Document:

Form of Stock Appreciation Rights Award Agreement

 Exhibit 10.1 
  
 NATIONWIDE HEALTH PROPERTIES, INC. 
 2005 PERFORMANCE INCENTIVE PLAN 
 STOCK APPRECIATION RIGHTS AWARD AGREEMENT 
  
 THIS STOCK APPRECIATION RIGHTS AWARD AGREEMENT (this “Award
Agreement”) dated [                        ] by and between Nationwide Health Properties, Inc., a Maryland
corporation (the “Corporation”), and [                        ] (the “Participant”)
evidences the award (the “Award”) granted by the Corporation to the Participant of the number of stock appreciation rights (the “SARs”) first set forth below. 
  

							
	 Number of SARs:1
	  	[            	]	    	Award Dated: [                        	]
	 Base Price per SAR:1 
	  	$[            	]	    	 	 
	Vesting1 The Award shall become
vested as to one-third of the total number of SARs subject to the Award on each of the first, second and third anniversaries of the Award Date.	  

  
 The Award is granted under the Nationwide Health Properties, Inc. 2005 Performance Incentive Plan (the “Plan”) and subject to the Terms and Conditions of Stock Appreciation Rights (the
“Terms”) attached to this Award Agreement (incorporated herein by this reference) and to the Plan. The Award has been granted to the Participant in addition to, and not in lieu of, any other form of compensation otherwise payable or
to be paid to the Participant. Capitalized terms are defined in the Plan if not defined herein. The parties agree to the terms of the Award set forth herein. The Participant acknowledges receipt of a copy of the Terms, the Plan and the Prospectus
for the Plan. 
  

									
	“PARTICIPANT”	 	 	 	 NATIONWIDE HEALTH PROPERTIES, INC.
 a Maryland corporation

					
	 	 	 	 	 	 	By:	 	 
	Signature	 	 	 	 	 	 
					
	 	 	 	 	 	 	Print Name:	 	 
	Print Name	 	 	 	 	 	 
					
	 	 	 	 	 	 	Title:	 	 

  
 CONSENT OF SPOUSE

  
 In consideration of the Corporation’s execution of
this Award Agreement, the undersigned spouse of the Participant agrees to be bound by all of the terms and provisions hereof and of the Plan. 

									
					
	 	 	 	 	 	 	 	 	 
	Signature of Spouse	 	 	 	Date	 	 

  

	 1
	 Subject to adjustment under Section 7.1 of the Plan. 

  
  

 TERMS AND CONDITIONS OF STOCK APPRECIATION RIGHTS 
  
 1. Vesting; Limits on Exercise. 
  
 Subject to Section 5, the Award shall vest in percentage installments
of the aggregate number of SARs subject to the Award as set forth on the cover page of this Award Agreement. The SARs are payable only to the extent the SARs are vested. Fractional SARs shall be disregarded, but may be accumulated. 
  
 2. Continuance of Employment/Service Required; No Employment/Service Commitment.

  
 Except as otherwise expressly provided in Section 5,
the vesting schedule requires continued employment or service through each applicable vesting date as a condition to the vesting of the applicable installment of the Award and the rights and benefits under this Award Agreement; and employment or
service for only a portion of any vesting period, even if a substantial portion, will not entitle the Participant to any proportionate vesting or avoid or mitigate a termination of rights and benefits upon or following a termination of employment or
services as provided in Section 5 below or under the Plan for such vesting period (or for any later vesting period). 
  
 Nothing contained in this Award Agreement or the Plan constitutes a continued employment or service commitment by the Corporation or any of its
Subsidiaries, affects the Participant’s status, if he or she is an employee, as an employee at will who is subject to termination without cause, confers upon the Participant any right to remain employed by or in service to the Corporation or
any Subsidiary, interferes in any way with the right of the Corporation or any Subsidiary at any time to terminate such employment or service, or affects the right of the Corporation or any Subsidiary to increase or decrease the Participant’s
other compensation or benefits. Nothing in this paragraph, however, is intended to adversely affect any independent contractual right of the Participant without his consent thereto. 
  
