Document:

EX-10.7

      

(Space above reserved for Recorder of Deeds certification)

	 	 	 
	Title of Document:	 	DEED OF TRUST, ASSIGNMENT OF RENTS, SECURITY
	 	 	AGREEMENT AND FIXTURE FILING
	Date of Document:
	 	May 19, 2011

	Grantor:
	 	G&E HC REIT II JOPLIN LTACH, LLC,

a Delaware limited liability company

	Grantor’s Address:
	 	1551 Tustin Avenue, Suite 300

Santa Ana, California 92705

	Grantee / Beneficiary:
	 	SIEMENS FINANCIAL SERVICES,

a Delaware corporation

	Beneficiary’s Address:
	 	170 Wood Avenue South

Iselin, New Jersey 08830

	Legal Description:
	 	See Exhibit A

	 	 	 

	Reference Book and Page(s):
	 	     

      

RECORDING REQUESTED BY

AND WHEN RECORDED MAIL TO:

McGuireWoods LLP

77 West Wacker Drive

Suite 4100

Chicago, IL 60601

Attention: Donald A. Ensing, Esq.

DEED OF TRUST, ASSIGNMENT OF RENTS, SECURITY AGREEMENT 

AND FIXTURE FILING

This DEED OF TRUST, ASSIGNMENT OF RENTS, SECURITY AGREEMENT AND FIXTURE FILING (“Deed of
Trust”) is made as of as of May 19, 2011, by G&E HC REIT II JOPLIN LTACH, LLC, a Delaware limited
liability company (“Grantor”), to SM DISPOSITION, INC., a Missouri corporation (“Trustee”), for the
benefit of SIEMENS FINANCIAL SERVICES, INC., a Delaware corporation, its successors and assigns
(“Beneficiary”).

RECITALS:

A. Pursuant to the terms and conditions contained in that certain Loan and Security Agreement
dated as of May 19, 2011, by and among G&E HC REIT II Monument LTACH Portfolio, LLC, a Delaware
limited liability company (“G&E Monument”), G&E HC REIT II Athens LTACH, LLC, a Delaware limited
liability company (“G&E Athens”), G&E HC REIT II Cape Girardeau LTACH, LLC, a Delaware limited
liability company (“G&E Cape Girardeau”), Grantor, G&E HC REIT II Columbia LTACH, LLC, a Delaware
limited liability company (“G&E Columbia” and, together with G&E Monument, G&E Athens, G&E Cape
Girardeau, and Grantor, the “Borrowers” and each a “Borrower”), and Beneficiary (as amended,
restated, supplemented, or otherwise modified from time to time, the “Loan Agreement”), the
Beneficiary has made to the Borrowers a term loan (the “Loan”) evidenced by that certain Promissory
Note dated as of May 19, 2011, in the original principal amount of Twenty-Five Million and 00/100
Dollars ($25,000,000.00), executed by the Borrowers and made payable to the order of the
Beneficiary (as amended, restated, or replaced from time to time, the “Note”).

B. Pursuant to the terms and conditions of contained in that certain Guaranty (as amended,
restated, supplemented, or otherwise modified from time to time, the “Guaranty”) made by Grubb &
Ellis Healthcare REIT II, Inc., a Maryland corporation (the “Parent Guarantor”), in favor of the
Beneficiary, the Parent Guarantor has guaranteed all “Obligations” under and as defined in the Loan
Agreement (the “Guaranty Obligations”).

C. A condition precedent to Beneficiary’s extension of the Loan to the Borrowers is the
execution and delivery by Grantor of this Deed of Trust.

NOW, THEREFORE, in consideration of the premises and of the debt and trust hereafter mentioned
and created, and the sum of One Dollar ($1.00) paid to Grantor by Trustee, the receipt of which is
hereby acknowledged, Grantor hereby irrevocably and unconditionally grants, bargains, sells,
conveys and confirms with warranty to Trustee its successors and assigns, in trust, with power of
sale, and grants a security interest in, all of Grantor’s estate, right, title and interest,
whether now existing or hereafter acquired, in and to the following described property, rights and
interests (referred to collectively herein as “Premises”), all of which property, rights and
interests are hereby pledged primarily and on a parity with the Real Estate (as defined below) and
not secondarily:

THE REAL ESTATE located in the County of Newton, State of Missouri, described in Exhibit A
attached hereto and by this reference incorporated herein (the “Real Estate”), including all
improvements now and hereafter located thereon;

TOGETHER WITH all improvements of every nature whatsoever now or hereafter situated on the
Real Estate, and all fixtures and personal property of every nature whatsoever now or hereafter
owned by Grantor and located on, or used in connection with the Real Estate or the improvements
thereon, or in connection with any construction thereon, including all extensions, additions,
improvements, betterments, renewals, substitutions and replacements to any of the foregoing and all
of the right, title and interest of Grantor in and to any such personal property or fixtures
together with the benefit of any deposits or payments now or hereafter made on such personal
property or fixtures by Grantor or on its behalf (“Improvements”);

TOGETHER WITH all easements, rights of way, gores of real estate, streets, ways, alleys,
passages, sewer rights, waters, water courses, water rights and powers, and all estates, rights,
titles, interests, privileges, liberties, tenements, hereditaments and appurtenances whatsoever, in
any way now or hereafter belonging, relating or appertaining to the Real Estate, and the
reversions, remainders, rents, issues and profits thereof, and all the estate, right, title,
interest, property, possession, claim and demand whatsoever, at law as well as in equity, of
Grantor of, in and to the same;

TOGETHER WITH all rents, revenues, issues, profits, proceeds, income, royalties, accounts,
including health-care-insurance receivables, escrows, letter-of-credit rights (each as defined in
the Code, as hereinafter defined), security deposits, impounds, reserves, tax refunds and other
rights to monies from the Premises and/or the businesses and operations conducted by Grantor
thereon, to be applied against the Indebtedness (hereinafter defined); provided, however, that
Grantor, so long as no Event of Default (as hereinafter defined) has occurred hereunder, may
collect rent as it becomes due, but not more than one (1) month in advance thereof;

TOGETHER WITH all interest of Grantor in all leases now or hereafter on the Premises, whether
written or oral (“Leases”), together with all security therefor and all monies payable thereunder
(“Rents”), subject, however, to the conditional permission hereinafter given to Grantor to collect
the rentals under any such Lease;

TOGETHER WITH all fixtures and articles of personal property now or hereafter owned by Grantor
and forming a part of or used in connection with the Real Estate or the Improvements, including,
but without limitation, any and all air conditioners, antennae, appliances, apparatus, awnings,
basins, bathtubs, bidets, boilers, bookcases, cabinets, carpets, computer hardware and software
used in the operation of the Premises, coolers, curtains, dehumidifiers, disposals, doors, drapes,
dryers, ducts, dynamos, elevators, engines, equipment, escalators, exercise equipment, fans,
fittings, floor coverings, furnaces, furnishings, furniture, hardware, heaters, humidifiers,
incinerators, lighting, machinery, motors, ovens, pipes, plumbing, pumps, radiators, ranges,
recreational facilities, refrigerators, screens, security systems, shades, shelving, sinks,
sprinklers, stokers, stoves, toilets, ventilators, wall coverings, washers, windows, window
coverings, wiring, and all renewals or replacements thereof or articles in substitution therefor,
whether or not the same are or shall be attached to the Real Estate or the Improvements in any
manner; it being mutually agreed that all of the aforesaid property owned by Grantor and placed on
the Real Estate or the Improvements, so far as permitted by law, shall be deemed to be fixtures, a
part of the realty, and security for the Indebtedness (as hereinafter defined); notwithstanding the
agreement hereinabove expressed that certain articles of property form a part of the realty covered
by this Deed of Trust and be appropriated to its use and deemed to be realty, to the extent that
such agreement and declaration may not be effective and that any of said articles may constitute
“goods” as said term is used in the Uniform Commercial Code of the State of Missouri in effect from
time to time (the “Code”), this instrument shall constitute a security agreement, creating a
security interest in such goods, as collateral, in Beneficiary, as a Secured Party, and Grantor, as
Debtor, all in accordance with the Code; and

TOGETHER WITH all of Grantor’s interests in “general intangibles” including “payment
intangibles” and “software” (each as defined in the Code) now owned or hereafter acquired and
related to the Premises, including, without limitation, all of Grantor’s right, title and interest
in and to: (a) all agreements, licenses, permits and contracts to which Grantor is or may become a
party and which relate to the Premises; (b) all obligations and indebtedness owed to Grantor
thereunder; (c) all intellectual property related to the Premises; and (d) all choses in action and
causes of action relating to the Premises;

TOGETHER WITH all of Grantor’s accounts now owned or hereafter created or acquired as relate
to the Premises and/or the businesses and operations conducted thereon, including, without
limitation, all of the following now owned or hereafter created or acquired by Grantor:
(a) accounts, contract rights, health-care-insurance receivables, book debts, notes, drafts, and
other obligations or indebtedness owing to the Grantor arising from the sale, lease or exchange of
goods or other property and/or the performance of services; (b) the Grantor’s rights in, to and
under all purchase orders for goods, services or other property; (c) the Grantor’s rights to any
goods, services or other property represented by any of the foregoing; (d) monies due or to become
due to the Grantor under all contracts for the sale, lease or exchange of goods or other property
and/or the performance of services including the right to payment of any interest or finance
charges in respect thereto (whether or not yet earned by performance on the part of the Grantor);
(e) “securities”, “investment property,” “financial assets,” and “securities entitlements” (each as
defined in the Code); (f) proceeds of any of the foregoing and all collateral security and
guaranties of any kind given by any person or entity with respect to any of the foregoing; and (g)
all warranties, guarantees, permits and licenses in favor of Grantor with respect to the Premises;

TOGETHER WITH all proceeds of the foregoing, including, without limitation, all judgments,
awards of damages and settlements hereafter made resulting from condemnation proceeds or the taking
of the Premises or any portion thereof under the power of eminent domain, any proceeds of any
policies of insurance, maintained with respect to the Premises or proceeds of any sale, option or
contract to sell the Premises or any portion thereof.

TO HAVE AND TO HOLD the Premises, unto Trustee and Beneficiary, as the case may be, and their
respective successors and assigns, forever, and possession of said premises is now delivered unto
Trustee in trust for the purposes and upon the uses herein set forth together with all right to
possession of the Premises after the occurrence of any Event of Default; Grantor hereby RELEASING
AND WAIVING all rights under and by virtue of the homestead exemption laws of the State of
Missouri.

FOR THE PURPOSE OF SECURING: in any order of priority Beneficiary may choose, (a) the payment
of the Loan and all interest, late charges, prepayment premium (if any), exit fee (if any),
reimbursement obligations, and other indebtedness evidenced by or owing under the Note and the
other Loan Documents (as defined in the Loan Agreement), together with any extensions,
modifications, renewals or refinancings of any of the foregoing; (b) the performance and observance
of the covenants, conditions, agreements, representations, warranties and other liabilities and
obligations of the Borrowers and the other Obligors (as defined in the Loan Agreement) to or
benefiting Beneficiary which are evidenced or secured by or otherwise provided in this Deed of
Trust and the other Loan Documents; (c) the reimbursement of Beneficiary of any and all sums
incurred, expended or advanced by Beneficiary pursuant to any term or provision of or constituting
additional indebtedness under or secured by this Deed of Trust and the other Loan Documents, with
interest thereon as provided herein or therein; (d) the Obligations (as defined in the Loan
Agreement); (e) the payment and performance of all future advances and other obligations any of the
Borrowers and the other Obligors (or any successor in interest to any of the foregoing) may agree
to pay or perform (whether as principal, surety, or guarantor) to or for the benefit of
Beneficiary; and (f) so long as such obligations remain outstanding, the Guaranty Obligations
(collectively, the foregoing items (a) through (f) referred to herein as the “Indebtedness”).

IT IS FURTHER UNDERSTOOD AND AGREED THAT:

1. Title. Grantor represents, warrants and covenants that (a) Grantor is the holder of the
fee simple title to the Premises, free and clear of all liens and encumbrances, except those liens
and encumbrances in favor of Beneficiary and as otherwise described on Exhibit B attached hereto
and made a part hereof (“Permitted Exceptions”); and (b) Grantor has legal power and authority to
mortgage and convey the Premises.

2. Maintenance, Repair, Restoration, Prior Liens, Parking. Grantor covenants that, so long
as any portion of the Indebtedness remains unpaid, Grantor will:

(a) promptly repair, restore or rebuild any Improvements now or hereafter on the
Premises which may become damaged or be destroyed to a condition substantially similar to
the condition immediately prior to such damage or destruction, whether or not proceeds of
insurance are available or sufficient for the purpose;

(b) keep the Premises in good condition and repair, without waste, and free from
mechanics’, materialmen’s or like liens or claims or other liens or claims for lien (subject
to Grantor’s right to contest liens as permitted by the terms of Section 29 hereof);

(c) pay when due the Indebtedness in accordance with the terms of the Note and the
other Loan Documents and duly perform and observe all of the terms, covenants and conditions
to be observed and performed by Grantor under this Deed of Trust and the other Loan
Documents;

(d) pay when due any indebtedness which may be secured by a permitted lien or charge on
the Premises on a parity with, superior to or inferior to the lien hereof, and upon request
exhibit satisfactory evidence of the discharge of such lien to Beneficiary (subject to
Grantor’s right to contest liens as permitted herein;

(e) complete within a reasonable time any Improvements now or at any time in the
process of erection upon the Premises;

(f) comply with all requirements of law, municipal ordinances or restrictions and
covenants of record with respect to the Premises and the use thereof;

(g) obtain and maintain in full force and effect, and abide by and satisfy the material
terms and conditions of, all material permits, licenses, registrations and other
authorizations with or granted by any governmental authorities that may be required from
time to time with respect to the performance of its obligations under this Deed of Trust;

(h) make no material alterations in the Premises or demolish any portion of the
Premises without Beneficiary’s prior written consent, except as required by law or municipal
ordinance;

(i) suffer or permit no change in the use or general nature of the occupancy of the
Premises, without Beneficiary’s prior written consent;

(j) pay when due all operating costs of the Premises;

(k) not initiate or acquiesce in any zoning reclassification with respect to the
Premises, without Beneficiary’s prior written consent;

(l) provide and thereafter maintain adequate parking areas within the Premises as may
be required by law, ordinance or regulation (whichever may be greater), together with any
sidewalks, aisles, streets, driveways and sidewalk cuts and sufficient paved areas for
ingress, egress and right-of-way to and from the adjacent public thoroughfares necessary or
desirable for the use thereof; and

(m) comply, and cause the Premises at all times to be operated in compliance with all
federal, state, local and municipal environmental, health and safety laws, statutes,
ordinances, rules and regulations.

3. Payment of Taxes and Assessments. Grantor will pay when due and before any penalty
attaches, all general and special taxes, assessments, water charges, sewer charges, and other fees,
taxes, charges and assessments of every kind and nature whatsoever (all herein generally called
“Taxes”), whether or not assessed against Grantor, if applicable to the Premises or any interest
therein, or the Indebtedness, or any obligation or agreement secured hereby, subject to Grantor’s
right to contest the same, as provided by the terms hereof; and Grantor will, upon written request,
furnish to Beneficiary duplicate receipts therefor within ten (10) days after Beneficiary’s
request.

4. Tax Deposits. At Beneficiary’s option, Grantor shall deposit with Beneficiary, on the
first day of each month until the Indebtedness is fully paid, a sum equal to one-twelfth (1/12th)
of 105% of the most recent ascertainable annual Taxes on the Premises. If requested by Beneficiary,
Grantor shall also deposit into a deposit account (such account, the “Tax Reserve Account”) with a
United States depository institution approved by Beneficiary and subject to the exclusive control
of Beneficiary an amount of money which, together with the aggregate of the monthly deposits to be
made pursuant to the preceding sentence as of one month prior to the date on which the next
installment of annual Taxes for the current calendar year become due, shall be sufficient to pay in
full such installment of annual Taxes, as estimated by Beneficiary. Such deposits are to be held
without any allowance of interest and are to be used for the payment of Taxes next due and payable
when they become due. So long as no Event of Default shall exist, Beneficiary shall, at its option,
use the funds in the Tax Reserve Account to pay such Taxes when the same become due and payable
(upon submission of appropriate bills therefor by Grantor) or shall release sufficient funds to
Grantor for the payment thereof. If the funds so deposited are insufficient to pay any such Taxes
for any year (or installments thereof, as applicable) when the same shall become due and payable,
Grantor shall, within ten (10) days after receipt of written demand therefor, deposit additional
funds into the Tax Reserve Account as may be necessary to pay such Taxes in full. If the funds so
deposited exceed the amount required to pay such Taxes for any year, the excess shall be applied
toward subsequent deposits. Said deposits need not be kept separate and apart from any other funds
of Beneficiary. Beneficiary, in making any payment hereby authorized relating to Taxes, may do so
according to any bill, statement or estimate procured from the appropriate public office without
inquiry into the accuracy of such bill, statement or estimate or into the validity of any tax,
assessment, sale, forfeiture, tax lien or title or claim thereof.

5. Beneficiary’s Interest In and Use of Deposits. Upon an Event of Default, Beneficiary
may, at its option, apply any monies at the time on deposit pursuant to Section 4 hereof to cure an
Event of Default or to pay any of the Indebtedness in such order and manner as Beneficiary may
elect. If such deposits are used to cure an Event of Default or pay any of the Indebtedness,
Grantor shall immediately, upon demand by Beneficiary, deposit with Beneficiary an amount equal to
the amount expended by Grantor from the deposits. When the Indebtedness has been fully paid, any
remaining deposits shall be returned to Grantor. Such deposits are hereby pledged as additional
security for the Indebtedness and shall not be subject to the direction or control of Grantor.
Beneficiary shall not be liable for any failure to apply to the payment of Taxes any amount so
deposited unless Grantor, prior to an Event of Default, shall have requested Beneficiary in writing
to make application of such funds to the payment of such amounts, accompanied by the bills for such
Taxes. Beneficiary shall not be liable for any act or omission taken in good faith or pursuant to
the instruction of any party.

6. Insurance.

(a) Grantor shall at all times keep all buildings, improvements, fixtures and articles
of personal property now or hereafter situated on the Premises insured against loss or
damage by fire and such other hazards as may reasonably be required by Beneficiary, in
accordance with the terms, coverage, and provisions described in the Loan Agreement, which
is incorporated by reference and made a part hereof, and such other insurance as Beneficiary
may from time to time reasonably require. Grantor assigns to Beneficiary all proceeds of
any and all insurance policies insuring against loss or damage to the Premises, subject to
the terms of the Loan Agreement. Grantor authorizes Beneficiary to collect and receive such
proceeds and authorizes and directs the issuer of each such insurance policy to make payment
for all such losses directly to Beneficiary, instead of to Grantor and Beneficiary jointly,
subject to the terms of the Loan Agreement.

(b) The following notice is given to comply with § 427.120 of the Revised Statutes of
Missouri:

Unless Grantor provides Beneficiary evidence of the insurance coverage
required hereunder, Beneficiary may purchase insurance at Grantor’s expense
to cover Beneficiary’s interest in the Premises. The insurance may, but need
not, protect Grantor’s interest. The coverage that Beneficiary purchases may
not pay any claim that Grantor makes or any claim that is made against
Grantor in connection with the Premises. Grantor may later cancel any
insurance purchased by Beneficiary, but only after providing Beneficiary
with evidence that Grantor has obtained insurance as required by this Deed
of Trust and the Loan Agreement. If Beneficiary purchases insurance for the
Premises, Grantor will be responsible for the costs of such insurance,
including, without limitation, the insurance premium, interest and any other
charges which Beneficiary may impose in connection with the placement of the
insurance, until the effective date of the cancellation or expiration of the
insurance. The costs of the insurance may be added to the Indebtedness. The
cost of the insurance may be more than the cost of insurance Grantor may be
able to obtain on its own.

