Document:

Exhibit 10.14

 

ASSIGNMENT
OF LEASES AND RENTS

[ BENT TREE]

 

THIS ASSIGNMENT OF LEASES AND RENTS (this “Assignment”)
is made this 13th day of February, 2008, by BEHRINGER
HARVARD BENT TREE LP,
a Delaware limited partnership (“Grantor”), whose
address is 15601 Dallas Parkway, Suite 600, Addison, Texas 75001
Attention: Gerald J. Reihsen, III, and BANK OF AMERICA, N.A., a national
banking association, as Administrative Agent (in such capacity, together with
any successor Administrative Agent hereafter appointed by the Lenders, “Administrative
Agent”), for and on behalf of the Loan Parties (defined below), whose
address is 901 Main Street, 20th Floor, Dallas, Texas 75202 Attn:  Real Estate Loan Administration.

 

RECITALS

 

A.            Behringer Harvard Opportunity OP I, LP, a Texas limited
partnership (the “Operating Partnership”) and certain of its
Subsidiaries, including Grantor, (the “Subsidiary Obligors”) (the
Operating Partnership and Subsidiary Obligors are sometimes referred to herein,
collectively, as “Borrowers”) may from time to time be indebted to the
Loan Parties pursuant to that certain Credit
Agreement dated of even date herewith (as modified, amended, renewed,
restated or supplemented from time to time, the “Credit Agreement”), among Borrowers, L/C
Issuer, Swap Bank and the Lenders (herein so called) now or hereafter made a
party to the Credit Agreement (Administrative Agent, L/C Issuer, Swap Bank and Lenders, together with their
respective successors and assigns, are herein called the “Loan Parties”),
Grantor and the other Subsidiary Obligors from time to time made a party
thereto.  The Credit Agreement evidences, in part, a
$75,000,000 loan (with an option to increase the amount of such loan up to
$150,000,000 as provided in the Credit Agreement) (the “Loan”).

 

B.            In
connection with and pursuant to the terms of the Credit Agreement, Grantor
hereby executes and delivers this Assignment to Administrative Agent, for the
ratable behalf of the Loan Parties.

 

AGREEMENT

 

1.             Definitions.  Capitalized terms used herein but not
otherwise defined herein shall have the meaning assigned to such terms in the
Credit Agreement.

 

2.             Property. 
Grantor is the owner of that certain real property described in Exhibit A
attached hereto and incorporated herein by this reference (such real property,
together with all improvements now or hereafter situated thereon, and all
appurtenances thereto, being hereinafter referred to as the “Property”).

 

3.             Loan Documents. Grantor has executed that certain Deed of Trust,
Assignment of Rents and Leases, Security Agreement, Fixture Filing and
Financing Statement (the “Deed of 

 

 

1

 

Trust”), of even date herewith (this
Assignment, the Credit Agreement, the Deed of Trust, and all instruments and
all other documents executed in connection with the Loan are hereinafter
referred to collectively as the “Loan Documents”).  The terms “Credit
Agreement”, “Deed of Trust”, and “Loan Documents” shall be deemed to include
any and all modifications, amendments, extensions, renewals and substitutions,
supplements or restatements, in whole or in part, thereof.

 

4.             Assignment.  As an inducement to the Loan Parties to
extend certain financial accommodations to Borrowers, Grantor hereby assigns,
sells, conveys, and sets over unto Administrative Agent, for the ratable behalf
of the Loan Parties, all of Grantor’s right, title, and interest in and to:

 

(1)           any
leases, licenses, concession agreements, franchise and other occupancy
agreements and other agreements demising, leasing or granting rights of
possession or use or, to the extent of the interest therein of Grantor, any
sublease, subsublease or sublicense, which now or hereafter may affect the
Property or any part thereof or interest therein, including any agreement relating
to a loan or other advance of funds made in connection with any such lease,
license, concession agreement, franchise or other occupancy agreement and such
sublease, subsublease or sublicense, and every amendment, restatement,
supplement consolidation or other modification of or other agreement relating
to or entered into in connection with such lease, license, concession
agreement, franchise or other occupancy agreement and such sublease,
subsublease or sublicense, and every guarantee of the performance and
observance of the covenants, conditions and agreements to be performed and
observed by the other party thereto, and any guarantees of leasing commissions
(collectively, the “Leases”); and

 

(2)           all
rents, issues, profits, royalties, receipts, revenues, accounts receivable,
security deposits and other deposits (subject to the prior right of Tenants
making such deposits) and income, including fixed, additional and percentage
rents, occupancy charges, operating expense reimbursements, reimbursements for
increases in taxes, sums paid by Tenants to Grantor to reimburse Grantor for
amounts originally paid or to be paid by Grantor or its agents or Affiliates
for which such Tenants were liable, as, for example, tenant improvements costs
in excess of any work letter, lease takeover costs, moving expenses and tax and
operating expense pass-throughs for which a Tenant is solely liable, parking,
valet, maintenance, common area, tax, insurance, utility and service charges
and contributions, proceeds of sale of electricity, gas, heating,
air-conditioning and other utilities and services, deficiency rents and
liquidated damages, and other benefits (all of the foregoing being hereinafter
referred to collectively as the “Rents”).

