Document:

EX-10.7

 Exhibit 10.7 
 TRADE STREET RESIDENTIAL, INC. 
 2013 EQUITY INCENTIVE PLAN

 TABLE OF CONTENTS 

 

							
	 Section
	  	  	  	 Page
	 
		
	Article I DEFINITIONS	  	 	1	  
			
	 1.01.
	  	Affiliate	  	 	1	  
	 1.02.
	  	Agreement	  	 	1	  
	 1.03.
	  	Award	  	 	1	  
	 1.04.
	  	Board	  	 	1	  
	 1.05.
	  	Change in Control	  	 	1	  
	 1.06.
	  	Code	  	 	3	  
	 1.07.
	  	Charter	  	 	3	  
	 1.08.
	  	Committee	  	 	3	  
	 1.09.
	  	Common Stock	  	 	3	  
	 1.10.
	  	Company	  	 	3	  
	 1.11.
	  	Control Change Date	  	 	4	  
	 1.12.
	  	Corresponding SAR	  	 	4	  
	 1.13.
	  	Covered Employee	  	 	4	  
	 1.14.
	  	Dividend Equivalent Right	  	 	4	  
	 1.15.
	  	Effective Date	  	 	4	  
	 1.16.
	  	Exchange Act	  	 	4	  
	 1.17.
	  	Fair Market Value	  	 	4	  
	 1.18.
	  	Incumbent Directors	  	 	5	  
	 1.19.
	  	Incentive Award	  	 	5	  
	 1.20.
	  	Initial Value	  	 	5	  
	 1.21.
	  	LTIP Unit	  	 	6	  
	 1.22.
	  	Offering	  	 	6	  
	 1.23.
	  	Operating Partnership	  	 	6	  
	 1.24.
	  	Option	  	 	6	  
	 1.25.
	  	Other Equity-Based Award	  	 	6	  
	 1.26.
	  	Participant	  	 	6	  
	 1.27.
	  	Performance-Based Compensation	  	 	7	  
	 1.28.
	  	Performance Criteria	  	 	7	  
	 1.29.
	  	Performance Goals	  	 	8	  
	 1.30.
	  	Performance Period	  	 	8	  
	 1.31.
	  	Performance Units	  	 	8	  
	 1.32.
	  	Plan	  	 	8	  
	 1.33.
	  	REIT	  	 	8	  
	 1.34.
	  	SAR	  	 	9	  
	 1.35.
	  	Stock Award	  	 	9	  
	 1.36.
	  	Ten Percent Stockholder	  	 	9	  
		
	Article II PURPOSES	  	 	9	  
		
	Article III ADMINISTRATION	  	 	10	  
			
	 3.01.
	  	Generally	  	 	10	  

  
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	 3.02.
	  	Performance-Based Compensation	  	 	10	  
		
	Article IV ELIGIBILITY	  	 	11	  
		
	Article V COMMON STOCK SUBJECT TO PLAN	  	 	12	  
			
	 5.01.
	  	Common Stock Issued	  	 	12	  
	 5.02.
	  	Aggregate Limit	  	 	12	  
	 5.03.
	  	Individual Limit for Options and SARs	  	 	12	  
	 5.04.
	  	Reallocation of Shares	  	 	13	  
		
	Article VI OPTIONS	  	 	13	  
			
	 6.01.
	  	Award	  	 	13	  
	 6.02.
	  	Option Price	  	 	13	  
	 6.03.
	  	Maximum Option Period	  	 	14	  
	 6.04.
	  	Nontransferability	  	 	14	  
	 6.05.
	  	Transferable Options	  	 	14	  
	 6.06.
	  	Employee Status	  	 	15	  
	 6.07.
	  	Exercise	  	 	15	  
	 6.08.
	  	Payment	  	 	15	  
	 6.09.
	  	Stockholder Rights	  	 	15	  
	 6.10.
	  	Disposition of Shares	  	 	16	  
		
	Article VII SARS	  	 	16	  
			
	 7.01.
	  	Award	  	 	16	  
	 7.02.
	  	Maximum SAR Period	  	 	16	  
	 7.03.
	  	Nontransferability	  	 	16	  
	 7.04.
	  	Transferable SARs	  	 	17	  
	 7.05.
	  	Exercise	  	 	17	  
	 7.06.
	  	Employee Status	  	 	17	  
	 7.07.
	  	Settlement	  	 	17	  
	 7.08.
	  	Stockholder Rights	  	 	18	  
		
	Article VIII STOCK AWARDS	  	 	18	  
			
	 8.01.
	  	Award	  	 	18	  
	 8.02.
	  	Vesting	  	 	18	  
	 8.03.
	  	Employee Status	  	 	18	  
	 8.04.
	  	Stockholder Rights	  	 	18	  
		
	Article IX PERFORMANCE UNIT AWARDS	  	 	19	  
			
	 9.01.
	  	Award	  	 	19	  
	 9.02.
	  	Earning the Award	  	 	19	  
	 9.03.
	  	Payment	  	 	19	  
	 9.04.
	  	Stockholder Rights	  	 	20	  
	 9.05.
	  	Nontransferability	  	 	20	  
	 9.06.
	  	Transferable Performance Units	  	 	20	  
	 9.07.
	  	Employee Status	  	 	20	  

  
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	Article X OTHER EQUITY–BASED AWARDS	  	 	20	  
			
	 10.01.
	  	Award	  	 	20	  
	 10.02.
	  	Terms and Conditions	  	 	21	  
	 10.03.
	  	Payment or Settlement	  	 	21	  
	 10.04.
	  	Employee Status	  	 	21	  
	 10.05.
	  	Stockholder Rights	  	 	22	  
		
	Article XI INCENTIVE AWARDS	  	 	22	  
			
	 11.01.
	  	Award	  	 	22	  
	 11.02.
	  	Terms and Conditions	  	 	22	  
	 11.03.
	  	Nontransferability	  	 	22	  
	 11.04.
	  	Employee Status	  	 	23	  
	 11.05.
	  	Settlement	  	 	23	  
	 11.06.
	  	Shareholder Rights	  	 	23	  
		
	Article XII ADJUSTMENT UPON CHANGE IN COMMON STOCK	  	 	23	  
		
	Article XIII COMPLIANCE WITH LAW AND APPROVAL OF REGULATORY BODIES	  	 	24	  
		
	Article XIV GENERAL PROVISIONS	  	 	24	  
			
	 14.01.
	  	Effect on Employment and Service	  	 	24	  
	 14.02.
	  	Unfunded Plan	  	 	25	  
	 14.03.
	  	Rules of Construction	  	 	25	  
	 14.04.
	  	Withholding Taxes	  	 	26	  
	 14.05.
	  	REIT Status	  	 	26	  
		
	Article XV CHANGE IN CONTROL	  	 	26	  
			
	 15.01.
	  	Impact of Change in Control	  	 	27	  
	 15.02.
	  	Assumption Upon Change in Control	  	 	27	  
	 15.03.
	  	Cash-Out Upon Change in Control	  	 	27	  
	 15.04.
	  	Limitation of Benefits	  	 	27	  
		
	Article XVI AMENDMENT	  	 	29	  
		
	Article XVII DURATION OF PLAN	  	 	29	  
		
	Article XVIII EFFECTIVE DATE OF PLAN	  	 	30	  

  
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 ARTICLE I 
 DEFINITIONS 
 1.01. Affiliate 

“Affiliate” means any entity, whether now or hereafter existing, which controls, is controlled by, or is under common
control with, the Company (including, but not limited to, joint ventures, limited liability companies and partnerships). For this purpose, the term “control” (including the correlative meanings of the terms “controlled by” and
“under common control with”) shall mean ownership, directly or indirectly, of 50% or more of the total combined voting power of all classes of voting securities issued by such entity, or the possession, directly or indirectly, of the power
to direct the management and policies of such entity, by contract or otherwise. 
 1.02. Agreement 

“Agreement” means a written agreement (including any amendment or supplement thereto) between the Company and a
Participant specifying the terms and conditions of a Stock Award, an award of Performance Units, an Incentive Award, an Option, SAR or Other Equity-Based Award (including an LTIP Unit) granted to such Participant. 

1.03. Award 

“Award” means any Option, SAR, Stock Award, Performance Unit, Incentive Award or Other Equity-Based Award. 

1.04. Board 

“Board” means the Board of Directors of the Company. 
 1.05. Change in Control 
 “Change in Control” means
and includes each of the following: 
 (a) The acquisition, either directly or indirectly, by any individual, entity or group
(within the meaning of Sections 13(d) and 14(d)(2) of the Exchange Act) of beneficial ownership (within the meaning of Rule 13d-3 under the Exchange Act), of more than 50% of either (i) the then outstanding shares of Common Stock of the
Company, taking into account as outstanding for this purpose such Common Stock issuable upon the exercise of options or warrants, the conversion of convertible stock or debt, and the exercise of any similar right to acquire such Common Stock (the
“Outstanding Company Common Stock”) or (ii) the combined voting power of the then outstanding voting securities of the Company entitled to vote generally in the election of directors (the “Outstanding Company Voting
Securities”); provided, however, that the 

  
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following acquisitions shall not constitute a Change in Control (i) any acquisition by the Company or any of its subsidiaries, (ii) any acquisition by a trustee or other fiduciary
holding the Company’s securities under an employee benefit plan sponsored or maintained by the Company or any of its Affiliates, (iii) any acquisition by an underwriter, initial purchaser or placement agent temporarily holding the
Company’s securities pursuant to an offering of such securities or (iv) any acquisition by an entity owned, directly or indirectly, by the stockholders of the Company in substantially the same proportions as their ownership of the then
Outstanding Company Common Stock. 
 (b) Incumbent Directors cease to be a majority of the Board. 

(c) The consummation of a reorganization, merger, consolidation, statutory share exchange or similar form of corporate transaction
involving the Company that requires the approval of the Company’s shareholders, whether for such transaction or the issuance of securities in the transaction (a “Business Combination”), in each case, unless following such Business
Combination: 
 (i) the individuals and entities who were the beneficial owners of the Outstanding Company Voting
Securities immediately prior to such Business Combination, beneficially own, directly or indirectly, more than 50% of the combined voting power of the then outstanding voting securities entitled to vote generally in the election of members of the
board of directors (or the analogous governing body) of the entity resulting from such Business Combination (the “Successor Entity”) (or, if applicable, the ultimate parent entity that directly or indirectly has beneficial ownership of
sufficient voting securities to elect a majority of the members of the board of directors (or the analogous governing body) of the Successor Entity (the “Parent Company”)); 

(ii) no Person (other than any employee benefit plan sponsored or maintained by the Successor Entity or the Parent
Company) beneficially owns (within the meaning of Rule 13d-3 under the Exchange Act), directly or indirectly, more than 50% of the combined voting power of the then outstanding voting securities entitled to vote generally in the election of members
of the board of directors (or the analogous governing body) of the Parent Company (or, if there is no Parent Company, the Successor Entity); and 
 (iii) at least a majority of the members of the board of directors (or the analogous governing body) of the Parent Company (or, if there is no Parent Company, the Successor Entity) following the
consummation of the Business Combination were Incumbent Directors at the time of the Board’s approval of the execution of the initial agreement providing for such Business Combination; 

(d) The direct or indirect sale, transfer, conveyance or other disposition (other than by way of merger or consolidation), in one or a
series of related transactions, of all or substantially 

  
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all of the properties or assets of the Company and its subsidiaries, taken as a whole, to any Person that is not a subsidiary of the Company. 

