, Owner shall indemnify, defend and hold harmless Manager and its directors, officers, employees
and agents from and against any damages, loss, liability, cost, action, cause, claim or expense, including attorneys' fees, arising
out of, or incurred in connection with the management and operation of the Hotel.

 

24.3         Survival.
The provisions of this Article 24 shall survive the expiration or earlier termination of this Agreement.

 

ARTICLE 25

PARTIAL INVALIDITY

 

In the event that
any one or more of the phrases, sentences, clauses or paragraphs contained in this Agreement shall be declared invalid by the
final and unappealable order, decree or judgment of any court, this Agreement shall be construed as if such phrases, sentences,
clauses or paragraphs had not been inserted, unless such construction would substantially destroy the benefit of the bargain of
this Agreement to either of the parties hereto.

 

ARTICLE 26

MISCELLANEOUS

 

26.1         Disputes.
Whenever any issue or dispute arises under this Agreement relating to the Annual Operating Budget, the Approved Capital Budget
and or the calculation and payment of the Reserves, and the Management Fee, such issue or dispute shall be resolved utilizing
the Uniform System of Accounts and the by application of GAAP consistently applied.

 

26.2         Further
Assurances. Owner and Manager shall execute and deliver all other appropriate supplemental agreements and other instruments,
and take any other action necessary to make this Agreement fully and legally effective, binding and enforceable as between them
and as against third parties.

 

26.3         Waiver.
The waiver of any of the terms and conditions of this Agreement on any occasion or occasions shall not be deemed a waiver of such
terms and conditions on any future occasion.

 

26.4         Successors
and Assigns. Subject to and limited by Article 23, this Agreement shall be binding upon and inure to the benefit of Owner,
its successors and permitted assigns, and shall be binding upon and inure to the benefit of Manager, its successors and permitted
assigns.

 

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26.5         Governing
Law. This Agreement shall be construed, both as to its validity and as to the performance of the parties, in accordance with
the laws of the State of Rhode Island.

 

26.6         Compliance
with Mortgage and License Agreement. In carrying out their respective duties and obligations under the terms of this Agreement,
Owner and Manager shall take no action that could reasonably be expected to constitute a material default under any Mortgage or
the License Agreement and will take such actions as are reasonably necessary to comply therewith.

 

26.7         Amendments.
This Agreement may not be modified, amended, surrendered or changed, except by a written document signed by the Owner and Manager
agreeing to be bound thereby.

 

26.8         Estoppel
Certificates. Owner and Manager agree, at any time and from time to time, as requested by the other party, upon not less than
ten (10) days' prior written notice, to execute and deliver to the other a statement certifying that this Agreement is unmodified
and in full force and effect (or if there have been modifications, that the same are in full force and effect as modified and
stating the modifications), certifying the dates to which required payments have been paid, and stating whether or not, to the
best knowledge of the signer, the other party is in default in performance of any of its obligations under this Agreement, and
if so, specifying each such default of which the signer may have knowledge, it being intended that such statement delivered pursuant
hereto may be relied upon by others with whom the party requesting such certificate may be dealing

 

26.9         Unavoidable
Interruptions. Subject to the express limitations set forth in this Agreement and excluding those obligations that accrue
prior to the occurrence of an event of Unavoidable Interruption or obligations that, if not performed, would cause a material
adverse effect on the Hotel or its operations (for instance, the requirement to maintain the Permits or insurance obligations
hereunder), if either party's failure to comply with, perform or satisfy any representation, warranty, covenant, undertaking,
obligation or condition set forth in this Agreement is caused by or due to, in whole or in part, any Unavoidable Interruption,
such representation, warranty, covenant, undertaking, obligation or condition (except regarding insurance coverages and monetary
payments) shall be adjusted to the extent and for so long as such party's failure is caused by or due to, in whole or in part,
such Unavoidable Interruption.

 

26.10       Inspection
Rights. Owner shall have the right to inspect the Hotel and examine the books and records of Manager pertaining to the Hotel
at all reasonable times during the Term upon reasonable notice to Manager, and Owner and the holder of any Mortgage shall have
access to the Hotel and the books and records pertaining thereto at all times during the Term to the extent necessary to comply
with the terms of any Mortgage, all to the extent consistent with applicable law and regulations and the rights of guests, tenants
and concessionaires of the Hotel.

