Document:

Exhibit

Exhibit 10.1
 

James River Group, Inc.
1414 Raleigh Road, Suite 405, 
Chapel Hill, NC 27517

April 2, 2018
Mr. Steven Hartman

Dear Steve:
The purpose of this letter (the “Agreement”) is to confirm that we have agreed to amend and restate as of the Effective Date (as hereinafter defined) our prior agreement with respect to the terms of your employment by James River Group, Inc. (the “Parent Company”) to serve as President and Chief Executive Officer of  Parent Company subsidiaries Stonewood Insurance Company (“SIC”), Falls Lake Insurance Management Company, Inc. (“FLIMCO”), Falls Lake National Insurance Company (formerly Stonewood National Insurance Company), Falls Lake General Insurance Company, and Falls Lake Fire and Casualty Company (together, the “Companies”).  In consideration of the mutual promises contained in this Agreement, the parties to this Agreement hereby agree as follows:
1.EMPLOYMENT AND TERM.  Effective as of March 1, 2018 (the “Effective Date”), the Companies each agrees to continue to employ you (the “Executive”) as its President and Chief Executive Officer, and Executive hereby accepts such continued employment on the terms hereinafter set forth.  The term of this Agreement shall commence as of the Effective Date and end on December 31, 2019, subject to the termination provisions of Section 6.  The term of this Agreement shall thereafter be automatically renewed for additional one year periods unless written notice to the contrary shall be given by the Parent Company or Executive to the other party not less than ninety (90) days prior to the end of the initial or any renewal term that the term shall not thereafter be renewed (“Non-Renewal Notice”), subject to the termination provisions of Section 6.  The initial term plus any renewals thereof shall hereafter be referred to as the “Term.” 
2.COMPENSATION. 
(a)Salary.  Executive shall be paid a base salary of not less than four hundred ninety seven thousand four hundred seventy four dollars and eighty eight cents ($497,474.88) per year, payable in periodic installments by FLIMCO in accordance with its normal payroll practices.  
(b)Bonus.  For each fiscal year during the Term in which Executive is employed by the Company as of the last day of such fiscal year, Executive shall be eligible to receive a discretionary bonus (each, a “Bonus”) in an amount as the Board of Directors of the Parent Company (the “Board”) (other than Executive, if Executive is a member of the Board), in its discretion, may determine based on Executive’s performance during such fiscal year.  Any Bonus awarded for a fiscal year shall be paid by FLIMCO at the time or times provided by the Parent Company bonus plan in effect for such fiscal year.
(c)Vacation, Benefits. During the Term Executive shall also be entitled to participate in all employee benefit plans, to other fringe benefits generally available to executive employees of the Parent Company and its subsidiaries at the employer’s expense.  Executive will be entitled to a total of four (4) weeks of paid vacation per annum (not subject to carry over to subsequent years), which will be pro-rated for the first and last year of the Term;
(d)Expense Reimbursements.  Executive will be entitled to business expense reimbursement for all reasonable business expenses upon the presentation of reasonably itemized statements of such expenses in accordance with the Companies’ policies and procedures.  The amount of expenses eligible for reimbursement during any tax year of Executive shall not affect the expenses eligible for reimbursement in any other tax year.  The right to reimbursement provided in this Agreement is not subject to liquidation or exchange for another benefit.  In no event shall the reimbursement of an eligible expense occur later than the earlier of (i) six (6) months from the date of incurrence and (ii) the end of the calendar year following the calendar year in which such expense was incurred.
(e)Withholdings and Deductions.  All payments and compensation under this Agreement shall be subject to all required federal, state and local withholdings and deductions, and such deductions as Executive may instruct FLIMCO to take that are authorized by applicable law. 

(f)Claw-Back.  Executive acknowledges that to the extent required by applicable law or written company policy adopted by the Board to implement the requirements of such law (including without limitation Section 304 of the Sarbanes Oxley Act and Section 954 of the Dodd Frank Act), any bonus and other incentive compensation (if any) shall be subject to any clawback, forfeiture, recoupment or similar requirement (“Clawback Rights”) as the Board may determine in its sole discretion is necessary or desirable to implement such law or policy.  The Company may only exercise Clawback Rights  with respect to any bonus and other incentive compensation received during the three completed fiscal years immediately preceding the date on which the Company is required to prepare an accounting restatement and, if applicable, any transition period resulting from a change in fiscal year within or immediately following the three completed fiscal years. 
3.DUTIES. Executive shall report exclusively and directly to the Chief Executive Officer of the Parent Company (“CEO”), and to the Boards of Directors of the Companies (the “Companies Boards”).  Executive shall perform all duties normally associated with the position of President and Chief Executive Officer, and such other reasonable duties as may be assigned to him by the CEO, including without limitation overseeing subsidiaries of the Companies.  Executive will devote his entire working time, attention, and energies to carrying out and fulfilling his duties and responsibilities under this Agreement.  Executive agrees to abide by all policies applicable to employees of the Parent Company and the Companies adopted by their respective boards of directors.  Executive represents that he is able and willing to engage routine business travel as is necessary to perform his duties as President and CEO and to further the Parent Company’s and the Companies’ business interests.  
4.CONFIDENTIAL INFORMATION AND PRIVILEGED INFORMATION.
(a)Executive will not at any time during the Term or thereafter:
(i)reveal, divulge, or make known to any person, firm, or corporation or use for his personal benefit or the benefit of others (except the Companies, the Parent Company, James River Group Holdings, Ltd. (“Holdings”), and any of Holdings’ other direct or indirect subsidiaries (hereinafter referred to as “Affiliates,” and all of the foregoing, the “Holdings Group”)), directly or indirectly, any confidential or proprietary information received or developed by him during the course of his employment. For the purposes of this Section 4(a)(i) confidential and proprietary information (“Confidential Information”) shall be defined to mean (1) all historical and pro forma projections of loss ratios incurred by the Holdings Group; (2) all historical and pro forma actuarial data relating to the Holdings Group; (3) historical and pro forma financial results, revenue statements, and projections for the Holdings Group; (4) all information relating to the Holdings Group’s systems and software (other than the portion thereof provided by the vendor to all purchasers of such systems and software); (5) all information relating to SIC’s unique underwriting approach; (6) all information relating to plans for, or internal or external discussions regarding, acquisitions of or mergers with any business or line of business; (7) non-public business plans; (8) all other information relating to the financial, business, or other affairs of the Holdings Group including their customers; and (9) any information about any shareholder of Holdings or any of its Affiliates, or any of their officers or employees, that has been furnished or made available to Executive as a result of his position with the Companies.  Section 4(a)(i) shall not apply to Executive following the termination of his employment with the Parent Company and the Companies with respect to any Confidential Information known or made generally available to the general public or within the industry by persons other than Executive or a person acting with or at the request of Executive; or
(ii)reveal, divulge, or make known to any person, firm, or corporation, or use for his personal benefit or the benefit of others (except the Holdings Group), directly or indirectly, the name or names of any Customers (as defined in Section 5 below) of the Holdings Group, nor will he reveal, divulge, or make known to any person, firm, or corporation or use for his personal benefit or the benefit of others (except the Holdings Group), directly or indirectly, any trade secrets or any knowledge or information concerning any business methods or operational procedures engaged in by the Holdings Group (collectively, “Privileged Information”); provided, however, the restrictions set forth in this Section 4(a)(ii) shall not apply to Executive following the termination of his employment with the Parent Company and the Companies with respect to any Privileged Information known or made generally available to the general public or within the industry by persons other than Executive or a person acting with or at the request of Executive.
(b)Notwithstanding any provision of this Agreement to the contrary, under 18 U.S.C. §1833(b), “An individual shall not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that (A) is made (i) in confidence to a Federal, State, or local government official, either directly or indirectly, or to an attorney; and (ii) solely for the purpose of reporting or investigating a suspected violation of law; or (B) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.” Nothing in this Agreement or any other policy of the Companies is intended to conflict with this statutory protection, and no director, officer, or member of management has the authority to impose any rule to the contrary.

5.NON-COMPETITION.
(a)Executive acknowledges and agrees that as the Companies’ President and  CEO (i) he will be responsible for and directly involved in developing goodwill and relationships for the benefit of the Companies with Agents, Customers, and Fronting/Program Business Relationships (all as defined below), including personal contact with Agents, Customers, and Fronting/Program Business Relationships, and supervising others who develop and maintain Agent, Customer, and Fronting/Program Business Relationship goodwill and relationships; (ii) he will be provided and have access to the Holdings Group’s Confidential Information and Privileged Information, and will be compensated for the development, and supervising the development, of the same; (iii) he will be responsible for and directly involved in developing goodwill and relationships for the benefit of the Holdings Group with Fronting/Program Business Relationships; and (iv) he will have unique insight into and knowledge of the skills, talents and capabilities of the Companies’ key employees.  Executive also acknowledges and agrees that at the inception of his employment with the Companies it was agreed that he would be bound by noncompetition restrictions.
(b)Executive agrees that during his employment by the Parent Company and the Companies he will not compete against the Holdings Group in any manner, including without limitation by engaging in, or by assisting any other person or entity to engage in, or by having an ownership interest in, any Competitive Business (as defined below) in the Territory (as defined below), or by engaging in any conduct described in clauses (b)(i), (ii), (iii), (iv), (v), (vi), (vii) or (viii) below.  Executive further agrees that after his employment by the Parent Company and the Companies ends, he will not during the Restricted Period (as defined below):
(i)be employed in any management, customer relationship or sales capacity by any insurance company that engages in Competitive Business in the Territory (as defined below) to provide services to or on behalf of such insurance company in the Territory that compete with the Companies’ products or services;
(ii)be employed in any management, customer relationship or sales capacity by any entity that was a Fronting/Program Business Relationship during the Final Year to provide services to or on behalf of such Fronting/Program Business Relationship in the Territory; 
(iii)solicit any entity that was a Fronting/Program Business Relationship during the Final Year to produce, underwrite and/or administer insurance policies in the Territory on behalf of an insurance company that competes against any of the Companies or any Protected Holdings Group Company in the Territory; 
(iv)solicit any Customer to buy any insurance products or services offered in the Territory by the Companies during the Final Year;
(v)solicit any Prospective Customer to buy any insurance products or services offered in the Territory by the Companies during the Final Year;
(vi)solicit any Agent doing business in the Territory (A) to assist any individual or entity who was a customer of the Companies during the Final Year to obtain any insurance products or services that compete with any insurance products and services offered by the Companies in the Territory, or (B) to make referrals on behalf of such customers with respect to such insurance products or services that compete with any insurance products and services offered by the Companies in the Territory;
(vii)induce or persuade any Agent, Customer or Fronting/Program Business Relationship not to do business with, or to switch business from, or reduce business with, the Companies or any Protected Holdings Group Company; or
(viii)solicit, or assist others in soliciting, Key Employees (as defined below) to either leave the Companies or to engage in a Competitive Business.
(c)For purposes of this Agreement, the following capitalized terms shall have the meanings set forth below:
(i)“Agent” shall mean any insurance agent, insurance broker, wholesale agent, general agent, or other person (A) who acted on behalf of any customer of the Companies to obtain insurance from the Companies, or who referred any insurance business to the Companies, during the Final Year, and (B) with respect to which either Executive had (I) Confidential Information or Privileged Information or (II) account responsibility either directly or through managing employees with such account responsibility.
(ii) “Competitive Business” shall mean the insurance business of acquiring, holding, and/or underwriting (A) individual risk workers’ compensation insurance, or (B) other specialty admitted fronting/program insurance business.

(iii) “Customer” shall mean any of the customers of the Companies who purchased insurance products that were in effect in the Final Year from, or were provided services by, the Companies, and both (A) were among the Companies’ 100 largest clients (in terms of aggregate premium payments to the Companies) during the Final Year, and (B) with respect to which Executive had relationship responsibilities or direct contact, or access to Confidential Information or Privileged Information relating to the customer.
(iv)“Final Year” means the twelve month period immediately preceding Executive’s last day of employment with the Parent Company and the Companies. 
(v)“Fronting/Program Business Relationship” means a general managing agent or program administrator that has a contractual relationship with any of the Companies or any Protected Holdings Group Company to produce, underwrite and/or administer insurance policies on behalf of such company.  
(vi)“Key Employees” shall mean any executive, managerial, sales, marketing, or supervisory level employees of the Companies under Executive’s direct or indirect management authority during the Final Year. 
(vii)“Prospective Customer” shall mean any potential customer of the Companies who was actually engaged in discussions with any of the Companies during the Final Year (either directly or through an Agent) to purchase insurance products or services from the Companies, and both (A) would have been among the Companies’ 100 largest clients on an annualized basis (in terms of aggregate premium payments to the Companies) had the insurance been purchased, and (B) Executive was actively involved in such discussions, provided, however, a Prospective Customer does not include any such potential customer that decided to discontinue discussions with the Companies, and notified the Companies of that decision, before Executive’s last day of employment.
(viii)“Protected Holdings Group Company” shall mean any Holdings Group insurance company (other than the Companies) that: (A) was a party to a contractual relationship with a Fronting/Program Business Relationship in effect in the Final Year; and (B) Executive was involved in obtaining such contractual relationship with such Holdings Group company.     
(ix)“Restricted Period” shall mean eighteen (18) months, except that in the event of “Company Non-Renewal Termination” (as defined herein), “Restricted Period shall mean twelve (12) months.
(x)“Territory” shall mean, (A) with respect to clauses (b)(i), (iv), (v) and (vi) above, each and every state or other United States jurisdiction (“State(s)”) where any of the Companies is authorized to underwrite, and was actually engaged in underwriting during the Final Year, individual risk workers’ compensation insurance or other specialty admitted fronting/program insurance business; and (B) with respect to clauses (b)(ii) and (iii) above, each and every State where any of the Companies or a Protected Holdings Group Company is authorized to underwrite insurance, and was actually engaged in underwriting insurance through a Fronting/Program Business Relationship during the Final Year.
(d)The restrictions contained in this Section 5 shall not prevent: (i) the ownership by Executive of not more than three percent (3%) of the securities of any class of any corporation, whether or not such corporation is engaged in any Competitive Business, which are publicly traded on any securities exchange or any “over the counter” market; or (ii) after Executive’s employment by the Parent Company and the Companies ends, Executive’s being employed by a subsidiary or division of an insurance company that engages in Competitive Business as long as both (A) such subsidiary or division does not engage in Competitive Business in the Territory, and (B) Executive does not provide services to or assist the subsidiaries or divisions of such company that engage in Competitive Business in the Territory.
6.TERMINATION.  Executive’s employment hereunder shall terminate under the following circumstances:
(a)Termination for Cause.  The Parent Company may terminate the employment of Executive for Cause at any time by providing written notice to Executive specifying the cause of the termination. For the purposes of this Agreement, “Cause” means that:  (i) Executive willfully violated Sections 4 or 5 of this Agreement; (ii) Executive grossly neglected his duties hereunder; (iii) Executive was convicted of a felony or a crime involving moral turpitude (meaning a crime that includes the commission of an act of depravity, dishonesty, or bad morals); (iv) Executive has committed an act of dishonesty, fraud, or embezzlement against any entity in the Holdings Group; (v) Executive willfully and/or knowingly breached this Agreement in any material respect or willfully violated the Parent Company’s or the Companies’ written policies which have been provided to him; or (vi) Executive willfully failed or refused to follow the lawful instructions of the CEO or any of the Companies Boards that are consistent with this Agreement (“Insubordination”).  In the event that the Parent Company provides written notice of termination for Cause pursuant to Section 6(a)(ii) or (vi), Executive shall be entitled to cure any alleged neglect of his duties or Insubordination, to the extent curable, within thirty (30) days of receiving written notice from the Company specifying the factual basis for its belief that Executive grossly neglected his duties hereunder or engaged in Insubordination.  If 

Executive is terminated for Cause, Executive’s compensation shall terminate on the date of such termination, and all equity awards, whether vested or unvested at that time, shall be immediately forfeited and canceled effective as of the date of such termination.
(b)Company Termination Without Cause.  The Parent Company may terminate Executive at any time without Cause, with or without prior notice.  If (i) the Parent Company delivers a timely Non-Renewal Notice and Executive has not timely delivered a timely Non-Renewal Notice, (ii) Executive continues in employment with the Parent Company through the last day of the Term and (iii) the parties have not executed a written agreement applicable to Executive’s employment after the expiration of the Term, the Executive’s employment shall terminate on the last day of the Term (a “Company Non-Renewal Termination”).  
(c)Termination by Executive for Good Reason.  Executive may, at his option, terminate this Agreement for Good Reason in accordance with the terms of this Section 6(c).  “Good Reason” shall mean the occurrence of any one or more of the following events without the prior consent of Executive:
(i)A material diminution in Executive’s authority, duties or responsibilities, or requiring Executive to report directly to a person or persons other than (x) the Parent Company’s CEO or the Board, or (y) the Companies’ Boards;
(ii)A diminution in Executive’s Base Salary; or
(iii)Any action or inaction by the Parent Company or the Companies which constitutes a material breach of the terms of this Agreement;
and, in each case, the failure by the Parent Company or the Companies, as applicable, to cure such condition within the thirty (30) day period after receipt of written notice from Executive specifying in detail the factual basis for his belief that he has Good Reason to resign (“Good Reason Notice”).  Executive must deliver a Good Reason Notice to the Parent Company and the Companies within thirty (30) calendar days after the initial existence of a Good Reason condition, and, if the Parent Company or the Companies, as applicable, fails to timely cure such Good Reason condition, Executive must terminate his employment within one year after the initial existence of such Good Reason condition, and any failure by Executive to timely comply with either of these requirements shall constitute a waiver of Executive’s right to resign for Good Reason for such condition.    
(d)Termination due to Death or Disability.  Executive’s employment hereunder shall terminate upon his death.  The Parent Company may terminate Executive’s employment if he is prevented from performing his responsibilities under this Agreement because of “Disability.”   A “Disability” means that Executive is unable to engage in any substantial gainful activity by reason of a medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, or is, by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than three months under an accident or disability insurance benefit plan covering Executive (“Disability Plan”).  If Executive is unable to perform his responsibilities, by reason of any accident, illness, or mental, or physical impairment, for a period that is reasonably anticipated by the Parent Company to be longer than the waiting period in the Disability Plan, then, at the Parent Company’s request, Executive shall promptly apply for such income replacement benefits.
(e)Expiration of Term.  If (i) Executive delivers a timely Non-Renewal Notice pursuant to Section 1 (whether or not the Parent Company has timely delivered a timely Non-Renewal Notice), (ii) Executive continues in employment with the Parent Company through the last day of the Term, and (iii) the parties have not executed a written agreement applicable to Executive’s employment after the expiration of the Term, the Executive’s employment shall terminate on the last day of the Term (“Executive Non-Renewal Termination).
7.COMPENSATION AND BENEFITS UPON TERMINATION.
(a)If, during the Term, the Parent Company terminates Executive’s employment without Cause, there is a Company Non-Renewal Termination, or Executive terminates his employment for Good Reason, then:
(i)as soon as practicable following such termination but no later than ten (10) days after the Termination Date (as defined below), FLIMCO shall pay to Executive his accrued but yet unpaid base salary earned through the Termination Date and any accrued, but unused vacation pay through the Termination Date (the “Accrued Obligations”);
(ii)within forty-five (45) days following the Termination Date, FLIMCO shall reimburse Executive for reasonable expenses incurred, but not paid prior to the Termination Date;

