Document:

Exhibit 10.43

Cincinnati,
OH (HGI)

PURCHASE
CONTRACT

between

SASI,
LLC, an Ohio limited liability company (“SELLER”)

AND

APPLE
TEN HOSPITALITY OWNERSHIP, INC., a Virginia corporation (“BUYER”)

Dated:
JULY 11, 2011

TABLE
OF CONTENTS

	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Page No.

 
	
  

 	
  

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE I

 	
 DEFINED
 TERMS

 	
  

 	
 1

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 1.1

 	
 Definitions

 	
  

 	
 1

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE II

 	
 PURCHASE AND SALE; PURCHASE PRICE; PAYMENT;
 EARNEST MONEY DEPOSIT

 	
  

 	
 6

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 2.1

 	
 Purchase and
 Sale

 	
  

 	
 6

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 2.2

 	
 Purchase
 Price

 	
  

 	
 6

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 2.3

 	
 Allocation

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 2.4

 	
 Payment

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 2.5

 	
 Earnest
 Money Deposit

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE III

 	
 REVIEW PERIOD

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 3.1

 	
 Review
 Period

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 3.2

 	
 Due
 Diligence Examination

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 3.3

 	
 Restoration

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 3.4

 	
 Seller
 Exhibits

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE IV

 	
 SURVEY AND TITLE APPROVAL

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 4.1

 	
 Survey

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 4.2

 	
 Title

 	
  

 	
 9

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 4.3

 	
 Survey or
 Title Objections

 	
  

 	
 10

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE V

 	
 TERMINATION OF MANAGEMENT AND FRANCHISE
 AGREEMENTS

 	
  

 	
 10

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VI

 	
 BROKERS

 	
  

 	
 11

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VII

 	
 REPRESENTATIONS, WARRANTIES AND COVENANTS

 	
  

 	
 11

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 7.1

 	
 Seller’s
 Representations, Warranties and Covenants

 	
  

 	
 11

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 7.2

 	
 Buyer’s
 Representations, Warranties and Covenants

 	
  

 	
 15

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 7.3

 	
 Survival

 	
  

 	
 15

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VIII

 	
 ADDITIONAL COVENANTS

 	
  

 	
 16

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.1

 	
 Subsequent
 Developments

 	
  

 	
 16

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.2

 	
 Operations

 	
  

 	
 16

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.3

 	
 Third Party
 Consents

 	
  

 	
 17

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.4

 	
 Employees

 	
  

 	
 17

 	
  

 

i

	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.5

 	
 Estoppel
 Certificates

 	
  

 	
 18

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.6

 	
 Access to
 Financial Information

 	
  

 	
 18

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.7

 	
 Bulk Sales

 	
  

 	
 18

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.8

 	
 Indemnification

 	
  

 	
 18

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 8.9

 	
 Escrow Funds

 	
  

 	
 21

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE IX

 	
 CONDITIONS FOR CLOSING

 	
  

 	
 21

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 9.1

 	
 Buyer’s
 Conditions for Closing

 	
  

 	
 21

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 9.2

 	
 Seller’s
 Conditions for Closing

 	
  

 	
 22

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE X

 	
 CLOSING AND CONVEYANCE

 	
  

 	
 22

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 10.1

 	
 Closing

 	
  

 	
 22

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 10.2

 	
 Deliveries
 of Seller

 	
  

 	
 23

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 10.3

 	
 Buyer’s
 Deliveries

 	
  

 	
 24

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XI

 	
 COSTS

 	
  

 	
 25

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 11.1

 	
 Seller’s
 Costs

 	
  

 	
 25

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 11.2

 	
 Buyer’s
 Costs

 	
  

 	
 25

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XII

 	
 ADJUSTMENTS

 	
  

 	
 25

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 12.1

 	
 Adjustments

 	
  

 	
 25

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 12.2

 	
 Reconciliation
 and Final Payment

 	
  

 	
 27

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 12.3

 	
 Employees

 	
  

 	
 27

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XIII

 	
 CASUALTY AND CONDEMNATION

 	
  

 	
 27

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 13.1

 	
 Risk of
 Loss; Notice

 	
  

 	
 27

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 13.2

 	
 Buyer’s
 Termination Right

 	
  

 	
 28

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 13.3

 	
 Procedure
 for Closing

 	
  

 	
 28

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XIV

 	
 DEFAULT REMEDIES

 	
  

 	
 28

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 14.1

 	
 Buyer
 Default

 	
  

 	
 28

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 14.2

 	
 Seller
 Default

 	
  

 	
 29

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 14.3

 	
 Attorney’s
 Fees

 	
  

 	
 29

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XV

 	
 NOTICES

 	
  

 	
 29

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XVI

 	
 MISCELLANEOUS

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.1

 	
 Performance

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.2

 	
 Binding
 Effect; Assignment

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.3

 	
 Entire
 Agreement

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.4

 	
 Governing
 Law

 	
  

 	
 30

 	
  

 

ii

	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.5

 	
 Captions

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.6

 	
 Confidentiality

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.7

 	
 Closing
 Documents

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.8

 	
 Counterparts

 	
  

 	
 30

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.9

 	
 Severability

 	
  

 	
 31

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.10

 	
 Interpretation

 	
  

 	
 31

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.11

 	
 (Intentionally
 Omitted)

 	
  

 	
 31

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.12

 	
 Further Acts

 	
  

 	
 31

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.13

 	
 Joint and
 Several Obligations

 	
  

 	
 31

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 16.13

 	
 Intentionally
 Omitted

 	
  

 	
  

 	
  

 
	
 16.14

 	
 Tax Free
 Exchange

 	
  

 	
  

 	
  

 
	
 SCHEDULES:

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Schedule 3.1

 	
 Due
 Diligence List

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 EXHIBITS:

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Exhibit A

 	
 Legal Description

 	
  

 	
  

 	
  

 
	
 Exhibit B

 	
 List of FF&E

 	
  

 	
  

 	
  

 
	
 Exhibit C

 	
 List of Hotel Contracts

 	
  

 	
  

 	
  

 
	
 Exhibit D

 	
 Consents and Approvals

 	
  

 	
  

 	
  

 
	
 Exhibit E

 	
 Environmental Reports

 	
  

 	
  

 	
  

 
	
 Exhibit F

 	
 Claims or Litigation Pending

 	
  

 	
  

 	
  

 
	
 Exhibit G

 	
 Escrow Agreement

 	
  

 	
  

 	
  

 

iii

PURCHASE
CONTRACT

          This
PURCHASE CONTRACT (this “Contract”) is made and entered into as
of July 11, 2011, by and between SASI, LLC an Ohio limited liability company (“Seller”)
with a principal office at 11441 Brittany Woods Lane, Cincinnati, Ohio 45249
and APPLE TEN HOSPITALITY OWNERSHIP, INC., a Virginia corporation, with its
principal office at 814 East Main Street, Richmond, Virginia 23219, or its
affiliates or assigns (“Buyer”).

RECITALS

          A.
Seller is the fee simple owner of that certain hotel property commonly known as
the Hilton Garden Inn Cincinnati/Mason, located at 5200 Natorp
Blvd, Mason, Ohio 45040, containing, among other things, 110
guestrooms (the “Hotel”) identified in on Exhibit A
attached hereto and incorporated by reference.

          B.
Buyer is desirous of purchasing the Hotel from Seller, and Seller is desirous
of selling the Hotel to Buyer, for the purchase price and upon terms and
conditions hereinafter set forth.

AGREEMENT:

          NOW,
THEREFORE, in consideration of the foregoing Recitals, the mutual covenants
contained herein and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto hereby agree
as follows:

ARTICLE I

DEFINED TERMS

          1.1
Definitions. The following capitalized terms when used in this Contract
shall have the meanings set forth below unless the context otherwise requires:

          “Additional
Deposit” shall mean $100,000.

          “Affiliate”
shall mean, with respect to Seller or Buyer, any other person or entity directly
or indirectly controlling (including but not limited to all directors and
officers), controlled by or under direct or indirect common control with Seller
or Buyer, as applicable. For purposes of the foregoing, a person or entity
shall be deemed to control another person or entity if it possesses, directly
or indirectly, the power to direct or cause direction of the management and
policies of such other person or entity, whether through the ownership of
voting securities, by contract or otherwise. 

          “Appurtenances”
shall mean all rights, titles, and interests of Seller appurtenant to the Land
and Improvements, including, but not limited to, (i) all easements, rights of
way, rights of ingress and egress, tenements, hereditaments, privileges, and
appurtenances in any way belonging to the Land or Improvements, (ii) any land
lying in the bed of any alley, highway, street, road or avenue, open or
proposed, in front of or abutting or adjoining the Land, (iii) any strips or
gores of real estate adjacent to the Land, and (iv) the use of all alleys,
easements and rights-of-way, if any, abutting, adjacent, contiguous to or
adjoining the Land.

1

          “Brand”
shall mean Hilton Garden Inn, the hotel brand or franchise under which the
Hotel operates.

          “Business
Day” shall mean any day other than a Saturday, Sunday or legal holiday in
the Commonwealth of Virginia or the state in which the Property is located.

          “Closing”
shall mean the closing of the purchase and sale of the Property pursuant to
this Contract.

          “Closing
Date” shall have the meaning set forth in Section 10.1.

          “Contracts,
Plans and Specs” shall mean all construction and other contracts, plans,
drawings, specifications, surveys, soil reports, engineering reports,
inspection reports, and other technical descriptions and reports.

          “Deed”
shall have the meaning set forth in Section 10.2(a).

          “Deposits”
shall mean, to the extent assignable, all prepaid rents and deposits,
refundable security deposits and rental deposits, and all other deposits for
advance reservations, banquets or future services, made in connection with the
use or occupancy of the Improvements; provided, however, that to the extent
Seller has not received or does not hold all of the prepaid rents and/or
deposits attributable to the Leases related to the Property, Buyer shall be
entitled to a credit against the cash portion of the Purchase Price allocable
to the Property in an amount equal to the amount of the prepaid rents and/or
deposits attributable to the Leases transferred at the Closing of such
Property, and provided further, that “Deposits” shall exclude (i) reserves for
real property taxes and insurance, in each case, to the extent pro rated on the
settlement statement such that Buyer receives a credit for (a) taxes and
premiums in respect of any period prior to Closing and (b) the amount of
deductibles and other self-insurance and all other potential liabilities and
claims in respect of any period prior to Closing, and (ii) utility deposits.

          “Due
Diligence Examination” shall have the meaning set forth in Section 3.2.

          “Earnest
Money Deposit” shall have the meaning set forth in Section 2.5(a).

          “Environmental
Requirements” shall have the meaning set forth in Section 7.1(f)

          “Escrow
Agent” shall have the meaning set forth in Section 2.5(a).

          “Escrow
Agreement” shall have the meaning set forth in Section 2.5(b).

          “Exception
Documents” shall have the meaning set forth in Section 4.2.

          “Existing
Franchise Agreement” shall mean that certain franchise license agreement
between the Seller and the Franchisor, granting to Seller a franchise to
operate the Hotel under the Brand.

          “Existing
Management Agreement” shall mean that certain management agreement between
the Seller and the Existing Manager for the operation and management of the
Hotel.

2

          “Existing
Manager” shall mean Schulte Hospitality Group/Darryl Schulte, Jr.

          “FF&E”
shall mean all tangible personal property and fixtures of any kind (other than
personal property (i) owned by guests of the Hotel or (ii) leased by Seller
pursuant to an FF&E Lease) attached to, or located upon and used in
connection with the ownership, maintenance, use or operation of the Land or
Improvements as of the date hereof (or acquired by Seller and so employed prior
to Closing), including, but not limited to, all furniture, fixtures, equipment,
signs and related personal property; all heating, lighting, plumbing, drainage,
electrical, air conditioning, and other mechanical fixtures and equipment and
systems; all elevators, and related motors and electrical equipment and
systems; all hot water heaters, furnaces, heating controls, motors and
equipment, all shelving and partitions, all ventilating equipment, and all
disposal equipment; all spa, health club and fitness equipment; all equipment
used in connection with the use and/or maintenance of the guestrooms,
restaurants, lounges, business centers, meeting rooms, swimming pools, indoor
and/or outdoor sports facilities and other common areas and recreational areas;
all carpet, drapes, beds, furniture, televisions and other furnishings; all
stoves, ovens, freezers, refrigerators, dishwashers, disposals, kitchen equipment
and utensils, tables, chairs, plates and other dishes, glasses, silverware,
serving pieces and other restaurant and bar equipment, apparatus and utensils.
A current list of FF&E is attached hereto as Exhibit B.

          “FF&E
Leases” shall mean all leases of any FF&E and other contracts
permitting the use of any FF&E at the Improvements that are assumed by
Buyer.

          “Financial
Statements” shall have the meaning set forth in Section 3.1(b).

          “Franchisor”
shall mean Hilton Garden Inn Franchise LLC.

          “Hotel
Contracts” shall have the meaning set forth in Section 10.2(d).

          “Improvements”
shall mean all buildings, structures, fixtures, parking areas and other
improvements to the Land, and all related facilities.

          “Indemnification
Agreement” shall have the meaning set forth in Article XVII.

          “Indemnified
Party” shall have the meaning set forth in Section 8.8(c)(i).

          “Indemnifying
Party” shall have the meaning set forth in Section 8.8(c)(i).

          “Initial
Deposit” shall have the meaning set forth in Section 2.5(a).

          “Land”
shall mean, collectively, a fee simple absolute interest in the real property
more fully described in Exhibit A, which is attached hereto and
incorporated herein by reference, together with all rights (including without
limitation all air rights, mineral rights and development rights), alleys,
streets, strips, gores, waters, privileges, appurtenances, advantages and
easements belonging thereto or in any way appertaining thereto.

          “Leases”
shall mean all leases, franchises, licenses, occupancy agreements, “trade-out”
agreements, advance bookings, convention reservations, or other agreements
demising space in, providing for the use or occupancy of, or otherwise similarly
affecting or relating to the use or 

3

occupancy of,
the Improvements or Land, together with all amendments, modifications, renewals
and extensions thereof, and all guaranties by third parties of the obligations
of the tenants, licensees, franchisees, concessionaires or other entities
thereunder.

          “Legal
Action” shall have the meaning set forth in Section 8.8(c)(ii).

          “Licenses”
shall mean all permits, licenses, franchises, utility reservations,
certificates of occupancy, and other documents issued by any federal, state, or
municipal authority or by any private party related to the development,
construction, use, occupancy, operation or maintenance of the Hotel, including,
without limitation, all licenses, approvals and rights (including any and all
existing waivers of any brand standard) necessary or appropriate for the
operation of the Hotel under the Brand.

          “Manager”
shall mean the entity Buyer chooses to manage the Hotel from and after Closing.

          “New
Franchise Agreement” shall mean the franchise license agreement to be
entered into between Buyer and the Franchisor, granting to Buyer a franchise to
operate the Hotel under the Brand on and after the Closing Date. 

          “New
Management Agreement” means the management agreement to be entered into
between Buyer and the Manager for the operation and management of the Hotel on
and after the Closing Date.

          “Other
Property” shall have the meaning set forth in Section 16.14.

          “Pending
Claims” shall have the meaning set forth in Section 7.1(e).

          “Permitted
Exceptions” shall have the meaning set forth in Section 4.3.

          “Personal
Property” shall mean, collectively, all of the Property other than the Real
Property. 

          “PIP”
shall mean a product improvement plan for any Hotel, as required by the
Existing Manager or the Franchisor, if any.

          “Post-Closing
Agreement” shall have the meaning set forth in Section 8.9.

          “Property”
shall mean, collectively, (i) all of the following with respect to the Hotel:
the Land, Improvements, Appurtenances, FF&E, Supplies, Leases, Deposits,
Records, Service Contracts, Warranties, Licenses, FF&E Leases, Contracts,
Plans and Specs, Tradenames, Utility Reservations, as well as all other real,
personal or intangible property of Seller related to any of the foregoing and
(ii) any and all of the following that relate to or affect in any way the
design, construction, ownership, use, occupancy, leasing, maintenance, service
or operation of the Real Property, FF&E, Supplies, Leases, Deposits or
Records: Service Contracts, Warranties, Licenses, Tradenames, Contracts, Plans
and Specs and FF&E Lease. 

          “Purchase
Price” shall have the meaning set forth in Section 2.2.

4

          “Real
Property” shall mean, collectively, all Land, Improvements and
Appurtenances with respect to the Hotel. 

          “Records”
shall mean all books, records, promotional material, tenant data, guest history
information (other than any such information owned exclusively by the Existing
Manager), marketing and leasing material and forms (including but not limited
to any such records, data, information, material and forms in the form of
computerized files located at the Hotel), market studies prepared in connection
with Seller’s current annual plan and other materials, information, data, legal
or other documents or records (including, without limitation, all documentation
relating to any litigation or other proceedings, all zoning and/or land use
notices, relating to or affecting the Property, all business plans and
projections and all studies, plans, budgets and contracts related to the
development, construction and/or operation of the Hotel) owned by Seller and/or
in Seller’s possession or control, or to which Seller has access or may obtain
from the Existing Manager, that are used in or relating to the Property and/or
the operation of the Hotel, including the Land, the Improvements or the
FF&E, and proforma budgets and projections and construction budgets and contracts
related to the development and construction of the Hotel and a list of the
general contractors, architects and engineers providing goods and/or services
in connection with the construction of the Hotel, all construction warranties
and guaranties in effect at Closing and copies of the final plans and
specifications for the Hotel.

          “Release”
shall have the meaning set forth in Section 7.1(f).

          “Review
Period” shall have the meaning set forth in Section 3.1.

          “SEC”
shall have the meaning set forth in Section 8.6.

          “Seller
Liens” shall have the meaning set forth in Section 4.3.

          “Seller
Parties” shall have the meaning set forth in Section 7.1(e).

          “Service
Contracts” shall mean contracts or agreements, such as maintenance, supply,
service or utility contracts.

          “Supplies”
shall mean all merchandise, supplies, inventory and other items used for the
operation and maintenance of guest rooms, restaurants, lounges, swimming pools,
health clubs, spas, business centers, meeting rooms and other common areas and
recreational areas located within or relating to the Improvements, including,
without limitation, all food and beverage (alcoholic and non-alcoholic)
inventory (opened or unopened), office supplies and stationery, advertising and
promotional materials, china, glasses, silver/flatware, towels, linen and
bedding (all of which shall be 2-par level for all suites or rooms in the
Hotel), guest cleaning, paper and other supplies, upholstery material, carpets,
rugs, furniture, engineers’ supplies, paint and painters’ supplies, employee
uniforms, and all cleaning and maintenance supplies, including those used in
connection with the swimming pools, indoor and/or outdoor sports facilities,
health clubs, spas, fitness centers, restaurants, business centers, meeting
rooms and other common areas and recreational areas.

          “Survey”
shall have the meaning set forth in Section 4.1.

5

          “Third
Party Consents” shall have the meaning set forth in Section 8.3.

          “Title
Commitment” shall have the meaning set forth in Section 4.2.

          “Title
Company” shall have the meaning set forth in Section 4.2.

          “Title
Policy” shall have the meaning set forth in Section 4.2.

          “Title
Review Period” shall have the meaning set forth in Section 4.3.

          “Tradenames”
shall mean all telephone exchanges and numbers, trade names, trade styles,
trade marks, and other identifying material, and all variations thereof,
together with all related goodwill (it being understood and agreed that the
name of the hotel chain to which the Hotel is affiliated by franchise, license
or management agreement is a protected name or registered service mark of such
hotel chain and cannot be transferred to Buyer by this Contract, provided that
all such franchise, license, management and other agreements granting a right
to use the name of such hotel chain or any other trademark or trade name and
all waivers of any brand standard shall be assigned to Buyer.

          “Utility
Reservations” shall mean Seller’s interest in the right to receive
immediately on and after Closing and continuously consume thereafter water
service, sanitary and storm sewer service, electrical service, gas service and
telephone service on and for the Land and Improvements in capacities that are
adequate continuously to use and operate the Improvements for the purposes for
which they were intended, including, but not limited to (i) any right to the
present and future use of wastewater, drainage, water and other utility
facilities to the extent such use benefits the Real Property, (ii) any
reservations of or commitments covering any such use in the future, and (iii)
any wastewater capacity reservations relating to the Real Property. Buyer shall
be responsible for any requests or documents to transfer the Utility
Reservations, at Buyer’s sole cost and expense. 

          “Warranties”
shall mean all warranties, guaranties, indemnities and claims for the benefit
of Seller with respect to the Hotel, the Property or any portion thereof,
including, without limitation, all warranties and guaranties of the
development, construction, completion, installation, equipping and furnishing
of the Hotel, and all indemnities, bonds and claims of Seller related thereto.

ARTICLE II

PURCHASE AND SALE; PURCHASE PRICE; PAYMENT;

EARNEST MONEY DEPOSIT

          2.1
Purchase and Sale. Seller agrees to sell and convey to Buyer or its
Affiliates and/or assigns, and Buyer or its assigns agrees to purchase from
Seller, the Property, in consideration of the Purchase Price and upon the terms
and conditions hereof. All of the Property shall be conveyed, assigned, and
transferred to Buyer at Closing, free and clear of all mortgages, liens,
encumbrances, licenses, franchises (other than any hotel franchises assumed by
Buyer), concession agreements, security interests, prior assignments or
conveyances, conditions, restrictions, rights-of-way, easements, encroachments,
claims and other matters affecting title or possession, except for the
Permitted Exceptions.

6

          2.2
Purchase Price. Buyer agrees to pay, and Seller agrees to accept, as
consideration for the conveyance of the Property, subject to the adjustments
provided for in this Contract, the amount of Fourteen Million Eight Hundred
Twenty-Five Thousand and No/100 Dollars ($14,825,000.00) (the “Purchase
Price”).

          2.3
Allocation. Buyer and Seller shall attempt to agree, prior to the
expiration of the Review Period, on an allocation of the Purchase Price among
Real Property, tangible Personal Property and intangible property related to
the Property. In the event Buyer and Seller do not agree, each party shall be
free to allocate the Purchase Price to such items as they deem appropriate,
subject to and in accordance with applicable laws.

          2.4
Payment. The portion of the Purchase Price, less the Earnest Money
Deposit and interest earned thereon, if any, which Buyer elects to have applied
against the Purchase Price (as provided below), less the Escrow Funds, shall be
paid to Seller in cash, certified funds or wire transfer, at the Closing of the
Property. At the Closing, the Earnest Money Deposit, together with interest
earned thereon, if any, shall, at Buyer’s election, be returned to Buyer or
shall be paid over to Seller by Escrow Agent to be applied to the portion of
the Purchase Price on behalf of Buyer, and the Escrow Funds shall be deposited
into an escrow account pursuant to the Post-Closing Agreement as contemplated
by Section 8.9. 

          2.5
Earnest Money Deposit.

                    (a)
Within three (3) Business Days after the full execution and delivery of this
Contract, Buyer shall deposit the sum of One Hundred Thousand and No/100
Dollars ($100,000.00) in cash, certified bank check or by wire transfer of
immediately available funds (the “Initial Deposit”) with the Title
Company, as escrow agent (“Escrow Agent”), which sum shall be held
by Escrow Agent as earnest money. If, pursuant to the provisions of Section 3.1
of this Contract, Buyer elects to terminate this Contract at any time prior to
the expiration of the Review Period, then the Escrow Agent shall return the
Earnest Money Deposit to Buyer promptly upon written notice to that effect from
Buyer. If Buyer does not elect to terminate this Contract on or before the
expiration of the Review Period, Buyer shall, within three (3) Business Days
after the expiration of the Review Period deposit the Additional Deposit with
the Escrow Agent. The Initial Deposit and the Additional Deposit, and all
interest accrued thereon, shall hereinafter be referred to as the “Earnest
Money Deposit.”

                    (b)
The Earnest Money Deposit shall be held by Escrow Agent subject to the terms
and conditions of an Escrow Agreement dated as of the date of this Contract
entered into by Seller, Buyer and Escrow Agent (the “Escrow Agreement”).
The Earnest Money Deposit shall be held in an interest-bearing account in a
federally insured bank or savings institution reasonably acceptable to Seller
and Buyer, with all interest to accrue to the benefit of the party entitled to
receive it and to be reportable by such party for income tax purposes.

ARTICLE III

REVIEW PERIOD

          3.1
Review Period. Buyer shall have a period through 6:00 p.m. Eastern Time
on the date that is sixty (60) days after the date of this Contract, unless a
longer period of time is 

7

otherwise
provided for in this Contract and except as otherwise agreed to by Buyer and
Seller (the “Review Period”), to evaluate the legal, title, survey,
construction, physical condition, structural, mechanical, environmental,
economic, permit status, franchise status, financial and other documents and
information related to the Property. Within seven (7) Business Days following
the date of this Contract, Seller, at Seller’s sole cost and expense, will
deliver to Buyer (or make available at the Hotel) for Buyer’s review, to the
extent not previously delivered to Buyer, true, correct and complete copies of
the following, together with all amendments, modifications, renewals or
extensions thereof and subject to Section 16.6 herein:

                    (a)
All Warranties and Licenses relating to the Hotel or any part thereof;

                    (b)
Income and expense statements and budgets for the Hotel, for the current year
to date and each of the three (3) prior fiscal years (the “Financial Statements”),
and Seller shall provide to Buyer copies of all income and expense statements
generated by Seller or any third party that relate to the operations of the
Hotel and that contain information not included in the financial statements, if
any, provided to Buyer by the Existing Manager, provided that Seller also
agrees to provide to Buyer’s auditors and representatives all financial and
other information necessary or appropriate for preparation of audited financial
statements for Buyer and/or its Affiliates as provided in Section 8.6, below;

                    (c)
All real estate and personal property tax statements with respect to the Hotel
and notices of appraised value for the Real Property for the current year (if
available) and each of the three (3) calendar years prior to the current year;

                    (d)
Engineering, mechanical, architectural and construction plans, drawings,
specifications and contracts, payment and performance bonds, title policies,
reports and commitments, zoning information and marketing and economic data
relating to the Hotel and the construction, development, installation and
equipping thereof, as well as copies of all environmental reports and
information, topographical, boundary or “as built” surveys, engineering
reports, subsurface studies and other Contracts, Plans and Specs relating to or
affecting the Hotel. If the Hotel is purchased by Buyer, all such documents and
information relating to the Hotel shall thereupon be and become the property of
Buyer without payment of any additional consideration therefor;

                    (e)
All FF&E Leases, Services Contracts, Leases and, if applicable, a schedule
of such Leases of space in the Hotel, and all agreements for real estate
commissions, brokerage fees, finder’s fees or other compensation payable by
Seller in connection therewith; and

                    (f)
All notices received from governmental authorities in connection with the Hotel
and all other notices received from governmental authorities received at any
time that relate to any noncompliance or violation of law that has not been
corrected.

                    (g)
Any other information described on Schedule 3.1 attached hereto.

          Seller
shall, upon request of Buyer, make available to Buyer and Buyer’s
representatives and agents, for inspection and copying during normal business
hours, Records located at Seller’s corporate offices, and Seller agrees to provide
Buyer copies of all other reasonably requested

8

information that is relevant to the management, operation, use, occupancy or
leasing of or title to the applicable Hotel and the plans specifications for
development of the Hotel. At any time during the Review Period, Buyer may, in
its sole and absolute discretion, elect not to proceed with the purchase of the
Property for any reason whatsoever by giving written notice thereof to Seller,
in which event: (i) the Earnest Money Deposit shall be promptly returned by
Escrow Agent to Buyer together with all accrued interest, if any, (ii) this
Contract shall be terminated automatically, (iii) all materials supplied by
Seller to Buyer shall be returned promptly to Seller, and (iv) both parties
will be relieved of all other rights, obligations and liabilities hereunder,
except for the parties’ obligations pursuant to Sections 3.3 and 16.6 below.

          3.2
Due Diligence Examination. At any time during the Review Period, and
thereafter through Closing of the Property, Buyer and/or its representatives
and agents shall have the right to enter upon the Property at all reasonable
times after notice to the Seller for the purposes of reviewing all Records and
other data, documents and/or information relating to the Property and conducting
such surveys, appraisals, engineering tests, soil tests (including, without
limitation, Phase I and Phase II environmental site assessments), inspections
of construction and other inspections and other studies as Buyer deems
reasonable and necessary or appropriate to evaluate the Property, subject to
providing reasonable advance notice to Seller unless otherwise agreed to by
Buyer and Seller (the “Due Diligence Examination”). Seller
shall have the right to have its representative present during Buyer’s physical
inspections of its Property, provided that failure of Seller to do so shall not
prevent Buyer from exercising its due diligence, review and inspection rights
hereunder. Buyer agrees to exercise reasonable care when visiting the Property,
in a manner which shall not materially adversely affect the operation of the
Property.

          3.3
Restoration. Buyer covenants and agrees not to damage or destroy any
portion of the Property in conducting its examinations and studies of the
Property during the Due Diligence Examination and, if closing does not occur,
shall hold the Seller harmless and repair any portion of the Property damaged
by the conduct of Buyer, its agents or employees, to substantially the
condition such portion(s) of the Property were in immediately prior to such
examinations or studies. 

          3.4
Seller Exhibits. Buyer shall have until the end of the Review Period to
review and approve the information on Exhibits B, C, D, E and F. In the event
Buyer does not approve any such Exhibit or the information contained therein,
Buyer shall be entitled to terminate this Contract prior to the end of the
Review Period by notice to Seller and the Earnest Money Deposit shall be
returned to Buyer with all interest thereon and both parties shall be relieved
of all rights, obligations and liabilities hereunder except for the parties’
obligations pursuant to Sections 3.3 and 16.6.

ARTICLE IV

SURVEY AND TITLE APPROVAL

          4.1
Survey. Seller has delivered or shall cause to be delivered to Buyer
true, correct and complete copies of the most recent surveys of the Real
Property. In the event that an update of the survey or a new survey (such
updated or new surveys being referred to as the “Survey”) are desired
by Buyer, then Buyer shall be responsible for all costs related thereto.

