Document:

Exhibit 10.57

 

Loan No. 20069217001

 

PROMISSORY
NOTE

 

	
  $10,725,000.00

  	
   

  	
  April 21, 2006

  

 

FOR VALUE RECEIVED, MB LOUISVILLE SOUTHGATE, L.L.C., a Delaware
limited liability company having its principal place of business at c/o Inland
American Real Estate Trust, Inc., 2901 Butterfield Road, Oak Brook, Illinois
60523, a maker hereunder (referred to herein as “Borrower”), hereby unconditionally promises to pay to the
order of MERRILL LYNCH MORTGAGE LENDING, INC., a Delaware corporation, as
payee, having an address at 4 World Financial Center, 250 Vesey Street, 16th Floor, New York, New York 10080 (“Lender”), or at such other place as the
holder hereof may from time to time designate in writing, the principal sum of
TEN MILLION SEVEN HUNDRED TWENTY-FIVE THOUSAND AND 00/100 DOLLARS
($10,725,000.00), in lawful money of the United States of America with interest
thereon to be computed from the date of this Note at the Interest Rate, and to
be paid in accordance with the terms of this Note and that certain Loan Agreement,
dated as of the date hereof, between Borrower and Lender (the “Loan Agreement”). All capitalized terms not
defined herein shall have the respective meanings set forth in the Loan
Agreement.

 

ARTICLE
1

 

PAYMENT
TERMS

 

Borrower agrees to pay interest on the unpaid
principal sum of this Note from time to time outstanding at the rates and at
the times specified in the Loan Agreement and the outstanding balance of the
principal sum of this Note and all accrued and unpaid interest thereon shall be
due and payable on the Maturity Date. This Note shall be the “Note” as defined
in the Loan Agreement.

 

ARTICLE
2

 

DEFAULT
AND ACCELERATION

 

The Debt shall without notice become
immediately due and payable at the option of Lender if any payment required in
this Note is not paid on or prior to the date when due or if not paid on the
Maturity Date or on the happening of any other Event of Default.

 

ARTICLE
3

 

LOAN
DOCUMENTS

 

This Note is secured by the Mortgage and the other Loan Documents. All
of the terms, covenants and conditions contained in the Loan Agreement, the
Mortgage and the other Loan Documents are hereby made part of this Note to the
same extent and with the same force as if they were fully set forth herein. In
the event of a conflict or inconsistency between the terms of this Note and the
Loan Agreement, the terms and provisions of the Loan Agreement shall govern.

 

 

ARTICLE
4

 

SAVINGS
CLAUSE

 

Notwithstanding anything to the contrary, (a)
all agreements and communications between Borrower and Lender are hereby and
shall automatically be limited so that, after taking into account all amounts
deemed interest, the interest contracted for, charged or received by Lender
shall never exceed the maximum lawful rate or amount, (b) in calculating
whether any interest exceeds the lawful maximum, all such interest shall be
amortized, prorated, allocated and spread over the full amount and term of all
principal indebtedness of Borrower to Lender, and (c) if through any
contingency or event, Lender receives or is deemed to receive interest in
excess of the lawful maximum, any such excess shall be deemed to have been
applied (without prepayment penalty or premium) toward payment of the principal
of any and all then outstanding indebtedness of Borrower to Lender, or if there
is no such indebtedness, shall immediately be returned to Borrower.

 

ARTICLE
5

 

NO
ORAL CHANGE

 

This Note may not be modified, amended,
waived, extended, changed, discharged or terminated orally or by any act or
failure to act on the part of Borrower or Lender, but only by an agreement in
writing signed by the party against whom enforcement of any modification,
amendment, waiver, extension, change, discharge or termination is sought.

