Document:

PURCHASE AGREEMENT

 Exhibit 10.1 
  
 AGREEMENT OF PURCHASE AND SALE 
  
 by and between 
  
 HILTON GLENDALE, L.P., 
 a California
limited partnership 
 “Seller” 
  

and 
  
 EHP GLENDALE, LLC, 
 a California limited liability company 
  
 “Purchaser” 
  
 for 
  
 HILTON LOS ANGELES NORTH/GLENDALE & EXECUTIVE MEETING CENTER 
 100 West Glenoaks Blvd. 
 Glendale,
California 91202 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 TABLE OF CONTENTS 
  

					
	1.	  	AGREEMENT OF PURCHASE AND SALE	  	1
			
	2.	  	PURCHASE PRICE	  	2
			
	3.	  	PURCHASER’S INSPECTION RIGHTS/CONTINGENCY PERIOD.	  	2
			
	4.	  	TITLE.	  	3
			
	5.	  	CLOSING.	  	4
			
	6.	  	MANAGEMENT AGREEMENT AND FRANCHISE LICENSE AGREEMENT.	  	5
			
	7.	  	SELLER’S CLOSING DOCUMENTS.	  	5
			
	8.	  	CONDITIONS PRECEDENT TO CLOSING.	  	5
			
	9.	  	PURCHASER’S CLOSING ITEMS.	  	6
			
	10.	  	PRORATIONS, CLOSING ADJUSTMENTS AND POST-CLOSING SETTLEMENT.	  	6
			
	11.	  	SELLER’S REPRESENTATIONS AND WARRANTIES.	  	8
			
	12.	  	PURCHASER’S REPRESENTATIONS AND WARRANTIES AND ACKNOWLEDGEMENTS AND AGREEMENTS.	  	9
			
	13.	  	CONDUCT OF HOTEL BUSINESS/LIQUOR LICENSES.	  	11
			
	14.	  	EMPLOYEES.	  	11
			
	15.	  	LOSS BY FIRE, OTHER CASUALTY OR CONDEMNATION.	  	13
			
	16.	  	DEFAULT.	  	13
			
	17.	  	MISCELLANEOUS.	  	14

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 ADDENDUM & EXHIBIT LIST 
  

			
	Exhibit A	  	Legal Description
	Exhibit B	  	Contracts
	Exhibit C	  	Intentionally Omitted
	Exhibit D	  	Deed
	Exhibit E	  	Bill of Sale
	Exhibit F	  	Assignment of Intangible Property
	Exhibit G	  	Assignment and Assumption of Contracts
	Exhibit H	  	Non-Foreign Affidavit

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 SUMMARY OF BASIC PURCHASE AND SALE TERMS 
  
 This Summary is hereby incorporated into and made a part of the attached Agreement of Purchase and Sale (this Summary and the Agreement of
Purchase and Sale to be known collectively as this “Agreement”). Each reference in the Agreement of Purchase and Sale to any term of this Summary shall have the meaning as set forth in this Summary for such term. In the event of a conflict
between the terms of this Summary and the Agreement of Purchase and Sale, the terms of this Summary shall prevail. 
  

			
	Effective Date	    	May 17, 2005
		
	Seller	    	Hilton Glendale, L.P., a California limited partnership
		
	Purchaser	    	EHP Glendale, LLC, a California limited liability company
		
	Hotel	    	Hilton Los Angeles North/Glendale & Executive Meeting Center located at 100 West Glenoaks Boulevard, Glendale, California 91202, as more particularly described on Exhibit A, attached
hereto
		
	Purchase Price	    	$80,000,000.00 plus or minus the adjustments described in Section 10.
		
	Initial Deposit	    	$500,000.00
		
	Additional Deposit	    	$1,500,000.00
		
	Contingency Expiration Date	    	June 13, 2005
		
	Outside Closing Date	    	June 20, 2005
		
	Management Agreement	    	At the Closing, Purchaser shall enter into a Management Agreement with Seller or an affiliate of Seller as provided in Section 6 of this Agreement
		
	Franchise License Agreement	    	At the Closing, Purchaser shall enter into a Franchise License Agreement with Seller or an affiliate of Seller as provided in Section 6 of this Agreement
		
	Title Company	    	Commonwealth Land Title Insurance Company
		
	Escrow Holder	    	Commonwealth Land Title Insurance Company
		
	Cut-Off Time	    	12:01 a.m. on the Closing Date
		
	Seller’s Broker	    	Eastdil Realty
		
	Purchaser’s Broker	    	None.

  

							
	 	 	Initial Here:    	 	  

	 	  

	 May 11, 2005
 Summary of Basic
Terms
	 	 	 	  

	 	  

	 	 	Seller	 	Purchaser

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

					
	Seller’s Address	    	 Hilton Glendale, L.P.
 9336 Civic Center Drive

Beverly Hills, California 90210
 Telephone No. 310-205-4244
 Facsimile No. 310-205-4092
 Attention: Dave Sherf
	  	 With copies to:
  
 Hilton Hotels Corporation
 9336 Civic Center Drive
 Beverly Hills, California 90210
 Telephone No. 310-205-3606
 Facsimile No. 310-205-8611
 Attention: K. Allen Anderson, Esq.
  
 Landmark Law Group LLP
 10350 Santa Monica Boulevard
 Suite 295
 Los Angeles, CA 90025
 Telephone No. (310) 300-2300 x101
 Facsimile No.: (310) 300-2310
 Attention: Gulwinder S. Singh, Esq.

			
	Purchaser’s Address	    	 Eagle Hospitality Properties
 Trust, Inc.
 100 East Rivercenter Blvd.
 Suite 480
 Covington, Kentucky 41017
 Telephone No. (859) 581-5900
 Facsimile No.: (859) 581-4650
 Attention: Brian Guernier
	  	 Jeffer, Mangels, Butler & Marmaro
 1900 Avenue of the
Stars
 7th
Floor
 Los Angeles, California 90067
 Telephone No. (310)
201-3588
 Facsimile No. (310) 712-3388
 Attention: Guy Maisnik,
Esq.

		
	Title Company’s Address	    	 Commonwealth Land Title Insurance Company
 888 West Sixth Street
 Los Angeles, California 90017
 Telephone No.: (213) 627-7070 x111
 Facsimile No.: (213) 627-8722
 Attn: Amy Musselman

		
	Escrow Holder’s Address	    	 Commonwealth Land Title Insurance Company
 888 West Sixth Street
 Los Angeles, California 90017
 Telephone No.: (213) 627-7070
 Facsimile No.: (213) 627-8722
 Attn: Liz Aguilar

		
	Exhibits	    	 The following Addendum and Exhibits are incorporated herein and made a part of this Agreement:
  
 Exhibit A – Legal Description
 Exhibit B – Schedule of Leases & Contracts
 Exhibit C – Due
Diligence Documents
 Exhibit D – Deed
 Exhibit E – Bill
of Sale
 Exhibit F – Assignment of Intangible Property
 Exhibit G – Assignment and Assumption of Contracts
 Exhibit H – Non-Foreign Person Affidavit

  

							
	 	 	Initial Here:    	 	  

	 	  

	 May 11, 2005
 Summary of Basic
Terms
	 	 	 	  

	 	  

	 	 	Seller	 	Purchaser

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 AGREEMENT OF PURCHASE AND SALE 
  
 This Agreement of Purchase and Sale (this “Agreement”) is entered into as of the Effective Date, by and between Seller and
Purchaser. Seller and Purchaser hereby agree as follows: 
  

	1.	Agreement of Purchase and Sale. At the Closing, Seller and Purchaser agree to simultaneously effect and consummate all of the following interdependent transactions:

  

	 	(a)	Purchase and Sale of the Property. Subject to and upon the terms and conditions herein, Seller hereby agrees to sell to Purchaser, and Purchaser hereby agrees to purchase
from Seller: 

  

	 	(i)	All of Seller’s right, title and interest in that that certain real property located at the address for the Hotel set forth in the Summary, more particularly described in
Exhibit A attached hereto (the “Land”) ; 

  

	 	(ii)	All of Seller’s right, title and interest in all improvements and fixtures situated on the Land (the “Improvements”), including the Hotel;

  

	 	(iii)	All of Seller’s right, title and interest in and to the land lying in the bed of any street or highway adjoining the Land and all other appurtenances to the Land and
Improvements, and all right, title and interest of Seller in and to any award made or to be made in lieu thereof and in and to any unpaid award for damages to the Land and Improvements by reason of change of grade of any street (the
“Appurtenances”); 

  

	 	(iv)	All of Seller’s right, title and interest in all tangible personal property, furniture and equipment (the “Personal Property”) owned or leased by Seller and
located on or used in connection with the ownership, operation and management of the Hotel (defined below); 

  

	 	(v)	All opened inventory of food, beverages, operating supplies, operating equipment, merchandise and goods held for sale or for consumption in the ordinary course of business of the
Hotel (“Inventories”); 

  

	 	(vi)	To the extent assignable, all of Seller’s right, title and interest in all leases and contracts in effect with respect to the Hotel identified on Exhibit B
attached hereto (the “Contracts”), other than any Contracts that Seller or its affiliates have entered into with respect to all its hotels or a particular flag or segment of hotels which are not assignable as to a particular hotel,
which shall remain the sole obligation of Seller. Any Contracts which are not required to be assigned to Purchaser under this Agreement or required to be terminated under Section (3)(a) of this Agreement, shall remain Seller’s obligation; and

  

	 	(vii)	To the extent assignable, all of Seller’s right, title and interest in all rights, warranties, guaranties, approvals (governmental or otherwise), licenses, permits,
authorizations, entitlements, surveys, plans and specifications and other intangible rights relating to the construction, ownership, operation, use and management of the Real Property (as defined herein), including without limitation all operations
and businesses conducted on or from the Real Property (the “Intangible Property”), other than any non-assignable operational licenses and permits. 

  
 The Land, the Appurtenances and the Improvements are referred to collectively herein as the “Real
Property”. The Real Property, the Personal Property, the Contracts and the Intangible Property are referred to collectively herein as the “Property”. 
  

	 	(b)	Excluded Property. The following assets and systems are not included in the Property and shall be retained by Seller (the “Excluded Assets”): (i) OnQ, (ii) NetRez
(Central Reservations System), (iii) Delphi Multi-Property Edition (sales system); (iv) Peoplesoft (financials and human resources); (v) RMS (Revenue Management System), (vi) ancillary systems accessed via Hilton Wide Area Network such as HIDB,
HSMS, FMS and the Hilton Intranet; (vii) access to Hilton Wide Area Network and Hilton email addresses, (viii) any other proprietary systems of Seller, (ix) all corporate customer lists maintained by Hilton Hotels Corporation’s Sales and
Marketing Group (but not Property guest lists, to the extent in the possession or control of Seller), (x) any item in use at the Hotel that would remain the Property of Seller if Seller were merely third-party manager of the Hotel and not owner of
the Hotel, (xi) any computer hardware related to the foregoing software owned by Seller and not leased, (and if such hardware is leased, Purchaser shall assume the leases or purchase the hardware, at Purchaser’s sole cost and expense, if so
permitted by the terms of the lease) (xii) any system or other item related to any trade secret or proprietary business method of 

  

			
	 May 11, 2005
 Page 1
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 Seller, (xiii) all of Seller’s right, title and interest in the service marks, copyrights,
trademarks, logos, insignia, emblems, symbols, designs, slogans, distinguishing characteristics, trade names, domain names, and all other marks or characteristics associated or used with or in connection with “Hilton” or other brand name
owned by Hilton Hotels Corporation or any affiliate of Hilton Hotels Corporation (the “Hilton Trademarks”). After the Closing Date, Purchaser’s rights to utilize any Hilton Trademarks shall be governed by the Franchise License
Agreement and the Management Agreement (defined below). 
  

	2.	Purchase Price. The Purchase Price shall be paid to Seller by Purchaser as follows: 

  

	 	(a)	Initial Deposit. On the Effective Date, Purchaser shall deliver the Initial Deposit to the Escrow Holder by wire transfer or cashiers check. Should Purchaser fail to deliver
the Initial Deposit on the Effective Date, Seller shall have the right to immediately terminate this Agreement upon delivery of written notice to Purchaser. The Initial Deposit shall be held by Escrow Holder in an interest bearing bank account for
the benefit of the Purchaser. 

  

	 	(b)	Additional Deposit. On the Contingency Expiration Date, if Purchaser has notified Seller that it intends to proceed with this Agreement as provided herein, Purchaser shall
deposit the Additional Deposit in Escrow and the Initial Deposit and Additional Deposit shall be non-refundable (except as a result of (a) a default by Seller; (b) failure of a condition in favor of Purchaser pursuant to Section 8(b);
or (c) any other termination of this Agreement as a result of an event or condition that does not constitute Purchaser’s default under this Agreement) and shall be immediately released to Seller without the need for any further instructions to
Escrow Holder. The term “Deposit” shall refer to the Initial Deposit and the Additional Deposit and all interest earned thereon. If the transaction contemplated by this Agreement is consummated, the Deposit shall be credited on
Purchaser’s account against the Purchase Price. 

  

	 	(c)	Balance of the Purchase Price. The balance of the Purchase Price, as well as all sums necessary to pay Purchaser’s costs, expenses and prorations as provided in this
Agreement, after crediting (i) the Deposit and (ii) any other prorations and other amounts to which Purchaser is entitled as a credit against the Purchase Price as provided in this Agreement, shall be deposited by Purchaser in Escrow two (2) days
prior to the Closing Date by wire transfer or cashiers check. 

  

	 	(d)	Allocation. Seller and Purchaser may each allocate the Purchase Price, at such party’s discretion, for title insurance, tax and other reporting purposes, provided such
allocation is done in accordance with applicable laws, including Section 1060 of the Internal Revenue Code of 1986, as amended (the “Code”), and the regulations thereunder. 

  

	 	(e)	Termination. If Purchaser rejects the condition of the Property and fails to notify Seller it is proceeding with this Agreement prior to the Contingency Expiration Date,
Escrow Holder shall return the portion of the Deposit previously delivered to Escrow Holder to Purchaser, less one-half of any escrow cancellation fees and neither party shall have any further obligation under this Agreement other than
Purchaser’s obligations under Section 3. Except as otherwise expressly provided in this Agreement, in the event the purchase of the Property is not consummated for any reason other than (i) a default under this Agreement by Seller or (ii)
Purchaser’s disapproval of the Property pursuant to Section 3 prior to the Contingency Expiration Date; (iii) Purchaser’s termination of this Agreement pursuant to Sections 6(c), Section 11,
Section 15, or Section 16, or (iv) failure of a condition in favor of Purchaser pursuant to Section 8(b), then the Deposit and all interest earned thereon shall be retained by Seller and shall constitute
liquidated damages of Seller. In the event this Agreement is terminated pursuant to Sections 2(e) and the Deposit has been released to Seller, Seller shall return the Deposit and all interest accrued thereon to Purchaser within three (3) business
days after Purchaser’s written demand therefor. 

  

	3.	Purchaser’s Inspection Rights/Contingency Period. 

  

	 	(a)	Receipt of Contracts and Documents. Seller has made available to Purchaser certain documents on the website established by Seller’s Broker. In addition, on or before 7
days from the Effective Date, to the extent such items are not on the website, Seller shall deliver to Purchaser or make available to Purchaser for review at the Hotel: (i) copies of all Contracts that are post closing obligations that pertain to
the Property or any portion thereof and are listed on Exhibit B, and (ii) other documents reasonably requested by Purchaser to the extent such documents pertain to the Property or any portion thereof and the business conducted thereon
or relating thereto, are in Seller’s possession or control, are not confidential, do not constitute Seller’s trade secrets and are not subject to attorney client privilege. All 

  

			
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 Page 2
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 Contracts that are assignable shall be assigned to Purchaser at the Close of Escrow unless (i) the
same can be terminated by Seller prior to the Close of Escrow without cost to Seller; and (ii) such Contracts have been rejected by Purchaser in writing prior to the Contingency Expiration Date. Purchaser’s failure to terminate this Agreement
prior to the Contingency Expiration Date or reject any Contract prior to the Contingency Expiration Date shall be deemed Purchaser’s acceptance of all Contracts and Purchaser shall have no further right to disapprove any Contracts. If any
Contract requires the other party’s consent to assignment and such other party disapproves the assignment to Purchaser or does not permit Seller to be released from the obligations under such Contract, the Purchaser shall pay all costs and
expenses of terminating the subject contract. 
  

	 	(b)	Review and Termination. Purchaser shall have until the Contingency Expiration Date to review the materials provided by Seller and to conduct such other due diligence,
studies, tests, and inspections of the Property (collectively, “Due Diligence Matters”) as Purchaser deems appropriate under the circumstances. Prior to the Contingency Expiration Date, Purchaser may, in its sole and absolute
discretion for any reason whatsoever, terminate this Agreement, after which Seller and Purchaser shall not have any further obligations pursuant to this Agreement except for those obligations which are expressly provided to survive such termination.

  

	 	(c)	Right of Entry. Prior to the Contingency Expiration Date, Purchaser and its agents and contractors shall have the right, at Purchaser’s sole cost and expense, to enter
onto the Hotel, or any other portion of the Real Property, at reasonable times and in a reasonable manner upon prior notice to the Seller for the purpose of making such tests, inspections, surveys or other inquiries as Purchaser deems necessary or
desirable in connection with this Agreement. However, in no event shall Purchaser be permitted to conduct any drilling or boring without the express written consent of Seller. In conducting its due diligence, Purchaser is authorized to contact
directly any governmental authorities that may have jurisdiction over the Property; provided that Purchaser gives Seller prior written notice of the nature of the communication with the governmental agency and a reasonable opportunity to participate
in such communications or meetings. During such inspection, Purchaser shall not unreasonably disturb any tenants or occupants of the Hotel. In addition, as condition to any such entry, Purchaser shall maintain liability insurance coverage applicable
to such tests and inspections with coverage in an amount equal to Two Million Dollars ($2,000,000) per occurrence and provide Seller with certificates of such insurance naming Seller as an additional insured prior to any entry, test or inspection.
After making any such tests and inspections, Purchaser shall restore the Real Property to its condition prior to such tests and inspections. Purchaser hereby agrees to indemnify, defend and hold Seller harmless from any loss, damage, cost or expense
(including without limitation reasonable attorneys fees) incurred by Seller caused by Purchaser or its agents or contractors in exercising its rights under this Section 3(c). This Indemnity shall survive the Close of Escrow or the
termination of this Agreement. If Purchaser fails to terminate this Agreement prior to the Contingency Expiration Date, all Due Diligence Matters shall be deemed approved by Purchaser, and Purchaser shall be deemed to have waived any and all
contingencies with respect to such Due Diligence Matters, express or implied, to its obligation to purchase the Property. 

  

	 	(d)	Confidentiality. Purchaser agrees to protect and safeguard, and to instruct all other Qualified Persons (as defined below) to protect and safeguard, all information delivered
to Purchaser in connection with its inspection and review of the Property (“Confidential Information”) against unauthorized use, publication or disclosure. Confidential Information that is provided to Purchaser in written form will,
at Seller’s election, be destroyed or returned to Seller immediately upon Seller’s request. Purchaser acknowledges that Seller shall be entitled to exercise any and all remedies, in law or in equity, which Seller may have against Purchaser
for a breach of Purchaser’s obligations in this paragraph. Seller shall be entitled to recover its attorneys fees reasonably incurred in connection with enforcement of its rights hereunder. “Qualified Persons” shall mean employees,
agents, attorneys, accountants, lenders, investors or other consultants to whom it is necessary to show the Confidential Information for the purposes of completing Purchaser’s inspection and review. The provisions of this Section 3(d) shall
survive the termination of this Agreement. 

