Document:

EX-4.1

 Exhibit 4.1 

MGM RESORTS INTERNATIONAL, 
 THE
SUBSIDIARY GUARANTORS PARTY HERETO, as Subsidiary Guarantors 
 and 

U.S. BANK NATIONAL ASSOCIATION, 

as Trustee 
  

 
 6.000% Senior
Notes due 2023 
 FOURTH SUPPLEMENTAL INDENTURE 

Dated as of November 25, 2014 

to 
 INDENTURE 

Dated as of March 22, 2012 
  

 
  

							
	 ARTICLE ONE
	   

	
	 DEFINITIONS AND OTHER PROVISIONS OF
	   

	 GENERAL APPLICATION
	   

			
	 SECTION 1.1.
	 	DEFINITIONS	  	 	1	  
	
	 ARTICLE TWO

 
 SECURITIES
FORMS
	   
 

  

			
	 SECTION 2.1.
	 	CREATION OF THE NOTES; DESIGNATIONS	  	 	5	  
	 SECTION 2.2.
	 	FORMS GENERALLY	  	 	5	  
	
	 ARTICLE THREE

 
 GENERAL TERMS AND
CONDITIONS OF THE NOTES
	   
 

  

			
	 SECTION 3.1.
	 	TITLE AND TERMS OF NOTES	  	 	6	  
	
	 ARTICLE FOUR

 
 REDEMPTION
	   
 

  

			
	 SECTION 4.1.
	 	OPTIONAL REDEMPTION	  	 	7	  
	 SECTION 4.2.
	 	MANDATORY DISPOSITION OF NOTES PURSUANT TO GAMING LAWS	  	 	8	  
	 SECTION 4.3.
	 	OPTIONAL REDEMPTION PROCEDURES	  	 	9	  
	
	 ARTICLE FIVE

 
 COVENANTS
	   
 

  

			
	 SECTION 5.1.
	 	LIMITATION ON LIENS	  	 	9	  
	 SECTION 5.2.
	 	LIMITATION ON SALE AND LEASE-BACK TRANSACTIONS	  	 	11	  
	 SECTION 5.3.
	 	GUARANTEE	  	 	12	  
	 SECTION 5.4.
	 	REPORTS	  	 	13	  
	
	 ARTICLE SIX

 
 GUARANTEE OF
NOTES
	   
 

  

			
	 SECTION 6.1.
	 	GUARANTEES	  	 	13	  
	
	 ARTICLE SEVEN

 
 REMEDIES
	   
 

  

			
	 SECTION 7.1.
	 	EVENTS OF DEFAULT	  	 	14	  

  
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	 ARTICLE EIGHT

 
 SATISFACTION AND
DISCHARGE
	   
 

  

			
	 SECTION 8.1.
	 	SATISFACTION AND DISCHARGE	  	 	16	  
	
	 ARTICLE NINE

 
 SUPPLEMENTAL
INDENTURES
	   
 

  

			
	 SECTION 9.1.
	 	SUPPLEMENTAL INDENTURES WITHOUT CONSENT OF HOLDERS	  	 	19	  
	 SECTION 9.2.
	 	SUPPLEMENTAL INDENTURES WITH CONSENT OF HOLDERS	  	 	20	  
	
	 ARTICLE TEN

 

MISCELLANEOUS
	   
 

  

			
	 SECTION 10.1.
	 	EFFECT OF FOURTH SUPPLEMENTAL INDENTURE	  	 	20	  
	 SECTION 10.2.
	 	EFFECT OF HEADINGS	  	 	20	  
	 SECTION 10.3.
	 	SUCCESSORS AND ASSIGNS	  	 	20	  
	 SECTION 10.4.
	 	SEVERABILITY CLAUSE	  	 	21	  
	 SECTION 10.5.
	 	BENEFITS OF FOURTH SUPPLEMENTAL INDENTURE	  	 	21	  
	 SECTION 10.6.
	 	CONFLICT	  	 	21	  
	 SECTION 10.7.
	 	GOVERNING LAW	  	 	21	  
	 SECTION 10.8.
	 	TRUSTEE	  	 	21	  

  

  
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 FOURTH SUPPLEMENTAL INDENTURE, dated as of November 25, 2014, among MGM RESORTS
INTERNATIONAL, a Delaware corporation (hereinafter called the “Company”), the Subsidiary Guarantors (as hereinafter defined) and U.S. BANK NATIONAL ASSOCIATION, a national banking association, as successor trustee hereunder
(hereinafter called the “Trustee”). 
 RECITALS 

WHEREAS, the Company and the Trustee, entered into an indenture, dated March 22, 2012 (the “Base Indenture”), pursuant
to which notes of the Company may be issued in one or more series from time to time; 
 WHEREAS, Section 901(9) of the Base Indenture
permits the forms and terms of the Securities of any series as permitted in Sections 201 and 301 to be established in an indenture supplemental to the Base Indenture; 

WHEREAS, Section 901 of the Base Indenture provides that a supplemental indenture may be entered into by the Company and the Trustee
without the consent of any Holders of the Securities, for the purposes stated therein; 
 WHEREAS, the Company has requested the Trustee to
join with it and the Subsidiary Guarantors in the execution and delivery of this Fourth Supplemental Indenture dated as of November 25, 2014, in order to supplement the Base Indenture by, among other things, establishing the forms and certain
terms of a series of Securities to be known as the Company’s “6.000% Senior Notes due 2023” (the “Notes”), and adding certain provisions thereof for the benefit of the Holders of the Notes; 

WHEREAS, the Company has furnished the Trustee with a duly authorized and executed issuer order dated November 25, 2014 authorizing the
issuance of the Notes, such issuer order sometimes referred to herein as the “Authentication Order”; 
 WHEREAS, all things
necessary to make this Fourth Supplemental Indenture a valid, binding and enforceable agreement of the Company, the Subsidiary Guarantors and the Trustee and a valid supplement to the Base Indenture have been done; and 

NOW, THEREFORE, THIS FOURTH SUPPLEMENTAL INDENTURE WITNESSETH: 

For and in consideration of the premises and the purchase of the Notes to be issued hereunder by Holders thereof, the Company, the Subsidiary
Guarantors and the Trustee mutually covenant and agree, for the equal and proportionate benefit of the Holders from time to time of the Notes, as follows: 

ARTICLE ONE 
 DEFINITIONS AND
OTHER PROVISIONS OF 
 GENERAL APPLICATION 

SECTION 1.1. Definitions. 
 The Base
Indenture together with this Fourth Supplemental Indenture are hereinafter sometimes collectively referred to as the “Indenture.” For the avoidance of doubt, references to any “Section” of the “Indenture” refer
to such Section of the Base Indenture as supplemented and amended by 

 
this Fourth Supplemental Indenture. All capitalized terms which are used herein and not otherwise defined herein are defined in the Base Indenture and are used herein with the same meanings as in
the Base Indenture. If a capitalized term is defined in the Base Indenture and this Fourth Supplemental Indenture, the definition in this Fourth Supplemental Indenture shall apply to the Notes (and any Guarantee endorsed therein). 

For all purposes of this Fourth Supplemental Indenture, except as otherwise expressly provided or unless the context otherwise requires: 

(1) the terms defined in this article have the meanings assigned to them in this article and include the plural as well as the
singular; 
 (2) all other terms used herein which are defined in the Trust Indenture Act, either directly or by reference
therein, have the meanings assigned to them therein; 
 (3) all accounting terms not otherwise defined herein have the
meanings assigned to them in accordance with GAAP in the United States, and, except as otherwise herein expressly provided, the term “GAAP” with respect to any computation required or permitted hereunder shall mean such accounting
principles as are generally accepted at the date of such computation; 
 (4) the words “herein,” “hereof”
and “hereunder” and other words of similar import refer to this Fourth Supplemental Indenture as a whole and not to any particular article, section or other subdivision; and 

(5) all references used herein to the male gender shall include the female gender. 

“Attributable Debt” with respect to any Sale and Lease-Back Transaction that is subject to Section 5.2, means the
present value of the minimum rental payments called for during the terms of the lease (including any period for which such lease has been extended), determined in accordance with GAAP, discounted at a rate that, at the inception of the lease, the
lessee would have incurred to borrow over a similar term the funds necessary to purchase the leased assets. 
 “Base
Indenture” has the meaning set forth in the Recitals hereto. 
 “Consolidated Net Tangible Assets” means the total
amount of assets (including investments in Joint Ventures) of the Company and its Subsidiaries (less applicable depreciation, amortization and other valuation reserves) after deducting therefrom (a) all current liabilities of the Company and
its Subsidiaries (excluding (i) the current portion of long-term Indebtedness, (ii) intercompany liabilities and (iii) any liabilities which are by their terms renewable or extendible at the option of the obligor thereon to a time
more than 12 months from the time as of which the amount thereof is being computed) and (b) all goodwill, trade names, trademarks, patents, unamortized debt discount and expense and any other like intangibles of the Company and its
Subsidiaries, all as set forth on the consolidated balance sheet of the Company for the most recently completed fiscal quarter for which financial statements are available and computed in accordance with GAAP. 

“Credit Facility” means the Amended and Restated Credit Agreement, dated as December 20, 2012, among the Company, the
lenders and letters of credit issuers party thereto and Bank of America, N.A., as administrative agent, as such agreement may be amended, supplemented, waived or otherwise modified from time to time or refunded, refinanced, restructured, replaced,
renewed, repaid, increased or extended from time to time (whether in whole or in part). 

  
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 “Existing Senior Notes” means (i) the Company’s 6.625% senior notes
due 2015, (ii) the Company’s 4.25% Convertible Senior Notes due 2015, (iii) the Company’s 6.875% senior notes due 2016, (iv) the Company’s 7.50% senior notes due 2016, (v) the Company’s 10% senior notes due
2016, (vi) the Company’s 7.625% senior notes due 2017, (vii) the Company’s 11.375% senior notes due 2018, (viii) the Company’s 8.625% senior notes due 2019, (ix) the Company’s 5.250% Senior Notes due 2020,
(x) the Company’s 6.750% senior notes due 2020, (xi) the Company’s 6.625% senior notes due 2021, (xii) the Company’s 7.75% senior notes due 2022 and (xiii) the Mandalay Notes. 

“Fourth Supplemental Indenture” has the meaning set forth in the Recitals hereto. 

“Funded Debt” means all Indebtedness of the Company or any Subsidiary Guarantor which (i) matures by its terms on, or is
renewable at the option of any obligor thereon to, a date more than one year after the date of original issuance of such Indebtedness and (ii) ranks at least pari passu with the Notes or the applicable Guarantee. 

“Illinois Gaming Approval” means the granting of all necessary approvals by the Illinois Gaming Board for Nevada Landing
Partnership to guarantee the Notes. 
 “Interest Payment Date” with respect to any Note means March 15 and
September 15 of each year, commencing March 15, 2015, provided that if such Interest Payment Date is not a Business Day, interest due on such Interest Payment Date shall be payable on the next succeeding Business Day. 

“Incur” means, with respect to any Indebtedness, to incur, create, issue, assume, guarantee or otherwise become liable for or
with respect to, or become responsible for, the payment of, contingently or otherwise, such Indebtedness; provided that the accrual of interest shall not be considered an Incurrence of Indebtedness. 

“Indebtedness” of any Person means (i) any indebtedness of such Person, contingent or otherwise, in respect of borrowed
money (whether or not the recourse of the lender is to the whole of the assets of such Person or only to a portion thereof), or evidenced by notes, bonds, debentures or similar instruments or letters of credit, or representing the balance deferred
and unpaid of the purchase price of any property, including any such indebtedness Incurred in connection with the acquisition by such Person or any of its Subsidiaries of any other business or entity, if and to the extent such indebtedness would
appear as a liability upon a balance sheet of such Person prepared in accordance with GAAP, including for such purpose obligations under capital leases and (ii) any guarantee, endorsement (other than for collection or deposit in the ordinary
course of business), discount with recourse, or any agreement (contingent or otherwise) to purchase, repurchase or otherwise acquire or to supply or advance funds with respect to, or to become liable with respect to (directly or indirectly) any
indebtedness of any Person, but shall not include indebtedness or amounts owed for compensation to employees, or for goods or materials purchased, or services utilized, in the ordinary course of business of such Person. For purposes of this
definition of Indebtedness, a “capitalized lease” shall be deemed to mean a lease of real or personal property which, in accordance with GAAP, is required to be capitalized. 

“Indenture” has the meaning set forth in Section 1.1. 

“Initial Notes” means the Company’s 6.000% Senior Notes due 2023 issued on the Issue Date. 

“Initial Liens” has the meaning set forth in Section 5.1. 

  
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 “Insurance Subsidiaries” means M3 Nevada Insurance Company, MGMM Insurance
Company and any other Subsidiaries established from time to time by the Company or its Subsidiaries for the primary purpose of insuring the business, facilities and/or employees of the Company and its Subsidiaries. 

“Issue Date” means, in respect of Initial Notes of any Series, November 25, 2014, the date on which the Initial Notes
offered hereby are being issued. 
 “Joint Venture” means any partnership, corporation or other entity, in which up to and
including 50% of the partnership interests, outstanding voting stock or other equity interests is owned, directly or indirectly, by the Company and/or one or more of its Subsidiaries. 

“Lien” means any mortgage, pledge, hypothecation, assignment, deposit, arrangement, encumbrance, security interest, lien
(statutory or otherwise), or preference, priority or other security or similar agreement or preferential arrangement of any kind or nature whatsoever (including, without limitation, any conditional sale or other title retention agreement having
substantially the same economic effect as any of the foregoing); provided that in no event shall an operating lease be deemed to constitute a Lien. 

“Mandalay Notes” means (i) Mandalay Resort Group’s 7.0% Debentures due 2036 and (ii) Mandalay Resort
Group’s 6.7% Debentures due 2096. 
 “Maturity Date” means March 15, 2023. 

“Nevada Landing Partnership” means Nevada Landing Partnership, an Illinois partnership. 

“Non-recourse Indebtedness” means Indebtedness the terms of which provide that the lender’s claim for repayment of such
Indebtedness is limited solely to a claim against the property which secures such Indebtedness. 
 “Notes” has the meaning
set forth in the Recitals hereto. 
 “Obligations” means any principal, interest, premium, if any, penalties, fees,
indemnifications, reimbursements, expenses, damages or other liabilities or amounts payable under the documentation governing or otherwise in respect of any Indebtedness. 

“Pari Passu Liens” has the meaning set forth in Section 5.1. 

“Person” means any individual, corporation, limited liability company, partnership, joint venture, association, joint-stock
company, trust, estate, unincorporated organization or government or any agency or political subdivision thereof or any other entity. 

“Principal Property” means any real estate or other physical facility or depreciable asset or securities the net book value
of which on the date of determination exceeds the greater of $25 million and 2% of Consolidated Net Tangible Assets. 

“Reference Indebtedness” means any series of (x) the Existing Senior Notes, (y) the Credit Facility or (z) any
of our future capital markets Indebtedness. 

  
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 “Sale and Lease-Back Transaction” means any arrangement with a person (other
than the Company or any of its Subsidiaries), or to which any such person is a party, providing for the leasing to the Company or any of its Subsidiaries for a period of more than three years of any Principal Property which has been or is to be sold
or transferred by the Company or any of its Subsidiaries to such person, or to any other person (other than the Company or any of its Subsidiaries) to which funds have been or are to be advanced by such person on the security of the leased property.

 “Subsidiary” of any specified Person means any corporation, partnership or limited liability company of which at least a
majority of the outstanding stock (or other equity interests) having by the terms thereof ordinary voting power for the election of directors (or the equivalent) of such Person (irrespective of whether or not at the time stock (or other equity
interests) of any other class or classes of such Person shall have or might have voting power by reason of the happening of any contingency) is at the time directly or indirectly owned by such Person, or by one or more other Subsidiaries, or by such
Person and one or more other Subsidiaries. 
 “Subsidiary Guarantor” means (i) each Subsidiary of the Company
identified as a Subsidiary Guarantor on the signature pages hereof and (ii) each other Wholly-Owned Subsidiary of the Company that becomes a Subsidiary Guarantor in accordance with Section 5.3 or by executing a supplemental indenture in
which such Subsidiary agrees to be bound by the terms of this Indenture as a Subsidiary Guarantor, together with their permitted successors and assigns provided that if the Guarantee of a Subsidiary Guarantor is withdrawn or cancelled pursuant to
Section 5.3(b), such Person shall no longer be a Subsidiary Guarantor hereunder; provided, however, that until such time as Nevada Landing Partnership receives Illinois Gaming Approval to become a Subsidiary Guarantor of the Notes, Nevada
Landing Partnership shall not be a Subsidiary Guarantor hereunder. 
 “Treasury Securities” mean any obligations issued or
guaranteed by the United States government or any agency thereof. 
 “Trustee” has the meaning set forth in the Recitals
hereto. 
 “Wholly-Owned Subsidiary” has the meaning set forth in Section 5.3. 

ARTICLE TWO 
 SECURITIES FORMS

 SECTION 2.1. Creation of the Notes; Designations. 

In accordance with Section 301 of the Base Indenture, the Company hereby creates the Notes as a series of its Notes issued pursuant to the
Indenture. The Notes shall be known and designated as the “6.000% Senior Notes due 2023” of the Company. 
 SECTION 2.2. Forms Generally.

 The Notes and the Trustee’s certificate of authentication shall be in the forms set forth in Exhibit I attached hereto, with such
appropriate insertions, omissions, substitutions and other variations as are required or permitted by the Indenture and may have such letters, numbers or other marks of identification and such legends or endorsements placed thereon as may be
required to comply with the rules of any securities exchange or as may, consistently herewith, be determined by the officers executing 

  
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such Notes, as evidenced by their execution of the Notes. Any portion of the text of any Note may be set forth on the reverse thereof, with an appropriate reference thereto on the face of the
Note. 
 The Notes shall be printed, lithographed or engraved or produced by any combination of these methods or may be produced in any
other manner, as determined by the officers of the Company executing such Notes, as evidenced by their manual execution of such Notes. 

ARTICLE THREE 
 GENERAL TERMS AND
CONDITIONS OF THE NOTES 
 SECTION 3.1. Title and Terms of Notes. 

(a) The aggregate principal amount of Notes which shall be authenticated and delivered on the Issue Date under the Indenture shall be
$1,250,000,000; provided, however, that the Company from time to time, without giving notice to or seeking the consent of the Holders of the Notes, may issue additional notes (the “Additional Notes”) in any amount
having the same terms as the Notes in all respects, except for the issue date, the issue price and the initial Interest Payment Date. Any such Additional Notes shall be authenticated by the Trustee upon receipt of an Authentication Order to that
effect, and when so authenticated, will constitute “Notes” for all purposes of the Indenture and will (together with all other Notes issued under the Indenture) constitute a single series of Notes under the Indenture; provided that
if the Additional Notes are not fungible with the Notes for U.S. federal income tax purposes, as applicable, as determined by the Company, the Additional Notes will have a separate CUSIP number. 

(b) The principal amount of the Notes is due and payable in full on March 15, 2023 unless earlier redeemed. 

(c) The Notes shall bear interest at the rate of 6.000% per annum (computed on the basis of a 360-day year comprised of twelve 30-day
months) from the Issue Date or from the most recent Interest Payment Date on which interest has been paid or duly provided for to maturity or early redemption; and interest will be payable semi-annually in arrears on March 15 and
September 15 of each year, commencing March 15, 2015, to the Persons in whose name such Notes were registered at the close of business on the preceding March 1 or September 1, respectively. 

(d) Principal of and interest on the Notes shall be payable in accordance with Sections 307 and 1001 of the Base Indenture. 

(e) Other than as provided in Article Four of this Fourth Supplemental Indenture, the Notes shall not be redeemable. 

(f) The Notes shall not be entitled to the benefit of any mandatory redemption or sinking fund. 

(g) The Notes shall not be convertible into any other securities. 

(h) The Company initially appoints the Trustee as Registrar and Paying Agent with respect to the Notes until such time as the Trustee has
resigned or a successor has been appointed. 
 (i) The Notes will be issuable in the form of one or more Global Securities and the
Depositary for such Global Security will be the Depository Trust Company. 

  
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 (j) The Company shall pay principal of, premium, if any, and interest on the Notes in money of
the United States of America that at the time of payment is legal tender for payment of public and private debts. 
 (k) A Holder may
transfer or exchange Notes only in accordance with the Indenture. Upon any transfer or exchange, the Registrar and the Trustee may require a Holder, among other things, to furnish appropriate endorsements or transfer documents. No service charge
shall be made for any registration of transfer or exchange, but the Company or the Trustee may require the payment of a sum sufficient to cover any tax or other governmental charge that may be imposed in connection therewith. 

ARTICLE FOUR 
 REDEMPTION 

SECTION 4.1. Optional Redemption. 
 The
Notes are redeemable at the option of the Company, in whole or in part at any time at a redemption price (the “Redemption Price”) equal to the greater of: 
  

	 	•	 	100% of the principal amount of the Notes to be redeemed; or 

  

	 	•	 	as determined by an Independent Investment Banker, the sum of the present values of the remaining scheduled payments of principal and interest on the Notes to be redeemed (not including any portion of such payments of
interest accrued to the Redemption Date) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury Rate, plus 50 basis points, 

plus, in either of the above cases, accrued and unpaid interest to the Redemption Date on the Notes to be redeemed. 

“Adjusted Treasury Rate” means, with respect to any Redemption Date: 

 

	 	•	 	the yield, under the heading which represents the average for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)” or any successor publication
which is published weekly by the Board of Governors of the Federal Reserve System and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant
Maturities,” for the maturity corresponding to the Comparable Treasury Issue (if no maturity is within three months before or after the Remaining Life (as defined below), yields for the two published maturities most closely corresponding to the
Comparable Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight line basis, rounding to the nearest month); or 

 

	 	•	 	if such release (or any successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the
Comparable Treasury Issue, calculated using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 

  
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 The Adjusted Treasury Rate shall be calculated by an Independent Investment Banker on the third
Business Day preceding the Redemption Date or, in the case of a satisfaction and discharge or a defeasance, on the third Business Day prior to the date on which the Company deposits the amount required under this Fourth Supplemental Indenture most
nearly equal to the period from the Redemption Date to the Maturity Date. 
 “Comparable Treasury Issue” means the United
States Treasury security selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Notes to be redeemed that would be utilized, at the time of selection and in accordance with customary financial
practice, in pricing new issues of corporate debt securities of comparable maturity to the remaining term of such securities (“Remaining Life”). 

“Comparable Treasury Price” means (1) the average of four Reference Treasury Dealer Quotations for such Redemption Date,
after excluding the highest and lowest Reference Treasury Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than four such Reference Treasury Dealer Quotations, the average of all such quotations. 

“Independent Investment Banker” means one of the Reference Treasury Dealers appointed by the Company. 

“Reference Treasury Dealer” means any primary U.S. Government securities dealer in New York City selected by the Company.

 “Reference Treasury Dealer Quotations” means, with respect to each Reference Treasury Dealer and any Redemption Date,
the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal amount) quoted in writing to the Independent Investment Banker
at 5:00 p.m., New York City time, on the third Business Day preceding such Redemption Date. 
 SECTION 4.2. Mandatory Disposition of Notes
Pursuant to Gaming Laws. 
 Each Holder and beneficial owner, by accepting or otherwise acquiring an interest in the Notes, shall be
deemed to have agreed that if the Gaming Authority of any jurisdiction in which the Company or any of its Subsidiaries conducts or proposes to conduct gaming activities requires that a Person who is a Holder or beneficial owner must be licensed,
qualified or found suitable under the applicable Gaming Laws, such Holder or beneficial owner, as the case may be, shall apply for a license, qualification or a finding of suitability within the required time period in accordance with such Gaming
Laws. If such Person fails to apply or become licensed or qualified or is found unsuitable (a “Disqualified Holder”), then the Company shall have the right, at its option, notwithstanding any other provision of this Fourth
Supplemental Indenture: 
 (i) to require such Person to dispose of its Notes or beneficial interest therein within 30 calendar days of
receipt of notice of the Company’s election or such earlier date as may be requested or prescribed by such Gaming Authority; or 
 (ii)
to redeem such Notes, which Redemption Date may be less than 30 calendar days following the notice of redemption if so requested or prescribed by the Gaming Authority, at a redemption price equal to: 

(1) the lesser of: 

  
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 (a) the Person’s cost, plus accrued and unpaid interest, if any, to the
earlier of the Redemption Date or the date of the finding of unsuitability or failure to comply; and 
 (b) 100% of the
principal amount thereof, plus accrued and unpaid interest to the earlier of the Redemption Date or the date of the finding of unsuitability or failure to comply; or 

(2) such other amount as may be required by applicable Gaming Laws or by order of any Gaming Authority. 

