Document:

Exhibit

Exhibit 10.12
 

FIRST AMENDMENT TO
AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT
OF
ARC HOSPITALITY PORTFOLIO II HOLDCO, LLC

This FIRST AMENDMENT TO AMENDED AND RESTATED LIMITED LIABILITY COMPANY AGREEMENT (this “Amendment”) of ARC HOSPITALITY PORTFOLIO II HOLDCO, LLC (the “Company”), entered into as of October 6, 2015, by and among AMERICAN REALTY CAPITAL HOSPITALITY PORTFOLIO MEMBER, LP, a Delaware limited partnership (together with its successors and permitted assigns in such Person’s capacity as a member of the Company, the “Class B Member”), W2007 EQUITY INNS PARTNERSHIP, L.P., a Tennessee limited partnership, and W2007 EQUITY INNS TRUST, a Maryland trust (collectively, and together with their respective successors and permitted assigns, each in such Person’s capacity as a member of the Company, the “Class A Member”), amends that certain Amended and Restated Limited Liability Company Agreement of the Company (the “Agreement”), dated February 27, 2015, by and among the Class A Member, the Class B Member and William G. Popeo, as the Special Member.  Capitalized terms used and not otherwise defined herein shall have the meaning ascribed to them in the Agreement.

RECITALS

WHEREAS, the Mortgage Borrowers are in the process of refinancing the loan in the principal amount of $227,000,000.00 made to the Mortgage Borrowers by Ladder Capital Finance LLC (“Ladder”) and Deutsche Bank AG, New York Branch by entering into a new loan agreement with Ladder and German American Capital Corporation (together with Ladder, the “Refinance Lender”) as lenders, for a loan in the original principal amount of Two Hundred Thirty Two Million and 0/100 Dollars ($232,000,000.00) (the “New Loan”), and
WHEREAS, the Class A Member and the Class B Member desire to enter into this Amendment in order to accurately reference the New Loan.
NOW, THEREFORE, in order to carry out the intentions expressed above and in consideration of the mutual agreements hereinafter contained, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, each of the Class A Member and the Class B Member hereby agree to amend the Agreement as follows.

		
	1.
	Section 1.1 of the Agreement is hereby amended as follows:

		
	a.
	The definition of “Mortgage Loan” is hereby deleted in its entirety and restated as follows:

“Mortgage Loan” means the loan in the original principal amount of Two Hundred Thirty Two Million and 00/100 Dollars ($232,000,000.00) made by Mortgage Lender 

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Exhibit 10.12
 

to Borrower in accordance with the terms, conditions and provisions of the Mortgage Loan Documents.

		
	b.
	The definition of “Mortgage Loan Agreement” is hereby deleted in its entirety and restated as follows:

“Mortgage Loan Agreement” means that certain Loan Agreement, among the Borrowers and Lender, dated October 6, 2015, as the same may be amended, restated, replaced, supplemented or otherwise modified from time to time.

		
	c.
	The definition of “Recognition Agreements” is hereby deleted in its entirety and restated as follows:

“Recognition Agreements” means, collectively, (i) that certain Recognition Agreement, dated as of October 6, 2015, by and among Mortgage Lender, Mortgage Borrower, TRS and the Class A Member, and (ii) any recognition agreement hereafter entered into by the Class A Member with respect to any Additional Mezzanine Loan.

		
	3.
	Schedule 1.1(b) of the Agreement is hereby deleted in its entirety and restated as set forth on Exhibit A attached hereto.

		
	4.
	Effective as of the date hereof, this Amendment amends and is hereby incorporated in and forms a part of the Agreement, and except as amended hereby the Agreement is confirmed in all respects and remains in full force and effect.  The Agreement and this Amendment constitute the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior negotiations, representations or agreements relating thereto, whether written or oral.  No amendment or modification of this Amendment shall be valid or binding upon the parties unless in writing and signed by the parties hereto. 

		
	5.
	The parties agree that if any provision of this Amendment is found to be invalid or unenforceable, it will not affect the validity or enforceability of any other provision.  This Amendment shall be governed by the laws of the State of Delaware, without regard to the choice of law principles thereof.

[SIGNATURE PAGES FOLLOW]

2

Exhibit 10.12
 

IN WITNESS WHEREOF, the undersigned, intending to be legally bound hereby, have duly executed this Amendment as of the date first set forth above.

