Document:

Saba Software, Inc. Amended and Restated 2009 Stock Incentive Plan

 Exhibit 10.1 
 SABA SOFTWARE, INC. 
 AMENDED AND RESTATED 2009 STOCK INCENTIVE PLAN

 (AS AMENDED AND RESTATED ON NOVEMBER 16, 2011) 

1. Purposes of the Plan. The purposes of this Plan are to attract and retain the best available personnel, to provide additional
incentives to Employees, Directors and Consultants and to promote the success of the Company’s business. 
 2.
Definitions. The following definitions shall apply as used herein and in the individual Award Agreements except as defined otherwise in an individual Award Agreement. In the event a term is separately defined in an individual Award Agreement,
such definition shall supersede the definition contained in this Section 2. 
 (a) “Administrator” means
the Board or any of the Committees appointed to administer the Plan. 
 (b) “Affiliate” and
“Associate” shall have the respective meanings ascribed to such terms in Rule 12b-2 promulgated under the Exchange Act. 
 (c) “Applicable Laws” means the legal requirements relating to the Plan and the Awards under applicable provisions of federal securities laws, state corporate and securities laws, the
Code, the rules of any applicable stock exchange or national market system, and the rules of any non-U.S. jurisdiction applicable to Awards granted to residents therein. 
 (d) “Assumed” means that pursuant to a Corporate Transaction either (i) the Award is expressly affirmed by the Company or (ii) the contractual obligations represented by the
Award are expressly assumed (and not simply by operation of law) by the successor entity or its Parent in connection with the Corporate Transaction with appropriate adjustments to the number and type of securities of the successor entity or its
Parent subject to the Award and the exercise or purchase price thereof which at least preserves the compensation element of the Award existing at the time of the Corporate Transaction as determined in accordance with the instruments evidencing the
agreement to assume the Award. 
 (e) “Award” means the grant of an Option, SAR, Dividend Equivalent Right,
Restricted Stock, Restricted Stock Unit or other right or benefit under the Plan. 
 (f) “Award Agreement”
means the written agreement evidencing the grant of an Award executed by the Company and the Grantee, including any amendments thereto. 
 (g) “Board” means the Board of Directors of the Company. 
 (h)
“Change in Control” means a change in ownership or control of the Company effected through either of the following transactions: 
 (i) the direct or indirect acquisition by any person or related group of persons (other than an acquisition from or by the Company or by a Company-sponsored employee benefit plan or by a person that
directly or indirectly controls, is controlled by, or is under common control with, the Company) of beneficial ownership (within the meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than fifty percent (50%) of the
total combined voting power of the Company’s outstanding securities pursuant to a tender or exchange offer made directly to the Company’s stockholders which a majority of the Continuing Directors who are not Affiliates or Associates of the
offeror do not recommend such stockholders accept, or 
 (ii) a change in the composition of the Board over a period of
thirty-six (36) months or less such that a majority of the Board members (rounded up to the next whole number) ceases, by reason of one or more contested elections for Board membership, to be comprised of individuals who are Continuing
Directors. 

  
 A - 1

 (i) “Code” means the Internal Revenue Code of 1986, as amended. 

(j) “Committee” means any committee composed of members of the Board appointed by the Board to administer the Plan.

 (k) “Common Stock” means the common stock of the Company. 

(l) “Company” means Saba Software, Inc., a Delaware corporation, or any successor entity that adopts the Plan in
connection with a Corporate Transaction. 
 (m) “Consultant” means any person (other than an Employee or a
Director, solely with respect to rendering services in such person’s capacity as a Director) who is engaged by the Company or any Related Entity to render consulting or advisory services to the Company or such Related Entity. 

(n) “Continuing Directors” means members of the Board who either (i) have been Board members continuously for a
period of at least thirty-six (36) months or (ii) have been Board members for less than thirty-six (36) months and were elected or nominated for election as Board members by at least a majority of the Board members described in
clause (i) who were still in office at the time such election or nomination was approved by the Board. 
 (o)
“Continuous Service” means that the provision of services to the Company or a Related Entity in any capacity of Employee, Director or Consultant is not interrupted or terminated. In jurisdictions requiring notice in advance of an
effective termination as an Employee, Director or Consultant, Continuous Service shall be deemed terminated upon the actual cessation of providing services to the Company or a Related Entity notwithstanding any required notice period that must be
fulfilled before a termination as an Employee, Director or Consultant can be effective under Applicable Laws. A Grantee’s Continuous Service shall be deemed to have terminated either upon an actual termination of Continuous Service or upon the
entity for which the Grantee provides services ceasing to be a Related Entity. Continuous Service shall not be considered interrupted in the case of (i) any approved leave of absence, (ii) transfers among the Company, any Related Entity,
or any successor, in any capacity of Employee, Director or Consultant, or (iii) any change in status as long as the individual remains in the service of the Company or a Related Entity in any capacity of Employee, Director or Consultant (except
as otherwise provided in the Award Agreement). An approved leave of absence shall include sick leave, military leave, or any other authorized personal leave. For purposes of each Incentive Stock Option granted under the Plan, if such leave exceeds
three (3) months, and reemployment upon expiration of such leave is not guaranteed by statute or contract, then the Incentive Stock Option shall be treated as a Non-Qualified Stock Option on the day three (3) months and one (1) day
following the expiration of such three (3) month period. 
 (p) “Corporate Transaction” means any of the
following transactions, provided, however, that the Administrator shall determine under parts (iv) and (v) whether multiple transactions are related, and its determination shall be final, binding and conclusive: 

(i) a merger or consolidation in which the Company is not the surviving entity, except for a transaction the principal purpose of which
is to change the state in which the Company is incorporated; 
 (ii) the sale, transfer or other disposition of all or
substantially all of the assets of the Company; 
 (iii) any reverse merger or series of related transactions culminating in a
reverse merger (including, but not limited to, a tender offer followed by a reverse merger) in which the Company is the surviving entity but (A) the shares of Common Stock outstanding immediately prior to such merger are converted or exchanged
by virtue of the merger into other property, whether in the form of securities, cash or otherwise, or (B) in which securities possessing more than fifty percent (50%) of the total combined voting power of the Company’s outstanding
securities are transferred to a person or persons different from those who held such securities immediately prior to such merger or the initial transaction culminating in such merger; or 

(iv) acquisition in a single or series of related transactions by any person or related group of persons (other than the Company or by a
Company-sponsored employee benefit plan) of beneficial ownership (within the meaning of Rule 13d-3 of the Exchange Act) of securities possessing more than fifty percent 

  
 A - 2

 
(50%) of the total combined voting power of the Company’s outstanding securities but excluding any such transaction or series of related transactions that the Administrator determines
shall not be a Corporate Transaction. 
 (q) “Covered Employee” means an Employee who is a “covered
employee” under Section 162(m)(3) of the Code. 
 (r) “Director” means a member of the Board or the
board of directors of any Related Entity. 
 (s) “Disability” means as defined under the long-term disability
policy of the Company or the Related Entity to which the Grantee provides services regardless of whether the Grantee is covered by such policy. If the Company or the Related Entity to which the Grantee provides service does not have a long-term
disability plan in place, “Disability” means that a Grantee is unable to carry out the responsibilities and functions of the position held by the Grantee by reason of any medically determinable physical or mental impairment for a period of
not less than ninety (90) consecutive days. A Grantee will not be considered to have incurred a Disability unless he or she furnishes proof of such impairment sufficient to satisfy the Administrator in its discretion. 

(t) “Dividend Equivalent Right” means a right entitling the Grantee to compensation measured by dividends paid with
respect to Common Stock. 
 (u) “Employee” means any person, including an Officer or Director, who is in the
employ of the Company or any Related Entity, subject to the control and direction of the Company or any Related Entity as to both the work to be performed and the manner and method of performance. The payment of a director’s fee by the Company
or a Related Entity shall not be sufficient to constitute “employment” by the Company. 
 (v) “Exchange
Act” means the Securities Exchange Act of 1934, as amended. 
 (w) “Fair Market Value” means, as of
any date, the value of Common Stock determined as follows: 
 (i) If the Common Stock is listed on one or more established stock
exchanges or national market systems, including without limitation The NASDAQ Global Select Market, The NASDAQ Global Market or The NASDAQ Capital Market of The NASDAQ Stock Market LLC, its Fair Market Value shall be the closing sales price for such
stock (or the closing bid, if no sales were reported) as quoted on the principal exchange or system on which the Common Stock is listed (as determined by the Administrator) on the date of determination (or, if no closing sales price or closing bid
was reported on that date, as applicable, on the last trading date such closing sales price or closing bid was reported), as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 

(ii) If the Common Stock is regularly quoted on an automated quotation system (including the OTC Bulletin Board) or by a recognized
securities dealer, its Fair Market Value shall be the closing sales price for such stock as quoted on such system or by such securities dealer on the date of determination, but if selling prices are not reported, the Fair Market Value of a share of
Common Stock shall be the mean between the high bid and low asked prices for the Common Stock on the date of determination (or, if no such prices were reported on that date, on the last date such prices were reported), as reported in The Wall Street
Journal or such other source as the Administrator deems reliable; or 
 (iii) In the absence of an established market for the
Common Stock of the type described in (i) and (ii), above, the Fair Market Value thereof shall be determined by the Administrator in good faith. 
 (x) “Grantee” means an Employee, Director or Consultant who receives an Award under the Plan. 
 (y) “Incentive Stock Option” means an Option intended to qualify as an incentive stock option within the meaning of Section 422 of the Code. 

(z) “Non-Qualified Stock Option” means an Option not intended to qualify as an Incentive Stock Option. 

  
 A - 3

 (aa) “Officer” means a person who is an officer of the Company or a Related
Entity within the meaning of Section 16 of the Exchange Act and the rules and regulations promulgated thereunder. 
 (bb)
“Option” means an option to purchase Shares pursuant to an Award Agreement granted under the Plan. 
 (cc)
“Parent” means a “parent corporation”, whether now or hereafter existing, as defined in Section 424(e) of the Code. 
 (dd) “Performance-Based Compensation” means compensation qualifying as “performance-based compensation” under Section 162(m) of the Code. 

(ee) “Plan” means this Amended and Restated 2009 Stock Incentive Plan. 

(ff) “Related Entity” means any Parent or Subsidiary of the Company. 

(gg) “Related Entity Disposition” means the sale, distribution or other disposition by the Company, a Parent or a
Subsidiary of all or substantially all of the interests of the Company, a Parent or a Subsidiary in any Related Entity effected by a sale, merger or consolidation or other transaction involving that Related Entity or the sale of all or substantially
all of the assets of that Related Entity, other than any Related Entity Disposition to the Company, a Parent or a Subsidiary. 

(hh) “Replaced” means that pursuant to a Corporate Transaction the Award is replaced with a comparable stock award
or a cash incentive program of the Company, the successor entity (if applicable) or Parent of either of them which preserves the compensation element of such Award existing at the time of the Corporate Transaction and provides for subsequent payout
in accordance with the same (or a more favorable) vesting schedule applicable to such Award. The determination of Award comparability shall be made by the Administrator and its determination shall be final, binding and conclusive. 

(ii) “Restricted Stock” means Shares issued under the Plan to the Grantee for such consideration, if any, and subject to
such restrictions on transfer, rights of first refusal, repurchase provisions, forfeiture provisions, and other terms and conditions as established by the Administrator. 
 (jj) “Restricted Stock Units” means an Award which may be earned in whole or in part upon the passage of time or the attainment of performance criteria established by the Administrator
and which may be settled for cash, Shares or other securities or a combination of cash, Shares or other securities as established by the Administrator. 
 (kk) “Rule 16b-3” means Rule 16b-3 promulgated under the Exchange Act or any successor thereto. 
 (ll) “SAR” means a stock appreciation right entitling the Grantee to Shares or cash compensation, as established by the Administrator, measured by appreciation in the value of Common
Stock. 
 (mm) “Share” means a share of the Common Stock. 

(nn) “Subsidiary” means a “subsidiary corporation”, whether now or hereafter existing, as defined in
Section 424(f) of the Code. 
 3. Stock Subject to the Plan. 

(a) Subject to the provisions of Section 10, below, the maximum aggregate number of Shares which may be issued pursuant to all Awards
(including Incentive Stock Options) is Six Million Nine Hundred Thousand (6,900,000) Shares, provided that Shares previously issued pursuant to Awards may not be issued again, except to the extent such previously issued Shares were returned to
or deemed not to have been issued from the Plan. 

  
 A - 4

 
Notwithstanding the foregoing, any Shares subject to Awards other than Options or SARs shall be counted against the limit set forth herein as follows: (i) with respect to Awards granted
under the Plan on or after the date the Company’s stockholders approve the amended and restated Plan at the 2011 annual meeting of stockholders (the “Approval Date”), Shares subject to each such Award shall be counted as One and
Ninety-Eight Hundredths (1.98) Shares for every one (1) Share subject to such Award (and shall be counted as One and Ninety-Eight Hundredths (1.98) Shares for every one (1) Share subject to such Award that is returned to (or
deemed not to have been issued under) the Plan pursuant to Section 3(b), below); (ii) with respect to Awards granted under the Plan on or after March 18, 2011, but prior to the Approval Date, Shares subject to each such Award shall be
counted against the limit set forth herein as Two and Three Hundredths (2.03) Shares for every one (1) Share subject to such Award (and shall be counted as Two and Three Hundredths (2.03) Shares for every one (1) Share subject to
such Award that is returned to (or deemed not to have been issued under) the Plan pursuant to Section 3(b), below); and (iii) with respect to Awards granted under the Plan prior to March 18, 2011, Shares subject to each such Award
shall be counted against the limit set forth herein as One and Twenty-Six Hundredths (1.26) Shares for every one (1) Share subject to such Award (and shall be counted as One and Twenty-Six Hundredths (1.26) Shares for every one
(1) Share subject to such Award that is returned to (or deemed not to have been issued under) the Plan pursuant to Section 3(b), below). The Shares to be issued pursuant to Awards may be authorized, but unissued, or reacquired Common
Stock. 
 (b) Any Shares covered by an Award (or portion of an Award) which is forfeited, canceled or expires (whether
voluntarily or involuntarily) shall be deemed not to have been issued for purposes of determining the maximum aggregate number of Shares which may be issued under the Plan. Shares that actually have been issued under the Plan pursuant to an Award
shall not be returned to the Plan and shall not become available for future issuance under the Plan, except that if unvested Shares are forfeited, or repurchased by the Company at the lower of their original purchase price or their Fair Market Value
at the time of repurchase, such Shares shall become available for future grant under the Plan. Notwithstanding anything to the contrary contained herein: (i) Shares tendered or withheld in payment of an Option exercise price shall not be
returned to the Plan and shall not become available for future issuance under the Plan; (ii) Shares withheld by the Company to satisfy any tax withholding obligation shall not be returned to the Plan and shall not become available for future
issuance under the Plan; and (iii) all Shares covered by the portion of an SAR that is exercised (whether or not Shares are actually issued to the Grantee upon exercise of the SAR) shall be considered issued pursuant to the Plan. 

4. Administration of the Plan. 
 (a) Plan Administrator. 
 (i) Administration with Respect to Directors
and Officers. With respect to grants of Awards to Directors or Employees who are also Officers or Directors of the Company, the Plan shall be administered by (A) the Board or (B) a Committee designated by the Board, which Committee
shall be constituted in such a manner as to satisfy the Applicable Laws and to permit such grants and related transactions under the Plan to be exempt from Section 16(b) of the Exchange Act in accordance with Rule 16b-3. Once appointed,
such Committee shall continue to serve in its designated capacity until otherwise directed by the Board. 
 (ii)
Administration With Respect to Consultants and Other Employees. With respect to grants of Awards to Employees or Consultants who are neither Directors nor Officers of the Company, the Plan shall be administered by (A) the Board or
(B) a Committee designated by the Board, which Committee shall be constituted in such a manner as to satisfy the Applicable Laws. Once appointed, such Committee shall continue to serve in its designated capacity until otherwise directed by the
Board. The Board may authorize one or more Officers to grant such Awards and may limit such authority as the Board determines from time to time. 
 (iii) Administration With Respect to Covered Employees. Notwithstanding the foregoing, grants of Awards to any Covered Employee intended to qualify as Performance-Based Compensation shall be made
only by a Committee (or subcommittee of a Committee) which is comprised solely of two or more Directors eligible to serve on a committee making Awards qualifying as Performance-Based Compensation. In the case of such Awards granted to Covered
Employees, references to the “Administrator” or to a “Committee” shall be deemed to be references to such Committee or subcommittee. 

  
 A - 5

 (iv) Administration Errors. In the event an Award is granted in a manner
inconsistent with the provisions of this subsection (a), such Award shall be presumptively valid as of its grant date to the extent permitted by the Applicable Laws. 
 (b) Powers of the Administrator. Subject to Applicable Laws and the provisions of the Plan (including any other powers given to the Administrator hereunder), and except as otherwise provided by the
Board, the Administrator shall have the authority, in its discretion: 
 (i) to select the Employees, Directors and Consultants
to whom Awards may be granted from time to time hereunder; 
 (ii) to determine whether and to what extent Awards are granted
hereunder; 
 (iii) to determine the number of Shares or the amount of other consideration to be covered by each Award granted
hereunder; 
 (iv) to approve forms of Award Agreements for use under the Plan; 

(v) to determine the terms and conditions of any Award granted hereunder; 

(vi) to amend the terms of any outstanding Award granted under the Plan, provided that (A) any amendment that would adversely
affect the Grantee’s rights under an outstanding Award shall not be made without the Grantee’s written consent, provided, however, that an amendment or modification that may cause an Incentive Stock Option to become a Non-Qualified Stock
Option shall not be treated as adversely affecting the rights of the Grantee, (B) the reduction of the exercise price of any Option awarded under the Plan and the base appreciation amount of any SAR awarded under the Plan shall be subject to
stockholder approval and (C) canceling an Option or SAR at a time when its exercise price or base appreciation amount (as applicable) exceeds the Fair Market Value of the underlying Shares, in exchange for cash, another Option, SAR, Restricted
Stock, or other Award shall be subject to stockholder approval, unless the cancellation and exchange occurs in connection with a Corporate Transaction. Notwithstanding the foregoing, canceling an Option or SAR in exchange for another Option, SAR,
Restricted Stock, or other Award with an exercise price, purchase price or base appreciation amount (as applicable) that is equal to or greater than the exercise price or base appreciation amount (as applicable) of the original Option or SAR shall
not be subject to stockholder approval; 
 (vii) to construe and interpret the terms of the Plan and Awards, including without
limitation, any notice of award or Award Agreement, granted pursuant to the Plan; 
 (viii) to grant Awards to Employees,
Directors and Consultants employed outside the United States on such terms and conditions different from those specified in the Plan as may, in the judgment of the Administrator, be necessary or desirable to further the purpose of the Plan; and

 (ix) to take such other action, not inconsistent with the terms of the Plan, as the Administrator deems appropriate.

 The express grant in the Plan of any specific power to the Administrator shall not be construed as limiting any power or
authority of the Administrator; provided that the Administrator may not exercise any right or power reserved to the Board. Any decision made, or action taken, by the Administrator or in connection with the administration of this Plan shall be final,
conclusive and binding on all persons having an interest in the Plan. (c) Indemnification. In addition to such other rights of indemnification as they may have as members of the Board or as Officers or Employees of the Company or a Related
Entity, members of the Board and any Officers or Employees of the Company or a Related Entity to whom authority to act for the Board, the Administrator or the Company is delegated shall be defended and indemnified by the Company to the extent
permitted by law on an after-tax basis against all reasonable expenses, including attorneys’ fees, actually and necessarily incurred in connection with the defense of any claim, investigation, action, suit or proceeding, or in connection with
any appeal therein, to which they or any of them may be a party by reason of any action taken or failure to act under 

  
 A - 6

 
or in connection with the Plan, or any Award granted hereunder, and against all amounts paid by them in settlement thereof (provided such settlement is approved by the Company) or paid by them in
satisfaction of a judgment in any such claim, investigation, action, suit or proceeding, except in relation to matters as to which it shall be adjudged in such claim, investigation, action, suit or proceeding that such person is liable for gross
negligence, bad faith or intentional misconduct; provided, however, that within thirty (30) days after the institution of such claim, investigation, action, suit or proceeding, such person shall offer to the Company, in writing, the opportunity
at the Company’s expense to defend the same. 
 5. Eligibility. Awards other than Incentive Stock Options may be
granted to Employees, Directors and Consultants. Incentive Stock Options may be granted only to Employees of the Company or a Parent or a Subsidiary of the Company. An Employee, Director or Consultant who has been granted an Award may, if otherwise
eligible, be granted additional Awards. Awards may be granted to such Employees, Directors or Consultants who are residing in non-U.S. jurisdictions as the Administrator may determine from time to time. 