The Company shall notify the Trustee in writing of any such Disqualified Holder status or redemption as soon as practicable. The Company shall
not be responsible for any costs or expenses any such Holder or beneficial owner may incur in connection with its application for a license, qualification or a finding of suitability. Notwithstanding any other provision of this Fourth Supplemental
Indenture, immediately upon the imposition of a requirement to dispose of Notes by a Gaming Authority, such Person shall, to the extent required by applicable Gaming Laws, have no further right (i) to exercise, directly or indirectly, through
any trustee, nominee or any other person or entity, any right conferred by such Notes or (ii) to receive any interest, dividends or any other distributions or payments with respect to such Notes or any remuneration in any form with respect to
such Notes from the Company or the Trustee, except the redemption price. 
 SECTION 4.3. Optional Redemption Procedures. 

The provisions of Article XII shall apply in the case of a redemption pursuant to Article Four; provided that the first sentence of
Section 1203 in the Base Indenture shall be superseded by the following language with respect to, and solely for the benefit of the Holders of the Notes; provided that this Section 4.3 shall not become part of the terms of any other series
of Securities: 
 “If less than all the Securities of any series are to be redeemed (unless all the Securities of such series and of a
specified tenor are to be redeemed or unless such redemption affects only a single Security), the particular Securities to be redeemed shall be selected not more than 60 days prior to the Redemption Date by the Trustee, from the Outstanding
Securities of such series not previously called for redemption, in accordance with the applicable Depository Trust Company procedures; provided that the unredeemed portion of the principal amount of any Security shall be in an authorized
denomination (which shall not be less than the minimum authorized denomination) for such Security.”
 ARTICLE FIVE 

COVENANTS 
 Holders of the Notes
shall be entitled to the benefit of all covenants in Article X of the Base Indenture and the following additional covenants, which shall be deemed to be provisions of the Base Indenture with respect to the Notes, provided that this Article
Five shall not become a part of the terms of any other series of Securities: 
 SECTION 5.1. Limitation on Liens. 

(a) Other than as provided in Section 5.1(c) below, neither the Company nor any Subsidiary Guarantor will, directly or indirectly, issue,
assume or guarantee any Indebtedness secured by 

  
 -9- 

 
a Lien upon any Principal Property or on any evidences of Indebtedness or shares of capital stock of, or other ownership interests in, any Subsidiaries (regardless of whether the Principal
Property, Indebtedness, capital stock or ownership interests were acquired before or after the date hereof) without effectively providing that all of the Notes or Guarantees then outstanding, as the case may be, shall be secured equally and ratably
with (or prior to) the Indebtedness so long as such Indebtedness shall be so secured, except that this restriction will not apply to: 

(i) Liens existing on the date of original issuance of the Notes; 

(ii) Liens affecting property of a corporation or other entity existing at the time it becomes a Subsidiary Guarantor or at the
time it is merged into or consolidated with the Company or a Subsidiary Guarantor (provided that such Liens are not incurred in connection with, or in contemplation of, such entity becoming a Subsidiary Guarantor or such merger or consolidation and
do not extend to or cover property of the Company or any Subsidiary Guarantor other than property of the entity so acquired or which becomes a Subsidiary Guarantor); 

(iii) Liens (including purchase money Liens) existing at the time of acquisition thereof on property acquired after the date
hereof or to secure Indebtedness Incurred prior to, at the time of, or within 24 months after the acquisition for the purpose of financing all or part of the purchase price of property acquired after the date hereof (provided that such Liens do not
extend to or cover any property of the Company or any Subsidiary Guarantor other than the property so acquired); 
 (iv)
Liens on any property to secure all or part of the cost of improvements or construction thereon or Indebtedness Incurred to provide funds for such purpose in a principal amount not exceeding the cost of such improvements or construction; 

(v) Liens which secure Indebtedness of a Subsidiary of the Company to the Company or to a Subsidiary Guarantor or which secure
Indebtedness of the Company to a Subsidiary Guarantor; 
 (vi) Liens on the stock, partnership or other equity interest of
the Company or Subsidiary Guarantor in any Joint Venture or any Subsidiary which owns an equity interest in such Joint Venture to secure Indebtedness, provided the amount of such Indebtedness is contributed and/or advanced solely to such Joint
Venture; 
 (vii) Liens to government entities, including pollution control or industrial revenue bond financing; 

(viii) Liens required by any contract or statute in order to permit the Company or a Subsidiary of the Company to perform any
contract or subcontract made by it with or at the request of a governmental entity; 
 (ix) mechanic’s,
materialman’s, carrier’s or other like Liens, arising in the ordinary course of business; 
 (x) Liens for taxes or
assessments and similar charges; 
 (xi) zoning restrictions, easements, licenses, covenants, reservations, restrictions on
the use of real property and other minor irregularities of title; and 

  
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 (xii) any extension, renewal, replacement or refinancing of any Indebtedness
secured by a Lien permitted by any of the foregoing clauses (i) through (vi). 
 (b) Notwithstanding the foregoing, 

(i) if any of the Existing Senior Notes are hereafter secured by any Liens on any of the assets of the Company or any
Subsidiary Guarantor (the “Initial Liens”), then the Company and the Subsidiary Guarantor shall, substantially concurrently with the granting of such Liens, subject to such Liens having been approved by all applicable Gaming
Authorities to the extent the Gaming Laws of the applicable jurisdiction require such approval, grant perfected Liens in the same collateral to secure the Notes (or Guarantees, as the case may be), equally, ratably and on a pari passu basis (the
“Pari Passu Liens”). The Pari Passu Liens granted pursuant to this provision shall be (A) granted concurrently with the granting of any such Liens, and (B) granted pursuant to instruments, documents and agreements which
are no less favorable to the Trustee and the Holders of the Notes than those granted to secure the Existing Senior Notes. In connection with the granting of any such Liens, the Company and each Subsidiary Guarantor shall provide to the Trustee
(y) policies of title insurance on customary terms and conditions, to the extent that policies of title insurance on the corresponding property are provided to the Holders of the Existing Senior Notes or their respective trustee (and in an
insured amount that bears the same proportion to the principal amount of the Notes as the insured amount in the policies provided to the holders of the Existing Senior Notes bears to the aggregate outstanding amount of the Existing Senior Notes),
and (z) legal opinions and other assurances as the Trustee may reasonably request. 
 (ii) if the Company and the
Subsidiary Guarantors become entitled to the release of any Initial Liens securing the Existing Senior Notes and Subsidiary Guarantees related thereto, and provided that no Default or Event of Default has then occurred and remains continuing, the
Company and the Subsidiary Guarantors may in their sole discretion request that the collateral agent release any such Lien securing the Notes, the Existing Senior Notes and such other notes and guarantees, and in such circumstances the collateral
agent (or the Trustee) shall so release such Initial Liens. 
 (c) Notwithstanding the foregoing, the Company or any Subsidiary Guarantor
may create, assume or suffer to exist Liens not otherwise permitted as described above, provided that at the time of such incurrence, assumption or sufferance, after giving effect to such Lien, the sum of outstanding Indebtedness secured by such
Liens (not including Liens permitted under Section 5.1(a) above) plus all Attributable Debt in respect of Sale and Lease-Back Transactions entered into (not including Sale and Lease-Back Transactions permitted under Section 5.2(a) below),
measured, in each case, at the time the Lien is incurred, does not exceed 15% of Consolidated Net Tangible Assets and Liens securing Indebtedness in excess of such amount to the extent such Lien is incurred in connection with an extension, renewal,
replacement or refinancing of Indebtedness (not to exceed the principal amount of such extended, renewed, replaced or refinanced Indebtedness plus fees, expenses and premium payable thereon) secured by a Lien incurred pursuant to the provisions of
this Section 5.1(c) or any previous extension, renewal, replacement or refinancing of any such Indebtedness (which extended, renewed, replaced or refinanced Indebtedness shall, for the avoidance of doubt, thereafter be included in the
calculation of such amount), provided that the foregoing shall not apply to any Liens that may at any time secure any of the Existing Senior Notes. 

SECTION 5.2. Limitation on Sale and Lease-Back Transactions. 
  

  
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 (a) Other than as provided in Section 5.2(b) below, neither the Company nor any Subsidiary
Guarantor will enter into any Sale and Lease-Back Transaction, unless either: 
 (i) the Company or such Subsidiary Guarantor
would be entitled, pursuant to the provisions described in clauses (i) through (xii) of Section 5.1(a) above, to create, assume or suffer to exist a Lien on the property to be leased without equally and ratably securing the Notes; or

 (ii) an amount equal to the greater of the net cash proceeds of such sale or the fair market value of such property (in
the good faith opinion of the Board of Directors) is applied within 120 days to the retirement or other discharge of its Funded Debt. 
 (b)
Notwithstanding the restrictions set forth in Section 5.1 and Section 5.2 (a), the Company or any Subsidiary Guarantor may enter into Sale and Lease-Back Transactions not otherwise permitted as described above, provided that at the time of
entering into such Sale and Lease-Back Transaction, after giving effect to such Sale and Lease-Back Transaction, the sum of outstanding Indebtedness secured by Liens (not including Liens permitted under Sections 5.1(a) and 5.1(b) above) plus all
Attributable Debt in respect of Sale and Lease-Back Transactions entered into (not including Sale and Lease-Back Transactions permitted under Section 5.2(a) above), measured, in each case, at the time any such Sale and Lease-Back Transaction is
entered into, does not exceed 15% of Consolidated Net Tangible Assets and Liens securing Indebtedness in excess of such amount to the extent such Lien is incurred in connection with an extension, renewal, replacement or refinancing of Indebtedness
(not to exceed the principal amount of such extended, renewed, replaced or refinanced Indebtedness plus fees, expenses and premium payable thereon) secured by a Lien incurred pursuant to the provisions of this Section 5.2(b) or any previous
extension, renewal or replacement or refinancing of any such Indebtedness (which extended, renewed, replaced or refinanced Indebtedness shall, for the avoidance of doubt, thereafter be included in the calculation of such amount), provided that the
foregoing shall not apply to any Liens that may at any time secure any of the Existing Senior Notes. 
 SECTION 5.3. Guarantee. 

(a) The Company shall (i) cause each domestic Subsidiary of the Company, that is a guarantor of Reference Debt to become, other than
Nevada Landing Partnership, on the Issue Date or, if such Subsidiary was not a guarantor of Reference Debt as of the Issue Date but thereafter becomes a guarantor of Reference Debt (whether or not such Subsidiary is acquired or created after the
Issue Date) and is wholly-owned, directly or indirectly, by the Company (a “Wholly-Owned Subsidiary”), at the time such Wholly-Owned Subsidiary guarantees any Reference Debt, a guarantor of the obligations of the Company under this
Indenture and the Notes by executing this Indenture (directly, by supplemental indenture or by a joinder agreement, a form of which is attached hereto as Exhibit E) as a Subsidiary Guarantor or by executing a Guarantee in substantially the form of
Article 17 hereof; provided that the provision of a Guarantee by a Wholly-Owned Subsidiary after the Issue Date shall be subject to compliance with any applicable Gaming Laws and the Company agrees that (subject to Section 5.3(b)) it shall not
have any such Wholly-Owned Subsidiary become a guarantor of Reference Debt unless it is permitted to give such Guarantee under applicable Gaming Laws); and (ii) deliver to the Trustee an Opinion of Counsel that such Guarantee is the valid,
binding and enforceable obligation of such Subsidiary Guarantor, subject to customary exceptions for bankruptcy, fraudulent transfer and equitable principles. 

(b) The actions set forth in Section 5.3(a) hereof shall be taken within 10 days of the time on which any Person is required to become a
Subsidiary Guarantor pursuant to such Section 5.3(a), 

  
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provided that if such Person is not permitted to give a Guarantee under applicable Gaming Laws, then, such 10-day period shall be extended as long as necessary for the Company to, and the
Company shall continue to use reasonable best efforts to, obtain the requisite consents for such Guarantee from the applicable Gaming Authority. If any Subsidiary Guarantor no longer guarantees any Reference Debt at any time, then such Subsidiary
Guarantor shall be released from its obligations under its Guarantee, and the Trustee shall execute any documents reasonably required in order to evidence the release of such Subsidiary Guarantor from its obligations under its Guarantee upon
delivery by the Company to the Trustee of an Officers’ Certificate and an Opinion of Counsel to the effect that such conditions to release such Guarantee have been satisfied. 

(c) The Company will not permit any newly acquired or created Wholly-Owned Subsidiary to guarantee any Reference Debt without making effective
provision for such Wholly-Owned Subsidiary to become a Subsidiary Guarantor under this Indenture. 
 SECTION 5.4. Reports. 

(a) Whether or not required by the Commission, so long as any Notes are outstanding, the Company shall furnish to the Trustee within 15
calendar days after the time periods specified in the Commission’s rules and regulations: 
 (1) all quarterly and
annual financial information that would be required to be contained in a filing with the Commission on Forms 10-Q and 10-K if the Company were required to file such Forms, including a “Management’s Discussion and Analysis of Financial
Condition and Results of Operations” and, with respect to the annual information only, a report thereon by the Company’s independent registered public accounting firm; and 

(2) all current reports that would be required to be filed with the Commission on Form 8-K if the Company were required to file
such reports. 
 (b) In addition, whether or not required by the Commission, the Company will file a copy of all of the information and
reports referred to in clauses (1) and (2) above with the Commission for public availability within the time periods specified in the Commission’s rules and regulations (unless the Commission will not accept such a filing) and make
such information available to securities analysts and prospective investors upon request. 
 Delivery of such reports, information and
documents to the Trustee is for informational purposes only and the Trustee’s receipt of such reports, information and documents shall not constitute constructive notice of any information contained therein or determinable from information
contained therein, including the Company’s compliance with any of its covenants hereunder (as to which the Trustee is entitled to rely conclusively on the Officer’s Certificate described in Section 1004). The Trustee is under no duty
to examine such reports, information or documents to ensure compliance with the provisions of this Fourth Supplemental Indenture or to ascertain the correctness or accuracy of the information or the statements contained therein. The Trustee is
entitled to assume such compliance and correctness unless an Officer of the Trustee is informed in writing otherwise. 
 ARTICLE SIX 

GUARANTEE OF NOTES 
 SECTION 6.1.
Guarantees 

  
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 (a) Section 1111 of the Base Indenture shall be amended by adding the following language to
the end of the third paragraph with respect to, and solely for the benefit of the Holders of the Notes; provided that this Article Six shall not become part of the terms of any other series of Securities: 

“Notwithstanding the foregoing, any Subsidiary Guarantor will automatically be released from all obligations under its Guarantee, and
such Guarantee shall thereupon terminate and be discharged and of no further force and effect, upon the merger or consolidation of any Subsidiary Guarantor with and into the Company or another Subsidiary Guarantor that is the surviving Person in
such merger or consolidation, or upon the liquidation or dissolution of such Subsidiary Guarantor following the transfer of all of its assets to the Company or another Subsidiary Guarantor.” 

(b) Section 1102 of the Base Indenture shall be superseded in its entirety by the following language with respect to, and solely for the
benefit of the Holders of the Notes; provided that this Section 1102 shall not become part of the terms of any other series of Securities: 

“Section 1102. Execution and Delivery of Guarantee 

To evidence its Guarantee set forth in Section 1101, each of the Subsidiary Guarantors agrees that this Supplemental Indenture is executed
on behalf of such Subsidiary Guarantor by a duly authorized officer. 
 Each of the Subsidiary Guarantors agrees that its Guarantee set
forth in Section 1101 shall remain in full force and effect and apply to all the Securities notwithstanding any failure to endorse on each Note a notation of such Guarantee. 

If an Officer whose facsimile signature is on a Note no longer holds that office at the time the Trustee authenticates the Note on which a
Guarantee is endorsed, the Guarantee shall be valid nevertheless. 
 The delivery of any Note by the Trustee, after the authentication
thereof hereunder, shall constitute due delivery of the Guarantee set forth in this Supplemental Indenture on behalf of the Subsidiary Guarantors.” 

ARTICLE SEVEN 
 REMEDIES 

SECTION 7.1. Events of Default. 

Section 501 of the Base Indenture shall be superseded in its entirety by the following language with respect to, and solely for the
benefit of the Holders of the Notes; provided that this Article Seven shall not become part of the terms of any other series of Securities: 

SECTION 501. Events of Default. 

“Event of Default” wherever used herein with respect to the Notes means any one of the following events (whatever the reason
for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law, pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body): 

  
 -14- 

 (a) default in the payment of any interest upon the Notes when it becomes due and
payable, and continuance of such default for a period of 30 calendar days; or 
 (b) default in the payment of principal of
(or premium, if any, on) the Notes at their Maturity (upon acceleration, optional or mandatory redemption or otherwise); or 

(c) default in the performance, or breach, of any covenant or warranty of the Company in this Indenture (other than a covenant
or warranty a default in whose performance or whose breach is elsewhere in this Section specifically dealt with), and continuance of such default or breach for a period of 60 calendar days after there has been given, by registered or certified mail,
to the Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in principal amount of the outstanding Notes, a written notice specifying such default or breach and requiring it to be remedied and stating that such
notice is a “Notice of Default” hereunder; or 
 (d) the acceleration of the maturity of any Indebtedness of
the Company or any Subsidiary Guarantor (other than Non-recourse Indebtedness), at any time, in an amount in excess of the greater of (i) $25,000,000 and (ii) 5% of Consolidated Net Tangible Assets, if such acceleration is not annulled
within 30 calendar days after written notice to the Company by the Trustee or to the Company and the Trustee by the Holders of at least 25% in principal amount of the outstanding Notes; or 

(e) entry of final judgments against the Company or any Subsidiary Guarantor which remain undischarged for a period of 60 days,
provided that the aggregate of all such judgments exceeds $25,000,000 and judgments exceeding $25,000,000 remain undischarged for 60 calendar days after written notice to the Company by the Trustee or to the Company and the Trustee by the
Holders of at least 25% in principal amount of the outstanding Notes; or 
 (f) the entry of a decree or order for relief in
respect of the Company or any Significant Subsidiary by a court having jurisdiction in the premises in an involuntary case under the federal Bankruptcy Laws, as now or hereafter constituted, or any other applicable federal or state bankruptcy,
insolvency or other similar law, or a decree or order adjudging the Company or any Significant Subsidiary a bankrupt or insolvent, or approving as properly filed a petition seeking reorganization, arrangement, adjustment or composition of or in
respect of the Company or any Significant Subsidiary under any applicable federal or state law, or appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator (or other similar official) of the Company or any Significant Subsidiary
or of any substantial part of its property, or ordering the winding up or liquidation of its affairs, and the continuance of any such decree or order unstayed and in effect for a period of 90 consecutive calendar days; or 

(g) the commencement by the Company or any Significant Subsidiary of a voluntary case under the federal Bankruptcy Laws, as now
or hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or other similar law, or the consent by it to the entry of an order for relief in an involuntary case under any such law or to the appointment of a receiver,
liquidator, assignee, custodian, trustee, sequestrator (or other similar official) of the Company or any Significant Subsidiary or of any substantial part of its property, or the making by it of an assignment for the benefit of its creditors, or the
admission by it in writing of its inability to pay its debts generally as they become due, or the taking of corporate action by the Company or any Significant Subsidiary in furtherance of any such action. 

  
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 ARTICLE EIGHT 

SATISFACTION AND DISCHARGE 
 SECTION 8.1.
Satisfaction and Discharge. 
 Article IV of the Base Indenture shall be superseded in its entirety by the following language with
respect to, and solely for the benefit of the Holders of the Notes; provided that this Article Eight shall not become part of the terms of any other series of Securities: 

Section 401. Satisfaction and Discharge of Indenture. 

This Indenture shall, upon Company Request, cease to be of further effect with respect to the Notes (except as to any surviving rights of
registration of transfer or exchange of the Notes herein expressly provided for and rights to receive payments of principal (and premium, if any) and interest on the Notes) and the Trustee, at the expense of the Company, shall execute proper
instruments acknowledging satisfaction and discharge of this Indenture, when: 
 (a) either 

(i) all Notes theretofore authenticated and delivered (other than (i) Notes which have been destroyed, lost or stolen and which have been
replaced or paid as provided in Section 306, and (ii) Notes the payment for which money has theretofore been deposited in trust or segregated and held in trust by the Company and thereafter repaid to the Company or discharged from such
trust, as provided in Section 1003) have been delivered to the Trustee for cancellation; or 
 (ii) all Notes not theretofore delivered
to the Trustee for cancellation, 
 (1) have become due and payable, or 

(2) will become due and payable at their Stated Maturity within one year, or 

(3) are to be called for redemption within one year under arrangements satisfactory to the Trustee for the giving of notice by
the Trustee in the name, and at the expense, of the Company; 
 (b) the Company, in the case of subclause (ii) or (iii) of clause
(a)(2) of this Section 401, has irrevocably deposited or caused to be deposited with the Trustee as trust funds in trust for such purpose an amount sufficient to pay and discharge the entire Indebtedness on such Notes for principal (and
premium, if any) and interest to the date of such deposit (in the case of Notes which have become due and payable) or to the Stated Maturity or Redemption Date, as the case may be; provided, however, in the event a petition for relief
under the federal bankruptcy laws, as now or hereafter constituted, or any other applicable federal or state bankruptcy, insolvency or other similar law, is filed with respect to the Company within 91 days after the deposit and the Trustee is
required to return the deposited money to the Company, the obligations of the Company under this Indenture with respect to such Notes shall not be deemed terminated or discharged; 

(c) the Company has paid or caused to be paid all other sums payable hereunder by the Company; and 

  
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 (d) the Company has delivered to the Trustee an Officers’ Certificate and an Opinion of
Counsel each stating that all conditions precedent herein provided for relating to the satisfaction and discharge of this Indenture have been complied with. 

Notwithstanding the satisfaction and discharge of this Indenture, the obligations of the Company to the Trustee under Section 607, the
obligations of the Company to any Authenticating Agent hereunder, the obligations of the Company under Section 1001, and, if money shall have been deposited with the Trustee pursuant to clause (b) of this Section, the obligations of the
Trustee under Section 802 (until payments are made by the Trustee thereunder) and the last paragraph of Section 1003, shall survive. 

Section 402. Application of Trust Money. 

Subject to the provisions of the last paragraph of Section 1003, all money deposited with the Trustee pursuant to Section 401 shall
be held in trust and applied by it, in accordance with the provisions of the Notes, and this Indenture, to the payment, either directly or through any Paying Agent (including the Company acting as its own Paying Agent) as the Company may determine,
to the Persons entitled thereto, of the principal (and premium, if any) and interest for whose payment such money has been deposited with the Trustee. 

Section 403. Applicability of this Article. 

Except as otherwise provided in Section 404, the Company may terminate its obligations under the Notes and this Indenture as set forth in
Section 404. 
 Section 404. Defeasance upon Deposit of Moneys or U.S. Government Obligations. 