(iii)subject to the execution and delivery of a general release (which release shall not alter or result in the waiver of Executive’s right to exercise the portion of any stock option or other equity award that vested through the Termination Date, or any rights under this Section 7(a)) in a form acceptable to the Parent Company within forty five (45) days after the Termination Date (the “Release Expiration Date”), which release has not been revoked, Executive is entitled to receive:
(A)In the event of a termination without Cause or for Good Reason (I) before or 12 months or more after a Change in Control (as defined in Section 7(d)), an amount equal to Executive’s base salary for a period of eighteen (18) months after the Termination Date, or (II) within twelve (12) months after a Change in Control, an amount equal to Executive’s base salary for a period of thirty  (30) months after the Termination Date, or (B) in the event of a Company Non-Renewal Termination, an amount equal to Executive’s base salary for a period of twelve (12) months after the Termination Date, which, in any case shall be paid in periodic installments in accordance with FLIMCO’s normal payroll practices in effect as of the Termination Date commencing on the first payroll cycle  which is at least ten (10) business days after the 45th day after the Termination Date;
(B)the continuation of coverage under all employee benefit insurance plans in which Executive was a participant as of the Termination Date, to the extent such post-employment coverage is authorized by such plans, at FLIMCO’s expense for the period of eighteen (18) after the Termination Date (for a termination without Cause or for Good Reason) or the period of twelve (12) months after the Termination Date (for a Company Non-Renewal Termination), provided, however if post-employment coverage is not authorized under such health insurance plan, then FLIMCO will pay Executive the premium cost for health insurance coverage that FLIMCO would have paid if Executive had continued being a participant in such health insurance plan during the applicable 12 month or 18 month period; and
(C)any unpaid discretionary bonus awarded to Executive for the year prior to the year in which the Termination Date occurs, which shall be paid in a lump sum on the normal bonus payment date for Parent Company bonuses for such preceding fiscal year.
(iv)In the event that Executive fails to execute the Release on or prior to the Release Expiration Date, Executive shall not be entitled to any payments or benefits pursuant to Section 7(a)(iii).  Notwithstanding the foregoing, if the Release could become effective during the calendar year following the calendar year of the Termination Date, then no such payments that constitute “deferred compensation” under Internal Revenue Code Section 409A shall be made earlier than the first day of the calendar year following the calendar year of the Termination Date.
(b)If Executive’s employment is terminated as a result of death or by the Parent Company for Cause or because of Disability, or if a termination of employment occurs pursuant to Section 6(e) as a result of Executive’s delivering a timely Non-Renewal Notice:
(i)within ten (10) days following the Termination Date, FLIMCO shall pay to Executive the Accrued Obligations; and
(ii)within forty-five (45) days following the Termination Date, FLIMCO shall reimburse Executive for reasonable expenses incurred, but not paid prior to the Termination Date. 
(c)Except for payments provided under Sections 7(a)(i), 7(a)(ii), and 7(b), all compensation and benefits paid pursuant to this Section 7 shall cease and Executive shall promptly return any amount paid under Section 7(a)(iii) to FLIMCO if Executive violates any of the terms of Sections 4 or 5 above during the Restricted Period. In addition to these remedies, the Parent Company, the Companies and the Holdings Group shall have all other remedies provided by this Agreement and by law for the breach of Sections 4 or 5 above.
(d)For purposes of this Agreement, “Termination Date” means the date of Executive’s “separation from service” within the meaning of Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”), and the regulations promulgated thereunder (“Section 409A”).  For purposes of this Agreement, “Change in Control” means (and, for purposes of this definition only, capitalized terms have the meaning defined in the James River Group Holdings, Ltd. 2014 Long-Term Incentive Plan, as amended) the first to occur of the following events:
		
	i.
	the purchase or other acquisition (other than from the Company), in a single transaction or series of related transactions, by any person, entity or group of persons, within the meaning of Section 13(d) or 14(d) of the Exchange Act (excluding, for this purpose, the Company or its subsidiaries or any employee benefit plan of the Company or its subsidiaries), of beneficial ownership (within the meaning of Rule 13d-3 promulgated under the Act) of 50% or more of either the then-outstanding Shares or the combined voting power of the Company’s then-outstanding voting securities entitled to vote generally in the election of directors;

		
	ii.
	consummation of a reorganization, merger, amalgamation or consolidation involving the Company, in each case with respect to which persons who were the shareholders of the Company immediately prior to such reorganization, merger, amalgamation or consolidation do not, immediately thereafter, own more than 50% of, respectively, the Shares and the combined voting power entitled to vote generally in the election of directors of the reorganized, merged, amalgamated or consolidated corporation’s then-outstanding voting securities; or

		
	iii.
	a liquidation or dissolution of the Company, or the sale of all or substantially all of the assets of the Company; provided, however, an event described above shall be considered a Change in Control hereunder only if it also constitutes a “change in control event” under Section 409A of the Code, to the extent necessary to avoid the adverse tax consequences thereunder with respect to any payment subject to Section 409A of the Code.

(e)Executive’s rights with respect to the vesting and exercise after the Termination Date, of any stock option or vesting of any other equity award shall be governed by any applicable award agreement and the James River Group Holdings, Ltd. Long-Term Incentive Plan, as amended.
8.409A COMPLIANCE.  This Agreement shall be interpreted and administered in a manner so that any amount or benefit payable hereunder shall be paid or provided in a manner that is either exempt from or compliant with the requirements Section 409A and applicable Internal Revenue Service guidance and Treasury Regulations issued thereunder (and any applicable transition relief under Section 409A).  Notwithstanding anything else contained in this Agreement to the contrary, if Executive is a “specified employee” under Holdings’ specified employee policy as in effect on the Termination Date, or if no such policy is then in effect, within the meaning of Section 409A, any payment required to be made to Executive hereunder upon or following the Termination Date shall be delayed until after the six-month anniversary of Executive’s “separation from service” (as such term is defined in Section 409A) to the extent necessary to comply with, and avoid imposition on Executive of any additional tax, interest, or penalty imposed under, Section 409A.  Should payments be delayed in accordance with the preceding sentence, the accumulated payment that would have been made but for the period of the delay shall be paid in a single lump sum during the ten (10) day period following the six-month anniversary of the Termination Date.  Each payroll period payment described in Section 7(a)(iii)(A) shall be treated as a separate payment for purposes of Section 409A.
9.UNIQUENESS OF SERVICES; ACKNOWLEDGEMENTS.  Executive acknowledges that the services to be rendered under the provisions of this Agreement are of a special, unique, and extraordinary character; involve access to and development of Confidential Information and Privileged Information; involve developing and protecting customer relationships and goodwill; and that it would be difficult or impossible to replace such services and that, by reason thereof, Executive agrees and consents that if he violates any of the provisions of Sections 4 and 5 of this Agreement, the Parent Company, the Companies and/or any entity in the Holdings Group, in addition to any other rights and remedies available under this Agreement or otherwise, shall be entitled to an injunction to be issued by a court of competent jurisdiction restricting Executive from committing or continuing any violation of Sections 4 and 5 of this Agreement.
10.FURTHER ACKNOWLEDGEMENTS.  Executive further acknowledges and agrees that the restrictions contained in Sections 4 and 5 above are reasonable and necessary to protect the legitimate interest of the Holdings Group, in view of, among other things, the short duration of the restrictions; the narrow scope of the restrictions; the Holdings Group’s interests in protecting its trade secrets, Confidential Information, and Privileged Information (which Executive agrees would be useful to competitors for more than eighteen (18) months) and its customer relationships and goodwill; Executive’s background and capabilities which will allow him to seek and accept employment without violation of the restrictions; and Executive’s entitlements under this Agreement.  If any provision contained in Sections 4 or 5 above is adjudged unreasonable by a court of competent jurisdiction or arbitrator in any proceeding, then such provision shall be deemed modified as provided in Sections 4 or 5 above or by reducing the scope of such provision, the period of time during which such provision is applicable and/or the geographic area to which such provision applies, to the extent necessary for such provision to be adjudged reasonable and enforceable.
11.NOTICES.  Any notices provided for or permitted by this Agreement shall be in writing and shall be deemed to have been duly given when delivered in person or three (3) days after it is mailed if delivered by registered or certified mail, return receipt requested, postage prepaid, addressed to the party for whom intended at such party’s address set forth above (for the Parent Company) or to the address listed in the Parent Company’s records (for Executive), or to such other address as such party may designate by notice in writing given in the manner provided herein.
12.SECTION HEADINGS.  The section heading in this Agreement are for convenience of reference only, and they form no part of this Agreement and shall not affect its interpretation.
13.ENTIRE AGREEMENT; AMENDMENTS; COUNTERPARTS.  This Agreement constitutes the entire agreement and understanding among Executive, the Parent Company and the Companies with respect to the subject matter 

hereof and shall supersede any and all other prior agreements and understandings, whether oral or written, relating thereto or the employment of Executive by the Parent Company and the Companies.  This Agreement may not be rescinded, modified, or amended, unless an amendment is agreed to in a writing signed by Executive and by an officer of the Parent Company specifically authorized by the Board (other than Executive), and any waiver shall be set forth in writing and signed by the party to be charged.  This Agreement may be executed in any number of counterparts, including by facsimile, each of which shall be an original, but all of which together shall constitute one and the same instrument.
14.PARTIAL INVALIDITY.  The invalidity or unenforceability, by statute, court decision, or otherwise, of any term or condition of this Agreement shall not affect the validity or enforceability of any other term or condition hereof.
15.GOVERNING LAW.  This Agreement shall be construed and administered in accordance with the laws of North Carolina, without regard to the principles of conflicts of law which might otherwise apply.
16.ASSIGNABILITY. This Agreement may not be assigned by Executive, and any purported assignment by Executive shall be null and void.  All of the terms and conditions of this Agreement shall be binding upon and inure to the benefit of the Parent Company and its successors (including without limitation any successor to the Parent Company’s business as the result of a merger or consolidation of the Parent Company, whether or not the Parent Company survives such merger or consolidation) and assigns.  Successors to the Company shall include, without limitation, any corporation or corporations acquiring, directly or indirectly, all or substantially all of the assets of the Parent Company whether by merger, consolidation, purchase, or otherwise and such successor shall thereafter be deemed the “Parent Company” for purposes hereof. .
17.DISPUTE RESOLUTION.
(a)Arbitration. In the event of disputes between the parties with respect to the terms and conditions of this Agreement, such disputes shall be resolved by and through an arbitration proceeding to be conducted under the auspices of the American Arbitration Association (or any like organization successor thereto) in Raleigh, North Carolina; provided, however, that either party may seek temporary or preliminary injunctive relief with respect to appropriate matters (including, without limitation, enforcement of Sections 4 and 5 above) from a court in aid of arbitration.  Such arbitration proceeding shall be conducted pursuant to the commercial arbitration rules (formal or informal) of the American Arbitration Association in as expedited a manner as is then permitted by such rules (the “Arbitration”).  Both the foregoing agreement of the parties to arbitrate any and all such claims, and the results, determination, finding, judgment, and/or award rendered through such Arbitration, shall be final and binding on the parties to this Agreement and may be specifically enforced by legal proceedings.  
(b)Procedure.  Such Arbitration may be initiated by written notice from either the Parent Company or Executive to the other which shall be a compulsory and binding proceeding on each party.  The Arbitration shall be conducted by an arbitrator selected in accordance with the procedures of the American Arbitration Association.  Time is of the essence of this arbitration procedure, and the arbitrator shall be instructed and required to render his or her decision within thirty (30) days following completion of the Arbitration.
(c)Venue and Jurisdiction.  Any action to compel arbitration hereunder or otherwise relating to this Agreement shall be brought exclusively in either a state court or federal court located in Raleigh, North Carolina, provided that, with respect to an action brought in North Carolina, if a federal court has jurisdiction over the subject matter thereof, then such action shall be brought in federal court, and the Parent Company, the Companies and Executive hereby irrevocably submit with regard to any such action or proceeding for itself and in respect to its property, generally and unconditionally, to the jurisdiction of the aforesaid courts.
(d)Waiver of Jury Trial.  IN THE EVENT OF ANY LITIGATION WITH RESPECT TO ANY MATTER CONNECTED WITH THIS AGREEMENT OR THE AGREEMENTS OR TRANSACTIONS CONTEMPLATED HEREUNDER ALL OF THE PARTIES HERETO WAIVE ALL RIGHTS TO A TRIAL BY JURY.
    

Kindly indicate your acceptance of this Agreement by signing and returning a copy of this letter to me.  
Very truly yours,
James River Group, Inc.

By: /s/ Robert P. Myron________________
Name: Robert P. Myron        
Title:     Chief Executive Officer

ACCEPTED AND AGREED TO THIS 13 DAY OF APRIL, 2018
Stonewood Insurance Company 

By: /s/ Sarah Doran____________________
Name: Sarah Doran    
Title:     Chairman

Falls Lake Insurance Management Company, Inc.

By: /s/ Sarah Doran_____________________
Name: Sarah Doran    
Title:    Chairman

Falls Lake National Insurance Company

By: /s/ Sarah Doran_____________________
Name: Sarah Doran    
Title:     Chairman

Falls Lake General Insurance Company

By: /s/ Sarah Doran______________________
Name: Sarah Doran    
Title:    Chairman

Falls Lake Fire and Casualty Company 

By: /s/ Sarah Doran_______________________
Name: Sarah Doran    
Title:    Chairman

/s/ Steven J. Hartman  4/9/2018____________
Steven HartmanExhibit 10.1

 

MASTER CREDIT FACILITY AGREEMENT

 

BY AND BETWEEN

 

BORROWERS SIGNATORY HERETO

 

AND

 

WALKER & DUNLOP, LLC

 

DATED AS OF

 

April 30, 2018

 

 

     

     

    

 

TABLE OF CONTENTS

 

	ARTICLE 1 DEFINITIONS; SUMMARY OF TERMS	2
	 	 	 	 
	Section 1.01	Defined Terms	2
	Section 1.02	Schedules,
Exhibits, and Attachments Incorporated	2
	 	 	 	 
	ARTICLE 2 ADVANCES; COLLATERAL EVENTS	3
	 	 	 	 
	Section 2.01	Variable
Advance and Fixed Advance	3
	(a)	Variable Advance	3
	(b)	Fixed Advance	3
	Section 2.02	Advances	3
	(a)	Request	3
	(b)	Limitations on Executions	3
	(c)	Making Advances	4
	Section 2.03	Advance Terms and Payments on Advances	5
	(a)	Debt Service Payments	5
	(b)	Capitalization of Accrued but Unpaid Interest	8
	(c)	Late Charges	8
	(d)	Default Rate	9
	(e)	Address for Payments	10
	(f)	Application of Payments	10
	Section 2.04	Prepayment; Prepayment Lockout; Prepayment Premium	10
	Section 2.05	Acceleration of Advances	11
	Section 2.06	Application of Collateral	12
	Section 2.07	Casualty and Condemnation	12
	Section 2.08	No Effect on Payment Obligations	12
	Section 2.09	Loss Resulting from Prepayment	12
	Section 2.10	Collateral Events	13
	(a)	Conversion from Variable Note to Fixed Note	13
	(b)	Right to Obtain Releases of Mortgaged Property	13
	(c)	Right to Add Additional Mortgaged Properties as Collateral	13
	(d)	Right to Substitutions	13
	(e)	Limitation on Collateral Events	13
	(f)	[Intentionally Deleted.]	13
	Section 2.11	Termination of Master Agreement	13
	(a)	Request	14
	(b)	Conditions Precedent	14
	(c)	Closing	14
	 	 	 	 
	ARTICLE 3 PERSONAL LIABILITY	14
	 	 	 	 
	Section 3.01	Non-Recourse Liability; Exceptions	14
	Section 3.02	Personal Liability of Borrower	15
	(a)	Personal Liability Based on Lender’s Loss (Partial Recourse)	15
	(b)	Full Personal Liability (Full Recourse)	16

 

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	Section 3.03	Personal Liability for Indemnity Obligations	17
	Section 3.04	Lender’s Right to Forego Rights Against Mortgaged Property	17
	Section 3.05	Borrower Agency Provisions	18
	Section 3.06	Joint and Several Obligation; Cross-Guaranty	18
	Section 3.07	Waivers With Respect to Other Borrower Secured Obligation	19
	Section 3.08	No Impairment	23
	Section 3.09	Election of Remedies	23
	Section 3.10	Subordination of Other Obligations	24
	Section 3.11	Insolvency and Liability of Other Borrower	25
	Section 3.12	Preferences, Fraudulent Conveyances, Etc.	25
	Section 3.13	Maximum Liability of Each Borrower	26
	Section 3.14	Liability Cumulative	26
	 	 	 	 
	ARTICLE 4 BORROWER STATUS	26
	 	 	 	 
	Section 4.01	Representations and Warranties	26
	(a)	Due Organization and Qualification; Organizational Agreements	27
	(b)	Location	27
	(c)	Power and Authority	27
	(d)	Due Authorization	27
	(e)	Valid and Binding Obligations	28
	(f)	Effect of Master Agreement on Financial Condition	28
	(g)	Economic Sanctions, Anti-Money Laundering, and Anti-Corruption	28
	(h)	Single Purpose Status	29
	(i)	No Bankruptcies or Judgments	31
	(j)	No Actions or Litigation	31
	(k)	Payment of Taxes, Assessments, and Other Charges	32
	(l)	Not a Foreign Person	32
	(m)	ERISA	32
	(n)	Default Under Other Obligations	33
	(o)	Prohibited Person	33
	(p)	No Contravention; No Liens	33
	(q)	Lockbox Arrangement	34
	(r)	No Reliance	34
	(s)	Investment Company Act	34
	Section 4.02	Covenants	34
	(a)	Maintenance of Existence; Organizational Documents	34
	(b)	Economic Sanctions, Anti-Money Laundering, and Anti-Corruption	35
	(c)	Payment of Taxes, Assessments, and Other Charges	36
	(d)	Single Purpose Status	36
	(e)	ERISA	38
	(f)	Notice of Litigation or Insolvency	39
	(g)	Payment of Costs, Fees, and Expenses	39
	(h)	Restrictions on Distributions	39
	(i)	Lockbox Arrangement	40
	(j)	Confidentiality of Certain Information	40
	(k)	[Intentionally Deleted]	40

 

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	ARTICLE 5 THE ADVANCES	40
	 	 	 	 
	Section 5.01	Representations and Warranties	40
	(a)	Receipt and Review of Loan Documents	40
	(b)	No Default	41
	(c)	No Defenses	41
	(d)	Loan Document Taxes	41
	Section 5.02	Covenants	41
	(a)	Ratification of Covenants; Estoppels; Certifications	41
	(b)	Further Assurances	42
	(c)	Sale of Advances	43
	(d)	Limitations on Further Acts of Borrower	43
	(e)	Financing Statements; Record Searches	44
	(f)	Loan Document Taxes	44
	(g)	Date-Down Endorsements	44
	Section 5.03	Administrative Matters Regarding Advances	44
	(a)	Determination of Allocable Facility Amount and Valuations	44
	 	 	 	 
	ARTICLE 6 PROPERTY USE, PRESERVATION, AND MAINTENANCE	45
	 	 	 	 
	Section 6.01	Representations and Warranties	45
	(a)	Compliance with Law; Permits and Licenses	45
	(b)	Property Characteristics	46
	(c)	Property Ownership	46
	(d)	Condition of the Mortgaged Property	46
	(e)	Personal Property	47
	Section 6.02	Covenants	47
	(a)	Use of Property	47
	(b)	Property Maintenance	47
	(c)	Property Preservation	49
	(d)	Property Inspections	50
	(e)	Compliance with Laws	50
	(f)	Alterations to any Mortgaged Property	51
	Section 6.03	Administration Matters Regarding the Property	52
	(a)	Property Management	52
	(b)	Subordination of Fees to Affiliated Property Managers	52
	(c)	Property Condition Assessment	52
	 	 	 	 
	ARTICLE 7 LEASES AND RENTS	53
	 	 	 	 
	Section 7.01	Representations and Warranties	53
	(a)	Prior Assignment of Rents	53
	(b)	Prepaid Rents	53
	Section 7.02	Covenants	53
	(a)	Leases	53
	(b)	Commercial Leases	54
	(c)	Payment of Rents	55
	(d)	Assignment of Rents	55
	(e)	Further Assignments of Leases and Rents	55
	(f)	Options to Purchase by Tenants	55
	Section 7.03	Administration Regarding Leases and Rents	56
	(a)	Material Commercial Lease Requirements	56

 

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	(b)	Residential Lease Form	56
	 	 	 	 
	ARTICLE 8 BOOKS AND RECORDS; FINANCIAL REPORTING	56
	 	 	 	 
	Section 8.01	Representations and Warranties	56
	(a)	Financial Information	56
	(b)	No Change in Facts or Circumstances	57
	Section 8.02	Covenants.	57
	(a)	Obligation to Maintain Accurate Books and Records; Access; Discussions with Officers and Accountants	57
	(b)	Items to Furnish to Lender	58
	(c)	Audited Financials	61
	(d)	Delivery of Books and Records	61
	Section 8.03	Administration Matters Regarding Books and Records and Financial Reporting	61
	(a)	Lender’s Right to Obtain Audited Books and Records	61
	(b)	Credit Reports; Credit Score	62
	 	 	 	 
