Document:

EX-10.7

PLEDGE AND SECURITY AGREEMENT

THIS PLEDGE AND SECURITY AGREEMENT (together with all amendments, restatements and other
modifications, this “Agreement”), is dated effective as of March 7, 2007, is by and between
NNN 2003 VALUE FUND, LLC, a Delaware limited liability company (“Pledgor”), and
RAIT PARTNERSHIP, L.P., a Delaware limited partnership (together with its successors and assigns,
“Lender”). 

Background

A. Reference is made to the Background set forth in that certain Loan and Security Agreement
of even date herewith between Lender and NNN VF Four Resource Square, LLC, a Delaware limited
liability company (together with all amendments, restatements and other modifications, the
“Loan Agreement”), which is hereby incorporated herein.

B. Pledgor holds one hundred percent (100%) of the legal and beneficial membership interests
in NNN VF Four Resource Square, LLC, a Delaware limited liability company (“Issuer”), as
more particularly described on Schedule I attached hereto.

C. It is a condition precedent to the obligation of Lender to make the Loan to Pledgor that
Pledgor shall have executed and delivered this Agreement to Lender.

NOW, THEREFORE, based upon the foregoing background, which the parties agree to be true and
correct, and for good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, and intending to be legally bound hereby, the parties hereto agree as follows:

1. Certain Definitions. Unless otherwise defined herein or the context otherwise
requires, each term defined in either the Loan Agreement or in the UCC is used in this Agreement
with the same meaning; provided that, if the definition given to such term in the Loan Agreement
conflicts with the definition given to such term in the UCC, the Loan Agreement definition shall
control to the extent legally allowable; and if any definition given to such term in Article 9 of
the UCC conflicts with the definition given to such term in any other chapter of the UCC, the
Article 9 definition shall prevail. As used herein, the following terms have the meanings
indicated:

“Certificate of Formation” means the certificate of formation of Issuer as currently
in effect, in the form delivered to Lender at Closing.

“Collateral” has the meaning specified in Section 2 hereof.

“Governmental Authority” means any federal, state, county, municipal, parish,
provincial or other government, or any department, commission, board, court, agency, committee,
whether of the United States of America or any other country, or any instrumentality of any of
them, or any other political subdivision thereof.

“LLC Interests” has the meaning specified in Section 2 hereof.

“Material Adverse Effect” means if the business prospects, operations or financial
condition of a person, entity or property has changed in a manner which could impair the value of
Lender’s security for the Loan, prevent timely repayment of the Loan or otherwise prevent the
applicable person or entity from timely performing any of its material obligations under the Loan
Documents.

“Operating Agreement” means the limited liability company agreement of Issuer as
currently in effect, in the form delivered to Lender at Closing.

“Organizational Documents” means the Certificate of Formation, the Operating
Agreement, and any other agreements affecting the rights, limitations, preferences or obligations
of Issuer with respect to any of the foregoing or with respect to the LLC Interests or otherwise,
in each case, as the same may be amended or modified from time to time in accordance with the Loan
Documents.

“Transfer” means any sale, transfer, lease, conveyance, alienation, pledge,
assignment, mortgage, encumbrance hypothecation or other disposition.

“UCC” means at any time the Uniform Commercial Code as in effect in the Commonwealth
of Pennsylvania; provided, that if, by reason of mandatory provisions of law, the validity or
perfection of Lender’s security interest in the Collateral or any part thereof is governed by the
Uniform Commercial Code or other similar law as in effect in a jurisdiction other than
Pennsylvania, “UCC” means the Uniform Commercial Code or such similar law as in effect in
such other jurisdiction for purposes of the provisions hereof relating to such validity or
perfection.

2. Collateral: General Terms.

(a) Security Interest. As security for the Debt, Pledgor hereby grants Lender a
continuing security interest in, lien on and right of set-off against, and hereby assigns to Lender
as security, all of Pledgor’s right, title and interest, in, to and under the following property
and interests in property (save insofar as otherwise expressly excluded by the terms of this
Agreement), whether now owned or hereafter acquired or existing and wherever located (collectively,
the “Collateral”):

(i) all of Pledgor’s right, title and interest in and to all of the issued and outstanding
limited liability company membership interests in Issuer, including, for the avoidance of doubt,
all voting and management rights connected therewith or related thereto (collectively, the “LLC
Interests”), together with all instruments of transfer in respect of such interests, executed
in blank, all cash, securities, dividends, proceeds and other property whether constituting
investment property, accounts, documents, general intangibles and/or instruments or otherwise at
any time and from time to time received, receivable or otherwise distributed in respect of or in
exchange for any and all of the LLC Interests;

(ii) to the extent not included in clause (i) above, any and all rights and remedies of
Pledgor under any of the Organizational Documents, as applicable, including the right to enforce
any and all representations, warranties, covenants, obligations, agreements and indemnities of any
party thereto made to or for the benefit of, or that otherwise inure to the benefit of, Pledgor;

(iii) all securities hereafter delivered to Lender in substitution for or in addition to any
and all of the Collateral, all certificates and instruments representing or evidencing such
securities and all cash, securities, dividends, proceeds and other property at any time and from
time to time received, receivable or otherwise distributed in respect of or in exchange for any or
all of the Collateral;

(iv) all additional limited liability company interests in Issuer from time to time acquired
by Pledgor in any manner, the certificates (if any) representing such additional interests in
Issuer (all of which shall constitute part of the LLC Interests), and all options, warrants,
dividends, cash instruments and other rights and options from time to time received, receivable or
otherwise distributed in respect of or in exchange for any or all of such limited liability company
interests in Issuer or other equity interest, as applicable;

(v) all books and records (including credit files, computer programs, printouts and other
computer materials and records) of Pledgor pertaining to any of the Collateral;

(vi) all of Pledgor’s right, title and interest in and to the profits and losses of Issuer,
and Pledgor’s right as a member of Issuer to receive distributions of the assets of Issuer upon
complete or partial liquidation or otherwise; and

(vii) all cash and non-cash proceeds and products of the Collateral, and all dividends, cash,
instruments and other property from time to time received, receivable or otherwise distributed when
Collateral or proceeds are sold, leased, collected, exchanged or otherwise disposed of, whether
such disposition is voluntary or involuntary, and includes, without limitation, all rights to
payment, including return premiums, with respect to any insurance relating thereto.

(b) Pledgor Remains Liable. Anything herein to the contrary notwithstanding, (i)
Pledgor shall remain liable under the Organizational Documents to the extent set forth therein and
shall perform all of its duties and obligations thereunder to the same extent as if this Agreement
had not been executed; (ii) the exercise by Lender of any of the rights hereunder shall not release
Pledgor from any of its duties or obligations under any of the Organizational Documents; and (iii)
Lender shall not have any obligation or liability under any of the Organizational Documents by
reason of this Agreement, nor shall Lender be obligated to perform any of the obligations or duties
of Pledgor thereunder or to take any action to collect or enforce any claim for payment assigned
hereunder; provided that, upon foreclosure thereof, Lender and any other transferee of the
Collateral shall take the same subject to the Organizational Documents.

3. Representations and Warranties. Pledgor represents and warrants the following to
Lender:

(a) Formation; Good Standing. Issuer and Pledgor are duly organized, validly existing
and in good standing in their respective jurisdictions of organization.

(b) Authorization; Binding Effect. Pledgor has the power and authority to execute and
deliver this Agreement and to perform its obligations hereunder, and all such action has been duly
and validly authorized by all necessary action on its part. This Agreement has been duly and
validly executed and delivered by Pledgor and constitutes the legal, valid and binding obligation
of Pledgor, enforceable against Pledgor in accordance with its terms, except as the enforceability
hereof may be limited by bankruptcy, insolvency or other similar laws of general application
affecting the enforcement of creditors’ rights.