7. Condemnation. If all or any part of the Premises are damaged, taken or acquired, either
temporarily or permanently, in any condemnation proceeding, or by exercise of the right of eminent
domain, the amount of any award or other payment for such taking or damages made in consideration
thereof to Grantor, to the extent of the full amount of the remaining unpaid Indebtedness, is
hereby assigned to Beneficiary, who is empowered to collect and receive the same and to give proper
receipts therefor in the name of Grantor and the same shall be paid forthwith to Beneficiary. Such
award or monies shall be applied on account of the Indebtedness, irrespective of whether such
Indebtedness is then due and payable and, at any time from and after the taking Beneficiary may
declare the whole of the balance of the Indebtedness plus any prepayment premium to be due and
payable. Notwithstanding the provisions of this Section to the contrary, if any condemnation or
taking of less than the entire Premises occurs and provided that no Event of Default and no event
or circumstance which with the passage of time, the giving of notice or both would constitute an
Event of Default then exists, and if such partial condemnation, in the reasonable discretion of
Beneficiary, has no material adverse effect on the operation or value of the Premises, then the
award or payment for such taking or consideration for damages resulting therefrom may be collected
and received by Grantor, and Beneficiary hereby agrees that in such event it shall not declare the
Indebtedness to be due and payable, if it is not otherwise then due and payable.

8. Stamp Tax. If, by the laws of the United States of America, or of any state or political
subdivision having jurisdiction over Grantor, any tax is due or becomes due in respect of the
execution and delivery of this Deed of Trust, the Note, or any of the other Loan Documents, Grantor
shall pay such tax in the manner required by any such law. Grantor further agrees to reimburse
Beneficiary for any sums which Beneficiary may expend by reason of the imposition of any such tax.
Notwithstanding the foregoing, Grantor shall not be required to pay any income or franchise taxes
of Beneficiary.

9. Assignment of Leases and Rents and Collections.

(a) All of Grantor’s interest in and rights under the Leases now existing or hereafter
entered into, and all of the Rents, whether now due, past due, or to become due, and
including all prepaid rents and security deposits, and all other amounts due with respect to
any of the other collateral, are hereby absolutely, presently and unconditionally assigned
and conveyed to Beneficiary to be applied by Beneficiary in payment of all Indebtedness and
all other sums payable under this Deed of Trust. THIS IS AN ABSOLUTE ASSIGNMENT, NOT AN
ASSIGNMENT FOR SECURITY ONLY. If an Event of Default has occurred, Beneficiary shall
have the right, which it may choose to exercise in its sole discretion, to terminate such
license without notice to or demand upon Grantor, and without regard to the adequacy of the
security for its security hereunder. It is understood and agreed that neither the foregoing
assignment to Beneficiary nor the exercise by Beneficiary of any of its rights or remedies
under Section 16 hereof or otherwise shall be deemed to make Beneficiary a
“mortgagee-in-possession” or otherwise responsible or liable in any manner with respect to
the collateral or the use, occupancy, enjoyment or any portion thereof, unless and until
Beneficiary, in person or by agent, assumes actual possession thereof. Nor shall appointment
of a receiver for the collateral by any court at the request of Beneficiary or by agreement
with Grantor, or the entering into possession of any part of the collateral by such
receiver, be deemed to make Beneficiary a mortgagee-in-possession or otherwise responsible
or liable in any manner with respect to the collateral or the use, occupancy, enjoyment or
operation of all or any portion thereof. Upon the occurrence of any Event of Default, this
shall constitute a direction to and full authority to each lessee under any Leases, each
guarantor of any of the Leases and any other Person (as defined in the Loan Agreement)
obligated under any of the collateral to pay all Rents and other amounts to Beneficiary
without proof of the Event of Default relied upon. Grantor hereby irrevocably authorizes
each such Person to rely upon and comply with any notice or demand by Beneficiary for the
payment to Beneficiary of any Rents and other amounts due or to become due.

(b) Grantor shall apply the Rents and other amounts to the payment of all necessary and
reasonable operating costs and expenses of the collateral, debt service on the Indebtedness
and otherwise in compliance with the provisions of this Deed of Trust.

(c) Grantor shall at all times fully perform the obligations of the lessor under all
Leases. Grantor shall at any time or from time to time, upon request of Beneficiary,
transfer and assign to Beneficiary in such form as may be satisfactory to Beneficiary,
Grantor’s interest in the Leases, subject to and upon the condition, however, that prior to
the occurrence of any Event of Default hereunder, Grantor shall have a license to collect
and receive all Rents under such Leases upon accrual, but not prior thereto, as set forth in
Section 9(a) above.

(d) Beneficiary shall have the right to assign all or any part of Beneficiary’s right,
title, and interest in any Leases to any subsequent holder of this Deed of Trust or any
participating interest in any of the Indebtedness or to any Person acquiring title to all or
any part of the collateral through foreclosure or otherwise. Any subsequent assignee shall
have all the rights and powers herein provided to Beneficiary. Upon the occurrence of any
Event of Default, Beneficiary shall have the right to execute new leases of any part of the
collateral, including leases that extend beyond the term of this Deed of Trust. Beneficiary
shall have the authority, as Grantor’s attorney-in-fact, such authority being coupled with
an interest and irrevocable, to sign the name of Grantor and to bind Grantor on all papers
and documents relating to the operation, leasing and maintenance of the collateral.

(e) Trustee hereby lets the Premises to Grantor until a sale therefor is held under the
provisions hereof, or until an Event of Default shall occur, upon the following terms and
conditions, to wit: Grantor and all individuals or entities claiming or possessing any of
the Premises by, through, or under Grantor shall pay rent therefor during said term at the
rate of one cent per month, payable monthly upon demand, and shall surrender immediate
peaceable possession of the Premises (and any and every part thereof) sold under the
provisions of this Deed of Trust to the purchaser thereof under such sale, without notice or
demand therefor, and shall and will at once, without notice, surrender up possession of the
Premises and every part thereof in the event Beneficiary shall take charge and enter as
hereinbefore provided.

10. Effect of Extensions of Time and Other Changes. If the payment of the Indebtedness or
any part thereof is extended or varied, if any part of any security for the payment of the
Indebtedness is released, if the rate of interest charged under the Note is changed or if the time
for payment thereof is extended or varied, all persons now or at any time hereafter liable
therefor, or interested in the Premises or having an interest in Grantor, shall be held to assent
to such extension, variation, release or change and their liability and the lien and all of the
provisions hereof shall continue in full force, any right of recourse against all such persons
being expressly reserved by Beneficiary, notwithstanding such extension, variation, release or
change.

11. Effect of Changes in Laws Regarding Taxation. If any law is enacted after the date
hereof requiring (a) the deduction of any lien on the Premises from the value thereof for the
purpose of taxation; (b) the imposition upon Beneficiary of the payment of the whole or any part of
the Taxes, charges or liens herein required to be paid by Grantor; or (c) a change in the method of
taxation of mortgages or debts secured by mortgages or Beneficiary’s interest in the Premises, or
the manner of collection of taxes, so as to affect this Deed of Trust or the Indebtedness or the
holders thereof, then Grantor, upon demand by Beneficiary, shall pay such Taxes or charges, or
reimburse Beneficiary therefor; provided, however, that Grantor shall not be deemed to be required
to pay any income or franchise taxes of Beneficiary. Notwithstanding the foregoing, if in the
opinion of counsel for Beneficiary it is or may be unlawful to require Grantor to make such payment
or the making of such payment might result in the imposition of interest beyond the maximum amount
permitted by law, then Beneficiary may declare all of the Indebtedness to be immediately due and
payable.

12. Beneficiary’s Performance of Defaulted Acts and Expenses Incurred by Beneficiary. If an
Event of Default has occurred, Beneficiary may, but need not, make any payment or perform any act
herein required of Grantor in any form and manner deemed expedient by Beneficiary, and may, but
need not, make full or partial payments of principal or interest on prior encumbrances, if any, and
purchase, discharge, compromise or settle any tax lien or other prior lien or title or claim
thereof, or redeem from any tax sale or forfeiture affecting the Premises or consent to any tax or
assessment or cure any default of Grantor in any lease of the Premises. All monies paid for any of
the purposes herein authorized and all expenses paid or incurred in connection therewith, including
reasonable attorneys’ fees, and any other monies advanced by Beneficiary in regard to any tax
referred to in Section 8 above or to protect the Premises or the lien hereof, shall be so much
additional Indebtedness, and shall become immediately due and payable by Grantor to Beneficiary,
upon demand, and with interest thereon accruing from the date of such demand until paid at the rate
then in effect under the Loan Agreement in regard to the Loan plus 1.3% per month (such rate, the
“Default Rate”), in addition to any other interest accruing on such amount, as provided under this
Deed of Trust and the other Loan Documents, all limited by the maximum rate permitted by law then
in effect. In addition to the foregoing, any costs, expenses and fees, including reasonable
attorneys’ fees, incurred by Beneficiary in connection with (a) sustaining the lien of this Deed of
Trust or its priority, (b) protecting or enforcing any of Beneficiary’s rights hereunder,
(c) recovering any Indebtedness, (d) any litigation or proceedings affecting the Note, this Deed of
Trust, any of the other Loan Documents or the Premises, including without limitation, bankruptcy
and probate proceedings, and (e) preparing for the commencement, defense or participation in any
threatened litigation or proceedings affecting the Note, this Deed of Trust, any of the other Loan
Documents or the Premises, shall be so much additional Indebtedness, and shall become immediately
due and payable by Grantor to Beneficiary, upon demand, and with interest thereon accruing from the
date of such demand until paid at the Default Rate, in addition to any other interest accruing on
such amount, as provided under this Deed of Trust and the other Loan Documents, all limited by the
maximum rate permitted by law then in effect. The interest accruing under this Section 12 shall be
immediately due and payable by Grantor to Beneficiary, and shall be additional Indebtedness
evidenced by the Note and secured by this Deed of Trust. Beneficiary’s failure to act shall never
be considered as a waiver of any right accruing to Beneficiary on account of any Event of Default.
Should any amount paid out or advanced by Beneficiary hereunder, or pursuant to any agreement
executed by any of the Borrowers or any of the other Obligors in connection with the Loan, be used
directly or indirectly to pay off, discharge or satisfy, in whole or in part, any lien or
encumbrance upon the Premises or any part thereof, then Beneficiary shall be subrogated to any and
all rights, equal or superior titles, liens and equities, owned or claimed by any owner or holder
of said outstanding liens, charges and indebtedness, regardless of whether said liens, charges and
indebtedness are acquired by assignment or have been released of record by the holder thereof upon
payment.

13. Security Agreement. Grantor and Beneficiary agree that this Deed of Trust shall
constitute a Security Agreement within the meaning of the Code with respect to (a) all sums at any
time on deposit for the benefit of Grantor or held by the Beneficiary (whether deposited by or on
behalf of Grantor or anyone else) pursuant to any of the provisions of this Deed of Trust or the
other Loan Documents, and (b) with respect to any personal property included in the granting
clauses of this Deed of Trust, which personal property may not be deemed to be affixed to the
Premises or may not constitute a “fixture” (within the meaning of the Code) (which property is
hereinafter referred to as “Personal Property”), and all replacements of, substitutions for,
additions to, and the proceeds thereof, and the “supporting obligations” (as defined in the Code)
(all of said Personal Property and the replacements, substitutions and additions thereto and the
proceeds thereof being sometimes hereinafter collectively referred to as “Collateral”), and that a
security interest in and to the Collateral is hereby granted to the Beneficiary, and the Collateral
and all of Grantor’s right, title and interest therein are hereby assigned to Beneficiary, all to
secure payment of the Indebtedness. This Deed of Trust is intended to be a financing statement
within the purview of the Code with respect to the Collateral and the goods described herein, which
goods are or may become fixtures relating to the Premises. The addresses of Grantor (Debtor) and
Beneficiary (Secured Party) are set forth below. This Deed of Trust is to be filed for recording
with the Recorder of Deeds of the county or counties where the Premises are located. To the extent
permitted by applicable law, the security interest created hereby is specifically intended to cover
all Leases between Grantor or its agents as lessor, and various tenants named therein, as lessee,
including all extended terms and all extensions and renewals of the terms thereof, as well as any
amendments to or replacement of said Leases, together with all of the right, title and interest of
Grantor, as lessor thereunder.

14. Restrictions on Transfer.

(a) Grantor, without the prior written consent of Beneficiary, shall not effect, suffer
or permit any conveyance, sale, assignment, transfer, lien, pledge, mortgage, security
interest or other encumbrance or alienation (or any agreement to do any of the foregoing) of
the Premises, or any part thereof (a “Prohibited Transfer”), except as may be provided in
the Loan Documents.

(b) In determining whether or not to make the Loan, Beneficiary evaluated the
background and experience of Grantor, its members, its manager, and its officers in owning
and operating property such as the Premises, found it acceptable and relied and continues to
rely upon same as the means of maintaining the value of the Premises which is Beneficiary’s
security for the Note. Grantor, its members, its manager, and its officers are well
experienced in borrowing money and owning and operating property such as the Premises, were
ably represented by a licensed attorney at law in the negotiation and documentation of the
Loan and bargained at arm’s length and without duress of any kind for all of the terms and
conditions of the Loan, including this provision. Grantor recognizes that Beneficiary is
entitled to keep its loan portfolio at current interest rates by making new loans at such
rates or collecting assumption fees and/or increasing the interest rate on a loan, the
security for which is purchased by a party other than the original Grantor. Grantor further
recognizes that any secondary junior financing placed upon the Premises (i) may divert funds
which would otherwise be used to pay the Note; (ii) could result in acceleration and
foreclosure by any such junior encumbrancer which would force Beneficiary to take measures
and incur expenses to protect its security; (iii) would detract from the value of the
Premises should Beneficiary come into possession thereof with the intention of selling same;
and (iv) would impair Beneficiary’s right to accept a deed in lieu of foreclosure, as a
foreclosure by Beneficiary would be necessary to clear the title to the Premises. In
accordance with the foregoing and for the purposes of (A) protecting Beneficiary’s security,
both of repayment and of value of the Premises; (B) giving Beneficiary the full benefit of
its bargain and contract with Grantor; (C) allowing Beneficiary to raise the interest rate
and collect assumption fees; and (D) keeping the Premises free of subordinate financing
liens, Grantor agrees that if this Section 14 is deemed a restraint on alienation, that it
is a reasonable one.

15. Separate Entity. Grantor shall not hold or acquire, directly or indirectly, any
ownership interest (legal or equitable) in any real or personal property other than the Premises,
or become a shareholder of or a member or partner in any entity which acquires any property other
than the Premises, until such time as the Indebtedness has been fully repaid. The operating
agreement of Grantor shall limit its purpose to the acquisition, operation, management and
disposition of the Premises, and such purposes shall not be amended without the prior written
consent of Beneficiary. Except as may be otherwise provided in the Loan Agreement, Grantor
covenants:

(a) To maintain its assets, accounts, books, records, financial statements, stationery,
invoices, and checks separate from and not commingled with any of those of any other Person;

(b) To conduct its own business in its own name, pay its own liabilities out of its own
funds, allocate fairly and reasonably any overhead for shared employees and office space,
and to maintain an arm’s length relationship with its affiliates;

(c) To hold itself out as a separate entity, correct any known misunderstanding
regarding its separate identity, maintain adequate capital in light of its contemplated
business operations, and observe all organizational formalities;

(d) Not to guarantee or become obligated for the debts of any other Person (other than
the other Borrowers, pursuant to the terms and conditions of the Loan Documents) or hold out
its credits as being available to satisfy the obligations of others (other than the other
Borrowers, pursuant to the terms and conditions of the Loan Documents), including not
acquiring obligations or securities of its manager, members, or officers;

(e) Not to pledge its assets for the benefit of any other Person (other than the other
Borrowers, pursuant to the terms and conditions of the Loan Documents) or make any loans or
advances to any Person except as may be expressly permitted under the Loan Documents;

(f) Not to enter into any contract or agreement with any party which is directly or
indirectly controlling, controlled by or under common control with Grantor (an “Affiliate”),
except upon terms and conditions that are intrinsically fair and substantially similar to
those that would be available on an arms-length basis with third parties other than any
Affiliate;

(g) Not to seek, and to prevent any constituent party of Grantor from seeking, the
dissolution or winding up, in whole or in part, of Grantor;

(h) Not to merge with or be consolidated into any other entity;

(i) To maintain its assets in such a manner that it will not be costly or difficult to
segregate, ascertain or identify its individual assets from those of any constituent party
of Grantor, Affiliate, any Guarantor, or any other Person; provided, however, that such
assets may be deposited into the Lockbox Account (as defined in the Loan Agreement); and

(j) To have no debts or obligations other than normal accounts payable in the ordinary
course of business, this Deed of Trust, and the Loan.

16. Events of Default; Acceleration. Each of the following shall constitute an “Event of
Default” for purposes of this Deed of Trust:

(a) The occurrence of an event of default (however defined) under any of the Loan
Documents;

(b) Grantor fails to pay any amount payable to Beneficiary under this Deed of Trust
within three (3) Business Days after the date when any such payment is due in accordance
with the terms hereof;

(c) Grantor fails to perform or cause to be performed any other obligation or observe
any other condition, covenant, term, agreement or provision required to be performed or
observed by Grantor under this Deed of Trust; provided, however, that if such failure by its
nature can be cured, then so long as the continued operation and safety of the Premises, and
the priority, validity and enforceability of the liens created by the Deed of Trust or any
of the other Loan Documents and the value of the Premises are not impaired, threatened or
jeopardized, then Grantor shall have a period (the “Cure Period”) of thirty (30) days after
the Grantor receives notice or knowledge from any source of such failure to cure the same
and an Event of Default under this subsection (c) shall not be deemed to exist during the
Cure Period;

(d) the existence of any inaccuracy or untruth in any material respect in any
certification, representation, or warranty contained in this Deed of Trust or any of the
other Loan Documents or of any statement or certification as to facts delivered to
Beneficiary by Grantor or any other Obligor;

(e) the occurrence of a Prohibited Transfer.

If an Event of Default occurs, Beneficiary may, at its option, declare the whole of the
Indebtedness to be immediately due and payable without further notice to Grantor, with interest
thereon accruing from the date of such Event of Default until paid at the Default Rate, in addition
to any other interest accruing on such amount, as provided under this Deed of Trust and the other
Loan Documents, all limited by the maximum rate permitted by law then in effect.

If any notice of default and election to sell under this Deed of Trust is cancelled, that event
alone shall not cure or waive any breach, Event of Default or notice of default under this Deed of
Trust or invalidate any act performed pursuant to any such default or notice; or nullify the effect
of any notice of default or sale (unless all Obligations then due have been paid and performed); or
impair the security of this Deed of Trust; or prejudice Beneficiary, Trustee or any receiver in the
exercise of any right or remedy afforded any of them under this Deed of Trust; or be construed as
an affirmation by Beneficiary of any tenancy, lease or option, or a subordination of the lien of
this Deed of Trust.

17. Certain Remedies. At any time after the occurrence of an Event of Default, Beneficiary
and Trustee shall be entitled to invoke any and all of the rights and remedies described below, as
well as any other rights and remedies authorized by law. All of such rights and remedies shall be
cumulative, and the exercise of any one or more of them shall not constitute an election of
remedies.

(a) Beneficiary may declare any or all of the Obligations to be due and payable
immediately.

