Document:

Exhibit 10.1

 

AMENDED AND RESTATED

TERM LOAN AGREEMENT

 

DATED AS OF
JUNE 24, 2010

 

AMONG

 

INLAND REAL
ESTATE CORPORATION,

AS BORROWER

 

AND

 

KEYBANK
NATIONAL ASSOCIATION

AS ADMINISTRATIVE AGENT

 

KEYBANC
CAPITAL MARKETS

AS CO-LEAD ARRANGER

 

AND

 

WELLS FARGO
BANK, NATIONAL ASSOCIATION

AS CO-SYNDICATION AGENT

 

AND

 

WELLS FARGO
SECURITIES, LLC 

(f/k/a/ Wachovia Capital Markets, LLC)

AS CO-LEAD ARRANGER

 

AND

 

BANK OF
AMERICA, N.A.

AS CO-SYNDICATION AGENT

 

AND

 

BANC OF
AMERICA SECURITIES LLC

AS CO-LEAD ARRANGER

 

AND

 

RBS
CITIZENS, NATIONAL ASSOCIATION D/B/A CHARTER ONE,

AS A CO-DOCUMENTATION AGENT

 

AND

 

BMO CAPITAL
MARKETS

AS A CO-DOCUMENTATION AGENT

 

AND

 

THE SEVERAL
LENDERS

FROM TIME TO TIME PARTIES HERETO,

AS LENDERS

 

 

AMENDED AND RESTATED TERM LOAN AGREEMENT

 

This
Amended and Restated Term Loan Agreement, dated as of June 24, 2010, is
among Inland Real Estate Corporation, a corporation organized under the laws of
the State of Maryland (the “Borrower”), KeyBank National Association, a
national banking association, both individually as a “Lender” and as “Administrative
Agent”, Wells Fargo Bank, National Association, both individually as a “Lender”
and as a “Co-Syndication Agent,” Bank of America, N.A., both
individually as a “Lender” and as “Co-Syndication Agent” (the
Co-Syndication Agents will collectively be referred to as the “Syndication
Agent”), KeyBanc Capital Markets as a “Co-Lead Arranger,” Wells
Fargo Securities, LLC, as a “Co-Lead Arranger,” “Banc of America
Securities LLC as a “Co-Lead Arranger” (the Co-Lead Arrangers will
collectively be referred to as “Lead Arrangers”), RBS Citizens, National
Association d/b/a Charter One, both individually as a “Lender” and as a “Co-Documentation
Agent,” BMO Capital Markets, as a “Co-Documentation Agent,” and the
several banks, financial institutions and other entities which may from time to
time become parties to this Agreement as additional “Lenders”.

 

RECITALS

 

A.            The Borrower is primarily
engaged in the business of purchasing, owning, operating, leasing and managing
retail properties.

 

B.            The Borrower is qualified as
a real estate investment trust under Section 856 of the Code.

 

C.            The Borrower and certain of
the Lenders are parties to that certain Term Loan Agreement dated September 2,
2008 (the “Existing Agreement”).

 

D.            The Borrower has requested
that such Lenders agree to amend and restate the Existing Agreement to modify
the terms and provisions thereof, including without limitation modifications to
admit additional Lenders and provide for an extension of the maturity
thereof.  The Lenders have agreed to do
so.

 

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

 

ARTICLE I.

 

DEFINITIONS

 

As
used in this Agreement:

 

“Acquisition”
means any transaction, or any series of related transactions, consummated on or
after the date of this Agreement, by which the Borrower or any of its
Subsidiaries (i) acquires any going business or all or substantially all
of the assets of any firm, corporation or division thereof, whether through
purchase of assets, merger or otherwise or (ii) directly or indirectly
acquires (in one transaction or as the most recent transaction in a series of
transactions) at least a majority (in number of votes) of the securities of a
corporation which have ordinary voting power for the election of directors
(other than securities having such power only by 

 

 

reason
of the happening of a contingency) or a majority (by percentage or voting
power) of the outstanding partnership interests of a partnership.

 

“Adjusted
Annual EBITDA” means, as of any date, an annualized amount determined by
multiplying four (4) times the Consolidated Net Income for the most recent
fiscal quarter of Borrower for which financial results have been reported, as
adjusted by (i) adding or deducting for, as appropriate, any adjustment made
under GAAP for straight lining of rents, gains or losses from sales of assets,
extraordinary items, depreciation, amortization, interest expenses, the
Consolidated Group Pro Rata Share of interest, depreciation and amortization in
Investment Affiliates; and (ii) deducting from such annualized amount an
annual amount for capital expenditures equal to $0.15 per square foot times the
weighted daily average gross leaseable area of Projects owned by the
Consolidated Group or any Investment Affiliate (but only deducting the
applicable Consolidated Group Pro Rata Share of such amount with respect to
such Investment Affiliate) during such fiscal quarter.

 

“Adjusted
Annual NOI” means, as of any date, with respect to any group of Projects, an
annualized amount determined by multiplying four (4) times the aggregate
Net Operating Income attributable to such Projects for the most recent fiscal
quarter of Borrower for which financial results have been reported, as adjusted
by an annual amount for capital expenditures equal to $0.15 per square foot
times the gross leaseable area of such Projects; adding or deducting for, as
appropriate, any adjustment made to under GAAP for straight lining of rents,
gains, or losses from sales of assets, extraordinary items, depreciation,
amortization, or interest expense; and (i) deducting therefrom any income
attributable to Excluded Tenants but only if and to the extent that the
aggregate amount of such income attributable to Excluded Tenants would be
greater than 5% of all other elements of aggregate Adjusted Annual NOI without
regard to such income and (ii) adding or deducting for, as appropriate,
any adjustment made to under GAAP for straight lining of rents, gains, or
losses from sales of assets, extraordinary items, depreciation, amortization or
interest expense.

 

“Adjusted
Unencumbered NOI” means, as of any date, Unencumbered NOI for the most recent
fiscal quarter of the Borrower for which financial results have been reported less
an amount for capital expenditures equal to $0.0375 per gross leasable square
foot ($0.15 per annum divided by four quarters) times the weighted average
gross leasable area of Qualifying Unencumbered Properties owned by the Borrower
and the Subsidiary Guarantors during such fiscal quarter.

 

“Administrative
Agent” means KeyBank National Association in its capacity as agent for the
Lenders pursuant to Article X, and not in its individual capacity
as a Lender, and any successor Administrative Agent appointed pursuant to Article X.

 

“Advance”
means the Loans of one or more Types made by one or more of the Lenders to the
Borrower as described in Section 2.6 hereof.

 

“Affiliate”
of any Person means any other Person directly or indirectly controlling,
controlled by or under common control with such Person.  A Person shall be deemed to control another
Person if the controlling Person owns 10% or more of any class of voting
securities (or other ownership interests) of the controlled Person or
possesses, directly or indirectly, the power to direct or cause the direction
of the management or policies of the controlled Person, whether 

 

2

 

through
ownership of stock, by contract or otherwise. 
In no event shall Administrative Agent or any Lender be deemed to be an
affiliate of Borrower.  

 

“Aggregate
Commitment” means, as of any date, the aggregate of the then current
Commitments of all the Lenders, which is currently $150,000,000.

 

“Agreement”
means this Amended and Restated Term Loan Agreement, as it may be amended or
modified and in effect from time to time.

 

“Agreement
Execution Date” means the date this Agreement has been fully executed and
delivered by all parties hereto.

 

“Alternate
Base Rate” means, for any day, a rate of interest per annum equal to the
highest of (i) the Prime Rate for such day, (ii) the sum of the LIBOR Base
Rate that would apply to a one month LIBOR Interest Period beginning on such
day plus 1.00% per annum, and (iii) the sum of Federal Funds
Effective Rate for such day plus 1/2% per annum.

 

“Anti-Terrorism
Laws” is defined in Section 5.28.

 

“Applicable
Margin” means, 3.0% per annum for Fixed Rate Loans and 2.0% per annum for
Floating Rate Loans.

 

“Approved
Fund” means any mutual fund, investment fund or other fund that is administered
or managed by (i) a Lender, (ii) an Affiliate of a Lender, or (iii) an
entity or Affiliate of any entity that administers or manages a Lender.

 

“Article”
means an article of this Agreement unless another document is specifically
referenced.

 

“Authorized
Officer” means any of the President and Chief Executive Officer, Executive Vice
President and Chief Operating Officer, Vice President and Chief Financial
Officer or Vice President and General Counsel of the Borrower, acting singly.

 

“Bankruptcy
Code” means the Bankruptcy Code of the United States of America, as amended
from time to time.

 

“Borrower”
means Inland Real Estate Corporation, a corporation organized under the laws of
the State of Maryland, and its successors and assigns.

 

“Business
Day” means (i) with respect to any borrowing, payment or rate selection of
LIBOR Advances, a day (other than a Saturday or Sunday) on which banks
generally are open in Cleveland, Ohio and New York, New York for the conduct of
substantially all of their commercial lending activities and on which dealings
in United States dollars are carried on in the London interbank market and (ii) for
all other purposes, a day (other than a Saturday or Sunday) on which banks
generally are open in Cleveland, Ohio and New York, New York for the conduct of
substantially all of their commercial lending activities.

 

“Capital
Stock” means any and all shares, interests, participations or other equivalents
(however designated) of capital stock of a corporation, any and all equivalent
ownership interests 

 

3

 

in
a Person which is not a corporation and any and all warrants or options to
purchase any of the foregoing.

 

“Capitalization
Rate” means .0825.

 

“Capitalized
Lease” of a Person means any lease of Property imposing obligations on such
Person, as lessee thereunder, which are required in accordance with GAAP to be
capitalized on a balance sheet of such Person.

 

“Capitalized
Lease Obligations” of a Person means the amount of the obligations of such
Person under Capitalized Leases which would be shown as a liability on a
balance sheet of such Person prepared in accordance with GAAP.

 

“Cash
Equivalents”  means, as of any date:

 

(i)            securities issued or directly and fully guaranteed
or insured by the United States Government or any agency or instrumentality
thereof having maturities of not more than one year from such date;

 

(ii)           mutual funds organized under the United States
Investment Company Act rated AAm or AAm-G by S&P and P-1 by Moody’s;

 

(iii)          certificates of deposit or other interest-bearing
obligations of a bank or trust company which is a member in good standing of
the Federal Reserve System having a short term unsecured debt rating of not
less than A-1 by S&P and not less than P-1 by Moody’s (or in each case, if
no bank or trust company is so rated, the highest comparable rating then given
to any bank or trust company, but in such case only for funds invested
overnight or over a weekend) provided that such investments shall mature or be
redeemable upon the option of the holders thereof on or prior to a date one
month from the date of their purchase;

 

(iv)          certificates of deposit or other interest-bearing
obligations of a bank or trust company which is a member in good standing of
the Federal Reserve System having a short term unsecured debt rating of not
less than A-1+ by S&P, and not less than P-1 by Moody’s and which has a
long term unsecured debt rating of not less than A1 by Moody’s (or in each
case, if no bank or trust company is so rated, the highest comparable rating
then given to any bank or trust company, but in such case only for funds
invested overnight or over a weekend) provided that such investments shall
mature or be redeemable upon the option of the holders thereof on or prior to a
date three months from the date of their purchase;

 

(v)           bonds or other obligations having a short term
unsecured debt rating of not less than A-1+ by S&P and P-1+ by Moody’s and
having a long term debt rating of not less than A1 by Moody’s issued by or by
authority of any state of the United States, any territory or possession of the
United States, including the Commonwealth of Puerto Rico and agencies thereof,
or any political subdivision of any of the foregoing;

 

4

 

(vi)          repurchase agreements issued by an entity rated not
less than A-1+ by S&P, and not less than P-1 by Moody’s which are secured
by U.S. Government securities of the type described in clause (i) of
this definition maturing on or prior to a date one month from the date the
repurchase agreement is entered into;

 

(vii)         short term promissory notes rated not less than A-1+
by S&P, and  not less than P-1 by
Moody’s maturing or to be redeemable upon the option of the holders thereof on
or prior to a date one month from the date of their purchase; and

 

(viii)        commercial paper (having original maturities of not
more than 365 days) rated at least A-1+ by S&P and P-1 by Moody’s and
issued by a foreign or domestic issuer who, at the time of the investment, has
outstanding long-term unsecured debt obligations rated at least A1 by Moody’s.

 

“Change
of Control” means (i) any change in the ownership of the Borrower which
results in less than eighty percent (80%) of the Borrower’s Capital Stock being
held by Persons who were either shareholders on the Agreement Execution Date,
spouses, relatives or estates of such shareholders or trustees holding for the
benefit of such shareholders or their spouses, relatives or estates, or (ii) any
change in the membership of the Borrower’s Board of Directors which results in
the board members as of any date after the Agreement Execution Date
constituting less than 50% of the total board members at any time during the
two (2) year period following such date.

 

“Change
in Management” means the failure of at least two (2) of Brett A. Brown, D.
Scott Carr or Mark E. Zalatoris to continue to be active on a daily basis in
the management of the Borrower provided that if any such individuals shall die
or become disabled the Borrower shall have sixty (60) days to retain a
replacement executive of comparable experience which is reasonably satisfactory
to the Administrative Agent.

 

“Code”
means the Internal Revenue Code of 1986, as amended, reformed or otherwise
modified from time to time.

 

“Commitment”
means, for each Lender, the obligation of such Lender to make Loans not
exceeding the amount set forth opposite its signature below or as set forth in
any Notice of Assignment relating to any assignment that has become effective
pursuant to Section 12.3.2, as such amount may be modified from
time to time pursuant to the terms hereof.

 

“Consolidated
Debt Service” means, for any period, without duplication, (a) Consolidated
Interest Expense for such period plus (b) the aggregate amount of
scheduled principal payments attributable to Consolidated Outstanding
Indebtedness (excluding optional prepayments and scheduled principal payments
in respect of any such Indebtedness which is not amortized through equal
periodic installments of principal and interest over the term of such
Indebtedness) required to be made during such period by any member of the
Consolidated Group plus (c) a percentage of all such scheduled
principal payments required to be made during such period by any Investment
Affiliate on Indebtedness taken into account in calculating Consolidated
Interest Expense, equal to the greater of (x) the percentage of the
principal amount 

 

5

 

of
such Indebtedness for which any member of the Consolidated Group is liable and
(y) the Consolidated Group Pro Rata Share of such Investment Affiliate.

 

“Consolidated
Group” means the Borrower and all Subsidiaries which are consolidated with it
for financial reporting purposes under GAAP.

 

“Consolidated
Group Pro Rata Share” means, with respect to any Investment Affiliate, the
percentage of the total equity ownership interests held by the Consolidated
Group in the aggregate, in such Investment Affiliate determined by calculating
the greater of (i) the percentage of the issued and outstanding stock,
partnership interests or membership interests in such Investment Affiliate held
by the Consolidated Group in the aggregate and (ii) the percentage of the
total book value of such Investment Affiliate that would be received by the
Consolidated Group in the aggregate, upon liquidation of such Investment
Affiliate, after repayment in full of all Indebtedness of such Investment
Affiliate.

 

“Consolidated
Interest Expense” means, for any period without duplication, the sum of
(a) the amount of interest expense, determined in accordance with GAAP, of
the Consolidated Group for such period attributable to Consolidated Outstanding
Indebtedness during such period plus (b) the Consolidated Group Pro Rata
Share of any interest expense, determined in accordance with GAAP, of any
Investment Affiliate, for such period, whether recourse or non-recourse.

 

“Consolidated
Net Income” means, for any period, the sum of (i) consolidated net income
(or loss) of the Consolidated Group for such period determined on a
consolidated basis in accordance with GAAP plus (ii) without duplication,
the applicable Consolidated Group Pro Rata Share of the net income (or loss) of
each Investment Affiliate for such period determined in accordance with GAAP.

 

“Consolidated
Net Worth” means, as of any date of determination, an amount equal to
(a) Total Asset Value minus (b) Consolidated Outstanding
Indebtedness as of such date.

 

“Consolidated
Outstanding Indebtedness” means, as of any date of determination, without
duplication, the sum of (a) all Indebtedness of the Consolidated Group
outstanding at such date, determined on a consolidated basis in accordance with
GAAP, plus (b) the applicable Consolidated Group Pro Rata Share of any
Indebtedness of each Investment Affiliate other than Indebtedness of such
Investment Affiliate to a member of the Consolidated Group, less (c) with
respect to each consolidated Subsidiary of the Borrower in which the Borrower
does not directly or indirectly hold a 100% ownership interest, a percentage of
any Indebtedness of such consolidated Subsidiary which is not a Guarantee
Obligation of the Borrower equal to the percentage ownership interest in such
consolidated Subsidiary which is not held directly or indirectly by the
Borrower.

 

“Construction
in Progress” means, as of any date, the total construction cost expended as of
the applicable date to construct any Projects then under development plus the
book value of all land not then included in Unimproved Land.

 

“Controlled
Group” means all members of a controlled group of corporations and all trades
or businesses (whether or not incorporated) under common control which,
together with 

 

6

 

the
Borrower or any of its Subsidiaries, are treated as a single employer under Section 414
of the Code.

 

“Conversion/Continuation
Notice” is defined in Section 2.7.

 

“Convertible
Notes” means Inland Real Estate Corporation $180,000,000.00, 4.625% Convertible
Senior Notes Due 2026 which closed on November 13, 2006.

 

“Default”
means an event described in Article VII.

 

“Defaulting
Lender” means any Lender which fails or refuses to perform its obligations
under this Agreement within the time period specified for performance of such
obligation, or, if no time frame is specified, if such failure or refusal
continues for a period of five Business Days after written notice from the
Administrative Agent; provided that if such Lender cures such failure or refusal,
such Lender shall cease to be a Defaulting Lender.

 

“Default
Rate” means the interest rate which may apply during the continuance of a
Default pursuant to Section 2.9.

 

“Development
Project” means a Project currently under development that has not achieved an
Occupancy Rate of at least 80%, or on which the improvements (other than tenant
improvements) related to the development have not been completed.  A Development Project on which all
improvements (other than tenant improvements) related to the development of
such Project have been completed for at least 12 months shall cease to
constitute a Development Project notwithstanding the fact that such Project has
not achieved an Occupancy Rate of at least 80%.

 

“Eligible
Assignee” means (a) another Lender, (b) with respect to any Lender,
any Affiliate of that Lender or Approved Fund related to such Lender,
(c) any commercial bank having a combined capital and surplus of
$5,000,000,000 or more, (d) the central bank of any country which is a member
of the Organization for Economic Cooperation and Development, (e) any
savings bank, savings and loan association or similar financial institution
which (A) has a net worth of $500,000,000 or more, (B) is engaged in
the business of lending money and extending credit under credit facilities
substantially similar to those extended under this Agreement and (C) is
operationally and procedurally able to meet the obligations of a Lender
hereunder to the same degree as a commercial bank, and (f) any other financial
institution (including a mutual fund or other fund) approved by the
Administrative Agent and, unless a Default shall have occurred and be
continuing, Borrower (such approval not to be unreasonably withheld or delayed)
having total assets of $500,000,000 or more which meets the requirements set
forth in subclauses (B) and (C) of clause (e) above;
provided that each Eligible Assignee must either (a) be organized
under the Laws of the United States of America, any State thereof or the
District of Columbia or (b) be organized under the Laws of the Cayman
Islands or any country which is a member of the Organization for Economic
Cooperation and Development, or a political subdivision of such a country, and
(i) act hereunder through a branch, agency or funding office located in
the United States of America and (ii) be exempt from withholding of tax on
interest.  Notwithstanding anything
herein to the contrary, at no time shall Borrower, its Affiliates, or any
Subsidiary thereof, be considered an “Eligible Assignee.”

 

7

 

“Environmental
Laws” means any and all foreign, Federal, state, local or municipal laws,
rules, orders, regulations, statutes, ordinances, codes, decrees, requirements
of any Governmental Authority or other Requirements of Law (including common
law) regulating, relating to or imposing liability or standards of conduct
concerning protection of human health or the environment, as now or may at any
time hereafter be in effect, in each case to the extent the foregoing are
applicable to the Borrower or any Subsidiary or any of their respective assets
or Projects.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time
to time, and any rule or regulation issued thereunder.

 

“Excluded
Taxes” means, in the case of each Lender or applicable Lending Installation and
the Administrative Agent, taxes imposed on its overall net income, and
franchise taxes imposed on it, by any jurisdiction with taxing authority over
the Lender.

 

“Excluded
Tenants” means, as of any date, any tenant at one of the Projects that either
(i) is subject to a voluntary or involuntary petition for relief under any
federal or state bankruptcy codes or insolvency law or (ii) is not
operating its business in its demised premises at such Project, unless such
tenant’s lease obligations are guaranteed by an entity whose then current
long-term, unsecured debt obligations are rated BBB— or above by S&P and
Baa3 or above by Moody’s.

 

“Executive
Order” is defined in Section 5.28.

 

“Existing
Agreement” is defined in the Recitals.

 

“Facility
Obligations” means all Obligations other than the Related Swap Obligations.

 

“Federal
Funds Effective Rate” shall mean, for any day, the rate per annum (rounded
upward to the nearest one one-hundredth of one percent (1/100 of 1%)) announced
by the Federal Reserve Bank of Cleveland on such day as being the weighted
average of the rates on overnight federal funds transactions arranged by
federal funds brokers on the previous trading day, as computed and announced by
such Federal Reserve Bank in substantially the same manner as such Federal
Reserve Bank computes and announces the weighted average it refers to as the “Federal
Funds Effective Rate.”

 

“Fee
Letter” is defined in Section 2.5.

 

“Financeable
Ground Lease” means, a ground lease reasonably satisfactory to the
Administrative Agent, which must provide customary protections for a potential
leasehold mortgagee (“Mortgagee”) which include, among other things (i) a
remaining term, including any optional extension terms exercisable unilaterally
by the tenant, of no less than 25 years, (ii) a provision that the ground
lease will not be terminated until the Mortgagee has received notice of a
default, has had a reasonable opportunity to cure or complete foreclosure, and
has failed to do so, (iii) provision for a new lease to the Mortgagee as
tenant on the same terms if the ground lease is terminated for any reason,
(iv) transferability of the tenant’s interest under the ground lease
without any requirement for consent of the ground lessor unless based on
delivery of customary assignment and assumption agreements from the transferor
and transferee, (v) the ability of the tenant to mortgage tenant’s interest
under the ground lease without any requirement

 

8

 

for
consent of the ground lessor, and (vi) that the tenant under the ground
lease is entitled to all insurance proceeds and condemnation awards (other than
the amount attributable to landlord’s fee interest in the land if an adjustment
in rent is provided for in connection therewith).

 

“First
Mortgage Receivable” means any Indebtedness owing to a member of the
Consolidated Group which is secured by a first-priority mortgage or deed of
trust on commercial real estate having a value in excess of the amount of such
Indebtedness and which has been designated by the Borrower as a “First Mortgage
Receivable” in its most recent compliance certificate.

 

“Fixed
Charges” shall mean, as of any date,  the
sum of (i) Consolidated Debt Service for the most recent fiscal quarter of
Borrower for which financial results have been reported times four (4) plus
(ii) all dividends payable on account of preferred stock or preferred
operating partnership units of the Borrower or any other Person in the
Consolidated Group (including dividends to Inland Ryan joint ventures) with
respect to the four (4) immediately preceding fiscal quarters of Borrower
for which financial results have been reported.

 

“Fixed
Rate” means the LIBOR Rate.

 

“Fixed
Rate Loan” means a Loan which bears interest at a Fixed Rate.

 

“Floating
Rate” means, for any day, a rate per annum equal to (i) the Alternate Base
Rate for such day plus (ii)  the Applicable Margin changing when and as
the Alternate Base Rate changes.

 

“Floating
Rate Loan” means a Loan which bears interest at the Floating Rate.

 

“Forward
Purchase Commitments” means those agreements for the acquisition of a Project
or Projects (or of ownership interests therein) for an agreed and specified
purchase price entered into by Borrower, another member of the Consolidated
Group or an Investment Affiliate which have become unconditional due to the
expiration of any due diligence period or other right of purchaser to terminate
such agreement, other than as a result of a default by the seller, a casualty
or condemnation or the failure of another customary closing condition.

 

“Funded
Percentage” means, with respect to any Lender at any time, a percentage equal
to a fraction the numerator of which is the amount actually disbursed and
outstanding to Borrower by such Lender at such time and the denominator of
which is the total amount disbursed and outstanding to Borrower by all of the
Lenders at such time.

 

“Funds
From Operations” shall have the meaning determined from time to time by the
National Association of Real Estate Investment Trusts to be the meaning most
commonly used by its members.

 

“GAAP”
means generally accepted accounting principles in the United States of America
as in effect from time to time, applied in a manner consistent with that used
in preparing the financial statements referred to in Section 6.1.

 

9

 

“Governmental
Authority” means any nation or government, any state or other political
subdivision thereof and any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government.

 

“Guarantee
Obligation” means, as to any Person (the “guaranteeing person”), any
obligation (determined without duplication) of (a) the guaranteeing person
or (b) another Person (including, without limitation, any bank under any
Letter of Credit) to induce the creation of which the guaranteeing person has
issued a reimbursement, counter-indemnity or similar obligation, in either case
guaranteeing or in effect guaranteeing any Indebtedness, leases, dividends or
other obligations (the “primary obligations”) of any other third Person
(the “primary obligor”) in any manner, whether directly or indirectly,
including, without limitation, any obligation of the guaranteeing person,
whether or not contingent, (i) to purchase any such primary obligation or
any property constituting direct or indirect security therefor, (ii) to
advance or supply funds (1) for the purchase or payment of any such
primary obligation or (2) to maintain working capital or equity capital of
the primary obligor or otherwise to maintain the net worth or solvency of the
primary obligor, (iii) to purchase property, securities or services
primarily for the purpose of assuring the owner of any such primary obligation
of the ability of the primary obligor to make payment of such primary
obligation or (iv) otherwise to assure or hold harmless the owner of any
such primary obligation against loss in respect thereof; provided, however,
that the term Guarantee Obligation shall not include endorsements of
instruments for deposit or collection in the ordinary course of business.  The amount of any Guarantee Obligation of any
guaranteeing person shall be deemed to be the maximum stated amount of the
primary obligation relating to such Guarantee Obligation (or, if less, the
maximum stated liability set forth in the instrument embodying such Guarantee
Obligation), provided, that in the absence of any such stated amount or
stated liability, the amount of such Guarantee Obligation shall be such
guaranteeing person’s maximum reasonably anticipated liability in respect
thereof as determined by the Borrower in good faith.

 

“Implied
Debt Service” means, as of any date, an imputed annual amount of principal and
interest that would be due on a principal amount equal to all Unsecured
Indebtedness outstanding on such date (including without limitation all
reimbursement obligations on account of letters of credit then outstanding) if
such principal amount were a fully amortizing loan with equal monthly payments
of principal and interest over a period of thirty years at a per annum interest
rate equal to the greater of (a) 8.00% and (b) the sum of (i) the
then current yield on obligations of the United States Treasury having the
closest maturity date to the tenth (10th) anniversary of such date of calculation, and (ii) 3.00%.

 

“Indebtedness”
of any Person at any date means without duplication, (a) all indebtedness
of such Person for borrowed money including without limitation any repurchase
obligation or liability of such Person with respect to securities, accounts or
notes receivable sold by such Person, (b) all obligations of such Person
for the deferred purchase price of property or services (other than current
trade liabilities incurred in the ordinary course of business and payable in
accordance with customary practices), to the extent such obligations constitute
indebtedness for the purposes of GAAP, (c) any other indebtedness of such
Person which is evidenced by a note, bond, debenture or similar instrument,
(d) the attributable Indebtedness of such Person with respect all Capitalized
Lease Obligations and Synthetic Lease Obligations, (e) all obligations of
such Person in respect of acceptances issued or created for the account of such
Person, (f) all Guarantee Obligations of such Person (excluding in any
calculation of consolidated Indebtedness 

 

10

 

of
the Consolidated Group, Guarantee Obligations of one member of the Consolidated
Group in respect of primary obligations of any other member of the Consolidated
Group), (g) all reimbursement obligations of such Person for letters of
credit and other contingent liabilities, (h) all net obligations of such
Person under Swap Contracts, and (i) all liabilities secured by any lien
(other than liens for taxes not yet due and payable) on any property owned by
such Person even though such Person has not assumed or otherwise become liable
for the payment thereof.  The amount of
any net obligation under any Swap Contract on any date shall be deemed to be
the Swap Termination Value thereof as of such date.

 

“Intellectual
Property” is defined in Section 5.20.

 

“Interest
Period” means a LIBOR Interest Period.

 

“Investment”
of a Person means any loan, advance (other than commission, travel and similar
advances to officers and employees made in the ordinary course of business),
extension of credit (other than accounts receivable arising in the ordinary
course of business on terms customary in the trade), deposit account or
contribution of capital by such Person to any other Person or any investment
in, or purchase or other acquisition of, the stock, partnership interests,
notes, debentures or other securities of any other Person made by such Person.

 

“Investment
Affiliate” means any Person in which the Consolidated Group, directly or
indirectly, holds an ownership interest whose financial results are not
consolidated under GAAP with the financial results of the Consolidated Group,
excluding those Persons in whom the Consolidated Group’s ownership interest is
evidenced only by Marketable Securities.

 

“Lenders”
means the lending institutions listed on the signature pages of this
Agreement, their respective successors and assigns, any other lending
institutions that subsequently become parties to this Agreement.

 

“Lending
Installation” means, with respect to a Lender, any office, branch, subsidiary
or affiliate of such Lender.

 

“Letter
of Credit” of a Person means a letter of credit or similar instrument which is
issued upon the application of such Person or upon which such Person is an
account party or for which such Person is in any way liable.

 

“Leverage
Ratio” means, as of any date, the ratio of Consolidated Outstanding
Indebtedness to Total Asset Value.

 

“LIBOR
Advance” means an Advance that bears interest at the LIBOR Rate.

 

“LIBOR
Base Rate” means, the average rate (rounded upwards to the nearest 1/16th) with respect to a LIBOR
Advance for the relevant LIBOR Interest Period, the applicable British Bankers’
Association LIBOR rate for deposits in U.S. dollars as reported by any
generally recognized financial information service as of 11:00 a.m.
(London time) two Business Days prior to the first day of such LIBOR Interest
Period, and having a maturity equal to such LIBOR Interest Period, provided that, if no such British Bankers’ Association LIBOR
rate is available to the Administrative Agent, the applicable LIBOR Base Rate
for the relevant LIBOR Interest Period shall instead be the rate determined by
the Administrative Agent to be the rate at which 

 

11

 

KeyBank
or one of its Affiliate banks offers to place deposits in U.S. dollars with
first-class banks in the London interbank market at approximately 11:00 a.m.
(London time) two Business Days prior to the first day of such LIBOR Interest
Period, in the approximate amount of KeyBank’s relevant LIBOR Loan and having a
maturity equal to such LIBOR Interest Period; and provided further that, in no
event shall the LIBOR Base Rate be less than 1.50% per annum.

 

“LIBOR
Interest Period” means, with respect to each amount bearing interest at a LIBOR
based rate, a period of one, two, three, or six months, to the extent deposits
with such maturities are available to the Administrative Agent, commencing on a
Business Day, as selected by Borrower; provided, however, that (i) any
LIBOR Interest Period which would otherwise end on a day which is not a
Business Day shall continue to and end on the next succeeding Business Day,
unless the result would be that such LIBOR Interest Period would be extended to
the next succeeding calendar month, in which case such LIBOR Interest Period
shall end on the next preceding Business Day and (ii) any LIBOR Interest
Period which begins on a day for which there is no numerically corresponding
date in the calendar month in which such LIBOR Interest Period would otherwise
end shall instead end on the last Business Day of such calendar month.

 

“LIBOR
Loan” means a Loan which bears interest at a LIBOR Rate.

 

“LIBOR
Rate” means, for any LIBOR Interest Period, the sum of (A) the LIBOR Base
Rate applicable thereto divided by one minus the then-current Reserve
Requirement and (B) the Applicable Margin.

 

“Lien”
means any lien (statutory or other), mortgage, pledge, hypothecation,
assignment, deposit arrangement, encumbrance or preference, priority or other
security agreement or preferential arrangement of any kind or nature whatsoever
(including, without limitation, the interest of a vendor or lessor under any
conditional sale, Capitalized Lease or other title retention agreement).

 

“Line
of Credit Agreement” means that certain Fourth Amended and Restated Credit
Agreement dated June 24, 2010, by and among Inland Real Estate
Corporation, Key Bank National Association, Keybanc Capital Markets, Wachovia
Bank, National Association, Wachovia Capital Markets, LLC, and certain other
lenders, as it may from time to time hereafter be further amended.

 

“Loan”
means, with respect to a Lender, any portion of the Aggregate Commitment which
has been advanced to the Borrower by such Lender and has not been repaid.

 

“Loan
Documents” means this Agreement, the Notes, the Subsidiary Guaranty, and any
other document from time to time evidencing or securing indebtedness incurred
by the Borrower under this Agreement, as any of the foregoing may be amended or
modified from time to time.

 

“Marketable
Securities” means Investments in Capital Stock or debt securities issued by any
Person (other than an Investment Affiliate) which are publicly traded on a
national exchange, excluding Cash Equivalents.

 

“Material
Adverse Effect” means, in the Administrative Agent’s reasonable discretion, a
material adverse effect on (i) the business, Property or condition
(financial or otherwise) of the Borrower and its Subsidiaries taken as a whole,
(ii) the ability of the Borrower to perform its 

 

12

 

obligations
under the Loan Documents, or (iii) the validity or enforceability of any
of the Loan Documents.

 

“Materials
of Environmental Concern” means any gasoline or petroleum (including crude oil
or any fraction thereof) or petroleum products or any hazardous or toxic
substances, materials or wastes, defined or regulated as such in or under any
Environmental Law, including, without limitation, asbestos, polychlorinated
biphenyls and urea-formaldehyde insulation.

 

“Maturity
Date” means the first to occur of (i) June 21, 2013, or
(ii) such earlier date on which the aggregate principal balance of the
Advances becomes due and payable.

 

“Maximum
Legal Rate” means the maximum nonusurious interest rate, if any, that at any
time or from time to time may be contracted for, taken, reserved, charged or
received on the indebtedness evidenced by the Note and as provided for herein
or in the Note or other Loan Documents, under the laws of such state or states
whose laws are held by any court of competent jurisdiction to govern the
interest rate provisions of the Loan.

 

“Moody’s”
means Moody’s Investors Service, Inc. and its successors.

 

“Multiemployer
Plan” means a Plan maintained pursuant to a collective bargaining agreement or
any other arrangement to which the Borrower or any member of the Controlled
Group is a party to which more than one employer is obligated to make
contributions.

 

“Negative
Pledge” means, with respect to a given asset, any provision of a document,
instrument or agreement (other than any Loan Document) which prohibits or
purports to prohibit the creation or assumption of any Lien on such asset as
security for Indebtedness of the Person owning such asset or any other Person;
provided, however, that an agreement that conditions a Person’s ability to
encumber its assets upon the maintenance of one or more specified ratios that
limit such Person’s ability to encumber its assets but that do not generally
prohibit the encumbrance of its assets, or the encumbrance of specific assets,
shall not constitute a Negative Pledge.

 

“Net
Operating Income” means, with respect to any Project for any period, “property
rental and other income” (as determined by GAAP) attributable to such Project
accruing for such period minus the amount of all expenses (as determined
in accordance with GAAP) incurred in connection with and directly attributable
to the ownership and operation of such Project for such period, including,
without limitation, Management Fees and amounts accrued for the payment of real
estate taxes and insurance premiums, but excluding interest expense or other
debt service charges and any non-cash charges such as depreciation or
amortization of financing costs.  As used
herein “Management Fees”, means, with respect to each Project for any
period, an amount equal to the greater of (i) actual management fees
payable with respect thereto and (ii) three percent (3%) per annum on the
aggregate base rent and percentage rent due and payable under leases at such
Project.

 

“Non-U.S.
Lender” is defined in Section 3.5(iv).

 

“Note”
means a promissory note, in substantially the form of Exhibit B
hereto, duly executed by the Borrower and payable to the order of a Lender in
the amount of its Commitment, including any amendment, modification, renewal or
replacement of such promissory note.

 

13

 

“Notice
of Assignment” is defined in Section 12.3.2.

 

“Obligations”
means the Advances, the Related Swap Obligations and all accrued and unpaid
fees and all other obligations of Borrower to the Administrative Agent or the
Lenders arising under this Agreement or any of the other Loan Documents.

 

“Occupancy
Rate” means with respect to a Project at any time, the ratio, expressed as a
percentage, of (a) the net rentable square footage of such Project
actually occupied by tenants that are not affiliated with the Borrower and
paying rent at rates not materially less than rates generally prevailing at the
time the applicable lease was entered into, pursuant to binding leases as to
which no monetary default has occurred and has continued unremedied for 60 or
more days to (b) the aggregate net rentable square footage of such
Project.  For purposes of the definition
of “Occupancy Rate”, a tenant shall be deemed to actually occupy a Project
notwithstanding a temporary cessation of operations for renovation, repairs or
other temporary reason, or for the purpose of completing tenant build-out or
that is otherwise scheduled to be open for business within 90 days of such date.

 

“Other
Taxes” is defined in Section 3.5(ii).

 

“Outstanding
Facility Amount” means, at any time, all then outstanding Advances.

 

“Participants”
is defined in Section 12.2.1.

 

“Payment
Date” means, with respect to the payment of interest accrued on the Loans, the
first day of each calendar month.

 

“PBGC”
means the Pension Benefit Guaranty Corporation, or any successor thereto.

 

“Percentage”
means for each Lender the ratio that such Lender’s Commitment bears to the
Aggregate Commitment, expressed as a percentage.

 

“Permitted
Acquisitions” are defined in Section 6.15.

 

“Permitted
Liens” are defined in Section 6.16.

 

“Person”
means any natural person, corporation, firm, joint venture, partnership,
association, enterprise, trust or other entity or organization, or any
government or political subdivision or any agency, department or
instrumentality thereof.

 

“Plan”
means an employee pension benefit plan which is covered by Title IV of ERISA or
subject to the minimum funding standards under Section 412 of the Code as
to which the Borrower or any member of the Controlled Group may have any
liability.

 

“Prime
Rate” means a rate per annum equal to the prime rate of interest publicly
announced from time to time by KeyBank or its parent as its prime rate (which
is not necessarily the lowest rate charged to any customer), changing when and
as said prime rate changes.  In the event
that there is a successor to the Administrative Agent by merger, or the
Administrative Agent assigns its duties and obligations to an Affiliate, then
the term “Prime Rate” as used in this 

 

14

 

Agreement
shall mean the prime rate, base rate or other analogous rate of the new
Administrative Agent.

 

“Prohibited
Person” is defined in Section 5.28.

 

“Project”
means any real estate asset owned by Borrower or any of its Subsidiaries or any
Investment Affiliate, and operated or intended to be operated as a retail
property.

 

“Property”
of a Person means any and all property, whether real, personal, tangible, intangible,
or mixed, of such Person, or other assets owned, leased or operated by such
Person.

 

“Qualifying
Unencumbered Property” means any Stabilized Retail Project which as of any date
of determination, (a) is wholly owned by a Subsidiary Guarantor, in fee
simple or under the terms of a Financeable Ground Lease, (b) is located in
the United States, (c) is not, nor is any interest of the Borrower or any
Subsidiary therein, subject to any lien other than Permitted Liens set forth in
Sections 6.16(i) through 6.16(v) or a Negative Pledge;
(d) with respect to which (i) none of the Borrower’s direct or
indirect ownership interest in such Subsidiary Guarantor is subject to any
lien, or agreement (including any agreement governing Indebtedness incurred in
order to finance or refinance the acquisition of such Project) which prohibits
or limits the ability of such Subsidiary Guarantor to create, incur, assume or
suffer to exist any Lien upon any Projects or Capital Stock of such Subsidiary
Guarantor or to a Negative Pledge; and (ii) the Borrower directly, or
indirectly through a Subsidiary, has the right to take the following actions
without the need to obtain the consent of any Person:  (x) to sell, transfer or otherwise
dispose of such Project and (y) to create a Lien on such Project as
security for Indebtedness of the Borrower or such Subsidiary Guarantor, as
applicable; (e) is not subject to any agreement (including any agreement
governing Indebtedness incurred in order to finance or refinance the acquisition
of such Project) which entitles any Person to the benefit of any Lien (other
than Permitted Liens set forth in Sections 6.16(i) through 6.16(iv))
on any Project or Capital Stock of such Subsidiary Guarantor or would entitle
any Person to the benefit of any such Lien upon the occurrence of any
contingency (including, without limitation, pursuant to an “equal and ratable”
clause); (f) is free of all structural defects or major architectural
deficiencies, title defects, environmental conditions or other adverse matters
except for defects, deficiencies, conditions or other matters individually or
collectively which are not material to the profitable operation of such Project
as evidenced by a certification of the Borrower; and (g) when aggregated
with all other Qualifying Unencumbered Properties, results in the Qualifying
Unencumbered Properties as a whole having at least eighty percent (80%) of
their aggregate gross leasable area physically occupied.  No asset shall be deemed to be unencumbered
unless both such asset and all Capital Stock of the Subsidiary Guarantor owning
such asset is unencumbered and neither such Subsidiary Guarantor nor any other
intervening Subsidiary between the Borrower and such Subsidiary Guarantor has
any Indebtedness for borrowed money (other than Indebtedness due to the
Borrower).

 

“Recourse
Indebtedness” means any Indebtedness of Borrower or any other member of the
Consolidated Group with respect to which the liability of the obligor is not
limited to the obligor’s interest in specified assets securing such
Indebtedness, subject to customary limited exceptions for certain acts or types
of liability.

 

“Regulation
D” means Regulation D of the Board of Governors of the Federal Reserve System
as from time to time in effect and any successor thereto or other regulation or
official 

 

15

 

interpretation
of said Board of Governors relating to reserve requirements applicable to
member banks of the Federal Reserve System.

 

“Regulation
U” means Regulation U of the Board of Governors of the Federal Reserve System
as from time to time in effect and any successor or other regulation or
official interpretation of said Board of Governors relating to the extension of
credit by banks for the purpose of purchasing or carrying margin stocks
applicable to member banks of the Federal Reserve System.

 

“Related
Swap Obligations” means, as of any date, all of the obligations of Borrower
arising under any then outstanding Swap Contracts entered into between Borrower
and any Lender or Affiliate of any Lender.

 

“Reportable
Event” means a reportable event as defined in Section 4043 of ERISA and
the regulations issued under such section, with respect to a Plan, excluding,
however, such events as to which the PBGC by regulation waived the requirement
of Section 4043(a) of ERISA that it be notified within 30 days of the
occurrence of such event, provided, however, that a failure to meet the minimum
funding standard of Section 412 of the Code and of Section 302 of
ERISA shall be a Reportable Event regardless of the issuance of any such waiver
of the notice requirement in accordance with either Section 4043(a) of
ERISA or Section 412(d) of the Code.

 

“Required
Lenders” means Lenders in the aggregate having at least 66 2/3% of the Aggregate
Commitment or, if the Aggregate Commitment has been terminated, Lenders in the
aggregate holding at least 66 2/3% of the aggregate unpaid principal amount of
the outstanding Advances. 
Notwithstanding the foregoing (i) the Commitments of, and Advances
made by, any Lender which is a Defaulting Lender shall be excluded from the
calculations of the Aggregate Commitment and aggregate Advances for such
purposes during the period that such Lender is a Defaulting Lender, and
(ii) at such times as there are two or more Lenders hereunder, the
“Required Lenders” must include at least two of such Lenders even if one Lender
holds more than 66 2/3% of the Aggregate Commitment or aggregate Advances.

 

“Reserve
Requirement” means, with respect to a LIBOR Loan and LIBOR Interest Period,
that percentage (expressed as a decimal) which is in effect on such day, as
prescribed by the Federal Reserve Board or other governmental authority or
agency having jurisdiction with respect thereto for determining the maximum
reserves (including, without limitation, basic, supplemental, marginal and
emergency reserves) for eurocurrency funding (currently referred to as
“Eurocurrency Liabilities” in Regulation D) maintained by a member bank of the
Federal Reserve System.

 

“Section”
means a numbered section of this Agreement, unless another document is
specifically referenced.

 

“Secured
Indebtedness” means any Indebtedness of the Borrower or any other member of the
Consolidated Group which is secured by a Lien on a Project, any ownership
interests in any Person or any other assets which had, in the aggregate, a
value in excess of the amount of such Indebtedness at the time such
Indebtedness was incurred.

 

“Single
Employer Plan” means a Plan maintained by the Borrower or any member of the Controlled
Group for employees of the Borrower or any member of the Controlled Group.

 

16

 

“S&P”
means Standard & Poor’s Ratings Group and its successors.

 

“Stabilized
Retail Projects” mean any neighborhood shopping centers, community shopping
centers, sale/leaseback with retail tenants, stand-alone, triple net retail
properties and any other stabilized Projects approved by the Administrative
Agent.

 

“Subsidiary”
of a Person means (i) any corporation more than 50% of the outstanding
securities having ordinary voting power of which shall at the time be owned or
controlled, directly or indirectly, by such Person or by one or more of its
Subsidiaries or by such Person and one or more of its Subsidiaries, or (ii) any
partnership, association, joint venture or similar business organization more
than 50% of the ownership interests having ordinary voting power of which shall
at the time be so owned or controlled. 
Unless otherwise expressly provided, all references herein to a
“Subsidiary” shall mean a Subsidiary of the Borrower.

 

“Subsidiary
Guarantor” means each Wholly-Owned Subsidiary of the Borrower which is a party
to the Subsidiary Guaranty as of the Agreement Execution Date or is required
hereafter to join in the Subsidiary Guaranty pursuant to Section 6.13.

 

“Subsidiary
Guaranty” means the guaranty to be executed and delivered by those Subsidiaries
of the Borrower listed on Schedule 5 and such other Wholly-Owned
Subsidiaries as may hereafter be obligated to join in such guaranty as provided
in Section 6.13, substantially in the form of Exhibit F,
as the same may be amended, supplemented or otherwise modified from time to
time.

 

“Substantial
Portion” means, with respect to the Property of the Borrower and its Subsidiaries,
Property which represents more than 10% of then-current Total Asset Value.

 

“Swap
Contract” means (a) any and all rate swap transactions, basis swaps,
credit derivative transactions, forward rate transactions, commodity swaps,
commodity options, forward commodity contracts, equity or equity index swaps or
options, bond or bond price or bond index swaps or options or forward bond or
forward bond price or forward bond index transactions, interest rate options,
forward foreign exchange transactions, cap transactions, floor transactions,
collar transactions, currency swap transactions, cross-currency rate swap
transactions, currency options, spot contracts, or any other similar
transactions or any combination of any of the foregoing (including any options
to enter into any of the foregoing), whether or not any such transaction is
governed by or subject to any master agreement, and (b) any and all
transactions of any kind, and the related confirmations, which are subject to
the terms and conditions of, or governed by, any form of master agreement
published by the International Swaps and Derivatives Association, Inc.,
any International Foreign Exchange Master Agreement, or any other master
agreement (any such master agreement, together with any related schedules, a
“Master Agreement”), including any such obligations or liabilities under any
Master Agreement.

 

“Swap
Termination Value” means, in respect of any one or more Swap Contracts, after
taking into account the effect of any legally enforceable netting agreement
relating to such Swap Contracts, (a) for any date on or after the date
such Swap Contracts have been closed out and termination value(s) determined
in accordance therewith, such termination value(s), and (b) for any date
prior to the date referenced in clause (a), the amount(s) determined
as the 

 

17

 

mark-to-market
value(s) for such Swap Contracts, as determined based upon one or more
mid-market or other readily available quotations provided by any recognized
dealer in such Swap Contracts (which may include a Lender or any Affiliate of a
Lender).

 

“Taxes”
means any and all present or future taxes, duties, levies, imposts, deductions,
charges or withholdings, and any and all liabilities with respect to the
foregoing, but excluding Excluded Taxes and Other Taxes.

 

“Total
Asset Value” means, as of any date, (i) Adjusted Annual NOI attributable
to Projects owned by the Borrower or a member of the Consolidated Group
(excluding 100% of the Adjusted Annual NOI attributable to Projects not owned
for the entire fiscal quarter on which Adjusted Annual NOI is calculated and
for the five (5) immediately proceeding entire fiscal quarters and
excluding all lease termination fees and all interest and dividend income),
divided by the Capitalization Rate, plus (ii) 100% of the price paid for
any such Projects first acquired by the Borrower or a member of the
Consolidated Group during such period of six (6) consecutive entire fiscal
quarters, plus (iii) Unrestricted Cash, Cash Equivalents and Marketable
Securities owned by the Consolidated Group as of the end of the last such
fiscal quarter, plus (iv) the Consolidated Group’s Pro Rata Share of (A) Adjusted
Annual NOI attributable to Projects owned by Investment Affiliates (excluding
Adjusted Annual NOI attributable to Projects not owned for the entire fiscal
quarter on which Adjusted Annual NOI is calculated and for the five (5) entire
immediately preceding fiscal quarters) divided by (B) the Capitalization
Rate, plus (v) the Consolidated Group Pro Rata Share of the price paid for
such Projects first acquired by an Investment Affiliate during such period of
six (6) consecutive entire fiscal quarters, plus (vi) the
Consolidated Group Pro Rata Share of Unrestricted Cash, Cash Equivalents and
Marketable Securities owned by Investment Affiliates as of the end of the last
such fiscal quarter, plus (vii) Construction in Progress and First
Mortgage Receivables of the Borrower or any other member of the Consolidated
Group (with each such asset valued at the lower of its acquisition cost and its
fair market value), plus (vii) Unimproved Land (with each such asset
valued at the lower of its acquisition cost and its fair market value).  For purposes of this definition, to the
extent that the aggregate amount included in Total Asset Value on account of
clause (ii) and clause (v) above would exceed fifteen percent (15%)
of Total Asset Value, one or more of the Projects eligible to be valued under
such clauses shall be designated by Borrower and eliminated from valuation
under such clauses to the extent necessary to cause the aggregate amount
included in Total Asset Value under clause (ii) and clause (v) to be
less than fifteen percent (15%) of Total Asset Value.  Such eliminated Projects shall instead be
valued under clause (i) or clause (iv) above, as applicable,
notwithstanding the exclusions stated therein.

 

“Transferee”
is defined in Section 12.4.

 

“Type”
means, with respect to any Loan, its nature as a Floating Rate Loan or LIBOR
Loan.

 

“Unencumbered
Asset Value” means, as of any date, the sum of (a) (i) the aggregate
Adjusted Unencumbered NOI attributable to Qualifying Unencumbered Properties
then owned by Borrower or a Subsidiary Guarantor which have been owned by
Borrower or a Subsidiary Guarantor for the most recent full fiscal quarter for
which financial results of Borrower have been reported and for the five (5) immediately
preceding entire fiscal quarters multiplied by four and divided by
(ii) the Capitalization Rate plus (b) the aggregate acquisition cost of
all 

 

18

 

Qualifying
Unencumbered Properties then owned by Borrower or a Subsidiary Guarantor but
not so owned for such period of six (6) consecutive entire fiscal quarters,
plus (c) the GAAP book value of Development Projects not subject to any
Lien (other than Permitted Liens set forth in Sections 6.16(i) through
6.16(v)) or any Negative Pledge, plus (d) all Unrestricted Cash, Cash
Equivalents, and Marketable Securities and all First Mortgage Receivables
(valued at the lower of its acquisition cost and its fair market value).  For purposes of this definition, to the
extent i) the aggregate amount included in Unencumbered Asset Value under
clause (d) above would exceed 10% of the Unencumbered Asset Value, or
ii) the aggregate amount included in Unencumbered Asset Value attributable
to Development Properties under clause (c) above would exceed 15% of
the Unencumbered Pool Asset Value or the aggregate amount included under
clause (c) and (d) together would exceed 20% of Unencumbered
Asset Value, such excess shall be excluded. 
To the extent Unencumbered Asset Value attributable to Qualifying
Unencumbered Properties which are occupied pursuant to Financeable Ground
Leases would exceed 10% of Unencumbered Asset Value, such excess shall be
excluded.

 

“Unencumbered
Leverage Ratio” means, as of any date, the then-current Unencumbered Asset
Value divided by the then-current Unsecured Indebtedness.

 

“Unencumbered
NOI” means, as of any date, the sum of (a) the aggregate Net Operating
Income for the most recent fiscal quarter for which financial results have been
reported attributable to all Qualifying Unencumbered Properties owned for the
entirety of such fiscal quarter as of the last day of such fiscal quarter plus,
(b) in the case of any Qualifying Unencumbered Property that was owned as
of the last day of such fiscal quarter by Borrower or a Subsidiary Guarantor,
but not so owned for the full fiscal quarter, the additional amount of Net
Operating Income that would have been earned if such Qualifying Unencumbered
Property had been so owned for the full fiscal quarter.

 

“Unfunded
Liabilities” means the amount (if any) by which the present value of all vested
nonforfeitable benefits under all Single Employer Plans exceeds the fair market
value of all such Plan assets allocable to such benefits, all determined as of
the then most recent valuation date for such Plans.

 

“Unimproved
Land” means, as of any date, any land which (i) is not appropriately zoned
for retail development, (ii) does not have access to all necessary
utilities or (iii) does not have access to publicly dedicated streets,
unless such land has been designated in writing by the Borrower in a
certificate delivered to the Administrative Agent as land that is reasonably
expected to satisfy all such criteria within twelve (12) months after such
date.

 

“Unmatured
Default” means an event which but for the lapse of time or the giving of
notice, or both, would constitute a Default.

 

“Unrestricted
Cash, Cash Equivalents and Marketable Securities” means, in the aggregate, all
cash, Cash Equivalents and Marketable Securities which are not pledged or
otherwise restricted for the benefit of any creditor and which are owned by the
Borrower or another member of the Consolidated Group, to be valued for purposes
of this Agreement at 100% of its then-current book value, as determined under
GAAP.

 

19

 

“Unsecured
Indebtedness” means all Consolidated Outstanding Indebtedness that is not
Secured Indebtedness, including without limitation the Convertible Notes.

 

“Wholly-Owned
Subsidiary” of a Person means (i) any Subsidiary all of the outstanding
voting securities of which shall at the time be owned or controlled, directly
or indirectly, by such Person or one or more Wholly-Owned Subsidiaries of such
Person, or by such Person and one or more Wholly-Owned Subsidiaries of such
Person, or (ii) any partnership, association, joint venture or similar
business organization 100% of the ownership interests having ordinary voting
power of which shall at the time be so owned or controlled.

 

The
foregoing definitions shall be equally applicable to both the singular and
plural forms of the defined terms.

 

ARTICLE II.

 

THE TERM
LOAN

 

2.1           Generally.  The Lenders have previously made a loan to
the Borrower in the amount of $140,000,000 pursuant to the Existing Agreement
and on the Agreement Execution Date the Lenders have made an additional Advance
to the Borrower in the amount of $10,000,000, so that the Outstanding Facility
Amount now equals the Aggregate Commitment. Each Lender has funded its
Percentage of such disbursements.  This
is a term loan agreement, not a revolving credit facility.  The Loans made hereunder shall not be available
to be readvanced once repaid and the Lenders shall have no commitment to so
readvance all or any part of the Advances once repaid.

 

2.2           Reserved.

 

2.3           Payment of Interest.  The Borrower promises to pay to the
Administrative Agent for the account of each Lender interest on the unpaid
principal amount of each Loan made by such Lender for the period from and
including the date of the making of such Loan to but excluding the date such
Loan shall be paid in full, at the following per annum rates:

 

(a)           during such periods as such Loan is a Floating
Rate Loan, at the Floating Rate; and

 

(b)           during such periods as such Loan is a Fixed
Rate Loan, at the Fixed Rate with respect to the LIBOR Interest Period
applicable to such Fixed Rate Loan.

 

2.4           Principal Repayment.  The entire outstanding principal amount of
the Loan, and all accrued but unpaid interest on, shall be paid in full by the
Borrower on the Maturity Date.

 

2.5           Other Fees.  The Borrower agrees to pay all fees payable
to the Administrative Agent, the Co-Syndication Agents and the Co-Lead
Arrangers pursuant to the Borrower’s separate letter agreements with each of
the Administrative Agent, the Co-Syndication Agents and the Co-Lead Arrangers
(collectively, such letter agreements will be referred to as the “Fee Letter”).

 

20

 

 

2.6           Interest Periods.  No Interest Period may end after the Maturity
Date and, unless the Lenders otherwise agree in writing, in no event may there
be more than seven (7) different Interest Periods for Fixed Rate Loans
outstanding at any one time.

 

2.7           Conversion and Continuation of Outstanding
Loans.  Floating Rate Loans shall
continue as Floating Rate Loans unless and until such Floating Rate Loans are
converted into Fixed Rate Loans.  Each
Fixed Rate Loan shall continue as a Fixed Rate Loan until the end of the then
applicable Interest Period therefor, at which time such Fixed Rate Loan shall
be automatically converted into a Floating Rate Loan unless the Borrower shall
have given the Administrative Agent a Conversion/Continuation Notice
requesting that, at the end of such Interest Period, such Fixed Rate Loan
either continue as a Fixed Rate Loan for the same or another Interest Period or
be converted to a Loan of another Type. 
The Borrower may elect from time to time to convert all or any part of
an Loan of any Type into any other Type or Types of Loan; provided that any
conversion of any Fixed Rate Loan shall be made on, and only on, the last day
of the Interest Period applicable thereto. 
The Borrower shall give the Administrative Agent irrevocable notice (a
“Conversion/Continuation Notice”) of each conversion of a Loan to a Fixed Rate
Loan or continuation of a Fixed Rate Loan not later than 10:00 a.m.
(Cleveland time), at least three Business Days, in the case of a conversion
into or continuation of a LIBOR Loan, prior to the date of the requested
conversion or continuation, specifying:

 

(i)            the requested date which shall be a Business Day, of such conversion or
continuation;

 

(ii)           the aggregate amount and Type of the Loan which is to be converted or continued;
and

 

(iii)          the amount and Type(s) of Loan(s) into which such Loan is to be
converted or continued and, in the case of a conversion into or continuation of
a Fixed Rate Loan, the duration of the Interest Period applicable thereto.

 

2.8           Changes in Interest Rate, Etc.  Each Floating Rate Loan shall bear interest
on the outstanding principal amount thereof, for each day from and including
the date such Loan is made or is converted from a Fixed Rate Loan into a
Floating Rate Loan pursuant to Section 2.7 to but excluding the
date it becomes due or is converted into a Fixed Rate Loan pursuant to Section 2.7
hereof, at a rate per annum equal to the Floating Rate for such day.  Changes in the rate of interest on that
portion of any Loan maintained as a Floating Rate Loan will take effect
simultaneously with each change in the Alternate Base Rate.  Each Fixed Rate Loan shall bear interest from
and including the first day of the Interest Period applicable thereto to (but not
including) the last day of such Interest Period at the interest rate determined
as applicable to such Fixed Rate Loan.

 

2.9           Rates Applicable After Default.  Notwithstanding anything to the contrary
contained in Section 2.6 or 2.7, during the continuance of a
Default or Unmatured Default the Required Lenders may, at their option, by
notice to the Borrower (which notice may be revoked at the option of the
Required Lenders notwithstanding any provision of Section 8.2
requiring unanimous consent of the Lenders to changes in interest rates), declare
that no Loan may be made as, converted into or continued as a Fixed Rate
Loan.  During the continuance of a
Default the Required Lenders may, at their option, by notice to the Borrower
(which notice may be 

 

21

 

revoked at the option of the Required Lenders
notwithstanding any provision of Section 8.2 requiring unanimous
consent of the Lenders to changes in interest rates), declare that
(i) each Fixed Rate Loan shall bear interest for the remainder of the
applicable Interest Period at the rate otherwise applicable to such Interest
Period plus 2% per annum and (ii) each Floating Rate Loan shall bear
interest at a rate per annum equal to the Floating Rate otherwise applicable to
the Floating Rate Loan plus 2% per annum; provided, however, that the Default
Rate shall become applicable automatically if a Default occurs under Section 7.1
or 7.2, unless waived by the Required Lenders.

 

2.10         Method of Payment.  All payments of the Obligations hereunder
shall be made, without setoff, deduction, or counterclaim, in immediately
available funds to the Administrative Agent at the Administrative Agent’s
address specified pursuant to Article XIII, or at any other Lending
Installation of the Administrative Agent specified in writing by the
Administrative Agent to the Borrower, by noon (local time) on the date when due
and shall be applied ratably by the Administrative Agent among the Lenders.

 

(i)            As provided elsewhere herein, all Lenders’ interests in the Loans and the
Loan Documents shall be ratable undivided interests and none of such Lenders’
interests shall have priority over the others. 
Each payment delivered to the Administrative Agent for the account of
any Lender or amount to be applied or paid by the Administrative Agent to any
Lender shall be paid promptly (on the same day as received by the
Administrative Agent if received prior to noon (local time) on such day and
otherwise on the next Business Day) by the Administrative Agent to such Lender
in the same type of funds that the Administrative Agent received at its address
specified pursuant to Article XIII or at any Lending Installation
specified in a notice received by the Administrative Agent from such
Lender.  Payments received by the
Administrative Agent but not timely funded to the Lenders shall bear interest
payable by the Administrative Agent at the Federal Funds Effective Rate from
the date due until the date paid.  The
Administrative Agent is hereby authorized to charge the account of the Borrower
maintained with KeyBank for each payment of principal, interest and fees as it
becomes due hereunder.

 

2.11         Notes; Telephonic Notices.  Each Lender is hereby authorized to record
the principal amount of each of its Loans and each repayment on the schedule
attached to its Note, provided, however, that the failure to so record shall
not affect the Borrower’s obligations under such Note.  The Borrower hereby authorizes the Lenders
and the Administrative Agent to extend, convert or continue Loans, effect
selections of Types of Loans and to transfer funds based on telephonic notices
made by any Authorized Officer.  The
Borrower agrees to deliver promptly to the Administrative Agent a written
confirmation, if such confirmation is requested by the Administrative Agent or any
Lender, of each telephonic notice signed by an Authorized Officer.  If the written confirmation differs in any
material respect from the action taken by the Administrative Agent and the
Lenders, the records of the Administrative Agent and the Lenders shall govern
absent manifest error.  The
Administrative Agent will at the request of the Borrower, from time to time,
but not more often than monthly, provide notice of the amount of the
outstanding Aggregate Commitment, the Type of Loan, and the applicable interest
rate, if for a Fixed Rate Loan.  Upon a
Lender’s furnishing to Borrower an affidavit to such effect, if a Note is
mutilated, destroyed, lost or stolen, Borrower shall deliver to such Lender, in
substitution therefore, a new note containing the same terms and conditions as
such Note being replaced.

 

22

 

2.12         Interest Payment Dates; Interest and Fee Basis.  Interest accrued on each Loan shall be
payable on each Payment Date, commencing with the first such date to occur
after the date hereof, at maturity, whether by acceleration or otherwise.  Interest and all other fees shall be
calculated for actual days elapsed on the basis of a 360-day year.  Interest shall be payable for the day a Loan
is made but not for the day of any payment on the amount paid if payment is
received prior to noon (local time) at the place of payment.  If any payment of principal of or interest on
a Loan shall become due on a day which is not a Business Day, such payment
shall be made on the next succeeding Business Day and, in the case of a
principal payment, such extension of time shall be included in computing
interest in connection with such payment.

 

2.13         Notification of Loans, Interest Rates and
Prepayments.  The
Administrative Agent will notify each Lender of the contents of each
Conversion/Continuation Notice, and repayment notice received by it hereunder
not later than the close of business on the Business Day such notice is
received by the Administrative Agent. 
The Administrative Agent will notify each Lender of the interest rate
applicable to each Fixed Rate Loan promptly upon determination of such interest
rate and will give each Lender prompt notice of each change in the Alternate
Base Rate.

 

2.14         Lending Installations.  Each Lender may book its Loans at any Lending
Installation selected by such Lender and may change its Lending Installation
from time to time.  All terms of this
Agreement shall apply to any such Lending Installation and the Notes shall be
deemed held by each Lender for the benefit of such Lending Installation.  Each Lender may, by written or telex notice
to the Administrative Agent and the Borrower, designate a Lending Installation
through which Loans will be made by it and for whose account Loan payments are
to be made.

 

2.15         Non-Receipt of Funds by the Administrative
Agent.  Unless the Borrower or a
Lender, as the case may be, notifies the Administrative Agent prior to the time
at which it is scheduled to make payment to the Administrative Agent of
(i) in the case of a Lender, the proceeds of a Loan or (ii) in the
case of the Borrower, a payment of principal, interest or fees to the
Administrative Agent for the account of the Lenders, that it does not intend to
make such payment, the Administrative Agent may assume that such payment has
been made.  The Administrative Agent may,
but shall not be obligated to, make the amount of such payment available to the
intended recipient in reliance upon such assumption.  If such Lender or the Borrower, as the case
may be, has not in fact made such payment to the Administrative Agent, the
recipient of such payment shall, on demand by the Administrative Agent, repay
to the Administrative Agent the amount so made available together with interest
thereon in respect of each day during the period commencing on the date such
amount was so made available by the Administrative Agent until the date the
Administrative Agent recovers such amount at a rate per annum equal to
(i) in the case of payment by a Lender, the Federal Funds Effective Rate
for such day or (ii) in the case of payment by the Borrower, the interest
rate applicable to the relevant Loan.  If
such Lender so repays such amount and interest thereon to the Administrative
Agent within one Business Day after such demand, all interest accruing on the
Loan not funded by such Lender during such period shall be payable to such
Lender when received from the Borrower.

 

2.16         Replacement of Lenders under Certain
Circumstances.  The
Borrower shall be permitted to replace any Lender which (a) is not capable of
receiving payments without any deduction or withholding of United States
federal income tax pursuant to Section 3.5, or 

 

23

 

(b) cannot maintain its Fixed Rate Loans at a
suitable Lending Installation pursuant to Section 3.3, with a
replacement bank or other financial institution; provided that
(i) such replacement does not conflict with any applicable legal or
regulatory requirements affecting the Lenders, (ii) no Default or (after
notice thereof to Borrower) no Unmatured Default shall have occurred and be
continuing at the time of such replacement, (iii) the Borrower shall repay
(or the replacement bank or institution shall purchase, at par) all Loans and
other amounts owing to such replaced Lender prior to the date of replacement,
(iv) the Borrower shall be liable to such replaced Lender under Sections 3.4
and 3.6 if any Fixed Rate Loan owing to such replaced Lender shall be
prepaid (or purchased) other than on the last day of the Interest Period
relating thereto, (v) the replacement bank or institution, if not already
a Lender, and the terms and conditions of such replacement, shall be reasonably
satisfactory to the Administrative Agent, (vi) the replaced Lender shall
be obligated to make such replacement in accordance with the provisions of Section 12.3
(provided that the Borrower shall be obligated to pay the processing fee
referred to therein), (vii) until such time as such replacement shall be
consummated, the Borrower shall pay all additional amounts (if any) required
pursuant to Section 3.5 and (viii) any such replacement shall
not be deemed to be a waiver of any rights which the Borrower, the
Administrative Agent or any other Lender shall have against the replaced
Lender.

 

2.17         Usury.  This Agreement and each Note are subject to
the express condition that at no time shall Borrower be obligated or required
to pay interest on the principal balance of the Loan at a rate which could
subject any Lender to either civil or criminal liability as a result of being
in excess of the Maximum Legal Rate.  If
by the terms of this Agreement or the Loan Documents, Borrower is at any time
required or obligated to pay interest on the principal balance due hereunder at
a rate in excess of the Maximum Legal Rate, the interest rate or the Default
Rate, as the case may be, shall be deemed to be immediately reduced to the
Maximum Legal Rate and all previous payments in excess of the Maximum Legal
Rate shall be deemed to have been payments in reduction of principal and not on
account of the interest due hereunder. 
All sums paid or agreed to be paid to Lender for the use, forbearance,
or detention of the sums due under the Loan, shall, to the extent permitted by applicable
law, be amortized, prorated, allocated, and spread throughout the full stated
term of the Loan until payment in full so that the rate or amount of interest
on account of the Loan does not exceed the Maximum Legal Rate of interest from
time to time in effect and applicable to the Loan for so long as the Loan is
outstanding.

 

ARTICLE III.

 

CHANGE IN
CIRCUMSTANCES

 

3.1           Yield Protection.  If, on or after the date of this Agreement,
the adoption of any law or any governmental or quasi-governmental rule,
regulation, policy, guideline or directive (whether or not having the force of
law), or any change in the interpretation or administration thereof by any
governmental or quasi-governmental authority, central bank or comparable agency
charged with the interpretation or administration thereof, or compliance by any
Lender or applicable Lending Installation with any request or directive
(whether or not having the force of law) of any such authority, central bank or
comparable agency:

 

24

 

(i)            subjects any Lender or any applicable Lending Installation to any Taxes,
or changes the basis of taxation of payments (other than with respect to
Excluded Taxes) to any Lender in respect of its LIBOR Loans, or

 

(ii)           imposes or increases or deems applicable any reserve, assessment,
insurance charge, special deposit or similar requirement against assets of,
deposits with or for the account of, or credit extended by, any Lender or any
applicable Lending Installation (other than reserves and assessments taken into
account in determining the interest rate applicable to Fixed Rate Loans), or

 

(iii)          imposes any other condition the result of which is to increase the cost
to any Lender or any applicable Lending Installation of making, funding or
maintaining its Fixed Rate Loans, or reduces any amount receivable by any
Lender or any applicable Lending Installation in connection with its Fixed Rate
Loans, or requires any Lender or any applicable Lending Installation to make
any payment calculated by reference to the amount of Fixed Rate Loans, by an
amount deemed material by such Lender as the case may be,

 

and
the result of any of the foregoing is to increase the cost to such Lender or
applicable Lending Installation, as the case may be, of making or maintaining
its Fixed Rate Loans or Commitment or to reduce the return received by such
Lender or applicable Lending Installation in connection with such Fixed Rate
Loans or Commitment, then, within 15 days of demand by such Lender or the
Borrower shall pay such Lender such additional amount or amounts as will
compensate such Lender for such increased cost or reduction in amount received.

 

3.2           Changes in Capital Adequacy Regulations.  If a Lender in good faith determines the
amount of capital required or expected to be maintained by such Lender, any
Lending Installation of such Lender or any corporation controlling such Lender
is increased as a result of a Change (as hereinafter defined), then, within 15
days of demand by such Lender, the Borrower shall pay such Lender the amount necessary
to compensate for any shortfall in the rate of return on the portion of such
increased capital which such Lender in good faith determines is attributable to
this Agreement, its outstanding credit exposure hereunder or its obligation to
make Loans hereunder (after taking into account such Lender’s policies as to
capital adequacy).  “Change” means
(i) any change after the date of this Agreement in the Risk-Based Capital
Guidelines (as hereinafter defined) or (ii) any adoption of or change in
any other law, governmental or quasi-governmental rule, regulation, policy,
guideline, interpretation, or directive (whether or not having the force of
law) after the date of this Agreement which affects the amount of capital
required or expected to be maintained by any Lender or any Lending Installation
or any corporation controlling any Lender. 
“Risk-Based Capital Guidelines” means (i) the risk-based
capital guidelines in effect in the United States on the date of this
Agreement, including transition rules, and (ii) the corresponding capital
regulations promulgated by regulatory authorities outside the United States
implementing the June 2006 report of the Basel Committee on Banking
Regulation and Supervisory Practices Entitled “Basel II:  International Convergence of Capital
Measurements and Capital Standards:  A
Revised Framework,” including transition rules, and any amendments to such
regulations adopted prior to the Agreement Execution Date.

 

25

 

3.3           Availability of Types of Loans.  If any Lender in good faith determines that
maintenance of any of its Fixed Rate Loans at a suitable Lending Installation
would violate any applicable law, rule, regulation or directive, whether or not
having the force of law, the Administrative Agent shall, with written notice to
Borrower, suspend the availability of the affected Type of Loan and require any
Fixed Rate Loans of the affected Type to be repaid; or if the Required Lenders
in good faith determine that (i) deposits of a type or maturity
appropriate to match fund Fixed Rate Loans are not available, the
Administrative Agent shall, with written notice to Borrower, suspend the
availability of the affected Type of Loan with respect to any Fixed Rate Loans
made after the date of any such determination, or (ii) an interest rate
applicable to a Type of Loan does not accurately reflect the cost of making a
Fixed Rate Loan of such Type, then, if for any reason whatsoever the provisions
of Section 3.1 are inapplicable, the Administrative Agent shall,
with written notice to Borrower, suspend the availability of the affected Type
of Loan with respect to any Fixed Rate Loans made after the date of any such
determination.  If the Borrower is
required to so repay a Fixed Rate Loan, the Borrower may concurrently with such
repayment borrow from the Lenders, in the amount of such repayment, a Loan
bearing interest at the Alternate Base Rate.

