Document:

Exhibit

Exhibit 10.15
 
POOLING AGREEMENT
 
THIS POOLING AGREEMENT (this “Agreement”) is made as of April 23, 2012, by and among Sonesta International Hotels Corporation (“Manager”) and the parties listed on Schedule A (each an “Owner” and collectively, “Owners”).
 
RECITALS:
 
Each Owner has entered into a Management Agreement with Manager (each a “Management Agreement” and collectively, the “Management Agreements”) with respect to the real estate and personal property described in Schedule B opposite such Owner’s name which is operated as a full service or a limited service hotel (each a “Hotel” and collectively, the “Hotels”), which Management Agreements are listed on Schedule C.
 
The parties desire that working capital of each of the Hotels and all revenues from operation of each of the Hotels be pooled for purposes of paying operating expenses of the Hotels, fees and other amounts due to Manager and Owners.
 
NOW, THEREFORE, the parties agree as follows:
 
ARTICLE I 
DEFINED TERMS
 
1.01.                     Definitions.  Capitalized terms used, but not otherwise defined in this Agreement shall have the meanings given to such terms in the Management Agreements. The following capitalized terms as used in this Agreement shall have the meanings set forth below:
 
“Additional Hotel” is defined in Section 7.01.
 
“Additional Owner” is defined in Section 7.01.
 
“Agreement” is defined in the Preamble.
 
“Aggregate Additional Manager Advances” means the sum of Additional Manager Advances under all Management Agreements.
 
“Aggregate Annual Operating Statement” is defined in Article IV.
 
“Aggregate Base Management Fee” means an amount equal to 3% of the Aggregate Gross Revenues attributable to full service Hotels and 5% of the Aggregate Gross Revenues attributable to limited service Hotels.
 
“Aggregate Deductions” means the sum of Deductions of the Hotels.
 
“Aggregate Gross Room Revenues” mean the sum of Gross Room Revenues of the Hotels.

“Aggregate Gross Revenues” means the sum of Gross Revenues of the Hotels.

  “Aggregate Incentive Management Fee” means with respect to each Year or portion thereof, an amount equal to twenty percent (20%) of Aggregate Operating Profit remaining after deducting amounts paid or payable in respect of Aggregate Owner’s Priority Return and Aggregate Reimbursable Advances for such Year; provided that for purposes of determining the Aggregate Incentive Management Fee, Aggregate Operating Profit shall be determined based upon ninety-five percent (95%) of Aggregate Gross Revenues.
 
“Aggregate Invested Capital” means the sum of the Invested Capital for each of the Hotels.
 
“Aggregate Monthly Statement” is defined in Article IV.
 
“Aggregate Operating Profit” means an amount equal to Aggregate Gross Revenues less Aggregate Deductions.
 
“Aggregate Owner Advances” means the sum of Owner Advances under all Management Agreements.
 
“Aggregate Owner’s Priority” means, for each Year or portion thereof, an amount equal to eight percent (8%) of Aggregate Invested Capital.
 
“Aggregate Owner’s Residual Payment” means with respect to each Year or portion thereof, an amount equal to Aggregate Operating Profit remaining after deducting amounts paid or payable in respect of Aggregate Owner’s Priority, Aggregate Reimbursable Advances and the Aggregate Incentive Management Fee for such Year.
 
“Aggregate Reservation Fee” means for each Year or portion thereof, an amount equal to one and one-half percent (1.5%) of Aggregate Gross Room Revenues.
 
“Aggregate Reimbursable Advances” means the sum of Reimbursable Advances of the Hotels.
 
“Aggregate System Fee” means with respect to each Year or portion thereof, an amount equal to one and one-half percent (1.5%) of Aggregate Gross Revenues.
 
“Hotel” and “Hotels” is defined in the Recitals.
 
“Landlord(s)” means the owner of the Hotel(s) set forth on Exhibit B.
 
“Management Agreement” and “Management Agreements” is defined in the Recitals.
 
“Manager” is defined in the Preamble.
 
“Marketing Party” is defined in Section 5.01.
 
“Non-Economic Hotel” is defined in Section 5.01.
 
“Non-Marketing Party” is defined in Section 5.02.
 
“Owner” and “Owners” are defined in the Preamble.
 
ARTICLE II 
GENERAL
 
The parties agree that so long as a Hotel is subject to this Agreement, all Working Capital and all Gross Revenues of such Hotel shall be pooled pursuant to this Agreement and disbursed to pay all Aggregate Disbursements, fees and other amounts due Manager and Owners (not including amounts due pursuant to Section 11.20 of the Management Agreements) with respect to the Hotels and that the corresponding provisions of each Management Agreement shall be superseded as provided in Section 3.03.  The parties further agree that (a) if Manager gives a notice of non-renewal of the Term with respect to any Hotel, it shall be deemed to be a notice of non-renewal of the Term with respect to all the Hotels and (b) if Owner gives notice of termination of any Management Agreement without cause pursuant to Section 2.02 1. of the Management Agreements, or upon a Change in Control of Manager pursuant to Section 2.02 4. of the Management Agreements, or if Manager gives notice of termination of any Management Agreement upon a Change in Control of Owner pursuant to Section 2.02 3. of the Management Agreements, in any such case, it shall be deemed to be a notice of termination with respect to all Management Agreements.
 
ARTICLE III 
PRIORITIES FOR 
DISTRIBUTION OF AGGREGATE GROSS REVENUES
 
3.01.                     Priorities for Distribution of Aggregate Gross Revenues.  Aggregate Gross Revenues shall be distributed in the following order of priority:
 
A.                                    First, to pay all Aggregate Deductions (excluding the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee);
 
B.                                    Second, to Manager, an amount equal to the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee;
 
C.                                    Third, to Owners, an amount equal to Aggregate Owner’s Priority;

D.                                    Fourth, pari passu, to (i) Owners, in an amount necessary to reimburse Owners for all Aggregate Owner Advances which have not yet been repaid pursuant to this Section 3.01, and (ii) to Manager, in an amount necessary to reimburse Manager for all Aggregate Additional Manager Advances which have not yet been repaid pursuant to this Section 3.01.  If at any time the amounts available for distribution to Owners and Manager pursuant to this Section 3.01 are insufficient (a) to repay all outstanding Aggregate Owner Advances, and (b) all outstanding Aggregate Additional Manager Advances, then Owner and Manager shall be paid from such amounts the amount obtained by multiplying a number equal to the amount of the funds available for distribution by a fraction, the numerator of which is the sum of all outstanding Aggregate Owner Advances, or all outstanding Aggregate Additional Manager Advances, as the case may be, and the denominator of which is the sum of all outstanding Aggregate Owner Advances plus the sum of all outstanding Aggregate Additional Manager Advances;
 