 3. Dividend Equivalent Rights. 
  
 In the event that the Corporation pays an ordinary cash dividend on its Common Stock and the related dividend payment record
date occurs at any time after the Award Date and before all of the SARs subject to the Award or stock units credited pursuant to this Section 3 (the “Stock Units”) either have been paid pursuant to Section 4 or have
terminated pursuant to Section 5, the Corporation shall credit the Participant with a number of Stock Units equal to (i) the per-share cash dividend paid by the Corporation on its Common Stock with respect to such record date, multiplied
by (ii) the total number of outstanding and unpaid SARs subject to the Award and Stock Units credited pursuant to this Section 3 (with such total number subject to adjustment pursuant to Section 7.1 of the Plan), divided by
(iii) the fair market value of a share of Common Stock (as determined under the Plan) on the related dividend payment date. As used herein, the term “stock unit” shall mean a non-voting unit of measurement which is deemed for
bookkeeping purposes to be equivalent to one outstanding share of the Corporation’s Common Stock (subject to adjustment as provided in Section 7.1 of the Plan) solely for purposes of the Plan and this Award Agreement. Any Stock Units
credited pursuant to this Section 3 shall be subject to the same vesting, payment and other terms, conditions and restrictions as the SARs to which they relate. No crediting of Stock Units shall be made pursuant to this Section 3 with
respect to any SARs or Stock Units which, as of the related dividend payment record date, have either been paid pursuant to Section 4 or terminated pursuant to Section 5. 
  

 1 

 4. Payment of Award.  
  
 4.1 Payment of Award. Subject to Section 5, the SARs and related Stock Units automatically will become payable
upon the third anniversary of the Award Date (the “Payment Date”). 
  
 4.2 Payment Amount. Upon the Payment Date, the SARs and related Stock Units shall terminate and the Participant will be entitled to receive payment therefor of an amount (subject to the tax withholding
provisions of Section 4.5) equal to the sum of: 
  

	 	(a)	the per-share fair market value (determined in accordance with the applicable provisions of the Plan) of the Common Stock of the Corporation as of the Payment Date, multiplied by
the number of then-outstanding and vested Stock Units; plus 

  

	 	(b)	the positive or negative difference obtained by subtracting the Base Price of the SARs from the per-share fair market value (determined in accordance with the applicable provisions
of the Plan) of the Common Stock of the Corporation as of the Payment Date, multiplied by the number of then-outstanding and vested SARs. 

  
 If such amount is a negative number, the SARs and related Stock Units shall terminate and no payment will be made with respect thereto. 
  
 4.3 Form of Payment. The amount determined under Section 4.2 will
be paid to the Participant on or as soon as administratively practicable after the Payment Date by delivery to the Participant of a number of shares of Common Stock (either by delivering one or more certificates for such shares or by entering such
shares in book entry form, as determined by the Corporation in its discretion) equal to (i) the amount of the payment determined under Section 4.2, divided by (ii) the fair market value of a share of Common Stock as of the Payment
Date. The Corporation’s obligation to deliver shares of Common Stock or otherwise make payment with respect to the SARs or Stock Units is subject to the condition precedent that the Participant or other person entitled under the Plan to receive
any shares with respect to the SARs or Stock Units deliver to the Corporation any representations or other documents or assurances required pursuant to Section 8.1 of the Plan. The Participant shall have no further rights with respect to any
SARs or Stock Units that are paid or that terminate pursuant to Section 5. 
  
 4.4 Award Not Funded. SARs and Stock Units payable under this Award Agreement will be paid from the general assets of the Corporation, and no special or separate reserve, fund or deposit will be made to assure
payment of the SARs or Stock Units. Neither this Award Agreement nor any action taken pursuant to the provisions of this Award Agreement will create, or be construed to create, a trust of any kind or a fiduciary relationship between the Corporation
and Participant (or any other person). To the extent that Participant (or any permitted transferee) acquires a right to receive payment pursuant to any SAR or Stock Unit hereunder, such right will be no greater than the right of any unsecured
general creditor of the Corporation. 
  

 2 

 4.5 Tax Withholding. Subject to Section 8.1 of the Plan and such rules and procedures as the
Administrator may impose, upon any distribution of shares of Common Stock in respect of the Award, the Corporation shall automatically reduce the number of shares to be delivered by (or otherwise reacquire) the appropriate number of whole shares,
valued at their then fair market value (with the “fair market value” of such shares determined in accordance with the applicable provisions of the Plan), to satisfy any withholding obligations of the Corporation or its Subsidiaries with
respect to such distribution of shares at the minimum applicable withholding rates; provided, however, that the foregoing provision shall not apply in the event that the Participant has, subject to the approval of the Administrator, made other
provision in advance of the date of such distribution for the satisfaction of such withholding obligations. In the event that the Corporation cannot legally satisfy such withholding obligations by such reduction of shares, or in the event of a cash
payment or any other withholding event in respect of the Award, the Corporation (or a Subsidiary) shall be entitled to require a cash payment by or on behalf of the Participant and/or to deduct from other compensation payable to the Participant any
sums required by federal, state or local tax law to be withheld with respect to such distribution or payment. 
  