 

3.4           Funding Indemnification.  If any payment of a ratable Fixed Rate Loan
occurs on a date which is not the last day of the applicable Interest Period,
whether because of acceleration, prepayment or otherwise, or a ratable Fixed
Rate Loan is not made on the date specified by the Borrower for any reason
other than default by the Lenders or as a result of unavailability pursuant to Section 3.3,
the Borrower will indemnify each Lender for any loss or cost incurred by it
resulting therefrom, including, without limitation, any loss or cost (incurred
or expected to be incurred) in liquidating or employing deposits acquired to
fund or maintain the ratable Fixed Rate Loan and shall pay all such losses or
costs within fifteen (15) days after written demand therefor.

 

3.5           Taxes.

 

(i)            All payments by the Borrower to or for the account of any Lender or the
Administrative Agent hereunder or under any Note shall be made free and clear
of and without deduction for any and all Taxes. 
If the Borrower shall be required by law to deduct any Taxes from or in
respect of any sum payable hereunder to any Lender or the Administrative Agent,
(a) the sum payable shall be increased as necessary so that after making
all required deductions (including deductions applicable to additional sums
payable under this Section 3.5) such Lender or the Administrative
Agent (as the case may be) receives an amount equal to the sum it would have
received had no such deductions been made, (b) the Borrower shall make
such deductions, (c) the Borrower shall pay the full amount deducted to
the relevant authority in accordance with applicable law and (d) the Borrower
shall furnish to the Administrative Agent the original copy of a receipt
evidencing payment thereof within 30 days after such payment is made.

 

(ii)           In addition, the Borrower hereby agrees to pay any present or future
stamp or documentary taxes and any other excise or property taxes, charges or
similar levies which arise from any payment made hereunder or under any Note or
from the execution or delivery of, or otherwise with respect to, this Agreement
or any Note (“Other Taxes”).

 

26

 

(iii)          The Borrower hereby agrees to indemnify the Administrative Agent and each
Lender for the full amount of Taxes or Other Taxes (including, without
limitation, any Taxes or Other Taxes imposed on amounts payable under this Section 3.5)
paid by the Administrative Agent or such Lender and any liability (including
penalties, interest and expenses) arising therefrom or with respect
thereto.  Payments due under this
indemnification shall be made within 30 days of the date the Administrative
Agent or such Lender makes demand therefor pursuant to Section 3.6.

 

(iv)          Each Lender that is not incorporated under the laws of the United States
of America or a state thereof (each a “Non-U.S. Lender”) agrees that it will,
not more than ten Business Days after the date of this Agreement,
(i) deliver to each of the Borrower and the Administrative Agent two duly
completed copies of United States Internal Revenue Service Form W-8BEN or
W-8ECI, certifying in either case that such Lender is entitled to receive
payments under this Agreement without deduction or withholding of any United
States federal income taxes, and (ii) deliver to each of the Borrower and
the Administrative Agent a United States Internal Revenue Form W-8 or W-9,
as the case may be, and certify that it is entitled to an exemption from United
States backup withholding tax.  Each
Non-U.S. Lender further undertakes to deliver to each of the Borrower and the
Administrative Agent (x) renewals or additional copies of such form (or
any successor form) on or before the date that such form expires or becomes
obsolete, and (y) after the occurrence of any event requiring a change in
the most recent forms so delivered by it, such additional forms or amendments
thereto as may be reasonably requested by the Borrower or the Administrative
Agent.  All forms or amendments described
in the preceding sentence shall certify that such Lender is entitled to receive
payments under this Agreement without deduction or withholding of any United
States federal income taxes, unless an event
(including without limitation any change in treaty, law or regulation) has
occurred prior to the date on which any such delivery would otherwise be
required which renders all such forms inapplicable or which would prevent such
Lender from duly completing and delivering any such form or amendment with
respect to it and such Lender advises the Borrower and the Administrative Agent
that it is not capable of receiving payments without any deduction or
withholding of United States federal income tax.

 

(v)           For any period during which a Non-U.S. Lender has failed to provide the
Borrower with an appropriate form pursuant to clause (iv), above (unless such
failure is due to a change in treaty, law or regulation, or any change in the interpretation
or administration thereof by any governmental authority, occurring subsequent
to the date on which a form originally was required to be provided), such
Non-U.S. Lender shall not be entitled to indemnification under this Section 3.5
with respect to Taxes imposed by the United States.

 

(vi)          Any Lender that is entitled to an exemption from or reduction of
withholding tax with respect to payments under this Agreement or any Note
pursuant to the law of any relevant jurisdiction or any treaty shall deliver to
the Borrower (with a copy to the Administrative Agent), at the time or times
prescribed by applicable law, such properly completed and executed
documentation prescribed by applicable law as will permit such payments to be
made without withholding or at a reduced rate following receipt of such
documentation.

 

27

 

(vii)         If
the U.S. Internal Revenue Service or any other governmental authority of the
United States or any other country or any political subdivision thereof asserts
a claim that the Administrative Agent did not properly withhold tax from
amounts paid to or for the account of any Lender (because the appropriate form
was not delivered or properly completed, because such Lender failed to notify
the Administrative Agent of a change in circumstances which rendered its
exemption from withholding ineffective, or for any other reason), such Lender
shall indemnify the Administrative Agent fully for all amounts paid, directly
or indirectly, by the Administrative Agent as tax, withholding therefor, or
otherwise, including penalties and interest, and including taxes imposed by any
jurisdiction on amounts payable to the Administrative Agent under this
subsection, together with all costs and expenses related thereto (including
attorneys fees and time charges of attorneys for the Administrative Agent,
which attorneys may be employees of the Administrative Agent).  The obligations of the Lenders under this Section 3.5(vii) shall
survive the payment of the Obligations and termination of this Agreement and
any such Lender obligated to indemnify the Administrative Agent shall not be
entitled to indemnification from the Borrower with respect to such amounts,
whether pursuant to this Article or otherwise, except to the extent the
Borrower participated in the actions giving rise to such liability.

 

3.6           Lender Statements; Survival of Indemnity.  To the extent reasonably possible, each
Lender shall designate an alternate Lending Installation with respect to its
Fixed Rate Loans to reduce any liability of the Borrower to such Lender under Sections 3.1,
3.2 and 3.5 or to avoid the unavailability of Fixed Rate Loans
under Section 3.3, so long as such designation is not, in the
reasonable judgment of such Lender, disadvantageous to such Lender.  Each Lender shall deliver a written statement
of such Lender to the Borrower (with a copy to the Administrative Agent) as to
the amount due, if any, under Sections 3.1, 3.2, 3.4
or 3.5.  Such written statement
shall set forth in reasonable detail the calculations upon which such Lender
determined such amount and shall be final, conclusive and binding on the
Borrower in the absence of manifest error. 
Determination of amounts payable under such Sections in connection with
a Fixed Rate Loan shall be calculated as though each Lender funded its Fixed
Rate Loan through the purchase of a deposit of the type and maturity
corresponding to the deposit used as a reference in determining the Fixed Rate
applicable to such Loan, whether in fact that is the case or not.  Unless otherwise provided herein, the amount
specified in the written statement of any Lender shall be payable on demand
after receipt by the Borrower of such written statement.  The obligations of the Borrower under Sections 3.1,
3.2, 3.4 and 3.5 shall survive payment of the Obligations
and termination of this Agreement.

 

ARTICLE IV.

 

CONDITIONS
PRECEDENT

 

4.1           Effectiveness.  This Agreement shall not become effective
unless (a) the Borrower shall have paid all fees due and payable to the
Lenders and the Administrative Agent hereunder, and (b) the Borrower shall
have furnished to the Administrative Agent the following:

 

(i)            The duly executed originals of this Agreement and any other Loan
Documents not previously executed and delivered pursuant to the Existing
Agreement 

 

28

 

including
a Note payable to the order of each of the new Lenders which has requested a
Note;

 

(ii)           (A) Certificates of good standing for the Borrower and each
Subsidiary Guarantor, from the State of Maryland for the Borrower and the
states of organization of each Subsidiary Guarantor, certified by the
appropriate governmental officer and dated not more than thirty (30) days prior
to the Agreement Execution Date, and (B) foreign qualification
certificates for the Borrower and each Subsidiary Guarantor, certified by the
appropriate governmental officer and dated not more than thirty (30) days prior
to the Agreement Execution Date, for each other jurisdiction where the failure
of the Borrower or such Subsidiary Guarantor to so qualify or be licensed (if
required) would have a Material Adverse Effect;

 

(iii)          Copies of the formation documents (including code of regulations, if
appropriate) of the Borrower and the Subsidiary Guarantors, certified by an
officer of the Borrower or such Subsidiary Guarantor, as appropriate, together
with all amendments thereto;

 

(iv)          Incumbency certificates, executed by officers of the Borrower and the
Subsidiary Guarantors, which shall identify by name and title and bear the
signature of the Persons authorized to sign the Loan Documents and to make
borrowings hereunder on behalf of the Borrower, upon which certificate the
Administrative Agent and the Lenders shall be entitled to rely until informed of
any change in writing by the Borrower or any such Subsidiary Guarantor;

 

(v)           Copies, certified by a Secretary or an Assistant Secretary of the
Borrower and each Subsidiary Guarantor, of the Board of Directors’ resolutions
(and resolutions of other bodies, if any are reasonably deemed necessary by
counsel for any Lender) authorizing the Advances provided for herein, with
respect to the Borrower, and the execution, delivery and performance of the
Loan Documents to be executed and delivered by the Borrower and each Subsidiary
Guarantor hereunder;

 

(vi)          A written opinion of the Borrower’s and Subsidiary Guarantors’ counsel,
addressed to the Lenders in substantially the form of Exhibit H
hereto or such other form as the Administrative Agent may reasonably approve;

 

(vii)         A
certificate, signed by an officer of the Borrower, stating that on the
Agreement Execution Date (a) no Default or Unmatured Default has occurred
and is continuing, (b) all representations and warranties of the Borrower
are true and correct, (c) neither Borrower nor any Subsidiary Guarantor
has suffered any material adverse changes, and (d) no action, suit,
investigation or proceeding, pending or threatened, exists in any court or
before any arbitrator or governmental authority that purports to materially and
adversely affect the Borrower, the Subsidiary Guarantors or any transaction
contemplated hereby, or that could have a material adverse effect on the
Borrower, the Subsidiary Guarantors or any transaction contemplated hereby or
on the ability of the Borrower or any of the Subsidiary Guarantors to perform
its obligations under the Loan Documents, provided that such certificate is in
fact true and correct;

 

29

 

 

(viii)        The
most recent financial statements of the Borrower;

 

(ix)           UCC financing statement, judgment, and tax lien searches with respect to
the Borrower from its state of organization and principal place of business;

 

(x)            Written money transfer instructions, in substantially the form of Exhibit E
hereto, addressed to the Administrative Agent and signed by an Authorized
Officer, together with such other related money transfer authorizations as the
Administrative Agent may have reasonably requested;

 

(xi)           Evidence that all fees due to each of the Lenders under the terms of
their respective commitment letters have been paid;

 

(xii)          A compliance certificate pursuant to Section 6.1(v); and

 

(xiii)         Such
other documents as any Lender or its counsel may have reasonably requested, the
form and substance of which documents shall be reasonably acceptable to the
parties and their respective counsel.

 

ARTICLE V.

 

REPRESENTATIONS
AND WARRANTIES

 

The
Borrower represents and warrants to the Lenders that:

 

5.1           Existence.  Borrower is a corporation duly organized and
validly existing under the laws of the State of Maryland, with its principal
place of business in Oak Brook, Illinois and is duly qualified as a
foreign corporation, properly licensed (if required), in good standing and has
all requisite authority to conduct its business in each jurisdiction in which
its business is conducted, except where the failure to be so qualified,
licensed and in good standing and to have the requisite authority would not
have a Material Adverse Effect.  Each of
Borrower’s Subsidiaries is duly incorporated, validly existing and in good
standing under the laws of its jurisdiction of incorporation and has all
requisite authority to conduct its business in each jurisdiction in which its
business is conducted.

 

5.2           Authorization and Validity.  The Borrower has the corporate power and
authority and legal right to execute and deliver the Loan Documents and to
perform its obligations thereunder.  The
execution and delivery by the Borrower of the Loan Documents and the
performance of its obligations thereunder have been duly authorized by proper
corporate proceedings, and the Loan Documents constitute legal, valid and
binding obligations of the Borrower enforceable against the Borrower in
accordance with their terms, except as enforceability may be limited by
bankruptcy, insolvency or similar laws affecting the enforcement of creditors’
rights generally.

 

5.3           No Conflict; Government Consent.  Neither the execution and delivery by the
Borrower of the Loan Documents, nor the consummation of the transactions
therein contemplated, nor compliance with the provisions thereof will violate
any law, rule, regulation, order, writ, judgment, injunction, decree or award
binding on the Borrower or any of its Subsidiaries or the Borrower’s or any
Subsidiary’s articles of incorporation or by-laws, or the 

 

30

 

provisions of any indenture, instrument or agreement
to which the Borrower or any of its Subsidiaries is a party or is subject, or
by which it, or its Property, is bound, or conflict with or constitute a
default thereunder, except where such violation, conflict or default would not
have a Material Adverse Effect, or result in the creation or imposition of any
Lien in, of or on the Property of the Borrower or a Subsidiary pursuant to the
terms of any such indenture, instrument or agreement.  No order, consent, approval, license,
authorization, or validation of, or filing, recording or registration with, or
exemption by, any governmental or public body or authority, or any subdivision
thereof, is required to authorize, or is required in connection with the
execution, delivery and performance of, or the legality, validity, binding
effect or enforceability of, any of the Loan Documents other than the filing of
a copy of this Agreement.

 

5.4           Financial Statements; Material Adverse Effect.  All consolidated financial statements of the
Borrower and its Subsidiaries heretofore or hereafter delivered to the Lenders
were prepared in accordance with GAAP in effect on the preparation date of such
statements and fairly present in all material respects the consolidated
financial condition and operations of the Borrower and its Subsidiaries at such
date and the consolidated results of their operations for the period then
ended, subject, in the case of interim financial statements, to normal and
customary year-end adjustments.  From the
preparation date of the most recent financial statements delivered to the
Lenders through the Agreement Execution Date, there was no change in the
business, properties, or condition (financial or otherwise) of the Borrower and
its Subsidiaries which could reasonably be expected to have a Material Adverse
Effect.

 

5.5           Taxes.  The Borrower and its Subsidiaries have filed
all United States federal tax returns and all other tax returns which are
required to be filed and have paid all taxes due pursuant to said returns or
pursuant to any assessment received by the Borrower or any of its Subsidiaries
except such taxes, if any, as are being contested in good faith and as to which
adequate reserves have been provided.  No
tax liens have been filed and no claims are being asserted with respect to such
taxes.  The charges, accruals and
reserves on the books of the Borrower and its Subsidiaries in respect of any
taxes or other governmental charges are adequate.

 

5.6           Litigation and Guarantee Obligations.  Except as set forth on Schedule 3
hereto or as set forth in written notice to the Administrative Agent from time
to time, there is no litigation, arbitration, governmental investigation,
proceeding or inquiry pending or, to the knowledge of any of their officers,
threatened against or affecting the Borrower or any of its Subsidiaries which
could reasonably be expected to have a Material Adverse Effect.  The Borrower has no material contingent
obligations not provided for or disclosed in the financial statements referred
to in Section 6.1 or as set forth in written notices to the
Administrative Agent given from time to time after the Agreement Execution Date
on or about the date such material contingent obligations are incurred.

 

5.7           Subsidiaries; Investment Affiliates.  Schedule 1 hereto contains, an
accurate list of all Subsidiaries of the Borrower (which are not Subsidiary
Guarantors as of the Agreement Execution Date), setting forth their respective
jurisdictions of incorporation or formation and the percentage of their
respective capital stock or partnership or membership interest owned by the
Borrower or other Subsidiaries.  All of
the issued and outstanding shares of capital stock of all Subsidiaries that are
corporations have been duly authorized and issued and are fully paid and
non-assessable.  There are no outstanding
subscriptions, options, warrants, commitments, 

 

31

 

preemptive rights or agreements of any kind
(including, without limitation, any stockholders’ or voting trust agreements)
for the issuance, sale, registration or voting of, or outstanding securities convertible
into, any additional shares of capital stock of any class, or partnership or
other ownership interests of any type in, any Subsidiary.  Schedule 6 hereto contains an
accurate list of all Investment Affiliates of Borrower, including the correct legal
name of such Investment Affiliate, the type of legal entity which each such
Investment Affiliate is, and the type and amount of all equity interests in
such Investment Affiliate held directly or indirectly by Borrower.

 

5.8           ERISA.  The Unfunded Liabilities of all Single
Employer Plans do not in the aggregate exceed $1,000,000.  Neither the Borrower nor any other member of
the Controlled Group has incurred, or is reasonably expected to incur, any
withdrawal liability to Multiemployer Plans in excess of $250,000 in the
aggregate.  Each Plan complies in all
material respects with all applicable requirements of law and regulations, no
Reportable Event has occurred with respect to any Plan, neither the Borrower
nor any other members of the Controlled Group has withdrawn from any Plan or
initiated steps to do so, and no steps have been taken to reorganize or
terminate any Plan.

 

5.9           Accuracy of Information.  No information, exhibit or report furnished
by the Borrower or any of its Subsidiaries to the Administrative Agent or to
any Lender in connection with the negotiation of, or compliance with, the Loan
Documents contained any material misstatement of fact or omitted to state a
material fact or any fact necessary to make the statements contained therein
not misleading.

 

5.10         Regulation U.  The Borrower has not used the proceeds of any
Advance to buy or carry any margin stock (as defined in Regulation U) in
violation of the terms of this Agreement.

 

5.11         Material Agreements.  Neither the Borrower nor any Subsidiary is in
default in the performance, observance or fulfillment of any of the
obligations, covenants or conditions contained in (i) any agreement to
which it is a party, which default could have a Material Adverse Effect, or
(ii) any agreement or instrument evidencing or governing Indebtedness,
which default would constitute a Default hereunder.

 

5.12         Compliance With Laws.  The Borrower and its Subsidiaries have
complied with all applicable statutes, rules, regulations, orders and
restrictions of any domestic or foreign government or any instrumentality or
agency thereof, having jurisdiction over the conduct of their respective
businesses or the ownership of their respective Property, except for any
non-compliance which would not have a Material Adverse Effect.  Neither the Borrower nor any Subsidiary has
received any notice to the effect that its operations are not in material
compliance with any of the requirements of applicable federal, state and local
environmental, health and safety statutes and regulations or the subject of any
federal or state investigation evaluating whether any remedial action is needed
to respond to a release of any toxic or hazardous waste or substance into the
environment, which non-compliance or remedial action could have a Material
Adverse Effect.

 

5.13         Ownership of Properties.  Except as set forth on Schedule 2
hereto, on the date of this Agreement, the Borrower and its Subsidiaries will
have good and marketable title, free of all 

 

32

 

Liens other than those permitted by Section 6.16,
to all of the Property and assets reflected in the financial statements as
owned by it.

 

5.14         Investment Company Act.  Neither the Borrower nor any Subsidiary is an
“investment company” or a company “controlled” by an “investment company”,
within the meaning of the Investment Company Act of 1940, as amended.

 

5.15         Affiliate Transactions.  Except as permitted by Section 6.17,  neither the Borrower, nor any of its
Subsidiaries is a party to or bound by any agreement or arrangement (whether
oral or written) to which any Affiliate of Borrower or any of its Subsidiaries
is a party.

 

5.16         Solvency.

 

(i)            Immediately after the Agreement Execution Date (a) the fair value of
the assets of the Borrower and its Subsidiaries on a consolidated basis, at a
fair valuation, will exceed the debts and liabilities, subordinated, contingent
or otherwise, of the Borrower and its Subsidiaries on a consolidated basis;
(b) the present fair saleable value of the Property of the Borrower and
its Subsidiaries on a consolidated basis will be greater than the amount that
will be required to pay the probable liability of the Borrower and its
Subsidiaries on a consolidated basis on their debts and other liabilities,
subordinated, contingent or otherwise, as such debts and other liabilities
become absolute and matured; (c) the Borrower and its Subsidiaries on a
consolidated basis will be able to pay their debts and liabilities,
subordinated, contingent or otherwise, as such debts and liabilities become
absolute and matured; and (d) the Borrower and its Subsidiaries on a
consolidated basis will not have unreasonably small capital with which to
conduct the businesses in which they are engaged as such businesses are now
conducted and are proposed to be conducted after the date hereof.

 

(ii)           The Borrower does not intend to, or to permit any of its Subsidiaries to,
and does not believe that it or any of its Subsidiaries will, incur debts
beyond its ability to pay such debts as they mature, taking into account the
timing of and amounts of cash to be received by it or any such Subsidiary and
the timing of the amounts of cash to be payable on or in respect of its
Indebtedness or the Indebtedness of any such Subsidiary.

 

5.17         Insurance  The Borrower and its Subsidiaries carry
insurance on their Projects with financially sound and reputable insurance
companies, in such amounts, with such deductibles and covering such risks as
are customarily carried by companies engaged in similar businesses and owning similar
Projects in localities where the Borrower and its Subsidiaries operate,
including, without limitation, in the case of all Qualifying Unencumbered
Properties, the coverage described in Exhibit I attached hereto and
made a part hereof.

 

5.18         REIT Status.  The Borrower is qualified as a real estate
investment trust under Section 856 of the Code and currently is in
compliance in all material respects with all provisions of the Code applicable
to the qualification of the Borrower as a real estate investment trust.

 

5.19         Environmental Matters.  Each of the following representations and
warranties is true and correct on and as of the Agreement Execution Date except
as disclosed on Schedule 4 attached hereto and to the extent that
the facts and circumstances giving rise to any such failure 

 

33

 

to be so true and correct, in the aggregate, could
not reasonably be expected to have a Material Adverse Effect:

 

(a)           To the best knowledge of the Borrower, the
Projects of the Borrower and its Subsidiaries do not contain any Materials of
Environmental Concern in amounts or concentrations which constitute a violation
of, or could reasonably give rise to liability of the Borrower or any
Subsidiary under, Environmental Laws.

 

(b)           To the best knowledge of the Borrower,
(i) the Projects of the Borrower and its Subsidiaries and all operations
at the Projects are in compliance with all applicable Environmental Laws, and
(ii) with respect to all Projects owned by the Borrower and/or its
Subsidiaries (x) for at least two (2) years, have in the last two
years, or (y) for less than two (2) years, have for such period of
ownership, been in compliance in all material respects with all applicable
Environmental Laws.

 

(c)           Neither the Borrower nor any of its
Subsidiaries has received any notice of violation, alleged violation,
non-compliance, liability or potential liability regarding environmental
matters or compliance with Environmental Laws with regard to any of the
Projects, nor does the Borrower have knowledge or reason to believe that any
such notice will be received or is being threatened.

 

(d)           To the best knowledge of the Borrower,
Materials of Environmental Concern have not been transported or disposed of
from the Projects of the Borrower and its Subsidiaries in violation of, or in a
manner or to a location which could reasonably give rise to liability of the
Borrower or any Subsidiary under, Environmental Laws, nor have any Materials of
Environmental Concern been generated, treated, stored or disposed of at, on or
under any of the Projects of the Borrower and its Subsidiaries in violation of,
or in a manner that could give rise to liability of the Borrower or any
Subsidiary under, any applicable Environmental Laws.

 

(e)           No judicial proceedings or governmental or
administrative action is pending, or, to the knowledge of the Borrower,
threatened, under any Environmental Law to which the Borrower or any of its
Subsidiaries is or, to the Borrower’s knowledge, will be named as a party with
respect to the Projects of the Borrower and its Subsidiaries, nor are there any
consent decrees or other decrees, consent orders, administrative order or other
orders, or other administrative of judicial requirements outstanding under any
Environmental Law with respect to the Projects of the Borrower and its
Subsidiaries.

 

(f)            To the best knowledge of the Borrower, there
has been no release or threat of release of Materials of Environmental Concern
at or from the Projects of the Borrower and its Subsidiaries, or arising from
or 

 

34

 

related to the operations of the Borrower and its
Subsidiaries in connection with the Projects in violation of or in amounts or
in a manner that could give rise to liability under Environmental Laws.

 

5.20         Intellectual Property.

 

(i)            Borrower and each of its Subsidiaries owns or has the right to use, under
valid license agreements or otherwise, all material patents, licenses,
franchises, trademarks, trademark rights, trade names, trade name rights, trade
secrets and copyrights (collectively, “Intellectual Property”) used in the
conduct of their respective businesses as now conducted and as contemplated by
the Loan Documents, without known conflict with any patent, license, franchise,
trademark, trade secret, trade name, copyright, or other proprietary right of
any other Person.

 

(ii)           Borrower and each of its Subsidiaries have taken all such steps as they
deem reasonably necessary to protect their respective rights under and with respect
to such Intellectual Property.

 

(iii)          No claim has been asserted by any Person with respect to the use of any
Intellectual Property by Borrower or any of its Subsidiaries, or challenging or
questioning the validity or effectiveness of any Intellectual Property.

 

(iv)          The use of such Intellectual Property by Borrower and each of its
Subsidiaries does not infringe on the rights of any Person, subject to such
claims and infringements as do not, in the aggregate, give rise to any
liabilities on the part of the Borrower or any of its Subsidiaries that could
be reasonably expected to have a Material Adverse Effect.

 

5.21         Broker’s Fees.  No broker’s or finder’s fee, commission or
similar compensation will be payable with respect to the transactions
contemplated hereby.  Except as provided
in the Fee Letter, no other similar fees or commissions will be payable by any
Lender for any other services rendered to the Borrower, any of the Subsidiaries
of the Borrower or any other Person ancillary to the transactions contemplated
hereby.

 

5.22         Qualifying Unencumbered Properties.  As of the Agreement Execution Date, (i) Schedule 7
is a correct and complete list of all Qualifying Unencumbered Properties.  Each of the assets included by the Borrower
in calculations of Unencumbered Asset Value satisfies all of the requirements
contained in this Agreement for the same to be included therein.

 

5.23         No Bankruptcy Filing.  Neither Borrower nor any of its Subsidiaries
is contemplating either the filing of a petition by it under any state or
federal bankruptcy or insolvency laws or the liquidation of its assets or
property, and Borrower has no knowledge of any Person contemplating the filing
of any such petition against any of such Persons.

 

5.24         No Fraudulent Intent.  Neither the execution and delivery of this
Agreement or any of the other Loan Documents nor the performance of any actions
required hereunder or thereunder is being undertaken by Borrower or the
Subsidiary Guarantors with or as a result of any actual intent by any of such
Persons to hinder, delay or defraud any entity to which any of such Persons is
now or will hereafter become indebted.

 

35

 

5.25         Transaction in Best Interests of Borrower and
Subsidiary Guarantors; Consideration.  The transaction evidenced by this Agreement
and the other Loan Documents is in the best interests of Borrower and the
Subsidiary Guarantors and their respective creditors.  The direct and indirect benefits to inure to
Borrower and the Subsidiary Guarantors pursuant to this Agreement and the other
Loan Documents constitute substantially more than “reasonably equivalent value”
(as such term is used in §548 of the Bankruptcy Code) and “valuable
consideration,” “fair value,” and “fair consideration” (as such terms are used
in any applicable state fraudulent conveyance law), in exchange for the
benefits to be provided by Borrower and the Subsidiary Guarantors pursuant to
this Agreement and the other Loan Documents, and but for the willingness of
each Subsidiary Guarantor to guaranty the Obligations, Borrower would be unable
to obtain the financing contemplated hereunder which financing will enable
Borrower and its subsidiaries to have available financing to conduct and expand
their business.  Borrower and its
Subsidiaries constitute a single integrated financial enterprise and receives a
benefit from the availability of credit under this Agreement.

 

5.26         Subordination.  Borrower is not a party to or bound by any
agreement, instrument or indenture that may require the subordination in right
or time of payment of any of the Obligations to any other indebtedness or
obligation of any such Persons.

 

5.27         Tax Shelter Representation.  Borrower does not intend to treat the Loans,
and/or related transactions as being a “reportable transaction” (within the
meaning of United States Treasury Regulation Section 1.6011-4).  In the event Borrower determines to take any
action inconsistent with such intention, it will promptly notify the
Administrative Agent thereof.  If Borrower
so notifies the Administrative Agent, Borrower acknowledges that one or more of
the Lenders may treat its Loans as part of a transaction that is subject to
Treasury Regulation Section 301.6112-1, and such Lender or Lenders, as
applicable, will maintain the lists and other records required by such Treasury
Regulation.

 

5.28         Anti-Terrorism Laws.

 

(i)            None of the Borrower or any of its Affiliates is in violation of any laws
or regulations relating to terrorism or money laundering (“Anti-Terrorism Laws”),
including Executive Order No. 13224 on Terrorist Financing, effective
September 24, 2001 (the “Executive Order”) and the Uniting and
Strengthening America by Providing Appropriate Tools Required to Intercept and
Obstruct Terrorism Act of 2001, Public Law 107-56.

 

(ii)           None of the Borrower or any of its Affiliates, or any of its brokers or
other agents acting or benefiting from the Loan is a Prohibited Person.  A “Prohibited Person” is any of the
following:

 

(1)           a person or entity that is listed in the Annex to, or is otherwise
subject to the provisions of, the Executive Order;

 

(2)           a person or entity owned or controlled by, or acting for or on behalf of,
any person or entity that is listed in the Annex to, or is otherwise subject to
the provisions of, the Executive Order;

 

36

 

(3)           a person or entity with whom any Lender is prohibited from dealing or
otherwise engaging in any transaction by any Anti-Terrorism Law;

 

(4)           a person or entity who commits, threatens or conspires to commit or
supports “terrorism” as defined in the Executive Order; or

 

(5)           a person or entity that is named as a “specially designated national and
blocked person” on the most current list published by the U.S. Treasury
Department Office of Foreign Asset Control at its official website or any
replacement website or other replacement official publication of such list.

 

(iii)          None of the Borrower or any of its Affiliates or any of its brokers or
other agents acting in any capacity in connection with the Loan
(1) conducts any business or engages in making or receiving any
contribution of funds, goods or services to or for the benefit of any
Prohibited Person, (2) deals in, or otherwise engages in any transaction
relating to, any property or interests in property blocked pursuant to the
Executive Order, or (iii) engages in or conspires to engage in any
transaction that evades or avoids, or has the purpose of evading or avoiding,
or attempts to violate, any of the prohibitions set forth in any Anti-Terrorism
Law.

 

Borrower
shall not (1) conduct any business or engage in making or receiving any
contribution of funds, goods or services to or for the benefit of any
Prohibited Person, (ii) deal in, or otherwise engage in any transaction
relating to, any property or interests in property blocked pursuant to the
Executive Order or any other Anti-Terrorism Law, or (iii) engage in or
conspire to engage in any transaction that evades or avoids, or has the purpose
of evading or avoiding, or attempts to violate, any of the prohibitions set
forth in any Anti-Terrorism Law (and Borrower shall deliver to Administrative
Agent any certification or other evidence requested from time to time by
Administrative Agent in its reasonable discretion, confirming Borrower’s compliance
herewith).

 

Notwithstanding
the foregoing, at any time that Borrower retains its status as a publicly held
company, the representations made in this Section 5.28 are limited
to the Borrower’s knowledge with respect to Affiliates who are Affiliates due
to ownership due to 10% or more of any class of voting securities.

 

5.29         Survival.  All statements contained in any certificate,
financial statement or other instrument delivered by or on behalf of Borrower
or any of its Subsidiaries to the Administrative Agent or any Lender pursuant
to or in connection with this Agreement or any of the other Loan Documents
(including, but not limited to, any such statement made in or in connection
with any amendment thereto or any statement contained in any certificate,
financial statement or other instrument delivered by or on behalf of the
Borrower prior to the Agreement Execution Date and delivered to the
Administrative Agent or any Lender in connection with closing the transactions
contemplated hereby) shall constitute representations and warranties made by
the Borrower under this Agreement.  All
such representations and warranties shall survive the effectiveness of this
Agreement, the execution and delivery of the Loan Documents and the making of
the Loans.

 

37

 

ARTICLE VI.

 

COVENANTS

 

During
the term of this Agreement, unless the Required Lenders shall otherwise consent
in writing:

 

6.1           Financial Reporting.  The Borrower will maintain, for itself and
each Subsidiary, a system of accounting established and administered in
accordance with GAAP, and furnish to the Lenders:

 

(i)            As soon as available, but in any event not later than 45 days after the
close of each fiscal quarter, for the Borrower and its Subsidiaries, an unaudited
consolidated balance sheet as of the close of each such period and the related
unaudited consolidated statements of income and retained earnings and of cash
flows of the Borrower and its Subsidiaries for such period and the portion of
the fiscal year through the end of such period, setting forth in each case in
comparative form the figures for the previous year, all certified by the
Borrower’s chief financial officer or chief accounting officer;

 

(ii)           As soon as available, but in any event not later than 45 days after the
close of each fiscal quarter, for the Borrower and its Subsidiaries, the
following reports in form and substance reasonably satisfactory to the
Administrative Agent, all certified by the entity’s chief financial officer or
chief accounting officer:  a statement of
Funds From Operations, a statement of cash flows for each individual Project, a
statement detailing Consolidated Outstanding Indebtedness and Adjusted Annual
NOI, a listing of capital expenditures, a report listing and describing all
newly acquired Projects, including their net operating income, cash flow, cost
and secured or unsecured Indebtedness assumed in connection with such
acquisition, if any, summary Project information to include square footage,
occupancy, Net Operating Income and such other information on all Projects as
may be reasonably requested;

 

(iii)          As soon as available, but in any event not later than 90 days after the
close of each fiscal year, for the Borrower and its Subsidiaries, audited
financial statements, including a consolidated balance sheet as at the end of
such year and the related consolidated statements of income and retained
earnings and of cash flows for such year, setting forth in each case in
comparative form the figures for the previous year, without a “going concern”
or like qualification or exception, or qualification arising out of the scope
of the audit, prepared by independent certified public accountants of
nationally recognized standing reasonably acceptable to Administrative Agent;

 

(iv)          As soon as available, but in any event not later than 90 days after the
close of each fiscal year, for the Borrower and its Subsidiaries, a statement
detailing the contributions to Adjusted Annual NOI from each individual Project
for the prior fiscal year in form and substance reasonably satisfactory to the
Administrative Agent, certified by the entity’s chief financial officer or
chief accounting officer;

 

(v)           Together with the quarterly and annual financial statements required
hereunder, a compliance certificate in substantially the form of Exhibit C
hereto signed 

 

38

 

by
the Borrower’s chief financial officer or chief accounting officer showing the
calculations and computations necessary to determine compliance with this
Agreement and stating that, to such officer’s knowledge, no Default or
Unmatured Default exists, or if, to such officer’s knowledge, any Default or
Unmatured Default exists, stating the nature and status thereof;

 

(vi)          As soon as possible and in any event within 10 days after a responsible
officer of the Borrower knows that any Reportable Event has occurred with
respect to any Plan, a statement, signed by the chief financial officer of the
Borrower, describing said Reportable Event and the action which the Borrower
proposes to take with respect thereto;

 

(vii)         As
soon as possible and in any event within 10 days after receipt by a responsible
officer of the Borrower, a copy of (a) any notice or claim to the effect
that the Borrower or any of its Subsidiaries is or may be liable to any Person
as a result of the release by the Borrower, any of its Subsidiaries, or any
other Person of any toxic or hazardous waste or substance into the environment,
and (b) any notice alleging any violation of any federal, state or local
environmental, health or safety law or regulation by the Borrower or any of its
Subsidiaries, which, in either case, could have a Material Adverse Effect;

 

(viii)        Promptly
upon the furnishing thereof to the shareholders of the Borrower, copies of all
financial statements, reports and proxy statements so furnished;

 

(ix)           Promptly upon becoming aware of the same and to the extent Borrower, or
any of its Subsidiaries, are aware of the same, notice of the commencement of
any proceeding or investigation by or before any Governmental Authority and any
action or proceeding in any court or other tribunal or before any arbitrator
against or in any other way relating adversely to, or adversely affecting,
Borrower, any of its Subsidiaries or any of their respective properties, assets
or businesses which involve claims individually or in the aggregate in excess
of $5,000,000, and notice of the receipt of notice that any United States
income tax returns of Borrower or any of its Subsidiaries are being audited;

 

(x)            Promptly upon becoming available, a copy of any amendment to a formation
document of Borrower;

 

(xi)           Promptly upon becoming aware of the same, notice of any change in the
senior management of Borrower, or any of its Subsidiaries, any change in the
business, assets, liabilities, financial condition, results of operations or
business prospects of Borrower,  or any
of its Subsidiaries which has had or could reasonably be expected to have a
Material Adverse Effect, or any other event or circumstance which has had or
could reasonably be expected to have a Material Adverse Effect;

 

(xii)          Promptly upon becoming aware of entry of the same, notice of any order,
judgment or decree in excess of $5,000,000 having been entered against
Borrower, or any of its Subsidiaries or any of their respective properties or
assets;

 

(xiii)         Promptly
upon receipt of the same, notice if Borrower, or any of its Subsidiaries shall
receive any notification from any Governmental Authority alleging a 

 

39

 

violation
of any Applicable Law or any inquiry which could reasonably be expected to have
a Material Adverse Effect; and

 

(xiv)        Such
other information (including, without limitation, financial statements for the
Borrower and non-financial information) as the Administrative Agent or any
Lender may from time to time reasonably request.

 

6.2           Use of Proceeds.  The Borrower will use the proceeds of the
Advances solely (i) to finance the Borrower’s or its Subsidiaries’
acquisition of Stabilized Retail Projects, and (ii) for working capital
and other general corporate purposes. 
The Borrower will not, nor will it permit any Subsidiary to, use any of
the proceeds of the Advances (i) to purchase or carry any “margin stock”
(as defined in Regulation U) if such usage could constitute a violation of
Regulation U by any Lender, (ii) to fund any purchase of, or offer for,
any Capital Stock of any Person, unless such Person has consented to such offer
prior to any public announcements relating thereto, or (iii) to make any
Acquisition other than a Permitted Acquisition.

 

6.3           Notice of Default.  The Borrower will give, and will cause each
of its Subsidiaries to give, prompt notice in writing to the Administrative
Agent and the Lenders of the occurrence of any Default or Unmatured Default and
of any other development, financial or otherwise, which could reasonably be
expected to have a Material Adverse Effect.

 

6.4           Conduct of Business.  The Borrower will do, and will cause each of
its Subsidiaries to do, all things necessary to remain duly incorporated or
duly qualified, validly existing and in good standing as a real estate
investment trust, corporation, general partnership or limited partnership, as
the case may be, in its jurisdiction of incorporation/formation (except with
respect to mergers permitted pursuant to Section 6.12 and Permitted
Acquisitions) and maintain all requisite authority to conduct its business in
each jurisdiction in which its business is conducted, in each jurisdiction in which
any Qualifying Unencumbered Property owned (or leased pursuant to an eligible
ground lease) by it is located, and in each other jurisdiction in which the
character of its properties or the nature of its business requires such
qualification and authorization and where the failure to be so authorized and
qualified could reasonably be expected to have a Material Adverse Effect, and
to carry on and conduct their businesses in substantially the same manner as
they are presently conducted where the failure to do so could reasonably be
expected to have a Material Adverse Effect and, specifically, neither the
Borrower nor its Subsidiaries may undertake any business other than the
acquisition, development, ownership, management, operation and leasing of retail,
office or industrial properties, and ancillary businesses specifically related
to such types of properties.  Borrower
shall, and shall cause each Subsidiary, to develop and implement such programs,
policies and procedures as are necessary to comply with the USA Patriot Act and
shall promptly advise the Administrative Agent in writing in the event that any
of such Persons shall determine that any investors in such Persons are in
violation of such act.

 

6.5           Taxes.  The Borrower will pay, and will cause each of
its Subsidiaries to pay, when due all taxes, assessments and governmental
charges and levies upon them of their income, profits or Projects, except those
which are being contested in good faith by appropriate proceedings and with
respect to which adequate reserves have been set aside.

 

40

 

6.6           Insurance.  The Borrower will, and will cause each of its
Subsidiaries to, maintain insurance which is consistent with the representation
contained in Section 5.17 on all their Property and the Borrower
will furnish to any Lender upon reasonable request full information as to the
insurance carried.

 

6.7           Compliance with Laws.  The Borrower will, and will cause each of its
Subsidiaries to, comply with all laws, rules, regulations, orders, writs,
judgments, injunctions, decrees or awards to which they may be subject, the
violation of which could reasonably be expected to have a Material Adverse
Effect.

 

6.8           Maintenance of Properties.  The Borrower will, and will cause each of its
Subsidiaries to, do all things necessary to maintain, preserve, protect and keep
their respective Projects and Properties, reasonably necessary for the
continuous operation of the Projects, in good repair, working order and
condition, ordinary wear and tear excepted.

 

6.9           Inspection.  The Borrower will, and will cause each of its
Subsidiaries to, permit the Lenders upon reasonable notice, by their respective
representatives and agents, to inspect any of the Projects, corporate books and
financial records of the Borrower and each of its Subsidiaries, to examine and
make copies of the books of accounts and other financial records of the
Borrower and each of its Subsidiaries, and to discuss the affairs, finances and
accounts of the Borrower and each of its Subsidiaries with officers thereof,
and to be advised as to the same by, their respective officers at such
reasonable times and intervals as the Lenders may designate.

 

6.10         Maintenance of Status; Modification of
Formation Documents.  The
Borrower shall at all times maintain its status as a real estate investment
trust in compliance with all applicable provisions of the Code relating to such
status.  The Borrower shall not and shall
not permit any Subsidiary of Borrower to without the prior written consent of
the Administrative Agent amend or modify any of their respective articles of incorporation,
limited liability company agreements, partnership agreements, by-laws, or other
formation documents, if such amendment or modification would have a Material
Adverse Effect.

 

6.11         Dividends.  Provided there is no then-existing Default or
(after notice thereof to Borrower) Unmatured Default hereunder, the Borrower
and its Subsidiaries shall be permitted to declare and pay dividends on their
Capital Stock from time to time in amounts determined by Borrower, provided,
however, that in no event shall Borrower declare or pay dividends on its
Capital Stock or make distributions with respect thereto to (including
dividends paid and distributions actually made with respect to gains on
property sales and any preferred dividends or distributions as the Borrower may
be contractually required to make from time to time from the Inland-Ryan joint
ventures) if such dividends and distributions paid on account of the
then-current fiscal quarter and the three immediately preceding fiscal
quarters, in the aggregate sales for such period, would exceed 95% of Funds
From Operations for such period plus (B) without duplication, all gains on
property sales for such period to the extent distributions were actually made
with respect thereto.  Notwithstanding
the foregoing, the Borrower shall be permitted at all times to distribute
whatever amount of dividends is necessary to maintain its tax status as a real
estate investment trust.

 

6.12         Merger; Sale of Assets.  The Borrower will not, nor will it permit any
of its Subsidiaries to, without prior notice to the Administrative Agent and
without providing a 

 

41

 

certification of compliance with the Loan Documents
enter into any merger (other than mergers in which such entity is the survivor
and mergers of Subsidiaries (but not the Borrower) as part of transactions that
are Permitted Acquisitions provided that following such merger the target
entity becomes a Wholly-Owned Subsidiary of Borrower), consolidation,
reorganization or liquidation or transfer or otherwise dispose of all or a
Substantial Portion of their Properties, except for (a) such transactions
that occur between Wholly-Owned Subsidiaries or between Borrower and a
Wholly-Owned Subsidiary and (b) mergers solely to change the jurisdiction
of organization of a Subsidiary Guarantor, provided that, in any event,
approval in advance by the Required Lenders shall be required for transfer or
disposition in any quarter of assets with an aggregate value greater than 10%
of Total Asset Value, or any merger resulting in an increase to the Total Asset
Value of more than 35%.

 

6.13         Delivery and Release of Subsidiary Guaranties.  Borrower has caused each of its existing
Subsidiaries (other than a Subsidiary which is a single-purpose entity which
owns only Projects subject to securitized Indebtedness and which has
restrictions on the creation of additional Indebtedness and other safeguards
typically imposed on such single-purpose entities in securitized financings) to
be a party to the Subsidiary Guaranty. 
Within 10 days after the later of the date Borrower forms or acquires
any Subsidiary or the date such Subsidiary first owns a Project, Borrower shall
cause such Subsidiary (other than Subsidiaries excluded under the parenthetical
in the preceding sentence) to execute and deliver to the Administrative Agent a
joinder in the Subsidiary Guaranty, together with supporting organizational and
authority documents and opinions similar to those provided with respect to the
Borrower under Section 4.1 hereof. 
If a Subsidiary that is initially not required to be a party to the
Subsidiary Guaranty as of the Agreement Execution Date under the parenthetical
in the first sentence is later not precluded from doing so, then Borrower shall
cause such Subsidiary to deliver a Joinder to Guaranty (in the form attached as
Exhibit A to the form of Subsidiary Guaranty attached hereto as Exhibit F)
and such supporting documents and opinions at that time.  If a Subsidiary Guarantor has sold its
Projects and has liquidated all of its other assets and applied all of the
proceeds of such liquidation in accordance with the terms of the Loan Documents
and its organizational documents, such Subsidiary Guarantor shall be released
from the Subsidiary Guaranty or from any other liability it may have undertaken
with respect to the Obligations.

 

6.14         Sale and Leaseback.  The Borrower will not, nor will it permit any
of its Subsidiaries to, sell or transfer a Substantial Portion of its Property
in order to concurrently or subsequently lease such Property as lessee.

 

6.15         Acquisitions and Investments.  The Borrower will not, nor will it permit any
Subsidiary to, make or suffer to exist any Investments (including without
limitation, loans and advances to, and other Investments in, Subsidiaries), or
commitments therefor, or become or remain a partner in any partnership or joint
venture, or to make any Acquisition of any Person, except:

 

(i)            Cash Equivalents and Marketable Securities;

 

(ii)           Investments in existing Subsidiaries, Investments in Subsidiaries
formed for the purpose of developing or acquiring Properties, Investments
in joint ventures and partnerships engaged solely in the business of
purchasing, developing, owning, operating, 

 

42

 

leasing
and managing retail properties, and Investments in existence on the date hereof
and described in Schedule 1 hereto;

 

(iii)          transactions permitted pursuant to Section 6.12; and

 

(iv)          transactions permitted pursuant to Section 6.23; and

 

(v)           Acquisitions of Persons whose primary operations consist of the
ownership, development, operation and management of retail properties;

 

provided
that, after giving effect to such Acquisitions and Investments, Borrower
continues to comply with all its covenants herein.  Acquisitions permitted pursuant to this Section 6.15
shall be deemed to be “Permitted Acquisitions”.

 

6.16         Liens.  The Borrower will not, nor will it permit any
of its Subsidiaries to, create, incur, or suffer to exist any Lien in, of or on
the Property of the Borrower or any of its Subsidiaries, except:

 

(i)            Liens for taxes, assessments or governmental charges or levies on its
Property if the same shall not at the time be delinquent or thereafter can be
paid without penalty, or are being contested in good faith and by appropriate
proceedings and for which adequate reserves shall have been set aside on its
books;

 

(ii)           Liens imposed by law, such as carriers’, warehousemen’s and mechanics’
liens and other similar liens arising in the ordinary course of business which
secure payment of obligations not more than 60 days past due or which are being
contested in good faith by appropriate proceedings and for which adequate
reserves shall have been set aside on its books;

 

(iii)          Liens arising out of pledges or deposits under workers’ compensation
laws, unemployment insurance, old age pensions, or other social security or
retirement benefits, or similar legislation;

 

(iv)          Easements, restrictions and such other encumbrances or charges against
real property as are of a nature generally existing with respect to properties
of a similar character and which do not in any material way affect the
marketability of the same or interfere with the use thereof in the business of
the Borrower or its Subsidiaries;

 

(v)           Liens on Projects existing on the date hereof which secure Indebtedness
as described in Schedule 2 hereto; and

 

(vi)          Liens other than Liens described in subsections (i) through (iv) above
arising in connection with any Indebtedness permitted hereunder to the extent
such Liens will not result in a Default in any of Borrower’s covenants herein.

 

Liens
permitted pursuant to this Section 6.16 shall be deemed to be “Permitted
Liens”.

 

6.17         Affiliates.  The Borrower will not, nor will it permit any
of its Subsidiaries to, enter into any transaction (including, without
limitation, the purchase or sale of any Property or 

 

43

 

service) with, or make any payment or transfer to,
any Affiliate except in the ordinary course of business and pursuant to the
reasonable requirements of the Borrower’s or such Subsidiary’s business and
upon fair and reasonable terms no less favorable to the Borrower or such
Subsidiary than the Borrower or such Subsidiary would obtain in a comparable
arms-length transaction.

 

6.18         Swap Contracts.  The Borrower will not enter into or remain
liable upon, nor will it permit any Subsidiary to enter into or remain liable
upon, any Swap Contract, except to the extent required to protect the Borrower
and its Subsidiaries against increases in interest payable by them under
variable interest Indebtedness.

 

6.19         Variable Interest Indebtedness.  The Borrower and its Subsidiaries shall not
at any time permit the outstanding principal balance of Indebtedness which
bears interest at an interest rate that is not fixed through the maturity date
of such Indebtedness to exceed twenty percent (20%) of Total Asset Value,
unless all of such Indebtedness in excess of such amount is subject to a Swap
Contract approved by the Administrative Agent that effectively converts the
interest rate on such excess to a fixed rate.

 

6.20         Consolidated Net Worth.  The Borrower shall maintain a Consolidated
Net Worth of not less than $550,000,000 plus eighty percent (80%) of the equity
contributions or sales of treasury stock received by the Borrower after the
Agreement Execution Date.

 

6.21         Indebtedness and Cash Flow Covenants.  The Borrower on a consolidated basis with its
Subsidiaries shall not permit, at any time:

 

(i)            Consolidated Outstanding Indebtedness to be more than 0.60 times Total
Asset Value, except that the Borrower shall have the one-time right to elect to
temporarily increase the maximum amount of permitted Consolidated Outstanding
Indebtedness to 0.65 times Total Asset Value, provided that (i) the
Borrower gives written notice to the Administrative Agent given prior to the
delivery of any financial statement for a quarter evidencing Consolidated
Outstanding Indebtedness in excess of 0.60 times Total Asset Value and (ii) such
temporary increase to 0.65 shall not be in effect for more than two (2) consecutive
fiscal quarters;

 

(ii)           Adjusted Annual EBITDA to be less than 1.50 times Fixed Charges;

 

(iii)          any Guarantee Obligations of any member of the Consolidated Group which
guarantee Secured Indebtedness, or any Secured Indebtedness of any member of
the Consolidated Group which is also Recourse Indebtedness, to exist which
exceed, in the aggregate, 10% of Total Asset Value;

 

(iv)          the Unencumbered Leverage Ratio to be less than 1.60;

 

(v)           the Unencumbered Asset Value to be less than $250,000,000;

 

(vi)          Adjusted Unencumbered NOI to be less than 1.50 times Implied Debt
Service; or

 

(vii)         Secured
Indebtedness to be more than 0.45 times Total Asset Value.

 

44

 

6.22         Environmental Matters.  Borrower and its Subsidiaries shall:

 

(a)           Comply with, and use all reasonable efforts to
ensure compliance by all tenants and subtenants, if any, with, all applicable
Environmental Laws and obtain and comply with and maintain, and use all
reasonable efforts to ensure that all tenants and subtenants obtain and comply
with and maintain, any and all licenses, approvals, notifications,
registrations or permits required by applicable Environmental Laws, except to
the extent that failure to do so could not be reasonably expected to have a
Material Adverse Effect; provided that in no event shall the Borrower or its
Subsidiaries be required to modify the terms of leases, or renewals thereof,
with existing tenants (i) at Projects owned by the Borrower or its
Subsidiaries as of the date hereof, or (ii) at Projects hereafter acquired
by the Borrower or its Subsidiaries as of the date of such acquisition, to add
provisions to such effect.

 

(b)           Conduct and complete all investigations,
studies, sampling and testing, and all remedial, removal and other actions
required under Environmental Laws and promptly comply in all material respects
with all lawful orders and directives of all Governmental Authorities regarding
Environmental Laws, except to the extent that (i) the same are being
contested in good faith by appropriate proceedings and the pendency of such
proceedings could not be reasonably expected to have a Material Adverse Effect,
or (ii) the Borrower has determined in good faith that contesting the same
is not in the best interests of the Borrower and its Subsidiaries and the
failure to contest the same could not be reasonably expected to have a Material
Adverse Effect.

 

(c)           Defend, indemnify and hold harmless Administrative
Agent and each Lender, and their respective officers and directors, from and
against any claims, demands, penalties, fines, liabilities, settlements,
damages, costs and expenses of whatever kind or nature known or unknown,
contingent or otherwise, arising out of, or in any way relating to the
violation of, noncompliance with or liability under any Environmental Laws
applicable to the operations of the Borrower, its Subsidiaries or the Projects,
or any orders, requirements or demands of Governmental Authorities related
thereto, including, without limitation, attorney’s and consultant’s fees,
investigation and laboratory fees, response costs, court costs and litigation
expenses, except to the extent that any of the foregoing arise out of the gross
negligence or willful misconduct of the party seeking indemnification
therefor.  This indemnity shall continue
in full force and effect regardless of the termination of this Agreement.

 

(d)           Prior to the acquisition of a new Project
after the Agreement Execution Date, perform or cause to be performed an
environmental investigation which investigation shall include preparation of a
“Phase I” report and, if appropriate, a “Phase II” report, in each case
prepared by a recognized environmental engineer in accordance with 

 

45

 

customary standards which discloses that the such
Project is not in violation of the representations and covenants set forth in
this Agreement, unless such violation has been disclosed in writing to the
Administrative Agent and remediation actions satisfactory to the Administrative
Agent are being taken, and at a minimum comply with the specifications and
procedures attached hereto as Exhibit G.  In connection with any such investigation,
Borrower shall cause to be prepared a report of such investigation, to be made
available to any Lenders upon reasonable request, for informational purposes
and to assure compliance with the specifications and procedures.

 

6.23         Permitted Investments.

 

(a)           The Consolidated Group’s Investment in
Unimproved Land shall not at any time exceed five percent (5%) of Total Asset
Value.

 

(b)           The Consolidated Group’s aggregate Investment
in (i) Investment Affiliates and (ii) any entity which is not a
Wholly-Owned Subsidiary (valued at the greater of the cash investment in that
entity by Borrower or the portion of Total Asset Value attributable to such
entity or its assets as the case may be)  shall
not at any time exceed twenty percent (20%) of Total Asset Value.

 

(c)           The Consolidated Group’s Investment in First
Mortgage Receivables (with each asset valued at the lower of its acquisition
cost and its fair market value) shall not at any time exceed five percent (5%)
of Total Asset Value.

 

(d)           The Consolidated Group’s Investment in Construction
in Progress (with each asset valued at the lower of its acquisition cost and
its fair market value) shall not at any time exceed five percent (5%) of Total
Asset Value.

 

(e)           The Consolidated Group’s Investment in
Marketable Securities shall not at any time exceed five percent (5%) of Total
Asset Value.

 

(f)            The Consolidated Group’s projected Investment
in Forward Purchase Commitments (valued at the anticipated equity investment
required to close such acquisitions, taking into account the amount of Secured
Indebtedness anticipated to be available to fund such acquisition under
then-current market conditions, all as reasonably projected by Borrower) shall
not at any time exceed ten percent (10%) of Total Asset Value.

 

(g)           The Consolidated Group’s aggregate Investment
in the above items (a)-(f) in the aggregate shall not at any time exceed
twenty-five percent (25%) of Total Asset Value. 
In each case (other than item (b) above) the Consolidated Group’s
Investment shall include the 

 

46

 

Consolidated Group Pro Rata Share of any Investment
Affiliate’s Investment in the specified asset type.

 

6.24         Prohibited Encumbrances.  The Borrower agrees that neither the Borrower
nor any other member of the Consolidated Group shall (i) create a Lien
against any Project other than a single first-priority mortgage or deed of
trust, (ii) create a Lien on any Capital Stock or other ownership
interests in any member of the Consolidated Group or any Investment Affiliate
or (iii) enter into or be subject to any agreement governing any
Indebtedness which constitutes a Negative Pledge (other than restrictions on
further subordinate Liens on Projects already encumbered by a first-priority
mortgage or deed of trust).

 

6.25         Further Assurances.  Borrower shall, at Borrower’s cost and
expense and upon request of the Administration Agent, execute and deliver or
cause to be executed and delivered, to the Administration Agent such further
instruments, documents and certificates, and do and cause to be done such
further acts that may be reasonably necessary or advisable in the reasonable
opinion of the Administration Agent to carry out more effectively the
provisions and purposes of this Agreement and the other Loan Documents.

 

6.26         Distribution of Income to the Borrower.  Borrower shall cause all of its Subsidiaries
to promptly distribute to Borrower (but not less frequently than once each
fiscal quarter of Borrower unless otherwise approved by the Administrative
Agent), whether in the form of dividends, distributions or otherwise, all
profits, proceeds or other income relating to or arising from such
Subsidiaries’ use, operation, financing, refinancing, sale or other disposition
of their respective assets and properties after (a) the payment by each
such Subsidiary of its debt service and operating expenses for such quarter and
(b) the establishment of reasonable reserves for the payment of operating
expenses not paid on at least a quarterly basis and capital improvements to be
made to such Subsidiary’s assets and properties approved by such Subsidiary in
the ordinary course of business consistent with its past practices,
(c) funding of reserves required by the terms of any deed of trust,
mortgage or similar lien encumbering property of the Subsidiary;
(d) payment or establishment of reserves for payment to minority equity
interest holders of amounts required to be paid in respect of such equity
interest.

 

6.27         More Restrictive Agreements.  Should Borrower, while this Agreement is in
effect or any Note remains unpaid, enter into, refinance or modify any
agreements pertaining to any existing or future Indebtedness or issuance of
Capital Stock which agreements or documents include covenants (whether
affirmative or negative), warranties, representations, or defaults or events of
default (or any other provision which may have the practical effect of any of
the foregoing, including, without limitation, any “put” or mandatory
prepayment of such debt) other than those set forth herein or in any of the
other Loan Documents, Borrower shall promptly so notify the Administrative
Agent and, if requested by the Administrative Agent or the Required Lenders,
Borrower, the Administrative Agent and the Required Lenders shall promptly
amend this Agreement and the other Loan Documents to incorporate some or all of
such provisions as determined by the Required Lenders in their sole discretion;
provided, however, that any such amendment shall provide that,
upon cancellation or termination of the loan agreement, this Agreement, or
other instrument pertaining to such other Indebtedness or issuance of Capital
Stock (other than by reason of an event of default thereunder), so long as no
Default or Unmatured Default is in existence, such amendment also shall
terminate and the provisions of 

 

47

 

this Agreement affected by such amendment shall
revert to the terms thereof as in effect prior to giving effect to such
amendment.

 

ARTICLE VII.

 

DEFAULTS

 

The
occurrence of any one or more of the following events shall constitute a
Default:

 

7.1           Nonpayment of any principal payment on any
Note when due.

 

7.2           Nonpayment of interest upon any Note or of any
facility fee or other payment Obligations under any of the Loan Documents
within five (5) Business Days after the same becomes due.

 

7.3           The breach of any of the terms or provisions
of Article VI.

 

7.4           Any representation or warranty made or deemed
made by or on behalf of the Borrower or any of its Subsidiaries to the Lenders
or the Administrative Agent under or in connection with this Agreement, any
Loan, or any material certificate or information delivered in connection with
this Agreement or any other Loan Document shall be materially false on the date
as of which made.

 

7.5           The breach by the Borrower (other than a
breach which constitutes a Default under Section 7.1, 7.2, 7.3
or 7.4) of any of the terms or provisions of this Agreement which is not
remedied within five (5) days after written notice from the Administrative
Agent or any Lender.

 

7.6           Failure of the Borrower or any of its
Subsidiaries to pay when due any Recourse Indebtedness, regardless of amount,
or any other Consolidated Outstanding Indebtedness (other than Indebtedness
hereunder and Indebtedness under Swap Contracts) in excess of $50,000,000 in
the aggregate (collectively, “Material Indebtedness”); or the default by the
Borrower or any of its Subsidiaries in the performance of any term, provision
or condition contained in any agreement, or any other event shall occur or condition
exist, which causes or permits any such Material Indebtedness to be due and
payable or required to be prepaid (other than by a regularly scheduled payment)
prior to the stated maturity thereof (provided that the failure to pay any such
Material Indebtedness shall not constitute a Default so long as the Borrower or
its Subsidiaries is diligently contesting the payment of the same by
appropriate legal proceedings and the Borrower or its Subsidiaries have set
aside, in a manner reasonably satisfactory to Administrative Agent, a
sufficient reserve to repay such Indebtedness plus all accrued interest thereon
calculated at the default rate thereunder and costs of enforcement in the event
of an adverse outcome), and provided further that Material Indebtedness shall
not include either (i) that portion of the Consolidated Outstanding
Indebtedness due from IN Retail Fund Algonquin Commons, L.L.C., which is an
Investment Affiliate, under loans made by Teachers Insurance and Annuity
Association of America having current principal balances of approximately
$72,300,000 and $19,600,000, respectively, which are secured by the Projects
known as Algonquin Commons and The Exchange at Algonquin Commons, each located
in Algonquin, Illinois (the “Algonquin Indebtedness”) or (ii) any
Recourse Indebtedness of the Borrower or another member of the Consolidated
Group arising from Guarantee Obligations undertaken with respect to such 

 

48

 

Algonquin
Indebtedness unless and until the fifth (5th) Business Day after the date on which the
holders of the Algonquin Indebtedness institute judicial proceedings to collect
such Recourse Indebtedness); or, under any Swap Contract, the occurrence of an
Early Termination Date (as defined in such Swap Contract) resulting from
(A) any event of default under such Swap Contract as to which the Borrower
or any Subsidiary is the Defaulting Party (as defined in such Swap Contract) or
(B) any Termination Event (as so defined) under such Swap Contract as to
which the Borrower or any Subsidiary is an Affected Party (as so defined) and,
in either event, the Swap Termination Value owed by the Borrower or such
Subsidiary as a result thereof is greater than $10,000,000.

 

7.7           The Borrower, or any Subsidiary shall
(i) have an order for relief entered with respect to it under the Federal
bankruptcy laws as now or hereafter in effect, (ii) make an assignment for
the benefit of creditors, (iii) apply for, seek, consent to, or acquiesce
in, the appointment of a receiver, custodian, trustee, examiner, liquidator or
similar official for it or any Substantial Portion of its Property,
(iv) institute any proceeding seeking an order for relief under the
Federal bankruptcy laws as now or hereafter in effect or seeking to adjudicate
it as a bankrupt or insolvent, or seeking dissolution, winding up, liquidation,
reorganization, arrangement, adjustment or composition of it or its debts under
any law relating to bankruptcy, insolvency or reorganization or relief of
debtors or fail to file an answer or other pleading denying the material
allegations of any such proceeding filed against it, (v) take any
corporate action to authorize or effect any of the foregoing actions set forth
in this Section 7.7, (vi) fail to contest in good faith any
appointment or proceeding described in Section 7.8 or
(vii) admit in writing its inability to pay its debts generally as they
become due.

 

7.8           A receiver, trustee, examiner, liquidator or
similar official shall be appointed for the Borrower or any Subsidiary or for
any Substantial Portion of the Property of the Borrower or such Subsidiary, or
a proceeding described in Section 7.7(iv) shall be instituted
against the Borrower or any such Subsidiary and such appointment continues
undischarged or such proceeding continues undismissed or unstayed for a period
of ninety (90) consecutive days.

 

7.9           The Borrower or any of its Subsidiaries shall
fail within sixty (60) days to pay, bond or otherwise discharge any judgments,
warrants, writs of attachment, execution or similar process or orders for the
payment of money in an amount which, when added to all other judgments,
warrants, writs, executions, processes or orders outstanding against Borrower
or any Subsidiary would exceed $10,000,000 in the aggregate, which have not
been stayed on appeal or otherwise appropriately contested in good faith;
provided, however, that if a bond has been issued in favor of the claimant or
other Person obtaining such judgment, warrant, writ, execution, order or
process, the issuer of such bond shall execute a waiver or subordination
agreement in form and substance satisfactory to the Administrative Agent
pursuant to which the issuer of such bond subordinates its right of
reimbursement, contribution or subrogation to the Obligations and waives or
subordinates any Lien it may have on the assets of Borrower or its
Subsidiaries.

 

7.10         The Borrower or any other member of the
Controlled Group shall have been notified by the sponsor of a Multiemployer
Plan that it has incurred withdrawal liability to such Multiemployer Plan in an
amount which, when aggregated with all other amounts required to be paid to
Multiemployer Plans by the Borrower or any other member of the Controlled Group
as withdrawal liability (determined as of the date of such notification),
exceeds $1,000,000 or requires payments exceeding $500,000 per annum.

 

49

 

7.11         The Borrower or any other member of the
Controlled Group shall have been notified by the sponsor of a Multiemployer
Plan that such Multiemployer Plan is in reorganization or is being terminated,
within the meaning of Title IV of ERISA, if as a result of such reorganization
or termination the aggregate annual contributions of the Borrower and the other
members of the Controlled Group (taken as a whole) to all Multiemployer Plans
which are then in reorganization or being terminated have been or will be
increased over the amounts contributed to such Multiemployer Plans for the
respective plan years of each such Multiemployer Plan immediately preceding the
plan year in which the reorganization or termination occurs by an amount
exceeding $500,000.

 

7.12         Failure to remediate within the time period
permitted by law or governmental order, after all administrative hearings and appeals
have been concluded (or within a reasonable time in light of the nature of the
problem if no specific time period is so established), environmental problems
at Properties owned by the Borrower or any of its Subsidiaries or Investment
Affiliates.

 

7.13         The occurrence of any “Default” as defined in
any Loan Document or the breach of any of the terms or provisions of any Loan
Document, which default or breach continues beyond any period of grace therein
provided.

 

7.14         The attempted revocation, challenge,
disavowment, or termination by the Borrower or Guarantors of any of the Loan
Documents.

 

7.15         Any Change of Control shall occur.

 

7.16         Any Change in Management shall occur.

 

7.17         A federal tax lien shall be filed against
Borrower or any of its Subsidiaries under Section 6323 of the Code or a
lien of the PBGC shall be filed against Borrower or any of its Subsidiaries
under Section 4068 of ERISA and in either case such lien shall remain
undischarged (or otherwise unsatisfied) for a period of twenty-five (25) days
after the date of filing.

 

ARTICLE VIII.

 

ACCELERATION,
WAIVERS, AMENDMENTS AND REMEDIES

 

8.1           Acceleration.  If any Default described in Section 7.7
or 7.8 occurs with respect to the Borrower, the obligations of the
Lenders to make Loans hereunder shall automatically terminate and the Facility
Obligations shall immediately become due and payable without any election or
action on the part of the Administrative Agent or any Lender.  If any other Default occurs, so long as a
Default exists Lenders shall have no obligation to make any Loans and the
Required Lenders, at any time prior to the date that such Default has been
fully cured, may permanently terminate the obligations of the Lenders to make
Loans hereunder and declare the Facility Obligations to be due and payable, or
both, whereupon if the Required Lenders elected to accelerate (i) the
Facility Obligations shall become immediately due and payable, without
presentment, demand, protest or notice of any kind, all of which the Borrower
hereby expressly waives and (ii) if any automatic or optional acceleration
has occurred, the Administrative Agent, as directed by the Required Lenders (or
if no such direction is given within 30 days after a request for direction, as
the Administrative Agent deems in the best interests of the Lenders, in 

 

50

 

its sole discretion), shall use its good faith
efforts to collect, including without limitation, by filing and diligently
pursuing judicial action, all amounts owed by the Borrower and any Subsidiary
Guarantor under the Loan Documents.

 

If,
within 10 days after acceleration of the maturity of the Facility Obligations
or termination of the obligations of the Lenders to make Loans hereunder as a
result of any Default (other than any Default as described in Section 7.7
or 7.8 with respect to the Borrower) and before any judgment or decree
for the payment of the Facility Obligations due shall have been obtained or
entered, all of the Lenders (in their sole discretion) shall so direct, the
Administrative Agent shall, by notice to the Borrower, rescind and annul such
acceleration and/or termination.

 

8.2           Amendments.  Subject to the provisions of this Article VIII
the Required Lenders (or the Administrative Agent with the consent in writing
of the Required Lenders) and the Borrower may enter into agreements
supplemental hereto for the purpose of adding or modifying any provisions to
the Loan Documents or changing in any manner the rights of the Lenders or the
Borrower hereunder or waiving any Default hereunder; provided, however, that no
such supplemental agreement or waiver shall, without the consent of all
Lenders:

 

(i)            Extend the Maturity Date, or forgive all or any portion of the principal
amount of any Loan or accrued interest thereon, reduce the Applicable Margins
(or modify any definition herein which would have the effect of reducing the
Applicable Margins) or the underlying interest rate options or extend the time
of payment of any such principal, interest or facility fees.

 

(ii)           Release any Subsidiary Guarantor, except as permitted in Section 6.13
(other than a Subsidiary Guarantor that has liquidated all of its assets and
applied all of the proceeds of such liquidation in accordance with its
organizational documents) from the Subsidiary Guaranty or any other future
guarantor (other than a Subsidiary Guarantor that has liquidated all of its
assets and applied all of the proceeds of such liquidation in accordance with
its organizational documents) from any liability it may undertake with respect
to the Obligations.

 

(iii)          Reduce the percentage specified in the definition of Required Lenders.

 

(iv)          Increase the Aggregate Commitment beyond $150,000,000.

 

(v)           Permit the Borrower to assign its rights under this Agreement.

 

(vi)          Amend Sections 2.10, 8.1, 8.2 or 11.2.

 

(vii)         Amend
the definition of (A) Unencumbered Asset Value or (B) any of the
defined terms used in the definition of Unencumbered Asset Value, as set forth
in Article I.

 

No
amendment of any provision of this Agreement relating to the Administrative
Agent shall be effective without the written consent of the Administrative
Agent.  If the Required Lenders have
agreed to waive the requirement of Section 7.15 and permit a Change
of Control to occur, each non-consenting Lender shall have the option to
terminate its Commitment, provided that such option is exercised within five
(5) Business Days after the Administrative Agent has notified all 

 

51

 

Lenders
that the Required Lenders have agreed to such a waiver by written notice from
such non-consenting Lender to Administrative Agent and Borrower.  Upon the termination of such a non-consenting
Lender’s Commitment, such non-consenting Lender’s obligation to fund Loans
shall be terminated as of the date such Change of Control occurs and Borrower
shall repay any outstanding Obligations due to such Lender prior to or
concurrently with the occurrence of such Change of Control.  Following the termination of any Commitment
pursuant to this Section 8.2, the Aggregate Commitment shall be
reduced by the amount of the Commitment or Commitments terminated, and the
Percentages of each of the remaining Lenders shall be adjusted to reflect their
share of the new reduced Aggregate Commitment.

 

8.3           Preservation of Rights.  No delay or omission of the Lenders or the
Administrative Agent to exercise any right under the Loan Documents shall
impair such right or be construed to be a waiver of any Default or an
acquiescence therein, and the making of a Loan notwithstanding the existence of
a Default or the inability of the Borrower to satisfy the conditions precedent
to such Loan shall not constitute any waiver or acquiescence.  Any single or partial exercise of any such
right shall not preclude other or further exercise thereof or the exercise of
any other right, and no waiver, amendment or other variation of the terms,
conditions or provisions of the Loan Documents whatsoever shall be valid unless
in writing signed by the Lenders required pursuant to Section 8.2,
and then only to the extent in such writing specifically set forth.  All remedies contained in the Loan Documents
or by law afforded shall be cumulative and all shall be available to the
Administrative Agent and the Lenders until the Obligations have been paid in
full.

 

8.4           Insolvency of Borrower.  In the event of the insolvency of the
Borrower, the Lenders shall have no obligation to make further disbursements of
the Facility, and the outstanding principal balance of the Facility, including
accrued and unpaid interest thereon, shall be immediately due and payable.

