Document:

CERTIFICATE
OF DESIGNATIONS

of

SERIES
A PREFERRED
STOCK

of

THE
MARYJANE GROUP, INC.

 

 

 

THE
MARYJANE GROUP, INC., a Nevada corporation
(hereinafter called
the "Company"),
hereby certifies
that pursuant
to authority conferred
upon the
Board of
Directors of
the Company
by the Articles of
Incorporation of the
Company, the sole director of
the Company
adopted a resolution providing for
the designations,
preferences and
rights, and
the qualifications, limitations or restrictions,
of 100,000 shares of Series A Preferred
Stock (as defined herein) of the Company, as follows:

 

RESOLVED,
that pursuant to
the authority granted
to and vested
in the Board
of Directors of
this Company
(hereinafter called the
"Board of
Directors"
or the "Board")
in accordance
with the provisions
of the Company's
Articles of Incorporation,
the Board
of Directors
hereby creates
a series
of Preferred
Stock, par
value $0.001
per share
(the "Preferred Stock"),
of the
Company and
hereby states
the designation
and number of shares,
and fixes the relative rights, preferences, and limitations
thereof as follows:

 

Series
A Preferred
Stock

 

Section
1. Designation and
Amount.
The shares of
such series shall
be designated as
"Series A
Preferred Stock" (the
"Series A Preferred
Stock")
and the number
of shares constituting
the Series A
Preferred Stock
shall initially
be 100,000. Such number
of shares may
be increased or
decreased by
resolution of
the Board
of Directors;
provided, that
no decrease
shall reduce
the number
of shares
of Series
A Preferred Stock
to a number less than the number of shares
then outstanding plus the number of
shares reserved for issuance upon the
exercise of outstanding
options, rights or
warrants or upon
the conversion of any outstanding securities
or rights
issued by the Company convertible
into Series A Preferred Stock and further provided
that the Board of Directors shall
increase the number of shares
constituting the Series
A Preferred Stock to the extent
necessary for the Company to have available
sufficient shares of such Series A Preferred Stock available
to fulfill all of the Company's obligations
to holders of securities and Rights of
the Company.

 

Section
2. Dividends and
Distributions.

 

(A)    
Subject to the
rights of the
holders of any
shares of any
series of Preferred Stock
(or any similar
stock) ranking prior
and superior
to the
Series A Preferred
Stock with respect
to dividends, the
holders of shares
of Series
A Preferred
Stock, in
preference to the
holders of Common
Stock, par value
$0.001 per share
(the "Common Stock")
of the Company, and of any other
junior stock shall be
entitled to receive, when, as and if declared
by the Board of
Directors out of the funds legally available for the purpose, dividends payable when
and as dividends are declared on
the Common Stock in
an amount, subject to the provision for adjustment
hereinafter set forth, equal to 10,000 times the aggregate per share amount of all
cash dividends, and 10,000 times
the aggregate per share amount (payable
in kind) of all non-cash dividends or other distributions,
declared on the Common
Stock (except as provided in the next
sentence). In the event the Company
shall at any time declare or pay any dividend on the Common Stock payable in shares
of Common Stock, or effect a subdivision or
combination or consolidation of the outstanding
shares of Common Stock
(by reclassification or otherwise than
by payment of a dividend in shares of Common Stock) into a greater or
lesser number of shares of Common
Stock, then in each such case the
amount to which
holders of shares
of Series A
Preferred Stock were
entitled immediately
prior to such event
under the preceding sentence shall
be adjusted
by multiplying such amount by
a fraction, the numerator of which is the number
of shares of Common Stock outstanding immediately
after such event
and the
denominator of
which is the
number of shares
of Common Stock that were

    	 

    	 

    

outstanding
immediately prior
to such
event.

 

(B)    
The Company shall
declare a dividend
or distribution
on the Series
A Preferred Stock
as provided
in paragraph
(A) of
this Section
2 immediately
after it
declares a
dividend or
distribution on
the Common Stock.

 

Section
3. Voting Rights.
 The holders
of shares
of Series
A Preferred
Stock shall
have the following
voting rights:

 

(A)    
 Each share
of Series A
Preferred Stock
shall entitle
the holder
thereof to 10,000
votes on all
matters submitted
to a vote
of the stockholders
of the Company.

 

(B)    
Except as otherwise provided herein, in the Certificate of Incorporation of the Company, in
any other Certificate of Designations creating a series of Preferred Stock or any similar stock, or by law, the holders of shares
of Series A Preferred Stock and the holders of shares of Common Stock and any other capital stock of the Company having general
voting rights shall vote together as one class on all matters submitted to a vote of stockholders of the Company.

 

(C)    
Except as set forth herein, or as otherwise provided by law, holders of Series A Preferred
Stock shall have no special voting rights and their consent shall not be required (except to the extent they are entitled to vote
with holders of Common Stock as set forth herein) for taking any corporate action.

 

Section
4. Reacquired Shares.
Any shares
of Series
A Preferred Stock
purchased or otherwise
acquired by the
Company in
any manner
whatsoever shall be
retired and cancelled
promptly after
the acquisition
thereof. All such
shares shall
upon their
cancellation become
authorized but unissued
shares of
Preferred Stock
and may
be reissued as part
of a new
series of Preferred
Stock subject to the conditions and
restrictions on issuance set forth herein, in the Company's
Certificate of Incorporation, or
in any other Certificate
of Designations
creating a series
of Preferred
Stock or
any similar stock or as otherwise required by law.

 

Section
5. Liquidation, Dissolution
or Winding
Up. Upon any
liquidation, dissolution or
winding up of
the Company,
no distribution shall
be made
(1) to the
holders of shares
of stock ranking
junior (either as
to dividends or
upon liquidation, dissolution or
winding up) to
the Series A
Preferred Stock
unless, prior thereto,
the holders
of shares
of Series
A Preferred Stock
shall have
received an
aggregate amount per share, subject to the provision for adjustment
hereinafter set forth, equal to 10,000 times
the aggregate amount to be distributed
per share to
holders of shares
of Common Stock. In the event the Company
shall at any time declare or pay any dividend on the Common
Stock payable in
shares of Common
Stock, or effect a subdivision or
combination or consolidation of the outstanding
shares of Common
Stock (by
reclassification or otherwise than by payment of a dividend in shares of Common
Stock) into a greater or lesser number
of shares of Common Stock, then in each such
case the aggregate amount to which
holders of shares of
Series A Preferred
Stock were
entitled immediately prior
to such event under the proviso in clause (1)
of the preceding sentence
shall be adjusted by multiplying
such amount by a fraction the numerator
of which is the number of
shares of
Common Stock
outstanding immediately after
such event and the denominator
of which is the
number of shares
of Common Stock that were outstanding
immediately prior to such event.

 

Section
6.  Consolidation, Merger,
etc.  In case
the Company
shall enter
into any consolidation, merger,
combination or other transaction
in which the shares
of Common Stock
are exchanged for,
or changed into,
other stock
or securities,
cash and/or any
other property, then
in any such
case each share
of Series A Preferred
Stock shall at the
same time be similarly
exchanged or changed into an amount
per share, subject to the provision for adjustment
hereinafter set forth, equal to 10,000
times the aggregate amount of
stock, securities, cash
and/or any other
property (payable
in kind), as the
case may
be, into which or for which each
share of Common Stock
is changed or exchanged.
In the event the Company
shall at any time declare
or pay
any dividend
on the Common Stock
payable in shares of
Common Stock, or effect
a subdivision or
combination or
consolidation of the outstanding
shares of Common Stock
(by reclassification
or otherwise than by
payment of a
dividend in shares

    	 

    	 

    

of Common
Stock) into
a greater or
lesser number
of shares
of Common
Stock, then
in each such
case the amount
set forth
in the
preceding sentence
with respect
to the
exchange or
change of
shares of
Series A
Preferred Stock
shall be
adjusted by
multiplying such
amount by
a fraction,
the numerator
of which is
the number of
shares of
Common Stock
outstanding immediately
after such event
and the denominator of which
is the
number of
shares of
Common Stock
that were outstanding immediately
prior to such event.

 

Section
7. No Redemption.
 The shares
of Series A
Preferred Stock shall
not be
redeemable.

 

Section
8. Rank.
The Series
A Preferred
Stock shall
rank, with
respect to the
payment of
dividends and the
distribution of
assets, senior to
all series of
any other class
of the Company's
Preferred Stock.

 

Section
9.  Amendment. 
The Certificate of
Incorporation of
the Company shall
not be amended
in any manner
that would
materially alter
or change the
powers, preferences or
special rights of
the Series A
Preferred Stock so
as to affect
them adversely without the affirmative vote of the
holders of at least two-thirds of the outstanding shares
of Series A Preferred Stock,
voting together as a single class.

 

 

[signature
page to follow]

    	 

    	 

    

IN
WITNESS WHEREOF,
this Certificate
of Designations
is executed on
behalf of the
Company by
its Chief Executive
Officer this
19th day of June,
2015.