	ARTICLE 9 INSURANCE	62
	 	 	 	 
	Section 9.01	Representations and Warranties	62
	(a)	Compliance with Insurance Requirements	62
	(b)	Property Condition	62
	Section 9.02	Covenants	63
	(a)	Insurance Requirements	63
	(b)	Delivery of Policies, Renewals, Notices, and Proceeds	63
	Section 9.03	Administration Matters Regarding Insurance	64
	(a)	Lender’s Ongoing Insurance Requirements	64
	(b)	Application of Proceeds on Event of Loss	65
	(c)	Payment Obligations Unaffected	67
	(d)	Foreclosure Sale	67
	(e)	Appointment of Lender as Attorney-In-Fact	67
	 	 	 	 
	ARTICLE 10 CONDEMNATION	67
	 	 	 	 
	Section 10.01	Representations and Warranties	67
	(a)	Prior Condemnation Action	67
	(b)	Pending Condemnation Actions	68
	Section 10.02	Covenants	68
	(a)	Notice of Condemnation	68
	(b)	Condemnation Proceeds	68
	Section 10.03	Administration Matters Regarding Condemnation	68
	(a)	Application of Condemnation Awards	68
	(b)	Payment Obligations Unaffected	68
	(c)	Appointment of Lender as Attorney-In-Fact	69
	(d)	Preservation of Mortgaged Property	69
	 	 	 	 
	ARTICLE 11 LIENS, TRANSFERS, AND ASSUMPTIONS	69
	 	 	 	 
	Section 11.01	Representations and Warranties	69
	(a)	No Labor or Materialmen’s Claims	69
	(b)	No Other Interests	70

 

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	Section 11.02	Covenants	70
	(a)	Liens; Encumbrances	70
	(b)	Transfers	70
	(c)	No Other Indebtedness	73
	(d)	No Mezzanine Financing or Preferred Equity	74
	Section 11.03	Administration Matters Regarding Liens, Transfers, and Assumptions	74
	(a)	Transfer of Collateral Pool	74
	(b)	Permitted Transfers of Ownership Interests	76
	(c)	Estate Planning	77
	(d)	Termination or Revocation of Trust	77
	(e)	Death of Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death	78
	(f)	[Intentionally Deleted.]	79
	(g)	Further Conditions on Transfers Requiring Lender’s Consent	79
	(h)	Additional Florida Mortgaged Property	80
	(i)	Additional Permitted Transfers	81
	 	 	 	 
	ARTICLE 12 IMPOSITIONS	81
	 	 	 	 
	Section 12.01	Representations and Warranties	81
	(a)	Payment of Taxes, Assessments, and Other Charges	81
	Section 12.02	Covenants	82
	(a)	Imposition Deposits, Taxes, and Other Charges	82
	Section 12.03	Administration Matters Regarding Impositions	83
	(a)	Maintenance of Records by Lender	83
	(b)	Imposition Accounts	83
	(c)	Payment of Impositions; Sufficiency of Imposition Deposits	83
	(d)	Imposition Deposits Upon Event of Default	84
	(e)	Contesting Impositions	84
	(f)	Release to Borrower	84
	 	 	 	 
	ARTICLE 13 REPLACEMENT RESERVE AND REPAIRS	84
	 	 	 	 
	Section 13.01	Covenants	84
	(a)	Initial Deposits to Replacement Reserve Account and Repairs Escrow Account	84
	(b)	Monthly Replacement Reserve Deposits	85
	(c)	Payment for Replacements and Repairs	85
	(d)	Assignment of Contracts for Replacements and Repairs	85
	(e)	Indemnification	85
	(f)	Amendments to Loan Documents	86
	(g)	Administrative Fees and Expenses	86
	Section 13.02	Administration Matters Regarding Reserves	86
	(a)	Accounts, Deposits, and Disbursements	86
	(b)	Approvals of Contracts; Assignment of Claims	93
	(c)	Delays and Workmanship	94
	(d)	Appointment of Lender as Attorney-In-Fact	94
	(e)	No Lender Obligation	94
	(f)	No Lender Warranty	95

 

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	ARTICLE 14 DEFAULTS/REMEDIES	95
	 	 	 	 
	Section 14.01	Events of Default	95
	(a)	Automatic Events of Default	95
	(b)	Events of Default Subject to a Specified Cure Period	96
	(c)	Events of Default Subject to Extended Cure Period or Release	97
	Section 14.02	Remedies	98
	(a)	Acceleration; Foreclosure	98
	(b)	Loss of Right to Disbursements from Collateral Accounts	98
	(c)	Remedies Cumulative	99
	Section 14.03	Additional Lender Rights; Forbearance	99
	(a)	No Effect Upon Obligations	99
	(b)	No Waiver of Rights or Remedies	100
	(c)	Appointment of Lender as Attorney-In-Fact	100
	(d)	Borrower Waivers	102
	Section 14.04	Waiver of Marshaling	102
	Section 14.05	Severed Loan Documents	103
	 	 	 	 
	ARTICLE 15 MISCELLANEOUS	104
	 	 	 	 
	Section 15.01	Choice of Law; Consent to Jurisdiction	104
	Section 15.02	Waiver of Jury Trial	105
	Section 15.03	Notice	105
	(a)	Process of Serving Notice	105
	(b)	Change of Address	106
	(c)	Default Method of Notice	106
	(d)	Receipt of Notices	106
	Section 15.04	Successors and Assigns Bound; Sale of Advances	106
	(a)	Binding Agreement	106
	(b)	Sale of Advances; Change of Servicer	106
	Section 15.05	Counterparts	106
	Section 15.06	Intentionally Deleted	107
	Section 15.07	Relationship of Parties; No Third Party Beneficiary	107
	(a)	Solely Creditor and Debtor	107
	(b)	No Third Party Beneficiaries	107
	Section 15.08	Severability; Entire Agreement; Amendments	107
	Section 15.09	Construction	107
	Section 15.10	Loan Servicing	108
	Section 15.11	Disclosure of Information	108
	Section 15.12	Waiver; Conflict	109
	Section 15.13	[Intentionally Deleted.]	109
	Section 15.14	No Reliance	109
	Section 15.15	Subrogation	109
	Section 15.16	Counting of Days	109
	Section 15.17	Revival and Reinstatement of Indebtedness	110
	Section 15.18	Time is of the Essence	110
	Section 15.19	Final Agreement	110
	Section 15.20	Survival	110
	Section 15.21	Assignments; Third-Party Rights	111
	Section 15.22	Interpretation	111

 

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SCHEDULES & EXHIBITS

 

Schedules

 

	Schedule 1	Definitions Schedule – General	 
	Schedule 2	Summary of Master Terms	 
	Schedule 3.1	Schedule of Advance Terms	 
	Schedule 4.1	Prepayment Premium Schedule	
        Form 6104.01.MCFA [08-13]

	Schedule 5	Required Replacement Schedule	 
	Schedule 6	Required Repair Schedule	 
	Schedule 7	General Conditions Schedule	 
	Schedule 8	Property-Related Documents Schedule	 
	Schedule 9	Conversion Schedule	 
	Schedule 10	Mortgaged Property Release Schedule	 
	Schedule 11	Mortgaged Property addition Schedule	 
	Schedule 12	[Intentionally Deleted.]	 
	Schedule 13	Ownership Interests Schedule	 
	Schedule 14	Future Advance Schedule	 
	Schedule 15	Letter of Credit Schedule	 
	Schedule 16	Exceptions to Representations and Warranties Schedule	 
	Schedule 17	SPE Requirements Schedule	 
	Schedule 18	Waiver of Imposition Deposits	Form 6228 [modified] [04-12]

 

Exhibits

 

	Exhibit A	Schedule of Initial Mortgaged Properties and Initial Valuations	 
	Exhibit B	Conversion Request	 
	Exhibit C	Release Request	 
	Exhibit D	Addition Request	 
	Exhibit E	Future Advance Request	 
	Exhibit F	Termination Request	 
	Exhibit G	Annual Certification (Borrower)	 
	Exhibit H	Annual Certification (Guarantor)	 
	Exhibit I	Confirmation of Guaranty	 
	Exhibit J	Confirmation of Environmental Indemnity Agreement	 
	Exhibit K-1	Organizational Certificate (Borrower)	 
	Exhibit K-2	Organizational Certificate (Guarantor)	 
	Exhibit L	Confirmation of Obligations	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page vii
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MASTER
CREDIT FACILITY AGREEMENT

 

This MASTER CREDIT
FACILITY AGREEMENT (as amended, restated, replaced, supplemented, or otherwise modified from time to time, and further defined
in the Definitions Schedule, the “Master Agreement”) is made as of April 30, 2018, by and among (i) (a)
BR METROWEST, LLC, (b) BRG FNMA SHELF 1, LLC, (c) BRG FNMA SHELF 2, LLC, (d) BRG FNMA SHELF 3, LLC,
(e) BRG FNMA SHELF 4, LLC, (f) BRG FNMA SHELF 5, LLC, (g) BRG FNMA SHELF 6, LLC, (h) BRG FNMA SHELF 7,
LLC, (i) BRG FNMA SHELF 8, LLC, (j) BRG FNMA SHELF 9, LLC, and (k) BRG FNMA SHELF 10, LLC, each a Delaware
limited liability company (individually and collectively, “Borrower”), and (ii) WALKER & DUNLOP,
LLC, a Delaware limited liability company, (“Lender”).

 

RECITALS:

 

A.          Borrower
owns one (1) or more Multifamily Residential Properties as more particularly described in Exhibit A to this Master
Agreement.

 

B.           Borrower
has requested that Lender make a loan in favor of Borrower, comprised of a $0 Variable Advance, and a $64,559,000 Fixed Advance.
Future Advances may be made by Lender to Borrower in accordance with the terms of this Master Agreement.

 

C.           To
secure the obligations of Borrower under this Master Agreement and the other Loan Documents, Borrower shall create a Collateral
Pool in favor of Lender. The Collateral Pool shall be comprised of (i) the Multifamily Residential Properties listed on Exhibit A
and (ii) any other collateral pledged to Lender from time to time by Borrower pursuant to this Master Agreement or any other
Loan Documents.

 

D.           Each
Note and Security Document shall be cross-defaulted (i.e., a default under any Note, Security Document or this Master Agreement
shall constitute a default under each other Note and Security Document and under this Master Agreement) and cross-collateralized
(i.e., each Security Instrument shall secure all of Borrower’s obligations under each Note, this Master Agreement,
and the other Loan Documents). It is the intent of the parties to this Master Agreement that, after an Event of Default, Lender
may accelerate any Note without the obligation but with the right to accelerate any other Note and that in the exercise of its
rights and remedies under the Loan Documents, Lender may exercise and perfect any and all of its rights and remedies in and under
the Loan Documents with regard to any Mortgaged Property without the obligation but with the right to exercise and perfect its
rights and remedies with respect to any other Mortgaged Property. Any such exercise shall be without regard to the Allocable Facility
Amount assigned to such Mortgaged Property. Lender may recover an amount equal to the full amount Outstanding in respect of any
of the Notes in connection with such exercise and any such amount shall be applied to the Indebtedness as determined by Lender
pursuant to the terms of this Master Agreement, the Notes, and the other Loan Documents.

 

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E.           It
is the intent of the parties that, notwithstanding anything to the contrary herein or the existence of any cash management system
maintained by Borrower, and/or Guarantor or Borrower Affiliates or the provision by Guarantor of the Guaranty, Lender is making
Advances to Borrower (not to Guarantor or Borrower Affiliates). Lender has underwritten the making of the Advances based on its
analysis of the value of the Collateral. In making the Advances, Lender is relying on each Borrower being and maintaining itself
as a Single Purpose entity whose sole asset is its Mortgaged Property and ancillary property related thereto. Lender acknowledges
that it views its credit risk as the performance and value of the Mortgaged Properties and it views the Guaranty as independent
supplemental support in the event that one of the exceptions to the non-recourse events occurs.

 

F.           Subject
to the terms, conditions, and limitations of this Master Agreement, Lender has agreed to make the Advances.

 

G.           It
is anticipated that Lender shall assign each Advance made hereunder to Fannie Mae; however Fannie Mae shall not assume (i) any
of the obligations of Lender, if any, under this Master Agreement to make Future Advances, or (ii) any of the obligations
of Lender which are servicing obligations delegated to Lender as servicer of the Advances.

 

NOW, THEREFORE, in
consideration of Borrower and Lender entering into this Master Agreement and other good and valuable consideration, the receipt
and adequacy of which are hereby conclusively acknowledged, the parties hereby covenant, agree, represent, and warrant as follows:

 

AGREEMENTS:

 

ARTICLE
1

DEFINITIONS; SUMMARY OF TERMS

 

Section 1.01           Defined
Terms.

 

Capitalized terms not
otherwise defined in the body of this Master Agreement shall have the meanings set forth in the Definitions Schedule attached to
this Master Agreement.

 

Section 1.02           Schedules,
Exhibits, and Attachments Incorporated.

 

The schedules, exhibits,
and any other addenda or attachments are incorporated fully into this Master Agreement by this reference and each constitutes a
substantive part of this Master Agreement.

 

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ARTICLE
2

ADVANCES; COLLATERAL EVENTS

 

Section 2.01           Variable
Advance and Fixed Advance.

 

Subject to the terms,
conditions, and limitations of this Master Agreement:

 

(a)          Variable
Advance.

 

Lender agrees to make
Variable Advances to Borrower in accordance with the terms and provisions of this Master Agreement. Future Advances may be made
pursuant to Section 2.02(c)(2) (Future Advances). Pursuant to the terms of Section 2.10(a) (Conversion from Variable Note to Fixed
Note), Borrower may convert a Variable Note to a Fixed Note.

 

(b)          Fixed
Advance.

 

Lender agrees to make
Fixed Advances to Borrower in accordance with the terms and provisions of this Master Agreement. Future Advances may be made pursuant
to Section 2.02(c)(2) (Future Advances).

 

Section 2.02           Advances.

 

(a)          Request.

 

Assuming Advances are
available to Borrower under this Master Agreement and this Section 2.02 (Advances), Borrower shall request a Future Advance by
giving Lender a Future Advance Request. The Future Advance Request shall indicate whether the Request is for a Fixed Advance or
Variable Advance or more than one type of Advance.

 

(b)          Limitations
on Executions.

 

Notwithstanding anything
in this Master Agreement or any other Loan Document to the contrary, any Future Advance (whether a Variable Advance or a Fixed
Advance) and any Conversion of an Advance shall be subject to the precondition that Lender must confirm with Fannie Mae that Fannie
Mae is generally offering to purchase in the marketplace advances of the execution type requested by Borrower at the time of the
Request and at the time the rate for such Advance is locked. In the event Fannie Mae is not purchasing advances of the type requested
by Borrower, Lender agrees to offer, to the extent available from Fannie Mae, alternative advance executions based on the types
of executions Fannie Mae is generally offering to purchase in the marketplace at that time. Any alternative execution offered would
be subject to mutually agreeable documentation necessary to implement the terms and conditions of such alternative execution.

 

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	Article 2	12-17
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(c)          Making
Advances.

 

(1)         Initial
Advances.

 

Assuming
conditions of Lender have been met prior to or as of the date of this Master Agreement, Lender shall make the Initial Advance(s)
to Borrower.

 

(2)         Future
Advances.

 

(A)         Subject
to Section 2.02(b) (Limitations on Executions) and satisfaction of the terms in the Future Advance Schedule, Borrower may request
a Future Advance. Lender is not committing in this Master Agreement to make a Future Advance and any Future Advance will be at
the option of Lender except for a Borrow Up provided in the proviso of Section 2.02(c)(2)(B) (Future Advances) below, subject to
the requirements of such proviso and this Master Agreement. Once made, any Future Advance shall be subject to this Master Agreement
in all respects and shall be secured by the Security Instruments encumbering the Mortgaged Properties.

 

(B)         Any
Future Advance shall be made in connection with the Addition of Additional Mortgaged Properties; provided, however, Borrower may
request that one or more Future Advances made pursuant to Section 2.02(c)(2)(A) (Future Advances) above be made without the Addition
of Additional Mortgaged Property (each a “Borrow Up”) based on compliance with the terms of the Future Advance
Schedule and the Underwriting and Servicing Requirements subject to the terms of this Section 2.02(c)(2) (Future Advances) and
Section 2.02(b) (Limitations on Executions). Such Borrow Up shall be made during the period beginning on the First Anniversary
and ending on the Fifth Anniversary, but not more than one (1) time per Facility Year and in no event more than two (2) times total
during the Term of this Master Agreement.

 

(C)         All
Future Advances must satisfy the terms of the Future Advance Schedule and any addition of Additional Mortgaged Property shall satisfy
the terms of the Mortgaged Property Addition Schedule.

 

(D)         [Intentionally
Deleted.]

 

(E)         [Intentionally
Deleted.]

 

(F)         Notwithstanding
anything to the contrary in this Master Agreement, no Future Advance or Conversion shall be permitted unless immediately after
such Future Advance or Conversion the Advances then Outstanding will not exceed one hundred percent (100%) of the aggregate
fair market value of all real property securing such Advances (where fair market value is determined for these purposes based upon
a current Appraisal or some other commercially reasonable valuation method).

 

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(3)         Closing
of Future Advance.

 

If the conditions
set forth in this Section 2.02 (Advances) and the Future Advance Schedule are satisfied (and, if applicable, all conditions set
forth on the Mortgaged Property Addition Schedule are satisfied), Lender shall make the requested Future Advance on an Effective
Date selected by Lender (or on such other date as Borrower and Lender may agree).

 

Section 2.03           Advance
Terms and Payments on Advances.

 

(a)          Debt
Service Payments.

 

(1)         Short
Month Interest.

 

If the date
the proceeds of an Advance are disbursed is any day other than the first day of the month, interest for the period beginning on
the disbursement date and ending on and including the last day of the month in which the disbursement occurs shall be payable by
Borrower on the date the Advance proceeds are disbursed. In the event that the disbursement date is not the same as the Effective
Date, then:

 

(A)         the
disbursement date and the Effective Date must be in the same month, and

 

(B)         the
Effective Date shall not be the first day of the month.

 

(2)         Interest
Accrual and Computation; Amortization; Interest Rate Cap.

 

(A)         Except
as provided in Section 2.03(a)(1) (Short Month Interest), interest shall be paid in arrears. Except as otherwise provided in this
Master Agreement, for Fixed Advances, interest shall accrue at the Interest Rate until fully paid; and for Variable Structured
ARM Advances, interest shall accrue at the Adjustable Rate until fully paid. If the Interest Accrual Method is “Actual/360,”
Borrower acknowledges and agrees that the amount allocated to interest for each month will vary depending on the actual number
of calendar days during such month.

 

(B)         With
respect to any Variable Structured ARM Advances, the following provisions shall apply:

 

(i)          The
Initial Adjustable Rate shall be effective until the first Rate Change Date. Thereafter, the Adjustable Rate shall change on each
Rate Change Date based on fluctuations in the Current Index.

 

(ii)         Each
amortizing Monthly Debt Service Payment shall include a principal payment equal to the Fixed Monthly Principal Component.

 

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(iii)        Before
each Payment Change Date, Lender shall notify Borrower of any change in the Adjustable Rate and
the amount of the next Monthly Debt Service Payment.

 

(iv)        If
Lender determines at any time that it has miscalculated the amount of a Monthly Debt Service Payment (whether because of a miscalculation
of the Adjustable Rate or otherwise), then Lender shall give notice to Borrower of the corrected amount of the Monthly Debt Service
Payment (and the corrected Adjustable Rate, if applicable) and (1) if the corrected amount of the Monthly Debt Service Payment
represents an increase, then Borrower shall, within thirty (30) calendar days thereafter, pay to Lender any sums that Borrower
would have otherwise been obligated to pay to Lender had the amount of the Monthly Debt Service Payment not been miscalculated,
or (2) if the corrected amount of the Monthly Debt Service Payment represents a decrease and Borrower is not otherwise in default
under any of the Loan Documents, then Borrower shall thereafter be paid the sums that Borrower would not have otherwise been obligated
to pay to Lender had the amount of the Monthly Debt Service Payment not been miscalculated.

