Document:

EX-4.1

 Exhibit 4.1 

CTR PARTNERSHIP, L.P. 
 and 

CARETRUST CAPITAL CORP., 
 as
Issuers, 
 CARETRUST REIT, INC., 

as Parent and a Guarantor, 

CARETRUST GP, LLC, 
 as General
Partner and a Guarantor, 
 the other GUARANTORS named herein, 

as Guarantors, 
 and 

WELLS FARGO BANK, NATIONAL ASSOCIATION, 

as Trustee 
  

 
 INDENTURE 

 
  

Dated as of May 30, 2014 

5.875% Senior Notes due 2021 

 CROSS-REFERENCE TABLE 
  

			
	 Trust Indenture Act Section
	 	 Indenture Section

	 310(a)(1)
	 	7.10
	 (a)(2)
	 	7.10
	 (a)(3)
	 	N.A.
	 (a)(4)
	 	N.A.
	 (a)(5)
	 	7.08; 7.10
	 (b)
	 	7.08; 7.10; 11.02
	 (c)
	 	N.A.
	 311(a)
	 	7.11
	 (b)
	 	7.11
	 (c)
	 	N.A.
	 312(a)
	 	2.05
	 (b)
	 	11.03
	 (c)
	 	11.03
	 313(a)
	 	7.06
	 (b)(1)
	 	7.06
	 (b)(2)
	 	7.06
	 (c)
	 	7.06; 11.02
	 (d)
	 	7.06
	 314(a)
	 	4.05; 4.14; 11.02
	 (b)
	 	N.A.
	 (c)(1)
	 	7.02; 11.04; 11.05
	 (c)(2)
	 	7.02; 11.04; 11.05
	 (c)(3)
	 	N.A.
	 (d)
	 	N.A.
	 (e)
	 	11.05
	 (f)
	 	N.A.
	 315(a)
	 	7.01(b); 7.02(a)
	 (b)
	 	7.05; 11.02
	 (c)
	 	7.01
	 (d)
	 	6.05; 7.01(c)
	 (e)
	 	6.11
	 316(a)(last sentence)
	 	2.09
	 (a)(1)(A)
	 	6.05
	 (a)(1)(B)
	 	6.04
	 (a)(2)
	 	9.02
	 (b)
	 	6.07
	 (c)
	 	9.04
	 317(a)(1)
	 	6.08
	 (a)(2)
	 	6.09
	 (b)
	 	2.04
	 318(a)
	 	11.01
	 (c)
	 	11.01

 N.A. means Not Applicable 

Note: This Cross-Reference Table shall not, for any purpose, be deemed to be a part of this Indenture. 

 TABLE OF CONTENTS 
  

							
	 	 	 	  	Page	 
			
		 	ARTICLE ONE	  			
		 	Definitions and Incorporation by Reference	  			
			
	 SECTION 1.01.
	 	Definitions	  	 	1	  
	 SECTION 1.02.
	 	Other Definitions	  	 	29	  
	 SECTION 1.03.
	 	Incorporation by Reference of Trust Indenture Act	  	 	29	  
	 SECTION 1.04.
	 	Rules of Construction	  	 	29	  
			
		 	ARTICLE TWO	  			
		 	The Notes	  			
			
	 SECTION 2.01.
	 	Form and Dating	  	 	30	  
	 SECTION 2.02.
	 	Execution, Authentication and Denomination; Additional Notes; Exchange Securities	  	 	31	  
	 SECTION 2.03.
	 	Registrar and Paying Agent	  	 	32	  
	 SECTION 2.04.
	 	Paying Agent To Hold Assets in Trust	  	 	32	  
	 SECTION 2.05.
	 	Holder Lists	  	 	33	  
	 SECTION 2.06.
	 	Transfer and Exchange	  	 	33	  
	 SECTION 2.07.
	 	Replacement Notes	  	 	33	  
	 SECTION 2.08.
	 	Outstanding Notes	  	 	33	  
	 SECTION 2.09.
	 	Treasury Notes	  	 	34	  
	 SECTION 2.10.
	 	Temporary Notes	  	 	34	  
	 SECTION 2.11.
	 	Cancellation	  	 	34	  
	 SECTION 2.12.
	 	Defaulted Interest	  	 	34	  
	 SECTION 2.13.
	 	CUSIP and ISIN Numbers	  	 	34	  
	 SECTION 2.14.
	 	Book-Entry Provisions for Global Notes	  	 	34	  
	 SECTION 2.15.
	 	Special Transfer and Exchange Provisions	  	 	35	  
			
		 	ARTICLE THREE	  			
		 	Redemption	  			
			
	 SECTION 3.01.
	 	Notices to Trustee	  	 	38	  
	 SECTION 3.02.
	 	Selection of Notes To Be Redeemed	  	 	38	  
	 SECTION 3.03.
	 	Notice of Redemption	  	 	38	  
	 SECTION 3.04.
	 	Effect of Notice of Redemption	  	 	39	  
	 SECTION 3.05.
	 	Deposit of Redemption Price	  	 	39	  
	 SECTION 3.06.
	 	Notes Redeemed in Part	  	 	39	  
	 SECTION 3.07.
	 	Special Mandatory Redemption	  	 	40	  
	 SECTION 3.08.
	 	Mandatory Redemption	  	 	40	  
			
		 	ARTICLE FOUR	  			
		 	Covenants	  			
			
	 SECTION 4.01.
	 	Payment of Notes	  	 	40	  
	 SECTION 4.02.
	 	Maintenance of Office or Agency	  	 	40	  
	 SECTION 4.03.
	 	Corporate Existence	  	 	40	  
	 SECTION 4.04.
	 	[Reserved]	  	 	41	  
	 SECTION 4.05.
	 	Compliance Certificate; Notice of Default	  	 	41	  
	 SECTION 4.06.
	 	Waiver of Stay, Extension or Usury Laws	  	 	41	  
	 SECTION 4.07.
	 	Change of Control	  	 	41	  
	 SECTION 4.08.
	 	Limitation on Indebtedness	  	 	42	  
	 SECTION 4.09.
	 	Limitation on Restricted Payments	  	 	46	  

  
 i 

							
	 SECTION 4.10.
	 	Maintenance of Total Unencumbered Assets	  	 	50	  
	 SECTION 4.11.
	 	Limitation on Asset Sales	  	 	50	  
	 SECTION 4.12.
	 	Limitation on Transactions with Affiliates	  	 	52	  
	 SECTION 4.13.
	 	Limitation on Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries	  	 	54	  
	 SECTION 4.14.
	 	Future Guarantees by Restricted Subsidiaries	  	 	56	  
	 SECTION 4.15.
	 	Reports to Holders	  	 	57	  
	 SECTION 4.16.
	 	Suspension of Covenants	  	 	58	  
	 SECTION 4.17.
	 	Spin-Off Transactions	  	 	59	  
	 SECTION 4.18.
	 	Limitations on the Activities of Capital Corp	  	 	59	  
			
		 	ARTICLE FIVE	  			
		 	Successor Corporation	  			
			
	 SECTION 5.01.
	 	Consolidation, Merger and Sale of Assets	  	 	59	  
			
		 	ARTICLE SIX	  			
		 	Default and Remedies	  			
			
	 SECTION 6.01.
	 	Events of Default	  	 	61	  
	 SECTION 6.02.
	 	Acceleration	  	 	62	  
	 SECTION 6.03.
	 	Other Remedies	  	 	63	  
	 SECTION 6.04.
	 	Waiver of Past Defaults	  	 	63	  
	 SECTION 6.05.
	 	Control by Majority	  	 	63	  
	 SECTION 6.06.
	 	Limitation on Suits	  	 	63	  
	 SECTION 6.07.
	 	Rights of Holders To Receive Payment	  	 	64	  
	 SECTION 6.08.
	 	Collection Suit by Trustee	  	 	64	  
	 SECTION 6.09.
	 	Trustee May File Proofs of Claim	  	 	64	  
	 SECTION 6.10.
	 	Priorities	  	 	64	  
	 SECTION 6.11.
	 	Undertaking for Costs	  	 	65	  
	 SECTION 6.12.
	 	Restoration of Rights and Remedies	  	 	65	  
			
		 	ARTICLE SEVEN	  			
		 	Trustee	  			
			
	 SECTION 7.01.
	 	Duties of Trustee	  	 	65	  
	 SECTION 7.02.
	 	Rights of Trustee. Subject to Section 7.01	  	 	66	  
	 SECTION 7.03.
	 	Individual Rights of Trustee	  	 	67	  
	 SECTION 7.04.
	 	Trustee’s Disclaimer	  	 	67	  
	 SECTION 7.05.
	 	Notice of Default	  	 	67	  
	 SECTION 7.06.
	 	Reports by Trustee to Holders	  	 	67	  
	 SECTION 7.07.
	 	Compensation and Indemnity	  	 	67	  
	 SECTION 7.08.
	 	Replacement of Trustee	  	 	68	  
	 SECTION 7.09.
	 	Successor Trustee by Merger, Etc.	  	 	69	  
	 SECTION 7.10.
	 	Eligibility; Disqualification	  	 	69	  
	 SECTION 7.11.
	 	Preferential Collection of Claims Against the Issuers	  	 	69	  
			
		 	ARTICLE EIGHT	  			
		 	Discharge of Indenture; Defeasance	  			
			
	 SECTION 8.01.
	 	Termination of the Issuers’ Obligations	  	 	69	  
	 SECTION 8.02.
	 	Legal Defeasance and Covenant Defeasance	  	 	70	  
	 SECTION 8.03.
	 	Conditions to Legal Defeasance or Covenant Defeasance	  	 	71	  
	 SECTION 8.04.
	 	Application of Trust Money	  	 	72	  
	 SECTION 8.05.
	 	Repayment to the Issuers	  	 	72	  

					
	 SECTION 8.06.
	 	Reinstatement	  	72
			
		 	ARTICLE NINE	  	
		 	Amendments, Supplements and Waivers	  	
			
	 SECTION 9.01.
	 	Without Consent of Holders	  	73
	 SECTION 9.02.
	 	With Consent of Holders	  	74
	 SECTION 9.03.
	 	Compliance with the Trust Indenture Act	  	75
	 SECTION 9.04.
	 	Revocation and Effect of Consents	  	75
	 SECTION 9.05.
	 	Notation on or Exchange of Notes	  	75
	 SECTION 9.06.
	 	Trustee To Sign Amendments, Etc.	  	75
			
		 	ARTICLE TEN	  	
		 	Note Guarantee	  	
			
	 SECTION 10.01.
	 	Note Guarantee	  	76
	 SECTION 10.02.
	 	Limitation on Guarantor Liability	  	76
	 SECTION 10.03.
	 	Execution and Delivery of Note Guarantee	  	77
	 SECTION 10.04.
	 	Release of a Guarantor	  	77
			
		 	ARTICLE ELEVEN	  	
		 	Miscellaneous	  	
			
	 SECTION 11.01.
	 	Trust Indenture Act Controls	  	78
	 SECTION 11.02.
	 	Notices	  	78
	 SECTION 11.03.
	 	Communications by Holders with Other Holders	  	79
	 SECTION 11.04.
	 	Certificate and Opinion as to Conditions Precedent	  	79
	 SECTION 11.05.
	 	Statements Required in Certificate or Opinion	  	79
	 SECTION 11.06.
	 	Rules by Paying Agent or Registrar	  	79
	 SECTION 11.07.
	 	Legal Holidays	  	79
	 SECTION 11.08.
	 	Governing Law; Waiver of Jury Trial	  	79
	 SECTION 11.09.
	 	No Adverse Interpretation of Other Agreements	  	80
	 SECTION 11.10.
	 	No Recourse Against Others	  	80
	 SECTION 11.11.
	 	Successors	  	80
	 SECTION 11.12.
	 	Duplicate Originals	  	80
	 SECTION 11.13.
	 	Severability	  	80
	 SECTION 11.14.
	 	U.S.A. Patriot Act	  	80
	 SECTION 11.15.
	 	Force Majeure	  	80
			
	 SIGNATURES
	 		  	S-1
	 Exhibit A
	 	Form of Note	  	A-1
	 Exhibit B1
	 	Form of Private Placement Legend	  	B1-1
	 Exhibit B2
	 	Form of Global Note Legend	  	B2-1
	 Exhibit C
	 	Form of Certificate From Acquiring Institutional Accredited Investor	  	C-1
	 Exhibit D
	 	Form of Certificate To Be Delivered in Connection with Transfers Pursuant to Regulation S	  	D-1
	 Exhibit E
	 	Form of Supplemental Indenture	  	E-1

 Note: This Table of Contents shall not, for any purpose, be deemed to be part of this Indenture. 

  

 INDENTURE, dated as of May 30, 2014, among CTR Partnership, L.P., a Delaware limited
partnership, and CareTrust Capital Corp., a Delaware corporation (each, an “Issuer”, and together, the “Issuers”), CareTrust REIT, Inc., a Maryland corporation (“Parent”), as Guarantor, CareTrust
GP, LLC, a Delaware limited liability company (“General Partner”), as Guarantor, each of the other Guarantors named herein, as Guarantors, and Wells Fargo Bank, National Association, a national banking association organized and
existing under the laws of the United States of America, as Trustee (the “Trustee”). 
 The Issuers have duly authorized
the creation of an issue of 5.875% Senior Notes due 2021 and, to provide therefor, the Issuers, Parent and the other Guarantors have duly authorized the execution and delivery of this Indenture. All things necessary to make the Notes, when duly
issued and executed by the Issuers and authenticated and delivered hereunder, the valid and binding obligations of the Issuers and to make this Indenture a valid and binding agreement of the Issuers and the Guarantors have been done. 

THIS INDENTURE WITNESSETH 
 For
and in consideration of the premises and the purchase of the Notes by the Holders thereof, the parties hereto covenant and agree, for the equal and proportionate benefit of all Holders, as follows: 

ARTICLE ONE 
 Definitions and
Incorporation by Reference 
 SECTION 1.01. Definitions. Set forth below are certain defined terms used in this Indenture. 

“Acquired Indebtedness” means Indebtedness of a Person existing at the time such Person is merged into or consolidated with
Parent or any of its Restricted Subsidiaries or becomes (including by redesignation) a Restricted Subsidiary of Parent or that is assumed in connection with an Asset Acquisition from such Person by a Restricted Subsidiary of Parent and Indebtedness
encumbering any property or asset acquired from such Person; provided, however, that Indebtedness of such Person that is redeemed, repurchased, defeased, discharged, retired or otherwise repaid (or for which an irrevocable deposit is
made in an amount sufficient to effect the foregoing) at the time of or immediately upon consummation of or substantially concurrently with the transactions by which such Person is merged into or consolidated with Parent or any of its Restricted
Subsidiaries or becomes (including by redesignation) a Restricted Subsidiary of Parent or such Asset Acquisition shall not be deemed to be Indebtedness. 

“Additional Interest” has the meaning set forth in the Registration Rights Agreement. 

“Adjusted Consolidated Net Income” means, for any period, the aggregate net income (or loss) (before giving effect to cash
dividends on preferred stock of Parent or charges resulting from the redemption of preferred stock of Parent, but without giving effect to deductions for non-controlling or minority interests in the Partnership) of Parent and its Restricted
Subsidiaries for such period determined on a consolidated basis in conformity with GAAP; provided, however, that the following items shall be excluded in computing Adjusted Consolidated Net Income, without duplication: 

(1) the net income of any Person, other than Parent or a Restricted Subsidiary of Parent, except to the extent of the amount of dividends or
other distributions or payments actually paid in cash (or to the extent converted into cash) or Temporary Cash Investments to Parent or any of its Restricted Subsidiaries by such Person during such period; 

(2) solely for the purpose of determining the amount available for Restricted Payments under Section 4.09(a)(C)(i), the net income
of any Restricted Subsidiary of Parent to the extent that the declaration or payment of dividends or similar distributions by such Restricted Subsidiary of such net income is not at the time permitted by the operation of the terms of its charter or
any agreement, instrument, judgment, decree, order, statute, rule or governmental regulation applicable to such Restricted Subsidiary, except to the extent that such restrictions with respect to the declaration and payment of dividends or
distributions have been waived or approval for such declaration or payment has been obtained; provided, however, that such exclusions shall not apply with respect to limitations imposed either pursuant to Indebtedness which has been
irrevocably called for redemption, repurchase or 

  
 1 

 
other acquisition or in respect of which the required steps have been taken to have such Indebtedness defeased or discharged, or an irrevocable deposit has been made in an amount sufficient to
effect the foregoing; provided further, that Adjusted Consolidated Net Income will be increased by the amount of dividends or other distributions or other payments made or permitted to be made in cash (or to the extent converted into cash) or
Temporary Cash Investments to Parent or a Restricted Subsidiary thereof in respect of such period, to the extent not already included therein; 

(3) the cumulative effect of a change in accounting principles; 

(4) gains and losses (i) resulting from fluctuations in currency values or exchange rates and the related tax effects, and mark-to-market
of Hedging Obligations and other obligations, and including charges relating to Accounting Standards Codification Nos. 815 and 820 or (ii) attributable to the extinguishment, retirement or conversion of Indebtedness or the settlement or
termination of Hedging Obligations; 
 (5) (i) costs associated with initiating public company reporting, information technology
implementation, and other similar start-up costs, not to exceed, in the case of this clause (5)(i), an aggregate of $5.0 million and (ii) any Spin-Off Expenses and any other charges, fees, costs or expenses associated with becoming a separate
operating company; 
 (6) any after-tax gains or losses attributable to Asset Sales or other Asset Dispositions, including any disposition
of any securities, or disposed, discontinued or abandoned operations; 
 (7) any non-cash compensation expense or charges related or
attributable to grants, issuances, repurchases, repricings or other modifications of stock options, restricted stock, restricted stock units, stock appreciation rights, other Capital Stock or equity-based awards or similar rights or otherwise with
respect to stock-based compensation plans to or with respect to officers, directors and employees of Parent and any of its Subsidiaries; and 

(8) all after-tax extraordinary gains or extraordinary losses; 

provided, however, that proceeds from any business interruption insurance shall be added to Adjusted Consolidated Net Income to the extent such
proceeds were not included in the computation thereof. 
 “Adjusted Total Assets” means, for any Person, the sum of: 

(1) Total Assets for such Person and its Restricted Subsidiaries on a consolidated basis as of the end of the last completed fiscal quarter
preceding the applicable determination date; and 
 (2) any increase in Total Assets for such Person and its Restricted Subsidiaries on a
consolidated basis following the end of such quarter determined on a pro forma basis, including any pro forma increase in Total Assets for such Person and its Restricted Subsidiaries on a consolidated basis resulting from the
application of the proceeds of any additional Indebtedness. 
 “Adjusted Treasury Rate” means, with respect to any
Redemption Date, (1) the yield as of the earlier of (a) such Redemption Date and (b) the date on which such Notes are defeased or satisfied and discharged, under the heading which represents the average for the immediately preceding
week, appearing in the most recently published statistical release designated “H.15(519)” or any successor publication which is published weekly by the Board of Governors of the Federal Reserve System and which establishes yields on
actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant Maturities,” for the maturity corresponding to the Comparable Treasury Issue (if no maturity is within three months before
or after June 1, 2017, yields for the two published maturities most closely corresponding to the Comparable Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight
line basis, rounding to the nearest month) or (2) if such release (or any successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per year equal to the semi-annual equivalent
yield to maturity of the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date, in each case calculated by the Issuers on the third Business Day immediately
preceding the Redemption Date, plus, in the case of each of clauses (1) and (2), 0.50%. 

  
 2 

 “Affiliate” means, as applied to any Person, any other Person directly or
indirectly controlling, controlled by, or under direct or indirect common control with, such Person. For purposes of this definition, “control” (including, with correlative meanings, the terms “controlling,”
“controlled by” and “under common control with”), as applied to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person,
whether through the ownership of voting securities, by contract or otherwise. For purposes of clarity, Ensign and its Subsidiaries (other than Parent and its Subsidiaries) will not be deemed to be directly or indirectly controlling, controlled by,
or under direct or indirect common control with, Parent or its Subsidiaries. 
 “Agent” means any Registrar or Paying
Agent. 
 “Applicable Premium” means with respect to a Note at any Redemption Date, the greater of (1) 1.00% of the
principal amount of such Note and (2) the excess of (A) the present value at such Redemption Date of (i) the Redemption Price of such Note on June 1, 2017 (such Redemption Price being described in Section 5 of the Note,
exclusive of any accrued and unpaid interest) plus (ii) all required remaining scheduled interest payments due on such Note through June 1, 2017 (but excluding accrued and unpaid interest to such Redemption Date), computed using a
discount rate equal to the Adjusted Treasury Rate at such Redemption Date, over (B) the principal amount of such Note on such Redemption Date. 

“Asset Acquisition” means: 

(1) an investment by Parent or any of its Restricted Subsidiaries in any other Person pursuant to which such Person shall become (including by
redesignation) a Restricted Subsidiary of Parent or shall be merged into or consolidated with Parent or any of its Restricted Subsidiaries; provided, however, that such Person’s primary business is related, ancillary, incidental
or complementary to the business of the Partnership or any of its Restricted Subsidiaries on the date of such investment or a Permitted Business; or 

(2) an acquisition by Parent or any of its Restricted Subsidiaries from any other Person of assets that constitute all or substantially all of
a division or line of business, or one or more properties or operations, of such Person; provided, however, that the assets and properties acquired are related, ancillary, incidental or complementary to the business of the Partnership
or any of its Restricted Subsidiaries on the date of such acquisition or a Permitted Business. 
 “Asset Disposition” means
the sale, transfer, conveyance or other disposition (including by merger or consolidation) by Parent or any of its Restricted Subsidiaries, other than to Parent or any of its Restricted Subsidiaries, of: 

(1) Capital Stock of or other securities of or interests in any Subsidiary; or 

(2) all or substantially all of the assets that constitute a division or line of business, or one or more properties or operations, of Parent
or any of its Restricted Subsidiaries. 
 “Asset Sale” means any sale, transfer or other disposition, including by way of
merger, consolidation or Sale and Leaseback Transaction, in one transaction or a series of related transactions by Parent or any of its Restricted Subsidiaries to any Person other than Parent or any of its Restricted Subsidiaries of: 

(1) all or any of the Capital Stock of any Restricted Subsidiary of Parent (other than the Partnership); 

(2) all or substantially all of the assets that constitute a division or line of business of Parent or any of its Restricted Subsidiaries; or

  
 3 

 (3) any property and assets of Parent or any of its Restricted Subsidiaries outside the ordinary
course of business of Parent or such Restricted Subsidiary; 
 provided, however, that “Asset Sale” shall not
include: 
 (1) the lease or sublease of any Real Estate Asset and guarantees of any such lease or sublease; 

(2) sales, leases, assignments, licenses, sublicenses, subleases or other dispositions of inventory, receivables and other current assets;

 (3) the sale, conveyance, transfer, disposition or other transfer (including by way of merger or consolidation) of all or substantially
all of the assets of Parent and its Restricted Subsidiaries taken as a whole in accordance with Section 5.01; 
 (4) the license
or sublicense of software, intellectual property or other general intangibles; 
 (5) the issuance of Capital Stock by a Restricted
Subsidiary of Parent to Parent or another Restricted Subsidiary of Parent or in which the percentage interest (direct and indirect) in the Capital Stock of such Restricted Subsidiary owned, directly or indirectly, by Parent after giving effect to
such issuance is at least equal to the percentage interest prior to such issuance; 
 (6) any issuance of Capital Stock (other than
Disqualified Stock) by the Partnership in order to acquire assets used or useful in a Permitted Business (including Capital Stock of a Person primarily owning such assets); 

(7) the surrender or waiver of contract rights; expirations or terminations or unwindings of contracts or agreements; or settlement, release
or surrender of a contract, tort or other litigation claim in the ordinary course of business; 
 (8) any Restricted Payment not prohibited
by Section 4.09 (including any transaction expressly permitted thereby) or a Permitted Investment; 
 (9) sales, transfers or
other dispositions of assets or the sale or issuance of Capital Stock with a fair market value not in excess of $7.5 million in any transaction or series of related transactions; 

(10) sales or other dispositions of assets for consideration at least equal to the fair market value of the assets sold or disposed of, to the
extent that the consideration received would satisfy Section 4.11(c)(2), Section 4.11(c)(5) or Section 4.11(c)(6); 

(11) sales or other dispositions of cash or Temporary Cash Investments; 

(12) dispositions of receivables in connection with the compromise, settlement or collection thereof in the ordinary course of business or in
a bankruptcy or similar proceeding and factoring and similar arrangements; 
 (13) terminations of Hedging Obligations; 

(14) the creation, granting, perfection or realization of any Lien not prohibited under this Indenture and any exercise of remedies in respect
thereof; 
 (15) Section 1031 exchanges and other exchanges for Replacement Assets or other replacement property or assets in the
ordinary course of business; 
 (16) the lease, assignment or sublease of property in the ordinary course of business so long as the same
does not materially interfere with the business of Parent and its Restricted Subsidiaries, taken as a whole; 

  
 4 

 (17) sales, exchanges, transfers or other dispositions or the abandonment of damaged, worn-out or
obsolete or otherwise unsuitable or unnecessary equipment or assets that, in Parent’s reasonable judgment, are no longer used or useful in the business of Parent or its Restricted Subsidiaries and any sale or disposition of property in
connection with scheduled turnarounds, maintenance and equipment and facility updates; 
 (18) foreclosure, condemnation or any similar
action with respect to any property or other assets, including transfers or dispositions of such property or other assets subject thereto; 

(19) any disposition of Equity Interests of a Restricted Subsidiary of Parent pursuant to an agreement or other obligation with or to a Person
(other than Parent or any of its Restricted Subsidiaries) from whom such Restricted Subsidiary was acquired, or from whom such Restricted Subsidiary acquired its business and assets (having been newly formed in connection with such acquisition),
made as part of such acquisition and in each case comprising all or a portion of the consideration in respect of such sale or acquisition; 

(20) any financing transaction with respect to property constructed, acquired, replaced, repaired or improved (including any reconstruction,
refurbishment, renovation and/or development of real property) by Parent or any of its Restricted Subsidiaries otherwise permitted by this Indenture; 

(21) sales of Unrestricted Subsidiaries or joint ventures that are not Subsidiaries, or Capital Stock or other Investments therein, or assets
thereof; 
 (22) any sales, transfers or other dispositions pursuant to the Transaction Agreements or otherwise in connection with the
Transactions and any transactions related thereto, including sales, transfers or other dispositions of Capital Stock and other property to Ensign or any of its Subsidiaries; and 

(23) (a) the issuance or sale of directors’ qualifying shares and (b) the issuance, sale or transfer of Capital Stock of foreign
Restricted Subsidiaries of Parent to foreign nationals to the extent required by applicable law. 
 “Attributable Debt” in
respect of a Sale and Leaseback Transaction means, at the time of determination, the present value of the total obligations of the lessee for net rental payments during the remaining term of the lease included in such Sale and Leaseback Transaction.
For purposes hereof such present value shall be calculated using a discount rate equal to the rate of interest implicit in such Sale and Leaseback Transaction, determined by the lessee in good faith on a basis consistent with comparable
determinations of Capitalized Lease Obligations under GAAP; provided, however, that if such Sale and Leaseback Transaction results in a Capitalized Lease Obligation, the amount of Indebtedness represented thereby will be determined in
accordance with the definition of “Capitalized Lease Obligations.” 
 “Average Life” means at any date of
determination with respect to any debt security, the quotient obtained by dividing: 
 (1) the sum of the products of: 

 

	 	(x)	the number of years from such date of determination to the dates of each successive scheduled principal payment of such debt security, and 

 

	 	(y)	the amount of such principal payment; by 

 (2) the sum of all such principal payments. 

“Bankruptcy Law” means Title 11 of the United States Code, as amended, or any insolvency or other similar Federal or state
law for the relief of debtors. 

  
 5 

 “Board of Directors” means, as to any Person, the board of directors (or similar
governing body) of such Person or its manager (or, in the case of a limited partnership, of its general partner) or any duly authorized committee thereof. 

“Business Day” means a day other than a Saturday, Sunday or any other day on which banking institutions in New York City are
authorized or required by law, regulation or executive order to close. 
 “Capital Corp” means CareTrust Capital Corp., a
Delaware corporation, and any and all successors thereto. 
 “Capital Stock” means, with respect to any Person, any and all
shares, interests, participations or other equivalents (however designated, whether voting or non-voting), including partnership or limited liability company interests, whether general or limited, in the equity of such Person, whether outstanding on
the Issue Date or issued thereafter, including all Common Stock and Preferred Stock and all options, warrants or other rights issued by such Person to purchase Capital Stock of such Person; provided that, for the avoidance of doubt,
Convertible Indebtedness and any other debt securities convertible into or exchangeable (in whole or in part) for such shares, interests, participations or other equivalents shall not constitute Capital Stock unless and until (and to the extent)
actually converted into or exchanged for such shares, interests, participations or other equivalents. 
 “Capitalized
Lease” means, as applied to any Person, any lease of any property, whether real, personal or mixed, of which the discounted present value of the rental obligations of such Person as lessee, in conformity with GAAP, is required to be
capitalized on the balance sheet of such Person. For clarity purposes, (i) GAAP for purposes of this definition shall be deemed GAAP as in effect on the Issue Date, (ii) for the avoidance of doubt, any lease that is properly accounted for
by such Person as an operating lease as of the Issue Date and any similar lease entered into after the Issue Date by such Person will be accounted for as an operating lease and not as a Capitalized Lease and (iii) the Master Leases will be
accounted for as operating leases and not as Capitalized Leases. 
 “Capitalized Lease Obligations” means, at the time any
determination is to be made, the amount of the liability in respect of a Capitalized Lease that would at that time be required to be capitalized on a balance sheet in accordance with GAAP. 

“Change of Control” means the occurrence of one or more of the following events: 

(1) any sale, exchange or other transfer (in one transaction or a series of related transactions) of all or substantially all of the assets of
Parent and its Subsidiaries taken as a whole to any “person” or “group” (as such terms are defined in Sections 13(d) and 14(d)(2) of the Exchange Act), together with any Affiliates thereof (whether or not otherwise in compliance
with the provisions of this Indenture) (other than to Parent or its Restricted Subsidiaries), provided, however, that for the avoidance of doubt, the lease of all or substantially all of the assets of Parent and its Subsidiaries taken
as a whole shall not constitute a Change of Control; 
 (2) a “person” or “group” (as such terms are defined in Sections
13(d) and 14(d)(2) of the Exchange Act), becomes the ultimate “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act) of more than 50% of the total voting power of the Voting Stock of Parent on a fully diluted basis (other
than, prior to the Spin-Off, by Ensign and its Subsidiaries); 
 (3) the approval by the holders of Capital Stock of Parent of any plan or
proposal for the liquidation or dissolution of Parent (whether or not otherwise in compliance with the provisions of this Indenture); or 

(4) individuals who on the Issue Date constitute the Board of Directors of Parent (together with any new or replacement directors whose
election or appointment by the Board of Directors of Parent or whose nomination by the Board of Directors of Parent for election by Parent’s shareholders was approved by a vote of at least a majority of the members of the Board of Directors of
Parent then still in office who either were members of the Board of Directors of Parent on the Issue Date or whose election or nomination for election was so approved) cease for any reason to constitute a majority of the members of the Board of
Directors of Parent then in office. 

  
 6 

 Notwithstanding the foregoing: (A) any holding company, all or substantially all of the
assets of which are comprised of Parent or any 100% direct or indirect parent company of Parent, shall not itself be considered a “person” or “group”; (B) the transfer of assets between or among Parent’s Restricted
Subsidiaries and Parent shall not itself constitute a Change of Control; (C) the term “Change of Control” shall not include a merger or consolidation of Parent with or the sale, assignment, conveyance, transferor other disposition of
all or substantially all of Parent’s assets to, an Affiliate incorporated or organized solely for the purpose of reincorporating or reorganizing Parent in another jurisdiction and/or for the sole purpose of forming or collapsing a holding
company structure; (D) a “person” or “group” shall not be deemed to have beneficial ownership of securities subject to a stock or asset purchase agreement, merger agreement or similar agreement (or voting or option or
similar agreement related thereto) until the consummation of the transactions contemplated by such agreement; and (E) the Transactions and any transactions related thereto shall not constitute a Change of Control. 

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

“Common Stock” means, with respect to any Person, any and all shares, interests, participations or other equivalents (however
designated, whether voting or non-voting) that have no preference on liquidation or with respect to distributions over any other class of Capital Stock, including partnership interests, whether general or limited, of such Person’s equity,
whether outstanding on the Issue Date or issued thereafter, including all series and classes of common stock. 
 “Common
Units” means the limited partnership units of the Partnership, that by their terms are redeemable at the option of the holder thereof and that, if so redeemed, at the election of Parent are redeemable for cash or Common Stock of Parent.

 “Comparable Treasury Issue” means the United States Treasury security selected by the Quotation Agent as having a
maturity comparable to the remaining term of the Notes from the Redemption Date to June 1, 2017, that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt
securities of a maturity most nearly equal to June 1, 2017. 
 “Comparable Treasury Price” means, with respect to any
Redemption Date, if clause (2) of the Adjusted Treasury Rate definition is applicable, the average of three, or such lesser number as is obtained by the Issuers, Reference Treasury Dealer Quotations for such Redemption Date. 

“Consolidated EBITDA” means, for any period, Adjusted Consolidated Net Income for such period plus, to the extent such
amount was deducted in calculating such Adjusted Consolidated Net Income (without duplication): 
 (1) Consolidated Interest Expense; 

(2) provision for taxes based on income or profits or capital gains, including Federal, state, provincial, franchise, excise and similar taxes
and foreign withholding taxes; 
 (3) depreciation and amortization (including amortization or impairment write-offs of goodwill and other
intangibles but excluding amortization of prepaid cash expenses that were paid in a prior period); 
 (4) any cost, charge, fee or expense
(including discounts and commissions and fees and charges incurred in respect of letters of credit or bankers acceptance financings, all legal, accounting, advisory or other transaction-related charges, fees, costs and expenses and amortization or
write-offs of debt issuance costs, deferred financing costs, premiums and prepayment penalties, or any amortization of the foregoing) associated with any Financing Activity not prohibited by this Indenture, or any such proposed Financing Activity
(whether or not successful) not to exceed $5.0 million in aggregate during any 12 month period; 
 (5) the amount of integration costs
deducted (and not added back) in such period in computing Adjusted Consolidated Net Income, including any direct transaction or restructuring costs incurred in connection with acquisitions or dispositions, not to exceed for any period 10% of
Consolidated EBITDA (calculated on a pro forma basis for any relevant transaction giving rise to the calculation of Consolidated EBITDA but before giving effect to the costs described in this clause (5)); 

  
 7 

 (6) all after-tax unusual or non-recurring charges or items of loss or expense, net of all
after-tax unusual or non-recurring gains, not to exceed for any period 10% of Consolidated EBITDA (calculated on a pro forma basis for any relevant transaction giving rise to the calculation of Consolidated EBITDA but before giving effect to
the costs described in this clause (6)); 
 (7) impairment charges or asset write-offs or write-downs related to intangible assets
(including goodwill), long-lived assets, receivables, investments or as a result of a change in a law of regulation, in each case pursuant to GAAP; and 

(8) all other non-cash items reducing Adjusted Consolidated Net Income (other than items that will require cash payments and for which an
accrual or reserve is, or is required by GAAP to be, made), less all non-cash items increasing Adjusted Consolidated Net Income, all as determined on a consolidated basis for Parent and its Restricted Subsidiaries in conformity with GAAP. 

Notwithstanding the preceding, the income taxes of, and the depreciation and amortization and other non-cash items of, a Subsidiary shall be
added to (or subtracted from) Adjusted Consolidated Net Income to compute Consolidated EBITDA only to the extent (and in the same proportion) that net income of such Subsidiary was included in calculating Adjusted Consolidated Net Income. 

“Consolidated Interest Expense” means, for any period, the aggregate amount of interest expense, less the aggregate amount of
interest income for such period, in respect of Indebtedness of Parent and its Restricted Subsidiaries during such period, all as determined on a consolidated basis in conformity with GAAP including (without duplication): 

(1) the interest portion of any deferred payment obligations; 

(2) all commissions, discounts and other fees and expenses owed with respect to letters of credit and bankers’ acceptance financing; 

(3) the net cash costs associated with Interest Rate Agreements and Indebtedness that is guaranteed or secured by assets of Parent or any of
its Restricted Subsidiaries; and 
 (4) all but the principal component of rentals in respect of Capitalized Lease Obligations paid, accrued
or scheduled to be paid or accrued by Parent and its Restricted Subsidiaries; 
 provided, that Consolidated Interest Expense shall exclude, to the
extent included in interest expense above, (i) accretion of accrual of discounted liabilities not constituting Indebtedness, (ii) any expense resulting from the discounting of any outstanding Indebtedness in connection with the application
of purchase accounting in connection with any acquisition, (iii) amortization of deferred financing fees, debt issuance costs, commissions, fees and expenses, (iv) any expensing of bridge, commitment or other financing fees (but not
revolving loan commitment fees) and (v) non-cash costs associated with Hedging Obligations or attributable to mark to market valuation of derivative instruments pursuant to GAAP and gains and losses attributable to the settlement, unwinding or
termination of Hedging Obligations. 
 “Convertible Indebtedness” means Indebtedness of Parent or the Partnership permitted
to be incurred under the terms of this Indenture that is (i) convertible into Common Stock of Parent (and cash in lieu of fractional shares) and/or cash (in an amount determined by reference to the price of such Common Stock) or (ii) sold
as units with call options, warrants or rights to purchase (or substantially equivalent derivative transactions) that are exercisable for Common Stock of Parent and/or cash (in an amount determined by reference to the price of such Common Stock).

  
 8 

 “Corporate Trust Office” for administration of this Indenture means the
corporate trust office of the Trustee located at 333 S. Grand Avenue, Fifth Floor, Suite 5A, Los Angeles, CA 90071, Attention: Corporate Trust Services – Administrator for CTR Partnership, L.P., and CareTrust Capital Corp., and for place of
payment and where the Notes may be presented or surrendered for registration of transfer pursuant to Section 2.03 hereof means 625 Marquette Ave., Minneapolis, MN 55402, Attention: Bondholder Communications, or such other office, designated by
the Trustee by written notice to the Holders and the Issuers, or the designated corporate trust office of any successor Trustee (or such other address as such successor Trustee may designate from time to time by notice to the Holders and the
Issuers). 
 “Credit Agreement” means the Credit Agreement, to be entered into on or about the Issue Date, by and among
certain Restricted Subsidiaries of Parent as borrowers or guarantors, Parent as guarantor, the lenders party thereto in their capacities as lenders thereunder and SunTrust Bank, as administrative agent, together with the related documents thereto
(including any notes, guarantee agreements and security documents). 
 “Credit Facility” means one or more credit or debt
facilities (including any credit or debt facilities provided under the Credit Agreement), financings, commercial paper facilities, receivables financings, note purchase agreements or other debt instruments, indentures or agreements, providing for
revolving credit loans, term loans, swingline loans, notes, securities, letters of credit or other debt obligations, in each case, as amended, restated, modified, renewed, refunded, restructured, supplemented, replaced or refinanced in whole or in
part from time to time, including any amendment increasing the amount of Indebtedness Incurred or available to be borrowed thereunder, extending the maturity of any Indebtedness Incurred thereunder or contemplated thereby or deleting, adding or
substituting one or more parties thereto (whether or not such added or substituted parties are banks or other lenders or investors). 

“Currency Agreement” means any foreign exchange contract, currency swap agreement or other similar agreement or arrangement.

 “Default” means any event that is, or after notice or passage of time or both would be, an Event of Default. 

“Depository” means The Depository Trust Company, New York, New York, or a successor thereto registered under the Exchange Act
or other applicable statute or regulation. 
 “Disqualified Stock” means any class or series of Capital Stock of any Person
that by its terms or otherwise is: 
 (1) required to be redeemed on or prior to the date that is 91 days after the Stated Maturity of the
Notes; 
 (2) redeemable at the option of the holder of such class or series of Capital Stock, at any time on or prior to the date that is
91 days after the Stated Maturity of the Notes (other than in exchange for Capital Stock that is not Disqualified Stock); or 
 (3)
convertible into or exchangeable for Capital Stock of the type referred to in clause (1) or (2) above or Indebtedness having a scheduled final maturity on or prior to the date that is 91 days after the Stated Maturity of the Notes; 

provided, however, that only the portion of Capital Stock which is so redeemable or required to be redeemed prior to such date will be deemed to
be Disqualified Stock; provided further that any Capital Stock that would not constitute Disqualified Stock but for provisions thereof giving holders thereof the right to require such Person to repurchase or redeem such Capital Stock
upon the occurrence of an “asset sale” or “change of control” occurring prior to the Stated Maturity of the Notes shall not constitute Disqualified Stock if the “asset sale” or “change of control” provisions
applicable to such Capital Stock specifically provide that such Person will not repurchase or redeem any such stock pursuant to such provisions (x) unless such repurchase or redemption complies with Section 4.09 or (y) prior to
any purchase of the Notes as are required to be purchased pursuant to Sections 4.07 and 4.11. Disqualified Stock shall not include (i) Capital Stock which is issued to any plan for the benefit of employees of Parent or its
Subsidiaries or by any such plan to such employees solely because it may be required to be redeemed or repurchased by Parent or its Subsidiaries in order to satisfy applicable statutory or regulatory obligations, or

  
 9 

 
(ii) Capital Stock issued to any future, present or former employee, director, officer or consultant of Parent or its Subsidiaries (or any direct or indirect parent thereof) which is
redeemable or subject to repurchase pursuant to any management equity subscription agreement, stock option agreement, stock ownership plan, put agreement, shareholders’ agreement or similar agreement. Disqualified Stock shall not include Common
Units. 
 “Domestic Restricted Subsidiary” means any Restricted Subsidiary that is organized under the laws of the United
States, any state thereof or the District of Columbia other than any Restricted Subsidiary substantially all the assets of which are ‘‘Controlled Foreign Corporations’’ as defined in Section 957 of the Code. 

“Ensign” means The Ensign Group, Inc., a Delaware corporation. 

“Equity Offering” means a public or private offering of Capital Stock (other than Disqualified Stock) of Parent or the
Partnership. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended, or any successor statute or statutes
thereto. 
 “Exchange Offer” means an offer that may be made by the Issuers pursuant to the Registration Rights Agreement
to exchange Notes bearing the Private Placement Legend for the Exchange Securities. 
 “Exchange Securities” has the
meaning set forth in the Registration Rights Agreement. 
 “Existing Indebtedness” means (i) the aggregate principal
amount of Indebtedness of Parent and its Subsidiaries in existence on the Issue Date (including guarantees thereof), until such amounts are repaid and (ii) Indebtedness under the GECC Loan in an aggregate principal amount not to exceed $99.3
million. 
 “fair market value” means the price that would be paid in an arm’s-length transaction between an informed
and willing seller under no compulsion to sell and an informed and willing buyer under no compulsion to buy or a value that is fair and otherwise on market terms. For purposes of determining compliance with the provisions of Article Four, any
determination that the fair market value of assets other than cash or Temporary Cash Investments is equal to or greater than $30.0 million will be as determined in good faith by the Board of Directors of Parent and otherwise by the principal
financial or accounting officer of Parent acting in good faith, each of whose determination will be conclusive. 
 “Financing
Activity” means any of the following: (a) the actual or attempted Incurrence of any Indebtedness or the issuance of any Capital Stock or other securities by Parent or any Restricted Subsidiary of Parent, activities related to any such
actual or attempted Incurrence or issuance, or the issuance of commitments in respect thereof, (b) amending or modifying, or redeeming, refinancing, tendering for, refunding, defeasing, discharging, repaying, retiring or otherwise acquiring for
value, any Indebtedness prior to the Stated Maturity thereof (including any premium, penalty, commissions or fees) or (c) the termination of any Hedging Obligations or other derivative instruments or any fees paid to enter into any Hedging
Obligations or other derivative instruments. 
 “Four Quarter Period” means, for purposes of calculating the Interest
Coverage Ratio with respect to any Transaction Date, the then most recently completed four fiscal quarters prior to such Transaction Date for which reports have been filed with the SEC or provided to the Trustee pursuant to Section 4.15
or for which internal financial statements are available; provided, however, that with respect to calculating the Interest Coverage Ratio for any four quarter period ending on or prior to March 31, 2015: 

(1) Consolidated EBITDA (A) shall be deemed to be $12.9 million for each of the fiscal quarters ended (i) March 31, 2014,
(ii) December 31, 2013, (iii) September 30, 2013, and (iv) June 30, 2013, and (B) for the period from March 31, 2014 through the Spin-Off Effective Date, shall be determined as if the Spin-Off and the other
Transactions occurred at the beginning of such period, and the Master Leases had been entered into as of such date, as reasonably determined by the Issuers; and 

  
 10 

 (2) Consolidated Interest Expense shall be computed as follows: 

(A) for the four (4) fiscal quarter period ended March 31, 2014, Consolidated Interest Expense shall be deemed to be $22.5 million;

 (B) for the four (4) fiscal quarter period ended June 30, 2014, Consolidated Interest Expense for the period from the Spin-Off
Effective Date to the end of such fiscal quarter shall be annualized; 
 (C) for the four (4) fiscal quarter period ended
September 30, 2014, Consolidated Interest Expense for the one-fiscal quarter then ended shall each be multiplied by 4; 
 (D)
for the four (4) fiscal quarter period ended December 31, 2014, Consolidated Interest Expense for the two fiscal-quarter period then ended shall each be multiplied by 2; and 

(E) for the four (4) fiscal quarter period ended March 31, 2015, Consolidated Interest Expense for the three fiscal-quarter period
then ended shall each be multiplied by 1-1/3. 
 “Funds From Operations” for any period means the Adjusted
Consolidated Net Income of Parent and its Restricted Subsidiaries for such period determined in conformity with GAAP after adjustments for unconsolidated partnerships and joint ventures, plus depreciation and amortization of real property
(including furniture and equipment), including below market lease amortization net of above market lease amortization, and other real estate assets and excluding (to the extent such amount was deducted and not added back in calculating such Adjusted
Consolidated Net Income (without duplication)): 
 (1) gains or losses from (a) the restructuring or refinancing of Indebtedness or
(b) sales of properties; 
 (2) non-cash asset impairment charges; 

(3) non-cash charges related to redemptions or repurchases of Preferred Stock of Parent; 

(4) one-time direct transaction or restructuring costs incurred in connection with acquisitions or dispositions; 

(5) deferred rental income (loss); and 

(6) amortization or write-offs of debt issuance and deferred financing costs; 

provided, however, that Funds From Operations for the period from March 31, 2014 through the Spin-Off Effective Date shall be determined as
if the Spin-Off and the other Transactions occurred at the beginning of such period, and the Master Leases had been entered into as of such date, as reasonably determined by the Issuers. 

“GAAP” means generally accepted accounting principles in the United States of America as in effect as of the date of
determination, including those set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or
in such other statements by such other entity as approved by a significant segment of the accounting profession. Except as otherwise specifically provided in this Indenture, all ratios and computations contained or referred to in this Indenture
shall be computed in conformity with GAAP. For clarity purposes, any change in GAAP requiring leases that were previously classified as operating leases (or which, had they been entered into prior to the Issue Date, would have been treated as an
operating lease on the Issue Date) to be treated as Capitalized Leases shall be disregarded and such leases shall continue to be, or shall be, treated as operating leases consistent with GAAP as in effect immediately before such change in GAAP
became effective. 
 “GECC Loan” means the loan agreement to be entered into on or about the Issue Date by the Real
Property Non-Guarantor Subsidiaries as borrowers, General Electric Capital Corporation and the financial institutions who are or become parties to the loan agreement as lenders together with the related guaranty agreement by Parent, as guarantor, in
favor of General Electric Capital Corporation, as agent for the lenders. 

  
 11 

 “General Partner” has the meaning set forth in the Preamble, and includes any
and all successors thereto. 
 “guarantee” means a guarantee other than by endorsement of negotiable instruments for
collection in the ordinary course of business, direct or indirect, in any manner, including by way of a pledge of assets, of all or any part of any Indebtedness. The term “guarantee” used as a verb has a corresponding meaning. 

“Guarantor” means Parent, General Partner and each Subsidiary Guarantor and any other Person that enters into a Note
Guarantee. 
 “Hedging Obligations” means obligations, whether absolute or contingent and howsoever and whensoever created,
arising, evidenced or acquired under (i) Currency Agreements and Interest Rate Agreements, commodity swap agreements, commodity cap agreements, commodity collar agreements or foreign exchange contracts and any other agreements or arrangements
designed to hedge or protect such Person against, or transfer or mitigate, fluctuations in interest rates or currency exchange rates and (ii) other hedge or swap or option or put/call agreements entered into as part of or in connection with an
issuance of convertible Indebtedness (including, for the avoidance of doubt, Permitted Bond Hedge Transactions and Permitted Warrant Transactions), and, in the case of clause (i), not for speculative purposes. 

“Holder” means any registered holder on the books of the Registrar, from time to time, of the Notes. 

“Incur” means, with respect to any Indebtedness, to incur, create, issue, assume, guarantee or otherwise become liable for or
with respect to, or become responsible for, the payment of, contingently or otherwise, such Indebtedness, including an “Incurrence” of Acquired Indebtedness; provided, however, that neither the accrual of interest, the payment of
interest on any Indebtedness in the form of additional Indebtedness with the same terms, nor the accretion of original issue discount shall be considered an Incurrence of Indebtedness. 

“Indebtedness” means, with respect to any Person at any date of determination (without duplication): 

(1) all indebtedness of such Person for borrowed money; 

(2) all obligations of such Person evidenced by bonds, debentures, notes or other similar instruments; 

(3) the face amount of letters of credit or other similar instruments (excluding obligations with respect to letters of credit (including
trade letters of credit) securing obligations (other than obligations described in (1) or (2) above or (5), (6) or (7) below) entered into in the ordinary course of business of such Person to the extent such letters of credit are
not drawn upon or, if drawn upon, to the extent such drawing is reimbursed no later than the tenth Business Day following receipt by such Person of a demand for reimbursement); 

(4) all unconditional obligations of such Person to pay the deferred and unpaid purchase price of property or services, which purchase price
is due more than six months after the date of placing such property in service or taking delivery and title thereto or the completion of such services, except Trade Payables and obligations to the extent payable through the issuance of Capital
Stock; 
 (5) all Capitalized Lease Obligations and Attributable Debt; 

(6) all Indebtedness of other Persons secured by a Lien on any asset of such Person, whether or not such Indebtedness is assumed by such
Person; provided, however, that the amount of such Indebtedness shall be the lesser of (A) the fair market value of such asset at that date of determination and (B) the amount of such Indebtedness; 

(7) all Indebtedness of other Persons guaranteed by such Person to the extent such Indebtedness is guaranteed by such Person (excluding
Permitted Non-Recourse Guarantees until such time as they become primary obligations of, and payments are due and required to be made thereunder by, such Person or any of its Restricted Subsidiaries); and 

  
 12 

 (8) to the extent not otherwise included in this definition or the definition of Consolidated
Interest Expense, obligations under Hedging Obligations; provided, however, that in no event will any Permitted Warrant Transaction constitute Indebtedness. 

The amount of Indebtedness of any Person at any date, unless otherwise specified above or below, shall be the outstanding balance at such date
of all unconditional obligations of the type described above appearing (other than letters of credit and Hedging Obligations) as a liability on a balance sheet of the specified Person prepared in accordance with GAAP and, with respect to obligations
under any guarantee, the maximum liability upon the occurrence of the contingency giving rise to the obligation; provided, however, that: 

(A) the amount outstanding at any time of any Indebtedness issued with original issue discount shall be deemed to be the face amount with
respect to such Indebtedness less the remaining unamortized portion of the original issue discount of such Indebtedness at the date of determination in conformity with GAAP; 

(B) Indebtedness shall not include any liability for foreign, Federal, state, local or other taxes; 

(C) Indebtedness shall not include any liability required to be recognized as a result of variable interest accounting unless such Person is
otherwise legally liable for such liability; 
 (D) Indebtedness shall not include any indemnification, earnouts, adjustment or holdback of
purchase price or similar obligations, in each case, Incurred or assumed in connection with the acquisition or disposition of any business, assets or a Subsidiary, other than guarantees of Indebtedness Incurred by any Person acquiring all or any
portion of such business, assets or Subsidiary for the purpose of financing such acquisition 
 (E) Indebtedness shall not include
contingent obligations under performance bonds, performance guarantees, surety bonds, appeal bonds or similar obligations Incurred in the ordinary course of business; 

(F) In the case of clause (4) above, the amount of such Indebtedness shall be the net present value thereof determined in accordance with
GAAP; and 
 (G) In the case of clause (8) above, the amount of such Indebtedness shall be zero unless and until such Indebtedness
shall be terminated, modified or replaced in part, in which case the amount of such Indebtedness shall be the termination, modification or replacement payment then due thereunder by such Person. 

(H) For the avoidance of doubt, it is understood and agreed that (i) any obligations of such Person in respect of cash management or
similar agreements and (ii) any obligations of such Person in respect of employee deferred compensation and benefit plans or similar arrangements shall not constitute Indebtedness. For the avoidance of doubt, for purposes of calculating the
total amount of Indebtedness or Secured Indebtedness, there shall be excluded any Indebtedness or portion thereof which has been defeased, discharged, repurchased, retired, redeemed, otherwise acquired or repaid (or for which an irrevocable deposit
is made in an amount sufficient to effect the foregoing). 
 “Indenture” means this Indenture, as amended or supplemented
from time to time in accordance with the terms hereof. 
 “Institutional Accredited Investor” or “IAI”
means an “accredited investor” within the meaning of Rule 501(a)(1), (2), (3) or (7) under the Securities Act. 

“interest” means, unless the context otherwise requires, with respect to the Notes, interest and Additional Interest, if any,
on the Notes. 
 “Interest Coverage Ratio” means, on any Transaction Date, the ratio of: 

 

	 	(x)	the aggregate amount of Consolidated EBITDA for the then applicable Four Quarter Period to 

  

	 	(y)	the aggregate Consolidated Interest Expense during such Four Quarter Period. 

  
 13 

 In making the foregoing calculation, 

(1) pro forma effect (including to the application of proceeds thereof) shall be given to any Indebtedness Incurred, assumed,
guaranteed, defeased, discharged, repurchased, retired, redeemed, otherwise acquired or repaid (or for which an irrevocable deposit is made in an amount sufficient to effect the foregoing) during the period (“Reference Period”)
commencing on the first day of the Four Quarter Period and ending on the Transaction Date (other than Indebtedness Incurred or repaid under a revolving credit or similar arrangement), in each case as if such Indebtedness had been Incurred, assumed,
guaranteed, defeased, discharged, repurchased, retired, redeemed, otherwise acquired or repaid (or such an irrevocable deposit made) on the first day of such Reference Period; 

(2) Consolidated Interest Expense attributable to interest on any Indebtedness (whether existing or being Incurred) computed on a pro
forma basis and bearing a floating interest rate shall be computed as if the rate in effect on the Transaction Date (taking into account any Interest Rate Agreement applicable to such Indebtedness if such Interest Rate Agreement has a remaining
term in excess of 12 months or, if shorter, at least equal to the remaining term of such Indebtedness) had been the applicable rate for the entire period; 

(3) pro forma effect shall be given to Asset Dispositions, Asset Acquisitions and Permitted Mortgage Investments (including giving
pro forma effect to the application of proceeds of any Asset Disposition and any Indebtedness Incurred, assumed, guaranteed, defeased, discharged, repurchased, retired, redeemed, otherwise acquired or repaid (or for which an irrevocable
deposit is made in an amount sufficient to effect the foregoing) in connection with any such Asset Acquisitions, Asset Dispositions or Permitted Mortgage Investments, as described in clause (1) above) that occur during such Reference
Period as if they had occurred and such proceeds had been applied (and such Indebtedness had been Incurred, assumed, guaranteed, defeased, discharged, repurchased, retired, redeemed, otherwise acquired or repaid (or such an irrevocable deposit
made)) on the first day of such Reference Period and after giving effect to expense and cost reductions calculated on a basis (except as described in the next paragraph, including with respect to Pro Forma Cost Savings) consistent with Regulation
S-X under the Exchange Act and Pro Forma Cost Savings; 
 (4) pro forma effect shall be given to asset dispositions and asset
acquisitions (including giving pro forma effect to (i) the application of proceeds of any asset disposition and any Indebtedness Incurred, assumed, guaranteed, defeased, discharged, repurchased, retired, redeemed, otherwise acquired or
repaid (or for which an irrevocable deposit is made in an amount sufficient to effect the foregoing) in connection with any such asset acquisitions or asset dispositions, as described in clause (1) above, (ii) expense and cost reductions
and other pro forma adjustments calculated on a basis consistent with Regulation S-X under the Exchange Act and (iii) Pro Forma Cost Savings) that have been made by any Person that has become (including by redesignation) a Restricted
Subsidiary of Parent or has been merged with or into Parent or any of its Restricted Subsidiaries during such Reference Period but subsequent to the end of the related Four Quarter Period and that would have constituted Asset Dispositions or Asset
Acquisitions during such Reference Period but subsequent to the end of the related Four Quarter Period had such transactions occurred when such Person was a Restricted Subsidiary of Parent as if such asset dispositions or asset acquisitions were
Asset Dispositions or Asset Acquisitions and had occurred on the first day of such Reference Period; 
 (5) any Person that is a Restricted
Subsidiary of Parent on the Transaction Date will be deemed to have been a Restricted Subsidiary of Parent at all times during the applicable Reference Period, and any Person that is not a Restricted Subsidiary of Parent on the Transaction Date will
be deemed to not have been a Restricted Subsidiary of Parent at any time during the applicable Reference Period; 
 (6) the Consolidated
Interest Expense attributable to discontinued operations, as determined in accordance with GAAP, shall be excluded, but only to the extent that the obligations giving rise to such Consolidated Interest Expense will not be obligations of the
specified Person or any of its Restricted Subsidiaries following the Transaction Date; 

  
 14 

 (7) Consolidated Interest Expense attributable to interest on Indebtedness that may optionally be
determined at an interest rate based on a factor of a prime or similar rate, a Eurocurrency interbank offered rate, or other rate, shall be deemed to have been based upon the rate actually chosen, or, if not, then based upon such operational rate
chosen as Parent may designate; 
 (8) Consolidated Interest Expense attributable to interest on any Indebtedness under a revolving credit
facility computed on a pro forma basis shall be computed based on the average daily balance of such Indebtedness during the applicable period except as set forth in clause (1) of this definition; and 

(9) Consolidated Interest Expense attributable to interest on a Capitalized Lease Obligation shall be deemed to accrue at an interest rate
reasonably determined by a financial or accounting officer of Parent to be the rate of interest implicit in such Capitalized Lease Obligation in accordance with GAAP; 

provided, however, that to the extent that clause (3) or clause (4) above requires that pro forma effect be given to an Asset
Acquisition, Asset Disposition, Permitted Mortgage Investment, asset acquisition or asset disposition, as the case may be, such pro forma calculation shall be based upon the four full fiscal quarters immediately preceding the Transaction Date
of the Person, or division, operations or line of business, or one or more properties or assets, or attributable to such investment, that is acquired or disposed of to the extent that such financial information is available or otherwise a reasonable
estimate thereof is available. 
 “Interest Payment Date” means the date or dates specified for the payment of interest of
the Notes as specified in the Note. 
 “Interest Rate Agreement” means any interest rate protection agreement, interest
rate future agreement, interest rate option agreement, interest rate swap agreement, interest rate cap agreement, interest rate collar agreement, interest rate hedge agreement, option or future contract or other similar agreement or arrangement with
respect to interest rates. 
 “Investment” in any Person means any direct or indirect advance, loan or other extension of
credit (including by way of guarantee or similar arrangement but excluding (i) advances to customers, distributors, operators and trade credit in the ordinary course of business that are, in conformity with GAAP, recorded as accounts or rents
receivable on the consolidated balance sheet of Parent and its Restricted Subsidiaries and endorsements for collection or deposits arising in the ordinary course of business, and (ii) commission, travel and similar advances to employees,
directors, officers, managers and consultants in each case made in the ordinary course of business) or capital contribution to (by means of any transfer of cash or other property (tangible or intangible) to others or any payment for property or
services solely for the account or use of others, or otherwise), or any purchase or acquisition of Capital Stock, bonds, notes, debentures or other similar instruments issued by, such Person and shall include: 

(1) the designation of a Restricted Subsidiary as an Unrestricted Subsidiary; and 

(2) the fair market value of the Capital Stock (or any other Investment), held by Parent or any of its Restricted Subsidiaries of (or in) any
Person that has ceased to be a Restricted Subsidiary of Parent; 
 provided, however, that the fair market value of the Investment remaining
in any Person that has ceased to be a Restricted Subsidiary of Parent shall be deemed not to exceed the aggregate amount of Investments previously made in such Person valued at the time such Investments were made, less the net reduction of such
Investments. For purposes of the definition of “Unrestricted Subsidiary” and Section 4.09: 
 (i)
“Investment” shall include the fair market value of the assets (net of liabilities (other than liabilities to Parent or any of its Restricted Subsidiaries)) of any Restricted Subsidiary of Parent at the time such Restricted Subsidiary is
designated an Unrestricted Subsidiary; 

  
 15 

 (ii) the fair market value of the assets (net of liabilities (other than
liabilities to Parent or any of its Restricted Subsidiaries)) of any Unrestricted Subsidiary at the time that such Unrestricted Subsidiary is designated as (or is merged or consolidated or liquidated into or otherwise becomes (including by
redesignation)) a Restricted Subsidiary of Parent shall be considered a reduction in outstanding Investments; and 
 (iii)
any property transferred to or from an Unrestricted Subsidiary shall be valued at its fair market value at the time of such transfer; 

provided further, that the amount of any Investment shall be reduced by the amounts received by Parent and its Restricted
Subsidiaries with respect to such Investment, including sale or liquidation proceeds from dispositions of any portion of such Investment (including from sales of Capital Stock, bonds, notes, debentures or other similar instruments) and principal,
interest, dividends, distributions, other payments, repayments of loans or advances, other transfers of assets, the satisfaction, release, expiration, discharge, defeasance, repurchase, redemption cancellation or reduction (other than by means of
payments by Parent or any of its Restricted Subsidiaries) of Indebtedness or other obligations payable to (or guaranteed by) Parent or any Restricted Subsidiary of Parent. 

“Investment Grade Status” means, with respect to the Notes, when the Notes have both (1) a rating of “Baa3” or
higher from Moody’s and (2) a rating of “BBB-” or higher from S&P (or, if either such agency ceases to rate the Notes for reasons outside the control of Parent, the equivalent investment grade credit rating from any other
“nationally recognized statistical rating organization” within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act (or any successor provision) selected by Parent as a replacement agency), in each case published by the
applicable agency. 
 “Issue Date” means the date the Notes are originally issued. 

“last completed fiscal quarter” means the last completed fiscal quarter preceding the applicable date of determination for
which reports have been filed with the SEC or provided to the Trustee pursuant to Section 4.15 or for which internal financial statements are available; provided that prior to the filing of the report for the fiscal quarter ended
June 30, 2014 with the SEC, the last completed fiscal quarter shall be deemed to be March 31, 2014 and pro forma effect shall be given to the Spin-Off and the other Transactions as if the same had occurred at the beginning of such
quarter (or, for calculations to be made as of the end of such quarter, at the end of such quarter), based on the most recent financial information (including pro forma financial information) available to the Issuers. 

“Lien” means any mortgage, pledge, security interest, encumbrance or lien of any kind (including any conditional sale or
other title retention agreement or lease in the nature thereof or any agreement to give any security interest) that has not been terminated or released. 

“Master Leases” means those certain Master Leases, to be entered into before or promptly following the Spin-Off, between the
Partnership (and/or any Subsidiaries of the Partnership), acting as landlord or co-landlord, and Subsidiaries of Ensign, as tenants, as they may be amended, restated, replaced or otherwise modified from time to time. 

“Moody’s” means Moody’s Investors Service, Inc. and its successors. 

“Net Cash Proceeds” means: 

(1) with respect to any Asset Sale, the proceeds of such Asset Sale in the form of cash or Temporary Cash Investments, including payments in
respect of deferred payment obligations (to the extent corresponding to the principal, but not interest, component thereof) when received in the form of cash or Temporary Cash Investments (except to the extent such obligations are financed or sold
with recourse to Parent or any of its Restricted Subsidiaries) and proceeds from the conversion or sale of other property received when converted to or sold for cash or cash equivalents, net of: 

(i) brokerage commissions, sales commissions and other fees and expenses (including fees and expenses of counsel, accountants
and investment bankers) related to such Asset Sale; 

  
 16 

 (ii) provisions for all taxes actually paid or payable as a result of such Asset
Sale by Parent and its Restricted Subsidiaries, taken as a whole, after taking into account any available tax credits or deductions and any tax sharing arrangements; 

(iii) payments made to repay Indebtedness or any other obligation outstanding at the time of such Asset Sale that either
(A) is secured by a Lien on the property or assets sold or (B) is required to be paid as a result of such sale; 

(iv) so long as after giving pro forma effect to any such distribution (A)(1) on or before June 30, 2016, the
aggregate principal amount of all outstanding Indebtedness of Parent and its Restricted Subsidiaries on a consolidated basis at the time of declaration is not greater than 65% of Parent’s Adjusted Total Assets, and (2) after June 30,
2016, the aggregate principal amount of all outstanding Indebtedness of Parent and its Restricted Subsidiaries on a consolidated basis at the time of declaration is not greater than 60% of Parent’s Adjusted Total Assets, and (B) no Default
or Event of Default shall have occurred and be continuing, the amount required to be distributed to the holders of Parent’s Capital Stock as a result of such Asset Sale in order to (x) maintain Parent’s status as a real estate
investment trust under the Code or (y) avoid any excise tax or any income tax imposed on Parent, including, but not limited to, pro rata dividends or other distributions by the Partnership to minority unitholders as a result of a distribution
from the Partnership to Parent for the purpose of funding any such dividend, distribution or other action; and 
 (v) amounts
reserved by Parent and its Restricted Subsidiaries against any liabilities associated with such Asset Sale, including pension and other post-employment benefit liabilities, liabilities related to environmental matters and liabilities under any
indemnification obligations associated with such Asset Sale, all as determined on a consolidated basis in conformity with GAAP; and 
 (2)
with respect to any issuance or sale of Capital Stock, the proceeds of such issuance or sale in the form of cash or Temporary Cash Investments, including payments in respect of deferred payment obligations (to the extent corresponding to the
principal, but not interest, component thereof) when received in the form of cash or Temporary Cash Investments (except to the extent such obligations are financed or sold with recourse to Parent or any of its Restricted Subsidiaries) and proceeds
from the conversion of other property received when converted to cash or Temporary Cash Investments, net of attorney’s fees, accountants’ fees, underwriters’ or placement agents’ fees, discounts or commissions and brokerage,
consultant and other fees and expenses actually Incurred in connection with such issuance or sale and net of taxes actually paid or payable as a result thereof after taking into account any available tax credits or deductions and any tax sharing
arrangements. 
 “Non-U.S. Person” has the meaning assigned to such term in Regulation S. 