Class B Member:

ARC HOSPITALITY PORTFOLIO MEMBER, LP

By:  ARC Hospitality Portfolio Member GP, LLC, 
        its general partner

By: /s/ Paul C. Hughes     
Name:  Paul C. Hughes 
Title:    Authorized Signatory
[SIGNATURES CONTINUE ON THE FOLLOWING PAGE]

3

Exhibit 10.12
 

Class A Member:
W2007 EQUITY INNS PARTNERSHIP, L.P.

By:  W2007 Grace Acquisition I, Inc., 
        its general partner

By: /s/ Gregory M. Fay     
Name:  Gregory M. Fay 
Title:    Vice President
W2007 EQUITY INNS TRUST 

By: /s/ Todd Giannoble     
Name:  Todd Giannoble 
Title:    Administrative Trustee

4

Exhibit 10.12
 

EXHIBIT A

Replacement Schedule 1.1(b)

Mortgage Loan Documents

All documents dated as of October 6, 2015 unless otherwise stated herein.
		
	1.
	Loan Agreement, between the entities identified as borrowers therein (individually, each, a “Borrower” and collectively, “Borrowers”), Ladder Capital Finance LLC (“LCF”) and German American Capital Corporation (“GACC”, and together with LCF, collectively, “Lender”);

		
	2.
	Promissory Note A-1 by Borrowers to LCF in the original principal sum of $60,000,000;

		
	3.
	Promissory Note A-2 by Borrowers to LCF in the original principal sum of $39,600,000;

		
	4.
	Promissory Note A-3 by Borrowers to LCF in the original principal sum of $39,600,000;

		
	5.
	Promissory Note A-4 by Borrowers to GACC in the original principal sum of $40,000,000;

		
	6.
	Promissory Note A-5 by Borrowers to GACC in the original principal sum of $26,400,000;

		
	7.
	Promissory Note A-6 by Borrowers to GACC in the original principal sum of $26,400,000;

		
	8.
	Deed to Secure Debt, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC in favor of Lender, to be recorded in Chatham County, Georgia;

		
	9.
	Deed to Secure Debt, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Whitfield County, Georgia;

		
	10.
	Deed to Secure Debt, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in Richmond County, Georgia;

		
	11.
	Deed of Trust, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP in favor of Lender, to be recorded in Buncombe County, North Carolina;

		
	12.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Orange County, Florida;

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Exhibit 10.12
 

		
	13.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Orange County, Florida;

		
	14.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC in favor of Lender, to be recorded in Duval County, Florida;

		
	15.
	Deed of Trust, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP in favor of Lender, to be recorded in Travis County, Texas;

		
	16.
	Deed of Trust, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC HIL TRS, LP in favor of Lender, to be recorded in Brazos County, Texas; 

		
	17.
	Deed of Trust, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP in favor of Lender, to be recorded in Harris County, Texas;

		
	18.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in DuPage County, Illinois;

		
	19.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC in favor of Lender, to be recorded in Champaign County, Illinois;

    
		
	20.
	Open-End Mortgage Deed, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in New Haven County, Connecticut.

		
	21.
	Open-End Mortgage Deed, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Stratford, LLC and ARC Hospitality TRS Stratford, LLC in favor of Lender, to be recorded in Fairfield County, Connecticut;

		
	22.
	Deed of Trust, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in King County, Washington;

		
	23.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Jefferson County, Kentucky;

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Exhibit 10.12
 

		
	24.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in Marion County, Indiana;

		
	25.
	Mortgage by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC in favor of Lender, to be recorded in Ingham County, Michigan;

		
	26.
	Mortgage, Assignment of Leases and Rents and Security Agreement by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Sandoval County, New Mexico;

		
	27.
	Deed of Trust, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP in favor of Lender, to be recorded in San Diego County, California;

		
	28.
	Deed of Trust, Assignment of Leases and Rents, Security Agreement and Fixture Filing by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in Blount County, Tennessee;

		
	29.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC to Lender, to be recorded in Chatham County, Georgia;

		
	30.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender, to be recorded in Whitfield County, Georgia;

		
	31.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC to Lender, to be recorded in Richmond County, Georgia;

		
	32.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP to Lender, to be recorded in Buncombe County, North Carolina;

		
	33.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender, to be recorded in Orange County, Florida;

		
	34.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender, to be recorded in Orange County, Florida;

		
	35.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC to Lender, to be recorded in Duval County, Florida;

		
	36.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP to Lender, to be recorded in Travis County, Texas;