At the Company’s option, either (a) the Company shall be deemed to have been Discharged (as defined below) from its obligations with
respect to Notes and the Subsidiary Guarantors shall be deemed to have been discharged from their obligations under their Guarantees in respect of the Notes (“legal defeasance option”) or (b) the Company shall cease to be under
any obligation to comply with any term, provision or condition set forth in Article VIII and Section 1004, and Sections 5.1, 5.2 and 5.3 of the Fourth Supplemental Indenture with respect to Notes and the Subsidiary Guarantors shall cease to be
under any obligation to comply with any term, provision or condition set forth in Section 1111 (or comparable provisions of its Guarantee if not set forth in Article XI) with respect to their Guarantees in respect of the Notes
(“covenant defeasance option”) at any time after the applicable conditions set forth below have been satisfied: 
 (a) The
Company shall have deposited or caused to be deposited irrevocably with the Trustee as trust funds in trust, specifically pledged as security for, and dedicated solely to, the benefit of the Holders of the Notes (i) money in an amount, or
(ii) U.S. Government Obligations (as defined below) which through the payment of interest and principal in respect thereof in accordance with their terms will provide, not later than one day before the due date of any payment, money in an
amount, or (iii) a combination of (i) and (ii), sufficient, in the opinion (with respect to (i) and (ii)) of a nationally recognized firm of independent public accountants expressed in a written certification thereof delivered to the
Trustee, to pay and discharge each installment of principal (including any mandatory sinking fund payments) of and premium, if any, and interest on, the outstanding Notes on the dates such installments of interest or principal and premium are due;

  
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 (b) Such deposit shall not cause the Trustee to have a conflicting interest as defined in
Section 608 and for purposes of the TIA; 
 (c) Such deposit will not result in a breach or violation of, or constitute a default
under, this Indenture or any other agreement or instrument to which the Company or any Subsidiary Guarantor is a party or by which it is bound; 

(d) If the Notes are then listed on any national securities exchange, the Company shall have delivered to the Trustee an Opinion of Counsel or
a letter or other document from such exchange to the effect that the Company’s exercise of its option under this Section would not cause such Notes to be delisted; 

(e) No Event of Default or Default shall have occurred and be continuing on the date of such deposit and, with respect to the legal defeasance
option only, no Event of Default under Section 501(f) or Section 501(g) or event which with the giving of notice or lapse of time, or both, would become an Event of Default under Section 501(f) or Section 501(g) shall have
occurred and be continuing on the 91st day after such date; 
 (f) The Company shall have delivered to the Trustee an Opinion of Counsel or
a ruling from the Internal Revenue Service to the effect that the Holders of the Notes will not recognize income, gain or loss for United States federal income tax purposes as a result of such deposit, defeasance or Discharge. Notwithstanding the
foregoing, if the Company exercises its covenant defeasance option and an Event of Default under Section 501(f) or Section 501(g) or event which, with the giving of notice or lapse of time, or both, would become an Event of Default under
Section 501(f) or Section 501(g) shall have occurred and be continuing on the 91st day after the date of such deposit, the obligations of the Company and the Subsidiary Guarantors referred to under the definition of covenant defeasance
option with respect to such Notes shall be reinstated; and 
 (g) the Company shall have delivered to the Trustee an Officer’s
Certificate and an Opinion of Counsel (which Opinion of Counsel may be subject to customary assumptions and exclusions) each stating that all conditions precedent provided for or relating to the legal defeasance or the covenant defeasance, as the
case may be, have been complied with. 
 “Discharged” means that the Company and the Subsidiary Guarantors shall be deemed
to have paid and discharged the entire Indebtedness represented by, and obligations under, the Notes and the Guarantees in respect of the Notes and to have satisfied all the obligations under this Indenture in respect of the Notes (and the Trustee,
at the expense of the Company, shall execute proper instruments acknowledging the same), except (i) the rights of Holders of Notes to receive, from the trust fund described in clause (a) above, payment of the principal of (and premium, if
any) and interest on such Notes when such payments are due, (ii) the Company’s obligations with respect to the Notes under Sections 304, 305, 306, 405 and 1002 and (c) the rights, powers, trusts, duties and immunities of the Trustee
hereunder. 
 “U.S. Government Obligations” means securities that are (i) direct obligations of the United States for
the payment of which its full faith and credit is pledged, or (ii) obligations of a Person controlled or supervised by and acting as an agency or instrumentality of the United States the payment of which is unconditionally guaranteed as a full
faith and credit obligation by the United States, which, in either case under clauses (i) or (ii), are not callable or redeemable at the option of the issuer thereof prior to the final Maturity Date of the Notes, and shall also include a
depository receipt issued by a bank or trust company as custodian with respect to any such U.S. Government Obligation or a specific payment of 

  
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interest on or principal of any such U.S. Government Obligation held by such custodian for the account of the Holder of a depository receipt; provided that (except as required by law) such
custodian is not authorized to make any deduction from the amount payable to the Holder of such depository receipt from any amount received by the custodian in respect of the U.S. Government Obligation or the specific payment of interest on or
principal of the U.S. Government Obligation evidenced by such depository receipt. 
 Section 405. Deposited Moneys and U.S.
Government Obligations to be Held in Trust. 
 All moneys and U.S. Government Obligations deposited with the Trustee pursuant to
Section 404 in respect of Notes shall be held in trust and applied by it, in accordance with the provisions of such Notes and this Indenture, to the payment, either directly or through any Paying Agent (including the Company acting as its own
Paying Agent) as the Trustee may determine, to the Holders of such Notes, of all sums due and to become due thereon for principal (and premium, if any) and interest, if any, but such money need not be segregated from other funds except to the extent
required by law. 
 The Company shall indemnify the Trustee against any tax, fee or other charge imposed on or assessed against the U.S.
Government Obligations deposited pursuant to Section 404 or the principal and interest received in respect thereof other than any such tax, fee or other charge which by law is for the account of the Holders of the outstanding Notes. 

Section 406. Repayment to Company. 

The Trustee and any Paying Agent shall promptly pay or return to the Company upon Company Request any moneys or U.S. Government Obligations
held by them at any time that are not required for the payment of the principal of (and premium, if any) and interest on the Notes for which money or U.S. Government Obligations have been deposited pursuant to Section 404. 

The provisions of the last paragraph of Section 1003 shall apply to any money held by the Trustee or any Paying Agent under this Article
that remains unclaimed for two years after the Maturity of any Notes for which money or U.S. Government Obligations have been deposited pursuant to Section 404. 

ARTICLE NINE 
 SUPPLEMENTAL
INDENTURES 
 SECTION 9.1. Supplemental Indentures Without Consent of Holders. 

Section 901 of the Base Indenture shall be amended by adding the following language to the end of clause (5) with respect to, and
solely for the benefit of the Holders of the Notes; provided that this Article Nine shall not become part of the terms of any other series of Securities: 

“or to release any Subsidiary Guarantors from Guarantees as provided by the terms of this Indenture” 

Section 901 of the Base Indenture shall be further amended removing “and” from the end of clause (16), replacing the
“.” with a “;” at the end of clause (17) and by adding the following language 

  
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with respect to, and solely for the benefit of the Holders of the Notes; provided that this Article Nine shall not become part of the terms of any other series of Securities: 

“(18) to conform the text of this Indenture or the Notes to any provision of the “Description of Notes” section of the
prospectus supplement, dated December 16, 2013, to the extent that such provision in such “Description of Notes” section was intended to be a verbatim, or substantially verbatim, recitation of a provision of this Indenture or the
Notes.” 
 SECTION 9.2. Supplemental Indentures With Consent of Holders. 

Section 902 of the Base Indenture shall be amended by adding the following language to the end of clause (1) with respect to, and
solely for the benefit of the Holders of the Notes; provided that this Article Nine shall not become part of the terms of any other series of Securities: 

“, or reduce the principal amount thereof or the rate (or extend the time for payment) of interest thereon or any premium
payable upon redemption thereof, or change the currency in which the principal of (and premium, if any) or interest on such Security is denominated or payable, or impair the right to institute suit for the enforcement of any payment on or after the
Stated Maturity thereof (including, in the case of redemption, on or after the Redemption Date), or alter any redemption provisions in a manner adverse to the Holders of Notes or release any Subsidiary Guarantor under any Guarantee (except in
accordance with the terms of the Indenture or the Guarantee) or collateral, if any, securing the Notes (except in accordance with the terms of the Indenture or the documents governing such collateral, if any)” 

ARTICLE TEN 
 MISCELLANEOUS 

SECTION 10.1. Effect of Fourth Supplemental Indenture. 

(1) This Fourth Supplemental Indenture is a supplemental indenture within the meaning of Section 901 of the Base Indenture, and the Base
Indenture shall be read together with this Fourth Supplemental Indenture and shall have the same effect over the Notes, in the same manner as if the provisions of the Base Indenture and this Fourth Supplemental Indenture were contained in the same
instrument. 
 (2) In all other respects, the Base Indenture is confirmed by the parties hereto as supplemented by the terms of this Fourth
Supplemental Indenture. 
 SECTION 10.2. Effect of Headings. 

The Article and Section headings herein are for convenience only and shall not affect the construction hereof. 

SECTION 10.3. Successors and Assigns. 

All covenants and agreements in this Fourth Supplemental Indenture by the Company, the Guarantors, the Trustee and the Holders shall bind their
successors and assigns, whether so expressed or not. 

  
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 SECTION 10.4. Severability Clause. 

In case any provision in this Fourth Supplemental Indenture or in the Notes shall be invalid, illegal or unenforceable, the validity, legality
and enforceability of the remaining provisions shall not in any way be affected or impaired thereby. 
 SECTION 10.5. Benefits of Fourth Supplemental
Indenture. 
 Nothing in this Fourth Supplemental Indenture or in the Notes, express or implied, shall give to any Person, other than the
parties hereto, any benefit or any legal or equitable right, remedy or claim under this Fourth Supplemental Indenture. 
 SECTION 10.6. Conflict.

 In the event that there is a conflict or inconsistency between the Base Indenture and this Fourth Supplemental Indenture, the provisions
of this Fourth Supplemental Indenture shall control; provided, however, if any provision hereof limits, qualifies or conflicts with another provision herein or in the Base Indenture, in either case, which is required or deemed to be
included in this Fourth Supplemental Indenture by any of the provisions of the Trust Indenture Act, such required or deemed provision shall control. 

SECTION 10.7. Governing Law. 
 THIS FOURTH
SUPPLEMENTAL INDENTURE AND THE NOTES GUARANTEES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE APPLICATION OF
THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY. EACH OF THE PARTIES HERETO AGREES TO SUBMIT TO THE JURISDICTION OF THE COURTS OF THE STATE OF NEVADA IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS FOURTH SUPPLEMENTAL
INDENTURE, THE NOTES OR THE GUARANTEES. 
 SECTION 10.8. Trustee. 

The Trustee shall not be responsible in any manner whatsoever for or in respect of the validity or sufficiency of this Fourth Supplemental
Indenture or for or in respect of the recitals contained herein, all of which are made solely by the Company. 
 This instrument may be
executed in any number of counterparts, each of which so executed shall be deemed to be an original, but all such counterparts shall together constitute but one and the same instrument. 

[Signature page to follow] 

  
 -21- 

 IN WITNESS WHEREOF, the parties hereto have caused this Fourth Supplemental Indenture to be duly
executed on the date and year first written above. 
  

			
	MGM RESORTS INTERNATIONAL
		
	By:	 	 /s/ John M. McManus

	Name:	 	John M. McManus
	Title:	 	 Executive Vice President,
 General Counsel
and Secretary

  
 -22- 

			
	 1.
	  	 350 LEASING COMPANY I, LLC, a Nevada limited liability company

	 2.
	  	 350 LEASING COMPANY II, LLC, a Nevada limited liability company

	 3.
	  	 450 LEASING COMPANY I, LLC, a Nevada limited liability company

	 4.
	  	 550 LEASING COMPANY I, LLC, a Nevada limited liability company

	 5.
	  	 550 LEASING COMPANY II, LLC, a Nevada limited liability company

	 6.
	  	 AC HOLDING CORP., a Nevada corporation

	 7.
	  	 AC HOLDING CORP. II, a Nevada corporation

	 8.
	  	 ARENA LAND HOLDINGS, LLC, a Nevada limited liability company

	 9.
	  	 ARIA RESORT & CASINO, LLC, a Nevada limited liability company

	 10.
	  	 BEAU RIVAGE RESORTS, INC., a Mississippi corporation

	 11.
	  	 BELLAGIO, LLC, a Nevada limited liability company

	 12.
	  	 BUNGALOW, INC., a Mississippi corporation

	 13.
	  	 CIRCUS CIRCUS CASINOS, INC., a Nevada corporation

	 14.
	  	 MGM RESORTS MISSISSIPPI, INC., a Mississippi corporation

	 15.
	  	 CITYCENTER FACILITIES MANAGEMENT, LLC, a Nevada limited liability company

	 16.
	  	 CITYCENTER REALTY CORPORATION, a Nevada corporation

	 17.
	  	 DESTRON, INC., a Nevada corporation

	 18.
	  	 DIAMOND GOLD, INC., a Nevada corporation

	 19.
	  	 GALLEON, INC., a Nevada corporation

	 20.
	  	 GOLD STRIKE FUEL COMPANY, LLC, a Nevada limited liability company

	 21.
	  	 GOLD STRIKE L.V., a Nevada partnership

		
		  	 By:   Diamond Gold, Inc., a Nevada corporation, Partner

		  	 By:   M.S.E. Investments, Incorporated, a Nevada corporation, Partner

		
	 22.
	  	 GRAND LAUNDRY, INC., a Nevada corporation

	 23.
	  	 JEAN DEVELOPMENT COMPANY, LLC, a Nevada limited liability company

	 24.
	  	 JEAN DEVELOPMENT NORTH, LLC, a Nevada limited liability company

	 25.
	  	 JEAN DEVELOPMENT WEST, LLC, a Nevada limited liability company

	 26.
	  	 JEAN FUEL COMPANY WEST, LLC, a Nevada limited liability company

	 27.
	  	 LAS VEGAS ARENA MANAGEMENT, LLC, a Nevada limited liability company

	 28.
	  	 LV CONCRETE CORP., a Nevada corporation

	 29.
	  	 M.I.R. TRAVEL, a Nevada corporation

	 30.
	  	 M.S.E. INVESTMENTS, INCORPORATED, a Nevada corporation

	 31.
	  	 MAC, CORP., a New Jersey corporation

	 32.
	  	 MANDALAY CORP., a Nevada corporation

	 33.
	  	 MANDALAY EMPLOYMENT, LLC, a Nevada limited liability company

	 34.
	  	 MANDALAY PLACE, a Nevada corporation

	 35.
	  	 MANDALAY RESORT GROUP, a Nevada corporation

	 36.
	  	 METROPOLITAN MARKETING, LLC, a Nevada limited liability company

	 37.
	  	 MGM SPRINGFIELD, LLC, a Massachusetts limited liability company

	 38.
	  	 MGM GRAND CONDOMINIUMS, LLC, a Nevada limited liability company

	 39.
	  	 MGM GRAND CONDOMINIUMS II, LLC, a Nevada limited liability company

	 40.
	  	 MGM GRAND CONDOMINIUMS III, LLC, a Nevada limited liability company

	 41.
	  	 MGM GRAND DETROIT, INC., a Delaware corporation

	 42.
	  	 MGM GRAND HOTEL, LLC, a Nevada limited liability company

	 43.
	  	 MGM RESORTS ADVERTISING, INC., a Nevada corporation

	 44.
	  	 MGM RESORTS AIRCRAFT HOLDINGS, LLC, a Nevada limited liability company

	 45.
	  	 MGM RESORTS ARENA HOLDINGS, LLC, a Nevada limited liability company

	 46.    
	  	 MGM HOSPITALITY, LLC, a Nevada limited liability company

  
 -23- 

			
	 47.
	  	 MGM INTERNATIONAL, LLC, a Nevada limited liability company

	 48.
	  	 MGM RESORTS AVIATION CORP., a Nevada corporation

	 49.
	  	 MGM RESORTS CORPORATE SERVICES, a Nevada corporation

	 50.
	  	 MGM RESORTS DEVELOPMENT, LLC, a Nevada limited liability company

	 51.
	  	 MGM RESORTS FESTIVAL GROUNDS, LLC, a Nevada corporation

	 52.
	  	 MGM RESORTS FESTIVAL GROUNDS II, LLC, a Nevada limited liability company

	 53.
	  	 MGM RESORTS INTERNATIONAL DESIGN, a Nevada corporation

	 54.
	  	 MGM RESORTS INTERNATIONAL GLOBAL GAMING DEVELOPMENT, LLC, a Nevada limited liability company

	 55.
	  	 MGM RESORTS INTERNATIONAL MARKETING, INC., a Nevada corporation

	 56.
	  	 MGM RESORTS INTERNATIONAL OPERATIONS, INC., a Nevada corporation

	 57.
	  	 MGM RESORTS LAND HOLDINGS, LLC, a Nevada limited liability company

	 58.
	  	 MGM RESORTS MACAO, LLC, a Nevada limited liability company

	 59.
	  	 MGM RESORTS MANAGEMENT AND TECHNICAL SERVICES, LLC, a Nevada limited liability company

	 60.
	  	 MGM RESORTS MANUFACTURING CORP., a Nevada corporation

	 61.
	  	 MGM RESORTS ONLINE, LLC, a Nevada limited liability company

	 62.
	  	 MGM RESORTS REGIONAL OPERATIONS, LLC, a Nevada limited liability company

	 63.
	  	 MGM RESORTS RETAIL, a Nevada corporation

	 64.
	  	 MGM RESORTS SUB 1, LLC, a Nevada limited liability company

	 65.
	  	 MGM RESORTS SUB 2, LLC, a Nevada limited liability company

	 66.
	  	 MGM RESORTS SUB 3, LLC, a Nevada limited liability company

	 67.
	  	 MGM RESORTS SUB 4, LLC, a Nevada limited liability company

	 68.
	  	 MGM RESORTS SUB 5, LLC, a Nevada limited liability company

	 69.
	  	 MH, INC., a Nevada corporation

	 70.
	  	 MIRAGE LAUNDRY SERVICES CORP., a Nevada corporation

	 71.
	  	 MIRAGE LEASING CORP., a Nevada corporation

	 72.
	  	 MIRAGE RESORTS, INCORPORATED, a Nevada corporation

	 73.
	  	 MMNY LAND COMPANY, INC., a New York corporation

	 74.
	  	 MRGS, LLC, a Nevada limited liability company

	 75.
	  	 NEVADA LANDING PARTNERSHIP, an Illinois partnership

		
		  	 By:   Diamond Gold, Inc., a Nevada corporation, Partner

		  	 By:   M.S.E. Investments, Incorporated, a Nevada corporation, Partner

		
	 76.
	  	 NEW CASTLE CORP., a Nevada corporation

	 77.
	  	 NEW PRMA LAS VEGAS, LLC, a Nevada limited liability company

	 78.
	  	 NEW YORK-NEW YORK HOTEL & CASINO, LLC, a Nevada limited liability company

	 79.
	  	 NEW YORK-NEW YORK TOWER, LLC, a Nevada limited liability company

	 80.
	  	 OE PUB, LLC, a Nevada limited liability company

	 81.
	  	 PARK DISTRICT HOLDINGS, LLC, a Nevada limited liability company

	 82.
	  	 PRMA LAND DEVELOPMENT COMPANY, a Nevada corporation

	 83.
	  	 PRMA, LLC, a Nevada limited liability company

	 84.
	  	 PROJECT CC, LLC, a Nevada limited liability company

	 85.
	  	 RAILROAD PASS INVESTMENT GROUP, LLC, a Nevada limited liability company

	 86.
	  	 RAMPARTS, INC., a Nevada corporation

	 87.
	  	 SIGNATURE TOWER I, LLC, a Nevada limited liability company

	 88.
	  	 SIGNATURE TOWER 2, LLC, a Nevada limited liability company

	 89.    
	  	 SIGNATURE TOWER 3, LLC, a Nevada limited liability company

  
 -24- 

			
	 90.
	  	 THE CRYSTALS AT CITYCENTER MANAGEMENT, LLC, a Nevada limited liability company

	 91.
	  	 THE SIGNATURE CONDOMINIUMS, LLC, a Nevada limited liability company

	 92.
	  	 THE MIRAGE CASINO-HOTEL, a Nevada corporation

	 93.
	  	 TOWER B, LLC, a Nevada limited liability company

	 94.
	  	 TOWER C, LLC, a Nevada limited liability company

	 95.
	  	 VDARA CONDO HOTEL, LLC, a Nevada limited liability company

	 96.
	  	 VENDIDO, LLC, a Nevada limited liability company

	 97.
	  	 VICTORIA PARTNERS, a Nevada partnership

		
		  	 By:   MRGS, LLC, a Nevada limited liability company, Partner

		  	 By:   Gold Strike L.V., a Nevada partnership, Partner

		
	 98.
	  	 VIDIAD, a Nevada corporation

	 99.
	  	 VINTAGE LAND HOLDINGS, LLC, a Nevada limited liability company

	 100.    
	  	 VINTAGE LAND HOLDINGS II, LLC, a Nevada limited liability company

 [The remainder of this page is intentionally left blank. 

Signature on the following page.] 

  
 -25- 

 
			
	By:	 	 /s/ John M. McManus

	Name:	 	John M. McManus
	Title:	 	 Secretary or Attorney-in-Fact,
 as
applicable, of each of the foregoing

  
 -26- 

 
			
	U.S. BANK NATIONAL ASSOCIATION,
	as Trustee
		
	By:	 	 /s/ Raymond S. Haverstock

	Name:	 	Raymond S. Haverstock
	Title:	 	Vice President

  
 -27- 

 EXHIBIT I 

FORM OF GLOBAL NOTE 
 UNLESS THIS
CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION (“DTC”), NEW YORK, NEW YORK, TO THE COMPANY OR ITS AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY
CERTIFICATE ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER HEREOF, CEDE & CO., HAS AN INTEREST HEREIN. 

TRANSFERS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS IN WHOLE, BUT NOT IN PART, TO NOMINEES OF DTC OR TO A SUCCESSOR THEREOF OR SUCH
SUCCESSOR’S NOMINEE AND TRANSFERS OF PORTIONS OF THIS GLOBAL SECURITY SHALL BE LIMITED TO TRANSFERS MADE IN ACCORDANCE WITH THE RESTRICTIONS SET FORTH IN THE INDENTURE REFERRED TO ON THE REVERSE HEREOF 

THIS SECURITY IS A GLOBAL SECURITY WITHIN THE MEANING OF THE INDENTURE REFERRED TO HEREIN AND IS REGISTERED IN THE NAME OF A DEPOSITARY OR A NOMINEE THEREOF.
THIS SECURITY MAY NOT BE EXCHANGED IN WHOLE OR IN PART FOR A SECURITY REGISTERED, AND NO TRANSFER OF THIS SECURITY IN WHOLE OR IN PART MAY BE REGISTERED, IN THE NAME OF ANY PERSON OTHER THAN SUCH DEPOSITARY OR A NOMINEE THEREOF, EXCEPT IN THE
LIMITED CIRCUMSTANCES DESCRIBED IN THE INDENTURE 

  
 A-1 

 MGM RESORTS INTERNATIONAL 

6.000% Senior Note Due March 15, 2023 
  

			
	No.     	  	$[            ]

 MGM RESORTS INTERNATIONAL (f/k/a MGM MIRAGE), a Delaware corporation (the “Company”),
promises to pay to Cede & Co. or registered assigns, or its registered assigns, the principal sum of [        ] in U.S. Dollars on March 15, 2023. 

 

					
	Interest Payment Dates:	  		  	March 15 and September 15
			
	Record Dates:	  		  	March 1 and September 1

 Additional provisions of this Note are set forth on the other side of this Note. 

  
 A-2 

 IN WITNESS WHEREOF, the Company has caused this instrument to be duly executed. 

 

			
	MGM RESORTS INTERNATIONAL
		
	By	 	  

	Name:	 	John M. McManus
	Title:	 	Executive Vice President, General Counsel and Secretary

 [Authentication Page to Follow] 

  
 A-3 

 TRUSTEE’S CERTIFICATE OF AUTHENTICATION 

This is one of the Notes designated therein referred to in the within-mentioned Indenture. 

 

							
	Dated:	 		 	U.S. BANK NATIONAL ASSOCIATION,
		 		 	As Trustee
				
		 		 	By	 	  

		 		 	Authorized Signatory

  
 A-4 

 FORM OF REVERSE SIDE OF NOTE 

6.000% Senior Note Due March 15, 2023 
  

	 	1.	INTEREST 

 MGM RESORTS INTERNATIONAL, a Delaware corporation (the
“Company”), promises to pay interest on the principal amount of this Note at the rate per annum shown above. 
 The
Company shall pay interest semi-annually in arrears on March 15 and September 15 of each year commencing on March 15, 2015. Interest on the Notes will accrue from the most recent date to which interest has been paid or, if no interest
has been paid, from November 25, 2014,1 with respect to this Note. Interest shall be computed on the basis of a 360-day year comprised of twelve 30-day months. 

 

	 	2.	METHOD OF PAYMENT 

 The Company shall pay interest (except defaulted interest) on the
Notes to the Persons who are registered Holders of Notes at the close of business on the March 1 and September 1 immediately preceding the interest payment date even if Notes are canceled after the record date and on or before the interest
payment date. Holders must surrender Notes to a Paying Agent to collect principal payments. The Company shall pay principal and interest in money of the United States that at the time of payment is legal tender for payment of public and private
debts. However, all payments in respect of this Note (including principal, premium, if any, and interest) must be made by wire transfer of immediately available funds to the accounts specified by the Holder hereof. 