(b) Beneficiary may apply to any court of competent jurisdiction for, and obtain
appointment of, a receiver for the Premises.

(c) Beneficiary, in person, by agent or by court-appointed receiver, may enter, take
possession of, manage and operate all or any part of the Premises, and in its own name or in
the name of Grantor sue for or otherwise collect any and all Rents, including those that are
past due, and may also do any and all other things in connection with those actions that
Beneficiary may in its sole discretion consider necessary and appropriate to protect the
security of this Deed of Trust. Such other things may include: entering into, enforcing,
modifying, or canceling leases on such terms and conditions as Beneficiary may consider
proper; obtaining and evicting tenants; fixing or modifying Rents; completing any unfinished
construction; contracting for and making repairs and alterations; performing such acts of
cultivation or irrigation as necessary to conserve the value of the Premises; and preparing
for harvest, harvesting and selling any crops that may be growing on the property. Grantor
hereby irrevocably constitutes and appoints Beneficiary as its attorney-in-fact to perform
such acts and execute such documents as Beneficiary in its sole discretion may consider to
be appropriate in connection with taking these measures, including endorsement of Grantor’s
name on any instruments. Grantor agrees to deliver to Beneficiary all books and records
pertaining to the Premises, including computer-readable memory and any computer hardware or
software necessary to access or process such memory, as may reasonably be requested by
Beneficiary in order to enable Beneficiary to exercise its rights under this Section.

(d) Either Beneficiary or Trustee may cure any breach or default of Grantor, and if it
chooses to do so in connection with any such cure, Beneficiary or Trustee may also enter the
Premises and/or do any and all other things which it may in its sole discretion consider
necessary and appropriate to protect the security of this Deed of Trust. Such other things
may include: appearing in and/or defending any action or proceeding which purports to affect
the security of, or the rights or powers of Beneficiary or Trustee under, this Deed of
Trust; paying, purchasing, contesting or compromising any encumbrance, charge, lien or claim
of lien which in Beneficiary’s or Trustee’s sole judgment is or may be senior in priority to
this Deed of Trust, such judgment of Beneficiary or Trustee to be conclusive as among the
parties to this Deed of Trust; obtaining insurance and/or paying any premiums or charges for
insurance required to be carried under this Deed of Trust; otherwise caring for and
protecting any and all of the Premises; and/or employing counsel, accountants, contractors
and other appropriate persons to assist Beneficiary or Trustee. Beneficiary and Trustee may
take any of the actions permitted hereunder either with or without giving notice to any
person.

(e) Beneficiary may bring an action in any court of competent jurisdiction to foreclose
this instrument or to obtain specific enforcement of any of the covenants or agreements of
this Deed of Trust.

(f) Beneficiary may cause the Premises which consists solely of real property to be
sold by Trustee as permitted by applicable law. Before any such trustee’s sale, Beneficiary
or Trustee shall give such notice of default and/or sale as may then be required by law.
When all time periods then legally mandated have expired, and after such notice of sale as
may then be legally required has been given, Trustee shall sell the Premises, either as a
whole or in separate parcels, and in such order as Trustee may determine, at a public
auction to be held at the time and place specified in the notice of sale. Neither Trustee
nor Beneficiary shall have any obligation to make demand on Grantor before any trustee’s
sale. From time to time in accordance with then applicable law, Trustee may, and in any
event at Beneficiary’s request shall, postpone any trustee’s sale by public announcement at
the time and place noticed for that sale. At any trustee’s sale, Trustee shall sell to the
highest bidder at public auction for cash in lawful money of the United States, or such
other form of payment satisfactory to Trustee. Any person, including Grantor, Trustee or
Beneficiary, may purchase at the trustee’s sale to the extent permitted by then applicable
law. Beneficiary shall have the benefit of any law permitting credit bids. Trustee shall
execute and deliver to the purchaser(s) a deed or deeds conveying the property being sold
without any covenant or warranty whatsoever, express or implied. The recitals in any such
deed of any matters or facts, including any facts bearing upon the regularity or validity of
any trustee’s sale, shall be conclusive proof of their truthfulness. Any such deed shall be
conclusive against all persons as to the facts recited in it.

(g) Beneficiary may proceed under the Uniform Commercial Code as to all or any part of
the Personal Property, and in conjunction therewith may exercise all of the rights, remedies
and powers of a secured creditor under the Uniform Commercial Code. When all time periods
then legally mandated have expired, and after such notice of sale as may then be legally
required has been given, Trustee may sell the Personal Property at a public sale to be held
at the time and place specified in the notice of sale. It shall be deemed commercially
reasonable for the Trustee to dispose of the Personalty without giving any warranties as to
the Personalty and specifically disclaiming all disposition warranties. Alternatively,
Beneficiary may choose to dispose of some or all of the Property, in any combination
consisting of both personal property and real property, in one sale to be held in accordance
with the law and procedures applicable to real property, as permitted by Article 9 of the
Uniform Commercial Code. Grantor agrees that such a sale of personal property together with
real property constitutes a commercially reasonable sale of the personal property.

A sale of less than the whole of the Premises or any defective or irregular sale made hereunder
shall not exhaust the power of sale herein granted, but subsequent sales hereunder may be made by
the Trustee as long as and as often as the Obligations remain unpaid and any of the Premises
remains unsold, or any defect or irregularity in sale exists. The Trustee shall have the power
successively to adjourn the sale for good cause by announcement at the time and place advertised
for the sale (or to which it was last adjourned) and any such adjourned sale may be made under the
advertisement and notices given for the original time and place fixed for sale. No single sale or
series of sales by the Trustee or by any substitute or successor the Trustee under this Deed of
Trust, and no judicial foreclosure shall exhaust the power of sale under this Deed of Trust except
with respect to the items of property sold, but such lien and power shall exist for so long as, and
may be exercised in any manner by law or in this Deed of Trust provided as often as the
circumstances require to give Beneficiary full relief hereunder. Beneficiary or any assignee of the
Beneficiary shall have the right to bid at and become purchaser at any foreclosure sale, applying
against the purchase price all or any part of the Obligations then due and owing hereunder or under
the Note or any of the other Loan Documents. Upon the occurrence of an Event of Default,
Beneficiary may at its sole discretion, to the extent permitted by law, institute an action of
judicial foreclosure, or take such other action as the law may allow, at law or in equity, for the
enforcement thereof and realization on the Premises or any other security which is herein or
elsewhere provided for, and proceed thereon to final judgment and execution thereon for the entire
unpaid balance of the Obligations at the rate stipulated herein or in the Note, as the case may be,
to the date of default and thereafter at the Default Rate, in addition to any other interest
accruing on such amount, as provided under this Deed of Trust and the other Loan Documents, all
limited by the maximum rate permitted by law then in effect, together with all other sums secured
by this Deed of Trust, all costs of suit, and interest at the Default Rate, in addition to any
other interest accruing on such amount, as provided under this Deed of Trust and the other Loan
Documents, all limited by the maximum rate permitted by law then in effect, on any judgment
obtained by the Trustee from and after the date of any judicial sale of the Premises (which may be
sold in one parcel or in such parcels, manner or order as the Trustee shall elect) until actual
payment is made to Beneficiary on the full amount due Beneficiary, without further stay, any law,
usage or custom to the contrary notwithstanding. Failure to join or to provide notice to tenants as
defendants in any foreclosure action or suit shall not constitute a defense to such foreclosure.

18. Foreclosure; Expense of Litigation.

(a) In the event of a foreclosure sale, Beneficiary is hereby authorized, without the
consent of Grantor or any other Person, to assign any and all insurance policies to the
purchaser at such sale or to take such other steps as Beneficiary may deem advisable to
cause the interest of such purchaser to be protected by any of such insurance policies.

(b) In any suit to foreclose the lien hereof, there shall be allowed and included as
additional indebtedness in the decree for sale all expenditures and expenses which may be
paid or incurred by or on behalf of Trustee or Beneficiary for reasonable attorneys’ fees,
appraisers’ fees, outlays for documentary and expert evidence, stenographers’ charges,
publication costs, and costs (which may be estimated as to items to be expended after entry
of the decree) of procuring all such abstracts of title, title searches and examinations,
title insurance policies, and similar data and assurances with respect to the title as
Beneficiary may deem reasonably necessary either to prosecute such suit or to evidence to
bidders at any sale which may be had pursuant to such decree the true condition of the title
to or the value of the Premises. All expenditures and expenses of the nature mentioned in
this Section and such other expenses and fees as may be incurred in the enforcement of
Grantor’s obligations hereunder, the protection of said Premises and the maintenance of the
lien of this Deed of Trust, including the reasonable fees of any attorney employed by
Beneficiary in any litigation or proceeding affecting this Deed of Trust, the Note, or the
Premises, including probate and bankruptcy proceedings, or in preparations for the
commencement or defense of any proceeding or threatened suit or proceeding shall be
immediately due and payable by Grantor, with interest thereon until paid at the Default
Rate, in addition to any other interest accruing on such amount, as provided under this Deed
of Trust and the other Loan Documents, all limited by the maximum rate permitted by law then
in effect, and shall be secured by this Deed of Trust.

19. Application of Proceeds of Foreclosure Sale. The proceeds of any foreclosure sale of
the Premises shall be distributed and applied in the following order, or such other order as
Beneficiary may direct in its sole and absolute discretion:

(a) Costs and expenses of executing the trust created and evidenced hereby,
including the usual and reasonable compensation to the Trustee, its agents and attorneys for
all services rendered in connection with the trust estate and the sale thereof;

(b) All monies which may have been expended under the terms of this Deed of
Trust by Beneficiary and not evidenced by any note;

(c) The unpaid principal of the Note and any extensions or renewals thereof;

(d) Any past due and accrued, unpaid interest on the Note or any extensions
or renewals thereof and upon any moneys so expended;

(e) All other Indebtedness secured by this Deed of Trust; and

(f) The remainder of such proceeds of sale, if any, after the satisfaction in
full of all expenses and indebtedness hereby secured to Grantor or to those lawfully
entitled to receive any such remainder.

20. Appointment of Receiver. Upon or at any time after the filing of a complaint to
foreclose this Deed of Trust, the court in which such complaint is filed shall, upon petition by
Beneficiary, appoint a receiver for the Premises. Such appointment may be made either before or
after sale, without notice, without regard to the solvency or insolvency of Grantor at the time of
application for such receiver and without regard to the value of the Premises or whether the same
shall be then occupied as a homestead or not and Beneficiary hereunder or any other holder of the
Note may be appointed as such receiver. Such receiver shall have power to collect the rents, issues
and profits of the Premises (a) during the pendency of such foreclosure suit, (b) in case of a sale
and a deficiency, during the full statutory period of redemption, whether there be redemption or
not, and (c) during any further times when Grantor, but for the intervention of such receiver,
would be entitled to collect such rents, issues and profits. Such receiver also shall have all
other powers and rights that may be necessary or are usual in such cases for the protection,
possession, control, management and operation of the Premises during said period, including, to the
extent permitted by law, the right to lease all or any portion of the Premises for a term that
extends beyond the time of such receiver’s possession without obtaining prior court approval of
such lease. The court from time to time may authorize the application of the net income received by
the receiver in payment of (i) the Indebtedness, or by any decree foreclosing this Deed of Trust,
or any tax, special assessment or other lien which may be or become superior to the lien hereof or
of such decree, provided such application is made prior to foreclosure sale, and (ii) any
deficiency upon a sale and deficiency.

21. Beneficiary’s Right of Possession in Case of Default. At any time after an Event of
Default has occurred, Grantor shall, upon demand of Beneficiary, surrender to Beneficiary
possession of the Premises. Beneficiary, in its discretion, may, with process of law, enter upon
and take and maintain possession of all or any part of the Premises, together with all documents,
books, records, papers and accounts relating thereto, and may exclude Grantor and its employees,
agents or servants therefrom, and Beneficiary may then hold, operate, manage and control the
Premises, either personally or by its agents. Beneficiary shall have full power to use such
measures, legal or equitable, as in its discretion may be deemed proper or necessary to enforce the
payment or security of the avails, rents, issues, and profits of the Premises, including actions
for the recovery of rent, actions in forcible detainer and actions in distress for rent. Without
limiting the generality of the foregoing, Beneficiary shall have full power to:

(a) cancel or terminate any lease or sublease for any cause or on any ground which
would entitle Grantor to cancel the same;

(b) elect to disaffirm any lease or sublease which is then subordinate to the lien
hereof;

(c) extend or modify any then existing leases and to enter into new leases, which
extensions, modifications and leases may provide for terms to expire, or for options to
lessees to extend or renew terms to expire, beyond the Maturity Date (as defined in the Loan
Agreement) and beyond the date of the issuance of a deed or deeds to a purchaser or
purchasers at a foreclosure sale, it being understood and agreed that any such leases, and
the options or other such provisions to be contained therein, shall be binding upon Grantor
and all persons whose interests in the Premises are subject to the lien hereof and upon the
purchaser or purchasers at any foreclosure sale, notwithstanding any redemption from sale,
discharge of the Indebtedness, satisfaction of any foreclosure judgment, or issuance of any
certificate of sale or deed to any purchaser;

(d) make any repairs, renewals, replacements, alterations, additions, betterments and
improvements to the Premises as Beneficiary deems are necessary;

(e) insure and reinsure the Premises and all risks incidental to Beneficiary’s
possession, operation and management thereof; and

(f) receive all of such avails, rents, issues and profits.

22. Application of Income Received by Beneficiary. Beneficiary, in the exercise of the
rights and powers herein conferred upon it, shall have full power to use and apply the avails,
rents, issues and profits of the Premises to the payment of or on account of the following, in such
order as Beneficiary may determine:

(a) to the payment of the operating expenses of the Premises, including cost of
management and leasing thereof (which shall include compensation to Beneficiary and its
agent or agents, if management be delegated to an agent or agents, and shall also include
lease commissions and other compensation and expenses of seeking and procuring tenants and
entering into leases), established claims for damages, if any, and premiums on insurance
hereinabove authorized;

(b) to the payment of taxes and special assessments now due or which may hereafter
become due on the Premises; and

(c) to the payment of any Indebtedness, including any deficiency which may result from
any foreclosure sale.

23. Compliance with Applicable Law.

(a) If any provision in this Deed of Trust shall be inconsistent with provisions of any
applicable foreclosure law in effect in the state of Missouri (the “Foreclosure Law”),
provisions of such statutes shall take precedence over the provisions of this Deed of Trust,
but shall not invalidate or render unenforceable any other provision of this Deed of Trust
that can be construed in a manner consistent with the Foreclosure Law.

(b) If any provision of this Deed of Trust shall grant to Beneficiary (including
Beneficiary acting as a mortgagee-in-possession) or a receiver appointed pursuant to the
provisions this Deed of Trust any powers, rights or remedies prior to, upon or following the
occurrence of an Event of Default which are more limited than the powers, rights or remedies
that would otherwise be vested in Beneficiary or in such receiver under the Foreclosure Law
in the absence of said provision, Beneficiary and such receiver shall be vested with the
powers, rights and remedies granted under the Foreclosure Law to the full extent permitted
by law.

(c) Without limiting the generality of the foregoing, all expenses incurred by
Beneficiary for attorneys’ fees or any and all expenses related to carrying out any
foreclosure action, whether incurred before or after any decree or judgment of foreclosure,
and whether or not enumerated in this Deed of Trust, shall be added to the Indebtedness
and/or by the judgment of foreclosure.

24. Rights Cumulative. Each right, power and remedy herein conferred upon Beneficiary is
cumulative and in addition to every other right, power or remedy, express or implied, given now or
hereafter existing under any of the Loan Documents or at law or in equity, and each and every
right, power and remedy herein set forth or otherwise so existing may be exercised from time to
time as often and in such order as may be deemed expedient by Beneficiary, and the exercise or the
beginning of the exercise of one right, power or remedy shall not be a waiver of the right to
exercise at the same time or thereafter any other right, power or remedy, and no delay or omission
of Beneficiary in the exercise of any right, power or remedy accruing hereunder or arising
otherwise shall impair any such right, power or remedy, or be construed to be a waiver of any Event
of Default or acquiescence therein.

25. Beneficiary’s Right of Inspection. Beneficiary and its representatives shall have the
right to inspect the Premises and the books and records with respect thereto at all reasonable
times upon advance notice to Grantor, and access thereto, subject to the rights of tenants in
possession, shall be permitted for that purpose.

26. Reconveyance. When all of the Indebtedness has been paid in full and no further
commitment to extend credit continues, Trustee shall reconvey the Premises, or so much of it as is
then held under this Deed of Trust, without warranty to the person or persons legally entitled to
it. In the reconveyance, the grantee may be described as “the person or persons legally entitled
thereto,” and the recitals of any matters or facts shall be conclusive proof of their truthfulness.
Neither Beneficiary nor Trustee shall have any duty to determine the rights of persons claiming to
be rightful grantees of any reconveyance.

27. Notices. Except as otherwise provided herein, the Grantor waives all notices and
demands in connection with the enforcement of the Beneficiary’s rights hereunder. All notices,
requests, demands and other communications provided for hereunder shall be in writing, addressed as
follows, and (a) by United States first class mail, postage prepaid, (b) by personal delivery, or
(c) by overnight delivery by a nationally recognized courier, sent by certified or registered mail,
postage prepaid, by facsimile, telegram or delivered in person:

	 	 	 
	If to Beneficiary:
	 	Siemens Financial Services, Inc.

170 Wood Avenue South

Iselin, New Jersey 08830

Attention:

	 	 	 

	 	 	Facsimile:

	 	 	 

	with a copy to:
	 	McGuireWoods LLP

77 West Wacker Drive

Suite 4100

Chicago, Illinois 60601

Attention: Donald A. Ensing

Facsimile: (312) 849-8111

	If to Grantor:
	 	G&E HC REIT II Joplin LTACH, LLC

1551 Tustin Avenue, Suite 300

Santa Ana, California 92705

Attention:

	 	 	 

	 	 	Facsimile:

	 	 	 

	with a copy to:
	 	Arnall Golden Gregory LLP

171 17th Street NW

Suite 2100

Atlanta, Georgia 30363

Attention: Steven A. Kaye

Facsimile: (404) 873-8169

or, as to each party, at such other address as shall be designated by such party in a written
notice to each other party complying as to delivery with the terms of this subsection. No notice to
or demand on Grantor in any case shall entitle Grantor to any other or further notice or demand in
similar or other circumstances. The address provided above for Grantor is also the mailing address
of Grantor as debtor under the Code. The address provided above for Beneficiary is the address for
Beneficiary as secured party under the Code.

28. Waiver of Rights. Grantor hereby covenants and agrees that it will not at any time
insist upon or plead, or in any manner claim or take any advantage of, any stay, exemption or
extension law or any so-called “Moratorium Law” now or at any time hereafter in force providing for
the valuation or appraisement of the Premises, or any part thereof, prior to any sale or sales
thereof to be made pursuant to any provisions herein contained, or to decree, judgment or order of
any court of competent jurisdiction; or, after such sale or sales, claim or exercise any rights
under any statute now or hereafter in force to redeem the property so sold, or any part thereof, or
relating to the marshalling thereof, upon foreclosure sale or other enforcement hereof; and without
limiting the foregoing:

(a) Grantor hereby wholly waives, on its own behalf and on behalf of each and every
person, the period of redemption and any and all rights of reinstatement and redemption of
any of the Premises after sale under this Deed of Trust, or sale upon foreclosure of this
Deed of Trust, as provided under any law of the State of Missouri now or hereafter in
effect, including, without limitation, any such right described in Section 443.410 Missouri
Revised Statutes, as amended, it being the intent hereof that any and all such rights of
reinstatement and redemption of Grantor and of all other persons are and shall be deemed to
be hereby waived to the full extent permitted by the provisions of Missouri law, or other
applicable law or replacement statutes;

(b) Grantor will not invoke or utilize any such law or laws or otherwise hinder, delay
or impede the execution of any right, power remedy herein or otherwise granted or delegated
to Beneficiary but will suffer and permit the execution of every such right, power and
remedy as though no such law or laws had been made or enacted; and

(c) If Grantor is a trustee, Grantor represents that the provisions of this Section
(including the waiver of reinstatement and redemption rights) were made at the express
direction of Grantor’s beneficiaries and the persons having the power of direction over
Grantor, and are made on behalf of the trust estate of Grantor and all beneficiaries of
Grantor, as well as all other persons mentioned above.