E.                                     Fifth, to Manager, an amount equal to the Aggregate Incentive Management Fee;
 
F.                                      Finally, to Owners, the Aggregate Owner’s Residual Payment.
 
3.02.                     Timing of Payments.  Payment of the Aggregate Deductions, excluding the Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee, shall be made in the ordinary course of business.  The Aggregate Base Management Fee, the Aggregate Reservation Fee and the Aggregate System Fee shall be paid on the last Business Day of each calendar month, in arrears, based upon the prior month’s Aggregate Gross Revenues or Aggregate Gross Room Revenues, as the case may be, as reflected in the Aggregate Monthly Statement for such prior month.  The Aggregate Owner’s Priority shall be paid on the last Business Day of each calendar month, in arrears, in equal monthly installments, based upon Aggregate Invested Capital most recently reported to Manager by Owners.  If any installment of the Aggregate Base Management Fee, the Aggregate Reservation Fee, the Aggregate System Fee or the Aggregate Owner Priority is not paid when due, it shall accrue interest at the Interest Rate. The Aggregate Incentive Fee and Aggregate Owner’s Residual Payment shall be paid on the last Business Day of the calendar month following the calendar quarter to which such Aggregate Incentive Fee and/or Aggregate Owner’s Residual Payment relates, in arrears, based upon the year-to-date Aggregate Operating Profit as reflected in the Aggregate Monthly Statement for the last calendar month of such calendar quarter and shall be adjusted, after the first calendar quarter, to reflect distributions for prior calendar quarters.  Additional adjustments to all payments will be made on an annual basis based upon the Aggregate Annual Operating Statement for the Year and any audit conducted pursuant to Section 4.02 of the Management Agreements.
 
If the portion of Aggregate Gross Revenues to be distributed to Manager or Owner pursuant to Section 3.01 is insufficient to pay amounts then due in full, any amounts left unpaid shall be paid from and to the extent of Aggregate Gross Revenues available therefor at the time distributions are made in successive calendar months until such amounts are paid in full, together with interest thereon, if applicable, and such payments shall be made from such available Aggregate Gross Revenues in the same order of priority as other payments made on account of such items in successive calendar months.
 
Calculations and payments of the fees and other payments in Section 3.01 and distributions of Aggregate Gross Revenues within a Year shall be accounted for cumulatively within a Year, but shall not be cumulative from one Year to the next.  Calculations and payments of Aggregate Reimbursable Advances shall be accounted for cumulatively within a Year, and shall be cumulative from one Year to the next.
 
The Aggregate Owner’s Priority and Aggregate Owner’s Residual Payment shall be allocated among Owners as the Owners shall determine in their sole discretion and Manager shall have no responsibility or liability in connection therewith.
 
3.03.                     Relationship with Management Agreements.  For as long as this Agreement is in effect with respect to a Hotel, the provisions of Section 3.01 and 3.02 shall supersede Sections 3.02 and 3.03 of the Management Agreement then in effect with the applicable Hotel.
 
ARTICLE IV 
FINANCIAL STATEMENTS
 
Manager shall prepare and deliver the following financial statements to the Owners:
 
(a)                            Within twenty (20) days after the close of each calendar month, Manager shall deliver an accounting to Owner showing Aggregate Gross Revenues, Aggregate Gross Room Revenues, occupancy percentage and average daily rate, Aggregate Deductions, Aggregate Operating Profit, and applications and distributions thereof for the preceding calendar month and year-to-date (“Aggregate Monthly Statement”).
 
(b)                            Within sixty (60) days after the end of each Year, Manager shall deliver to Owner and Landlord a statement (the “Aggregate Annual Operating Statement”) in reasonable detail summarizing the operations of the Hotels for the immediately preceding Year and an Officer’s Certificate setting forth the totals of Aggregate Gross Revenues, Aggregate Deductions, and the calculation of the Aggregate Incentive Management Fee and Aggregate Owner’s Residual Payment for the preceding Year and certifying that such Aggregate Annual Operating Statement is true and correct.  Manager and Owner shall, within ten (10) Business Days after Owner’s receipt of such statement, make any adjustments, by cash payment, in the amounts paid or retained for such Year as are required because of variances between the Aggregate Monthly Statements and the Aggregate Annual Operating Statement.  Any payments shall be made together with interest at the Interest Rate from the date such amounts were due or paid, as the case may be, until paid or repaid.  The Aggregate Annual Operating Statement shall be controlling over the Aggregate Monthly Statements and shall be final, subject to adjustments required as a result of an audit requested by Owner or Landlord pursuant to Section 4.02.B of the Management Agreements.
 
(c)                             Manager shall also prepare and deliver such other statements or reports as any Owner may, from time to time, reasonably request.
 
The financial statements delivered pursuant to this Article IV are in addition to any financial statements required to be prepared and delivered pursuant to the Management Agreements.
 
ARTICLE V 
NON-ECONOMIC HOTELS
 
5.01.                     Non-Economic Hotels.  If the Gross Revenues of any Hotel are insufficient to pay the Owner’s Priority for such Hotel in full during any two (2) out of four (4) consecutive Years, each of Manager and the relevant Owner shall, upon thirty (30) days notice to the other, be entitled to designate such Hotel a “Non-Economic Hotel.”  Notwithstanding the foregoing, Manager and Owners shall not be entitled to designate Hotels for which the Invested Capital in the aggregate would exceed twenty percent (20%) of Aggregate Invested Capital and further provided for purposes of this Section 5.01 only, Aggregate Invested Capital shall be determined without giving effect to the termination of the Management Agreement of a Non-Economic Hotel and without reduction for proceeds from the sale, or deemed sale, of any Non-Economic Hotel.
 
The party designating a Hotel as a Non-Economic Hotel (“Marketing Party”) shall market such Non-Economic Hotel for sale and any costs incurred by the Marketing Party or any other Person in connection with such marketing activities and the sale of such Hotel shall be paid out of the net proceeds of such sale.  The relevant Owner, Landlord and Manager, as the case may be, shall cooperate with the Marketing Party in compiling any relevant information, preparing marketing materials and otherwise in connection with the sale of a Non-Economic Hotel.
 