 

	  	THE MARYJANE GROUP, INC.
	 	 
	 	 
	 	 /s/ Joel Schneider
	 	Joel Schneider
	 	Chief Executive OfficerExhibit 10.1

 

AMENDED AND
RESTATED ADVISORY AGREEMENT

 

BY AND AMONG

 

AMERICAN
REALTY CAPITAL HEALTHCARE TRUST II, INC.,

 

AMERICAN
REALTY CAPITAL HEALTHCARE TRUST II OPERATING PARTNERSHIP, L.P.,

 

AND

 

AMERICAN
REALTY CAPITAL HEALTHCARE II ADVISORS, LLC

 

Dated as
of June 26, 2015

 

    	 

    	 

    

  

TABLE OF
CONTENTS

 

	 	 	 	 	Page
	1.	 	DEFINITIONS	 	1
	 	 	 	 	 
	2.	 	APPOINTMENT	 	6
	 	 	 	 	 
	3.	 	DUTIES OF THE ADVISOR	 	6
		 	 	 	 
	4.	 	AUTHORITY OF ADVISOR	 	8
		 	 	 	 
	5.	 	FIDUCIARY RELATIONSHIP	 	9
	 	 	 	 	 
	6.	 	NO PARTNERSHIP OR JOINT VENTURE	 	9
	 	 	 	 	 
	7.	 	BANK ACCOUNTS	 	9
	 	 	 	 	 
	8.	 	RECORDS; ACCESS	 	9
	 	 	 	 	 
	9.	 	LIMITATIONS ON ACTIVITIES	 	9
	 	 	 	 	 
	10.	 	FEES	 	9
	 	 	 	 	 
	11.	 	EXPENSES	 	12
	 	 	 	 	 
	12.	 	OTHER SERVICES	 	13
	 	 	 	 	 
	13.	 	RESERVED	 	13
	 	 	 	 	 
	14.	 	OTHER ACTIVITIES OF THE ADVISOR	 	13
	 	 	 	 	 
	15.	 	THE AMERICAN REALTY CAPITAL NAME	 	14
	 	 	 	 	 
	16.	 	TERM OF AGREEMENT	 	14
	 	 	 	 	 
	17.	 	TERMINATION BY THE PARTIES	 	14
	 	 	 	 	 
	18.	 	ASSIGNMENT TO AN AFFILIATE	 	15
	 	 	 	 	 
	19.	 	PAYMENTS TO AND DUTIES OF ADVISOR UPON TERMINATION	 	15
	 	 	 	 	 
	20.	 	INCORPORATION OF THE ARTICLES OF INCORPORATION AND THE OPERATING PARTNERSHIP
    AGREEMENT	 	15
	 	 	 	 	 
	21.	 	INDEMNIFICATION BY THE COMPANY AND THE OPERATING PARTNERSHIP	 	15
	 	 	 	 	 
	22.	 	INDEMNIFICATION BY ADVISOR	 	16
	 	 	 	 	 
	23. 	 	NOTICES	 	17
	 	 	 	 	 
	24.	 	MODIFICATION	 	17
	 	 	 	 	 
	25.	 	SEVERABILITY	 	17
	 	 	 	 	 
	26.	 	GOVERNING LAW	 	17

 

    	 

    	 

    

  

	27.	 	ENTIRE AGREEMENT	 	18
	 	 	 	 	 
	28.	 	NO WAIVER	 	18
	 	 	 	 	 
	29.	 	PRONOUNS AND PLURALS	 	18
	 	 	 	 	 
	30.	 	HEADINGS	 	18
	 	 	 	 	 
	31.	 	EXECUTION IN COUNTERPARTS	 	18

 

    	 

    	 

    

  

AMENDED
AND RESTATED ADVISORY AGREEMENT

 

THIS AMENDED
AND RESTATED ADVISORY AGREEMENT (this “Agreement”) dated as of June 26, 2015, is entered into among American
Realty Capital Healthcare Trust II, Inc., a Maryland corporation (the “Company”), American Realty Capital Healthcare
Trust II Operating Partnership, L.P., a Delaware limited partnership (the “Operating Partnership”), and American
Realty Capital Healthcare II Advisors, LLC, a Delaware limited liability company.

 

WITNESSETH

 

WHEREAS, the
parties entered into the Advisory Agreement on February 14, 2013 (the “Original Agreement”), as amended by
the First Amendment thereto dated March 11, 2013, the Second Amendment thereto dated May 13, 2013 and the Third Amendment thereto
dated May 12, 2015; and

 

WHEREAS, the
parties have agreed to make certain amendments and desire to amend and restate the Original Agreement, in its entirety;

 

NOW, THEREFORE,
in consideration of the foregoing and of the mutual covenants and agreements contained herein, the parties hereto, intending to
be legally bound, hereby agree that the Original Agreement is amended and restated in its entirety to read as follows:

 

1.           
DEFINITIONS.   As used in this Agreement, the following terms have the definitions set forth below:

 

“ Acquisition
Expenses” means any and all expenses, exclusive of Acquisition Fees, incurred by the Company, the Operating Partnership,
the Advisor or any of their Affiliates in connection with the selection, evaluation, acquisition, origination, making or development
of any Investments, whether or not acquired, including, without limitation, legal fees and expenses, travel and communications
expenses, brokerage fees, costs of appraisals, nonrefundable option payments on property not acquired, accounting fees and expenses,
title insurance premiums and the costs of performing due diligence.

 

“Acquisition
Fee” means the fee payable to the Advisor or its Affiliates pursuant to Section 10(a).

 

“Advisor”
means American Realty Capital Healthcare II Advisors, LLC, a Delaware limited liability company, any successor advisor to the
Company and the Operating Partnership, or any Person to which American Realty Capital Healthcare II Advisors, LLC or any successor
advisor subcontracts substantially all its functions.  Notwithstanding the foregoing, a Person hired or retained by
American Realty Capital Healthcare II Advisors, LLC to perform property management and related services for the Company or the
Operating Partnership that is not hired or retained to perform substantially all the functions of American Realty Capital Healthcare
II Advisors, LLC with respect to the Company and the Operating Partnership as a whole shall not be deemed to be an Advisor. 

 

“ Affiliate”
or “ Affiliated” means with respect to any Person, (i) any other Person directly or indirectly
owning, controlling or holding, with the power to vote, ten percent (10%) or more of the outstanding voting securities of such
Person; (ii) any other Person ten percent (10%) or more of whose outstanding voting securities are directly or indirectly
owned, controlled or held, with the power to vote, by such Person; (iii) any other Person directly or indirectly controlling,
controlled by or under common control with such Person; (iv) any executive officer, director, trustee or general partner
of such Person; and (v) any legal entity for which such Person acts as an executive officer, director, trustee or general
partner.  For purposes of this definition, the terms “controls,” “is controlled by,” or “is
under common control with” shall mean the possession, direct or indirect, of the power to direct or cause the direction
of the management and policies of an entity, whether through ownership or voting rights, by contract or otherwise.

 

“Agreement”
has the meaning set forth in the preamble, and such term shall include any amendment or supplement hereto from time to time.

 

    	1

    	 

    

  

“Annual
Subordinated Performance Fee” means the fees payable to the Advisor or its assignees pursuant to Section 10(e).

 

“Articles
of Incorporation” means the charter of the Company, as the same may be amended from time to time.

 

“Automatic
Renewal Term” has the meaning set forth in Section 16.

  

“Board
of Directors” or “Board” means the Board of Directors of the Company.

 

“By-laws”
means the by-laws of the Company, as amended and as the same are in effect from time to time.

 

“ Cause”
means (i) fraud, criminal conduct, willful misconduct or illegal or negligent breach of fiduciary duty by the Advisor,
or (ii) if any of the following events occur:  (A) the Advisor shall breach any material provision of this Agreement,
and after written notice of such breach, shall not cure such default within thirty (30) days or have begun action within thirty
(30) days to cure the default which shall be completed with reasonable diligence; (B) the Advisor shall be adjudged bankrupt or
insolvent by a court of competent jurisdiction, or an order shall be made by a court of competent jurisdiction for the appointment
of a receiver, liquidator, or trustee of the Advisor, for all or substantially all its property by reason of the foregoing, or
if a court of competent jurisdiction approves any petition filed against the Advisor for reorganization, and such adjudication
or order shall remain in force or unstayed for a period of thirty (30) days; or (C) the Advisor shall institute proceedings for
voluntary bankruptcy or shall file a petition seeking reorganization under the federal bankruptcy laws, or for relief under any
law for relief of debtors, or shall consent to the appointment of a receiver for itself or for all or substantially all its property,
or shall make a general assignment for the benefit of its creditors, or shall admit in writing its inability to pay its debts,
generally, as they become due.