29. Contests. Notwithstanding anything to the contrary herein contained, Grantor shall have
the right to contest by appropriate legal proceedings diligently prosecuted any Taxes imposed or
assessed upon the Premises or which may be or become a lien thereon and any mechanics’,
materialmen’s or other liens or claims for lien upon the Premises (all herein called “Contested
Liens”), and no Contested Liens shall constitute an Event of Default hereunder, if, but only if:

(a) Grantor shall forthwith give notice of any Contested Lien to Beneficiary at the
time the same shall be asserted;

(b) Grantor shall either pay under protest or deposit with Beneficiary the full amount
(herein called “Lien Amount”) of such Contested Lien, together with such amount as
Beneficiary may reasonably estimate as interest or penalties which might arise during the
period of contest; provided that in lieu of such payment Grantor may furnish to Beneficiary
a bond or title indemnity in such amount and form, and issued by a bond or title insuring
company, as may be satisfactory to Beneficiary;

(c) Grantor shall diligently prosecute the contest of any Contested Lien by appropriate
legal proceedings having the effect of staying the foreclosure or forfeiture of the
Premises, and shall permit Beneficiary to be represented in any such contest and shall pay
all expenses incurred, in so doing, including fees and expenses of Beneficiary’s counsel
(all of which shall constitute so much additional Indebtedness bearing interest at the
Default Rate, in addition to any other interest accruing on such amount, as provided under
this Deed of Trust and the other Loan Documents, all limited by the maximum rate permitted
by law then in effect, until paid, and payable upon demand);

(d) Grantor shall pay such Contested Lien and all Lien Amounts together with interest
and penalties thereon (i) if and to the extent that any such Contested Lien shall be
determined adverse to Grantor, or (ii) forthwith upon demand by Beneficiary if, in the
opinion of Beneficiary, and notwithstanding any such contest, the Premises shall be in
jeopardy or in danger of being forfeited or foreclosed; provided that if Grantor shall fail
so to do, Beneficiary may, but shall not be required to, pay all such Contested Liens and
Lien Amounts and interest and penalties thereon and such other sums as may be necessary in
the judgment of the Beneficiary to obtain the release and discharge of such liens; and any
amount expended by Beneficiary in so doing shall be so much additional Indebtedness bearing
interest at the Default Rate, in addition to any other interest accruing on such amount, as
provided under this Deed of Trust and the other Loan Documents, all limited by the maximum
rate permitted by law then in effect, until paid, and payable upon demand; and provided
further that Beneficiary may in such case use and apply monies deposited as provided in
subsection (b) above and may demand payment upon any bond or title indemnity furnished as
aforesaid.

30. Expenses Relating to Note and Deed of Trust.

(a) Grantor will pay all expenses, charges, costs and fees relating to the Loan or
necessitated by the terms of the Note, this Deed of Trust or any of the other Loan
Documents, including without limitation, Beneficiary’s reasonable attorneys’ fees in
connection with the negotiation, documentation, administration, servicing and enforcement of
the Note, this Deed of Trust and the other Loan Documents, all filing, registration and
recording fees, all other expenses incident to the execution and acknowledgment of this Deed
of Trust and all federal, state, county and municipal taxes, and other taxes (provided
Grantor shall not be required to pay any income or franchise taxes of Beneficiary), duties,
imposts, assessments and charges arising out of or in connection with the execution and
delivery of the Note and this Deed of Trust. Grantor recognizes that, during the term of
this Deed of Trust, Beneficiary:

(i) May be involved in court or administrative proceedings,
including, without restricting the foregoing, foreclosure, probate, bankruptcy,
creditors’ arrangements, insolvency, housing authority and pollution control
proceedings of any kind, to which Beneficiary shall be a party by reason of the Loan
Documents or in which the Loan Documents or the Premises are involved directly or
indirectly;

(ii) May make preparations following the occurrence of an Event of
Default hereunder for the commencement of any suit for the foreclosure hereof, which
may or may not be actually commenced;

(iii) May make preparations following the occurrence of an Event of
Default hereunder for, and do work in connection with, Beneficiary’s taking
possession of and managing the Premises, which event may or may not actually occur;

(iv) May make preparations for and commence other private or public
actions to remedy an Event of Default hereunder, which other actions may or may not
be actually commenced;

(v) May enter into negotiations with Grantor or any of its agents,
employees or attorneys in connection with the existence or curing of any Event of
Default hereunder, the sale of the Premises, the assumption of liability for any of
the Indebtedness or the transfer of the Premises in lieu of foreclosure; and

(vi) May enter into negotiations with Grantor or any of its agents,
employees or attorneys pertaining to Beneficiary’s approval of actions taken or
proposed to be taken by Grantor which approval is required by the terms of this Deed
of Trust.

(b) All expenses, charges, costs and fees described in this Section 30 shall be so much
additional Indebtedness, shall bear interest from the date so incurred until paid at the
Default Rate, in addition to any other interest accruing on such amount, as provided under
this Deed of Trust and the other Loan Documents, all limited by the maximum rate permitted
by law then in effect, and shall be paid, together with said interest, by Grantor forthwith
upon demand.

31. Statement of Indebtedness. Grantor, within seven (7) days after being so requested by
Beneficiary, shall furnish a duly acknowledged written statement setting forth the amount of the
debt secured by this Deed of Trust, the date to which interest has been paid and stating either
that no offsets or defenses exist against such debt or, if such offsets or defenses are alleged to
exist, the nature thereof.

32. Further Instruments. Upon request of Beneficiary, Grantor shall execute, acknowledge
and deliver all such additional instruments and further assurances of title and shall do or cause
to be done all such further acts and things as may reasonably be necessary fully to effectuate the
intent of this Deed of Trust and of the other Loan Documents.

33. Additional Indebtedness Secured. All persons and entities with any interest in the
Premises or about to acquire any such interest should be aware that, until the irrevocable payment
in full of the Indebtedness, this Deed of Trust secures more than the stated principal amount of
the Note and interest thereon; until the irrevocable payment in full thereof or so long as such
obligations remain outstanding, as applicable, this Deed of Trust secures the Guaranty Obligations
and any and all other amounts which may become due under the Note or any other document or
instrument evidencing, securing or otherwise affecting the Indebtedness, including, without
limitation, any and all amounts expended by Beneficiary to operate, manage, or maintain the
Premises or to otherwise protect the Premises or the lien of this Deed of Trust. Any disbursements
which Beneficiary may make under this Deed of Trust, the Note, the other Loan Documents, or any
other document with respect hereto (e.g., for payment of taxes, insurance premiums or other
advances to protect Beneficiary’s liens and security interests, as permitted hereby) shall be
additional Indebtedness secured hereby. This Deed of Trust is intended to and shall be valid and
have priority over all subsequent liens and encumbrances, including statutory liens, excepting
solely taxes and assessments levied on the real estate, to the extent of the maximum amount secured
hereby.

34. Indemnity. Grantor hereby covenants and agrees that no liability shall be asserted or
enforced against Beneficiary in the exercise of the rights and powers granted to Beneficiary in
this Deed of Trust, and Grantor hereby expressly waives and releases any such liability. Grantor
shall indemnify and save Trustee and Beneficiary harmless from and against any and all liabilities,
obligations, losses, damages, claims, costs and expenses (including reasonable attorneys’ fees and
court costs) (collectively, “Claims”) of whatever kind or nature which may be imposed on, incurred
by or asserted against Beneficiary at any time by any third party which relate to or arise from:
(a) any suit or proceeding (including probate and bankruptcy proceedings), or the threat thereof,
in or to which Beneficiary may or does become a party, either as plaintiff or as a defendant, by
reason of this Deed of Trust or for the purpose of protecting the lien of this Deed of Trust;
(b) the offer for sale or sale of all or any portion of the Premises; and (c) the ownership,
leasing, use, operation or maintenance of the Premises, if such Claims relate to or arise from
actions taken prior to the surrender of possession of the Premises to Beneficiary in accordance
with the terms of this Deed of Trust; provided, however, that Grantor shall not be obligated to
indemnify or hold Trustee or Beneficiary harmless from and against any Claims directly arising from
the gross negligence or willful misconduct of Trustee or Beneficiary. All costs provided for herein
and paid for by Trustee or Beneficiary shall be so much additional Indebtedness and shall become
immediately due and payable upon demand by Beneficiary and with interest thereon from the date
incurred by Trustee or Beneficiary until paid at the Default Rate, in addition to any other
interest accruing on such amount, as provided under this Deed of Trust and the other Loan
Documents, all limited by the maximum rate permitted by law then in effect. Notwithstanding the
foregoing, Grantor shall not indemnify Grantee for any liability incurred or based solely on the
intentional misconduct of Grantee.

35. Compliance with Environmental Laws. Grantor acknowledges that concurrently herewith the
Borrowers and the Parent Guarantor have executed and delivered to Beneficiary an Environmental
Indemnification Agreement (as amended, modified, or supplemented from time to time, the
“Indemnity”) pursuant to which the Borrowers and the Parent Guarantor have, jointly and severally,
fully indemnified Trustee and Beneficiary for certain environmental matters concerning the
Premises, as more particularly described therein. The provisions of the Indemnity are hereby
incorporated herein and this Deed of Trust shall secure the obligations of Grantor thereunder.
Grantor agrees to abide by all of the provisions of the Indemnity.

36. Subordination of Property Manager’s Lien. Any property management agreement for the
Premises entered into hereafter with a property manager shall contain a provision whereby the
property manager agrees that any and all mechanics’ lien rights that the property manager or anyone
claiming by, through or under the property manager may have in the Premises shall be subject and
subordinate to the lien of this Deed of Trust and shall provide that Beneficiary may terminate such
agreement, without penalty or cost, at any time after the occurrence of an Event of Default
hereunder. Such property management agreement or a short form thereof, at Beneficiary’s request,
shall be recorded with the Recorder of Deeds of the county where the Premises are located. In
addition, if the property management agreement in existence as of the date hereof does not contain
a subordination provision, Grantor shall cause the property manager under such agreement to enter
into a subordination of the management agreement with Beneficiary, in recordable form, whereby such
property manager subordinates present and future lien rights and those of any party claiming by,
through or under such property manager to the lien of this Deed of Trust.

37. Miscellaneous.

(a) Successors and Assigns. This Deed of Trust and all provisions hereof shall
be binding upon and enforceable against Grantor and its assigns and other successors. This
Deed of Trust and all provisions hereof shall inure to the benefit of Beneficiary, its
successors and assigns and any holder or holders, from time to time, of the Note.

(b) Invalidity of Provisions. In the event that any provision of this Deed of
Trust is deemed to be invalid by reason of the operation of law, or by reason of the
interpretation placed thereon by any administrative agency or any court, Grantor and
Beneficiary shall negotiate an equitable adjustment in the provisions of the same in order
to effect, to the maximum extent permitted by law, the purpose of this Deed of Trust and the
validity and enforceability of the remaining provisions, or portions or applications
thereof, shall not be affected thereby and shall remain in full force and effect.

(c) Municipal Requirements. Grantor shall not by act or omission permit any
building or other improvement on premises not subject to the lien of this Deed of Trust to
rely on the Premises or any part thereof or any interest therein to fulfill any municipal or
governmental requirement, and Grantor hereby assigns to Beneficiary any and all rights to
give consent for all or any portion of the Premises or any interest therein to be so used.
Similarly, no building or other improvement on the Premises shall rely on any premises not
subject to the lien of this Deed of Trust or any interest therein to fulfill any
governmental or municipal requirement. Any act or omission by Grantor which would result in
a violation of any of the provisions of this subsection shall be void.

(d) Rights of Tenants. Trustee shall have the right and option to commence a
civil action to foreclose this Deed of Trust and to obtain a decree of foreclosure and sale
subject to the rights of any tenant or tenants of the Premises having an interest in the
Premises prior to that of the Trustee and Beneficiary. The failure to join any such tenant
or tenants of the Premises as party defendant or defendants in any such civil action or the
failure of any decree of foreclosure and sale to foreclose their rights shall not be
asserted by Grantor as a defense in any civil action instituted to collect the Indebtedness,
or any part thereof or any deficiency remaining unpaid after foreclosure and sale of the
Premises, any statute or rule of law at any time existing to the contrary notwithstanding.

(e) Option of Beneficiary to Subordinate. At the option of Beneficiary, this
Deed of Trust shall become subject and subordinate, in whole or in part (but not with
respect to priority of entitlement to insurance proceeds or any condemnation or eminent
domain award) to any and all leases of all or any part of the Premises upon the execution by
Beneficiary of a unilateral declaration to that effect and the recording thereof in the
Office of the Recorder of Deeds in and for the county wherein the Premises are situated.

(f) Mortgagee-in-Possession. Nothing contained herein or in any of the other
Loan Documents shall be construed as constituting Beneficiary a mortgagee-in-possession in
the absence of the actual taking of possession of the Premises by Beneficiary pursuant to
this Deed of Trust.

(g) Provisions concerning Trustee.

(i) From time to time, Beneficiary may substitute a successor to any
Trustee named in or acting under this Deed of Trust in any manner now or later to be
provided at law, or by a written instrument executed and acknowledged by Beneficiary
and recorded in the office of the recorder of the county where the Premises are
situated, and the term “Trustee” as used herein shall be deemed to include all
successor Trustees. Any such instrument shall be conclusive proof of the proper
substitution of the successor Trustee, who shall automatically upon recordation of
the instrument succeed to all estate, title, rights, powers and duties of the
predecessor Trustee, without conveyance from it. It is agreed that Trustee shall
not be disqualified from acting as Trustee hereunder or from performing any of the
duties of Trustee, or from exercising the rights, powers and remedies herein
granted, by reason of the fact that Trustee is an attorney, agent, officer, employee
or stockholder of Beneficiary, and that any interest which Trustee or any successor
shall have or may acquire in the debt hereby secured, or the Premises hereby
conveyed, shall neither interfere with nor prevent his or her acting as Trustee or
from purchasing said Premises at said sale or sales, or Beneficiary from bidding or
purchasing the Premises at said sale directly or indirectly, and all parties waive
any objection to Trustee having or acquiring any such interest in the debt or
Premises aforesaid and continuing to act as Trustee. In the performance of his or
her duties and obligations hereunder, Trustee shall be entitled to all the rights,
protection, privileges and immunities accorded him or her as Trustee, to the extent
provided by law. Although the Trustee or any successor in trust hereunder may be or
become an agent or officer of, attorney for, or otherwise connected with Beneficiary
or any subsequent owner or holder of the Note or other Obligations, yet such Trustee
may act hereunder and any such owner or holder, including Beneficiary, may bid for
and purchase any of the Premises sold hereunder, as if such Trustee were entirely
disinterested.

(ii) Trustee shall have no obligation to perform any act which it is
empowered to perform under this Deed of Trust unless it is requested to do so in
writing and is reasonably indemnified against loss, cost, liability and expense.

(h) Aid and Direction. From time to time, Beneficiary or Trustee may apply to
any court of competent jurisdiction for aid and direction in executing the trust and
enforcing the rights and remedies created under this Deed of Trust. Beneficiary or Trustee
may from time to time obtain orders or decrees directing, confirming or approving acts in
executing this trust and enforcing these rights and remedies.

(i) Relationship of Beneficiary and Grantor. Beneficiary shall in no event be
construed for any purpose to be a partner, joint venturer, agent or associate of Grantor or
of any lessee, operator, concessionaire or licensee of Grantor in the conduct of their
respective businesses, and, without limiting the foregoing, Beneficiary shall not be deemed
to be such partner, joint venturer, agent or associate on account of Beneficiary becoming a
mortgagee-in-possession or exercising any rights pursuant to this Deed of Trust, any of the
other Loan Documents, or otherwise. The relationship of Grantor and Beneficiary hereunder is
solely that of debtor/creditor.

(j) Time of the Essence. Time is of the essence of the payment by the Borrowers
and the other Obligors of all amounts due and owing to Beneficiary under the Note and the
other Loan Documents and the performance and observance by Grantor of all terms, conditions,
obligations and agreements contained in this Deed of Trust and the other Loan Documents.

(k) No Merger. The parties hereto intend that the Deed of Trust and the lien
hereof shall not merge in fee simple title to the Premises, and if Beneficiary acquires any
additional or other interest in or to the Premises or the ownership thereof, then, unless a
contrary intent is manifested by Beneficiary as evidenced by an express statement to that
effect in an appropriate document duly recorded, this Deed of Trust and the lien hereof
shall not merge in the fee simple title and this Deed of Trust may be foreclosed as if owned
by a stranger to the fee simple title.

(l) Maximum Indebtedness. Notwithstanding anything contained herein to the
contrary, in no event shall the Indebtedness exceed an amount equal to $50,000,000.00;
provided, however, in no event shall Beneficiary be obligated to advance funds in excess of
the face amount of the Note.

(m) Governing Law; Jurisdiction and Venue. THIS DEED OF TRUST SHALL BE
GOVERNED AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF MISSOURI WITHOUT GIVING
EFFECT TO THE PRINCIPLES OF CONFLICT OF LAWS THEREOF. TO INDUCE BENEFICIARY TO ACCEPT THE
NOTE, GRANTOR IRREVOCABLY AGREES THAT, SUBJECT TO BENEFICIARY’S SOLE AND ABSOLUTE ELECTION,
ACTIONS OR PROCEEDINGS RELATING DIRECTLY OR INDIRECTLY TO THIS DEED OF TRUST OR THE
TRANSACTIONS CONTEMPLATED HEREBY MAY BE LITIGATED IN THE FEDERAL, STATE OR LOCAL COURTS
SITTING IN OR FOR THE COUNTY OF MIDDLESEX, NEW JERSEY, AND HEREBY SUBMIT TO THE
NON-EXCLUSIVE JURISDICTION OF SUCH COURTS. GRANTOR AND BENEFICIARY ACKNOWLEDGE THAT SUCH
COURTS ARE CONVENIENT FORUMS AND WAIVE ANY DEFENSE BASED UPON DOCTRINES OF VENUE OR FORUM
NON-CONVENIENS OR SIMILAR RULES OR DOCTRINES. GRANTOR HEREBY WAIVES PERSONAL SERVICE OF
PROCESS UPON GRANTOR, AND AGREES THAT ALL SUCH SERVICE OF PROCESS MAY BE MADE BY REGISTERED
MAIL DIRECTED TO GRANTOR AT THE ADDRESS STATED HEREIN AND SERVICE SO MADE WILL BE DEEMED TO
BE COMPLETED UPON ACTUAL RECEIPT.

