Document:

Form of Mortgage or Deed of Trust and Security Agreement

 Exhibit 10.3 

PREPARED BY                     

 AND UPON RECORDATION 

RETURN TO: 
 Seyfarth Shaw LLP

 1075 Peachtree Street, Suite 2500 

Atlanta, Georgia 30309 
 Attention: Lori H.
Whitfield, Esq. 
 Prudential Deal Name: SSTI Strategic 

Storage Portfolio/                    

 Prudential Loan Number:
                     
 Tax Parcel
Number:                      
  

 
  

[property owning LLC], as grantor 

(Borrower) 
 to

                      
                  , as trustee/grantee 

(Trustee) 
 for
the benefit of 
 THE PRUDENTIAL INSURANCE COMPANY OF AMERICA, as beneficiary/grantee 

(Lender) 
  

 
 DEED OF TRUST
AND SECURITY AGREEMENT 
 (First Priority – [property address]) 

 
  

Dated: As of             , 2010 

Location: [property address] 
  

 
  

 DEED OF TRUST AND SECURITY AGREEMENT 

(First Priority - [property address]) 

THIS DEED OF TRUST AND SECURITY AGREEMENT (this “Instrument”) is made as of the
25th day of August, 2010, by [property owning
entity], Delaware limited liability company, having its principal office and place of business at c/o Strategic Storage Trust, Inc., 111 Corporate Drive, Suite 120, Ladera Ranch, California 92694, as grantor (“Borrower”), to
                        , having an address at c/o
                                , as trustee/grantee (“Trustee”),
for the benefit of THE PRUDENTIAL INSURANCE COMPANY OF AMERICA, a New Jersey corporation, having an office at c/o Prudential Asset Resources, 2100 Ross Avenue, Suite 2500, Dallas, Texas 75201, Attention: Asset Management Department; Reference Loan
No.                     , as beneficiary/grantee (“Lender”). 

RECITALS: 
 1. Borrower and one
or more affiliates of Borrower (collectively, “Borrowers”) have entered into that certain Collateral Loan Agreement with Lender dated of even date herewith (as the same may be amended from time to time, the “Loan
Agreement”). 
 2. Lender has agreed to make on the date hereof certain Loans (as defined in the Loan Agreement) to each of Borrowers
in the aggregate original principal amount of $32,585,000.00, evidenced by the Notes (as defined in the Loan Agreement), and secured by, among other things, (i) the Property (as hereinafter defined), and (ii) certain other properties, as
identified from time to time on Exhibit B to the Loan Agreement, owned by one or more of Borrowers (collectively, the “Other Properties”). 

3. Borrower desires to secure the payment and performance of all of the Obligations (as herein defined) in the time and manner set forth in the Documents
(defined below); provided, however, that notwithstanding anything to the contrary contained herein, this Instrument shall not secure any obligation of Borrower relating to the Other Indebtedness, the Other Note, the Other Documents or the Other
Obligations (each as defined herein), except as expressly set forth in Article XI below. 
 4. Borrower, by the terms of its Promissory Note
([property address]) executed on the same date as this Instrument (“Note”) and in connection with the loan (“Loan”) from Lender to Borrower, is indebted to Lender in the principal sum of
                             AND NO/100 U.S. DOLLARS
($                            ). 

IN CONSIDERATION of the principal sum of the Note, and other good and valuable consideration, the receipt and sufficiency of which are acknowledged,
Borrower irrevocably: 
 A. Grants, bargains, sells, assigns, transfers, pledges, mortgages, warrants, and conveys to Trustee, for the benefit
of Lender, and grants Trustee and Lender a security interest in, the following property, rights, interests and estates owned by Borrower (collectively, the “Property”): 

(i) Those certain tracts or parcels of real property located in
                         and described in Exhibit A (“Land”); 

(ii) All buildings, structures and improvements (including fixtures) now or later located in or on the Land
(“Improvements”); 
 (iii) All easements, estates, and interests including hereditaments, servitudes,
appurtenances, tenements, mineral and oil/gas rights, water rights, air rights, development power or rights, options, reversion and remainder rights, and any other rights owned by Borrower and relating to or usable in connection with or access to
the Property; 
 (iv) All right, title, and interest owned by Borrower in and to all land lying within the rights-of-way, roads,
or streets, open or proposed, adjoining the Land to the center line thereof, and all sidewalks, alleys, and strips and gores of land adjacent to or used in connection with the Property; 

(v) All right, title, and interest of Borrower in, to, and under all plans, specifications, surveys, studies, reports, permits, licenses,
agreements, contracts, instruments, books of account, insurance policies, and any other documents relating to the use, construction, occupancy, leasing, activity, or operation of the Property; 

(vi) All of the fixtures and personal property described in Exhibit B owned by Borrower and replacements thereof; but
excluding all personal property owned by any tenant (a “Tenant”) of the Property; 

 (vii) All of Borrower’s right, title and interest in the proceeds (including conversion
to cash or liquidation claims) of (A) insurance relating to the Property and (B) all awards made for the taking by eminent domain (or by any proceeding or purchase in lieu thereof) of the Property, including awards resulting from a change
of any streets (whether as to grade, access, or otherwise) and for severance damages; 
 (viii) All tax refunds, including
interest thereon, tax rebates, tax credits, and tax abatements, and the right to receive the same, which may be payable or available with respect to the Property; 

(ix) All leasehold estates, ground leases, leases, subleases, licenses, or other agreements affecting the use, enjoyment or occupancy of
the Property now or later existing (including any use or occupancy arrangements created pursuant to Title 7 or 11 of the United States Code, as amended from time to time, or any similar federal or state laws now or later enacted for the relief of
debtors [the “Bankruptcy Code”]) and all extensions and amendments thereto (collectively, the “Leases”) and all of Borrower’s right, title and interest under the Leases, including all guaranties thereof;

 (x) All rents, issues, profits, royalties, receivables, use and occupancy charges (including all oil, gas or other mineral
royalties and bonuses), income and other benefits now or later derived from any portion or use of the Property (including any payments received with respect to any Tenant or the Property pursuant to the Bankruptcy Code) and all cash, security
deposits, advance rentals, or similar payments relating thereto (collectively, the “Rents”) and all proceeds from the cancellation, termination, surrender, sale or other disposition of the Leases, and the right to receive and apply
the Rents to the payment of the Obligations; and 
 (xi) All of Borrower’s rights and privileges heretofore or hereafter
otherwise arising in connection with or pertaining to the Property, including, without limiting the generality of the foregoing, all water and/or sewer capacity, all water, sewer and/or other utility deposits or prepaid fees, and/or all water and/or
sewer and/or other utility tap rights or other utility rights, any right or privilege of Borrower under any loan commitment, lease, contract, declaration of covenants, restrictions and easements or like instrument, developer’s agreement, or
other agreement with any third party pertaining to the ownership, development, construction, operation, maintenance, marketing, sale or use of the Property. 

B. Absolutely and unconditionally assigns, sets over, and transfers to Lender all of Borrower’s right, title, interest and estates in and to the
Leases and the Rents, subject to the terms and license granted to Borrower under that certain Assignment of Leases and Rents (First Priority – [property address]) made by Borrower to Lender dated the same date as this Instrument (the
“Assignment”), which document shall govern and control the provisions of this assignment. 
 TO HAVE AND TO HOLD the Property
unto Lender and Trustee, and their successors and assigns forever, subject to the matters listed in Exhibit C (“Permitted Encumbrances”) and the provisions, terms and conditions of this Instrument. 

IN TRUST, WITH POWER OF SALE, to secure payment and performance of the Obligations in the time and manner set forth in the Documents. 

PROVIDED, HOWEVER, if Borrower shall pay and perform the Obligations as provided for in the Documents and shall comply with all the provisions, terms and
conditions in the Documents, these presents and the estates hereby granted (except for the obligations of Borrower set forth in Sections 3.11 and 3.12 and Article VIII hereof) shall cease, terminate and be void. 

IN FURTHERANCE of the foregoing, Borrower warrants, represents, covenants and agrees as follows: 

ARTICLE I - OBLIGATIONS 

Section 1.01 Obligations. This Instrument is executed, acknowledged, and delivered by Borrower to secure and enforce the following
obligations (collectively, the “Obligations”): 
 (a) Payment of all obligations, indebtedness and liabilities
under the Documents including (i) the Prepayment Premium (as defined in the Note)(“Prepayment Premium”), (ii) interest at both the rate specified in the Note and at the Default Rate (as defined in the Note), if applicable
and to the extent permitted by Laws (defined below), and (iii) renewals, extensions, and amendments of the Documents; 

(b) Performance of every obligation, covenant, and agreement under the Documents including renewals, extensions, and amendments of the
Documents; and 

 (c) Payment of all sums advanced (including costs and expenses) by Lender pursuant to the
Documents including renewals, extensions, and amendments of the Documents. 
 Section 1.02 Documents. The
“Documents” shall mean this Instrument, the Note, the Assignment, and any other written agreement executed in connection with the Loan (but excluding the Loan application and Loan commitment) and by the party against whom
enforcement is sought, including those given to evidence or further secure the payment and performance of any of the Obligations, and any written renewals, extensions, and amendments of the foregoing, executed by the party against whom enforcement
is sought. All of the provisions of the Documents are incorporated into this Instrument as if fully set forth in this Instrument. 

ARTICLE II - REPRESENTATIONS AND WARRANTIES 

Borrower hereby represents and warrants to Lender as follows: 

Section 2.01 Title, Legal Status and Authority. Borrower (i) is seised of the Land and Improvements in fee simple
and has good and marketable title to the Property, free and clear of all liens, charges, encumbrances, and security interests, except the Permitted Encumbrances; (ii) will forever warrant and defend its title to the Property and the validity,
enforceability, and priority of the lien and security interest created by this Instrument against the claims of all persons; (iii) is a limited liability company duly organized, validly existing, and in good standing and qualified to transact
business under the laws of its state of organization or incorporation (“Organization State”) and the state where the Property is located (“Property State”); and (iv) has all necessary approvals, governmental
and otherwise, and full power and authority to own its properties (including the Property) and carry on its business. 
 Section 2.02
Validity of Documents. The execution, delivery and performance of the Documents and the borrowing evidenced by the Note (i) are within the power of Borrower; (ii) have been authorized by all requisite action;
(iii) have received all necessary approvals and consents; (iv) will not violate, conflict with, breach, or constitute (with notice or lapse of time, or both) a default under (1) any law, order or judgment of any court, governmental
authority, or the governing instrument of Borrower or (2) any indenture, agreement, or other instrument to which Borrower is a party or by which it or any of its property is bound or affected; (v) will not result in the creation or
imposition of any lien, charge, or encumbrance upon any of its properties or assets except for those in this Instrument; and (vi) will not require any authorization or license from, or any filing with, any governmental or other body (except for
the recordation of this Instrument, the Assignment and Uniform Commercial Code (“U.C.C.”) filings). The Documents constitute legal, valid, and binding obligations of Borrower. 

Section 2.03 Litigation. There is no action, suit, or proceeding, judicial, administrative, or otherwise (including any
condemnation or similar proceeding), pending or, to Borrower’s actual knowledge, threatened or contemplated against, or affecting, Borrower or the Property which would have a material adverse effect on either the Property or Borrower’s
ability to perform its obligations. 
 Section 2.04 Status of Property. 

(a) The Land and Improvements are not located in an area identified by the Secretary of Housing and Urban Development, or any successor,
as an area having special flood hazards pursuant to the National Flood Insurance Act of 1968, the Flood Disaster Protection Act of 1973, or the National Flood Insurance Reform Act of 1994, as each have been or may be amended, or any successor law
(collectively, the “Flood Acts”) or, if located within any such area, Borrower has and will maintain the insurance prescribed in Section 3.06 below. 

(b) Borrower has all necessary (i) certificates, licenses, and other approvals, governmental and otherwise, for the operation of the
Property and the conduct of its business and (ii) zoning, building code, land use, environmental and other similar permits or approvals, all of which are currently in full force and effect and not subject to revocation, suspension, forfeiture,
or modification (except to the extent that the Property or its present use is “legal non-conforming” as disclosed by the zoning report for the Property prepared by Zoning-Info, Inc. and delivered to Lender in connection with the Loan).
Except to the extent that the Property or its present use is “legal non-conforming” as disclosed by the zoning report for the Property prepared by Zoning-Info, Inc. and delivered to Lender in connection with the Loan, the Property and its
use and occupancy is in full compliance with all Laws and Borrower has received no notice of any violation or potential violation of the Laws which has not been remedied or satisfied. 

(c) The Property is served by all utilities (including water and sewer) required for its use. 

 (d) All public roads and streets necessary to serve the Property for its use have been
completed, are serviceable, are legally open, and have been dedicated to and accepted by the appropriate governmental entities. 

(e) The Property is free from damage caused by fire or other casualty. 

(f) All costs and expenses for labor, materials, supplies, and equipment used in the construction of the Improvements have been paid in
full except for the Permitted Encumbrances. 
 (g) Borrower owns and has paid in full for all furnishings, fixtures, and
equipment (other than Tenants’ property) used in connection with the operation of the Property, free of all security interests, liens, or encumbrances except the Permitted Encumbrances and those created by this Instrument. 

(h) The Property is assessed for real estate tax purposes as one or more wholly independent tax lot(s), separate from any adjoining land
or improvements and no other land or improvements are assessed and taxed together with the Property. 
 Section 2.05
Tax Status of Borrower. Borrower is not a “foreign person” within the meaning of Sections 1445 and 7701 of the Internal Revenue Code of 1986, as amended, and the regulations thereunder (the
“Revenue Code”). Borrower further represents and warrants to Lender that (i) Borrower is a “disregarded entity” as defined in Section 1.1445-2(b)(2)(iii) of the Income Tax Regulations issued under the Code,
(ii) Borrower is wholly owned by Strategic Storage Operating Partnership, L.P., a Delaware limited partnership (“Strategic Operating Partnership”), and (iii) Strategic Operating Partnership is neither (A) a
“foreign person” within the meaning of Sections 1445 and 7701 of the Code nor (B) a “disregarded entity” as defined in Section 1.1445-2(b)(2)(iii) of the Income Tax Regulations issued under the Code. 

Section 2.06 Bankruptcy and Equivalent Value. No bankruptcy, reorganization, insolvency, liquidation, or other
proceeding for the relief of debtors has been instituted by or against Borrower, any general partner of Borrower (if Borrower is a partnership), or any manager or managing member of Borrower (if Borrower is a limited liability company). Borrower has
received reasonably equivalent value for granting this Instrument. 
 Section 2.07 Disclosure. Borrower has
disclosed to Lender all material facts and has not failed to disclose any material fact that could cause any representation or warranty made herein to be materially misleading. There has been no adverse change in any condition, fact, circumstance,
or event that would make any such information materially inaccurate, incomplete or otherwise misleading. 
 Section 2.08
Illegal Activity. No portion of the Property has been or will be purchased, improved, fixtured, equipped or furnished with proceeds of any illegal activity and, to Borrower’s actual knowledge, there are no illegal
activities at or on the Property. 
 Section 2.09 OFAC Lists. That (i) neither Borrower, nor, to Borrower’s actual
knowledge (following reasonable inquiry consisting of either checking the published OFAC Lists with respect to such parties or causing [either directly or through Guarantor (as defined in the Loan Agreement)] the OFAC Lists to be checked with
respect to such parties), any persons or entities holding any legal or beneficial interest whatsoever in Borrower (whether directly or indirectly), 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 issued by OFAC or any other department or agency of the United States of America (collectively, the “OFAC Lists”); provided, however,
that (A) with respect to individual beneficiaries of any governmental plans or employee benefit plans holding interests in Borrower (collectively, the “Individual Beneficiaries”), the foregoing representations and warranties
are limited to Borrower’s actual knowledge, and (B) with respect to individual shareholders of any publicly-traded company holding an interest in Borrower (collectively, the “Individual Shareholders”), the foregoing
representations and warranties are limited to Borrower’s actual knowledge; (ii) neither Borrower, nor, to Borrower’s actual knowledge (following reasonable inquiry consisting of either checking the published OFAC Lists with respect to
such parties or causing [either directly or through Guarantor] the OFAC Lists to be checked with respect to such parties), any persons or entities holding any legal or beneficial interest whatsoever in Borrower (whether directly or indirectly), are
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 or entities referred to or described in the OFAC Lists;
provided, however, that (A) with respect to any Individual Beneficiaries holding interests in Borrower, the foregoing representations and warranties are limited to Borrower’s 

 
actual knowledge, and (B) with respect to any Individual Shareholders holding interests in Borrower, the foregoing representations and warranties are limited to Borrower’s actual
knowledge; (iii) neither any guarantor, nor, to Borrower’s actual knowledge (following reasonable inquiry consisting of either checking the published OFAC Lists with respect to such parties or causing [either directly or through Guarantor]
the OFAC Lists to be checked with respect to such parties), any persons or entities holding any legal or beneficial interest whatsoever in any guarantor (whether directly or indirectly), are named on any OFAC Lists; provided, however, that
(A) with respect to any Individual Beneficiaries holding interests in any guarantor, the foregoing representations and warranties are limited to Borrower’s actual knowledge, and (B) with respect to any Individual Shareholders holding
interests in any guarantor, the foregoing representations and warranties are limited to Borrower’s actual knowledge; (iv) neither any guarantor, nor, to Borrower’s actual knowledge (following reasonable inquiry consisting of either
checking the published OFAC Lists with respect to such parties or causing [either directly or through Guarantor] the OFAC Lists to be checked with respect to such parties), any persons or entities holding any legal or beneficial interest whatsoever
in any guarantor (whether directly or indirectly), are 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 or
entities referred to or described in the OFAC Lists; provided, however, that (A) with respect to any Individual Beneficiaries holding interests in any guarantor, the foregoing representations and warranties are limited to Borrower’s actual
knowledge, and (B) with respect to any Individual Shareholders holding interests in any guarantor, the foregoing representations and warranties are limited to Borrower’s actual knowledge; and (v) neither Borrower nor any guarantor has
knowingly conducted business with or engaged in any transaction with any person or entity named on any of the OFAC Lists or any person or entity 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 or entities referred to or described in the OFAC Lists. 