 

“ Change
of Control ” means a change of control of the Company of a nature that would be required to be reported in response
to the disclosure requirements of Schedule 14A of Regulation 14A promulgated under the Exchange Act, as enacted and in force on
the date hereof, whether or not the Company is then subject to such reporting requirements; provided, however, that, without
limitation, a Change of Control shall be deemed to have occurred if:  (i) any “person” (within the meaning
of Section 13(d) of the Exchange Act, as enacted and in force on the date hereof) is or becomes the “beneficial owner”
(as that term is defined in Rule 13d-3, as enacted and in force on the date hereof, under the Exchange Act) of securities of the
Company representing 9.8% or more of the combined voting power of the Company’s securities then outstanding; (ii) there
occurs a merger, consolidation or other reorganization of the Company which is not approved by the Board of Directors; (iii) there
occurs a sale, exchange, transfer or other disposition of substantially all the assets of the Company to another Person, which
disposition is not approved by the Board of Directors; or (iv) there occurs a contested proxy solicitation of the Stockholders
that results in the contesting party electing candidates to a majority of the Board of Directors’ positions next up for
election.

 

“Code”
means the Internal Revenue Code of 1986, as amended from time to time, or any successor statute thereto.  Reference
to any provision of the Code shall mean such provision as in effect from time to time, as the same may be amended, and any successor
provision thereto, as interpreted by any applicable regulations as in effect from time to time.

 

“Common
Stock” means the shares of the Company’s common stock, par value $0.01 per share.

 

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

 

“Competitive
Real Estate Commission” means a real estate or brokerage commission for the purchase or sale of an asset which is
reasonable, customary and competitive in light of the size, type and location of the asset.

 

    	2

    	 

    

  

“Contract
Purchase Price” has the meaning set forth in the Articles of Incorporation.

 

“Contract
Sales Price” means the total consideration received by the Company for the sale of an Investment.

 

“Cost
of Assets” means, with respect to a Real Estate Asset, the purchase price,

Acquisition Expenses, capital expenditures
and other customarily capitalized costs, but shall exclude Acquisition Fees associated with such Real Estate Asset.

 

“Dealer
Manager” means Realty Capital Securities, LLC, or such other Person selected by the Board of Directors to act as
the dealer manager for the Offering.

 

“Dealer
Manager Fee” means the fee from the sale of Shares in a Primary Offering, payable to the Dealer Manager for serving
as the dealer manager of such Primary Offering.

 

“Director”
means a director of the Company.

 

“Distributions”
means any distributions of money or other property by the Company to Stockholders, including distributions that may constitute
a return of capital for U.S. federal income tax purposes.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended from time to time, or any successor statute thereto.
Reference to any provision of the Exchange Act shall mean such provision as in effect from time to time, as the same may be amended,
and any successor provision thereto, as interpreted by any applicable regulations as in effect from time to time.

 

“Financing
Coordination Fee” means the fee payable to the Advisor or its Affiliates pursuant to Section 10(d).

 

“FINRA”
means the Financial Industry Regulatory Authority, Inc.

 

“GAAP”
means United States generally accepted accounting principles, consistently applied.

 

“Good
Reason ” means:  (i) any failure to obtain a satisfactory agreement from any successor to the Company
or the Operating Partnership to assume and agree to perform obligations under this Agreement; or (ii) any material breach of this
Agreement of any nature whatsoever by the Company or the Operating Partnership.

 

“Gross
Proceeds” means the aggregate purchase price of all Shares sold for the account of the Company through an Offering,
without deduction for Selling Commissions, volume discounts, any marketing support and due diligence expense reimbursement or
Organization and Offering Expenses.  For the purpose of computing Gross Proceeds, the purchase price of any Share for
which reduced Selling Commissions are paid to the Dealer Manager or a Soliciting Dealer (where net proceeds to the Company are
not reduced) shall be deemed to be the full amount of the offering price per Share pursuant to the Prospectus for such Offering
without reduction.

 

“Indemnitee”
has the meaning set forth in Section 21.

 

“Independent
Director” has the meaning set forth in the Articles of Incorporation.

 

“Independent
Valuation Advisor” means a firm that is (i) engaged in the business of conducting appraisals on real estate properties,
(ii) not an affiliate of the Advisor and (iii) engaged by the Company with the Board’s approval to appraise the Real Properties
and other Investments pursuant to the Valuation Guidelines.

 

    	3

    	 

    

  

“Initial
Term” has the meaning set forth in Section 16.

 

“Insourced
Acquisition Expenses” means Acquisition Expenses incurred in connection with services performed by the Advisor or
any of its Affiliates.

 

“Investments”
means any investments by the Company or the Operating Partnership, directly or indirectly, in Real Estate Assets, Real Estate
Related Loans or any other asset.

 

“Joint
Ventures” means the joint venture or partnership or other similar arrangements (other than between the Company and
the Operating Partnership) in which the Company or the Operating Partnership or any of their subsidiaries is a co-venturer, limited
liability company member, limited partner or general partner, which are established to acquire or hold Investments.

 

“Listing”
means the listing of the Common Stock on a national securities exchange, or the inclusion of the Common Stock for trading
in the over-the-counter-market.

 

“Loans”
means any indebtedness or obligations in respect of borrowed money or evidenced by bonds, notes, debentures, deeds of trust, letters
of credit or similar instruments, including mortgages and mezzanine loans.

 

“Management
Agreement” means the Property Management and Leasing Agreement, dated as of February 14, 2013, among the Company,
the Operating Partnership and American Realty Capital Healthcare II Properties, LLC, as the same may be amended from time to time.

 

“Market
Check” means an analysis comparing (a) the amount of Insourced Acquisition Expenses reimbursed in the previous calendar
year to the Advisor or any of its Affiliates with (b) the projected amount of Acquisition Expenses for the following calendar
year assuming that a Person other than the Advisor or its Affiliates performs substantially similar services for a substantially
similar amount of Investments.

   

“NASAA
REIT Guidelines” means the Statement of Policy Regarding Real Estate Investment Trusts as revised and adopted by
the North American Securities Administrators Association on May 7, 2007, as the same may be amended from time to time.

 

“NAV”
means the Company’s net asset value, calculated pursuant to the Valuation Guidelines.

 

“NAV
Pricing Start Date” means the first date on which
the Company calculates NAV.

 

“Notice”
has the meaning set forth in Section 23.

 

“Offering”
means any public offering and sale of Shares pursuant to an effective registration statement filed under the Securities Act.

 

“Operating
Partnership” has the meaning set forth in the preamble.

 

“Operating
Partnership Agreement” means the Agreement of Limited Partnership of the Operating Partnership, dated as of February
14, 2013, among the Company, American Realty Capital Healthcare II Special Limited Partnership, LLC, and the Advisor, as the same
may be amended from time to time.

 

“OP
Units” means units of limited partnership interest in the Operating Partnership.

 

    	4

    	 

    

  

“Organization
and Offering Expenses” means all expenses (other than the Selling Commission and the Dealer Manager Fee) to be paid
by the Company in connection with an Offering, including legal, accounting, printing, mailing and filing fees, charges of the
escrow holder and transfer agent, charges of the Advisor for administrative services related to the issuance of Shares in an Offering,
reimbursement of the Advisor for costs in connection with preparing supplemental sales materials, the cost of bona fide training
and education meetings held by the Company (primarily the travel, meal and lodging costs of the registered representatives of
broker-dealers), attendance and sponsorship fees and cost reimbursement for employees of the Company’s Affiliates to attend
retail seminars conducted by broker-dealers and, in special cases, reimbursement to soliciting broker-dealers for technology costs
associated with an Offering, costs and expenses related to such technology costs, and costs and expenses associated with facilitation
of the marketing of the Shares and the ownership of Shares by such broker-dealer’s customers.

 

“Person”
has the meaning set forth in the Articles of Incorporation.

  

“Primary
Offering” means the portion of an Offering other than the Shares offered pursuant to the Company’s distribution
reinvestment plan.

 

“Prospectus”
means a final prospectus of the Company filed pursuant to Rule 424(b) of the Securities Act, as the same may be amended or supplemented
from time to time. 

 

“Real
Estate Assets” means any investment by the Company or the Operating Partnership in unimproved and improved Real
Property (including fee or leasehold interests, options and leases), directly, through one or more subsidiaries or through a Joint
Venture.

 

“Real
Estate Commission” means the fees payable to the Advisor pursuant to Section 10(c).

 

“Real
Estate Related Loans” means any investments in mortgage loans and other types of real estate related debt financing,
including, mezzanine loans, bridge loans, convertible mortgages, wraparound mortgage loans, construction mortgage loans, loans
on leasehold interests and participations in such loans, by the Company or the Operating Partnership, directly, through one or
more subsidiaries or through a Joint Venture.

 

“Real
Property” means (i) land, (ii) rights in land (including leasehold interests), and (iii) any buildings, structures,
improvements, furnishings, fixtures and equipment located on or used in connection with land and rights or interests in land.

 

“Registration
Statement” means the Company’s registration statement on Form S-11 (File No. 333-180274) and the prospectus
contained therein.