In addition, if a Change in Control (as defined in clauses (a) through (d) above) constitutes a payment event with respect to
any Option, SAR, Stock Award, Performance Unit or Other Equity-Based Award that provides for the deferral of compensation and is subject to Section 409A of the Code, no payment will be made under that award on account of a Change in Control
unless the event described in subsection (a), (b), (c) or (d) above, as applicable, constitutes a “change in control event” as defined in Treasury Regulation Section 1.409A-3(i)(5). 

1.06. Code 

“Code” means the Internal Revenue Code of 1986, and any amendments thereto. 

1.07. Charter 

“Charter” means the Company’s Articles of Amendment and Restatement, as amended and restated from time to time.

 1.08. Committee 
 “Committee” means the Compensation Committee of the Board. Unless otherwise determined by the Board, the Committee shall consist solely of two or more non-employee members of the Board,
each of whom is intended to qualify as a “non-employee director” as defined by Rule 16b-3 of the Exchange Act or any successor rule, an “outside director” for purposes of Section 162(m) of the Code (if awards under the Plan
are subject to the deduction limitation of Section 162(m) of the Code) and an “independent director” under the rules of any exchange or automated quotation system on which the Common Stock is listed, traded or quoted; provided,
however, that any action taken by the Committee shall be valid and effective, whether or not the members of the Committee at the time of such action are later determined not to have satisfied the foregoing requirements or otherwise provided in
any charter of the Committee. If there is no Compensation Committee, then “Committee” means the Board; and provided, further that with respect to awards made to a member of the Board who is not an employee of the Company or an
Affiliate, “Committee” means the Board. 
 1.09. Common Stock 

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

1.10. Company 

“Company” means Trade Street Residential, Inc., a Maryland corporation. 

  
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 1.11. Control Change Date 

“Control Change Date” means the date on which a Change in Control occurs. If a Change in Control occurs on account of a
series of transactions, the “Control Change Date” is the date of the last of such transactions. 
 1.12. Corresponding
SAR 
 “Corresponding SAR” means an SAR that is granted in relation to a particular Option and that can
be exercised only upon the surrender to the Company, unexercised, of that portion of the Option to which the SAR relates. 
 1.13. Covered
Employee 
 “Covered Employee” shall mean any Employee who is, or could become, a “covered employee”
within the meaning of Section 162(m) of the Code. 
 1.14. Dividend Equivalent Right 

“Dividend Equivalent Right” means the right, subject to the terms and conditions prescribed by the Committee, of a
Participant to receive (or have credited) cash, securities or other property in amounts equivalent to the cash, securities or other property dividends declared on shares of Common Stock with respect to specified Performance Units or an Other
Equity-Based Award of units denominated in shares of Common Stock or other Company securities, as determined by the Committee, in its sole discretion. If the Performance Units or Other Equity-Based Award does not vest solely on account of continued
employment or service, the Committee shall provide that such Dividend Equivalent Rights (if any) shall be distributed only when, and to the extent that, the underlying award is vested or earned and also may provide that Dividend Equivalent Rights
(if any) shall be deemed to have been reinvested in additional shares of Common Stock or otherwise reinvested. 
 1.15. Effective
Date 
 “Effective Date” means the date this Plan is adopted by the Board. 

1.16. Exchange Act 

“Exchange Act” means the Securities Exchange Act of 1934, as amended. 

1.17. Fair Market Value 
 “Fair Market Value” means, on any given date, the reported “closing” price of a share of Common Stock on the New York Stock Exchange for such date or, if there is no closing
price for 

  
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a share of Common Stock on the date in question, the closing price for a share of Common Stock on the last preceding date for which a quotation exists. If, on any given date, the Common Stock is
not listed for trading on the New York Stock Exchange, then Fair Market Value shall be the “closing” price of a share of Common Stock on such other exchange on which the Common Stock is listed for trading for such date (or, if there is no
closing price for a share of Common Stock on the date in question, the closing price for a share of Common Stock on the last preceding date for which such quotation exists) or, if the Common Stock is not listed on any exchange, the amount determined
by the Committee using any reasonable method in good faith and in accordance with the regulations under Section 409A of the Code. 
 1.18.
Incumbent Directors 
 “Incumbent Directors” means individuals who, on the Effective Date,
constitute the Board, provided that any individual becoming a director subsequent to the Effective Date whose election or nomination for election to the Board was approved by a vote of at least two-thirds of the Incumbent Directors then on the Board
(either by a specific vote or by approval of the proxy statement of the Company in which such person is named as a nominee for Director without objection to such nomination) shall be an Incumbent Director. No individual designated to serve as a
director by a person who shall have entered into an agreement with the Company to effect a transaction described in Section 1.05(a) or Section 1.05(c) and no individual initially elected or nominated as a director of the Company as a
result of an actual or threatened election contest with respect to directors shall be an Incumbent Director. 
 1.19. Incentive
Award 
 “Incentive Award” means an award awarded under Article XI which, subject to the terms and
conditions prescribed by the Committee, entitles the Participant to receive a payment from the Company or an Affiliate. 
 1.20. Initial
Value 
 “Initial Value” means, with respect to a Corresponding SAR, the option price per share of the
related Option and, with respect to an SAR granted independently of an Option, the price per share of Common Stock as determined by the Committee on the date of grant; provided, however, that the price shall not be less than the Fair Market
Value on the date of grant. Except as provided in Article XII, the Initial Value of an outstanding SAR may not be reduced (by amendment, cancellation and new grant or otherwise) without the approval of stockholders. In addition, no payment shall be
made in cancellation of a SAR without the approval of stockholders if, on the date of cancellation, the Initial Value exceeds the Fair Market Value. 

  
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 1.21. LTIP Unit 
 “LTIP Unit” means an “LTIP Unit” as defined in the Operating Partnership’s partnership agreement. An LTIP Unit granted under this Plan represents the right to receive the
benefits, payments or other rights in respect of an LTIP Unit set forth in that partnership agreement, subject to the terms and conditions of the applicable Agreement and that partnership agreement. 

1.22. Offering 

“Offering” means the underwritten public offering, issuance and sale of shares of Common Stock, pursuant to that certain
Underwriting Agreement, dated as of [            ] [__], 2013, by and among the Company, the Operating Partnership and Sandler O’Neill & Partners, L.P., as representative of
the several underwriters named therein. 
 1.23. Operating Partnership 

“Operating Partnership” means Trade Street Operating Partnership, LP., a Delaware limited partnership. 

1.24. Option 

“Option” means a stock option that entitles the holder to purchase from the Company a stated number of shares of Common
Stock at the price set forth in an Agreement. 
 1.25. Other Equity-Based Award 

“Other Equity-Based Award” means any award other than an Incentive Award, an Option, SAR, a Performance Unit award or a
Stock Award which, subject to such terms and conditions as may be prescribed by the Committee, entitles a Participant to receive Common Stock or rights or units valued in whole or in part by reference to, or otherwise based on, Common Stock
(including securities convertible into Common Stock) or other equity interests including LTIP Units. 
 1.26. Participant

 “Participant” means an employee or officer of the Company or an Affiliate, a member of the Board, or an
individual who provides bona fide services to the Company or an Affiliate (including an individual who provides services to the Company or an Affiliate by virtue of employment with, or providing services to, the Operating Partnership), and who
satisfies the requirements of Article IV and is selected by the Committee to receive an award of Performance Units or a Stock Award, an Incentive Award, Option, SAR, Other Equity-Based Award or a combination thereof. 

  
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 1.27. Performance-Based Compensation 

“Performance-Based Compensation” shall mean any compensation that is intended to qualify as “performance-based
compensation” as described in Section 162(m)(4)(C) of the Code. 
 1.28. Performance Criteria 

“Performance Criteria” shall mean the criteria (and adjustments) that the Committee selects for an Award for
purposes of establishing the Performance Goal or Performance Goals for a Performance Period, determined as follows: 
 (a) The
Performance Criteria that shall be used to establish Performance Goals are limited to the following: (i) net earnings (either before or after one or more of the following: (A) interest, (B) taxes, (C) depreciation,
(D) amortization, and (E) non-cash equity-based compensation expense); (ii) gross or net sales or revenue; (iii) net income (either before or after taxes); (iv) adjusted net income; (v) operating earnings or profit;
(vi) cash flow (including, but not limited to, operating cash flow and free cash flow); (vii) return on assets; (viii) return on capital; (ix) return on stockholders’ equity; (x) total stockholder return;
(xi) return on sales; (xii) gross or net profit or operating margin; (xiii) costs; (xiv) funds from operations; (xv) expenses; (xvi) working capital; (xvii) earnings per share; (xviii) adjusted earnings per
share; (xix) price per share; (xx) regulatory body approval for commercialization of a product; (xxi) implementation or completion of critical projects; (xxii) market share; (xxiii) economic value; (xxiv) debt levels or
reduction; (xxv) sales-related goals; (xxvi) comparisons with other stock market indices; (xxvii) operating efficiency; (xxviii) employee satisfaction; (xxix) financing and other capital raising transactions;
(xxx) recruiting and maintaining personnel; and (xxxi) year-end cash, any of which may be measured either in absolute terms for the Company or any operating unit of the Company or as compared to any incremental increase or decrease or as
compared to results of a peer group or to market performance indicators or indices. 
 (b) The Committee may, in its sole
discretion, provide that one or more objectively determinable adjustments shall be made to one or more of the Performance Goals. Such adjustments may include, but are not limited to, one or more of the following: (i) items related to a change
in accounting principle; (ii) items relating to financing activities; (iii) expenses for restructuring or productivity initiatives; (iv) other non-operating items; (v) items related to acquisitions; (vi) items attributable
to the business operations of any entity acquired by the Company during the Performance Period; (vii) items related to the sale or disposition of a business or segment of a business; (viii) items related to discontinued operations that do
not qualify as a segment of a business under U.S. generally accepted accounting principles; (ix) items attributable to any stock dividend, stock split, combination or exchange of stock occurring during the Performance Period; (x) any other
items of significant income or expense which are determined to be appropriate adjustments; (xi) items relating to unusual or extraordinary corporate transactions, events or developments, (xii) items related to amortization of acquired

  
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intangible assets; (xiii) items that are outside the scope of the Company’s core, on-going business activities; (xiv) items related to acquired in-process research and development;
(xv) items relating to changes in tax laws; (xvi) items relating to major licensing or partnership arrangements; (xvii) items relating to asset impairment charges; (xviii) items relating to gains or unusual or nonrecurring events
or changes in Applicable Law, accounting principles or business conditions. For all Awards intended to qualify as Performance-Based Compensation, such determinations shall be made within the time prescribed by, and otherwise in compliance with,
Section 162(m) of the Code. 
 1.29. Performance Goals 

“Performance Goals” shall mean, for a Performance Period, one or more goals established in writing by the Committee for
the Performance Period based upon one or more Performance Criteria. Depending on the Performance Criteria used to establish such Performance Goals, the Performance Goals may be expressed in terms of overall performance of the Company, the
Partnership, any Affiliate, any division or business unit thereof or an individual. Unless otherwise specified at the time a Performance Goal is established, the achievement of each Performance Goal shall be determined in accordance with U.S.
generally accepted accounting principles. 
 1.30. Performance Period 

“Performance Period” shall mean one or more periods of time, which may be of varying and overlapping durations, as
the Committee may select, over which the attainment of one or more Performance Goals will be measured for the purpose of determining a Participant’s right to, and the payment of, an Award.  