Section 2.10 Property as Single Asset. That (i) Borrower’s only asset is the Property, and (ii) the Property
generates substantially all of the gross income of Borrower and there is no substantial business being conducted by Borrower other than the business of operating the Property and the activities incidental thereto. 

ARTICLE III - COVENANTS AND AGREEMENTS 

Borrower covenants and agrees with Lender as follows: 

Section 3.01 Payment of Obligations. Borrower shall timely pay and cause to be performed the Obligations. 

Section 3.02 Continuation of Existence. Borrower shall not (a) dissolve, terminate, or otherwise dispose of,
directly, indirectly or by operation of law, all or substantially all of its assets; (b) reorganize or change its legal structure without Lender’s prior written consent, except as otherwise expressly permitted under Article V below;
(c) change its name, address, or the name under which Borrower conducts its business without promptly notifying Lender; or (d) do anything to cause the representations in Section 2.02 to become untrue. 

Section 3.03 Taxes and Other Charges. 

(a) Payment of Assessments. Borrower shall pay when due all taxes, liens, assessments, utility charges (public or private and
including sewer fees), ground rents, maintenance charges, dues, fines, impositions, and public and other charges of any character (including penalties and interest) assessed against, or which could become a lien against, the Property
(“Assessments”) and in all events prior to the date any fine, penalty, interest or charge for nonpayment may be imposed. Unless Borrower is making deposits per Section 3.10, Borrower shall provide Lender with receipts
evidencing such payments (except for income taxes, franchise taxes, ground rents, maintenance charges, and utility charges) within thirty (30) days after their due date. 

(b) Right to Contest. So long as no Event of Default (defined below) has occurred, Borrower may, prior to delinquency and at its
sole expense, contest any Assessment, but this shall not change or extend Borrower’s obligation to pay the Assessment as required above unless (i) Borrower gives Lender prior written notice of its intent to contest an Assessment;
(ii) Borrower demonstrates to Lender’s reasonable satisfaction that (A) the Property will not be sold to satisfy the Assessment prior to the final determination of the legal proceedings, (B) Borrower has taken such actions as are
required or permitted to accomplish a stay of any such sale, and (C) Borrower has either (1) furnished a bond or surety (satisfactory to Lender in form and amount) sufficient to prevent a sale of the Property or (2) at Lender’s
option, deposited one hundred fifty percent (150%) of the full amount necessary to pay any unpaid portion of the Assessments with Lender; and (iii) such proceeding shall be permitted under any other instrument to which Borrower or the
Property is subject (whether superior or inferior to this Instrument); provided, however, that 

 
the foregoing shall not restrict the contesting of any income taxes, franchise taxes, ground rents, maintenance charges, and utility charges. 

(c) Documentary Stamps and Other Charges. Borrower shall pay all taxes, assessments, charges, expenses, costs and fees (including
registration and recording fees and revenue, transfer, stamp, intangible, and any similar taxes)(collectively, the “Transaction Taxes”) required in connection with the making and/or recording of the Documents. If Borrower fails to
pay the Transaction Taxes after demand, Lender may (but is not obligated to) pay these and Borrower shall reimburse Lender on demand for any amount so paid with interest at the applicable interest rate specified in the Note, which shall be the
Default Rate unless prohibited by Laws. 
 (d) Changes in Laws Regarding Taxation. If any law (i) deducts from the
value of real property for the purpose of taxation any lien or encumbrance thereon, (ii) taxes deeds of trust or debts secured by deeds of trust for federal, state or local purposes or changes the manner of the collection of any such existing
taxes, and/or (iii) imposes a tax, either directly or indirectly, on any of the Documents or the Obligations, Borrower shall, if permitted by law, pay such tax within the statutory period or within twenty (20) days after demand by Lender,
whichever is less; provided, however, that if, in the opinion of Lender, Borrower is not permitted by law to pay such taxes, Lender shall have the option to declare the Obligations immediately due and payable (without any Prepayment
Premium) upon ninety (90) days’ notice to Borrower. 
 Section 3.04 Defense of Title, Litigation, and Rights
under Documents. Borrower shall forever warrant, defend and preserve Borrower’s title to the Property, the validity, enforceability and priority of this Instrument and the lien or security interest created thereby, and any rights of
Lender and/or Trustee under the Documents against the claims of all persons, and shall promptly notify Lender and Trustee of any such claims. Lender and/or Trustee (whether or not named as a party to such proceedings) is authorized and empowered
(but shall not be obligated) to take such additional steps as it may deem necessary or proper for the defense of any such proceeding or the protection of the lien, security interest, validity, enforceability, or priority of this Instrument, title to
the Property, or any rights of Lender and/or Trustee under the Documents, including the employment of counsel, the prosecution and/or defense of litigation, the compromise, release, or discharge of such adverse claims, the purchase of any tax title,
the removal of any such liens and security interests, and any other actions Lender and/or Trustee deems necessary to protect its or their interests. Borrower authorizes Lender and/or Trustee to take any actions required to be taken by Borrower, or
permitted to be taken by Lender and/or Trustee, in the Documents in the name and on behalf of Borrower. Borrower shall reimburse Lender and Trustee on demand for all expenses (including reasonable attorneys’ fees) incurred by it/them in
connection with the foregoing and Lender’s or Trustee’s exercise of its or their rights under the Documents. All such expenses of Lender and/or Trustee, until reimbursed by Borrower, shall be part of the Obligations, bear interest from the
date of demand at the Default Rate, and shall be secured by this Instrument. 
 Section 3.05 Compliance with Laws and Operation and
Maintenance of Property. 
 (a) Repair and Maintenance. Borrower will operate and maintain
the Property in good order, repair, and operating condition. Borrower will promptly make all necessary repairs, replacements, additions, and improvements necessary to ensure that the Property shall not in any way be diminished or impaired. Borrower
will not cause or allow any of the Property to be misused, wasted, or to deteriorate and Borrower will not abandon the Property. No new building, structure, or other improvement shall be constructed on the Land nor shall any material part of the
Improvements be removed, demolished, or structurally or materially altered (any of the foregoing hereinafter referred to as “Repairs and Maintenance”), without Lender’s prior written consent, which consent shall not be
unreasonably withheld, except that Lender’s prior written consent shall not be required with respect to (i) Borrower’s undertaking those matters for which immediate action or capital replacement reserves were recommended in the
Property Condition Assessment report delivered to and accepted by Lender in connection with the Loan; (ii) Borrower’s undertaking Repairs and Maintenance for which the overall cost shall be less than $75,000.00 so long as any such
undertaking will not alter the exterior footprint of the Improvements; or (iii) Repairs and Maintenance undertaken in the event of an emergency for the protection of life, health, safety or property, provided that in such case Borrower shall
notify Lender of such action taken as soon as reasonably practicable thereafter. 
 With respect to the requirements in of this
Section 3.05(a) above that Lender must approve Repairs and Maintenance, if Lender does not respond within the period of time specified below to such a request 

 
from Borrower for such approval of Repairs and Maintenance, Lender will be deemed to have approved the request, so long as the request from Borrower complies with the following
requirements (“Special Notice Provisions”): 
 (i) The request must be in writing, and copies of
the request must be sent both to Lender’s servicing and law departments in accordance with the notice provisions of the Documents; 

(ii) The request must contain a blank sheet on the top of it with only the following language appearing in the middle of
the sheet: LENDER MUST RESPOND TO THIS REQUEST WITHIN THIRTY (30) AFTER LENDER’S RECEIPT OF THIS NOTICE OR LENDER’S RIGHT TO APPROVE THIS REQUEST WILL BE DEEMED WAIVED; and 

(iii) Each such request shall include an itemized budget, plans and specifications, and a construction schedule for the
proposed Repairs and Maintenance, and any other documentation and information reasonably necessary for Lender to evaluate the request. 
 In the
event Borrower fails to comply with the Special Notice Provisions, (i) Lender shall not be required to respond within the specified period of time, (ii) Lender’s right to approve the request will not be deemed waived if Lender fails
to respond within the specified period of time, and (iii) Lender shall not be deemed to have consented to or approved the request if Lender fails to respond within the specified period of time. 

(b) Replacement of Property. Borrower will keep the Property fully equipped and will replace all worn out or obsolete personal
property in a commercially reasonable manner with comparable fixtures or personal property. Borrower will not, without Lender’s prior written consent, remove any personal property covered by this Instrument unless the same is replaced by
Borrower in a commercially reasonable manner with a comparable article (i) owned by Borrower free and clear of any lien or security interest (other than the Permitted Encumbrances and those created by this Instrument) or (ii) leased by
Borrower (A) with Lender’s prior written consent, such consent not to be unreasonably withheld, or (B) if the replaced personal property was leased at the time of execution of this Instrument. 

(c) Compliance with Laws. Borrower shall comply with and shall cause the Property to be maintained, used, and operated in
compliance with all (i) present and future laws, Environmental Laws (defined below), ordinances, regulations, rules, orders and requirements (including zoning and building codes) of any governmental or quasi-governmental authority or agency
applicable to Borrower or the Property (collectively, the “Laws”); (ii) orders, rules, and regulations of any regulatory, licensing, accrediting, insurance underwriting or rating organization, or other body exercising similar
functions; (iii) duties or obligations of any kind imposed under any Permitted Encumbrance or by law, covenant, condition, agreement, or easement, public or private; and (iv) policies of insurance at any time in force with respect to the
Property. If proceedings are initiated or Borrower receives notice that Borrower or the Property is not in compliance with any of the foregoing, Borrower will promptly send Lender notice and a copy of the proceeding or violation notice. Without
limiting Lender’s rights and remedies under Article VI or otherwise, if Borrower or the Property are not in compliance with all Laws, Lender may impose additional requirements upon Borrower including monetary reserves or financial equivalents.

 (d) Zoning and Title Matters. Borrower shall not, without Lender’s prior written consent, (i) initiate or
support any zoning reclassification of the Property or variance under existing zoning ordinances; (ii) modify or supplement any of the Permitted Encumbrances; (iii) impose any restrictive covenants or encumbrances upon the Property;
(iv) execute or file any subdivision plat affecting the Property; (v) consent to the annexation of the Property to any municipality; (vi) permit the Property to be used by the public or any person in a way that might make a claim of
adverse possession or any implied dedication or easement possible; (vii) cause or permit the Property to become a non-conforming use (to the extent the Property is not currently a non-conforming use) under zoning ordinances or any present or
future non-conforming use of the Property to be discontinued; or (viii) fail to comply with the terms of the Permitted Encumbrances. 

Section 3.06 Insurance. 

(a) Property and Time Element Insurance. Borrower shall keep the Property insured for the benefit of Borrower and Lender (with
Lender named as mortgagee) by (i) a special form property insurance policy with an agreed amount endorsement for full replacement cost (defined below) without any coinsurance provisions or penalties, or the broadest form of coverage available,
in an amount sufficient to prevent Lender from ever becoming 

 
a coinsurer under the policy or Laws, and with a deductible not to exceed Twenty-Five Thousand Dollars ($25,000.00); (ii) a policy or endorsement insuring against acts of terrorism as
defined in the Terrorism Risk and Insurance Act (“TRIA”); (iii) [intentionally omitted]; (iv) a policy or endorsement providing business income insurance (including business interruption insurance and extra expense
insurance and/or rent insurance) on an actual loss sustained basis in an amount equal to at least one (1) year’s total income from the Property including all Rents, which business interruption insurance shall also provide coverage as
aforesaid for any additional hazards as may be required pursuant to the terms of this Instrument; (v) a policy or endorsement insuring against damage by flood if the Property is located in a Special Flood Hazard Area identified by the Federal
Emergency Management Agency or any successor or related government agency as a 100 year flood plain currently classified as Flood Insurance Rate Map Zones “A”, “AO”, “AH”, “A1-A30”, “AE”,
“A99”, “V”, “V1-V30”, and “VE” in an amount equal to the original amount of the Note; (vi) a policy or endorsement covering against damage or loss from (A) sprinkler system leakage and
(B) boilers, boiler tanks, HVAC systems, heating and air-conditioning equipment, pressure vessels, auxiliary piping, and similar apparatus, in the amount reasonably required by Lender; (vii) during the period of any construction, repair,
restoration, or replacement of the Property, a standard builder’s risk policy with extended coverage in an amount at least equal to the full replacement cost of such Property, and worker’s compensation, in statutory amounts; and
(viii) a policy or endorsement covering against damage or loss by earthquake and other natural phenomenon in the amounts reasonably required by Lender. “Full replacement cost” shall mean the one hundred percent
(100%) replacement cost of the Property, without allowance for depreciation and exclusive of the cost of excavations, foundations, footings, and value of land, and shall be subject to verification by Lender. Full replacement cost will be
determined, at Borrower’s expense, periodically upon policy expiration or renewal by the insurance company or an appraiser, engineer, architect, or contractor approved by said company and Lender. 

(b) Liability and Other Insurance. Borrower shall maintain commercial general liability insurance with per occurrence limits of
$1,000,000, a products/completed operations limit of $2,000,000, and a general aggregate limit of $2,000,000, with an excess/umbrella liability policy of not less than $10,000,000 per occurrence and annual aggregate covering Borrower, with Lender
named as an additional insured, against claims for bodily injury or death or property damage occurring in, upon, or about the Property or any street, drive, sidewalk, curb, or passageway adjacent thereto. In addition to any other requirements, such
commercial general liability and excess/umbrella liability insurance shall provide insurance against acts of terrorism (as defined in TRIA), or such coverage shall be provided by a separate policy or endorsement. The insurance policies shall also
include operations and blanket contractual liability coverage which insures contractual liability under the indemnifications set forth in Section 8.02 below for bodily injury or property damage to the extent Borrower is found negligent for same
(but such coverage or the amount thereof shall in no way limit such indemnifications). Upon request, Borrower shall also carry additional insurance or additional amounts of insurance covering Borrower or the Property as Lender shall reasonably
require. 
 (c) Form of Policy. All insurance required under this Section shall be fully paid for, non-assessable, and
the policies shall contain such provisions, endorsements, and expiration dates as Lender shall reasonably require. The policies shall be issued by insurance companies authorized to do business in the Property State, approved by Lender, and must have
and maintain a current financial strength rating of “A-, X” (or higher) from A.M. Best or equivalent (or if a rating by A.M. Best is no longer available, a similar rating from a similar or successor service). In addition, all policies
shall (i) include a standard mortgagee clause, without contribution, in the name of Lender, (ii) provide that they shall not be canceled without at least thirty (30) days’ prior written notice to Lender except in the event of
cancellation for non-payment of premium, in which case only ten (10) days’ prior written notice will be given to Lender, and (iii) include a waiver of subrogation clause substantially equivalent to the following: “The Company may
require from the Insured an assignment of all rights of recovery against any party for loss to the extent that payment therefor is made by the Company, but the Company shall not acquire any rights of recovery which the Insured has expressly waived
prior to loss, nor shall such waiver affect the Insured’s rights under this policy.” 
 (d) Original Policies.
Borrower shall deliver to Lender (i) certificates of insurance for all policies (and renewals) required under this Section and (ii) receipts evidencing payment of all premiums on such policies prior to their expiration. If original and
renewal policies are unavailable or if coverage is under a blanket policy, Borrower shall deliver duplicate originals, or, if unavailable, original ACORD 28 (2003/10) and ACORD 25-S certificates (or equivalent certificates acceptable to Lender;
provided, however, that any certificate containing language to the effect that the certificate is provided “for information only” shall not qualify as adequate evidence) evidencing that such policies are in full force and effect together
with certified copies of the original policies. 