(c) No Consents. Except as required for perfection of the security interest in the
Collateral as described herein, no permits, licenses, franchises, approvals, authorizations,
qualifications or consents of, or registrations or filings with, governmental authorities, Lender
or any other person or entity are required in connection with the execution or delivery by Pledgor
of, or the performance by Pledgor of its obligations under, this Agreement, except such as have
been obtained or made and are in full force and effect.

(d) No Conflict. The execution and delivery of, and the performance by Pledgor of its
obligations under this Agreement do not and will not result in a breach or constitute a violation
of, conflict with, or constitute a default under, the Loan Documents, any of the organizational
documents of Pledgor or the Organizational Documents, or any law, regulation, order or judgment
applicable to Pledgor or any agreement or instrument to which Pledgor or Issuer is a party or by
which Pledgor or Issuer or any of their respective property is bound.

(e) No Material Litigation. There are no actions, suits, proceedings or claims
pending or, to the knowledge of Pledgor, threatened against or affecting Pledgor or Issuer or any
of their respective property which, individually or in the aggregate, could reasonably be expected
to lead to or cause a Material Adverse Effect.

(f) Title to Collateral. Pledgor is the sole owner of all of the Collateral,
beneficially and of record, free and clear of any liens other than the liens created hereunder and
under the other Loan Documents. The LLC Interests constitute one hundred percent (100%) of the
equity interests of Issuer. The Collateral is not subject to any option to purchase, right of
first refusal or similar rights of any kind. There are no restrictions upon the voting rights
connected with or relating to, or upon the transfer of, the LLC Interests other than as arising
pursuant to this Agreement and other Loan Documents.

(g) Perfection. Upon (i) the execution and delivery of this Agreement and (ii) the
delivery to Lender of the certificates representing the Collateral and all other instruments of
transfer relating thereto, including without limitation, the execution and delivery of an
assignment separate from certificate, endorsed in blank, naming Pledgor as the debtor, and Lender,
Lender will have a valid, perfected, continuing, first-priority security interest in or lien on the
Collateral. All instruments of transfer are duly executed and give the Lender the authority they
purport to confer. The grant and perfection of the security interests in the LLC Interests and
other Collateral for the benefit of Lender, in accordance with the terms hereof are not made in
violation of the registration requirements of the Securities Act of 1933 (the “Securities
Act”), any applicable provisions of other federal securities laws, state securities or “blue
sky” laws, foreign securities law, or applicable general corporation law or any other applicable
law.

(h) Article 8 of the UCC. The LLC Interests have been certificated and constitute a
“security” within Article 8 of the UCC.

4. Covenants. Pledgor covenants and agrees with Lender as set forth below:

(a) Protection of Collateral. Pledgor will not create, permit or suffer to exist, and
will defend the Collateral against and take such other action as is necessary to remove, any lien
on the Collateral other than as permitted by the Loan Documents, and if Pledgor fails to do so,
Lender may, but shall be under no obligation to, without waiving or releasing any obligation or
liability of Pledgor hereunder or any Event of Default, at any time thereafter make such payment or
any part thereof, obtain such discharge or otherwise defend Pledgor’s title to the Collateral.

(b) Change in Location of Principal Place of Business. Pledgor shall not relocate its
chief executive office and/or principal place of business to a new location without first notifying
Lender by giving at least ten (10) days’ prior written notice.

(c) Payment of Taxes. Pledgor shall pay, and save Lender harmless from, any and all
liabilities with respect to, or resulting from any delay in paying, any and all stamp, excise,
transfer, sale or other taxes which may be payable or determined to be payable with respect to any
of the Collateral or in connection with any of the transactions contemplated by this Agreement.

(d) Intentionally Omitted.

(e) Further Assurances; Preservation and Perfection of Security Interest. At its own
expense, Pledgor shall do, and shall cause Issuer to do, all such acts, and shall execute and
deliver to Lender all such financing statements, certificates, instruments and other documents and
shall do and perform or cause to be done all matters and such other things necessary or expedient
to be done as Lender may reasonably request from time to time in order to give full effect to this
Agreement, and for the purpose of effectively perfecting, maintaining and preserving Lender’s
security interest and the benefits intended to be granted to Lender hereunder. To the extent
permitted by applicable law, Pledgor hereby authorizes Lender to file, in the name of Pledgor or
otherwise, UCC financing statements, including continuation statements, which Lender in its
reasonable discretion may deem necessary or appropriate for the purpose specified above.

(f) Preservation of Related Collateral. Pledgor will not allow any default for which
it is responsible to occur under and in respect of the Collateral, and shall fully perform or cause
to be performed when due all of its obligations under and in respect of the Collateral.

(g) Papers; Records and Files.

(i) Maintenance. Pledgor shall acquire and shall assemble, maintain and have
available a complete file relating to the LLC Interests, including all statements and other
information delivered to Pledgor pursuant to the Organizational Documents. Pledgor shall maintain
all such papers, records and files not in the possession of Lender in good and complete condition
and shall preserve them against loss.

(ii) Lender’s Rights of Inspection. Upon reasonable advance notice from Lender and
during regular business hours, Pledgor shall make any or all such papers, records or files
available to Lender in order that Lender may examine any such papers, records and files, either by
its employees or by agents or contractors, or both, and make copies of all or any portion thereof.

(h) Additional Liens; Amendments to Organizational Documents. Pledgor shall not:

(i) sell, assign, pledge, grant any lien on, other than liens expressly permitted under the
Loan Documents, Transfer, dispose of or otherwise encumber the Collateral or any part thereof,
including entering into any lock-up or any other arrangement with respect to the Collateral;

(ii) permit Issuer to issue any replacement membership interest certificate without the prior
written consent of Lender;

(iii) vote to enable, or take any other action to permit, Issuer to issue, or fail to take any
available action to prevent Issuer from issuing any limited liability company membership interests
in Issuer or issuing any other securities convertible into or granting the right to purchase or
exchange for any limited liability company membership interests in Issuer;

(iv) cause or permit Issuer to terminate Issuer’s “opt in” election under Article 8 of the
UCC; or

(v) cause or permit amendment, modification or other change to the Organizational Documents,
without the prior written consent of Lender.

(i) Maintain Business of Issuer. Pledgor shall, in accordance with the Organizational
Documents, cause Issuer to take the actions and achieve the business purpose as described in the
Organization Documents and Pledgor agrees that Pledgor will not take any action, or refuse to grant
any consents, which would interfere with or impede the ability of Issuer to take such actions or
achieve such purpose.

(j) Issuer as Single Purpose Entity. Pledgor shall, insofar as it is able, cause
Issuer to, do all things necessary to preserve the existence of Issuer as a single purpose entity.

(k) Inspection of Property; Books and Records; Discussion; Consents.

(i) Pledgor shall, and insofar as it is able, cause Issuer to, keep and maintain on a fiscal
year basis proper books and records in accordance with the requirements set forth in the Loan
Agreement. Lender and its authorized representatives shall have the right at reasonable times and
upon reasonable notice to examine the foregoing books and records and to make such copies or
extracts thereof as Lender may require.

(ii) Pledgor shall, and insofar as it is able, cause Issuer to, permit Lender and any person
authorized by it, at all reasonable times and upon reasonable notice to enter and examine the
Property and inspect all work done, labor performed and materials furnished in and about the
Property. Lender shall have no duty to make any such inspection and shall have no liability or
obligation for making (except for its willful misconduct) or not making any such inspection.