 

(v)         [Intentionally
Deleted]

 

(vi)        If
required by Lender, to protect against fluctuations in interest rates during the Term of this Master Agreement, Borrower shall
enter into the Cap Security Agreement. Pursuant to the terms of the Cap Security Agreement, Borrower shall make arrangements for
a LIBOR-based interest rate cap in form and substance satisfactory to Lender with a counterparty satisfactory to Lender (“Interest
Rate Cap”) to be in place and maintained at all times with respect to any Variable Advance which has been funded and
remains Outstanding. The seller of the Interest Rate Cap (seller and its transferees and assigns, the “Counterparty”)
shall be a financial institution meeting the minimum requirements for hedge counterparties acceptable to Lender. The Interest Rate
Cap shall have a minimum initial term of four (4) years. Borrower shall be required to make Monthly Deposits (as defined in
the Cap Security Agreement) to be held in an Interest Rate Cap Reserve Escrow Account (as defined in the Cap Security Agreement)
pursuant to the terms set forth in the Cap Security Agreement. As set forth in the Cap Security Agreement, Borrower agrees to pledge
its right, title, and interest in the Interest Rate Cap to Lender as additional collateral for the Indebtedness.

 

(C)         The
amortization and payment of interest (and principal, if applicable) for each Advance shall be determined at the Effective Date
of each Advance.

 

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(3)         Monthly
Debt Service Payments.

 

Consecutive
monthly debt service installments (comprised of either interest only or principal and interest, depending on the Amortization Type),
each in the amount of the applicable Monthly Debt Service Payment for an Advance, shall be due and payable on the First Payment
Date, and on each Payment Date thereafter until the Maturity Date of such Advance, at which time all Indebtedness relating to such
Advance shall be due. Any regularly scheduled Monthly Debt Service Payment that is received by Lender before the applicable Payment
Date shall be deemed to have been received on such Payment Date solely for the purpose of calculating interest due. All payments
made by Borrower under this Master Agreement shall be made without set-off, counterclaim, or other defense.

 

(4)         Payment
at Maturity.

 

(A)         The
unpaid principal balance of an Advance, any Accrued Interest thereon, and all other Indebtedness relating to such Advance shall
be due and payable on the applicable Maturity Date for such Advance.

 

(B)         Except
in connection with a complete repayment of all Advance(s), if Borrower pays any Advances at maturity of such Advance and requests
a Release of any Mortgaged Property, such Release shall be subject to the payment of the Release Price and satisfaction of the
release tests in the Mortgaged Property Release Schedule.

 

(5)         Maturity
Dates.

 

(A)         The
Maturity Date of each Variable Advance shall be specified by Borrower for such Variable Advance, provided that such Maturity Date
shall be no earlier than the date that is the first day of the month following the date five (5) years after the Effective
Date of such Variable Advance and no later than the date that is the first day of the month following the date ten (10) years
after the Effective Date of such Variable Advance provided no Maturity Date shall exceed the date that is the first day of the
month following the date fifteen (15) years after the Initial Effective Date.

 

(B)         The
Maturity Date of each Fixed Advance shall be specified by Borrower for such Fixed Advance, provided that such Maturity Date shall
be no earlier than the date that is the first day of the month following the date five (5) years after the Effective Date
for such Fixed Advance and no later than the date that is the first day of the month following the date fifteen (15) years
after the Effective Date of such Fixed Advance provided no Maturity Date shall exceed the date that is the first day of the month
following the date fifteen (15) years after the Initial Effective Date.

 

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(6)         Interest
Rate Type; Notes.

 

(A)         The
obligation of Borrower to repay each Variable Advance shall be evidenced by one or more separate Variable Notes. Each Variable
Note shall be payable to the order of Lender and shall be made in the original principal amount of such Variable Advance.

 

(B)         The
obligation of Borrower to repay each Fixed Advance shall be evidenced by one or more separate Fixed Notes. The Fixed Note shall
be payable to the order of Lender and shall be made in the original principal amount of such Fixed Advance.

 

(b)          Capitalization
of Accrued but Unpaid Interest.

 

Any accrued and unpaid
interest on an Advance remaining past due for thirty (30) days or more may, at Lender’s election, be added to and become
part of the unpaid principal balance of such Advance.

 

(c)          Late
Charges.

 

(1)         If
any Monthly Debt Service Payment due hereunder is not received by Lender within ten (10) days after the applicable Payment
Date, or any amount payable under this Master Agreement (other than the payment due on the applicable Maturity Date for repayment
of an Advance in full) or any other Loan Document is not received by Lender within ten (10) days after the date such amount
is due, inclusive of the date on which such amount is due, Borrower shall pay to Lender, immediately without demand by Lender,
the Late Charge.

 

(2)         The
Late Charge is payable in addition to, and not in lieu of, any interest payable at the Default Rate pursuant to Section 2.03(d)
(Default Rate).

 

(3)         Borrower
acknowledges and agrees that:

 

(A)         its
failure to make timely payments will cause Lender to incur additional expenses in servicing and processing the Advances;

 

(B)         it
is extremely difficult and impractical to determine those additional expenses;

 

(C)         Lender
is entitled to be compensated for such additional expenses; and

 

(D)         the
Late Charge represents a fair and reasonable estimate, taking into account all circumstances existing on the date hereof, of the
additional expenses Lender will incur by reason of any such late payment.

 

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(d)          Default
Rate.

 

(1)         Default
interest shall be paid as follows:

 

(A)         If
any amount due in respect of an Advance (other than amounts due on the Maturity Date) remains past due for thirty (30) days
or more, interest on such unpaid amount(s) shall accrue from the date payment is due at the Default Rate and shall be payable upon
demand by Lender.

 

(B)         If
any Indebtedness due is not paid in full on the applicable Maturity Date, then interest shall accrue at the Default Rate on all
such unpaid amounts from such Maturity Date until fully paid and shall be payable upon demand by Lender.

 

Absent a
demand by Lender, any such amounts shall be payable by Borrower in the same manner as provided for the payment of Monthly Debt
Service Payments. To the extent permitted by Applicable Law, interest shall also accrue at the Default Rate on any judgment obtained
by Lender against Borrower in connection with the Advances. To the extent Borrower or any other Person is vested with a right of
redemption, interest shall continue to accrue at the Default Rate during any redemption period until such time as the Mortgaged
Property has been redeemed.

 

(2)         Borrower
acknowledges and agrees that:

 

(A)         its
failure to make timely payments will cause Lender to incur additional expenses in servicing and processing the Advances; and

 

(B)         in
connection with any failure to timely pay all amounts due in respect of an Advance on the applicable Maturity Date, or during the
time that any amount due in respect of an Advance is delinquent for more than thirty (30) days:

 

(i)          Lender’s
risk of nonpayment of the Advance will be materially increased;

 

(ii)         Lender’s
ability to meet its other obligations and to take advantage of other investment opportunities will be adversely impacted;

 

(iii)        Lender
will incur additional costs and expenses arising from its loss of the use of the amounts due;

 

(iv)        it
is extremely difficult and impractical to determine such additional costs and expenses;

 

(v)         Lender
is entitled to be compensated for such additional risks, costs, and expenses; and

 

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(vi)        the
increase from the Interest Rate to the Default Rate represents a fair and reasonable estimate of the additional risks, costs, and
expenses Lender will incur by reason of Borrower’s delinquent payment and the additional compensation Lender is entitled
to receive for the increased risks of nonpayment associated with a delinquency on the Advance (taking into account all circumstances
existing on the applicable Effective Date).

 

(e)          Address
for Payments.

 

All payments due pursuant
to the Loan Documents shall be payable at Lender’s Payment Address, or such other place and in such manner as may be designated
from time to time by written notice to Borrower by Lender.

 

(f)          Application
of Payments.

 

Subject to the terms
of Section (d) (Application of Release Price) of the Mortgaged Property Release Schedule, if at any time Lender receives, from
Borrower or otherwise, any payment in respect of the Indebtedness that is less than all amounts due and payable at such time, then
Lender may apply such payment to amounts then due and payable in any manner and in any order determined by Lender or hold in suspense
and not apply such amount at Lender’s election. Neither Lender’s acceptance of a payment that is less than all amounts
then due and payable, nor Lender’s application of, or suspension of the application of, such payment, shall constitute or
be deemed to constitute either a waiver of the unpaid amounts or an accord and satisfaction. Notwithstanding the application of
any such amount to the Indebtedness, Borrower’s obligations under this Master Agreement and the other Loan Documents shall
remain unchanged.

 

Section 2.04           Prepayment;
Prepayment Lockout; Prepayment Premium.

 

(a)          Subject
to the terms and conditions of the applicable Prepayment Premium Schedule and the requirements relating to application of the Release
Price set forth in the Mortgaged Property Release Schedule, Notes are prepayable in whole or in part, provided that Borrower shall
not make a voluntary full or partial prepayment of a Note during any Prepayment Lockout Period, if any. Except as expressly provided
in this Master Agreement (including as provided in the Prepayment Premium Schedule applicable to such Note), a Prepayment Premium
calculated in accordance with the Prepayment Premium Schedule applicable to such Note shall be payable in connection with any prepayment
of such Note.

 

(b)          If
a Prepayment Lockout Period applies to the applicable Note, and during such Prepayment Lockout Period Lender accelerates the unpaid
principal balance of the Note or otherwise applies collateral held by Lender to the repayment of any portion of the unpaid principal
balance of the Note, the Prepayment Premium shall be due and payable and equal to the amount obtained by multiplying the percentage
indicated (if at all) in the Prepayment Premium Schedule for such Note by the amount of principal being prepaid at the time of
such acceleration or application.

 

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(c)          In
connection with any such voluntary prepayment, Borrower acknowledges and agrees that interest shall always be calculated and paid
through the last day of the month in which the prepayment occurs (even if the Permitted Prepayment Date for such month is not the
last day of such month, or if Lender approves prepayment on an Intended Prepayment Date that is not a Permitted Prepayment Date).
Borrower further acknowledges that Lender is not required to accept a voluntary prepayment of a Note on any day other than a Permitted
Prepayment Date. However, if Lender does approve an Intended Prepayment Date that is not a Permitted Prepayment Date and accepts
a prepayment on such Intended Prepayment Date, such prepayment shall be deemed to be received on the immediately following Permitted
Prepayment Date. If Borrower fails to prepay the applicable Note (or such portion of the Note as is intended to be prepaid) on
the Intended Prepayment Date for any reason (including on any Intended Prepayment Date that is approved by Lender) and such failure
either continues for five (5) Business Days, or into the following month, Lender shall have the right to recalculate the payoff
amount. If Borrower prepays a Note either in the following month or more than five (5) Business Days after the Intended Prepayment
Date that was approved by Lender, Lender shall also have the right to recalculate the payoff amount based upon the amount of such
payment and the date such payment was received by Lender. Borrower shall immediately pay to Lender any additional amounts required
by any such recalculation.

 

(d)          After
receipt of a partial prepayment, Lender shall re-calculate the Monthly Debt Service Payment based upon the remaining unpaid principal
balance of the applicable Note for each subsequent monthly debt service installment due under such Note. For amortizing Advances,
the subsequent Monthly Debt Service Payments shall be calculated by amortizing the remaining unpaid principal balance of the applicable
Note over the Remaining Amortization Period utilizing the Fixed Rate and the Interest Accrual Method set forth in the applicable
Schedule of Advance Terms. Lender shall notify Borrower of the new required Monthly
Debt Service Payment following receipt of a partial prepayment and Borrower shall execute any amendment requested by Lender to
evidence such new required monthly installment(s).

 

Section 2.05           Acceleration
of Advances.

 

Upon acceleration of
any Advance, Borrower shall pay to Lender:

 

(a)          the
entire unpaid principal balance of such Advance;

 

(b)          all
Accrued Interest (calculated through the last day of the month in which the acceleration occurs);

 

(c)          the
Prepayment Premium; and

 

(d)          all
other Indebtedness.

 

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Section 2.06           Application
of Collateral.

 

Any application by
Lender of any collateral or other security to the repayment of all or any portion of the unpaid principal balance of the Advances
prior to the Maturity Date in accordance with the Loan Documents shall be deemed to be a prepayment by Borrower. Any such prepayment
shall require the payment to Lender by Borrower of the Prepayment Premium calculated on the amount being prepaid in accordance
with this Master Agreement and applied in accordance with Section (d) (Application of Release Price) of the Mortgaged Property
Release Schedule.

 

Section 2.07           Casualty
and Condemnation.

 

Notwithstanding any
provision of this Master Agreement to the contrary, no Prepayment Premium shall be payable with respect to any prepayment occurring
as a result of the application of any insurance proceeds or amounts received in connection with a Condemnation Action in accordance
with this Master Agreement.

 

Section 2.08           No
Effect on Payment Obligations.

 

Unless otherwise expressly
provided in this Master Agreement, any prepayment required by any Loan Document of less than the entire unpaid principal balance
of the Advance(s) shall not extend or postpone the due date of any subsequent Monthly Debt Service Payments, Monthly Replacement
Reserve Deposit, or other payment.

 

Section 2.09           Loss
Resulting from Prepayment.

 

In any circumstance
in which a Prepayment Premium is due under this Master Agreement, Borrower acknowledges that:

 

(a)          any
prepayment of the unpaid principal balance of any Advance, whether voluntary or involuntary, or following the occurrence of an
Event of Default by Borrower, will result in Lender’s incurring loss, including reinvestment loss, additional risk, expense,
and frustration or impairment of Lender’s ability to meet its commitments to third parties;

 

(b)          it
is extremely difficult and impractical to ascertain the extent of such losses, risks and damages;

 

(c)          the
formula for calculating the Prepayment Premium represents a reasonable estimate of the losses, risks, and damages Lender will incur
as a result of a prepayment; and

 

(d)          the
provisions regarding the Prepayment Premium contained in this Master Agreement are a material part of the consideration for this
Master Agreement, and that the terms of this Master Agreement are in other respects more favorable to Borrower as a result of Borrower’s
voluntary agreement to such prepayment provisions.

 

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Section 2.10           Collateral
Events

 

(a)          Conversion
from Variable Note to Fixed Note.

 

Subject to and in accordance
with the terms and conditions of the Conversion Schedule, Borrower shall have the right, from time to time during the Conversion
Availability Period, to convert all or any portion of a Variable Note to a Fixed Note.

 

(b)          Right
to Obtain Releases of Mortgaged Property.

 

Subject to and in accordance
with the terms and conditions of the Mortgaged Property Release Schedule, Borrower shall have the right from time to time to obtain
a release of one or more Mortgaged Properties (a “Release”) from the Collateral Pool.

 

(c)          Right
to Add Additional Mortgaged Properties as Collateral.

 

Subject to and in accordance
with the terms and conditions of the Mortgaged Property Addition Schedule, Borrower shall have the right, from time to time to
add one or more Additional Mortgaged Properties (an “Addition”) to the Collateral Pool.

 

(d)          Right
to Substitutions.

 

Subject to and in accordance
with the terms and conditions of the Mortgaged Property Release Schedule and the Mortgaged Property Addition Schedule, Borrower
shall have the right to obtain the release of one or more Mortgaged Properties by replacing such Mortgaged Property with one (1)
or more Additional Mortgaged Properties that meet the requirements of this Master Agreement thereby effecting a “Substitution”
of Collateral.

 

(e)          Limitation
on Collateral Events.

 

Notwithstanding anything
to the contrary in this Master Agreement, no Collateral Event (other than a Conversion) shall be permitted unless immediately after
such Collateral Event the Advances then Outstanding will not exceed one hundred percent (100%) of the aggregate fair market
value of all real property securing such Advances (where fair market value is determined for these purposes based upon a current
Appraisal or some other commercially reasonable valuation method as determined by Lender)

 

(f)          [Intentionally
Deleted.]

 

Section 2.11           Termination
of Master Agreement.

 

Subject to the terms
and conditions set forth below, Borrower shall have the right to terminate this Master Agreement and receive a Release of all of
the Collateral.

 

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(a)          Request.

 

To terminate this Master
Agreement, Borrower shall deliver a Termination Request to Lender.

 

(b)          Conditions
Precedent.

 

The right of Borrower
to terminate this Master Agreement and to receive a Release of all of the Collateral from the Collateral Pool and Lender’s
obligation to execute and deliver the Termination Documents on the Effective Date are subject to the following conditions precedent:

 

(1)         receipt
by Lender of the fully executed Termination Request;

 

(2)         payment
by Borrower in full of each Note Outstanding on the Effective Date, including any associated Prepayment Premiums or other amounts
due under each Note and all of the other amounts owing by Borrower to Lender under this Master Agreement and the Other Loan Documents;
and

 

(3)         payment
by Borrower of Lender’s and Fannie Mae’s reasonable third party out-of-pocket fees and expenses payable in accordance
with this Master Agreement, including Lender’s and Fannie Mae’s legal fees and expenses.

 

(c)          Closing.

 

If all conditions precedent
contained in this Section 2.11 (Termination of Master Agreement) are satisfied, this Master Agreement shall terminate, and Lender
shall cause all of the Collateral to be Released on an Effective Date selected by Lender, within thirty (30) Business Days
after all of the conditions with respect to such Termination Request have been satisfied (or on such other date as Borrower and
Lender may agree), and all applicable parties shall execute and deliver, all at the sole cost and expense of Borrower, the Termination
Documents.

 

ARTICLE
3

PERSONAL LIABILITY

 

Section 3.01           Non-Recourse
Liability; Exceptions.

 

Except as otherwise
provided in this Article 3 (Personal Liability) or in any other Loan Document, none of Borrower, or any director, officer, manager,
member, partner, shareholder, trustee, trust beneficiary, or employee of Borrower, shall have personal liability under this Master
Agreement or any other Loan Document for the repayment of the Indebtedness or for the performance of any other obligations of Borrower
under the Loan Documents, and Lender’s only recourse for the satisfaction of such Indebtedness and the performance of such
obligations shall be Lender’s exercise of its rights and remedies with respect to the Mortgaged Properties and any other
Collateral held by Lender as security for the Indebtedness. This limitation on Borrower’s liability shall not limit or impair
Lender’s enforcement of its rights against Guarantor under any Loan Document.

 

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Section 3.02           Personal
Liability of Borrower

 

(a)          Personal
Liability Based on Lender’s Loss (Partial Recourse).

 

Borrower shall be personally
liable to Lender for the repayment of the portion of the Indebtedness equal to any loss or damage suffered by Lender as a result
of, subject to any notice and cure period, if any, or in any manner relating to:

 

(1)         failure
to pay as directed by Lender upon demand after an Event of Default (to the extent actually received by Borrower):

 

(A)         all
Rents to which Lender is entitled under the Loan Documents; and

 

(B)         the
amount of all security deposits then held or thereafter collected by Borrower from tenants and not properly applied pursuant to
the applicable Leases;

 

(2)         failure
to maintain all insurance policies required by the Loan Documents, except to the extent Lender has the obligation to pay the premiums
pursuant to Section 12.03(c) (Payment of Impositions; Sufficiency of Imposition Deposits);

 

(3)         failure
to apply all insurance proceeds received by Borrower or any amounts received by Borrower in connection with a Condemnation Action
as required by the Loan Documents;

 

(4)         failure
to comply with any provision of this Master Agreement or any other Loan Document relating to the delivery of books and records,
statements, schedules, and reports;

 

(5)         except
to the extent directed otherwise by Lender pursuant to Section 3.02(a)(1) (Personal Liability Based on Lender’s Loss (Partial
Recourse)), failure to apply Rents to the ordinary and necessary expenses of owning and operating the Mortgaged Properties and
Debt Service Amounts, as and when each is due and payable, except that Borrower will not be personally liable with respect to Rents
that are distributed by Borrower in any Calendar Year if Borrower has paid all ordinary and necessary expenses of owning and operating
the Mortgaged Properties and Debt Service Amounts for such Calendar Year;

 

(6)         waste
or abandonment of any Mortgaged Property;

 

(7)         grossly
negligent or reckless unintentional material misrepresentation or omission by Borrower, Guarantor, Key Principal, or any officer,
director, partner, manager, member, shareholder, or trustee of Borrower, Guarantor, or Key Principal in connection with ongoing
financial or other reporting required by the Loan Documents, or any request for action or consent by Lender; or

 

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(8)         failure
to comply with each of the Single Purpose requirements of Section 4.02(d)(3), (4), (7)-(12), and (14)-(17) (Borrower Status –
Covenants – Single Purpose Status) of this Master Agreement (subject to possible full recourse liability as set forth in
Section 3.02(b)(1) (Full Personal Liability (Full Recourse)); provided, however, no such recourse liability shall arise until the
expiration of the cure periods set forth in this Section 3.02(a)(8) (Personal Liability Based on Lender’s Loss (Partial Recourse)).
Borrower must deliver on an annual basis or upon Lender’s written request, a certification as to compliance with the covenants
set forth in Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status). If Borrower breaches a covenant
set forth in Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status), then, if such breach can be cured,
Borrower shall have thirty (30) days from the earlier of (A) the date of delivery of the annual Officer’s Certificate
set forth in Section 8.02(b)(5) (Items to Furnish to Lender) indicating such breach, (B) the date Lender notices Borrower of such
breach, or (C) the date Borrower discovers such breach, to cure such breach, provided that if such breach can be cured but cannot
reasonably be cured within such thirty (30) day period and Borrower shall have commenced to cure such breach within such thirty (30)
day period and thereafter diligently and expeditiously proceeds to cure the same, such thirty (30) day period shall be extended
for so long as it shall require Borrower in the exercise of due diligence to cure such breach, it being agreed that no such extension
shall be for a period in excess of sixty (60) days for any individual breach.