 
Without limiting Lender’s other rights with respect to the foregoing obligations, if, within fifteen (15) days prior to the expiration of the current applicable policy, Lender has not
received the foregoing items in form and substance acceptable to Lender (as being in compliance with the terms of this Instrument), Lender may retain a commercial property insurance consultant to assist Lender in obtaining adequate evidence that the
required insurance coverage is in effect, in which event Borrower shall (i) cooperate with such consultant in confirming that adequate evidence that the required insurance coverage is in effect, and (ii) pay all of the costs and expenses
of such consultant. 
 (e) General Provisions. Borrower shall not carry separate or additional insurance concurrent in
form or contributing in the event of loss with that required under this Section unless endorsed in favor of Lender as per this Section and approved by Lender in all respects. In the event of foreclosure of this Instrument or other transfer of title
or assignment of the Property in extinguishment, in whole or in part, of the Obligations, all right, title, and interest of Borrower in and to all policies of insurance then in force regarding the Property and all proceeds payable thereunder and
unearned premiums thereon shall immediately vest in the purchaser or other transferee of the Property. No approval by Lender of any insurer shall be construed to be a representation, certification, or warranty of its solvency. No approval by Lender
as to the amount, type, or form of any insurance shall be construed to be a representation, certification, or warranty of its sufficiency. Borrower shall comply with all insurance requirements and shall not cause or permit any condition to exist
which would be prohibited by any insurance requirement or would invalidate the insurance coverage on the Property. Borrower shall not be exempt from any of the requirements set forth in this Section 3.06 to the extent that a Tenant has agreed
to provide the required insurance or a portion thereof pursuant to the terms and provisions of its respective Lease. If a Tenant is carrying any insurance required on the Property, such insurance must fully comply with this Section 3.06.
Borrower shall obtain from any such Tenant(s) and provide to Lender documentation sufficient to satisfy the requirements of Section 3.06(d) above. Lender has no duty or obligation to contact any Tenant(s) regarding proof of insurance for the
Property. 
 (f) Waiver of Subrogation. A waiver of subrogation shall be obtained by Borrower from its insurers and,
consequently, Borrower for itself, and on behalf of its insurers, hereby waives and releases any and all right to claim or recover against Lender, its officers, employees, agents and representatives, for any loss of or damage to Borrower, other
Persons, the Property, Borrower’s property or the property of other Persons from any cause required to be insured against by the provisions of this Instrument or otherwise insured against by Borrower. 

Section 3.07 Damage and Destruction of Property. 

(a) Borrower’s Obligations. If any damage to, loss, or destruction of the Property occurs (any “Damage”),
(i) Borrower shall promptly notify Lender and take all necessary steps to preserve any undamaged part of the Property and (ii) if the insurance proceeds are made available for Restoration (defined below) (but regardless of whether any
proceeds are sufficient for Restoration), Borrower shall promptly commence and diligently pursue to completion the restoration, replacement, and rebuilding of the Property as nearly as possible to its value and condition immediately prior to the
Damage or a Taking (defined below) in accordance with plans and specifications approved by Lender (“Restoration”). Borrower shall comply with other reasonable requirements established by Lender to preserve the security under this
Instrument. 
 (b) Lender’s Rights. If any Damage occurs and some or all of it is covered by insurance, then
(i) Lender may, but is not obligated to, make proof of loss if not made promptly by Borrower and Lender is authorized and empowered by Borrower to settle, adjust, or compromise any claims for the Damage; (ii) each insurance company
concerned is authorized and directed to make payment directly to Lender for the Damage; and (iii) Lender may apply the insurance proceeds in any order it determines (1) to reimburse Lender for all Costs (defined below) related to
collection of the proceeds and (2) subject to Section 3.07(c) and at Lender’s option, to (A) payment (without any Prepayment Premium) of all or part of the Obligations, whether or not then due and payable, in the order determined
by Lender (provided that if any Obligations remain outstanding after this payment, the unpaid Obligations shall continue in full force and effect and Borrower shall not be excused in the payment thereof; provided, however, that in the event Borrower
requests application of the insurance proceeds to Restoration and Lender determines by written notice to Borrower that such proceeds shall be applied under this Section 3.07(b)(iii)(2)(A) towards the payment of part, but not all, of the
indebtedness evidenced by the Note, and further provided that the amount of proceeds to be applied by Lender is equal to or greater than five percent (5%) of the original principal amount of the Loan, then, so long as there is then no Event of
Default, Borrower shall be entitled to prepay the remaining balance of the Note within ninety (90) days after such determination notice from Lender only, which prepayment shall not be subject to the Prepayment Premium); (B) the cure of any
default under the Documents; or (C) the Restoration. Notwithstanding the foregoing, if there shall then be no Event of Default (or 

 
event which with the passage of time and/or giving of notice would constitute an Event of Default), Borrower shall have the right to settle, adjust or compromise any claim for Damage if the total
amount of such claim is less than $50,000.00, provided, that, Borrower promptly uses the full amount of such insurance proceeds for Restoration of the Damage and provides evidence thereof to Lender in a manner reasonably acceptable to Lender. Any
insurance proceeds held by Lender shall be held without the payment of interest thereon. If Borrower receives any insurance proceeds for the Damage, Borrower shall promptly deliver the proceeds to Lender. Notwithstanding anything in this Instrument
or at law or in equity to the contrary, none of the insurance proceeds paid to Lender shall be deemed trust funds and Lender may dispose of these proceeds as provided in this Section. Borrower expressly assumes all risk of loss from any Damage,
whether or not insurable or insured against. 
 (c) Application of Proceeds to Restoration. Lender shall make the Net
Proceeds (defined below) available to Borrower for Restoration if: (i) there shall then be no Event of Default; (ii) Lender shall be satisfied that Restoration can and will be completed within one (1) year after the Damage occurs and
at least nine (9) months prior to the maturity of the Note; (iii) Borrower shall have entered into a general construction contract acceptable in all respects to Lender (in the exercise of Lender’s good faith discretion) for
Restoration, which contract must include provision for retainage of not less than ten percent (10%) until final completion of the Restoration; and (iv) in Lender’s reasonable judgment, after Restoration has been completed, the net
cash flow of the Property will be sufficient to cover all costs and operating expenses of the Property, including payments due and reserves required under the Documents. Notwithstanding any provision of this Instrument to the contrary, Lender shall
not be obligated to make any portion of the Net Proceeds available for Restoration (whether as a result of Damage or a Taking) unless, at the time of the disbursement request, Lender has determined in its reasonable discretion that
(y) Restoration can be completed at a cost which does not exceed the aggregate of the remaining Net Proceeds and any funds deposited with Lender by Borrower (“Additional Funds”) and (z) the aggregate of any loss of rental
income insurance proceeds which the carrier has acknowledged to be payable (“Rent Loss Proceeds”) and any funds deposited with Lender by Borrower are sufficient to cover all costs and operating expenses of the Property, including
payments due and reserves required under the Documents. 
 (d) Disbursement of Proceeds. If Lender elects or is required
to make insurance proceeds or the Award (defined below), as the case may be, available for Restoration, Lender shall, through a disbursement procedure established by Lender, periodically make available to Borrower in installments the net amount of
all insurance proceeds or the Award, as the case may be, received by Lender after deduction of all reasonable costs and expenses incurred by Lender in connection with the collection and disbursement of such proceeds (“Net Proceeds”)
and, if any, the Additional Funds. The amounts periodically disbursed to Borrower shall be based upon the amounts currently due under the construction contract for Restoration and Lender’s receipt of (i) appropriate lien waivers,
(ii) a certification of the percentage of Restoration completed by an architect or engineer acceptable to Lender, and (iii) title insurance protection against materialmen’s and mechanics’ liens. At Lender’s election, a
disbursing agent selected by Lender shall disburse such funds, and Borrower shall pay such agent’s reasonable fees and expenses. The Net Proceeds, Rent Loss Proceeds, and any Additional Funds shall constitute additional security for the Loan
and Borrower shall execute, deliver, file and/or record, at its expense, such instruments as Lender requires to grant to Lender a perfected, first-priority security interest in these funds. If the Net Proceeds are made available for Restoration and
(x) Borrower refuses or fails to complete the Restoration, (y) an Event of Default occurs, or (z) the Net Proceeds or Additional Funds are not applied to Restoration, then any undisbursed portion may, at Lender’s option, be
applied to the Obligations in any order of priority and any such application to principal shall be deemed a voluntary prepayment subject to the Prepayment Premium, and Borrower shall not have the right to prepay the remaining balance of the Note
without payment of the Prepayment Premium under the provisions of Section 3.07(a) or 3.08(c) hereof. 
 Section 3.08
Condemnation. 
 (a) Borrower’s Obligations. Borrower will promptly notify Lender of any
threatened or instituted proceedings for the condemnation or taking by eminent domain of the Property including any change in any street (whether as to grade, access, or otherwise)(a “Taking”). Borrower shall, at its expense,
(i) diligently prosecute these proceedings, (ii) deliver to Lender copies of all papers served in connection therewith, and (iii) consult and cooperate with Lender in the handling of these proceedings. No settlement of these
proceedings shall be made by Borrower without Lender’s prior written consent. Lender may participate in these proceedings (but shall not be obligated to do so) and Borrower will sign and deliver all instruments requested by Lender to permit
this participation. 

 (b) Lender’s Rights to Proceeds. All condemnation awards, judgments, decrees, or
proceeds of sale in lieu of condemnation (“Award”) are assigned, and shall be paid, to Lender. Borrower authorizes Lender to collect and receive them, to give receipts for them, to accept them in the amount received without question
or appeal, and/or to appeal any judgment, decree, or award. Borrower will sign and deliver all instruments requested by Lender to permit these actions. 

(c) Application of Award. Lender may apply any Award in any order it determines (1) to reimburse Lender for all Costs related
to collection of the Award and (2) subject to Section 3.08(d) and at Lender’s option, to (A) payment (without any Prepayment Premium) of all or part of the Obligations, whether or not then due and payable, in the order determined
by Lender (provided that if any Obligations remain outstanding after this payment, the unpaid Obligations shall continue in full force and effect and Borrower shall not be excused in the payment thereof; provided, however, that in the event Borrower
requests application of the Award to Restoration and Lender determines by written notice to Borrower that such proceeds shall be applied under this Section 3.08(c)(2)(A) towards the payment of part, but not all, of the indebtedness evidenced by
the Note, and further provided that the amount of proceeds to be applied by Lender is equal to or greater than five percent (5%) of the original principal amount of the Loan, then, so long as there is then no Event of Default, Borrower shall be
entitled to prepay the remaining balance of the Note within ninety (90) days after such determination notice from Lender only, which prepayment shall not be subject to the Prepayment Premium); (B) the cure of any default under the
Documents; or (C) the Restoration. If Borrower receives any Award, Borrower shall promptly deliver such Award to Lender. Notwithstanding anything in this Instrument or at law or in equity to the contrary, none of the Award paid to Lender shall
be deemed trust funds and Lender may dispose of these proceeds as provided in this Section. 
 (d) Application of Award to
Restoration. Lender shall permit the application of the Award to Restoration if: (i) no more than (A) twenty percent (20%) of the gross area of the Improvements or (B) ten percent (10%) of the parking spaces is affected
by the Taking, (ii) the amount of the loss does not exceed twenty percent (20%) of the original amount of the Note; (iii) the Taking does not affect access to the Property from any public right-of-way; (iv) there is no Event of
Default at the time of the Taking or the application of the Award; (v) after Restoration, the Property and its use will be in compliance with all Laws; (vi) in Lender’s reasonable judgment, Restoration is practical and can be
completed within one (1) year after the Taking and at least nine (9) months prior to the maturity of the Note; (vii) [intentionally omitted]; (viii) Borrower shall have entered into a general construction contract acceptable in
all respects to Lender for Restoration, which contract must include provision for retainage of not less than ten percent (10%) until final completion of the Restoration; and (ix) in Lender’s reasonable judgment, after Restoration has
been completed the net cash flow of the Property will be sufficient to cover all costs and operating expenses of the Property, including payments due and reserves required under the Documents. Any portion of the Award that is in excess of the cost
of any Restoration permitted above, may, in Lender’s sole discretion, be applied against the Obligations or paid to Borrower. If the Award is disbursed to Borrower under the provisions of this Section 3.08(d), then such Award shall be
disbursed to Borrower in accordance with the terms and conditions of Section 3.07(d). 
 (e) Effect on the
Obligations. Notwithstanding any Taking, Borrower shall continue to pay and perform the Obligations as provided in the Documents. Any reduction in the Obligations due to application of the Award shall take effect only upon Lender’s actual
receipt and application of the Award to the Obligations. If the Property shall have been foreclosed, sold pursuant to any power of sale granted hereunder, or transferred by deed-in-lieu of foreclosure prior to Lender’s actual receipt of the
Award, Lender may apply the Award received to the extent of any deficiency upon such sale and Costs incurred by Lender in connection with such sale. 

Section 3.09 Liens and Liabilities. Borrower shall pay when due all claims and
demands of mechanics, materialmen, laborers, and others for any work performed or materials delivered for the Property or the Improvements (collectively, “Property Payables”); provided, however, Borrower shall have the right to
contest in good faith any such claim or demand, so long as it does so diligently, by appropriate proceedings and without prejudice to Lender and provided that neither the Property nor any interest therein would be in any danger of sale, loss or
forfeiture as a result of such proceeding or contest. In the event Borrower shall contest any such claim or demand, Borrower shall promptly notify Lender and Trustee of such contest and thereafter shall, upon Lender’s request, promptly provide
a bond, cash deposit or other security satisfactory to Lender to protect Lender’s interest and security should the contest be unsuccessful. If Borrower shall fail to immediately discharge or provide security against any such claim or demand as
aforesaid, Lender or Trustee may do so and any and all expenses incurred by Lender or Trustee, together with interest thereon at the Default Rate from the date incurred by Lender until actually

 
paid by Borrower, shall be immediately paid by Borrower on demand and shall be secured by this Instrument and by all other Documents securing all or any part of the Obligations. Borrower shall,
at its sole expense, do everything necessary to preserve the lien and security interest created by this Instrument and its priority. Nothing in the Documents shall be deemed or construed as constituting the consent or request by Lender or Trustee,
express or implied, to any contractor, subcontractor, laborer, mechanic or materialman for the performance of any labor or the furnishing of any material for any improvement, construction, alteration, or repair of the Property. Borrower further
agrees that neither Lender nor Trustee stands in any fiduciary relationship to Borrower. Any contributions made, directly or indirectly, to Borrower by or on behalf of any of its partners, members, principals or any party related to such parties
shall be treated as equity and shall be subordinate and inferior to the rights of Lender under the Documents. 
 Section 3.10 Tax and
Insurance Deposits. At Lender’s option, (i) following an Event of Default or (ii) in the event that Borrower fails to timely deliver to Lender evidence of payment of Assessments or insurance premiums as required by Sections
3.03(a) and 3.06(d), respectively, Borrower shall make monthly deposits (“Deposits”) with Lender equal to one-twelfth (1/12th) of the annual Assessments (except for income taxes, franchise taxes, ground rents, maintenance
charges and utility charges) and the premiums for insurance required under Section 3.06 (the “Insurance Premiums”) together with amounts sufficient to pay these items thirty (30) days before they are due (collectively, the
“Impositions”). Lender shall estimate the amount of the Deposits until ascertainable. At that time, Borrower shall promptly deposit any deficiency. Borrower shall promptly notify Lender of any changes to the amounts, schedules and
instructions for payment of the Impositions. Borrower authorizes Lender or its agent to obtain the bills for Assessments directly from the appropriate tax or governmental authority. All Deposits are pledged to Lender and shall constitute additional
security for the Obligations. The Deposits shall be held by Lender without interest (except to the extent required under Laws) and may be commingled with other funds. If (i) there is no Event of Default at the time of payment,
(ii) Borrower has delivered bills or invoices to Lender for the Impositions in sufficient time to pay them when due, and (iii) the Deposits are sufficient to pay the Impositions or Borrower has deposited the necessary additional amount,
then Lender shall pay the Impositions prior to their due date. Any Deposits remaining after payment of the Impositions shall, at Lender’s option, be credited against the Deposits required for the following year or paid to Borrower. If an Event
of Default occurs, the Deposits may, at Lender’s option, be applied to the Obligations in any order of priority. Any application to principal shall be deemed a voluntary prepayment subject to the Prepayment Premium. Borrower shall not claim any
credit against the principal and interest due under the Note for the Deposits. Upon an assignment or other transfer of this Instrument, Lender may pay over the Deposits in its possession to the assignee or transferee and then it shall be completely
released from all liability with respect to the Deposits. Borrower shall look solely to the assignee or transferee with respect thereto. This provision shall apply to every transfer of the Deposits to a new assignee or transferee. Subject to
Article V, a transfer of title to the Land shall automatically transfer to the new owner the beneficial interest in the Deposits. Upon full payment and satisfaction of this Instrument or, at Lender’s option, at any prior time, the balance
of the Deposits in Lender’s possession shall be paid over to the record owner of the Land and no other party shall have any right or claim to the Deposits. Lender may transfer all its duties under this Section to such servicer or financial
institution as Lender may periodically designate and Borrower agrees to make the Deposits to such servicer or institution. 