  

	4.	Title. 

  

	 	(a)	PTR. Seller has made available to Purchaser and Purchaser acknowledges receipt of a standard coverage preliminary title report or commitment for the Property (the
“PTR”), together with legible copies (to the extent available) of all documents relating to the title exceptions referred to in such PTR. As used herein, the term “Permitted Exceptions” shall mean those exceptions to title
of the Real Property as shown on the PTR, excluding mortgage or deed of trust liens, mechanics liens and overdue tax liens and assessments which shall be removed by Seller on or before the Closing. The removal or elimination of any title exception
reflected in the PTR shall be a 

  

			
	 May 11, 2005
 Page 3
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 matter solely between Purchaser and Title Company, and after the Contingency Expiration Date,
Purchaser has no right to terminate or cancel this Agreement or delay the Close of Escrow in order to obtain the title endorsements or elimination of exceptions that Purchaser may desire. Without limiting the generality of any other provision
hereof, Purchaser agrees to take title to the Land subject to all matters shown on the Survey (defined below) and all laws, rules and regulations governing the use and development of the Land at the Closing Date. Seller has obtained and delivered to
Buyer an updated ALTA Survey (“Survey”) of the Property. 
  

	 	(b)	Title Policy. Upon the Closing, Purchaser’s title to the Land, Appurtenances and Improvements shall be insured by an ALTA standard coverage owner’s policy of title
insurance paid by Seller showing title vested in Purchaser as of the Closing Date, subject to the Permitted Exceptions, and issued by the Title Company with aggregate liability in the amount of the Purchase Price, with such endorsements as Purchaser
may reasonably request at Purchaser’s sole cost and expense (collectively, the “Title Policy”). Purchaser may elect to obtain an ALTA extended coverage owner’s policy, provided that Purchaser shall pay for the additional
premium associated with such extended coverage and that the issuance of such policy shall not delay the Close of Escrow. Seller shall reasonably cooperate with Purchaser in a manner customarily required by the Title Company for comparable sellers of
real property in order to issue the Title Policy or Purchaser’s desires an extended coverage policy of title insurance. 

  

	5.	Closing. 

  

	 	(a)	Escrow. The parties have opened an escrow (the “Escrow”) with the Escrow Holder. This Agreement, together with such further instructions, if any, as the
parties shall provide to the Escrow Holder, shall constitute the escrow instructions to the Escrow Holder. If the parties give the Escrow Holder contradictory instructions, the Escrow Holder shall have the right at its election to file an action in
interpleader requiring the parties to answer and litigate their several claims and rights among themselves, and the Escrow Holder is authorized to deposit with the clerk of court all documents and funds held in this Escrow. In the event such action
is filed, the parties agree to pay the Escrow Holder’s cancellation charges and costs, expenses and reasonable attorney’s fees that the Escrow Holder is required to expend or incur in the interpleader action, the amount thereof to be fixed
and judgment therefor to be rendered by the court. Upon the filing of such an action, the Escrow Holder shall thereupon be fully released and discharged from all obligations to further perform any duties or obligations otherwise imposed by the terms
of Escrow. 

  

	 	(b)	Reportable Real Estate. The purchase and sale of the Property is the sale of “reportable real estate” within the meaning of U.S. Treasury Regulations Section
1.6045-4 (the “Regulations”). The Escrow Holder is the “real estate reporting person” within the meaning of the Regulations and shall make all reports to the federal government as required by the Regulations.

  

	 	(c)	Timing of Closing. The purchase and sale contemplated herein shall close (the “Closing”) on or before the Outside Closing Date. If the Closing does not occur
by the Outside Closing Date, this Agreement shall terminate and neither party shall have any further liability or obligation hereunder; except that, (i) Purchaser and Seller shall each be responsible for one half of any escrow cancellation fee; (ii)
Purchaser shall remain obligated to observe the confidentiality provisions of Section 3(d); (iii) the Deposit shall be delivered as provided elsewhere in this Agreement; and (iv) nothing herein contained is intended to relieve either party of
liability arising as a result of a breach of this Agreement by such party. As used in this Agreement, the “Closing”, “Close of Escrow” or “Closing Date” means the date and time that the Deed is
recorded in the official recorder’s office of the county in which the Property is located. Closing shall occur through the Escrow with Escrow Holder in accordance with the general provisions of the usual form of escrow agreement used by Escrow
Holder in similar transactions to the extent not inconsistent herewith (with such special provisions inserted as may be required to conform to this Agreement). 

  

	 	(d)	Closing Costs. Seller shall pay the premium for the Title Policy up to the amount of the premium for an ALTA standard coverage owner’s policy of title insurance covering
the Land and Improvements, with aggregate liability in the amount of the Purchase Price, any documentary transfer tax due in connection with the consummation of this transaction, and fifty percent (50%) of the escrow charges of Escrow Holder.
Purchaser shall pay any bulk sales tax, revenue tax, or excise tax (and any surtax thereon) due in connection with the consummation of this transaction, the fees for recording the Deed, the cost differential of the premium for the ALTA extended
coverage included in the Title Policy over the ALTA premium paid for by Seller, the cost of any title endorsements, the cost of any lender title insurance policies or endorsements, the cost of the Survey, and fifty percent (50%) of all the charges
of escrow charges of Escrow Holder. Each party shall bear the expense of its own counsel and other consultants. Any closing cost not allocated herein shall be borne in the manner that is customary in the county in which the Property is located.

  

			
	 May 11, 2005
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 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

	6.	Management Agreement and Franchise License Agreement  

  

	 	(a)	Terms of Management Agreement. The Parties shall negotiate in good faith prior to the Contingency Expiration Date, the terms and conditions and form of a management agreement
(the “Management Agreement”) whereby Seller or its affiliate (“Manager”) shall manage the Hotel for Purchaser on terms agreed to by the parties. The form of Management Agreement shall be based on Seller’s
standard form of Management Agreement and the Management Agreement shall have a term of two (2) years and shall be subject to termination upon prior written notice, not to exceed 120 days. 

  

	 	(b)	Terms of Franchise License Agreement. The Parties shall negotiate in good faith prior to the Contingency Expiration Date, the terms and conditions and form of a Franchise
License Agreement (the “Franchise License Agreement”) with Seller or its affiliate (“Franchisor”) for the Hilton brand. The Franchise License Agreement shall be on the then most current form of Franchise License
Agreement as provided in the Uniform Franchise Offering Circular (“UFOC”) filed by Franchisor with such changes as the parties may agree. Purchaser shall complete such forms and comply with the applications procedures set forth in
the UFOC.  

  

	 	(c)	Failure to Timely Agree. If the parties have not agreed upon the form of Management Agreement or Franchise License Agreement by the Contingency Expiration Date, then Seller
or Purchaser, in their sole discretion shall have the right to terminate this Agreement upon written notice to the other at any time thereafter prior to the Closing Date until the parties reach agreement on the form of Management Agreement and
Franchise License Agreement. Upon such termination, Purchaser shall receive a refund of the Deposit and neither party shall have any obligation to the other under this Agreement other than Purchaser’s obligations under Section 3. 

  

	7.	Seller’s Closing Documents. On or before Closing, Seller shall deliver or cause to be delivered to Purchaser or Escrow Holder, as appropriate, the following
(“Seller’s Closing Documents”), in form and substance reasonably acceptable to Purchaser: 

  

	 	(a)	Deed. A Grant Deed in the form and content of Exhibit D attached hereto (the “Deed”) duly executed, with acknowledgment, by Seller;

  

	 	(b)	Bill of Sale. A Bill of Sale (the “Bill of Sale”) to the Personal Property, in the form and content of Exhibit E attached hereto duly executed
by Seller, conveying the Personal Property to Purchaser; 

  

	 	(c)	Intangible Property Assignment. An assignment of the Intangible Property (the “Intangible Property Assignment”), in the form and content of Exhibit
F attached hereto duly executed by Seller, conveying the Intangible Property to Purchaser; 

  

	 	(d)	Contract Assignment. An Assignment and Assumption of Contracts (the “Contract Assignment”) in the form attached hereto as Exhibit G, and duly
executed by Seller; 

  

	 	(e)	Non-Foreign Affidavit. A Non-Foreign Affidavit in the form attached hereto as Exhibit H, duly executed by Seller; and 

  

	 	(f)	Franchise License Agreement. Two originals of the Franchise License Agreement, duly executed by Seller. 

  

	 	(g)	Management Agreement. Two originals of the Management Agreement, duly executed by Seller. 

  

	8.	Conditions Precedent to Closing. 

  

	 	(a)	Seller’s Conditions Precedent to Closing. Seller shall have no obligation to sell the Property unless the following additional conditions (“Seller’s
Conditions Precedent”) have been satisfied or waived in writing by Seller at or prior to the Closing: 

  

	 	(i)	Performance. Purchaser shall have timely performed, in all material respects, all of the obligations required to be performed by Purchaser by the terms of this Agreement;

  

	 	(ii)	Deliveries. Purchaser shall have executed and delivered, or caused to be executed and delivered, the Purchaser’s Closing Items (as defined in Section 9 below); and

  

	 	(iii)	Franchise License Agreement. The Parties shall have agreed on the form of a Franchise License Agreement. 

  

	 	(iv)	Management Agreement. The Parties shall have agreed on the form of a Management Agreement. 

  

			
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 Purchase and Sale Agreement 
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 If the foregoing conditions are not satisfied as of the Outside Closing Date, Seller may terminate
this Agreement on written notice to Purchaser. If the failure of conditions is not as a result of Purchaser’s default under this Agreement, then Purchaser shall receive a refund of the Deposit, otherwise the Deposit shall be retained as
liquidated damages pursuant to this Agreement. 
  

	 	(b)	Purchaser’s Conditions Precedent to Closing. Purchaser shall have no obligation to purchase the Property unless the following additional conditions
(“Purchaser’s Conditions Precedent”) have been satisfied or waived in writing by Purchaser at or prior to the Closing; 

  

	 	(i)	Performance. Seller shall have timely performed, in all material respects, all of the material obligations required to be performed by Seller by the terms of this Agreement;

  

	 	(ii)	Deliveries. Seller shall have executed and delivered, or caused to be executed and delivered, the Seller’s Closing Documents (as defined in Section 7); and

  

	 	(iii)	Franchise License Agreement. The Parties shall have agreed on a form of a Franchise License Agreement. 

  

	 	(iv)	Management Agreement. The Parties shall have agreed on the form of a Management Agreement. 

  

	 	(v)	No Material Adverse Change. There shall have been no material adverse change in the condition of the Property from the Contingency Expiration Date. 

 
 If the foregoing conditions are not satisfied as of the Outside Closing
Date, Purchaser may terminate this Agreement on written notice to Seller and receive a refund of the Deposit. If the failure of conditions is as a result of Seller default under this Agreement, then Purchaser shall have the remedies contained in
Section 16(b). 
  

	9.	Purchaser’s Closing Items. On or before the Closing, Purchaser shall deliver to Seller or Escrow Holder, as appropriate, the following (“Purchaser’s Closing
Items”), in form and substance reasonably acceptable to Seller: 

  

	 	(a)	Purchase Price. The Purchase Price, after crediting the Deposit and after all adjustments and prorations computed in accordance with this Agreement; 

 

	 	(b)	Deed. The Deed, duly executed, with acknowledgment, by Purchaser; 

  

	 	(c)	Intangible Property Assignment. The Intangible Property Assignment duly executed by Purchaser; 

  

	 	(d)	Contract Assignment. The Contract Assignment duly executed by Purchaser; 

  

	 	(e)	Franchise License Agreement. Two originals of the Franchise License Agreement, duly executed by Purchaser. 

  

	 	(f)	Management Agreement. Two originals of the Management Agreement, duly executed by Purchaser. 

  

	10.	Prorations, Closing Adjustments and Post-Closing Settlement. The following items shall be apportioned in respect of the Property in question between Purchaser and the Seller
on a per diem basis as of the Cut-Off Time. (except as otherwise specified in this Paragraph 10): 

  

	 	(a)	Taxes and Assessments. Real estate taxes and annual municipal or special district assessments and personal property or use taxes 

  

	 	(b)	Rent. Rent paid to and received by the Seller under any leases at the Property. Any payments received by Purchaser after the date of Closing from a tenant under any leases on
account of rentals which are applicable to periods prior to Closing and on account of sums which are attributable to expenses incurred by the lessor for periods of time prior to Closing, shall be apportioned by Purchaser upon receipt and the portion
thereof attributable to periods or expenses prior to Close of Escrow shall immediately be paid by Purchaser to the Seller. 

  

	 	(c)	Revenues. Guest, convention, room, food, beverage, and all other charges and revenues for services rendered and the operation of all departments of the Property, including,
but not limited to, advance payments under booking agreements for rooms, facilities and services of the Property and any other revenues shall be apportioned, as follows: (1) all food, room service and restaurant revenue as of the Closing of dinner
service hours at each restaurant on the evening preceding the Closing Date, and bar revenues as of 2:00 A.M. on the Closing Date, shall be retained by the Seller and (2) the guest (tray) ledger for guests staying in such Property as of 12:01 A.M. on
the Closing Date shall be counted and such room revenue and associated taxes, shall be split equally between Purchaser and Seller. Except as hereinabove provided, all revenues for the Property for days preceding the Closing Date shall be attributed
to the Seller and all revenues for the Property for the Closing Date and days following the Closing Date shall accrue to the benefit of Purchaser after Closing. 

  

			
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 Purchase and Sale Agreement 
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	 	(d)	Accounts Receivable. Seller shall retain all of its interests in all the accounts receivable for the Hotel and shall, in its sole and absolute discretion, handle collection
of such receivables. As an ongoing obligation that survives the Closing and is not limited by the one-time reconciliation provided in Section 10(p) below, if Purchaser receives any payment attributable to the period prior to Closing,
Purchaser shall immediately forward such amounts to Seller. 

  

	 	(e)	Accounts Payable. Seller shall retain responsibility for all accounts payable for the Property for expenses attributable to the period prior to the Closing Date. Seller shall
receive a credit for those accounts payable that are for expenses attributable to periods after the Closing Date for which Seller has already paid. Purchaser shall assume all accounts payable for the Property, which have not been paid on the Close
of Escrow, for expenses attributable to periods after the Closing Date. 

  

	 	(f)	Operating Costs. All costs and expenses of operating the Property, and amounts paid or payable under the service contracts. All expenses that have been prepaid by Seller
shall be prorated as of the Closing Date and Seller shall receive a credit at the Closing for the portion of such prepaid expenses applicable to periods following the Closing Date. 

  

	 	(g)	Miscellaneous. Fees and expenses for music, entertainment, trade association dues, trade subscriptions, coin machine income, and washroom and checkroom income.

  

	 	(h)	No Tax Bill. If, on the Closing Date, bills for the real estate taxes imposed upon the Property for the tax year in which Closing occurs have been issued but shall not have
been paid, the prorations shall be made on the basis thereof. If such bills shall not have been issued on the date of Closing, the amount of the taxes shall be reasonably ascertained by the Seller based upon the then current assessment and
anticipated tax rate, and the prorations shall be made on the basis of such estimate and in the event the taxes for the year in which the Closing occurs are more or less than such estimated amount, the Seller or Purchaser shall promptly pay the
amount necessary to adjust for the correct proration as soon as the actual tax amount becomes available. 

  

	 	(i)	Tenant Security Deposits. At Closing, Purchaser shall receive a credit against the Purchase Price for the Property in question in an amount equal to all cash security
deposits, if any, then held by the Seller under any leases at the Property. Purchaser will cause such amount to be maintained after Closing as a security deposit in accordance with the requirements of applicable law and the leases and shall
indemnify the Seller from all claims of tenants with respect thereto. 

  

	 	(j)	Utilities. The parties shall switch all utilities into Purchaser’s name as of the Close of Escrow so no prorations shall be necessary. 

  

	 	(k)	Sales Taxes. All sales, use and occupancy taxes, if any, due or to become due in connection with revenues received from the Property prior to the Closing Date will be paid by
the Seller. The Seller shall be entitled to receive any rebates or refunds with respect to any such taxes paid by such Seller prior to Closing. 

  

	 	(l)	Supplies. At Closing, Purchaser shall purchase from the Seller all of such Seller’s inventory (other than “in service” inventory) of unopened bottles of liquor
and wine in storage at the Property in question, all other food and beverage supplies including minibar inventories and linen supplies in unopened cases, cartons or similar containers and all sides and shells of meat (in any storage freezer at such
Property) that are still in their unopened sacks or other original containers and are reasonably usable by Purchaser in the operation of the Property. The purchase price of such goods shall be equal to the actual cost of such goods paid therefor by
the Seller in question. 

  

	 	(m)	Cash. All cash in the Hotel’s various bank accounts at financial institutions as of the Cut-Off Time (“Outside Bank Accounts”) shall remain the Property
of Seller. Purchaser shall receive cash in house banks at the Hotel as of the Cut-Off Time (“House Banks”) and Seller shall receive a credit at the Close of Escrow for such amounts. 

  

	 	(n)	Cash Deposits. Seller shall receive a credit for all cash deposits of the Hotel as of the Close of Escrow, including deposits with utilities and providers of goods and
services (“Cash Deposits”). 

  

			
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 Purchase and Sale Agreement 
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	 	(o)	Employees. With respect to employee wages and benefits, the Seller shall be solely responsible for any liability for payment of employees’ wages, workers’
compensation claims, pension benefits due to or accrued to employees at the Property through the Cut-Off Time, together with F.I.C.A., unemployment and other taxes and benefits due with respect to the employment of such employees, other than earned
and accrued vacation and sick pay. Upon the Closing, Purchaser shall assume all of the Seller’s liability and obligations with respect to accrued vacation and sick pay and shall indemnify the Seller from all claims of such employees with
respect to such vacation and sick pay. In connection therewith, Purchaser shall receive the Benefits Credit (as defined in Section 14(d)). Notwithstanding the foregoing, Purchaser is not assuming the Workers’ Compensation
Insurance liability of Seller and Seller shall be solely responsible for adjustment and payment of all claims for compensation in connection with such insurance and shall retain any and all rebates, reimbursements or other payments due from the
insurer in connection with such policies. 

  

	 	(p)	Reconciliation and Final Payment. A detailed closing statement shall be prepared at Closing for the Property setting forth the manner of computation of the aforesaid
proration adjustments. All prorations shall be made on the basis of a 360 day year and a 30 day month. The apportionments described herein at such Closing shall be based on the actual figures to the extent available. If any of the prorations cannot
be calculated based on actual figures, then they shall be calculated based on the Seller’s good faith estimates thereof. Each Seller and Purchaser shall cooperate in good faith and act reasonably after Closing to make a final determination of
the prorations required hereunder. Ninety (90) days following the close of escrow for each Property (or such other time as the parties may agree), there shall be a final one-time reconciliation of the proration adjustments. 

 

	11.	Seller’s Representations and Warranties. Except for the limited representations and warranties set forth below, the Property is being sold to Purchaser in its
“As-Is” condition without any representations or warranties, express or implied. The term “Seller’s knowledge” and words of similar import as used herein shall mean the actual knowledge of any of Dave Sherf, Senior Vice
President of Hilton Hotels Corporation, an affiliate of Seller, and Jerry Westgate, Director of Finance of the Hotel. Seller is making the following representations and warranties based on the actual, current knowledge of the foregoing
individuals without any inquiry or investigation or duty to inquire or investigate and without regard to imputed knowledge. Neither Dave Sherf or Jerry Westgate shall have any personal liability with regard to this Agreement. Purchaser shall rely
solely on its own investigation of the Property in making its decision of whether or not to purchase the Property. 

  

	 	(a)	Power and Authority of Seller. Seller is a limited partnership, duly organized and existing in the State of California and has the requisite right, power and authority to
sell, convey and transfer the Property to Purchaser, as provided herein, and to enter into and carry out the terms of this Agreement and the execution and delivery hereof and of all other instruments referred to herein. The individual executing this
Agreement has the authority to bind Seller to the terms and conditions hereof and thereof. All proceedings required to be taken by or on behalf of Seller to authorize it to make, deliver and carry out the terms of this Agreement have been duly and
properly taken. No further consent of any person or entity is required in connection with the execution and delivery of, or performance by, Seller of its obligations under this Agreement, except with respect to any consent which may be required in
connection with the assignment of any Contract. 

  

	 	(b)	Validity of Agreement. This Agreement executed by Seller constitutes, and all other documents required by this Agreement to be executed by Seller shall constitute when so
executed, the valid and binding obligation of Seller, enforceable against Seller in accordance with their respective terms. 

  

	 	(c)	Non-Foreign Status. Seller is not a “foreign person” as defined in Section 1445(f)(3) of the Internal Revenue Code. 