1.31. Performance Units 
 “Performance Units” means an award, in the amount determined by the Committee, stated with reference to a specified number of shares of Common Stock, that in accordance with the terms of
an Agreement entitles the holder to receive a payment for each specified unit equal to the value of the Performance Unit on the date of payment. 
 1.32. Plan 
 “Plan” means this Trade Street
Residential, Inc. 2013 Equity Incentive Plan. 
 1.33. REIT 

“REIT” means a real estate investment trust within the meaning of Sections 856 through 860 of the Code. 

  
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 1.34. SAR 
 “SAR” means a stock appreciation right that in accordance with the terms of an Agreement entitles the holder to receive, with respect to each share of Common Stock encompassed by the
exercise of the SAR, the excess, if any, of the Fair Market Value at the time of exercise over the Initial Value. References to “SARs” include both Corresponding SARs and SARs granted independently of Options, unless the context requires
otherwise. 
 1.35. Stock Award 
 “Stock Award” means Common Stock awarded to a Participant under Article VIII. 

1.36. Ten Percent Stockholder 
 “Ten Percent Stockholder” means any individual owning more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or of a “parent
corporation” or “subsidiary corporation” (as such terms are defined in Section 424 of the Code) of the Company. An individual shall be considered to own any voting stock owned (directly or indirectly) by or for his or her
brothers, sisters, spouse, ancestors or lineal descendants and shall be considered to own proportionately any voting stock owned (directly or indirectly) by or for a corporation, partnership, estate or trust of which such individual is a
stockholder, partner or beneficiary. 
 ARTICLE II 
 PURPOSES 
 The Plan is intended to assist the Company and its Affiliates in
recruiting and retaining directors, employees and other service providers with ability and initiative by enabling such persons or entities to participate in the future success of the Company and its Affiliates and to associate their interests with
those of the Company and its stockholders. The Plan is intended to permit the grant of both Options qualifying under Section 422 of the Code (“incentive stock options”) and Options not so qualifying, and the grant of SARs, Stock
Awards, Performance Units, Incentive Awards and Other Equity-Based Awards in accordance with the Plan and any procedures that may be established by the Committee. No Option that is intended to be an incentive stock option shall be invalid for
failure to qualify as an incentive stock option; however, to the extent of such failure, such Option shall be considered to a nonstatutory stock option. The proceeds received by the Company from the sale of Common Stock pursuant to this Plan shall
be used for general corporate purposes. 

  
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 ARTICLE III 
 ADMINISTRATION 
 3.01. Generally 

The Plan shall be administered by the Committee. The Committee shall have authority to grant SARs, Stock Awards, Performance Units,
Incentive Awards, Options and Other Equity-Based Awards upon such terms (not inconsistent with the provisions of this Plan), as the Committee may consider appropriate. Such terms may include conditions (in addition to those contained in this Plan),
on the exercisability of all or any part of an Option or SAR or on the transferability or forfeitability of a Stock Award, an award of Performance Units, an Incentive Award or an Other Equity-Based Award. Notwithstanding any such conditions, the
Committee may, in its discretion, accelerate the time at which any Option or SAR may be exercised, or the time at which a Stock Award or Other Equity-Based Award may become transferable or nonforfeitable or the time at which an Other Equity-Based
Award, an Incentive Award or an award of Performance Units may be settled. In addition, the Committee shall have complete authority to interpret all provisions of this Plan; to prescribe the form of Agreements; to adopt, amend, and rescind rules and
regulations pertaining to the administration of the Plan (including rules and regulations that require or allow Participants to defer the payment of benefits under the Plan); and to make all other determinations necessary or advisable for the
administration of this Plan. The Committee’s determinations under the Plan (including without limitation, determinations of the individuals to receive awards under the Plan, the form, amount and timing of such awards, the terms and provisions
of such awards and the Agreements) need not be uniform and may be made by the Committee selectively among individuals who receive, or are eligible to receive, awards under the Plan, whether or not such persons are similarly situated. The express
grant in the Plan of any specific power to the Committee shall not be construed as limiting any power or authority of the Committee. Any decision made, or action taken, by the Committee in connection with the administration of this Plan shall be
final and conclusive. The members of the Committee shall not be liable for any act done in good faith with respect to this Plan or any Agreement, Option, SAR, Incentive Award, Stock Award, Other Equity-Based Award or award of Performance Units. All
expenses of administering this Plan shall be borne by the Company. 
 3.02. Performance-Based Compensation 

The Committee, in its sole discretion, may determine whether any Award is intended to qualify as Performance-Based Compensation. If the
Committee, in its sole discretion, decides to grant an Award to a Participant that is intended to qualify as Performance-Based Compensation, then the provisions of this Section 3.02 shall control over any contrary provision contained in the
Plan. The Committee may in its sole discretion grant Awards to Participants that are based on Performance Criteria or Performance Goals but that do not satisfy the requirements of this Section 3.02 and that are not intended to qualify as
Performance-Based Compensation. Unless 

  
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otherwise specified by the Committee at the time of grant, the Performance Criteria with respect to an Award intended to be Performance-Based Compensation payable to a Covered Employee shall be
determined on the basis of U.S. generally accepted accounting principles. The grant of an Award to a Participant for a particular Performance Period shall not require the grant of an Award to such Participant in any subsequent Performance Period and
the grant of an Award to any one Participant shall not require the grant of an Award to any other Participant in such period or in any other period. To the extent necessary to comply with the requirements of Section 162(m)(4)(C) of the Code,
with respect to any Award which is intended to qualify as Performance-Based Compensation, no later than ninety (90) days following the commencement of any Performance Period or any designated fiscal period or period of service (or such earlier
time as may be required under Section 162(m) of the Code), the Committee shall, in writing, (a) designate one or more Participants; (b) select the Performance Criteria applicable to the Performance Period; (c) establish the
Performance Goals, and amounts of such Awards, as applicable, which may be earned for such Performance Period based on the Performance Criteria; and (d) specify the relationship between Performance Criteria and the Performance Goals and the
amounts of such Awards, as applicable, to be earned by each Covered Employee for such Performance Period. Following the completion of each Performance Period, the Committee shall certify in writing whether and the extent to which the applicable
Performance Goals have been achieved for such Performance Period. In determining the amount earned under such Awards, unless otherwise provided in an Award Agreement, the Committee shall have the right to reduce or eliminate (but not to increase)
the amount payable at a given level of performance to take into account additional factors that the Committee may deem relevant, including the assessment of individual or corporate performance for the Performance Period. Unless otherwise provided in
the applicable Award Agreement (and only to the extent otherwise permitted by Section 162(m)(4)(C) of the Code), the holder of an Award that is intended to qualify as Performance-Based Compensation must be employed by the Company or an
Affiliate throughout the applicable Performance Period. Unless otherwise provided in the applicable Performance Goals or Award Agreement, a Participant shall be eligible to receive payment pursuant to such Awards for a Performance Period only if and
to the extent the Performance Goals for such applicable Performance Period are achieved. Notwithstanding any other provision of the Plan and except as otherwise determined by the Committee, any Award which is granted to a Participant and is intended
to qualify as Performance-Based Compensation shall be subject to any additional limitations imposed by Section 162(m) of the Code that are requirements for qualification as Performance-Based Compensation, and the Plan and the Award Agreement
shall be deemed amended to the extent necessary to conform to such requirements. 
 ARTICLE IV 

ELIGIBILITY 
 Any employee of the Company or an Affiliate (including a trade or business that becomes an Affiliate after the adoption of this Plan) and any member of the Board is eligible to participate in this Plan.
In addition, any other individual who provides significant services to the Company 

  
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or an Affiliate (including an individual who provides services to the Company or an Affiliate by virtue of employment with, or providing services to, the Operating Partnership) is eligible to
participate in this Plan if the Committee, in its sole discretion, determines that the participation of such individual is in the best interest of the Company. 
 ARTICLE V 
 COMMON STOCK SUBJECT TO PLAN 

5.01. Common Stock Issued 
 Upon the award of Common Stock pursuant to a Stock Award, an Other Equity-Based Award or in settlement of an Incentive Award or an award of Performance Units, the Company may deliver (and shall deliver if
required under an Agreement) to the Participant (or the Participant’s broker) Common Stock from its authorized but unissued Common Stock. Upon the exercise of any Option, SAR or Other Equity-Based Award denominated in Common Stock, the Company
may deliver (and shall deliver if required under an Agreement), to the Participant (or the Participant’s broker if the Participant so directs), Common Stock from its authorized but unissued Common Stock. 

5.02. Aggregate Limit 
 (a) The maximum aggregate number of shares of Common Stock that may be issued under this Plan pursuant to the exercise of Options and SARs, the grant of Stock Awards or Other Equity-Based Awards and the
settlement of Incentive Awards and Performance Units is equal to six percent (6%) of the total number of shares of Common Stock sold in the Offering (including any shares of Common Stock sold by the Company pursuant to the exercise of any
over-allotment option). Other Equity-Based Awards that are LTIP Units shall reduce the maximum aggregate number of shares of Common Stock that may be issued under this Plan on a one-for-one basis, i.e., each such unit shall be treated as an
award of Common Stock. 
 (b) The maximum number of shares of Common Stock that may be issued under this Plan in accordance with
Section 5.02(a) shall be subject to adjustment as provided in Article XII. 
 (c) The maximum number of shares of Common
Stock that may be issued upon the exercise of Options that are incentive stock options or Corresponding SARs that are related to incentive stock options shall be determined in accordance with Sections 5.02(a) and 5.02(b). 