Section 3.11 ERISA. 

(a) Borrower understands and acknowledges that, as of the date hereof, the source of funds from which Lender is extending the Loan will
include one or more of the following accounts: (i) an “insurance company general account,” as that term is defined in Prohibited Transaction Class Exemption (“PTE”) 95-60 (60 Fed. Reg. 35925 (Jul. 12, 1995)), as to
which Lender meets the conditions for relief in Sections I and IV of PTE 95-60; (ii) pooled and single client insurance company separate accounts, which are subject to the provisions of the Employee Retirement Income Security Act of 1974, as
amended (“ERISA”); and (iii) one or more insurance company separate accounts maintained solely in connection with fixed contractual obligations of the insurance company, under which the amounts payable or credited to the plan
are not affected in any manner by the investment performance of the separate account. 
 (b) Borrower represents and warrants to
Lender that (i) Borrower is not an “employee benefit plan” as defined in Section 3(3) of ERISA, or a “governmental plan” within the meaning of Section 3(32) of ERISA; (ii) Borrower is not a “party in
interest”, as defined in Section 3(14) of ERISA, other than as a service provider or an affiliate of a service provider, to any employee benefit plan that has invested in a separate account described in Section 3.11(a)(ii) above, from
which funds have been derived to make the Loan, or if so, the execution of the 

 
Documents and making of the Loan thereunder do not constitute nonexempt prohibited transactions under ERISA; (iii) Borrower is not subject to state statutes regulating investments and
fiduciary obligations with respect to governmental plans, or if subject to such statutes, is not in violation thereof in the execution of the Documents and the making of the Loan thereunder; (iv) the assets of Borrower do not constitute
“plan assets” of one or more plans within the meaning of 29 C.F.R. Section 2510.3-101; and (v) one or more of the following circumstances is true: (1) equity interests in Borrower are publicly offered securities, within the
meaning of 29 C.F.R. Section 2510.3-101(b)(2); (2) less than twenty-five percent (25%) of all equity interests in Borrower are held by “benefit plan investors” within the meaning of 29 C.F.R. Section 2510.3-101(f)(2);
or (3) Borrower qualifies as an “operating company,” a “venture capital operating company” or a “real estate operating company” within the meaning of 29 C.F.R. Section 2510.3-101(c), (d) or (e),
respectively. 
 (c) Borrower shall deliver to Lender such certifications and/or other evidence periodically requested by
Lender, in its sole discretion (exercised in good faith), to verify the representations and warranties in Section 3.11(b) above. Failure to deliver these certifications or evidence, breach of these representations and warranties, or
consummation of any transaction which would cause this Instrument or any exercise of Lender’s rights under this Instrument to (i) constitute a non-exempt prohibited transaction under ERISA or (ii) violate ERISA or any state statute
regulating governmental plans (collectively, a “Violation”), shall be an Event of Default. Notwithstanding anything in the Documents to the contrary, no sale, assignment, or transfer of any direct or indirect right, title, or
interest in Borrower or the Property (including creation of a junior lien, encumbrance or leasehold interest) shall be permitted which would, in Lender’s opinion, negate Borrower’s representations in this Section or cause a Violation.
Except with respect to transfers for which Lender’s consent is not required under Section 2 of the Loan Agreement, at least fifteen (15) days before consummation of any of the foregoing, Borrower shall obtain from the proposed
transferee or lienholder (i) a certification to Lender that the representations and warranties of this Section 3.11 will be true after consummation and (ii) an agreement to comply with this Section 3.11. 

Section 3.12 Environmental Representations, Warranties, and Covenants. 

(a) Environmental Representations and Warranties. Borrower represents and warrants, to Borrower’s actual knowledge that,
except as disclosed in the environmental site assessment report of the Property delivered to and approved by Lender in connection with the Loan (the “Environmental Report”): (i) there are no Hazardous Materials (defined below)
or underground storage tanks affecting the Property (“affecting the Property” shall mean “in, on, under, stored, used or migrating to or from the Property”) except for (A) routine office cleaning, janitorial and other
materials and supplies necessary to operate the Property for its current use and (B) Hazardous Materials that are (1) in compliance with Environmental Laws (defined below), (2) have all required permits, and (3) are in only the
amounts necessary to operate the Property; (ii) there are no past, present or threatened Releases (defined below) of Hazardous Materials in violation of any Environmental Law affecting the Property; (iii) there is no past or present
non-compliance with Environmental Laws or with permits issued pursuant thereto; (iv) Borrower does not know of, and has not received, any written or oral notice or communication from any person relating to Hazardous Materials affecting the
Property; and (v) Borrower has provided to Lender, in writing, all information relating to environmental conditions affecting the Property known to Borrower or contained in Borrower’s files. “Environmental Law” means any
present and future federal, state and local laws, statutes, ordinances, rules, regulations, standards, policies and other government directives or requirements, as well as common law, that apply to Borrower or the Property and relate to Hazardous
Materials including the Comprehensive Environmental Response, Compensation and Liability Act and the Resource Conservation and Recovery Act. “Hazardous Materials” shall mean petroleum and petroleum products and compounds containing
them, including gasoline, diesel fuel and oil; explosives, flammable materials; radioactive materials; polychlorinated biphenyls (“PCBs”) and compounds containing them; lead and lead-based paint; Microbial Matter, infectious
substances, asbestos or asbestos-containing materials in any form that is or could become friable; underground or above-ground storage tanks, whether empty or containing any substance; any substance the presence of which on the Property is
prohibited by any federal, state or local authority; any substance that requires special handling; and any other material or substance now or in the future defined as a “hazardous substance,” “hazardous material,” “hazardous
waste,” “toxic substance,” “toxic pollutant,” “contaminant,” or “pollutant” within the meaning of any Environmental Law. “Release” of any Hazardous Materials includes any release,
deposit, discharge, emission, leaking, spilling, seeping, migrating, pumping, pouring, escaping, dumping, disposing or other movement of Hazardous Materials. “Microbial Matter” shall mean the presence of fungi or bacterial matter
which reproduces through the release of spores or the splitting of cells, including, but not limited to, mold, mildew and viruses, whether or not such Microbial Matter is living. 

 (b) Environmental Covenants. Borrower covenants and agrees that: (i) all use and
operation of the Property by Borrower shall be, and Borrower shall use commercially reasonable efforts to cause all use of the Property by Tenants to be, in compliance with all Environmental Laws and required permits; (ii) there shall be no
Releases of Hazardous Materials affecting the Property in violation of Environmental Laws by Borrower, and Borrower shall use commercially reasonable efforts to ensure that there shall be no Releases of Hazardous Materials affecting the Property in
violation of Environmental Laws by any Tenant of the Property; (iii) there shall be no Hazardous Materials affecting the Property in connection with Borrower’s use and operation of the Property, and Borrower shall use commercially
reasonable efforts to ensure that there shall be no Hazardous Materials affecting the Property in connection with any Tenant’s use of the Property, except (A) routine office, cleaning and janitorial supplies, (B) in compliance with
all Environmental Laws, (C) in compliance with all required permits, and (D) (1) in only the amounts necessary to operate the Property or (2) as shall have been fully disclosed to and approved by Lender in writing;
(iv) Borrower shall keep the Property free and clear of all liens and encumbrances imposed by any Environmental Laws due to any act or omission by Borrower or any person (the “Environmental Liens”); (v) Borrower shall, at
its sole expense, fully and expeditiously cooperate in all activities performed under Section 3.12(c) including providing all relevant information and making knowledgeable persons available for interviews; (vi) Borrower shall, at its sole
expense, (A) perform any environmental site assessment or other investigation of environmental conditions at the Property upon Lender’s request based on Lender’s reasonable belief that the Property is not in compliance with all
Environmental Laws, (B) share with Lender the results and reports and Lender and the Indemnified Parties (defined below) shall be entitled to rely on such results and reports, and (C) complete any remediation of Hazardous Materials
affecting the Property or other actions required by any Environmental Laws; (vii) Borrower shall not allow any Tenant or other user of the Property to violate any Environmental Law; (viii) Borrower shall immediately notify Lender in
writing after it becomes aware of (A) the presence, Release, or threatened Release of Hazardous Materials affecting the Property, (B) any non-compliance of the Property with any Environmental Laws, (C) any actual or potential
Environmental Lien, (D) any required or proposed remediation of environmental conditions relating to the Property, or (E) any written or oral communication or notice from any person relating to Hazardous Materials, or any oral
communication relating to or alleging any violation or potential violation of Environmental Law, and (ix) if an Asbestos Operation and Maintenance Plan and any other Operation and Maintenance Plan (collectively, the “O&M
Plan”) is in effect (or required by Lender to be implemented) at the time of the closing of the Loan, then Borrower shall, at its sole expense, implement and continue the O&M Plan (with any modifications required to comply with
applicable Laws), until payment and full satisfaction of the Obligations. Any failure of Borrower to perform its obligations under this Section 3.12 shall constitute bad faith waste of the Property. 

(c) Lender’s Rights. Lender and any person designated by Lender may enter the Property to assess the environmental condition
of the Property and its use including (i) conducting any environmental assessment or audit (the scope of which shall be determined by Lender) and (ii) taking samples of soil, groundwater or other water, air, or building materials, and
conducting other invasive testing upon reasonable prior notice to Borrower and during normal business hours (except in the case of an emergency, when no such prior notice shall be required and such limitation to normal business hours shall not
apply) when (A) a default has occurred under the Documents, (B) Lender reasonably believes that a Release has occurred or the Property is not in compliance with all Environmental Laws, or (C) the Loan is being considered for sale (any
out-of-pocket expenses incurred in connection with the entry under clause (C) only shall be at Lender’s expense). Borrower shall cooperate with and provide access to Lender and such person. 

Section 3.13 Electronic Payments. Unless directed otherwise in writing by Lender, all payments due under the Documents
shall be made by electronic funds transfer debit entries to Borrower’s account at an Automated Clearing House member bank satisfactory to Lender or by similar electronic transfer process selected by Lender. Each payment due under the Documents
shall be initiated by Lender through the Automated Clearing House network (or similar electronic process) for settlement on the Due Date (as defined in the Note) for the payment. Borrower shall, at Borrower’s sole cost and expense, direct its
bank in writing to permit such electronic fund transfer debit entries (or similar electronic transfer) to be made by Lender. Prior to each payment Due Date under the Documents, Borrower shall deposit and/or maintain sufficient funds in
Borrower’s account to cover each debit entry. Any charges or costs, if any, by Borrower’s bank for the foregoing shall be paid by Borrower. 

Section 3.14 Inspection. Borrower shall allow Lender and any person designated by Lender to enter upon the Property and
conduct tests or inspect the Property upon reasonable prior notice to Borrower and during normal 

 
business hours (except in the case of an emergency, when no such prior notice shall be required and such limitation to normal business hours shall not apply). Borrower shall assist Lender and
such person in effecting said inspection. 
 Section 3.15 Records, Reports, and Audits. 

(a) Records and Reports. Borrower shall maintain complete and accurate books and records with respect to all operations of, or
transactions involving, the Property. Annually, Borrower shall furnish Lender financial statements for the most current fiscal year (including a schedule of all related Obligations and contingent liabilities) for (i) Borrower and
(ii) Strategic Storage Trust, Inc., a Maryland corporation. Annually (or quarterly upon Lender’s request), Borrower shall furnish Lender (i) operating statements showing cash flow and capital expenditures for the Property including
income and expenses (before and after Obligations service), major capital improvements, a schedule showing tenant sales and percentage rent for retail properties where sales are reported, and the average daily rate and average daily occupancy for
hotel properties; (ii) copies of paid tax receipts for the Property; (iii) a certified rent roll including security deposits held, the expiration of the terms of the Leases, and identification and explanation of any Tenants in default;
(iv) a budget showing projected income and expenses (before and after Obligations service) for the next twelve (12) month budget period; (v) any appraisals of the Property performed during the previous year; and (vi) upon
Lender’s request following an Event of Default, (A) a schedule showing Borrower’s tax basis in the Property, (B) the distribution of economic interests in the Property, and (C) copies of any other loan documents affecting
the Property. 
 (b) Delivery of Reports. All of the reports, statements, and items required under this Section shall be
(i) certified as being true, correct, and accurate by an authorized person, partner, or officer of the delivering party or, at Borrower’s or Guarantor’s option, audited by a Certified Public Accountant; (ii) satisfactory to
Lender in form and substance; and (iii) delivered within (A) ninety (90) days after the end of Borrower’s fiscal year for annual reports and (B) forty-five (45) days after the end of each calendar quarter for quarterly
reports. If any one report, statement, or item is not received by Lender within ten (10) days of Lender’s written request therefor, a late fee of Three Hundred Fifty and No/100 Dollars ($350.00) per month shall be due and payable by
Borrower. If any one report, statement, or item is not received after the expiration of (y) thirty (30) days after written notice from Lender (the “First Notice”) and (z) ten (10) days after delivery of a second
written notice from Lender (the “Second Notice”), which Second Notice shall not be delivered before the date that is thirty (30) days after delivery of the First Notice, Lender may immediately declare an Event of Default under
the Documents. Borrower shall (i) provide Lender with such additional financial, management, or other information regarding Borrower, any general partner of Borrower, or the Property, as Lender may reasonably request and (ii) upon
Lender’s request, deliver all items required by Section 3.15 in an electronic format (i.e. on computer disks) or by electronic transmission acceptable to Lender. 

(c) Inspection of Records. Borrower shall allow Lender or any person designated by Lender to examine, audit, and make copies of
all such books and records and all supporting data at the place where these items are located at all reasonable times after reasonable advance notice; provided that no notice shall be required after any Event of Default under the Documents. Borrower
shall assist Lender in effecting such examination. Upon five (5) days’ prior notice, Lender may inspect and make copies of Borrower’s or any general partner of Borrower’s income tax returns with respect to the Property for the
purpose of verifying any items referenced in this Section. 
 Section 3.16 Borrower’s Certificates. Within
ten (10) days after Lender’s request, Borrower shall furnish a written certification to Lender and any Investors (defined below) as to (a) the amount of the Obligations outstanding; (b) the interest rate, terms of payment, and
maturity date of the Note; (c) the date to which payments have been paid under the Note; (d) whether any offsets or defenses exist against the Obligations and a detailed description of any listed; (e) whether all Leases are in full
force and effect and have not been modified (or if modified, setting forth all modifications); (f) the date to which the Rents have been paid; (g) whether, to the actual knowledge of Borrower, any defaults exist under the Leases and a
detailed description of any listed; (h) the security deposit held by Borrower under each Lease and that such amount is the amount required under such Lease; (i) whether there are any defaults (or events which with the passage of time
and/or giving of notice would constitute a default) under the Documents and a detailed description of any listed; (j) whether the Documents are in full force and effect; and (k) any other matters reasonably requested by Lender related to
the Leases, the Obligations, the Property, or the Documents. 
 Section 3.17 Full Performance Required; Survival of
Warranties. All representations and warranties of Borrower in the Loan application or made in connection with the Loan shall survive the execution and delivery of 

 
the Documents and Borrower shall not perform any action, or permit any action to be performed, which would cause any of the warranties and representations of Borrower to become untrue in any
manner. 
 Section 3.18 Additional Security. No other security now existing or taken later to secure the
Obligations shall be affected by the execution of the Documents and all additional security shall be held as cumulative. The taking of additional security, execution of partial releases, or extension of the time for the payment obligations of
Borrower shall not diminish the effect and lien of this Instrument and shall not affect the liability or obligations of any maker or guarantor. Neither the acceptance of the Documents nor their enforcement shall prejudice or affect Lender’s or
Trustee’s right to realize upon or enforce any other security now or later held by Lender or Trustee. Lender and/or Trustee may enforce the Documents or any other security in such order and manner as either of them may determine in its
respective discretion. 
 Section 3.19 Further Acts. Borrower shall take all necessary actions to (i) keep valid and
effective the lien and rights of Lender and Trustee under the Documents and (ii) protect the lawful owner of the Documents. Promptly upon request by Lender or Trustee, and at Borrower’s expense, Borrower shall execute additional
instruments and take such actions as Lender and/or Trustee reasonably believes are necessary or desirable to (a) maintain or grant Lender and Trustee a first-priority, perfected lien on the Property, (b) grant to Lender and Trustee to the
fullest extent permitted by Laws, the right to foreclose on, or transfer title to, the Property non-judicially, (c) correct any error or omission in the Documents, and (d) effect the intent of the Documents, including filing/recording the
Documents, additional mortgages or deeds of trust, financing statements, and other instruments. 
 Section 3.20 Compliance with
Anti-Terrorism Regulations. 
 (a) Borrower hereby covenants and agrees that neither Borrower nor any guarantor, nor any
persons or entities holding any legal or beneficial interest whatsoever in Borrower or any guarantor (whether directly or indirectly), will knowingly conduct business with or engage in any transaction with any person or entity named on any of the
OFAC Lists or any person or entity 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 or entities referred to or
described in the OFAC Lists. 
 (b) Borrower hereby covenants and agrees that it will 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 or regulations currently in force or hereafter enacted (collectively, the “Anti-Terrorism Regulations”). 