6. Terms and Conditions of Awards. 
 (a) Types of Awards. The Administrator is authorized under the Plan to award any type of arrangement to an Employee, Director or Consultant that is not inconsistent with the provisions of the Plan
and that by its terms involves or might involve the issuance of (i) Shares, (ii) cash or (iii) an Option, a SAR, or similar right with a fixed or variable price related to the Fair Market Value of the Shares and with an exercise or
conversion privilege related to the passage of time, the occurrence of one or more events, or the satisfaction of performance criteria or other conditions. Such awards include, without limitation, Options, SARs, sales or bonuses of Restricted Stock,
Restricted Stock Units or Dividend Equivalent Rights, and an Award may consist of one such security or benefit, or two (2) or more of them in any combination or alternative. 

(b) Designation of Award. Each Award shall be designated in the Award Agreement. In the case of an Option, the Option shall be
designated as either an Incentive Stock Option or a Non-Qualified Stock Option. However, notwithstanding such designation, an Option will qualify as an Incentive Stock Option under the Code only to the extent the $100,000 dollar limitation of
Section 422(d) of the Code is not exceeded. The $100,000 limitation of Section 422(d) of the Code is calculated based on the aggregate Fair Market Value of the Shares subject to Options designated as Incentive Stock Options which become
exercisable for the first time by a Grantee during any calendar year (under all plans of the Company or any Parent or Subsidiary of the Company). For purposes of this calculation, Incentive Stock Options shall be taken into account in the order in
which they were granted, and the Fair Market Value of the Shares shall be determined as of the grant date of the relevant Option. In the event that the Code or the regulations promulgated thereunder are amended after the date the Plan becomes
effective to provide for a different limit on the Fair Market Value of Shares permitted to be subject to Incentive Stock Options, then such different limit will be automatically incorporated herein and will apply to any Options granted after the
effective date of such amendment. 
 (c) Conditions of Award. Subject to the terms of the Plan, the Administrator shall
determine the provisions, terms, and conditions of each Award including, but not limited to, the Award vesting schedule, repurchase provisions, rights of first refusal, forfeiture provisions, form of payment (cash, Shares, or other consideration)
upon settlement of the Award, payment contingencies, and satisfaction of any performance criteria. The performance criteria established by the Administrator may be based on any one of, or combination of, the following: (i) increase in share
price, (ii) earnings per share, (iii) total stockholder return, (iv) operating margin, (v) gross margin, (vi) return on equity, (vii) return on assets, (viii) return on investment, (ix) operating income,
(x) net operating income, (xi) pre-tax profit, (xii) cash flow, (xiii) revenue, (xiv) expenses, (xv) earnings before interest, taxes and depreciation, (xvi) economic value added and (xvii) market share. The
performance criteria may be applicable to the Company, Related Entities and/or any individual business units of the Company or any Related Entity. Partial achievement of the specified criteria may result in a payment or vesting corresponding to the
degree of achievement as specified in the Award Agreement. In addition, the performance criteria shall be calculated in accordance with generally accepted accounting principles, but excluding the effect (whether positive or negative) of any change
in accounting standards and any extraordinary, unusual or nonrecurring item, as determined by the Administrator, occurring after the establishment of the performance 

  
 A - 7

 
criteria applicable to the Award intended to be Performance-Based Compensation. Each such adjustment, if any, shall be made solely for the purpose of providing a consistent basis from period to
period for the calculation of performance criteria in order to prevent the dilution or enlargement of the Grantee’s rights with respect to an Award intended to be Performance-Based Compensation. Any compensation earned in connection with a
Dividend Equivalent Right granted in combination with an Award intended to be Performance-Based Compensation shall be settled when the performance criteria applicable to such Award have been achieved. 

(d) Acquisitions and Other Transactions. The Administrator may issue Awards under the Plan in settlement, assumption or
substitution for, outstanding awards or obligations to grant future awards in connection with the Company or a Related Entity acquiring another entity, an interest in another entity or an additional interest in a Related Entity whether by merger,
stock purchase, asset purchase or other form of transaction. 
 (e) Deferral of Award Payment. The Administrator may
establish one or more programs under the Plan to permit selected Grantees the opportunity to elect to defer receipt of consideration upon exercise of an Award, satisfaction of performance criteria, or other event that absent the election would
entitle the Grantee to payment or receipt of Shares or other consideration under an Award. The Administrator may establish the election procedures, the timing of such elections, the mechanisms for payments of, and accrual of interest or other
earnings, if any, on amounts, Shares or other consideration so deferred, and such other terms, conditions, rules and procedures that the Administrator deems advisable for the administration of any such deferral program. 

(f) Separate Programs. The Administrator may establish one or more separate programs under the Plan for the purpose of issuing
particular forms of Awards to one or more classes of Grantees on such terms and conditions as determined by the Administrator from time to time. 
 (g) Individual Limitations on Awards. 
 (i) Individual Limit for Options
and SARs. The maximum number of Shares with respect to which Options and SARs may be granted to any Grantee in any calendar year shall be Five Hundred Thousand (500,000) Shares. In connection with a Grantee’s commencement of Continuous
Service, a Grantee may be granted Options and SARs for up to an additional Five Hundred Thousand (500,000) Shares which shall not count against the limit set forth in the previous sentence. The foregoing limitations shall be adjusted
proportionately in connection with any change in the Company’s capitalization pursuant to Section 10, below. To the extent required by Section 162(m) of the Code or the regulations thereunder, in applying the foregoing limitations
with respect to a Grantee, if any Option or SAR is canceled, the canceled Option or SAR shall continue to count against the maximum number of Shares with respect to which Options and SARs may be granted to the Grantee. For this purpose, the
repricing of an Option (or in the case of a SAR, the base amount on which the stock appreciation is calculated is reduced to reflect a reduction in the Fair Market Value of the Common Stock) shall be treated as the cancellation of the existing
Option or SAR and the grant of a new Option or SAR. 
 (ii) Individual Limit for Restricted Stock and Restricted Stock
Units. For awards of Restricted Stock and Restricted Stock Units that are intended to be Performance-Based Compensation, the maximum number of Shares with respect to which such Awards may be granted to any Grantee in any calendar year shall be
Two Hundred Fifty Thousand (250,000) Shares. The foregoing limitation shall be adjusted proportionately in connection with any change in the Company’s capitalization pursuant to Section 10, below. 

(h) Deferral. If the vesting or receipt of Shares under an Award is deferred to a later date, any amount (whether denominated in
Shares or cash) paid in addition to the original number of Shares subject to such Award will not be treated as an increase in the number of Shares subject to the Award if the additional amount is based either on a reasonable rate of interest or on
one or more predetermined actual investments such that the amount payable by the Company at the later date will be based on the actual rate of return of a specific investment (including any decrease as well as any increase in the value of an
investment). 
 (i) Early Exercise. The Award Agreement may, but need not, include a provision whereby the Grantee may
elect at any time while an Employee, Director or Consultant to exercise any part or all of the Award prior to 

  
 A - 8

 
full vesting of the Award. Any unvested Shares received pursuant to such exercise may be subject to a repurchase right in favor of the Company or a Related Entity or to any other restriction the
Administrator determines to be appropriate. 
 (j) Term of Award. The term of each Award shall be the term stated in the
Award Agreement, provided, however, that the term of any Award shall be no more than ten (10) years from the date of grant thereof. However, in the case of an Incentive Stock Option granted to a Grantee who, at the time the Option is granted,
owns stock representing more than ten percent (10%) of the voting power of all classes of stock of the Company or any Parent or Subsidiary of the Company, the term of the Incentive Stock Option shall be five (5) years from the date of
grant thereof or such shorter term as may be provided in the Award Agreement. Notwithstanding the foregoing, the specified term of any Award shall not include any period for which the Grantee has elected to defer the receipt of the Shares or cash
issuable pursuant to the Award. 
 (k) Transferability of Awards. Incentive Stock Options may not be sold, pledged,
assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be exercised, during the lifetime of the Grantee, only by the Grantee. Other Awards shall be transferable
(i) by will and by the laws of descent and distribution and (ii) during the lifetime of the Grantee, to the extent and in the manner authorized by the Administrator but only to the extent such transfers are made to family members, to
family trusts, to family controlled entities, to charitable organizations, and pursuant to domestic relations orders or agreements, in all cases without payment for such transfers to the Grantee. Notwithstanding the foregoing, the Grantee may
designate one or more beneficiaries of the Grantee’s Award in the event of the Grantee’s death on a beneficiary designation form provided by the Administrator. 
 (l) Time of Granting Awards. The date of grant of an Award shall for all purposes be the date on which the Administrator makes the determination to grant such Award, or such other later date as is
determined by the Administrator. 
 7. Award Exercise or Purchase Price, Consideration and Taxes. 

(a) Exercise or Purchase Price. The exercise or purchase price, if any, for an Award shall be as follows: 

(i) In the case of an Incentive Stock Option: 
 (A) granted to an Employee who, at the time of the grant of such Incentive Stock Option owns stock representing more than ten percent (10%) of the voting power of all classes of stock of the Company
or any Parent or Subsidiary of the Company, the per Share exercise price shall be not less than one hundred ten percent (110%) of the Fair Market Value per Share on the date of grant; or 

(B) granted to any Employee other than an Employee described in the preceding paragraph, the per Share exercise price shall be not less
than one hundred percent (100%) of the Fair Market Value per Share on the date of grant. 
 (ii) In the case of a
Non-Qualified Stock Option, the per Share exercise price shall be not less than one hundred percent (100%) of the Fair Market Value per Share on the date of grant. 
 (iii) In the case of Awards intended to qualify as Performance-Based Compensation, the exercise or purchase price, if any, shall be not less than one hundred percent (100%) of the Fair Market Value
per Share on the date of grant. 
 (iv) In the case of SARs, the base appreciation amount shall not be less than one hundred
percent (100%) of the Fair Market Value per Share on the date of grant. 
 (v) In the case of other Awards, such price as
is determined by the Administrator. 
 (vi) Notwithstanding the foregoing provisions of this Section 7(a), in the case of
an Award issued pursuant to Section 6(d), above, the exercise or purchase price for the Award shall be determined in accordance with the provisions of the relevant instrument evidencing the agreement to issue such Award. 

  
 A - 9

 (b) Consideration. Subject to Applicable Laws, the consideration to be paid for the
Shares to be issued upon exercise or purchase of an Award including the method of payment, shall be determined by the Administrator. In addition to any other types of consideration the Administrator may determine, the Administrator is authorized to
accept as consideration for Shares issued under the Plan the following, provided that the portion of the consideration equal to the par value of the Shares must be paid in cash or other legal consideration permitted by the Delaware General
Corporation Law: 
 (i) cash; 
 (ii) check; 
 (iii) surrender of Shares or delivery of a properly executed form
of attestation of ownership of Shares as the Administrator may require which have a Fair Market Value on the date of surrender or attestation equal to the aggregate exercise price of the Shares as to which said Award shall be exercised; 

(iv) with respect to Options, payment through a broker-dealer sale and remittance procedure pursuant to which the Grantee (A) shall
provide written instructions to a Company designated brokerage firm to effect the immediate sale of some or all of the purchased Shares and remit to the Company sufficient funds to cover the aggregate exercise price payable for the purchased Shares
and (B) shall provide written directives to the Company to deliver the certificates for the purchased Shares directly to such brokerage firm in order to complete the sale transaction; 

(v) with respect to Options, payment through a “net exercise” such that, without the payment of any funds, the Grantee may
exercise the Option and receive the net number of Shares equal to (i) the number of Shares as to which the Option is being exercised, multiplied by (ii) a fraction, the numerator of which is the Fair Market Value per Share (on such date as
is determined by the Administrator) less the Exercise Price per Share, and the denominator of which is such Fair Market Value per Share (the number of net Shares to be received shall be rounded down to the nearest whole number of Shares); or

 (vi) any combination of the foregoing methods of payment. 

The Administrator may at any time or from time to time, by adoption of or by amendment to the standard forms of Award Agreement described
in Section 4(b)(iv), or by other means, grant Awards which do not permit all of the foregoing forms of consideration to be used in payment for the Shares or which otherwise restrict one or more forms of consideration. 

(c) Taxes. No Shares shall be delivered under the Plan to any Grantee or other person until such Grantee or other person has made
arrangements acceptable to the Administrator for the satisfaction of any non-U.S., federal, state, or local income and employment tax withholding obligations, including, without limitation, obligations incident to the receipt of Shares. Upon
exercise or vesting of an Award the Company shall withhold or collect from the Grantee an amount sufficient to satisfy such tax obligations, including, but not limited to, by surrender of the whole number of Shares covered by the Award sufficient to
satisfy the minimum applicable tax withholding obligations incident to the exercise or vesting of an Award (reduced to the lowest whole number of Shares if such number of Shares withheld would result in withholding a fractional Share with any
remaining tax withholding settled in cash). 
 8. Exercise of Award. 

(a) Procedure for Exercise; Rights as a Stockholder. 
 (i) Any Award granted hereunder shall be exercisable at such times and under such conditions as determined by the Administrator under the terms of the Plan and specified in the Award Agreement.

 (ii) An Award shall be deemed to be exercised when written notice of such exercise has been given to the Company in
accordance with the terms of the Award by the person entitled to exercise the Award 

  
 A - 10

 
and full payment for the Shares with respect to which the Award is exercised has been made, including, to the extent selected, use of the broker-dealer sale and remittance procedure to pay the
purchase price as provided in Section 7(b)(iv). 
 (b) Exercise of Award Following Termination of Continuous
Service. 
 (i) An Award may not be exercised after the termination date of such Award set forth in the Award Agreement and
may be exercised following the termination of a Grantee’s Continuous Service only to the extent provided in the Award Agreement. 
 (ii) Where the Award Agreement permits a Grantee to exercise an Award following the termination of the Grantee’s Continuous Service for a specified period, the Award shall terminate to the extent not
exercised on the last day of the specified period or the last day of the original term of the Award, whichever occurs first. 

(iii) Any Award designated as an Incentive Stock Option to the extent not exercised within the time permitted by law for the exercise of
Incentive Stock Options following the termination of a Grantee’s Continuous Service shall convert automatically to a Non-Qualified Stock Option and thereafter shall be exercisable as such to the extent exercisable by its terms for the period
specified in the Award Agreement. 
 9. Conditions Upon Issuance of Shares. 

(a) If at any time the Administrator determines that the delivery of Shares pursuant to the exercise, vesting or any other provision of an
Award is or may be unlawful under Applicable Laws, the vesting or right to exercise an Award or to otherwise receive Shares pursuant to the terms of an Award shall be suspended until the Administrator determines that such delivery is lawful and
shall be further subject to the approval of counsel for the Company with respect to such compliance. The Company shall have no obligation to effect any registration or qualification of the Shares under federal or state laws. 

(b) As a condition to the exercise of an Award, the Company may require the person exercising such Award to represent and warrant at the
time of any such exercise that the Shares are being purchased only for investment and without any present intention to sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation is required by any Applicable
Laws. 
 10. Adjustments Upon Changes in Capitalization. Subject to any required action by the stockholders of the
Company and Section 11 hereof, the number of Shares covered by each outstanding Award, and the number of Shares which have been authorized for issuance under the Plan but as to which no Awards have yet been granted or which have been returned
to the Plan, the exercise or purchase price of each such outstanding Award, the maximum number of Shares with respect to which Awards may be granted to any Grantee in any calendar year, as well as any other terms that the Administrator determines
require adjustment shall be proportionately adjusted for (i) any increase or decrease in the number of issued Shares resulting from a stock split, reverse stock split, stock dividend, combination or reclassification of the Shares, or similar
transaction affecting the Shares, (ii) any other increase or decrease in the number of issued Shares effected without receipt of consideration by the Company, or (iii) any other transaction with respect to Common Stock including a
corporate merger, consolidation, acquisition of property or stock, separation (including a spin-off or other distribution of stock or property), reorganization, liquidation (whether partial or complete) or any similar transaction; provided, however
that conversion of any convertible securities of the Company shall not be deemed to have been “effected without receipt of consideration.” In the event of any distribution of cash or other assets to stockholders other than a normal cash
dividend, the Administrator shall also make such adjustments as provided in this Section 10 or substitute, exchange or grant Awards to effect such adjustments (collectively “adjustments”). Any such adjustments to outstanding Awards
will be effected in a manner that precludes the enlargement of rights and benefits under such Awards. In connection with the foregoing adjustments, the Administrator may, in its discretion, prohibit the exercise of Awards or other issuance of
Shares, cash or other consideration pursuant to Awards during certain periods of time. Except as the Administrator determines, no issuance by the Company of shares of any class, or securities convertible into shares of any class, shall affect, and
no adjustment by reason hereof shall be made with respect to, the number or price of Shares subject to an Award. 

  
 A - 11

 11. Corporate Transactions and Changes in Control. 

(a) Termination of Award to Extent Not Assumed in Corporate Transaction. Effective upon the consummation of a Corporate
Transaction, all outstanding Awards under the Plan shall terminate. However, all such Awards shall not terminate to the extent they are Assumed in connection with the Corporate Transaction. 

(b) Effective upon the consummation of a Related Entity Disposition, for purposes of the Plan and all Awards, the Continuous Service of
each Grantee who is at the time engaged primarily in service to the Related Entity involved in such Related Entity Disposition shall be deemed to terminate and each Award of such Grantee which is at the time outstanding under the Plan shall be
exercisable in accordance with the terms of the Award Agreement evidencing such Award. However, such Continuous Service shall not be deemed to terminate if such Award is, in connection with the Related Entity Disposition, assumed by the successor
entity or its parent. 
 (c) Acceleration of Award Upon Corporate Transaction or Change in Control. Except as provided
otherwise in an individual Award Agreement or other applicable agreement, in the event of any Corporate Transaction or Change in Control, there will not be any acceleration of vesting or exercisability of any Award. 

12. Effective Date and Term of Plan. The Plan shall become effective upon the earlier to occur of its adoption by the Board or its
approval by the stockholders of the Company. It shall continue in effect for a term of ten (10) years unless sooner terminated. Subject to Section 17, below, and Applicable Laws, Awards may be granted under the Plan upon its becoming
effective. 
 13. Amendment, Suspension or Termination of the Plan. 

(a) The Board may at any time amend, suspend or terminate the Plan; provided, however, that no such amendment shall be made without the
approval of the Company’s stockholders to the extent such approval is required by Applicable Laws, or if such amendment would lessen the stockholder approval requirements of Section 4(b)(vi) or this Section 13(a). 

(b) No Award may be granted during any suspension of the Plan or after termination of the Plan. 

(c) No suspension or termination of the Plan (including termination of the Plan under Section 12, above) shall adversely affect any
rights under Awards already granted to a Grantee. 
 14. Reservation of Shares. 

(a) The Company, during the term of the Plan, will at all times reserve and keep available such number of Shares as shall be sufficient to
satisfy the requirements of the Plan. 
 (b) The inability of the Company to obtain authority from any regulatory body having
jurisdiction, which authority is deemed by the Company’s counsel to be necessary to the lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect of the failure to issue or sell such Shares as to
which such requisite authority shall not have been obtained. 
 15. No Effect on Terms of Employment/Consulting
Relationship. The Plan shall not confer upon any Grantee any right with respect to the Grantee’s Continuous Service, nor shall it interfere in any way with his or her right or the right of the Company or any Related Entity to terminate the
Grantee’s Continuous Service at any time, with or without cause, and with or without notice. 
 16. No Effect on
Retirement and Other Benefit Plans. Except as specifically provided in a retirement or other benefit plan of the Company or a Related Entity, Awards shall not be deemed compensation for purposes of computing benefits or contributions under any
retirement plan of the Company or a Related Entity, and shall not affect any benefits under any other benefit plan of any kind or any benefit plan subsequently instituted under which the availability or amount of benefits is related to level of
compensation. The Plan is not a “Pension Plan” or “Welfare Plan” under the Employee Retirement Income Security Act of 1974, as amended. 

  
 A - 12

 17. Stockholder Approval. The grant of Incentive Stock Options under the Plan shall
be subject to approval by the stockholders of the Company within twelve (12) months before or after the date the Plan is adopted excluding Incentive Stock Options issued in substitution for outstanding Incentive Stock Options pursuant to
Section 424(a) of the Code. Such stockholder approval shall be obtained in the degree and manner required under Applicable Laws. The Administrator may grant Incentive Stock Options under the Plan prior to approval by the stockholders, but until
such approval is obtained, no such Incentive Stock Option shall be exercisable. In the event that stockholder approval is not obtained within the twelve (12) month period provided above, all Incentive Stock Options previously granted under the
Plan shall be exercisable as Non-Qualified Stock Options. 
 18. Unfunded Obligation. Grantees shall have the status of
general unsecured creditors of the Company. Any amounts payable to Grantees pursuant to the Plan shall be unfunded and unsecured obligations for all purposes, including, without limitation, Title I of the Employee Retirement Income Security Act
of 1974, as amended. Neither the Company nor any Related Entity shall be required to segregate any monies from its general funds, or to create any trusts, or establish any special accounts with respect to such obligations. The Company shall retain
at all times beneficial ownership of any investments, including trust investments, which the Company may make to fulfill its payment obligations hereunder. Any investments or the creation or maintenance of any trust or any Grantee account shall not
create or constitute a trust or fiduciary relationship between the Administrator, the Company or any Related Entity and a Grantee, or otherwise create any vested or beneficial interest in any Grantee or the Grantee’s creditors in any assets of
the Company or a Related Entity. The Grantees shall have no claim against the Company or any Related Entity for any changes in the value of any assets that may be invested or reinvested by the Company with respect to the Plan. 