 

ARTICLE
6

 

WAIVERS

 

Borrower and all others who may become liable
for the payment of all or any part of the Debt do hereby severally waive
presentment and demand for payment, notice of dishonor, notice of intention to
accelerate, notice of acceleration, protest and notice of protest and
nonpayment and all other notices of any kind. No release of any security for
the Debt or extension of time for payment of this Note or any installment
hereof, and no alteration, amendment or waiver of any provision of this Note,
the Loan Agreement or the other Loan Documents made by agreement between Lender
or any other Person shall release, modify, amend, waive, extend, change,
discharge, terminate or affect the liability of Borrower, and any other Person
who may become liable for the payment of all or any part of the Debt, under
this Note, the Loan Agreement or the other Loan Documents. No notice to or
demand on Borrower shall be deemed to be a waiver of the obligation of Borrower
or of the right of Lender to take further action without further notice or
demand as provided for in this Note, the Loan Agreement or the other Loan
Documents. If Borrower is a partnership, the agreements herein contained shall
remain in force and applicable, notwithstanding any changes in the individuals
comprising the partnership, and the 

 

 

term “Borrower,” as used herein, shall include any alternate or
successor partnership, but any predecessor partnership and their partners shall
not thereby be released from any liability. If Borrower is a limited liability
company, the agreements herein contained shall remain in force and applicable,
notwithstanding any changes in the members comprising the company, and the term
“Borrower,” as used herein, shall include any alternate or successor company,
but any predecessor company shall not thereby be released from any liability. If
Borrower is a corporation, the agreements contained herein shall remain in full
force and applicable notwithstanding any changes in the shareholders
comprising, or the officers and directors relating to, the corporation, and the
term “Borrower” as used herein, shall include any alternative or successor
corporation, but any predecessor corporation shall not be relieved of liability
hereunder. (Nothing in the foregoing sentence shall be construed as a consent
to, or a waiver of, any prohibition or restriction on transfers of interests in
such entity which may be set forth in the Loan Agreement, the Mortgage or any
other Loan Document.)

 

ARTICLE
7

 

TRANSFER

 

Upon the transfer of this Note, Borrower
hereby waiving notice of any such transfer except as provided in the Loan
Agreement, Lender may deliver all the collateral mortgaged, granted, pledged or
assigned pursuant to the Loan Documents, or any part thereof, to the transferee
who shall thereupon become vested with all the rights herein or under
applicable law given to Lender with respect thereto, and Lender shall from that
date forward forever be relieved and fully discharged from any liability or
responsibility in the matter, but Lender shall retain all rights hereby given
to it with respect to any liabilities and the collateral not so transferred.

 

ARTICLE
8

 

EXCULPATION

 

The provisions of Section 9.4 of the Loan
Agreement are hereby incorporated by reference into this Note to the same
extent and with the same force as if fully set forth herein.

 

ARTICLE
9

 

GOVERNING
LAW

 

THIS NOTE SHALL BE DEEMED TO BE A CONTRACT
ENTERED INTO PURSUANT TO THE LAWS OF THE STATE IN WHICH THE PROPERTY IS LOCATED
AND SHALL IN ALL RESPECTS BE GOVERNED, APPLIED AND ENFORCED IN ACCORDANCE WITH
THE LAWS OF THE STATE IN WHICH THE PROPERTY IS LOCATED AND APPLICABLE FEDERAL
LAWS.

 

ARTICLE
10

 

NOTICES

 

All notices or other written communications hereunder shall be
delivered in accordance with Section 10.6 of the Loan Agreement.

 

 

 

IN WITNESS WHEREOF, Borrower has duly
executed this Note as of the day and year first above written.

 

	
   

  	
  BORROWER:

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  MB LOUISVILLE SOUTHGATE, L.L.C.,
  a Delaware limited liability company

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Minto Builders (Florida) Inc., a

  Florida corporation, its sole member

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Valerie Medina

  
	
   

  	
   

  	
   

  	
  Name: Valerie Medina

  
	
   

  	
   

  	
   

  	
  Title: Assistant Secretary

  

 

 

ACKNOWLEDGMENT 

 

	
  STATE OF
  Illinois

  	
  )

  
	
   

  	
  ) SS.

  
	
  COUNTY OF DuPage

  	
  )

  

 

The foregoing instrument was subscribed, sworn to and acknowledged
before me this 20th day of April, 2006 by Valerie Medina, as Assistant Secretary
of Minto Builders (Florida) Inc., a Florida corporation, the sole member of MB
Louisville Southgate, L.L.C., a Delaware limited liability company on behalf of
said company in its capacity as                               
of said company.