 

8.5           Application of Funds.  After the acceleration of the Facility
Obligations as provided for in Section 8.1 (or after the Facility
Obligations have automatically become immediately due and payable), any amounts
received on account of the Obligations shall be applied by the Administrative
Agent in the following order:

 

(i)            to payment of that portion of the Obligations constituting fees,
indemnities, expenses and other amounts (including attorney costs and amounts
payable under Article III) payable to the Administrative Agent in
its capacity as such;

 

(ii)           to payment of that portion of the Obligations constituting fees,
indemnities and other amounts (other than principal and interest) payable to
the Lenders (including fees, charges and disbursements of counsel to the
respective Lenders and amounts payable under Article III), ratably
among them in proportion to the amounts described in this clause (ii) payable
to them;

 

(iii)          to payment of that portion of the Obligations constituting accrued and
unpaid interest on the Loans and other Obligations, ratably among the Lenders
in proportion to the respective amounts described in this clause (iii) payable
to them;

 

52

 

(iv)          to payment of that portion of the Obligations constituting unpaid
principal of the Loans ratably among the Lenders, in proportion to the
respective amounts described in this clause (iv) held by them;

 

(v)           to payment of that portion of the Obligations constituting Related Swap
Obligations ratably among the Lenders and Affiliates of Lenders holding such
Related Swap Obligations in proportion to the respective amounts described in
this clause (v) held by them; and

 

(vi)          the balance, if any, after all of the Obligations have been indefeasibly
paid in full, to the Borrower or as otherwise required by Law.

 

ARTICLE IX.

 

GENERAL
PROVISIONS

 

9.1           Survival of Representations.  All representations and warranties of the
Borrower contained in this Agreement shall survive delivery of the Notes and
the making of the Loans herein contemplated.

 

9.2           Governmental Regulation.  Anything contained in this Agreement to the
contrary notwithstanding, no Lender shall be obligated to extend credit to the
Borrower in violation of any limitation or prohibition provided by any
applicable statute or regulation.

 

9.3           Taxes.  Any taxes (excluding taxes on the overall net
income of any Lender) or other similar assessments or charges made by any
governmental or revenue authority in respect of the Loan Documents shall be
paid by the Borrower, together with interest and penalties, if any.

 

9.4           Headings.  Section headings in the Loan Documents
are for convenience of reference only, and shall not govern the interpretation
of any of the provisions of the Loan Documents.

 

9.5           Entire Agreement.  The Loan Documents embody the entire
agreement and understanding among the Borrower, the Administrative Agent and
the Lenders and supersede all prior commitments, agreements and understandings
among the Borrower, the Administrative Agent and the Lenders relating to the
subject matter thereof.

 

9.6           Several Obligations; Benefits of this
Agreement.  The
respective obligations of the Lenders hereunder are several and not joint and
no Lender shall be the partner or agent of any other (except to the extent to
which the Administrative Agent is authorized to act as such).  The failure of any Lender to perform any of
its obligations hereunder shall not relieve any other Lender from any of its
obligations hereunder.  This Agreement
shall not be construed so as to confer any right or benefit upon any Person
other than the parties to this Agreement and their respective successors and
assigns.

 

9.7           Expenses; Indemnification.  The Borrower shall reimburse the Administrative
Agent for any costs, internal charges and out-of-pocket expenses (including,
without limitation, all reasonable fees for consultants and fees and reasonable
expenses for attorneys for the 

 

53

 

Administrative Agent, which attorneys may be
employees of the Administrative Agent) paid or incurred by the Administrative
Agent in connection with the amendment, modification, and enforcement of the
Loan Documents.  The Borrower also agrees
to reimburse the Administrative Agent and the Lenders for any reasonable costs,
internal charges and out-of-pocket expenses (including, without limitation, all
fees and reasonable expenses for attorneys for the Administrative Agent and the
Lenders, which attorneys may be employees of the Administrative Agent or the
Lenders) paid or incurred by the Administrative Agent or any Lender in
connection with the collection and enforcement of the Loan Documents
(including, without limitation, any workout). 
The Borrower further agrees to indemnify the Administrative Agent, each
Lender and their Affiliates, and their directors and officers against all
losses, claims, damages, penalties, judgments, liabilities and expenses
(including, without limitation, all fees and reasonable expenses for attorneys
of the indemnified parties, all expenses of litigation or preparation therefor
whether or not the Administrative Agent, or any Lender is a party thereto)
which any of them may pay or incur arising out of or relating to this
Agreement, the other Loan Documents, the Projects, the transactions
contemplated hereby or the direct or indirect application or proposed
application of the proceeds of any Loan hereunder or the acts of the
Administrative Agent or any Lender entering into this Agreement, establishing
the facility in favor of Borrower evidenced hereby, possessing information
regarding Borrower pursuant hereto, or allegedly having any direct or indirect
influence over Borrower as material creditors or exercising any rights or
remedies under the Loan Documents, except to the extent that any of the
foregoing (i) arise out of the bad faith, gross negligence or willful
misconduct of the party seeking indemnification therefor, or (ii) arise
from the indemnitee’s violation of its own internal policies or from a
violation of laws, rules, or regulations applicable to their operations.  The obligations of the Borrower under this
Section shall survive the termination of this Agreement.

 

9.8           Numbers of Documents.  All statements, notices, closing documents, and
requests hereunder shall be furnished to the Administrative Agent with
sufficient counterparts so that the Administrative Agent may furnish one to
each of the Lenders.

 

9.9           Accounting.  Except as provided to the contrary herein,
all accounting terms used herein shall be interpreted and all accounting
determinations hereunder shall be made in accordance with GAAP.

 

9.10         Severability of Provisions.  Any provision in any Loan Document that is
held to be inoperative, unenforceable, or invalid in any jurisdiction shall, as
to that jurisdiction, be inoperative, unenforceable, or invalid without
affecting the remaining provisions in that jurisdiction or the operation,
enforceability, or validity of that provision in any other jurisdiction, and to
this end the provisions of all Loan Documents are declared to be severable.

 

9.11         Nonliability of Lenders.  The relationship between the Borrower, on the
one hand, and the Lenders and the Administrative Agent, on the other, shall be
solely that of borrower and lender.  Neither
the Administrative Agent nor any Lender shall have any fiduciary
responsibilities to the Borrower. 
Neither the Administrative Agent nor any Lender undertakes any
responsibility to the Borrower to review or inform the Borrower of any matter
in connection with any phase of the Borrower’s business or operations.

 

9.12         CHOICE OF LAW.  THE LOAN DOCUMENTS (OTHER THAN THOSE
CONTAINING A CONTRARY EXPRESS CHOICE OF LAW PROVISION) SHALL BE 

 

54

 

CONSTRUED IN ACCORDANCE WITH THE INTERNAL LAWS (AND
NOT THE LAW OF CONFLICTS) OF THE STATE OF ILLINOIS, BUT GIVING EFFECT TO
FEDERAL LAWS APPLICABLE TO NATIONAL BANKS.

 

9.13         CONSENT TO JURISDICTION.  THE BORROWER HEREBY IRREVOCABLY SUBMITS TO
THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR ILLINOIS STATE
COURT SITTING IN CHICAGO IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING
TO ANY LOAN DOCUMENTS AND THE BORROWER HEREBY IRREVOCABLY AGREES THAT ALL
CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED
IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTION IT MAY NOW OR
HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT
IN SUCH A COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM.  NOTHING HEREIN SHALL LIMIT THE RIGHT OF THE
ADMINISTRATIVE AGENT OR ANY LENDER TO BRING PROCEEDINGS AGAINST THE BORROWER IN
THE COURTS OF ANY OTHER JURISDICTION. 
ANY JUDICIAL PROCEEDING BY THE BORROWER AGAINST THE ADMINISTRATIVE AGENT
OR ANY LENDER OR ANY AFFILIATE OF THE ADMINISTRATIVE AGENT OR ANY LENDER
INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER IN ANY WAY ARISING OUT OF,
RELATED TO, OR CONNECTED WITH ANY LOAN DOCUMENT SHALL BE BROUGHT ONLY IN A
COURT IN CHICAGO, ILLINOIS.

 

9.14         WAIVER OF JURY TRIAL.  THE BORROWER, THE ADMINISTRATIVE AGENT AND
EACH LENDER HEREBY WAIVE TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING,
DIRECTLY OR INDIRECTLY, ANY MATTER (WHETHER SOUNDING IN TORT, CONTRACT OR
OTHERWISE) IN ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH ANY LOAN
DOCUMENT OR THE RELATIONSHIP ESTABLISHED THEREUNDER.

 

ARTICLE X.

 

THE
ADMINISTRATIVE AGENT

 

10.1         Appointment.  KeyBank National Association, is hereby
appointed Administrative Agent hereunder and under each other Loan Document,
and each of the Lenders irrevocably authorizes the Administrative Agent to act
as the agent of such Lender.  The
Administrative Agent agrees to act as such upon the express conditions
contained in this Article X. 
Notwithstanding the use of the defined term “Administrative Agent,” it
is expressly understood and agreed that the Administrative Agent shall not have
any fiduciary responsibilities to any Lender by reason of this Agreement or any
other Loan Document and that the Administrative Agent is merely acting as the
contractual representative of the Lenders with only those duties as are
expressly set forth in this Agreement and the other Loan Documents.  In its capacity as the Lenders’ contractual
representative, the Administrative Agent (i) does not hereby assume any
fiduciary duties to any of the Lenders, (ii) is a “representative” of the
Lenders within the meaning of the term “secured party” as defined in the
Illinois Uniform Commercial Code and (iii) is acting as an independent
contractor, the rights and duties of which are limited to those expressly set
forth in this Agreement and the other Loan Documents.  Each of the Lenders hereby agrees to assert
no claim against the Administrative Agent on any agency theory or any 

 

55

 

other theory of liability for breach of fiduciary
duty, all of which claims each Lender hereby waives.

 

10.2         Powers.  The Administrative Agent shall have and may
exercise such powers under the Loan Documents as are specifically delegated to
the Administrative Agent by the terms of each thereof, together with such
powers as are reasonably incidental thereto. 
The Administrative Agent shall have no implied duties to the Lenders, or
any obligation to the Lenders to take any action thereunder except any action
specifically provided by the Loan Documents to be taken by the Administrative
Agent.

 

10.3         General Immunity.  Neither the Administrative Agent nor any of
its directors, officers, agents or employees shall be liable to the Borrower,
the Lenders or any Lender for (i) any action taken or omitted to be taken
by it or them hereunder or under any other Loan Document or in connection
herewith or therewith except for its or their own gross negligence or willful
misconduct; or (ii) any determination by the Administrative Agent that
compliance with any law or any governmental or quasi-governmental rule,
regulation, order, policy, guideline or directive (whether or not having the
force of law) requires the Advances and Commitments hereunder to be classified
as being part of a “highly leveraged transaction”.

 

10.4         No Responsibility for Loans,
Recitals, etc.  Neither the
Administrative Agent nor any of its directors, officers, agents or employees
shall be responsible for or have any duty to ascertain, inquire into, or verify
(i) any statement, warranty or representation made in connection with any
Loan Document or any borrowing hereunder; (ii) the performance or
observance of any of the covenants or agreements of any obligor under any Loan
Document, including, without limitation, any agreement by an obligor to furnish
information directly to each Lender; (iii) the satisfaction of any
condition specified in Article IV, except receipt of items required
to be delivered to the Administrative Agent; (iv) the validity,
effectiveness or genuineness of any Loan Document or any other instrument or
writing furnished in connection therewith; (v) the value, sufficiency,
creation, perfection, or priority of any interest in any collateral security;
or (vi) the financial condition of the Borrower or any Subsidiary
Guarantor.  Except as otherwise
specifically provided herein, the Administrative Agent shall have no duty to
disclose to the Lenders information that is not required to be furnished by the
Borrower to the Administrative Agent at such time, but is voluntarily furnished
by the Borrower to the Administrative Agent (either in its capacity as
Administrative Agent or in its individual capacity).

 

10.5         Action on Instructions of Lenders.  The Agent shall in all cases be fully
protected in acting, or in refraining from acting, hereunder and under any
other Loan Document in accordance with written instructions signed by the
Required Lenders, and such instructions and any action taken or failure to act
pursuant thereto shall be binding on all of the Lenders.  The Lenders hereby acknowledge that the
Administrative Agent shall be under no duty to take any discretionary action
permitted to be taken by it pursuant to the provisions of this Agreement or any
other Loan Document unless it shall be requested in writing to do so by the
Required Lenders.  The Administrative
Agent shall be fully justified in failing or refusing to take any action
hereunder and under any other Loan Document unless it shall first be
indemnified to its satisfaction by the Lenders pro rata against any and all
liability, cost and expense that it may incur by reason of taking or continuing
to take any such action.

 

56

 

10.6         Employment of Agents and Counsel.  The Administrative Agent may execute any of
its duties as Administrative Agent hereunder and under any other Loan Document
by or through employees, agents, and attorneys-in-fact and shall not be
answerable to the Lenders, except as to money or securities received by it or
its authorized agents, for the default or misconduct of any such agents or
attorneys-in-fact selected by it with reasonable care.  The Administrative Agent shall be entitled to
advice of counsel concerning all matters pertaining to the agency hereby
created and its duties hereunder and under any other Loan Document.

 

10.7         Reliance on Documents; Counsel.  The Administrative Agent shall be entitled to
rely upon any Note, notice, consent, certificate, affidavit, letter, telegram,
statement, paper or document believed by it to be genuine and correct and to
have been signed or sent by the proper person or persons, and, in respect to
legal matters, upon the opinion of counsel selected by the Administrative
Agent, which counsel may be employees of the Administrative Agent.

 

10.8         Administrative Agent’s Reimbursement and
Indemnification.  The Lenders
agree to reimburse and indemnify the Administrative Agent ratably in proportion
to their respective Commitments (i) for any amounts not reimbursed by the
Borrower for which the Administrative Agent is entitled to reimbursement by the
Borrower under the Loan Documents, (ii) for any other expenses incurred by
the Administrative Agent on behalf of the Lenders, in connection with the
preparation, execution, delivery, administration and enforcement of the Loan
Documents, if not paid by Borrower and (iii) for any liabilities,
obligations, losses, damages, penalties, actions, judgments, suits, costs,
expenses or disbursements of any kind and nature whatsoever which may be
imposed on, incurred by or asserted against the Administrative Agent in any way
relating to or arising out of the Loan Documents or any other document
delivered in connection therewith or the transactions contemplated thereby
(including without limitation, for any such amounts incurred by or asserted
against the Administrative Agent in connection with any dispute between the
Administrative Agent and any Lender or between two or more of the Lenders), or
the enforcement of any of the terms thereof or of any such other documents,
provided that no Lender shall be liable for any of the foregoing to the extent
they arise from the gross negligence or willful misconduct or a breach of the
Administrative Agent’s express obligations and undertakings to the Lenders
which is not cured after written notice and within the period described in Section 10.3,
The obligations of the Lenders and the Administrative Agent under this Section 10.8
shall survive payment of the Obligations and termination of this Agreement.

 

10.9         Rights as a Lender.  In the event the Administrative Agent is a
Lender, the Administrative Agent shall have the same rights and powers
hereunder and under any other Loan Document as any Lender and may exercise the
same as though it were not the Administrative Agent, and the term “Lender” or
“Lenders” shall, at any time when the Administrative Agent is a Lender, unless
the context otherwise indicates, include the Administrative Agent in its
individual capacity.  The Administrative
Agent may accept deposits from, lend money to, and generally engage in any kind
of trust, debt, equity or other transaction, in addition to those contemplated
by this Agreement or any other Loan Document, with the Borrower or any of its
Subsidiaries in which the Borrower or such Subsidiary is not restricted hereby from
engaging with any other Person.  The
Administrative Agent, in its individual capacity, is not obligated to remain a
Lender.

 

10.10       Lender Credit Decision.  Each Lender acknowledges that it has,
independently and without reliance upon the Administrative Agent or any other
Lender and based on the 

 

57

 

financial statements prepared by the Borrower and
such other documents and information as it has deemed appropriate, made its own
credit analysis and decision to enter into this Agreement and the other Loan
Documents.  Each Lender also acknowledges
that it will, independently and without reliance upon the Administrative Agent
or any other Lender and based on such documents and information as it shall
deem appropriate at the time, continue to make its own credit decisions in
taking or not taking action under this Agreement and the other Loan Documents.

 

10.11       Successor Administrative Agent.  Except as otherwise provided below, KeyBank
National Association shall at all times serve as the Administrative Agent
during the term of this Facility.  The
Administrative Agent may resign at any time by giving written notice thereof to
the Lenders and the Borrower, such resignation to be effective upon the
appointment of a successor Administrative Agent or, if no successor
Administrative Agent has been appointed, forty-five days after the retiring
Administrative Agent gives notice of its intention to resign.  The Administrative Agent may be removed at
any time with cause by written notice received by the Administrative Agent from
all Lenders holding 66 2/3% of that portion of the Aggregate Commitment not
held by the Administrative Agent, such removal to be effective on the date
specified by the other Lenders.  In
addition, if at any time the Commitment of the Administrative Agent (or the
aggregate amount of Advances held by the Administrative Agent if the
Commitments have been terminated) is less than $10,000,000, the Administrative
Agent shall resign from such role at the written request of any Lender.  Upon any such resignation or removal, the
Required Lenders shall have the right to appoint, on behalf of the Borrower and
the Lenders, a successor Administrative Agent. 
If no successor Administrative Agent shall have been so appointed by the
Required Lenders within thirty days after the resigning Administrative Agent’s
giving notice of its intention to resign, then the resigning Administrative
Agent may appoint, on behalf of the Borrower and the Lenders, a successor
Administrative Agent.  Notwithstanding
the previous sentence, the Administrative Agent may at any time without the
consent of the Borrower or any Lender, appoint any of its Affiliates which is a
commercial bank as a successor Administrative Agent hereunder.  If the Administrative Agent has resigned or
been removed and no successor Administrative Agent has been appointed, the
Lenders may perform all the duties of the Administrative Agent hereunder and
the Borrower shall make all payments in respect of the Obligations to the
applicable Lender and for all other purposes shall deal directly with the
Lenders.  No successor Administrative
Agent shall be deemed to be appointed hereunder until such successor
Administrative Agent has accepted the appointment.  Any such successor Administrative Agent shall
be a commercial bank having capital and retained earnings of at least
$500,000,000.  Upon the acceptance of any
appointment as Administrative Agent hereunder by a successor Administrative Agent,
such successor Administrative Agent shall thereupon succeed to and become
vested with all the rights, powers, privileges and duties of the resigning or
removed Administrative Agent.  Upon the
effectiveness of the resignation or removal of the Administrative Agent, the
resigning or removed Administrative Agent shall be discharged from its duties
and obligations hereunder and under the Loan Documents.  After the effectiveness of the resignation or
removal of an Administrative Agent, the provisions of this Article X
shall continue in effect for the benefit of such Administrative Agent in
respect of any actions taken or omitted to be taken by it while it was acting
as the Administrative Agent hereunder and under the other Loan Documents.

 

10.12       Notice of Defaults.  If a Lender becomes aware of a Default or
Unmatured Default, such Lender shall notify the Administrative Agent of such
fact provided that the failure 

 

58

 

to give such notice shall not create liability on
the part of a Lender.  Upon receipt of
such notice that a Default or Unmatured Default has occurred, the
Administrative Agent shall notify each of the Lenders of such fact.

 

10.13       Requests for Approval.  If the Administrative Agent requests in
writing the consent or approval of a Lender, such Lender shall respond and
either approve or disapprove definitively in writing to the Administrative
Agent within ten (10) Business Days (or sooner if such notice specifies a
shorter period for responses based on Administrative Agent’s good faith determination
that circumstances exist warranting its request for an earlier response) after
such written request from the Administrative Agent.  Notwithstanding anything to the contrary
contained herein, the failure of a Lender to respond with such a written approval
or disapproval within such time period shall not result in such Lender becoming
a Defaulting Lender.

 

10.14       Defaulting Lenders.  At such time as a Lender becomes a Defaulting
Lender, such Defaulting Lender’s right to vote on matters which are subject to
the consent or approval of the Required Lenders, each affected Lender or all
Lenders shall be immediately suspended until such time as the Lender is no
longer a Defaulting Lender, except that the amount of the Commitment of the
Defaulting Lender may not be changed without its consent.  If a Defaulting Lender has failed to fund its
pro rata share of any Advance and until such time as such Defaulting Lender
subsequently funds its pro rata share of such Advance, all Obligations owing to
such Defaulting Lender hereunder shall be subordinated in right of payment, as
provided in the following sentence, to the prior payment in full of all
principal of, interest on and fees relating to the Loans funded by the other
Lenders in connection with any such Advance in which the Defaulting Lender has
not funded its pro rata share (such principal, interest and fees being referred
to as “Senior Loans” for the purposes of this section).  All amounts paid by the Borrower or the Guarantor
and otherwise due to be applied to the Obligations owing to such Defaulting
Lender pursuant to the terms hereof shall be distributed by the Administrative
Agent to the other Lenders in accordance with their respective pro rata shares
(recalculated for the purposes hereof to exclude the Defaulting Lender) until
all Senior Loans have been paid in full. 
After the Senior Loans have been paid in full equitable adjustments will
be made in connection with future payments by the Borrower to the extent a
portion of the Senior Loans had been repaid with amounts that otherwise would
have been distributed to a Defaulting Lender but for the operation of this Section 10.14.  This provision governs only the relationship
among the Administrative Agent, each Defaulting Lender and the other Lenders;
nothing hereunder shall limit the obligation of the Borrower to repay all Loans
in accordance with the terms of this Agreement. 
The provisions of this section shall apply and be effective regardless
of whether a Default occurs and is continuing, and notwithstanding (i) any
other provision of this Agreement to the contrary, (ii) any instruction of
the Borrower as to its desired application of payments or (iii) the
suspension of such Defaulting Lender’s right to vote on matters which are
subject to the consent or approval of the Required Lenders or all Lenders.

 

ARTICLE XI.

 

SETOFF;
RATABLE PAYMENTS

 

11.1         Setoff.  In addition to, and without limitation of,
any rights of the Lenders under applicable law, if the Borrower becomes
insolvent, however evidenced, or any Default occurs, any and all deposits
(including all account balances, whether provisional or final and whether or 

 

59

 

not collected or available) and any other
Indebtedness at any time held or owing by any Lender or any of its Affiliates
to or for the credit or account of the Borrower may be offset and applied
toward the payment of the Obligations owing to such Lender, at any time prior
to the date that such Default has been fully cured, whether or not the Obligations,
or any part hereof, shall then be due. 
Notwithstanding the foregoing, to avoid the effect of any “single
action” rule or any other adverse effect upon the rights and remedies
available to the Lenders against Borrower, prior to exercising any such setoff
right against Borrower each Lender agrees to advise the Administrative Agent of
such intended action and obtain the prior written consent of the Required
Lenders to such intended action.

 

11.2         Ratable Payments.  If any Lender, whether by setoff or otherwise,
has payment made to it upon its Loans (other than payments received pursuant to
Sections 3.1, 3.2, 3.4 or 3.5) in a greater
proportion than that received by any other Lender, such Lender agrees, promptly
upon demand, to purchase a portion of the Loans held by the other Lenders so
that after such purchase each Lender will hold its ratable proportion of
Loans.  If any Lender, whether in
connection with setoff or amounts which might be subject to setoff or otherwise,
receives collateral or other protection for its Obligations or such amounts
which may be subject to setoff, such Lender agrees, promptly upon demand, to
take such action necessary such that all Lenders share in the benefits of such
collateral ratably in proportion to their Loans.  In case any such payment is disturbed by
legal process, or otherwise, appropriate further adjustments shall be made.

 

ARTICLE XII.

 

BENEFIT OF
AGREEMENT; ASSIGNMENTS; PARTICIPATIONS

 

12.1         Successors and Assigns.  The terms and provisions of the Loan
Documents shall be binding upon and inure to the benefit of the Borrower and
the Lenders and their respective successors and assigns, except that
(i) the Borrower shall not have the right to assign its rights or
obligations under the Loan Documents and (ii) any assignment by any Lender
must be made in compliance with Section 12.3.  The parties to this Agreement acknowledge
that clause (ii) of this Section 12.1 relates only to absolute
assignments and does not prohibit assignments creating security interests,
including, without limitation, (x) any pledge or assignment by any Lender
of all or any portion of its rights under this Agreement and any Note to a
Federal Reserve Bank or (y) in the case of a Lender which is a fund, any
pledge or assignment of all or any portion of its rights under this Agreement
and any Note to its trustee in support of its obligations to its trustee; provided, however, that
no such pledge or assignment creating a security interest shall release the
transferor Lender from its obligations hereunder unless and until the parties
thereto have complied with the provisions of Section 12.3.  The Administrative Agent may treat the Person
which made any Loan or which holds any Note as the owner thereof for all
purposes hereof unless and until such Person complies with Section 12.3;
provided, however,
that the Administrative Agent may in its discretion (but shall not be required
to) follow instructions from the Person which made any Loan or which holds any
Note to direct payments relating to such Loan or Note to another Person.  Any assignee of the rights to any Loan or any
Note agrees by acceptance of such assignment to be bound by all the terms and
provisions of the Loan Documents.  Any
request, authority or consent of any Person, who at the time of making such
request or giving such authority or consent is the owner of the rights to any
Loan (whether or not 

 

60

 

a Note has been issued in evidence thereof), shall
be conclusive and binding on any subsequent holder or assignee of the rights to
such Loan.

 

12.2         Participations.

 

12.2.1      Permitted
Participants; Effect.  Any Lender
may, in the ordinary course of its business and in accordance with applicable
law, at any time sell to one or more banks, financial institutions, pension
funds, or any other funds or entities (“Participants”) participating
interests in any Loan owing to such Lender, any Note held by such Lender, any
Commitment of such Lender or any other interest of such Lender under the Loan
Documents.  In the event of any such sale
by a Lender of participating interests to a Participant, such Lender’s
obligations under the Loan Documents shall remain unchanged, such Lender shall
remain solely responsible to the other parties hereto for the performance of such
obligations, such Lender shall remain the holder of any such Note for all
purposes under the Loan Documents, all amounts payable by the Borrower under
this Agreement shall be determined as if such Lender had not sold such
participating interests, and the Borrower and the Administrative Agent shall
continue to deal solely and directly with such Lender in connection with such
Lender’s rights and obligations under the Loan Documents.

 

12.2.2      Voting
Rights.  Each Lender shall retain the
sole right to approve, without the consent of any Participant, any amendment,
modification or waiver of any provision of the Loan Documents other than any
amendment, modification or waiver with respect to any Loan or Commitment in
which such Participant has an interest which would require consent of all the
Lenders pursuant to the terms of Section 8.2 or of any other Loan
Document.

 

12.2.3      Benefit
of Setoff.  The
Borrower agrees that each Participant which has previously advised the Borrower
in writing of its purchase of a participation in a Lender’s interest in its
Loans shall be deemed to have the right of setoff provided in Section 11.1
in respect of its participating interest in amounts owing under the Loan
Documents to the same extent as if the amount of its participating interest
were owing directly to it as a Lender under the Loan Documents, including
without limitation the obligation to advise, and to obtain the prior written
consent of, the Required Lenders with respect to any exercise of such right of
setoff.  Each Lender shall retain the
right of setoff provided in Section 11.1 with respect to the amount
of participating interests sold to each Participant, provided that such Lender
and Participant may not each setoff amounts against the same portion of the
Obligations, so as to collect the same amount from the Borrower twice.  The Lenders agree to share with each
Participant, and each Participant, by exercising the right of setoff provided
in Section 11.1, agrees to share with each Lender, any amount
received pursuant to the exercise of its right of setoff, such amounts to be
shared in accordance with Section 11.2 as if each Participant were
a Lender.

 

12.3         Assignments.

 

12.3.1      Permitted
Assignments.  Any Lender
may, in the ordinary course of its business and in accordance with applicable
law, at any time assign to any Eligible Assignee all or any portion (greater
than or equal to $10,000,000 for each assignee, so long as the hold position of
the assigning Lender is not less than $10,000,000) of its rights and
obligations under the Loan Documents. 
Such assignment shall be substantially in the form of Exhibit D
hereto or in such other form as may be agreed to by the parties thereto.  The consent of the Administrative 

 

61

 

Agent shall be required prior to an assignment
becoming effective with respect to an Eligible Assignee which is not a Lender
or an Affiliate thereof.  Such consent
shall not be unreasonably withheld and shall be given or withheld within ten
(10) Business Days after the Administrative Agent’s receipt of a Lender’s
written request for such consent.

 

12.3.2      Effect;
Effective Date.  Upon
(i) delivery to the Administrative Agent of a notice of assignment,
substantially in the form attached as Exhibit “I” to Exhibit D
hereto (a “Notice of Assignment”), together with any consents required
by Section 12.3.1, and (ii) payment of a $3,500 fee by the
assignor or assignee to the Administrative Agent for processing such
assignment, such assignment shall become effective on the effective date
specified in such Notice of Assignment. 
The Notice of Assignment shall contain a representation by the Eligible
Assignee to the effect that none of the consideration used to make the purchase
of the Commitment and Loans under the applicable assignment agreement are “plan
assets” as defined under ERISA and that the rights and interests of the
Eligible Assignee in and under the Loan Documents will not be “plan assets”
under ERISA.  On and after the effective
date of such assignment, such Eligible Assignee shall for all purposes be a
Lender party to this Agreement and any other Loan Document executed by the
Lenders and shall have all the rights and obligations of a Lender under the
Loan Documents, to the same extent as if it were an original party hereto, and
no further consent or action by the Borrower, the Lenders or the Administrative
Agent shall be required to release the transferor Lender, and the transferor
Lender shall automatically be released on the effective date of such
assignment, with respect to the percentage of the Aggregate Commitment and
Loans assigned to such Eligible Assignee. 
Upon the consummation of any assignment to a Eligible Assignee pursuant
to this Section 12.3.2, the transferor Lender, the Administrative
Agent and the Borrower shall make appropriate arrangements so that replacement
Notes are issued to such transferor Lender and new Notes or, as appropriate,
replacement Notes, are issued to such Eligible Assignee, in each case in
principal amounts reflecting their Commitment, as adjusted pursuant to such
assignment.

 

12.4         Dissemination of Information.  The Borrower authorizes each Lender to
disclose to any Participant or Eligible Assignee or any other Person acquiring
an interest in the Loan Documents by operation of law (each a “Transferee”)
and any prospective Transferee any and all information in such Lender’s
possession concerning the creditworthiness of the Borrower and its
Subsidiaries, subject to Section 9.11 of this Agreement.

 

12.5         Tax Treatment.  If any interest in any Loan Document is
transferred to any Transferee which is organized under the laws of any
jurisdiction other than the United States or any State thereof, the transferor
Lender shall cause such Transferee, concurrently with the effectiveness of such
transfer, to comply with the provisions of Section 3.5.

 

ARTICLE XIII.

 

NOTICES

 

13.1         Giving Notice.  Except as otherwise permitted by Section 2.11
with respect to notices and other communications provided to any party hereto
under this Agreement or any other Loan Document shall be in writing or by telex
or by facsimile and addressed or delivered to such party at its address set
forth below its signature hereto or at such other address (or to counsel for
such party) as may be designated by such party in a notice to the other
parties.  Any 

 

62

 

notice, if mailed and properly addressed with
postage prepaid, shall be deemed given when received; any notice, if
transmitted by telex or facsimile, shall be deemed given when transmitted
(answerback confirmed in the case of telexes).

 

13.2         Change of Address.  The Borrower, the Administrative Agent and
any Lender may each change the address for service of notice upon it by a
notice in writing to the other parties hereto.

 

ARTICLE XIV.

 

COUNTERPARTS

 

This
Agreement may be executed in any number of counterparts, all of which taken
together shall constitute one agreement, and any of the parties hereto may
execute this Agreement by signing any such counterpart.  This Agreement shall be effective when it has
been executed by the Borrower and the Lenders and each party has notified the
Administrative Agent by telex or telephone, that it has taken such action.

 

(Remainder of page intentionally left blank.)

 

63

 

IN
WITNESS WHEREOF, the Borrower and the Lenders, individually and in their
respective capacities as Agents, have executed this Agreement as of the date
first above written.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION 

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:  Brett A. Brown

  
	
   

  	
  Title:  Chief Financial Officer

  
	
   

  	
   

  2901
  Butterfield Road

  Oak Brook, Illinois

  Phone:  630-218-7351

  Facsimile:  630-218-7350

  Attention:  Mark E. Zalatoris

  zalatoris@inlandrealestate.com

  

 

S-1

 

	
   

  	
  KEYBANK
  NATIONAL ASSOCIATION,

  
	
  COMMITMENT:

  	
  Individually
  and as Administrative Agent

  
	
  $30,000,000

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  1200
  Abernathy Rd NE, Suite 1550

  Atlanta, GA 30328

  Phone:  216-689-4660

  Facsimile:  216-689-3566

  Attention:  Kevin Murray

  Kevin  P  Murray@KeyBank.com

  
	
   

  	
   

  	
   

  
	
   

  	
  With
  a copy to:

  
	
   

  	
   

  
	
   

  	
  KeyBank
  National Association

  800 Superior, 6th Floor

  Cleveland, Ohio  44114

  Phone:  216-828-7512

  Facsimile:  216-828-7523

  Attention:  Vicki Heineck

  
				

 

S-2

 

	
   

  	
  WELLS
  FARGO BANK, N.A., 

  
	
  COMMITMENT:

  	
  successor
  by merger to Wachovia Bank, N.A.

  
	
  $14,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
  Marla
  S. Bergrin

  
	
   

  	
  Title:
  

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
  Wells
  Fargo Bank

  123
  N. Wacker Drive, Suite 1900

  Chicago, IL  60606

  Phone:  (312) 827-1538

  Facsimile:  (312) 782-0969

  Attention:  Beth Davis

  beth.m.davis@wellsfargo.com

  

 

S-3

 

	
   

  	
  BANK
  OF AMERICA, N.A.

  
	
  COMMITMENT:

  	
  Individually
  and as Co-Syndication Agent

  
	
  $35,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:  

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Bank
  of America Commercial Real Estate Bank

  100
  North Tryon Street

  NC1-007-11-15

  Charlotte, NC 28255 

  Phone:  (704) 386-7524

  Facsimile:  (704) 386-6434

  Attention:  Kay Ostwalt

  kay.p.ostwalt@bankofamerica.com

  

 

S-4

 

	
   

  	
  WELLS
  FARGO BANK,

  
	
  COMMITMENT:

  	
  NATIONAL
  ASSOCIATION

  
	
  $21,000,000

  	
  Individually
  and as Co-Syndication Agent

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:
  

  	
  Marla
  S. Bergrin

  
	
   

  	
  Title:  

  	
  Vice
  President

  
	
   

  	
   

  	
   

  
	
   

  	
  Wells
  Fargo Bank

  123
  N. Wacker Drive, Suite 1900

  Chicago, IL  60606

  Phone:  (312) 827-1538

  Facsimile:  (312) 782-0969

  Attention:  Beth Davis

  beth.m.davis@wellsfargo.com

  

 

S-5

 

	
   

  	
  RBS
  CITIZENS, NATIONAL ASSOCIATION, 

  
	
  COMMITMENT:

  	
  D/B/A
  CHARTER ONE

  
	
  $25,000,000

  	
  Individually
  and as Co-Documentation Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
  Florentina
  Djulvezan

  
	
   

  	
  Title:

  	
  Senior
  Vice President

  
	
   

  	
   

  	
   

  
	
   

  	
  RBS
  Citizens, d/b/a Charter One

  1215 Superior Avenue 6th Floor

  Cleveland, Ohio  44114

  Phone:  (216) 277-0199

  Facsimile:  (216) 277-4607

  Attention:  Don Wood

  Donald.w.woods@charteronebank.com

  mjawyn@charteronebank.com

  

 

S-6

 

	
   

  	
  BMO
  CAPITAL MARKETS FINANCING, INC. 

  
	
  COMMITMENT:

  	
   

  
	
  $25,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:  

  	
  Aaron
  Lanski

  
	
   

  	
  Title:  

  	
  Director

  
	
   

  	
   

  	
   

  
	
   

  	
  115
  S. LaSalle Street, 18W

  Chicago, IL  60603

  Phone:  (312) 461-6364

  Facsimile:  (312) 461-2968

  Attention:  Aaron Lanski

  aaron.lanski@bmo.com

  

 

S-7

 

EXHIBIT A

 

RESERVED

 

B-1

 

EXHIBIT B

 

FORM OF NOTE

 

                  , 20    

 

Inland
Real Estate Corporation, a corporation organized under the laws of the State of
Maryland  (the “Borrower”), promises to pay to
the order of                                                   
(the “Lender”) the aggregate unpaid principal amount of all Loans made by the
Lender to the Borrower pursuant to Article II of the Amended and Restated
Term Loan Agreement (as the same may be amended or modified, the “Agreement”)
hereinafter referred to, in immediately available funds at the main office of
KeyBank National Association in Cleveland, Ohio, as Administrative Agent,
together with interest on the unpaid principal amount hereof at the rates and
on the dates set forth in the Agreement. 
The Borrower shall pay remaining unpaid principal of and accrued and
unpaid interest on the Loans in full on the Maturity Date or such earlier date
as may be required under the Agreement.

 

The
Lender shall, and is hereby authorized to, record on the schedule attached
hereto, or to otherwise record in accordance with its usual practice, the date
and amount of each Loan and the date and amount of each principal payment
hereunder.

 

This
Note is one of the Notes issued pursuant to, and is entitled to the benefits of,
the Amended and Restated Term Loan Agreement, dated as of June       ,
2010 among the Borrower, KeyBank National Association, individually and as
Administrative Agent, and the other Lenders named therein, to which Agreement,
as it may be amended from time to time, reference is hereby made for a
statement of the terms and conditions governing this Note, including the terms
and conditions under which this Note may be prepaid or its maturity date
accelerated.  Capitalized terms used
herein and not otherwise defined herein are used with the meanings attributed
to them in the Agreement.

 

If
there is a Default under the Agreement or any other Loan Document and Agent
exercises the remedies provided under the Agreement and/or any of the Loan
Documents for the Lenders, then in addition to all amounts recoverable by the
Agent and the Lenders under such documents, Agent and the Lenders shall be
entitled to receive reasonable attorneys fees and expenses incurred by Agent
and the Lenders in connection with the exercise of such remedies.

 

Borrower
and all endorsers severally waive presentment, protest and demand, notice of
protest, demand and of dishonor and nonpayment of this Note, and any and all
lack of diligence or delays in collection or enforcement of this Note, and
expressly agree that this Note, or any payment hereunder, may be extended from
time to time, and expressly consent to the release of any party liable for the
obligation secured by this Note, the release of any of the security for this
Note, the acceptance of any other security therefor, or any other indulgence or
forbearance whatsoever, all without notice to any party and without affecting
the liability of the Borrower and any endorsers hereof.

 

This
Note shall be governed and construed under the internal laws of the State of
Illinois.

 

B-1

 

BORROWER AND LENDER, BY ITS ACCEPTANCE HEREOF, EACH HEREBY WAIVE ANY
RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY
RIGHT UNDER THIS NOTE OR ANY OTHER LOAN DOCUMENT OR RELATING THERETO OR ARISING
FROM THE LENDING RELATIONSHIP WHICH IS THE SUBJECT OF THIS NOTE AND AGREE THAT
ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A JUDGE AND NOT BEFORE A
JURY.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION, a Maryland corporation

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  

 

B-2

 

SCHEDULE OF LOANS AND PAYMENTS OF PRINCIPAL

TO

NOTE OF INLAND REAL ESTATE CORPORATION,

DATED                     ,
            

 

 

	
  Date

  	
   

  	
  Principal

  Amount of

  Loan

  	
   

  	
  Maturity

  of Interest

  Period

  	
   

  	
  Maturity

  Principal

  Amount

  Paid

  	
   

  	
  Unpaid

  Balance

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

B-3

 

EXHIBIT C

 

COMPLIANCE CERTIFICATE

 

KeyBank
National Association, as Administrative Agent

127 Public Square

Cleveland, Ohio 44114

 

Re:                               Amended and Restated Term
Loan Agreement dated as of June         ,
2010 (as amended, modified, supplemented, restated, or renewed, from time to
time, the “Agreement”) between INLAND REAL ESTATE CORPORATION (the “Borrower”),
and KEYBANK NATIONAL ASSOCIATION, as Administrative Agent for itself and the
other lenders parties thereto from time to time (“Lenders”).

 

Reference
is made to the Agreement.  Capitalized
terms used in this Certificate (including schedules and other attachments
hereto, this “Certificate”) without definition have the meanings specified in
the Agreement.

 

Pursuant
to applicable provisions of the Agreement, Borrower hereby certifies to the
Lenders that the information furnished in the attached schedules, including,
without limitation, each of the calculations listed below are true, correct and
complete in all material respects as of the last day of the fiscal periods
subject to the financial statements and associated covenants being delivered to
the Lenders pursuant to the Agreement together with this Certificate (such
statements the “Financial Statements” and the periods covered thereby the
“reporting period”) and for such reporting periods.

 

The
undersigned hereby further certifies to the Lenders that:

 

1.             Compliance with Financial
Covenants.  Schedule A attached
hereto sets forth financial data and computations evidencing the Borrower’s
compliance with certain covenants of the Agreement, all of which data and
computations are true, complete and correct.

 

2.             Review of Condition.  The undersigned has reviewed the terms of the
Agreement, including, but not limited to, the representations and warranties of
the Borrower set forth in the Agreement and the covenants of the Borrower set
forth in the Agreement, and has made, or caused to be made under his or her
supervision, a review in reasonable detail of the transactions and condition of
the Borrower through the reporting periods.

 

3.             Representations and Warranties.  To the undersigned’s actual knowledge, the
representations and warranties of the Borrower contained in the Loan Documents,
including those contained in the Agreement, are true and accurate in all
material respects as of the date hereof and were true and accurate in all
material respects at all times during the reporting period except as expressly
noted on Schedule B hereto.

 

4.             Covenants.  To the undersigned’s actual knowledge, during
the reporting period, the Borrower observed and performed all of the respective
covenants and other agreements under the Agreement and the Loan Documents, and
satisfied each of the conditions contained therein to 

 

C-1

 

be
observed, performed or satisfied by the Borrower, except as expressly noted on
Schedule B hereto.

 

5.             No Event of Default.  To the undersigned’s actual knowledge, no
Event of Default exists as of the date hereof or existed at any time during the
reporting period, except as expressly noted on Schedule B hereto.

 

IN
WITNESS WHEREOF, this Certificate is executed by the undersigned this       
day of                   .

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  

 

C-2

 

EXHIBIT D

 

ASSIGNMENT AGREEMENT

 

This
Assignment Agreement (this “Assignment Agreement”) between                           
(the “Assignor”) and (the “Assignee”) is dated as of                 ,
 . 
The parties hereto agree as follows:

 

1.             PRELIMINARY STATEMENT.  The Assignor is a party to a Loan Agreement
(which, as it may be amended, modified, renewed or extended from time to time
is herein called the “Loan Agreement”) described in Item 1 of Schedule 1
attached hereto (“Schedule 1”). 
Capitalized terms used herein and not otherwise defined herein shall
have the meanings attributed to them in the Loan Agreement.

 

2.             ASSIGNMENT AND ASSUMPTION.  The Assignor hereby sells and assigns to the
Assignee, and the Assignee hereby purchases and assumes from the Assignor, an
interest in and to the Assignor’s rights and obligations under the Loan
Agreement such that after giving effect to such assignment the Assignee shall
have purchased pursuant to this Assignment Agreement the percentage interest
specified in Item 3 of Schedule 1 of all outstanding rights and obligations
under the Loan Agreement and the other Loan Documents.  The aggregate Commitment (or Loans, if the
applicable Commitment has been terminated) purchased by the Assignee hereunder
is set forth in Item 4 of Schedule 1.

 

3.             EFFECTIVE DATE.  The effective date of this Assignment
Agreement (the “Effective Date”) shall be the later of the date specified in
Item 5 of Schedule 1 or two (2) Business Days (or such shorter period agreed
to by the Agent) after a Notice of Assignment substantially in the form of
Exhibit “I” attached hereto has been delivered to the Administrative
Agent.  Such Notice of Assignment must
include the consent of the Agent required by Section 12.3.1 of the Loan
Agreement.  In no event will the
Effective Date occur if the payments required to be made by the Assignee to the
Assignor on the Effective Date under Sections 4 and 5 hereof are
not made on the proposed Effective Date. 
The Assignor will notify the Assignee of the proposed Effective Date no
later than the Business Day prior to the proposed Effective Date.  As of the Effective Date, (i) the
Assignee shall have the rights and obligations of a Lender under the Loan
Documents with respect to the rights and obligations assigned to the Assignee
hereunder and (ii) the Assignor shall relinquish its rights and be
released from its corresponding obligations under the Loan Documents with
respect to the rights and obligations assigned to the Assignee hereunder.

 

4.             PAYMENTS OBLIGATIONS.  On and after the Effective Date, the Assignee
shall be entitled to receive from the Agent all payments of principal, interest
and fees with respect to the interest assigned hereby.  The Assignee shall advance funds directly to
the Agent with respect to all Loans and reimbursement payments made on or after
the Effective Date with respect to the interest assigned hereby.  [In consideration for the sale and assignment
of Loans hereunder, (i) the Assignee shall pay the Assignor, on the Effective
Date, an amount equal to the principal amount of the portion of all Floating
Rate Loans assigned to the Assignee hereunder and (ii) with respect to
each Fixed Rate Loan made by the Assignor and assigned to the Assignee
hereunder which is outstanding on the Effective Date, (a) on the last day
of the Interest Period therefor or (b) on such earlier date agreed to by
the Assignor and the Assignee or (c) on the date 

 

D-1

 

on
which any such Fixed Rate Loan either becomes due (by acceleration or
otherwise) or is prepaid (the date as described in the foregoing clauses (a),
(b) or (c) being hereinafter referred to as the “Fixed Rate Due
Date”), the Assignee shall pay the Assignor an amount equal to the principal
amount of the portion of such Fixed Rate Loan assigned to the Assignee which is
outstanding on the Fixed Rate Due Date. 
If the Assignor and the Assignee agree that the applicable Fixed Rate
Due Date for such Fixed Rate Loan shall be the Effective Date, they shall
agree, solely for purposes of dividing interest paid by the Borrower on such
Fixed Rate Loan, to an alternate interest rate applicable to the portion of
such Loan assigned hereunder for the period from the Effective Date to the end
of the related Interest Period (the “Agreed Interest Rate”) and any interest
received by the Assignee in excess of the Agreed Interest Rate, with respect to
such Fixed Rate Loan for such period, shall be remitted to the Assignor.  [In the event interest for any period from
the Effective Date to but not including the Fixed Rate Due Date is not paid
when due by the Borrower with respect to any Fixed Rate Loan sold by the
Assignor to the Assignee hereunder, the Assignee shall pay to the Assignor
interest for such period on the portion of such Fixed Rate Loan sold by the
Assignor to the Assignee hereunder at the applicable rate provided by the Loan
Agreement.]  In the event a prepayment of
any Fixed Rate Loan which is existing on the Effective Date and assigned by the
Assignor to the Assignee hereunder occurs after the Effective Date but before
the applicable Fixed Rate Due Date, the Assignee shall remit to the Assignor
any excess of the funding indemnification amount paid by the Borrower under Section 3.4
of the Loan Agreement an account of such prepayment with respect to the portion
of such Fixed Rate Loan assigned to the Assignee hereunder over the amount
which would have been paid if such prepayment amount were calculated based on
the Agreed Interest Rate and only covered the portion of the Interest Period
after the Effective Date.  The Assignee
will promptly remit to the Assignor (i) the portion of any principal
payments assigned hereunder and received from the Agent with respect to any
Fixed Rate Loan prior to its Fixed Rate Due Date and (ii) any amounts of
interest on Loans and fees received from the Agent which relate to the portion
of the Loans assigned to the Assignee hereunder for periods prior to the
Effective Date, in the case of Floating Rate Loans or fees, or the Fixed Rate
Due Date, in the case of Fixed Rate Loans, and not previously paid by the
Assignee to the Assignor.]*  In the event
that either party hereto receives any payment to which the other party hereto
is entitled under this Assignment Agreement, then the party receiving such
amount shall promptly remit it to the other party hereto.

 

*Each
Assignor may insert its standard payment provisions in lieu of the payment
terms included in this Exhibit.

 

5.             FEES PAYABLE BY THE ASSIGNEE.  The Assignee shall pay to the Assignor a fee
on each day on which a payment of interest or facility fees is made under the
Loan Agreement with respect to the amounts assigned to the Assignee hereunder
(other than a payment of interest or facility fees attributable to the period
prior to the Effective Date or, in the case of Fixed Rate Loans, the Payment
Date, which the Assignee is obligated to deliver to the Assignor pursuant to Section 4
hereof).  The amount of such fee shall be
the difference between (i) the interest or fee, as applicable, paid with
respect to the amounts assigned to the Assignee hereunder and (ii) the
interest or fee, as applicable, which would have been paid with respect to the
amounts assigned to the Assignee hereunder if each interest rate was calculated
at the rate of  % rather than the actual
percentage used to calculate the interest rate paid by the Borrower, as
applicable.  In addition, the Assignee
agrees to pay  % of the fee required to
be paid to the Agent in connection with this Assignment Agreement.

 

D-2

 

6.             REPRESENTATIONS OF THE ASSIGNOR;
LIMITATIONS ON THE ASSIGNOR’S LIABILITY. 
The Assignor represents and warrants that it is the legal and beneficial
owner of the interest being assigned by it hereunder, that such interest is
free and clear of any adverse claim created by the Assignor and that it has all
necessary right and authority to enter into this Assignment.  It is understood and agreed that the assignment
and assumption hereunder are made without recourse to the Assignor and that the
Assignor makes no other representation or warranty of any kind to the
Assignee.  Neither the Assignor nor any
of its officers, directors, employees, agents or attorneys shall be responsible
for (i) the due execution, legality, validity, enforceability,
genuineness, sufficiency or collectability of any Loan Document, including
without limitation, documents granting the Assignor and the other Lenders a
security interest in assets of the Borrower or any guarantor, (ii) any
representation, warranty or statement made in or in connection with any of the
Loan Documents, (iii) the financial condition or creditworthiness of the
Borrower or any guarantor, (iv) the performance of or compliance with any
of the terms or provisions of any of the Loan Documents, (v) inspecting
any of the Property, books or records of the Borrower, (vi) the validity,
enforceability, perfection, priority, condition, value or sufficiency of any
collateral securing or purporting to secure the Loans or (vii) any
mistake, error of judgment, or action taken or omitted to be taken in
connection with the Loans or the Loan Documents.

 

7.             REPRESENTATIONS OF THE ASSIGNEE.  The Assignee (i) confirms that it has
received a copy of the Loan Agreement, together with copies of the financial
statements requested by the Assignee and such other documents and information
as it has deemed appropriate to make its own credit analysis and decision to
enter into this Assignment Agreement, (ii) agrees that it will, independently
and without reliance upon the Administrative Agent, the Assignor or any other
Lender and based on such documents and information at it shall deem appropriate
at the time, continue to make its own credit decisions in taking or not taking
action under the Loan Documents, (iii) appoints and authorizes the Agent
to take such action as agent on its behalf and to exercise such powers under
the Loan Documents as are delegated to the Administrative Agent by the terms
thereof, together with such powers as are reasonably incidental thereto, (iv) agrees
that it will perform in accordance with their terms all of the obligations
which by the terms of the Loan Documents are required to be performed by it as
a Lender, (v) agrees that its payment instructions and notice instructions
are as set forth in the attachment to Schedule 1, (vi) confirms that none
of the funds, monies, assets or other consideration being used to make the
purchase and assumption hereunder are “plan assets” as defined under ERISA and
that its rights, benefits and interests in and under the Loan Documents will
not be “plan assets” under ERISA, [and (vii) attaches the forms prescribed
by the Internal Revenue Service of the United States certifying that the
Assignee is entitled to receive payments under the Loan Documents without
deduction or withholding of any United States federal income taxes].**

 

**to be
inserted if the Assignee is not incorporated under the laws of the United
States, or a state thereof.

 

8.             INDEMNITY.  The Assignee agrees to indemnify and hold the
Assignor harmless against any and all losses, costs and expenses (including,
without limitation, reasonable attorneys’ fees) and liabilities incurred by the
Assignor in connection with or arising in any manner from the Assignee’s non-performance
of the obligations assumed under this Assignment Agreement.

 

D-3

 

9.             SUBSEQUENT ASSIGNMENTS.  After the Effective Date, the Assignee shall
have the right pursuant to Section 12.3.1 of the Loan Agreement to
assign the rights which are assigned to the Assignee hereunder to any entity or
person, provided that (i) any such subsequent assignment does not violate
any of the terms and conditions of the Loan Documents or any law, rule,
regulation, order, writ, judgment, injunction or decree and that any consent
required under the terms of the Loan Documents has been obtained and (ii) unless
the prior written consent of the Assignor is obtained, the Assignee is not
thereby released from its obligations to the Assignor hereunder, if any remain
unsatisfied, including, without limitation, its obligations under Sections 4,
5 and 8 hereof.

 

10.           REDUCTIONS OF AGGREGATE COMMITMENT.  If any reduction in the Aggregate Commitment
occurs between the date of this Assignment Agreement and the Effective Date,
the percentage interest specified in Item 3 of Schedule 1 shall remain the
same, but the dollar amount purchased shall be recalculated based on the
reduced Aggregate Commitment.

 

11.           ENTIRE AGREEMENT.  This Assignment Agreement and the attached
Notice of Assignment embody the entire agreement and understanding between the
parties hereto and supersede all prior agreements and understandings between
the parties hereto relating to the subject matter hereof.

 

12.           GOVERNING LAW.  This Assignment Agreement shall be governed
by the internal law, and not the law of conflicts, of the State of Illinois.

 

13.           NOTICES.  Notices shall be given under this Assignment
Agreement in the manner set forth in the Loan Agreement.  For the purpose hereof, the addresses of the
parties hereto (until notice of a change is delivered) shall be the address set
forth in the attachment to Schedule 1.

 

IN
WITNESS WHEREOF, the parties hereto have executed this Assignment Agreement by
their duly authorized officers as of the date first above written.

 

	
   

  	
  [NAME
  OF ASSIGNOR]

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  [NAME
  OF ASSIGNEE]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
   

  

 

D-4

 

SCHEDULE 1

 

D-5

 

Attachment to SCHEDULE 1 to ASSIGNMENT AGREEMENT

 

Attach Assignor’s Administrative Information Sheet, which must

include notice address for the Assignor and the Assignee

 

D-6

 

SCHEDULE 1

to Assignment Agreement

 

 

	
  1.

  	
  Description
  and Date of Loan Agreement:

  	
  ___________________________

  
	
   

  	
   

  	
   

  
	
  2.

  	
  Date
  of Assignment Agreement:

  	
  ______________________,
  ____

  
	
   

  	
   

  	
   

  
	
  3.

  	
  Amounts
  (As of Date of Item 2 above):

  	
   

  
	
   

  	
   

  	
   

  
	
  a.
  

  	
  Aggregate
  Commitment (Loans)* under Loan Agreement

  	
  $_________________________

  
	
   

  	
   

  	
   

  
	
  b.
  

  	
  Assignee’s
  Percentage of the Aggregate Commitment purchased under this Assignment
  Agreement**

  	
  _________________________%

  
	
   

  	
   

  	
   

  
	
  4.
  

  	
  Amount
  of Assignor’s (Loan Amount)** Commitment Purchased under this Assignment Agreement:

  	
  $_________________________

  
	
   

  	
   

  	
   

  
	
  5.

  	
  Proposed
  Effective Date:

  	
  _______________________

  
				

 

Accepted
and Agreed:

 

	
  [NAME
  OF ASSIGNOR]

  	
   

  	
  [NAME
  OF ASSIGNEE]

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  

 

*              If a Commitment has been
terminated, insert outstanding Loans in place of Commitment

 

**           Percentage taken to 10 decimal places

 

D-7

 

EXHIBIT “I”

to Assignment Agreement

 

NOTICE OF ASSIGNMENT

 

______________, _____

To:                              KeyBank National Association

800 Superior, 6th Floor

Cleveland, OH 44114

Attention:  Vicki Heineck

 

From:                 [NAME OF ASSIGNOR] (the
“Assignor”)

[NAME OF ASSIGNEE] (the “Assignee”)

 

1.             We refer to that certain Amended
and Restated Term Loan Agreement (the “Loan Agreement”) described in Item 1 of
Schedule 1 attached hereto (“Schedule 1”). 
Capitalized terms used herein and not otherwise defined herein shall
have the meanings attributed to them in the Loan Agreement.

 

2.             This Notice of Assignment (this
“Notice”) is given and delivered to the Administrative Agent pursuant to Section 12.3.2
of the Loan Agreement.

 

3.             The Assignor and the Assignee have
entered into an Assignment Agreement, dated as of  , 
(the “Assignment”), pursuant to which, among other things, the Assignor
has sold, assigned, delegated and transferred to the Assignee, and the Assignee
has purchased, accepted and assumed from the Assignor the percentage interest
specified in Item 3 of Schedule 1 of all outstandings, rights and obligations
under the Loan Agreement.  The Effective
Date of the Assignment shall be the later of the date specified in Item 5 of
Schedule 1 or two (2) Business Days (or such shorter period as agreed to
by the Administrative Agent) after this Notice of Assignment and any fee
required by Section 12.3.2 of the Loan Agreement have been
delivered to the Administrative Agent, provided that the Effective Date shall
not occur if any condition precedent agreed to by the Assignor and the Assignee
has not been satisfied.

 

4.             The Assignor and the Assignee
hereby give to the Administrative Agent notice of the assignment and delegation
referred to herein.  The Assignor will
confer with the Administrative Agent before the date specified in Item 5 of
Schedule 1 to determine if the Assignment Agreement will become effective on
such date pursuant to Section 3 hereof, and will confer with the
Administrative Agent to determine the Effective Date pursuant to Section 3
hereof if it occurs thereafter.  The
Assignor shall notify the Administrative Agent if the Assignment Agreement does
not become effective on any proposed Effective Date as a result of the failure
to satisfy the conditions precedent agreed to by the Assignor and the
Assignee.  At the request of the
Administrative Agent, the Assignor will give the Administrative Agent written
confirmation of the satisfaction of the conditions precedent.

 

5.             The Assignor or the Assignee shall
pay to the Administrative Agent on or before the Effective Date the processing
fee of $3,500 required by Section 12.3.2 of the Loan Agreement.

 

D-8

 

6.             If Notes are outstanding on the
Effective Date, the Assignor and the Assignee request and direct that the
Administrative Agent prepare and cause the Borrower to execute and deliver new
Notes or, as appropriate, replacements notes, to the Assignor and the
Assignee.  The Assignor and, if
applicable, the Assignee each agree to deliver to the Administrative Agent the
original Note received by it from the Borrower upon its receipt of a new Note
in the appropriate amount.

 

7.             The Assignee advises the
Administrative Agent that notice and payment instructions are set forth in the
attachment to Schedule 1.

 

8.             The Assignee hereby represents and
warrants that none of the funds, monies, assets or other consideration being
used to make the purchase pursuant to the Assignment are “plan assets” as
defined under ERISA and that its rights, benefits, and interests in and under
the Loan Documents will not be “plan assets” under ERISA.

 

9.             The Assignee authorizes the
Administrative Agent to act as its Administrative Agent under the Loan
Documents in accordance with the terms thereof. 
The Assignee acknowledges that the Administrative Agent has no duty to
supply information with respect to the Borrower or the Loan Documents to the
Assignee until the Assignee becomes a party to the Loan Agreement.*

 

*May be
eliminated if Assignee is a party to the Loan Agreement prior to the Effective
Date.

 

	
  NAME
  OF ASSIGNOR

  	
   

  	
  NAME
  OF ASSIGNEE

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  

 

D-9

 

ACKNOWLEDGED
AND, IF REQUIRED BY THE

LOAN AGREEMENT, CONSENTED TO BY

KEYBANK NATIONAL ASSOCIATION, as Agent

 

	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  

 

[Attach photocopy of Schedule 1 to Assignment]

 

D-10

 

EXHIBIT E

 

LOAN/CREDIT RELATED MONEY TRANSFER INSTRUCTION

 

To:                              KeyBank National Association

as Administrative Agent (the “Agent”)

under the Loan Agreement Described Below

 

Re:                               Amended and Restated Term
Loan Agreement, dated June         ,
2010 (as the same may be amended or modified, the “Loan Agreement”), among
Inland Real Estate Corporation, a corporation organized under the laws of the
State of Maryland (the “Borrower”), the Agent, and the Lenders named
therein.  Terms used herein and not
otherwise defined shall have the meanings assigned thereto in the Loan
Agreement.

 

The
Agent is specifically authorized and directed to act upon the following
standing money transfer instructions with respect to the proceeds of Advances
or other extensions of credit from time to time until receipt by the Agent of a
specific written revocation of such instructions by the Borrower, provided,
however, that the Agent may otherwise transfer funds as hereafter directed in
writing by the Borrower in accordance with Section 13.1 of the Loan
Agreement or based on any telephonic notice made in accordance with Section 2.11
of the Loan Agreement.

 

	
  Facility
  Identification Number(s)

  	
   

  
	
   

  	
   

  
	
  Customer/Account
  Name

  	
   

  
	
   

  	
   

  
	
  Transfer
  Funds To

  	
   

  
	
   

  	
   

  
	
   

  
	
   

  
	
  For
  Account No.

  	
   

  
	
   

  	
   

  
	
  Reference/Attention
  To

  	
   

  
							

 

	
  Authorized
  Officer (Customer Representative)

  	
   

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  (Please
  Print)

  	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  	
   

  
	
  Bank
  Officer Name

  	
   

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  (Please
  Print)

  	
   

  	
   

  	
  Signature

  
						

 

(Deliver Completed Form to Credit Support Staff For Immediate
Processing)

 

E-1

 

EXHIBIT F

 

SUBSIDIARY GUARANTY

 

This
Guaranty is made as of June         ,
2010 by the parties identified in the signature pages thereto, and any
Joinder to Guaranty hereafter delivered (collectively, the “Subsidiary  Guarantors”),
to and for the benefit of KeyBank National Association, individually (“KeyBank”)
and as administrative agent (“Administrative Agent”) for itself and the
lenders under the Loan Agreement (as defined below) and their respective
successors and assigns (collectively, the “Lenders”) and to and for the
benefit of the counterparties to those certain “Related Swap Contracts” (as
defined in the Loan Agreement), which may include Lenders and certain
Affiliates of Lenders (collectively, the “Related Creditors” and, with
the Lenders, the “Credit Parties”).

 

RECITALS

 

A.            Inland Real Estate Corporation, a
corporation organized under the laws of the State of Maryland (“Borrower”),
and Subsidiary Guarantors have requested that the Lenders make a loan available
to Borrower in an aggregate principal amount of $150,000,000 (the “Facility”).

 

B.            The Lenders have agreed to make
available the Facility to Borrower pursuant to the terms and conditions set
forth in that certain Amended and Restated Term Loan Agreement of even date
herewith among Borrower, the Administrative Agent, and the Lenders named
therein (as amended, modified or restated from time to time, the “Loan
Agreement”).  All capitalized terms
used herein and not otherwise defined shall have the meanings ascribed to such
terms in the Loan Agreement.

 

C.            Borrower has executed and delivered
or will execute and deliver to the Lenders promissory notes in the principal
amount of each Lender’s Commitment and promissory notes in the principal
amount, if any, of each Lender’s Loan as evidence of Borrower’s indebtedness to
each such Lender with respect to the Facility (the promissory notes described
above, together with any amendments or allonges thereto, or restatements,
replacements or renewals thereof, and/or new promissory notes to new Lenders
under the Loan Agreement, are collectively referred to herein as the “Notes”).

 

D.            Borrower may enter into certain
Related Swap Contracts with one or more of the Lenders or Affiliates of
Lenders.

 

E.             Subsidiary Guarantors are
subsidiaries of Borrower.  Subsidiary
Guarantors acknowledge that the extension of credit by the Administrative Agent
and the Lenders to Borrower pursuant to the Loan Agreement and the execution
and delivery of Related Swap Contracts by certain Lenders and Affiliates of
Lenders will benefit Subsidiary Guarantors by making funds available to
Subsidiary Guarantors through Borrower and by enhancing the financial strength
of the consolidated group of which Subsidiary Guarantors and Borrower are
members.  The execution and delivery of
this Guaranty by Subsidiary Guarantors are conditions precedent to the
performance by the Lenders of their obligations under the Loan Agreement and
the execution and delivery of any Related Swap Contracts by such Lenders and Affiliates
of Lender.

 

F-1

 

AGREEMENTS

 

NOW,
THEREFORE, Subsidiary Guarantors, in consideration of the matters described in
the foregoing Recitals, which Recitals are incorporated herein and made a part
hereof, and for other good and valuable consideration, hereby agree as follows:

 

1.             Subsidiary Guarantors absolutely,
unconditionally, and irrevocably guaranty to each of the Lenders and Lenders’
Affiliates:

 

(a)                                  the full and prompt payment
of the principal of and interest on the Notes when due, whether at stated
maturity, upon acceleration or otherwise, and at all times thereafter, and the
prompt payment of all sums which may now be or may hereafter become due and
owing under the Notes, the Loan Agreement, and the other Loan Documents;

 

(b)                                 prompt payment of all sums
which may now be or may hereafter be come due and owing under the Related Swap
Contracts;

 

(c)                                  the payment of all
Enforcement Costs (as hereinafter defined in Paragraph 7 hereof);
and

 

(d)                                 the full, complete, and
punctual observance, performance, and satisfaction of all of the obligations,
duties, covenants, and agreements of Borrower under the Loan Agreement and the
Loan Documents and under the Related Swap Contracts.

 

All
amounts due, debts, liabilities, and payment obligations described in
subparagraphs (a) and (b) of this Paragraph 1 are
referred to herein as the “Guaranteed Indebtedness.”  All obligations described in
subparagraph (d) of this Paragraph 1 are referred to
herein as the “Obligations.” 
Subsidiary Guarantors and the Credit Parties agree that Subsidiary
Guarantors’ obligations hereunder shall not exceed the greater of:  (i) the aggregate amount of all monies
received, directly or indirectly, by Subsidiary Guarantors from Borrower after the
date hereof (whether by loan, capital infusion or other means), or
(ii) the maximum amount of the Guaranteed Indebtedness not subject to
avoidance under Title 11 of the United States Code, as same may be amended from
time to time, or any applicable state law (the “Bankruptcy Code”).  To that end, to the extent such obligations
would otherwise be subject to avoidance under the Bankruptcy Code if Subsidiary
Guarantors are not deemed to have received valuable consideration, fair value
or reasonably equivalent value for its obligations hereunder, each Subsidiary
Guarantor’s obligations hereunder shall be reduced to that amount which, after
giving effect thereto, would not render such Subsidiary Guarantor insolvent, or
leave such Subsidiary Guarantor with an unreasonably small capital to conduct
its business, or cause such Subsidiary Guarantor to have incurred debts (or
intended to have incurred debts) beyond its ability to pay such debts as they
mature, as such terms are determined, and at the time such obligations are
deemed to have been incurred, under the Bankruptcy Code.  In the event a Subsidiary Guarantor shall
make any payment or payments under this Guaranty each other guarantor of the
Guaranteed Indebtedness shall contribute to such Subsidiary Guarantor an amount
equal to such non-paying Subsidiary Guarantor’s pro rata share (based on their
respective maximum liabilities hereunder and under such other guaranty) of such
payment or payments made by such Subsidiary Guarantor, provided 

 

F-2

 

that
such contribution right shall be subordinate and junior in right of payment in
full of all the Guaranteed Indebtedness to Lenders.

 

2.             In the event of any default by
Borrower in making payment of the Guaranteed Indebtedness, or in performance of
the Obligations, as aforesaid, in each case beyond the expiration of any
applicable grace period, Subsidiary Guarantors agree, on demand by the
Administrative Agent or the holder of a Note or Credit Party under a Related
Swap Contract, to pay all the Guaranteed Indebtedness and to perform all the
Obligations as are then or thereafter become due and owing or are to be
performed under the terms of the Notes, the Loan Agreement, and the other Loan
Documents or under the Related Swap Contract, as the case may be.

 

3.             Subsidiary Guarantors do hereby
waive (i) notice of acceptance of this Guaranty by the Administrative
Agent and the Credit Parties and any and all notices and demands of every kind
which may be required to be given by any statute, rule or law,
(ii) any defense, right of set-off or other claim which Subsidiary
Guarantors may have against Borrower or which Subsidiary Guarantors or Borrower
may have against the Administrative Agent or the Credit Parties or the holder
of a Note, (iii) presentment for payment, demand for payment (other than
as provided for in Paragraph 2 above), notice of nonpayment (other
than as provided for in Paragraph 2 above) or dishonor, protest and
notice of protest, diligence in collection and any and all formalities which
otherwise might be legally required to charge Subsidiary Guarantors with
liability, (iv) any failure by the Administrative Agent and the Credit
Parties to inform Subsidiary Guarantors of any facts the Administrative Agent
and the Credit Parties may now or hereafter know about Borrower, the Facility,
Related Swap Contract, or the transactions contemplated by the Loan Agreement,
it being understood and agreed that the Administrative Agent and the Lenders
and the Credit Parties have no duty so to inform and that Subsidiary Guarantors
are fully responsible for being and remaining informed by Borrower of all
circumstances bearing on the existence or creation, or the risk of nonpayment
of the Guaranteed Indebtedness or the risk of nonperformance of the
Obligations, and (v) any and all right to cause a marshalling of assets of
Borrower or any other action by any court or governmental body with respect
thereto, or to cause the Administrative Agent and the Credit Party to proceed
against any other security given to a Credit Party in connection with the
Guaranteed Indebtedness or the Obligations. 
Credit may be granted or continued from time to time by the Credit
Parties to Borrower without notice to or authorization from Subsidiary
Guarantors, regardless of the financial or other condition of Borrower at the
time of any such grant or continuation. 
The Administrative Agent and the Credit Parties shall have no obligation
to disclose or discuss with Subsidiary Guarantors the Credit Parties’ assessment
of the financial condition of Borrower. 
Subsidiary Guarantors acknowledge that no representations of any kind
whatsoever have been made by the Administrative Agent and the Credit Parties to
Subsidiary Guarantors.  No modification
or waiver of any of the provisions of this Guaranty shall be binding upon the
Administrative Agent and the Credit Parties except as expressly set forth in a
writing duly signed and delivered on behalf of the Administrative Agent and the
Credit Parties.  Subsidiary Guarantors
further agree that any exculpatory language contained in the Loan Agreement,
the Notes, and the other Loan Documents or in the Related Swap Contracts shall
in no event apply to this Guaranty, and will not prevent the Administrative
Agent and the Credit Parties from proceeding against Subsidiary Guarantors to
enforce this Guaranty.

 

F-3

 

4.             Subsidiary Guarantors further agree
that Subsidiary Guarantors’ liability as guarantor shall in no way be impaired
by any renewals or extensions which may be made from time to time, with or
without the knowledge or consent of Subsidiary Guarantors of the time for
payment of interest or principal under a Note or by any forbearance or delay in
collecting interest or principal under a Note, or by any waiver by the
Administrative Agent and the Lenders under the Loan Agreement, or any other
Loan Documents, or any waiver by the Related Creditors under any Related Swap
Contracts or by the Administrative Agent or the Credit Parties’ failure or
election not to pursue any other remedies they may have against Borrower, or by
any change or modification in a Note, the Loan Agreement, or any other Loan
Documents or in a Related Swap Contract, or by the acceptance by the
Administrative Agent or the Credit Parties of any security or any increase,
substitution or change therein, or by the release by the Administrative Agent
and the Credit Parties of any security or any withdrawal thereof or decrease
therein, or by the application of payments received from any source to the
payment of any obligation other than the Guaranteed Indebtedness, even though a
Credit Party might lawfully have elected to apply such payments to any part or
all of the Guaranteed Indebtedness, it being the intent hereof that Subsidiary
Guarantors shall remain liable as principal for payment of the Guaranteed
Indebtedness and performance of the Obligations until all indebtedness has been
paid in full and the other terms, covenants and conditions of the Loan
Agreement, and other Loan Documents and the Related Swap Contracts and this
Guaranty have been performed, notwithstanding any act or thing which might
otherwise operate as a legal or equitable discharge of a surety.  Subsidiary Guarantors further understand and
agree that the Administrative Agent and the Credit Parties may at any time
enter into agreements with Borrower to amend and modify a Note, the Loan
Agreement or any of the other Loan Documents or any Related Swap Contract, or
any thereof, and may waive or release any provision or provisions of a Note,
the Loan Agreement, or any other Loan Document or any Related Swap Contract
and, with reference to such instruments, may make and enter into any such
agreement or agreements as the Administrative Agent, the Credit Parties and Borrower
may deem proper and desirable, without in any manner impairing this Guaranty or
any of the Administrative Agent’s, and Credit Parties’ rights hereunder or any
of Subsidiary Guarantors’ obligations hereunder.