5.03. Individual Limit for Options and SARs. 
 Notwithstanding any provision herein to the contrary, the maximum number of shares of Common Stock with respect to which Options and SARs may be granted to any Participant under this Plan in any
fiscal year of the Company shall not exceed fifty percent (50%) of the total number of shares of Common Stock that may be issued under this Plan as specified in Section 

  
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5.02(a). The foregoing limitations shall be adjusted proportionately in connection with any change in the Company’s capitalization pursuant to Article XII. To the extent required by
Section 162(m) of the Code or the regulations thereunder, in applying the foregoing limitations with respect to a Participant, if any Option or SAR is canceled, the canceled Option or SAR shall continue to count against the maximum number of
shares of Common Stock with respect to which Options and SARs may be granted to the Participant. For this purpose, the repricing of an Option (or in the case of a SAR, the Initial Value is reduced to reflect a reduction in the Fair Market Value of
the Common Stock) shall be treated as the cancellation of the existing Option or SAR and the grant of a new Option or SAR. 
 5.04.
Reallocation of Shares 
 If any award or grant under the Plan (including LTIP Units) expires, is forfeited or is
terminated without having been exercised or is paid in cash without a requirement for the delivery of shares of Common Stock, then any shares of Common Stock covered by such lapsed, cancelled, expired, unexercised or cash-settled portion of such
award or grant and any forfeited, lapsed, cancelled or expired LTIP Units shall be available for the grant of other Options, SARs, Stock Awards, Other Equity-Based Awards and settlement of Incentive Awards and Performance Units under this Plan.
Notwithstanding the foregoing, any shares of Common Stock tendered or withheld to satisfy the grant or exercise price or tax withholding obligation pursuant to any award shall reduce the number of shares of Common Stock available under the Plan and
shall not be available for future grants or awards. If shares of Common Stock are issued in settlement of an SAR, the number of shares of Common Stock available under the Plan shall be reduced by the number of shares of Common Stock for which the
SAR was exercised rather than the number of shares of Common Stock issued in settlement of the SAR. To the extent permitted by applicable law or the rules of any exchange on which shares of Common Stock are listed for trading, shares of Common Stock
issued in assumption of, or in substitution for, any outstanding awards of any entity acquired in any form of combination by the Company or any Affiliate shall not reduce the number of shares of Common Stock available for issuance under the Plan.

 ARTICLE VI 
 OPTIONS 
 6.01. Award 

In accordance with the provisions of Article IV, the Committee will designate each individual to whom an Option is to be granted and will
specify the number of shares of Common Stock covered by such awards. 
 6.02. Option Price 

The price per share of Common Stock purchased on the exercise of an Option shall be determined by the Committee on the date of grant, but
shall not be less than the Fair Market 

  
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Value on the date the Option is granted. Notwithstanding the preceding sentence, the price per share of Common Stock purchased on the exercise of any Option that is an incentive stock option
granted to an individual who is a Ten Percent Stockholder on the date such option is granted, shall not be less than one hundred ten percent (110%) of the Fair Market Value on the date the Option is granted. Except as provided in Article XII,
the price per share of Common Stock of an outstanding Option may not be reduced (by amendment, cancellation and new grant or otherwise) without the approval of stockholders. In addition, no payment shall be made in cancellation of an Option if, on
the date of cancellation, the option price per share exceeds the Fair Market Value. 
 6.03. Maximum Option Period 

The maximum period in which an Option may be exercised shall be determined by the Committee on the date of grant except that no Option
shall be exercisable after the expiration of ten years from the date such Option was granted. In the case of an incentive stock option granted to a Participant who is a Ten Percent Stockholder on the date of grant, such Option shall not be
exercisable after the expiration of five years from the date of grant. The terms of any Option may provide that it is exercisable for a period less than such maximum period. 
 6.04. Nontransferability 
 Except as provided in Section 6.05,
each Option granted under this Plan shall be nontransferable except by will or by the laws of descent and distribution. In the event of any transfer of an Option (by the Participant or his transferee), the Option and any Corresponding SAR that
relates to such Option must be transferred to the same person or persons or entity or entities. Except as provided in Section 6.05, during the lifetime of the Participant to whom the Option is granted, the Option may be exercised only by the
Participant. No right or interest of a Participant in any Option shall be liable for, or subject to, any lien, obligation, or liability of such Participant. 
 6.05. Transferable Options 
 Section 6.04 to the contrary
notwithstanding, if the Agreement provides, an Option that is not an incentive stock option may be transferred by a Participant to the Participant’s children, grandchildren, spouse, one or more trusts for the benefit of such family members or a
partnership in which such family members are the only partners, on such terms and conditions as may be permitted under Rule 16b-3 under the Exchange Act as in effect from time to time. The holder of an Option transferred pursuant to this Section
shall be bound by the same terms and conditions that governed the Option during the period that it was held by the Participant; provided, however, that such transferee may not transfer the Option except by will or the laws of descent and
distribution. In the event of any transfer of an Option (by the Participant or his transferee), the Option and any Corresponding SAR that relates to such Option must be transferred to the same

  
 -14-

 
person or persons or entity or entities. Notwithstanding the foregoing, an Option may not be transferred for consideration absent stockholder approval. 

6.06. Employee Status 
 For purposes of determining the applicability of Section 422 of the Code (relating to incentive stock options), or in the event that the terms of any Option provide that it may be exercised only
during employment or continued service or within a specified period of time after termination of employment or continued service, the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary
disability, or other reasons shall not be deemed interruptions of continuous employment or service. 
 6.07. Exercise 

Subject to the provisions of this Plan and the applicable Agreement, an Option may be exercised in whole at any time or in part from time
to time at such times and in compliance with such requirements as the Committee shall determine; provided, however, that incentive stock options (granted under the Plan and all plans of the Company and its Affiliates) may not be first
exercisable in a calendar year for shares of Common Stock having an aggregate Fair Market Value (determined as of the date an Option is granted) exceeding $100,000. An Option granted under this Plan may be exercised with respect to any number of
whole shares of Common Stock less than the full number for which the Option could be exercised. A partial exercise of an Option shall not affect the right to exercise the Option from time to time in accordance with this Plan and the applicable
Agreement with respect to the remaining shares of Common Stock subject to the Option. The exercise of an Option shall result in the termination of any Corresponding SAR to the extent of the number of shares of Common Stock with respect to which the
Option is exercised. 
 6.08. Payment 
 Subject to rules established by the Committee and unless otherwise provided in an Agreement, payment of all or part of the Option price may be made in cash, certified check, by tendering shares of Common
Stock, by attestation of ownership of shares of Common Stock, by a broker-assisted cashless exercise or in such other form or manner acceptable to the Committee. If shares of Common Stock are used to pay all or part of the Option price, the sum of
the cash and cash equivalent and the Fair Market Value (determined on the date of exercise) of the shares of Common Stock surrendered or other consideration paid must not be less than the Option price of the shares for which the Option is being
exercised. 
 6.09. Stockholder Rights 
 No Participant shall have any rights as a stockholder with respect to shares of Common Stock subject to an Option until the date of exercise of such Option. 

  
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 6.10. Disposition of Shares 

A Participant shall notify the Company of any sale or other disposition of shares of Common Stock acquired pursuant to an Option that was
an incentive stock option if such sale or disposition occurs (i) within two years of the grant of an Option or (ii) within one year of the issuance of the shares of Common Stock to the Participant. Such notice shall be in writing and
directed to the Secretary of the Company. 
 ARTICLE VII 

SARS 
 7.01.
Award 
 In accordance with the provisions of Article IV, the Committee will designate each individual to whom SARs
are to be granted and will specify the number of shares of Common Stock covered by such awards. No Participant may be granted Corresponding SARs (under the Plan and all plans of the Company and its Affiliates) that are related to incentive stock
options which are first exercisable in any calendar year for shares of Common Stock having an aggregate Fair Market Value (determined as of the date the related Option is granted) that exceeds $100,000. 

7.02. Maximum SAR Period 
 The term of each SAR shall be determined by the Committee on the date of grant, except that no SAR shall have a term of more than ten years from the date of grant. In the case of a Corresponding SAR that
is related to an incentive stock option granted to a Participant who is a Ten Percent Stockholder on the date of grant, such Corresponding SAR shall not be exercisable after the expiration of five years from the date of grant. The terms of any SAR
may provide that it has a term that is less than such maximum period. 
 7.03. Nontransferability 

Except as provided in Section 7.04, each SAR granted under this Plan shall be nontransferable except by will or by the laws of
descent and distribution. In the event of any such transfer, a Corresponding SAR and the related Option must be transferred to the same person or persons or entity or entities. Except as provided in Section 7.04, during the lifetime of the
Participant to whom the SAR is granted, the SAR may be exercised only by the Participant. No right or interest of a Participant in any SAR shall be liable for, or subject to, any lien, obligation, or liability of such Participant. 

  
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 7.04. Transferable SARs 

Section 7.03 to the contrary notwithstanding, if the Agreement provides, an SAR, other than a Corresponding SAR that is related to an
incentive stock option, may be transferred by a Participant to the Participant’s children, grandchildren, spouse, one or more trusts for the benefit of such family members or a partnership in which such family members are the only partners, on
such terms and conditions as may be permitted under Rule 16b-3 under the Exchange Act as in effect from time to time. The holder of an SAR transferred pursuant to this Section shall be bound by the same terms and conditions that governed the SAR
during the period that it was held by the Participant; provided, however, that such transferee may not transfer the SAR except by will or the laws of descent and distribution. In the event of any transfer of a Corresponding SAR (by the
Participant or his transferee), the Corresponding SAR and the related Option must be transferred to the same person or person or entity or entities. Notwithstanding the foregoing, in no event may an SAR be transferred for consideration absent
stockholder approval. 
 7.05. Exercise 
 Subject to the provisions of this Plan and the applicable Agreement, an SAR may be exercised in whole at any time or in part from time to time at such times and in compliance with such requirements as the
Committee shall determine; provided, however, that a Corresponding SAR that is related to an incentive stock option may be exercised only to the extent that the related Option is exercisable and only when the Fair Market Value exceeds the
option price of the related Option. An SAR granted under this Plan may be exercised with respect to any number of whole shares less than the full number for which the SAR could be exercised. A partial exercise of an SAR shall not affect the right to
exercise the SAR from time to time in accordance with this Plan and the applicable Agreement with respect to the remaining shares subject to the SAR. The exercise of a Corresponding SAR shall result in the termination of the related Option to the
extent of the number of shares of Common Stock with respect to which the SAR is exercised. 
 7.06. Employee Status 

If the terms of any SAR provide that it may be exercised only during employment or continued service or within a specified period of time
after termination of employment or continued service, the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary disability or other reasons shall not be deemed interruptions of continuous
employment or service. 
 7.07. Settlement 
 At the Committee’s discretion, the amount payable as a result of the exercise of an SAR may be settled in cash, Common Stock, or a combination of cash and Common Stock. No

  
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fractional share of Common Stock will be deliverable upon the exercise of an SAR but a cash payment will be made in lieu thereof. 
 7.08. Stockholder Rights 
 No Participant shall, as a result of
receiving an SAR, have any rights as a stockholder of the Company or any Affiliate until the date that the SAR is exercised and then only to the extent that the SAR is settled by the issuance of shares of Common Stock. Notwithstanding the foregoing,
the Committee may provide in an Agreement that the holder of an SAR is entitled to Dividend Equivalent Rights during the period beginning on the date of the award and ending on the date the SAR is exercised. 