(iii) Pledgor shall, and insofar as it is able, cause Issuer to, promptly after written
request by Lender, furnish or cause to be furnished to Lender, in such manner and in such detail as
may be requested by Lender, such additional information as may be reasonably requested by Lender
with respect to each of Pledgor, Issuer and the Property.

(l) Notices. Pledgor shall, and insofar as it is able, cause Issuer to, as
appropriate, promptly give Lender written notice of:

(i) the occurrence of any Event of Default;

(ii) any default or event of default under any contractual obligation of Issuer that could be
reasonably expected to result in a Material Adverse Effect, or any litigation, investigation or
proceeding which may exist at any time between Issuer and any Governmental Authority or any other
person, which, if not cured or if adversely determined, as the case may be, could reasonably be
expected to result in a Material Adverse Effect; and

(iii) of a change in the business, operations, property or financial or other condition or
prospects of Pledgor or Issuer which could result in a Material Adverse Effect.

Each notice pursuant to this subsection shall be accompanied by a statement setting forth details
of the occurrence referred to therein and stating what action the applicable person proposes to
take, if any, with respect thereto.

(m) Application of Disbursements. No amounts received by or disbursed to Pledgor
shall in any manner violate the requirements of the Loan Documents or the Loan Agreement.

(n) Additional Covenants of Pledgor Relating to Negative Covenants of Issuer. Pledgor
shall cause Issuer to take (or not take, as the case may be) the actions necessary to ensure that:
(i) Issuer shall comply with the covenants of Issuer set forth in the Loan Agreement; and (ii)
Issuer shall not transfer the Property or any portion thereof, except as expressly permitted under
the Loan Documents.

(o) Additional Consents. Pledgor shall, and insofar as it is able, cause Issuer to,
(i) consent to (A) the pledge by Pledgor to Lender of the LLC Interests, (B) the transfer of the
LLC Interests and the right of Lender to exercise all voting and management rights appurtenant or
relating to that LLC Interest in each case, by or in lieu of, foreclosure of the pledge (it being
agreed that Lender may, in its sole discretion, foreclose solely on the voting or management
rights) and (C) upon the aforesaid transfer of the LLC Interests, the change in control of Issuer
and (ii) acknowledge and agree that the foreclosure of the LLC Interests by Lender or other
transfer of the LLC Interests in lieu of foreclosure, shall not constitute an unpermitted transfer
under any of the Organizational Documents.

(p) Intentionally Omitted.

5. Rights of Pledgor. Unless an Event of Default shall have occurred and be
continuing, notwithstanding any other provision of this Agreement to the contrary, Pledgor shall be
entitled to (a) exercise any and all voting and other consensual rights pertaining to the related
LLC Interests or any part thereof for any purpose not inconsistent with the terms of this Agreement
or the other Loan Documents and (b) receive and use, free and clear of any lien created hereby or
any security interest granted by Pledgor to Lender hereunder, for any purpose, any distributions
actually made and any allocations actually made with respect to the LLC Interests (whether as a
distribution of net cash flow or otherwise).

6. Remedies.

(a) Should any Event of Default occur and be continuing, Lender is hereby authorized and
empowered, at its election, to do any of the following without liability except to account for
money and other property actually received by it, but Lender shall have no duty to exercise any
such right, privilege or option and shall not be responsible for any failure to do so or delay in
so doing:

(i) to transfer and register in its or its nominee’s name the whole or any part of the
Collateral, including by means of the completion of the instruments of transfer delivered herewith,
if any;

(ii) to exercise all voting and management rights with respect to the Collateral;

(iii) to demand, sue for, collect, receive and give acquittance for any and all cash
distributions or monies due or to become due upon or by virtue thereof, and to settle, prosecute or
defend any action or proceeding with respect thereto;

(iv) to sell in one or more sales (public or private) the whole or any part of the Collateral
or otherwise to transfer or assign the same, in each case, however, to the extent permitted and in
the manner provided in the UCC;

(v) to receive and retain all distributions with respect to the Collateral;

(vi) to otherwise enforce and act with respect to the Collateral or the Proceeds as though
Lender were the outright owner thereof;

(vii) to exercise all other rights and remedies available under law or in equity; and

(viii) upon the exercise by Lender of any right, privilege or option pertaining to the LLC
Interests, and in connection therewith, to deposit and deliver any and all of the LLC Interests
with any committee, depository, transfer agent, registrar or other designated agency upon such
terms and conditions as it may determine. Lender is hereby granted a power of attorney to effect
the aforesaid registration in the name of the Lender or its nominee of the LLC Interests.

(b) In the event of any disposition of the Collateral as provided in subsection (a)(iv),
Lender shall give to Pledgor at least ten (10) Business Days’ prior written notice of the time and
place of any public sale of the Collateral or of the time after which any private sale or any other
intended disposition is to be made. Pledgor hereby acknowledges that ten (10) Business Days’ prior
written notice of such sale or sales shall be reasonable notice. Except as otherwise expressly
provided in the Loan Documents or the UCC, Lender may enforce its rights hereunder without any
other notice and without compliance with any other condition precedent now or hereunder imposed by
statute, rule of law or otherwise (all of which are hereby expressly waived by Pledgor, to the
fullest extent permitted by law). Lender may buy any part or all of the Collateral at any public
sale conducted in accordance with the UCC and as set forth herein.

(c) Pledgor recognizes that Lender may be unable to effect a public sale of the Collateral or
any part thereof by reason of certain prohibitions contained in the Securities Act and other
applicable laws, but may be compelled to resort to one or more private sales thereof to a
restricted group of purchasers and may otherwise be required to impose additional limitations on
sales as a result thereof. Pledgor agrees that any such private sales may be at prices and on other
terms less favorable to the seller than if sold at public sales and that such private sales shall
not by reason thereof be deemed not to have been made in a commercially reasonable manner. Pledgor
agrees to use its best efforts to cause Issuer to execute and deliver all such instruments and
documents and to do or cause to be done all such other acts and things as may be necessary or, in
the opinion of Lender, advisable (i) to cause the Collateral, or any part thereof, to be exempt
from registration under the provisions of the Securities Act; (ii) to amend such instruments and
documents which, in the opinion of Lender, are necessary or advisable to meet the requirements of
the Securities Act and the rules and regulations of the Securities and Exchange Commission
applicable thereto; and (iii) to make any sales of any portion or all of the Collateral pursuant to
this Section valid and binding and in compliance with any and all applicable laws, provided that
nothing herein shall require the LLC Interests to be registered under the Securities Act or other
similar laws. Pledgor further agrees to use its best efforts to cause Issuer to comply with the
provisions of the state securities or “blue sky” laws of any jurisdiction which the Lender shall
designate, to the extent that any such laws apply.

7. Limitation on Duties Regarding Collateral. Lender’s sole duty with respect to the
custody, safekeeping and physical preservation of the Collateral in its possession, if any, under
Section 9-207 of the UCC or otherwise, shall be to deal with it in the same manner as Lender deals
with similar limited liability company membership interests and other similar property for its own
account. Neither Lender nor any of its directors, officers, partners, members, employees or agents
shall be liable for failure to demand, collect or realize upon any of the Collateral or for any
delay in doing so or shall be under any obligation to sell or otherwise dispose of any Collateral
upon the request of Pledgor or otherwise.