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Exhibit 10.12
 

		
	37.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC HIL TRS, LP to Lender, to be recorded in Brazos County, Texas; 

		
	38.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP to Lender, to be recorded in Harris County, Texas;

		
	39.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC to Lender, to be recorded in DuPage County, Illinois;

		
	40.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC to Lender, to be recorded in Champaign County, Illinois;

    
		
	41.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC to Lender, to be recorded in New Haven County, Connecticut;

		
	42.
	Assignment of Leases and Rents by ARC Hospitality Stratford, LLC and ARC Hospitality TRS Stratford, LLC to Lender, to be recorded in Fairfield County, Connecticut;

		
	43.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC to Lender, to be recorded in King County, Washington;

		
	44.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender, to be recorded in Jefferson County, Kentucky;

		
	45.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC to Lender, to be recorded in Marion County, Indiana;

		
	46.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC in favor of Lender, to be recorded in Ingham County, Michigan;

		
	47.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC in favor of Lender, to be recorded in Sandoval County, New Mexico;

		
	48.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP in favor of Lender, to be recorded in San Diego County, California;

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Exhibit 10.12
 

		
	49.
	Assignment of Leases and Rents by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II HIL TRS, LLC in favor of Lender, to be recorded in Blount County, Tennessee;

		
	50.
	Cash Management Agreement between Borrowers, ARC Hospitality Portfolio II TRS Holdco, LLC, Lender and Wells Fargo Bank, N.A.; 

		
	51.
	Deposit Account Control Agreement (Crestline) between ARC Hospitality Portfolio II TRS Holdco, LLC, ARC Hospitality Portfolio II MISC TRS, LLC, ARC Hospitality Portfolio II Owner, LLC, ARC Hospitality Portfolio Owner II NTC Owner, LP, ARC Hospitality Portfolio II TRS, LLC, ARC Hospitality Portfolio II NTC TRS, LP, Lender and Wells Fargo Bank, N.A.;

		
	52.
	Deposit Account Control Agreement (McKibbon) between ARC Hospitality Portfolio II TRS Holdco, LLC, ARC Hospitality Portfolio II Owner, LLC, ARC Hospitality Portfolio II NTC Owner, LP, ARC Hospitality Portfolio II MISC TRS, LLC, ARC Hospitality Portfolio NTC TRS, LP, Lender and Wells Fargo Bank, N.A.;

		
	53.
	Deposit Account Control Agreement (Hilton) between ARC Hospitality Portfolio II TRS Holdco, LLC, ARC Hospitality Portfolio II Owner, LLC, ARC Hospitality Portfolio II NTC Owner, LP, ARC Hospitality Portfolio II HIL TRS, LLC, ARC Hospitality Portfolio II NTC HIL TRS, LP, Borrowers, Lender and Wells Fargo Bank, N.A.;

		
	54.
	Deposit Account Control Agreement (Stratford) between ARC Hospitality TRS Holding, LLC, ARC Hospitality Stratford, LLC, ARC Hospitality TRS Stratford, LLC, Lender and Wells Fargo Bank, N.A.; 

		
	55.
	Guaranty of Recourse Obligations by American Realty Capital Hospitality Trust, Inc. (“Guarantor”) for the benefit of Lender;

		
	56.
	Environmental Indemnity Agreement by Borrowers and Guarantor in favor of Lender;

		
	57.
	Recognition Agreement by and between Lender, W2007 Equity Inns Trust and W2007 Equity Inns, L.P.;

		
	58.
	Assignment of Management Agreement and Subordination of Management Fees (Operating Agreement) (Crestline) by ARC Hospitality Portfolio II NTC TRS, LP, ARC Hospitality Portfolio II MISC TRS, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender and consented and agreed to by American Realty Capital Hospitality Grace Portfolio, LLC and ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II NTC Owner, LP;

		
	59.
	Assignment of Management Agreement and Subordination of Management Fees (Operating Agreement) (McKibbon) by ARC Hospitality Portfolio II NTC TRS, LP and ARC Hospitality Portfolio II MISC TRS, LLC to Lender and consented and agreed to by American 

9

Exhibit 10.12
 

Realty Capital Hospitality Grace Portfolio, LLC, ARC Hospitality Portfolio II Owner, LLC, and ARC Hospitality Portfolio II NTC Owner, LP;