 

Notwithstanding
anything contained herein to the contrary, in no event shall this Assignment be
deemed to reduce the Indebtedness by an amount in excess of the actual amount
of cash received by Grantor under any Lease, whether before, during or after
the occurrence of a Default, and Grantor acknowledges that in no event shall
the Indebtedness be reduced by the value from time to time of the Rents of or
from the Property.  In addition,
Administrative Agent reserves the right, 

 

 

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at any time, whether
before or after the occurrence of a Default, to re-characterize this Assignment
as merely constituting security for the indebtedness of Grantor to the Loan
Parties, which re-characterization shall be made by written notice delivered to
Grantor.  Grantor’s receipt of any rents,
issues, and profits pursuant to this assignment after the institution of
foreclosure proceedings, either by court action or by the private power of sale
contained in the Deed of Trust, shall not cure a Default, or affect such proceedings
or sale. THIS ASSIGNMENT SHALL NOT CONSTITUTE OR EVIDENCE
ANY PAYMENT WHATSOEVER ON ACCOUNT OF THE INDEBTEDNESS, AND THE INDEBTEDNESS
SHALL BE REDUCED BY AMOUNTS COLLECTED BY ADMINISTRATIVE AGENT ONLY IF AND TO
THE EXTENT THAT SUCH AMOUNTS ARE ACTUALLY PAID TO ADMINISTRATIVE AGENT, FOR THE
RATABLE BENEFIT OF THE LOAN PARTIES, AND APPLIED BY THE LOAN PARTIES IN
REDUCTION OF THE UNPAID PRINCIPAL BALANCE OF THE INDEBTEDNESS.

 

5.             Warranties
and Covenants as to Leases.  Grantor
represents, warrants, and covenants to Administrative Agent and the Loan
Parties that (i) it has delivered to Administrative Agent a true and
correct copy of all Leases and each guarantee thereof (if any), affecting any
part of the Property, together with an accurate and complete rent roll for the
Property, and no such Lease or guarantee contains any option to purchase all or
any portion of the Property or any interest therein or contains any right of
first refusal relating to any sale of the Property or any portion thereof or
interest therein; (ii) it now is (or with respect to Leases not yet in
existence, will be immediately upon the execution thereof) the absolute owner
of any Leases, with full right and title to assign the same and the Rents due
or to become due thereunder; that any existing Leases are valid, in full force
and effect, and have not been modified or amended, except as stated herein; (iii) there
is no outstanding assignment or pledge of the Leases or of the Rents due or to
become due thereunder; and (iv) there are no existing defaults under the
terms of the Leases on the part of Grantor or, to the best knowledge of
Grantor, any other party thereto. 
Grantor also represents, warrants, and covenants that all Tenants under
the Leases are paying rent on fully executed Leases.  All future Leases
shall be executed on the lease form approved by Administrative Agent in
accordance with the Credit Agreement.

 

6.             Covenant to Defend Actions.    Grantor shall, at Grantor’s sole cost
and expense, appear in and defend any action or proceeding arising under,
growing out of, or in any manner connected with any Leases or the obligations,
duties, or liabilities of the lessor or lessee thereunder, and shall pay all
reasonable costs and expenses, including reasonable attorneys’ fees, which Administrative
Agent may incur in connection with Administrative Agent’s appearance, voluntary
or otherwise, in any such action or proceeding.

 

7.             Administrative Agent Rights as
to Leases and Rents.    This is
a current, direct and absolute assignment, and Administrative Agent, on behalf
of the Loan Parties, shall have the right, at its option after the occurrence
of and during the continuation of a Default, to enter and take possession of
the Property and to perform all acts necessary for the operation and
maintenance of the Property in the same manner and to the same extent that
Grantor might reasonably so act.  In furtherance of the foregoing, and not
by way of limitation, Administrative 

 

 

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Agent is empowered, but shall have no obligation, to collect the Rents
accruing under any Lease, to enforce payment thereof and the performance of any
and all terms and provisions thereof, to exercise all the rights and privileges
of Grantor thereunder, including the right to fix or modify Rents, to demand
and sue for possession of the premises covered by any Lease, and to relet such
premises and collect the Rents accruing by reason of such reletting. 
Administrative Agent shall from time to time apply the net income derived under
any Leases, after payment of all proper costs and charges (including any loss
or damage of the nature referred to in Section 10 hereof, and
including reasonable attorneys’ fees and other costs of collection) to any sums
then due to the Loan Parties under the Loan Documents, in such order as
Administrative Agent may elect, but Administrative Agent shall in no event be
accountable for any moneys not actually received by Administrative Agent
pursuant hereto.

 

8.             License to Grantor Until Default.   Until the occurrence of a Default,
Grantor shall have a license (which license shall terminate automatically and
without further notice upon the occurrence of a Default) to collect the Rents
under the Leases and, where applicable, subleases, such Rents to be held in
trust for Administrative Agent, for the ratable behalf of the Loan Parties, and
to otherwise deal with all Leases as permitted by this Assignment.  Each month, provided no Default has occurred
and is continuing, Grantor may retain such Rents as were collected that month; provided,
however, that all Rents collected by Grantor shall be applied first to
the pay the costs and expenses associated with the ownership, maintenance,
development, operating, and marketing of the Property, including all amounts
then required to be paid under the Loan Documents, before using or applying such Rents for any other
purpose.  Upon the revocation of such
license, all Rents shall be paid directly to Administrative Agent, for the
ratable behalf of the Loan Parties, and not through Grantor, all without the
necessity of any further action by Administrative Agent, including, without
limitation, any action to obtain possession of all or any portion of the
Property or any action for the appointment of a receiver.  Grantor hereby authorizes and directs the
Tenants under the Leases to pay Rents to Administrative Agent upon written
demand by Administrative Agent, without further consent of Grantor, without any
obligation of such Tenants to determine whether a Default has in fact occurred
and regardless of whether Administrative Agent has taken possession of any
portion of the Property, and the Tenants may rely upon any written statement
delivered by Administrative Agent to the Tenants.  Any such payments to Administrative Agent shall
constitute payments to Grantor under the Leases, and Grantor hereby irrevocably
appoints Administrative Agent as its attorney-in-fact to do all things, after a
Default, which Grantor might otherwise do with respect to the Property and the
Leases thereon, including, without limitation, (i) collecting Rents with
or without suit and applying the same, less expenses of collection, to any of
the obligations or sums due to the Loan Parties hereunder or under the Loan
Documents or to expenses of operating and maintaining the Property (including
reasonable reserves for anticipated expenses), at the option of the
Administrative Agent, all in such manner as may be determined by Administrative
Agent, (ii) leasing, in the name of Grantor, the whole or any part of the
Property which may become vacant, and (iii) employing agents therefor and
paying such agents reasonable compensation for their services.  The curing of such Default, unless other
Defaults also then exist, shall entitle Grantor to recover its aforesaid license
to do any such things which Grantor might otherwise do with respect to the
Property and the Leases thereon and to again collect such Rents.  The powers and 