“Notes” means, collectively, the Issuers’ 5.875% Senior Notes due 2021 issued in accordance with
Section 2.02 (whether issued on the Issue Date, issued as Additional Notes, issued as Exchange Securities, or otherwise issued after the Issue Date) treated as a single class of securities under this Indenture. 

“Note Guarantee” means a guarantee by each Guarantor for payment of the Notes by such Guarantor. 

“Offer to Purchase” means an offer to purchase Notes by the Issuers from the Holders commenced by sending a notice to the
Trustee and each Holder electronically or by first class mail at its registered address or otherwise in accordance with the procedures of the Depository stating: 

(1) the covenant pursuant to which the offer is being made and that, subject to the satisfaction or waiver of any conditions to such offer, all
Notes validly tendered and not withdrawn will be accepted for payment on a pro rata basis or otherwise as provided in the applicable covenant; 

(2) the purchase price and the date of purchase (which shall be a Business Day no earlier than 30 days nor later than 60 days from the date
such notice is given) (the “Payment Date”); 
 (3) that any Note not tendered will continue to accrue interest pursuant to
its terms; 

  
 17 

 (4) that, unless the Issuers default in the payment of the purchase price, any Note accepted for
payment pursuant to the Offer to Purchase shall cease to accrue interest on and after the Payment Date; 
 (5) that Holders electing to have
a Note purchased pursuant to the Offer to Purchase will be required to surrender the Note, together with the form entitled “Option of the Holder to Elect Purchase” on the reverse side of the Note completed, to the Paying Agent at the
address specified in the notice or otherwise in accordance with the Depository’s applicable procedures prior to the close of business on the Business Day immediately preceding the Payment Date; 

(6) subject to the terms of such offer, that Holders will be entitled to withdraw their election by using the ATOP system in accordance with
the Depository’s applicable procedures or if the Paying Agent receives, not later than the expiration date of the offer, facsimile transmission or letter or instruction to the Depository, as applicable, setting forth the name of such Holder,
the principal amount of Notes delivered for purchase and, if applicable, a statement that such Holder is withdrawing its election to have such Notes purchased; 

(7) that Holders whose Notes are being purchased only in part will be issued new Notes equal in principal amount to the unpurchased portion of
the Notes surrendered; provided, however, that each Note purchased and each new Note issued shall be in a principal amount of $2,000 or integral multiples of $1,000 in excess thereof; and 

(8) if applicable and to the extent not prohibited by this Indenture, that such offer may be subject to satisfaction of one or more conditions
precedent; provided that in such case, the offer shall describe each such condition or conditions, and if applicable, shall state that, in the Issuers’ discretion, the Payment Date may be delayed until such time as any or all such
conditions shall be satisfied (or waived by the Issuers in the Issuers’ sole discretion), or such purchase may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by
the Issuers in the Issuers’ sole discretion) by the stated expiration date, or by the expiration date as so delayed. 
 On the Payment
Date, subject to the terms and conditions of the offer, the Issuers shall: 
 (i) accept for payment on a pro rata
basis (or otherwise as provided in the applicable covenant) Notes or portions thereof validly tendered and not withdrawn pursuant to an Offer to Purchase; 

(ii) deposit with the Paying Agent money sufficient to pay the purchase price of all Notes or portions thereof so accepted; and

 (iii) promptly thereafter deliver, or cause to be delivered, to the Trustee all Notes or portions thereof so accepted
together with an Officer’s Certificate specifying the Notes or portions thereof accepted for payment by the Issuers. 
 The Paying Agent shall promptly
wire to the Holders so accepted (or otherwise in accordance with the Depository’s procedures) payment in an amount equal to the purchase price, and the Trustee shall promptly authenticate and give to such Holders a new Note equal in principal
amount to any unpurchased portion of any Note surrendered (except that in the case of Notes held in book entry form, the Trustee shall hold such global notes as custodian for the Depository); provided, however, that each Note purchased
and each new Note issued shall be in a principal amount of $2,000 or integral multiples of $1,000 in excess thereof. The Issuers will comply with Rule 14e-1 under the Exchange Act and any other securities laws and regulations thereunder to the
extent such laws and regulations are applicable, in the event that the Issuers are required to repurchase Notes pursuant to an Offer to Purchase. 

“Offering” means the sale of the Initial Notes as described in the Offering Memorandum. 

“Offering Memorandum” means the Final Offering Memorandum dated May 15, 2014 pursuant to which the Notes issued on the
Issue Date were offered to investors. 

  
 18 

 “Officer” means, with respect to any Person, the Chairman of the Board, the
Chief Executive Officer, the President, the Chief Operating Officer, the Chief Financial Officer, the Treasurer, any Assistant Treasurer, the Chief Accounting Officer, the Controller, the Assistant Controller, the Secretary or any Vice-President of
such Person or its sole member or general partner. 
 “Officer’s Certificate” means a certificate signed on behalf of
the Issuers, by one Officer of Parent or the Issuers. 
 “Opinion of Counsel” means a written opinion from legal counsel
who is reasonably acceptable to the Trustee. The counsel may be an employee of, or counsel to, Parent, the Issuers, a Guarantor or the Trustee. 

“Parent” has the meaning set forth in the Preamble, and includes any and all successors thereto. 

“Pari Passu Indebtedness” means any Indebtedness of the Issuers or any Guarantor that ranks pari passu in right of
payment with the Notes or the Note Guarantee thereof by such Guarantor, as applicable. For purposes of determining whether Indebtedness ranks pari passu in right of payment with other Indebtedness, there shall not be taken into account
collateral securing any such Indebtedness, structural subordination, lien subordination or provisions that apply proceeds or amounts received by the borrower, obligor or issuer following a default or exercise of remedies in a certain order of
priority. 
 “Partnership” means CTR Partnership, L.P., a Delaware limited partnership, and any and all successors thereto.

 “Partnership Agreement” means the Amended and Restated Agreement of Limited Partnership of the Partnership, as in effect
as of the Issue Date, as such agreement may be amended, restated, replaced or otherwise modified from time to time. 
 “Permitted
Bond Hedge Transaction” means any call or capped call option (or substantively equivalent derivative transaction) on Common Stock of Parent or the Partnership purchased by Parent or the Partnership in connection with the issuance of any
Convertible Indebtedness; provided that the purchase price for such Permitted Bond Hedge Transaction, less the proceeds received by Parent or the Partnership from the sale of any related Permitted Warrant Transaction, does not exceed the net
proceeds received by Parent or the Partnership from the sale of such Convertible Indebtedness issued in connection with the Permitted Bond Hedge Transaction. 

“Permitted Business” means any business activity (including Permitted Mortgage Investments) in which Parent and its
Restricted Subsidiaries are engaged or propose to be engaged in (as described in the Offering Memorandum) upon or following the Spin-Off Effective Date, any business activity related to properties customarily constituting assets of a REIT engaged in
the healthcare or senior housing industry, including through the ownership, operation, development, acquisition, financing and leasing of healthcare facilities, including skilled nursing home centers, hospitals, assisted living facilities,
independent living facilities, medical office buildings, life sciences, long-term acute care, senior living or rehabilitation facilities, or any business or assets reasonably related, ancillary, incidental or complementary thereto, or reasonable
expansions or extensions thereof. 
 “Permitted Investment” means: 

(1) an Investment in (a) Parent or any of its Restricted Subsidiaries or (b) a Person that will, upon the making of such Investment,
become (including by redesignation) a Restricted Subsidiary of Parent or be merged or consolidated with or into, or liquidated or wound-up into or transfer or convey all or substantially all its assets to, Parent or any of its Restricted
Subsidiaries and, in each case, any Investment held by such Person, provided that such Investment held by such Person was not acquired by such Person in contemplation of such Person so becoming a Restricted Subsidiary of Parent; 

(2) Investments in cash and Temporary Cash Investments; 

  
 19 

 (3) Investments made by Parent or its Restricted Subsidiaries as a result of consideration
received in connection with an Asset Sale made in compliance with Section 4.11 or from any other disposition or transfer of assets not constituting an Asset Sale; 

(4) Investments represented by guarantees that are otherwise permitted under this Indenture; 

(5) payroll, travel, moving, relocation and similar advances to cover matters that are expected at the time of such advances ultimately to be
treated as expenses in accordance with GAAP; 
 (6) Investments received in satisfaction of judgments or in settlements of debt or
compromises of obligations incurred in the ordinary course of business, and receivables created or acquired in the ordinary course of business; 

(7) any Investment acquired solely in exchange for Capital Stock (other than Disqualified Stock) of Parent or the Partnership, which Parent or
the Partnership did not receive in exchange for a cash payment, Indebtedness or Disqualified Stock, but excluding any new cash Investments made thereafter; 

(8) any Investment existing on the Issue Date or otherwise made in connection with the consummation of the Transactions; 

(9) Investments in Unrestricted Subsidiaries and joint ventures in an aggregate amount, taken together with all other Investments made in
reliance on this clause and all Indebtedness then outstanding pursuant to Section 4.08(d)(15), not to exceed the greater of $20.0 million and 3.0% of Parent’s Adjusted Total Assets (net of, with respect to the Investment in any
particular Person, the cash return thereon received after the Issue Date, including as a result of any sale for cash, repayment, redemption, liquidating distribution or other cash realization (not included in Adjusted Consolidated Net Income), and
as otherwise calculated in the definition of “Investment”; not to exceed the amount of Investments in such Person made after the Issue Date in reliance on this clause); 

(10) obligations under Hedging Obligations otherwise permitted under this Indenture; 

(11) Permitted Mortgage Investments; 

(12) any transaction which constitutes an Investment to the extent permitted and made in accordance with Section 4.12(b) (except
transactions pursuant to Sections 4.12(b)(1), (5), (9) and (10)); 
 (13) any Investment consisting of
prepaid expenses, negotiable instruments held for collection and lease, endorsements for deposit or collection in the ordinary course of business, utility or workers’ compensation, performance and similar deposits entered into as a result of
the operations of the business in the ordinary course of business; 
 (14) pledges or deposits by a Person under workers’ compensation
laws, unemployment insurance laws or similar legislation, or deposits in connection with bids, tenders, contracts (other than for the payment of Indebtedness) or leases to which such Person is a party, or deposits as security for contested taxes or
import duties or for the payment of rent, in each case incurred in the ordinary course of business; 
 (15) any Investment acquired by
Parent or any of its Restricted Subsidiaries (a) in exchange for any other Investment or accounts or rents receivable held by Parent or any such Restricted Subsidiary in connection with or as a result of a bankruptcy, workout, reorganization or
recapitalization of the issuer of such other Investment or accounts or rents receivable or (b) as a result of a foreclosure by Parent or any of its Restricted Subsidiaries with respect to any secured Investment or other transfer of title with
respect to any secured Investment in default; 
 (16) any Investment consisting of a loan or advance to officers, directors or employees of
Parent or any of its Restricted Subsidiaries (a) in connection with the purchase by such Persons of Capital Stock of Parent or (b) made in the ordinary course of business not to exceed $3.5 million at any one time outstanding; 

  
 20 

 (17) any Investment made in connection with the funding of contributions under any non-qualified
employee retirement plan or similar employee compensation plan in an amount not to exceed the amount of compensation expenses recognized by Parent and any of its Restricted Subsidiaries in connection with such plans; 

(18) entering into Permitted Non-Recourse Guarantees (it being understood that any payments or other transfers made pursuant to such Permitted
Non-Recourse Guarantees will not be permitted by this clause (18)); 
 (19) additional Investments not to exceed the greater of
(x) $20.0 million and (y) 3.0% of Parent’s Adjusted Total Assets at any time outstanding; 
 (20) Investments in tenants and
property managers (a) in an aggregate amount not to exceed the greater of (x) $20.0 million and (y) 3.0% of Parent’s Adjusted Total Assets at any time outstanding or (b) constituting advances to fund the alteration,
improvement, exchange, replacement, modification or expansion of leased improvements or fixtures required to be made pursuant to Section 6.7 of the Master Leases or a comparable or similar provision of another lease; and 

(21) any purchase of Indebtedness under the Notes or the Credit Facilities, in each case, including the guarantees related thereto. 

“Permitted Mortgage Indebtedness” means Indebtedness secured by real property owned or ground leased by a Restricted
Subsidiary (and personal property or intangibles of such Restricted Subsidiary, as applicable) and the terms of such Indebtedness prohibit such Restricted Subsidiary from providing or remaining obligated under a Note Guarantee. 

“Permitted Mortgage Investment” means any Investment in secured notes, mortgage, deeds of trust, collateralized mortgage
obligations, commercial mortgage-backed securities, other secured debt securities, secured debt derivative or other secured debt instruments, so long as such investment relates directly or indirectly to real property that constitutes or is used as a
healthcare facility, including skilled nursing home center, hospital, assisted living facility, independent living facility, medical office building, life sciences, long-term acute care, senior living or rehabilitation facility or other property
customarily constituting an asset of a real estate investment trust specializing in healthcare or senior housing property. 

“Permitted Non-Recourse Guarantees” means customary indemnities or guarantees (including by means of separate indemnification
agreements or carve-out guarantees) provided in the ordinary course of business by the Issuers or any of their Restricted Subsidiaries in financing transactions that are directly or indirectly secured by real property or other real property-related
assets (including Capital Stock) of a joint venture, operator or Unrestricted Subsidiary and that may be full recourse or non-recourse to the joint venture, operator or Unrestricted Subsidiary that is the borrower in such financing, but is
non-recourse to the Issuers or any of their Restricted Subsidiaries; provided that Permitted Non-Recourse Guarantees shall not lose their character as such because there is recourse to the Issuers or any of their Restricted Subsidiaries for
or in respect of (a) indemnities and limited contingent guarantees as are consistent with customary industry practice (such as environmental indemnities and recourse triggers based on violation of transfer restrictions and indemnities for and
liabilities arising from fraud, misrepresentation, misapplication or non-payment of rents, profits, insurance and condemnation proceeds and other sums actually received by the obligor from secured assets to be paid to the lender, waste and
mechanics’ liens), (b) a voluntary bankruptcy filing (or similar filing or action) or involuntary bankruptcy filings by such borrower, and other events, actions and circumstances customarily excluded by institutional lenders from
exculpation provisions and/or included in separate indemnification agreements or guarantees in non-recourse financings of real estate or (c) performance and completion guarantees. 

“Permitted Refinancing Indebtedness” means any Indebtedness of Parent or any of its Restricted Subsidiaries issued in
exchange for, or the net proceeds of which are used to extend, refinance, renew, replace, defease, discharge or refund other Indebtedness of Parent or any of its Restricted Subsidiaries (other than intercompany Indebtedness); provided that:

 (1) the principal amount (or accreted value, if applicable) of such Permitted Refinancing Indebtedness does not exceed the principal
amount (or accreted value, if applicable) of the Indebtedness so refinanced, (plus all accrued interest thereon and any premiums owed, including the amount of any reasonably determined premium necessary to accomplish such refinancing, and
costs, fees and expenses incurred in connection therewith); 

  
 21 

 (2) such Permitted Refinancing Indebtedness has: 

(a) a final maturity date later than the final maturity date of the Indebtedness being refinanced or, if earlier, the maturity
date of the Notes, and 
 (b) an Average Life equal to or greater than the Average Life of the Indebtedness being extended,
refinanced, renewed, replaced, defeased or refunded or, if less, the Average Life of the Notes; 
 (3) if the Indebtedness being refinanced
is contractually subordinated in right of payment to the Notes or any Note Guarantee, such Permitted Refinancing Indebtedness is contractually subordinated in right of payment to the Notes or such Note Guarantee on terms at least as favorable to the
Holders as those contained in the documentation governing the Indebtedness being refinanced; 
 (4) if the Indebtedness being refinanced is
Pari Passu Indebtedness, such Permitted Refinancing Indebtedness is pari passu in right of payment with, or subordinated in right of payment to, the Notes or such Note Guarantee; and 

(5) such Indebtedness is Incurred (a) by an Issuer or a Guarantor, (b) by the Restricted Subsidiary that is the obligor on the
Indebtedness being refinanced or (c) if the obligor on such Indebtedness is not a Subsidiary Guarantor, by another Restricted Subsidiary that is not a Subsidiary Guarantor. 

“Permitted Warrant Transaction” means any call option, warrant or right to purchase (or substantively equivalent derivative
transaction) on Common Stock of Parent sold by Parent or the Partnership substantially concurrently with any purchase by Parent of a related Permitted Bond Hedge Transaction. 

“Person” means any individual, corporation, partnership, limited liability company, joint venture, association, joint-stock
company, trust, unincorporated organization, government or any agency or political subdivision thereof or any other entity. 

“Preferred Stock” means, with respect to any Person, any and all shares, interests, participations or other equivalents
(however designated, whether voting or non-voting) that have a preference on liquidation or with respect to distributions over any other class of Capital Stock, including preferred partnership interests, whether general or limited, or such
Person’s preferred or preference stock, whether outstanding on the Issue Date or issued thereafter, including all series and classes of such preferred or preference stock. 

“Private Placement Legend” means the legend initially set forth on the Notes in the form set forth in Exhibit B. 

“Pro Forma Cost Savings” means, with respect to any period, the reductions in costs (including such reductions resulting from
employee terminations, facilities consolidations and closings, standardization of employee benefits and compensation policies, consolidation of property, casualty and other insurance coverage and policies, standardization of sales and distribution
methods, reductions in taxes other than income taxes) that occurred or have been realized during such period or are reasonably anticipated to be realized in good faith within twelve (12) months of the date of the applicable event, as if all
such reductions in costs had been effected as of the beginning of such period, decreased by any incremental expenses incurred or to be incurred during such period in order to achieve such reduction in costs, all such costs to be determined in good
faith by the principal financial or accounting officer of Parent. 
 “Purging Distribution” means the declaration or
payment of any dividend or making of any distribution after the Spin-Off Effective Date to distribute to the holders of Parent’s Common Stock any accumulated earnings and profits attributable to Parent for any years Parent did not qualify as a
REIT under the Code, including any earnings and profits allocated to Parent in connection with the Spin-Off, as described in the Offering Memorandum. 

  
 22 

 “Qualified Institutional Buyer” or “QIB” shall have the meaning
specified in Rule 144A under the Securities Act. 
 “Quotation Agent” means the Reference Treasury Dealer selected by the
Issuers. 
 “Real Estate Assets” of a Person means, as of any date, the real estate assets of such Person and its
Restricted Subsidiaries on such date, on a consolidated basis determined in accordance with GAAP. 
 “Real Estate Revenues”
means, with respect to any Real Estate Asset of Parent and its Restricted Subsidiaries owned as of the Issue Date, (1) at any time before internal financial statements are available for the quarter ended June 30, 2015, the pro forma
rental revenues generated by such Real Estate Asset during the four fiscal quarters ending March 31, 2014 assuming such Real Estate Asset had been held by Parent or any Restricted Subsidiary during such period and the Master Leases had been in
effect during all of such period, all as set forth on Schedule A attached to this Indenture prepared substantially consistent with the pro forma income statement included in the Offering Memorandum and (2) at any time after internal
financial statements are available for the quarter ended June 30, 2015, the rental revenues generated by such Real Estate Assets during the most recently completed four fiscal quarters preceding the applicable determination date. 

“Record Date” means the applicable Record Date specified in the Notes. 

“Redemption Date,” when used with respect to any Note to be redeemed, means the date fixed for such redemption pursuant to
this Indenture and the Notes. 
 “Redemption Price,” when used with respect to any Note to be redeemed, means the price
fixed for such redemption pursuant to this Indenture and the Notes. 
 “Reference Treasury Dealer” means Wells Fargo
Securities, LLC and its successors and assigns, SunTrust Robinson Humphrey, Inc. and its successors and assigns and RBC Capital Markets, LLC and its successors and assigns. 

“Reference Treasury Dealer Quotations” means with respect to each Reference Treasury Dealer and any Redemption Date, the
average, as determined by the Issuers, of the bid and asked prices for the Comparable Treasury Issue, expressed in each case as a percentage of its principal amount, quoted in writing to the Trustee by such Reference Treasury Dealer at 5:00 p.m.,
New York City time, on the third Business Day immediately preceding such Redemption Date. 
 “refinance” means refinance,
renew, replace, defease, discharge, extend or refund, and “refinancing” or “refinanced” has a similar meaning. 

“Registration Rights Agreement” means the Registration Rights Agreement dated as of the Issue Date, among the Issuers, the
Guarantors and Wells Fargo Securities, LLC, SunTrust Robinson Humphrey, Inc. and RBC Capital Markets LLC, as representatives of the Initial Purchasers (as defined therein), as amended, supplemented or modified from time to time, and any similar
agreement entered into in connection with the issuance of any Additional Notes. 
 “Regulation S” means Regulation S under
the Securities Act. 
 “Replacement Assets” means (1) tangible non-current assets that will be used or useful in a
Permitted Business, (2) substantially all the assets of a Permitted Business or (3) a majority of the Voting Stock of any Person or if such Person is a partnership, limited liability company, association, joint venture or other entity, a
majority of the equity interests in such Person, in each case, engaged in a Permitted Business that will become on the date of acquisition thereof a Restricted Subsidiary of such Person (including by merger, consolidation, acquisition of assets or
redesignation). 

  
 23 

 “Responsible Officer” means, when used with respect to the Trustee, any officer
in the Corporate Trust Office of the Trustee who customarily performs functions similar to those performed by the persons who at the time shall be such officers, respectively, or to whom any corporate trust matter is referred because of such
officer’s knowledge of and familiarity with the particular subject, and who, in each case, shall have direct responsibility for the administration of this Indenture. 

“Restricted Security” means a Note that constitutes a “Restricted Security” within the meaning of Rule 144(a)(3)
under the Securities Act; provided, however, that the Trustee shall be entitled to request and conclusively rely on an Opinion of Counsel with respect to whether any Note constitutes a Restricted Security. 

“Restricted Subsidiary” means, with respect to a Person, any Subsidiary of such Person other than an Unrestricted Subsidiary.
Unless the context otherwise requires or it is otherwise stated, any reference herein to a “Restricted Subsidiary” shall be to a Restricted Subsidiary of the Partnership. For the avoidance of doubt, the Issuers are considered Restricted
Subsidiaries of Parent for purposes of this Indenture; provided that references to Restricted Subsidiaries that are not Subsidiary Guarantors shall not include the Issuers. 

“Rule 144A” means Rule 144A under the Securities Act. 

“S&P” means Standard & Poor’s Ratings Services and its successors. 

“Sale and Leaseback Transaction” means any direct or indirect arrangement with any Person or to which any such Person is a
party, providing for the leasing to Parent or any Restricted Subsidiary of Parent of any property, whether owned by Parent or any such Restricted Subsidiary at the Issue Date or later acquired, which has been or is to be sold or transferred by
Parent or any such Restricted Subsidiary to such Person or any other Person from whom funds have been or are to be advanced by such Person on the security of such property. 

“SEC” means the U.S. Securities and Exchange Commission. 

“Secured Indebtedness” means any Indebtedness, to the extent secured by a Lien upon the property of Parent or any of its
Restricted Subsidiaries. 
 “Securities Act” means the U.S. Securities Act of 1933, as amended, or any successor statute or
statutes thereto. 
 “Significant Subsidiary,” with respect to Parent, means any Restricted Subsidiary of Parent that
satisfies the criteria for a “significant subsidiary” set forth in Rule 1-02(w) of Regulation S-X under the Exchange Act. 

“Spin-Off” means the distribution by Ensign to the holders of Ensign’s Common Stock on a pro rata basis all of the
outstanding shares of Parent’s Common Stock, together with an additional cash distribution, as described in the Offering Memorandum. 

“Spin-Off Effective Date” means the effective date of the Spin-Off. 

“Spin-Off Expenses” means any charges, fees, costs or expenses (including all legal, accounting, advisory, financing-related
or other transaction-related charges, fees, costs and expenses and any bonuses or success fee payments and amortization or write-offs of debt issuance costs, deferred financing costs, premiums and prepayment penalties) incurred or paid by Parent or
any of its Restricted Subsidiaries in connection with the Spin-Off and other Transactions. 

  
 24 

 “Stated Maturity” means: 

(1) with respect to any debt security, the date specified in such debt security as the fixed date on which the final installment of principal
of such debt security is due and payable; and 
 (2) with respect to any scheduled installment of principal of or interest on any debt
security, the date specified in such debt security as the fixed date on which such installment is due and payable. 
 provided, that Stated Maturity
shall not include any contingent obligations to repay, redeem or repurchase any such interest or principal prior to the date originally scheduled for the payment thereof. 

“subordinated” and “subordinate” when used with respect to Indebtedness relative to other Indebtedness means
that such first Indebtedness is subordinate or junior in right of payment to such other Indebtedness. Indebtedness will not be considered subordinate or junior in right of payment to any other Indebtedness solely by virtue of being unsecured or
secured to a greater or lesser extent or with greater or lower priority or by virtue of structural subordination or with different collateral or as a result of provisions that apply proceeds or amounts received by the borrower, obligor or issuer
following a default or exercise of remedies in a certain order of priority. 
 “Subsidiary” means, with respect to any
Person, (i) any corporation, association or other business entity of which more than 50% of the voting power of the outstanding Voting Stock is owned, directly or indirectly, by such Person and one or more other Subsidiaries of such Person and
(ii) any partnership, limited liability company, association, joint venture or other entity in which such Person and/or one or more other Subsidiaries of such Person has more than a 50% equity interest at the time, and in each of clauses
(i) and (ii) which would be consolidated with those of such Person in its consolidated financial statements in accordance with GAAP, if such statements were prepared as of such date. 

“Subsidiary Guarantee” means a Note Guarantee by a Subsidiary Guarantor. 

“Subsidiary Guarantors” means (i) each Restricted Subsidiary of the Issuers on the Issue Date (other than the Real
Property Non-Guarantor Subsidiaries) and (ii) each other Person that is required to become a Guarantor by the terms of this Indenture after the Issue Date, in each case, until such Person is released from its Subsidiary Guarantee. 

“Temporary Cash Investment” means any of the following: 

(1) United States dollars; 
 (2)
direct obligations of the United States of America or any agency, subdivision or instrumentality thereof or obligations fully and unconditionally guaranteed or insured by the United States of America or any agency, subdivision or instrumentality
thereof; 
 (3) time deposit accounts, term deposit accounts, time deposits, bankers’ acceptances, certificates of deposit, Eurodollar
time deposits and money market deposits maturing within twelve months or less of the date of acquisition thereof issued by a bank or trust company which is organized under the laws of the United States of America or any state or jurisdiction
thereof, and which bank or trust company has capital, surplus and undivided profits aggregating in excess of $500.0 million and has outstanding debt which is rated “A” (or such similar equivalent rating) or higher by at least one
“nationally recognized statistical rating organization” (within the meaning of Rule 15c3-l(c)(2)(vi)(F) under the Exchange Act) or any money-market fund sponsored by a registered broker dealer or mutual fund distributor (in each case,
determined at the time of acquisition thereof); 
 (4) repurchase obligations with a term of not more than 30 days for underlying securities
of the types described in clauses (2) and (3) above entered into with a bank meeting the qualifications described in clause (3) above; 

(5) commercial paper, maturing not more than one year after the date of acquisition, issued by a Person (other than an Affiliate of Parent)
organized and in existence under the laws of the United States of America or any state or jurisdiction thereof with a rating at the time as of which any investment therein is made of “P-2” (or

  
 25 

 
higher) according to Moody’s or “A-2” (or higher) according to S&P (or if neither S&P nor Moody’s shall be rating such commercial paper, a similar equivalent rating or
higher by another nationally recognized statistical rating organization (within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act (or any successor provision))) (in each case, determined at the time of acquisition thereof); 

(6) securities with maturities of one year or less from the date of acquisition issued or fully and unconditionally guaranteed by any state,
commonwealth or territory of the United States of America, or by any political subdivision or taxing authority thereof, and rated with at least an investment grade rating by S&P or Moody’s (or if neither S&P nor Moody’s shall be
rating such commercial paper, a similar equivalent rating or higher by another nationally recognized statistical rating organization (within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act (or any successor provision))) (in each case,
determined at the time of acquisition thereof); 
 (7) commercial paper, maturing not more than 90 days after the date of acquisition,
issued by any Person incorporated in the United States with a rating at the time as of which any investment therein is made of “A-2” (or higher) according to S&P or “P-2” (or higher) according to Moody’s (or if neither
S&P nor Moody’s shall be rating such commercial paper, a similar equivalent rating or higher by another nationally recognized statistical rating organization (within the meaning of Rule 15c3-1(c)(2)(vi)(F) under the Exchange Act (or any
successor provision))); and 
 (8) mutual funds investing primarily in investments that constitute Temporary Cash Investments of the kinds
described in clauses (1) through (7) of this definition. 
 “Total Assets” means, for any Person as of any date
of determination, the sum of: (i) in the case of any Real Estate Assets that were owned by such Person or any of its Restricted Subsidiaries as of the Issue Date, the Real Estate Revenues for such Real Estate Assets, divided by 0.0925,
plus (ii) the cost (original cost plus capital improvements before depreciation and amortization) of all Real Estate Assets acquired after the Issue Date that are then owned by such Person or any of its Restricted Subsidiaries,
plus (iii) the book value of all assets (excluding Real Estate Assets and intangibles) of such Person and its Restricted Subsidiaries on a consolidated basis determined in accordance with GAAP as of the end of the most recently completed
fiscal quarter for which internal financial statements are available; provided, that at any time before internal financial statements are available for the quarter ended June 30, 2014, the book value of all assets (excluding Real Estate
Assets and intangibles) of such Person and its Restricted Subsidiaries on a consolidated basis shall be determined substantially consistent with the pro forma balance sheet included in the Offering Memorandum. 

“Total Unencumbered Assets” means, for any Person as of any date, the Total Assets of such Person and its Restricted
Subsidiaries as of such date, to the extent they do not secure any portion of Secured Indebtedness, on a consolidated basis determined in accordance with GAAP. 

“Trade Payables” means, with respect to any Person, any accounts payable or any other indebtedness or monetary obligation to
trade creditors created, assumed or guaranteed by such Person or any of its Subsidiaries arising in the ordinary course of business in connection with the acquisition of goods or services. 

“Transaction Agreements” means the Separation and Distribution Agreement (including the contribution agreement contemplated
thereby), the Master Leases, the Opportunities Agreement, the Transition Services Agreement, the Tax Matters Agreement and the Employee Matters Agreement, each as described in the Offering Memorandum (other than the Master Leases) and in each case,
as it may be amended, restated, replaced or otherwise modified from time to time in accordance with, or as not prohibited by, this Indenture. 

“Transaction Date” means, with respect to the Incurrence of any Indebtedness by Parent or any of its Restricted Subsidiaries,
the date such Indebtedness is to be Incurred and, with respect to any Restricted Payment, the date such Restricted Payment is to be made. 

“Transactions” means, collectively, (a) the Spin-Off and the other transactions contemplated thereby, including the
entering into of the Transaction Agreements, (b) the issuance of the Notes, (c) the entering into of the Credit Agreement and related documents and the borrowings thereunder on the Issue Date or the Spin-Off Effective

  
 26 

 
Date, as applicable, (d) the entering into of the GECC Loan and related documents and the borrowings thereunder, (e) the Purging Distribution, (f) any other transactions defined as
“Transactions” in the Offering Memorandum and (g) the payment of fees and expenses in connection with the foregoing. 

“Trust Indenture Act” means the Trust Indenture Act of 1939, as amended. 

“Trustee” means the party named as such in this Indenture until a successor replaces it in accordance with the provisions of
this Indenture and thereafter means such successor. 
 “Unrestricted Subsidiary” means 

(1) any Subsidiary of the Issuers that at the time of determination shall be designated an Unrestricted Subsidiary by the Board of Directors
of Parent in the manner provided below; and 
 (2) any Subsidiary of an Unrestricted Subsidiary. 

Except during a Suspension Period, the Board of Directors of Parent may designate any Subsidiary (including any newly acquired or newly formed
Subsidiary of the Issuers) to be an Unrestricted Subsidiary unless such Subsidiary owns any Capital Stock of, or owns or holds any Lien on any property of, Parent or any of its Restricted Subsidiaries; provided, however, that: 

(i) any guarantee by Parent or any of its Restricted Subsidiaries of any Indebtedness of the Subsidiary being so designated
shall be deemed an “Incurrence” of such Indebtedness and an “Investment” by Parent or such Restricted Subsidiary (or all, if applicable) at the time of such designation; 

(ii) either (i) the Subsidiary to be so designated has total assets of $1,000 or less or (ii) if such Subsidiary has
assets greater than $1,000, such designation would be permitted under Section 4.09; and 
 (iii) if applicable,
the Incurrence of Indebtedness and the Investment referred to in clause (i) of this proviso would be permitted under Section 4.08 and Section 4.09. 

The Board of Directors of Parent may designate any Unrestricted Subsidiary to be a Restricted Subsidiary; provided, however, that: 

 

	 	(x)	no Default or Event of Default shall have occurred and be continuing at the time of or after giving effect to such designation; and 

  

	 	(y)	all Liens and Indebtedness of such Unrestricted Subsidiary outstanding immediately after such designation would, if Incurred at such time, have been permitted to be Incurred (and shall be deemed to have been Incurred)
for all purposes of this Indenture. 

 Any such designation by the Board of Directors of Parent shall be evidenced to the
Trustee by delivering to the Trustee an Officer’s Certificate certifying that such designation complied with the foregoing provisions. 

“Unsecured Indebtedness” means any Indebtedness of Parent or any of its Restricted Subsidiaries that is not Secured
Indebtedness. 
 “U.S. Government Obligations” means direct obligations of, obligations guaranteed by, or participations in
pools consisting solely of obligations of or obligations guaranteed by, the United States of America for the payment of which obligations or guarantee the full faith and credit of the United States of America is pledged and that are not callable or
redeemable at the option of the issuer thereof. 
 “U.S. Legal Tender” means such coin or currency of the United States of
America that at the time of payment shall be legal tender for the payment of public and private debts. 

  
 27 

 “U.S.A. Patriot Act” means the Uniting and Strengthening America by Providing
Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001, Pub. L. 107-56, as amended and signed into law October 26, 2001. 

“Voting Stock” means with respect to any Person, Capital Stock of any class or kind ordinarily having the power to vote for
the election of directors, managers or other voting members of the governing body of such Person. 
 “Wholly Owned” means,
with respect to any Subsidiary of any Person, the ownership of all of the outstanding Capital Stock of such Subsidiary (other than any director’s qualifying shares or Investments by individuals mandated by applicable law) by such Person or one
or more Wholly Owned Subsidiaries of such Person. 

  
 28 

 Other Definitions. 
  

			
	 Term
	  	Defined in Section
	 “144A Global Note”
	  	2.01
	 “accelerated debt”
	  	6.01
	 “Additional Notes”
	  	2.02
	 “Authentication Order”
	  	2.02
	 “Covenant Defeasance”
	  	8.02
	 “Event of Default”
	  	6.01
	 “Excess Proceeds”
	  	4.11
	 “Global Notes”
	  	2.01
	 “Guaranteed Indebtedness”
	  	4.14
	 “IAI Global Note”
	  	2.01
	 “Initial Global Notes”
	  	2.01
	 “Initial Notes”
	  	2.02
	 “Issuer” or “Issuers”
	  	Preamble
	 “Legal Defeasance”
	  	8.02
	 “payment default debt”
	  	6.01
	 “Mandatory Redemption Date”
	  	Section 8 of Note
	 “Mandatory Redemption Event”
	  	3.07(a)
	 “Participants”
	  	2.14
	 “Paying Agent”
	  	2.03
	 “payment default debt”
	  	6.01
	 “Permitted Indebtedness”
	  	4.08
	 “Physical Notes”
	  	2.01
	 “Refunding Capital Stock”
	  	4.09(c)(3)
	 “Registrar”
	  	2.03
	 “Regulation S Global Note”
	  	2.01
	 “Restricted Payments”
	  	4.09
	 “Reversion Date”
	  	4.16
	 “Special Mandatory Redemption Notice”
	  	3.07(a)
	 “Special Mandatory Redemption Price”
	  	3.07(a)
	 “Suspension Period”
	  	4.16

 SECTION 1.02. Incorporation by Reference of Trust Indenture Act. Whenever this Indenture refers to a
provision of the Trust Indenture Act, such provision is incorporated by reference in, and made a part of, this Indenture. The following Trust Indenture Act terms used in this Indenture have the following meanings: 

“indenture securities” means the Notes. 

“obligor” on the indenture securities means the Issuers, any Guarantor or any other obligor on the Notes. 

All other Trust Indenture Act terms used in this Indenture that are defined by the Trust Indenture Act, defined by Trust Indenture Act
reference to another statute or defined by SEC rule and not otherwise defined herein have the meanings assigned to them therein. 
 SECTION
1.03. Rules of Construction. Unless the context otherwise requires: 
 (a) a term has the meaning assigned to it; 

  
 29 

 (b) an accounting term not otherwise defined has the meaning assigned to it in accordance with
GAAP; 
 (c) “or” is not exclusive; 

(d) words in the singular include the plural, and words in the plural include the singular; 

(e) “herein,” “hereof” and other words of similar import refer to this Indenture as a whole and not to any particular
Article, Section or other subdivision; 
 (f) the words “including,” “includes” and similar words shall be deemed to be
followed by “without limitation”; 
 (g) unsecured Indebtedness shall not be deemed to be subordinate or junior to secured
Indebtedness merely by virtue of its nature as unsecured Indebtedness; 
 (h) secured Indebtedness shall not be deemed to be subordinate or
junior to any other secured Indebtedness merely because it has a junior priority with respect to the same collateral; 
 (i) the principal
amount of any noninterest bearing or other discount security at any date shall be the principal amount thereof that would be shown on a balance sheet of the issuer dated such date prepared in accordance with GAAP; 

(j) the amount of any Preferred Stock that does not have a fixed redemption, repayment or repurchase price shall be the maximum liquidation
value of such Preferred Stock; 
 (k) all references to the date the Notes were originally issued shall refer to the Issue Date, except as
otherwise specified; 
 (l) references to the Issuers mean either the Issuers or the applicable Issuer, as the context requires, and
references to an Issuer mean either such Issuer or the Issuers, as the context requires; and 
 (m) whenever in this Indenture there is
mentioned, in any context, interest payable under or with respect to any Notes, such mention shall be deemed to include mention of the payment of Additional Interest, to the extent that, in such context, Additional Interest is payable in respect
thereof pursuant to Section 1 of the Notes. 
 ARTICLE TWO 

The Notes 
 SECTION 2.01.
Form and Dating. The Notes and the Trustee’s certificate of authentication shall be substantially in the form of Exhibit A hereto. The Notes may have notations, legends or endorsements required by law, stock exchange rule or
usage. The Issuers shall approve the form of the Notes and any notation, legend or endorsement on them. Each Note shall be dated the date of its issuance and show the date of its authentication. 

The terms and provisions contained in the Notes shall constitute, and are hereby expressly made, a part of this Indenture and, to the extent
applicable, the Issuers, the Guarantors and the Trustee, by their execution and delivery of this Indenture, expressly agree to such terms and provisions and to be bound thereby. 

Notes offered and sold in reliance on Rule 144A shall be issued initially in the form of a single permanent global Note in registered form,
substantially in the form set forth in Exhibit A (the “144A Global Note”), deposited with the Trustee, as custodian for the Depository, duly executed by the Issuers and authenticated by the Trustee as hereinafter provided and
shall bear the legends set forth in Exhibit B1 and Exhibit B2. 
 Notes offered and sold in offshore transactions in reliance
on Regulation S shall be issued initially in the form of a single permanent global Note in registered form, substantially in the form of Exhibit A (the “Regulation S Global Note”), deposited with the Trustee, as custodian for
the Depository, duly executed by the Issuers and authenticated by the Trustee as hereinafter provided and shall bear the legends set forth in Exhibit B1 and Exhibit B2. 

 

  
 30 

 The initial offer and resale of the Notes shall not be to an Institutional Accredited Investor.
The Notes resold to Institutional Accredited Investors in connection with the first transfer made pursuant to Section 2.15(a) shall be issued initially in the form of a single permanent Global Note in registered form, substantially in
the form set forth in Exhibit A (the “IAI Global Note,” and, together with the 144A Global Note and the Regulation S Global Note, the “Initial Global Notes”), deposited with the Trustee, as custodian for the
Depository, duly executed by the Issuers and authenticated by the Trustee as hereinafter provided and shall bear the legend set forth in Exhibit B1 and Exhibit B2. 

Notes issued after the Issue Date shall be issued initially in the form of one or more global Notes in registered form, substantially in the
form set forth in Exhibit A, deposited with the Trustee, as custodian for the Depository, duly executed by the Issuers and authenticated by the Trustee as hereinafter provided and shall bear the legends set forth in Exhibit B2 and any
legends required by applicable law (together with the Initial Global Notes, the “Global Notes”) or as Physical Notes. 

The aggregate principal amount of the Global Notes may from time to time be increased or decreased by adjustments made on the records of the
Trustee, as custodian for the Depository, as hereinafter provided. Notes issued in exchange for interests in a Global Note pursuant to Section 2.15 may be issued in the form of permanent certificated Notes in registered form in
substantially the form set forth in Exhibit A and bearing the applicable legends, if any, (the “Physical Notes”). 

Additional Notes ranking pari passu with the Initial Notes (as defined in Section 2.02) may be created and issued from time
to time by the Issuers without notice to or consent of the Holders. Except as described under Article Nine, the Initial Notes and any Additional Notes subsequently issued under this Indenture will be treated as a single class for all purposes under
this Indenture, including waivers, amendments, redemptions and offers to purchase (other than special redemptions or offers to purchase related to a particular transaction or an escrow funding and specific to an issuance of Notes (including any
special mandatory redemption pursuant to Section 3.07)), and shall vote together as one class on all matters with respect to the Notes; provided further that if the Additional Notes are not fungible with the Notes for U.S. Federal
income tax purposes the Additional Notes will have a separate CUSIP number, if applicable. Unless the context requires otherwise, references to “Notes” for all purposes of this Indenture include any Additional Notes that are actually
issued. With respect to any Additional Notes issued subsequent to the date of this Indenture notwithstanding anything else herein, if applicable, (1) all references in Exhibit A herein and elsewhere in this Indenture to a Registration
Rights Agreement shall be to the registration rights agreement entered into with respect to such Additional Notes, (2) any references in Exhibit A and elsewhere in this Indenture to the Exchange Offer and Exchange Securities, and any
other term related thereto shall be to such term as they are defined in such registration rights agreement entered into with respect to such Additional Notes and (3) all time periods described in the Notes with respect to the registration of
such Additional Notes shall be as provided in such Registration Rights Agreement entered into with respect to such Additional Notes. 

SECTION 2.02. Execution, Authentication and Denomination; Additional Notes; Exchange Securities. One Officer of each of the Issuers
(who shall have been duly authorized by all requisite corporate, partnership or other actions, as applicable) shall sign the Notes for each Issuer by manual, facsimile, .pdf attachment or other electronically transmitted signature. If an Officer
whose signature is on a Note was an Officer at the time of such execution but no longer holds that office at the time the Trustee authenticates the Note, the Note shall nevertheless be valid. 

A Note shall not be valid until an authorized signatory of the Trustee manually signs the certificate of authentication on the Note. The
signature shall be conclusive evidence that the Note has been authenticated under this Indenture. 
 The Trustee shall authenticate
(i) on the Issue Date, Notes for original issue in the aggregate principal amount not to exceed $260.0 million (the “Initial Notes”), (ii) additional Notes (the “Additional Notes”) in an unlimited amount
(so long as not otherwise prohibited by the terms of this Indenture, including Section 4.08) and 

  
 31 

 
(iii) Exchange Securities (x) in exchange for a like principal amount of Initial Notes or (y) in exchange for a like principal amount of Additional Notes in each case upon a
written order of the Issuers in the form of a certificate of an Officer of each Issuer (an “Authentication Order”). Each such Authentication Order shall specify the amount of Notes to be authenticated and the date on which the Notes
are to be authenticated, whether the Notes are to be Initial Notes, Exchange Securities or Additional Notes and whether the Notes are to be issued as certificated Notes or Global Notes or such other information as the Trustee may reasonably request.
In addition, with respect to authentication pursuant to clause (ii) or (iii) of the first sentence of this paragraph, the first such Authentication Order from the Issuers shall be accompanied by an Opinion of Counsel of the Issuers in a
form reasonably satisfactory to the Trustee. Notwithstanding Section 11.04, no Opinion of Counsel of the Issuers shall be required with respect to authentication pursuant to clause (i) of the first sentence of this paragraph. 

The Additional Notes shall bear any legend required by applicable law. 

The Trustee may appoint an authenticating agent reasonably acceptable to the Issuers to authenticate Notes. Unless otherwise provided in the
appointment, an authenticating agent may authenticate Notes whenever the Trustee may do so. Each reference in this Indenture to authentication by the Trustee includes authentication by such agent. An authenticating agent has the same rights as an
Agent to deal with the Issuers and Affiliates of the Issuers. 
 The Notes shall be issuable only in registered form without coupons in
denominations of $2,000 and integral multiples of $1,000 in excess thereof. 
 SECTION 2.03. Registrar and Paying Agent. The Issuers
shall maintain or cause to be maintained an office or agency in the United States of America where (a) Notes may be presented or surrendered for registration of transfer or for exchange (“Registrar”), (b) Notes may,
subject to Section 2 of the Notes, be presented or surrendered for payment (“Paying Agent”) and (c) notices and demands to or upon the Issuers in respect of the Notes and this Indenture may be served. The Issuers may also
from time to time designate one or more other offices or agencies where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations; provided, however, that no such designation or
rescission shall in any manner relieve the Issuers of their obligation to maintain or cause to be maintained an office or agency in the United States of America, for such purposes. The Issuers may act as Registrar or Paying Agent, except that for
the purposes of Articles Three and Eight and Sections 4.07 and 4.11, neither the Issuers nor any Affiliate of the Issuers shall act as Paying Agent. The Registrar, as an agent of the Issuers, shall keep a register, including ownership,
of the Notes and of their transfer and exchange. The Issuers, upon written notice to the Trustee, may have one or more co-registrars and one or more additional Paying Agents reasonably acceptable to the Trustee. The term “Registrar”
includes any co-registrar and the term “Paying Agent” includes any additional Paying Agent. The Issuers initially appoint the Trustee as Registrar and Paying Agent until such time as the Trustee has resigned or a successor has been
appointed. 
 The Issuers shall enter into an appropriate agency agreement with any Agent not a party to this Indenture, which agreement
shall implement the provisions of this Indenture that relate to such Agent. The Issuers shall notify the Trustee, in advance, of the name and address of any such Agent. If the Issuers fail to maintain a Registrar or Paying Agent, the Trustee shall
act as such. 
 SECTION 2.04. Paying Agent To Hold Assets in Trust . The Issuers shall require each Paying Agent other than the
Trustee or the Issuers or any Affiliate of the Issuers to agree in writing that each Paying Agent shall hold in trust for the benefit of Holders or the Trustee all assets held by the Paying Agent for the payment of principal of, or interest on, the
Notes (whether such assets have been distributed to it by the Issuers or any other obligor on the Notes), and shall notify the Trustee in writing of any Default by the Issuers (or any other obligor on the Notes) in making any such payment. The
Issuers at any time may require a Paying Agent to distribute all assets held by it to the Trustee and account for any assets disbursed and the Trustee may at any time during the continuance of any payment Default, upon written request to a Paying
Agent, require such Paying Agent to distribute all assets held by it to the Trustee and to account for any assets distributed. Upon distribution to the Trustee of all assets that shall have been delivered by the Issuers to the Paying Agent, the
Paying Agent shall have no further liability for such assets. 

  
 32 

 SECTION 2.05. Holder Lists. The Trustee shall preserve in as current a form as is
reasonably practicable the most recent list available to it of the names and addresses of Holders. If the Trustee is not the Registrar, the Issuers shall furnish to the Trustee at least two Business Days prior to each Interest Payment Date and at
such other times as the Trustee may request in writing a list, in such form and as of such date as the Trustee may reasonably require, of the names and addresses of Holders, which list may be conclusively relied upon by the Trustee. 

SECTION 2.06. Transfer and Exchange. Subject to Sections 2.14 and 2.15, when Notes are presented to the Registrar with a
request to register the transfer of such Notes or to exchange such Notes for an equal principal amount of Notes of other authorized denominations, the Registrar shall register the transfer or make the exchange as requested if its requirements for
such transaction are met; provided, however, that the Notes surrendered for transfer or exchange shall be duly endorsed or accompanied by a written instrument of transfer in form satisfactory to the Issuers and the Registrar, duly executed by
the Holder thereof or his or her attorney duly authorized in writing. To permit registrations of transfers and exchanges, the Issuers shall execute and the Trustee shall authenticate Notes at the Registrar’s request. No service charge shall be
made for any registration of transfer or exchange, but the Issuers may require payment of a sum sufficient to cover any transfer tax or similar governmental charge payable in connection therewith. 

Without the prior written consent of the Issuers, the Registrar shall not be required to register the transfer of or exchange of any Note
(i) during a period beginning at the opening of business 15 days before the giving of a notice of redemption of Notes and ending at the close of business on the day of the giving of such notice, (ii) selected for redemption in whole or in
part pursuant to Article Three, except the unredeemed portion of any Note being redeemed in part and (iii) beginning at the opening of business on any Record Date and ending on the close of business on the related Interest Payment Date. 

Any Holder of a beneficial interest in a Global Note shall, by acceptance of such beneficial interest, agree that transfers of beneficial
interests in such Global Notes may be effected only through a book-entry system maintained by the Holder of such Global Note (or its agent) in accordance with the applicable legends thereon, and that ownership of a beneficial interest in the Note
shall be required to be reflected in a book-entry system. 
 SECTION 2.07. Replacement Notes. If a mutilated Note is surrendered to
the Trustee or if the Holder of a Note claims that the Note has been lost, destroyed or wrongfully taken, the Issuers shall issue and the Trustee shall authenticate, upon receipt of an Authentication Order, a replacement Note if the Trustee’s
requirements are met. Such Holder shall provide an indemnity bond or other indemnity, sufficient in the judgment of both the Issuers and the Trustee, to protect the Issuers, the Trustee or any Agent from any loss that any of them may suffer if a
Note is replaced. The Issuers may charge such Holder for its out-of-pocket expenses in replacing a Note pursuant to this Section 2.07, including fees and expenses of counsel and of the Trustee. 

Every replacement Note is an additional obligation of the Issuers. 

The provisions of this Section 2.07 are exclusive and shall preclude (to the extent lawful) all other rights and remedies with
respect to the replacement or payment of lost, destroyed or wrongfully taken Notes. 
 SECTION 2.08. Outstanding Notes. Notes
outstanding at any time are all the Notes that have been authenticated by the Trustee except those cancelled by it, those delivered to it for cancellation and those described in this Section 2.08 as not outstanding. A Note does not cease
to be outstanding because the Issuers, the Guarantors or any of their respective Affiliates hold the Note (subject to the provisions of Section 2.09). 

If a Note is replaced pursuant to Section 2.07 (other than a mutilated Note surrendered for replacement), it ceases to be
outstanding unless a Responsible Officer of the Trustee receives proof satisfactory to it that the replaced Note is held by a bona fide purchaser. A mutilated Note ceases to be outstanding upon surrender of such Note and replacement thereof pursuant
to Section 2.07. 
 If the principal amount of any Note is considered paid under Section 4.01, it ceases to be
outstanding and interest ceases to accrue. If on a Redemption Date or the Stated Maturity the Trustee or Paying Agent (other than the Issuers or an Affiliate thereof) holds U.S. Legal Tender or U.S. Government Obligations sufficient to pay all of
the principal and interest due on the Notes payable on that date, then on and after that date such Notes cease to be outstanding and interest on them ceases to accrue. 

  
 33 

 SECTION 2.09. Treasury Notes. In determining whether the Holders of the required principal
amount of Notes have concurred in any direction, waiver or consent, Notes owned by the Issuers or any of their Affiliates shall be disregarded as required by the Trust Indenture Act, except that, for the purposes of determining whether the Trustee
shall be protected in relying on any such direction, waiver or consent, only Notes that a Responsible Officer of the Trustee actually knows are so owned shall be disregarded. Notes so owned which have been pledged in good faith shall not be
disregarded if the pledgee establishes to the satisfaction of the Trustee the pledgee’s right to deliver any such direction, waiver or consent with respect to the Notes and that the pledgee is not the Issuers or any obligor upon the Notes or
any Affiliate of the Issuers or of such other obligor. 
 SECTION 2.10. Temporary Notes. Until definitive Notes are ready for
delivery, the Issuers may prepare and the Trustee shall authenticate temporary Notes. Temporary Notes shall be substantially in the form of definitive Notes but may have variations that the Issuers consider appropriate for temporary Notes. Without
unreasonable delay, the Issuers shall prepare and the Trustee shall authenticate definitive Notes in exchange for temporary Notes. Until such exchange, temporary Notes shall be entitled to the same rights, benefits and privileges as definitive
Notes. Notwithstanding the foregoing, so long as the Notes are represented by a Global Note, such Global Note may be in typewritten form. 

SECTION 2.11. Cancellation. The Issuers at any time may deliver Notes to the Trustee for cancellation. The Registrar and the Paying
Agent shall forward to the Trustee any Notes surrendered to them for transfer, exchange or payment. The Trustee, or at the direction of the Trustee, the Registrar or the Paying Agent (other than the Issuers or an Affiliate of the Issuers), and no
one else, shall cancel and, at the written direction of the Issuers, shall dispose of all Notes surrendered for transfer, exchange, payment or cancellation in accordance with its customary procedures. Subject to Section 2.07, the Issuers
may not issue new Notes to replace Notes that they have paid or delivered to the Trustee for cancellation. If the Issuers or any Guarantor shall acquire any of the Notes, such acquisition shall not operate as a redemption or satisfaction of the
Indebtedness represented by such Notes unless and until the same are surrendered to the Trustee for cancellation pursuant to this Section 2.11. 

SECTION 2.12. Defaulted Interest. If the Issuers default in a payment of interest on the Notes, they shall pay the defaulted interest,
plus (to the extent lawful) any interest payable on the defaulted interest, in any lawful manner. The Issuers may pay the defaulted interest to the persons who are Holders on a subsequent special record date, which date shall be the 15th day next preceding the date fixed by the Issuers for the payment of defaulted interest or the next succeeding Business Day if such date is not a Business Day. At least 15 days before any such
subsequent special record date, the Issuers shall give to each Holder, with a copy to the Trustee, a notice (which may be given in accordance with applicable Depositary procedures) that states the subsequent special record date, the payment date and
the amount of defaulted interest, and interest payable on such defaulted interest, if any, to be paid. 
 SECTION 2.13. CUSIP and ISIN
Numbers . The Issuers in issuing the Notes may use “CUSIP” or “ISIN” numbers, and if so, the Trustee shall use the “CUSIP” or “ISIN” numbers in notices of redemption, repurchase or exchange as a
convenience to Holders; provided, however, that any such notice may state that no representation is made as to the correctness or accuracy of the “CUSIP” or “ISIN” numbers printed in the notice or on the Notes, and that
reliance may be placed only on the other identification numbers printed on the Notes. The Issuers shall promptly notify the Trustee of any change in the “CUSIP” or “ISIN” numbers. 

SECTION 2.14. Book-Entry Provisions for Global Notes. (a) The Global Notes initially shall (i) be registered in the name of
the Depository or the nominee of such Depository, (ii) be delivered to the Trustee as custodian for such Depository and (iii) bear legends as set forth in Exhibit B, as applicable. 

Members of, or participants in, the Depository (“Participants”) shall have no rights under this Indenture with respect to any
Global Note held on their behalf by the Depository, or the Trustee as its custodian, or under the Global Note, and the Depository may be treated by the Issuers, the Trustee and any agent of the Issuers or the Trustee as the absolute owner of the
Global Note for all purposes whatsoever. Notwithstanding the foregoing, nothing herein shall prevent the Issuers, the Trustee or any agent of the Issuers or the Trustee from giving effect to any written certification, proxy or other authorization
furnished by the Depository or impair, as between the Depository and Participants, the operation of customary practices governing the exercise of the rights of a Holder of any Note. 

  
 34 

 (b) Transfers of Global Notes shall be limited to transfers in whole, but not in part, to the
Depository, its successors or their respective nominees. Interests of beneficial owner in the Global Notes may be transferred or exchanged for interests in other Global Notes in accordance with Section 2.15. Interests of beneficial
ownership in the Global Notes may be transferred or exchanged for Physical Notes in accordance with the rules and procedures of the Depository and the provisions of Section 2.15. In addition, Physical Notes shall be transferred to all
beneficial owners in exchange for their beneficial interests in Global Notes if (i) the Depository notifies the Issuers that it is unwilling or unable to act as Depository for any Global Note, the Issuers so notifies the Trustee in writing and
a successor Depository is not appointed by the Issuers within 90 days of such notice or (ii) a Default or Event of Default has occurred and is continuing and the Registrar has received a written request from any owner of a beneficial interest
in a Global Note to issue Physical Notes. Upon any issuance of a Physical Note in accordance with this Section 2.14(b) the Trustee is required to register such Physical Note in the name of, and cause the same to be delivered to, such
person or persons (or the nominee of any thereof). All such Physical Notes shall bear the applicable legends, if any. 
 (c) In connection
with any transfer or exchange of a portion of the beneficial interest in a Global Note to beneficial owners pursuant to paragraph (b) of this Section 2.14, the Registrar shall (if one or more Physical Notes are to be issued) reflect
on its books and records the date and a decrease in the principal amount of such Global Note in an amount equal to the principal amount of the beneficial interest in the Global Note to be transferred, and the Issuers shall execute, and the Trustee
shall authenticate and deliver, one or more Physical Notes of authorized denominations in an aggregate principal amount equal to the principal amount of the beneficial interest in the Global Note so transferred. 

(d) In connection with the transfer of a Global Note as an entirety to beneficial owners pursuant to paragraph (b) of this
Section 2.14, such Global Note shall be deemed to be surrendered to the Trustee for cancellation, and (i) the Issuers shall execute and (ii) the Trustee shall upon written instructions from the Issuers authenticate and deliver,
to each beneficial owner identified by the Depository in exchange for its beneficial interest in such Global Note, an equal aggregate principal amount of Physical Notes of authorized denominations. 

(e) Any Physical Note constituting a Restricted Security delivered in exchange for an interest in a Global Note pursuant to paragraph
(b) or (c) of this Section 2.14 shall, except as otherwise provided by Section 2.15, bear the Private Placement Legend. 

(f) The Holder of any Global Note may grant proxies and otherwise authorize any Person, including Participants and Persons that may hold
interests through Participants, to take any action which a Holder is entitled to take under this Indenture or the Notes. 
 SECTION 2.15.
Special Transfer and Exchange Provisions. (a) Transfers to Non-QIB Institutional Accredited Investors. The following provisions shall apply with respect to the registration of any proposed transfer of a Restricted Security to any
Institutional Accredited Investor which is not a QIB: 
 (i) the Registrar shall register the transfer of any Restricted
Security, whether or not such Note bears the Private Placement Legend, if the proposed transferee has delivered to the Registrar a certificate substantially in the form of Exhibit C hereto and any legal opinions and certifications as may
be reasonably requested by the Trustee and the Issuers; 
 (ii) if the proposed transferee is a Participant and the Notes to
be transferred consist of Physical Notes which after transfer are to be evidenced by an interest in the IAI Global Note, upon receipt by the Registrar of the Physical Note and (x) written instructions given in accordance with the
Depository’s and the Registrar’s procedures and (y) the certificate referred to in paragraph (i) above (and any legal opinion or other certifications), the Registrar shall register the transfer and reflect on its books and
records the date and an increase in the principal amount of the IAI Global Note in an amount equal to the principal amount of Physical Notes to be transferred, and the Registrar shall cancel the Physical Notes so transferred; and 

  
 35 

 (iii) if the proposed transferor is a Participant seeking to transfer an interest
in a Global Note, upon receipt by the Registrar of written instructions given in accordance with the Depository’s and the Registrar’s procedures, the Registrar shall register the transfer and reflect on its books and records the date and
(A) a decrease in the principal amount of the Global Note from which such interests are to be transferred in an amount equal to the principal amount of the Notes to be transferred and (B) an increase in the principal amount of the IAI
Global Note in an amount equal to the principal amount of the Notes to be transferred. 
 (b) Transfers to QIBs. The following
provisions shall apply with respect to the registration of any proposed transfer of a Restricted Security to a QIB: 
 (i)
the Registrar shall register the transfer of any Restricted Security, whether or not such Note bears the Private Placement Legend, if such transfer is being made by a proposed transferor who has checked the box provided for on the applicable Global
Note stating that the sale has been made in compliance with the provisions of Rule 144A to a transferee who has signed the certification provided for on the applicable Global Note stating that it is purchasing the Note for its own account or an
account with respect to which it exercises sole investment discretion and that it and any such account is a QIB within the meaning of Rule 144A, and is aware that the sale to it is being made in reliance on Rule 144A and acknowledges that it has
received such information regarding the Issuers as it has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon its foregoing representations in order to claim the
exemption from registration provided by Rule 144A; 
 (ii) if the proposed transferee is a Participant and the Notes to be
transferred consist of Physical Notes which after transfer are to be evidenced by an interest in the 144A Global Note, upon receipt by the Registrar of the Physical Note and written instructions given in accordance with the Depository’s and the
Registrar’s procedures, the Registrar shall register the transfer and reflect on its book and records the date and an increase in the principal amount of the 144A Global Note in an amount equal to the principal amount of Physical Notes to be
transferred, and the Registrar shall cancel the Physical Notes so transferred; and 
 (iii) if the proposed transferor is a
Participant seeking to transfer an interest in the IAI Global Note or the Regulation S Global Note, upon receipt by the Registrar of written instructions given in accordance with the Depository’s and the Registrar’s procedures, the
Registrar shall register the transfer and reflect on its books and records the date and (A) a decrease in the principal amount of the IAI Global Note or the Regulation S Global Note, as the case may be, in an amount equal to the principal
amount of the Notes to be transferred and (B) an increase in the principal amount of the 144A Global Note in an amount equal to the principal amount of the Notes to be transferred. 