		
	60.
	Assignment of Management Agreement and Subordination of Management Fees (Operating Agreement) (Hilton) by ARC Hospitality Portfolio II HIL TRS, LP and ARC Hospitality Portfolio II NTC HIL TRS, LP to Lender and consented and agreed to by American Realty Capital Hospitality Grace Portfolio, LLC and ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II NTC Owner, LP;

		
	61.
	Assignment of Management Agreement and Subordination of Management Fees (Operating Agreement) (Courtyard Houston) by ARC Hospitality Portfolio II NTC TRS, LP to Lender and consented and agreed to by American Realty Capital Hospitality Grace Portfolio, LLC and ARC Hospitality Portfolio II NTC Owner, LP;

		
	62.
	Assignment of Management Agreement and Subordination of Management Fees (Operating Agreement) (Stratford) by ARC Hospitality TRS Stratford, LLC to Lender and consented and agreed to by American Realty Capital Hospitality Grace Portfolio, LLC and ARC Hospitality Stratford, LLC;

		
	63.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (Crestline) by ARC Hospitality Portfolio II NTC TRS, LP, ARC Hospitality Portfolio II MISC TRS, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender and consented and agreed to by ARC Hospitality Portfolio II Owner, LLC, ARC Hospitality Portfolio II NTC Owner, LP, American Realty Capital Hospitality Properties, and LLC Crestline Hotels & Resorts, LLC;

		
	64.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (McKibbon) by ARC Hospitality Portfolio II NTC TRS, LP and ARC Hospitality Portfolio II MISC TRS, LLC to Lender and consented and agreed to by ARC Hospitality Portfolio II Owner, LLC, ARC Hospitality Portfolio II NTC Owner, LP, American Realty Capital Hospitality Properties, LLC and McKibbon Hotel Management, Inc.;

		
	65.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (Hampton Inn) by ARC Hospitality Portfolio II HIL TRS, LP to Lender and consented and agreed to by ARC Hospitality Portfolio II Owner, LLC American Realty Capital Hospitality Properties, LLC and Hampton Inns Management LLC;

		
	66.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (Homewood Suites) by ARC Hospitality Portfolio II HIL TRS, LP to Lender and consented and agreed to by ARC Hospitality Portfolio II Owner, LLC American Realty Capital Hospitality Properties, LLC and Homewood Suites Management LLC;

10

Exhibit 10.12
 

		
	67.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (Courtyard Houston) by ARC Hospitality Portfolio II NTC TRS, LP to Lender and consented and agreed to by ARC Hospitality Portfolio II NTC Owner, LP, American Realty Capital Hospitality Properties, LLC and Crestline Hotels & Resorts, LLC;

		
	68.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement) (Stratford) by ARC Hospitality TRS Stratford, LLC to Lender and consented and agreed to by ARC Hospitality Stratford, LLC, American Realty Capital Hospitality Properties, LLC and Crestline Hotels & Resorts, LLC;

		
	69.
	Liquor License Agreement, made by ARC Hospitality Portfolio II TX Beverage Company, LLC, ARC Hospitality Portfolio II NTC TRS, LP, and ARC Hospitality Portfolio II NTC Owner, LP to Lender;

		
	70.
	Assignment of Management Agreement and Subordination of Management Fees (Management Agreement), made by ARC Hospitality Portfolio II NTC TRS, LP to Lender and consented to by ARC Hospitality Portfolio II NTC Owner, LP, ARC Hospitality Portfolio II TX Beverage Company, LLC and Crestline Hotels and Resorts LLC;

		
	71.
	Pledge and Security Agreement (Texas) made by ARC Hospitality Portfolio TX Holdings, LLC to Lender, acknowledged and agreed to by ARC Hospitality Portfolio II TX Beverage Company, LLC, ARC Hospitality Portfolio II NTC TRS, LP and ARC Hospitality Portfolio II NTC Owner, LP;

		
	72.
	Contribution Agreement, made by and between Borrowers and Lender;

		
	73.
	Borrowers’ Closing Certificate, made by Borrowers to Lender;

		
	74.
	Anti-Coercion statement, made by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC, and delivered to Lender; 

		
	75.
	 Anti-Coercion statement, made by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC, and delivered to Lender;

		
	76.
	Anti-Coercion statement, made by ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC, and delivered to Lender;

		
	77.
	Notice to Owner – Mortgagor, from ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender; 

		
	78.
	 Notice to Owner – Mortgagor, from ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II TRS, LLC to Lender;

		
	79.
	Notice to Owner – Mortgagor, from ARC Hospitality Portfolio II Owner, LLC and ARC Hospitality Portfolio II MISC TRS, LLC to Lender;