 

5.             This is an absolute, unconditional,
complete, present and continuing guaranty of payment and performance and not of
collection.  Each Subsidiary Guarantor
agrees that its obligations hereunder shall be joint and several with any and
all other guarantees given in connection with the Guaranteed Indebtedness or
Obligations from time to time. 
Subsidiary Guarantors agree that this Guaranty may be enforced by the
Administrative Agent and the Credit Parties without the necessity at any time
of resorting to or exhausting any security or collateral, if any, given in
connection herewith or with a Note, the Loan Agreement, or any of the other
Loan Documents or the Related Swap Contracts or by or resorting to any other
guaranties, and Subsidiary Guarantors hereby waive the right to require the
Administrative Agent and the Credit Parties to join Borrower in any action
brought hereunder or to commence any action against or obtain any judgment
against Borrower or to pursue any other remedy or enforce any other right.  Subsidiary Guarantors further agree that
nothing contained herein or otherwise shall prevent the Administrative Agent
and the Credit Parties from pursuing concurrently or successively all rights
and remedies available to them at law and/or in equity or under a Note, the
Loan Agreement or any other Loan Documents or under the Related Swap Contracts,
and the exercise of any of their rights or the completion of any of their
remedies shall not constitute a discharge of any of Subsidiary Guarantors’
obligations hereunder, it being the purpose and intent of Subsidiary Guarantors
that the obligations of such Subsidiary Guarantors hereunder shall be primary, 

 

F-4

 

absolute,
independent and unconditional under any and all circumstances whatsoever.  Neither Subsidiary Guarantors’ obligations
under this Guaranty nor any remedy for the enforcement thereof shall be
impaired, modified, changed or released in any manner whatsoever by any
impairment, modification, change, release or limitation of the liability of Borrower
under a Note, the Loan Agreement, or any other Loan Document or under a Related
Swap Contract or by reason of Borrower’s bankruptcy or by reason of any
creditor or bankruptcy proceeding instituted by or against Borrower.  This Guaranty shall continue to be effective
and be deemed to have continued in existence or be reinstated (as the case may
be) if at any time payment of all or any part of any sum payable pursuant to a
Note, the Loan Agreement, or any other Loan Document or pursuant to a Related Swap
Contract is rescinded or otherwise required to be returned by the payee upon
the insolvency, bankruptcy, or reorganization of the payor, all as though
such payment to such Credit Party had not been made, regardless of whether such
Credit Party contested the order requiring the return of such payment.  The obligations of Subsidiary Guarantors
pursuant to the preceding sentence shall survive any termination, cancellation,
or release of this Guaranty.

 

6.             This Guaranty shall be assignable
by a Credit Party to any assignee of all or a portion of such Credit Party’s
rights under the Loan Documents or Related Swap Contracts.

 

7.             If: 
(i) this Guaranty, a Note, or any of the Loan Documents or any
Related Swap Contract are placed in the hands of an attorney for collection or
is collected through any legal proceeding; (ii) an attorney is retained to
represent the Administrative Agent or any Credit Party in any bankruptcy,
reorganization, receivership, or other proceedings affecting creditors’ rights
and involving a claim under this Guaranty, a Note, the Loan Agreement, or any
Loan Document or any Related Swap Contract; (iii) an attorney is retained
to enforce any of the other Loan Documents or a Related Swap Contract or to
provide advice or other representation with respect to the Loan Documents or a
Related Swap Contract in connection with an enforcement action or potential
enforcement action; or (iv) an attorney is retained to represent the
Administrative Agent or any Credit Party in any other legal proceedings whatsoever
in connection with this Guaranty, a Note, the Loan Agreement, any of the Loan
Documents or any Related Swap Contract, or any property subject thereto (other
than any action or proceeding brought by any Credit Facility or participant
against the Administrative Agent alleging a breach by the Administrative Agent
of its duties under the Loan Documents), then Subsidiary Guarantors shall pay
to the Administrative Agent or such Credit Party upon demand all reasonable
attorney’s fees, costs and expenses, including, without limitation, court
costs, filing fees and all other costs and expenses incurred in connection
therewith (all of which are referred to herein as “Enforcement Costs”),
in addition to all other amounts due hereunder.

 

8.             The parties hereto intend that each
provision in this Guaranty comports with all applicable local, state and
federal laws and judicial decisions. 
However, if any provision or provisions, or if any portion of any
provision or provisions, in this Guaranty is found by a court of law to be in
violation of any applicable local, state or federal ordinance, statute, law,
administrative or judicial decision, or public policy, and if such court should
declare such portion, provision or provisions of this Guaranty to be illegal,
invalid, unlawful, void or unenforceable as written, then it is the intent of
all parties hereto that such portion, provision or provisions shall be given
force to the fullest possible extent that they are legal, valid and
enforceable, that the remainder of this Guaranty shall be construed as if such
illegal, invalid, unlawful, void or unenforceable portion, provision or
provisions were not contained therein, and 

 

F-5

 

that
the rights, obligations and interest of the Administrative Agent and the Credit
Parties or the holder of a Note under the remainder of this Guaranty shall
continue in full force and effect.

 

9.             Any indebtedness of Borrower to
Subsidiary Guarantors now or hereafter existing is hereby subordinated to the
Facility Indebtedness.  Subsidiary Guarantors will not seek, accept, or
retain for Subsidiary Guarantors’ own account, any payment from Borrower on
account of such subordinated debt at any time when a Default or Unmatured
Default exists under the Loan Agreement or the Loan Documents or when a default
under any Related Swap Contract has occurred and is continuing beyond any
applicable notice and cure period thereunder, and any such payments to
Subsidiary Guarantors made while any such event has occurred and is continuing
on account of such subordinated debt shall be collected and received by
Subsidiary Guarantors in trust for the Credit Parties and shall be paid over to
the Administrative Agent on behalf of the Lenders or to the applicable Related
Creditor, as the case may be, on account of the Guaranteed Indebtedness without
impairing or releasing the obligations of Subsidiary Guarantors hereunder.

 

10.           Subsidiary Guarantors hereby
subordinate to the Guaranteed Indebtedness any and all claims and rights,
including, without limitation, subrogation rights, contribution rights,
reimbursement rights and set-off rights, which Subsidiary Guarantors may have
against Borrower arising from a payment made by Subsidiary Guarantors under
this Guaranty and agree that, until the entire Guaranteed Indebtedness is paid
in full, not to assert or take advantage of any subrogation rights of
Subsidiary Guarantors or the Credit Parties or any right of Subsidiary
Guarantors or the Credit Parties to proceed against (i) Borrower for
reimbursement, or (ii) any other guarantor or any collateral security or
guaranty or right of offset held by the Credit Parties for the payment of the
Guaranteed Indebtedness and performance of the Obligations, nor shall
Subsidiary Guarantors seek or be entitled to seek any contribution or
reimbursement from Borrower or any other guarantor in respect of payments made
by Subsidiary Guarantors hereunder.  It
is expressly understood that the agreements of Subsidiary Guarantors set forth
above constitute additional and cumulative benefits given to the Credit Parties
for their security and as an inducement for their extension of credit to
Borrower.

 

11.           Any amounts received by a Credit
Parties from any source on account of any indebtedness may be applied by such
Credit Parties toward the payment of such indebtedness, and in such order of
application, as such Credit Party may from time to time elect.

 

12.           Subsidiary Guarantors hereby submit
to personal jurisdiction in the State of Illinois for the enforcement of this
Guaranty and waives any and all personal rights to object to such jurisdiction
for the purposes of litigation to enforce this Guaranty.  Subsidiary Guarantors hereby consent to the
jurisdiction of either the Circuit Court of Cook County, Illinois, or the
United States District Court for the Northern District of Illinois, in any
action, suit, or proceeding which the Administrative Agent or a Credit Party
may at any time wish to file in connection with this Guaranty or any related
matter.  Subsidiary Guarantors hereby
agree that an action, suit, or proceeding to enforce this Guaranty may be
brought in any state or federal court in the State of Illinois and hereby
waives any objection which Subsidiary Guarantors may have to the laying of the
venue of any such action, suit, or proceeding in any such court; provided,
however, that the provisions of this Paragraph shall not be deemed to preclude
the Administrative Agent or a Credit Party from filing any such action, suit,
or proceeding in any other appropriate forum.

 

F-6

 

13.           All notices and other communications
provided to any party hereto under this Guaranty shall be in writing or by
telex or by facsimile and addressed or delivered to such party at its address
set forth below or at such other address as may be designated by such party in
a notice to the other parties.  Any
notice, if mailed and properly addressed with postage prepaid, shall be deemed
given when received; any notice, if transmitted by facsimile, shall be deemed
given when transmitted.  Notice may be
given as follows:

 

To Subsidiary Guarantors:

 

	
  c/o Inland Real Estate
  Corporation

  
	
  2901 Butterfield Road

  
	
  Oak
  Brook, Illinois  60523

  
	
  Attention:

  	
  Mark E. Zalatoris

  
	
  Telephone:

  	
  630-218-7351

  
	
  Facsimile:

  	
  630-218-7350

  

 

With a copy to:

 

	
  c/o Inland Real Estate
  Corporation

  
	
  2901 Butterfield Road

  
	
  Oak
  Brook, Illinois  60523

  
	
  Attention:

  	
  Beth S. Brooks

  
	
  Telephone:

  	
  630-645-2078

  
	
  Facsimile:

  	
  630-218-7350

  

 

To KeyBank as Administrative Agent and as a Lender:

 

	
  1200 Abernathy Rd NE,
  Suite 1550

  
	
  Atlanta, Georgia  30328

  
	
  Attention:

  	
  Kevin Murray

  	
   

  
	
  Phone:

  	
  216-689-4660

  	
   

  
	
  Facsimile:

  	
  216-689-3566

  	
   

  

 

 

With a copy to:

 

	
  KeyBank National Association

  
	
  800 Superior, 6th Floor

  
	
  Cleveland, Ohio  44114

  
	
  Attention:

  	
  Vicki Heineck

  
	
  Phone:  

  	
  216-828-7512

  
	
  |Facsimile:  

  	
  216-828-7523

  

 

F-7

 

With a copy to:

 

	
  Sonnenschein Nath &
  Rosenthal LLP

  
	
  233 South Wacker Drive

  
	
  Suite 7800

  
	
  Chicago, Illinois  60606

  
	
  Attention:

  	
  Patrick G. Moran, Esq.

  
	
  Telephone:

  	
  312-876-8132

  
	
  Facsimile:

  	
  312-876-7934

  

 

If to any other Lender, to its address set forth in
the Loan Agreement.

 

If
to any Related Creditor, to its address set forth in the applicable Related
Swap Contract.

 

14.                                 This Guaranty
shall be binding upon the heirs, executors, legal and personal representatives,
successors and assigns of Subsidiary Guarantors and shall inure to the benefit
of the Administrative Agent and the Credit Parties’ successors and assigns.

 

15.                                 This Guaranty
shall be construed and enforced under the internal laws of the State of
Illinois.

 

16.                                 SUBSIDIARY
GUARANTORS, THE ADMINISTRATIVE AGENT AND THE CREDIT PARTIES, BY THEIR
ACCEPTANCE HEREOF, EACH HEREBY WAIVE ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION
OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHT UNDER THIS GUARANTY OR ANY OTHER
LOAN DOCUMENT OR RELATED SWAP CONTRACT OR RELATING THERETO OR ARISING FROM THE
LENDING OR COUNTERPARTY RELATIONSHIP WHICH IS THE SUBJECT OF THIS GUARANTY AND
AGREE THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A COURT AND NOT
BEFORE A JURY.

 

17.                                 From time to
time, additional parties may execute a joinder substantially in the form of
Exhibit A hereto, and thereby become a party to this Guaranty.  From and after delivery of such joinder, the
Subsidiary delivering such joinder shall be a Subsidiary Guarantor, and be
bound by all of the terms and provisions of this Guaranty.

 

F-8

 

IN
WITNESS WHEREOF, Subsidiary Guarantors have delivered this Guaranty in the
State of Illinois as of the date first written above.

 

	
   

  	
  INLAND
  NANTUCKET SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  SALEM SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  HAWTHORNE VILLAGE COMMONS, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-9

 

	
   

  	
  INLAND
  REAL ESTATE BAT, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  LANSING SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE AURORA COMMONS, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  RIVER SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-10

 

	
   

  	
  INLAND
  WOODFIELD PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  EASTGATE SHOPPING CENTER, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  ORLAND GREENS, L.L.C.

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  TWO RIVERS PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-11

 

	
   

  	
  INLAND
  ELMWOOD PARK, L.L.C.

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  PARK CENTER PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  V. RICHARDS PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  GATEWAY SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-12

 

	
   

  	
  INLAND
  PINE TREE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  SCHAUMBURG PROMENADE, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE DEER TRACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE TOWNES CROSSING, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-13

 

	
   

  	
  INLAND
  BRUNSWICK MARKETPLACE, L.L.C., a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  MEDINA MARKETPLACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INLAND
  SHOPS AT ORCHARD PLACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-14

 

EXHIBIT A TO SUBSIDIARY GUARANTY

 

FORM OF JOINDER TO GUARANTY

 

THIS
JOINDER is executed by                     ,
a                     
(“Subsidiary”), which hereby agrees as follows:

 

1.                                       All capitalized
terms used herein and not defined in this Joinder shall have the meanings
provided in that certain Subsidiary Guaranty (the “Guaranty”) dated as of June         ,
2010 executed for the benefit of KeyBank National Association, as agent for
itself and certain other lenders, with respect to a loan from the Lenders to
Inland Real Estate Corporation (“Borrower”) and for the benefit of certain
“Related Creditors” under “Related Swap Contracts” (as such terms are defined
therein).

 

2.                                       As required by
the Loan Agreement described in the Guaranty, Subsidiary is executing this
Joinder to become a party to the Guaranty.

 

3.                                       Each and every
term, condition, representation, warranty, and other provision of the Guaranty,
by this reference, is incorporated herein as if set forth herein in full and
the undersigned agrees to fully and timely perform each and every obligation of
a Subsidiary Guarantor under such Guaranty.

 

[INSERT SIGNATURE BLOCK]

 

F-15

 

EXHIBIT G

 

ENVIRONMENTAL INVESTIGATION SPECIFICATIONS AND PROCEDURES

 

Phase
I Environmental Site Assessments to be prepared in accordance with the ASTM
Standard Practice for Environmental Site Assessments:  Phase I Environmental Site Assessment Process
(ASTM Designation E1527-94), a summary of which follows:

 

This
ASTM practice is generally considered the industry standard for conducting a
Phase I Environmental Site Assessment (ESA). 
The purpose of this standard is to “define good commercial and customary
practice in the Untied States of America for conducting an ESA of a parcel of
commercial real estate with respect to the range of contaminants within the
scope of the Comprehensive Environmental Response, Compensation and Liability
Act (CERCLA) and petroleum products.” 
The ASTM Phase I ESA is intended to permit a user to satisfy one of the
requirements to qualify for the innocent landowner defense to CERCLA liability;
that is, the practice that constitutes “all appropriate inquiry into the
previous ownership and uses of the property consistent with good commercial or
customary practices” as defined in 42 USC 9601(35)(B).

 

The
goal of the ASTM Phase I ESA is to identify “recognized environmental
conditions.”  Recognized environmental
conditions means the presence or likely presence of any hazardous substances or
petroleum products on a property under conditions that indicate an existing
release, a past release, or a material threat of a release of any hazardous
substances or petroleum products into structures on the property or into the
ground, groundwater, or surface water of the property.  The term includes hazardous substances or
petroleum products even under conditions in compliance with laws.  The term is not intended to include
de minimus conditions that generally would not be the subject of an
enforcement action if brought to the attention of appropriate governmental
agencies.

 

The
ASTM standard indicates that a Phase I ESA should consist of four main
components:  1) Records Review; 2) Site
Reconnaissance; 3) Interviews; and 4) Report. 
The purpose of the records review is to obtain and review records that
will help identify recognized environmental conditions in connection with the
property.  The site reconnaissance
involves physical observation of the property’s exterior and interior, as well
as an observation of adjoining properties. 
Interviews with previous and current owners and occupants, and local
government officials provides insight into the presence or absence of
recognized environmental conditions in connection with the property.  The final component of the ESA, the report,
contains the findings of the ESA and conclusions regarding the presence or
absence of recognized environmental conditions in connection with the
property.  It includes documentation to
support the analysis, opinions, and conclusions found in the report.

 

While
the use of this practice is intended to constitute appropriate inquiry for
purposes of CERCLA’s innocent landowner defense, it is not intended that its
use be limited to that purpose.  The ASTM
standard is intended to be an approach to conducting an inquiry designed to
identify recognized environmental conditions in connection with a property, and
environmental site assessments.

 

G-1

 

EXHIBIT H

 

FORM OF OPINION OF BORROWER’S COUNSEL

 

                , 200  

 

KeyBank
National Association

as Administrative Agent for the Lenders

127 Public Square, 8th Floor

Cleveland, Ohio

 

Re:          $150,000,000 Term Loan to Inland
Real Estate Corporation

 

Ladies
and Gentlemen:

 

We
have acted as counsel for the Borrower and the Subsidiary Guarantors in
connection with a $150,000,000 loan, (the “Loan”), which Loan is being made
pursuant to that certain Amended and Restated Term Loan Agreement dated as of
June         , 2010 (the
“Loan Agreement”) between Borrower, KeyBank National Association and the
several lenders from time to time parties thereto (collectively, the
“Lenders”).

 

In
connection with the Loan we have been furnished with originals or copies
certified to our satisfaction of the Articles of Incorporation and Bylaws of
the Borrower, the [partnership agreement and certificate of limited
partnership] of the Subsidiary Guarantors (as defined in the Loan Agreement),
and all such corporate and other records of the Borrower and the Subsidiary
Guarantors, with such declarations and agreements, and certificates of officers
and representatives of the Borrower and the Subsidiary Guarantors, and with
such other documents, and we have made such other examinations and
investigations as we have deemed necessary as a basis for the opinions
expressed below.

 

We
have examined the originals of the following documents, each of which is
addressed to the Lender or to which the Lender is a party (all of which are sometimes
collectively referred to as the “Loan Documents”):

 

1.             The Loan Agreement.

 

2.             [describe any new promissory notes
and other new Loan Documents].

 

Based
upon the foregoing, we are of the opinion that:

 

1.                                       Borrower is a
corporation duly formed, validly existing and in good standing under the laws
of the State of [                  ].  Borrower has all requisite power and
authority to own its properties, carry on its business and to deliver and
perform its obligations under the Loan Documents.

 

2.                                       [Each
Subsidiary Guarantor] is a [limited partnership or
limited liability company] duly organized, validly existing and in
good standing under the laws of the State of [                ].  [Each Subsidiary
Guarantor] has all requisite power and authority to own its
properties, carry on its 

 

H-1

 

business
and to deliver and perform its obligations under the Loan Documents.

 

3.                                       The execution,
delivery, and performance by each of the Borrower and Subsidiary Guarantors of
the Loan Documents to which it is a party has been duly authorized by all
necessary action of the Borrower, and Subsidiary Guarantors, as the case may
be, and does not (i) require any consent or approval of any partner or
shareholder of such entity or any other person or entity excepting such
consents or approvals as have actually been obtained; (ii) violate any
provision of any law, rule, or regulation of the United States or the States of
Illinois or [            ],
or any provision of the partnership or corporate law presently in effect having
applicability to the Borrower, Subsidiary Guarantors or, as applicable;
(iii) violate any provision of the partnership agreement of the Borrower
or the articles of incorporation or bylaws of Subsidiary Guarantors;
(iv) violate any presently existing statutory or administrative provision
or judicial decision applicable to the Borrower or the Subsidiary Guarantors;
or (v) result in a breach of, or constitute a default under, any agreement
or instrument affecting the Borrower or Subsidiary Guarantors.

 

3.                                       Each Loan
Document to which it is a party (a) has been properly authorized, executed
and delivered by each of the Borrower and the Subsidiary Guarantors,
(b) constitutes the legal, valid, and binding obligations of the Borrower
and the Subsidiary Guarantors, and (c) is enforceable in accordance with
its terms.

 

4.                                       To our
knowledge, no presently existing authorization, exemption, consent, approval,
license, or registration with any court or governmental department, commission,
bureau, agency, or instrumentality will be necessary for the valid, binding,
and enforceable execution, delivery and performance by the Borrower or the
General Partners of the Loan Documents.

 

5.                                       To our
knowledge, there are no actions, suits, or proceedings pending or threatened
against the Borrower or the Subsidiary Guarantors before any court or
governmental entity or instrumentality which could reasonably be expected to
have a Material Adverse Effect (as defined in the Loan Agreement).

 

6.                                       The Loan
Documents are governed by the laws of the State of Illinois, and the Loan,
including the interest rate reserved in the applicable Note and all fees and
charges paid or to be paid by or on behalf of Borrower in connection with such
Loan pursuant to the applicable Loan Documents, is not in violation of the
usury laws of the State of Illinois.

 

The
opinions expressed herein are expressly made subject to and qualified by the
following:

 

H-2

 

(a)           We have assumed that the Loan
Documents are duly authorized and validly executed and delivered by the Agent,
the Lenders and all other parties other than the Borrower and the Subsidiary
Guarantors.

 

(b)           This opinion is based upon existing
laws, ordinances and regulations in effect as of the date hereof.

 

(c)           This opinion is limited to the laws
of the State of Illinois and applicable federal law and no opinion is expressed
as to the laws of any other jurisdiction.

 

(d)           We have assumed the authenticity of
all documents submitted to us as originals (other than the Loan Documents) and
the conformity to original documents of all documents (other than the Loan
Documents) submitted to us as certified or photostatic copies.

 

(e)           The opinions expressed herein are
qualified to the extent that:  (i) the
enforceability of any rights or remedies in any agreement or instruments may be
limited by applicable bankruptcy, insolvency, reorganization or similar laws
affecting the rights of creditors generally; and (ii) the availability of
specific performance, injunctive relief or any other equitable remedy is
subject to the discretion of a court of competent jurisdiction.

 

This
opinion may be relied upon by only by the addressees hereof, its attorneys,
auditors, advisors, participants, and their respective successors and assigns,
and not by any other party.

 

Very
truly yours,

 

H-3

 

EXHIBIT I

 

MINIMUM INSURANCE REQUIREMENTS WITH RESPECT

TO QUALIFYING UNENCUMBERED PROPERTIES

 

Borrower
shall obtain and keep in full force and effect either permanent All Perils
insurance coverage or builder’s risk insurance coverage as appropriate,
reasonably satisfactory to the Administrative Agent, on each of the Qualifying
Unencumbered Properties.  All insurance
policies shall be issued by carriers with a Best’s Insurance Reports policy
holder’s rating of A or better and a financial size category of Class VII
or higher.  The policies shall provide
for the following, and any other coverage that the Administrative Agent may
from time to time reasonably deem necessary:

 

a)                                      Unless such
Property is vacant land, coverage Against All Peril and/or Builders Risk in the
amount of 100% of the replacement cost of all improvements located or to be
located on the site of such Property. 
Such coverage shall include an endorsement insuring against loss due to
acts of terrorism in commercially reasonable amounts as approved by the
Administrative Agent.  If the policy is
written on a CO-INSURANCE basis, the policy shall contain an AGREED AMOUNT
ENDORSEMENT as evidence that the coverage is in an amount sufficient to insure
the portion of Total Asset Value represented by such Property.

 

b)                                     Public
liability coverage in a minimum amount of not less than $2,000,000 per
occurrence and $5,000,000 in the aggregate.

 

c)                                      Rent loss or
business interruption coverage in a minimum amount approved by the
Administrative Agent of not less than the appraised rentals for a minimum of
twelve months.

 

d)                                     Flood hazard
coverage in commercially reasonable amounts as approved by the Administrative
Agent, if any portions of the retail or other commercial buildings on such
Property are located in a special flood hazard area (“Flood Hazard Area”) as
designated by the Federal Emergency Management Agency on its Flood Hazard
Boundary Map and Flood Insurance Rate Maps, and the Department of Housing and
Urban Development, Federal Insurance Administration, Special Flood Hazard Area
Maps.

 

e)                                      Workers
Compensation and Disability insurance as required by law.

 

f)                                        Such other
types and amounts of insurance with respect to such Properties and the
operation thereof which are commonly maintained in the case of other property
and buildings similar to such Properties in nature, use, location, height, and
type of construction, as may from time to time be reasonably required by the
Administrative Agent.

 

Borrower shall cause the premium on each such insurance policy to be
paid on or prior to the date when due and shall provide the Administrative
Agent with notice of such renewal at least thirty (30) days prior to
expiration.  Further, each policy shall
provide that it may not be 

 

I-1

 

canceled, reduced or terminated without at least thirty (30) days (or
at least ten (10) days for non-payment of premium) prior written notice to
the Administrative Agent

 

I-2

 

SCHEDULE 1

 

SUBSIDIARIES

(WHICH ARE NOT SUBSIDIARY GUARANTORS)

 

See Attached

 

I-3

 

SCHEDULE 1

SUBSIDIARIES

 

	
  Legal Name

  	
   

  	
  Tax ID

  
	
  IN
  Retail Manager, L.L.C., a Delaware limited liability company

  	
   

  	
  34-2012073

  
	
  INP
  Retail Management Company, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2800637

  
	
  Inland
  TRS Property Management, Inc., an Illinois corporation

  	
   

  	
  27-2770392

  
	
  Inland
  1293 Higgins Road, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631877

  
	
  Inland
  1738 Hammond, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3700343

  
	
  Inland
  200 Celebration Place, L.L.C., a Delaware limited liability company

  	
   

  	
  02-0623499

  
	
  Inland
  250 Golf Schaumburg, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469281

  
	
  Inland
  Aurora Venture, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3423403

  
	
  Inland
  Baytowne Square, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1488106

  
	
  Inland
  Big Lake, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3562678

  
	
  Inland
  Boise, L.L.C., a Delaware limited liability company

  	
   

  	
  27-0980482

  
	
  Inland
  Caton Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2208291

  
	
  Inland
  Commercial Property Management, Inc.

  	
   

  	
  36-3928433

  
	
  Inland
  Countryside, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2178363

  
	
  Inland
  Crystal Point, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2513517

  
	
  Inland
  Downers Grove Marketplace, L.L.C, a Delaware limited liability comapny

  	
   

  	
  20-3656075

  
	
  Inland
  Exchange Venture Corporation

  	
   

  	
  26-4809999

  
	
  Inland
  Four Flaggs Annex, L.L.C., a Delaware limited liability company

  	
   

  	
  48-1282844

  
	
  Inland
  Four Flaggs, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3659860

  
	
  Inland
  Freeport Southwest Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0113619

  
	
  Inland
  Grand Hunt Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631958

  
	
  Inland
  Grayhawk Manager, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4044404

  
	
  Inland
  Grayhawk, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3562639

  
	
  Inland
  Gurnee, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2178432

  
	
  Inland
  Hickory Creek, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1477062

  
	
  Inland
  Iroquois Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632435

  
	
  Inland
  Mankato Heights, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0726665

  
	
  Inland
  Maple Park Place, LLC, a Delaware limited liability company

  	
   

  	
  61-1477068

  
	
  Inland
  McHenry Road, L.L.C, a Delaware limited liability company

  	
   

  	
  27-2178258

  
	
  Inland
  North Aurora Venture, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4927536

  
	
  Inland
  Northgate, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2327872

  
	
  Inland
  Orland Park Place IV, LLC., a Delaware limited liability company

  	
   

  	
  34-2032023

  
	
  Inland
  Plymouth Collection, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2229012

  
	
  Inland
  Real Estate - Illinois, L.L.C., a Delaware limited liabilty company

  	
   

  	
  36-4334804

  
	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Inland
  Real Estate Hamilton, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4499783

  
	
  Inland
  Real Estate Highway 41, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2957731

  
	
  Inland
  Real Estate LB I Corporation

  	
   

  	
  36-4251215

  
	
  Inland
  Real Estate Park Square, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2176090

  

 

I-4

 

	
  Inland
  Real Estate University Crossings, L.L.C., a Delaware limited liability
  company

  	
   

  	
  56-2474307

  
	
  Inland
  Riverplace Centre, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469199

  
	
  Inland
  Rochester Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0737642

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  36-4311741

  
	
  Inland
  Shakopee Valley Marketplace, L.L.C, a Delaware limited liability company

  	
   

  	
  14-1853071

  
	
  Inland
  Six Corners, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0127320

  
	
  Inland
  Springboro Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0241248

  
	
  Inland
  Stuarts Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3656028

  
	
  Inland
  Traverse City, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469280

  
	
  Inland
  Venture Corporation

  	
   

  	
  20-3795142

  
	
  Inland
  Village Ten, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0193527

  
	
  Inland
  Waupaca, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4542138

  
	
  Inland
  West River Crossing, L.L.C, a Delaware limited liability company

  	
   

  	
  61-1477063

  
	
  Inland-Merrillville, L.L.C.

  	
   

  	
  36-4458068

  

 

I-5

 

SCHEDULE 2

 

INDEBTEDNESS AND LIENS

 

(See
Sections 5.13 and 6.16)

 

	
  Indebtedness

  Incurred By

  	
   

  	
  Indebtedness

  Owed To

  	
   

  	
  Property

  Encumbered

  	
   

  	
  Maturity

  and Amount

  of Indebtedness

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

See Attached

 

I-6

 

SCHEDULE 2

INDEBTEDNESS AND LIENS

(See Sections 5.13 and 6.16)

 

	
  Indebtedness
  Incurred By

  	
   

  	
  Indebtedness

  Owed to

  	
   

  	
  Property Encumbered

  	
   

  	
  Maturity Date

  	
   

  	
  Amount of

  Indebtedness

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Bally’s Total Fitness

  	
   

  	
  July 26,
  2010

  	
   

  	
  $

  	
  3,145,300.00

  	
   

  
	
  Inland Baytowne Square,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Baytowne
  Square & Shoppes

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  8,720,000.00

  	
   

  
	
  Inland Big Lake, L.L.C.,
  a Delaware limited liability company

  	
   

  	
  Principal Capital

  	
   

  	
  Big Lake Town Square

  	
   

  	
  January 1,
  2014

  	
   

  	
  $

  	
  6,250,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Bohl Farm Marketplace

  	
   

  	
  December 31,
  2010

  	
   

  	
  $

  	
  7,833,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Burnsville Crossing

  	
   

  	
  July 26,
  2010

  	
   

  	
  $

  	
  2,858,100.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Byerly’s Burnsville

  	
   

  	
  July 26,
  2010

  	
   

  	
  $

  	
  2,915,900.00

  	
   

  
	
  Inland 250 Golf
  Schaumburg, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Carmax - Schaumburg

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  11,730,000.00

  	
   

  
	
  Inland Real
  Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Carmax - Tinley Park

  	
   

  	
  April 9,
  2010

  	
   

  	
  $

  	
  9,450,000.00

  	
   

  
	
  Inland Caton Crossing,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Caton Crossing

  	
   

  	
  January 1,
  2011

  	
   

  	
  $

  	
  7,425,000.00

  	
   

  
	
  Inland Crystal Point,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Met Life

  	
   

  	
  Crystal Point

  	
   

  	
  December 1,
  2010

  	
   

  	
  $

  	
  20,100,000.00

  	
   

  
	
  Inland McHenry Road,
  L.L.C, a Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Cub Foods - Buffalo
  Grove

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  3,965,000.00

  	
   

  
	
  Inland Real Estate
  Corporation, a Maryland Corporation

  	
   

  	
  Bank of America

  	
   

  	
  Cub Foods - Indianapolis

  	
   

  	
  June 30,
  2010

  	
   

  	
  $

  	
  2,255,000.00

  	
   

  
	
  Inland Countryside,
  L.L.C., a Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Dominick’s - Countryside

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  1,520,000.00

  	
   

  
	
  Inland 1293 Higgins Rd,
  L.L.C., a Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Dominick’s - Schaumburg

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  6,960,000.00

  	
   

  
	
  Inland Downers Grove
  Marketplace, L.L.C, a Delaware limited liability comapny

  	
   

  	
  Cohen Financial

  	
   

  	
  Downers Grove Market

  	
   

  	
  November 1,
  2012

  	
   

  	
  $

  	
  12,500,000.00

  	
   

  
	
  Inland Real Estate
  Corporation, a Maryland Corporation

  	
   

  	
  Bank of America

  	
   

  	
  Food 4 Less - Hammond

  	
   

  	
  April 9,
  2010

  	
   

  	
  $

  	
  4,100,000.00

  	
   

  
	
  Inland Four Flaggs,
  L.L.C., a Delaware limited liability company

  	
   

  	
  John Hancock

  	
   

  	
  Four Flaggs

  	
   

  	
  January 1,
  2018

  	
   

  	
  $

  	
  11,419,571.55

  	
   

  
	
  Inland Grand Hunt
  Center, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Grand Hunt Center Outlot

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  1,550,000.00

  	
   

  
	
  Inland Traverse City,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Grand Traverse Crossings

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  1,688,000.00

  	
   

  

 

I-7

 

	
  Inland 1738 Hammond,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Hammond Mills

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  882,000.00

  	
   

  
	
  Inland Hickory Creek,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Capmark Finance

  	
   

  	
  Hickory Creek
  Marketplace

  	
   

  	
  November 1,
  2011

  	
   

  	
  $

  	
  5,750,000.00

  	
   

  
	
  Inland Iroquois Center,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Principal Capital

  	
   

  	
  Iroquois Center

  	
   

  	
  April 1,
  2014

  	
   

  	
  $

  	
  8,750,000.00

  	
   

  
	
  Inland Mankato Heights,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Mankato Heights

  	
   

  	
  January 1,
  2011

  	
   

  	
  $

  	
  8,910,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Cohen Financial

  	
   

  	
  Maple Grove Retail

  	
   

  	
  August 1,
  2012

  	
   

  	
  $

  	
  4,050,000.00

  	
   

  
	
  Inland Maple Park Place,
  LLC, a Delaware limited liability company

  	
   

  	
  Capmark Finance

  	
   

  	
  Maple Park Place

  	
   

  	
  November 1,
  2011

  	
   

  	
  $

  	
  12,500,000.00

  	
   

  
	
  Inland Northgate,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Northgate Center

  	
   

  	
  October 1,
  2010

  	
   

  	
  $

  	
  6,185,000.00

  	
   

  
	
  Inland Orland Park Place
  IV, LLC., a Delaware limited liability company

  	
   

  	
  Prudential Insurance

  	
   

  	
  Orland Park Place
  Outlots

  	
   

  	
  December 1,
  2014

  	
   

  	
  $

  	
  5,559,593.78

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Cohen Financial

  	
   

  	
  Park Place Plaza

  	
   

  	
  August 1,
  2012

  	
   

  	
  $

  	
  6,500,000.00

  	
   

  
	
  Inland Real Estate Park
  Square, L.L.C., a Delaware limited liability company

  	
   

  	
  Principal Capital

  	
   

  	
  Park Square

  	
   

  	
  January 1,
  2014

  	
   

  	
  $

  	
  10,000,000.00

  	
   

  
	
  Inland Gurnee, L.L.C., a
  Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Petsmart

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  2,215,000.00

  	
   

  
	
  Inland Plymouth
  Collection, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Plymouth Collection

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  5,180,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Cohen Financial

  	
   

  	
  Quarry Retail

  	
   

  	
  August 1,
  2012

  	
   

  	
  $

  	
  15,800,000.00

  	
   

  
	
  Inland Real Estate
  Hamilton, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Rite-Aid

  	
   

  	
  October 1,
  2010

  	
   

  	
  $

  	
  1,700,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Cohen Financial

  	
   

  	
  Riverdale Commons

  	
   

  	
  August 1,
  2012

  	
   

  	
  $

  	
  9,850,000.00

  	
   

  
	
  Inland Riverplace
  Centre, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Riverplace Center

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  3,290,000.00

  	
   

  
	
  Inland Rochester
  Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Rochester Marketplace

  	
   

  	
  January 1,
  2011

  	
   

  	
  $

  	
  5,885,000.00

  	
   

  
	
  Inland Waupaca, L.L.C.,
  a Delaware limited liability company

  	
   

  	
  TCF Bank

  	
   

  	
  Roundy’s - Waupaca

  	
   

  	
  April 30,
  2015

  	
   

  	
  $

  	
  4,325,000.00

  	
   

  
	
  Inland Shakopee Valley
  Marketplace, L.L.C, a Delaware limited liability company

  	
   

  	
  KeyBank

  	
   

  	
  Shakopee Valley
  Marketplace

  	
   

  	
  October 1,
  2010

  	
   

  	
  $

  	
  7,500,000.00

  	
   

  
	
  Inland Ryan, LLC, a
  Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Shingle Creek

  	
   

  	
  July 26,
  2010

  	
   

  	
  $

  	
  1,735,000.00

  	
   

  
	
  Inland Grayhawk, L.L.C.,
  a Delaware limited liability company

  	
   

  	
  Midland Loan Service

  	
   

  	
  Shoppes At Grayhawk

  	
   

  	
  April 1,
  2014

  	
   

  	
  $

  	
  17,202,772.37

  	
   

  
	
  Inland Real
  Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Skokie Fashion Square

  	
   

  	
  December 31,
  2014

  	
   

  	
  $

  	
  6,200,000.00

  	
   

  

 

I-8

 

	
  Inland Springboro Plaza,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Bank of America

  	
   

  	
  Springboro Plaza

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  5,510,000.00

  	
   

  
	
  Inland Freeport
  Southwest Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells Fargo

  	
   

  	
  Staples

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  1,730,000.00

  	
   

  
	
  Inland Stuarts Crossing,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Cohen Financial

  	
   

  	
  Stuart’s Crossing

  	
   

  	
  December 1,
  2012

  	
   

  	
  $

  	
  7,000,000.00

  	
   

  
	
  Inland Real Estate
  Corporation, a Maryland Corporation

  	
   

  	
  Bank of America

  	
   

  	
  The Shops of Plymouth
  Town Cen

  	
   

  	
  June 30,
  2010

  	
   

  	
  $

  	
  2,732,000.00

  	
   

  
	
  Inland Real Estate
  University Crossings, L.L.C., a Delaware limited liability company

  	
   

  	
  Capmark Finance

  	
   

  	
  University Crossings

  	
   

  	
  August 11,
  2011

  	
   

  	
  $

  	
  8,800,000.00

  	
   

  
	
  Inland Village Ten,
  L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Village Ten Center

  	
   

  	
  January 1,
  2011

  	
   

  	
  $

  	
  8,500,000.00

  	
   

  
	
  Inland West River
  Crossing, L.L.C, a Delaware limited liability company

  	
   

  	
  Capmark Finance

  	
   

  	
  Westriver Crossings

  	
   

  	
  November 1,
  2011

  	
   

  	
  $

  	
  3,500,000.00

  	
   

  

 

I-9

 

SCHEDULE 3

 

LITIGATION

 

(See
Section 5.6)

 

None.

 

I-10

 

SCHEDULE 4

 

ENVIRONMENTAL MATTERS

 

(See
Section 5.19)

 

None.

 

I-11

 

SCHEDULE 5

 

LIST OF SUBSIDIARY GUARANTORS

 

See Attached.

 

I-12

 

SCHEDULE 5

LIST OF SUBSIDIARY
GUARANTORS

 

	
  Building
  Name

  	
   

  	
  Title Holder

  	
   

  	
  F.E.I.N. #

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Butera
  Market

  	
   

  	
  Inland
  1290 Chicago Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631811

  
	
  Nantucket
  Square

  	
   

  	
  Inland
  Nantucket Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632213

  
	
  Hartford
  Plaza

  	
   

  	
  Inland
  Hartford Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632051

  
	
  Mundelein
  Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Salem
  Square

  	
   

  	
  Inland
  Salem Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632273

  
	
  Hawthorn
  Village Commons

  	
   

  	
  Inland
  Hawthorne Village Commons, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632124

  
	
  Six
  Corners Plaza

  	
   

  	
  Inland
  Real Estate BAT, L.L.C., a Delaware limited liability company

  	
   

  	
  26-1766081

  
	
  Quarry
  Outlot

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Park
  St Claire

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Lansing
  Square

  	
   

  	
  Inland
  Lansing Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328013

  
	
  Aurora
  Commons

  	
   

  	
  Inland
  Real Estate Aurora Commons, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4484515

  
	
  Golf
  Road Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Mallard
  Crossing

  	
   

  	
  Inland
  Mallard Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632162

  
	
  Verizon

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  River
  Square

  	
   

  	
  Inland
  River Square, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328181

  
	
  Rivertree
  Court

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Glendale
  Heights Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  22nd
  Street Plaza Outlot

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Skokie
  Fashion Square II

  	
   

  	
  Inland
  Skokie Fashion Square II, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0230934

  
	
  Naper
  West

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Naper
  West II

  	
   

  	
  Inland
  Real Estate Naperwest, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0029634

  
	
  Woodfield
  Plaza

  	
   

  	
  Inland
  Woodfield Plaza, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328098

  
	
  Shops
  At Coopers Grove

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Oliver
  Square

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Orland
  Park Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Lake
  Park Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Homewood
  Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Elmhurst
  City Centre

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Chestnut
  Court

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  St
  James Crossing

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Oak
  Forest Commons

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Oak
  Forest Commons III

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Bergen
  Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Wauconda
  Shopping Center

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Berwyn
  Plaza

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Woodland
  Heights

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Schaumburg
  Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Winnetka
  Commons

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Eastgate
  Center

  	
   

  	
  Inland
  Eastgate Shopping Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328376

  

 

I-13

 

	
  Orland
  Greens

  	
   

  	
  Inland
  Orland Greens, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487346

  
	
  Two
  Rivers Plaza

  	
   

  	
  Inland
  Two Rivers Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487347

  
	
  Edinburgh
  Festival

  	
   

  	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Joliet
  Commons

  	
   

  	
  Inland
  Joliet Commons, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4246919

  
	
  Joliet
  Commons Phase II

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Rose
  Plaza

  	
   

  	
  Inland
  Elmwood Park, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0726666

  
	
  Park
  Center

  	
   

  	
  Inland
  Park Center Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487349

  
	
  The
  Plaza

  	
   

  	
  Inland
  V. Richards Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487348

  
	
  Woodland
  Commons

  	
   

  	
  Inland
  Woodlands, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4468417

  
	
  Gateway
  Square

  	
   

  	
  Inland
  Gateway Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328295

  
	
  Oak
  Lawn Town Center

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Cliff
  Lake Centre

  	
   

  	
  Inland
  Ryan Cliff Lake, LLC, a Delaware limited liability company

  	
   

  	
  36-4311744

  
	
  Riverdale
  Commons Outlot

  	
   

  	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Michael’s

  	
   

  	
  Inland
  Real Estate Riverdale, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0014038

  
	
  Home
  Goods Riverdale

  	
   

  	
  Inland
  Coon Rapids Riverdale, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3688283

  
	
  Schaumburg
  Golf Road Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Rose
  Plaza West

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Pine
  Tree Plaza

  	
   

  	
  Inland
  Pine Tree, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3655945

  
	
  Schaumburg
  Promenade

  	
   

  	
  Inland
  Schaumburg Promenade, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328245

  
	
  Rose
  Plaza East

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Deer
  Trace

  	
   

  	
  Inland
  Real Estate Deer Trace, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3651484

  
	
  Deer
  Trace II

  	
   

  	
  Inland
  Deer Trace II, L.L.C., a Delaware limited liability company

  	
   

  	
  56-2474308

  
	
  Disney
  Celebration 200

  	
   

  	
  Inland
  200 Celebration Place Delaware Business Trust

  	
   

  	
  37-1434128

  
	
  Townes
  Crossing

  	
   

  	
  Inland
  Real Estate Townes Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1431696

  
	
  Walgreens
  - Jennings

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Brunswick
  Market Center

  	
   

  	
  Inland
  Brunswick Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853068

  
	
  Medina
  Marketplace

  	
   

  	
  Inland
  Medina Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853064

  
	
  Shakopee
  Outlot

  	
   

  	
  Inland
  Shakopee Outlot, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4603779

  
	
  Shops
  At Orchard Place

  	
   

  	
  Inland
  Shops at Orchard Place, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853059

  
	
  Cub
  Foods - Hutchinson

  	
   

  	
  Inland
  Hutchinson, L.L.C., a Delaware limited liability company

  	
   

  	
  47-0898235

  
	
  Shannon
  Square Shoppes

  	
   

  	
  Inland
  Shannon Square Shoppes, L.L.C., a Delaware limited liability company

  	
   

  	
  56-2438770

  
	
  Cub
  Foods - Arden Hills

  	
   

  	
  Inland
  Shannon Square Cub, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0230309

  
	
  Park
  Avenue Centre

  	
   

  	
  TDC
  Highway 41, LLC, a Delaware limited liability company

  	
   

  	
  20-2704704

  
	
  Wauconda
  Crossings

  	
   

  	
  Inland
  Wauconda Crossings, L.L.C., a Delaware limited liability company

  	
   

  	
  20-5390544

  
	
  Apache
  Shoppes

  	
   

  	
  Inland
  Apache Shoppes, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8030136

  

 

I-14

 

SCHEDULE 6

 

LIST OF INVESTMENT AFFILIATES

 

(See
Section 5.7)

 

See Attached.

 

I-15

 

SCHEDULE 6

 

LIST OF INVESTMENT AFFILIATES

(See Section 5.7)

 

 

	
  Joint
  Venture Partner:

  	
   

  	
  Borrower Member Affiliate:

  
	
   

  	
   

  	
   

  
	
  New
  York State Teacher’s Retirement System

  	
   

  	
  Inland
  Real Estate Corporation

  
	
   

  	
   

  	
   

  
	
  Inland
  Real Estate Exchange Corporation

  	
   

  	
  Inland
  Venture Corporation

  
	
   

  	
   

  	
   

  
	
  Terrance
  M. King / TMK Aurora Venture, LLC

  	
   

  	
  Inland Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora II, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora III, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  TDC
  Lakemoor Select, LLC

  	
   

  	
  Inland
  Lakemoor, L.L.C.

  
	
   

  	
   

  	
   

  
	
  Pine
  Tree Institutional Realty, LLC

  	
   

  	
  Inland
  PT JV I, L.L.C.

  
	
   

  	
   

  	
   

  
	
  WIN-CLERMONT, LTD.

  	
   

  	
  Inland Tuscany Village, L.L.C.

  
	
   

  	
   

  	
   

  
	
  PGGM

  	
   

  	
  Inland
  Real Estate Corporation

  

 

I-16

 

SCHEDULE 7

 

LIST OF QUALIFYING UNENCUMBERED PROPERTIES

 

See Attached.

 

I-17

 

SCHEDULE 7

LIST OF UNENCUMBERED ASSETS

(See Section 5.22)

 

	
  Bldg #

  	
   

  	
  Bldg Name

  	
   

  	
  Bldg #

  	
   

  	
  Bldg Name

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  10201

  	
   

  	
  Butera
  Market

  	
   

  	
  10260

  	
   

  	
  Orland
  Greens

  
	
  10202

  	
   

  	
  Nantucket
  Square

  	
   

  	
  10261

  	
   

  	
  Two
  Rivers Plaza

  
	
  10203

  	
   

  	
  Hartford
  Plaza

  	
   

  	
  10262

  	
   

  	
  Edinburgh
  Festival

  
	
  10205

  	
   

  	
  Mundelein
  Plaza

  	
   

  	
  10263

  	
   

  	
  Joliet
  Commons

  
	
  10207

  	
   

  	
  Salem
  Square

  	
   

  	
  10264

  	
   

  	
  Joliet
  Commons Phase II

  
	
  10208

  	
   

  	
  Hawthorn
  Village Commons

  	
   

  	
  10267

  	
   

  	
  Rose
  Plaza

  
	
  10209

  	
   

  	
  Six
  Corners Plaza

  	
   

  	
  10270

  	
   

  	
  Park
  Center

  
	
  10211

  	
   

  	
  Quarry
  Outlot

  	
   

  	
  10274

  	
   

  	
  The
  Plaza

  
	
  10213

  	
   

  	
  Park
  St Claire

  	
   

  	
  10277

  	
   

  	
  Woodland
  Commons

  
	
  10214

  	
   

  	
  Lansing
  Square

  	
   

  	
  10280

  	
   

  	
  Gateway
  Square

  
	
  10216

  	
   

  	
  Aurora
  Commons

  	
   

  	
  10283

  	
   

  	
  Oak
  Lawn Town Center

  
	
  10217

  	
   

  	
  Golf
  Road Plaza

  	
   

  	
  10287

  	
   

  	
  Cliff
  Lake Centre

  
	
  10218

  	
   

  	
  Mallard
  Crossing

  	
   

  	
  10292

  	
   

  	
  Riverdale
  Commons Outlot

  
	
  10219

  	
   

  	
  Verizon

  	
   

  	
  10293

  	
   

  	
  Michael’s

  
	
  10221

  	
   

  	
  River
  Square

  	
   

  	
  10294

  	
   

  	
  Home
  Goods Riverdale

  
	
  10222

  	
   

  	
  Rivertree
  Court

  	
   

  	
  10296

  	
   

  	
  Schaumburg
  Golf Road Retail

  
	
  10223

  	
   

  	
  Glendale
  Heights Retail

  	
   

  	
  10297

  	
   

  	
  Rose
  Plaza West

  
	
  10224

  	
   

  	
  22nd
  Street Plaza Outlot

  	
   

  	
  10298

  	
   

  	
  Pine
  Tree Plaza

  
	
  10230

  	
   

  	
  Skokie
  Fashion Square II

  	
   

  	
  10299

  	
   

  	
  Schaumburg
  Promenade

  
	
  10231

  	
   

  	
  Naper
  West

  	
   

  	
  10300

  	
   

  	
  Rose
  Plaza East

  
	
  10233

  	
   

  	
  Woodfield
  Plaza

  	
   

  	
  10304

  	
   

  	
  Deer
  Trace

  
	
  10234

  	
   

  	
  Shops
  At Coopers Grove

  	
   

  	
  10305

  	
   

  	
  Deer
  Trace II

  
	
  10235

  	
   

  	
  Oliver
  Square

  	
   

  	
  10306

  	
   

  	
  Disney
  Celebration 200

  
	
  10237

  	
   

  	
  Orland
  Park Retail

  	
   

  	
  10307

  	
   

  	
  Townes
  Crossing

  
	
  10238

  	
   

  	
  Lake
  Park Plaza

  	
   

  	
  10309

  	
   

  	
  Walgreens
  - Jennings

  
	
  10240

  	
   

  	
  Homewood
  Plaza

  	
   

  	
  10312

  	
   

  	
  Brunswick
  Market Center

  
	
  10241

  	
   

  	
  Elmhurst
  City Centre

  	
   

  	
  10313

  	
   

  	
  Medina
  Marketplace

  
	
  10242

  	
   

  	
  Chestnut
  Court

  	
   

  	
  10315

  	
   

  	
  Shakopee
  Outlot

  
	
  10243

  	
   

  	
  St
  James Crossing

  	
   

  	
  10316

  	
   

  	
  Shops
  At Orchard Place

  
	
  10244

  	
   

  	
  Oak
  Forest Commons

  	
   

  	
  10317

  	
   

  	
  Cub
  Foods - Hutchinson

  
	
  10245

  	
   

  	
  Oak
  Forest Commons III

  	
   

  	
  10323

  	
   

  	
  Shannon
  Square Shoppes

  
	
  10248

  	
   

  	
  Bergen
  Plaza

  	
   

  	
  10324

  	
   

  	
  Cub
  Foods - Arden Hills

  
	
  10251

  	
   

  	
  Wauconda
  Shopping Center

  	
   

  	
  10333

  	
   

  	
  Park
  Avenue Centre

  
	
  10252

  	
   

  	
  Berwyn
  Plaza

  	
   

  	
  10334

  	
   

  	
  Wauconda
  Crossings

  
	
  10253

  	
   

  	
  Woodland
  Heights

  	
   

  	
  10335

  	
   

  	
  Apache
  Shoppes

  
	
  10254

  	
   

  	
  Schaumburg
  Plaza

  	
   

  	
   

  	
   

  	
   

  

 

I-18

 

	
  10255

  	
   

  	
  Winnetka
  Commons

  	
   

  	
   

  	
   

  	
   

  
	
  10256

  	
   

  	
  Eastgate
  Center

  	
   

  	
   

  	
   

  	
   

  

 

I-19Exhibit 10.2

 

FOURTH AMENDED AND RESTATED

CREDIT AGREEMENT

 

DATED AS OF JUNE 24, 2010

 

AMONG

 

INLAND REAL ESTATE CORPORATION,

AS BORROWER

 

AND

 

KEYBANK NATIONAL ASSOCIATION

AS ADMINISTRATIVE AGENT

 

KEYBANC CAPITAL MARKETS

AS CO-LEAD ARRANGER

 

AND

 

WELLS FARGO BANK, NATIONAL ASSOCIATION

AS CO-SYNDICATION AGENT

 

AND

 

WELLS FARGO SECURITIES, LLC 

(f/k/a/ Wachovia Capital Markets, LLC)

AS CO-LEAD ARRANGER

 

AND

 

BANK OF AMERICA, N.A.

AS CO-SYNDICATION AGENT

 

AND

 

BANC OF AMERICA SECURITIES LLC

AS CO-LEAD ARRANGER

 

AND

 

RBS CITIZENS, NATIONAL ASSOCIATION D/B/A CHARTER ONE,

AS A CO-DOCUMENTATION AGENT

 

AND

 

BMO CAPITAL MARKETS

AS A CO-DOCUMENTATION AGENT

 

AND

 

THE SEVERAL LENDERS

FROM TIME TO TIME PARTIES HERETO,

AS LENDERS

 

 

FOURTH AMENDED AND RESTATED CREDIT AGREEMENT

 

This
Fourth Amended and Restated Credit Agreement, dated as of June 24, 2010,
is among Inland Real Estate Corporation, a corporation organized under the laws
of the State of Maryland (the “Borrower”), KeyBank National Association,
a national banking association, both individually as a “Lender” and as “Administrative
Agent”, Wells Fargo Bank, National Association, both individually as a “Lender”
and as a “Co-Syndication Agent,” Bank of America, N.A., both
individually as a “Lender” and as “Co-Syndication Agent” (the
Co-Syndication Agents will collectively be referred to as the “Syndication
Agent”), KeyBanc Capital Markets as a “Co-Lead Arranger,” Wells
Fargo Securities, LLC, as a “Co-Lead Arranger,” “Banc of America
Securities LLC as a “Co-Lead Arranger” (the Co-Lead Arrangers will
collectively be referred to as “Lead Arrangers”), RBS Citizens, National
Association d/b/a Charter One, both individually as a “Lender” and as a “Co-Documentation
Agent,” BMO Capital Markets, as a “Co-Documentation Agent,” and the
several banks, financial institutions and other entities which may from time to
time become parties to this Agreement as additional “Lenders”.

 

RECITALS

 

A.            The Borrower is primarily engaged in
the business of purchasing, owning, operating, leasing and managing retail
properties.

 

B.            The Borrower is qualified as a real
estate investment trust under Section 856 of the Code.

 

C.            The Borrower and certain of the
Lenders are parties to that certain Third Amended and Restated Credit Agreement
dated April 21, 2008 (as may have been further amended, the “Existing
Agreement”).

 

D.            The Borrower has requested that such
Lenders agree to amend and restate the Existing Agreement to modify the terms
and provisions thereof, including without limitation modifications to admit
additional Lenders, provide for future increases in the maximum aggregate
amount of loans available thereunder, and provide for an extension of the
Facility Termination Date.  The Lenders
have agreed to do so.

 

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

 

ARTICLE I

 

DEFINITIONS

 

As
used in this Agreement:

 

“ABR
Applicable Margin” means two percent (2.0%) per annum.

 

“Acquisition”
means any transaction, or any series of related transactions, consummated on or
after the date of this Agreement, by which the Borrower or any of its
Subsidiaries (i) acquires any going business or all or substantially all
of the assets of any firm, corporation or division thereof, whether through
purchase of assets, merger or otherwise or (ii) directly or indirectly
acquires (in one transaction or as the most recent transaction in a series of
transactions) at least a majority (in number of votes) of the securities of a
corporation which have ordinary voting power for the election of directors
(other than securities having such power only by reason of the happening of a
contingency) or a majority (by percentage or voting power) of the outstanding
partnership interests of a partnership.

 

 

“Adjusted
Annual EBITDA” means, as of any date, an annualized amount determined by
multiplying four (4) times the Consolidated Net Income for the most recent
fiscal quarter of Borrower for which financial results have been reported, as
adjusted by (i) adding or deducting for, as appropriate, any adjustment
made under GAAP for straight lining of rents, gains or losses from sales of
assets, extraordinary items, depreciation, amortization, interest expenses, the
Consolidated Group Pro Rata Share of interest, depreciation and amortization in
Investment Affiliates; and (ii) deducting from such annualized amount an
annual amount for capital expenditures equal to $0.15 per square foot times the
weighted daily average gross leaseable area of Projects owned by the Consolidated
Group or any Investment Affiliate (but only deducting the applicable
Consolidated Group Pro Rata Share of such amount with respect to such
Investment Affiliate) during such fiscal quarter.

 

“Adjusted
Annual NOI” means, as of any date, with respect to any group of Projects, an
annualized amount determined by multiplying four (4) times the aggregate
Net Operating Income attributable to such Projects for the most recent fiscal
quarter of Borrower for which financial results have been reported, as adjusted
by an annual amount for capital expenditures equal to $0.15 per square foot
times the gross leaseable area of such Projects; adding or deducting for, as
appropriate, any adjustment made to under GAAP for straight lining of rents,
gains, or losses from sales of assets, extraordinary items, depreciation,
amortization, or interest expense; and (i) deducting therefrom any income
attributable to Excluded Tenants but only if and to the extent that the
aggregate amount of such income attributable to Excluded Tenants would be
greater than 5% of all other elements of aggregate Adjusted Annual NOI without
regard to such income and (ii) adding or deducting for, as appropriate,
any adjustment made to under GAAP for straight lining of rents, gains, or
losses from sales of assets, extraordinary items, depreciation, amortization or
interest expense.

 

“Adjusted
Unencumbered NOI” means, as of any date, Unencumbered NOI for the most recent
fiscal quarter of the Borrower for which financial results have been reported less
an amount for capital expenditures equal to $0.0375 per gross leasable square
foot ($0.15 per annum divided by four quarters) times the weighted
average gross leasable area of Qualifying Unencumbered Properties owned by the
Borrower and the Subsidiary Guarantors during such fiscal quarter.

 

“Administrative
Agent” means KeyBank National Association in its capacity as agent for the
Lenders pursuant to Article X, and not in its individual capacity
as a Lender, and any successor Administrative Agent appointed pursuant to Article X.

 

“Advance”
means a borrowing hereunder consisting of the aggregate amount of the several
Loans made by one or more of the Lenders to the Borrower of the same Type and,
in the case of Fixed Rate Advances, for the same Interest Period, including
without limitation Swingline Advances.

 

“Affiliate”
of any Person means any other Person directly or indirectly controlling,
controlled by or under common control with such Person.  A Person shall be deemed to control another
Person if the controlling Person owns 10% or more of any class of voting
securities (or other ownership interests) of the controlled Person or
possesses, directly or indirectly, the power to direct or cause the direction
of the management or policies of the controlled Person, whether through
ownership of stock, by contract or otherwise. 
In no event shall Administrative Agent or any Lender be deemed to be an
affiliate of Borrower.

 

“Aggregate
Commitment” means, as of any date, the aggregate of the then-current
Commitments of all the Lenders, which is $150,000,000, as such amount may be
increased pursuant to Section 2.2 hereof.

 

“Agreement”
means this Fourth Amended and Restated Credit Agreement, as it may be amended
or modified and in effect from time to time.

 

2

 

“Agreement
Execution Date” means the date this Agreement has been fully executed and
delivered by all parties hereto.

 

“Alternate
Base Rate” means, for any day, a rate of interest per annum equal to the
highest of (i) the Prime Rate for such day, (ii) the sum of the LIBOR
Base Rate that would apply to a one month LIBOR Interest Period beginning on
such day plus 1.00% per annum, and (iii) the sum of Federal Funds
Effective Rate for such day plus 1/2 % per annum.

 

“Anti-Terrorism
Laws” is defined in Section 5.28.

 

“Applicable
Margin” means, as applicable, the ABR Applicable Margin or the LIBOR Applicable
Margin.

 

“Approved
Fund” means any mutual fund, investment fund or other fund that is administered
or managed by (i) a Lender, (ii) an Affiliate of a Lender, or (iii) an
entity or Affiliate of any entity that administers or manages a Lender.

 

“Article”
means an article of this Agreement unless another document is specifically
referenced.

 

“Authorized
Officer” means any of the President and Chief Executive Officer, Executive Vice
President and Chief Operating Officer, Vice President and Chief Financial
Officer or Vice President and General Counsel of the Borrower, acting singly.

 

“Bankruptcy
Code” means the Bankruptcy Code of the United States of America, as amended
from time to time.

 

“Borrower”
means Inland Real Estate Corporation, a corporation organized under the laws of
the State of Maryland, and its successors and assigns.

 

“Borrowing
Date” means a date on which an Advance is made hereunder.

 

“Borrowing
Notice” is defined in Section 2.11.

 

“Business
Day” means (i) with respect to any borrowing, payment or rate selection of
LIBOR Advances, a day (other than a Saturday or Sunday) on which banks
generally are open in Cleveland, Ohio and New York, New York for the conduct of
substantially all of their commercial lending activities and on which dealings
in United States dollars are carried on in the London interbank market and (ii) for
all other purposes, a day (other than a Saturday or Sunday) on which banks
generally are open in Cleveland, Ohio and New York, New York for the conduct of
substantially all of their commercial lending activities.

 

“Capital
Stock” means any and all shares, interests, participations or other equivalents
(however designated) of capital stock of a corporation, any and all equivalent
ownership interests in a Person which is not a corporation and any and all
warrants or options to purchase any of the foregoing.

 

“Capitalization
Rate” means .0825.

 

“Capitalized
Lease” of a Person means any lease of Property imposing obligations on such
Person, as lessee thereunder, which are required in accordance with GAAP to be
capitalized on a balance sheet of such Person.

 

“Capitalized
Lease Obligations” of a Person means the amount of the obligations of such
Person under Capitalized Leases which would be shown as a liability on a
balance sheet of such Person prepared in accordance with GAAP.

 

3

 

“Cash
Equivalents” means, as of any date:

 

(a)           securities issued or directly and
fully guaranteed or insured by the United States Government or any agency or
instrumentality thereof having maturities of not more than one year from such
date;

 

(b)           mutual funds organized under the United
States Investment Company Act rated AAm or AAm-G by S&P and P-1 by Moody’s;

 

(c)           certificates of deposit or other
interest-bearing obligations of a bank or trust company which is a member in
good standing of the Federal Reserve System having a short term unsecured debt
rating of not less than A-1 by S&P and not less than P-1 by Moody’s (or in
each case, if no bank or trust company is so rated, the highest comparable
rating then given to any bank or trust company, but in such case only for funds
invested overnight or over a weekend) provided that such investments
shall mature or be redeemable upon the option of the holders thereof on or
prior to a date one month from the date of their purchase;

 

(d)           certificates of deposit or other
interest-bearing obligations of a bank or trust company which is a member in
good standing of the Federal Reserve System having a short term unsecured debt
rating of not less than A-1+ by S&P, and not less than P-1 by Moody’s and
which has a long term unsecured debt rating of not less than A1 by Moody’s (or
in each case, if no bank or trust company is so rated, the highest comparable
rating then given to any bank or trust company, but in such case only for funds
invested overnight or over a weekend) provided that such investments
shall mature or be redeemable upon the option of the holders thereof on or
prior to a date three months from the date of their purchase;

 

(e)           bonds or other obligations having a
short term unsecured debt rating of not less than A-1+ by S&P and P-1+ by
Moody’s and having a long term debt rating of not less than A1 by Moody’s
issued by or by authority of any state of the United States, any territory or
possession of the United States, including the Commonwealth of Puerto Rico and
agencies thereof, or any political subdivision of any of the foregoing;

 

(f)            repurchase agreements issued by an
entity rated not less than A-1+ by S&P, and not less than P-1 by Moody’s
which are secured by U.S. Government securities of the type described in clause
(a) of this definition maturing on or prior to a date one month from the
date the repurchase agreement is entered into;

 

(g)           short term promissory notes rated not
less than A-1+ by S&P, and not less than P-1 by Moody’s maturing or to be
redeemable upon the option of the holders thereof on or prior to a date one
month from the date of their purchase; and

 

(h)           commercial paper (having original
maturities of not more than 365 days) rated at least A-1+ by S&P and P-1 by
Moody’s and issued by a foreign or domestic issuer who, at the time of the
investment, has outstanding long-term unsecured debt obligations rated at least
A1 by Moody’s.

 

“Change
of Control” means (i) any change in the ownership of the Borrower which
results in less than eighty percent (80%) of the Borrower’s Capital Stock being
held by Persons who were either shareholders on the Agreement Execution Date,
spouses, relatives or estates of such shareholders or trustees holding for the
benefit of such shareholders or their spouses, relatives or estates, or (ii) any
change in the membership of the Borrower’s Board of Directors which results in
the board members as of any date after the Agreement Execution Date
constituting less than 50% of the total board members at any time during the
two (2) year period following such date.

 

4

 

“Change
in Management” means the failure of at least two (2) of Brett A. Brown, D.
Scott Carr or Mark E. Zalatoris to continue to be active on a daily basis in
the management of the Borrower provided that if any such individuals
shall die or become disabled the Borrower shall have sixty (60) days to retain
a replacement executive of comparable experience which is reasonably
satisfactory to the Administrative Agent.

 

“Code”
means the Internal Revenue Code of 1986, as amended, reformed or otherwise
modified from time to time.

 

“Commitment”
means, for each Lender, the obligation of such Lender to make Loans and issue
Facility Letters of Credit not exceeding the  amount set
forth opposite its signature below or as set forth in any Notice of Assignment
relating to any assignment that has become effective pursuant to Section 12.3.2,
as such amount may be modified from time to time pursuant to the terms hereof.

 

“Consolidated
Debt Service” means, for any period, without duplication, (a) Consolidated
Interest Expense for such period plus (b) the aggregate amount of
scheduled principal payments attributable to Consolidated Outstanding
Indebtedness (excluding optional prepayments and scheduled principal payments in
respect of any such Indebtedness which is not amortized through equal periodic
installments of principal and interest over the term of such Indebtedness)
required to be made during such period by any member of the Consolidated Group plus
(c) a percentage of all such scheduled principal payments required to be
made during such period by any Investment Affiliate on Indebtedness taken into
account in calculating Consolidated Interest Expense, equal to the greater of (x) the
percentage of the principal amount of such Indebtedness for which any member of
the Consolidated Group is liable and (y) the Consolidated Group Pro Rata
Share of such Investment Affiliate.

 

“Consolidated
Group” means the Borrower and all Subsidiaries which are consolidated with it
for financial reporting purposes under GAAP.

 

“Consolidated
Group Pro Rata Share” means, with respect to any Investment Affiliate, the
percentage of the total equity ownership interests held by the Consolidated
Group in the aggregate, in such Investment Affiliate determined by calculating
the greater of (i) the percentage of the issued and outstanding stock,
partnership interests or membership interests in such Investment Affiliate held
by the Consolidated Group in the aggregate and (ii) the percentage of the
total book value of such Investment Affiliate that would be received by the
Consolidated Group in the aggregate, upon liquidation of such Investment
Affiliate, after repayment in full of all Indebtedness of such Investment
Affiliate.

 

“Consolidated
Interest Expense” means, for any period without duplication, the sum of (a) the
amount of interest expense, determined in accordance with GAAP, of the
Consolidated Group for such period attributable to Consolidated Outstanding
Indebtedness during such period plus (b) the Consolidated Group Pro
Rata Share of any interest expense, determined in accordance with GAAP, of any
Investment Affiliate, for such period, whether recourse or non-recourse.

 

“Consolidated
Net Income” means, for any period, the sum of (i) consolidated net income
(or loss) of the Consolidated Group for such period determined on a
consolidated basis in accordance with GAAP plus (ii) without
duplication, the applicable Consolidated Group Pro Rata Share of the net income
(or loss) of each Investment Affiliate for such period determined in accordance
with GAAP.

 

“Consolidated
Net Worth” means, as of any date of determination, an amount equal to (a) Total
Asset Value minus (b) Consolidated Outstanding Indebtedness as of
such date.

 

“Consolidated
Outstanding Indebtedness” means, as of any date of determination, without
duplication, the sum of (a) all Indebtedness of the Consolidated Group
outstanding at such date, 

 

5

 

determined
on a consolidated basis in accordance with GAAP, plus (b) the
applicable Consolidated Group Pro Rata Share of any Indebtedness of each
Investment Affiliate other than Indebtedness of such Investment Affiliate to a
member of the Consolidated Group, less (c) with respect to each
consolidated Subsidiary of the Borrower in which the Borrower does not directly
or indirectly hold a 100% ownership interest, a percentage of any Indebtedness
of such consolidated Subsidiary which is not a Guarantee Obligation of the
Borrower equal to the percentage ownership interest in such consolidated
Subsidiary which is not held directly or indirectly by the Borrower.

 

“Construction
in Progress” means, as of any date, the total construction cost expended as of
the applicable date to construct any Projects then under development plus
the book value of all land not then included in Unimproved Land.

 

“Controlled
Group” means all members of a controlled group of corporations and all trades
or businesses (whether or not incorporated) under common control which,
together with the Borrower or any of its Subsidiaries, are treated as a single
employer under Section 414 of the Code.

 

“Conversion/Continuation
Notice” is defined in Section 2.12.

 

“Convertible
Notes” means Inland Real Estate Corporation $180,000,000.00, 4.625% Convertible
Senior Notes Due 2026 which closed on November 13, 2006.

 

“Default”
means an event described in Article VII.

 

“Defaulting
Lender” means any Lender which fails or refuses to perform its obligations
under this Agreement within the time period specified for performance of such
obligation, or, if no time frame is specified, if such failure or refusal
continues for a period of five Business Days after written notice from the
Administrative Agent; provided that if such Lender cures such failure or
refusal, such Lender shall cease to be a Defaulting Lender.

 

“Default
Rate” means the interest rate which may apply during the continuance of a
Default pursuant to Section 2.14.

 

“Development
Project” means a Project currently under development that has not achieved an
Occupancy Rate of at least 80%, or on which the improvements (other than tenant
improvements) related to the development have not been completed.  A Development Project on which all
improvements (other than tenant improvements) related to the development of
such Project have been completed for at least 12 months shall cease to
constitute a Development Project notwithstanding the fact that such Project has
not achieved an Occupancy Rate of at least 80%.

 

“Eligible
Assignee” means (a) another Lender, (b) with respect to any Lender,
any Affiliate of that Lender or Approved Fund related to such Lender, (c) any
commercial bank having a combined capital and surplus of $5,000,000,000 or
more, (d) the central bank of any country which is a member of the Organization
for Economic Cooperation and Development, (e) any savings bank, savings
and loan association or similar financial institution which (A) has a net
worth of $500,000,000 or more, (B) is engaged in the business of lending
money and extending credit under credit facilities substantially similar to
those extended under this Agreement and (C) is operationally and
procedurally able to meet the obligations of a Lender hereunder to the same
degree as a commercial bank, and (f) any other financial institution
(including a mutual fund or other fund) approved by the Administrative Agent
and, unless a Default shall have occurred and be continuing, Borrower (such
approval not to be unreasonably withheld or delayed) having total assets of
$500,000,000 or more which meets the requirements set forth in subclauses (B) and
(C) of clause (e) above; provided that each
Eligible Assignee must either (a) be organized under the Laws of the
United States of America, any State thereof or the District of Columbia 

 

6

 

or
(b) be organized under the Laws of the Cayman Islands or any country which
is a member of the Organization for Economic Cooperation and Development, or a
political subdivision of such a country, and (i) act hereunder through a
branch, agency or funding office located in the United States of America and
(ii) be exempt from withholding of tax on interest.  Notwithstanding anything herein to the
contrary, at no time shall Borrower, its Affiliates, or any Subsidiary thereof,
be considered an “Eligible Assignee.”