 

	 	3.	PAYING AGENT AND REGISTRAR 

 Initially, U.S. BANK NATIONAL ASSOCIATION (the
“Trustee”) shall act as Paying Agent and Registrar. The Company may appoint and change any Paying Agent or Registrar without notice to the Holders. The Company or any domestically organized Subsidiary may act as Paying Agent or
Registrar. 
  

	 	4.	INDENTURE 

 The Company issued the Notes under an indenture dated as of March 22,
2012 (the “Base Indenture”), as amended by the Fourth Supplemental Indenture dated as of November 25, 2014 (the “Fourth Supplemental Indenture” and, together with the Base Indenture, the
“Indenture”), among the Company, the Subsidiary Guarantors and the Trustee. The terms of the Notes include those stated in the Indenture and those made part of the Indenture by reference to the TIA. Terms defined in the Indenture
and not defined herein have the meanings ascribed thereto in the Indenture. The Notes are subject to all such terms, and Holders are referred to the Indenture and the TIA for a statement of those terms. 

The Notes are unsecured senior obligations of the Company. Subject to the conditions set forth in the Indenture, the Company may issue
Additional Notes in an unlimited principal amount. This Note is one of the Notes referred to in the Indenture. The Notes include the Initial Notes and the 

 

	1 	 With respect to Initial Notes issued on the Closing Date. 

  
 A-5 

 
Additional Notes. The Initial Notes and the Additional Notes are treated as a single class of Notes under the Indenture. The Subsidiary Guarantors have, jointly and severally, unconditionally
guaranteed the Guaranteed Obligations on a senior unsecured basis pursuant to the terms of the Indenture. 
  

	 	5.	OPTIONAL REDEMPTION; MANDATORY DISPOSITION PURSUANT TO GAMING LAWS 

 The Notes are
redeemable at the option of the Company, in whole or in part at any time at a redemption price (the “Redemption Price”) equal to the greater of: 
  

	 	•	 	100% of the principal amount of the Notes to be redeemed; or 

  

	 	•	 	as determined by an Independent Investment Banker, the sum of the present values of the remaining scheduled payments of principal and interest on the Notes to be redeemed (not including any portion of such payments of
interest accrued to the Redemption Date) discounted to the Redemption Date on a semiannual basis (assuming a 360-day year consisting of twelve 30-day months) at the Adjusted Treasury Rate, plus 50 basis points, 

plus, in either of the above cases, accrued and unpaid interest to the Redemption Date on the Notes to be redeemed. 

“Adjusted Treasury Rate” means, with respect to any Redemption Date: 

 

	 	•	 	the yield, under the heading which represents the average for the immediately preceding week, appearing in the most recently published statistical release designated “H.15(519)” or any successor publication
which is published weekly by the Board of Governors of the Federal Reserve System and which establishes yields on actively traded United States Treasury securities adjusted to constant maturity under the caption “Treasury Constant
Maturities,” for the maturity corresponding to the Comparable Treasury Issue (if no maturity is within three months before or after the Remaining Life (as defined below), yields for the two published maturities most closely corresponding to the
Comparable Treasury Issue shall be determined and the Adjusted Treasury Rate shall be interpolated or extrapolated from such yields on a straight line basis, rounding to the nearest month); or 

 

	 	•	 	if such release (or any successor release) is not published during the week preceding the calculation date or does not contain such yields, the rate per annum equal to the semi-annual equivalent yield to maturity of the
Comparable Treasury Issue, calculated using a price for the Comparable Treasury Issue (expressed as a percentage of its principal amount) equal to the Comparable Treasury Price for such Redemption Date. 

The Adjusted Treasury Rate shall be calculated by an Independent Investment Banker on the third Business Day preceding the preceding the
Redemption Date or, in the case of a satisfaction and discharge or a defeasance, on the third Business Day prior to the date on which the Company deposits the amount required under this Fourth Supplemental Indenture most nearly equal to the period
from the Redemption Date to the Maturity Date. 
 “Comparable Treasury Issue” means the United States Treasury security
selected by an Independent Investment Banker as having a maturity comparable to the remaining term of the Notes to be 

  
 A-6 

 
redeemed that would be utilized, at the time of selection and in accordance with customary financial practice, in pricing new issues of corporate debt securities of comparable maturity to the
remaining term of such securities (“Remaining Life”). 
 “Comparable Treasury Price” means (1) the
average of four Reference Treasury Dealer Quotations for such Redemption Date, after excluding the highest and lowest Reference Treasury Dealer Quotations, or (2) if the Independent Investment Banker obtains fewer than four such Reference
Treasury Dealer Quotations, the average of all such quotations. 
 “Independent Investment Banker” means one of the
Reference Treasury Dealers appointed by the Company. 
 “Reference Treasury Dealer” means any primary U.S. Government
securities dealer in New York City selected by the Company. 
 “Reference Treasury Dealer Quotations” means, with respect
to each Reference Treasury Dealer and any Redemption Date, the average, as determined by the Independent Investment Banker, of the bid and asked prices for the Comparable Treasury Issue (expressed in each case as a percentage of its principal
amount) quoted in writing to the Independent Investment Banker at 5:00 p.m., New York City time, on the third Business Day preceding such Redemption Date. 

The rights of each Holder or beneficial owner of Notes are subject to the Gaming Laws and requirements of the Gaming Authorities.
Notwithstanding any other provision of the Indenture, if any Gaming Authority requires that a Holder or beneficial owner of Notes of a Holder must be licensed, qualified or found suitable under any Gaming Law, such Holder or such beneficial owner
shall apply for a license, qualification or a finding of suitability, as the case may be, within the required time period. If such person fails to apply or become licensed or qualified or is not found suitable (in each case, a “failure of
compliance”), the Company shall have the right, at its option, (i) to require such Holder or owner to dispose of such Holder’s or beneficial owner’s Notes within 30 days of receipt of notice of the Company’s election or
such earlier date as may be requested or prescribed by such Gaming Authority, or (ii) to redeem such Notes, which Redemption Date may be less than 30 days following the notice of redemption if so requested or prescribed by the Gaming Authority,
at a redemption price equal to (a) the lesser of (1) the Holder’s cost, plus accrued and unpaid interest, if any, to the earlier of the Redemption Date or the date of the finding of unsuitability or failure to comply and (2) 100%
of the principal amount thereof, plus accrued and unpaid interest, if any, to the earlier of the Redemption Date and the date of the finding of unsuitability or failure to comply or (b) such other amount as may be required by applicable Gaming
Laws or by order of any Gaming Authority. The Company shall notify the Trustee in writing of any such failure of compliance or redemption as soon as practicable. The Company shall not be responsible for any costs or expenses any such Holder or
beneficial owner may incur in connection with its application for a license, qualification or finding of suitability. Immediately upon the imposition of a requirement to dispose of the Notes by a Gaming Authority, such Holder or beneficial owner
shall, to the extent required by applicable Gaming Laws, have no further right (i) to exercise, directly or indirectly, through any trustee, nominee or any other person or entity, any right conferred by the Notes, or (ii) to receive any
remuneration in any form with respect to the Notes from the Company or the Trustee, except the redemption price. 
  

	 	6.	NOTICES OF REDEMPTION 

 Notices of redemption shall be mailed by first-class mail at
least 30 (unless a shorter notice is acceptable to the Trustee) days but not more than 60 days before the redemption date to each 

  
 A-7 

 
Holder of Notes to be redeemed at its registered address all in accordance with the Indenture. If less than all of the Notes are to be redeemed at any time (other than pursuant to paragraph 5
above) the particular Notes to be redeemed shall be selected not more than 60 days prior to the Redemption Date by the Trustee, from the outstanding Notes not previously called for redemption, consistent with the procedures of DTC. On and after the
redemption date, interest ceases to accrue on Notes or portions of them called for redemption. 
  

	 	7.	DENOMINATIONS; TRANSFER; EXCHANGE 

 The Notes are in registered form without coupons in
denominations of $2,000 and whole multiples of $1,000. A Holder may transfer or exchange Notes in accordance with the Indenture. Upon any transfer or exchange, the Registrar and the Trustee may require a Holder, among other things, to furnish
appropriate transfer documents and to pay any taxes required by law or permitted by the Indenture. The Registrar shall not be required (A) to issue, to register the transfer of or to exchange any Notes during a period beginning at the opening
of business 15 calendar days before the day of any selection of Notes for redemption and ending at the close of business on the day of selection, (B) to register the transfer of or to exchange any Note so selected for redemption in whole or in
part, except the unredeemed portion of any Note being redeemed in part or (C) to register the transfer of or to exchange a Note between a record date and the next succeeding interest payment date. 

 

	 	8.	PERSONS DEEMED OWNERS 

 The registered Holder of this Note may be treated as the owner of
it for all purposes. 
  

	 	9.	UNCLAIMED MONEY 

 If money for the payment of principal or interest remains unclaimed for
two years, the Paying Agent shall pay the money back to the Company at its request, or if then held by the Company or a domestic Subsidiary, shall be discharged from such trust (unless an abandoned property law designates another Person for payment
thereof). After any such payment, Holders entitled to the money must look only to the Company for payment thereof, and all liability of the Paying Agent with respect to such money, and all liability of the Company or such permitted Subsidiary as
trustee thereof, shall thereupon cease. 
  

	 	10.	DISCHARGE AND DEFEASANCE 

 Subject to certain conditions set forth in the Indenture, the
Company at any time may terminate some or all of its obligations under the Indenture with respect to the Notes if, among other things, the Company deposits with the Trustee funds for the payment of principal and interest on the Notes to redemption
or maturity, as the case may be. 
  

	 	11.	AMENDMENT, WAIVER 

 The Indenture permits, with certain exceptions as therein provided,
the amendment thereof and the modification of the rights and obligations of the Company and the rights of the Holders of the Notes under the Indenture at any time by the Company and the Trustee with the consent of the Holders of a majority in
principal amount of the Notes at the time outstanding. The Indenture also contains provisions, with certain exceptions as therein provided, permitting the Holders of a majority in principal amount of the Notes at the time outstanding, on behalf of
the Holders of all such Notes, to waive compliance by the Company with certain provisions of the Indenture and certain past defaults under the 

  
 A-8 

 
Indenture and their consequences. The Indenture also permits certain other amendments, modifications or waivers thereof only with the consent of all affected Holders of the Notes, while certain
other amendments or modifications may be made without the consent of any Holders of Notes. Any such consent or waiver by the Holder of this Note shall be conclusive and binding upon such Holder and upon all future Holders of this Note and of any
Note issued upon the transfer hereof or in exchange herefor or in lieu hereof, whether or not notation of such consent or waiver is made upon this Note. The right of any Holder of a Note (or such Holder’s duly designated proxy) to participate
in any consent required or sought pursuant to any provision of the Indenture (and the obligation of the Company to obtain any such consent otherwise required from such Holder) may be subject to the requirement that such Holder shall have been the
Holder of record of Notes as of a date set by the Company and identified by the Trustee in a notice furnished to Holders of the Notes in accordance with the terms of the Indenture. 

 

	 	12.	DEFAULTS AND REMEDIES 

 Events of Default are set forth in the Indenture. If an Event of
Default shall have occurred and be continuing, the Trustee or the Holders of at least 25% in principal amount of outstanding Notes may declare the principal of, premium, if any, and accrued interest on all the Notes to be due and payable by notice
in writing to the Company and, if given by the Holders, to the Trustee, specifying the respective Events of Default, and the same shall become immediately due and payable. 

Holders may not enforce the Indenture or the Notes except as provided in the Indenture. The Trustee may refuse to enforce the Indenture or the
Notes unless it receives indemnity or security reasonably satisfactory to it. Subject to certain limitations, Holders of a majority in principal amount of the Notes may direct the Trustee in its exercise of any trust or power. The Trustee may
withhold from Holders notice of any continuing Default (except a Default in payment of principal, premium, if any, or interest) if and so long as a committee of its Trust Officers in good faith determines that withholding notice is in the interest
of the Holders. 
  

	 	13.	TRUSTEE DEALINGS WITH THE COMPANY 

 Subject to certain limitations imposed by the TIA,
the Trustee under the Indenture, in its individual or any other capacity, may become the owner or pledgee of Notes and may otherwise deal with and collect obligations owed to it by the Company or its Affiliates and may otherwise deal with the
Company or its Affiliates with the same rights it would have if it were not Trustee. 
  

	 	14.	NO PERSONAL LIABILITY OF DIRECTORS, OFFICERS, EMPLOYEES AND STOCKHOLDERS 

 No past,
present or future director, officer, employee, stockholder or incorporator, as such, of the Company or any successor corporation shall have any liability for any obligations of the Company under the Notes or the Indenture or for any claim based on,
in respect of or by reason of such obligations or their creation. Each Holder by accepting a Note waives and releases all such liability. The waiver and release are part of the consideration for the issue of the Notes. 

 

	 	15.	GOVERNING LAW 

 THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK BUT WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF CONFLICTS OF LAW TO THE EXTENT THAT THE 

  
 A-9 

 
APPLICATION OF THE LAWS OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY. 
  

	 	16.	AUTHENTICATION 

 This Note endorsed hereon shall not be valid until an authorized
signatory of the Trustee (or an authenticating agent) manually signs the certificate of authentication on the other side of this Note. 
  

	 	17.	ABBREVIATIONS 

 Customary abbreviations may be used in the name of a Holder or an
assignee, such as TEN COM (=tenants in common), TEN ENT (=tenants by the entireties), JT TEN (=joint tenants with rights of survivorship and not as tenants in common), CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors Act). 

 

	 	18.	CUSIP NUMBERS 

 Pursuant to a recommendation promulgated by the Committee on Uniform
Security Identification Procedures the Company has caused CUSIP numbers to be printed on the Notes and has directed the Trustee to use CUSIP numbers in notices of redemption as a convenience to Holders. No representation is made as to the accuracy
of such numbers either as printed on the Notes or as contained in any notice of redemption and reliance may be placed only on the other identification numbers placed thereon. 

The Company shall furnish to any Holder upon written request and without charge to the Holder a copy of the Indenture which has in it the text
of this Note in larger type. Requests may be made to: 
 MGM RESORTS INTERNATIONAL 

3600 Las Vegas Boulevard South, Las Vegas, Nevada 89109 

Attention of Secretary 

  
 A-10 

 ASSIGNMENT FORM 

To assign this Note, fill in the form below: 
 I or we assign
and transfer this Note to 
 (Print or type assignee’s name, address and zip code) 

 
 (Insert assignee’s soc. sec. or tax I.D. No.) 

and irrevocably appoint                      agent
to transfer this Note on the books of the Company. The agent may substitute another to act for him. 
  

							
	Date:                     	 	Your Signature:	 	  
	 	

  

			
	Signature Guarantee:	  	  

		  	(Signature must be guaranteed by a participant in a recognized signature guarantee medallion program)

 Sign exactly as your name appears on the other side of this Note. 

  
 A-11 

 SCHEDULE OF INCREASES OR DECREASES IN GLOBAL NOTE 

The following increases or decreases in this Global Note have been made: 

 

									
	 Date of Exchange
	 	 Amount of decrease in
Principal Amount of

this Global Note
	 	 Amount of increase in

Principal Amount of
 this Global
Note
	 	 Principal amount of

this Global Note
 following such

decrease or increase
	 	 Signature of authorized
signatory of Trustee or

Notes Custodian

		 		 		 		 	
		 		 		 		 	
		 		 		 		 	

  
 A-12 

 EXHIBIT II 

FORM OF INSTRUMENT OF JOINDER 

(INDENTURES) 
 THIS INSTRUMENT OF
JOINDER (“Joinder”) is executed as of             , by the undersigned Subsidiaries of MGM RESORTS INTERNATIONAL (“MGM”) (the undersigned,
the “Joining Parties”), with reference to the following guaranties: 
 1. Guarantee of 7.00%
Debentures Due 2036. The Guarantee dated as of April 25, 2005, made by MGM and certain subsidiaries of MGM in favor of Wells Fargo Bank (Colorado), N.A. (the “7.00% Debentures Guarantee”), for the Holders of
Mandalay’s 7.00% Debentures due 2036 issued pursuant to the Supplemental Indenture dated as of November 15, 1996 to the Indenture dated as of November 15, 1996, between Mandalay and Wells Fargo Bank (Colorado), N.A., as Trustee (the
“7.00% Debentures Indenture”). 
 2. Guarantee of 6.70% Debentures Due 2096. The Guarantee
dated as of April 25, 2005, made by MGM and certain subsidiaries of MGM in favor of Wells Fargo Bank (Colorado), N.A. (the “6.70% Debentures Guarantee”), for the Holders of Mandalay’s 6.70% Debentures due 2096
issued pursuant to the Supplemental Indenture dated as of November 15, 1996 to the Indenture dated as of February 1, 1996, between Mandalay and Wells Fargo Bank (Colorado), N.A., as Trustee (the “6.70% Debentures
Indenture”). 
 3. Guarantee of 6.625% Notes Due 2015. The Guarantee dated as of June 20, 2005, made
by certain subsidiaries of MGM in favor of U.S. Bank National Association (the “June 6.625% Guarantee”), for the Holders of MGM’s 6.625% Senior Notes due 2015 (including such 6.625% Senior Notes issued in any exchange
offer for the 6.625% Senior Notes due 2015) issued pursuant to the Indenture dated as of June 20, 2005, among MGM, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the “June 6.625%
Indenture”). 
 4. Guarantee of 6.625% Notes Due 2015. The Guarantee dated as of September 9, 2005,
made by certain subsidiaries of MGM in favor of U.S. Bank National Association (the “September 6.625% Guarantee”), for the Holders of MGM’s 6.625% Senior Notes due 2015 issued pursuant to the June 6.625% Indenture,
as supplemented by the First Supplement Indenture dated as of September 9, 2005, among MGM, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee. 

5. Guarantee of 6.875% Notes Due 2016. The Guarantee dated as of April 5, 2006, made by certain subsidiaries of MGM
in favor of U.S. Bank National Association (the “6.875% Guarantee”), for the Holders of MGM’s 6.875% Senior Notes due 2016 (including such 6.875% Senior Notes due 2016 issued in any exchange offer for the 6.875% Senior
Notes due 2016) issued pursuant to the Indenture, dated April 5, 2006, among MGM, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee. 

6. Guarantee of 7.625% Notes Due 2017. The Guarantee dated as of December 21, 2006, made by certain subsidiaries of
MGM in favor of U.S. Bank National Association (the “7.625% Guarantee”), for the Holders of MGM’s 7.625% Senior Notes due 2017 issued pursuant to the Indenture dated as of December 21, 2006 (the “December
7.625% Indenture”), between MGM and U.S. Bank National Association, as Trustee (the “7.625% Trustee”), as supplemented 

 
by the First Supplemental Indenture dated as of December 21, 2006, among MGM, the subsidiary guarantors party thereto and the 7.625% Trustee. 

7. Guarantee of 7.50% Notes Due 2016. The Guarantee dated as of May 17, 2007, made by certain subsidiaries of MGM
in favor of U.S. Bank National Association (the “7.50% Guarantee”), for the Holders of MGM’s 7.50% Senior Notes due 2016 issued pursuant to the December 7.625% Indenture, as supplemented by the Second Supplemental
Indenture dated as of May 17, 2007, among MGM, the subsidiary guarantors party thereto and the 7.625% Trustee. 
 8.
Guarantee of 11.375% Senior Notes Due 2018. The Subsidiary Guarantee dated as of September 22, 2009, made by certain subsidiaries of MGM in favor of U.S. Bank National Association (the “11.375% Guarantee”), for
the Holders of MGM’s 11.375% Senior Notes due 2018 issued pursuant to the Indenture dated as of September 22, 2009, among MGM, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the “11.375%
Indenture”). 
 9. Guarantee of 4.25% Convertible Senior Notes Due 2015. The Subsidiary Guarantee dated
as of April 20, 2010 made by certain subsidiaries of MGM MIRAGE in favor of U.S. Bank National Association (the “4.25% Guarantee”), for the holders of MGM MIRAGE’s 4.25% Convertible Senior Notes due 2015 issued
pursuant to the Indenture dated as of April 20, 2010 among MGM MIRAGE, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the “4.25% Indenture”). 

10. Guarantee of 10% Senior Notes Due 2016. The Subsidiary Guarantee dated as of October 28, 2010 made by certain
subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “10% Guarantee”), for the holders of MGM Resorts International’s 10% Senior Notes due 2016 issued pursuant to the Indenture dated
as of October 28, 2010 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the “10% Indenture”). 

11. Guarantee of 4.25% Convertible Senior Notes Due 2015 (Emerging Corporate Series). The Subsidiary Guarantee dated as
of June 17, 2011 made by certain subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “Emerging Corporate Series Guarantee”), for the holds of MGM Resorts International’s 4.25%
Convertible Senior Notes due 2015 (Emerging Corporate Series) issues pursuant to the Indenture dated as of June 27, 2011 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee
(the “Emerging Corporate Series Indenture”). 
 12. Guarantee of 8.625% Senior Notes Due 2019.
The Subsidiary Guarantee dated as of January 17, 2012 made by certain subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “8.625% Guarantee”), for the holders of MGM Resorts
International’s 8.625% Senior Notes due 2019 issued pursuant to the Indenture dated as of January 17, 2012 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the
“8.625% Indenture”). 
 13. Guarantee of 7.75% Senior Notes Due 2022. The Guarantee made by
certain subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “7.75% Guarantee”), for the holders of MGM Resorts International’s 7.75% Senior Notes due 2022 issued pursuant to the base
indenture dated as of March 22, 2012 (the “Base Indenture”) between MGM Resorts International and U.S. Bank National Association, as Trustee, as 

  
 -2- 

 
supplemented by the First Supplemental Indenture, dated as of March 22, 2012 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank National Association, as
Trustee (the “7.75% Indenture”). 
 14. Guarantee of 6.75% Senior Notes Due 2020. The
Guarantee made by certain subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “2012 6.75% Guarantee”), for the holders of MGM Resorts International’s 6.75% Senior Notes due 2020
issued pursuant to the Indenture dated as of September 19, 2012 between MGM Resorts International and U.S. Bank National Association, as Trustee (the “2012 6.75% Indenture”). 

15. Guarantee of 5.250% Senior Notes Due 2020. The Guarantee made by certain subsidiaries of MGM Resorts International
in favor of U.S. Bank National Association (the “5.250% Guarantee”), for the holders of MGM Resorts International’s 5.250% Senior Notes due 2020 issued pursuant to the Indenture dated as of March 22, 2012 between
MGM Resorts International and U.S. Bank National Association, as Trustee, as supplemented by the Fourth Supplemental Indenture, dated as of December 19, 2013 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank
National Association, as Trustee (the “5.250% Indenture”). 
 16. Guarantee of 6.000% Senior Notes
Due 2023. The Guarantee made by certain subsidiaries of MGM Resorts International in favor of U.S. Bank National Association (the “6.000% Guarantee”), for the holders of MGM Resorts International’s 6.000% Senior
Notes due 2023 issued pursuant to the Indenture dated as of March 22, 2012 between MGM Resorts International and U.S. Bank National Association, as Trustee, as supplemented by the Fourth Supplemental Indenture, dated as of November 25,
2014 among MGM Resorts International, the subsidiary guarantors party thereto and U.S. Bank National Association, as Trustee (the “6.000% Indenture”). 

17. Guarantee of 6.625% Senior Notes Due 2021. The Guarantee made by certain subsidiaries of MGM Resorts International
in favor of U.S. Bank National Association (the “December 6.625% Guarantee”), for the holders of MGM Resorts International’s 6.625% Senior Notes due 2021 issued pursuant to the Indenture dated as of March 22, 2012
between MGM Resorts International and U.S. Bank National Association, as Trustee, as supplemented by the Second Supplemental Indenture, dated as of December 20, 2012 among MGM Resorts International, the subsidiary guarantors party thereto and
U.S. Bank National Association, as Trustee (the “December 6.625% Indenture”). 
 (The 7.00% Debentures Guarantee,
the 6.70% Debentures Guarantee, the June 6.625% Guarantee, the September 6.625% Guarantee, the 6.875% Guarantee, the 7.625% Guarantee, the 7.50% Guarantee, the 11.375% Guarantee, the 4.25% Guarantee, the 10% Guarantee, the Emerging
Corporate Series Guarantee, the 8.625% Guarantee, the 7.75% Guarantee, the 2012 6.75% Guarantee, the 5.250% Guarantee, the 6.000% Guarantee and the December 6.625% Guarantee are collectively referred to herein as the
“Guarantees.”) 
 RECITALS 

Each Joining Party has Incurred Indebtedness or has guaranteed or secured Indebtedness of MGM, and as such is required by the terms thereof to
become a party to the Guarantees (capitalized terms used but not defined herein having the meaning ascribed to such terms in the 6.000% Indenture). 