(c) Borrower hereby covenants and agrees that if it becomes aware or receives any notice that Borrower, any guarantor or the Property, or
any person or entity holding any legal or beneficial interest whatsoever (whether directly or indirectly) in Borrower, any guarantor or in the Property, is named on any of the OFAC Lists (such occurrence, an “OFAC Violation”),
Borrower will immediately (i) give notice to Lender of such OFAC Violation, and (ii) comply with all Laws applicable to such OFAC Violation (regardless of whether the party included on any of the OFAC Lists is located within the
jurisdiction of the United States of America), including, without limitation, the Anti-Terrorism Regulations, and Borrower hereby authorizes and consents to Lender’s taking any and all steps Lender deems necessary, in its sole discretion, to
comply with all Laws applicable to any such OFAC Violation, including, without limitation, the requirements of the Anti-Terrorism Regulations (including the “freezing” and/or “blocking” of assets). 

(d) Upon Lender’s request from time to time during the term of the Loan, Borrower agrees to deliver a certification confirming that
the representations and warranties set forth in Section 2.09 above remain true and correct as of the date of such certificate and confirming Borrower’s and any guarantor’s compliance with this Section 3.20. 

Section 3.21 Compliance with Property as Single Asset. Borrower hereby covenants and agrees that (i) during the
term of the Loan, Borrower shall not own any assets in addition to the Property, (ii) the Property shall remain as 

 
a single property or project, and (iii) during the term of the Loan, the Property shall generate substantially all of the gross income of Borrower and there shall be no substantial business
being conducted, either directly or indirectly, by Borrower other than the business of operating the Property and the activities incidental thereto. 

Section 3.22 Separateness Covenants/Covenants with Respect to Indebtedness, Operations and Fundamental Changes of
Borrower. Borrower hereby represents, warrants and covenants, as of the date hereof and until such time as the Obligations are paid in full, that Borrower: 

(a) shall not (i) liquidate or dissolve (or suffer any liquidation or dissolution), terminate, or otherwise dispose of, directly,
indirectly or by operation of law, all or substantially all of its assets; (ii) reorganize or change its legal structure without Lender’s prior written consent, except as otherwise expressly permitted under the Documents; (iii) change
its name, address, or the name under which Borrower conducts its business without promptly notifying Lender; (iv) enter into or consummate any merger, consolidation, sale, transfer, assignment, liquidation, or dissolution involving any or all
of the assets of Borrower or any general partner or managing member of Borrower, except as otherwise expressly permitted under Section 2.1 of the Loan Agreement; or (v) enter into or consummate any transaction or acquisition, merger or
consolidation or otherwise acquire by purchase or otherwise all or any portion of the business or assets of, or any stock or other evidence of beneficial ownership of, any person or entity; 

(b) has not incurred and shall not incur any secured or unsecured debt except for customary and reasonable short term trade payables
obtained and repaid in the ordinary course of Borrower’s business; 
 (c) shall not, nor shall any member, partner (whether
limited or general) or shareholder thereof, as applicable, or any other party, amend, modify or otherwise change Borrower’s partnership certificate, partnership agreement, articles of incorporation, by laws, operating agreement, articles of
organization, or other formation agreement or document, as applicable, or governing agreement or document, in any material term or manner, or in a manner which adversely affects Borrower’s existence as a single purpose entity or Borrower’s
compliance with Section 3.21 of this Instrument; 
 (d) if Borrower shares office space with any Affiliate (as defined
below), shall use commercially reasonable efforts to allocate by written agreement fairly and reasonably any rent, overhead and expenses for office space shared with any Affiliate of Borrower. Additionally, Borrower shall use its own separate
invoices; 
 (e) shall maintain correct and complete financial statements, accounts, books and records and other entity
documents separate from those of any Affiliate of same or any other person or entity. Borrower shall prepare unaudited quarterly and annual financial statements, and Borrower’s financial statements shall substantially comply with generally
accepted accounting principles; 
 (f) shall maintain its own separate bank accounts, payroll (to the extent Borrower has
employees) (or shall allocate fairly and reasonably any payroll expenses shared with any Affiliate) and correct, complete and separate books of account; 

(g) shall file or cause to be filed its own separate tax returns to the extent required by applicable Laws; 

(h) shall hold itself out to the public (including any of its Affiliates’ creditors) under Borrower’s own name (or under its
trade name) and as a separate and distinct entity and not as a department, division or otherwise of any Affiliate of same; 

(i) shall observe all customary formalities regarding the existence of Borrower, including maintaining current and accurate minute books
separate from those of any Affiliate of same; 
 (j) shall hold title to its assets in its own name and act solely in its own
name and through its own duly authorized officers, managers, and agents. No Affiliate of same shall be appointed or act as agent of Borrower, other than the manager of Borrower and, if applicable, a property manager with respect to the Property;

 (k) shall make investments in the name of Borrower directly by Borrower or on its behalf by brokers engaged and paid by
Borrower or its agents; 
 (l) except as expressly required by Lender in connection with the Loan and in writing, shall not
guarantee or otherwise agree to be liable for (whether conditionally or unconditionally), pledge or assume or hold itself out or permit itself to be held out as having guaranteed, pledged or assumed any liabilities or obligations of any

 
partner (whether limited or general), member, shareholder or any Affiliate of Borrower, as applicable, or any other party, nor shall it make any loan, except as expressly permitted in the
Documents; 
 (m) is and will be solvent; 

(n) shall separately identify, maintain and segregate its assets. Borrower’s assets shall at all times be held by or on behalf of
Borrower and if held on behalf of Borrower by another entity, shall at all times be kept identifiable (in accordance with customary usages) as assets owned by Borrower. This restriction requires, among other things, that (i) Borrower funds
shall be deposited or invested in Borrower’s name, (ii) Borrower funds shall not be commingled with the funds of any Affiliate of same or any other person or entity, (iii) Borrower shall maintain all accounts in its own name and with
its own tax identification number, separate from those of any Affiliate of same or any other person or entity, and (iv) Borrower funds shall be used only for the business of Borrower; 

(o) shall maintain its assets in such a manner that it is not costly or difficult to segregate, ascertain or identify its individual
assets from those of any Affiliate of same or other person or entity; 
 (p) shall pay or cause to be paid its own liabilities
and expenses of any kind, including but not limited to salaries of its employees, if any, only out of its own separate funds and assets; 

(q) shall at all times be adequately capitalized to engage in the transactions contemplated at its formation; 

(r) shall not do any act which would make it impossible to carry on the ordinary business of Borrower; 

(s) shall reflect Borrower’s ownership interest in all data and records (including computer records) used by Borrower or any
Affiliate of same in the collection and administration of any loan; 
 (t) shall not invest any of Borrower’s funds in
securities issued by, nor shall Borrower acquire the indebtedness or obligation of, any Affiliate of same; 
 (u) shall maintain
an arm’s length relationship with each of its Affiliates and may enter into contracts or transact business with its Affiliates only on commercially reasonable terms that are no less favorable to Borrower than is obtainable in the market from a
person or entity that is not an Affiliate of same; 
 (v) shall correct any misunderstanding that is known by Borrower regarding
its name or separate identity; and 
 (w) shall not, without the prior written vote of one hundred percent (100%) of its
partners, members, or shareholders, as applicable, institute proceedings to be adjudicated bankrupt or insolvent; or consent to the institution of bankruptcy or insolvency proceedings against it; or file a petition seeking, or consent to,
reorganization or relief under any applicable federal or state law relating to bankruptcy; or consent to the appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other similar official) of Borrower or a substantial part of
Borrower’s property; or make any assignment for the benefit of creditors; or admit in writing its inability to pay its debts generally as they become due or declare or effectuate a moratorium on payments of its obligation; or take any action in
furtherance of any such action. 
 “Affiliate” for purposes of this Section 3.22 shall mean any person or entity
which directly or indirectly through one or more intermediaries controls, is controlled by or is under common control with a specified person or entity. For purposes of this Section 3.22, the terms “control,” “controlled,”
or “controlling” with respect to a specified person or entity shall include, without limitation, (i) the ownership, control or power to vote ten percent (10%) or more of (x) the outstanding shares of any class of voting
securities or (y) beneficial interests, of any such person or entity, as the case may be, directly or indirectly, or acting through one or more persons or entities, (ii) the control in any manner over such person or entity or the election
of more than one director or trustee (or persons exercising similar functions) of such person or entity, or (iii) the power to exercise, directly or indirectly, control over the management or policies of such person or entity.

 ARTICLE IV - ADDITIONAL ADVANCES; EXPENSES; SUBROGATION 

Section 4.01 Expenses and Advances. Borrower shall pay all reasonable appraisal, recording, filing, registration,
brokerage, abstract, title insurance (including premiums), title searches and examinations, surveys and similar data and assurances with respect to title, U.C.C. search, escrow, attorneys’ (both in-house staff and retained

 
attorneys), engineers’, environmental engineers’, environmental testing, and architects’ fees, costs (including travel), expenses, and disbursements incurred by Borrower, Lender or
Trustee and reasonable fees charged by Lender and/or Trustee in connection with the granting, closing, servicing (other than routine loan servicing performed in the ordinary course of business and for the performance of which Lender is not routinely
reimbursed by other borrowers in the ordinary course of Lender’s business), and enforcement of (a) the Loan and the Documents or (b) attributable to Borrower as owner of the Property. The term “Costs” shall mean any
of the foregoing incurred in connection with (a) any default by Borrower under the Documents, (b) the routine (other than routine loan servicing performed in the ordinary course of business and for the performance of which Lender is not
routinely reimbursed by other borrowers in the ordinary course of Lender’s business) servicing of the Loan, or (c) the exercise, enforcement, compromise, defense, litigation, or settlement of any of Lender’s and Trustee’s rights
or remedies under the Documents or relating to the Loan or the Obligations. If Borrower fails to pay any amounts or perform any actions required under the Documents, Lender or Trustee may (but shall not be obligated to) advance sums to pay such
amounts or perform such actions. Borrower grants Lender or Trustee the right to enter upon and take possession of the Property to prevent or remedy any such failure and the right to take such actions in Borrower’s name. No advance or
performance shall be deemed to have cured a default by Borrower. All (a) sums advanced by or payable to Lender or Trustee per this Section or under applicable Laws, (b) except as expressly provided in the Documents, payments due under the
Documents which are not paid in full when due, and (c) Costs, shall: (i) be deemed demand obligations, (ii) bear interest from the date of demand at the Default Rate, until paid if not paid on demand, (iii) be part of, together
with such interest, the Obligations, and (iv) be secured by the Documents. Lender or Trustee, upon making any such advance, shall also be subrogated to rights of the person receiving such advance. 

Section 4.02 Subrogation. If any proceeds of the Note were used to extinguish, extend or renew any indebtedness on the
Property, then, to the extent of the funds so used, (a) Lender and Trustee shall be subrogated to all rights, claims, liens, titles and interests existing on the Property held by the holder of such indebtedness and (b) these rights,
claims, liens, titles and interests are not waived but rather shall (i) continue in full force and effect in favor of Lender and Trustee and (ii) are merged with the lien and security interest created by the Documents as cumulative
security for the payment and performance of the Obligations. 
 ARTICLE V - SALE, TRANSFER, OR ENCUMBRANCE OF THE PROPERTY

 Sale, transfer or encumbrance of the Property shall be governed by Section 2, Section 3 and Section 4 of
the Loan Agreement. 
 ARTICLE VI - DEFAULTS AND REMEDIES 

Section 6.01 Events of Default. The following shall be an “Event of Default”: 

(a) if Borrower fails to make any scheduled payment required under the Documents when due and such failure continues for five
(5) days after written notice; provided, however, that if Lender gives two (2) notices of such a default within any twelve (12) month period, Borrower shall have no further right to any notice of such a default during the next
following twelve (12) month period; provided, further, however, Borrower shall have no right to any such notice upon the maturity date of the Note; 

(b) except for defaults listed in the other subsections of this Section 6.01, if Borrower fails to perform or comply with any other
provision contained in the Documents that is capable of cure by the payment of money and the default is not cured within fifteen (15) days of Lender providing written notice thereof; provided, however, that (i) with respect to any failure
by Borrower to pay Assessments as required under the Documents, if Lender gives one (1) notice of such a default within any twelve (12) month period, Borrower shall have no further right to any notice of such a default during the next
following twelve (12) month period, and (ii) with respect to any failure by Borrower to pay Insurance Premiums as required under the Documents, if Lender gives one (1) notice of such a default within any twelve (12) month period,
Borrower shall have no further right to any notice of such a default during the next following twelve (12) month period; 

(c) except for defaults listed in the other subsections of this Section 6.01, if Borrower fails to perform or comply with any other
provision contained in the Documents and the default is not cured within thirty (30) days after Lender’s providing written notice thereof (the “Grace Period”); provided, however, that Lender may extend the Grace Period up
to an additional sixty (60) days (for a total of ninety (90) days from the date of default) if (i) Borrower immediately commences and diligently pursues the cure of such default and delivers (within the Grace Period) to Lender a
written request for more time and (ii) Lender determines in good faith that (1) such default 

 
cannot be cured within the Grace Period but can be cured within ninety (90) days after the default, (2) no lien or security interest created by the Documents will be impaired prior to
completion of such cure, and (3) Lender’s immediate exercise of any remedies provided hereunder or by law is not necessary for the protection or preservation of the Property or Lender’s or Trustee’s security interest; 

(d) if any representation made (i) in connection with the Loan or the Obligations or (ii) in the Loan application or Documents
shall be false or misleading in any material respect when made or when deemed made; 
 (e) if any default under Section 2,
Section 3 or Section 4 of the Loan Agreement occurs; 
 (f) if Borrower shall (i) become insolvent,
(ii) make a transfer in fraud of creditors, (iii) make an assignment for the benefit of its creditors, (iv) not be able to pay its debts as such debts become due, or (v) admit in writing its inability to pay its debts as they
become due; 
 (g) if any bankruptcy, reorganization, arrangement, insolvency, or liquidation proceeding, or any other
proceedings for the relief of debtors, is instituted by or against Borrower, and, if instituted against Borrower, is allowed, consented to, or not dismissed within the earlier to occur of (i) ninety (90) days after such institution or
(ii) the filing of an order for relief; 
 (h) if any of the events in Sections 6.01 (f) or (g) shall occur with
respect to any (i) managing member of Borrower (if Borrower is a limited liability company), (ii) general partner of Borrower (if Borrower is a partnership), or (iii) guarantor of payment and/or performance of any of the Obligations;

 (i) if the Property shall be taken, attached, or sequestered on execution or other process of law in any action against
Borrower; 
 (j) if any default occurs under the Environmental Indemnity (defined below) and such default is not cured within
any applicable grace period in that document; 
 (k) if Borrower shall fail at any time to obtain, maintain, renew, or keep in
force the insurance policies required by Section 3.06 within ten (10) days after written notice; 
 (l) if Borrower
shall be in default under any other mortgage, deed of trust, deed to secure debt or security agreement covering any part of the Property, whether it be superior or junior in lien to this Instrument; 

(m) if any claim of priority (except based upon a Permitted Encumbrance) to the Documents by title, lien, or otherwise shall be upheld by
any court of competent jurisdiction or shall be consented to by Borrower; 
 (n)(i) the consummation by Borrower of any
transaction which would cause (A) the Loan or any exercise of Lender’s rights under the Documents to constitute a non-exempt prohibited transaction under ERISA or (B) a violation of a state statute regulating governmental plans;
(ii) the failure of any representation in Section 3.11 to be true and correct in all respects; or (iii) the failure of Borrower to provide Lender with the written certifications required by Section 3.11; or 

(o)(i) the consummation by Borrower of any transaction which would cause an OFAC Violation; (ii) the failure of any representation
in Section 2.09 to be true and correct in all respects; or (iii) the failure of Borrower to comply with the provisions of Section 3.20, unless such default is cured within the lesser of (A) fifteen (15) days after written
notice of such default to Borrower or (B) the shortest cure period, if any, provided for under any Laws applicable to such matters (including, without limitation, the Anti-Terrorism Regulations). 