 

“REIT”
means a corporation, trust, association or other legal entity (other than a real estate
syndication) that is engaged primarily in investing in equity interests in real estate (including fee ownership and leasehold
interests) or in loans secured by real estate or both, as defined pursuant to Sections 856 through 860 of the Code and any successor
or other provisions of the Code relating to real estate investment trusts (including provisions as to the attribution of ownership
of beneficial interests therein) and the regulations promulgated thereunder.

 

“Sale”
or “Sales” means any transaction or series of transactions whereby:  (i) the Company
or the Operating Partnership directly or indirectly (except as described in other subsections of this definition) sells, grants,
transfers, conveys, or relinquishes its direct or indirect ownership of any Real Estate Assets, Loan or other Investment or portion
thereof, including the lease of any Real Estate Assets consisting of a building only, and including any event with respect to
any Real Estate Assets that gives rise to a significant amount of insurance proceeds or condemnation awards; (ii) the Company
or the Operating Partnership directly or indirectly (except as described in other subsections of this definition) sells, grants,
transfers, conveys, or relinquishes its ownership of all or substantially all the direct or indirect interest of the Company or
the Operating Partnership in any Joint Venture in which it is a co-venturer, member or partner; (iii) any Joint Venture directly
or indirectly (except as described in other subsections of this definition) in which the Company or the Operating Partnership
as a co-venturer, member or partner sells, grants, transfers, conveys, or relinquishes its direct or indirect ownership of any
Real Estate Assets or portion thereof, including any event with respect to any Real Estate Assets which gives rise to insurance
claims or condemnation awards; or (iv) the Company or the Operating Partnership directly or indirectly (except as described
in other subsections of this definition) sells, grants, conveys or relinquishes its direct or indirect interest in any Real Estate
Related Loans or portion thereof (including with respect to any Real Estate Related Loan, all payments thereunder or in satisfaction
thereof other than regularly scheduled interest payments) and any event which gives rise to a significant amount of insurance
proceeds or similar awards; or (v) the Company or the Operating Partnership directly or indirectly (except as described in
other subsections of this definition) sells, grants, transfers, conveys, or relinquishes its direct or indirect ownership of any
other asset not previously described in this definition or any portion thereof, but not including any transaction or series of
transactions specified in clauses (i) through (v) above in which the proceeds of such transaction or series of transactions
are reinvested by the Company in one or more assets within 180 days thereafter.

 

    	5

    	 

    

  

 “Securities
Act” means the Securities Act of 1933, as amended from time to time,
or any successor statute thereto. Reference to any provision of the Securities Act shall mean such provision as in effect from
time to time, as the same may be amended, and any successor provision thereto, as interpreted by any applicable regulations as
in effect from time to time. 

 

“Selling
Commission” means the fee payable to the Dealer Manager and reallowable to Soliciting Dealers with respect to Shares
sold by them in a Primary Offering.

 

“Shares”
means the shares of beneficial interest or of common stock of the Company of any class
or series, including Common Stock, that has the right to elect the Directors of the Company.

 

“Soliciting
Dealers” means broker-dealers that are members of FINRA, or that are exempt from broker-dealer registration, and
that, in either case, have executed soliciting dealer or other agreements with the Dealer Manager to sell Shares.

 

“Sponsor”
means American Realty Capital VII, LLC, a Delaware limited liability company.

 

“Stockholders”
means the holders of record of the Shares
as maintained on the books and records of the Company or its transfer agent.

 

“Subordinated
Participation Interest” means a profits interest in the Operating Partnership designated as a Class B Unit in accordance
with the terms of the Operating Partnership Agreement. 

  

“Termination
Date” means the date of termination of this Agreement.

 

“Valuation
Guidelines” means the valuation guidelines adopted by the Board, as may be amended from time to time.

 

2.           
APPOINTMENT.   The Company and the Operating Partnership hereby appoint the Advisor to serve as their advisor to
perform the services set forth herein on the terms and subject to the conditions set forth in this Agreement and subject to the
supervision of the Board, and the Advisor hereby accepts such appointment.

 

3.           
DUTIES OF THE ADVISOR.   The Advisor will use its reasonable best efforts to present to the Company and the Operating
Partnership potential investment opportunities and to provide a continuing and suitable investment program consistent with the
investment objectives and policies of the Company as determined and adopted from time to time by the Board.  In performance
of this undertaking, subject to the supervision of the Board and consistent with the provisions of the Articles of Incorporation,
By-laws and the Operating Partnership Agreement, the Advisor, directly or indirectly, will:  

 

    	6

    	 

    

  

(a)           serve
as the Company’s and the Operating Partnership’s investment and financial advisor;

 

(b)           provide
the daily management for the Company and the Operating Partnership and perform and supervise the various administrative functions
necessary for the day-to-day management of the operations of the Company and the Operating Partnership;

 

(c)           investigate,
select and, on behalf of the Company and the Operating Partnership, engage and conduct business with and supervise the performance
of such Persons as the Advisor deems necessary to the proper performance of its obligations hereunder (including consultants,
accountants, correspondents, lenders, technical advisors, attorneys, brokers, underwriters, corporate fiduciaries, escrow agents,
depositaries, custodians, agents for collection, insurers, insurance agents, banks, builders, developers, property owners, property
managers, real estate management companies, real estate operating companies, securities investment advisors, mortgagors, the registrar
and the transfer agent and any and all agents for any of the foregoing), including Affiliates of the Advisor and Persons acting
in any other capacity deemed by the Advisor necessary or desirable for the performance of any of the foregoing services (including
entering into contracts in the name of the Company and the Operating Partnership with any of the foregoing);

 

(d)           consult
with the officers and Directors of the Company and assist the Directors in the formulation and implementation of the Company’s
financial policies, and, as necessary, furnish the Board with advice and recommendations with respect to the making of investments
consistent with the investment objectives and policies of the Company and in connection with any borrowings proposed to be undertaken
by the Company or the Operating Partnership;

 

(e)           subject
to the provisions of Section 4 , (i) participate in formulating an investment strategy and asset allocation framework;
(ii) locate, analyze and select potential Investments; (iii) structure and negotiate the terms and conditions of transactions
pursuant to which acquisitions and dispositions of Investments will be made; (iv) research, identify, review and recommend
acquisitions and dispositions of Investments to the Board and make Investments on behalf of the Company and the Operating Partnership
in compliance with the investment objectives and policies of the Company; (v) arrange for financing and refinancing and make
other changes in the asset or capital structure of, and dispose of, reinvest the proceeds from the sale of, or otherwise deal
with, Investments; (vi) enter into leases and service contracts for Real Estate Assets and, to the extent necessary, perform
all other operational functions for the maintenance and administration of such Real Estate Assets; (vii) actively oversee
and manage Investments for purposes of meeting the Company’s investment objectives and reviewing and analyzing financial
information for each of the Investments and the overall portfolio; (viii) select Joint Venture partners, structure corresponding
agreements and oversee and monitor these relationships; (ix) oversee, supervise and evaluate Affiliated and non-Affiliated property
managers who perform services for the Company or the Operating Partnership; (x) oversee Affiliated and non-Affiliated Persons
with whom the Advisor contracts to perform certain of the services required to be performed under this Agreement; (xi) manage
accounting and other record-keeping functions for the Company and the Operating Partnership, including reviewing and analyzing
the capital and operating budgets for the Real Estate Assets and generating an annual budget for the Company; (xii) recommend
various liquidity events to the Board when appropriate; and (xiii) source and structure Real Estate Related Loans; 

 

(f)           upon
request, provide the Board with periodic reports regarding prospective investments;

 

(g)           make
investments in, and dispositions of, Investments within the discretionary limits and authority as granted by the Board;

 

(h)           negotiate
on behalf of the Company and the Operating Partnership with banks or other lenders for Loans to be made to the Company, the Operating
Partnership or any of their subsidiaries, and negotiate with investment banking firms and broker-dealers on behalf of the Company,
the Operating Partnership or any of their subsidiaries, or negotiate private sales of Shares or obtain Loans for the Company,
the Operating Partnership or any of their subsidiaries, but in no event in such a manner so that the Advisor shall be acting as
broker-dealer or underwriter; provided , however , that any fees and costs payable to third parties incurred by
the Advisor in connection with the foregoing shall be the responsibility of the Company, the Operating Partnership or any of their
subsidiaries;

 

    	7

    	 

    

  

(i)            obtain
reports (which may, but are not required to, be prepared by the Advisor or its Affiliates), where appropriate, concerning the
value of Investments or contemplated investments of the Company and the Operating Partnership;

 

(j)            from
time to time, or at any time reasonably requested by the Board, make reports to the Board of its performance of services to the
Company and the Operating Partnership under this Agreement, including reports with respect to potential conflicts of interest
involving the Advisor or any of its Affiliates;

 

(k)           provide
the Company and the Operating Partnership with all necessary cash management services;

 

(l)            deliver
to, or maintain on behalf of, the Company copies of all appraisals obtained in connection with the investments in any Real Estate
Assets as may be required to be obtained by the Board;

 

(m)          notify
the Board of all proposed material transactions before they are completed;

 

(n)          effect
any private placement of OP Units, tenancy-in-common (TIC) or other interests in Investments as may be approved by the Board;

 

(o)           perform
investor-relations and Stockholder communications functions for the Company;

  

(p)           render
such services as may be reasonably determined by the Board of Directors consistent with the terms and conditions herein;

 

(q)           maintain
the Company’s accounting and other records and assist the Company in filing all reports required to be filed by it with
the Securities and Exchange Commission, the Internal Revenue Service and other regulatory agencies;

 

(r)           do
all things reasonably necessary to assure its ability to render the services described in this Agreement;

 

(s)           at the
end of each quarter, calculate the NAV as provided in the Registration Statement, and in connection therewith, obtain appraisals
performed by the Independent Valuation Advisor; and

 

(t)           supervise
one or more Independent Valuation Advisor and, if and when necessary, recommend to the Board its replacement.