  

	 	(d)	Zoning. To the Seller’s knowledge, the Property is not in violation of any zoning regulations. 

  

	 	(e)	Environmental Regulations. To Seller’s knowledge, during Seller’s ownership, Seller has not participated in any illegal discharge of materials that would qualify as
hazardous materials. 

  

	 	(f)	Financial Statements. To Seller’s knowledge, the financial statements provided to Purchaser are accurate and fairly reflect the financial position of the Property.

  

	 	(g)	Takings. To Seller’s knowledge, there are no notices of any “taking” or eminent domain proceedings that would impact the Property. 

  

			
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 Purchase and Sale Agreement 
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	 	(h)	Contracts. To Seller’s knowledge, the Contracts and Leases listed on Exhibit B attached hereto are all of the contracts and Leases affecting the Property.

  

	 	(i)	Liens. To Seller’s knowledge, there are no liens that affect the Property other the Permitted Exceptions, any leases and any other items disclosed in the documents
provided to Purchaser. 

  
 The representations and
warranties of Seller made in this Agreement shall not merge into any instrument or conveyance delivered at the Closing, but shall survive the Closing for a period of one (1) year. In the event Purchaser has actual knowledge of or discovers before
the Closing Date that a representation or warranty of Seller made herein is untrue or inaccurate, Purchaser may elect to terminate this Agreement and receive a refund of its Deposit for failure of a condition precedent but, whether or not Purchaser
elects to terminate this Agreement, it shall have no other right or claim against Seller as a result of such untrue or inaccurate representation or warranty. 
  

	12.	Purchaser’s Representations and Warranties and Acknowledgements and Agreements. Purchaser hereby warrants and represents to Seller that the following are true and
correct as of the date hereof and will be true and correct as of the Closing Date. Seller’s rights with respect to the following representations and warranties shall survive the Closing for a period of one (1) year. 

  

	 	(a)	Power and Authority of Purchaser. Purchaser is a corporation duly organized and validly existing in good standing in the state of its incorporation and is authorized to do
business in the state in which the Hotel is located. Purchaser has the requisite right, power and authority to purchase the Property from Seller, as provided herein, and to enter into and carry out the terms of this Agreement and the execution and
delivery hereof and of all other instruments referred to herein. The performance by Purchaser of Purchaser’s obligations hereunder will not violate or constitute a default under the terms and provisions of any material agreement, document or
instrument to which Purchaser is a party or by which Purchaser is bound or affected. All proceedings required to be taken by or on behalf of Purchaser to authorize it to make, deliver and carry out the terms of this Agreement have been duly and
properly taken. No further consent of any person or entity is required in connection with the execution and delivery of, or performance by, Purchaser of its obligations under this Agreement. 

  

	 	(b)	Purchase As Is. 

  

	 	(i)	Books and Records. Prior to the Contingency Expiration Date, Purchaser will be afforded access to certain of the books and records of Seller relating to the operation of the
Hotel and to other information made available by Seller with respect thereto. Except as expressly provided in Section 11, prior to the Closing Date, Seller has made no representations or warranties of any kind, including, without limitation,
concerning the condition of the Property or the accuracy or completeness of information provided to Purchaser by Seller. 

  

	 	(ii)	Purchaser’s Own Investigation. Purchaser has conducted its own investigation of the Property; made all inquiries, inspections, tests, audits, studies and analyses that
it deems necessary or desirable in connection with purchasing the Property; and has approved the results of its investigation (including engineering and structural tests, economic feasibility studies, soils and geological reports, reviews of books
and records, financial statements, projections relating to the operation of the Hotel and other documents obtained or prepared by or for Purchaser in connection with its review). Purchaser hereby acknowledges that it is relying solely on the
representations and warranties of Seller set forth in Section 11 hereof and on its own inspections, tests, audits, studies and investigations conducted in connection with, and on Purchaser’s own judgment with respect to, its
purchase of the Property. Purchaser acknowledges that no person has made, any representation, agreement, statement, warranty, guarantee or promise regarding the Property or the transaction contemplated herein or the zoning, construction, physical
condition or other status of the Property except as may be expressly set forth in this Agreement or any amendment hereto. No representation, warranty, agreement, statement, guarantee or promise, if any, made by any person acting on behalf of Seller
which is not contained in this Agreement, or any amendment hereto will be valid or binding on Seller. 

  

	 	(iii)	Indemnification. Purchaser hereby indemnifies, defends and holds Seller entirely harmless from and against any claim, demand, cause of action, judgment, loss, liability, cost
or expense which Seller may suffer, sustain, incur or otherwise become subject to (either directly or indirectly) to the extent the same results from any action or omission by Purchaser, its affiliates, agents or representatives, or in connection
with Purchaser’s ownership and operation of the Property after the Closing Date, which occurs subsequent to the Closing Date. 

  

			
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 Purchase and Sale Agreement 
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	 	(iv)	AS IS CONDITION. PURCHASER ACKNOWLEDGES AND AGREES THAT, EXCEPT AS SPECIFICALLY PROVIDED IN SECTION 11 HEREIN, SELLER HAS NOT MADE, DOES NOT MAKE AND
SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES, PROMISES, COVENANTS, AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, CONCERNING OR
WITH RESPECT TO THE PROPERTY OR ANY MATTER RELATED THERETO, INCLUDING, WITHOUT LIMITATION, THE HABITABILITY, MERCHANTABILITY, MARKETABILITY, PROFITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE PROPERTY, AND COMPLIANCE WITH ANY ENVIRONMENTAL
PROTECTION, POLLUTION OR LAND USE LAWS, RULES, REGULATION, ORDERS OR REQUIREMENTS. EXCEPT AS PROVIDED IN SECTION 11 OF THIS AGREEMENT, PURCHASER ACKNOWLEDGES AND AGREES THAT TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE SALE OF THE PROPERTY AS
PROVIDED FOR HEREIN IS MADE ON AN “AS IS” CONDITION AND BASIS WITH ALL FAULTS, AND THAT SELLER HAS NO OBLIGATIONS TO MAKE REPAIRS, REPLACEMENTS OR IMPROVEMENTS EXCEPT AS MAY OTHERWISE BE EXPRESSLY STATED HEREIN. 

 
 BY INITIALING BELOW, THE PURCHASER ACKNOWLEDGES THAT (i) THIS
SECTION 12(b)(iv) HAS BEEN READ AND FULLY UNDERSTOOD, (ii) THE PURCHASER HAS HAD THE CHANCE TO ASK QUESTIONS OF ITS COUNSEL ABOUT ITS MEANING AND SIGNIFICANCE, AND (iii) THE PURCHASER HAS ACCEPTED AND AGREED TO THE TERMS SET FORTH IN
THIS SECTION12(b)(iv). 
  
 PURCHASER’S INITIALS

  

	 	(c)	Release. Except as expressly set forth herein, Purchaser and anyone claiming by, through or under Purchaser hereby waives its right to recover from and fully and irrevocably
releases Seller, its employees, officers, directors, representatives, agents, servants, attorneys, affiliates, parent, subsidiaries, successors and assigns, and all persons, firms, corporations and organizations in its behalf (“Released
Parties”) from any and all claims that it may now have or hereafter acquire against any of the Released Parties for any costs, loss, liability, damage, expenses, demand, action or cause of action arising from or related to any matters affecting
the Property, or any portion thereof. This release includes claims of which Purchaser is presently unaware or which Purchaser does not presently suspect to exist which, if known by Purchaser, would materially affect Purchaser’s release to
Seller. Without limiting the generality of the foregoing, Purchaser expressly waives any and all rights conferred upon it by any statute or rule of law which provides that a release does not extend to claims which the claimant does not know or
suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the released party, including, without limitation, any provisions similar to the following: “A general
release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor.”

  
 In this connection and to the extent permitted
by law, Purchaser hereby agrees, represents and warrants, which representation and warranty shall survive the Close of Escrow and not be merged with the Closing, that Purchaser realizes and acknowledges that factual matters now unknown to it may
have given or may hereafter give rise to causes of action, claims, demands, debts, controversies, damages, costs, losses and expenses which are presently unknown, unanticipated and unsuspected, and Purchaser further agrees, represents and warrants,
which representation and warranty shall survive the Close of Escrow and not be merged with the Closing, that the waivers and releases herein have been negotiated and agreed upon in light of that realization and that Purchaser nevertheless hereby
intends to release, discharge and acquit Seller from any such unknown causes of action, claims, demands, debts, controversies, damages, costs, losses and expenses which might in any way be included as a material portion of the consideration given to
Seller by Purchaser in exchange for Seller’s performance hereunder. The foregoing release shall not apply to any of the matters expressly contained in this Agreement. 
  
 Seller and Purchaser have each initialed this Section 12(c) to further indicate their awareness and
acceptance of each and every provision hereof. 
  

					
	 	 	  

	  	  

	 	 	        SELLER’S INITIALS	  	        PURCHASER’S INITIALS

  

			
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 Purchase and Sale Agreement 
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	 	(d)	Validity of Agreement. This Agreement executed by Purchaser constitutes, and all other documents required by this Agreement to be executed, by Purchaser shall so constitute
when so executed the valid and binding obligation of Purchaser, enforceable against Purchaser in accordance with their respective terms. 

  

	13.	Conduct of Hotel Business/Liquor Licenses/Baggage/Safe Deposit Boxes. 

  

	 	(a)	Conduct of Hotel Business. During the period from the date of this Agreement until the earlier of (a) the Closing Date, or (b) the termination of this Agreement, Seller shall
operate the Property only in the ordinary course of business consistent with the past practice of Seller. At all times prior to the Closing Date, Seller shall maintain insurance coverage in the amount of full replacement cost for the Property
consistent with past practice and shall not, without the prior written consent or other due authorization or approval of Purchaser, make any modifications or alterations to the Property other than in the ordinary course of business. Seller shall not
enter into any contracts with respect to the Property or any portion thereof following the Effective Date without Purchaser’s approval, which approval shall not be unreasonably withheld or delayed 

  

	 	(b)	Liquor License. With respect to the operation of the restaurants, lounges and bars presently located within the Property, the liquor license(s) (“Liquor
License”) therefor is held by Doubletree DTWC Corporation, a Delaware corporation (the “Permittee”) an affiliate of Seller. Purchaser shall execute and file, at its sole cost and expense, all necessary forms, applications
and other documents (and Seller and Permittee shall reasonably cooperate with Purchaser in filing such forms, applications and other documents) with the appropriate liquor and alcoholic beverage authorities prior to the Closing so that such
acquisition of the appropriate liquor licenses shall take effect, if possible, prior to or upon completion of Closing. If it is not possible to obtain the appropriate liquor licenses prior to or upon completion of the Closing, Purchaser shall
promptly execute all forms, applications and other documents required to effect the acquisition of such liquor licenses at the earliest date reasonably practicable in order that all appropriate liquor licenses may be acquired by Purchaser at the
earliest reasonably practicable time after Closing (but the failure or inability of Purchaser to obtain such liquor licenses on or before Closing shall not relieve Purchaser of its obligation to proceed with Closing hereunder). Purchaser’s
attempts to obtain such liquor licenses shall not diminish, prior to the Closing, the full force and effect of the liquor licenses maintained by Permittee in the operation of the restaurants, lounges and bars presently located within the Property.
If any such liquor licenses cannot be obtained by Purchaser until after Closing, then Seller shall cause the Permittee to retain the Liquor License on behalf of the Hotel and Purchaser pursuant to the Management Agreement. In no event shall Seller
or Permittee be required to obtain any additional liquor or alcoholic beverage licenses which it does not possess at the time of Closing. 

  

	 	(c)	Guest Baggage. Any baggage or other property of departed guests held by Seller may be left at the Hotel for a period not to exceed ninety (90) days following the Closing
Date. At any time during such period, all such baggage or property will, at the option of Seller, be removed by Seller and disposed of by Seller or abandoned by Seller, in which case Purchaser shall dispose of such baggage in any manner deemed
appropriate by Purchaser. Seller shall indemnify, defend and hold Purchaser harmless from and against all claims, losses and liabilities in connection with the holding of such baggage or other property for such period and the disposal of same by
Seller. Purchaser shall indemnify, defend and hold Seller harmless from and against all claims, losses and liabilities in connection with Purchaser’s disposal of such baggage. Purchaser shall indemnify, defend and hold Seller harmless from and
against all claims, losses or liabilities with respect to such baggage arising out of the acts or omissions of Purchaser after the Closing. Seller shall indemnify, defend and hold Purchaser harmless from and against all claims, losses or liabilities
with respect to such baggage arising out of the acts or omissions of Seller prior to the Closing. 

  

	 	(d)	Safe Deposit Boxes. Seller shall indemnify defend and hold harmless Purchaser from and against any liability or responsibility for any items claimed to have been in said
boxes but not included on such list, and Purchaser shall indemnify, defend and hold Seller harmless from and against any liability or responsibility for items claimed to have been in said boxes and included on the list. 

  

	14.	Employees. 

  

	 	(a)	Termination of Employees. Subject to the terms of the Management Agreement governing the employment of the Hotel employees, either (1) Seller shall terminate the employment
of all employees of the Hotel as of the Closing Date, and Purchaser shall offer employment to such employees on the terms set forth below, or (ii) all 

  

			
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 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 employees at the Hotel shall continue to be employed by Manager or its affiliates for the benefit of
Owner pursuant to the Management Agreement. In either case Purchaser acknowledges that it is familiar with all existing collective bargaining agreements covering employees at the Property, and agrees to assume and be bound by such existing
collective bargaining agreement either directly or through Manager, as the case may be for obligations arising from and after the Closing.. 
  

	 	(b)	No Delivery of Layoff Notice to Employees. The parties agree that no notices are required or shall be given under the Worker Adjustment and Retraining Act, 29 USC §2101
et seq. or any state or local law, (collectively, “WARN Act”) and Purchaser shall indemnify, defend and hold Seller, Manager, and their successors, subsidiaries, and affiliated companies harmless from all liability under the WARN
Act resulting from Purchaser or its manager’s acts or omissions in connection with (a) the hiring, firing, offering to hire, or failure to hire any of the current employees at the Hotel; (b) Seller’s termination of the employees at the
Hotel by reason of the sale of the Property to Purchaser; (c) the failure of Purchaser to rehire in accordance with the terms of this Agreement, or (d) Purchaser’s direction to Manager, to the extent permitted by the Management Agreement to
fire any employees. The provisions of this paragraph shall survive the Closing. 

  

	 	(c)	Rehiring. If, pursuant to the Management Agreement, the employees are to be terminated by Seller, then Purchaser shall, on or prior to the Closing Date, offer employment
effective on the Closing Date to not fewer of the employees at the Property so as to not trigger any requirement for notice under the WARN Act. Such employees shall be hired for the same position, in full or part time status, and at not less than
the hourly wage rate currently being paid. 

  

	 	(d)	Firing of Manager’s Employees. If pursuant to the Management Agreement, Manager or its affiliates will employ the employees of the Hotel, Purchaser will not direct
Manager to fire employees in any manner that would trigger any requirement for notice under the WARN Act or otherwise violates applicable law. 

  

	 	(e)	Benefits. Purchaser agrees to be responsible for, and to indemnify, defend and hold Seller harmless from, all costs and expenses of accrued and unpaid vacation and sick leave
for all employees including payroll taxes due in connection therewith to the extent the same do not exceed the Benefits Credit; provided, however, that Purchaser shall receive a credit against the Purchase Price for the sum equal to the aggregate
amount of all accrued and unpaid vacation and sick leave, including payroll taxes due in connection therewith, for employees at the Property as of the Closing Date (“Benefits Credit”). If Seller will be terminating the employees and
the employees are being rehired by Purchaser, then to the extent required by applicable law, Purchaser shall give each employee at the Property who is employed by Seller as of the Closing Date an option and election whether to receive payment of an
amount equal to such employee’s Benefits Credit as of the Closing Date or to continue to accrue and receive the benefit of such Benefits Credit while employed by Purchaser after the Closing Date. The covenants and agreements contained in this
Paragraph 14(e) shall survive the Closing and are not intended and shall not confer any benefit or right on any person or entity other than the parties to this Agreement. Seller shall be and remain solely responsible for payment of any other payroll
and employee benefits accrued in connection with employees at the Property for any period prior to the Closing Date and shall indemnify, defend and hold Purchaser harmless therefrom. 

  

	 	(f)	Not a Successor. Nothing in this Agreement shall cause Purchaser to be deemed to be a successor to Seller with respect to any matter affecting the Property, including without
limitation, the employment of its employees. Seller shall remain solely liable for any and all claims arising from Seller’s use, occupancy or operation of, or employment or termination by Seller of employees at the Property through the Closing
Date, shall indemnify Purchaser for any and all such claims and shall reimburse Purchaser’s reasonable costs of the defense thereof. Purchaser shall remain solely liable for any and all claims arising from Purchaser’s use, occupancy or
operation of, or employment or termination by Purchaser of employees at the Property on and after the Closing Date, shall indemnify Seller for any and all such claims and shall reimburse Seller’s reasonable costs of the defense thereof. Nothing
in this subsection (e) shall reduce, alter, waive, construe or otherwise affect (a) any agreement between any one of the parties, on the one hand, and any other party, on the other hand, pertaining to Seller’s or Purchaser’s
rights against and obligations to such other parties with respect to the Property, or (b) any right, remedy or defense at law, in equity or otherwise. 

  

	 	(g)	Credit for Payment by Purchaser. Solely for the purposes of determining the reduction of Seller’s liability pursuant to 29 U.S.C. § 2104(a)(2), but for no other
purpose, Purchaser’s payment of wages, benefits and other compensation to employees at the Hotel during any period of time shall be deemed to have been paid by Seller also. 

  

			
	 May 11, 2005
 Page 12
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

	15.	Loss by Fire, Other Casualty or Condemnation. 

  

	 	(a)	Material Damage. In the event that, prior to the Closing, the Property is destroyed or materially damaged (as defined in Section 15(c) below) by casualty,
Purchaser shall have the right, exercisable by giving notice to Seller within fifteen (15) days after receiving written notice of such casualty, either (i) to terminate this Agreement, in which case neither party shall have any further rights or
obligations hereunder except that Purchaser will receive a refund of the Deposit and Purchaser and Seller each shall be responsible for one-half of escrow cancellation fee, and Purchaser shall remain obligated under Section 3, or (ii)
to accept the Property in its then condition and to proceed with the Closing with an abatement or reduction in the Purchase Price in the amount of the deductible for the applicable insurance coverage, in which case Purchaser shall be entitled to
receive an assignment of all of Seller’s rights to any insurance proceeds payable by reason of such damage or destruction. If Purchaser elects to proceed under clause (ii) above, Seller shall not compromise, settle or adjust any claims to such
proceeds without Purchaser’s prior written consent. 

  

	 	(b)	Non-Material Damage. In the event that, prior to the Closing, there is any non-material damage to the Property caused by casualty, Seller shall elect either (i) to repair or
replace such damage to substantially the same condition or better than that which existed prior to the event prior to the Closing and Purchaser shall proceed with the Closing following completion of such repair or replacement, or (ii) to proceed to
Closing without repair or replacement of the damage, in which case the Purchase Price shall be reduced by the amount of any deductible for the applicable insurance coverage and Purchaser shall be entitled to receive an assignment of all of
Seller’s rights to any insurance proceeds payable by reason of such damage or destruction; provided, however, that any cost or expense incurred by Seller in connection with repairing or replacing such damage shall not be included in any
closing or post-closing proration or adjustment of the Purchase Price or otherwise credited to Seller’s benefit in connection with this transaction. 

  

	 	(c)	Definition of Material Damage. For purposes of this Section 15, damage to the Property shall be deemed to involve a material portion thereof if the estimated
cost of restoration or repair of such damage reasonably estimated by Seller shall exceed the greater of (i) One Million Dollars ($1,000,000) or (ii) ten percent (10%) of the Purchase Price. 