5.02.                     Sale Process.  If a Non-Economic Hotel is marketed for sale in accordance with Section 5.01 and the Marketing Party receives an offer therefor which it wishes to accept on behalf of the relevant Owner and relevant Landlord, the Marketing Party shall give the relevant Owner, or the Manager, as the case may be (the “Non-Marketing Party”), prompt notice thereof, which notice shall include a copy of the offer and any other information reasonably requested by the non-Marketing Party.  If Manager is the Non-Marketing Party, Manager shall have a right of first refusal to purchase such Non-Economic Hotel on the terms of the offer by notice given to the Marketing Party within seven (7) Business Days after receipt of such notice and other information from the Marketing Party.  If an Owner is the Non-Marketing Party, such Owner, on behalf of the relevant Landlord, may reject the offer by notice given to the Marketing Party within seven (7) Business Days after receipt of such notice and other information from the Marketing Party, in which event the Non-Economic Hotel shall be deemed to have been sold to the relevant Landlord on the date, at the price and on the other terms contained in the offer.  If a Non-Economic Hotel is sold to a third party or deemed to have been sold to the relevant Landlord, in each case pursuant to such offer, effective as of the date of sale or deemed sale: (i) the Management Agreement shall terminate with respect to such Non-Economic Hotel; (ii) the Aggregate Invested Capital shall be reduced by an amount equal to the net proceeds of sale after reduction for the costs and expenses of the relevant Landlord, relevant Owner and/or Manager (or, in the case of a deemed sale, the net proceeds of sale determined by reference to such offer, after reduction for any amounts actually expended and any amounts which would reasonably have been expected to have been expended if the sale had been consummated, by the relevant Owner, relevant Landlord and/or Manager).  If the reduction of Aggregate Invested Capital is less than the Invested Capital of the Non-Economic Hotel sold or deemed sold, the difference shall be proportionately reallocated to the Invested Capital of the remaining Hotels.
 
ARTICLE VI 
ACCOUNTS
 
All Working Capital and all Gross Revenues of each of the Hotels may be pooled and deposited in one or more bank accounts in the name(s) of Owners designated by Manager, which accounts may, except as required by any Mortgage and related loan documentation or applicable law, be commingled accounts containing other funds owned by or managed by Manager.  Manager shall be authorized to access the accounts without the approval of Owners, subject to any limitation on the maximum amount of any check, if any, established between Manager and Owners as part of the Annual Operating Projections.  One or more Owners shall be a signatory on all accounts maintained with respect to the Hotel, and Owners shall have the right to require that one or more Owner’s signature be required on all checks/withdrawals after the occurrence of an Event of Default by Manager.  The Owners shall provide such instructions to the applicable bank(s) as are necessary to permit Manager to implement the Manager’s rights and obligations under this Agreement.  The failure of any Owner to provide such instructions shall relieve Manager of its obligations hereunder until such time as such failure is cured.
 
ARTICLE VII 
ADDITION AND REMOVAL OF HOTELS
 
7.01.                     Addition of Hotels.  At any time and from time to time, Manager and any Owner or any Affiliate of an Owner (an “Additional Owner”) which enters into a management agreement with Manager for the operation of an additional Hotel (an “Additional Hotel”), the Additional Owner may become a party to this Agreement by signing an accession agreement confirming the applicability of this Agreement to such Additional Hotel.  If an Additional Hotel is made subject to this Agreement other than on the first day of a calendar month, the parties shall include such prorated amounts of the Gross Revenues and Deductions (and other amounts as may be necessary) applicable to the Additional Hotel for such calendar month, as mutually agreed in their reasonable judgment, in the calculation of Aggregate Gross Revenues and Aggregate Deductions (and other amounts as may be necessary) for the calendar month in which the Additional Hotel became subject to this Agreement and shall make any other prorations, adjustments, allocations and changes required.  Additionally, any amounts held as Working Capital for the Additional Hotel or to fund capital expenditures, if any, shall be held by Manager under this Agreement.
 
7.02.                     Removal of Hotels.  From and after the date of termination of any Management Agreement, the Hotel managed thereunder shall no longer be subject to this Agreement.  If the termination occurs on a day other than the last day of a calendar month, the parties shall exclude such prorated amounts of the Gross Revenues and Deduction (and other amounts as may be necessary) applicable to such Hotel for such calendar month, as mutually agreed in their reasonable judgment, in the calculation of Aggregate Gross Revenues and Aggregate Deductions (and other amounts as may be necessary) for the calendar month in which the termination occurred.  Additionally, the relevant Owner and Manager, both acting reasonably, shall mutually agree to the portion of the Aggregate Working Capital and Aggregate Gross Revenues allocable to the Hotel being removed from this Agreement and the amount of the Aggregate Working Capital, Aggregate Gross Revenues so allocated and any amounts held to fund capital expenditures, shall be remitted to the relevant Owner and the relevant Owner and Manager shall make any other prorations, adjustments, allocations and changes required.
 
ARTICLE VIII 
TERM AND TERMINATION
 
8.01.                     Term.  This Agreement shall continue and remain in effect indefinitely unless terminated pursuant to Section 8.02.
 
8.02.                     Termination.  This Agreement may be terminated as follows:
 
(a)                            By the mutual consent of Manager and Owners which are parties to this Agreement.
 
(b)                            Automatically, if all Management Agreements terminate or expire for any reason.
 
(c)                             By Manager, if any or all Owners do not cure a material breach of this Agreement by any Owner or Landlord within thirty (30) days of written notice of such breach from Manager and if such breach is not cured, it shall be an Owner Event of Default under the Management Agreements.
 
(d)                            By Owners, if Manager does not cure a material breach of this Agreement by Manager within thirty (30) days of written notice of such breach from any Owner and if such breach is not cured, it shall be a Manager Event of Default under the Management Agreements.
 
8.03.                     Effect of Termination.  Upon the termination of this Agreement, except as otherwise provided in Section 2.02.1. or 9.04.B. of the Management Agreements, Manager shall be compensated for its services only through the date of termination and all amounts remaining in any accounts maintained by Manager pursuant to Article VI, after payment of such amounts as may be due to Manager hereunder, shall be distributed to Owners.  Notwithstanding the foregoing, upon the termination of any single Management Agreement, pooled funds shall be allocated as described in Section 7.02.
 
8.04.                     Survival.  The following Sections of this Agreement shall survive the termination of this Agreement:  8.03 and Article IX.
 
ARTICLE IX 
MISCELLANEOUS PROVISIONS
 
9.01.                     Notices.  All notices, demands, consents, approvals, and requests given by any party to another party hereunder shall be in writing and shall be deemed to have been duly given when delivered in person, upon confirmation of receipt when transmitted by facsimile transmission, or on the next business day if transmitted by nationally recognized overnight courier, to the parties at the following addresses:
 
To Owners:
 
Cambridge TRS, Inc.
Two Newton Place
225 Washington Street
Newton, Massachusetts 02458
Attn:  President
Facsimile:
 
To Manager:
 
Sonesta International Hotels Corporation
Two Newton Place
225 Washington Street
Newton, Massachusetts 02458
Attn:  President
Facsimile:
 
9.02.                     Applicable Law; Arbitration.  This Agreement shall be interpreted, construed, applied and enforced in accordance with the laws of the Commonwealth of Massachusetts, with regard to its “choice of law” rules.  Any “Dispute” (as such term is defined in the Management Agreements) under this Agreement shall be resolved through final and binding arbitration conducted in accordance with the procedures and with the effect of, arbitration as provided for in the Management Agreements.
 