 

Notwithstanding
the foregoing or anything else that may be to the contrary in this Agreement, the Advisor may delegate any of the foregoing duties
to any Person so long as the Advisor or its Affiliate remains responsible for the performance of the duties set forth in this
Section 3.

 

4.           
AUTHORITY OF ADVISOR.

 

(a)           Pursuant
to the terms of this Agreement (including the restrictions included in this Section 4 and in Section 9),
and subject to the continuing and exclusive authority of the Board over the supervision of the Company, the Company, acting on
the authority of the Board of Directors, hereby delegates to the Advisor the authority to perform the services described in Section 3.

 

(b)           Notwithstanding
anything herein to the contrary, all Investments will require the prior approval of the Board, any particular Directors specified
by the Board or any committee of the Board specified by the Board, as the case may be.

 

    	8

    	 

    

  

(c)           If
a transaction requires approval by the Independent Directors, the Advisor will deliver to the Independent Directors all documents
and other information reasonably required by them to evaluate properly the proposed transaction.

 

(d)           The
Board may, at any time upon the giving of Notice to the Advisor, modify or revoke the authority set forth in this Section 4;
provided, however, that such modification or revocation shall be effective upon receipt by the Advisor and shall not be
applicable to investment transactions to which the Advisor has committed the Company or the Operating Partnership prior to the
date of receipt by the Advisor of such notification.

 

5.           
FIDUCIARY RELATIONSHIP.   The Advisor, as a result of its relationship with the Company and the Operating Partnership
pursuant to this Agreement, has a fiduciary responsibility and duty to the Company, the Stockholders and the partners in the Operating
Partnership. 

 

6.           
NO PARTNERSHIP OR JOINT VENTURE.   Except as provided in Section 10(g), the parties to this Agreement are
not partners or joint venturers with each other and nothing herein shall be construed to make them partners or joint venturers
or impose any liability as such on either of them.

 

7.           
BANK ACCOUNTS.   The Advisor may establish and maintain one or more bank accounts in the name of the Company or
the Operating Partnership and may collect and deposit into any such account or accounts, and disburse from any such account or
accounts, any money on behalf of the Company or the Operating Partnership, under such terms and conditions as the Board may approve;
provided, that no funds shall be commingled with the funds of the Advisor; and, upon request, the Advisor shall render
appropriate accountings of such collections and payments to the Board and to the auditors of the Company. 

 

8.           
RECORDS; ACCESS.   The Advisor shall maintain appropriate records of all its activities hereunder and make such
records available for inspection by the Directors and by counsel, auditors and authorized agents of the Company, at any time and
from time to time.  The Advisor shall at all reasonable times have access to the books and records of the Company and
the Operating Partnership.

 

9.           
LIMITATIONS ON ACTIVITIES   Notwithstanding anything herein to the contrary, the Advisor shall refrain from taking
any action which, in its sole judgment, or in the sole judgment of the Company, made in good faith, would (a) adversely affect
the status of the Company as a REIT, unless the Board has determined that REIT qualification is not in the best interests of the
Company and its Stockholders, (b) subject the Company to regulation under the Investment Company Act of 1940, as amended,
or (c) violate any law, rule, regulation or statement of policy of any governmental body or agency having jurisdiction over
the Company, the Operating Partnership or the Shares, or otherwise not be permitted by the Articles of Incorporation or By-laws,
except if such action shall be ordered by the Board, in which case the Advisor shall notify promptly the Board of the Advisor’s
judgment of the potential impact of such action and shall refrain from taking such action until it receives further clarification
or instructions from the Board.  In such event, the Advisor shall have no liability for acting in accordance with the
specific instructions of the Board so given.

 

10.          FEES.

 

(a)          
Acquisition Fee.  Subject to Section 10(b), the Company shall pay an Acquisition Fee to the Advisor
or its Affiliates as compensation for services rendered in connection with the investigation, selection and acquisition (by purchase,
investment or exchange) of Investments. If the Advisor is terminated without Cause pursuant to Section 17(a), the Advisor
or its Affiliates shall be entitled to an Acquisition Fee for any Investments acquired after the Termination Date for which
a contract to acquire any such Investment had been entered into at or prior to the Termination Date. The total Acquisition
Fee payable to the Advisor or its Affiliates shall equal one percent (1.0%) of the Contract Purchase Price of each Investment.  The
purchase price allocable for an Investment held through a Joint Venture shall equal the product of (i) the Contract Purchase
Price of the Investment and (ii) the direct or indirect ownership percentage in the Joint Venture held directly or indirectly
by the Company or the Operating Partnership.  For purposes of this Section 10(a), “ownership percentage”
shall be the percentage of capital stock, membership interests, partnership interests or other equity interests held by the Company
or the Operating Partnership, without regard to classification of such equity interests.  The Company shall pay to the
Advisor or its Affiliates the Acquisition Fee promptly upon the closing of the Investment.  In addition, if during the
period ending two years after the close of the initial Offering, the Company sells an Investment and then reinvests in other Investments,
the Company will pay to the Advisor or its Affiliates one percent (1.0%) of the Contract Purchase Price of the Investments. 

 

    	9

    	 

    

  

(b)          
Limitation on Total Acquisition Fees, Financing Coordination Fees and Acquisition Expenses.  

 

(i) The total
of all “Acquisition Fees” (as defined in the Articles of Incorporation), Financing Coordination Fees and Acquisition
Expenses payable in connection with the Company’s total portfolio of Investments and reinvestments, if any, shall be reasonable
and shall not exceed an amount equal to four and one-half percent (4.5%) of the Contract Purchase Price of the Company’s
total portfolio of Investments or four and one-half percent (4.5%) of the amount advanced for the Company’s total portfolio
of Investments; provided, however, that once all the proceeds from the initial Offering have been fully invested,
the total of all Acquisition Fees and Financing Coordination Fees shall not exceed one and one-half percent (1.5%) of the
Contract Purchase Price of all the Investments acquired.

 

(ii) In accordance
with the Articles of Incorporation, the total of all Acquisition Fees, Financing Coordination Fees and Acquisition Expenses
payable in connection with any Investment or any reinvestment shall be reasonable and shall not exceed an amount equal to four
and one-half percent (4.5%) of the Contract Purchase Price of the Investment or four and one-half percent (4.5%) of the amount
advanced for any Investment; provided, further, however, that a majority of the Directors (including a
majority of the Independent Directors) not otherwise interested in the transaction may approve fees and expenses in excess
of these limits if they determine the transaction to be commercially competitive, fair and reasonable to the Company.

 

(c)          
Real Estate Commission.  In connection with a Sale of a Real Estate Asset in which the Advisor or any
Affiliate of the Advisor provides a substantial amount of services, as determined by the Independent Directors, the Company shall
pay to the Advisor or its assignees a Real Estate Commission up to the lesser of (i) two percent (2.0%) of the Contract Sales
Price of such Real Estate Asset or (ii) one-half of the Competitive Real Estate Commission paid if a non-Affiliate broker is also
involved; provided, however, that in no event may the Real Estate Commission paid to the Advisor, its Affiliates and non-Affiliates,
exceed the lesser of six percent (6.0%) of the Contract Sales Price and a Competitive Real Estate Commission.

 

(e)          
Financing Coordination Fee.   The Company shall pay a Financing Coordination Fee to the Advisor or its
assignees in connection with the financing of any Investment, assumption of any Loans with respect to any Investment or refinancing
of any Loan in an amount equal to 0.75% of the amount made available and/or outstanding under any such Loan, including any assumed
Loan.  The Advisor may reallow some of or all this Financing Coordination Fee to reimburse third parties with whom it
may subcontract to procure any such Loan.