  

	 	(d)	Condemnation. In the event that, prior to the Closing, the entire Property, or any substantial portion thereof, is subject to a condemnation by a public authority, then
Purchaser shall have the right, exercisable by giving notice to Seller within fifteen (15) days after receiving written notice of such taking, either (a) to terminate this Agreement and obtain a refund of the Deposit, in which case neither party
shall have any further rights or obligations hereunder, except that Purchaser and Seller shall each be responsible for one half of any title or Escrow cancellation fee and Purchaser shall remain obligated under Section 3, or (b) to
accept the Property in its then condition and proceed to close this transaction, and to receive an assignment of all of Seller’s rights to any condemnation awards payable by reason of such condemnation. If Purchaser elects to proceed under
clause (b) above, Seller shall not compromise, settle or adjust any claims to such awards without Purchaser’s prior written consent. Seller agrees to give Purchaser prompt notice of any threatened taking of the Property promptly after Seller
receives notice of the same. For the purposes of this Section 15(d) “substantial portion” shall mean that number of parking spaces, that if lost, would cause the Property to not be in compliance with applicable governmental parking
requirements or any portion of the Property valued, in the reasonable estimate of Seller, at the greater of (i) One Million Dollars ($1,000,000) or (ii) ten percent (10%) of the Purchase Price. 

  

	16.	Default. Except as otherwise provided in this Agreement, in the event of a default hereunder, the parties shall have all the rights available to them in law and equity,
except that: 

  

	 	(a)	LIQUIDATED DAMAGES - DEPOSIT. NOTWITHSTANDING ANYTHING TO THE CONTRARY CONTAINED IN THIS AGREEMENT, IF THE CLOSING DOES NOT OCCUR AS A RESULT OF PURCHASER’S DEFAULT
UNDER THIS AGREEMENT, SELLER SHALL BE ENTITLED TO RETAIN THE DEPOSIT AS SELLER’S LIQUIDATED DAMAGES. THE PARTIES AGREE THAT IT WOULD BE IMPRACTICABLE AND EXTREMELY DIFFICULT TO ASCERTAIN THE ACTUAL DAMAGES SUFFERED BY SELLER AS A RESULT OF
PURCHASER’S FAILURE TO COMPLETE THE PURCHASE OF THE PROPERTY PURSUANT TO THIS AGREEMENT, AND THAT UNDER THE CIRCUMSTANCES EXISTING AS OF THE EFFECTIVE DATE, THE LIQUIDATED DAMAGES PROVIDED FOR IN THIS SECTION REPRESENTS A REASONABLE ESTIMATE OF
THE DAMAGES WHICH SELLER WILL INCUR AS A RESULT OF SUCH FAILURE, PROVIDED, HOWEVER, THAT THIS PROVISION SHALL NOT LIMIT SELLER’S RIGHTS TO RECEIVE REIMBURSEMENT FOR ATTORNEYS’ FEES, NOR WAIVE OR AFFECT SELLER’S RIGHTS AND
PURCHASER’S INDEMNITY OBLIGATIONS UNDER OTHER SECTIONS OF THIS 

  

			
	 May 11, 2005
 Page 13
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

 AGREEMENT. THE PARTIES ACKNOWLEDGE THAT THE PAYMENT OF SUCH LIQUIDATED DAMAGES IS NOT INTENDED AS A
FORFEITURE OR PENALTY WITHIN THE MEANING OF ANY APPLICABLE STATUTE OR LAW, BUT IS INTENDED TO CONSTITUTE LIQUIDATED DAMAGES TO SELLER. THE PARTIES HAVE SET FORTH THEIR INITIALS BELOW TO INDICATE THEIR AGREEMENT WITH THE LIQUIDATED DAMAGES PROVISION
CONTAINED IN THIS SECTION. 
  

					
	 	 	  

	  	  

	 	 	        SELLER’S INITIALS	  	        PURCHASER’S INITIALS

  

	 	(b)	Seller’s Breach Pre-Closing. If Seller shall have failed to perform in any material respect any of the covenants and agreements contained herein to be performed by
Seller within the time for performance as specified herein, Purchaser’s remedies shall be (1) the termination of Purchaser’s obligations under this Agreement by written notice to Seller, in which case the Deposit shall be returned to the
Purchaser, and Seller shall be responsible for any title or escrow cancellation fee; or (2) if Purchaser is ready, willing and able to purchase the Property on the Closing Date pursuant to this Agreement, and such ability is evidenced by the
delivery of the Purchase Price to Escrow Holder as and when due hereunder, and Seller refuses to convey title to the Property to Purchaser (except in the event of the failure of any of Seller’s Conditions Precedent), Purchaser may file an
action for specific performance of this Agreement. 

  

	 	(c)	Purchaser Aware that Seller’s Representations Untrue. If Purchaser becomes aware that any of Seller’s representations and warranties contained herein are not
materially true and correct prior to the Close of Escrow then Purchaser’s sole remedy shall be to either (i) terminate this Agreement by written notice to Seller and Escrow Holder, in which event the Deposit shall be returned to Purchaser or
(ii) waive any and all claims directly or indirectly related to the representation and/or warranty and proceed to the Closing. 

  

	 	(d)	Post-Closing Claim by Purchaser. Any claim by Purchaser for any breach of any representation or warranty after the Close of Escrow, or any other claim for breach of this
Agreement shall be subject to the following: (i) no such claim shall be made until the damages from such claim are at least $50,000 in the aggregate, (ii) any such claim must be made within twelve (12) months of the Close of Escrow and (iii)
Purchaser shall be limited to its actual compensatory damages not to exceed $1,000,000 in the aggregate from all claims, but shall not be entitled to consequential or punitive damages. 

  

	17.	Miscellaneous. 

  

	 	(a)	Waiver of Performance. Either party may waive the satisfaction or performance of any conditions or agreements in the Agreement which have been inserted for its own and
exclusive benefit, so long as the waiver is in writing (unless this Agreement provided for a non-written waiver) and specifies the waived condition or agreement and is delivered to the other party hereto and to the Escrow Holder.

  

	 	(b)	Paragraph Headings. The paragraph headings of this Agreement are for purposes of reference only and shall not be used for limiting or interpreting the meaning of any
paragraph. 

  

	 	(c)	Notices. All notices under this Agreement shall be in writing and shall be effective upon actual receipt whether delivered by personal delivery, legible facsimile or
nationally recognized overnight courier (such as Federal Express or United Parcel Service) or sent by United States registered or certified mail, return receipt requested, postage prepaid, addressed to the respective parties addresses indicated in
the Summary. 

  

	 	(d)	Amendments. This Agreement may be amended only by written agreement signed by both of the parties hereto. 

  

	 	(e)	Time of the Essence. Time and each of the terms, covenants, conditions and contingencies of this Agreement are hereby expressly made of the essence.

  

	 	(f)	Counterparts. This Agreement may be executed in several counterparts and all such executed counterparts shall constitute one agreement, binding on all of the parties
hereto, notwithstanding that all of the parties hereto are not signatories to the original or to the same counterpart. 

  

	 	(g)	Governing Law. The validity, construction and operational effect of this Agreement shall be governed by the laws of the State of California. 

  

			
	 May 11, 2005
 Page 14
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

	 	(h)	Attorneys’ Fees and Costs. In any action between the parties hereto seeking the enforcement of any of the terms or provisions of this Agreement, or in connection
with the Property, the prevailing party in such action shall be awarded, in addition to damages, injunctive or other relief, its reasonable costs and expenses, not limited to taxable costs, and reasonable attorneys’ fees, charges and expenses.

  

	 	(i)	Prior Agreements. This Agreement supersedes any and all oral or written agreements between the parties hereto regarding the Property which are prior in time to this
Agreement. Neither Purchaser nor Seller shall be bound by any prior understanding, agreement, promise, representation or stipulation, express or implied, not specified herein. 

  

	 	(j)	Further Assurance. Purchaser and Seller agree to execute all documents and instruments reasonably required in order to consummate the purchase and sale herein contemplated.

  

	 	(k)	Successors and Assigns.  

  

	 	(i)	Purchaser shall have the right to assign all of its right, title and interest in, to and under this Agreement to any Affiliate of Purchaser that has been approved as a franchisee of
Hilton Hotels Corporation, but to no other person or entity (herein “Person”) without the prior written consent of Seller, which consent shall not be unreasonably withheld, delayed or conditioned. As used herein with respect to
Purchaser, the term “Affiliate” shall mean any other Person who, directly or indirectly, is owned or controlled by or is under common control with Purchaser as well as any Person that owns or controls Purchaser, directly or
indirectly. For purposes of this definition, “own” or “ownership” means ownership by one Person of fifty-one percent (51%) or more of the voting stock of the controlled Person, in the case of a corporation, or, in
the case of Persons other than corporations, entitlement of the controlling Person, directly or indirectly, to receive fifty-one percent (51%) or more of the dividends, profits or similar economic benefit from the controlled Person; and
“control” means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of the controlled Person. No assignment made by Purchaser shall be of any force or effect
whatsoever unless and until Purchaser shall have delivered to Seller a counterpart of such assignment, duly executed by Purchaser and the assignee, and an assumption agreement with respect thereto in favor of Seller, duly executed by Purchaser and
the assignee. Notwithstanding anything to the contrary contained herein, no such assignment shall relieve the assigning party from its liability under this Agreement. Any assignment made in violation hereof or which does not comply with the
provisions hereof is and shall be null and void. 

  

	 	(ii)	Subject to the foregoing, this Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. 

  

	 	(l)	Possession. Seller shall deliver possession of the Property to Purchaser as of 12:01 a.m. on the Closing Date, including all keys in Seller’s possession, all books and
records relating to the Property, and originals of documents delivered hereunder, such possession being subject only to the rights of tenants and guests in possession. 

  

	 	(m)	Severability. If any portion of this Agreement is held to be unenforceable by a court of competent jurisdiction, the remainder of this Agreement shall remain in full force
and effect. 

  

	 	(n)	Broker’s Fees and Commissions. Except with respect to Seller’s Broker (the “Seller’s Broker”), Purchaser and Seller each represent and
warrant to the other than they have not entered into any agreement or taken any action which will result in any obligation to pay any brokerage, finder’s fee or similar commission in connection with the purchase and sale of the Property as
herein contemplated, and each agrees to indemnify, defend and hold the other harmless from and against any and all claims for brokerage commissions and fees or finder’s fees payable in connection with the sale of the Property or the
transactions covered and contemplated by this Agreement resulting from the act or omission of such indemnifying party. Seller’s Broker shall be compensated directly by Seller in accordance with a separate listing agreement between Seller and
Seller’s Broker. Nothing in this Agreement shall be construed to confer any third party benefit on any broker or any other person not a party hereto with respect to this Agreement. Each party represents and warrants to the other that it has not
dealt with any brokers, agents or others in connection with the transaction contemplated herein which would give rise to any claim for a sales commission, finder’s fee, or fee or commission of a similar kind or nature. 

 

	 	(o)	Construction of Agreement. The language in all parts of this Agreement shall be in all cases construed simply according to its fair meaning and not strictly for or against
any of the parties hereto. When required by the context, whenever the singular number is used in this Agreement, the same shall include the plural, and the plural shall include the singular, the masculine gender shall include the feminine and neuter
genders, and vice versa. As used in this Agreement, the term “Seller” shall include the respective successors and assigns of Seller, and the term “Purchaser” shall include the successors and permitted assigns of
Purchaser. 

  

			
	 May 11, 2005
 Page 15
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

	 	(p)	Days. As used herein “days” shall refer to calendar days and not business days. However, should any expiration date, due date or other time period fall on a
Saturday, Sunday or holiday on which the New York Stock Exchange is closed for business for the entire day, such expiration date, due date or time period shall be extended to the next business day. 

  

	 	(q)	Announcements. Seller and Purchaser shall consult with each other with regard to all press releases and other announcements issued at or prior to the Closing concerning this
Agreement or the transactions contemplated hereby and, except as may be required by applicable laws or the applicable rules and regulations of any governmental agency or stock exchange, neither Seller nor Purchaser shall issue any such press release
or other such publicity prior to the Closing without the prior consent of the other party. 

  

	 	(r)	Exchange Cooperation. Either party shall be permitted to assign its obligations under this Agreement to an intermediary for the purpose of effectuating a tax-deferred
exchange, so long as such assignment shall not (a) delay or extend the Closing Date, or (b) require the other party to assume any additional obligations, incur any out-of-pocket expenses, or take title to any other property. Neither party shall be,
in any way, responsible or liable for the tax or other consequences of the tax-deferred exchange (or attempted tax-deferred exchange) effected by the other party. 

  

	 	(s)	Seller’s Approval of Sale. The sale of the Property as described herein is subject to approval by one or more committees of Seller given oversight responsibility for the
disposition of property. In the event the transaction described herein is disapproved by such committee(s) on or before the Contingency Expiration Date, this Agreement shall terminate immediately and the Deposit shall be returned to Purchaser.
If Seller fails to terminate this Agreement on or before the Contingency Expiration Agreement Seller shall be deemed to have waived the contingency contained in this section 17(s). 

  

	 	(t)	No Effect Until Mutual Execution. The submission of this Agreement by Seller, its agent or representative for examination or execution by Purchaser does not constitute an
option or offer to sell the Property upon the terms and conditions contained herein or a reservation of the Property in favor of Purchaser, it being intended hereby that this Agreement shall only become effective upon the execution hereof by Seller
and Purchaser and delivery of a fully executed agreement to Purchaser and Escrow Holder. 

  
 [The next page is the signature page.] 
  

			
	 May 11, 2005
 Page 16
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  

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

 

					
	SELLER:
	
	HILTON GLENDALE, L.P.,
	a California limited partnership
		
	By:	 	Doubletree DTWC Corporation,
	 	 	Its sole general partner
			
	 	 	By:	 	 /s/ Dave Sherf

	 	 	Name:	 	Dave Sherf
	 	 	Title:	 	Senior Vice President
	
	PURCHASER:
	
	EHP GLENDALE, LLC,
	a California limited liability company
		
	By:	 	 /s/ Brian Guernier

	Name:	 	Brian Guernier
	Title:	 	Senior Vice President

  

			
	 May 11, 2005
 Page 17
	 	 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT A 
  
 LEGAL DESCRIPTION 
  
 August 9, 2005 
  

 A-1 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT B 
  
 SCHEDULE OF CONTRACTS 
  
 [Omitted] 
  

 B-1 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT C 
  
 Intentionally Omitted 
  
 May 11, 2005 
  

 C-1 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT D 
  
 GRANT DEED 
  
 [Omitted] 
  

 D-1 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT E 
  
 BILL OF SALE 
  
 [Omitted] 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT F 
  
 ASSIGNMENT OF INTANGIBLE PROPERTY 
  
 [Omitted] 
  

 F-5 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT G 
  
 ASSIGNMENT AND ASSUMPTION OF CONTRACTS 
  
 [Omitted] 
  

 G-1 

 Purchase and Sale Agreement 
 Hilton Glendale 
 100 West Glenoaks Blvd., Glendale, California 
  
 EXHIBIT H 
 NON-FOREIGN PERSON AFFIDAVIT 
  
 [Omitted]

  

 I-1 

 FIRST AMENDMENT TO AGREEMENT OF PURCHASE AND SALE 
  
 THIS FIRST AMENDMENT TO AGREEMENT OF PURCHASE AND SALE (“First
Amendment”) is made as of June 9, 2005, by and between HILTON GLENDALE, L.P., a California limited partnership (“Seller”), and EHP GLENDALE, LLC, a California limited liability company (“Purchaser”), with
reference to the following: 
  
 A. Pursuant to that certain
Agreement of Purchase and Sale dated as of May 17,2005, (the “Original Agreement”), Seller agreed to sell, and Purchaser agreed to purchase the Property located at 100 West Glenoaks, Glendale, California 91202, as more particularly
described in the Original Agreement. Initially capitalized terms used in this First Amendment and not defined shall have the meanings ascribed to them in the Original Agreement. 
  
 B. Seller and Purchaser desire to amend the Original Agreement on the terms and conditions set forth below. 
  
 FOR GOOD AND VALUABLE CONSIDERATION, the receipt and sufficiency of which are
acknowledged, Seller and Purchaser agree as follows: 
  
 1.
Modification of Contingency Expiration Date. The “Contingency Expiration Date” as defined in that certain section of the Original Agreement entitled “Summary of Basic Purchase and Sale Terms” and as used and referred to
throughout the Original Agreement is hereby amended and modified to be 5:00pm EST, June 17, 2005. 
  
 2. Modification of Closing Date. The “Outside Closing Date” or, as sometimes referred to in the Original Agreement, the “Closing
Date” or “Closing”, and the “Cut-Off Time” as these terms are defined in that certain section of the Original Agreement entitled “Summary of Basic Purchase and Sale Terms” and as used and referred to throughout the
Original Agreement is hereby amended and modified to be 5:00pm EST, June 23, 2005. 
  
 3. Ratification. Except as provided in this First Amendment, the Original Agreement is unamended and remains in full force and effect and Purchaser and Seller hereby ratify all the terms therein. 
  
 4. Counterparts. This First Amendment may be executed in several
counterparts and all such executed counterparts shall constitute one agreement, binding on all of the parties hereto, notwithstanding that all of the parties hereto are not signatories to the original or to the same counterpart. 
  
 (Signatures on next page) 

 IN WITNESS WHEREOF, Purchaser and Seller have executed this First Amendment as of the day and year first
written above. 
  

									
	SELLER:	 	PURCHASER:
		
	 HILTON GLENDALE, L.P.,
 a California limited
partnership
	 	 EHP GLENDALE, LLC,
 a California limited
liability company

				
	By:	 	 Doubletree DTWC Corporation,
 a
Delaware corporation,
 its sole general partner
	 	By:	 	 /s/ Raymond Martz

	 	 	Name:	 	Raymond Martz
	 	 	Its:	 	Chief Financial Officer
					
	 	 	By:	 	 /s/ Dave Sherf

	 	 	 	 
	 	 	Name:	 	Dave Sherf	 	 	 	 
	 	 	Its:	 	Senior Vice President	 	 	 	 

  

 2 

 SECOND AMENDMENT TO AGREEMENT OF PURCHASE AND SALE 
  
 THIS SECOND AMENDMENT TO AGREEMENT OF PURCHASE AND SALE (this “Amendment”),
dated as of June 17, 2005 is entered into by and between HILTON GLENDALE, L.P., a California limited partnership (“Seller”), and EHP GLENDALE, LLC, a California limited liability company (“Purchaser”).

  
 R E C I T A
L S 
  
 A. Pursuant to that certain Agreement of Purchase and
Sale entered into as of May 17, 2005 as amended by that certain First Amendment to Agreement of Purchase and Sale dated June 9, 2005 (collectively, the “Purchase Agreement”), Seller agreed to sell, and Purchaser agreed to purchase
the Property located at 100 West Glenoaks, Glendale, California 91202, as more particularly described in the Purchase Agreement (the “Hotel”). 
  

B. The Parties now desire to amend the Purchase Agreement as provided herein. All initially-capitalized terms not otherwise defined shall have the meaning ascribed to
them in the Purchase Agreement. 
  
 A G R
E E M E N T 
  
 NOW, THEREFORE,
for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows: 
  
 1. Purchase Price. The Purchase Price shall be $79,800,000.00. 
  
 2. Glendale Redevelopment Agency. For a period of time not to exceed nine (9) months after the Closing Date
(“PPO Deadline”), Seller shall diligently pursue an Agreement with the Glendale Redevelopment Agency to eliminate the Profit Participation Obligation (“PPO Elimination”) provided for in the Instrument Imposing a
Lien and Covenants on Real Property date July 16, 1990 by Glendale Red Lion Hotel, a California limited partnership, Seller’s predecessor in interest. Seller shall not be obligated to expend more than $2,500,000.00, including out-of-pocket
legal fees and consultant costs, if any, to obtain the PPO Elimination. If Seller has not obtained the PPO Elimination on or before the PPO Deadline, Seller shall refund Purchaser $2,500,000.00 of the Purchase Price plus interest at [2.5% per annum]
from the Closing Date to the date of refund under this Section 2. If Seller has obtained the PPO Elimination on or before the PPO Deadline, Seller shall retain the entire Purchase Price and Seller shall have no further obligations to
Purchaser. 
  