 

	
  /s/ Carolyn
  Lundgren

  	
   

  
	
  Notary Public,

  

 

My Commission Expires: 

(Notarial Seal)Exhibit
10.58

 

ALLSTATE LIFE INSURANCE
COMPANY

ALLSTATE PLAZA SOUTH,
SUITE G5C

NORTHBROOK, ILLINOIS
60062

 

May 12, 2006

 

	
  MB Shakopee Vierling, L.L.C.

  
	
  2901 Butterfield Road

  
	
  Oak Brook, Illinois 60523

  
	
   

  	
   

  	
   

  
	
   

  	
  Re:

  	
  Allstate Life Insurance Company

  
	
   

  	
   

  	
  Loan No. 122827

  
	
   

  	
   

  	
  1698 Vierling Drive

  
	
   

  	
   

  	
  Shakopee, Minnesota (the “Property”)

  

 

Ladies and Gentlemen:

 

                Reference is made
to our Commitment Letter dated May 5, 2006, as amended (the “Commitment”) with
respect to a $8,800,000 loan (the “Loan”) to be evidenced by a Mortgage Note of
even date herewith, payable to Allstate Life Insurance Company in the principal
amount of the Loan (the “Note”), and to be secured by a Mortgage, Assignment of
Leases, Rents and Contracts, Security Agreement and Fixture Filing of even date
herewith (the “Mortgage”) encumbering the Property. Initially capitalized terms
used but not otherwise defined in this letter agreement (the “Letter Agreement”)
have the same meanings given them in the Mortgage.

 

                In consideration
of your execution and delivery of the documents evidencing, securing or
otherwise pertaining to the Loan (the “Loan Documents”), you (the “Borrower”)
and we (“Lender”) hereby agree as follows:

 

1.             Related
Agreement.  This Letter Agreement
shall constitute a Related Agreement.

 

2.             Impounds.  With regard to the provisions contained in
Section 1.06 of the Mortgage requiring Borrower to deposit 1/12 of the annual
amounts of real estate taxes, regular and special assessments and insurance
premiums, Lender hereby agrees to defer collection of such monthly deposits for
so long as (i) Borrower is the sole fee simple owner of the Property; (ii) no
Event of Default exists under the Loan Documents and no condition or event
exists which with notice, the passage of time, or both, would constitute an
Event of Default; (iii) at Lender’s election, Borrower either pays for a tax
reporting service or Borrower promptly and consistently furnishes evidence that
taxes are being currently paid; and (iv) Borrower promptly and consistently
furnishes evidence that insurance premiums are being currently paid.

 

3.             Earthquake
Insurance.  With regard to the
provisions contained in Section 1.02 of the Mortgage requiring Borrower obtain
earthquake insurance coverage on the Property, Lender hereby agrees to waive
such requirement until such time as coverage is available at commercially
reasonable rates and in Lender’s reasonable opinion such coverage is generally
required by other institutional lenders.

 

 