 5. Effect of Change in Control or Termination of Employment. 
  
 5.1 Effect of Change in Control. Upon the dissolution of the Corporation or other event described in Section 7.1 of the Plan (which generally
covers certain mergers or similar reorganizations) that the Corporation does not survive (or does not survive as a public company in respect of its Common Stock) or a Change in Control Event (an “Acceleration Event”), if the SARs
subject to the Award and related Stock Units are not then otherwise fully vested (and have not previously terminated), they shall automatically become vested upon the occurrence of such Acceleration Event and shall be payable in accordance with
Section 4 as if the effective date of the Acceleration Event were the Payment Date, unless provision has been expressly made by the Administrator, through a plan of reorganization or otherwise, for the survival, substitution, assumption or
exchange of the Award in connection with such Acceleration Event, in which case the effective date of such Acceleration Event shall not be treated as the Payment Date (and instead the Payment Date shall continue to be the third anniversary of the
Award Date). 
  
 5.2 Effect of Termination of
Participant’s Employment or Services. Subject to earlier termination pursuant to Section 5.1 above, if the Participant ceases to be employed by or ceases to provide services to the Corporation or a Subsidiary, the following rules shall
apply (the last day that the Participant is employed by or provides services to the Corporation or a Subsidiary is referred to as the Participant’s “Severance Date”): 
  

	 	•	 	 other than as expressly provided below in this Section 5.2, (a) the SARs and related Stock Units, to the extent not vested on the Severance Date, shall
terminate on the Severance Date, and (b) the SARs and related Stock Units, to the extent vested on the Severance Date, shall be payable in accordance with Section 4 as if the Severance Date were the Payment Date;

  
  

 3 

	 	•	 	 if the termination of the Participant’s employment or services is the result of the Participant’s death or Total Disability (as defined below),
(a) the SARs and related Stock Units, to the extent not vested on the Severance Date, shall become fully vested as of the Severance Date, and (b) the SARs and related Stock Units shall be payable in accordance with Section 4 as if the
Severance Date were the Payment Date; and 

  

	 	•	 	 if the termination of the Participant’s employment or services is the result of the Participant’s Retirement (as defined below), (a) the SARs and
related Stock Units, to the extent not previously terminated as of the Severance Date, shall continue to vest following the Severance Date in accordance with the vesting schedule set forth on the cover page of this Award Agreement, and (b) the
SARs and related Stock Units shall be payable in accordance with Section 4 (with the Payment Date continuing to be the third anniversary of the Award Date). 

  
 For purposes of the Award, “Total Disability” means a “permanent and total disability” (within
the meaning of Section 22(e)(3) of the Code or as otherwise determined by the Administrator). 
  
 For purposes of the Award, “Retirement” means a termination of employment or services by the Participant that occurs both (a) upon
or after the Participant’s attainment of age 60 and (b) upon or after the Participant’s completion of five years of service to the Corporation and its Subsidiaries (such years of service determined in accordance with the rules for
determining years of service under the Corporation’s 401(k) plan). 
  
 In all events the Award is subject to earlier termination as contemplated by Section 5.1. The Administrator shall be the sole judge of whether the Participant continues to render employment or services for purposes of this Award
Agreement. 
  
 6. Non-Transferability. 
  
 The Award and any other rights of the Participant under this Award Agreement
or the Plan are nontransferable and exercisable by and payable to only the Participant, except as set forth in Section 5.7 of the Plan. 
  
 7. Notices. 
  
 Any notice to be given under the terms of this Award Agreement shall be in writing and addressed to the Corporation at its principal office to the
attention of the Secretary, and to the Participant at the address last reflected on the Corporation’s payroll records, or at such other address as either party may hereafter designate in writing to the other. Any such notice shall be delivered
in person or shall be enclosed in a properly sealed envelope addressed as aforesaid, registered or certified, and deposited (postage and registry or certification fee prepaid) in a post office or branch post office regularly maintained by the United
States Government. Any such notice shall be given only when received, but if the Participant is no longer employed by the Corporation or a Subsidiary, shall be deemed to have been duly given five business days after the date mailed in accordance
with the foregoing provisions of this Section 7. 
  