11

Exhibit 10.12
 

		
	80.
	Notice and Agreement, by and between ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP and Lender;

		
	81.
	Notice and Agreement, by and between ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC HIL TRS, LP and Lender;

		
	82.
	Notice and Agreement, by and between by ARC Hospitality Portfolio II NTC Owner, LP and ARC Hospitality Portfolio II NTC TRS, LP and Lender;

		
	83.
	UCC-1 Financing Statements to be filed in each of the applicable locations set forth on Schedule I;

		
	84.
	UCC-1 Financing Statements, naming each Borrower, as debtor, and Lender, as secured party, to be filed with Delaware Secretary of State;

		
	85.
	UCC-1 Financing Statement pertaining to the Texas Liquor License Agreement; 

		
	86.
	Post-Closing Obligations Letter, by Borrowers for the benefit of Lender; and

		
	87.
	Title Company Escrow Letter, by and between Borrowers, First American Title Insurance Company, National Land Tenure Company LLC, and Lender.

12

Exhibit 10.12
 

SCHEDULE I

	
			
	Property
	Address
	City/State/ 
Zip

	Hampton Inn Orlando International Drive/Convention Center
	8900 Universal Boulevard
	Orlando, FL 32819

	Homewood Suites by Hilton Orlando – International Drive/Convention Center
	8745 International Drive
	Orlando, FL 32819

	Courtyard Dalton
	411 Holiday Drive
	Dalton, GA 30720

	Hilton Garden Inn Albuquerque –North/Rio Rancho
	1771 Rio Rancho Boulevard
	Albuquerque, NM 87124

	Hampton Inn Milford
	129 Plains Road
	Milford, CT 06460

	Homewood Suites by Hilton Augusta
	1049 Stevens Creek Road
	Augusta, GA 30907

	Hampton Inn Chicago/Naperville
	1087 East Diehl Road
	Naperville, IL 60563

	Hampton Inn Indianapolis –NE/Castleton
	6817 East 82nd Street
	Indianapolis, IN 46250

	Hampton Inn Knoxville – Airport
	148 International Avenue
	Alcoa, TN 37701

	Homewood Suites by Hilton Seattle Downtown
	206 Western Avenue West
	Seattle, WA 98119

	TownePlace Suites Savannah Midtown
	11309 Abercorn Street
	Savannah, GA 31419

	Hilton Garden Inn Louisville East
	1530 Alliant Avenue
	Louisville, KY 40299

	Residence Inn Jacksonville Airport
	1310 Airport Road
	Jacksonville, FL 32218

	Hampton Inn Champaign/Urbana
	1200 West University Avenue
	Urbana, IL 61801

	Hampton Inn East Lansing
	2500 Coolidge Road
	East Lansing, MI 48823

	SpringHill Suites Asheville
	Two Buckstone Place
	Asheville, NC 28805

	Courtyard San Diego Carlsbad/McClellan-Palomar Airport
	5835 Owens Avenue
	Carlsbad, CA 92008

	Courtyard Houston I-10 West/Energy Corridor
	12401 Katy Freeway
	Houston, TX 77079

