Document:

Exhibit 10.5

SENIOR MEZZANINE PLEDGE AND SECURITY
AGREEMENT

THIS SENIOR
MEZZANINE PLEDGE AND SECURITY AGREEMENT (this “Agreement”),
dated as of September 29, 2006, made by SW 109 Wagon Wheel SM LLC, a Delaware
limited liability company (“Pledgor”), and
Behringer Harvard Alexan Nevada, LLC, a Delaware limited liability company
(together with its successors and assigns, “Lender”).

RECITALS

A.                                   Lender
has agreed to make a loan (the “Loan”) to
Pledgor in the original principal amount of Six Million Nine Hundred Thousand
Dollars ($6,900,000) pursuant to the terms of that certain Loan Agreement,
dated of even date herewith, between Pledgor and Lender (herein, as the same
may be amended or restated from time to time, the “Loan
Agreement”); and

B.                                     Pledgor
is the sole member and the legal and beneficial owner of one hundred percent
(100%) of the membership interests in SW 106 Wagon Wheel Holdings LLC, a
Delaware limited liability company (the “Mortgagor”),
which is the owner in fee simple of the Property (as defined in the Loan
Agreement); and

C.                                     One
of the conditions precedent to the Lender’s making of the Loan under the Loan
Agreement is Pledgor’s execution and delivery of this Agreement; and

D.                                    Pledgor
and Mortgagor shall derive substantial direct and indirect benefits from the
Loan.

NOW, THEREFORE,
for and in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the parties agree
as follows:

1.                                       Recitals;
Definitions. The recitals set forth above are true and correct and are
incorporated herein by reference. Capitalized terms not defined herein but
which are defined in the Uniform Commercial Code as in effect from time to time
in the State of Nevada (the “UCC”) shall
have the meanings given them in Article 8 or Article 9, as applicable, thereof.
Other capitalized terms used but not defined herein shall have the meaning
ascribed to such term in the Loan Agreement, in each case unless the context
clearly requires otherwise.

2.                                       Pledge.

(a)                                  Grant
of Security Interest. As collateral security for the Indebtedness and the
performance of all obligations under the Loan Documents, Pledgor presently and
irrevocably pledges, hypothecates, assigns, delivers and transfers to the
Lender, and grants to the Lender a continuing first priority security interest
in, all of its right, title and interest in and under the following property
(collectively, the “Collateral”)
whether now owned or hereafter acquired or coming into existence:

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(i)                                     all
of Pledgor’s right, title and interest, whether direct or indirect, whether
legal, beneficial or economic, and whether fixed or contingent, (i) as the sole member in and to the Mortgagor, including, without
limitation, Pledgor’s right to vote on Mortgagor matters and Pledgor’s rights,
now existing or hereafter arising or acquired, to receive from time to time its
share of profits, losses, income surplus, return of capital, proceeds, fees,
preferences, payments or distributions from Mortgagor (Pledged
Interest”);

(ii)                                  all
Instruments, certificates, or other writings evidencing Pledgor’s Pledged
Interest;

(iii)                               all
of Pledgor’s right, title and interest in, to and under that certain Operating
Agreement, dated as of August 28, 2006, executed by
Pledgor (as amended in accordance with the terms of the Loan Agreement, the “Operating Agreement”) and the other
organizational documents of Mortgagor;

(iv)                              all
of Pledgor’s right, title and interest in, to and under all General Intangibles
relating to or arising out of any of the foregoing; and

(v)                                 all
Proceeds of any of the foregoing.

(b)                                 Security
for Obligations. This Agreement secures (i) the Indebtedness and (ii) all
obligations of Pledgor under the Loan Agreement, the Note and all of the other
Loan Documents (collectively, the “Secured Obligations”).

(c)                                  Perfection
of Security Interest. In furtherance of the grant of the pledge and
security interest pursuant to Section 2(a) above, Pledgor hereby agrees
with Lender as follows:

(i)                                     If
the Pledged Interest is not currently represented or evidenced by certificates
or Instruments, Pledgor shall, upon the execution of this Agreement (A) cause
the Mortgagor to create a registration book for the registration of all
ownership interests in Mortgagor and cause Mortgagor to register in such book
Pledgor’s pledge of the Pledged Interest to Lender together with the notation
that all distributions are to be disbursed to Lender as required under this
Agreement, and (B) cause the Mortgagor to agree to comply with any and all
unilateral directions and other Instructions from Lender concerning such
Pledged Interest given in accordance with this Agreement, without any further
consent of (or regardless of contrary instructions of) Pledgor or any other
person.

(ii)                                  Concurrently
with the execution and delivery of this Agreement, Pledgor is delivering to
Lender an assignment of membership interest in blank (the “Assignment
of Interest”), in the form set

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forth
on Exhibit A hereto, for the Pledged Interest, transferring all of the
Pledged Interest in blank, duly executed by Pledgor and undated. Lender shall
have the right, at any time in its discretion upon the occurrence and during
the continuance of an Event of Default pursuant to Section 6(a) below,
to transfer to, and to designate on the Assignment of Interest, any Person to
whom the Pledged Interest is sold in accordance with the provisions hereof.

(iii)                               To
the extent the Pledged Interest hereafter is represented or evidenced by
certificates, Instruments or other writings (other than the Operating
Agreement) whether in bearer or registered form, Pledgor shall within three (3)
days of receipt of any such certificates, Instruments or other writings
(A) deliver to Lender such certificates, Instruments or other writings, as
applicable and (B) deliver to Lender all necessary powers, instruments of
transfer or assignment, each undated and duly executed in blank.

(iv)                              Regardless
of whether the Collateral is represented or evidenced by certificates,
Instruments or other writings, Pledgor shall do all other acts and deliver such
other documents, and cause Mortgagor to do the same, as Lender reasonably deems
necessary or desirable (or as are otherwise required by the laws of the
jurisdiction governing perfection, the effect of perfection or nonperfection or
the priority of Lender’s security interest) in order to perfect such security
interest in the Collateral. In furtherance of the foregoing, Pledgor hereby
authorizes Lender to file such UCC financing statements against Pledgor as
Lender shall deem necessary or desirable containing a description of the
Collateral pledged by Pledgor sufficient to satisfy the requirements of Article
9 of the UCC (the “UCC Financing Statements”).

(d)                                 Continuing
Security Interest. This Agreement shall create a continuing security
interest in the Collateral and shall remain in full force and effect until
payment in full of all Indebtedness. Upon the payment in full of all
Indebtedness, the security interests granted herein shall terminate and all
rights to the Collateral shall revert to Pledgor. Upon any such termination,
the Lender shall, at Pledgor’s sole expense, deliver to Pledgor, without any
representations, warranties or recourse of any kind whatsoever, all
certificates, Instruments and other writings representing or evidencing all
Collateral then held by the Lender hereunder, if any, and execute and deliver
to Pledgor such documents as Pledgor shall reasonably request to evidence such
termination.

3.                                       Representations
and Warranties. As of the date hereof Pledgor represents and warrants as
follows:

(a)                                  Organization;
Authorization. Pledgor is a limited liability company which
has been duly formed and is validly existing and in good standing under the
laws of the State of Delaware and is qualified to do business in the State of
Nevada. Pledgor has full

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limited
liability company power and authority to execute this Agreement and to
undertake and consummate the transactions contemplated hereby. This Agreement
has been duly and validly executed by or on behalf of Pledgor and constitutes
the legal, valid and binding obligation of Pledgor and is enforceable against
Pledgor in accordance with its terms, subject, as to enforceability, to the
effect of applicable bankruptcy, insolvency and other similar laws limiting the
enforcement of creditors’ rights generally and to general principles of equity.

(b)                                 Agreement
Will Cause No Defaults. The execution, delivery and performance of this
Agreement by Pledgor does not and will not violate, or contravene (i) any term
or provision of the organizational documents of Pledgor or any resolution or
vote of Pledgor, (ii) any existing license, indenture or other material
contract or agreement binding upon Pledgor or (iii) any existing law, statute,
regulation, order, decree or judgment applicable to Pledgor or its property.