  
 -3- 

 NOW THEREFORE, each Joining Party jointly and severally agrees as follows: 

AGREEMENT 
 1. By this
Joinder, each Joining Party becomes a party to each of the Guarantees as an additional joint and several “Guarantor.” Each Joining Party agrees that, upon its execution hereof, it will become a Guarantor under each of the Guarantees and
will be bound by all terms, conditions, and duties applicable to a Guarantor under each of the Guarantees. 
 2. The effective date of this
Joinder is             . 
 3. Notice of acceptance hereof is waived. 

  
 -4- 

 IN WITNESS WHEREOF, each of the undersigned has executed this Joinder by its duly authorized
officer as of the date first written above. 
  

			
	“Joining Parties”
		
	By:	 	  

		
	By:	 	  

  
 -5-HCR3 8-K/A 112514 Exh 10.1

EXHIBIT 10.1

REAL ESTATE PURCHASE AGREEMENT
AND ESCROW INSTRUCTIONS
THIS REAL ESTATE PURCHASE AGREEMENT and ESCROW INSTRUCTIONS (this “Agreement”) is entered into as of this 18th day of November, 2014 (the “Effective Date”), by and between GSHS ENTERPRISES OPERATING #1, INC., a Delaware corporation (“Enterprises”), GOOD SHEPHERD HEALTH SYSTEM, INC., a Texas non-profit corporation (“Hospital”), GOOD SHEPHERD ENTERPRISES, INC., a Texas non-profit corporation (“GSE”), EL CASA ORTHOPAEDICA, INC., a Texas corporation (“El Casa”), and LONGVIEW CASA NUEVA, INC., a Texas corporation (“Casa Nueva”) (Enterprises, Hospital, GSE, El Casa and Casa Nueva, individually or collectively, as the context requires, “Seller”); GAHC3 EAST TEXAS MOB PORTFOLIO, LLC, a Delaware limited liability company, its successors and assigns (“Buyer”); and CENTRAL TITLE COMPANY (“Escrow Agent”).  

RECITALS
I.    Each Seller owns the interest in the real property as listed on Schedule I.
II.    Seller desires to sell to Buyer, and Buyer desires to purchase from Seller, the Property (as hereinafter defined) on the terms and conditions contained in this Agreement.

AGREEMENT
NOW, THEREFORE, in consideration of the promises and mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto do hereby agree as follows:

ARTICLE 1 
SALE OF PROPERTY
1.1    Property To Be Sold.  Subject to the terms and provisions hereof, Seller agrees to sell to Buyer, and Buyer agrees to purchase from Seller, upon the terms and conditions of this Agreement:
1.1.1    (i) Fee simple title to all of the land located at 409 N. 6th Street, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-1” attached hereto (collectively, the “GSHS Outpatient Clinic – 409 N. 6th Land”); (ii) fee simple title to all of the land located at 2101 West Loop 281, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all 

1

right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-1” attached hereto (collectively, the “GSHS Outpatient Clinic – 2101 Land”); and (iii) fee simple title to all of the land located at 304 University Avenue, Marshall, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-1” attached hereto (collectively, the “GSMC Marshall Professional Building Land”) (the foregoing collectively, the “Fee Land”);
1.1.2    (i) A ground leasehold interest in to all of the land located at 701 East Marshall, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-2” attached hereto (collectively, the “GSMC-Longview Medical Plaza I Land”);  (ii) a ground leasehold interest in to all of the land located at 703 East Marshall, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-2” attached hereto (collectively, the “GSMC-Longview Medical Plaza II Land”); and (iii) a ground leasehold interest in to all of the land located at 705 East Marshall, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-2” attached hereto (collectively, the “GSMC-Longview Medical Plaza III Land”)  (the foregoing collectively, the “Existing Ground Lease Land”) 
1.1.3    (i) A ground leasehold interest in to all of the land located at 621 N 4th Street, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-3” attached hereto (collectively, the “GSMC Customer Service Center Land”);  (ii) a ground leasehold interest in to all of the land located at 701 N. 6th Street, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in 

2

connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-3” attached hereto (collectively, the “GSMC Occupational Medicine Building Land”); and (iii) a ground leasehold interest in to all of the land located at 3133 S. Good Shepherd Way, Longview, Texas, together with all privileges, rights, easements and appurtenances belonging to such land, including without limitation, all right, title and interest (if any) of Seller in and to any streets, alleys, passages, and other rights-of-way or appurtenances included in, adjacent to or used in connection with such land and all right, title and interest (if any) of Seller in all development rights appurtenant to such land, all as more particularly described on Exhibit “A-3” attached hereto (collectively, the “GS Institute for Healthy Living Land”) (the foregoing, collectively, the “New Ground Lease Land”) (the Existing Ground Lease Land and the New Ground Lease Land, collectively, the “Ground Lease Land”; the Ground Lease Land and Fee Land, collectively, the “Land”); 
1.1.4    Fee simple title to all buildings, structures and other improvements and all fixtures, systems and facilities located on the Land (collectively, the “Improvements”);
1.1.5    All of Enterprises’ right, title and interest, as tenant, in and to that certain Amended and Restated Ground Lease Agreement by and between Hospital as landlord and Enterprises as tenant, dated as of September 23, 2013 (the “Existing Ground Lease”; the Land, the Improvements, and all of Seller’s right, title and interest in and to the Existing Ground Lease as tenant, are herein collectively referred to as the “Real Property”) (the Existing Ground Lease and the New Ground Lease, collectively, the “Ground Leases”); 
1.1.6    All leases, including all amendments thereto (collectively, the “Tenant Leases”), with all persons leasing the Real Property or any part thereof (each, a “Tenant, and collectively, the “Tenants”), all of which as of the Effective Date are reflected on Exhibit “B” attached hereto, and any entered into in accordance with the terms hereof prior to Closing, together with all security deposits, other deposits held in connection with the Tenant Leases, and all of Seller’s right title and interest in and to all guarantees, letters of credit and other similar credit enhancements providing additional security for such Tenant Leases; 
1.1.7    Seller’s right, title and interest in and to: (i) any and all tangible personal property owned by Seller located on and/or used exclusively in connection with the Real Property and listed on the schedule to be prepared by Seller and delivered to Buyer prior to the expiration of the Due Diligence Period (collectively, the “Tangible Personal Property”); and (ii) any and all plans and specifications, architectural and/or engineering drawings (the “Intangible Personal Property” and collectively with the Tangible Personal Property, the “Personal Property”);
1.1.8    A non-exclusive right to enforce any and all warranties and guaranties relating to the Improvements (collectively, the “Warranties”);
1.1.9    All use, occupancy, building and operating licenses, permits, approvals, and development rights relating to the Property to the extent the same are not required to be held by Seller as the occupant of the Property (collectively, the “Permits”);

3

1.1.10    All service contracts relating to the operation of the Property as of the Effective Date or entered into in accordance with this Agreement prior to Closing (collectively, the “Contracts”), subject to Section 3.4.
1.1.11    The Real Property, Personal Property, Warranties, Permits, Contracts and other property described in this Section 1.1 are hereinafter sometimes referred to collectively as the “Property”.  
1.1.12    All of the Property related to the GSMC-Longview Medical Plaza I Land shall be referred to herein collectively as the “GSMC-Longview Medical Plaza I Property”; all of the Property related to the GSMC-Longview Medical Plaza II Land shall be referred to herein collectively as the “GSMC-Longview Medical Plaza II Property”;  all of the Property related to the GSMC-Longview Medical Plaza III Land shall be referred to herein collectively as the “GSMC-Longview Medical Plaza III Property”; all of the Property related to the GS Institute for Healthy Living Land shall be referred to herein collectively as the “GS Institute for Healthy Living Property”; all of the Property related to the GSHS Outpatient Clinic – 409 N. 6th Land shall be referred to herein collectively as the “GSHS Outpatient Clinic – 409 N. 6th Property”; all of the Property related to the GSHS Outpatient Clinic – 2101 Land shall be referred to herein collectively as the “GSHS Outpatient Clinic – 2101 Property”; all of the Property related to the GSMC Customer Service Center Land shall be referred to herein collectively as the “GSMC Customer Service Center Property”; all of the Property related to the GSMC Occupational Medicine Building Land shall be referred to herein collectively as the “GSMC Occupational Medicine Building Property”; and all of the Property related to the GSMC Marshall Professional Building Land shall be referred to herein collectively as the “GSMC Marshall Professional Building Property”.  
1.1.13    The GSMC-Longview Medical Plaza I Property, GSMC-Longview Medical Plaza II Property and the GSMC-Longview Medical Plaza III Property shall be referred to herein collectively as the “Existing Ground Lease Property”.  The GS Institute for Healthy Living Property, the GSMC Customer Service Center Property and the GSMC Occupational Medicine Building Property shall be referred to herein collectively as the “New Ground Lease Property”.  The Existing Ground Lease Property and the Ground Lease Property shall be referred to herein collectively as the “Ground Lease Property”.  
1.1.14    The GSHS Outpatient Clinic – 409 N. 6th Property, the GSHS Outpatient Clinic – 2101 Property and the GSMC Marshall Professional Building Property shall be referred to herein collectively as the “Fee Property”.
1.2    Purchase and Sale.  Buyer agrees to purchase from Seller, and Seller agrees to sell to Buyer, all of Seller’s right, title and interest in and to the Property, on the terms and conditions set forth in this Agreement.
1.3    Purchase Price.  The purchase price for the Property shall be Sixty-Nine Million Two Hundred Seventy-Eight Thousand Four Hundred and No/100 Dollars ($69,278,400.00) (the “Purchase Price”), allocated to each Property as set forth on Schedule 1.3.  The Purchase Price shall be paid to Seller by Buyer on the Closing Date (as defined below), plus or minus all adjustments or credits as set forth herein, by wire transfer of immediately available federal funds.

4

1.4    Deposit And Escrow.

1.4.1    Within three (3) Business Days after the latter of (a) the Effective Date or (b) the receipt of all of the Property Information (as described in Section 3.3), Buyer shall deliver to Escrow Agent at the following address: 2002 Judson Road, Suite 300, Longview, Texas 75605 Attn: Betty Lamb, a deposit in the amount of One Million and No/100 Dollars ($1,000,000.00) (together with any interest thereon, the “Deposit”). The Deposit shall be held in an insured, interest-bearing account with interest accruing for the benefit of Buyer.  The Escrow Agent may conclusively rely upon and act in accordance with any certificate, instructions, notice, letter, e-mail, facsimile, or other written instrument believed to be genuine and signed or communicated by the proper party or parties.  
1.4.2    The Deposit shall be applied to the Purchase Price if the Closing (as defined below) occurs.  Upon delivery of Buyer’s Approval Notice (as defined below), the Deposit shall not be returned to Buyer unless escrow fails to close due to (i) Seller’s breach or default under this Agreement, (ii) a failure of a representation or warranty by Seller to be true and correct as of the Closing, (iii) a failure of a condition precedent set forth in Section 5.4, or (iv) any other reason that entitles Buyer to have the Deposit returned as provided for herein.  In the event Buyer shall elect to terminate or shall be deemed to have terminated this Agreement during the Due Diligence Period (as defined below), or as otherwise provided in this Agreement, the Deposit (and any interest accrued thereon) shall be returned to Buyer as provided in Section 3.6.   

1.4.3    Independent Contract Consideration. One Hundred Dollars ($100.00) of the Deposit will be non-refundable to Buyer and shall be immediately distributed to Seller as independent consideration for Seller entering into this Agreement.  Such independent consideration is fully earned by Seller, is non-refundable under any circumstances, but will be applied to the Purchase Price at Closing. 

1.5    Closing Date.  The closing (“Closing”) means the date Escrow Agent confirms that all conditions to closing and insuring title as of such date have been satisfied and each party has authorized closing and disbursement and Escrow Agent disburses funds and insures title in favor of Buyer.  Subject to the terms and conditions of this Agreement, the Closing shall take place through an escrow with Escrow Agent on the day which is the earlier to occur of (i) fifteen (15) days from and after the expiration of the Due Diligence Period; or (ii) December 5, 2014 (as the same may be held earlier or extended in accordance herewith, the “Closing Date”).
ARTICLE 2 
TITLE AND SURVEY
2.1    Title and Survey.  Buyer shall, at Seller’s sole cost and expense, obtain a preliminary title report or commitment for the Real Property (the “Preliminary Report”) from Escrow Agent (referred to herein in such capacity as the “Title Company”), together with legible copies of all recorded encumbrances and exceptions to title.  Buyer may, in its sole and absolute discretion, at Buyer’s sole cost and expense conduct UCC searches covering Seller and the Property (the “UCC Searches”).  Seller shall provide to Buyer an update to the existing 

5

survey of the Real Property by a licensed surveyor or registered professional engineer (the “Survey”).
2.2    Required Title Condition.  Title to the Property shall be conveyed to Buyer subject only to the following matters:  (i) existing Tenant Leases; (ii) current, non-delinquent real estate taxes and assessments; (iii) the matters set forth in the Preliminary Report and approved by Buyer during the Due Diligence Period, in Buyer’s sole and absolute discretion, as part of the Title Policy (as defined below); (iv) the Leaseback Leases, as defined in Section 5.8.2 below; and any other matters approved in writing by Buyer, in Buyer’s sole and absolute discretion (collectively, the “Required Title Condition”).  Notwithstanding anything contained in this Section 2.2 to the contrary, Seller shall be obligated, at its sole cost and expense, to satisfy, at or prior to Closing, all monetary encumbrances affecting the Property evidenced by deeds of trust, tax liens, judgments, mechanics’ liens and/or other liens or charges in a fixed sum.
ARTICLE 3 
INSPECTION AND DUE DILIGENCE PERIOD
3.1    Access.  From and after the Effective Date through the Closing, (i) Buyer, personally or through its authorized agent or representatives, shall be entitled, upon reasonable advance notice to Seller (which notice may be given by telephone to Ray Delk at (903) 315-2256), to enter upon the Property during normal business hours and shall have the right to make such investigations, including appraisals, tenant interviews, interviews of government officials, engineering studies, soil tests, environmental studies (limited to Phase I tests) and underwriting analyses, as Buyer deems necessary or advisable, and (ii) Seller shall, at Seller’s expense, turn on, run, and maintain, without any interruption in service, electrical power and all utilities to the Property (including, without limitation, plumbing, heating and air conditioning systems) to facilitate Buyer’s testing and investigations thereof.  Seller shall have the right to accompany Buyer on any of such inspections, interviews or other communications; provided however, that in no event will Buyer be permitted to perform any invasive physical or environmental testing of the Properties beyond a customary Phase I environmental investigation without (a) obtaining the prior written consent of Seller, which consent may be withheld in Seller's sole and absolute discretion, and (b) entering into a confidentiality and entry agreement acceptable to Seller with respect to such testing.  Should Buyer so desire to perform any such invasive testing, Buyer shall provide Seller for Seller's consideration a written request detailing the nature of the proposed testing and the reasoning for requiring such testing at least five (5) Business Days prior to the date that Buyer wishes to conduct such testing.  Buyer hereby agrees to indemnify and hold Seller harmless from any physical damages arising out of inspections and investigations by Buyer or its agents or independent contractors, but in no event shall the indemnity of this Section include the discovery of pre-existing conditions disclosed by Buyer’s investigations.  The rights granted to Buyer pursuant to this Section 3.1 shall be exercised only after Buyer has provided to Seller a certificate of liability insurance, naming Seller as additional insureds, with at least $1,000,000.00 single limit coverage.
3.2    Due Diligence Period.  Buyer shall have from the Effective Date until 5:00 p.m., Dallas, Texas time, on November 21, 2014 (the “Due Diligence Period”) to physically inspect the Property, review the economic data, conduct appraisals, perform examinations of the physical condition of the Improvements, examine the Property for the presence of Hazardous 

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Materials (as defined below), and to otherwise conduct such due diligence review of the Property and all of the items to be furnished by Seller to Buyer pursuant to Section 3.3, and all records and other materials related thereto as Buyer deems appropriate.
3.3    Items Provided by Seller.  Buyer acknowledges that Seller has delivered to Buyer accurate and complete copies of all of the information in Seller's possession or control set forth on Exhibit “C” (collectively, the “Property Information”).  To the extent that any of the Property Information is not available as of the date hereof but becomes available between the date hereof and Closing, Seller shall promptly deliver such Property Information to Buyer as and when it comes into the possession or control of Seller.
3.4    Property Contracts.  Buyer shall not be required to assume any Contract of Seller at Closing.  Effective as of the Closing Date, Seller, at Seller’s sole cost and expense, shall terminate any Contracts that Buyer does not elect to assume, in Buyer’s sole and absolute discretion, by written notification to Seller prior to the expiration of the Due Diligence Period; provided, however, Seller shall not be required to terminate, and Buyer shall not be required to assume, any Contract that Seller (or its Affiliate) elects to keep in effect after Closing relating to Seller's (or its Affiliate's) maintenance obligations under the Leaseback Leases.  Notwithstanding anything to the contrary contained herein, Seller shall terminate, at Seller’s sole cost and expense, any and all leasing commission agreements and management agreements affecting the Property effective on or before the Closing Date.  
3.5    Buyer’s Possible Early Termination.  During the Due Diligence Peirod, Buyer shall have the right to approve or disapprove, in Buyer’s sole and absolute discretion, the Property, the Property Information, or any other matter whatsoever regarding the Property.  At any time prior to the expiration of the Due Diligence Period, Buyer may provide written notice to Seller disapproving the Property for purposes of this Article 3 (a “Disapproval Notice”). Unless Buyer provides Seller with a written notice of its approval of the Property (an “Approval Notice”) prior to the expiration of the Due Diligence Period, this Agreement shall automatically terminate and the provisions of Section 3.6 shall apply.  Notwithstanding anything herein to the contrary, an Approval Notice shall not be deemed to be a waiver by Buyer of any other rights of termination it may have as set forth herein.
3.6    Consequences of Buyer’s Early Termination.  Unless Buyer provides an Approval Notice to Seller pursuant to Section 3.5, this Agreement shall immediately terminate upon the expiration of the Due Diligence Period.  If Buyer provides a Disapproval Notice to Seller pursuant to Section 3.5, this Agreement shall immediately terminate upon the giving of such notice.  In the event of either of the foregoing, the parties shall be released from all further obligations under this Agreement (except with respect to any provisions that by their terms survive a termination of this Agreement); provided, however, that if Seller is in default hereunder at the time of such termination, Section 6.2 shall additionally apply.  Escrow Agent shall pay the entire Deposit to Buyer not later than one (1) Business Day following termination of this Agreement.  No notice to Escrow Agent from Seller shall be required for the release of the Deposit to Buyer by Escrow Agent under this Section, and the Deposit shall be released and delivered to Buyer upon Escrow Agent’s receipt of Buyer’s confirmation of termination of the Agreement pursuant to this Article 3, despite any objection or potential objection by Seller.

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ARTICLE 4 
REPRESENTATIONS, WARRANTIES AND COVENANTS
4.1    Seller’s Representations.  Seller warrants and represents to Buyer as follows:
4.1.1      Each Seller has full power and authority to enter into this Agreement, to perform this Agreement, and to consummate the transactions contemplated hereby.  The execution, delivery and performance of this Agreement and all documents contemplated hereby by each Seller have been duly and validly authorized by all necessary action on the part of each Seller, and all required consents and approvals have been duly obtained and will not result in a breach of any of the terms or provisions of, or constitute a default under any indenture, agreement or instrument to which each Seller is a party.  This Agreement is a legal, valid and binding obligation of each Seller, enforceable against each Seller in accordance with its terms, subject to the effect of applicable bankruptcy, insolvency, reorganization, arrangement, moratorium or other similar laws affecting the rights of creditors generally. 
4.1.2    Seller owns fee simple title in the Fee Property and the New Ground Lease Property, a leasehold interest in the Existing Ground Lease Property, subject only to the conditions of title set forth in the Preliminary Report.  There are no outstanding rights of first refusal, rights of reverter, or options to purchase relating to the Property or any interest therein, other than that certain right to consent to Seller’s assignment of the Existing Ground Lease in favor of Hospital (the “Consent Right”), as set forth in the Existing Ground Lease, and that certain right of first refusal and right of first offer in favor of Hospital (the “ROFR/ROFO Right”) set forth in the Existing Ground Lease.  There are no unrecorded or undisclosed documents or other matters which affect title to the Property.  Subject to the Tenant Leases, Seller has enjoyed the continuous and uninterrupted quiet possession, use and operation of the Property, without material complaint or objection by any person.  
4.1.3    Seller is not a “foreign person” within the meaning of Section 1445(f) of the Internal Revenue Code of 1986, as amended (the “Code”).
4.1.4    Neither Seller nor any of its affiliates, nor any of their respective partners, members, shareholders or other equity owners, and none of their respective employees, officers, directors, representatives or agents is, nor will they become, a person or entity with whom United States persons or entities are restricted from doing business under regulations of the Office of Foreign Asset Control (“OFAC”) of the Department of the Treasury (including those named on OFAC’s Specially Designated and Blocked Persons List) or under any statute, executive order (including, without limitation, the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action, and is not and will not engage in any dealings or transactions or be otherwise associated with such persons or entities.
4.1.5    No authorization, consent or approval of any governmental authority (including, without limitation, courts) is required for the execution and delivery by Seller of this Agreement or the performance of its obligations hereunder.

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4.1.6    There are no actions, suits or proceedings pending, or, to the best of Seller’s knowledge, threatened against the Property or any portion thereof, or against Seller, that would impair Seller's ability to perform its obligations under this Agreement.
4.1.7    Seller has not (i) made a general assignment for the benefit of creditors, (ii) filed any voluntary petition in bankruptcy or suffered the filing of an involuntary petition by Seller’s creditors, (iii) suffered the appointment of a receiver to take possession of all or substantially all of Seller’s assets, (iv) suffered the attachment or other judicial seizure of all, or substantially all, of Seller’s assets, (v) admitted in writing its inability to pay its debts as they come due or (vi) made an offer of settlement, extension or composition to its creditors generally, except as previously disclosed to Buyer.
4.1.8    Neither the execution, delivery or performance of this Agreement nor compliance herewith (i) conflicts or will conflict with or results or will result in a breach of or constitutes or will constitute a default under (a) the articles of incorporation and by-laws or other organization certificate and/or partnership or operating agreement of Seller or (b) any law or any order, writ, injunction or decree of any court or governmental authority applicable to Seller, or (ii) results in the creation or imposition of any lien, charge or encumbrance upon its property pursuant to any such agreement or instrument.
4.1.9    Seller has not entered into any material commitments or agreements with any governmental authorities or agencies affecting the Property, except as previously disclosed to Buyer.
4.1.10    There are no pending or, to the best of Seller’s knowledge, threatened condemnation proceedings relating to the Property.  
4.1.11    Seller has delivered or made available to Buyer true and complete copies of the Tenant Leases.  The list of Tenant Leases set forth on Exhibit “B” attached hereto is true, correct and complete in all material respects.  Each of the Tenant Leases is in full force and effect.  Seller is “landlord” or “lessor” under the Tenant Leases and is entitled to assign the Tenant Leases to Buyer.  Except as noted in the Rent Roll delivered pursuant to Section 3.3, or the estoppel certificates delivered to Buyer pursuant to Section 5.4.2, to Seller's knowledge (i) neither Seller nor any Tenant is in default under its respective Tenant Lease, (ii) there exists no condition or circumstance or written notice of any condition or circumstance which, with the passage of time, would constitute a default under any of the Tenant Leases by any party, (iii) no tenant has asserted any claim of offset or other defense in respect of its or Seller’s obligations under its respective Tenant Lease, (iv) no tenant has filed (and has not given notice to Seller of its intention to file) for bankruptcy or taken any similar debtor-protection measure, and (v) no tenant has discontinued operations at the Property or given notice to Seller of its intention to do so.
4.1.12    Seller has delivered or made available to Buyer true and complete copies of all Contracts.  Seller has not, within the last year, received any written notice of any default under any Contract that has not been cured or waived.