9.03.                     Severability.  If any term or provision of this Agreement or the application thereof in any circumstance is held invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions hereof shall not be in any way impaired, unless the provisions held invalid, illegal or unenforceable shall substantially impair the benefits of the remaining provisions hereof.
 
9.04.                     Gender and Number.  Whenever the context of this Agreement requires, the gender of all words herein shall include the masculine, feminine, and neuter, and the number of all words herein shall include the singular and plural.
 
9.05.                     Headings and Interpretation.  The descriptive headings in this Agreement are for convenience of reference only and shall not affect in any way the meaning or interpretation of this Agreement.  References to “Section” in this Agreement shall be a reference to a Section of this Agreement unless otherwise indicated.  Whenever the words “include,” “includes” or “including” are used in this Agreement they shall be deemed to be followed by “without limitation.”   The words “hereof,” “herein,” “hereby,” and “hereunder, when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision unless otherwise indicated.  The word “or” shall not be exclusive.  This Agreement shall be construed without regard to any presumption or rule requiring construction or interpretation against the party drafting.
 
9.06.                     Confidentiality of Information.  Any information exchanged between the Manager and each Owner pursuant to the terms and conditions of this Agreement shall be subject to Section 11.07 of the Management Agreements.
 
9.07.                     Assignment.  Neither Manager nor any Owner may assign its rights and obligations under this Agreement to any other Person without the prior written consent of the other parties.
 
9.08.                     Entire Agreement; Construction; Amendment.  With respect to the subject matter hereof, this Agreement supersedes all previous contracts and understandings between the parties and constitutes the entire Agreement between the parties with respect to the subject matter hereof.  Accordingly, in the event of any conflict between the provisions of this Agreement and the Management Agreements, the provisions of this Agreement shall control, and the provisions of the Management Agreements are deemed amended and modified, in each case as required to give effect to the intent of the parties in this Agreement.  All other terms and conditions of the Management Agreements shall remain in full force and effect; provided that, to the extent that compliance with this Agreement shall cause a default, breach or other violation of the Management Agreement by one party, the other party waives any right of termination, indemnity, arbitration or otherwise under the Management Agreement related to that specific default, breach or other violations, to the extent caused by compliance with this Agreement.  This Agreement may not be modified, altered or amended in any manner except by an amendment in writing, duly executed by the parties hereto.
 
9.09.                     Third Party Beneficiaries.  The terms and conditions of this Agreement shall inure to the benefit of, and be binding upon, the respective successors, heirs, legal representatives or permitted assigns of each of the parties hereto and except for Landlord(s), which are intended third party beneficiaries, no Person other than the parties hereto and their successors and permitted assigns is intended to be a beneficiary of this Agreement.
 
[Signatures begin on the following page.]
 

IN WITNESS WHEREOF, the parties hereto have executed and delivered this Agreement with the intention of creating an instrument under seal.
 
	
			
	 
	SONESTA INTERNATIONAL HOTELS CORPORATION

	 
	 

	 
	 

	 
	By:
	/s/ William J. Sheehan

	 
	 
	William J. Sheehan

	 
	 
	Chairman and Chief Executive Officer

	 
	 
	 

	 
	 
	 

	 
	CAMBRIDGE TRS, INC.

	 
	 

	 
	 

	 
	By:
	/s/ John G. Murray

	 
	 
	John G. Murray

	 
	 
	President and Chief Operating Officer

 
 

Schedule A
 
Owners
 
Cambridge TRS, Inc.

Schedule B
 
(amended and restated as of December 5, 2016)
 
Hotels
 
	
			
	Owner
	Hotel
	Landlord

	Cambridge TRS, Inc.
	Royal Sonesta Cambridge 
40 Edwin Land Boulevard 
Cambridge, MA  02142 
(effective January 31, 2012)
	HPT Cambridge LLC

	 
	Sonesta Hilton Head Resort
130 Shipyard Drive
Hilton Head, SC  29928
(effective April 27, 2012)

	HPT IHG-2 Properties Trust

	 
	Royal Sonesta Harbor Court Baltimore 
550 Light Street 
Baltimore, MD 
(effective May 31, 2012)

	Harbor Court Associates, LLC

	 
	Sonesta ES Suites Burlington
11 Old Concord Road
Burlington, MA 
(effective June 12, 2012) 

	HPT IHG-2 Properties Trust

	 
	Sonesta Hotel Philadelphia
1800 Market Street
Philadelphia, PA 
(effective June 18, 2012)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Orlando 
8480 International Drive 
Orlando, FL 
(effective July 9, 2012)
	HPT IHG-2 Properties Trust

	 
	Royal Sonesta Houston Hotel 
2222 West Loop South
Houston, TX 
(effective July 16, 2012)

	HPT IHG-2 Properties Trust

	
			
	 
	Sonesta ES Suites Andover 
4 Technology Drive 
Andover, MA 
(effective July 25, 2012)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Parsippany 
61 Interpace Parkway 
Parsippany, NJ 
(effective July 30, 2012)

	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Somerset 
260 Davidson Avenue 
Somerset, NJ 
(effective August 1, 2012)

	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Princeton 
4375 U.S. Route 1 South 
Princeton, NJ 
(effective August 3, 2012)

	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Malvern 
20 Morehall Road 
Malvern, PA 
(effective August 6, 2012)

	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Dublin 
435 Metro Place South 
Dublin, OH 
(effective August 11, 2012)
	HPTMI Properties Trust

	 
	Sonesta ES Suites Flagstaff 
3440 Country Club Drive 
Flagstaff, AZ 
(effective August 11, 2012)

	HPTMI Properties Trust

	 
	Sonesta ES Suites Houston 
5190 Hidalgo Street
Houston, TX 
(effective August 13, 2012)

	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Columbia 
8844 Columbia 100 Parkway 
Columbia, MD 
(effective August 14, 2012)
	HPT IHG-2 Properties Trust

	
			
	 
	Sonesta ES Suites Charlotte 
7925 Forest Pine Drive 
Charlotte, NC 
(effective August 16, 2012)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Atlanta 
760 Mt. Vernon Highway, N.E. 
Atlanta, GA 
(effective August 20, 2012)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites St. Louis 
1855 Craigshire Road 
St. Louis, MO 
(effective August 22, 2012)
	HPT IHG-2 Properties Trust

	 
	Sonesta Gwinnett Place 
1775 Pleasant Hill Road
Duluth, GA
(effective May 17, 2013)

	HPT Cambridge LLC

	 
	Royal Sonesta New Orleans 
300 Bourbon Street 
New Orleans, LA 70130 
(effective June 28, 2013)

	Royal Sonesta, Inc.