(n) Waiver of Jury Trial. TO THE EXTENT PERMITTED BY LAW, GRANTOR AND
BENEFICIARY (BY ACCEPTANCE HEREOF), HAVING BEEN REPRESENTED BY COUNSEL, EACH KNOWINGLY AND
VOLUNTARILY (a) WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE
OR DEFEND ANY RIGHTS UNDER THIS DEED OF TRUST OR ANY RELATED AGREEMENT OR UNDER ANY
AMENDMENT, INSTRUMENT, DOCUMENT OR AGREEMENT DELIVERED OR WHICH MAY IN THE FUTURE BE
DELIVERED IN CONNECTION WITH THIS DEED OF TRUST, AND (b) AGREES THAT ANY SUCH ACTION OR
PROCEEDING WILL BE TRIED BEFORE A COURT AND NOT BEFORE A JURY. GRANTOR AGREES THAT IT WILL
NOT ASSERT ANY CLAIM AGAINST BENEFICIARY OR ANY OTHER PERSON INDEMNIFIED UNDER THIS DEED OF
TRUST, THE INDEMNITY, OR ANY OF THE OTHER LOAN DOCUMENTS ON ANY THEORY OF LIABILITY FOR
SPECIAL, INDIRECT, CONSEQUENTIAL, INCIDENTAL OR PUNITIVE DAMAGES.

(o) Complete Agreement. This Deed of Trust, the Loan Agreement, the Note and
the other Loan Documents constitute the complete agreement between the parties with respect
to the subject matter hereof and this Deed of Trust may not be modified, altered or amended
except by an agreement in writing signed by both Grantor and Beneficiary.

(p) Remedies against Other Collateral. Grantor hereby acknowledges that certain
Loan Documents other than this Deed of Trust create liens on collateral located in counties
or states other than the counties and state in which the Premises are located. Grantor
further acknowledges that this Deed of Trust and the other Loan Documents are
cross-defaulted and the Loan secured hereby is also secured by the other Loan Documents.
Grantor agrees that Trustee may proceed, at the same or at different times, to foreclose any
or all liens against such collateral (or sell such collateral under power of sale) by any
proceedings appropriate in the county and state where such collateral lies, and that no
event of enforcement taking place in any county or state pursuant to any of the Loan
Documents shall preclude or bar enforcement in any other county or state. Any foreclosure or
other appropriate remedy brought in any county or state in which collateral is located may
be brought and prosecuted as to any part of such collateral without regard to the fact that
foreclosure proceedings or other appropriate remedies have or have not been instituted
elsewhere on any other part of the collateral for the Loan.

(q) No Oral Agreements. The following notice is given to comply with §§
432.045 and 432.047 of the Revised Statutes of Missouri:

Oral agreements or commitments to loan money, extend credit or to forbear
from enforcing repayment of a debt, including promises to extend or renew
such debt, are not enforceable, regardless of the legal theory upon which it
is based that is in any way related to the credit agreement. To protect you
(borrower(s)) and us (creditor) from misunderstanding or disappointment, any
agreements we reach covering such matters are contained in this writing,
which is the complete and exclusive statement of the agreement between us,
except as we may later agree in writing to modify it.

As used in this Section, the term “this writing” is deemed to include this Deed of Trust,
the other Loan Documents, and all other documents, agreements and instruments evidencing,
securing or supporting the debt evidenced by the Loan Documents.

[SIGNATURE PAGE FOLLOWS]

GRANTOR AND BENEFICIARY ACKNOWLEDGE AND AGREE THAT THE EFFECT OF SECTION 37(m) OF THIS DEED
OF TRUST IS THAT THEY ARE GIVING UP THE RIGHT TO TRIAL BY JURY TO THE EXTENT PERMITTED BY LAW.

IN WITNESS WHEREOF, Grantor has executed and delivered this Deed of Trust, Assignment of
Rents, Security Agreement and Fixture Filing as of the day and year first above written.

G&E HC REIT II JOPLIN LTACH, LLC

a Delaware limited liability company

By: G&E HC REIT II MONUMENT LTACH PORTFOLIO, LLC

Its: Sole Managing Member

By: GRUBB & ELLIS HEALTHCARE REIT II HOLDINGS, LP

Its: Sole Managing Member

By: GRUBB & ELLIS HEALTHCARE REIT II, INC.

Its: General Partner

By: /s/ Shannon K S Johnson

Name: Shannon K S Johnson

Title: Chief Financial Officer

	 	 	 	 	 
	STATE OF CALIFORNIA

COUNTY OF ORANGE

	 	)

)

)
	 	

SS.

On May 13, 2011, before me, P.C. Han, Notary Public, personally appeared Shannon K S Johnson,
who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to
the within instrument and acknowledged to me that she executed the same in her authorized capacity,
and that by her signature on the instrument the person, or the entity upon which the person acted,
executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.

WITNESS my hand and official seal.

Signature: /s/ P.C. Han (Seal)

Notary Public

Name: P.C. Han

My commission Expires: June 25, 2011EX-10.8

      

Space above this line for Recorder’s Use

RECORDING REQUESTED BY

AND WHEN RECORDED MAIL TO:

McGuireWoods LLP

77 West Wacker Drive, Suite 4100

Chicago, Illinois 60601

Attention: Donald A. Ensing, Esq.

STATE OF GEORGIA

COUNTY OF CLARKE

DEED TO SECURE DEBT, ASSIGNMENT OF RENTS AND

SECURITY AGREEMENT

This DEED TO SECURE DEBT, ASSIGNMENT OF RENTS AND SECURITY AGREEMENT (this “Deed to Secure
Debt”), dated as of May 19, 2011, is given by G&E HC REIT II ATHENS LTACH, LLC, a Delaware limited
liability company, as Grantor (“Grantor”), to SIEMENS FINANCIAL SERVICES, INC., a Delaware
corporation, its successors and assigns, as Grantee (“Grantee”).

RECITALS:

A. Pursuant to the terms and conditions contained in that certain Loan and Security Agreement
dated as of May 19, 2011, by and among G&E HC REIT II Monument LTACH Portfolio, LLC, a Delaware
limited liability company (“G&E Monument”), Grantor, G&E HC REIT II Cape Girardeau LTACH, LLC, a
Delaware limited liability company (“G&E Cape Girardeau”), G&E HC REIT II Columbia LTACH, LLC, a
Delaware limited liability company (“G&E Columbia”), G&E HC REIT II Joplin LTACH, LLC, a Delaware
limited liability company (“G&E Joplin” and, together with G&E Monument, Grantor, G&E Cape
Girardeau, and G&E Columbia, the “Borrowers” and each a “Borrower”), and Grantee (as amended,
restated, supplemented, or otherwise modified from time to time, the “Loan Agreement”), the Grantee
has made to the Borrowers a term loan (the “Loan”) evidenced by that certain Promissory Note dated
as of May 19, 2011, with a maturity date of June 19, 2018, in the original principal amount of
Twenty-Five Million and 00/100 Dollars ($25,000,000.00), executed by the Borrowers and made payable
to the order of the Grantee (as amended, restated, or replaced from time to time, the “Note”).

B. Pursuant to the terms and conditions of contained in that certain Guaranty (as amended,
restated, supplemented, or otherwise modified from time to time, the “Guaranty”) made by Grubb &
Ellis Healthcare REIT II, Inc., a Maryland corporation (the “Parent Guarantor”), in favor of the
Grantee, the Parent Guarantor has guaranteed all “Obligations” under and as defined in the Loan
Agreement (the “Guaranty Obligations”).

C. A condition precedent to Grantee’s extension of the Loan to Borrowers is the execution and
delivery by Grantor of this Deed to Secure Debt.

NOW, THEREFORE, in consideration of the Property and of the debt and trust hereafter mentioned
and created, and the sum of One Dollar ($1.00) paid to Grantor by Grantee, the receipt and
sufficiency of which is hereby acknowledged, Grantor and Grantee agree as follows:

1. The Property. For the purpose of securing payment and performance of the Secured
Obligations defined in Section 2 below, Grantor hereby irrevocably and unconditionally grants,
bargains, sells, conveys, transfers and assigns to Grantee with power of sale and right of entry
and possession, all estate, right, title and interest that Grantor now has or may later acquire in
and to the following property (all or any part of such property, or any interest in all or any part
of it, together with the Personal Property (as hereinafter defined) being hereinafter collectively
referred to as the “Property”):

(a) The real property located in the County of Clarke, State of Georgia, as described
in EXHIBIT A hereto (the “Land”);

(b) all improvements of every nature whatsoever now or hereafter situated on the Land,
and all fixtures and personal property of every nature whatsoever now or hereafter owned by
Grantor and located on, or used in connection with the Land or the improvements thereon, or
in connection with any construction thereon, including all extensions, additions,
improvements, betterments, renewals, substitutions and replacements to any of the foregoing
and all of the right, title and interest of Grantor in and to any such personal property or
fixtures together with the benefit of any deposits or payments now or hereafter made on such
personal property or fixtures by Grantor or on its behalf (collectively “Improvements”);

(c) all easements, rights of way, gores of real estate, streets, ways, alleys,
passages, sewer rights, waters, water courses, water rights and powers, and all estates,
rights, titles, interests, privileges, liberties, tenements, hereditaments and appurtenances
whatsoever, in any way now or hereafter belonging, relating or appertaining to the Land, and
the reversions, remainders, rents, issues and profits thereof, and all the estate, right,
title, interest, property, possession, claim and demand whatsoever, at law as well as in
equity, of Grantor of, in and to the same;

(d) all rents, revenues, issues, profits, proceeds, income, royalties, accounts,
including health-care-insurance receivables, escrows, letter-of-credit rights, security
deposits, impounds, reserves, tax refunds and other rights to monies from the Property
and/or the businesses and operations conducted by Grantor thereon, to be applied against the
Indebtedness (hereinafter defined); provided, however, that Grantor, so long as no Event of
Default (as hereinafter defined) has occurred hereunder, may collect rent as it becomes due,
but not more than one (1) month in advance thereof;

(e) all interest of Grantor in all leases now or hereafter on the Property, whether
written or oral (“Leases”), together with all security therefor and all monies payable
thereunder (“Rents”), subject, however, to the conditional permission hereinafter given to
Grantor to collect the rentals under any such Lease;

(f) all proceeds of, additions and accretions to, substitutions and replacements for,
and changes in any of the property described above;

(g) all fixtures and articles of personal property now or hereafter owned by Grantor
and forming a part of or used in connection with the Land or the Improvements, including,
but without limitation, any and all air conditioners, antennae, appliances, apparatus,
awnings, basins, bathtubs, bidets, boilers, bookcases, cabinets, carpets, computer hardware
and software used in the operation of the Property, coolers, curtains, dehumidifiers,
disposals, doors, drapes, dryers, ducts, dynamos, elevators, engines, equipment, escalators,
exercise equipment, fans, fittings, floor coverings, furnaces, furnishings, furniture,
hardware, heaters, humidifiers, incinerators, lighting, machinery, motors, ovens, pipes,
plumbing, pumps, radiators, ranges, recreational facilities, refrigerators, screens,
security systems, shades, shelving, sinks, sprinklers, stokers, stoves, toilets,
ventilators, wall coverings, washers, windows, window coverings, wiring, and all renewals or
replacements thereof or articles in substitution therefor, whether or not the same are or
shall be attached to the Land or the Improvements in any manner; it being mutually agreed
that all of the aforesaid property owned by Grantor and placed on the Land or the
Improvements, so far as permitted by law, shall be deemed to be fixtures, a part of the
realty, and security for the Indebtedness (as hereinafter defined); notwithstanding the
agreement hereinabove expressed that certain articles of property form a part of the realty
covered by this Deed to Secure Debt and be appropriated to its use and deemed to be realty,
to the extent that such agreement and declaration may not be effective and that any of said
articles may constitute “goods” as said term is used in the Georgia Commercial Code in
effect from time to time (the “Code”), this instrument shall constitute a security agreement
for such goods, as collateral, all in accordance with the Code;

(h) all of Grantor’s interests in “general intangibles” including “payment intangibles”
and “software” (each as defined in the Code) now owned or hereafter acquired and related to
the Property, including, without limitation, all of Grantor’s right, title and interest in
and to: (i) all agreements, licenses, permits and contracts to which Grantor is or may
become a party and which relate to the Property; (ii) all obligations and indebtedness owed
to Grantor thereunder; (iii) all intellectual property related to the Property; and (iv) all
choses in action and causes of action relating to the Property;

(i) all of Grantor’s accounts now owned or hereafter created or acquired as relate to
the Property and/or the businesses and operations conducted thereon, including, without
limitation, all of the following now owned or hereafter created or acquired by Grantor:
(i) accounts, contract rights, health-care-insurance receivables, book debts, notes, drafts,
and other obligations or indebtedness owing to the Grantor arising from the sale, lease or
exchange of goods or other property and/or the performance of services; (ii) the Grantor’s
rights in, to and under all purchase orders for goods, services or other property; (iii) the
Grantor’s rights to any goods, services or other property represented by any of the
foregoing; (iv) monies due or to become due to the Grantor under all contracts for the sale,
lease or exchange of goods or other property and/or the performance of services including
the right to payment of any interest or finance charges in respect thereto (whether or not
yet earned by performance on the part of the Grantor); (v) “securities”, “investment
property,” “financial assets,” and “securities entitlements” (each as defined in the Code);
(vi) proceeds of any of the foregoing and all collateral security and guaranties of any kind
given by any person or entity with respect to any of the foregoing; and (vii) all
warranties, guarantees, permits and licenses in favor of Grantor with respect to the
Property; and

(j) all proceeds of the foregoing, including, without limitation, all judgments, awards
of damages and settlements hereafter made resulting from condemnation proceeds or the taking
of the Property or any portion thereof under the power of eminent domain, any proceeds of
any policies of insurance, maintained with respect to the Property or proceeds of any sale,
option or contract to sell the Property or any portion thereof.

To have and to hold the Property, the Rents and the Personal Property (as such terms are defined
herein) to the use, benefit and behoof of Grantee forever, in fee simple, subject to the terms,
provisions and conditions herein set forth. This Deed to Secure Debt is a deed and security
agreement passing legal title pursuant to the laws of the State of Georgia governing loan or
security deeds and security agreements and is not a mortgage.

2. Purpose of Securing. Grantor makes the grant, bargain, sale, conveyance, transfer
and assignment set forth in Section 1, makes the irrevocable and absolute assignment set forth in
Section 12, and grants the security interest set forth in Section 16, all for the purpose of
securing the following obligations (the “Secured Obligations”) in any order of priority that
Grantee may choose:

(a) (i) the payment of the Loan and all interest, late charges, prepayment premium (if any),
exit fee (if any), reimbursement obligations, and other indebtedness evidenced by or owing under
the Note and the other Loan Documents (as defined in the Loan Agreement), together with any
extensions, modifications, renewals or refinancings of any of the foregoing; (ii) the performance
and observance of the covenants, conditions, agreements, representations, warranties and other
liabilities and obligations of the Borrowers and the other Obligors (as defined in the Loan
Agreement) to or benefiting Grantee which are evidenced or secured by or otherwise provided in this
Deed to Secure Debt and the other Loan Documents; (iii) the reimbursement of Grantee of any and all
sums incurred, expended or advanced by Grantee pursuant to any term or provision of or constituting
additional indebtedness under or secured by this Deed to Secure Debt and the other Loan Documents,
with interest thereon as provided herein or therein; (iv) the Obligations (as defined in the Loan
Agreement); (v) the payment and performance of all future advances and other obligations any of the
Borrowers and the other Obligors (or any successor in interest to any of the foregoing) may agree
to pay or perform (whether as principal, surety, or guarantor) to or for the benefit of Grantee;
and (vi) so long as such obligations remain outstanding, the Guaranty Obligations (collectively,
the foregoing items (i) through (vi) referred to herein as the “Indebtedness”).

(b) This Deed to Secure Debt does not secure any obligations arising in favor of Grantee under
any environmental agreements or any indemnities or other obligations related to hazardous
substances or environmental laws relating to the Property or under any obligation which expressly
states that it is unsecured, whether contained in the foregoing Debt Instrument or in any other
document, agreement or instrument. Unless specifically described in subsection (a) above or
otherwise agreed in writing, “Secured Obligations” shall not include any debts, obligations or
liabilities which are or may hereafter be “consumer credit” subject to the disclosure requirements
of the Federal Truth in Lending law or any regulation promulgated thereunder.

(c) It is the intention of Grantor and Grantee that this Deed to Secure Debt shall establish
for the benefit of Grantee a perpetual or indefinite security interest in the Property to secure
the Secured Obligations as provided by O.C.G.A. Section 44-14-80(a)(2).

3. Terms of Secured Obligations. All persons who may have or acquire an interest in
all or any part of the Property will be considered to have notice of, and will be bound by, the
terms of the Loan Agreement, the Note, and the Guaranty described in the Recitals hereto and each
other agreement or instrument made or entered into in connection with each of the Secured
Obligations. These terms include any provisions in the Loan Agreement, the Note, and the Guaranty
which permit borrowing, repayment and reborrowing, or which provide that the interest rate on one
or more of the Secured Obligations may vary from time to time.

4. Title. Grantor represents, warrants and covenants that (a) Grantor is the holder
of the fee simple title to the Property, free and clear of all liens and encumbrances, except those
liens and encumbrances in favor of Grantee and as otherwise described on EXHIBIT B attached hereto
and made a part hereof (“Permitted Exceptions”); and (b) Grantor has legal power and authority to
mortgage and convey the Property.

5. Maintenance, Repair, Restoration, Prior Liens, Parking. Grantor covenants that, so
long as any portion of the Indebtedness remains unpaid, Grantor will:

(a) promptly repair, restore or rebuild any Improvements now or hereafter on the
Property which may become damaged or be destroyed to a condition substantially similar to
the condition immediately prior to such damage or destruction, whether or not proceeds of
insurance are available or sufficient for the purpose;

(b) keep the Property in good condition and repair, without waste, and free from
mechanics’, materialmen’s or like liens or claims or other liens or claims for lien (subject
to Grantor’s right to contest liens as permitted by the terms of Section 37 hereof);

(c) pay when due the Indebtedness in accordance with the terms of the Note and the
other Loan Documents and duly perform and observe all of the terms, covenants and conditions
to be observed and performed by Grantor under this Deed to Secure Debt and the other Loan
Documents;

(d) pay when due any indebtedness which may be secured by a permitted lien or charge on
the Property on a parity with, superior to or inferior to the lien hereof, and upon request
exhibit satisfactory evidence of the discharge of such lien to Grantee (subject to Grantor’s
right to contest liens as permitted herein);

(e) complete within a reasonable time any Improvements now or at any time in the
process of erection upon the Property;

(f) comply with all requirements of law, municipal ordinances or restrictions and
covenants of record with respect to the Property and the use thereof;

(g) obtain and maintain in full force and effect, and abide by and satisfy the material
terms and conditions of, all material permits, licenses, registrations and other
authorizations with or granted by any governmental authorities that may be required from
time to time with respect to the performance of its obligations under this Deed to Secure
Debt;

(h) make no material alterations in the Property or demolish any portion of the
Property without Grantee’s prior written consent, except as required by law or municipal
ordinance;

(i) suffer or permit no change in the use or general nature of the occupancy of the
Property, without Grantee’s prior written consent;

(j) pay when due all operating costs of the Property;

(k) not initiate or acquiesce in any zoning reclassification with respect to the
Property, without Grantee’s prior written consent;

(l) provide and thereafter maintain adequate parking areas within the Property as may
be required by law, ordinance or regulation (whichever may be greater), together with any
sidewalks, aisles, streets, driveways and sidewalk cuts and sufficient paved areas for
ingress, egress and right-of-way to and from the adjacent public thoroughfares necessary or
desirable for the use thereof; and

(m) comply, and cause the Property at all times to be operated in compliance with all
federal, state, local and municipal environmental, health and safety laws, statutes,
ordinances, rules and regulations.