 

“Environmental
Laws” means any and all foreign, Federal, state, local or municipal laws,
rules, orders, regulations, statutes, ordinances, codes, decrees, requirements
of any Governmental Authority or other Requirements of Law (including common
law) regulating, relating to or imposing liability or standards of conduct
concerning protection of human health or the environment, as now or may at any
time hereafter be in effect, in each case to the extent the foregoing are
applicable to the Borrower or any Subsidiary or any of their respective assets
or Projects.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended from time
to time, and any rule or regulation issued thereunder.

 

“Excluded
Taxes” means, in the case of each Lender or applicable Lending Installation and
the Administrative Agent, taxes imposed on its overall net income, and
franchise taxes imposed on it, by any jurisdiction with taxing authority over
the Lender.

 

“Excluded
Tenants” means, as of any date, any tenant at one of the Projects that either (i) is
subject to a voluntary or involuntary petition for relief under any federal or
state bankruptcy codes or insolvency law or (ii) is not operating its
business in its demised premises at such Project, unless such tenant’s lease
obligations are guaranteed by an entity whose then current long-term, unsecured
debt obligations are rated BBB— or above by S&P and Baa3 or above by Moody’s.

 

“Executive
Order” is defined in Section 5.28.

 

“Existing
Agreement” is defined in the Recitals hereto.

 

“Facility
Letter of Credit” means a Letter of Credit issued pursuant to Article IIA
of this Agreement and shall include the two Facility Letters of Credit issued
under the Existing Agreement which are outstanding as of the Agreement
Execution Date.

 

“Facility
Letter of Credit Fee” is defined in Section 2A.8.

 

“Facility
Letter of Credit Obligations” means, as at the time of determination thereof,
all liabilities, whether actual or contingent, of the Borrower with respect to
Facility Letters of Credit, including the sum of (a) the Reimbursement
Obligations and (b) the aggregate undrawn face amount of the then
outstanding Facility Letters of Credit.

 

“Facility
Letter of Credit Sublimit” means $25,000,000.

 

“Facility
Obligations” means all Obligations other than the Related Swap Obligations.

 

“Facility
Termination Date” means June 21, 2013, being the Business Day immediately
preceding the third (3rd) anniversary
of the Agreement Execution Date.

 

“Federal
Funds Effective Rate” shall mean, for any day, the rate per annum (rounded
upward to the nearest one one-hundredth of one percent (1/100 of 1%)) announced
by the Federal Reserve Bank of Cleveland on such day as being the weighted
average of the rates on overnight federal funds transactions arranged by
federal funds brokers on the previous trading day, as computed and announced by
such 

 

7

 

Federal
Reserve Bank in substantially the same manner as such Federal Reserve Bank
computes and announces the weighted average it refers to as the “Federal Funds
Effective Rate.”

 

“Fee
Letter” is defined in Section 2.8.

 

“Financeable
Ground Lease” means, a ground lease reasonably satisfactory to the
Administrative Agent, which must provide customary protections for a potential
leasehold mortgagee (“Mortgagee”) which include, among other things (i) a
remaining term, including any optional extension terms exercisable unilaterally
by the tenant, of no less than 25 years, (ii) a provision that the ground
lease will not be terminated until the Mortgagee has received notice of a
default, has had a reasonable opportunity to cure or complete foreclosure, and
has failed to do so, (iii) provision for a new lease to the Mortgagee as
tenant on the same terms if the ground lease is terminated for any reason, (iv) transferability
of the tenant’s interest under the ground lease without any requirement for
consent of the ground lessor unless based on delivery of customary assignment
and assumption agreements from the transferor and transferee, (v) the
ability of the tenant to mortgage tenant’s interest under the ground lease
without any requirement  for consent of
the ground lessor, and (vi) that the tenant under the ground lease is
entitled to all insurance proceeds and condemnation awards (other than the
amount attributable to landlord’s fee interest in the land if an adjustment in
rent is provided for in connection therewith).

 

“First
Mortgage Receivable” means any Indebtedness owing to a member of the
Consolidated Group which is secured by a first-priority mortgage or deed of
trust on commercial real estate having a value in excess of the amount of such
Indebtedness and which has been designated by the Borrower as a “First Mortgage
Receivable” in its most recent compliance certificate.

 

“Fixed
Charges” shall mean, as of any date, the sum of (i) Consolidated Debt
Service for the most recent fiscal quarter of Borrower for which financial
results have been reported plus (ii) all dividends payable on
account of preferred stock or preferred operating partnership units of the
Borrower or any other Person in the Consolidated Group (including dividends to
Inland Ryan joint ventures) with respect to the four (4) immediately
preceding fiscal quarters of Borrower for which financial results have been
reported.

 

“Fixed
Rate” means the LIBOR Rate.

 

“Fixed
Rate Advance” means an Advance which bears interest at a Fixed Rate.

 

“Fixed
Rate Loan” means a Loan which bears interest at a Fixed Rate.

 

“Floating
Rate” means, for any day, a rate per annum equal to (i) the Alternate Base
Rate for such day plus (ii) ABR Applicable Margin, changing when
and as the Alternate Base Rate changes.

 

“Floating
Rate Advance” means an Advance which bears interest at the Floating Rate.

 

“Floating
Rate Loan” means a Loan which bears interest at the Floating Rate.

 

“Forward
Purchase Commitments” means those agreements for the acquisition of a Project
or Projects (or of ownership interests therein) for an agreed and specified
purchase price entered into by Borrower, another member of the Consolidated
Group or an Investment Affiliate which have become unconditional due to the
expiration of any due diligence period or other right of purchaser to terminate
such agreement, other than as a result of a default by the seller, a casualty
or condemnation or the failure of another customary closing condition.

 

“Funded
Percentage” means, with respect to any Lender at any time, a percentage equal
to a fraction the numerator of which is the amount actually disbursed and
outstanding to Borrower by such 

 

8

 

Lender
at such time and the denominator of which is the total amount disbursed and
outstanding to Borrower by all of the Lenders at such time.

 

“Funds
From Operations” shall have the meaning determined from time to time by the
National Association of Real Estate Investment Trusts to be the meaning most
commonly used by its members.

 

“GAAP”
means generally accepted accounting principles in the United States of America
as in effect from time to time, applied in a manner consistent with that used
in preparing the financial statements referred to in Section 6.1.

 

“Governmental
Authority” means any nation or government, any state or other political
subdivision thereof and any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government.

 

“Guarantee
Obligation” means, as to any Person (the “guaranteeing person”), any
obligation (determined without duplication) of (a) the guaranteeing person
or (b) another Person (including, without limitation, any bank under any
Letter of Credit) to induce the creation of which the guaranteeing person has
issued a reimbursement, counter-indemnity or similar obligation, in either case
guaranteeing or in effect guaranteeing any Indebtedness, leases, dividends or
other obligations (the “primary obligations”) of any other third Person
(the “primary obligor”) in any manner, whether directly or indirectly,
including, without limitation, any obligation of the guaranteeing person,
whether or not contingent, (i) to purchase any such primary obligation or
any property constituting direct or indirect security therefor, (ii) to
advance or supply funds (1) for the purchase or payment of any such
primary obligation or (2) to maintain working capital or equity capital of
the primary obligor or otherwise to maintain the net worth or solvency of the
primary obligor, (iii) to purchase property, securities or services
primarily for the purpose of assuring the owner of any such primary obligation
of the ability of the primary obligor to make payment of such primary
obligation or (iv) otherwise to assure or hold harmless the owner of any
such primary obligation against loss in respect thereof; provided, however,
that the term Guarantee Obligation shall not include endorsements of
instruments for deposit or collection in the ordinary course of business.  The amount of any Guarantee Obligation of any
guaranteeing person shall be deemed to be the maximum stated amount of the
primary obligation relating to such Guarantee Obligation (or, if less, the
maximum stated liability set forth in the instrument embodying such Guarantee
Obligation), provided, that in the absence of any such stated amount or
stated liability, the amount of such Guarantee Obligation shall be such
guaranteeing person’s maximum reasonably anticipated liability in respect
thereof as determined by the Borrower in good faith.

 

“Implied
Debt Service” means, as of any date, an imputed annual amount of principal and
interest that would be due on a principal amount equal to all Unsecured
Indebtedness outstanding on such date (including without limitation all
reimbursement obligations on account of letters of credit then outstanding) if
such principal amount were a fully amortizing loan with equal monthly payments
of principal and interest over a period of thirty years at a per annum interest
rate equal to the greater of (a) 8.00% and (b) the sum of (i) the
then current yield on obligations of the United States Treasury having the
closest maturity date to the tenth (10th) anniversary of such date of calculation, and (ii) 3.00%.

 

“Indebtedness”
of any Person at any date means without duplication, (a) all indebtedness
of such Person for borrowed money including without limitation any repurchase
obligation or liability of such Person with respect to securities, accounts or
notes receivable sold by such Person, (b) all obligations of such Person
for the deferred purchase price of property or services (other than current
trade liabilities incurred in the ordinary course of business and payable in
accordance with customary practices), to the extent such obligations constitute
indebtedness for the purposes of GAAP, (c) any other indebtedness of such
Person which is evidenced by a note, bond, debenture or similar instrument, (d) the
attributable Indebtedness of such Person with respect all Capitalized Lease
Obligations and Synthetic Lease 

 

9

 

Obligations,
(e) all obligations of such Person in respect of acceptances issued or
created for the account of such Person, (f) all Guarantee Obligations of
such Person (excluding in any calculation of consolidated Indebtedness of the
Consolidated Group, Guarantee Obligations of one member of the Consolidated
Group in respect of primary obligations of any other member of the Consolidated
Group), (g) all reimbursement obligations of such Person for letters of
credit and other contingent liabilities, (h) all net obligations of such
Person under Swap Contracts, and (i) all liabilities secured by any lien
(other than liens for taxes not yet due and payable) on any property owned by
such Person even though such Person has not assumed or otherwise become liable
for the payment thereof. The amount of any net obligation under any Swap
Contract on any date shall be deemed to be the Swap Termination Value thereof
as of such date.

 

“Intellectual
Property” is defined in Section 5.20.

 

“Interest
Period” means a LIBOR Interest Period.

 

“Investment”
of a Person means any loan, advance (other than commission, travel and similar
advances to officers and employees made in the ordinary course of business),
extension of credit (other than accounts receivable arising in the ordinary
course of business on terms customary in the trade), deposit account or
contribution of capital by such Person to any other Person or any investment
in, or purchase or other acquisition of, the stock, partnership interests,
notes, debentures or other securities of any other Person made by such Person.

 

“Investment
Affiliate” means any Person in which the Consolidated Group, directly or
indirectly, holds an ownership interest whose financial results are not
consolidated under GAAP with the financial results of the Consolidated Group,
excluding those Persons in whom the Consolidated Group’s ownership interest is
evidenced only by Marketable Securities.

 

“Issuance
Date” is defined in Section 2A.4(a)(ii).

 

“Issuance
Notice” is defined in Section 2A.4(c).

 

“Issuing
Bank” means, with respect to each Facility Letter of Credit, the Lender which
issues such Facility Letter of Credit. 
KeyBank shall be the sole Issuing Bank.

 

“Lenders”
means the lending institutions listed on the signature pages of this
Agreement, their respective successors and assigns, any other lending
institutions that subsequently become parties to this Agreement.

 

“Lending
Installation” means, with respect to a Lender, any office, branch, subsidiary
or affiliate of such Lender.

 

“Letter
of Credit” of a Person means a letter of credit or similar instrument which is
issued upon the application of such Person or upon which such Person is an
account party or for which such Person is in any way liable.

 

“Letter
of Credit Collateral Account” is defined in Section 2A.9.

 

“Letter
of Credit Request” is defined in Section 2A.4(a).

 

“Leverage
Ratio” means, as of any date, the ratio of Consolidated Outstanding
Indebtedness to Total Asset Value.

 

“LIBOR
Advance” means an Advance that bears interest at the LIBOR Rate.

 

10

 

“LIBOR
Applicable Margin” means three percent (3.0%) per annum.

 

“LIBOR
Base Rate” means, the average rate (rounded upwards to the nearest 1/16th) with respect to a LIBOR
Advance for the relevant LIBOR Interest Period, the applicable British Bankers’
Association LIBOR rate for deposits in U.S. dollars as reported by any
generally recognized financial information service as of 11:00 a.m.
(London time) two Business Days prior to the first day of such LIBOR Interest
Period, and having a maturity equal to such LIBOR Interest Period, provided
that, if no such British Bankers’ Association LIBOR rate is available to the
Administrative Agent, the applicable LIBOR Base Rate for the relevant LIBOR
Interest Period shall instead be the rate determined by the Administrative
Agent to be the rate at which KeyBank or one of its Affiliate banks offers to
place deposits in U.S. dollars with first class banks in the London interbank
market at approximately 11:00 a.m. (London time) two Business Days prior
to the first day of such LIBOR Interest Period, in the approximate amount of
KeyBank’s relevant LIBOR Loan and having a maturity equal to such LIBOR
Interest Period; and provided  further that, in no event shall the
LIBOR Base Rate be less than 1.50% per annum.

 

“LIBOR
Interest Period” means, with respect to each amount bearing interest at a LIBOR
based rate, a period of one, two, three, or six months, to the extent deposits
with such maturities are available to the Administrative Agent, commencing on a
Business Day, as selected by Borrower; provided, however, that (i) any
LIBOR Interest Period which would otherwise end on a day which is not a
Business Day shall continue to and end on the next succeeding Business Day,
unless the result would be that such LIBOR Interest Period would be extended to
the next succeeding calendar month, in which case such LIBOR Interest Period
shall end on the next preceding Business Day and (ii) any LIBOR Interest
Period which begins on a day for which there is no numerically corresponding
date in the calendar month in which such LIBOR Interest Period would otherwise
end shall instead end on the last Business Day of such calendar month.

 

“LIBOR
Loan” means a Loan which bears interest at a LIBOR Rate.

 

“LIBOR
Rate” means, for any LIBOR Interest Period, the sum of (A) the LIBOR Base
Rate applicable thereto divided by one minus the then-current
Reserve Requirement and (B) the LIBOR Applicable Margin.

 

“Lien”
means any lien (statutory or other), mortgage, pledge, hypothecation,
assignment, deposit arrangement, encumbrance or preference, priority or other
security agreement or preferential arrangement of any kind or nature whatsoever
(including, without limitation, the interest of a vendor or lessor under any
conditional sale, Capitalized Lease or other title retention agreement).

 

“Loan”
means, with respect to a Lender, such Lender’s portion of any Advance.

 

“Loan
Documents” means this Agreement, the Notes, the Subsidiary Guaranty, and any
other document from time to time evidencing or securing indebtedness incurred
by the Borrower under this Agreement, as any of the foregoing may be amended or
modified from time to time.

 

“Marketable
Securities” means Investments in Capital Stock or debt securities issued by any
Person (other than an Investment Affiliate) which are publicly traded on a
national exchange, excluding Cash Equivalents.

 

“Material
Adverse Effect” means, in the Administrative Agent’s reasonable discretion, a
material adverse effect on (i) the business, Property or condition
(financial or otherwise) of the Borrower and its Subsidiaries taken as a whole,
(ii) the ability of the Borrower to perform its obligations under the Loan
Documents, or (iii) the validity or enforceability of any of the Loan
Documents.

 

11

 

“Materials
of Environmental Concern” means any gasoline or petroleum (including crude oil
or any fraction thereof) or petroleum products or any hazardous or toxic
substances, materials or wastes, defined or regulated as such in or under any
Environmental Law, including, without limitation, asbestos, polychlorinated
biphenyls and urea-formaldehyde insulation.

 

“Maximum
Legal Rate” means the maximum nonusurious interest rate, if any, that at any
time or from time to time may be contracted for, taken, reserved, charged or
received on the indebtedness evidenced by the Note and as provided for herein
or in the Note or other Loan Documents, under the laws of such state or states
whose laws are held by any court of competent jurisdiction to govern the interest
rate provisions of the Loan.

 

“Moody’s”
means Moody’s Investors Service, Inc. and its successors.

 

“Multiemployer
Plan” means a Plan maintained pursuant to a collective bargaining agreement or
any other arrangement to which the Borrower or any member of the Controlled
Group is a party to which more than one employer is obligated to make
contributions.

 

“Negative
Pledge” means, with respect to a given asset, any provision of a document,
instrument or agreement (other than any Loan Document) which prohibits or
purports to prohibit the creation or assumption of any Lien on such asset as
security for Indebtedness of the Person owning such asset or any other Person; provided,
however, that an agreement that conditions a Person’s ability to
encumber its assets upon the maintenance of one or more specified ratios that
limit such Person’s ability to encumber its assets but that do not generally
prohibit the encumbrance of its assets, or the encumbrance of specific assets,
shall not constitute a Negative Pledge.

 

“Net
Operating Income” means, with respect to any Project for any period, “property
rental and other income” (as determined by GAAP) attributable to such Project
accruing for such period minus the amount of all expenses (as determined
in accordance with GAAP) incurred in connection with and directly attributable
to the ownership and operation of such Project for such period, including,
without limitation, Management Fees and amounts accrued for the payment of real
estate taxes and insurance premiums, but excluding interest expense or other
debt service charges and any non-cash charges such as depreciation or
amortization of financing costs.  As used
herein “Management Fees” means, with respect to each Project for any
period, an amount equal to the greater of (i) actual management fees
payable with respect thereto and (ii) three percent (3%) per annum on the
aggregate base rent and percentage rent due and payable under leases at such
Project.

 

“Non-U.S.
Lender” is defined in Section 3.5(d).

 

“Note”
means a promissory note, in substantially the form of Exhibit B
hereto, duly executed by the Borrower and payable to the order of a Lender in
the amount of its Commitment, including any amendment, modification, renewal or
replacement of such promissory note.

 

“Notice
of Assignment” is defined in Section 12.3(b).

 

“Obligations”
means the Advances, the Facility Letter of Credit Obligations, the Related Swap
Obligations and all accrued and unpaid fees and all other obligations of
Borrower to the Administrative Agent or the Lenders arising under this
Agreement or any of the other Loan Documents.

 

“Occupancy
Rate” means with respect to a Project at any time, the ratio, expressed as a
percentage, of (a) the net rentable square footage of such Project
actually occupied by tenants that are not affiliated with the Borrower and
paying rent at rates not materially less than rates generally prevailing at the
time the applicable lease was entered into, pursuant to binding leases as to
which no monetary default has occurred and has continued unremedied for 60 or
more days to (b) the aggregate net rentable square 

 

12

 

footage
of such Project.  For purposes of the
definition of “Occupancy Rate”, a tenant shall be deemed to actually occupy a
Project notwithstanding a temporary cessation of operations for renovation,
repairs or other temporary reason, or for the purpose of completing tenant
build-out or that is otherwise scheduled to be open for business within 90 days
of such date.

 

“Other
Taxes” is defined in Section 3.5(b).

 

“Outstanding
Facility Amount” means, at any time, the sum of all then outstanding Advances
and Facility Letter of Credit Obligations.

 

“Participants”
is defined in Section 12.2(a).

 

“Payment
Date” means, with respect to the payment of interest accrued on any Advance,
the first day of each calendar month.

 

“PBGC”
means the Pension Benefit Guaranty Corporation, or any successor thereto.

 

“Percentage”
means for each Lender the ratio that such Lender’s Commitment bears to the
Aggregate Commitment, expressed as a percentage.

 

“Permitted
Acquisitions” are defined in Section 6.15.

 

“Permitted
Liens” are defined in Section 6.16.

 

“Person”
means any natural person, corporation, firm, joint venture, partnership,
association, enterprise, trust or other entity or organization, or any
government or political subdivision or any agency, department or
instrumentality thereof.

 

“Plan”
means an employee pension benefit plan which is covered by Title IV of ERISA or
subject to the minimum funding standards under Section 412 of the Code as
to which the Borrower or any member of the Controlled Group may have any
liability.

 

“Prime
Rate” means a rate per annum equal to the prime rate of interest publicly
announced from time to time by KeyBank or its parent as its prime rate (which
is not necessarily the lowest rate charged to any customer), changing when and
as said prime rate changes.  In the event
that there is a successor to the Administrative Agent by merger, or the
Administrative Agent assigns its duties and obligations to an Affiliate, then
the term “Prime Rate” as used in this Agreement shall mean the prime rate, base
rate or other analogous rate of the new Administrative Agent.

 

“Prohibited
Person” is defined in Section 5.28.

 

“Project”
means any real estate asset owned by Borrower or any of its Subsidiaries or any
Investment Affiliate, and operated or intended to be operated as a retail
property.

 

“Property”
of a Person means any and all property, whether real, personal, tangible, intangible,
or mixed, of such Person, or other assets owned, leased or operated by such
Person.

 

“Qualifying
Unencumbered Property” means any Stabilized Retail Project which as of any date
of determination, (a) is wholly owned by a Subsidiary Guarantor, in fee simple
or under the terms of a Financeable Ground Lease, (b) is located in the
United States, (c) is not, nor is any interest of the Borrower or any
Subsidiary therein, subject to any lien other than Permitted Liens set forth in
Sections 6.16(a) through 6.16(d) or a Negative
Pledge; (d) with respect to which (i) none of the Borrower’s direct
or indirect ownership interest in such Subsidiary Guarantor is subject to any
lien, or 

 

13

 

agreement  (including any agreement governing
Indebtedness incurred in order to finance or refinance the acquisition of such
Project) which prohibits or limits the ability of such Subsidiary Guarantor to
create, incur, assume or suffer to exist any Lien upon any Projects or Capital Stock
of such Subsidiary Guarantor or to a Negative Pledge; and (ii) the
Borrower directly, or indirectly through a Subsidiary, has the right to take
the following actions without the need to obtain the consent of any
Person:  (x) to sell, transfer or
otherwise dispose of such Project and (y) to create a Lien on such Project
as security for Indebtedness of the Borrower or such Subsidiary Guarantor, as
applicable; (e) is not subject to any agreement (including any agreement
governing Indebtedness incurred in order to finance or refinance the
acquisition of such Project) which entitles any Person to the benefit of any
Lien (other than Permitted Liens set forth in Sections 6.16(a) through
6.16(d)) on any Project or Capital Stock of such Subsidiary Guarantor or
would entitle any Person to the benefit of any such Lien upon the occurrence of
any contingency (including, without limitation, pursuant to an “equal and
ratable” clause); (f) is free of all structural defects or major
architectural deficiencies, title defects, environmental conditions or other
adverse matters except for defects, deficiencies, conditions or other matters
individually or collectively which are not material to the profitable operation
of such Project as evidenced by a certification of the Borrower;  and (g) when aggregated with all other
Qualifying Unencumbered Properties, results in the Qualifying Unencumbered
Properties as a whole having at least eighty percent (80%) of their aggregate
gross leasable area physically occupied. 
No asset shall be deemed to be unencumbered unless both such asset and
all Capital Stock of the Subsidiary Guarantor owning such asset is unencumbered
and neither such Subsidiary Guarantor nor any other intervening Subsidiary
between the Borrower and such Subsidiary Guarantor has any Indebtedness for
borrowed money (other than Indebtedness due to the Borrower).

 

“Recourse
Indebtedness” means any Indebtedness of Borrower or any other member of the
Consolidated Group with respect to which the liability of the obligor is not
limited to the obligor’s interest in specified assets securing such
Indebtedness, subject to customary limited exceptions for certain acts or types
of liability.

 

“Regulation
D” means Regulation D of the Board of Governors of the Federal Reserve System as
from time to time in effect and any successor thereto or other regulation or
official interpretation of said Board of Governors relating to reserve
requirements applicable to member banks of the Federal Reserve System.

 

“Regulation
U” means Regulation U of the Board of Governors of the Federal Reserve System
as from time to time in effect and any successor or other regulation or
official interpretation of said Board of Governors relating to the extension of
credit by banks for the purpose of purchasing or carrying margin stocks
applicable to member banks of the Federal Reserve System.

 

“Reimbursement
Obligations” means at any time, the aggregate of the obligations of the
Borrower to the Lenders, the Issuing Bank and the Administrative Agent in
respect of all unreimbursed payments or disbursements made by the Lenders, the
Issuing Bank and the Administrative Agent under or in respect of the Facility
Letters of Credit.

 

“Related
Swap Obligations” means, as of any date, all of the obligations of Borrower
arising under any then outstanding Swap Contracts entered into between Borrower
and any Lender or Affiliate of any Lender.

 

“Reportable
Event” means a reportable event as defined in Section 4043 of ERISA and
the regulations issued under such section, with respect to a Plan, excluding,
however, such events as to which the PBGC by regulation waived the requirement
of Section 4043(a) of ERISA that it be notified within 30 days of the
occurrence of such event, provided, however, that a failure to
meet the minimum funding standard of Section 412 of the Code and of Section 302
of ERISA shall be a Reportable Event regardless 

 

14

 

of
the issuance of any such waiver of the notice requirement in accordance with
either Section 4043(a) of ERISA or Section 412(d) of the
Code.

 

“Required
Lenders” means Lenders in the aggregate having at least 66 2/3% of the
Aggregate Commitment or, if the Aggregate Commitment has been terminated,
Lenders in the aggregate holding at least 66 2/3% of the aggregate unpaid
principal amount of the outstanding Advances and Facility Letter of Credit
Obligations. Notwithstanding the foregoing (i) the Commitments of, and
Advances made by, any Lender which is a Defaulting Lender shall be excluded
from the calculations of the Aggregate Commitment and aggregate Advances and
Facility Letter of Credit Obligations for such purposes during the period that
such Lender is a Defaulting Lender, and (ii) at such times as there are
two or more Lenders hereunder, the “Required Lenders” must include at least two
of such Lenders even if one Lender holds more than 66 2/3% of the Aggregate
Commitment or aggregate Advances and Facility Letter of Credit Obligations.

 

“Reserve
Requirement” means, with respect to a LIBOR Loan and LIBOR Interest Period,
that percentage (expressed as a decimal) which is in effect on such day, as
prescribed by the Federal Reserve Board or other governmental authority or
agency having jurisdiction with respect thereto for determining the maximum
reserves (including, without limitation, basic, supplemental, marginal and
emergency reserves) for eurocurrency funding (currently referred to as “Eurocurrency
Liabilities” in Regulation D) maintained by a member bank of the Federal
Reserve System.

 

“Section”
means a numbered section of this Agreement, unless another document is
specifically referenced.

 

“Secured
Indebtedness” means any Indebtedness of the Borrower or any other member of the
Consolidated Group which is secured by a Lien on a Project, any ownership
interests in any Person or any other assets which had, in the aggregate, a
value in excess of the amount of such Indebtedness at the time such
Indebtedness was incurred.

 

“Single
Employer Plan” means a Plan maintained by the Borrower or any member of the
Controlled Group for employees of the Borrower or any member of the Controlled
Group.

 

“S&P”
means Standard & Poor’s Ratings Group and its successors.

 

“Stabilized
Retail Projects” mean any neighborhood shopping centers, community shopping
centers, sale/leaseback with retail tenants, stand-alone, triple net retail
properties and any other stabilized Projects approved by the Administrative
Agent.

 

“Subsidiary”
of a Person means (i) any corporation more than 50% of the outstanding
securities having ordinary voting power of which shall at the time be owned or
controlled, directly or indirectly, by such Person or by one or more of its
Subsidiaries or by such Person and one or more of its Subsidiaries, or (ii) any
partnership, association, joint venture or similar business organization more
than 50% of the ownership interests having ordinary voting power of which shall
at the time be so owned or controlled. 
Unless otherwise expressly provided, all references herein to a “Subsidiary”
shall mean a Subsidiary of the Borrower.

 

“Subsidiary
Guarantor” means each Wholly-Owned Subsidiary of the Borrower which is required
to execute a Subsidiary Guaranty pursuant to Section 6.13.

 

“Subsidiary
Guaranty” means the guaranty to be executed and delivered by those Subsidiaries
of the Borrower listed on Schedule 5 and such other Wholly-Owned
Subsidiaries as may hereafter be 

 

15

 

obligated
to join in such guaranty as provided in Section 6.13, substantially
in the form of Exhibit F, as the same may be amended, supplemented
or otherwise modified from time to time.

 

“Substantial
Portion” means, with respect to the Property of the Borrower and its
Subsidiaries, Property which represents more than 10% of then-current Total
Asset Value.

 

“Swap
Contract” means (a) any and all rate swap transactions, basis swaps,
credit derivative transactions, forward rate transactions, commodity swaps,
commodity options, forward commodity contracts, equity or equity index swaps or
options, bond or bond price or bond index swaps or options or forward bond or
forward bond price or forward bond index transactions, interest rate options,
forward foreign exchange transactions, cap transactions, floor transactions,
collar transactions, currency swap transactions, cross currency rate swap
transactions, currency options, spot contracts, or any other similar
transactions or any combination of any of the foregoing (including any options
to enter into any of the foregoing), whether or not any such transaction is
governed by or subject to any master agreement, and (b) any and all
transactions of any kind, and the related confirmations, which are subject to
the terms and conditions of, or governed by, any form of master agreement
published by the International Swaps and Derivatives Association, Inc.,
any International Foreign Exchange Master Agreement, or any other master
agreement (any such master agreement, together with any related schedules, a “Master
Agreement”), including any such obligations or liabilities under any Master
Agreement.

 

“Swap
Termination Value” means, in respect of any one or more Swap Contracts, after
taking into account the effect of any legally enforceable netting agreement
relating to such Swap Contracts, (a) for any date on or after the date
such Swap Contracts have been closed out and termination value(s) determined
in accordance therewith, such termination value(s), and (b) for any date
prior to the date referenced in clause (a), the amount(s) determined as
the mark to market value(s) for such Swap Contracts, as determined based
upon one or more mid market or other readily available quotations provided by
any recognized dealer in such Swap Contracts (which may include a Lender or any
Affiliate of a Lender).

 

“Swingline
Advances” means, as of any date, collectively, all Swingline Loans then
outstanding under this Facility.

 

“Swingline
Commitment” means the obligation of the Swingline Lender to make Swingline
Loans not exceeding $25,000,000, which is included in, and is not in addition
to, the Swingline Lender’s total Commitment hereunder.

 

“Swingline
Lender” shall mean KeyBank National Association, in its capacity as a Lender,
and at the option of a new Administrative Agent, any successor Administrative
Agent.

 

“Swingline
Loan” means a loan made by the Swingline Lender pursuant to Section 2.18
hereof.

 

“Taxes”
means any and all present or future taxes, duties, levies, imposts, deductions,
charges or withholdings, and any and all liabilities with respect to the
foregoing, but excluding Excluded Taxes and Other Taxes.

 

“Total
Asset Value” means, as of any date, (i) Adjusted Annual NOI attributable
to Projects owned by the Borrower or a member of the Consolidated Group
(excluding 100% of the Adjusted Annual NOI attributable to Projects not owned
for the entire fiscal quarter on which Adjusted Annual NOI is calculated and
for the five (5) immediately proceeding entire fiscal quarters and
excluding all lease termination fees and all interest and dividend income), divided
by the Capitalization Rate, plus (ii) 100% of the price paid for
any such Projects first acquired by the Borrower or a member of the
Consolidated Group during such period of six (6) consecutive entire fiscal
quarters, plus (iii) Unrestricted Cash, Cash 

 

16

 

Equivalents
and Marketable Securities owned by the Consolidated Group as of the end of the
last such fiscal quarter, plus (iv) the Consolidated Group’s Pro
Rata Share of (A) Adjusted Annual NOI attributable to Projects owned by
Investment Affiliates (excluding Adjusted Annual NOI attributable to Projects
not owned for the entire fiscal quarter on which Adjusted Annual NOI is
calculated and for the five (5) entire immediately preceding fiscal
quarters) divided by (B) the Capitalization Rate, plus (v) the
Consolidated Group Pro Rata Share of the price paid for such Projects first
acquired by an Investment Affiliate during such period of six (6) consecutive
entire fiscal quarters, plus (vi) the Consolidated Group Pro Rata
Share of Unrestricted Cash, Cash Equivalents and Marketable Securities owned by
Investment Affiliates as of the end of the last such fiscal quarter plus
(vii) Construction in Progress and First Mortgage Receivables of the
Borrower or any other member of the Consolidated Group (with each such asset
valued at the lower of its acquisition cost and its fair market value), plus
(viii) Unimproved Land (with each such asset valued at the lower of its
acquisition cost and its fair market value). For purposes of this definition,
to the extent that the aggregate amount included in Total Asset Value on
account of clause (ii) and clause (v) above would exceed fifteen
percent (15%) of Total Asset Value, one or more of the Projects eligible to be
valued under such clauses shall be designated by Borrower and eliminated from
valuation under such clauses to the extent necessary to cause the aggregate
amount included in Total Asset Value under clause (ii) and clause (v) to
be less than fifteen percent (15%) of Total Asset Value. Such eliminated Projects
shall instead be valued under clause (i) or clause (iv) above, as
applicable, notwithstanding the exclusions stated therein.

 

“Transferee”
is defined in Section 12.4.

 

“Type”
means, with respect to any Advance, its nature as a Floating Rate Advance or LIBOR
Advance.

 

“Unencumbered
Asset Value” means, as of any date, the sum of (a) (i) the aggregate
Adjusted Unencumbered NOI attributable to Qualifying Unencumbered Properties
then owned by Borrower or a Subsidiary Guarantor which have been owned by
Borrower or a Subsidiary Guarantor for the most recent full fiscal quarter for
which financial results of Borrower have been reported and for the five (5) immediately
preceding entire fiscal quarters multiplied by four and divided by (ii) the
Capitalization Rate plus (b) the aggregate acquisition cost of all
Qualifying Unencumbered Properties then owned by Borrower or a Subsidiary
Guarantor but not so owned for such period of six (6) consecutive entire
fiscal quarters, plus (c) the GAAP book value of Development Projects
not subject to any Lien (other than Permitted Liens set forth in Sections
6.16(a) through 6.16(d)) or any Negative Pledge, plus (d) all
Unrestricted Cash, Cash Equivalents, and Marketable Securities and all First
Mortgage Receivables (valued at the lower of its acquisition cost and its fair
market value).  For purposes of this
definition, to the extent (i) the aggregate amount included in
Unencumbered Asset Value under clause (d) above would exceed 10% of the
Unencumbered Asset Value, or (ii) the aggregate amount included in
Unencumbered Asset Value attributable to Development Properties under clause (c) above
would exceed 15% of the Unencumbered Pool Asset 
Value or the aggregate amount included under clause (c) and (d) together
would exceed 20% of Unencumbered Asset Value, such excess shall be
excluded.  To the extent Unencumbered
Asset Value attributable to Qualifying Unencumbered Properties which are
occupied pursuant to Financeable Ground Leases would exceed 10% of Unencumbered
Asset Value, such excess shall be excluded.

 

“Unencumbered
Leverage Ratio” means, as of any date, the then-current Unencumbered Asset
Value divided by the then-current Unsecured Indebtedness.

 

“Unencumbered
NOI” means, as of any date, the sum of (a) the aggregate Net Operating
Income for the most recent fiscal quarter for which financial results have been
reported attributable to all Qualifying Unencumbered Properties owned for the
entirety of such fiscal quarter as of the last day of such fiscal quarter plus,
(b) in the case of any Qualifying Unencumbered Property that was owned as
of 

 

17

 

the
last day of such fiscal quarter by Borrower or a Subsidiary Guarantor, but not
so owned for the full fiscal quarter, the additional amount of Net Operating
Income that would have been earned if such Qualifying Unencumbered Property had
been so owned for the full fiscal quarter.

 

“Unfunded
Liabilities” means the amount (if any) by which the present value of all vested
nonforfeitable benefits under all Single Employer Plans exceeds the fair market
value of all such Plan assets allocable to such benefits, all determined as of
the then most recent valuation date for such Plans.

 

“Unimproved
Land” means, as of any date, any land which (i) is not appropriately zoned
for retail development, (ii) does not have access to all necessary
utilities or (iii) does not have access to publicly dedicated streets,
unless such land has been designated in writing by the Borrower in a
certificate delivered to the Administrative Agent as land that is reasonably
expected to satisfy all such criteria within twelve (12) months after such
date.

 

“Unmatured
Default” means an event which but for the lapse of time or the giving of
notice, or both, would constitute a Default.

 

“Unrestricted
Cash, Cash Equivalents and Marketable Securities” means, in the aggregate, all
cash, Cash Equivalents and Marketable Securities which are not pledged or
otherwise restricted for the benefit of any creditor and which are owned by the
Borrower or another member of the Consolidated Group, to be valued for purposes
of this Agreement at 100% of its then-current book value, as determined under
GAAP.

 

“Unsecured
Indebtedness” means all Consolidated Outstanding Indebtedness that is not
Secured Indebtedness, including without limitation the Convertible Notes.

 

“Unused
Fee” is defined in Section 2.7.

 

“Unused
Fee Percentage” means, with respect to any day during a calendar quarter,
(i) 0.35% per annum, if the sum of the Advances and Facility Letter of
Credit Obligations outstanding on such day is 50% or more of the Aggregate
Commitment, or (ii) 0.45% per annum if the sum of the Advances and
Facility Letter of Credit Obligations outstanding on such day is less than 50%
of the Aggregate Commitment.

 

“Wholly-Owned
Subsidiary” of a Person means (i) any Subsidiary all of the outstanding
voting securities of which shall at the time be owned or controlled, directly
or indirectly, by such Person or one or more Wholly-Owned Subsidiaries of such
Person, or by such Person and one or more Wholly-Owned Subsidiaries of such
Person, or (ii) any partnership, association, joint venture or similar
business organization 100% of the ownership interests having ordinary voting
power of which shall at the time be so owned or controlled.

 

The
foregoing definitions shall be equally applicable to both the singular and
plural forms of the defined terms.

 

ARTICLE II

 

THE CREDIT

 

2.1.          Generally.  Subject to the terms and conditions of this
Agreement, Lenders severally agree to make Advances through the Administrative
Agent to Borrower from time to time prior to the Facility Termination Date, and
to support the issuance of the Facility Letters of Credit under Article IIA
of this Agreement, provided that the making of any such Advance or the
issuance of such Facility Letter of Credit will not:

 

18

 

(i)            cause the then-current Outstanding
Facility Amount to exceed the then-current Aggregate Commitment; or

 

(ii)           cause the then-current outstanding
Swingline Advances to exceed the Swingline Commitment; or

 

(iii)          cause the then outstanding Facility
Letters of Credit Obligations to exceed the Facility Letter of Credit Sublimit.

 

2.2.          Advances.  The Advances may be Swingline Advances,
ratable Floating Rate Advances or ratable Fixed Rate Advances.  Each Lender shall fund its Percentage of each
such Advance (other than a Swingline Advance) and no Lender will be required to
fund any amounts which, when aggregated with such Lender’s Percentage of all other
Advances then outstanding and of all Facility Letter of Credit Obligations,
would exceed such Lender’s then-current Commitment.  This facility (“Facility”) is a
revolving credit facility and, subject to the provisions of this Agreement,
Borrower may request Advances hereunder, repay such Advances and reborrow
Advances at any time prior to the Facility Termination Date.

 

2.3.          Reserved.

 

2.4.          Termination
or Increase in Aggregate Commitment.  The Borrower shall have the right to
terminate the Aggregate Commitment in full by giving written notice thereof to
the Administrative Agent not less than one (1) Business Day prior to the
date of such termination and by repaying all Obligations in full on such
date.  The Borrower shall also have the
right from time to time, provided no Default or Unmatured Default has occurred
and is then continuing, to increase the Aggregate Commitment up to a maximum of
$250,000,000 by either adding new lenders as Lenders (subject to the
Administrative Agent’s prior written approval of the identity of such new
lenders) or by obtaining the agreement, which shall be at such Lender’s or
Lenders’ sole discretion, of one or more of the then current Lenders to
increase its or their Commitments.  The
Administrative Agent shall use commercially reasonable efforts to arrange such
increased Commitments and the Borrower’s approval of any new lenders shall not
be unreasonably withheld or delayed.  On
the effective date of any such increase, the Borrower shall pay to the
Administrative Agent any amounts due to it under the Fee Letter and to each
lender providing such additional Commitment the up-front fee agreed to by the
Borrower.  Such increases shall be
evidenced by the execution and delivery of an Amendment Regarding Increase in
the form of Exhibit A attached hereto by the Borrower, the
Administrative Agent and the new lender or existing Lender providing such
additional Commitment, a copy of which shall be forwarded to each Lender by the
Administrative Agent promptly after execution thereof.  On the effective date of each such increase
in the Aggregate Commitment, the Borrower and the Administrative Agent shall
cause the new or existing Lenders providing such increase, by either funding
more than its or their Percentage of new Advances made on such date or
purchasing shares of outstanding Loans held by the other Lenders or a
combination thereof, to hold its or their Percentage of all Advances
outstanding at the close of business on such day.  The Lenders agree to cooperate in any
required sale and purchase of outstanding Advances to achieve such result.  In no event shall the Aggregate Commitment
exceed $250,000,000 without the approval of all of the Lenders.

 

2.5.          Reserved.

 

2.6.          Final
Principal Payment.  Any
outstanding Advances and all other unpaid Obligations shall be paid in full by
the Borrower on the Facility Termination Date.

 

2.7.          Unused
Fee.  The Borrower agrees to pay to
the Administrative Agent for the account of each Lender an unused facility fee
(the “Unused Fee”) equal to an aggregate amount computed on a daily 

 

19

 

basis for such calendar year by multiplying the
Unused Fee Percentage applicable to such day, calculated as a per diem rate,
times the excess of the Aggregate Commitment over the Outstanding Facility
Amount on such day.  The Unused Fee shall
be payable quarterly in arrears on the first Business Day after the last day of
each calendar quarter.

 

2.8.          Other
Fees.  The Borrower agrees to pay all
fees payable to the Administrative Agent, the Co-Syndication Agents and the
Co-Lead Arrangers pursuant to the Borrower’s separate letter agreements with
the Administrative Agent, the Co-Syndication Agents and the Co-Lead Arrangers
(collectively, such letter agreements will be referred to as the “Fee Letter”).

 

2.9.          Minimum
Amount of Each Advance.  Each
Advance shall be in the minimum amount of $1,000,000; provided, however,
that any Floating Rate Advance may be in the amount of the unused Aggregate
Commitment.

 

2.10.        Optional
Principal Payments.  The
Borrower may from time to time pay, without penalty or premium, all or any part
of outstanding Floating Rate Advances on one (1) Business Day prior notice
to the Administrative Agent.  A Fixed
Rate Advance may be paid on the last day of the applicable Interest Period or,
if and only if the Borrower pays any amounts due to the Lenders under Section 3.4
as a result of such prepayment, on a day prior to such last day.

 

2.11.        Method
of Selecting Types and Interest Periods for New Advances.  Each Advance hereunder shall consist of Loans
made from the several Lenders ratably in proportion to the ratio their
respective Commitments bear to the Aggregate Commitment, except for Swingline
Loans which shall be made by the Swingline Lender in accordance with Section 2.18.  The Borrower shall select the Type of Advance
and, in the case of each Fixed Rate Advance, the Interest Period applicable to
each Advance from time to time.  The
Borrower shall give the Administrative Agent irrevocable notice (a “Borrowing
Notice”) in the form attached as Exhibit I (i) not later
than 3:00 p.m. Cleveland time on the Business Day immediately preceding
the Borrowing Date of each Floating Rate Advance (other than Swingline
Advances), (ii) not later than 10:00 a.m. Cleveland time, at least
three (3) Business Days before the Borrowing Date for each LIBOR Advance,
and (iii) not later than 10:00 a.m. Cleveland, Ohio time on the same
day as the Borrowing Date for each Swingline Advance, which shall specify:

 

(i)            the Borrowing Date, which shall be a
Business Day, of such Advance;

 

(ii)           the aggregate amount of such Advance;

 

(iii)          the Type of Advance selected and;

 

(iv)          in the case of each Fixed Rate
Advance, the Interest Period applicable thereto.

 

The
Administrative Agent shall provide a copy to the Lenders by facsimile of each
Borrowing Notice and each Conversion/Continuation Notice not later than the
close of business on the Business Day it is received.  Each Lender shall make available its Loan or
Loans, in funds immediately available in Cleveland to the Administrative Agent
at its address specified pursuant to Article XIII on each Borrowing
Date not later than (i) 10:00 a.m. (Cleveland time), in the case of
Floating Rate Advances which have been requested by a Borrowing Notice given to
the Administrative Agent not later than 3:00 p.m. (Cleveland time) on the
Business Day immediately preceding such Borrowing Date, or (ii) noon
(Cleveland time) in the case of all other Advances.  The Administrative Agent will make the funds
so received from the Lenders available to the Borrower at the Administrative
Agent’s aforesaid address.

 

20

 

No
Interest Period may end after the Facility Termination Date and, unless the
Lenders otherwise agree in writing, in no event may there be more than seven (7) different
Interest Periods for LIBOR Advances outstanding at any one time.

 

2.12.        Conversion and Continuation of Outstanding
Advances.  Floating
Rate Advances shall continue as Floating Rate Advances unless and until such
Floating Rate Advances are converted into Fixed Rate Advances.  Each Fixed Rate Advance shall continue as a
Fixed Rate Advance until the end of the then applicable Interest Period
therefor, at which time such Fixed Rate Advance shall be automatically
converted into a Floating Rate Advance unless the Borrower shall have given the
Administrative Agent a Conversion/Continuation Notice requesting that, at the
end of such Interest Period, such Fixed Rate Advance either continue as a Fixed
Rate Advance for the same or another Interest Period or be converted to an
Advance of another Type.  Subject to the
terms of Section 2.9, the Borrower may elect from time to time to
convert all or any part of an Advance of any Type into any other Type or Types
of Advances; provided that any conversion of any Fixed Rate Advance
shall be made on, and only on, the last day of the Interest Period applicable thereto.  The Borrower shall give the Administrative
Agent irrevocable notice (a “Conversion/Continuation Notice”) of each
conversion of an Advance to a Fixed Rate Advance or continuation of a Fixed
Rate Advance not later than 10:00 a.m. (Cleveland time), at least three
Business Days, in the case of a conversion into or continuation of a LIBOR
Advance, prior to the date of the requested conversion or continuation,
specifying:

 

(i)            the requested date which shall be a Business Day, of such conversion or
continuation;

 

(ii)           the aggregate amount and Type of the Advance which is to be converted or
continued; and

 

(iii)          the amount and Type(s) of Advance(s) into which such Advance is
to be converted or continued and, in the case of a conversion into or
continuation of a Fixed Rate Advance, the duration of the Interest Period
applicable thereto.

 

2.13.        Changes in Interest Rate, Etc.  Each Floating Rate Advance shall bear
interest on the outstanding principal amount thereof, for each day from and
including the date such Advance is made or is converted from a Fixed Rate
Advance into a Floating Rate Advance pursuant to Section 2.12 to
but excluding the date it becomes due or is converted into a Fixed Rate Advance
pursuant to Section 2.12 hereof, at a rate per annum equal to the
Floating Rate for such day.  Changes in
the rate of interest on that portion of any Advance maintained as a Floating
Rate Advance will take effect simultaneously with each change in the Alternate
Base Rate.  Each Fixed Rate Advance shall
bear interest from and including the first day of the Interest Period
applicable thereto to (but not including) the last day of such Interest Period
at the interest rate determined as applicable to such Fixed Rate Advance.

 

2.14.        Rates Applicable After Default.  Notwithstanding anything to the contrary
contained in Section 2.11 or 2.12, during the continuance of
a Default or Unmatured Default the Required Lenders may, at their option, by
notice to the Borrower (which notice may be revoked at the option of the
Required Lenders notwithstanding any provision of Section 8.2
requiring unanimous consent of the Lenders to changes in interest rates),
declare that no Advance may be made as, converted into or continued as a Fixed
Rate Advance.  During the continuance of
a Default the Required Lenders may, at their option, by notice to the Borrower
(which notice may be revoked at the option of the Required Lenders
notwithstanding any provision of Section 8.2 requiring unanimous
consent of the Lenders to changes in interest rates), declare that (i) each
Fixed Rate Advance shall bear interest for the remainder of the applicable
Interest Period at the rate otherwise applicable to such Interest Period plus
2% per annum and (ii) each Floating Rate Advance shall bear interest at a
rate per annum equal to the Floating Rate otherwise applicable to the Floating
Rate Advance plus 2% per annum; provided, however, that
the

 

21

 

Default Rate shall become applicable automatically
if a Default occurs under Section 7.1 or 7.2, unless waived
by the Required Lenders.

 

2.15.        Method of Payment.  All payments of the Obligations hereunder
shall be made, without setoff, deduction, or counterclaim, in immediately
available funds to the Administrative Agent at the Administrative Agent’s
address specified pursuant to Article XIII, or at any other Lending
Installation of the Administrative Agent specified in writing by the
Administrative Agent to the Borrower, by noon (local time) on the date when due
and shall be applied ratably by the Administrative Agent among the Lenders.

 

(a)           As provided elsewhere herein, all Lenders’ interests in the Advances and
the Loan Documents shall be ratable undivided interests and none of such
Lenders’ interests shall have priority over the others.  Each payment delivered to the Administrative
Agent for the account of any Lender or amount to be applied or paid by the
Administrative Agent to any Lender shall be paid promptly (on the same day as
received by the Administrative Agent if received prior to noon (local time) on
such day and otherwise on the next Business Day) by the Administrative Agent to
such Lender in the same type of funds that the Administrative Agent received at
its address specified pursuant to Article XIII or at any Lending
Installation specified in a notice received by the Administrative Agent from
such Lender.  Payments received by the
Administrative Agent but not timely funded to the Lenders shall bear interest
payable by the Administrative Agent at the Federal Funds Effective Rate from
the date due until the date paid.  The
Administrative Agent is hereby authorized to charge the account of the Borrower
maintained with KeyBank for each payment of principal, interest and fees as it
becomes due hereunder.

 

2.16.        Notes; Telephonic Notices.  Each Lender is hereby authorized to record
the principal amount of each of its Loans and each repayment on the schedule
attached to its Note, provided, however, that the failure to so
record shall not affect the Borrower’s obligations under such Note.  The Borrower hereby authorizes the Lenders
and the Administrative Agent to extend, convert or continue Advances, effect
selections of Types of Advances and to transfer funds based on telephonic notices
made by any Authorized Officer.  The
Borrower agrees to deliver promptly to the Administrative Agent a written
confirmation, if such confirmation is requested by the Administrative Agent or
any Lender, of each telephonic notice signed by an Authorized Officer.  If the written confirmation differs in any
material respect from the action taken by the Administrative Agent and the
Lenders, the records of the Administrative Agent and the Lenders shall govern
absent manifest error.  The
Administrative Agent will at the request of the Borrower, from time to time,
but not more often than monthly, provide notice of the amount of the
outstanding Aggregate Commitment, the Type of Advance, and the applicable
interest rate, if for a Fixed Rate Advance. 
Upon a Lender’s furnishing to Borrower an affidavit to such effect, if a
Note is mutilated, destroyed, lost or stolen, Borrower shall deliver to such
Lender, in substitution therefore, a new note containing the same terms and
conditions as such Note being replaced.

 

2.17.        Interest Payment Dates; Interest and Fee Basis.  Interest accrued on each Advance shall be
payable on each Payment Date, commencing with the first such date to occur
after the date hereof, at maturity, whether by acceleration or otherwise, and
upon any termination of the Aggregate Commitment in its entirety under Section 2.4
hereof.  Interest, Unused Fees, Facility
Letter of Credit Fees and all other fees shall be calculated for actual days
elapsed on the basis of a 360-day year. 
Interest shall be payable for the day an Advance is made but not for the
day of any payment on the amount paid if payment is received prior to noon
(local time) at the place of payment.  If
any payment of principal of or interest on an Advance shall become due on a day
which is not a Business Day, such payment shall be made on the next succeeding
Business Day and, in the case of a principal payment, such extension of time
shall be included in computing interest in connection with such payment.

 

2.18.        Swingline Advances.  In addition to the other options available to
the Borrower hereunder, the Swingline Commitment shall be available for
Swingline Advances subject to the following

 

22

 

terms and conditions.  Swingline Advances shall be made available
for same day borrowings provided that notice is given in accordance with
Section 2.11 hereof.  All
Swingline Advances shall bear interest at the Floating Rate.  In no event shall the Swingline Lender be
required to fund a Swingline Advance if it would increase the total aggregate
outstanding Loans by Swingline Lender hereunder plus its Percentage of
Facility Letter of Credit Obligations to an amount in excess of the Swingline
Lender’s Commitment.  No Swingline
Advance may be made to repay a Swingline Advance, but Borrower may repay
Swingline Advances from subsequent pro rata Advances hereunder.  On the third (3rd) Business Day after such a Swingline Advance was
made, if such Swingline Advance has not been repaid by the Borrower, each
Lender irrevocably agrees to purchase its Percentage of any Swingline Advance
made by the Swingline Lender regardless of whether the conditions for
disbursement are satisfied at the time of such purchase, including the
existence of an Unmatured Default or Default hereunder provided that
Swingline Lender did not have actual knowledge of such Unmatured Default or
Default at the time the Swingline Advance was made and provided  further
that no Lender shall be required to have total outstanding Loans plus
its Percentage of Facility Letters of Credit exceed its Commitment.  Such purchase shall take place on the date of
the request by Swingline Lender so long as such request is made by noon
(Cleveland time), and otherwise on the Business Day following such request.  All requests for purchase shall be in writing.  From and after the date it is so purchased,
each such Swingline Advance shall, to the extent purchased, (i) be treated
as a Loan made by the purchasing Lenders and not by the selling Lender for all
purposes under this Agreement and the payment of the purchase price by a Lender
shall be deemed to be the making of a Loan by such Lender and shall constitute
outstanding principal under such Lender’s Note, and (ii) shall no longer
be considered a Swingline Advance except that all interest accruing on or attributable
to such Swingline Advance for the period prior to the date of such purchase
shall be paid when due by the Borrower to the Administrative Agent for the
benefit of the Swingline Lender and all such amounts accruing on or
attributable to such Loans for the period from and after the date of such
purchase shall be paid when due by the Borrower to the Administrative Agent for
the benefit of the purchasing Lenders. 
If prior to purchasing its Percentage of a Swingline Advance one of the
events described in Section 7.7 shall have occurred and such event
prevents the consummation of the purchase contemplated by preceding provisions,
each Lender will purchase an undivided participating interest in the
outstanding Swingline Advance in an amount equal to its Percentage of such
Swingline Advance.  From and after the
date of each Lender’s purchase of its participating interest in a Swingline
Advance, if the Swingline Lender receives any payment on account thereof, the
Swingline Lender will distribute to such Lender its participating interest in
such amount (appropriately adjusted, in the case of interest payments, to
reflect the period of time during which such Lender’s participating interest
was outstanding and funded); provided, however, that in the event
that such payment was received by the Swingline Lender and is required to be
returned to the Borrower, each Lender will return to the Swingline Lender any
portion thereof previously distributed by the Swingline Lender to it.  If any Lender fails to so purchase its
Percentage of any Swingline Advance, such Lender shall be deemed to be a
Defaulting Lender hereunder.

 

2.19.        Notification of Advances, Interest Rates
and Prepayments.  The
Administrative Agent will notify each Lender of the contents of each Borrowing
Notice, Conversion/Continuation Notice, and repayment notice received by it
hereunder not later than the close of business on the Business Day such notice
is received by the Administrative Agent. 
The Administrative Agent will notify each Lender of the interest rate
applicable to each Fixed Rate Advance promptly upon determination of such
interest rate and will give each Lender prompt notice of each change in the
Alternate Base Rate.

 

2.20.        Lending Installations.  Each Lender may book its Loans at any Lending
Installation selected by such Lender and may change its Lending Installation
from time to time.  All terms of this
Agreement shall apply to any such Lending Installation and the Notes shall be
deemed held by each Lender for the benefit of such Lending Installation.  Each Lender may, by written or telex notice
to the Administrative Agent and the Borrower, designate a Lending Installation
through which Loans will be made by it and for whose account Loan payments are
to be made.

 

23

 

2.21.        Non-Receipt of Funds by the Administrative
Agent.  Unless the Borrower or a
Lender, as the case may be, notifies the Administrative Agent prior to the time
at which it is scheduled to make payment to the Administrative Agent of (i) in
the case of a Lender, the proceeds of a Loan or (ii) in the case of the
Borrower, a payment of principal, interest or fees to the Administrative Agent
for the account of the Lenders, that it does not intend to make such payment,
the Administrative Agent may assume that such payment has been made.  The Administrative Agent may, but shall not
be obligated to, make the amount of such payment available to the intended
recipient in reliance upon such assumption. 
If such Lender or the Borrower, as the case may be, has not in fact made
such payment to the Administrative Agent, the recipient of such payment shall,
on demand by the Administrative Agent, repay to the Administrative Agent the
amount so made available together with interest thereon in respect of each day
during the period commencing on the date such amount was so made available by
the Administrative Agent until the date the Administrative Agent recovers such
amount at a rate per annum equal to (i) in the case of payment by a
Lender, the Federal Funds Effective Rate for such day or (ii) in the case
of payment by the Borrower, the interest rate applicable to the relevant
Loan.  If such Lender so repays such
amount and interest thereon to the Administrative Agent within one Business Day
after such demand, all interest accruing on the Loan not funded by such Lender
during such period shall be payable to such Lender when received from the
Borrower.

 

2.22.        Replacement of Lenders under Certain
Circumstances.  The
Borrower shall be permitted to replace any Lender which (a) is not capable
of receiving payments without any deduction or withholding of United States
federal income tax pursuant to Section 3.5, or (b) cannot
maintain its Fixed Rate Loans at a suitable Lending Installation pursuant to Section 3.3,
with a replacement bank or other financial institution; provided that (i) such
replacement does not conflict with any applicable legal or regulatory
requirements affecting the Lenders, (ii) no Default or (after notice
thereof to Borrower) no Unmatured Default shall have occurred and be continuing
at the time of such replacement, (iii) the Borrower shall repay (or the
replacement bank or institution shall purchase, at par) all Loans and other
amounts owing to such replaced Lender prior to the date of replacement, (iv) the
Borrower shall be liable to such replaced Lender under Sections 3.4 and 3.6
if any Fixed Rate Loan owing to such replaced Lender shall be prepaid (or
purchased) other than on the last day of the Interest Period relating thereto, (v) the
replacement bank or institution, if not already a Lender, and the terms and
conditions of such replacement, shall be reasonably satisfactory to the
Administrative Agent, (vi) the replaced Lender shall be obligated to make
such replacement in accordance with the provisions of Section 12.3
(provided that the Borrower shall be obligated to pay the processing fee
referred to therein), (vii) until such time as such replacement shall be
consummated, the Borrower shall pay all additional amounts (if any) required
pursuant to Section 3.5 and (viii) any such replacement shall
not be deemed to be a waiver of any rights which the Borrower, the
Administrative Agent or any other Lender shall have against the replaced
Lender.

 

2.23.        Usury.  This Agreement and each Note are subject to
the express condition that at no time shall Borrower be obligated or required
to pay interest on the principal balance of the Loan at a rate which could
subject any Lender to either civil or criminal liability as a result of being
in excess of the Maximum Legal Rate.  If
by the terms of this Agreement or the Loan Documents, Borrower is at any time
required or obligated to pay interest on the principal balance due hereunder at
a rate in excess of the Maximum Legal Rate, the interest rate or the Default
Rate, as the case may be, shall be deemed to be immediately reduced to the
Maximum Legal Rate and all previous payments in excess of the Maximum Legal
Rate shall be deemed to have been payments in reduction of principal and not on
account of the interest due hereunder. 
All sums paid or agreed to be paid to Lender for the use, forbearance,
or detention of the sums due under the Loan, shall, to the extent permitted by
applicable law, be amortized, prorated, allocated, and spread throughout the
full stated term of the Loan until payment in full so that the rate or amount
of interest on account of the Loan does not exceed the Maximum Legal Rate of
interest from time to time in effect and applicable to the Loan for so long as
the Loan is outstanding.

 

24

 

ARTIICLE
IIA

 

LETTER OF
CREDIT SUBFACILITY

 

2A.1        Obligation to Issue.  Subject to the terms and conditions of this
Agreement and in reliance upon the representations and warranties of the
Borrower herein set forth, the Issuing Bank hereby agrees to issue for the
account of the Borrower, one or more Facility Letters of Credit in accordance
with this Article IIA, from time to time during the period
commencing on the Agreement Execution Date and ending on a date sixty (60) days
prior to the Facility Termination Date.

 

2A.2        Types and Amounts.  The Issuing Bank shall not:

 

(a)           issue any Facility Letter of Credit if the aggregate maximum amount
then available for drawing under Letters of Credit issued by such Issuing Bank,
after giving effect to the Facility Letter of Credit requested hereunder, shall
exceed any limit imposed by law or regulation upon such Issuing Bank;

 

(b)           issue any Facility Letter of Credit if, after giving effect thereto, (1) the
then applicable Outstanding Facility Amount would exceed the then current
Aggregate Commitment or (2) the Facility Letter of Credit Obligations
would exceed the Facility Letter of Credit Sublimit; or

 

(c)           issue any Facility Letter of Credit having an expiration date, or
containing automatic extension provisions to extend such date, to a date beyond
the sixtieth (60th)
day prior to the Facility Termination Date.

 

2A.3        Conditions.  In addition to being subject to the
satisfaction of the conditions contained in Article IV hereof and
in the balance of this Article IIA, the obligation of the Issuing
Bank to issue any Facility Letter of Credit is subject to the satisfaction in
full of the following conditions:

 

(a)           the Borrower shall have delivered to the Issuing Bank at such times and
in such manner as the Issuing Bank may reasonably prescribe such documents and
materials as may be reasonably required pursuant to the terms of the proposed
Facility Letter of Credit (it being understood that if any inconsistency exists
between such documents and the Loan Documents, the terms of the Loan Documents
shall control) and the proposed Facility Letter of Credit shall be reasonably
satisfactory to the Issuing Bank as to form and content;

 

(b)           as of the date of issuance, no order, judgment or decree of any court,
arbitrator or governmental authority shall purport by its terms to enjoin or
restrain the Issuing Bank from issuing the requested Facility Letter of Credit
and no law, rule or regulation applicable to the Issuing Bank and no
request or directive (whether or not having the force of law) from any
governmental authority with jurisdiction over the Issuing Bank shall prohibit
or request that the Issuing Bank refrain from the issuance of Letters of Credit
generally or the issuance of the requested Facility Letter or Credit in
particular; and

 

(c)           there shall not exist any Default or Unmatured Default.

 

2A.4        Procedure for Issuance of
Facility Letters of Credit.

 

(a)           Borrower shall give the Issuing Bank and the Administrative Agent at
least three (3) Business Days’ prior written notice of any requested
issuance of a Facility Letter of Credit under this Agreement (a “Letter of
Credit Request”), such notice shall be irrevocable, except as provided in Section 2A.4(b)(i) below,
and shall specify:

 

25

 

(i)            the stated amount of the
Facility Letter of Credit requested (which stated amount shall not be less than
$50,000);

 

(ii)           the effective date (which
day shall be a Business Day) of issuance of such requested Facility Letter of
Credit (the “Issuance Date”);

 

(iii)          the date on which such
requested Facility Letter of Credit is to expire (which day shall be a Business
Day which is not less than sixty (60) days prior to the Facility Termination
Date);

 

(iv)          the purpose for which such
Facility Letter of Credit is to be issued;

 

(v)           the Person for whose benefit
the requested Facility Letter of Credit is to be issued; and

 

(vi)          any special language
required to be included in the Facility Letter of Credit.

 

At
the time such request is made, the Borrower shall also provide the
Administrative Agent and the Issuing Bank with a copy of the form of the
Facility Letter of Credit that the Borrower is requesting be issued and shall
execute and deliver the Issuing Bank’s customary letter of credit application
with respect thereto.  Such notice, to be
effective, must be received by such Issuing Bank and the Administrative Agent
not later than noon (Cleveland time) on the last Business Day on which notice
can be given under this Section 2A.4(a).

 

(b)           Subject to the terms and conditions of this Article IIA and
provided that the applicable conditions set forth in Article IV
hereof have been satisfied, the Issuing Bank shall, on the Issuance Date, issue
a Facility Letter of Credit on behalf of the Borrower in accordance with the
Letter of Credit Request and the Issuing Bank’s usual and customary business
practices unless the Issuing Bank has actually received (i) written notice
from the Borrower specifically revoking the Letter of Credit Request with
respect to such Facility Letter of Credit given not later than the Business Day
immediately preceding the Issuance Date, or (ii) written or telephonic
notice from the Administrative Agent stating that the issuance of such Facility
Letter of Credit would violate Section 2A.2.

 

(c)           The Issuing Bank shall give the Administrative Agent (who shall
promptly notify Lenders) and the Borrower written or telex notice, or
telephonic notice confirmed promptly thereafter in writing, of the issuance of
a Facility Letter of Credit (the “Issuance Notice”).

 

(d)           The Issuing Bank shall not extend or amend any Facility Letter of
Credit unless the requirements of this Section 2A.4 are met as
though a new Facility Letter of Credit was being requested and issued.

 

2A.5        Reimbursement Obligations;
Duties of Issuing Bank.

 

(a)           The Issuing Bank shall promptly notify the Borrower and the
Administrative Agent (who shall promptly notify Lenders) of any draw under a
Facility Letter of Credit.  Any such draw
shall not be deemed to be a default hereunder but shall constitute an Advance
of the Facility in the amount of the Reimbursement Obligation with respect to
such Facility Letter of Credit and shall bear interest from the date of the
relevant drawing(s) under the pertinent Facility Letter of Credit at the
Floating Rate Advance; provided that if a Default or an Unmatured
Default exists at the time of any such drawing(s), then the Borrower shall
reimburse the Issuing Bank for drawings under a Facility Letter of Credit issued
by the Issuing Bank no later than the next succeeding Business Day after the
payment by the Issuing Bank and until repaid such Reimbursement Obligation
shall bear interest at the Default Rate.

 

26

 

(b)           Any action taken or omitted to be taken by the Issuing Bank under or in
connection with any Facility Letter of Credit, if taken or omitted in the
absence of willful misconduct or gross negligence, shall not put the Issuing
Bank under any resulting liability to any Lender or, provided that such
Issuing Bank has complied with the procedures specified in Section 2A.4,
relieve any Lender of its obligations hereunder to the Issuing Bank.  In determining whether to pay under any
Facility Letter of Credit, the Issuing Bank shall have no obligation relative
to the Lenders other than to confirm that any documents required to be
delivered under such Letter of Credit appear to have been delivered in
compliance, and that they appear to comply on their face, with the requirements
of such Letter of Credit.

 

2A.6        Participation.

 

(a)           Immediately upon issuance by the Issuing Bank of any Facility Letter of
Credit in accordance with the procedures set forth in this Article IIA,
each Lender shall be deemed to have irrevocably and unconditionally purchased
and received from the Issuing Bank, without recourse, representation or
warranty, an undivided interest and participation equal to such Lender’s
Percentage in such Facility Letter of Credit (including, without limitation,
all obligations of the Borrower with respect thereto) and all related rights
hereunder.  Each Lender’s obligation to
make further Loans to Borrower (other than any payments such Lender is required
to make under subparagraph (b) below) or to purchase an interest from the
Issuing Bank in any subsequent Facility Letters of Credit issued by the Issuing
Bank on behalf of Borrower shall be reduced by such Lender’s Percentage of the
undrawn portion of each Facility Letter of Credit outstanding.

 

(b)           In the event that the Issuing Bank makes any payment under any Facility
Letter of Credit and the Borrower shall not have repaid such amount to the
Issuing Bank pursuant to Section 2A.7 hereof, the Issuing Bank
shall promptly notify the Administrative Agent, which shall promptly notify
each Lender of such failure, and each Lender shall promptly and unconditionally
pay to the Administrative Agent for the account of the Issuing Bank the amount
of such Lender’s Percentage of the unreimbursed amount of such payment, and the
Administrative Agent shall promptly pay such amount to the Issuing Bank.  Lender’s payments of its Percentage of such
Reimbursement Obligation as aforesaid shall be deemed to be a Loan by such
Lender and shall constitute outstanding principal under such Lender’s Note.  The failure of any Lender to make available
to the Administrative Agent for the account of the Issuing Bank its Percentage
of the unreimbursed amount of any such payment shall not relieve any other
Lender of its obligation hereunder to make available to the Administrative
Agent for the account of such Issuing Bank its Percentage of the unreimbursed
amount of any payment on the date such payment is to be made, but no Lender
shall be responsible for the failure of any other Lender to make available to the
Administrative Agent its Percentage of the unreimbursed amount of any payment
on the date such payment is to be made. 
Any Lender which fails to make any payment required pursuant to this Section 2A.6(b) shall
be deemed to be a Defaulting Lender hereunder.

 

(c)           Whenever the Issuing Bank receives a payment on account of a
Reimbursement Obligation, including any interest thereon, the Issuing Bank
shall promptly pay to the Administrative Agent and the Administrative Agent
shall promptly (on the same day as received by the Administrative Agent if
received prior to noon (Cleveland time) on such day and otherwise on the next
Business Day) pay to each Lender which has funded its participating interest
therein, in immediately available funds, an amount equal to such Lender’s
Percentage thereof.

 

(d)           Upon the request of the Administrative Agent or any Lender, the Issuing
Bank shall furnish to such Administrative Agent or Lender copies of any
Facility Letter of Credit to which the Issuing Bank is party and such other
documentation as may reasonably be requested by the Administrative Agent or
Lender.

 

27

 

(e)           The obligations of a Lender to make
payments to the Administrative Agent for the account of the Issuing Bank with
respect to a Facility Letter of Credit shall be absolute, unconditional and
irrevocable, not subject to any counterclaim, set off, qualification or
exception whatsoever other than a failure of any such Issuing Bank to comply
with the terms of this Agreement relating to the issuance of such Facility
Letter of Credit, and such payments shall be made in accordance with the terms
and conditions of this Agreement under all circumstances.

 

2A.7        Payment of Reimbursement Obligations.

 

(a)           The Borrower agrees to pay to the
Administrative Agent for the account of the Issuing Bank the amount of all
Advances for Reimbursement Obligations, interest and other amounts payable to
the Issuing Bank under or in connection with any Facility Letter of Credit when
due, irrespective of any claim, set off, defense or other right which the
Borrower may have at any time against any Issuing Bank or any other Person, under
all circumstances, including without limitation any of the following
circumstances:

 

(i)            any lack of validity or enforceability of this Agreement
or any of the other Loan Documents;

 

(ii)           the existence of any claim, setoff, defense or other right
which the Borrower may have at any time against a beneficiary named in a
Facility Letter of Credit or any transferee of any Facility Letter of Credit
(or any Person for whom any such transferee may be acting), the Administrative
Agent, the Issuing Bank, any Lender, or any other Person, whether in connection
with this Agreement, any Facility Letter of Credit, the transactions
contemplated herein or any unrelated transactions (including any underlying
transactions between the Borrower and the beneficiary named in any Facility
Letter of Credit);

 

(iii)          any draft, certificate or any other document presented
under the Facility Letter of Credit proving to be forged, fraudulent, invalid
or insufficient in any respect of any statement therein being untrue or
inaccurate in any respect;

 

(iv)          the surrender or impairment of any security for the
performance or observance of any of the terms of any of the Loan Documents; or

 

(v)           the occurrence of any Default or Unmatured Default.

 

(b)           In the event any payment by the
Borrower received by the Issuing Bank or the Administrative Agent with respect
to a Facility Letter of Credit and distributed by the Administrative Agent to
the Lenders on account of their participations is thereafter set aside, avoided
or recovered from the Administrative Agent or Issuing Bank in connection with
any receivership, liquidation, reorganization or bankruptcy proceeding, each
Lender which received such distribution shall, upon demand by the
Administrative Agent, contribute such Lender’s Percentage of the amount set
aside, avoided or recovered together with interest at the rate required to be
paid by the Issuing Bank or the Administrative Agent upon the amount required
to be repaid by the Issuing Bank or the Administrative Agent.

 

2A.8        Compensation for Facility Letters of Credit.

 

(a)           The Borrower shall pay to the
Administrative Agent, for the ratable account of the Lenders (including the
Issuing Bank), based upon the Lenders’ respective Percentages, a per annum fee
(the “Facility Letter of Credit Fee”) as a percentage of the face amount
of each Facility Letter of Credit outstanding equal to the LIBOR Applicable
Margin in effect from time to time hereunder while such Facility Letter of
Credit is outstanding.  The Facility
Letter of Credit Fee relating to any Facility Letter of Credit shall accrue on
a daily basis and shall be due and payable in arrears on the first Business

 

28

 

Day of each calendar
quarter following the issuance of such Facility Letter of Credit and, to the
extent any such fees are then due and unpaid, on the Facility Termination Date
or any other earlier date that the Obligations are due and payable in
full.  The Administrative Agent shall
promptly (on the same day as received by the Administrative Agent if received
prior to noon (Cleveland time) on such day and otherwise on the next Business
Day) remit such Facility Letter of Credit Fees, when paid, to the other Lenders
in accordance with their Percentages thereof. 
The Borrower shall not have any liability to any Lender for the failure
of the Administrative Agent to promptly deliver funds to any such Lender and
shall be deemed to have made all such payments on the date the respective
payment is made by the Borrower to the Administrative Agent, provided such
payment is received by the time specified in Section 2.15 hereof.