8. Prejudgment Remedy Provision. In the event of any legal action between Pledgor and
Lender hereunder, Pledgor expressly waives, to the extent permitted by law, any and all rights
Pledgor may have under the law as now constituted or hereafter amended that may constitute a
limitation on prejudgment remedies, and Lender may invoke any prejudgment remedy available to it,
including garnishment, attachment, foreign attachments and request, with respect to the Collateral,
to enforce the provisions of this Agreement.

9. Application of Proceeds. Except as otherwise provided herein or in the other Loan
Documents, Lender shall apply any proceeds from time to time held by it and the net proceeds of any
such collection, recovery, receipt, appropriation, realization or sale, after deducting all
reasonable out-of-pocket costs and expenses of every kind incurred therein or incidental to the
care or safekeeping of any of the Collateral or in any way relating to the Collateral or the rights
of Lender hereunder, including reasonable attorney’s fees and disbursements, to the payment in
whole or in part of the Debt, in such order as Lender may elect, and only after such application
and after the payment by Lender of any other amount required by any provision of law, including
Section 9-615 of the UCC, need Lender account for the surplus, if any, to Pledgor.

10. Non-Recourse. Except as otherwise provided in this Agreement or in any other of
the Loan Documents, no recourse shall be had against Pledgor or any incorporator, affiliate,
shareholder, stockholder, member, partner, officer, employee or director of Pledgor by the
enforcement of any assessment or by any legal or equitable proceeding in respect of the Debt, it
being expressly agreed and understood that the Debt will be satisfied solely out of the collateral
described in the Loan Agreement.

11. Appointment of Lender as Pledgor’s Lawful Attorney. Pledgor irrevocably
designates, makes, constitutes and appoints Lender (and all persons designated by Lender) as its
true and lawful proxy and attorney-in- fact (coupled with an interest) upon the occurrence and
continuance of an Event of Default to take the following actions:

(a) at such time or times hereafter as Lender or its agent in its sole discretion may
determine, in Pledgor’s or Lender’s name, to endorse Pledgor’s name on any checks, notes, drafts,
instruments, documents or any other payment relating to the Collateral and/or proceeds which come
into the possession of Lender or come under Lender’s control;

(b) to the extent permitted by law, to sign Pledgor’s name on any documents necessary or
desirable for the purpose of maintaining or achieving the perfection of a security interest in the
Collateral; and

(c) to the extent permitted by law, to sign Pledgor’s name to any document necessary or
appropriate in order to permit Lender to fully exercise its rights herein.

12. Reimbursement. All reasonable sums expended by Lender in connection with the
exercise of any right or remedy provided for herein or in connection with preserving the Collateral
and Lender’s interest therein, whether through judicial proceedings or otherwise, or in defending
or prosecuting any actions, suits or proceedings arising out of or relating to the Collateral,
shall be and shall remain the obligation of Pledgor. At the option of Lender, all such sums may be
paid from the Collateral or may be advanced by Lender, in which event they shall be deemed to have
been advanced to Pledgor and shall be reimbursed by Pledgor to Lender upon demand therefor. Such
sums shall constitute part of the Debt.

13. Lender’s Powers for Lender’s Sole Benefit. The powers conferred on Lender
hereunder are solely for Lender’s benefit and do not impose any duty on Lender to exercise any such
powers. Pledgor waives, to the fullest extent permitted by law, all rights whatsoever against
Lender for any loss, expense, liability or damage suffered by Pledgor as a result of actions taken
pursuant to this Agreement, including those arising under any “mortgagee in possession” doctrine or
the like, except to the extent such losses, expenses, liabilities or damages result from the gross
negligence or willful misconduct of Lender, or to the extent otherwise expressly provided herein.

14. Waiver of Redemption and Deficiency Rights. Pledgor hereby waives, to the fullest
extent permitted by law, every statute of limitation, any right of redemption, any moratorium or
redemption period, and any right which Pledgor may have to direct the order in which any of the
Collateral shall be disposed of in the event of any disposition thereof pursuant hereto, except as
otherwise expressly provided herein or in the other Loan Documents.

15. Security Agreement. This Agreement is intended to be a security
agreement pursuant to the UCC for any and all of the Collateral purported to be covered by this
Agreement, and, prior to the occurrence of and continuation of an Event of Default hereunder, any
assignment of the Collateral by the Pledgor pursuant to this Agreement is an assignment for
security purposes only.

16. Security Interest Absolute. All rights of Lender hereunder, the grant of a
security interest in the Collateral and all obligations of Pledgor hereunder, shall be absolute and
unconditional irrespective of (a) any lack of validity or enforceability of the Organizational
Documents; (b) any change in time, manner or place of payment of, or in any other term of, all or
any of the Debt, or any release, amendment or waiver of or any consent to any departure from the
Loan Agreement or any other of the Loan Documents; (c) any exchange, release or nonperfection of
any other collateral, or any release, amendment or waiver of or consent to or departure from any
guarantee, for all or any of the Debt; or (d) any other similar circumstance which might otherwise
constitute a defense available to, or a discharge of, Issuer or Pledgor in respect of the Debt or
in respect of this Agreement.

17. Authorization to File Financing Statements. Pledgor’s execution of this Agreement
evidences Pledgor’s authorization to file such UCC financing statements as are necessary to perfect
Lender’s security interest in the Collateral at any time prior to the full satisfaction of the
Debt, including, but not limited to the filing of a financing statement with an “all assets”
collateral description.

18. Review of Financial Condition. Pledgor hereby consents and agrees that Lender
shall be permitted at any time and from time to time to review and/or confirm the financial
condition of Pledgor, including ordering and reviewing credit reports from a nationally recognized
credit agency. 

19. Miscellaneous.

(a) Waiver of Notice. Pledgor hereby expressly waives the right to receive any notice
from Lender with respect to any matter for which this Agreement does not specifically and expressly
provide for the giving of notice by Lender to Pledgor. No release of any security for the Loan or
one or more extensions of time for payment of the Note or any installment thereof, and no
alteration, amendment or waiver of any provision of this Agreement, the Note or the other Loan
Documents made by agreement between Lender or any other person, shall release, modify, amend,
waive, extend, change, discharge, terminate or affect the liability of Pledgor or any other person
who may become liable for the payment of all or any part of the Loan under the Note, this Agreement
or the other Loan Documents.

(b) Jurisdiction; Court Proceedings. Pledgor, to the fullest extent permitted by law,
hereby knowingly, intentionally and voluntarily, with and upon the consultation of competent
counsel, (i) submits to personal, nonexclusive jurisdiction in the Commonwealth of Pennsylvania
with respect to any suit, action or proceeding by any person arising from, relating to or in
connection with the Loan Documents or the Loan, (ii) agrees that any such suit, action or
proceeding may be brought in any state or federal court of competent jurisdiction sitting in
Philadelphia, Pennsylvania, (iii) submits to the jurisdiction of such courts, (iv) agrees that it
will not bring any action, suit or proceeding in any forum other than Philadelphia, Pennsylvania
(but nothing herein shall affect the right of Lender to bring any action, suit or proceeding in any
other forum), (v) irrevocably agrees not to assert any objection which it may ever have to the
laying of venue of any such suit, action or proceeding in any federal or state court located in
Pennsylvania and any claim that any such action, suit or proceeding brought in any such court has
been brought in an inconvenient forum, and (vi) consents and agrees to service of any summons,
complaint or other legal process in any such suit, action or proceeding by registered or certified
U.S. mail, postage prepaid, to Pledgor, at the address for notices described herein and consents
and agrees that such service shall constitute in every respect valid and effective service (but
nothing herein shall affect the validity or effectiveness of process served in any other manner
permitted by law).