 

26.11       Subordination.
This Agreement, any extension hereof and any modification hereof shall be subject and subordinate to a Mortgage as provided therein.
The provisions of this Section shall be self-operative and no further instrument of subordination shall be required; however,
Manager will execute and return to Owner (or to Lender, as designated by Owner) such documentation as Owner or Lender may reasonably
request to evidence the subordination of this Agreement to the Mortgage.

 

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26.12       Effect
of Approval of Plans and Specifications. Owner and Manager agree that in each instance in this Agreement or elsewhere wherein
Manager is required to give its approval of plans, specifications, budgets and/or financing, no such approval shall imply or be
deemed to constitute an opinion by Manager, nor impose upon Manager any responsibility for the design or construction of additions
to or improvements of the Hotel, including but not limited to structural integrity or life/safety requirements or adequacy of
budgets and/or financing. The scope of Manager's review and approval of plans and specifications is limited solely to the adequacy
and relationship of spaces and aesthetics of the Hotel in order to comply with the Operating Standards.

 

26.13       Entire
Agreement. This Agreement constitutes the entire agreement between the parties relating to the subject matter hereof, superseding
all prior agreements or undertakings, oral or written.

 

26.14       Time
is of the Essence. Time is of the essence in this Agreement.

 

26.15       Interpretation.
No provision of this Agreement shall be construed against or interpreted to the disadvantage of any party hereto by any court
or other governmental or judicial authority by reason of such party having or being deemed to have structured or dictated such
provision.

 

26.16       Counterparts.
This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original and need not be
signed by more than one of the parties hereto and all of which shall constitute one and the same agreement.

 

26.17       No
Electronic Transactions. The parties hereby acknowledge and agree that this Agreement shall not be executed, entered into,
altered, amended or modified by electronic means. Without limiting the generality of the foregoing, the parties hereby agree that
the transactions contemplated by this Agreement shall not be conducted by electronic means, except as specifically set forth in
Article 21 of this Agreement.

 

26.18       Prohibited
Persons and Transactions.

 

(a)            Manager
is not, and shall not become, a person or entity with whom U. S. persons or entities are restricted from doing business under
regulations of the Office of Foreign Asset Control ("OFAC") of the Department of the Treasury (including those
named in OFAC's Specially Designated and Blocked Person's List) or under any statute, executive order (including the September 24,
2001, Executive Order Blocking Property and Prohibiting Transactions With Persons Who Commit, or Support Terrorism), or other
governmental action (such persons and entities being "Prohibited Persons").

 

(b)            Owner
is not and shall not become a Prohibited Person.

 

26.19       Confidentiality.
Owner and Manager agree to keep the terms and conditions of all leases and other occupancy agreements in effect at the Hotel
(if any) and all other accruements relating to the Hotel, together with all information and data obtained, possessed, or generated
by Manager in connection with the Hotel (collectively, "Privileged Information"), strictly

 

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confidential and not
to make any public announcements or any disclosures to any third parties, either orally or in writing, with respect to any Privileged
Information without the express written consent of the other party hereunder; provided, however, the restrictions imposed hereby
shall not apply to any Privileged Information (1) which is required to be disclosed in order to comply with any law, ordinance,
governmental decree or any rule, regulation or decree of any interested governmental body or (2) which must otherwise be
disclosed to relevant third parties, including accountants, attorneys and lenders, in the course of reasonable and diligent management
and operation of the Hotel or the business of Owner, or any subsidiary or Affiliate of Owner or Manager. If Manager makes such
disclosure, it shall notify such third party of this provision and of the requirement of Owner for confidentiality. The provisions
of this Section 26.19 shall survive the expiration or termination of this Agreement for two (2) years after any termination
or expiration of this Agreement.

 

26.20       No
Third Party Rights. This Agreement shall inure solely to the parties hereto. Notwithstanding any other provision of this Agreement,
no third party shall have any rights pursuant to the terms of this Agreement.