Section 6.02 Remedies. If an Event of Default occurs, Lender or any person designated by Lender or Lender acting by or
through Trustee, may (but shall not be obligated to) take any action (separately, concurrently, cumulatively, and at any time and in any order) permitted under any Laws, without notice, demand, presentment, or protest (all of which are hereby
waived), to protect and enforce Lender’s or Trustee’s rights under the Documents or Laws including the following actions: 

(a) accelerate and declare the entire unpaid Obligations immediately due and payable, except for defaults under Section 6.01 (f),
(g), (h), or (i) which shall automatically make the Obligations immediately due and payable; 

 (b) judicially or otherwise, (i) completely foreclose this Instrument or
(ii) partially foreclose this Instrument for any portion of the Obligations due and the lien and security interest created by this Instrument shall continue unimpaired and without loss of priority as to the remaining Obligations not yet due;

 (c) sell for cash or upon credit the Property and all right, title and interest of Borrower therein and rights of redemption
thereof, pursuant to power of sale; 
 (d) recover judgment on the Note either before, during or after any proceedings for the
enforcement of the Documents and without any requirement of any action being taken to (i) realize on the Property or (ii) otherwise enforce the Documents; 

(e) seek specific performance of any provisions in the Documents; 

(f) apply for the appointment of a receiver, custodian, trustee, liquidator, or conservator of the Property without (i) notice to
any person, (ii) regard for (A) the adequacy of the security for the Obligations or (B) the solvency of Borrower or any person liable for the payment of the Obligations; and Borrower and any person so liable waives or shall be deemed
to have waived the foregoing and any other objections to the fullest extent permitted by Laws and consents or shall be deemed to have consented to such appointment; 

(g) with or without entering upon the Property, (i) exclude Borrower and any person from the Property without liability for
trespass, damages, or otherwise; (ii) take possession of, and Borrower shall surrender on demand, all books, records, and accounts relating to the Property; (iii) give notice to Tenants or any person, make demand for, collect, receive, sue
for, and recover in its own name all Rents and cash collateral derived from the Property; (iv) use, operate, manage, preserve, control, and otherwise deal with every aspect of the Property including (A) conducting its business,
(B) insuring it, (C) making all repairs, renewals, replacements, alterations, additions, and improvements to or on it, (D) completing the construction of any Improvements in manner and form as Lender deems advisable, and
(E) executing, modifying, enforcing, and terminating new and existing Leases on such terms as Lender deems advisable and evicting any Tenants in default; (v) apply the receipts from the Property to payment of the Obligations, in any order
or priority determined by Lender, after first deducting all Costs, expenses, and liabilities incurred by Lender or Trustee in connection with the foregoing operations and all amounts needed to pay the Impositions and other expenses of the Property,
as well as just and reasonable compensation for the services of Lender, Trustee and their attorneys, agents, and employees; and/or (vi) in every case in connection with the foregoing, exercise all rights and powers of Borrower, or Lender or
Trustee with respect to the Property, either in Borrower’s name or otherwise; 
 (h) release any portion of the Property
for such consideration, if any, as Lender may require without, as to the remainder of the Property, impairing or affecting the lien or priority of this Instrument or improving the position of any subordinate lienholder with respect thereto, except
to the extent that the Obligations shall have been actually reduced, and Lender may accept by assignment, pledge, or otherwise any other property in place thereof as Lender may require without being accountable for so doing to any other lienholder;

 (i) apply any Deposits to the following items in any order and in Lender’s sole discretion: (A) the Obligations,
(B) Costs, (C) advances made by Lender or Trustee under the Documents, and/or (D) Impositions; 
 (j) take all
actions permitted under the U.C.C. of the Property State including (i) the right to take possession of all tangible and intangible personal property now or hereafter included within the Property (“Personal Property”) and take
such actions as Lender or Trustee deems advisable for the care, protection and preservation of the Personal Property and (ii) request Borrower at its expense to assemble the Personal Property and make it available to Lender or Trustee at a
convenient place acceptable to Lender or Trustee. Any notice of sale, disposition or other intended action by Lender or Trustee with respect to the Personal Property sent to Borrower at least five (5) days prior to such action shall constitute
commercially reasonable notice to Borrower; or 
 (k) take any other action permitted under any Laws. 

If Lender or Trustee exercises any of its rights under Section 6.02(g), Lender and Trustee shall not (a) be deemed to have entered upon or
taken possession of the Property except upon the exercise of its option to do so, evidenced by its demand and overt act for such purpose; (b) be deemed a beneficiary or mortgagee in possession by reason of such entry or taking possession; nor
(c) be liable (i) to account for any action taken pursuant to such exercise other than for Rents actually received by Lender or Trustee, (ii) for any loss sustained by Borrower resulting from any failure to lease the Property, or
(iii) any other act or omission of Lender or Trustee except for losses caused by Lender’s or 

 
Trustee’s willful misconduct or gross negligence. Borrower hereby consents to, ratifies, and confirms the exercise by Lender and Trustee of its or their rights under this Instrument and
appoints Lender and Trustee as its attorney-in-fact, which appointment shall be deemed to be coupled with an interest and irrevocable, for such purposes. 

Section 6.03 Expenses. All Costs, expenses, or other amounts paid or incurred by Lender or Trustee in the exercise of
its or their rights under the Documents, together with interest thereon at the applicable interest rate specified in the Note, which shall be the Default Rate unless prohibited by Laws, shall be (a) part of the Obligations, (b) secured by
this Instrument, and (c) allowed and included as part of the Obligations in any foreclosure, decree for sale, power of sale, or other judgment or decree enforcing Lender’s and/or Trustee’s rights under the Documents. 

Section 6.04 Rights Pertaining to Sales. To the extent permitted under (and in accordance with) any Laws, the following
provisions shall, as Lender or Trustee may determine in its or their sole discretion, apply to any sales of the Property under Article VI, whether by judicial proceeding, judgment, decree, power of sale, foreclosure or otherwise: (a) Lender or
Trustee may conduct a single sale of the Property or multiple sales of any part of the Property in separate tracts or in its entirety or any other manner as Lender deems in its best interests and Borrower waives any right to require otherwise;
(b) if Lender elects more than one sale of the Property, Lender may at its option cause the same to be conducted simultaneously or successively, on the same day or on such different days or times and in such order as Lender may deem to be in
its best interests, no such sale shall terminate or otherwise affect the lien of this Instrument on any part of the Property not then sold, and Borrower shall pay the costs and expenses of each such sale; (c) any sale may be postponed or
adjourned by public announcement at the time and place appointed for such sale or for such postponed or adjourned sale without further notice; or such sale may occur, without further notice, at the time fixed by the last postponement or a new notice
of sale may be given; and (d) Lender may acquire the Property and, in lieu of paying cash, may pay by crediting against the Obligations the amount of its bid, after deducting therefrom any sums which Lender or Trustee is authorized to deduct
under the provisions of the Documents. After any such sale, Trustee shall deliver to the purchaser at such sale the Trustee’s deed conveying the property so sold, but without any covenant or warranty, express or implied. The recitals in any
such deed of any matters or facts shall be conclusive proof of the truthfulness thereof. Any Person, including Borrower, Trustee or Lender, may purchase at such sale. 

Section 6.05 Application of Proceeds. Any proceeds received from any sale or disposition under Article VI or otherwise,
together with any other sums held by Lender or Trustee, shall, except as expressly provided to the contrary, be applied in the order determined by Lender to: (a) payment of all Costs and expenses of any enforcement action or foreclosure sale,
transfer of title by power of sale (including the expenses of the Trustee), or otherwise, including interest thereon at the applicable interest rate specified in the Note, which shall be the Default Rate unless prohibited by Laws, (b) all
taxes, Assessments, and other charges unless the Property was sold subject to these items; (c) payment of the Obligations in such order as Lender may elect; (d) payment of any other sums secured or required to be paid by Borrower; and
(e) payment of the surplus, if any, to any person lawfully entitled to receive it. Borrower and Lender intend and agree that during any period of time between any foreclosure judgment that may be obtained and the actual foreclosure sale that
the foreclosure judgment will not extinguish the Documents or any rights contained therein including the obligation of Borrower to pay all Costs and to pay interest at the applicable interest rate specified in the Note, which shall be the Default
Rate unless prohibited by Laws. 
 Section 6.06 Additional Provisions as to Remedies. No failure, refusal,
waiver, or delay by Lender or Trustee to exercise any rights under the Documents upon any default or Event of Default shall impair Lender’s or Trustee’s rights or be construed as a waiver of, or acquiescence to, such or any subsequent
default or Event of Default. No recovery of any judgment by Lender or Trustee and no levy of an execution upon the Property or any other property of Borrower shall affect the lien and security interest created by this Instrument and such liens,
rights, powers, and remedies shall continue unimpaired as before. Lender or Trustee may resort to any security given by this Instrument or any other security now given or hereafter existing to secure the Obligations, in whole or in part, in such
portions and in such order as Lender or Trustee may deem advisable, and no such action shall be construed as a waiver of any of the liens, rights, or benefits granted hereunder. Acceptance of any payment after any Event of Default shall not be
deemed a waiver or a cure of such Event of Default and such acceptance shall be deemed an acceptance on account only. If Lender or Trustee has started enforcement of any right by foreclosure, sale, entry, or otherwise and such proceeding shall be
discontinued, abandoned, or determined adversely for any reason, then Borrower, Lender and Trustee shall be restored to their former positions and rights under the Documents with respect to the Property, subject to the lien and security interest
hereof. 

 Section 6.07 Waiver of Rights and Defenses. To the fullest extent Borrower
may do so under Laws, Borrower (a) will not at any time insist on, plead, claim, or take the benefit of any statute or rule of law now or later enacted providing for any appraisement, valuation, stay, extension, moratorium, redemption, or any
statute of limitations; (b) for itself, its successors and assigns, and for any person ever claiming an interest in the Property (other than Lender), waives and releases all rights of redemption, reinstatement, valuation, appraisement, notice
of intention to mature or declare due the whole of the Obligations, all rights to a marshaling of the assets of Borrower, including the Property, or to a sale in inverse order of alienation, in the event of foreclosure (or extinguishment by transfer
of title by power of sale) of the liens and security interests created under the Documents; (c) shall not be relieved of its obligation to pay the Obligations as required in the Documents nor shall the lien or priority of the Documents be
impaired by any agreement renewing, extending, or modifying the time of payment or the provisions of the Documents (including a modification of any interest rate), unless expressly released, discharged, or modified by such agreement. Regardless of
consideration and without any notice to or consent by the holder of any subordinate lien, security interest, encumbrance, right, title, or interest in or to the Property, Lender may (a) release any person liable for payment of the Obligations
or any portion thereof or any part of the security held for the Obligations or (b) modify any of the provisions of the Documents without impairing or affecting the Documents or the lien, security interest, or the priority of the modified
Documents as security for the Obligations over any such subordinate lien, security interest, encumbrance, right, title, or interest. 

ARTICLE VII - SECURITY AGREEMENT 

Section 7.01 Security Agreement. This Instrument constitutes both a real property deed of trust and a “security
agreement” within the meaning of the U.C.C. The Property includes real and personal property and all tangible and intangible rights and interest of Borrower in the Property. Borrower grants to Lender and Trustee, as security for the
Obligations, a security interest in the Personal Property to the fullest extent that the Personal Property may be subject to the U.C.C. Borrower authorizes Lender to file any financing or continuation statements and amendments thereto relating to
the Personal Property without the signature of Borrower if permitted by Laws. 
 ARTICLE VIII - LIMITATION ON PERSONAL
LIABILITY AND INDEMNITIES 
 Section 8.01 Limited Recourse Liability. The provisions of Paragraph 8 and
Paragraph 9 of the Note are incorporated into this Instrument as if such provisions were set forth in their entirety in this Instrument. 

Section 8.02 General Indemnity. Borrower agrees that while Lender has no liability to any person in tort or otherwise as
lender and that Lender is not an owner or operator of the Property, Borrower shall, at its sole expense, protect, defend, release, indemnify and hold harmless (“indemnify”) the Indemnified Parties from any Losses (defined below)
imposed on, incurred by, or asserted against the Indemnified Parties, directly or indirectly, arising out of or in connection with the Property, Loan, or Documents, including Losses; provided, however, that the foregoing indemnities shall not apply
to any Losses caused by the gross negligence or willful misconduct of the Indemnified Parties. The term “Losses” shall mean any claims, suits, liabilities (including strict liabilities), actions, proceedings, obligations, debts,
damages, losses (including, without limitation, unrealized loss of value of the Property), Costs, expenses, fines, penalties, charges, fees, judgments, awards, and amounts paid in settlement of whatever kind including reasonable attorneys’ fees
(both in-house staff and retained attorneys) and all other costs of defense. The term “Indemnified Parties” shall mean (a) Lender, (b) any prior owner or holder of the Note, (c) any existing or prior servicer of the
Loan, (d) Trustee, (e) the officers, directors, shareholders, partners, members, employees and trustees of any of the foregoing, and (f) the heirs, legal representatives, successors and assigns of each of the foregoing. 

Section 8.03 Transaction Taxes Indemnity. Borrower shall, at its sole expense, indemnify the Indemnified Parties from
all Losses imposed upon, incurred by, or asserted against the Indemnified Parties or the Documents relating to Transaction Taxes. 

Section 8.04 ERISA Indemnity. Borrower shall, at its sole expense, indemnify the Indemnified Parties against all Losses
imposed upon, incurred by, or asserted against the Indemnified Parties (a) as a result of a Violation, (b) in the investigation, defense, and settlement of a Violation, (c) as a result of a breach of the representations in
Section 3.11 or default thereunder, (d) in correcting any prohibited transaction or the sale of a prohibited loan, and (e) in obtaining any individual prohibited transaction exemption under ERISA that may be required, in Lender’s
sole discretion. 

 Section 8.05 Environmental Indemnity. Borrower and other persons, if any,
have executed and delivered the Environmental and ERISA Indemnity Agreement (10490 Colonel Court) dated the date hereof to Lender (“Environmental Indemnity”). 

Section 8.06 Duty to Defend, Costs and Expenses. Upon request, whether Borrower’s obligation to indemnify Lender
arises under Article VIII or in the Documents, Borrower shall defend the Indemnified Parties (in Borrower’s or the Indemnified Parties’ names) by attorneys and other professionals approved by the Indemnified Parties. Notwithstanding the
foregoing, the Indemnified Parties may, in their sole discretion, engage their own attorneys and professionals to defend or assist them and, at their option, their attorneys shall control the resolution of any claims or proceedings. Upon demand,
Borrower shall pay or, in the sole discretion of the Indemnified Parties, reimburse and/or indemnify the Indemnified Parties for all Costs imposed on, incurred by, or asserted against the Indemnified Parties by reason of any items set forth in this
Article VIII and/or the enforcement or preservation of the Indemnified Parties’ rights under the Documents. Any amount payable to the Indemnified Parties under this Section shall (a) be deemed a demand obligation, (b) be part of
the Obligations, (c) bear interest from the date of demand at the Default Rate, until paid if not paid on demand, and (d) be secured by this Instrument. 