(c) Transfers to Non-U.S. Persons. The following provisions shall apply with respect to any transfer of a Restricted Security to a
Non-U.S. Person under Regulation S: 
 (i) the Registrar shall register any proposed transfer of a Restricted Security to a
Non-U.S. Person upon receipt of a certificate substantially in the form of Exhibit D from the proposed transferor and such certifications, legal opinions and other information as the Trustee or the Issuers may reasonably request; 

(ii) if the proposed transferee is a Participant and the Notes to be transferred consist of Physical Notes which after transfer
are to be evidenced by an interest in the Regulation S Global Note, upon receipt by the Registrar of the Physical Note and written instructions given in accordance with the Depository’s and the Registrar’s procedures, the Registrar shall
register the transfer and reflect on its book and records the date and an increase in the principal amount of the Regulation S Global Note in an amount equal to the principal amount of Physical Notes to be transferred, and the Registrar shall cancel
the Physical Notes so transferred; and 

  
 36 

 (iii) if the proposed transferor is a Participant seeking to transfer an interest
in the 144A Global Note or IAI Global Note, upon receipt by the Registrar of (x) written instructions given in accordance with the Depository’s and the Registrar’s procedures and (y) the certificate referred to in paragraph
(i) above (and any legal opinion or other certifications), the Registrar shall register the transfer and reflect on its books and records the date and (A) a decrease in the principal amount of the 144A Global Note or IAI Global Note Global
Note, as the case may be, in an amount equal to the principal amount of the Notes to be transferred and (B) an increase in the principal amount of the Regulation S Global Note in an amount equal to the principal amount of the Notes to be
transferred. 
 (d) Exchange Offer. Upon the occurrence of an Exchange Offer in accordance with the applicable Registration Rights
Agreement, the Issuers shall issue and, upon receipt of an Authentication Order in accordance with Section 2.02, the Trustee shall authenticate one or more Global Notes and/or Physical Notes not bearing the Private Placement Legend in an
aggregate principal amount equal to the principal amount of the beneficial interests in the Initial Global Notes or Physical Notes, as the case may be, validly tendered (and not withdrawn) in accordance with such Exchange Offer and accepted for
exchange in such Exchange Offer. 
 (e) Restrictions on Transfer and Exchange of Global Notes. Notwithstanding any other provisions
of this Indenture, a Global Note may not be transferred as a whole except by the Depository to a nominee of the Depository or by a nominee of the Depository to the Depository or another nominee of the Depository or by the Depository or any such
nominee to a successor Depository or a nominee of such successor Depository. 
 (f) Private Placement Legend. Upon the transfer,
exchange or replacement of Notes not bearing the Private Placement Legend unless otherwise required by applicable law, the Registrar shall deliver Notes that do not bear the Private Placement Legend. Upon the transfer, exchange or replacement of
Notes bearing the Private Placement Legend, the Registrar shall deliver only Notes that bear the Private Placement Legend unless (i) there is delivered to the Trustee an Opinion of Counsel reasonably satisfactory to the Issuers and the Trustee
to the effect that neither such legend nor the related restrictions on transfer are required in order to maintain compliance with the provisions of the Securities Act or (ii) such Note has been offered and sold (including pursuant to an
Exchange Offer) pursuant to an effective registration statement under the Securities Act. 
 (g) General. By its acceptance of any
Note bearing the Private Placement Legend, each Holder of such a Note acknowledges the restrictions on transfer of such Note set forth in this Indenture and in the Private Placement Legend and agrees that it shall transfer such Note only as provided
in this Indenture. 
 The Registrar shall retain copies of all letters, notices and other written communications received pursuant to
Section 2.14 or Section 2.15. The Issuers shall have the right to inspect and make copies of all such letters, notices or other written communications at any reasonable time upon the giving of reasonable written notice to the
Registrar. 
 The Trustee shall have no obligation or duty to monitor, determine or inquire as to compliance with any restrictions on
transfer imposed under this Indenture or under applicable law with respect to any transfer of any interest in any Note (including any transfers between or among Participants or beneficial owners of interests in any Global Note) other than to require
delivery of such certificates and other documentation or evidence as are expressly required by, and to do so if and when expressly required by the terms of, this Indenture, and to examine the same to determine substantial compliance as to form with
the express requirements hereof. 
 The Trustee shall have no responsibility for the actions or omissions of the Depository, or the accuracy
of the books and records of the Depository. 
 (h) Cancellation and/or Adjustment of Global Note. At such time as all beneficial
interests in a particular Global Note have been exchanged for Physical Notes or a particular Global Note has been redeemed, repurchased or canceled in whole and not in part, each such Global Note shall be returned to or retained and canceled by the
Trustee in accordance with Section 2.11 hereof. At any time prior to such cancellation, if any beneficial interest in a Global Note is exchanged for or transferred to a Person who will take delivery thereof in the form of a beneficial
interest in another Global Note or for Physical Notes, the principal amount of Notes represented by such Global Note shall be reduced accordingly and an endorsement shall be made on such Global Note by the Trustee or by the Depository at the
direction of the Trustee to reflect such reduction; and if the beneficial interest is being exchanged for or transferred to a Person who will take delivery thereof in the form of a beneficial interest in another Global Note, such other Global Note
shall be increased accordingly and an endorsement shall be made on such Global Note by the Trustee or by the Depository at the direction of the Trustee to reflect such increase. 

  
 37 

 ARTICLE THREE 

Redemption 
 SECTION 3.01.
Notices to Trustee. The Notes may be redeemed, in whole, or from time to time in part, subject to the conditions and at the redemption prices set forth in Section 5 or Section 6 of the form of Notes set forth in Exhibit A
hereto, which is hereby incorporated by reference and made a part of this Indenture, together with accrued and unpaid interest, if any, to, but not including, the Redemption Date. If the Issuers elect to redeem Notes pursuant to Section 5 or
Section 6 of the Notes, they shall notify the Trustee in writing of the Redemption Date, the Redemption Price and the principal amount of Notes to be redeemed. The Initial Notes are also subject to mandatory redemption as provided in
Section 3.07 hereof and Section 8 of the Notes. Other than in connection with a mandatory redemption as provided in Section 3.07 hereof and Section 8 of the Notes with respect to the Initial Notes, the Issuers shall
give notice of redemption to the Trustee at least 45 days but not more than 75 days before the Redemption Date (unless a shorter notice shall be agreed to by the Trustee in writing), together with such documentation and records as shall enable the
Trustee to select the Notes to be redeemed. 
 SECTION 3.02. Selection of Notes To Be Redeemed. If less than all of the Notes are to
be redeemed at any time pursuant to Section 5 or Section 6 of the Notes, the Trustee shall select Notes for redemption as follows: 
  

	 	(x)	in compliance with the requirements of the principal national securities exchange, if any, on which the Notes are then listed; or 

  

	 	(y)	if the Notes are not so listed, on a pro rata basis, by lot or by such method as the Trustee deems fair and appropriate and in accordance with the Depository’s procedures. 

No Notes of a principal amount of $2,000 or less shall be redeemed in part, and no redemption shall result in a Holder holding a Note of a
principal amount of less than $2,000. 
 SECTION 3.03. Notice of Redemption. At least 30 days but not more than 60 days before a
Redemption Date, the Issuers shall give a notice of redemption by first class mail, postage prepaid, or as otherwise provided in accordance with the procedures of the Depository, to each Holder whose Notes are to be redeemed at its registered
address, except that redemption notices may be given more than 60 days prior to a Redemption Date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of this Indenture pursuant to Article Eight
hereof. In connection with any redemption of Notes (including with the Net Cash Proceeds of an Equity Offering), any such redemption may, at the Issuers’ discretion, be subject to satisfaction of one or more conditions precedent, including any
related Equity Offering. In addition, if such redemption or notice is subject to satisfaction of one or more conditions precedent, such notice may state that, in the Issuers’ discretion, the Redemption Date may be delayed until such time as any
or all such conditions shall be satisfied (or waived by the Issuers in their sole discretion), or such redemption may not occur and such notice may be rescinded in the event that any or all such conditions shall not have been satisfied (or waived by
the Issuers in their sole discretion) by the Redemption Date, or by the Redemption Date so delayed. At the Issuers’ written request, the Trustee shall forward the notice of redemption in the Issuers’ name and at the Issuers’ expense.
Each notice for redemption shall identify the Notes (including the CUSIP or ISIN number) to be redeemed and shall state: 

(1) the Redemption Date; 

(2) the Redemption Price plus accrued interest, if any, to, but not including, the Redemption Date; 

(3) the name and address of the Paying Agent; 

  
 38 

 (4) that Notes called for redemption shall be surrendered to the Paying Agent to
collect the Redemption Price plus accrued interest, if any, to, but not including, the Redemption Date; 
 (5) that,
unless the Issuers default in making the redemption payment, interest on Notes called for redemption ceases to accrue on and after the Redemption Date, and the only remaining right of the Holders of such Notes is to receive payment of the Redemption
Price upon surrender to the Paying Agent of the Notes redeemed; 
 (6) if any Note is being redeemed in part, the portion of
the principal amount of such Note to be redeemed and that, after the Redemption Date, and upon surrender and cancellation of such Note, a new Note or Notes in aggregate principal amount equal to the unredeemed portion thereof will be issued; 

(7) if fewer than all the Notes are to be redeemed, the identification of the particular Notes (or portion thereof) to be
redeemed, as well as the aggregate principal amount of Notes to be redeemed and the aggregate principal amount of Notes to be outstanding after such partial redemption; and 

(8) the Section of the Notes or this Indenture, as applicable, pursuant to which the Notes are to be redeemed. 

The notice, if given in a manner herein provided, shall be conclusively presumed to have been given, whether or not the Holder receives such
notice. In any case, failure to give such notice or any defect in the notice to the Holder of any Note designated for redemption in whole or in part shall not affect the validity of the proceedings for the redemption of any other Note. 

At the Issuers’ written request, the Trustee shall give the notice of redemption in the name of the Issuers and at its expense; provided
that the Issuers shall have delivered to the Trustee, at least five Business Days before notice of redemption is required to be given to Holders pursuant to this Section 3.03 (unless a shorter notice shall be agreed to by the Trustee),
an Officer’s Certificate requesting that the Trustee give such notice and setting forth the information to be stated in such notice as provided in the preceding paragraph. 

SECTION 3.04. Effect of Notice of Redemption. Once notice of redemption is given in accordance with Section 3.03, Notes
called for redemption become due and payable on the Redemption Date and at the Redemption Price plus accrued interest, if any, to, but not including, the Redemption Date. Upon surrender to the Trustee or Paying Agent, such Notes called for
redemption shall be paid at the Redemption Price plus accrued interest, if any, to, but not including, the Redemption Date, but installments of interest, the maturity of which is on or prior to the Redemption Date, shall be payable to Holders
of record at the close of business on the relevant Record Dates. On and after the Redemption Date interest shall cease to accrue on Notes or portions thereof called for redemption unless the Issuers shall have not complied with their obligations
pursuant to Section 3.05. 
 SECTION 3.05. Deposit of Redemption Price. On or before 11:00 a.m. New York City time (or
such later time as has been agreed to by the Paying Agent) on the Redemption Date, the Issuers shall deposit with the Paying Agent U.S. Legal Tender sufficient to pay the Redemption Price plus accrued interest, if any, to, but not including,
the Redemption Date of all Notes to be redeemed on that date. The Paying Agent shall promptly return to the Issuers any money deposited with the Paying Agent by the Issuers in excess of the amounts necessary to pay the Redemption Price plus
accrued interest, if any, to, but not including, the Redemption Date of all Notes to be redeemed or purchased. 
 SECTION 3.06. Notes
Redeemed in Part. If any Note is to be redeemed in part only, the notice of redemption that relates to such Note shall state the portion of the principal amount thereof to be redeemed. A new Note or Notes in principal amount equal to the
unredeemed portion of the original Note or Notes shall be issued in the name of the Holder thereof upon surrender and cancellation of the original Note or Notes. It is understood that, notwithstanding anything in this Indenture to the contrary, only
an Authentication Order and not an Opinion of Counsel or Officer’s Certificate is required for the Trustee to authenticate such new Note. 

  
 39 

 SECTION 3.07. Special Mandatory Redemption. 

If (1) the Spin-Off Effective Date has not occurred on or prior to the Outside Date or (2) the Issuers deliver to the Trustee an
Officer’s Certificate stating that the Issuers have made a good faith judgment that the Spin-Off Effective Date will not occur on or prior to the Outside Date ((1) and (2), each a “Mandatory Redemption Event”), then the Issuers
will be required to redeem all of the outstanding Initial Notes at a redemption price equal to 101% of the initial issue price of the Initial Notes, plus accrued and unpaid interest, if any, to, but not including, the Redemption Date (subject
to the right of Holders on the relevant record date to receive interest due on the relevant interest payment date) (the “Special Mandatory Redemption Price”). Notwithstanding any other provision of this Article Three, in the event
of the occurrence of a Mandatory Redemption Event, the Issuers shall cause the notice of special mandatory redemption (a “Special Mandatory Redemption Notice”) to be provided to the Trustee for delivery to each Holder no later than
the third Business Day following the occurrence of the Mandatory Redemption Event and the Initial Notes shall be redeemed no later than five Business Days following the date the Special Mandatory Redemption Notice is provided to the Trustee. If the
Issuers provide to the Trustee a Special Mandatory Redemption Notice, the Issuers will not later than the last Business Day immediately preceding the Mandatory Redemption Date irrevocably transfer to the Trustee the amount necessary to pay the
aggregate Special Mandatory Redemption Price. 
 SECTION 3.08. Mandatory Redemption. Except as otherwise provided by
Section 3.07 hereof and Article 8 of the Notes (in each case with respect to the Initial Notes), the Issuers will not be required to make any mandatory redemption or sinking fund payments with respect to the Notes. 

ARTICLE FOUR 
 Covenants

 SECTION 4.01. Payment of Notes. The Issuers shall pay the principal of, premium, if any, and interest on the Notes in the
manner provided in the Notes, the Registration Rights Agreement (as applicable) and this Indenture. An installment of principal of, or interest on, the Notes shall be considered paid on the date it is due if the Trustee or Paying Agent (other than
the Issuers or an Affiliate thereof) holds on that date U.S. Legal Tender designated for and sufficient to pay the installment. Interest on the Notes will be computed on the basis of a 360-day year comprised of twelve 30-day months. 

The Issuers shall pay interest on overdue principal (including post petition interest in a proceeding under any Bankruptcy Law), and overdue
interest, to the extent lawful, at the same rate per annum borne by the Notes. 
 SECTION 4.02. Maintenance of Office or Agency. The
Issuers shall maintain in the United States of America, the office or agency required under Section 2.03 (which may be an office of the Trustee or an Affiliate of the Trustee or Registrar). The Issuers shall give prompt written notice to
the Trustee of the location, and any change in the location, of such office or agency. If at any time the Issuers shall fail to maintain any such required office or agency or shall fail to furnish the Trustee with the address thereof, such
presentations, surrenders, notices and demands may be made or served at the address of the Corporate Trust Office. 
 The Issuers may also,
from time to time, designate one or more other offices or agencies where the Notes may be presented or surrendered for any or all such purposes and may from time to time rescind such designations. The Issuers shall give prompt written notice to the
Trustee of any such designation or rescission and of any change in the location of any such other office or agency. 
 The Issuers hereby
initially designate Wells Fargo Bank, National Association, located at 625 Marquette Avenue, Minneapolis, MN 55402 Attention: Bondholder Communications, as such office of the Issuers in accordance with Section 2.03. 

SECTION 4.03. Corporate Existence. Except as otherwise permitted by Article Five, Parent and the Issuers shall do or cause to be done
all things necessary to preserve and keep in full force and effect their corporate, partnership or other existence, as applicable, and the corporate, partnership or other existence, as applicable, of each of the Restricted Subsidiaries of Parent in
accordance with the respective organizational documents of each such Restricted Subsidiary and the related material rights (charter and statutory) and material franchises of Parent, the Issuers and each Restricted Subsidiary of Parent; provided,
however, that Parent and the Issuers shall not be required to preserve any such right, franchise or corporate, partnership or other existence, as applicable, with respect to 

  
 40 

 
themselves or any Restricted Subsidiary if the Board of Directors of Parent or any officer of Parent shall determine that the preservation thereof is no longer necessary or desirable in the
conduct of the business of Parent, the Issuers and their Restricted Subsidiaries, taken as a whole, and that the loss thereof could not reasonably be expected to have a material adverse effect on the ability of the Issuers to perform their
obligations hereunder and provided, further, however, that the foregoing shall not prohibit a sale, transfer, conveyance, lease or disposal of a Restricted Subsidiary or any of Parent’s or any Restricted Subsidiary’s
assets in compliance with the terms of this Indenture. 
 SECTION 4.04. [Reserved]. 

SECTION 4.05. Compliance Certificate; Notice of Default. (a) Parent shall deliver to the Trustee, within 120 days after each
December 31, commencing with December 31, 2014, an Officer’s Certificate signed by the principal executive officer, principal financial officer or principal accounting officer of Parent certifying that a review of the activities of
Parent and its Restricted Subsidiaries and of Parent’s performance under this Indenture has been made under the supervision of the signing Officer and further stating that, to the best of such Officer’s knowledge, Parent and its Restricted
Subsidiaries during such preceding fiscal year have fulfilled each and every such covenant and no Default occurred during such year and at the date of such certificate there is no Default that has occurred and is continuing or, if such signer does
know of such Default, the certificate shall specify such Default and what action, if any, Parent is taking or proposes to take with respect thereto. 

(b) Parent shall deliver to the Trustee within 30 days after Parent becomes aware (unless such Default has been cured before the end of the
30-day period) of the occurrence of any Default an Officer’s Certificate specifying the Default and what action, if any, the Parent is taking or propose to take with respect thereto. 

SECTION 4.06. Waiver of Stay, Extension or Usury Laws. The Issuers and each Guarantor covenants (to the extent permitted by applicable
law) that it shall not at any time insist upon, plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay or extension law or any usury law or other law that would prohibit or forgive such Issuer or such Guarantor from
paying all or any portion of the principal of and/or interest on the Notes or the Note Guarantee of any such Guarantor as contemplated herein, wherever enacted, now or at any time hereafter in force, or which may affect the covenants or the
performance of this Indenture, and (to the extent permitted by applicable law) each hereby expressly waives all benefit or advantage of any such law, and covenants that it shall not hinder, delay or impede the execution of any power herein granted
to the Trustee, but will suffer and permit the execution of every such power as though no such law had been enacted. 
 SECTION 4.07.
Change of Control. (a) Except as otherwise provided in this Section 4.07, the Issuers shall commence, no later than 30 days after the occurrence of a Change of Control, and, subject to the terms and conditions of such Offer
to Purchase, thereafter consummate an Offer to Purchase all Notes then outstanding, at a purchase price equal to 101% of the principal amount of the Notes, plus accrued and unpaid interest, if any, to, but not including, the Payment Date. To
the extent that the provisions of any securities laws or regulations conflict with the Change of Control provisions of this Indenture, the Issuers shall comply with the applicable securities laws and regulations and shall not be deemed to have
breached their obligations under the Change of Control provisions of this Indenture by virtue of such compliance. 
 (b) The Issuers shall
not be required to make an Offer to Purchase as a result of a Change of Control if a third party makes the Offer to Purchase in the manner, at the times and otherwise in compliance with the requirements set forth in this Indenture applicable to an
Offer to Purchase made by the Issuers and purchases all Notes validly tendered and not withdrawn under such Offer to Purchase or if notice of redemption has been given pursuant to Section 5 or 6 of the Notes. Notwithstanding anything to the
contrary contained herein, an Offer to Purchase may be made in advance of a Change of Control, subject to one or more conditions precedent, including, but not limited to, the consummation of such Change of Control, if a definitive agreement is in
place for the Change of Control at the time the Offer to Purchase is made. 
 (c) If Holders of not less than 90% in aggregate principal
amount of the outstanding Notes held by non-Affiliates validly tender and do not withdraw such Notes in an Offer to Purchase and the Issuers, or any third party making the Offer to Purchase in lieu of the Issuers as described above, purchases all of
the Notes validly tendered and not withdrawn by such Holders, the Issuers or such third party will have the right, upon not less than 30 days nor more than 60 days’ prior notice, given not more than 30 days following such purchase pursuant to
the Offer to Purchase, to redeem all Notes that remain outstanding following such purchase at a price in cash equal to 101% of the principal amount thereof plus accrued and unpaid interest to, but not including, the date of redemption. 

  
 41 

 SECTION 4.08. Limitation on Indebtedness. (a) Parent and General Partner will not
Incur any Indebtedness (including Acquired Indebtedness) other than guarantees of Indebtedness issued on the Issue Date, other Indebtedness existing on the Issue Date, and guarantees of Indebtedness of the Issuers or any other Restricted Subsidiary
of Parent provided such Indebtedness is permitted by and Incurred in accordance with this Section 4.08. The Issuers will not, and will not permit any of their Restricted Subsidiaries to, Incur any Indebtedness (including Acquired
Indebtedness) if, immediately after giving effect to the Incurrence of such additional Indebtedness and on a pro forma basis (including the receipt and pro forma application of the proceeds therefrom), the aggregate principal amount of
all outstanding Indebtedness of Parent and its Restricted Subsidiaries on a consolidated basis is greater than 60% of Parent’s Adjusted Total Assets. 

(b) The Issuers will not, and will not permit any of their Restricted Subsidiaries to, Incur any Secured Indebtedness (including Acquired
Indebtedness) if, immediately after giving effect to the Incurrence of such additional Secured Indebtedness and on a pro forma basis (including the receipt and pro forma application of the proceeds therefrom), the aggregate principal
amount of all outstanding Secured Indebtedness of the Issuers and their Restricted Subsidiaries on a consolidated basis would be greater than 40% of Parent’s Adjusted Total Assets. 

(c) The Issuers will not, and will not permit any of their Restricted Subsidiaries to, Incur any Indebtedness (including Acquired
Indebtedness); provided, however, that the Issuers or any of the Subsidiary Guarantors may Incur Indebtedness (including Acquired Indebtedness) if, after giving effect to the Incurrence of such Indebtedness and on a pro forma
basis (including the receipt and pro forma application of the proceeds therefrom), the Interest Coverage Ratio of Parent and its Restricted Subsidiaries on a consolidated basis would be at least 2.0 to 1.0. 

(d) Notwithstanding paragraphs (a), (b) and (c) above, Parent or any of its Restricted Subsidiaries (except as specified below) may
Incur each and all of the following (collectively, “Permitted Indebtedness”): 
 (1) Indebtedness of an
Issuer or a Guarantor outstanding under any Credit Facility at any time in an aggregate principal amount not to exceed the greater of $225.0 million and 30% of Parent’s Adjusted Total Assets (in each case, plus, in the case of any
Indebtedness under any Credit Facility resulting from the refinancing of any Indebtedness under any Credit Facility, the aggregate amount of accrued interest, fees, underwriting discounts, premiums and other costs and expenses incurred in connection
with such refinancing); 
 (2) Indebtedness of the Issuers or any of their Restricted Subsidiaries owed to: 

(i) the Issuers or a Guarantor, or 

(ii) any Restricted Subsidiary; 

provided, however, that if the Partnership, Capital Corp or any Guarantor is an obligor and the payee is not the Partnership, Capital Corp or a
Guarantor, the Indebtedness is subordinated in right of payment to the amounts due under the Notes, in the case of the Partnership or Capital Corp, or the Note Guarantee, in the case of a Guarantor; provided further that any event that
results in any such Restricted Subsidiary ceasing to be a Restricted Subsidiary of the Issuers or any subsequent transfer of such Indebtedness (other than to the Issuers or any other Restricted Subsidiary of the Issuers) shall be deemed, in each
case, to constitute an Incurrence of such Indebtedness not permitted by this clause (2); 
 (3) Indebtedness of the Issuers
or any of their Restricted Subsidiaries under Hedging Obligations (provided that such agreements (x)(i) are designed to protect the Issuers or any of their Restricted Subsidiaries against fluctuations in foreign currency exchange rates or
interest rates (whether fluctuations of fixed to floating rate interest or floating to fixed rate interest) or otherwise in the ordinary course of business to hedge or mitigate risks to which the Issuers or any of their Restricted Subsidiaries are

  
 42 

 
exposed in the conduct of their business or the management of their liabilities and not for speculative purposes and (ii) do not increase the Indebtedness of the obligor outstanding at any
time other than as a result of fluctuations in foreign currency exchange rates or interest rates or other hedged items or by reason of fees, indemnities and compensation payable thereunder, or (y) were entered into as part of or in connection
with an issuance of Convertible Indebtedness, including, in the case of this clause (y), for the avoidance of doubt, Permitted Bond Hedge Transactions and Permitted Warrant Transactions); 

(4) Indebtedness of the Issuers or any of the Subsidiary Guarantors, to the extent the net proceeds thereof are promptly or
substantially concurrently: 
 (i) used to purchase Notes tendered in an Offer to Purchase made as a result of (or in
anticipation of, but subject to) a Change of Control, 
 (ii) used to redeem all the Notes pursuant to Section 5 of the
Notes, 
 (iii) deposited to defease the Notes as described in Sections 8.02 and 8.03, or 

(iv) deposited to discharge the obligations under the Notes and this Indenture as described in Section 8.01; 

(5) (i) Guarantees of Indebtedness of the Issuers or any of the Subsidiary Guarantors by Parent or General Partner,
(ii) Guarantees of Indebtedness of the Issuers or any Subsidiary Guarantor by any of their Restricted Subsidiaries provided the guarantee of such Indebtedness is permitted by and made in accordance with Section 4.14, (iii) any
Guarantees by a Subsidiary Guarantor of any Indebtedness of an Issuer or any other Subsidiary Guarantor, (iv) Guarantees by an Issuer of Indebtedness of any Subsidiary Guarantor, (v) Guarantees of Permitted Mortgage Indebtedness of a
Restricted Subsidiary by Parent and (vi) Guarantees by any Restricted Subsidiary of Parent that is not an Issuer or Subsidiary Guarantor of Indebtedness of any other Restricted Subsidiary of Parent that is not an Issuer or Subsidiary Guarantor;

 (6) Existing Indebtedness; 

(7) Indebtedness represented by the Notes and the Note Guarantees issued on the Issue Date and the exchange notes and related
exchange guarantees to be issued in exchange for such Notes and Note Guarantees pursuant to the Registration Rights Agreement; 

(8) Indebtedness consisting of obligations to pay insurance premiums incurred in the ordinary course of business; 

(9) Indebtedness in respect of any bankers’ acceptances, bank guarantees, letters of credit, warehouse receipt or similar
facilities, and reinvestment obligations related thereto, entered into in the ordinary course of business; 
 (10) (a)
Indebtedness in respect of workers’ compensation claims, health, disability or other employee benefits, self-insurance obligations, indemnities, performance, bid, completion and surety bonds or guarantees and similar types of obligations in the
ordinary course of business and including statutory obligations or otherwise under applicable law and (b) deposits and advance payments received in the ordinary course of business; 

(11) Indebtedness represented by cash management obligations and other obligations in respect of netting services, automatic
clearinghouse arrangements, overdraft protections and similar arrangements in each case in connection with deposit accounts and honoring or drawing of an instrument against insufficient funds and endorsements for deposit; 

  
 43 

 (12) Indebtedness supported by a letter of credit procured by the Issuers or any
of their Restricted Subsidiaries in a principal amount not in excess of the stated amount of such letter of credit and where the underlying Indebtedness would otherwise be permitted; 

(13) Guarantees: (a) Incurred in the ordinary course of business; or (b) constituting Investments that are
(i) included in the calculation of the amount available to be made as Restricted Payments under Section 4.09(a)(C), (ii) made pursuant to Section 4.09(c)(18) or (iii) made in reliance on clause (9),
(18) or (19) of the definition of “Permitted Investments”; 
 (14) Permitted Refinancing Indebtedness
Incurred in exchange for, or the net proceeds of which are used to refund, refinance or replace, Indebtedness (other than intercompany Indebtedness) that was permitted by this Indenture to be Incurred under the provisions of Sections 4.08(a),
(b) and (c) or clauses (4), (6), (7), (14), (15), (16), (17), (18), (19) or (20) of this Section 4.08(d); 

(15) Indebtedness of Restricted Subsidiaries that are not the Issuers or Subsidiary Guarantors in an aggregate principal amount
at any time outstanding not to exceed, when taken together with all then outstanding net Investments in Unrestricted Subsidiaries and joint ventures made in reliance on clause (9) of the definition of “Permitted Investments,” the
greater of $20.0 million and 3.0% of the Adjusted Total Assets of such Restricted Subsidiaries; provided, however, that any Permitted Refinancing Indebtedness Incurred under clause (14) above in respect of Indebtedness Incurred under
this clause (15) shall be deemed to have been Incurred under this clause (15) for purposes of determining the amount of Indebtedness that may at any time be Incurred under this clause (15); 

(16) additional Indebtedness of the Issuers and their Restricted Subsidiaries in an aggregate principal amount at any time
outstanding not to exceed the greater of $20.0 million and 3.0% of Parent’s Adjusted Total Assets; provided, however, that any Permitted Refinancing Indebtedness Incurred under clause (14) above in respect of Indebtedness
Incurred under this clause (16) shall be deemed to have been Incurred under this clause (16) for purposes of determining the amount of Indebtedness that may at any time be Incurred under this clause (16); 

(17) Indebtedness (including Capitalized Lease Obligations and Attributable Debt) of the Issuers and their Restricted
Subsidiaries Incurred to finance the purchase, lease, expansion, repair, refurbishment, renovation, improvement, construction or acquisition (whether by asset or Capital Stock of the Person owning such assets) of, or capital expenditures with
respect to, property (real or personal) or equipment in an aggregate principal amount at any time outstanding not to exceed the greater of $20.0 million and 3.0% of Parent’s Adjusted Total Assets; provided, however, that any
Permitted Refinancing Indebtedness Incurred under clause (14) above in respect of such Indebtedness shall be deemed to have been Incurred under this clause (17) for purposes of determining the amount of Indebtedness that may at any time be
Incurred under this clause (17); 
 (18) Acquired Indebtedness and any other Indebtedness Incurred to finance a merger,
consolidation or other acquisition; provided that either (i) immediately after giving effect to the Incurrence of such Acquired Indebtedness and such other Indebtedness, as the case may be, on a pro forma basis (including the
receipt and pro forma application of the proceeds therefrom) as if such Incurrence (and the related merger, consolidation or other acquisition) had occurred at the beginning of the applicable Four Quarter Period, (A) either (x) the
Issuers and their Restricted Subsidiaries would be permitted to Incur at least $1.00 of additional Indebtedness pursuant to paragraph (1) above or (y) the ratio referred to in such paragraph (1) would be equal to or less than such
ratio immediately prior to such merger, consolidation or other acquisition, (B) either (x) the Issuers and their Restricted Subsidiaries would be permitted to Incur at least $1.00 of additional Indebtedness pursuant to paragraph
(2) above or (y) the ratio referred to in such paragraph (2) would be equal to or less than such ratio immediately prior to such merger, consolidation or other acquisition and (C) either (x) the Issuers and the Subsidiary
Guarantors would be permitted to Incur at least $1.00 of additional Indebtedness pursuant to paragraph (3) above or (y) the ratio referred to in such paragraph (3) would be equal to or greater than such ratio immediately prior to such
merger, consolidation or other acquisition; or (ii) the aggregate principal amount of such Acquired Indebtedness or other Indebtedness at any time outstanding Incurred pursuant to this clause (18)(ii) does not exceed $10.0 million; 

  
 44 

 (19) Permitted Mortgage Indebtedness of any Restricted Subsidiary of Parent that
is not an Issuer or Subsidiary Guarantor that would be permitted to be Incurred under the provisions of paragraphs (a), (b) and (c) of this Section 4.08, if such Restricted Subsidiary was a Subsidiary Guarantor; or 

(20) Convertible Indebtedness of Parent that would be permitted to be Incurred under the provisions of paragraphs (a),
(b) and (c) of this Section 4.08, if Parent was an Issuer. 
 (e) Notwithstanding any other provision of this
Section 4.08, the maximum amount of Indebtedness that Parent or any of its Restricted Subsidiaries may Incur pursuant to this Section 4.08 shall not be deemed to be exceeded, with respect to any outstanding Indebtedness, due
solely to the result of fluctuations in the exchange rates of currencies. 
 (f) For purposes of determining any particular amount of
Indebtedness under this Section 4.08, guarantees, Liens or obligations with respect to letters of credit supporting Indebtedness otherwise included in the determination of such particular amount shall not be included. 

For purposes of determining compliance with this Section 4.08, in the event that an item of Indebtedness meets the criteria of
more than one of the categories of permitted Indebtedness described in clauses (1) through (20) of paragraph (d) above or is entitled to be Incurred pursuant to paragraphs (a), (b) and (c) above, the Issuers shall, in their
sole discretion, be entitled to classify all or a portion of such item of Indebtedness on the date of its Incurrence or issuance and determine the order of such Incurrence or issuance (and may later reclassify such item of Indebtedness) and may
divide and classify such Indebtedness in more than one of the types of Indebtedness described. At any time that the Issuers would be entitled to have Incurred any then outstanding Indebtedness under paragraphs (a), (b) and (c) of this
Section 4.08, such Indebtedness shall be automatically reclassified into Indebtedness Incurred pursuant to those paragraphs. Notwithstanding the foregoing, any Indebtedness Incurred and outstanding under the Credit Agreement on or prior
to the Issue Date shall be deemed to have been Incurred under clause (1) of paragraph (d) above and may not be reclassified. Indebtedness permitted by this Section 4.08 need not be permitted solely by reference to one provision
permitting such Indebtedness, but may be permitted in part by one such provision and in part by one or more other provisions of this Section 4.08 permitting such Indebtedness. For the avoidance of doubt, the outstanding principal amount
of any particular Indebtedness shall be counted only once and any obligations arising under any guarantee, Lien, letter of credit or similar instrument supporting such Indebtedness shall not be double counted. 

For purposes of determining compliance with any U.S. dollar-denominated restriction on the Incurrence of Indebtedness, the U.S.
dollar-equivalent principal amount of Indebtedness denominated in a foreign currency shall be calculated based on the relevant currency exchange rate in effect on the date such Indebtedness was Incurred, in the case of term debt, or first committed,
in the case of revolving credit debt; provided, however, that if such Indebtedness is Incurred to refinance other Indebtedness denominated in a foreign currency, and such refinancing would cause the applicable U.S. dollar denominated
restriction to be exceeded if calculated at the relevant currency exchange rate in effect on the date of such refinancing, such U.S. dollar-denominated restriction shall be deemed not to have been exceeded so long as the principal amount of such
refinancing Indebtedness does not exceed the principal amount of such Indebtedness being refinanced, plus the amount of any reasonable premium (including reasonable tender premiums), defeasance costs and any reasonable fees and expenses
incurred in connection with the issuance of such new Indebtedness. The principal amount of any Indebtedness Incurred to refinance other Indebtedness, if Incurred in a different currency from the Indebtedness being refinanced, shall be calculated
based on the currency exchange rate applicable to the currencies in which such respective Indebtedness is denominated that is in effect on the date of such refinancing. 

A change in GAAP that results in an obligation existing at the time of such change, which is not at the time of such change classified as
Indebtedness, becoming Indebtedness will not be deemed to be an Incurrence of Indebtedness. 

  
 45 

 SECTION 4.09. Limitation on Restricted Payments. (a) Parent shall not, and shall not
permit any of its Restricted Subsidiaries to, 
 directly or indirectly: 

(1) declare or pay any dividend or make any distribution on or with respect to Capital Stock of Parent or any Restricted
Subsidiary of Parent held by Persons other than Parent or any of its Restricted Subsidiaries, other than (i) dividends or distributions payable solely in shares of Capital Stock of Parent or any of its Restricted Subsidiaries (other than
Disqualified Stock) and (ii) pro rata dividends or other distributions made by a Restricted Subsidiary that is not Wholly Owned to minority stockholders (or owners of equivalent interests in the event the Subsidiary is not a corporation); 

(2) purchase, redeem, retire or otherwise acquire for value any shares of Capital Stock of Parent held by any Person, other
than (i) Capital Stock held by Parent or a Restricted Subsidiary of Parent or (ii) solely in Capital Stock of Parent (other than Disqualified Stock); 

(3) make any voluntary or optional principal payment, or voluntary or optional redemption, repurchase, defeasance, or other
acquisition or retirement for value, of Indebtedness of the Issuers that is subordinated in right of payment to the Notes or Indebtedness of a Subsidiary Guarantor that is subordinated in right of payment to the Subsidiary Guarantee of such
Subsidiary Guarantor, in each case excluding (i) any intercompany Indebtedness between or among Parent or any of its Restricted Subsidiaries and (ii) the payment, purchase, redemption, repurchase, defeasance, discharge, acquisition or
retirement of such subordinated Indebtedness in anticipation of satisfying a sinking fund obligation, principal installment or final maturity, in each case due within one year of the date of such payment, purchase, redemption, repurchase,
defeasance, discharge, acquisition or retirement; or 
 (4) make an Investment, other than a Permitted Investment, in any
Person; 
 (such payments or any other actions described in clauses (1) through (4) above being collectively “Restricted
Payments”) if, at the time of, and after giving effect to, the proposed Restricted Payment: 
 (A) a Default or
Event of Default shall have occurred and be continuing, 
 (B) the Issuers could not Incur at least $1.00 of Indebtedness in
compliance with both paragraphs (a) and (c) of Section 4.08, or 
 (C) the aggregate amount of all
Restricted Payments made after the Issue Date (and not returned or rescinded and subject to the last paragraph of this Section 4.09) shall exceed the sum of, without duplication: 

(i) 95% of the aggregate amount of the Funds From Operations (or, if the Funds From Operations is a loss, minus 100% of
the amount of such loss) accrued on a cumulative basis during the period (taken as one accounting period) beginning on the first day of the fiscal quarter in which the Spin-Off Effective Date occurs and ending on the last day of the last fiscal
quarter immediately preceding the Transaction Date for which reports have been filed with the SEC or provided to the Trustee pursuant to Section 4.15 or for which internal financial statements are available, plus 

(ii) 100% of the aggregate Net Cash Proceeds, and the fair market value of property or assets or marketable securities,
received by Parent or the Partnership after the Issue Date from the issuance and sale of its Capital Stock (other than Disqualified Stock) to a Person who is not a Subsidiary of Parent, including from an issuance or sale permitted by this Indenture
of Indebtedness or Disqualified Stock of Parent or any of its Restricted Subsidiaries subsequent to the Issue Date upon conversion, exercise or exchange of such Indebtedness or Disqualified Stock into or for Capital Stock (other than Disqualified
Stock) of Parent or the Partnership, plus, without duplication, the amount of any cash, and the fair market value of property or assets or marketable securities (excluding, for the avoidance of doubt, the securities converted or exchanged),
received by Parent or its Restricted Subsidiaries upon such conversion, exercise or exchange (in each case, exclusive of any Disqualified Stock), plus 

  
 46 

 (iii) an amount equal to (I) the net reduction in Investments (other than
reductions in Permitted Investments) in any Person after the Issue Date resulting from payments of interest on Indebtedness, dividends or other distributions, repayments of loans or advances, or other transfers of assets, in each case to Parent or
any of its Restricted Subsidiaries or from the Net Cash Proceeds, and the fair market value of property or assets or marketable securities received, from the sale or other disposition of any such Investment (including, without limitation, through
satisfaction, expiration, reduction, release, repurchase, purchase, discharge, defeasance, retirement, redemption, repayment or cancellation of such Investment and sales of Capital Stock or other securities of such other Person) (except, in each
case, to the extent any such payment or proceeds are included in the calculation of Funds From Operations), and (II) with respect to any Unrestricted Subsidiary that has been redesignated as a Restricted Subsidiary or that has been merged or
consolidated with or into, or which has transferred or conveyed its assets to, or has been liquidated into, Parent or a Restricted Subsidiary of Parent, in each case after the Issue Date, the amount of Parent’s and its Restricted
Subsidiaries’ Investment in such Subsidiary (directly or indirectly) as of the date of such redesignation, merger, consolidation, transfer, conveyance or liquidation (valued, in the case of each of clauses (I) and (II), as provided in the
definition of “Investments”), not to exceed, in each case, the amount of Investments previously made by Parent and its Restricted Subsidiaries in such Person or Unrestricted Subsidiary and treated as a Restricted Payment, plus 

(iv) the fair market value of property or assets or Capital Stock representing interests in Persons (other than that of Parent
or the Partnership) acquired in exchange for an issuance of Capital Stock (other than Disqualified Stock or Capital Stock issued in exchange for Capital Stock of Parent or the Partnership utilized pursuant to clause (3) or (4) of
Section 4.09(c)) of Parent or the Partnership subsequent to the Issue Date, plus 
 (v) without
duplication, in the event Parent or any Restricted Subsidiary of Parent makes any Investment in a Person that, as a result of or in connection with such Investment, becomes (including by redesignation) a Restricted Subsidiary of Parent, an amount
not to exceed the amount of Investments previously made by Parent and its Restricted Subsidiaries in such Person and that was treated as a Restricted Payment. 

(b) Notwithstanding Section 4.09(a), Parent and any of its Restricted Subsidiaries may declare or pay any dividend or make any
distribution or take other action (that would have otherwise been a Restricted Payment) which the Board of Directors of Parent believes in good faith is necessary to (i) maintain Parent’s status as a real estate investment trust under the
Code or (ii) avoid any excise tax or any income tax imposed on Parent, in each case including, but not limited to, pro rata dividends or other distributions by the Partnership to minority unitholders as a result of a distribution from the
Partnership to Parent for the purpose of funding any such dividend, distribution or other action; provided that (x)(A) on or before June 30, 2016, the aggregate principal amount of all outstanding Indebtedness of Parent and its
Restricted Subsidiaries on a consolidated basis at the time of declaration is not greater than 65% of Parent’s Adjusted Total Assets, and (B) after June 30, 2016, the aggregate principal amount of all outstanding Indebtedness of
Parent and its Restricted Subsidiaries on a consolidated basis at the time of declaration is not greater than 60% of Parent’s Adjusted Total Assets, and (y) no Default or Event of Default shall have occurred and be continuing. 

(c) Section 4.09(a) shall not be violated by reason of: 

(1) the payment of any dividend or distribution or the consummation of any redemption within 60 days after the date of
declaration thereof or the giving of a redemption notice related thereto, as the case may be, if, at the date of declaration or notice, such payment would comply with Section 4.09(a); 

  
 47 

 (2) the payment, repayment, purchase, redemption, repurchase, defeasance,
discharge or other acquisition or retirement for value of Indebtedness that is subordinated in right of payment to the Notes or to a Note Guarantee including premium, if any, and accrued and unpaid interest, with the proceeds of, or in exchange for,
Indebtedness Incurred under Sections 4.08(a), (b) and (c) or Section 4.08(d)(14); 

(3) (a) the making of any Restricted Payment in exchange for, or out of the proceeds of the substantially concurrent sale of,
Capital Stock of Parent or the Partnership (other than any Disqualified Stock or any Capital Stock sold to a Restricted Subsidiary of Parent or to an employee stock ownership plan or any trust established by Parent) or from substantially concurrent
contributions to the equity capital of Parent or the Partnership (collectively, including any such contributions, “Refunding Capital Stock”) (with any sale or contribution within 60 days deemed as substantially concurrent); and
(b) the declaration and payment of accrued dividends (and any premium) on any Capital Stock redeemed, repurchased, purchased, retired, defeased, discharged or acquired out of the proceeds of the sale of Refunding Capital Stock within 60 days of
such sale; provided, that the amount of any such proceeds or contributions that are utilized for any Restricted Payment pursuant to this clause (3) shall be excluded from the amount described in Section 4.09(a)(C)(ii); 

(4) the making of any principal payment on, or the repayment, repurchase, purchase, redemption, retirement, defeasance,
discharge or other acquisition for value of Indebtedness of the Issuers that is subordinated in right of payment to the Notes or Indebtedness of a Guarantor that is subordinated in right of payment to the Note Guarantee of such Guarantor, including
premium, if any, and accrued and unpaid interest, in exchange for, or out of the proceeds of an issuance of, shares of Capital Stock (other than Disqualified Stock) of Parent or the Partnership or from contributions to the equity capital of Parent
or the Partnership, in each case within 90 days of such principal payment, repayment, repurchase, purchase, redemption, retirement, defeasance, discharge or other acquisition; 

(5) payments or distributions to dissenting holders of limited partnership units of the Partnership or stockholders of Parent
or any direct or indirect parent company of the Partnership pursuant to applicable law pursuant to or in connection with a consolidation, merger or transfer of assets that complies with Section 5.01; 

(6) the repurchase, purchase, redemption or other acquisition or retirement for value of any shares of Capital Stock of Parent
held by any current or former officer, director, consultant or employee or manager of Parent or any of its Restricted Subsidiaries (or any permitted transferees, assigns, estates, trusts or heirs of any of the foregoing); provided,
however, the aggregate amount paid by Parent and its Restricted Subsidiaries pursuant to this clause (6) shall not exceed $5.0 million in any calendar year (excluding for purposes of calculating such amount the amount paid for Capital
Stock repurchased, redeemed, acquired or retired with the cash proceeds from the repayment of outstanding loans previously made by Parent or a Restricted Subsidiary thereof for the purpose of financing the repurchase, purchase, redemption or other
acquisition or retirement of such Capital Stock), with unused amounts in any calendar year being carried over for up to two succeeding calendar year periods until used; provided further, that such amount in any calendar year may be increased
by an amount not to exceed: (A) the Net Cash Proceeds from the sale of Capital Stock (other than Disqualified Stock) of Parent, in each case, to officers, directors, consultants or employees or managers of Parent or any of its Restricted
Subsidiaries that occurs after the Issue Date, to the extent such cash proceeds (i) have not otherwise been applied to permit the payment of any other Restricted Payment or (ii) are not attributable to loans made by Parent or a Restricted
Subsidiary thereof for the purpose of financing the repurchase, purchase, redemption or other acquisition or retirement of such Capital Stock, plus (B) the cash proceeds of key man life insurance policies received by Parent and its
Restricted Subsidiaries after the Issue Date, less (without duplication of clause (A)(i) above) (C) the amount of any Restricted Payments previously made using the amounts from clause (A) and (B) of this clause (6);
provided further, however, that cancellation of Indebtedness owing to Parent from any officer, director, consultant or employee or manager of Parent or any Restricted Subsidiary thereof in connection with a repurchase of Capital
Stock of Parent shall not be deemed to constitute a Restricted Payment for purposes of this Indenture; 

  
 48 

 (7) the repurchase of Capital Stock deemed to occur (i) upon the exercise of
options, rights, warrants or other equivalents, or upon conversion or exchange, if such Capital Stock represents all or a portion of the exercise, conversion or exchange price thereof, and (ii) in connection with the withholding of a portion of
the Capital Stock granted or awarded to an officer, director, consultant or employee or manager to pay for the taxes payable by such officer, director, consultant or employee or manager upon such grant or award; 

(8) upon or in connection with or following the occurrence of a Change of Control (or similarly defined term in other
Indebtedness or Disqualified Stock) and within 90 days after completion of the Offer to Purchase (including the purchase of all Notes validly tendered and not withdrawn) pursuant to Section 4.07, any repayment, repurchase, purchase,
redemption, defeasance, discharge or other acquisition or retirement for value of any Indebtedness of the Issuers or any Guarantor that is subordinated in right of payment to the Notes or to any Note Guarantee, respectively, or any Disqualified
Stock that is required to be repurchased or redeemed or otherwise acquired pursuant to the terms thereof as a result of such Change of Control (or similarly defined term in other Indebtedness or Disqualified Stock), at a purchase price not greater
than 101% of the outstanding principal amount, accreted value or liquidation preference thereof (plus accrued and unpaid interest, dividends and liquidated damages, if any); 

(9) within 90 days after completion of any Offer to Purchase Notes pursuant to Section 4.11 (including the purchase
of all Notes tendered), any repayment, repurchase, purchase, redemption, defeasance, discharge or other acquisition or retirement for value of any Indebtedness of the Issuers or any Guarantor that is subordinated in right of payment to the Notes or
to any Note Guarantee, respectively, or any Disqualified Stock that is required to be repurchased or redeemed or otherwise acquired pursuant to the terms thereof as a result of such Asset Sale (or similarly defined term in such other Indebtedness),
at a purchase price not greater than 100% of the outstanding principal amount, accreted value or liquidation preference thereof (plus accrued and unpaid interest, dividends and liquidated damages, if any); 

(10) the payment of cash in lieu of the issuance of fractional shares of Capital Stock upon exercise, exchange or conversion of
securities exercisable, exchangeable or convertible into Capital Stock of Parent or the Partnership; 
 (11) Restricted
Payments made pursuant to any Transaction Agreement or otherwise in connection with the Spin-Off and the other Transactions and fees and expenses related thereto; 

(12) the Purging Distribution; 

(13) Restricted Payments made pursuant to an exchange of or conversion into Capital Stock of Parent, including the redemption
of Common Units for Common Stock of Parent pursuant to the terms of the Partnership Agreement; 
 (14) the declaration and
payment of dividends to holders of Disqualified Stock issued in accordance with this Indenture; 
 (15) the distribution, as
a dividend or otherwise, of Capital Stock of, or Indebtedness owed to Parent or a Restricted Subsidiary of Parent by, Unrestricted Subsidiaries; 

(16) to the extent constituting Restricted Payments, payments to counterparties under Hedging Obligations; 

(17) (i) the making of cash payments in connection with any conversion or purchase of Convertible Indebtedness in an aggregate
amount since the Issue Date not to exceed the sum of (a) the principal amount of such Convertible Indebtedness and any accrued and unpaid interest thereon plus (b) any payments received by Parent pursuant to the exercise,
settlement, unwinding or termination of any related Permitted Bond Hedge Transaction; and (ii) (a) any payments in connection with a Permitted Bond Hedge Transaction and (b) the exercise, settlement, unwinding or termination of any
related Permitted 

  
 49 

 
Warrant Transaction (I) by delivery of shares of Common Stock of Parent upon settlement thereof, (II) by (A) set-off against the related Permitted Bond Hedge Transaction or
(B) payment of an early termination amount thereof in Common Stock upon any early termination thereof or (III) by a cash payment not to exceed the amount received upon any exercise, settlement, unwinding or termination of a related
Permitted Bond Hedge Transaction; and 
 (18) additional Restricted Payments in an aggregate amount not to exceed $20.0
million; 
 provided, however, that, except in the case of clauses (1) and (3), no Default or Event of Default shall have occurred and be
continuing or occur as a direct consequence of the actions or payments set forth therein. 
 (d) The net amount of any Restricted Payment
permitted pursuant to Section 4.09(b) and Section 4.09(c)(1) shall be included in calculating the amount available for Restricted Payments, if any, pursuant to Section 4.09(a)(C) with respect to any subsequent
Restricted Payments. The amount of any Restricted Payment permitted pursuant to clauses (2) through (18) of the immediately preceding paragraph shall be excluded in calculating the amount available for Restricted Payments, if any, pursuant
to Section 4.09(a)(C) with respect to any subsequent Restricted Payments. The net amount of all Restricted Payments or portion thereof (other than cash) shall be the fair market value on the date of the Restricted Payment of the asset(s)
or securities proposed to be transferred or issued to or by Parent or such Restricted Subsidiary, as the case may be, pursuant to the Restricted Payment. In determining whether any Restricted Payment is permitted by this Section 4.09,
Parent and its Restricted Subsidiaries may allocate all or any portion of such Restricted Payment among the categories described in clauses (1) through (18) of the immediately preceding paragraph or among such categories and the types of
Restricted Payments described in Section 4.09(a) (including categorization in whole or in part as a Permitted Investment); provided that, at the time of such allocation, all such Restricted Payments, or allocated portions thereof,
would be permitted under the various provisions of this Section 4.09. 
 SECTION 4.10. Maintenance of Total Unencumbered
Assets. The Issuers and their Restricted Subsidiaries shall maintain at all times Total Unencumbered Assets of not less than 150% of the aggregate outstanding principal amount of the Unsecured Indebtedness of the Issuers and their Restricted
Subsidiaries on a consolidated basis. 
 SECTION 4.11. Limitation on Asset Sales. (a) Parent shall not, and shall not permit any
of its Restricted Subsidiaries to, consummate any Asset Sale, unless: 
 (1) the consideration received (or to be received)
by Parent or such Restricted Subsidiary is at least equal to the fair market value (determined at the time of contractually agreeing to such Asset Sale) of the assets or Capital Stock sold or disposed of; and 

(2) at least 75% of the consideration received (or to be received) consists of cash, Temporary Cash Investments or Replacement
Assets, or a combination of cash, Temporary Cash Investments or Replacement Assets; provided, however, that, with respect to the sale of one or more properties up to 75% of the consideration may consist of Indebtedness of the purchaser
of such properties so long as such Indebtedness is secured by a first priority Lien on the property or properties sold. 
 (b) For purposes
of this Section 4.11, each of the following shall be deemed to be cash: 
 (1) any liabilities of Parent or any
Restricted Subsidiary of Parent (as shown on the most recent consolidated balance sheet of Parent and its Restricted Subsidiaries or in the footnotes thereto, or if Incurred or accrued subsequent to the date of such balance sheet, such liabilities
that would have been shown on Parent’s or such Restricted Subsidiary’s balance sheet or in the footnotes thereto if such Incurrence or accrual had taken place on the date of such balance sheet, in each case other than contingent
liabilities and liabilities that are by their terms subordinated to the Notes or any Note Guarantee) that are assumed by the transferee of any such assets pursuant to an agreement that releases Parent or any such Restricted Subsidiary from further
liability with respect to such liabilities or that are assumed by contract or operation of law; 

  
 50 

 (2) any securities, notes or other obligations received (or to be received) by
Parent or any such Restricted Subsidiary from such transferee that are converted by the Issuers or such Restricted Subsidiary into cash or Temporary Cash Investments within 180 days of receipt (to the extent of the cash or Temporary Cash Investments
received in that conversion); and 
 (3) any stock or assets of the kind referred to in clauses (2), (5) or (6) of
Section 4.11(c). 
 (c) Within 365 days after the receipt of any Net Cash Proceeds from an Asset Sale, Parent or any such
Restricted Subsidiary may apply such Net Cash Proceeds to: 
 (1) prepay, repay, redeem, defease, discharge, repurchase or
purchase Pari Passu Indebtedness of an Issuer or a Guarantor that is Secured Indebtedness (in each case other than Indebtedness owed to Parent or an Affiliate of Parent); 

(2) make an Investment in (provided such Investment is in the form of Capital Stock), acquire all or substantially all
of the assets of, a Person engaged in a Permitted Business if such Person is, or will become as a result thereof, a Restricted Subsidiary of Parent or acquire Permitted Mortgage Investments; 

(3) prepay, repay, redeem, defease, discharge, repurchase or purchase Pari Passu Indebtedness of an Issuer or of any Subsidiary
Guarantor or any Indebtedness of a Restricted Subsidiary of Parent that is not an Issuer or a Subsidiary Guarantor; provided, however, that if Parent, the Issuers or a Subsidiary Guarantor shall so prepay, repay, redeem, defease,
discharge or purchase any such Pari Passu Indebtedness of the Issuers or of any Subsidiary Guarantor, the Issuers will equally and ratably reduce obligations under the Notes through (x) open market purchases (to the extent such purchases are at
or above 100% of the principal amount thereof), (y) as provided under Section 5 or Section 6 of the Notes or (z) by making an Offer to Purchase (in accordance with the procedures set forth below) 

(4) fund (x) all or a portion of an optional redemption of the Notes as described in Section 5 or Section 6 of
the Notes (y) open market purchases of the Notes (to the extent such purchases are at or above 100% of the principal amount thereof) or (z) an Offer to Purchase (in accordance with the procedures set forth below); 

(5) make a capital expenditure; 

(6) acquire Replacement Assets to be used or that are useful in a Permitted Business; or 

(7) any combination of the foregoing; 

provided, that Parent will be deemed to have complied with the provisions described in clauses (2), (5) and (6) of this paragraph if and to
the extent that, within 365 days after the Asset Sale that generated the Net Cash Proceeds, Parent or any of its Restricted Subsidiaries has entered into and not abandoned or rejected a binding agreement to apply such Net Cash Proceeds in compliance
with the provisions described in clauses (2), (5) and (6) of this paragraph, and such application of such Net Cash Proceeds is thereafter completed within 180 days after the end of such 365-day period. Pending the final application of any
such Net Cash Proceeds, Parent may temporarily reduce the revolving Indebtedness under any Credit Facility or otherwise invest such Net Cash Proceeds in any manner that is not prohibited by this Indenture. The amount of such Net Cash Proceeds not
applied (or to be committed to be applied) as set forth in this paragraph by the end of the applicable period shall constitute “Excess Proceeds.” 

(d) If, as of the first day of any calendar month, the aggregate amount of Excess Proceeds not previously subject to an Offer to Purchase
pursuant to this Section 4.11 totals at least $15.0 million, the Issuers must commence, not later than the fifteenth Business Day of such month, and consummate an Offer to Purchase from the Holders and, to the extent required by the
terms of any Pari Passu Indebtedness, to all holders of such Pari Passu Indebtedness on a pro rata basis an aggregate principal amount of Notes (and Pari Passu Indebtedness, as applicable) equal to the Excess Proceeds on such date, at a
purchase price equal to 100% of the principal amount 

  
 51 

 
of the Notes (and Pari Passu Indebtedness or such lesser price provided in the terms of such Pari Passu Indebtedness), plus, in each case, accrued and unpaid interest (if any) to, but not
including, the Payment Date. If any Excess Proceeds remain after consummation of an Offer to Purchase, Parent may use such Excess Proceeds for any purpose not prohibited by this Indenture. If the aggregate purchase price of the Notes and the other
Pari Passu Indebtedness validly tendered (and not withdrawn) into such Offer to Purchase exceeds the amount of Excess Proceeds, Parent shall select the Notes and such other Pari Passu Indebtedness (to the extent such selection is not prohibited by
the terms thereof) to be purchased on a pro rata basis but in round denominations, which in the case of the Notes will be denominations of $2,000 initial principal amount and multiples of $1,000 thereafter. Upon completion of each Offer to Purchase,
the amount of Excess Proceeds related to such Asset Sale Offer shall be reset at zero. Parent may satisfy the foregoing obligation with respect to any Net Cash Proceeds prior to the expiration of the relevant 365-day period (as such period may be
extended as described in Section 4.11(c)). Nothing in this Section 4.11(d) shall preclude the Issuers from making an Offer to Purchase even if the amount of Excess Proceeds not previously subject to an Offer to Purchase
pursuant to this Section 4.11 totals less than $15.0 million. 
 SECTION 4.12. Limitation on Transactions with
Affiliates. (a) Parent shall not, and shall not permit any of its Restricted Subsidiaries to, directly or indirectly, enter into, renew or extend any transaction (including the purchase, sale, lease or exchange of property or assets, or the
rendering of any service) with any Affiliate of Parent or any of its Restricted Subsidiaries, in each case involving consideration in excess of $2.5 million, except upon terms that are not materially less favorable to Parent or such Restricted
Subsidiary than could be obtained, at the time of such transaction or, if such transaction is pursuant to a written agreement, at the time of the execution of the agreement providing therefor, in a comparable arm’s length transaction (to the
extent there is such a transaction) with a Person that is not such an Affiliate. 
 (b) The limitation set forth in
Section 4.12(a) does not limit, and shall not apply to: 
 (1) transactions (A) approved by a majority of
the disinterested directors of the Board of Directors of Parent or (B) for which Parent or any Restricted Subsidiary of Parent delivers to the Trustee a written opinion of a nationally recognized investment banking, appraisal or accounting firm
stating that the transaction is fair to Parent or such Restricted Subsidiary from a financial point of view; 
 (2) any
transaction solely between or among Parent and any of its Restricted Subsidiaries or solely between or among Restricted Subsidiaries of Parent (in each case, including any entity that becomes (including by redesignation) a Restricted Subsidiary of
Parent as a result of such transaction); 
 (3) the payment of reasonable fees and compensation to, and indemnification,
reimbursement of expenses and similar arrangements on behalf of, current, former or future directors of Parent or any Restricted Subsidiary of Parent; 

(4) the issuance or sale of Capital Stock (other than Disqualified Stock) of Parent or the Partnership; 

(5) any Restricted Payments not prohibited by Section 4.09; 

(6) any contracts, instruments or other agreements or arrangements in each case as in effect on the Issue Date (or, if entered
into in connection with the Spin-Off and not in effect on the Issue Date, as in effect on the Spin-Off Effective Date), and any transactions pursuant thereto or contemplated thereby, or any amendment, modification or supplement thereto or any
replacement thereof entered into from time to time, as long as such agreement or arrangements as so amended, modified, supplemented or replaced, taken as a whole, is not materially more disadvantageous to Parent and its Restricted Subsidiaries at
the time executed than the original agreement or arrangements as in effect on the Issue Date or the Spin-Off Effective Date, as applicable; 

(7) any employment, consulting, service or termination agreement, or customary indemnification arrangements, entered into by
Parent or any Restricted Subsidiary of Parent with current, former or future directors, officers and employees of Parent or such Restricted Subsidiary and the payment 

  
 52 

 
of compensation and reimbursement of expenses and the providing of other benefits (including retirement, health, disability, option, deferred compensation, insurance and other employment
benefits) to such directors, officers and employees of Parent or any Restricted Subsidiary of Parent (including amounts paid pursuant to employee benefit plans, employee stock option or similar plans and including issuances of Capital Stock or other
securities, loans or other payments, grants and awards), in each case in the ordinary course of business; 
 (8) loans and
advances to officers and employees of Parent or any Restricted Subsidiary of Parent or guarantees in respect thereof (or cancellation of such loans, advances or guarantees), for bona fide business purposes, including for reasonable moving and
relocation, entertainment and travel expenses and similar expenses, made in the ordinary course of business; 
 (9)
transactions with a Person that is an Affiliate of Parent solely because Parent, directly or indirectly, owns Capital Stock of, or controls such Person; 

(10) any transaction with a Person who is not an Affiliate immediately before the consummation of such transaction that becomes
an Affiliate as a result of such transaction; 
 (11) payments to an Affiliate in respect of the Notes or any other
Indebtedness of the Issuers or any Restricted Subsidiary on the same basis as concurrent payments made or offered to be made in respect thereof to non-Affiliates, any contribution to the capital of Parent or its Restricted Subsidiaries and the
issuance of Capital Stock of Parent or its Restricted Subsidiaries and the granting of registration and other customary rights in connection therewith; 

(12) any transactions (a) pursuant to the Transactions, the Transaction Agreements and any actions pursuant thereto or
contemplated thereby, (b) with Ensign or any of its Affiliates pursuant to the contracts or agreements described in the Offering Memorandum under the caption “Our Relationship with Ensign Following the Spin-Off,” or (c) in the
case of each of clauses (a) and (b), any amendment, modification, or supplement thereto or replacement thereof, as long as such agreement or arrangement, as so amended, modified, supplemented or replaced, taken as a whole, is not materially
more disadvantageous to Parent and its Restricted Subsidiaries than the original agreement or arrangement in existence on the Issue Date (or if such agreement or contract is not in effect on the Issue Date or in the case of the Transaction
Agreements, their respective dates); 
 (13) the entering into or amending of any tax sharing, allocation or similar
agreement between Parent and the Partnership and any payments thereunder; 
 (14) transactions between Parent or any of its
Restricted Subsidiaries and any Person that would constitute an Affiliate Transaction solely because a director of such Person is also a director of Parent or any of its Restricted Subsidiaries or any direct or indirect parent of Parent;
provided, however, that such director abstains from voting as a director of Parent or such Restricted Subsidiary or such direct or indirect parent, as the case may be, on any matter involving such other Person; 

(15) transactions with joint ventures and Subsidiaries thereof and Unrestricted Subsidiaries relating to the provision of
management services, overhead or similar services or transactions that are approved by a majority of the disinterested members of Parent’s Board of Directors (a director shall be disinterested if he or she has no interest in such joint venture
or Unrestricted Subsidiary other than through Parent and its Restricted Subsidiaries); provided that no Affiliate of Parent (other than Parent’s Restricted Subsidiaries) has an interest (other than indirectly through Parent and other
than such joint venture or Unrestricted Subsidiary) in any such joint venture or Unrestricted Subsidiary; and 
 (16) pledges
of Capital Stock of Unrestricted Subsidiaries. 