	Hampton Inn Austin – North @ I-35 & Hwy 183
	7619 I-35 North
	Austin, TX 78752

	Hampton Inn College Station
	320 Texas Avenue South
	College Station, TX 77840

	Homewood Suites - Stratford, CT
	6905 Main Street
	Stratford, CT 06615

13Exhibit

Exhibit 4.50
FIFTH AMENDMENT TO LEASE AGREEMENT 
THIS FIFTH AMENDMENT TO LEASE AGREEMENT (this “Amendment”), is entered into as of December 8, 2015, by and between OVERTAPE (CA) QRS 15-14, INC., a Delaware corporation (successor-in-interest to LBA OVERLAND, LLC, a California limited liability company, the successor-in-interest to LBA-VIF ONE, LLC, a California limited liability company) (“Landlord”) and OVERLAND STORAGE, INC., a California corporation, formerly known as OVERLAND DATA, INC. (“Tenant”).
W I T NE S S E T H:
WHEREAS, Landlord and Tenant are parties to that certain Build-To-Suit Single-Tenant Lease (Triple Net) dated as of October 12, 2000, as amended by that certain First Amendment to Lease dated January 18, 2001, as further amended by that certain Second Amendment to Lease dated as of March 8, 2001, as further amended by that certain Third Amendment to Lease Agreement dated as of July 1, 2010, and as further amended by that certain Fourth Amendment to Lease Agreement dated as of October 15, 2013 (the “Fourth Amendment”) (collectively, the “Existing Lease”) with respect to certain premises located in the City of San Diego, County of San Diego, California as more particularly described in the Lease (the “Property”);
WHEREAS, the Property contains approximately 98,250 rentable square feet in the R&D Building, 
WHEREAS, pursuant to the notice sent to Landlord on January 28, 2015, Tenant exercised its partial early termination option to terminate and surrender the First Floor Space (as defined in the Fourth Amendment) effective as of November 1, 2015 whereby the Premises was automatically reduced to, and Tenant currently leases, approximately 20,515 rentable square feet in the R&D Building, as shown on Exhibit “A” attached hereto (the “Existing Premises”);
WHEREAS, effective as of the date that the Demising Work (hereinafter defined) is substantially completed (the “Fifth Amendment Effective Date”), Tenant desires to amend the Existing Lease to surrender a portion of the Premises (the “Surrendered Premises”) and lease an additional portion of the Premises, in total leasing approximately 20,553 rentable square feet, as depicted on Exhibit “B” attached hereto (the “New Overland Premises”); and 
WHEREAS, Landlord and Tenant desire to accordingly modify the Existing Lease as provided in this Amendment.
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Landlord and Tenant hereby covenant and agree as follows:
1.Effective Date.  Unless otherwise specified in this Amendment, this Amendment and all the modifications to the Lease set forth herein shall be effective as of the Fifth Amendment Effective Date.  

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2.Definitions.    All capitalized terms contained in this Amendment shall, for the purposes hereof, have the same meanings ascribed to them in the Existing Lease unless otherwise defined herein.  From and after the Fifth Amendment Effective Date, for a period expiring on the Lease Expiration Date unless sooner terminated as provided in the Lease, as used herein, the term “Lease” shall mean the Existing Lease, as amended by this Amendment and as hereafter amended.  
3.Premises.  From and after the Fifth Amendment Effective Date, for a period expiring on the Lease Expiration Date unless sooner terminated as provided in the Lease, as used herein, all references in the Lease to the “Premises”, “Overland Premises” or the “Remaining Premises” shall mean the “New Overland Premises” as shown on Exhibit “B” attached hereto and which contains approximately 20,553 rentable square feet in the R&D Building
4.Landlord’s Demising Work.  Landlord shall perform the work necessary to separately demise the Overland Premises from the balance of the R&D Building substantially in accordance with the plans and scope of work attached hereto as Exhibit “C” (the “Demising Work”).  Except for the Demising Work and as otherwise set forth in the Lease, Landlord shall have no obligation to perform any work or make any alteration, installations or additions or otherwise prepare the Overland Premises for Tenant’s continued occupancy, and Tenant agrees to accept same in its “as-is” condition with all faults.  Tenant agrees that it shall cooperate, as reasonably requested by Landlord, with the construction obligations of the Demising Work, including, but not limited to providing access and security clearance at all reasonable times to the Overland Premises and the R&D Building to Landlord’s agents for the Demising Work.  
5.Common Area and R&D Building Expenses.  From and after the Fifth Amendment Effective Date, for a period expiring on the Lease Expiration Date unless sooner terminated as provided in the Lease, the following definitions in Section 4 of the Existing Lease (as amended by the Fourth Amendment) shall be deleted in their entirety and the following shall be inserted in lieu thereof:
“Tenant’s Pro Rata Share” means 20.92%.
“Tenants Share of Common Expenses” means 12.96%. 
“Tenant’s Share of R&D Building Expenses” means 20.92% of the R&D Building Expenses.  
6.Surviving Obligations.  Notwithstanding anything to the contrary contained herein, Tenant remains liable to Landlord with respect to any obligation that survives the termination of the Lease including, but not limited to any obligation under the Lease with respect to the First Floor Space and Surrendered Premises.
7.Termination as to Surrendered Premises.  Landlord and Tenant agree that (i) as of November 1, 2015, the Lease terminated as to the First Floor Space and (ii) as of the Fifth Amendment Effective Date, the Lease shall terminate as to the Surrendered Premises, and on such applicable date, Landlord and Tenant has no or shall have no further obligation to each other with respect to either space except as expressly set forth in any other provision of the Lease; provided however, Tenant shall vacate the Surrendered Premises and all sections of the First Floor Space and deliver the same to 