19. Construction. Captions and titles contained herein are for convenience only and shall not affect the meaning or interpretation
of any provision of the Plan. Except when otherwise indicated by the context, the singular shall include the plural and the plural shall include the singular. Use of the term “or” is not intended to be exclusive, unless the context clearly
requires otherwise. 
 20. Nonexclusivity of The Plan. Neither the adoption of the Plan by the Board, the submission of
the Plan to the stockholders of the Company for approval, nor any provision of the Plan will be construed as creating any limitations on the power of the Board to adopt such additional compensation arrangements as it may deem desirable, including,
without limitation, the granting of Awards otherwise than under the Plan, and such arrangements may be either generally applicable or applicable only in specific cases. 

  
 A - 13Purchase and Sale Agreement and Escrow Instructions

 Exhibit 10.1 
 PURCHASE AND SALE AGREEMENT AND 
 ESCROW INSTRUCTIONS

 THIS PURCHASE AND SALE AGREEMENT AND ESCROW INSTRUCTIONS (“Agreement”) is made as of this 15th day
of July, 2011 (the “Effective Date”), by and between YORK ASSOCIATES LIMITED PARTNERSHIP, a Virginia limited partnership (the “Seller”), and FP-1, LLC a Virginia limited liability company, or its
permitted assigns (the “Buyer”). 
 R E C I T A L S

 A. Seller is the owner of that certain real property (the “Real Property”) located in Yorktown, Virginia,
legally described on Exhibit “A”, which Real Property is improved with an apartment complex commonly known as Pines of York Apartments, containing 248 residential apartment units and related amenities. 

B. Buyer wishes to purchase and Seller wishes to sell in its “as-is” “where-is” subject to all faults condition the
Real Property, including the buildings, parking areas, improvements and fixtures, roads, streets, curbs, sidewalks, landscaping, recreation facilities, sewers and other utilities now or hereafter located thereon (the
“Improvements”), on the terms and conditions set forth herein. 
 C. Seller and Buyer desire to confirm in
writing their understandings and agreements pertaining to the foregoing sale and purchase. 
 NOW, THEREFORE, in consideration
of the mutual covenants, promises and undertakings set forth herein, Buyer and Seller hereby agree as follows: 
 ARTICLE 1

 AGREEMENT TO PURCHASE 
 1.1 The Property. Subject to all of the terms, conditions and provisions of this Agreement, and for the consideration herein set forth, Seller hereby agrees to sell and Buyer hereby agrees to buy ,
in its “as-is” “where-is” subject to all faults condition (except as expressly set forth in this Agreement), the “Property” (defined below) subject to the terms of this Agreement. As used herein, the
“Property” means collectively, all right, title and interest of Seller in and to the following: 

(a) Seller’s fee estate in and to the Real Property, together with the Improvements, including all right, title and
interest of the Seller in and to any land lying in 

  
 - 1 -

 
the bed of any existing or proposed highway, street, road, avenue or alley abutting or adjoining the Real Property and all right, title and interests of the Seller in and to any strips or gores
of land adjoining the Real Property, and all tenements, hereditaments, appurtenances, rights, easements, rights-of-way, covenants, and other rights incident thereto, including, without limitation, any right or option to acquire or benefit from any
future easement or right-of-way to the extent that such rights and interests may benefit such Real Property (collectively, the “Land”); 
 (b) All of Seller’s right, title and interest in all furniture, fixtures, personal property, machinery, apparatus and equipment owned by Seller and currently used in the operation, repair and
maintenance of the Improvements located upon the Real Property (collectively, the “Personal Property”); 
 (c) All of Seller’s right, title and interest in all signs, logos, trade names, or trademarks relating to the Real Property owned by Seller, if any (specifically including the name “Pines of
York Apartments”) and any other trademark, trade name, service mark, logo or other proprietary name, mark or design which is owned by Seller and used exclusively in connection with the Land or Improvements, together with all the goodwill
associated with the use of such name, mark or design; (all such names, marks, designs and goodwill being collectively the “Marks”) and all other intangible property owned or hereafter to be acquired by Seller in connection with the
Real Property and used by Seller exclusively in connection with the Property, Improvements and Personal Property including, but not limited to, but only to the extent assignable and applicable to periods from and after the Close of Escrow (as
hereinafter defined), licenses, use, occupancy and operating permits and other rights related to the development of, construction of, ownership or, or use and operation of, the Land and Improvements, brochures, manuals, lists of prospective tenants,
advertising materials and telephone numbers located at the Property, warranties, guaranties in effect, all plans, specifications, including, without limitation, all working drawings and “as-built” drawings, approvals, reports and studies,
contract rights, escrow or security deposits, utility agreements, guarantees, approvals, certificates and certificates of occupancy excluding, however any refunds of sums incurred by Seller prior to the Closing Date, such as, by way of example
refunds of property taxes (all of such refunds being retained by and remaining the sole property of Seller) (all such items, together with the Marks being collectively referred to as the “Intangible Personal Property”); 

(d) All of Seller’s right, title and interest in all labor, service, supply, property management, insurance,
brokerage leasing and maintenance contracts relating to the Improvements or the Real Property which are to be assumed by Buyer pursuant to Section 3.1(a) below (“Contracts”); and 

(e) All of Seller’s right, title and interest in all leases and occupancy agreements (“Leases”) with
tenants or prospective tenants of the Real Property or the Improvements disclosed in the Rent Roll (as hereinafter defined) and all lease deposits and prepaid rentals. 

  
 - 2 -

 The Land, Improvements, Personal Property, Intangible Personal Property, Contracts, Leases and all other
property described in Sections 1.1(a) through 1.1(e) above are hereinafter collectively referred to as the “Property.” 
 1.2 Purchase Price. The purchase price which Seller agrees to accept and Buyer agrees to pay for the Property is the sum of TWENTY MILLION AND 00/100 Dollars ($20,000,000.00) (“Purchase
Price”). 
 1.3 Payment of Purchase Price. 

(a) Deposit. 
 (i) Buyer has previously deposited into Escrow (as hereinafter defined) the sum of ONE HUNDRED THOUSAND and 00/100 Dollars ($100,000.00) (the “Initial Deposit”) in immediately available
funds. Immediately upon execution of this Agreement by Buyer and Seller, the Initial Deposit shall be deposited by Escrow Holder (as hereinafter defined) in a interest-bearing account. 

(ii) In the event Buyer, in Buyer’s sole discretion, provides Seller with the “Notice to Proceed” (defined
in Section 3.2 hereof), then, not later than the first business day after the date of expiration of the Due Diligence Period (as hereinafter defined), Buyer shall deposit into Escrow an additional sum of TWO HUNDRED THOUSAND and 00/100 Dollars
($200,000.00) (the “Additional Deposit”), resulting in a total Deposit at such time of THREE HUNDRED THOUSAND DOLLARS ($300,000) (exclusive of any interest earned thereon). The Additional Deposit shall be deposited by Escrow Holder
into an interest-bearing account. 
 (iii) The term “Deposit” shall hereinafter be deemed to
refer to the Initial Deposit, the Additional Deposit and all interest earned thereon. Upon the Close of Escrow, the Deposit shall be applied as a credit to the Purchase Price. In all other circumstances, the Deposit shall be applied as provided for
in this Agreement. 
 (iv) Absent (w) the termination of this Agreement pursuant to Section 3.2 hereof,
(x) the wrongful failure of Seller to close hereunder or, to the extent such other breach or default of Seller shall entitle Buyer to the return of the Deposit pursuant to the terms of this Agreement, another breach or default by Seller
hereunder, (y) the failure of a condition precedent under Section 4.1 below to be timely satisfied, or (z) as otherwise expressly provided in Article 7 below, the Deposit shall not be refundable to Buyer and shall either
be paid over to Seller should this Agreement be terminated for any reason or applied on account of the Purchase Price as below provided in subsection (b) of this Section 1.3. 

(b) Balance of Purchase Price. The Purchase Price, less the Deposit, and subject to such prorations and adjustments
as are set forth hereinafter, shall be paid by Buyer to Seller on the Closing Date in cash or by wire transfer of funds. 

  
 - 3 -

 ARTICLE 2 
 ESCROW 
 2.1 Closing. Closing of the sale of the Property
shall take place through an escrow (“Escrow”) to be established with David, Kamp & Frank, L.L.C. (“Escrow Holder”) at 739 Thimble Shoals Boulevard, Suite 105, Newport News, VA 23606, Attn: Arthur J. Kamp,
Esq., Telephone No.:                     , Facsimile No.:
                    . The “Closing Date” shall be a date to be chosen by Buyer by written notice to Seller no later than
August 30, 2011, and which Closing Date shall be no earlier than September 15, 2011 and no later than September 28, 2011. Notwithstanding the foregoing, Seller shall have the right, upon delivery of notice to Buyer given at least five
(5) days before the Closing Date, to extend the Closing Date up to thirty (30) days in order to coordinate the payoff of its existing debt encumbering the Property. Escrow shall be deemed open upon delivery of a fully executed copy of this
Agreement to Escrow Holder (“Opening of Escrow”). Escrow Holder shall immediately notify Buyer and Seller of the date of Opening of Escrow and the Escrow Number. The terms “Close of Escrow” and
“Closing” shall mean the date the Special Warranty Deed (hereinafter defined) is filed for record in the Land Records of York County, Virginia. At the option of Seller, Closing may take place through a so-called “New York
style” closing, subject to the agreement of Buyer’s lender and Buyer’s title insurance company. It is further understood that neither Seller nor Buyer nor their respective counsel need be physically present at the Closing so long as
all documents that are required to be delivered at Closing are fully executed, delivered in Escrow and available on the Closing Date, and an authorized signatory of the affected party is available either in person or by telephone and facsimile at
Closing. 
 2.2 Escrow Instructions. Articles 1, 2, 4, 5 and 9 also constitute escrow instructions to Escrow Holder.
Additionally, Buyer and Seller agree to execute, with Escrow Holder, (i) the Escrow Agreement attached hereto as Exhibit 2.2; and (ii) immediately prior to Closing, any form of escrow instructions (the “Closing Escrow
Instructions”) as the Escrow Holder customarily requires as escrow holder on real property escrows administered by it. In the event of a conflict between any such Closing Escrow Instructions and provisions of this Agreement, the Agreement shall
supersede and be controlling; provided, however, that in the event Buyer’s lender providing a portion of the Purchase Price requires closing escrow instructions which differ from the provisions of this Agreement, Buyer and Seller agree that the
provisions of such closing escrow instructions shall control so long as such closing escrow instructions do not materially change the Closing transaction contemplated by this Agreement. Upon any termination of this Agreement or cancellation of the
Escrow, Escrow Holder shall forthwith return all monies and documents, less only Escrow Holder’s reasonable cancellation fees and expenses, as set forth herein. Except as otherwise provided herein, the termination of Escrow and this Agreement
and/or the return of deposited funds or documents shall not constitute a waiver, release or discharge of any breach or default that has occurred in the performance of either Seller’s or Buyer’s obligations, agreements, covenants,
representations or warranties contained herein. 

  
 - 4 -

 2.3 Conveyance of Title. On or before 5:00 p.m. Eastern Time on the business day
preceding the Closing Date, Seller shall deliver to Escrow Holder a Special Warranty Deed (“Special Warranty Deed”) in the form of attached Exhibit “B”. Escrow Holder shall be instructed to direct the title company
to record such Special Warranty Deed in the Land Records of York County, Virginia, if and when Escrow Holder holds the instruments and funds accruing to Buyer and Seller as set forth herein and each of the conditions set forth in this Agreement has
been satisfied. 
 2.4 Additional Closing Obligations of Seller. On or before 5:00 p.m. Eastern Time on the business day
preceding the Closing Date (unless indicated otherwise), Seller shall deliver to Escrow Holder (unless indicated to be delivered directly to Buyer) the following documents and other items: 

(a) One (1) original of the Special Warranty Deed in the form of attached Exhibit “B”, duly
executed by Seller; 
 (b) Two (2) duplicate original copies of a Bill of Sale conveying the Personal
Property to Buyer (“Bill of Sale”) in the form attached as Exhibit “C”, duly executed by Seller; 
 (c) Two (2) duplicate original copies of an Assignment of Leases assigning the Leases, security deposits and other rights by Seller to Buyer (the “Assignment of Leases”) in the form
attached as Exhibit “D”, duly executed by Seller; 
 (d) The original Leases or, if unavailable,
copies thereof, including any amendments, modifications, letter agreements and correspondence relating thereto, and tenant files (to be delivered to Buyer at the Property at the Close of Escrow); 

(e) A Certificate of Non-Foreign Status (the “Non-Foreign Affidavit”) executed by Seller in the form
attached as Exhibit “E”; 
 (f) Originals or, if unavailable, copies of all Contracts which
Buyer is obligated to assume pursuant to Section 3.7 hereof (to be delivered to Buyer at the Property at the Closing); 
 (g) Originals or, if unavailable, copies or written indicia of ownership of all Intangible Personal Property which Seller has in its possession and/or control (to be delivered to Buyer at the Property at
the Close of Escrow); 
 (h) Two (2) duplicate original copies of an assignment to Buyer of Seller’s
right, title and interest in and to (i) all Contracts which Buyer is obligated to assume pursuant to Section 3.7 below; and (ii) all Intangible Personal Property, which assignment shall be in the form attached as Exhibit
“F” (“Assignment of Contracts”), duly executed by Seller; 

  
 - 5 -

 (i) At Buyer’s option, two (2) duplicate original copies of a
notice to the tenants under the Leases of the transfer of title and assumption by Buyer of the landlord’s obligations under the Leases in the form attached as Exhibit “G” hereto (“Notice to Tenants”);

 (j) Two (2) duplicate original copies of the Closing Statement described in Section 5.11,
duly executed by Seller; 
 (k) One (1) Seller’s Affidavit in the reasonable form typically required of
sellers by Fidelity National Title Insurance Company in order to provide mechanic’s lien coverage to Buyer and GAP coverage; 
 (l) All keys to the Improvements which Seller or Seller’s agents have in their possession (to be delivered to Buyer at the Property upon Close of Escrow). Seller certifies to Buyer that Seller is in
possession of keys which shall open each apartment, laundry room and office of the Improvements. 
 2.5 Closing Obligations
of Buyer. On or before 5:00 p.m. Eastern Time on the business day preceding the Closing Date, Buyer shall deliver to Escrow Holder copies of the following documents and other items: 

(a) Two (2) duplicate original copies of the Assignment of Leases, duly executed by Buyer; 

(b) Two (2) duplicate original copies of the Assignment of Contracts, duly executed by Buyer; 

(c) Two (2) duplicate original copies of the Closing Statement, duly executed by Buyer. 

2.6 Delivery of Documents by Escrow Holder. On the Close of Escrow, Escrow Holder shall deliver to Buyer all of the items listed
in Section 2.4 above which were delivered by Seller to Escrow, except for item 2.4(k) which shall be delivered to Buyer’s title insurance company, except that Escrow Holder shall be instructed to record the original Special Warranty
Deed in the Land Records of York County, Virginia upon the Close of Escrow and to deliver a conformed copy of the Special Warranty Deed to Buyer after recordation thereof and Escrow Holder shall only deliver to Buyer one duplicate original of the
documents submitted as duplicate originals. Escrow Holder shall deliver the Purchase Price, less costs, expenses and prorations chargeable to Seller hereunder as set forth in the Closing Statement to Seller by wire transfer as provided in written
instructions to be furnished to Escrow Holder by Seller prior to the Close of Escrow, together with one duplicate original of all of the items listed in Section 2.5 above on the Close of Escrow and a conformed copy of the Special
Warranty Deed. 

  
 - 6 -

 ARTICLE 3 
 INSPECTIONS AND REVIEW 
 3.1 Due Diligence. From and after
the date hereof through and including 5 p.m. eastern time on August 15, 2011 (the “Due Diligence Period”), Buyer shall have the right to examine, inspect and investigate the Property and other matters associated therewith, and,
at Buyer’s sole and absolute discretion, to determine whether the Property is acceptable to Buyer and to obtain all necessary internal approvals. Seller shall permit Buyer, its engineers, analysts, contractors and agents to conduct non-invasive
physical inspections of the Property, including the structural, electrical and mechanical aspects of the Improvements, the interiors of all buildings, supports, site work, foundations, soil, subsurface soils, drainage, seismic and other geological
and topographical matters, location of asbestos, toxic substances, hazardous materials or wastes, if any, and any other non-invasive investigations as Buyer deems prudent or desirable with respect to the physical condition of the Property. Provided
Buyer shall restore any damage resulting to the Property by reason thereof, Buyer shall also have the right to conduct minimally invasive testing of the Property associated with any existing asbestos and lead paint located on the Property and any
Phase II environmental assessments recommended by any Phase I environmental site assessment of the Property obtained by Buyer, provided Buyer shall provide seller with not less than three (3) business days prior written notice of such testing. Such
investigations may be made by Buyer and/or its agents during any normal business hours. Buyer shall also have the right to investigate all matters relating to the zoning, use and compliance with other applicable laws, which relate to the use and
occupancy of the Property. Seller shall cooperate to assist Buyer in completing such inspections and special investigations and Seller shall also make available to Buyer (in an office of the Seller’s property management company) for review and
copying by Buyer (at Buyer’s expense) copies of any property information in Seller’s possession, provided Seller makes no representation or warranty as to the accuracy or completeness of such information. Notwithstanding anything contained
in this Section 3.1, Seller need not deliver or make available to Buyer Seller’s internal confidential memoranda, attorney-client privileged materials and other confidential materials. Buyer acknowledges that any and all of the items
provided by or on behalf of Seller that are not otherwise known by or available to the public are proprietary and confidential in nature and are delivered to Buyer solely to assist Buyer in determining the feasibility of purchasing the Property.
Buyer agrees not to disclose such non-public Due Diligence Items, or any of the provisions, terms or conditions thereof, to any party outside of Buyer’s organization other than its agents, consultants, attorneys, representatives, prospective
partners and their counsel and prospective lenders and their counsel. Such physical inspections and investigations of the Property shall be conducted only upon no less than twenty-four (24) hours’ notice (which may be telephonic) to Seller and
shall be conducted at such times and in such a manner as to minimize any unreasonable disruption to tenants upon the Property. Seller shall have the right, but not the obligation, to accompany Buyer during such investigations and/or inspections.
Anything contained herein to the contrary notwithstanding, Buyer shall not communicate (whether in person or by telephone) with any officials at environmental, zoning, assessment or other government agencies regarding the Property 

  
 - 7 -

 
or the Seller by name without Seller’s prior written consent (which consent shall not be unreasonably withheld), with the exception that Buyer shall be entitled to obtain from the Government
of York County, Virginia both a zoning letter from, and a response to a FOIA request for a “no-Building Code violations” letter. Seller (and, at Seller’s option and cost, Seller’s counsel) shall have the absolute right to be
present at any meetings (including meetings conducted by telephone) with any governmental and quasi-governmental authorities and officials, including but not limited to any neighborhood commission members, whether at a formal or informal meeting.
Purchaser shall provide copies of any correspondence sent to or received from such officials, within two (2) business days after receipt or dispatch, as the case may be. Purchaser shall not have the right to make any commitments to any such
parties that are in any way binding on Seller or the Property. In addition, and notwithstanding the foregoing, Buyer and its agents and representatives shall: (a) not unreasonably disturb the tenants of the Improvements or unreasonably
interfere with their use of the Real Property pursuant to their respective Leases; (b) not unreasonably interfere with the operation and maintenance of the Real Property; (c) not damage any part of the Property or any personal property
owned or held by any tenant; (d) not injure or otherwise cause bodily harm to Seller, its agents, contractors and employees or any tenant; (e) promptly pay when due the costs of all tests, investigations and examinations done with regard
to the Property; (f) not permit any liens to attach to the Property by reason of the exercise of its rights hereunder; (g) restore the Improvements and the surface of the Real Property to the condition in which the same was found before
any such inspection or tests were undertaken; and (h) not reveal or disclose any information obtained during the Due Diligence Period concerning the Property to anyone outside Buyer’s organization other than its agents, consultants,
attorneys, representatives, prospective partners and their counsel and prospective lenders and their counsel, except as may be required by applicable law. Buyer shall, at its sole cost and expense, comply with all applicable federal, state and local
laws, statutes, rules, regulations, ordinances or policies in conducting its inspection of the Property and physical testing. Buyer shall, and does hereby agree to indemnify, defend and hold the Seller, its partners, officers, directors, employees,
agents, attorneys and their respective successors and assigns, harmless from and against any and all claims, demands, suits, obligations, payments, damages, losses, penalties, liabilities, costs and expenses (including, but not limited to,
reasonable attorneys’ fees) caused by reason of Buyer’s or Buyer’s agents’ actions taken in, on or about the Property in the exercise of the inspection right granted pursuant to this Section 3.1, including, without
limitation, (i) claims made by any tenant against Seller for personal injury or property damage resulting from Buyer’s wrongful entry into such tenant’s premises in connection with Buyer’s review of the Property; provided that,
in no event shall Buyer be liable for any diminution in value of the Property resulting from or in connection with the findings of Buyer’s due diligence studies pursuant to this Section 3.1 and (ii) Buyer’s obligations
pursuant to this Section 3.1. Buyer shall obtain and maintain insurance from a creditworthy company with a policy limit of not less than Two Million Dollars ($2,000,000.00) for the purposes of its obligations and liabilities under this
Section 3.1, and shall deliver to Seller a certificate of such insurance naming the Seller as an additional insured, prior to Buyer’s physical inspections of the Property. This Section 3.1 shall survive the Close of
Escrow and/or any termination of this Agreement. 
 3.2. Termination Right. In the event that, during the Due
Diligence Period, Buyer determines in its sole discretion that it desires to acquire the Property, Buyer shall provide written notice to Seller (prior to the expiration of the Due Diligence Period) of Buyer’s election to proceed

  
 - 8 -

 
(“Notice to Proceed”). In the absence of the timely delivery by Buyer of its Notice to Proceed, Buyer shall be deemed to have elected to terminate this Agreement by reason of its rights
to do under this Section 3.2, in which event, subject to any obligations which expressly survive termination of this Agreement, this Agreement shall terminate, the Deposit shall be delivered to Buyer and thereupon neither party shall have any
further rights or obligations to the other hereunder. If Buyer does not terminate this Agreement pursuant to this Section 3.2, then this Agreement shall remain in full force and effect and the parties shall proceed to Closing in the
manner set forth herein. In addition, upon such termination Buyer will return to Seller all of the Seller’s documents previously delivered to Buyer and Buyer shall repair any damage to the Property caused by its studies and investigations.
Buyer’s deposit of the Additional Deposit as provided in Section 1.3(a)(ii) shall constitute Buyer’s election to waive its termination rights under this Section 3.2. 