(c)                                  Ownership,
No Liens, etc. Pledgor is the legal, record and beneficial owner of, and
has good and marketable title to the Collateral in which it grants a security
interest to Lender under this Agreement, free and clear of all liens, security
interests, options or other charges or encumbrances, other than the security
interest granted pursuant hereto. Pledgor is the sole member of Mortgagor.

(d)                                 As
to Pledged Interest. The Pledged Interest is duly authorized and validly
issued, and are fully paid and non-assessable and constitute all of the issued
and outstanding membership interests in Mortgagor. The Pledged Interest (i) is
not “financial assets” (within the meaning of Section 8-102(a)(9) of the UCC)
and (ii) is not credited to a “securities account”  within the meaning of Section 8-501(a) of the
UCC.

(e)                                  Perfection.
Upon the filing of the UCC Financing Statements referred to in Section
2(c)(iv), the security interest granted
pursuant to this Agreement will constitute a valid, perfected first priority
security interest in the Collateral and related proceeds, enforceable against
all creditors of Pledgor and any persons purporting to purchase any Collateral
or receive any related proceeds from Pledgor, subject to the limitations in the
UCC.

(f)                                    Authorization,
Approval, etc. No authorization, approval, or other action by, and no
notice to or filing with, any governmental authority, regulatory body or any
other person is required either:

(i)                                     for
the execution, delivery, and performance of this Agreement by Pledgor (other
than any authorizations and approvals that have already been received or
actions that have already been taken), or

(ii)                                  for
the exercise by the Lender of (1) the voting and other rights provided for in
this Agreement or (2) except as may be required in connection with a
disposition of the Pledged Interest by laws relating to the offering and sale
of securities generally, the

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remedies provided for in respect of the Collateral
pursuant to this Agreement.

4.                                       Covenants.

(a)                                  Protect
Collateral. Pledgor agrees that it will own at all times during the term of
the Loan one hundred percent (100%) of the ownership interests in Mortgagor.
Pledgor agrees that it shall not sell, assign, transfer, pledge or encumber in
any other manner the Collateral (except for the pledge to Lender hereunder or
an assignment to Lender or its designee pursuant to the Assignment of
Membership Interests). Pledgor shall warrant and, at Pledgor’s expense, defend
the right and title herein granted unto the Lender in and to the Collateral (and
all right, title and interest represented by the Collateral) against the claims
and demands of all persons whomsoever.

(b)                                 Further
Assurances. Pledgor shall, at Pledgor’s expense (i) promptly execute and
deliver, and cause the Mortgagor to promptly execute and deliver, all further
writings (including instruments of transfer or control) reasonably requested by
Lender, and (ii) promptly take all further action, and cause the Mortgagor to
promptly take all further action, that the Lender may reasonably request; in
each case, in order to perfect and protect and maintain the perfection and
priority of any security interest granted or purported to be granted hereby or
to enable the Lender to exercise and enforce its rights and remedies hereunder
with respect to any Collateral, including the rights and remedies under Section
7(b).

(c)                                  Organizational
Documents. Pledgor agrees that it shall not amend or restate the operating
agreement or certificate of formation of Mortgagor without Lender’s consent
including but not limited to changing the location of its principal place of
business or chief executive office, its name or reorganizing under the laws of
another jurisdiction.

(d)                                 Consents.
Pledgor shall execute and deliver to Lender, upon its request at the time Lender
exercises its remedies, any document required under the organizational
documents of Pledgor or otherwise reasonably deemed necessary by Lender in
order to evidence Pledgor’s consent to the Lender’s exercising of its remedies
under this Agreement, including those set forth in Section 7(a) hereof
wherein Lender becomes the record, legal and beneficial owner of the Collateral
pledged under this Agreement.

(e)                                  Pledged
Interest. The Pledged Interest (i) will not become “financial assets”
(within the meaning of Section 8-101(a)(9) of the UCC) and (ii) will not be
credited to a “securities account” (within the meaning of Section 8-501(a) of
the UCC). The parties agree that the Pledged Interest constitutes “general
intangibles” (as defined in Section 9-102 of the UCC); and Pledgor agrees that
the Pledged Interest is not and will not be investment company securities
within the meaning of Section 8-103 of the UCC.

(f)                                    Taxes
and Assessments. Pledgor shall pay, and hold Lender harmless from any
liabilities with respect to payment of, any taxes or assessments which may be
payable with respect to the Collateral (except any taxes or assessments arising
after

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foreclosure)
or in connection with any of the interests in Collateral created by this
Agreement.

(g)                                 Issuance
of Interests or Securities. Without the prior written consent of Lender,
Pledgor shall not directly or indirectly vote to enable, or take any other
action to permit, Mortgagor to issue any limited liability company interests or
to issue additional securities convertible into or granting the right to
purchase or exchange for any interests of or in Mortgagor.

5.                                       The
Lender.

(a)                                  Lender
Appointed Attorney-in-Fact. Pledgor hereby irrevocably appoints the Lender
as Pledgor’s attorney-in-fact, with full power and authority in the name and
place of Pledgor or otherwise, (i) to take any action and to execute any
instrument which the Lender may deem necessary or advisable to perfect the
security interest granted hereby and (ii) after an Event of Default, to
exercise any and all of its rights and remedies hereunder as the legal, record
and beneficial owner of the Pledged Interest. The power of attorney granted
pursuant to this Section 5 is coupled with an interest and is
irrevocable.

(b)                                 Lender
May Perform. If Pledgor fails to perform any agreement contained herein,
and such failure either (i) becomes an Event of Default or (ii) prior to
becoming an Event of Default continues for twenty (20) days after Lender gives
written notice to Borrower to cure, the Lender may cause the same to be
performed and the Lender’s reasonable expenses incurred in connection therewith
shall be payable by Pledgor.

(c)                                  Lender
Has No Duty. The powers conferred on the Lender hereunder are solely to
protect its interest in the Collateral and shall not impose any duty on it to
exercise any such powers. Except for reasonable care of any Collateral in its
possession, the Lender shall have no duty with respect to any Collateral.

6.                                       Event
of Default. As used in this Agreement, an “Event of Default” shall mean the
occurrence of any one or more of the following:

(a)                                  any
failure in the observance or performance by Pledgor of any of its obligations,
covenants or duties hereunder which continues for a period of 30 days after
written notice of such failure by Lender to Pledgor, or if such failure is not
reasonably susceptible of cure within such 30 day period and if Pledgor
promptly commences such cure within such 30 day period and diligently
prosecutes the same to completion, then the cure period shall be extended for
such period of time as may be reasonably necessary to effect a cure but in no
event shall such period exceed 90 days; or

(b)                                 any
representation or warranty made by Pledgor herein proves to be false or
misleading in any material respect as of the date it is made; or

(c)                                  the
occurrence of an Event of Default as defined in the Loan Agreement or in the
Note.

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7.                                       Remedies.

(a)                                  Certain
Remedies. If any Event of Default shall have occurred and be continuing:

(i)                                     Lender
shall have the right, without any further action or consent of Pledgor to
immediately direct the Mortgagor to identify the Lender or its designee on its
books and records as the record, legal and beneficial owner of the Pledged
Interest in full substitution of Pledgor. The Lender or its designee shall
thereafter have the sole right to exercise all rights, privileges, options and
powers relating to the Pledged Interests.

(ii)                                  The
Lender shall have the right, without the necessity of becoming the record and
legal owner of the Pledged Interest as provided in Section 7(a)(i), to
exercise in its sole discretion the voting power and all other rights of ownership
with respect to any Pledged Interests. All proceeds of the Collateral shall
immediately be paid to Lender and shall be applied by Lender in accordance with
the terms hereof.