 

Notwithstanding the foregoing,
Borrower shall not have personal liability under clauses (1), (3) or (5) above to the extent that Borrower lacks the legal right
to direct the disbursement of the applicable funds due to an involuntary Bankruptcy Event with respect to Borrower that occurs
without the consent, encouragement, or active participation of Guarantor, Key Principal or any Borrower Affiliate.

 

(b)          Full
Personal Liability (Full Recourse).

 

Borrower shall be personally
liable to Lender for the repayment of all of the Indebtedness, and the Advances shall be fully recourse to Borrower, upon the occurrence
of any of the following:

 

(1)         failure
to comply with each of the Single Purpose requirements of:

 

(A)         Section
4.02(d)(1), (2), (5), (6) and (13) (Borrower Status – Covenants – Single Purpose Status) of this Master Agreement;
and

 

(B)         Section
4.02(d)(3), (4), (7)-(12), and (14)-(17) (Borrower Status –
Covenants – Single Purpose Status) of this Master Agreement and, pursuant to a final non-appealable court order,
a court of competent jurisdiction holds or determines that such failure or combination of failures is the basis, in whole or in
part, for the substantive consolidation of the assets and liabilities of Borrower, any SPE Owner or Identified Party with the
assets and liabilities of a debtor pursuant to Title 11 of the Bankruptcy Code;

 

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(2)         a
Transfer (other than a conveyance of a Mortgaged Property at a Foreclosure Event pursuant to the Security Instrument and this Master
Agreement) that is not permitted under this Master Agreement or any other Loan Document;

 

(3)         the
occurrence of any Bankruptcy Event with respect to Borrower, SPE Owner or Guarantor (other than an acknowledgement in writing as
described in clause (b) of the definition of “Bankruptcy Event”); provided, however, in the event of an involuntary
Bankruptcy Event with respect to Borrower, SPE Owner or Guarantor, Borrower shall only be personally liable if such involuntary
Bankruptcy Event occurs with the consent, encouragement or active participation of Borrower, Guarantor, Key Principal, SPE Owner
or any Borrower Affiliate;

 

(4)         fraud,
written material misrepresentation, or material omission by Borrower, Guarantor, Key Principal, or any officer, director, partner,
manager, member, shareholder, or trustee of Borrower, Guarantor, or Key Principal in connection with any application for or creation
of the Indebtedness; or

 

(5)         fraud,
written intentional material misrepresentation or intentional material omission by Borrower, Guarantor, Key Principal, or any officer,
director, partner, manager, member, shareholder, or trustee of Borrower, Guarantor, or Key Principal in connection with ongoing
financial or other reporting required by the Loan Documents, or any request for action or consent by Lender.

 

Section 3.03           Personal
Liability for Indemnity Obligations.

 

Borrower shall be personally
and fully liable to Lender for Borrower’s indemnity obligations under Section 13.01(e) (Replacement Reserves and Repairs
– Indemnification) of this Master Agreement, the Environmental Indemnity Agreement and any other express indemnity obligations
provided by Borrower under any Loan Document. Borrower’s liability for such indemnity obligations shall not be limited by
the amount of the Indebtedness, the repayment of the Indebtedness, or otherwise, provided that Borrower’s liability for such
indemnities shall not include any loss caused by the gross negligence or willful misconduct of Lender as determined by a court
of competent jurisdiction pursuant to a final non-appealable court order.

 

Section 3.04           Lender’s
Right to Forego Rights Against Mortgaged Property.

 

To the extent that
Borrower has personal liability under this Master Agreement or any other Loan Document, Lender may exercise its rights against
Borrower personally to the fullest extent permitted by Applicable Law without regard to whether Lender has exercised any rights
against any Mortgaged Property or any other security, or pursued any rights against Guarantor, or pursued any other rights available
to Lender under this Master Agreement, any other Loan Document, or Applicable Law. For purposes of this Section 3.04 (Lender’s
Right to Forego Rights Against Mortgaged Property) only, the term “Mortgaged Property” shall not include any
funds that have been applied by Borrower as required or permitted by this Master Agreement prior to the occurrence of an Event
of Default, or that Borrower was unable to apply as required or permitted by this Master Agreement because of a Bankruptcy Event
with respect to Borrower. To the fullest extent permitted by Applicable Law, in any action to enforce Borrower’s personal
liability under this Article 3 (Personal Liability), Borrower waives any right to set off the value of a Mortgaged Property against
such personal liability.

 

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Section 3.05           Borrower
Agency Provisions.

 

(a)          Each
Borrower shall irrevocably designate Borrower Agent to be its agent and in such capacity to receive on behalf of Borrower all proceeds,
receive all notices on behalf of Borrower under this Master Agreement, make all requests under this Master Agreement, and execute,
deliver, and receive all instruments, certificates, requests, documents, amendments, writings, and further assurances now or hereafter
required hereunder, on behalf of such Borrower, and hereby authorizes Lender to pay over all proceeds hereunder in accordance with
the request of Borrower Agent. Each Borrower hereby acknowledges that all notices required to be delivered by Lender to any Borrower
shall be delivered to Borrower Agent and thereby shall be deemed to have been received by such Borrower.

 

(b)          The
handling of this Master Agreement as a co-borrowing facility with a Borrower Agent in the manner set forth in this Master Agreement
is solely as an accommodation to each of Borrower and Guarantor and is at their mutual request. Lender shall not incur liability
to Borrower or Guarantor as a result thereof. To induce Lender to do so and in consideration thereof, each Borrower hereby indemnifies
Lender and holds Lender harmless from and against any and all liabilities, expenses, losses, damages, and claims of damage or injury
asserted against Lender by any Person arising from or incurred by reason of Borrower Agent handling of the financing arrangements
of Borrower as provided herein, reliance by Lender on any request or instruction from Borrower Agent or any other action taken
by Lender with respect to this Section 3.05 (Borrower Agency Provisions) except due to willful misconduct or gross negligence of
the indemnified party as determined by a court of competent jurisdiction pursuant to a final, non-appealable court order.

 

Section 3.06           Joint
and Several Obligation; Cross-Guaranty.

 

Notwithstanding anything
contained in this Master Agreement or the other Loan Documents to the contrary (but subject to the provisions of Section 3.01 (Non-Recourse
Liability; Exceptions), Section 3.02(a) (Personal Liability Based on Lender’s Loss (Partial Recourse)) and Section 3.02(b)
(Full Personal Liability (Full Recourse)), the last sentence of this Section 3.06 (Joint and Several Obligation; Cross-Guaranty)
and the provisions of Section 3.13 (Maximum Liability of Each Borrower), each Borrower shall have joint and several liability for
the Indebtedness. Notwithstanding the intent of all of the parties to this Master Agreement that the Indebtedness of each Borrower
under this Master Agreement and the other Loan Documents shall be joint and several obligations of each Borrower, each Borrower,
on a joint and several basis, hereby irrevocably guarantees on a non-recourse basis, subject to the exceptions to non-recourse
provisions of Section 3.01 (Non-Recourse Liability; Exceptions), Section 3.02(a) (Personal Liability Based on Lender’s Loss
(Partial Recourse)) and Section 3.02(b) (Full Personal Liability (Full Recourse)), to Lender and its successors and assigns, the
full and prompt payment (whether at stated maturity, by acceleration or otherwise) and performance of, all Indebtedness owed or
hereafter owing to Lender by each other Borrower. Each Borrower agrees that its non-recourse guaranty obligation hereunder is an
unconditional guaranty of payment and performance and not merely a guaranty of collection. The Indebtedness of each Borrower under
this Master Agreement shall not be subject to any counterclaim, set-off, recoupment, deduction, cross-claim, or defense based upon
any claim any Borrower may have against Lender or any other Borrower.

 

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Section 3.07           Waivers
With Respect to Other Borrower Secured Obligation.

 

To the extent that
a Security Instrument or any other Loan Document executed by one Borrower secures an Obligation of another Borrower (the “Other
Borrower Secured Obligation”), or to the extent that a Borrower has guaranteed the debt of another Borrower pursuant
to Article 3 (Personal Liability), Borrower who executed such Loan Document or guaranteed such debt (the “Waiving Borrower”)
hereby agrees to the extent permitted by law, to the provisions of this Section 3.07 (Waivers with Respect to Other Borrower Secured
Obligation). To the extent that any Mortgaged Properties are located in California, and to the extent permitted by law, the references
to the California statutes below shall apply to this Master Agreement and any California Security Instrument securing or encumbering
a Mortgaged Property located in California; otherwise the California statutes referenced below shall have no effect on this Master
Agreement or any other Loan Document. All references in Article 3 (Personal Liability) to California law are only applicable if
any Mortgaged Property is located in California. To the maximum extent permitted by Applicable Law:

 

(a)          The
Waiving Borrower hereby waives any right it may now or hereafter have to require the beneficiary, assignee, or other secured party
under such Loan Document, as a condition to the exercise of any remedy or other right against it thereunder or under any other
Loan Document executed by the Waiving Borrower in connection with the Other Borrower Secured Obligation: (1) to proceed against
any other Borrower or any other Person, or against any other collateral assigned to Lender by any Borrower or any other Person;
(2) to pursue any other right or remedy in Lender’s power; (3) to give notice of the time, place, or terms of any public
or private sale of real or personal property collateral assigned to Lender by any other Borrower or any other Person, or otherwise
to comply with Section 9615 of the California Commercial Code (as modified or recodified from time to time) with respect to
any such personal property collateral located in the State of California; or (4) to make or give (except as otherwise expressly
provided in the Security Documents) any presentment, demand, protest, notice of dishonor, notice of protest, or other demand or
notice of any kind in connection with the Other Borrower Secured Obligation or any collateral for the Other Borrower Secured Obligation.

 

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(b)          The
Waiving Borrower hereby waives any defense it may now or hereafter have that relates to: (1) any disability or other defense
of any other Borrower or any other Person; (2) the cessation, from any cause other than full performance, of the Other Borrower
Secured Obligation; (3) the application of the proceeds of the Other Borrower Secured Obligation, by any other Borrower or any
other Person, for purposes other than the purposes represented to the Waiving Borrower by any other Borrower or any other Person,
or otherwise intended or understood by the Waiving Borrower or any other Borrower; (4) any act or omission by Lender which directly
or indirectly results in or contributes to the release of any other Borrower or any other Person or any collateral for any Other
Borrower Secured Obligation; (5) the unenforceability or invalidity of any Security Document or Loan Document (other than the Security
Instrument executed by the Waiving Borrower that secures the Other Borrower Secured Obligation) or guaranty with respect to any
Other Borrower Secured Obligation, or the lack of perfection or continuing perfection or lack of priority of any Lien (other than
the Lien of the Security Instrument executed by the Waiving Borrower that secures the Other Borrower Secured Obligation) which
secures any Other Borrower Secured Obligation; (6) any failure of Lender to marshal assets in favor of the Waiving Borrower or
any other Person; (7) any modification of any Other Borrower Secured Obligation, including any renewal, extension, acceleration,
or increase in interest rate; (8) any and all rights and defenses arising out of an election of remedies by Lender, even though
that election of remedies, such as a nonjudicial foreclosure with respect to security for a guaranteed obligation, has destroyed
the Waiving Borrower’s rights of subrogation and reimbursement against the principal by the operation of Section 580d
of the California Code of Civil Procedure or otherwise; (9) any law which provides that the obligation of a surety or guarantor
must neither be larger in amount nor in other respects more burdensome than that of the principal or which reduces a surety’s
or guarantor’s obligation in proportion to the principal obligation; (10) any failure of Lender to file or enforce a claim
in any bankruptcy or other proceeding with respect to any Person; (11) the election by Lender, in any bankruptcy proceeding of
any Person, of the application or non-application of Section 1111(b)(2) of the Bankruptcy Code; (12) any extension of credit
or the grant of any lien under Section 364 of the Bankruptcy Code; (13) any use of cash collateral under Section 363
of the Bankruptcy Code; or (14) any agreement or stipulation with respect to the provision of adequate protection in any bankruptcy
proceeding of any Person. The Waiving Borrower further waives any and all rights and defenses that it may have because the Other
Borrower Secured Obligation is secured by real property; this means, among other things, that: (A) Lender may collect from the
Waiving Borrower without first foreclosing on any real or personal property collateral pledged by any other Borrower; (B) if Lender
forecloses on any real property collateral pledged by any other Borrower, then (i) the amount of the Other Borrower Secured Obligation
may be reduced only by the price for which that collateral is sold at the foreclosure sale, even if the collateral is worth more
than the sale price, and (ii) Lender may foreclose on the real property encumbered by the Security Instrument executed by the Waiving
Borrower and securing the Other Borrower Secured Obligation, or otherwise collect from the Waiving Borrower, even if Lender, by
foreclosing on the real property collateral of any one or more of the other Borrowers, has destroyed any right the Waiving Borrower
may have to collect from such other Borrowers. Subject to the last sentence of Section 3.06 (Joint and Several Obligation; Cross-Guaranty),
the foregoing sentence is an unconditional and irrevocable waiver of any rights and defenses the Waiving Borrower may have because
the Other Borrower Secured Obligation is secured by real property. These rights and defenses being waived by the Waiving Borrower
include, but are not limited to, any rights or defenses based upon Section 580a, 580b, 580d, or 726 of the California Code of Civil
Procedure. Without limiting the generality of the foregoing or any other provision hereof, the Waiving Borrower further expressly
waives, except as provided in Section 3.07(g) (Waivers with Respect to Other Borrower Secured Obligation) below, to the extent
permitted by law any and all rights and defenses that might otherwise be available to it under California Civil Code Sections 2787
to 2855, inclusive, 2899 and 3433, or under California Code of Civil Procedure Sections 580a, 580b, 580d, and 726, or any of such
sections;

 

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(c)          The
Waiving Borrower hereby waives any and all benefits and defenses under California Civil Code Section 2810 and agrees that by doing
so the Security Instrument executed by the Waiving Borrower and securing the Other Borrower Secured Obligation shall be and remain
in full force and effect even if one or more of the other Borrowers had no liability at the time of incurring the Other Borrower
Secured Obligation, or thereafter ceases to be liable. The Waiving Borrower hereby waives any and all benefits and defenses under
California Civil Code Section 2809 and agrees that by doing so the Waiving Borrower’s liability may be larger in amount and
more burdensome than that of any one or more of the other Borrowers. The Waiving Borrower hereby waives the benefit of all principles
or provisions of law that are or might be in conflict with the terms of any of its waivers, and agrees that the Waiving Borrower’s
waivers shall not be affected by any circumstances that might otherwise constitute a legal or equitable discharge of a surety or
a guarantor. The Waiving Borrower hereby waives the benefits of any right of discharge and all other rights and defenses under
any and all statutes or other laws relating to guarantors or sureties, to the fullest extent permitted by law, diligence in collecting
the Other Borrower Secured Obligation, presentment, demand for payment, protest, all notices with respect to the Other Borrower
Secured Obligation that may be required by statute, rule of law, or otherwise to preserve Lender’s rights against the Waiving
Borrower hereunder, including notice of acceptance, notice of any amendment of the Loan Documents evidencing the Other Borrower
Secured Obligation, notice of the occurrence of any default or Event of Default, notice of intent to accelerate, notice of acceleration,
notice of dishonor, notice of foreclosure, notice of protest, notice of the incurring by the other Borrower of any obligation or
indebtedness and all rights to require Lender to (1) proceed against the other Borrower, (2) proceed against any general partner
of the other Borrower, (3) proceed against or exhaust any collateral held by Lender to secure the Other Borrower Secured Obligation,
or (4) if the other Borrower is a partnership, pursue any other remedy it may have against the other Borrower, or any general partner
of the other Borrower, including any and all benefits under California Civil Code Sections 2845, 2849, and 2850;

 

(d)          The
Waiving Borrower understands that the exercise by Lender of certain rights and remedies contained in a Security Instrument executed
by any other Borrower (such as a nonjudicial foreclosure sale) may affect or eliminate the Waiving Borrower’s right of subrogation
against such other Borrower and that the Waiving Borrower may therefore incur a partially or totally nonreimburseable liability.
Nevertheless, the Waiving Borrower hereby authorizes and empowers Lender to exercise, in its sole and absolute discretion, any
right or remedy, or any combination thereof, that may then be available, since it is the intent and purpose of the Waiving Borrower
that its waivers shall be absolute, independent and unconditional under any and all circumstances;

 

(e)          In
accordance with Section 2856 of the California Civil Code, the Waiving Borrower also waives any right or defense based upon
an election of remedies by Lender, even though such election (e.g., nonjudicial foreclosure with respect to any collateral held
by Lender to secure repayment of the Other Borrower Secured Obligation) destroys or otherwise impairs the subrogation rights of
the Waiving Borrower to any right to proceed against one or more of the other Borrowers for reimbursement by operation of Section 580d
of the California Code of Civil Procedure or otherwise;

 

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(f)          Subject
to the last sentence of Section 3.06 (Joint and Several Obligation; Cross-Guaranty), in accordance with Section 2856 of the
California Civil Code, the Waiving Borrower waives any and all other rights and defenses available to the Waiving Borrower by reason
of Sections 2787 through 2855, inclusive, of the California Civil Code, including any and all rights or defenses the Waiving
Borrower may have by reason of protection afforded to one or more of the other Borrowers with respect to the applicable Other Borrower
Secured Obligation pursuant to the antideficiency or other laws of the State of California limiting or discharging such Other Borrower
Secured Obligation, including Sections 580a, 580b, 580d, and 726 of the California Code of Civil Procedure;

 

(g)          In
accordance with Section 2856 of the California Civil Code and pursuant to any other Applicable Law, the Waiving Borrower agrees
to withhold the exercise of any and all subrogation, contribution, and reimbursement rights against all other Borrowers, against
any other Person, and against any collateral or security for the Other Borrower Secured Obligation, including any such rights pursuant
to Sections 2847 and 2848 of the California Civil Code, until the Other Borrower Secured Obligation has been indefeasibly
paid and satisfied in full, all obligations owed to Lender under the Loan Documents have been fully performed, and Lender has released,
transferred or disposed of all of its right, title, and interest in such collateral or security;

 

(h)          Each
Borrower hereby irrevocably and unconditionally agrees that, notwithstanding Section 3.07(g) (Waivers with Respect to Other Borrower
Secured Obligation) hereof, in the event, and to the extent, that its agreement and waiver set forth in Section 3.07(g) (Waivers
with Respect to Other Borrower Secured Obligation) is found by a court of competent jurisdiction to be void or voidable for any
reason and such Borrower has any subrogation or other rights against any other Borrower, any such claims, direct or indirect, that
such Borrower may have by subrogation rights or other form of reimbursement, contribution, or indemnity, against any other Borrower
or to any security or any such Borrower, shall be, and such rights, claims, and indebtedness are hereby, deferred, postponed, and
fully subordinated in time and right of payment to the prior payment, performance, and satisfaction in full of the Indebtedness.
Until payment and performance in full with interest (including post-petition interest in any case under any chapter of the Bankruptcy
Code) of the Indebtedness, each Borrower agrees not to accept any payment or satisfaction of any kind of Indebtedness of any other
Borrower in respect of any such subrogation rights arising by virtue of payments made pursuant to this Article 3 (Personal Liability),
and hereby assigns such rights or indebtedness to Lender, including (1) the right to file proofs of claim and to vote thereon in
connection with any case under any chapter of the Bankruptcy Code and (2) the right to vote on any plan of reorganization. In the
event that any payment on account of any such subrogation rights shall be received by any Borrower in violation of the foregoing,
such payment shall be held in trust for the benefit of Lender, and any amount so collected must be turned over to Lender for, at
Lender’s option, application to the Indebtedness; and

 

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(i)          At
any time without notice to the Waiving Borrower, and without affecting or prejudicing the right of Lender to proceed against the
Collateral described in any Loan Document executed by the Waiving Borrower and securing the Other Borrower Secured Obligation,
(1) the time for payment of the principal of or interest on, or the performance of, the Other Borrower Secured Obligation may be
extended or the Other Borrower Secured Obligation may be renewed in whole or in part; (2) the time for any other Borrower’s
performance of or compliance with any covenant or agreement contained in the Loan Documents evidencing the Other Borrower Secured
Obligation, whether presently existing or hereinafter entered into, may be extended or such performance or compliance may be waived;
(3) the maturity of the Other Borrower Secured Obligation may be accelerated as provided in the related Note or any other related
Loan Document; (4) the related Note or any other related Loan Document may be modified or amended by Lender and the applicable
other Borrower in any respect, including an increase in the principal amount; and (5) any security for the Other Borrower Secured
Obligation may be modified, exchanged, surrendered or otherwise dealt with or additional security may be pledged or mortgaged for
the Other Borrower Secured Obligation.