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4.1.13    There are no tenant improvement allowances, non-monetary tenant improvement obligations of Landlord, leasing commissions and/or rent concessions with respect to the current term of any Tenant Lease; except as disclosed in the Tenant Leases or on Schedule 4.1.13 attached hereto. 
4.1.14    Seller has not received any written notice from, and, to the best of Seller’s knowledge, there are no grounds for, any association, declarant or easement holder requiring the correction of any condition with respect to the Property, or any part thereof, by reason of a violation of any other restrictions or covenants recorded against the Property.  Seller is not in default under any such document, nor, to the best of Seller’s knowledge, is any other party subject to any such document.
4.1.15    Seller has not received any written notice of an intention to revoke any certificate of occupancy, license, or permit issued in connection with the Property.
4.1.16    To Seller’s knowledge and except as disclosed in any Phase I Environmental Site Assessment obtained by or provided to Buyer, there are no Hazardous Materials (as defined below) stored on, incorporated into, located on, present in or used on the Property in violation of, and requiring remediation under, any laws, ordinances, statutes, codes, rules or regulations.  For purposes of this Agreement, the term “Hazardous Materials” shall mean any substance which is or contains:  (i) any “hazardous substance” as now or hereafter defined in Section 101(14) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (42 U.S.C. Section 9601 et seq.) (“CERCLA”) or any regulations promulgated under CERCLA; (ii) any “hazardous waste” as now or hereafter defined in the Recourse Conservation and Recovery Act (42 U.S.C.  Section 6901 et seq.) (“RCRA”) or regulations promulgated under RCRA; (iii) any substance regulated by the Toxic Substances Control Act (15 U.S.C.  Section 2601 et.  seq.); (iv) gasoline, diesel fuel or other petroleum hydrocarbons; (v) asbestos and asbestos containing materials, in any form, whether friable or non-friable; (vi) polychlorinated biphenyls; (vii) radon gas: and (viii) any additional substances or materials which are now or hereafter classified or considered to be hazardous or toxic under any laws, ordinances, statutes, codes, rules, regulations, agreements, judgments, orders and decrees now or hereafter enacted, promulgated, or amended, of the United States, the state, the county, the city or any other political subdivision in which the Property is located and any other political subdivision, agency or instrumentality exercising jurisdiction over the owner of the Property, the Property or the use of the Property relating to pollution, the protection or regulation of human health, natural resources or the environment, or the emission, discharge, release or threatened release of pollutants, contaminants, chemicals or industrial, toxic or hazardous substances or waste into the environment (including, without limitation, ambient air, surface water, ground water or land or soil).  Seller has received no written notice that the Property or any portion thereof contains any form of toxic mold.  To Seller's knowledge, no treatment has been undertaken by Seller with respect to termite or similar infestation, fungi, or dry rot on the Real Property other than normal periodic service.  
4.1.17    To Seller's knowledge, there are no claims pending or unpaid bills which would result in the creation of any lien on the Real Property for any improvements completed or in progress, including, but not limited to, water, sewage, street paving, electrical or power improvements.  There are no delinquent bills or claims in connection with any repair of the Real 

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Property or other work or material purchased in connection with the Property which will not be paid by or at the Closing pursuant to the provisions of this Agreement.
4.1.18    Seller has not received any written notice relating to the operation of the Property from any agency, board, commission, bureau or other instrumentality of any government, whether federal, state or local, that, Seller is not in compliance in all material respects with, nor does Seller have any knowledge that Seller is not in material compliance with, all applicable statutes, rules, regulations and requirements of all federal, state and local commissions, boards, bureaus and agencies having jurisdiction over Seller and the Land and Improvements.  With respect to the Property, Seller has timely filed all reports, data and other information required to be filed with such commissions, boards, bureaus and agencies where a failure to file timely would have a material adverse effect on the transactions contemplated hereby or the intended operation of the Land and Improvements.
4.1.19    Seller has delivered to Buyer a true and complete copy of the Existing Ground Lease; the Existing Ground Lease has not been amended or modified except as set forth in the Property Information; and the Ground Leases are in full force and effect.  Neither Enterprises nor Hospital is in default under the Ground Leases, and there exists no condition or circumstance or written notice of any condition or circumstance which, with the passage of time, would constitute a default under the Existing Ground Lease by any party.  Hospital, as “landlord” and/or “lessor” under the Existing Ground Lease has asserted no claim of offset or other defense in respect of its or Enterprises' obligations under the Existing Ground Lease.  Hospital, as “landlord” and/or “lessor” under the Existing Ground Lease has not (i) filed for bankruptcy or taken any similar debtor-protection measure, (ii) discontinued operations at the main Longview campus or (iii) given notice of its intention to do any of the foregoing.
4.1.20    Buyer acknowledges that, except as expressly set forth in this Agreement or the Closing documents, Seller has not made and does not make any warranty or representation regarding the truth, accuracy or completeness of the Property Information or the source(s) thereof.  Buyer further acknowledges that some if not all of the Property Information was prepared by third parties other than Seller.  Except as expressly set forth in this Agreement or the Closing documents, Seller expressly disclaims any and all liability for representations or warranties, express or implied, statements of fact and other matters contained in the Property Information, or for omissions from the Property Information, or in any other written or oral communications transmitted or made available to Buyer.  Except as expressly set forth in this Agreement or the Closing documents, Buyer shall rely solely upon its own investigation with respect to the Property, including, without limitation, the Property’s physical, environmental or economic condition, compliance or lack of compliance with any ordinance, order, permit or regulation or any other attribute or matter relating thereto.  Except as expressly set forth in this Agreement or the Closing documents, Seller has not undertaken any independent investigation as to the truth, accuracy or completeness of the Property Information and is providing the Property Information solely as an accommodation to Buyer.  Notwithstanding the foregoing, to Seller's knowledge, the Property Information does not contain any materially misleading information, nor does the Property Information omit any fact necessary to make such information not materially misleading. 

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4.2    Buyer’s Representations.  Buyer makes the following representations and warranties to Seller that:
4.2.1    Buyer is a duly formed and validly existing limited liability company in good standing under the laws of the State of Delaware.
4.2.2    Buyer has full right, power and authority and is duly authorized to enter into this Agreement and, as of the Closing Date, to perform each of these covenants to be performed by Buyer hereunder and to execute and deliver and to perform its obligations under all documents required to be executed and delivered by it pursuant to this Agreement and this Agreement constitutes the valid and legally binding obligation of Buyer, enforceable against Buyer in accordance with its terms.
4.2.3    Neither Buyer nor any of its affiliates, nor any of their respective partners, members, shareholders or other equity owners, and none of their respective employees, officers, directors, representatives or agents is, nor will they become, a person or entity with whom United States persons or entities are restricted from doing business under regulations of the Office of Foreign Asset Control (“OFAC”) of the Department of the Treasury (including those named on OFAC’s Specially Designated and Blocked Persons List) or under any statute, executive order (including, without limitation, the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action, and is not and will not engage in any dealings or transactions or be otherwise associated with such persons or entities.
4.2.4    No authorization, consent or approval of any governmental authority (including, without limitation, courts) is required for the execution and delivery by Buyer of this Agreement or the performance of its obligations hereunder.
4.2.5    There are no actions, suits or proceedings pending, or, to the best of Buyer’s knowledge, threatened against Buyer that would impair its ability to perform its obligations under this Agreement.
4.2.6    Buyer has not (i) made a general assignment for the benefit of creditors, (ii) filed any voluntary petition in bankruptcy or suffered the filing of an involuntary petition by Buyer’s creditors, (iii) suffered the appointment of a receiver to take possession of all or substantially all of Buyer’s assets, (iv) suffered the attachment or other judicial seizure of all, or substantially all, of Buyer’s assets, (v) admitted in writing its inability to pay its debts as they come due or (vi) made an offer of settlement, extension or composition to its creditors generally.
4.2.7    Neither the execution, delivery or performance of this Agreement nor compliance herewith conflicts or will conflict with or results or will result in a breach of or constitutes or will constitute a default under (i) the articles of incorporation and by-laws or other organization certificate and/or partnership or operating agreement of Buyer or (ii) any law or any order, writ, injunction or decree of any court or governmental authority applicable to Buyer.
4.3    Survivability of Representations and Warranties.  The representations and warranties of Seller and Buyer set forth in this Agreement are remade as of the Closing Date (as modified by any Pre-Closing Disclosure) and shall not be deemed to be merged into or waived 

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by the instruments of Closing and shall survive after the Closing Date for a period of six (6) months.  Terms such as "to Seller's knowledge," "to the best of Seller's knowledge," or like phrases mean the actual present and conscious awareness or knowledge of Ray Delk and Ken Cunningham (collectively, "Seller's Representatives"), without any duty of inquiry or investigation; provided that so qualifying Seller's knowledge shall in no event give rise to any personal liability on the part of Seller's Representatives, or any of them, or any other officer or employee of any Seller, on account of any breach of any representation or warranty made by Seller herein.  Said terms do not include constructive knowledge, imputed knowledge, or knowledge Seller or such persons do not have but could have obtained through further investigation or inquiry.  No broker, agent, or party other than Seller is authorized to make any representation or warranty for or on behalf of Seller.  Seller and Buyer shall have the right to bring an action for breach of such representations and warranties, but only on the following conditions:  (i) the party bringing the action for breach first learns of the breach after Closing, give the other party written notice of the circumstances giving rise to the alleged breach within such six (6) month period and have brought an action thereon within six (6) months of the expiration of such period, and (ii) neither party shall have the right to bring a cause of action for a breach of a representation or warranty unless the damage to such party on account of such breach (individually or when combined with damages from other breaches) equals or exceeds $50,000.00.  Neither party shall have any liability after Closing for the breach of a representation or warranty hereunder of which the other party hereto had knowledge as of Closing.  Notwithstanding any other provision of this Agreement, any agreement contemplated by this Agreement, or any rights which Buyer might otherwise have at law, equity, or by statute, whether based on contract or some other claim, Buyer agrees that any liability of Seller to Buyer will be limited to $2,200,000.00; provided, however, such limit shall be reduced in proportion to any reduction in the Purchase Price pursuant to Section 7.1(b).   
4.4    Pre-Closing Disclosure.  Seller agrees that, should any Seller's Representative become aware of any fact, matter or circumstance that would make any of Seller's representations or warranties contained herein untrue or incorrect, then Seller will provide written notice thereof to Buyer (any such disclosure being referred to as a “Pre-Closing Disclosure”).   If Seller makes any material adverse Pre-Closing Disclosure to Buyer, or if Buyer otherwise gains knowledge that one of Seller's representations or warranties becomes untrue or incorrect and same has a material adverse effect on the Property, then within five (5) days after Buyer’s receipt of such Pre-Closing Disclosure or Buyer's notice of such untrue or incorrect representation or warranty (but in no event later than Closing), Buyer may, as its sole and exclusive remedy, either (a) terminate this Agreement, in which event the Deposit will be returned to Buyer, and the parties will be released and relieved from all obligations hereunder, except those which expressly survive a termination of this Agreement, or (b) waive such matter, including the right to make any claim against Seller post-Closing and proceed to Closing, in which event the applicable representation and warranty(ies) shall be deemed modified to conform to the Pre-Closing Disclosures.  For the avoidance of all doubt, if Buyer becomes aware that one of Seller's representations or warranties is untrue or incorrect prior to Closing, the parties agree that Buyer’s sole and exclusive remedy for the breach of any representation or warranty by any Seller hereunder shall be to either terminate this Agreement and recover the Deposit or waive such breach as aforesaid, and in no event will Buyer have the right to pursue any other remedy against Seller for such breach.

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4.5    DISCLAIMER AND RELEASE.  ACKNOWLEDGING THE PRIOR USE OF THE PROPERTY AND BUYER’S OPPORTUNITY TO INSPECT THE PROPERTY, BUYER AGREES TO TAKE THE PROPERTY “AS IS”, “WHERE IS”, WITH ALL FAULTS AND CONDITIONS THEREON. ANY INFORMATION, REPORTS, STATEMENTS, DOCUMENTS OR RECORDS (“DISCLOSURES”) PROVIDED OR MADE TO BUYER OR ITS CONSTITUENTS BY SELLER, THEIR AGENTS OR EMPLOYEES CONCERNING THE CONDITION (INCLUDING, BUT NOT LIMITED TO, THE ENVIRONMENTAL CONDITION) OF THE PROPERTY SHALL NOT BE REPRESENTATIONS OR WARRANTIES, UNLESS SPECIFICALLY SET FORTH IN THIS AGREEMENT, OR IN ANY DOCUMENTS DELIVERED AT CLOSING.  EXCEPT AS MAY OTHERWISE BE SPECIFICALLY SET FORTH IN THIS AGREEMENT OR IN ANY DOCUMENTS DELIVERED AT CLOSING, BUYER SHALL NOT RELY ON SUCH DISCLOSURES, BUT RATHER, BUYER SHALL RELY ONLY ON ITS OWN INSPECTION OF THE PROPERTY.  BUYER ACKNOWLEDGES THAT THE PURCHASE PRICE REFLECTS AND TAKES INTO ACCOUNT THAT THE PROPERTY IS BEING SOLD “AS IS”.
BUYER ACKNOWLEDGES AND AGREES THAT EXCEPT AS SPECIFICALLY SET FORTH IN THIS AGREEMENT OR IN ANY DOCUMENTS DELIVERED AT CLOSING, SELLER HAS NOT MADE, DOES NOT MAKE, AND SPECIFICALLY DISCLAIMS ANY REPRESENTATIONS, WARRANTIES, PROMISES, COVENANTS, AGREEMENTS OR GUARANTIES OF ANY KIND OR CHARACTER WHATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, CONCERNING OR WITH RESPECT TO (A) THE NATURE, QUALITY OR CONDITION OF THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE WATER, SOIL AND GEOLOGY, (B) THE INCOME TO BE DERIVED FROM THE PROPERTY, (C) THE SUITABILITY OF THE PROPERTY FOR ANY AND ALL ACTIVITIES AND USES WHICH BUYER MAY CONDUCT THEREON, (D) THE COMPLIANCE OF OR BY THE PROPERTY OR ITS OPERATION WITH ANY LAWS, RULES, ORDINANCES OR REGULATIONS OF ANY APPLICABLE GOVERNMENTAL AUTHORITY OR BODY, (E) THE HABITABILITY, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OF THE PROPERTY, OR (F) ANY OTHER MATTER WITH RESPECT TO THE PROPERTY, AND SPECIFICALLY DISCLAIM ANY REPRESENTATIONS REGARDING TERMITES OR WASTES, AS DEFINED BY THE U.S. ENVIRONMENTAL PROTECTION AGENCY REGULATIONS AT 40 C.F.R., OR ANY HAZARDOUS SUBSTANCE, AS DEFINED BY CERCLA, AS AMENDED, AND REGULATIONS PROMULGATED THEREUNDER.  BUYER, ITS SUCCESSORS AND ASSIGNS, HEREBY WAIVE, RELEASE AND AGREE NOT TO MAKE ANY CLAIM OR BRING ANY COST RECOVERY ACTION OR CLAIM FOR CONTRIBUTION OR OTHER ACTION OR CLAIM AGAINST SELLER OR ITS AFFILIATES, MEMBERS, PARTNERS, DIRECTORS, OFFICERS, EMPLOYEES, AGENTS, ATTORNEYS, OR ASSIGNS (COLLECTIVELY, “SELLER AND ITS AFFILIATES”) BASED ON (A) ANY FEDERAL, STATE, OR LOCAL ENVIRONMENTAL OR HEALTH AND SAFETY LAW OR REGULATION, INCLUDING CERCLA OR ANY STATE EQUIVALENT, OR ANY SIMILAR LAW NOW EXISTING OR HEREAFTER ENACTED, (B) ANY DISCHARGE, DISPOSAL, RELEASE, OR ESCAPE OF ANY CHEMICAL, OR ANY MATERIAL WHATSOEVER, ON, AT, TO, OR FROM THE PROPERTY; OR (C) ANY ENVIRONMENTAL CONDITIONS WHATSOEVER ON, UNDER, OR IN THE VICINITY OF THE PROPERTY.  

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BUYER REPRESENTS TO SELLER THAT BUYER HAS CONDUCTED, OR WILL CONDUCT PRIOR TO CLOSING, SUCH INVESTIGATIONS OF THE PROPERTY, INCLUDING, BUT NOT LIMITED TO, THE PHYSICAL AND ENVIRONMENTAL CONDITIONS THEREOF, AS BUYER DEEMS NECESSARY OR DESIRABLE TO SATISFY ITSELF AS TO THE CONDITION OF THE PROPERTY AND THE EXISTENCE OR NONEXISTENCE OR CURATIVE ACTION TO BE TAKEN WITH RESPECT TO ANY HAZARDOUS OR TOXIC SUBSTANCES ON OR DISCHARGED FROM THE PROPERTY, AND WILL RELY SOLELY UPON SAME AND NOT UPON ANY INFORMATION PROVIDED BY OR ON BEHALF OF SELLER OR THEIR AGENTS OR EMPLOYEES WITH RESPECT THERETO, EXCEPT AS PROVIDED HEREIN.  UPON CLOSING, BUYER SHALL, EXCEPT AS PROVIDED HEREIN, ASSUME THE RISK THAT ADVERSE MATTERS, INCLUDING BUT NOT LIMITED TO, CONSTRUCTION DEFECTS AND ADVERSE PHYSICAL AND ENVIRONMENTAL CONDITIONS, MAY NOT HAVE BEEN REVEALED BY BUYER’S INVESTIGATIONS, AND BUYER, UPON CLOSING, SHALL BE DEEMED TO HAVE WAIVED, RELINQUISHED AND RELEASED SELLER (AND SELLER’S OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) FROM AND AGAINST ANY AND ALL CLAIMS, DEMANDS, CAUSES OF ACTION (INCLUDING CAUSES OF ACTION IN TORT), LOSSES, DAMAGES, LIABILITIES, COSTS AND EXPENSES (INCLUDING REASONABLE ATTORNEYS’ FEES) OF ANY AND EVERY KIND OR CHARACTER, KNOWN OR UNKNOWN, WHICH BUYER MIGHT HAVE ASSERTED OR ALLEGED AGAINST ANY SELLER (AND SUCH SELLER’S OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) AT ANY TIME BY REASON OF OR ARISING OUT OF ANY LATENT OR PATENT CONSTRUCTION DEFECTS OR PHYSICAL CONDITIONS, VIOLATIONS OF ANY APPLICABLE LAWS AND ANY AND ALL OTHER ACTS, OMISSIONS, EVENTS, CIRCUMSTANCES OR MATTERS REGARDING THE PROPERTY
THE PROVISIONS OF THIS SECTION 4.5 SHALL SURVIVE THE CLOSING OR ANY TERMINATION OF THIS AGREEMENT AND SHALL NOT BE MERGED THEREIN.
4.6    Seller Covenants Prior to Closing.
4.6.1    Leasing Activities.  Except for the Leaseback Leases, Seller shall not, from and after the Effective Date, enter into any lease affecting the Property or any modification or amendment thereto, consent to any sublease under a lease, or modify or amend the Existing Ground Lease or any documents related to the Ground Lease, or enter into any new documents relating to the Existing Ground Lease, in each case, without the prior written consent of Buyer, which may be given or withheld in Buyer’s sole and absolute discretion.  Seller shall deliver to Buyer a copy of any and all correspondence received from or sent to tenants regarding the Tenant Leases or the Existing Ground Lease.  
4.6.2    Property Contracts.  Seller shall not, from and after the Effective Date, enter into any new service contracts for the Property or modifications, renewals or terminations of any existing Contracts, without the written consent of Buyer, which consent may be given or withheld in Buyer’s sole and absolute discretion; provided, however, Seller may enter into any new Contracts or amend existing Contracts without the consent of Buyer to the extent such 

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Contracts relate to a property maintenance obligation of Seller or its Affiliates under the Leaseback Leases.  
4.6.3    Conducting Business.  At all times prior to Closing, Seller shall continue to (i) conduct business with respect to the Property in the same manner in which said business has been heretofore conducted and (ii) insure the Property substantially as it is currently insured and in any event in commercially reasonable amounts and in accordance with the requirements of the Ground Leases and any mortgage or deed of trust affecting the Property.
4.6.4    Encumbrances.  At all times prior to Closing, Seller shall not sell,  mortgage, pledge, encumber, hypothecate or otherwise transfer or dispose of all or any part of the Property or any interest therein without the prior written consent of Buyer, which may be given or withheld in Buyer’s sole and absolute discretion; and Seller shall not consent to, approve or otherwise take any action with respect to zoning or any other governmental rules or regulations presently applicable to all or any part of the Property.
4.6.5    Monthly Operating Statements.  Seller shall provide Buyer with a copy of the monthly operating statement for the operation of the Property on or before the day which is ten (10) days after the end of each month, commencing with the month during which the Effective Date occurs and continuing for each full calendar month thereafter until the Closing Date.
4.6.6    Compliance with Laws and Regulations.  At all times prior to Closing, Seller shall not knowingly take any action that would result in a failure to comply in all material respects with all applicable statutes, rules, regulations and requirements of all federal, state and local commissions, boards, bureaus and agencies applicable to the Real Property, it being understood and agreed that prior to Closing, Seller will have the right to contest any of the same.
4.6.7    Continued Performance.  Seller will not take or cause to be taken any action or fail to perform any obligation which would cause any of the representations or warranties contained in this Agreement to be untrue as of the Closing Date.    
4.6.8    Estoppels.  Seller shall use commercially reasonable efforts to obtain the Tenant Estoppels described in Section 5.4.2, the estoppels described in Section 4.6.11, and the estoppel described in Section 5.4.6.  
4.6.9    Cooperation with S-X 3-14 Audit.  Seller acknowledges that that it is Buyer’s intention that the ultimate acquirer of the Property will be affiliated with a publicly registered company (“Registered Company”).  Seller acknowledges that it has been advised that if such acquirer is affiliated with a Registered Company, such Registered Company (and such acquirer) are required to make certain filings with the Securities and Exchange Commission (the “SEC Filings”) that relate to the most recent pre-acquisition fiscal year (the “Audited Year”) and the current fiscal year through the date of acquisition (the “Stub Period”) for the Property.  To assist Buyer and Registered Company in preparing the SEC Filings, Seller covenants and agrees no later than five (5) Business Days after the Effective Date, Seller shall provide Buyer and the Registered Company with the following information (to the extent such items are not duplicative of items contained in the Property Information): (i) access to bank statements for the Audited Year and Stub Period; (ii) rent roll as of the end of the Audited Year and Stub Period; (iii) operating statements for the Audited Year and Stub Period; (iv) access to the general ledger for the 