 

ARTICLE 27

NO REPRESENTATIONS AS TO INCOME OR FINANCIAL
SUCCESS OF HOTEL

 

In entering into this
Agreement, Manager and Owner acknowledge that neither Owner nor Manager has made any representation to the other regarding projected
earnings, the possibility of future success or any other similar matter respecting the Hotel, and that Manager and Owner understand
that no guarantee is made to the other as to any specific amount of income to be received by Manager or Owner or as to the future
financial success of the Hotel.

 

ARTICLE 28

REPRESENTATIONS OF MANAGER

 

In order to induce
Owner to enter into this Agreement, Manager does hereby make the following representations and warranties:

 

(a)            the
execution of this Agreement is permitted by the certificate of formation and partnership agreement of Manager and this Agreement
has been duly authorized, executed and delivered and constitutes the legal, valid and binding obligation of Manager enforceable
in accordance with the terms hereof;

 

(b)            to
the best knowledge of Manager, there is no claim, litigation, proceeding or governmental investigation pending, or, as far as
is known to Manager, threatened, against or relating to Manager, the properties or business of Manager or the transactions contemplated
by this Agreement which does, or may reasonably be expected to, materially and adversely affect the ability of Manager to enter
into this Agreement or to carry out its obligations hereunder, and to the best knowledge of Manager, there is no basis for any
such claim, litigation, proceedings or governmental investigation, except as has been fully disclosed in writing to Owner; and

 

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(c)            neither
the consummation of the transactions contemplated by this Agreement on the part of Manager or to be performed, nor the fulfillment
of the terms, conditions and provisions of this Agreement, conflicts with or will result in the breach of any of the terms, conditions
or provisions of, or constitute a default under, any agreement, indenture, instrument or undertaking to which Manager is a party
or by which it is bound.

 

ARTICLE 29

REPRESENTATIONS OF OWNER

 

In order to induce
Manager to enter into this Agreement, Owner does hereby make the following representations and warranties:

 

(a)            the
execution of this Agreement is permitted by the Limited Liability Company Agreement of Owner and this Agreement has been duly
authorized, executed and delivered and constitutes the legal, valid and binding obligation of Owner enforceable in accordance
with the terms hereof;

 

(b)            there
is no claim, litigation, proceeding or governmental investigation pending, or as far as is known to Owner, threatened, against
or relating to Owner, the properties or business of Owner or the transactions contemplated by this Agreement which does, or may
reasonably be expected to, materially and adversely affect the ability of Owner to enter into this Agreement or to carry out its
obligations hereunder, and there is no basis for any such claim, litigation, proceedings or governmental investigation, except
as has been fully disclosed in writing to Manager; and

 

(c)            neither
the consummation of the transactions contemplated by this Agreement by this Agreement on the part of Owner to be performed nor
the fulfillment of the terms, conditions and provisions of this Agreement, conflicts with or will result in the breach of any
of the terms, conditions or provisions of, or constitute a default under, any agreement, indenture, instrument or undertaking
to which Owner is a party or by which it is bound.

 

ARTICLE 30

DISPUTE RESOLUTION

 

Except as specifically provided in Section 4.4
of this Agreement, Owner and Manager agree that any dispute between the parties related to or arising out of this Agreement that
cannot be amicably settled by the parties hereunder, shall first be submitted for non-binding mediation before resorting to any
litigation, equitable proceeding or other enforcement action. Such mediation shall be held within a twenty-five mile radius of
the Hotel (or such other location mutually agreed by the parties) and the parties shall cooperate in good faith to agree on a
mediator who shall be a retired or semi-retired judge having at least ten (10) years of experience on the bench hearing complex
commercial transactions. If the parties hereto have failed to designate, by a joint written statement, a mediator within thirty
(30) days following the date of a written request therefor by either Manager or Owner to the other, then either Owner or Manager
may notify the local office of the American Arbitration Association ("AAA") or JAMS and request such entity to
select a person to act as the mediator to assist in the resolution of the dispute. The mediation will be a non-binding conference
between the parties conducted in accordance with the applicable rules and procedures of AAA or JAMS (as

 

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determined by the
mediator). The compensation of the mediator and all related expenses shall be borne equally by the parties, each of whom shall
bear their own costs, irrespective of the outcome of the mediation. If any dispute remains unresolved between the parties after
the mediation is complete, then either party shall be entitled to pursue its rights and remedies at law or in equity. The provisions
of this Article 30 shall survive the expiration or earlier termination of this Agreement.