 

(j)          It
is agreed among each Borrower and Lender that all of the foregoing waivers are of the essence of the transaction contemplated by
this Master Agreement and the Loan Documents and that but for the provisions of this Article 3 (Personal Liability) and such waivers
Lender would decline to enter into this Master Agreement.

 

Section 3.08           No
Impairment.

 

Each Borrower agrees
that the provisions of this Article 3 (Personal Liability) are for the benefit of Lender and its successors and assigns, and nothing
herein contained shall impair, as between any other Borrower and Lender, the obligations of such other Borrower under the Loan
Documents.

 

Section 3.09           Election
of Remedies.

 

(a)          Lender,
in its discretion, may (1) bring suit against any one or more Borrowers, jointly and severally, without any requirement that Lender
first proceed against any other Borrower or any other Person; (2) compromise or settle with any one or more Borrowers, or any other
Person, for such consideration as Lender may deem proper; (3) release one or more Borrowers, or any other Person, from liability;
and (4) otherwise deal with any Borrower and any other Person, or any one or more of them, in any manner, or resort to any of the
Collateral at any time held by it for performance of the Indebtedness or any other source or means of obtaining payment of the
Indebtedness, and no such action shall impair the rights of Lender to collect from any Borrower any amount guaranteed by any Borrower
under this Article 3 (Personal Liability).

 

(b)          If,
in the exercise of any of its rights and remedies, Lender shall forfeit any of its rights or remedies, including its rights to
enter a deficiency judgment against any Borrower or any other Person, whether because of any Applicable Law pertaining to “election
of remedies” or the like, each Borrower hereby consents to such action by Lender and waives any claim based upon such action,
even if such action by Lender shall result in a full or partial loss of any rights of subrogation that each Borrower might otherwise
have had but for such action by Lender. Any election of remedies that results in the denial or impairment of the right of Lender
to seek a deficiency judgment against any Borrower shall not impair any other Borrower’s obligation to pay the full amount
of the Indebtedness. In the event Lender shall bid at any foreclosure or trustee’s sale or at any private sale permitted
by law or any of the Loan Documents, Lender may bid all or less than the amount of the Indebtedness and the amount of such bid
need not be paid by Lender but shall be credited against the Indebtedness. The amount of the successful bid at any such sale, whether
Lender or any other party is the successful bidder, shall be conclusively deemed to be the fair market value of the Collateral
and the difference between such bid amount and the remaining balance of the Indebtedness shall be conclusively deemed to be the
amount of the Indebtedness guaranteed under this Article 3 (Personal Liability), notwithstanding that any present or future law
or court decision or ruling may have the effect of reducing the amount of any deficiency claim to which Lender might otherwise
be entitled but for such bidding at any such sale.

 

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Section 3.10           Subordination
of Other Obligations.

 

(a)          Each
Borrower hereby irrevocably and unconditionally agrees that all amounts payable from time to time to such Borrower by any other
Borrower pursuant to any agreement, whether secured or unsecured, whether of principal, interest, or otherwise, other than the
amounts referred to in this Article 3 (Personal Liability) (collectively, the “Subordinated Obligations”), shall
be and such rights, claims, and indebtedness are, hereby deferred, postponed, and fully subordinated in time and right of payment
to the prior payment, performance, and satisfaction in full of the Indebtedness; provided, however, that payments may be received
by any Borrower in accordance with, and only in accordance with, the provisions of Section 3.10 (Subordination of Other Obligations)
hereof.

 

(b)          Until
the Indebtedness has been finally paid in full or fully performed and all the Loan Documents have been terminated, each Borrower
irrevocably and unconditionally agrees it will not ask, demand, sue for, take, or receive, directly or indirectly, by set-off,
redemption, purchase, or in any other manner whatsoever, any payment with respect to, or any security or guaranty for, the whole
or any part of the Subordinated Obligations, and in issuing documents, instruments, or agreements of any kind evidencing the Subordinated
Obligations, each Borrower hereby agrees that it will not receive any payment of any kind on account of the Subordinated Obligations,
so long as any of the Indebtedness is outstanding or any of the terms and conditions of any of the Loan Documents are in effect;
provided, however, that, notwithstanding anything to the contrary contained herein, if no Potential Event of Default or Event of
Default has occurred and is continuing under any of the Loan Documents, then payments may be received by such Borrower in respect
of the Subordinated Obligations in accordance with the stated terms thereof. Except as aforesaid, each Borrower agrees not to accept
any payment or satisfaction of any kind of indebtedness of any other Borrower in respect of the Subordinated Obligations and hereby
assigns such rights or indebtedness to Fannie Mae, including the right to file proofs of claim and to vote thereon in connection
with any case under any chapter of the Bankruptcy Code, including the right to vote on any plan of reorganization. In the event
that any payment on account of Subordinated Obligations shall be received by any Borrower in violation of the foregoing, such payment
shall be held in trust for the benefit of Lender, and any amount so collected shall be turned over to Lender upon demand.

 

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Section 3.11           Insolvency
and Liability of Other Borrower.

 

So long as any of the
Indebtedness is Outstanding, if a petition under any chapter of the Bankruptcy Code is filed by or against any Borrower (the “Subject
Borrower”), each other Borrower (each, an “Other Borrower”) agrees to file all claims against the
Subject Borrower in any bankruptcy or other proceeding in which the filing of claims is required by law in connection with indebtedness
owed by the Subject Borrower and to assign to Lender all rights thereunder up to the amount of such indebtedness. In all such cases,
the Person or Persons authorized to pay such claims shall pay to Lender the full amount thereof and Lender agrees to pay such Other
Borrower any amounts received in excess of the amount necessary to pay the Indebtedness. Each Other Borrower hereby assigns to
Lender all of such Other Borrower’s rights to all such payments to which such Other Borrower would otherwise be entitled
but not to exceed the full amount of the Indebtedness. In the event that, notwithstanding the foregoing, any such payment shall
be received by any Other Borrower before the Indebtedness shall have been finally paid in full, such payment shall be held in trust
for the benefit of and shall be paid over to Lender upon demand. Furthermore, notwithstanding the foregoing, the liability of each
Borrower hereunder shall in no way be affected by:

 

(a)          the
release or discharge of any Other Borrower in any creditors’ receivership, bankruptcy, or other proceedings; or

 

(b)          the
impairment, limitation, or modification of the liability of any Other Borrower or the estate of any Other Borrower in bankruptcy
resulting from the operation of any present or future provisions of any chapter of the Bankruptcy Code or other statute or from
the decision in any court.

 

Section 3.12           Preferences,
Fraudulent Conveyances, Etc.

 

If Lender is required
to refund, or voluntarily refunds, any payment received from any Borrower because such payment is or may be avoided, invalidated,
declared fraudulent, set aside, or determined to be void or voidable as a preference, fraudulent conveyance, impermissible setoff,
or a diversion of trust funds under the Insolvency Laws or for any similar reason, including any judgment, order, or decree of
any court or administrative body having jurisdiction over any Borrower or any of its property, or upon or as a result of the appointment
of a receiver, intervenor, custodian, or conservator of, or trustee or similar officer for, any Borrower or any substantial part
of its property, or otherwise, or any statement or compromise of any claim effected by Lender with any Borrower or any other claimant
(a “Rescinded Payment”), then each Other Borrower’s liability to Lender shall continue in full force and
effect, or each Other Borrower’s liability to Lender shall be reinstated and renewed, as the case may be, with the same effect
and to the same extent as if the Rescinded Payment had not been received by Lender, notwithstanding the cancellation or termination
of any of the Loan Documents, and regardless of whether Lender contested the order requiring the return of such payment. In addition,
each Other Borrower shall pay, or reimburse Lender for, all expenses (including all reasonable attorneys’ fees, court costs,
and related disbursements) incurred by Lender in the defense of any claim that a payment received by Lender in respect of all or
any part of the Indebtedness must be refunded. The provisions of this Section 3.12 (Preferences, Fraudulent Conveyances, Etc.)
shall survive the termination of the Loan Documents and any satisfaction and discharge of any Borrower by virtue of any payment,
court order, or any federal or state law.

 

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Section 3.13           Maximum
Liability of Each Borrower.

 

Notwithstanding anything
contained in this Master Agreement or any other Loan Document to the contrary, if the obligations of any Borrower under this Master
Agreement or any of the other Loan Documents or any Security Instruments granted by any Borrower are determined to exceed the reasonably
equivalent value received by such Borrower in exchange for such obligations or grant of such Security Instruments under any Fraudulent
Transfer Law (as hereinafter defined), then the liability of such Borrower shall be limited to a maximum aggregate amount equal
to the largest amount that would not render its obligations under this Master Agreement or all the other Loan Documents subject
to avoidance as a fraudulent transfer or conveyance under Section 548 of Title 11 of the United States Code or any applicable
provisions of comparable state law (collectively, the “Fraudulent Transfer Laws”), in each case after giving
effect to all other liabilities of such Borrower, contingent or otherwise, that are relevant under the Fraudulent Transfer Laws
(specifically excluding, however, any liabilities of such Borrower in respect of Indebtedness to any other Borrower or any other
Person that is an affiliate of the other Borrower to the extent that such Indebtedness would be discharged in an amount equal to
the amount paid by such Borrower in respect of the Indebtedness) and after giving effect (as assets) to the value (as determined
under the applicable provisions of the Fraudulent Transfer Laws) of any rights to subrogation, reimbursement, indemnification,
or contribution of such Borrower pursuant to Applicable Law or pursuant to the terms of any agreement including the Contribution
Agreement.

 

Section 3.14           Liability
Cumulative.

 

The liability of each
Borrower under this Article 3 (Personal Liability) is in addition to and shall be cumulative with all liabilities of such Borrower
to Lender under this Master Agreement and all the other Loan Documents to which such Borrower is a party or in respect of any Indebtedness
of any other Borrower.

 

ARTICLE
4

BORROWER STATUS

 

Section 4.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 4.01 (Borrower Status – Representations and Warranties) are made
as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

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(a)          Due
Organization and Qualification; Organizational Agreements.

 

(1)         Each
Borrower is validly existing and qualified to transact business and is in good standing in (A) the state in which it is formed
or organized, (B) the Property Jurisdiction and (C) each other jurisdiction that qualification or good standing is required according
to Applicable Law to conduct its business with respect to the Mortgaged Property, in each case, where the failure to be so qualified
or in good standing would adversely affect Borrower’s operation of its Mortgaged Property or the validity, enforceability
or the ability of Borrower to perform its obligations under this Master Agreement or any other Loan Document. The managing member
or general partner of Borrower, as applicable, is validly existing and qualified to transact business and is in good standing in
the state in which it is organized and in each other jurisdiction in which such qualification and/or standing is necessary to the
conduct of its business.

 

(2)         The
members or partners, as applicable, of Borrower and the percentage of their Ownership Interests are as set forth in the Ownership
Interests Schedule attached hereto. True, correct and complete Organizational Documents of each Borrower Entity and each Identified
Party have been delivered to Lender prior to each Effective Date.

 

(3)         The
Organizational Documents of Borrower and SPE Owner, if any, require Borrower and SPE Owner, if any, to comply with the provisions
of Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status) of this Master Agreement.

 

(b)          Location.

 

Borrower’s General
Business Address is Borrower’s principal place of business and principal office. Guarantor’s General Business Address
is Guarantor’s principal place of business and principal office. Key Principal’s General Business Address is Key Principal’s
principal place of business and principal office.

 

(c)          Power
and Authority.

 

Each Borrower has the
requisite power and authority:

 

(1)         to
own its Mortgaged Property and to carry on its business as now conducted and as contemplated to be conducted in connection with
the performance of its obligations under this Master Agreement and under the other Loan Documents to which it is a party; and

 

(2)         to
execute and deliver this Master Agreement and the other Loan Documents to which it is a party, and to carry out the transactions
contemplated by this Master Agreement and the other Loan Documents to which it is a party.

 

(d)          Due
Authorization.

 

The execution, delivery,
and performance of this Master Agreement and the other Loan Documents to which it is a party have been duly authorized by all necessary
action and proceedings by or on behalf of Borrower, and no further approvals or filings of any kind, including any approval of
or filing with any Governmental Authority, are required by or on behalf of Borrower as a condition to the valid execution, delivery,
and performance by Borrower of this Master Agreement or any of the other Loan Documents to which it is a party, except filings
required to perfect and maintain the liens to be granted under the Loan Documents and routine filings to maintain good standing
and its existence.

 

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(e)          Valid
and Binding Obligations.

 

This Master Agreement
and the other Loan Documents to which it is a party have been duly executed and delivered by Borrower and constitute the legal,
valid, and binding obligations of Borrower, enforceable against Borrower in accordance with their respective terms, except as such
enforceability may be limited by applicable Insolvency Laws or by the exercise of discretion by any court.

 

(f)          Effect
of Master Agreement on Financial Condition.

 

Neither Borrower nor
Borrower’s general partner or sole member will be rendered Insolvent by the transactions contemplated by the provisions of
this Master Agreement and the other Loan Documents. Borrower has sufficient working capital, including proceeds from the Advances,
cash flow from the Mortgaged Properties, or other sources, not only to adequately maintain the Mortgaged Properties, but also to
pay all of Borrower’s outstanding debts as they come due, including all Debt Service Amounts, exclusive of Borrower’s
ability to refinance or pay in full any Advance on its Maturity Date. In connection with the execution and delivery of this Master
Agreement, the Security Instruments and the other Loan Documents (and the delivery to, or for the benefit of, Lender of any collateral
contemplated thereunder), and the incurrence by Borrower of the obligations under this Master Agreement and the other Loan Documents,
Borrower did not receive less than reasonably equivalent value in exchange for the incurrence of the obligations of Borrower under
this Master Agreement and the other Loan Documents.

 

(g)          Economic
Sanctions, Anti-Money Laundering, and Anti-Corruption.

 

(1)         No
Borrower Entity, nor to Borrower’s knowledge, any Identified Party, nor any Person Controlled by Borrower Entity that also
has a direct or indirect Ownership Interest in any Borrower Entity, is in violation of any applicable civil or criminal laws or
regulations, including those requiring internal controls, intended to prohibit, prevent, or regulate money laundering, drug trafficking,
terrorism, or corruption, of the United States and the jurisdiction where the Mortgaged Property is located or where the Person
resides, is domiciled, or has its principal place of business.

 

(2)         No
Borrower Entity, nor to Borrower’s knowledge, any Identified Party, nor any Person Controlled by Borrower Entity that also
has a direct or indirect Ownership Interest in any Borrower Entity, is a Person:

 

(A)         against
whom proceedings are pending for any alleged violation of any laws described in Section 4.01(g)(1) (Borrower Status – Representations
and Warranties – Economic Sanctions, Anti-Money Laundering, and Anti-Corruption);

 

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(B)         that
has been convicted of any violation of, has been subject to civil penalties or Economic Sanctions pursuant to, or had any of its
property seized or forfeited under, any laws described in Section 4.01(g)(1) (Borrower Status – Representations and Warranties
– Economic Sanctions, Anti-Money Laundering, and Anti-Corruption); or

 

(C)         with
whom any United States Person, any entity organized under the laws of the United States or its constituent states or territories,
or any entity, regardless of where organized, having its principal place of business within the United States or any of its territories,
is a Sanctioned Person or is otherwise prohibited from transacting business of the type contemplated by this Master Agreement and
the other Loan Documents under any other Applicable Law.

 

(3)         Each
Borrower Entity is in compliance with all applicable Economic Sanctions laws and regulations.

 

(h)          Single
Purpose Status.

 

Each Borrower and SPE
Owner at all times since its formation (or such other date referenced below):

 

(1)         has
not acquired, held, owned, leased, developed, or improved, and does not own or lease any real property, personal property, or assets
other than the Mortgaged Property or, for any SPE Owner, equity interests in a Person that owns the Mortgaged Property;

 

(2)         has
not acquired or owned and does not own, operate, or participate in any business other than the leasing, ownership, management,
operation, and maintenance of the Mortgaged Property or, for any SPE Owner, equity interests in a Person that owns the Mortgaged
Property;

 

(3)         has,
since the date such Borrower becomes a party to this Master Agreement, no material financial obligation under or secured by any
indenture, mortgage, deed of trust, deed to secure debt, loan agreement, or other agreement or instrument to which Borrower is
a party, or by which Borrower is otherwise bound, or to which the Mortgaged Property is subject or by which it is otherwise encumbered,
other than:

 

(A)         unsecured
trade payables incurred in the ordinary course of the operation of the Mortgaged Property (exclusive of amounts for rehabilitation,
restoration, repairs, or replacements of the Mortgaged Property) that (i) are not evidenced by a promissory note, (ii) are payable
within sixty (60) days of the date incurred, and (iii) as of the Effective Date such Mortgaged Property is added to the Collateral
Pool, do not exceed, the lesser of (x) two percent (2%) of the Allocable Facility Amount for such Mortgaged Property and (y) in
the aggregate, when added to unsecured trade payables for all other Mortgaged Properties in the Collateral Pool, four percent (4%)
of the principal balance of the Advances Outstanding;

 

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(B)         if
the Security Instrument grants a lien on a leasehold estate, Borrower’s obligations as lessee under the ground lease creating
such leasehold estate; and

 

(C)         obligations
under the Loan Documents and obligations secured by the Mortgaged Property to the extent permitted by the Loan Documents;

 

(4)         has
maintained its financial statements, accounting records, and other partnership, real estate investment trust, limited liability
company, or corporate documents, as the case may be, separate from those of any other Person and has not listed its assets on the
financial statement of any other Person (unless Borrower’s assets have been included in a consolidated financial statement
prepared in accordance with generally accepted accounting principles);

 

(5)         has
not commingled its assets or funds with those of any other Person, and has held all its assets or funds under its own name, unless
such assets or funds can easily be segregated and identified in the ordinary course of business and in such a manner that it will
not be costly or difficult to segregate, ascertain, or identify its individual assets from those of any other Person;

 

(6)         has
been adequately capitalized in light of its contemplated business operations;

 

(7)         has,
since the date such Borrower becomes a party to this Master Agreement, not assumed, guaranteed, or become obligated for the liabilities
or obligations of any other Person or pledged its assets for the benefit of any other Person (except in connection with this Master
Agreement or other mortgage loans that have been paid in full or collaterally assigned to Lender, including in connection with
any Consolidation, Extension and Modification Agreement (for Mortgaged Properties in New York) or similar instrument), or held
out its credit as being available to satisfy the obligations of any other Person;

 

(8)         has
not made loans or advances to any other Person;

 

(9)         has
not entered into and is not a party to any transaction with any Borrower Affiliate, except in the ordinary course of business and
on terms which are no more favorable to such Borrower Affiliate than would be obtained in a comparable arm’s-length transaction
with an unrelated third party;

 

(10)        has
not acquired obligations or securities of any other Person;

 

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(11)        has
paid its own liabilities, including the salaries of its own employees, if any, from its own funds and maintained a sufficient number
of employees in light of its contemplated business operations;

 

(12)        has
not failed to hold itself out to the public as a legal entity separate and distinct from any other Person or to conduct its business
solely in its own name or failed to correct any known misunderstanding regarding its separate identity;

 

(13)        has
allocated fairly and reasonably any overhead for shared expenses;

 

(14)        has
maintained its existence as an entity duly organized, validly existing, and in good standing (if applicable) under the laws of
the jurisdiction of its formation or organization and has done all things necessary to observe organizational formalities;

 

(15)        has
not, other than SPE Owner’s Ownership Interest in Borrower, owned any subsidiary or made any investment in, any Person without
the prior written consent of Lender; and

 

(16)        without
the prior written consent of Lender or unless otherwise required or permitted by a Cap Security Agreement, has not entered into
or guaranteed, provided security for, or otherwise undertaken any form of contingent obligation with respect to any Hedging Arrangement.