ARTICLE VIII 
 STOCK AWARDS 
  
 8.01.
Award 
 In accordance with the provisions of Article IV, the Committee will designate each individual to whom a
Stock Award is to be made and will specify the number of shares of Common Stock covered by such awards. 
 8.02. Vesting

 The Committee, on the date of the award, may prescribe that a Participant’s rights in a Stock Award shall be forfeitable
or otherwise restricted for a period of time or subject to such conditions as may be set forth in the Agreement. By way of example and not of limitation, the Committee may prescribe that a Participant’s rights in a Stock Award shall be
forfeitable or otherwise restricted subject to the attainment of objectives stated with reference to the Company’s, an Affiliate’s or a business unit’s attainment of objectives stated with respect to performance criteria established
by the Committee. 
 8.03. Employee Status 
 In the event that the terms of any Stock Award provide that shares may become transferable and nonforfeitable thereunder only after completion of a specified period of employment or continuous service,
the Committee may decide in each case to what extent leaves of absence for governmental or military service, illness, temporary disability, or other reasons shall not be deemed interruptions of continuous employment or service. 

8.04. Stockholder Rights 
 Unless otherwise specified in accordance with the applicable Agreement, while the Common Stock granted pursuant to the Stock Award may be forfeited or is nontransferable, a

  
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Participant will have all rights of a stockholder with respect to a Stock Award, including the right to receive dividends and vote the shares of Common Stock; provided, however, that
dividends payable on Common Stock subject to a Stock Award that does not become nonforfeitable and transferable solely on account of continued employment or service, shall be distributed only when, and to the extent that, the underlying Stock Award
is nonforfeitable and transferable and the Committee may provide that such dividends shall be deemed to have been reinvested in additional shares of Common Stock. During the period that the Common Stock granted pursuant to a Stock Award may be
forfeited or is nontransferable (i) a Participant may not sell, transfer, pledge, exchange, hypothecate, or otherwise dispose of shares of Common Stock granted pursuant to a Stock Award, (ii) the Company shall retain custody of the
certificates representing shares of Common Stock granted pursuant to a Stock Award, and (iii) the Participant will deliver to the Company a stock power, endorsed in blank, with respect to each Stock Award. The limitations set forth in the
preceding sentence shall not apply after the shares of Common Stock granted under the Stock Award are transferable and are no longer forfeitable. 
 ARTICLE IX 
 PERFORMANCE UNIT AWARDS 

9.01. Award 
 In
accordance with the provisions of Article IV, the Committee will designate each individual to whom an award of Performance Units is to be made and will specify the number of shares of Common Stock or other securities or property covered by such
awards. The Committee also will specify whether Dividend Equivalent Rights are granted in conjunction with the Performance Units. 
 9.02.
Earning the Award 
 The Committee, on the date of the grant of an award, shall prescribe that the Performance
Units will be earned, and the Participant will be entitled to receive payment pursuant to the award of Performance Units, only upon the satisfaction of performance objectives and such other criteria as may be prescribed by the Committee. 

9.03. Payment 
 In
the discretion of the Committee, the amount payable when an award of Performance Units is earned may be settled in cash, by the issuance of Common Stock, by the delivery of other securities or property or a combination thereof. A fractional share of
Common Stock shall not be deliverable when an award of Performance Units is earned, but a cash payment will be made in lieu thereof. The amount payable when an award of Performance Units is earned shall be paid in a lump sum. 

  
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 9.04. Stockholder Rights 

A Participant, as a result of receiving an award of Performance Units, shall not have any rights as a stockholder until, and then only to
the extent that, the award of Performance Units is earned and settled in Common Stock. After an award of Performance Units is earned and settled in Common Stock, a Participant will have all the rights of a stockholder as described in
Section 8.04 hereof and the Company’s Charter. 
 9.05. Nontransferability 

Except as provided in Section 9.06, Performance Units granted under this Plan shall be nontransferable except by will or by the laws
of descent and distribution. No right or interest of a Participant in any Performance Units shall be liable for, or subject to, any lien, obligation, or liability of such Participant. 
 9.06. Transferable Performance Units 
 Section 9.05 to the
contrary notwithstanding, if the Agreement provides, an award of Performance Units may be transferred by a Participant to the Participant’s children, grandchildren, spouse, one or more trusts for the benefit of such family members or a
partnership in which such family members are the only partners, on such terms and conditions as may be permitted under Rule 16b-3 under the Exchange Act as in effect from time to time. The holder of Performance Units transferred pursuant to this
Section shall be bound by the same terms and conditions that governed the Performance Units during the period that they were held by the Participant; provided, however, that such transferee may not transfer Performance Units except by will or
the laws of descent and distribution. Notwithstanding the foregoing, in no event may a Performance Unit be transferred for consideration absent stockholder approval. 
 9.07. Employee Status 
 In the event that the terms of any
Performance Unit award provide that no payment will be made unless the Participant completes a stated period of employment or continued service, the Committee may decide to what extent leaves of absence for government or military service, illness,
temporary disability, or other reasons shall not be deemed interruptions of continuous employment or service. 
 ARTICLE X

 OTHER EQUITY–BASED AWARDS 
 10.01. Award 
 In accordance with the provisions of Article IV,
the Committee will designate each individual to whom an Other Equity-Based Award is to be made and will specify the number of 

  
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shares of Common Stock or other equity interests (including LTIP Units) covered by such awards; provided, however, that the grant of LTIP Units must satisfy the requirements of the
partnership agreement of the Operating Partnership as in effect on the date of grant. The Committee also will specify whether Dividend Equivalent Rights are granted in conjunction with the Other Equity-Based Award. 

10.02. Terms and Conditions 
 The Committee, at the time an Other Equity-Based Award is made, shall specify the terms and conditions which govern the award. The terms and conditions of an Other Equity-Based Award may prescribe that a
Participant’s rights in the Other Equity-Based Award shall be forfeitable, nontransferable or otherwise restricted for a period of time or subject to such other conditions as may be determined by the Committee, in its discretion and set forth
in the Agreement. Other Equity-Based Awards may be granted to Participants, either alone or in addition to other awards granted under the Plan, and Other Equity-Based Awards may be granted in the settlement of other Awards granted under the Plan.

 10.03. Payment or Settlement 
 Other Equity-Based Awards valued in whole or in part by reference to, or otherwise based on, shares of Common Stock, shall be payable or settled in Common Stock, cash or a combination of Common Stock and
cash, as determined by the Committee in its discretion; provided, however, that any shares of Common Stock that are issued on account of the conversion of LTIP Units into Common Stock shall not be counted as additional shares of Common Stock
issued under the Plan to the extent previously counted as issued under the Plan pursuant to Section 5.02(a). Other Equity-Based Awards denominated as equity interests other than shares of Common Stock may be paid or settled in shares or units
of such equity interests or cash or a combination of both as determined by the Committee in its discretion. 
 10.04. Employee
Status 
 If the terms of any Other Equity-Based Award provides that it may be earned or exercised only during employment
or continued service or within a specified period of time after termination of employment or continued service, the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary disability or other
reasons shall not be deemed interruptions of continuous employment or service. 

  
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 10.05. Stockholder Rights 

A Participant, as a result of receiving an Other Equity-Based Award, shall not have any rights as a stockholder until, and then only to
the extent that, the Other Equity-Based Award is earned and settled in shares of Common Stock. 
 ARTICLE XI 

INCENTIVE AWARDS 
 11.01.
Award 
 In accordance with the provisions of Article IV, the Committee will designate each individual to whom an
Incentive Award is to be made. The Committee will also specify whether Dividend Equivalent Rights are granted in conjunction with the Incentive Award. 
 11.02. Terms and Conditions 
 The Committee, at the time an Incentive
Award is made, shall specify the terms and conditions that govern the award. Such terms and conditions may prescribe that the Incentive Award shall be earned only to the extent that the Participant, the Company or an Affiliate, during a
performance period of at least one year, achieves objectives stated with reference to one or more performance measures or criteria prescribed by the Committee, including Performance Criteria. A goal or objective may be expressed on an absolute basis
or relative to the performance of one or more similarly situated companies or a published index. When establishing goals and objectives, the Committee may exclude any or all special, unusual, or extraordinary items as determined under U.S. generally
accepted accounting principles including, without limitation, the charges or costs associated with restructurings of the Company, discontinued operations, other unusual or non-recurring items, and the cumulative effects of accounting changes. The
Committee may also adjust the performance goals for any Incentive Award as it deems equitable in recognition of unusual or non-recurring events affecting the Company, changes in applicable tax laws or accounting principles, or such other factors as
the Committee may determine. Such terms and conditions also may include other limitations on the payment of Incentive Awards including, by way of example and not of limitation, requirements that the Participant complete a specified period of
employment or service with the Company or an Affiliate or that the Company, an Affiliate, or the Participant attain stated objectives or goals (in addition to those prescribed in accordance with the preceding sentence) as a prerequisite to payment
under an Incentive Award.
 11.03. Nontransferability 
 Incentive Awards granted under this Plan shall be nontransferable except by will or by the laws of descent and distribution. No right or interest of a Participant in an Incentive Award shall be
liable for, or subject to, any lien, obligation, or liability of such Participant. 

  
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 11.04. Employee Status 

If the terms of an Incentive Award provide that a payment will be made thereunder only if the Participant completes a stated period of
employment or continued service the Committee may decide to what extent leaves of absence for governmental or military service, illness, temporary disability or other reasons shall not be deemed interruptions of continuous employment or service.

 11.05. Settlement 
 An Incentive Award that is earned shall be settled with a single lump sum payment which may be in cash, Common Stock or a combination of cash and Common Stock, as determined by the Committee. 

11.06. Shareholder Rights 
 No Participant shall, as a result of receiving an Incentive Award, have any rights as a shareholder of the Company or an Affiliate until the date that the Incentive Award is settled and then only to the
extent that the Incentive Award is settled by the issuance of shares of Common Stock. 
 ARTICLE XII 

ADJUSTMENT UPON CHANGE IN COMMON STOCK 
 The maximum number of shares of Common Stock as to which Options, SARs, Performance Units, Incentive Awards, Stock Awards and Other Equity-Based Awards may be granted and the terms of outstanding Stock
Awards, Options, SARs, Incentive Awards, Performance Units and Other Equity-Based Awards shall be adjusted as the Board determines is equitably required in the event that (i) the Company (a) effects one or more nonreciprocal transactions
between the Company and its stockholders such as a stock dividend, extra-ordinary cash dividend, stock split-up, subdivision or consolidation of shares of Common Stock that affects the number or kind of shares of Common Stock (or other securities of
the Company) or the Fair Market Value (or the value of other Company securities) and causes a change in the Fair Market Value of the shares of Common Stock subject to outstanding awards or (b) engages in a transaction to which Section 424
of the Code applies or (ii) there occurs any other event which, in the judgment of the Board necessitates such action. Any adjustment affecting an Award intended as Performance-Based Compensation shall be made consistent with the requirements
of Section 162(m) of the Code unless otherwise determined by the Committee. Any determination made under this Article XII by the Board shall be nondiscretionary, final and conclusive. 