(iii)                               The
Lender shall have all of the rights and remedies of a secured party under the
UCC. In the exercise of such rights and remedies Lender may, without notice
except as specified below, sell the Collateral or any part thereof at one or
more public or private sales held at any of the Lender’s offices or elsewhere,
for cash, on credit or for future delivery, and upon such other terms as the
Lender may deem reasonable. Pledgor agrees that any private sale may result in
prices and other terms less favorable then if such sale were a public sale.
Pledgor agrees that, to the extent notice of sale shall be required by law, at
least ten (10) days’ prior notice to Pledgor of the time and place of any
public sale or the time after which any private sale is to be made shall
constitute reasonable notification. The Lender shall not be obligated to make
any sale of Collateral regardless of notice of sale having been given. The
Lender may adjourn any public or private sale from time to time by announcement
at the time and place fixed therefor, and such sale may, without further
notice, be made at the time and place to which it was so adjourned.

(b)                                 Compliance
with Restrictions. In any public or private sale of any of the Collateral,
the Lender is authorized to comply with any limitation or restriction in
connection with such sale as it may be advised by counsel is necessary in order
to comply with, or otherwise avoid any violation of applicable law regarding
any public or private sale, including any required approval of the sale or of
the purchaser by any governmental regulatory authority or official. Such
compliance shall not result in such sale being considered or deemed not to have
been made in a commercially reasonable manner. The

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Lender
shall not be liable or accountable to Pledgor for any price reduction resulting
from, or expense incurred as a result of, Lender’s compliance with any such
limitation or restriction. The Lender shall be under no obligation to delay any
sale of any of the Collateral for the period of time necessary to permit the
Mortgagor or Pledgor to register such Collateral for public sale under the
Securities Act of 1933, as amended from time to time, or under applicable state
securities laws.

(c)                                  Application
of Proceeds. All cash proceeds received by the Lender in respect of any
sale of all or any part of the Collateral shall be applied by the Lender, in
the following order, against (i) any reasonable attorneys fees or other
expenses incurred in connection with any collection or sale and (ii) all or any
part of the Secured Obligations in such order as the Lender shall elect. Any
surplus of such cash or cash proceeds held by the Lender and remaining after
payment in full of all the Secured Obligations shall be paid over to Pledgor or
to whomsoever may be lawfully entitled to receive such surplus.

(d)                                 Additional
Rights. Subject to Section 8(m) hereof, in addition to the rights set forth
above, Pledgor shall have and may exercise all other rights conferred by law or
existing under this Agreement and may resort to any remedy existing at law or
in equity for the collection of the Indebtedness and for the enforcement of the
covenants and agreement contained herein.

(e)                                  Remedies
Cumulative. No remedy or right of the Lender hereunder, under any of the
Loan Documents or otherwise available under applicable law or in equity, shall
be exclusive of any other right or remedy. Each such remedy or right shall be
in addition to every other remedy or right now or hereafter existing under
applicable law or in equity. No delay in the exercise of, or omission to
exercise, any remedy or right after any Event of Default shall impair any such
remedy or right or be construed as a waiver of any such Event of Default or an
acquiescence thereto, nor shall it affect any subsequent Event of Default of
the same or different nature. Every remedy or right may be exercised
concurrently or independently and when and as often as may be deemed necessary
by Lender.

8.                                       Miscellaneous

(a)                                  Amendments.
No amendment to or waiver of any provision of this Agreement nor consent to any
departure herefrom shall in any event be effective unless the same shall be in
writing and signed by the parties, and then such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which
it is given.

(b)                                 Protection
of Collateral. The Lender may take any action which the Lender reasonably
deems necessary for the maintenance, preservation or protection of any of the
Collateral or of its security interest therein if in Lender’s judgment such
action is necessary to avoid immediate harm to Lender or impairment of the
Collateral.

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(c)                                  Notices.
Any notice, election, communication, request, approval or other document or
demand required or permitted under this Agreement shall be in writing and shall
be given in the manner provided in the Loan Agreement. The addresses of the
parties for such purpose (subject to change upon notice) are as follows:

	
  If to Lender:

  	
  Behringer Harvard Alexan Nevada, LLC

  
	
   

  	
  15601 Dallas Parkway, Suite 600

  
	
   

  	
  Addison, Texas 
  75001

  
	
   

  	
  Attention: 
  Chief Legal Officer

  
	
   

  	
  Facsimile: 
  (214) 655-1610

  
	
   

  	
   

  
	
  with copy to:

  	
  Powell & Coleman, L.L.P.

  
	
   

  	
  8080 North Central Expressway, Suite 1380

  
	
   

  	
  Dallas, Texas 
  75206

  
	
   

  	
  Attention: 
  Carol D. Satterfield

  
	
   

  	
  Facsimile: 
  (214) 373-8768

  
	
   

  	
   

  
	
  If to Pledgor:

  	
  SW 109 Wagon Wheel SM LLC

  
	
   

  	
  Attention: Timothy J. Hogan

  
	
   

  	
  2001 Bryan Street, Suite 3700

  
	
   

  	
  Dallas, Texas 75201

  
	
   

  	
  Facsimile: 
  (214) 922-

  
	
   

  	
   

  
	
  with copy to:

  	
  Michael K. Ording

  
	
   

  	
  Jones Day

  
	
   

  	
  325 John H. McConnell Blvd., Suite 600,

  
	
   

  	
  Columbus, Ohio 43215

  
	
   

  	
  Facsimile: (614) 461-4198

  

 

(d)                                 Section
Captions. Section captions used in this Agreement are for convenience of
reference only, and shall not affect the construction of this Agreement.

(e)                                  Severability.
Wherever possible each provision of this Agreement shall be interpreted in such
manner as to be effective and valid under applicable law, but if any provision
of this Agreement shall be prohibited by or invalid under such law, such
provision shall be ineffective to the extent of such prohibition or invalidity,
without invalidating the remainder of such provision or the remaining
provisions of this Agreement.

(f)                                    Entire
Agreement. This Agreement and the other Loan Documents constitute the
entire understanding among the parties hereto with respect to the subject
matter hereof and supersede any prior agreements, written or oral, with respect
thereto.

(g)                                 Governing
Law. This Agreement shall be governed by, and construed in accordance with,
the substantive law of the State of Nevada without regard to the application of
choice of law principles. Pledgor and Lender each hereby consent to the

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personal
jurisdiction of the state courts of the State of Nevada located in Clark
County, Nevada in any action that may be commenced to enforce rights hereunder.

(h)                                 Waiver
of Jury Trial. PLEDGOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY
WAIVES ANY RIGHT THAT PLEDGOR MAY HAVE TO A TRIAL BY JURY IN ANY LITIGATION
ARISING IN ANY WAY IN CONNECTION WITH THIS AGREEMENT, OR ANY OTHER STATEMENTS
OR ACTIONS RELATED HERETO. PLEDGOR ACKNOWLEDGES THAT THIS WAIVER IS A MATERIAL
INDUCEMENT FOR THE LENDER TO DISBURSE THE LOAN AND TO ENTER INTO THE OTHER LOAN
DOCUMENTS. BY ITS ACCEPTANCE OF THIS AGREEMENT LENDER HEREBY KNOWINGLY,
VOLUNTARILY AND INTENTIONALLY WAIVES ANY RIGHT LENDER MAY HAVE TO A TRIAL BY
JURY IN ANY LITIGATION ARISING IN ANY WAY IN CONNECTION WITH THIS AGREEMENT, OR
ANY OTHER STATEMENTS OR ACTIONS RELATED HERETO.

(i)                                     Successors
and Assigns. This Agreement shall inure to the benefit of and shall bind
Pledgor and Lender and their respective successors, assigns and
representatives.

(j)                                     Counterparts.
This Agreement may be executed in one or more counterparts, each of which shall
be deemed an original, but all of which together shall constitute but one and
the same document.

(k)                                  Irrevocable
Authorization and Instruction to Mortgagor. Pledgor authorizes and
instructs the Mortgagor to comply with any instruction received by it from
Lender concerning the Collateral to the extent authorized by this Agreement.