(c) Agent For Service of Process. Pledgor hereby irrevocably designates David F.
Belkowitz, Esquire, located at the offices of Hirschler Fleischer, 2100 E. Cary Street, Richmond,
Virginia 23223, or other agent acceptable to Lender, as the designee, appointee and agent of
Pledgor to receive, for and on behalf of Pledgor, service of process in such respective
jurisdictions in any legal action or proceeding with respect to the Loan Documents. It is
understood that a copy of such process served on such agent will be promptly forwarded by overnight
courier to the Pledgor at its addresses set forth herein, but the failure of Pledgor to receive
such copy shall not affect in any way the service of such process.

(d) Waiver of Jury Trial. PLEDGOR, TO THE FULLEST EXTENT PERMITTED BY LAW, HEREBY
KNOWINGLY, INTENTIONALLY AND VOLUNTARILY, WITH AND UPON THE CONSULTATION OF COMPETENT COUNSEL,
WAIVES, RELINQUISHES AND FOREVER FORGOES THE RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING,
INCLUDING ANY TORT ACTION, BROUGHT BY ANY PARTY TO THE LOAN DOCUMENTS AGAINST ANY OTHER BASED UPON,
ARISING OUT OF, OR IN ANY WAY RELATING TO OR IN CONNECTION WITH THE LOAN DOCUMENTS, THE LOAN OR ANY
COURSE OF CONDUCT, ACT, OMISSION, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR
ACTIONS OF ANY PERSON (INCLUDING, WITHOUT LIMITATION, SUCH PERSON’S DIRECTORS, OFFICERS, PARTNERS,
MEMBERS, EMPLOYEES, AGENTS OR ATTORNEYS, OR ANY OTHER PERSONS AFFILIATED WITH SUCH PERSON), IN
CONNECTION WITH THE LOAN OR THE LOAN DOCUMENTS, INCLUDING ANY COUNTERCLAIM WHICH PLEDGOR MAY BE
PERMITTED TO ASSERT THEREUNDER OR WHICH MAY BE ASSERTED BY LENDER OR ITS AGENTS AGAINST PLEDGOR,
WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE. THIS WAIVER BY PLEDGOR OF ITS RIGHT TO A JURY
TRIAL IS A MATERIAL INDUCEMENT FOR THE LENDER TO MAKE THE LOAN.

(e) Offsets, Counterclaims and Defenses. Pledgor hereby knowingly waives the right to
assert any counterclaim, other than a compulsory counterclaim, in any action or proceeding brought
against Pledgor by Lender. Any assignee of the Loan Documents or any successor of Lender shall
take the same free and clear of all offsets, counterclaims or defenses which are unrelated to the
Loan Documents which Pledgor may otherwise have against any assignor of the Loan Documents, and no
such unrelated counterclaim or defense shall be interposed or asserted by Pledgor in any action or
proceeding brought by any such assignee under such Loan Document. Any such right to interpose or
assert any such unrelated offset, counterclaim or defense in any such action or proceeding is
hereby expressly waived by Pledgor.

(f) Voluntary Agreement. PLEDGOR HEREBY REPRESENTS AND WARRANTS THAT PLEDGOR IS FULLY
AWARE OF THE TERMS CONTAINED IN THE LOAN DOCUMENTS AND THAT PLEDGOR HAS VOLUNTARILY AND WITHOUT
COERCION OR DURESS OF ANY KIND ENTERED INTO THE LOAN DOCUMENTS TO WHICH IT IS A PARTY.

(g) Further Assurances. Pledgor agrees that it will execute and deliver such further
instruments and perform such further acts as may be reasonably requested by Lender from time to
time to confirm the provisions of any Loan Document to which it is a party, to carry out more
effectively the purposes of this Agreement or the Loan Documents, or to confirm the priority of the
conveyance created by the Loan Documents on any property, rights or interest encumbered or intended
to be conveyed by any of the Loan Documents.

(h) Waiver. Pledgor hereby waives and releases all errors, defects and imperfections
in any proceedings instituted by Lender under the Loan Documents, as well as any and all benefit
that might accrue to Pledgor by virtue of any present or future laws exempting any property, real
or personal, or any part of the proceeds arising from any sale of such property, from attachment,
levy, or sale under execution, or providing for any stay of execution, exemption from civil
process, or extensions of time for payment.

(i) Governing Law. This Agreement shall be governed by and construed in accordance
with Pennsylvania law without giving effect to the principles of conflicts of laws.

20. Rules of Construction. This Agreement is governed by and hereby incorporates by
reference the Rules of Construction contained in the Loan Agreement, which shall apply with the
same effect as though fully set forth herein.

21. Irrevocable Proxy. Solely with respect to Article 8 Matters, Pledgor hereby
irrevocably grants and appoints Lender, from the date of this Agreement until the termination of
this Agreement in accordance with its terms, as Pledgor’s true and lawful proxy, for and in
Pledgor’s name, place and stead to vote the LLC Interests in the Issuer by Pledgor, whether
directly or indirectly, beneficially or of record, now owned or hereafter acquired, with respect to
such Article 8 Matters. The proxy granted and appointed in this Section 21 shall include
the right to sign Pledgor’s name (as a member of the Issuer) to any consent, certificate or other
document relating to an Article 8 Matter and the LLC Interests that applicable law may permit or
require, to cause the LLC Interests to be voted in accordance with the preceding sentence. Pledgor
hereby represents and warrants that there are no other proxies and powers of attorney with respect
to an Article 8 Matter and the LLC Interests that Pledgor may have granted or appointed. Pledgor
will not give a subsequent proxy or power of attorney or enter into any other voting agreement with
respect to the LLC Interests with respect to any Article 8 Matter and any attempt to do so with
respect to an Article 8 Matter shall be void and of no effect.

As used herein, “Article 8 Matter” means any action, decision, determination or
election by the Issuer or its members that its membership interests or other equity interests, or
any of them, be, or cease to be, a “security” as defined in and governed by Article 8 of the
Uniform Commercial Code, and all other matters related to any such action, decision, determination
or election.

The proxies and powers granted by the Pledgor pursuant to this Agreement are coupled with an
interest and are given to secure the performance of the Pledgor’s obligations.

[SIGNATURES APPEAR ON THE FOLLOWING PAGE]

1

IN WITNESS WHEREOF, the parties hereto have caused this Pledge and Security Agreement to be
duly executed as of the date first above written.

PLEDGOR: 

NNN 2003 VALUE FUND, LLC, a Delaware limited
liability company

	 	 	 	By:
Triple Net Properties, LLC, a Virginia limited
liability company, its manager

By: /s/ Jeff Hanson [SEAL]

Name: Jeff Hanson

Title: Managing Director – Real Estate

LENDER:

RAIT PARTNERSHIP, L.P., a Delaware limited

partnership

By: RAIT General, Inc., a Maryland corporation,

its general partner

By: /s/ Scott F. Schaeffer

Name: Scott F. Schaeffer

Title: Co-President

SIGNATURE PAGE TO PLEDGE AND SECURITY AGREEMENT

2

Issuer, by its written acknowledgement and acceptance hereof, hereby acknowledges and
agrees to the terms and provisions of Section 21 hereto, and agrees to promptly note on its
books the security interest granted under this Agreement. Issuer hereby acknowledges and agrees
that, pursuant to this Agreement, Lender has been granted and continues to hold a security interest
in and to the pledged Collateral as collateral security for the obligations of Pledgor under the
Loan Documents.