9

          4.2
Title. Seller has delivered or shall cause to be delivered to Buyer an
existing title insurance policy, including copies of all documents referred to
therein, for its Real Property. Buyer’s obligations under this Contract are
conditioned upon Buyer being able to obtain for the Property (i) a Commitment
for Title Insurance (the “Title Commitment”) issued by Chicago
Title Company, Attn: Debby Moore, 5501 LBJ Freeway, Ste. 200, Dallas, Texas
75240 (the “Title Company”), for the most recent standard form of
owner’s policy of title insurance in the state in which the Real Property is
located, covering the Real Property, setting forth the current status of the
title to the Real Property, showing all liens, claims, encumbrances, easements,
rights of way, encroachments, reservations, restrictions and any other matters
affecting the Real Property and pursuant to which the Title Company agrees to
issue to Buyer at Closing an Owner’s Policy of Title Insurance on the most
recent form of ALTA (where available) owner’s policy available in the state in
which the Land is located, with extended coverage and, to the extent applicable
and available in such state, comprehensive, access, single tax parcel, survey,
contiguity, and such other endorsements as may be required by Buyer
(collectively, the “Title Policy”); and (ii) true,
complete, legible and, where applicable, recorded copies of all documents and
instruments (the “Exception Documents”) referred to or
identified in the Title Commitment, including, but not limited to, all deeds,
lien instruments, leases, plats, surveys, reservations, restrictions, and
easements affecting the Real Property. 

          4.3
Survey or Title Objections. If Buyer discovers any title or survey
matter which is objectionable to Buyer, Buyer may provide Seller with written
notice of its objection to same on or before the expiration of the Review
Period (the “Title Review Period”). If Buyer fails to so object in
writing to any such matter set forth in the Survey or Title Commitment, it
shall be conclusively assumed that Buyer has approved same. If Buyer
disapproves any condition of title, survey or other matters by written
objection to Seller on or before the expiration of the Title Review Period, Seller
shall elect either to attempt to cure or not cure any such item by written
notice sent to Buyer within five (5) business days after its receipt of notice
from Buyer, and if Seller commits in writing to attempt to cure any such item,
then Seller shall be given until the Closing Date to cure any such defect. In
the event Seller shall fail to cure a defect which Seller has committed in
writing to cure prior to Closing, or if a new title defect arises after the
date of Buyer’s Title Commitment or Survey, as applicable, but prior to
Closing, then Buyer may elect, in Buyer’s sole and absolute discretion: (i) to
waive such objection and proceed to Closing, or (ii) to terminate this Contract
and receive a return of the Earnest Money Deposit, and any interest thereon.
The items shown on the Title Commitment which are not objected to by Buyer as
set forth above (other than exceptions and title defects arising after the
title review period and other than those standard exceptions which are
ordinarily and customarily omitted in the state in which the applicable Hotel
is located, so long as Seller provides the appropriate owner’s affidavit, gap
indemnity or other documentation reasonably required by the Title Company for
such omission) are hereinafter referred to as the “Permitted Exceptions.”
In no event shall Permitted Exceptions include liens, or documents evidencing
liens, securing any indebtedness (including vehicle or FF&E leases or
financing arrangements) any mechanics’ or materialmen’s liens or any claims or
potential claims therefor covering the Property or any portion thereof (“Seller
Liens”), each of which shall be paid in full by Seller and
released at Closing. If a vehicle or FF&E lease or other financing cannot
be released at Closing, Seller shall credit Buyer at Closing with the amount
necessary to fully pay off such lease or financing over its term.

10

ARTICLE V

TERMINATION OF MANAGEMENT AGREEMENT AND FRANCHISE AGREEMENT

          At
or prior to the Closing, Seller shall terminate the Existing Management
Agreement and the Existing Franchise Agreement. Seller shall be solely
responsible for all claims and liabilities arising thereunder on, prior to the
Closing Date, including outstanding fees, charges or costs and further
including the repayment of any key money, if any. As a condition to Closing,
Buyer shall enter into the New Franchise Agreement, effective as of the Closing
Date, containing terms and conditions acceptable to Buyer. Seller’s termination
of the Franchise Agreement and the Buyer’s new Franchise Agreement shall cause
a voluntary termination of the Seller’s Franchise Agreement (“VTA”) which shall
be without cost or expense to the parties. Seller shall be responsible for
paying all costs related to the termination of the Existing Management Agreement.
Seller shall use best efforts to promptly provide all information required by
the Franchisor in connection with the New Franchise Agreement, and Seller and
Buyer shall diligently pursue obtaining each the same. 

ARTICLE VI

BROKERS

          Seller
and Buyer each represents and warrants to the other that other than Hotel
Assets Group it has not engaged any other broker, finder or other party in
connection with the transaction contemplated by this Contract. Buyer and Seller
each agree to save and hold the other harmless from any and all losses,
damages, liabilities, costs and expenses (including, without limitation,
attorneys’ fees) involving claims made by any other agent, broker, or other
person by or through the acts of Buyer or Seller, respectively, in connection
with this transaction. The Seller shall be responsible for paying commission to
Hotel Assets Group in the amount of $222,375.00 which shall be due and payable
at closing. 

ARTICLE VII

REPRESENTATIONS, WARRANTIES AND COVENANTS

          7.1
Seller’s Representations, Warranties and Covenants. Seller hereby
represents, warrants and covenants to Buyer as follows:

                    (a)
Authority; No Conflicts. Seller is a limited liability company duly
formed, validly existing and in good standing in the State of Ohio. Seller has
obtained all necessary consents to enter into and perform this Contract and is
fully authorized to enter into and perform this Contract and to complete the
transactions contemplated by this Contract. No consent or approval of any
person, entity or governmental authority is required for the execution,
delivery or performance by Seller of this Contract, except as set forth in Exhibit
D, and this Contract is hereby binding and enforceable against Seller.
Neither the execution nor the performance of, or compliance with, this Contract
by Seller has resulted, or will result, in any violation of, or default under,
or acceleration of, any obligation under any existing corporate charter,
certificate of incorporation, bylaw, articles of organization, limited
liability company agreement or regulations, partnership agreement or other
organizational documents and under 

11

any, mortgage
indenture, lien agreement, promissory note, contract, or permit, or any
judgment, decree, order, restrictive covenant, statute, rule or regulation,
applicable to Seller or to the Hotel.

                    (b)
FIRPTA. Seller is not a foreign corporation, foreign partnership,
foreign trust or foreign estate (as those items are defined in the Internal Revenue
Code and Income Tax Regulations).

                    (c)
Bankruptcy. Neither Seller, nor to Seller’s knowledge, any of its
partners or members, is insolvent or the subject of any bankruptcy proceeding,
receivership proceeding or other insolvency, dissolution, reorganization or
similar proceeding.

                    (d)
Property Agreements. A complete list of all FF&E Leases, Service
Contracts and Leases (other than those entered into by the Existing Manager on
its own behalf) used in or otherwise relating to the operation and business of
the Hotel is attached hereto as Exhibit C-1, and, to Seller’s knowledge,
a complete list of all other FF&E Leases, Service Contracts and Leases used
in or otherwise relating to the operation and business of the Hotel is attached
hereto as Exhibit C-2. The assets constituting the Property to be
conveyed to Buyer hereunder constitute all of the property and assets of Seller
used in connection with the operation and business of the Hotel. There are no
leases, license agreements, leasing agent’s agreements, equipment leases,
building service agreements, maintenance contracts, suppliers contracts,
warranty contracts, operating agreements, or other agreements (i) to which
Seller is a party or an assignee, or (ii) to Seller’s knowledge, binding
upon the Hotel, relating to the ownership, occupancy, operation, management or
maintenance of the Real Property, FF&E, Supplies or Tradenames, except for
those Service Contracts, Leases, Warranties and FF&E Leases disclosed on Exhibit
C or to be delivered to Buyer pursuant to Section 3.1. The Service
Contracts, Leases, Warranties and FF&E Leases disclosed on Exhibit C
or to be delivered to Buyer pursuant to Section 3.1 are in full force and
effect, and no default has occurred and is continuing thereunder and no
circumstances exist which, with the giving of notice, the lapse of time or
both, would constitute such a default. No party has any right or option to
acquire the Hotel or any portion thereof, other than Buyer.

                    (e)
Pending Claims. To the best of Seller’s knowledge, there are no: (i)
claims, demands, litigation, proceedings or governmental investigations pending
or threatened against Seller, the Existing Manager or any Affiliate of any of
them (collectively, “Seller Parties”) or related to the
business or assets of the Hotel, except as set forth on Exhibit F
attached hereto and incorporated herein by reference, (ii) special assessments
or extraordinary taxes except as set forth in the Title Commitment or (iii)
pending or threatened condemnation or eminent domain proceedings which would
affect the Property or any part thereof. There are no: pending arbitration
proceedings or unsatisfied arbitration awards, or judicial proceedings or
orders respecting awards, which might become a lien on the Property or any
portion thereof, pending unfair labor practice charges or complaints,
unsatisfied unfair labor practice orders or judicial proceedings or orders with
respect thereto, pending charges or complaints with or by city, state or
federal civil or human rights agencies, unremedied orders by such agencies or
judicial proceedings or orders with respect to obligations under city, state or
federal civil or human rights or antidiscrimination laws or executive orders
affecting the Hotel, or other pending, actual or, to Seller’s knowledge,
threatened litigation claims, charges, complaints, petitions or 

12

unsatisfied
orders by or before any administrative agency or court which affect the Hotel
or might become a lien on the Hotel (collectively, the “Pending Claims”).

                    (f)
Environmental. With respect to environmental matters, to Seller’s actual
knowledge, without investigation, (i) there has been no Release or threat of
Release of Hazardous Materials in, on, under, to, from or in the area of the
Real Property, except as disclosed in the reports and documents set forth on Exhibit
E attached hereto and incorporated herein by reference, (ii) no portion of
the Property is being used for the treatment, storage, disposal or other
handling of Hazardous Materials or machinery containing Hazardous Materials
other than standard amounts of cleaning supplies and chlorine for the swimming
pool, all of which are stored on the Property in strict accordance with
applicable Environmental Requirements and do not exceed limits permitted under
applicable laws, including without limitation Environmental Requirements, (iii)
no underground storage tanks are currently located on or in the Real Property
or any portion thereof, (iv) no environmental investigation, administrative
order, notification, consent order, litigation, claim, judgment or settlement
with respect to the Property or any portion thereof is pending or threatened in
writing, (v) there is not currently and, to Seller’s actual knowledge, never
has been any mold, fungal or other microbial growth in or on the Real Property,
or existing conditions within buildings, structures or mechanical equipment
serving such buildings or structures, that could reasonably be expected to
result in material liability or material costs or expenses to remediate the
mold, fungal or microbial growth, or to remedy such conditions that could
reasonably be expected to result in such growth, and (vi) except as disclosed
on Exhibit E, there are no reports or other documentation regarding the
environmental condition of the Real Property in the possession of Seller or
Seller’s Affiliates, consultants, contractors or agents. As used in this
Contract: “Hazardous Materials” means (1) “hazardous wastes” as
defined by the Resource Conservation and Recovery Act of 1976, as amended from
time to time (“RCRA”), (2) “hazardous substances” as defined by the
Comprehensive Environmental Response, Compensation and Liability Act of 1980
(42 U.S.C. 9601 et seq.), as amended by the Superfund Amendment
and Reauthorization Act of 1986 and as otherwise amended from time to time (“CERCLA”);
(3) “toxic substances” as defined by the Toxic Substances Control Act, as
amended from time to time (“TSCA”), (4) “hazardous materials” as
defined by the Hazardous Materials Transportation Act, as amended from time to
time (“HMTA”),
(5) asbestos, oil or other petroleum products, radioactive materials, urea
formaldehyde foam insulation, radon gas and transformers or other equipment
that contains dielectric fluid containing polychlorinated biphenyls and (6) any
substance whose presence is detrimental or hazardous to health or the
environment, including, without limitation, microbial or fungal matter or mold,
or is otherwise regulated by federal, state and local environmental laws
(including, without limitation, RCRA, CERCLA, TSCA, HMTA), rules, regulations
and orders, regulating, relating to or imposing liability or standards of
conduct concerning any Hazardous Materials or environmental, health or safety
compliance (collectively, “Environmental Requirements”). As used
in this Contract: “Release” means spilling, leaking,
pumping, pouring, emitting, emptying, discharging, injecting, escaping,
leaching, dumping or disposing.

                    (g)
Title and Liens. Except for Seller Liens to be released at Closing,
Seller has good and marketable fee simple absolute title to the Real Property,
subject only to the Permitted Exceptions. Except for the FF&E subject to
the FF&E Leases and any applicable 

13

Permitted
Exceptions, Seller has good and marketable title to the Personal Property, free
and clear of all liens, claims, encumbrances or other rights whatsoever (other
than the Seller Liens which must be released at Closing), and there are no
other liens, claims, encumbrances or other rights pending or of which any
Seller Party has received notice or which are otherwise known to any Seller
Party related to any other Personal Property.

                    (h)
Utilities. All appropriate utilities, including sanitary and storm
sewers, water, gas, telephone, cable and electricity, are, to Seller’s
knowledge, currently sufficient and available to service the Hotel and all
installation, connection or “tap-on”, usage and similar fees have been paid.

                    (i)
Licenses, Permits and Approvals. Seller has not received any written
notice, and Seller has no knowledge that the Property fails to materially
comply with all applicable licenses, permits and approvals and federal, state
or local statutes, laws, ordinances, rules, regulations, requirements and codes
including, without limitation, those regarding zoning, land use, building,
fire, health, safety, environmental, subdivision, water quality, sanitation
controls and the Americans with Disabilities Act, and similar rules and
regulations relating and/or applicable to the ownership, use and operation of
the Property as it is now operated. Seller has received all licenses, permits
and approvals required or needed for the lawful conduct, occupancy and operation
of the business of the Hotel, and each license and permit is in full force and
effect, and will be received and in full force and effect as of the Closing. No
licenses, permits or approvals necessary for the lawful conduct, occupancy or
operation of the business of the Hotel, to Seller’s knowledge requires any
approval of a governmental authority for transfer of the Property except as set
forth in Exhibit D.

                    (j)
Financial Statements. Seller has delivered copies of all prior and
current (i) Financial Statements for the Hotel, (ii) operating statements
prepared by the Existing Manager for the Hotel, and (iii) monthly financial
statements prepared by the Existing Manager for the Hotel. Each of such
statements is, to Seller’s knowledge, complete and accurate in all material
respects and, except in the case of budgets prepared in advance of the
applicable operating period to which such budgets relate, fairly presents the
results of operations of the Hotel for the respective periods represented
thereby. Seller has relied upon the Financial Statements in connection with its
ownership and operation of the Hotel, and there are no independent audits or
financial statements prepared by third parties relating to the operation of the
Hotel other than the Financial Statements prepared by or on behalf of the
Existing Manager, all of which have been provided to Buyer.

                    (k)
Employees. All employees employed at the Hotel are the employees of the
Existing Manager. There are, to Seller’s knowledge, no (i) unions organized at
the Hotel, (ii) union organizing attempts, strikes, organized work stoppages or
slow downs, or any other labor disputes pending or threatened with respect to
any of the employees at the Hotel, or (iii) collective bargaining or other
labor agreements to which Seller or the Existing Manager or the Hotel is bound
with respect to any employees employed at the Hotel.

                    (l)
Operations. The Hotel has at all times been operated by Existing Manager
in accordance with all applicable laws, rules, regulations, ordinances and
codes.

14

                    (m)
Existing Management and Franchise Agreements. Seller has furnished to
Buyer true and complete copies of the Existing Management Agreement and the
Existing Franchise Agreement, which constitutes the entire agreement of the
parties thereto with respect to the subject matter thereof and which have not
been amended or supplemented in any respect. There are no other management
agreements, franchise agreements, license agreements or similar agreements for
the operation or management of the Hotel or relating to the Brand, to which
Seller is a party or which are binding upon the Property, except for the
Existing Management Agreement and the Existing Franchise Agreement. The
Improvements comply with, and the Hotel is being operated in accordance with,
all requirements of such Existing Management Agreement and the Existing
Franchise Agreement and all other requirements of the Existing Manager and the
Franchisor, including all “brand standard” requirements of the Existing Manager
and the Franchisor. The Existing Management Agreement and the Existing
Franchise Agreement are in full force and effect, and shall remain in full
force and effect until the termination of the Existing Management Agreement and
the Existing Franchise Agreement at Closing, as provided in Article V hereof.
No default has occurred and is continuing under the Existing Management
Agreement or the Existing Franchise Agreement, and no circumstances exist which,
with the giving of notice, the lapse of time or both, would constitute such a
default. 

                    (n)
Construction of Hotel. To the actual knowledge of Seller, without
investigation:

	
  

 	
  

 
	
  

 	
                     (i)
 The Hotel has been constructed in a good and workmanlike manner without
 encroachments and in accordance in all material respects with the Contracts,
 Plans and Specs, and all building permits and certificates of occupancy
 therefor and all applicable zoning, platting, subdivision, health, safety and
 similar laws, rules, regulations, ordinances and codes.

 
	
  

 	
  

 
	
  

 	
                     (ii)
 The Personal Property is in good condition and operating order.

 
	
  

 	
  

 
	
  

 	
                     (iii)
 Necessary easements for ingress and egress, drainage, signage and utilities
 serving the Hotel have either been dedicated to the public, conveyed to the
 appropriate utility or will be conveyed to Buyer along with the Property.

 

          7.2
Buyer’s Representations, Warranties and Covenants. Buyer represents,
warrants and covenants: 

                    (a)
Authority. Buyer is a corporation duly formed, validly existing and in
good standing in the Commonwealth of Virginia. Buyer has received or will have
received by the applicable Closing Date all necessary authorization of the
Board of Directors of Buyer to complete the transactions contemplated by this
Contract. No other consent or approval of any person, entity or governmental
authority is required for the execution, delivery or performance by Buyer of
this Contract, and this Contract is hereby binding and enforceable against
Buyer.

15

                    (b)
Bankruptcy. Buyer is not insolvent nor the subject of any bankruptcy
proceeding, receivership proceeding or other insolvency, dissolution,
reorganization or similar proceeding.

          7.3
Survival. All of the representations and warranties are true, correct
and complete in all material respects as of the date hereof and the statements
set forth therein (without qualification or limitation as to a party’s
knowledge thereof except as expressly provided for in this Article VII) shall
be true, correct and complete in all material respects as of the Closing Date.
All of the representations and warranties made herein shall survive Closing for
a period of twelve (12) months and shall not be deemed to merge into or be
waived by the Deed or any other closing documents.

ARTICLE VIII

ADDITIONAL COVENANTS

          8.1
Subsequent Developments. After the date of this Contract and until the
Closing Date, Seller shall use best efforts to keep Buyer fully informed of all
subsequent developments of which Seller has knowledge (“Subsequent Developments”)
which would cause any of Seller’s representations or warranties contained in
this Contract to be no longer accurate in any material respect.

          8.2
Operations. From and after the date hereof through the Closing on the
Property, Seller shall comply with the Existing Management Agreement and the
Existing Franchise Agreement and keep the same in full force and effect and
shall perform and comply with all of the following subject to and in accordance
with the terms of such agreements:

                    (a)
Continue to maintain the Property generally in accordance with prudent business
practices and pursuant to and in compliance with the Existing Management
Agreement and the Existing Franchise Agreement, including, without limitation,
(i) using reasonable efforts to keep available the services of all present
employees at the Hotel and to preserve its relations with guests, suppliers and
other parties doing business with Seller with respect to the Hotel, (ii)
accepting booking contracts for the use of the Hotel’s facilities retaining
such bookings in accordance with the terms of the Existing Management Agreement
and the Existing Franchise Agreement, (iii) maintaining the current level of
advertising and other promotional activities for the Hotel’s facilities, (iv)
maintaining the present level of insurance with respect to the Hotel in full
force and effect until the Closing Date for the Hotel and (v) remaining in
compliance in all material respects with all current Licenses;

                    
(b) Keep, observe, and perform in all material respects all its obligations
under and pursuant to the Leases, the Service Contracts, the FF&E Leases,
the Existing Management Agreement, the Existing Franchise Agreement, the
Contracts, Plans and Specs, the Warranties and all other applicable contractual
arrangements relating to the Hotel;

                    
(c) Not cause or permit the removal of FF&E from the Hotel except for the
purpose of discarding worn and valueless items that have been replaced with
FF&E of equal or better quality; timely make all repairs, maintenance, and
replacements to keep all FF&E and all other Personal Property and all Real
Property in good operating condition; keep and maintain the 

16

Hotel in a
good state of repair and condition, reasonable and ordinary wear and tear
excepted; and not commit waste of any portion of the Hotel;

                    
(d) Maintain the levels and quality of the Personal Property generally at the
levels and quality existing on the date hereof and keep merchandise, supplies
and inventory adequately stocked, consistent with good business practice, as if
the sale of the Hotel hereunder were not to occur, including, without
limitation, maintaining linens and bath towels at least at a 2-par level for
all suites or rooms of the Hotel;

                    
(e) Advise Buyer promptly of any litigation, arbitration, or administrative
hearing before any court or governmental agency concerning or affecting the
Hotel which is instituted or threatened after the date of this Contract or if
any representation or warranty contained in this Contract shall become false;

                    
(f) Not take, or purposefully omit to take, any action that would have the
effect of violating any of the representations, warranties, covenants or
agreements of Seller contained in this Contract;

                    
(g) Pay or cause to be paid all taxes, assessments and other impositions levied
or assessed on the Hotel or any part thereof prior to the delinquency date, and
comply with all federal, state, and municipal laws, ordinances, regulations and
orders relating to the Hotel;

                    
(h) Not sell or assign, or enter into any agreement to sell or assign, or
create or permit to exist any lien or encumbrance (other than a Permitted
Exception) on, the Property or any portion thereof; and

                    
(i) Not allow any permit, receipt, license, franchise or right currently in
existence with respect to the operation, use, occupancy or maintenance of the
Hotel to expire, be canceled or otherwise terminated.

          Neither
Seller nor Existing Manager shall, without first obtaining the written approval
of Buyer, which approval shall not be unreasonably withheld, enter into any new
FF&E Leases, Service Contracts, Leases or other contracts or agreements
related to the Hotel, or extend any existing such agreements, unless such
agreements (x) can be terminated, without payment or penalty, upon thirty (30)
days’ prior notice or (y) will expire prior to the Closing Date.

          8.3
Third Party Consents. Prior to the Closing Date, Seller shall, at its
expense, (i) obtain any and all third party consents and approvals (x) required
in order to transfer the Hotel to Buyer, or (y) which, if not obtained, would
materially adversely affect the operation of the Hotel, including, without
limitation, all consents and approvals referred to on Exhibit D and (ii)
use best efforts to obtain all other third party consents and approvals (all of
such consents and approvals in (i) and (ii) above being referred to
collectively as, the “Third Party Consents”).

          8.4
Employees. Upon reasonable prior notice to Seller by Buyer, Buyer and
its employees, representatives and agents shall have the right to communicate
with Seller’s staff, and, subject to the approval of the Existing Manager, the
Hotel staff and the Existing Manager’s staff, including without limitation the
general manager, the director of sales, the engineering staff and other key management
employees of the Hotel, at any time before Closing. Buyer shall not 

17

interfere with
the operations of the Hotel while engaging in such communication in a manner
that materially adversely affects the operation of any Property or the Existing
Management Agreements. 

          8.5
Estoppel Certificates. Seller shall obtain from (i) each tenant under
any Lease affecting the Hotel (but not from current or prospective occupants of
hotel rooms and suites within the Hotel), (ii) each lessor under any FF&E
Lease for the Hotel identified by Buyer as a material FF&E Lease, and (iii)
each declarant, property owners’ association or similar entity have authority
over the development of which the Property is a part, if any, the estoppel
certificates substantially in the forms provided by Buyer to Seller, and
deliver to Buyer on or before Closing. The information contained in such
estoppel certificates shall be subject to Buyer’s reasonable approval and shall
contain no materially adverse information (e.g., no defaults by the Property as
to use, construction or otherwise and no past due fees, dues, charges or
assessments).

          8.6
Access to Financial Information. Buyer’s representatives shall have
access to, and Seller and its Affiliates shall cooperate with Buyer and furnish
upon request, all financial and other information relating to the Hotel’s
operations to the extent necessary to enable Buyer’s representatives to prepare
audited financial statements in conformity with Regulation S-X of the
Securities and Exchange Commission (the “SEC”) and other applicable rules and
regulations of the SEC and to enable them to prepare a registration statement,
report or disclosure statement for filing with the SEC on behalf of Buyer or
its Affiliates, whether before or after Closing and regardless of whether such
information is included in the Records to be transferred to Buyer hereunder.
Seller shall also provide to Buyer’s representative a signed representation
letter in form and substance reasonably acceptable to Seller sufficient to
enable an independent public accountant to render an opinion on the financial
statements related to the Hotel. Buyer will reimburse Seller for costs
reasonably incurred by Seller to comply with the requirements of the preceding
sentence to the extent that Seller is required to incur costs not in the
ordinary course of business for third parties to provide such representation
letters. The provisions of this Section shall survive Closing or termination of
this Contract.

          8.7
Bulk Sales. At Seller’s risk and expense, Seller shall take all steps
necessary to comply with the requirements of a transferor under all bulk
transfer laws, if any, that are applicable to the transactions contemplated by
this Contract. 

          8.8
Indemnification. If the transactions contemplated by this Contract are
consummated as provided herein:

                    
(a) Indemnification of Buyer. Without in any way limiting or diminishing
the warranties, representations or agreements herein contained or the rights or
remedies available to Buyer for a breach hereof, Seller hereby agrees to
indemnify, defend and hold harmless Buyer and its respective designees,
successors and assigns from and against all losses, judgments, liabilities,
claims, damages or expenses (including reasonable attorneys’ fees) of every
kind, nature and description in existence before, on or after Closing, whether
known or unknown, absolute or continent, joint or several, arising out of or
relating to:

18

	
  

 	
  

 
	
  

 	
                               (i)
 any claim made or asserted against Buyer or any of the Property by a creditor
 of Seller, including any claims based on or alleging a violation of any bulk
 sales act or other similar laws;

 
	
  

 	
  

 
	
  

 	
                               
 (ii) the material breach of any representation, warranty, covenant or
 agreement of Seller contained in this Contract, except to the extent that
 Buyer had actual knowledge of such breach prior to Closing;

 
	
  

 	
  

 
	
  

 	
                               
 (iii) any liability or obligation of Seller not expressly assumed by Buyer
 pursuant to this Contract;

 
	
  

 	
  

 
	
  

 	
                               
 (iv) any claim made or asserted by an employee of Seller arising out of Seller’s
 decision to sell the Property; and

 
	
  

 	
  

 
	
  

 	
                               
 (v) the conduct and operation by or on behalf of Seller of its Hotel or the
 ownership, use or operation of its Property prior to Closing.

 
	
  

 	
  

 
	
                     (b)
 Indemnification of Seller. Without in any way limiting or diminishing
 the warranties, representations or agreements herein contained or the rights
 or remedies available to Seller for a breach hereof, Buyer hereby agrees,
 with respect to this Contract, to indemnify, defend and hold harmless Seller
 from and against all losses, judgments, liabilities, claims, damages or
 expenses (including reasonable attorneys’ fees) of every kind, nature and
 description in existence before, on or after Closing, whether known or
 unknown, absolute or contingent, joint or several, arising out of or relating
 to:

 
	
  

 	
  

 
	
  

 	
                               
 (i) the breach of any representation, warranty, covenant or agreement of
 Buyer contained in this Contract, except to the extent that Seller had actual
 knowledge of such breach prior to Closing; 

 
	
  

 	
  

 
	
  

 	
                               
 (ii) the conduct and operation by Buyer of its business at the Hotel after
 the Closing; and

 
	
  

 	
  

 
	
  

 	
                               
 (iii) any liability or obligation of Buyer expressly assumed by Buyer at or
 prior to Closing.

 
	
  

 	
  

 
	
                     (c)
 Indemnification Procedure for Claims of Third Parties.
 Indemnification, with respect to claims resulting from the assertion of
 liability by those not parties to this Contract (including governmental
 claims for penalties, fines and assessments), shall be subject to the
 following terms and conditions:

 
	
  

 	
  

 
	
  

 	
                               
 (i) The party seeking indemnification (the “Indemnified Party”)
 shall give prompt written notice to the party or parties from which it is
 seeking indemnification (the “Indemnifying Party”) of any assertion
 of liability by a third party which might give rise to a claim for
 indemnification based on the foregoing provisions of this Section 8.8, which
 notice shall state the nature and basis of the assertion and the amount
 thereof, to the extent known; provided, however, that no delay on the part of
 the Indemnified Party in giving notice shall relieve the Indemnifying Party
 of any obligation 

 

19

	
  

 	
  

 
	
  

 	
 to indemnify
 unless (and then solely to the extent that) the Indemnifying Party is
 prejudiced by such delay.

 
	
  

 	
  

 
	
  

 	
                               
 (ii) If in any action, suit or proceeding (a “Legal Action”) the
 relief sought is solely the payment of money damages, and if the Indemnifying
 Party specifically agrees in writing to indemnify such Indemnified Party with
 respect thereto and demonstrates to the reasonable satisfaction of such
 Indemnified Party its financial ability to do so, the Indemnifying Party
 shall have the right, commencing thirty (30) days after such notice, at its
 option, to elect to settle, compromise or defend, pursuant to this paragraph,
 by its own counsel and at its own expense, any such Legal Action involving
 such Indemnified Party’s asserted liability. If the Indemnifying Party does
 not undertake to settle, compromise or defend any such Legal Action, such
 settlement, compromise or defense shall be conducted in the sole discretion
 of such Indemnified Party, but such Indemnified Party shall provide the
 Indemnifying Party with such information concerning such settlement, compromise
 or defense as the Indemnifying Party may reasonably request from time to
 time. If the Indemnifying Party undertakes to settle, compromise or defend
 any such asserted liability, it shall notify such Indemnified Party in
 writing of its intention to do so within thirty (30) days of notice from such
 Indemnified Party provided above.

 
	
  

 	
  

 
	
  

 	
                               
 (iii) Notwithstanding the provisions of the previous subsection of this Contract,
 until the Indemnifying Party shall have assumed the defense of the Legal
 Action, the defense shall be handled by the Indemnified Party. Furthermore,
 (x) if the Indemnified Party shall have reasonably concluded that there are
 likely to be defenses available to it that are different from or in addition
 to those available to the Indemnifying Party; (y) if the Legal Action
 involves other than money damages and seeks injunctive or other equitable
 relief; or (z) if a judgment against Buyer, as the Indemnified Party, in the
 Legal Action will, in the good faith opinion of Buyer, establish a custom or
 precedent which will be adverse to the best interest of the continuing
 business of the Hotel, the Indemnifying Party, shall not be entitled to
 assume the defense of the Legal Action and the defense shall be handled by
 the Indemnified Party, provided that, in the case of clause (z), the
 Indemnifying Party shall have the right to approve legal counsel selected by
 the Indemnified Party, such approval not to be unreasonably withheld, delayed
 or conditioned. If the defense of the Legal Action is handled by the
 Indemnified Party under the provisions of this subsection, the Indemnifying
 Party shall pay all legal and other expenses reasonably incurred by the
 Indemnified Party in conducting such defense.