  

(f)           
Annual Subordinated Performance Fee. The Company may pay the Advisor an Annual Subordinated Performance Fee calculated
on the basis of the total return to Stockholders, payable monthly in arrears in any year in which the Company’s total return
on Stockholders’ capital contributions exceeds six percent (6%) per annum, in an amount equal to fifteen percent (15%) of
the excess total return, provided that the Annual Subordinated Performance Fee shall not exceed ten percent (10%) of the
aggregate total return for such year.

 

(g)         Payment
of Fees.   In connection with the Acquisition Fee, Real Estate Commission, Annual Subordinated Performance Fee,
Asset Management Fee (for any period commencing on or after April 1, 2015) and Financing Coordination Fee, the Company shall pay
such fees to the Advisor or its assignees in cash, in Shares, or a combination of both, the form of payment to be determined in
the sole discretion of the Advisor. For the purposes of the payment of any fees in Shares (a) prior to the NAV Pricing Start Date,
each Share shall be valued at the per-share offering price of the Shares in such Offering minus the maximum Selling Commissions
and Dealer Manager Fee allowed in such Offering, (b) after the NAV Pricing Start Date and prior to listing of the Shares on a
national securities exchange, each Share shall be valued at the then-current NAV per Share and (c) at all other times, each Share
shall be valued by the Board in good faith at the fair market value thereof; provided, however, that in the case
of Asset Management Fees payable in grants of restricted Shares, each Share shall be valued in accordance with the provisions
of the equity incentive plan of the Company pursuant to which such grants are to be made.

  

    	10

    	 

    

  

(h)           Exclusion of Certain Transactions. 

 

(i)           
If the Company or the Operating Partnership shall propose to enter into any transaction in which the Advisor, any Affiliate of
the Advisor or any of the Advisor’s directors or officers has a direct or indirect interest, then such transaction shall
be approved by a majority of the Board not otherwise interested in such transaction, including a majority of the Independent Directors.

 

(ii)           Neither
the Company nor the Operating Partnership shall make Loans to the Advisor or any Affiliate
thereof or certain of the Stockholders except Mortgages (as defined in the Articles of Incorporation) pursuant to Section 9.3(iii)
of the Articles of Incorporation (or any successor provision) or loans to wholly owned subsidiaries of the Company. None of the
Advisor nor any Affiliate thereof, or certain of the Stockholders shall make loans to the Company or the Operating Partnership,
or to Joint Ventures, unless approved by a majority of the Directors (including a majority of the Independent Directors) not otherwise
interested in such transaction as fair, competitive, and commercially reasonable, and no less favorable to the Company or Operating
Partnership, as applicable, than comparable loans between unaffiliated parties.

 

(iii)          The Company
and the Operating Partnership may enter into Joint Ventures with the Advisor or its Affiliates provided that (a) a majority
of Directors (including a majority of Independent Directors) not otherwise interested in the transaction approves the transaction
as being fair and reasonable to the Company or Operating Partnership, as applicable, and (b) the investment by the Company or
Operating Partnership, as applicable, is on substantially the same terms as those received by other joint venturers.

 

 (iv)         If
the Board elects to internalize any management services provided by the Advisor, neither the Company nor the Operating Partnership
shall pay any compensation or other remuneration to the Advisor or its Affiliates in connection with such internalization of management
services; provided, that nothing in this Section 10(h) shall create any right to (x) any assets, intellectual property,
personnel or pipeline of assets of the Advisor or its Affiliates or (y) terminate the Agreement other than as set forth in Section
17.

 

(i)           
Subordinated Participation Interests.   The Company shall cause the Operating Partnership to periodically
issue Subordinated Participation Interests in the Operating Partnership to the Advisor or its assignees, pursuant to the terms
and conditions contained in the Operating Partnership Agreement, in connection with the Advisor’s (or its assignees’)
management of the Operating Partnership’s assets for any period ending prior to or as of March 31, 2015.

 

(j)           Limitation
on Insourced Acquisition Expenses. 

 

(i) The total
of all Insourced Acquisition Expenses with respect to any Investment shall initially be fixed at, and shall not exceed, 0.50%
of the Contract Purchase Price of the Investment or 0.50% of the amount advanced for an Investment, which the Company shall pay
to the Advisor or its Affiliate at the closing of each Investment.

 

    	11

    	 

    

  

(ii) The total
of all Insourced Acquisition Expenses for any calendar year shall initially be fixed at, and shall not exceed, 0.50% of the Contract
Purchase Price of the Investments acquired during such period or 0.50% of the amounts advanced for the Investments made during
such period (to be prorated for any partial calendar year); provided, however, within a reasonable period of time
following the end of each such calendar year, the Company shall perform a Market Check and provide the results thereof to the
Advisor within a reasonable period of time and, if the result of the Market Check is that the projected amount of Acquisition
Expenses that would be incurred if substantially similar services with respect to a substantially similar amount of properties
were to be provided by a Person other than the Advisor or any of its Affiliates during the subsequent calendar year is lower than
the amount of Insourced Acquisition Expenses paid to the Advisor or its Affiliates during the previous calendar year, either (A)
the Advisor shall agree to reduce the cap on the Insourced Acquisition Expenses until the next Market Check such that the cap
on Insourced Acquisition Expenses does not exceed the projected amount of Acquisition Expenses that would be incurred if substantially
similar services with respect to a substantially similar amount of properties were to be provided by a Person other than the Advisor
or any of its Affiliates during the subsequent calendar year or (B) the Company may outsource to a Person other than the Advisor
or its Affiliate certain services previously provided by the Advisor or its Affiliates until the next Market Check.

 

(iii) This Section
10(j) of this Agreement shall be effective as of May 15, 2013 with respect to each Investment going forward.

 

(k)          Asset
Management Fee. For any period commencing on or after April 1, 2015, and in lieu of any Subordinated Participation Interests,
the Company shall pay an Asset Management Fee to the Advisor or its assignees as compensation for services rendered in connection
with the management of the Company’s assets. The Asset Management Fee is payable on the first business day of each month
in the amount of 0.0625% multiplied by (i) the Cost of Assets for the preceding monthly period or (ii) during the period of time
after the Company publishes an NAV, the lower of the Cost of Assets and the fair market value of the Company’s assets as
reported in the applicable periodic or current report filed with the Securities and Exchange Commission disclosing the fair market
value. The Advisor shall submit a computation of the Asset Management Fee to the Company for the applicable month.

 

11.       
  EXPENSES.

 

(a)           In
addition to the compensation paid to the Advisor pursuant to Section 10, the Company or the Operating Partnership
shall pay directly or reimburse the Advisor for all the expenses paid or incurred by the Advisor or its Affiliates in connection
with the services it provides to the Company and the Operating Partnership pursuant to this Agreement, including, the following:

 

(i)             Organization
and Offering Expenses, including third-party due diligence fees related to the Primary Offering, as set forth in detailed and
itemized invoices; provided, however, that the Company shall not reimburse the Advisor to the extent such reimbursement
would cause the total amount of Organization and Offering Expenses paid by the Company and the Operating Partnership to exceed
two percent (2.0%) of the Gross Proceeds raised in all Primary Offerings;

 

(ii)           Acquisition
Expenses, subject to the limitations set forth in Section 10(b), and Insourced Acquisition Expenses, subject to the limitations
set forth in Section 10(i);

 

(iii)          the
actual cost of goods and services used by the Company and obtained from entities not Affiliated with the Advisor;

 

(iv)          interest
and other costs for Loans, including discounts, points and other similar fees; 

 

(v)           taxes
and assessments on income of the Company or Investments;

 

(vi)          costs
associated with insurance required in connection with the business of the Company or by the Board;

 

    	12

    	 

    

 

 

(vii)         expenses
of managing and operating Investments owned by the Company, whether payable to an Affiliate of the Company or a non-affiliated
Person;

 

(viii)        all
expenses in connection with payments to the Directors for attending meetings of the Board and Stockholders;

 

(ix)        
 expenses associated with a Listing, if applicable, or with the issuance and distribution of Shares, such as selling commissions
and fees, advertising expenses, taxes, legal and accounting fees, listing and registration fees;

 

(x)           expenses
connected with payments of Distributions;

 

(xi)           expenses
of organizing, revising, amending, converting, modifying or terminating the Company, the Operating Partnership or any subsidiary
thereof or the Articles of Incorporation, By-laws or governing documents of the Operating Partnership or any subsidiary of the
Company or the Operating Partnership;

 

(xii)          expenses
of maintaining communications with Stockholders, including the cost of preparation, printing, and mailing annual reports and other
Stockholder reports, proxy statements and other reports required by governmental entities;

 

(xiii)  
     administrative service expenses, including all costs and expenses incurred by the Advisor
or its Affiliates in fulfilling its duties hereunder, including reasonable salaries and wages, benefits and overhead of all employees
directly involved in the performance of such services; provided , however , that no reimbursement shall be made
for costs of such employees of the Advisor or its Affiliates to the extent that such employees perform services for which the
Advisor receives a separate fee; and

 

(xiv)        audit,
accounting and legal fees.