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Audited Year and Stub Period; (v) cash receipts schedule for each month in the Audited Year and Stub Period; (vi) access to invoice for expenses and capital improvements in the Audited Year and Stub Period; (vii) accounts payable ledger and accrued expense reconciliations; (viii) check register for the 3-months following the Audited Year and Stub Period; (ix) all leases and 5-year lease schedules; (x) copies of all insurance documentation for the Audited Year and Stub Period and (xi) copies of accounts receivable aging as of the end of the Audited Year and Stub Period along with an explanation for all accounts over 30 days past due as of the end of the Audited Year and Stub Period.  In addition, no later than five (5) Business Days prior to the Closing Date, Seller shall provide to Buyer: (1) a signed representation letter in the form attached hereto as Exhibit “G”; (2) a signed audit request letter in the form attached hereto as Exhibit “H”; and (3) a signed audit response letter from Seller’s attorney using the American Bar Association promulgated form.  Seller also agrees to reasonably cooperate with Buyer to obtain a comfort letter, as may be requested by Buyer.
4.6.10    New Ground Lease, Leaseback Leases, and Ground Lease Related Documents.  
(a)    Seller and Buyer shall diligently pursue the negotiation and execution of the New Ground Lease; Leaseback Leases; any amendment to the Maintenance, Operation and Easement Agreement between Hospital and Enterprises dated September 26, 2013 (the “MOE Amendment”) and the Parking Facilities Agreement between Hospital and Enterprises dated September 26, 2013 (the “Parking Amendment”); a new Maintenance, Operation and Easement Agreement relating to the GS Institute for Healthy Living Property (the “IHL MOE Agreement”); a new MOE Costs Agreement relating to the GS Institute for Healthy Living Property (the “IHL MOE Costs Agreement”); a new Parking Facilities Agreement relating to the GS Institute for Healthy Living Property (the “IHL Parking Agreement”); a new Memorandum of Maintenance, Operation and Easement Agreement relating to the GS Institute for Healthy Living Property (the “IHL Memorandum of MOE Agreement”); a new Memorandum of Parking Facilities Agreement relating to the GS Institute for Healthy Living Property (the “IHL Memorandum of Parking Agreement”); and any related reciprocal easement agreements, parking agreements, and/or  related agreements (collectively, the “Ground Lease Related Documents”) to be executed at Closing.  The form of the New Ground Lease and the Leaseback Lease shall be agreed upon by Buyer and Seller during the Due Diligence Period.     
(b)    At all times prior to Closing, Seller shall comply in all material respects with the terms of the Existing Ground Lease and the MOE Agreement.  Seller shall not amend or modify, or consent to the amendment or modification of, the Existing Ground Lease or MOE Agreement, and/or enter into any new documents relating in any way to the Existing Ground Lease or MOE Agreement, in each case, without the prior approval of Buyer, which may be withheld in Buyer’s sole and absolute discretion.  
4.6.11    Seller shall use commercially reasonable efforts to obtain an estoppel certificate in the form provided by Buyer as to each easement agreement, restrictive covenant, declaration and/or reciprocal easement agreement of record as to the Property, which estoppel 

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certificates shall: (i) be executed by each party entitled to enforce such document; (ii) confirm that such document is in full force and effect, unmodified except as revealed by the Preliminary Report; (iii) confirm that there are no defaults by Seller and/or the Property under such document; (iv) confirm that there are no outstanding sums owed by Seller and/or the Property; (v) confirm that there are no outstanding construction or similar obligations of Seller and/or the Property; (vi) be dated no earlier than thirty (30) days prior to Closing; and (vii) be otherwise reasonably acceptable to Buyer.  
4.7    Indemnifications.
4.7.1    Seller’s Indemnity.  In addition to any other applicable rights under this Agreement, but subject in all events to Section 4.5, Seller agrees to indemnify, defend and hold Buyer and its officers, directors, partners, members, agents, employees, affiliates, attorneys, heirs, successors and assigns (collectively, “Buyer’s Indemnified Parties”) harmless from and against any and all liabilities, liens, claims, damages, costs, expenses, suits or judgments paid or incurred by any of Buyer’s Indemnified Parties and all expenses related thereto, including, without limitation, court costs and reasonable attorneys’ fees arising out of or in any way connected or related to (i) any breach or nonperformance by Seller of any provision or covenant contained in this Agreement or in any certificate or other instrument or document furnished (or to be furnished) by Seller with respect to the transactions contemplated hereunder, (ii) any liability arising because of a breach of lease, breach of contract matter or tort claim related to the Property which occurred or arose or is alleged to have occurred or arisen prior to Closing and which is not solely due to actions taken by Buyer, or (iii) the breach of any representation or warranty of Seller contained in this Agreement, subject to the floor and cap set forth in Section 4.3.  The indemnities set forth in this Section shall survive Closing for six (6) months.  Provided, however, that the indemnities set forth in this Section shall not apply to the extent of any item that by this Agreement specifically becomes the obligation of Buyer after the Closing pursuant to the terms and conditions of this Agreement.
4.7.2    Buyer’s Indemnity.  In addition to any other applicable rights under this Agreement, Buyer agrees to indemnify, defend and hold Seller and its officers, directors, partners, members, agents, employees, affiliates, attorneys, heirs, successors and assigns (collectively, “Seller’s Indemnified Parties”)  harmless from and against any and all liabilities, liens, claims, damages, costs, expenses, suits or judgments paid or incurred by any of Seller’s Indemnified Parties and all expenses related thereto, including, without limitation, court costs and reasonable attorneys’ fees arising out of or in any way connected or related to (i) any breach or nonperformance by Buyer of any provision or covenant contained in this Agreement or in any certificate or other instrument or document furnished (or to be furnished) by Buyer with respect to the transactions contemplated hereunder, (ii) any liability arising because of a breach of lease, breach of contract matter or tort claim related to the Property which occurred or is alleged to have occurred after Closing and which is not due to actions taken by Seller, or (iii) the breach of any representation, warranty or covenant of Buyer contained in this Agreement, subject to the floor and cap set forth in Section 4.3.  The indemnities set forth in this Section shall survive Closing for a period of six (6) months.  Provided, however, that the indemnities set forth in this Section shall not apply to the extent of any item that (A) specifically remains the obligation of Seller after the Closing pursuant to the terms and conditions of this Agreement; or (B) is the 

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obligation of Seller after the Closing pursuant to the terms and conditions of the Leaseback Leases. 
4.8    Dissolution of El Casa and Casa Nueva.  Buyer hereby acknowledges that Seller intends to dissolve El Casa and Casa Nueva prior to Closing, and that the assets of El Casa and Casa Nueva, including, without limitation, the GSHS Outpatient Clinic – 409 N. 6th Property, will be distributed by operation of law to Hospital, as the sole shareholder of El Casa and Casa Nueva.  Hospital covenants and agrees to assume all obligations of El Casa and Casa Nueva under this Agreement upon such dissolution, including, without limitation, conveying the GSHS Outpatient Clinic – 409 N. 6th Property to Buyer.
ARTICLE 5 
CLOSING
5.1    Escrow Agent.  The Closing shall occur through the Escrow opened at the Escrow Agent.  Escrow Agent is designated, authorized and instructed to act as Escrow Agent pursuant to the terms of this Agreement.
5.2    Escrow Instructions; Opening of Escrow.  This Agreement shall constitute initial escrow instructions to Escrow Agent.  The parties shall execute any additional escrow instructions reasonably required by Escrow Agent to consummate the transaction provided for herein; provided, however, such additional escrow instructions shall not modify the provisions of this Agreement, unless such instructions (i) clearly identify the specific provisions being modified; (ii) state the modification in full; and (iii) are signed by both parties.  The parties shall open escrow by delivering an executed copy of this Agreement executed by Buyer and Seller to Escrow Agent.  Upon receipt of the Agreement, Escrow Agent shall acknowledge the opening of escrow as described below and its agreement to act as the Escrow Agent hereunder by:  (1) executing the Consent of Escrow Agent attached hereto; and (2) delivering a copy of the executed Consent to Seller and Buyer.  Notwithstanding anything contained herein to the contrary, in the event that the Closing has not occurred on or before the Three Hundred and Sixty-Fifth (365th) day following the expiration of the Due Diligence Period, this Agreement shall automatically terminate in all respects, in which case Buyer shall be entitled to the return of the Deposit from Escrow Agent.
5.3    Closing.  The Closing shall take place on the Closing Date, as the same may be adjusted, provided all conditions to the Closing have been satisfied or duly waived.
5.4    Conditions Precedent Favoring Buyer.  In addition to any other conditions precedent in favor of Buyer as may be expressly set forth elsewhere in this Agreement, Buyer’s obligations under this Agreement are subject to the timely fulfillment of the conditions set forth in this Section 5.4 on or before the Closing Date, or such earlier date as is set forth below.  Each condition may be waived in whole or in part only by written notice of such waiver from Buyer to Seller, in Buyer’s sole and absolute discretion.
5.4.1    Seller performing and complying in all material respects with all of the terms of this Agreement to be performed and complied with by Seller prior to or at the Closing.

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5.4.2    No later than five (5) Business Days prior to the Closing Date, Seller shall have obtained estoppel certificates (each a “Tenant Estoppel”) executed by the Tenants under the Tenant Leases representing: (i) 100% of the Tenants that are Affiliates of Seller; and (ii) not less than eighty-five percent (85%) of the total square feet of space currently subject to a Tenant Lease  in  the  Existing  Ground  Lease  Property  (other  than  the  spaces  currently  leased  to Diagnostic Clinic of Longview ["DCOL"] and Affiliates of Seller); provided however, that Seller  shall  deliver  an  estoppel  (a  "Seller  Estoppel")  in  form  and  substance  reasonably acceptable to Buyer with respect to the DCOL space.  No Tenant Estoppel shall be required for subtenants of Seller or its Affiliates with respect to the New Ground Lease Property.   Each Tenant Estoppel shall be in a form substantially similar to Exhibit “D” attached hereto, and in addition, no later than three (3) Business Days prior to the date on which Seller intends to distribute the Tenant Estoppels to the Tenants for their completion and execution, Seller shall deliver the draft estoppel certificates to Buyer for Buyer’s review and approval, which approval shall  not  be  unreasonably  withheld.   Such  Tenant  Estoppels  shall  be  consistent  with  the respective Tenant Lease, shall not reveal any material default by Seller and/or Tenant, any condition that would give such Tenant the right to offset rent, or any claim of the same, be dated no earlier than thirty (30) days prior to Closing and shall be otherwise reasonably acceptable to Buyer.

5.4.3    On the Closing Date, all of the representations and warranties of Seller set forth in Section 4 hereof shall be true, accurate and complete in all material respects, as modified by any Pre-Closing Disclosure.
5.4.4    At Closing, the Title Company shall issue, or be irrevocably committed to issue, to Buyer a TLTA Owner’s Policy of Title Insurance (“Title Policy”) insuring Buyer’s fee simple title to the Land and Improvements with respect to the Fee Land and leasehold title to the Land and fee simple title to the Improvements with respect to the Ground Lease Land, for the sum equal to the Purchase Price, conforming to the Required Title Condition set forth in Section 2.2 above and containing such endorsements as Buyer shall have reasonably required.
5.4.5    There shall have been no material adverse change in the physical condition of the Property from the end of the Due Diligence Period through the Closing Date.
5.4.6    No later than five (5) Business Days prior to the Closing Date, Seller shall have obtained an estoppel certificate executed by Hospital, as “landlord” and/or “lessor”, under the Existing Ground Lease, on a form to be agreed upon by Buyer and Seller prior to the expiration of the Due Diligence Period (the “Ground Lease Estoppel”).  Such estoppel certificate shall be consistent with the Existing Ground Lease, shall not reveal any default by any party thereto and shall be dated no earlier than thirty (30) days prior to Closing and shall be otherwise reasonably acceptable to Buyer.  
The conditions set forth in this Section 5.4 are solely for the benefit of Buyer and may be waived only by Buyer in writing, in Buyer’s sole and absolute discretion.  At all times Buyer has the right to waive any condition by giving written notice of such waiver to Seller and Escrow Agent.  Such waiver or waivers must be in writing to Seller. In the event of a failure to satisfy the conditions precedent set forth in this Section 5.4, Buyer may terminate the entirety of this Agreement upon written notice to Seller, in which event the entire Deposit shall be promptly 

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returned to Buyer and the parties shall have no further obligations, except those which expressly survive termination of this Agreement.  Notwithstanding anything to the contrary contained in this Agreement, in the event of the failure of any condition set forth in this Section 5.4, if such failure constitutes a breach or default of its covenants, representations or warranties, Seller shall remain liable for such breach or default as otherwise set forth in this Agreement.  
5.5    Conditions Precedent Favoring Seller.  In addition to any other condition precedent in favor of Seller as may be expressly set forth elsewhere in this Agreement, Seller’s obligations under this Agreement are expressly subject to the timely fulfillment of the conditions set forth in this Section 5.5 on or before the Closing Date, or such earlier date as is set forth below.  Each condition may be waived in whole or part only by written notice of such waiver from Seller to Buyer and written acceptance of such waiver by Buyer.
5.5.1    Buyer performing and complying in all material respects with all of the terms of this Agreement to be performed and complied with by Buyer prior to or at the Closing.
5.5.2    On the Closing Date, all of the representations of Buyer set forth in this Agreement shall be materially true, accurate and complete.
5.6    Seller’s Deliveries.  At the Closing or on the date otherwise specified below, Seller shall deliver or cause to be delivered to Buyer, at Seller’s sole expense, each of the following items:
5.6.1    A duly executed and acknowledged special warranty deed (the “Deed”) that conveys title to the Real Property and Improvements to Buyer and in substantially the same form as Exhibit “E” attached hereto and that is otherwise recordable in the jurisdiction where the Property is located. 
5.6.2    Two (2) counterpart signatures to a bill of sale, assignment and assumption of leases and contracts for the Property duly and originally executed and acknowledged by Seller, in the form attached hereto as Exhibit “F”, which shall transfer, convey, sell, assign and set over to Buyer all of Seller’s right, title and interest in and to the: (i) the Personal Property; (ii) Tenant Leases; (iii) the Warranties and Permits; and (iv) any Contracts Buyer elects to assume in accordance with the terms of this Agreement (the “Bill of Sale”).
5.6.3    A duly executed and acknowledged assignment and assumption agreement with respect to the Existing Ground Lease in favor of Buyer in a form reasonably acceptable to Buyer and otherwise recordable in the jurisdiction where the Real Property is located (the “Ground Lease Assignment”). 
5.6.4    The New Ground Leases, duly executed by Seller.
5.6.5    A duly executed and acknowledged memorandum of ground lease with respect to each of the New Ground Leases in a form recordable in the jurisdiction where the Real Property is located (the “Memorandum of Ground Lease”). 
5.6.6    A duly executed MOE Amendment. 

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5.6.7    A duly executed Parking Amendment. 
5.6.8    A duly executed IHL MOE Agreement. 
5.6.9    A duly executed IHL MOE Costs Agreement. 
5.6.10    A duly executed IHL Parking Agreement. 
5.6.11    A duly executed and acknowledged IHL Memorandum of MOE Agreement, recordable in the jurisdiction where the Real Property is located. 
5.6.12    A duly executed and acknowledged IHL Memorandum of Parking Agreement, recordable in the jurisdiction where the Real Property is located. 
5.6.13    Seller's counterpart signatures to any other Ground Lease Related Documents. 
5.6.14    Originals of, and counterpart signatures to, all Tenant Leases (and all amendments, if any).  
5.6.15    Seller's counterpart signatures to the Leaseback Leases 
5.6.16    All keys in Seller’s possession to all locks on the Property and all documents in the possession of Seller pertaining to each tenant, including all applications, correspondence and credit reports.
5.6.17    A non-foreign person affidavit sworn to by Seller as required by Section 1445 of the Code.
5.6.18    A Tenant Notice (as defined below) for each Tenant Lease. 
5.6.19    Such evidence, documents, affidavits and indemnifications as may be reasonably required by the Title Company and reasonably approved by Seller as a precondition to the issuance of the Title Policy relating to: (i) mechanics’ or materialmen’s liens; (ii) parties in possession; (iii) the status and capacity of Seller and the authority of the person or persons who are executing the various documents on behalf of Seller in connection with the sale of the Property; and/or (iv) any other matter reasonably required to enable the Title Company to issue the Title Policy and endorsements thereto.
5.6.20    Originals of all documents in the possession of Seller relating to the operation of the Property including all operating statements, permits, licenses, approvals, plans, specifications, guaranties and/or warranties, all third party reports, appraisals, environmental site assessments, property condition reports, property inspections and surveys.
5.6.21    A duly executed Closing Statement (as defined below) reflecting the adjustments and prorations required by this Agreement.

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5.6.22    Such evidence or documents as may reasonably be required by Buyer evidencing the power and authority of Seller and its respective constituent owners and the due authority of, and execution and delivery by, any person or persons who are executing any of the documents required in connection with the sale of the Property. 
5.6.23    A written waiver of the ROFR/ROFO Right in a form reasonably acceptable to Buyer and the Title Company. 
5.6.24    Such other instruments as may be reasonably required to consummate the transactions contemplated by this Agreement.  
5.7    Buyer’s Deliveries.  At the Closing, Buyer shall deliver to Seller the following items:
5.7.1    The Purchase Price (less the Deposit and any prorations or credits required by this Agreement) and Buyer’s share of all escrow costs and closing expenses.
5.7.2    Two (2) counterpart signatures to the Bill of Sale.
5.7.3    Counterpart signature to the Ground Lease Assignment.
5.7.4    Counterpart signature to the New Ground Leases.
5.7.5    Counterpart signatures (acknowledged) to each Memorandum of Ground Lease.
5.7.6    Counterpart signatures to the MOE Amendment.
5.7.7    Counterpart signatures to the Parking Amendment.
5.7.8    Counterpart signatures to the IHL MOE Agreement.
5.7.9    Counterpart signatures to the IHL MOE Costs Agreement.
5.7.10    Counterpart signatures to the IHL Parking Agreement.
5.7.11    Counterpart signatures (acknowledged) to IHL Memorandum of MOE Agreement.
5.7.12    Counterpart signatures (acknowledged) to IHL Memorandum of Parking Agreement.
5.7.13    Counterpart signatures to any other Ground Lease Related Documents
5.7.14    Counterpart signatures to any amendment to the Tenant Leases.
5.7.15    Counterpart signatures to the Leaseback Leases.
5.7.16    A duly executed Closing Statement.

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5.7.17    Such evidence or documents as may reasonably be required by the Title Company evidencing the status and capacity of Buyer and the authority of the person or persons who are executing the various documents on behalf of Buyer in connection with the purchase of the Property.
5.7.18    Such other instruments as may be reasonably required to consummate the transactions contemplated by this Agreement.
5.8    Costs, Prorations and Credits.
5.8.1    Closing Costs. Buyer and Seller shall each pay their own legal fees related to the preparation of this Agreement and, except as otherwise provided herein, all documents required to settle the transaction contemplated hereby.  Except as otherwise provided herein, Buyer shall pay (i) all costs associated with its investigation of the Property, including the cost of appraisals, architectural, engineering, credit and environmental reports, (ii) all title insurance premiums for extended coverage under the Title Policy and any endorsements to the Title Policy required by Buyer, and (iii) all recording costs associated with the Deed.  Seller shall pay (1) all transfer, assumption or waiver fees associated with any association, declarant or easement holder that holds any right in the Property, (2) all transfer taxes and documentary stamp charges, (3) recording fees in connection with the removal of encumbrances, and (4) the basic premium for the Title Policy.  Buyer and Seller shall share equally the cost of all escrow charges.  Any and all other purchase and sale closing costs shall be paid in accordance with the custom of the local jurisdiction in which the Property is located.
5.8.2    Prorations.  At Closing, Seller and Buyer shall enter into a triple net lease for each Property (other than the Existing Ground Lease Property) (collectively, the "Leaseback Leases") which Leaseback Leases will demise to Seller 100% of the Improvements for each Property other than the Existing Ground Lease Property, and, as set forth in and subject to the terms and conditions, the Leaseback Leases, Seller shall be responsible for all expenses and shall be entitled to all income derived from each such Property on and following Closing.  In addition, Seller shall be responsible for all expenses and shall be entitled to all income derived from each such Property for the period prior to Closing.  Accordingly, there shall be no proration between Buyer and Seller of the income and expenses of any Property other than the Existing Ground Lease Property.  With respect to the Existing Ground Lease Property, the following shall be prorated, credited, debited and adjusted between Seller and Buyer as of 12:01 a.m. on the day of the Closing (except as otherwise provided) in accordance with this Section.  For purposes of calculating prorations, Buyer shall be deemed to be in title to the Property, and therefore entitled to the income and responsible for the expenses, for the entire day upon which the Closing occurs. Except as hereinafter expressly provided, all prorations shall be done on the basis of a three hundred sixty-five (365) day year and the actual number of days elapsed to the Closing Date or the actual number of days in the month in which the Closing occurs and the actual number of days elapsed in such month to the Closing Date, as applicable.
(a)    Rents.  Buyer will receive a credit at Closing for all rents collected by Seller prior to the Closing Date and allocable to the period from and after the Closing Date based upon the actual number of days in the month. No credit shall be given to Seller for accrued and unpaid rent or any other non-current sums due from tenants until these sums are paid, and 

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Seller shall retain the right to collect any such rent provided Seller does not sue to evict any tenants or terminate any Tenant Leases. Buyer shall cooperate with Seller after the Closing Date to collect any rent under the Tenant Leases which has accrued as of the Closing Date; provided, however, Buyer shall not be obligated to sue any tenants or exercise any legal remedies under the Tenant Leases or to incur any expense over and above its own regular collection expenses. All payments collected from tenants after the Closing Date shall first be applied to the month in which the Closing occurs, then to any rent due to Buyer for the period after the Closing Date and finally to any rent due to Seller for the periods prior to Closing Date; provided, however, notwithstanding the foregoing, if Seller collects any payments from tenants after the Closing Date through its own collection efforts, Seller may first apply such payments to rent due Seller for the period prior to the Closing Date.
(b)    Property Taxes. All real property taxes for the year immediately preceding the year of Closing that are payable in the year of Closing, and for years prior thereto, shall be paid by Seller on or before the Closing.  Real property taxes for the year of Closing shall be prorated on the basis of the most recent assessment and levy. If the most recent tax assessment and levy is not for the current tax year, then the parties shall reprorate within sixty (60) days of the receipt of the tax assessment and levy for the current tax year. If after the Closing there is any retroactive increase in the real or personal property taxes or assessments imposed of the Property: (1) if such increase relates to the tax year in which the Closing occurred, then such increase shall be prorated by Seller and Buyer on a per diem basis based on their respective periods of ownership during their period to which such increase applies, (2) if such increase relates to any tax year subsequent to the tax year which the Closing occurred, then such increase shall be the obligation of Buyer, and (3) if such increase relates to any tax year prior to the tax year in which the Closing occurred, then such increase shall be the obligation of Seller. Any and all refunds, credits, claims or rights to appeal respecting the amount of any real property taxes or other taxes or assessments charged in connection with the Property for any period after Closing shall belong to Buyer following the Closing, except that Seller shall be entitled to receive any refunds applicable to the period prior to Closing to the extent that Seller initiated a contest prior to Closing.
(c)    Private Assessments.  Payments due under any assessments imposed by private covenant shall be prorated as of the Closing.
(d)    Operating Expenses. All operating expenses (including all charges under the Contracts and agreements assumed by Buyer) shall be prorated, and as to each service provider, operating expenses payable or paid to such service provider in respect to the billing period of such service provider in which the Closing occurs (the “Current Billing Period”), shall be prorated on a per diem basis based upon the number of days in the Current Billing Period prior to the Closing Date and the number of days in the Current Billing Period from and after the Closing Date, and assuming that all charges are incurred uniformly during the Current Billing Period.  If actual bills for the Current Billing Period are unavailable as of the Closing Date, then such proration shall be made on an estimated basis based upon the most recently issued bills, subject to readjustment upon receipt of actual bills.
(e)    Items Not Prorated.  Seller and Buyer agree that (i) on the Closing Date, the Property will not be subject to any financing arranged by Seller; (ii) none of 

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the insurance policies relating to the Property will be assigned to Buyer and Buyer shall be responsible for arranging for its own insurance as of the Closing Date; and (iii) utilities, including telephone, electricity, water, and gas, shall be read on the Closing Date and Buyer shall be responsible for all the necessary actions needed to arrange for utilities to be transferred to the name of Buyer on the Closing Date, including the posting of any required deposits and Seller shall be entitled to recover and retain from the providers of such utilities any refunds or overpayments to the extent applicable to the period prior to the Closing Date, and any utility deposits which it or its predecessors may have posted. Accordingly, there will be no prorations for debt service, insurance or utilities. In the event a meter reading is unavailable for any particular utility, such utility shall be prorated in the manner provided in Section 5.8.2(d).
(f)    Other Items.  All other items customarily prorated or required by any other provision of this Agreement to be prorated or adjusted.
5.8.3    Credits. 
(a)    Security Deposits, Rent Concessions, Tenant Improvement Allowances and Other Tenant Credits.  Buyer shall receive a credit at Closing from Seller in the amount of the sum of: (i) the tenant deposits under the Tenant Leases; (ii) any and all rent concessions and/or rent abatements which related to the current terms of the Tenant Leases (but not any renewal or extension options that may be exercised by the applicable Tenant from and after the Effective Date) and are unpaid, unapplied and/or unutilized; (iii) any and all tenant improvement allowances which relate to the current terms of the Tenant Leases (but not any renewal or extension options that may be exercised by the applicable Tenant from and after the Effective Date) and are unpaid, unapplied and/or unutilized; and (iv) the cost, as estimated by the parties in their reasonable discretion, of any and all non-monetary tenant inducement obligations of Seller, as landlord or lessor under the Tenant Leases, which relate to the current terms of the Tenant Leases (e.g., painting and carpeting) (but not any renewal or extension options that may be exercised by the applicable Tenant from and after the Effective Date) and are unperformed.  
(b)    Leasing Commissions.  Buyer shall receive a credit at Closing from Seller in the amount of any and all leasing commissions which relate to the current term of the Tenant Leases and are unpaid.  Buyer shall assume liability for any and all leasing commissions which relate to renewals or extensions of the Tenant Leases that may be exercised from and after the Effective Date.
5.8.4    Calculation / Re-prorations.  
(a)    General Provisions.  The Escrow Agent shall prepare and deliver to Seller and Buyer no later than three (3) business days prior to the Closing Date an estimated closing statement which shall set forth all costs payable, and the prorations and credits provided for in this Agreement.  Seller shall prepare and deliver to Escrow Agent all such information necessary in order for Escrow Agent to prepare and deliver the closing statement to Seller and Buyer in accordance with the foregoing provision.  To the extent that Seller does not timely deliver this information to Escrow Agent, Buyer shall have the right, but not the obligation, to extend the Closing Date by the number of days Seller is delinquent in delivering such information to Escrow Agent.  Any item which cannot be finally prorated because of the 