(l)                                     Sole
and Absolute Discretion. Any option, consent, approval, discretion or
similar right of Lender set forth in this Agreement may be exercised by Lender
in its sole, absolute and unreviewable discretion, unless the provisions of
this Agreement specifically require another standard for such option, consent,
approval, discretion or similar right.

(m)                               Pledgor
Exculpation. Pledgor’s liability in connection with this Agreement
(including Pledgor’s liability for all amounts due hereunder) is collectible
only from the Collateral against which a security interest is created by the
Pledge Agreement. In no case will any person who holds a direct or indirect
ownership interest in Pledgor, or any officer, director, manager, trustee,
employee, agent or affiliate of Pledgor or any such direct or indirect owner,
have any responsibility for Pledgor’s obligations in connection with this
Agreement (including Pledgor’s liability for any amounts due hereunder);
provided, however, that nothing in this Section 8(m) limits the liability of
any person under a guaranty or other agreement executed by such person.

[Signatures Follow on
Next Page]

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IN WITNESS
WHEREOF, the undersigned have duly executed and delivered this Agreement as of
the day and year first above written.

	
   

  	
  PLEDGOR

  
	
   

  	
   

  
	
   

  	
  SW 109 WAGON WHEEL SM LLC, a Delaware limited

  liability company, its sole member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  SW 108 Wagon Wheel JM LLC, a Delaware limited

  liability company, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  SW 105 Wagon Wheel Limited Partnership, a

  Delaware limited partnership, its sole member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  SW 104 Development GP LLC, a

  Delaware limited liability company, its

  general partner

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Timothy J. Hogan, Vice President

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  LENDER

  
	
   

  	
   

  
	
   

  	
  Behringer Harvard Alexan Nevada, LLC, a

  
	
   

  	
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Gerald J. Reihsen, III

  
	
   

  	
   

  	
  Secretary

  
							

 

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EXHIBIT A

FORM OF ASSIGNMENT OF MEMBERSHIP INTEREST

ASSIGNMENT OF
MEMBERSHIP INTEREST dated as of                                   ,
2006, made by SW 109 Wagon Wheel SM LLC, a Delaware limited liability company
(together with its successors and assigns, the “Assignor”)
to                                                             
                                                                 
(the “Assignee”).

RECITALS

The undersigned
has entered into the Pledge and Security Agreement dated as of September 29,
2006 (such Agreement, as it may be amended or otherwise modified from time to
time, the “Pledge Agreement”),
with Behringer Harvard Alexan Nevada, LLC, a Delaware limited liability company
(“Lender”). Unless otherwise
noted, terms defined in the Pledge Agreement are used herein as defined
therein.

The Assignor
is the sole member owning 100% of the membership interests of SW 106 Wagon Wheel Holdings LLC, a
Delaware limited liability company (the “Company”)
existing under and evidenced by the Operating Agreement of the Company dated as of August 28, 2006
(such agreement, as it may be amended, supplemented or otherwise modified from
time to time, the “Operating Agreement and the Assignor, as the sole member
thereof, has certain rights, title and interest in and to the Company, including, without limitation, rights to
receive income, distributions, profits, gains and losses, and to vote and/or
manage the Company, all as and to the extent provided in the Operating Agreement (collectively,
the “Interest”).

Lender has
required that the Assignor shall have executed and delivered this Assignment.

NOW THEREFORE, in
consideration of the premises and of the mutual covenants and agreements
contained herein, the parties hereto agree as follows:

1)              Assignment
and Acceptance of Assigned Interest. As of the Effective Date (as defined
in Section 7), the Assignor hereby sells, transfers, conveys and assigns
(without recourse and, except as expressly set forth herein, representation or
warranty) (collectively, the “Assignment”)
to the Assignee all of the Assignor’s right, title and interest in and to the
Interest and of its rights under the Operating Agreement, including, without
limitation, all its (a) rights to receive moneys due and to become due under or
pursuant to the Operating Agreement, (b) rights to receive proceeds of any
insurance, indemnity, warranty or guaranty with respect to the Operating
Agreement, (c) claims for damages arising out of or for breach of or default
under the Operating Agreement, and (d) rights to perform thereunder and to
compel performance, and otherwise exercise all rights and remedies thereunder.
Assignor’s right, title and interest in the Interest and of the Assignor’s
rights under the Operating Agreement that are being assigned to the Assignee
pursuant to this Agreement are hereinafter

 

 

referred to as the “Assigned Interest”. The Assignee, upon the
execution of this Assignment, hereby accepts from the Assignor the Assigned
Interest and agrees to become a successor member of the Company in the place
and stead of the Assignor to the extent of the Assigned Interest and to be
bound by the terms and provisions of the Operating Agreement.

2)              Representations
and Warranties of the Assignor. The Assignor represents to Lender, as of
the date of this Assignment, and to Lender and the Assignee as of the Effective
Date, that:

a.               This
Assignment has been duly executed and delivered by the Assignor and is a valid
and binding obligation of the Assignor, enforceable in accordance with its
terms, subject to applicable bankruptcy, insolvency and similar laws affecting
rights of creditors generally, and general principles of equity; and

b.              The
Assignor is the sole owner of the Assigned Interest free and clear of any
liens, except for the liens created by the Pledge Agreement.

3)              Filings.
On or as soon as practicable after the Effective Date, the Assignee shall file
and record or cause to be filed and recorded with all proper offices or
agencies all documents and instruments required to effect the terms herein, if
any, including, without limitation, (a) this Assignment and (b) any limited
liability company and assumed or fictitious name certificate or certificates
and any amendments thereto.

4)              Future
Assurances. Each of the Assignor and the Assignee mutually agrees to
cooperate at all times from and after the date hereof with respect to any of
the matters described herein, and to execute such further deeds, bills of sale,
assignments, releases, assumptions, notifications or other documents as may be
reasonably requested for the purpose of giving effect to, evidencing or giving
notice of the assignment evidenced hereby.

5)              Successors
and Assigns. This Assignment shall be binding upon, and shall inure to the
benefit of, the parties hereto and their respective successors and assigns.

6)              Modification
and Waiver. No supplement, modification, waiver or termination of this
Assignment or any provisions hereof shall be binding unless it is executed in
writing by all parties hereto and the original of such writing has been
delivered to each party.

7)              Counterparts.
Any number of counterparts of this Assignment may be executed. Each counterpart
will be deemed to be an original instrument and all counterparts taken together
will constitute one agreement. Delivery of an executed counterpart of a
signature page to this Assignment by telecopier shall be as effective as
delivery of a manually executed counterpart of this Assignment.

8)              Execution;
Effective Date. This Assignment will be binding and effective and will
result in the assignment of the Assigned Interest on the date first written
above (the “Effective Date”).

9)              Governing
Law. This Assignment will be governed by the laws of the State of Nevada
without regard to the application of choice of law principles.

[Signatures Follow on Next Page]

 

 

IN WITNESS WHEREOF, the Assignor has caused this
Assignment to be executed and delivered.

	
   

  	
  ASSIGNOR:

  
	
   

  	
   

  
	
   

  	
  SW 109 WAGON WHEEL SM LLC, a Delaware limited

  liability company, its sole member

  
	
   

  	
   

  
	
   

  	
  By:

  	
  SW 108 Wagon Wheel JM LLC, a Delaware limited

  liability company, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  SW 105 Wagon Wheel Limited Partnership, a

  Delaware limited partnership, its sole member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
  SW 104 Development GP LLC, a

  Delaware limited liability company, its

  general partner

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
  Timothy J. Hogan, Vice PresidentExhibit 10.6

JUNIOR MEZZANINE PLEDGE AND SECURITY
AGREEMENT

THIS JUNIOR
MEZZANINE PLEDGE AND SECURITY AGREEMENT (this “Agreement”),
dated as of September 29, 2006, made by SW 108 Wagon Wheel JM LLC, a Delaware
limited liability company (“Pledgor”), and
Behringer Harvard Alexan Nevada, LLC, a Delaware limited liability company
(together with its successors and assigns, “Lender”).