  
 53 

 (c) Notwithstanding Sections 4.12(a) and 4.12(b), any transaction or series of
related transactions covered by Section 4.12(a) and not covered by clauses (2) through (16) of Section 4.12(b): 

(i) the aggregate amount of which exceeds $10.0 million of consideration, shall be approved or determined to be fair in the
manner provided for in Section 4.12(b)(1)(A) or (B); and 
 (ii) the aggregate amount of which exceeds
$50.0 million in value, shall be determined to be fair in the manner provided for in Section 4.12(b)(1)(B). 
 SECTION 4.13.
Limitation on Dividend and Other Payment Restrictions Affecting Restricted Subsidiaries. (a) The Issuers will not, and will not permit any of their Restricted Subsidiaries to, create or otherwise cause or suffer to exist or become
effective any consensual encumbrance or restriction of any kind on the ability of any Restricted Subsidiary of the Issuers to: 

(1) pay dividends or make any other distributions permitted by applicable law on any Capital Stock of such Restricted
Subsidiary owned by the Issuers or any other Restricted Subsidiary of the Issuers; 
 (2) pay any Indebtedness owed to the
Issuers or any other Restricted Subsidiary of the Issuers; 
 (3) make loans or advances to the Issuers or any other
Restricted Subsidiary of the Issuers; or 
 (4) transfer its property or assets to the Issuers or any other Restricted
Subsidiary of the Issuers. 
 (b) Section 4.13(a) shall not restrict any encumbrances or restrictions: 

(1) existing under, by reason of or with respect to, this Indenture, the Notes, the Note Guarantees, the Credit Agreement, any
Existing Indebtedness, any other agreement in effect on the Issue Date as in effect on the Issue Date, and any Transaction Agreement as in effect on its date, and any amendments, modifications, restatements, extensions, increases, supplements,
refundings, refinancing, renewals or replacements of such agreements; provided, however, that the encumbrances and restrictions in any such amendments, modifications, restatements, extensions, increases, supplements, refundings,
refinancing, renewals or replacements are not materially more restrictive, taken as a whole, with respect to such dividend or other payment restrictions than those contained in those agreements on the Issue Date or such other date, as applicable;

 (2) existing under, by reason of or with respect to any Credit Facility or other Indebtedness permitted under this
Indenture (and not included in clause (1) above); provided, however, that the encumbrances and restrictions contained in the agreement or agreements governing such Credit Facility or other Indebtedness (x) (A) are not
materially more restrictive, taken as a whole, than those contained in the Credit Agreement (with respect to other credit agreements or Indebtedness other than under an indenture and other than Permitted Mortgage Indebtedness or other mortgage
Indebtedness) or this Indenture (with respect to other indentures), in each case, as in effect on the Issue Date, or (B) with respect to Permitted Mortgage Indebtedness or other mortgage Indebtedness, (i) are not materially more
disadvantageous to the Holders than is customary in comparable financings and (ii) will not materially affect the Issuers’ ability to make principal or interest payments on the Notes (in each case as determined by Parent in good faith at
the time any such Indebtedness is Incurred (and at the time of any modification of the terms of any such encumbrance or restriction)) or (y) apply only during the occurrence of an event of default with respect to such Credit Facility or other
Indebtedness; 
 (3) existing under, by reason of or with respect to applicable law, rule, regulation, decree or
administrative or court order; 
 (4) existing with respect to any Person (including Indebtedness or Capital Stock of such
Person) or the property or assets of such Person acquired by Parent or any Restricted Subsidiary of Parent (or any such Person that otherwise becomes a Restricted Subsidiary of Parent including by designation or by merger or consolidation or sale of
all or substantially all of its assets into or to Parent or another 

  
 54 

 
Restricted Subsidiary of Parent), existing at the time of such acquisition (or such Person so becoming a Restricted Subsidiary of Parent) and not incurred in contemplation thereof, which
encumbrances or restrictions are not applicable to any Person or the property or assets of any Person other than such Person or the property or assets of such Person so acquired (or such Restricted Subsidiary) and any amendments, modifications,
restatements, extensions, increases, supplements, refundings, refinancing, renewals or replacements thereof; provided, however, that the encumbrances and restrictions in any such amendments, modifications, restatements, extensions,
increases, supplements, refundings, refinancing, renewals or replacements are entered into in the ordinary course of business or not materially more restrictive, taken as a whole, than those contained in the instruments or agreements with respect to
such Person or its property or assets as in effect on the date of such acquisition (or such Person so becoming a Restricted Subsidiary of Parent); 

(5) existing under, by reason of or with respect to provisions in joint venture, operating or similar agreements entered into
in connection with a Permitted Business; 
 (6) in the case of Section 4.13(a)(4): 

(i) that restrict in a customary manner the subletting, assignment or transfer of any property or asset that is subject to, or
that is, a lease, license, conveyance or contract or similar property or asset, 
 (ii) other encumbrances or restrictions
contained in or with respect to the Master Leases and the properties subject thereto, 
 (iii) existing by virtue of any
transfer of, agreement to transfer, option or right with respect to, or Lien on, any property or assets of Parent or any Restricted Subsidiary of Parent not otherwise prohibited by this Indenture, 

(iv) existing under, by reason of or with respect to (i) purchase money obligations for property acquired in the ordinary
course of business or (ii) capital leases or operating leases, including purchase money Indebtedness, Capitalized Lease Obligations and other Indebtedness pursuant to be Incurred under Section 4.08(d)(17), that impose encumbrances
or restrictions on the property so acquired or covered thereby, or (iii) a contract with respect to an Asset Sale, Sale and Leaseback Transaction, stock sale agreement or other transfer, conveyance or disposition permitted under this Indenture,
which encumbrances or restrictions are applicable only to the property, assets or Capital Stock that are the subject of such contracts, or 

(v) arising or agreed to in the ordinary course of business, not relating to any Indebtedness, and that do not, individually or
in the aggregate, detract from the value of property or assets of Parent or any Restricted Subsidiary of Parent in any manner material to Parent and its Restricted Subsidiaries taken as a whole; 

(7) with respect to a Restricted Subsidiary and imposed pursuant to an agreement that has been entered into for the sale or
disposition of the Capital Stock of, or property and assets of, such Restricted Subsidiary that restricts distributions by that Restricted Subsidiary pending the closing of such sale or other disposition; 

(8) existing under, by reason of or with respect to Indebtedness permitted to be Incurred pursuant
Section 4.08(d)(14), or other Permitted Refinancing Indebtedness permitted to be Incurred under, Section 4.08; provided, that the encumbrances and restrictions contained in the agreements governing such Indebtedness
are not materially more restrictive, taken as a whole, than those contained in the agreements governing the Indebtedness being refinanced; 

  
 55 

 (9) contained in the terms of any Indebtedness or any agreement pursuant to which
such Indebtedness was issued if: 
 (i) the encumbrance or restriction applies only in the event of a payment default or a
default with respect to a financial covenant contained in such Indebtedness or agreement, 
 (ii) the encumbrance or
restriction is not materially more disadvantageous to the Holders than is customary in comparable financings (as determined by the good faith judgment of Parent), and 

(iii) Parent, in its good faith, determines that such an encumbrance or restriction will not materially affect the
Issuers’ ability to make principal or interest payments on the Notes; 
 (10) any encumbrance or restriction pursuant to
Hedging Obligations or under Permitted Non-Recourse Guarantees; 
 (11) restrictions on deposits made to secure letters of
credit or surety or other bonds issued in connection therewith or deposits made in the ordinary course of business with respect to insurance premiums, worker’s compensation, statutory obligations, utility deposits, rental obligations,
unemployment insurance, performance of tenders, surety and appeal bonds and other similar obligations (or to secure letters of credit or surety or other bonds relating thereto); 

(12) restrictions on the ability of any Restricted Subsidiary to make Investments in or transfer assets to any Person that is
not a Subsidiary of such Restricted Subsidiary or that is not a direct or indirect parent of such Restricted Subsidiary; and 

(13) any encumbrances or restrictions of the type referred imposed by any amendments, modifications, restatements, renewals,
increases, supplements, refundings, restructurings, replacements or other refinancings of those agreements, instruments or obligations referred to in clauses (1) through (12) above, provided that the amendments, modifications,
restatements, renewals, increases, supplements, refundings, restructurings, replacements or other refinancings are no more restrictive, taken as a whole, with respect to such encumbrances or restrictions than those contained in those agreements
prior to such amendment, modification, restatement, renewal, increase, supplement, refunding, restructuring, replacement or other refinancing. 

(c) Nothing contained in this Section 4.13 shall prevent Parent or any Restricted Subsidiary of Parent from (i) restricting
the sale or other disposition of property or assets of Parent or any of its Restricted Subsidiaries that secure Indebtedness of the Issuers or any of their Restricted Subsidiaries or (ii) creating, Incurring, assuming or suffering to exist any
Liens otherwise permitted by this Indenture. For purposes of determining compliance with this Section 4.13, (1) the priority of any Preferred Stock in receiving dividends or liquidating distributions prior to distributions being
paid on Common Stock shall not be deemed a restriction on the ability to make distributions on Capital Stock, and (2) the subordination of loans or advances made to a Restricted Subsidiary to other Indebtedness Incurred by such Restricted
Subsidiary, or other subordination provisions in any Indebtedness, shall not be deemed a restriction on the ability to make loans or advances. 

SECTION 4.14. Future Guarantees by Restricted Subsidiaries. (a) Parent will not permit any Domestic Restricted Subsidiary of the
Issuers to guarantee any Indebtedness under the Credit Agreement, any other syndicated loan facility or any capital markets Indebtedness of the Issuers or a Subsidiary Guarantor (“Guaranteed Indebtedness”), unless such Restricted
Subsidiary within 30 calendar days after so guaranteeing such Guaranteed Indebtedness executes and delivers a supplemental indenture to this Indenture substantially in the form of Exhibit E hereto providing for a Subsidiary Guarantee by such
Restricted Subsidiary; provided, however, that this paragraph shall not be applicable to any guarantee of any Person that existed (or any other guarantee required pursuant to the terms of any Acquired Indebtedness of any Person, which
Acquired Indebtedness existed) at the time such Person became (including by redesignation) a Restricted Subsidiary of, or was merged into, the Issuers or a Restricted Subsidiary and was not Incurred in connection with, or in contemplation of, such
person becoming a Restricted Subsidiary. Parent may elect, in its sole discretion, to cause any Subsidiary that is not otherwise required to be a Subsidiary Guarantor to become a Subsidiary Guarantor, in which case such Subsidiary shall not be
required to comply with the 30 calendar day period described above. For the avoidance of doubt, Indebtedness of a Person that is guaranteed by an Issuer or a Subsidiary Guarantor shall not be deemed to be Guaranteed Indebtedness solely as a result
of such guarantee by such Issuer or Subsidiary Guarantor. 

  
 56 

 (b) If the Guaranteed Indebtedness: 

(i) ranks equally with the Notes (or the applicable Subsidiary Guarantee) in right of payment, then the guarantee of such
Guaranteed Indebtedness shall rank equally with, or subordinate to, the Subsidiary Guarantee issued pursuant to this Section 4.14 in right of payment; or 

(ii) is subordinate in right of payment to the Notes (or the applicable Subsidiary Guarantee), then the guarantee of such
Guaranteed Indebtedness shall be subordinated in right of payment to the Subsidiary Guarantee issued pursuant to this Section 4.14 at least to the extent that the Guaranteed Indebtedness is subordinated to the Notes (or the applicable
Subsidiary Guarantee). 
 SECTION 4.15. Reports to Holders. (a) Whether or not Parent is then required to file reports with the
SEC, Parent shall file with the SEC all such reports and other information as it would be required to file with the SEC by Sections 13(a) or 15(d) under the Exchange Act (including giving effect to any extension period under Rule 12b-25 under the
Exchange Act) if it was subject thereto; provided, however, that, if filing such documents by Parent with the SEC is not permitted under the Exchange Act, Parent (i) shall, within 15 days after the time Parent would be required to
file such information with the SEC if it were subject to Section 13 or 15(d) under the Exchange Act (including giving effect to any extension period under Rule 12b-25 under the Exchange Act), provide such documents and reports to the Trustee
and upon written request supply copies of such documents and reports to any Holder (which in each case may be delivered pursuant to applicable Depository procedures) and (ii) shall post such documents and reports on a website (which may be
non-public) to which any Holder, prospective investors that certify that they are qualified institutional buyers, institutional accredited investors or able to acquire the Notes in reliance on Regulation S under the Securities Act, securities
analysts and market makers are given access; provided, however, that the Trustee shall have no liability whatsoever to determine if such materials have been so posted. Delivery of such information, documents and reports to the Trustee
is for informational purposes only and the Trustee’s receipt of such shall not constitute constructive notice of any information contained therein or determinable from information contained therein, including the Issuers’ compliance with
any of its covenants hereunder (as to which the Trustee is entitled to rely exclusively on Officer’s Certificates). 
 The availability
of the foregoing materials on the SEC’s EDGAR service (or any successor thereto) shall be deemed to satisfy Parent’s obligations to furnish such materials to the Trustee or the Holders; provided, however, that the Trustee
shall have no obligation whatsoever to determine whether or not such information, documents or reports have been filed pursuant to the EDGAR service (or its successor). 

In the event that another parent entity of the Issuers becomes a Guarantor of the Notes, the obligations to furnish the reports and other
information described above may be satisfied by furnishing such reports filed by, or such information of, such other parent Guarantor, and the availability of such other parent Guarantor’s information on the SEC’s EDGAR service (or any
successor thereto) shall be deemed to satisfy such obligations; provided, however, that the Trustee shall have no liability whatsoever to determine if such materials have been so posted. 

(b) So long as not prohibited by the SEC, at any time that either (x) one or more Subsidiaries of Parent is an Unrestricted Subsidiary or
(y) Parent holds directly any material assets (including Capital Stock) other than the Capital Stock of the Issuers and, in either case, such Unrestricted Subsidiary or other assets taken together would represent 5% or more of the Total Assets
of Parent and its Subsidiaries as of the latest quarterly financial statements, then the quarterly and annual financial information required by this Section 4.15 will include a reasonably detailed presentation, either in
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” or any other comparable section, of the financial condition and results of operations of the Issuers and their Restricted Subsidiaries separate
from the financial condition and results of operations of such Unrestricted Subsidiaries and other material assets of Parent. 

  
 57 

 (c) Parent shall also, within a reasonably prompt period of time following the disclosure of the
annual and quarterly information required above, conduct a conference call with respect to such information and results of operations for the relevant reporting period; provided that the foregoing obligation shall be satisfied to the extent
such conference call, to which Holders have access, is conducted with Parent’s public stockholders. No fewer than three Business Days prior to the later of (i) the disclosure of the annual, quarterly and periodic information required above
and (ii) the date of the conference call required to be held in accordance with the preceding sentence, Parent shall issue a press release to the appropriate internationally recognized wire services announcing the date that such information
will be available and the time and date of such conference call. 
 (d) Notwithstanding anything herein to the contrary, Parent will not be
deemed to have failed to comply with any of its obligations under this Section 4.15 for purposes of Section 6.01(4) until 30 days after the date any report is required to be filed or provided pursuant to this
Section 4.15. 
 SECTION 4.16. Suspension of Covenants. During a Suspension Period, Parent and its Restricted
Subsidiaries shall not be subject to Sections 4.08, 4.09, 4.10, 4.11, 4.12, 4.13, 4.14 and 5.01(a)(3). All other provisions of this Indenture shall apply at all times during any Suspension
Period so long as any Notes remain outstanding hereunder. 
 “Suspension Period” means any period (1) beginning on the
date that: 
 (A) the Notes have Investment Grade Status; 

(B) no Default or Event of Default has occurred and is continuing; and 

(C) the Issuers have delivered an Officer’s Certificate to the Trustee certifying that the conditions set forth in clauses
(A) and (B) above are satisfied; 
 and (2) ending on the date (the “Reversion Date”) that the Notes cease to have
Investment Grade Status. 
 During a Suspension Period, Parent’s Board of Directors may not designate any of its Subsidiaries as
Unrestricted Subsidiaries pursuant to the definition of “Unrestricted Subsidiary.” 
 On each Reversion Date, all Indebtedness,
Liens and dividend and other payment restrictions Incurred during the Suspension Period prior to such Reversion Date will be deemed to have been outstanding on the Issue Date. 

On each Reversion Date, calculations under the reinstated Section 4.09 will be made as if Section 4.09 had been in
effect since the Issue Date; provided that no Default or Event of Default will be deemed to have occurred solely by reason of a Restricted Payment made while that covenant was suspended; provided further, that the amount
available to be made as a Restricted Payment shall not be reduced to below zero solely as a result of Restricted Payments made during the Suspension Period but may be reduced to below zero as a result of negative cumulative Funds from Operations
during the Suspension Period for the purpose of Section 4.09(a)(C)(i). 
 For purposes of Section 4.11, on each
Reversion Date, the unutilized Excess Proceeds shall be reset to zero. 
 No Default or Event of Default will be deemed to have occurred on
the Reversion Date (or thereafter) under any Suspended Covenant solely as a result of any actions taken by Parent of any of its Restricted Subsidiaries, or events occurring, during the Suspension Period. For purposes of Section 4.10, if
the Issuers and their Restricted Subsidiaries are not in compliance with Section 4.10 as of a Reversion Date, no Default or Event of Default will be deemed to have occurred unless such noncompliance continues for 120 days following the
Reversion Date, provided that neither the Issuers nor any of their Restricted Subsidiaries shall Incur any Secured Indebtedness until such time that the requirements of Section 4.10 have been satisfied. 

  
 58 

 SECTION 4.17. Spin-Off Transactions. Notwithstanding any of the covenants or obligations
of Parent, the Issuers or any of Parent’s Restricted Subsidiaries pursuant to this Article Four and Section 5.01, any action taken by any of Parent, the Issuers or any of Parent’s Restricted Subsidiaries in connection with or
incidental to the consummation of the Spin-Off and other Transactions shall be permitted under those covenants and obligations without restriction. 

SECTION 4.18. Limitations on the Activities of Capital Corp. Capital Corp will not hold any material assets, become liable for any
material obligations or engage in any significant business activities; provided that Capital Corp may be a co-obligor or guarantor with respect to Indebtedness if the Partnership is an obligor on such Indebtedness and the net proceeds of such
Indebtedness are received by (or applied at the direction of) the Partnership, Capital Corp or one or more Subsidiary Guarantors. At any time after the Partnership becomes a corporation by conversion, merger or otherwise, Capital Corp may
consolidate or merge with or into the Partnership or any Restricted Subsidiary of Parent (without such Restricted Subsidiary becoming a co-obligor in respect of the Notes). 

ARTICLE FIVE 
 Successor
Corporation 
 SECTION 5.01. Consolidation, Merger and Sale of Assets. (a) None of Parent, General Partner, nor either of
the Issuers will consolidate with or merge with or into, or sell, convey, transfer or otherwise dispose of all or substantially all of its and its Restricted Subsidiaries’ (taken as a whole) property and assets (as an entirety or substantially
an entirety in one transaction or a series of related transactions) to, any Person or permit any Person to merge with or into Parent, General Partner or an Issuer, as applicable, unless: 

(1) Parent, General Partner or such Issuer, as applicable, shall be the continuing Person, or the Person (if other than Parent,
General Partner or such Issuer, as applicable) formed by such consolidation or into which Parent, General Partner or such Issuer, as applicable, is merged or that acquired such property and assets of Parent, General Partner or such Issuer, as
applicable shall be a corporation, limited liability company, partnership (including a limited partnership) or trust organized and existing under the laws of the United States of America or any state or jurisdiction thereof and shall expressly
assume, by a supplemental indenture, executed and delivered to the Trustee, all of the obligations of Parent, General Partner or such Issuer, as applicable, under its Note Guarantee (in the case of Parent or General Partner) and under this Indenture
(provided, however, that Capital Corp may not consolidate or merge with or into any Person other than a corporation satisfying such requirement so long as the Partnership is not a corporation); 

(2) immediately after giving effect to such transaction or transactions on a pro forma basis (and treating any
Indebtedness that becomes an obligation of the resulting, surviving or transferee Person as a result of such transaction as having been issued by such Person at the time of such transaction), no Default or Event of Default shall have occurred and be
continuing; 
 (3) immediately after giving effect to such transaction and any related financing transactions (including the
application of the proceeds thereof) as if the same had occurred at the beginning of the applicable Four Quarter Period, on a pro forma basis, (A) either (x) the Issuers and their Restricted Subsidiaries, or any Person becoming the
successor obligor of the Notes, as the case may be, would be permitted to Incur at least $1.00 of additional Indebtedness pursuant Section 4.08(a) or (y) the ratio referred to in Section 4.08(a) would be equal to or
less than such ratio immediately prior to such merger, consolidation or other acquisition, (B) the Issuers and their Restricted Subsidiaries, or any Person becoming the successor obligor of the Notes, as the case may be, would be permitted to
Incur at least $1.00 of additional Indebtedness pursuant to Section 4.08(b) or (y) the ratio referred to in Section 4.08(b) would be equal to or less than such ratio immediately prior to such merger, consolidation
or other acquisition and (C) either (x) the Issuers and the Subsidiary Guarantors, or any Person becoming the successor obligor of the Notes, as the case may be, would be permitted to Incur at least $1.00 of additional Indebtedness
pursuant to Section 4.08(c) or (y) the ratio referred to in Section 4.08(c) would be equal to or greater than such ratio immediately prior to such merger, consolidation or other acquisition; and 

  
 59 

 (4) Parent, General Partner or such Issuer, as applicable, delivers to the
Trustee an Officer’s Certificate and an Opinion of Counsel, in each case stating that such consolidation, merger or transfer and such supplemental indenture complies with this Section 5.01 and that all conditions precedent provided
for herein relating to such transaction have been complied with and, with respect to the Opinion of Counsel, that the supplemental indenture constitutes a valid and binding obligation enforceable against Parent, General Partner or such Issuer, as
applicable, or the Person (if other than Parent, General Partner or such Issuer, as applicable) formed by such consolidation or into which Parent, General Partner or such Issuer, as applicable, is merged or that acquired all or substantially all of
Parent’s, General Partner’s or such Issuer’s and their Restricted Subsidiaries’ property and assets; 
 provided, however,
that clause (3) above does not apply (x) if the principal purpose of such transaction is to change the state of domicile or incorporation of Parent or to form or collapse a holding company structure or to convert Parent, General Partner or
such Issuer, as applicable, into a corporation, partnership, limited partnership, limited liability company or trust organized under the laws of the jurisdiction of organization of Parent or under the laws of the United States, any state thereof or
the District of Columbia (provided, however, that Capital Corp may not consolidate or merge with or into any Person other than a corporation satisfying such requirement so long as the Partnership is not a corporation) or (y) to a
consolidation or merger or sale, conveyance, transfer or other disposition of all or substantially all of Parent’s, General Partner’s or such Issuer’s and their Restricted Subsidiaries’ (taken as a whole) property and assets to a
Wholly Owned Restricted Subsidiary of Parent that is a Subsidiary Guarantor; provided further, however, that any such transaction shall not have as one of its purposes the evasion of the foregoing limitations. 

(b) Except as provided in Sections 10.04(a) and (b), Parent shall not permit any Subsidiary Guarantor to consolidate with or
merge with or into, or convey or transfer, in one transaction or a series of transactions, all or substantially all of its assets to any Person unless: 

(1) the resulting, surviving or transferee Person (if not such Subsidiary) shall be a Person organized and existing under the
laws of the jurisdiction under which such Subsidiary Guarantor was organized or under the laws of the United States of America, or any State thereof or the District of Columbia, and such Person shall expressly assume, by a supplemental indenture,
all the obligations of such Subsidiary Guarantor, if any, under its Subsidiary Guarantee; 
 (2) immediately after giving
effect to such transaction or transactions on a pro forma basis (and treating any Indebtedness that becomes an obligation of the resulting, surviving or transferee Person as a result of such transaction as having been issued by such Person at
the time of such transaction), no Default or Event of Default shall have occurred and be continuing; and 
 (3) Parent
delivers to the Trustee an Officer’s Certificate and an Opinion of Counsel, each stating that such consolidation, merger or transfer and such supplemental indenture, if any, complies with this Indenture and, with respect to the Opinion of
Counsel, that the supplemental indenture constitutes a valid and binding obligation enforceable against the Issuers, the Subsidiary Guarantors, Parent and the surviving Persons. 

(c) Notwithstanding the foregoing: 

(1) an Issuer or any Guarantor may consolidate or merge with or into, or sell, convey, transfer or otherwise dispose of all of
its property and assets to, an Issuer or another Guarantor; 
 (2) any Restricted Subsidiary of Parent that is not an Issuer
or a Subsidiary Guarantor may consolidate or merge with or into, or sell, convey, transfer or otherwise dispose of all of its property and assets to, Parent or any of its Restricted Subsidiaries; and 

(3) any Restricted Subsidiary of Parent may (i) merge with an Affiliate of Parent or a Restricted Subsidiary of Parent if
the principal purpose of such transaction is to change the state of domicile or incorporation of such Restricted Subsidiary or to form or collapse a holding company structure or (ii) convert into a corporation, partnership, limited partnership,
limited liability company or trust organized under the laws of the jurisdiction of organization of such Restricted Subsidiary or under the laws of the United States, any state thereof or the District of Columbia. 

  
 60 

 (d) Upon any such consolidation, combination or merger of an Issuer or a Guarantor, or any such
sale, conveyance, transfer or other disposition of all or substantially all of the assets of an Issuer in accordance with this Section 5.01, in which such Issuer or such Guarantor is not the continuing obligor under the Notes or its Note
Guarantee, the surviving entity formed by such consolidation or into which such Issuer or such Guarantor is merged or the entity to which the sale, conveyance, transfer or other disposition is made shall succeed to, and be substituted for, and may
exercise every right and power of, such Issuer or such Guarantor under this Indenture and, the Notes and the Note Guarantees with the same effect as if such surviving entity had been named therein as such Issuer or such Guarantor and such Issuer or
such Guarantor, as the case may be, shall be released from the obligation to pay the principal of and interest on the Notes or in respect of its Note Guarantee, as the case may be, and all of such Issuer’s or such Guarantor’s other
obligations and covenants under the Notes, this Indenture and its Note Guarantee, if applicable. 
 (e) Notwithstanding any of the
foregoing, (1) the Transactions and any other transaction entered into in connection with and for purposes of effecting the Spin-Off shall not be subject to this Section 5.01, and (2) for the avoidance of doubt, the lease of
all or substantially all of the assets or real estate assets of Parent and its Restricted Subsidiaries (taken as a whole) or of any of its Restricted Subsidiaries shall not be subject to this Section 5.01. 

ARTICLE SIX 
 Default and
Remedies 
 SECTION 6.01. Events of Default. Each of the following is an “Event of Default”: 

(1) default in the payment of principal of, or premium, if any, on any Note when they are due and payable at maturity, upon
acceleration, redemption or otherwise; 
 (2) default in the payment of interest on any Note when due and payable, and such
default continues for a period of 30 days; 
 (3) default in the performance or breach of the provisions under
Section 5.01 or the failure by the Issuers to make or consummate an Offer to Purchase in accordance with Section 4.07 or Section 4.11; 

(4) Parent defaults in the performance of or breaches any other covenant or agreement of Parent in this Indenture or under the
Notes (other than a default specified in clause (1), (2) or (3) above) and such default or breach continues for 60 consecutive days after written notice by the Trustee or the Holders of 25% or more in aggregate principal amount of the
Notes; 
 (5) there occurs with respect to any issue or issues of Indebtedness of Parent or any Significant Subsidiary of
Parent, 
 (i) an event of default that has caused the Holder thereof to declare such Indebtedness to be due and payable
prior to its Stated Maturity and such Indebtedness has not been discharged in full or such acceleration has not been rescinded or annulled within 30 days of such acceleration (the “accelerated debt”), and/or 

(ii) the failure to make a principal payment at the final (but not any interim) fixed maturity of such Indebtedness and such
defaulted payment shall not have been made, waived or extended within 30 days of such payment default (the “payment default debt”); and 

(iii) in each case, the aggregate principal amount of such accelerated debt and payment default debt exceeds $25.0 million.

  
 61 

 (6) any final and non-appealable judgment or order (not covered by insurance) for
the payment of money shall be rendered against Parent or any Significant Subsidiary of Parent and shall not be paid or discharged for a period of 60 consecutive days following entry of such final judgment or order and during such 60-day period a
stay of enforcement of such final judgment or order, by reason of a pending appeal or otherwise, shall not be in effect, and the aggregate amount for such unpaid or undischarged final judgments shall exceed $25.0 million; 

(7) a court of competent jurisdiction enters a decree or order for: 

(i) relief in respect of Parent or any Significant Subsidiary of Parent in an involuntary case under any applicable Bankruptcy
Law now or hereafter in effect, 
 (ii) appointment of a receiver, liquidator, assignee, custodian, trustee, sequestrator or
similar official of Parent or any Significant Subsidiary of Parent or for all or substantially all of the property and assets of Parent or any Significant Subsidiary of Parent, or 

(iii) the winding up or liquidation of the affairs of Parent or any Significant Subsidiary of Parent and, in each case, such
decree or order shall remain unstayed and in effect for a period of 60 consecutive days; or 
 (8) Parent or any Significant
Subsidiary of Parent: 
 (i) commences a voluntary case under any applicable Bankruptcy Law now or hereafter in effect, or
consents to the entry of an order for relief in an involuntary case under such law, 
 (ii) consents to the appointment of or
taking possession by a receiver, liquidator, assignee, custodian, trustee, sequestrator or similar official of Parent or such Significant Subsidiary or for all or substantially all of the property and assets of Parent or such Significant Subsidiary
or 
 (iii) effects any general assignment for the benefit of its creditors. 

SECTION 6.02. Acceleration. If an Event of Default (other than an Event of Default specified in clause (7) or (8) of
Section 6.01 that occurs with respect to Parent or the Issuers) occurs and is continuing under this Indenture, the Trustee or the Holders of at least 25% in aggregate principal amount of the Notes then outstanding, by written notice to
the Issuers (and to the Trustee if such notice is given by the Holders), may, and the Trustee at the request of the Holders of at least 25% in aggregate principal amount of the Notes then outstanding shall, declare the principal of, premium, if any,
and accrued interest on the Notes to be immediately due and payable. Upon a declaration of acceleration, such principal of, premium, if any, and accrued interest shall be immediately due and payable. In the event of a declaration of acceleration
because an Event of Default set forth in clause (5) of Section 6.01 has occurred and is continuing, such declaration of acceleration shall be automatically rescinded and annulled if the event triggering such Event of Default
pursuant to clause (5) of Section 6.01 shall be remedied or cured by Parent or the relevant Significant Subsidiary or waived by the holders of the relevant Indebtedness within 60 days after the declaration of acceleration 

with respect thereto. 
 If an Event of Default
specified in clause (7) or (8) of Section 6.01 occurs with respect to Parent or the Issuers, the principal of, premium, if any, and accrued interest on the Notes then outstanding shall automatically become and be immediately
due and payable without any declaration or other act on the part of the Trustee or any Holder. The Holders of at least a majority in principal amount of the outstanding Notes (including, without limitation, consents obtained in connection with a
purchase of, or tender offer or exchange offer for, Notes) by written notice to the Issuers and to the Trustee, may waive all past defaults (other than a payment default as described under Section 9.02(b)(6)) and rescind and annul a
declaration of acceleration and its consequences if: 
  

	 	(x)	all existing Events of Default, other than the nonpayment of the principal of, premium, if any, and interest on the Notes that have become due solely by such declaration of acceleration, have been cured or waived; and

  

	 	(y)	the rescission would not conflict with any judgment or decree of a court of competent jurisdiction. 

  
 62 

 No such rescission shall affect any subsequent Default or impair any right consequent thereto.

 SECTION 6.03. Other Remedies. If a Default occurs and is continuing, the Trustee may pursue any available remedy by proceeding at
law or in equity to collect the payment of principal of, or interest on, the Notes or to enforce the performance of any provision of the Notes or this Indenture. 

The Trustee may maintain a proceeding even if it does not possess any of the Notes or does not produce any of them in the proceeding. A delay
or omission by the Trustee or any Holder in exercising any right or remedy accruing upon a Default shall not impair the right or remedy or constitute a waiver of or acquiescence in the Default. No remedy is exclusive of any other remedy. All
available remedies are cumulative to the extent permitted by law. 
 SECTION 6.04. Waiver of Past Defaults. Subject to Sections
2.09, 6.07 and 9.02, the Holders of a majority in principal amount of the outstanding Notes (which may include consents obtained in connection with a tender offer or exchange offer of Notes) by written notice to the Trustee may
waive an existing Default and its consequences, other than a payment default as described under Section 9.02(b)(6). The Issuers shall deliver to the Trustee an Officer’s Certificate stating that the requisite percentage of Holders
have consented to such waiver and attaching copies of such consents. When a Default is waived, it is cured and ceases. 
 SECTION 6.05.
Control by Majority. The Holders of at least a majority in aggregate principal amount of the outstanding Notes may direct the time, method and place of conducting any proceeding for any remedy available to the Trustee or exercising any trust
or power conferred on the Trustee. Subject to Section 7.01, however, the Trustee may refuse to follow any direction that conflicts with law or this Indenture, that may involve the Trustee in personal liability, or that the Trustee
determines in good faith may be unduly prejudicial to the rights of Holders not joining in the giving of such direction received from the Holders and may take any other action it deems proper that is not inconsistent with any such direction received
from the Holders. 
 In the event the Trustee takes any action or follows any direction pursuant to this Indenture, the Trustee shall be
entitled to indemnification satisfactory to it from each of Parent, the Issuers and the Guarantors against any loss or expense caused by taking such action or following such direction. 

SECTION 6.06. Limitation on Suits. No Holder shall have any right to institute any proceeding with respect to this Indenture or for any
remedy thereunder, unless: 
 (1) the Holder gives the Trustee written notice of a continuing Event of Default; 

(2) the Holders of at least 25% in aggregate principal amount of outstanding Notes make a written request to the Trustee to
pursue the remedy; 
 (3) such Holder or Holders offer the Trustee indemnity satisfactory to the Trustee against any costs,
liability or expense; 
 (4) the Trustee does not comply with the request within 60 days after receipt of the request and the
offer of indemnity; and 
 (5) during such 60-day period, the Holders of a majority in aggregate principal amount of the
outstanding Notes do not give the Trustee a direction that is inconsistent with the request. 

  
 63 

 However, such limitations do not apply to the right of any Holder of a Note to receive payment of
the principal of, premium, if any, or interest on, such Note or to bring suit for the enforcement of any such payment on or after the due date expressed in the Notes, which right shall not be impaired or affected without the consent of the Holder.

 A Holder may not use this Indenture to prejudice the rights of another Holder or to obtain a preference or priority over such other
Holder (it being understood that the Trustee does not have an affirmative duty to ascertain whether or not such actions or forbearances are unduly prejudicial to such Holders). 

SECTION 6.07. Rights of Holders To Receive Payment. Notwithstanding any other provision of this Indenture, the right of any Holder to
receive payment of principal of and premium, if any, and interest on, a Note, on or after the respective due dates therefor, or to bring suit for the enforcement of any such payment on or after such respective dates, shall not be impaired or
affected without the consent of the Holder. 
 SECTION 6.08. Collection Suit by Trustee. If a Default in payment of principal or
interest specified in Section 6.01(1) or (2) occurs and is continuing, the Trustee may recover judgment in its own name and as trustee of an express trust against the Issuers or any other obligor on the Notes for the whole
amount of principal and accrued interest and fees remaining unpaid, together with interest on overdue principal and, to the extent that payment of such interest is lawful, interest on overdue installments of interest, in each case at the rate per
annum borne by the Notes and such further amount as shall be sufficient to cover the costs and expenses of collection, including the reasonable compensation, expenses, disbursements and advances of the Trustee, its agents and counsel. 

SECTION 6.09. Trustee May File Proofs of Claim. The Trustee may file such proofs of claim and other papers or documents as may be
necessary or advisable in order to have the claims of the Trustee (including any claim for the compensation, expenses, disbursements and advances of the Trustee, its agents and counsel) and the Holders allowed in any judicial proceedings relating to
the Issuers, their creditors or their property and shall be entitled and empowered to collect and receive any monies or other property payable or deliverable on any such claims and to distribute the same, and any custodian in any such judicial
proceedings is hereby authorized by each Holder to make such payments to the Trustee and, in the event that the Trustee shall consent to the making of such payments directly to the Holders, to pay to the Trustee any amount due to it for the
compensation, expenses, disbursements and advances of the Trustee, its agent and counsel, and any other amounts due the Trustee under Section 7.07. Nothing herein contained shall be deemed to authorize the Trustee to authorize or consent
to or accept or adopt on behalf of any Holder any plan of 
 reorganization, arrangement, adjustment or composition affecting the Notes or the rights of any
Holder thereof, or to authorize the Trustee to vote in respect of the claim of any Holder in any such proceeding. The Trustee shall be entitled to participate as a member of any official committee of creditors in the matters as it deems necessary or
advisable. 
 SECTION 6.10. Priorities. If the Trustee collects any money or property pursuant to this Article Six, it shall pay out
the money or property in the following order: 
 First: to the Trustee for amounts due under Section 7.07; 

Second: to Holders for interest accrued on the Notes, ratably, without preference or priority of any kind, according to the amounts due and
payable on the Notes for interest; 
 Third: to Holders for principal amounts due and unpaid on the Notes, ratably, without preference or
priority of any kind, according to the amounts due and payable on the Notes for principal; and 
 Fourth: to the Issuers or, if applicable,
the Guarantors, as their respective interests may appear. 
 The Trustee may fix a record date and payment date for any payment to Holders
pursuant to this Section 6.10. 

  
 64 

 SECTION 6.11. Undertaking for Costs. In any suit for the enforcement of any right or
remedy under this Indenture or in any suit against the Trustee for any action taken or omitted by it as Trustee, a court in its discretion may require the filing by any party litigant in the suit of an undertaking to pay the costs of the suit, and
the court in its discretion may assess reasonable costs, including reasonable attorneys’ fees and expenses, against any party litigant in the suit, having due regard to the merits and good faith of the claims or defenses made by the party
litigant. This Section 6.11 does not apply to a suit by the Trustee, a suit by a Holder pursuant to Section 6.07, or a suit by a Holder or Holders of more than 10% in principal amount of the outstanding Notes. 

SECTION 6.12. Restoration of Rights and Remedies. If the Trustee or any Holder has instituted any proceeding to enforce any right or
remedy under this Indenture and such proceeding has been discontinued or abandoned for any reason, or has been determined adversely to the Trustee or to such Holder, then and in every such case, subject to any determination in such proceedings or
any other proceedings, the Issuers, the Trustee and the Holders shall be restored severally and respectively to their former positions hereunder and thereafter all rights and remedies hereunder of the Trustee and the Holders shall continue as though
no such proceeding has been instituted. 
 ARTICLE SEVEN 

Trustee 
 SECTION 7.01.
Duties of Trustee. (a) If a Default has occurred and is continuing, the Trustee shall exercise such of the rights and powers vested in it by this Indenture and use the same degree of care and skill in their exercise as a prudent person
would exercise or use under the circumstances in the conduct of his or her own affairs. 
 (b) Except during the continuance of a Default:

 (1) The Trustee need perform only those duties as are specifically set forth herein or in the Trust Indenture Act and no
duties, covenants, responsibilities or obligations shall be implied in this Indenture against the Trustee. 
 (2) In the
absence of bad faith on its part, the Trustee may conclusively rely, as to the truth of the statements and the correctness of the opinions expressed therein, upon certificates (including Officer’s Certificates) or opinions (including Opinions
of Counsel) furnished to the Trustee and conforming to the requirements of this Indenture. However, in the case of any such certificates or opinions which by any provision hereof are specifically required to be furnished to the Trustee, the Trustee
shall examine the certificates and opinions to determine whether or not they conform to the requirements of this Indenture (but need not confirm or investigate the accuracy of mathematical calculations or other facts stated therein). 

(c) Notwithstanding anything to the contrary herein, the Trustee may not be relieved from liability for its own negligent action, its own
negligent failure to act, or its own willful misconduct, except that: 
 (1) This paragraph does not limit the effect of
Section 7.01(b). 
 (2) The Trustee shall not be liable for any error of judgment made in good faith by a
Responsible Officer, unless it is proved that the Trustee was negligent in ascertaining the pertinent facts. 
 (3) The
Trustee shall not be liable with respect to any action it takes or omits to take in good faith in accordance with a direction received by it pursuant to Section 6.05. 

(d) No provision of this Indenture shall require the Trustee to expend or risk its own funds or otherwise incur any financial liability in the
performance of any of its duties hereunder or to take or omit to take any action under this Indenture or take any action at the request or direction of Holders if it shall have reasonable grounds for believing that repayment of such funds or
adequate indemnity against such risk or liability is not assured to it. 
 (e) Whether or not therein expressly so provided, every provision
of this Indenture that in any way relates to the Trustee is subject to this Section 7.01. 

  
 65 

 (f) The Trustee shall not be liable for interest on any money received by it except as the
Trustee may agree in writing with the Issuers. Money held in trust by the Trustee need not be segregated from other funds except to the extent required by law or unless otherwise agreed in writing with the Issuers. 

(g) In the absence of bad faith, negligence or willful misconduct on the part of the Trustee, the Trustee shall not be responsible for the
application of any money by any Paying Agent other than the Trustee. 
 SECTION 7.02. Rights of Trustee. 

Subject to Section 7.01: 

(a) The Trustee may rely conclusively on any resolution, certificate (including any Officer’s Certificate), statement, instrument, opinion
(including any Opinion of Counsel), notice, request, direction, consent, order, bond, debenture or other paper or document believed by it to be genuine and to have been signed or presented by the proper Person. The Trustee need not investigate any
fact or matter stated in the document. 
 (b) Before the Trustee acts or refrains from acting, it may require an Officer’s Certificate
and an Opinion of Counsel, which shall conform to the provisions of Section 11.05. The Trustee shall not be liable for any action it takes or omits to take in good faith in reliance on such Officer’s Certificate or Opinion of
Counsel. 
 (c) The Trustee may act through its attorneys and agents and shall not be responsible for the misconduct or negligence of any
agent (other than an agent who is an employee of the Trustee) appointed with due care. 
 (d) The Trustee shall not be liable for any action
it takes or omits to take in good faith which it reasonably believes to be authorized or within its rights or powers under this Indenture. 

(e) The Trustee may consult with counsel of its selection and the advice or opinion of such counsel as to matters of law shall be full and
complete authorization and protection from liability in respect of any action taken, omitted or suffered by it hereunder in good faith and in accordance with the advice or opinion of such counsel. 

(f) The Trustee shall be under no obligation to exercise any of the rights or powers vested in it by this Indenture at the request, order or
direction of any of the Holders pursuant to the provisions of this Indenture, unless such Holders shall have offered to the Trustee security or indemnity satisfactory to it against the costs, expenses and liabilities which may be incurred therein or
thereby. 
 (g) The Trustee shall not be bound to make any investigation into the facts or matters stated in any resolution, certificate
(including any Officer’s Certificate), statement, instrument, opinion (including any Opinion of Counsel), notice, request, direction, consent, order, bond, debenture, or other paper or document, but the Trustee, in its discretion, may make such
further inquiry or investigation into such facts or matters as it may see fit and, if the Trustee shall determine to make such further inquiry or investigation, it shall be entitled, upon reasonable notice to the Issuers, to examine the books,
records, and premises of the Issuers, personally or by agent or attorney at the sole cost of the Issuers and shall incur no liability or additional liability of any kind by reason of such inquiry or investigation. 

(h) The Trustee shall not be required to give any bond or surety in respect of the performance of its powers and duties hereunder. 

(i) The permissive rights of the Trustee to do things enumerated in this Indenture shall not be construed as duties. 

(j) Except with respect to Sections 4.01 and 4.05, the Trustee shall have no duty to inquire as to the performance of the
Issuers with respect to the covenants contained in Article Four. In addition, the Trustee shall not be deemed to have knowledge of an Event of Default except (i) if the Trustee is the Paying Agent, any Default or Event of Default occurring
pursuant to Section 4.01, 6.01(1) or 6.01(2) or (ii) any Default or Event of Default actually known to a Responsible Officer. 

  
 66 

 (k) The rights, privileges, protections, immunities and benefits given to the Trustee, including
its right to be indemnified, are extended to, and shall be enforceable by, the Trustee in each of its capacities hereunder, and to each agent, custodian and other Person employed to act hereunder. 

(l) In no event shall the Trustee be responsible or liable for special, indirect, punitive or consequential loss or damage of any kind
whatsoever (including, but not limited to, loss of profit) irrespective of whether the Trustee has been advised of the likelihood of such loss or damage and regardless of the form of action. 

(m) The Trustee may request that the Issuers deliver a certificate setting forth the names of individuals and/or titles of officers authorized
at such time to take specified actions pursuant to this Indenture; provided, however, that the Issuers shall not be required to deliver such certificate if an accurate certificate setting forth the names of authorized individuals
and/or titles of officers is on file with the Trustee. 
 SECTION 7.03. Individual Rights of Trustee. The Trustee in its individual
or any other capacity may become the owner or pledgee of Notes and may otherwise deal with the Issuers, their Subsidiaries or their respective Affiliates with the same rights it would have if it were not Trustee. Any Agent may do the same with like
rights. However, the Trustee shall comply with Sections 7.10 and 7.11. 
 SECTION 7.04. Trustee’s Disclaimer. The
Trustee shall not be responsible for and makes no representation as to the validity or adequacy of this Indenture or the Notes, it shall not be accountable for the Issuers’ use of the proceeds from the Notes, and it shall not be responsible for
any statement of the Issuers in this Indenture or any document issued in connection with the sale of Notes or any statement in the Notes other than the Trustee’s certificate of authentication. The Trustee makes no representations with respect
to the effectiveness or adequacy of this Indenture. 
 SECTION 7.05. Notice of Default. If a Default occurs and is continuing and is
deemed to be known to the Trustee pursuant to Section 7.02(j), the Trustee shall give to each Holder notice of the uncured Default within 60 days after such Default occurs. Except in the case of a Default in payment of principal of, or
interest on, any Note, including an accelerated payment and the failure to make a payment on a Payment Date pursuant to an Offer to Purchase or a Default in complying with the provisions of Article Five, the Trustee may withhold the notice if and so
long as it in good faith determines that withholding the notice is in the interest of the Holders. 
 SECTION 7.06. Reports by Trustee to
Holders. Within 60 days after each December 1, beginning with December 1, 2014, the Trustee shall, to the extent that any of the events described in Trust Indenture Act § 313(a) occurred within the previous twelve months, but not
otherwise, give to each Holder a brief report dated as of such date that complies with Trust Indenture Act § 313(a). The Trustee also shall comply with Trust Indenture Act §§ 313(b), 313(c) and 313(d). 

A copy of each report at the time of its giving to Holders shall be given to the Issuers and filed with the SEC and each securities exchange,
if any, on which the Notes are listed. 
 The Issuers shall promptly notify the Trustee in writing if the Notes become listed on any
securities exchange or of any delisting thereof and the Trustee shall comply with Trust Indenture Act § 313(d). 
 SECTION 7.07.
Compensation and Indemnity. The Issuers shall pay to the Trustee from time to time such compensation as the Issuers and the Trustee shall from time to time agree in writing for its services hereunder. The Trustee’s compensation shall not
be limited by any law on compensation of a trustee of an express trust. The Issuers shall reimburse the Trustee upon request for all reasonable disbursements, expenses and advances (including reasonable fees and expenses of counsel) incurred or made
by it in addition to the compensation for its services, except any such disbursements, expenses and advances as may be attributable to the Trustee’s negligence, bad faith or willful misconduct. Such expenses shall include the reasonable fees
and expenses of the Trustee’s agents and counsel. 

  
 67 

 The Issuers shall indemnify each of the Trustee or any predecessor Trustee and its agents for,
and hold them harmless against, any and all loss, damage, claims including taxes (other than taxes based upon, measured by or determined by the income of the Trustee), liability or expense incurred by them except for such actions to the extent
caused by any negligence, bad faith or willful misconduct on their part, arising out of or in connection with the acceptance or administration of this trust including the reasonable costs and expenses of defending themselves against or investigating
any claim or liability in connection with the exercise or performance of any of the Trustee’s rights, powers or duties hereunder. The Trustee shall notify the Issuers promptly of any claim asserted against the Trustee or any of its agents for
which it may seek indemnity. The Issuers may, subject to the approval of the Trustee (which approval shall not be unreasonably withheld), defend the claim and the Trustee shall cooperate in the defense. The Trustee and its agents subject to the
claim may have separate counsel and the Issuers shall pay the reasonable fees and expenses of such counsel; provided, however, that the Issuers shall not be required to pay such fees and expenses if, subject to the approval of the Trustee
(which approval shall not be unreasonably withheld), (a) they assume the Trustee’s defense, (b) there is no conflict of interest between the Issuers and the Trustee and its agents subject to the claim in connection with such defense
as determined by the Trustee, (c) there are no legal defenses available to the Trustee that are different from or that are in addition to those available to the Issuers, and (d) if all parties commonly represented agree as to the action
(or inaction) of counsel. The Issuers need not pay for any settlement made without their written consent. The Issuers need not reimburse any expense or indemnify against any loss or liability to the extent incurred by the Trustee through its
negligence, bad faith or willful misconduct. 
 Notwithstanding anything to the contrary in this Indenture, to secure the Issuers’
payment obligations in this Section 7.07, the Trustee shall have a Lien prior to the Notes against all money or property held or collected by the Trustee, in its capacity as Trustee, except money or property held in trust to pay
principal and interest on particular Notes. 
 When the Trustee incurs expenses or renders services after a Default specified in
Section 6.01(7) or 6.01(8) occurs, such expenses and the compensation for such services shall be paid to the extent allowed under any Bankruptcy Law. 

Notwithstanding any other provision in this Indenture, the foregoing provisions of this Section 7.07 shall survive the
satisfaction and discharge of this Indenture or the appointment of a successor Trustee. 
 SECTION 7.08. Replacement of Trustee. A
resignation or removal of the Trustee and appointment of a successor Trustee shall become effective only upon the successor Trustee’s acceptance of appointment as provided in this Section 7.08. The Trustee may resign with 60 days
prior written notice by so notifying the Issuers in writing. The Holders of a majority in principal amount of the outstanding Notes may remove the Trustee by so notifying the Issuers and the Trustee and may appoint a successor Trustee. The Issuers
may remove the Trustee if: 
  

	 	(1)	the Trustee fails to comply with Section 7.10; 

  

	 	(2)	the Trustee is adjudged a bankrupt or an insolvent; 

  

	 	(3)	a receiver or other public officer takes charge of the Trustee or its property; or 

  

	 	(4)	the Trustee becomes incapable of acting. 

 If the Trustee resigns or is removed or if a vacancy
exists in the office of Trustee for any reason, the Issuers shall notify each Holder of such event and shall promptly appoint a successor Trustee. Within one year after the successor Trustee takes office, the Holders of a majority in principal
amount of the Notes may appoint a successor Trustee to replace the successor Trustee appointed by the Issuers. 
 A successor Trustee shall
deliver a written acceptance of its appointment to the retiring Trustee and to the Issuers. Immediately after that, the retiring Trustee shall transfer, after payment of all sums then owing to the Trustee pursuant to Section 7.07, all
property held by it as Trustee to the successor Trustee, subject to the Lien provided in Section 7.07, the resignation or removal of the retiring Trustee shall become effective, and the successor Trustee shall have all the rights, powers
and duties of the Trustee under this Indenture. A successor Trustee shall give notice of its succession to each Holder. 

  
 68 

 If a successor Trustee does not take office within 60 days after the retiring Trustee resigns or
is removed, the retiring Trustee, the Issuers or the Holders of at least 10% in principal amount of the outstanding Notes may petition any court of competent jurisdiction for the appointment of a successor Trustee at the expense of the Issuers. 

If the Trustee fails to comply with Section 7.10, any Holder may petition any court of competent jurisdiction for the removal of
the Trustee and the appointment of a successor Trustee. 
 Notwithstanding replacement of the Trustee pursuant to this
Section 7.08, the Issuers’ obligations under Section 7.07 shall continue for the benefit of the retiring Trustee. 

SECTION 7.09. Successor Trustee by Merger, Etc. If the Trustee consolidates with, merges or converts into, or transfers all or
substantially all of its corporate trust business to, another corporation, the resulting, surviving or transferee corporation without any further act shall, if such resulting, surviving or transferee corporation is otherwise eligible hereunder, be
the successor Trustee; provided that such corporation shall be otherwise qualified and eligible under this Article Seven. 
 SECTION
7.10. Eligibility; Disqualification. This Indenture shall always have a Trustee who satisfies the requirement of Trust Indenture Act §§ 310(a)(1), 310(a)(2) and 310(a)(5). The Trustee shall have a combined capital and surplus of at
least $50.0 million as set forth in its most recent published annual report of condition. The Trustee shall comply with Trust Indenture Act § 310(b); provided, however, that there shall be excluded from the operation of Trust Indenture
Act § 310(b)(1) any indenture or indentures under which other securities, or certificates of interest or participation in other securities, of the Issuers are outstanding, if the requirements for such exclusion set forth in Trust Indenture Act
§ 310(b)(1) are met. The provisions of Trust Indenture Act § 310 shall apply to the Issuers and any other obligor of the Notes. 

SECTION 7.11. Preferential Collection of Claims Against the Issuers. The Trustee, in its capacity as Trustee hereunder, shall comply
with Trust Indenture Act § 311(a), excluding any creditor relationship listed in Trust Indenture Act § 311(b). A Trustee who has resigned or been removed shall be subject to Trust Indenture Act § 311(a) to the extent indicated.

 ARTICLE EIGHT 
 Discharge
of Indenture; Defeasance 
 SECTION 8.01. Termination of the Issuers’ Obligations. The Issuers may terminate their
obligations under the Notes and this Indenture and the obligations of the Guarantors under the Note Guarantees and this Indenture, and this Indenture shall cease to be of further effect, except those obligations referred to in the penultimate
paragraph of this Section 8.01, if: 
 (1) either 

(A) all the Notes theretofore authenticated and delivered (except lost, stolen or destroyed Notes which have been replaced or
paid and Notes for whose payment money has theretofore been deposited in trust or segregated and held in trust by the Issuers and thereafter repaid to the Issuers or discharged from such trust) have been delivered to the Trustee for cancellation; or

 (B) all Notes not theretofore delivered to the Trustee for cancellation (1) have become due and payable or
(2) will become due and payable within one year, or are to be called for redemption within one year, under arrangements reasonably satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the
expense, of the Issuers, and the Issuers have irrevocably deposited or caused to be deposited with the Trustee funds in an amount sufficient to pay and discharge the entire Indebtedness on the Notes not theretofore

  
 69 

 
delivered to the Trustee for cancellation, for principal of, premium, if any, and interest on the Notes to the date of maturity or redemption, as the case may be, together with irrevocable
written instructions from the Issuers directing the Trustee to apply such funds to the payment thereof at maturity or redemption, as the case may be; provided that, with respect to any redemption pursuant to Section 5 of the Notes that
requires the payment of the Applicable Premium, the Redemption Price deposited shall be sufficient for purposes of this Indenture to the extent that the Redemption Price so deposited with the Trustee is calculated using an amount equal to the
Applicable Premium computed using the Adjusted Treasury Rate as of the third Business Day preceding the date of such deposit with the Trustee; 

(2) the Issuers have paid all other sums then due and payable under this Indenture by Parent or the Issuers, and 

(3) the Issuers have delivered to the Trustee an Officer’s Certificate and an Opinion of Counsel stating that all
conditions precedent under this Indenture relating to the satisfaction and discharge of this Indenture have been complied with. 
 In the
case of clause (B) of this Section 8.01, and subject to the next sentence and notwithstanding the foregoing paragraph, the Issuers’ obligations in Sections 2.05, 2.06, 2.07, 2.08, 4.01,
4.02, 4.03 (as to legal existence of the Issuers only), 7.07, 8.05 and 8.06 shall survive until the Notes are no longer outstanding pursuant to the last paragraph of Section 2.08. After the Notes are no
longer outstanding, the Issuers’ obligations in Sections 7.07, 8.05 and 8.06 shall survive. 
 After such delivery
or irrevocable deposit, the Trustee upon request shall acknowledge in writing the discharge of the Issuers’ obligations under the Notes and this Indenture except for those surviving obligations specified above. 

SECTION 8.02. Legal Defeasance and Covenant Defeasance. (a) The Issuers may, at their option and at any time, elect to have either
paragraph (b) or (c) below be applied to all outstanding Notes upon compliance with the conditions set forth in Section 8.03. 

(b) Upon the Issuers’ exercise under Section 8.02(a) hereof of the option applicable to this Section 8.02(b), the
Issuers and the Guarantors shall, subject to the satisfaction of the conditions set forth in Section 8.03, be deemed to have been discharged from their obligations with respect to all outstanding Notes (including Note Guarantees) on the
date the conditions set forth below are satisfied (hereinafter, “Legal Defeasance”). For this purpose, Legal Defeasance means that the Issuers and the Guarantors shall be deemed to have paid and discharged the entire Indebtedness
represented by the outstanding Notes and Note Guarantees, which shall thereafter be deemed to be “outstanding” only for the purposes of Section 8.04 hereof and the other Sections of this Indenture referred to in (i) and
(ii) below, and to have satisfied all its other obligations under such Notes and this Indenture and the Guarantors shall be deemed to have satisfied all of their obligations under the Note Guarantees and this Indenture (and the Trustee, on
demand of and at the expense of the Issuers, shall execute proper instruments acknowledging the same), except for the following provisions which shall survive until otherwise terminated or discharged hereunder: 

(i) the rights of Holders of outstanding Notes to receive, solely from the trust fund described in Section 8.04,
and as more fully set forth in such Section 8.04, payments in respect of the principal of, premium, if any, and interest on such Notes when such payments are due; 

(ii) the Issuers’ obligations with respect to such Notes concerning issuing temporary Notes, registration of Notes,
mutilated, destroyed, lost or stolen Notes and Section 4.02 hereof; 
 (iii) the rights, powers, trusts, duties
and immunities of the Trustee, and the Issuers’ obligations in connection therewith; and 
 (iv) the provisions of this
Article Eight applicable to Legal Defeasance. 

  
 70 

 Subject to compliance with this Article Eight, the Issuers may exercise their option under this
Section 8.02(b) notwithstanding the prior exercise of its option under Section 8.02(c). 
 (c) Upon the Issuers’
exercise under Section 8.02(a) hereof of the option applicable to this Section 8.02(c), the Issuers and the Guarantors shall, subject to the satisfaction of the conditions set forth in Section 8.03, be released
from their respective obligations under the covenants contained in Sections 4.03 (other than with respect to the legal existence of the Issuers), 4.07 through 4.18 and clause (3) of Section 5.01(a) with respect
to the outstanding Notes on and after the date the conditions set forth in Section 8.03 are satisfied (hereinafter, “Covenant Defeasance”), and the Notes shall thereafter be deemed not “outstanding” for the purposes
of any direction, waiver, consent or declaration or act of Holders (and the consequences of any thereof) in connection with such covenants, but shall continue to be deemed “outstanding” for all other purposes hereunder (it being understood
that such Notes shall not be deemed outstanding for accounting purposes). For this purpose, Covenant Defeasance means that, with respect to the outstanding Notes and Note Guarantees, the Issuers and the Guarantors may omit to comply with and shall
have no liability in respect of any term, condition or limitation set forth in any such covenant, whether directly or indirectly, by reason of any reference elsewhere herein to any such covenant or by reason of any reference in any such covenant to
any other provision herein or in any other document and such omission to comply shall not constitute a Default or an Event of Default under Section 6.01, but, except as specified above, the remainder of this Indenture and such Notes and
Note Guarantees shall be unaffected thereby. In addition, upon the Issuers’ exercise under paragraph (a) hereof of the option applicable to this paragraph (c), subject to the satisfaction of the conditions set forth in
Section 8.03, clauses (3), (4), (5) and (6), and solely with respect to Guarantors, clauses (7) and (8), of Section 6.01 shall not constitute Events of Default. 

SECTION 8.03. Conditions to Legal Defeasance or Covenant Defeasance. The following shall be the conditions to the application of either
Section 8.02(b) or 8.02(c) hereof to the outstanding Notes: 
 (1) the Issuers shall irrevocably deposit
with the Trustee, in trust, for the benefit of the Holders, U.S. Legal Tender, U.S. Government Obligations or a combination thereof, in such amounts as will be sufficient (without reinvestment) in the opinion or based on a report of a nationally
recognized firm of independent public accountants, investment bank or appraisal firm selected by the Issuers, to pay the principal of and interest on the Notes on the stated date for payment or on the Redemption Date of the Notes; provided
that, with respect to any redemption pursuant to Section 5 of the Notes that requires the payment of the Applicable Premium, the Redemption Price deposited shall be sufficient for purposes of this Indenture to the extent that the Redemption
Price so deposited with the Trustee is calculated using an amount equal to the Applicable Premium computed using the Adjusted Treasury Rate as of the third Business Day preceding the date of such deposit with the Trustee; 

(2) in the case of Legal Defeasance, the Issuers shall have delivered to the Trustee an Opinion of Counsel in the United States
confirming that: 
  

	 	(a)	the Issuers have received from, or there has been published by the Internal Revenue Service, a ruling, or 

  

	 	(b)	since the Issue Date, there has been a change in the applicable U.S. Federal income tax law, 

 in either case
to the effect that, and based thereon this Opinion of Counsel shall confirm that the Holders and beneficial owners will not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such Legal Defeasance and will be subject
to U.S. Federal income tax on the same amounts, in the same manner and at the same times as would have been the case if such Legal Defeasance had not occurred; 

(3) in the case of Covenant Defeasance, the Issuers shall have delivered to the Trustee an Opinion of Counsel in the United
States reasonably acceptable to the Trustee confirming that the Holders will not recognize income, gain or loss for U.S. Federal income tax purposes as a result of such Covenant Defeasance and will be subject to U.S. Federal income tax on the same
amounts, in the same manner and at the same times as would have been the case if such Covenant Defeasance had not occurred; 

  
 71 

 (4) no Default shall have occurred and be continuing on the date of such deposit
(other than a Default resulting from the borrowing of funds to be applied to such deposit and any similar and substantially simultaneous deposit relating to other Indebtedness and, in each case, the granting of Liens on the funds deposited in
connection therewith); 
 (5) the Legal Defeasance or Covenant Defeasance shall not result in a breach or violation of, or
constitute a default under, any other material agreement or material instrument (other than this Indenture) to which Parent or any of its Subsidiaries is a party or by which Parent or any of its Subsidiaries is bound (other than any such default
relating to any Indebtedness being repaid, discharged, defeased, redeemed or repurchased from any borrowing of funds to be applied to such deposit and any similar and substantially simultaneous deposit relating to such Indebtedness, and the granting
of Liens on the funds deposited in connection therewith); and 
 (6) the Issuers shall have delivered to the Trustee an
Officer’s Certificate and an Opinion of Counsel, each stating that the conditions provided for in, in the case of the Officer’s Certificate, clauses (1) through (5) and, in the case of the Opinion of Counsel, clauses
(2) and/or (3) of this Section 8.03 have been complied with. 
 Notwithstanding the foregoing, the Opinion of Counsel
required by clause (2) above with respect to a Legal Defeasance need not to be delivered if all Notes not theretofore delivered to the Trustee for cancellation (x) have become due and payable, or (y) will become due and payable at
stated maturity within one year or are to be called for redemption within one year under irrevocable written arrangements satisfactory to the Trustee for the giving of notice of redemption by the Trustee in the name, and at the expense, of the
Issuers. 
 SECTION 8.04. Application of Trust Money. Subject to Section 8.05, the Trustee or Paying Agent shall hold in
trust all U.S. Legal Tender and U.S. Government Obligations deposited with it pursuant to this Article Eight, and shall apply the deposited U.S. Legal Tender and the money from U.S. Government Obligations in accordance with this Indenture to the
payment of the principal of and the interest on the Notes. The Trustee shall be under no obligation to invest said U.S. Legal Tender and U.S. Government Obligations, except as it may agree with the Issuers. 

The Issuers shall pay and indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the U.S. Legal Tender and
U.S. Government Obligations deposited pursuant to Section 8.03 or the principal and interest received in respect thereof, other than any such tax, fee or other charge which by law is for the account of the Holders of the outstanding
Notes. 
 Anything in this Article Eight to the contrary notwithstanding, the Trustee shall deliver or pay to the Issuers from time to time
upon the Issuers’ written request any U.S. Legal Tender and U.S. Government Obligations held by it as provided in Section 8.03 which, in the opinion of a nationally recognized firm of independent public accountants expressed in a
written certification thereof delivered to the Trustee, are in excess of the amount thereof that would then be required to be deposited to effect an equivalent Legal Defeasance or Covenant Defeasance. 

SECTION 8.05. Repayment to the Issuers. The Trustee and the Paying Agent shall pay to the Issuers upon written request any money held
by them for the payment of principal or interest that remains unclaimed for two years. After payment to the Issuers, Holders entitled to such money shall look to the Issuers for payment as general creditors unless an applicable law designates
another Person. 
 SECTION 8.06. Reinstatement. If the Trustee or Paying Agent is unable to apply any U.S. Legal Tender and U.S.
Government Obligations in accordance with this Article Eight by reason of any legal proceeding or by reason of any order or judgment of any court or governmental authority enjoining, restraining or otherwise prohibiting such application, the
Issuers’ and the Guarantors’ obligations under this Indenture, and the Notes and the Note Guarantees shall be revived and reinstated as though no deposit had occurred pursuant to this Article Eight until such time as the Trustee or Paying
Agent is permitted to apply all such U.S. Legal Tender and U.S. Government Obligations in accordance with this Article Eight; provided that if the Issuers have made any payment of interest on, or principal of, any Notes because of the reinstatement
of its obligations, the Issuers shall be subrogated to the rights of the Holders of such Notes to receive such payment from the U.S. Legal Tender and U.S. Government Obligations held by the Trustee or Paying Agent. 

  
 72 

 ARTICLE NINE 

Amendments, Supplements and Waivers 

SECTION 9.01. Without Consent of Holders. The Issuers, the Guarantors and the Trustee, together, may amend or supplement this
Indenture, the Notes or the Note Guarantees without notice to or consent of any Holder: 
 (1) to cure any ambiguity,
omission, defect, mistake or inconsistency; 
 (2) to provide for the assumption by a successor corporation or other entity
of the obligations of Parent, the Issuers or any Subsidiary Guarantor under this Indenture, the Notes and the Note Guarantees; 

(3) to provide for uncertificated Notes in addition to or in place of certificated Notes; 

(4) to add guarantees with respect to the Notes, including any Subsidiary Guarantees, or to secure the Notes; 

(5) to add to the covenants of Parent, the Issuers or a Restricted Subsidiary of Parent for the benefit of the Holders or to
surrender any right or power conferred upon Parent, the Issuers or a Restricted Subsidiary of Parent or to add additional Events of Default; 

(6) to make any change that does not adversely affect the rights of any Holder in any material respect; 

(7) to comply with any requirement of the SEC in order to effect or maintain the qualification of this Indenture under the
Trust Indenture Act; 
 (8) to make any amendment to the provisions of this Indenture relating to the transfer and legending
of Notes; provided, however, that (a) compliance with this Indenture as so amended would not result in Notes being transferred in violation of the Securities Act or any other applicable securities law and (b) such amendment does not
materially and adversely affect the rights of Holders to transfer Notes; 
 (9) to conform the text of this Indenture or the
Note Guarantees or the Notes to any provision of the “Description of Notes” section of the Offering Memorandum to the extent that such provision in the “Description of Notes” section of the Offering Memorandum was intended to be
a recitation of a provision of this Indenture or the Note Guarantees or the Notes as set forth in an Officer’s Certificate delivered to the Trustee; 

(10) to evidence and provide for the acceptance of appointment by a successor Trustee, provided that the successor Trustee is
otherwise qualified and eligible to act as such under the terms of this Indenture; 
 (11) to release a Subsidiary Guarantor
from its Subsidiary Guarantee as permitted by and in accordance with this Indenture; 
 (12) to provide for a reduction in
the minimum denominations of the Notes; 
 (13) to comply with the rules of any applicable securities depositary; or 

(14) to provide for the issuance of Additional Notes and related guarantees in accordance with the limitations set forth in
this Indenture. 