3.3 Independent Examination. Buyer hereby acknowledges that Buyer has been, or will have been given, prior to the expiration
of the Due Diligence Period, a full, complete and adequate opportunity to make such legal, factual and other determinations, analyses, inquiries and investigations as Buyer deems necessary or appropriate in connection with the acquisition of the
Property. Buyer is relying upon its own independent examination of the Property and all matters relating thereto and not upon any statements of Seller or any marketing or sales broker (excluding the limited matters expressly represented by Seller in
Article 6 hereof) or of any officer, director, employee, agent or attorney of Seller with respect to acquiring the Property. The provisions of this Section 3.3 shall survive Close of Escrow and/or termination of this Agreement.
Except as otherwise expressly set forth in Article 6 hereof, Seller makes no representations or warranties of any kind regarding the accuracy, thoroughness or completeness of or conclusions drawn in the information contained in any items
furnished to Buyer in connection with Buyer’s performance of its due diligence investigations or studies, if any. Buyer hereby waives any and all claims against Seller arising out of the accuracy, completeness, conclusions or statements
expressed in materials furnished and any and all claims arising out of any duty of Seller to acquire, seek or obtain such materials. The provisions of this Section 3.3 shall survive Close of Escrow and/or termination of this Agreement.

 3.4 Copies of Reports. As additional consideration for the transaction contemplated herein, Buyer agrees that in the
event this Agreement is terminated for any reason other than Seller’s default, it will provide to Seller, within seven (7) days following a written request therefor, copies of any and all third party-prepared reports, tests or studies
relating to the Property, including but not limited to those involving environmental matters, provided, however, that Buyer makes no representations or warranties of any kind regarding the accuracy, thoroughness or completeness of or conclusions
drawn in any such reports, tests or studies. In addition, upon such termination Buyer will return to Seller all of the Seller’s documents previously delivered to Buyer and Buyer shall repair any damage to the Property caused by its studies and
investigations. Notwithstanding any provision of this Agreement, no termination of this Agreement for reasons other than Seller’s default shall terminate Buyer’s obligations pursuant to the foregoing sentence. 

3.5 Buyer’s Title Commitment. Buyer shall, within seven (7) days after the Effective Date, order a current title
commitment with respect to the Property (the “Buyer’s Title Commitment”). Buyer shall notify Seller in writing 

  
 - 9 -

 
(“Buyer’s Title Objection Notice”) of any objections Buyer may have to title exceptions contained in the Buyer’s Title Commitment by not later than 5:00 p.m. eastern
time on the day that is ten (10) business days prior to expiration of the Due Diligence Period. Seller shall have a period of five (5) business days after receipt of Buyer’s Title Objection Notice in which to deliver written notice to
Buyer (“Seller’s Title Notice”) of Seller’s election to either (i) agree to remove the objectionable items prior to the Close of Escrow, or (ii) decline to remove any such title exceptions. In the event Seller
does not timely issue Seller’s Title Notice, Seller shall be deemed to have elected to decline to remove such title exceptions. Any objectionable matters that Seller agrees to correct shall be corrected by Seller prior to Close of Escrow, and
the correction of such objectionable matters by Seller shall be a condition precedent to Buyer’s obligations to proceed to Close of Escrow hereunder, provided, however, that Seller shall not be in default under this Agreement if notwithstanding
its agreement to correct same, Seller is unable to do so. For purposes hereof, the term “Permitted Exceptions” shall mean collectively, the rights of tenants as tenants only, all non-delinquent real property taxes, and all matters
of record to which Buyer does not object pursuant to this Section 3.5 on or before the day that is ten (10) business days prior expiration of the Due Diligence Period or to which Buyer has objected but Seller has elected (or has
been deemed to have elected) not to cure and have been waived by Buyer in accordance with the following provisions of this Section 3.5. If Seller notifies Buyer of its election to decline to remove Buyer’s objectionable items or is
deemed to have so declined, Buyer shall have the right, by written notice delivered to Seller within five (5) business days after receipt of Seller’s Title Notice (or the expiration of the period of time in which Seller was to deliver such
notice in the event Seller fails to do so), to either (x) agree to accept the Property subject to the objectionable items, in which event such items shall be included within the definition of Permitted Exceptions and Buyer shall take title at
the Close of Escrow subject to such objectionable items or (y) terminate this Agreement, whereupon, the Deposit shall be delivered to Buyer and, subject to any obligations which expressly survive termination of this Agreement, this Agreement
shall terminate, and thereupon neither party shall have any further rights or obligations to the other hereunder. In the event the Buyer fails to timely respond to Seller’s Title Notice, Buyer shall be deemed to have elected to proceed under
clause (x) of the preceding sentence. 
 3.6 Survey. Buyer shall have the right, if it so elects, at Buyer’s
expense, to order a survey (the “Survey”) of the Property. On or before the day that is ten (10) business days prior to expiration of the Due Diligence Period, Buyer shall have the right to notify Seller in writing
(“Buyer’s Survey Objection Notice”) of any objections Buyer may have to items contained in the Survey. Seller shall have a period of five (5) business days after receipt of Buyer’s Survey Objection Notice in which to
deliver written notice to Buyer (“Seller’s Survey Notice”) of Seller’s election to either (i) agree to address the objectionable items prior to the Close of Escrow in a manner reasonably satisfactory to Buyer, or
(ii) decline to address such survey items. In the event Seller does not timely issue Seller’s Survey Notice, Seller shall be deemed to have elected to decline to address such survey items. If Seller notifies, or is deemed to have notified,
Buyer of its election to decline to address the objectionable items, Buyer shall have the right, by written notice delivered to Seller within five (5) days after Buyer’s receipt of Seller’s Survey Notice (or five (5) days after
the date Seller was required to deliver Seller’s Survey Notice in the event Seller fails to do so), to either (x) agree to accept the Property subject to the objectionable items, in which event Buyer shall take title at the Close of Escrow
subject to such objectionable items or (y) terminate this Agreement, whereupon, the Deposit shall be delivered to Buyer and, subject to any obligations which 

  
 - 10 -

 
expressly survive termination of this Agreement, this Agreement shall terminate, and thereupon neither party shall have any further rights or obligations to the other hereunder. In the event the
Buyer fails to timely respond to Seller’s Survey Notice, Buyer shall be deemed to have elected to proceed under clause (x) of the preceding sentence. 
 3.7 Contracts. All Contracts are listed on Exhibit “H-1”. Prior to the expiration of the Due Diligence Period, Buyer shall notify Seller which Contracts, if any, Buyer requests
Seller to terminate upon the Close of Escrow. If Buyer fails to deliver such notice prior to expiration of the Due Diligence Period, Buyer shall be deemed to have elected to request termination of all such Contracts, in which event Seller shall
cause all such Contracts to be terminated at the Close of Escrow. Notwithstanding the foregoing, Buyer shall assume all those Contracts which are not freely terminable set forth on Exhibit “H-2” and shall have no right to request
Seller to terminate same. 
 ARTICLE 4 
 CONDITIONS TO AGREEMENT 
 4.1 Buyer’s Conditions
Precedent. Buyer’s obligation to purchase the Property shall be conditioned upon the fulfillment of the following conditions precedent, all of which shall be satisfied or waived pursuant to Section 4.3 below prior to the Close
of Escrow except as indicated otherwise: 
 (a) The due performance by Seller in all material respects of each
and every undertaking and agreement to be performed by Seller hereunder. 
 (b) Title to the Property shall be
subject at Closing only to the Permitted Exceptions in accordance with and subject to the provisions of Section 3.5. 
 (c) There shall not have occurred at any time on or before the Closing Date the making by Seller of any general assignment for the benefit of creditors, or the filing against Seller of a petition to have
Seller adjudged a bankrupt or a petition for reorganization or arrangement under any law relating to bankruptcy, or the appointment of a trustee or receiver to take possession of substantially all of the interest of Seller in the Property, or the
attachment, execution or judicial seizure of substantially all the assets of Seller or the interests of Seller in the Property or any legal proceeding in which Seller is adjudicated as being, or stipulates to being, insolvent or unable to pay its
debts as they come due. 
 4.2 Seller’s Conditions Precedent. Seller’s obligation to convey the Property to
Buyer shall be conditioned upon the satisfaction or written waiver in writing, in whole or in part, by Seller of the following conditions precedent: 
 (a) The due performance by Buyer, in all material respects, of each and every undertaking and agreement to be performed by Buyer hereunder. 

  
 - 11 -

 (b) The delivery by Buyer of the Purchase Price, less the Deposit, together
with any other sums required to be paid by Buyer hereunder. 
 4.3 Waiver. Buyer may at any time or times, at its
election, waive any of the conditions set forth in Section 4.1 above to its obligations hereunder, but any such waiver shall be effective only if contained in a writing signed by Buyer and delivered to Seller, provided however that any
conditions to Closing that are not satisfied as of Closing shall be deemed waived by Buyer in the event Buyer proceeds to Closing, provided, however that any representations or other terms that are expressly stated herein to survive Closing shall
survive Closing for the period provided. Seller may at any time or times, at its election, waive any of the conditions set forth in Section 4.2 above to its obligations hereunder, but any such waiver shall be effective only if contained
in a writing signed by Seller and delivered to Buyer, provided however that any conditions to Closing that are not satisfied as of Closing shall be deemed waived by Seller in the event Seller proceeds to Closing, provided, however that any
representations or other terms that are expressly stated herein to survive Closing shall survive Closing for the period provided. 
 4.4 Termination. In the event each of the conditions set forth in Section 4.1 is not fulfilled on or before the Closing Date (as the same may be extended by Seller pursuant to
Section 2.1 above) or waived pursuant to Section 4.3, Buyer may, at its option, terminate this Agreement and the Escrow opened hereunder, thereby releasing the parties from further obligations hereunder except for those
provisions which expressly survive termination, and all documents delivered by Buyer to Escrow Holder shall be returned to Buyer and all documents delivered by Seller to Buyer or Escrow Holder returned to Seller and the Deposit, less Buyer’s
share of Escrow cancellation charges, shall be returned to Buyer. In the event that the conditions set forth in Section 4.2 are not fulfilled or waived prior to the Closing Date, Seller may, at its option, terminate this Agreement and
the Escrow opened hereunder, thereby releasing the parties from further obligations hereunder, the Deposit shall be returned to Buyer, and all documents delivered by Seller to Buyer or Escrow Holder shall be returned immediately to Seller and all
documents delivered by Buyer to Escrow Holder shall be returned to Buyer. Nothing in this Section 4.4 shall be construed as releasing any party from liability for any default of its obligations hereunder or breach of its representations
and warranties under this Agreement occurring prior to the termination of this Agreement and/or the Escrow to be opened hereunder. 
 ARTICLE 5 
 PRORATIONS, CLOSING COSTS, POSSESSION AND DEPOSITS

 5.1 Proration of Taxes and Rentals. Real and personal property taxes for the Property shall be prorated by the
parties to the Closing Date on the basis of a three hundred sixty-five (365) day year, with Seller responsible for (i) all such taxes for the fiscal year of the applicable taxing authority occurring prior to the Current Tax Period (as
defined below) and (ii) that portion of such taxes for the Current Tax Period to 12:00 a.m. 

  
 - 12 -

 
on the Closing Date, whether or not the same shall be payable prior to the Close of Escrow. The phrase “Current Tax Period” refers to the fiscal year of the applicable taxing
authority in which the Close of Escrow occurs. All tax prorations shall be based upon the latest available tax statement. If the tax statements for the fiscal tax year during which Escrow closes do not become available until after the Close of
Escrow, then the rates and assessed values of the previous year, with known changes, shall be used, and the parties shall re-prorate said taxes outside of Escrow following the Close of Escrow when such tax statements become available. Any special
assessment or front foot benefit charges affecting the Property shall be prorated by the parties to the Closing Date and all unpaid installments of any such assessments prorated at the Closing which first become due and payable, and are attributable
to the period on or after the Closing Date, shall be the responsibility of Buyer. In addition, notwithstanding anything to the contrary contained in this Article 5, Seller reserves the right (i) to meet with governmental officials and to
contest any reassessment governing or affecting Seller’s obligations under Section 5.1 above, and (ii) to contest any assessment of the Property or any portion thereof and to attempt to obtain a refund for any taxes previously
paid. Seller shall retain all rights with respect to any refund of taxes applicable to any period prior to the Closing Date. 

5.2 Rents, Other Income and Operating Expenses. Prepaid Contracts assumed by Buyer, rents (exclusive of Delinquent Rents [as
hereinafter defined]), all revenues under all space leases, coin-operated laundry machines, parking rents, licenses, security agreements and all other fees and miscellaneous income, excluding any lump sum payments made at the beginning of a Contract
term, arising out of the operation of the Property shall be prorated as of the Close of Escrow. If, as of the Close of Escrow, any rent is in arrears (“Delinquent Rent”) for the calendar month in which the Close of Escrow occurs,
then to the extent that the Buyer receives rents under those particular Leases with Delinquent Rent, Buyer shall render an accounting to Seller with respect thereto, and the amount of such receipts shall be applied in the following order of
priority: i) first, to the reasonable costs of collection as such Delinquent Rents including reasonable attorney’s fees incurred by Buyer; ii) second, to the calendar month in which such collection occurs if any receivables are outstanding
under that lease; iii) third, to the calendar month in which the Closing occurs; iv) fourth, to any delinquent amounts still owed to Seller for the period prior to the Closing Date. Buyer shall have no liability for Delinquent Rents, but agrees to
use commercially reasonable efforts to collect the Delinquent Rents for a period of sixty (60) days and to deliver to Seller its pro rata share of Delinquent Rent within seventy (70) days of Closing. If Buyer is unsuccessful in its attempt
to collect Delinquent Rents from one or more tenants, Seller hereby reserves the right to pursue any remedy against any tenant owing Delinquent Rents and any other amounts to Seller (but shall not be entitled to terminate any lease or any
tenant’s right to possession) provided that Seller shall likewise pay to Buyer any portion of rent collected which is rightly attributed to the Buyer’s ownership period. Buyer shall reasonably cooperate with Seller in any collection
efforts hereunder (but shall not be required to litigate or declare a default under any Lease). Notwithstanding the foregoing, with respect to Delinquent Rents and any other amounts or other rights of any kind respecting tenants who are no longer
tenants of the Property as of the Closing Date, Seller shall retain all rights relating thereto. This Section shall survive the Close of Escrow and delivery and recording of the Special Warranty Deed. 

  
 - 13 -

 5.3 Deposits and License Fees. Any deposits that Seller has posted with local utility
companies or other parties shall be returned to Seller, and Buyer shall establish its own utility deposits at the Close of Escrow. The amount of unapplied refundable security deposits held by Seller under the Leases with any accrued interest thereon
as required by law, and prepaid rents, shall be replaced by Seller and credited to Buyer at the Close of Escrow. Assignable license and permit fees shall be prorated as of the Close of Escrow. Any one-time or non recurring ancillary income or
incentive payments, if any, shall not be adjusted; rather, any amounts on account of the same which shall be received by Seller prior to the Closing Date shall be retained by Seller, and amounts on account of the same received by Buyer after the
Closing Date (unless such amounts were due and payable on or before the Closing Date) shall be retained by Buyer. 
 5.4
Utilities. Seller shall use commercially reasonable efforts to have utility meters read as of the date that Escrow closes and shall be responsible for all utility services to the Property until the Close of Escrow. In the event Seller is
unable to have the utility meters read as of the Close of Escrow, Buyer and Seller shall jointly prepare and deposit an estimated utility statement based upon the average daily usage over the thirty (30) day period preceding the Close of Escrow
and Escrow Holder shall initially prorate utilities based upon such estimated utility statements and the parties shall subsequently prorate utilities based upon the actual utility usage upon receipt of such utility statements. This provision shall
survive Closing for a period of Six (6) months. 
 5.5 Contracts. Seller shall be responsible for payment of all
maintenance services, such as janitorial services, guard services and similar services with respect to periods prior to the Close of Escrow. Buyer shall be responsible for the cost of such services thereafter to the extent assumed by Buyer
hereunder, recognizing, however that Buyer shall be required to assume the Non-Cancellable Contracts as designated on Exhibit H-2. 
 5.6 Insurance. Seller shall cause its policies of insurance for the Property to be terminated effective immediately after the Close of Escrow and Buyer shall be responsible for obtaining its own
insurance for the Property. 
 5.7 Possession. Subject to the rights of tenants in possession and other Permitted
Exceptions, Buyer shall be entitled to possession of the Property on the Close of Escrow. 
 5.8 Operating Adjustments.
At Closing, all operating adjustments between Buyer and Seller provided for pursuant to the terms of this Agreement shall be made on the basis of estimates using the most current information available as of the Closing Date. Buyer and Seller agree
that within sixty (60) days after the completion of the Close of Escrow hereunder, Buyer and Seller shall make a final settlement of all operating adjustments to be made pursuant to the terms of this Agreement; provided that there will be a
one-time readjustment, if necessary with respect to real estate taxes and such readjustment shall occur within sixty (60) days of the issuance of the final tax bill. This provision shall survive Closing for the periods stated herein.

  
 - 14 -

 5.9 Closing Costs. 

(a) Seller shall pay the cost to correct or satisfy of record any matters affecting title which Seller is responsible to
satisfy under this Agreement. Seller shall pay its own attorney’s fees. 
 (b) Buyer shall pay the cost of
the premium for the Title Policy and requested endorsements, all state transfer and recordation taxes (grantor and grantee tax) payable in connection with the sale contemplated herein other than grantor tax, and the cost of recording any deed of
trust for or in connection with Buyer’s financing, if any. Buyer shall pay its own attorney’s fees. 