RECITALS

A.                                   Lender
has agreed to make a loan (the “Loan”) to
Pledgor in the original principal amount of Two Million Seven Hundred
Seventy-Five Thousand Eight Hundred Seventy-Two Dollars ($2,775,872) pursuant
to the terms of that certain Loan Agreement, dated of even date herewith,
between Pledgor and Lender (herein, as the same may be amended or restated from
time to time, the “Loan Agreement”);
and

B.                                     Pledgor
is the sole member and the legal and beneficial owner of one hundred percent
(100%) of the membership interests in SW 109 Wagon Wheel SM LLC, a Delaware
limited liability company (the “Senior Mezz Pledgor”)
which is the sole member and the legal and beneficial owner of one hundred
percent (100%) of the membership interests in SW 106 Wagon Wheel Holdings LLC,
a Delaware limited liability company (the “Mortgagor”),
which is the owner in fee simple of the Property (as defined in the Loan
Agreement); and

C.                                     One
of the conditions precedent to the Lender’s making of the Loan under the Loan
Agreement is Pledgor’s execution and delivery of this Agreement; and

D.                                    Pledgor,
Senior Mezz Pledgor and Mortgagor shall derive substantial direct and indirect
benefits from the Loan.

NOW, THEREFORE,
for and in consideration of the foregoing and for other good and valuable
consideration, the receipt of which is hereby acknowledged, the parties agree
as follows:

1.                                       Recitals;
Definitions. The recitals set forth above are true and correct and are
incorporated herein by reference. Capitalized terms not defined herein but
which are defined in the Uniform Commercial Code as in effect from time to time
in the State of Nevada (the “UCC”) shall
have the meanings given them in Article 8 or Article 9, as applicable, thereof.
Other capitalized terms used but not defined herein shall have the meaning
ascribed to such term in the Loan Agreement, in each case unless the context
clearly requires otherwise.

2.                                       Pledge.

(a)                                  Grant
of Security Interest. As collateral security for the Indebtedness and the
performance of all obligations under the Loan Documents, Pledgor presently and
irrevocably pledges, hypothecates, assigns, delivers and transfers to the
Lender, and grants to the Lender a continuing first priority security interest
in, all of its right, title and interest in and under the following property
(collectively, the “Collateral”)
whether now owned or hereafter acquired or coming into existence:

 1

 

 

(i)                                     all
of Pledgor’s right, title and interest, whether direct or indirect, whether
legal, beneficial or economic, and whether fixed or contingent, (i) as the sole member in and to the Senior Mezz Pledgor, including,
without limitation, Pledgor’s right to vote on Senior Mezz Pledgor matters and
Pledgor’s rights, now existing or hereafter arising or acquired, to receive
from time to time its share of profits, losses, income surplus, return of
capital, proceeds, fees, preferences, payments or distributions from Senior
Mezz Pledgor (Pledged Interest”);

(ii)                                  all
Instruments, certificates, or other writings evidencing Pledgor’s Pledged
Interest;

(iii)                               all
of Pledgor’s right, title and interest in, to and under that certain Operating
Agreement, dated as of August 28, 2006, executed by
Pledgor (as amended in accordance with the terms of the Loan Agreement, the “Operating Agreement”) and the other
organizational documents of Senior Mezz Pledgor;

(iv)                              all
of Pledgor’s right, title and interest in, to and under all General Intangibles
relating to or arising out of any of the foregoing; and

(v)                                 all
Proceeds of any of the foregoing.

(b)                                 Security
for Obligations. This Agreement secures (i) the Indebtedness and (ii) all
obligations of Pledgor under the Loan Agreement, the Note and all of the other
Loan Documents (collectively, the “Secured Obligations”).

(c)                                  Perfection
of Security Interest. In furtherance of the grant of the pledge and
security interest pursuant to Section 2(a) above, Pledgor hereby agrees
with Lender as follows:

(i)                                     If
the Pledged Interest is not currently represented or evidenced by certificates
or Instruments, Pledgor shall, upon the execution of this Agreement (A) cause
the Senior Mezz Pledgor to create a registration book for the registration of
all ownership interests in Senior Mezz Pledgor and cause Senior Mezz Pledgor to
register in such book Pledgor’s pledge of the Pledged Interest to Lender
together with the notation that all distributions are to be disbursed to Lender
as required under this Agreement, and (B) cause the Senior Mezz Pledgor to
agree to comply with any and all unilateral directions and other Instructions
from Lender concerning such Pledged Interest given in accordance with this
Agreement, without any further consent of (or regardless of contrary instructions
of) Pledgor or any other person.

(ii)                                  Concurrently
with the execution and delivery of this Agreement, Pledgor is delivering to
Lender an assignment of membership

 

 

interest
in blank (the “Assignment of Interest”), in the
form set forth on Exhibit A hereto, for the Pledged Interest,
transferring all of the Pledged Interest in blank, duly executed by Pledgor and
undated. Lender shall have the right, at any time in its discretion upon the
occurrence and during the continuance of an Event of Default pursuant to Section
6(a) below, to transfer to, and to designate on the Assignment of Interest,
any Person to whom the Pledged Interest is sold in accordance with the
provisions hereof.

(iii)                               To
the extent the Pledged Interest hereafter is represented or evidenced by
certificates, Instruments or other writings (other than the Operating
Agreement) whether in bearer or registered form, Pledgor shall within three (3)
days of receipt of any such certificates, Instruments or other writings
(A) deliver to Lender such certificates, Instruments or other writings, as
applicable and (B) deliver to Lender all necessary powers, instruments of
transfer or assignment, each undated and duly executed in blank.

(iv)                              Regardless
of whether the Collateral is represented or evidenced by certificates,
Instruments or other writings, Pledgor shall do all other acts and deliver such
other documents, and cause Senior Mezz Pledgor to do the same, as Lender
reasonably deems necessary or desirable (or as are otherwise required by the
laws of the jurisdiction governing perfection, the effect of perfection or
nonperfection or the priority of Lender’s security interest) in order to
perfect such security interest in the Collateral. In furtherance of the
foregoing, Pledgor hereby authorizes Lender to file such UCC financing
statements against Pledgor as Lender shall deem necessary or desirable
containing a description of the Collateral pledged by Pledgor sufficient to
satisfy the requirements of Article 9 of the UCC (the “UCC
Financing Statements”).

(d)                                 Continuing
Security Interest. This Agreement shall create a continuing security
interest in the Collateral and shall remain in full force and effect until
payment in full of all Indebtedness. Upon the payment in full of all
Indebtedness, the security interests granted herein shall terminate and all
rights to the Collateral shall revert to Pledgor. Upon any such termination,
the Lender shall, at Pledgor’s sole expense, deliver to Pledgor, without any
representations, warranties or recourse of any kind whatsoever, all
certificates, Instruments and other writings representing or evidencing all
Collateral then held by the Lender hereunder, if any, and execute and deliver
to Pledgor such documents as Pledgor shall reasonably request to evidence such
termination.

3.                                       Representations
and Warranties. As of the date hereof Pledgor represents and warrants as
follows:

(a)                                  Organization;
Authorization. Pledgor is a limited liability company which
has been duly formed and is validly existing and in good standing under the
laws of the

 

 

State
of Delaware and is qualified to do business in the State of Nevada. Pledgor has
full limited liability company power and authority to execute this Agreement
and to undertake and consummate the transactions contemplated hereby. This Agreement
has been duly and validly executed by or on behalf of Pledgor and constitutes
the legal, valid and binding obligation of Pledgor and is enforceable against
Pledgor in accordance with its terms, subject, as to enforceability, to the
effect of applicable bankruptcy, insolvency and other similar laws limiting the
enforcement of creditors’ rights generally and to general principles of equity.