4.             Borrower’s
Right to Transfer the Property. 
Notwithstanding the provisions contained in Section 1.08 and other
applicable provisions of the Mortgage, Borrower shall have a one time right,
provided there is no default or an event which, with notice or the passage of
time, or both, could result in a default by Borrower under the Loan Documents,
to assign, sell or transfer all of the Property (the “Permitted Transfer”) to a
party with experience, reasonably satisfactory to Lender, in managing property
similar to the Property and whose financial condition is reasonably
satisfactory to Lender (“Permitted Transferee”). The Permitted Transfer shall
be further conditioned upon: (a) the payment by Borrower to Lender of a
transfer fee equal to one percent of the outstanding principal balance of the
Note (a nonrefundable $5,000 deposit toward such transfer fee shall be due at
the time Borrower initially requests a Permitted Transfer, the balance of the
transfer fee shall be due on the closing of the transaction); (b) the
reimbursement of all of Lender’s expenses, including legal fees, incurred in
connection with the Permitted Transfer; (c) the Permitted Transferee and such
general partners or principals of Permitted Transferee as Lender may request,
assuming, in form and substance satisfactory to Lender, all obligations of Borrower
under the Loan Documents, including, without limitation, the Environmental
Indemnity Agreement and any nonrecourse exception indemnity agreement, with the
same degree of recourse liability as Borrower and subject to the same
exculpatory provisions; (d) Lender’s receipt of a title policy complying with
the requirements of the Commitment, updated to the date of the Permitted
Transfer, evidencing that such Permitted Transfer will not adversely affect
Lender’s first and prior lien on the Property or any other rights or interests
granted to Lender under the Loan Documents; (e) Lender’s receipt of opinions of
counsel acceptable to Lender that all previous opinions, pertaining to Borrower
are true with respect to the Permitted Transferee and the Permitted Transferee
has duly assumed the Loan Documents, and same are valid and enforceable against
Permitted Transferee and the Property; and that Borrower has the requisite
power and authority to properly transfer the Property; (f) the Property having
maintained a Debt Coverage Ratio of not less than 200 percent for the 12 month
period ending 30 days before the date of the Permitted Transfer and the
Property having a projected Debt Coverage Ratio for the next 12 months based on
the most recently approved and certified financial statements and annual rent
roll of not less than 200 percent; (g) the Permitted Transferee paying to
Borrower at least 45 percent cash down payment on the date of the Permitted
Transfer; (h) Lender’s receipt and approval of the purchase and sale contract
and copies of the proposed transfer documentation; (i) Lender’s receipt and
approval of the Permitted Transferee’s resume and financial statements; and (j)
Lender’s receipt and approval of an updated MAI appraisal by an appraiser
satisfactory to Lender (prepared at Borrower’s expense) specifically confirming
a loan to value ratio of no more than 55 percent.

 

Net Operating Income shall be certified to be true and
correct by the managing general partner, manager or chief financial officer of
Borrower.

 

5.             Right
to Transfer Property to an Affiliate. 
Notwithstanding the provisions contained in Section 1.08 and other
applicable provisions of the Mortgage, Borrower shall have a one-time right,
subject to Lender’s investments policies dealing with borrower exposure
limitations and provided there is no default or an event which, with notice or
the passage of time, or both, could result in a default by Borrower under the
Loan Documents, to assign, sell or transfer all of the Property (the “Permitted
Affiliated Transfer”) to (a) Inland Retail Real Estate Trust, Inc. (“IRRETI”),
Inland Real Estate Corporation (“IREC”), Inland Western Retail Real Estate
Trust, Inc. (“IWRRETI”), Inland American Real Estate Trust, Inc. (“IARETI”) or
another

 

2

 

real estate investment trust whose operations and management are,
directly or indirectly, controlled by either Inland Real Estate Investment
Corporation or The Inland Group, Inc. and reasonably acceptable to Lender
(IRRETI, IREC, IWRRETI, IARETI and any such other real estate investment trust,
an “Inland REIT”); a direct or indirect wholly owned subsidiary of an Inland
REIT; a partnership, trust or limited liability company or other entity in
which all of the equity interests are owned by an Inland REIT or wholly owned
subsidiaries of an Inland REIT (collectively, “Inland Affiliates”), or (b) a
joint venture between an Inland REIT or an Inland Affiliate and an institution,
provided an Inland REIT or Inland Affiliate, directly or indirectly, continues
to own at least 10% of the joint venture, is the managing entity, and maintains
operational and management control of the joint venture (the entities described
in (a) and (b) above, “Permitted Affiliated Transferee”). The Permitted
Affiliated Transfer shall be further conditioned upon:

 

(a)           the
payment by Borrower to Lender of a $5,000 transfer fee;

 

(b)           the
reimbursement of all of Lender’s expenses, including legal fees, incurred in
connection with the Permitted Affiliated Transfer;

 

(c)           the
assumption by Permitted Affiliated Transferee, in form and substance
satisfactory to Lender, of all obligations of Borrower and Borrower under the
Loan Documents, including, without limitation, the Environmental Indemnity
Agreement and Nonrecourse Exception Indemnity Agreement, with the same degree
of recourse liability as Borrower and Borrower and subject to the same
exculpatory provisions;

 