 

(b)           The Issuing Bank also shall have the
right to receive solely for its own account an issuance fee equal to the
greater of (A) $1,500 or (B) one eighth of one percent (0.125%) per
annum to be calculated on the face amount of each Facility Letter of Credit for
the stated duration thereof, based on the actual number of days and using a
360-day year basis.  The issuance fee
shall be payable by the Borrower on the Issuance Date for each such Facility
Letter of Credit and on the date of any increase therein or extension
thereof.  The Issuing Bank shall also be
entitled to receive its reasonable out of pocket costs and the Issuing Bank’s
standard charges of issuing, amending and servicing Facility Letters of Credit
and processing draws thereunder.

 

2A.9        Letter of Credit Collateral Account.  The Borrower hereby agrees that it will
immediately upon the request of the Administrative Agent, establish a special
collateral account (the “Letter of Credit Collateral Account”) at the
Administrative Agent’s office at the address specified pursuant to Article XIII,
in the name of the Borrower but under the sole dominion and control of the
Administrative Agent, for the benefit of the Lenders, and in which the Borrower
shall have no interest other than as set forth in Section 8.1.  The Letter of Credit Collateral Account shall
hold the deposits the Borrower is required to make after a Default on account
of any outstanding Facility Letters of Credit as described in Section 8.1.  In addition to the foregoing, the Borrower
hereby grants to the Administrative Agent, for the benefit of the Lenders, a
security interest in and to the Letter of Credit Collateral Account and any
funds that may hereafter be on deposit in such account, including income earned
thereon.  The Lenders acknowledge and
agree that the Borrower has no obligation to fund the Letter of Credit
Collateral Account unless and until so required under Section 8.1
hereof.

 

ARTICLE III

 

CHANGE IN
CIRCUMSTANCES

 

3.1.          Yield
Protection.  If, on or
after the date of this Agreement, the adoption of any law or any governmental
or quasi-governmental rule, regulation, policy, guideline or directive (whether
or not having the force of law), or any change in the interpretation or
administration thereof by any governmental or quasi-governmental authority,
central bank or comparable agency charged with the interpretation or
administration thereof, or compliance by any Lender or applicable Lending
Installation with any request or directive (whether or not having the force of
law) of any such authority, central bank or comparable agency:

 

(a)           subjects any Lender or any applicable
Lending Installation to any Taxes, or changes the basis of taxation of payments
(other than with respect to Excluded Taxes) to any Lender in respect of its
LIBOR Loans, or

 

(b)           imposes or increases or deems
applicable any reserve, assessment, insurance charge, special deposit or
similar requirement against assets of, deposits with or for the account of, or 

 

29

 

credit extended by, any
Lender or any applicable Lending Installation (other than reserves and
assessments taken into account in determining the interest rate applicable to
Fixed Rate Advances), or

 

(c)           imposes any other condition the
result of which is to increase the cost to any Lender or any applicable Lending
Installation of making, funding or maintaining its Fixed Rate Loans, or reduces
any amount receivable by any Lender or any applicable Lending Installation in
connection with its Fixed Rate Loans, or requires any Lender or any applicable
Lending Installation to make any payment calculated by reference to the amount
of Fixed Rate Loans, by an amount deemed material by such Lender as the case
may be, and the result of any of the foregoing is to increase the cost to such
Lender or applicable Lending Installation, as the case may be, of making or
maintaining its Fixed Rate Loans or Commitment or to reduce the return received
by such Lender or applicable Lending Installation in connection with such Fixed
Rate Loans or Commitment, then, within 15 days of demand by such Lender or the
Borrower shall pay such Lender such additional amount or amounts as will
compensate such Lender for such increased cost or reduction in amount received.

 

3.2.          Changes
in Capital Adequacy Regulations.  If a Lender in good faith determines the
amount of capital required or expected to be maintained by such Lender, any
Lending Installation of such Lender or any corporation controlling such Lender
is increased as a result of a Change (as hereinafter defined), then, within 15
days of demand by such Lender, the Borrower shall pay such Lender the amount
necessary to compensate for any shortfall in the rate of return on the portion
of such increased capital which such Lender in good faith determines is
attributable to this Agreement, its outstanding credit exposure hereunder or
its obligation to make Loans hereunder (after taking into account such Lender’s
policies as to capital adequacy).  “Change”
means (i) any change after the date of this Agreement in the Risk Based
Capital Guidelines (as hereinafter defined) or (ii) any adoption of or
change in any other law, governmental or quasi governmental rule, regulation,
policy, guideline, interpretation, or directive (whether or not having the
force of law) after the date of this Agreement which affects the amount of
capital required or expected to be maintained by any Lender or any Lending
Installation or any corporation controlling any Lender.  “Risk Based Capital Guidelines” means (i) the
risk based capital guidelines in effect in the United States on the date of
this Agreement, including transition rules, and (ii) the corresponding
capital regulations promulgated by regulatory authorities outside the United
States implementing the June 2006 report of the Basel Committee on Banking
Regulation and Supervisory Practices Entitled “Basel II: International
Convergence of Capital Measurements and Capital Standards: A Revised Framework,”
including transition rules, and any amendments to such regulations adopted
prior to the Agreement Execution Date.

 

3.3.          Availability
of Types of Advances.  If any
Lender in good faith determines that maintenance of any of its Fixed Rate Loans
at a suitable Lending Installation would violate any applicable law, rule,
regulation or directive, whether or not having the force of law, the
Administrative Agent shall, with written notice to Borrower, suspend the
availability of the affected Type of Advance and require any Fixed Rate
Advances of the affected Type to be repaid; or if the Required Lenders in good
faith determine that (i) deposits of a type or maturity appropriate to
match fund Fixed Rate Advances are not available, the Administrative Agent
shall, with written notice to Borrower, suspend the availability of the
affected Type of Advance with respect to any Fixed Rate Advances made after the
date of any such determination, or (ii) an interest rate applicable to a
Type of Advance does not accurately reflect the cost of making a Fixed Rate
Advance of such Type, then, if for any reason whatsoever the provisions of Section 3.1
are inapplicable, the Administrative Agent shall, with written notice to
Borrower, suspend the availability of the affected Type of Advance with respect
to any Fixed Rate Advances made after the date of any such determination.  If the Borrower is required to so repay a
Fixed Rate Advance, the Borrower may concurrently with such repayment borrow
from the Lenders, in the amount of such repayment, a Loan bearing interest at
the Alternate Base Rate.

 

30

 

3.4.          Funding
Indemnification.  If any
payment of a ratable Fixed Rate Advance occurs on a date which is not the last
day of the applicable Interest Period, whether because of acceleration,
prepayment or otherwise, or a ratable Fixed Rate Advance is not made on the
date specified by the Borrower for any reason other than default by the Lenders
or as a result of unavailability pursuant to Section 3.3, the
Borrower will indemnify each Lender for any loss or cost incurred by it
resulting therefrom, including, without limitation, any loss or cost (incurred
or expected to be incurred) in liquidating or employing deposits acquired to
fund or maintain the ratable Fixed Rate Advance and shall pay all such losses
or costs within fifteen (15) days after written demand therefor.

 

3.5.          Taxes.

 

(a)           All payments by the Borrower to or
for the account of any Lender or the Administrative Agent hereunder or under
any Note shall be made free and clear of and without deduction for any and all
Taxes.  If the Borrower shall be required
by law to deduct any Taxes from or in respect of any sum payable hereunder to
any Lender or the Administrative Agent, (a) the sum payable shall be
increased as necessary so that after making all required deductions (including
deductions applicable to additional sums payable under this Section 3.5)
such Lender or the Administrative Agent (as the case may be) receives an amount
equal to the sum it would have received had no such deductions been made, (b) the
Borrower shall make such deductions, (c) the Borrower shall pay the full
amount deducted to the relevant authority in accordance with applicable law and
(d) the Borrower shall furnish to the Administrative Agent the original
copy of a receipt evidencing payment thereof within 30 days after such payment
is made.

 

(b)           In addition, the Borrower hereby
agrees to pay any present or future stamp or documentary taxes and any other
excise or property taxes, charges or similar levies which arise from any
payment made hereunder or under any Note or from the execution or delivery of,
or otherwise with respect to, this Agreement or any Note (“Other Taxes”).

 

(c)           The Borrower hereby agrees to indemnify
the Administrative Agent and each Lender for the full amount of Taxes or Other
Taxes (including, without limitation, any Taxes or Other Taxes imposed on
amounts payable under this Section 3.5) paid by the Administrative
Agent or such Lender and any liability (including penalties, interest and
expenses) arising therefrom or with respect thereto.  Payments due under this indemnification shall
be made within 30 days of the date the Administrative Agent or such Lender
makes demand therefor pursuant to Section 3.6.

 

(d)           Each Lender that is not incorporated
under the laws of the United States of America or a state thereof (each a “Non-U.S.
Lender”) agrees that it will, not more than ten Business Days after the
date of this Agreement, (i) deliver to each of the Borrower and the
Administrative Agent two duly completed copies of United States Internal
Revenue Service Form W-8BEN or W-8ECI, certifying in either case that such
Lender is entitled to receive payments under this Agreement without deduction
or withholding of any United States federal income taxes, and (ii) deliver
to each of the Borrower and the Administrative Agent a United States Internal
Revenue Form W-8 or W-9, as the case may be, and certify that it is
entitled to an exemption from United States backup withholding tax.  Each Non-U.S. Lender further undertakes to
deliver to each of the Borrower and the Administrative Agent (x) renewals
or additional copies of such form (or any successor form) on or before the date
that such form expires or becomes obsolete, and (y) after the occurrence
of any event requiring a change in the most recent forms so delivered by it,
such additional forms or amendments thereto as may be reasonably requested by
the Borrower or the Administrative Agent. 
All forms or amendments described in the preceding sentence shall
certify that such Lender is entitled to receive payments under this Agreement
without deduction or withholding of any United States federal income taxes, unless an event (including without limitation any change in
treaty, law or regulation) has occurred prior to the date on which any such
delivery would otherwise be required which renders all such forms inapplicable
or which would

 

31

 

prevent such Lender from duly
completing and delivering any such form or amendment with respect to it and
such Lender advises the Borrower and the Administrative Agent that it is not
capable of receiving payments without any deduction or withholding of United
States federal income tax.

 

(e)           For any period during which a
Non-U.S. Lender has failed to provide the Borrower with an appropriate form
pursuant to clause (d), above (unless such failure is due to a change in
treaty, law or regulation, or any change in the interpretation or administration
thereof by any governmental authority, occurring subsequent to the date on
which a form originally was required to be provided), such Non-U.S. Lender
shall not be entitled to indemnification under this Section 3.5
with respect to Taxes imposed by the United States.

 

(f)            Any Lender that is entitled to an
exemption from or reduction of withholding tax with respect to payments under
this Agreement or any Note pursuant to the law of any relevant jurisdiction or
any treaty shall deliver to the Borrower (with a copy to the Administrative
Agent), at the time or times prescribed by applicable law, such properly
completed and executed documentation prescribed by applicable law as will
permit such payments to be made without withholding or at a reduced rate
following receipt of such documentation.

 

(g)           If the U.S. Internal Revenue Service
or any other governmental authority of the United States or any other country
or any political subdivision thereof asserts a claim that the Administrative
Agent did not properly withhold tax from amounts paid to or for the account of
any Lender (because the appropriate form was not delivered or properly
completed, because such Lender failed to notify the Administrative Agent of a
change in circumstances which rendered its exemption from withholding
ineffective, or for any other reason), such Lender shall indemnify the
Administrative Agent fully for all amounts paid, directly or indirectly, by the
Administrative Agent as tax, withholding therefor, or otherwise, including penalties
and interest, and including taxes imposed by any jurisdiction on amounts
payable to the Administrative Agent under this subsection, together with all
costs and expenses related thereto (including attorneys fees and time charges
of attorneys for the Administrative Agent, which attorneys may be employees of
the Administrative Agent).  The
obligations of the Lenders under this Section 3.5(g) shall
survive the payment of the Obligations and termination of this Agreement and
any such Lender obligated to indemnify the Administrative Agent shall not be
entitled to indemnification from the Borrower with respect to such amounts,
whether pursuant to this Article or otherwise, except to the extent the
Borrower participated in the actions giving rise to such liability.

 

3.6.          Lender
Statements; Survival of Indemnity.  To the extent reasonably possible, each
Lender shall designate an alternate Lending Installation with respect to its
Fixed Rate Loans to reduce any liability of the Borrower to such Lender under Sections
3.1, 3.2 and 3.5 or to avoid the unavailability of Fixed Rate
Advances under Section 3.3, so long as such designation is not, in
the reasonable judgment of such Lender, disadvantageous to such Lender.  Each Lender shall deliver a written statement
of such Lender to the Borrower (with a copy to the Administrative Agent) as to
the amount due, if any, under Sections 3.1, 3.2, 3.4 or 3.5.  Such written statement shall set forth in
reasonable detail the calculations upon which such Lender determined such amount
and shall be final, conclusive and binding on the Borrower in the absence of
manifest error.  Determination of amounts
payable under such Sections in connection with a Fixed Rate Loan shall be
calculated as though each Lender funded its Fixed Rate Loan through the
purchase of a deposit of the type and maturity corresponding to the deposit
used as a reference in determining the Fixed Rate applicable to such Loan,
whether in fact that is the case or not. 
Unless otherwise provided herein, the amount specified in the written
statement of any Lender shall be payable on demand after receipt by the
Borrower of such written statement.  The
obligations of the Borrower under Sections 3.1, 3.2, 3.4
and 3.5 shall survive payment of the Obligations and termination of this
Agreement.

 

32

 

ARTICLE IV

 

CONDITIONS
PRECEDENT

 

4.1.          Initial
Advance.  The Lenders shall not be
required to make the initial Advance hereunder or issue the initial Facility
Letter of Credit hereunder, unless (a) the Borrower shall, prior to or
concurrently with such initial Advance, have paid all fees due and payable to
the Lenders and the Administrative Agent hereunder, and (b) the Borrower
shall have furnished to the Administrative Agent, the following:

 

(a)           The duly executed originals of the
Loan Documents, including the Notes payable to the order of each of the
Lenders, this Agreement and the Subsidiary Guaranty;

 

(b)           (i) Certificates of good
standing for the Borrower and each Subsidiary Guarantor, from the State of
Maryland for the Borrower and the states of organization of each Subsidiary
Guarantor, certified by the appropriate governmental officer and dated not more
than thirty (30) days prior to the Agreement Execution Date, and (ii) foreign
qualification certificates for the Borrower and each Subsidiary Guarantor,
certified by the appropriate governmental officer and dated not more than
thirty (30) days prior to the Agreement Execution Date, for each other
jurisdiction where the failure of the Borrower or such Subsidiary Guarantor to
so qualify or be licensed (if required) would have a Material Adverse Effect;

 

(c)           Copies of the formation documents
(including code of regulations, if appropriate) of the Borrower and the
Subsidiary Guarantors, certified by an officer of the Borrower or such
Subsidiary Guarantor, as appropriate, together with all amendments thereto;

 

(d)           Incumbency certificates, executed by
officers of the Borrower and the Subsidiary Guarantors, which shall identify by
name and title and bear the signature of the Persons authorized to sign the
Loan Documents and to make borrowings hereunder on behalf of the Borrower, upon
which certificate the Administrative Agent and the Lenders shall be entitled to
rely until informed of any change in writing by the Borrower or any such
Subsidiary Guarantor;

 

(e)           Copies, certified by a Secretary or
an Assistant Secretary of the Borrower and each Subsidiary Guarantor, of the
Board of Directors’ resolutions (and resolutions of other bodies, if any are
reasonably deemed necessary by counsel for any Lender) authorizing the Advances
provided for herein, with respect to the Borrower, and the execution, delivery
and performance of the Loan Documents to be executed and delivered by the
Borrower and each Subsidiary Guarantor hereunder;

 

(f)            A written opinion of the Borrower’s
and Subsidiary Guarantors’ counsel, addressed to the Lenders in substantially
the form of Exhibit H hereto or such other form as the
Administrative Agent may reasonably approve;

 

(g)           A certificate, signed by an officer
of the Borrower, stating that on the initial Borrowing Date (a) no Default
or Unmatured Default has occurred and is continuing, (b) all
representations and warranties of the Borrower are true and correct, (c) neither
Borrower nor any Subsidiary Guarantor has suffered any material adverse
changes, and (d) no action, suit, investigation or proceeding, pending or
threatened, exists in any court or before any arbitrator or governmental
authority that purports to materially and adversely affect the Borrower,
Guarantors or subsidiary or any transaction contemplated hereby, or that could
have a material adverse effect on the Borrower, Subsidiary Guarantors or
subsidiary or any transaction contemplated hereby or on the ability of the
Borrower, Subsidiary Guarantors or subsidiary of either one to perform its
obligations under the Loan Documents, provided that such certificate is in fact
true and correct;

 

33

 

(h)           The most recent financial statements
of the Borrower;

 

(i)            UCC financing statement, judgment,
and tax lien searches with respect to the Borrower from its state of
organization and principal place of business;

 

(j)            Written money transfer instructions,
in substantially the form of Exhibit E hereto, addressed to the
Administrative Agent and signed by an Authorized Officer, together with such
other related money transfer authorizations as the Administrative Agent may
have reasonably requested;

 

(k)           Evidence that all upfront fees due to
each of the Lenders under the terms of their respective commitment letters have
been paid, or will be paid out of the proceeds of the initial Advances
hereunder;

 

(l)            A compliance certificate pursuant to
Section 6.1(e);

 

(m)          A certificate, in substantially the
form of Exhibit J attached hereto, signed by an officer of the
Borrower, certifying the Unencumbered Asset Value; and

 

(n)           Such other documents as any Lender or
its counsel may have reasonably requested, the form and substance of which
documents shall be reasonably acceptable to the parties and their respective
counsel.

 

4.2.          Each
Advance and Issuance.  The Lenders
shall not be required to make any Advance or issue any Facility Letter of
Credit unless on the applicable Borrowing Date:

 

(a)           There exists no Default or Unmatured
Default;

 

(b)           The representations and warranties
contained in Article V are true and correct as of such Borrowing
Date with respect to Borrower and to any Subsidiary in existence on such
Borrowing Date, except to the extent any such representation or warranty is
stated to relate solely to an earlier date, in which case such representation
or warranty shall be true and correct on and as of such earlier date; and

 

(c)           All legal matters incident to the
making of such Advance or issuance of such Facility Letter of Credit shall be
satisfactory to the Lenders and their counsel.

 

Each
Borrowing Notice and each Letter of Credit Request with respect to each such
Advance shall constitute a representation and warranty by the Borrower that the
conditions contained in Sections 4.2(a) and (b) have
been satisfied.

 

ARTICLE V

 

REPRESENTATIONS
AND WARRANTIES

 

The
Borrower represents and warrants to the Lenders that:

 

5.1.          Existence.  Borrower is a corporation duly organized and
validly existing under the laws of the State of Maryland, with its principal
place of business in Oak Brook, Illinois and is duly qualified as a
foreign corporation, properly licensed (if required), in good standing and has
all requisite authority to conduct its business in each jurisdiction in which
its business is conducted, except where the failure to be so qualified,
licensed and in good standing and to have the requisite authority would not
have a Material Adverse Effect.  Each of
Borrower’s Subsidiaries is duly incorporated, validly existing and in good
standing under the laws of its jurisdiction of incorporation and has all
requisite authority to conduct its business in each jurisdiction in which its
business is conducted.

 

34

 

5.2.          Authorization
and Validity.  The
Borrower has the corporate power and authority and legal right to execute and
deliver the Loan Documents and to perform its obligations thereunder.  The execution and delivery by the Borrower of
the Loan Documents and the performance of its obligations thereunder have been
duly authorized by proper corporate proceedings, and the Loan Documents
constitute legal, valid and binding obligations of the Borrower enforceable
against the Borrower in accordance with their terms, except as enforceability
may be limited by bankruptcy, insolvency or similar laws affecting the
enforcement of creditors’ rights generally.

 

5.3.          No
Conflict; Government Consent.  Neither the execution and delivery by the
Borrower of the Loan Documents, nor the consummation of the transactions
therein contemplated, nor compliance with the provisions thereof will violate
any law, rule, regulation, order, writ, judgment, injunction, decree or award
binding on the Borrower or any of its Subsidiaries or the Borrower’s or any
Subsidiary’s articles of incorporation or by-laws, or the provisions of any
indenture, instrument or agreement to which the Borrower or any of its
Subsidiaries is a party or is subject, or by which it, or its Property, is
bound, or conflict with or constitute a default thereunder, except where such
violation, conflict or default would not have a Material Adverse Effect, or
result in the creation or imposition of any Lien in, of or on the Property of
the Borrower or a Subsidiary pursuant to the terms of any such indenture,
instrument or agreement.  No order,
consent, approval, license, authorization, or validation of, or filing,
recording or registration with, or exemption by, any governmental or public
body or authority, or any subdivision thereof, is required to authorize, or is
required in connection with the execution, delivery and performance of, or the
legality, validity, binding effect or enforceability of, any of the Loan
Documents other than the filing of a copy of this Agreement.

 

5.4.          Financial
Statements; Material Adverse Effect.  All consolidated financial statements of the
Borrower and its Subsidiaries heretofore or hereafter delivered to the Lenders
were prepared in accordance with GAAP in effect on the preparation date of such
statements and fairly present in all material respects the consolidated
financial condition and operations of the Borrower and its Subsidiaries at such
date and the consolidated results of their operations for the period then
ended, subject, in the case of interim financial statements, to normal and
customary year-end adjustments.  From the
preparation date of the most recent financial statements delivered to the
Lenders through the Agreement Execution Date, there was no change in the
business, properties, or condition (financial or otherwise) of the Borrower and
its Subsidiaries which could reasonably be expected to have a Material Adverse
Effect.

 

5.5.          Taxes.  The Borrower and its Subsidiaries have filed
all United States federal tax returns and all other tax returns which are
required to be filed and have paid all taxes due pursuant to said returns or
pursuant to any assessment received by the Borrower or any of its Subsidiaries
except such taxes, if any, as are being contested in good faith and as to which
adequate reserves have been provided.  No
tax liens have been filed and no claims are being asserted with respect to such
taxes.  The charges, accruals and
reserves on the books of the Borrower and its Subsidiaries in respect of any
taxes or other governmental charges are adequate.

 

5.6.          Litigation
and Guarantee Obligations. 
Except as set forth on Schedule 3 hereto or as set forth in
written notice to the Administrative Agent from time to time, there is no
litigation, arbitration, governmental investigation, proceeding or inquiry
pending or, to the knowledge of any of their officers, threatened against or
affecting the Borrower or any of its Subsidiaries which could reasonably be
expected to have a Material Adverse Effect. 
The Borrower has no material contingent obligations not provided for or
disclosed in the financial statements referred to in Section 6.1 or
as set forth in written notices to the Administrative Agent given from time to
time after the Agreement Execution Date on or about the date such material
contingent obligations are incurred.

 

5.7.          Subsidiaries;
Investment Affiliates.  Schedule
1 hereto contains, an accurate list of all Subsidiaries of the Borrower
(which are not Subsidiary Guarantors as of the Agreement Execution Date), 

 

35

 

setting forth their respective jurisdictions of
incorporation or formation and the percentage of their respective capital stock
or partnership or membership interest owned by the Borrower or other
Subsidiaries.  All of the issued and
outstanding shares of capital stock of all Subsidiaries that are corporations
have been duly authorized and issued and are fully paid and
non-assessable.  There are no outstanding
subscriptions, options, warrants, commitments, preemptive rights or agreements
of any kind (including, without limitation, any stockholders’ or voting trust
agreements) for the issuance, sale, registration or voting of, or outstanding
securities convertible into, any additional shares of capital stock of any class,
or partnership or other ownership interests of any type in, any
Subsidiary.  Schedule 6 hereto
contains an accurate list of all Investment Affiliates of Borrower, including
the correct legal name of such Investment Affiliate, the type of legal entity which
each such Investment Affiliate is, and the type and amount of all equity
interests in such Investment Affiliate held directly or indirectly by Borrower.

 

5.8.          ERISA.  The Unfunded Liabilities of all Single
Employer Plans do not in the aggregate exceed $1,000,000.  Neither the Borrower nor any other member of
the Controlled Group has incurred, or is reasonably expected to incur, any
withdrawal liability to Multiemployer Plans in excess of $250,000 in the
aggregate.  Each Plan complies in all
material respects with all applicable requirements of law and regulations, no
Reportable Event has occurred with respect to any Plan, neither the Borrower
nor any other members of the Controlled Group has withdrawn from any Plan or
initiated steps to do so, and no steps have been taken to reorganize or
terminate any Plan.

 

5.9.          Accuracy
of Information.  No
information, exhibit or report furnished by the Borrower or any of its
Subsidiaries to the Administrative Agent or to any Lender in connection with
the negotiation of, or compliance with, the Loan Documents contained any
material misstatement of fact or omitted to state a material fact or any fact
necessary to make the statements contained therein not misleading.

 

5.10.        Regulation
U.  The Borrower has not used the
proceeds of any Advance to buy or carry any margin stock (as defined in
Regulation U) in violation of the terms of this Agreement.

 

5.11.        Material
Agreements.  Neither the
Borrower nor any Subsidiary is in default in the performance, observance or
fulfillment of any of the obligations, covenants or conditions contained in (i) any
agreement to which it is a party, which default could have a Material Adverse
Effect, or (ii) any agreement or instrument evidencing or governing
Indebtedness, which default would constitute a Default hereunder.

 

5.12.        Compliance
With Laws.  The
Borrower and its Subsidiaries have complied with all applicable statutes,
rules, regulations, orders and restrictions of any domestic or foreign
government or any instrumentality or agency thereof, having jurisdiction over
the conduct of their respective businesses or the ownership of their respective
Property, except for any non-compliance which would not have a Material Adverse
Effect.  Neither the Borrower nor any
Subsidiary has received any notice to the effect that its operations are not in
material compliance with any of the requirements of applicable federal, state
and local environmental, health and safety statutes and regulations or the
subject of any federal or state investigation evaluating whether any remedial
action is needed to respond to a release of any toxic or hazardous waste or
substance into the environment, which non-compliance or remedial action could
have a Material Adverse Effect.

 

5.13.        Ownership
of Properties.  Except as
set forth on Schedule 2 hereto, on the date of this Agreement, the
Borrower and its Subsidiaries will have good and marketable title, free of all
Liens other than those permitted by Section 6.16, to all of the
Property and assets reflected in the financial statements as owned by it.

 

36

 

5.14.        Investment
Company Act.  Neither the
Borrower nor any Subsidiary is an “investment company” or a company “controlled”
by an “investment company”, within the meaning of the Investment Company Act of
1940, as amended.

 

5.15.        Affiliate
Transactions.  Except as
permitted by Section 6.17, neither the Borrower, nor any of its
Subsidiaries is a party to or bound by any agreement or arrangement (whether
oral or written) to which any Affiliate of Borrower or any of its Subsidiaries
is a party.

 

5.16.        Solvency.

 

(a)           Immediately after the Agreement
Execution Date and immediately following the making of each Loan and after
giving effect to the application of the proceeds of such Loans, (a) the
fair value of the assets of the Borrower and its Subsidiaries on a consolidated
basis, at a fair valuation, will exceed the debts and liabilities,
subordinated, contingent or otherwise, of the Borrower and its Subsidiaries on
a consolidated basis; (b) the present fair saleable value of the Property
of the Borrower and its Subsidiaries on a consolidated basis will be greater
than the amount that will be required to pay the probable liability of the
Borrower and its Subsidiaries on a consolidated basis on their debts and other
liabilities, subordinated, contingent or otherwise, as such debts and other
liabilities become absolute and matured; (c) the Borrower and its
Subsidiaries on a consolidated basis will be able to pay their debts and
liabilities, subordinated, contingent or otherwise, as such debts and
liabilities become absolute and matured; and (d) the Borrower and its
Subsidiaries on a consolidated basis will not have unreasonably small capital
with which to conduct the businesses in which they are engaged as such
businesses are now conducted and are proposed to be conducted after the date
hereof.

 

(b)           The Borrower does not intend to, or
to permit any of its Subsidiaries to, and does not believe that it or any of
its Subsidiaries will, incur debts beyond its ability to pay such debts as they
mature, taking into account the timing of and amounts of cash to be received by
it or any such Subsidiary and the timing of the amounts of cash to be payable
on or in respect of its Indebtedness or the Indebtedness of any such
Subsidiary.

 

5.17.        Insurance.  The Borrower and its Subsidiaries carry
insurance on their Projects with financially sound and reputable insurance
companies, in such amounts, with such deductibles and covering such risks as
are customarily carried by companies engaged in similar businesses and owning
similar Projects in localities where the Borrower and its Subsidiaries operate,
including, without limitation, in the case of all Qualifying Unencumbered
Properties, the coverage described on Exhibit K attached hereto and
made a part hereof.

 

5.18.        REIT
Status.  The Borrower is qualified as a
real estate investment trust under Section 856 of the Code and currently
is in compliance in all material respects with all provisions of the Code applicable
to the qualification of the Borrower as a real estate investment trust.

 

5.19.        Environmental
Matters.  Each of the following
representations and warranties is true and correct on and as of the Agreement
Execution Date except as disclosed on Schedule 4 attached hereto and to
the extent that the facts and circumstances giving rise to any such failure to
be so true and correct, in the aggregate, could not reasonably be expected to
have a Material Adverse Effect:

 

(a)           To the best knowledge of the Borrower,
the Projects of the Borrower and its Subsidiaries do not contain any Materials
of Environmental Concern in amounts or concentrations which constitute a
violation of, or could reasonably give rise to liability of the Borrower or any
Subsidiary under, Environmental Laws.

 

37

 

(b)                                 To the best knowledge of the Borrower, (i) the Projects of the
Borrower and its Subsidiaries and all operations at the Projects are in
compliance with all applicable Environmental Laws, and (ii) with respect
to all Projects owned by the Borrower and/or its Subsidiaries (x) for at
least two (2) years, have in the last two years, or (y) for less than
two (2) years, have for such period of ownership, been in compliance in
all material respects with all applicable Environmental Laws.

 

(c)                                  Neither the Borrower nor any of its Subsidiaries has received any notice
of violation, alleged violation, non-compliance, liability or potential
liability regarding environmental matters or compliance with Environmental Laws
with regard to any of the Projects, nor does the Borrower have knowledge or
reason to believe that any such notice will be received or is being threatened.

 

(d)                                 To the best knowledge of the Borrower, Materials of Environmental Concern
have not been transported or disposed of from the Projects of the Borrower and
its Subsidiaries in violation of, or in a manner or to a location which could
reasonably give rise to liability of the Borrower or any Subsidiary under,
Environmental Laws, nor have any Materials of Environmental Concern been
generated, treated, stored or disposed of at, on or under any of the Projects
of the Borrower and its Subsidiaries in violation of, or in a manner that could
give rise to liability of the Borrower or any Subsidiary under, any applicable
Environmental Laws.

 

(e)                                  No judicial proceedings or governmental or administrative action is
pending, or, to the knowledge of the Borrower, threatened, under any
Environmental Law to which the Borrower or any of its Subsidiaries is or, to
the Borrower’s knowledge, will be named as a party with respect to the Projects
of the Borrower and its Subsidiaries, nor are there any consent decrees or
other decrees, consent orders, administrative order or other orders, or other
administrative of judicial requirements outstanding under any Environmental Law
with respect to the Projects of the Borrower and its Subsidiaries.

 

(f)                                    To the best knowledge of the Borrower, there has been no release or
threat of release of Materials of Environmental Concern at or from the Projects
of the Borrower and its Subsidiaries, or arising from or related to the
operations of the Borrower and its Subsidiaries in connection with the Projects
in violation of or in amounts or in a manner that could give rise to liability
under Environmental Laws.

 

5.20.                        Intellectual Property.

 

(a)                                  Borrower and each of its Subsidiaries owns or has the right to use, under
valid license agreements or otherwise, all material patents, licenses,
franchises, trademarks, trademark rights, trade names, trade name rights, trade
secrets and copyrights (collectively, “Intellectual Property”) used in
the conduct of their respective businesses as now conducted and as contemplated
by the Loan Documents, without known conflict with any patent, license,
franchise, trademark, trade secret, trade name, copyright, or other proprietary
right of any other Person.

 

(b)                                 Borrower and each of its Subsidiaries have taken all such steps as they
deem reasonably necessary to protect their respective rights under and with
respect to such Intellectual Property.

 

(c)                                  No claim has been asserted by any Person with respect to the use of any
Intellectual Property by Borrower or any of its Subsidiaries, or challenging or
questioning the validity or effectiveness of any Intellectual Property.

 

(d)                                 The use of such Intellectual Property by Borrower and each of its
Subsidiaries does not infringe on the rights of any Person, subject to such
claims and infringements as do not, in the 

 

38

 

aggregate, give rise to
any liabilities on the part of the Borrower or any of its Subsidiaries that
could be reasonably expected to have a Material Adverse Effect.

 

5.21.                        Broker’s Fees.  No broker’s or finder’s fee, commission or
similar compensation will be payable with respect to the transactions
contemplated hereby.  Except as provided
in the Fee Letter, no other similar fees or commissions will be payable by any
Lender for any other services rendered to the Borrower, any of the Subsidiaries
of the Borrower or any other Person ancillary to the transactions contemplated
hereby.

 

5.22.                        Qualifying Unencumbered Properties.  As of the Agreement Execution Date, Schedule
7 is a correct and complete list of all Qualifying Unencumbered
Properties.  Each of the assets included
by the Borrower in calculations of the Unencumbered Asset Value satisfies all
of the requirements contained in this Agreement for the same to be included
therein.

 

5.23.                        No Bankruptcy Filing.  Neither Borrower nor any of its Subsidiaries
is contemplating either the filing of a petition by it under any state or
federal bankruptcy or insolvency laws or the liquidation of its assets or
property, and Borrower has no knowledge of any Person contemplating the filing
of any such petition against any of such Persons.

 

5.24.                        No Fraudulent Intent.  Neither the execution and delivery of this
Agreement or any of the other Loan Documents nor the performance of any actions
required hereunder or thereunder is being undertaken by Borrower or the
Subsidiary Guarantors with or as a result of any actual intent by any of such
Persons to hinder, delay or defraud any entity to which any of such Persons is
now or will hereafter become indebted.

 

5.25.                        Transaction in Best Interests of Borrower and
Subsidiary Guarantors; Consideration.  The transaction evidenced by this Agreement
and the other Loan Documents is in the best interests of Borrower and the
Subsidiary Guarantors and their respective creditors.  The direct and indirect benefits to inure to
Borrower and the Subsidiary Guarantors pursuant to this Agreement and the other
Loan Documents constitute substantially more than “reasonably equivalent value”
(as such term is used in §548 of the Bankruptcy Code) and “valuable
consideration,” “fair value,” and “fair consideration” (as such terms are used
in any applicable state fraudulent conveyance law), in exchange for the
benefits to be provided by Borrower and the Subsidiary Guarantors pursuant to
this Agreement and the other Loan Documents, and but for the willingness of
each Subsidiary Guarantor to guaranty the Obligations, Borrower would be unable
to obtain the financing contemplated hereunder which financing will enable
Borrower and its subsidiaries to have available financing to conduct and expand
their business.  Borrower and its Subsidiaries
constitute a single integrated financial enterprise and receives a benefit from
the availability of credit under this Agreement.

 

5.26.                        Subordination.  Borrower is not a party to or bound by any
agreement, instrument or indenture that may require the subordination in right
or time of payment of any of the Obligations to any other indebtedness or
obligation of any such Persons.

 

5.27.                        Tax Shelter Representation.  Borrower does not intend to treat the Loans,
and/or related transactions as being a “reportable transaction” (within the
meaning of United States Treasury Regulation Section 1.6011-4).  In the event Borrower determines to take any
action inconsistent with such intention, it will promptly notify the
Administrative Agent thereof.  If
Borrower so notifies the Administrative Agent, Borrower acknowledges that one
or more of the Lenders may treat its Loans as part of a transaction that is
subject to Treasury Regulation Section 301.6112-1, and such Lender or
Lenders, as applicable, will maintain the lists and other records required by such
Treasury Regulation.

 

39

 

5.28.                        Anti-Terrorism Laws.

 

(a)                                  None of the Borrower or any of its Affiliates is in violation of any laws
or regulations relating to terrorism or money laundering (“Anti-Terrorism
Laws”), including Executive Order No. 13224 on Terrorist Financing,
effective September 24, 2001 (the “Executive Order”) and the
Uniting and Strengthening America by Providing Appropriate Tools Required to
Intercept and Obstruct Terrorism Act of 2001, Public Law 107-56.

 

(b)                                 None of the Borrower or any of its Affiliates, or any of its brokers or
other agents acting or benefiting from the Loan is a Prohibited Person.  A “Prohibited Person” is any of the
following:

 

(i)                                     a person or entity that is listed in the Annex to, or is otherwise
subject to the provisions of, the Executive Order;

 

(ii)                                  a person or entity owned or controlled by, or acting for or on behalf of,
any person or entity that is listed in the Annex to, or is otherwise subject to
the provisions of, the Executive Order;

 

(iii)                               a person or entity with whom any Lender is prohibited from dealing or
otherwise engaging in any transaction by any Anti-Terrorism Law;

 

(iv)                              a person or entity who commits, threatens or conspires to commit or
supports “terrorism” as defined in the Executive Order; or

 

(v)                                 a person or entity that is named as a “specially designated national and
blocked person” on the most current list published by the U.S. Treasury
Department Office of Foreign Asset Control at its official website or any
replacement website or other replacement official publication of such list.

 

(c)                                  None of the Borrower or any of its Affiliates or any of its brokers or
other agents acting in any capacity in connection with the Loan (1) conducts
any business or engages in making or receiving any contribution of funds, goods
or services to or for the benefit of any Prohibited Person, (2) deals in,
or otherwise engages in any transaction relating to, any property or interests
in property blocked pursuant to the Executive Order, or (iii) engages in
or conspires to engage in any transaction that evades or avoids, or has the
purpose of evading or avoiding, or attempts to violate, any of the prohibitions
set forth in any Anti-Terrorism Law.

 

Borrower shall not (1) conduct any business or
engage in making or receiving any contribution of funds, goods or services to
or for the benefit of any Prohibited Person, (ii) deal in, or otherwise
engage in any transaction relating to, any property or interests in property
blocked pursuant to the Executive Order or any other Anti-Terrorism Law, or (iii) engage
in or conspire to engage in any transaction that evades or avoids, or has the
purpose of evading or avoiding, or attempts to violate, any of the prohibitions
set forth in any Anti-Terrorism Law (and Borrower shall deliver to
Administrative Agent any certification or other evidence requested from time to
time by Administrative Agent in its reasonable discretion, confirming Borrower’s
compliance herewith).

 

Notwithstanding the foregoing, at any time that
Borrower retains its status as a publicly held company, the representations
made in this Section 5.28 are limited to the Borrower’s knowledge
with respect to Affiliates who are Affiliates due to ownership due to 10% or
more of any class of voting securities.

 

5.29.                        Survival.  All statements contained in any certificate,
financial statement or other instrument delivered by or on behalf of Borrower
or any of its Subsidiaries to the Administrative Agent or 

 

40

 

any Lender pursuant to or in connection with this
Agreement or any of the other Loan Documents (including, but not limited to,
any such statement made in or in connection with any amendment thereto or any
statement contained in any certificate, financial statement or other instrument
delivered by or on behalf of the Borrower prior to the Agreement Execution Date
and delivered to the Administrative Agent or any Lender in connection with
closing the transactions contemplated hereby) shall constitute representations
and warranties made by the Borrower under this Agreement.  All such representations and warranties shall
survive the effectiveness of this Agreement, the execution and delivery of the Loan
Documents and the making of the Loans and the issuance of the Letters of
Credit.

 

ARTICLE VI

 

COVENANTS

 

During the term of this Agreement, unless the
Required Lenders shall otherwise consent in writing:

 

6.1.                              Financial Reporting.  The Borrower will maintain, for itself and
each Subsidiary, a system of accounting established and administered in
accordance with GAAP, and furnish to the Lenders:

 

(a)                                  As soon as available, but in any event not later than 45 days after the
close of each fiscal quarter, for the Borrower and its Subsidiaries, an unaudited
consolidated balance sheet as of the close of each such period and the related
unaudited consolidated statements of income and retained earnings and of cash
flows of the Borrower and its Subsidiaries for such period and the portion of
the fiscal year through the end of such period, setting forth in each case in
comparative form the figures for the previous year, all certified by the
Borrower’s chief financial officer or chief accounting officer;

 

(b)                                 As soon as available, but in any event not later than 45 days after the
close of each fiscal quarter, for the Borrower and its Subsidiaries, the
following reports in form and substance reasonably satisfactory to the
Administrative Agent, all certified by the entity’s chief financial officer or
chief accounting officer:  a statement of
Funds From Operations, a statement of cash flows for each individual Project, a
statement detailing Consolidated Outstanding Indebtedness and Adjusted Annual
NOI, a listing of capital expenditures, a report listing and describing all
newly acquired Projects, including their net operating income, cash flow, cost
and secured or unsecured Indebtedness assumed in connection with such
acquisition, if any, summary Project information to include square footage,
occupancy, Net Operating Income and such other information on all Projects as
may be reasonably requested;

 

(c)                                  As soon as available, but in any event not later than 90 days after the
close of each fiscal year, for the Borrower and its Subsidiaries, audited
financial statements, including a consolidated balance sheet as at the end of
such year and the related consolidated statements of income and retained
earnings and of cash flows for such year, setting forth in each case in
comparative form the figures for the previous year, without a “going concern”
or like qualification or exception, or qualification arising out of the scope
of the audit, prepared by independent certified public accountants of
nationally recognized standing reasonably acceptable to Administrative Agent;

 

(d)                                 As soon as available, but in any event not later than 90 days after the
close of each fiscal year, for the Borrower and its Subsidiaries, a statement
detailing the contributions to Adjusted Annual NOI from each individual Project
for the prior fiscal year in form and substance reasonably satisfactory to the
Administrative Agent, certified by the entity’s chief financial officer or
chief accounting officer;

 

41

 

(e)                                  Together with the quarterly and annual financial statements required
hereunder, a compliance certificate in substantially the form of Exhibit C
hereto signed by the Borrower’s chief financial officer or chief accounting
officer showing the calculations and computations necessary to determine compliance
with this Agreement and stating that, to such officer’s knowledge, no Default
or Unmatured Default exists, or if, to such officer’s knowledge, any Default or
Unmatured Default exists, stating the nature and status thereof;

 

(f)                                    As soon as possible and in any event within 10 days after a responsible
officer of the Borrower knows that any Reportable Event has occurred with
respect to any Plan, a statement, signed by the chief financial officer of the
Borrower, describing said Reportable Event and the action which the Borrower
proposes to take with respect thereto;

 

(g)                                 As soon as possible and in any event within 10 days after receipt by a
responsible officer of the Borrower, a copy of (a) any notice or claim to
the effect that the Borrower or any of its Subsidiaries is or may be liable to
any Person as a result of the release by the Borrower, any of its Subsidiaries,
or any other Person of any toxic or hazardous waste or substance into the
environment, and (b) any notice alleging any violation of any federal,
state or local environmental, health or safety law or regulation by the
Borrower or any of its Subsidiaries, which, in either case, could have a
Material Adverse Effect;

 

(h)                                 Promptly upon the furnishing thereof to the shareholders of the Borrower,
copies of all financial statements, reports and proxy statements so furnished;

 

(i)                                     Promptly upon becoming aware of the same and to the extent Borrower, or
any of its Subsidiaries, are aware of the same, notice of the commencement of
any proceeding or investigation by or before any Governmental Authority and any
action or proceeding in any court or other tribunal or before any arbitrator
against or in any other way relating adversely to, or adversely affecting,
Borrower, any of its Subsidiaries or any of their respective properties, assets
or businesses which involve claims individually or in the aggregate in excess
of $5,000,000, and notice of the receipt of notice that any United States
income tax returns of Borrower or any of its Subsidiaries are being audited;

 

(j)                                     Promptly upon becoming available, a copy of any amendment to a formation
document of Borrower;

 

(k)                                  Promptly upon becoming aware of the same, notice of any change in the
senior management of Borrower, or any of its Subsidiaries, any change in the business,
assets, liabilities, financial condition, results of operations or business
prospects of Borrower, or any of its Subsidiaries which has had or could
reasonably be expected to have a Material Adverse Effect, or any other event or
circumstance which has had or could reasonably be expected to have a Material
Adverse Effect;

 

(l)                                     Promptly upon becoming aware of entry of the same, notice of any order,
judgment or decree in excess of $5,000,000 having been entered against
Borrower, or any of its Subsidiaries or any of their respective properties or
assets;

 

(m)                               Promptly upon receipt of the same, notice if Borrower, or any of its
Subsidiaries shall receive any notification from any Governmental Authority
alleging a violation of any Applicable Law or any inquiry which could
reasonably be expected to have a Material Adverse Effect; and

 

(n)                                 Such other information (including, without limitation, financial
statements for the Borrower and non-financial information) as the
Administrative Agent or any Lender may from time to time reasonably request.

 

42

 

6.2.                              Use of Proceeds.  The Borrower will use the proceeds of the
Advances solely to (i) finance the Borrower’s or its Subsidiaries’
acquisition of Stabilized Retail Projects, and (ii) for working capital
and other general corporate purposes. 
The Borrower will not, nor will it permit any Subsidiary to, use any of
the proceeds of the Advances (i) to purchase or carry any “margin stock”
(as defined in Regulation U) if such usage could constitute a violation of
Regulation U by any Lender, (ii) to fund any purchase of, or offer for,
any Capital Stock of any Person, unless such Person has consented to such offer
prior to any public announcements relating thereto, or (iii) to make any
Acquisition other than a Permitted Acquisition.

 

6.3.                              Notice of Default.  The Borrower will give, and will cause each
of its Subsidiaries to give, prompt notice in writing to the Administrative
Agent and the Lenders of the occurrence of any Default or Unmatured Default and
of any other development, financial or otherwise, which could reasonably be
expected to have a Material Adverse Effect.

 

6.4.                              Conduct of Business.  The Borrower will do, and will cause each of
its Subsidiaries to do, all things necessary to remain duly incorporated or
duly qualified, validly existing and in good standing as a real estate
investment trust, corporation, general partnership or limited partnership, as
the case may be, in its jurisdiction of incorporation/formation (except with
respect to mergers permitted pursuant to Section 6.12 and Permitted
Acquisitions) and maintain all requisite authority to conduct its business in
each jurisdiction in which its business is conducted, in each jurisdiction in
which any Qualifying Unencumbered Property owned (or leased pursuant to an
eligible ground lease) by it is located, and in each other jurisdiction in
which the character of its properties or the nature of its business requires
such qualification and authorization and where the failure to be so authorized
and qualified could reasonably be expected to have a Material Adverse Effect,
and to carry on and conduct their businesses in substantially the same manner
as they are presently conducted where the failure to do so could reasonably be
expected to have a Material Adverse Effect and, specifically, neither the
Borrower nor its Subsidiaries may undertake any business other than the
acquisition, development, ownership, management, operation and leasing of
retail, office or industrial properties, and ancillary businesses specifically
related to such types of properties. 
Borrower shall, and shall cause each Subsidiary, to develop and
implement such programs, policies and procedures as are necessary to comply
with the USA Patriot Act and shall promptly advise the Administrative Agent in
writing in the event that any of such Persons shall determine that any
investors in such Persons are in violation of such act.

 

6.5.                              Taxes.  The Borrower will pay, and will cause each of
its Subsidiaries to pay, when due all taxes, assessments and governmental
charges and levies upon them of their income, profits or Projects, except those
which are being contested in good faith by appropriate proceedings and with
respect to which adequate reserves have been set aside.

 

6.6.                              Insurance.  The Borrower will, and will cause each of its
Subsidiaries to, maintain insurance which is consistent with the representation
contained in Section 5.17 on all their Property and the Borrower
will furnish to any Lender upon reasonable request full information as to the
insurance carried.

 

6.7.                              Compliance with Laws.  The Borrower will, and will cause each of its
Subsidiaries to, comply with all laws, rules, regulations, orders, writs,
judgments, injunctions, decrees or awards to which they may be subject, the
violation of which could reasonably be expected to have a Material Adverse
Effect.

 

6.8.                              Maintenance of Properties.  The Borrower will, and will cause each of its
Subsidiaries to, do all things necessary to maintain, preserve, protect and
keep their respective Projects and Properties, reasonably necessary for the
continuous operation of the Projects, in good repair, working order and
condition, ordinary wear and tear excepted.

 

43

 

6.9.                              Inspection.  The Borrower will, and will cause each of its
Subsidiaries to, permit the Lenders upon reasonable notice, by their respective
representatives and agents, to inspect any of the Projects, corporate books and
financial records of the Borrower and each of its Subsidiaries, to examine and
make copies of the books of accounts and other financial records of the
Borrower and each of its Subsidiaries, and to discuss the affairs, finances and
accounts of the Borrower and each of its Subsidiaries with officers thereof,
and to be advised as to the same by, their respective officers at such
reasonable times and intervals as the Lenders may designate.

 

6.10.                        Maintenance of Status; Modification of
Formation Documents.  The
Borrower shall at all times maintain its status as a real estate investment
trust in compliance with all applicable provisions of the Code relating to such
status.  The Borrower shall not, and
shall not permit any Subsidiary of Borrower to, without the prior written
consent of the Administrative Agent, amend or modify any of their respective
articles of incorporation, limited liability company agreements, partnership
agreements, by-laws, or other formation documents, if such amendment or
modification would have a Material Adverse Effect.

 

6.11.                        Dividends.  Provided there is no then-existing Default or
(after notice thereof to Borrower) Unmatured Default hereunder, the Borrower
and its Subsidiaries shall be permitted to declare and pay dividends on their
Capital Stock from time to time in amounts determined by Borrower, provided,
however, that in no event shall Borrower declare or pay dividends on its
Capital Stock or make distributions with respect thereto to (including
dividends paid and distributions actually made with respect to gains on
property sales and any preferred dividends or distributions as the Borrower may
be contractually required to make from time to time from the Inland-Ryan joint
ventures) if such dividends and distributions paid on account of the
then-current fiscal quarter and the three immediately preceding fiscal
quarters, in the aggregate sales for such period, would exceed 95% of Funds
From Operations for such period plus (B) without duplication, all
gains on property sales for such period to the extent distributions were
actually made with respect thereto. 
Notwithstanding the foregoing, the Borrower shall be permitted at all
times to distribute whatever amount of dividends is necessary to maintain its
tax status as a real estate investment trust.

 

6.12.                        Merger; Sale of Assets.  The Borrower will not, nor will it permit any
of its Subsidiaries to, without prior notice to the Administrative Agent and
without providing a certification of compliance with the Loan Documents enter
into any merger (other than mergers in which such entity is the survivor and
mergers of Subsidiaries (but not the Borrower) as part of transactions that are
Permitted Acquisitions provided that following such merger the target
entity becomes a Wholly-Owned Subsidiary of Borrower), consolidation,
reorganization or liquidation or transfer or otherwise dispose of all or a
Substantial Portion of their Properties, except for (a) such transactions
that occur between Wholly-Owned Subsidiaries or between Borrower and a
Wholly-Owned Subsidiary and (b) mergers solely to change the jurisdiction
of organization of a Subsidiary Guarantor, provided that, in any event,
approval in advance by the Required Lenders shall be required for transfer or
disposition in any quarter of assets with an aggregate value greater than 10%
of Total Asset Value, or any merger resulting in an increase to the Total Asset
Value of more than 35%.

 

6.13.                        Delivery and Release of Subsidiary Guaranties.  Borrower shall cause each of its existing
Subsidiaries (other than a Subsidiary which is a single-purpose entity which
owns only Projects subject to Secured Indebtedness and which has restrictions
on the creation of additional Indebtedness and other safeguards typically
imposed on such single-purpose entities in secured financings) to execute and
deliver to the Administrative Agent the Subsidiary Guaranty.  Within 10 days after the later of the date
Borrower forms or acquires any Subsidiary or the date such Subsidiary first
owns a Project, Borrower shall cause such Subsidiary (other than Subsidiaries
excluded under the parenthetical in the preceding sentence) to execute and
deliver to the Administrative Agent a joinder in the Subsidiary Guaranty,
together with supporting organizational and authority documents and opinions
similar to those provided with respect to the Borrower under Section 4.1
hereof.  If a Subsidiary that is
initially not required to deliver a Subsidiary 

 

44

 

Guaranty under the parenthetical in the first
sentence is later not precluded from doing so, then Borrower shall cause such
Subsidiary to deliver a Joinder to Guaranty (in the form attached as Exhibit A
to the form of Subsidiary Guaranty attached hereto as Exhibit F)
and such supporting documents and opinions at that time.  If a Subsidiary Guarantor has sold its
Projects and has liquidated all of its other assets and applied all of the
proceeds of such liquidation in accordance with the terms of the Loan Documents
and its organizational documents, such Subsidiary Guarantor shall be released
from the Subsidiary Guaranty or from any other liability it may have undertaken
with respect to the Obligations.

 

6.14.                        Sale and Leaseback.  The Borrower will not, nor will it permit any
of its Subsidiaries to, sell or transfer a Substantial Portion of its Property
in order to concurrently or subsequently lease such Property as lessee.

 

6.15.                        Acquisitions and Investments.  The Borrower will not, nor will it permit any
Subsidiary to, make or suffer to exist any Investments (including without
limitation, loans and advances to, and other Investments in, Subsidiaries), or
commitments therefor, or become or remain a partner in any partnership or joint
venture, or to make any Acquisition of any Person, except:

 

(a)                                  Cash Equivalents and Marketable Securities;

 

(b)                                 Investments in existing Subsidiaries, Investments in Subsidiaries
formed for the purpose of developing or acquiring Properties, Investments
in joint ventures and partnerships engaged solely in the business of
purchasing, developing, owning, operating, leasing and managing retail
properties, and Investments in existence on the date hereof and described in Schedule
1 hereto;

 

(c)                                  transactions permitted pursuant to Section 6.12; and

 

(d)                                 transactions permitted pursuant to Section 6.23; and

 

(e)                                  Acquisitions of Persons whose primary operations consist of the
ownership, development, operation and management of retail properties;

 

provided that, after giving effect to such Acquisitions and
Investments, Borrower continues to comply with all its covenants herein.  Acquisitions permitted pursuant to this Section 6.15
shall be deemed to be “Permitted Acquisitions”.

 

6.16.                        Liens.  The Borrower will not, nor will it permit any
of its Subsidiaries to, create, incur, or suffer to exist any Lien in, of or on
the Property of the Borrower or any of its Subsidiaries, except:

 

(a)                                  Liens for taxes, assessments or governmental charges or levies on its
Property if the same shall not at the time be delinquent or thereafter can be
paid without penalty, or are being contested in good faith and by appropriate
proceedings and for which adequate reserves shall have been set aside on its
books;

 

(b)                                 Liens imposed by law, such as carriers’, warehousemen’s and mechanics’
liens and other similar liens arising in the ordinary course of business which
secure payment of obligations not more than 60 days past due or which are being
contested in good faith by appropriate proceedings and for which adequate
reserves shall have been set aside on its books;

 

(c)                                  Liens arising out of pledges or deposits under workers’ compensation
laws, unemployment insurance, old age pensions, or other social security or
retirement benefits, or similar legislation;

 

45

 

(d)                                 Easements, restrictions and such other encumbrances or charges against
real property as are of a nature generally existing with respect to properties
of a similar character and which do not in any material way affect the
marketability of the same or interfere with the use thereof in the business of
the Borrower or its Subsidiaries;

 

(e)                                  Liens on Projects existing on the date hereof which secure Indebtedness
as described in Schedule 2 hereto; and

 

(f)                                    Liens other than Liens described in subsections (a) through (d) above
arising in connection with any Indebtedness permitted hereunder to the extent
such Liens will not result in a Default in any of Borrower’s covenants herein.

 

Liens permitted pursuant to this Section 6.16
shall be deemed to be “Permitted Liens”.

 

6.17.                        Affiliates.  The Borrower will not, nor will it permit any
of its Subsidiaries to, enter into any transaction (including, without
limitation, the purchase or sale of any Property or service) with, or make any
payment or transfer to, any Affiliate except in the ordinary course of business
and pursuant to the reasonable requirements of the Borrower’s or such
Subsidiary’s business and upon fair and reasonable terms no less favorable to
the Borrower or such Subsidiary than the Borrower or such Subsidiary would
obtain in a comparable arms-length transaction.

 

6.18.                        Swap Contracts.  The Borrower will not enter into or remain
liable upon, nor will it permit any Subsidiary to enter into or remain liable
upon, any Swap Contract, except to the extent required to protect the Borrower
and its Subsidiaries against increases in interest payable by them under
variable interest Indebtedness.

 

6.19.                        Variable Interest Indebtedness.  The Borrower and its Subsidiaries shall not
at any time permit the outstanding principal balance of Indebtedness which
bears interest at an interest rate that is not fixed through the maturity date
of such Indebtedness to exceed twenty percent (20%) of Total Asset Value,
unless all of such Indebtedness in excess of such amount is subject to a Swap
Contract approved by the Administrative Agent that effectively converts the
interest rate on such excess to a fixed rate.

 

6.20.                        Consolidated Net Worth.  The Borrower shall maintain a Consolidated
Net Worth of not less than $550,000,000 plus eighty percent (80%) of the
equity contributions or sales of treasury stock received by the Borrower after
the Agreement Execution Date.

 

6.21.                        Indebtedness and Cash Flow Covenants.  The Borrower on a consolidated basis with its
Subsidiaries shall not permit, at any time:

 

(a)                                  Consolidated Outstanding Indebtedness to be more than 0.60 times Total
Asset Value, except that the Borrower shall have the one-time right to elect to
temporarily increase the maximum amount of permitted Consolidated Outstanding
Indebtedness to 0.65 times Total Asset Value, provided that (i) the
Borrower gives written notice to the Administrative Agent given prior to the
delivery of any financial statement for a quarter evidencing Consolidated
Outstanding Indebtedness in excess of 0.60 times Total Asset Value and (ii) such
temporary increase to 0.65 shall not be in effect for more than two (2) consecutive
fiscal quarters;

 

(b)                                 Adjusted Annual EBITDA to be less than 1.50 times Fixed Charges;

 

(c)                                  any Guarantee Obligations of any member of the Consolidated Group which
guarantee Secured Indebtedness, or any Secured Indebtedness of any member of
the Consolidated Group which is also Recourse Indebtedness to exist which
exceed, in the aggregate, 10% of Total Asset Value;

 

46

 

(d)                                 the Unencumbered Leverage Ratio to be less than 1.60;

 

(e)                                  the Unencumbered Asset Value to be less than $250,000,000;

 

(f)                                    Adjusted Unencumbered NOI to be less than 1.50 times Implied Debt
Service; or

 

(g)                                 Secured Indebtedness to be more than 0.45 times Total Asset Value.

 

6.22.                        Environmental Matters.  Borrower and its Subsidiaries shall:

 

(a)                                  Comply with, and use all reasonable efforts to ensure compliance by all
tenants and subtenants, if any, with, all applicable Environmental Laws and
obtain and comply with and maintain, and use all reasonable efforts to ensure
that all tenants and subtenants obtain and comply with and maintain, any and
all licenses, approvals, notifications, registrations or permits required by
applicable Environmental Laws, except to the extent that failure to do so could
not be reasonably expected to have a Material Adverse Effect; provided
that in no event shall the Borrower or its Subsidiaries be required to modify
the terms of leases, or renewals thereof, with existing tenants (i) at Projects
owned by the Borrower or its Subsidiaries as of the date hereof, or (ii) at
Projects hereafter acquired by the Borrower or its Subsidiaries as of the date
of such acquisition, to add provisions to such effect.

 

(b)                                 Conduct and complete all investigations, studies, sampling and testing,
and all remedial, removal and other actions required under Environmental Laws
and promptly comply in all material respects with all lawful orders and
directives of all Governmental Authorities regarding Environmental Laws, except
to the extent that (i) the same are being contested in good faith by
appropriate proceedings and the pendency of such proceedings could not be
reasonably expected to have a Material Adverse Effect, or (ii) the
Borrower has determined in good faith that contesting the same is not in the
best interests of the Borrower and its Subsidiaries and the failure to contest
the same could not be reasonably expected to have a Material Adverse Effect.

 

(c)                                  Defend, indemnify and hold harmless Administrative Agent and each Lender,
and their respective officers and directors, from and against any claims,
demands, penalties, fines, liabilities, settlements, damages, costs and
expenses of whatever kind or nature known or unknown, contingent or otherwise,
arising out of, or in any way relating to the violation of, noncompliance with
or liability under any Environmental Laws applicable to the operations of the
Borrower, its Subsidiaries or the Projects, or any orders, requirements or
demands of Governmental Authorities related thereto, including, without
limitation, attorney’s and consultant’s fees, investigation and laboratory
fees, response costs, court costs and litigation expenses, except to the extent
that any of the foregoing arise out of the gross negligence or willful
misconduct of the party seeking indemnification therefor.  This indemnity shall continue in full force
and effect regardless of the termination of this Agreement.

 

(d)                                 Prior to the acquisition of a new Project after the Agreement Execution
Date, perform or cause to be performed an environmental investigation which
investigation shall include preparation of a “Phase I” report and, if
appropriate, a “Phase II” report, in each case prepared by a recognized
environmental engineer in accordance with customary standards which discloses
that the such Project is not in violation of the representations and covenants
set forth in this Agreement, unless such violation has been disclosed in
writing to the Administrative Agent and remediation actions satisfactory to the
Administrative Agent are being taken, and at a minimum comply with the
specifications and procedures attached hereto as Exhibit G.  In connection with any such investigation,
Borrower shall cause to be prepared a report of such investigation, to be made
available to any Lenders upon reasonable request, for informational purposes
and to assure compliance with the specifications and procedures.

 

47

 

6.23.        Permitted Investments.

 

(a)           The Consolidated Group’s Investment in Unimproved Land shall not at any
time exceed five percent (5%) of Total Asset Value.

 

(b)           The Consolidated Group’s aggregate Investment in (i) Investment
Affiliates and (ii) any entity which is not a Wholly-Owned Subsidiary
(valued at the greater of the cash investment in that entity by Borrower or the
portion of Total Asset Value attributable to such entity or its assets as the
case may be) shall not at any time exceed twenty percent (20%) of Total Asset
Value.

 

(c)           The Consolidated Group’s Investment in First Mortgage Receivables (with
each asset valued at the lower of its acquisition cost and its fair market
value) shall not at any time exceed five percent (5%) of Total Asset Value.

 

(d)           The Consolidated Group’s Investment in Construction in Progress (with
each asset valued at the lower of its acquisition cost and its fair market
value) shall not at any time exceed five percent (5%) of Total Asset Value.

 

(e)           The Consolidated Group’s Investment in Marketable Securities shall not at
any time exceed five percent (5%) of Total Asset Value.

 

(f)            The Consolidated Group’s projected Investment in Forward Purchase
Commitments (valued at the anticipated equity investment required to close such
acquisitions, taking into account the amount of Secured Indebtedness
anticipated to be available to fund such acquisition under then-current market
conditions, all as reasonably projected by Borrower) shall not at any time
exceed ten percent (10%) of Total Asset Value.

 

(g)           The Consolidated Group’s aggregate Investment in the above items (a)-(f) in
the aggregate shall not at any time exceed twenty-five percent (25%) of Total
Asset Value. In each case (other than item (b) above) the Consolidated
Group’s Investment shall include the Consolidated Group Pro Rata Share of any
Investment Affiliate’s Investment in the specified asset type.

 

6.24.        Prohibited Encumbrances.  The Borrower agrees that neither the Borrower
nor any other member of the Consolidated Group shall (i) create a Lien
against any Project other than a single first-priority mortgage or deed of
trust, (ii) create a Lien on any Capital Stock or other ownership
interests in any member of the Consolidated Group or any Investment Affiliate
or (iii) enter into or be subject to any agreement governing any
Indebtedness which constitutes a Negative Pledge (other than restrictions on
further subordinate Liens on Projects already encumbered by a first-priority
mortgage or deed of trust).

 

6.25.        Further Assurances.  Borrower shall, at Borrower’s cost and
expense and upon request of the Administration Agent, execute and deliver or
cause to be executed and delivered, to the Administration Agent such further
instruments, documents and certificates, and do and cause to be done such
further acts that may be reasonably necessary or advisable in the reasonable
opinion of the Administration Agent to carry out more effectively the
provisions and purposes of this Agreement and the other Loan Documents.

 

6.26.        Distribution of Income to the Borrower.  Borrower shall cause all of its Subsidiaries
to promptly distribute to Borrower (but not less frequently than once each
fiscal quarter of Borrower unless otherwise approved by the Administrative
Agent), whether in the form of dividends, distributions or otherwise, all
profits, proceeds or other income relating to or arising from such Subsidiaries’
use, operation, financing, refinancing, sale or other disposition of their
respective assets and properties after (a) the payment by each such
Subsidiary of its debt service and operating expenses for such quarter and (b) the
establishment of reasonable reserves for the payment of operating expenses not
paid on at least a 

 

48

 

quarterly basis and capital
improvements to be made to such Subsidiary’s assets and properties approved by
such Subsidiary in the ordinary course of business consistent with its past
practices, (c) funding of reserves required by the terms of any deed of
trust, mortgage or similar lien encumbering property of the Subsidiary; (d) payment
or establishment of reserves for payment to minority equity interest holders of
amounts required to be paid in respect of such equity interest.

 

6.27.        More Restrictive Agreements.  Should Borrower, while this Agreement is in
effect or any Note remains unpaid or any Letter of Credit remains outstanding,
enter into, refinance or modify any agreements pertaining to any existing or
future Indebtedness or issuance of Capital Stock which agreements or documents
include covenants (whether affirmative or negative), warranties,
representations, or defaults or events of default (or any other provision which
may have the practical effect of any of the foregoing, including, without
limitation, any “put” or mandatory prepayment of such debt) other than those
set forth herein or in any of the other Loan Documents, Borrower shall promptly
so notify the Administrative Agent and, if requested by the Administrative
Agent or the Required Lenders, Borrower, the Administrative Agent and the
Required Lenders shall promptly amend this Agreement and the other Loan
Documents to incorporate some or all of such provisions as determined by the
Required Lenders in their sole discretion; provided, however,
that any such amendment shall provide that, upon cancellation or termination of
the loan agreement, credit agreement, or other instrument pertaining to such
other Indebtedness or issuance of Capital Stock (other than by reason of an
event of default thereunder), so long as no Default or Unmatured Default is in
existence, such amendment also shall terminate and the provisions of this
Agreement affected by such amendment shall revert to the terms thereof as in
effect prior to giving effect to such amendment.

 

ARTICLE VII

 

DEFAULTS

 

The occurrence of any one or more of the following
events shall constitute a Default:

 

7.1.          Nonpayment of any principal payment on any
Note when due.

 

7.2.          Nonpayment of interest upon any Note or of any
Unused Fee or of any other payment obligations under any of the Loan Documents
within five (5) Business Days after the same becomes due.

 

7.3.          The breach of any of the terms or provisions
of Article VI.

 

7.4.          Any representation or warranty made or deemed
made by or on behalf of the Borrower or any of its Subsidiaries to the Lenders
or the Administrative Agent under or in connection with this Agreement, any
Loan, or any material certificate or information delivered in connection with
this Agreement or any other Loan Document shall be materially false on the date
as of which made.

 

7.5.          The breach by the Borrower (other than a
breach which constitutes a Default under Section 7.1, 7.2, 7.3
or 7.4) of any of the terms or provisions of this Agreement which is not
remedied within five (5) days after written notice from the Administrative
Agent or any Lender.

 

7.6.          Failure of the Borrower or any of its
Subsidiaries to pay when due any Recourse Indebtedness, regardless of amount,
or any other Consolidated Outstanding Indebtedness (other than Indebtedness
hereunder and Indebtedness under Swap Contracts) in excess of $50,000,000 in
the aggregate (collectively, “Material Indebtedness”); or the default by
the Borrower or any of its Subsidiaries in the performance of any term,
provision or condition contained in any agreement, or any other event shall
occur or condition exist, which causes or permits any such Material
Indebtedness to be due and payable or required to be prepaid (other than by a
regularly scheduled payment) prior to the 

 

49

 

stated maturity thereof (provided that the failure
to pay any such Material Indebtedness shall not constitute a Default so long as
the Borrower or its Subsidiaries is diligently contesting the payment of the
same by appropriate legal proceedings and the Borrower or its Subsidiaries have
set aside, in a manner reasonably satisfactory to Administrative Agent, a
sufficient reserve to repay such Indebtedness plus all accrued interest
thereon calculated at the default rate thereunder and costs of enforcement in
the event of an adverse outcome, and provided further that Material
Indebtedness shall not include either (i) that portion of the Consolidated
Outstanding Indebtedness due from IN Retail Fund Algonquin Commons, L.L.C.,
which is an Investment Affiliate, under loans made by Teachers Insurance and
Annuity Association of America having current principal balances of
approximately $72,300,000 and $19,600,000, respectively, which are secured by
the Projects known as Algonquin Commons and The Exchange at Algonquin Commons,
each located in Algonquin, Illinois (the “Algonquin Indebtedness”)
or (ii) any Recourse Indebtedness of the Borrower or another member of the
Consolidated Group arising from Guarantee Obligations undertaken with respect
to such Algonquin Indebtedness unless and until the fifth (5th) Business Day
after the date on which the holders of the Algonquin Indebtedness institute
judicial proceedings to collect such Recourse Indebtedness); or, under any Swap
Contract, the occurrence of an Early Termination Date (as defined in such Swap
Contract) resulting from (A) any event of default under such Swap Contract
as to which the Borrower or any Subsidiary is the Defaulting Party (as defined
in such Swap Contract) or (B) any Termination Event (as so defined) under
such Swap Contract as to which the Borrower or any Subsidiary is an Affected
Party (as so defined) and, in either event, the Swap Termination Value owed by
the Borrower or such Subsidiary as a result thereof is greater than $10,000,000.

 

7.7.          The Borrower, or any Subsidiary shall
(i) have an order for relief entered with respect to it under the Federal
bankruptcy laws as now or hereafter in effect, (ii) make an assignment for
the benefit of creditors, (iii) apply for, seek, consent to, or acquiesce
in, the appointment of a receiver, custodian, trustee, examiner, liquidator or
similar official for it or any Substantial Portion of its Property,
(iv) institute any proceeding seeking an order for relief under the
Federal bankruptcy laws as now or hereafter in effect or seeking to adjudicate
it as a bankrupt or insolvent, or seeking dissolution, winding up, liquidation,
reorganization, arrangement, adjustment or composition of it or its debts under
any law relating to bankruptcy, insolvency or reorganization or relief of
debtors or fail to file an answer or other pleading denying the material
allegations of any such proceeding filed against it, (v) take any
corporate action to authorize or effect any of the foregoing actions set forth in
this Section 7.7, (vi) fail to contest in good faith any
appointment or proceeding described in Section 7.8 or
(vii) admit in writing its inability to pay its debts generally as they
become due.

 

7.8.          A receiver, trustee, examiner, liquidator or
similar official shall be appointed for the Borrower or any Subsidiary or for
any Substantial Portion of the Property of the Borrower or such Subsidiary, or
a proceeding described in Section 7.7(iv) shall be instituted
against the Borrower or any such Subsidiary and such appointment continues
undischarged or such proceeding continues undismissed or unstayed for a period
of ninety (90) consecutive days.

 

7.9.          The Borrower or any of its Subsidiaries shall
fail within sixty (60) days to pay, bond or otherwise discharge any judgments,
warrants, writs of attachment, execution or similar process or orders for the
payment of money in an amount which, when added to all other judgments,
warrants, writs, executions, processes or orders outstanding against Borrower
or any Subsidiary would exceed $10,000,000 in the aggregate, which have not
been stayed on appeal or otherwise appropriately contested in good faith; provided,
however, that if a bond has been issued in favor of the claimant or
other Person obtaining such judgment, warrant, writ, execution, order or
process, the issuer of such bond shall execute a waiver or subordination
agreement in form and substance satisfactory to the Administrative Agent
pursuant to which the issuer of such bond subordinates its right of reimbursement,
contribution or subrogation to the Obligations and waives or subordinates any
Lien it may have on the assets of Borrower or its Subsidiaries.