(b)                                 Agreement
Will Cause No Defaults. The execution, delivery and performance of this
Agreement by Pledgor does not and will not violate, or contravene (i) any term
or provision of the organizational documents of Pledgor or any resolution or
vote of Pledgor, (ii) any existing license, indenture or other material
contract or agreement binding upon Pledgor or (iii) any existing law, statute,
regulation, order, decree or judgment applicable to Pledgor or its property.

(c)                                  Ownership,
No Liens, etc. Pledgor is the legal, record and beneficial owner of, and
has good and marketable title to the Collateral in which it grants a security
interest to Lender under this Agreement, free and clear of all liens, security
interests, options or other charges or encumbrances, other than the security
interest granted pursuant hereto. Pledgor is the sole member of Senior Mezz
Pledgor.

(d)                                 As
to Pledged Interest. The Pledged Interest is duly authorized and validly
issued, and are fully paid and non-assessable and constitute all of the issued
and outstanding membership interests in Senior Mezz Pledgor. The Pledged
Interest (i) is not “financial assets” (within the meaning of Section
8-102(a)(9) of the UCC) and (ii) is not credited to a “securities account”  within the meaning of Section 8-501(a) of the
UCC.

(e)                                  Perfection.
Upon the filing of the UCC Financing Statements referred to in Section 2(c)(iv),
the security interest granted
pursuant to this Agreement will constitute a valid, perfected first priority
security interest in the Collateral and related proceeds, enforceable against
all creditors of Pledgor and any persons purporting to purchase any Collateral
or receive any related proceeds from Pledgor, subject to the limitations in the
UCC.

(f)                                    Authorization,
Approval, etc. No authorization, approval, or other action by, and no
notice to or filing with, any governmental authority, regulatory body or any
other person is required either:

(i)                                     for
the execution, delivery, and performance of this Agreement by Pledgor (other
than any authorizations and approvals that have already been received or
actions that have already been taken), or

(ii)                                  for
the exercise by the Lender of (1) the voting and other rights provided for in
this Agreement or (2) except as may be required in connection with a
disposition of the Pledged Interest by laws relating to the offering and sale
of securities generally, the

 

 

remedies
provided for in respect of the Collateral pursuant to this Agreement.

4.                                       Covenants.

(a)                                  Protect
Collateral. Pledgor agrees that it will own at all times during the term of
the Loan one hundred percent (100%) of the ownership interests in Senior Mezz
Pledgor. Pledgor agrees that it shall not sell, assign, transfer, pledge or
encumber in any other manner the Collateral (except for the pledge to Lender
hereunder or an assignment to Lender or its designee pursuant to the Assignment
of Membership Interests). Pledgor shall warrant and, at Pledgor’s expense,
defend the right and title herein granted unto the Lender in and to the
Collateral (and all right, title and interest represented by the Collateral)
against the claims and demands of all persons whomsoever.

(b)                                 Further
Assurances. Pledgor shall, at Pledgor’s expense (i) promptly execute and
deliver, and cause the Senior Mezz Pledgor to promptly execute and deliver, all
further writings (including instruments of transfer or control) reasonably
requested by Lender, and (ii) promptly take all further action, and cause the
Senior Mezz Pledgor to promptly take all further action, that the Lender may
reasonably request; in each case, in order to perfect and protect and maintain
the perfection and priority of any security interest granted or purported to be
granted hereby or to enable the Lender to exercise and enforce its rights and
remedies hereunder with respect to any Collateral, including the rights and
remedies under Section 7(b).

(c)                                  Organizational
Documents. Pledgor agrees that it shall not amend or restate the operating
agreement or certificate of formation of Senior Mezz Pledgor without Lender’s
consent including but not limited to changing the location of its principal
place of business or chief executive office, its name or reorganizing under the
laws of another jurisdiction.

(d)                                 Consents.
Pledgor shall execute and deliver to Lender, upon its request at the time
Lender exercises its remedies, any document required under the organizational
documents of Pledgor or otherwise reasonably deemed necessary by Lender in
order to evidence Pledgor’s consent to the Lender’s exercising of its remedies
under this Agreement, including those set forth in Section 7(a) hereof
wherein Lender becomes the record, legal and beneficial owner of the Collateral
pledged under this Agreement.

(e)                                  Pledged
Interest. The Pledged Interest (i) will not become “financial assets”
(within the meaning of Section 8-101(a)(9) of the UCC) and (ii) will not be
credited to a “securities account” (within the meaning of Section 8-501(a) of
the UCC). The parties agree that the Pledged Interest constitutes “general
intangibles” (as defined in Section 9-102 of the UCC); and Pledgor agrees that
the Pledged Interest is not and will not be investment company securities
within the meaning of Section 8-103 of the UCC.

(f)                                    Taxes
and Assessments. Pledgor shall pay, and hold Lender harmless from any
liabilities with respect to payment of, any taxes or assessments which may be
payable with respect to the Collateral (except any taxes or assessments arising
after

 

 

foreclosure)
or in connection with any of the interests in Collateral created by this
Agreement.

(g)                                 Issuance
of Interests or Securities. Without the prior written consent of Lender,
Pledgor shall not directly or indirectly vote to enable, or take any other
action to permit, Senior Mezz Pledgor to issue any limited liability company
interests or to issue additional securities convertible into or granting the
right to purchase or exchange for any interests of or in Senior Mezz Pledgor.

5.                                       The
Lender.

(a)                                  Lender
Appointed Attorney-in-Fact. Pledgor hereby irrevocably appoints the Lender
as Pledgor’s attorney-in-fact, with full power and authority in the name and
place of Pledgor or otherwise, (i) to take any action and to execute any
instrument which the Lender may deem necessary or advisable to perfect the
security interest granted hereby and (ii) after an Event of Default, to
exercise any and all of its rights and remedies hereunder as the legal, record and
beneficial owner of the Pledged Interest. The power of attorney granted
pursuant to this Section 5 is coupled with an interest and is
irrevocable.

(b)                                 Lender
May Perform. If Pledgor fails to perform any agreement contained herein,
and such failure either (i) becomes an Event of Default or (ii) prior to
becoming an Event of Default continues for twenty (20) days after Lender gives
written notice to Borrower to cure, the Lender may cause the same to be
performed and the Lender’s reasonable expenses incurred in connection therewith
shall be payable by Pledgor.

(c)                                  Lender
Has No Duty. The powers conferred on the Lender hereunder are solely to
protect its interest in the Collateral and shall not impose any duty on it to
exercise any such powers. Except for reasonable care of any Collateral in its
possession, the Lender shall have no duty with respect to any Collateral.

6.                                       Event
of Default. As used in this Agreement, an “Event of Default” shall mean the
occurrence of any one or more of the following:

(a)                                  any
failure in the observance or performance by Pledgor of any of its obligations,
covenants or duties hereunder which continues for a period of 30 days after
written notice of such failure by Lender to Pledgor, or if such failure is not
reasonably susceptible of cure within such 30 day period and if Pledgor
promptly commences such cure within such 30 day period and diligently
prosecutes the same to completion, then the cure period shall be extended for
such period of time as may be reasonably necessary to effect a cure but in no
event shall such period exceed 90 days; or

(b)                                 any
representation or warranty made by Pledgor herein proves to be false or
misleading in any material respect as of the date it is made; or

(c)                                  the
occurrence of an Event of Default as defined in the Loan Agreement or in the
Note.

 

 

7.                                       Remedies.

(a)                                  Certain
Remedies. If any Event of Default shall have occurred and be continuing:

(i)                                     Lender
shall have the right, without any further action or consent of Pledgor to
immediately direct the Senior Mezz Pledgor to identify the Lender or its
designee on its books and records as the record, legal and beneficial owner of
the Pledged Interest in full substitution of Pledgor. The Lender or its
designee shall thereafter have the sole right to exercise all rights,
privileges, options and powers relating to the Pledged Interests.

(ii)                                  The
Lender shall have the right, without the necessity of becoming the record and
legal owner of the Pledged Interest as provided in Section 7(a)(i), to
exercise in its sole discretion the voting power and all other rights of
ownership with respect to any Pledged Interests. All proceeds of the Collateral
shall immediately be paid to Lender and shall be applied by Lender in
accordance with the terms hereof.