 

(i)          No
Bankruptcies or Judgments.

 

No Borrower, Borrower’s
general partner or sole member, nor any SPE Owner is currently:

 

(1)         the
subject of or a party to any completed or pending bankruptcy, reorganization, including any receivership, or other insolvency proceeding
(other than as a creditor of tenants);

 

(2)         preparing
or intending to be the subject of a Bankruptcy Event; or

 

(3)         the
subject of any judgment unsatisfied of record or docketed in any court; or

 

(4)         Insolvent.

 

(j)          No
Actions or Litigation.

 

(1)         There
are no claims, actions, suits, or proceedings at law or in equity by or before any Governmental Authority now pending against or,
to Borrower’s knowledge, threatened against or affecting Borrower or any Mortgaged Property not otherwise covered by insurance
(except claims, actions, suits, or proceedings regarding fair housing, anti-discrimination, or equal opportunity, which shall always
be disclosed); and

 

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(2)         there
are no claims, actions, suits, or proceedings at law or in equity by or before any Governmental Authority now pending or, to Borrower’s
knowledge, threatened against or affecting Guarantor or Key Principal, which claims, actions, suits, or proceedings, if adversely
determined (individually or in the aggregate) reasonably would be expected to materially adversely affect the financial condition
or business of Borrower, Guarantor, or Key Principal or the condition, operation, or ownership of the Mortgaged Property (except
claims, actions, suits, or proceedings regarding fair housing, anti-discrimination, or equal opportunity, which shall always be
deemed material).

 

(k)          Payment
of Taxes, Assessments, and Other Charges.

 

Borrower confirms that:

 

(1)         it
has filed all federal, state, county, and municipal tax returns and reports required to have been filed by Borrower;

 

(2)         it
has paid, before any fine, penalty interest, lien, or costs may be added thereto, all taxes, governmental charges, and assessments
due and payable with respect to such returns and reports;

 

(3)         there
is no controversy or objection pending, or to the knowledge of Borrower, threatened in respect of any tax returns of Borrower;
and

 

(4)         it
has made adequate reserves on its books and records for all taxes that have accrued but which are not yet due and payable.

 

(l)          Not
a Foreign Person.

 

Borrower is not a “foreign
person” within the meaning of Section 1445(f)(3) of the Internal Revenue Code.

 

(m)          ERISA.

 

Borrower represents
and warrants that:

 

(1)         Borrower
is not an Employee Benefit Plan;

 

(2)         no
asset of Borrower constitutes “plan assets” (within the meaning of Section 3(42) of ERISA and Department of Labor
Regulation Section 2510.3-101) of an Employee Benefit Plan;

 

(3)         no
asset of Borrower is subject to any laws of any Governmental Authority governing the assets of an Employee Benefit Plan; and

 

(4)         neither
Borrower nor any ERISA Affiliate is subject to any obligation or liability with respect to any ERISA Plan.

 

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(n)          Default
Under Other Obligations.

 

(1)         The
execution, delivery, and performance of the obligations imposed on Borrower under this Master Agreement and the Loan Documents
to which it is a party will not cause Borrower to be in default under the provisions of any agreement, judgment or order to which
Borrower is a party or by which Borrower is bound.

 

(2)         There
are no defaults by Borrower or, to the knowledge of Borrower, by any other Person under any contract to which Borrower is a party,
including any management, rental, service, supply, security, maintenance or similar contract, other than defaults which do not
have, and are not reasonably expected to have, a Material Adverse Effect.

 

(o)          Prohibited
Person.

 

No Borrower Entity
is a Prohibited Person, nor to Borrower’s knowledge, is any Person:

 

(1)         Controlling
any Borrower Entity a Prohibited Person; or

 

(2)         Controlled
by and having a direct or indirect Ownership Interest in any Borrower Entity a Prohibited Person.

 

(p)          No
Contravention; No Liens.

 

Neither the execution
and delivery of this Master Agreement and the other Loan Documents to which Borrower is a party, nor the fulfillment of or compliance
with the terms and conditions of this Master Agreement and the other Loan Documents to which Borrower is a party, nor the performance
of the obligations of Borrower under this Master Agreement and the other Loan Documents:

 

(1)         does
or will conflict with or result in any breach or violation of (A) any Applicable Law enacted or issued by any Governmental Authority
or other agency having jurisdiction over Borrower, the Mortgaged Properties or any other portion of the Collateral or other assets
of Borrower, or (B) any judgment or order applicable to Borrower or to which Borrower, the Mortgaged Properties or other assets
of Borrower are subject;

 

(2)         does
or will conflict with or result in any breach or violation of, or constitute a default under, any of the terms, conditions or provisions
of Borrower’s Organizational Documents, any indenture, existing agreement or other instrument to which Borrower is a party
or to which Borrower, the Mortgaged Properties or any other portion of the Collateral or other assets of Borrower are subject;

 

(3)         does
or will result in or require the creation of any Lien on all or any portion of the Collateral or the Mortgaged Properties, except
for the Permitted Encumbrances; or

 

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(4)         does
or will require the consent or approval of any creditor of Borrower, any Governmental Authority or any other Person except such
consents or approvals which have already been obtained.

 

(q)          Lockbox
Arrangement.

 

Borrower is not party
to any type of lockbox agreement or similar cash management arrangement that has not been approved by Lender in writing, and no
direct or indirect owner of Borrower is party to any type of lockbox agreement or similar cash management arrangement with respect
to Rents or other income from the Mortgaged Property that has not been approved by Lender in writing.

 

(r)          No
Reliance.

 

Borrower acknowledges,
represents, and warrants that it understands the nature and structure of the transactions contemplated by this Master Agreement
and the other Loan Documents to which Borrower is a party (including the cross-collateralization and cross-default of the Indebtedness),
that it is familiar with the provisions of all of the documents and instruments relating to such transactions; that it understands
the risks inherent in such transactions, including the risk of loss of all or any of the Mortgaged Properties; and that it has
not relied on Lender or Fannie Mae for any guidance or expertise in analyzing the financial or other consequences of the transactions
contemplated by this Master Agreement or any other Loan Document to which Borrower is a party or otherwise relied on Lender or
Fannie Mae in any manner in connection with interpreting, entering into or otherwise in connection with this Master Agreement,
any other Loan Document or any of the matters contemplated hereby or thereby.

 

(s)          Investment
Company Act.

 

Borrower is not (1)
an “investment company” or a company “controlled” by an “investment company,” within the meaning
of the Investment Company Act of 1940, as amended; (2) a “holding company” or a “subsidiary company”
of a “holding company” or an “affiliate” of either a “holding company” or a “subsidiary
company” within the meaning of the Energy Policy Act of 2005, as amended; or (3) subject to any other federal or state
law or regulation which purports to restrict or regulate its ability to borrow money.

 

Section 4.02           Covenants.

 

(a)          Maintenance
of Existence; Organizational Documents.

 

(1)         Each
of Borrower, SPE Owner, Guarantor and Key Principal shall maintain its existence, its entity status, franchises, rights, and privileges
under the laws of the state of its formation or organization (as applicable). Borrower shall continue to be duly qualified and
in good standing to transact business in each jurisdiction in which qualification or standing is required according to Applicable
Law to conduct its business with respect to its Mortgaged Property and where the failure to do so would adversely affect Borrower’s
operation of its Mortgaged Property or the validity, enforceability, or the ability of Borrower to perform its obligations under
this Master Agreement or any other Loan Document. Neither Borrower nor any partner, member, manager, officer, or director of Borrower
shall:

 

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(A)         except
with respect to amendments or modifications documenting Permitted Transfers under Section 11.03(b) (Permitted Transfers of Ownership
Interests) make or allow any material change to the Organizational Documents or organizational structure of Borrower, including
changes relating to the Control of Borrower or changes that could lead to noncompliance with the SPE Requirements or the provisions
of Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status), or

 

(B)         file
any action, complaint, petition, or other claim to:

 

(i)          divide,
partition, or otherwise compel the sale of any Mortgaged Property, or

 

(ii)         otherwise
change the Control of Borrower.

 

(2)         During
the Term of this Master Agreement, Guarantor shall qualify, and be taxed as, a real estate investment trust under Subchapter M
of the Internal Revenue Code and will not be engaged in any activities which would reasonably be anticipated to jeopardize such
qualification and tax treatment.

 

(b)          Economic
Sanctions, Anti-Money Laundering, and Anti-Corruption.

 

(1)         Each
Borrower Entity, any Identified Party, or any Person Controlled by Borrower Entity that also has a direct or indirect Ownership
Interest in any Borrower Entity shall remain in compliance with any applicable civil or criminal laws or regulations (including
those requiring internal controls) intended to prohibit, prevent, or regulate money laundering, drug trafficking, terrorism, or
corruption, of the United States and the jurisdiction where the Mortgaged Property is located or where the Person resides, is domiciled,
or has its principal place of business.

 

(2)         At
no time shall any Borrower Entity or any Identified Party, or any Person Controlled by Borrower Entity that also has a direct or
indirect Ownership Interest in any Borrower Entity, be a Person:

 

(A)         against
whom proceedings are pending for any alleged violation of any laws described in Section 4.02(b)(1) (Borrower Status – Covenants
– Economic Sanctions, Anti-Money Laundering, and Anti-Corruption);

 

(B)         that
has been convicted of any violation of, has been subject to civil penalties or Economic Sanctions pursuant to, or had any of its
property seized or forfeited under, any laws described in Section 4.02(b)(1) (Borrower Status – Covenants – Economic
Sanctions, Anti-Money Laundering, and Anti-Corruption); or

 

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(C)         with
whom any United States Person, any entity organized under the laws of the United States or its constituent states or territories,
or any entity, regardless of where organized, having its principal place of business within the United States or any of its territories,
is a Sanctioned Person or is otherwise prohibited from transacting business of the type contemplated by this Master Agreement and
the other Loan Documents under any other Applicable Law.

 

(3)         Borrower,
Guarantor, and Key Principal shall at all times remain in compliance with any applicable Economic Sanctions laws and regulations.

 

(c)          Payment
of Taxes, Assessments, and Other Charges.

 

Borrower shall file
all federal, state, county, and municipal tax returns and reports required to be filed by Borrower and shall pay, before any fine,
penalty interest, or cost may be added thereto, all taxes payable with respect to such returns and reports.

 

(d)          Single
Purpose Status.

 

Borrower and SPE Owner:

 

(1)         shall
not acquire, hold, develop, lease, or improve any real property, personal property, or assets other than (A) the Mortgaged Property
or (B) for any SPE Owner, equity interests in a Person that owns the Mortgaged Property;

 

(2)         shall
not acquire, own, operate, or participate in any business other than the leasing, ownership, management, operation, and maintenance
of the Mortgaged Property or, for any SPE Owner, equity interests in a Person that owns the Mortgaged Property;

 

(3)         shall
not commingle its assets or funds with those of any other Person, unless such assets or funds can easily be segregated and identified
in the ordinary course of business from those of any other Person;

 

(4)         shall
maintain its financial statements, accounting records, and other partnership, real estate investment trust, limited liability company,
or corporate documents, as the case may be, separate from those of any other Person (unless Borrower’s assets are included
in a consolidated financial statement prepared in accordance with generally accepted accounting principles);

 

(5)         shall
have no material financial obligation under any indenture, mortgage, deed of trust, deed to secure debt, loan agreement, or other
agreement or instrument to which Borrower is a party or by which Borrower is otherwise bound, or to which the Mortgaged Property
is subject or by which it is otherwise encumbered, other than:

 

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(A)         unsecured
trade payables incurred in the ordinary course of the operation of the Mortgaged Property (exclusive of amounts (i) to be paid
out of the Replacement Reserve Account or Repairs Escrow Account, or (ii) for rehabilitation, restoration, repairs, or replacements
of the Mortgaged Property or otherwise approved by Lender) so long as such trade payables (1) are not evidenced by a promissory
note, (2) are payable within sixty (60) days of the date incurred, and (3) as of any date, do not exceed the lesser of (x)
two percent (2%) of the Allocable Facility Amount for such Mortgaged Property and (y) in the aggregate, when added to unsecured
trade payables for all other Mortgaged Properties in the Collateral Pool, four percent (4%) of the principal balance of the
Advances Outstanding;

 

(B)         if
the Security Instrument grants a lien on a leasehold estate, Borrower’s obligations as lessee under the ground lease creating
such leasehold estate; and

 

(C)         obligations
under the Loan Documents and obligations secured by the Mortgaged Property to the extent permitted by the Loan Documents;

 

(6)         shall
not assume, guaranty, or become obligated for the liabilities or obligations of any other Person, or pledge its assets for the
benefit of any other Person (except in connection with this Master Agreement or other mortgage loans that have been paid in full
or collaterally assigned to Lender, including in connection with any Consolidation, Extension and Modification Agreement (for Mortgaged
Properties in New York) or similar instrument) or hold out its credit as being available to satisfy the obligations of any other
Person;

 

(7)         shall
not make loans or advances to any other Person;

 

(8)         shall
not enter into or become a party to, any transaction with any Borrower Affiliate, except in the ordinary course of business and
on terms which are no more favorable to such Borrower Affiliate than would be obtained in a comparable arm’s-length transaction
with an unrelated third party;

 

(9)         shall
not acquire obligations or securities of any other Person;

 

(10)        shall
pay (or shall cause Property Manager on behalf of Borrower from Borrower’s own funds to pay) its own liabilities, including
the salaries of its own employees, if any, from its own funds and maintain a sufficient number of employees in light of its contemplated
business operations;

 

(11)        shall
not fail to hold itself out to the public as a legal entity separate and distinct from any other Person or to conduct its business
solely in its own name or fail to correct any known misunderstanding regarding its separate identity;

 

(12)        shall
allocate fairly and reasonably any overhead for shared expenses;

 

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(13)        shall
maintain its existence as an entity duly organized and validly existing, under the laws of the jurisdiction of its formation or
organization;

 

(14)        shall
be in good standing (if applicable) under the laws of the jurisdiction of its formation or organization;

 

(15)        shall
not, other than SPE Owner’s Ownership Interest in Borrower, own any subsidiary or make any investment in, any Person without
the prior written consent of Lender;

 

(16)        without
the prior written consent of Lender or unless otherwise required or permitted by a Cap Security Agreement, shall not enter into
or guarantee, provide security for, or otherwise undertake any form of contingent obligation with respect to any Hedging Arrangement;

 

(17)        (A)
if Borrower or any SPE Owner has only one member as of the Effective Date the applicable Borrower becomes party to the Master Agreement,
Borrower and any such SPE Owner shall maintain Organizational Documents that provide that upon the occurrence of any event that
causes its sole member to cease to be a member while the Advances are Outstanding, (i) at least one of two special members (if
such special members are natural persons) or the sole special member (if such special member is an entity) will automatically be
admitted as the sole member of Borrower and/or such SPE Owner, as applicable, and (ii) such admittance will preserve and continue
the existence of Borrower and any such SPE Owner without dissolution, and (B) if Borrower or any SPE Owner has two or more members
as of the Effective Date the applicable Borrower becomes party to the Master Agreement, Borrower and any such SPE Owner
shall maintain at least two members at all times and at no time shall
become a single-member limited liability company.

 

(e)          ERISA.

 

Borrower covenants
that:

 

(1)         no
asset of Borrower shall constitute “plan assets” (within the meaning of Section 3(42) of ERISA and Department
of Labor Regulation Section 2510.3-101) of an Employee Benefit Plan;

 

(2)         no
asset of Borrower shall be subject to the laws of any Governmental Authority governing the assets of an Employee Benefit Plan;
and

 

(3)         neither
Borrower nor any ERISA Affiliate shall incur any obligation or liability with respect to any ERISA Plan.

 

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(f)          Notice
of Litigation or Insolvency.

 

Borrower shall give
immediate written notice to Lender of any claims, actions, suits, or proceedings at law or in equity (including any insolvency,
bankruptcy, or receivership proceeding) by or before any Governmental Authority pending or, to Borrower’s knowledge, threatened
against or affecting any Borrower Entity or Identified Party or the Mortgaged Property, which claims, actions, suits or proceedings,
if adversely determined reasonably would be expected to materially adversely affect the financial condition or business of any
Borrower Entity or Identified Party or the condition, operation, or ownership of the Mortgaged Property (including any claims,
actions, suits, or proceedings regarding fair housing, anti-discrimination, or equal opportunity, which shall always be deemed
material).

 

(g)          Payment
of Costs, Fees, and Expenses.

 

In addition to the
payments specified in this Master Agreement, Borrower shall pay, on demand, all of Lender’s and Fannie Mae’s out-of-pocket
fees, costs, charges, or expenses (including the reasonable fees and expenses of attorneys, accountants, and other experts) incurred
by Lender and Fannie Mae in connection with:

 

(1)         any
amendment to, consent, or waiver required under, or Request made pursuant to, this Master Agreement or any of the Loan Documents
(whether or not any such amendment, consent, waiver, or Request is entered into);

 

(2)         defending
or participating in any litigation arising from actions by third parties and brought against or involving Lender with respect to:

 

(A)         any
Mortgaged Property;

 

(B)         any
event, act, condition, or circumstance in connection with any Mortgaged Property; or

 

(C)         the
relationship between or among Lender, Fannie Mae, Borrower, Key Principal, and Guarantor in connection with this Master Agreement
or any of the transactions contemplated by this Master Agreement;

 

(3)         the
administration or enforcement of, or preservation of rights or remedies under, this Master Agreement or any other Loan Documents
including or in connection with any litigation or appeals, any Foreclosure Event or other disposition of any collateral granted
pursuant to the Loan Documents; and

 

(4)         any
Bankruptcy Event.

 

(h)          Restrictions
on Distributions.

 

No distributions or
dividends of any nature with respect to Rents or other income from the Mortgaged Property shall be made to the owners of Borrower’s
Ownership Interests as such if, at the time of such distribution, (1) Borrower has knowledge that after such distribution it will
be unable to make monetary payments as and when such payments become due and payable, (2) an Event of Default has occurred and
is continuing, or (3) a Bankruptcy Event has occurred with respect to the owners of its Ownership Interests, Key Principal, or
Guarantor.

 

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(i)          Lockbox
Arrangement.

 

Borrower shall not
enter into any type of lockbox agreement or similar cash management arrangement that has not been approved by Lender in writing,
and no direct or indirect owner of Borrower shall enter into any type of lockbox agreement or similar cash management arrangement
with respect to Rents or other income from the Mortgaged Property that has not been approved by Lender in writing. Lender’s
approval of any such cash management arrangement may be conditioned upon requiring Borrower to enter into a lockbox agreement or
similar cash management arrangement with Lender in form and substance acceptable to Lender with regard to Rents and other income
from the Mortgaged Property.

 

(j)          Confidentiality
of Certain Information.

 

Borrower shall not
disclose, and shall not permit to be disclosed, any terms, conditions, underwriting requirements, or underwriting procedures of
this Master Agreement or any of the Loan Documents; provided, however, that such information may be disclosed (1) as required by
law or pursuant to GAAP, (2) to officers, directors, employees, agents, partners, attorneys, accountants, engineers, and other
consultants of such Borrower Entity or Identified Party who need to know such information, provided such Persons are instructed
to treat such information confidentially, (3) to any regulatory authority having jurisdiction over such Borrower Entity or Identified
Party, (4) in connection with any filings with the Securities and Exchange Commission or other Governmental Authorities, or (5)
to any other Person to which such delivery or disclosure may be necessary or appropriate (A) in compliance with any law, rule,
regulation, or order applicable to such Borrower Entity or Identified Party, or (B) in response to any subpoena or other legal
process or information investigative demand.

 

(k)          [Intentionally
Deleted]

 

ARTICLE
5

THE ADVANCES

 

Section 5.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 5.01 (The Advances – Representations and Warranties) are made as
of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

(a)          Receipt
and Review of Loan Documents.

 

Borrower has received
and reviewed this Master Agreement and all of the other Loan Documents.