 

 

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rights granted in this paragraph shall be in addition to the other
remedies herein provided for upon the occurrence of a Default and may be
exercised independently of or concurrently with any of said remedies.  Nothing in the foregoing shall be construed to
impose any obligation upon Administrative Agent, or any Loan Party, to exercise
any power or right granted in this paragraph or to assume any liability under
any Lease of any part of the Property and no liability shall attach to
Administrative Agent and the Loan Parties for failure or inability to collect
any Rents under any Lease.

 

9.             Authorization to Tenants.    Grantor hereby irrevocably agrees and
directs that the Tenant under each Lease shall, upon demand and notice from
Administrative Agent that Administrative Agent has revoked the license
contained in Section 8 hereof, pay all Rents under such Lease to
Administrative Agent, for the ratable behalf of the Loan Parties, without
liability on the part of such Tenant for determining the validity or propriety
of Administrative Agent’s revocation of such license, and notwithstanding any
claim by Grantor that Administrative Agent’s revocation of such license is
invalid or improper.  Grantor shall have no claim against any such Tenant
for any Rents or other sums paid by such Tenant to Administrative Agent.

 

10.           No Responsibility Until Entry.    Prior to Administrative Agent’s actual
entry and taking possession of the Property immediately affected by any Lease,
this Assignment shall not operate to place responsibility upon Administrative
Agent and the Loan Parties for the condition, safety, control, care,
management, or repair of the Property.  Nothing contained herein shall be
construed to bind Administrative Agent or any of the Loan Parties at any time
to the performance of any of the terms or provisions contained in any Lease, or
otherwise to impose any obligation on Administrative Agent and the Loan
Parties, including, without limitation, any liability under any covenant of
quiet enjoyment contained in any Lease in the event that any Lease shall be
terminated or any Tenant dispossessed upon foreclosure of any of the Loan
Documents.  GRANTOR AGREES TO INDEMNIFY AND HOLD
ADMINISTRATIVE AGENT AND THE LOAN PARTIES HARMLESS OF AND FROM ANY AND ALL
CLAIMS, LIABILITIES, LOSSES, EXPENSES, OR DAMAGES WHICH ADMINISTRATIVE AGENT
AND THE LOAN PARTIES MAY INCUR UNDER ANY LEASE, OR BY REASON OF THIS
ASSIGNMENT, EXCEPT ON ACCOUNT OF WILLFUL MISCONDUCT OR GROSS NEGLIGENCE OF
ADMINISTRATIVE AGENT OR ANY LOAN PARTY.

 

11.           Grantor to Perform and Enforce Leases.    Grantor shall perform, both before and
after any revocation by Administrative Agent of the license contained in Section 8
hereof, all of Grantor’s covenants, agreements, and obligations as lessor under
any Leases, and shall not suffer or permit to occur any release of liability of
any Tenant or the accrual of any right in any Tenant to withhold any Rent or
other sum payable under the terms of any Lease.  Grantor shall give prompt
notice to Administrative Agent of any notice of default received from any Tenant
or from any other person relative to the Property, and shall furnish
Administrative Agent with a copy of any such notice.  If requested by
Administrative Agent, Grantor shall enforce each Lease and all remedies
available to Grantor against the Tenant thereunder in the event of any default
by such Tenant.

 

 

5

 

12.           No Impairment of Administrative Agent’s Interests.    Grantor shall not make any other or
further assignments of any Lease or of any interest therein, or of any of the
Rents payable thereunder.  Grantor shall not modify or amend the terms of
any guaranty of any Lease or cancel or terminate any such guaranty, nor consent
to the assignment of any Lease, or any subletting thereunder, except in accordance
with the terms of the Credit Agreement.

 

13.           Administrative Agent’s Rights to Perform.   If Grantor shall fail to make any
payment or to perform any act required of Grantor under the terms hereof, then
(without waiving any rights of Administrative Agent under the provisions of Section 14
hereof) Administrative Agent may, but shall not be obligated to, without notice
to or demand on Grantor, and without releasing Grantor from any obligation
hereof, make or perform the same in such manner and to such extent as Administrative
Agent may deem necessary to protect the security hereof, including
specifically, without limitation, appearing in and defending any action or
proceeding purporting to affect the security hereof or the rights or powers of
Grantor or Administrative Agent, performing or discharging any obligation,
covenant, or agreement of Grantor under any Lease, and, in exercising any of
such powers, paying all necessary costs and expenses, employing counsel, and
incurring and paying reasonable attorneys’ fees.  Any sum advanced or paid
by Administrative Agent for any such purpose shall be immediately due and
payable to Administrative Agent, on behalf of the Loan Parties, by Grantor, and
shall bear interest at the Past Due Rate (as that term is defined in the Credit
Agreement) from the date paid or advanced by Administrative Agent until repaid
by Grantor.

 

14.           Cross Default Provision. Any default by Grantor in
the performance or observance of any covenant or condition hereof shall be
deemed a Default under each of the Loan Documents, entitling Administrative
Agent, for and on behalf of the Loan Parties, to exercise all or any remedies
available to Administrative Agent and the Loan Parties under the terms of any
or all Loan Documents, and any Default under any other Loan Document (subject
to any applicable grace periods) shall be deemed a Default hereunder, entitling
Administrative Agent, for and on behalf of the Loan Parties, to exercise any or
all remedies provided for herein.