	 
	Sonesta Fort Lauderdale 
999 North Fort Lauderdale                                                   Beach Boulevard 
Fort Lauderdale, FL 
(effective May 30, 2014)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Tucson 
6477 East Speedway Boulevard Tucson, AZ 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Colorado Springs 
3880 North Academy Boulevard Colorado Springs, CO 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Minneapolis 
3040 Eagandale Place 
Eagan, MN 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Omaha 
6990 Dodge Street 
Omaha, NE 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Princeton 
4225 US Highway 1 
South Brunswick - Princeton, NJ 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Somers Point 
900 Mays Landing Road 
Somers Point, NJ 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Cinncinati 
2670 Kemper Road  
Sharonville, OH 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Oklahoma City 
4361 West Reno Avenue Oklahoma City, OK 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Burlington 
35 Hurricane Lane 
Williston, VT 
(effective July 23, 2015)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Cleveland Airport 
1725 Rosbough Drive 
Middleburg Heights, OH 
(effective February 1, 2016)
	HPT IHG-2 Properties Trust

	 
	Sonesta ES Suites Westlake 
30100 Clemens Road 
Westlake, OH 
(effective February 1, 2016)
	HPT IHG-2 Properties Trust

	 
	Sonesta Silicon Valley 
1820 Barber Lane 
Milpitas, CA 
(effective December 5, 2016)
	HPT IHG-2 Properties Trust

Schedule C
 
(amended and restated as of December 5, 2016)
 
Management Agreements
 
Management Agreement between Sonesta Acquisition Corp. (now known as Sonesta International Hotels Corporation) and Cambridge TRS, Inc., dated as of January 31, 2012.
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of April 23, 2012 (effective April 27, 2012).  (Hilton Head, SC)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of May 31, 2012.  (Baltimore, MD)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of June 12, 2012.  (Burlington, MA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of June 18, 2012.  (Philadelphia, PA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 6, 2012 (effective July 9, 2012).  (Orlando, FL).
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 16, 2012 (effective July 16, 2012).  (Houston, TX)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 25, 2012 (effective July 25, 2012).  (Andover, MA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 27, 2012 (effective August 6, 2012).  (Malvern, PA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 30, 2012 (effective July 30, 2012).  (Parsippany, NJ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 30, 2012 (effective August 1, 2012).  (Somerset, NJ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 30, 2012 (effective August 3, 2012).  (Princeton, NJ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 11, 2012).  (Dublin, OH)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 11, 2012).  (Flagstaff, AZ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 13, 2012).  (Houston, TX)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 14, 2012).  (Columbia, MD)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 16, 2012).  (Charlotte, NC)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 20, 2012).  (Atlanta, GA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of August 6, 2012 (effective August 22, 2012).  (St. Louis, MO)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of February 21, 2013 (effective May 17, 2013).  (Duluth, GA)
Amended and Restated Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of June 28, 2013.  (New Orleans, LA)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of May 30, 2014 (effective May 30, 2014).  (Fort Lauderdale, FL)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Tucson, AZ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Colorado Springs, CO)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Minneapolis, MN)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Omaha, NE)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Princeton, NJ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Somers Point, NJ)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Cincinnati, OH)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Oklahoma City, OK)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of July 23, 2015 (effective July 23, 2015).  (Burlington, VT)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of February 1, 2016 (effective February 1, 2016).  (Middleburg Heights, OH)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of February 1, 2016 (effective February 1, 2016).  (Westlake, OH)
Management Agreement between Sonesta International Hotels Corporation and Cambridge TRS, Inc., dated as of December 5, 2016 (effective December 5, 2016).  (Milpitas, CA)

1Exhibit

Exhibit 10.71

THIRD AMENDMENT TO MANAGEMENT AGREEMENT

THIS THIRD AMENDMENT TO MANAGEMENT AGREEMENT (this “Amendment”) is made and entered into as of February 1, 2017 by and among HPT TRS IHG-2, INC. (“Owner”), a Maryland corporation (for itself and as successor by merger to HPT TRS IHG-1, Inc. and HPT TRS IHG-3, Inc.), and INTERCONTINENTAL HOTELS GROUP RESOURCES, INC. (“Resources”), a Delaware corporation, IHG MANAGEMENT (MARYLAND) LLC (“Maryland”), a Maryland limited liability company, and INTERCONTINENTAL HOTELS GROUP (CANADA), INC. (“Canada”), a corporation under the laws of Ontario, Canada (Resources, Maryland and Canada, collectively, “Manager”).

W I T N E S S E T H

WHEREAS, Owner and Manager are parties to that certain Management Agreement, dated as of July 1, 2011, as amended by that certain Amendment to Management Agreement, dated as of March 16, 2015 (the “First Amendment”), and that certain Second Amendment to Management Agreement, dated as of February 11, 2016 (as so amended, the “Management Agreement”), pursuant to which Manager manages and operates certain hotels for Owner’s account as provided therein; and

WHEREAS, Owner and Manager desire to amend certain terms of the Management Agreement to address the operation of hotels owned by Owner or affiliates of Owner and operated by affiliates of Manager pursuant to separate hotel operating agreements, including, without limitation, the Kimpton Hotel Allegro Chicago having an address at 171 West Randolph Street, Chicago, Illinois, which is being operated as of the date hereof pursuant to an Amended and Restated Management Agreement between Owner and KHRG Allegro, LLC, an affiliate of Manager (the “Kimpton Hotel Allegro Chicago”); and

NOW, THEREFORE, in consideration of the mutual promises and covenants herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Owner and Manager, intending to be legally bound, herby agree, effective from and after the date hereof, as follows:

1.Capitalized Terms.  Capitalized terms used in this Amendment and not otherwise defined herein shall have the meanings given such terms in the Management Agreement.

2.Amendments to Management Agreement.  The following provisions in the Management Agreement are amended as follows:

		
	a.
	The following new definitions are inserted in Article 1 of the Management Agreement:

“Affiliate Hotel” means a hotel which is not managed by Manager under this Agreement, but which is managed by an Affiliate Manager pursuant to an Affiliate Management Agreement and set forth on an Affiliate Hotel Designation Supplement signed by Owner, Manager, the applicable Affiliate Owner (if other than Owner) and the applicable Affiliate Manager for such hotel; provided that to the extent the Affiliate Management Agreement for any such hotel is terminated, such hotel shall no longer constitute an Affiliate Hotel after the date of such termination.