 3. Management Agreement. Section 6(a)
of the Purchase Agreement is hereby deleted and replaced with the following: 
  
 The Parties shall negotiate in good faith until one (1) business day prior to the Closing Date, the terms and conditions and form of a management agreement (“Management Agreement”) whereby Seller or its
affiliate (“Manager”) shall manage the Hotel for Purchaser on terms agreed to by the parties. The form of the Management Agreement shall be based on Seller’s standard form of Management Agreement and the Management Agreement shall
have a term of two (2) years and shall be subject to termination upon prior written notice, not to exceed 75 days. 
  

 3 

 4. Accounts Receivable. Section 19(d) of the Purchase Agreement is deleted and replaced with the
following: 
  
 Purchaser shall purchase all accounts
receivable for the Property as of the Close of Escrow at ninety eight and one-half percent (98.5%) of the aggregate face amounts of those accounts receivables. Seller shall receive a credit at the Close of Escrow for such amount and after the Close
of Escrow Purchaser shall be entitled to all collections for such accounts receivable. 
  
 5. Miscellaneous. 
  
 i. Effect of Amendment. Except to the extent the Purchase Agreement is modified by this Amendment, the remaining terms and conditions of the Purchase Agreement shall remain unmodified and in full force and effect. In the event of a
conflict between the terms and conditions of the Purchase Agreement and the terms and conditions of this Amendment, the terms and conditions of this Amendment shall prevail and control. 
  
 ii. Entire Agreement. The Purchase Agreement, together with this Amendment, embodies the entire understanding
between Seller and Purchaser with respect to its subject matter and can be changed only by an instrument in writing signed by the party being charged. 
  
 iii. Warranty of Authority. The signatories hereto represent that they have full and complete authority to bind their respective parties to this
Amendment and that no other consent is necessary or required in order for the signatories to execute this Amendment on behalf of their respective parties. 
  
 iv. Counterparts. This Amendment may be executed in one or more counterparts, each of which shall be deemed an original but all of which, taken
together shall constitute one in the same Amendment. 
  
 v. Applicable Law. This Amendment shall be governed and construed and enforced in accordance with the laws of the State of California without regard to conflicts of laws principles. 
  
 vi. Time is of the Essence. Time is of the essence in each and every
term, condition, obligation and provision hereof. 
  
 (Signature
Page Follows) 
  

 4 

 IN WITNESS WHEREOF, the Parties have executed this Amendment as of the date first above written. 
  

									
	 	 	SELLER:	 	HILTON GLENDALE, L.P.,
	 	 	 	 	a California limited partnership
				
	 	 	 	 	By:	 	Doubletree DTWC Corporation,
	 	 	 	 	 	 	Its sole general partner
					
	 	 	 	 	 	 	By:	 	 /s/ Dave Sherf

	 	 	 	 	 	 	Name:	 	Dave Sherf
	 	 	 	 	 	 	Title:	 	Senior Vice President
			
	 	 	PURCHASER:    	 	EHP GLENDALE, LLC,
	 	 	 	 	a California limited liability company
				
	 	 	 	 	By:	 	 /s/ Brian Guernier

	 	 	 	 	Name:	 	Brian Guernier
	 	 	 	 	Title:	 	Senior Vice President

  

 5 

 Hilton Hotels Corporation by its signature below hereby guarantees the punctual payment of all obligations of Seller
existing under Section 2 of this Amendment. 
  

					
	GUARANTOR:	 	 HILTON HOTELS CORPORATION,
 a Delaware corporation

			
	 	 	By:	 	 /s/ Dave Sherf

	 	 	Name:	 	Dave Sherf
	 	 	Title:	 	Senior Vice President

  

 6 

 THIRD AMENDMENT TO AGREEMENT OF PURCHASE AND SALE 
  
 THIS THIRD AMENDMENT TO AGREEMENT OF PURCHASE AND SALE (this “Amendment”),
dated as of June 20, 2005 is entered into by and between HILTON GLENDALE, L.P., a California limited partnership (“Seller”), and EHP GLENDALE, LLC, a California limited liability company (“Purchaser”).

  
 R E C I T A
L S 
  
 A. Pursuant to that certain Agreement of Purchase and
Sale entered into as of May 17, 2005 as amended by that certain First Amendment to Agreement of Purchase and Sale dated June 9, 2005 and that certain Second Amendment to Agreement of Purchase and Sale dated June 17, 2005 (collectively, the
“Purchase Agreement”), Seller agreed to sell, and Purchaser agreed to purchase the Property located at 100 West Glenoaks, Glendale, California 91202, as more particularly described in the Purchase Agreement (the
“Hotel”). 
  
 B. The Parties now desire to amend the Purchase
Agreement as provided herein. All initially-capitalized terms not otherwise defined shall have the meaning ascribed to them in the Purchase Agreement. 
  
 A G R E E M E N T 
  
 NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree
as follows: 
  
 6. Accounts Receivable. Section 19(d) of
the Purchase Agreement is deleted and replaced with the following: 
  
 Purchaser shall purchase all accounts receivable for the Property as of the Close of Escrow at ninety eight and one-half percent (98.5%) of the aggregate face amounts of those accounts receivables. Seller shall
receive a credit at the Close of Escrow for such amount and for a period of ninety (90) days after the Close of Escrow, Purchaser shall be entitled to all collections for such accounts receivable. In the event that any portion of the such
receivables remains uncollected ninety (90) days after the Close of Escrow (“Uncollected Accounts”), then (a) Seller shall purchase the Uncollected Accounts from Purchaser at ninety eight and one-half percent (98.5%) of the
aggregate face amount of the Uncollected Accounts and shall, in its sole and absolute discretion, handle collection of such Uncollected Accounts and (b) as an ongoing obligation that survives the Closing, and is not limited by the one-time
reconciliation provided for in Section 10(p), if Purchaser receives any payment attributable to those Uncollected Accounts, such amounts shall be credited to Seller. 
  
 7. Miscellaneous. 
  
 i. Effect of Amendment. Except to the extent the Purchase Agreement is modified by this Amendment, the remaining terms and conditions of the
Purchase Agreement shall remain unmodified and in full force and effect. In the event of a conflict between the terms and conditions of the Purchase Agreement and the terms and conditions of this Amendment, the terms and conditions of this Amendment
shall prevail and control. 
  

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 ii. Entire Agreement. The Purchase Agreement, together with this Amendment, embodies the entire
understanding between Seller and Purchaser with respect to its subject matter and can be changed only by an instrument in writing signed by the party being charged. 
  
 iii. Warranty of Authority. The signatories hereto represent that they have full and complete authority to bind
their respective parties to this Amendment and that no other consent is necessary or required in order for the signatories to execute this Amendment on behalf of their respective parties. 
  
 iv. Counterparts. This Amendment may be executed in one or more counterparts, each of which shall be deemed an
original but all of which, taken together shall constitute one in the same Amendment. 
  
 v. Applicable Law. This Amendment shall be governed and construed and enforced in accordance with the laws of the State of California without regard to conflicts of laws principles. 
  
 vi. Time is of the Essence. Time is of the essence in each and every
term, condition, obligation and provision hereof. 
  
 (Signature
Page Follows) 
  

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 IN WITNESS WHEREOF, the Parties have executed this Amendment as of the date first above written. 
  

									
	 	 	SELLER:	 	HILTON GLENDALE, L.P.,
	 	 	 	 	a California limited partnership
				
	 	 	 	 	By:	 	Doubletree DTWC Corporation,
	 	 	 	 	 	 	Its sole general partner
					
	 	 	 	 	 	 	By:	 	 /s/ Dave Sherf

	 	 	 	 	 	 	Name:	 	Dave Sherf
	 	 	 	 	 	 	Title:	 	Senior Vice President
			
	 	 	PURCHASER:    	 	EHP GLENDALE, LLC,
	 	 	 	 	a California limited liability company
				
	 	 	 	 	By:	 	 /s/ Brian Guernier

	 	 	 	 	Name:	 	Brian Guernier
	 	 	 	 	Title:	 	Senior Vice President

  

 9AGREEMENT OF PUCHASE AND SALE

 Exhibit 10.2 
  
 AGREEMENT OF PURCHASE AND SALE 
  
 by and between 
  
 E. S. HOTEL ISLA VERDE, S. E. 
 a
Puerto Rico Special Partnership 
 “Seller” 
  
 and 
  
 EAGLE HOSPITALITY PROPERTIES TRUST, INC. 
 a Maryland Corporation 
  
 “Purchaser”

  
 for 
  
 Embassy Suites Hotel & Casino—San Juan 
 8000 Tartak Street 
 Carolina, Puerto
Rico 
  
 April 28, 2005 

 ADDENDUM & EXHIBIT LIST 
  

			
	Exhibit A	  	Legal Description
	Exhibit B	  	Schedule of Contracts
	Exhibit C	  	Due Diligence Documents
	Exhibit D	  	Deed of Purchase and Sale
	Exhibit E	  	Bill of Sale
	Exhibit F	  	Assignment of Intangible Property
	Exhibit G	  	Assignment and Assumption of Contracts
	Exhibit H	  	Non-United States Property Affidavit

 SUMMARY OF BASIC PURCHASE AND SALE TERMS 
  
 This Summary is hereby incorporated into and made a part of the attached Agreement of
Purchase and Sale (this Summary and the Agreement of Purchase and Sale to be known collectively as this “Agreement”). Each reference in the Agreement of Purchase and Sale to any term of this Summary shall have the meaning as set forth in
this Summary for such term. In the event of a conflict between the terms of this Summary and the Agreement of Purchase and Sale, the terms of this Summary shall prevail. 
  

					
	Effective Date	    	April 28, 2005
		
	Seller	    	E. S. Hotel Isla Verde, S. E.
		
	Purchaser	    	Eagle Hospitality Properties Trust, Inc.
		
	Hotel	    	 Embassy Suites Hotel & Casino—San Juan
 8000 Tartak Street
 Carolina, Puerto Rico

		
	Purchase Price	    	$60,000,000 plus or minus the adjustments described in Section 11.
		
	 Initial Deposit
  
 Additional Deposit
	    	 $500,000
  
 $500,000

		
	 Inspection Period Expiration
 Date
	    	 June 13, 2005
 by 5:00 PM
EST

		
	Closing Date	    	June 30, 2005
		
	Title Company	    	Stewart Title Guaranty Company
		
	 Escrow Holder
  
 Trustee
	    	 San Juan Abstract Company, Inc.
  
 Banco Santander Puerto Rico

		
	Cut-Off Time	    	12:01 a.m. on the Closing Date
		
	 Seller’s Exclusive Marketing
 Agent
	    	Resort Development Consultants, Inc.
			
	Seller’s Address	    	 680 César González Street
 Suite
200
 San Juan, PR 00918
	 	 With copies to:
 680 César
González Street
 Suite 101
 San Juan, PR
00918

			
	 	    	 Telephone No. 787-753-3535
 Facsimile No.
787-777-0503
 Attention: Eng. Cleofé Rubí
	 	 Telephone No. 787-622-5056
 Facsimile No.
787-767-6785
 Attention: Emma M. Cancio, Esquire

		
	Purchaser’s Address	    	 RiverCentre II – Suite 480
 100 East
River Center Blvd.
 Covington, KY 41011
 Telephone No. 859
581-6900
 Facsimile No. 859 581 4650

			
	Title Company’s Address	    	 255 Ponce de León Avenue
 Suite 809

Hato Rey, Puerto Rico 00918

		
	Escrow Holder’s Address	    	 255 Ponce de León Avenue
 Suite 809
Hato
 Rey, Puerto Rico 00918

		
	Exhibits	    	 The following Addendum and Exhibits are incorporated herein and made a part of this Agreement:
  
 Exhibit A – Legal Description
 Exhibit B – Schedule of Contracts
 Exhibit C – Due Diligence
Documents
 Exhibit D - Form of Deed of Purchase and Sale
 Exhibit
E – Bill of Sale
 Exhibit F – Assignment of Intangible Property
 Exhibit G – Assignment and Assumption of Contracts
 Exhibit H – Non-United States Property Affidavit

 AGREEMENT OF PURCHASE AND SALE 
  
 This Agreement is entered into as of the Effective Date, by and between Seller and Purchaser. Seller and Purchaser hereby agree as follows:

  

	1.	Agreement of Purchase and Sale. At the Closing, Seller and Purchaser agree to simultaneously effect and consummate all of the following interdependent transactions:

  

	 	(a)	Purchase and Sale of the Property. Subject to and upon the terms and conditions of this Agreement, Seller hereby agrees to sell to Purchaser, and Purchaser hereby agrees to
purchase from Seller: 

  

	 	(1)	All of Seller’s right, title and interest in and to that certain real property located at the address for the Hotel set forth in the Summary, more particularly described in
Exhibit A attached hereto (the “Land”); 

  

	 	(2)	All of Seller’s right, title and interest in and to all improvements and fixtures situated on the Land, including the Hotel (the “Improvements”);

  

	 	(3)	All of Seller’s right, title and interest (if any) in and to the land lying in the bed of any street or highway adjoining the Land and all other appurtenances to the Land and
Improvements, and all right, title and interest of Seller (if any) in and to any award made or to be made in lieu thereof and in and to any unpaid award for damages to the Land and Improvements by reason of change of grade of any street (the
“Appurtenances”); 

  

	 	(4)	All of Seller’s right, title and interest in and to all tangible personal property furniture, fixtures and equipment, (the “Personal Property”) owned or leased
by Seller and located on or used in connection with the ownership, operation and management of the Hotel (defined below), and excluding the Other Assets (as defined in Section11(o)); 

  

	 	(5)	All opened inventory of food, beverages, operating supplies, operating equipment, merchandise and goods held for sale or for consumption in the ordinary course of business of the
Hotel (“Inventories”); 

  

	 	(6)	All of Seller’s right, title and interest in and to those leases and other contracts identified on Exhibit B attached hereto (the “Contracts”);
and 

  

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	 	(7)	All of Seller’s right, title and interest, to the extent assignable under applicable law, in all rights, warranties, guaranties, agreements, utility contracts, approvals
(governmental or otherwise), licenses, permits, authorizations, entitlements, surveys, plans and specifications and other rights relating to the construction, ownership, operation, use and management of the Real Property (as defined below),
including without limitation all operations and businesses conducted on or from the Real Property (the “Intangible Property”), other than the Other Assets and any non-assignable operational licenses and permits.

  
 The Land, the Appurtenances and the
Improvements are referred to collectively herein as the “Real Property”. The Real Property, the Personal Property, the Contracts, the Inventories, and the Intangible Property are referred to collectively herein as the
“Property”. The Property does not include the Other Assets, the Excluded Property, or the Excluded Liabilities. 
  

	 	(b)	Excluded Property. Excluded Property means: (i) System 21, (ii) CRS (Central Reservations System), (iii) Peoplesoft (financials and human resources); (iv) Infinium
(financials and executive information system), (v) ancillary systems accessed via Hilton Wide Area Network such as HIDB, HSMS and the Hilton Intranet; (vi) access to Hilton Wide Area Network and Hilton email addresses, (vii) any other proprietary
systems of Seller, (viii) all customer lists, (ix) any item in use at the Hotel that would remain the Property of Seller if Seller were merely third-party manager of the Hotel and not owner of the Hotel, (x) any computer hardware related to the
foregoing software owned by Seller and not leased, (xi) any system or other item related to any trade secret or proprietary business method of Seller, (xii) all of Seller’s right, title and interest in the service marks, copyrights, trademarks,
logos, insignia, emblems, symbols, designs, slogans, distinguishing characteristics, trade names, domain names, and all other marks or characteristics associated or used with or in connection with “Hilton” or other brand name owned by
Hilton Hotels Corporation or any affiliate of Hilton Hotels Corporation (the “Hilton Trademark”). Prior to the Closing Date, Seller shall have the right to remove or destroy any Property (including, without limitation, any sign,
fixture, placard, folders, stationary, linen or toiletries) bearing a Hilton Trademark. If Property bearing a Hilton Trademark remains on or in the Land or Hotel after the closing the sale of the Hotel, at Seller’s request, Purchaser shall
immediately deliver such property to Seller or destroy such Property. 

  

	 	(c)	Excluded Liabilities. Seller shall remain solely responsible for all of its liabilities for acts, causes or events occurring prior to the Closing Date (the “Excluded
Liabilities”) which shall survive the Closing of this transaction and shall be retained, paid, performed and discharged exclusively by Seller, including, among others: 

  

	 	(1)	any liability of Seller arising out of or relating to products or services sold or rendered by Seller; 

  

 A-2 

	 	(2)	any liability of Seller for taxes, including (A) any taxes arising as a result of Seller’s operation of its business or ownership of the Property, (B) any taxes that will arise
as a result of the sale of the Property pursuant to this Agreement, and (C) any other taxes of any nature; 

  

	 	(3)	any liability of Seller under any contract not expressly assumed by Purchaser, including any liability arising out of or relating to Seller’s credit facilities or any security
interest related thereto; 

  

	 	(4)	any environmental, health and safety liabilities of Seller arising out of or relating to the operation of Seller’s business or Seller’s leasing, ownership or operation of
the Property; 

  

	 	(5)	any liability of Seller under the employee plans or relating to payroll, vacation, sick leave, workers’ compensation, unemployment benefits, pension benefits, employee stock
option, or profit-sharing plans, health care plans or benefits or any other employee plans or benefits of any kind for Seller’s employees or former employees or both, or relating to the Employees (as hereinafter defined) and reimbursable by
Seller to Hilton Hotels Corporation pursuant to the Management Agreement for the Hotel; 

  

	 	(6)	any liability of Seller under any employment, severance, retention or termination agreement with any employee of Seller or any of its related entities; 

  

	 	(7)	any liability of Seller to any shareholder, partner or related person of Seller; provided that Seller shall continue to be responsible towards any related person of Seller after the
Closing Date; 

  

	 	(8)	any liability of Seller to indemnify, reimburse or advance amounts to any officer, director, employee or agent of Seller; 

  

	 	(9)	any liability of Seller arising out of any proceeding pending as of the Closing Date; 

  

 A-3 

	 	(10)	any liability of Seller arising out of any proceeding commenced after the Closing Date and arising out of or relating to any occurrence or event happening prior to the Closing Date,
and; 

  

	 	(11)	any liability of Seller arising out of or resulting from Seller’s compliance or noncompliance with any legal requirement or order of any governmental body.

  

	2.	Purchase Price. The Purchase Price shall be paid to Seller by Purchaser as follows: 

  

	 	(a)	Within two (2) days of the Effective Date, Purchaser shall deliver the Initial Deposit to the Escrow Holder by wire transfer or cashier’s check. Should Purchaser fail to
deliver the Initial Deposit within two (2) days after the Effective Date, this Agreement shall terminate. The Initial Deposit shall be held by Escrow Holder in one or more federally insured, interest bearing investments or accounts, reasonably
acceptable to Purchaser (the “Escrow Accounts”). 

  

	 	(b)	On the Inspection Period Expiration Date, unless Purchaser has provided notice to proceed to Seller, this Agreement will terminate and the Escrow Holder shall immediately release to
Purchaser the Initial Deposit and interest earned thereon to Purchaser, less any escrow fees, without the obligation of Purchaser to credit Seller for additional interest on such Initial Deposit after such release. However, in the event Purchaser
has given Seller timely notice of its intention to proceed with the acquisition under this Agreement, Purchaser shall deliver the Additional Deposit to the Escrow Holder by cashiers check for deposit to or wire transfer to the Escrow Account(s)
within five (5) days of said notice. The Initial Deposit and the Additional Deposit, plus any interest earned thereon, less the escrow fees, shall hereinafter be referred to as the “Deposit”. If the transaction contemplated by this
Agreement is consummated, the Deposit shall be credited to Purchaser’s account against the Purchase Price. 

  

	 	(c)	The balance of the Purchase Price, as well as all sums necessary to pay closing costs, expenses and prorations, as provided in this Agreement, after crediting (i) the Deposit and
(ii) any other pro-rations and other amounts to which Purchaser is entitled as a credit against the Purchase Price as provided in this Agreement, shall be deposited by Purchaser with the Escrow Holder two (2) days prior to the Closing Date by wire
transfer or cashier’s check. 

  

	 	(d)	Seller and Purchaser may each allocate the Purchase Price, at such party’s discretion, for title insurance, tax and other reporting purposes, provided such allocation is done
in accordance with applicable laws, including Section 1060 of the Internal Revenue Code of 1986, as amended (the “Code”), and the regulations thereunder. 