(c) Any other expenses or closing costs in connection with this transaction shall be apportioned in the manner customary
in York County, Virginia. 
 5.10 Closing Statement. No later than three (3) business days prior to the Closing
Date, Escrow Holder shall prepare for approval by Buyer and Seller a closing statement (“Closing Statement”) on Escrow Holder’s standard form indicating, among other things, Escrow Holder’s estimate of all Closing costs
and prorations made pursuant to this Agreement. Buyer and Seller shall assist Escrow Holder in determining the amount of all prorations. 
 5.11 Breach by Seller. In the event the Close of Escrow and the transactions contemplated hereby do not occur as provided herein by reason of the default of Seller, Buyer may elect, as the sole and
exclusive remedy of Buyer, to (i) terminate this Agreement and receive the Deposit from Escrow Holder, and in such event each party shall be released from any liability to the other party hereunder, other than with respect to those obligations
that expressly survive termination of this Agreement, or (ii) enforce specific performance of Seller’s obligation to convey the Property to Buyer hereunder. Buyer shall be deemed to have elected to terminate this Agreement (as provided in
subsection (i) above) if Buyer fails to deliver to Seller written notice of its intent to file a cause of action for specific performance against Seller on or before thirty (30) days after written notice of termination from Seller or
thirty (30) days after the originally scheduled Closing Date, whichever shall occur first, or having given Seller notice, fails to file a lawsuit asserting such cause of action within sixty (60) days after the originally scheduled Closing
Date. Notwithstanding the foregoing, nothing contained herein shall limit Buyer’s remedies at law or in equity, as to claims first arising following the Close of Escrow to the extent such claim expressly survives termination or Closing as more
fully set forth in Section 6.4 hereof; provided, however, Buyer shall seek only actual damages and not consequential, special or indirect damages as a result of any default by Seller. Notwithstanding any provisions in this Agreement to
the contrary, Seller’s maximum liability under this Section 5.12 shall not exceed Two Hundred Fifty Thousand Dollars ($250,000.00). 
 5.12 LIQUIDATED DAMAGES. IN THE EVENT THAT BUYER BREACHES ITS OBLIGATIONS UNDER THIS AGREEMENT, THE DAMAGES THAT SELLER WILL INCUR BY REASON THEREOF ARE

  
 - 15 -

 
AND WILL BE IMPRACTICAL AND EXTREMELY DIFFICULT TO ESTABLISH. BUYER AND SELLER, IN A REASONABLE EFFORT TO ASCERTAIN WHAT SELLER’S DAMAGES WOULD BE IN THE EVENT OF SUCH A DEFAULT BY BUYER,
HAVE AGREED THAT SUCH DAMAGES SHALL BE IN AN AMOUNT EQUAL TO THE AMOUNT OF THE INITIAL DEPOSIT AND THE ADDITIONAL DEPOSIT, IF MADE BY BUYER PURSUANT TO SECTION 1.2, AND THAT SUCH DEPOSIT SHALL BE DELIVERED TO SELLER, ASSUMING SELLER HAS
PERFORMED ITS OBLIGATIONS UNDER THIS AGREEMENT, UPON SUCH DEFAULT BY BUYER, WITHOUT THE NECESSITY OF AN INSTRUCTION BY BUYER, AND SUCH DEPOSIT MAY THEREAFTER BE RETAINED BY SELLER AS LIQUIDATED DAMAGES, WHICH DAMAGES SHALL BE SELLER’S SOLE AND
EXCLUSIVE REMEDY AT LAW OR IN EQUITY IN THE EVENT OF AND FOR SUCH DEFAULT BY BUYER. WITHOUT LIMITING THE FOREGOING PROVISIONS OF THIS PARAGRAPH, SELLER WAIVES ANY AND ALL RIGHTS WHICH SELLER OTHERWISE MAY HAVE HAD TO SPECIFICALLY ENFORCE THIS
AGREEMENT AND BUYER SHALL BE RELEASED AND DISCHARGED FROM ANY AND ALL FURTHER LIABILITY OR OBLIGATION UNDER THIS AGREEMENT OTHER THAN THOSE OBLIGATIONS OR LIABILITIES WHICH EXPRESSLY SURVIVE A TERMINATION OF THIS AGREEMENT. SELLER AND BUYER
ACKNOWLEDGE AND AGREE THAT THEY HAVE READ AND UNDERSTAND THE PROVISIONS OF THIS PARAGRAPH AND BY THEIR INITIALS AGREE TO BE BOUND BY ITS TERMS. 
  

									
	 	 	  	 		 	  	 	 
		 	Buyer’s Initials	 		 	Seller’s Initials	 	

 ARTICLE 6 
 REPRESENTATIONS, WARRANTIES AND COVENANTS 
 6.1 Warranties and
Representations by Seller. 
 (a) Seller hereby makes the following representations and warranties to the
best of Seller’s knowledge information and belief as of the date hereof: 
 (i) Compliance with Law.
Seller has received no written notice of any violation of any laws, ordinances, codes, rules and regulations of any government or any agency, body or subdivision thereof, or any insurance board of underwriters, pertaining to the Property or any part
thereof, which remains uncured as of the date hereof. 

  
 - 16 -

 (ii) No Litigation. Except as specifically disclosed to Buyer on
Exhibit “I”, to Seller’s knowledge, there are no pending or threatened claims, allegations or lawsuits of any kind against Seller, whether for personal injury, property damage, landlord-tenant disputes, property taxes or
otherwise, that could materially and adversely affect the operation or value of the Property or prohibit the sale thereof. 
 (iii) Enforceability; Authorization. Seller is a limited partnership duly formed, validly existing and in good standing under the laws of the Commonwealth of Virginia. Seller has the authority and
power to enter into this Agreement and to consummate the transaction provided for herein and such action will not breach any court order, the organizational documents of Seller or other existing agreement or agreements to which Seller is a party.
This Agreement constitutes the valid, binding and enforceable obligation of Seller, except as its enforceability may be limited by bankruptcy, insolvency, moratorium or other laws relating to or affecting the rights of creditors generally and the
exercise of judicial discretion in accordance with general equitable principles. 
 (iv) Rent Roll. To
Seller’s knowledge, the information set forth in the Rent Roll attached hereto as Exhibit “J” is true and correct in all material respects as of the date hereof. To Seller’s knowledge, each Lease is valid and in full force
and effect, has not been amended, modified or supplemented except as disclosed in the property records made available to Buyer by Seller. 
 (v) Contracts. Except as set forth on the list of Contracts attached hereto as Exhibit “H-1” and Exhibit “H-2”, there is no agreement, in writing or otherwise, between
the Seller and any other person or persons for service, supply, maintenance, management or the operation of the Property or any portion of the business conducted thereon or thereat, which is not terminable upon thirty (30) days’ notice,
without payment of any penalty or premium. 
 (vi) Foreign Person. Seller is not a “foreign
person” within the meaning of the Internal Revenue Code of 1986, as amended to date (the “Code”), and the transaction contemplated hereby does not constitute a disposition of a U.S. real property interest by a foreign person. At
Closing, Seller shall deliver to Buyer the Non-Foreign Affidavit certifying, under penalties of perjury, Seller’s U.S. taxpayer identification number and that Seller is not a foreign person. 

(b) Seller expressly reserves the right to update the representations and warranties made above as of the Closing Date.

 6.2 Seller’s Knowledge. Whenever the phrases “to Seller’s knowledge” or words of similar
import are used, they shall be deemed to refer to the current, actual, knowledge only, and not any implied, imputed or constructive knowledge, of Stanley Zupnik, General Partner of Seller, without any independent investigation having been made or
any implied duty to investigate. 

  
 - 17 -

 6.3 Change in Representation/Waiver. Notwithstanding anything to the contrary
contained herein, Buyer acknowledges that Buyer shall not be entitled to rely on any representation made by Seller in this Article 6 to the extent, prior to or at the Close of Escrow, Buyer shall have or obtain actual knowledge of any
information that was contradictory to such representation or warranty; provided, however, if Buyer determines prior to Close of Escrow that there is a breach of any of the representations and warranties made by Seller above (which
breach is not cured by Seller within ten (10) business days), then Buyer may, at its option, notify the Seller of such matter (“Buyer’s Change Notice”). Seller shall have a period of three (3) business days after
receipt of Buyer’s Change Notice in which to deliver written notice to Buyer (“Seller’s Change Notice”) of Seller’s election to either (i) agree to correct the objectionable items prior to the Close of Escrow in
a manner reasonably satisfactory to Buyer, or (ii) decline to address such items. In the event Seller does not timely issue Seller’s Change Notice, Seller shall be deemed to have elected to decline to address such items. If Seller
notifies, or is deemed to have notified, Buyer of its election to decline to address the objectionable items, Buyer shall have the right, by written notice delivered to Seller within five (5) days after Buyer’s receipt of Seller’s
Change Notice (or five (5) days after the date Seller was required to deliver Seller’s Change Notice in the event Seller fails to do so), to either (x) agree to accept the Property subject to the objectionable items, in which event
Buyer shall waive such breach and/or conditions and proceed to Close of Escrow with no adjustment in the Purchase Price, and Seller shall have no further liability as to such matter thereafter or (y) terminate this Agreement, whereupon, the
Deposit (less the Buyer’s share of the escrow cancellation charges) shall be delivered to Buyer and, subject to any obligations which expressly survive termination of this Agreement, this Agreement shall terminate, and thereupon neither party
shall have any further rights or obligations to the other hereunder. In the event the Buyer fails to timely respond to Seller’s Change Notice, Buyer shall be deemed to have elected to proceed under clause (x) of the preceding sentence. In
the event Buyer terminates this Agreement for the reasons set forth above, the portion of the Deposit to which Buyer is entitled shall be immediately refunded to Buyer and neither Buyer nor Seller shall thereafter have any other rights or remedies
hereunder other than as to those matters which expressly survive closing or termination of this Agreement. In furtherance thereof, Seller shall have no liability with respect to any of the foregoing representations and warranties or any
representations and warranties made in any other document executed and delivered by Seller to Buyer, to the extent that, prior to the Close of Escrow, Buyer obtains actual knowledge (from whatever source, as a result of Buyer’s due diligence
tests, investigations and inspections of the Property, or disclosure by Seller or Seller’s agents and employees) that contradicts any such representations and warranties, or renders any such representations and warranties untrue or incorrect,
and Buyer nevertheless consummates the transaction contemplated by this Agreement. 
 6.4 Survival. The express
representations and warranties made in this Agreement shall survive the Close of Escrow and shall not merge into any instrument or conveyance delivered at the Close of Escrow; provided, however, that any action, suit or proceeding with
respect to the truth, accuracy or completeness of such representations and warranties shall be commenced, if at all, on or before the expiration of six (6) months after the Closing Date and, if not commenced on or before such date, thereafter
such representations and warranties shall be void and of no force or effect. 
 6.5 Covenants of Seller. During the
pendency of Escrow, Seller covenants and agrees as follows: 

  
 - 18 -

 (a) Insurance. Seller shall maintain in effect all insurance policies
now maintained on the Property, up to and including the Closing Date. 
 (b) Performance Under Leases.
Between the Effective Date and the Closing Date, Seller agrees that it will continue to perform all of its obligations as landlord under all of such Leases in substantially the same manner as Landlord has performed such obligations prior to the
execution of this Agreement, including, without limitation, all painting, repairs and alterations, all of which shall be paid for in full by Seller on or prior to the Close of Escrow. 

(c) Further Tenancies. Between the Effective Date and the Closing Date, without the prior written consent of the
Buyer, none of the Leases will be amended to reduce the rents or other charges thereunder or will be renewed for rents or other charges which are less than those payable prior to such renewal; and no new Lease or extension to an existing Lease will
be made unless it is on Seller’s standard form of lease. 
 (d) Operation and Condition Pending
Closing. Between the Effective Date and the Closing Date, Seller will use commercially reasonable efforts to continue to manage, operate and maintain the Property in substantially the same manner as existed prior to the execution of this
Agreement. 
 6.6 Representations and Covenants of Buyer. 

(a) Enforceability; Authorization. The person executing any instruments for or on behalf of the Buyer was fully
authorized to act on behalf of Buyer and this Agreement is valid and enforceable against Buyer in accordance with its terms except as its enforceability may be limited by bankruptcy, insolvency, moratorium or other laws relating to or affecting the
rights of creditors generally and the exercise of judicial discretion in accordance with general equitable principles and each instrument to be executed by Buyer pursuant hereto or in connection therewith will, when executed, be valid and
enforceable against Buyer in accordance with its terms except as its enforceability may be limited by bankruptcy, insolvency, moratorium or other laws relating to or affecting the rights of creditors generally and the exercise of judicial discretion
in accordance with general equitable principles. No approval, consent, order or authorization of, or designation, registration or declaration with, any governmental authority, including, but not limited to, subdivision approval, is required in
connection with the valid execution and delivery of and compliance with this Agreement by Buyer. 
 (b) Legal
Action Against Buyer. There are no judgments, orders or decrees of any kind against Buyer unpaid or unsatisfied of record which would adversely affect the Close of Escrow hereunder, nor any legal action, suit or other legal or
administrative proceeding pending against Buyer before any court or administrative agency in which an adverse finding would materially affect the Close of Escrow hereunder. 

(c) Bankruptcy or Debt of Buyer. Buyer is not in the hands of a receiver and has not committed an act of
bankruptcy. 

  
 - 19 -

 (d) Solicitation of Employees. Prior to the Closing Date, Buyer shall
not solicit or hire any person working at the Property without Seller’s written consent, which consent shall not be unreasonably withheld, conditioned or delayed. 
 ARTICLE 7 
 DAMAGE, DESTRUCTION AND CONDEMNATION 

7.1 Risk of Physical Loss. Prior to Seller’s delivery of possession of the Property to Buyer at the Close of Escrow, the risk
of loss or damage to the Property shall remain upon Seller. If the Property suffers damages as a result of any casualty prior to the Close of Escrow, then Seller shall give written notice thereof to Buyer promptly after Seller obtains knowledge of
the occurrence of the casualty. If such casualty is not “Material” (as hereinafter defined), Buyer shall accept the Property in its damaged condition, together with an assignment of Seller’s insurance proceeds and (1) at Closing
Buyer shall receive a credit against the Purchase Price in an amount equal to any deductible (and Seller hereby agrees that it shall not sell or compromise any insurance claim affecting the Property without Buyer’s prior written consent, which
consent shall not be unreasonably withheld or delayed); and (2) Buyer shall thereafter be responsible for the repair of the damage to the Property caused by such fire or casualty. If such casualty is, however, Material, Buyer shall have the
option to terminate this Agreement upon notice to Seller given not later than fifteen (15) days after receipt of Seller’s notice, and, in the event such Material casualty occurs within fifteen (15) days prior to the Closing Date, the
Closing Date shall be so extended if necessary. If this Agreement is terminated, the Deposit shall be returned to Buyer and thereafter neither Seller nor Buyer shall have any further rights or obligations to the other hereunder except with respect
to any obligations that expressly survive termination of the Agreement. If this Agreement is not terminated, Seller shall not be obligated to repair any damage or destruction but (x) Seller shall assign, without recourse, and turn over to Buyer
all of the insurance proceeds, net of any costs of repairs previously expended by Seller and net of reasonable collection costs (or, if such have not been awarded, all of its right, title and interest therein (and Seller hereby agrees that it shall
not sell or compromise any insurance claim affecting the Property without Buyer’s prior written consent, which consent shall not be unreasonably withheld or delayed)) payable with respect to such fire or other casualty, and (y) the parties
shall proceed to Close of Escrow pursuant to the terms hereof without abatement of the Purchase Price except for a credit in the amount of the applicable insurance deductible. 
 For purposes of this Agreement, with respect to any casualty, “Material” shall mean any damage in excess of Five Hundred Thousand Dollars ($500,000.00). 

7.2 Condemnation. In the event that, prior to the Close of Escrow, any governmental entity shall commence any actions of eminent
domain or similar type proceedings to take any portion of the Property (a “Taking”), Seller shall give prompt written notice thereof to Buyer. In such event, Buyer may, at its sole option (i) terminate this Agreement and
receive a full refund of the Deposit; or (ii) continue this Agreement, pay the full Purchase Price without reduction, accept an assignment of Seller’s rights in any condemnation award (whether received prior to or after Closing) and
proceed to Closing; provided that, (A) Seller shall not consent to any Taking or agree to any condemnation 

  
 - 20 -

 
award without the prior written consent of Buyer (which consent shall not be unreasonably withheld); (B) prior to Closing, Seller shall provide Buyer with an opportunity to participate with
Seller in any negotiations relating to a Taking affecting any portion of the Property or any condemnation award to be made in connection therewith; and (C) Seller shall reasonably cooperate with Buyer after Closing in prosecuting any claim for
a condemnation award arising prior to Closing. 
 ARTICLE 8 

DISCLAIMER, RELEASE AND ASSUMPTION 
 AS AN ESSENTIAL INDUCEMENT TO SELLER TO ENTER INTO THIS AGREEMENT, AND AS PART OF THE DETERMINATION OF THE PURCHASE PRICE, BUYER ACKNOWLEDGES, UNDERSTANDS AND AGREES AS OF THE DATE HEREOF AND AS OF THE
CLOSING DATE AS FOLLOWS: 
 8.1 DISCLAIMER. BUYER ACKNOWLEDGES AND AGREES THAT IT IS A SOPHISTICATED BUYER WHO IS
FAMILIAR WITH THE OWNERSHIP AND OPERATION OF REAL ESTATE PROJECTS SIMILAR TO THE PROPERTY, AND THAT BUYER HAS BEEN GIVEN OR WILL BE GIVEN BEFORE THE END OF THE DUE DILIGENCE PERIOD, A FULL OPPORTUNITY TO INSPECT AND INVESTIGATE EACH AND EVERY ASPECT
OF THE PROPERTY AND ANY AND ALL OTHER MATTERS RELATING THERETO, EITHER INDEPENDENTLY OR THROUGH AGENTS OF BUYER’S CHOOSING, INCLUDING, WITHOUT LIMITATION:  

(a) ALL MATTERS RELATING TO TITLE, TOGETHER WITH ALL GOVERNMENTAL AND OTHER LEGAL REQUIREMENTS SUCH AS TAXES,
ASSESSMENTS, ZONING, USE PERMIT REQUIREMENTS AND BUILDING CODES. 
 (b) THE PHYSICAL CONDITION AND ASPECTS
OF THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE INTERIOR, THE EXTERIOR, THE SQUARE FOOTAGE WITHIN THE IMPROVEMENTS, THE STRUCTURE, SEISMIC ASPECTS OF THE PROPERTY, THE PAVING, THE UTILITIES, AND ALL OTHER PHYSICAL AND FUNCTIONAL ASPECTS OF THE
PROPERTY. SUCH EXAMINATION OF THE PHYSICAL CONDITION OF THE PROPERTY SHALL INCLUDE AN EXAMINATION FOR THE PRESENCE OR ABSENCE OF “HAZARDOUS MATERIALS”, (AS HEREUNDER DEFINED), WHICH SHALL BE PERFORMED OR ARRANGED BY BUYER AT BUYER’S
SOLE EXPENSE. FOR PURPOSES OF THIS AGREEMENT, “HAZARDOUS MATERIALS” SHALL MEAN MOLD, FUNGI, BACTERIA AND/OR BIOLOGICAL GROWTH OR BIOLOGICAL GROWTH FACTORS, INFLAMMABLE EXPLOSIVES, RADIOACTIVE MATERIALS, ASBESTOS, POLYCHLORINATED BIPHENYLS,
LEAD, LEAD-BASED PAINT, UNDER AND/OR ABOVE GROUND TANKS, HAZARDOUS MATERIALS, HAZARDOUS WASTES, HAZARDOUS SUBSTANCES, OIL, OR RELATED MATERIALS, WHICH ARE LISTED OR REGULATED IN THE COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPENSATION AND LIABILITY
ACT OF 1980, AS AMENDED (42 U.S.C. SECTIONS 6901, ET SEQ.), THE 

  
 - 21 -

 
RESOURCES CONSERVATION AND RECOVERY ACT OF 1976 (42 U.S.C. SECTION 6901, ET SEQ.), THE CLEAN WATER ACT (33 U.S.C. SECTION 1251, ET SEQ.), THE SAFE DRINKING WATER ACT (14 U.S.C. SECTION 1401, ET
SEQ.), THE HAZARDOUS MATERIALS TRANSPORTATION ACT (49 U.S.C. SECTION 1801, ET SEQ.), AND THE TOXIC SUBSTANCE CONTROL ACT (15 U.S.C. SECTION 2601, ET SEQ.), AND ANY OTHER APPLICABLE FEDERAL, STATE OR LOCAL LAWS. 

(c) ANY EASEMENTS AND/OR ACCESS RIGHTS AFFECTING THE PROPERTY. 

(d) THE LEASES AND ALL MATTERS IN CONNECTION THEREWITH, INCLUDING, WITHOUT LIMITATION, THE ABILITY OF THE VARIOUS
TENANTS TO PAY THE RENT AND THE ECONOMIC VIABILITY OF THE VARIOUS TENANTS. 
 (e) ALL MATTERS ARISING OUT
OF OR RELATING IN ANY WAY TO ANY OTHER DOCUMENTS OR AGREEMENTS OF SIGNIFICANCE AFFECTING THE PROPERTY. 

(f) ALL FINANCIAL EXAMINATIONS AND OTHER MATTERS OF SIGNIFICANCE AFFECTING THE PROPERTY OR OTHERWISE RELATING TO THE
ACQUISITION BY BUYER OF THE PROPERTY. 
 BUYER WILL ACQUIRE THE PROPERTY SOLELY ON THE BASIS OF AND IN RELIANCE UPON SUCH EXAMINATIONS
AND THE TITLE INSURANCE PROTECTION AFFORDED BY THE OWNER’S POLICY AND NOT ON ANY INFORMATION PROVIDED OR TO BE PROVIDED BY SELLER (OTHER THAN AS EXPRESSLY PROVIDED IN THE REPRESENTATIONS MADE BY SELLER UNDER SECTION 6.1). 