“Affiliate Hotel Designation Supplement” means Exhibit “A” to the Third Amendment to this Agreement, as such Exhibit may be amended from time to time.”

“Affiliate Management Agreement” shall mean any hotel management agreement or hotel operating agreement pursuant to which an Affiliate Manager manages an Affiliate Hotel, as such agreement may be amended from time to time. 

“Affiliate Manager” shall mean any Affiliate of Manager or IHG (including, without limitation, Kimpton Hotel & Restaurant Group, LLC or any of its Affiliates) which manages an Affiliate Hotel. 

“Affiliate Owner” shall mean any Affiliate of Owner or HPT which owns an Affiliate Hotel. 

“System Fees”  shall mean, collectively, the various fees contemplated under Section 9.2.

		
	b.
	The definition of “Effective Date” set forth in Section 1.38 of the Agreement (as amended by Section 3 of the First Amendment) is deleted in its entirety and restated as follows:

“Effective Date” shall mean (a) with respect to the Pool A Hotels, July 1, 2011; (b) with respect to each Pool B Hotel, the effective date set forth in the applicable Site Designation Supplement with respect to such Pool B Hotel; and (c) with respect to each Affiliate Hotel, the effective date set forth in the applicable Affiliate Hotel Designation Supplement for such Affiliate Hotel”.

		
	c.
	The definition of “Operating Profit” set forth in Section 1.75 of the Agreement is amended such that (i) the word “Hotel” is deleted and the phrase “Hotel or Affiliated Hotel” is inserted in lieu thereof and (ii) the word “Hotels” is deleted and the phrase “Hotels and Affiliated Hotels” is inserted in lieu thereof.

		
	d.
	The definition of “Owner’s First Priority” inserted by Section 6 of the First Amendment is amended to delete the phrase “Pool B Hotel” located at the end of the first sentence thereof and replace it with the phrase “Pool B Hotel or Affiliate Hotel.”

		
	e.
	The definition of “Owner’s Pool B Priority” inserted by Section 7 of the First Amendment is deleted in its entirety and restated as follows (with changes shown in double underline):

 “Owner’s Pool B Priority” shall mean an aggregate amount equal to the sum of (a) that certain percentage of the aggregate sum of all amounts expended by Owner or Landlord or any of their Affiliates in connection with its acquisition of any Pool B Hotel or any Affiliate Hotel, as such percentage (the “Pool B Hotel Percentage”) and amount is confirmed by Owner and Manager for each Pool B Hotel in the applicable Site Designation Supplement for such Pool B Hotel or, as to any Affiliate Hotel, in the Affiliate Hotel Supplement (collectively, the “Owner’s Pool B Base Priority”), plus (b) the applicable Pool B Hotel Percentage of (i) any amounts advanced by Owner with respect to any Pool B Hotel or any Affiliate Hotel which would increase Owner’s First Priority if advanced in respect of a Pool A Hotel, and (ii) any amounts advanced for Pool B Hotel Approved Renovations for any Pool B Hotel or for any Affiliate Hotel, and subject to further adjustment as provided in Sections 2.6(e), 3.1, 15.1(c), 15.2 and 16.1 if Owner’s First Priority would have been adjusted thereunder with respect to a Pool A Hotel.

		
	f.
	The definition of “Pooled FF&E Hotels” set forth in Section 1.87 of the Agreement is amended such that the word “Hotels” is deleted therefrom and the phrase “Hotels and Affiliated Hotels” is inserted in lieu thereof.

		
	g.
	Non-Economic Hotels.  Section 2.6(e) is amended such that an Affiliate Hotel may also be designated a Non-Economic Hotel in accordance with and subject to the terms of Section 2.6(e) of the Management Agreement no earlier than fifth anniversary of the Effective Date for such Affiliate Hotel; provided, however, if an Affiliate Hotel is designated as a Non-Economic Hotel and the compliance with the provisions of this Agreement as to a Non-Economic Hotel triggers withdrawal liability related to any multi-employer plan under any collective bargaining agreement or causes Manager to incur costs to comply with the requirements of Section 4204 of ERISA with respect thereto, then Owner shall pay for such withdrawal liability or compliance costs (or reimburse Manager for the same) and the net proceeds of such sale (or the price of the third party offer received in the context of a Retained Hotel) shall be reduced by the amount of such withdrawal liability or such compliance costs for purposes of calculating the reduction in Owner’s First Priority and Owner’s Second Priority.  

As clarification, except as otherwise hereinabove provided, all withdrawal liability or any compliance costs triggered under any multi-employer plan or collective bargaining agreement shall be considered Operating Costs. 

		
	h.
	Early Termination.  Any termination of the Affiliate Management Agreement for the Kimpton Hotel Allegro Chicago pursuant to Sections 5.1, 10.3, 17.2, 17.3, or 17.4 of the Affiliate Management Agreement for the Kimpton Hotel Allegro Chicago shall also result in a termination of the Management Agreement pursuant to the corresponding section of the Management Agreement.      

		
	i.
	Reserve Account.  Sections 5.2 and 7.7 are amended such that the capital replacements reserve for any Affiliate Hotel shall be included in the Reserve Account, and the Reserve Account and terms of Section 5.2 and 7.7 shall apply to any Affiliate Hotel in the same manner as they apply to a Hotel.  As clarification, to the extent the amount to be distributed to the Reserve Account in the Affiliate Management Agreement for the Kimpton Hotel Allegro Chicago is different than what is set forth in the Management Agreement, the amount set forth in the Affiliate Management Agreement for the Kimpton Hotel Allegro Chicago shall apply with respect to the Kimpton Hotel Allegro Chicago.

		
	j.
	Section 10.1(b) (which was previously inserted by Section 17 of the First Amendment) is deleted in its entirety and the following is inserted in lieu thereof (with changes shown in double underline):

“(b)    As and when received by Manager or the Pool B Hotels or any Affiliate Manager or the Affiliate Hotels, all Gross Revenues from all of the Pool B Hotels and Affiliate Hotels (the “Pool B Gross Revenues”) shall be deposited into the Bank Accounts and, subject to the terms of Sections 8.1 (Accounting Matters) and 10.5 (Calculation of Interim Disbursements), applied in the following order of priority to the extent available:

		
	(1)
	First, to pay all Operating Costs for the Pool B Hotels and Affiliate Hotels;