 
	
  

 	
  

 
	
  

 	
                               
 (iv) In any Legal Action initiated by a third party and defended by the
 Indemnifying Party (w) the Indemnified Party shall have the right to be
 represented by advisory counsel and accountants, at its own expense, (x) the
 Indemnifying Party shall keep the Indemnified Party fully informed as to the
 status of such Legal Action at all stages thereof, whether or not the
 Indemnified Party is represented by its own counsel, (y) the Indemnifying
 Party shall make available to the Indemnified Party and its attorneys,
 accounts and other representatives, all books and records of Seller relating
 to such Legal Action and (z) the parties shall render to each other such
 assistance as may be reasonably required in order to ensure the proper and
 adequate defense of such Legal Action.

 

20

	
  

 	
  

 
	
  

 	
                               
 (v) In any Legal Action initiated by a third party and defended by the Indemnifying
 Party, the Indemnifying Party shall not make settlement of any claim without
 the written consent of the Indemnified Party, which consent shall not be
 unreasonably withheld. Without limiting the generality of the foregoing, it
 shall not be deemed unreasonable to withhold consent to a settlement
 involving injunctive or other equitable relief against Buyer or its
 respective assets, employees, Affiliates or business, or relief which Buyer
 reasonably believes could establish a custom or precedent which will be
 adverse to the best interests of its continuing business.

 

          8.9
Escrow Funds. To provide for the timely payment of any post-closing
claims by Buyer against Seller hereunder, at Closing, Seller shall deposit an
amount equal to Two Hundred Thousand and No/100 Dollars ($200,000.00) (the “Escrow
Funds”) which shall be withheld from the Purchase Price payable
to Seller and shall be deposited for a period of six (6) months in an escrow
account with the Title Company pursuant to an escrow agreement reasonably
satisfactory in form and substance to Buyer and Seller (the “Post-Closing
Agreement”), which escrow and Post-Closing Agreement shall be
established and entered into at Closing and shall be a condition to Buyer’s
obligations under this Contract. If no claims have been asserted by Buyer
against Seller, or all such claims have been satisfied, within such six (6)
month period, the Escrow Funds deposited by Seller shall be released to Seller.

          8.10
Intentionally Omitted.

ARTICLE IX

CONDITIONS FOR CLOSING

          9.1
Buyer’s Conditions for Closing. Unless otherwise waived in writing, and
without prejudice to Buyer’s right to cancel this Contract during the Review
Period, the duties and obligations of Buyer to proceed to Closing under the
terms and provisions of this Contract are and shall be expressly subject to
strict compliance with, and satisfaction or waiver of, each of the conditions
and contingencies set forth in this Section 9.1, each of which shall be deemed
material to this Contract. In the event of the failure of any of the conditions
set forth in this Section 9.1 or of any other condition to Buyer’s obligations
provided for in this Contract, which condition is not waived in writing by
Buyer, Buyer shall have the right at its option to declare this Contract
terminated, in which case the Earnest Money Deposit and any interest thereon
shall be immediately returned to Buyer and each of the parties shall be
relieved from further liability to the other, except as otherwise expressly
provided herein, with respect to this Contract.

                    (a)
All of Seller’s representations and warranties contained in or made pursuant to
this Contract shall be true and correct in all material respects as if made
again on the Closing Date; provided, however, in the event Buyer has actual
knowledge of any inaccuracy of Seller’s representations or warranties in any
material respect prior to the end of the Review Period and Buyer does not
object to such inaccuracy prior to the end of the Review Period, then Buyer
shall be deemed to have waived its right to declare this Contract terminated as
a result of such inaccuracy.

                    (b)
Buyer shall have received all of the instruments and conveyances listed in
Section 10.2.

21

                    (c)
Seller shall have performed, observed and complied in all material respects
with all of the covenants, agreements, closing requirements and conditions
required by this Contract to be performed, observed and complied with by
Seller, as and when required hereunder.

                    
(d) Intentionally Omitted.

                    
(e) Third Party Consents in form and substance satisfactory to Buyer shall have
been obtained and furnished to Buyer.

                    
(f) The Escrow Funds shall have been deposited in the escrow account pursuant
to the Post-Closing Agreement and the parties thereto shall have entered into
the Post-Closing Agreement.

                    
(g) The Existing Management Agreement and the Existing Franchise Agreement
shall have been terminated.

                    
(h) Buyer and the Manager shall have executed and delivered the New Management
Agreement and Buyer and the Franchisor shall have executed and delivered the
New Franchise Agreement, in each case upon terms and conditions acceptable to
Buyer in its sole and absolute discretion.

          9.2
Seller’s Conditions for Closing. Unless otherwise waived in writing, and
without prejudice to Seller’s right to cancel this Contract during the Review
Period, the duties and obligations of Seller to proceed to Closing under the
terms and provisions of this Contract are and shall be expressly subject to strict
compliance with, and satisfaction or waiver of, each of the conditions and
contingencies set forth in this Section 9.2, each of which shall be deemed
material to this Contract. In the event of the failure of any of the conditions
set forth in this Section 9.2, which condition is not waived in writing by
Seller, Seller shall have the right at its option to declare this Contract
terminated and null and void, in which case the remaining Earnest Money Deposit
and any interest thereon shall be immediately returned to Buyer and each of the
parties shall be relieved from further liability to the other, except as
otherwise expressly provided herein.

                    
(a) All of Buyer’s representations and warranties contained in or made pursuant
to this Contract shall be true and correct in all material respects as if made
again on the Closing Date.

                    
(b) Seller shall have received all of the money, instruments and conveyances
listed in Section 10.3.

                    (c)
Buyer shall have performed, observed and complied in all material respects with
all of the covenants, agreements, closing requirements and conditions required
by this Contract to be performed, observed and complied with by Buyer, as and
when required hereunder.

22

ARTICLE X

CLOSING AND CONVEYANCE

          10.1
Closing. Unless otherwise agreed by Buyer and Seller, the Closing on the
Property shall occur on a date selected by Buyer that is the later of (a)
fifteen (15) business days after expiration of the Review Period or (b) the
date Buyer receives the New Franchise Agreement executed by the Franchisor,
provided in either case that all conditions to Closing by Buyer hereunder have
been satisfied. The date on which the Closing is to occur as provided in this
Section 10.1, or such other date as may be agreed upon by Buyer and Seller, is
referred to in this Contract as the “Closing Date” for the Property. The
Closing shall be held via escrow at the offices of the Title Company, or as
otherwise determined by Buyer and Seller. In the event that a closing does not
occur, due to the Buyer’s failure to receive the new Franchise Agreement, with
ninety business days after expiration of the review period, either party may
terminate the contract. 

          10.2
Deliveries of Seller. At Closing, Seller shall deliver to Buyer the
following, and, as appropriate, all instruments shall be properly executed and
conveyance instruments to be acknowledged in recordable form (the terms,
provisions and conditions of all instruments not attached hereto as Exhibits
shall be mutually agreed upon by Buyer and Seller prior to such Closing):

                    
(a) Deed. A Special or Limited Warranty deed conveying to Buyer fee
simple title to the Real Property, subject only to the Permitted Exceptions (the
“Deed”).

                    
(b) Bills of Sale. Bills of sale to Buyer and/or its designated Lessee,
conveying title to the tangible Personal Property.

                    
(c) Existing Management and Franchise Agreements. The termination of the
Existing Management Agreement and the Existing Franchise Agreement.

                    
(d) General Assignments. Assignments of all of Seller’s right, title and
interest in and to all FF&E Leases, Service Contracts and Leases identified
on Exhibit C hereto (the “Hotel Contracts”). The assignment shall
also be a general assignment and shall provide for the assignment of all of
Seller’s right, title and interest in all Records, Warranties, Licenses,
Tradenames, Contracts, Plans and Specs and all other intangible Personal
Property applicable to the Hotel. The assignments shall contain
cross-indemnities by Buyer and Seller for their respective periods of
ownership.

                    
(e) FIRPTA; 1099. A FIRPTA Affidavit or Transferor’s Certificate of
Non-Foreign Status as required by Section 1445 of the Internal Revenue Code and
an IRS Form 1099.

                    
(f) Title Company Documents. All affidavits, gap indemnity agreements
and other documents reasonably required by the Title Company. At Buyer’s sole
expense, Buyer shall have obtained an irrevocable commitment directly from the
Title Company (or in the event the Title Company is not willing to issue said
irrevocable commitment, then from such other national title company as may be
selected by either Buyer or Seller) for issuance of an Owner’s Policy of Title
Insurance to Buyer insuring good and marketable fee simple absolute title to
the 

23

Real Property
constituting part of the Property, subject only to the Permitted Exceptions in
the amount of the Purchase Price.

                    
(g) Possession; Estoppel Certificates. Possession of the Property,
subject only to rights of guests in possession and tenants pursuant to written
leases included in the Leases, and estoppel certificates from tenants under
Leases and the lessors under FF&E Leases in form and substance acceptable
to Buyer.

                    
(h) Vehicle Titles. The necessary certificates of titles duly endorsed
for transfer together with any required affidavits and other documentation necessary
for the transfer of title or assignment of leases from Seller to Buyer of any
motor vehicles used in connection with the Hotel’s operations.

                    (i)
Authority Documents. Certified copy of resolutions of the Board of
Directors of Seller authorizing the sale of the Property contemplated by this
Contract, and/or other evidence reasonably satisfactory to Buyer and the Title
Company that the person or persons executing the closing documents on behalf of
Seller have full right, power and authority to do so, along with a certificate
of good standing of Seller from the State in which the Property is located.

                    
(j) Miscellaneous. Such other instruments as are contemplated by this
Contract to be executed or delivered by Seller, reasonably required by Buyer or
the Title Company, or customarily executed in the jurisdiction in which the
Hotel is located, to effectuate the conveyance of property similar to the
Hotel, with the effect that, after the Closing, Buyer will have succeeded to
all of the rights, titles, and interests of Seller related to the Hotel and
Seller will no longer have any rights, titles, or interests in and to the
Hotel.

                    
(k) Plans, Keys, Records, Etc. To the extent not previously delivered to
and in the possession of Buyer, all Contracts, Plans and Specs, all keys for
the Hotel (which keys shall be properly tagged for identification), all
Records, including, without limitation, all Warranties, Licenses, Leases,
FF&E Leases and Service Contracts for the Hotel.

                    
(l) Closing Statements. Seller’s Closing Statement, and a certificate
confirming the truth of Seller’s representations and warranties hereunder as of
the Closing Date.

          10.3
Buyer’s Deliveries. At Closing of the Hotel, Buyer shall deliver the
following:

                    
(a) Purchase Price. The balance of the Purchase Price, adjusted for the
adjustments provided for in Section 12.1, below, and less any sums to be
deducted therefrom as provided in Section 2.4. 

                    
(b) Authority Documents. Certified copy of resolutions of the Board of
Directors of Buyer authorizing the purchase of the Hotel contemplated by this
Contract, and/or other evidence satisfactory to Seller and the Title Company
that the person or persons executing the closing documents on behalf of Buyer
have full right, power and authority to do so.

                    
(c) Miscellaneous. Such other instruments as are contemplated by this
Contract to be executed or delivered by Buyer, reasonably required by Seller or
the Title Company, or customarily executed in the jurisdiction in which the
Hotel is located, to effectuate 

24

the conveyance
of property similar to the Hotel, with the effect that, after the Closing,
Buyer will have succeeded to all of the rights, titles, and interests of Seller
related to the Hotel and Seller will no longer have any rights, titles, or
interests in and to the Hotel.

                    
(d) Closing Statements. Buyer’s Closing Statement, and a certificate confirming
the truth of Buyer’s representations and warranties hereunder as of the Closing
Date.

ARTICLE XI

COSTS

          All
Closing costs shall be paid as set forth below:

          11.1
Seller’s Costs. In connection with the sale of the Property contemplated
under this Contract, Seller shall be responsible for all transfer and
recordation taxes, including, without limitation, all transfer, mansion,
excise, sales, use or bulk transfer taxes or like taxes on or in connection
with the transfer of the Real Property and the Personal Property constituting
part of the Property pursuant to the Bill of Sale, and all accrued taxes of
Seller prior to Closing and income, sales and use taxes and other such taxes of
Seller attributable to the sale of the Property to Buyer. Seller shall be
responsible for all costs related to the termination of the Existing Management
Agreement as provided in Article V. Seller shall also be responsible for any
costs and expenses of its attorneys, accountants, appraisers and other professionals,
consultants and representatives. Seller shall also be responsible for payment
of all prepayment penalties and other amounts payable in connection with the
pay-off of any liens and/or indebtedness encumbering all or any portion of the
Property. 

          11.2
Buyer’s Costs. In connection with the purchase of the Property
contemplated under this Contract, Buyer shall be responsible for the costs and
expenses of its attorneys, accountants and other professionals, consultants and
representatives. Buyer shall also be responsible for the costs and expenses in
connection with the preparation of any environmental report, any update to the
survey and the costs and expenses of preparation of the title insurance
commitment and the issuance of the title insurance policy contemplated by
Article IV and the per page recording charges and clerk’s fee for the Deed (if
applicable). Buyer shall also be responsible for the fees for the performance
of the property improvement plan (PIP) review and report by the Franchisor.

ARTICLE XII

ADJUSTMENTS

          12.1
Adjustments. Unless otherwise provided herein, at Closing, adjustments
between the parties shall be made as of 11:59 p.m. on the eve of the Closing
Date (the “Cutoff Time”), with the income and expenses accrued prior
to the Cutoff Time being allocated to Seller and the income and expenses
accruing on and after the Cutoff Time being allocated to Buyer, all as set
forth below. All of such adjustments and allocations shall be made in cash at
Closing and shall be collected through and/or adjusted in accordance with the
terms of the Existing Management Agreement. Except as otherwise expressly
provided herein, all apportionments and adjustments shall be made on an accrual
basis in accordance with generally accepted accounting principles. 

25

Buyer and
Seller shall request that the Manager determine the apportionments, allocations,
prorations and adjustments as of the Cutoff Time.

                    
(a) Taxes. All real estate taxes, personal property taxes, or any other
taxes and special assessments (special or otherwise) of any nature upon the
Property levied, assessed or pending for the calendar year in which the Closing
occurs (including the period prior to Closing, regardless of when due and
payable) shall be prorated as of the Cutoff Time and, if no tax bills or
assessment statements for such calendar year are available, such amounts shall
be estimated on the basis of the best available information for such taxes and
assessments that will be due and payable on the Hotel for the calendar year in
which Closing occurs. Until final tax bills that cover the entire year during
which Closing occurred (such that tax liability can reasonably be determined),
Seller’s obligation to pay its share of taxes shall continue.

                    
(b) Utilities. All suppliers of utilities shall be instructed to read
meters or otherwise determine the charges owing as of the Closing Date for
services prior thereto, which charges shall be allocated to Seller. Charges
accruing after Closing shall be allocated to Buyer. If elected by Seller,
Seller shall be given credit, and Buyer shall be charged, for any utility
deposits transferred to and received by Buyer at Closing.

                    
(c) Income/Charges. All rents, income and charges receivable or payable
under any Leases and Hotel Contracts applicable to the Property, and any
deposits, prepayments and receipts thereunder, shall be prorated between Buyer
and Seller as of the Cutoff Time.

                    
(d) Intentionally Omitted

                    
(e) Guest Ledger. Subject to (f) below, all accounts receivable of
registered guests at the Hotel who have not checked out and were occupying
rooms as of the Cutoff Time, shall be prorated as provided herein.

                    
(f) Room Rentals. All receipts from guest room rentals and other suite
revenues for the night in which the Cutoff Time occurs shall be split 50/50
between Buyer and Seller.

                    
(g) Advance Deposits. All prepaid rentals, room rental deposits, and all
other deposits for advance registration, banquets or future services to be
provided on and after the Closing Date shall be credited to Buyer.

                    
(h) Accounts Receivable. To the extent not apportioned at Closing and
subject to (e) and (f) above, all accounts receivable and credit card claims as
of the Cutoff Time shall remain the property of Seller, and Seller and Buyer
agree that the monies received from debtors owing such accounts receivable
balances after Closing, unless otherwise provided in the New Management
Agreement, shall be applied as expressly provided in such remittance, or if not
specified then to the Seller’s outstanding invoices to such account debtors in
chronological order beginning with the oldest invoices, and thereafter, to
Buyer’s account.

                    
(i) Accounts Payable. To the extent not apportioned at Closing, any
indebtedness, accounts payable, liabilities or obligations of any kind or
nature related to Seller or the Property for the periods prior to and including
the Closing Date shall be retained by Seller 

26

and promptly
allocated to Seller and evidence thereof shall be provided to Buyer, and Buyer
shall not be or become liable therefor, except as expressly assumed by Buyer
pursuant to this Contract, and invoices received in the ordinary course of
business prior to Closing shall be allocated to Seller at Closing.

                    
(j) Restaurants, Bars, Machines, Other Income. All monies received in
connection with bar, restaurant, banquet and similar and other services at the
Hotel (other than amounts due from any guest and included in room rentals)
prior to the close of business for each such operation for the night in which
the Cutoff Time occurs shall belong to Seller, and all other receipts and
revenues (not previously described in this Section 12.1) from the operation of
any department of the Hotel shall be prorated between Seller and Buyer at
Closing.

          12.2
Reconciliation and Final Payment. Seller and Buyer shall reasonably
cooperate after Closing to make a final determination of the allocations and
prorations required under this Contract by December 31, 2011; provided,
however, failure to make a final determination within such period shall not
relieve the parties of the obligation to make a final determination nor shall
it relieve any party of the obligation to pay the other any true-up amounts
owed. Upon the final reconciliation of the allocations and prorations under
this Section, the party which owes the other party any sums hereunder shall pay
such party such sums within ten (10) days after the reconciliation of such
sums. The obligations to calculate such prorations, make such reconciliations
and pay any such sums shall survive the Closing.

          12.3
Employees. None of the employees of the Hotel shall become employees of
Buyer, as of the Closing Date; instead, such employees shall become, or remain
as the case may be, employees of the Manager. Seller shall not give notice
under any applicable federal or state plant closing or similar act, including,
if applicable, the Worker Adjustment and Retraining Notification Provisions of
29 U.S.C., Section 2102, the parties having agreed that a mass layoff, as that
term is defined in 29 U.S.C., 2101(a)(3), will not have occurred. Any liability
for payment of all wages, salaries and benefits, including, without limitation,
accrued vacation pay, sick leave, bonuses, pension benefits, COBRA rights, and
other benefits accrued or earned by and due to employees at the Hotel through
the Cutoff Time, together with F.I.C.A., unemployment and other taxes and
benefits due with respect to such employees for such period, shall be charged
to Seller, in accordance with the Existing Management Agreement, for the
purposes of the adjustments to be made as of the Cutoff Time. All liability for
wages, salaries and benefits of the employees accruing in respect of and
attributable to the period from and after Closing shall be charged to Buyer, in
accordance with the New Management Agreement. To the extent applicable, all
such allocations and charges shall be adjusted in accordance with the
provisions of the Existing Management Agreement.

ARTICLE XIII

CASUALTY AND CONDEMNATION

          13.1
Risk of Loss; Notice. Prior to Closing and the delivery of possession of
the Property to Buyer in accordance with this Contract, all risk of loss to the
Property (whether by casualty, condemnation or otherwise) shall be borne by
Seller. In the event that (a) any loss or damage to the Hotel shall occur prior
to the Closing Date as a result of fire or other casualty, or (b) Seller
receives notice that a governmental authority has initiated or threatened to
initiate a 

27

condemnation
proceeding affecting the Hotel, Seller shall give Buyer immediate written
notice of such loss, damage or condemnation proceeding (which notice shall
include a certification of (i) the amounts of insurance coverages in effect
with respect to the loss or damage and (ii) if known, the amount of the award
to be received in such condemnation).

          13.2
Buyer’s Termination Right. If, prior to Closing and the delivery of
possession of the Property to Buyer in accordance with this Contract, (a) any
condemnation proceeding shall be pending against a substantial portion of the
Hotel or (b) there is any substantial casualty loss or damage to the Hotel,
Buyer shall have the option to terminate this Contract, provided Buyer delivers
written notice to Seller of its election within twenty (20) days after the date
Seller has delivered Buyer written notice of any such loss, damage or
condemnation as provided above, and in such event, the Earnest Money Deposit,
and any interest thereon, shall be delivered to Buyer and thereafter, except as
expressly set forth herein, no party shall have any further obligation or liability
to the other under this Contract. In the context of condemnation, “substantial”
shall mean condemnation of such portion of a Hotel (or access thereto) as
could, in Buyer’s reasonable judgment, render use of the remainder impractical
or unfeasible for the uses herein contemplated, and, in the context of casualty
loss or damage, “substantial” shall mean a loss or damage in excess of One
Hundred Thousand and No/100 Dollars ($100,000.00) in value.

          13.3
Procedure for Closing. If Buyer shall not timely elect to terminate this
Contract under Section 13.2 above, or if the loss, damage or condemnation is
not substantial, Seller agrees to pay to Buyer at the Closing all insurance
proceeds or condemnation awards which Seller has received as a result of the
same, plus an amount equal to the insurance deductible, and assign to Buyer all
insurance proceeds and condemnation awards payable as a result of the same, in
which event the Closing shall occur without Seller replacing or repairing such
damage. In the case of damage or casualty, at Buyer’s election, Seller shall
repair and restore the Property to its condition immediately prior to such
damage or casualty and shall assign to Buyer all excess insurance proceeds.

ARTICLE XIV

DEFAULT REMEDIES

          14.1
Buyer Default. If Buyer defaults under this Contract after the Review
Period, and such default continues for thirty (30) days following written
notice from Seller, then at Seller’s election by written notice to Buyer, this
Contract shall be terminated and of no effect, in which event the Earnest Money
Deposit, including any interest thereon, shall be paid to and retained by the
Seller as Seller’s sole and exclusive remedy hereunder, and as liquidated
damages for Buyer’s default or failure to close, and both Buyer and Seller
shall thereupon be released from all obligations hereunder.

          14.2
Seller Default. If Seller defaults under this Contract, and such default
continues for thirty (30) days following written notice from Buyer, Buyer may
elect, as Buyer’s sole and exclusive remedy, either (i) to terminate this
Contract by written notice to Seller delivered to that Seller at any time prior
to the completion of such cure, in which event the Earnest Money Deposit,
including any interest thereon, shall be returned to the Buyer, Seller shall
reimburse Buyer for Buyer’s actual and verifiable due diligence costs and
expenses (not to exceed $50,000) and thereafter both the Buyer and Seller shall
thereupon be released from all obligations with 

28

respect to
this Contract, except as otherwise expressly provided herein; or (ii) to treat
this Contract as being in full force and effect by written notice to Seller
delivered to Seller at any time prior to the completion of such cure, in which
event the Buyer shall have the right to an action against the defaulting Seller
for specific performance. 

          14.3
Attorney’s Fees. Anything to the contrary herein notwithstanding, if it
shall be necessary for either the Buyer or Seller to employ an attorney to
enforce its rights pursuant to this Contract because of the default of the
other party, and the non-defaulting party is successful in enforcing such
rights, then the defaulting party shall reimburse the non-defaulting party for
the non-defaulting party’s reasonable attorneys’ fees, costs and expenses.

ARTICLE XV

NOTICES

          All
notices required herein shall be deemed to have been validly given, as
applicable: (i) if given by fax, when the fax is transmitted to the party’s fax
number specified below and confirmation of complete receipt is received by the
transmitting party during normal business hours or on the next Business Day if
not confirmed during normal business hours, (ii) if hand delivered to a party
against receipted copy, when the copy of the notice is receipted or rejected,
(iii) if given by certified mail, return receipt requested, postage prepaid,
two (2) Business Days after it is posted with the U.S. Postal Service at the
address of the party specified below, (iv) on the next delivery day after such
notices are sent by recognized and reputable commercial overnight delivery
service marked for next day delivery, return receipt requested or similarly
acknowledged, or (v) if given by electronic mail, when the electronic mail is
sent to the address below:

	
  

 	
  

 
	
 If to Buyer:

 	
 Apple Ten
 Hospitality Ownership, Inc.

 
	
  

 	
 814 E. Main
 Street

 
	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
 Attention:
 Sam Reynolds

 
	
  

 	
 Fax No.:
 (804) 344-8129

 
	
  

 	
 Email:
 sreynolds@applereit.com

 
	
  

 	
  

 
	
 with a copy
 to:

 	
 Apple REIT
 Ten, Inc.

 
	
  

 	
 814 E. Main
 Street

 
	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
 Attention:
 Legal Dept.

 
	
  

 	
 Fax No.:
 (804) 727-6349

 
	
  

 	
 Email:
 dbuckley@applereit.com

 
	
  

 	
  

 
	
 If to
 Seller:

 	
 SASI, LLC

 
	
  

 	
 11441
 Brittany Woods La

 
	
  

 	
 Cincinnati,
 OH 45249

 
	
  

 	
  

 
	
 with a copy
 to:

 	
 Arthur D.
 Weber, Jr.

 
	
  

 	
 Wood &
 Lamping LLP

 

29

	
  

 	
  

 
	
  

 	
 600 Vine
 Street, Suite 2500

 
	
  

 	
 Cincinnati,
 OH 45202

 
	
  

 	
  

 
	
  

 	
 Darryl
 Schulte

 
	
  

 	
 Schulte
 Hospitality Group

 
	
  

 	
 9905
 Shelbyville Road Suite 200

 
	
  

 	
 Louisville,
 KY40223

 

          Addresses
may be changed by the parties hereto by written notice in accordance with this
Section.

ARTICLE XVI

MISCELLANEOUS

          16.1
Performance. Time is of the essence in the performance and satisfaction
of each and every obligation and condition of this Contract.

          16.2
Binding Effect; Assignment. This Contract shall be binding upon and
shall inure to the benefit of each of the parties hereto, their respective
successors and assigns.

          16.3
Entire Agreement. This Contract and the Exhibits constitute the sole and
entire agreement between Buyer and Seller with respect to the subject matter
hereof. No modification of this Contract shall be binding unless signed by both
Buyer and Seller.

          16.4
Governing Law. The validity, construction, interpretation and
performance of this Contract shall in all ways be governed and determined in
accordance with the laws of the State of Ohio (without regard to conflicts of
law principles).

          16.5
Captions. The captions used in this Contract have been inserted only for
purposes of convenience and the same shall not be construed or interpreted so
as to limit or define the intent or the scope of any part of this Contract.

          16.6
Confidentiality. Except as either party may reasonably determine is
required by law (including without limitation laws and regulations applicable
to Buyer or its Affiliates who may be public companies): (i) prior to Closing,
Buyer and Seller shall not disclose the existence of this Contract or their
respective intentions to purchase and sell the Property or generate or
participate in any publicity or press release regarding this transaction,
except to Buyer’s and Seller’s legal counsel and lender, Buyer’s consultants
and agents, the Manager, the Existing Manager, the Franchisor and the Title
Company and except as necessitated by Buyer’s Due Diligence Examination and/or
shadow management, unless both Buyer and Seller agree in writing and as
necessary to effectuate the transactions contemplated hereby and (ii) following
Closing, the parties shall coordinate any public disclosure or release of information
related to the transactions contemplated by this Contract, and no such
disclosure or release shall be made without the prior written consent of Buyer,
and no press release shall be made without the prior written approval of Buyer
and Seller. All information provided by Seller to Buyer, as provided 

30

for within
this contract, including but not limited to that set forth in Article III
hereof shall be considered confidential and shall only be used by the Buyer in
its due diligence examination. The Buyer shall take reasonable measures to
protect all information from disclosure to anyone other than those who have a
need to know.

          16.7
Closing Documents. To the extent any Closing documents are not attached
hereto at the time of execution of this Contract, Buyer and Seller shall
negotiate in good faith with respect to the form and content of such Closing
documents prior to Closing.

          16.8
Counterparts. This Contract may be executed in counterparts by the
parties hereto, and by facsimile signature, and each shall be considered an
original and all of which shall constitute one and the same agreement.

          16.9
Severability. If any provision of this Contract shall, for any reason,
be adjudged by any court of competent jurisdiction to be invalid or
unenforceable, such judgment shall not affect, impair or invalidate the
remainder of this Contract but shall be confined in its operation to the
provision or provisions hereof directly involved in the controversy in which
such judgment shall have been rendered, and this Contract shall be construed as
if such provision had never existed, unless such construction would operate as
an undue hardship on Seller or Buyer or would constitute a substantial
deviation from the general intent of the parties as reflected in this Contract.

          16.10
Interpretation. For purposes of construing the provisions of this
Contract, the singular shall be deemed to include the plural and vice versa
and the use of any gender shall include the use of any other gender, as the
context may require.

          16.11
Further Acts. In addition to the acts, deeds, instruments and agreements
recited herein and contemplated to be performed, executed and delivered by
Buyer and Seller, Buyer and Seller shall perform, execute and deliver or cause
to be performed, executed and delivered at the Closing or after the Closing,
any and all further acts, deeds, instruments and agreements and provide such
further assurances as the other party or the Title Company may reasonably
require to consummate the transaction contemplated hereunder.

          16.12
Joint and Several Obligations. If Seller consists of more than one
person or entity, each such person or entity shall be jointly and severally
liable with respect to the obligations of Seller under this Contract.

          16.13
Intentionally Omitted

          16.14
Like Kind Exchange. In the event that Seller intends to effect a like-kind
exchange under Section 1031 of the Internal Revenue Code, the Buyer agrees to
cooperate with the Seller as reasonably requested to effect the exchange and
acknowledges that this contract may be assigned to a qualified intermediary in
order to effect the exchange. The Buyer will not be required to incur any
liability or undertake any additional responsibilities as a result of the
exchange. 

[Signatures Begin on Following Page]

31

          IN WITNESS
WHEREOF, this Contract has been executed, to be effective as of the date first
above written, by the Buyer and Seller.