 

(b)           Commencing
upon the earlier to occur of (i) the fifth fiscal quarter after the Company makes its first Investment and (ii) six (6) months
after the commencement of the initial Offering, expenses incurred by the Advisor on behalf of the Company and the Operating Partnership
or in connection with the services provided by the Advisor hereunder and payable pursuant to this Section 11 shall be reimbursed
(excluding Insourced Acquisition Expenses, which shall be reimbursed as described in Section 10(i)(i) of this Agreement),
no less than monthly, to the Advisor.

 

12.         
OTHER SERVICES.    Should the Board request that the Advisor or any director, officer or employee thereof
render services for the Company and the Operating Partnership other than set forth in Section 3 , such services shall
be separately compensated at such customary rates and in such customary amounts as are agreed upon by the Advisor and the Board,
including a majority of the Independent Directors, subject to the limitations contained in the Articles of Incorporation, and
shall not be deemed to be services pursuant to the terms of this Agreement.

 

13.         
RESERVED.   

 

14.         
OTHER ACTIVITIES OF THE ADVISOR.   Except as set forth in this Section 14 , nothing herein contained shall
prevent the Advisor or any of its Affiliates from engaging in or earning fees from other activities, including the rendering of
advice to other Persons (including other REITs) and the management of other programs advised, sponsored or organized by the Sponsor
or its Affiliates; nor shall this Agreement limit or restrict the right of any director, officer, member, partner, employee or
stockholder of the Advisor or any of its Affiliates to engage in or earn fees from any other business or to render services of
any kind to any other Person and earn fees for rendering such services; provided, however , that the Advisor must devote
sufficient resources to the Company’s business to discharge its obligations to the Company under this Agreement.  The
Advisor may, with respect to any investment in which the Company is a participant, also render advice and service to each and
every other participant therein, and earn fees for rendering such advice and service. Specifically, it is contemplated
that the Company may enter into Joint Ventures or other similar co-investment arrangements with certain Persons, and pursuant
to the agreements governing such Joint Ventures or arrangements, the Advisor may be engaged to provide advice and service to such
Persons, in which case the Advisor will earn fees for rendering such advice and service.

 

    	13

    	 

    

  

The Advisor
shall report to the Board the existence of any condition or circumstance, existing or anticipated, of which it has knowledge,
which creates or could create a conflict of interest between the Advisor’s obligations to the Company and its obligations
to or its interest in any other Person.  If the Advisor, Director or Affiliates thereof have sponsored other investment
programs with similar investment objectives which have investment funds available at the same time as the Company, the Advisor
shall inform the Board of the method to be applied by the Advisor in allocating investment opportunities among the Company and
competing investment entities and shall provide regular updates to the Board of the investment opportunities provided by the Advisor
to competing programs in order for the Board (including the Independent Directors) to fulfill its duty to ensure that the Advisor
and its Affiliates use their reasonable best efforts to apply such method fairly to the Company. 

 

15.         
THE AMERICAN REALTY CAPITAL NAME.   The Advisor and its Affiliates have or may have a proprietary interest in the
names “American Realty Capital,” “ARC” and “AR Capital.”  The Advisor hereby grants
to the Company, to the extent of any proprietary interest the Advisor may have in any of the names “American Realty Capital,”
“ARC” and “AR Capital,” a non-transferable, non-assignable, non-exclusive, royalty-free right and license
to use the names “American Realty Capital,” “ARC” and “AR Capital” during the term of this
Agreement. The Company agrees that the Advisor and its Affiliates will have the right to approve of any use by the Company of
the names “American Realty Capital,” “ARC” and “AR Capital,” such approval not to be unreasonably
withheld or delayed. Accordingly, and in recognition of this right, if at any time the Company ceases to retain the Advisor or
one of its Affiliates to perform advisory services for the Company, the Company will, promptly after receipt of written request
from the Advisor, cease to conduct business under or use the names “American Realty Capital,” “ARC” and
“AR Capital” or any derivative thereof and the Company shall change its name and the names of any of its subsidiaries
to a name that does not contain the names “American Realty Capital,” “ARC” and “AR Capital”
or any other word or words that might, in the reasonable discretion of the Advisor, be susceptible of indication of some form
of relationship between the Company and the Advisor or any its Affiliates. At such time, the Company will also make any changes
to any trademarks, servicemarks or other marks necessary to remove any references to the words “American Realty Capital,”
“ARC” and “AR Capital.” Consistent with the foregoing, it is specifically recognized that the Advisor
or one or more of its Affiliates has in the past and may in the future organize, sponsor or otherwise permit to exist other investment
vehicles (including vehicles for investment in real estate) and financial and service organizations having any of the names “American
Realty Capital,” “ARC” and “AR Capital” as a part of their name, all without the need for any consent
(and without the right to object thereto) by the Company.  Neither the Advisor nor any of its Affiliates makes any representation
or warranty, express or implied, with respect to the names “American Realty Capital,” “ARC” and “AR
Capital” licensed hereunder or the use thereof (including without limitation as to whether the use of the names “American
Realty Capital,” “ARC” and “AR Capital” will be free from infringement of the intellectual property
rights of third parties.  Notwithstanding the preceding, the Advisor represents and warrants that it is not aware of
any pending claims or litigation or of any claims threatened in writing regarding the use or ownership of the names “American
Realty Capital,” “ARC” and “AR Capital.”

 

16.         
TERM OF AGREEMENT.   This Agreement shall continue in force for a period of one year from the date hereof (the “Initial
Term”). Thereafter, this Agreement shall be deemed renewed automatically each year for an additional one-year period
(an “Automatic Renewal Term”) unless the Independent Directors of the Company or the Advisor elect to terminate
this Agreement in accordance with Section 17 hereof.

 

17.         
TERMINATION BY THE PARTIES.   This Agreement may be terminated at the expiration of the Initial Term or the then
current Automatic Renewal Term by the Independent Directors of the Company or the Advisor, without Cause and without penalty,
upon sixty (60) days’ prior written notice. Notwithstanding the foregoing, this Agreement may be terminated upon forty-five
(45) days’ written notice (a) by the Advisor for Good Reason or upon a Change of Control, or (b) by the Independent Directors
of the Company with Cause. The provisions of Sections 15 and 19 through 31 (inclusive) of this Agreement
shall survive any expiration or earlier termination of this Agreement. 

 

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18.         
ASSIGNMENT TO AN AFFILIATE.   This Agreement may be assigned by the Advisor to an Affiliate with the approval of
a majority of the Directors (including a majority of the Independent Directors).  The Advisor may assign any rights
to receive fees or other payments under this Agreement to any Person without obtaining the approval of the Directors.  This
Agreement shall not be assigned by the Company or the Operating Partnership without the consent of the Advisor, except in the
case of an assignment by the Company or the Operating Partnership to a Person which is a successor to all the assets, rights and
obligations of the Company or the Operating Partnership, in which case such successor Person shall be bound hereunder and by the
terms of said assignment in the same manner as the Company or the Operating Partnership, as applicable, is bound by this Agreement.

 

19.         
PAYMENTS TO AND DUTIES OF ADVISOR UPON TERMINATION.

 

(a)            
Amounts Owed.  After the Termination Date, the Advisor shall be entitled to receive from the Company or
the Operating Partnership within thirty (30) days after the effective date of such termination all amounts then accrued and
owing to the Advisor, including all its interest in the Company’s income, losses, distributions and capital by payment of
an amount equal to the then-present fair market value of the Advisor’s interest.

  

(b)           
Advisor’s Duties.  The Advisor shall promptly upon termination of this Agreement:

 

 (i)           pay
over to the Company and the Operating Partnership all money collected and held for the account of the Company and the Operating
Partnership pursuant to this Agreement, after deducting any accrued compensation and reimbursement for its expenses to which it
is then entitled;

 

(ii)          deliver
to the Board a full accounting, including a statement showing all payments collected by it and a statement of all money held by
it, covering the period following the date of the last accounting furnished to the Board;

 

(iii)         deliver
to the Board all assets, including all Investments, and documents of the Company and the Operating Partnership then in the custody
of the Advisor; and

 

(iv)         cooperate
with the Company and the Operating Partnership to provide an orderly management transition.

 

20.         INCORPORATION
OF THE ARTICLES OF INCORPORATION AND THE OPERATING PARTNERSHIP AGREEMENT.  To the extent that the Articles of Incorporation
or the Operating Partnership Agreement as in effect on the date hereof impose obligations or restrictions on the Advisor or grant
the Advisor certain rights which are not set forth in this Agreement, the Advisor shall abide by such obligations or restrictions
and such rights shall inure to the benefit of the Advisor with the same force and effect as if they were set forth herein.