		
	(2)
	Second, Owner’s Pool B Priority for the Fiscal Year to which such Pool B Gross Revenues pertain, together with any accrued Owner’s Pool B Priority and interest thereof shall be paid to Owner; if the Pool B Gross Revenues are insufficient to pay Owner’s Pool B Priority and interest, if any, as aforesaid, such shortfall shall be accrued; provided, however, there shall be no accrual of Owner’s Pool B Priority to the extent any applicable shortfall is otherwise funded from the Deposit;

		
	(3)
	Third, the Base Management Fee for the Pool B Hotels and Affiliate Hotels shall be paid to Manager;

		
	(4)
	Fourth, to fund the Reserve Account, as required by Section 5.2 (Reserve Account) in respect of the Pool B Gross Revenues, for the previous Fiscal Month and then any amounts accrued and unpaid for prior periods, including amounts to reimburse Manager for amounts advanced by Manager under Section 5.2(d);

		
	(5)
	Fifth, if Pool B Gross Revenues are sufficient to fund the Reserve Account pursuant to Section 10.1(b)(4), remaining Pool B Gross Revenues shall be applied as follows: (i) fifty percent (50%) of the amount thereof shall be paid to Owner to replenish the Deposit up to but not in excess of the Deposit Maintenance Amount (after first taking into account any such amounts to be paid to Owner to replenish the Deposit pursuant to Section 10.1(a)(4)(i)); and (ii) fifty percent (50%) of the amount thereof shall be paid to Owner, up to but not in excess of, Owner’s Second Priority for such Fiscal Year (after taking into account any such amounts to be paid to Owner pursuant to Section 10.1(a)(5));

		
	(6)
	Sixth, if Pool B Gross Revenues are sufficient to fund the Deposit and Owner’s Second Priority pursuant to Section 10.1(b)(5), remaining Pool B Gross Revenues shall be aggregated and shall be applied as follows: (i) fifty percent (50%) of the amount thereof shall be paid to Manager and shall also constitute the Incentive Management Fee hereunder; and (ii) fifty percent (50%) of the amount thereof shall be paid to Owner and shall also constitute Owner’s Residual Distribution hereunder.

For clarification, amounts applied to fund the Reserve Account under Sections 10.1(a)(2) and 10.1(b)(4) shall be made to the same Reserve Account established under Section 5.2.

The provisions of Section 10.3 notwithstanding, Owner shall apply amounts from the Deposit to fund any shortfall in Owner’s First Priority and Owner’s Pool B Priority, and Manager shall not be in default hereunder for failure to pay Owner’s First Priority and Owner’s Pool B Priority in full, so long as such amounts from the Deposit are available and may be so applied and so long as, after application of such amounts, the Deposit is not less than $37,000,000.

For purposes of the foregoing, any payments of interest or principal on any Authorized Mortgage shall be paid from amounts distributed or accounted for as having been distributed to Owner under this Section 10.1 and shall be treated as payments made first, to Owner’s First Priority, second, to Owner’s Pool B Priority, and third to Owner’s Second Priority.

Manager shall be responsible for paying any amounts received  by it hereunder which may be due to any Affiliate Manager, and Owner shall be responsible for paying any amounts received by it hereunder which may be due to any Affiliate Owner.

		
	k.
	Section 19 of the First Amendment is deleted and the following is inserted in lieu thereof (with changes shown in double underline):

“19.  Termination with Respect to Pool B Hotels and Affiliate Hotels.  If during any period, the Management Agreement is terminated with respect to all of the Pool B Hotels and Affiliate Hotels, to the extent that any portion of the Owner’s Pool B Priority remains payable after any adjustment thereto in connection with such termination, such portion shall be added to the Owner’s First Priority, and to the extent that any such adjustment would result in a negative Owner’s Pool B Priority, such amount shall be subtracted from Owner’s First Priority.”

		
	l.
	Section 20 of the First Amendment is deleted and the following is inserted in lieu thereof (with changes shown in double underline):

“20.  Working Capital.  As of the applicable Effective Date for each Pool B Hotel and Affiliate Hotel, Owner shall advance additional funds for the Working Capital of the Hotels in the amount of the net credit, if any, for closing prorations received by Owner, Landlord, or its Affiliates on account of accrued payables and guest ledger receivables and other similar revenues in connection with its acquisition of such Pool B Hotel or such Affiliate Hotel.”

		
	m.
	Section 10.3A of the Management Agreement (which was set forth in Section 18 of the First Amendment) is amended such that the reference to “Pool B Hotels” in the proviso of the fourth sentence of such Section 10.3A is deleted in its entirety and the phrase “Pool B Hotels and the Affiliate Hotels” is inserted in lieu thereof.

		
	n.
	Section 17.1 is amended to insert the following new Subsection (k) as a Manager Event of Default:

		
	“(k)  
	The occurrence of an “Event of Default” by any Affiliate Manager under any Affiliate Management Agreement.”

3.Ratification.  As amended hereby, the Management Agreement remains in full force and effect and is ratified and confirmed.

4.Counterparts.  This Amendment may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute one agreement.  Any such counterpart may be delivered by facsimile or e-mail (in .pdf format), and any signature so delivered shall be deemed an original signature for all purposes.

[Remainder of page intentionally left blank; Signature pages follow]

IN WITNESS WHEREOF, the parties hereto have duly executed and delivered this Amendment effective as of the day and year first above written.

OWNER:
                        
HPT TRS IHG-2, INC.

                
By: /s/ John G. Murray            
      John G. Murray
      President

MANAGER:

INTERCONTINENTAL HOTELS GROUP    
RESOURCES, INC.

                
By: /s/ Robert Chitty                               Robert Chitty
       Vice President
    
INTERCONTINENTAL HOTELS GROUP
(CANADA), INC.

By: /s/ Robert Chitty                               Robert Chitty
       Vice President

IHG MANAGEMENT (MARYLAND) LLC

                
By: /s/ Robert Chitty                
      Robert Chitty
      Vice President

[First Signature Page to Third Amendment to Management Agreement]

Each of the parties comprising Landlord joins in the foregoing Amendment to evidence its continued agreement to be bound by the terms of Sections 4.1 through 4.7 and Articles 15 and 16 of the Management Agreement, as may be amended by the foregoing Amendment, in each case to the extent applicable to it, subject to the terms of Sections 24.18.

LANDLORD:

HPT CW MA REALTY TRUST

                
By: /s/ John G. Murray        
       John G. Murray
       Trustee and not individually

HPT IHG CANADA PROPERTIES TRUST

                
By: /s/ John G. Murray        
       John G. Murray
       President

HPT IHG GA PROPERTIES LLC

                
By: /s/ John G. Murray        
       John G. Murray
       President

HPT IHG-2 PROPERTIES TRUST

                
By: /s/ John G. Murray        
       John G. Murray
       President

HPT IHG-3 PROPERTIES LLC

By: /s/ John G. Murray        
       John G. Murray
       President

[Second Signature Page to Third Amendment to Management Agreement]

AGREEMENT BY
INTERCONTINENTAL HOTELS (PUERTO RICO) INC.