 

15.           No Waiver. 
  Failure by Administrative Agent to exercise any right which it
may have hereunder shall not be deemed a waiver thereof unless so agreed in
writing by Administrative Agent, on behalf of the Loan Parties, and the waiver
by Administrative Agent of any default by Grantor hereunder shall not
constitute a continuing waiver or a waiver of any other default or of the same
default on any future occasion.

 

16.           Rights of Successors to Administrative Agent.    Administrative Agent shall have the
right to assign all of Grantor’s right, title, and interest in any or all
Leases and Rents (to the extent of the interests therein conferred upon
Administrative Agent by the terms hereof) to any subsequent holder or owner of
the Loan Documents, or to any person who shall acquire title to the Property
through foreclosure or otherwise.  From and after the acquisition of title
to the Property by any person, through foreclosure or conveyance in lieu of
foreclosure, no assignee of Grantor’s interest in any Lease shall be liable to
account to Grantor for the Rents thereafter accruing.

 

 

6

 

17.           Effect of Release of Deed of Trust.    The recording of any valid release of
the Deed of Trust shall operate as a release of this Assignment in favor of the
then owner of the Property, provided that the recording of any valid partial
release of said Deed of Trust shall operate as a release hereof only with
respect to that portion of the Property thereby released from said Deed of
Trust, the term “Property” as used herein being deemed thereafter to refer only
to that portion of the Property remaining encumbered by said Deed of Trust, and
the term “Grantor” as used herein being deemed thereafter to refer only to the
owner or owners of such remaining portion of the Property.  Notwithstanding anything to the contrary
contained herein, if, in the event of a foreclosure of the Deed of Trust, less
than the full amount then owing under the Loan Instruments is bid at any
resulting foreclosure sale, this Assignment shall not be released but shall
remain in full force and effect after such foreclosure sale and be assigned to
the purchaser of the Property at such foreclosure sale.

 

18.           Notices. 
  All notices or other communications required or permitted to be
given pursuant to this Assignment shall be in writing and shall be considered
as properly given if sent in accordance with the terms of the Credit Agreement.

 

19.           Administrative Agent Affidavits of Debt Due.    The affidavit of any officer of
Administrative Agent stating that any part of the indebtedness secured hereby
remains unpaid shall constitute conclusive evidence of the validity,
effectiveness, and continuing force of this Assignment, and any person may and
is hereby authorized to rely upon such affidavit.

 

20.           Rights Cumulative. 
  The rights and remedies of Administrative Agent under this
Assignment are cumulative and are not in lieu of, but are in addition to, any
other rights or remedies which Administrative Agent shall have under the Credit
Agreement, the Deed of Trust, or any other Loan Document.

 

21.           Administrative Agent Not Mortgagee-in-Possession.   Nothing herein shall be construed to
constitute Administrative Agent as a “mortgagee-in-possession” in the absence
of its taking actual possession of the Property pursuant to the powers granted
herein or in any other Loan Document or to impose any liability or obligation
on Administrative Agent under or with respect to the Leases and Rents.  Any Rents or any other monies collected by
Administrative Agent in connection with the Property shall be applied by
Administrative Agent to any sums then due the Loan Parties under the Loan
Documents, including any liabilities, losses, damages, claims, demands, costs,
expenses, or fees incurred by Administrative Agent in connection with or
arising from the Loan Documents or the Property, subject to the terms of the
Credit Agreement, in such order as Administrative Agent may elect.

 

22.           Binding Effect. 
  The provisions of this Assignment shall be binding upon and shall
inure to the benefit of the parties hereto and their respective successors and
permitted assigns.

 

23.           Severability. 
  If any provision under this Assignment shall be invalid, illegal,
or unenforceable, it shall not affect or impair the validity, legality, and
enforceability of any other provision of this Assignment.

 

 

7

 

24.           Amendment. 
  This Assignment may not be amended, modified, or changed, nor
shall any waiver of any provision hereof be effective, except only by an instrument
in writing signed by the party against whom enforcement of any waiver,
amendment, change, modification, or discharge is sought.

 

25.           Captions. 
  The captions and headings in this Assignment are for convenience
only and shall not be considered in interpreting the provisions of this
Assignment.

 

26.           Governing Law. 
This Assignment shall be governed by and construed in accordance with
the laws of the United States and of the State of Texas.

 

27.           No Construction Against Preparer.   This Assignment has been prepared by
Administrative Agent and its professional advisors and reviewed by Grantor and
its professional advisors. 
Administrative Agent, Grantor, and their separate advisors believe that
this Assignment is the product of all of their efforts, that it expresses their
agreement, and that it should not be interpreted in favor of either
Administrative Agent or Grantor or against either Administrative Agent or
Grantor merely because of their efforts in preparing it.

 

[SIGNATURES
ON FOLLOWING PAGE]

 

 

8

 

IN WITNESS WHEREOF, Grantor has executed this Assignment on the date
first above written.

 

	
  GRANTOR:

  
	
   

  	
   

  
	
  BEHRINGER
  HARVARD BENT TREE LP, a Delaware limited partnership

  
	
   

  	
   

  
	
  By:

  	
  /s/ Gerald J.
  Reihsen, III

  
	
   

  	
  Gerald J.
  Reihsen, III

  
	
   

  	
  Executive Vice
  President — Corporate

  
	
   

  	
  Development &
  Legal and Secretary

  
			

 

	
  STATE OF TEXAS

  	
  §

  
	
   

  	
  §    ss.   Dallas

  
	
  COUNTY OF DALLAS

  	
  §

  

 

The foregoing
instrument was acknowledged before me this
             day of
February, 2008, by Gerald J. Reihsen, III, Executive Vice President - Corporate
Development & Legal Secretary of Behringer Harvard Bent Tree LP, a
Delaware limited partnership, on behalf such partnership.

 

Witness my hand and official seal.