ISSUER: 

NNN VF FOUR RESOURCE SQUARE, LLC, a Delaware limited
liability company

	 	 	 	 	 
	By:	 	Triple Net Properties, LLC, a Virginia

	 
	 	 	 	 
	 	 	limited liability company, its manager

	 
	 	 	 	 
	
 
	 	By: /s/ Jeff Hanson [SEAL]

Name: Jeff Hanson

Title:
	 	

Managing Director – Real Estate

ISSUER ACKNOWLEDGEMENT TO PLEDGE AND SECURITY AGREEMENT

3EX-10.8

GUARANTY OF NON-RECOURSE CARVEOUTS

THIS GUARANTY OF NON-RECOURSE CARVEOUTS (this “Guaranty”), dated effective as of March
7, 2007, is made by NNN 2003 VALUE FUND, LLC, a Delaware limited liability company
(“Guarantor”), having its principal place of business c/o Triple Net Properties, LLC, 1551
N. Tustin Avenue, Suite 300, Santa Ana, California 92705 for the benefit of RAIT PARTNERSHIP, L.P.,
a Delaware limited partnership (together with its successors and or assigns, “Lender”).

BACKGROUND

A. Reference is made to the Background set forth in the Loan and Security Agreement of even
date herewith by and between NNN VF Four Resource Square, LLC, a Delaware limited liability company
(“Borrower”), and Lender (together with all amendments, restatements and other
modifications, the “Loan Agreement”), which is hereby incorporated herein. Capitalized
terms used but not otherwise defined herein shall have the meanings set forth in the Loan
Agreement.

B. Lender is not willing to make the Loan, or otherwise extend credit, to Borrower unless
Guarantor enters into this Guaranty.

C. Guarantor will benefit directly and indirectly from the extension of the Loan to Borrower.

NOW, THEREFORE, as an inducement to Lender to make the Loan to Borrower, and to extend such
additional credit as Lender may from time to time agree to extend under the Loan Documents, and for
other good and valuable consideration, the receipt and legal sufficiency of which are hereby
acknowledged, Guarantor, intending to be legally bound hereby, represents, warrants, covenants and
agrees for the benefit of Lender as follows:

1. Guaranty Agreement. Guarantor hereby, jointly and severally, absolutely,
unconditionally, and irrevocably (a) guarantees and agrees to act as surety with respect to the
recourse obligations of Borrower set forth in Sections 12(c) and 12(d) of the Loan Agreement and
(b) agrees to indemnify, hold harmless and defend Lender and each holder of the Note for any and
all costs and expenses (including reasonable attorney’s fees and expenses) incurred in enforcing
any rights under this Guaranty (collectively, the “Guaranteed Obligations”); provided,
however, that Guarantor shall be liable under this Guaranty for the maximum amount of such
liability that can be hereby incurred without rendering this Guaranty, as it relates to Guarantor,
voidable under applicable law relating to fraudulent conveyance or fraudulent transfer, and not for
any greater amount. This Guaranty constitutes a guaranty of payment when due and not of
collection, and Guarantor specifically agrees that it shall not be necessary or required that
Lender or any holder of the Note exercise any right, assert any claim or demand or enforce any
remedy whatsoever against Borrower or any other obligor (or any other person) before or as a
condition to the obligations of Guarantor hereunder. Notwithstanding anything in this Guaranty to
the contrary, Guarantor hereby waives any right that Guarantor may be afforded under North Carolina
General Statute § 26-7 through § 26-9. This Guaranty shall be deemed an agreement of suretyship.

2. Guaranty Agreement Absolute, etc. This Guaranty shall in all respects be a
continuing, absolute, unconditional and irrevocable guaranty of payment, and shall remain in full
force and effect until all the Guaranteed Obligations shall have been paid in full irrespective of:
(a) any lack of validity, legality or enforceability of the Loan Agreement, the Note or any other
Loan Document; (b) the failure of Lender or any holder of the Note (i) to assert any claim or
demand or to enforce any right or remedy against Borrower, any other obligor or any other person
(including any other guarantor) under the provisions of the Loan Agreement, the Note, any other
Loan Document or otherwise, (ii) to exercise any right or remedy against any other guarantor of, or
collateral securing, the Debt, or (iii) to exercise diligence or reasonable care in the
preservation, protection, enforcement, sale or other handling or treatment of all or any part of
any collateral, property or security with respect to the Debt; (c) any change in the time, manner
or place of payment of, or in any other term of, all or any of the Debt, or any other extension,
compromise or renewal of the Debt; (d) any reduction, limitation, impairment or termination of the
Debt, including any claim of waiver, release, surrender, alteration or compromise, and shall not be
subject to (and Guarantor hereby waives any right to or claim of) any defense or setoff,
counterclaim, recoupment or termination whatsoever by reason of the invalidity, illegality,
nongenuineness, irregularity, compromise, unenforceability of, or any other event or occurrence
affecting the Debt or any obligation of the Borrower, any other obligor or otherwise; (e) any
amendment to, rescission, waiver, or other modification of, or any consent to departure from, any
of the terms of the Loan Agreement, the Note or any other Loan Document; (f) any addition,
exchange, release, surrender or non-perfection of any collateral, or any amendment to or waiver or
release or addition of, or consent to departure from, any other guaranty, held by Lender or any
holder of the Note securing any of the Debt; (g) the insolvency or bankruptcy of, or similar event
affecting, Borrower or any other obligor; or (h) any other circumstance which might otherwise
constitute a defense available to, or a legal or equitable discharge of, Borrower, any other
obligor, any surety or any guarantor. Guarantor waives all rights and defenses which may arise
with respect to any of the foregoing, and Guarantor waives any right to revoke this Guaranty with
respect to future indebtedness. Guarantor waives all rights or defenses under common law, in
equity, under contract, by statute, or otherwise.

3. Reinstatement. The Guarantor agrees that this Guaranty shall continue to be
effective or be reinstated, as the case may be, if at any time any payment (in whole or in part) of
any of the Guaranteed Obligations is rescinded or must otherwise be restored by Lender or any
holder of the Note, upon the insolvency, bankruptcy or reorganization of Borrower, any other
obligor or otherwise, all as though such payment had not been made.

4. Waiver, etc. Guarantor hereby waives promptness, diligence, notice of acceptance
and any other notice with respect to the Debt and this Guaranty (including notice of any of the
matters set forth in Section 3) and any requirement that Lender or any holder of the Note protect,
secure, perfect or insure any security interest or lien, or any property subject thereto, or
exhaust any right or take any action against the Borrower, any other obligor or any other person
(including any other guarantor) or entity or any collateral securing the Debt. Lender shall not
be required to mitigate damages.

5. Deferment of Rights of Subrogation, Reimbursement and Contribution.

(a) Notwithstanding any payment or payments made by Guarantor hereunder, Guarantor shall not
assert or exercise any right of Lender or of Guarantor against Borrower to recover the amount of
any payment made by Guarantor to Lender by way of subrogation, reimbursement, contribution,
indemnity or otherwise arising by contract or operation of law, and Guarantor shall not have any
right of recourse to or any claim against assets or property of Borrower, whether or not the
obligations of Borrower have been satisfied, all of such rights being herein expressly waived by
Guarantor. Guarantor agrees not to seek contribution or indemnity or other recourse from any other
guarantor. If any amount shall nevertheless be paid to Guarantor by Borrower or another guarantor
prior to payment in full of the Debt and the Guaranteed Obligations, such amount shall be held in
trust for the benefit of Lender and shall forthwith be paid to Lender to be credited and applied to
the Debt, whether matured or unmatured. The provisions of this Section shall survive the
termination of this Guaranty, and any satisfaction and discharge of Borrower by virtue of any
payment, court order or any applicable law. Guarantor acknowledges that it will receive direct and
indirect benefits from the financing arrangements contemplated by the Loan Agreement and that the
waiver set forth in this Section is knowingly made in contemplation of such benefits.