  

 4 

 8. Plan. 
  
 The Award and all rights of the Participant under this Award Agreement are subject to the terms and conditions of the Plan, incorporated herein by this
reference. The Participant agrees to be bound by the terms of the Plan and this Award Agreement (including these Terms). The Participant acknowledges having read and understanding the Plan, the Prospectus for the Plan, and this Award Agreement.
Unless otherwise expressly provided in other sections of this Award Agreement, provisions of the Plan that confer discretionary authority on the Board or the Administrator do not and shall not be deemed to create any rights in the Participant unless
such rights are expressly set forth herein or are otherwise in the sole discretion of the Board or the Administrator so conferred by appropriate action of the Board or the Administrator under the Plan after the date hereof. 
  
 9. Construction; Section 409A. 
  
 It is intended that the terms of the Award will not result in the imposition
of any tax liability pursuant to Section 409A of the Code. This Award Agreement shall be construed and interpreted consistent with that intent. Notwithstanding any provision of this Award Agreement to the contrary, if the Participant is a
“specified employee” as defined in Code Section 409A and, as a result of that status, any portion of the payments under this Award Agreement would otherwise be subject to taxation pursuant to Code Section 409A, the Participant
shall not be entitled to any payments upon a termination of his employment until the earlier of (i) the date which is six (6) months after his termination of employment for any reason other than death, or (ii) the date of the
Participant’s death; provided the first such payment thereafter shall include all amounts that would have been paid earlier but for such six (6) month delay. The Corporation and the Participant agree to act reasonably and to cooperate to
amend or modify this Award Agreement to the extent reasonably necessary to avoid the imposition of the tax under Code Section 409A. 
  
 10. Entire Agreement; Applicability of Other Agreements. 
  
 This Award Agreement (including these Terms) and the Plan together constitute the entire agreement and supersede all prior understandings and agreements,
written or oral, of the parties hereto with respect to the subject matter hereof. The Plan and this Award Agreement may be amended pursuant to Section 8.6 of the Plan. Such amendment must be in writing and signed by the Corporation. The
Corporation may, however, unilaterally waive any provision hereof in writing to the extent such waiver does not adversely affect the interests of the Participant hereunder, but no such waiver shall operate as or be construed to be a subsequent
waiver of the same provision or a waiver of any other provision hereof. Notwithstanding the foregoing, if the Participant is subject to a written employment, change in control or similar agreement with the Corporation that is in effect as of the
Participant’s Severance Date and the Participant would be entitled under the express provisions of such agreement to greater rights with respect to accelerated vesting of the Award in connection with the termination of the Participant’s
employment in the circumstances, the provisions of such agreement shall control with respect to such vesting rights, and the corresponding provisions of this Award Agreement shall not apply. 
  

 5 

 11. Governing Law. 
  
 This Award Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Maryland
without regard to conflict of law principles thereunder. 
  
 12. Effect of
this Agreement. 
  
 Subject to the Corporation’s
right to terminate the Award pursuant to Section 7.2 of the Plan, this Award Agreement shall be assumed by, be binding upon and inure to the benefit of any successor or successors to the Corporation. 
  
 13. Counterparts. 
  
 This Award Agreement may be executed simultaneously in any number of
counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument. 
  
 14. Section Headings. 
  
 The section headings of this Award Agreement are for convenience of reference only and shall not be deemed to alter or affect any provision hereof.

  

 6Form of Performance Share Award Agreement

 Exhibit 10.2 
  
 NATIONWIDE HEALTH PROPERTIES, INC. 
 2005 PERFORMANCE INCENTIVE PLAN 
 PERFORMANCE SHARE AWARD AGREEMENT 
  
 THIS PERFORMANCE SHARE AWARD AGREEMENT (this
“Agreement”) dated [                        ] by and between Nationwide Health Properties, Inc., a
Maryland corporation (the “Corporation”), and [                        ] (the
“Participant”) evidences the award of Performance Shares (the “Award”) granted by the Corporation to the Participant as to the number of performance shares (the “Performance Shares”) first set forth
below. 
  

					
	 Number of Performance Shares:1
	  	[            ]	    	Award Dated: [                        ]
	 Performance Period: January 1, 2007 — December 31, 2009
	  	 	    	 
	Vesting1,2 The Award shall vest and
become nonforfeitable as provided in Section 2 of the attached Terms and Conditions of Performance Share Award (the “Terms”).

  
 The Award is granted under the Nationwide Health Properties, Inc. 2005 Performance Incentive Plan (the “Plan”) and subject to the Terms attached to this Agreement (incorporated herein by this
reference) and to the Plan. The Award has been granted to the Participant in addition to, and not in lieu of, any other form of compensation otherwise payable or to be paid to the Participant. Capitalized terms are defined in the Plan if not defined
herein. The parties agree to the terms of the Award set forth herein. The Participant acknowledges receipt of a copy of the Terms, the Plan and the Prospectus for the Plan. 
  