	
  

 	
  

 	
  

 	
  

 
	
  

 	
 SELLER:

 
	
  

 	
 SASI, LLC

 
	
  

 	
 An Ohio
 limited liability company

 
	
  

 	
  

 
	
  

 	
 By:

 	
 /s/ Mukesh
 J. Patel

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name:  Mukesh J. Patel

 
	
  

 	
 Title:
 Managing Member

 
	
  

 	
  

 
	
  

 	
 BUYER:

 
	
  

 	
  

 
	
  

 	
 APPLE TEN
 HOSPITALITY OWNERSHIP, INC.,
a Virginia corporation

 
	
  

 	
  

 
	
  

 	
 By:

 	
 /s/ David
 Buckley 

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: David
 Buckley

 
	
  

 	
 Title: Vice
 President

 

32

EXHIBIT “A”

LEGAL
DESCRIPTION OF LAND

Tract I
(Fee Simple) Sidwell No. 16-32-286-011

Situated in Section 32, Town 4, Range 2, Deerfield
Township, Warren County, Ohio and being more particularly described as follows:

Being all of Lot 11 of Deerfield Crossing, Section 5
as shown on the Replat of Lot 9 recorded October 21, 2005 in Plat Book 72,
Pages 45 and 46 of the Warren County, Ohio Plat Records.

Tract II
(Fee Simple) Sidwell No. 16-32-286-014

Situated in Section 32, Town 4, Range 2, Deerfield
Township, Warren County, Ohio and being more particularly described as follows:

Being all of Lot 14 of Deerfield Crossing, Section 6
as shown on the Replat of Lot 12 recorded Plat Book 76, Pages 56-57
of the Warren County, Ohio Plat Records.

EXHIBIT
B

LIST
OF FF&E

FFE& HGI MASON

	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 King Rooms

 	
 55

 
	
  

 	
  

 	
 Queen Rooms

 	
 55

 
	
  

 	
  

 	
  

 	
  

 
	
 Guest Rooms

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Item

 	
  

 	
 Qty

 	
  

 
	

 

 	
  

 	

 

 	
  

 
	
 King Beds

 	
  

 	
 55

 	
  

 
	
 Queen Beds

 	
  

 	
 110

 	
  

 
	
 Night Stands

 	
  

 	
 165

 	
  

 
	
 Desks

 	
  

 	
 112

 	
  

 
	
 Desk Lamps

 	
  

 	
 109

 	
  

 
	
 Floor Lamps

 	
  

 	
 115

 	
  

 
	
 Hospitality Centers

 	
  

 	
 113

 	
  

 
	
 End Table

 	
  

 	
 124

 	
  

 
	
 Desk Chairs

 	
  

 	
 110

 	
  

 
	
 Club Chairs

 	
  

 	
 114

 	
  

 
	
 Ottomans

 	
  

 	
 0

 	
  

 
	
 Coffee Tables

 	
  

 	
 12

 	
  

 
	
 Televisions

 	
  

 	
 123

 	
  

 
	
 Couches

 	
  

 	
 12

 	
  

 
	
 Full Length Mirrors

 	
  

 	
 110

 	
  

 
	
 Bath Mirrors

 	
  

 	
 111

 	
  

 
	
 Wall Mirrors

 	
  

 	
 110

 	
  

 
	
 Bedroom Artwork

 	
  

 	
 224

 	
  

 
	
 Bathroom Artwork

 	
  

 	
 115

 	
  

 
	
 Skirt Hangers

 	
  

 	
 700

 	
  

 
	
 Pant Hangers

 	
  

 	
 625

 	
  

 
	
 Radios

 	
  

 	
 116

 	
  

 
	
 Telephones

 	
  

 	
 235

 	
  

 
	
 Microwaves

 	
  

 	
 117

 	
  

 
	
 Coffee Pots

 	
  

 	
 145

 	
  

 
	
 Coffee Machines

 	
  

 	
 118

 	
  

 
	
 Ice Bucket

 	
  

 	
 120

 	
  

 
	
 Refridgerators

 	
  

 	
 119

 	
  

 
	
 Irons

 	
  

 	
 118

 	
  

 
	
 Ironing Boards

 	
  

 	
 119

 	
  

 

2

	
  

 	
  

 	
  

 	
  

 
	
 Water Glasses

 	
  

 	
 402

 	
  

 
	
 Coffee Mugs

 	
  

 	
 402

 	
  

 
	
 Hair Dryers

 	
  

 	
 118

 	
  

 
	
 Coffee Trays

 	
  

 	
 125

 	
  

 
	
 Dressers

 	
  

 	
 113

 	
  

 
	
 Nightstand Lamps

 	
  

 	
 168

 	
  

 
	
 Ash Trays

 	
  

 	
 0

 	
  

 
	
 Kleenex Holders

 	
  

 	
 120

 	
  

 
	
 Board room & six chairs

 	
  

 	
 1

 	
  

 
	
 Room Garbage Cans

 	
  

 	
 120

 	
  

 
	
 Bathroom Garbage Cans

 	
  

 	
 116

 	
  

 
	
 Tall Plants

 	
  

 	
 0

 	
  

 
	
 Small Plants

 	
  

 	
 0

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Public Areas/Restaurant

 	
  

 	
  

 	
  

 
	
 Couches

 	
  

 	
 3

 	
  

 
	
 Club Chairs

 	
  

 	
 13

 	
  

 
	
 Coffee Tables

 	
  

 	
 2

 	
  

 
	
 Standning Tables

 	
  

 	
 5

 	
  

 
	
 End Tables

 	
  

 	
 4

 	
  

 
	
 Table Lamps

 	
  

 	
 9

 	
  

 
	
 Floor Lamps

 	
  

 	
 0

 	
  

 
	
 Dining Room Chairs

 	
  

 	
 42

 	
  

 
	
 Dining Room Tables

 	
  

 	
 21

 	
  

 
	
 Bar Stools

 	
  

 	
 30

 	
  

 
	
 Banquet Tables 6’

 	
  

 	
 62

 	
  

 
	
 Banquet Tables 8’

 	
  

 	
 26

 	
  

 
	
 Banquet Tables 72”

 	
  

 	
 25

 	
  

 
	
 Banquet Chairs

 	
  

 	
 216

 	
  

 
	
 Bench Seating

 	
  

 	
 1

 	
  

 
	
 Pool Chairs & Loungers

 	
  

 	
 22

 	
  

 
	
 Pool Area Tables

 	
  

 	
 4

 	
  

 
	
 Outdoor Chairs

 	
  

 	
 32

 	
  

 
	
 Outdoor Tables

 	
  

 	
 8

 	
  

 
	
 Outdoor Umbrellas

 	
  

 	
 0

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Offices

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Item

 	
  

 	
 Qty

 	
  

 
	

 

 	
  

 	

 

 	
  

 
	
 Desks

 	
  

 	
 4

 	
  

 
	
 Computer Terminals

 	
  

 	
 8

 	
  

 
	
 Filing Cabinets

 	
  

 	
 7

 	
  

 

3

	
  

 	
  

 	
  

 	
  

 
	
 Desk Chairs

 	
  

 	
 7

 	
  

 
	
 Secondary Chairs

 	
  

 	
 6

 	
  

 
	
 Printers

 	
  

 	
 5

 	
  

 
	
 Scanners

 	
  

 	
 1

 	
  

 
	
 Telephones

 	
  

 	
 7

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Misc Equipment

 	
  

 	
  

 	
  

 
	
 Carpet Extractor

 	
  

 	
 1

 	
  

 
	
 Spot Bot

 	
  

 	
 0

 	
  

 
	
 Pressure Washer

 	
  

 	
 1

 	
  

 
	
 Vaccums

 	
  

 	
 8

 	
  

 
	
 Speed Blower

 	
  

 	
 0

 	
  

 
	
 Dance Floor

 	
  

 	
 16

 	
  

 
	
 Rollaway Beds

 	
  

 	
 2

 	
  

 
	
 Cribs

 	
  

 	
 0

 	
  

 
	
 Pack and Plays

 	
  

 	
 3

 	
  

 
	
 Housekeeping Carts

 	
  

 	
 7

 	
  

 
	
 Utility Carts

 	
  

 	
 1

 	
  

 
	
 Washers Guest Laundry

 	
  

 	
 1

 	
  

 
	
 Dryers Guest Laundry

 	
  

 	
 1

 	
  

 
	
 Washer Laundry

 	
  

 	
 2

 	
  

 
	
 Dryer Laundry

 	
  

 	
 2

 	
  

 
	
 Laundry Folding Tables

 	
  

 	
 1

 	
  

 
	
 Ice Machines

 	
  

 	
 5

 	
  

 
	
 Ice Machines Crushed Ice

 	
  

 	
 0

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 Kitchen

 	
  

 	
  

 	
  

 
	
 Candy Stove

 	
  

 	
 0

 	
  

 
	
 3 compartment sink

 	
  

 	
 3

 	
  

 
	
 2 compartment sink

 	
  

 	
 2

 	
  

 
	
 Dish Tank

 	
  

 	
 1

 	
  

 
	
 Hot Box

 	
  

 	
 2

 	
  

 
	
 Table Mixer

 	
  

 	
 1

 	
  

 
	
 Slicer

 	
  

 	
 1

 	
  

 
	
 Walkin-Cooler

 	
  

 	
 1

 	
  

 
	
 Walkin-Freezer

 	
  

 	
 1

 	
  

 
	
 Ovens

 	
  

 	
 2

 	
  

 
	
 Deep Fryer

 	
  

 	
 1

 	
  

 
	
 6 burner stover w/flat top

 	
  

 	
 1

 	
  

 
	
 Grill

 	
  

 	
 1

 	
  

 
	
 Microwave

 	
  

 	
 1

 	
  

 

4

	
  

 	
  

 	
  

 	
  

 
	
 Low Boy Fridge

 	
  

 	
 1

 	
  

 
	
 Low Boy Freezer

 	
  

 	
 1

 	
  

 
	
 Standing Coolers

 	
  

 	
 1

 	
  

 
	
 Standing Freezer

 	
  

 	
 0

 	
  

 
	
 Airpots 1.5 Gal

 	
  

 	
 6

 	
  

 
	
 Airpots 3.0 Liter

 	
  

 	
 10

 	
  

 
	
 Chafers

 	
  

 	
 10

 	
  

 
	
 2” Hotel Pan Full

 	
  

 	
 48

 	
  

 
	
 4” Hotel Pan Full

 	
  

 	
 16

 	
  

 
	
 6” Hotel Pan Full

 	
  

 	
 0

 	
  

 
	
 2” Hotel Half

 	
  

 	
 11

 	
  

 
	
 2” 1/4 Pan

 	
  

 	
 5

 	
  

 
	
 4” 1/2 pan

 	
  

 	
 4

 	
  

 
	
 4” 1/4 Pan

 	
  

 	
 10

 	
  

 
	
 Full Cookie Sheets

 	
  

 	
 48

 	
  

 
	
 Half Cookie Sheets

 	
  

 	
 17

 	
  

 
	
 Collanders

 	
  

 	
 1

 	
  

 
	
 Knife Set

 	
  

 	
 1

 	
  

 
	
 Muffin Tins

 	
  

 	
 4

 	
  

 
	
 Mixing Bowls

 	
  

 	
 16

 	
  

 
	
 6” Fry Pan

 	
  

 	
 8

 	
  

 
	
 10” Fry Pan

 	
  

 	
 4

 	
  

 
	
 12” Pan

 	
  

 	
 2

 	
  

 
	
 14” Pan

 	
  

 	
 5

 	
  

 
	
 6” Pot

 	
  

 	
 4

 	
  

 
	
 10” Pot

 	
  

 	
 4

 	
  

 
	
 12” Pot

 	
  

 	
 4

 	
  

 
	
 Stock Pot

 	
  

 	
 2

 	
  

 

5

	
  

 	
  

 	
  

 
	
 Fitness Center

 	
  

 	
  

 
	
 Bike

 	
 1

 	
  

 
	
 Treadmill

 	
 2

 	
  

 
	
 Eliptical

 	
 1

 	
  

 
	
 Stretch Trainer

 	
 1

 	
  

 
	
 Weight bench

 	
 1

 	
  

 
	
 All In One

 	
 0

 	
  

 
	
 Strengthening Ball Sets

 	
 1

 	
  

 
	
 Free Weight Sets

 	
 1

 	
  

 
	
 Stay Fit Kits

 	
 5

 	
  

 
	
 AV Carts

 	
 3

 	
  

 
	
 TV Cart

 	
 2

 	
  

 
	
 DVD player

 	
 2

 	
  

 
	
 Standing Podium

 	
 1

 	
  

 
	
 LCD Projector

 	
 2

 	
  

 
	
 Wireless micro phones set

 	
 1

 	
  

 
	
 Flip charts

 	
 6

 	
  

 
	
 AV 6’ Screen

 	
 1

 	
  

 
	
 AV 8’ Screen

 	
 2

 	
  

 
	
 Business Center

 	
  

 	
  

 
	
 Office chairs

 	
 2

 	
  

 
	
 PC Work stations

 	
 2

 	
  

 
	
 Color Printer/ Scanner

 	
 1

 	
  

 
	
 Board Room

 	
  

 	
  

 
	
 Table & 12 office Chairs

 	
 1

 	
  

 
	
 Artwork

 	
 1

 	
  

 
	
 AV Screen

 	
 1

 	
  

 
	
 Luggage Carts

 	
 3

 	
  

 

6

EXHIBIT
C

LIST
OF HOTEL CONTRACTS

Seller’s Hotel Contracts

	
  

 	
  

 
	
 EXHIBIT C-1   -

 	
 Otis Elevator Company (Elevator Contract)

 
	
  

 	
  

 
	
 EXHIBIT C-2 -

 	
 The Brinkman Group (Landscape Contract)

 
	
  

 	
  

 
	
 EXHIBIT C-3 -

 	
 First Energy (Energy provider)

 
	
  

 	
  

 
	
 EXHIBIT C-4 -

 	
 DB Termite (Pest Control)

 
	
  

 	
  

 
	
 EXHIBIT C-5-

 	
 Cincinnati Bell (Phone, Internet and TV contract)

 

Seller’s Hotel ongoing association fee

Deerfield Township-Duke Realty (quarterly association
fee)

7

EXHIBIT
D

CONSENTS
AND APPROVALS

NONE

EXHIBIT
E

ENVIRONMENTAL
REPORTS

	
  

 	
  

 
	
 EXHIBIT E-1-

 	
 Phase I Environmental Report 09/11/2006—SRW
 Environmental Services, Inc.

 
	
  

 	
  

 
	
 EXHIBIT E-1-

 	
 Phase I Environmental Report 07/07/1997—SRW
 Environmental Services, Inc.

 

EXHIBIT
F

CLAIMS
OR LITIGATION PENDING

NONE

-i-

EXHIBIT G

ESCROW AGREEMENT

          THIS
ESCROW AGREEMENT (this “Agreement”)
made the ___ day of _______, 2011 by and among SASI, LLC, an Ohio limited
liability company (“Seller”),
APPLE TEN HOSPITALITY OWNERSHIP, INC., a Virginia corporation, or its assigns
(“Buyer”), and CHICAGO
TITLE COMPANY (“Escrow Agent”).

R E C I T A L S

          WHEREAS,
pursuant to the provisions of Section 2.5 of that certain Purchase Contract
dated _______ ___, 2011 (the “Contract”) between Seller and Buyer (the “Parties”), the Parties have requested
Escrow Agent to hold in escrow in accordance with the provisions, upon the
terms, and subject to the conditions, of this Agreement, the Earnest Money
Deposit as defined in the Contract (the “Deposit”);
and

          WHEREAS,
the Deposit shall be delivered to Escrow Agent in accordance with the terms of
the Contract and this Agreement.

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

                    1.
Seller and Buyer hereby appoint Escrow Agent to serve as escrow agent
hereunder, and the Escrow Agent agrees to act as escrow agent hereunder in
accordance with the provisions, upon the terms and subject to the conditions of
this Agreement. The Escrow Agent hereby
acknowledges receipt of the Deposit.
Escrow Agent shall invest the Deposit as directed by Buyer.

                    2.
Subject to the rights and obligations to transfer, deliver or otherwise dispose
of the Deposit, Escrow Agent shall keep the Deposit in Escrow Agent’s
possession pursuant to this Agreement.

                    3.
A. Buyer shall be entitled to an immediate return of the Deposit at any time
prior to the expiration of the Review Period (as defined in Section 3.1 of the
Contract) by providing written notice to Escrow Agent stating that Buyer has
elected to terminate the Contract pursuant to Section 3.1.

                              B.
If at any time after the expiration of the Review Period, Buyer claims entitlement
to all or any portion of the Deposit, Buyer shall give written notice to Escrow
Agent stating that Seller has defaulted in the performance of its obligations
under the Contract beyond the applicable grace period, if any, or that Buyer is
otherwise entitled to the return of the Deposit or applicable portion thereof
and shall direct Escrow Agent to return the Deposit or applicable portion
thereof to Buyer (the “Buyer’s Notice”). Escrow Agent shall promptly deliver a copy
of Buyer’s Notice to Seller. Seller
shall have five (5) business days after receipt 

-ii-

of the copy of
Buyer’s Notice to deliver written notice to Escrow Agent and Buyer objecting to
the release of the Deposit or applicable portion thereof to Buyer (“Seller’s Objection Notice”). If Escrow Agent does not receive a timely
Seller’s Objection Notice, Escrow Agent shall release the Deposit or applicable
portion thereof to Buyer. If Escrow
Agent does receive a timely Seller’s Objection Notice, Escrow Agent shall release
the Deposit or applicable portion thereof only upon receipt of, and in
accordance with, written instructions signed by Seller and Buyer, or the final
order of a court of competent jurisdiction.

                              C.
If, at any time after the expiration of the Review Period, Seller claims
entitlement to the Deposit or applicable portion thereof, Seller shall give
written notice to Escrow Agent stating that Buyer has defaulted in the
performance of its obligations under the Contract, and shall direct Escrow
Agent to release the Deposit or applicable portion thereof to Seller (the “Seller’s Notice”). Escrow Agent shall promptly deliver a copy
of Seller’s Notice to Buyer. Buyer
shall have five (5) business days after receipt of the copy of Seller’s Notice
to deliver written notice to Escrow Agent and Seller objecting to the release
of the Deposit or applicable portion thereof to Seller (“Buyer’s Objection Notice”). If Escrow Agent does not receive a timely
Buyer’s Objection Notice, Escrow Agent shall release the Deposit or applicable
portion thereof to Seller. If Escrow
Agent does receive a timely Seller’s Objection Notice, Escrow Agent shall
release the Deposit or applicable portion thereof only upon receipt of, and in
accordance with, written instructions signed by Buyer and Seller, or the final
order of a court of competent jurisdiction.

                    4.
In the performance of its duties hereunder, Escrow Agent shall be entitled to
rely upon any document, instrument or signature purporting to be genuine and
purporting to be signed by and of the Parties or their successors unless Escrow
Agent has actual knowledge to the contrary.
Escrow Agent may assume that any person purporting to give any notice or
instructions in accordance with the provisions hereof has been duly authorized
to do so.

                    5.
A. Escrow Agent shall not be liable for any error of judgment, or any action
taken or omitted to be taken hereunder, except in the case of Escrow Agent’s
willful, bad faith misconduct or negligence, nor shall Escrow Agent be liable
for the conduct or misconduct of any employee, agent or attorney thereof. Escrow Agent shall be entitled to consult
with counsel of its choosing and shall not be liable for any action suffered or
omitted in accordance with the advice of such counsel.

                              B.
In addition to the indemnities provided below, Escrow Agent shall not be liable
for, and each of the Parties jointly and severally hereby indemnify and agree
to save harmless and reimburse Escrow Agent from and against all loss, cost,
liability, damage and expense, including outside counsel fees in connection
with its acceptance of, or the performance of its duties and obligations under,
this Agreement, including the costs and expenses of defending against any claim
arising hereunder unless the same are caused by the willful, bad faith
misconduct or negligence of Escrow Agent.

                              C.
Escrow Agent shall not be bound or in any way affected by any notice of any
modification or cancellation of this Agreement, or of any fact or circumstance
affecting or alleged to affect rights or liabilities hereunder other than as is
herein set forth, or affecting or alleged to affect the rights and liabilities
of any other person, unless notice of the 

-iii-

same is
delivered to Escrow Agent in writing, signed by the proper parties to Escrow
Agent’s satisfaction and, in the case of modification, unless such modification
shall be approved by Escrow Agent in writing.

                    6.
A. Escrow Agent and any successor escrow agent, as the case may be, may resign
his or its duties and be discharged from all obligations hereunder at any time
upon giving five (5) days’ prior written notice to each of the Parties
hereto. The Parties hereto will
thereupon jointly designate a successor escrow agent hereunder within said five
(5) day period to whom the Deposit shall be delivered. In default of such a joint designation of a
successor escrow agent, Escrow Agent shall retain the Deposit as custodian
thereof until otherwise directed by the Parties hereto, jointly, or until the
Deposit is released in accordance with clause (B) below, in each case, without
liability or responsibility.

                              B.
Anything in this Agreement to the contrary notwithstanding, (i) Escrow
Agent, on notice to the Parties hereto, may take such other steps as the Escrow
Agent may elect in order to terminate its duties as Escrow Agent hereunder,
including, but not limited to, the deposit of the Deposit with a court of
competent jurisdiction in the Commonwealth of Virginia and the commencement of
an action of interpleaders, and (ii) in the event of litigation between any of
the Parties with respect to the Deposit, Escrow Agent may deposit the Deposit
with the court in which said litigation is pending and, in any such event,
Escrow Agent shall be relieved and discharged from any liability or
responsibility to the Parties hereto.
Escrow Agent shall not be under any obligation to take any legal action
in connection with this Agreement or its enforcement or to appear in, prosecute
or defend any action or legal proceeding which, in the opinion of Escrow Agent,
would or might involve Escrow Agent in any cost, expense, loss, damage or
liability, unless and as often as requested, Escrow Agent shall be furnished
with security and indemnity satisfactory to Escrow Agent against all such
costs, expenses (including attorney’s fees), losses, damages and liabilities.

                    7.
All notices required herein shall be deemed to have been validly given, as
applicable: (i) if given by telecopy,
when the telecopy is transmitted to the party’s telecopy number specified below
and confirmation of complete receipt is received by the transmitting party
during normal business hours or on the next business day if not confirmed
during normal business hours, (ii) if hand delivered to a party against
receipted copy, when the copy of the notice is receipted or rejected, (iii) if
given by certified mail, return receipt requested, postage prepaid, two (2) business
days after it is posted with the U.S. Postal Service at the address of the
party specified below or (iv) on the next delivery day after such notices are
sent by recognized and reputable commercial overnight delivery service marked
for next day delivery, return receipt requested or similarly acknowledged:

	
  

 	
  

 	
  

 
	
  

 	
 (i)

 	
 If addressed
 to Seller, to:

 
	
  

 
	
  

 	
  

 	
 SASI, LLC

 
	
  

 	
  

 	
 11441
 Brittany Woods Lane

 
	
  

 	
  

 	
 Cincinnati,
 OH 45249

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 With a copy
 to:

 
	
  

 	
  

 	
 Arthur D.
 Weber, Jr.

 

-iv-

	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Wood &
 Lamping LLP

 
	
  

 	
  

 	
 600 Vine
 St., Suite 2500

 
	
  

 	
  

 	
 Cincinnati,
 OH 45202

 
	
  

 	
  

 	
  

 
	
  

 	
 (ii)

 	
 If addressed
 to Buyer, to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Apple Ten
 Hospitality Ownership, Inc.

 
	
  

 	
  

 	
 814 E. Main
 Street

 
	
  

 	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
  

 	
 Attn: Sam
 Reynolds

 
	
  

 	
  

 	
 Fax No.:
 (804) 344-8129

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 with a copy
 to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Apple REIT Ten,
 Inc.

 
	
  

 	
  

 	
 814 E. Main
 Street

 
	
  

 	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
  

 	
 Attn: Legal
 Dept.

 
	
  

 	
  

 	
 Fax No.:
 (804) 727-6349

 
	
  

 	
  

 	
  

 
	
  

 	
 (iii)

 	
 If addressed
 to Escrow Agent, to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Chicago
 Title Company

 
	
  

 	
  

 	
 5501 LBJ
 Freeway, Suite 200

 
	
  

 	
  

 	
 Dallas,
 Texas 75240

 
	
  

 	
  

 	
 Attn: Debby
 Moore

 
	
  

 	
  

 	
 Fax No.:
 (214) 570-0210

 

or such other
address or addresses as may be expressly designated by any party by notice
given in accordance with the foregoing provisions and actually received by the
party to whom addressed.

                    8.
This Agreement may be executed in any number of counterparts each of which
shall be deemed an original and all of which, together, shall constitute one
and the same Agreement.

                    9.
The covenants, conditions and agreements contained in this Agreement shall bind
and inure to the benefit of each of the Parties hereto and their respective
successors and assigns.

-v-

          IN
WITNESS WHEREOF the Parties have executed this Agreement as of the day and year
first above written.

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 SELLER: 

 
	
  

 	
 SASI, LLC

 
	
  

 	
 An Ohio
 limited liability company

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
  

 	
  

 
	
  

 	
 BUYER:

 	
  

 
	
  

 	
  

 
	
  

 	
 APPLE TEN
 HOSPITALITY OWNERSHIP, INC.

 
	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
  

 	
  

 
	
  

 	
 ESCROW AGENT:

 	
  

 
	
  

 	
  

 	
  

 
	
  

 	
 CHICAGO
 TITLE COMPANY

 	
  

 
	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 

-vi-

SCHEDULE 3.1

DUE DILIGENCE LIST

Due Diligence

Documents Required

[electronic
versions preferred]

Property Name:

Date Opened:

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
 Date

Sent 

 	
  

 	
Comments 

 
	
  

 	
  

 	
  

 	
  

 	

 

 	
  

 	

 

 
	
 1

 	
  

 	
 Y-T-D
 Detailed Operating Statements

 	
  

 	
  

 	
  

 	
  

 
	
 2

 	
  

 	
 Prior 5
 Years Detailed P&L’s by month

 	
  

 	
  

 	
  

 	
  

 
	
 3

 	
  

 	
 2011
 Detailed Budget (Operating)

 	
  

 	
  

 	
  

 	
  

 
	
 4

 	
  

 	
 2011 Budget
 (Capital Expenditures)

 	
  

 	
  

 	
  

 	
  

 
	
 5

 	
  

 	
 STAR Report
 (previous 5 years)

 	
  

 	
  

 	
  

 	
  

 
	
 6

 	
  

 	
 2011
 Marketing Plan

 	
  

 	
  

 	
  

 	
  

 
	
 7

 	
  

 	
 Monthly
 Occupancy & Average Daily/Week/Package Rates (previous 3 years)

 	
  

 	
  

 	
  

 	
  

 
	
 8

 	
  

 	
 Schedule of
 Advance Deposits of Advance Reservations and Bookings (Top 20 Accounts)

 	
  

 	
  

 	
  

 	
  

 
	
 9

 	
  

 	
 Real Estate
 Tax Bills (last 2 years)

 	
  

 	
  

 	
  

 	
  

 
	
 10

 	
  

 	
 Personal
 Property Tax Bills (last 2 years)

 	
  

 	
  

 	
  

 	
  

 
	
 11

 	
  

 	
 Notices of
 Current Tax Assessments or Increases

 	
  

 	
  

 	
  

 	
  

 
	
 12

 	
  

 	
 Schedule of
 Insurance Coverage and Claims

 	
  

 	
  

 	
  

 	
  

 
	
 13

 	
  

 	
 Personal
 Property List (e.g., FF&E, office equipment)

 	
  

 	
  

 	
  

 	
  

 
	
 14

 	
  

 	
  Inventory of
 Supplies (e.g., chinaware, glassware, paper goods, office supplies, unopened
 food and beverage inventory)

 	
  

 	
  

 	
  

 	
  

 
	
 15

 	
  

 	
 Copies of
 Service Contracts and Equipment Leases

 	
  

 	
  

 	
  

 	
  

 
	
 16

 	
  

 	
 Copies of
 Space Leases (e.g., gift shop, health club/spa)

 	
  

 	
  

 	
  

 	
  

 

-vii-

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
 Date

Sent 

 	
  

 	
Comments 

 
	
  

 	
  

 	
  

 	
  

 	

 

 	
  

 	

 

 
	
 17

 	
  

 	
 Vehicle
 Title/Leases

 	
  

 	
  

 	
  

 	
  

 
	
 18

 	
  

 	
 Copies and
 Schedules of all Warranties and Guaranties

 	
  

 	
  

 	
  

 	
  

 
	
 19

 	
  

 	
 Existing
 Management Agreement

 	
  

 	
  

 	
  

 	
  

 
	
 20

 	
  

 	
 Existing
 Franchise/License Agreement

 	
  

 	
  

 	
  

 	
  

 
	
 21

 	
  

 	
 Loan
 Documents (Promissory Note, Mortgage, etc.)

 	
  

 	
  

 	
  

 	
  

 
	
 22

 	
  

 	
 Most current
 Franchise Property Improvement Plan or QA Assessment

 	
  

 	
  

 	
  

 	
  

 
	
 23

 	
  

 	
 Copies of
 all Licenses, Permits, and Approvals,
 including Liquor License

 	
  

 	
  

 	
  

 	
  

 
	
 24

 	
  

 	
 Certificate
 of Occupancy

 	
  

 	
  

 	
  

 	
  

 
	
 25

 	
  

 	
 Most Recent
 Property Payroll

 	
  

 	
  

 	
  

 	
  

 
	
 26

 	
  

 	
 Copy of
 Employment Contracts, if any

 	
  

 	
  

 	
  

 	
  

 
	
 27

 	
  

 	
 Construction
 docs and Plans & Specs (electronically if available)

 	
  

 	
  

 	
  

 	
  

 
	
 28

 	
  

 	
 Appraisal

 	
  

 	
  

 	
  

 	
  

 
	
 29

 	
  

 	
 Structural
 Engineering Audit

 	
  

 	
  

 	
  

 	
  

 
	
 30

 	
  

 	
 Environmental
 Site Assessment (Phase I)

 	
  

 	
  

 	
  

 	
  

 
	
 31

 	
  

 	
 Property
 Condition Report

 	
  

 	
  

 	
  

 	
  

 
	
 32

 	
  

 	
 Schedule of
 Utility Providers and Utility Deposits

 	
  

 	
  

 	
  

 	
  

 
	
 33

 	
  

 	
 Copies of
 Utility Bills (previous 3 months)

 	
  

 	
  

 	
  

 	
  

 
	
 34

 	
  

 	
 Zoning,
 compliance, and violation docs

 	
  

 	
  

 	
  

 	
  

 
	
 35

 	
  

 	
 Title
 Insurance Commitment, Title Search or Title Certificate

 	
  

 	
  

 	
  

 	
  

 
	
 36

 	
  

 	
 Copies of
 Title Exceptions

 	
  

 	
  

 	
  

 	
  

 
	
 37

 	
  

 	
 ALTA Survey

 	
  

 	
  

 	
  

 	
  

 
	
 38

 	
  

 	
 Service
 Contract Summary Completed

 	
  

 	
  

 	
  

 	
  

 
	
 39

 	
  

 	
 Property
 Data Sheet Completed

 	
  

 	
  

 	
  

 	
  

 
	
 40

 	
  

 	
 Other

 	
  

 	
  

 	
  

 	
  

 

-viii-

Due Diligence

Service Contract Summary

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Brand:

 Location:

 # Rooms:

 
	
  

 
	
  

 	
  

 	
 Service 

 Contract

 	
  

 	
 Term

 	
  

 	
 Annual

 Amount

 	
  

 	
 Cancellation

 	
  

 	
 Company

 	
  

 	
 Assignment

 
	
  

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 
	
 EXAMPLE
Kone Elevator 

 Service

 	
  

 	
 Quarterly 

 Inspection 

 & Service

 	
  

 	
 5yrs; beg

 2/12/04

 	
  

 	
 $4,942

 	
  

 	
 90-day notice

 prior to 

 expiration

 	
  

 	
 Hotel

 Properties,

 LLC

 	
  

 	
 w/ written consent

 
	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
 LEASE 

 CONTRACTS

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
 Name

 	
  

 	
 Equipment

 	
  

 	
 Term

 	
  

 	
 Annual

 Amount

 	
  

 	
 Cancellation

 	
  

 	
 Company

 	
  

 	
 Assignment

 
	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 	

 

 

-ix-

Due Diligence

Property Data Survey

[To Be
Completed Electronically]

-x-

-xi-

-xii-Exhibit 10.44

	
  

 	
  

 
	
  

 	
 EXECUTION VERSION

 
	
  

 	
  

 
	
  

 	
 Omaha, NE (HGI)

 

PURCHASE CONTRACT

between

OMAHA DOWNTOWN LODGING INVESTORS II, LLC
(“SELLER”)

AND

APPLE TEN HOSPITALITY OWNERSHIP, INC., a
Virginia corporation (“BUYER”)

Dated: July 13, 2011

TABLE OF CONTENTS

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
 Page No.