  

 A-4 

	 	(e)	If Purchaser rejects the condition of the Property and properly terminates this Agreement pursuant to Section 2(a) or Section 4(f) hereof, Escrow Holder shall return to Purchaser
the Deposit. In the event of a Purchaser’s Default (as hereinafter defined) the Deposit shall be retained by Seller and shall constitute liquidated damages and the sole recourse of Seller against Purchaser hereunder. 

 

	3.	Purchaser’s Inspection Rights/Inspection Period. 

  

	 	(a)	On or before seven (7) days from the Effective Date, Seller shall deliver or make available to Purchaser legible copies of the documents listed on Exhibit C attached
hereto to the extent such documents are not confidential or privileged. The parties agree that the Inspection Period and other time deadlines under this Agreement shall be extended automatically for a period equal to the delay incurred by Seller in
delivering to Purchaser the documents listed in Exhibit C hereof. 

  

	 	(b)	Purchaser shall have until the Inspection Period Expiration Date to review the documents provided pursuant to (a) above, and to conduct such other due diligence, studies, tests, and
inspections of the Property as provided in this Agreement (collectively, “Due Diligence Matters”) as Purchaser deems appropriate under the circumstances. In the event Purchaser gives Seller timely notice of its desire to proceed
with the transactions contemplated in this Agreement, all Due Diligence Matters shall be deemed approved by Purchaser, and Purchaser shall be deemed to have waived any and all contingencies with respect to such Due Diligence Matters, express or
implied; provided that in the event any Due Diligence Matter remains unresolved or pending due to a delay caused by an event not under the control of Purchaser, Purchaser shall notify Seller and identify any such pending or unresolved Due Diligence
Matter, and Seller agrees that the Inspection Period Expiration Date shall be extended for such additional time period as may be reasonably required to dispose of the pending or unresolved Due Diligence Matter(s). 

  

	 	(c)	Prior to the Inspection Period Expiration Date, Purchaser and its agents and contractors shall have the right, at Purchaser’s sole cost and expense, to enter onto the Hotel, or
any other portion of the Real Property, at reasonable times and in a reasonable manner upon prior written notice to the Seller for the purpose of making such tests, inspections, surveys or other inquiries (including, without limitation, meetings and
inquiries with Seller’s management) as Purchaser deems necessary or desirable in connection with this Agreement. However, in no event shall Purchaser be permitted to conduct any drilling or boring without the express written consent of Seller.
In conducting its due diligence, Purchaser is authorized to contact directly any governmental authorities that may have jurisdiction over the Property provided that Purchaser gives Seller prior written notice of the nature of the communication with

  

 A-5 

 the governmental agency. During such inspection, Purchaser shall not unreasonably disturb any tenants or
occupants of the Hotel. Purchaser hereby agrees to indemnify Seller and its employees, officers, directors, shareholders, partners, parent companies, subordinates, affiliates, and agents from and against any and all claims, liability, causes of
action, damages, losses, costs and expenses (including attorney’s fees) (collectively “Liability”) incurred by Seller relating to any such entry onto the Property by or on behalf of Purchaser, including, without limitation,
Liability arising out of or relating to acts of third party contractors. This obligation shall survive the termination of this Agreement. In addition, Purchaser shall maintain a policy of liability insurance with premiums fully paid, issued by an
insurance company reasonably acceptable to Seller, to insure the risks covered by the indemnity provided above with coverage in an amount equal to Two Million Dollars ($2,000,000) per occurrence and provide Seller with certificates of such insurance
naming Seller as an additional insured prior to any entry, test or inspection. After making any such tests and inspections, Purchaser shall restore the Real Property to its condition prior to such tests and inspections. 
  

	 	(d)	Purchaser agrees to protect and safeguard, and to instruct all other Qualified Persons (as defined below) to protect and safeguard all information delivered to Purchaser in
connection with its inspection and review of the Property (“Confidential Information”) against unauthorized use, publication or disclosure, except as otherwise permitted or required by applicable law. Confidential Information that
is provided to Purchaser in written form will, at Seller’s election, and in the event the transaction contemplated hereunder is not consummated, be destroyed or returned to Seller immediately upon Seller’s request. Purchaser acknowledges
that Seller shall be entitled to exercise any and all remedies, in law or in equity, which Seller may have against Purchaser for a breach of Purchaser’s obligations in this paragraph. Seller shall be entitled to recover its attorneys fees
reasonably incurred in connection with enforcement of its rights under this section. “Qualified Persons” shall mean employees, agents, attorneys, accountants, lenders, investors or other consultants to whom it is necessary to show
the Confidential Information for the purposes of completing Purchaser’s inspection and review. This Section 3(d) shall survive the termination of this Agreement for a period of one (1) year. 

  

	4.	Title Insurance Matters. 

  

	 	(a)	Title Insurance Owner’s Policy. Purchaser may, at Purchaser’s expense, obtain at the Closing an Owner’s Policy of Title Insurance issued by the Title Company,
insuring Purchaser’s marketable, fee simple absolute title to the Hotel and the Real Property without free and clear of any and all liens and encumbrances and exceptions, except Permitted Exceptions. 

  

 A-6 

	 	(b)	Title Insurance Commitment. Purchaser shall obtain a written commitment (the “Commitment”) from the Title Company to issue the Owner’s Policy of Title
Insurance without exceptions, except Permitted Exceptions, and obtain copies of all instruments (the “Instruments”) that are referred to in that Commitment. 

  

	 	(c)	Survey. Seller shall provide Purchaser, at Seller’s expense, an as -built survey of the Real Property made and certified to Purchaser and Purchaser’s lender by a
Puerto Rico licensed land surveyor in accordance with the requirements for ALTA/ACSM Land Title Surveys bearing the necessary certificates, dates, data, seals and signature. 

  

	 	(d)	Permitted Exceptions. Purchaser hereby agrees to accept title to the Real Property subject only to such matters reasonably acceptable to Purchaser shown as exceptions in the
Commitment (the “Permitted Exceptions”). 

  

	 	(e)	Title Exceptions. Purchaser shall notify Seller within 10 days of obtaining knowledge, (and in any event no later than at the Inspection Period Expiration Date) of its
objection to any liens, easements, reservations, restrictions, or other exceptions or encumbrances to Seller’s title to the Property other than the Permitted Exceptions (collectively, the “Objected Liens”) shown in the
Commitment. Seller shall have until the Closing to cure or remove the Objected Liens at Seller’s sole expense, in order that the Owner’s Policy of Title Insurance be issued to Purchaser free of the Objected Liens. 

 

	 	(f)	Curative Matters. Notwithstanding paragraph 4(e) above, Purchaser acknowledges that Seller does not have the obligation to cure any of the Objected Liens if such cure will
result in a delay of more than thirty (30) days past the Closing Date, or if the cost of curing such Objected Lien(s) exceeds Fifty Thousand ($50,000.00). Seller shall give notice to Purchaser as to which of the Objected Lien(s), if any, Seller will
agree to cure. As to the matters that Seller will not cure, if their continued existence prevents or materially adversely affects Purchaser’s ability to own the Property or operate the Hotel, Purchaser shall have the option to (i) purchase the
Property subject to the Objected Liens or (ii) terminate this Agreement and to obtain the refund of the Deposit. Purchaser shall notify Seller in writing of its election within ten (10) days after receiving Seller’s notice. If Purchaser fails
to notify Seller of Purchaser’s election within the ten (10) days provided above, Purchaser shall be deemed to have waived such Objected Liens and they shall become Permitted Exceptions. 

  

 A-7 

	5.	Closing. 

  

	 	(a)	The purchase and sale contemplated herein (the “Closing”) shall take place at the offices of Seller’s legal counsel, Fiddler, González &
Rodríguez, 6th Floor, 254 Muñoz Rivera Avenue, San Juan, Puerto Rico on the Closing Date.

  

	 	(b)	A Deed of Purchase and Sale shall be executed at the Closing substantially in the form of Exhibit “D” attached to this Agreement, (the “Deed of
Sale”) by which Seller will convey the Land and Improvements to Purchaser subject only to the Permitted Exceptions. 

  

	6.	Closing Costs. 

  
 (a) Seller and Purchaser shall each pay fifty percent (50%) of the following costs (“Closing Costs”) at Closing, which in the aggregate
shall not exceed $1,225,000: 
  
 (i) Fiddler, González
& Rodríguez, P.S.C.’s fees for work related to this Agreement, the prepayment of the AFICA bonds issued for the financing of the Land and Improvements (the “AFICA Bonds”) and the Deed of Sale, estimated at $25000.

  
 (ii) The Internal Revenue Stamps required to be canceled on
the original of the Deed of Sale. 
  
 (iii) The Internal Revenue
Stamps required to be canceled on the first certified copy of the Deed of Sale. 
  
 (iv) The fees for recordation of the Deed of Sale in the Registry of Property of Puerto Rico. 
  
 (v) The fees and costs associated with or related to the redemption and defeasance of the AFICA bonds. 
  
 (b) The following costs shall be paid by Purchaser: 
  
 (i) Policy of title insurance. 
  
 (ii) Purchaser’s counsel fees. 
  

 A-8 

 (iii) To the extent that Seller will encumber the Land and the Improvements, any Internal Revenue
stamps, notarial fees, and fees for recordation of the deed of mortgage in the Registry of Property of Puerto Rico. 
  

	7.	Conditions Precedent to Seller’s Obligation to Close. Seller shall have no obligation to sell the Property unless the following additional conditions
(“Seller’s Conditions Precedent”) have been satisfied by Purchaser or waived in writing by Seller at or prior to the Closing. 

  

	 	(a)	Purchaser shall have timely performed, in all material respects, all of the obligations required to be performed by Purchaser by the terms of this Agreement;

  

	 	(b)	All instruments and documents required on the part of Purchaser to be delivered to effect the Closing shall be in form and substance reasonably satisfactory to Seller; and

  

	 	(c)	Purchaser shall have executed and delivered, or caused to be executed and delivered, the Purchaser’s Closing Documents. 

  

	8.	Conditions Precedent to Purchaser’s Obligation to Close. Purchaser shall have no obligation to buy the Property unless the following additional conditions
(“Purchaser’s Conditions Precedent”) have been satisfied by Seller or waived in writing by Purchaser at or prior to the Closing. 

  

	 	(a)	Seller shall have timely performed, in all material respects, all of the obligations required to be performed by Seller by the terms of this Agreement; 

  

	 	(b)	All instruments and documents required on the part of Seller to be delivered to effect the Closing shall be in form and substance reasonably satisfactory to Purchaser;

  

	 	(c)	Seller shall have executed and delivered, or caused to be executed and delivered, Seller’s Closing Documents; 

  

	 	(d)	All of Seller’s representations and warranties shall have been accurate in all material respects as of the date of this Agreement and at the time of Closing;

  

	 	(e)	No material adverse change has occurred in Seller’s business and to the Property; and 

  

 A-9 

	 	(f)	Seller shall have delivered to Purchaser the Hotel Development Corporation’s consent to the consummation of the transactions contemplated by this Agreement.

  

	9.	Seller’s Closing Documents. At the Closing, Seller shall deliver or cause to be delivered to Purchaser the following (“Seller’s Closing
Documents”), in form and substance reasonably acceptable to Purchaser: 

  

	 	(a)	A Deed of Sale duly executed and in recordable form. 

  

	 	(b)	A Bill of Sale (the “Bill of Sale”) conveying the Personal Property and the Inventories to Purchaser, in the form and content of Exhibit E attached
hereto, duly executed by Seller conveying the Personal Property to Purchaser. 

  

	 	(c)	An assignment of the Intangible Property (the “Intangible Property Assignment”), in the form and content of Exhibit F attached hereto duly executed by
Seller, conveying the Intangible Property to Purchaser. 

  

	 	(d)	An Assignment and Assumption of Contracts (the “Contract Assignment”) in the form and content of Exhibit G attached hereto, duly executed by Seller.

  

	 	(e)	Certificate of resolutions of Seller and Seller’s Managing Partner that evidence the authority of Seller to convey the Property and perform and carry out the covenants and
obligations to be performed by Seller under this Agreement in form and content reasonably acceptable to Purchaser. 

  

	 	(f)	Tax certificates from appropriate governmental authorities showing that all real and personal property taxes due on the Property have been paid. 

  

	 	(g)	An assignment of the Hotel Management Agreement executed by Seller and consented to by Embassy Suites (Puerto Rico), Inc. 

  

	 	(h)	An assignment of the Embassy Suites License Agreement executed by Seller and consented to by Embassy Suites, Inc. 

  

	 	(i)	Seller’s legal counsel favorable opinion substantially in the form of Exhibit H of this Agreement. 

  

 A-10 

	 	(j)	An escrow agreement substantially in the form of Exhibit I, executed by Seller and the Escrow Agent (the “Escrow Agreement”).

  

	 	(k)	A certificate executed by Seller as to the accuracy of its representations and warranties as of the date of this Agreement and as of the Closing in accordance and as to its
compliance with and performance of its covenants and obligations to be performed or complied with at or before the Closing. 

  

	 	(l)	A certificate of the Secretary of Seller’s Managing Partner certifying, as complete and accurate as of the Closing, attached copies of the organizational and governing
documents of Seller, certifying and attaching all requisite resolutions or actions of Seller’s Managing Partner, board of directors and shareholders approving the execution and delivery of this Agreement and the consummation of the contemplated
transactions and certifying to the incumbency and signatures of the officer(s) executing this Agreement and any other document relating to the contemplated transactions. 

  

	 	(n)	All documents necessary or convenient to effect the redemption and defeasance of the AFICA bonds. 

  

	10.	Purchaser’s Closing Documents. At the Closing, Purchaser shall deliver to Seller the following (“Purchaser’s Closing Documents”), in form and
substance reasonably acceptable to Seller: 

  

	 	(a)	The Deed of Sale duly executed in recordable form. 

  

	 	(b)	The Purchase Price, after crediting the Deposit and after all adjustments and pro-rations computed in accordance with this Agreement. 

  

	 	(c)	The Intangible Property Assignment duly executed by Purchaser. 

  

	 	(d)	The Contract Assignment duly executed by Purchaser. 

  

	 	(e)	Appropriate evidence of authority of Purchaser to execute and delivery Seller’s Closing Documents, and to perform, and carry out the covenants and obligations to be performed
by Purchaser in form and content reasonably acceptable to Seller and a certificate of good standing (or its equivalent) issued by its state of organization. 

  

	 	(f)	An assignment of Management Agreement executed by Purchaser and consented to by Embassy Suites (Puerto Rico), Inc. 

  

	 	(g)	An assignment of License Agreement executed by Purchaser and consented to by Embassy Suites, Inc. 

  

 A-11 

	 	(h)	Any documents related to the redemption and defeasance of the AFICA bonds. 

  

	11.	Pro-rations, Closing Adjustments and Post-Closing Settlement. The following items shall be apportioned in respect of the Property between Purchaser and the Seller on a per
diem basis as of 12:01 A.M. (except as otherwise specified in this Paragraph 10) on the Closing Date: 

  

	 	(a)	Taxes and Assessments. Real estate taxes and annual municipal or special district assessments and personal property or use taxes. If, on the Closing Date, bills for the real
estate taxes imposed upon the Property for the tax year in which closing occurs have been issued but shall not have been paid, the pro-rations shall be made on the basis thereof. If such bills shall not have been issued on the Closing Date, the
amount of the taxes shall be reasonably ascertained jointly by the Seller, the Purchaser and the Title Company based upon the then current assessment and anticipated tax rate, and the pro-rations shall be made on the basis of such estimate and in
the event the taxes for the year in which the closing occurs are more or less than such estimated amount, the Seller or Purchaser shall promptly pay the amount necessary to adjust for the correct pro-ration as soon as the actual tax amount becomes
available. 

  

	 	(b)	Rent. Rent paid to and received by the Seller under any leases at the Property. Any payments received by Purchaser after the Closing Date from a tenant under any leases on
account of rentals which are applicable to periods prior to the Closing Date and on account of sums which are attributable to expenses incurred by the lessor for periods of time prior to the Closing Date, shall be apportioned by Purchaser upon
receipt and the portion thereof attributable to periods or expenses prior to Closing Date shall immediately be paid by Purchaser to the Seller. 

  

	 	(c)	Revenues. Guest, convention, room, food, beverage, casino, and all other charges and revenues for services rendered and the operation of all departments of the Property,
including, but not limited to, advance payments under booking agreements for rooms, facilities and services of such Property and any other revenues shall be apportioned, as follows: (1) all food, room service and restaurant revenue as of the closing
of dinner service hours at each restaurant on the evening preceding the Closing Date, and bar and casino revenues as of the closing of service hours at each such department or outlet on the Closing Date, shall be retained by Seller and (2) the guest
(tray) ledger for guests staying in the Hotel as of 12:01 A.M. on the Closing Date shall be counted and such room revenue and associated taxes, shall be divided equally between Seller and Purchaser. Except as hereinabove provided, all revenues for
the Property for days preceding the Closing Date shall be attributed to Seller and all revenues for the 

  

 A-12 

 Property for the Closing Date and days following the Closing Date shall accrue to the benefit of
Purchaser. Purchaser will honor, for its account and assume liability for all hotel, convention and banquet reservations made or accepted by Seller at the rates quoted by Seller. 
  

	 	(d)	Accounts Receivable. Purchaser shall purchase all accounts receivable for the Property (the “Accounts Receivable”) at one hundred percent (100%) of the value
for accounts sixty (60) days old and under, at seventy five percent (75%) for accounts between sixty one (61) and ninety (90) days and at fifty percent (50%) for accounts more than ninety (90) days. Seller shall receive a credit for such amounts and
after the Closing Date, Purchaser shall be entitled to all such amounts; provided that an adjustment shall be made sixty (60) days after the Closing Date if Purchaser has collected more.  

  

	 	(e)	Accounts Payable. Purchaser shall assume all accounts payable for the Property. Purchaser shall receive a credit for those accounts payable that are for expenses attributable
to periods prior to the Closing Date; provided that an adjustment shall be made sixty (60) days after the Closing Date if Purchaser receives new accounts payables after the Closing.  

  

	 	(f)	Operating Costs. All costs and expenses of operating the Property, and amounts paid or payable under the service contracts that have been prepaid by Seller shall be prorated
as of the Closing Date, and Seller shall receive a credit at the Closing for the portion of such prepaid expenses applicable to periods following the Closing Date. 

  

	 	(g)	Miscellaneous. Fees and expenses for music, entertainment, trade association dues, trade subscriptions, coin machine income, and washroom and checkroom income.

  

	 	(h)	Tenant Security Deposits. At Closing, Purchaser shall receive a credit in an amount equal to all cash security deposits, if any, then held by or for the Seller under any
leases at the Property. Purchaser will cause such amount to be maintained after closing as a security deposit in accordance with the requirements of applicable law and the leases and shall indemnify the Seller from all claims of tenants with respect
thereto. 

  

	 	(i)	Utilities. The parties shall switch all utilities into Purchaser’s name as of the Closing Date so no pro-rations shall be necessary. If such switch is not possible, the
amount of the utilities shall be reasonably ascertained by the Seller based upon the then current and anticipated bills, and the pro-rations shall be made on the basis of such estimate. 

  

 A-13 

	 	(j)	Sales Taxes. All sales, use and occupancy taxes, if any, due or to become due in connection with revenues received from the Property prior to the Closing Date will be paid by
the Seller. The Seller shall be entitled to receive any rebates or refunds with respect to any such taxes paid by Seller prior to the Closing Date. 

  

	 	(k)	Supplies. At closing, Purchaser shall purchase from the Seller all of Seller’s inventory subject to existing PAR levels (other than “in service” inventory) of
unopened bottles of liquor and wine in storage at the Property, all other food and beverage supplies and linen supplies in unopened cases, cartons or similar containers and all sides and shells of meat (in any storage freezer at the Property) that
are still in their unopened sacks or other original containers. The purchase price of such goods shall be equal to the actual cost of such goods paid therefore by Seller. Purchaser will not be required to purchase from Seller any items that are out
of date or no longer in use by the Property. 