									
	“PARTICIPANT”	 	 	 	 NATIONWIDE HEALTH PROPERTIES, INC.
 a Maryland corporation

					
	 	 	 	 	 	 	By:	 	 
	Signature	 	 	 	 	 	 
					
	 	 	 	 	 	 	Print Name:	 	 
	Print Name	 	 	 	 	 	 
					
	 	 	 	 	 	 	Title:	 	 

  
 CONSENT OF SPOUSE

  
 In consideration of the Corporation’s execution of
this Agreement, the undersigned spouse of the Participant agrees to be bound by all of the terms and provisions hereof and of the Plan. 
  

									
					
	 	 	 	 	 	 	 	 	 
	Signature of Spouse	 	 	 	Date	 	 

  

	 1
	 Subject to adjustment under Section 7.1 of the Plan. 

	 2
	 Subject to early termination under Section 7 of the Terms and Section 7.2 of the Plan.

  
  

 TERMS AND CONDITIONS OF PERFORMANCE SHARE AWARD 
  
 1. Performance Shares. 
  
 As used herein, the term “performance share” shall mean a
non-voting unit of measurement which is deemed for bookkeeping purposes to be equivalent to one outstanding share of the Corporation’s Common Stock (subject to adjustment as provided in Section 7.1 of the Plan) solely for purposes of the
Plan and this Agreement. The Performance Shares shall be used solely as a device for the determination of the payment to eventually be made to the Participant if such Performance Shares vest pursuant to Section 2. The Performance Shares shall
not be treated as property or as a trust fund of any kind. 
  
 2.
Vesting. 
  
 Subject to Section 7, the Award
shall vest and become nonforfeitable based on the achievement of the performance goals established by the Committee and set forth on Exhibit A attached hereto for the Performance Period identified on the cover page of this Agreement. The number of
Performance Shares that vest and become payable under this Agreement shall be determined based on the level of results or achievement of the targets set forth on Exhibit A. Subject to Section 7, any Performance Shares subject to the Award that
do not vest in accordance with Exhibit A shall terminate as of the last day of the Performance Period. 
  
 3. Continuance of Employment. 
  
 Except as otherwise expressly provided in Section 7 below, the vesting schedule requires continued employment or service through each applicable vesting date as a condition to the vesting of the applicable
installment of the Award and the rights and benefits under this Agreement; and employment or service for only a portion of any vesting period, even if a substantial portion, will not entitle the Participant to any proportionate vesting or avoid or
mitigate a termination of rights and benefits upon or following a termination of employment or services as provided in Section 7 below or under the Plan for such vesting period (or for any later vesting period). 
  
 Nothing contained in this Agreement or the Plan constitutes an employment or
service commitment by the Corporation, affects the Participant’s status as an employee at will who is subject to termination without cause, confers upon the Participant any right to remain employed by or in service to the Corporation or any
Subsidiary, interferes in any way with the right of the Corporation or any Subsidiary at any time to terminate such employment or services, or affects the right of the Corporation or any Subsidiary to increase or decrease the Participant’s
other compensation or benefits. Nothing in this paragraph, however, is intended to adversely affect any independent contractual right of the Participant without his consent thereto. 
  
 4. Limitations on Rights Associated with Performance Shares. 
  
 The Participant shall have no rights as a stockholder of the Corporation, no dividend rights and no voting rights with
respect to the Performance Shares and any shares of Common Stock underlying or issuable in respect of such Performance Shares until such shares of Common Stock are actually issued to and held of record by the Participant. No adjustments will be made
for dividends or other rights of a holder for which the record date is prior to the date of issuance of the stock certificate. 
  
  

 1 

 5. Restrictions on Transfer. 
  
 Neither the Award, nor any interest therein or amount or shares payable in respect thereof may be sold, assigned,
transferred, pledged or otherwise disposed of, alienated or encumbered, either voluntarily or involuntarily. The transfer restrictions in the preceding sentence shall not apply to (a) transfers to the Corporation, or (b) transfers by will
or the laws of descent and distribution. 
  