The issuance by the Company of shares of any class of Common Stock, or securities convertible into shares of any class of Common Stock,
for cash or property, or for labor or services, either upon direct sale or upon the exercise of rights or warrants to subscribe therefor, 

  
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or upon conversion of shares of Common Stock or obligations of the Company convertible into such shares of Common Stock or other securities, shall not affect, and no adjustment by reason thereof
shall be made with respect to, the maximum number of shares of Common Stock as to which Options, SARs, Performance Units, Incentive Awards, Stock Awards and Other Equity-Based Awards may be granted or the terms of outstanding Stock Awards, Incentive
Awards, Options, SARs, Performance Units or Other Equity-Based Awards. 
 The Committee may make Stock Awards and may grant
Options, SARs, Performance Units, Incentive Awards or Other Equity-Based Awards in substitution for performance shares, phantom shares, stock awards, stock options, stock appreciation rights, or similar awards held by an individual who becomes an
employee of the Company or an Affiliate in connection with a transaction described in the first paragraph of this Article XII. Notwithstanding any provision of the Plan, the terms of such substituted Stock Awards, SARs, Other Equity-Based
Awards, Options or Performance Units shall be as the Committee, in its discretion, determines is appropriate. 
 ARTICLE XIII

 COMPLIANCE WITH LAW AND APPROVAL OF REGULATORY BODIES 

No Option or SAR shall be exercisable, no shares of Common Stock shall be issued, no certificates for shares of Common Stock shall be
delivered, and no payment shall be made under this Plan except in compliance with all applicable federal and state laws and regulations (including, without limitation, withholding tax requirements), any listing agreement to which the Company is a
party, and the rules of all domestic stock exchanges on which the shares of Common Stock may be listed. The Company shall have the right to rely on an opinion of its counsel as to such compliance. Any certificate issued to represent shares of Common
Stock when a Stock Award is granted, a Performance Unit, Incentive Award or Other Equity-Based Award is settled or for which an Option or SAR is exercised may bear such legends and statements as the Committee may deem advisable to assure compliance
with federal and state laws and regulations. No Option or SAR shall be exercisable, no Stock Award or Performance Unit shall be granted, no shares of Common Stock shall be issued, no certificate for shares of Common Stock shall be delivered, and no
payment shall be made under this Plan until the Company has obtained such consent or approval as the Committee may deem advisable from regulatory bodies having jurisdiction over such matters. 

ARTICLE XIV 

GENERAL PROVISIONS 

14.01. Effect on Employment and Service 
 Neither the adoption of this Plan, its operation, nor any documents describing or referring to this Plan (or any part thereof), shall confer upon any individual or entity any right to continue

  
 -24-

 
in the employ or service of the Company or an Affiliate or in any way affect any right and power of the Company or an Affiliate to terminate the employment or service of any individual or entity
at any time with or without assigning a reason therefor. 
 14.02. Unfunded Plan 

This Plan, insofar as it provides for grants, shall be unfunded, and the Company shall not be required to segregate any assets that may at
any time be represented by grants under this Plan. Any liability of the Company to any person with respect to any grant under this Plan shall be based solely upon any contractual obligations that may be created pursuant to this Plan. No such
obligation of the Company shall be deemed to be secured by any pledge of, or other encumbrance on, any property of the Company. 
 14.03.
Rules of Construction 
 Headings are given to the articles and sections of this Plan solely as a convenience to
facilitate reference. The reference to any statute, regulation, or other provision of law shall be construed to refer to any amendment to or successor of such provision of law. 

All awards made under this Plan are intended to comply with, or otherwise be exempt from, Section 409A of the Code (“Section
409A”), after giving effect to the exemptions in Treasury Regulation sections 1.409A-1(b)(3) through (b)(12). This Plan and all Agreements shall be administered, interpreted and construed in a manner consistent with Section 409A, to the
extent applicable. If any provision of this Plan or any Agreement is found not to comply with, or otherwise not be exempt from, the provisions of Section 409A, it shall be modified and given effect, in the sole discretion of the Committee and
without requiring the Participant’s consent, in such manner as the Committee determines to be necessary or appropriate to comply with, or effectuate an exemption from, Section 409A. Each payment under an award granted under this Plan shall
be treated as a separate identified payment for purposes of Section 409A. 
 If a payment obligation under an award or an
Agreement arises on account of the Participant’s termination of employment and such payment obligation constitutes “deferred compensation” (as defined under Treasury Regulation section 1.409A-1(b)(1), after giving effect to the
exemptions in Treasury Regulation sections 1.409A-1(b)(3) through (b))12)), it shall be payable only after the Participant’s “separation from service” (as defined under Treasury Regulation section 1.409A-1(h)); provided, however, that
if the Participant is a “specified employee” (as defined under Treasury Regulation section 1.409A-1(i)), any such payment that is scheduled to be paid within six months after such separation from service shall accrue without interest and
shall be paid on the first day of the seventh month beginning after the date of the Participant’s separation from service or, if earlier, within fifteen days after the appointment of the personal representative or executor of the
Participant’s estate following the Participant’s death. 

  
 -25-

 With respect to Awards which are granted to Covered Employees and are intended to qualify as
Performance-Based Compensation, no adjustment or action described in any provision of the Plan shall be authorized to the extent that such adjustment or action would cause such Award to fail to so qualify as Performance-Based Compensation, unless
the Committee determines that the Award should not so qualify. No adjustment or action described in any provision of the Plan shall be authorized to the extent that such adjustment or action would cause the Plan to violate Section 422(b)(1) of
the Code. 
 14.04. Withholding Taxes 
 Each Participant shall be responsible for satisfying any income and employment tax withholding obligations attributable to participation in the Plan. Unless otherwise provided by the Agreement, any such
withholding tax obligations may be satisfied in cash (including from any cash payable in settlement of an award of Performance Units, SARs or Other Equity-Based Award) or a cash equivalent acceptable to the Committee. Except to the extent prohibited
by Treasury Regulation Section 1.409A-3(j), any minimum statutory federal, state, district or city withholding tax obligations also may be satisfied (a) by surrendering to the Company shares of Common Stock previously acquired by the
Participant; (b) by authorizing the Company to withhold or reduce the number of shares of Common Stock otherwise issuable to the Participant upon the exercise of an Option or SAR, the settlement of a Performance Unit award, Incentive Award or
an Other Equity-Based Award (if applicable) or the grant or vesting of a Stock Award; or (c) by any other method as may be approved by the Committee. If shares of Common Stock are used to pay all or part of such withholding tax obligation, the
Fair Market Value of the shares of Common Stock surrendered, withheld or reduced shall be determined as of the day the tax liability arises and the number of shares of Common Stock which may be withheld or surrendered shall be limited to the number
of shares of Common Stock which have a Fair Market Value on the day preceding the date of withholding equal to the aggregate amount of such liabilities based on the minimum statutory withholding rates for federal, state, local and foreign income tax
and payroll tax purposes that are applicable to such supplemental taxable income. 
 14.05. REIT Status 

The Plan shall be interpreted and construed in a manner consistent with the Company’s status as a REIT. No award shall be granted or
awarded, and with respect to any award granted under the Plan, such award shall not vest, be exercisable or be settled (i) to the extent that the grant, vesting, exercise or settlement could cause the Participant or any other person to be in
violation of the stock ownership limits or any other limitation on ownership or transfer prescribed by the Company’s Charter, or (ii) if, in the discretion of the Committee, the grant, vesting, exercise or settlement of the award could
impair the Company’s status as a REIT. 
 ARTICLE XV 

CHANGE IN CONTROL 

  
 -26-

 15.01. Impact of Change in Control. 

Upon a Change in Control, the Committee is authorized to cause (i) outstanding Options and SARs to become fully exercisable,
(ii) outstanding Stock Awards to become transferable and nonforfeitable and (iii) outstanding Performance Units, Incentive Awards and Other Equity-Based Awards to become earned and nonforfeitable in their entirety. 

15.02. Assumption Upon Change in Control. 
 In the event of a Change in Control, the Committee, in its discretion and without the need for a Participant’s consent, may provide that an outstanding Option, SAR, Stock Award, Incentive Award,
Performance Unit or Other Equity-Based Award shall be assumed by, or a substitute award granted by, the surviving entity in the Change in Control. Such assumed or substituted award shall be of the same type of award as the original Option, SAR,
Stock Award, Performance Unit, Incentive Award or Other Equity-Based Award being assumed or substituted. The assumed or substituted award shall have a value, as of the Control Change Date, that is substantially equal to the value of the original
award (or the difference between the Fair Market Value and the option price or Initial Value in the case of Options and SARs) as the Committee determines is equitably required and such other terms and conditions as may be prescribed by the
Committee. 
 15.03. Cash-Out Upon Change in Control. 
 In the event of a Change in Control, the Committee, in its discretion and without the need of a Participant’s consent, may provide that each Option, SAR, Stock Award, Performance Unit, Incentive
Award and Other Equity-Based Award shall be cancelled in exchange for a payment. The payment may be in cash, Common Stock or other securities or consideration received by stockholders in the Change in Control transaction or, in the case of an
Incentive Award, the entire amount that can be paid under the Incentive Award. Except as provided in the preceding sentence with respect to Incentive Awards, the amount of the payment shall be an amount that is substantially equal to (i) the
amount by which the price per share received by stockholders in the Change in Control exceeds the option price or Initial Value in the case of an Option and SAR, or (ii) the price per share received by stockholders for each share of Common
Stock subject to a Stock Award, Performance Unit or Other Equity-Based Award or (iii) the value of the other securities or property in which the Performance Unit or Other Equity-Based award is denominated. If the option price or Initial Value
exceeds the price per share received by stockholders in the Change in Control transaction, the Option or SAR may be cancelled under this Section 15.03 without any payment to the Participant. 

15.04. Limitation of Benefits 
 The benefits that a Participant may be entitled to receive under this Plan and other benefits that a Participant is entitled to receive under other plans, agreements and arrangements

  
 -27-

 
(which, together with the benefits provided under this Plan, are referred to as “Payments”), may constitute Parachute Payments that are subject to Code Sections 280G and 4999. As
provided in this Section 15.04, the Parachute Payments will be reduced pursuant to this Section 15.04 if, and only to the extent that, a reduction will allow a Participant to receive a greater Net After Tax Amount than a Participant would
receive absent a reduction. 
 The Accounting Firm will first determine the amount of any Parachute Payments that are payable to
a Participant. The Accounting Firm also will determine the Net After Tax Amount attributable to the Participant’s total Parachute Payments. 
 The Accounting Firm will next determine the largest amount of Payments that may be made to the Participant without subjecting the Participant to tax under Code Section 4999 (the “Capped
Payments”). Thereafter, the Accounting Firm will determine the Net After Tax Amount attributable to the Capped Payments. 

The Participant will receive the total Parachute Payments or the Capped Payments, whichever provides the Participant with the higher Net
After Tax Amount. If the Participant will receive the Capped Payments, the total Parachute Payments will be adjusted by first reducing the amount of any benefits under this Plan or any other plan, agreement or arrangement that are not subject to
Section 409A of the Code (with the source of the reduction to be directed by the Participant) and then by reducing the amount of any benefits under this Plan or any other plan, agreement or arrangement that are subject to Section 409A of
the Code (with the source of the reduction to be directed by the Participant) in a manner that results in the best economic benefit to the Participant (or, to the extent economically equivalent, in a pro rata manner). The Accounting Firm will notify
the Participant and the Company if it determines that the Parachute Payments must be reduced to the Capped Payments and will send the Participant and the Company a copy of its detailed calculations supporting that determination. 