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	

 

 
	
  

 	
  

 
	
 ARTICLE I

 	
  

 	
  

 	
 DEFINED
 TERMS

 	
  

 	
 1

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 1.1

 	
  

 	
 Definitions

 	
  

 	
 1

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE II

 	
  

 	
  

 	
 PURCHASE AND
 SALE; PURCHASE PRICE; PAYMENT; EARNEST MONEY DEPOSIT

 	
  

 	
 6

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 2.1

 	
  

 	
 Purchase and
 Sale

 	
  

 	
 6

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 2.2

 	
  

 	
 Purchase
 Price

 	
  

 	
 6

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 2.3

 	
  

 	
 Allocation

 	
  

 	
 7

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 2.4

 	
  

 	
 Payment

 	
  

 	
 7

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 2.5

 	
  

 	
 Earnest
 Money Deposit

 	
  

 	
 7

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE III

 	
  

 	
  

 	
 REVIEW
 PERIOD

 	
  

 	
 7

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 3.1

 	
  

 	
 Review
 Period

 	
  

 	
 7

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 3.2

 	
  

 	
 Due
 Diligence Examination

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 3.3

 	
  

 	
 Restoration

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 3.4

 	
  

 	
 Seller
 Exhibits

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE IV

 	
  

 	
  

 	
 SURVEY AND
 TITLE APPROVAL

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 4.1

 	
  

 	
 Survey

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 4.2

 	
  

 	
 Title

 	
  

 	
 9

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 4.3

 	
  

 	
 Survey or
 Title Objections

 	
  

 	
 10

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 4.4

 	
  

 	
 Existing
 Loan Prepayment

 	
  

 	
 10

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE V

 	
  

 	
  

 	
 MANAGEMENT
 AGREEMENT, FRANCHISE AGREEMENT AND RESTURANT MANAGEMENT AGREEMENT

 	
  

 	
 11

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 5.1

 	
  

 	
 Management
 and Franchise Agreement

 	
  

 	
 11

 
	
  

 	
  

 
	
  

 	
 5.2

 	
  

 	
 Restaurant
 Management Agreement

 	
  

 	
 12

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VI

 	
  

 	
  

 	
 BROKERS

 	
  

 	
 12

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VII

 	
  

 	
  

 	
 REPRESENTATIONS,
 WARRANTIES AND COVENANTS

 	
  

 	
 12

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 7.1

 	
  

 	
 Seller’s
 Representations, Warranties and Covenants

 	
  

 	
 12

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 7.2

 	
  

 	
 Buyer’s
 Representations, Warranties and Covenants

 	
  

 	
 15

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 7.3

 	
  

 	
 Survival

 	
  

 	
 15

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE VIII

 	
  

 	
  

 	
 ADDITIONAL
 COVENANTS

 	
  

 	
 16

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.1

 	
  

 	
 Subsequent
 Developments

 	
  

 	
 16

 

i

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.2

 	
  

 	
 Operations

 	
  

 	
 16

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.3

 	
  

 	
 Third Party
 Consents

 	
  

 	
 17

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.4

 	
  

 	
 Employees

 	
  

 	
 17

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.5

 	
  

 	
 Estoppel
 Certificates

 	
  

 	
 18

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.6

 	
  

 	
 Access to
 Financial Information

 	
  

 	
 18

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.7

 	
  

 	
 Bulk Sales

 	
  

 	
 18

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.8

 	
  

 	
 Indemnification

 	
  

 	
 18

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.9

 	
  

 	
 Escrow Funds

 	
  

 	
 21

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 8.10

 	
  

 	
 Liquor
 Licenses

 	
  

 	
 21

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE IX

 	
  

 	
  

 	
 CONDITIONS
 FOR CLOSING

 	
  

 	
 21

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 9.1

 	
  

 	
 Buyer’s
 Conditions for Closing

 	
  

 	
 21

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 9.2

 	
  

 	
 Seller’s
 Conditions for Closing

 	
  

 	
 22

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE X

 	
  

 	
  

 	
 CLOSING AND
 CONVEYANCE

 	
  

 	
 22

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 10.1

 	
  

 	
 Closing

 	
  

 	
 22

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 10.2

 	
  

 	
 Deliveries
 of Seller

 	
  

 	
 23

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 10.3

 	
  

 	
 Buyer’s
 Deliveries

 	
  

 	
 24

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XI

 	
  

 	
  

 	
 COSTS

 	
  

 	
 25

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 11.1

 	
  

 	
 Seller’s
 Costs

 	
  

 	
 25

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 11.2

 	
  

 	
 Buyer’s
 Costs

 	
  

 	
 25

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XII

 	
  

 	
  

 	
 ADJUSTMENTS

 	
  

 	
 25

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 12.1

 	
  

 	
 Adjustments

 	
  

 	
 25

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 12.2

 	
  

 	
 Reconciliation
 and Final Payment

 	
  

 	
 27

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 12.3

 	
  

 	
 Employees

 	
  

 	
 27

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XIII

 	
  

 	
  

 	
 CASUALTY AND
 CONDEMNATION

 	
  

 	
 27

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 13.1

 	
  

 	
 Risk of
 Loss; Notice

 	
  

 	
 27

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 13.2

 	
  

 	
 Buyer’s
 Termination Right

 	
  

 	
 28

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 13.3

 	
  

 	
 Procedure
 for Closing

 	
  

 	
 28

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XIV

 	
  

 	
  

 	
 DEFAULT
 REMEDIES

 	
  

 	
 28

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 14.1

 	
  

 	
 Buyer
 Default

 	
  

 	
 28

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 14.2

 	
  

 	
 Seller
 Default

 	
  

 	
 29

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 14.3

 	
  

 	
 Attorney’s
 Fees

 	
  

 	
 29

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XV

 	
  

 	
  

 	
 NOTICES

 	
  

 	
 29

 
	
  

 	
  

 	
  

 	
  

 	
  

 
	
 ARTICLE XVI

 	
  

 	
  

 	
 MISCELLANEOUS

 	
  

 	
 30

 

ii

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.1

 	
  

 	
 Performance

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.2

 	
  

 	
 Binding
 Effect; Assignment

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.3

 	
  

 	
 Entire
 Agreement

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.4

 	
  

 	
 Governing
 Law

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.5

 	
  

 	
 Captions

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.6

 	
  

 	
 Confidentiality

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.7

 	
  

 	
 Closing
 Documents

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.8

 	
  

 	
 Counterparts

 	
  

 	
 30

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.9

 	
  

 	
 Severability

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.10

 	
  

 	
 Interpretation

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.11

 	
  

 	
 Further Acts

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.12

 	
  

 	
 Joint and
 Several Obligations

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.13

 	
  

 	
 Interpretation

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.14

 	
  

 	
 Notice of
 Proposed Listing

 	
  

 	
 31

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 16.15

 	
  

 	
 Section 1031
 Exchange

 	
  

 	
 31

 

SCHEDULES:

	
  

 	
  

 
	
 Schedule 2.3

 	
 Allocation

 
	
 Schedule 3.1

 	
 Due
 Diligence List

 

EXHIBITS:

	
  

 	
  

 
	
 Exhibit A

 	
 Legal
 Description

 
	
 Exhibit B

 	
 List of
 FF&E

 
	
 Exhibit C

 	
 List of
 Hotel Contracts

 
	
 Exhibit D

 	
 Consents and
 Approvals

 
	
 Exhibit E

 	
 Environmental
 Reports

 
	
 Exhibit F

 	
 Claims or
 Litigation Pending

 
	
 Exhibit G

 	
 Escrow
 Agreement

 

iii

PURCHASE CONTRACT

          This
PURCHASE CONTRACT (this “Contract”)
is made and entered into as of July 13, 2011, by and between Omaha Downtown
Lodging Investors II, LLC, a Wisconsin limited liability company (“Seller”) with a principal office at
1600 Aspen Commons, Suite 200, Middleton, WI 53562 and APPLE TEN HOSPITALITY
OWNERSHIP, INC., a Virginia corporation, with its principal office at 814 East
Main Street, Richmond, Virginia 23219, or its affiliates or assigns (“Buyer”).

RECITALS

          A.
Seller is the fee simple owner of that certain hotel property commonly known as
the Hilton Garden Inn Omaha Downtown/Old Market Area located at 1005 Dodge
Street, Omaha, Nebraska 68102, containing, among other things, 178 guest rooms
and Spencer’s Restaurant (the “Hotel”)
identified on Exhibit A
attached hereto and incorporated by reference.

          B.
Buyer is desirous of purchasing the Hotel from Seller, and Seller is desirous
of selling the Hotel to Buyer, for the purchase price and upon terms and
conditions hereinafter set forth.

AGREEMENT:

          NOW,
THEREFORE, in consideration of the foregoing Recitals, the mutual covenants
contained herein and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto hereby agree
as follows:

ARTICLE I
DEFINED TERMS

          1.1
Definitions. The following capitalized terms when used in this Contract
shall have the meanings set forth below unless the context otherwise requires:

          “Additional
Deposit” shall mean $100,000.

          “Affiliate”
shall mean, with respect to Seller or Buyer, any other person or entity
directly or indirectly controlling (including but not limited to all directors
and officers), controlled by or under direct or indirect common control with
Seller or Buyer, as applicable. For purposes of the foregoing, a person or
entity shall be deemed to control another person or entity if it possesses,
directly or indirectly, the power to direct or cause direction of the
management and policies of such other person or entity, whether through the
ownership of voting securities, by contract or otherwise. 

          “Appurtenances”
shall mean all rights, titles, and interests of Seller appurtenant to the Land
and Improvements, including, but not limited to, (i) all easements, rights of
way, rights of ingress and egress, tenements, hereditaments, privileges, and
appurtenances in any way belonging to the Land or Improvements, (ii) any land lying
in the bed of any alley, highway, street, road or avenue, open or proposed, in
front of or abutting or adjoining the Land, (iii) any 

1

strips or
gores of real estate adjacent to the Land, and (iv) the use of all alleys,
easements and rights-of-way, if any, abutting, adjacent, contiguous to or
adjoining the Land.

          “Brand”
shall mean Hilton Garden Inn, the hotel brand or franchise under which the
Hotel operates.

          “Business
Day” shall mean any day other than a Saturday, Sunday or legal holiday in
the Commonwealth of Virginia or the state in which the Property is located.

          “Closing”
shall mean the closing of the purchase and sale of the Property pursuant to
this Contract.

          “Closing
Date” shall have the meaning set forth in Section 10.1.

          “Contracts,
Plans and Specs” shall mean plans, drawings, specifications, surveys, soil
reports, engineering reports, inspection reports, and other technical
descriptions and reports.

          “Deed”
shall have the meaning set forth in Section 10.2(a).

          “Deposits”
shall mean, to the extent assignable, all prepaid rents and deposits,
refundable security deposits and rental deposits, and all other deposits for
advance reservations, banquets or future services, made in connection with the
use or occupancy of the Improvements; provided, however, that “Deposits” shall
exclude (i) reserves for real property taxes and insurance, in each case, to
the extent pro rated on the settlement statement such that Buyer receives a
credit for (a) taxes and premiums in respect of any period prior to Closing and
(b) the amount of deductibles and other self-insurance and all other potential
liabilities and claims in respect of any period prior to Closing, (ii) utility
deposits and (iii) any reserves for replacement of FF&E and for capital
repairs and/or improvements.

          “Due
Diligence Examination” shall have the meaning set forth in Section 3.2.

          “Earnest
Money Deposit” shall have the meaning set forth in Section 2.5(a).

          “Environmental
Requirements” shall have the meaning set forth in Section 7.1(f)

          “Escrow
Agent” shall have the meaning set forth in Section 2.5(a).

          “Escrow
Agreement” shall have the meaning set forth in Section 2.5(b).

          “Exception
Documents” shall have the meaning set forth in Section 4.2.

          “Existing
Franchise Agreement” shall mean that certain franchise license agreement
between the Seller and the Franchisor, granting to Seller a franchise to
operate the Hotel under the Brand.

          
“Existing Management Agreement” shall mean that certain management
agreement between the Seller and the Existing Manager for the operation and
management of the Hotel.

          “Existing
Manager” shall mean North Central Management, Inc.

2

          “FF&E”
shall mean all tangible personal property and fixtures of any kind (other than
personal property (i) owned by guests of the Hotel or (ii) leased by Seller
pursuant to an FF&E Lease) attached to, or located upon and used in connection
with the ownership, maintenance, use or operation of the Land or Improvements
as of the date hereof (or acquired by Seller and so employed prior to Closing),
including, but not limited to, all furniture, fixtures, equipment, signs and
related personal property; all heating, lighting, plumbing, drainage,
electrical, air conditioning, and other mechanical fixtures and equipment and
systems; all elevators, and related motors and electrical equipment and
systems; all hot water heaters, furnaces, heating controls, motors and
equipment, all shelving and partitions, all ventilating equipment, and all
disposal equipment; all spa, health club and fitness equipment; all equipment
used in connection with the use and/or maintenance of the guestrooms,
restaurants, lounges, business centers, meeting rooms, swimming pools, indoor
and/or outdoor sports facilities and other common areas and recreational areas;
all carpet, drapes, beds, furniture, televisions and other furnishings; all
stoves, ovens, freezers, refrigerators, dishwashers, disposals, kitchen
equipment and utensils, tables, chairs, plates and other dishes, glasses,
silverware, serving pieces and other restaurant and bar equipment, apparatus
and utensils. A current list of FF&E is attached hereto as Exhibit B.

          “FF&E
Leases” shall mean all leases of any FF&E and other contracts
permitting the use of any FF&E at the Improvements that are assumed by
Buyer.

          “Financial
Statements” shall have the meaning set forth in Section 3.1(b).

          “Franchisor”
shall mean Hilton Inns Franchise LLC.

          “Hotel
Contracts” shall have the meaning set forth in Section 10.2(d).

          “Improvements”
shall mean all buildings, structures, fixtures, parking areas and other
improvements to the Land, and all related facilities.

          “Indemnification
Agreement” shall have the meaning set forth in Article XVII.

          “Indemnified
Party” shall have the meaning set forth in Section 8.8(c)(i).

          “Indemnifying
Party” shall have the meaning set forth in Section 8.8(c)(i).

          “Initial
Deposit” shall have the meaning set forth in Section 2.5(a).

          “Land”
shall mean, collectively, a fee simple absolute interest in the real property
more fully described in Exhibit A, which is attached hereto and
incorporated herein by reference, together with all rights (including without
limitation all air rights, mineral rights and development rights), alleys,
streets, strips, gores, waters, privileges, appurtenances, advantages and
easements belonging thereto or in any way appertaining thereto.

          “Leases”
shall mean all leases, franchises, licenses, occupancy agreements (but
excluding room reservations), “trade-out” agreements, advance bookings,
convention reservations, or other agreements demising space in, providing for
the use or occupancy of, or otherwise similarly affecting or relating to the
use or occupancy of, the Improvements or Land, together with all amendments,
modifications, renewals and extensions thereof, and all guaranties by third
parties 

3

of the
obligations of the tenants, licensees, franchisees, concessionaires or other
entities thereunder.

          “Legal
Action” shall have the meaning set forth in Section 8.8(c)(ii).

          “Licenses”
shall mean all permits, licenses, franchises, utility reservations,
certificates of occupancy, and other documents issued by any federal, state, or
municipal authority or by any private party related to the development,
construction, use, occupancy, operation or maintenance of the Hotel, including,
without limitation, all licenses, approvals and rights (including any and all
existing waivers of any brand standard) necessary or appropriate for the
operation of the Hotel under the Brand, but excluding the Existing Franchise
Agreement.

          “Liquor
License” shall have the meaning set forth in Section 8.10.

          “Manager”
shall mean the entity Buyer chooses to manage the Hotel from and after Closing.

          “New
Franchise Agreement” shall mean the franchise license agreement to be entered
into between Buyer and the Franchisor, granting to Buyer a franchise to operate
the Hotel under the Brand on and after the Closing Date. 

          “New
Management Agreement” means the management agreement to be entered into
between Buyer and the Manager for the operation and management of the Hotel on
and after the Closing Date.

          “Other
Property” shall have the meaning set forth in Section 16.14.

          “Pending
Claims” shall have the meaning set forth in Section 7.1(e).

          “Permitted
Exceptions” shall have the meaning set forth in Section 4.3.

          “Personal
Property” shall mean, collectively, all of the Property other than the Real
Property. 

          “PIP”
shall mean a product improvement plan for any Hotel, as required by the
Existing Manager or the Franchisor, if any.

          “Post-Closing
Agreement” shall have the meaning set forth in Section 8.9.

          “Property”
shall mean, collectively, (i) all of the following with respect to the Hotel:
the Land, Improvements, Appurtenances, FF&E, Supplies, Leases, Deposits,
Records, Service Contracts, Warranties, Licenses, FF&E Leases, Contracts,
Plans and Specs, Tradenames, Utility Reservations, as well as all other real,
personal or intangible property of Seller related to any of the foregoing and
(ii) any and all of the following that relate to or affect in any way the
design, construction, ownership, use, occupancy, leasing, maintenance, service
or operation of the Real Property, FF&E, Supplies, Leases, Deposits or Records:
Service Contracts, Warranties, Licenses, Tradenames, Contracts, Plans and Specs
and FF&E Lease. 

4

          “Purchase
Price” shall have the meaning set forth in Section 2.2.

          “Real
Property” shall mean, collectively, all Land, Improvements and Appurtenances
with respect to the Hotel. 

          “Records”
shall mean all books, records, promotional material, guest history information
(other than any such information owned by the Existing Manager or Franchisor,
or any such information related to any other hotels owned by Affiliates of
Seller), marketing and leasing material (including but not limited to any such
records, data, information, and material in the form of computerized files
located at the Hotel), market studies prepared in connection with Seller’s
current annual plan (if any) and other materials, information, data, or other
documents or records (including, without limitation, all documentation relating
to all zoning and/or land use notices relating to or affecting the Property,
all business plans and projections and all studies, plans, budgets and
contracts related to the operation of the Hotel) all to the extent the same are
in Seller’s possession or control (or Seller has reasonably access or may
obtain the same from the Existing Manager), and that are used in or relating to
the Property and/or the operation of the Hotel, including the Land, the
Improvements or the FF&E, and copies of the final plans and specifications
for the Hotel, but excluding all such materials and documents owned by
Franchisor and all such materials and documents that constitute source
documents for Seller’s financial and tax records.

          “Release”
shall have the meaning set forth in Section 7.1(f).

          “Restaurant”
shall mean Spencer’s for Steak and Chops, the restaurant located within the
Hotel.

          “Restaurant
Manager” means Keeler Hospitality Group, LLC (f/k/a Hospitality Restaurant
Group, LLC).

          “Restaurant
Management Agreement” means that certain restaurant management agreement
between Seller and Restaurant Manager dated April 17, 2008, 

          “Review
Period” shall have the meaning set forth in Section 3.1.

          “SEC”
shall have the meaning set forth in Section 8.6.

          “Seller
Liens” shall have the meaning set forth in Section 4.3.

          “Seller
Parties” shall have the meaning set forth in Section 7.1(e).

          “Service
Contracts” shall mean contracts or agreements, such as maintenance, supply,
service or utility contracts.

          “Supplies”
shall mean all merchandise, supplies, inventory and other items used for the
operation and maintenance of guest rooms, restaurants, lounges, swimming pools,
health clubs, spas, business centers, meeting rooms and other common areas and
recreational areas located within or relating to the Improvements, including,
without limitation, all food and beverage (alcoholic and non-alcoholic)
inventory (opened or unopened), office supplies and stationery, 

5

advertising
and promotional materials, china, glasses, silver/flatware, towels, linen and
bedding (all of which shall be 2-par level for all suites or rooms in the
Hotel), guest cleaning, paper and other supplies, upholstery material, carpets,
rugs, furniture, engineers’ supplies, paint and painters’ supplies, employee
uniforms, and all cleaning and maintenance supplies, including those used in
connection with the swimming pools, indoor and/or outdoor sports facilities,
health clubs, spas, fitness centers, restaurants, business centers, meeting
rooms and other common areas and recreational areas.

          “Survey”
shall have the meaning set forth in Section 4.1.

          “Third
Party Consents” shall have the meaning set forth in Section 8.3.

          “Title
Commitment” shall have the meaning set forth in Section 4.2.

          “Title
Company” shall have the meaning set forth in Section 4.2.

          “Title
Policy” shall have the meaning set forth in Section 4.2.

          “Title
Review Period” shall have the meaning set forth in Section 4.3.

          “Tradenames”
shall mean all telephone exchanges and numbers, trade names, trade styles,
trade marks, and other identifying material, and all variations thereof,
together with all related goodwill (it being understood and agreed that the
name of the hotel chain to which the Hotel is affiliated by franchise, license
or management agreement is a protected name or registered service mark of such
hotel chain and cannot be transferred to Buyer by this Contract, provided that
all such franchise, license, management and other agreements granting a right
to use the name of such hotel chain or any other trademark or trade name and
all waivers of any brand standard shall be assigned to Buyer.

          “Utility
Reservations” shall mean Seller’s interest in the right to receive
immediately on and after Closing and continuously consume thereafter water
service, sanitary and storm sewer service, electrical service, gas service and
telephone service on and for the Land and Improvements in capacities that are
adequate continuously to use and operate the Improvements for the purposes for
which they were intended, including, but not limited to (i) any right to the
present and future use of wastewater, drainage, water and other utility
facilities to the extent such use benefits the Real Property, (ii) any reservations
of or commitments covering any such use in the future, and (iii) any wastewater
capacity reservations relating to the Real Property. Buyer shall be responsible
for any requests or documents to transfer the Utility Reservations, at Buyer’s
sole cost and expense. 

          “Warranties”
shall mean all warranties, guaranties, indemnities and claims for the benefit
of Seller with respect to the Hotel, the Property or any portion thereof,
including, without limitation, all warranties and guaranties of the
development, construction, completion, installation, equipping and furnishing
of the Hotel, and all indemnities, bonds and claims of Seller related thereto.

6

ARTICLE II

PURCHASE AND SALE; PURCHASE PRICE; PAYMENT;

EARNEST MONEY DEPOSIT

          2.1
Purchase and Sale. Seller agrees to sell and convey to Buyer or its
Affiliates and/or assigns, and Buyer or its assigns agrees to purchase from
Seller, the Property, in consideration of the Purchase Price and upon the terms
and conditions hereof. All of the Property shall be conveyed, assigned, and
transferred to Buyer at Closing, free and clear of all mortgages, liens,
encumbrances, licenses, franchises (other than any hotel franchises assumed by
Buyer), concession agreements, security interests, prior assignments or
conveyances, conditions, restrictions, rights-of-way, easements, encroachments,
claims and other matters affecting title or possession, except for the
Permitted Exceptions, and except for future lease obligations assumed pursuant
to Section 4.3, if any.

          2.2
Purchase Price. Buyer agrees to pay, and Seller agrees to accept, as
consideration for the conveyance of the Property, subject to the adjustments
provided for in this Contract, the amount of Twenty-Nine Million Two Hundred
Thousand and No/100 Dollars ($29,200,000.00) (the “Purchase Price”).

          2.3
Allocation. The allocation among Real Property, Personal Property and
intangible property shall be as set forth on Schedule 2.3 attached hereto.

          2.4
Payment. The portion of the Purchase Price, less the Earnest Money
Deposit and interest earned thereon, if any, which Buyer elects to have applied
against the Purchase Price (as provided below), shall be paid to Seller by wire
transfer, on or before 12:00 p.m. (Dallas, Texas time) on the Closing Date. At
the Closing, the Earnest Money Deposit, together with interest earned thereon,
if any, shall, at Buyer’s election, be returned to Buyer or shall be paid over
to Seller by Escrow Agent to be applied to the portion of the Purchase Price on
behalf of Buyer and the Escrow Funds shall be deposited into an escrow account
pursuant to the Post Closing Agreement as contemplated by Section 8.9. 

          2.5
Earnest Money Deposit.

                    (a)
Within three (3) Business Days after the full execution and delivery of this
Contract, Buyer shall deposit the sum of One Hundred Thousand and No/100
Dollars ($100,000.00) in cash, certified bank check or by wire transfer of
immediately available funds (the “Initial
Deposit”) with the Title Company, as escrow agent (“Escrow Agent”), which sum shall be held
by Escrow Agent as earnest money. If, pursuant to the provisions of Section 3.1
of this Contract, Buyer elects to terminate this Contract at any time prior to
the expiration of the Review Period, then the Escrow Agent shall return the
Earnest Money Deposit to Buyer promptly upon written notice to that effect from
Buyer. If Buyer does not elect to terminate this Contract on or before the
expiration of the Review Period, Buyer shall, within three (3) Business Days
after the expiration of the Review Period deposit the Additional Deposit with
the Escrow Agent and the Initial Deposit and Additional Deposit shall then be
non-refundable to Buyer except as otherwise provided herein. The Initial Deposit
and the Additional Deposit, and all interest accrued thereon, shall hereinafter
be referred to as the “Earnest Money
Deposit.”

7

                    (b)
The Earnest Money Deposit shall be held by Escrow Agent subject to the terms
and conditions of an Escrow Agreement dated as of the date of this Contract
entered into by Seller, Buyer and Escrow Agent (the “Escrow Agreement”). The Earnest Money
Deposit shall be held in an interest-bearing account in a federally insured
bank or savings institution reasonably acceptable to Seller and Buyer, with all
interest to accrue to the benefit of the party entitled to receive it and to be
reportable by such party for income tax purposes.

ARTICLE III
REVIEW PERIOD

          3.1
Review Period. Buyer shall have a period through 6:00 p.m. Eastern Time
on the date that is forty-five (45) days after the date of this Contract,
unless a longer period of time is otherwise provided for in this Contract and
except as otherwise agreed to by Buyer and Seller (the “Review Period”), to evaluate the legal,
title, survey, construction, physical condition, structural, mechanical,
environmental, economic, permit status, franchise status, financial and other
documents and information related to the Property. Within two (2) Business Days
following the date of this Contract, Seller, at Seller’s sole cost and expense,
will deliver to Buyer (or cause to be delivered to Buyer) for Buyer’s review,
to the extent not previously delivered to Buyer, true, correct and complete
copies of the following to the extent Seller has such in its possession or
control, together with all amendments, modifications, renewals or extensions
thereof:

                    (a)
All Warranties and Licenses relating to the Hotel or any part thereof;

                    (b)
Operating statements for the Hotel, for the current year to date and each of
the three (3) prior fiscal years, all in a consolidated month-by-month format
by year (the “Financial Statements”). Seller also agrees to provide to
Buyer’s auditor and representatives all financial and other information
necessary or appropriate for preparation of audited financial statements for
Buyer and/or its Affiliates as provided in Section 8.6, below;

                    (c)
All real estate and personal property tax statements with respect to the Hotel
and notices of appraised value for the Real Property for the current year (if
available) and each of the three (3) calendar years prior to the current year;

                    (d)
Engineering, mechanical, architectural and construction plans, drawings,
specifications and contracts, payment and performance bonds, title policies,
reports and commitments, zoning information and marketing and economic data
relating to the Hotel and the construction, development, installation and
equipping thereof, as well as copies of all environmental reports and
information, topographical, boundary or “as built” surveys, engineering
reports, subsurface studies and other Contracts, Plans and Specs relating to or
affecting the Hotel. If the Hotel is purchased by Buyer, all such documents and
information relating to the Hotel shall thereupon be and become the property of
Buyer without payment of any additional consideration therefor;

                    (e)
All FF&E Leases, Services Contracts, Leases and, if applicable, a schedule
of such Leases of space in the Hotel, but not including any agreements for real
estate 

8

commissions,
brokerage fees, finder’s fees or other compensation payable by Seller in
connection therewith; 

                    (f)
All notices received from governmental authorities in connection with the Hotel
and all other notices received from governmental authorities received at any
time that relate to any noncompliance or violation of law that has not been
corrected; and

                    (g)
Any other information described on Schedule 3.1 attached hereto.

          Seller
shall, upon request of Buyer, make available to Buyer and Buyer’s
representatives and agents, for inspection and copying during normal business
hours, Records located at Seller’s corporate offices, and Seller agrees to
provide Buyer, at Buyer’s request, copies of all other reasonably requested
information that is relevant to the management, operation, use, occupancy or
leasing of or title to the applicable Hotel and the plans specifications for
development of the Hotel, to the extent Seller has such in its possession or
control. At any time during the Review Period, Buyer may, in its sole and
absolute discretion, elect not to proceed with the purchase of the Property for
any reason whatsoever by giving written notice thereof to Seller, in which
event: (i) the Earnest Money Deposit shall be promptly returned by Escrow Agent
to Buyer together with all accrued interest, if any, (ii) this Contract shall
be terminated automatically, (iii) all materials supplied by Seller to Buyer
(and all copies thereof made by Buyer) shall be returned promptly to Seller,
and (iv) both parties will be relieved of all other rights, obligations and
liabilities hereunder, except for the parties’ obligations pursuant to Sections
3.3 and 16.6 below.