 6. Timing and Manner of Payment
of Performance Shares. 
  
 On or as soon as
administratively practicable following the last day of the Performance Period, the Corporation shall deliver to the Participant a number of shares of Common Stock (either by delivering one or more certificates for such shares or by entering such
shares in book entry form, as determined by the Corporation in its discretion) equal to the number of Performance Shares subject to the Award (if any) that vest in accordance with Section 2, unless such Performance Shares terminate prior to the
given vesting date pursuant to Section 7. The Corporation’s obligation to deliver shares of Common Stock with respect to vested Performance Shares is subject to the condition precedent that the Participant or other person entitled under
the Plan to receive any shares with respect to the vested Performance Shares deliver to the Corporation any representations or other documents or assurances required pursuant to Section 8.1 of the Plan. The Participant shall have no further
rights with respect to any Performance Shares that are paid or that are terminated pursuant to Section 7. 
  
 7. Effect of Change in Control or Termination of Employment. 
  
 7.1 Effect of Change in Control. In the event of the occurrence, at any time after the Award Date and prior to the end of the Performance Period,
of a dissolution of the Corporation or other event described in Section 7.1 of the Plan (which generally covers certain mergers or similar reorganizations) that the Corporation does not survive (or does not survive as a public company in
respect of its Common Stock) or a Change in Control Event (an “Acceleration Event”), then the Performance Period shall terminate immediately prior to such Acceleration Event, and the number of Performance Shares subject to the Award
that shall vest upon such Acceleration Event shall be determined in accordance with Exhibit A based on the Corporation’s actual performance for the shortened Performance Period. Any Performance Shares subject to the Award that do not vest after
giving effect to the preceding sentence shall terminate as of the occurrence of such Acceleration Event. 
  
 7.2 Effect of Termination of Participant’s Employment or Services. If the Participant ceases to be employed by or ceases to provide services
to the Corporation or a Subsidiary, the following rules shall apply (the last day that the Participant is employed by or provides services to the Corporation or a Subsidiary is referred to as the Participant’s “Severance
Date”): 
  

	 	•	 	 other than as expressly provided below in this Section 7.2, the Participant’s Performance Shares, to the extent unvested on the Severance Date, shall
terminate as of the Severance Date; 

  
  

 2 

	 	•	 	 if the termination of the Participant’s employment or services is the result of the Participant’s death or Total Disability (as defined below),
(a) the Performance Period shall terminate immediately prior to the Severance Date; (b) the Participant’s Performance Shares shall be subject to pro-rata vesting such that the number of Performance Shares subject to the Award that
shall become vested as of the Severance Date shall equal (i) the number of Performance Shares subject to the Award that vest in accordance with Exhibit A based on the Corporation’s actual performance for the shortened Performance Period,
multiplied by (ii) a fraction, the numerator of which shall be the number of days during the original Performance Period the Participant was employed by or rendered services to the Corporation, and the denominator of which shall be the number
of days in the original Performance Period; and (c) any Performance Shares subject to the Award that do not vest in accordance with the foregoing clause (b) shall terminate as of the Severance Date. 

  

	 	•	 	 if the termination of the Participant’s employment or services is the result of the Participant’s Retirement (as defined below), (a) the
Participant’s Performance Shares, to the extent not previously terminated as of the Severance Date, shall continue to be eligible to vest following the Severance Date in accordance with Section 2; (b) the Participant’s
Performance Shares shall be subject to pro-rata vesting such that the number of Performance Shares subject to the Award that shall become vested as of the conclusion of the Performance Period shall equal (i) the number of Performance Shares
subject to the Award that would have vested as of the conclusion of the Performance Period in accordance with Exhibit A (assuming no termination of employment had occurred), multiplied by (ii) a fraction, the numerator of which shall be the
number of days during the Performance Period the Participant was employed by or rendered services to the Corporation, and the denominator of which shall be the number of days in the Performance Period; and (c) any Performance Shares subject to
the Award that do not vest in accordance with the foregoing clause (b) shall terminate as of the last day of the Performance Period. 

  
 If any unvested Performance Shares are terminated hereunder, such Performance Shares shall automatically terminate and be cancelled as of the applicable
termination date without payment of any consideration by the Corporation and without any other action by the Participant, or the Participant’s beneficiary or personal representative, as the case may be. 
  
 For purposes of the Award, “Total Disability” means a
“permanent and total disability” (within the meaning of Section 22(e)(3) of the Code or as otherwise determined by the Administrator). 
  
 For purposes of the Award, “Retirement” means a termination of employment or services by the Participant that occurs both (a) upon
or after the Participant’s attainment of age 60 and (b) upon or after the Participant’s completion of five years of service to the Corporation and its Subsidiaries (such years of service determined in accordance with the rules for
determining years of service under the Corporation’s 401(k) plan). 
  