  
 73 

 SECTION 9.02. With Consent of Holders. (a) Subject to Section 6.07 and
this Section 9.02, the Issuers, the Guarantors and the Trustee, together, with the consent of the Holder or Holders of not less than a majority in aggregate principal amount of the outstanding Notes (including, without limitation,
consents obtained in connection with a purchase of, or tender offer or exchange offer for, Notes) may amend or supplement this Indenture, the Notes or the Note Guarantees, without notice to any other Holders. Subject to Sections 6.07, the
Holder or Holders of not less than a majority in aggregate principal amount of the outstanding Notes may waive compliance with any provision of this Indenture, the Notes or the Note Guarantees without notice to any other Holders (including, without
limitation, waivers obtained in connection with a purchase of, or tender offer or exchange offer for, Notes). 
 (b) Notwithstanding
Section 9.02(a), without the consent of each Holder affected (including, without limitation, consents obtained in connection with a purchase of, or tender offer or exchange offer for, Notes), no amendment or waiver may: 

(1) change the Stated Maturity of the principal of, or any installment of interest on, any Note (in each case, other than
pursuant to Section 4.07 or Section 4.11); 
 (2) reduce the principal amount of, or premium, if any,
or interest on, any Note (in each case, other than pursuant to Section 4.07 or Section 4.11); 
 (3)
change the place of payment of principal of, or premium, if any, or interest on, any Note; 
 (4) impair the right to
institute suit for the enforcement of any payment on or after the Stated Maturity (or, in the case of a redemption, on or after the Redemption Date) of any Note; 

(5) reduce the above-stated percentages of outstanding Notes the consent of whose Holders is necessary to modify or amend this
Indenture; 
 (6) waive a default in the payment of principal of, premium, if any, or interest on the Notes (except a
rescission of the declaration of acceleration of the Notes by the Holders of at least a majority in aggregate principal amount of the Notes then outstanding and a waiver of the payment default that resulted from such acceleration, so long as all
other existing Events of Default, other than the nonpayment of the principal of, premium, if any, and interest on the Notes that have become due solely by such declaration of acceleration, have been cured or waived); 

(7) voluntarily release a Guarantor of the Notes, except as permitted by this Indenture; 

(8) reduce the percentage or aggregate principal amount of outstanding Notes the consent of whose Holders is necessary for
waiver of compliance with provisions of this Indenture or for waiver of Defaults; or 
 (9) subordinate the Notes or the Note
Guarantees as to right of payment to any other Indebtedness of the Issuers or any Guarantor. 
 (c) It shall not be necessary for the
consent of the Holders under this Section 9.02 to approve the particular form of any proposed amendment, supplement or waiver but it shall be sufficient if such consent approves the substance thereof. 

(d) A consent to any amendment, supplement or waiver under this Indenture by any Holder given in connection with an exchange (in the case of
an exchange offer) or a tender (in the case of a tender offer) or a purchase of such Holder’s Notes shall not be rendered invalid by such tender, exchange or purchase. 

(e) After an amendment, supplement or waiver under this Section 9.02 becomes effective, Parent shall give to the Holders affected
thereby a notice (which may be given in accordance with applicable Depository procedures) briefly describing the amendment, supplement or waiver. Any failure of Parent to give such notice to all Holders, or any defect therein, shall not, however, in
any way impair or affect the validity of any such amendment, supplement or waiver. 

  
 74 

 (f) Neither Parent nor any Affiliate of Parent may, directly or indirectly, pay or cause to be
paid any consideration, whether by way of interest, fee or otherwise, to any Holder for or as an inducement to any consent, waiver or amendment of any of the terms or provisions of this Indenture or the Notes unless such consideration is offered to
all Holders and is paid to all Holders that so consent, waive or agree to amend in the time frame set forth in solicitation documents relating to such consent, waiver or agreement. 

SECTION 9.03. Compliance with the Trust Indenture Act. From the date on which this Indenture is qualified under the Trust Indenture
Act, every amendment, waiver or supplement of this Indenture, the Notes or the Note Guarantees shall comply with the Trust Indenture Act as then in effect. 

SECTION 9.04. Revocation and Effect of Consents. Until an amendment, waiver or supplement becomes effective, a consent to it by a
Holder is a continuing consent by the Holder and every subsequent Holder of a Note or portion of a Note that evidences the same debt as the consenting Holder’s Note, even if notation of the consent is not made on any Note. However, subject to
the terms of the request for consents, any such Holder or subsequent Holder may revoke the consent as to its Note or portion of its Note by notice to the Trustee or the Issuers received before the date on which the Trustee receives an Officer’s
Certificate certifying that the Holders of the requisite principal amount of Notes have consented (and not theretofore revoked such consent) to the amendment, supplement or waiver. 

The Issuers may, but shall not be obligated to, fix a record date for the purpose of determining the Holders entitled to consent to any
amendment, supplement or waiver, which record date shall be at least 30 days prior to the first solicitation of such consent. If a record date is fixed, then notwithstanding the last sentence of the immediately preceding paragraph, those Persons who
were Holders at such record date (or their duly designated proxies), and only those Persons, shall be entitled to revoke, subject to the terms of the request for consents, any consent previously given, whether or not such Persons continue to be
Holders after such record date. No such consent shall be valid or effective for more than 90 days after such record date. The Issuers shall inform the Trustee in writing of the fixed record date if applicable. 

After an amendment, supplement or waiver becomes effective, it shall bind every Holder, unless it makes a change described in any of clauses
(1) through (9) of Section 9.02(b), in which case, the amendment, supplement or waiver shall bind only each Holder of a Note who has consented to it and every subsequent Holder of a Note or portion of a Note that evidences the
same debt as the consenting Holder’s Note; provided, however, that any such waiver shall not impair or affect the right of any Holder to receive payment of principal of, and interest on, a Note, on or after the respective due dates
therefor, or to bring suit for the enforcement of any such payment on or after such respective dates without the consent of such Holder. 

SECTION 9.05. Notation on or Exchange of Notes. If an amendment, supplement or waiver changes the terms of a Note, the Issuers may
require the Holder of the Note to deliver it to the Trustee. The Issuers shall provide the Trustee with an appropriate notation on the Note about the changed terms and cause the Trustee to return it to the Holder at the Issuers’ expense.
Alternatively, if the Issuers or the Trustee so determines, the Issuers in exchange for the Note shall issue, and the Trustee shall authenticate, a new Note that reflects the changed terms. Failure to make the appropriate notation or issue a new
Note shall not affect the validity and effect of such amendment, supplement or waiver. 
 SECTION 9.06. Trustee To Sign Amendments,
Etc. The Trustee shall execute any amendment, supplement or waiver authorized pursuant to this Article Nine; provided, however, that the Trustee may, but shall not be obligated to, execute any such amendment, supplement or waiver which
affects the Trustee’s own rights, duties or immunities under this Indenture. The Trustee shall receive, and shall be fully protected in relying upon, an Opinion of Counsel and an Officer’s Certificate each stating that the execution of any
amendment, supplement or waiver authorized pursuant to this Article Nine is authorized or permitted by this Indenture and constitutes the valid and binding obligation of the Issuers enforceable in accordance with its terms, subject to customary
exceptions. Such Opinion of Counsel shall be at the expense of the Issuers. 

  
 75 

 ARTICLE TEN  

Note Guarantee 
 SECTION
10.01. Note Guarantee. Subject to this Article Ten, each of the Guarantors hereby, jointly and severally, unconditionally guarantees on a senior unsecured basis to each Holder of a Note authenticated and delivered by the Trustee and to the
Trustee and its successors and assigns, irrespective of the validity and enforceability of this Indenture, the Notes or the obligations of the Issuers hereunder or thereunder, that: (a) the principal of and interest on the Notes shall be
promptly paid in full when due, whether at maturity, by acceleration, redemption or otherwise, and interest on the overdue principal of and interest on the Notes, if any, if lawful, and all other obligations of the Issuers to the Holders or the
Trustee hereunder or thereunder shall be promptly paid in full or performed, all in accordance with the terms hereof and thereof; and (b) in case of any extension of time of payment or renewal of any Notes or any of such other obligations, that
same shall be promptly paid in full when due or performed in accordance with the terms of the extension or renewal, whether at stated maturity, by acceleration or otherwise. Failing payment when due of any amount so guaranteed or any performance so
guaranteed for whatever reason, the Guarantors shall be jointly and severally obligated to pay the same immediately. Each Guarantor agrees that this Note Guarantee is a guarantee of payment and not a guarantee of collection. 

The Guarantors hereby agree that their obligations hereunder shall be unconditional, irrespective of the validity, regularity or
enforceability of the Notes or this Indenture, the absence of any action to enforce the same, any waiver or consent by any Holder of the Notes with respect to any provisions hereof or thereof, the recovery of any judgment against the Issuers, any
action to enforce the same or any other circumstance which might otherwise constitute a legal or equitable discharge or defense of a Guarantor. Subject to Section 6.06 hereof, each Guarantor hereby waives, to the extent permitted by
applicable law, diligence, presentment, demand of payment, filing of claims with a court in the event of insolvency or bankruptcy of the Issuers, any right to require a proceeding first against the Issuers, protest, notice and all demands whatsoever
and covenant that this Note Guarantee shall not be discharged except by complete performance of the obligations contained in the Notes and this Indenture. 

If any Holder or the Trustee is required by any court or otherwise to return to the Issuers, the Guarantors or any custodian, trustee,
liquidator or other similar official acting in relation to either the Issuers or the Guarantors, any amount paid by either to the Trustee or such Holder, this Note Guarantee, to the extent theretofore discharged, shall be reinstated in full force
and effect. 
 Each Guarantor agrees that it shall not be entitled to any right of subrogation in relation to the Holders in respect of any
obligations guaranteed hereby until payment in full of all obligations guaranteed hereby. Each Guarantor further agrees that, as between the Guarantors, on the one hand, and the Holders and the Trustee, on the other hand, (x) the maturity of
the obligations guaranteed hereby may be accelerated as provided in Article Six hereof for the purposes of this Note Guarantee, notwithstanding any stay, injunction or other prohibition preventing such acceleration in respect of the obligations
guaranteed hereby and (y) in the event of any declaration of acceleration of such obligations as provided in Article Six hereof, such obligations (whether or not due and payable) shall forthwith become due and payable by the Guarantors for the
purpose of this Note Guarantee. 
 SECTION 10.02. Limitation on Guarantor Liability. Each Guarantor, and by its acceptance of Notes,
each Holder, hereby confirms that it is the intention of all such parties that the Note Guarantee of such Guarantor not constitute a fraudulent transfer or conveyance for purposes of Bankruptcy Law, the Uniform Fraudulent Conveyance Act, the Uniform
Fraudulent Transfer Act or any similar Federal or state law to the extent applicable to any Note Guarantee. To effectuate the foregoing intention, the Trustee, the Holders and the Guarantors hereby irrevocably agree that the obligations of such
Guarantor will, after giving effect to such maximum amount and all other contingent and fixed liabilities of such Guarantor that are relevant under such laws, and after giving effect to any collections from, rights to receive contribution from or
payments made by or on behalf of any other Guarantor in respect of the obligations of such other Guarantor under this Article Ten, result in the obligations of such Guarantor under its Note Guarantee not constituting a fraudulent transfer or
conveyance. Each Guarantor that makes a payment for distribution under its Note Guarantee is entitled to a contribution from each other Guarantor in a pro rata amount based on the adjusted net assets of each Guarantor. 

  
 76 

 SECTION 10.03. Execution and Delivery of Note Guarantee. To evidence its Note Guarantee
set forth in Section 10.01, each Guarantor hereby agrees that this Indenture will be executed on behalf of such Guarantor by one of its Officers. 

Each Guarantor hereby agrees that its Note Guarantee set forth in Section 10.01 shall remain in full force and effect
notwithstanding any failure to endorse on each Note a notation of such Note Guarantee. 
 If an Officer whose signature is on this Indenture
or on the Note Guarantee no longer holds that office at the time the Trustee authenticates the Note on which a Note Guarantee is endorsed, the Note Guarantee shall be valid nevertheless. 

The delivery of any Note by the Trustee, after the authentication thereof hereunder, shall constitute due delivery of the Note Guarantee set
forth in this Indenture on behalf of the Guarantors. 
 SECTION 10.04. Release of a Guarantor. (a) A Guarantor shall be
automatically and unconditionally released from its obligations under its Note Guarantee and its obligations under this Indenture and the Registration Rights Agreement: 

(1) upon any sale, exchange or transfer (including through merger or consolidation), to any Person that is not a Subsidiary of
Parent of Capital Stock held by Parent and its Restricted Subsidiaries in, or all or substantially all the assets of, such Guarantor (which sale, exchange or transfer is not prohibited by this Indenture) such that, immediately after giving effect to
such transaction, such Guarantor would no longer constitute a Restricted Subsidiary of Parent, 
 (2) in connection with the
merger or consolidation of such Guarantor with (a) an Issuer or (b) any other Guarantor (provided that in the case of this clause (b) the surviving entity remains or becomes a Guarantor upon consummation thereof), 

(3) if Parent properly designates any Restricted Subsidiary that is a Guarantor as an Unrestricted Subsidiary in accordance
with this Indenture, 
 (4) upon the Legal Defeasance or Covenant Defeasance or satisfaction and discharge of this Indenture,

 (5) upon a liquidation or dissolution or winding-up of such Guarantor not prohibited by this Indenture, 

(6) upon the release or discharge of the Indebtedness or guarantee that resulted in the creation of such Note Guarantee (and
any other guarantee given as a result thereof), except a discharge or release by or as a result of payment under such guarantee, or 

(7) upon payment in full of the principal of, and accrued and unpaid interest on, the Notes. 

(b) In addition, any Note Guarantee provided by a Subsidiary Guarantor shall provide by its terms that it shall be automatically and
unconditionally released and discharged if (i) such Subsidiary ceases to guarantee obligations under the Credit Agreement or ceases to constitute a co-borrower with respect to the Credit Agreement, in either case in connection with a Permitted
Mortgage Indebtedness financing transaction by such entity and (ii) the proceeds from any such financing transaction are applied solely for one or more of the uses described in clauses (1) through (7) of Section 4.11(c).

 (c) The Trustee may execute an appropriate instrument prepared by the Issuers evidencing the release of a Guarantor from its obligations
under its Note Guarantee and this Indenture upon receipt of a request by the Issuers or such Guarantor accompanied by an Officer’s Certificate and an Opinion of Counsel certifying as to the compliance with this Section 10.04;
provided, however, that the legal counsel delivering such Opinion of Counsel may rely as to matters of fact on one or more Officer’s Certificates of the Issuers. 

  
 77 

 ARTICLE ELEVEN 

Miscellaneous 
 SECTION
11.01. Trust Indenture Act Controls. If any provision of this Indenture limits, qualifies, or conflicts with another provision which is required or deemed to be included in this Indenture by the Trust Indenture Act, such required or deemed
provision shall control. 
 SECTION 11.02. Notices. Any notices or other communications required or permitted hereunder shall be in
writing, and shall be sufficiently given if made by hand delivery, by fax, by electronic mail in PDF format, by nationally recognized overnight courier service, by telecopier or registered or certified mail, postage prepaid, return receipt
requested, addressed as follows: 
 If to the Issuers or any Guarantor: 

CareTrust REIT, Inc. 

27101 Puerta Real, Suite 400 

Mission Viejo, CA 92691 

Attention: William Wagner 

Fax no.: (949) 540-3002 

(with such fax to be confirmed by telephone to (949) 540-2000) 

E-mail: wwagner@caretrustreit.com 

with a copy to: 

Skadden, Arps, Slate, Meagher & Flom LLP 

300 South Grand Avenue, Suite 3400 

Los Angeles, CA 90071 

Attention: Michelle Gasaway 

Fax no.: (213) 621-5122 

(with such fax to be confirmed by telephone to (213) 687-5122) 

E-mail: Michelle.Gasaway@Skadden.com 

if to the Trustee: 

Wells Fargo Bank, National Association 

333 S. Grand Avenue, Fifth Floor, Suite 5A 

Los Angeles, CA 90071 

Attention: Corporate Trust Services – Administrator for CareTrust Capital 

Corp., et al. 

Fax no: (213) 253-7598 

(with such fax to be confirmed by telephone to (213) 253-7508) 

E-mail: michael.q.tu@wellsfargo.com 

Each of the Issuers and the Trustee by written notice to each other such Person may designate additional or different addresses for notices to
such Person. Any notice or communication to the Issuers and the Trustee, shall be deemed to have been given or made as of the date so delivered if personally delivered; when replied to; when receipt is acknowledged, if faxed or delivered by
electronic mail (in PDF format); five (5) calendar days after mailing if sent by registered or certified mail, postage prepaid (except that a notice of change of address shall not be deemed to have been given until actually received by the
addressee); and next Business Day if by nationally recognized overnight courier service. 
 Any notice or communication mailed to a Holder
shall be mailed to it by first class mail to its address as it appears on the registration books of the Registrar or given in accordance with applicable Depositary procedures and shall be sufficiently given to him if so given within the time
prescribed. 

  
 78 

 Failure to give a notice or communication to a Holder or any defect in it shall not affect its
sufficiency with respect to other Holders. If a notice or communication is given in the manner provided above, it is duly given, whether or not the addressee receives it. 

SECTION 11.03. Communications by Holders with Other Holders. Holders may communicate pursuant to Trust Indenture Act § 312(b) with
other Holders with respect to their rights under this Indenture, the Notes or the Note Guarantees. The Issuers, the Trustee, the Registrar and any other Person shall have the protection of Trust Indenture Act § 312(c). 

SECTION 11.04. Certificate and Opinion as to Conditions Precedent. Upon any request or application by the Issuers to the Trustee to
take any action under this Indenture, the Issuers shall furnish to the Trustee at the request of the Trustee: 
 (1) an
Officer’s Certificate, in form and substance reasonably satisfactory to the Trustee, stating that, in the opinion of the signers, all conditions precedent to be performed or effected by the Issuers, if any, provided for in this Indenture
relating to the proposed action have been complied with; and 
 (2) an Opinion of Counsel stating that, in the opinion of
such counsel, all such conditions precedent have been complied with. 
 SECTION 11.05. Statements Required in Certificate or Opinion.
Each certificate or opinion with respect to compliance with a condition or covenant provided for in this Indenture, other than the Officer’s Certificate required by Section 4.06, shall include: 

(1) a statement that the Person making such certificate or opinion has read such covenant or condition; 

(2) a brief statement as to the nature and scope of the examination or investigation upon which the statements or opinions
contained in such certificate or opinion are based; 
 (3) a statement that, in the opinion of such Person, he has made such
examination or investigation as is necessary to enable him to express an informed opinion as to whether or not such covenant or condition has been complied with or satisfied; and 

(4) a statement as to whether or not, in the opinion of each such Person, such condition or covenant has been complied with;
provided, however, that with respect to matters of fact, an Opinion of Counsel may rely on an Officer’s Certificate or certificates of public officials. 

SECTION 11.06. Rules by Paying Agent or Registrar. The Paying Agent or Registrar may make reasonable rules and set reasonable
requirements for their functions. 
 SECTION 11.07. Legal Holidays. If a Payment Date is not a Business Day, payment may be made on
the next succeeding day that is a Business Day. 
 SECTION 11.08. Governing Law; Waiver of Jury Trial; Jurisdiction. This Indenture,
the Notes and the Note Guarantees will be governed by and construed in accordance with the laws of the State of New York. EACH OF THE PARTIES HERETO, AND EACH OF THE HOLDERS, HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATING TO THIS INDENTURE, THE NOTES, THE NOTE GUARANTEES OR THE TRANSACTION CONTEMPLATED HEREBY.  

To the fullest extent permitted by applicable law, each of the Issuers and Guarantors hereby irrevocably submits to the jurisdiction of any
Federal or State court located in the Borough of Manhattan in The City of New York, New York in any suit, action or proceeding based on or arising out of or relating to this Indenture or any Securities and irrevocably agrees that all claims in
respect of such suit or proceeding may be determined in any such 

  
 79 

 
court. Each of the Issuers and Guarantors irrevocably waives, to the fullest extent permitted by law, any objection which it may have to the laying of the venue of any such suit, action or
proceeding brought in an inconvenient forum. Each of the Issuers and Guarantors agrees that final judgment in any such suit, action or proceeding brought in such a court shall be conclusive and binding upon each of the Issuers and Guarantors, and
may be enforced in any courts to the jurisdiction of which such Issuer or Guarantor is subject by a suit upon such judgment, provided, that service of process is effected upon such Issuer or Guarantor as permitted by law. 

SECTION 11.09. No Adverse Interpretation of Other Agreements. This Indenture may not be used to interpret another indenture, loan or
debt agreement of any of the Issuers or any of their Subsidiaries. Any such indenture, loan or debt agreement may not be used to interpret this Indenture. 

SECTION 11.10. No Recourse Against Others. No recourse for the payment of the principal of, premium, if any, or interest on any of the
Notes or for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any obligation, covenant or agreement of Parent, the Issuers or the Guarantors in this Indenture, or in any of the Notes or Note Guarantees or
because of the creation of any Indebtedness represented hereby, shall be had against any incorporator, stockholder, member, manager, partner, officer, director, employee or controlling person, in their capacity as such, of the Issuers or the
Guarantors or of any successor Person thereof. Each Holder, by accepting the Notes, waives and releases all such liability. Such waiver and release are part of the consideration for issuance of the Notes. 

SECTION 11.11. Successors. All agreements of the Issuers and the Guarantors in this Indenture, the Notes and the Note Guarantees shall
bind their respective successors. All agreements of the Trustee in this Indenture shall bind its successor. 
 SECTION 11.12. Duplicate
Originals. All parties may sign any number of copies of this Indenture. Each signed copy or counterpart shall be an original, but all of them together shall represent the same agreement. Delivery of an executed counterpart of a signature page to
this Indenture by facsimile, .pdf transmission, email or other electronic means shall be effective as delivery of a manually executed counterpart of this Indenture. 

SECTION 11.13. Severability. To the extent permitted by applicable law, in case any one or more of the provisions in this Indenture, in
the Notes or in the Note Guarantees shall be held invalid, illegal or unenforceable, in any respect for any reason, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions shall not in
any way be affected or impaired thereby, it being intended that all of the provisions hereof shall be enforceable to the full extent permitted by law. 

SECTION 11.14. U.S.A. Patriot Act. The parties hereto acknowledge that in accordance with Section 326 of the U.S.A. Patriot Act,
the Trustee, like all financial institutions and in order to help fight the funding of terrorism and money laundering, is required to obtain, verify, and record information that identifies each person or legal entity that establishes a relationship
or opens an account with the Trustee. The parties to this Indenture agree that they will provide the Trustee with such information as it may request in order for the Trustee to satisfy the requirements of the U.S.A. Patriot Act. 

SECTION 11.15. Force Majeure. In no event shall the Trustee be responsible or liable for any failure or delay in the performance of its
obligations hereunder arising out of or caused by, directly or indirectly, forces beyond its control, including without limitation, strikes, work stoppages, accidents, acts of war or terrorism, civil or military disturbances, nuclear or natural
catastrophes or acts of God, and interruptions, loss or malfunctions or utilities, communications or computer (software and hardware) services; it being understood that the Trustee shall use reasonable efforts which are consistent with accepted
practices in the banking industry to resume performance as soon as practicable under the circumstances. 
 [signature pages follow] 

  
 80 

 SIGNATURES 

IN WITNESS WHEREOF, the parties hereto have caused this Indenture to be duly executed all as of the date first written above. 

 

			
	 CTR PARTNERSHIP, L.P., as an Issuer
  

By: CareTrust GP, LLC, its general partner

		
	By:	 	/s/ Gregory K. Stapley
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer
	
	CARETRUST CAPITAL CORP., as an Issuer
		
	By:	 	/s/ Gregory K. Stapley
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer
	
	CARETRUST REIT, INC., as a Guarantor
		
	By:	 	/s/ Gregory K. Stapley
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer
	
	CARETRUST GP, LLC, as a Guarantor
		
	By:	 	/s/ Gregory K. Stapley
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer
	
	 PAREDES HEALTH HOLDINGS LLC
 TENTH
EAST HOLDINGS LLC
 MESQUITE HEALTH HOLDINGS LLC
 JEFFERSON
RALSTON HOLDINGS LLC
 QUEENSWAY HEALTH HOLDINGS LLC
 IRVING
HEALTH HOLDINGS LLC
 AVENUE N HOLDINGS LLC
 EXPO PARK HEALTH
HOLDINGS LLC
 FALLS CITY HEALTH HOLDINGS LLC
 GILLETTE PARK
HEALTH HOLDINGS LLC
 WAYNE HEALTH HOLDINGS LLC
 CM HEALTH
HOLDINGS LLC
 TRINITY MILL HOLDINGS LLC
 LAFAYETTE HEALTH
HOLDINGS LLC
 GAZEBO PARK HEALTH HOLDINGS LLC
 PRAIRIE HEALTH
HOLDINGS LLC
 JORDAN HEALTH PROPERTIES LLC
 FLAMINGO HEALTH
HOLDINGS LLC
 SALMON RIVER HEALTH HOLDINGS LLC
 FORT STREET
HEALTH HOLDINGS LLC
 SNOHOMISH HEALTH HOLDINGS LLC
 OLESON PARK
HEALTH HOLDINGS LLC

 MOENIUM HOLDINGS LLC 

RIO GRANDE HEALTH HOLDINGS LLC 

JOSEY RANCH HEALTHCARE HOLDINGS LLC 

BIG SIOUX RIVER HEALTH HOLDINGS LLC 

COTTONWOOD HEALTH HOLDINGS LLC 

DIXIE HEALTH HOLDINGS LLC 

QUEEN CITY HEALTH HOLDINGS LLC 

SARATOGA HEALTH HOLDINGS LLC 

VERDE VILLA HOLDINGS LLC 

HILLVIEW HEALTH HOLDINGS LLC 

51ST AVENUE HEALTH HOLDINGS LLC 

WISTERIA HEALTH HOLDINGS LLC 

LOWELL HEALTH HOLDINGS LLC 

RENEE AVENUE HEALTH HOLDINGS LLC 

NORTHSHORE HEALTHCARE HOLDINGS LLC 

WILLITS HEALTH HOLDINGS LLC 

ARAPAHOE HEALTH HOLDINGS LLC 

49TH STREET HEALTH HOLDINGS LLC 

OREM HEALTH HOLDINGS LLC 
 RB
HEIGHTS HEALTH HOLDINGS LLC 
 LOWELL LAKE HEALTH HOLDINGS LLC 

CHERRY HEALTH HOLDINGS LLC 
 FIG
STREET HEALTH HOLDINGS LLC 
 FIFTH EAST HOLDINGS LLC 

BOARDWALK HEALTH HOLDINGS LLC 

BURLEY HEALTHCARE HOLDINGS LLC 

PRICE HEALTH HOLDINGS LLC 

LEMON RIVER HOLDINGS LLC 

MEMORIAL HEALTH HOLDINGS LLC 

SILVER LAKE HEALTH HOLDINGS LLC 

WILLOWS HEALTH HOLDINGS LLC 

KINGS COURT HEALTH HOLDINGS LLC 

EMMETT HEALTHCARE HOLDINGS LLC 

18TH PLACE HEALTH HOLDINGS LLC 

SILVERADA HEALTH HOLDINGS LLC 

SAN CORRINE HEALTH HOLDINGS LLC 

IVES HEALTH HOLDINGS LLC 

LOCKWOOD HEALTH HOLDINGS LLC 

LONG BEACH HEALTH ASSOCIATES LLC 

ENSIGN SOUTHLAND LLC 
 LUFKIN
HEALTH HOLDINGS LLC 
 MISSION CCRC LLC 

STILLHOUSE HEALTH HOLDINGS LLC 

REGAL ROAD HEALTH HOLDINGS LLC 

GUADALUPE HEALTH HOLDINGS LLC 

POLK HEALTH HOLDINGS LLC 
 SOUTH
DORA HEALTH HOLDINGS LLC 
 EXPRESSWAY HEALTH HOLDINGS LLC 

EVERGLADES HEALTH HOLDINGS LLC 

TEMPLE HEALTH HOLDINGS LLC 
 4TH
STREET HOLDINGS LLC 
 BOGARDUS HEALTH HOLDINGS LLC 

TULALIP BAY HEALTH HOLDINGS LLC 

CASA LINDA RETIREMENT LLC 
 SALT
LAKE INDEPENDENCE LLC 
 DALLAS INDEPENDENCE LLC 

 
			
	 GOLFVIEW HOLDINGS LLC
 ARROW TREE
HEALTH HOLDINGS LLC
 TROUSDALE HEALTH HOLDINGS LLC
 ENSIGN
BELLFLOWER LLC
 ANSON HEALTH HOLDINGS LLC
 HILLENDAHL HEALTH
HOLDINGS LLC
  
 By: CTR Partnership, L.P., its sole member

 
 By: CareTrust GP, LLC, its general partner

		
	By:	 	/s/ Gregory K. Stapley
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer

 
			
	 WELLS FARGO BANK, NATIONAL ASSOCIATION,

as Trustee,

		
	By:	 	/s/ Michael Tu
	Name:	 	Michael Tu
	Title:	 	Assistant Vice President

 SCHEDULE A 
  

					
	 Real Estate Asset
	  	Real Estate
Revenues	 
		
	 Master Lease Pool #1
	  			
	 Southland Rehabilitation and Healthcare Center
	  			
	 Lake Ridge Senior Living
	  			
	 Legacy Rehabilitation and Living
	  			
	 Careage Hills Rehabilitation and Healthcare
	  			
	 Brookfield Healthcare Center
	  			
	 Wisteria ILF
	  			
	 Canterbury Gardens Independent and Assisted Living Community
	  			
	 Northbrook Nursing and Rehabilitation Center
	  			
	 Wisteria Place SNF
	  			
	 Pacific Care and Rehabilitation
	  			
	 Pocatello Care and Rehabilitation Center
	  			
	 Beatrice Health and Rehabilitation
	  			
	 Rosewood Rehabilitation Center
	  			
		  	  
	  
	 
	 Total
	  	$	6,257,808	  
		
	 Master Lease Pool #2:
	  			
	 Pinnacle Nursing and Rehabilitation
	  			
	 Owyhee Health and Rehabilitation Center
	  			
	 West Bend/Prairie Creek
	  			
	 Plymouth Tower Care and Living Center
	  			
	 Northern Oaks Living & Rehabilitation Center
	  			
	 Mountain View
	  			
	 Whittier Hills Health Care Center
	  			
	 Montebello Wellness Center
	  			
	 Carrollton Health and Rehabilitation Center
	  			
	 Draper Rehabilitation and Care Center
	  			
	 Grand Court of Mesa
	  			
	 Wellington Rehabilitation and Healthcare
	  			
		  	  
	  
	 
	 Total
	  	$	5,552,501	  
		
	 Master Lease Pool #3:
	  			
	 Timberwood Nursing & Rehabilitation Center
	  			
	 Julia Temple Healthcare Center
	  			
	 Heritage Gardens Rehabilitation and Healthcare
	  			
	 Carmel Mountain Rehabilitation and Healthcare Center
	  			
	 Chateau Des Mons Care and Assisted Living
	  			
	 St. Joseph Villa SNF and Marion Center
	  			
	 Hillcrest Health Care Center
	  			
	 Santa Maria Terrace
	  			
	 Osborn Health and Rehabilitation
	  			
	 Redmond ALF/Cascade
	  			
		  	  
	  
	 
	 Total
	  	$	7,150,823	  
		
	 Master Lease Pool #4:
	  			
	 Orem Rehabilitation and Nursing Center
	  			
	 Arbor Glen Care Center
	  			
	 San Marcos Rehabilitation and Healthcare Center
	  			
	 Monte Vista Hills Healthcare Center
	  			
	 Park Place Assisted Living
	  			
	 Lake Village Nursing & Rehabilitation Center
	  			
	 Ukiah Healthcare Center
	  			
	 Emerald Hills Rehabilitation and Skilled Nursing
	  			
	 Careage Estates of Falls City
	  			
	 Clarion Wellness and Rehabilitation Center
	  			
	 La Villa Rehabilitation and Healthcare Center
	  			
	 Golden Acres Living and Rehabilitation Center and The Cottages
	  			
	 Paramount Health and Rehabilitation
	  			
		  	  
	  
	 
	 Total
	  	$	5,317,982	  
		
	 Master Lease Pool #5:
	  			
	 Shoreline Healthcare Center
	  			
	 Provo Rehabilitation and Nursing
	  			
	 Rose Court Senior Living
	  			
	 The Courtyard Rehabilitation and Healthcare Center
	  			
	 Cambridge Health & Rehabilitation Center
	  			
	 Colonial Manor
	  			
	 Hurricane Health and Rehabilitation
	  			
	 Arvada Care and Rehabilitation Center
	  			
	 Palomar Vista Healthcare Center
	  			
	 Desert Springs Senior Living
	  			
	 Redmond SNF/Cascade
	  			
	 Careage of Wayne ALF
	  			
	 Richland Hills Rehabilitation and Healthcare Center
	  			
		  	  
	  
	 
	 Total
	  	$	5,680,413	  
		
	 Master Lease Pool #6:
	  			
	 Stillhouse Rehabilitation Healthcare Center
	  			
	 Discovery Care Center ALF
	  			
	 Southland Care Center
	  			
	 Littleton Care and Rehabilitation Center
	  			
	 Holladay Healthcare Center
	  			
	 Fort Dodge Health and Rehabilitation
	  			
	 Copper Ridge Health Care
	  			
	 Sunview Health and Rehabilitation Center
	  			
	 Omaha Nursing and Rehabilitation Center
	  			
	 Salado Creek Living & Rehabilitation Center
	  			
	 Oceanview Healthcare and Rehabilitation
	  			
		  	  
	  
	 
	 Total
	  	$	6,475,985	  
		
	 Master Lease Pool #7:
	  			
	 Arlington Hills Healthcare Center
	  			
	 Grand Terrace Rehabilitation and Healthcare
	  			
	 Alta Vista Rehabilitation and Healthcare
	  			
	 Veranda Rehabilitation and Healthcare
	  			
	 Willow Bend Nursing & Rehabilitation Center
	  			
	 Rose Villa Healthcare Center
	  			
	 Atlantic Memorial Healthcare Center
	  			
	 Victoria Care Center
	  			
	 River’s Edge Rehabilitation & Living Center
	  			
	 Lexington Assisted Living
	  			
	 Cambridge Square Retirement Center
	  			
	 Parke View Rehabilitation & Care Center
	  			
		  	  
	  
	 
	 Total
	  	$	8,664,488	  
		
	 Master Lease Pool #8:
	  			
	 Park Manor Rehabilitation Center
	  			
	 Sabino Canyon Rehabilitation & Care Center
	  			
	 Desert Terrace Healthcare Center
	  			
	 Catalina Post Acute and Rehabilitation
	  			
	 Highland Manor Health & Rehabilitation Center
	  			
	 Park View Gardens at Montgomery
	  			
	 Bella Vita Health and rehabilitation Center and Desert Sky ALF
	  			
	 Camarillo Healthcare Center
	  			
	 North Mountain Medical & Rehabilitation Center
	  			
	 Upland Rehabilitation and Care Center
	  			
		  	  
	  
	 
	 Total
	  	$	10,900,000	  

  
 A-1 

 EXHIBIT A 

[Insert the Global Note Legend, if applicable pursuant to the provisions of the Indenture] 

[Insert the Private Placement Legend, if applicable pursuant to the provisions of the Indenture] 

CTR PARTNERSHIP, L.P. 
 CARETRUST
CAPITAL CORP. 
 5.875% Senior Notes due 2021 

CUSIP No. 
 No. [   ] $[   ] 

CTR PARTNERSHIP, L.P., a Delaware limited partnership, and CARETRUST CAPITAL CORP., a Delaware corporation (the “Issuers”),
for value received promise to pay to [Cede & Co.]1, or its registered assigns, the principal sum of [ ] DOLLARS [or such other amount as is provided in a schedule attached hereto]2 on June 1, 2021. 
 Interest Payment Dates: June 1 and December 1[,
commencing December 1, 2014]3. 
 Record Dates: May 15 and November 15.

 Reference is made to the further provisions of this Note contained herein, which will for all purposes have the same effect as if set
forth at this place. 
  

	1 	This language should be included only if the Note is issued in global form. 

	2 	This language should be included only if the Note is issued in global form. 

	3 	This language should be included only if the Note is issued prior to December 1, 2014. 

  
 A-2 

 IN WITNESS WHEREOF, the Issuers have caused this Note to be signed manually or by facsimile by
its duly authorized officer. 
  

			
	 CTR PARTNERSHIP, L.P., as an Issuer
  

By: CareTrust GP, LLC, its general partner

		
	By:	 	 
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer

  

			
	CARETRUST CAPITAL CORP., as an Issuer
		
	By:	 	 
	Name:	 	Gregory K. Stapley
	Title:	 	President and Chief Executive Officer

  
 A-3 

 [FORM OF] TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the 5.875% Senior Notes due 2021 described in the within-mentioned Indenture. 

Dated: 
  

			
	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee,
		
	By	 	 
	Authorized Signatory

  
 A-4 

 (Reverse of Note) 

5.875% Senior Notes due 2021 

Capitalized terms used herein shall have the meanings assigned to them in the Indenture referred to below unless otherwise indicated. 

SECTION 1. Interest. CTR Partnership, L.P., a Delaware limited partnership, and CareTrust Capital Corp., a Delaware corporation
(together, the “Issuers”), promise to pay interest on the principal amount of this Note at 5.875% per annum from May 30, 2014, until maturity. The Issuers will pay interest semi-annually on June 1 and December 1 of each
year, or if any such day is not a Business Day, on the next succeeding Business Day (each an “Interest Payment Date”)[, commencing December 1, 2014]4. Interest on the Notes will
accrue from the most recent date to which interest has been paid or, if no interest has been paid, from the date of issuance. The Issuers shall pay interest on overdue principal and premium, if any, from time to time on demand to the extent lawful
at the interest rate applicable to the Notes; the Issuers shall pay interest on overdue installments of interest (without regard to any applicable grace periods) from time to time on demand at the same rate to the extent lawful. Interest will be
computed on the basis of a 360-day year of twelve 30-day months. [As more fully set forth therein, the Registration Rights Agreement provides that the Issuers will pay Additional Interest to each Holder under certain circumstances. All accrued
Additional Interest shall be paid to Holders in the same manner as interest payments on the Notes on semi-annual payment dates that correspond to Interest Payment Dates for the Notes. All references in this Note to interest shall be deemed to
include any Additional Interest payable pursuant to the Registration Rights Agreement.]5 

SECTION 2. Method of Payment. The Issuers will pay interest on the Notes to the Persons who are registered Holders at the close of
business on the May 15 or November 15 next preceding the Interest Payment Date, even if such Notes are canceled after such record date and on or before such Interest Payment Date, except as provided in Section 2.12 of the Indenture
with respect to defaulted interest. The Notes will be issued in denominations of $2,000 and integral multiples of $1,000 in excess thereof. The Issuers shall pay principal, premium, if any, and interest on the Notes in such coin or currency of the
United States of America as at the time of payment is legal tender for payment of public and private debts (“U.S. Legal Tender”). Principal, premium, if any, and interest on the Notes will be payable at the office or agency of the Issuers
maintained for such purpose except that, at the option of the Issuers, the payment of interest may be made by check mailed to the Holders at their respective addresses set forth in the register of Holders. Until otherwise designated by the Issuers,
the Issuers’ office or agency in Minneapolis, Minnesota will be the office of the Trustee maintained for such purpose. 
 SECTION 3.
Paying Agent and Registrar. Initially, Wells Fargo Bank, National Association, the Trustee under the Indenture, will act as Paying Agent and Registrar. The Issuers may change any Paying Agent or Registrar without notice to any Holder. Except
as provided in the Indenture, the Issuers or any of their Subsidiaries may act in any such capacity. 
 SECTION 4. Indenture. The
Issuers issued the Notes under an Indenture dated as of May 30, 2014 (“Indenture”) by and among the Issuers, CareTrust REIT, Inc., a Maryland corporation, the other Guarantors and the Trustee. Subject to the terms of the Indenture,
the Issuers shall be entitled to issue Additional Notes pursuant to Section 2.01 of the Indenture. The terms of the Notes include those stated in the Indenture and those made part of the Indenture by reference to the Trust Indenture Act of
1939, as amended (15 U.S. Code §§ 77aaa-77bbbb) (the “Trust Indenture Act”). The Notes are subject to all such terms, and Holders are referred to the Indenture and the Trust Indenture Act for a statement of such terms. To the
extent any provision of this Note conflicts with the express provisions of the Indenture, the provisions of the Indenture shall govern and be controlling. 

 

	4 	This language should be included only if the Note is issued prior to December 1, 2014. 

	5 	To be removed from the Exchange Note. 

  
 A-5 

 SECTION 5. Optional Redemption. Except as set forth in Section 6 [and Section 8]6 hereof, the Issuers are not entitled to redeem any Notes prior to June 1, 2017. The Notes will be redeemable at the option of the Issuers, in whole or in part, at any time, and from time to
time, on and after June 1, 2017, at the following redemption prices (expressed as percentages of the principal amount thereof) if redeemed during the twelve-month period commencing June 1 of the years indicated below, in each case together
with accrued and unpaid interest thereon, if any, to, but not including, the redemption date (subject to the right of Holders on the relevant record date to receive interest due on the relevant interest payment date): 

 

			
	 Year
	  	Redemption Price
	 2017
	  	102.938%
	 2018
	  	101.469%
	 2019 and thereafter
	  	100.000%

 Prior to June 1, 2017, the Issuers will be entitled, at their option, to redeem, at any time, and from
time to time, all or a portion of the Notes at a redemption price equal to 100% of the principal amount of the Notes plus the Applicable Premium as of, and accrued and unpaid interest, if any, to, but not including, the redemption date
(subject to the right of Holders on the relevant record date to receive interest due on the relevant Interest Payment Date). 
 SECTION 6.
Optional Redemption upon Equity Offerings. At any time, and from time to time, on or prior to June 1, 2017, the Issuers are entitled, at their option, to use an amount equal to all or a portion of the Net Cash Proceeds of one or more
Equity Offerings to redeem up to 35% of the principal amount of the Notes (together with any Additional Notes) issued under the Indenture at a redemption price of 105.875% of the principal amount thereof plus accrued and unpaid interest
thereon, if any, to, but not including, the redemption date (subject to the right of Holders on the relevant record date to receive interest due on the relevant interest payment date); provided, however, that: 

(1) at least 65% of the principal amount of Notes originally issued under the Indenture remains outstanding immediately after such redemption;
and 
 (2) the Issuers complete such redemption not more than 120 days after the consummation of any such Equity Offering. 

SECTION 7. Notice of Redemption. Subject to Section 3.03 of the Indenture, notice of redemption will be mailed by first class mail
or given as otherwise provided in accordance with the procedures of the Depository at least 30 days but not more than 60 days before the Redemption Date to each Holder of Notes to be redeemed at its registered address, except that redemption notices
may be given more than 60 days prior to a Redemption Date if the notice is issued in connection with a defeasance of the Notes or a satisfaction and discharge of the Indenture. No Notes of $2,000 or less shall be redeemed in part. On and after the
Redemption Date interest shall cease to accrue on Notes or portions thereof called for redemption subject to Section 3.04 of the Indenture. 

SECTION 8. [Mandatory Redemption and Special Mandatory Redemption. For the avoidance of doubt, an offer to purchase pursuant to
Section 9 hereof shall not be deemed a redemption. Except as provided in this Section 8, the Issuers shall not be required to make mandatory redemption or sinking fund payments with respect to the Notes. 

In the event of a Mandatory Redemption Event, the Issuers will be required to redeem all of the outstanding Initial Notes at a redemption
price equal to 101% of the initial issue price of the Initial Notes, plus accrued and unpaid interest, if any, to, but not including, the redemption date (subject to the right of Holders on the relevant record date to receive interest due on the
relevant interest payment date) (the “Special Mandatory Redemption Price”). In the event of the occurrence of a Mandatory Redemption Event, the Issuers shall cause a notice of special mandatory redemption (a “Special Mandatory
Redemption Notice”) to be provided to the Trustee for delivery to each Holder no later than the third Business Day following the occurrence of the Mandatory Redemption Event and shall redeem the Initial Notes no later than five Business Days
following the date the Special Mandatory Redemption Notice is provided to the Trustee. 
  

	6 	This language should be included only if the Note is an Initial Note. 

  
 A-6 

 The obligation to redeem the Notes pursuant to a Mandatory Redemption Event may not be waived or
modified without the consent of each Holder of then outstanding Notes. Failure to redeem the Notes when required pursuant to this Section 8 will constitute an Event of Default with respect to the Notes.]7 
 SECTION 9. Repurchase at Option of Holder. Upon the occurrence of a Change of
Control, and subject to certain conditions set forth in the Indenture, the Issuers will be required to offer to purchase all of the outstanding Notes at a purchase price equal to 101% of the principal amount thereof, plus accrued and unpaid
interest, if any, thereon to, but not including, the date of repurchase. 
 The Issuers are, subject to certain conditions and exceptions
set forth in the Indenture, obligated to make an offer to purchase Notes at 100% of their principal amount, plus accrued and unpaid interest, if any, thereon to, but not including, the date of repurchase, with certain Net Cash Proceeds of
certain sales or other dispositions of assets in accordance with the Indenture. 
 SECTION 10. Denominations, Transfer, Exchange. The
Notes are in registered form without coupons in denominations of $2,000 and integral multiples of $1,000 in excess thereof. The transfer of Notes may be registered and Notes may be exchanged as provided in the Indenture. The Registrar and the
Trustee may require a Holder, among other things, to furnish appropriate endorsements and transfer documents and the Issuers may require a Holder to pay any taxes and fees required by law or permitted by the Indenture. The Issuers and the Registrar
are not required to transfer or exchange any Note selected for redemption. Also, the Issuers and the Registrar are not required to transfer or exchange any Notes for a period of 15 days before the giving of a notice of redemption of such Notes to be
redeemed. 
 SECTION 11. Persons Deemed Owners. The registered Holder of a Note may be treated as its owner for all purposes. 

SECTION 12. Amendment, Supplement and Waiver. Subject to certain exceptions, the Indenture and the Notes may be amended or supplemented
with the consent of the Holders of at least a majority in aggregate principal amount of the Notes then outstanding, and any existing Default or compliance with any provision may be waived with the consent of the Holders of a majority in aggregate
principal amount of the Notes then outstanding. Without notice to or consent of any Holder, the Indenture, the Notes and the Note Guarantees may be amended or supplemented as provided in the Indenture. 

SECTION 13. Defaults and Remedies. If an Event of Default occurs and is continuing (other than as specified in clauses (7) and
(8) of Section 6.01 that occurs with respect to Parent or the Issuers), the Trustee or the Holders of at least 25% in principal amount of the then outstanding Notes may declare the principal of, premium, if any, and accrued interest on the
Notes to be due and payable immediately in accordance with the provisions of Section 6.02. Notwithstanding the foregoing, in the case of an Event of Default arising from clause (7) or (8) of Section 6.01, with respect to Parent
or the Issuers, all outstanding Notes will become due and payable without further action or notice. Holders may not enforce the Indenture or the Notes except as provided in the Indenture. Subject to certain limitations, Holders of a majority in
principal amount of the then outstanding Notes may direct the Trustee in its exercise of any trust or power. The Trustee may withhold from Holders notice of any continuing Default if it determines that withholding notice is in their interest in
accordance with Section 7.05. The Holders of a majority in aggregate principal amount of the Notes then outstanding by notice to the Trustee may on behalf of the Holders of all of the Notes waive any existing Default and its consequences under
the Indenture, other than a payment default as described under 9.02(b)(6) of the Indenture. 
  

7 This language should be included only if the Note is an Initial Note. 

  
 A-7 

 SECTION 14. Restrictive Covenants. The Indenture contains certain covenants as set forth
in Article Four of the Indenture. 
 SECTION 15. No Recourse Against Others. No recourse for the payment of the principal of,
premium, if any, or interest on any of the Notes or for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any obligation, covenant or agreement of Parent, the Issuers or the Guarantors in the Indenture, or in any
of the Notes or Note Guarantees or because of the creation of any Indebtedness represented hereby, shall be had against any incorporator, stockholder, member, manager, partner, officer, director, employee or controlling person, in their capacity as
such, of the Issuers or the Guarantors or of any successor Person thereof. Each Holder, by accepting the Notes, waives and releases all such liability. Such waiver and release are part of the consideration for issuance of the Notes. 

SECTION 16. Note Guarantees. This Note will be entitled to the benefits of certain Note Guarantees made for the benefit of the Holders.
Reference is hereby made to the Indenture for a statement of the respective rights, limitations of rights, duties and obligations thereunder of the Guarantors, the Trustee and the Holders. 

SECTION 17. Authentication. This Note shall not be valid until authenticated by the manual signature of the Trustee or an
authenticating agent. 
 SECTION 18. Abbreviations. Customary abbreviations may be used in the name of a Holder or an assignee, such
as: TEN COM (= tenants in common), TEN ENT (= tenants by the entirety), JT TEN (= joint tenants with right of survivorship and not as tenants in common), CUST (= Custodian), and U/G/M/A (= Uniform Gifts to Minors Act). 

SECTION 19. Additional Rights of Holders of Restricted Global Notes and Restricted Definitive Notes. In addition to the rights provided
to Holders under the Indenture, Holders will have the rights set forth in the Registration Rights Agreement dated as of May 30, 2014, among the Issuers, the Guarantors and the other parties named on the signature pages thereof [or, in the case
of Additional Notes (if applicable), Holders of such Additional Notes will have the rights set forth in one or more registration rights agreements, if any, among the Issuers, the Guarantors and the other parties thereto, relating to rights given by
the Issuers and the Guarantors to the purchasers of such Additional Notes]. The Holders shall be entitled to receive certain Additional Interest in the event such exchange offer is not consummated or the Notes are not offered for resale and upon
certain other conditions, all pursuant to and in accordance with the terms of the Registration Rights Agreement.8 

SECTION 20. CUSIP and ISIN Numbers. Pursuant to a recommendation promulgated by the Committee on Uniform Security Identification
Procedures, the Issuers have caused CUSIP and ISIN numbers to be printed on the Notes and the Trustee may use CUSIP or ISIN numbers in notices of redemption as a convenience to Holders. No representation is made as to the accuracy of such numbers
either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers placed thereon. 

SECTION 21. Governing Law. This Note shall be governed by, and construed in accordance with, the laws of the State of New York.

 The Issuers will furnish to any Holder upon written request and without charge a copy of the Indenture. 

 

	8 	This Section not to appear on Exchange Notes or Additional Notes unless required by the terms of such Additional Notes. 

  
 A-8 

 ASSIGNMENT FORM 

I or we assign and transfer this Note to 
  

 
 (Print or type name, address and zip code of
assignee or transferee) 
  
  

(Insert Social Security or other identifying number of assignee or transferee) 

and irrevocably appoint agent to transfer this Note on the books of the Issuers. The agent may substitute another to act for him. 

Dated: 

			
		
	Signed:	 	 
	(Sign exactly as name appears on the other side of this Note)

  

			
		
	Signature Guarantee:	 	 

 Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor program reasonably acceptable
to the Trustee) 
 In connection with any transfer of this Note occurring prior to the date which is the date following the second
anniversary of the original issuance of this Note, the undersigned confirms that it has not utilized any general solicitation or general advertising in connection with the transfer and is making the transfer pursuant to one of the following: 

[Check One] 
 (1)      ̈     to the Issuers or a Subsidiary thereof; or 
 (2)      ̈     to a person who the transferor reasonably believes is a “qualified institutional buyer” pursuant to and in compliance with Rule 144A under the Securities Act of 1933, as
amended (the “Securities Act”); or 
 (3)      ̈     to an
institutional “accredited investor” (as defined in Rule 501(a)(1), (2), (3) or (7) under the Securities Act) that has furnished to the Trustee a signed letter containing certain representations and agreements (the form of which
letter can be obtained from the Trustee); or 
 (4)      ̈
    outside the United States to a non-“U.S. person” as defined in Rule 902 of Regulation S under the Securities Act in compliance with Rule 904 of Regulation S under the Securities Act; or 

(5)      ̈     pursuant to the exemption from registration provided by
Rule 144 under the Securities Act; or 
 (6)      ̈     pursuant to an
effective registration statement under the Securities Act. 
 and unless the box below is checked, the undersigned confirms that such Note is not being
transferred to an “affiliate” of the Issuers as defined in Rule 144 under the Securities Act (an “Affiliate”): 
  ̈     The transferee is an Affiliate of the Issuers. 
 Unless one of the
foregoing items (1) through (6) is checked, the Trustee will refuse to register any of the Notes evidenced by this certificate in the name of any person other than the registered Holder thereof; provided, however, that if item (3),
(4) or (5) is checked, the Issuers or the Trustee may require, prior to registering any such transfer of the Notes, in their sole discretion, such written legal opinions, certifications (including an investment letter in the case of box
(3) or (4)) and other information as the Trustee or the Issuers has reasonably requested to confirm that such transfer is being made pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the
Securities Act. 

  
 A-9 

 If none of the foregoing items (1) through (6) are checked, the Trustee or Registrar
shall not be obligated to register this Note in the name of any person other than the Holder hereof unless and until the conditions to any such transfer of registration set forth herein and in Section 2.15 of the Indenture shall have been
satisfied. 
 Dated: 

					
			
	Signed:	 	 	 	
	(Sign exactly as name appears on the other side of this Note)

			
		
	Signature Guarantee:	 	 

 Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor program reasonably acceptable
to the Trustee) 

  
 A-10 

 TO BE COMPLETED BY PURCHASER IF (2) ABOVE IS CHECKED 

The undersigned represents and warrants that it is purchasing this Note for its own account or an account with respect to which it exercises
sole investment discretion and that it and any such account is a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act and is aware that the sale to it is being made in reliance on Rule 144A and
acknowledges that it has received such information regarding the Issuers as the undersigned has requested pursuant to Rule 144A or has determined not to request such information and that it is aware that the transferor is relying upon the
undersigned’s foregoing representations in order to claim the exemption from registration provided by Rule 144A. 
 Date:
                                        
     
 NOTICE: To be executed by an executive officer 

  
 A-11 

 OPTION OF HOLDER TO ELECT PURCHASE 

If you want to elect to have this Note purchased by the Issuers pursuant to Section 4.07 or Section 4.11 of the Indenture, check the
appropriate box: 
 Section 4.07    ̈  
Section 4.11    ̈ 
 If you want to elect to have only part of this Note
purchased by the Issuers pursuant to Section 4.07 or Section 4.11 of the Indenture, state the amount (in denominations of $2,000 and integral multiples of $1,000 in excess thereof):
$                                    

Dated: 

					
			
	Signed:	 	 	 	 
	(Sign exactly as name appears on the other side of this Note)

			
		
	Signature Guarantee:	 	 

 Participant in a recognized Signature Guarantee Medallion Program (or other signature guarantor program reasonably acceptable
to the Trustee) 

  
 A-12 

 SCHEDULE OF EXCHANGES OF INTERESTS IN THE GLOBAL
NOTE9 
 The following exchanges of a part of this Global Note for an interest in
another Global Note or for a Physical Note, or exchanges of a part of another Global Note or Physical Note for an interest in this Global Note, have been made: 
  

									
	 Date of Exchange
	  	 Amount of decrease in
Principal Amount of

this Global Note
	  	 Amount of increase in
Principal Amount of

this Global Note
	  	 Principal Amount of

this Global Note

following such decrease
 (or
increase)
	  	 Signature of

authorized signatory of
 Trustee of Note

custodian

  

 

	9 	This schedule should be included only if the Note is issued in global form. 

  
 A-13 

 EXHIBIT B1 

FORM OF LEGEND – PRIVATE PLACEMENT LEGEND 

Each Global Note and Physical Note that constitutes a Restricted Security shall bear the following legend (the “Private Placement
Legend”) on the face thereof until after the second anniversary of the Issue Date, unless otherwise agreed by the Issuers and the Holder thereof or if such legend is no longer required by Section 2.15(f) of the Indenture: 

THIS SECURITY HAS NOT BEEN REGISTERED UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY,
MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES OR TO, OR FOR THE ACCOUNT OR BENEFIT OF, U.S. PERSONS EXCEPT AS SET FORTH BELOW. BY ITS ACQUISITION HEREOF, THE HOLDER (1) REPRESENTS THAT (A) IT IS A “QUALIFIED INSTITUTIONAL
BUYER” (AS DEFINED IN RULE 144A UNDER THE SECURITIES ACT), (B) IT IS NOT A U.S. PERSON AND IS ACQUIRING THIS SECURITY IN AN OFF-SHORE TRANSACTION IN COMPLIANCE WITH REGULATION S UNDER THE SECURITIES ACT OR (C) IT IS AN ACCREDITED
INVESTOR (AS DEFINED IN RULE 501(a)(1), (2), (3), OR (7) UNDER THE SECURITIES ACT) (AN “ACCREDITED INVESTOR”), (2) AGREES THAT IT WILL NOT WITHIN ONE YEAR AFTER THE ORIGINAL ISSUANCE OF THIS SECURITY RESELL OR OTHERWISE TRANSFER
THIS SECURITY EXCEPT (A) TO THE ISSUERS OR THEIR RESPECTIVE SUBSIDIARIES, (B) INSIDE THE UNITED STATES TO A QUALIFIED INSTITUTIONAL BUYER IN COMPLIANCE WITH RULE 144A UNDER THE SECURITIES ACT, (C) INSIDE THE UNITED STATES TO AN
ACCREDITED INVESTOR THAT, PRIOR TO SUCH TRANSFER, FURNISHES (OR HAS FURNISHED ON ITS BEHALF BY A U.S. BROKER-DEALER) TO THE TRUSTEE A SIGNED LETTER CONTAINING CERTAIN REPRESENTATIONS AND AGREEMENTS RELATING TO THE RESTRICTIONS ON TRANSFER OF THIS
SECURITY (THE FORM OF WHICH LETTER CAN BE OBTAINED FROM THE TRUSTEE FOR THIS SECURITY), (D) OUTSIDE THE UNITED STATES IN AN OFFSHORE TRANSACTION IN COMPLIANCE WITH RULE 904 UNDER THE SECURITIES ACT (IF AVAILABLE), (E) PURSUANT TO THE
EXEMPTION FROM REGISTRATION PROVIDED BY RULE 144 UNDER THE SECURITIES ACT (IF AVAILABLE), (F) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT (AND BASED UPON AN OPINION OF COUNSEL IF THE ISSUERS SO
REQUEST), OR (G) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND (3) AGREES THAT IT WILL GIVE TO EACH PERSON TO WHOM THIS SECURITY IS TRANSFERRED A NOTICE SUBSTANTIALLY TO THE EFFECT OF THIS LEGEND. IN
CONNECTION WITH ANY TRANSFER OF THIS SECURITY WITHIN ONE YEAR AFTER THE ORIGINAL ISSUANCE OF THIS SECURITY, IF THE PROPOSED TRANSFEREE IS AN ACCREDITED INVESTOR, THE HOLDER MUST, PRIOR TO SUCH TRANSFER, FURNISH TO THE TRUSTEE AND THE ISSUERS SUCH
CERTIFICATIONS, LEGAL OPINIONS OR OTHER INFORMATION AS EITHER OF THEM MAY REASONABLY REQUIRE TO CONFIRM THAT SUCH TRANSFER IS BEING MADE PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT. AS USED HEREIN, THE TERMS “OFFSHORE TRANSACTION,” “UNITED STATES” AND “U.S. PERSON” HAVE THE MEANING GIVEN TO THEM BY REGULATION S UNDER THE SECURITIES ACT. 

  
 B1-1 

 EXHIBIT B2 

FORM OF LEGEND – GLOBAL NOTE LEGEND 

Each Global Note authenticated and delivered hereunder shall also bear the following legend: 

THIS NOTE IS A GLOBAL NOTE WITHIN THE MEANING OF THE INDENTURE HEREINAFTER REFERRED TO AND IS REGISTERED IN THE NAME OF A DEPOSITORY OR A
NOMINEE OF A DEPOSITORY OR A SUCCESSOR DEPOSITORY. THIS NOTE IS NOT EXCHANGEABLE FOR NOTES REGISTERED IN THE NAME OF A PERSON OTHER THAN THE DEPOSITORY OR ITS NOMINEE EXCEPT IN THE LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE, AND NO TRANSFER OF
THIS NOTE (OTHER THAN A TRANSFER OF THIS NOTE AS A WHOLE BY THE DEPOSITORY TO A NOMINEE OF THE DEPOSITORY OR BY A NOMINEE OF THE DEPOSITORY TO THE DEPOSITORY OR ANOTHER NOMINEE OF THE DEPOSITORY) MAY BE REGISTERED EXCEPT IN THE LIMITED CIRCUMSTANCES
DESCRIBED IN THE INDENTURE. 
 UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW
YORK CORPORATION (“DTC”), TO THE ISSUERS OR THEIR AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL
INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 
 TRANSFERS OF THIS GLOBAL NOTE SHALL BE LIMITED TO
TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF CEDE & CO. OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS
SET FORTH IN SECTION 2.15 OF THE INDENTURE. 

  
 B2-1 

 EXHIBIT C 

FORM OF CERTIFICATE TO BE 

DELIVERED IN CONNECTION WITH 

TRANSFERS TO NON-QIB INSTITUTIONAL ACCREDITED INVESTORS 

Wells Fargo Corporate Trust-DAPS Reorg 
 6th & Marquette
Ave 12th Floor 
 MAC N9303-121 
 Minneapolis, MN 55479 

Phone: 1-800-344-5128 
 Fax: 1-866-969-1290 

Email: dapsreorg@wellsfargo.com 
 Re: 5.875%
Senior Notes due 2021 
 Reference is hereby made to the Indenture, dated as of May 30, 2014 (the “Indenture”),
between CTR Partnership, L.P. and CareTrust Capital Corp., as issuers (the “Issuers”), the guarantors named therein and Wells Fargo Bank, National Association, as Trustee. Capitalized terms used but not defined herein shall have the
meanings given to them in the Indenture. 
 In connection with our proposed purchase of $[ ] aggregate principal amount of: 

(a)      ̈    a beneficial interest in a Global Note,
or 
 (b)      ̈    a Definitive Note, 

we confirm that: 
 1. We
understand that any subsequent transfer of the Notes or any interest therein is subject to certain restrictions and conditions set forth in the Indenture and the undersigned agrees to be bound by, and not to resell, pledge or otherwise transfer the
Notes or any interest therein except in compliance with, such restrictions and conditions and the United States Securities Act of 1933, as amended (the “Securities Act”). 

2. We understand that the offer and sale of the Notes have not been registered under the Securities Act, and that the Notes and any interest
therein may not be offered or sold except as permitted in the following sentence. We agree, on our own behalf and on behalf of any accounts for which we are acting as hereinafter stated, that if we should sell the Notes or any interest therein, we
will do so only (A) to the Issuers or any subsidiary thereof, (B) in accordance with Rule 144A under the Securities Act to a “qualified institutional buyer” (as defined therein), (C) to an institutional “accredited
investor” (as defined below) that, prior to such transfer, furnishes (or has furnished on its behalf by a U.S. broker-dealer) to you and to the Issuers a signed letter substantially in the form of this letter and if the Issuers so requests, an
Opinion of Counsel in form reasonably acceptable to the Issuers to the effect that such transfer is in compliance with the Securities Act, (D) outside the United States in accordance with Rule 904 of Regulation S under the Securities Act,
(E) pursuant to the provisions of Rule 144(k) under the Securities Act or (F) pursuant to an effective registration statement under the Securities Act, and we further agree to provide to any person purchasing the Physical Note or
beneficial interest in a Global Note from us in a transaction meeting the requirements of clauses (A) through (E) of this paragraph a notice advising such purchaser that resales thereof are restricted as stated herein. 

3. We understand that, on any proposed resale of the Notes or beneficial interest therein, we will be required to furnish to you and the
Issuers such certifications, legal opinions and other information as you and the Issuers may reasonably require to confirm that the proposed sale complies with the foregoing restrictions. We further understand that the Notes purchased by us will
bear a legend to the foregoing effect. 

  
 C-1 

 4. We are an institutional “accredited investor” (as defined in Rule 501(a)(1),
(2), (3) or (7) of Regulation D under the Securities Act) and have such knowledge and experience in financial and business matters as to be capable of evaluating the merits and risks of our investment in the Notes, and we and any
accounts for which we are acting are each able to bear the economic risk of our or its investment. 
 5. We are acquiring the Notes or
beneficial interest therein purchased by us for our own account or for one or more accounts (each of which is an institutional “accredited investor”) as to each of which we exercise sole investment discretion. 

You, as Trustee, the Issuers, counsel for the Issuers and others are entitled to rely upon this letter and are irrevocably authorized to
produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official inquiry with respect to the matters covered hereby. 

 

			
	[Insert Name of Accredited Investor]
		
	By:	 	 
	Name:	 	 
	Title:	 	 

  
 C-2 

 EXHIBIT D 

FORM OF CERTIFICATE TO BE DELIVERED 

IN CONNECTION WITH TRANSFERS 

PURSUANT TO REGULATION S 

[    ], [    ] 
 Wells
Fargo Bank, National Association 
 707 Wilshire Blvd, 17th Floor 

Los Angeles, CA 90017 
 Attention: Corporate Trust Services 

Facsimile: 213-614-3355 
  

	 	Re:	CTR Partnership, L.P., 

	 	    	and CareTrust Capital Corp. (the “Issuers”)  

	 	    	5.875% Senior Notes due 2021 (the “Notes”) 

 Ladies and Gentlemen: 

In connection with our proposed sale of $[   ] aggregate principal amount of the Notes, we confirm that such sale has been effected
pursuant to and in accordance with Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and, accordingly, we represent that: 

(1) the offer of the Notes was not made to a person in the United States; 

(2) either (a) at the time the buy offer was originated, the transferee was outside the United States or we and any person acting on our
behalf reasonably believed that the transferee was outside the United States, or the transaction was executed in, on or through the facilities of a designated offshore securities market and neither we nor any person acting on our behalf knows that
the transaction has been prearranged with a buyer in the United States; 
 (3) no directed selling efforts have been made in the United
States in contravention of the requirements of Rule 903(b) or Rule 904(b) of Regulation S, as applicable; 
 (4) the transaction is not part
of a plan or scheme to evade the registration requirements of the Securities Act; and 
 (5) we have advised the transferee of the transfer
restrictions applicable to the Notes. 
 You, as Trustee, the Issuers, counsel for the Issuers and others are entitled to rely upon this
letter and are irrevocably authorized to produce this letter or a copy hereof to any interested party in any administrative or legal proceedings or official inquiry with respect to the matters covered hereby. Terms used in this certificate have the
meanings set forth in Regulation S. 
  