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Landlord pursuant to Section 9.1 of the Lease, free and clear of any subtenants or other occupants. Landlord and Tenant acknowledge and agree that the Rent obligations (as amended by the Fourth Amendment) shall remain unmodified and there shall be no prorations or refunds of Rent paid as of the Fifth Amendment Effective Date.  
8.Tenant Default.  Notwithstanding anything to the contrary contained herein, Landlord and Tenant’s execution and delivery of this Amendment shall not be deemed a waiver of any default by Tenant under the Lease including, but not limited to, any default with respect to the the First Floor Space or Surrendered Premises that remains uncured after the date hereof and Landlord maintains its right to exercise any and all remedies under the Lease in connection with such default. 
9.Recitals.  Landlord and Tenant agree that the recitals to this Amendment are a part of this Amendment and Landlord and Tenant expressly agree to the provisions thereof.
10.Modification.  Except as expressly set forth herein, nothing herein is intended to or shall be deemed to modify or amend any of the other terms or provisions of the Lease and all of the terms, covenants and conditions of the Lease are hereby ratified and confirmed and shall continue to be and remain in full force and effect.
11.Counterparts.  This Amendment may be executed in any number of counterparts and by the different parties thereto on separate counterparts, each of which, when so executed, shall be deemed an original, but all counterparts shall constitute but one and the same instrument.
12.Entire Agreement.  This Amendment and the Lease together contain the entire understanding between the parties hereto and supersedes all prior agreements and understandings, if any, relating to the subject matter hereof or thereof.  Any promises, representations, warranties or guarantees not herein or therein contained and hereinafter made shall have no force and effect unless in writing, and executed by the party or parties making such representations, warranties or guarantees.  Neither this Amendment nor the Lease nor any portion or provisions hereof or thereof may be changed, modified, amended, waived, supplemented, discharged, cancelled or terminated orally or by any course of dealing, or in any manner other than by an agreement in writing, signed by the party to be charged.
13.Binding Agreement.  This Amendment shall not be binding upon Landlord and Tenant until executed and delivered by both Landlord and Tenant.
14.Broker.  Landlord and Tenant represent that they have dealt with no broker(s) in connection with this Amendment, each of Landlord and Tenant agrees to indemnify, defend, hold and save the other harmless from and against any and all liabilities, damages and expenses arising from or relating to any breach or inaccuracy of the foregoing representation, warranty and agreement, which shall survive expiration, cancellation or other termination of the Lease. 
15.Enforceability.  If any provision of this Amendment or its application to any person or circumstances is invalid or unenforceable to any extent, the remainder of this Amendment, or the applicability of such provision to other persons or circumstances, shall be valid and enforceable to 

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the fullest extent permitted by law and shall be deemed to be separate from such invalid or unenforceable provisions and shall continue in full force and effect.
16.Authority of Tenant. Tenant warrants and represents unto Landlord that (i) Tenant is duly organized and existing legal entity, in good standing in the State of California and (ii) Tenant has full right and authority to execute, deliver and perform this Fifth Amendment.
		
	(i)
	

IN WITNESS WHEREOF, Landlord and Tenant have caused this Amendment to be duly executed as of the date first above written.
LANDLORD

OVERTAPE (CA) QRS 15-14, INC., a Delaware corporation

		
	By:
	/s/ Tripp Bailey    

Name: Tripp Bailey
Title: Second Vice President

TENANT:

OVERLAND STORAGE, INC., a California corporation

		
	By:
	/s/ Kurt Kalbfleisch    

Name: Kurt Kalbfleisch
Title: SVP and CFO

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EXHIBIT A
EXISTING PREMISES
[see attached]

EXHIBIT B
NEW OVERLAND PREMISES

*Tenant shall have access to the Electrical Room within the New Overland Premises via a key or electronic card provided by Landlord.

EXHIBIT C
DEMISING WORK - SCOPE OF WORK

		
	1.
	Relocate existing door in the Test Chambers room to the wall between the Test Chambers room and the lobby corridor.

		
	2.
	Install card access door and demising wall in lobby corridor between the IDF room and the Electrical room.

		
	3.
	Landlord will remove building infrastructure including electrical, plumbing, process piping,  etc. from wall between the Test Chamber room to the lobby corridor, as necessary to accommodate the new door.

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