(d)           Lender’s
receipt of a title policy complying with the requirements of the Commitment,
updated to the date of the Permitted Affiliated Transfer, evidencing that such
Permitted Affiliated Transfer will not adversely affect Lender’s first and
prior lien on the Property or any other rights or interests granted to Lender
under the Loan Documents; and

 

(e)           Lender’s
receipt of opinions of counsel acceptable to Lender that all previous opinions,
pertaining to Borrower and Borrower are true with respect to the Permitted
Affiliated Transferee and Permitted Affiliated Transferee has duly assumed the
Loan Documents, and same are valid and enforceable against Permitted Affiliated
Transferee and the Property; and that Borrower has the requisite power and
authority to properly transfer the Property.

 

6.             Right
to Change Ownership Interests in Borrower. 
Notwithstanding the provisions contained in Section 1.08 and other
applicable provisions of the Mortgage, ownership interest(s) in the Borrower
and any direct or indirect owner of a legal or beneficial interest in Borrower
may be transferred, so long as following any such transfer an Inland REIT or an
Inland Affiliate retains at least 10% or more, directly or indirectly, of the
equity ownership interests in Borrower and retains operational and management
control of Borrower and the Property.

 

Lender shall promptly receive notice of any transfer
or series of related transfers affecting 25% or more of the equity ownership
interests in Borrower and either a copy of the current partnership or trust
agreement, as applicable, setting forth the new allocation(s) of the ownership
interests in Borrower or a letter from Borrower setting forth the new
allocation(s) of the

 

3

 

ownership interests in any corporate or LLC borrower or general partner
of Borrower, as applicable, certified by Borrower to be true and correct.

 

Borrower shall pay all out of pocket costs and
expenses incurred by Lender, if any, in connection with the transfer of
ownership interests.

 

7.             Insurance.  Lender hereby approves the insurance
evidenced by the certificates attached as Exhibit A hereto.

 

8.             Property
Manager.  Lender hereby approves
Inland American Retail Management, Inc., as manager of the Property, subject to
its execution of the letter attached as Exhibit B hereto.

 

9.             Minto
Builders (Florida), Inc. (“MB REIT”): 
MB REIT is currently the sole member of Borrower and IARETI has control
of MB REIT. IARETI shall maintain control of MB REIT and shall acquire at least
75% of the ownership and at least 97.5% of the voting control of MB REIT by
December 31, 2006.

 

10.           Rights Personal to Borrower.  The rights granted to Borrower in this Letter
Agreement shall be personal to Borrower and shall not inure to the benefit of any subsequent owner
of the Property. In the event Lender transfers all or any part of the Loan or
any interest in the Loan Documents to any other person or entity, Lender agrees
to notify such transferee(s) of the existence of this Letter Agreement and the
fact that it is binding upon Lender’s successors and assigns by delivering such
transferee(s) a true, correct and complete copy of this Letter Agreement
concurrently with such transfer accompanied by a letter of transmittal from
Lender advising such transferee(s) of the binding nature of the provisions of
this Letter Agreement. Lender will send a copy of its letter of transmittal and
the enclosure to Borrower, and Borrower’s name will be shown on the face of the
original letter of transmittal as an addressee thereof.

 

*              *              *              *              *

 

[Signature Page
Follows]

 

4

 

	
   

  	
  Very truly yours,

  
	
   

  	
   

  
	
   

  	
  ALLSTATE LIFE INSURANCE COMPANY,

  
	
   

  	
  an Illinois insurance corporation

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ [illegible]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ [illegible]

  
	
   

  	
   

  	
  Its Authorized Signatories

  
	
   

  	
   

  
	
   

  	
  Accepted and agreed:

  
	
   

  	
   

  
	
   

  	
  MB SHAKOPEE VIERLING, L.L.C.,

  
	
   

  	
  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  MINTO BUILDERS (FLORIDA), INC.

  
	
   

  	
   

  	
  a Florida corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Debra A. Palmer

  
	
   

  	
   

  	
  Its

  	
  Debra A. Palmer

  
	
   

  	
   

  	
   

  	
  Assistant Secretary

  
	
   

  	
   

  
	
  Dated: May 12, 2006

  	
   

  

 

5

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