 

50

 

7.10.        The Borrower or any other member of the
Controlled Group shall have been notified by the sponsor of a Multiemployer
Plan that it has incurred withdrawal liability to such Multiemployer Plan in an
amount which, when aggregated with all other amounts required to be paid to
Multiemployer Plans by the Borrower or any other member of the Controlled Group
as withdrawal liability (determined as of the date of such notification),
exceeds $1,000,000 or requires payments exceeding $500,000 per annum.

 

7.11.        The Borrower or any other member of the
Controlled Group shall have been notified by the sponsor of a Multiemployer
Plan that such Multiemployer Plan is in reorganization or is being terminated,
within the meaning of Title IV of ERISA, if as a result of such reorganization
or termination the aggregate annual contributions of the Borrower and the other
members of the Controlled Group (taken as a whole) to all Multiemployer Plans
which are then in reorganization or being terminated have been or will be
increased over the amounts contributed to such Multiemployer Plans for the
respective plan years of each such Multiemployer Plan immediately preceding the
plan year in which the reorganization or termination occurs by an amount
exceeding $500,000.

 

7.12.        Failure to remediate within the time period
permitted by law or governmental order, after all administrative hearings and
appeals have been concluded (or within a reasonable time in light of the nature
of the problem if no specific time period is so established), environmental
problems at Properties owned by the Borrower or any of its Subsidiaries or
Investment Affiliates.

 

7.13.        The occurrence of any “Default” as defined in
any Loan Document or the breach of any of the terms or provisions of any Loan
Document, which default or breach continues beyond any period of grace therein
provided.

 

7.14.        The attempted revocation, challenge,
disavowment, or termination by the Borrower or Guarantors of any of the Loan
Documents.

 

7.15.        Any Change of Control shall occur.

 

7.16.        Any Change in Management shall occur.

 

7.17.        A federal tax lien shall be filed against
Borrower or any of its Subsidiaries under Section 6323 of the Code or a
lien of the PBGC shall be filed against Borrower or any of its Subsidiaries
under Section 4068 of ERISA and in either case such lien shall remain
undischarged (or otherwise unsatisfied) for a period of twenty-five (25) days
after the date of filing.

 

ARTICLE VIII

 

ACCELERATION, WAIVERS, AMENDMENTS AND REMEDIES

 

8.1.          Acceleration.  If any Default described in Section 7.7
or 7.8 occurs with respect to the Borrower, the obligations of the
Lenders to make Loans and to issue Facility Letters of Credit hereunder shall
automatically terminate and the Facility Obligations shall immediately become
due and payable without any election or action on the part of the Administrative
Agent or any Lender.  If any other
Default occurs, so long as a Default exists Lenders shall have no obligation to
make any Loans and the Required Lenders, at any time prior to the date that
such Default has been fully cured, may permanently terminate the obligations of
the Lenders to make Loans hereunder and declare the Facility Obligations to be
due and payable, or both, whereupon if the Required Lenders elected to
accelerate (i) the Facility Obligations shall become immediately due and
payable, without presentment, demand, protest or notice of any kind, all of
which the Borrower hereby expressly waives and (ii) if any automatic or
optional acceleration has occurred, the Administrative Agent, as directed by
the Required Lenders (or if no such direction is given within 30 days after a
request for direction, as the Administrative Agent deems in the best interests
of the 

 

51

 

Lenders, in its sole
discretion), shall use its good faith efforts to collect, including without
limitation, by filing and diligently pursuing judicial action, all amounts owed
by the Borrower and any Subsidiary Guarantor under the Loan Documents.

 

In addition to the foregoing, following the
occurrence of a Default and so long as any Facility Letter of Credit has not
been fully drawn and has not been cancelled or expired by its terms, upon
demand by the Required Lenders the Borrower shall deposit in the Letter of
Credit Collateral Account cash in an amount equal to the aggregate undrawn face
amount of all outstanding Facility Letters of Credit and all fees and other
amounts due or which may become due with respect thereto.  The Borrower shall have no control over funds
in the Letter of Credit Collateral Account and shall not be entitled to receive
any interest thereon.  Such funds shall
be promptly applied by the Administrative Agent to reimburse the Issuing Bank
for drafts drawn from time to time under the Facility Letters of Credit and associated
issuance costs and fees.  Such funds, if
any, remaining in the Letter of Credit Collateral Account following the payment
of all Facility Obligations in full shall, unless the Administrative Agent is
otherwise directed by a court of competent jurisdiction, be promptly paid over
to the Borrower.

 

If, within 10 days after acceleration of the
maturity of the Facility Obligations or termination of the obligations of the
Lenders to make Loans hereunder as a result of any Default (other than any
Default as described in Section 7.7 or 7.8 with respect to
the Borrower) and before any judgment or decree for the payment of the Facility
Obligations due shall have been obtained or entered, all of the Lenders (in
their sole discretion) shall so direct, the Administrative Agent shall, by
notice to the Borrower, rescind and annul such acceleration and/or termination.

 

8.2.          Amendments.  Subject to the provisions of this Article VIII
the Required Lenders (or the Administrative Agent with the consent in writing
of the Required Lenders) and the Borrower may enter into agreements
supplemental hereto for the purpose of adding or modifying any provisions to
the Loan Documents or changing in any manner the rights of the Lenders or the
Borrower hereunder or waiving any Default hereunder; provided, however,
that no such supplemental agreement or waiver shall, without the consent of all
Lenders:

 

(a)           Extend the Facility Termination Date, or forgive all or any portion of
the principal amount of any Loan or accrued interest thereon or of the Facility
Letter of Credit Obligations or of the Unused Fee, reduce the Applicable
Margins or the underlying interest rate options or extend the time of payment
of any such principal, interest or fees.

 

(b)           Release any Subsidiary Guarantor, except as permitted in Section 6.13
(other than a Subsidiary Guarantor that has liquidated all of its assets and
applied all of the proceeds of such liquidation in accordance with its
organizational documents) from the Subsidiary Guaranty or any other future
guarantor (other than a Subsidiary Guarantor that has liquidated all of its
assets and applied all of the proceeds of such liquidation in accordance with
its organizational documents) from any liability it may undertake with respect
to the Obligations.

 

(c)           Reduce the percentage specified in the definition of Required Lenders.

 

(d)           Increase the Aggregate Commitment beyond $150,000,000, except as and to
the extent provided in Section 2.4.

 

(e)           Permit the Borrower to assign its rights under this Agreement.

 

(f)            Amend Sections 2.1(i), 2.15, 8.1, 8.2, or 11.2.

 

(g)           Amend the definition of (A) Unencumbered Asset Value or (B) any
of the defined terms used in the definition of Unencumbered Asset Value, as set
forth in Article I.

 

52

 

No
amendment of any provision of this Agreement relating to the Administrative
Agent shall be effective without the written consent of the Administrative
Agent.  If the Required Lenders have
agreed to waive the requirement of Section 7.15 and permit a Change
of Control to occur, each non-consenting Lender shall have the option to
terminate its Commitment, provided that such option is exercised within
five (5) Business Days after the Administrative Agent has notified all
Lenders that the Required Lenders have agreed to such a waiver by written
notice from such non-consenting Lender to Administrative Agent and
Borrower.  Upon the termination of such a
non-consenting Lender’s Commitment, such non-consenting Lender’s obligation to
fund Loans and to participate in Facility Letters of Credit shall be terminated
as of the date such Change of Control occurs and Borrower shall repay any
outstanding Obligations due to such Lender prior to or concurrently with the
occurrence of such Change of Control.  Following
the termination of any Commitment pursuant to this Section 8.2, the
Aggregate Commitment shall be reduced by the amount of the Commitment or
Commitments terminated, and the applicable Percentages of each of the remaining
Lenders shall be adjusted to reflect their share of the new reduced Aggregate
Commitment.

 

8.3.          Preservation of Rights.  No delay or omission of the Lenders or the
Administrative Agent to exercise any right under the Loan Documents shall
impair such right or be construed to be a waiver of any Default or an
acquiescence therein, and the making of a Loan notwithstanding the existence of
a Default or the inability of the Borrower to satisfy the conditions precedent
to such Loan shall not constitute any waiver or acquiescence.  Any single or partial exercise of any such
right shall not preclude other or further exercise thereof or the exercise of
any other right, and no waiver, amendment or other variation of the terms,
conditions or provisions of the Loan Documents whatsoever shall be valid unless
in writing signed by the Lenders required pursuant to Section 8.2,
and then only to the extent in such writing specifically set forth.  All remedies contained in the Loan Documents
or by law afforded shall be cumulative and all shall be available to the
Administrative Agent and the Lenders until the Obligations have been paid in
full.

 

8.4.          Insolvency of Borrower.  In the event of the insolvency of the
Borrower, the Lenders shall have no obligation to make further disbursements of
the Facility, and the outstanding principal balance of the Facility, including
accrued and unpaid interest thereon, shall be immediately due and payable.

 

8.5.          Application of Funds.  After the acceleration of the Facility
Obligations as provided for in Section 8.1 (or after the Facility
Obligations have automatically become immediately due and payable and Borrower
has been required to make a deposit in the Letter of Credit Collateral Account
as set forth in Section 8.1), any amounts received on account of
the Obligations shall be applied by the Administrative Agent in the following
order:

 

(a)           to payment of that portion of the Obligations constituting fees,
indemnities, expenses and other amounts (including attorney costs and amounts
payable under Article III) payable to the Administrative Agent in
its capacity as such;

 

(b)           to payment of that portion of the Obligations constituting fees,
indemnities and other amounts (other than principal and interest) payable to
the Lenders (including fees, charges and disbursements of counsel to the
respective Lenders and the Issuing Bank and amounts payable under Article III),
ratably among them in proportion to the amounts described in this clause (b) payable
to them;

 

(c)           to payment of that portion of the Obligations constituting accrued and
unpaid interest on the Loans, Facility Letter of Credit Obligations and other
Obligations, ratably among the Lenders and the Issuing Bank in proportion to
the respective amounts described in this clause (c) payable to them;

 

53

 

(d)           to payment of that portion of the Obligations constituting unpaid
principal of the Loans and Facility Letter of Credit Obligations and to deposit
in the Letter of Credit Collateral Account the undrawn amounts of Letters of
Credit, ratably among the Lenders, and the Issuing Bank in proportion to the
respective amounts described in this clause (d) held by them;

 

(e)           to payment of that portion of the Obligations constituting Related Swap
Obligations ratably among the Lenders and Affiliates of Lenders holding such
Related Swap Obligations in proportion to the respective amounts described in
this clause (e) held by them; and

 

(f)            the balance, if any, after all of the Obligations have been indefeasibly
paid in full, to the Borrower or as otherwise required by Law.

 

ARTICLE IX

 

GENERAL PROVISIONS

 

9.1.          Survival of Representations.  All representations and warranties of the
Borrower contained in this Agreement shall survive delivery of the Notes and
the making of the Loans herein contemplated.

 

9.2.          Governmental Regulation.  Anything contained in this Agreement to the
contrary notwithstanding, no Lender shall be obligated to extend credit to the
Borrower in violation of any limitation or prohibition provided by any
applicable statute or regulation.

 

9.3.          Taxes.  Any taxes (excluding taxes on the overall net
income of any Lender) or other similar assessments or charges made by any
governmental or revenue authority in respect of the Loan Documents shall be
paid by the Borrower, together with interest and penalties, if any.

 

9.4.          Headings.  Section headings in the Loan Documents
are for convenience of reference only, and shall not govern the interpretation
of any of the provisions of the Loan Documents.

 

9.5.          Entire Agreement.  The Loan Documents embody the entire
agreement and understanding among the Borrower, the Administrative Agent and
the Lenders and supersede all prior commitments, agreements and understandings
among the Borrower, the Administrative Agent and the Lenders relating to the
subject matter thereof.

 

9.6.          Several Obligations; Benefits of this
Agreement.  The
respective obligations of the Lenders hereunder are several and not joint and
no Lender shall be the partner or agent of any other (except to the extent to
which the Administrative Agent is authorized to act as such).  The failure of any Lender to perform any of
its obligations hereunder shall not relieve any other Lender from any of its
obligations hereunder.  This Agreement
shall not be construed so as to confer any right or benefit upon any Person
other than the parties to this Agreement and their respective successors and
assigns.

 

9.7.          Expenses; Indemnification.  The Borrower shall reimburse the
Administrative Agent for any costs, internal charges and out-of-pocket expenses
(including, without limitation, all reasonable fees for consultants and fees
and reasonable expenses for attorneys for the Administrative Agent, which
attorneys may be employees of the Administrative Agent) paid or incurred by the
Administrative Agent in connection with the amendment, modification, and
enforcement of the Loan Documents.  The
Borrower also agrees to reimburse the Administrative Agent and the Lenders for
any reasonable costs, internal charges and out-of-pocket expenses (including,
without limitation, all fees and reasonable expenses for attorneys for the
Administrative Agent and the Lenders, which attorneys may be employees of the
Administrative Agent or the Lenders) paid or incurred by the Administrative
Agent or any Lender in connection with the collection and enforcement of the
Loan Documents (including, without limitation, 

 

54

 

any workout).  The Borrower further agrees to indemnify the
Administrative Agent, each Lender and their Affiliates, and their directors and
officers against all losses, claims, damages, penalties, judgments, liabilities
and expenses (including, without limitation, all fees and reasonable expenses
for attorneys of the indemnified parties, all expenses of litigation or
preparation therefor whether or not the Administrative Agent, or any Lender is
a party thereto) which any of them may pay or incur arising out of or relating
to this Agreement, the other Loan Documents, the Projects, the transactions
contemplated hereby or the direct or indirect application or proposed
application of the proceeds of any Loan hereunder or the acts of the
Administrative Agent or any Lender entering into this Agreement, establishing
the facility in favor of Borrower evidenced hereby, possessing information
regarding Borrower pursuant hereto, or allegedly having any direct or indirect
influence over Borrower as material creditors or exercising any rights or
remedies under the Loan Documents, except to the extent that any of the
foregoing (i) arise out of the bad faith, gross negligence or willful
misconduct of the party seeking indemnification therefor, or (ii) arise
from the indemnitee’s violation of its own internal policies or from a
violation of laws, rules, or regulations applicable to their operations.  The obligations of the Borrower under this Section shall
survive the termination of this Agreement.

 

9.8.          Numbers of Documents.  All statements, notices, closing documents,
and requests hereunder shall be furnished to the Administrative Agent with
sufficient counterparts so that the Administrative Agent may furnish one to
each of the Lenders.

 

9.9.          Accounting.  Except as provided to the contrary herein,
all accounting terms used herein shall be interpreted and all accounting
determinations hereunder shall be made in accordance with GAAP.

 

9.10.        Severability of Provisions.  Any provision in any Loan Document that is
held to be inoperative, unenforceable, or invalid in any jurisdiction shall, as
to that jurisdiction, be inoperative, unenforceable, or invalid without
affecting the remaining provisions in that jurisdiction or the operation,
enforceability, or validity of that provision in any other jurisdiction, and to
this end the provisions of all Loan Documents are declared to be severable.

 

9.11.        Nonliability of Lenders.  The relationship between the Borrower, on the
one hand, and the Lenders and the Administrative Agent, on the other, shall be
solely that of borrower and lender. 
Neither the Administrative Agent nor any Lender shall have any fiduciary
responsibilities to the Borrower. 
Neither the Administrative Agent nor any Lender undertakes any
responsibility to the Borrower to review or inform the Borrower of any matter
in connection with any phase of the Borrower’s business or operations.

 

9.12.        CHOICE OF LAW.  THE LOAN DOCUMENTS (OTHER THAN THOSE
CONTAINING A CONTRARY EXPRESS CHOICE OF LAW PROVISION) SHALL BE CONSTRUED IN
ACCORDANCE WITH THE INTERNAL LAWS (AND NOT THE LAW OF CONFLICTS) OF THE STATE
OF ILLINOIS, BUT GIVING EFFECT TO FEDERAL LAWS APPLICABLE TO NATIONAL BANKS.

 

9.13.        CONSENT TO JURISDICTION.  THE BORROWER HEREBY IRREVOCABLY SUBMITS TO
THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR ILLINOIS STATE
COURT SITTING IN CHICAGO IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING
TO ANY LOAN DOCUMENTS AND THE BORROWER HEREBY IRREVOCABLY AGREES THAT ALL
CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED
IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTION IT MAY NOW OR
HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT
IN SUCH A COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM.  NOTHING HEREIN SHALL LIMIT THE RIGHT OF THE
ADMINISTRATIVE AGENT OR ANY LENDER TO BRING PROCEEDINGS 

 

55

 

AGAINST THE BORROWER IN THE
COURTS OF ANY OTHER JURISDICTION.  ANY
JUDICIAL PROCEEDING BY THE BORROWER AGAINST THE ADMINISTRATIVE AGENT OR ANY
LENDER OR ANY AFFILIATE OF THE ADMINISTRATIVE AGENT OR ANY LENDER INVOLVING,
DIRECTLY OR INDIRECTLY, ANY MATTER IN ANY WAY ARISING OUT OF, RELATED TO, OR
CONNECTED WITH ANY LOAN DOCUMENT SHALL BE BROUGHT ONLY IN A COURT IN CHICAGO, ILLINOIS.

 

9.14.        WAIVER OF JURY TRIAL.  THE BORROWER, THE ADMINISTRATIVE AGENT AND
EACH LENDER HEREBY WAIVE TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING, DIRECTLY
OR INDIRECTLY, ANY MATTER (WHETHER SOUNDING IN TORT, CONTRACT OR OTHERWISE) IN
ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH ANY LOAN DOCUMENT OR THE
RELATIONSHIP ESTABLISHED THEREUNDER.

 

ARTICLE X

 

THE ADMINISTRATIVE AGENT

 

10.1.        Appointment.  KeyBank National Association, is hereby
appointed Administrative Agent hereunder and under each other Loan Document,
and each of the Lenders irrevocably authorizes the Administrative Agent to act
as the agent of such Lender.  The
Administrative Agent agrees to act as such upon the express conditions
contained in this Article X. 
Notwithstanding the use of the defined term “Administrative Agent,” it
is expressly understood and agreed that the Administrative Agent shall not have
any fiduciary responsibilities to any Lender by reason of this Agreement or any
other Loan Document and that the Administrative Agent is merely acting as the
contractual representative of the Lenders with only those duties as are
expressly set forth in this Agreement and the other Loan Documents.  In its capacity as the Lenders’ contractual
representative, the Administrative Agent (i) does not hereby assume any
fiduciary duties to any of the Lenders, (ii) is a “representative” of the
Lenders within the meaning of the term “secured party” as defined in the
Illinois Uniform Commercial Code and (iii) is acting as an independent
contractor, the rights and duties of which are limited to those expressly set
forth in this Agreement and the other Loan Documents.  Each of the Lenders hereby agrees to assert
no claim against the Administrative Agent on any agency theory or any other
theory of liability for breach of fiduciary duty, all of which claims each
Lender hereby waives.

 

10.2.        Powers.  The Administrative Agent shall have and may
exercise such powers under the Loan Documents as are specifically delegated to
the Administrative Agent by the terms of each thereof, together with such
powers as are reasonably incidental thereto. 
The Administrative Agent shall have no implied duties to the Lenders, or
any obligation to the Lenders to take any action thereunder except any action
specifically provided by the Loan Documents to be taken by the Administrative
Agent.

 

10.3.        General Immunity.  Neither the Administrative Agent nor any of
its directors, officers, agents or employees shall be liable to the Borrower,
the Lenders or any Lender for (i) any action taken or omitted to be taken
by it or them hereunder or under any other Loan Document or in connection
herewith or therewith except for its or their own gross negligence or willful
misconduct; or (ii) any determination by the Administrative Agent that
compliance with any law or any governmental or quasi-governmental rule,
regulation, order, policy, guideline or directive (whether or not having the force
of law) requires the Advances and Commitments hereunder to be classified as
being part of a “highly leveraged transaction”.

 

10.4.        No Responsibility for Loans, Recitals, etc.  Neither the Administrative Agent nor any of
its directors, officers, agents or employees shall be responsible for or have
any duty to ascertain, inquire into, or verify (i) any statement, warranty
or representation made in connection with any Loan Document or any borrowing
hereunder; (ii) the performance or observance of any of the covenants or
agreements of 

 

56

 

any obligor under any Loan
Document, including, without limitation, any agreement by an obligor to furnish
information directly to each Lender; (iii) the satisfaction of any
condition specified in Article IV, except receipt of items required
to be delivered to the Administrative Agent; (iv) the validity,
effectiveness or genuineness of any Loan Document or any other instrument or
writing furnished in connection therewith; (v) the value, sufficiency,
creation, perfection, or priority of any interest in any collateral security;
or (vi) the financial condition of the Borrower or any Subsidiary
Guarantor.  Except as otherwise
specifically provided herein, the Administrative Agent shall have no duty to
disclose to the Lenders information that is not required to be furnished by the
Borrower to the Administrative Agent at such time, but is voluntarily furnished
by the Borrower to the Administrative Agent (either in its capacity as Administrative
Agent or in its individual capacity).

 

10.5.        Action on Instructions of Lenders.  The Agent shall in all cases be fully
protected in acting, or in refraining from acting, hereunder and under any
other Loan Document in accordance with written instructions signed by the
Required Lenders, and such instructions and any action taken or failure to act
pursuant thereto shall be binding on all of the Lenders.  The Lenders hereby acknowledge that the
Administrative Agent shall be under no duty to take any discretionary action
permitted to be taken by it pursuant to the provisions of this Agreement or any
other Loan Document unless it shall be requested in writing to do so by the
Required Lenders.  The Administrative Agent
shall be fully justified in failing or refusing to take any action hereunder
and under any other Loan Document unless it shall first be indemnified to its
satisfaction by the Lenders pro rata against any and all liability, cost and
expense that it may incur by reason of taking or continuing to take any such
action.

 

10.6.        Employment of Agents and Counsel.  The Administrative Agent may execute any of
its duties as Administrative Agent hereunder and under any other Loan Document
by or through employees, agents, and attorneys-in-fact and shall not be
answerable to the Lenders, except as to money or securities received by it or
its authorized agents, for the default or misconduct of any such agents or
attorneys-in-fact selected by it with reasonable care.  The Administrative Agent shall be entitled to
advice of counsel concerning all matters pertaining to the agency hereby
created and its duties hereunder and under any other Loan Document.

 

10.7.        Reliance on Documents; Counsel.  The Administrative Agent shall be entitled to
rely upon any Note, notice, consent, certificate, affidavit, letter, telegram,
statement, paper or document believed by it to be genuine and correct and to
have been signed or sent by the proper person or persons, and, in respect to
legal matters, upon the opinion of counsel selected by the Administrative
Agent, which counsel may be employees of the Administrative Agent.

 

10.8.        Administrative Agent’s Reimbursement and
Indemnification.  The Lenders
agree to reimburse and indemnify the Administrative Agent ratably in proportion
to their respective Commitments (i) for any amounts not reimbursed by the
Borrower for which the Administrative Agent is entitled to reimbursement by the
Borrower under the Loan Documents, (ii) for any other expenses incurred by
the Administrative Agent on behalf of the Lenders, in connection with the
preparation, execution, delivery, administration and enforcement of the Loan
Documents, if not paid by Borrower and (iii) for any liabilities,
obligations, losses, damages, penalties, actions, judgments, suits, costs,
expenses or disbursements of any kind and nature whatsoever which may be
imposed on, incurred by or asserted against the Administrative Agent in any way
relating to or arising out of the Loan Documents or any other document
delivered in connection therewith or the transactions contemplated thereby
(including without limitation, for any such amounts incurred by or asserted
against the Administrative Agent in connection with any dispute between the
Administrative Agent and any Lender or between two or more of the Lenders), or
the enforcement of any of the terms thereof or of any such other documents, provided
that no Lender shall be liable for any of the foregoing to the extent they
arise from the gross negligence or willful misconduct or a breach of the
Administrative Agent’s express obligations and undertakings to the Lenders
which is not cured after written notice and within the period described in Section 10.3,
The obligations of

 

57

 

the Lenders and the Administrative Agent under this Section 10.8
shall survive payment of the Obligations and termination of this Agreement.

 

10.9.        Rights as a Lender.  In the event the Administrative Agent is a
Lender, the Administrative Agent shall have the same rights and powers
hereunder and under any other Loan Document as any Lender and may exercise the
same as though it were not the Administrative Agent, and the term “Lender” or “Lenders”
shall, at any time when the Administrative Agent is a Lender, unless the
context otherwise indicates, include the Administrative Agent in its individual
capacity.  The Administrative Agent may
accept deposits from, lend money to, and generally engage in any kind of trust,
debt, equity or other transaction, in addition to those contemplated by this
Agreement or any other Loan Document, with the Borrower or any of its
Subsidiaries in which the Borrower or such Subsidiary is not restricted hereby
from engaging with any other Person.  The
Administrative Agent, in its individual capacity, is not obligated to remain a
Lender.

 

10.10.      Lender Credit Decision.  Each Lender acknowledges that it has,
independently and without reliance upon the Administrative Agent or any other
Lender and based on the financial statements prepared by the Borrower and such
other documents and information as it has deemed appropriate, made its own
credit analysis and decision to enter into this Agreement and the other Loan
Documents.  Each Lender also acknowledges
that it will, independently and without reliance upon the Administrative Agent
or any other Lender and based on such documents and information as it shall
deem appropriate at the time, continue to make its own credit decisions in
taking or not taking action under this Agreement and the other Loan Documents.

 

10.11.      Successor Administrative Agent.  Except as otherwise provided below, KeyBank
National Association shall at all times serve as the Administrative Agent
during the term of this Facility.  The
Administrative Agent may resign at any time by giving written notice thereof to
the Lenders and the Borrower, such resignation to be effective upon the
appointment of a successor Administrative Agent or, if no successor
Administrative Agent has been appointed, forty-five days after the retiring Administrative
Agent gives notice of its intention to resign. 
The Administrative Agent may be removed at any time with cause by
written notice received by the Administrative Agent from all Lenders holding 66
2/3% of that portion of the Aggregate Commitment not held by the Administrative
Agent, such removal to be effective on the date specified by the other
Lenders.  Upon any such resignation or
removal, the Required Lenders shall have the right to appoint, on behalf of the
Borrower and the Lenders, a successor Administrative Agent.  If no successor Administrative Agent shall
have been so appointed by the Required Lenders within thirty days after the
resigning Administrative Agent’s giving notice of its intention to resign, then
the resigning Administrative Agent may appoint, on behalf of the Borrower and
the Lenders, a successor Administrative Agent. 
Notwithstanding the previous sentence, the Administrative Agent may at
any time without the consent of the Borrower or any Lender, appoint any of its
Affiliates which is a commercial bank as a successor Administrative Agent
hereunder.  If the Administrative Agent
has resigned or been removed and no successor Administrative Agent has been
appointed, the Lenders may perform all the duties of the Administrative Agent
hereunder and the Borrower shall make all payments in respect of the
Obligations to the applicable Lender and for all other purposes shall deal
directly with the Lenders.  No successor
Administrative Agent shall be deemed to be appointed hereunder until such
successor Administrative Agent has accepted the appointment.  Any such successor Administrative Agent shall
be a commercial bank having capital and retained earnings of at least
$500,000,000.  Upon the acceptance of any
appointment as Administrative Agent hereunder by a successor Administrative
Agent, such successor Administrative Agent shall thereupon succeed to and
become vested with all the rights, powers, privileges and duties of the
resigning or removed Administrative Agent. 
Upon the effectiveness of the resignation or removal of the
Administrative Agent, the resigning or removed Administrative Agent shall be
discharged from its duties and obligations hereunder and under the Loan
Documents.  After the effectiveness of
the resignation or removal of an Administrative Agent, the provisions of this Article X
shall continue in effect for the benefit of such Administrative Agent in
respect of any actions taken or 

 

58

 

omitted to be taken by it while it was acting as the
Administrative Agent hereunder and under the other Loan Documents.

 

10.12.      Notice of Defaults.  If a Lender becomes aware of a Default or
Unmatured Default, such Lender shall notify the Administrative Agent of such
fact provided that the failure to give such notice shall not create
liability on the part of a Lender.  Upon
receipt of such notice that a Default or Unmatured Default has occurred, the
Administrative Agent shall notify each of the Lenders of such fact.

 

10.13.      Requests for Approval.  If the Administrative Agent requests in
writing the consent or approval of a Lender, such Lender shall respond and
either approve or disapprove definitively in writing to the Administrative
Agent within ten (10) Business Days (or sooner if such notice specifies a
shorter period for responses based on Administrative Agent’s good faith
determination that circumstances exist warranting its request for an earlier
response) after such written request from the Administrative Agent.  Notwithstanding anything to the contrary
contained herein, the failure of a Lender to respond with such a written
approval or disapproval within such time period shall not result in such Lender
becoming a Defaulting Lender.

 

10.14.      Defaulting Lenders.  At such time as a Lender becomes a Defaulting
Lender, such Defaulting Lender’s right to vote on matters which are subject to
the consent or approval of the Required Lenders, each affected Lender or all
Lenders shall be immediately suspended until such time as the Lender is no longer
a Defaulting Lender, except that the amount of the Commitment of the Defaulting
Lender may not be changed without its consent. 
If a Defaulting Lender has failed to fund its pro rata share of any
Advance and until such time as such Defaulting Lender subsequently funds its
pro rata share of such Advance, all Obligations owing to such Defaulting Lender
hereunder shall be subordinated in right of payment, as provided in the
following sentence, to the prior payment in full of all principal of, interest
on and fees relating to the Loans funded by the other Lenders in connection
with any such Advance in which the Defaulting Lender has not funded its pro
rata share (such principal, interest and fees being referred to as “Senior
Loans” for the purposes of this section). 
All amounts paid by the Borrower or the Guarantor and otherwise due to
be applied to the Obligations owing to such Defaulting Lender pursuant to the
terms hereof shall be distributed by the Administrative Agent to the other
Lenders in accordance with their respective pro rata shares (recalculated for
the purposes hereof to exclude the Defaulting Lender) until all Senior Loans
have been paid in full.  After the Senior
Loans have been paid in full equitable adjustments will be made in connection
with future payments by the Borrower to the extent a portion of the Senior
Loans had been repaid with amounts that otherwise would have been distributed
to a Defaulting Lender but for the operation of this Section 10.14.  This provision governs only the relationship
among the Administrative Agent, each Defaulting Lender and the other Lenders;
nothing hereunder shall limit the obligation of the Borrower to repay all Loans
in accordance with the terms of this Agreement. 
The provisions of this section shall apply and be effective regardless
of whether a Default occurs and is continuing, and notwithstanding (i) any
other provision of this Agreement to the contrary, (ii) any instruction of
the Borrower as to its desired application of payments or (iii) the
suspension of such Defaulting Lender’s right to vote on matters which are
subject to the consent or approval of the Required Lenders or all Lenders.

 

ARTICLE XI

 

SETOFF;
RATABLE PAYMENTS

 

11.1.        Setoff.  In addition to, and without limitation of,
any rights of the Lenders under applicable law, if the Borrower becomes
insolvent, however evidenced, or any Default occurs, any and all deposits
(including all account balances, whether provisional or final and whether or
not collected or available) and any other Indebtedness at any time held or
owing by any Lender or any of its Affiliates to or for the credit or account of
the Borrower may be offset and applied toward the payment of the 

 

59

 

Obligations owing to such Lender, at any time prior
to the date that such Default has been fully cured, whether or not the
Obligations, or any part hereof, shall then be due. Notwithstanding the
foregoing, to avoid the effect of any “single action” rule or any other
adverse effect upon the rights and remedies available to the Lenders against
Borrower, prior to exercising any such setoff right against Borrower each
Lender agrees to advise the Administrative Agent of such intended action and
obtain the prior written consent of the Required Lenders to such intended
action.

 

11.2.        Ratable Payments.  If any Lender, whether by setoff or
otherwise, has payment made to it upon its Loans (other than payments received
pursuant to Sections 3.1, 3.2, 3.4 or 3.5) in a
greater proportion than that received by any other Lender, such Lender agrees,
promptly upon demand, to purchase a portion of the Loans held by the other
Lenders so that after such purchase each Lender will hold its ratable
proportion of Loans.  If any Lender,
whether in connection with setoff or amounts which might be subject to setoff
or otherwise, receives collateral or other protection for its Obligations or
such amounts which may be subject to setoff, such Lender agrees, promptly upon
demand, to take such action necessary such that all Lenders share in the
benefits of such collateral ratably in proportion to their Loans.  In case any such payment is disturbed by
legal process, or otherwise, appropriate further adjustments shall be made.

 

ARTICLE XII

 

BENEFIT OF
AGREEMENT; ASSIGNMENTS; PARTICIPATIONS

 

12.1.        Successors and Assigns.  The terms and provisions of the Loan
Documents shall be binding upon and inure to the benefit of the Borrower and
the Lenders and their respective successors and assigns, except that (i) the
Borrower shall not have the right to assign its rights or obligations under the
Loan Documents and (ii) any assignment by any Lender must be made in
compliance with Section 12.3. 
The parties to this Agreement acknowledge that clause (ii) of this Section 12.1
relates only to absolute assignments and does not prohibit assignments creating
security interests, including, without limitation, (x) any pledge or
assignment by any Lender of all or any portion of its rights under this
Agreement and any Note to a Federal Reserve Bank or (y) in the case of a
Lender which is a fund, any pledge or assignment of all or any portion of its
rights under this Agreement and any Note to its trustee in support of its
obligations to its trustee; provided, however, that no such
pledge or assignment creating a security interest shall release the transferor
Lender from its obligations hereunder unless and until the parties thereto have
complied with the provisions of Section 12.3.  The Administrative Agent may treat the Person
which made any Loan or which holds any Note as the owner thereof for all
purposes hereof unless and until such Person complies with Section 12.3;
provided, however, that the Administrative Agent may in its
discretion (but shall not be required to) follow instructions from the Person
which made any Loan or which holds any Note to direct payments relating to such
Loan or Note to another Person.  Any
assignee of the rights to any Loan or any Note agrees by acceptance of such
assignment to be bound by all the terms and provisions of the Loan
Documents.  Any request, authority or
consent of any Person, who at the time of making such request or giving such
authority or consent is the owner of the rights to any Loan (whether or not a
Note has been issued in evidence thereof), shall be conclusive and binding on
any subsequent holder or assignee of the rights to such Loan.

 

12.2.        Participations.

 

(a)           Permitted Participants; Effect.  Any Lender may, in the ordinary course of its
business and in accordance with applicable law, at any time sell to one or more
banks, financial institutions, pension funds, or any other funds or entities (“Participants”)
participating interests in any Loan owing to such Lender, any Note held by such
Lender, any Commitment of such Lender or any other interest of such Lender
under the Loan Documents.  In the event
of any such sale by a Lender of participating interests to a Participant, such
Lender’s obligations under the Loan Documents shall remain 

 

60

 

unchanged, such Lender
shall remain solely responsible to the other parties hereto for the performance
of such obligations, such Lender shall remain the holder of any such Note for
all purposes under the Loan Documents, all amounts payable by the Borrower
under this Agreement shall be determined as if such Lender had not sold such
participating interests, and the Borrower and the Administrative Agent shall
continue to deal solely and directly with such Lender in connection with such
Lender’s rights and obligations under the Loan Documents.

 

(b)           Voting Rights.  Each Lender shall retain the sole right to
approve, without the consent of any Participant, any amendment, modification or
waiver of any provision of the Loan Documents other than any amendment,
modification or waiver with respect to any Loan or Commitment in which such
Participant has an interest which would require consent of all the Lenders
pursuant to the terms of Section 8.2 or of any other Loan Document.

 

(c)           Benefit of Setoff.  The Borrower agrees that each Participant
which has previously advised the Borrower in writing of its purchase of a
participation in a Lender’s interest in its Loans shall be deemed to have the
right of setoff provided in Section 11.1 in respect of its
participating interest in amounts owing under the Loan Documents to the same
extent as if the amount of its participating interest were owing directly to it
as a Lender under the Loan Documents, including without limitation the
obligation to advise, and to obtain the prior written consent of, the Required
Lenders with respect to any exercise of such right of setoff.  Each Lender shall retain the right of setoff
provided in Section 11.1 with respect to the amount of
participating interests sold to each Participant, provided that such
Lender and Participant may not each setoff amounts against the same portion of
the Obligations, so as to collect the same amount from the Borrower twice.  The Lenders agree to share with each
Participant, and each Participant, by exercising the right of setoff provided
in Section 11.1, agrees to share with each Lender, any amount
received pursuant to the exercise of its right of setoff, such amounts to be
shared in accordance with Section 11.2 as if each Participant were
a Lender.

 

12.3.        Assignments.

 

(a)           Permitted Assignments.  Any Lender may, in the ordinary course of its
business and in accordance with applicable law, at any time assign to any
Eligible Assignee all or any portion (greater than or equal to $10,000,000 for
each assignee, so long as the hold position of the assigning Lender is not less
than $10,000,000) of its rights and obligations under the Loan Documents.  Such assignment shall be substantially in the
form of Exhibit D hereto or in such other form as may be agreed to
by the parties thereto.  The consent of
the Administrative Agent shall be required prior to an assignment becoming
effective with respect to an Eligible Assignee which is not a Lender or an
Affiliate thereof.  Such consent shall
not be unreasonably withheld and shall be given or withheld within ten (10) Business
Days after the Administrative Agent’s receipt of a Lender’s written request for
such consent.

 

(b)           Effect; Effective Date.  Upon (i) delivery to the Administrative
Agent of a notice of assignment, substantially in the form attached as Exhibit “I”
to Exhibit D hereto (a “Notice of Assignment”), together
with any consents required by Section 12.3(a), and (ii) payment
of a $3,500 fee by the assignor or assignee to the Administrative Agent for
processing such assignment, such assignment shall become effective on the
effective date specified in such Notice of Assignment.  The Notice of Assignment shall contain a
representation by the Eligible Assignee to the effect that none of the
consideration used to make the purchase of the Commitment and Loans under the
applicable assignment agreement are “plan assets” as defined under ERISA and
that the rights and interests of the Eligible Assignee in and under the Loan
Documents will not be “plan assets” under ERISA.  On and after the effective date of such
assignment, such Eligible Assignee shall for all purposes be a Lender party to
this Agreement and any other Loan Document executed by the Lenders and shall
have all the rights and obligations of a Lender under the Loan Documents, to
the same extent as if it were an original party hereto, and no further consent
or action by the Borrower, the Lenders or the Administrative Agent shall 

 

61

 

be required to release the
transferor Lender, and the transferor Lender shall automatically be released on
the effective date of such assignment, with respect to the percentage of the
Aggregate Commitment and Loans assigned to such Eligible Assignee.  Upon the consummation of any assignment to a
Eligible Assignee pursuant to this Section 12.3(b), the transferor
Lender, the Administrative Agent and the Borrower shall make appropriate
arrangements so that replacement Notes are issued to such transferor Lender and
new Notes or, as appropriate, replacement Notes, are issued to such Eligible
Assignee, in each case in principal amounts reflecting their Commitment, as
adjusted pursuant to such assignment.

 

12.4.        Dissemination of Information.  The Borrower authorizes each Lender to
disclose to any Participant or Eligible Assignee or any other Person acquiring
an interest in the Loan Documents by operation of law (each a “Transferee”)
and any prospective Transferee any and all information in such Lender’s
possession concerning the creditworthiness of the Borrower and its Subsidiaries,
subject to Section 9.11 of this Agreement.

 

12.5.        Tax Treatment.  If any interest in any Loan Document is
transferred to any Transferee which is organized under the laws of any
jurisdiction other than the United States or any State thereof, the transferor
Lender shall cause such Transferee, concurrently with the effectiveness of such
transfer, to comply with the provisions of Section 3.5.

 

ARTICLE XIII

 

NOTICES

 

13.1.        Giving Notice.  Except as otherwise permitted by Section 2.16
with respect to borrowing notices, all notices and other communications
provided to any party hereto under this Agreement or any other Loan Document
shall be in writing or by telex or by facsimile and addressed or delivered to
such party at its address set forth below its signature hereto or at such other
address (or to counsel for such party) as may be designated by such party in a
notice to the other parties.  Any notice,
if mailed and properly addressed with postage prepaid, shall be deemed given
when received; any notice, if transmitted by telex or facsimile, shall be
deemed given when transmitted (answerback confirmed in the case of telexes).

 

13.2.        Change of Address.  The Borrower, the Administrative Agent and
any Lender may each change the address for service of notice upon it by a
notice in writing to the other parties hereto.

 

ARTICLE XIV

 

COUNTERPARTS

 

This
Agreement may be executed in any number of counterparts, all of which taken
together shall constitute one agreement, and any of the parties hereto may
execute this Agreement by signing any such counterpart.  This Agreement shall be effective when it has
been executed by the Borrower and the Lenders and each party has notified the
Administrative Agent by telex or telephone, that it has taken such action.

 

(Remainder of page intentionally left blank.)

 

62

 

IN
WITNESS WHEREOF, the Borrower and the Lenders, individually and in their
respective capacities as Agents, have executed this Agreement as of the date
first above written.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name: Brett A. Brown

  
	
   

  	
  Title:
  Chief Financial Officer

  
	
   

  	
   

  
	
   

  	
  2901
  Butterfield Road

  
	
   

  	
  Oak
  Brook, Illinois

  
	
   

  	
  Phone:
  630-218-7351

  
	
   

  	
  Facsimile:
  630-218-7350

  
	
   

  	
  Attention:
  Mark E. Zalatoris

  
	
   

  	
  zalatoris@inlandrealestate.com

  

 

S-1

 

	
   

  	
  KEYBANK
  NATIONAL ASSOCIATION,

  
	
  COMMITMENT:

  	
  Individually
  and as Administrative Agent

  
	
  $30,000,000

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  1200
  Abernathy Rd NE, Suite 1550

  
	
   

  	
  Atlanta,
  GA 30328

  
	
   

  	
  Phone:
  216-689-4660

  
	
   

  	
  Facsimile:
  216-689-3566

  
	
   

  	
  Attention:
  Kevin Murray

  
	
   

  	
  Kevin_P_Murray@KeyBank.com

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  With
  a copy to:

  
	
   

  	
   

  
	
   

  	
  KeyBank
  National Association

  
	
   

  	
  800
  Superior, 6th Floor

  
	
   

  	
  Cleveland,
  Ohio 44114

  
	
   

  	
  Phone:
  216-828-7512

  
	
   

  	
  Facsimile:
  216-828-7523

  
	
   

  	
  Attention:
  Vicki Heineck

  

 

S-2

 

	
   

  	
  WELLS
  FARGO BANK, N.A.,

  
	
  COMMITMENT:

  	
  successor
  by merger to Wachovia Bank, N.A.

  
	
  $19,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
  Marla
  S. Bergrin

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  
	
   

  	
  Wells
  Fargo Bank

  
	
   

  	
  123
  N. Wacker Drive, Suite 1900

  
	
   

  	
  Chicago, IL
  60606

  
	
   

  	
  Phone:
  (312) 827-1538

  
	
   

  	
  Facsimile:
  (312) 782-0969

  
	
   

  	
  Attention:
  Beth Davis

  
	
   

  	
  beth.m.davis@wellsfargo.com

  

 

S-3

 

	
   

  	
  BANK
  OF AMERICA, N.A.

  
	
  COMMITMENT:

  	
  Individually
  and as Co-Syndication Agent

  
	
  $35,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  Bank
  of America Commercial Real Estate Bank

  
	
   

  	
  100
  North Tryon Street

  
	
   

  	
  NC1-007-11-15

  
	
   

  	
  Charlotte,
  NC 28255

  
	
   

  	
  Phone:
  (704) 386-7524

  
	
   

  	
  Facsimile:
  (704) 386-6434

  
	
   

  	
  Attention:
  Kay Ostwalt

  
	
   

  	
  kay.p.ostwalt@bankofamerica.com

  

 

S-4

 

	
   

  	
  WELLS
  FARGO BANK,

  
	
  COMMITMENT:

  	
  NATIONAL
  ASSOCIATION

  
	
  $16,000,000

  	
  Individually
  and as Co-Syndication Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:
  

  	
  Marla
  S. Bergrin

  
	
   

  	
  Title:

  	
  Vice
  President

  
	
   

  	
   

  
	
   

  	
  Wells
  Fargo Bank

  
	
   

  	
  123
  N. Wacker Drive, Suite 1900

  
	
   

  	
  Chicago, IL
  60606

  
	
   

  	
  Phone:
  (312) 827-1538

  
	
   

  	
  Facsimile:
  (312) 782-0969

  
	
   

  	
  Attention:
  Beth Davis

  
	
   

  	
  beth.m.davis@wellsfargo.com

  

 

S-5

 

	
   

  	
  RBS
  CITIZENS, NATIONAL ASSOCIATION,

  
	
  COMMITMENT:

  	
  D/B/A
  CHARTER ONE

  
	
  $25,000,000

  	
  Individually
  and as Co-Documentation Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
  Florentina
  Djulvezan

  
	
   

  	
  Title:

  	
  Senior
  Vice President

  
	
   

  	
   

  
	
   

  	
  RBS
  Citizens, d/b/a Charter One

  
	
   

  	
  1215
  Superior Avenue 6th Floor

  
	
   

  	
  Cleveland,
  Ohio 44114

  
	
   

  	
  Phone:
  (216) 277-0199

  
	
   

  	
  Facsimile:
  (216) 277-4607

  
	
   

  	
  Attention:
  Don Wood

  
	
   

  	
  Donald.w.woods@charteronebank.com

  
	
   

  	
  mjawyn@charteronebank.com

  

 

S-6

 

	
   

  	
  BMO
  CAPITAL MARKETS FINANCING, INC.

  
	
  COMMITMENT:

  	
   

  
	
  $25,000,000

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
  Aaron
  Lanski

  
	
   

  	
  Title:

  	
  Director

  
	
   

  	
   

  
	
   

  	
  115
  S. LaSalle Street, 18W

  
	
   

  	
  Chicago, IL 
  60603

  
	
   

  	
  Phone: 
  (312) 461-6364

  
	
   

  	
  Facsimile: 
  (312) 461-2968

  
	
   

  	
  Attention: 
  Aaron Lanski

  
	
   

  	
  aaron.lanski@bmo.com

  

 

S-7

 

EXHIBIT A

 

AMENDMENT REGARDING INCREASE

 

This
Amendment to Credit Agreement (the “Agreement”) is made as of
___________________, ______, by and among Inland Real Estate Corporation (the “Borrower”),
KeyBank National Association, as “Administrative Agent,” and one or more
existing or new “Lenders” shown on the signature pages hereof.

 

R E C I T A L S

 

A.            Borrower, Administrative
Agent and certain other Lenders have entered into that certain Fourth Amended
and Restated Credit Agreement dated as of June ___, 2010 (as amended, the “Credit
Agreement”).  All capitalized terms
used herein and not otherwise defined shall have the meanings given to them in
the Credit Agreement.

 

B.            Pursuant to the terms of the
Credit Agreement, the Lenders initially agreed to provide Borrower with a
revolving credit facility in an aggregate principal amount of up to
$150,000,000.  The Borrower and the Agent
on behalf of the Lenders now desire to amend the Credit Agreement in order to,
among other things (i) increase the Aggregate Commitment to $___________;
and (ii) admit [name of new banks] as “Lenders” under the Credit
Agreement.

 

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

 

AGREEMENTS

 

1.             The foregoing Recitals to
this Amendment hereby are incorporated into and made part of this Amendment.

 

2.             From and after _________,
____ (the “Effective Date”) (i) [name of new banks] shall be
considered as “Lenders” under the Credit Agreement and the Loan
Documents, and (ii) [name of existing Lenders] shall each be deemed to
have increased its Commitment to the amount shown next to their respective
signatures on the signature pages of this Amendment, each having a
Commitment in the amount shown next to their respective signatures on the
signature pages of this Amendment. 
The Borrower shall, on or before the Effective Date, execute and deliver
to each new Lender a Note to evidence the Loans to be made by such Lender.

 

3.             From and after the Effective
Date, the Aggregate Commitment shall equal __________ Million Dollars
($___,000,000).

 

4.             For purposes of Section 13.1
of the Credit Agreement (Giving Notice), the address(es) and facsimile number(s) for
[name of new banks] shall be as specified below their respective signature(s) on
the signature pages of this Amendment.

 

5.             The Borrower hereby
represents and warrants that, as of the Effective Date, there is no Default or
Unmatured Default, the representations and warranties contained in Article V
of the Credit Agreement are true and correct in all material respects as of
such date and the Borrower has no offsets or claims against any of the Lenders.

 

6.             As expressly modified as
provided herein, the Credit Agreement shall continue in full force and effect.

 

A-1

 

7.             This Amendment may be
executed in any number of counterparts, all of which taken together shall
constitute one agreement, and any of the parties hereto may execute this
Amendment by signing any such counterpart.

 

IN
WITNESS WHEREOF, the parties have executed and delivered this Amendment as of
the date first written above.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  2901
  Butterfield Road, Oak Brook, Illinois

  
	
   

  	
  Phone:
  630-218-7351

  
	
   

  	
  Facsimile:
  630-218-7350

  
	
   

  	
  Attention:
  Mark E. Zalatoris

  
	
   

  	
   

  
	
   

  	
  KEYBANK
  NATIONAL ASSOCIATION,

  
	
   

  	
  as
  Administrative Agent

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  
	
   

  	
  1200
  Abernathy Rd NE, Suite 1550

  
	
   

  	
  Atlanta,
  GA 30328

  
	
   

  	
  Phone:
  216-689-4660

  
	
   

  	
  Facsimile:
  216-689-3566

  
	
   

  	
  Attention:
  Kevin Murray

  
	
   

  	
   

  
	
   

  	
  With
  a copy to:

  
	
   

  	
   

  
	
   

  	
  KeyBank
  National Association

  
	
   

  	
  800
  Superior, 6th Floor

  
	
   

  	
  Cleveland,
  Ohio 44114

  
	
   

  	
  Attention:
  Vicki Heineck

  
	
   

  	
  Phone:
  216-828-7512

  
	
   

  	
  Facsimile:
  216-828-7523

  
	
   

  	
   

  
	
   

  	
  [NAME
  OF NEW LENDER]

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

A-2

 

	
   

  	
  [Address
  of New Lender]

  
	
   

  	
   

  
	
   

  	
  Phone:

  	
   

  
	
   

  	
  Facsimile:

  	
   

  
	
   

  	
  Attention:

  	
   

  
	
   

  	
  Amount
  of Commitment:

  	
   

  
				

 

A-3

 

EXHIBIT B

 

FORM OF NOTE

 

June ___, 2010

 

Inland
Real Estate Corporation, a corporation organized under the laws of the State of
Maryland (the “Borrower”), promises to pay to the order of
_________________________ (the “Lender”) the aggregate unpaid principal
amount of all Loans made by the Lender to the Borrower pursuant to Article II
of the Fourth Amended and Restated Credit Agreement (as the same may be amended
or modified, the “Agreement”) hereinafter referred to, in immediately
available funds at the main office of KeyBank National Association in
Cleveland, Ohio, as Administrative Agent, together with interest on the unpaid
principal amount hereof at the rates and on the dates set forth in the
Agreement.  The Borrower shall pay
remaining unpaid principal of and accrued and unpaid interest on the Loans in
full on the Facility Termination Date or such earlier date as may be required
under the Agreement.

 

The
Lender shall, and is hereby authorized to, record on the schedule attached
hereto, or to otherwise record in accordance with its usual practice, the date
and amount of each Loan and the date and amount of each principal payment
hereunder.

 

This
Note amends and restates in its entirety that certain [Third Amended and
Restated] Note dated as of April 21, 2008 made by Borrower in favor of
Lender.

 

This
Note is one of the Notes issued pursuant to, and is entitled to the benefits
of, the Fourth Amended and Restated Credit Agreement, dated as of June ___,
2010 among the Borrower, KeyBank National Association, individually and as
Administrative Agent, and the other Lenders named therein, to which Agreement,
as it may be amended from time to time, reference is hereby made for a
statement of the terms and conditions governing this Note, including the terms
and conditions under which this Note may be prepaid or its maturity date
accelerated.  Capitalized terms used
herein and not otherwise defined herein are used with the meanings attributed
to them in the Agreement.

 

If
there is a Default under the Agreement or any other Loan Document and Agent
exercises the remedies provided under the Agreement and/or any of the Loan
Documents for the Lenders, then in addition to all amounts recoverable by the
Agent and the Lenders under such documents, Agent and the Lenders shall be
entitled to receive reasonable attorneys fees and expenses incurred by Agent
and the Lenders in connection with the exercise of such remedies.

 

Borrower
and all endorsers severally waive presentment, protest and demand, notice of
protest, demand and of dishonor and nonpayment of this Note, and any and all
lack of diligence or delays in collection or enforcement of this Note, and
expressly agree that this Note, or any payment hereunder, may be extended from
time to time, and expressly consent to the release of any party liable for the
obligation secured by this Note, the release of any of the security for this
Note, the acceptance of any other security therefor, or any other indulgence or
forbearance whatsoever, all without notice to any party and without affecting
the liability of the Borrower and any endorsers hereof.

 

This
Note shall be governed and construed under the internal laws of the State of
Illinois.

 

BORROWER AND LENDER, BY ITS ACCEPTANCE HEREOF, EACH HEREBY WAIVE ANY
RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY
RIGHT UNDER THIS NOTE OR ANY OTHER LOAN DOCUMENT OR RELATING THERETO OR ARISING
FROM THE LENDING RELATIONSHIP WHICH IS THE SUBJECT OF THIS NOTE AND AGREE THAT
ANY SUCH 

 

B-1

 

ACTION
OR PROCEEDING SHALL BE TRIED BEFORE A JUDGE AND NOT BEFORE A JURY.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION,

  
	
   

  	
  a
  Maryland corporation

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Print
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

B-2

 

SCHEDULE OF LOANS AND PAYMENTS OF PRINCIPAL

TO

NOTE OF INLAND REAL ESTATE CORPORATION,

DATED JUNE ___, 2010

 

	
  Date

  	
   

  	
  Principal

  Amount of Loan

  	
   

  	
  Maturity
  of

  Interest Period

  	
   

  	
  Maturity
  Principal

  Amount Paid

  	
   

  	
  Unpaid
  Balance

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

B-3

 

EXHIBIT C

 

COMPLIANCE CERTIFICATE

 

KeyBank
National Association, as Administrative Agent

127 Public Square

Cleveland, Ohio  44114

 

Re:                               Fourth Amended and Restated
Credit Agreement dated as of June ___, 2010 (as amended, modified,
supplemented, restated, or renewed, from time to time, the “Agreement”)
between INLAND REAL ESTATE CORPORATION (the “Borrower”), and KEYBANK
NATIONAL ASSOCIATION, as Administrative Agent for itself and the other lenders
parties thereto from time to time (“Lenders”).

 

Reference
is made to the Agreement.  Capitalized
terms used in this Certificate (including schedules and other attachments
hereto, this “Certificate”) without definition have the meanings
specified in the Agreement.

 

Pursuant
to applicable provisions of the Agreement, Borrower hereby certifies to the
Lenders that the information furnished in the attached schedules, including,
without limitation, each of the calculations listed below are true, correct and
complete in all material respects as of the last day of the fiscal periods
subject to the financial statements and associated covenants being delivered to
the Lenders pursuant to the Agreement together with this Certificate (such
statements the “Financial Statements” and the periods covered thereby
the “reporting period”) and for such reporting periods.

 

The
undersigned hereby further certifies to the Lenders that:

 

1.             Compliance with Financial
Covenants.  Schedule
A attached hereto sets forth financial data and computations evidencing the
Borrower’s compliance with certain covenants of the Agreement, all of which
data and computations are true, complete and correct.

 

2.             Review of Condition.  The undersigned has reviewed the terms of the
Agreement, including, but not limited to, the representations and warranties of
the Borrower set forth in the Agreement and the covenants of the Borrower set
forth in the Agreement, and has made, or caused to be made under his or her
supervision, a review in reasonable detail of the transactions and condition of
the Borrower through the reporting periods.

 

3.             Representations and
Warranties.  To the
undersigned’s actual knowledge, the representations and warranties of the
Borrower contained in the Loan Documents, including those contained in the
Agreement, are true and accurate in all material respects as of the date hereof
and were true and accurate in all material respects at all times during the
reporting period except as expressly noted on Schedule B hereto.

 

4.             Covenants.  To the undersigned’s actual knowledge, during
the reporting period, the Borrower observed and performed all of the respective
covenants and other agreements under the Agreement and the Loan Documents, and
satisfied each of the conditions contained therein to be observed, performed or
satisfied by the Borrower, except as expressly noted on Schedule B
hereto.

 

5.             No Event of Default.  To the undersigned’s actual knowledge, no
Event of Default exists as of the date hereof or existed at any time during the
reporting period, except as expressly noted on Schedule B hereto.

 

C-1

 

IN
WITNESS WHEREOF, this Certificate is executed by the undersigned this ___ day
of _________.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

C-2

 

EXHIBIT D

 

ASSIGNMENT AGREEMENT

 

This
Assignment Agreement (this “Assignment Agreement”) between
__________________ (the “Assignor”) and _______________ (the “Assignee”)
is dated as of _____________, _____.  The
parties hereto agree as follows:

 

1.             PRELIMINARY STATEMENT.  The Assignor is a party to a Credit Agreement
(which, as it may be amended, modified, renewed or extended from time to time
is herein called the “Credit Agreement”) described in Item 1 of Schedule
1 attached hereto (“Schedule 1”). 
Capitalized terms used herein and not otherwise defined herein shall
have the meanings attributed to them in the Credit Agreement.

 

2.             ASSIGNMENT AND ASSUMPTION.  The Assignor hereby sells and assigns to the
Assignee, and the Assignee hereby purchases and assumes from the Assignor, an
interest in and to the Assignor’s rights and obligations under the Credit
Agreement such that after giving effect to such assignment the Assignee shall
have purchased pursuant to this Assignment Agreement the percentage interest
specified in Item 3 of Schedule 1 of all outstanding rights and
obligations under the Credit Agreement and the other Loan Documents.  The aggregate Commitment (or Loans, if the
applicable Commitment has been terminated) purchased by the Assignee hereunder
is set forth in Item 4 of Schedule 1.

 

3.             EFFECTIVE DATE.  The effective date of this Assignment
Agreement (the “Effective Date”) shall be the later of the date
specified in Item 5 of Schedule 1 or two (2) Business Days (or such
shorter period agreed to by the Agent) after a Notice of Assignment
substantially in the form of Exhibit “I” attached hereto has been
delivered to the Administrative Agent. 
Such Notice of Assignment must include the consent of the Agent required
by Section 12.3(a) of the Credit Agreement.  In no event will the Effective Date occur if
the payments required to be made by the Assignee to the Assignor on the
Effective Date under Sections 4 and 5 hereof are not made on the
proposed Effective Date.  The Assignor
will notify the Assignee of the proposed Effective Date no later than the
Business Day prior to the proposed Effective Date.  As of the Effective Date, (i) the
Assignee shall have the rights and obligations of a Lender under the Loan
Documents with respect to the rights and obligations assigned to the Assignee
hereunder and (ii) the Assignor shall relinquish its rights and be
released from its corresponding obligations under the Loan Documents with
respect to the rights and obligations assigned to the Assignee hereunder.

 

4.             PAYMENTS OBLIGATIONS.  On and after the Effective Date, the Assignee
shall be entitled to receive from the Agent all payments of principal, interest
and fees with respect to the interest assigned hereby.  The Assignee shall advance funds directly to
the Agent with respect to all Loans and reimbursement payments made on or after
the Effective Date with respect to the interest assigned hereby.  [In consideration for the sale and assignment
of Loans hereunder, (i) the Assignee shall pay the Assignor, on the
Effective Date, an amount equal to the principal amount of the portion of all
Floating Rate Loans assigned to the Assignee hereunder and (ii) with
respect to each Fixed Rate Loan made by the Assignor and assigned to the
Assignee hereunder which is outstanding on the Effective Date, (a) on the
last day of the Interest Period therefor or (b) on such earlier date
agreed to by the Assignor and the Assignee or (c) on the date on which any
such Fixed Rate Loan either becomes due (by acceleration or otherwise) or is
prepaid (the date as described in the foregoing clauses (a), (b) or (c) being
hereinafter referred to as the “Fixed Rate Due Date”), the Assignee
shall pay the Assignor an amount equal to the principal amount of the portion
of such Fixed Rate Loan assigned to the Assignee which is outstanding on the
Fixed Rate Due Date.  If the Assignor and
the Assignee agree that the applicable Fixed Rate Due Date for such Fixed Rate
Loan shall be the Effective Date, they shall agree, solely for purposes of
dividing interest paid by the 

 

D-1

 

Borrower
on such Fixed Rate Loan, to an alternate interest rate applicable to the
portion of such Loan assigned hereunder for the period from the Effective Date
to the end of the related Interest Period (the “Agreed Interest Rate”)
and any interest received by the Assignee in excess of the Agreed Interest
Rate, with respect to such Fixed Rate Loan for such period, shall be remitted
to the Assignor.  [In
the event interest for any period from the Effective Date to but not including
the Fixed Rate Due Date is not paid when due by the Borrower with respect to
any Fixed Rate Loan sold by the Assignor to the Assignee hereunder, the
Assignee shall pay to the Assignor interest for such period on the portion of
such Fixed Rate Loan sold by the Assignor to the Assignee hereunder at the
applicable rate provided by the Credit Agreement.]  In the event a prepayment of any Fixed Rate
Loan which is existing on the Effective Date and assigned by the Assignor to
the Assignee hereunder occurs after the Effective Date but before the
applicable Fixed Rate Due Date, the Assignee shall remit to the Assignor any
excess of the funding indemnification amount paid by the Borrower under Section 3.4
of the Credit Agreement an account of such prepayment with respect to the
portion of such Fixed Rate Loan assigned to the Assignee hereunder over the
amount which would have been paid if such prepayment amount were calculated
based on the Agreed Interest Rate and only covered the portion of the Interest
Period after the Effective Date.  The
Assignee will promptly remit to the Assignor (i) the portion of any
principal payments assigned hereunder and received from the Agent with respect
to any Fixed Rate Loan prior to its Fixed Rate Due Date and (ii) any
amounts of interest on Loans and fees received from the Agent which relate to
the portion of the Loans assigned to the Assignee hereunder for periods prior
to the Effective Date, in the case of Floating Rate Loans or fees, or the Fixed
Rate Due Date, in the case of Fixed Rate Loans, and not previously paid by the
Assignee to the Assignor.]*  In the event
that either party hereto receives any payment to which the other party hereto
is entitled under this Assignment Agreement, then the party receiving such
amount shall promptly remit it to the other party hereto.

 

*Each
Assignor may insert its standard payment provisions in lieu of the payment
terms included in this Exhibit.

 

5.             FEES PAYABLE BY THE ASSIGNEE.  The Assignee shall pay to the Assignor a fee
on each day on which a payment of interest or facility fees is made under the
Credit Agreement with respect to the amounts assigned to the Assignee hereunder
(other than a payment of interest or facility fees attributable to the period prior
to the Effective Date or, in the case of Fixed Rate Loans, the Payment Date,
which the Assignee is obligated to deliver to the Assignor pursuant to Section 4
hereof).  The amount of such fee shall be
the difference between (i) the interest or fee, as applicable, paid with
respect to the amounts assigned to the Assignee hereunder and (ii) the
interest or fee, as applicable, which would have been paid with respect to the
amounts assigned to the Assignee hereunder if each interest rate was calculated
at the rate of ___% rather than the actual percentage used to calculate the
interest rate paid by the Borrower or if the Unused Fee was calculated at the
rate of ___% rather than the actual percentage used to calculate the Unused Fee
paid by the Borrower, as applicable.  In
addition, the Assignee agrees to pay ___% of the fee required to be paid to the
Agent in connection with this Assignment Agreement.

 

6.             REPRESENTATIONS OF THE ASSIGNOR;
LIMITATIONS ON THE ASSIGNOR’S LIABILITY. 
The Assignor represents and warrants that it is the legal and beneficial
owner of the interest being assigned by it hereunder, that such interest is
free and clear of any adverse claim created by the Assignor and that it has all
necessary right and authority to enter into this Assignment.  It is understood and agreed that the
assignment and assumption hereunder are made without recourse to the Assignor
and that the Assignor makes no other representation or warranty of any kind to
the Assignee.  Neither the Assignor nor
any of its officers, directors, employees, agents or attorneys shall be
responsible for (i) the due execution, legality, validity, enforceability,
genuineness, sufficiency or collectability of any Loan Document, including
without limitation, documents granting the Assignor and the other Lenders a
security interest in assets of the Borrower or any guarantor, (ii) any
representation, warranty or statement made in or in connection with any of the
Loan Documents, (iii) the financial condition or creditworthiness of the
Borrower or any guarantor, (iv) the performance of or compliance with any
of the terms or 

 

D-2

 

provisions
of any of the Loan Documents, (v) inspecting any of the Property, books or
records of the Borrower, (vi) the validity, enforceability, perfection,
priority, condition, value or sufficiency of any collateral securing or
purporting to secure the Loans or (vii) any mistake, error of judgment, or
action taken or omitted to be taken in connection with the Loans or the Loan
Documents.

 

7.             REPRESENTATIONS OF THE ASSIGNEE.  The Assignee (i) confirms that it has
received a copy of the Credit Agreement, together with copies of the financial
statements requested by the Assignee and such other documents and information
as it has deemed appropriate to make its own credit analysis and decision to
enter into this Assignment Agreement, (ii) agrees that it will,
independently and without reliance upon the Administrative Agent, the Assignor
or any other Lender and based on such documents and information at it shall
deem appropriate at the time, continue to make its own credit decisions in
taking or not taking action under the Loan Documents, (iii) appoints and
authorizes the Agent to take such action as agent on its behalf and to exercise
such powers under the Loan Documents as are delegated to the Administrative
Agent by the terms thereof, together with such powers as are reasonably
incidental thereto, (iv) agrees that it will perform in accordance with
their terms all of the obligations which by the terms of the Loan Documents are
required to be performed by it as a Lender, (v) agrees that its payment
instructions and notice instructions are as set forth in the attachment to Schedule
1, (vi) confirms that none of the funds, monies, assets or other
consideration being used to make the purchase and assumption hereunder are “plan
assets” as defined under ERISA and that its rights, benefits and interests in
and under the Loan Documents will not be “plan assets” under ERISA, [and (vii) attaches
the forms prescribed by the Internal Revenue Service of the United States
certifying that the Assignee is entitled to receive payments under the Loan
Documents without deduction or withholding of any United States federal income
taxes].**

 

**to be
inserted if the Assignee is not incorporated under the laws of the United
States, or a state thereof.

 

8.             INDEMNITY.  The Assignee agrees to indemnify and hold the
Assignor harmless against any and all losses, costs and expenses (including,
without limitation, reasonable attorneys’ fees) and liabilities incurred by the
Assignor in connection with or arising in any manner from the Assignee’s
non-performance of the obligations assumed under this Assignment Agreement.

 

9.             SUBSEQUENT ASSIGNMENTS.  After the Effective Date, the Assignee shall
have the right pursuant to Section 12.3(a) of the Credit
Agreement to assign the rights which are assigned to the Assignee hereunder to
any entity or person, provided that (i) any such subsequent
assignment does not violate any of the terms and conditions of the Loan
Documents or any law, rule, regulation, order, writ, judgment, injunction or
decree and that any consent required under the terms of the Loan Documents has
been obtained and (ii) unless the prior written consent of the Assignor is
obtained, the Assignee is not thereby released from its obligations to the
Assignor hereunder, if any remain unsatisfied, including, without limitation,
its obligations under Sections 4, 5 and 8 hereof.

 

10.           REDUCTIONS OF AGGREGATE COMMITMENT.  If any reduction in the Aggregate Commitment
occurs between the date of this Assignment Agreement and the Effective Date,
the percentage interest specified in Item 3 of Schedule 1 shall remain
the same, but the dollar amount purchased shall be recalculated based on the
reduced Aggregate Commitment.

 

11.           ENTIRE AGREEMENT.  This Assignment Agreement and the attached
Notice of Assignment embody the entire agreement and understanding between the
parties hereto and supersede all prior agreements and understandings between
the parties hereto relating to the subject matter hereof.

 

12.           GOVERNING LAW.  This Assignment Agreement shall be governed
by the internal law, and not the law of conflicts, of the State of Illinois.

 

D-3

 

13.           NOTICES.  Notices shall be given under this Assignment
Agreement in the manner set forth in the Credit Agreement.  For the purpose hereof, the addresses of the
parties hereto (until notice of a change is delivered) shall be the address set
forth in the attachment to Schedule 1.

 

IN
WITNESS WHEREOF, the parties hereto have executed this Assignment Agreement by
their duly authorized officers as of the date first above written.

 

	
   

  	
  [NAME
  OF ASSIGNOR]

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  [NAME
  OF ASSIGNEE]

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  

 

D-4

 

SCHEDULE 1

 

D-5

 

Attachment to SCHEDULE 1 to ASSIGNMENT AGREEMENT

 

Attach Assignor’s Administrative Information Sheet, which must

include notice address for the Assignor and the Assignee

 

D-6

 

SCHEDULE 1

to Assignment Agreement

 

	
  1.

  	
   

  	
  Description and Date of
  Credit Agreement:

  	
   

  	
  _______________________

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
   

  	
  Date
  of Assignment Agreement:

  	
   

  	
  _____________
  ____,_____

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
   

  	
  Amounts
  (As of Date of Item 2 above):

  	
   

  	
  _______________________

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  a.

  	
  Aggregate
  Commitment (Loans)* under Credit Agreement

  	
   

  	
  $______________________

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  b.

  	
  Assignee’s
  Percentage of the Aggregate Commitment purchased under this Assignment
  Agreement**

  	
   

  	
  _____________________%

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
   

  	
  Amount
  of Assignor’s (Loan Amount)** Commitment Purchased under this Assignment
  Agreement:

  	
   

  	
  $______________________

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
   

  	
  Proposed
  Effective Date:

  	
   

  	
  _______________________

  

 

Accepted
and Agreed:

 

	
  [NAME
  OF ASSIGNOR]

  	
  [NAME
  OF ASSIGNEE]

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  
							

 

*              If a Commitment
has been terminated, insert outstanding Loans in place of Commitment

**           Percentage
taken to 10 decimal places

 

D-7

 

EXHIBIT “I”

to Assignment Agreement

 

NOTICE OF ASSIGNMENT

 

________________, ____

 

To:                              KeyBank National Association

800 Superior, 6th Floor

Cleveland, OH 44114

Attention:  Vicki Heineck

 

From:      [NAME OF
ASSIGNOR] (the “Assignor”)

[NAME
OF ASSIGNEE] (the “Assignee”)

 

1.             We refer to that Credit Agreement
(the “Credit Agreement”) described in Item 1 of Schedule 1
attached hereto (“Schedule 1”). 
Capitalized terms used herein and not otherwise defined herein shall have
the meanings attributed to them in the Credit Agreement.

 

2.             This Notice of Assignment (this “Notice”)
is given and delivered to the Administrative Agent pursuant to Section 12.3(b) of
the Credit Agreement.

 

3.             The Assignor and the Assignee have
entered into an Assignment Agreement, dated as of ________, _____ (the “Assignment”),
pursuant to which, among other things, the Assignor has sold, assigned,
delegated and transferred to the Assignee, and the Assignee has purchased,
accepted and assumed from the Assignor the percentage interest specified in
Item 3 of Schedule 1 of all outstandings, rights and obligations under
the Credit Agreement.  The Effective Date
of the Assignment shall be the later of the date specified in Item 5 of Schedule
1 or two (2) Business Days (or such shorter period as agreed to by the
Administrative Agent) after this Notice of Assignment and any fee required by Section 12.3(b) of
the Credit Agreement have been delivered to the Administrative Agent, provided
that the Effective Date shall not occur if any condition precedent agreed to by
the Assignor and the Assignee has not been satisfied.