As a result of the uncertainty in the application of Code Sections 280G and 4999 at the time that the Accounting Firm makes its
determinations under this Article XV, it is possible that amounts will have been paid or distributed to the Participant that should not have been paid or distributed under this Section 15.04 (“Overpayments”), or that additional
amounts should be paid or distributed to the Participant under this Section 15.04 (“Underpayments”). If the Accounting Firm determines, based on either the assertion of a deficiency by the Internal Revenue Service against the Company
or the Participant, which assertion the Accounting Firm believes has a high probability of success or controlling precedent or substantial authority, that an Overpayment has been made, the Participant must repay such amount to the Company, without
interest; provided, however, that no loan will be deemed to have been made and no amount will be payable by the Participant to the Company unless, and then only to the extent that, the deemed loan and payment would either reduce the amount on
which the Participant is subject to tax under Code Section 4999 or generate a refund of tax imposed under Code Section 4999. If the Accounting Firm determines, based upon controlling precedent or substantial authority, that an

  
 -28-

 
Underpayment has occurred, the Accounting Firm will notify the Participant and the Company of that determination and the amount of that Underpayment will be paid to the Participant promptly by
the Company. 
 For purposes of this Section 15.04, the term “Accounting Firm” means the independent accounting
firm engaged by the Company immediately before the Control Change Date. For purposes of this Article XV, the term “Net After Tax Amount” means the amount of any Parachute Payments or Capped Payments, as applicable, net of taxes imposed
under Code Sections 1, 3101(b) and 4999 and any State or local income taxes applicable to the Participant on the date of payment. The determination of the Net After Tax Amount shall be made using the highest combined effective rate imposed by the
foregoing taxes on income of the same character as the Parachute Payments or Capped Payments, as applicable, in effect on the date of payment. For purposes of this Section 15.04, the term “Parachute Payment” means a payment that is
described in Code Section 280G(b)(2), determined in accordance with Code Section 280G and the regulations promulgated or proposed thereunder. 
 Notwithstanding any other provision of this Section 15.04, the limitations and provisions of this Section 15.04 shall not apply to any Participant who, pursuant to an agreement with the Company
or the terms of another plan maintained by the Company, is entitled to indemnification or other payment for any liability that the Participant may incur under Code Section 4999. In addition, nothing in this Section 15.04 shall limit or
otherwise supersede the provisions of any other agreement or plan which provides that a Participant cannot receive Payments in excess of the Capped Payments. 
 ARTICLE XVI 
 AMENDMENT 

The Board may amend or terminate this Plan at any time; provided, however, that no amendment may adversely impair the rights of
Participants with respect to outstanding Awards. In addition, an amendment will be contingent on approval of the Company’s stockholders if such approval is required by law or the rules of any exchange on which the Common Stock is listed or if
the amendment would materially increase the benefits accruing to Participants under the Plan, materially increase the aggregate number of shares of Common Stock that may be issued under the Plan (except as provided in Article XII) or materially
modify the requirements as to eligibility for participation in the Plan. 
 ARTICLE XVII 

DURATION OF PLAN 
 No Stock Award, Performance Unit Award, Option, SAR, Incentive Award or Other Equity-Based Award may be granted under this Plan after the day before the tenth anniversary of the date that the Plan is
adopted by the Board. Stock Awards, Performance Unit awards, 

  
 -29-

 
Options, SARs, Incentive Awards and Other Equity-Based Awards granted before such date shall remain valid in accordance with their terms. 

ARTICLE XVIII 
 EFFECTIVE DATE OF PLAN 
 Options, SARs, Stock Awards, Performance Units,
Incentive Awards and Other Equity-Based Awards may be granted under this Plan on and after the date that the Plan is adopted by the Board, subject to the approval of the stockholders of the Company within twelve months before or after the date that
the Plan is adopted by the Board, provided that no Award shall be exercisable, vested or settled until such stockholder approval is obtained. 

  
 -30-EX-10.8

 Exhibit 10.8 
 LONG TERM INCENTIVE PLAN 
 UNIT VESTING AGREEMENT 

Under the Trade Street Residential, Inc. 2013 Equity Incentive Plan 

 

							
	Name of Grantee:	 	 	 		 	
	Number of LTIP Units:	 	 	 		 	
	Grant Date (Closing Date):	 	 	 		 	
	Final Acceptance Date:	 	 	 		 	

  
  
 Pursuant to the Trade Street Residential, Inc. 2013 Equity Incentive Plan (the “Plan”), as amended through the date hereof, and the First Amended and Restated Agreement of Limited
Partnership (the “Partnership Agreement”) of Trade Street Operating Partnership, L.P., a Delaware limited partnership (the “Partnership”), Trade Street Residential, Inc., a Maryland corporation (the
“Company”), and Trade Street OP GP, LLC, a Delaware limited liability company that is wholly-owned by the Company and that serves as the sole general partner of the Partnership (the “General Partner”), for the
provision of services to or for the benefit of the Partnership in a partner capacity or in anticipation of being a partner, hereby grants to the Grantee named above an Other Equity-Based Award (as defined in the Plan) (an
“Award”) in the form of, and by causing the Partnership to issue to the Grantee named above, the number of LTIP Units specified above having the rights, voting powers, restrictions, limitations as to distributions, qualifications
and terms and conditions of redemption and conversion set forth herein and in the Partnership Agreement. Upon acceptance of this Long Term Incentive Plan Unit Vesting Agreement (this “Agreement”), the Grantee shall receive,
effective as of the Closing Date, the number of LTIP Units specified above, subject to the restrictions and conditions set forth herein and in the Partnership Agreement. Capitalized terms used but not defined herein have the meanings assigned to
such terms in the Partnership Agreement, attached hereto as Annex A, or the Plan, as applicable, unless a different meaning is specified herein. 
 1. Acceptance of Agreement. The Grantee shall have no rights with respect to this Agreement unless he or she shall have accepted this Agreement prior to the close of business on the Final
Acceptance Date specified above by (i) signing and delivering to the Partnership a copy of this Agreement and (ii) unless the Grantee is already a Limited Partner, signing, as a Limited Partner, and delivering to the Partnership a
counterpart signature page to the Partnership Agreement, in the form attached hereto as Annex B. Upon acceptance of this Agreement by the Grantee, the Partnership Agreement shall be amended to reflect the issuance to the Grantee of the
LTIP Units so accepted, effective as of the Closing Date. Thereupon, the Grantee shall have all the rights of a Limited Partner with respect to the number of LTIP Units specified above, as set forth in the Partnership Agreement, subject, however, to
the restrictions and conditions specified in Section 2 below. 
 2. Restrictions and Conditions.

 (a) The records of the Partnership evidencing the LTIP Units granted herein shall bear an appropriate legend, as determined
by the Partnership in its sole discretion, to the effect that such LTIP Units are subject to restrictions as set forth herein and in the Partnership Agreement. 

 (b) LTIP Units granted herein may not be sold, transferred, pledged, exchanged, hypothecated
or otherwise disposed of by the Grantee prior to vesting. 
 (c) Subject to the provisions of Section 4 below, any
LTIP Units (and the proportionate amount of the Grantee’s Capital Account balance attributable to such LTIP Units) subject to this Award that have not become vested on or before the date that the Grantee’s [directorship/employment]
with the Company and its Affiliates (as defined in the Plan) terminates shall be forfeited as of the date that such [directorship/employment] terminates. 
 3. Vesting of LTIP Units. On
                            (the “Vesting Date”), the restrictions and conditions in
Sections 2(b) and 2(c) of this Agreement shall lapse with respect to                     of the LTIP Units granted herein, so long
as the Grantee has not resigned or been removed as a [director/employee] of the Company prior to such date. 
 4.
Acceleration of Vesting in Special Circumstances. All LTIP Units granted herein shall automatically become fully vested on the Acceleration Date if the Grantee remains a [director/employee] of the Company from the Closing Date
until the Acceleration Date. The “Acceleration Date” is the earlier of: 
 (a) the date that the Grantee’s
[directorship/employment] ends on account of the Grantee’s death or total and permanent disability (as defined in Section 22(e)(3) of the Internal Revenue Code of 1986, as amended (the “Code”)); or 

(b) on a Control Change Date (as defined in the Plan). 
 5. Merger-Related Action. In contemplation of and subject to the consummation of a consolidation or merger or sale of all or substantially all of the assets of the Company in which
outstanding shares of common stock are exchanged for securities, cash, or other property of an unrelated corporation or business entity or in the event of a liquidation of the Company (in each case, a “Transaction”), the Board of
Directors of the Company, or the board of trustees or directors of any corporation assuming the obligations of the Company (the “Acquiror”), may, in its discretion, take any one or more of the following actions, with respect to the
outstanding LTIP Units subject to this Award: (i) provide that such LTIP Units shall be assumed or equivalent awards shall be substituted, by the acquiring or succeeding entity (or an affiliate thereof), and/or (ii) upon prior written
notice to the LTIP Unitholders (as defined in the Partnership Agreement) of not less than 30 days, provide that such LTIP Units shall terminate immediately prior to the consummation of the Transaction. The right to take such actions (each, a
“Merger-Related Action”) shall be subject to the following limitations and qualifications: 
 (a) if all LTIP
Units awarded to the Grantee hereunder are eligible, as of the time of the Merger-Related Action, for conversion into Common Units (as defined in and in accordance with the Partnership Agreement) and the Grantee is afforded the opportunity to effect
such conversion and receive, in consideration for the Common Units into which his LTIP Units 

  
 2 

 
shall have been converted, the same kind and amount of consideration as other holders of Common Units in connection with the Transaction, then the Company and the Acquiror may consummate a
Merger-Related Action of the kind specified in clauses (i) or (ii) of the immediately preceding paragraph; 
 (b) if
some or all of the LTIP Units awarded to the Grantee hereunder are not, as of the time of the Merger-Related Action, so eligible for conversion into Common Units (in accordance with the Partnership Agreement), and the acquiring or succeeding entity
is itself, or has a subsidiary which is organized as a partnership or limited liability company (consisting of a so-called “UPREIT” or other structure substantially similar in purpose or effect to that of the Company and the Partnership),
then Merger-Related Action of the kind specified in clause (i) of this Section 5 above must be taken by the Acquiror with respect to all LTIP Units subject to this Award which are not so convertible at the time, whereby all such
LTIP Units covered by this Award shall be assumed by the acquiring or succeeding entity, or equivalent awards shall be substituted by the acquiring or succeeding entity, and the acquiring or succeeding entity shall preserve with respect to the
assumed LTIP Units or any securities to be substituted for such LTIP Units, as far as reasonably possible under the circumstances, the distribution, special allocation, conversion and other rights set forth in the Partnership Agreement for the
benefit of the LTIP Unitholders; and 
 (c) if some or all of the LTIP Units awarded to the Grantee hereunder are not, as of the
time of the Merger-Related Action, so eligible for conversion into Common Units (in accordance with the Partnership Agreement), and after exercise of reasonable commercial efforts, the Company or the Acquiror is unable to treat the LTIP Units in
accordance with Section 5(b), then Merger-Related Action of the kind specified in clause (ii) of this Section 5 above must be taken by the Company or the Acquiror, in which case such action shall be subject to a
provision that the settlement of the terminated award of LTIP Units which are not convertible into Common Units requires a payment of the same kind and amount of consideration payable in connection with the Transaction to a holder of the number of
Common Units into which the LTIP Units to be terminated could be converted or, if greater, the consideration payable to holders of the number of common shares into which such Common Units could be exchanged (including the right to make elections as
to the type of consideration) if the Transaction were of a nature that permitted a revaluation of the Grantee’s capital account balance under the terms of the Partnership Agreement, as determined by the Committee in good faith in accordance
with the Plan. 
 6. Distributions. Distributions on the LTIP Units shall be paid currently to the Grantee in
accordance with the terms of the Partnership Agreement. The right to distributions set forth in this Section 6 shall be deemed a Dividend Equivalent Right for purposes of the Plan. 