Section 8.07 Recourse Obligation and Survival. Notwithstanding anything to the contrary in the Documents and in addition
to the recourse obligations in the Note, the obligations of Borrower under Sections 8.03, 8.04, 8.05, and 8.06 shall be a full recourse obligation of Borrower, shall not be subject to any limitation on personal liability in the Documents, and
shall survive (a) repayment of the Obligations, (b) any termination, satisfaction, transfer of title by power of sale, assignment or foreclosure of this Instrument, (c) the acceptance by Lender (or any nominee) of a deed in lieu of
foreclosure, (d) a plan of reorganization filed under the Bankruptcy Code, or (e) the exercise by Lender of any rights in the Documents. Borrower’s obligations under Article VIII shall not be affected by the absence or unavailability
of insurance covering the same or by the failure or refusal by any insurance carrier to perform any obligation under any applicable insurance policy. 

ARTICLE IX - ADDITIONAL PROVISIONS 

Section 9.01 Usury Savings Clause. All agreements in the Documents are expressly limited so that in no event whatsoever
shall the amount paid or agreed to be paid under the Documents for the use, forbearance, or detention of money exceed the highest lawful rate permitted by Laws. If, at the time of performance, fulfillment of any provision of the Documents shall
involve transcending the limit of validity prescribed by Laws, then, ipso facto, the obligation to be fulfilled shall be reduced to the limit of such validity. If Lender shall ever receive as interest an amount which would exceed the highest lawful
rate, the receipt of such excess shall be deemed a mistake and (a) shall be canceled automatically or (b) if paid, such excess shall be (i) credited against the principal amount of the Obligations to the extent permitted by Laws or
(ii) rebated to Borrower if it cannot be so credited under Laws. Furthermore, all sums paid or agreed to be paid under the Documents for the use, forbearance, or detention of money shall to the extent permitted by Laws be amortized, prorated,
allocated, and spread throughout the full stated term of the Note until payment in full so that the rate or amount of interest on account of the Obligations does not exceed the maximum lawful rate of interest from time to time in effect and
applicable to the Obligations for so long as the Obligations are outstanding. 
 Section 9.02 Notices. Any
notice, request, demand, consent, approval, direction, agreement, or other communication (any “notice”) required or permitted under the Documents shall be in writing and shall be validly given if sent by a nationally-recognized
courier that obtains receipts, delivered personally by a courier that obtains receipts, or mailed by United States certified mail (with return receipt requested and postage prepaid) addressed to the applicable person as follows: 

 

			
	 If to Borrower:
  

[property owning LLC]
 c/o Strategic
Storage Trust, Inc.
 111 Corporate Drive, Suite 120

Ladera Ranch, California 92694
 Attention: Mr. H.
Michael Schwartz
	  	 With a copy of notices sent to Borrower to:
  

Mastrogiovanni Schorsch & Merskey, P.C.
 2001
Bryan Street, Suite 1250
 Dallas, Texas 75201

Attention: Charles Mersky, Esq.

			
	 If to Lender:
  

The Prudential Insurance Company of America

Prudential Asset Resources
 2100 Ross Avenue,
Suite 2500
 Dallas, Texas 75201

Attention: Asset Management Department
 Reference
Loan No.                         
	  	 With a copy of notices sent to Lender to:
  

The Prudential Insurance Company of America

Prudential Asset Resources
 2100 Ross Avenue,
Suite 2500
 Dallas, Texas 75201

Attention: Legal Department
 Reference Loan No.
                        

	If to Trustee:	  	
		
	                             
   	  	
	                             
   	  	
	                             
   	  	

 Each notice shall be effective upon being so sent, delivered, or mailed, but the time period for response or
action shall run from the date of receipt as shown on the delivery receipt. Refusal to accept delivery or the inability to deliver because of a changed address for which no notice was given shall be deemed receipt. Any party may periodically change
its address for notice and specify up to two (2) additional addresses for copies by giving the other party at least ten (10) days’ prior notice. 

Section 9.03 Sole Discretion of Lender. Except as otherwise expressly stated, whenever Lender’s judgment, consent,
or approval is required or Lender shall have an option or election under the Documents, such judgment, the decision as to whether or not to consent to or approve the same, or the exercise of such option or election shall be in the sole and absolute
discretion of Lender. 
 Section 9.04 Applicable Law and Submission to Jurisdiction. The Documents shall be
governed by and construed in accordance with the laws of the Property State and the applicable laws of the United States of America. Without limiting Lender’s or Trustee’s right to bring any action or proceeding against Borrower or the
Property relating to the Obligations (an “Action”) in the courts of other jurisdictions, Borrower irrevocably (a) submits to the jurisdiction of any state or federal court in the Property State, (b) agrees that any Action
may be heard and determined in such court, and (c) waives, to the fullest extent permitted by Laws, the defense of an inconvenient forum to the maintenance of any Action in such jurisdiction. 

Section 9.05 Construction of Provisions. The following rules of construction shall apply for all purposes of this
Instrument unless the context otherwise requires: (a) all references to numbered Articles or Sections or to lettered Exhibits are references to the Articles and Sections hereof and the Exhibits annexed to this Instrument and such Exhibits are
incorporated into this Instrument as if fully set forth in the body of this Instrument; (b) all Article, Section, and Exhibit captions are used for convenience and reference only and in no way define, limit, or in any way affect this
Instrument; (c) words of masculine, feminine, or neuter gender shall mean and include the correlative words of the other genders, and words importing the singular number shall mean and include the plural number, and vice versa; (d) no
inference in favor of or against any party shall be drawn from the fact that such party has drafted any portion of this Instrument; (e) all obligations of Borrower hereunder shall be performed and satisfied by or on behalf of Borrower at
Borrower’s sole expense; (f) the terms “include,” “including,” and similar terms shall be construed as if followed by the phrase “without being limited to”; (g) the terms “Property,”
“Land,” “Improvements,” and “Personal Property” shall be construed as if followed by the phrase “or any part thereof”; (h) the term “Obligations” shall be construed as if followed by the phrase
“or any other sums secured hereby, or any part thereof”; (i) the term “person” shall include natural persons, firms, partnerships, limited liability companies, trusts, corporations, governmental authorities or agencies, and
any other public or private legal entities; (j) the term “provisions,” when used with respect hereto or to any other document or instrument, shall be construed as if preceded by the phrase “terms, covenants, agreements,
requirements, and/or conditions”; (k) the term “lease” shall mean “tenancy, subtenancy, lease, sublease, or rental agreement,” the term “lessor” shall mean “landlord, sublandlord, lessor, and
sublessor,” and the term “Tenants” or “lessee” shall mean “tenant, subtenant, lessee, and sublessee”; (l) the term “owned” shall mean “now owned or later acquired”; (m) the terms
“any” and “all” shall mean “any or all”; (n) the term “on demand” or “upon demand” shall mean “within five (5) business days after written notice”; and (o) the term
“Trustee” shall mean “Trustee, its successors and assigns, and any substitute or 

 
successor Trustee of the estates, properties, powers, trusts and rights conferred upon Trustee pursuant to the Documents.” 

Section 9.06 Transfer of Loan. 

(a) Lender may, at any time, (i) sell, transfer or assign the Documents and any servicing rights with respect thereto or
(ii) grant participations therein or issue mortgage or deed of trust pass-through certificates or other securities evidencing a beneficial interest in a rated or unrated public offering or private placement (collectively, the
“Securities”). Lender may forward to any purchaser, transferee, assignee, servicer, participant, or investor in such Securities (collectively, “Investors”), to any Rating Agency (defined below) rating such
Securities and to any prospective Investor, all documents and information which Lender now has or may later acquire relating to the Obligations, Borrower, any guarantor, any indemnitor(s), the Leases, and the Property, whether furnished by Borrower,
any guarantor, any indemnitor(s) or otherwise, as Lender determines advisable. Borrower, any guarantor and any indemnitor agree to cooperate with Lender in connection with any transfer made or any Securities created pursuant to this Section
including the delivery of an estoppel certificate in accordance with Section 3.16 and such other documents as may be reasonably requested by Lender. Borrower shall also furnish consent of any borrower, any guarantor and any indemnitor in order
to permit Lender to furnish such Investors or such prospective Investors or such Rating Agency with any and all information concerning the Property, the Leases, the financial condition of Borrower, any guarantor and any indemnitor, as may be
reasonably requested by Lender, any Investor, any prospective Investor or any Rating Agency and which may be complied with without undue expense. “Rating Agency” shall mean any one or more credit rating agencies approved by Lender.

 (b) Borrower agrees that upon any assignment or transfer of the Documents by Lender to any third party, Lender shall have no
obligations or liabilities under the Documents, such third party shall be substituted as the lender under the Documents for all purposes and Borrower shall look solely to such third party for the performance of any obligations under the Documents or
with respect to the Loan. 
 Section 9.07 Miscellaneous. If any provision of the Documents shall be held to be
invalid, illegal, or unenforceable in any respect, this shall not affect any other provisions of the Documents and such provision shall be limited and construed as if it were not in the Documents. If title to the Property becomes vested in any
person other than Borrower, Lender and Trustee may, without notice to Borrower, deal with such person regarding the Documents or the Obligations in the same manner as with Borrower without in any way vitiating or discharging Borrower’s
liability under the Documents or being deemed to have consented to the vesting. If both the lessor’s and lessee’s interest under any Lease ever becomes vested in any one person, this Instrument and the lien and security interest created
hereby shall not be destroyed or terminated by the application of the doctrine of merger and Lender and Trustee shall continue to have and enjoy all its rights and privileges as to each separate estate. Upon foreclosure (or transfer of title by
power of sale) of this Instrument, none of the Leases shall be destroyed or terminated as a result of such foreclosure (or sale), by application of the doctrine of merger or as a matter of law, unless Lender or Trustee takes all actions required by
law to terminate the Leases as a result of foreclosure (or sale). All of Borrower’s covenants and agreements under the Documents shall run with the land and time is of the essence. Borrower appoints Lender as its attorney-in-fact, which
appointment is irrevocable and shall be deemed to be coupled with an interest, with respect to the execution, acknowledgment, delivery, filing or recording for and in the name of Borrower of any of the documents listed in Sections 3.04, 3.19,
4.01 and 6.02. The Documents cannot be amended, terminated, or discharged except in a writing signed by the party against whom enforcement is sought. No waiver, release, or other forbearance by Lender will be effective unless it is in a writing
signed by Lender and then only to the extent expressly stated. The provisions of the Documents shall be binding upon Borrower and its heirs, devisees, representatives, successors, and assigns including successors in interest to the Property and
inure to the benefit of Lender and Trustee and its or their heirs, successors, substitutes, and assigns. Where two or more persons have executed the Documents, the obligations of such persons shall be joint and several, except to the extent the
context clearly indicates otherwise. The Documents may be executed in any number of counterparts with the same effect as if all parties had executed the same document. All such counterparts shall be construed together and shall constitute one
instrument, but in making proof hereof it shall only be necessary to produce one such counterpart. Upon receipt of an affidavit of an officer of Lender as to the loss, theft, destruction or mutilation of any Document which is not of public record,
and, in the case of any mutilation, upon surrender and cancellation of the Document, Borrower will issue, in lieu thereof, a replacement Document, dated the date of the lost, stolen, destroyed or mutilated Document containing the same provisions.
Any reviews, inspections, reports, approvals or similar items conducted, made or produced by or on behalf of Lender with respect to Borrower, the Property or the Loan are for loan underwriting and servicing purposes only, and shall not constitute an
acknowledgment, representation or 

 
warranty of the accuracy thereof, or an assumption of liability with respect to Borrower, Borrower’s contractors, architects, engineers, employees, agents or invitees, present or future
tenants, occupants or owners of the Property, or any other party. 
 Section 9.08 Entire Agreement. Except as
provided in Section 3.17, (a) the Documents constitute the entire understanding and agreement between Borrower, Lender and Trustee with respect to the Loan and supersede all prior written or oral understandings and agreements with respect
to the Loan including the Loan application and Loan commitment and (b) Borrower is not relying on any representations or warranties of Lender except as expressly set forth in the Documents. 

Section 9.09 Concerning the Trustee. By recording a written substitution in the county where the Property is located or by any other
means permitted by Laws, Lender may (a) remove Trustee or any successor Trustee at any time (or times) without notice or cause and (b) replace any Trustee who dies or resigns. To the extent permitted by Laws, Trustee waives any statutory
fee for its services and agrees to accept reasonable compensation in lieu thereof. Trustee may resign upon thirty (30) days notice to Lender and Borrower. If more than one person is appointed Trustee, all rights granted to Trustee under this
Instrument may be exercised by any of them, without the others, with the same effect as if exercised by all of them jointly. In addition to exercising all rights set forth in this Instrument, Trustee may exercise all rights under Laws. 

Section 9.10 WAIVER OF TRIAL BY JURY. EACH OF BORROWER AND LENDER HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW,
THE RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM FILED BY EITHER PARTY, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR INDIRECTLY TO THE LOAN, THE DOCUMENTS, OR ANY ALLEGED ACTS OR OMISSIONS OF LENDER OR BORROWER IN
CONNECTION THEREWITH. 
 ARTICLE X - LOCAL LAW PROVISIONS 

[state-specific local law provisions inserted here] 

ARTICLE XI - SPECIAL PROVISIONS 

Section 11.01 Other Definitions. As used in this Instrument, the following terms shall have the following meanings: 

(a) Other Documents: The Other Note, the Loan Agreement (as it relates to the Other Indebtedness), the Subordinate
Mortgage, the Other Subordinate Mortgage, the Subordinate Assignment, the Other Subordinate Assignment and all other documents evidencing, securing or relating to the payment of the Other Indebtedness or performance of the Other Obligations.

 (b) Other Indebtedness: The loans from Lender to Borrowers evidenced by the Other Note. 

(c) Other Mortgages: Collectively, those certain other deeds of trust, mortgages and deeds to secure debt and security agreements
of even date with this Instrument, executed by one or more of Borrowers, for the benefit of Lender, securing the Other Obligations and encumbering the Other Properties. 

(d) Other Note: Collectively, all of the promissory notes defined and identified from time to time in the Loan Agreement as
the “Notes,” with the exception of that certain promissory note defined herein as the “Note,” as the same is amended, renewed, extended, supplemented, restated or otherwise modified from time to time in accordance
with the provisions of the Loan Agreement or such promissory note. 
 (e) Other Obligations: Any and all covenants,
promises, and other obligations (including payment of the Other Indebtedness) made or owing by Borrowers to or due to Lender under and/or as set forth in the Other Documents, and all of the material covenants, promises, and other material
obligations made or owing by Borrowers to each and every other Person relating to the Property, exclusive of the Obligations. 

(f) Other Properties: As defined in Recitals, Section 2. 

(g) Other Subordinate Assignment: Collectively, those certain other second priority assignments of leases and rents of even date
with this Instrument executed by one or more of Borrowers, for the benefit of Lender, securing the Other Obligations. 

 (h) Other Subordinate Mortgage: Collectively, those certain other second priority
deeds of trust, mortgages and deeds to secure debt and security agreements, or similar instruments, of even date with this Instrument, executed by one or more of Borrowers, for the benefit of Lender, securing the Other Obligations. 

(i) Subordinate Assignment: The Assignment of Leases and Rents (Second Priority - [property address]) of even date with
this Instrument, executed by Borrower, for the benefit of Lender securing the Other Obligations. 
 (j) Subordinate
Mortgage: The Deed of Trust and Security Agreement (Second Priority - [property address]) of even date with this Instrument, executed by Borrower, for the benefit of Lender, securing the Other Obligations. 

Section 11.02 Cross Default and Notice Provisions. Any Event of Default under any of the Other Documents shall constitute, at
Lender’s option, an Event of Default under the Documents. Any Event of Default under any of the Documents shall constitute, at Lender’s option, an Event of Default under the Other Documents. In the event of a default under any of the
Documents or any of the Other Documents, Borrower hereby acknowledges and agrees that: (A) Lender shall only be obligated to send one (1) notice of default to any one of Borrowers; and (B) said notice shall be deemed notice to all
Borrowers under all of the Documents and all of the Other Documents (including, without limitation, this Instrument and any of the Other Mortgages). 

Section 11.03 Application of Funds. At any time that Lender has the right or option hereunder to apply any funds in its possession (to
the extent permitted by applicable Laws) to the Obligations following the occurrence of an Event of Default under any of the Documents or under the Other Documents, Lender shall be entitled to apply such amounts (to the extent permitted by
applicable law) to the Note or any of the Other Note, regardless of whether under the term of such note(s) such amounts are then due and payable. 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

[SIGNATURES ON FOLLOWING PAGE] 

 IN WITNESS WHEREOF, the undersigned has executed this Instrument as of the day first set
forth above. 
  