 

ARTICLE 31

ADDITIONAL OBLIGATIONS OF MANAGER

 

Manager acknowledges
that Owner is vitally interested in the qualifications of the individuals designated as the general manager and the director of
sales of the Hotel. Manager shall, from time to time, consult with Owner and obtain Owner's approval as to the appointment of
individuals to such positions; provided, however, Owner and Manager acknowledge that nothing in this Article is intended
to limit or negate the authority of Manager elsewhere provided in this Agreement to remove and replace, in its sole discretion,
the Executive Personnel of the Hotel.

 

ARTICLE 32

TERMINATION OF THE LICENSE AGREEMENT

 

Owner reserves and
shall have the absolute right in its sole and unfettered discretion, at any time and without the consent or approval of (but with
notice to) Manager, to terminate the License Agreement, provided, however, that (i) Owner shall have no such right in order
to establish its own independent operations, such as an operation without a franchise or license or in its own hotel name; (ii) in
the event of such a termination by Owner, Manager shall have the right of approval (which right shall be reasonably exercised)
of any new franchise or license for the Hotel; and (iii) if Owner's decision to terminate the License Agreement is made without
the consent of Manager, then the provisions of Section 18.2 of this Agreement shall no longer apply.

 

ARTICLE 33

RECOURSE

 

Any provision of this
Agreement to the contrary notwithstanding, Manager hereby agrees that no personal, partnership or corporate liability of any kind
or character (including, without limitation, the payment of any judgment) whatsoever now attaches or at any time hereafter under
any condition shall attach to Owner or any of Owner's constituent entities and affiliates or any mortgagee for payment of any
amount payable under this Agreement or for the performance of any obligation under this Agreement. The exclusive remedies of Manager
for the failure of Owner to perform any of its obligations under this Agreement shall be to proceed against the interest of Owner
in and to the Hotel for Manager's actual, out-of-pocket damages (and not any consequential, punitive or exemplary damages), and
Owner shall not be personally liable for any deficiency.

 

Notwithstanding any
other provision of this Agreement to the contrary, the liability of Manager arising out of or in connection with this Agreement
and the transactions and obligations contemplated hereby shall at all times be limited to the aggregate amount of management fees

 

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payable to Manager under this Agreement during the initial Term (the “Manager’s Liability Cap”), and
in any litigation, arbitration or any other dispute, neither Owner nor any other party shall seek or have recourse to any other
asset of Manager’s members, partners, directors, officers, employees, associates, agents, executives or affiliates. Without
limiting the foregoing, neither Manager nor any party associated with Manager shall have any liability in excess of the Manager’s
Liability Cap for any act by Manager (either prior to or during the Operating Term of or after the expiration or earlier termination
of this Agreement); provided, however, that the Manager Liability Cap shall not apply to any liability of Manager or its Affiliates
resulting from the fraud, gross negligence or willful misconduct of Manager or its Affiliates. Notwithstanding anything contained
in this Agreement to the contrary in no event shall Manager be liable under this Agreement for any consequential, speculative,
punitive, treble, or other special damages.

 

The rest of this page is intentionally
left blank.

 

    Management Agreement - Page 41

     

    

 

IN WITNESS WHEREOF,
Owner has caused this Agreement to be executed and its seal affixed by its partners duly authorized thereunto and Manager has
caused this Agreement to be executed and its seal affixed by its officer duly authorized thereunto, the day and year first above
written, in duplicate.