(iii)                               The
Lender shall have all of the rights and remedies of a secured party under the
UCC. In the exercise of such rights and remedies Lender may, without notice
except as specified below, sell the Collateral or any part thereof at one or
more public or private sales held at any of the Lender’s offices or elsewhere,
for cash, on credit or for future delivery, and upon such other terms as the
Lender may deem reasonable. Pledgor agrees that any private sale may result in
prices and other terms less favorable then if such sale were a public sale.
Pledgor agrees that, to the extent notice of sale shall be required by law, at
least ten (10) days’ prior notice to Pledgor of the time and place of any
public sale or the time after which any private sale is to be made shall
constitute reasonable notification. The Lender shall not be obligated to make
any sale of Collateral regardless of notice of sale having been given. The
Lender may adjourn any public or private sale from time to time by announcement
at the time and place fixed therefor, and such sale may, without further
notice, be made at the time and place to which it was so adjourned.

(b)                                 Compliance
with Restrictions. In any public or private sale of any of the Collateral,
the Lender is authorized to comply with any limitation or restriction in
connection with such sale as it may be advised by counsel is necessary in order
to comply with, or otherwise avoid any violation of applicable law regarding
any public or private sale, including any required approval of the sale or of
the purchaser by any governmental regulatory authority or official. Such
compliance shall not result in such sale being considered or deemed not to have
been made in a commercially reasonable manner. The 

 

 

Lender
shall not be liable or accountable to Pledgor for any price reduction resulting
from, or expense incurred as a result of, Lender’s compliance with any such
limitation or restriction. The Lender shall be under no obligation to delay any
sale of any of the Collateral for the period of time necessary to permit the
Senior Mezz Pledgor or Pledgor to register such Collateral for public sale
under the Securities Act of 1933, as amended from time to time, or under
applicable state securities laws.

(c)                                  Application
of Proceeds. All cash proceeds received by the Lender in respect of any
sale of all or any part of the Collateral shall be applied by the Lender, in
the following order, against (i) any reasonable attorneys fees or other
expenses incurred in connection with any collection or sale and (ii) all or any
part of the Secured Obligations in such order as the Lender shall elect. Any
surplus of such cash or cash proceeds held by the Lender and remaining after
payment in full of all the Secured Obligations shall be paid over to Pledgor or
to whomsoever may be lawfully entitled to receive such surplus.

(d)                                 Additional
Rights. Subject to Section 8(m) hereof, in addition to the rights set forth
above, Pledgor shall have and may exercise all other rights conferred by law or
existing under this Agreement and may resort to any remedy existing at law or
in equity for the collection of the Indebtedness and for the enforcement of the
covenants and agreement contained herein.

(e)                                  Remedies
Cumulative. No remedy or right of the Lender hereunder, under any of the
Loan Documents or otherwise available under applicable law or in equity, shall
be exclusive of any other right or remedy. Each such remedy or right shall be
in addition to every other remedy or right now or hereafter existing under
applicable law or in equity. No delay in the exercise of, or omission to
exercise, any remedy or right after any Event of Default shall impair any such
remedy or right or be construed as a waiver of any such Event of Default or an
acquiescence thereto, nor shall it affect any subsequent Event of Default of
the same or different nature. Every remedy or right may be exercised
concurrently or independently and when and as often as may be deemed necessary
by Lender.

8.                                       Miscellaneous

(a)                                  Amendments.
No amendment to or waiver of any provision of this Agreement nor consent to any
departure herefrom shall in any event be effective unless the same shall be in
writing and signed by the parties, and then such waiver or consent shall be
effective only in the specific instance and for the specific purpose for which it
is given.

(b)                                 Protection
of Collateral. The Lender may take any action which the Lender reasonably
deems necessary for the maintenance, preservation or protection of any of the
Collateral or of its security interest therein if in Lender’s judgment such action
is necessary to avoid immediate harm to Lender or impairment of the Collateral.

 

(c)                                  Notices.
Any notice, election, communication, request, approval or other document or
demand required or permitted under this Agreement shall be in writing and shall
be given in the manner provided in the Loan Agreement. The addresses of the
parties for such purpose (subject to change upon notice) are as follows:

	
  If to Lender:

  	
  Behringer Harvard Alexan Nevada, LLC

  
	
   

  	
  15601 Dallas Parkway, Suite 600

  
	
   

  	
  Addison, Texas 
  75001

  
	
   

  	
  Attention: 
  Chief Legal Officer

  
	
   

  	
  Facsimile: 
  (214) 655-1610

  
	
   

  	
   

  
	
  with copy to:

  	
  Powell & Coleman, L.L.P.

  
	
   

  	
  8080 North Central Expressway, Suite 1380

  
	
   

  	
  Dallas, Texas 
  75206

  
	
   

  	
  Attention: 
  Carol D. Satterfield

  
	
   

  	
  Facsimile: 
  (214) 373-8768

  
	
   

  	
   

  
	
  If to Pledgor:

  	
  SW 108 Wagon Wheel JM LLC

  
	
   

  	
  Attention: Timothy J. Hogan

  
	
   

  	
  2001 Bryan Street, Suite 3700

  
	
   

  	
  Dallas, Texas 75201

  
	
   

  	
  Facsimile: 
  (214) 922-

  
	
   

  	
   

  
	
  with copy to:

  	
  Michael K. Ording

  
	
   

  	
  Jones Day

  
	
   

  	
  325 John H. McConnell Blvd., Suite 600,

  
	
   

  	
  Columbus, Ohio 43215

  
	
   

  	
  Facsimile: (614) 461-4198

  

 

(d)                                 Section
Captions. Section captions used in this Agreement are for convenience of
reference only, and shall not affect the construction of this Agreement.

(e)                                  Severability.
Wherever possible each provision of this Agreement shall be interpreted in such
manner as to be effective and valid under applicable law, but if any provision
of this Agreement shall be prohibited by or invalid under such law, such
provision shall be ineffective to the extent of such prohibition or invalidity,
without invalidating the remainder of such provision or the remaining
provisions of this Agreement.

(f)                                    Entire
Agreement. This Agreement and the other Loan Documents constitute the
entire understanding among the parties hereto with respect to the subject
matter hereof and supersede any prior agreements, written or oral, with respect
thereto.

(g)                                 Governing
Law. This Agreement shall be governed by, and construed in accordance with,
the substantive law of the State of Nevada without regard to the application of
choice of law principles. Pledgor and Lender each hereby consent to the

 

 

personal
jurisdiction of the state courts of the State of Nevada located in Clark
County, Nevada in any action that may be commenced to enforce rights hereunder.

(h)                                 Waiver
of Jury Trial. PLEDGOR HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY
WAIVES ANY RIGHT THAT PLEDGOR MAY HAVE TO A TRIAL BY JURY IN ANY LITIGATION
ARISING IN ANY WAY IN CONNECTION WITH THIS AGREEMENT, OR ANY OTHER STATEMENTS
OR ACTIONS RELATED HERETO. PLEDGOR ACKNOWLEDGES THAT THIS WAIVER IS A MATERIAL
INDUCEMENT FOR THE LENDER TO DISBURSE THE LOAN AND TO ENTER INTO THE OTHER LOAN
DOCUMENTS. BY ITS ACCEPTANCE OF THIS AGREEMENT LENDER HEREBY KNOWINGLY,
VOLUNTARILY AND INTENTIONALLY WAIVES ANY RIGHT LENDER MAY HAVE TO A TRIAL BY
JURY IN ANY LITIGATION ARISING IN ANY WAY IN CONNECTION WITH THIS AGREEMENT, OR
ANY OTHER STATEMENTS OR ACTIONS RELATED HERETO.

(i)                                     Successors
and Assigns. This Agreement shall inure to the benefit of and shall bind
Pledgor and Lender and their respective successors, assigns and representatives.