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unavailability of information shall be tentatively prorated on the basis of the best data then available and adjusted when the information is available in accordance with this subsection. Buyer and Seller shall notify the Escrow Agent and each other of any items which they dispute and the parties shall attempt in good faith to reconcile any differences not later than one (1) day before the Closing Date. The estimated closing statement as adjusted as aforesaid and approved in writing by the parties shall be referred to therein as the “Closing Statement”. If the prorations and credits made under the Closing Statement shall prove to be incorrect or incomplete for any reason, then either party shall be entitled to an adjustment to correct the same; provided, however, that any adjustment shall be made, if at all, within sixty (60) days after the Closing Date except with respect to taxes and assessments, in which case such adjustment shall be made within sixty (60) days after the information necessary to perform such adjustment is available), and if a party fails to request an adjustment to the Closing Statement by a written notice delivered to the other party within the applicable period set forth above (such notice to specify in reasonable detail the items within the Closing Statement that such party desires to adjust and the reasons for such adjustment), then the prorations and credits set forth in the Closing Statement shall be binding and conclusive against such party.
5.8.5    Indemnification.  Buyer and Seller shall each indemnify, protect, defend and hold the other harmless from and against any claim in any way arising from the matters for which the other receives a credit or otherwise assumes responsibility pursuant to this Section.
5.8.6    Survival.  The provisions of this Section 5.8 shall survive the Closing.
5.9    Distribution of Funds and Documents.  At the Closing, Escrow Agent shall do each of the following:
5.9.1    Payment of Encumbrances.  Pay the amount of those monetary liens that are not permitted as part of the Required Title Condition, utilizing proceeds of the Purchase Price to which Seller shall be entitled upon Closing and funds (if any) deposited in Escrow by Seller.
5.9.2    Non-Recorded Documents.  Deliver by overnight courier (or as otherwise requested by the intended recipient): (i) the Title Policy to Buyer; (ii) each other non-recorded document received hereunder to the payee or person acquiring rights thereunder or for whose benefit said document was acquired; (iii) a copy of each recorded document, conformed to show the recording data thereon, to each party; and (iv) a fully executed original of each other closing document.
5.9.3    Distribution of Funds.  Deliver (i) to Seller, or order, the cash portion of the Purchase Price, adjusted for prorations, charges and other credits and debits provided for herein; and (ii) to Buyer, or order, any excess funds delivered to Escrow Agent by Buyer.  Such funds shall be delivered by wire transfer or cashier’s check in accordance with instructions for Seller and Buyer; if no instructions are given, Escrow Agent shall deliver such funds by Escrow Agent’s check via overnight courier (or as otherwise requested by the intended recipient) to the appropriate party at the address set forth for notice in this Agreement.

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5.10    Completion of Documents.  Escrow Agent is authorized to insert the date of Closing and otherwise to complete the documents deposited in Escrow, where appropriate and consistent with this Agreement.
5.11    Possession and Tenant Notices.  Possession of the Property shall be delivered to Buyer by Seller at the Closing, subject only to the Tenant Leases and rights arising under the matters set forth in the Preliminary Report and permitted as part of the Required Title Condition.  Seller and Buyer covenant and agree to execute at Closing a written notice of the acquisition of the Property by Buyer, in sufficient copies for transmittal to each tenant affected by the sale and purchase of the Property and properly addressed to each tenant.  Such notice shall be prepared by Seller, at Seller’s sole cost and expense, and approved by Buyer, in its reasonable discretion, and shall notify the tenant of the sale and transfer and shall contain appropriate instructions relating to the payment of future rentals, the giving of future notices and other matters reasonably required by Buyer or required by law (each, a “Tenant Notice”).  Unless a different procedure is required by applicable law, in which event such law shall be controlling, Seller agrees to transmit or otherwise deliver such letters to the tenants under the Tenant Leases promptly after the Closing.  
ARTICLE 6 
TERMINATION AND DEFAULT
6.1    Buyer Default.  If the sale contemplated hereby is not consummated because of a default by Buyer in its obligation to purchase the Property in accordance with the terms of this Agreement after Seller has performed or tendered performance of all of its material obligations in accordance with this Agreement, then, upon written notice from Seller to Buyer: (i) this Agreement shall terminate; (ii) the Deposit shall be paid to and retained by Seller as liquidated damages; and (iii) Seller and Buyer shall have no further obligations to each other, except those which survive the termination of this Agreement.  Buyer and Seller acknowledge that the damages to Seller in the event of such a breach of this Agreement by Buyer would be difficult or impossible to determine, that the amount of the Deposit represents the parties’ best and most accurate estimate of the damages that would be suffered by Seller if the transaction should fail to close and that such estimate is reasonable under the circumstances existing as of the date of this Agreement and under the circumstances that Seller and Buyer reasonably anticipate would exist at the time of such default.  Buyer and Seller agree that Seller’s right to retain the Deposit shall be Seller’s sole remedy, at law and in equity, for Buyer’s failure to purchase the Property in accordance with the terms of this Agreement after Seller has performed.  Seller hereby waives any right to an action for specific performance of any provisions of this Agreement; provided, however, such waiver shall not apply to any indemnification obligation of Buyer or any other obligation of Buyer that otherwise survives Closing or termination of this Agreement.    
6.2    Seller’s Default.  The liability of each Seller under this Agreement shall be joint and several.  If any Seller fails to perform any of its obligations or is otherwise in default hereunder, breaches a representation or warranty, or willfully causes the failure of a condition precedent pursuant to Section 5.4 hereof (as applicable, a “Seller Default), Buyer shall have the right to elect, in its sole and absolute discretion to:

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6.2.1    Waive such failure and proceed to the Closing with no reduction in the Purchase Price; provided, however, that this provision will not limit Buyer’s right to receive reimbursement for attorney’s fees pursuant to Section 9.8 below in connection with any legal proceedings instituted by either party or Escrow Agent with respect to the enforcement of this Agreement, nor waive or affect Seller’s indemnity obligations under this Agreement or Buyer’s rights to enforce those indemnity obligations, nor waive or affect any of Seller’s other obligations under this Agreement to be performed after the Closing or Buyer’s rights to enforce those obligations;
6.2.2    Commence an action for specific performance to cause Seller to convey the Property to Buyer pursuant to the terms and conditions of this Agreement; provided, however, in the event the remedy of specific performance is not available as a remedy, Buyer may recover the full amount of the Deposit and seek reimbursement from Seller of Buyer’s actually incurred, out of pocket costs in conjunction with the Agreement, not to exceed $350,000.00; or
6.2.3    Terminate this Agreement in its entirety by notice to Seller to that effect, in which event the parties hereto shall have no further obligations hereunder, except those which survive termination hereof (provided that this provision will not limit Buyer’s right to receive reimbursement for attorney’s fees pursuant to Section 9.8 below in connection with any legal proceedings instituted by either party or Escrow Agent with respect to the enforcement of this Agreement, nor waive or affect Seller’s indemnity obligations under this Agreement or Buyer’s rights to enforce those indemnity obligations), and to recover the full amount of the Deposit.  For the avoidance of doubt, in the event of a Seller Default, the reimbursement obligation contained in Section 6.2.2 shall survive any termination of this Agreement.
6.2.4    Notwithstanding anything to the contrary contained in this Agreement, Buyer shall not be required to fund the balance of the Purchase Price in order to enforce any of its remedies under this Agreement.  This Section 6.2 shall survive the Closing or earlier termination of this Agreement.
ARTICLE 7 
CASUALTY DAMAGE OR CONDEMNATION
7.1    Casualty.  If the Property is damaged by casualty prior to the Closing and either (i) the casualty results in loss or damage in an amount valued greater than fifteen percent (15%) of the value of the damaged Property; or (ii) the nature of such casualty results in a circumstance whereby Tenants under the Tenant Leases representing more than twenty percent (20%) of the total square footage of the damaged Property that is subject to Tenant Leases may terminate their respective Tenant Leases, and such Tenant Leases are so terminated, then Buyer, in its sole and absolute discretion, shall have the sole option to elect either to:
(a)    acquire the Property as is (without reduction in the Purchase Price), plus an assignment from Seller without recourse or credit of any insurance proceeds payable by virtue of such loss or damage plus a credit for any deductible under said policy and any uninsured loss.  If the casualty is uninsured, Buyer shall receive a credit for the uninsured loss; or

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(b)    terminate this Agreement as to only the damaged Property upon written notice to Seller, in which event the Purchase Price shall be reduced by the amount allocated to the damaged Property as set forth on Schedule 1.3.  In the event this Agreement is terminated as to all of the Properties pursuant to this Section 7.1, then the entire Deposit shall be promptly returned to Buyer and the parties shall have no further obligations, except those which expressly survive termination of this Agreement.
Such right must be exercised within ninety (90) days from earlier of the date Seller provides Buyer with notice of the loss of the event giving rise to such right or the date of Buyer’s knowledge of the casualty.  If Buyer fails to provide notice of an election, then Buyer shall have been deemed to elect (b) above.  Notwithstanding anything set forth herein to the contrary, if Seller is in default or breach at the time of any such termination, Seller shall remain liable for breach or default as otherwise set forth in this Agreement.
7.2    Condemnation.  In the event that a condemnation proceeding shall be initiated against, or a bona fide threat of condemnation is made against, any portion of the Property prior to the Closing, then Buyer, in Buyer’s sole and absolute discretion, may elect either to:
(a)    terminate the entirety of this Agreement upon written notice to Seller, in which event the entire Deposit shall be promptly returned to Buyer and the parties shall have no further obligations, except those which expressly survive termination of this Agreement; or
(b)    close the transaction contemplated by this Agreement.
Notwithstanding the foregoing, if Seller is in default or breach at the time of any such termination, Seller shall remain liable for breach or default as otherwise set forth in this Agreement.  If Buyer elects to proceed under Section 7.2(b), Buyer shall purchase the Property in accordance with the terms hereof (without reduction in the Purchase Price) and Seller shall assign to Buyer at Closing all condemnation proceeds payable as a result of such condemnation.  Buyer shall be deemed to have elected to proceed under Section 7.2(a) unless, within ninety (90) days from the earlier of written notice of the condemnation or Buyer’s knowledge thereof, Buyer provides Seller with written notice that Buyer elects to proceed under Section 7.2(b).  
ARTICLE 8 
REAL ESTATE COMMISSION
Buyer and Seller each represent to the other that no broker’s or real estate commissions or other finder’s fees, other than a commission payable by Seller to Cain Brothers RE LLC (the “Broker”), are or shall be due in respect to this transaction by reason of any agreement made or which may be alleged to have been made by Buyer or Seller.  At Closing, Seller shall pay all commissions and fees owed to the Broker pursuant to Seller’s separate agreement with the Broker.  Each party agrees to indemnify and hold harmless the other from and against any and all claims, demands or the cost or expense thereof, including reasonable attorney’s fees, arising out of any broker’s commission, fee or other compensation due or alleged to be due in connection with the transactions contemplated by this Agreement based upon an agreement alleged to have been made or other action alleged to have been taken by the indemnifying party.

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ARTICLE 9 
MISCELLANEOUS
9.1    Entire Agreement; Third Party Beneficiaries.  This Agreement constitutes the entire agreement between the parties hereto with respect to the transactions contemplated herein, and it supersedes all prior discussions, understandings or agreements between the parties.  Any and all exhibits and/or schedules attached hereto are a part of this Agreement and are incorporated herein by reference.  The parties acknowledge and agree that there are no third party beneficiaries of this Agreement other than Seller’s Indemnified Parties and Buyer’s Indemnified Parties.
9.2    Binding On Successors and Assigns.  Subject to Section 9.3, this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.
9.3    Assignment by Buyer.  Buyer shall have the right to assign this Agreement to any third party or parties and no consent on the part of Seller shall be required for such assignment, provided however, that any such assignment shall not relieve Buyer of its liabilities and obligations hereunder.  
9.4    Waiver.  The excuse or waiver of the performance by a party of any obligation of the other party under this Agreement shall only be effective if evidenced by a written statement signed by the party so excusing or waiving.  No delay in exercising any right or remedy shall constitute a waiver thereof, and no waiver by Seller or Buyer of the breach of any covenant of this Agreement shall be construed as a waiver of any preceding or succeeding breach of the same or any other covenant or condition of this Agreement.
9.5    Governing Law.  This Agreement shall be governed by and construed under the internal laws of the State where the Real Property is located without regard to the principles of conflicts of law.
9.6    Counterparts.  This Agreement may be executed in any number of counterparts and it shall be sufficient that the signature of each party appear on one or more such counterparts.  All counterparts shall collectively constitute a single agreement.  Originals transmitted by facsimile or electronic mail shall be considered original in all respects.
9.7    Notices.  All notices, demands and other communications of any type given by any party hereunder, whether required by this Agreement or in any way related to the transaction contracted for herein, shall be void and of no effect unless given in accordance with the provisions of this Section.  All notices shall be in writing and shall be delivered: (i) by courier; (ii) by Federal Express or other nationally recognized overnight delivery service; (iii) by facsimile; or (iv) by e-mail.  Notices delivered by facsimile or e-mail must be followed by confirmation via Federal Express or other nationally recognized overnight delivery service.  Notices shall be deemed received: (1) if by courier, upon delivery or refusal of same; (2) if by Federal Express or other nationally recognized overnight delivery service, the business day following deposit; (3) if by facsimile, upon confirmation of transmission; and (4) immediately following e-mail transmission.  Any notice received on a non-business day or after 5:00 p.m. 

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Pacific Time on a Business Day shall be deemed received on the next business day.  Notices shall be given to the following addresses:
	
		
	To Seller:
	Good Shepherd Health System, Inc.

	 
	700 E. Marshall Avenue

	 
	Longview, Texas 75601

	 
	Attn:  Ken C. Cunningham, EVP Legal Counsel

	 
	Phone:  (903) 315-2656

	 
	Email:  kcunnginham@gsmc.org

	 
	 

	And with a copy to:
	Winstead PC

	 
	500 Winstead Building

	 
	2728 N. Harwood Street

	 
	Dallas, Texas 75201

	 
	Attn:  T. Andrew Dow, Esq.

	 
	Phone:  (214) 745-5987

	 
	Facsimile:  (214) 745-5390

	 
	Email:  adow@winstead.com

	 
	 

	To Buyer:
	GAHC3 East Texas MOB Portfolio, LLC

	 
	c/o Griffin-American Healthcare REIT III,

	 
	Inc.

	 
	18191 Von Karman Ave., Suite 300

	 
	Irvine, CA 92612

	 
	Attn:  Danny Prosky

	 
	Phone:  (949) 270-9201

	 
	E-mail:  DProsky@ahinvestors.com

	 
	 

	And with a copy to:
	Kaplan, Voekler Cunningham & Frank, PLC

	 
	1401 E. Cary Street

	 
	Richmond, Virginia 23219

	 
	Attn:  Joseph J. McQuade

	 
	Telephone:  (804) 823-4004

	 
	Facsmilie:  (804) 823-4099

	 
	E-mail:  jmcquade@KV-legal.com

Any address or name specified above may be changed by notice given to the addressee by the other party in accordance with this Section 9.7.  The inability to deliver notice because of a changed address of which no notice was given as provided above, or because of rejection or other refusal to accept any notice, shall be deemed to be the receipt of the notice as of the date of such inability to deliver or rejection or refusal to accept.  Any notice to be given by any party hereto may be given by the counsel for such party.
9.8    Attorneys’ Fees.  In the event of a judicial or administrative proceeding or action by one party against the other party with respect to the interpretation or enforcement of this 

32

Agreement, the prevailing party shall be entitled to recover reasonable costs and expenses including, without limitation, reasonable attorneys’ fees and expenses, whether at the investigative, pretrial, trial or appellate level.  The prevailing party shall be determined by the court based upon an assessment of which party’s major arguments or position prevailed.
9.9    IRS Real Estate Sales Reporting.  Buyer and Seller agree that Escrow Agent shall act as “the person responsible for closing” the transaction which is the subject of this Agreement pursuant to Section 6045(e) of the Code and shall prepare and file all informational returns, including without limitation, IRS Form 1099-S, and shall otherwise comply with the provisions of Section 6045(e) of the Code.
9.10    Time Periods.  If the time for performance of any obligation hereunder expires on a day that is not a Business Day, the time for performance shall be extended to the next Business Day.
9.11    Modification of Agreement.  No modification of this Agreement shall be deemed effective unless in writing and signed by the party against whom enforcement is sought.
9.12    Survival of Provisions After Closing.  Any provisions of this Agreement that require observance or performance after the Closing Date shall continue in force and effect following the Closing Date, subject to the limitations set forth herein.

9.13    Further Instruments.  Each party, promptly upon the request of the other, shall execute and have acknowledged and delivered to the other or to the Escrow Agent, as may be appropriate, any and all further instruments reasonably requested or appropriate to evidence or give effect to the provisions of this Agreement and which are consistent with the provisions of this Agreement.
9.14    Descriptive Headings; Word Meaning.  The descriptive headings of the paragraphs of this Agreement are inserted for convenience only and shall not control or affect the meaning or construction of any provisions of this Agreement.  Words such as “herein,” “hereinafter,” “hereof’ and “hereunder” when used in reference to this Agreement, refer to this Agreement as a whole and not merely to a subdivision in which such words appear, unless the context otherwise requires.  The singular shall include the plural and the masculine sender shall include the feminine and neuter, and vice versa, unless the context otherwise requires.  The word “including” shall not be restrictive and shall be interpreted as if followed by the words “without limitation.”
9.15    Business Day.  As used herein, the term “Business Day” means any day other than Saturday, Sunday and any day which is a legal holiday in the State where the Real Property is located or the State of California.
9.16    Construction of Agreement.  This Agreement shall not be construed more strictly against one party than against the other merely by virtue of the fact that it may have been prepared primarily by counsel for one of the parties, it being recognized that both Buyer and Seller have contributed substantially and materially to the preparation of this Agreement.

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9.17    Severability.  The parties hereto intend and believe that each provision in this Agreement comports with all applicable local, state and federal laws and judicial decisions.  However, if any provision in this Agreement is found by a court of law to be in violation of any applicable local, state or federal law, statute, ordinance, administrative or judicial decision, or public policy, or if in any other respect such a court declares any such provision to be illegal, invalid, unlawful, void or unenforceable as written, then it is the intent of all parties hereto that, consistent with and with a view towards preserving the economic and legal arrangements among the parties hereto as expressed in this Agreement, such provision shall be given force and effect to the fullest possible extent, and that the remainder of this Agreement shall be construed as if such illegal, invalid, unlawful, void or unenforceable provision were not contained herein, and that the rights, obligations and interests of the parties under the remainder of this Agreement shall continue in full force and effect.
9.18    Exclusivity.  From and after the Effective Date, Seller and its respective agents, representatives and employees shall immediately cease all marketing of the Property until such time as this Agreement is terminated and Seller shall not directly or indirectly make, accept, negotiate, entertain or otherwise pursue any offers for the sale of the Property. 
9.19    Section 1031 Exchange.  Either party may consummate the purchase or sale of the Property as part of a so-called like kind exchange (an “Exchange”) pursuant to Section 1031 of the Code, provided that (i) the Closing shall not be delayed or affected by reason of an Exchange nor shall the consummation or accomplishment of any Exchange be a condition precedent or condition subsequent to a party’s obligations under this Agreement; (ii) any party desiring an Exchange shall effect its Exchange through an assignment of this Agreement, or its rights under this Agreement, to a qualified intermediary and the other party shall not be required to take an assignment of the purchase agreement for the relinquished or replacement property or be required to acquire or hold title to any real property for purposes of consummating such Exchange; and (iii) the party desiring an Exchange shall pay any additional costs that would not otherwise have been incurred by Buyer or Seller had such party not consummated its purchase or sale through an Exchange.  Neither party shall by this agreement or acquiescence to an Exchange desired by the other party (1) have its rights under this Agreement affected or diminished in any manner or (2) be responsible for compliance with or be deemed to have warranted to the other party that such party’s Exchange in fact complies with Section 1031 of the Code.  In connection with such cooperation, Seller agrees, upon request of Buyer to “direct deed” for actual interests in the property to designees of Buyer. 
9.20    Buyer’s Disclosures.  Seller acknowledges that it is Buyer’s intention that the ultimate acquirer be a subsidiary of a corporation that is or intends to qualify as a real estate investment trust and that, as such, it is subject to certain filing and reporting requirements in accordance with federal laws and regulations, including but not limited to, regulations promulgated by the Securities and Exchange Commission.  Accordingly, and notwithstanding any provision of this Agreement or the provisions of any other existing agreement between the parties hereto to the contrary, Buyer may publically file, disclose, report or publish any and all information related to this transaction that may be reasonably interpreted as being required by federal law or regulation.

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[Remainder of page intentionally left blank; signatures to follow on next pages.]

35

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.
	
		
	SELLER:               
	GSHS ENTERPRISES OPERATING #1, INC., 
a Delaware corporation 

By:          /s/ Steve Altmiller            
Name:          Steve Altmiller               
Its:                President and CEO     

GOOD SHEPHERD HEALTH SYSTEM, INC., 
a Texas non-profit corporation 

By:          /s/ Steve Altmiller           
Name:          Steve Altmiller           
Its:                President and CEO    

GOOD SHEPHERD ENTERPRISES, INC., 
a Texas non-profit corporation 

By:          /s/ Steve Altmiller            
Name:          Steve Altmiller            
Its:                President and CEO     

EL CASA ORTHOPAEDICA, INC., 
a Texas corporation 

By:            /s/ Steve Altmiller          
Name:            Steve Altmiller          
Its:                  President and CEO   

LONGVIEW CASA NUEVA, INC., 
a Texas corporation 

By:             /s/ Steve Altmiller        
Name:             Steve Altmiller        
Its:                   President and CEO  

36

[Signature Page to Real Estate Purchase Agreement and Escrow Instructions]

37

		
	BUYER:
	GAHC3 EAST TEXAS MOB PORTFOLIO, LLC, a Delaware limited liability company 

By:      Griffin-American Healthcare REIT III Holdings, LP, a Delaware limited partnership
Its:       Sole Member

By:      Griffin-American Healthcare REIT III, Inc.,
a Maryland corporation
Its:       General Partner

By:        /s/ Jeffrey T. Hanson           

Name:        Jeffrey T. Hanson           

Title:          Chief Executive Officer 

[Signature Page to Real Estate Purchase Agreement and Escrow Instructions]

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CONSENT OF ESCROW AGENT
The undersigned Escrow Agent hereby agrees to (a) accept the foregoing Agreement, (b) be Escrow Agent under said Agreement and (c) be bound by said Agreement in the performance of its duties as Escrow Agent; provided, however, the undersigned shall have no obligations, liability or responsibility under (i) this Consent or otherwise unless and until said Agreement, fully signed by the parties, has been delivered to the undersigned or (ii) any amendment to said Agreement unless and until the same shall be accepted by the undersigned in writing.
	
		
	DATED:      11-19-14       

	CENTRAL TITLE COMPANY

By:         /s/ Betty Lamb                         
Name:         Betty Lamb                         
Its:               President                             

	 
	 

39

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