 8.
Adjustments Upon Specified Events. 
  
 The
Administrator may accelerate payment and vesting of the Performance Shares in such circumstances as it, in its sole discretion, may determine. In addition, upon the occurrence of certain events relating to the Corporation’s stock contemplated
by 

  

 3 

 
Section 7.1 of the Plan (including, without limitation, an extraordinary cash dividend on such stock), the Administrator shall make adjustments in the
number of Performance Shares then outstanding and the number and kind of securities that may be issued in respect of the Award. No such adjustment shall be made with respect to any ordinary cash dividend paid on the Common Stock. Furthermore, the
Administrator shall adjust the performance measures and performance goals referenced in Exhibit A hereof to the extent (if any) it determines that the adjustment is necessary or advisable to preserve the intended incentives and benefits to reflect
(1) any material change in corporate capitalization, any material corporate transaction (such as a reorganization, combination, separation, merger, acquisition, or any combination of the foregoing), or any complete or partial liquidation of the
Corporation, (2) any change in accounting policies or practices, (3) the effects of any special charges to the Corporation’s earnings, or (4) any other similar special circumstances. 
  
 9. Tax Withholding. 
  
 Subject to Section 8.1 of the Plan and such rules and procedures as the
Administrator may impose, upon any distribution of shares of Common Stock in respect of the Award, the Corporation shall automatically reduce the number of shares to be delivered by (or otherwise reacquire) the appropriate number of whole shares,
valued at their then fair market value (with the “fair market value” of such shares determined in accordance with the applicable provisions of the Plan), to satisfy any withholding obligations of the Corporation or its Subsidiaries with
respect to such distribution of shares at the minimum applicable withholding rates; provided, however, that the foregoing provision shall not apply in the event that the Participant has, subject to the approval of the Administrator, made other
provision in advance of the date of such distribution for the satisfaction of such withholding obligations. In the event that the Corporation cannot legally satisfy such withholding obligations by such reduction of shares, or in the event of a cash
payment or any other withholding event in respect of the Award, the Corporation (or a Subsidiary) shall be entitled to require a cash payment by or on behalf of the Participant and/or to deduct from other compensation payable to the Participant any
sums required by federal, state or local tax law to be withheld with respect to such distribution or payment. 
  
 10. Notices. 
  
 Any notice to be given under the terms of this Agreement shall be in writing and addressed to the Corporation at its principal office to the attention of the Secretary, and to the Participant at the Participant’s last address reflected
on the Corporation’s records, or at such other address as either party may hereafter designate in writing to the other. Any such notice shall be given only when received, but if the Participant is no longer an employee of the Corporation, shall
be deemed to have been duly given by the Corporation when enclosed in a properly sealed envelope addressed as aforesaid, registered or certified, and deposited (postage and registry or certification fee prepaid) in a post office or branch post
office regularly maintained by the United States Government. 
  
 11.
Plan. 
  
 The Award and all rights of the Participant
under this Agreement are subject to, and the Participant agrees to be bound by, all of the terms and conditions of the provisions of the Plan, incorporated herein by reference. In the event of a conflict or inconsistency 

  

 4 

 
between the terms and conditions of this Agreement and of the Plan, the terms and conditions of the Plan shall govern. The Participant acknowledges having
read and understanding the Plan, the Prospectus for the Plan, and this Agreement. Unless otherwise expressly provided in other sections of this Agreement, provisions of the Plan that confer discretionary authority on the Administrator do not (and
shall not be deemed to) create any rights in the Participant unless such rights are expressly set forth herein or are otherwise in the sole discretion of the Administrator so conferred by appropriate action of the Administrator under the Plan
after the date hereof. 
  
 12. Construction; Section 409A.

  
 It is intended that the terms of the Award will not
result in the imposition of any tax liability pursuant to Section 409A of the Code. This Agreement shall be construed and interpreted consistent with that intent. Notwithstanding any provision of this Agreement to the contrary, if the
Participant is a “specified employee” as defined in Code Section 409A and, as a result of that status, any portion of the payments under this Agreement would otherwise be subject to taxation pursuant to Code Section 409A, the
Participant shall not be entitled to any payments upon a termination of his employment until the earlier of (i) the date which is six (6) months after his termination of employment for any reason other than death, or (ii) the date of
the Participant’s death; provided the first such payment thereafter shall include all amounts that would have been paid earlier but for such six (6) month delay. The Corporation and the Participant agree to act reasonably and to cooperate
to amend or modify this Agreement to the extent reasonably necessary to avoid the imposition of the tax under Code Section 409A. 
  