 

	 	OWNER:
	 	 
	 	PHR GANO OPCO SUB, LLC
	 	 
	 	 
	 	By:	/s/ James A. Procaccianti
	 	Name:	James A. Procaccianti
	 	Title:	Authorized Representative
	 	 
	 	MANAGER:
	 	 
	 	GANO HOTEL MANAGER, LLC
	 	 
	 	 
	 	By:	 /s/ James A. Procaccianti
	 	Name:	 James A. Procaccianti
	 	Title:	 Manager

 

    Signature Page to Management Agreement - Solo Page

     

    

 

SCHEDULE
I

 

	Trade Name/Brand of Hotel:	Hilton Garden Inn Providence
	Physical Address of Hotel:	220 India Street, Providence RI
	Number of Guest Rooms:	137
	Licensor:	Hilton Franchise Holding, LLC
	Initial Working Capital:	$TBD
	Base Fee:	The base fee payable (the "Base Fee")
    shall be an amount equal to three percent (3.0%) of Total Operating Revenues (which exclude the gross receipts of any licensees,
    lessees and concessionaires) in respect of any applicable period.
	Incentive Fee:	None

 

    Schedules – Page 1 

     

    

 

SCHEDULE II

Gross Operating Expenses

 

1.1         Gross
Operating Expenses. “Gross Operating Expenses” means, except to the extent excluded below or in
the Agreement, all costs and expenses of operating the Hotel during the Term pursuant to this Agreement attributable to the Accounting
Period, Fiscal Year or portion of a Fiscal Year under consideration including, without limitation, the following:

 

(a)            salaries
and wages of Hotel Employees, including employee benefits, costs of payroll, and payroll and similar taxes but only to the extent
such expenses are attributable to such Hotel Employee’s employment at the Hotel;

 

(b)            costs
incurred with respect to sales and other revenues generated at the Hotel;

 

(c)            the
costs of all utilities and services including, without limitation, heat, air conditioning, water, light and power, local and long
distance telephone service, and data communication and computer services, except as such costs may be appropriately capitalized
in accordance with GAAP;

 

(d)            the
costs of all food and beverages sold or consumed and of all Operating Equipment and Inventories and Consumable Supplies placed
in use, including the sale, consumption and placement in use of Operating Equipment and Supplies initially supplied pursuant to
this Agreement;

 

(e)            the
costs of all other goods and services provided, arranged or obtained by Manager in connection with its operation of the Hotel,
including, without limitation, public utilities charges and the cost of accounting systems, data processing, payroll processing
and telecommunications equipment, office supplies, services performed by third parties and all other supplies, services and hotel
equipment of the nature and type normally used by operators of hotels similar to the Hotel and as is common in the industry, except
as such costs may be appropriately capitalized in accordance with GAAP;

 

(f)            all
costs and fees of any arbitrators, auditors, lawyers and similar persons who perform services required or permitted pursuant to
this Agreement;

 

(g)            all
costs and expenses of technical consultants and specialized operational experts or personnel for services rendered to the Hotel,
except if such costs are incurred in connection with a capital transaction outside of the normal operations of the Hotel;

 

(h)            all
expenses related to marketing of the Hotel;

 

(i)            the
costs of maintaining books of account and other records and producing statements pursuant to Article 7 of this Agreement;

 

    Schedules – Page 2 

     

    

 

(j)            the
actual amount of any goods and services or other similar value added taxes imposed by any governmental authority having jurisdiction
and paid as a result of the operations of the Hotel, less any credits with respect to such taxes otherwise granted with respect
to the operations of the Hotel;

 

(k)            reasonable
reserves for bad debts in accordance with GAAP;

 

(l)            any
insurance premiums for insurance obtained by or on behalf of Manager or Owner with respect to the Hotel, except for insurance
premiums for Manager’s or Manager’s Affiliates’ corporate office professional liability/errors and omissions;

 

(m)            any
deposits into any Reserve;

 

(n)            all
Property taxes and any similar taxes, charges and assessments against the Hotel;

 

(o)            any
fees payable under the License Agreement to Licensor;

 

(p)            the
Base Fee and the Centralized Services;

 

(q)            Allocated
Services;

 

(r)            the
cost of non-capital repairs to and maintenance of the Hotel;

 

(s)            all
expenses otherwise contemplated by this Agreement that are to be treated or contemplated to be treated as Gross Operating Expenses;
and

 

(t)            all
expenses reimbursable to Manager pursuant to the terms and conditions of this Agreement.