8.2 AS-IS, WHERE-IS. 
 THE SALE OF THE PROPERTY HEREUNDER IS AND WILL BE MADE ON AN “AS IS, WHERE IS” SUBJECT TO ALL FAULTS BASIS. EXCEPT AS PROVIDED IN ARTICLE 6, SELLER HAS NOT MADE, DOES NOT MAKE AND
SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE OF, AS TO, CONCERNING OR WITH RESPECT TO THE PROPERTY OR ANY
OTHER MATTER WHATSOEVER, INCLUDING WITHOUT LIMITATION: (i) THE QUALITY, NATURE, ADEQUACY AND PHYSICAL CONDITION AND ASPECTS OF THE PROPERTY, INCLUDING, BUT NOT LIMITED TO, THE STRUCTURAL ELEMENTS, SEISMIC ASPECTS OF THE PROPERTY, FOUNDATION,
ROOF, APPURTENANCES, ACCESS, LANDSCAPING, PARKING FACILITIES AND THE ELECTRICAL, MECHANICAL, HVAC, PLUMBING, SEWAGE, AND UTILITY SYSTEMS, FACILITIES AND APPLIANCES, THE SQUARE FOOTAGE WITHIN THE IMPROVEMENTS ON THE PROPERTY AND THE IMPROVEMENTS,
(ii) THE QUALITY, NATURE, ADEQUACY, AND PHYSICAL CONDITION OF SOILS, GEOLOGY AND ANY GROUNDWATER, (iii)

  
 - 22 -

 
THE EXISTENCE, QUALITY, NATURE, ADEQUACY AND PHYSICAL CONDITION OF UTILITIES SERVING THE PROPERTY, (iv) THE DEVELOPMENT POTENTIAL OF THE PROPERTY, AND THE PROPERTY’S USE, HABITABILITY,
MERCHANTABILITY, OR FITNESS, SUITABILITY, VALUE OR ADEQUACY OF THE PROPERTY FOR ANY PARTICULAR PURPOSE, (v) THE ZONING OR OTHER LEGAL STATUS OF THE PROPERTY AND THE IMPROVEMENTS OR ANY OTHER PUBLIC OR PRIVATE RESTRICTIONS ON USE OF THE
PROPERTY, (vi) THE COMPLIANCE OF THE PROPERTY OR ITS OPERATION WITH ANY APPLICABLE CODES, LAWS, REGULATIONS, STATUTES, ORDINANCES, COVENANTS, CONDITIONS AND RESTRICTIONS OF ANY GOVERNMENTAL OR QUASI-GOVERNMENTAL ENTITY OR OF ANY OTHER PERSON OR
ENTITY, (vii) THE PRESENCE OF HAZARDOUS MATERIALS ON, UNDER OR ABOUT THE PROPERTY OR THE ADJOINING OR NEIGHBORING PROPERTY, (viii) THE QUALITY OF ANY LABOR AND MATERIALS USED IN ANY IMPROVEMENTS ON THE PROPERTY, (ix) THE CONDITION OF
TITLE TO THE PROPERTY, (x) THE LEASES, OR OTHER AGREEMENTS AFFECTING THE PROPERTY AND THE IMPROVEMENTS, AND (xi) THE ECONOMICS OF THE OPERATION OF THE PROPERTY AND THE IMPROVEMENTS. 

8.3 DUE DILIGENCE MATERIALS. 
 ANY INFORMATION PROVIDED OR TO BE PROVIDED WITH RESPECT TO THE PROPERTY IS SOLELY FOR BUYER’S CONVENIENCE AND WAS OR WILL BE OBTAINED FROM A VARIETY OF SOURCES. NEITHER SELLER NOR ANY SELLER
RELATED PARTY (BELOW DEFINED) HAS MADE ANY INDEPENDENT INVESTIGATION OR VERIFICATION OF SUCH INFORMATION AND MAKES NO (AND EXPRESSLY DISCLAIMS ALL) REPRESENTATIONS AS TO THE ACCURACY OR COMPLETENESS OF SUCH INFORMATION. EXCEPT AS SET FORTH IN
SECTION 6 HEREOF, NEITHER SELLER NOR ANY SELLER RELATED PARTY SHALL BE LIABLE FOR ANY MISTAKES, OMISSIONS, MISREPRESENTATION OR ANY FAILURE TO INVESTIGATE THE PROPERTY NOR SHALL SELLER OR ANY OF SELLERS RELATED PARTIES BE BOUND IN ANY MANNER BY ANY
VERBAL OR WRITTEN STATEMENTS, REPRESENTATIONS, APPRAISALS, ENVIRONMENTAL ASSESSMENT REPORTS, OR OTHER INFORMATION PERTAINING TO THE PROPERTY OR THE OPERATION THEREOF, FURNISHED BY SELLER, ANY PARTNER OF SELLER, ANY MANAGER OR MANAGEMENT AGENT OF
SELLER, OR BY ANY REAL ESTATE BROKER, AGENT, REPRESENTATIVE, AFFILIATE, TRUSTEE OR ANY MEMBER, DIRECTOR, OFFICER, SHAREHOLDER, EMPLOYEE, SERVANT OR OTHER PERSON OR ENTITY ACTING ON SELLER’S BEHALF (COLLECTIVELY, “SELLER RELATED
PARTIES”). 
 8.4 RELEASE. 

BUYER, ON BEHALF OF ITSELF AND ITS SUCCESSORS AND ASSIGNS, HEREBY WAIVES ITS RIGHT TO RECOVER FROM, AND FOREVER
RELEASES AND 

  
 - 23 -

 
DISCHARGES, SELLER AND ALL SELLER RELATED PARTIES FROM ANY AND ALL DEMANDS, CLAIMS, LEGAL OR ADMINISTRATIVE PROCEEDINGS, LOSSES, LIABILITIES, DAMAGES, PENALTIES, FINES, LIENS, JUDGMENTS, COSTS OR
EXPENSES WHATSOEVER (INCLUDING, WITHOUT LIMITATION, ATTORNEYS’ FEES AND COSTS), WHETHER DIRECT OR INDIRECT, KNOWN OR UNKNOWN, FORESEEN OR UNFORESEEN (“CLAIMS”), WHICH ANY BUYER OR ANY PARTY RELATED TO OR AFFILIATED WITH BUYER (A
“BUYER RELATED PARTY“) HAS OR MAY HAVE ARISING FROM OR RELATED TO ANY MATTER OR THING RELATED TO OR IN CONNECTION WITH THE PROPERTY INCLUDING THE DOCUMENTS AND INFORMATION REFERRED TO HEREIN, THE LEASES, AND ANY OF THE TENANTS THEREUNDER,
ANY CONSTRUCTION DEFECTS, ERRORS OR OMISSIONS IN THE DESIGN OR CONSTRUCTION AND ANY ENVIRONMENTAL CONDITIONS OR ANY OTHER MATTER RELATING TO THE USE, PRESENCE, DISCHARGE OR RELEASE OF HAZARDOUS MATERIALS ON, UNDER, IN, ABOVE OR ABOUT THE PROPERTY,
AND BUYER SHALL NOT LOOK TO ANY SELLER RELATED PARTIES IN CONNECTION WITH THE FOREGOING FOR ANY REDRESS OR RELIEF. THIS RELEASE SHALL BE GIVEN FULL FORCE AND EFFECT ACCORDING TO EACH OF ITS EXPRESSED TERMS AND PROVISIONS, INCLUDING THOSE RELATING TO
UNKNOWN AND UNSUSPECTED CLAIMS, DAMAGES AND CAUSES OF ACTION. THE FOREGOING PROVISIONS OF THIS SECTION 8.4 SHALL NOT LIMIT, HOWEVER, THE RIGHTS OF BUYER BY REASON OF ANY BREACH BY SELLER OF SELLER’S EXPRESS OBLIGATIONS UNDER THIS AGREEMENT
EXCEPT TO THE EXTENT THAT SUCH BREACH WAS KNOWN BY BUYER AT OR PRIOR TO CLOSING AND BUYER ELECTED TO CLOSE HEREUNDER NOTWITHSTANDING THE KNOWLEDGE OF SUCH BREACH. IN NO EVENT SHALL BUYER HAVE THE RIGHT TO CLAIM ANY DAMAGES, LOSS, COST OR EXPENSE
FROM SELLER AS A RESULT OF ANY BREACH BY SELLER KNOWN TO BUYER AT OR PRIOR TO CLOSING SHOULD BUYER ELECT TO CLOSE HEREUNDER. TO THE EXTENT PERMITTED BY LAW, BUYER HEREBY AGREES, REPRESENTS AND WARRANTS THAT BUYER REALIZES AND ACKNOWLEDGES THAT
FACTUAL MATTERS NOW UNKNOWN TO IT MAY HAVE GIVEN OR MAY HEREAFTER GIVE RISE TO CAUSES OF ACTION, CLAIMS, DEMANDS, DEBTS, CONTROVERSIES, DAMAGES, COSTS, LOSSES AND EXPENSES WHICH ARE PRESENTLY UNKNOWN, UNANTICIPATED AND UNSUSPECTED, AND BUYER FURTHER
AGREES, REPRESENTS AND WARRANTS THAT THE WAIVERS AND RELEASES HEREIN HAVE BEEN NEGOTIATED AND AGREED UPON IN LIGHT OF THAT REALIZATION AND THAT BUYER NEVERTHELESS HEREBY INTENDS TO RELEASE, DISCHARGE AND ACQUIT SELLER FROM ANY SUCH UNKNOWN CAUSES OF
ACTION, CLAIMS, DEMANDS, DEBTS, CONTROVERSIES, DAMAGES, COSTS, LOSSES AND EXPENSES WHICH MIGHT IN ANY WAY BE INCLUDED AS A MATERIAL PORTION OF THE CONSIDERATION GIVEN TO SELLER BY BUYER IN EXCHANGE FOR SELLER’S PERFORMANCE HEREUNDER. WITHOUT
LIMITATION OF THE FOREGOING, IF BUYER HAS ACTUAL KNOWLEDGE OF (I) A DEFAULT IN ANY OF THE COVENANTS, AGREEMENTS OR OBLIGATIONS TO BE PERFORMED BY SELLER UNDER THIS AGREEMENT AND/OR (II) ANY BREACH OF OR

  
 - 24 -

 
INACCURACY IN ANY REPRESENTATION OF SELLER MADE IN THIS AGREEMENT WHICH WOULD ENTITLE BUYER TO TERMINATE THIS AGREEMENT, AND NONETHELESS ELECTS TO PROCEED TO CLOSING, THEN, BUYER SHALL BE DEEMED
TO HAVE WAIVED ANY SUCH DEFAULT AND/OR BREACH OR INACCURACY AND SHALL HAVE NO CLAIM AGAINST SELLER WITH RESPECT THERETO . 
  

 
 INITIALS OF
BUYER 
 8.5 SURVIVAL. THIS SECTION SHALL SURVIVE ANY TERMINATION OF THIS AGREEMENT AND THE
CLOSING. 
 ARTICLE 9 
 MISCELLANEOUS 
 9.1 Attorneys’ Fees. In the event of any
action between Buyer and Seller seeking enforcement of any of the terms and conditions to this Agreement, or otherwise in connection with the Property, the prevailing party in such action, whether by fixed judgment or settlement, shall be entitled
to recover, in addition to damages, injunctive or other relief, its actual costs and expenses, including, but not limited to, actual attorneys’ fees, court costs and expert witness fees. Such costs shall include attorneys’ fees, costs and
expenses incurred in (a) post-judgment motions, (b) contempt proceedings, (c) garnishment, levy and debtor and third-party examination, (d) discovery, and (e) bankruptcy litigation. Buyer and Seller agree that neither Buyer
nor Seller shall be liable, under any circumstance or condition, to any party or person, for those kinds of damages known as “consequential damages” or “indirect damages.” For purposes of this Agreement, the term
“Consequential Damages” shall mean such damage, loss or injury as does not flow directly and immediately from the act of the party, but only from some of the consequences or the results of such act. 

9.2 Notices. All notices under this Agreement shall be effective upon (i) personal delivery to Buyer or Seller, as the case
may be, or (ii) telecopier transmission with a hard copy deposited in United States mail, or (iii) one (1) business day after deposit with an overnight courier service (e.g., Federal Express), or (iv) three (3) business days
after deposit in the United States mail, registered, certified, postage fully prepaid and addressed to the respective parties as follows: 
  

	 	To Seller:	York Associates Limited Partnership 

      5530 Wisconsin Avenue, Suite 900 

     Chevy Chase, Maryland 20815 
      Attn: Stanley Zupnik 

     Telecopier No.: (301) 951-8658 

  
 - 25 -

	 	Copy to:	Grossberg, Yochelson, Fox & Beyda , LLP 

      2000 L Street, NW, Suite 675 

     Washington, DC 20036 
      Attn: Linton W. Hengerer, Esq. 

     Telecopier No.: (202) 296-7777 

 

	 	To Buyer:	FP-1, LLC 

     11824 Fishing Point Road 
      Newport News, VA 23606 

     Attn: J. Guy Buck 
  

	 	Copy to:	David, Kamp & Frank, L.L.C. 

      739 Thimble Shoals Boulevard, Suite 105 

     Newport News, VA 23606 
      Attn: Arthur J. Kamp, Esq. 

     Telecopier No.: (757) 595-6723 
 or to such other address as the parties may from time to time designate in writing. 
 9.3 Entire Agreement. This Agreement and the items incorporated herein contain all the agreements of the parties hereto with respect to the matters contained herein; and no prior agreement or
understanding pertaining to any such matter shall be effective for any purpose. No provisions of this Agreement may be amended or modified in any manner whatsoever except by an agreement in writing signed by duly authorized officers or
representatives of each of the parties hereto. 
 9.4 Severability. If any one or more of the provisions hereof
shall for any reason be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision hereof, and this Agreement shall be construed as if such invalid, illegal or
unenforceable provision had never been contained herein. 
 9.5 Successors. The terms, covenants and conditions of this
Agreement shall be binding upon and shall inure to the benefit of the heirs, executors, administrators and assigns of the respective parties hereto. 
 9.6 Assignment. Except as provided below, Buyer shall not have the right to assign the Agreement without Seller’s prior written consent, which consent may be given or withheld in Seller’s
sole and absolute discretion; provided that Buyer shall in no event be released from any of its obligations or liabilities hereunder as a result of any such assignment. Notwithstanding anything to the contrary stated above, Buyer shall be permitted
to assign its rights under this Agreement without Seller’s consent to any entity in which Buyer or any entity controlling, controlled by, or under common control with Buyer is a general partner, manager or managing member, provided that,
(i) assignee assumes Buyer’s obligations under this Agreement pursuant to a written agreement; (ii) Seller promptly receives a copy of such assignment and assumption agreement at least three (3) business days prior to Close of
Escrow and (iii) Buyer shall remain liable for, and shall not be released from the performance of Buyer’s obligations under this 

  
 - 26 -

 
Agreement after such assignment Whenever reference is made in this Agreement to Seller or Buyer, such reference shall include the successors and assigns of such party under this Agreement.

 9.7 Choice of Laws. This Agreement shall be governed by the laws of the Commonwealth of Virginia and any questions
arising hereunder shall be construed or determined according to such law. 
 9.8 Headings. Headings at the beginning of
each numbered Article and Section of this Agreement are solely for the convenience of the parties and are not a part of this Agreement. 
 9.9 Survival. Except as otherwise expressly provided for in this Agreement, this Agreement and all covenants, representations and warranties contained herein shall survive the close of this
transaction and shall not merge into the deed of conveyance for a period of not more than six (6) months. 

9.10 Time. Time is of the essence of this Agreement, it being understood that each date set forth herein and the obligations
of the parties to be satisfied by such date have been the subject of specific negotiation by the parties; provided, however, where a date falls on a weekend or legal holiday in the Commonwealth OF Virginia, then such date shall be
extended to the next business day. 
 9.11 Counterparts. This Agreement may be signed by the parties in different
counterparts and the signature pages combined to create a document binding on all parties. 
 9.12 Brokerage Commissions.
Each party represents and warrants that, other than Cassidy Turley Commercial Real Estate Services, which has been engaged by Seller, neither party has retained any brokers or finders to represent its interests in connection with this transaction.
Seller shall, upon the Close of Escrow, pay a brokerage commission pursuant to a separate agreement to Cassidy Turley Commercial Real Estate Services, if and only if Escrow closes and shall indemnify Buyer for any liability relating thereto. Except
as provided above, each party agrees to indemnify and hold the other harmless from and against all liabilities, costs, damages and expenses, including, without limitation, reasonable attorneys’ fees, resulting from any claims or fees or
commissions, based upon agreements by it, if any, to pay any additional broker’s commission and/or finder’s fee. The provisions of this Section 9.12 shall survive the Close of Escrow and/or termination of this Agreement.

 9.13 Information Report. Escrow Holder shall file and Buyer and Seller agree to cooperate with Escrow Holder and with
each other in completing any report (“Information Report”) and/or other information required to be delivered to the Internal Revenue Service pursuant to Internal Revenue Code Section 6045(e) regarding the real estate sales
transaction contemplated by this Agreement, including, without limitation, Internal Revenue Service Form 1099-B as such may be hereinafter modified or amended by the Internal Revenue Service, or as may be required pursuant to any regulation now or
hereinafter promulgated by the Treasury Department with respect thereto. Buyer and Seller also agree that Buyer and Seller, 

  
 - 27 -

 
their respective employees and attorneys, and Escrow Holder and its employees may disclose to the Internal Revenue Service, whether pursuant to such Information Report or otherwise, any
information regarding this Agreement or the transaction contemplated herein as such party reasonably deems to be required to be disclosed to the Internal Revenue Service by such party pursuant to Internal Revenue Code Section 6045(e), and
further agree that neither Buyer nor Seller shall seek to hold any such party liable for the disclosure to the Internal Revenue Service of any such information. 
 9.14 Exchange. Seller reserves the right to locate or cause to be located property of a like-kind suitable to Seller for the purpose of effectuating one or more exchange transactions solely by the
transfer of this Agreement (but not title to the Property) by Seller to a “qualified intermediary” selected by Seller (the “Accommodator”) in connection with a tax-deferred exchange as contemplated by Section 1031 of
the Internal Revenue Code of 1986, as amended. Buyer agrees to reasonably cooperate with Seller in connection with such tax-deferred exchange, including the execution of such documents as may be reasonably necessary to effectuate the same; provided
that (i) the Closing Date shall not be delayed as the result of such exchange; (ii) all costs in connection with such exchange shall be borne by Seller; (iii) such exchange is effectuated through an Accommodator; (iv) Seller
conveys title to the property directly to Buyer (or its permitted assignee) by direct deeding and remains liable for all of its obligations, representations and warranties hereunder; (v) Buyer shall not be required to incur any liabilities in
connection with such cooperation, including, but not limited to, for the failure of the transaction to constitute a like-kind exchange under the Internal Revenue Code of 1986, as amended; (vi) Buyer shall not be required to take title to any
exchange property in connection with any such cooperation; and (vii) Seller shall indemnify Seller and hold Buyer harmless from and against any and all claims, demands, liabilities, costs, expenses, penalties, damages and losses, including,
without limitation, reasonable attorneys’ fees relating to Buyer’s participation in such exchange. This Agreement and Seller’s obligations hereunder are not subject to or conditioned upon Seller’s ability to consummate an
exchange. Buyer’s responsibility for reviewing exchange documents shall be limited to determining whether the terms and conditions of such exchange documents are such that they are in compliance with the foregoing provisions. Seller shall be
responsible for the payment of all deposits and other costs required to be paid by the “buyer” pursuant to the exchange documents and for making all determinations as to the legal sufficiency or other consideration, including but not
limited to tax considerations, relating to such exchange documents. Buyer, in so cooperating in any exchange transaction arranged by Seller, shall in no event be responsible for, or in any way warrant, the tax consequences of the exchange
transaction. This provision shall survive Closing for a period of one (1) year. 
 9.15 Incorporation.
Exhibits “A”, “B”, “C”, “D”, “E”, “F”, “G”, “H”, “I”, “J”, and
“K”, each as attached to this Agreement, are incorporated herein and made a part hereof. 
 9.16 No
Recording. Neither this Agreement nor any memorandum or short form hereof shall be recorded or filed in any public land or other public records of any jurisdiction, by either party and any attempt to do so may be treated by the other party as a
breach of this Agreement. 
 9.17 Waiver of Trial by Jury. The respective parties hereto shall and hereby do waive
trial by jury in any action, proceeding or counterclaim brought by either of the parties hereto against the 

  
 - 28 -

 
other on any matters whatsoever arising out of or in any way connected with this Agreement, or for the enforcement of any remedy under any statute, emergency or otherwise. 