			
	 Very truly yours,
 [Name of
Transferor]

		
	By: 	 	 
	Name:	 	 
	Title:	 	 

  
 D-1 

 EXHIBIT E 

FORM OF SUPPLEMENTAL INDENTURE 

TO BE DELIVERED BY SUBSEQUENT GUARANTORS 

SUPPLEMENTAL INDENTURE (this “Supplemental Indenture”), dated as of , among (the “Guaranteeing Subsidiary”), CTR
Partnership, L.P. (or its permitted successor), a Delaware limited partnership (“Partnership”), CareTrust Capital Corp., a Delaware corporation (together with Partnership, the “Issuers”), the other Guarantors (as defined in the
Indenture referred to herein) and Wells Fargo Bank, National Association, as trustee under the Indenture referred to below (the “Trustee”). 

W I T N E S S E T H 
 WHEREAS,
the Issuers have heretofore executed and delivered to the Trustee an indenture (the “Indenture”), dated as of May 30, 2014 providing for the issuance of 5.875% Senior Notes due 2021 (the “Notes”); 

WHEREAS, the Indenture provides that under certain circumstances the Guaranteeing Subsidiary shall execute and deliver to the Trustee a
supplemental indenture pursuant to which the Guaranteeing Subsidiary shall unconditionally guarantee all of the Issuers’ obligations under the Notes and the Indenture on the terms and conditions set forth herein (the “Note
Guarantee”); and 
 WHEREAS, pursuant to Section 9.01 of the Indenture, the Trustee is authorized to execute and deliver this
Supplemental Indenture. 
 NOW, THEREFORE, in consideration of the foregoing and for other good and valuable consideration, the receipt of
which is hereby acknowledged, the Guaranteeing Subsidiary and the Trustee mutually covenant and agree for the equal and ratable benefit of the Holders as follows: 

1. CAPITALIZED TERMS. Capitalized terms used herein without definition shall have the meanings assigned to them in the Indenture. 

2. AGREEMENT TO GUARANTEE. The Guaranteeing Subsidiary hereby agrees to provide an unconditional guarantee on the terms and subject to the
conditions set forth in the Indenture including but not limited to Article Ten thereof. 
 3. NO RECOURSE AGAINST OTHERS. No recourse for
the payment of the principal of, premium, if any, or interest on any of the Notes or for any claim based thereon or otherwise in respect thereof, and no recourse under or upon any obligation, covenant or agreement of Parent, the Issuers or the
Guarantors in the Indenture or this Supplemental Indenture, or in any of the Notes or Note Guarantees or because of the creation of any Indebtedness represented hereby, shall be had against any incorporator, stockholder, member, manager, partner,
officer, director, employee or controlling person, in their capacity as such, of the Issuers or the Guarantors or of any successor Person thereof. Each Holder, by accepting the Notes, waives and releases all such liability. Such waiver and release
are part of the consideration for issuance of the Notes. 
 4. GOVERNING LAW; WAIVER OF TRIAL RIGHT. This Supplemental Indenture will be
governed by and construed in accordance with the laws of the State of New York. EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY WAIVES, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING
ARISING OUT OF OR RELATING TO THIS SUPPLEMENTAL INDENTURE OR THE TRANSACTION CONTEMPLATED HEREBY. 
 5. COUNTERPARTS. The parties may
sign any number of copies of this Supplemental Indenture. Each signed copy shall be an original, but all of them together represent the same agreement. 

  
 E-1 

 6. EFFECT OF HEADINGS. The Section headings herein are for convenience only and shall not affect
the construction hereof. 
 7. THE TRUSTEE. The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity
or sufficiency of this Supplemental Indenture or any of the terms or provisions hereof or for or in respect of the recitals or statements contained herein, all of which recitals and statements are made solely by the Guaranteeing Subsidiary and
Partnership. 
 8. BINDING NATURE OF SUPPLEMENTAL INDENTURE. The Guaranteeing Subsidiary hereby represents and warrants that this
Supplemental Indenture is its legal, valid and binding obligation, enforceable against it in accordance with its terms. 
 [signature page
follows] 

  
 E-2 

 IN WITNESS WHEREOF, the parties hereto have caused this Supplemental Indenture to be duly
executed, all as of the date first above written. 
  

			
	 Dated:                 ,

 
 [GUARANTEEING SUBSIDIARY], as a Guarantor

		
	By:	 	 
	Name:	 	 
	Title:	 	 
	
	 CTR PARTNERSHIP, L.P., as an Issuer

By: CareTrust GP, LLC, its general partner

		
	By:	 	 
	Name:	 	 
	Title:	 	 
		 	
	CARETRUST CAPITAL CORP., as an Issuer
		
	By:	 	 
	Name:	 	 
	Title:	 	 
		 	
	
	CARETRUST REIT, INC., as a Guarantor
		
	By:	 	 
	Name:	 	 
	Title:	 	 
		 	
	
	[EXISTING GUARANTORS], as a Guarantor
		
	By:	 	 
	Name:	 	 
	Title:	 	 
		 	
	
	WELLS FARGO BANK, NATIONAL ASSOCIATION, as Trustee
		
	By:	 	 
	Name:	 	 
	Title:	 	 

  
 D-1EX-10.1

 Exhibit 10.1 
  

 
 MASTER LEASE 

Between 
 THE ENTITIES
IDENTIFIED ON SCHEDULE 1 HERETO, 
 collectively, as “Landlord” 

and 
 THE ENTITIES
IDENTIFIED ON SCHEDULE 2 HERETO, 
 collectively, as “Tenant” 

May 30, 2014 
  

 

[                      
  ] 

 TABLE OF CONTENTS 

 

							
	 	  	 	  	Page No.	 
	 Article I MASTER LEASE; DEFINITIONS; PREMISES; TERM
	  	 	1	  
			
	 1.1
	  	Recognition of Master Lease; Irrevocable Waiver of Certain Rights	  	 	1	  
	 1.2
	  	Definitions	  	 	2	  
	 1.3
	  	Lease of Premises; Ownership	  	 	2	  
	 1.4
	  	Term	  	 	2	  
	 1.5
	  	Net Lease	  	 	2	  
		
	Article II RENT	  	 	3	  
			
	 2.1
	  	Base Rent	  	 	3	  
	 2.2
	  	Additional Rent	  	 	3	  
	 2.3
	  	Method of Payment	  	 	3	  
	 2.4
	  	Late Payment of Rent	  	 	3	  
	 2.5
	  	Guaranty	  	 	4	  
		
	Article III IMPOSITIONS AND OTHER CHARGES	  	 	4	  
			
	 3.1
	  	Impositions	  	 	4	  
	 3.2
	  	Utilities; CC&Rs	  	 	5	  
	 3.3
	  	Insurance	  	 	5	  
	 3.4
	  	Other Charges	  	 	5	  
	 3.5
	  	Real Property Imposition Impounds	  	 	5	  
	 3.6
	  	Insurance Premium Impounds	  	 	6	  
		
	Article IV ACCEPTANCE OF PREMISES; NO IMPAIRMENT	  	 	6	  
			
	 4.1
	  	Acceptance of Premises	  	 	6	  
	 4.2
	  	No Impairment	  	 	6	  
		
	Article V OPERATING COVENANTS	  	 	7	  
			
	 5.1
	  	Tenant Personal Property	  	 	7	  
	 5.2
	  	Landlord Personal Property	  	 	7	  
	 5.3
	  	Primary Intended Use	  	 	7	  
	 5.4
	  	Compliance with Legal Requirements and Authorizations	  	 	7	  
	 5.5
	  	Preservation of Business	  	 	8	  
	 5.6
	  	Maintenance of Books and Records	  	 	8	  
	 5.7
	  	Financial, Management and Regulatory Reports	  	 	8	  
	 5.8
	  	Estoppel Certificates	  	 	9	  
	 5.9
	  	Furnish Information	  	 	9	  
	 5.10
	  	Affiliate Transactions	  	 	9	  
	 5.11
	  	Waste	  	 	9	  
	 5.12
	  	Additional Covenants	  	 	9	  
	 5.13
	  	No Liens	  	 	10	  
		
	Article VI MAINTENANCE AND REPAIR	  	 	10	  
			
	 6.1
	  	Tenant’s Maintenance Obligation	  	 	10	  

  
 (i) 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	  	 	  	Page No.	 
	 6.2
	  	Premises Condition Report	  	 	10	  
	 6.3
	  	Notice of Non-Responsibility	  	 	11	  
	 6.4
	  	Permitted Alterations	  	 	11	  
	 6.5
	  	Capital and Material Alterations	  	 	12	  
	 6.6
	  	Capital Expenditures	  	 	12	  
	 6.7
	  	Additional Improvement Funds	  	 	13	  
	 6.8
	  	Encroachments	  	 	15	  
		
	Article VII PERMITTED CONTESTS	  	 	15	  
		
	Article VIII INSURANCE	  	 	15	  
			
	 8.1
	  	Required Policies	  	 	15	  
	 8.2
	  	General Insurance Requirements	  	 	17	  
	 8.3
	  	Replacement Costs	  	 	17	  
	 8.4
	  	Claims-Made Policies	  	 	18	  
	 8.5
	  	Non-Renewal	  	 	18	  
	 8.6
	  	Deductibles	  	 	18	  
	 8.7
	  	Increase in Limits; Types of Coverages	  	 	18	  
	 8.8
	  	No Separate Insurance	  	 	19	  
		
	Article IX REPRESENTATIONS AND WARRANTIES	  	 	19	  
			
	 9.1
	  	General	  	 	19	  
	 9.2
	  	Anti-Terrorism Representations	  	 	19	  
	 9.3
	  	Additional Representations and Warranties	  	 	20	  
		
	Article X DAMAGE AND DESTRUCTION	  	 	20	  
			
	 10.1
	  	Notice of Damage or Destruction	  	 	20	  
	 10.2
	  	Restoration	  	 	21	  
	 10.3
	  	Insufficient or Excess Proceeds	  	 	21	  
	 10.4
	  	Facility Mortgagee	  	 	21	  
		
	Article XI CONDEMNATION	  	 	22	  
		
	Article XII DEFAULT	  	 	23	  
			
	 12.1
	  	Events of Default	  	 	23	  
	 12.2
	  	Remedies	  	 	25	  
		
	Article XIII OBLIGATIONS OF TENANT ON EXPIRATION OR TERMINATION OF LEASE	  	 	28	  
	 13.1
	  	Surrender	  	 	28	  
	 13.2
	  	Transition	  	 	28	  
	 13.3
	  	Tenant Personal Property	  	 	30	  
	 13.4
	  	Facility Trade Name	  	 	30	  
	 13.5
	  	Holding Over	  	 	30	  
		
	Article XIV INDEMNIFICATION	  	 	30	  

  
 (ii) 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	  	 	  	Page No.	 
	Article XV LANDLORD’S FINANCING	  	 	31	  
			
	 15.1
	  	Grant Lien	  	 	31	  
	 15.2
	  	Attornment	  	 	31	  
	 15.3
	  	Cooperation; Modifications	  	 	32	  
	 15.4
	  	Compliance with Facility Mortgage Documents	  	 	32	  
		
	Article XVI ASSIGNMENT AND SUBLETTING	  	 	33	  
			
	 16.1
	  	Prohibition	  	 	33	  
	 16.2
	  	Landlord Consent	  	 	33	  
	 16.3
	  	Transfers to Affiliates	  	 	34	  
	 16.4
	  	Permitted Occupancy Agreements	  	 	34	  
	 16.5
	  	Costs	  	 	34	  
		
	Article XVII CERTAIN RIGHTS OF LANDLORD	  	 	34	  
			
	 17.1
	  	Right of Entry	  	 	34	  
	 17.2
	  	Conveyance by Landlord	  	 	34	  
	 17.3
	  	Granting of Easements, etc.	  	 	35	  
		
	Article XVIII ENVIRONMENTAL MATTERS	  	 	35	  
			
	 18.1
	  	Hazardous Materials	  	 	35	  
	 18.2
	  	Notices	  	 	35	  
	 18.3
	  	Remediation	  	 	35	  
	 18.4
	  	Indemnity	  	 	35	  
	 18.5
	  	Environmental Inspections	  	 	36	  
		
	Article XIX RESERVED	  	 	36	  
		
	Article XX QUIET ENJOYMENT	  	 	36	  
		
	Article XXI REIT RESTRICTIONS	  	 	36	  
			
	 21.1
	  	General REIT Provisions	  	 	36	  
	 21.2
	  	Characterization of Rents	  	 	36	  
	 21.3
	  	Prohibited Transactions	  	 	36	  
	 21.4
	  	Personal Property REIT Requirements	  	 	37	  
		
	Article XXII NOTICES	  	 	37	  
		
	Article XXIII RESERVED	  	 	38	  
		
	Article XXIV MISCELLANEOUS	  	 	38	  
			
	 24.1
	  	Memorandum of Lease	  	 	38	  
	 24.2
	  	No Merger	  	 	38	  
	 24.3
	  	No Waiver	  	 	38	  
	 24.4
	  	Acceptance of Surrender	  	 	38	  
	 24.5
	  	Attorneys’ Fees	  	 	38	  
	 24.6
	  	Brokers	  	 	38	  

  
 (iii) 

 TABLE OF CONTENTS 

(continued) 
  

							
	 	  	 	  	Page No.	 
	 24.7
	  	Severability	  	 	38	  
	 24.8
	  	Non-Recourse	  	 	38	  
	 24.9
	  	Successors and Assigns	  	 	39	  
	 24.10
	  	Governing Law; Jury Waiver	  	 	39	  
	 24.11
	  	Entire Agreement	  	 	39	  
	 24.12
	  	Headings	  	 	39	  
	 24.13
	  	Counterparts	  	 	39	  
	 24.14
	  	Joint and Several	  	 	39	  
	 24.15
	  	Interpretation	  	 	39	  
	 24.16
	  	Time of Essence	  	 	40	  
	 24.17
	  	Further Assurances	  	 	40	  
	 24.18
	  	California Specific Provisions	  	 	40	  

 EXHIBITS/SCHEDULES 
  

	
	
	 Exhibit A Defined Terms

	
	 Exhibit B Description of the Land

	
	 Exhibit C The Landlord Personal Property

	
	 Exhibit D Financial, Management and Regulatory Reports

	
	 Exhibit E Fair Market Value

	
	 Schedule 1 LANDLORD ENTITIES

	
	 Schedule 2 TENANT ENTITIES; FACILITY INFORMATION

	
	 Schedule 3 TENANT OWNERSHIP STRUCTURE

	
	 Schedule 4 FORM OF REQUEST FOR ADVANCE

  
 (iv) 

 MASTER LEASE 

THIS MASTER LEASE (this “Lease”) is entered into as of May 30, 2014, by and among each of the entities identified
on Schedule 1 (collectively, “Landlord”), and each of the entities identified as “Tenant” on Schedule 2 (individually and collectively, “Tenant”). Notwithstanding anything in this Lease to
the contrary, Landlord and Tenant hereby agree that this Lease shall not be effective until 11:59 p.m. on May 31, 2014. 

R E C I T A L S 

A. Landlord desires to lease the Premises to Tenant and Tenant desires to lease the Premises from Landlord upon the terms set forth in
this Lease. 
 B. Pursuant to that certain Guaranty of Master Lease dated of even date herewith (as amended, supplemented or
otherwise modified from time to time, the “Guaranty”), Guarantor has agreed to guaranty the obligations of each of the entities comprising Tenant under this Lease. 

C. A list of the Facilities covered by this Lease is attached hereto as Schedule 2. 

NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as
follows: 
 ARTICLE I 

MASTER LEASE; DEFINITIONS; PREMISES; TERM 

1.1 Recognition of Master Lease; Irrevocable Waiver of Certain Rights. Tenant and Landlord each acknowledges and agrees that
this Lease constitutes a single, indivisible lease of the entire Premises, and the Premises constitutes a single economic unit. The Base Rent, Additional Rent, other amounts payable hereunder and all other provisions contained herein have been
negotiated and agreed upon based on the intent to lease the entirety of the Premises as a single and inseparable transaction, and such Base Rent, Additional Rent, other amounts and other provisions would have been materially different had the
parties intended to enter into separate leases or a divisible lease. Any Event of Default under this Lease shall constitute an Event of Default as to the entire Premises. Each of the entities comprising Tenant and Guarantor, in order to induce
Landlord to enter into this Lease, to the extent permitted by law: 
 (a) Agrees, acknowledges and is forever estopped from
asserting to the contrary that the statements set forth in the first sentence of this Section are true, correct and complete; 

(b) Agrees, acknowledges and is forever estopped from asserting to the contrary that this Lease is a new and de novo lease,
separate and distinct from any other lease between any of the entities comprising Tenant and any of the entities comprising Landlord that may have existed prior to the date hereof; 

(c) Agrees, acknowledges and is forever estopped from asserting to the contrary that this Lease is a single lease pursuant to
which the collective Premises are demised as a whole to Tenant; 
 (d) Agrees, acknowledges and is forever estopped from
asserting to the contrary that if, notwithstanding the provisions of this Section, this Lease were to be determined or found to be in any proceeding, action or arbitration under state or federal bankruptcy,

  
 1 

 
insolvency, debtor-relief or other applicable laws to constitute multiple leases demising multiple properties, such multiple leases could not, by the debtor, trustee, or any other party, be
selectively or individually assumed, rejected or assigned; and 
 (e) Forever knowingly waives and relinquishes any and all
rights under or benefits of the provisions of the Federal Bankruptcy Code Section 365 (11 U.S.C. § 365), or any successor or replacement thereof or any analogous state law, to selectively or individually assume, reject or assign the
multiple leases comprising this Lease following a determination or finding in the nature of that described in the foregoing Section 1.1(d). 

1.2 Definitions. Certain initially-capitalized terms used in this Lease are defined in Exhibit A. All accounting
terms not otherwise defined in this Lease have the meanings assigned to them in accordance with GAAP. 
 1.3 Lease of Premises;
Ownership. 
 1.3.1 Upon the terms and subject to the conditions set forth in this Lease, Landlord hereby leases to Tenant
and Tenant leases from Landlord all of Landlord’s rights and interest in and to the Premises. 
 1.3.2 Tenant acknowledges that
the Premises are the property of Landlord and that Tenant has only the right to the possession and use of the Premises upon and subject to the terms and conditions of this Lease. Tenant will not, at any time during the Term, take any position,
whether in any tax return, public filing, contractual arrangement, financial statement or otherwise, other than that Landlord is the owner of the Premises for federal, state and local income tax purposes and that this Lease is a “true
lease”. 
 1.4 Term. The initial term of this Lease (the “Initial Term”) shall be for the period
commencing as of June 1, 2014 (the “Commencement Date”) and expiring at 11:59 p.m. on the last day of the calendar month in which the
                     (            ) anniversary of the Commencement Date
occurs (the “Initial Expiration Date”). The term of this Lease may be extended for                     
(    ) separate terms of five (5) years each (each, an “Extension Term”) if: (a) at least twelve (12), but not more than twenty-four (24) months prior to the end of the then current Term,
Tenant delivers to Landlord a written notice (an “Extension Notice”) that it desires to exercise its right to extend the Term for one (1) Extension Term; and (b) no Event of Default shall have occurred and be continuing on
the date Landlord receives the Extension Notice or on the last day of the then current Term. During any such Extension Term, except as otherwise specifically provided for herein, all of the terms and conditions of this Lease shall remain in full
force and effect. Once delivered to Landlord, an Extension Notice shall be irrevocable. 
 1.5 Net Lease. This Lease is
intended to be and shall be construed as an absolutely net lease, commonly referred to as a “net, net, net” or “triple net” lease, pursuant to which Landlord shall not, under any circumstances or conditions, whether presently
existing or hereafter arising, and whether foreseen or unforeseen by the parties, be required to make any payment or expenditure of any kind whatsoever or be under any other obligation or liability whatsoever, except as expressly set forth herein,
in connection with the Premises. All Rent payments shall be absolutely net to Landlord, free of all Impositions, utility charges, operating expenses, insurance premiums or any other charges or expenses in connection with the Premises, all of which
shall be paid by Tenant. 

  
 2 

 ARTICLE II 

RENT 
 2.1 Base
Rent. During the Term, Tenant will pay to Landlord as base rent hereunder (the “Base Rent”), an annual amount equal to
                                         
    Dollars ($                    ). Notwithstanding the foregoing, on the first day of the third (3rd) Lease Year and the first day of each Lease Year thereafter during the Term (including, without limitation, during any Extension Term), the Base Rent shall increase to an annual amount equal to
the sum of (a) the Base Rent for the immediately preceding Lease Year, and (b) the Base Rent for the immediately preceding Lease Year multiplied by the Adjusted CPI Increase. The Base Rent shall be payable in advance in twelve
(12) equal monthly installments on or before the first (1st) Business Day of each calendar month; provided, however, the Base Rent attributable to the first (1st) full calendar month of the Term and the calendar month in which the Commencement Date occurs, which may be a partial month, shall be payable on the Commencement Date. Notwithstanding anything
herein to the contrary, Base Rent shall be adjusted pursuant to Section 6.7. 
 2.2 Additional Rent. In addition to the
Base Rent, Tenant shall also pay and discharge as and when due and payable all other amounts, liabilities and obligations which Tenant assumes or agrees to pay under this Lease. In the event of any failure on the part of Tenant to pay any of those
items referred to in the previous sentence, Tenant will also promptly pay and discharge every fine, penalty, interest and cost which may be added for non-payment or late payment of the same. Collectively, the items referred to in the first two
sentences of this Section 2.2 are referred to as “Additional Rent.” Except as may otherwise be set forth herein, any costs or expenses paid or incurred by Landlord on behalf of Tenant that constitute Additional Rent shall be
reimbursed by Tenant to Landlord within ten (10) days after the presentation by Landlord to Tenant of invoices therefor. 
 2.3
Method of Payment. All Rent payable hereunder shall be paid in lawful money of the United States of America. Except as may otherwise be specifically set forth herein, Rent shall be prorated as to any partial months at the beginning and
end of the Term. Rent to be paid to Landlord shall be paid by electronic funds transfer debit transactions through wire transfer of immediately available funds and shall be initiated by Tenant for settlement on or before the Payment Date;
provided, however, if the Payment Date is not a Business Day, then settlement shall be made on the next succeeding day which is a Business Day. If Landlord directs Tenant to pay any Base Rent to any party other than Landlord, Tenant
shall send to Landlord, simultaneously with such payment, a copy of the transmittal letter or invoice and a check whereby such payment is made or such other evidence of payment as Landlord may reasonably require. 

2.4 Late Payment of Rent. Tenant hereby acknowledges that the late payment of Rent will cause Landlord to incur costs not
contemplated hereunder, the exact amount of which is presently anticipated to be extremely difficult to ascertain. Accordingly, if any installment of Rent other than Additional Rent payable to a Person other than Landlord (or a Facility Mortgagee)
shall not be paid within five (5) days of its Payment Date, Tenant shall pay to Landlord, on demand, a late charge equal to the lesser of (a) five percent (5%) of the amount of such installment or (b) the maximum amount permitted
by law. The parties agree that this late charge represents a fair and reasonable estimate of the costs that Landlord will incur by reason of late payment by Tenant. The parties further agree that such late charge is Rent and not interest and such
assessment does not constitute a lender or borrower/creditor relationship between Landlord and Tenant. In addition, if any installment of Rent other than Additional Rent payable to a Person other than Landlord (or a Facility Mortgagee) shall not be
paid within ten (10) days after its Payment Date, the amount unpaid, including any late charges, shall bear interest at the Agreed Rate compounded monthly from such Payment Date to the date of payment thereof, and Tenant shall pay such interest
to Landlord on demand. The payment of such late charge or such interest shall neither constitute waiver of nor excuse or cure any default under this Lease, nor prevent Landlord from exercising any other rights and remedies available to Landlord.

  
 3 

 2.5 Guaranty. Tenant’s obligations under this Lease are guaranteed by The
Ensign Group, Inc., a Delaware corporation (such guarantor, together with its successors and assigns, are herein referred to, individually and collectively, as “Guarantor”) pursuant to the Guaranty. 

ARTICLE III 
 IMPOSITIONS
AND OTHER CHARGES 
 3.1 Impositions. 

3.1.1 Subject to Section 3.5, Tenant shall pay all Impositions attributable to a tax period, or portion thereof,
occurring during the Term (irrespective of whether the Impositions for such tax period are due and payable after the Term), when due and before any fine, penalty, premium, interest or other cost may be added for non-payment. Where feasible, such
payments shall be made directly to the taxing authorities. If any such Imposition may, at the option of the taxpayer, lawfully be paid in installments (whether or not interest shall accrue on the unpaid balance of such Imposition), Tenant may
exercise the option to pay same (and any accrued interest on the unpaid balance of such Imposition) in installments (provided no such installments shall extend beyond the Term) and, in such event, shall pay such installments during the Term before
any fine, penalty, premium, further interest or cost may be added thereto. Tenant shall deliver to Landlord, not less than five (5) days prior to the due date of each Imposition, copies of the invoice for such Imposition, the check delivered
for payment thereof and an original receipt evidencing such payment or other proof of payment satisfactory to Landlord. 

3.1.2 Notwithstanding Section 3.1.1 to the contrary, Landlord may elect to pay those Impositions, if any, based on
Landlord’s net income, gross receipts, franchise taxes and taxes on its capital stock directly to the taxing authority and within ten (10) Business Days of Landlord delivering to Tenant notice and evidence of such payment, Tenant shall
reimburse Landlord for such paid Impositions. In connection with such Impositions, Tenant shall, upon request of Landlord, promptly provide to Landlord such data as is maintained by Tenant with respect to any Facility as may be necessary to prepare
any returns and reports to be filed in connection therewith. 
 3.1.3 Tenant shall prepare and file all tax returns
and reports as may be required by Legal Requirements with respect to or relating to all Impositions (other than those Impositions, if any, based on Landlord’s net income, gross receipts, franchise taxes and taxes on its capital stock). 

3.1.4 Tenant may, upon notice to Landlord, at Tenant’s option and at Tenant’s sole cost and expense, protest,
appeal or institute such other proceedings as Tenant may deem appropriate to effect a reduction of real estate or personal property assessments and Landlord, at Tenant’s expense, shall reasonably cooperate with Tenant in such protest, appeal or
other action; provided, however, that upon Landlord’s request in connection with any such protest or appeal, Tenant shall post an adequate bond or deposit sufficient sums with Landlord to insure payment of any such real estate or personal
property assessments during the pendency of any such protest or appeal. 
 3.1.5 Landlord or Landlord’s designee
shall use reasonable efforts to give prompt notice to Tenant of all Impositions payable by Tenant hereunder of which Landlord at any time has knowledge, provided, however, that any failure by Landlord to provide such notice to Tenant shall in no way
relieve Tenant of its obligation to timely pay the Impositions. 
 3.1.6 Impositions imposed or assessed in respect of
the tax-fiscal period during which the Term terminates shall be adjusted and prorated between Landlord and Tenant, whether or not such Imposition is imposed or assessed before or after such termination, and Tenant’s obligation to pay its
prorated share thereof shall survive such termination. 

  
 4 

 3.2 Utilities; CC&Rs. Tenant shall pay any and all charges for electricity,
power, gas, oil, water and other utilities used in connection with each Facility during the Term. Tenant shall also pay all costs and expenses of any kind whatsoever which may be imposed against Landlord during the Term by reason of any of the
covenants, conditions and/or restrictions affecting any Facility or any portion thereof, or with respect to easements, licenses or other rights over, across or with respect to any adjacent or other property which benefits any Facility, including any
and all costs and expenses associated with any utility, drainage and parking easements. If Landlord is billed directly for any of the foregoing costs, Landlord shall send Tenant the bill and Tenant shall pay the same before it is due. 

3.3 Insurance. Subject to Section 3.6, Tenant shall pay or cause to be paid all premiums for the insurance coverage
required to be maintained by Tenant hereunder. 
 3.4 Other Charges. Tenant shall pay all other amounts, liabilities,
obligations, costs and expenses paid or incurred with respect to the ownership, repair, replacement, restoration, maintenance and operation of each Facility (“Other Charges”). 

3.5 Real Property Imposition Impounds. 

3.5.1 If required under the terms of any Facility Mortgage Document, or at Landlord’s option (to be exercised by
thirty (30) days’ written notice to Tenant) following (i) the occurrence and during the continuation of an Event of Default, or (ii) following the occurrence of more than one (1) Event of Default in any twelve
(12) month period and for the remainder of the Term, and provided Tenant is not already being required to impound such payments in accordance with the requirements of Section 15.4 below, Tenant shall be required to deposit, at the time of
any payment of Base Rent, an amount equal to one-twelfth of Tenant’s estimated annual real and personal property taxes required pursuant to Section 3.1. Such amounts shall be applied to the payment of the obligations in respect of which
said amounts were deposited in such order of priority as Landlord shall reasonably determine, on or before the respective dates on which the same or any of them would become delinquent. The reasonable cost of administering such impound account shall
be paid by Tenant. Nothing in this Section 3.5.1 shall be deemed to affect any right or remedy of Landlord hereunder. If Landlord elects (to the extent permitted pursuant to this Section 3.5.1), to require Tenant to impound Real Property
Impositions hereunder, Tenant shall, as soon as they are received, deliver to Landlord copies of all notices, demands, claims, bills and receipts in relation to the Real Property Impositions. 

3.5.2 The sums deposited by Tenant under this Section 3.5 shall be held by Landlord, shall not bear interest nor be
held by Landlord in trust or as an agent of Tenant, and may be commingled with the other assets of Landlord. Provided no Event of Default then exists and is continuing under this Lease, and provided that Tenant has timely delivered to Landlord
copies of any bills, claims or notices that Tenant has received, the sums deposited by Tenant under this Section 3.5 shall be used by Landlord to pay Real Property Impositions as the same become due. Upon the occurrence of any Event of Default,
Landlord may apply any funds held by it under this Section 3.5 to cure such Event of Default or on account of any damages suffered or incurred by Landlord in connection therewith or to any other obligations of Tenant arising under this Lease,
in such order as Landlord in its discretion may determine. 
 3.5.3 If Landlord transfers this Lease, it shall
transfer all amounts then held by it under this Section 3.5 to the transferee, and Landlord shall thereafter have no liability of any kind with respect thereto. As of the Expiration Date, any sums held by Landlord under this Section 3.5
shall be returned to Tenant provided that there is no Event of Default and provided that any and all Real Property Impositions due and owing hereunder have been paid in full. 

  
 5 

 3.5.4 Notwithstanding anything herein which may be construed to the
contrary, if Landlord elects (to the extent permitted pursuant to Section 3.5.1) to require Tenant to impound Real Property Impositions hereunder, Landlord shall have no liability to Tenant for failing to pay any Real Property Impositions to
the extent that: (a) any Event of Default has occurred and is continuing, (b) insufficient deposits under this Section 3.5 are held by Landlord at the time such Real Property Impositions become due and payable, or (c) Tenant has
failed to provide Landlord with copies of the bills, notices, and claims for such Real Property Impositions as required pursuant to Section 3.5.1. 

3.6 Insurance Premium Impounds. Without limiting or expanding Tenant’s obligation pursuant to Article 15, if required under
the terms of any Facility Mortgage Document, or at Landlord’s option (to be exercised by thirty (30) days’ written notice to Tenant) following (i) the occurrence and during the continuation of an Event of Default, or
(ii) following the occurrence of more than one (1) Event of Default in any twelve (12) month period and for the remainder of the Term, and provided Tenant is not already being required to impound such payments in accordance with the
requirements of Section 15.4 below, Tenant shall be required to deposit, at the time of any payment of Base Rent, an amount equal to one-twelfth of Tenant’s estimated annual insurance premiums required pursuant to Section 3.6 and
Article VIII. Such amounts shall be applied to the payment of the obligations in respect of which said amounts were deposited in such order of priority as Landlord shall reasonably determine, on or before the respective dates on which the same or
any of them would become delinquent. The reasonable cost of administering such impound account shall be paid by Tenant. Nothing in this Section 3.6 shall be deemed to affect any right or remedy of Landlord hereunder. As applicable, the terms of
Section 3.5 shall govern the amounts deposited under this Section 3.6. 
 ARTICLE IV 

ACCEPTANCE OF PREMISES; NO IMPAIRMENT 

4.1 Acceptance of Premises. Tenant acknowledges receipt and delivery of possession of the Premises and confirms that Tenant has
examined and otherwise has knowledge of the condition of the Premises prior to the execution and delivery of this Lease and has found the same to be in good order and repair, free from Hazardous Materials not in compliance with applicable Hazardous
Materials Laws and satisfactory for its purposes hereunder. Regardless, however, of any examination or inspection made by Tenant and whether or not any patent or latent defect or condition was revealed or discovered thereby, Tenant is leasing the
Premises “as is” in its present condition. Tenant waives any claim or action against Landlord in respect of the condition of the Premises including any defects or adverse conditions not discovered or otherwise known by Tenant as of the
Commencement Date. LANDLORD MAKES NO WARRANTY OR REPRESENTATION, EXPRESS OR IMPLIED, IN RESPECT OF THE PREMISES, EITHER AS TO ITS FITNESS FOR USE, DESIGN OR CONDITION FOR ANY PARTICULAR USE OR PURPOSE OR OTHERWISE, OR AS TO THE NATURE OR QUALITY OF
THE MATERIAL OR WORKMANSHIP THEREIN, OR THE EXISTENCE OF ANY HAZARDOUS MATERIALS, IT BEING AGREED THAT ALL SUCH RISKS, LATENT OR PATENT, ARE TO BE BORNE SOLELY BY TENANT. 

4.2 No Impairment. The respective obligations of Landlord and Tenant shall not be affected or impaired by reason of (a) any
damage to, or destruction of, any Facility, from whatever cause, or any Condemnation of any Facility (except as otherwise expressly and specifically provided in Article X or Article XI); (b) the interruption or discontinuation of any service or
utility servicing any Facility; (c) the lawful or unlawful prohibition of, or restriction upon, Tenant’s use of any Facility due to the interference with such use by any Person or eviction by paramount title; (d) any claim that Tenant
has or might have against Landlord on account of any breach of warranty or default by Landlord under this Lease or any other agreement by which Landlord is bound; (e) any bankruptcy, insolvency, reorganization, composition, readjustment,
liquidation, dissolution, winding up or other proceedings affecting Landlord or any assignee 

  
 6 

 
or transferee of Landlord; (f) any Licensing Impairment; or (g) for any other cause whether similar or dissimilar to any of the foregoing. Tenant hereby specifically waives all rights,
arising from any occurrence whatsoever, which may now or hereafter be conferred upon it by law or equity (x) to modify, surrender or terminate this Lease or quit or surrender any Facility, or (y) that would entitle Tenant to any abatement,
reduction, offset, suspension or deferment of Rent. The obligations of Landlord and Tenant hereunder shall be separate and independent covenants and agreements and Rent shall continue to be payable in all events until the termination of this Lease,
other than by reason of an Event of Default. Tenant’s sole right to recover damages against Landlord under this Lease shall be to prove such damages in a separate action. 

ARTICLE V 
 OPERATING
COVENANTS 
 5.1 Tenant Personal Property. Tenant shall obtain and install all items of furniture, fixtures, supplies and
equipment not included as Landlord Personal Property as shall be necessary or reasonably appropriate to operate each Facility in compliance with this Lease (the “Tenant Personal Property”). 

5.2 Landlord Personal Property. Consistent with Tenant’s maintenance obligations hereunder, Tenant may, from time to time,
in Tenant’s reasonable discretion, without notice to or approval of Landlord, sell or dispose of any item of the Landlord Personal Property; provided, however, that, unless such item is functionally obsolete, Tenant shall promptly replace such
item with an item of similar or superior quality, use and functionality, and any such replacement item shall, for all purposes of this Lease, continue to be treated as part of the “Landlord Personal Property.” Tenant shall, promptly upon
Landlord’s request from time to time, provide such information as Landlord may reasonably request relative to any sales, dispositions or replacements of the Landlord Personal Property pursuant to this Section 5.2 and shall provide to
Landlord with an updated inventory of the Landlord Personal Property. 
 5.3 Primary Intended Use. During the entire Term,
Tenant shall continually use each Facility for its Primary Intended Use (subject to Articles X and XI) and for no other use or purposes, and shall operate each Facility in a manner consistent with the Ordinary Course of Business. 

5.4 Compliance with Legal Requirements and Authorizations. 

5.4.1 Tenant, at its sole cost and expense, shall promptly (a) comply in all material respects with all Legal
Requirements and Insurance Requirements regarding the use, condition and operation of each Facility and the Tenant Personal Property, and (b) procure, maintain and comply in all material respects with all Authorizations. The Authorizations for
any Facility shall, to the maximum extent permitted by Legal Requirements, relate and apply exclusively to such Facility, and Tenant acknowledges and agrees that, subject to all applicable Legal Requirements, the Authorizations are appurtenant to
the Facilities to which they apply, both during and following the termination or expiration of the Term. 
 5.4.2
Tenant and the Premises shall comply in all material respects with all licensing and other Legal Requirements applicable to the Premises and the business conducted thereon and, to the extent applicable, all Third Party Payor Program
requirements. Further, Tenant shall not commit any act or omission that would in any way violate any certificate of occupancy affecting any Facility, result in closure of the Facility, result in the termination or suspension of Tenant’s ability
to operate any Facility for its Primary Intended Use or result in the termination, suspension, non-renewal or other limitation of any Authorization, including, but not limited to, the authority to admit residents to any Facility or right to receive
reimbursement for items or services provided at any Facility from any Third Party Payor Program. 

  
 7 

 5.4.3 Tenant shall not transfer any Authorizations to any location other
than the Facility operated by such Tenant or as otherwise required by the terms of this Lease nor pledge any Authorizations as collateral security for any loan or indebtedness except as required by the terms of this Lease. 

5.5 Preservation of Business. Tenant acknowledges that the diversion of management or supervisory personnel, residents, patients
or patient care activities from any Facility to other facilities owned or operated by Tenant, Guarantor, or any of their respective Affiliates will have a material adverse effect on the value and utility of such Facility. Therefore, Tenant agrees
that during the Term and for a period of one (1) year thereafter, none of Tenant, Guarantor, nor any of their respective Affiliates shall, without the prior written consent of Landlord (which may not be unreasonably withheld), and except as is
necessary for medically appropriate reasons: (i) recommend or solicit the removal or transfer of any resident or patient from any Facility to any other nursing, health care, senior housing, or retirement housing facility (excluding, however,
any such facilities that are owned by Landlord (or any of its Affiliates) and leased to Tenant, Guarantor, or any of their respective Affiliates); or (ii) divert actual personnel, residents, patients or patient care activities of any Facility
to any other facilities owned or operated by Tenant, Guarantor, or any of their respective Affiliates (excluding, however, any such facilities that are owned by Landlord (or any of its Affiliates) and leased to Tenant, Guarantor, or any of their
respective Affiliates) or from which Tenant, Guarantor, or any of their respective Affiliates receive any type of referral fees or other compensation for transfers. In addition to the foregoing, during the Nonsolicitation Period, none of Tenant,
Guarantor, nor any of their respective Affiliates shall directly or indirectly, induce any management or supervisory personnel working on or in connection with any Facility or the operations thereof to accept employment at any other nursing, health
care, senior housing, or retirement housing facility that is operated, owned, developed, leased, managed, controlled, or invested in by Tenant, Guarantor, or any of their respective Affiliates or in which Tenant, Guarantor, or any of their
respective Affiliates otherwise participates in or receives revenues from; provided that advertisements and similar announcements by Tenant seeking employees that are not directed solely to the Facility’s management and supervisory personnel
but rather to the public at large or to members of a trade organization or industry or through advertisements in newspapers, periodicals or the media in general shall not be deemed to be an inducement or prohibited hereunder. The obligations of
Tenant and Guarantor under this Section 5.5 shall survive the expiration or earlier termination of this Lease. 
 5.6 Maintenance
of Books and Records. Tenant shall keep and maintain, or cause to be kept and maintained, proper and accurate books and records in accordance with GAAP, and a standard modern system of accounting, in all material respects reflecting the
financial affairs of Tenant and the results from operations of each Facility, individually and collectively. Landlord shall have the right, from time to time during normal business hours after three (3) Business Days prior oral or written
notice to Tenant, itself or through any of Landlord’s Representatives, to examine and audit such books and records at the office of Tenant or other Person maintaining such books and records and to make such copies or extracts thereof as
Landlord or Landlord’s Representatives shall request and Tenant hereby agrees to reasonably cooperate with any such examination or audit at Tenant’s cost and expense. 

5.7 Financial, Management and Regulatory Reports. Tenant shall provide Landlord with the reports listed in Exhibit D
within the applicable time specified therein. All financial information provided shall be prepared in accordance with GAAP and shall be submitted electronically using the applicable template provided by Landlord from time to time or, if no such
template is provided by Landlord, in the form of unrestricted, unlocked “.xls” spreadsheets created using Microsoft Excel (2003 or newer editions) or in such other form as Landlord may reasonably require from time to time. For so long as
Tenant or any Guarantor is or becomes subject to any reporting requirements of the Securities and Exchange Commission (the “SEC”) during the Term, the timely filing of any such reports with the SEC and publication thereof by the SEC shall
be deemed delivery to Landlord hereunder. 

  
 8 

 5.7.1 In addition to the reports required under Section 5.7 above,
upon Landlord’s request from time to time, Tenant shall provide Landlord with such additional information and unaudited quarterly financial information concerning each Facility, the operations thereof and Tenant and Guarantor as Landlord may
require for purposes of securing financing for the Premises or its ongoing filings with the Securities and Exchange Commission, under both the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, including, but
not limited to, 10-Q Quarterly Reports, 10-K Annual Reports and registration statements to be filed by Landlord during the Term. Notwithstanding the foregoing, neither Tenant nor Guarantor shall be required to disclose information that is material
non-public information or is subject to the quality assurance immunity or is subject to attorney-client privilege or the attorney work product doctrine. 

5.7.2 Tenant specifically agrees that Landlord may include Tenant’s financial information and such information
concerning the operation of any Facility which does not violate the confidentiality of the facility-patient relationship and the physician-patient privilege under applicable laws, in Landlord’s public filings and informational publications, as
necessary or prudent to comply with any reporting requirements under applicable federal or state laws, including those of any successor to Landlord. 

5.8 Estoppel Certificates. Tenant shall, at any time upon not less than five (5) days prior written request by Landlord,
have an authorized representative execute, acknowledge and deliver to Landlord or its designee a written statement certifying (a) that this Lease, together with any specified modifications, is in full force and effect, (b) the dates to
which Rent and additional charges have been paid, (c) that no default by either party exists or specifying any such default and (d) as to such other matters as Landlord may reasonably request. 

5.9 Furnish Information. Tenant shall promptly notify Landlord of any condition or event that constitutes a breach of any term,
condition, warranty, representation, or provision of this Lease and of any adverse change in the financial condition of any Tenant or Guarantor and of any Event of Default. 

5.10 Affiliate Transactions. No Tenant shall enter into, or be a party to, any transaction with an Affiliate of any Tenant or
any of the partners, members or shareholders of any Tenant except in the Ordinary Course of Business and on terms that are fully disclosed to Landlord in advance and are no less favorable to any Tenant or such Affiliate than would be obtained in a
comparable arm’s-length transaction with an unrelated third party; provided that this covenant shall not apply to or restrict guarantees by Tenant of debt financing issued or incurred by the Guarantor. 

5.11 Waste. No Tenant shall commit or suffer to be committed any waste on any of the Premises, nor shall any Tenant cause or
permit any nuisance thereon. 
 5.12 Additional Covenants. Tenant shall satisfy and comply with the following covenants
throughout the Term: 
 5.12.1 Tenant shall not, directly or indirectly, create, incur, assume, guarantee or otherwise
become or remain directly or indirectly liable with respect to (i) any Debt except for Permitted Debt; or (ii) any Contingent Obligations except for Permitted Contingent Obligations. Tenant shall not default on the payment of any Permitted
Debt or Permitted Contingent Obligations. 
 5.12.2 Tenant shall not, directly or indirectly, (i) acquire or
enter into any agreement to acquire any assets other than in the Ordinary Course of Business, or (ii) engage or enter into any agreement to engage in any joint venture or partnership with any other Person. 

  
 9 

 5.12.3 Tenant shall not cancel or otherwise forgive or release any
material claim or material debt owed to any Tenant by any Person, except for adequate consideration and in the Ordinary Course of Business. If any proceedings are filed seeking to enjoin or otherwise prevent or declare invalid or unlawful
Tenant’s occupancy, maintenance, or operation of a Facility or any portion thereof for its Primary Intended Use, Tenant shall cause such proceedings to be vigorously contested in good faith, and shall, without limiting the generality of the
foregoing, use all reasonable commercial efforts to bring about a favorable and speedy disposition of all such proceedings and any other proceedings. 

5.12.4 Tenant shall maintain a Portfolio Coverage Ratio equal to or greater than the Minimum Rent Coverage Ratio. 

5.12.5 After the occurrence of an Event of Default under Section 12.1.1 or Section 12.1.16 arising as a result
of a breach of Section 5.12.4 or, upon written notice from the Landlord, after the occurrence of any other Event of Default, and, in each case, until such Event of Default is cured, no Tenant shall make any payments or distributions (including
salaries, bonuses, fees, principal, interest, dividends, liquidating distributions, management fees, cash flow distributions or lease payments) to any Guarantor or any Affiliate of any Tenant or any Guarantor, or any shareholder, member, partner or
other equity interest holder of any Tenant, any Guarantor or any Affiliate of any Tenant or any Guarantor. 
 5.13 No Liens.
Subject to the provisions of Article VII relating to permitted contests and excluding the applicable Permitted Encumbrances, Tenant will not directly or indirectly create or allow to remain and will promptly discharge at its expense any lien,
encumbrance, attachment, title retention agreement or claim upon any Facility, this Lease or Tenant’s interest in any Facility or any attachment, levy, claim or encumbrance in respect of the Rent. 

ARTICLE VI 
 MAINTENANCE
AND REPAIR 
 6.1 Tenant’s Maintenance Obligation. Tenant shall (a) keep and maintain each Facility in good
appearance, repair and condition, and maintain proper housekeeping, (b) promptly make all repairs (interior and exterior, structural and nonstructural, ordinary and extraordinary, foreseen and unforeseen) necessary to keep each Facility in good
and lawful order and condition and in compliance with all Legal Requirements, Insurance Requirements and Authorizations and to maintain each Facility in a high quality operating and structural condition for use for its Primary Intended Use, and
(c) keep and maintain all Landlord Personal Property and Tenant Personal Property in good condition and repair and replace such property consistent with prudent industry practice. All repairs performed by Tenant shall be done in a good and
workmanlike manner. Landlord shall under no circumstances be required to repair, replace, build or rebuild any improvements on any Facility, or to make any repairs, replacements, alterations, restorations or renewals of any nature or description to
any Facility, whether ordinary or extraordinary, structural or non-structural, foreseen or unforeseen, or to make any expenditure whatsoever with respect thereto, or to maintain any Facility in any way. Tenant hereby waives, to the extent permitted
by law or any equitable principle, the right to make repairs at the expense of Landlord pursuant to any law currently in effect or hereafter enacted. 

6.2 Premises Condition Report. Landlord, may from time to time and at Tenant’s sole expense (but, no more than once every
twenty-four (24) months at Tenant’s expense, and in no event at a cost to Tenant in excess of Two Thousand Five Hundred Dollars ($2,500) per inspection, with such amount to escalate annually during the Term and any Extension by the same
method and at the same rate of increase as the Base Rent as set forth in Section 2.1), cause an engineer designated by Landlord, in its sole discretion, to inspect any Facility and issue a report (a “Premises Condition Report”)
with respect to such Facility’s condition. Tenant shall, at its own expense, make any and all repairs or replacements that are recommended by such Premises Condition Report that relate to life safety or are otherwise required to be performed by
Tenant under Section 6.1 above. 

  
 10 

 6.3 Notice of Non-Responsibility. Nothing contained in this Lease and no action or
inaction by Landlord shall be construed as (a) constituting the consent or request of Landlord, expressed or implied, to any contractor, subcontractor, laborer, materialman or vendor to or for the performance of any labor or services or the
furnishing of any materials or other property for the construction, alteration, addition, repair or demolition of or to any Facility or any part thereof; or (b) giving Tenant any right, power or permission to contract for or permit the
performance of any labor or services or the furnishing of any materials or other property in such fashion as would permit the making of any claim against Landlord in respect thereof or to make any agreement that may create, or in any way be the
basis for, any right, title, interest, lien, claim or other encumbrance upon the estate of Landlord in any Facility or any portion thereof. Landlord may post, at Tenant’s sole cost, such notices of non-responsibility upon, or of record against,
any Facility to prevent the lien of any contractor, subcontractor, laborer, materialman or vendor providing work, services or supplies to Tenant from attaching against such Facility. Tenant agrees to promptly execute and record any such notice of
non-responsibility at Tenant’s sole cost. 
 6.4 Permitted Alterations. Without Landlord’s prior written consent,
which consent shall not be unreasonably withheld, Tenant shall not make any Capital Alterations or Material Alterations. Tenant may, without Landlord’s consent, make any other Alterations provided the same (a) do not decrease the value of
the applicable Facility, (b) do not adversely affect the exterior appearance of such Facility and (c) are consistent in terms of style, quality and workmanship to the original Leased Improvements and Fixtures of such Facility, and provided
further that the same are constructed and performed in accordance with the following: 
 6.4.1 Such construction shall
not commence until Tenant shall have procured and paid for all municipal and other governmental permits and authorizations required therefor (as well as any permits or approvals required in connection with any Permitted Encumbrance of such
Facility); provided, however, that any Plans and Specifications required to be filed in connection with any such permits or authorizations that require the approval of Landlord shall have been so approved by Landlord. 

6.4.2 During and following completion of such construction, the parking that is located on the Land of such Facility
shall remain adequate for the operation of such Facility for its Primary Intended Use and in no event shall such parking be less than what is required by any applicable Legal Requirements or was located on such Land prior to such construction. 

6.4.3 All work done in connection with such construction shall be done promptly and in a good and workmanlike manner
using materials of appropriate grade and quality consistent with the existing materials and in conformity with all Legal Requirements. 

6.4.4 If, by reason of the construction of any Alteration, a new or revised certificate of occupancy for any component
of such Facility is required, Tenant shall obtain such certificate in compliance with all applicable Legal Requirements and furnish a copy of the same to Landlord promptly upon receipt thereof. 

6.4.5 Upon completion of any Alteration, Tenant shall promptly deliver to Landlord final lien waivers from each and
every general contractor and, with respect to Alterations costing in excess of One Hundred Thousand Dollars ($100,000), each and every subcontractor that provided goods or services costing in excess of One Hundred Thousand Dollars ($100,000) in
connection with such Alterations indicating that such contractor or subcontractor has been paid in full for such goods or services, together with such other evidence as Landlord may reasonably require to satisfy Landlord that no liens have been or
may be created in connection with such Alteration. 

  
 11 

 6.5 Capital and Material Alterations. If Landlord consents to the making of any
Capital Alterations or Material Alterations, Landlord may impose commercially reasonable conditions thereon in connection with its approval thereof. In addition to any such imposed conditions, all such Alterations shall be constructed and performed
in accordance with Sections 6.4.1 through 6.4.5 above, together with the following: 
 6.5.1 Prior to commencing
any such Alterations, Tenant shall have submitted to Landlord a written proposal describing in reasonable detail such proposed Alteration and shall provide to Landlord for approval such plans and specifications, permits, licenses, construction
budgets and other information (collectively, the “Plans and Specifications”) as Landlord shall request, showing in reasonable detail the scope and nature of the proposed Alteration. 

6.5.2 Such construction shall not, and prior to commencement of such construction Tenant’s licensed architect or
engineer (to the extent the services of a licensed architect or engineer are required in connection with such Alterations) shall certify to Landlord that such construction shall not, impair the structural strength of such Facility or overburden or
impair the operating efficiency of the electrical, water, plumbing, HVAC or other building systems of such Facility. 

6.5.3 Prior to commencing any such Alterations, Tenant’s licensed architect or engineer (to the extent the services
of a licensed architect or engineer are required in connection with such Alterations) shall certify to Landlord that the Plans and Specifications conform to and comply with all applicable Legal Requirements and Authorizations. 

6.5.4 Promptly following the completion of the construction of any such Alterations, Tenant shall deliver to Landlord:
(a) “as built” drawings of any such Alterations included therein, if applicable, certified as accurate by the licensed architect or engineer selected by Tenant to supervise such work; and (b) a certificate from Tenant’s
licensed architect or engineer certifying to Landlord that such Alterations have been completed in compliance with the Plans and Specifications and all applicable Legal Requirements. 

6.6 Maintenance and Repairs. 

6.6.1 With respect to each Facility, and without limiting Tenant’s obligations to maintain the Premises under this
Lease, within sixty (60) days following the end of each Lease Year, Tenant shall deliver to Landlord a report (a “Maintenance Expenditures Report”), certified as true, correct and complete by an officer of Tenant, summarizing
and describing in reasonable detail all of the Maintenance Expenditures made by Tenant during the preceding Lease Year on each Facility, and such receipts and other information as Landlord may reasonably request relative to the Maintenance
Expenditures made by Tenant during the applicable Lease Year, in form and content satisfactory to Landlord in the reasonable exercise of Landlord’s discretion, confirming that Tenant has in such Lease Year spent, with respect to the Premises,
at least an aggregate amount of Four Hundred Dollars ($400.00) per operational bed or unit, as applicable (the “Minimum Aggregate Maintenance Amount”), minus the Overage Amount (as hereinafter defined), for repair and maintenance of
the Facilities excluding normal janitorial and cleaning but including such expenditures to the Facilities and replacements to Landlord’s Personal Property at the Facilities as Tenant deems to be necessary in the exercise of its reasonable
discretion. If Tenant fails in any Lease Year to expend the Minimum Aggregate Maintenance Amount minus the Overage Amount, and fails to either (i) cure such default within sixty (60) days after receipt of a written demand from Landlord, or
(ii) obtain Landlord’s written approval, in its reasonable 

  
 12 

 
discretion, of a repair and maintenance program satisfactory to cure such deficiency, then the same shall be deemed an Event of Default hereunder. As used herein “Overage Amount” means
the sum of amounts expended by Tenant pursuant to this Section 6.6.1 in the two (2) immediately preceding Lease Years in excess, if any, of the Minimum Aggregate Maintenance Amount for such prior Lease Years (excluding any such amounts
that are financed by Tenant and secured by a lien on the personal property relating thereto). 
 6.6.2 Tenant’s
obligation to deliver the Maintenance Expenditures Report applicable to the last Lease Year shall survive the expiration or termination of this Lease. 

6.7 Additional Improvement Funds. In the event Tenant elects to make Capital Alterations at a Facility during a Lease Year in
which Tenant has, for such Lease Year, made Maintenance Expenditures in excess of the applicable Minimum Aggregate Maintenance Amount minus the Overage Amount for such Facility, then Tenant may request, in writing, for Landlord to provide Tenant
with funds (the “Improvement Funds”) for the cost to complete the Alterations to which said additional Capital Alterations apply. Landlord shall provide Tenant with such Improvement Funds subject to the following terms and
conditions: 
 6.7.1 Notwithstanding anything herein to the contrary, Landlord shall have no obligation to disburse
Improvement Funds with respect to a Facility to the extent that disbursement of any such Improvement Funds would result in Landlord having disbursed Improvement Funds during the Term and with respect to such Facility in an aggregate amount exceeding
the Facility Improvement Fund Cap applicable to such Facility. 
 6.7.2 In connection with any Alterations for which
Improvement Funds are or may be requested by Tenant, Tenant shall comply with the provisions of Section 6.4 and, to the extent any such Alterations would constitute Capital Alterations or Material Alterations, Tenant shall comply with the
provisions of Section 6.5. Prior to commencing any capital repairs or improvements for which Tenant will request disbursement of Improvement Funds, Tenant shall provide Landlord with such written documentation as may be reasonably requested by
Landlord with respect to such capital repairs or improvements, which may include, without limitation, plans and specifications, budgets, a work completion schedule, copies of all permits required in connection with such capital repairs or
improvements and the names of all contractors to be engaged by Tenant in connection therewith, together with evidence of insurance for each (in form, substance and amount reasonably required by Landlord), and Landlord shall have a reasonable period
of time to review and approve the same. Landlord shall not be obligated to disburse the Improvement Funds for any Alterations until Landlord has approved such Alterations in writing, which approval: (i) with respect to any Alterations that are
not Material Alterations or Capital Alterations, may not be unreasonably withheld, conditioned or delayed, and (ii) with respect to any Alterations which are Capital Alterations or Material Alterations, may be granted, withheld or conditioned
in Landlord’s sole and absolute discretion. 
 6.7.3 Tenant shall have the right to request disbursement of the
Improvement Funds not more than once per calendar month, in increments of not less than Fifteen Thousand Dollars ($15,000) (unless the disbursement is the final one for a particular project, in which case the full amount of such disbursement may be
requested). All such disbursement requests shall be in writing and in the form of the request for advance contained in Schedule 4 attached hereto (“Request for Advance”) and shall be accompanied with (i) the following
supporting documentation: (A) an itemized account of expenditures to be paid or reimbursed from the requested disbursement, certified by Tenant to be true and correct expenditures which have already been paid or are due and owing and for which
no previous disbursement was made hereunder, and (B) copies of invoices or purchase orders from each payee with an identifying reference to the applicable vendor or supplier, which invoices or purchase orders shall support the full

  
 13 

 
amount of costs contained in the requested disbursement; and (ii) mechanic’s lien waivers (conditional and unconditional, as applicable), in form and substance reasonably satisfactory
to Landlord, in connection with any repairs, renovations or improvements in excess of Five Thousand Dollars ($5,000) for which a mechanic’s lien may be filed. Landlord shall have the right to make payment directly to any or all applicable
vendors or suppliers if so desired by Landlord. No failure by Landlord to insist on Tenant’s strict compliance with the provisions of this Section 6.7 with respect to any request for advance or disbursement of the Improvement Funds shall
constitute a waiver or modification of such provisions with respect to any future or other request for advance or disbursement. 

6.7.4 Landlord shall, within twenty (20) calendar days of Tenant’s delivery of a Request for Advance and
compliance with the conditions for disbursement set forth in this Section 6.7, make disbursements of the requested Improvement Funds to pay or reimburse Tenant for the costs of the applicable capital repairs or improvements. 

6.7.5 No Event of Default or event which, with the giving of notice or the passage of time, or both, would constitute an
Event of Default, including, without limitation, the recordation of any mechanic’s or other lien against the Premises (or any portion thereof) in connection with the capital repairs or improvements to be funded by the Improvement Funds, shall
have occurred and be continuing at the time of any request for disbursement (or the date of disbursement) of the Improvement Funds. 

6.7.6 All repairs or improvements funded with the Improvement Funds shall be completed in a good, workmanlike and
lien-free manner pursuant to Plans and Specifications or other similar documents provided to and approved by Landlord as set forth above, subject to change orders made in the ordinary course of a project of the size and scope of the applicable
capital repair or improvement and approved by Landlord (with respect to change orders in excess of $10,000). If any of such repairs or improvements is completed in a manner not in compliance with this Section 6.7 and the other applicable
provisions of this Lease, Tenant shall, promptly after obtaining knowledge thereof or Landlord’s demand therefor, repair or remediate the applicable work to the extent necessary to attain such compliance at its sole cost and expense. 

6.7.7 Each and every renovation or improvement funded by Landlord under this Section 6.7 shall immediately become a
part of the Premises and shall belong to Landlord subject to the terms and conditions of this Lease. 
 6.7.8 No
disbursement of the Improvement Funds shall be used to remedy any condition which constitutes a default by Tenant under the provisions of this Lease. 

6.7.9 In connection with any request for Improvement Funds delivered to Landlord during the last five (5) years of
the then Term, Landlord shall have no obligation to disburse any Improvement Funds with respect to any such request unless and until Tenant shall have delivered to Landlord an Extension Notice for the next applicable Extension Term, if any. 

6.7.10 From and after the date of disbursement of any Improvement Funds by Landlord, the annual amount of Base Rent then
payable under this Lease shall be increased by the product of: (i) the amount of the Improvement Funds disbursed by Landlord, and (ii) the then Improvement Fund Rate. Such increased Base Rent shall commence to be payable on the next
Payment Date following disbursement of such Improvement Funds (together with any prorated portion of the Base Rent payable with respect to the month in which such Improvement Funds were advanced). 

  
 14 

 6.8 Encroachments. If any of the Leased Improvements of any Facility shall, at any
time, encroach upon any property, street or right-of-way adjacent to such Facility, then, promptly upon the request of Landlord, Tenant shall, at its expense, subject to its right to contest the existence of any encroachment and, in such case, in
the event of any adverse final determination, either (a) obtain valid waivers or settlements of all claims, liabilities and damages resulting from each such encroachment, whether the same shall affect Landlord or Tenant, or (b) make such
changes in such Leased Improvements, and take such other actions, as Tenant, in the good faith exercise of its judgment, deems reasonably practicable, to remove such encroachment, including, if necessary, the alteration of any of such Leased
Improvements, and in any event take all such actions as may be necessary to be able to continue the operation of such Leased Improvements for the Primary Intended Use of such Facility substantially in the manner and to the extent such Leased
Improvements were operated prior to the assertion of such encroachment. Any such alteration shall be made in conformity with the applicable requirements of Sections 6.4 and 6.5. 

ARTICLE VII 
 PERMITTED
CONTESTS 
 Tenant, upon prior written notice to Landlord and at Tenant’s expense, may contest, by appropriate legal proceedings
conducted in good faith and with due diligence, the amount, validity or application, in whole or in part, of any licensure or certification decision, Imposition, Legal Requirement, Insurance Requirement, lien, attachment, levy, encumbrance, charge
or claim; provided, however, that (a) in the case of an unpaid Imposition, lien, attachment, levy, encumbrance, charge, or claim, the commencement and continuation of such proceedings shall suspend the collection thereof from Landlord and from
the applicable Facility, (b) neither the applicable Facility nor any Rent therefrom nor any part thereof or interest therein would be reasonably likely to be in danger of being sold, forfeited, attached or lost pending the outcome of such
proceedings, (c) in the case of a Legal Requirement, neither Landlord nor Tenant would be in any danger of civil or criminal liability for failure to comply therewith pending the outcome of such proceedings; (d) Tenant shall give such
security as may be demanded by Landlord to insure ultimate payment of, or compliance with, the same and to prevent any sale or forfeiture (or risk thereof) of the applicable Facility or the Rent by reason of such non-payment or non-compliance;
(e) in the case of the contest of an Insurance Requirement, the coverage required by Article VIII shall be maintained, and (f) if such contest is resolved against Landlord or Tenant, Tenant shall pay to the appropriate payee the amount
required to be paid, together with all interest and penalties accrued thereon, and otherwise comply with the applicable Legal Requirement or Insurance Requirement. Landlord, at Tenant’s expense, shall execute and deliver to Tenant such
authorizations and other documents as may reasonably be required in any such contest, and, if reasonably requested by Tenant or if Landlord so desires, shall join as a party therein. The provisions of this Article VII shall not be construed to
permit Tenant to contest the payment of Rent or any other amount payable by Tenant to Landlord hereunder. Tenant shall indemnify, defend, protect and hold harmless Landlord from and against any Losses of any kind that may be imposed upon Landlord in
connection with any such contest and any Losses resulting therefrom and the provisions of this Article VII shall survive the termination or expiration of this Lease. 