 

1.2         Exclusions
from Gross Operating Expenses. For purposes of calculating the fees payable pursuant to this Agreement, Operating Expenses
shall not include any of the following:

 

(a)            any
repayments of advances by Manager on account of Capital Expenditures pursuant to this Agreement;

 

(b)            any
payments from the FF&E Reserve, whether principal or interest, relating to capital improvements to or encumbrances with respect
to the Hotel, including, without limitation, any payments relating to expenditures for initial FF&E and replacements or substitutions
therefor or additions thereto;

 

(c)            land
or building rental or mortgage payments;

 

(d)            depreciation
and amortization expenses, including costs of capital improvements which are made in accordance with this Agreement;

 

(e)            income,
capital or franchise taxes of a party hereto;

 

    Schedules – Page 3 

     

    

 

(f)            any
Capital Expenditures;

 

(g)            excise,
sales, use and other taxes (including room taxes) or similar charges (i) collected directly from patrons or guests or as
part of the sale price of any goods or services or displays, (ii) remitted to a governmental authority and (iii) excluded
from Gross Revenues;

 

(h)            salaries,
wages, asset management fees or amounts paid to individuals or entities by or upon the instruction of Owner to the extent such
individuals or entities are not under the supervision or direction of Manager;

 

(i)            interest
payable on any credit facility provided to fund working capital; and

 

(j)            expenses
of Owner related to asset management.

 

    Schedules – Page 4 

     

    

 

SCHEDULE III 

Total Operating Revenues

 

1.1         Total
Operating Revenues. “Total Operating Revenues” means, subject to the exclusions provided
for herein, all of the following revenue, income and proceeds resulting from the operation of the Hotel and properly attributable
to the Accounting Period, Fiscal Year or portion of a Fiscal Year under consideration:

 

(a)            Subject
to the provisions below and in the Agreement, all revenues from the rental of guest rooms and suites in the Hotel and all revenues
earned from guests, patrons and other persons occupying space in or using the Hotel, including, without limitation, all revenues
derived from goods sold, food and beverage sales, meetings and other events, parking services, spa, health club or other Hotel
facilities’ use or membership, telephone, cable or access television or internet use and all other services provided in
connection with Hotel activities;

 

(b)            The
net proceeds actually received by Owner of use and occupancy or business interruption insurance with respect to the operation
of the Hotel after deduction from such proceeds of all necessary expenses incurred in the adjustment or collection thereof.

 

1.2         Exclusions
from Total Operating Revenues. For purposes of calculating the fees payable pursuant to this Agreement, Total Operating
Revenues shall not include any of the following:

 

(a)            excise,
sales, use and other similar taxes (including room taxes) or similar charges which are required by Applicable Laws to be collected
directly from patrons or guests or as part of the sale price of any goods or services or displays and which must be remitted to
a governmental authority;

 

(b)            bad
debts arising from Total Operating Revenues, provided that any recovered bad debts shall again become part of Total Operating
Revenues in the Fiscal Year in which they are recovered;

 

(c)            gratuities,
service charges or other similar receipts collected for payment to and paid to Hotel Employees and complimentary food and beverage
bills for Hotel Employees (to the extent that the complimentary food and beverage expenditures do not exceed the amount set forth
in Operating Budget unless Owner’s consent is received with respect to such excess amounts) the and guests;

 

(d)            revenue,
income and proceeds of sales of tenants, licensees and concessionaires;

 

(e)            revenues,
including gains or losses arising from the sale or other disposition of capital assets, including, without limitation, FF&E
no longer required for the operation of the Hotel;

 

    Schedules – Page 5 

     

    

 

(f)            proceeds
or awards arising from a taking or condemnation of capital property;

 

(g)            receipts
or credits for settlement of claims for loss or theft of or damage to personal property or furnishings, or any recoveries relating
to a breach of warranty or guaranty, excluding, however, those amounts that are compensation for items that would otherwise be
included in Total Operating Revenues hereunder;

 

(h)            proceeds
from any insurance policy other than the net proceeds actually received by Owner of use and occupancy or business interruption
insurance;

 

(i)            receipts
of a capital nature, including any financing of the Hotel;

 

(j)            Existing
Lease and License Arrangements;

 

(k)            interest,
if any, earned on any FF&E Reserve or on funds invested on behalf of Owner; or

 

(l)            working
capital provided by Owner.