9.18 Confidentiality. Buyer expressly acknowledges and agrees that the transactions contemplated by this Agreement, the Documents
that are not otherwise known by or readily available to the public and the terms, conditions and negotiations concerning the same shall be held in the strictest confidence by Buyer and shall not be disclosed except (i) as may be required by
law; or (ii) to its legal counsel, surveyor, title company, broker, accountants, consultants, officers, directors, shareholders, partners and prospective partners and their counsel, lenders and their counsel (the “Authorized
Representatives”), and, except with respect to such Authorized Representatives, only to the extent that such disclosure may be necessary for its performance hereunder. Buyer agrees that it shall instruct each of its Authorized
Representatives to maintain the confidentiality of such information and at the request of the other, to promptly inform the other of the identity of each such Authorized Representative. Buyer further acknowledges and agrees that, unless and until
the Close of Escrow occurs, all information and materials obtained in connection with the Property that are not otherwise known by or readily available to the public will not be disclosed to any third persons (other than to Authorized
Representatives), except as may be required by law t, without the prior written consent of the Seller, which consent shall not be unreasonably withheld, delayed or conditioned. If the transaction contemplated by this Agreement does not occur for any
reason whatsoever, Buyer shall, promptly upon receipt of written request from Seller, return to Seller, and shall instruct its Authorized Representatives to return to Seller, all copies and originals of all documents and information provided by
Seller to Buyer. Nothing contained in this Section 9.18 shall preclude or limit either party from disclosing or accessing any information otherwise deemed confidential under this Section 9.18 in connection with the
party’s enforcement of its rights following a disagreement hereunder or in response to lawful process or subpoena or other valid or enforceable order of a court of competent jurisdiction or any filings with governmental authorities required by
reason of the transactions provided for herein. The provisions of this Section 9.18 shall survive any termination of this Agreement. 
 9.19 Post Closing Publication. Notwithstanding the foregoing, following Close of Escrow, Buyer shall have the right to announce the acquisition of the Property in newspapers and real estate trade
publications (including “tombstones”) publicizing the purchase provided that in the event such announcement or notice includes the identity of the Seller, Buyer shall consult with Seller with respect to any such notice or publication, and
shall reasonably consider any comments or objections of Seller. The provisions of this Section 9.19 shall survive Close of Escrow and/or any termination of this Agreement. 

9.20 Severability. If fulfillment of any provision of this Agreement, or performance of any transaction related hereto, at the
time such fulfillment or performance shall be due, shall involve transcending the limit of validity prescribed by law, then the obligation to be fulfilled or performed shall be reduced to the limit of such validity; and if any clause or provision
contained in this Agreement operates or would prospectively operate to invalidate this Agreement in whole or in part, then such clause or provision only shall be held ineffective, as though not herein contained, and the remainder of this Agreement
shall remain operative and in full force and effect. 

  
 - 29 -

 9.21 Cumulative Remedies. Except as specifically provided in this Agreement,
each and every of the rights, benefits, and remedies provided to Buyer or Seller by this Agreement, or any instruments or documents executed pursuant to this Agreement, are cumulative and shall not be exclusive of any other rights, remedies and
benefits allowed to such party by this Agreement, at law or in equity. 
 9.22 Construction. Each party hereto hereby
acknowledges that all parties hereto participated equally in the negotiation and drafting of this Agreement and that, accordingly, no court construing this Agreement shall construe it more stringently against one party than against the other.

 9.23 Additional Assurances. Buyer and Seller agree that they will, at any time after the Closing, duly execute and
deliver to each other any additional conveyances, assignments, documents and instruments, and shall take or cause to be taken such further actions (including the making of filings), which are necessary in connection with the consummation of the
purchase and sale contemplated herein. This provision shall survive Closing for a period of one (1) year. 
 9.24
Lead-Based Paint and Lead-Based Paint Hazards Disclosure. Buyer hereby acknowledges receipt of the Disclosure of Information on Lead-Based Paint and Lead-Based Paint Hazards (the “Lead Paint Disclosure”) in the form attached hereto
as Exhibit K which it has executed and initialed as required by such Disclosure prior to the execution of this Contract of Sale. Buyer further acknowledges that Seller has offered it a ten (10) day opportunity to conduct a risk assessment or
inspection to determine the presence of lead based paint and/or lead based paint hazards in the Property and Buyer has waived such opportunity. 
 9.25 No Third Party Benefits. This Agreement is for the sole and exclusive benefit of the parties hereto and their respective successors and assigns, and no third party is intended to or shall have
any rights hereunder. 
 9.26 Access to Property Files. Notwithstanding anything to the contrary set forth in this
Agreement, Buyer hereby agrees that following Closing, Seller shall have, upon reasonable prior notice to Buyer, access to all files at the Property that relate to a dispute or a set of facts that could lead to a dispute (a
“Dispute”) between Seller and a third party including, without limitation, a tenant of the Property with respect to Seller’s period of ownership thereof; provided, however, all rights, defenses, causes of action and claims
relating to a Dispute and arising from matters and events following the Closing Date shall belong to Buyer. In addition, all files at the Property that relate to tenants who have vacated their units at the Property (the “Former Tenant Lease
Files”), together with any and all rights, defenses, causes of action and claims relating thereto, shall remain the property of Seller. Former Tenant Lease Files may be removed from the Property by Seller on or before Closing. The
provisions of this Section 9.26 shall survive Close of Escrow. 
 (Remainder of page left blank; signature page
follows) 

  
 - 30 -

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

											
		 		 	SELLER:
			
		 		 	YORK ASSOCIATES LIMITED PARTNERSHIP
				
	Date: July 12, 2011	 		 	By:	 	/s/ Stanley R. Zupnik
		 		 		 	Name:	 	Stanley R. Zupnik
		 		 		 	Title:	 	General Partner
			
		 		 	BUYER:
			
		 		 	FP-1, LLC
				
		 		 	By:	 	DF FP-1 Manager Co., Inc., its Manager
					
	Date: July 12, 2011	 		 		 	By:	 	/s/ Wendy C. Drucker
		 		 		 		 	Title:	 	Wendy C. Drucker
		 		 		 		 	Name:	 	President

  
 - 31 -

 ACCEPTANCE BY ESCROW HOLDER 

The undersigned hereby acknowledges that it has received originally executed counterparts or a fully executed original of the foregoing
Purchase and Sale Agreement and Escrow Instructions and agrees to act as Escrow Holder thereunder and to be bound by and perform the terms thereof as such terms apply to Escrow Holder. 
 Dated: July 18, 2011. 
  

			
	ESCROW HOLDER:
	
	DAVID, KAMP & FRANK, L.L.C.
		
	By:	 	/s/ Arthur J. Kamp
	Name:	 	Arthur J. Kamp
	Title:	 	Member

  
 - 32 -

 EXHIBIT “A” 

LEGAL DESCRIPTION OF REAL PROPERTY 
 ALL THAT certain tract, piece or parcel of land lying, situate and being in the County of York, Virginia, being known, numbered and designated as “Parcel B-1” as shown on that certain plat
entitled “Subdivision of Parcel B, (P.B. 8, P. 407; D.B. 746, P. 674; D.B. 257, P. 215), Property of Second York Limited Partnership, a Limited Partnership and York Associates Limited Partnership, a Limited Partnership, Bethel District-County
of York, Virginia”, made by The Sirine Group, Ltd., dated November 11, 1995 and recorded in the Office of the Clerk of the Circuit Court of the County of York, in Plat Book 12, Page 371. 

Said property is further bounded and described as follows: 
 Beginning at a pipe at the point where the southerly line of property now or formerly of Shady Banks Associates I, L.P., a Virginia limited partnership, meets the easterly line of a certain 80-foot wide
easement or right of way running from State Route 134 to property of the U.S. Government, said right of way being sometimes known as “First Avenue”; thence running along the said line of Shady Banks Associates 1, L.P., South
66°24’27” E 
 882.68 feet to a pipe; thence N 23°35’33” E 600.00 feet to a pipe in the southerly line of State
Route 134; thence along said highway line S 66°24’27” E. 60.00 feet to a point; thence leaving the line of State Route 134, and running thence S 23°35’33” W 600.00 feet to a point; thence S 66°24’27” E 68.00
feet to a point; thence S 23°35’33” W 70.00 feet to a point; thence S 66°24’27” E 138.00 feet to a point; thence S 23°35’33 W 35.91 feet to a point; thence S 66°24’27” E 250.78 feet6 to a point;
thence S 23°35’33” W 412 feet to a point in the northerly line of property of the U.S. Government; thence along said line N 73°02’07” W 290.89 feet to a point; and N 81°41’12” W 1028.49 feet to a point and a
cross cut in concrete in the easterly sideline of said First Avenue; thence in a generally northerly direction along said sideline and a curve to the right having a radius of 1422.45 feet, an arc distance of 584.41 feet to a pipe; thence continuing
along said sideline N 23°35’33” E 254.41 feet to the pipe at the Point of Beginning; containing 20.918 acres. In the event of any variation between this metes and bounds description and the property lines as shown on said plat, the
lines as shown on the plat shall be deemed to be correct, and the lines intended. 

  
 A-1

 EXHIBIT “B” 
 This document was prepared outside the Commonwealth of Virginia. 
 Parcel Identifier:
                                        

 Parcel Tax Account Number 
 (if any,
and if different than Parcel Identifier):
                                        

 Street Address: 

			
	  	 	 
	  	 	 
	  	 	 

 After Recording 

Return to: 

SPECIAL WARRANTY DEED 

This Deed, made as of the              day of
            , 2011 by and between YORK ASSOCIATES LIMITED PARTNERSHIP, a Virginia limited partnership (“Grantor”), and FP-1, LLC, a Virginia limited liability
company (“Grantee”). 
 Witnesseth, that in consideration of the sum of
                     Dollars
($                    ), and other good and valuable consideration, the receipt of which is hereby acknowledged, Grantor does hereby GRANT,
BARGAIN, SELL, CONVEY and ASSIGN unto Grantee, its successors and assigns, in fee simple, all that lot or parcel of ground, situate, lying and being in YORK COUNTY, VIRGINIA and more particularly described in Exhibit “A” attached
hereto and incorporated herein. 
 Together with the buildings thereupon, and the rights, alleys, ways, waters,
privileges, appurtenances, easements and advantages belonging or appertaining thereto. 
 SUBJECT TO all easements, conditions,
encumbrances and restrictions of record insofar as they may legally affect the Property (the “Permitted Exceptions”). 
 To Have and To Hold the property hereby conveyed unto Grantee, its successors and assigns, in fee simple. 
 The Grantor hereby covenants that it will warrant specially the property hereby granted; and that it will execute such further assurances of the same as may be requisite. 

IN WITNESS WHEREOF, Grantor has executed and delivered this Deed as of the date first hereinabove set forth as the free act and deed of
Grantor for the uses and purposes herein set forth, with the specific intention that this Deed constitute an instrument under seal. 

  
 B-1

 
			
	GRANTOR:
	
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

 STATE OF
                                        
 
 COUNTY OF
                                    , to wit: 

I,
                                        
                    , a Notary Public in and for the jurisdiction aforesaid, do hereby certify that
                    , who is personally well known to me as the general partner of York Associates Limited Partnership the party of the
foregoing instrument, personally appeared before me in such jurisdiction, and acknowledged such Instrument to be his act and deed in his capacity as such. 
 Witness my hand and official seal this              day of
                    , 2011. 
  

					
	[Notarial Seal]	 		 	 
			
	 	 		 	Notary Public
		 		 	My Commission Expires:

  
 B-2

 EXHIBIT “A” TO SPECIAL WARRANTY DEED 

LEGAL DESCRIPTION OF REAL PROPERTY 
 ALL THAT certain tract, piece or parcel of land lying, situate and being in the County of York, Virginia, being known, numbered and designated as “Parcel B-1” as shown on that certain plat
entitled “Subdivision of Parcel B, (P.B. 8, P. 407; D.B. 746, P. 674; D.B. 257, P. 215), Property of Second York Limited Partnership, a Limited Partnership and York Associates Limited Partnership, a Limited Partnership, Bethel District-County
of York, Virginia”, made by The Sirine Group, Ltd., dated November 11, 1995 and recorded in the Office of the Clerk of the Circuit Court of the County of York, in Plat Book 12, Page 371. 

Said property is further bounded and described as follows: 
 Beginning at a pipe at the point where the southerly line of property now or formerly of Shady Banks Associates I, L.P., a Virginia limited partnership, meets the easterly line of a certain 80-foot wide
easement or right of way running from State Route 134 to property of the U.S. Government, said right of way being sometimes known as “First Avenue”; thence running along the said line of Shady Banks Associates 1, L.P., South
66°24’27” E 
 882.68 feet to a pipe; thence N 23°35’33” E 600.00 feet to a pipe in the southerly line of State
Route 134; thence along said highway line S 66°24’27” E. 60.00 feet to a point; thence leaving the line of State Route 134, and running thence S 23°35’33” W 600.00 feet to a point; thence S 66°24’27” E 68.00
feet to a point; thence S 23°35’33” W 70.00 feet to a point; thence S 66°24’27” E 138.00 feet to a point; thence S 23°35’33 W 35.91 feet to a point; thence S 66°24’27” E 250.78 feet6 to a point;
thence S 23°35’33” W 412 feet to a point in the northerly line of property of the U.S. Government; thence along said line N 73°02’07” W 290.89 feet to a point; and N 81°41’12” W 1028.49 feet to a point and a
cross cut in concrete in the easterly sideline of said First Avenue; thence in a generally northerly direction along said sideline and a curve to the right having a radius of 1422.45 feet, an arc distance of 584.41 feet to a pipe; thence continuing
along said sideline N 23°35’33” E 254.41 feet to the pipe at the Point of Beginning; containing 20.918 acres. In the event of any variation between this metes and bounds description and the property lines as shown on said plat, the
lines as shown on the plat shall be deemed to be correct, and the lines intended. 

 EXHIBIT “C” 

BILL OF SALE 
 THIS BILL OF SALE (this “Bill of Sale”) is executed on this              day of
            , 2011, by YORK ASSOCIATES LIMITED PARTNERSHIP, a Virginia limited partnership (“Seller”), in favor of FP-1, LLC, a Virginia limited liability company
(“Purchaser”). 
 1. Reference to Purchase Agreement. Reference is made to a certain Purchase and Sale
Agreement and Escrow Instructions dated                     , 2011 between Seller and Purchaser, pursuant to which Seller has agreed to sell
to Purchaser, and Purchaser has agreed to purchase from Seller, the improved real property and other assets described therein (the “Purchase Agreement”). Capitalized terms used herein and not otherwise defined herein shall have the
meanings set forth in the Purchase Agreement. 
 2. Sale. For good and valuable consideration received by Seller, the
receipt and sufficiency of which are hereby acknowledged, Seller hereby sells, assigns and transfers the Personal Property, free and clear of all claims, liens, security interests and encumbrances, to Purchaser. 

Purchaser acknowledges and agrees that, except as may have been set forth in the purchase agreement, Seller has not made, does not make
and specifically disclaims any representations, warranties, promises, covenants, agreements or guaranties of any kind or character whatsoever, whether express or implied, oral or written, past, present or future, of, as to, concerning or with
respect to (a) the nature, quality or conditions of the personal property, (b) the income to be derived from the personal property, (C) the suitability of the personal property for any and all activities and uses which Purchaser may
conduct thereon, (d) the compliance of or by the personal property or its operation with any laws, rules, ordinances or regulations of any applicable governmental authority or body, (e) the habitability, merchantability or fitness for a
particular purpose of the personal property, or (f) any other matter with respect to the personal property. Purchaser further acknowledges and agrees that, having been given the opportunity to inspect the personal property, Purchaser is relying
solely on its own investigation of the personal property and not on any information provided or to be provided by Seller. Purchaser further acknowledges and agrees that any information provided or to be provided with respect to the personal property
was obtained from a variety of sources and that Seller has not made any independent investigation or verification of such information. Purchaser further acknowledges and agrees that the sale of the personal property as provided for herein is made on
an “as is, where is” condition and basis “with all faults.” 
 (Remainder of page left blank; signature page
follows.) 

  
 C-1

 Dated this          day of
            , 2011. 
  

			
	SELLER:
	
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

  
 C-2

 EXHIBIT “D” 

ASSIGNMENT OF LEASES 
 THIS ASSIGNMENT OF LEASES (“Assignment”) is made as of             , 2011, by and between YORK ASSOCIATES LIMITED PARTNERSHIP,
a Virginia limited partnership (“Assignor”), and FP-1, LLC, a Virginia limited liability company (“Assignee”). 
 R E C I T A L S: 
 A.
Concurrently with the delivery of this Assignment, Assignor has conveyed to Assignee and Assignee has acquired from Assignor a fee simple estate in and to certain real property located in the County of York, Virginia more particularly described in
Exhibit “A” attached hereto (the “Property”) pursuant to that certain Purchase and Sale Agreement and Escrow Instructions dated             , 2011 (the
“Purchase Agreement”). 
 B. Pursuant to the Purchase Agreement, Assignor is to assign to Assignee and Assignee is to
assume certain rights and obligations under those certain leases affecting the Property as amended or modified (collectively, the “Leases”), which Leases are more particularly described in Exhibit “B” attached hereto and
incorporated herein by this reference. 
 NOW, THEREFORE, Assignor and Assignee agree as follows: 

ARTICLE 1 

ASSIGNMENT OF LEASES 
 1.1 Assignment. Assignor hereby assigns, grants, conveys, transfers and delivers to Assignee all of Assignor’s right, title and interest in and to all Leases (the “Leases”) affecting
the Property as of the Effective Date (hereafter defined), including, but not limited to, all Security Deposits (hereafter defined) , reserving, however, unto Assignor the right to receive all uncollected or delinquent rents attributable to periods
prior to the date hereof and the right to proceed directly against a delinquent tenant. 
 1.2 Assumption. Assignee
hereby accepts the foregoing assignment, grant, conveyance, transfer and delivery, assumes the Leases for the benefit of Assignor and the lessees thereunder, and agrees to timely keep, perform and discharge all of the obligations of the lessor under
the Leases that accrue from and after the Effective Date hereof. 
 1.3 Indemnification. Assignor shall indemnify,
protect, defend and hold Assignee harmless from all losses, damages, claims, liabilities, demands, costs, offset rights and expenses, including, without limitation, reasonable attorneys’ fees arising out of any failure of Assignor to keep,
perform and discharge all of the obligations of the lessor under the Leases prior to the Effective Date and with respect to the Security Deposits transferred hereby arising prior to the Effective Date. Assignee shall indemnify, protect, defend and
hold Assignor harmless from all losses, damages, claims, liabilities, demands, costs, expenses and offset rights, including, without limitation, 

  
 D-1

 
reasonable attorneys’ fees arising out of any failure of Assignee to keep, perform and discharge all of the obligations of the lessor under the Leases from and after the Effective Date and
with respect to the Security Deposits transferred hereby arising after the Effective Date. Subject to the provisions of Section 6.3 of the Purchase Agreement, the mutual indemnifications made and given in this paragraph shall survive the
execution and delivery of this Assignment. 
 1.4 Effective Date. The “Effective Date” of this Assignment shall
be the date that Assignee acquires the Property. 
 1.5 Consistency with Purchase Agreement. Nothing in this Assignment
shall be construed to modify or limit any provisions of the Purchase Agreement and in the event of any inconsistency between this Assignment and the Purchase Agreement, the Purchase Agreement shall control. 

1.6 Security Deposits. “Security Deposits” means those security deposits held by or for Assignor on account of tenants
under the Leases as such deposits, including, without limitation, all interest earned thereon as required by applicable law of the Commonwealth of Virginia and/or by the Leases, and with respect to which Assignee received a credit at the closing of
the transaction with respect to which this Assignment has been executed and delivered. 
 ARTICLE 2 

MISCELLANEOUS 
 2.1 Attorneys’ Fees. In the event of any action between Assignor and Assignee seeking enforcement of any of the terms and conditions to this Agreement, the prevailing party in such action,
whether by fixed judgment or settlement, shall be entitled to recover, in addition to damages, injunctive or other relief, its actual, reasonable costs and expenses, including, but not limited to, actual, reasonable attorneys’ fees, court costs
and expert witness fees. Such costs shall include attorneys’ fees, costs and expenses incurred in (a) post-judgment motions, (b) contempt proceedings, (c) garnishment, levy and debtor and third-party examination,
(d) discovery, and (e) bankruptcy litigation. 
 2.2 Counterparts. This Assignment may be signed by the parties
in different counterparts and the signature pages combined to create a document binding on all parties. 
 2.3 Governing
Law. This Assignment shall be governed by and construed in accordance with the laws of the Commonwealth of Virginia. 
 [The
remainder of this page has been intentionally left blank.] 

  
 D-2

 IN WITNESS WHEREOF, the parties have executed this Assignment as of the day and year first
above written. 
  

			
	ASSIGNOR:
	
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

  

					
	ASSIGNEE:
	
	FP-1, LLC
		
	By:	 	DF FP-1 Manager Co., Inc., its Manager
			
		 	By:	 	 
		 	Name:	 	
		 	Title:	 	

  
 D-3

 EXHIBIT “A” TO ASSIGNMENT OF LEASES 

LEGAL DESCRIPTION OF REAL PROPERTY 
 ALL THAT certain tract, piece or parcel of land lying, situate and being in the County of York, Virginia, being known, numbered and designated as “Parcel B-1” as shown on that certain plat
entitled “Subdivision of Parcel B, (P.B. 8, P. 407; D.B. 746, P. 674; D.B. 257, P. 215), Property of Second York Limited Partnership, a Limited Partnership and York Associates Limited Partnership, a Limited Partnership, Bethel District-County
of York, Virginia”, made by The Sirine Group, Ltd., dated November 11, 1995 and recorded in the Office of the Clerk of the Circuit Court of the County of York, in Plat Book 12, Page 371. 