(j)                                     Counterparts.
This Agreement may be executed in one or more counterparts, each of which shall
be deemed an original, but all of which together shall constitute but one and
the same document.

(k)                                  Irrevocable
Authorization and Instruction to Senior Mezz Pledgor. Pledgor authorizes
and instructs the Senior Mezz Pledgor to comply with any instruction received
by it from Lender concerning the Collateral to the extent authorized by this
Agreement.

(l)                                     Sole
and Absolute Discretion. Any option, consent, approval, discretion or
similar right of Lender set forth in this Agreement may be exercised by Lender
in its sole, absolute and unreviewable discretion, unless the provisions of
this Agreement specifically require another standard for such option, consent,
approval, discretion or similar right.

(m)                               Pledgor
Exculpation. Pledgor’s liability in connection with this Agreement
(including Pledgor’s liability for all amounts due hereunder) is collectible
only from the Collateral against which a security interest is created by this
Agreement. In no case will any person who holds a direct or indirect ownership
interest in Pledgor, or any officer, director, manager, trustee, employee,
agent or affiliate of Pledgor or any such direct or indirect owner, have any
responsibility for Pledgor’s obligations in connection with this Agreement
(including Pledgor’s liability for any amounts due hereunder); provided,
however, that nothing in this Section 8(m) limits the liability of any person
under a guaranty or other agreement executed by such person.

[Signatures Follow on
Next Page]

 

 

IN WITNESS WHEREOF, the
undersigned have duly executed and delivered this Agreement as of the day and
year first above written.

	
  

  	
  PLEDGOR:

  
	
   

  	
   

  
	
   

  	
  SW 108 WAGON WHEEL JM LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  SW 105 Wagon Wheel Limited Partnership,

  
	
   

  	
   

  	
  a Delaware limited partnership,

  
	
   

  	
   

  	
  its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  SW 104 Development GP LLC,

  
	
   

  	
   

  	
   

  	
  a Delaware limited liability company,

  
	
   

  	
   

  	
   

  	
  its general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  Timothy J. Hogan, Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  LENDER:

  
	
   

  	
   

  
	
   

  	
  BEHRINGER HARVARD ALEXAN NEVADA,

  LLC, a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name: Gerald J. Reihsen, III

  
	
   

  	
  Title:   Secretary

  
						

 

 

 

EXHIBIT A

FORM OF ASSIGNMENT OF MEMBERSHIP INTEREST

ASSIGNMENT OF
MEMBERSHIP INTEREST dated as of                                      ,
2006, made by SW 108 Wagon Wheel JM LLC, a Delaware limited liability company
(together with its successors and assigns, the “Assignor”)
to                                                             
                                                            
(the “Assignee”).

RECITALS

The
undersigned has entered into the Pledge and Security Agreement dated as of
September 29, 2006 (such Agreement, as it may be amended or otherwise modified
from time to time, the “Pledge Agreement”),
with Behringer Harvard Alexan Nevada, LLC, a Delaware limited liability company
(“Lender”). Unless otherwise
noted, terms defined in the Pledge Agreement are used herein as defined
therein.

The Assignor
is the sole member owning 100% of the membership interests of SW 109 Wagon Wheel SM LLC, a Delaware
limited liability company (the “Company”)
existing under and evidenced by the Operating Agreement of the Company dated as of August 28, 2006
(such agreement, as it may be amended, supplemented or otherwise modified from
time to time, the “Operating Agreement and the Assignor, as the sole member
thereof, has certain rights, title and interest in and to the Company, including, without limitation, rights to
receive income, distributions, profits, gains and losses, and to vote and/or
manage the Company, all as and to the extent provided in the Operating Agreement (collectively,
the “Interest”).

Lender has
required that the Assignor shall have executed and delivered this Assignment.

NOW THEREFORE, in
consideration of the premises and of the mutual covenants and agreements
contained herein, the parties hereto agree as follows:

1)              Assignment
and Acceptance of Assigned Interest. As of the Effective Date (as defined
in Section 7), the Assignor hereby sells, transfers, conveys and assigns
(without recourse and, except as expressly set forth herein, representation or
warranty) (collectively, the “Assignment”)
to the Assignee all of the Assignor’s right, title and interest in and to the
Interest and of its rights under the Operating Agreement, including, without
limitation, all its (a) rights to receive moneys due and to become due under or
pursuant to the Operating Agreement, (b) rights to receive proceeds of any
insurance, indemnity, warranty or guaranty with respect to the Operating
Agreement, (c) claims for damages arising out of or for breach of or default
under the Operating Agreement, and (d) rights to perform thereunder and to
compel performance, and otherwise exercise all rights and remedies thereunder.
Assignor’s right, title and interest in the Interest and of the Assignor’s
rights under the Operating Agreement that are being assigned to the Assignee
pursuant to this Agreement are hereinafter

 

 

referred to as the “Assigned Interest”. The Assignee, upon the
execution of this Assignment, hereby accepts from the Assignor the Assigned
Interest and agrees to become a successor member of the Company in the place
and stead of the Assignor to the extent of the Assigned Interest and to be
bound by the terms and provisions of the Operating Agreement.

2)              Representations
and Warranties of the Assignor. The Assignor represents to Lender, as of
the date of this Assignment, and to Lender and the Assignee as of the Effective
Date, that:

a.               This
Assignment has been duly executed and delivered by the Assignor and is a valid
and binding obligation of the Assignor, enforceable in accordance with its
terms, subject to applicable bankruptcy, insolvency and similar laws affecting
rights of creditors generally, and general principles of equity; and

b.              The
Assignor is the sole owner of the Assigned Interest free and clear of any
liens, except for the liens created by the Pledge Agreement.

3)              Filings.
On or as soon as practicable after the Effective Date, the Assignee shall file
and record or cause to be filed and recorded with all proper offices or
agencies all documents and instruments required to effect the terms herein, if
any, including, without limitation, (a) this Assignment and (b) any limited
liability company and assumed or fictitious name certificate or certificates
and any amendments thereto.

4)              Future
Assurances. Each of the Assignor and the Assignee mutually agrees to
cooperate at all times from and after the date hereof with respect to any of
the matters described herein, and to execute such further deeds, bills of sale,
assignments, releases, assumptions, notifications or other documents as may be
reasonably requested for the purpose of giving effect to, evidencing or giving
notice of the assignment evidenced hereby.

5)              Successors
and Assigns. This Assignment shall be binding upon, and shall inure to the
benefit of, the parties hereto and their respective successors and assigns.

6)              Modification
and Waiver. No supplement, modification, waiver or termination of this
Assignment or any provisions hereof shall be binding unless it is executed in
writing by all parties hereto and the original of such writing has been
delivered to each party.

7)              Counterparts.
Any number of counterparts of this Assignment may be executed. Each counterpart
will be deemed to be an original instrument and all counterparts taken together
will constitute one agreement. Delivery of an executed counterpart of a
signature page to this Assignment by telecopier shall be as effective as
delivery of a manually executed counterpart of this Assignment.

8)              Execution;
Effective Date. This Assignment will be binding and effective and will
result in the assignment of the Assigned Interest on the date first written
above (the “Effective Date”).

9)              Governing
Law. This Assignment will be governed by the laws of the State of Nevada
without regard to the application of choice of law principles.

 

 

IN WITNESS
WHEREOF, the Assignor has caused this Assignment to be executed and delivered.

	
   

  	
   

  
	
  

  	
  ASSIGNOR:

  
	
   

  	
   

  
	
   

  	
  SW 108 WAGON WHEEL JM LLC,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  SW 105 Wagon Wheel Limited Partnership,

  
	
   

  	
   

  	
  a Delaware limited partnership,

  
	
   

  	
   

  	
  its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  SW 104 Development GP LLC,

  
	
   

  	
   

  	
   

  	
  a Delaware limited liability company,

  
	
   

  	
   

  	
   

  	
  its general partner

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Timothy J. Hogan, Vice President

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