 

    Schedules – Page 6 

     

    

 

SCHEDULE IV

Centralized Services

 

TBD

 

    Schedules – Page 7 

     

    

 

EXHIBIT A

DESCRIPTION OF PREMISES

 

    

     

    

 

EXHIBIT B

EXAMPLE OF MONTHLY TRANSACTIONS REPORT

 

	 	 	 	 	 	 	 	 	 	 	 	 	For Properties	 	 	 	 	 	 	 	 	 	 	 	 	 
	Actual	 	%	 	Budget	 	%	 	Last Year	 	%	 	As of 6/30/2016	 	YTD	 	%	 	YTD Budget	 	%	 	YTD Last Year	 	%	 
	 	 	 	 	 	 	 	 	 	 	 	 	SUMMARY OPERATING STATEMENT	 	 	 	 	 	 	 	 	 	 	 	 	 
	3,060	 	 	 	0	 	 	 	3,060	 	 	 	ROOMS AVAILABLE	 	18,564	 	 	 	0	 	 	 	18,462	 	 	 
	0	 	 	 	0	 	 	 	0	 	 	 	ROOMS SOLD	 	0	 	 	 	0	 	 	 	0	 	 	 
	0.00	% 	 	 	0.00	%	 	 	0.00	%	 	 	OCCUPANCY	 	0.00	%	 	 	0.00	%	 	 	0.00	%	 	 
	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	ADR	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 
	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	ROOMS RevPAR	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 
	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 	TOTAL RevPAR	 	0.00	 	 	 	0.00	 	 	 	0.00	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	OPERATING REVENUE	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Rooms	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Food and Beverage	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Other Operated Departments	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Miscellaneous Income	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Total Operating Revenue	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	DEPARTMENTAL EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Rooms	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Food and Beverage	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Other Operated Departments	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Total Departmental
    Expenses	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	TOTAL DEPARTMENTAL
    PROFIT	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	UNDISTRIBUTED OPERATING
    EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Administrative and General	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Information and Telecommunications
    Systems	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Sales and Marketing	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Property Operation and
    Maintenance	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Utilities	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Total Undistributed
    Expenses	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	GROSS OPERATING PROFIT	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	MANAGEMENT FEES	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	INCOME BEFORE NON-OPERATING	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	INCOME AND EXPENSES	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%

 

    

     

    

 

	 	 	 	 	 	 	 	 	 	 	 	 	For Properties	 	 	 	 	 	 	 	 	 	 	 	 	 
	Actual	 	%	 	Budget	 	%	 	Last Year	 	%	 	As of 6/30/2016	 	YTD	 	%	 	YTD Budget	 	%	 	YTD Last Year	 	%	 
	 	 	 	 	 	 	 	 	 	 	 	 	NON-OPERATING INCOME AND
    EXPENSES	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Income	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Rent	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Property and Other Taxes	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Insurance	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Other	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Total Non-Operating
    Income & Exp	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	EARNINGS BEFORE INTEREST,
    TAXES,	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	DEPRECIATION AND AMORTIZATION	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 	 	 	 	INTEREST, DEPRECIATION &
    AMORTIZATION	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Interest	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Depreciation	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Amortization	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Total Interest, Depreciation &
    Amortization	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	TOTAL INCOME BEFORE
    TAXES	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Income Taxes	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	NET INCOME	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	Captial Expenditure Reserve
    (memo)	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%	NET INCOME LESS CAP
    EXPENDITURE RESERVE	 	0	 	0.00	%	0	 	0.00	%	0	 	0.00	%

 

 

    

     

    

 

EXHIBIT C

COMPETITIVE SET

[TBD]]

 

	STR#	Name	City, State	Rooms

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