			
	BORROWER:
	
	[property owning LLC], a Delaware limited liability company
		
	By:	 	Strategic Storage Holdings, LLC, a Delaware limited liability company, its Manager
		
	By:	 	 /s/ H. Michael Schwartz

		 	H. Michael Schwartz, its President

                         
                           ) 

COUNTY OF
                            ) 

I,
                        , a notary public in and for the state and county aforesaid do certify that H. Michael Schwartz,
whose name is signed to the writing above, being the President of Strategic Storage Holdings, LLC, a Delaware limited liability company, as manager of [property owning LLC], a Delaware limited liability company, bearing date on the
25th day of August, 2010, have acknowledged the same
before me in my county aforesaid. 
  
  

			
	                           
                                         
                    
	Notary Public
	Name:                          
                                         
           
	My Commission
Expires:                                       
        
	
	Notary Registration No.
                        
	
	[NOTARY SEAL]Form of Assignment of Leases and Rents

 Exhibit 10.4 

PREPARED BY
                                         
  
 AND UPON RECORDATION 

RETURN TO: 
 Seyfarth Shaw LLP

 1075 Peachtree Street, Suite 2500 

Atlanta, Georgia 30309 
 Attention: Lori H.
Whitfield, Esq. 
 Prudential Deal Name: SSTI Strategic 

Storage
Portfolio/                                     

Prudential Loan Number:
                             

Tax Parcel Number:
                                     

 
  

 
 [property owning LLC], as
grantor 
 (Borrower) 

to 
 THE
PRUDENTIAL INSURANCE COMPANY OF AMERICA, as grantee 
 (Lender) 

 
  

ASSIGNMENT OF LEASES AND RENTS 

(First Priority - [property address]) 
  

 
  

									
		 		 		 	 Dated: As of August 25, 2010
	  	
					
		 		 		 	Location: [property address]	  	
		 		 		 	County:	  	

 ASSIGNMENT OF LEASES AND RENTS 

(First Priority - [property address]) 

This Assignment of Leases and Rents (First Priority - [property address]) (this “Assignment”)
is made as of the 25th day of August, 2010, by
[property owning LLC], a Delaware limited liability company, having its principal place of business at c/o Strategic Storage Trust, Inc., 111 Corporate Drive, Suite 120, Ladera Ranch, California 92694, as grantor
(“Borrower”), to THE PRUDENTIAL INSURANCE COMPANY OF AMERICA, a New Jersey corporation, having an office at 2100 Ross Avenue, Suite 2500, Dallas, Texas 75201, as grantee (“Lender”). 

RECITALS: 
 A. Borrower
is the sole owner and holder of (a) the premises described in Exhibit A attached hereto and incorporated herein (“Property”) and (b) the landlord’s interest under the Leases, including, without limitation,
the leases described in Exhibit B attached hereto and incorporated herein; 
 B. Lender has made a loan to Borrower in the principal sum
of                      Dollars ($        ) (“Loan”) evidenced by that
certain Promissory Note ([property address]) (“Note”) dated as of the date of this Assignment and secured by that certain Deed of Trust and Security Agreement (First Priority - [property address])
(“Instrument”) dated as of the date of this Assignment (capitalized terms used without definition shall have the meanings ascribed to them in the Instrument) and the Documents; and 

C. Lender was willing to make the Loan to Borrower only if Borrower assigned the Leases and Rents to Lender in the manner provided below to secure
payment of the Obligations. 
 IN CONSIDERATION of the principal sum of the Note and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Borrower agrees as follows: 
 1. Assignment. Borrower irrevocably, absolutely and
unconditionally assigns, transfers, and sets over to Lender, its successors and assigns, all of the right, title, interest, and estate that Borrower may now or later have in, to and under (a) the Leases now or hereafter entered into;
(b) the Rents; (c) all proceeds from the cancellation, surrender, sale or other disposition of the Leases, including, but not limited to, any Termination Fee (as defined in the Note); (d) the right to collect and receive all the
Rents; and (e) the right to enforce and exercise, whether at law or in equity or by any other means, all terms and conditions of the Leases. This Assignment is intended by Borrower and Lender to constitute a present, absolute assignment and not
a collateral assignment for additional security only. Upon full payment and satisfaction of the Obligations and written request by Borrower, Lender shall transfer, set over, and assign to Borrower all right, title, and interest of Lender in, to, and
under the Leases and the Rents. 
 2. Borrower’s License. Until an Event of Default occurs, Borrower shall have a revocable license
(“License”) from Lender to exercise all rights extended to the landlord under the Leases. Borrower shall hold the Rents, or an amount sufficient to discharge all current sums due on the Obligations, in trust for the payment of
current sums due on the Obligations and, prior to the occurrence of an Event of Default, Borrower may use, distribute and enjoy all Rents remaining thereafter. Upon an Event of Default, whether or not legal proceedings have commenced and without
regard to waste, adequacy of security for the Obligations or the solvency of Borrower, the License shall automatically terminate without notice by Lender (any such notice being expressly waived by Borrower). Upon such termination, Borrower shall
deliver to Lender within seven (7) days after written notice from Lender (a) all Rents (including prepaid Rents) held or collected by Borrower from and after the date of the Event of Default, (b) all security or other deposits paid
pursuant to the Leases, and (c) all previously paid charges for services, facilities or escalations to the extent allocable to any period after the Event of Default. Borrower agrees and stipulates that upon execution of this Assignment,
Borrower’s only interest in the Leases or Rents is as a licensee revocable upon an Event of Default. 
 3. Lender as Creditor of
Tenant. Upon the occurrence of an Event of Default, Lender, and not Borrower, shall be the creditor of any Tenant in respect of assignments for the benefit of creditors and bankruptcy, reorganization, insolvency, dissolution or receivership
proceedings affecting any such Tenant; provided, however, that Borrower shall be the party obligated to make timely filings of claims in such proceedings or to otherwise pursue creditor’s rights therein. At any time after the occurrence of an
Event of Default, Lender shall have the right, but not the obligation, to file such claims instead of Borrower and if Lender does file a claim, Borrower agrees that Lender (a) is entitled to all distributions on such claim to the exclusion of
Borrower and (b) has the exclusive right to vote such 
  

 1 

 
claim and otherwise to participate in the administration of the estate in connection with such claim. At any time after the occurrence of an Event of Default, Lender shall have the option to
apply any monies received by it as such creditor to the Obligations in the order set forth in the Documents. If a petition is filed under the Bankruptcy Code by or against Borrower, and Borrower, as landlord under any Lease, decides to reject such
Lease pursuant to Section 365(a) of the Bankruptcy Code, then Borrower shall give Lender at least ten (10) days’ prior written notice of the date when Borrower shall apply to the bankruptcy court for authority to reject the Lease.
Lender may, but shall not be obligated to, send Borrower within such ten-day period a written notice stating that (a) Lender demands that Borrower assume and assign the Lease to Lender pursuant to Section 365 of the Bankruptcy Code and
(b) Lender covenants to cure or provide adequate assurance of future performance under the Lease. If Lender sends such notice, Borrower shall not reject the Lease provided Lender complies with clause (b) of the preceding sentence.

 4. Notice to Tenant of an Event of Default. Upon the occurrence of an Event of Default and written demand sent by Lender to any of the
Tenants (in each case, a “Rent Direction Letter”), Borrower hereby irrevocably authorizes each Tenant to (a) pay all Rents to Lender and (b) rely upon any such Rent Direction Letter from Lender without any obligation to
inquire as to the actual existence of the Event of Default, notwithstanding any claim of Borrower to the contrary. Borrower shall have no claim against any Tenant for any Rents paid by Tenant to Lender pursuant to any Rent Direction Letter.

 5. Indemnification of Lender. Borrower hereby agrees to indemnify and hold Lender harmless from any and all Losses that Lender may
incur under the Leases or by reason of this Assignment, except for Losses incurred as a direct result of Lender’s willful misconduct or gross negligence. Nothing in this Assignment shall be construed to bind Lender to the performance of any of
the terms of the Leases or to otherwise impose any liability on Lender including, without limitation, any liability under covenants of quiet enjoyment in the Leases in the event that any Tenant shall have been joined as party defendant in any action
to foreclose the Instrument and shall have been barred thereby of all right, title, interest, and equity of redemption in the premises. This Assignment imposes no liability upon Lender for the operation and maintenance of the Property or for
carrying out the terms of any Lease before Lender has entered and taken actual possession and complete control of all operations of the Property. Any Losses incurred by Lender, by reason of actual entry and taking possession under any Lease or this
Assignment or in the defense of any claims shall, at Lender’s request, be reimbursed by Borrower. Such reimbursement shall include interest at the Default Rate from the date of demand by Lender and any and all Costs incurred by Lender. Lender
may, upon entry and taking of possession, collect the Rents and apply them to reimbursement for any such items. 
 6. Representations and
Warranties. Borrower represents and warrants that (a) Borrower is the absolute owner of the landlord’s interest in the Leases, (b) Borrower has the right, power and authority to assign, transfer, and set over all of its right,
title and interest in, to and under the Leases and Rents and no other person has any right, title or interest therein, (c) to Borrower’s actual knowledge, the Leases are valid and in full force and effect and have not been modified,
amended or terminated, nor have any of the terms and conditions of the Leases been waived, except as expressly stated in the Leases, (d) to Borrower’s actual knowledge, there are no outstanding assignments or pledges of the Leases or
Rents, (e) there are no outstanding leasing commissions due under the Leases for the initial term or for any extensions, renewals or expansions, (f) to Borrower’s actual knowledge, except as disclosed to Lender in writing, there are
no existing material defaults or any state of facts which, with the giving of notice and/or passage of time, would constitute a material default under the Leases by any party thereto, (g) to Borrower’s actual knowledge, no Tenant has any
defense, set-off or counterclaim against Borrower, (h) to Borrower’s actual knowledge, each Tenant is in possession of its leased premises and paying Rent and other charges as provided in its Lease, except as otherwise indicated on the
Rent Roll (defined below), (i) no Rents have been or will later be anticipated, discounted, released, waived, compromised or otherwise discharged, except as may be expressly permitted by the Lease or herein, (j) except as specified in the
Leases and shown on the rent roll delivered to Lender in connection with the funding of the Loan (the “Rent Roll”), there are no (i) unextinguished rent concessions, abatements or other inducements relating to the Leases,
(ii) options or other rights to acquire any interest in the Property in favor of any Tenant, or (iii) options or other rights (whether in the form of expansion rights, purchase rights, rights of first refusal to lease or purchase, or
otherwise) relating to property which is not part of the Property and/or would require Borrower and/or Lender to possess or control any property (other than the Property) to honor such rights, and (k) to Borrower’s actual knowledge, the
Rent Roll discloses all currently existing Leases and is true, complete and accurate in all material respects. 
 7. Leasing
Restrictions. 
 Borrower shall lease the Property at market rents and on market terms (based on the type, quality and
location of the Property) using Borrower’s standard lease form that has been approved by Lender, and Borrower’s standard lease form shall prohibit any Tenant from using or storing any dry cleaning solvents on the Property. All

  

 2 

 
Leases shall be bona fide, binding contracts, duly authorized and executed with third party tenants unrelated to Borrower, any guarantor or indemnitor of the Loan or any of their affiliates. All
free rent and similar concessions shall be given only at the beginning of the term of the Lease, the Tenant’s share of operating expenses shall not decrease over the term of the applicable Lease, and there shall be no economic obligations on
the landlord under a Lease beyond maintaining the Property. 
 8. Covenants. Borrower shall not, except with the prior written consent of
Lender in each instance, (a) sell, assign, pledge, mortgage or otherwise transfer or encumber (except hereby) any of the Leases, Rents or any right, title or interest of Borrower therein; (b) accept prepayments of any Rents for a period of
more than one (1) month in advance of the due dates thereof except with respect to Rents in an amount not to exceed five percent (5%) of the annual gross revenue of the Property; (c) in any manner intentionally or materially impair
the value of the Property or the benefits to Lender of this Assignment; (d) except in connection with Borrower’s normal and customary business practices in the exercise of Borrower’s prudent business judgment for the benefit of the
Property, waive, excuse, condone, discount, set off, compromise, or in any manner release or discharge any Tenant from any of its obligations under the Leases; (e) except in connection with Borrower’s normal and customary business
practices in the exercise of Borrower’s prudent business judgment for the benefit of the Property, enter into any settlement of any action or proceeding arising under, or in any manner connected with, the Leases or with the obligations of the
landlord or the Tenants thereunder; (f) except in connection with Borrower’s normal and customary business practices in the exercise of Borrower’s prudent business judgment for the benefit of the Property, modify, cancel or terminate
any guaranties under any Lease; or (g) lease any portion of the Property to a dry cleaner that uses dry cleaning solvents on the Property. Borrower shall, at its sole cost and expense, duly and timely keep, observe, perform, comply with and
discharge all of the material obligations of the landlord under the Leases, or cause the foregoing to be done, and Borrower shall not take any actions that would, either presently or with the passage of time, cause a default by Borrower under any of
the Leases. At Borrower’s expense, Borrower shall (a) [intentionally omitted], (b) enforce the Leases and all remedies available to Borrower upon any Tenant’s default, (c) upon Lender’s request, deliver to Lender copies
of all papers served in connection with any such enforcement proceedings, and (d) upon Lender’s request, consult with Lender, its agents and attorneys with respect to the conduct thereof. Borrower shall not enter into any settlement of any
such proceeding without Lender’s prior written consent. 
 9. No Merger. Each Lease shall remain in full force and effect,
notwithstanding any merger of Borrower’s and Tenant’s interest thereunder. 
 10. Documents Incorporated. The terms and
conditions of the Documents are incorporated into this Assignment as if fully set forth in this Assignment. 
  

	11.	Governing Law. This Assignment shall be governed by and construed in accordance with the laws of
                    . 

12. WAIVER OF TRIAL BY JURY. EACH OF BORROWER AND LENDER HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, THE RIGHT TO TRIAL BY JURY IN ANY
ACTION, PROCEEDING OR COUNTERCLAIM FILED BY EITHER PARTY, WHETHER IN CONTRACT, TORT OR OTHERWISE, RELATING DIRECTLY OR INDIRECTLY TO THE LOAN, THE DOCUMENTS, OR ANY ALLEGED ACTS OR OMISSIONS OF LENDER OR BORROWER IN CONNECTION THEREWITH. 

13. Tenant Recovery. Borrower covenants and agrees that it shall pay the amount of any Tenant Recovery (as defined below) to Lender to be
disbursed by Lender for the payment of Lender approved out-of-pocket (1) tenant improvement costs and/or (2) market leasing commissions; provided, however, any such amount held by Lender shall be released to Borrower upon written request
at such time as a replacement tenant (x) has executed a bona-fide, binding Lease on market terms and conditions for the entire leased premises that was vacated in connection with such Lease termination, cancellation or expiration, (y) is
in actual occupancy of the leased premises that was vacated in connection with such Lease termination, cancellation or expiration and (z) is paying non-discounted monthly rent under its Lease; provided further, however, that if an Event of
Default occurs under the Documents, Lender, at its option and in its sole discretion, shall have the right to apply all such remaining undisbursed amounts to the Obligations in such order as Lender in its sole discretion shall determine. Tenant
Recovery means, with respect to any Lease that provides more than five percent (5%) of the gross annual income from the Property during any twelve month period during the term of the Loan, the amount of any Recovery (as defined in the Note) if
such Recovery is greater than one (1) month’s base rent payable under the applicable Lease, which is received by, or, on behalf of, any of the Recourse Parties at any time during the term of the Loan. 

 

 3 

 IN WITNESS WHEREOF, Borrower has duly executed this Assignment the date first above written.

  

			
	BORROWER:
	
	[property owning LLC], a Delaware limited liability company
		
	By:	 	Strategic Storage Holdings, LLC, a Delaware limited liability company, its Manager
		
	By:	 	 /s/ H. Michael Schwartz

		 	H. Michael Schwartz, its President

                         
                           ) 

COUNTY OF
                            ) 

I,
                        , a notary public in and for the state and county aforesaid do certify that H. Michael Schwartz,
whose name is signed to the writing above, being the President of Strategic Storage Holdings, LLC, a Delaware limited liability company, as manager of [property owning LLC] a limited liability company, bearing date on the
25th day of August, 2010, have acknowledged the same
before me in my county aforesaid. 
  

			
	                           
                                         
                    
	Notary Public
	Name:                          
                                         
           
	My Commission
Expires:                                       
        
	
	Notary Registration No.
                        
	
	[NOTARY SEAL]

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