 

	
   

  
	
  Notary Public,
  State of Texas

  	
   

  
	
   

  	
   

  
	
  My commission expires:Exhibit 10.15

 

ASSIGNMENT
OF LEASES AND RENTS

[ AUGUSTA]

 

THIS ASSIGNMENT OF LEASES AND RENTS (this “Assignment”)
is made this 13th day of February, 2008, by BEHRINGER
HARVARD AUGUSTA LP, a
Delaware limited partnership (“Grantor”), whose address is 15601 Dallas
Parkway, Suite 600, Addison, Texas 75001 Attention: Gerald J. Reihsen, III,
and BANK OF AMERICA, N.A., a national banking association, as Administrative
Agent (in such capacity, together with any successor Administrative Agent
hereafter appointed by the Lenders, “Administrative Agent”), for and on
behalf of the Loan Parties (defined below), whose address is 901 Main Street,
20th Floor, Dallas, Texas 75202 Attn: 
Real Estate Loan Administration.

 

RECITALS

 

A.            Behringer Harvard Opportunity OP I, LP, a Texas limited
partnership (the “Operating Partnership”) and certain of its
Subsidiaries, including Grantor, (the “Subsidiary Obligors”) (the
Operating Partnership and Subsidiary Obligors are sometimes referred to herein,
collectively, as “Borrowers”) may from time to time be indebted to the
Loan Parties pursuant to that certain Credit
Agreement dated of even date herewith (as modified, amended, renewed,
restated or supplemented from time to time, the “Credit Agreement”), among Borrowers, L/C
Issuer, Swap Bank and the Lenders (herein so called) now or hereafter made a
party to the Credit Agreement (Administrative Agent, L/C Issuer, Swap Bank and Lenders, together with their
respective successors and assigns, are herein called the “Loan Parties”),
Grantor and the other Subsidiary Obligors from time to time made a party
thereto.  The Credit Agreement evidences, in part, a
$75,000,000 loan (with an option to increase the amount of such loan up to
$150,000,000 as provided in the Credit Agreement) (the “Loan”).

 

B.            In
connection with and pursuant to the terms of the Credit Agreement, Grantor
hereby executes and delivers this Assignment to Administrative Agent, for the
ratable behalf of the Loan Parties.

 

AGREEMENT

 

1.             Definitions.  Capitalized terms used herein but not
otherwise defined herein shall have the meaning assigned to such terms in the
Credit Agreement.

 

2.             Property. 
Grantor is the owner of that certain real property described in Exhibit A
attached hereto and incorporated herein by this reference (such real property,
together with all 

 

 

1

 

improvements
now or hereafter situated thereon, and all appurtenances thereto, being
hereinafter referred to as the “Property”).

 

3.             Loan Documents. Grantor has executed that certain Deed of Trust,
Assignment of Rents and Leases, Security Agreement, Fixture Filing and
Financing Statement (the “Deed of Trust”), of even date herewith (this
Assignment, the Credit Agreement, the Deed of Trust, and all instruments and
all other documents executed in connection with the Loan are hereinafter
referred to collectively as the “Loan Documents”).  The terms “Credit
Agreement”, “Deed of Trust”, and “Loan Documents” shall be deemed to include
any and all modifications, amendments, extensions, renewals and substitutions,
supplements or restatements, in whole or in part, thereof.

 

4.             Assignment.  As an inducement to the Loan Parties to
extend certain financial accommodations to Borrowers, Grantor hereby assigns,
sells, conveys, and sets over unto Administrative Agent, for the ratable behalf
of the Loan Parties, all of Grantor’s right, title, and interest in and to:

 

(1)           any
leases, licenses, concession agreements, franchise and other occupancy
agreements and other agreements demising, leasing or granting rights of
possession or use or, to the extent of the interest therein of Grantor, any
sublease, subsublease or sublicense, which now or hereafter may affect the
Property or any part thereof or interest therein, including any agreement relating
to a loan or other advance of funds made in connection with any such lease,
license, concession agreement, franchise or other occupancy agreement and such
sublease, subsublease or sublicense, and every amendment, restatement,
supplement consolidation or other modification of or other agreement relating
to or entered into in connection with such lease, license, concession
agreement, franchise or other occupancy agreement and such sublease,
subsublease or sublicense, and every guarantee of the performance and
observance of the covenants, conditions and agreements to be performed and
observed by the other party thereto, and any guarantees of leasing commissions
(collectively, the “Leases”); and

 

(2)           all
rents, issues, profits, royalties, receipts, revenues, accounts receivable,
security deposits and other deposits (subject to the prior right of Tenants
making such deposits) and income, including fixed, additional and percentage
rents, occupancy charges, operating expense reimbursements, reimbursements for
increases in taxes, sums paid by Tenants to Grantor to reimburse Grantor for
amounts originally paid or to be paid by Grantor or its agents or Affiliates
for which such Tenants were liable, as, for example, tenant improvements costs
in excess of any work letter, lease takeover costs, moving expenses and tax and
operating expense pass-throughs for which a Tenant is solely liable, parking,
valet, maintenance, common area, tax, insurance, utility and service charges
and contributions, proceeds of sale of electricity, gas, heating,
air-conditioning and other utilities and services, deficiency rents and
liquidated damages, and other benefits (all of the foregoing being hereinafter
referred to collectively as the “Rents”).