6. Payment of Taxes and Assessments. Grantor will pay when due and before any penalty
attaches, all general and special taxes, assessments, water charges, sewer charges, and other fees,
taxes, charges and assessments of every kind and nature whatsoever (all herein generally called
“Taxes”), whether or not assessed against Grantor, if applicable to the Property or any interest
therein, or the Indebtedness, or any obligation or agreement secured hereby, subject to Grantor’s
right to contest the same, as provided by the terms hereof; and Grantor will, upon written request,
furnish to Grantee duplicate receipts therefor within ten (10) days after Grantee’s request.

7. Tax Deposits. At Grantee’s option, Grantor shall deposit with Grantee, on the
first day of each month until the Indebtedness is fully paid, a sum equal to one-twelfth (1/12th)
of 105% of the most recent ascertainable annual Taxes on the Property. If requested by Grantee,
Grantor shall also deposit into a deposit account (such account, the “Tax Reserve Account”) with a
United States depository institution approved by Grantee and subject to the exclusive control of
Grantee an amount of money which, together with the aggregate of the monthly deposits to be made
pursuant to the preceding sentence as of one month prior to the date on which the next installment
of annual Taxes for the current calendar year become due, shall be sufficient to pay in full such
installment of annual Taxes, as estimated by Grantee. Such deposits are to be held without any
allowance of interest and are to be used for the payment of Taxes next due and payable when they
become due. So long as no Event of Default shall exist, Grantee shall, at its option, use the funds
in the Tax Reserve Account to pay such Taxes when the same become due and payable (upon submission
of appropriate bills therefor by Grantor) or shall release sufficient funds to Grantor for the
payment thereof. If the funds so deposited are insufficient to pay any such Taxes for any year (or
installments thereof, as applicable) when the same shall become due and payable, Grantor shall,
within ten (10) days after receipt of written demand therefor, deposit additional funds into the
Tax Reserve Account as may be necessary to pay such Taxes in full. If the funds so deposited exceed
the amount required to pay such Taxes for any year, the excess shall be applied toward subsequent
deposits. Said deposits need not be kept separate and apart from any other funds of Grantee.
Grantee, in making any payment hereby authorized relating to Taxes, may do so according to any
bill, statement or estimate procured from the appropriate public office without inquiry into the
accuracy of such bill, statement or estimate or into the validity of any tax, assessment, sale,
forfeiture, tax lien or title or claim thereof.

8. Grantee’s Interest In and Use of Deposits. Upon an Event of Default, Grantee may,
at its option, apply any monies at the time on deposit pursuant to Section 7 above to cure an Event
of Default or to pay any of the Indebtedness in such order and manner as Grantee may elect. If such
deposits are used to cure an Event of Default or pay any of the Indebtedness, Grantor shall
immediately, upon demand by Grantee, deposit with Grantee an amount equal to the amount expended by
Grantor from the deposits. When the Indebtedness has been fully paid, any remaining deposits shall
be returned to Grantor. Such deposits are hereby pledged as additional security for the
Indebtedness and shall not be subject to the direction or control of Grantor. Grantee shall not be
liable for any failure to apply to the payment of Taxes any amount so deposited unless Grantor,
prior to an Event of Default, shall have requested Grantee in writing to make application of such
funds to the payment of such amounts, accompanied by the bills for such Taxes. Grantee shall not be
liable for any act or omission taken in good faith or pursuant to the instruction of any party.

9. Insurance.

(a) Grantor shall at all times keep all buildings, improvements, fixtures and articles of
personal property now or hereafter situated on the Property insured against loss or damage by fire
and such other hazards as may reasonably be required by Grantee, in accordance with the terms,
coverage, and provisions described in the Loan Agreement, which is incorporated by reference and
made a part hereof, and such other insurance as Grantee may from time to time reasonably require.
Grantor assigns to Grantee all proceeds of any and all insurance policies insuring against loss or
damage to the Property, subject to the terms of the Loan Agreement. Grantor authorizes Grantee to
collect and receive such proceeds and authorizes and directs the issuer of each of such insurance
policy to make payment for all such losses directly to Grantee, instead of to Grantor and Grantee
jointly, subject to the terms of the Loan Agreement.

(b) Unless Grantor provides Grantee evidence of the insurance coverage required
hereunder, Grantee may purchase insurance at Grantor’s expense to cover Grantee’s interest in the
Property. The insurance may, but need not, protect Grantor’s interest. The coverage that Grantee
purchases may not pay any claim that Grantor makes or any claim that is made against Grantor in
connection with the Property. Grantor may later cancel any insurance purchased by Grantee, but only
after providing Grantee with evidence that Grantor has obtained insurance as required by this Deed
to Secure Debt and the Loan Agreement. If Grantee purchases insurance for the Property, Grantor
will be responsible for the costs of such insurance, including, without limitation, the insurance
premium, interest and any other charges which Grantee may impose in connection with the placement
of the insurance, until the effective date of the cancellation or expiration of the insurance. The
costs of the insurance may be added to the Indebtedness. The cost of the insurance may be more than
the cost of insurance Grantor may be able to obtain on its own.

10. Condemnation. If all or any part of the Property is damaged, taken or
acquired, either temporarily or permanently, in any condemnation proceeding, or by exercise of the
right of eminent domain, the amount of any award or other payment for such taking or damages made
in consideration thereof to Grantor, to the extent of the full amount of the remaining unpaid
Indebtedness, is hereby assigned to Grantee, who is empowered to collect and receive the same and
to give proper receipts therefor in the name of Grantor and the same shall be paid forthwith to
Grantee. Such award or monies shall be applied on account of the Indebtedness, irrespective of
whether such Indebtedness is then due and payable and, at any time from and after the taking
Grantee may declare the whole of the balance of the Indebtedness plus any prepayment premium to be
due and payable. Notwithstanding the provisions of this Section to the contrary, if any
condemnation or taking of less than the entire Property occurs and provided that no Event of
Default and no event or circumstance which with the passage of time, the giving of notice or both
would constitute an Event of Default then exists, and if such partial condemnation, in the
reasonable discretion of Grantee, has no material adverse effect on the operation or value of the
Property, then the award or payment for such taking or consideration for damages resulting
therefrom may be collected and received by Grantor, and Grantee hereby agrees that in such event it
shall not declare the Indebtedness to be due and payable, if it is not otherwise then due and
payable.

11. Stamp Tax. If, by the laws of the United States of America, or of any state or
political subdivision having jurisdiction over Grantor, any tax is due or becomes due in respect of
the execution and delivery of this Deed to Secure Debt, the Note, or any of the other Loan
Documents, Grantor shall pay such tax in the manner required by any such law. Grantor further
agrees to reimburse Grantee for any sums which Grantee may expend by reason of the imposition of
any such tax. Notwithstanding the foregoing, Grantor shall not be required to pay any income or
franchise taxes of Grantee.

	 	12.	 	Assignment of Leases, Rents and Collections.

(a) All of Grantor’s interest in and rights under the Leases now existing or hereafter entered
into, and all of the Rents, whether now due, past due, or to become due, and including all prepaid
rents and security deposits, and all other amounts due with respect to any of the other collateral,
are hereby absolutely, presently and unconditionally assigned and conveyed to Grantee to be applied
by Grantee in payment of all Indebtedness and all other sums payable under this Deed to Secure
Debt. This is an absolute assignment, not an assignment for security only. Prior to the
occurrence of any Event of Default, Grantor shall have a license to collect and receive all Rents
and other amounts as they become due and payable. If an Event of Default has occurred, Grantee
shall have the right, which it may choose to exercise in its sole discretion, to terminate such
license without notice to or demand upon Grantor, and without regard to the adequacy of the
security for the Secured Obligations. It is understood and agreed that neither the foregoing
assignment to Grantee nor the exercise by Grantee of any of its rights or remedies under Section 20
hereof or otherwise shall be deemed to make Grantee a “Grantee-in-possession” or otherwise
responsible or liable in any manner with respect to the collateral or the use, occupancy, enjoyment
or any portion thereof, unless and until Grantee, in person or by agent, assumes actual possession
thereof. Nor shall appointment of a receiver for the collateral by any court at the request of
Grantee or by agreement with Grantor, or the entering into possession of any part of the collateral
by such receiver, be deemed to make Grantee a Grantee-in-possession or otherwise responsible or
liable in any manner with respect to the collateral or the use, occupancy, enjoyment or operation
of all or any portion thereof. Upon the occurrence of any Event of Default, this shall constitute a
direction to and full authority to each lessee under any Leases, each guarantor of any of the
Leases and any other Person (as defined in the Loan Agreement) obligated under any of the
collateral to pay all Rents and other amounts to Grantee without proof of the Event of Default
relied upon. Grantor hereby irrevocably authorizes each such Person to rely upon and comply with
any notice or demand by Grantee for the payment to Grantee of any Rents and other amounts due or to
become due. Grantor shall apply the Rents and other amounts to the payment of all necessary and
reasonable operating costs and expenses of the collateral, debt service on the Indebtedness and
otherwise in compliance with the provisions of this Deed to Secure Debt.

(b) Grantor shall at all times fully perform the obligations of the lessor under all Leases.
Grantor shall at any time or from time to time, upon request of Grantee, transfer and assign to
Grantee in such form as may be satisfactory to Grantee, Grantor’s interest in the Leases, subject
to and upon the condition, however, that prior to the occurrence of any Event of Default hereunder,
Grantor shall have a license to collect and receive all Rents under such Leases upon accrual, but
not prior thereto, as set forth in Section 12(a) above.

(c) Grantee shall have the right to assign all or any part of Grantee’s right, title, and
interest in any Leases to any subsequent holder of this Deed to Secure Debt or any participating
interest in any of the Indebtedness or to any Person acquiring title to all or any part of the
collateral through foreclosure or otherwise. Any subsequent assignee shall have all the rights and
powers herein provided to Grantee. Upon the occurrence of any Event of Default, Grantee shall have
the right to execute new leases of any part of the collateral, including leases that extend beyond
the term of this Deed to Secure Debt. Grantee shall have the authority, as Grantor’s
attorney-in-fact, such authority being coupled with an interest and irrevocable, to sign the name
of Grantor and to bind Grantor on all papers and documents relating to the operation, leasing and
maintenance of the collateral.

13. Effect of Extensions of Time and Other Changes. If the payment of the
Indebtedness or any part thereof is extended or varied, if any part of any security for the payment
of the Indebtedness is released, if the rate of interest charged under the Note is changed or if
the time for payment thereof is extended or varied, all persons now or at any time hereafter liable
therefor, or interested in the Property or having an interest in Grantor, shall be held to assent
to such extension, variation, release or change and their liability and the lien and all of the
provisions hereof shall continue in full force, any right of recourse against all such persons
being expressly reserved by Grantee, notwithstanding such extension, variation, release or change.

14. Effect of Changes in Laws Regarding Taxation. If any law is enacted after the
date hereof requiring (a) the deduction of any lien on the Property from the value thereof for the
purpose of taxation; (b) the imposition upon Grantee of the payment of the whole or any part of the
Taxes, charges or liens herein required to be paid by Grantor; or (c) a change in the method of
taxation of mortgages or debts secured by mortgages or Grantee’s interest in the Property, or the
manner of collection of taxes, so as to affect this Deed to Secure Debt or the Indebtedness or the
holders thereof, then Grantor, upon demand by Grantee, shall pay such Taxes or charges, or
reimburse Grantee therefor; provided, however, that Grantor shall not be deemed to be required to
pay any income or franchise taxes of Grantee. Notwithstanding the foregoing, if in the opinion of
counsel for Grantee it is or may be unlawful to require Grantor to make such payment or the making
of such payment might result in the imposition of interest beyond the maximum amount permitted by
law, then Grantee may declare all of the Indebtedness to be immediately due and payable.

15. Grantee’s Performance of Defaulted Acts and Expenses Incurred by Grantee. If an
Event of Default has occurred, Grantee may, but need not, make any payment or perform any act
herein required of Grantor in any form and manner deemed expedient by Grantee, and may, but need
not, make full or partial payments of principal or interest on prior encumbrances, if any, and
purchase, discharge, compromise or settle any tax lien or other prior lien or title or claim
thereof, or redeem from any tax sale or forfeiture affecting the Property or consent to any tax or
assessment or cure any default of Grantor in any lease of the Property. All monies paid for any of
the purposes herein authorized and all expenses paid or incurred in connection therewith, including
reasonable attorneys’ fees actually incurred, and any other monies advanced by Grantee in regard to
any tax referred to in Section 14 above or to protect the Property or the lien hereof, shall be so
much additional Indebtedness, and shall become immediately due and payable by Grantor to Grantee,
upon demand, and with interest thereon accruing from the date of such demand until paid at the rate
then in effect under the Loan Agreement in regard to the Loan plus 1.3% per month (such rate, the
“Default Rate”), in addition to any other interest accruing on such amount, as provided under this
Deed to Secure Debt and the other Loan Documents, all limited by the maximum rate permitted by law
then in effect. In addition to the foregoing, any costs, expenses and fees, including reasonable
attorneys’ fees, incurred by Grantee in connection with (a) sustaining the lien of this Deed to
Secure Debt or its priority, (b) protecting or enforcing any of Grantee’s rights hereunder,
(c) recovering any Indebtedness, (d) any litigation or proceedings affecting the Note, this Deed to
Secure Debt, any of the other Loan Documents or the Property, including without limitation,
bankruptcy and probate proceedings, and (e) preparing for the commencement, defense or
participation in any threatened litigation or proceedings affecting the Note, this Deed to Secure
Debt, any of the other Loan Documents or the Property, shall be so much additional Indebtedness,
and shall become immediately due and payable by Grantor to Grantee, upon demand, and with interest
thereon accruing from the date of such demand until paid at the Default Rate, in addition to any
other interest accruing on such amount, as provided under this Deed to Secure Debt and the other
Loan Documents, all limited by the maximum rate permitted by law then in effect. The interest
accruing under this Section 15 shall be immediately due and payable by Grantor to Grantee, and
shall be additional Indebtedness evidenced by the Note and secured by this Deed to Secure Debt.
Grantee’s failure to act shall never be considered as a waiver of any right accruing to Grantee on
account of any Event of Default. Should any amount paid out or advanced by Grantee hereunder, or
pursuant to any agreement executed by any of the Borrowers or any of the other Obligors in
connection with the Loan, be used directly or indirectly to pay off, discharge or satisfy, in whole
or in part, any lien or encumbrance upon the Property or any part thereof, then Grantee shall be
subrogated to any and all rights, equal or superior titles, liens and equities, owned or claimed by
any owner or holder of said outstanding liens, charges and indebtedness, regardless of whether said
liens, charges and indebtedness are acquired by assignment or have been released of record by the
holder thereof upon payment.

16. Security Agreement.

(a) Grantor and Grantee agree that this Deed to Secure Debt shall constitute a Security
Agreement within the meaning of the Code with respect to (a) all sums at any time on deposit for
the benefit of Grantor or held by the Grantee (whether deposited by or on behalf of Grantor or
anyone else) pursuant to any of the provisions of this Deed to Secure Debt or the other Loan
Documents, and (b) with respect to any personal property included in the granting clauses of this
Deed to Secure Debt, which personal property may not be deemed to be affixed to the Property or may
not constitute a “fixture” (within the meaning of the Code) (which property is hereinafter referred
to as “Personal Property”), and all replacements of, substitutions for, additions to, and the
proceeds thereof, and the “supporting obligations” (as defined in the Code) (all of said Personal
Property and the replacements, substitutions and additions thereto and the proceeds thereof being
sometimes hereinafter collectively referred to as “Collateral”), and that a security interest in
and to the Collateral is hereby granted to the Grantee, and the Collateral and all of Grantor’s
right, title and interest therein are hereby assigned to Grantee, all to secure payment of the
Indebtedness. This Deed to Secure Debt is intended to be a financing statement within the purview
of the Code with respect to the Collateral and the goods described herein, which goods are or may
become fixtures relating to the Property. The addresses of Grantor (Debtor) and Grantee (Secured
Party) are set forth below. This Deed to Secure Debt is to be filed for recording with the Recorder
of Deeds of the county or counties where the Property is located. To the extent permitted by
applicable law, the security interest created hereby is specifically intended to cover all Leases
between Grantor or its agents as lessor, and various tenants named therein, as lessee, including
all extended terms and all extensions and renewals of the terms thereof, as well as any amendments
to or replacement of said Leases, together with all of the right, title and interest of Grantor, as
lessor thereunder.

	 	17.	 	Restrictions on Transfer.

(a) Grantor, without the prior written consent of Grantee, shall not effect, suffer or permit
any conveyance, sale, assignment, transfer, lien, pledge, mortgage, security interest or other
encumbrance or alienation (or any agreement to do any of the foregoing) of the Property, or any
part thereof (a “Prohibited Transfer”), except as may be provided in the Loan Documents.

(b) In determining whether or not to make the Loan, Grantee evaluated the background and
experience of Grantor, its members, its manager, and its officers in owning and operating property
such as the Property, found it acceptable and relied and continues to rely upon same as the means
of maintaining the value of the Property which is Grantee’s security for the Note. Grantor, its
members, its manager, and its officers are well experienced in borrowing money and owning and
operating property such as the Property, were ably represented by a licensed attorney at law in the
negotiation and documentation of the Loan and bargained at arm’s length and without duress of any
kind for all of the terms and conditions of the Loan, including this provision. Grantor recognizes
that Grantee is entitled to keep its loan portfolio at current interest rates by making new loans
at such rates or collecting assumption fees and/or increasing the interest rate on a loan, the
security for which is purchased by a party other than the original Grantor. Grantor further
recognizes that any secondary junior financing placed upon the Property (i) may divert funds which
would otherwise be used to pay the Note; (ii) could result in acceleration and foreclosure by any
such junior encumbrancer which would force Grantee to take measures and incur expenses to protect
its security; (iii) would detract from the value of the Property should Grantee come into
possession thereof with the intention of selling same; and (iv) would impair Grantee’s right to
accept a deed in lieu of foreclosure, as a foreclosure by Grantee would be necessary to clear the
title to the Property. In accordance with the foregoing and for the purposes of (i) protecting
Grantee’s security, both of repayment and of value of the Property; (ii) giving Grantee the full
benefit of its bargain and contract with Grantor; (iii) allowing Grantee to raise the interest rate
and collect assumption fees; and (iv) keeping the Property free of subordinate financing liens,
Grantor agrees that if this Section 17(b) is deemed a restraint on alienation, that it is a
reasonable one.

18. Separate Entity. Grantor shall not hold or acquire, directly or indirectly, any
ownership interest (legal or equitable) in any real or personal property other than the Property,
or become a shareholder of or a member or partner in any entity which acquires any property other
than the Property, until such time as the Indebtedness has been fully repaid. The operating
agreement of Grantor shall limit its purpose to the acquisition, operation, management and
disposition of the Property, and such purposes shall not be amended without the prior written
consent of Grantee. Except as may be otherwise provided in the Loan Agreement, Grantor covenants:

(a) To maintain its assets, accounts, books, records, financial statements, stationery,
invoices, and checks separate from and not commingled with any of those of any other Person;

(b) To conduct its own business in its own name, pay its own liabilities out of its own
funds, allocate fairly and reasonably any overhead for shared employees and office space,
and to maintain an arm’s length relationship with its affiliates;

(c) To hold itself out as a separate entity, correct any known misunderstanding
regarding its separate identity, maintain adequate capital in light of its contemplated
business operations, and observe all organizational formalities;

(d) Not to guarantee or become obligated for the debts of any other Person (other than
the other Borrowers, pursuant to the terms and conditions of the Loan Documents) or hold out
its credits as being available to satisfy the obligations of others (other than the other
Borrowers, pursuant to the terms and conditions of the Loan Documents), including not
acquiring obligations or securities of its manager, members, or officers;

(e) Not to pledge its assets for the benefit of any other Person (other than the other
Borrowers, pursuant to the terms and conditions of the Loan Documents) or make any loans or
advances to any Person except as may be expressly permitted under the Loan Documents;

(f) Not to enter into any contract or agreement with any party which is directly or
indirectly controlling, controlled by or under common control with Grantor (an “Affiliate”),
except upon terms and conditions that are intrinsically fair and substantially similar to
those that would be available on an arms-length basis with third parties other than any
Affiliate;

(g) Not to seek, and to prevent any constituent party of Grantor from seeking, the
dissolution or winding up, in whole or in part, of Grantor;

(h) Not to merge with or be consolidated into any other entity;

(i) To maintain its assets in such a manner that it will not be costly or difficult to
segregate, ascertain or identify its individual assets from those of any constituent party
of Grantor, Affiliate, any Guarantor, or any other Person; provided, however, that such
assets may be deposited into the Lockbox Accounts (as defined in the Loan Agreement); and

(j) To have no debts or obligations other than normal accounts payable in the ordinary
course of business, this Deed to Secure Debt, and the Loan.