Said property is further bounded and described as follows: 
 Beginning at a pipe at the point where the southerly line of property now or formerly of Shady Banks Associates I, L.P., a Virginia limited partnership, meets the easterly line of a certain 80-foot wide
easement or right of way running from State Route 134 to property of the U.S. Government, said right of way being sometimes known as “First Avenue”; thence running along the said line of Shady Banks Associates 1, L.P., South
66°24’27” E 
 882.68 feet to a pipe; thence N 23°35’33” E 600.00 feet to a pipe in the southerly line of State
Route 134; thence along said highway line S 66°24’27” E. 60.00 feet to a point; thence leaving the line of State Route 134, and running thence S 23°35’33” W 600.00 feet to a point; thence S 66°24’27” E 68.00
feet to a point; thence S 23°35’33” W 70.00 feet to a point; thence S 66°24’27” E 138.00 feet to a point; thence S 23°35’33 W 35.91 feet to a point; thence S 66°24’27” E 250.78 feet6 to a point;
thence S 23°35’33” W 412 feet to a point in the northerly line of property of the U.S. Government; thence along said line N 73°02’07” W 290.89 feet to a point; and N 81°41’12” W 1028.49 feet to a point and a
cross cut in concrete in the easterly sideline of said First Avenue; thence in a generally northerly direction along said sideline and a curve to the right having a radius of 1422.45 feet, an arc distance of 584.41 feet to a pipe; thence continuing
along said sideline N 23°35’33” E 254.41 feet to the pipe at the Point of Beginning; containing 20.918 acres. In the event of any variation between this metes and bounds description and the property lines as shown on said plat, the
lines as shown on the plat shall be deemed to be correct, and the lines intended. 

 EXHIBIT “B” TO ASSIGNMENT OF LEASES 

SCHEDULE OF LEASES 

Seller shall prepare a list of the Leases affecting the Real Property including any amendments or modifications thereto and all security and other
deposits and prepaid rents thereunder. Such list shall be inserted as Exhibit “B” to the Assignment prior to its execution. 

 EXHIBIT “E” 

NON-FOREIGN AFFIDAVIT 
 Section 1445 of the Internal Revenue Code provides that the transferee of an interest in real property located in the United States must withhold tax if the transferor is a foreign person. To inform
FP-1, LLC, a Virginia limited liability company (“Transferee”), that withholding of tax is not required upon the sale by YORK ASSOCIATES LIMITED PARTNERSHIP, a Virginia limited partnership (“Transferor”), of its fee simple
interest in that certain real property sold pursuant to the Purchase and Sale Agreement and Escrow Instructions dated             , 2011, which real property is described in
Exhibit “A”, attached hereto and made a part hereof, the undersigned hereby certifies the following: 
 1. The
Transferor is not a foreign corporation, foreign partnership, foreign trust, or foreign estate (as those terms are defined in the Internal Revenue Code and the income tax regulations promulgated thereunder); 

2. The Transferor’s United States Taxpayer Identification Number is
                                        ;

 3. The Transferor’s office address is
                                         
                                       ; and

 4. The Internal Revenue Service has not issued any notice with respect to Transferor or listed Transferor as a person whose
affidavit may not be relied upon for purposes of Section 1445 of the Internal Revenue Code. 
 The Transferor understands
that this certification may be disclosed to the Internal Revenue Service by Transferee and that any false statement contained herein could be punished by fine, imprisonment or both. 

Under penalty of perjury, I declare that I have examined this certification and to the best of my knowledge and belief it is true,
correct and complete, and that I have authority to sign this document on behalf of the Transferor. 
  

			
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	
	
	Dated:                    , 2011.

  
 E-1

 EXHIBIT “A” TO FIRPTA 

LEGAL DESCRIPTION OF REAL PROPERTY 
 ALL THAT certain tract, piece or parcel of land lying, situate and being in the County of York, Virginia, being known, numbered and designated as “Parcel B-1” as shown on that certain plat
entitled “Subdivision of Parcel B, (P.B. 8, P. 407; D.B. 746, P. 674; D.B. 257, P. 215), Property of Second York Limited Partnership, a Limited Partnership and York Associates Limited Partnership, a Limited Partnership, Bethel District-County
of York, Virginia”, made by The Sirine Group, Ltd., dated November 11, 1995 and recorded in the Office of the Clerk of the Circuit Court of the County of York, in Plat Book 12, Page 371. 

Said property is further bounded and described as follows: 
 Beginning at a pipe at the point where the southerly line of property now or formerly of Shady Banks Associates I, L.P., a Virginia limited partnership, meets the easterly line of a certain 80-foot wide
easement or right of way running from State Route 134 to property of the U.S. Government, said right of way being sometimes known as “First Avenue”; thence running along the said line of Shady Banks Associates 1, L.P., South
66°24’27” E 
 882.68 feet to a pipe; thence N 23°35’33” E 600.00 feet to a pipe in the southerly line of State
Route 134; thence along said highway line S 66°24’27” E. 60.00 feet to a point; thence leaving the line of State Route 134, and running thence S 23°35’33” W 600.00 feet to a point; thence S 66°24’27” E 68.00
feet to a point; thence S 23°35’33” W 70.00 feet to a point; thence S 66°24’27” E 138.00 feet to a point; thence S 23°35’33 W 35.91 feet to a point; thence S 66°24’27” E 250.78 feet6 to a point;
thence S 23°35’33” W 412 feet to a point in the northerly line of property of the U.S. Government; thence along said line N 73°02’07” W 290.89 feet to a point; and N 81°41’12” W 1028.49 feet to a point and a
cross cut in concrete in the easterly sideline of said First Avenue; thence in a generally northerly direction along said sideline and a curve to the right having a radius of 1422.45 feet, an arc distance of 584.41 feet to a pipe; thence continuing
along said sideline N 23°35’33” E 254.41 feet to the pipe at the Point of Beginning; containing 20.918 acres. In the event of any variation between this metes and bounds description and the property lines as shown on said plat, the
lines as shown on the plat shall be deemed to be correct, and the lines intended. 

 EXHIBIT “F” 

ASSIGNMENT OF CONTRACTS, PERMITS, INTANGIBLE 
 PERSONAL PROPERTY, WARRANTIES AND GUARANTIES 
 THIS ASSIGNMENT OF CONTRACTS,
PERMITS, INTANGIBLE PERSONAL PROPERTY, WARRANTIES AND GUARANTIES (“Assignment”) is made and entered into this          day of
                , 2011, by and between YORK ASSOCIATES LIMITED PARTNERSHIP, a Virginia limited partnership (“Assignor”), FP-1, LLC, a Virginia limited
liability company (“Assignee”). 
 R E C I T A L S: 

This Assignment is made with reference to the following facts and intentions of the parties: 

A. Concurrently with the delivery of this Assignment, Assignor has conveyed to Assignee and Assignee has acquired from Assignor a fee
simple estate in and to certain real property, together with buildings and improvements thereon, located in York County, Virginia, more particularly described in Exhibit “A” attached hereto (the “Real Property”) pursuant
to that certain Purchase and Sale Agreement and Escrow Instructions dated                 , 2011 (the “Purchase Agreement”). 

B. Assignor, in connection with the orderly operation of the Real Property, has entered into certain labor service, supply maintenance,
leasing, insurance and other contracts, copies of which have been given to and approved by Assignee. In accordance with the terms and conditions of the Purchase Agreement, Assignor has agreed to assign to Assignee and Assignee has agreed to accept
the assignment of all contracts that Assignee elects to assume. A schedule of all such contracts Assignee has elected to assume are attached hereto as Exhibit ”B” (collectively, “Contracts”). 

C. Assignor is the owner of or holder of certain permits, licenses, and certificates of occupancy relating to the Real Property
(collectively, “Permits”) including but not limited to those permits, licenses, and certificates of occupancy set forth in the schedule attached hereto as Exhibit “C”. 

D. Assignor is the owner and possessor of certain signs, logos, trade names, or trademarks relating to the Real Property (specifically
including the name “Pines of York Apartments”), and other intangible property used by Seller exclusively in connection with the Property, Improvements and Personal Property including, but not limited to, but only to the extent assignable,
brochures, manuals, lists of prospective tenants, advertising materials and telephone numbers located at the Property, all surveys, plans, specifications, including, without limitation, all working drawings and “as-built” drawings,
approvals, reports and studies (“Intangible Personal Property”), including but not limited to the Intangible Personal Property set forth in the schedule attached hereto as Exhibit “D”. 

E. Assignor is the owner or holder of certain warranties, guaranties and bonds now in effect with respect to the Property (collectively,
“Warranties and Guaranties”), including, but not 

  
 F-1

 
limited to, the warranties, guaranties and bonds listed in the schedule set forth in Exhibit “E” attached hereto. 

F. Pursuant to the terms of the Purchase Agreement, Assignor has agreed to grant, set over, assign, transfer and convey to Assignee all
of its right, title, interest, privileges and claims in and to the Contracts, Permits, Intangible Personal Property and Warranties and Guaranties. 
 NOW, THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the parties agree as follows: 
 ARTICLE 1 
 ASSIGNMENT OF CONTRACTS, PERMITS, INTANGIBLE PERSONAL PROPERTY,

 WARRANTIES AND GUARANTIES 
 1.1 Assignment of Contracts. FOR AND IN CONSIDERATION OF Ten Dollars ($10.00), cash in hand paid, and for other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, Assignor hereby grants, sets over, assigns, transfers and conveys to Assignee all of Assignor’s right, title, interest, privileges and claims in and to all of the Contracts set forth in Exhibit “B” attached
hereto and incorporated herein by this reference, and Assignee accepts and agrees to assume the obligations of Assignor under the Contracts occurring after the Effective Date (as hereinafter defined). 

1.2 Assignment of Permits, Intangible Personal Property, Warranties and Guaranties. To the extent assignable, Assignor hereby
grants, sets over, assigns, transfers and conveys to Assignee all of Assignor’s right, title, interest, privileges and claims in and to all Permits, Intangible Personal Property and Warranties and Guaranties relating to the Real Property,
including, without limitation, those Permits, Intangible Personal Property and Warranties and Guaranties described in Exhibits “C”, “D” and “E”, respectively. Assignee hereby accepts the foregoing
assignment of any and all Permits, Intangible Personal Property and Warranties and Guaranties now in effect with respect to the Property. 
 1.3 No Liability; Indemnification. This Assignment and its acceptance by Assignee shall not impose any liability on Assignee for any default by Assignor under the Contracts occurring prior to the
Effective Date. Assignor shall indemnify, protect, defend and hold Assignee harmless from any and all losses, demands, damages, claims, liabilities, costs and expenses, including, but not limited to, reasonable attorneys’ fees arising out of or
in connection with any default by Assignor under the Contracts occurring prior to the Effective Date. Assignee shall indemnify, protect, defend and hold Assignor harmless from any and all losses, damages, claims, liabilities, costs and expenses
including, without limitation, reasonable attorneys’ fees, arising out of or in connection with any default by Assignee under the Contracts that occurs after the Effective Date. Subject to the provisions of Section 6.3 of the Purchase
Agreement, the mutual indemnities set forth in this paragraph shall survive the execution of this Assignment. 
 1.4
Effective Date. The “Effective Date” of this Assignment shall be the date that Assignee acquires fee simple interest in and to the Real Property described in Exhibit “A”. 

  
 F-2

 1.5 Consistency with Purchase Agreement. Nothing in this Assignment shall be
construed to modify or limit any provisions in the Purchase Agreement and in the event of any inconsistency between this Assignment and the Purchase Agreement, the latter shall govern and control. 

ARTICLE 2 

MISCELLANEOUS 
 2.1 Attorneys’ Fees. In the event of any action between Assignor and Assignee seeking enforcement of any of the terms and conditions to this Agreement, the prevailing party in such action,
whether by fixed judgment or settlement, shall be entitled to recover, in addition to damages, injunctive or other relief, its actual, reasonable costs and expenses, including, but not limited to, actual, reasonable attorneys’ fees, court costs
and expert witness fees. Such costs shall include attorneys’ fees, costs and expenses incurred in (a) post-judgment motions, (b) contempt proceedings, (c) garnishment, levy and debtor and third-party examination,
(d) discovery, and (e) bankruptcy litigation. 
 2.2 Counterparts. This Agreement may be signed by the parties
in different counterparts and the signature pages combined to create a document binding on all parties. 
 2.3 Governing
Law. This Assignment shall be governed by and construed in accordance with the laws of the Commonwealth of Virginia. 
 [THE
REMAINDER OF THIS PAGE HAS BEEN INTENTIONALLY LEFT BLANK.] 

  
 F-3

 IN WITNESS WHEREOF, the parties hereto have executed this Assignment as of the date first
above written. 
  

			
	ASSIGNOR:
	
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

  

					
	ASSIGNEE:
	
	FP-1, LLC
		
	By: 	 	DF FP-1 Manager Co., Inc., its Manager
			
		 	By:	 	 
		 	Name:	 	
		 	Title:	 	
		 		 	

  
 F-4

 EXHIBIT “A” TO ASSIGNMENT OF CONTRACTS 

LEGAL DESCRIPTION OF REAL PROPERTY 
 ALL THAT certain tract, piece or parcel of land lying, situate and being in the County of York, Virginia, being known, numbered and designated as “Parcel B-1” as shown on that certain plat
entitled “Subdivision of Parcel B, (P.B. 8, P. 407; D.B. 746, P. 674; D.B. 257, P. 215), Property of Second York Limited Partnership, a Limited Partnership and York Associates Limited Partnership, a Limited Partnership, Bethel District-County
of York, Virginia”, made by The Sirine Group, Ltd., dated November 11, 1995 and recorded in the Office of the Clerk of the Circuit Court of the County of York, in Plat Book 12, Page 371. 

Said property is further bounded and described as follows: 
 Beginning at a pipe at the point where the southerly line of property now or formerly of Shady Banks Associates I, L.P., a Virginia limited partnership, meets the easterly line of a certain 80-foot wide
easement or right of way running from State Route 134 to property of the U.S. Government, said right of way being sometimes known as “First Avenue”; thence running along the said line of Shady Banks Associates 1, L.P., South
66°24’27” E 
 882.68 feet to a pipe; thence N 23°35’33” E 600.00 feet to a pipe in the southerly line of State
Route 134; thence along said highway line S 66°24’27” E. 60.00 feet to a point; thence leaving the line of State Route 134, and running thence S 23°35’33” W 600.00 feet to a point; thence S 66°24’27” E 68.00
feet to a point; thence S 23°35’33” W 70.00 feet to a point; thence S 66°24’27” E 138.00 feet to a point; thence S 23°35’33 W 35.91 feet to a point; thence S 66°24’27” E 250.78 feet6 to a point;
thence S 23°35’33” W 412 feet to a point in the northerly line of property of the U.S. Government; thence along said line N 73°02’07” W 290.89 feet to a point; and N 81°41’12” W 1028.49 feet to a point and a
cross cut in concrete in the easterly sideline of said First Avenue; thence in a generally northerly direction along said sideline and a curve to the right having a radius of 1422.45 feet, an arc distance of 584.41 feet to a pipe; thence continuing
along said sideline N 23°35’33” E 254.41 feet to the pipe at the Point of Beginning; containing 20.918 acres. In the event of any variation between this metes and bounds description and the property lines as shown on said plat, the
lines as shown on the plat shall be deemed to be correct, and the lines intended. 

 EXHIBIT “B” TO ASSIGNMENT OF CONTRACTS 

SCHEDULE OF CONTRACTS ASSIGNED 
 Prior to execution of this document, Assignee shall prepare and insert a schedule of all of the contracts it elects to assume pursuant to this Assignment. 

 EXHIBIT “C” TO ASSIGNMENT OF CONTRACTS 

SCHEDULE OF PERMITS, LICENSES AND CERTIFICATES OF OCCUPANCY 
 A list of any and all permits, licenses and certificates of occupancy in Assignor’s possession issued or obtained for the Property, or any part thereof, shall be prepared by Assignor and inserted
herein prior to the execution of this Assignment. 

 EXHIBIT “D” TO ASSIGNMENT OF CONTRACTS 

SCHEDULE OF INTANGIBLE PERSONAL PROPERTY 
 A list of any and all Intangible Personal Property included within the Property shall be prepared by Assignor and inserted herein prior to execution of this Assignment. 

 EXHIBIT “E” TO ASSIGNMENT OF CONTRACTS 

SCHEDULE OF WARRANTIES AND GUARANTIES 
 Prior to execution of the Assignment, Assignor shall prepare a list of any and all warranties, guaranties and bonds then in effect with respect to the Property conveyed to Assignee. 

 EXHIBIT “G” 

NOTICE TO TENANTS 
  

	TO:	All Tenants of Pines of York Apartments 

 Please be advised that Pines of York Apartments has, on the date hereof, been sold by the undersigned Seller to
                    , a
                     limited liability company. 
 All future rent payments should be made to the new owner at: 

________________________ 
 ________________________ 
 ________________________ 

________________________ 
 Your security deposit has been assigned to the new owner who will be responsible for complying with the provisions of your lease with respect to return of the deposit. 

If you have any questions, notify:
                                         
                                   . 

Dated:                     , 2011. 

 

			
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

  
 G-1

 EXHIBIT “H-1” 

SCHEDULE OF ALL LABOR, SERVICE, EMPLOYMENT, SUPPLY, 
 MAINTENANCE AND BROKERAGE LEASING CONTRACTS 
 On or before execution of this Agreement,
Seller shall prepare a Schedule of all Labor, Service, Employment, Supply, Maintenance and Brokerage Leasing Contracts which relate to the Property and said Schedule shall be inserted herein. 

  
 H-1

 EXHIBIT H-2 
 CONTRACTS TO BE ASSUMED BY BUYER 
 The following is a list of those Contracts that Buyer
shall assume, in addition to all other Contracts set forth on Exhibit H-1 that Buyer does not expressly request Seller to terminate prior to the expiration of the Due Diligence Period: 

  
 H-2

 EXHIBIT “I” 

PENDING OR THREATENED CLAIMS, ALLEGATIONS OR LAWSUITS 
 On or before the execution of this Agreement, Seller shall prepare a Schedule of all pending or threatened claims, litigation, lawsuits, arbitrations and governmental proceedings whether for personal
injury, property damage, landlord-tenant disputes, property taxes or otherwise affecting Seller, the partners of Seller or the Property and said Schedule shall be inserted herein. 

  
 K-1

 EXHIBIT “J” 

RENT ROLL 

  
 K-1

 EXHIBIT “K” 

LEAD-BASED PAINT DISCLOSURE AND ACKNOWLEDGMENT 
 LEAD WARNING STATEMENT: 
 Every Buyer of any interest in residential real property on which
a residential dwelling was built prior to 1978 is notified that such property may present exposure to lead from lead-based paint, paint chips and dust that may place young children at risk of developing lead poisoning. Lead can pose health hazards
if not taken care of properly. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced intelligence quotient, behavioral problems, and impaired memory. Lead poisoning also poses a
particular risk to pregnant women. The seller of any interest in pre-1978 residential real property, prior to the sale, is required to: (a) provide the buyer with any information on lead-based paint hazards from risk assessments or inspections
in the seller’s possession; (b) notify the buyer of any known lead-based paint hazards; and (c) give the buyer a Federally approved pamphlet on lead poisoning prevention. A risk assessment or inspection for possible lead-based paint
hazards is recommended prior to purchase. 
 SELLER’S DISCLOSURE 

 

	 	(A)	Presence of lead-based paint and lead-based paint hazards (check one below): 

 

	 	 ̈	Known lead-based paint and/or lead-based paint hazards are present in the housing. (Explanation:
                                    
                                         
                                         
                                         
                                         
                                    
                                         
    

  

	 	 ̈	Seller has no knowledge of lead-based paint and/or lead-based paint hazards in the housing. 

 

	 	(B)	Records and reports available to the seller (check one below): 

  

	 	 ̈	Seller has provided the Buyer with all available records and reports pertaining to lead-based paint and/or lead-based paint hazardous in the housing, which Seller is
not prohibited from disclosing. (List documents:)
                                         
   
                                         
                                         
                                         
                                         
                                    
                                         
    

  

	 	 ̈	Seller has no reports or records pertaining to lead-based paint and/or lead-based paint hazards in the housing. 

  
 K-1

 CERTIFICATION OF ACCURACY 
 The undersigned has reviewed the information above and certifies, to the best of its knowledge, that the information provided by the signatory is true and accurate. 

 

			
	SELLER:
	
	YORK ASSOCIATES LIMITED PARTNERSHIP
		
	By:	 	 
	Name:	 	
	Title:	 	

  

					
	ACKNOWLEDGED
	
	BUYER:
	
	FP-1, LLC
		
	By: 	 	DF FP-1 Manager Co., Inc.
			
		 	By:	 	 
		 	Name:	 	
		 	Title:	 	

  
 K-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00196-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00196-of-00352.parquet"}]]