(b) Notwithstanding the provisions of subsection (a), Guarantor shall have and be entitled to
(i) all rights of subrogation otherwise provided by applicable law in respect of any payment it may
make or be obligated to make under this Guaranty and (ii) all claims it would have against any
other guarantor in the absence of subsection (a) and to assert and enforce same, in each case on
and after, but at no time prior to, the date (the “Subrogation Trigger Date”) which is 91
days after the date on which all of the Debt has been paid in full, if and only if (y) no Event of
Default with respect to Borrower or any other guarantor has existed at any time on and after the
date of this Guaranty to and including the Subrogation Trigger Date, and (z) the existence of
Guarantor’s rights under this subsection (b) would not make Guarantor a creditor (as defined in the
Bankruptcy Code) of Borrower or any other guarantor in any insolvency, bankruptcy, reorganization
or similar proceeding commenced on or prior to the Subrogation Trigger Date.

6. Bankruptcy Code Waiver. It is the intention of the parties that Guarantor shall
not be deemed to be a “creditor” or “creditors” (as defined in Section 101 of the Bankruptcy Code)
of Borrower, or any other guarantor, by reason of the existence of this Guaranty in the event that
Borrower or any other guarantor becomes a debtor in any proceeding under the Bankruptcy Code, and
in connection herewith, Guarantor hereby waives any such right as a “creditor” under the Bankruptcy
Code. This waiver is given to induce Lender to make the Loan.

7. Subordination of all Guarantor Claims.

(a) As used herein, “Guarantor Claims” means all debts and liabilities of Borrower or
any other obligor to Guarantor, whether such debts and liabilities now exist or are hereafter
incurred or arise, or whether the obligations are direct, contingent, primary, secondary, several,
joint and several, or otherwise, and irrespective of whether such debts or liabilities be evidenced
by note, contract, open account, or otherwise, and irrespective of the person or persons in whose
favor such debts or liabilities may, at their inception, have been, or may hereafter be created, or
the manner in which they have been or may hereafter be acquired by Guarantor. Upon the occurrence
and during the continuance of an Event of Default, or such other event (including, without
limitation, any payment of Guarantor Claims) that with the passage of time or giving of notice
would constitute an Event of Default, the Guarantor Claims shall be, and such indebtedness is,
hereby deferred, postponed and subordinated to the prior payment in full of the Debt. Upon an and
during the continuance occurrence of an Event of Default, or such other event (including, without
limitation, any payment of Guarantor Claims) that with the passage of time or giving of notice
would constitute an Event of Default, Guarantor agrees not to accept any payment or satisfaction of
any kind of the Guarantor Claims and hereby assigns the Guarantor claims to Lender, including the
right to file proof of claim and to vote thereon in connection with any such proceeding under the
Bankruptcy Code, including the right to vote on any plan of reorganization until payment in full of
the Debt (and including interest accruing on the Note after the commencement of a proceeding by or
against Borrower under the Bankruptcy Code, which interest Guarantor agrees shall remain a claim
that is prior and superior to any claim of Guarantor notwithstanding any contrary practice, custom
or ruling in cases under the Bankruptcy Code generally),.

(b) In the event of receivership, bankruptcy, reorganization, arrangement, debtor’s relief, or
other insolvency proceedings involving Guarantor as debtor, Lender shall have the right to prove
its claim in any such proceeding so as to establish its rights hereunder and receive directly from
the receiver, trustee or other court custodian dividends and payments which would otherwise be
payable upon the Guarantor Claims. Guarantor hereby assigns such dividends and payments to Lender.

(c) Without the prior written consent of Lender, Guarantor shall not (i) exercise or enforce
any creditor’s right it may have against Borrower, or (ii) foreclose, repossess, sequester or
otherwise take steps or institute any action or proceedings (judicial or otherwise, including
without limitation the commencement of, or joinder in, any liquidation, bankruptcy, rearrangement,
debtor’s relief or insolvency proceeding) to enforce any liens, mortgages, deeds of trust, security
interest, collateral rights, judgments or other encumbrances on assets of Borrower held by
Guarantor.

8. Representations and Warranties. Guarantor represents and warrants to Lender as
follows:

(a) Benefit. Guarantor is an affiliate of Borrower, or is the owner of a direct or
indirect interest in Borrower, and has received, or will receive, direct or indirect benefit from
the making of this Guaranty.

(b) Familiarity and Reliance. Guarantor is familiar with, and has independently
reviewed books and records regarding, the financial condition of Borrower and is familiar with the
value of any and all collateral intended to be created as security for the payment of the Debt;
provided, however, Guarantor is not relying on such financial condition or the collateral as an
inducement to enter into this Guaranty.

(c) No Representation by Lender. Neither Lender nor any other party has made any
representation, warranty or statement to Guarantor in order to induce Guarantor to execute this
Guaranty.

(d) Guarantor’s Financial Condition. As of the date hereof, and after giving effect
to this Guaranty and the contingent obligation evidenced hereby, Guarantor is, and will be,
solvent, and has and will have assets which, fairly valued, exceed its obligations, liabilities
(excluding contingent liabilities) and debts, and has and will have property and assets sufficient
to satisfy and repay its obligations and liabilities.

(e) Legality. The execution, delivery and performance by Guarantor of this Guaranty
and the consummation of the transactions contemplated hereunder do not, and will not, contravene or
conflict with any law, statute or regulation whatsoever to which Guarantor is subject or constitute
a default (or an event which with notice or lapse of time or both would constitute a default)
under, or result in the breach of, any indenture, mortgage, deed of trust, charge, lien, or any
contract, agreement or other instrument to which Guarantor is a party or which may be applicable to
Guarantor. Guarantor has full power and authority to execute and deliver this Guaranty and to
perform its obligations hereunder. This Guaranty is a legal and binding obligation of Guarantor,
enforceable against it in accordance with its terms, except as limited by bankruptcy, insolvency or
other laws of general application relating to the enforcement of creditors’ rights.

(f) Litigation. Except as otherwise disclosed to Lender, there are no proceedings
pending or, so far as Guarantor knows, threatened before any court or administrative agency which,
if decided adversely to Guarantor, would have a Material Adverse Effect.

(g) Tax Returns. Guarantor has filed all required federal, state and local tax
returns and has paid all taxes as shown on such returns as they have become due. No claims have
been assessed and are unpaid with respect to such taxes.

9. Financial Reports. Guarantor shall keep adequate books and records of account in
accordance with methods acceptable to Lender, consistently applied and furnish to Lender:

(a) an unaudited (1) balance sheet, (2) statement of income and expenses and (3) a statement
of cash flows, each in reasonable detail, prepared in accordance with generally accepted accounting
principles applied on a consistent basis throughout the periods involved and certified as true and
complete by Guarantor or its general partner, manager/managing member or chief financial officer
within 120 days after the close of each fiscal year of Guarantor;

(b) copies of all federal tax returns filed by Guarantor, within 30 days after the filing
thereof; and

(c) such other financial statements as may, from time to time, be required by Lender.

10. Right to Examine. Lender and its accountants shall have the right to examine the
records, books, management and other papers of Guarantor which reflect upon Guarantor’s financial
condition, at the Property or at any office (or such other location) regularly maintained by any
Guarantor where the books and records are located. Lender and its accountants shall have the right
to make copies and extracts from the foregoing records and other papers. In addition, Lender and
its accountants shall have the right to examine and audit the books and records of Guarantor
pertaining to the income, expenses and operation of the Property during reasonable business hours
at any office of Guarantor where the books and records are located.