          3.2
Due Diligence Examination. At any time during the Review Period, and
thereafter through Closing of the Property, Buyer and/or its representatives
and agents shall have the right to enter upon the Property at all mutually
agreed upon times for the purposes of reviewing all Records and other data,
documents and/or information relating to the Property and conducting such
surveys, appraisals, engineering tests, soil tests (including, without
limitation, Phase I and Phase II (with the prior written consent of Seller)
environmental site assessments), inspections of construction and other
inspections and other studies as Buyer deems reasonable and necessary or
appropriate to evaluate the Property, subject to providing reasonable advance
notice to Seller unless otherwise agreed to by Buyer and Seller (the “Due Diligence Examination”). Seller
shall have the right to have its representative present during Buyer’s physical
inspections of its Property, provided that failure of Seller to do so shall not
prevent Buyer from exercising its due diligence, review and inspection rights
hereunder. Buyer agrees to exercise reasonable care when visiting the Property,
in a manner which shall not materially adversely affect the operation of the
Property and agrees not to view any rooms occupied at the time of such visit by
guests of the Hotel.

          3.3
Restoration. Buyer covenants and agrees not to damage or destroy any
portion of the Property in conducting its examinations and studies of the
Property during the Due Diligence Examination and shall promptly repair any
portion of the Property damaged by the conduct of Buyer, its agents or
employees, to substantially the condition such portion(s) of the Property were
in immediately prior to such examinations or studies. 

          3.4
Seller Exhibits. Buyer shall have until the end of the Review Period to
review and approve the information on Exhibits B, C, D, E and F. In the event
Buyer does not approve 

9

any such
Exhibit or the information contained therein, Buyer shall be entitled to
terminate this Contract prior to the end of the Review Period by notice to
Seller and the Earnest Money Deposit shall be returned to Buyer with all interest
thereon and both parties shall be relieved of all rights, obligations and
liabilities hereunder except for the parties’ obligations pursuant to Sections
3.3 and 16.6.

ARTICLE IV

SURVEY AND TITLE APPROVAL

          4.1
Survey. Within two (2) Business Days following the date of this
Contract, Seller (to the extent Seller has such in its possession or control)
will deliver to Buyer true, correct and complete copies of the most recent
surveys of the Real Property. In the event that an update of the survey or a
new survey (such updated or new surveys being referred to as the “Survey”) are desired by Buyer, then
Buyer shall be responsible for all costs related thereto.

          4.2
Title. Within two (2) Business Days following the date of this Contract,
Seller will deliver to Buyer its existing title insurance policy, including
copies of all documents referred to therein (to the extent Seller has the same
in its possession or control), for the Real Property. Buyer’s obligations under
this Contract are conditioned upon Buyer being able to obtain for the Property
(i) a Commitment for Title Insurance (the “Title
Commitment”) issued by Chicago Title Company, Attn: Debby Moore,
5501 LBJ Freeway, Ste. 200, Dallas, Texas 75240 (the “Title Company”), for the most recent
standard form of owner’s policy of title insurance in the state in which the
Real Property is located, covering the Real Property, setting forth the current
status of the title to the Real Property, showing all liens, claims,
encumbrances, easements, rights of way, encroachments, reservations,
restrictions and any other matters affecting the Real Property and pursuant to
which the Title Company agrees to issue to Buyer at Closing an Owner’s Policy
of Title Insurance on the most recent form of ALTA (where available) owner’s
policy available in the state in which the Land is located, with extended
coverage and, to the extent applicable and available in such state,
comprehensive, access, single tax parcel, survey, contiguity and such other
endorsements as may be required by Buyer (collectively, the “Title Policy”); and (ii) true,
complete, legible and, where applicable, recorded copies of all documents and
instruments (the “Exception Documents”)
referred to or identified in the Title Commitment, including, but not limited
to, all deeds, lien instruments, leases, plats, surveys, reservations,
restrictions, and easements affecting the Real Property. 

          4.3
Survey or Title Objections. If Buyer discovers any title or survey
matter which is objectionable to Buyer, Buyer may provide Seller with written
notice of its objection to same on or before the expiration of the Review
Period (the “Title Review Period”).
If Buyer fails to so object in writing to any such matter set forth in the
Survey or Title Commitment, it shall be conclusively assumed that Buyer has
approved same. If Buyer disapproves any condition of title, survey or other
matters by written objection to Seller on or before the expiration of the Title
Review Period, Seller shall elect either to attempt to cure or not cure any
such item by written notice sent to Buyer within five (5) Business Days after
its receipt of notice from Buyer, and if Seller commits in writing to attempt
to cure any such item, then Seller shall be given until the Closing Date to
cure any such defect. In the event Seller fails to notify Buyer of its election
within such five (5) Business Day period, Seller shall be deemed to have
elected not to cure such item. In the event Seller shall fail to cure a defect
which Seller has committed in writing to cure 

10

prior to
Closing, or if a new title defect arises after the date of Buyer’s Title
Commitment or Survey, as applicable, but prior to Closing, then Buyer may
elect, in Buyer’s sole and absolute discretion: (i) to waive such objection (in
which event such items shall become “Permitted Exceptions”) and proceed to
Closing, or (ii) to terminate this Contract and receive a return of the Earnest
Money Deposit, and any interest thereon. The items shown on the Title
Commitment which are not objected to by Buyer as set forth above (other than
exceptions and title defects arising after the title review period and other
than those standard exceptions which are ordinarily and customarily omitted in
the state in which the applicable Hotel is located, so long as Seller provides
the appropriate owner’s affidavit, gap indemnity or other documentation
reasonably required by the Title Company for such omission) are hereinafter
referred to as the “Permitted Exceptions.”
In no event shall Permitted Exceptions include liens, or documents evidencing
liens, securing any indebtedness (including vehicle or FF&E leases or
financing arrangements), any mechanics’ or materialmen’s liens or any claims or
potential claims therefor covering the Property or any portion thereof
resulting from an act or omission of Seller (“Seller Liens”), each of which shall be paid in full by
Seller and released at Closing. Subject to the following sentence, if a vehicle
or FF&E lease or other financing cannot be released at Closing, Seller
shall credit Buyer at Closing with the amount necessary to fully pay off such
lease or financing over its term. Buyer acknowledges that Seller currently
leases a vehicle (the “Van Lease”) to serve the property. Buyer shall have the
option to be exercised on or before the expiration of the Review Period to
either take possession of the vehicle and assume the Van Lease or notify Seller
that Buyer does not wish to take possession of the van in which case Seller
shall retain the van and the Van Lease obligation. Buyer acknowledges that the
Property is part of a tax incremental financing development, subject to a
Redevelopment Agreement with the City of Omaha approved May 3, 2000 (the
“TIF”), Buyer and agrees to be bound by and comply with all terms, conditions
and covenants of the TIF. The TIF shall be considered a Permitted Exception.

          4.4
Existing Loan Prepayment. Seller represents and warrants that the
Property is encumbered by a first lien mortgage (the “Existing Loan”) in favor
of U.S. Bank National Association, as Trustee for Morgan Stanley Capital I Inc.
(the “Existing Lender”). On or before Closing, Seller shall satisfy the
Existing Loan such that it is no longer a lien or encumbrance on the Property
and Seller shall pay all administrative fees, securities/collateral costs,
prepayment fees, successor borrower fees, legal fees and all other costs and
expenses (collectively, “Prepayment Costs”) in connection with or related to
the satisfaction of the Existing Loan. Buyer shall cooperate with Seller in
Seller’s efforts related to the satisfaction of the Existing Loan at no cost to
Buyer; provided, however, Buyer shall credit Seller at Closing an amount equal
to $825,000 towards the Prepayment Costs (the “Defeasance Credit”).
Notwithstanding the foregoing, if the Prepayment Costs equal less than
$825,000, then the Defeasance Credit payable by Buyer shall be reduced by an
amount equal to 0.5 times the positive difference between $825,000 and the
actual and verifiable Prepayment Costs. Seller’s obligation to close shall be
conditioned upon the Existing Lender providing Seller with its consent to
prepay the Existing Loan at Closing and the amount of the Prepayment Costs.

11

ARTICLE V

MANAGEMENT AGREEMENT, FRANCHISE AGREEMENT AND RESTAURANT 

MANAGEMENT AGREEMENT

          5.1
Management and Franchise Agreement. At or prior to the Closing, Seller
shall terminate the Existing Management Agreement and the Existing Franchise
Agreement, and Seller shall be solely responsible for all claims and liabilities
arising thereunder on, prior to or following the Closing Date, including
outstanding fees, charges or costs and further including the repayment of any
key money, if any. As a condition to Closing, Buyer shall enter into the New
Franchise Agreement, effective as of the Closing Date, containing terms and
conditions acceptable to Buyer including, without limitation, a franchise term
of not less than ten years. Seller shall be responsible for paying all costs
related to the termination of the Existing Management Agreement. Buyer shall be
responsible for paying all reasonable and actual costs of the Franchisor
related to the termination of the Existing Franchise Agreement. Seller shall
use best efforts to promptly provide all information required by the Franchisor
in connection with the New Franchise Agreement, and Seller and Buyer shall
diligently pursue obtaining each the same. Buyer covenants and agrees to submit
a complete franchise application, including all required deposits, to
Franchisor for the New Franchise Agreement no later than the end of the Review
Period, and to provide Seller evidence of submission on or before the
expiration of the Review Period in the form of a written receipt from
Franchisor of the franchise deposit and a complete application. In the event
Buyer fails to comply with the foregoing, this condition shall be deemed waived
by Buyer. 

          5.2
Restaurant Management Agreement. The Hotel contains a dining area known
as Spencer’s TM owned by Seller and managed by Restaurant Manager (with the
restaurant name licensed from Restaurant Manager). Seller has delivered to
Buyer a true, accurate and complete copy of the Restaurant Management Agreement
and Seller represents and warrants that the Restaurant Management Agreement is
in full force and effect, is unmodified and neither party thereto is in default
of its respective obligations thereunder. At Closing, Seller shall assign and
Buyer shall assume the Restaurant Management Agreement effective on the date of
Closing. Seller shall be responsible for any amounts due or any obligations
first arising under the Restaurant Management Agreement up to the date of
Closing (pursuant to the income adjustment provisions in Section 12.1(j)).
Buyer shall be responsible for any amounts due or any obligations first arising
under the Restaurant Management Agreement following Closing (pursuant to the
income adjustment provisions in Section 12.1(j)).

ARTICLE VI

BROKERS

          Seller
and Buyer each represents and warrants to the other that it has not engaged any
broker, finder or other party in connection with the transaction contemplated
by this Contract, except for Hodges Ward Elliott (Bill Hodges) (the “Broker”), which Broker shall be entitled to
a commission from Seller upon the sale of the Property under a separate
agreement with Seller. Buyer and Seller each agree to save and hold the other
harmless from any and all losses, damages, liabilities, costs and expenses
(including, without limitation, attorneys’ fees) involving claims made by any
other agent, broker, or other person by or through the acts of Buyer or Seller,
respectively, in connection with this transaction.

12

ARTICLE VII

REPRESENTATIONS, WARRANTIES AND COVENANTS

          7.1
Seller’s Representations, Warranties and Covenants. Seller hereby
represents, warrants and covenants to Buyer as follows:

                    (a)
Authority; No Conflicts. Seller is a limited liability company duly
formed, validly existing and in good standing in the State of Wisconsin. Seller
has obtained all necessary consents to enter into and perform this Contract,
fully authorized to enter into and perform this Contract and to complete the
transactions contemplated by this Contract. No consent or approval of any
person, entity or governmental authority is required for the execution,
delivery or performance by Seller of this Contract, except as set forth in Exhibit
D, and this Contract is hereby binding and enforceable against Seller
subject to the consent of Seller’s members per Exhibit D. Neither the
execution nor the performance of, or compliance with, this Contract by Seller
has resulted, or will result, in any violation of, or default under, or
acceleration of, any obligation under any existing corporate charter,
certificate of incorporation, bylaw, articles of organization, limited
liability company agreement or regulations, partnership agreement or other
organizational documents and under any, mortgage indenture, lien agreement,
promissory note, contract, or permit, or any judgment, decree, order,
restrictive covenant, statute, rule or regulation, applicable to Seller or to
the Hotel.

                    (b)
FIRPTA. Seller is not a foreign corporation, foreign partnership,
foreign trust or foreign estate (as those items are defined in the Internal
Revenue Code and Income Tax Regulations).

                    (c)
Bankruptcy. Neither Seller, nor to Seller’s knowledge, any of its
partners or members, is insolvent or the subject of any bankruptcy proceeding,
receivership proceeding or other insolvency, dissolution, reorganization or
similar proceeding.

                    (d)
Property Agreements. A complete list of all FF&E Leases, Service
Contracts and Leases (other than those entered into by the Existing Manager on
its own behalf) used in or otherwise relating to the operation and business of
the Hotel is attached hereto as Exhibit C (or if Exhibit C is not
completed as of the date of signing of this Contract, the same will be
delivered within two (2) Business Days following the date of this Contract).
The assets constituting the Property to be conveyed to Buyer hereunder
constitute all of the property and assets of Seller used in connection with the
operation and business of the Hotel. There are no leases, license agreements,
leasing agent’s agreements, equipment leases, building service agreements,
maintenance contracts, suppliers contracts, warranty contracts, operating
agreements, or other agreements (i) to which Seller is a party or an assignee,
or (ii) to Seller’s knowledge, binding upon the Hotel, relating to the
ownership, occupancy, operation, management or maintenance of the Real
Property, FF&E, Supplies or Tradenames, except for those Service Contracts,
Leases, Warranties and FF&E Leases disclosed on Exhibit C or to be
delivered to Buyer pursuant to Section 3.1. The Service Contracts, Leases,
Warranties and FF&E Leases disclosed on Exhibit C or to be delivered
to Buyer pursuant to Section 3.1 are in full force and effect, and no material
default has occurred and is continuing thereunder and no circumstances exist
which, with the giving of notice, the lapse of time or both, would constitute 

13

such a
default. No party has any right or option to acquire the Hotel or any portion
thereof, other than Buyer.

                    (e)
Pending Claims. To Seller’s actual knowledge, there are no: (i) claims,
demands, litigation, proceedings or governmental investigations pending or
threatened against Seller, the Existing Manager or any Affiliate of any of them
(collectively, “Seller Parties”) or related to the business or assets of
the Hotel, except as set forth on Exhibit F attached hereto and
incorporated herein by reference, (ii) special assessments or extraordinary
taxes except as set forth in the Title Commitment or (iii) pending or
threatened condemnation or eminent domain proceedings which would affect the
Property or any part thereof. There are no: pending arbitration proceedings or
unsatisfied arbitration awards, or judicial proceedings or orders respecting
awards, which might become a lien on the Property or any portion thereof,
pending unfair labor practice charges or complaints, unsatisfied unfair labor
practice orders or judicial proceedings or orders with respect thereto, pending
charges or complaints with or by city, state or federal civil or human rights agencies,
unremedied orders by such agencies or judicial proceedings or orders with
respect to obligations under city, state or federal civil or human rights or
antidiscrimination laws or executive orders affecting the Hotel, or other
pending, actual or, to Seller’s knowledge, threatened litigation claims,
charges, complaints, petitions or unsatisfied orders by or before any
administrative agency or court which affect the Hotel or might become a lien on
the Hotel (collectively, the “Pending
Claims”). 

                    (f)
Environmental. With respect to environmental matters, to Seller’s actual
knowledge, without investigation, (i) there has been no Release or threat of
Release of Hazardous Materials in, on, under, to, from or in the area of the
Real Property, except as disclosed in the reports and documents set forth on Exhibit
E attached hereto and incorporated herein by reference, (ii) no portion of
the Property is being used for the treatment, storage, disposal or other
handling of Hazardous Materials or machinery containing Hazardous Materials
other than standard amounts of cleaning supplies and chlorine for the swimming
pool, all of which are stored on the Property in strict accordance with
applicable Environmental Requirements and do not exceed limits permitted under
applicable laws, including without limitation Environmental Requirements, (iii)
no underground storage tanks are currently located on or in the Real Property
or any portion thereof, (iv) no environmental investigation, administrative
order, notification, consent order, litigation, claim, judgment or settlement
with respect to the Property or any portion thereof is pending or threatened in
writing, (v) there is not currently and, to Seller’s actual knowledge, never
has been any mold, fungal or other microbial growth in or on the Real Property,
or existing conditions within buildings, structures or mechanical equipment
serving such buildings or structures, that could reasonably be expected to
result in material liability or material costs or expenses to remediate the
mold, fungal or microbial growth, or to remedy such conditions that could
reasonably be expected to result in such growth, and (vi) except as disclosed
on Exhibit E, there are no reports or other documentation regarding the
environmental condition of the Real Property in the possession of Seller or
Seller’s Affiliates, consultants, contractors or agents. As used in this
Contract: “Hazardous Materials”
means (1) “hazardous wastes” as defined by the Resource Conservation and
Recovery Act of 1976, as amended from time to time (“RCRA”), (2) “hazardous
substances” as defined by the Comprehensive Environmental Response,
Compensation and Liability Act of 1980 (42 U.S.C. 9601 et seq.),
as amended by the Superfund Amendment and Reauthorization 

14

Act of 1986
and as otherwise amended from time to time (“CERCLA”); (3) “toxic substances” as defined by the Toxic
Substances Control Act, as amended from time to time (“TSCA”), (4) “hazardous materials” as
defined by the Hazardous Materials Transportation Act, as amended from time to
time (“HMTA”), (5)
asbestos, oil or other petroleum products, radioactive materials, urea
formaldehyde foam insulation, radon gas and transformers or other equipment
that contains dielectric fluid containing polychlorinated biphenyls and (6) any
substance whose presence is detrimental or hazardous to health or the
environment, including, without limitation, microbial or fungal matter or mold,
or is otherwise regulated by federal, state and local environmental laws
(including, without limitation, RCRA, CERCLA, TSCA, HMTA), rules, regulations
and orders, regulating, relating to or imposing liability or standards of
conduct concerning any Hazardous Materials or environmental, health or safety
compliance (collectively, “Environmental
Requirements”). As used in this Contract: “Release” means spilling, leaking,
pumping, pouring, emitting, emptying, discharging, injecting, escaping,
leaching, dumping or disposing.

                    (g)
Title and Liens. Except for Seller Liens to be released at Closing, to
Seller’s actual knowledge, Seller has good and marketable fee simple absolute
title to the Real Property, subject only to the Permitted Exceptions. Except
for the FF&E subject to the FF&E Leases and any applicable Permitted
Exceptions, Seller has good and marketable title to the Personal Property, free
and clear of all liens, claims, encumbrances or other rights whatsoever (other
than the Seller Liens which must be released at Closing), and there are no
other liens, claims, encumbrances or other rights pending or of which any
Seller Party has received notice or which are otherwise known to any Seller
Party related to any other Personal Property.

                    (h)
Utilities. All appropriate utilities, including sanitary and storm
sewers, water, gas, telephone, cable and electricity, are, to Seller’s actual
knowledge, currently sufficient and available to service the Hotel and all
installation, connection or “tap-on”, usage and similar fees have been paid.

                    (i)
Licenses, Permits and Approvals. Seller has not received any written
notice, and Seller has no actual knowledge that the Property fails to
materially comply with all applicable licenses, permits and approvals and
federal, state or local statutes, laws, ordinances, rules, regulations,
requirements and codes including, without limitation, those regarding zoning,
land use, building, fire, health, safety, environmental, subdivision, water
quality, sanitation controls and the Americans with Disabilities Act, and
similar rules and regulations relating and/or applicable to the ownership, use
and operation of the Property as it is now operated. Seller has received all
licenses, permits and approvals required or needed for the lawful conduct,
occupancy and operation of the business of the Hotel, and each license and
permit is in full force and effect, and will be received and in full force and
effect as of the Closing. No licenses, permits or approvals necessary for the
lawful conduct, occupancy or operation of the business of the Hotel, to
Seller’s actual knowledge requires any approval of a governmental authority for
transfer of the Property except as set forth in Exhibit D.

                    (j)
Financial Statements. Seller will deliver the Financial Statements, each
of which is, to Seller’s actual knowledge, complete and accurate in all
material respects and fairly presents the results of operations of the Hotel
for the respective periods represented thereby. 

15

Seller has
relied upon the Financial Statements in connection with its ownership and
operation of the Hotel, and there are no independent audits or financial
statements prepared by third parties relating to the operation of the Hotel.

                    (k)
Employees. All employees employed at the Hotel are the employees of the
Seller. There are, to Seller’s knowledge, no (i) unions organized at the Hotel,
(ii) union organizing attempts, strikes, organized work stoppages or slow
downs, or any other labor disputes pending or threatened with respect to any of
the employees at the Hotel, or (iii) collective bargaining or other labor
agreements to which Seller or the Existing Manager or the Hotel is bound with
respect to any employees employed at the Hotel.

                    (l)
Operations. The Hotel has at all times been operated by Existing Manager
materially in accordance with all applicable laws, rules, regulations,
ordinances and codes.

                    (m)
Existing Management and Franchise Agreements. There are no other
management agreements, franchise agreements, license agreements or similar
agreements for the operation or management of the Hotel or relating to the
Brand, to which Seller is a party or which are binding upon the Property,
except for the Existing Management Agreement, the Existing Franchise Agreement,
and the Restaurant Management Agreement, and as listed on Exhibits C and D,
attached. The Improvements materially comply with, and the Hotel is being
operated materially in accordance with, all requirements of such Existing
Management Agreement, the Existing Franchise Agreement, and the Restaurant
Management Agreement and all other requirements of the Existing Manager and the
Franchisor, including all “brand standard” requirements of the Existing Manager
and the Franchisor. The Existing Management Agreement and the Existing
Franchise Agreement are in full force and effect, and shall remain in full
force and effect until the termination of the Existing Management Agreement and
the Existing Franchise Agreement at Closing, as provided in Article V hereof.
No default has occurred and is continuing under the Existing Management
Agreement or the Existing Franchise Agreement, and no circumstances exist
which, with the giving of notice, the lapse of time or both, would constitute
such a default. 

                    (n)
Construction of Hotel. To the actual knowledge of Seller, without
investigation:

	
  

 	
  

 
	
  

 	
                     (i)
 Necessary easements for ingress and egress, drainage, signage and utilities
 serving the Hotel have either been dedicated to the public, conveyed to the
 appropriate utility or will be conveyed to Buyer along with the Property.

 

Notwithstanding the foregoing,
Buyer acknowledges that it is being given a full opportunity to completely
inspect the Property, the operation thereof, and the financial information in
connection therewith. Therefore, except as specifically provided in this
Contract, Seller is conveying and Buyer is accepting the Property in strictly
“AS IS” condition with all faults and, except for the specific warranties and
representations provided in this Contract, Seller is not making any further
warranties or representations, express or implied, including, without
limitation, any warranty of merchantability or fitness for a particular
purpose. Buyer

16

acknowledges
that, as of the Closing Date, Buyer will be familiar with the Property and will
have made such independent investigations as Buyer deems necessary or
appropriate concerning the Property. 

          7.2
Buyer’s Representations, Warranties and Covenants. Buyer represents,
warrants and covenants: 

                    (a)
Authority. Buyer is a corporation duly formed, validly existing and in
good standing in the Commonwealth of Virginia. Buyer has received all necessary
authorization of the Board of Directors of Buyer to complete the transactions
contemplated by this Contract. No other consent or approval of any person,
entity or governmental authority is required for the execution, delivery or
performance by Buyer of this Contract, and this Contract is hereby binding and
enforceable against Buyer.

                    (b)
Bankruptcy. Buyer is not insolvent nor the subject of any bankruptcy
proceeding, receivership proceeding or other insolvency, dissolution,
reorganization or similar proceeding.

          7.3
Survival. All of the representations and warranties are true, correct
and complete in all material respects as of the date hereof and the statements
set forth therein (without qualification or limitation as to a party’s
knowledge thereof except as expressly provided for in this Article VII) shall
be true, correct and complete in all material respects as of the Closing Date.
All of the representations and warranties made herein shall survive Closing for
a period of twelve (12) months and shall not be deemed to merge into or be
waived by the Deed or any other closing documents.

ARTICLE VIII

ADDITIONAL COVENANTS

          8.1
Subsequent Developments. After the date of this Contract and until the
Closing Date, Seller shall use best efforts to keep Buyer fully informed of all
subsequent developments of which Seller has knowledge (“Subsequent Developments”) which would
cause any of Seller’s representations or warranties contained in this Contract
to be no longer accurate in any material respect.

          8.2
Operations. From and after the date hereof through the Closing on the
Property, Seller shall comply with the Existing Management Agreement and the
Existing Franchise Agreement and keep the same in full force and effect and
shall perform and comply with all of the following subject to and in accordance
with the terms of such agreements:

                    (a)
Continue to maintain the Property generally in accordance with prudent business
practices and pursuant to and in compliance with the Existing Management
Agreement and the Existing Franchise Agreement, including, without limitation,
(i) using reasonable efforts to keep available the services of all employees at
the Hotel and to preserve its relations with guests, suppliers and other
parties doing business with Seller with respect to the Hotel, (ii) accepting
booking contracts for the use of the Hotel’s facilities and retaining such
bookings in accordance with the terms of the Existing Management Agreement and
the Existing Franchise 

17

Agreement, (iii)
maintaining the current level of advertising and other promotional activities
for the Hotel’s facilities, (iv) maintaining the present level of insurance
with respect to the Hotel in full force and effect until the Closing Date for
the Hotel and (v) remaining in compliance in all material respects with all
current Licenses;

                    (b)
Keep, observe, and perform in all material respects all its obligations under
and pursuant to the Leases, the Service Contracts, the FF&E Leases, the
Existing Management Agreement, the Existing Franchise Agreement, the Contracts,
Plans and Specs, the Warranties and all other applicable contractual
arrangements relating to the Hotel;

                    (c)
Not cause or permit the removal of FF&E from the Hotel except for the
purpose of discarding worn and valueless items that have been replaced with
FF&E of equal or better quality; timely make all repairs, maintenance, and
replacements to keep all FF&E and all other Personal Property and all Real
Property in good operating condition; keep and maintain the Hotel in a state of
repair and condition materially the same as it currently is, reasonable and
ordinary wear and tear excepted; and not commit waste of any portion of the
Hotel;

                    (d)
Maintain the levels and quality of the Personal Property generally at the
levels and quality existing on the date hereof and keep merchandise, supplies
and inventory adequately stocked, consistent with good business practice, as if
the sale of the Hotel hereunder were not to occur, including, without
limitation, maintaining linens and bath towels at least at a 2-par level for
all suites or rooms of the Hotel;

                    (e)
Advise Buyer promptly of any litigation, arbitration, or administrative hearing
before any court or governmental agency concerning or affecting the Hotel which
is instituted or threatened after the date of this Contract or if any
representation or warranty contained in this Contract shall become false;

                    (f)
Not take, or purposefully omit to take, any action that would have the effect
of violating any of the representations, warranties, covenants or agreements of
Seller contained in this Contract;

                    (g)
Pay or cause to be paid all taxes, assessments and other impositions levied or
assessed on the Hotel or any part thereof prior to the delinquency date (unless
the same are in good faith being contested), and comply in all material
respects with all federal, state, and municipal laws, ordinances, regulations
and orders relating to the Hotel;

                    (h)
Not sell or assign, or enter into any agreement to sell or assign, or create or
permit to exist any lien or encumbrance (other than a Permitted Exception) on,
the Property or any portion thereof; and

                    (i)
Not allow any permit, receipt, license, franchise or right currently in
existence with respect to the operation, use, occupancy or maintenance of the
Hotel to expire, be canceled or otherwise terminated.

          Neither
Seller nor Existing Manager shall, without first obtaining the written approval
of Buyer, which approval shall not be unreasonably withheld, enter into any new
FF&E Leases, Service Contracts, Leases or other contracts or agreements
related to the Hotel, or extend any 

18

existing such
agreements, unless such agreements (x) can be terminated, without payment or
penalty, upon thirty (30) days’ prior notice or (y) will expire prior to the
Closing Date.

          8.3
Third Party Consents. Prior to the Closing Date, Seller shall, at its
expense, use best efforts to (i) obtain any and all third party consents and
approvals (x) required in order to transfer the Hotel to Buyer, or (y) which,
if not obtained, would materially adversely affect the operation of the Hotel,
including, without limitation, all consents and approvals referred to on Exhibit
D and (ii) use best efforts to obtain all other third party consents and
approvals (all of such consents and approvals in (i) and (ii) above being
referred to collectively as, the “Third
Party Consents”).

          8.4
Employees. At a mutually agreed upon time after the expiration of the
Review Period and prior to Closing, Buyer and its employees, representatives
and agents shall, provided they are accompanied by Seller’s representatives if
Seller so desires, have the right to communicate with Seller’s staff, and,
subject to the approval of the Existing Manager, the Hotel staff and the
Existing Manager’s staff, including without limitation the general manager, the
director of sales, the engineering staff and other key management employees of
the Hotel. Buyer shall not interfere with the operations of the Hotel while
engaging in such communication in a manner that materially adversely affects
the operation of any Property or the Existing Management Agreements.

          8.5
Estoppel Certificates. Seller shall obtain from (i) each tenant under
any Lease affecting the Hotel (but not from current or prospective occupants of
hotel rooms and suites within the Hotel), (ii) each lessor under any FF&E
Lease for the Hotel identified by Buyer as a material FF&E Lease, and (iii)
each declarant, property owners’ association or similar entity having authority
over the development of which the Property is a part, if any, the estoppel certificates
substantially in the forms provided by Buyer to Seller, and deliver to Buyer on
or before Closing. The information contained in such estoppel certificates
shall be subject to Buyer’s reasonable approval and shall contain no materially
adverse information (e.g., no material and uncured defaults by the Property as
to use, construction or otherwise and no uncontested past due fees, dues,
charges or assessments).