 

21.         
INDEMNIFICATION BY THE COMPANY AND THE OPERATING PARTNERSHIP. 

 

(a)           The
Company and the Operating Partnership, jointly and severally, shall indemnify and hold harmless the Advisor and its Affiliates,
as well as their respective officers, directors, equity holders, members, partners, stockholders, other equity holders and employees
(collectively, the “Indemnitees,” and each, an “Indemnitee”), from and against all losses,
claims, damages, losses, joint or several, expenses (including reasonable attorneys’ fees and other legal fees and expenses),
judgments, fines, settlements, and other amounts (collectively, “Losses,” and each, a “Loss”)
arising in the performance of their duties hereunder, including reasonable attorneys’ fees, to the extent such Losses are
not fully reimbursed by insurance, and to the extent that such indemnification would not be inconsistent with the laws of the
State of New York, the Articles of Incorporation or the provisions of Section II.G of the NASAA REIT Guidelines, if applicable.
Notwithstanding the foregoing, the Company and the Operating Partnership shall not provide for indemnification of an Indemnitee
for any Loss suffered by such Indemnitee, nor shall they provide that an Indemnitee be held harmless for any Loss suffered by
the Company and the Operating Partnership, unless all the following conditions are met:

 

    	15

    	 

    

  

(i)            the
Indemnitee has determined, in good faith, that the course of conduct that caused the loss or liability was in the best interest
of the Company and the Operating Partnership;

 

(ii)           the
Indemnitee was acting on behalf of, or performing services for, the Company or the Operating Partnership;

 

(iii)          such
Loss was not the result of negligence or willful misconduct by the Indemnitee; and

 

(iv)         such
indemnification or agreement to hold harmless is recoverable only out of the Company’s net assets and not from the Stockholders.

 

(b)           Notwithstanding
the foregoing, an Indemnitee shall not be indemnified by the Company and the Operating Partnership for any Losses arising from
or out of an alleged violation of federal or state securities laws by such Indemnitee unless one or more of the following conditions
are met:

 

(i)            there
has been a successful adjudication on the merits of each count involving alleged securities law violations as to the Indemnitee;

 

(ii)           such
claims have been dismissed with prejudice on the merits by a court of competent jurisdiction as to the Indemnitee; or

 

(iii)          a
court of competent jurisdiction approves a settlement of the claims against the Indemnitee and finds that indemnification of the
settlement and the related costs should be made, and the court considering the request for indemnification has been advised of
the position of the Securities and Exchange Commission and of the published position of any state securities regulatory authority
in which securities of the Company or the Operating Partnership were offered or sold as to indemnification for violation of securities
laws.

 

(c)           In
addition, the advancement of the Company’s or the Operating Partnership’s funds to an Indemnitee for legal expenses
and other costs incurred as a result of any legal action for which indemnification is being sought is permissible only if all
the following conditions are satisfied:

 

(i)            the
legal action relates to acts or omissions with respect to the performance of duties or services on behalf of the Company or the
Operating Partnership;

 

(ii)           the
legal action is initiated by a third party who is not a Stockholder or the legal action is initiated by a Stockholder acting in
such Stockholder’s capacity as such and a court of competent jurisdiction specifically approves such advancement; and

 

(iii)          the
Indemnitee undertakes to repay the advanced funds to the Company or the Operating Partnership, together with the applicable legal
rate of interest thereon, in cases in which such Indemnitee is found not to be entitled to indemnification.

 

22.         
INDEMNIFICATION BY ADVISOR.   The Advisor shall indemnify and hold harmless the Company and the Operating Partnership
from Losses, including reasonable attorneys’ fees to the extent that such Losses are not fully reimbursed by insurance and
are incurred by reason of the Advisor’s bad faith, fraud, willful misfeasance, intentional misconduct, gross negligence
or reckless disregard of its duties; provided, however, that the Advisor shall not be held responsible for any action of
the Board in following or declining to follow any advice or recommendation given by the Advisor.

 

    	16

    	 

    

  

23.         
NOTICES.   Any notice, report or other communication (each a “ Notice ”) required or permitted
to be given hereunder shall be in writing unless some other method of giving such Notice is required by the Articles of Incorporation,
the By-laws, and shall be given by being delivered by hand, by courier or overnight carrier or by registered or certified mail
to the addresses set forth below: 

 

	To the Company:	American Realty Capital Healthcare Trust II, Inc.
	 	405 Park Avenue
	 	New York, New York 10022
	 	Attention:  Chief Executive Officer
	 	 	
	 	with a copy to:
	 	 
	 	Proskauer Rose LLP
	 	Eleven Times Square
	 	New York, New York 10036
	 	Attention:  Peter M. Fass, Esq.
	 	 
	To the Operating Partnership:	American Realty Capital Healthcare Trust II Operating Partnership,
    L.P.
	 	C/O American Realty Capital Healthcare Trust II, Inc., its General Partner
	 	405 Park Avenue
	 	New York, New York 10022
	 	Attention:  Chief Executive Officer
	 	 
	 	with a copy to:
	 	 
	 	Proskauer Rose LLP
	 	Eleven Times Square
	 	New York, New York 10036
	 	Attention:  Peter M. Fass, Esq.
	 	 
	To the Advisor:	American Realty Capital Healthcare II Advisors, LLC
	 	405 Park Avenue
	 	New York, New York 10022
	 	Attention:  Chief Executive Officer
	 	 
	 	with a copy to:
	 	 
	 	RCS Capital Corporation
	 	405 Park Avenue
	 	New York, New York 10022
	 	Attention:  General Counsel

 

Any party may at any time give Notice
in writing to the other parties of a change in its address for the purposes of this Section 23 .

 

24.         
MODIFICATION.   This Agreement shall not be amended, supplemented, terminated, or discharged, in whole or in part,
except by an instrument in writing signed by the parties hereto, or their respective successors or assignees.

 

25.         
SEVERABILITY.   The provisions of this Agreement are independent of and severable from each other, and no provision
shall be affected or rendered invalid or unenforceable by virtue of the fact that for any reason any other or others of them may
be invalid or unenforceable in whole or in part.

 

26.         GOVERNING
LAW.   The provisions of this Agreement shall be construed and interpreted in accordance with the laws
of the State of New York as at the time in effect, without regard to the principles of conflicts of laws thereof.

 

    	17

    	 

    

  

27.         
ENTIRE AGREEMENT.   This Agreement contains the entire agreement and understanding among the parties hereto with
respect to the subject matter hereof, and supersedes all prior and contemporaneous agreements, understandings, inducements and
conditions, express or implied, oral or written, of any nature whatsoever with respect to the subject matter hereof.  The
express terms hereof control and supersede any course of performance or usage of the trade inconsistent with any of the terms
hereof.  

 

28.         
NO WAIVER.   Neither the failure nor any delay on the part of a party to exercise any right, remedy, power or privilege
under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or
privilege preclude any other or further exercise of the same or of any other right, remedy, power or privilege, nor shall any
waiver of any right, remedy, power or privilege with respect to any occurrence be construed as a waiver of such right, remedy,
power or privilege with respect to any other occurrence.  No waiver shall be effective unless it is in writing and is
signed by the party asserted to have granted such waiver.

 

29.          PRONOUNS
AND PLURALS.   Whenever the context may require, any pronoun used in this Agreement shall include the corresponding
masculine, feminine or neuter forms, and the singular form of nouns, pronouns and verbs shall include the plural and vice versa.

 

30.         
HEADINGS.   The titles of sections and subsections contained in this Agreement are for convenience only, and they
neither form a part of this Agreement nor are they to be used in the construction or interpretation hereof.

 

31.         
EXECUTION IN COUNTERPARTS.   This Agreement may be executed (including by facsimile transmission) with counterpart
signature pages or in any number of counterparts, each of which shall be deemed to be an original as against any party whose signature
appears thereon, and all of which shall together constitute one and the same instrument.

 

[Remainder
of page intentionally left blank]

 

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IN WITNESS WHEREOF,
the undersigned have executed this Agreement as of the date first written above.

 

	 	AMERICAN REALTY CAPITAL HEALTHCARE TRUST II, INC.
	 	 
	 	By:	/s/ Thomas P. D’Arcy
	 	 	Name: Thomas P. D’Arcy
	 	 	Title: Chief Executive Officer
	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE TRUST II OPERATING PARTNERSHIP,
    L.P.
	 	 
	 	By: 	American Realty Healthcare Trust II, Inc.
	 	 	 
	 	 	its General Partner
	 	 	 
	 	By:	/s/ Thomas P. D’Arcy
	 	 	Name: Thomas P. D’Arcy
	 	 	Title: Chief Executive Officer
	 	 
	 	AMERICAN REALTY CAPITAL HEALTHCARE II ADVISORS, LLC
	 	 
	 	By: 	American Realty Capital Healthcare II Special Limited Partner, LLC
	 	 	 
	 	 	its Member
	 	 	 
	 	By: 	American Realty Capital VII, LLC
	 	 	 
	 	 	its Managing Member
	 	 	 
	 	By:	/s/ William M. Kahane
	 	 	Name: William M. Kahane
	 	 	Title: Authorized Signatory

 

    	19

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