11. Review of Financial Condition. Guarantor hereby consents and agrees that Lender
shall be permitted at any time and from time to time to review and/or confirm the financial
condition of Guarantor, including ordering and reviewing credit reports from a nationally
recognized credit agency.

12. Intentionally Omitted.

13. Miscellaneous.

(a) Waiver of Notice. Guarantor hereby expressly waives the right to receive any
notice from Lender with respect to any matter for which this Guaranty does not specifically and
expressly provide for the giving of notice by Lender to Guarantor. No release of any security for
the Loan or one or more extensions of time for payment of the Note or any installment thereof, and
no alteration, amendment or waiver of any provision of this Guaranty, the Note or the other Loan
Documents made by agreement between Lender or any other person, shall release, modify, amend,
waive, extend, change, discharge, terminate or affect the liability of Guarantor or any other
person who may become liable for the payment of all or any part of the Loan under the Note, this
Guaranty or the other Loan Documents.

(b) Jurisdiction; Court Proceedings. Guarantor, to the fullest extent permitted by
law, hereby knowingly, intentionally and voluntarily, with and upon the advice of competent
counsel, (i) submits to personal, nonexclusive jurisdiction in the Commonwealth of Pennsylvania
with respect to any suit, action or proceeding by any person arising from, relating to or in
connection with the Loan Documents or the Loan, (ii) agrees that any such suit, action or
proceeding may be brought in any state or federal court of competent jurisdiction sitting in
Philadelphia, Pennsylvania, (iii) submits to the jurisdiction of such courts, (iv) agrees that it
will not bring any action, suit or proceeding in any forum other than Philadelphia, Pennsylvania
(but nothing herein shall affect the right of Lender to bring any action, suit or proceeding in any
other forum), (v) irrevocably agrees not to assert any objection which it may ever have to the
laying of venue of any such suit, action or proceeding in any federal or state court located in
Pennsylvania and any claim that any such action, suit or proceeding brought in any such court has
been brought in an inconvenient forum, and (vi) consents and agrees to service of any summons,
complaint or other legal process in any such suit, action or proceeding by registered or certified
U.S. mail, postage prepaid, to Guarantor, at the address for notices described herein and consents
and agrees that such service shall constitute in every respect valid and effective service (but
nothing herein shall affect the validity or effectiveness of process served in any other manner
permitted by law).

(c) Waiver of Jury Trial. GUARANTOR, TO THE FULLEST EXTENT PERMITTED BY LAW, HEREBY
KNOWINGLY, INTENTIONALLY AND VOLUNTARILY, AFTER CONSULTATION WITH COMPETENT COUNSEL, WAIVES,
RELINQUISHES AND FOREVER FORGOES THE RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING,
INCLUDING ANY TORT ACTION, BROUGHT BY ANY PARTY TO THE LOAN DOCUMENTS AGAINST ANY OTHER BASED UPON,
ARISING OUT OF, OR IN ANY WAY RELATING TO OR IN CONNECTION WITH THE LOAN DOCUMENTS, THE LOAN OR ANY
COURSE OF CONDUCT, ACT, OMISSION, COURSE OF DEALING, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR
ACTIONS OF ANY PERSON (INCLUDING, WITHOUT LIMITATION, SUCH PERSON’S DIRECTORS, OFFICERS, PARTNERS,
MEMBERS, EMPLOYEES, AGENTS OR ATTORNEYS, OR ANY OTHER PERSONS AFFILIATED WITH SUCH PERSON), IN
CONNECTION WITH THE LOAN OR THE LOAN DOCUMENTS, INCLUDING ANY COUNTERCLAIM WHICH GUARANTOR MAY BE
PERMITTED TO ASSERT THEREUNDER OR WHICH MAY BE ASSERTED BY LENDER OR ITS AGENTS AGAINST GUARANTOR,
WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE. THIS WAIVER BY GUARANTOR OF ITS RIGHT TO A JURY
TRIAL IS A MATERIAL INDUCEMENT FOR LENDER TO MAKE THE LOAN.

(d) Offsets, Counterclaims and Defenses. Guarantor hereby knowingly waives the right
to assert any counterclaim, other than a compulsory counterclaim, in any action or proceeding
brought against Guarantor by Lender. Any assignee of the Loan Documents or any successor of Lender
shall take the same free and clear of all offsets, counterclaims or defenses which are unrelated to
the Loan Documents which Guarantor may otherwise have against any assignor of the Loan Documents,
and no such unrelated counterclaim or defense shall be interposed or asserted by Guarantor in any
action or proceeding brought by any such assignee under any Loan Document. Any such right to
interpose or assert any such unrelated offset, counterclaim or defense in any such action or
proceeding is hereby expressly waived by Guarantor.

(e) Voluntary Agreement. GUARANTOR HEREBY REPRESENTS AND WARRANTS THAT GUARANTOR IS
FULLY AWARE OF THE TERMS CONTAINED IN THE LOAN DOCUMENTS AND THAT GUARANTOR HAS VOLUNTARILY AND
WITHOUT COERCION OR DURESS OF ANY KIND ENTERED INTO THE LOAN DOCUMENTS TO WHICH IT IS A PARTY.

(f) Assignments. Guarantor acknowledges and agrees that Lender may, in the ordinary
course of its business and in accordance with applicable law, at any time assign, the Note and its
rights and obligations under this Guaranty and the other Loan Documents to a bank or other person.

(g) Further Assurances. Guarantor agrees that it will execute and deliver such further
instruments and perform such further acts as may be requested by Lender from time to time to
confirm the provisions of any Loan Document to which it is a party, to carry out more effectively
the purposes of this Guaranty or the Loan Documents.

(h) Waiver. Guarantor hereby waives and releases all errors, defects and
imperfections in any proceedings instituted by Lender under the Loan Documents.

(i) Governing Law. The Loan transaction which is evidenced by the Note and made
pursuant to the Loan Agreement has been applied for, considered, approved and made, and all of the
Loan Documents have been accepted by Lender in the Commonwealth of Pennsylvania. This Guaranty
shall, therefore, be governed by Pennsylvania law without giving effect to the principles of
conflicts of laws.

14. Rules of Construction. This Guaranty is governed by and hereby incorporates by
reference the Rules of Construction contained in the Loan Agreement, which shall apply with the
same effect as though fully set forth herein, and Guarantor shall be bound by them to the same
extent as Borrower, except that notices to Guarantor shall be addressed as follows:

NNN 2003 VALUE FUND, LLC

c/o Triple Net Properties, LLC

1551 N. Tustin Avenue, Suite 300

Santa Ana, California 92705

Attn: Theresa Hutton

Facsimile No.: (714) 667-8252

With a copy to:

HIRSCHLER FLEISCHER

2100 E. Cary Street

Richmond, Virginia 23223

Attn: David F. Belkowitz, Esquire

Facsimile No.: (804) 644-0957

[SIGNATURE APPEARS ON FOLLOWING PAGE]

1

EXECUTED as of the day and year first above written.

GUARANTOR:

NNN 2003 VALUE FUND, LLC, a Delaware limited liability
company

By: TRIPLE NET PROPERTIES, LLC, a Virginia limited
liability company, its manager

By: /s/ Jeff Hanson[SEAL]

Name: Jeff Hanson

Title: Managing Director – Real Estate

SIGNATURE PAGE TO NON-RECOURSE GUARANTY

2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00119-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00119-of-00352.parquet"}]]