ARTICLE VIII 
 INSURANCE

 8.1 Required Policies. During the Term, Tenant shall maintain the following insurance with respect to each Facility at
its sole cost and expense: 
 8.1.1 Fire and Extended Coverage against loss or damage by fire, vandalism and malicious
mischief, extended coverage perils commonly known as “Special Risk,” and all physical loss perils normally included in such Special Risk insurance, including but not limited to sprinkler leakage and windstorm, all with an aggregate loss
limit per occurrence of not less than Four Hundred Million Dollars ($400,000,000) and coverage for flood (only if such Facility is located in whole or in part within a designated 100-year flood plain area and such coverage is available at
commercially reasonable premiums) with an aggregate loss limit per occurrence of not less than Two Hundred Fifty Million Dollars ($250,000,000); 

  
 15 

 8.1.2 If such Facility contains steam boilers, pressure vessels or similar
apparatus, insurance with an agreed amount endorsement (such that the insurance carrier has accepted the amount of coverage and has agreed that there will be no co-insurance penalty), covering the major components of the central heating, air
conditioning and ventilating systems, boilers, other pressure vessels, high pressure piping and machinery, elevators and escalators, if any, and other similar equipment installed in such Facility, which policy shall insure against physical damage to
and loss of occupancy and use of such Facility arising out of an accident, explosion, or breakdown covered thereunder all with an aggregate loss limit per occurrence of not less than Four Hundred Million Dollars ($400,000,000); 

8.1.3 If there is any storage tank, whether above ground or below ground, located at such Facility, whether or not in
use, Storage Tank Insurance affording the parties protection of not less than One Million Dollars ($1,000,000) per occurrence and in the annual aggregate; 

8.1.4 Business Interruption and Extra Expense Coverage for loss of business income on an actual loss sustained basis for
no less than twelve (12) months, including either an agreed amount endorsement or a waiver of any co-insurance provisions, so as to prevent Tenant, Landlord and any other insured thereunder from being a co-insurer, and containing an extended
period indemnity endorsement that provides that the continued loss of business income will be insured until such income returns to the same level it was prior to the loss or the expiration of not fewer than six (6) months after the date of the
completed repairs all with an aggregate loss limit per occurrence of not less than Four Hundred Million Dollars ($400,000,000); 

8.1.5 Commercial General Liability Coverage (including products and completed operations liability and broad form
coverage, broad form property damage, blanket contractual liability, independent contractors liability, personal injury and advertising injury coverage) against claims for bodily injury, death, medical expenses, property damage occurring on, in or
about such Facility, affording the parties protection of not less than One Million Dollars ($1,000,000) per claim and Three Million Dollars ($3,000,000) in the annual aggregate; 

8.1.6 Professional Liability Coverage for damages for injury, death, loss of service or otherwise on account of
professional services rendered or which should have been rendered, in a minimum amount of One Million Dollars ($1,000,000) per claim and Three Million Dollars ($3,000,000) in the annual aggregate; 

8.1.7 Worker’s Compensation Coverage for injuries sustained by Tenant’s employees in the course of their
employment and otherwise consistent with all applicable Legal Requirements and employer’s liability coverage with limits of not less than $1,000,000 each accident, One Million Dollars ($1,000,000) bodily injury due to disease each employee and
One Million Dollars ($1,000,000) policy limit; and 
 8.1.8 During such time as Tenant is constructing any
improvements, Tenant, at its sole cost and expense, shall carry, or cause to be carried (a) a completed operations endorsement to the commercial general liability insurance policy referred to above, (b) builder’s risk insurance,
completed value form, covering all physical loss, in an amount and subject to policy conditions satisfactory to Landlord, and (c) such other insurance, in such amounts, as Landlord deems necessary to protect Landlord’s interest in the
Premises from any act or omission of Tenant’s contractors or subcontractors. 

  
 16 

 8.2 General Insurance Requirements. 

8.2.1 All of the policies of insurance required to be maintained by Tenant under this Article VIII shall (a) be
written in form satisfactory to Landlord and any Facility Mortgage and issued by insurance companies (i) with a policyholder and financial rating of not less than “A-”/“X” in the most recent version of Best’s Key Rating
Guide and (ii) authorized to do insurance business in the applicable Situs State; (b) include a waiver of all rights of subrogation and recovery against Landlord. 

8.2.2 All liability type policies (with the exception of Tenant’s workers’ compensation/employer’s
liability insurance and professional liability insurance) must name Landlord as an “additional insured.” All property policies shall name Landlord as “loss payee.” All business interruption policies shall name Landlord as
“loss payee” with respect to Rent only. Losses shall be payable to Landlord and/or Tenant as provided herein. In addition, the policies, as appropriate, shall name as an “additional insured” or “loss payee” any Facility
Mortgagee by way of a standard form of mortgagee’s loss payable endorsement. Any loss adjustment shall require the written consent of Landlord, Tenant, and each Facility Mortgagee unless the amount of the loss is less than $100,000 in which
event no consent shall be required. 
 8.2.3 Tenant shall provide Landlord copies of the original policies or a
satisfactory ACORD evidencing the existence of the insurance required by this Lease and showing the interest of Landlord (and any Facility Mortgagee(s)) prior to the commencement of the Term or, for a renewal policy, not less than ten (10) days
prior to the expiration date of the policy being renewed. If Landlord is provided with an ACORD certificate, it may demand that Tenant provide a complete copy of the related policy within ten (10) days of the later of Landlord’s written
request or the date of the issuance of the policy. 
 8.2.4 Tenant’s obligations to carry the insurance provided
for herein may be brought within the coverage of a so-called “blanket” policy or policies of insurance carried and maintained by Tenant; provided, however, that the coverage afforded Landlord will not be reduced or diminished or otherwise
be materially different from that which would exist under a separate policy meeting all other requirements hereof by reason of the use of the blanket policy, and provided further that the requirements of this Article VIII (including satisfaction of
the Facility Mortgagee’s requirements and the approval of the Facility Mortgagee) are otherwise satisfied, and provided further that Tenant maintains specific allocations acceptable to Landlord. 

8.2.5 Each insurer under the insurance policies maintained by Tenant pursuant to this Article VIII shall agree, by
endorsement on the policy or policies issued by it, or by independent instrument furnished to Landlord, that it will give to Landlord thirty (30) days’ written notice before the policy or policies in question shall be altered or cancelled
except in the event of nonpayment of premiums in which case each insurer shall provide ten (10) days’ written notice before the policy or policies in question shall be altered or cancelled. 

8.3 Replacement Costs. The term “replacement cost” shall mean the actual replacement cost of the insured property from
time to time with new materials and workmanship of like kind and quality (including the cost of compliance with changes in zoning and building codes and other laws and regulations, demolition and debris removal and increased cost of construction).
If Landlord believes that the replacement cost has increased at any time during the Term, it shall have the right to have such replacement cost redetermined by an impartial national insurance company reasonably acceptable to both parties (the
“impartial appraiser”). The determination of the impartial appraiser shall be final and binding, and, as necessary, Tenant shall increase, but not decrease, the amount of the insurance carried pursuant to this Article VIII to the amount so
determined by the impartial appraiser. Each party shall pay one-half (1/2) of the fee, if any, of the impartial appraiser. If Tenant has made Alterations, Landlord may at Tenant’s expense have the replacement cost redetermined at any time
after such Alterations are made. 

  
 17 

 8.4 Claims-Made Policies. If Tenant obtains and maintains the commercial general
liability coverage and/or professional liability coverage described in Sections 8.1.5 and 8.1.6 above on a “claims-made” basis, Tenant shall provide continuous liability coverage for claims arising during the Term and providing for an
extended reporting period reasonably acceptable to Landlord for a minimum of two (2) years after expiration of the Term. If such policy is canceled or not renewed for any reason whatsoever, Tenant must provide evidence of a replacement policy
reflecting coverage with retroactive coverage back to the commencement date of the term and maintain such coverage for a period of at least two (2) years beyond the expiration of the Term or Tenant must obtain tail coverage for the length of
the remaining term plus at least two (2) years beyond the expiration of the Term. 
 8.5 Non-Renewal. If Tenant fails to
cause the insurance required under Article VIII to be issued in the names herein called for, fails to pay the premiums therefor or fails to deliver such policies or certificates thereof to Landlord, at the times required, Landlord shall be entitled,
but shall have no obligation, to obtain such insurance and pay the premiums therefor, in which event the cost thereof, together with interest thereon at the Agreed Rate, shall be repayable to Landlord upon demand therefor. 

8.6 Deductibles. Deductibles/self-insured retentions for the insurance policies required under this Article VIII shall not be
greater than $2,000,000;. 
 8.7 Increase in Limits; Types of Coverages. If, from time to time after the Commencement Date,
Landlord determines in the exercise of its commercially reasonable judgment that the limits of the insurance required to be maintained by Tenant hereunder are no longer commensurate to the limits being regularly required by institutional landlords
of similar properties in the applicable Situs State or their institutional lenders or that a particular type of insurance coverage is being regularly required by institutional landlords of similar properties in the applicable Situs State or their
institutional lenders and is not then required hereunder, Landlord may notify Tenant of the same, indicating the particular limit or type of coverage that Landlord has determined should be increased or carried by Tenant, as applicable. Unless
Tenant, in the exercise of its commercially reasonable judgment, objects to Landlord’s determination, then within thirty (30) days after the receipt of such notice, Tenant shall thereafter increase the particular limit or obtain the
particular coverage, as applicable, unless and until further modified pursuant to the provisions of this Section 8.7. Notwithstanding anything herein to the contrary, Landlord shall not request a modification of the insurance requirements of
this Lease more frequently than once every three (3) years. If Tenant, in the exercise of its commercially reasonable judgment, objects to Landlord’s determination made under this Section 8.7 and Landlord and Tenant are unable to
agree upon the matter within fifteen (15) days of Tenant’s receipt of the applicable notice from Landlord, such determination shall be made by a reputable insurance company, consultant or expert (an “Insurance Arbitrator”)
with experience in the skilled nursing and/or assisted living insurance industry as mutually identified by Landlord and Tenant in the exercise of their reasonable judgment. As a condition to a determination of commercial reasonableness with respect
to any particular matter, the Insurance Arbitrator shall be capable of providing, procuring or identifying particular policies or coverages that would be available to Tenant and would satisfy the requirement in issue. The determinations made by any
such experts shall be binding on Landlord and Tenant for purposes of this Section 8.7, and the costs, fees and expenses of the same shall be shared equally by Tenant and Landlord. If Tenant and Landlord are unable to mutually agree upon an
Insurance Arbitrator, each party shall within ten (10) days after written demand by the other select one Insurance Arbitrator. Within ten (10) days of such selection, the Insurance Arbitrators so selected by the parties shall select a
third (3rd) Insurance Arbitrator who shall be solely responsible for rendering a final determination with respect to the insurance requirement in issue. If either party fails to select an
Insurance Arbitrator within the time period set forth above, the Insurance Arbitrator selected by the other party shall alone render 

  
 18 

 
the final determination with respect to the insurance requirement in issue in accordance with the foregoing provisions and such final determination shall be binding upon the parties. If the
Insurance Arbitrators selected by the parties are unable to agree upon a third (3rd) Insurance Arbitrator within the time period set forth above, either party shall have the right to apply at
Tenant’s and Landlord’s joint expense to the presiding judge of the court of original trial jurisdiction in the county in which any Facility is located to name the third
(3rd) Insurance Arbitrator. 
 8.8 No Separate Insurance. Tenant
shall not, on Tenant’s own initiative or pursuant to the request or requirement of any third party, (a) take out separate insurance concurrent in form or contributing in the event of loss with that required in this Article VIII to be
furnished by, or which may reasonably be required to be furnished by, Tenant or (b) increase the amounts of any then existing insurance by securing an additional policy or additional policies, unless all parties having an insurable interest in
the subject matter of the insurance, including in all cases Landlord and all Facility Mortgagees, are included therein as additional insureds and the loss is payable under such insurance in the same manner as losses are payable under this Lease.
Notwithstanding the foregoing, nothing herein shall prohibit Tenant from insuring against risks not required to be insured hereby, and as to such insurance, Landlord and any Facility Mortgagee need not be included therein as additional insureds, nor
must the loss thereunder be payable in the same manner as losses are payable hereunder except to the extent required to avoid a default under the Facility Mortgage. 

ARTICLE IX 

REPRESENTATIONS AND WARRANTIES 

9.1 General. Each party represents and warrants to the other that: (a) this Lease and all other documents executed or to be
executed by it in connection herewith have been duly authorized and shall be binding upon it; (b) it is duly organized, validly existing and in good standing under the laws of the state of its formation and is duly authorized and qualified to
perform this Lease within the applicable Situs State; and (c) neither this Lease nor any other document executed or to be executed in connection herewith violates the terms of any other agreement of such party. 

9.2 Anti-Terrorism Representations. 

9.2.1 Tenant hereby represents and warrants that neither Tenant, nor any persons or entities holding any legal or
beneficial interest whatsoever in Tenant, are (a) the target of any sanctions program that is established by Executive Order of the President or published by the Office of Foreign Assets Control, U.S. Department of the Treasury
(“OFAC”); (b) designated by the President or OFAC pursuant to the Trading with the Enemy Act, 50 U.S.C. App. § 5, the International Emergency Economic Powers Act, 50 U.S.C. §§ 1701-06, the Patriot Act, Public Law
107-56, Executive Order 13224 (September 23, 2001) or any Executive Order of the President issued pursuant to such statutes; or (c) named on the following list that is published by OFAC: “List of Specially Designated Nationals and Blocked
Persons” (collectively, “Prohibited Persons”). Tenant hereby represents and warrants to Landlord that no funds tendered to Landlord by Tenant under the terms of this Lease are or will be directly or indirectly derived from
activities that may contravene U.S. federal, state or international laws and regulations, including anti-money laundering laws. If the foregoing representations are untrue at any time during the Term, an Event of Default will be deemed to have
occurred, without the necessity of notice to Tenant. 
 9.2.2 Tenant will not during the Term of this Lease engage in
any transactions or dealings, or be otherwise associated with, any Prohibited Persons in connection with the use or occupancy of the Premises. A breach of the representations contained in this Section 9.2 by Tenant shall constitute a material
breach of this Lease and shall entitle Landlord to any and all remedies available hereunder, or at law or in equity. 

  
 19 

 9.3 Additional Representations and Warranties. To induce Landlord to execute this
Lease and perform its obligations hereunder, Tenant hereby represents and warrants to Lender that the following are true and correct as of the Commencement Date: 

9.3.1 No consent or approval of, or filing, registration or qualification with any Governmental Authority or any other
Person is required to be obtained or completed by Tenant or any Affiliate in connection with the execution, delivery, or performance of this Lease that has not already been obtained or completed. 

9.3.2 The identity of the holders of the partnership or membership interests or shares of stock, as applicable, in
Tenant and their respective percentage of ownership as of the Commencement Date are set forth on Schedule 3. No partnership or limited liability company interests, or shares of stock, in Tenant, other than those described above, are issued
and outstanding. There are no preemptive or other outstanding rights, options, warrants, conversion rights or similar agreements or understandings for the purchase or acquisition from Tenant of any partnership or limited liability company interest
of or shares of stock in Tenant except as may be set forth in Tenant’s organizational and formation documents, complete, true and accurate copies of which have been provided to Landlord. 

9.3.3 Neither Tenant nor Guarantor is insolvent and there has been no Bankruptcy Action by or against any of them.
Tenant’s assets do not constitute unreasonably small capital to carry out its business as conducted or as proposed to be conducted. 

9.3.4 All financial statements and other documents and information previously furnished by or on behalf of any Tenant or
Guarantor to Landlord in connection with the Facilities and this Lease are true, complete and correct in all material respects and fairly present on a consistent basis with the financial conditions of the subjects thereof for the immediately prior
periods as of the respective dates thereof and do not fail to state any material fact necessary to make such statements or information not misleading, and no material adverse change with respect to any Facility, Tenant or Guarantor has occurred
since the respective dates of such statements and information. Neither Tenant nor any Guarantor has any material liability, contingent or otherwise, not disclosed in such financial statements and which is required to be disclosed in such financial
statements in accordance with GAAP. 
 9.3.5 Tenant has each Authorization and other rights from, and has made all
declarations and filings with, all applicable Governmental Authorities, all self-regulatory authorities and all courts and other tribunals necessary to engage in the management and operation of the Facilities for the Primary Intended Use. No
Governmental Authority is, to Tenant’s knowledge, considering limiting, suspending or revoking any such Authorization. All such Authorizations are valid and in full force and effect and Tenant is in material compliance with the terms and
conditions of all such Authorizations. 
 ARTICLE X 

DAMAGE AND DESTRUCTION 

10.1 Notice of Damage or Destruction. Tenant shall promptly notify Landlord of any damage or destruction of any Facility in
excess of $250,000. Said notification shall include: (a) the date of the damage or destruction and the Facility or Facilities damaged, (b) the nature of the damage or destruction together with a description of the extent of such damage or
destruction, (c) a preliminary estimate of the cost to repair, rebuild, restore or replace the Facility, and (d) a preliminary estimate of the schedule to complete the repair, rebuilding, restoration or replacement of the Facility. Damage
or destruction shall not terminate this Lease. 

  
 20 

 10.2 Restoration. Tenant shall diligently repair or reconstruct any Facility that
has been damaged or destroyed to a like or better condition than existed prior to such damage or destruction in accordance with Section 6.5; provided however, that in the event any Capital Alterations made and funded solely by Tenant are
damaged or destroyed, Tenant shall have the option to either repair or replace such Capital Alterations or to remove the same and restore the Facility to substantially the same condition as existed prior to the making of such Capital Alterations.
Any net insurance proceeds payable with respect to such damage or destruction shall be paid directly to Landlord and; provided Tenant is diligently performing the restoration and repair work with respect to such Facility and no Event of Default has
occurred hereunder, shall be used for the repair or reconstruction of such Facility. Landlord shall disburse any such net insurance proceeds as and when required by Tenant in accordance with normal and customary practice for the payment of a general
contractor in connection with construction projects similar in scope and nature to the work being performed by or on behalf of Tenant, including, without limitation, the withholding of ten percent (10%) of each disbursement until the required
work is completed as evidenced by a certificate of occupancy or similar evidence issued upon an inspection by the applicable Governmental Authority and proof has been furnished to Landlord that no lien has attached or will attach to the applicable
Facility in connection with the restoration and repair work. 
 10.3 Insufficient Proceeds. If the net insurance proceeds paid
to Landlord in connection with any such damage or destruction are insufficient to restore the affected Facilit(ies), Tenant shall nevertheless remain responsible, at its sole cost and expense, to repair and reconstruct the applicable Facilit(ies) as
required in this Article X and Tenant shall provide the required additional funds. Tenant expressly assumes all risk of loss in connection with any damage or destruction to a Facility, whether or not such damage or destruction is insurable or
insured against. Tenant shall pay any insurance deductible and any other uninsured Losses. Proceeds of business interruption or similar insurance, if any, shall belong to Tenant, provided that such proceeds shall be used in the first instance to
timely pay Base Rent and otherwise satisfy Tenant’s obligations under this Lease, and notwithstanding anything in this Lease to the contrary, Tenant shall not have any right under this Lease, and hereby waives all rights under applicable law,
to abate, reduce, or offset rent by reason of any damage or destruction of any Facility by reason of an insured or uninsured casualty. 

10.4 Facility Mortgagee. Notwithstanding anything in this Lease to the contrary, Tenant hereby acknowledges and agrees that any
Facility Mortgagee may retain and disburse any net insurance proceeds payable in connection with any damage or destruction to a Facility. In such event, Tenant shall comply with the requests and requirements of such Facility Mortgagee in connection
with the performance of the repair and restoration work and the disbursement of the net insurance proceeds in connection therewith. If, in connection with any damage or destruction to a Facility that results in the loss of fifty percent
(50%) or more of the licensed beds (in the case of a skilled nursing facility) or units (in the case of an assisted or independent living facility) at the affected Facility or that would cost more than fifty percent (50%) of the value of
such Facility to restore, any Facility Mortgagee elects to require that any net insurance proceeds payable in connection with such damage or destruction to a Facility be applied by Landlord to reduce the outstanding principal balance of any Facility
Mortgage, Landlord may elect, in its sole discretion and by notice to Tenant delivered promptly after the receipt by Landlord of notice of such election from Facility Mortgagee, to terminate this Lease as to the affected Facility, in which event the
current Rent shall be equitably abated as of the effective date of such termination based on the allocable share of Landlord’s initial investment in the Premises to the affected Facility. Notwithstanding anything in this Lease to the contrary,
Tenant shall remain liable for any uninsured portion of any damage or destruction if this Lease is so terminated as to the applicable Facility. If Landlord elects not to terminate this Lease as to the affected Facility (despite the applicable
Facility Mortgagee having made the election to require that any net insurance proceeds payable in connection with such damage or destruction to a Facility be applied by Landlord to reduce the outstanding principal balance of such Facility Mortgage),
Landlord’s own funds shall be disbursed to Tenant from time to time as, when, and subject to the satisfaction of the same terms, conditions and requirements as would have governed the disbursement of net insurance proceeds that Landlord’s
funds replace. 

  
 21 

 10.5 Impossibility; Tenant’s Obligations Following Casualty. Following a casualty
loss, if Tenant cannot within a reasonable time after diligent efforts obtain the necessary government approvals needed to restore such Facility to substantially the same condition which existed prior to such damage (the “Required
Reconstruction Approvals”), then Tenant shall pay to Landlord an amount (the “Compensatory Payment”) equal to the greater of (a) the sum of: (i) the Fair Market Value of the affected Facility immediately before
such damage or destruction less (ii) the Fair Market Value of the affected Facility immediately after such damage or destruction (the “Post-Casualty Facility”) less (iii) any insurance proceeds received by Landlord, or
(b) (i) 89.95% of the Fair Market Value of the Premises as of the Commencement Date less (B) the sum of the present value of (1) the Base Rent and (2) Additional Rent paid to Landlord and not passed through to a third party,
received by Landlord as of the Occurrence Date (determined using a discount rate of six percent (6%) per annum) less (iii) any insurance proceeds received by Landlord. Unless, within nine (9) months following the date of any
applicable casualty, Tenant has provided Landlord with satisfactory evidence that it has obtained, or is in the process of and continuing to diligently obtain, the Required Reconstruction Approvals, Tenant shall be deemed to be unable to secure the
Required Reconstruction Approvals and to be obligated to make the Compensatory Payment to Landlord (the “Compensatory Payment Date”). Landlord shall have a period of three (3) months after the Compensatory Payment Date to
attempt to sell the affected Facility to an independent third party in an arms-length transaction and the gross purchase price payable to Landlord in connection with such transaction shall be deemed to be the Fair Market Value of the Post-Casualty
Facility (a “Casualty Sale”). In the event a Casualty Sale occurs within such three (3) month period, Landlord shall provide Tenant with notice of the closing thereof and a written demand for the Compensatory Payment setting
forth in reasonable detail the calculation thereof (the “Compensatory Payment Statement”). In the event a Casualty Sale does not occur within such three (3) month period, then the Fair Market Value of the Post-Casualty Facility
shall be determined in the manner otherwise set forth in this Lease. The Compensatory Payment shall be due and payable thirty (30) days after the later of (i) Tenant’s receipt of the Compensatory Payment Statement or (ii) the
date of determination of the Fair Market Value of the Post-Casualty Facility. Upon Landlord’s receipt of the Compensatory Payment (or upon the occurrence of a Casualty Sale, if earlier), this Lease shall terminate as to the affected Facility
and Tenant shall have no further rights or obligations with respect thereto. 
 ARTICLE XI 

CONDEMNATION 
 Except as
provided to the contrary in this Article XI, a Condemnation of any Facility or any portion thereof shall not terminate this Lease, which shall remain in full force and effect, and Tenant hereby waives all rights under applicable law to abate, reduce
or offset Rent by reason of any such Condemnation. Following a Complete Taking of any Facility, Tenant may at its election, made within thirty (30) days of the effective date of such Complete Taking, terminate this Lease with respect to such
Facility and the current Rent shall be equitably abated as of the effective date of such termination based on the allocable share of Landlord’s initial investment in the Premises to the Facility subject to the Complete Taking. Following a
Partial Taking of any Facility, the Rent shall be abated to the same extent as the resulting diminution in the Fair Market Value of such Facility and, as necessary (as reasonably determined by Landlord), Tenant at its sole cost shall restore such
Facility in accordance with Section 6.5. Landlord alone shall be entitled to receive and retain any award for a Condemnation other than a Temporary Taking; provided, however, Tenant shall be entitled to submit its own claim in the
event of any such Condemnation with respect to the relocation costs incurred by Tenant as a result thereof. In the event of a Temporary Taking of any Facility, Tenant shall be entitled to receive and retain any and all awards for the Temporary
Taking; provided, however, that Base Rent shall not be abated during the period of such Temporary Taking. 

  
 22 

 ARTICLE XII 

DEFAULT 
 12.1 Events
of Default. The occurrence of any of the following shall constitute an “Event of Default” and there shall be no cure period therefor except as otherwise expressly provided in this Section 12.1: 

12.1.1 Tenant shall fail to pay any installment of Rent within five (5) calendar days of its Payment Date; 

12.1.2 (a) The revocation or termination of any Authorization that would have a material adverse effect on the
operation of any Facility for its Primary Intended Use; (b) except as permitted pursuant to the terms of Article X or Article XI in connection with a casualty or Condemnation, the voluntarily cessation of operations at any Facility for a period
in excess of 30 days; (c) the sale or transfer of all or any portion of any Authorization; or (d) the use of any Facility other than for its Primary Intended Use; 

12.1.3 Any material suspension, limitation or restriction placed upon Tenant, any Authorization, any Facility, the
operations at any Facility or Tenant’s ability to admit residents or patients at the Premises (e.g., an admissions ban or non-payment for new admissions by any Thirty Party Payor Program resulting from an inspection survey); provided, however,
if any such material suspension, limitation or restriction is curable by Tenant under the applicable Authorization or Legal Requirement, it shall not constitute an Event of Default if Tenant promptly commences to cure such breach and thereafter
diligently pursues such cure to the completion thereof within the greater of: (a) the time period in which the applicable governmental agency has given Tenant to undertake corrective action, including the additional time allotted under any
appeal right so long as (i) Tenant has duly and timely filed an appeal and preserved such appeal right, and (ii) any adverse governmental action is stayed pending appeal, up to the moment such appeal is granted, withdrawn or denied, or
(b) thirty (30) days after the occurrence of any such material suspension, limitation or restriction; 
 12.1.4
an “Event of Default” (as defined in the applicable agreement) shall occur and is continuing under any other lease or agreement between Landlord or an Affiliate of Landlord and Tenant (or Guarantor) or an Affiliate of Tenant (or
Guarantor) where the default is not cured within any applicable grace period set forth therein; 
 12.1.5 an
“Event of Default” (as defined in the applicable agreement) shall occur and is continuing under any letter of credit, guaranty, mortgage, deed of trust, or other instrument executed by Tenant (or Guarantor) or an Affiliate of Tenant (or
Guarantor) in favor of Landlord or an Affiliate of Landlord, in every case, whether now or hereafter existing, where the default is not cured within any applicable grace period set forth therein; 

12.1.6 an “Event of Default” (as defined in the applicable agreement) by Tenant, any Guarantor or any
Affiliate of Tenant or any Guarantor shall occur and is continuing under any lease, guaranty, loan or financing agreement with any other party that is not cured within any applicable cure period provided for therein; 

12.1.7 Tenant, any Guarantor, or any Affiliate of Tenant or any Guarantor shall (a) admit in writing its inability
to pay its debts generally as they become due; (b) file a petition in bankruptcy or a petition to take advantage of any insolvency act; (c) make an assignment for the benefit of its creditors; (d) consent to the appointment of a
receiver of itself or of the whole or any substantial part of its property; or (e) file a petition or answer seeking reorganization or arrangement under the Federal bankruptcy laws or any other applicable law or statute of the United States of
America or any state thereof; 

  
 23 

 12.1.8 Any petition is filed by or against any Tenant, any Guarantor, or
any Affiliate of any Tenant or any Guarantor under federal bankruptcy laws, or any other proceeding is instituted by or against any Tenant, any Guarantor or any Affiliate of any Tenant or any Guarantor seeking to adjudicate it a bankrupt or
insolvent, or seeking liquidation, reorganization, arrangement, adjustment or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors, or seeking the entry of an order for relief or the
appointment of a receiver, trustee, custodian or other similar official for any Tenant, any Guarantor or any Affiliate of any Tenant or any Guarantor, or for any substantial part of the property of any Tenant, any Guarantor or any Affiliate of any
Tenant or any Guarantor, and Tenants fails to notify Landlord of such proceeding within three (3) Business Days of the institution thereof and such proceeding is not dismissed within sixty (60) days after institution thereof; 

12.1.9 Any Tenant, any Guarantor or any Affiliate of any Tenant or any Guarantor shall take any action to authorize or
effect any of the actions set forth above in the preceding Section 12.1.8, or fails thereafter to vigorously oppose such actions; 

12.1.10 The estate or interest of Tenant in the Premises or any part thereof shall be levied upon or attached in any
proceeding and the same shall not be vacated or discharged within the later of ninety (90) days after commencement thereof or thirty (30) days after receipt by Tenant of notice thereof from Landlord (unless, in either case, Tenant is in
the process of contesting such lien in a good faith manner in accordance to Article VII); provided, however, that such notice shall be in lieu of and not in addition to any notice required under applicable law; 

12.1.11 Tenant, any Guarantor or any Affiliate of Tenant or any Guarantor shall be liquidated or dissolved, or begins
proceedings towards liquidation or dissolution, or has filed against it a petition or other proceeding to cause it to be liquidated or dissolved and the proceeding is not dismissed within thirty (30) days thereafter, or, in any manner, permits
the sale or divestiture of substantially all of its assets except in connection with a dissolution or liquidation following or related to a merger or transfer of substantially all of the assets and liabilities of Tenant with or to its parent
corporation or with or to another direct or indirect wholly owned subsidiary of its parent corporation; 
 12.1.12
Tenant fails to (a) maintain or protect the Premises and Landlord’s interest therein as required under this Lease, including without limitation the obligations to maintain, repair and restore the Premises under this Lease, and any such
failure in this clause (a) is not cured by Tenant within thirty (30) days after notice thereof from Landlord, (b) maintain in force at any time during the Term or any extensions thereof the insurance coverages required under Article
VIII and any such failure in this clause (b) is not cured by Tenant within five (5) Business Days after notice thereof from Landlord, or (c) fails to return the Premises to Landlord or its designee at the expiration or earlier
termination of the Lease, as required by Article XIII, whether or not such failure is due to a casualty and any such failure in this clause (c) is not cured by Tenant within thirty (30) days after notice thereof from Landlord; 

12.1.13 Any of the representations or warranties made by Tenant in this Lease or by Guarantor in the Guaranty proves to
be untrue when made that would result in a material adverse effect of Tenant’s ability to perform its obligations under this Lease; 

  
 24 

 12.1.14 Tenant fails to observe or perform any term, covenant or other
obligation of Tenant set forth in Section 5.7 and such failure is not cured within ten (10) days after receipt of notice of such failure from Landlord; 

12.1.15 Any local, state or federal agency having jurisdiction over the operation of any Facility removes ten percent
(10%) or more of the patients or residents located in such Facility other than during any period of repair or restoration following damage, destruction or a Partial Taking; 

12.1.16 Tenant fails to perform or comply with the provisions of Section 5.4.3, Section 5.5,
Section 5.11, Section 5.12 or Article XVI, and any such failure is not cured by Tenant within thirty (30) days after notice thereof from Landlord; provided further that upon any failure by Tenant to perform or comply with the
provisions of Section 5.12.4, if Tenant submits to Landlord a plan of correction for Landlord’s review and approval within fifteen (15) days of the end of the second consecutive quarter in which the Portfolio Coverage Ratio is less
than the Minimum Rent Coverage Ratio, and uses commercially reasonable efforts to comply with any a plan of correction approved by Landlord, which shall set forth a period of time not to exceed 90 days in which Tenant shall succeed in achieving a
Portfolio Coverage Ratio that meets the applicable Minimum Rent Coverage Ratio, then Tenant’s failure shall not be deemed to be an Event of Default under the Lease; 

12.1.17 Tenant fails to observe or perform Tenant’s obligations under Article XV where the default is not cured
within the shorter of (i) thirty (30) days after notice thereof from Landlord or the Facility Mortgagee and (ii) the any applicable grace period set forth in the Facility Mortgage Documents; 

12.1.18 Tenant fails to observe or perform any other term, covenant or condition of this Lease not previously enumerated
in this Section 12.1 and such failure is not cured by Tenant within thirty (30) days after notice thereof from Landlord, unless such failure cannot with due diligence be cured within a period of thirty (30) days or failure to cure
after such thirty (30) day period will not have a material adverse effect upon the Facility, in which case such failure shall not be deemed to be an Event of Default if Tenant proceeds promptly and with due diligence to cure the failure and
diligently completes the curing thereof; provided, however, that such notice shall be in lieu of and not in addition to any notice required under applicable law. 

12.2 Remedies. Upon the occurrence of an Event of Default, Landlord may exercise all rights and remedies under this Lease and
the laws of the applicable Situs State that are available to a lessor of real and personal property in the event of a default by its lessee, and as to the Lease Collateral, all remedies granted under the laws of the applicable Situs State to a
secured party under its Uniform Commercial Code. Landlord shall have no duty to mitigate damages unless required by applicable law and shall not be responsible or liable for any failure to relet any Facility or to collect any rent due upon any such
reletting. Tenant shall pay Landlord, immediately upon demand, all expenses incurred by it in obtaining possession and reletting any Facility, including fees, commissions and costs of attorneys, architects, agents and brokers. 

12.2.1 Without limiting the foregoing, Landlord shall have the right (but not the obligation) to do any of the following
upon an Event of Default: (a) sue for the specific performance of any covenant of Tenant as to which it is in breach, including without limitation a Limited Remedy Event of Default (as defined below); (b) enter upon any Facility, terminate
this Lease, dispossess Tenant from any Facility and/or collect money damages by reason of Tenant’s breach, including the acceleration of all Rent which would have accrued after such termination and all obligations and liabilities of Tenant
under this Lease which survive the termination of the Term; (c) elect to leave this Lease in place and sue for Rent and other money damages as the same come due; (d) (before or after repossession of a Facility pursuant to clause
(b) above and whether or not this Lease has been terminated) relet such Facility to such 

  
 25 

 
tenant, for such term (which may be greater or less than the remaining balance of the Term), rent, conditions (which may include concessions or free rent) and uses as it may determine in its sole
discretion and collect and receive any rents payable by reason of such reletting; and (e) sell any Lease Collateral in a non-judicial foreclosure sale. 

12.2.2 Upon the occurrence of an Event of Default, and upon commencement of proceedings to enforce the rights of
Landlord hereunder, Landlord shall be entitled, as a matter of right, to appoint a receiver to take possession of the Premises, pending the outcome of such proceedings, to manage the operation of the Premises, to collect and disburse all rents,
issues, profits and income generated thereby and to the extent applicable and possible, to preserve or replace any Authorization or to otherwise substitute the licensee or provider thereof. If a receiver is appointed pursuant hereto, the receiver
shall be paid a reasonable fee for its services and all such fees and other expenses incurred by Landlord in connection with the appointment of the receiver shall be paid in addition to, and not in limitation of, the Rent otherwise due to Landlord
hereunder. Tenant irrevocably consents to the appointment of a receiver following an Event of Default and thus stipulates to and agrees not to contest the appointment of a receiver under such circumstances and for such purposes. 

12.2.3 If Tenant at any time shall fail to make any payment or perform any act on its part required to be made or
performed under this Lease, then Landlord may, without waiving or releasing Tenant from any obligations or default hereunder, make such payment or perform such act for the account and at the expense of Tenant, and enter upon the applicable Facility
for the purpose of taking all such action as may be reasonably necessary. No such entry shall be deemed an eviction of Tenant. All sums so paid by Landlord and all necessary and incidental costs and expenses (including reasonable attorneys’
fees and expenses) incurred in connection with the performance of any such act by it, together with interest at the Agreed Rate from the date of the making of such payment or the incurring of such costs and expenses, shall be payable by Tenant to
Landlord upon Landlord’s written demand therefor. 
 12.2.4 No right or remedy herein conferred upon or reserved
to Landlord is intended to be exclusive of any other right or remedy, and each and every right and remedy shall be cumulative and in addition to any other right or remedy given hereunder or now or hereafter existing at law or in equity. Any notice
or cure period provided herein shall run concurrently with any provided by applicable law. 
 12.2.5 If Landlord
initiates judicial proceedings or if this Lease is terminated by Landlord pursuant to this Article XII, Tenant waives, to the extent permitted by applicable law, (a) any right of redemption, re-entry, or repossession; and (b) the benefit
of any laws now or hereafter in force exempting property from liability for rent or for debt. 
 12.2.6
Notwithstanding anything in this Lease to the contrary, and without limiting any of the other rights or remedies conferred upon Landlord under this Lease or at law or in equity, upon the occurrence of a Facility Default, Landlord may, at its
option and by notice to Tenant, terminate this Lease immediately as to any one or more of the Facilities (selected in Landlord’s discretion and by notice to Tenant) to which such Facility Default relates (a termination of this Lease as to less
than all of the Facilities as provided in this Section 12.2.6 is herein referred to as a “Limited Termination Election”) (the Facility or Facilities as to which Landlord elects to terminate this Lease as provided in this
Section 12.2.6 are herein referred to as “Terminated Facilities”). Upon delivery of a termination notice as provided in this 12.2.6, Tenant shall have no right to cure the Facility Default in question, all rights of Tenant
under this Lease shall cease as to the Terminated Facilities so specified and the provisions of this Section 12.2.6 shall apply. Without limitation of the foregoing, if Landlord makes a Limited Termination Election, the deletion of the
applicable Terminated Facilities from this Lease shall be absolutely without limitation of each Tenant’s continuing obligation (on a joint and several basis) for the damages and other amounts owing on account of the Event of Default giving rise
to the deletion from this Lease of such Terminated Facilities or the termination of this Lease as to such Terminated Facilities. 

  
 26 

 (a) If this Lease is terminated as to one or more Terminated Facilities pursuant
to this Section 12.2.6, then without necessity of any further action of the parties, this Lease shall terminate as to the Terminated Facility or Terminated Facilities, and the Terminated Facility or Terminated Facilities shall be separated and
removed herefrom, at such time (such date, the “Facility Removal Date”) as Landlord delivers notice to Tenant exercising its termination rights pursuant to this Section 12.2.6 (such notice, a “Termination
Notice”). As of the applicable Facility Removal Date, this Lease shall be automatically and ipso facto amended to: 
  

	 	(i)	Delete and eliminate the Terminated Facility or Terminated Facilities herefrom; 

  

	 	(ii)	Exclude the applicable Terminated Facility or Terminated Facilities from the definition of “Premises”; and 

  

	 	(iii)	The current Rent shall be equitably reduced as of the Facility Removal Date based on the allocable share of Landlord’s initial investment in the Premises to the Terminated Facility or Terminated Facilities.

 (b) Promptly (and in any event within ten (10) days after delivery of Landlord’s request therefor,
Tenant shall execute and deliver to Landlord such instrument(s) as Landlord may from time to time request reflecting the elimination of any Terminated Facility or Terminated Facilities herefrom on the terms described above. 

12.3 ASC 840 Savings Clause; Limited Remedy Events of Default. 

Subject to Section 12.2.1(a), notwithstanding anything to the contrary herein contained or in any other transaction document executed
concurrently herewith, or any other provision of this Lease or any other concurrent transaction document, and pursuant to the Financial Accounting Standard Board’s Accounting Standards Codification Section 840 governing the accounting
classification of operating leases, as amended or replaced from time to time (collectively the “Operating Lease Accounting Rules”), if Landlord is exercising remedies due solely to the Events of Default described in Sections 12.1.2(a),
12.1.3, 12.1.4, 12.1.5, 12.1.6, 12.1.8, 12.1.10, 12.1.13, 12.1.15, 12.1.17 or 12.1.18, or upon the occurrence, for reasons other than the acts or omissions of Tenant, any Guarantor or any Affiliate of any Tenant or any Guarantor, of an Event of
Default under Section 12.1.11 (each a “Limited Remedy Event of Default”), the aggregate amount Tenant shall be required to pay to Landlord from and after the date of the occurrence of such Limited Remedy Event of Default (the
“Occurrence Date”) shall be limited to the sum of (i) (A) 89.95% of the Fair Market Value of the Premises as of the Commencement Date less (B) the sum of the present value of (1) the Base Rent and
(2) Additional Rent paid to Landlord and not passed through to a third party, received by Landlord as of the Occurrence Date (determined using a discount rate of six percent (6%) per annum), (ii) any Impositions, Other Charges and
other sums which are due and payable or have accrued under this Lease through the Occurrence Date after any Limited Remedy Event of Default that relates to insurance, utilities, repairs, maintenance, environmental maintenance, remediation and
compliance and other customary costs and expenses of operating and maintaining the Premises in substantial compliance with the terms of this Lease, and (iii) any amounts of Impositions, Other Charges and other sums due to third parties which
are due and payable or have accrued under this Lease after the Occurrence Date while the Tenant remains in possession of the Premises after any Limited Remedy Event of Default that relates to insurance, utilities, repairs, maintenance, environmental

  
 27 

 
maintenance, remediation and compliance and other customary costs and expenses of operating and maintaining the Premises in substantial compliance with the terms of this Lease (collectively,
the “LRED Damages”). Landlord and Tenant hereby agree that the damages available to Landlord as a result of a Limited Remedy Event of Default shall be strictly limited to the LRED Damages and that nothing contained
herein or in any other transaction document executed concurrently herewith shall entitle Landlord to additional reimbursement or monetary damages with respect to any such Limited Remedy Event of Default. 

ARTICLE XIII 

OBLIGATIONS OF TENANT ON EXPIRATION OR TERMINATION OF LEASE 

13.1 Surrender. On the Expiration Date or earlier termination or cancellation of this Lease (or the earlier dispossession of
Tenant from any Facility), Tenant shall deliver to Landlord or Landlord’s designee (a) possession of each Facility in a neat and clean condition, with each Facility being fully operational as of such date and in compliance with all
Authorizations, and (b) all business records (other than corporate financial records or proprietary materials), data, patient and resident records, and patient and resident trust accounts, which may be necessary, desirable or advisable for the
operation of each Facility for its Primary Intended Use. Tenant shall have no obligation to perform any Alterations necessitated by, or imposed in connection with, a change of ownership inspection survey for the transfer of operation of such
Facility to Landlord or Landlord’s designee unless such Alterations were previously required hereunder or by the applicable licensing authorities to be undertaken by Tenant prior to the Expiration Date (or earlier termination date or
cancellation of this Lease or earlier dispossession of Tenant from any Facility) and Tenant failed to do so. 
 13.2 Transition.

 13.2.1 In connection with the expiration or earlier termination of this Lease with respect to any Facility, or
the earlier dispossession of Tenant from any Facility, Landlord shall have the right to require an Operational Transfer with respect to such Facility by delivery to Tenant of a Transition Notice (as defined below). As used in this Lease,
“Operational Transfer” shall mean the transfer and transition, practically and legally, of the day-to-day operations of a Facility for the Primary Intended Use of such Facility to Landlord and/or Landlord’s designee without
interruption of the business activities therein, regulatory or otherwise. Landlord may exercise its right to require an Operational Transfer by delivering written notice to Tenant of Landlord’s election to require an Operational Transfer (a
“Transition Notice”) at any time. 
 13.2.2 In connection with an Operational Transfer, or at the
time of Tenant’s surrender of a Facility to Landlord or its designee, Tenant shall cooperate fully with Landlord or its designee in transferring (or obtaining) all Authorizations and Governmental Payors’ certifications and shall take all
necessary actions, including, without limitation, filing such applications, petitions and transfer notices and making such assignments, conveyances and transfers as are necessary, desirable or advisable to accomplish an Operational Transfer. In
connection therewith, Tenant shall transfer, to the extent permitted by applicable law, to Landlord or Landlord’s designee all contracts, including contracts with Governmental Authorities, which may be necessary, desirable or advisable for the
operation of each Facility for its Primary Intended Use. Subject to all applicable Legal Requirements, Tenant hereby assigns, effective upon the Expiration Date or earlier termination or cancellation of this Lease (or the earlier dispossession of
Tenant from any Facility), all rights to operate the Facility to Landlord or its designee, including all required Authorizations and all rights to apply for or otherwise obtain them. In furtherance of the foregoing, Tenant agrees to enter into a
commercially reasonable operations transfer agreement with Landlord or Landlord’s designee, which agreement shall provide, inter alia, for the proration of operational revenues and liabilities based on when Landlord or its designee
actually takes possession of the applicable Facility or Facilities. 

  
 28 

 13.2.3 Tenant agrees to enter into interim sublease agreements or
management agreements as may be necessary to effect a transfer of the operations of the Facility or Facilities for their Primary Intended Use prior to the time that Landlord or its designee, as applicable, holds all Authorizations from all
applicable Governmental Authorities necessary to so operate such Facility or Facilities, and (b) Tenant shall remain as licensee and participating provider in any payment programs with Governmental Payors or third party payors in which a
Facility participates until such time as Landlord or its designee has received all Authorizations necessary to operate any Facility. Notwithstanding the foregoing, as a condition to Tenant remaining as licensee and participating provider as set
forth above, Landlord or its designee shall, except in connection with a termination of this Lease resulting from an Event of Default (or the earlier dispossession of Tenant from any Facility as a result of an Event of Default), indemnify, defend,
protect and hold harmless Tenant from and against any loss, damage, cost or expense incurred by Tenant on account of any third party claim to the extent directly caused by the acts or omissions of Landlord or its designee and during the period while
relying on Tenant’s status as licensee or participating provider in any payment programs with Governmental Payors or third party payment programs in which a Facility participates. 

13.2.4 Notwithstanding anything in this Lease which may be construed to the contrary, if (i) Landlord delivers a
Transition Notice as to a particular Facility or Facilities, (ii) the Term expires prior to the delivery of a Transition Notice but Landlord has not delivered a Closure Notice, or (iii) this Lease is terminated as a result of an Event of
Default and Landlord has not delivered a Closure Notice, then in all such cases Tenant shall thereafter continue to operate the Facility or Facilities in accordance with all of the requirements of this Lease until the earliest to occur of the
following: (a) the date on which a successor operator assumes operation of such Facility, (b) the date that is one hundred eighty (180) days after the Expiration Date, or (c) the date on which such Facility is closed by Tenant in
accordance with and pursuant to the requirements of this Lease and in connection with a Closure Notice delivered by Landlord. 

13.2.5 If Tenant operates one or more Facilities after the Expiration Date or earlier termination of this Lease (either
pursuant to Landlord’s request or pursuant to Section 13.2.4, then, from and after the expiration of this Lease and until the earliest to occur of the dates described in Section 13.2.4 (the “Reimbursement Period”),
(a) Landlord shall provide Tenant with an operating budget, (b) Landlord shall include in the aforesaid operating budget, and Tenant shall continue to pay during the Reimbursement Period, all Rent that would have been owing under this
Lease if this Lease had not expired (equitably prorated if Tenant operates less than all of the Facilities), and (c) Landlord shall reimburse Tenant for any operating deficits that Tenant may be required to fund out-of-pocket on account of
operating losses and expenses incurred by Tenant by reason of, or arising out of compliance with, such budget with respect to the Reimbursement Period. Any such reimbursement shall be due from Landlord to Tenant within thirty (30) days after
request by Tenant, provided that Tenant shall furnish such documentation of any operating deficits, losses and expenses as Landlord may reasonably request. 

13.2.6 Notwithstanding anything to the contrary contained in this Lease, Tenant shall not, prior to delivery of a
Closure Notice by Landlord to Tenant, commence to wind up and terminate the operations of any Facility or relocate the patients or occupants of any Facility to any other health care facility (a “Facility Termination”).
Notwithstanding the foregoing, if Landlord has not delivered a Closure Notice or a Transition Notice to Tenant prior to the day that is one hundred twenty (120) days following the Expiration Date, then Tenant may commence the Facility
Termination as to such Facility or Facilities and, upon the closure of such Facility or Facilities in accordance with this Lease and all 

  
 29 

 
applicable Legal Requirements, Tenant shall vacate such Facility or Facilities and surrender possession thereof to Landlord in accordance with all applicable requirements of this Lease. If, prior
to the day that is one hundred twenty (120) days following the Expiration Date, Landlord delivers a Transition Notice to Tenant; Tenant shall not commence or otherwise engage in a Facility Termination with respect to the applicable Facility or
Facilities. If Landlord delivers a Closure Notice and elects to institute a Facility Termination, Tenant shall, upon the prior written approval of Landlord, take all commercially reasonable steps necessary, in compliance with all Legal Requirements
and Authorizations, to timely effectuate the same, all at Tenant’s sole cost and expense. 
 13.2.7 The terms of
this Section 13.2 shall survive the expiration or sooner termination of this Lease. 
 13.3 Tenant Personal Property.
Provided that no Event of Default then exists, in connection with the surrender of the Premises, Tenant may upon at least five (5) Business Days prior notice to Landlord remove from the Premises in a workmanlike manner all Tenant Personal
Property, leaving the Premises in good and presentable condition and appearance, including repairing any damage caused by such removal; provided that Landlord shall have the right and option to purchase for itself or its designee the Tenant Personal
Property for its then fair market value during such five (5) Business Day notice period, in which case Tenant shall so convey the Tenant Personal Property to Landlord or its designee by executing a bill of sale in a form reasonably required by
Landlord. If there is any Event of Default then existing, Tenant will not remove any Tenant Personal Property from the Premises and instead will, on demand from Landlord, convey it to Landlord or its designee for no additional consideration by
executing a bill of sale in a form reasonably required by Landlord. Title to any Tenant Personal Property which is not removed by Tenant as permitted above upon the expiration of the Term shall, at Landlord’s election, vest in Landlord or its
designee; provided, however, that Landlord may remove and store or dispose at Tenant’s expense any or all of such Tenant Personal Property which is not so removed by Tenant without obligation or accounting to Tenant. 

13.4 Facility Trade Name. If this Lease is terminated by reason of an Event of Default or Landlord exercises its option to
purchase or is otherwise entitled to retain the Tenant Personal Property pursuant to Section 13.3 above, Landlord or its designee shall be permitted to use the name under which each Facility has done business during the Term in connection with
the continued operation of such Facility for its Primary Intended Use, but for no other use and not in connection with any other property or facility. 

13.5 Holding Over. If Tenant shall for any reason remain in possession of any Facility after the Expiration Date, such
possession shall be a month-to-month tenancy during which time Tenant shall pay as rental on the first (1st) Business Day of each month one and one-half
(1 1⁄2) times the total of the monthly Base Rent payable with respect to the last Lease Year, plus all Additional Rent accruing during the month and all
other sums, if any, payable by Tenant pursuant to this Lease. Nothing contained herein shall constitute the consent, express or implied, of Landlord to the holding over of Tenant after the Expiration Date, nor shall anything contained herein be
deemed to limit Landlord’s remedies. 
 ARTICLE XIV 

INDEMNIFICATION 
 In
addition to the other indemnities contained in this Lease, and notwithstanding the existence of any insurance carried by or for the benefit of Landlord or Tenant, and without regard to the policy limits of any such insurance, Tenant shall protect,
indemnify, save harmless and defend Landlord and the Landlord Indemnified Parties from and against all Losses imposed upon or incurred by or asserted against Landlord or any Landlord Indemnified Parties by reason of: (a) any accident, injury to
or death of Persons or loss of or damage to property occurring on or about any Facility; (b) any use, misuse, non-use, 

  
 30 

 
condition, maintenance or repair of any Facility by Tenant; (c) any failure on the part of Tenant to perform or comply with any of the terms of this Lease or the breach of any representation
or warranty made by Tenant herein; and (d) any claim for malpractice, negligence or misconduct committed by any Person on or working from any Facility. Any amounts which become payable by Tenant under this Article XIV shall be paid within ten
(10) days after demand by Landlord, and if not timely paid, shall bear interest at the Agreed Rate from the date of such demand until paid. Tenant, at its expense, shall contest, resist and defend any such claim, action or proceeding asserted
or instituted against Landlord or any Landlord Indemnified Parties with counsel acceptable to Landlord in its sole discretion and shall not, under any circumstances, compromise or otherwise dispose of any suit, action or proceeding without obtaining
Landlord’s written consent. Landlord, at its election and sole cost and expense, shall have the right, but not the obligation, to participate in the defense of any claim for which Landlord or any Landlord Indemnified Parties are indemnified
hereunder. If Tenant does not act promptly and completely to satisfy its indemnification obligations hereunder, Landlord may resist and defend any such claims or causes of action against Landlord or any Landlord Indemnified Party at Tenant’s
sole cost. The terms of this Article XIV shall survive the expiration or sooner termination of this Lease. For purposes of this Article XIV, any acts or omissions of Tenant, or by employees, agents, assignees, contractors, subcontractors or others
acting for or on behalf of Tenant (whether or not they are negligent, intentional, willful or unlawful), shall be strictly attributable to Tenant. 

ARTICLE XV 

LANDLORD’S FINANCING 

15.1 Grant Lien. Without the consent of Tenant, Landlord may from time to time, directly or indirectly, create or otherwise
cause to exist any Facility Mortgage upon any Facility or interest therein. This Lease is and at all times shall be subject and subordinate to any such Facility Mortgage which may now or hereafter affect any Facility or interest therein and to all
renewals, modifications, consolidations, replacements, restatements and extensions thereof or any parts or portions thereof; provided, however, so long as no Event of Default has occurred, no Facility Mortgagee shall have the right to disturb
Tenant’s leasehold interest or possession of any Facility or interfere with any other rights of Tenant accorded by the terms of this Lease. This provision shall be self-operative and no further instrument of subordination shall be required to
give it full force and effect; provided, however, that in confirmation of such subordination, Tenant shall execute promptly any certificate or document that Landlord or any Facility Mortgagee may request for such purposes so long as the same
contains commercially reasonable non-disturbance and attornment provisions. 
 15.2 Attornment. If Landlord’s interest in
any Facility or interest therein is sold, conveyed or terminated upon the exercise of any remedy provided for in any Facility Mortgage Documents (or in lieu of such exercise), or otherwise by operation of law: (a) at the request and option of
the new owner or superior lessor, as the case may be, Tenant shall attorn to and recognize the new owner or superior lessor as Tenant’s “landlord” under this Lease or enter into a new lease substantially in the form of this Lease with
the new owner or superior lessor, and Tenant shall take such actions to confirm the foregoing within ten (10) days after request; and (b) the new owner or superior lessor shall not be (i) liable for any act or omission of Landlord
under this Lease occurring prior to such sale, conveyance or termination; (ii) subject to any offset, abatement or reduction of rent because of any default of Landlord under this Lease occurring prior to such sale, conveyance or termination;
(iii) bound by any previous modification or amendment to this Lease or any previous prepayment of more than one month’s rent, unless such modification, amendment or prepayment shall have been approved in writing by such Facility Mortgagee
or, in the case of such prepayment, such prepayment of rent has actually been delivered to such new owner or superior lessor; or (iv) liable for any security deposit or other collateral deposited or delivered to Landlord pursuant to this Lease
unless such security deposit or other collateral has actually been delivered to such new owner or superior lessor. 

  
 31 

 15.3 Cooperation; Modifications. Notwithstanding anything in this Lease to the
contrary, Tenant hereby agrees that in connection with obtaining any Facility Mortgage for any Facility or interest therein, including, without limitation, where the Facility Mortgagee is an Agency Lender, Tenant shall: (i) execute and deliver
to such Agency Lender or other Facility Mortgagee (on the form required by such Agency Lender or other Facility Mortgagee) any tenant regulatory agreements (including, without limitation, the form of regulatory agreement typically required by Agency
Lenders), subordination agreements (including, without limitation, the form of subordination, assignment and security agreement typically required by Agency Lenders), or other similar agreements customarily required by Agency Lenders and other
Facility Mortgagees in connection with a mortgage relating to a skilled nursing facility or assisted living facility, and (ii) modify this Lease as necessary to incorporate the provisions and requirements generally imposed by an Agency Lender
or other Facility Mortgagee in connection with a facility lease relating to a skilled nursing facility or assisted living facility encumbered with a Facility Mortgage by an Agency Lender or other Facility Mortgagee, provided however this section
shall not be deemed to (A) impose on Tenant obligations which (i) increase Tenant’s monetary obligations under this Lease, (ii) materially and adversely increase Tenant’s non-monetary obligations under
this Lease or (B) diminish Tenant’s rights under this Lease. For purposes of the foregoing, any proposed implementation of new occupancy or financial covenants or requirements with respect to payor mix shall be deemed to materially
diminish Tenant’s rights under this Lease. Tenant hereby acknowledges and agrees, however, that an obligation under the applicable Facility Mortgage Documents to post impounds for property taxes with respect to any period not more than one
(1) month in advance (whether now existing or later created) shall not be deemed or construed to increase Tenant’s monetary obligations under this Lease. If any new Facility Mortgage Documents to be executed by Landlord or any Affiliate of
Landlord would impose on Tenant any obligations under this Section, Landlord shall provide copies of the same to Tenant for informational purposes (but not for Tenant’s approval) prior to the execution and delivery thereof by Landlord or any
Affiliate of Landlord. In the event any Agency Lender or other Facility Mortgagee requires, as a condition to making a Facility Mortgage, an intercreditor agreement with any receivables lender of Tenant, Tenant shall enter into any such
intercreditor agreement and shall take all commercially reasonable efforts to cause said receivables lender to enter into such intercreditor agreement with said Agency Lender or other Facility Mortgagee on terms acceptable to Tenant, Tenant’s
receivables lender, said Agency Lender or other Facility Mortgagee. 
 15.4 Compliance with Facility Mortgage Documents.
Tenant acknowledges that any Facility Mortgage Documents executed by Landlord or any Affiliate of Landlord may impose certain obligations on the “borrower” or other counterparty thereunder to comply with or cause the operator and/or lessee
of any Facility to comply with all representations, covenants and warranties contained therein relating to such Facility and the operator and/or lessee of such Facility, including, covenants relating to (a) the maintenance and repair of such
Facility; (b) maintenance and submission of financial records and accounts of the operation of such Facility and related financial and other information regarding the operator and/or lessee of such Facility and such Facility itself;
(c) the procurement of insurance policies with respect to such Facility; (d) periodic inspection and access rights in favor of the Facility Mortgagee; and (e) without limiting the foregoing, compliance with all applicable Legal
Requirements relating to such Facility and the operations thereof. For so long as any Facility Mortgages encumber any Facility or interest therein, Tenant covenants and agrees, at its sole cost and expense and for the express benefit of Landlord, to
operate such Facility in strict compliance with the terms and conditions of the Facility Mortgage Documents (other than payment of any indebtedness evidenced or secured thereby) and to timely perform all of the obligations of Landlord relating
thereto, or to the extent that any of such duties and obligations may not properly be performed by Tenant, Tenant shall cooperate with and assist Landlord in the performance thereof (other than payment of any indebtedness evidenced or secured
thereby); provided however this section shall not be deemed to (A) impose on Tenant obligations which (i) increase Tenant’s monetary obligations under this Lease, (ii) materially and adversely increase
Tenant’s non-monetary obligations under this Lease or 

  
 32 

 
(B) diminish Tenant’s rights under this Lease. If any new Facility Mortgage Documents to be executed by Landlord or any Affiliate of Landlord would impose on Tenant any
obligations under this Section 15.4, Landlord shall provide copies of the same to Tenant for informational purposes (but not for Tenant’s approval) prior to the execution and delivery thereof by Landlord or any Affiliate of Landlord. 

15.5 Limitations. Without limiting or expanding Tenant’s obligations pursuant to Sections 15.3 and 15.4, during the Term of
this Lease, Tenant acknowledges and agrees that, except as expressly provided elsewhere in this Lease, it shall undertake at its own cost and expense the performance of any and all repairs, replacements, capital improvements, maintenance items and
all other requirements relating to the condition of a Facility that are required by any Facility Mortgage Documents or by Facility Mortgagee; provided, however, this Section 15.5 shall not (i) increase Tenant’s monetary obligations
under this Lease, (ii) materially and adversely increase Tenant’s non-monetary obligations under this Lease, or (iii) diminish Tenant’s rights under this Lease, except to the extent that, with respect to any Facility, such
obligations were provided for in a Facility Mortgage, or otherwise required by the Facility Mortgagee, secured by such Facility on the Commencement Date; and provided, further, that any amounts which Tenant is required to fund into a Facility
Mortgage Reserve Account with respect to satisfying any repair or replacement reserve requirements imposed by a Facility Mortgagee shall be credited on a dollar-for-dollar basis against the mandatory expenditure obligations of Tenant for such
applicable Facility(ies) under Section 6.6. During the Term of this Lease and provided that no Event of Default shall have occurred and be continuing hereunder, Tenant shall, subject to the terms and conditions of such Facility Mortgage Reserve
Account and the requirements of the Facility Mortgagee(s) thereunder, have access to and the right to apply or use (including for reimbursement), to the same extent as Landlord, all monies held in each such Facility Mortgage Reserve Account for the
purposes and subject to the limitations for which such Facility Mortgage Reserve Account is maintained, and Landlord agrees to reasonably cooperate with Tenant in connection therewith. Landlord hereby acknowledges that funds deposited by Tenant in
any Facility Mortgage Reserve Account are the property of Tenant and Landlord is obligated to return the portion of such funds not previously released to Tenant within fifteen (15) days following the earlier of (x) the expiration or
earlier termination of this Lease with respect to such applicable Facility, (y) the maturity or earlier prepayment of the applicable Facility Mortgage, or (z) an involuntary prepayment or deemed prepayment arising out of the acceleration
of the amounts due to a Facility Mortgagee as a result of the exercise of its remedies under the applicable Facility Mortgage; provided, however, that the foregoing shall not be deemed or construed to limit or prohibit Landlord’s right to bring
any damage claim against Tenant for any breach of its obligations under this Lease that may have resulted in the loss of any impound funds held by a Facility Mortgagee. 

ARTICLE XVI 
 ASSIGNMENT
AND SUBLETTING 
 16.1 Prohibition. Without the prior written consent of Landlord, which may be withheld or conditioned in
its sole and absolute discretion, Tenant shall not suffer or permit any Transfer (including, without limitation, a Transfer of this Lease or any interest herein) other than a Transfer that is expressly permitted pursuant to the terms of this Lease.
Any such purported Transfer without Landlord’s prior written consent (each an “Unapproved Transfer”) shall be void and shall, at Landlord’s sole option, constitute an Event of Default giving rise to Landlord’s right,
among other things, to terminate this Lease. If Landlord elects to waive its right to terminate this Lease as a result of any such Unapproved Transfer, this Lease shall continue in full force and effect; provided, however, that as of the date of
such Unapproved Transfer, the Base Rent shall be increased by five percent (5%). 
 16.2 Landlord Consent. If Landlord
consents to a Transfer, such Transfer shall not be effective and valid unless and until the applicable transferee executes and delivers to Landlord any and all documentation reasonably required by Landlord. Any consent by Landlord to a particular
Transfer shall not constitute consent or approval of any subsequent Transfer, and Landlord’s written consent shall be required 

  
 33 

 
in all such instances. No consent by Landlord to any Transfer shall be deemed to release Tenant from its obligations hereunder and Tenant shall remain fully liable for payment and performance of
all obligations under this Lease. Without limiting the generality of the foregoing, in connection with any sublease arrangement that has been approved by Landlord, as a condition precedent to any such approval, any such sublease agreement shall
include provisions required by Landlord pertaining to protecting its status as a real estate investment trust. 
 16.3 Transfers to
Affiliates. Notwithstanding Section 16.1 to the contrary, but subject to the rights of any Facility Mortgagee, Tenant may, without Landlord’s prior written consent, assign this Lease or sublease any Facility to an Affiliate of
Tenant or Guarantor if all of the following are first satisfied: (a) such Affiliate fully assumes Tenant’s obligations hereunder; (b) Tenant remains fully liable hereunder and Guarantor remains fully liable under the Guaranty;
(c) the use of such Facility remains unchanged; (d) Landlord in its reasonable discretion shall have approved the form and content of all documents for such assignment or sublease and received an executed counterpart thereof;
(e) Tenant delivers evidence to Landlord that such assignment or subletting is permissible under all applicable Authorizations or that all necessary consents have been obtained to consummate such assignment or subletting; and (f) Tenant
and/or such Affiliate executes and delivers such other documents as may be reasonably required by Landlord to effectuate the assignment and continue the security interests and other rights of Landlord pursuant to this Lease or any other documents
executed in connection herewith. 
 16.4 Permitted Occupancy Agreements. Notwithstanding Section 16.1 to the contrary,
Tenant may enter into an occupancy agreement with residents of each Facility without the prior written consent of Landlord provided that (a) the agreement does not provide for life care services; (b) all residents of each Facility are
accurately shown in accounting records for such Facility. Without the prior written consent of Landlord, Tenant shall not materially change the form of resident occupancy agreement that was submitted to Landlord prior to the Commencement Date;
provided, however, no consent will be required for changes required by applicable law, including applicable licensure laws, but all changes to the form of resident occupancy agreement will be provided to Landlord as and when such changes are made.

 16.5 Costs. Tenant shall reimburse Landlord for Landlord’s reasonable costs and expenses incurred in conjunction with
the processing and documentation of any assignment, master subletting or management arrangement, including reasonable attorneys’ or other consultants’ fees whether or not such assignment, master sublease or management agreement is
ultimately consummated or executed. 
 ARTICLE XVII 

CERTAIN RIGHTS OF LANDLORD 

17.1 Right of Entry. Landlord and its representatives may enter on any Facility at any reasonable time after reasonable notice
to Tenant to inspect such Facility for compliance to this Lease, to exhibit such Facility for sale, lease or mortgaging, or for any other reason; provided, however, that no such notice shall be required in the event of an emergency, upon an Event of
Default or to post notices of non-responsibility under any mechanic’s or materialman’s lien law. No such entry shall unreasonably interfere with residents, patients, patient care or the operations of such Facility. 

17.2 Conveyance by Landlord. If Landlord or any successor owner of any Facility shall convey such Facility other than as
security for a debt, Landlord or such successor owner, as the case may be, shall thereupon be released from all future liabilities and obligations of the Landlord under this Lease arising or accruing from and after the date of such conveyance or
other transfer and, subject to Section 15.2, all such future liabilities and obligations shall thereupon be binding upon the new owner. 

  
 34 

 17.3 Granting of Easements, etc. Landlord may, from time to time, with respect to
each Facility: (a) grant easements, covenants and restrictions, and other rights in the nature of easements, covenants and restrictions, (b) release existing easements, covenants and restrictions, or other rights in the nature of
easements, covenants or restrictions, that are for the benefit of such Facility, (c) dedicate or transfer unimproved portions of such Facility for road, highway or other public purposes, (d) execute petitions to have such Facility annexed
to any municipal corporation or utility district, (e) execute amendments to any easements, covenants and restrictions affecting such Facility and (f) execute and deliver to any Person any instrument appropriate to confirm or effect such
grants, releases, dedications and transfers (to the extent of its interests in such Facility) without the necessity of obtaining Tenant’s consent provided that such easement or other instrument or action contemplated by this Section 17.3
does not unreasonably interfere with Tenant’s operations at such Facility. 
 ARTICLE XVIII 

ENVIRONMENTAL MATTERS 

18.1 Hazardous Materials. Tenant shall not allow any Hazardous Materials to be located in, on, under or about any Facility or
incorporated in any Facility; provided, however, that Hazardous Materials may be brought, kept, used or disposed of in, on or about a Facility in quantities and for purposes similar to those brought, kept, used or disposed of in, on or about similar
facilities used for purposes similar to such Facility’s Primary Intended Use and which are brought, kept, used and disposed of in strict compliance with all Hazardous Materials Laws. 