          8.6
Access to Financial Information. Buyer’s representatives shall have
access to, and Seller and its Affiliates (at no out-of-pocket expense to Seller
or such Affiliates) shall cooperate with Buyer and furnish upon request, all
financial and other information relating to the Hotel’s operations to the
extent necessary to enable Buyer’s representatives to prepare audited financial
statements in conformity with Regulation S-X of the Securities and Exchange
Commission (the “SEC”) and
other applicable rules and regulations of the SEC and to enable them to prepare
a registration statement, report or disclosure statement for filing with the
SEC on behalf of Buyer or its Affiliates, whether before or after Closing and
regardless of whether such information is included in the Records to be
transferred to Buyer hereunder. Seller shall also provide to Buyer’s
representative a signed representation letter in form and substance reasonably
acceptable to Seller sufficient to enable an independent public accountant to
render an opinion on the financial statements related to the Hotel. Buyer will
reimburse Seller for costs reasonably incurred by Seller to comply with the
requirements of the preceding sentence to the extent that Seller is required to
incur costs not in the ordinary course of business for third parties to provide

19

such
representation letters. The provisions of this Section shall survive Closing or
termination of this Contract.

          8.7
Bulk Sales. At Seller’s risk and expense, Seller shall take all steps
necessary to comply with the requirements of a transferor under all bulk
transfer laws, if any, that are applicable to the transactions contemplated by
this Contract. 

          8.8
Indemnification. If the transactions contemplated by this Contract are
consummated as provided herein:

                    (a)
Indemnification of Buyer. Without in any way limiting or diminishing the
warranties, representations or agreements herein contained or the rights or
remedies available to Buyer for a breach hereof, Seller hereby agrees to
indemnify, defend and hold harmless Buyer and its respective designees,
successors and assigns from and against all losses, judgments, liabilities,
claims, damages or expenses (including reasonable attorneys’ fees) of every
kind, nature and description in existence before, on or after Closing, whether
known or unknown, absolute or continent, joint or several, arising out of or
relating to:

	
  

 	
  

 
	
  

 	
                                (i)
 any claim made or asserted against Buyer or any of the Property by a creditor
 of Seller as a direct result of any act or omission of Seller, including any
 claims based on or alleging a violation of any bulk sales act or other
 similar laws;

 
	
  

 	
  

 
	
  

 	
                               
 (ii) the material breach of any representation, warranty, covenant or agreement
 of Seller contained in this Contract, except to the extent that Buyer had
 actual knowledge of such breach prior to Closing;

 
	
  

 	
  

 
	
  

 	
                               
 (iii) any liability or obligation of Seller incurred or arising prior to Closing
 not expressly assumed by Buyer pursuant to this Contract;

 
	
  

 	
  

 
	
  

 	
                               
 (iv) any claim made or asserted by an employee of Seller arising directly out
 of Seller’s decision to sell the Property; and

 
	
  

 	
  

 
	
  

 	
                               
 (v) the conduct and operation by or on behalf of Seller of its Hotel or the
 ownership, use or operation of its Property prior to Closing.

 

                    (b)
Indemnification of Seller. Without in any way limiting or diminishing
the warranties, representations or agreements herein contained or the rights or
remedies available to Seller for a breach hereof, Buyer hereby agrees, with
respect to this Contract, to indemnify, defend and hold harmless Seller from
and against all losses, judgments, liabilities, claims, damages or expenses
(including reasonable attorneys’ fees) of every kind, nature and description in
existence before, on or after Closing, whether known or unknown, absolute or
contingent, joint or several, arising out of or relating to:

	
  

 	
  

 
	
  

 	
                                (i)
 the breach of any representation, warranty, covenant or agreement of Buyer
 contained in this Contract, except to the extent that Seller had actual
 knowledge of such breach prior to Closing; 

 

20

	
  

 	
  

 
	
  

 	
                               (ii)
 the conduct and operation by or on behalf of Buyer of its business at the
 Hotel or the ownership, use or operation of the Property after the Closing;
 and

 
	
  

 	
  

 
	
  

 	
                               (iii)
 any liability or obligation of Seller expressly assumed by Buyer at or prior
 to Closing.

 

                    (c)
Indemnification Procedure for Claims of Third Parties. Indemnification,
with respect to claims resulting from the assertion of liability by those not
parties to this Contract (including governmental claims for penalties, fines
and assessments), shall be subject to the following terms and conditions:

	
  

 	
  

 
	
  

 	
                               (i)
 The party seeking indemnification (the “Indemnified
 Party”) shall give prompt written notice to the party or
 parties from which it is seeking indemnification (the “Indemnifying Party”) of any assertion
 of liability by a third party which might give rise to a claim for
 indemnification based on the foregoing provisions of this Section 8.8, which
 notice shall state the nature and basis of the assertion and the amount
 thereof, to the extent known; provided, however, that no delay on the part of
 the Indemnified Party in giving notice shall relieve the Indemnifying Party
 of any obligation to indemnify unless (and then solely to the extent that)
 the Indemnifying Party is prejudiced by such delay.

 
	
  

 	
  

 
	
  

 	
                               (ii)
 If in any action, suit or proceeding (a “Legal
 Action”) the relief sought is solely the payment of money
 damages, and if the Indemnifying Party specifically agrees in writing to
 indemnify such Indemnified Party with respect thereto and demonstrates to the
 reasonable satisfaction of such Indemnified Party its financial ability to do
 so, the Indemnifying Party shall have the right, commencing thirty (30) days
 after such notice, at its option, to elect to settle, compromise or defend,
 pursuant to this paragraph, by its own counsel and at its own expense, any
 such Legal Action involving such Indemnified Party’s asserted liability. If
 the Indemnifying Party does not undertake to settle, compromise or defend any
 such Legal Action, such settlement, compromise or defense shall be conducted
 in the sole discretion of such Indemnified Party, but such Indemnified Party
 shall provide the Indemnifying Party with such information concerning such
 settlement, compromise or defense as the Indemnifying Party may reasonably
 request from time to time. If the Indemnifying Party undertakes to settle,
 compromise or defend any such asserted liability, it shall notify such
 Indemnified Party in writing of its intention to do so within thirty (30)
 days of notice from such Indemnified Party provided above.

 
	
  

 	
  

 
	
  

 	
                               (iii)
 Notwithstanding the provisions of the previous subsection of this Contract,
 until the Indemnifying Party shall have assumed the defense of the Legal
 Action, the defense shall be handled by the Indemnified Party. Furthermore,
 (x) if the Indemnified Party shall have reasonably concluded that there are
 likely to be defenses available to it that are different from or in addition
 to those available to the Indemnifying Party; (y) if the Legal Action
 involves other than money damages and seeks injunctive or other equitable
 relief; or (z) if a judgment against Buyer, as the Indemnified Party, in the
 Legal Action will, in the good faith opinion of Buyer, establish a custom or
 precedent 

 

21

	
  

 	
  

 
	
  

 	
 which will
 be adverse to the best interest of the continuing business of the Hotel, the
 Indemnifying Party, shall not be entitled to assume the defense of the Legal
 Action and the defense shall be handled by the Indemnified Party, provided
 that, in the case of clause (z), the Indemnifying Party shall have the right
 to approve legal counsel selected by the Indemnified Party, such approval not
 to be unreasonably withheld. If the defense of the Legal Action is handled by
 the Indemnified Party under the provisions of this subsection, the
 Indemnifying Party shall pay all legal and other expenses reasonably incurred
 by the Indemnified Party in conducting such defense.

 
	
  

 	
  

 
	
  

 	
                               (iv)
 In any Legal Action initiated by a third party and defended by the
 Indemnifying Party (w) the Indemnified Party shall have the right to be
 represented by advisory counsel and accountants, at its own expense, (x) the
 Indemnifying Party shall keep the Indemnified Party fully informed as to the
 status of such Legal Action at all stages thereof, whether or not the
 Indemnified Party is represented by its own counsel, (y) the
 Indemnifying Party shall make available to the Indemnified Party and its
 attorneys, accounts and other representatives, all of its books and records
 relating to such Legal Action and (z) the parties shall render to each other
 such assistance as may be reasonably required in order to ensure the proper
 and adequate defense of such Legal Action.

 
	
  

 	
  

 
	
  

 	
                               (v)
 In any Legal Action initiated by a third party and defended by the
 Indemnifying Party, the Indemnifying Party shall not make settlement of any
 claim without the written consent of the Indemnified Party, which consent
 shall not be unreasonably withheld. Without limiting the generality of the
 foregoing, it shall not be deemed unreasonable to withhold consent to a
 settlement involving injunctive or other equitable relief against the
 Indemnified Party or its respective assets, employees, Affiliates or
 business, or relief which the Indemnified Party reasonably believes could
 establish a custom or precedent which will be adverse to the best interests
 of its continuing business.

 

          8.9
Escrow Funds. To provide for the timely payment of any post-closing
claims by Buyer against Seller hereunder, at Closing, Seller shall deposit an
amount equal to One Hundred Fifty Thousand and No/100 Dollars ($150,000.00)
(the “Escrow Funds”) which shall
be withheld from the Purchase Price payable to Seller and shall be deposited
for a period of one hundred eighty (180) days in an escrow account with the
Title Company pursuant to an escrow agreement reasonably satisfactory in form
and substance to Buyer and Seller (the “Post-Closing
Agreement”), which escrow and Post-Closing Agreement shall be
established and entered into at Closing and shall be a condition to Buyer’s
obligations under this Contract. If no claims have been asserted by Buyer
against Seller, or all such claims have been satisfied, within such one hundred
eighty (180) day period, the Escrow Funds deposited by Seller shall be released
to Seller.

          8.10
Liquor Licenses. As a condition to Buyer’s obligations under this
Contract, (i) the Manager or an Affiliate thereof approved by Buyer shall have
or shall have obtained all liquor licenses and alcoholic beverage licenses
necessary or desirable to operate any restaurants, bars and lounges presently
located within the Hotel (collectively, the “Liquor Licenses”) and, in the case of an Affiliate of the
Manager, the Hotel has the right to use such Liquor License, (ii) if

22

permitted
under the laws of the jurisdiction in which the Hotel is located, the Manager
shall execute and file any and all necessary forms, applications and other
documents (and Seller shall cooperate with the Manager in filing such forms,
applications and other documents) (including interim or transition agreements)
with the appropriate liquor and alcoholic beverage authorities so that the
Liquor Licenses remain in full force and effect upon completion of Closing.
Notwithstanding the foregoing, Buyer covenants and agrees to submit a complete
application for the Liquor Licenses with the appropriate liquor and alcoholic
beverage authorities prior to the end of the Review Period, and to provide
Seller evidence of submission on or before the expiration of the Review Period
in the form of a written receipt from such liquor and alcoholic beverage
authorities. In the event Buyer fails to comply with the foregoing and has not terminated
this Contract as provided in Section 9.1, this condition shall be deemed waived
by Buyer.

ARTICLE IX

CONDITIONS FOR CLOSING

          9.1
Buyer’s Conditions for Closing. Unless otherwise waived in writing, and
without prejudice to Buyer’s right to cancel this Contract during the Review
Period, the duties and obligations of Buyer to proceed to Closing under the
terms and provisions of this Contract are and shall be expressly subject to
strict compliance with, and satisfaction or waiver of, each of the conditions
and contingencies set forth in this Section 9.1, each of which shall be deemed
material to this Contract. In the event of the failure of any of the conditions
set forth in this Section 9.1 or of any other condition to Buyer’s obligations
provided for in this Contract, which condition is not waived in writing by
Buyer, Buyer shall have the right at its option to declare this Contract
terminated, in which case the Earnest Money Deposit and any interest thereon
shall be immediately returned to Buyer and each of the parties shall be
relieved from further liability to the other, except as otherwise expressly
provided herein, with respect to this Contract.

                    (a)
All of Seller’s representations and warranties contained in or made pursuant to
this Contract shall be true and correct in all material respects as if made
again on the Closing Date; provided, however, in the event Buyer has actual
knowledge of any inaccuracy of Seller’s representations or warranties in any
material respect prior to the end of the Review Period and Buyer does not
object to such inaccuracy prior to the end of the Review Period, then Buyer
shall be deemed to have waived its right to declare this Contract terminated as
a result of such inaccuracy.

                    (b)
Buyer shall have received all of the instruments and conveyances listed in
Section 10.2.

                    (c)
Seller shall have performed, observed and complied in all material respects
with all of the covenants, agreements, closing requirements and conditions
required by this Contract to be performed, observed and complied with by
Seller, as and when required hereunder.

                    (d)
All Liquor Licenses shall be in full force and effect and shall remain in full
force and effect following Closing and shall have been or shall be transferred
to, or new 

23

Liquor
Licenses issued to, the Manager or an Affiliate thereof approved by Buyer at or
as of Closing, and Buyer shall have received satisfactory evidence thereof. 

                    (e)
Third Party Consents in form and substance satisfactory to Buyer shall have
been obtained and furnished to Buyer. 

                    (f)
The Escrow Funds shall have been deposited in the escrow account pursuant to
the Post-Closing Agreement and the parties thereto shall have entered into the
Post-Closing Agreement.

                    (g)
The Existing Management Agreement and the Existing Franchise Agreement shall
have been terminated. 

                    (h)
Buyer and the Franchisor shall have executed and delivered the New Franchise
Agreement, in each case upon terms and conditions acceptable to Buyer in its
sole and absolute discretion. 

          9.2
Seller’s Conditions for Closing. Unless otherwise waived in writing, and
without prejudice to Seller’s right to cancel this Contract during the Review
Period, the duties and obligations of Seller to proceed to Closing under the
terms and provisions of this Contract are and shall be expressly subject to
strict compliance with, and satisfaction or waiver of, each of the conditions
and contingencies set forth in this Section 9.2, each of which shall be deemed
material to this Contract. In the event of the failure of any of the conditions
set forth in this Section 9.2, which condition is not waived in writing by
Seller, Seller shall have the right at its option to declare this Contract
terminated and null and void, in which case the remaining Earnest Money Deposit
and any interest thereon shall be delivered to Seller and each of the parties
shall be relieved from further liability to the other, except as otherwise
expressly provided herein.

                    (a)
All of Buyer’s representations and warranties contained in or made pursuant to
this Contract shall be true and correct in all material respects as if made
again on the Closing Date.

                    (b)
Seller shall have received all of the money, instruments and conveyances listed
in Section 10.3.

                    (c)
Buyer shall have performed, observed and complied in all material respects with
all of the covenants, agreements, closing requirements and conditions required
by this Contract to be performed, observed and complied with by Buyer, as and
when required hereunder.

                    (d)
Seller shall have obtained the necessary consent of its members to consummate
the transaction described herein.

ARTICLE X

CLOSING AND CONVEYANCE

          10.1
Closing. Unless otherwise agreed by Buyer and Seller, the Closing on the
Property shall occur on a date selected by Buyer that is the later of (a)
fifteen (15) Business Days

24

after
expiration of the Review Period, or (b) the date Buyer receives the New
Franchise Agreement executed by the Franchisor, provided in any case that all
conditions to Closing by Buyer and Seller hereunder have been satisfied and
further provided that such date occurs on the first calendar day of a given
month or, if such first calendar day is not a New York Business Day (as
hereinafter defined), the immediately preceding New York Business Day of the
prior month. For purposes of this Contract, the term “New York Business Day”
shall mean any day other than Saturday or Sunday or any other day on which
banks in New York, New York are not open for business. The date on which the
Closing is to occur as provided in this Section 10.1, or such other date as may
be agreed upon by Buyer and Seller, is referred to in this Contract as the “Closing Date” for the Property. The
Closing shall be held via escrow at the offices of the Title Company, or as
otherwise determined by Buyer and Seller. In no event shall the Closing Date be
later than March 30, 2012

          10.2
Deliveries of Seller. At Closing, Seller shall deliver to Buyer the
following, and, as appropriate, all instruments shall be properly executed and
conveyance instruments to be acknowledged in recordable form (the terms,
provisions and conditions of all instruments not attached hereto as Exhibits
shall be mutually agreed upon by Buyer and Seller prior to such Closing):

                    (a)
Deed. A Special or Limited Warranty deed conveying to Buyer fee simple
title to the Real Property, subject only to the Permitted Exceptions (the “Deed”).

                    (b)
Affidavit of Value. An Affidavit of Value indicating the allocation of
the Purchase Price.

                    (c)
Bills of Sale. Bills of sale to Buyer and/or its designated Lessee,
conveying title to the tangible Personal Property (other than the alcoholic
beverage inventories, which, at Buyer’s election, shall be transferred by
Seller to the Manager as holder of the Liquor Licenses required for operation
of the Hotel).

                    (d)
Existing Management and Franchise Agreements. The termination of the
Existing Management Agreement and the Existing Franchise Agreement.

                    (e)
General Assignments. Assignments of all of Seller’s right, title and
interest in and to all FF&E Leases, Service Contracts and Leases identified
on Exhibit C hereto (the “Hotel
Contracts”). The assignment shall also be a general assignment
and shall provide for the assignment of all of Seller’s right, title and
interest in all Records, Warranties, Licenses, Tradenames, Contracts, Plans and
Specs and all other intangible Personal Property applicable to the Hotel. The
assignments shall contain cross-indemnities by Buyer and Seller for their
respective periods of ownership.

                    (f)
FIRPTA; 1099. A FIRPTA Affidavit or Transferor’s Certificate of
Non-Foreign Status as required by Section 1445 of the Internal Revenue Code and
an IRS Form 1099.

                    (g)
Title Company Documents. All affidavits, gap indemnity agreements and
other documents reasonably required by the Title Company. At Buyer’s sole
expense, Buyer shall have obtained an irrevocable commitment directly from the
Title Company (or in the event the Title Company is not willing to issue said
irrevocable commitment, then from such other 

25

national title
company as may be selected by either Buyer or Seller) for issuance of an
Owner’s Policy of Title Insurance to Buyer insuring good and marketable fee
simple absolute title to the Real Property constituting part of the Property,
subject only to the Permitted Exceptions in the amount of the Purchase Price.

                    (h)
Possession; Estoppel Certificates. Possession of the Property, subject
only to rights of guests in possession and tenants pursuant to written leases
included in the Leases, and estoppel certificates from tenants under Leases and
the lessors under FF&E Leases in form and substance acceptable to Buyer.

                    (i)
Vehicle Titles. The necessary certificates of titles duly endorsed for
transfer together with any required affidavits and other documentation
necessary for the transfer of title or assignment of leases from Seller to
Buyer of any motor vehicles used in connection with the Hotel’s operations.

                    (j)
Authority Documents. Certified copy of resolutions of the Members of
Seller authorizing the sale of the Property contemplated by this Contract,
and/or other evidence reasonably satisfactory to Buyer and the Title Company
that the person or persons executing the closing documents on behalf of Seller
have full right, power and authority to do so, along with a certificate of good
standing of Seller from the State in which the Property is located.

                    (k)
Miscellaneous. Such other instruments as are contemplated by this
Contract to be executed or delivered by Seller, reasonably required by Buyer or
the Title Company, or customarily executed in the jurisdiction in which the Hotel
is located, to effectuate the conveyance of property similar to the Hotel, with
the effect that, after the Closing, Buyer will have succeeded to all of the
rights, titles, and interests of Seller related to the Hotel and Seller will no
longer have any rights, titles, or interests in and to the Hotel.

                    (l)
Plans, Keys, Records, Etc. To the extent not previously delivered to and
in the possession of Buyer, originals or copies of all Contracts, Plans and
Specs, all keys for the Hotel (which keys shall be properly tagged for
identification), originals or copies of all Records, including, without
limitation, all Warranties, Licenses, Leases, FF&E Leases and Service
Contracts for the Hotel.

                    (m)
Closing Statements. Seller’s Closing Statement, and a certificate
confirming the truth of Seller’s representations and warranties hereunder as of
the Closing Date.

                    (n)
Assignment of Restaurant Management Agreement. Seller shall deliver a
written assignment of the Restaurant Management Agreement which assignment
shall contain an estoppel provision from the Restaurant Manager stating that
there are no material defaults thereunder and there are no past due amounts
owed thereunder.

          10.3
Buyer’s Deliveries. At Closing of the Hotel, Buyer shall deliver the
following:

                    (a)
Purchase Price. The balance of the Purchase Price, adjusted for the
adjustments provided for in Section 12.1, below, and less any sums to be
deducted therefrom as provided in Section 2.4. 

26

                    (b)
Authority Documents. Certified copy of resolutions of the Board of
Directors of Buyer authorizing the purchase of the Hotel contemplated by this
Contract, and/or other evidence satisfactory to Seller and the Title Company
that the person or persons executing the closing documents on behalf of Buyer
have full right, power and authority to do so.

                    (c)
Miscellaneous. Such other instruments as are contemplated by this
Contract to be executed or delivered by Buyer, reasonably required by Seller or
the Title Company, or customarily executed in the jurisdiction in which the
Hotel is located, to effectuate the conveyance of property similar to the
Hotel, with the effect that, after the Closing, Buyer will have succeeded to
all of the rights, titles, and interests of Seller related to the Hotel and
Seller will no longer have any rights, titles, or interests in and to the
Hotel.

                    (d)
Closing Statements. Buyer’s Closing Statement, and a certificate
confirming the truth of Buyer’s representations and warranties hereunder as of
the Closing Date.

ARTICLE XI

COSTS

          All
Closing costs shall be paid as set forth below:

          11.1
Seller’s Costs. In connection with the sale of the Property contemplated
under this Contract, Seller shall be responsible for all transfer and
recordation taxes, including, without limitation, all transfer, mansion,
excise, sales, use or bulk transfer taxes or like taxes on or in connection
with the transfer of the Real Property and the Personal Property constituting
part of the Property pursuant to the Bill of Sale, and all accrued taxes of
Seller prior to Closing and income, sales and use taxes and other such taxes of
Seller attributable to the sale of the Property to Buyer. Seller shall be
responsible for all costs related to the termination of the Existing Management
Agreement as provided in Article V. Seller shall also be responsible for any
costs and expenses of its attorneys, accountants, appraisers and other
professionals, consultants and representatives. Seller shall also be
responsible for payment of all prepayment penalties and other amounts payable
in connection with the pay-off of any liens and/or indebtedness encumbering the
Property (other than the Van Lease if Buyer elects to assume such lease), and
other than as provided in Section 4.4.

          11.2
Buyer’s Costs. In connection with the purchase of the Property
contemplated under this Contract, Buyer shall be responsible for the costs and
expenses of its attorneys, accountants and other professionals, consultants and
representatives. Buyer shall also be responsible for the costs and expenses in
connection with the preparation of any environmental report, any update to the
survey and the costs and expenses of preparation of the title insurance
commitment and the issuance of the title insurance policy contemplated by
Article IV and the per page recording charges and clerk’s fee for the Deed (if
applicable). Buyer shall also be responsible for the fees for the performance
of the property improvement plan (PIP) review and report by the Franchisor.

27

ARTICLE XII

ADJUSTMENTS

          12.1
Adjustments. Unless otherwise provided herein, at Closing, adjustments
between the parties shall be made as of 11:59 p.m. on the eve of the Closing
Date (the “Cutoff Time”),
with the income and expenses accrued prior to the Cutoff Time being allocated
to Seller and the income and expenses accruing on and after the Cutoff Time
being allocated to Buyer, all as set forth below. All of such adjustments and
allocations shall be made in cash at Closing and shall be collected through
and/or adjusted in accordance with the terms of the Existing Management
Agreement. Except as otherwise expressly provided herein, all apportionments
and adjustments shall be made on an accrual basis in accordance with generally
accepted accounting principles. Buyer and Seller shall cooperate with Manager
to mutually agree and determine the apportionments, allocations, prorations and
adjustments as of the Cutoff Time.

                    (a)
Taxes. Real property taxes that become delinquent during the year in
which the Closing occurs if not timely paid will be deemed to be current and
shall be prorated as of the Cutoff Time. Taxes for all prior years shall be
paid by Seller. All special assessments against the Property for public
improvements completed or commenced prior to Closing, whether or not levied or
assessed prior to Closing, shall be the obligation of and shall be paid in full
by Seller. If such special assessments have not been levied or assessed prior
to Closing, then Seller’s obligation to pay such special assessments as soon as
they have been levied and assessed shall survive Closing. All personal property
taxes related to the Property levied, assessed or pending for the calendar year
in which the Closing occurs (including the period prior to Closing, regardless
of when due and payable) shall be prorated as of the Cutoff Time and, if no
such tax bills for such calendar year are available, such amounts shall be
estimated on the basis of the best available information for such taxes that
will be due and payable on the Hotel for the calendar year in which Closing
occurs. Until final tax bills that cover the entire year during which Closing occurred
(such that tax liability can reasonably be determined), Seller’s obligation to
pay its share of taxes shall continue. 

                    (b)
Any incentives under the TIF shall be retained by Seller, provided that Buyer
understands that it will be required to comply with certain covenants under the
TIF for a period of time and Buyer covenants after Closing to pay real property
taxes assessed against the Real Property when due. 

                    (c)
Utilities. All suppliers of utilities shall be instructed to read meters
or otherwise determine the charges owing as of the Closing Date for services
prior thereto, which charges shall be allocated to Seller. Charges accruing
after Closing shall be allocated to Buyer. If elected by Seller, Seller shall
be given credit, and Buyer shall be charged, for any utility deposits
transferred to and received by Buyer at Closing.

                    (d)
Income/Charges. All rents, income and charges receivable or payable
under any Leases and Hotel Contracts applicable to the Property, and any
deposits, prepayments and receipts thereunder, shall be prorated between Buyer
and Seller as of the Cutoff Time.

                    (e)
Accounts. For convenience of the parties, Buyer agrees to purchase the
daily cash account maintained at the Hotel. 

28

                    (f)
Guest Ledger. Subject to (f) below, all accounts receivable of
registered guests at the Hotel who have not checked out and were occupying
rooms as of the Cutoff Time, shall be prorated as provided herein.

                    (g)
Room Rentals. All receipts from guest room rentals and other suite
revenues for the night in which the Cutoff Time occurs shall be split 50/50
between Buyer and Seller.

                    (h)
Advance Deposits. All prepaid rentals, room rental deposits, and all
other deposits for advance registration, banquets or future services to be
provided on and after the Closing Date shall be credited to Buyer.

                    (i)
Accounts Receivable. To the extent not apportioned at Closing and
subject to (e) and (f) above, all accounts receivable and credit card claims as
of the Cutoff Time shall remain the property of Seller, and Seller and Buyer
agree that the monies received from debtors owing such accounts receivable
balances after Closing, shall be applied as expressly provided in such
remittance, or if not specified then to the Seller’s outstanding invoices to
such account debtors in chronological order beginning with the oldest invoices,
and thereafter, to Buyer’s account.

                    (j)
Accounts Payable. To the extent not apportioned at Closing, any
indebtedness, accounts payable, liabilities or obligations of any kind or
nature related to Seller or the Property for the periods prior to but not
including the Closing Date shall be retained by Seller and promptly allocated
to Seller and evidence thereof shall be provided to Buyer upon request, and
Buyer shall not be or become liable therefor, except as expressly assumed by
Buyer pursuant to this Contract, and invoices received in the ordinary course
of business prior to Closing shall be allocated to Seller at Closing.

                    (k)
Restaurants, Bars, Machines, Other Income. All monies received in
connection with bar, restaurant, banquet and similar and other services at the
Hotel (other than amounts due from any guest and included in room rentals)
prior to the close of business for each such operation for the night in which
the Cutoff Time occurs shall belong to Seller, and all other receipts and
revenues (not previously described in this Section 12.1) from the operation of
any department of the Hotel shall be prorated between Seller and Buyer at
Closing.

          12.2
Reconciliation and Final Payment. Seller and Buyer shall reasonably
cooperate after Closing to make a final determination of the allocations and
prorations required under this Contract within ninety (90) days after the
Closing Date; provided, however, failure to make a final determination within
such period shall not relieve the parties of the obligation to make a final
determination nor shall it relieve any party of the obligation to pay the other
any true-up amounts owed. Upon the final reconciliation of the allocations and
prorations under this Section, the party which owes the other party any sums hereunder
shall pay such party such sums within ten (10) days after the reconciliation of
such sums. The obligations to calculate such prorations, make such
reconciliations and pay any such sums shall survive the Closing.

               12.3
Employees. Buyer shall cause the Manager to offer employment to all
persons who are employees of the Hotel as of the Closing Date, except that
Buyer agrees that Seller

29

and/or the
Existing Manager desire to retain the existing general manager of the Hotel.
Seller shall not give notice under any applicable federal or state plant
closing or similar act, including, if applicable, the Worker Adjustment and
Retraining Notification Provisions of 29 U.S.C., Section 2102 (the “WARN Act”),
the parties having agreed that a mass layoff, as that term is defined in 29
U.S.C., 2101(a)(3), will not have occurred. Any liability for payment of all
wages, salaries and benefits, including, without limitation, accrued vacation
pay, sick leave, bonuses, pension benefits, COBRA rights, and other benefits
accrued or earned by and due to employees at the Hotel through the Cutoff Time,
together with F.I.C.A., unemployment and other taxes and benefits due with
respect to such employees for such period, shall remain an obligation of
Seller, to be paid by Seller in accordance with its typical policies. 

ARTICLE XIII

CASUALTY AND CONDEMNATION

          13.1
Risk of Loss; Notice. Prior to Closing and the delivery of possession of
the Property to Buyer in accordance with this Contract, all risk of loss to the
Property (whether by casualty, condemnation or otherwise) shall be borne by
Seller. In the event that (a) any loss or damage to the Hotel shall occur prior
to the Closing Date as a result of fire or other casualty, or (b) Seller
receives notice that a governmental authority has initiated or threatened to
initiate a condemnation proceeding affecting the Hotel, Seller shall give Buyer
immediate written notice of such loss, damage or condemnation proceeding (which
notice shall include a certification of (i) the amounts of insurance coverages
in effect with respect to the loss or damage and (ii) if known, the amount of
the award to be received in such condemnation).

          13.2
Buyer’s Termination Right. If, prior to Closing and the delivery of
possession of the Property to Buyer in accordance with this Contract, (a) any
condemnation proceeding shall be pending against a substantial portion of the
Hotel or (b) there is any substantial casualty loss or damage to the Hotel,
Buyer shall have the option to terminate this Contract, provided Buyer delivers
written notice to Seller of its election within twenty (20) days after the date
Seller has delivered Buyer written notice of any such loss, damage or
condemnation as provided above, and in such event, the Earnest Money Deposit,
and any interest thereon, shall be delivered to Buyer and thereafter, except as
expressly set forth herein, no party shall have any further obligation or
liability to the other under this Contract. In the context of condemnation, “substantial”
shall mean condemnation of such portion of a Hotel (or access thereto) as
could, in Buyer’s reasonable judgment, render use of the remainder impractical
or unfeasible for the uses herein contemplated, and, in the context of casualty
loss or damage, “substantial” shall mean a loss or damage in excess of One
Hundred Thousand and No/100 Dollars ($100,000.00) in value.