 

 

2

 

Notwithstanding
anything contained herein to the contrary, in no event shall this Assignment be
deemed to reduce the Indebtedness by an amount in excess of the actual amount
of cash received by Grantor under any Lease, whether before, during or after
the occurrence of a Default, and Grantor acknowledges that in no event shall
the Indebtedness be reduced by the value from time to time of the Rents of or
from the Property.  In addition,
Administrative Agent reserves the right, at any time, whether before or after
the occurrence of a Default, to re-characterize this Assignment as merely
constituting security for the indebtedness of Grantor to the Loan Parties,
which re-characterization shall be made by written notice delivered to Grantor.  Grantor’s receipt of any rents, issues, and
profits pursuant to this assignment after the institution of foreclosure
proceedings, either by court action or by the private power of sale contained
in the Deed of Trust, shall not cure a Default, or affect such proceedings or
sale. THIS ASSIGNMENT SHALL NOT CONSTITUTE OR EVIDENCE
ANY PAYMENT WHATSOEVER ON ACCOUNT OF THE INDEBTEDNESS, AND THE INDEBTEDNESS
SHALL BE REDUCED BY AMOUNTS COLLECTED BY ADMINISTRATIVE AGENT ONLY IF AND TO
THE EXTENT THAT SUCH AMOUNTS ARE ACTUALLY PAID TO ADMINISTRATIVE AGENT, FOR THE
RATABLE BENEFIT OF THE LOAN PARTIES, AND APPLIED BY THE LOAN PARTIES IN
REDUCTION OF THE UNPAID PRINCIPAL BALANCE OF THE INDEBTEDNESS.

 

5.             Warranties
and Covenants as to Leases.  Grantor
represents, warrants, and covenants to Administrative Agent and the Loan
Parties that (i) it has delivered to Administrative Agent a true and
correct copy of all Leases and each guarantee thereof (if any), affecting any
part of the Property, together with an accurate and complete rent roll for the
Property, and no such Lease or guarantee contains any option to purchase all or
any portion of the Property or any interest therein or contains any right of
first refusal relating to any sale of the Property or any portion thereof or
interest therein; (ii) it now is (or with respect to Leases not yet in
existence, will be immediately upon the execution thereof) the absolute owner
of any Leases, with full right and title to assign the same and the Rents due
or to become due thereunder; that any existing Leases are valid, in full force
and effect, and have not been modified or amended, except as stated herein; (iii) there
is no outstanding assignment or pledge of the Leases or of the Rents due or to
become due thereunder; and (iv) there are no existing defaults under the
terms of the Leases on the part of Grantor or, to the best knowledge of
Grantor, any other party thereto. 
Grantor also represents, warrants, and covenants that all Tenants under
the Leases are paying rent on fully executed Leases.  All future Leases
shall be executed on the lease form approved by Administrative Agent in
accordance with the Credit Agreement.

 

6.             Covenant to Defend Actions.    Grantor shall, at Grantor’s sole cost
and expense, appear in and defend any action or proceeding arising under,
growing out of, or in any manner connected with any Leases or the obligations,
duties, or liabilities of the lessor or lessee thereunder, and shall pay all
reasonable costs and expenses, including reasonable attorneys’ fees, which
Administrative Agent may incur in connection with Administrative Agent’s
appearance, voluntary or otherwise, in any such action or proceeding.

 

7.             Administrative Agent Rights as
to Leases and Rents.    This is
a current, direct and 

 

 

3

 

absolute assignment, and Administrative Agent, on behalf of the Loan
Parties, shall have the right, at its option after the occurrence of and during
the continuation of a Default, to enter and take possession of the Property and
to perform all acts necessary for the operation and maintenance of the Property
in the same manner and to the same extent that Grantor might reasonably so
act.  In furtherance of the foregoing, and not by way of limitation,
Administrative Agent is empowered, but shall have no obligation, to collect the
Rents accruing under any Lease, to enforce payment thereof and the performance
of any and all terms and provisions thereof, to exercise all the rights and
privileges of Grantor thereunder, including the right to fix or modify Rents,
to demand and sue for possession of the premises covered by any Lease, and to
relet such premises and collect the Rents accruing by reason of such
reletting.  Administrative Agent shall from time to time apply the net
income derived under any Leases, after payment of all proper costs and charges
(including any loss or damage of the nature referred to in Section 10
hereof, and including reasonable attorneys’ fees and other costs of collection)
to any sums then due to the Loan Parties under the Loan Documents, in such
order as Administrative Agent may elect, but Administrative Agent shall in no
event be accountable for any moneys not actually received by Administrative
Agent pursuant hereto.

 

8.             License to Grantor Until Default.   Until the occurrence of a Default,
Grantor shall have a license (which license shall terminate automatically and
without further notice upon the occurrence of a Default) to collect the Rents
under the Leases and, where applicable, subleases, such Rents to be held in
trust for Administrative Agent, for the ratable behalf of the Loan Parties, and
to otherwise deal with all Leases as permitted by this Assignment.  Each month, provided no Default has occurred
and is continuing, Grantor may retain such Rents as were collected that month; provided,
however, that all Rents collected by Grantor shall be applied first to
the pay the costs and expenses associated with the ownership, maintenance,
development, operating, and marketing of the Property, including all amounts
then required to be paid under the Loan Documents, before using or applying such Rents for any other
purpose.  Upon the revocation of such
license, all Rents shall be paid directly to Administrative Agent, for the
ratable behalf of the Loan Parties, and not through Grantor, all without the
necessity of any further action by Administrative Agent, including, without
limitation, any action to obtain possession of all or any portion of the
Property or any action for the appointment of a receiver.  Grantor hereby authorizes and directs the
Tenants under the Leases to pay Rents to Administrative Agent upon written
demand by Administrative Agent, without further consent of Grantor, without any
obligation of such Tenants to determine whether a Default has in fact occurred
and regardless of whether Administrative Agent has taken possession of any
portion of the Property, and the Tenants may rely upon any written statement
delivered by Administrative Agent to the Tenants.  Any such payments to Administrative Agent
shall constitute payments to Grantor under the Leases, and Grantor hereby
irrevocably appoints Administrative Agent as its attorney-in-fact to do all
things, after a Default, which Grantor might otherwise do with respect to the
Property and the Leases thereon, including, without limitation, (i) collecting
Rents with or without suit and applying the same, less expenses of collection,
to any of the obligations or sums due to the Loan Parties hereunder or under
the Loan Documents or to expenses of operating and maintaining the Property
(including reasonable reserves for anticipated expenses), at the option of the
Administrative Agent, all in such manner as may be determined by Administrative
Agent, (ii) 