18.2 Notices. Tenant shall immediately advise Landlord in writing of (a) any Environmental Activities in violation of any
Hazardous Materials Laws; (b) any Hazardous Materials Claims against Tenant or any Facility; (c) any remedial action taken by Tenant in response to any Hazardous Materials Claims or any Hazardous Materials on, under or about any Facility
in violation of any Hazardous Materials Laws; (d) Tenant’s discovery of any occurrence or condition on or in the vicinity of any Facility that materially increase the risk that such Facility will be exposed to Hazardous Materials; and
(e) all communications to or from Tenant, any governmental authority or any other Person relating to Hazardous Materials Laws or Hazardous Materials Claims with respect to any Facility, including copies thereof. 

18.3 Remediation. If Tenant becomes aware of a violation of any Hazardous Materials Laws relating to any Hazardous Materials in,
on, under or about any Facility or any adjacent property, or if Tenant, Landlord or any Facility becomes subject to any order of any federal, state or local agency to repair, close, detoxify, decontaminate or otherwise remediate any Facility or any
property adjacent thereto, Tenant shall immediately notify Landlord of such event and, at its sole cost and expense, cure such violation or effect such repair, closure, detoxification, decontamination or other remediation in accordance with all
applicable Legal Requirements and subject to Landlord’s prior approval as to scope, process, content and standard for completion. If Tenant fails to implement and diligently pursue any such cure, repair, closure, detoxification, decontamination
or other remediation, Landlord shall have the right, but not the obligation, to carry out such action and to recover from Tenant all of Landlord’s costs and expenses incurred in connection therewith. 

18.4 Indemnity. Tenant shall indemnify, defend, protect, save, hold harmless and reimburse Landlord for, from and against any
and all Losses and Environmental Costs (whether or not arising out of third-party claims and regardless of whether liability without fault is imposed, or sought to be imposed, on Landlord) incurred in connection with, arising out of, resulting from
or incident to, directly or indirectly, before or during (but not after) the Term, (a) Environmental Activities, including the effects of such Environmental Activities on any Person or property within or outside the boundaries of the Land of
any Facility, (b) the presence of any Hazardous Materials in, on, under or about any Facility and (c) the violation of any Hazardous Material Laws. 

  
 35 

 18.5 Environmental Inspections. Landlord shall have the right, from time to time,
during normal business hours and upon not less than five (5) days written notice to Tenant, except in the case of an emergency in which event no notice shall be required, to conduct an inspection of any Facility to determine Tenant’s
compliance with this Article XVIII. Such inspection may include such testing, sampling and analyses as Landlord deems reasonably necessary and may be performed by experts retained by Landlord. All costs and expenses incurred by Landlord under this
18.5 shall be paid on demand by Tenant; provided, however, absent reasonable grounds to suspect Tenant’s breach of its obligations under this Article XVIII, Tenant shall not be required to pay for more than one (1) such inspection in any
two (2) year period with respect to each Facility. The obligations set forth in this Article XVIII shall survive the expiration or earlier termination of this Lease. 

ARTICLE XIX 
 RESERVED

 ARTICLE XX 

QUIET ENJOYMENT 
 So long
as Tenant shall pay the Rent as the same becomes due and shall fully comply with all of the terms of this Lease and fully perform its obligations hereunder, Tenant shall peaceably and quietly have, hold and enjoy each Facility for the Term, free of
any claim or other action by Landlord or anyone claiming by, through or under Landlord, but subject to all liens and encumbrances of record as of the Commencement Date or thereafter provided for in this Lease or consented to by Tenant. 

ARTICLE XXI 
 REIT
RESTRICTIONS 
 21.1 General REIT Provisions. Tenant understands that, in order for Landlord’s Affiliate, REIT
Parent, or any successor Affiliate that is a real estate investment trust to qualify as a real estate investment trust, certain requirements must be satisfied, including the provisions of Section 856 of the Code. Accordingly, Tenant agrees, and
agrees to cause its Affiliates, permitted subtenants, if any, and any other parties subject to its control by ownership or contract, to reasonably cooperate with Landlord to ensure that such requirements are satisfied, including providing Landlord
or any of its Affiliates with information about the ownership of Tenant and its Affiliates. Tenant agrees, and agrees to cause its Affiliates, upon request by Landlord or any of its Affiliates, to take all action reasonably necessary to ensure
compliance with such requirements. 
 21.2 Characterization of Rents. The parties hereto intend that Rent and other amounts
paid by Tenant hereunder will qualify as “rents from real property” within the meaning of Section 856(d) of the Code, or any similar or successor provision thereto and this Agreement shall be interpreted consistent with this intent.

 21.3 Prohibited Transactions. Notwithstanding anything to the contrary herein, Tenant shall not (a) sublet, assign or
enter into a management arrangement for any Facility on any basis such that the rental or other amounts to be paid by the subtenant, assignee or manager thereunder would be based, in whole or in part, on either (x) the income or profits derived
by the business activities of the subtenant, assignee or manager or (y) any other formula such that any portion of any amount received by Landlord would fail to qualify as “rents from real property” within the meaning of
Section 856(d) of the Code, or any similar or successor provision thereto; (b) furnish or render any services to the subtenant, assignee or manager or manage or operate any Facility so subleased, assigned or managed; (c) sublet,
assign or enter 

  
 36 

 
into a management arrangement for any Facility to any Person (other than a taxable REIT subsidiary of Landlord) in which Tenant or Landlord owns an interest, directly or indirectly (by applying
constructive ownership rules set forth in Section 856(d)(5) of the Code); or (d) sublet, assign or enter into a management arrangement for any Facility in any other manner which could cause any portion of the amounts received by Landlord
pursuant to this Lease or any sublease to fail to qualify as “rents from real property” within the meaning of Section 856(d) of the Code, or any similar or successor provision thereto, or which could cause any other income of Landlord
to fail to qualify as income described in Section 856(c)(2) of the Code. The requirements of this Section 21.3 shall likewise apply to any further subleasing by any subtenant. 

21.4 Personal Property REIT Requirements. Notwithstanding anything to the contrary herein, upon request of Landlord, Tenant
shall cooperate with Landlord in good faith and provide such documentation and/or information as may be in Tenant’s possession or under Tenant’s control and otherwise readily available to Tenant regarding the valuation of the Premises to
assist Landlord in its determination that Rent allocable for purposes of Section 856 of the Code to the Landlord Personal Property at the beginning and end of a calendar year does not exceed 15% of the total Rent due hereunder (the
“Personal Property REIT Requirement”). Tenant shall take such reasonable action as may be requested by Landlord from time to time to ensure compliance with the Personal Property REIT Requirement as long as such compliance does not
(a) increase Tenant’s monetary obligations under this Lease, (b) materially and adversely increase Tenant’s non-monetary obligations under this Lease or (c) materially diminish Tenant’s rights under this Lease.
Accordingly, if requested by Landlord and at Landlord’s expense, Tenant shall cooperate with Landlord as may be necessary from time to time to more specifically identify and/or value the Landlord Personal Property in connection with the
compliance with the Personal Property REIT Requirement. 
 ARTICLE XXII 

NOTICES 
 All notices and
demands, certificates, requests, consents, approvals and other similar instruments under this Lease shall be in writing and sent by personal delivery, U. S. certified or registered mail (return receipt requested, postage prepaid) or FedEx or similar
generally recognized overnight carrier regularly providing proof of delivery, addressed as follows: 
  

			
	If to Tenant:	  	If to Landlord:
		
	 c/o Ensign Services, Inc.
 Attention: Chief
Financial Officer
 27101 Puerta Real, Suite 450
 Mission Viejo,
CA 92691
	  	 c/o CareTrust REIT, Inc.
 Attn: Chief
Financial Officer
 27101 Puerta Real, Suite 400
 Mission Viejo,
CA 92691

 A party may designate a different address by notice as provided above. Any notice or other instrument so delivered (whether
accepted or refused) shall be deemed to have been given and received on the date of delivery established by U.S. Post Office return receipt or the carrier’s proof of delivery or, if not so delivered, upon its receipt. Delivery to any officer,
general partner or principal of a party shall be deemed delivery to such party. Notice to any one co-Tenant shall be deemed notice to all co-Tenants. 

  
 37 

 ARTICLE XXIII 

DISPUTE RESOLUTION 

23.1 Dispute Resolution. The provisions of Article X of that certain Separation and Distribution Agreement, dated as
of the date hereof (the “Separation Agreement”), entered into by and between REIT Parent and Guarantor, shall apply, mutatis mutandis, to all disputes, controversies or claims (whether arising in contract, tort or otherwise) that
may arise out of or relate to, or arise under or in connection with this Lease or the transactions contemplated hereby. 
 ARTICLE XXIV

 MISCELLANEOUS 

24.1 Memorandum of Lease. Landlord and Tenant shall, promptly upon the request of either, enter into a short form memorandum of
this Lease, in form suitable for recording under the laws of the applicable Situs State. Tenant shall pay all costs and expenses of recording any such memorandum and shall fully cooperate with Landlord in removing from record any such memorandum
upon the expiration or earlier termination of the Term. 
 24.2 No Merger. There shall be no merger of this Lease or of the
leasehold estate created hereby by reason of the fact that the same Person may acquire, own or hold, directly or indirectly, (a) this Lease or the leasehold estate created hereby or any interest in this Lease or such leasehold estate and
(b) the fee estate in the Premises. 
 24.3 No Waiver. No failure by Landlord to insist upon the strict performance of
any term hereof or to exercise any right, power or remedy hereunder and no acceptance of full or partial payment of Rent during the continuance of any Event of Default shall constitute a waiver of any such breach or of any such term. No waiver of
any breach shall affect or alter this Lease, which shall continue in full force and effect with respect to any other then existing or subsequent breach. 

24.4 Acceptance of Surrender. No surrender to Landlord of this Lease or any Facility, or of any interest therein, shall be valid
or effective unless agreed to and accepted in writing by Landlord, and no act by Landlord or any representative or agent of Landlord, other than such a written acceptance by Landlord, shall constitute an acceptance of any such surrender. 

24.5 Attorneys’ Fees. If Landlord or Tenant brings an action or other proceeding against the other to enforce any of the
terms, covenants or conditions hereof or any instrument executed pursuant to this Lease, or by reason of any breach or default hereunder or thereunder, the party prevailing in any such action or proceeding and any appeal thereupon shall be paid all
of its costs and reasonable outside attorneys’ fees incurred therein. 
 24.6 Brokers. Landlord and Tenant each warrants
to the other that it has not had any contact or dealings with any Person which would give rise to the payment of any fee or brokerage commission in connection with this Lease, and each shall indemnify, protect, hold harmless and defend the other
from and against any liability for any fee or brokerage commission arising out of any act or omission of such indemnifying party. 
 24.7
Severability. If any term or provision of this Lease or any application thereof shall be held invalid or unenforceable, the remainder of this Lease and any other application of such term or provision shall not be affected thereby. 

24.8 Non-Recourse. Tenant specifically agrees to look solely to the Premises for recovery of any judgment from Landlord;
provided, however, the foregoing is not intended to, and shall not, limit any right that Tenant might otherwise have to obtain injunctive relief against Landlord, or any action not involving the personal liability of Landlord. Furthermore, in no
event shall Landlord be liable to Tenant for any indirect or consequential damages suffered by Tenant from whatever cause. 

  
 38 

 24.9 Successors and Assigns. This Lease shall be binding upon Landlord and its
successors and assigns and, subject to the provisions of Article XVI, upon Tenant and its successors and assigns. 
 24.10 Governing
Law; Jury Waiver. This Lease shall be governed by and construed and enforced in accordance with the internal laws of New York, without regard to the conflict of laws rules thereof; provided that that the law of the applicable Situs State
shall govern procedures for enforcing, in the respective Situs State, provisional and other remedies directly related to such Facility and related personal property as may be required pursuant to the law of such Situs State, including without
limitation the appointment of a receiver; and, further provided that the law of the Situs State also applies to the extent, but only to the extent, necessary to create, perfect and foreclose the security interests and liens created under this Lease.
EACH PARTY HEREBY WAIVES ANY RIGHTS TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM BROUGHT BY EITHER PARTY AGAINST THE OTHER IN CONNECTION WITH ANY MATTER WHATSOEVER ARISING OUT OF OR IN ANY WAY CONNECTED WITH THIS LEASE, INCLUDING
RELATIONSHIP OF THE PARTIES, TENANT’S USE AND OCCUPANCY OF THE PREMISES, OR ANY CLAIM OF INJURY OR DAMAGE RELATING TO THE FOREGOING OR THE ENFORCEMENT OF ANY REMEDY. 

24.11 Entire Agreement. This Lease constitutes the entire agreement of the parties with respect to the subject matter hereof,
and may not be changed or modified except by an agreement in writing signed by the parties. Landlord and Tenant hereby agree that all prior or contemporaneous oral understandings, agreements or negotiations relative to the leasing of the Premises
are merged into and revoked by this Lease. All exhibits and schedules to this Lease are hereby incorporated herein by this reference. This Lease is an Ancillary Agreement under the Separation Agreement and shall be interpreted in accordance
therewith. 
 24.12 Headings. All titles and headings to sections, articles or other subdivisions of this Lease are for
convenience of reference only and shall not in any way affect the meaning or construction of any provision. 
 24.13
Counterparts. This Lease may be executed in any number of counterparts, each of which shall be a valid and binding original, but all of which together shall constitute one and the same instrument. Executed copies hereof may be delivered
by telecopier, email or other electronic means and upon receipt will be deemed originals and binding upon the parties hereto, regardless of whether originals are delivered thereafter. 

24.14 Joint and Several. If more than one Person is the Tenant under this Lease, the liability of such Persons under this Lease
shall be joint and several. 
 24.15 Interpretation. Both Landlord and Tenant have been represented by counsel and this Lease
and every provision hereof has been freely and fairly negotiated. Consequently, all provisions of this Lease shall be interpreted according to their fair meaning and shall not be strictly construed against any party. Whenever the words
“including”, “include” or “includes” are used in this Lease, they shall be interpreted in a non-exclusive manner as though the words “without limitation” immediately followed. Whenever the words
“herein,” “hereof” and “hereunder” and other words of similar import are used in this Lease, they shall be interpreted to refer to this Lease as a whole and not to any particular article, section or other subdivision.
Whenever the words “day” or “days” are used in this Lease, they shall mean “calendar day” or “calendar days” unless expressly provided to the contrary. All references in this Lease to designated
“Articles,” “Sections” and other subdivisions are to the designated Articles, Sections and other subdivisions of this Lease. 

  
 39 

 24.16 Time of Essence. Time is of the essence of this Lease and each provision
hereof in which time of performance is established and whenever action must be taken (including the giving of notice or the delivery of documents) hereunder during a certain period of time or by a particular date that ends or occurs on a day that is
not a Business Day, then such period or date shall be extended until the immediately following Business Day. 
 24.17 Further
Assurances. The parties agree to promptly sign all documents reasonably requested by the other party to give effect to the provisions of this Lease. 

24.18 Certain Changes. In no way waiving or modifying the provisions of Article XVI above, Tenant shall give Landlord at least
thirty (30) days’ prior written notice of any change in Tenant’s principal place of business, name, identity, jurisdiction of organization or corporate structure. 

24.19 California Specific Provisions. 

24.19.1 In addition to and not in limitation of any other waiver contained herein, Tenant hereby voluntarily waives the
provisions of California Civil Code §§1941 and 1942 and all other provisions of law now in force or that become in force hereafter that provide Tenant the right to make repairs at Landlord’s expense and to deduct the expense of such
repairs from Rent owing hereunder. 
 24.19.2 In addition to and not in limitation of any other waiver contained
herein, Tenant hereby voluntarily waives any and all rights that Tenant may have under Legal Requirements to terminate this Lease prior to the Expiration Date, including, without limitation: 

(a) the provisions of California Civil Code §1932(1) and all other provisions of law now in force or that become in force
hereafter that provide Tenant the right to terminate this Lease if Landlord breaches its obligation, if any, as to placing and securing Tenant in the quiet possession of the Premises, putting the Premises in good condition or repairing the Premises;

 (b) the provisions of California Civil Code §§1932(2) and 1933(4) and all other provisions of law now in force
or that become in force hereafter that would permit or cause a termination of this Lease or an abatement of Rent upon damage to or destruction of the Premises, it being agreed and acknowledged that Article X constitutes an express agreement
between Landlord and Tenant that applies in the event of any such damage to or destruction of the Premises; and 
 (c) the
provisions of California Code of Civil Procedure §1265.130 and all other provisions of law now in force or that become in force hereafter that would allow Tenant to petition the courts to terminate this Lease in the event of a Partial Taking.

 24.19.3 Landlord and Tenant hereby agree and acknowledge that Article XI provides for Landlord’s and
Tenant’s respective rights and obligations in the event of a Condemnation of any Facility and, in addition to and not in limitation of any other waiver contained herein, each hereby voluntarily waives the application of the provisions of
California Code of Civil Procedure §§1265.110-1265.160 to this Lease. 
 24.19.4 In addition to and not in
limitation of any other waiver contained herein, Tenant hereby voluntarily waives the provisions of any and all rights conferred by California Civil Code §3275 and California Code of Civil Procedure §§473, 1174 and 1179 and all other
provisions of law now in force or that become in force hereafter that provide Tenant the right to redeem, reinstate or restore this Lease following its termination by reason of Tenant’s breach. 

  
 40 

 24.19.5 Landlord and Tenant hereby agree that when this Lease requires
service of a notice, that notice shall replace rather than supplement any equivalent or similar statutory notice, including any notices required by California Code of Civil Procedure §1161 or any similar or successor statute. When a statute
requires service of a notice in a particular manner, service of that notice (or a similar notice required by this Lease) in the manner required by Article XXII shall replace and satisfy the statutory service-of-notice procedures, including
those required by California Code of Civil Procedure §1162 or any similar or successor statute. 
 24.19.6 In
addition to, and not in substitution of, any of the remedies otherwise available to Landlord under this Lease following the occurrence of an Event of Default, Landlord shall have the remedy described in California Civil Code §1951.4, which
provides that Landlord may continue this Lease in full force and effect after Tenant’s breach and abandonment and enforce all of its rights and remedies under this Lease, including the right to recover Rent as it becomes due. Notwithstanding
Landlord’s exercise of the remedy described in California Civil Code §1951.4, Landlord may thereafter elect, in its sole discretion, to exercise any other remedy provided for in this Lease, including, without limitation, the right to
terminate this Lease as provided in Section 12.2.1 above. 
 24.19.7 If Landlord elects to terminate this Lease
pursuant to Section 12.2.1 above following the occurrence of an Event of Default, then, notwithstanding anything to the contrary herein, Landlord shall be entitled to recover from Tenant all of the following: 

(a) The worth at the time of award (defined below) of the unpaid Rent earned at the time of such termination; 

(b) The worth at the time of award of the amount by which the unpaid Rent which would have been earned after termination until
the time of award exceeds the amount of such rental loss which Tenant proves could have been reasonably avoided; 
 (c) The
worth at the time of award of the amount by which the unpaid Rent for the balance of the Term after the time of award exceeds the amount of such rental loss that Tenant proves could reasonably be avoided; 

(d) Any other amount necessary to compensate Landlord for all detriment proximately caused by Tenant’s failure to perform
its obligations under this Lease, or which, in the ordinary course of things, would likely result therefrom, including brokers’ commission, cost of tenant improvements, and attorneys’ fees; and 

(e) Any other amounts, in addition to or in lieu of those listed above, that may be permitted under the applicable Legal
Requirements. 
 The “worth at the time of the award” of the amount(s) referred to in
(x) Sections 24.19.7(a) and 24.19.7(b) shall be computed by allowing interest at the Agreed Rate and (y) Section 24.19.7(c) shall be computed by discounting such amount at the discount rate of the Federal Reserve Bank of San
Francisco at the time of award, plus one percent (1%). 
 24.19.8 As of the date of this Lease, no Facility has
undergone inspection by a “Certified Access Specialist” in connection with California Civil Code §1938. 

  
 41 

 24.19.9 Tenant agrees to reasonably cooperate with Landlord in connection
with any energy usage reporting requirements to which Landlord is subject under applicable Legal Requirements with respect to the Facilities. 

24.19.10 In connection with any Alterations or other modifications, capital repairs, or improvements made by or on
behalf of Tenant to any Facility, Tenant shall (and all such Alterations, modifications, capital repairs, or improvements shall) comply with all permitting, preapproval, standards, rules, regulations, and requirements imposed by the Office of
Statewide Health Planning and Development (“OSHPD”) together with all other Legal Requirements imposed by OSHPD or any other Governmental Authority. Tenant shall indemnify, defend, protect and hold harmless Landlord from and against
any Losses of any kind that may be imposed upon Landlord in connection with Tenant’s failure to comply with any rules, regulations, permits or other approvals of OSHPD or any other Governmental Authority in connection with any Alterations,
modifications, capital repairs, or improvements made by or on behalf of Tenant to any Facility. 
 [Signature page follows] 

  
 42 

 IN WITNESS WHEREOF, this Lease has been executed by Landlord and Tenant as of the date
first written above. 
 TENANT: 

[                        
], 
 a
[                                         
   ] 
  

			
	By:	 	 
	Name:	 	 
	Title:	 	 

 [Signatures continue on next page] 

  
 S-1 

 LANDLORD: 

[                        
], 
 a
[                                         
       ] 
  

			
	By:	 	 
	Name:	 	 
	Title:	 	 

 [Signatures continue on next page] 

  
 S-2 

 JOINDER 

The Ensign Group, Inc., a Delaware corporation, hereby joins in this Lease for the limited purpose of assuming and agreeing to be bound by the
obligations contained in Section 5.5. 
 THE ENSIGN GROUP, INC., 

a Delaware corporation 
  

			
	By:	 	 
	Name:	 	 
	Title:	 	 

  
 S-3 

 EXHIBIT A 

DEFINED TERMS 
 For all
purposes of this Lease, except as otherwise expressly provided in the Lease or unless the context otherwise requires, the following terms have the meanings assigned to them in this exhibit and include the plural as well as the singular: 

“Additional Rent” has the meaning set forth in Section 2.2. 

“Adjusted CPI Increase” means the actual CPI Increase as of the date of determination, not to exceed two and one-half percent
(2.5%). In no event shall the CPI Increase be a negative number. 
 “Affiliate” means with respect to any Person, any other
Person which Controls, is Controlled by or is under common Control with the first Person. 
 “Agency Lender” means any of:
(i) the U.S. Department of Housing and Urban Development, (ii) the Federal National Mortgage Association (Fannie Mae), or (iii) the Federal Home Loan Mortgage Corporation (Freddie Mac), or any designees, agents, originators, or
servicers of any of the foregoing. 
 “Agreed Rate” means, on any date, a rate equal to five percent (5%) per annum
above the Prime Rate, but in no event greater than the maximum rate then permitted under applicable law. Interest at the aforesaid rates shall be determined for actual days elapsed based upon a 360 day year. 

“Alterations” means, with respect to each Facility, any alteration, improvement, exchange, replacement, modification or
expansion of the Leased Improvements or Fixtures at such Facility. 
 “Authorization” means, with respect to each Facility,
any and all licenses, permits, certifications, accreditations, Provider Agreements, CONs, certificates of exemption, approvals, waivers, variances and other governmental or “quasi-governmental” authorizations necessary or advisable for the
use of such Facility for its Primary Intended Use and receipt of reimbursement or other payments under any Third Party Payor Program in which such Facility participates. 

“Bankruptcy Action” means, with respect to any Person, (i) such Person filing a voluntary petition under the Bankruptcy
Code or any other federal or state bankruptcy or insolvency law; (ii) the filing of an involuntary petition against such Person under the Bankruptcy Code or any other federal or state bankruptcy or insolvency law which is not dismissed within
sixty (60) days of the filing thereof, or soliciting or causing to be solicited petitioning creditors for any involuntary petition against such Person; (iii) such Person filing an answer consenting to or otherwise acquiescing in or joining
in any involuntary petition filed against it, by any other Person under the Bankruptcy Code or any other federal or state bankruptcy or insolvency law, or soliciting or causing to be solicited petitioning creditors for any involuntary petition from
any Person; (iv) such Person seeking, consenting to or acquiescing in or joining in an application for the appointment of a custodian, receiver, trustee, or examiner for such Person or any portion of the Facility; (v) such Person making an
assignment for the benefit of creditors; or (vi) such Person taking any action in furtherance of any of the foregoing. 

“Bankruptcy Code” means 11 U.S.C. § 101 et seq., as the same may be amended from time to time.

 “Base Rent” has the meaning set forth in Section 2.1. 

  
 Exhibit A-1 

 “Business Day” means each Monday, Tuesday, Wednesday, Thursday and Friday which
is not a day on which national banks in the City of New York, New York, are authorized, or obligated, by law or executive order, to close. 

“Capital Alterations” means any Alteration for which the budgeted cost exceeds Two Hundred Fifty-Thousand Dollars ($250,000).

 “Cash Flow” shall mean the aggregate net income of Tenant attributable to the operation of the Facilities as reflected
on the income statement of Tenant, plus (i) the provision for depreciation and amortization in such income statement, plus (ii) the provision for management fees in such income statement, plus (iii) the provision
for income taxes in such income statement, plus (iv) the provision for Base Rent payments and interest and lease payments, if any, relating to the Facilities in such income statement, plus (v) the provision for any other
non-operating items in such income statement, and minus (vi) an imputed management fee equal to five percent (5%) of gross revenues of the Facilities (net of contractual allowances). 

“Casualty Sale” has the meaning set forth in Section 10.5. 

“Change in Control” means, as applied to any Person, a change in the Person that ultimately exerts effective Control over the
first Person. 
 “Closure Notice” means a written notice delivered by Landlord to Tenant pursuant to which Landlord
notifies Tenant that Tenant may commence a Facility Termination as to a particular Facility or Facilities. 
 “CMS” means
the United States Department of Health, Centers for Medicare and Medicaid Services or any successor agency thereto. 

“Code” means the Internal Revenue Code of 1986 and, to the extent applicable, the Treasury Regulations promulgated
thereunder, each as amended from time to time. 
 “Commencement Date” has the meaning set forth in Section 1.4. 

“Compensatory Payment” has the meaning set forth in Section 10.5. 

“Compensatory Payment Date” has the meaning set forth in Section 10.5. 

“Compensatory Payment Statement” has the meaning set forth in Section 10.5. 

“Complete Taking” means the Condemnation of all or substantially all of a Facility or a Condemnation that results in a
Facility no longer being capable of being operated for its Primary Intended Use. 
 “CON” means, with respect to each
Facility, a certificate of need or similar permit or approval (not including conventional building permits) from a Governmental Authority related to (i) the construction and/or operation of such Facility for the use of a specified number of
beds in a nursing facility, assisted living facility, senior independent living facility and/or rehabilitation hospital, or (ii) the alteration of such Facility or (iii) the modification of the services provided at such Facility used as a
nursing facility, assisted living facility, senior independent living facility and/or rehabilitation hospital. 

  
 Exhibit A-2 

 “Condemnation” means the exercise of any governmental power, whether by legal
proceedings or otherwise, by a Condemnor or a voluntary sale or transfer by Landlord to any Condemnor, either under threat of condemnation or while legal proceedings for condemnation are pending. 

“Condemnor” means any public or quasi-public authority, or private corporation or individual, having the power of
condemnation. 
 “Contingent Obligation” means any direct or indirect liability of Tenant: (i) with respect to any
Debt of another Person; (ii) with respect to any undrawn portion of any letter of credit issued for the account of Tenant as to which Tenant is otherwise liable for the reimbursement of any drawing; (iii) to make take-or-pay or similar
payments if required regardless of nonperformance by any other party or parties to an agreement; (iv) claims, liabilities and damages arising in the Ordinary Course of Business; or (v) for any obligations of another Person pursuant to any
guaranty or pursuant to any agreement to purchase, repurchase or otherwise acquire any obligation or any property constituting security therefor, to provide funds for the payment or discharge of such obligation or to preserve the solvency, financial
condition or level of income of another Person. The amount of any Contingent Obligation shall be equal to the amount of the obligation so guarantied or otherwise supported or, if not a fixed and determinable amount, the maximum amount so guarantied
or otherwise supported. 
 “Control”, together with the correlative terms “Controlled” and
“Controls,” means, as applied to any Person, the possession, directly or indirectly, of the power to direct the management and policies of that Person, whether through ownership, voting control, by contract or otherwise. 

“CPI” means the United States Department of Labor, Bureau of Labor Statistics Consumer Price Index for All Urban Wage Earners
and Clerical Workers, United States Average, Subgroup “All Items” (1982—1984 = 100). If the foregoing index is discontinued or revised during the Term, the governmental index or computation with which it is replaced shall be used to
obtain substantially the same result as if such index had not been discontinued or revised. 
 “CPI Increase” means the
percentage increase (but not decrease) in (i) the CPI published for the beginning of each Lease Year, over (ii) the CPI published for the beginning of the immediately preceding Lease Year. 

“Debt” For any Person, without duplication: (i) all indebtedness of such Person for borrowed money, for amounts drawn
under a letter of credit or for the deferred purchase price of property for which such Person or its assets is liable; (ii) all unfunded amounts under a loan agreement, letter of credit or other credit facility for which such Person would be
liable if such amounts were advanced thereunder; (iii) all amounts required to be paid by such Person as a guaranteed payment to partners or a preferred or special dividend, including any mandatory redemption of shares or interests;
(iv) all indebtedness guaranteed by such Person, directly or indirectly; (v) all obligations under leases that constitute capital leases for which such Person is liable; (vi) all obligations of such Person under interest rate swaps,
caps, floors, collars and other interest hedge agreements, in each case whether such Person is liable contingently or otherwise, as obligor, guarantor or otherwise, or in respect of which obligations such Person otherwise assures a creditor against
loss; (vii) off-balance sheet liabilities of such Person; and (viii) obligations arising under bonus, deferred compensation, incentive compensation or similar arrangements, other than those arising in the Ordinary Course of Business. 

“Environmental Activities” mean, with respect to each Facility, the use, generation, transportation, handling, discharge,
production, treatment, storage, release or disposal of any Hazardous Materials at any time to or from such Facility or located on or present on or under such Facility. 

  
 Exhibit A-3 

 “Environmental Costs” include interest, costs of response, removal, remedial
action, containment, cleanup, investigation, design, engineering and construction, damages (including actual and consequential damages) for personal injuries and for injury to, destruction of or loss of property or natural resources, relocation or
replacement costs, penalties, fines, charges or expenses, attorney’s fees, expert fees, consultation fees, and court costs, and all amounts paid in investigating, defending or settling any of the foregoing. 

“Event of Default” has the meaning set forth in Section 12.1. 

“Excess Capital Expenditures Amount” has the meaning set forth in Section 6.6. 

“Expiration Date” means the Initial Expiration Date, as may be extended pursuant to Section 1.4. 

“Extension Notice” has the meaning set forth in Section 1.4. 

“Extension Term” has the meaning set forth in Section 1.4. 

“Facility” means each healthcare facility located on the Premises, as identified on Schedule 2 attached hereto,
including, where the context requires, the Land, Leased Improvements, Intangibles and Landlord Personal Property associated with such healthcare facility. 

“Facility Default” means an Event of Default that relates directly to one or more of the Facilities (such as, for example
only and without limitation, an Event of Default arising from a failure to maintain or repair, or to operate for the Primary Intended Use, or to maintain the required Authorizations for, one or more of the Facilities), as opposed to an Event of
Default that, by its nature, does not relate directly to any of the Facilities. 
 “Facility Improvement Fund Cap” means,
with respect to any Facility, the amount equal to the product of: (i) the amount of Landlord’s initial investment in such Facility, and (ii) twenty percent (20%). 

“Facility Mortgage” means any mortgage, deed of trust or other security agreement or lien encumbering any Facility and
securing an indebtedness of Landlord or any Affiliate of Landlord or any ground, building or similar lease or other title retention agreement to which any Facility are subject from time to time. 

“Facility Mortgage Documents” means with respect to each Facility Mortgage and Facility Mortgagee, the applicable Facility
Mortgage, loan or credit agreement, lease, note, collateral assignment instruments, guarantees, indemnity agreements and other documents or instruments evidencing, securing or otherwise relating to the loan made, credit extended, lease or other
financing vehicle pursuant thereto. Facility Mortgage Documents shall also include, without limitation, any documents typically required by any Agency Lender in connection with a Facility Mortgage, including, but not limited to: (i) tenant
regulatory agreements, (ii) intercreditor agreements with any receivables lender of Tenant, and (iii) any subordination, assignment, and security agreements. 

“Facility Mortgagee” means the holder or beneficiary of a Facility Mortgage and any other rights of the lender, credit party
or lessor under the applicable Facility Mortgage Documents, including, without limitation, any Agency Lender. 
 “Facility Removal
Date” has the meaning set forth in Section 12.2.6. 

  
 Exhibit A-4 

 “Facility Termination” has the meaning set forth in Section 13.2.6. 

“Fair Market Value” means the fair market value of a Facility as determined pursuant to Exhibit E. 

“Fixtures” means all equipment, machinery, fixtures and other items of real and/or personal property, including all
components thereof, now and hereafter located in, on, or used in connection with and permanently affixed to or incorporated into the Leased Improvements, including all furnaces, boilers, heaters, electrical equipment, heating, plumbing, lighting,
ventilating, refrigerating, incineration, air and water pollution control, waste disposal, air-cooling and air-conditioning systems, apparatus, sprinkler systems, fire and theft protection equipment and built-in oxygen and vacuum systems, all of
which, to the greatest extent permitted by law, are hereby deemed to constitute real estate, together with all replacements, modifications, alterations and additions thereto. 

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

“Governmental Authority” means any court, board, agency, commission, bureau, office or authority or any governmental unit
(federal, state, county, district, municipal, city or otherwise) and any regulatory, administrative or other subdivision, department or branch of the foregoing, whether now or hereafter in existence, including, without limitation, CMS, the United
States Department of Health and Human Services, any state licensing agency or any accreditation agency or other quasi-governmental authority. 

“Governmental Payor” means any state or federal health care program providing medical assistance, health care insurance or
other coverage of health care items or services for eligible individuals, including but not limited to the Medicare program more fully described in Title XVIII of the Social Security Act (42 U.S.C. §§ 1395 et seq.) and the
Medicaid program more fully described in Title XIX of the Social Security Act (42 U.S.C. §§ 1396 et seq.) and the regulations promulgated thereunder. 

“Guarantor” has the meaning set forth in Section 2.5, together with any and all permitted successors and assigns of the
Guarantor originally named herein and any additional Person that guaranties the obligations of Tenant hereunder, from time to time. 

“Guaranty” has the meaning set forth in the Recitals to this Agreement. 

“Hazardous Materials” mean (i) any petroleum products and/or by-products (including any fraction thereof), flammable
substances, explosives, radioactive materials, hazardous or toxic wastes, substances or materials, known carcinogens or any other materials, contaminants or pollutants which pose a hazard to any Facility or to Persons on or about any Facility or
cause any Facility to be in violation of any Hazardous Materials Laws; (ii) asbestos in any form which is friable; (iii) urea formaldehyde in foam insulation or any other form; (iv) transformers or other equipment which contain
dielectric fluid containing levels of polychlorinated biphenyls in excess of fifty (50) parts per million or any other more restrictive standard then prevailing; (v) medical wastes and biohazards; (vi) radon gas; and (vii) any
other chemical, material or substance, exposure to which is prohibited, limited or regulated by any governmental authority or may or could pose a hazard to the health and safety of the occupants of any Facility or the owners and/or occupants of
property adjacent to or surrounding any Facility, including, without limitation, any materials or substances that are listed in the United States Department of Transportation Hazardous Materials Table (49 CFR 172.101) as amended from time to time.

  
 Exhibit A-5 

 “Hazardous Materials Laws” mean any laws, ordinances, regulations, rules,
orders, guidelines or policies relating to the environment, health and safety, Environmental Activities, Hazardous Materials, air and water quality, waste disposal and other environmental matters. 

“Hazardous Materials Claims” mean any and all enforcement, clean-up, removal or other governmental or regulatory actions or
orders threatened, instituted or completed pursuant to any Hazardous Material Laws, together with all claims made or threatened by any third party against any Facility, Landlord or Tenant relating to damage, contribution, cost recovery compensation,
loss or injury resulting from any Hazardous Materials. 
 “Impositions” means any property (real and personal) and other
taxes and assessments levied or assessed with respect to this Lease, any Facility, Tenant’s interest therein or Landlord, with respect to any Facility, including, without limitation, any state or county occupation tax, transaction privilege,
franchise taxes, margin taxes, business privilege, rental tax or other excise taxes. Notwithstanding the foregoing, Impositions shall not include any local, state or federal income tax based upon the net income of Landlord and any transfer tax or
stamps arising from Landlord’s transfer of any interest in any Facility. 
 “Improvement Funds” has the meaning set
forth in Section 6.7. 
 “Improvement Funds Rate” means a percentage rate equal to the sum of: (i) REIT
Parent’s Weighted Average Cost of Capital on the date of determination, plus (ii) a market supported minimum spread reasonably and mutually acceptable to both Landlord and Tenant. 

“Initial Expiration Date” has the meaning set forth in Section 1.4. 

“Initial Term” has the meaning set forth in Section 1.4. 

“Insurance Requirements” mean all terms of any insurance policy required by this Lease and all requirements of the issuer of
any such policy, together with all fire underwriters’ regulations promulgated from time to time. 
 “Intangibles”
means the interest, if any, of Landlord in and to any of the following intangible property owned by Landlord in connection with the Land and the Leased Improvements: (i) the identity or business of each Facility as a going concern, including,
without limitation, any names or trade names by which each Facility may be known, and all registrations for such names, if any; (ii) to the extent assignable or transferable, the interest, if any, of Landlord in and to each and every guaranty
and warranty concerning the Leased Improvements or Fixtures, including, without limitation, any roofing, air conditioning, heating, elevator and other guaranty or warranty relating to the construction, maintenance or repair of the Leased
Improvements or Fixtures; and (iii) the interest, if any, of Landlord in and to all Authorizations to the extent the same can be assigned or transferred in accordance with applicable law; provided, however, that the foregoing shall not include
any CON issued to or held by Landlord which shall only be licensed to Tenant on a temporary basis, which license shall be revocable at any time by Landlord. 

“Land” means, individually and collectively, the real property described in Exhibit B attached to this Lease.

 “Landlord” has the meaning set forth in the opening preamble, together with any and all successors and assigns of the
Landlord originally named herein. 

  
 Exhibit A-6 

 “Landlord Personal Property” means the machinery, equipment, furniture and other
personal property described in Exhibit C attached to this Lease, together with all replacements, modifications, alterations and substitutes thereof (whether or not constituting an upgrade). 

“Landlord Indemnified Parties” means Landlord’s Affiliates and Landlord’s and its Affiliates’ agents,
employees, owners, partners, members, managers, contractors, representatives, consultants, attorneys, auditors, officers and directors. 

“Landlord’s Representatives” means Landlord’s agents, employees, contractors, consultants, attorneys, auditors,
architects and other representatives. 
 “Lease” has the meaning set forth in the opening preamble. 

“Lease Year” means each successive period of twelve (12) calendar months during the Term, commencing as of the same day
and month (but not year, except in the case of the first (1st) Lease Year) as the Commencement Date. 

“Leased Improvements” means all buildings, structures and other improvements of every kind now or hereafter located on the
Land including, alleyways and connecting tunnels, sidewalks, utility pipes, conduits, and lines (on-site and off-site to the extent Landlord has obtained any interest in the same), parking areas and roadways appurtenant to such buildings and
structures. 
 “Legal Requirements” means all federal, state, county, municipal and other governmental statutes, laws
(including common law and Hazardous Materials Laws), rules, policies, guidance, codes, orders, regulations, ordinances, permits, licenses, covenants, conditions, restrictions, judgments, decrees and injunctions applicable to Tenant or affecting any
Facility or the applicable Tenant Personal Property or the maintenance, construction, use, condition, operation or alteration thereof, whether now or hereafter enacted and in force, including, any and all of the foregoing that relate to the use of
each Facility for its Primary Intended Use. 
 “Licensing Impairment” means, with respect to each Facility, (i) the
revocation, suspension or non-renewal of any Authorization, (ii) any material withholding, non-payment, reduction or other adverse change respecting any Provider Agreement, (iii) any admissions hold under any Provider Agreement, or
(iv) any other act or outcome similar to the foregoing that would have a material adverse effect on Tenant’s ability to continue to operate such Facility for its Primary Intended Use or to receive any rents or profits therefrom. 

“Limited Remedy Event of Default” has the meaning set forth in Section 12.2.6. 

“Limited Termination Election” has the meaning set forth in Section 12.2.6. 

“Losses” mean all claims, demands, expenses, actions, judgments, damages, penalties, fines, liabilities, losses of every kind
and nature (including without limitation losses of use or economic benefit or diminution in value), suits, administrative proceedings, costs and fees, including, without limitation, reasonable attorneys’ and reasonable consultants’ fees
and expenses. 
 “LRED Damages” has the meaning set forth in Section 12.2.6. 

“Material Alterations” mean any Alterations that (i) would materially enlarge or reduce the size of the applicable
Facility, (ii) would tie in or connect with any improvements on property adjacent to the applicable Land, or (iii) would affect the structural components of the applicable Facility or the main electrical, mechanical, plumbing, elevator or
ventilating and air conditioning systems for such Facility in any material respect. 

  
 Exhibit A-7 

 “Maintenance Expenditures” means, with respect to each Facility, repairs,
replacements and improvements to such Facility (other than the Landlord Personal Property) that have been completed in a good, workmanlike and lien free fashion and in compliance with all Legal Requirements and the terms of Sections 6.4
and 6.5 applicable to any Alterations. 
 “Maintenance Expenditures Report” has the meaning set forth in
Section 6.6.1. 
 “Minimum Aggregate Maintenance Amount” has the meaning set forth in Section 6.6.1. 

“Minimum Rent Coverage Ratio” shall mean a Portfolio Coverage Ratio of 1.20 to 1.00. 

“Nonsolicitation Period” means the period commencing on the date this lease is terminated and ending the date that is six
(6) months following the expiration of the Term. 
 “Occurrence Date” has the meaning set forth in
Section 12.2.6. 
 “OFAC” has the meaning set forth in Section 9.2.1. 

“Operational Transfer” has the meaning set forth in Section 13.2.1. 

“Ordinary Course of Business” means in respect of any transaction involving Tenant, the ordinary course of business of
Tenant, as conducted by Tenant in accordance with past practices. In respect of any transaction involving a Facility or the operations thereof, the ordinary course of operations for such Facility, as conducted by Tenant in accordance with past
practices. 
 “Overage Amount” has the meaning set forth in Section 6.6.1. 

“Partial Taking” means any Condemnation of a Facility or any portion thereof that is not a Complete Taking. 

“Payment Date” means any due date for the payment of the installments of Base Rent or any other sums payable under this
Lease. 
 “Permitted Contingent Obligations” means each of the following: (i) Contingent Obligations arising in
respect of Tenant’s obligations under this Lease; (ii) Contingent Obligations resulting from endorsements for collection or deposit in the Ordinary Course of Business; (iii) Contingent Obligations incurred in the Ordinary Course of
Business, including, without limitation, Contingent Obligations with respect to debt financing issued or incurred by the Guarantor; (iv) Contingent Obligations arising with respect to customary indemnification obligations in favor of purchasers
in connection with dispositions of personal property assets permitted under this Lease; and (v) other Contingent Obligations not permitted by clauses (i) through (iv) above, not to exceed, with respect to each Tenant, $100,000 in the
aggregate at any time outstanding. 
 “Permitted Debt” means of the following: (i) the obligations of Tenant under
this Lease, and (ii), any financing arising and paid on a timely basis in the Ordinary Course of Business other than leasehold financing, including, without limitation, Permitted Contingent Obligations. 

  
 Exhibit A-8 

 “Permitted Encumbrances” means, with respect to each Facility, collectively,
(i) all easements, covenants, conditions, restrictions, agreements and other matters with respect to such Facility that (a) are of record as of the Commencement Date, (b) Landlord entered into after the Commencement Date (subject to
the terms hereof); or (c) are specifically consented to in writing by Landlord, (ii) any liens for Impositions that are not yet due and payable; (iii) occupancy rights of residents and patients of such Facility; and (iv) liens of
mechanics, laborers, materialman, suppliers or vendors for sums not yet due, provided that such reserve or other appropriate provisions as shall be required by law or GAAP or pursuant to prudent commercial practices shall have been made therefor.

 “Person” means any individual, partnership, association, corporation, limited liability company or other entity. 

“Plans and Specifications” has the meaning set forth in Section 6.5.1. 

“Portfolio Coverage Ratio” means, as determined on a Testing Date based on the applicable period of determination or
measurement, the ratio of (i) the Cash Flow for all of the Facilities for the applicable period to (ii) Base Rent payments relating to such Facilities payable under this Lease for the applicable period. 

“Post-Casualty Facility” has the meaning set forth in Section 10.5. 

“Premises” means, collectively, the Land, Leased Improvements, Related Rights, Fixtures, Intangibles and Landlord Personal
Property. 
 “Premises Condition Report” has the meaning set forth in Section 6.2. 

“Primary Intended Use” means, as to each Facility, the type of healthcare facility corresponding to such Facility as shown on
Schedule 2 attached hereto, with no less than the number of licensed beds as shown on Schedule 2 and for ancillary services relating thereto. 

“Prime Rate” means, on any date, a rate equal to the annual rate on such date reported in The Wall Street Journal to
be the “prime rate.” 
 “Prohibited Persons” has the meanings set forth in Section 9.2.1. 

“Provider Agreements” means any agreements issued to or held by Tenant pursuant to which any Facility is licensed, certified,
approved or eligible to receive reimbursement under any Third Party Payor Program. 
 “Real Property Impositions” mean any
real property Impositions secured by a lien encumbering any Facility or any portion thereof. 
 “Reimbursement Period” has
the meaning set forth in Section 13.2.5. 
 “Related Rights” means all easements, rights and appurtenances relating to
the Land and the Leased Improvements. 
 “REIT Parent” means CareTrust REIT, Inc., a Maryland corporation. 

  
 Exhibit A-9 

 “REIT Parent Weighted Average Cost of Capital” means the weighted average cost
of the debt and equity capital of REIT Parent for the ninety (90) day period immediately preceding the date of determination. Such weighted average cost of capital shall be determined by taking into account the proportional relevance of
each of the following components based upon the targeted capital structure of REIT Parent as of the date of determination: (i) the cost of common equity, which is equal to the twelve (12) month forward funds from operation per share
consensus estimate divided by the average common stock price for the period of determination, divided by ninety-five percent (95%); (ii) the cost of preferred equity, which is equal to the weighted average dividend yield of all outstanding
series of preferred stock; (iii) the cost of debt, which is equal to the ten (10) year Treasury Rate plus a spread equal to the indicative spread on REIT Parent’s largest outstanding note plus thirty (30) basis points; and
(iv) the cost of internally generated cash, which is equal to the all-in drawn rate on REIT Parent’s revolving credit facility. 

“Rent” means, collectively, Base Rent and Additional Rent. 

“Request for Advance” has the meaning set forth in Section 6.7. 

“Required Per Bed Annual Capital Expenditures Amount” means an amount per licensed bed per Lease Year that Tenant is required
to expend on Capital Expenditures with respect to each Facility, which amount shall be Four Hundred Dollars ($400). 
 “Required
Reconstruction Approvals” has the meaning set forth in Section 10.5. 
 “Situs State” means the state or
commonwealth where a Facility is located. 
 “Temporary Taking” means any Condemnation of a Facility or any portion
thereof, whether the same would constitute a Complete Taking or a Partial Taking, where the Condemnor or its designee uses or occupies such Facility, or any portion thereof, for no more than twelve consecutive (12) months. 

“Tenant” has the meaning set forth in the opening preamble, together with any and all permitted successors and assigns of the
Tenant originally named herein. 
 “Tenant Personal Property” shall have the meaning set forth in Section 5.1. 

“Tenant Sublessees” mean Tenant, and any direct or indirect subtenants or operator of any Facility, together with their
successors and assigns and any additions thereto or replacements thereof. 
 “Term” means the Initial Term, plus any duly
authorized Extension Terms. 
 “Terminated Facilities” has the meaning set forth in Section 12.2.6. 

“Termination Notice” has the meaning set forth in Section 12.2.6. 

“Testing Date” means the date as of which the Portfolio Coverage Ratio shall be determined for the applicable measurement
period, which date shall be the last day of each calendar quarter during the Term. Upon each Testing Date, the Portfolio Coverage Ratio shall be determined based upon the twelve trailing calendar months ending on such Testing Date. 

“Third Party Payor Programs” shall mean any third party payor programs pursuant to which healthcare facilities qualify for
payment or reimbursement for medical or therapeutic care or other goods or services rendered, supplied or administered to any admittee, occupant, resident or patient by or from any Governmental Authority, Governmental Payor, bureau, corporation,
agency, commercial insurer, non-public entity, “HMO,” “PPO” or other comparable party. 

  
 Exhibit A-10 

 “Transfer” means any of the following, whether effectuated directly or
indirectly, through one or more step transactions or tiered transactions, voluntarily or by operation of law, (i) assigning, conveying, selling, pledging, mortgaging, hypothecating or otherwise encumbering, transferring or disposing of all or
any part of this Lease or Tenant’s leasehold estate hereunder, (ii) subletting of all or any part of any Facility; (iii) engaging the services of any Person for the management or operation of all or any part of any Facility;
(iv) conveying, selling, assigning, transferring, pledging, hypothecating, encumbering or otherwise disposing of any stock, partnership, membership or other interests (whether equity or otherwise) in Tenant, Guarantor or any Person that
Controls Tenant or any Guarantor, if such conveyance, sale, assignment, transfer, pledge, hypothecation, encumbrance or disposition results, directly or indirectly, in a Change in Control of Tenant or Guarantor (or of such controlling Person);
(v) merging or consolidating Tenant, Guarantor, or any Person that Controls Tenant or Guarantor with or into any other Person, if such merger or consolidation, directly or indirectly, results in a Change in Control of Tenant or Guarantor (or in
such controlling Person); (vi) dissolving Tenant or Guarantor or any Person that Controls Tenant or Guarantor; (vii) selling, conveying, assigning, or otherwise transferring all or substantially all of the assets of Tenant, Guarantor or
any Person that Controls Tenant or Guarantor; (viii) selling, conveying, assigning or otherwise transferring any of the assets of Tenant or Guarantor, if the consolidated net worth of Tenant or Guarantor immediately following such transaction
is not at least equal to the consolidated net worth of Tenant or Guarantor, as applicable, as of the Commencement Date; (ix) assigning, conveying, selling, pledging, mortgaging, hypothecating or otherwise encumbering, transferring or disposing
of any Authorization; or (ix) entering into or permitting to be entered into any agreement or arrangement to do any of the foregoing or granting any option or other right to any Person to do any of the foregoing, other than to Landlord under
this Lease. For purposes hereof, Guarantor shall be deemed a Person that Controls Tenant, whether or not the same is true. 

“Transition Notice” shall have the meaning set forth in Section 13.2.1. 

  
 Exhibit A-11 

 EXHIBIT B 

DESCRIPTION OF THE LAND 

  
 Exhibit B-1 

 EXHIBIT C 

THE LANDLORD PERSONAL PROPERTY 

All machinery, equipment, furniture and other personal property located at or about any Facility and that is necessary to own, operate or
maintain any Facility in accordance with the terms of this Lease, together with all replacements, modifications, alterations and substitutes thereof (whether or not constituting an upgrade) but excluding the following: 

(a) all office supplies, medical supplies, food supplies, housekeeping supplies, laundry supplies, and inventories and
supplies physically on hand at the Facility; 
 (b) all customer lists, patient files, and records related to patients
(subject to patient confidentiality privileges) and all books and records with respect to the operation of the Facility; 

(c) all employee time recording devices, proprietary software and discs used in connection with the operation of the
Facility by Tenant or any Person who manages the operations of any Facility, all employee pagers, employee manuals, training materials, policies, procedures, and materials related thereto with respect to the operation of the Facilities; and 

(d) all telephone numbers, brochures, pamphlets, flyers, mailers, and other promotional materials related to the marketing
and advertising of the Tenant’s business at the Facility. 

  
 Exhibit C 

 EXHIBIT D 

FINANCIAL, MANAGEMENT AND REGULATORY REPORTS 

FINANCIAL REPORTING 

 
  

	 	•	 	Quarterly Financial Reporting: 

  

	 	•	 	No later than 60 days after the end of each fiscal quarter of Tenant, Tenant shall deliver to Landlord, presented on a consolidated, quarterly and year-to-date unaudited financial statements prepared for the applicable
quarter with respect to Guarantor. Such reports shall include: 

  

	 	•	 	A consolidated balance sheet as of the end of such fiscal quarter; 

  

	 	•	 	Related consolidated statements of income; 

  

	 	•	 	A consolidated statement setting forth in reasonable detail the calculation and Tenant’s compliance with each of the covenants set forth in Section 5.12 of this Lease for the applicable fiscal quarter; and

  

	 	•	 	A consolidating Facility-by-Facility basis statement of income and related operating status (including occupancy and skilled mix). 

  

	 	•	 	Together with its delivery to Landlord of the quarterly financial reports and statements required hereunder, Tenant shall deliver, or cause to be delivered, to Landlord, an Officer’s Certificate (for Tenant and a
separate Officer’s Certificate (from an officer of any Guarantor) for any financial reports of statements of Guarantor) certifying that the foregoing statements and reports are true and correct and were prepared in accordance with GAAP, applied
on a consistent basis, subject to changes resulting from audit and normal year-end audit adjustments. 

  

	 	•	 	Annual Financial Reporting: As soon as available, and in any event within 90 days after the close of each fiscal year of Tenant, Tenant shall deliver to Landlord, presented on a consolidated basis,
financial statements prepared for such fiscal year with respect to Guarantor, including a balance sheet and operating statement as of the end of such fiscal year, together with related statements of income and members’, partners’, or
owners’ capital for such fiscal year. 

  

	 	•	 	The annual financial statements delivered by Guarantor hereunder, shall have been audited by an independent certified public accounting firm reasonably satisfactory to Landlord, whose opinion shall be to the effect that
such financial statements have been prepared in accordance with GAAP, applied on a consistent basis, and shall not be qualified as to the scope of the audit or as to the status of any Tenant or Guarantor as a going concern. 

 

	 	•	 	 Audit and Other Inspection Rights: Without limitation of Tenant’s other obligations as set forth in this Lease or this Exhibit D,
Landlord shall have the right, from time to time and at its expense (unless an Event of Default exists, in which case Tenant shall, within ten (10) days after demand therefor, reimburse Landlord for any and all costs and expenses incurred by
Landlord in connection with exercising its rights under this paragraph), to audit and inspect the books, records and accounts of Tenant or any Guarantor and/or relative to any Facility(ies) designated by Landlord from time to time, provided,
however, that, (a) if no Event of Default exists, Landlord 

  
 Exhibit D-1 

	 	 
shall give Tenant not less than thirty (30) days advance written notice of the commencement of any such inspection and (b) Landlord shall not require or perform any act that would cause
Tenant or any Guarantor to violate any laws, regulations or ordinances relating to employment records or that protect the privacy rights of Tenant’s or Guarantor’s employees, healthcare patients or residents. Tenant shall reasonably
cooperate (and shall cause its independent accountants and other financial advisors to reasonably cooperate) with all such inspections. Such inspections shall be conducted in a manner that does not materially interfere with Tenant’s business
operations or the business operations relative to any affected Facility(ies). Unless otherwise agreed in writing by Landlord and Tenant, such inspections shall occur during normal business hours. 

 

	 	•	 	Method of Delivery: All financial statements, reports, data and other information required to be delivered by Tenant (or Guarantor) pursuant hereto shall be delivered via email to such email address as
Landlord may designate from time to time and shall be in the format and otherwise in the form required pursuant to Section 5.7; provided that the timely filing of any such reports with the SEC shall be deemed delivery to Landlord hereunder.

 REGULATORY REPORTING 

 

	 	•	 	Regulatory Reports with respect to each Facility: Within thirty (30) days after Tenant’s receipt, Tenant shall deliver to Landlord by written notice the following regulatory reports with respect
to each Facility: 

  

	 	•	 	If applicable, and upon request of Landlord, Medicaid cost reports for the Facility within ten days after filing of the report with the State agency, and with respect to surveys with a G tag or higher, any State and
federal health care survey and inspection reports, inspector exit interview notes and report, plans of correction, re-survey reports, evidence of annual license renewal, HIPDB adverse action report, notice of any investigation, inspection or survey
by licensing authorities, notice of licensure deficiencies or admissions ban, issuance of a provisional or temporary license and all correspondence regarding any of the foregoing for each Facility – within thirty (30) days after receipt by
Tenant. 

  

	 	•	 	Reports of Regulatory Violations: Within two (2) Business Days after Tenant’s receipt of any of the following, Tenant shall deliver to Landlord by written notice copies of the same along with all
related documentation: 

  

	 	•	 	Any suspension, termination or restriction (including immediate jeopardy) placed upon Tenant (or Guarantor) or any Facility, the operation of any Facility or the ability to admit residents or patients; or

  

	 	•	 	The inclusion of any Facility on the “Special Focus List” maintained by CMS. 

ANNUAL BUDGETS 

 
  

	 	•	 	Annual Budgets: At least sixty (60) days after commencement of each calendar year of Tenant during the Term, Tenant shall deliver to Landlord an annual operating budget (on an EBITDAR basis) covering
the operations of each Facility for the forthcoming calendar year, which budget shall include month-to-month projections. 

  
 Exhibit D-2 

 EXHIBIT E 

FAIR MARKET VALUE 
 If it
becomes necessary to determine the Fair Market Value of the Premises or any individual Facility for any purpose under this Lease, Landlord and Tenant shall first attempt to agree on such Fair Market Value. If Landlord and Tenant are unable to so
agree within a reasonable period of time not to exceed thirty (30) days, then Landlord and Tenant shall have twenty (20) days to attempt to agree upon a single Appraiser to make such determination. If the parties so agree upon a single
Appraiser, such Appraiser shall, within forty-five (45) days of being engaged, determine the Fair Market Value as of the relevant date (giving effect to the impact, if any, of inflation from the date of its decision to the relevant date), and
such determination shall be final and binding upon the parties. 
 If Landlord and Tenant are unable to agree upon a single Appraiser within
such twenty (20) days, then each party shall have ten (10) days in which to provide the other with the name of a person selected to act as Appraiser on its behalf. Each such Appraiser shall, within forty-five (45) days of being
engaged, determine the Fair Market Value as of the relevant date (giving effect to the impact, if any, of inflation from the date of its decision to the relevant date). If the difference between the amounts so determined does not exceed ten percent
(10%) of the lesser of such amounts, then the Fair Market Value shall be the average of the amounts so determined, and such average shall be final and binding upon the parties. If the difference between the amounts so determined exceeds ten
percent (10%) of the lesser of such amounts, then such two Appraisers shall have twenty (20) days to appoint a third Appraiser. If the first Appraisers fail to appoint a third Appraiser within such twenty (20) days, either Landlord or
Tenant may apply to any court having jurisdiction to have such appointment made by such court. Such third Appraiser, shall, within forty-five (45) days of being selected or appointed, determine the Fair Market Value as of the relevant date
(giving effect to the impact, if any, of inflation from the date of its decision to the relevant date). The determination of the Appraiser which differs most in terms of dollar amount from the determinations of the other two Appraisers shall be
excluded, and the Fair Market Value shall be the average of the amounts of the two remaining determinations, and such average shall be final and binding upon the parties. 

If either party fails to select an Appraiser within such ten (10) days or a selected Appraiser fails to make its determination within
such forty-five (45) days, the Appraiser selected by the other party or the Appraiser that makes its determination with such forty-five (45) days, as applicable, shall alone determine the Fair Market Value as of the relevant date (giving
effect to the impact, if any, of inflation from the date of its decision to the relevant date) and such determination shall be final and binding upon the parties. 

Landlord and Tenant shall each pay the fees and expenses of the Appraiser appointed by it and each shall pay one-half ( 1⁄2) of the fees and expenses of the third Appraiser. 

For purposes of determining the Fair Market Value, the Premises or the applicable Facility, as applicable, shall be valued at its highest and
best use which shall be presumed to be as a fully-permitted facility operated in accordance with the provisions of this Lease. In addition, the following specific matters shall be factored in or out, as appropriate, in determining the Fair Market
Value: 
 1. The negative value of (a) any deferred maintenance or other items of repair or replacement of the Premises
or the applicable Facility, (b) any then current or prior licensure or certification violations and/or admissions holds and (c) any other breach or failure of Tenant to perform or observe its obligations hereunder shall not be taken
into account; rather, the Premises or the applicable Facility, and every part thereof shall be deemed to be in the condition required by this Lease (i.e., in good order and repair and fully licensed) and Tenant shall at all times be deemed to have
operated the same in compliance with and to have performed all obligations of the Tenant under this Lease. 

  
 Exhibit E-1 

 2. The occupancy level of the Premises shall be deemed to be the average
occupancy during the period commencing on that date which is eighteen (18) months prior to the date of the initial request for the determination of the Fair Market Value, and ending on the date which is six (6) months prior to the date of
the initial request for the determination of the Fair Market Value, as the case may be. 
 As used herein, “Appraiser”
means an appraiser licensed or otherwise qualified to do business in the applicable Situs State and who has substantial experience in performing appraisals of facilities similar to the Premises and holds the Appraisal Institute’s MAI
designation, or, if such organization no longer exists or certifies appraisers, such successor organization or such other organization as is approved by Landlord. 

  
 Exhibit E-2 

 SCHEDULE 1 

LANDLORD ENTITIES 

  
 Schedule 1 

 SCHEDULE 2 

TENANT ENTITIES; FACILITY INFORMATION 
  

									
	Tenant	 	Facility Name	 	Facility Address	  	Primary Intended Use	  	No. of Beds/Units
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 
	 	 	 	 	 
	 	 	 	 	 	  	 	  	 

 Defined Terms 
  

			
	“SNF”	  	Skilled Nursing Facility
	“ALF”	  	Assisted Living Facility
	“ILF”	  	Independent Living Facility
	“ALZ”	  	Alzheimer’s Care/Memory Care Facility

  
 Schedule 2 

 SCHEDULE 3 

TENANT OWNERSHIP STRUCTURE 

  
 Schedule 3 

 SCHEDULE 4 

FORM OF REQUEST FOR ADVANCE 
 Request
for Advance 
 c/o [LANDLORD ENTITY NAME] 

______________________ 
 ______________________ 

Attention: Lease Administration 
 Reference: [TENANT NAME];
Improvement Funds 
 To Whom It May Concern: 
 Reference is
hereby made to that certain Master Lease dated effective as of [                    ], by and among
[                                ], as “Tenant”, and
[                                ], as “Landlord”(as amended,
modified or revised, the “Lease”). Capitalized terms used but not otherwise defined herein shall have the meanings given them in the Lease. 

1. Pursuant to Section 6.7 of the Lease, Tenant hereby submits this request for advance (“Request for Advance”) and requests that
Landlord make an advance (an “Advance”) to Tenant of the Improvement Funds in an amount equal to $                    . 

 

	2.	Tenant requests that such Advance be made available on             , 201    . 

3. The aggregate amount of all outstanding Advances as of the date hereof and as of the date of the making of the requested Advance (after taking into account
the amount of such Advance) does not exceed the Facility Improvement Fund Cap for the applicable Facility. 
 4. Attached hereto are true, correct, and
complete copies of the items required pursuant to Section 6.7 of the Lease to be submitted by Tenant to Landlord in connection with the requested Advance. 

5. Tenant hereby certifies to Landlord as of the date hereof and as of the date of making of the requested Advance (after taking into effect such Advance)
that: 
 (A) No Event of Default exists or will exist under the Lease and no default beyond any applicable cure period exists or will exist under any of the
documents executed by Tenant in connection with the Lease. 
 (B) Tenant has complied in all material respects with all duties and obligations required to
date to be carried out and performed by it pursuant to the terms of the Section 6.7 of the Lease. All conditions precedent set forth in Section 6.7 to the making of the Advance have been satisfied. 

(C) All Advances previously disbursed have been used for the purposes set forth in Section 6.7 of the Lease and in the Request for Advance applicable to
any such Advance. 
 (D) All outstanding claims for labor, materials, and/or services furnished prior to the period covered by this Request for Advance have
been paid or will be paid from the proceeds of this Advance, except to the extent the same are being duly contested in accordance with the terms of the Lease. 

  
 Schedule 4-1 

 (E) The Advance requested hereby will be used solely for the purpose of paying costs of the Capital Alterations
as shown on the attached report and no portion of the Advance requested hereunder has been the basis for any prior Advance. 
 (F) There are no liens
outstanding against the Premises (or any portion thereof) or its equipment other than liens, if any, which have been disclosed in writing to Landlord that are being duly contested in accordance with the terms of the Lease. 

(G) All representations and warranties of Tenant contained in the Lease are true and correct in all material respects as of the date hereof. 

The undersigned certifies that the statements made in this Request for Advance and any documents submitted herewith are true and correct. 

TENANT: 

                         
               , 
 a(n)
                                 

 

			
	By:	 	 
	Name:	 	 
	Title:	 	 

  
 Schedule 4-2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00231-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00231-of-00352.parquet"}]]