  

	 	(l)	Cash. All cash in the Hotel’s various bank accounts at financial institutions as of the Cut-Off Time shall remain the property of Seller. Purchaser shall receive cash in
house banks at the Hotel (including the casino banks) as of the Cut-Off Time and Seller shall receive a credit at the Closing Date for such amounts. 

  

	 	(m)	Cash Deposits. Seller shall receive a credit for all cash deposits of the Hotel as of the Closing Date, including deposits with utilities and providers of goods and services.

  

	 	(n)	Hilton Employees. Employee wages and benefits, workers’ compensation claims, pension benefits due or accrued to employees of Hilton Hotels Corporation at the Property
through 12:01 A.M. on the Closing Date, together with F.I.C.A., unemployment and other taxes and benefits due with respect to the employment of such employees, which are reimbursable by Seller to Hilton Hotels Corporation pursuant to the Management
Agreement for the Hotel. Upon the Closing Date, Purchaser shall assume all of the Seller’s liability and obligations to Hilton Hotels Corporation with respect to reimbursement of accrued vacation and sick pay and shall indemnify the Seller from
all claims of Hilton Hotels Corporation or such employees with respect to such vacation and sick pay. In connection therewith, Purchaser shall receive the Benefits Credit (as defined in Section 16(b)). 

  

	 	(o)	Other Assets. Supplies, Accounts Receivable, Cash Deposits and Prepaid Expenses are hereinafter referred to collectively as the “Other Assets”. As of the
Closing, Date Seller shall sell and Purchaser shall purchase from Seller the Other Assets at a purchase price (the “Purchase Price Adjustment”) equal to the cost to Seller of the Other Assets. The total amount due Seller for the
Purchase Price Adjustment shall be offset against any credit due Purchaser hereunder. 

  

 A-14 

	 	(p)	Insurance. Seller’s insurance policies shall be canceled on the Closing Date, unless Purchaser elects to assume such insurance policies, and Seller shall retain against
its insurer reimbursement rights for all prepaid premiums and proceeds of insurance. Purchaser has the option to assume the insurance and reimburse Seller all prepaid premiums and proceeds of insurance. 

  

	 	(q)	Reconciliation and Final Payment. A detailed closing statement shall be prepared at Closing for the Property setting forth the manner of computation of the aforesaid
pro-ration adjustments. All pro-rations shall be made on the basis of a 360 day year and a 30 day month. The apportionments described herein at the Closing shall be based on the actual figures to the extent available. If any of the pro-rations
cannot be calculated based on actual figures, then they shall be calculated based on the Seller’s and Purchaser’s good faith estimates thereof. 

  

	12.	Seller’s Representations and Warranties. Except for the representations and warranties set forth below, the Property is being sold to Purchaser in its “As-Is”
condition without any representations or warranties, express or implied. Purchaser shall rely solely on its own investigation of the Property in making its decision of whether or not to purchase the Property. Purchaser’s rights with respect to
the following representations and warranties shall survive the Closing for a period of one (1) year. 

  

	 	(a)	Power and Authority of Seller. Seller is a Puerto Rico Special Partnership duly organized and existing in the Commonwealth of Puerto Rico and has the requisite right, power
and authority to sell, convey and transfer the Property to Purchaser as provided herein, and to enter into and carry out the terms of this Agreement and the Seller’s Closing Documents and the execution and delivery hereof and of all other
instruments referred to herein, subject to the consent of Hotel Development Corporation, a government corporate instrumentality that is a partner in said partnership. The individual executing this Agreement has the authority to bind Seller to the
terms and conditions hereof and thereof. All proceedings required to be taken by or on behalf of Seller to authorize it to make, deliver and carry out the terms of this Agreement have been or shall be duly and properly taken. No further consent of
any person or entity is required in connection with the execution and delivery of, or performance by, Seller of its obligations under this Agreement, except with respect to any consent which may be required in connection with the assignment of any
Contract all of which shall be obtained by Seller on or prior to the Closing Date. 

  

	 	(b)	Validity of Agreement. This Agreement executed by Seller, and all other documents required by this Agreement to be executed by Seller, shall constitute when so executed, the
valid and binding obligation of Seller, enforceable against Seller in accordance with their respective terms. 

  

 A-15 

	 	(c)	No Claims, Actions, Suits. There are no claims, actions, suits, proceedings, arbitrations, investigations or inquiries before any court or governmental agency, court or
tribunal, domestic, or foreign, or before any private arbitration tribunal, pending, or, to the best of the knowledge of Seller, threatened against Seller involving the Property which, if determined adversely to Seller, would question the validity
of this Agreement or of any action taken or to be taken by any party hereto pursuant to, or in connection with, this Agreement. There are no outstanding orders, judgments or decrees of any court, governmental agency or other tribunal specifically
naming Seller and/or enjoining Seller from taking, or requiring Seller to take, any action, and/or by which Seller or the Property is bound or subject. 

  

	 	(d)	No Employees. Seller has no employees at the Property and no employees of Seller will be transferred as a result of this transaction; all employees working at the Property in
the operation of the Hotel are employed exclusively by Hilton Hotels Corporation. 

  

	 	(e)	No Breach. Neither the execution nor delivery of this Agreement nor the consummation or performance of any of the transactions contemplated in this Agreement will, directly
or indirectly (with or without notice or lapse of time): 

  

	 	(1)	Breach (A) any provisions of any of the governing documents of Seller or (B) any resolution adopted by the partners of Seller; 

  

	 	(2)	Give any governmental body or other person the right to challenge any of the contemplated transactions or to exercise any remedy or obtain any relief under any legal requirement or
any order to which Seller or its partners, or the Property may be subject. 

  

	 	(3)	contravene, conflict with or result in a violation or breach of any of the terms or requirements of, or give any governmental body the right to revoke, withdraw, suspend, cancel,
terminate or modify, any governmental authorization, exemption, or grant that is held by Seller or that otherwise related to the Property or to the business of Seller; 

  

	 	(4)	cause Purchaser to become subject to, or to become liable for the payment of, any tax; 

  

 A-16 

	 	(5)	breach any provision of, or give any person the right to declare a default or exercise any remedy under, or to accelerate the maturity or performance of, or payment under, or to
cancel, terminate or modify, any Contracts; 

  

	 	(6)	result in the imposition or creation of any encumbrance upon or with respect to the Property; or 

  

	 	(7)	result in any partner of the Seller having the right to exercise dissenters’ appraisal rights. 

  

	 	(f)	No Notices. Except as provided in Section 12(a), Seller is not required to give any notice to or obtain any consent from any person in connection with the execution and
delivery of this Agreement or the Seller’s Closing Documents, 

  

	 	(g)	Completeness of Documents. The financial records, books of account, real estate documents, the due diligence documents in connection with the Due Diligence Matters delivered
or made available by Seller are complete and correct and have been maintained in accordance with sound business practices. The minute books of Seller contain accurate and complete records of all meetings held of, and action taken by the partners of
Seller, and no meeting has been held for which minutes have not been prepared or are not contained. 

  

	 	(h)	Title to Property. Seller owns good and marketable title to the Property, free and clear of any liens and encumbrances, other than: liens for taxes for the current tax year
which are not yet due and payable; a first mortgage in the amount of $38,400,000 and a mortgage in the amount of $31,875,000 which rank is inferior to the first mortgage; and the Permitted Exceptions. Seller warrants that at the time of Closing, the
Property shall be free and clear of all encumbrances other than the Permitted Exceptions. 

  

	 	(i)	Encumbrance Documents. True and complete copies of (A) all deeds, existing title insurance policies and surveys of or pertaining to the Property and (B) all instruments,
agreements and other documents evidencing, creating or constituting any real estate encumbrances have been delivered to Purchaser. 

  

	 	(j)	Zoning Compliance. The uses of the Real Property for the various purposes for which it is presently being used is permitted as of right under all applicable zoning legal
requirements and is not subject to “permitted nonconforming” use or structure classifications. To Seller’s knowledge, all Improvements are in compliance with all applicable legal requirements, including those pertaining to zoning,
building and the disabled. The Land abuts on and has direct vehicular access to a public road, is supplied with public or quasi-public utilities and other services appropriate for the operation of the facilities located thereon and is not located
within any flood plain or area subject to wetlands regulation or any similar restriction. To Seller’s knowledge, there is no existing or proposed plan to modify or realign any street or highway or 

  

 A-17 

 any existing or proposed eminent domain proceeding that would result in the taking of all or any part of
the Real Property or that would prevent or hinder the continued use of the Real Property as heretofore used in the conduct of the business of Seller. 
  

	 	(k)	Seller has filed or caused to be filed on a timely basis all tax returns and all reports with respect to taxes that are or were required to be filed pursuant to applicable legal
requirements. All such tax returns and reports filed by Seller are true, correct and complete. Seller has paid, or made provision for the payment of, all taxes that have become due for all periods covered by its tax returns or otherwise, or pursuant
to any assessment received by Seller. There are no encumbrances on any portion of the Property that arose in connection with any failure (or alleged failure) to pay any tax, and Seller has no knowledge of any basis for assertion of any claims
attributable to taxes which, if adversely determined, would result in any such encumbrances. 

  

	 	(l)	Since the date of the most recent audited balance sheet delivered by Seller to Purchaser in connection with Purchaser’s due diligence efforts, there has not been any material
adverse change in the Property or in the business, operations, prospects, assets, results of operations or condition (financial or other) of Seller, and no event has occurred or circumstance exists that may result in such a material adverse change.

  

	 	(m)	To its knowledge, Seller is in full compliance with each legal requirement that is or was applicable to it or the Property and to the conduct or operation of its business or the
ownership or use of any of its assets, and no event has occurred or circumstance exists that (with or without notice or lapse of time) (A) may constitute or result in a violation by Seller of, or a failure on the part of Seller to comply with, any
legal requirement or (B) may give rise to any obligation on the part of Seller to undertake, or to bear all or any portion of the cost of, any remedial action of any nature; Seller has not received any notice or other communication (whether oral or
written) from any governmental body or any or other person regarding (A) any actual, alleged, possible or potential violation of, or failure to comply with, any legal requirement or (B) any actual, alleged, possible or potential obligation on the
part of Seller to undertake, or to bear all or any portion of the cost of, any remedial action of any nature; and 

  

	 	(n)	There is no pending or, to Seller’s knowledge, threatened proceeding: 

  

	 	(i)	by or against Seller or that otherwise relates to or may affect the Property, or the business of, or any of the assets owned or used by, Seller; or 

  

	 	(ii)	that challenges, or that may have the effect of preventing, delaying, making illegal or otherwise interfering with, any of the transactions contemplated by this Agreement; and

  

	 	(iii)	to the knowledge of Seller, no event has occurred or circumstance exists that is reasonably likely to give rise to or serve as a basis for the commencement of any such proceeding.

  

 A-18 

	 	(o)	To Seller’s knowledge, no event has occurred or circumstance exists that is reasonably likely to constitute or result in (with or without notice or lapse of time) a violation
of or failure to comply with any term or requirement of any order to which Seller or any of the Property is subject; and Seller has not received any notice or other communication (whether oral or written) from any governmental body or any other
person regarding any actual, alleged, possible or potential violation of, or failure to comply with, any term or requirement of any order to which Seller or any of the Property is or has been subject. 

  

	 	(p)	Seller has delivered to Purchaser accurate and complete copies of all Contracts material to operation of the Property. 

  

	 	(q)	Seller represents to Purchaser that all policies of insurance to which Seller is a party or that provide coverage to Seller: 

  

	 	(1)	are valid, outstanding and enforceable; 

  

	 	(2)	are issued by an insurer that is financially sound and reputable; 

  

	 	(3)	taken together, provide adequate insurance coverage for the Property and the operations of Seller for all risks normally insured against by a hotel in the same location for all
risks to which Seller is normally exposed; 

  

	 	(4)	are sufficient for compliance with all legal requirements and Contracts; 

  

	 	(5)	during the last three years, Seller has not been (A) refused coverage or received any notice that a defense will be afforded with reservation of rights or (B) notified any such
policy will be cancelled or received any other indication that any policy of insurance is no longer in full force or effect or that the issuer of any policy of insurance is not willing or able to perform its obligations thereunder;

  

	 	(6)	all premiums have been paid when due, and all obligations have otherwise been performed, under each policy of insurance to which it is a party or that provides coverage to Seller;
and 

  

	 	(7)	notices have been given to the insurer of all claims that may be insured thereby. 

  

	 	(r)	To Seller’s knowledge, Seller is, and at all times has been, in full compliance with, and has not been and is not in violation of or liable under, any material environmental
law and there are no pending or, to the knowledge of Seller, threatened claims, encumbrances, or other restrictions of any nature resulting from any environmental, health and safety liabilities or arising under or pursuant to any environmental law
with respect to or affecting the Property. 

  

 A-19 

	 	(s)	Seller has not permitted or conducted, or is aware of any hazardous activity conducted with respect to the Property. 

  

	 	(t)	To the knowledge of Seller, there has been no release or threat of release of any hazardous materials at or from the Property, and no hazardous materials were generated,
transferred, produced, used, or processed from or by the Property. 

  

	 	(u)	Seller has applied for a 10 year extension of all existing tax exemptions granted to it pursuant to it (the “Tax Exemption”). 

  

	 	(v)	Purchaser’s assumption of the Hilton Hotels Corporation Management Agreement for the Hotel will automatically transfer the Hotel’s casino license to Purchaser, at no cost
to Purchaser. 

  

	13.	Purchaser’s Representations and Warranties. Purchaser hereby warrants and represents to Seller that the following representations and warranties are true and correct as
of the date hereof and will be true and correct as of the Closing Date. Seller’s rights with respect to the following representations and warranties shall survive the Closing for a period of one (1) year. 

  

	 	(a)	Purchaser is a corporation duly organized and validly existing in good standing in the State of Maryland and is or will be prior to Closing authorized to do business in the
Commonwealth of Puerto Rico. Purchaser has the requisite right, power and authority to purchase the Property from Seller, as provided herein, and to enter into and carry out the terms of this Agreement and the execution and delivery hereof and of
all other instruments referred to herein. The performance by Purchaser of Purchaser’s obligations hereunder will not violate or constitute a default under the terms and provisions of any material agreement, document or instrument to which
Purchaser is a party or by which Purchaser is bound or affected. All proceedings required to be taken by or on behalf of Purchaser to authorize it to make, deliver and carry out the terms of this Agreement have been duly and properly taken. No
further consent of any person or entity is required in connection with the execution and delivery of, or performance by, Purchaser of its obligations under this Agreement. 

  

	 	(b)	There are no claims, actions, suits, proceedings, arbitrations, investigations or inquiries before any court or governmental agency, court or tribunal, domestic, or foreign, or
before any private arbitration tribunal, pending, or, to the best of the knowledge of Purchaser and its affiliated companies, threatened against Purchaser which, if determined adversely to the Purchaser, would, question the validity of this
Agreement and the documents to be delivered by Purchaser in accordance 

  

 A-20 

 with the terms of this Agreement, or of any action taken or to be taken by any party hereto pursuant to,
or in connection therewith. There are no outstanding orders, judgments or decrees of any court, governmental agency or other tribunal specifically naming and/or enjoining from taking, or requiring Purchaser to take, any action, and/or by which
Purchaser is bound or subject. 
  

	 	14.	Purchase “As Is”. 

  

	 	(a)	Prior to the Inspection Period Expiration Date, Purchaser will be afforded access to the books and records of Seller relating to the operation of the Hotel and to other information
made available by Seller with respect thereto. Prior to the Closing Date and except as otherwise represented, stated or covenanted by Seller in this Agreement, none of Seller nor any agent, officer, employee, or representative of Seller has made any
representations or warranties of any kind, including, without limitation, concerning the condition of the Property. 

  

	 	(b)	Purchaser will conduct its own investigation of the Property; made or will make all inquiries, inspections, tests, audits, studies and analyses that it deems necessary or desirable
in connection with purchasing the Property; and has approved the results of its investigation (including engineering and structural tests, economic feasibility studies, soils and geological reports, reviews of books and records, financial
statements, projections relating to the operation of the Hotel and other documents obtained or prepared by or for Purchaser in connection with its review) and except as otherwise represented, stated or covenanted by Seller in this Agreement,
Purchaser hereby acknowledges that it is relying solely on the representations and warranties of Seller set forth in this Agreement and on its own inspections, tests, audits, studies and investigations conducted in connection with, and on
Purchaser’s own judgment with respect to, its purchase of the Property. 

  

	 	(c)	Purchaser agrees to indemnify, defend and hold harmless Seller against any claim, demand, cause of action, judgment, loss, liability, cost or expense which Seller may suffer,
sustain, incur or otherwise become subject to (either directly or indirectly) to the extent the same results from any action or omission by Purchaser, its affiliates, agents or representatives, or in connection with Purchaser’s investigation of
the Property and due diligence process prior to the Closing Date or its ownership and operation of the Property after the Closing Date. 

  

	 	(d)	“AS IS” CONDITION. PURCHASER ACKNOWLEDGES AND AGREES THAT, EXCEPT AS EXPRESSLY REPRESENTED AND WARRANTED BY SELLER ELSEWHERE IN THIS AGREEMENT, NONE OF SELLER NOR ANY
AGENT, OFFICER, EMPLOYEE, OR REPRESENTATIVE OF SELLER HAS MADE, OR MAKES AND ALL OF THEM SPECIFICALLY NEGATES AND DISCLAIMS ANY OTHER REPRESENTATION, WARRANTY, PROMISE, COVENANT, AGREEMENT OR GUARANTY OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER
EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, CONCERNING OR WITH RESPECT TO THE 

  

 A-21 

 PROPERTY OR ANY MATTER RELATED THERETO, INCLUDING, WITHOUT LIMITATION, THE HABITABILITY,
MERCHANTABILITY, MARKETABILITY, PROFITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE PROPERTY, AND COMPLIANCE WITH ANY ENVIRONMENTAL PROTECTION, POLLUTION OR LAND USE LAWS, RULES, REGULATION, ORDERS OR REQUIREMENTS. EXCEPT FOR THE WARRANTY OF
TITLE PROVIDED BY THE CIVIL CODE OF PUERTO RICO TO BE SET FORTH IN THE DEED OF SALE AND THE EXPRESS WARRANTIES PROVIDED BY SELLER IN THIS AGREEMENT, THIS SALE IS MADE AND WILL BE MADE WITHOUT RECOURSE TO SELLER. PURCHASER ACKNOWLEDGES AND AGREES
THAT TO THE MAXIMUM EXTENT PERMITTED BY LAW, THE SALE OF THE PROPERTY AS PROVIDED FOR HEREIN IS MADE ON AN “AS IS” CONDITION AND BASIS WITH ALL FAULTS, AND THAT SELLER HAS NO OBLIGATIONS TO MAKE REPAIRS, REPLACEMENTS OR IMPROVEMENTS.

  

	 	(e)	Release. Except as expressly set forth herein, Purchaser and anyone claiming by, through or under Purchaser hereby waives its right to recover from and fully and irrevocably
releases Seller, its partners and affiliates and their employees, officers, directors, representatives, agents, servants, attorneys, parent, subsidiaries, successors and assigns, and all persons, firms, corporations and organizations acting in its
behalf (“Released Parties”) from any and all claims that it may now have or hereafter acquire against any of the Released Parties for any costs, loss, liability, damage, expenses, demand, action or cause of action arising from or
related to any matters affecting the Property, or any portion thereof. This release includes claims of which Purchaser is presently unaware or which Purchaser does not presently suspect to exist which, if known by Purchaser, would materially affect
Purchaser’s release to Seller. Without limiting the generality of the foregoing, Purchaser expressly waives any and all rights conferred upon it by any statute or rule of law which provides that a release does not extend to claims which the
claimant does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the released party, including, without limitation, any provisions similar to the
following: “A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the
debtor.” 

  

	15.	Conduct of Hotel Business/Liquor Licenses/Tax Exemption Transfer. 

  

	 	(a)	Conduct of Hotel Business. During the period from the Effective Date until the Closing Date, Seller shall operate the Property only in the ordinary course of business
consistent with sound business practices. At all times prior to the Closing Date, Seller shall maintain insurance coverage for the Property consistent with past practice and shall not, without the prior written consent or other due authorization or
approval of Purchaser, make any modifications or alterations to the Property other than in the ordinary course of business. 