          13.3
Procedure for Closing. If Buyer shall not timely elect to terminate this
Contract under Section 13.2 above, or if the loss, damage or condemnation is
not substantial, Seller agrees to pay to Buyer at the Closing all insurance
proceeds or condemnation awards which Seller has received as a result of the
same, plus an amount equal to the insurance deductible, and assign to Buyer all
insurance proceeds and condemnation awards payable as a result of the same, in
which event the Closing shall occur without Seller replacing or repairing such
damage. 

30

ARTICLE XIV

DEFAULT REMEDIES

          14.1
Buyer Default. If Buyer defaults under this Contract after the Review
Period or fails to deliver the full Purchase Price on the Closing Date if such
failure is in fact a breach of Buyer’s obligations, and such default continues
for ten (10) days following written notice from Seller (provided that no such
notice shall be required for a failure by Buyer to be present at Closing), then
at Seller’s election by written notice to Buyer, this Contract shall be
terminated and of no effect, in which event the Earnest Money Deposit,
including any interest thereon, shall be paid to and retained by the Seller as
Seller’s sole and exclusive remedy hereunder, and as liquidated damages for
Buyer’s default or failure to close, and both Buyer and Seller shall thereupon
be released from all obligations hereunder. In no event shall any such default
result in a Closing Date on a day other than as described in Section 10.1.

          14.2
Seller Default. If Seller defaults under this Contract, and such default
continues for ten (10) days following written notice from Buyer (provided that
no such notice shall be required for a failure by Seller to be present at
Closing), Buyer may elect, as Buyer’s sole and exclusive remedy, either (i) to
terminate this Contract by written notice to Seller delivered to that Seller at
any time prior to the completion of such cure, in which event the Earnest Money
Deposit, including any interest thereon, shall be returned to the Buyer, Seller
shall reimburse Buyer for Buyer’s actual and verifiable due diligence costs and
expenses and costs associated with the assumption of the Existing Loan (not to
exceed $75,000) and thereafter both the Buyer and Seller shall thereupon be
released from all obligations with respect to this Contract, except as
otherwise expressly provided herein; or (ii) to treat this Contract as being in
full force and effect by written notice to Seller delivered to Seller at any
time prior to the completion of such cure, in which event the Buyer shall have
the right to an action against the defaulting Seller for specific performance. 

          14.3
Attorney’s Fees. Anything to the contrary herein notwithstanding, if it
shall be necessary for either the Buyer or Seller to employ an attorney to
enforce its rights pursuant to this Contract because of the default of the
other party, and the non-defaulting party is successful in enforcing such
rights, then the defaulting party shall reimburse the non-defaulting party for
the non-defaulting party’s reasonable attorneys’ fees, costs and expenses.

ARTICLE XV

NOTICES

          All
notices required herein shall be deemed to have been validly given, as
applicable: (i) if given by fax, when the fax is transmitted to the party’s fax
number specified below and confirmation of complete receipt is received by the
transmitting party during normal business hours or on the next Business Day if
not confirmed during normal business hours, (ii) if hand delivered to a party
against receipted copy, when the copy of the notice is receipted or rejected,
(iii) if given by certified mail, return receipt requested, postage prepaid,
two (2) Business Days after it is posted with the U.S. Postal Service at the
address of the party specified below, (iv) on the next delivery day after such
notices are sent by recognized and reputable commercial overnight delivery
service marked for next day delivery, return receipt requested or similarly

31

acknowledged,
or (v) if given by electronic mail, when the electronic mail is sent to the
address below:

	
  

 	
  

 	
  

 	
  

 
	
  

 	
 If to Buyer:

 	
  

 	
 Apple Ten
 Hospitality Ownership, Inc.

 814 E. Main Street

 Richmond, Virginia 23219

 Attention: Sam Reynolds

 Fax No.: (804) 344-8129

 Email: sreynolds@applereit.com

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 with a copy
 to:

 	
  

 	
 Apple REIT
 Ten, Inc.

 814 E. Main Street

 Richmond, Virginia 23219

 Attention: Legal Dept.

 Fax No.: (804) 727-6349

 Email: dbuckley@applereit.com

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 If to
 Seller:

 	
  

 	
 Omaha
 Downtown Lodging Investors II, LLC

 1600 Aspen Commons, Suite 200

 Middleton, WI 53562

 Attn: Jane Braatz

 Fax No.: (608) 836-6399

 Email: jbraatz@ncghotels.com

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 with a copy
 to:

 	
  

 	
 Reinhart
 Boerner Van Deuren s.c.

 22 East Mifflin Street, Suite 600

 Madison, WI 53703

 Attn: Harvey Temkin

 Fax No.: (608) 229-2100

 Email: htemkin@reinhartlaw.com

 
	
  

 	
  

 	
  

 	
  

 

          Addresses
may be changed by the parties hereto by written notice in accordance with this
Section.

ARTICLE XVI

MISCELLANEOUS

          16.1
Performance. Time is of the essence in the performance and satisfaction
of each and every obligation and condition of this Contract. In the event the
date upon which an action is to occur or a time period is to commence or
expire, as the case may be, is not a Business Day, then the time for which such
action is to occur or period is to commence or expire shall automatically be
extended until the next Business Day.

          16.2
Binding Effect; Assignment. This Contract shall be binding upon and
shall inure to the benefit of each of the parties hereto, their respective
successors and assigns.

32

          16.3
Entire Agreement. This Contract and the Exhibits constitute the sole and
entire agreement between Buyer and Seller with respect to the subject matter
hereof. No modification of this Contract shall be binding unless signed by both
Buyer and Seller.

          16.4
Governing Law. The validity, construction, interpretation and
performance of this Contract shall in all ways be governed and determined in
accordance with the laws of the State of Nebraska (without regard to conflicts
of law principles).

          16.5
Captions. The captions used in this Contract have been inserted only for
purposes of convenience and the same shall not be construed or interpreted so
as to limit or define the intent or the scope of any part of this Contract.

          16.6
Confidentiality. Except as either party may reasonably determine is
required by law (including without limitation laws and regulations applicable
to Buyer or its Affiliates who may be public companies): (i) prior to Closing,
Buyer and Seller shall not disclose the existence of this Contract or their
respective intentions to purchase and sell the Property or generate or
participate in any publicity or press release regarding this transaction,
except to Buyer’s and Seller’s legal, financial and tax counsel and lender,
Buyer’s consultants and agents, Seller’s employees at the Hotel, the Manager,
the Existing Manager, the Restaurant Manager, the Franchisor and the Title
Company and except as necessitated to obtain Third Party Consents or by Buyer’s
Due Diligence Examination and/or shadow management, unless both Buyer and
Seller agree in writing and as necessary to effectuate the transactions
contemplated hereby and (ii) following Closing, the parties shall coordinate
any public disclosure or release of information related to the transactions
contemplated by this Contract, and no such disclosure or release shall be made
without the prior written consent of Buyer, and no press release shall be made
without the prior written approval of Buyer and Seller. 

          16.7
Closing Documents. To the extent any Closing documents are not attached
hereto at the time of execution of this Contract, Buyer and Seller shall
negotiate in good faith with respect to the form and content of such Closing
documents prior to Closing.

          16.8
Counterparts. This Contract may be executed in counterparts by the
parties hereto, and by facsimile signature, and each shall be considered an
original and all of which shall constitute one and the same agreement.

          16.9
Severability. If any provision of this Contract shall, for any reason,
be adjudged by any court of competent jurisdiction to be invalid or
unenforceable, such judgment shall not affect, impair or invalidate the
remainder of this Contract but shall be confined in its operation to the
provision or provisions hereof directly involved in the controversy in which
such judgment shall have been rendered, and this Contract shall be construed as
if such provision had never existed, unless such construction would operate as
an undue hardship on Seller or Buyer or would constitute a substantial
deviation from the general intent of the parties as reflected in this Contract.

          16.10
Interpretation. For purposes of construing the provisions of this
Contract, the singular shall be deemed to include the plural and vice versa
and the use of any gender shall include the use of any other gender, as the
context may require.

33

          16.11
Further Acts. In addition to the acts, deeds, instruments and agreements
recited herein and contemplated to be performed, executed and delivered by
Buyer and Seller, Buyer and Seller shall perform, execute and deliver or cause
to be performed, executed and delivered at the Closing or after the Closing,
any and all further acts, deeds, instruments and agreements and provide such
further assurances as the other party or the Title Company may reasonably require
to consummate the transaction contemplated hereunder.

          16.12
Joint and Several Obligations. If Seller consists of more than one
person or entity, each such person or entity shall be jointly and severally
liable with respect to the obligations of Seller under this Contract.

          16.13
Notice of Proposed Listing. In the event that the sale of the Property
contemplated by this Contract is consummated, if at any time during the five
(5) year period commencing on the date of execution of this Contract by Buyer
and Seller, Seller or any of its Affiliates propose to list for sale any hotel
property or properties owned, acquired, constructed or developed by Seller or
their Affiliates and located within a five (5)-mile radius of the Hotel (any
such other hotel property being referred to as an “Other Property”), Seller shall promptly
deliver to Buyer written notice thereof and Buyer shall have the right to see
and participate in the offering and/or otherwise make an offer to purchase any
such Other Property.

          16.14
Section 1031 Exchange. Seller or Buyer (the “Initiating Party”) may
structure this transaction as a like-kind exchange under Internal Revenue Code
Section 1031 at the Initiating Party’s sole cost and expense. The other
party shall reasonably cooperate therein, provided that such party shall incur
no costs, expenses, or liabilities in connection with such exchange, nor shall
the Closing Date be delayed on account thereof. The Initiating Party shall
indemnify, defend, and hold the other party harmless therefrom, and such other
party shall not be required to take title to or contract for purchase of any
other property. If the Initiating Party uses a qualified intermediary to
effectuate such an exchange, any assignment of the rights or obligations of the
Initiating Party hereunder shall not relieve, release, or absolve the
Initiating Party of any of its obligations to the other party.

34

IN WITNESS
WHEREOF, this Contract has been executed, to be effective as of the date first
above written, by the Buyer and Seller.

	
  

 	
  

 	
  

 	
  

 
	
  

 	
 SELLER:

 
	
  

 	
  

 
	
  

 	
 OMAHA
 DOWNTOWN LODGING INVESTORS II, LLC, a Wisconsin limited liability company

 
	
  

 	
  

 
	
  

 	
 By: 

 	
 /s/ David A.
 Lenz

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: David
 A. Lenz

 
	
  

 	
 Title:
 President

 
	
  

 	
  

 	
  

 
	
  

 	
 BUYER: 

 
	
  

 	
  

 
	
  

 	
 APPLE TEN
 HOSPITALITY OWNERSHIP, INC., a Virginia corporation

 
	
  

 	
  

 
	
  

 	
 By: 

 	
 /s/ Justin
 Knight

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: Justin
 Knight

 
	
  

 	
 Title:
 President

 

35

EXHIBIT “A”

LEGAL DESCRIPTION OF LAND 

Lots 1, 2, 3
and 4, Block 101, in the Original City of Omaha, in Douglas County, Nebraska
together with those portion of vacated 10th Street, 11th
Street, Dodge Street and the East/West alley in and abutting Block 101,
Original City of Omaha, all as set forth in Ordinance No. 35676 recorded in
Book 1397 at Page 240, Miscellaneous Records, Douglas County, Nebraska.

EXHIBIT B

LIST OF FF&E

EXHIBIT C

LIST OF HOTEL CONTRACTS

2

EXHIBIT D

CONSENTS AND APPROVALS

	
  

 	
  

 	
  

 
	
  

 	
 A.

 	
 Consents
 Under Hotel Contracts

 
	
  

 	
  

 	
  

 
	
  

 	
 B.

 	
 Consents
 Under Other Contracts

 
	
  

 	
  

 	
  

 
	
  

 	
 C.

 	
 Governmental
 Approvals and Consents

 
	
  

 	
  

 	
  

 
	
  

 	
 D.

 	
 The Liquor
 License that Seller currently has in connection with its operation of the
 Hotel is not transferable or assignable to Buyer.

 

3

EXHIBIT E

ENVIRONMENTAL REPORTS

Phase I
Environmental Site Assessment Report prepared by LandAmerica Assessment
Corporation for Morgan Stanley Mortgage Capital Inc. dated July 20, 2005.

EXHIBIT F

CLAIMS OR LITIGATION PENDING

A. Lawsuit
filed in April 2011 by Krista Burns (plaintiff) related to alleged guest injury
from May 2007.

-i-

EXHIBIT G

ESCROW AGREEMENT

          THIS
ESCROW AGREEMENT (this “Agreement”)
made the ___ day of _______, 2011 by and among OMAHA DOWNTOWN LODGING INVESTORS
II, LLC, a Wisconsin limited liability company (“Seller”), APPLE TEN HOSPITALITY OWNERSHIP, INC., a
Virginia corporation, or its assigns (“Buyer”),
and CHICAGO TITLE COMPANY (“Escrow Agent”).

R E C I T A L S

          WHEREAS,
pursuant to the provisions of Section 2.5 of that certain Purchase Contract
dated _______ ___, 2011 (the “Contract”) between Seller and Buyer (the “Parties”), the Parties have requested
Escrow Agent to hold in escrow in accordance with the provisions, upon the
terms, and subject to the conditions, of this Agreement, the Earnest Money
Deposit as defined in the Contract (the “Deposit”);
and

          WHEREAS,
the Deposit shall be delivered to Escrow Agent in accordance with the terms of
the Contract and this Agreement.

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

                    1.
Seller and Buyer hereby appoint Escrow Agent to serve as escrow agent
hereunder, and the Escrow Agent agrees to act as escrow agent hereunder in
accordance with the provisions, upon the terms and subject to the conditions of
this Agreement. The Escrow Agent hereby acknowledges receipt of the Deposit.
Escrow Agent shall invest the Deposit as directed by Buyer.

                    2.
Subject to the rights and obligations to transfer, deliver or otherwise dispose
of the Deposit, Escrow Agent shall keep the Deposit in Escrow Agent’s
possession pursuant to this Agreement.

                    3.
A. Buyer shall be entitled to an immediate return of the Deposit at any time
prior to the expiration of the Review Period (as defined in Section 3.1 of the
Contract) by providing written notice to Escrow Agent and Seller stating that
Buyer has elected to terminate the Contract pursuant to Section 3.1. If Buyer
does not elect to terminate the Contract prior to the expiration of the Review
Period, Buyer agrees to deposit the Additional Deposit per Section 2.5(a) of
the Contract.

                              B.
If at any time after the expiration of the Review Period, Buyer claims entitlement
to all or any portion of the Deposit, Buyer shall give written notice to Escrow
Agent stating that Seller has defaulted in the performance of its obligations
under the Contract beyond the applicable grace period, if any, or that Buyer is
otherwise entitled to the return of the Deposit or applicable
portion thereof and shall direct Escrow Agent to return the Deposit or

-ii-

applicable portion thereof to Buyer (the “Buyer’s
Notice”). Escrow Agent shall promptly deliver a copy of Buyer’s
Notice to Seller. Seller shall have ten (10) business days after receipt of the
copy of Buyer’s Notice to deliver written notice to Escrow Agent and Buyer
objecting to the release of the Deposit or applicable portion thereof to Buyer
(“Seller’s Objection Notice”).
If Escrow Agent does not receive a timely Seller’s Objection Notice, Escrow
Agent shall release the Deposit or applicable portion thereof to Buyer. If
Escrow Agent does receive a timely Seller’s Objection Notice, Escrow Agent
shall release the Deposit or applicable portion thereof only upon receipt of,
and in accordance with, written instructions signed by Seller and Buyer, or the
final order of a court of competent jurisdiction.

                              C.
If, at any time after the expiration of the Review Period, Seller claims
entitlement to the Deposit or applicable portion thereof, Seller shall give
written notice to Escrow Agent stating that Buyer has defaulted in the
performance of its obligations under the Contract, and shall direct Escrow
Agent to release the Deposit or applicable portion thereof to Seller (the “Seller’s Notice”). Escrow Agent shall
promptly deliver a copy of Seller’s Notice to Buyer. Buyer shall have ten (10)
business days after receipt of the copy of Seller’s Notice to deliver written
notice to Escrow Agent and Seller objecting to the release of the Deposit or
applicable portion thereof to Seller (“Buyer’s
Objection Notice”). If Escrow Agent does not receive a timely
Buyer’s Objection Notice, Escrow Agent shall release the Deposit or applicable
portion thereof to Seller. If Escrow Agent does receive a timely Seller’s
Objection Notice, Escrow Agent shall release the Deposit or applicable portion
thereof only upon receipt of, and in accordance with, written instructions
signed by Buyer and Seller, or the final order of a court of competent
jurisdiction.

                    4.
In the performance of its duties hereunder, Escrow Agent shall be entitled to
rely upon any document, instrument or signature purporting to be genuine and
purporting to be signed by and of the Parties or their successors unless Escrow
Agent has actual knowledge to the contrary. Escrow Agent may assume that any
person purporting to give any notice or instructions in accordance with the
provisions hereof has been duly authorized to do so.

                    5.
A. Escrow Agent shall not be liable for any error of judgment, or any action
taken or omitted to be taken hereunder, except in the case of Escrow Agent’s
willful, bad faith misconduct or negligence, nor shall Escrow Agent be liable
for the conduct or misconduct of any employee, agent or attorney thereof.
Escrow Agent shall be entitled to consult with counsel of its choosing and
shall not be liable for any action suffered or omitted in accordance with the
advice of such counsel.

                              B.
In addition to the indemnities provided below, Escrow Agent shall not be liable
for, and each of the Parties jointly and severally hereby indemnify and agree
to save harmless and reimburse Escrow Agent from and against all loss, cost,
liability, damage and expense, including outside counsel fees in connection with
its acceptance of, or the performance of its duties and obligations under, this
Agreement, including the costs and expenses of defending against any claim
arising hereunder unless the same are caused by the willful, bad faith
misconduct or negligence of Escrow Agent.

                              C.
Escrow Agent shall not be bound or in any way affected by any notice of any
modification or cancellation of this Agreement, or of any fact or circumstance

-iii-

affecting or
alleged to affect rights or liabilities hereunder other than as is herein set
forth, or affecting or alleged to affect the rights and liabilities of any
other person, unless notice of the same is delivered to Escrow Agent in
writing, signed by the proper parties to Escrow Agent’s satisfaction and, in
the case of modification, unless such modification shall be approved by Escrow
Agent in writing.

                    6.
A. Escrow Agent and any successor escrow agent, as the case may be, may resign
his or its duties and be discharged from all obligations hereunder at any time
upon giving ten (10) days’ prior written notice to each of the Parties hereto.
The Parties hereto will thereupon jointly designate a successor escrow agent
hereunder within said ten (10) day period to whom the Deposit shall be
delivered. In default of such a joint designation of a successor escrow agent,
Escrow Agent shall retain the Deposit as custodian thereof until otherwise
directed by the Parties hereto, jointly, or until the Deposit is released in
accordance with clause (B) below, in each case, without liability or
responsibility.

                              B.
Anything in this Agreement to the contrary notwithstanding, (i) Escrow
Agent, on notice to the Parties hereto, may take such other steps as the Escrow
Agent may elect in order to terminate its duties as Escrow Agent hereunder,
including, but not limited to, the deposit of the Deposit with a court of
competent jurisdiction in the Commonwealth of Virginia and the commencement of
an action of interpleader, and (ii) in the event of litigation between any of
the Parties with respect to the Deposit, Escrow Agent may deposit the Deposit
with the court in which said litigation is pending and, in any such event,
Escrow Agent shall be relieved and discharged from any liability or
responsibility to the Parties hereto. Escrow Agent shall not be under any
obligation to take any legal action in connection with this Agreement or its
enforcement or to appear in, prosecute or defend any action or legal proceeding
which, in the opinion of Escrow Agent, would or might involve Escrow Agent in
any cost, expense, loss, damage or liability, unless and as often as requested,
Escrow Agent shall be furnished with security and indemnity satisfactory to
Escrow Agent against all such costs, expenses (including attorney’s fees),
losses, damages and liabilities.

                    7.
All notices required herein shall be deemed to have been validly given, as
applicable: (i) if given by telecopy, when the telecopy is transmitted to the
party’s telecopy number specified below and confirmation of complete receipt is
received by the transmitting party during normal business hours or on the next
business day if not confirmed during normal business hours, (ii) if hand
delivered to a party against receipted copy, when the copy of the notice is
receipted or rejected, (iii) if given by certified mail, return receipt
requested, postage prepaid, two (2) business days after it is posted with the
U.S. Postal Service at the address of the party specified below or (iv) on the
next delivery day after such notices are sent by recognized and reputable
commercial overnight delivery service marked for next day delivery, return
receipt requested or similarly acknowledged:

-iv-

	
  

 	
  

 	
  

 	
  

 
	
  

 	
 (i)

 	
 If addressed
 to Seller, to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 Omaha
 Downtown Lodging Investors II, LLC

 
	
  

 	
  

 	
  

 	
 1600 Aspen
 Commons, Suite 200

 
	
  

 	
  

 	
  

 	
 Middleton,
 WI 53562

 
	
  

 	
  

 	
  

 	
 Attn: Jane
 Braatz

 
	
  

 	
  

 	
  

 	
 Fax No.:
 (608) 836-6399

 
	
  

 	
  

 	
  

 	
 Email:
jbraatz@ncghotels.com 

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 with a copy
 to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
 Reinhart
 Boerner Van Deuren s.c.

 
	
  

 	
  

 	
  

 	
 22 East Mifflin
 Street, Suite 600

 
	
  

 	
  

 	
  

 	
 Madison, WI
 53703

 
	
  

 	
  

 	
  

 	
 Attn: Harvey
 Temkin

 
	
  

 	
  

 	
  

 	
 Fax No.:
 (608) 229-2100

 
	
  

 	
  

 	
  

 	
 Email:
htemkin@reinhartlaw.com 

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 (ii)

 	
 If addressed
 to Buyer, to:

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Apple Ten
 Hospitality Ownership, Inc.

 
	
  

 	
  

 	
 814 E. Main
 Street

 
	
  

 	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
  

 	
 Attn: Sam
 Reynolds

 
	
  

 	
  

 	
 Fax No.:
 (804) 344-8129

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 with a copy
 to:

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Apple REIT
 Ten, Inc.

 
	
  

 	
  

 	
 814 E. Main
 Street

 
	
  

 	
  

 	
 Richmond,
 Virginia 23219

 
	
  

 	
  

 	
 Attn: Legal
 Dept.

 
	
  

 	
  

 	
 Fax No.:
 (804) 727-6349

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
 (iii)

 	
 If addressed
 to Escrow Agent, to:

 
	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Chicago
 Title Company

 
	
  

 	
  

 	
 5501 LBJ
 Freeway, Suite 200

 
	
  

 	
  

 	
 Dallas,
 Texas 75240

 
	
  

 	
  

 	
 Attn: Debby
 Moore

 
	
  

 	
  

 	
 Fax No.:
 (214) 570-0210

 

or such other
address or addresses as may be expressly designated by any party by notice
given in accordance with the foregoing provisions and actually received by the
party to whom addressed.

-v-

                    8.
This Agreement may be executed in any number of counterparts each of which
shall be deemed an original and all of which, together, shall constitute one
and the same Agreement.

                    9.
The covenants, conditions and agreements contained in this Agreement shall bind
and inure to the benefit of each of the Parties hereto and their respective
successors and assigns.

-vi-

          IN
WITNESS WHEREOF the Parties have executed this Agreement as of the day and year
first above written.

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 SELLER:

 
	
  

 	
  

 
	
  

 	
 OMAHA
 DOWNTOWN LODGING INVESTORS II, LLC

 
	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 BUYER:

 
	
  

 	
  

 
	
  

 	
 APPLE TEN
 HOSPITALITY OWNERSHIP, INC.

 
	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
 ESCROW AGENT:

 
	
  

 	
  

 
	
  

 	
 CHICAGO
 TITLE COMPANY

 
	
  

 	
  

 
	
  

 	
 By: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Name: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 
	
  

 	
 Title: 

 	
  

 	
  

 
	
  

 	
  

 	

 

 	
  

 

-vii-

Schedule
2.3

Allocation

	
  

 	
  

 
	
 Land:

 	
 $24,197,400

 
	
 Building:

 	
 $1,495,200

 
	
 Personal Property:

 	
 $3,507,400

 
	
  

 	
  

 
	
 Total:

 	
 $29,200,000

 

-viii-

SCHEDULE
3.1

DUE
DILIGENCE LIST

Due
Diligence

Documents Required

[electronic
versions preferred]

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Property Name:

 Date Opened:

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
 Date

 Sent

 	
  

 	
 Comments

 
	
  

 	
  

 	
  

 	
  

 	

 

 	
  

 	

 

 
	
 1

 	
  

 	
 Y-T-D Detailed
 Operating Statements

 	
  

 	
  

 	
  

 	
  

 
	
 2

 	
  

 	
 Prior 3
 Years Detailed P&L’s by month

 	
  

 	
  

 	
  

 	
  

 
	
 3

 	
  

 	
 2011
 Detailed Budget (Operating)

 	
  

 	
  

 	
  

 	
  

 
	
 4

 	
  

 	
 2011 Budget
 (Capital Expenditures)

 	
  

 	
  

 	
  

 	
  

 
	
 5

 	
  

 	
 STAR Report
 (previous 5 years)

 	
  

 	
  

 	
  

 	
  

 
	
 6

 	
  

 	
 2011
 Marketing Plan

 	
  

 	
  

 	
  

 	
  

 
	
 7

 	
  

 	
 Monthly
 Occupancy & Average Daily/Week/Package Rates (previous 3 years)

 	
  

 	
  

 	
  

 	
  

 
	
 8

 	
  

 	
 Schedule of
 Advance Deposits of Advance Reservations and Bookings (Top 20 Accounts)

 	
  

 	
  

 	
  

 	
  

 
	
 9

 	
  

 	
 Real Estate
 Tax Bills (last 3 years)

 	
  

 	
  

 	
  

 	
  

 
	
 10

 	
  

 	
 Personal
 Property Tax Bills (last 3 years)

 	
  

 	
  

 	
  

 	
  

 
	
 11

 	
  

 	
 Notices of
 Current Tax Assessments or Increases

 	
  

 	
  

 	
  

 	
  

 
	
 12

 	
  

 	
 Schedule of
 Insurance Coverage and Claims

 	
  

 	
  

 	
  

 	
  

 
	
 13

 	
  

 	
 Personal
 Property List (e.g., FF&E, office equipment)

 	
  

 	
  

 	
  

 	
  

 
	
 14

 	
  

 	
 Inventory of
 Supplies (e.g., chinaware, glassware, paper goods, office supplies, unopened
 food and beverage inventory)

 	
  

 	
  

 	
  

 	
  

 
	
 15

 	
  

 	
 Copies of
 Service Contracts and FF&E Leases

 	
  

 	
  

 	
  

 	
  

 

-i-

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
 Date

 Sent

 	
  

 	
 Comments

 
	
  

 	
  

 	
  

 	
  

 	

 

 	
  

 	

 

 
	
 16

 	
  

 	
 Copies of
 Leases (e.g., gift shop, health club/spa)

 	
  

 	
  

 	
  

 	
  

 
	
 17

 	
  

 	
 Vehicle
 Title/Leases

 	
  

 	
  

 	
  

 	
  

 
	
 18

 	
  

 	
 Copies and
 Schedules of all Warranties

 	
  

 	
  

 	
  

 	
  

 
	
 19

 	
  

 	
 Most current
 Franchise Property Improvement Plan or QA Assessment

 	
  

 	
  

 	
  

 	
  

 
	
 20

 	
  

 	
 Copies of
 all Licenses, including Liquor License

 	
  

 	
  

 	
  

 	
  

 
	
 21

 	
  

 	
 Certificate
 of Occupancy

 	
  

 	
  

 	
  

 	
  

 
	
 22

 	
  

 	
 Most Recent
 Property Payroll

 	
  

 	
  

 	
  

 	
  

 
	
 23

 	
  

 	
 Copy of
 Employment Contracts, if any

 	
  

 	
  

 	
  

 	
  

 
	
 24

 	
  

 	
 Construction
 Plans & Specs (electronically if available)

 	
  

 	
  

 	
  

 	
  

 
	
 25

 	
  

 	
 Structural
 Engineering Audit

 	
  

 	
  

 	
  

 	
  

 
	
 26

 	
  

 	
 Environmental
 Site Assessment (Phase I)

 	
  

 	
  

 	
  

 	
  

 
	
 27

 	
  

 	
 Property
 Condition Report

 	
  

 	
  

 	
  

 	
  

 
	
 28

 	
  

 	
 Schedule of
 Utility Providers and Utility Deposits

 	
  

 	
  

 	
  

 	
  

 
	
 29

 	
  

 	
 Copies of
 Utility Bills (previous 3 months)

 	
  

 	
  

 	
  

 	
  

 
	
 30

 	
  

 	
 Zoning,
 compliance, and violation docs

 	
  

 	
  

 	
  

 	
  

 
	
 31

 	
  

 	
 Title
 Insurance Commitment, Title Search or Title Certificate

 	
  

 	
  

 	
  

 	
  

 
	
 32

 	
  

 	
 Copies of
 Title Exceptions

 	
  

 	
  

 	
  

 	
  

 
	
 33

 	
  

 	
 ALTA Survey

 	
  

 	
  

 	
  

 	
  

 
	
 34

 	
  

 	
 Service
 Contract Summary Completed

 	
  

 	
  

 	
  

 	
  

 
	
 35

 	
  

 	
 Property
 Data Sheet Completed

 	
  

 	
  

 	
  

 	
  

 
	
 36

 	
  

 	
 Other

 	
  

 	
  

 	
  

 	
  

 

-ii-

Due
Diligence

Service Contract Summary

	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Brand:

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 Location:

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
 # Rooms:

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 	
  

 
	
  

 	
  

 	
 Service

 Contract

 	
  

 	
 Term

 	
  

 	
 Annual 
Amount

 	
  

 	
 Cancellation

 	
  

 	
 Company

 	
  

 	
 Assignment

 
	
  

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 	
  

 	

 

 
	
 EXAMPLE 

 Kone Elevator 

 Service

 	
  

 	
 Quarterly 

 Inspection 

 & Service

 	
  

 	
 5yrs; beg

 2/12/04

 	
  

 	
 $4,942

 	
  

 	
 90-day notice 

 prior to 

 expiration

 	
  

 	
 Hotel 

 Properties, 

 LLC

 	
  

 	
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-iii-

Due
Diligence

Property Data Survey

[To Be
Completed Electronically]

-iv-

-v-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00193-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00193-of-00352.parquet"}]]