7. Incorporation of Plan. Notwithstanding anything herein to the contrary, this Award shall be subject to all of the terms
and conditions of the Plan and the Partnership Agreement. 

  
 3 

 8. Covenants. The Grantee hereby covenants as follows: 

(a) So long as the Grantee holds any LTIP Units, the Grantee shall disclose to the Partnership in writing such information as may be
reasonably requested with respect to ownership of LTIP Units as the Partnership may deem reasonably necessary to ascertain and to establish compliance with provisions of the Code applicable to the Partnership or to comply with requirements of any
other appropriate taxing authority. 
 (b) The Grantee hereby agrees to make an election under Section 83(b) of the Code
with respect to the LTIP Units awarded hereunder, and the Company hereby consents thereto. The Grantee has delivered with this Agreement a completed, executed copy of the election form attached hereto as Annex C. The Grantee agrees to
file the election (or to permit the Partnership to file such election on the Grantee’s behalf) within thirty (30) days after the Grant Date with the IRS Service Center at which such Grantee files his personal income tax returns, and to
file a copy of such election with the Grantee’s U.S. federal income tax return for the taxable year in which the LTIP Units are awarded to the Grantee. 
 (c) The Grantee hereby agrees that it does not have the intention to dispose of the LTIP Units subject to this Award within two years of receipt of such LTIP Units. The Partnership and the Grantee hereby
agree to treat the Grantee as the owner of the LTIP Units from the Grant Date. The Grantee hereby agrees to take into account the distributive share of the Partnership income, gain, loss, deduction, and credit associated with the LTIP Units in
computing the Grantee’s income tax liability for the entire period during which the Grantee has the LTIP Units. 
 (d) The
Grantee hereby recognizes that the IRS has proposed regulations under Sections 83 and 704 of the Code that may affect the proper treatment of the LTIP Units for federal tax purposes. In the event that those proposed regulations are finalized, the
Grantee hereby agrees to cooperate with the Partnership in amending this Agreement and the Partnership Agreement, and to take such other action as may be required, to conform to such regulations. 

(e) The Grantee hereby recognizes that the U.S. Congress is considering legislation that would change the federal tax consequences of
owning and disposing of LTIP Units. 
 9. Transferability. This Agreement is personal to the Grantee, is
non-assignable and is not transferable in any manner, by operation of law or otherwise, other than by will or the laws of descent and distribution, without the prior written consent of the Company. 

10. Amendment. The Grantee acknowledges that the Plan may be amended or canceled or terminated in accordance with Article
XVI thereof and that this Agreement may be amended or cancelled by the Committee, on behalf of the Partnership, for the purpose of satisfying changes in law or for any other lawful purpose, provided that no such action shall adversely affect the
Grantee’s rights under this Agreement without the Grantee’s written consent. The provisions of Section 5 of this Agreement applicable to the termination of the LTIP Units covered by this Award in connection with a Transaction
(as defined in Section 5 of this Agreement) shall apply, mutatis mutandi to amendments, discontinuance or cancellation pursuant to this Section 10 or the Plan. 

  
 4 

 11. No Obligation to Continue [Directorship/Employment]. Neither the Company
nor any affiliate of the Company is obligated by or as a result of the Plan or this Agreement to continue the Grantee as a [director/employee] of the Company and neither the Plan nor this Agreement shall interfere in any way with the right of
the Company or any affiliate of the Company to terminate the [directorship/employment] of the Grantee at any time. 

12. Notices. Notices hereunder shall be mailed or delivered to the Partnership at its principal place of business and shall
be mailed or delivered to the Grantee at the address on file with the Partnership or, in either case, at such other address as one party may subsequently furnish to the other party in writing. 

13. Governing Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of
Delaware, applied without regard to conflict of law principles. The parties agree that any action or proceeding arising directly, indirectly or otherwise in connection with, out of , related to or from this Agreement, any breach hereof or any action
covered hereby, shall be resolved within the State of Florida and the parties hereto consent and submit to the jurisdiction of the federal and state courts located within the City of Miami, Florida. The parties hereto further agree that any such
action or proceeding brought by either party to enforce any right, assert any claim, obtain any relief whatsoever in connection with this Agreement shall be brought by such party exclusively in federal or state courts located within the City of
Miami, Florida. 
 14. Closing Date. As used herein, “Closing Date” shall mean the date of the
closing of issuance of common stock of the Company pursuant to the public offering of the Company’s common stock pursuant to the underwriting agreement by and among the Company, the Partnership and Sandler O’Neill & Partners,
L.P., as representative of the underwriters named therein. 
 [Signatures appear on following page.] 

  
 5 

 
			
	 TRADE STREET RESIDENTIAL, INC.
 a Maryland corporation

	
	 
	Name:	 	
	Title:	 	
	Date:	 	

  

			
	 TRADE STREET

OPERATING PARTNERSHIP, L.P.
 a Delaware
limited partnership

		
	 By:
	 	 TRADE STREET OP GP, LLC

a Delaware limited liability company, its general partner

		
		 	
	By:	 	 TRADE STREET

RESIDENTIAL, INC.
 its sole
member

		 	
		 	 
		 	Name:
		 	Title:
		 	Date:

  
  
 The foregoing agreement is hereby accepted and the terms and conditions thereof hereby agreed to by the Grantee. 
  

									
		 		 	
				
	Date:	 	 	 		 	 
		 		 		 	Grantee’s Signature
					
		 		 		 	Name:	 	 
					
		 		 		 	Address:	 	
		 		 		 		 	
		 		 		 	 
				
		 		 		 	 
				
		 		 		 	 
		 		 		 		 	

 [Signature page to Long Term Incentive Plan Unit Vesting Agreement] 

 ANNEX A 
 FIRST AMENDED AND RESTATED AGREEMENT OF LIMITED PARTNERSHIP 

 ANNEX B 
 FORM OF LIMITED PARTNER SIGNATURE PAGE 
 The Grantee desiring to become one of the within
named Partners of Trade Street Operating Partnership, L.P. (the “Partnership”), hereby becomes a party to the First Amended and Restated Agreement of Limited Partnership (the “Partnership Agreement”) of the
Partnership, by and among Trade Street OP GP, LLC, as the general partner of the Partnership (the “General Partner”), and the Limited Partners, effective as of December 31, 2012. The Grantee agrees to be bound by the
Partnership Agreement. The Grantee also agrees that this signature page may be attached to, and hereby authorizes the General Partner to attach this signature page to, any counterpart of the Partnership Agreement. 

 

									
		 		 	
				
	Date:	 	 	 		 	 
		 		 		 	 Signature of Limited Partner
  

Limited Partner’s name and address:
  

					
		 		 		 	Name:	 	 
					
		 		 		 	Address:	 	
		 		 		 		 	
		 		 		 	 
				
		 		 		 	 
				
		 		 		 	 
		 		 		 		 	

  

 ANNEX B 
 ELECTION TO INCLUDE IN GROSS INCOME IN YEAR OF 
 TRANSFER OF PROPERTY
PURSUANT TO SECTION 83(b) 
 OF THE INTERNAL REVENUE CODE 

The undersigned hereby makes an election pursuant to Section 83(b) of the Internal Revenue Code with respect to the property
described below and supplies the following information in accordance with the regulations promulgated thereunder: 
  

 

							
	 1. 
	 	The name, address and taxpayer identification number of the undersigned are:
			
		 	Name: 	 	                            
         (the “Taxpayer”)
			
		 	Address:	 	  

		 		 		 	
				
		 		 		 	  

		 		 		 	
				
		 		 		 	  

		 		 		 	
		 	Social security number:	 	  

		 		 		 	
	2.	 	Description of property with respect to which the election is being made:
		 		 		 	
		 	The election is being made with respect to
                                 LTIP Units in Trade Street Operating
Partnership, L.P. (the “Partnership”).
		 		 		 	
	3.	 	The date on which the LTIP Units were transferred is
                                         
                                         
  .
		 		 		 	
		 	The taxable year to which this election relates is calendar year
                                .
		 		 		 	
	4.	 	 Nature of restrictions to which the LTIP Units are subject: 

		 		 		 	
		 	(a)	 	The LTIP Units are subject to a substantial risk of forfeiture and are nontransferable on the date of transfer.
		 		 		 	
		 	(b)	 	The Taxpayer’s LTIP Units vest and become transferable based on the Taxpayer’s continued [directorship/employment].
		 		 		 	
	5.	 	The fair market value at the time of transfer (determined without regard to any restrictions other than restrictions which by their terms will never lapse) of the LTIP
Units with respect to which this election is being made was $0 per LTIP Unit.
		 		 		 	
	6.	 	The amount paid by the Taxpayer for the LTIP Units was $0 per LTIP Unit.
		 		 		 	
		 		 		 	
		 		 		 	
		 		 		 	

	

	 	

	 	

	

	

	

 7. A copy of this statement has been furnished to the Partnership and to its
general partner, Trade Street OP GP, LLC, a Delaware limited liability company. 
  

											
		 		 	
					
	Date:	 	 	 		 	 	 	 
		 		 		 	 Signature of the Taxpayer
  

Taxpayer’s name and address:
  

						
		 		 		 		 	Name:	 	 
		 		 		 		 	Address:	 	
		 		 		 		 	 ______________________________________________
					
		 		 		 		 	 ______________________________________________

 The undersigned hereby consents to the making, by the undersigned’s spouse, of the foregoing election pursuant to
Section 83(b) of the Internal Revenue Code. 
  

											
		 		 	
					
	Date:	 	 	 		 	 	 	 
		 		 		 	 Signature of the Taxpayer’s Spouse
  

Spouse’s name and address:

					
		 		 		 	 Name:
	 	 
		 		 		 	 Address:
	 	
		 		 		 		 		 	
		 		 		 	 
				
		 		 		 	 
				
		 		 		 	 
		 		 		 		 		 	

 Schedule to Section 83(b) Election-Vesting Provisions of LTIP Units 

The LTIP Units are subject to time-based vesting with 100% vesting on
                                , subject to acceleration in the event of certain
extraordinary transactions or termination of the Taxpayer’s [directorship/employment] in certain circumstances. Unvested LTIP Units are subject to forfeiture in the event of the termination of the Taxpayer’s
[directorship/employment] with Trade Street Residential, Inc. in certain circumstances.

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