 13. Entire Agreement; Applicability of Other Agreements. 
  
 This Agreement and the Plan together constitute the entire agreement and supersede all prior understandings and agreements, written or oral, of the
parties hereto with respect to the subject matter hereof. The Plan and this Agreement may be amended pursuant to Section 8.6 of the Plan. Such amendment must be in writing and signed by the Corporation. The Corporation may, however,
unilaterally waive any provision hereof in writing to the extent such waiver does not adversely affect the interests of the Participant hereunder, but no such waiver shall operate as or be construed to be a subsequent waiver of the same provision or
a waiver of any other provision hereof. Notwithstanding the foregoing, if the Participant is subject to a written employment, change in control or similar agreement with the Corporation that is in effect as of the Participant’s Severance Date
and the Participant would be entitled under the express provisions of such agreement to greater rights with respect to accelerated vesting of the Award in connection with the termination of the Participant’s employment in the circumstances, the
provisions of such agreement shall control with respect to such vesting rights, and the corresponding provisions of this Agreement shall not apply. 
  
 14. Limitation on Participant’s Rights. 
  
 Participation in this Plan confers no rights or interests other than as herein provided. This Agreement creates only a contractual obligation on the part
of the Corporation as to amounts payable and shall not be construed as creating a trust. Neither the Plan nor any underlying program, in and of itself, has any assets. The Participant shall have only the rights of a general unsecured creditor of the
Corporation (or applicable Subsidiary) with respect to amounts credited and benefits payable in cash, if any, with respect to the Performance Shares, and rights no greater than the right to receive the Common Stock (or equivalent value) as a general
unsecured creditor with respect to Performance Shares, as and when payable thereunder. 
  

 5 

 15. Counterparts. 
  

This Agreement may be executed simultaneously in any number of counterparts, each of which shall be deemed an original but all of which together shall
constitute one and the same instrument. 
  
 16. Section Headings.

  
 The section headings of this Agreement are for
convenience of reference only and shall not be deemed to alter or affect any provision hereof. 
  
 17. Governing Law. 
  
 This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Maryland without regard to conflict of law principles thereunder. 
  
  

 6 

 EXHIBIT A 
  

PERFORMANCE GOALS 
  
 Subject to Section 7 of the Terms, the Award shall vest and become nonforfeitable with respect to the “Applicable Percentage” of the total
number of Performance Shares subject to the Award (subject to adjustment under Section 7.1 of the Plan) set forth in the chart below based on the Corporation’s Relative TSR Performance (as each such term is defined below) for the
Performance Period; provided, however, that, notwithstanding the foregoing, if the Corporation’s TSR for the Performance Period is less than zero percent (0%), the Applicable Percentage shall be fifty percent (50%): 
  

				
	 Relative TSR Performance

	  	Applicable
Percentage

	 
	 100th
Percentile
	  	200	%
	 90th
Percentile
	  	170	%
	 80th
Percentile
	  	140	%
	 70th
Percentile
	  	110	%
	 60th
Percentile
	  	80	%
	 50th
Percentile or Less
	  	50	%

  
 If the Corporation’s Relative TSR Performance for the Performance Period is between two of the performance levels indicated above, the Applicable Percentage of the Performance Shares that will vest will be
determined on a linear basis. For example, if the Corporation’s Relative TSR Performance for the Performance Period were at the 95th percentile, then 185% of the Performance Shares would vest. Any Performance Shares that do not vest based on the performance requirements set forth in this Exhibit A will automatically terminate as of the last day of the
Performance Period. 
  
 For purposes of the Award, the following
definitions shall apply: 
  

	 	•	 	 “TSR” means, with respect to the Corporation or any other entity: (a) the change in the market price of its common stock (as quoted on the
principal market on which it is traded and based on the average of the market price for the twenty (20) consecutive trading days immediately preceding the beginning of the Performance Period and for the twenty (20) consecutive trading days
ending with the last day of the Performance Period) plus reinvested dividends and other distributions paid with respect to the common stock during the Performance Period, divided by (b) the average of the market price of the common stock for
the twenty (20) consecutive trading days immediately preceding the beginning of the Performance Period, all of which is subject to adjustment as provided in Section 8 of the Terms; 

  

	 	•	 	 “Relative TSR Performance” means the Corporation’s relative TSR ranking for the Performance Period compared to the TSR ranking of the
individual companies comprising the NAREIT Index as of December 31, 2006 for the Performance Period. 

  

 7

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