Reference is made to that certain Lease Agreement, dated as of July 1, 2011, between HPT IHG PR, INC. (“PR Landlord”) and Intercontinental Hotels (Puerto Rico) Inc. (“PR Tenant”), as amended from time to time (as so amended, the “PR Lease”).

Reference is also made to that certain Guaranty Agreement, dated as of July 1, 2011, by Intercontinental Hotels (Puerto Rico) Inc. (“PR Tenant”) for the benefit of HPT TRS IHG-1, Inc., HPT TRS IHG-2, Inc., HPT TRS IHG-3, Inc., HPT IHG PR, Inc. and Hospitality Properties Trust (the “PR Guaranty”).

PR Tenant acknowledges receipt of the foregoing Third Amendment to Management Agreement  by and among HPT TRS IHG-2, Inc., Intercontinental Hotels Group Resources, Inc., IHG Management (Maryland) LLC and Intercontinental Hotels Group (Canada), Inc. (the “Amendment”).

PR Tenant acknowledges, agrees and confirms that all references to the “Management Agreement” in the PR Guaranty shall refer to the Management Agreement (as defined in the Amendment) as amended by the Amendment and to any Affiliate Management Agreement (as defined in the Amendment), including, without limitation, that certain Amended and Restated Management Agreement, dated as of the date hereof, between HPT TRS IHG-2, Inc. and KHRG Allegro, LLC, and that the PR Guaranty remains in full force and effect.

PR TENANT:

INTERCONTINENTAL HOTELS (PUERTO RICO) INC., 
A Puerto Rico corporation

By: /s/ Homer Torres                
Name:  Homer Torres 
Title:    Vice President

    

[Third Signature Page to Third Amendment to Management Agreement]

Exhibit “A”

AFFILIATE HOTEL DESIGNATION SUPPLEMENT

THIS AFFILIATE HOTEL DESIGNATION SUPPLEMENT is made and entered into as of [INSERT RELEVANT DATE], by and among HPT TRS IHG-2, INC. (“Owner”), a Maryland corporation, and INTERCONTINENTAL HOTELS GROUP RESOURCES, INC. (“Resources”), a Delaware corporation, IHG MANAGEMENT (MARYLAND) LLC (“Maryland”), a Maryland limited liability company, and INTERCONTINENTAL HOTELS GROUP (CANADA), INC. (“Canada”), a corporation under the laws of Ontario, Canada (Resources, Maryland and Canada, collectively, “Manager”), [INSERT OWNER OF AFFILIATE HOTEL, IF NOT OWNER] (“Affiliate Hotel Owner”), [INSERT AFFILIATE MANAGER] (“Affiliate Hotel Manager”) and agreed to and acknowledged by the entities comprising Landlord as listed on the signature page hereto (collectively, “Landlord”) and InterContinental Hotels (Puerto Rico) Inc. (“PR Tenant”).

Owner and Manager are parties to that certain Management Agreement, dated as of July 1, 2011, as amended by that certain Amendment to Management Agreement, dated as of March 16, 2015, that certain Second Amendment to Management Agreement, dated as of February 11, 2016, and that certain Third Amendment to Management Agreement, dated as of December __, 2016 (the “Third Amendment”), and as may be further amended from time to time (as so amended, the “Management Agreement”).

This Affiliate Hotel Designation Supplement is an Affiliate Hotel Designation Supplement as contemplated by the Third Amendment.

		
	1.
	The Affiliate Hotel that is the subject of this Affiliate Hotel Designation Supplement is the [INSERT NAME AND ADDRESS OF APPLICABLE AFFILIATE HOTEL] [Kimpton Hotel Allegro having an address at 171 West Randolph, Chicago Illinois 60601]. 

		
	2.
	The Affiliate Management Agreement for this Affiliate Hotel is that certain [INSERT DESCRIPTION OF MANAGEMENT AGREEMENT] [Amended and Restated Management Agreement, dated as of December __, 2016, between Owner and KHRG Allegro, LLC], as the same may be amended from time to time.

		
	3.
	The Affiliate Manager for this Affiliate Hotel is [INSERT AFFILIATE MANAGER] [KHRG Allegro, LLC].

		
	4.
	The Effective Date for this Affiliate Hotel is             .

		
	5.
	The Pool B Hotel Percentage for this Affiliate Hotel shall be ______________, the approved aggregate sum of all amounts expended by Owner or Landlord or any of their affiliates in connection with this Affiliate Hotel as of the date hereof is $ ____________ and the Owner’s Pool B Base Priority for this Affiliate Hotel shall be $ _____________________.

		
	6.
	The Management Agreement remains in full force and effect and is ratified and confirmed.

		
	7.
	This Affiliate Hotel Designation Supplement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute one agreement.  Any such counterpart may be delivered by facsimile or e-mail (in .pdf format), and any signature so delivered shall be deemed an original signature for all purposes.

8.    

IN WITNESS WHEREOF, the parties hereto have duly executed this Affiliate Hotel Designation Supplement as of the day and year first above written.
OWNER:
                        
HPT TRS IHG-2, INC.

                
By:                        
      John G. Murray
      Vice President

MANAGER:

INTERCONTINENTAL HOTELS GROUP    
RESOURCES, INC.

                
By:                         
       Robert Chitty
 Vice President
    
INTERCONTINENTAL HOTELS GROUP
(CANADA), INC.

By:                         
       Robert Chitty
 Vice President

IHG MANAGEMENT (MARYLAND) LLC

                
By:                        
      Robert Chitty
Vice President

AFFILIATE MANAGER:

KHRG ALLEGRO, LLC

                
By:                         
       Robert Chitty
 Vice President
       
This Affiliate Hotel Designation Supplement is agreed to and acknowledged by the parties signing below.

LANDLORD:

HPT CW MA REALTY TRUST

                
By:                     
John G. Murray
Trustee and not individually

HPT IHG CANADA PROPERTIES TRUST

                
By:                     
John G. Murray
President

HPT IHG GA PROPERTIES LLC

                
By:                     
John G. Murray
President

HPT IHG-2 PROPERTIES TRUST

                
By:                     
John G. Murray
President

HPT IHG-3 PROPERTIES LLC

By:                     
John G. Murray
President

[Signatures Continue on Next Page] 

PR TENANT:

INTERCONTINENTAL HOTELS
(PUERTO RICO) INC., a Puerto Rico corporation

By:                    
Robert Chitty
            Vice President

1

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