 

4.             The Assignor and the Assignee
hereby give to the Administrative Agent notice of the assignment and delegation
referred to herein.  The Assignor will
confer with the Administrative Agent before the date specified in Item 5 of Schedule
1 to determine if the Assignment Agreement will become effective on such
date pursuant to Section 3 hereof, and will confer with the
Administrative Agent to determine the Effective Date pursuant to Section 3
hereof if it occurs thereafter.  The
Assignor shall notify the Administrative Agent if the Assignment Agreement does
not become effective on any proposed Effective Date as a result of the failure
to satisfy the conditions precedent agreed to by the Assignor and the
Assignee.  At the request of the
Administrative Agent, the Assignor will give the Administrative Agent written
confirmation of the satisfaction of the conditions precedent.

 

5.             The Assignor or the Assignee shall
pay to the Administrative Agent on or before the Effective Date the processing
fee of $3,500 required by Section 12.3(b) of the Credit
Agreement.

 

6.             If Notes are outstanding on the
Effective Date, the Assignor and the Assignee request and direct that the
Administrative Agent prepare and cause the Borrower to execute and deliver new
Notes or, as appropriate, replacements notes, to the Assignor and the
Assignee.  The Assignor and, if
applicable, the Assignee each agree to deliver to the Administrative Agent the
original Note received by it from the Borrower upon its receipt of a new Note
in the appropriate amount.

 

D-8

 

7.             The Assignee advises the
Administrative Agent that notice and payment instructions are set forth in the
attachment to Schedule 1.

 

8.             The Assignee hereby represents and
warrants that none of the funds, monies, assets or other consideration being
used to make the purchase pursuant to the Assignment are “plan assets” as
defined under ERISA and that its rights, benefits, and interests in and under
the Loan Documents will not be “plan assets” under ERISA.

 

9.             The Assignee authorizes the
Administrative Agent to act as its Administrative Agent under the Loan
Documents in accordance with the terms thereof. 
The Assignee acknowledges that the Administrative Agent has no duty to
supply information with respect to the Borrower or the Loan Documents to the
Assignee until the Assignee becomes a party to the Credit Agreement.*

 

*May be
eliminated if Assignee is a party to the Credit Agreement prior to the
Effective Date.

 

	
  NAME
  OF ASSIGNOR

  	
  NAME
  OF ASSIGNEE

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  
	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  
							

 

D-9

 

ACKNOWLEDGED
AND, IF REQUIRED BY THE

CREDIT AGREEMENT, CONSENTED TO BY

KEYBANK NATIONAL ASSOCIATION, as Agent

 

 

	
  By:

  	
   

  	
   

  	
   

  
	
  Title:

  	
   

  	
   

  	
   

  
					

 

[Attach photocopy of Schedule 1 to Assignment]

 

D-10

 

EXHIBIT E

 

LOAN/CREDIT RELATED MONEY TRANSFER INSTRUCTION

 

To:                              KeyBank National Association

as Administrative Agent (the “Agent”)

under the Credit Agreement Described Below

 

Re:                               Fourth Amended and Restated
Credit Agreement, dated June ___, 2010 (as the same may be amended or
modified, the “Credit Agreement”), among Inland Real Estate Corporation,
a corporation organized under the laws of the State of Maryland (the “Borrower”),
the Agent, and the Lenders named therein. 
Terms used herein and not otherwise defined shall have the meanings
assigned thereto in the Credit Agreement.

 

The
Agent is specifically authorized and directed to act upon the following
standing money transfer instructions with respect to the proceeds of Advances
or other extensions of credit from time to time until receipt by the Agent of a
specific written revocation of such instructions by the Borrower, provided,
however, that the Agent may otherwise transfer funds as hereafter
directed in writing by the Borrower in accordance with Section 13.1
of the Credit Agreement or based on any telephonic notice made in accordance
with Section 2.16 of the Credit Agreement.

 

	
  Facility
  Identification Number(s)

  	
   

  
	
   

  
	
  Customer/Account Name

  	
   

  
	
   

  
	
  Transfer
  Funds To

  	
   

  
	
   

  
	
   

  
	
   

  
	
  For
  Account No.

  	
   

  
	
   

  
	
  Reference/Attention
  To

  	
   

  
						

 

	
  Authorized
  Officer

  	
   

  	
   

  
	
  (Customer
  Representative)

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (Please
  Print)

  	
   

  	
  Signature

  	
   

  
	
   

  	
   

  	
   

  
	
  Bank
  Officer Name

  	
   

  	
  Date

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  (Please
  Print)

  	
   

  	
  Signature

  	
   

  
					

 

(Deliver Completed Form to Credit Support Staff For Immediate
Processing)

 

E-1

 

EXHIBIT F

 

SUBSIDIARY GUARANTY

 

This
Guaranty is made as of June ___, 2010 by the parties identified in the
signature pages thereto, and any Joinder to Guaranty hereafter delivered
(collectively, the “Subsidiary Guarantors”), to and for the benefit of
KeyBank National Association, individually (“KeyBank”) and as
administrative agent (“Administrative Agent”) for itself and the lenders
under the Credit Agreement (as defined below) and their respective successors
and assigns (collectively, the “Lenders”) and to and for the benefit of
the counterparties to those certain “Related Swap Contracts” (as defined in the
Credit Agreement), which may include Lenders and certain Affiliates of Lenders
(collectively, the “Related Creditors” and, with the Lenders, the “Credit
Parties”).

 

RECITALS

 

A.            Inland Real Estate
Corporation, a corporation organized under the laws of the State of Maryland (“Borrower”),
and Subsidiary Guarantors have requested that the Lenders make a revolving credit
facility available to Borrower in an aggregate principal amount of up to
$150,000,000, subject to future increase up to $250,000,000 (the “Facility”).

 

B.            The Lenders have agreed to
make available the Facility to Borrower pursuant to the terms and conditions
set forth in that certain Fourth Amended and Restated Credit Agreement of even
date herewith among Borrower, the Administrative Agent, and the Lenders named
therein (as amended, modified or restated from time to time, the “Credit
Agreement”).  All capitalized terms
used herein and not otherwise defined shall have the meanings ascribed to such
terms in the Credit Agreement.

 

C.            Borrower has executed and
delivered or will execute and deliver to the Lenders promissory notes in the
principal amount of each Lender’s Commitment and promissory notes in the
principal amount, if any, of each Lender’s Loan as evidence of Borrower’s
indebtedness to each such Lender with respect to the Facility (the promissory
notes described above, together with any amendments or allonges thereto, or
restatements, replacements or renewals thereof, and/or new promissory notes to
new Lenders under the Credit Agreement, are collectively referred to herein as
the “Notes”).

 

D.            Borrower may enter into
certain Related Swap Contracts with one or more of the Lenders or Affiliates of
Lenders.

 

E.             Subsidiary Guarantors are
subsidiaries of Borrower.  Subsidiary
Guarantors acknowledge that the extension of credit by the Administrative Agent
and the Lenders to Borrower pursuant to the Credit Agreement and the execution
and delivery of Related Swap Contracts by certain Lenders and Affiliates of
Lenders will benefit Subsidiary Guarantors by making funds available to
Subsidiary Guarantors through Borrower and by enhancing the financial strength of
the consolidated group of which Subsidiary Guarantors and Borrower are
members.  The execution and delivery of
this Guaranty by Subsidiary Guarantors are conditions precedent to the
performance by the Lenders of their obligations under the Credit Agreement and
the execution and delivery of any Related Swap Contracts by such Lenders and
Affiliates of Lender.

 

AGREEMENTS

 

NOW,
THEREFORE, Subsidiary Guarantors, in consideration of the matters described in
the foregoing Recitals, which Recitals are incorporated herein and made a part
hereof, and for other good and valuable consideration, hereby agree as follows:

 

F-1

 

1.             Subsidiary Guarantors
absolutely, unconditionally, and irrevocably guaranty to each of the Lenders
and Lenders’ Affiliates:

 

(a)           the full and
prompt payment of the principal of and interest on the Notes when due, whether
at stated maturity, upon acceleration or otherwise, and at all times
thereafter, and the prompt payment of all sums which may now be or may
hereafter become due and owing under the Notes, the Credit Agreement, and the
other Loan Documents;

 

(b)           prompt payment
of all sums which may now be or may hereafter be come due and owing under the
Related Swap Contracts;

 

(c)           the payment of
all Enforcement Costs (as hereinafter defined in Paragraph 7 hereof); and

 

(d)           the full,
complete, and punctual observance, performance, and satisfaction of all of the
obligations, duties, covenants, and agreements of Borrower under the Credit
Agreement and the Loan Documents and under the Related Swap Contracts.

 

All
amounts due, debts, liabilities, and payment obligations described in
subparagraphs (a) and (b) of this Paragraph 1 are referred to
herein as the “Guaranteed Indebtedness.” 
All obligations described in subparagraph (d) of this Paragraph
1 are referred to herein as the “Obligations.”  Subsidiary Guarantors and the Credit Parties
agree that Subsidiary Guarantors’ obligations hereunder shall not exceed the
greater of:  (i) the aggregate
amount of all monies received, directly or indirectly, by Subsidiary Guarantors
from Borrower after the date hereof (whether by loan, capital infusion or other
means), or (ii) the maximum amount of the Guaranteed Indebtedness not
subject to avoidance under Title 11 of the United States Code, as same may be
amended from time to time, or any applicable state law (the “Bankruptcy Code”).  To that end, to the extent such obligations
would otherwise be subject to avoidance under the Bankruptcy Code if Subsidiary
Guarantors are not deemed to have received valuable consideration, fair value
or reasonably equivalent value for its obligations hereunder, each Subsidiary
Guarantor’s obligations hereunder shall be reduced to that amount which, after
giving effect thereto, would not render such Subsidiary Guarantor insolvent, or
leave such Subsidiary Guarantor with an unreasonably small capital to conduct
its business, or cause such Subsidiary Guarantor to have incurred debts (or
intended to have incurred debts) beyond its ability to pay such debts as they
mature, as such terms are determined, and at the time such obligations are
deemed to have been incurred, under the Bankruptcy Code.  In the event a Subsidiary Guarantor shall
make any payment or payments under this Guaranty each other guarantor of the
Guaranteed Indebtedness shall contribute to such Subsidiary Guarantor an amount
equal to such non-paying Subsidiary Guarantor’s pro rata share (based on their
respective maximum liabilities hereunder and under such other guaranty) of such
payment or payments made by such Subsidiary Guarantor, provided that
such contribution right shall be subordinate and junior in right of payment in
full of all the Guaranteed Indebtedness to Lenders.

 

2.             In the event of any default
by Borrower in making payment of the Guaranteed Indebtedness, or in performance
of the Obligations, as aforesaid, in each case beyond the expiration of any
applicable grace period, Subsidiary Guarantors agree, on demand by the
Administrative Agent or the holder of a Note or Credit Party under a Related
Swap Contract, to pay all the Guaranteed Indebtedness and to perform all the
Obligations as are then or thereafter become due and owing or are to be
performed under the terms of the Notes, the Credit Agreement, and the other
Loan Documents or under the Related Swap Contract, as the case may be.

 

3.             Subsidiary Guarantors do
hereby waive (i) notice of acceptance of this Guaranty by the
Administrative Agent and the Credit Parties and any and all notices and demands
of every kind which may be required to be given by any statute, rule or
law, (ii) any defense, right of set-off or other claim which Subsidiary
Guarantors may have against Borrower or which Subsidiary Guarantors or Borrower

 

F-2

 

may
have against the Administrative Agent or the Credit Parties or the holder of a
Note, (iii) presentment for payment, demand for payment (other than as
provided for in Paragraph 2 above), notice of nonpayment (other than as
provided for in Paragraph 2 above) or dishonor, protest and notice of
protest, diligence in collection and any and all formalities which otherwise
might be legally required to charge Subsidiary Guarantors with liability, (iv) any
failure by the Administrative Agent and the Credit Parties to inform Subsidiary
Guarantors of any facts the Administrative Agent and the Credit Parties may now
or hereafter know about Borrower, the Facility, Related Swap Contract, or the
transactions contemplated by the Credit Agreement, it being understood and
agreed that the Administrative Agent and the Lenders and the Credit Parties
have no duty so to inform and that Subsidiary Guarantors are fully responsible
for being and remaining informed by Borrower of all circumstances bearing on
the existence or creation, or the risk of nonpayment of the Guaranteed
Indebtedness or the risk of nonperformance of the Obligations, and (v) any
and all right to cause a marshalling of assets of Borrower or any other action
by any court or governmental body with respect thereto, or to cause the
Administrative Agent and the Credit Party to proceed against any other security
given to a Credit Party in connection with the Guaranteed Indebtedness or the
Obligations.  Credit may be granted or
continued from time to time by the Credit Parties to Borrower without notice to
or authorization from Subsidiary Guarantors, regardless of the financial or
other condition of Borrower at the time of any such grant or continuation.  The Administrative Agent and the Credit
Parties shall have no obligation to disclose or discuss with Subsidiary
Guarantors the Credit Parties’ assessment of the financial condition of
Borrower.  Subsidiary Guarantors
acknowledge that no representations of any kind whatsoever have been made by
the Administrative Agent and the Credit Parties to Subsidiary Guarantors.  No modification or waiver of any of the
provisions of this Guaranty shall be binding upon the Administrative Agent and
the Credit Parties except as expressly set forth in a writing duly signed and delivered
on behalf of the Administrative Agent and the Credit Parties.  Subsidiary Guarantors further agree that any
exculpatory language contained in the Credit Agreement, the Notes, and the
other Loan Documents or in the Related Swap Contracts shall in no event apply
to this Guaranty, and will not prevent the Administrative Agent and the Credit
Parties from proceeding against Subsidiary Guarantors to enforce this Guaranty.

 

4.             Subsidiary Guarantors
further agree that Subsidiary Guarantors’ liability as guarantor shall in no
way be impaired by any renewals or extensions which may be made from time to
time, with or without the knowledge or consent of Subsidiary Guarantors of the
time for payment of interest or principal under a Note or by any forbearance or
delay in collecting interest or principal under a Note, or by any waiver by the
Administrative Agent and the Lenders under the Credit Agreement, or any other
Loan Documents, or any waiver by the Related Creditors under any Related Swap
Contracts or by the Administrative Agent or the Credit Parties’ failure or
election not to pursue any other remedies they may have against Borrower, or by
any change or modification in a Note, the Credit Agreement, or any other Loan
Documents or in a Related Swap Contract, or by the acceptance by the
Administrative Agent or the Credit Parties of any security or any increase,
substitution or change therein, or by the release by the Administrative Agent
and the Credit Parties of any security or any withdrawal thereof or decrease
therein, or by the application of payments received from any source to the
payment of any obligation other than the Guaranteed Indebtedness, even though a
Credit Party might lawfully have elected to apply such payments to any part or
all of the Guaranteed Indebtedness, it being the intent hereof that Subsidiary
Guarantors shall remain liable as principal for payment of the Guaranteed
Indebtedness and performance of the Obligations until all indebtedness has been
paid in full and the other terms, covenants and conditions of the Credit
Agreement, and other Loan Documents and the Related Swap Contracts and this
Guaranty have been performed, notwithstanding any act or thing which might
otherwise operate as a legal or equitable discharge of a surety.  Subsidiary Guarantors further understand and
agree that the Administrative Agent and the Credit Parties may at any time
enter into agreements with Borrower to amend and modify a Note, the Credit
Agreement or any of the other Loan Documents or any Related Swap Contract, or
any thereof, and may waive or release any provision or provisions of a Note,
the Credit Agreement, or any other Loan Document or any Related Swap Contract
and, with reference to such instruments, may make and enter into any such
agreement or agreements as the Administrative Agent, the 

 

F-3

 

Credit
Parties and Borrower may deem proper and desirable, without in any manner
impairing this Guaranty or any of the Administrative Agent’s, and Credit
Parties’ rights hereunder or any of Subsidiary Guarantors’ obligations
hereunder.

 

5.             This is an absolute,
unconditional, complete, present and continuing guaranty of payment and
performance and not of collection.  Each
Subsidiary Guarantor agrees that its obligations hereunder shall be joint and
several with any and all other guarantees given in connection with the
Guaranteed Indebtedness or Obligations from time to time.  Subsidiary Guarantors agree that this
Guaranty may be enforced by the Administrative Agent and the Credit Parties
without the necessity at any time of resorting to or exhausting any security or
collateral, if any, given in connection herewith or with a Note, the Credit
Agreement, or any of the other Loan Documents or the Related Swap Contracts or
by or resorting to any other guaranties, and Subsidiary Guarantors hereby waive
the right to require the Administrative Agent and the Credit Parties to join
Borrower in any action brought hereunder or to commence any action against or
obtain any judgment against Borrower or to pursue any other remedy or enforce
any other right.  Subsidiary Guarantors
further agree that nothing contained herein or otherwise shall prevent the
Administrative Agent and the Credit Parties from pursuing concurrently or
successively all rights and remedies available to them at law and/or in equity
or under a Note, the Credit Agreement or any other Loan Documents or under the
Related Swap Contracts, and the exercise of any of their rights or the
completion of any of their remedies shall not constitute a discharge of any of
Subsidiary Guarantors’ obligations hereunder, it being the purpose and intent
of Subsidiary Guarantors that the obligations of such Subsidiary Guarantors
hereunder shall be primary, absolute, independent and unconditional under any
and all circumstances whatsoever. 
Neither Subsidiary Guarantors’ obligations under this Guaranty nor any
remedy for the enforcement thereof shall be impaired, modified, changed or
released in any manner whatsoever by any impairment, modification, change,
release or limitation of the liability of Borrower under a Note, the Credit
Agreement, or any other Loan Document or under a Related Swap Contract or by
reason of Borrower’s bankruptcy or by reason of any creditor or bankruptcy
proceeding instituted by or against Borrower. 
This Guaranty shall continue to be effective and be deemed to have
continued in existence or be reinstated (as the case may be) if at any time
payment of all or any part of any sum payable pursuant to a Note, the Credit Agreement,
or any other Loan Document or pursuant to a Related Swap Contract is rescinded
or otherwise required to be returned by the payee upon the insolvency,
bankruptcy, or reorganization of the payor, all as though such payment to such
Credit Party had not been made, regardless of whether such Credit Party
contested the order requiring the return of such payment.  The obligations of Subsidiary Guarantors
pursuant to the preceding sentence shall survive any termination, cancellation,
or release of this Guaranty.

 

6.             This Guaranty shall be
assignable by a Credit Party to any assignee of all or a portion of such Credit
Party’s rights under the Loan Documents or Related Swap Contracts.

 

7.             If:  (i) this Guaranty, a Note, or any of the
Loan Documents or any Related Swap Contract are placed in the hands of an
attorney for collection or is collected through any legal proceeding; (ii) an
attorney is retained to represent the Administrative Agent or any Credit Party
in any bankruptcy, reorganization, receivership, or other proceedings affecting
creditors’ rights and involving a claim under this Guaranty, a Note, the Credit
Agreement, or any Loan Document or any Related Swap Contract; (iii) an
attorney is retained to enforce any of the other Loan Documents or a Related
Swap Contract or to provide advice or other representation with respect to the
Loan Documents or a Related Swap Contract in connection with an enforcement
action or potential enforcement action; or (iv) an attorney is retained to
represent the Administrative Agent or any Credit Party in any other legal
proceedings whatsoever in connection with this Guaranty, a Note, the Credit
Agreement, any of the Loan Documents or any Related Swap Contract, or any
property subject thereto (other than any action or proceeding brought by any
Credit Facility or participant against the Administrative Agent alleging a
breach by the Administrative Agent of its duties under the Loan Documents),
then Subsidiary Guarantors shall pay to the Administrative Agent or such Credit
Party upon demand all reasonable attorney’s fees, costs and expenses,
including, without 

 

F-4

 

limitation,
court costs, filing fees and all other costs and expenses incurred in
connection therewith (all of which are referred to herein as “Enforcement
Costs”), in addition to all other amounts due hereunder.

 

8.             The parties hereto intend
that each provision in this Guaranty comports with all applicable local, state
and federal laws and judicial decisions. 
However, if any provision or provisions, or if any portion of any
provision or provisions, in this Guaranty is found by a court of law to be in
violation of any applicable local, state or federal ordinance, statute, law,
administrative or judicial decision, or public policy, and if such court should
declare such portion, provision or provisions of this Guaranty to be illegal,
invalid, unlawful, void or unenforceable as written, then it is the intent of
all parties hereto that such portion, provision or provisions shall be given
force to the fullest possible extent that they are legal, valid and
enforceable, that the remainder of this Guaranty shall be construed as if such
illegal, invalid, unlawful, void or unenforceable portion, provision or
provisions were not contained therein, and that the rights, obligations and
interest of the Administrative Agent and the Credit Parties or the holder of a
Note under the remainder of this Guaranty shall continue in full force and
effect.

 

9.             Any indebtedness of Borrower
to Subsidiary Guarantors now or hereafter existing is hereby subordinated to
the Facility Indebtedness.  Subsidiary
Guarantors will not seek, accept, or retain for Subsidiary Guarantors’ own
account, any payment from Borrower on account of such subordinated debt at any
time when a Default or Unmatured Default exists under the Credit Agreement or
the Loan Documents or when a default under any Related Swap Contract has
occurred and is continuing beyond any applicable notice and cure period
thereunder, and any such payments to Subsidiary Guarantors made while any such
event has occurred and is continuing on account of such subordinated debt shall
be collected and received by Subsidiary Guarantors in trust for the Credit
Parties and shall be paid over to the Administrative Agent on behalf of the
Lenders or to the applicable Related Creditor, as the case may be, on account
of the Guaranteed Indebtedness without impairing or releasing the obligations
of Subsidiary Guarantors hereunder.

 

10.           Subsidiary Guarantors hereby
subordinate to the Guaranteed Indebtedness any and all claims and rights,
including, without limitation, subrogation rights, contribution rights,
reimbursement rights and set-off rights, which Subsidiary Guarantors may have
against Borrower arising from a payment made by Subsidiary Guarantors under
this Guaranty and agree that, until the entire Guaranteed Indebtedness is paid
in full, not to assert or take advantage of any subrogation rights of
Subsidiary Guarantors or the Credit Parties or any right of Subsidiary
Guarantors or the Credit Parties to proceed against (i) Borrower for
reimbursement, or (ii) any other guarantor or any collateral security or
guaranty or right of offset held by the Credit Parties for the payment of the
Guaranteed Indebtedness and performance of the Obligations, nor shall
Subsidiary Guarantors seek or be entitled to seek any contribution or
reimbursement from Borrower or any other guarantor in respect of payments made
by Subsidiary Guarantors hereunder.  It
is expressly understood that the agreements of Subsidiary Guarantors set forth
above constitute additional and cumulative benefits given to the Credit Parties
for their security and as an inducement for their extension of credit to
Borrower.

 

11.           Any amounts received by a
Credit Parties from any source on account of any indebtedness may be applied by
such Credit Parties toward the payment of such indebtedness, and in such order
of application, as such Credit Party may from time to time elect.

 

12.           Subsidiary Guarantors hereby
submit to personal jurisdiction in the State of Illinois for the enforcement of
this Guaranty and waives any and all personal rights to object to such
jurisdiction for the purposes of litigation to enforce this Guaranty.  Subsidiary Guarantors hereby consent to the
jurisdiction of either the Circuit Court of Cook County, Illinois, or the
United States District Court for the Northern District of Illinois, in any
action, suit, or proceeding which the Administrative Agent or a Credit Party
may at any time wish to file in connection with this Guaranty or any related
matter.  Subsidiary Guarantors hereby
agree that an action, suit, or proceeding to enforce this Guaranty may be
brought in 

 

F-5

 

any
state or federal court in the State of Illinois and hereby waives any objection
which Subsidiary Guarantors may have to the laying of the venue of any such
action, suit, or proceeding in any such court; provided, however,
that the provisions of this Paragraph shall not be deemed to preclude the
Administrative Agent or a Credit Party from filing any such action, suit, or
proceeding in any other appropriate forum.

 

13.           All notices and other
communications provided to any party hereto under this Guaranty shall be in
writing or by telex or by facsimile and addressed or delivered to such party at
its address set forth below or at such other address as may be designated by
such party in a notice to the other parties. 
Any notice, if mailed and properly addressed with postage prepaid, shall
be deemed given when received; any notice, if transmitted by facsimile, shall
be deemed given when transmitted.  Notice
may be given as follows:

 

To
Subsidiary Guarantors:

 

	
  c/o Inland Real Estate Corporation

  
	
  2901 Butterfield Road

  
	
  Oak Brook, Illinois 60523

  
	
  Attention:

  	
  Mark
  E. Zalatoris

  
	
  Telephone:

  	
  630-218-7351

  
	
  Facsimile:

  	
  630-218-7350

  

 

With
a copy to:

 

	
  c/o
  Inland Real Estate Corporation

  	
   

  
	
  2901
  Butterfield Road

  	
   

  
	
  Oak Brook, Illinois 60523

  
	
  Attention:

  	
  Beth
  S. Brooks

  
	
  Telephone:

  	
  630-645-2078

  
	
  Facsimile:

  	
  630-218-7350

  
			

 

To
KeyBank as Administrative Agent and as a Lender:

 

	
  1200
  Abernathy Rd NE, Suite 1550

  	
   

  
	
  Atlanta, Georgia 30328

  
	
  Attention:

  	
  Kevin
  Murray

  
	
  Phone:

  	
  216-689-4660

  
	
  Facsimile:

  	
  216-689-3566

  
			

 

With
a copy to:

 

	
  KeyBank National Association

  
	
  800 Superior, 6th Floor

  
	
  Cleveland, Ohio 44114

  
	
  Attention:

  	
  Vicki Heineck

  
	
  Phone:

  	
  216-828-7512

  
	
  Facsimile:

  	
  216-828-7523

  

 

F-6

 

With
a copy to:

 

	
  Sonnenschein Nath & Rosenthal LLP

  
	
  233 South Wacker Drive

  
	
  Suite 7800

  
	
  Chicago, Illinois 60606

  
	
  Attention:

  	
  Patrick
  G. Moran, Esq.

  
	
  Telephone:

  	
  312-876-8132

  
	
  Facsimile:

  	
  312-876-7934

  

 

If
to any other Lender, to its address set forth in the Credit Agreement.

 

If
to any Related Creditor, to its address set forth in the applicable Related
Swap Contract.

 

14.           This Guaranty shall be
binding upon the heirs, executors, legal and personal representatives,
successors and assigns of Subsidiary Guarantors and shall inure to the benefit
of the Administrative Agent and the Credit Parties’ successors and assigns.

 

15.           This Guaranty shall be
construed and enforced under the internal laws of the State of Illinois.

 

16.          SUBSIDIARY
GUARANTORS, THE ADMINISTRATIVE AGENT AND THE CREDIT PARTIES, BY THEIR
ACCEPTANCE HEREOF, EACH HEREBY WAIVE ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION
OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHT UNDER THIS GUARANTY OR ANY OTHER
LOAN DOCUMENT OR RELATED SWAP CONTRACT OR RELATING THERETO OR ARISING FROM THE
LENDING OR COUNTERPARTY RELATIONSHIP WHICH IS THE SUBJECT OF THIS GUARANTY AND
AGREE THAT ANY SUCH ACTION OR PROCEEDING SHALL BE TRIED BEFORE A COURT AND NOT
BEFORE A JURY.

 

17.           From time to time,
additional parties may execute a joinder substantially in the form of Exhibit A
hereto, and thereby become a party to this Guaranty.  From and after delivery of such joinder, the
Subsidiary delivering such joinder shall be a Subsidiary Guarantor, and be
bound by all of the terms and provisions of this Guaranty.

 

F-7

 

IN
WITNESS WHEREOF, Subsidiary Guarantors have delivered this Guaranty in the
State of Illinois as of the date first written above.

 

	
   

  	
  INLAND
  NANTUCKET SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  SALEM SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  HAWTHORNE VILLAGE COMMONS, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE BAT, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-8

 

	
   

  	
  INLAND
  LANSING SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE AURORA COMMONS, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  RIVER SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  WOODFIELD PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-9

 

	
   

  	
  INLAND
  EASTGATE SHOPPING CENTER, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  ORLAND GREENS, L.L.C.

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  TWO RIVERS PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  ELMWOOD PARK, L.L.C.

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-10

 

	
   

  	
  INLAND
  PARK CENTER PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  V. RICHARDS PLAZA, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
    By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  GATEWAY SQUARE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  PINE TREE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-11

 

	
   

  	
  INLAND
  SCHAUMBURG PROMENADE, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE DEER TRACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  REAL ESTATE TOWNES CROSSING, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  BRUNSWICK MARKETPLACE, L.L.C., 

  a Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-12

 

	
   

  	
  INLAND
  MEDINA MARKETPLACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  INLAND
  SHOPS AT ORCHARD PLACE, L.L.C.,

  
	
   

  	
  a
  Delaware limited liability company

  
	
   

  	
   

  
	
   

  	
  By:

  	
  Inland
  Real Estate Corporation,

  
	
   

  	
   

  	
  a
  Maryland corporation, its sole member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

F-13

 

EXHIBIT A TO SUBSIDIARY GUARANTY

 

FORM OF JOINDER TO GUARANTY

 

THIS
JOINDER is executed by __________, a __________ (“Subsidiary”), which
hereby agrees as follows:

 

1.             All capitalized terms used herein
and not defined in this Joinder shall have the meanings provided in that
certain Subsidiary Guaranty (the “Guaranty”) dated as of June ___,
2010 executed for the benefit of KeyBank National Association, as agent for
itself and certain other lenders, with respect to a loan from the Lenders to
Inland Real Estate Corporation (“Borrower”) and for the benefit of
certain “Related Creditors” under “Related Swap Contracts” (as
such terms are defined therein).

 

2.             As required by the Credit Agreement
described in the Guaranty, Subsidiary is executing this Joinder to become a
party to the Guaranty.

 

3.             Each and every term, condition,
representation, warranty, and other provision of the Guaranty, by this
reference, is incorporated herein as if set forth herein in full and the
undersigned agrees to fully and timely perform each and every obligation of a
Subsidiary Guarantor under such Guaranty.

 

[INSERT SIGNATURE BLOCK]

 

F-14

 

EXHIBIT G

 

ENVIRONMENTAL INVESTIGATION SPECIFICATIONS AND PROCEDURES

 

Phase
I Environmental Site Assessments to be prepared in accordance with the ASTM
Standard Practice for Environmental Site Assessments:  Phase I Environmental Site Assessment Process
(ASTM Designation E1527-94), a summary of which follows:

 

This
ASTM practice is generally considered the industry standard for conducting a
Phase I Environmental Site Assessment (ESA). 
The purpose of this standard is to “define good commercial and customary
practice in the Untied States of America for conducting an ESA of a parcel of
commercial real estate with respect to the range of contaminants within the
scope of the Comprehensive Environmental Response, Compensation and Liability
Act (CERCLA) and petroleum products.” 
The ASTM Phase I ESA is intended to permit a user to satisfy one of the
requirements to qualify for the innocent landowner defense to CERCLA liability;
that is, the practice that constitutes “all appropriate inquiry into the
previous ownership and uses of the property consistent with good commercial or
customary practices” as defined in 42 USC 9601(35)(B).

 

The
goal of the ASTM Phase I ESA is to identify “recognized environmental
conditions.”  Recognized environmental
conditions means the presence or likely presence of any hazardous substances or
petroleum products on a property under conditions that indicate an existing
release, a past release, or a material threat of a release of any hazardous
substances or petroleum products into structures on the property or into the
ground, groundwater, or surface water of the property.  The term includes hazardous substances or
petroleum products even under conditions in compliance with laws.  The term is not intended to include de
minimus conditions that generally would not be the subject of an enforcement
action if brought to the attention of appropriate governmental agencies.

 

The
ASTM standard indicates that a Phase I ESA should consist of four main
components:  1) Records Review; 2) Site
Reconnaissance; 3) Interviews; and 4) Report. 
The purpose of the records review is to obtain and review records that
will help identify recognized environmental conditions in connection with the
property.  The site reconnaissance
involves physical observation of the property’s exterior and interior, as well
as an observation of adjoining properties. 
Interviews with previous and current owners and occupants, and local
government officials provides insight into the presence or absence of
recognized environmental conditions in connection with the property.  The final component of the ESA, the report,
contains the findings of the ESA and conclusions regarding the presence or
absence of recognized environmental conditions in connection with the
property.  It includes documentation to
support the analysis, opinions, and conclusions found in the report.

 

While
the use of this practice is intended to constitute appropriate inquiry for
purposes of CERCLA’s innocent landowner defense, it is not intended that its
use be limited to that purpose.  The ASTM
standard is intended to be an approach to conducting an inquiry designed to
identify recognized environmental conditions in connection with a property, and
environmental site assessments.

 

G-1

 

 

EXHIBIT H

 

FORM OF OPINION OF BORROWER’S COUNSEL

 

____________, 2010

 

KeyBank
National Association 

as Administrative Agent for the Lenders

127 Public Square, 8th Floor 

Cleveland, Ohio

 

Re:          $150,000,000
Credit Facility to Inland Real Estate Corporation

 

Ladies
and Gentlemen:

 

We
have acted as counsel for the Borrower and the Subsidiary Guarantors in
connection with a $150,000,000 revolving loan, (the “Loan”), which Loan
is being made pursuant to that certain Fourth Amended and Restated Credit
Agreement dated as of June ___, 2010 (the “Credit Agreement”)
between Borrower, KeyBank National Association and the several lenders from
time to time parties thereto (collectively, the “Lenders”).

 

In
connection with the Loan we have been furnished with originals or copies
certified to our satisfaction of the Articles of Incorporation and Bylaws of
the Borrower, the [partnership agreement and
certificate of limited partnership] of the Subsidiary Guarantors (as
defined in the Credit Agreement), and all such corporate and other records of
the Borrower and the Subsidiary Guarantors, with such declarations and
agreements, and certificates of officers and representatives of the Borrower
and the Subsidiary Guarantors, and with such other documents, and we have made
such other examinations and investigations as we have deemed necessary as a
basis for the opinions expressed below.

 

We
have examined the originals of the following documents, each of which is
addressed to the Lender or to which the Lender is a party (all of which are
sometimes collectively referred to as the “Loan Documents”):

 

1.             The Credit
Agreement;

 

2.             The Subsidiary
Guaranties; and

 

3.             [describe
promissory notes and other Loan Documents].

 

Based
upon the foregoing, we are of the opinion that:

 

1.             Borrower is a
corporation duly formed, validly existing and in good standing under the laws
of the State of [_________].  Borrower has all requisite power and
authority to own its properties, carry on its business and to deliver and
perform its obligations under the Loan Documents.

 

2.             [Each
Subsidiary Guarantor] is a [limited partnership or
limited liability company] duly organized, validly existing and in
good standing under the laws of the State of [________].  [Each Subsidiary
Guarantor] has all requisite power and authority to own its
properties, carry on its business and to deliver and perform its obligations
under the Loan Documents.

 

H-1

 

3.             The execution,
delivery, and performance by each of the Borrower and Subsidiary Guarantors of
the Loan Documents to which it is a party has been duly authorized by all
necessary action of the Borrower, and Subsidiary Guarantors, as the case may
be, and does not (i) require any consent or approval of any partner or
shareholder of such entity or any other person or entity excepting such
consents or approvals as have actually been obtained; (ii) violate any
provision of any law, rule, or regulation of the United States or the States of
Illinois or [______], or any provision of the
partnership or corporate law presently in effect having applicability to the
Borrower, Subsidiary Guarantors or, as applicable; (iii) violate any
provision of the partnership agreement of the Borrower or the articles of
incorporation or bylaws of Subsidiary Guarantors; (iv) violate any
presently existing statutory or administrative provision or judicial decision
applicable to the Borrower or the Subsidiary Guarantors; or (v) result in
a breach of, or constitute a default under, any agreement or instrument affecting
the Borrower or Subsidiary Guarantors.

 

3.             Each Loan
Document to which it is a party (a) has been properly authorized, executed
and delivered by each of the Borrower and the Subsidiary Guarantors, (b) constitutes
the legal, valid, and binding obligations of the Borrower and the Subsidiary
Guarantors, and (c) is enforceable in accordance with its terms.

 

4.             To our
knowledge, no presently existing authorization, exemption, consent, approval,
license, or registration with any court or governmental department, commission,
bureau, agency, or instrumentality will be necessary for the valid, binding,
and enforceable execution, delivery and performance by the Borrower or the
General Partners of the Loan Documents.

 

5.             To our
knowledge, there are no actions, suits, or proceedings pending or threatened
against the Borrower or the Subsidiary Guarantors before any court or
governmental entity or instrumentality which could reasonably be expected to
have a Material Adverse Effect (as defined in the Credit Agreement).

 

6.             The Loan
Documents are governed by the laws of the State of Illinois, and the Loan,
including the interest rate reserved in the applicable Note and all fees and
charges paid or to be paid by or on behalf of Borrower in connection with such
Loan pursuant to the applicable Loan Documents, is not in violation of the
usury laws of the State of Illinois.

 

The
opinions expressed herein are expressly made subject to and qualified by the
following:

 

(a)           We have assumed that the
Loan Documents are duly authorized and validly executed and delivered by the
Agent, the Lenders and all other parties other than the Borrower and the
Subsidiary Guarantors.

 

(b)           This opinion is based upon
existing laws, ordinances and regulations in effect as of the date hereof.

 

(c)           This opinion is limited to
the laws of the State of Illinois and applicable federal law and no opinion is
expressed as to the laws of any other jurisdiction.

 

(d)           We have assumed the
authenticity of all documents submitted to us as originals (other than the Loan
Documents) and the conformity to original documents of all documents (other
than the Loan Documents) submitted to us as certified or photostatic copies.

 

(e)           The opinions expressed
herein are qualified to the extent that: 
(i) the enforceability of any rights or remedies in any agreement
or instruments may be limited by applicable bankruptcy, 

 

H-2

 

insolvency,
reorganization or similar laws affecting the rights of creditors generally; and
(ii) the availability of specific performance, injunctive relief or any
other equitable remedy is subject to the discretion of a court of competent
jurisdiction.

 

This
opinion may be relied upon by only by the addressees hereof, its attorneys,
auditors, advisors, participants, and their respective successors and assigns,
and not by any other party.

 

	
   

  	
  Very truly yours,

  

 

 

H-3

 

EXHIBIT I

 

BORROWER’S NOTICE

 

Date

 

KeyBank
National Association

Commercial Real Estate Service

Attention:  Ms. Vicki
Heineck

800 Superior, 6th Floor

Cleveland, OH  44114

 

Borrowing Notice

 

Inland
Real Estate Corporation (“Borrower”) hereby requests a Loan Advance
pursuant to Section 2.11 of that certain Fourth Amended and
Restated Credit Agreement, dated as of June ___, 2010 (as amended or
modified from time to time, the “Credit Agreement”), among Inland Real
Estate Corporation, the Lenders referenced therein, and you, as agent for the
Lenders.

 

A
Loan Advance is requested to be made in the amount of $__________, to be made
on _____________.  Such Loan Advance
shall be a [LIBOR] [Floating Rate] Advance. 
[The applicable LIBOR Interest Period shall be _____________.]

 

The
proceeds of the requested loan shall be directed to the following account:

 

Wiring Instructions:

(Bank Name)

(ABA No.)

(Beneficiary)

(Account No. to Credit)

(Notification Requirement)

 

In
support of this request, Inland Real Estate Corporation hereby represents
and warrants to the Agent and the Lenders that acceptance of the proceeds of
such loan by the Borrower shall be deemed to further represent and warrant that
all requirements of Section 4.2 of the Credit Agreement in
connection with such Loan Advance have been satisfied at the time such proceeds
are disbursed.

 

	
   

  	
  Date:

  	
   

  
	
   

  	
   

  
	
   

  	
  Borrower:
  Inland Real Estate Corporation

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Its:

  	
   

  

 

I-1

 

EXHIBIT J

 

UNENCUMBERED ASSET VALUE CERTIFICATE

 

KeyBank
National Association, as Administrative Agent

127 Public Square

Cleveland, Ohio  44114

 

Re:          Fourth Amended
and Restated Credit Agreement dated as of June ___, 2010 (as amended,
modified, supplemented, restated, or renewed, from time to time, the “Agreement”)
between INLAND REAL ESTATE CORPORATION (the “Borrower”), and KEYBANK
NATIONAL ASSOCIATION, as Administrative Agent for itself and the other lenders
parties thereto from time to time (“Lenders”).

 

Reference
is made to the Agreement.  Capitalized
terms used in this Certificate (including schedules and other attachments
hereto, this “Certificate”) without definition have the meanings
specified in the Agreement.

 

Pursuant
to applicable provisions of the Agreement, Borrower hereby certifies to the
Lenders that the information furnished below is true, correct and complete in
all material respects as of the date of this Certificate.

 

The
undersigned hereby further certifies to the Lenders that, as of the date
hereof:

 

1.             The Unencumbered Asset Value
is __________________.

 

2.             The Outstanding Facility
Amount, including the Advance to be made upon receipt of this Certificate and
satisfaction of the applicable conditions set forth in the Agreement, does not
exceed 0.625 times the amount provided in Paragraph 1.

 

IN
WITNESS WHEREOF, this Certificate is executed by the undersigned this ___ day of
_________.

 

	
   

  	
  INLAND
  REAL ESTATE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  

 

J-1

 

EXHIBIT K

 

MINIMUM INSURANCE REQUIREMENTS WITH RESPECT

TO QUALIFYING UNENCUMBERED PROPERTIES

 

Borrower
shall obtain and keep in full force and effect either permanent All Perils
insurance coverage or builder’s risk insurance coverage as appropriate,
reasonably satisfactory to the Administrative Agent, on each of the Qualifying
Unencumbered Properties.  All insurance
policies shall be issued by carriers with a Best’s Insurance Reports policy
holder’s rating of A or better and a financial size category of Class VII
or higher.  The policies shall provide
for the following, and any other coverage that the Administrative Agent may
from time to time reasonably deem necessary:

 

a)             Unless such
Property is vacant land, coverage Against All Peril and/or Builders Risk in the
amount of 100% of the replacement cost of all improvements located or to be
located on the site of such Property. 
Such coverage shall include an endorsement insuring against loss due to
acts of terrorism in commercially reasonable amounts as approved by the
Administrative Agent.  If the policy is
written on a CO-INSURANCE basis, the policy shall contain an AGREED AMOUNT
ENDORSEMENT as evidence that the coverage is in an amount sufficient to insure
the portion of Total Asset Value represented by such Property.

 

b)            Public
liability coverage in a minimum amount of not less than $2,000,000 per
occurrence and $5,000,000 in the aggregate.

 

c)             Rent loss or
business interruption coverage in a minimum amount approved by the
Administrative Agent of not less than the appraised rentals for a minimum of
twelve months.

 

d)            Flood hazard
coverage in commercially reasonable amounts as approved by the Administrative
Agent, if any portions of the retail or other commercial buildings on such
Property are located in a special flood hazard area (“Flood Hazard Area”) as
designated by the Federal Emergency Management Agency on its Flood Hazard
Boundary Map and Flood Insurance Rate Maps, and the Department of Housing and
Urban Development, Federal Insurance Administration, Special Flood Hazard Area
Maps.

 

e)             Workers
Compensation and Disability insurance as required by law.

 

f)             Such other
types and amounts of insurance with respect to such Properties and the
operation thereof which are commonly maintained in the case of other property
and buildings similar to such Properties in nature, use, location, height, and
type of construction, as may from time to time be reasonably required by the
Administrative Agent.

 

Borrower
shall cause the premium on each such insurance policy to be paid on or prior to
the date when due and shall provide the Administrative Agent with notice of
such renewal at least thirty (30) days prior to expiration.  Further, each policy shall provide that it
may not be canceled, reduced or terminated without at least thirty (30) days
(or at least ten (10) days for non-payment of premium) prior written
notice to the Administrative Agent.

 

K-1

 

SCHEDULE 1

 

SUBSIDIARIES

(OTHER THAN SUBSIDIARY GUARANTORS)

 

See Attached

 

K-2

 

SCHEDULE 1

SUBSIDIARIES

 

	
  Legal Name

  	
   

  	
  Tax ID

  
	
  IN
  Retail Manager, L.L.C., a Delaware limited liability company

  	
   

  	
  34-2012073

  
	
  INP
  Retail Management Company, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2800637

  
	
  Inland
  TRS Property Management, Inc., an Illinois corporation

  	
   

  	
  27-2770392

  
	
  Inland
  1293 Higgins Road, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631877

  
	
  Inland
  1738 Hammond, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3700343

  
	
  Inland
  200 Celebration Place, L.L.C., a Delaware limited liability company

  	
   

  	
  02-0623499

  
	
  Inland
  250 Golf Schaumburg, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469281

  
	
  Inland
  Aurora Venture, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3423403

  
	
  Inland
  Baytowne Square, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1488106

  
	
  Inland
  Big Lake, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3562678

  
	
  Inland
  Boise, L.L.C., a Delaware limited liability company

  	
   

  	
  27-0980482

  
	
  Inland
  Caton Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2208291

  
	
  Inland
  Commercial Property Management, Inc.

  	
   

  	
  36-3928433

  
	
  Inland
  Countryside, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2178363

  
	
  Inland
  Crystal Point, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2513517

  
	
  Inland
  Downers Grove Marketplace, L.L.C, a Delaware limited liability comapny

  	
   

  	
  20-3656075

  
	
  Inland
  Exchange Venture Corporation

  	
   

  	
  26-4809999

  
	
  Inland
  Four Flaggs Annex, L.L.C., a Delaware limited liability company

  	
   

  	
  48-1282844

  
	
  Inland
  Four Flaggs, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3659860

  
	
  Inland
  Freeport Southwest Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0113619

  
	
  Inland
  Grand Hunt Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631958

  
	
  Inland
  Grayhawk Manager, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4044404

  
	
  Inland
  Grayhawk, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3562639

  
	
  Inland
  Gurnee, L.L.C., a Delaware limited liability company

  	
   

  	
  27-2178432

  
	
  Inland
  Hickory Creek, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1477062

  
	
  Inland
  Iroquois Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632435

  
	
  Inland
  Mankato Heights, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0726665

  
	
  Inland
  Maple Park Place, LLC, a Delaware limited liability company

  	
   

  	
  61-1477068

  
	
  Inland
  McHenry Road, L.L.C, a Delaware limited liability company

  	
   

  	
  27-2178258

  
	
  Inland
  North Aurora Venture, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4927536

  
	
  Inland
  Northgate, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2327872

  
	
  Inland
  Orland Park Place IV, LLC., a Delaware limited liability company

  	
   

  	
  34-2032023

  
	
  Inland
  Plymouth Collection, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2229012

  
	
  Inland
  Real Estate - Illinois, L.L.C., a Delaware limited liabilty company

  	
   

  	
  36-4334804

  
	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Inland
  Real Estate Hamilton, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4499783

  
	
  Inland
  Real Estate Highway 41, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2957731

  
	
  Inland
  Real Estate LB I Corporation

  	
   

  	
  36-4251215

  
	
  Inland
  Real Estate Park Square, L.L.C., a Delaware limited liability company

  	
   

  	
  35-2176090

  

 

K-3

 

	
  Inland
  Real Estate University Crossings, L.L.C., a Delaware limited liability
  company

  	
   

  	
  56-2474307

  
	
  Inland
  Riverplace Centre, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469199

  
	
  Inland
  Rochester Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0737642

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  36-4311741

  
	
  Inland
  Shakopee Valley Marketplace, L.L.C, a Delaware limited liability company

  	
   

  	
  14-1853071

  
	
  Inland
  Six Corners, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0127320

  
	
  Inland
  Springboro Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0241248

  
	
  Inland
  Stuarts Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3656028

  
	
  Inland
  Traverse City, L.L.C., a Delaware limited liability company

  	
   

  	
  61-1469280

  
	
  Inland
  Venture Corporation

  	
   

  	
  20-3795142

  
	
  Inland
  Village Ten, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0193527

  
	
  Inland
  Waupaca, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4542138

  
	
  Inland
  West River Crossing, L.L.C, a Delaware limited liability company

  	
   

  	
  61-1477063

  
	
  Inland-Merrillville,
  L.L.C.

  	
   

  	
  36-4458068

  

 

K-4

 

SCHEDULE 2

 

INDEBTEDNESS AND LIENS

(See Sections 5.13 and 6.16)

 

	
  Indebtedness

  Incurred By

  	
   

  	
  Indebtedness

  Owed To

  	
   

  	
  Property

  Encumbered

  	
   

  	
  Maturity and Amount

  of Indebtedness

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

K-5

 

SCHEDULE 2

INDEBTEDNESS AND LIENS

(See Sections 5.13 and 6.16)

 

	
  Indebtedness Incurred By

  	
   

  	
  Indebtedness

  Owed to

  	
   

  	
  Property Encumbered

  	
   

  	
  Maturity Date

  	
   

  	
  Amount of

  Indebtedness

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Bally’s
  Total Fitness

  	
   

  	
  July 26, 2010

  	
   

  	
  $

  	
  3,145,300.00

  	
   

  
	
  Inland
  Baytowne Square, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Baytowne
  Square & Shoppes

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  8,720,000.00

  	
   

  
	
  Inland
  Big Lake, L.L.C., a Delaware limited liability company

  	
   

  	
  Principal
  Capital

  	
   

  	
  Big
  Lake Town Square

  	
   

  	
  January 1, 2014

  	
   

  	
  $

  	
  6,250,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Bohl
  Farm Marketplace

  	
   

  	
  December 31, 2010

  	
   

  	
  $

  	
  7,833,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Burnsville
  Crossing

  	
   

  	
  July 26, 2010

  	
   

  	
  $

  	
  2,858,100.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Byerly’s
  Burnsville

  	
   

  	
  July 26, 2010

  	
   

  	
  $

  	
  2,915,900.00

  	
   

  
	
  Inland
  250 Golf Schaumburg, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Carmax
  - Schaumburg

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  11,730,000.00

  	
   

  
	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Carmax
  - Tinley Park

  	
   

  	
  April 9, 2010

  	
   

  	
  $

  	
  9,450,000.00

  	
   

  
	
  Inland
  Caton Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Caton
  Crossing

  	
   

  	
  January 1, 2011

  	
   

  	
  $

  	
  7,425,000.00

  	
   

  
	
  Inland
  Crystal Point, L.L.C., a Delaware limited liability company

  	
   

  	
  Met
  Life

  	
   

  	
  Crystal
  Point

  	
   

  	
  December 1, 2010

  	
   

  	
  $

  	
  20,100,000.00

  	
   

  
	
  Inland
  McHenry Road, L.L.C, a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Cub
  Foods - Buffalo Grove

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  3,965,000.00

  	
   

  
	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  Bank
  of America

  	
   

  	
  Cub
  Foods - Indianapolis

  	
   

  	
  June 30, 2010

  	
   

  	
  $

  	
  2,255,000.00

  	
   

  
	
  Inland
  Countryside, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Dominick’s
  - Countryside

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  1,520,000.00

  	
   

  
	
  Inland
  1293 Higgins Rd, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Dominick’s
  - Schaumburg

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  6,960,000.00

  	
   

  
	
  Inland
  Downers Grove Marketplace, L.L.C, a Delaware limited liability comapny

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Downers
  Grove Market

  	
   

  	
  November 1, 2012

  	
   

  	
  $

  	
  12,500,000.00

  	
   

  
	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  Bank
  of America

  	
   

  	
  Food
  4 Less - Hammond

  	
   

  	
  April 9, 2010

  	
   

  	
  $

  	
  4,100,000.00

  	
   

  
	
  Inland
  Four Flaggs, L.L.C., a Delaware limited liability company

  	
   

  	
  John
  Hancock

  	
   

  	
  Four
  Flaggs

  	
   

  	
  January 1, 2018

  	
   

  	
  $

  	
  11,419,571.55

  	
   

  
	
  Inland
  Grand Hunt Center, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Grand
  Hunt Center Outlot

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  1,550,000.00

  	
   

  
	
  Inland
  Traverse City, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Grand
  Traverse Crossings

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  1,688,000.00

  	
   

  

 

K-6

 

	
  Inland
  1738 Hammond, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Hammond
  Mills

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  882,000.00

  	
   

  
	
  Inland
  Hickory Creek, L.L.C., a Delaware limited liability company

  	
   

  	
  Capmark
  Finance

  	
   

  	
  Hickory
  Creek Marketplace

  	
   

  	
  November 1, 2011

  	
   

  	
  $

  	
  5,750,000.00

  	
   

  
	
  Inland
  Iroquois Center, L.L.C., a Delaware limited liability company

  	
   

  	
  Principal
  Capital

  	
   

  	
  Iroquois
  Center

  	
   

  	
  April 1, 2014

  	
   

  	
  $

  	
  8,750,000.00

  	
   

  
	
  Inland
  Mankato Heights, L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Mankato
  Heights

  	
   

  	
  January 1, 2011

  	
   

  	
  $

  	
  8,910,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Maple
  Grove Retail

  	
   

  	
  August 1, 2012

  	
   

  	
  $

  	
  4,050,000.00

  	
   

  
	
  Inland
  Maple Park Place, LLC, a Delaware limited liability company

  	
   

  	
  Capmark
  Finance

  	
   

  	
  Maple
  Park Place

  	
   

  	
  November 1, 2011

  	
   

  	
  $

  	
  12,500,000.00

  	
   

  
	
  Inland
  Northgate, L.L.C., a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Northgate
  Center

  	
   

  	
  October 1, 2010

  	
   

  	
  $

  	
  6,185,000.00

  	
   

  
	
  Inland
  Orland Park Place IV, LLC., a Delaware limited liability company

  	
   

  	
  Prudential
  Insurance

  	
   

  	
  Orland
  Park Place Outlots

  	
   

  	
  December 1, 2014

  	
   

  	
  $

  	
  5,559,593.78

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Park
  Place Plaza

  	
   

  	
  August 1, 2012

  	
   

  	
  $

  	
  6,500,000.00

  	
   

  
	
  Inland
  Real Estate Park Square, L.L.C., a Delaware limited liability company

  	
   

  	
  Principal
  Capital

  	
   

  	
  Park
  Square

  	
   

  	
  January 1, 2014

  	
   

  	
  $

  	
  10,000,000.00

  	
   

  
	
  Inland
  Gurnee, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Petsmart

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  2,215,000.00

  	
   

  
	
  Inland
  Plymouth Collection, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Plymouth
  Collection

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  5,180,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Quarry
  Retail

  	
   

  	
  August 1, 2012

  	
   

  	
  $

  	
  15,800,000.00

  	
   

  
	
  Inland
  Real Estate Hamilton, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Rite-Aid

  	
   

  	
  October 1, 2010

  	
   

  	
  $

  	
  1,700,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Riverdale
  Commons

  	
   

  	
  August 1, 2012

  	
   

  	
  $

  	
  9,850,000.00

  	
   

  
	
  Inland
  Riverplace Centre, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Riverplace
  Center

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  3,290,000.00

  	
   

  
	
  Inland
  Rochester Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Rochester
  Marketplace

  	
   

  	
  January 1, 2011

  	
   

  	
  $

  	
  5,885,000.00

  	
   

  
	
  Inland
  Waupaca, L.L.C., a Delaware limited liability company

  	
   

  	
  TCF
  Bank

  	
   

  	
  Roundy’s
  - Waupaca

  	
   

  	
  April 30, 2015

  	
   

  	
  $

  	
  4,325,000.00

  	
   

  
	
  Inland
  Shakopee Valley Marketplace, L.L.C, a Delaware limited liability company

  	
   

  	
  KeyBank

  	
   

  	
  Shakopee
  Valley Marketplace

  	
   

  	
  October 1, 2010

  	
   

  	
  $

  	
  7,500,000.00

  	
   

  
	
  Inland
  Ryan, LLC, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Shingle
  Creek

  	
   

  	
  July 26, 2010

  	
   

  	
  $

  	
  1,735,000.00

  	
   

  
	
  Inland
  Grayhawk, L.L.C., a Delaware limited liability company

  	
   

  	
  Midland
  Loan Service

  	
   

  	
  Shoppes
  At Grayhawk

  	
   

  	
  April 1, 2014

  	
   

  	
  $

  	
  17,202,772.37

  	
   

  
	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Skokie
  Fashion Square

  	
   

  	
  December 31, 2014

  	
   

  	
  $

  	
  6,200,000.00

  	
   

  
	
  Inland
  Springboro Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  Bank
  of America

  	
   

  	
  Springboro
  Plaza

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  5,510,000.00

  	
   

  

 

K-7

 

	
  Inland
  Freeport Southwest Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  Wells
  Fargo

  	
   

  	
  Staples

  	
   

  	
  June 1, 2011

  	
   

  	
  $

  	
  1,730,000.00

  	
   

  
	
  Inland
  Stuarts Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  Cohen
  Financial

  	
   

  	
  Stuart’s
  Crossing

  	
   

  	
  December 1, 2012

  	
   

  	
  $

  	
  7,000,000.00

  	
   

  
	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  Bank
  of America

  	
   

  	
  The
  Shops of Plymouth Town Cen

  	
   

  	
  June 30, 2010

  	
   

  	
  $

  	
  2,732,000.00

  	
   

  
	
  Inland
  Real Estate University Crossings, L.L.C., a Delaware limited liability
  company

  	
   

  	
  Capmark
  Finance

  	
   

  	
  University
  Crossings

  	
   

  	
  August 11, 2011

  	
   

  	
  $

  	
  8,800,000.00

  	
   

  
	
  Inland
  Village Ten, L.L.C., a Delaware limited liability company

  	
   

  	
  Wachovia

  	
   

  	
  Village
  Ten Center

  	
   

  	
  January 1, 2011

  	
   

  	
  $

  	
  8,500,000.00

  	
   

  
	
  Inland
  West River Crossing, L.L.C, a Delaware limited liability company

  	
   

  	
  Capmark
  Finance

  	
   

  	
  Westriver
  Crossings

  	
   

  	
  November 1, 2011

  	
   

  	
  $

  	
  3,500,000.00

  	
   

  

 

K-8

 

 

SCHEDULE 3

 

LITIGATION

(See Section 5.6)

 

None.

 

K-9

 

SCHEDULE 4

 

ENVIRONMENTAL MATTERS

(See Section 5.19)

 

None.

 

K-10

 

SCHEDULE 5

 

LIST OF SUBSIDIARY GUARANTORS

 

K-11

 

SCHEDULE 5

LIST OF SUBSIDIARY
GUARANTORS

 

	
  Building
  Name

  	
   

  	
  Title Holder

  	
   

  	
  F.E.I.N. #

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Butera
  Market

  	
   

  	
  Inland
  1290 Chicago Avenue, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8631811

  
	
  Nantucket
  Square

  	
   

  	
  Inland
  Nantucket Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632213

  
	
  Hartford
  Plaza

  	
   

  	
  Inland
  Hartford Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632051

  
	
  Mundelein
  Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Salem
  Square

  	
   

  	
  Inland
  Salem Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632273

  
	
  Hawthorn
  Village Commons

  	
   

  	
  Inland
  Hawthorne Village Commons, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632124

  
	
  Six
  Corners Plaza

  	
   

  	
  Inland
  Real Estate BAT, L.L.C., a Delaware limited liability company

  	
   

  	
  26-1766081

  
	
  Quarry
  Outlot

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Park
  St Claire

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Lansing
  Square

  	
   

  	
  Inland
  Lansing Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328013

  
	
  Aurora
  Commons

  	
   

  	
  Inland
  Real Estate Aurora Commons, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4484515

  
	
  Golf
  Road Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Mallard
  Crossing

  	
   

  	
  Inland
  Mallard Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8632162

  
	
  Verizon

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  River
  Square

  	
   

  	
  Inland
  River Square, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328181

  
	
  Rivertree
  Court

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Glendale
  Heights Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  22nd
  Street Plaza Outlot

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Skokie
  Fashion Square II

  	
   

  	
  Inland
  Skokie Fashion Square II, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0230934

  
	
  Naper
  West

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Naper
  West II

  	
   

  	
  Inland
  Real Estate Naperwest, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0029634

  
	
  Woodfield
  Plaza

  	
   

  	
  Inland
  Woodfield Plaza, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328098

  
	
  Shops
  At Coopers Grove

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Oliver
  Square

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Orland
  Park Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Lake
  Park Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Homewood
  Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Elmhurst
  City Centre

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Chestnut
  Court

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  St
  James Crossing

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Oak
  Forest Commons

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Oak
  Forest Commons III

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Bergen
  Plaza

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Wauconda
  Shopping Center

  	
   

  	
  Inland
  Real Estate LB I LLC, a Delaware limited liability company

  	
   

  	
  36-4251217

  
	
  Berwyn
  Plaza

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Woodland
  Heights

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Schaumburg
  Plaza

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Winnetka
  Commons

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Eastgate
  Center

  	
   

  	
  Inland
  Eastgate Shopping Center, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328376

  

 

K-12

 

	
  Orland
  Greens

  	
   

  	
  Inland
  Orland Greens, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487346

  
	
  Two
  Rivers Plaza

  	
   

  	
  Inland
  Two Rivers Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487347

  
	
  Edinburgh
  Festival

  	
   

  	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Joliet
  Commons

  	
   

  	
  Inland
  Joliet Commons, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4246919

  
	
  Joliet
  Commons Phase II

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Rose
  Plaza

  	
   

  	
  Inland
  Elmwood Park, L.L.C., a Delaware limited liability company

  	
   

  	
  76-0726666

  
	
  Park
  Center

  	
   

  	
  Inland
  Park Center Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487349

  
	
  The
  Plaza

  	
   

  	
  Inland
  V. Richards Plaza, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1487348

  
	
  Woodland
  Commons

  	
   

  	
  Inland
  Woodlands, L.L.C., a Delaware limited liability company

  	
   

  	
  36-4468417

  
	
  Gateway
  Square

  	
   

  	
  Inland
  Gateway Square, L.L.C., a Delaware limited liability company

  	
   

  	
  20-2328295

  
	
  Oak
  Lawn Town Center

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Cliff
  Lake Centre

  	
   

  	
  Inland
  Ryan Cliff Lake, LLC, a Delaware limited liability company

  	
   

  	
  36-4311744

  
	
  Riverdale
  Commons Outlot

  	
   

  	
  Inland
  Real Estate Corporation, a Maryland Corporation

  	
   

  	
  36-3953261

  
	
  Michael’s

  	
   

  	
  Inland
  Real Estate Riverdale, L.L.C., a Delaware limited liability company

  	
   

  	
  32-0014038

  
	
  Home
  Goods Riverdale

  	
   

  	
  Inland
  Coon Rapids Riverdale, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3688283

  
	
  Schaumburg
  Golf Road Retail

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Rose
  Plaza West

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Pine
  Tree Plaza

  	
   

  	
  Inland
  Pine Tree, L.L.C., a Delaware limited liability company

  	
   

  	
  20-3655945

  
	
  Schaumburg
  Promenade

  	
   

  	
  Inland
  Schaumburg Promenade, L.L.C, a Delaware limited liability company

  	
   

  	
  20-2328245

  
	
  Rose
  Plaza East

  	
   

  	
  Inland
  Real Estate-Illinois, L.L.C, a Delaware limited liability company

  	
   

  	
  36-4334804

  
	
  Deer
  Trace

  	
   

  	
  Inland
  Real Estate Deer Trace, L.L.C., a Delaware limited liability company

  	
   

  	
  38-3651484

  
	
  Deer
  Trace II

  	
   

  	
  Inland
  Deer Trace II, L.L.C., a Delaware limited liability company

  	
   

  	
  56-2474308

  
	
  Disney
  Celebration 200

  	
   

  	
  Inland
  200 Celebration Place Delaware Business Trust

  	
   

  	
  37-1434128

  
	
  Townes
  Crossing

  	
   

  	
  Inland
  Real Estate Townes Crossing, L.L.C., a Delaware limited liability company

  	
   

  	
  37-1431696

  
	
  Walgreens
  - Jennings

  	
   

  	
  Inland
  Real Estate Column I, L.L.C., an Illinois limited liability company

  	
   

  	
  36-4255068

  
	
  Brunswick
  Market Center

  	
   

  	
  Inland
  Brunswick Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853068

  
	
  Medina
  Marketplace

  	
   

  	
  Inland
  Medina Marketplace, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853064

  
	
  Shakopee
  Outlot

  	
   

  	
  Inland
  Shakopee Outlot, L.L.C., a Delaware limited liability company

  	
   

  	
  20-4603779

  
	
  Shops
  At Orchard Place

  	
   

  	
  Inland
  Shops at Orchard Place, L.L.C., a Delaware limited liability company

  	
   

  	
  14-1853059

  
	
  Cub
  Foods - Hutchinson

  	
   

  	
  Inland
  Hutchinson, L.L.C., a Delaware limited liability company

  	
   

  	
  47-0898235

  
	
  Shannon
  Square Shoppes

  	
   

  	
  Inland
  Shannon Square Shoppes, L.L.C., a Delaware limited liability company

  	
   

  	
  56-2438770

  
	
  Cub
  Foods - Arden Hills

  	
   

  	
  Inland
  Shannon Square Cub, L.L.C., a Delaware limited liability company

  	
   

  	
  30-0230309

  
	
  Park
  Avenue Centre

  	
   

  	
  TDC
  Highway 41, LLC, a Delaware limited liability company

  	
   

  	
  20-2704704

  
	
  Wauconda
  Crossings

  	
   

  	
  Inland
  Wauconda Crossings, L.L.C., a Delaware limited liability company

  	
   

  	
  20-5390544

  
	
  Apache
  Shoppes

  	
   

  	
  Inland
  Apache Shoppes, L.L.C., a Delaware limited liability company

  	
   

  	
  20-8030136

  

 

K-13

 

SCHEDULE 6

 

LIST OF INVESTMENT AFFILIATES

(See Section 5.7)

 

K-14

 

SCHEDULE 6

 

LIST OF INVESTMENT AFFILIATES

(See Section 5.7)

 

	
  Joint Venture Partner:

  	
   

  	
  Borrower Member Affiliate:

  
	
   

  	
   

  	
   

  
	
  New
  York State Teacher’s Retirement System

  	
   

  	
  Inland
  Real Estate Corporation

  
	
   

  	
   

  	
   

  
	
  Inland
  Real Estate Exchange Corporation

  	
   

  	
  Inland
  Venture Corporation

  
	
   

  	
   

  	
   

  
	
  Terrance
  M. King / TMK Aurora Venture, LLC

  	
   

  	
  Inland
  Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora II, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  JT
  North Aurora III, LLC

  	
   

  	
  Inland
  North Aurora Venture, L.L.C.

  
	
   

  	
   

  	
   

  
	
  TDC
  Lakemoor Select, LLC

  	
   

  	
  Inland
  Lakemoor, L.L.C.

  
	
   

  	
   

  	
   

  
	
  Pine
  Tree Institutional Realty, LLC

  	
   

  	
  Inland
  PT JV I, L.L.C.

  
	
   

  	
   

  	
   

  
	
  WIN-CLERMONT, LTD.

  	
   

  	
  Inland
  Tuscany Village, L.L.C.

  
	
   

  	
   

  	
   

  
	
  PGGM

  	
   

  	
  Inland
  Real Estate Corporation

  

 

K-15

 

SCHEDULE 7

 

LIST OF QUALIFYING UNENCUMBERED PROPERTIES

(See Section 5.22)

 

K-16

 

SCHEDULE 7

LIST OF UNENCUMBERED ASSETS

(See Section 5.22)

 

	
  Bldg #

  	
   

  	
  Bldg Name

  	
   

  	
  Bldg #

  	
   

  	
  Bldg Name

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  10201

  	
   

  	
  Butera
  Market

  	
   

  	
  10260

  	
   

  	
  Orland
  Greens

  
	
  10202

  	
   

  	
  Nantucket
  Square

  	
   

  	
  10261

  	
   

  	
  Two
  Rivers Plaza

  
	
  10203

  	
   

  	
  Hartford
  Plaza

  	
   

  	
  10262

  	
   

  	
  Edinburgh
  Festival

  
	
  10205

  	
   

  	
  Mundelein
  Plaza

  	
   

  	
  10263

  	
   

  	
  Joliet
  Commons

  
	
  10207

  	
   

  	
  Salem
  Square

  	
   

  	
  10264

  	
   

  	
  Joliet
  Commons Phase II

  
	
  10208

  	
   

  	
  Hawthorn
  Village Commons

  	
   

  	
  10267

  	
   

  	
  Rose
  Plaza

  
	
  10209

  	
   

  	
  Six
  Corners Plaza

  	
   

  	
  10270

  	
   

  	
  Park
  Center

  
	
  10211

  	
   

  	
  Quarry
  Outlot

  	
   

  	
  10274

  	
   

  	
  The
  Plaza

  
	
  10213

  	
   

  	
  Park
  St Claire

  	
   

  	
  10277

  	
   

  	
  Woodland
  Commons

  
	
  10214

  	
   

  	
  Lansing
  Square

  	
   

  	
  10280

  	
   

  	
  Gateway
  Square

  
	
  10216

  	
   

  	
  Aurora
  Commons

  	
   

  	
  10283

  	
   

  	
  Oak
  Lawn Town Center

  
	
  10217

  	
   

  	
  Golf
  Road Plaza

  	
   

  	
  10287

  	
   

  	
  Cliff
  Lake Centre

  
	
  10218

  	
   

  	
  Mallard
  Crossing

  	
   

  	
  10292

  	
   

  	
  Riverdale
  Commons Outlot

  
	
  10219

  	
   

  	
  Verizon

  	
   

  	
  10293

  	
   

  	
  Michael’s

  
	
  10221

  	
   

  	
  River
  Square

  	
   

  	
  10294

  	
   

  	
  Home
  Goods Riverdale

  
	
  10222

  	
   

  	
  Rivertree
  Court

  	
   

  	
  10296

  	
   

  	
  Schaumburg
  Golf Road Retail

  
	
  10223

  	
   

  	
  Glendale
  Heights Retail

  	
   

  	
  10297

  	
   

  	
  Rose
  Plaza West

  
	
  10224

  	
   

  	
  22nd
  Street Plaza Outlot

  	
   

  	
  10298

  	
   

  	
  Pine
  Tree Plaza

  
	
  10230

  	
   

  	
  Skokie
  Fashion Square II

  	
   

  	
  10299

  	
   

  	
  Schaumburg
  Promenade

  
	
  10231

  	
   

  	
  Naper
  West

  	
   

  	
  10300

  	
   

  	
  Rose
  Plaza East

  
	
  10233

  	
   

  	
  Woodfield
  Plaza

  	
   

  	
  10304

  	
   

  	
  Deer
  Trace

  
	
  10234

  	
   

  	
  Shops
  At Coopers Grove

  	
   

  	
  10305

  	
   

  	
  Deer
  Trace II

  
	
  10235

  	
   

  	
  Oliver
  Square

  	
   

  	
  10306

  	
   

  	
  Disney
  Celebration 200

  
	
  10237

  	
   

  	
  Orland
  Park Retail

  	
   

  	
  10307

  	
   

  	
  Townes
  Crossing

  
	
  10238

  	
   

  	
  Lake
  Park Plaza

  	
   

  	
  10309

  	
   

  	
  Walgreens
  - Jennings

  
	
  10240

  	
   

  	
  Homewood
  Plaza

  	
   

  	
  10312

  	
   

  	
  Brunswick
  Market Center

  
	
  10241

  	
   

  	
  Elmhurst
  City Centre

  	
   

  	
  10313

  	
   

  	
  Medina
  Marketplace

  
	
  10242

  	
   

  	
  Chestnut
  Court

  	
   

  	
  10315

  	
   

  	
  Shakopee
  Outlot

  
	
  10243

  	
   

  	
  St
  James Crossing

  	
   

  	
  10316

  	
   

  	
  Shops
  At Orchard Place

  
	
  10244

  	
   

  	
  Oak
  Forest Commons

  	
   

  	
  10317

  	
   

  	
  Cub
  Foods - Hutchinson

  
	
  10245

  	
   

  	
  Oak
  Forest Commons III

  	
   

  	
  10323

  	
   

  	
  Shannon
  Square Shoppes

  
	
  10248

  	
   

  	
  Bergen
  Plaza

  	
   

  	
  10324

  	
   

  	
  Cub
  Foods - Arden Hills

  
	
  10251

  	
   

  	
  Wauconda
  Shopping Center

  	
   

  	
  10333

  	
   

  	
  Park
  Avenue Centre

  
	
  10252

  	
   

  	
  Berwyn
  Plaza

  	
   

  	
  10334

  	
   

  	
  Wauconda
  Crossings

  
	
  10253

  	
   

  	
  Woodland
  Heights

  	
   

  	
  10335

  	
   

  	
  Apache
  Shoppes

  
	
  10254

  	
   

  	
  Schaumburg
  Plaza

  	
   

  	
   

  	
   

  	
   

  
	
  10255

  	
   

  	
  Winnetka
  Commons

  	
   

  	
   

  	
   

  	
   

  
	
  10256

  	
   

  	
  Eastgate
  Center

  	
   

  	
   

  	
   

  	
   

  

 

K-17

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}]]