 

 

4

 

leasing, in the name of Grantor, the whole or any part of the Property
which may become vacant, and (iii) employing agents therefor and paying
such agents reasonable compensation for their services.  The curing of such Default, unless other
Defaults also then exist, shall entitle Grantor to recover its aforesaid
license to do any such things which Grantor might otherwise do with respect to
the Property and the Leases thereon and to again collect such Rents.  The powers and rights granted in this
paragraph shall be in addition to the other remedies herein provided for upon
the occurrence of a Default and may be exercised independently of or
concurrently with any of said remedies. 
Nothing in the foregoing shall be construed to impose any obligation
upon Administrative Agent, or any Loan Party, to exercise any power or right
granted in this paragraph or to assume any liability under any Lease of any
part of the Property and no liability shall attach to Administrative Agent and
the Loan Parties for failure or inability to collect any Rents under any Lease.

 

9.             Authorization to Tenants.    Grantor hereby irrevocably agrees and
directs that the Tenant under each Lease shall, upon demand and notice from
Administrative Agent that Administrative Agent has revoked the license contained
in Section 8 hereof, pay all Rents under such Lease to
Administrative Agent, for the ratable behalf of the Loan Parties, without
liability on the part of such Tenant for determining the validity or propriety
of Administrative Agent’s revocation of such license, and notwithstanding any
claim by Grantor that Administrative Agent’s revocation of such license is
invalid or improper.  Grantor shall have no claim against any such Tenant
for any Rents or other sums paid by such Tenant to Administrative Agent.

 

10.           No Responsibility Until Entry.    Prior to Administrative Agent’s actual
entry and taking possession of the Property immediately affected by any Lease,
this Assignment shall not operate to place responsibility upon Administrative
Agent and the Loan Parties for the condition, safety, control, care,
management, or repair of the Property.  Nothing contained herein shall be
construed to bind Administrative Agent or any of the Loan Parties at any time
to the performance of any of the terms or provisions contained in any Lease, or
otherwise to impose any obligation on Administrative Agent and the Loan
Parties, including, without limitation, any liability under any covenant of
quiet enjoyment contained in any Lease in the event that any Lease shall be terminated
or any Tenant dispossessed upon foreclosure of any of the Loan Documents. 
GRANTOR AGREES TO INDEMNIFY AND HOLD
ADMINISTRATIVE AGENT AND THE LOAN PARTIES HARMLESS OF AND FROM ANY AND ALL
CLAIMS, LIABILITIES, LOSSES, EXPENSES, OR DAMAGES WHICH ADMINISTRATIVE AGENT
AND THE LOAN PARTIES MAY INCUR UNDER ANY LEASE, OR BY REASON OF THIS
ASSIGNMENT, EXCEPT ON ACCOUNT OF WILLFUL MISCONDUCT OR GROSS NEGLIGENCE OF
ADMINISTRATIVE AGENT OR ANY LOAN PARTY.

 

11.           Grantor to Perform and Enforce Leases.    Grantor shall perform, both before and
after any revocation by Administrative Agent of the license contained in Section 8
hereof, all of Grantor’s covenants, agreements, and obligations as lessor under
any Leases, and shall not suffer or permit to occur any release of liability of
any Tenant or the accrual of any right in any Tenant to withhold any Rent or
other sum payable under the terms of any Lease.  Grantor shall give prompt
notice to Administrative Agent of any notice of default received from any
Tenant or from 

 

 

5

 

any
other person relative to the Property, and shall furnish Administrative Agent
with a copy of any such notice.  If requested by Administrative Agent,
Grantor shall enforce each Lease and all remedies available to Grantor against
the Tenant thereunder in the event of any default by such Tenant.

 

12.           No Impairment of Administrative Agent’s Interests.    Grantor shall not make any other or
further assignments of any Lease or of any interest therein, or of any of the
Rents payable thereunder.  Grantor shall not modify or amend the terms of
any guaranty of any Lease or cancel or terminate any such guaranty, nor consent
to the assignment of any Lease, or any subletting thereunder, except in
accordance with the terms of the Credit Agreement.

 

13.           Administrative Agent’s Rights to Perform.   If Grantor shall fail to make any
payment or to perform any act required of Grantor under the terms hereof, then
(without waiving any rights of Administrative Agent under the provisions of Section 14
hereof) Administrative Agent may, but shall not be obligated to, without notice
to or demand on Grantor, and without releasing Grantor from any obligation
hereof, make or perform the same in such manner and to such extent as Administrative
Agent may deem necessary to protect the security hereof, including
specifically, without limitation, appearing in and defending any action or
proceeding purporting to affect the security hereof or the rights or powers of
Grantor or Administrative Agent, performing or discharging any obligation,
covenant, or agreement of Grantor under any Lease, and, in exercising any of
such powers, paying all necessary costs and expenses, employing counsel, and
incurring and paying reasonable attorneys’ fees.  Any sum advanced or paid
by Administrative Agent for any such purpose shall be immediately due and
payable to Administrative Agent, on behalf of the Loan Parties, by Grantor, and
shall bear interest at the Past Due Rate (as that term is defined in the Credit
Agreement) from the date paid or advanced by Administrative Agent until repaid
by Grantor.

 

14.           Cross Default Provision. Any default by Grantor in
the performance or observance of any covenant or condition hereof shall be
deemed a Default under each of the Loan Documents, entitling Administrative
Agent, for and on behalf of the Loan Parties, to exercise all or any remedies
available to Administrative Agent and the Loan Parties under the terms of any
or all Loan Documents, and any Default under any other Loan Document (subject
to any applicable grace periods) shall be deemed a Default hereunder, entitling
Administrative Agent, for and on behalf of the Loan Parties, to exercise any or
all remedies provided for herein.