  

 A-22 

	 	(b)	Liquor Licenses. Seller shall cooperate with Purchaser (at no cost to Seller) in the transfer or issuance of all liquor licenses necessary to permit Purchaser to continue to
sell alcoholic beverages at the Property (the “Liquor Licenses”). Purchaser shall execute such forms, license applications and other documents as may be necessary for Purchaser to obtain all Liquor Licenses prior to the Closing to
take effect, if possible, simultaneously with the Closing Date. If this is not possible, Purchaser agrees that it will submit all forms, applications and other documents required to effect such acquisition of such Liquor Licenses at the earliest
date reasonably practicable. If the Liquor Licenses cannot be obtained until after the Closing Date, to the extent permitted by law, then Seller covenants and agrees that Seller shall cooperate with Purchaser in keeping open the bars and lounges and
liquor facilities of the Property between the Closing and the time when such Liquor Licenses are obtained by Purchaser by entering at Closing into a “Liquor License Agreement” with respect to the Property mutually acceptable to Seller and
Purchaser pursuant to which (i) Purchaser shall indemnify, defend and hold Seller (and its affiliates and agents) harmless from any liability, damages, claims, costs, penalties, losses or expenses (including reasonable attorney’s fees) incurred
by Seller (or any such affiliate or agent) in connection with, arising out of or growing from such operations and the sale of alcoholic beverages at and from the restaurants, bars and lounges located at the Property, during said period of time and
(ii) Purchaser shall reimburse Seller (or any such affiliate or agent) for its costs in maintaining its liquor licenses and alcoholic beverage licenses in full force and effect. In no event shall Seller be required to obtain any additional liquor or
alcoholic beverage licenses which Seller does not possess at the time of closing in respect of the Property. 

  

	 	(c)	Tax Exemption Transfer. Seller and Purchaser will file for, and cooperate with each other in the processing of a petition to transfer the Tax Exemption to Purchaser.

  

	 	16.	Employees. 

  

	 	(a)	No Termination of Employees. Seller has represented to Purchaser and acknowledges that all employees engaged in the operation of the Hotel in the Property are employed
exclusively by Hilton Hotels Corporation (the “Employees”) and that Seller cannot terminate their employment. 

  

	 	(b)	Benefits. Seller agrees to be responsible for, and to indemnify, defend and hold Purchaser harmless from, all costs and expenses of accrued and unpaid wages, overtime,
vacation and sick leave, and other benefits related to the Employees owed by Hilton Hotels Corporation as of the Closing Date and reimbursable to Hilton Hotels Corporation pursuant to the Hotel Management Agreement therefore, including payroll taxes
due in connection therewith (“Benefits Credit”). The covenants and agreements contained in this Paragraph 16(b) are not intended and shall not confer any benefit or right on any person or entity other than the parties to this
Agreement. 

  

 A-23 

	 	(c)	Liability; Indemnity. Seller shall be responsible for and shall hold Purchaser harmless and indemnify Purchaser from all labor and employment related claims, judicial,
extrajudicial and administrative, in connection with the Employees, or any person claiming to be an employee of Seller at the Property, as of the Closing Date which shall include, but shall not be limited to, defending any claims brought against the
Purchaser, the fees of Purchaser’s attorneys, court costs and other litigation-related expenses. 

  

	 	(d)	Indemnity Survival. Seller acknowledges and agrees that the right of indemnification, reimbursement or other remedies granted to Purchaser by Seller under the provision of
this paragraph shall survive the Closing of this transaction. 

  

	 	17.	Loss by Fire, Other Casualty or Condemnation 

  

	 	(a)	In the event that, prior to the Closing, the Property is destroyed or materially damaged (as defined in below) by casualty or condemnation, Purchaser shall have the right,
exercisable by giving notice to Seller within fifteen (15) days after receiving written notice of such damage, destruction, or condemnation, to either (i) terminate this Agreement, in which case the Deposit will be refunded to Purchaser, and neither
party shall have any further rights or obligations hereunder, provided that Purchaser shall remain obligated to observe the confidentiality provisions of this Agreement, or (ii) accept the Property in its then condition and to proceed with the
Closing with an abatement or reduction in the Purchase Price in the amount of the deductible for the applicable insurance coverage, in which case Purchaser shall be entitled to receive an assignment of all of Seller’s rights to any insurance
proceeds payable by reason of such damage or destruction. If Purchaser elects to proceed under clause (ii) above, Seller shall not compromise, settle or adjust any claims related to such insurance proceeds without Purchaser’s prior written
consent. 

  

	 	(b)	In the event that, prior to the Closing, there is any non-material damage to the Property caused by casualty or condemnation, Seller shall elect either (i) to repair or replace such
damage prior to the Closing and Purchaser shall proceed with the Closing following completion of such repair or replacement, or (ii) to proceed to Closing without repair or replacement of the damage, in which case the Purchase Price shall be reduced
by (x) the amount of any deductible under any insurance policy covering such damage or destruction and, if applicable, the amount of any such repair or replacement which is uninsured, and Purchaser shall be entitled to receive an assignment of all
of Seller’s rights to any insurance or condemnation proceeds payable by reason of such damage or destruction; provided, however, that any cost or expense incurred by Seller in connection with repairing or replacing such damage shall not
be included in any closing or post-closing pro-ration or adjustment of the Purchase Price or otherwise credited to Seller’s benefit in connection with this transaction. 

  

 A-24 

	 	(c)	For purposes of this section, a material damage to the Property shall occur if the estimated cost of restoration or repair of such damage or the amount of the condemnation award
with respect of such taking, reasonably estimated by Seller, shall exceed One Million Dollars ($1,000,000). 

  

	18.	Default. Except as otherwise provided in this Agreement, in the event of a default by Seller or Purchaser, the parties shall have the following remedies as the case may be:

  

	 	(a)	Default by Seller. The following shall constitute a “Seller’s Default”: 

  

	 	(1)	Seller fails to deliver the Due Diligence Documents, the Seller’s Closing Documents, the Property on the Closing Date free and clear from encumbrances except for the Permitted
Exceptions, or the payment for its portion of the Closing Costs at Closing; or 

  

	 	(2)	A representation or warranty of Seller, upon which Purchaser relied, is untrue; and 

  

	 	(3)	Seller fails to observe or perform any material covenant, condition or agreement on its part to be observed or performed hereunder, other than as described in (1) and (2) above,
which failure shall continue for a period of fifteen (15) days after notice, specifying such failure and requesting that it be remedied, is given to the Seller by the Purchaser; provided, however, that if such failure cannot be corrected within such
fifteen (15) day period, it shall not constitute a Seller’s Default if corrective action is instituted by the Seller within such period and diligently pursued until such failure is corrected. 

  

	 	(b)	Remedies of Purchaser upon Seller’s Default. Provided that Purchaser is not in default under this Agreement, and except as otherwise provided in Section 4(f), Purchaser
shall have the following remedies: 

  

	 	(1)	to terminate this Agreement by giving written notice to Seller prior to the Closing, whereupon the Deposit shall be refunded promptly to Purchaser, and Purchaser and Seller shall
have no other or further liabilities or obligations under this Agreement, except that Seller shall be responsible for Closing Costs incurred including, but not limited to legal fees, costs and expenses incurred by Purchaser in connection with this
transaction; or 

  

	 	(2)	to seek specific performance of Seller’s obligations under this Agreement. 

  

 A-25 

	 	(c)	Default by Purchaser. The following shall constitute a Purchaser’s Default: 

  

	 	(1)	Purchaser fails to close the sale of the Property in accordance with this Agreement for any reason except for Seller’s Default; or 

  

	 	(2)	A representation or warranty of Purchaser upon which Seller has relied is untrue; or 

  

	 	(3)	Purchaser fails to observe or perform any material covenant, condition or agreement on its part to be observed or performed hereunder, other than as described in (1) and (2) above,
which failure shall continue for a period of fifteen (15) days after notice, specifying such failure and requesting that it be remedied, is given to the Purchaser by the Seller; provided, however, that if such failure cannot be corrected within such
fifteen (15) day period, it shall not constitute a Purchaser’s Default if corrective action is instituted by the Purchaser within such period and diligently pursued until such failure is corrected. 

  

	 	(d)	Remedies of Seller upon Purchaser’s Default. Seller shall have the right to receive the Deposit as liquidated damages as its sole recourse against Purchaser for any
Purchaser’s Default, and this Agreement shall terminate. 

  

	 	(e)	Surviving obligations. The foregoing remedies notwithstanding, Purchaser and Seller shall remain obligated to observe those provisions that survive this Agreement.

  

	19.	Indemnity Fund. 

  
 On the Closing Date Seller and Purchaser shall, immediately after the Inspection Period Expiration Date, determine the need to establish an escrow fund
to cover indemnities provided by Seller under this Agreement, the amount thereof, and the terms and conditions of the related escrow agreement. 
  

	20.	Miscellaneous. 

  

	 	(a)	Waiver of Performance. Either party may waive the satisfaction or performance of any conditions or agreements in the Agreement which have been inserted for its own and
exclusive benefit, so long as the waiver is in writing and specifies the waived condition or agreement and is delivered to the other party hereto. 

  
 The requirements imposed upon Seller in this Agreement are for the Purchaser’s benefit, and those requirements or
other provisions for the Purchaser’s benefit may be waived in writing by Purchaser. Likewise, the requirements imposed upon Purchaser in this Agreement are for the Seller’s benefit, and those requirements or other provisions for the
Seller’s benefit may be waived in writing by Seller. 
  

 A-26 

	 	(b)	Paragraph Headings. The paragraph headings of this Agreement are for purposes of reference only and shall not be used for limiting or interpreting the meaning of any
paragraph. 

  

	 	(c)	Notices. All notices under this Agreement shall be in writing and shall be effective upon actual receipt whether delivered by personal delivery, or by nationally recognized
overnight courier (such as Federal Express or United Parcel Service) or sent by United States registered or certified mail, return receipt requested, postage prepaid, addressed to the respective parties addresses indicated in the Summary.

  

	 	(d)	Amendments. This Agreement may be amended only by written agreement signed by both of the parties hereto. 

  

	 	(e)	Time of the Essence. Time and each of the terms, covenants, conditions and contingencies of this Agreement are hereby expressly made of the essence. 

 

	 	(f)	Counterparts. This Agreement may be executed in several counterparts and all such executed counterparts shall constitute one agreement, binding on all of the parties
hereto, notwithstanding that all of the parties hereto are not signatories to the original or to the same counterpart. 

  

	 	(g)	Governing Law; Judicial Forum. This Agreement and the rights and obligations of the parties hereunder are to be governed by and construed and interpreted in accordance
with the laws of the Commonwealth of Puerto Rico applicable to contracts made and to be performed wholly within Puerto Rico, without regard to choice or conflict of laws rules. The parties submit to the jurisdiction of the General Court of Justice
of Puerto Rico, Court of First Instance, San Juan Part, or the United States District Court for the District of Puerto Rico as the exclusive forum for the determination of any legal dispute or question of law or fact to be determined in any judicial
proceeding relating to this Agreement. The parties irrevocably waive, to the fullest extent permitted by law, any objection they may now or hereafter have to the laying of the venue of any such proceeding brought in such courts and any claim that
any such proceeding brought in such courts has been brought in an inconvenient forum. 

  

	 	(h)	Attorneys’ Fees and Costs. In any action between the parties hereto seeking the enforcement of any of the terms or provisions of this Agreement, or in connection
with the Property, the prevailing party in such action shall be awarded, in addition to damages, injunctive or other relief, reasonable costs and expenses, not limited to attorneys’ fees, charges and expenses actually incurred by such
prevailing party in enforcing its rights under this Agreement. 

  

 A-27 

	 	(i)	Prior Agreements. This Agreement supersedes any and all oral or written agreements between the parties hereto regarding the Property which are prior in time to this
Agreement. Neither Purchaser nor Seller shall be bound by any prior understanding, agreement, promise, representation or stipulation, express or implied, not specified herein. 

  

	 	(j)	Further Assurance. Purchaser and Seller agree to execute all documents and instruments reasonably required in order to consummate the purchase and sale herein
contemplated. 

  

	 	(k)	Successors and Assigns. 

  

	 	(1)	Purchaser shall have the right to assign all of its right, title and interest in, to and under this Agreement to any Affiliate of Purchaser but to no other person or entity (herein
“Person”) without the prior written consent of Seller, which consent shall not be unreasonably withheld, delayed or conditioned. As used herein with respect to Purchaser, the term “Affiliate” shall mean any other
Person who, directly or indirectly, is owned or controlled by or is under common control with Purchaser as well as any Person that owns or controls Purchaser, directly or indirectly. For purposes of this definition, “own” or
“ownership” means ownership by one Person of more than fifty percent (50%) of the voting stock of the controlled Person, in the case of a corporation, or, in the case of Persons other than corporations, entitlement of the
controlling Person, directly or indirectly, to receive more than fifty percent (50%) of the dividends, profits or similar economic benefit from the controlled Person; and “control” means the possession, directly or indirectly, of
the power to direct or cause the direction of the management and policies of the controlled Person. No assignment made by Purchaser shall be of any force or effect whatsoever unless and until Purchaser shall have delivered to Seller a counterpart of
such assignment, duly executed by Purchaser and the assignee, and an assumption agreement with respect thereto in favor of Seller, duly executed by Purchaser and the assignee. Notwithstanding anything to the contrary contained herein, no such
assignment shall relieve the assigning party from its liability under this Agreement. Any assignment made in violation hereof or which does not comply with the provisions hereof is and shall be null and void. 

  

	 	(2)	Subject to the foregoing, this Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. 

  

 A-28 

	 	(l)	Possession. With the execution of the Deed of Sale, Seller shall deliver possession of the Property to Purchaser, such possession being subject only to the rights of
tenants and guests in possession. 

  

	 	(m)	Severability. If any portion of this Agreement is held to be unenforceable by a court of competent jurisdiction, the remainder of this Agreement shall remain in full
force and effect. 

  

	 	(n)	Broker’s Fees and Commissions. Seller hereby acknowledges that it has used as its exclusive marketing agent Resort Development Consultants, Inc.
(“Exclusive Marketing Agent”). Seller shall be solely responsible for payment of any fees due to Exclusive Marketing Agent relating to this transaction, but not to any broker, agent or finder on behalf of Purchaser. Seller agrees to
hold Purchaser harmless from and against any claim made by the Exclusive Marketing Agent, or any person or entity claiming a commission or fee through or under Seller in connection with this transaction, including attorney’s fees incurred in
the defense of such a claim. Purchaser represents and warrants to Seller that it has not engaged the services of a broker or commission agent in connection with this transaction. 

  

	 	(o)	Construction of Agreement. The language in all parts of this Agreement shall be in all cases construed simply according to its fair meaning and not strictly for or against
any of the parties hereto. When required by the context, whenever the singular number is used in this Agreement, the same shall include the plural, and the plural shall include the singular, the masculine gender shall include the feminine and neuter
genders, and vice versa. As used in this Agreement, the term “Seller” shall include the respective successors and assigns of Seller, and the term “Purchaser” shall include the successors and permitted assigns of Purchaser.

  

	 	(p)	Days. As used herein “days” shall refer to calendar days and not business days. However, should any expiration date, due date or other time period fall on a
Saturday, Sunday or official holiday in Puerto Rico, such expiration date, due date or time period shall be extended to the next business day. 

  

	 	(q)	Announcements. Seller and Purchaser shall consult with each other with regard to all press releases and other announcements issued at or prior to the Closing concerning this
Agreement or the transactions contemplated hereby and, except as may be required by applicable laws or the applicable rules and regulations of any governmental agency or stock exchange, neither Seller nor Purchaser shall issue any such press release
or other such publicity prior to the Closing without the prior consent of the other party. 

  

	 	(r)	Venture. Nothing contained in this Agreement shall be construed to create a partnership or joint venture between the parties to this Agreement or their respective

  

 A-29 

 successors in interest. Purchaser is not authorized to make any statements or representations
attributable to or on behalf of the Seller and shall at all times comply with all laws and regulations applicable to the transaction and activities described in this Agreement. 
  

	 	(s)	Bulk Sales Law. Purchaser hereby waives compliance by Seller with the laws of any jurisdiction, including without limitation the laws of the Commonwealth, relating to bulk
transfers which may be applicable in connection with the transfer of the Property to Purchaser. 

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

			
	E. S. Hotel Isla Verde, S. E.,
		
	By:	 	Mora Development Corporation
	 	 	Managing Partner
		
	By:	 	 /s/ CLEOFÉ RUBÍ GONZÁLEZ

	 	 	Cleofé Rubí González, President
	
	EAGLE HOSPITALITY PROPERTIES TRUST, INC.
		
	By:	 	 /s/ BRIAN GUERNIER

	Name:	 	Brian Guernier
	Title:	 	Senior Vice President

  

 A-30 

 EXHIBIT A 
  

LEGAL DESCRIPTION 
  
 [Omitted] 
  

 A-31 

 EXHIBIT B 
  

SCHEDULE OF CONTRACTS 
  
 [OMITTED] 
  

 H-1 

 EXHIBIT C 
  

DUE DILIGENCE DOCUMENTS 
  
 [OMITTED] 
  

 H-2 

 EXHIBIT D 
  

[FORM OF DEED OF PURCHASE AND SALE] 
  
 [OMITTED] 
  

 H-3 

 EXHIBIT E 
  

BILL OF SALE 
  
 [OMITTED] 
  

 H-4 

 EXHIBIT F 
  

ASSIGNMENT OF INTANGIBLE PROPERTY 
  
 [OMITTED] 
  

 H-5 

 EXHIBIT G 
  

ASSIGNMENT AND ASSUMPTION OF CONTRACTS 
  
 [OMITTED] 
  

 H-6 

 EXHIBIT H 
  

NON-UNITED STATES REAL PROPERTY AFFIDAVIT 
  
 [OMITTED] 
  

 H-7 

 ADSUAR MUÑIZ GOYCO & BESOSA, P.S.C. 
 A PROFESSIONAL SERVICES CORPORATION OF 
 ATTORNEYS AND COUNSELORS AT LAW 
 POST OFFICE BOX 70294 
 SAN JUAN, PUERTO RICO 00936-8294 
  
 TELEPHONE (787) 756-9000 
  
 FAX (787) 756-9010 
 www.amgblaw.com 
  

			
	ENRIQUE ADSUAR, JR.	 	DIRECT NUMBER
	 	 	(787) 281-1810
		
	 	 	EMAIL            
	 	 	adsuar@amgblaw.com

  
 June 7, 2005

  
 VIA E-MAIL and MESSENGER 
  
 E. S. Hotel Isla Verde, S.E. 
 680 César González Street 
 Suite 200 
 San Juan, Puerto Rico 00918 
  

	 	Re:	Agreement of Purchase and Sale between E.S. Hotel Isla Verde, S.E. (“Seller”) and Eagle Hospitality Properties Trust, Inc. (“Purchaser”) dated as of
April 28, 2005 (the “Agreement”). 

  
 Gentlemen:

  
 As counsel to Purchaser under the Agreement, this letter
confirms the agreement between Seller and Purchaser to amend the provisions of the Agreement thereby extending the Inspection Period Expiration Date, as said term is defined therein, to June 20, 2005. All other terms, conditions and covenants
of the Agreement remain unaltered and in full force and effect. 
  
 Kindly evidence your agreement and acceptance of the foregoing amendment by signing and dating in the space provided below. 
  

	
	 Cordially,

	
	 /s/ Enrique Adsuar, Jr.

	 Enrique Adsuar, Jr.

  
 Agreed to and Accepted:

  

			
	 E.S. Hotel Isla Verde, S.E.

		
	By:	 	 /s/ Cleofé Rubí González

	 Name:
	 	 Cleofé Rubí González

	 Title:
	 	 President

	 Date:
	 	 June 7, 2005

  

			
	 Eagle Hospitality Properties Trust, Inc.

		
	By:	 	 /s/ Raymond Martz

	 Name:
	 	 Raymond Martz

	 Title:
	 	 CFO

	 Date:
	 	 June 10, 2005

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