19. Events of Default; Acceleration. Each of the following shall constitute an “Event
of Default” for purposes of this Deed to Secure Debt:

(a) The occurrence of an event of default (however defined) under any of the Loan
Documents;

(b) Grantor fails to pay any amount payable to Grantee under this Deed to Secure Debt
within three (3) Business Days after the date when any such payment is due in accordance
with the terms hereof;

(c) Grantor fails to perform or cause to be performed any other obligation or observe
any other condition, covenant, term, agreement or provision required to be performed or
observed by Grantor under this Deed to Secure Debt; provided, however, that if such failure
by its nature can be cured, then so long as the continued operation and safety of the
Property, and the priority, validity and enforceability of the liens created by the Deed to
Secure Debt or any of the other Loan Documents and the value of the Property is not
impaired, threatened or jeopardized, then Grantor shall have a period (the “Cure Period”) of
thirty (30) days after Grantor’s actual notice thereof, and an Event of Default under this
subsection (c) shall not be deemed to exist during the Cure Period;

(d) the existence of any inaccuracy or untruth in any material respect in any
certification, representation, or warranty contained in this Deed to Secure Debt or any of
the other Loan Documents or of any statement or certification as to facts delivered to
Grantee by Grantor or any other Obligor; or

(e) the occurrence of a Prohibited Transfer.

If an Event of Default occurs, Grantee may, at its option, declare the whole of the Indebtedness to
be immediately due and payable without further notice to Grantor, with interest thereon accruing
from the date of such Event of Default until paid at the Default Rate, in addition to any other
interest accruing on such amount, as provided under this Deed to Secure Debt and the other Loan
Documents, all limited by the maximum rate permitted by law then in effect.

20. Release; Foreclosure and Sale. If an Event of Default has occurred and is
continuing, Grantee may, at Grantee’s election, exercise any or all of the following rights,
remedies and recourses: (a) declare the Indebtedness to be immediately due and payable, without
further notice, presentment, protest, notice of intent to accelerate, notice of acceleration,
demand or action of any nature whatsoever (each of which hereby is expressly waived by Grantor),
whereupon the same shall become immediately due and payable; (b) enter the Property and take
exclusive possession thereof and of all books, records and accounts relating thereto or located
thereon (if Grantor remains in possession of the Property after an Event of Default and without
Grantee’s prior written consent, Grantee may invoke any legal remedies to dispossess Grantor); (c)
hold, lease, develop, manage, operate or otherwise use the Property upon such terms and conditions
as Grantee may deem reasonable under the circumstances (making such repairs, alterations, additions
and improvements and taking other actions, from time to time, as Grantee deems necessary or
desirable), and apply all Rents and other amounts collected by Grantee in connection therewith in
accordance with the provisions hereof; (d) sell the Property or any part of the Property at one or
more public sale or sales before the door of the courthouse of the county in which the Land or any
part of the Land is situated, to the highest bidder for cash, in order to pay the Loans and other
Obligations, and all expenses of sale and of all proceedings in connection therewith, including
attorney’s fees actually incurred at standard hourly rates, after advertising the time, place and
terms of sale once a week for four (4) weeks immediately preceding such sale (but without regard to
the number of days) in a newspaper in which Sheriffs sales are advertised in said county. At any
such public sale, Grantee may execute and deliver to the purchaser a conveyance of the Property or
any part of the Property in fee simple, with full warranties of title and to this end, Grantor
hereby constitutes and appoints Grantee the agent and attorney-in-fact of Grantor to make such sale
and conveyance, and thereby to divest Grantor of all right, title and equity that Grantor may have
in and to the Property and to vest the same in the purchaser or purchasers at such sale or sales,
and all the acts and doings of said agent and attorney-in-fact are hereby ratified and confirmed
and any recitals in said conveyance or conveyances as to facts essential to a valid sale shall be
binding upon Grantor. The aforesaid power of sale and agency hereby granted are coupled with an
interest and are irrevocable by death or otherwise, are granted as cumulative of the other remedies
provided hereby or by law for collection of the Loans and other Obligations and shall not be
exhausted by one exercise thereof but may be exercised until full payment of all of the Loans and
other Obligations. In the event of any sale under this Deed to Secure Debt by virtue of the
exercise of the powers herein granted, or pursuant to any order in any judicial proceeding or
otherwise, the Property may be sold as an entirety or in separate parcels and in such manner or
order as Grantee in its sole discretion may elect, and if Grantee so elects, Grantee may sell the
personal property covered by this Deed to Secure Debt at one or more separate sales in any manner
permitted by the Code, and one or more exercises of the powers herein granted shall not extinguish
nor exhaust such powers, until the entire Property is sold or the Loans and other Obligations are
paid in full. Upon any foreclosure sale, Grantee may bid for and purchase the Property and shall be
entitled to apply all or any part of the Loans and other Obligations as a credit to the purchase
price. With respect to any notices required or permitted under the Code, Grantor agrees that ten
(10) days’ prior written notice shall be deemed commercially reasonable. At any such sale by virtue
of any judicial proceedings, power of sale, or any other legal right, remedy or recourse, the title
to and right of possession of any such property shall pass to the purchaser thereof, and to the
fullest extent permitted by law, Grantor shall be completely and irrevocably divested of all of its
right, title, interest, claim, equity, equity of redemption, and demand whatsoever, either at law
or in equity, in and to the property sold and such sale shall be a perpetual bar both at law and in
equity against Grantor, and against all other Persons claiming or to claim the property sold or any
part thereof, by, through or under Grantor. Grantee may be a purchaser at such sale and if Grantee
is the highest bidder, Grantee shall credit the portion of the purchase price that would be
distributed to Grantee against the Indebtedness in lieu of paying cash. In the event this Deed to
Secure Debt is foreclosed by judicial action, appraisement of the Property is waived; (e) make
application to a court of competent jurisdiction for, and obtain from such court as a matter of
strict right and without notice to Grantor or regard to the adequacy of the Property for the
repayment of the Indebtedness, the appointment of a receiver of the Property, and Grantor
irrevocably consents to such appointment. Any such receiver shall have all the usual powers and
duties of receivers in similar cases, including the full power to rent, maintain and otherwise
operate the Property upon such terms as may be approved by the court, and shall apply such Rents in
accordance with the provisions hereof; and/or (f) exercise all other rights, remedies and recourses
granted under the Loan Documents or otherwise available at law or in equity.

21. Separate Sales. The Property may be sold in one or more parcels and in such manner
and order as Grantee in its sole discretion may elect; the right of sale arising out of any Event
of Default shall not be exhausted by any one or more sales.

22. Remedies Cumulative, Concurrent and Nonexclusive. Grantee shall have all rights,
remedies and recourses granted in the Loan Documents and available at law or equity (including the
Code), which rights (a) shall be cumulated and concurrent, (b) may be pursued separately,
successively or concurrently against Grantor or others obligated under the Loan Documents, or
against the Property, or against any one or more of them, at the sole discretion of Grantee, (c)
may be exercised as often as occasion therefor shall arise, and the exercise or failure to exercise
any of them shall not be construed as a waiver or release thereof or of any other right, remedy or
recourse, and (d) are intended to be, and shall be, nonexclusive. No action by Grantee in the
enforcement of any rights, remedies or recourses under the Loan Documents or otherwise at law or
equity shall be deemed to cure any Event of Default.

23. Release of and Resort to Collateral. Grantee may release, regardless of
consideration and without the necessity for any notice to or consent by the holder of any
subordinate lien on the Property, any part of the Property without, as to the remainder, in any way
impairing, affecting, subordinating or releasing the lien, security title or security interest
created in or evidenced by the Loan Documents or their status as a first and prior lien, security
title and security interest in and to the Property. For payment of the Indebtedness, Grantee may
resort to any other security in such order and manner as Grantee may elect.

24. Waiver of Redemption, Notice and Marshalling of Assets. To the fullest extent
permitted by law, Grantor hereby irrevocably and unconditionally waives and releases (a) all
benefit that might accrue to Grantor by virtue of any present or future statute of limitations or
law or judicial decision exempting the Property from attachment, levy or sale on execution or
providing for any stay of execution, exemption from civil process, redemption or extension of time
for payment; (b) all notices of any Event of Default or of Grantee’s election to exercise or the
actual exercise of any right, remedy or recourse provided for under the Loan Documents; and (c) any
right to a marshalling of assets or a sale in inverse order of alienation.

25. Discontinuance of Proceedings. If Grantee shall have proceeded to invoke any
right, remedy or recourse permitted under the Loan Documents and shall thereafter have elected to
discontinue or abandon it for any reason, Grantee shall have the unqualified right to do so and, in
such an event, Grantor and Grantee shall be restored to their former positions with respect to the
Indebtedness, the Obligations, the Loan Documents, the Property and otherwise, and the rights,
remedies, recourses and powers of Grantee, if applicable, shall continue as if the right, remedy or
recourse had never been invoked, but no such discontinuance or abandonment shall waive any Event of
Default which may then exist or the right of Grantee thereafter to exercise any right, remedy or
recourse under the Loan Documents for such Event of Default.

26. Application of Proceeds. The proceeds of any sale or foreclosure of, and the Rents
and other amounts generated by holding, leasing, managing or otherwise operating or using the
Property or any portion thereof, shall be applied by Grantee (or the receiver, if one is appointed)
in the following order unless otherwise required by applicable law: (a) the payment of the costs
and expenses of taking possession of the Property and of holding, using, leasing, repairing,
improving and selling the same including, without limitation, receiver’s fees and expenses, court
costs, reasonable counsel fees and disbursements actually incurred and advertising costs and
expenses, real estate taxes and assessments, except any taxes, assessments or other costs and
charges incurred after the Property is sold; (b) the payment of all amounts (including interest),
other than the unpaid balance of the Loan and accrued but unpaid interest, which may be due to
Grantee under the Loan Documents; (c) to the payment of the Indebtedness and the performance of the
Obligations in such manner and order of preference as Grantee may determine; and (d) the balance,
if any, to the payment of the persons legally entitled thereto.

27. Occupancy after Foreclosure. Any sale of the Property or any part thereof will
divest all right, title and interest of Grantor in and to the property sold. Subject to applicable
law, any purchaser at a foreclosure sale will receive immediate possession of the property
purchased. If Grantor retains possession of such property or any part thereof subsequent to such
sale, Grantor will be considered a tenant at sufferance of the purchaser, and will, if Grantor
remains in possession after demand to remove, be subject to eviction and removal, forcible or
otherwise, with or without process of law.

28. Additional Advances and Disbursements; Costs of Enforcement. If any Event of
Default exists, Grantee shall have the right, but not the obligation, to cure such Event of Default
in the name and on behalf of the Borrower or the Grantor, as the case may be, in accordance with
this Deed to Secure Debt and the Loan Agreement. All sums advanced and expenses incurred at any
time by Grantee under this Section, or otherwise under this Deed to Secure Debt or any of the other
Loan Documents or applicable law, shall be so much additional Indebtedness and shall become
immediately due and payable upon demand by Grantee and with interest thereon from the date incurred
by Grantee until paid at the Default Rate, in addition to any other interest accruing on such
amount, as provided under this Deed to Secure Debt and the other Loan Documents, all limited by the
maximum rate permitted by law then in effect. Grantor shall pay all expenses (including reasonable
attorneys’ fees and expenses) of or incidental to the perfection and enforcement of this Deed to
Secure Debt and the other Loan Documents, or the enforcement, compromise or settlement of the
Indebtedness or any claim under this Deed to Secure Debt and the other Loan Documents, and for the
curing thereof, or for defending or asserting the rights and claims of Grantee in respect thereof,
by litigation or otherwise.

29. No Grantee in Possession. Neither the enforcement of any of the remedies under
this Section, the assignment of the Leases, Rents and collections under Section 12, the security
interests under Section 16, nor any other remedies afforded to Grantee under the Loan Documents, at
law or in equity shall cause Grantee to be deemed or construed to be a Grantee in possession of the
Property, to obligate Grantee to lease the Property or attempt to do so, or to take any action,
incur any expense, or perform or discharge any obligation, duty or liability whatsoever under any
of the Leases or otherwise.

30. Application of Income Received by Grantee. Grantee, in the exercise of the rights
and powers herein conferred upon it, shall have full power to use and apply the avails, rents,
issues and profits of the Property to the payment of or on account of the following, in such order
as Grantee may determine:

(a) to the payment of the operating expenses of the Property, including cost of
management and leasing thereof (which shall include compensation to Grantee and its agent or
agents, if management be delegated to an agent or agents, and shall also include lease
commissions and other compensation and expenses of seeking and procuring tenants and
entering into leases), established claims for damages, if any, and premiums on insurance
hereinabove authorized;

(b) to the payment of taxes and special assessments now due or which may hereafter
become due on the Property; and

(c) to the payment of any Indebtedness, including any deficiency which may result from
any foreclosure sale.

31. Compliance with Applicable Law.

(a) If any provision in this Deed to Secure Debt shall be inconsistent with provisions
of any applicable foreclosure law in effect in the State of Georgia (the “Foreclosure Law”),
provisions of such statutes shall take precedence over the provisions of this Deed to Secure
Debt, but shall not invalidate or render unenforceable any other provision of this Deed to
Secure Debt that can be construed in a manner consistent with the Foreclosure Law.

(b) If any provision of this Deed to Secure Debt shall grant to Grantee (including
Grantee acting as a Grantee-in-possession) or a receiver appointed pursuant to the
applicable provisions of this Deed to Secure Debt any powers, rights or remedies prior to,
upon or following the occurrence of an Event of Default which are more limited than the
powers, rights or remedies that would otherwise be vested in Grantee or in such receiver
under the Foreclosure Law in the absence of said provision, Grantee and such receiver shall
be vested with the powers, rights and remedies granted under the Foreclosure Law to the full
extent permitted by law.

(c) Without limiting the generality of the foregoing, all expenses incurred by Grantee
for attorneys’ fees or any and all expenses related to carrying out any foreclosure action,
whether incurred before or after any decree or judgment of foreclosure, and whether or not
enumerated in this Deed to Secure Debt, shall be added to the Indebtedness and/or by the
judgment of foreclosure.

32. Rights Cumulative. Each right, power and remedy herein conferred upon Grantee is
cumulative and in addition to every other right, power or remedy, express or implied, given now or
hereafter existing under any of the Loan Documents or at law or in equity, and each and every
right, power and remedy herein set forth or otherwise so existing may be exercised from time to
time as often and in such order as may be deemed expedient by Grantee, and the exercise or the
beginning of the exercise of one right, power or remedy shall not be a waiver of the right to
exercise at the same time or thereafter any other right, power or remedy, and no delay or omission
of Grantee in the exercise of any right, power or remedy accruing hereunder or arising otherwise
shall impair any such right, power or remedy, or be construed to be a waiver of any Event of
Default or acquiescence therein.

33. Grantee’s Right of Inspection. Grantee and its representatives shall have the
right to inspect the Property and the books and records with respect thereto at all reasonable
times upon advance notice to Grantor, and access thereto, subject to the rights of tenants in
possession, shall be permitted for that purpose.

34. Release upon Payment and Discharge of Grantor’s Obligations. Grantee shall
release this Deed to Secure Debt and the lien hereof by proper instrument upon payment and
discharge of all Indebtedness, including payment of all reasonable expenses incurred by Grantee in
connection with the execution of such release.

35. Notices. Except as otherwise provided herein, the Grantor waives all notices and
demands in connection with the enforcement of the Grantee’s rights hereunder. All notices,
requests, demands and other communications provided for hereunder shall be in writing, addressed as
follows, and (a) by United States first class mail, postage prepaid, (b) by personal delivery, or
(c) by overnight delivery by a nationally recognized courier, sent by certified or registered mail,
postage prepaid, by facsimile, telegram or delivered in person:

	 	 	 
	If to Grantee:
	 	Siemens Financial Services, Inc.

170 Wood Avenue South

Iselin, New Jersey 08830

Attention: Richard McNally

Facsimile: (610) 219.9766

	with a copy to:
	 	McGuireWoods LLP

77 West Wacker Drive

Suite 4100

Chicago, Illinois 60601

Attention: Donald A. Ensing

Facsimile: (312) 849-8111

	If to Grantor:
	 	G&E HC REIT II Athens LTACH, LLC

1551 Tustin Avenue, Suite 300

Santa Ana, California 92705

Attention: Shannon Johnson

Facsimile: (714) 667.0611

	with a copy to:
	 	Arnall Golden Gregory LLP

171 17th Street NW, Suite 2100

Atlanta, Georgia 30363

Attention: Steven A. Kaye

Facsimile: (404) 873-8169

or, as to each party, at such other address as shall be designated by such party in a written
notice to each other party complying as to delivery with the terms of this subsection. No notice to
or demand on Grantor in any case shall entitle Grantor to any other or further notice or demand in
similar or other circumstances. The address provided above for Grantor is also the mailing address
of Grantor as debtor under the Code. The address provided above for Grantee is the address for
Grantee as secured party under the Code.

36. Waiver of Rights. Grantor hereby covenants and agrees that it will not at any
time insist upon or plead, or in any manner claim or take any advantage of, any stay, exemption or
extension law or any so-called “Moratorium Law” now or at any time hereafter in force providing for
the valuation or appraisement of the Property, or any part thereof, prior to any sale or sales
thereof to be made pursuant to any provisions herein contained, or to decree, judgment or order of
any court of competent jurisdiction; or, after such sale or sales, claim or exercise any rights
under any statute now or hereafter in force to redeem the property so sold, or any part thereof, or
relating to the marshalling thereof, upon foreclosure sale or other enforcement hereof; and without
limiting the foregoing:

(a) Grantor hereby wholly waives, on its own behalf and on behalf of each and every
person, the period of redemption and any and all rights of reinstatement and redemption of
any of the Premises after sale under this Deed to Secure Debt, or sale upon foreclosure of
this Deed to Secure Debt, as provided under any law of the State of Georgia now or hereafter
in effect;

(b) Grantor will not invoke or utilize any such law or laws or otherwise hinder, delay
or impede the execution of any right, power remedy herein or otherwise granted or delegated
to Grantee but will suffer and permit the execution of every such right, power and remedy as
though no such law or laws had been made or enacted; and

(c) If Grantor is a trustee, Grantor represents that the provisions of this Section
(including the waiver of reinstatement and redemption rights) were made at the express
direction of Grantor’s beneficiaries and the persons having the power of direction over
Grantor, and are made on behalf of the trust estate of Grantor and all beneficiaries of
Grantor, as well as all other persons mentioned above.