 

15.           No Waiver. 
  Failure by Administrative Agent to exercise any right which it
may have hereunder shall not be deemed a waiver thereof unless so agreed in
writing by Administrative Agent, on behalf of the Loan Parties, and the waiver
by Administrative Agent of any default by Grantor hereunder shall not
constitute a continuing waiver or a waiver of any other default or of the same
default on any future occasion.

 

16.           Rights of Successors to Administrative Agent.    Administrative Agent shall have the
right to assign all of Grantor’s right, title, and interest in any or all
Leases and Rents (to the extent of the interests therein conferred upon
Administrative Agent by the terms hereof) to any subsequent holder or owner of
the Loan Documents, or to any person who shall acquire title to 

 

 

6

 

the
Property through foreclosure or otherwise.  From and after the acquisition
of title to the Property by any person, through foreclosure or conveyance in
lieu of foreclosure, no assignee of Grantor’s interest in any Lease shall be
liable to account to Grantor for the Rents thereafter accruing.

 

17.           Effect of Release of Deed of Trust.    The recording of any valid release of
the Deed of Trust shall operate as a release of this Assignment in favor of the
then owner of the Property, provided that the recording of any valid partial
release of said Deed of Trust shall operate as a release hereof only with
respect to that portion of the Property thereby released from said Deed of
Trust, the term “Property” as used herein being deemed thereafter to refer only
to that portion of the Property remaining encumbered by said Deed of Trust, and
the term “Grantor” as used herein being deemed thereafter to refer only to the
owner or owners of such remaining portion of the Property.  Notwithstanding anything to the contrary
contained herein, if, in the event of a foreclosure of the Deed of Trust, less
than the full amount then owing under the Loan Instruments is bid at any
resulting foreclosure sale, this Assignment shall not be released but shall
remain in full force and effect after such foreclosure sale and be assigned to
the purchaser of the Property at such foreclosure sale.

 

18.           Notices. 
  All notices or other communications required or permitted to be
given pursuant to this Assignment shall be in writing and shall be considered
as properly given if sent in accordance with the terms of the Credit Agreement.

 

19.           Administrative Agent Affidavits of Debt Due.    The affidavit of any officer of
Administrative Agent stating that any part of the indebtedness secured hereby
remains unpaid shall constitute conclusive evidence of the validity,
effectiveness, and continuing force of this Assignment, and any person may and
is hereby authorized to rely upon such affidavit.

 

20.           Rights Cumulative. 
  The rights and remedies of Administrative Agent under this
Assignment are cumulative and are not in lieu of, but are in addition to, any
other rights or remedies which Administrative Agent shall have under the Credit
Agreement, the Deed of Trust, or any other Loan Document.

 

21.           Administrative Agent Not Mortgagee-in-Possession.   Nothing herein shall be construed to
constitute Administrative Agent as a “mortgagee-in-possession” in the absence
of its taking actual possession of the Property pursuant to the powers granted
herein or in any other Loan Document or to impose any liability or obligation
on Administrative Agent under or with respect to the Leases and Rents.  Any Rents or any other monies collected by
Administrative Agent in connection with the Property shall be applied by
Administrative Agent to any sums then due the Loan Parties under the Loan
Documents, including any liabilities, losses, damages, claims, demands, costs,
expenses, or fees incurred by Administrative Agent in connection with or
arising from the Loan Documents or the Property, subject to the terms of the
Credit Agreement, in such order as Administrative Agent may elect.

 

 

7

 

22.           Binding Effect. 
  The provisions of this Assignment shall be binding upon and shall
inure to the benefit of the parties hereto and their respective successors and
permitted assigns.

 

23.           Severability. 
  If any provision under this Assignment shall be invalid, illegal,
or unenforceable, it shall not affect or impair the validity, legality, and
enforceability of any other provision of this Assignment.

 

24.           Amendment. 
  This Assignment may not be amended, modified, or changed, nor
shall any waiver of any provision hereof be effective, except only by an instrument
in writing signed by the party against whom enforcement of any waiver,
amendment, change, modification, or discharge is sought.

 

25.           Captions. 
  The captions and headings in this Assignment are for convenience
only and shall not be considered in interpreting the provisions of this
Assignment.

 

26.           Governing Law. 
This Assignment shall be governed by and construed in accordance with
the laws of the United States and of the State of Texas.

 

27.           No Construction Against Preparer.   This Assignment has been prepared by
Administrative Agent and its professional advisors and reviewed by Grantor and
its professional advisors. 
Administrative Agent, Grantor, and their separate advisors believe that
this Assignment is the product of all of their efforts, that it expresses their
agreement, and that it should not be interpreted in favor of either
Administrative Agent or Grantor or against either Administrative Agent or
Grantor merely because of their efforts in preparing it.

 

[SIGNATURES
ON FOLLOWING PAGE]

 

 

8

 

IN WITNESS WHEREOF, Grantor has executed this Assignment on the date
first above written.

 

	
  GRANTOR:

  
	
   

  	
   

  
	
  BEHRINGER
  HARVARD AUGUSTA LP, a Delaware limited partnership

  
	
   

  	
   

  
	
  By:

  	
  /s/ Gerald J.
  Reihsen, III

  
	
   

  	
  Gerald J.
  Reihsen, III

  
	
   

  	
  Executive Vice
  President — Corporate

  
	
   

  	
  Development &
  Legal and Secretary

  
			

 

	
  STATE OF TEXAS

  	
  §

  
	
   

  	
  §    ss.   Dallas

  
	
  COUNTY OF DALLAS

  	
  §

  

 

The foregoing
instrument was acknowledged before me this
           day of February,
2008, by Gerald J. Reihsen, III, Executive Vice President - Corporate
Development & Legal Secretary of Behringer Harvard Augusta LP, a
Delaware limited partnership, on behalf such partnership.

 

Witness my hand and official seal.

 

	
   

  
	
  Notary Public,
  State of Texas

  	
   

  
	
   

  	
   

  
	
  My commission expires:

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