37. Contests. Notwithstanding anything to the contrary herein contained, Grantor
shall have the right to contest by appropriate legal proceedings diligently prosecuted any Taxes
imposed or assessed upon the Property or which may be or become a lien thereon and any mechanics’,
materialmen’s or other liens or claims for lien upon the Property (all herein called “Contested
Liens”), and no Contested Liens shall constitute an Event of Default hereunder, if, but only if:

(a) Grantor shall forthwith give notice of any Contested Lien to Grantee at the time
the same shall be asserted;

(b) Grantor shall either pay under protest or deposit with Grantee the full amount
(herein called “Lien Amount”) of such Contested Lien, together with such amount as Grantee
may reasonably estimate as interest or penalties which might arise during the period of
contest; provided that in lieu of such payment Grantor may furnish to Grantee a bond or
title indemnity in such amount and form, and issued by a bond or title insuring company, as
may be satisfactory to Grantee;

(c) Grantor shall diligently prosecute the contest of any Contested Lien by appropriate
legal proceedings having the effect of staying the foreclosure or forfeiture of the
Property, and shall permit Grantee to be represented in any such contest and shall pay all
expenses incurred, in so doing, including fees and expenses of Grantee’s counsel (all of
which shall constitute so much additional Indebtedness bearing interest at the Default Rate,
in addition to any other interest accruing on such amount, as provided under this Deed to
Secure Debt and the other Loan Documents, all limited by the maximum rate permitted by law
then in effect, until paid, and payable upon demand);

(d) Grantor shall pay such Contested Lien and all Lien Amounts together with interest
and penalties thereon (i) if and to the extent that any such Contested Lien shall be
determined adverse to Grantor, or (ii) forthwith upon demand by Grantee if, in the opinion
of Grantee, and notwithstanding any such contest, the Property shall be in jeopardy or in
danger of being forfeited or foreclosed; provided that if Grantor shall fail so to do,
Grantee may, but shall not be required to, pay all such Contested Liens and Lien Amounts and
interest and penalties thereon and such other sums as may be necessary in the judgment of
the Grantee to obtain the release and discharge of such liens; and any amount expended by
Grantee in so doing shall be so much additional Indebtedness bearing interest at the Default
Rate, in addition to any other interest accruing on such amount, as provided under this Deed
to Secure Debt and the other Loan Documents, all limited by the maximum rate permitted by
law then in effect, until paid, and payable upon demand; and provided further that Grantee
may in such case use and apply monies deposited as provided in subsection (b) above and may
demand payment upon any bond or title indemnity furnished as aforesaid.

38. Expenses Relating to Note and Deed to Secure Debt.

(a) Grantor will pay all expenses, charges, costs and fees relating to the Loan or
necessitated by the terms of the Note, this Deed to Secure Debt or any of the other Loan
Documents, including without limitation, Grantee’s reasonable attorneys’ fees in connection
with the negotiation, documentation, administration, servicing and enforcement of the Note,
this Deed to Secure Debt and the other Loan Documents, all filing, registration and
recording fees, all other expenses incident to the execution and acknowledgment of this Deed
to Secure Debt and all federal, state, county and municipal taxes, and other taxes (provided
Grantor shall not be required to pay any income or franchise taxes of Grantee), duties,
imposts, assessments and charges arising out of or in connection with the execution and
delivery of the Note and this Deed to Secure Debt. Grantor recognizes that, during the term
of this Deed to Secure Debt, Grantee:

(i) May be involved in court or administrative proceedings, including, without
restricting the foregoing, foreclosure, probate, bankruptcy, creditors’
arrangements, insolvency, housing authority and pollution control proceedings of any
kind, to which Grantee shall be a party by reason of the Loan Documents or in which
the Loan Documents or the Property are involved directly or indirectly;

(ii) May make preparations following the occurrence of an Event of Default
hereunder for the commencement of any suit for the foreclosure hereof, which may or
may not be actually commenced;

(iii) May make preparations following the occurrence of an Event of Default
hereunder for, and do work in connection with, Grantee’s taking possession of and
managing the Property, which event may or may not actually occur;

(iv) May make preparations for and commence other private or public actions to
remedy an Event of Default hereunder, which other actions may or may not be actually
commenced;

(v) May enter into negotiations with Grantor or any of its agents, employees or
attorneys in connection with the existence or curing of any Event of Default
hereunder, the sale of the Property, the assumption of liability for any of the
Indebtedness or the transfer of the Property in lieu of foreclosure; and

(vi) May enter into negotiations with Grantor or any of its agents, employees
or attorneys pertaining to Grantee’s approval of actions taken or proposed to be
taken by Grantor which approval is required by the terms of this Deed to Secure
Debt.

(b) All expenses, charges, costs and fees described in this Section 38 shall be so much
additional Indebtedness, shall bear interest from the date so incurred until paid at the
Default Rate, in addition to any other interest accruing on such amount, as provided under
this Deed to Secure Debt and the other Loan Documents, all limited by the maximum rate
permitted by law then in effect, and shall be paid, together with said interest, by Grantor
forthwith upon demand.

39. Statement of Indebtedness. Grantor, within seven (7) days after being so
requested by Grantee, shall furnish a duly acknowledged written statement setting forth the amount
of the Indebtedness secured by this Deed to Secure Debt, the date to which interest has been paid
and stating either that no offsets or defenses exist against such debt or, if such offsets or
defenses are alleged to exist, the nature thereof.

40. Further Instruments. Upon request of Grantee, Grantor shall execute, acknowledge
and deliver all such additional instruments and further assurances of title and shall do or cause
to be done all such further acts and things as may reasonably be necessary fully to effectuate the
intent of this Deed to Secure Debt and of the other Loan Documents.

41. Additional Indebtedness Secured. All persons and entities with any interest in
the Property or about to acquire any such interest should be aware that, until the irrevocable
payment in full of the Indebtedness, this Deed to Secure Debt secures more than the stated
principal amount of the Note and interest thereon; until the irrevocable payment in full thereof or
so long as such obligations remain outstanding, as applicable, this Deed to Secure Debt secures the
Guaranty Obligations and any and all other amounts which may become due under the Note or any other
document or instrument evidencing, securing or otherwise affecting the Indebtedness, including,
without limitation, any and all amounts expended by Grantee to operate, manage, or maintain the
Property or to otherwise protect the Property or the lien of this Deed to Secure Debt. Any
disbursements which Grantee may make under this Deed to Secure Debt, the Note, the other Loan
Documents, or any other document with respect hereto (e.g., for payment of taxes, insurance
premiums or other advances to protect Grantee’s liens and security interests, as permitted hereby)
shall be additional Indebtedness secured hereby. This Deed to Secure Debt is intended to and shall
be valid and have priority over all subsequent liens and encumbrances, including statutory liens,
excepting solely taxes and assessments levied on the real estate, to the extent of the maximum
amount secured hereby.

42. Indemnity. Grantor hereby covenants and agrees that no liability shall be
asserted or enforced against Grantee in the exercise of the rights and powers granted to Grantee in
this Deed to Secure Debt, and Grantor hereby expressly waives and releases any such liability.
Grantor shall indemnify and save Grantee harmless from and against any and all liabilities,
obligations, losses, damages, claims, costs and expenses (including reasonable attorneys’ fees and
court costs) (collectively, “Claims”) of whatever kind or nature which may be imposed on, incurred
by or asserted against Grantee at any time by any third party which relate to or arise from:
(a) any suit or proceeding (including probate and bankruptcy proceedings), or the threat thereof,
in or to which Grantee may or does become a party, either as plaintiff or as a defendant, by reason
of this Deed to Secure Debt or for the purpose of protecting the lien of this Deed to Secure Debt;
(b) the offer for sale or sale of all or any portion of the Property; and (c) the ownership,
leasing, use, operation or maintenance of the Property, if such Claims relate to or arise from
actions taken prior to the surrender of possession of the Property to Grantee in accordance with
the terms of this Deed to Secure Debt; provided, however, that Grantor shall not be obligated to
indemnify or hold Grantee harmless from and against any Claims directly arising from the gross
negligence or willful misconduct of Grantee. All costs provided for herein and paid for by Grantee
shall be so much additional Indebtedness and shall become immediately due and payable upon demand
by Grantee and with interest thereon from the date incurred by Grantee until paid at the Default
Rate, in addition to any other interest accruing on such amount, as provided under this Deed to
Secure Debt and the other Loan Documents, all limited by the maximum rate permitted by law then in
effect. Notwithstanding the foregoing, Grantor shall not indemnify Grantee for any liability
incurred or based solely on the intentional misconduct of Grantee.

43. Compliance with Environmental Laws. Grantor acknowledges that concurrently
herewith the Borrowers and the Parent Guarantor have executed and delivered to Grantee an
Environmental Indemnification Agreement (as amended, modified, or supplemented from time to time,
the “Indemnity”) pursuant to which the Borrowers and the Parent Guarantor have, jointly and
severally, fully indemnified Grantee for certain environmental matters concerning the Property, as
more particularly described therein. The provisions of the Indemnity are hereby incorporated herein
and this Deed to Secure Debt shall secure the obligations of Grantor thereunder. Grantor agrees to
abide by all of the provisions of the Indemnity.

44. Subordination of Property Manager’s Lien. Any property management agreement for
the Property entered into hereafter with a property manager shall contain a provision whereby the
property manager agrees that any and all mechanics’ lien rights that the property manager or anyone
claiming by, through or under the property manager may have in the Property shall be subject and
subordinate to the lien of this Deed to Secure Debt and shall provide that Grantee may terminate
such agreement, without penalty or cost, at any time after the occurrence of an Event of Default
hereunder. Such property management agreement or a short form thereof, at Grantee’s request, shall
be recorded with the Recorder of Deeds of the county where the Property is located. In addition, if
any property management agreement in existence as of the date hereof does not contain a
subordination provision, Grantor shall cause the property manager under such agreement to enter
into a subordination of the property management agreement with Grantee, in recordable form, whereby
such property manager subordinates present and future lien rights and those of any party claiming
by, through or under such property manager to the lien of this Deed to Secure Debt.

45. Miscellaneous

(a) Successors and Assigns. This Deed to Secure Debt and all provisions hereof
shall be binding upon and enforceable against Grantor and its assigns and other successors.
This Deed to Secure Debt and all provisions hereof shall inure to the benefit of Grantee,
its successors and assigns and any holder or holders, from time to time, of the Note.

(b) Invalidity of Provisions. In the event that any provision of this Deed to
Secure Debt is deemed to be invalid by reason of the operation of law, or by reason of the
interpretation placed thereon by any administrative agency or any court, Grantor and Grantee
shall negotiate an equitable adjustment in the provisions of the same in order to effect, to
the maximum extent permitted by law, the purpose of this Deed to Secure Debt and the
validity and enforceability of the remaining provisions, or portions or applications
thereof, shall not be affected thereby and shall remain in full force and effect.

(c) Municipal Requirements. Grantor shall not by act or omission permit any
building or other improvement on property not subject to the lien of this Deed to Secure
Debt to rely on the Property or any part thereof or any interest therein to fulfill any
municipal or governmental requirement, and Grantor hereby assigns to Grantee any and all
rights to give consent for all or any portion of the Property or any interest therein to be
so used. Similarly, no building or other improvement on the Property shall rely on any
property not subject to the lien of this Deed to Secure Debt or any interest therein to
fulfill any governmental or municipal requirement. Any act or omission by Grantor which
would result in a violation of any of the provisions of this subsection shall be void.

(d) Option of Grantee to Subordinate. At the option of Grantee, this Deed to
Secure Debt shall become subject and subordinate, in whole or in part (but not with respect
to priority of entitlement to insurance proceeds or any condemnation or eminent domain
award) to any and all leases of all or any part of the Property upon the execution by
Grantee of a unilateral declaration to that effect and the recording thereof in the Office
of the Recorder of Deeds in and for the county wherein the Property is situated.

(e) Grantee-in-Possession. Nothing contained herein or in any of the other Loan
Documents shall be construed as constituting Grantee a Grantee-in-possession in the absence
of the actual taking of possession of the Property by Grantee pursuant to this Deed to
Secure Debt.

(f) Relationship of Grantee and Grantor. Grantee shall in no event be construed
for any purpose to be a partner, joint venturer, agent or associate of Grantor or of any
lessee, operator, concessionaire or licensee of Grantor in the conduct of their respective
businesses, and, without limiting the foregoing, Grantee shall not be deemed to be such
partner, joint venturer, agent or associate on account of Grantee becoming a
Grantee-in-possession or exercising any rights pursuant to this Deed to Secure Debt, any of
the other Loan Documents, or otherwise. The relationship of Grantor and Grantee hereunder is
solely that of debtor/creditor.

(g) Time of the Essence. Time is of the essence of the payment by the Borrowers
and the other Obligors of all amounts due and owing to Grantee under the Note and the other
Loan Documents and the performance and observance by Grantor of all terms, conditions,
obligations and agreements contained in this Deed to Secure Debt and the other Loan
Documents.

(h) No Merger. The parties hereto intend that the Deed to Secure Debt and the
lien hereof shall not merge in fee simple title to the Property, and if Grantee acquires any
additional or other interest in or to the Property or the ownership thereof, then, unless a
contrary intent is manifested by Grantee as evidenced by an express statement to that effect
in an appropriate document duly recorded, this Deed to Secure Debt and the lien hereof shall
not merge in the fee simple title and this Deed to Secure Debt may be foreclosed as if owned
by a stranger to the fee simple title.

(i) Maximum Indebtedness. Notwithstanding anything contained herein to the
contrary, in no event shall the Indebtedness exceed an amount equal to $50,000,000.00;
provided, however, in no event shall Grantee be obligated to advance funds in excess of the
face amount of the Note.

(j) Governing Law; Jurisdiction and Venue. THIS DEED TO SECURE DEBT SHALL BE
GOVERNED AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING
EFFECT TO THE PRINCIPLES OF CONFLICT OF LAWS THEREOF, EXCEPT TO THE EXTENT REQUIRED BY THE
LAWS OF THE STATE IN WHICH THE LAND IS LOCATED (THE “LAND STATE”). THE LAWS OF THE LAND
STATE SHALL GOVERN THE DETERMINATION OF WHETHER THIS DEED TO SECURE DEBT TRANSFERS OR
CONVEYS AN INTEREST IN THE LAND AND FIXTURES, THE LAWS AND RENTS AND SUCH OTHER PORTIONS OF
THE PROPERTY AS ARE NECESSARILY GOVERNED BY THE LAND STATE. TO INDUCE GRANTEE TO ACCEPT THE
NOTE, GRANTOR IRREVOCABLY AGREES THAT, SUBJECT TO GRANTEE’S SOLE AND ABSOLUTE ELECTION,
ACTIONS OR PROCEEDINGS RELATING DIRECTLY OR INDIRECTLY TO THIS DEED TO SECURE DEBT OR THE
TRANSACTIONS CONTEMPLATED HEREBY MAY BE LITIGATED IN THE FEDERAL, STATE OR LOCAL COURTS
SITTING IN OR FOR THE COUNTY OF MIDDLESEX, NEW JERSEY, AND HEREBY SUBMIT TO THE
NON-EXCLUSIVE JURISDICTION OF SUCH COURTS. GRANTOR AND GRANTEE ACKNOWLEDGE THAT SUCH COURTS
ARE CONVENIENT FORUMS AND WAIVE ANY DEFENSE BASED UPON DOCTRINES OF VENUE OR FORUM
NON-CONVENIENS OR SIMILAR RULES OR DOCTRINES. GRANTOR HEREBY WAIVES PERSONAL SERVICE OF
PROCESS UPON GRANTOR, AND AGREES THAT ALL SUCH SERVICE OF PROCESS MAY BE MADE BY REGISTERED
MAIL DIRECTED TO GRANTOR AT THE ADDRESS STATED HEREIN AND SERVICE SO MADE WILL BE DEEMED TO
BE COMPLETED UPON ACTUAL RECEIPT.

(k) Waiver of Jury Trial. TO THE EXTENT PERMITTED BY LAW, GRANTOR AND GRANTEE
(BY ACCEPTANCE HEREOF), HAVING BEEN REPRESENTED BY COUNSEL, EACH KNOWINGLY AND VOLUNTARILY
(A) WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY
RIGHTS UNDER THIS DEED TO SECURE DEBT OR ANY RELATED AGREEMENT OR UNDER ANY AMENDMENT,
INSTRUMENT, DOCUMENT OR AGREEMENT DELIVERED OR WHICH MAY IN THE FUTURE BE DELIVERED IN
CONNECTION WITH THIS DEED TO SECURE DEBT, AND (B) AGREES THAT ANY SUCH ACTION OR PROCEEDING
WILL BE TRIED BEFORE A COURT AND NOT BEFORE A JURY. GRANTOR AGREES THAT IT WILL NOT ASSERT
ANY CLAIM AGAINST GRANTEE OR ANY OTHER PERSON INDEMNIFIED UNDER THIS DEED TO SECURE DEBT,
THE INDEMNITY, OR ANY OF THE OTHER LOAN DOCUMENTS ON ANY THEORY OF LIABILITY FOR SPECIAL,
INDIRECT, CONSEQUENTIAL, INCIDENTAL OR PUNITIVE DAMAGES.

(l) Complete Agreement. This Deed to Secure Debt, the Loan Agreement, the Note
and the other Loan Documents constitute the complete agreement between the parties with
respect to the subject matter hereof and this Deed to Secure Debt may not be modified,
altered or amended except by an agreement in writing signed by both Grantor and Grantee.

(m) Remedies against Other Collateral. Grantor hereby acknowledges that certain
Loan Documents other than this Deed to Secure Debt create liens on collateral located in
counties or states other than the counties and state in which the Property is located.
Grantor further acknowledges that this Deed to Secure Debt and the other Loan Documents are
cross-defaulted and the Loan secured hereby is also secured by the other Loan Documents.
Grantor agrees that Grantee may proceed, at the same or at different times, to foreclose any
or all liens against such collateral (or sell such collateral under power of sale) by any
proceedings appropriate in the county and state where such collateral lies, and that no
event of enforcement taking place in any county or state pursuant to any of the Loan
Documents shall preclude or bar enforcement in any other county or state. Any foreclosure or
other appropriate remedy brought in any county or state in which collateral is located may
be brought and prosecuted as to any part of such collateral without regard to the fact that
foreclosure proceedings or other appropriate remedies have or have not been instituted
elsewhere on any other part of the collateral for the Loan.

(n) No Oral Agreements. As used in this Section, the term “this writing” is
deemed to include this Deed to Secure Debt, the other Loan Documents, and all other
documents, agreements and instruments evidencing, securing or supporting the debt evidenced
by the Loan Documents.

[SIGNATURE PAGE FOLLOWS]

IN WITNESS WHEREOF, Grantor has duly executed and delivered this Deed to Secure Debt
under seal as of the date first above written.

“GRANTOR”:

G&E HC REIT II ATHEN LTACH, LLC,

a Delaware limited liability company

By: G&E HC REIT II MONUMENT LTACH PORTFOLIO, LLC

Its: Sole Managing Member

By: GRUBB & ELLIS HEALTHCARE REIT II HOLDINGS, LP

Its: Sole Managing Member

By: GRUBB & ELLIS HEALTHCARE REIT II, INC.

Its: General Partner

By: /s/ Shannon K S Johnson

Name: Shannon K S Johnson

Title: Chief Financial Officer

Date: May 13, 2011

Signed, sealed and delivered

in the presence of:

/s/ Rex Morishita

Rex Morishita

/s/ P.C. Han

P.C. Han

Notary Public

My Commission Expires: June 25, 2011

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00190-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00190-of-00352.parquet"}]]