 

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(b)          No
Default.

 

No default exists under any of the Loan
Documents.

 

(c)          No
Defenses.

 

The Loan Documents
are not currently subject to any right of rescission, set-off, counterclaim, or defense by either Borrower or Guarantor, including
the defense of usury, nor would the operation of any of the terms of the Loan Documents, or the exercise of any right thereunder,
render the Loan Documents unenforceable (subject to principles of equity and bankruptcy, Insolvency Laws, and other laws generally
affecting creditors’ rights and the enforcement of debtors’ obligations), and neither Borrower nor Guarantor has asserted
any right of rescission, set-off, counterclaim, or defense with respect thereto.

 

(d)          Loan
Document Taxes.

 

All mortgage, mortgage
recording, stamp, intangible, or any other similar taxes required to be paid by any Person under Applicable Law currently in effect
in connection with the execution, delivery, recordation, filing, registration, perfection, or enforcement of any of the Loan Documents,
including the Security Instrument, have been paid or will be paid in the ordinary course of the closing of any Advance.

 

Section 5.02           Covenants.

 

(a)          Ratification
of Covenants; Estoppels; Certifications.

 

Borrower shall:

 

(1)         promptly
notify Lender in writing upon any violation of any covenant set forth in any Loan Document of which Borrower has notice or knowledge;
provided, however, any such written notice by Borrower to Lender shall not relieve Borrower of, or result in a waiver
of, any obligation under this Master Agreement or any other Loan Document; and

 

(2)         within
ten (10) days after a request from Lender, provide a written statement, signed and acknowledged by Borrower, certifying to
Lender or any Person designated by Lender, as of the date of such statement:

 

(A)         that
the Loan Documents are unmodified and in full force and effect (or, if there have been modifications, that the Loan Documents are
in full force and effect as modified and setting forth such modifications);

 

(B)         the
unpaid principal balance of the Advances Outstanding;

 

(C)         the
date to which interest on the Advances Outstanding has been paid;

 

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(D)         that
Borrower is not in default in paying the Advances Outstanding or in performing or observing any of the covenants or agreements
contained in this Master Agreement or any of the other Loan Documents (or, if Borrower is in default, describing such default in
reasonable detail);

 

(E)         whether
or not there are then existing any setoffs or defenses known to Borrower against the enforcement of any right or remedy of Lender
under the Loan Documents; and

 

(F)         any
additional facts reasonably requested in writing by Lender.

 

(b)          Further
Assurances.

 

(1)         Other
Documents As Lender May Require.

 

Within ten (10)
days after request by Lender, Borrower shall, subject to Section 5.02(d) (Limitations on Further Acts of Borrower) below, execute,
acknowledge, deliver, and, if necessary, file or record, at its cost and expense, all further acts, deeds, conveyances, assignments,
financing statements, transfers, documents, agreements, assurances, and such other instruments as Lender may reasonably require
from time to time in order to better assure, grant, and convey to Lender the rights intended to be granted, now or in the future,
to Lender under this Master Agreement and the other Loan Documents and take such further action as Lender from time to time may
reasonably request as reasonably necessary, desirable, or proper to carry out more effectively the purposes of this Master Agreement
or any of the other Loan Documents.

 

(2)         Corrective
Actions.

 

Within ten (10)
days after request by Lender, Borrower shall provide, or cause to be provided, to Lender, at Borrower’s cost and expense,
such further documentation or information reasonably deemed necessary or appropriate by Lender in the exercise of its rights under
the related commitment letter between Borrower and Lender or to correct patent mistakes in the Loan Documents, the Title Policy,
or the funding of the Advances.

 

(3)         Compliance
with Investor Requirements.

 

Without limiting
the generality of subsections (1) and (2) above, Borrower shall subject to Section 5.02(d) (Limitations on Further Acts of Borrower)
below, take all reasonable actions necessary to comply with the requirements of Lender to enable Lender to sell any MBS backed
by an Advance or achieve or preserve the expected federal income tax treatment of any MBS trust that directly or indirectly holds
an Advance and issues MBS as a fixed investment trust or real estate mortgage investment conduit, as the case may be, within the
meaning of the Treasury Regulations.

 

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(c)          Sale
of Advances.

 

Borrower shall, subject
to Section 5.02(d) (Limitations on Further Acts of Borrower) below:

 

(1)         comply
with the reasonable requirements of Lender or any Investor or provide, or cause to be provided, to Lender or any Investor within
ten (10) days after the request, at Borrower’s cost and expense, such further documentation or information as Lender
or Investor may reasonably require in order to:

 

(A)         enable
Lender to sell the Advance to such Investor;

 

(B)         enable
Lender to obtain a refund of any commitment fee from any such Investor;

 

(C)         enable
any such Investor to further sell or securitize the Advance; or

 

(D)         achieve
or preserve the expected federal income tax treatment of any MBS trust that directly or indirectly holds an Advance and issues
MBS as a fixed investment trust or real estate mortgage investment conduit, as the case may be, within the meaning of the Treasury
Regulations.

 

(2)         ratify
and affirm in writing the representations and warranties set forth in any Loan Document as of such date specified by Lender modified
as necessary to reflect changes that have occurred subsequent to the Effective Date;

 

(3)         confirm
that Borrower is not in default in paying the Indebtedness or in performing or observing any of the covenants or agreements contained
in this Master Agreement or any of the other Loan Documents (or, if Borrower is in default, describing such default in reasonable
detail); and

 

(4)         execute
and deliver to Lender and/or any Investor such other documentation, including any amendments, corrections, deletions, or additions
to this Master Agreement or other Loan Document(s) as is reasonably required by Lender or such Investor.

 

(d)          Limitations
on Further Acts of Borrower.

 

Nothing in Section
5.02(b) (Further Assurances) or Section 5.02(c) (Sale of Advances) shall require Borrower to do any further act that has the effect
of changing the economic terms, imposing on Borrower or Guarantor greater personal liability, or materially changing the rights
and obligations of Borrower or Guarantor, under the Loan Documents, except as may be required to correct patent mistakes or defects.

 

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(e)          Financing
Statements; Record Searches.

 

(1)         Borrower
shall pay all costs and expenses associated with:

 

(A)         any
filing or recording of any financing statements, including all continuation statements, termination statements, and amendments
or any other filings related to security interests in or liens on collateral; and

 

(B)         any
record searches for financing statements that Lender may require.

 

(2)         Borrower
hereby authorizes Lender to file any financing statements, continuation statements, termination statements, and amendments (including
an “all assets” or “all personal property” collateral description or words of similar import) in form and
substance as Lender may require in order to protect and preserve Lender’s lien priority and security interest in any Mortgaged
Property (and to the extent Lender has filed any such financing statements, continuation statements, or amendments prior to the
applicable Effective Date, such filings by Lender are hereby authorized and ratified by Borrower).

 

(f)          Loan
Document Taxes.

 

Borrower shall pay,
on demand, any transfer taxes, documentary taxes, assessments, or charges made by any Governmental Authority in connection with
the execution, delivery, recordation, filing, registration, perfection, or enforcement of any of the Loan Documents or the Advances.

 

(g)          Date-Down
Endorsements.

 

In connection with
a Collateral Event, and at any time and from time to time that Lender has reason to believe that an additional lien may encumber
any Mortgaged Property or in order to protect Lender’s interest in the Collateral, Lender may obtain, at Borrower’s
cost, an endorsement to the Title Policy for each Mortgaged Property, amending the effective date of such Title Policy to the date
of the title search performed in connection with the endorsement.

 

Section 5.03           Administrative
Matters Regarding Advances.

 

(a)          Determination
of Allocable Facility Amount and Valuations.

 

(1)         Initial
Determinations.

 

On the Initial
Effective Date, Lender shall determine (A) the Allocable Facility Amount and Valuation for each Initial Mortgaged Property, and
(B) the Aggregate Debt Service Coverage Ratio and the Aggregate Loan to Value Ratio. Changes in Allocable Facility Amount, Valuations,
the Aggregate Debt Service Coverage Ratio, and the Aggregate Loan to Value Ratio shall be made pursuant to Section 5.03(a)(2) (Subsequent
Monitoring Determinations).

 

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(2)         Subsequent
Monitoring Determinations.

 

(A)         Once
each Calendar Quarter, within twenty (20) Business Days after Borrower has delivered to Lender the reports required in Section
8.02 (Books and Records; Financial Reporting – Covenants), Lender shall determine the Aggregate Debt Service Coverage Ratio,
and the Aggregate Loan to Value Ratio set forth in the Loan Documents. At any time, Lender may redetermine Allocable Facility Amounts
and Valuations for the Multifamily Residential Properties if, in Lender’s reasonable judgment, changed market or property
conditions warrant such redetermination or any other event has occurred that invalidates the outstanding determination. In connection
with all Collateral Events (including any Borrow Up) occurring after the First Anniversary, Lender shall redetermine Allocable
Facility Amounts and Valuations upon receipt of a Request for a Collateral Event and immediately upon closing such Collateral Event,
in each case to take account of such Collateral Event.

 

(B)         Lender
shall promptly disclose its determinations to Borrower. Until redetermined, the outstanding Allocable Facility Amounts and Valuations
shall remain in effect. Upon receipt by Borrower of any such new determinations by Lender, Borrower shall promptly acknowledge
such receipt.

 

Notwithstanding
anything in this Master Agreement to the contrary, no change in Allocable Facility Amounts, Valuations, the Aggregate Loan to Value
Ratio, or the Aggregate Debt Service Coverage Ratio shall (i) result in a Potential Event of Default or Event of Default, (ii)
require the prepayment of any Advance in whole or in part, or (iii) require the addition of Collateral to the Collateral Pool.

 

ARTICLE
6

PROPERTY USE, PRESERVATION, AND MAINTENANCE

 

Section 6.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 6.01 (Property Use, Preservation and Maintenance – Representations
and Warranties) are made as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations
and Warranties Schedule.

 

(a)          Compliance
with Law; Permits and Licenses.

 

(1)         To
Borrower’s knowledge, all improvements to the Land and the use of the Mortgaged Properties comply with all Applicable Law,
including all applicable statutes, rules, and regulations pertaining to requirements for equal opportunity, anti-discrimination,
fair housing, and rent control, and Borrower has no knowledge of any action or proceeding (or threatened action or proceeding)
regarding noncompliance or nonconformity with any of the foregoing.

 

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(2)         To
Borrower’s knowledge, there is no evidence of any illegal activities on the Mortgaged Properties.

 

(3)         To
Borrower’s knowledge, no permits or approvals from any Governmental Authority, other than those previously obtained and furnished
to Lender, are necessary for the commencement and completion of the Repairs or Replacements, as applicable, other than those permits
or approvals which will be timely obtained in the ordinary course of business.

 

(4)         All
required permits, licenses, and certificates to comply with all Applicable Law, and for the lawful use and operation of the Mortgaged
Properties, including certificates of occupancy, apartment licenses, or the equivalent, have been obtained and are in full force
and effect.

 

(5)         No
portion of any Mortgaged Property has been purchased with the proceeds of any illegal activity.

 

(b)          Property
Characteristics.

 

No part of the Land
is included or assessed under or as part of another tax lot or parcel, and no part of any other property is included or assessed
under or as part of the tax lot or parcels for the Land.

 

(c)          Property
Ownership.

 

Borrower is the sole
owner or ground lessee of the Mortgaged Property. If any Mortgaged Property is a condominium, Borrower is and shall be subject
to the representations and covenants specific to such Mortgaged Property and attached to the Loan Documents.

 

(d)          Condition
of the Mortgaged Property.

 

Borrower represents
that:

 

(1)         Borrower
has not made any claims, and to Borrower’s knowledge, no claims have been made, against any contractor, engineer, architect,
or other party with respect to the construction or condition of any Mortgaged Property or the existence of any structural or other
material defect therein;

 

(2)         except
with respect to a Release Mortgaged Property that is the subject of a Release Request, no Mortgaged Property has sustained any
damage other than damage which has been fully repaired, or is fully insured and is being repaired in the ordinary course of business;
and

 

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(3)         except
as disclosed in any third party report delivered to Lender prior to the date on which any Mortgaged Property is added to the Collateral
Pool, to the knowledge of Borrower, the Mortgaged Properties are in good condition, order, and repair, and there exist no structural
or other material defects in any Mortgaged Property (whether patent, latent, or otherwise), and Borrower has not received notice
from any insurance company or bonding company of any defects or inadequacies in any Mortgaged Property, or any part of it, which
would adversely affect the insurability of such Mortgaged Property or cause the imposition of extraordinary premiums or charges
for insurance or of any termination or threatened termination of any policy of insurance or bond.

 

(e)          Personal
Property.

 

Borrower owns (or,
to the extent disclosed on the Exceptions to Representation and Warranties Schedule, leases) all of the Personal Property and all
of the Personalty (as defined in the UCC) that is material to and is used in connection with the management, ownership, and operation
of its respective Mortgaged Property.

 

Section 6.02           Covenants.

 

(a)          Use
of Property.

 

From and after the
Effective Date, Borrower shall not, unless required by Applicable Law or Governmental Authority:

 

(1)         change
the use of all or any part of its Mortgaged Property;

 

(2)         convert
any individual dwelling units or common areas to commercial use, or convert any common area or commercial use to individual dwelling
units without Lender’s prior written consent;

 

(3)         initiate
or acquiesce in a change in the zoning classification of the Land;

 

(4)         establish
any condominium or cooperative regime with respect to its Mortgaged Property;

 

(5)         subdivide
the Land; or

 

(6)         suffer,
permit, or initiate the joint assessment of any Mortgaged Property with any other real property constituting a tax lot separate
from such Mortgaged Property which could cause the part of the Land to be included or assessed under or as part of another tax
lot or parcel, or any part of any other property to be included or assessed under or as part of the tax lot or parcels for the
Land.

 

(b)          Property
Maintenance.

 

Borrower shall:

 

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(1)         pay
the expenses of operating, managing, maintaining, and repairing its Mortgaged Property (including insurance premiums, utilities,
Repairs, and Replacements) before the last date upon which each such payment may be made without any penalty or interest charge
being added;

 

(2)         keep
its Mortgaged Property in good repair and marketable condition (ordinary wear and tear excepted) (including the replacement of
Personalty and Fixtures with items of equal or better function and quality) and subject to Section 9.03(b)(3) (Application of Proceeds
on Event of Loss) and Section 10.03(d) (Preservation of Mortgaged Property) restore or repair promptly, in a good and workmanlike
manner, any damaged part of such Mortgaged Property to the equivalent of its original condition or condition immediately prior
to the damage (if improved after the Effective Date), whether or not any insurance proceeds or amounts received in connection with
a Condemnation Action are available to cover any costs of such restoration or repair;

 

(3)         commence
all Required Repairs, Additional Lender Repairs, and Additional Lender Replacements as follows:

 

(A)         with
respect to any Required Repairs, promptly following the Effective Date (subject to Force Majeure, if applicable), in accordance
with the timelines set forth on the Required Repair Schedule, or if no timelines are provided, as soon as practical following the
Effective Date;

 

(B)         with
respect to Additional Lender Repairs, in the event that Lender determines that Additional Lender Repairs are necessary from time
to time or pursuant to Section 6.03 (Administration Matters Regarding the Property), promptly following Lender’s written
notice of such Additional Lender Repairs (subject to Force Majeure, if applicable), commence any such Additional Lender Repairs
in accordance with Lender’s timelines, or if no timelines are provided, as soon as practical;

 

(C)         with
respect to Additional Lender Replacements, in the event that Lender determines that Additional Lender Replacements are necessary
from time to time or pursuant to Section 6.03 (Administration Matters Regarding the Property), promptly following Lender’s
written notice of such Additional Lender Replacements (subject to Force Majeure, if applicable), commence any such Additional Lender
Replacements in accordance with Lender’s timelines, or if no timelines are provided, as soon as practical;

 

(4)         make,
construct, install, diligently perform, and complete all Replacements, Repairs, and any other work permitted under the Loan Documents:

 

(A)         in
a good and workmanlike manner as soon as practicable following the commencement thereof, free and clear of any Liens, including
mechanics’ or materialmen’s liens and encumbrances (except Permitted Encumbrances and mechanics’ or materialmen’s
liens which attach automatically under the laws of any Governmental Authority upon the commencement of any work upon, or delivery
of any materials to, the Mortgaged Property and for which Borrower is not delinquent in the payment for any such work or materials);

 

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(B)         in
accordance with all Applicable Law;

 

(C)         in
accordance with all applicable insurance and bonding requirements; and

 

(D)         within
all timeframes required by Lender, and Borrower acknowledges that it shall be an Event of Default if Borrower abandons or ceases
work on any Repair at any time prior to the completion of the Repairs for a period of longer than twenty (20) days (except
when Force Majeure exists and Borrower is diligently pursuing the reinstitution of such work, provided, however, any such abandonment
or cessation shall not in any event allow the Repair to be completed after the Completion Period, subject to Force Majeure);

 

(5)         subject
to the terms of Section 6.03(a) (Property Management), provide for professional management of the Mortgaged Property by a residential
rental property manager satisfactory to Lender under a contract approved by Lender in writing;

 

(6)         give
written notice to Lender of, and, unless otherwise directed in writing by Lender, appear in and defend any action or proceeding
purporting to affect any Mortgaged Property, Lender’s security for the Advances, or Lender’s rights under this Master
Agreement; and

 

(7)         upon
Lender’s written request, submit to Lender any contracts or work orders described in Section 13.02 (Administration Matters
Regarding Reserves).

 

(c)          Property
Preservation.

 

Borrower shall:

 

(1)         not
commit waste or abandon or (ordinary wear and tear excepted) permit impairment or deterioration of any Mortgaged Property;

 

(2)         subject
to the provisions of Section 6.02(f) (Alterations to any Mortgaged Property), not (nor permit any other Person to) demolish, make
any change in the unit mix, otherwise alter any Mortgaged Property or any part of any Mortgaged Property , or remove any Personalty
or Fixtures from the Mortgaged Property, except for: (A) alterations required in connection with Repairs and Replacements; or (B)
the replacement of tangible Personalty or Fixtures, provided (i) such Personalty or Fixtures are replaced with items of equal or
better function and quality, and (ii) such replacement does not result in any disruption in occupancy (other than in connection
with the routine re-leasing of units);

 

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(3)         not
engage in or knowingly permit, and shall take appropriate measures to prevent and abate or cease and desist, any illegal activities
at any Mortgaged Property that could endanger tenants or visitors, result in damage to such Mortgaged Property, result in forfeiture
of the Land or otherwise materially impair the lien created by the Security Instrument or Lender’s interest in such Mortgaged
Property;

 

(4)         not
permit any condition to exist on any Mortgaged Property that would invalidate any part of any insurance coverage required by this
Master Agreement; or

 

(5)         not
subject any Mortgaged Property to any voluntary, elective, or non-compulsory tax lien or assessment (or opt in to any voluntary,
elective, or non-compulsory special tax district or similar regime).

 

(d)          Property
Inspections.

 

Borrower shall:

 

(1)         permit
Lender, its agents, representatives, and designees to enter upon and inspect the Mortgaged Properties (including in connection
with any Replacement or Repair or to conduct any Environmental Inspection pursuant to the Environmental Indemnity Agreement), and
shall cooperate and provide access to all areas of the Mortgaged Properties (subject to the rights of tenants under the Leases):

 

(A)         during
normal business hours;

 

(B)         at
such other reasonable time upon reasonable notice of not less than one (1) Business Day;

 

(C)         at
any time when exigent circumstances exist; or

 

(D)         at
any time after an Event of Default has occurred and is continuing; and

 

(2)         pay
for reasonable costs or expenses incurred by Lender or its agents in connection with any such inspections.

 

(e)          Compliance
with Laws.

 

Borrower shall:

 

(1)         comply
in all material respects with Applicable Law and all recorded lawful covenants and agreements relating to or affecting any Mortgaged
Property, including all laws, ordinances, statutes, rules and regulations, and covenants pertaining to construction of improvements
on the Land, fair housing, and requirements for equal opportunity, anti-discrimination, and Leases;

 

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(2)         procure
and maintain all required permits, licenses, charters, registrations, and certificates necessary to comply with all zoning and
land use statutes, laws, ordinances, rules and regulations, and all applicable health, fire, safety, and building codes and for
the lawful use and operation of each Mortgaged Property, including certificates of occupancy, apartment licenses, or the equivalent;

 

(3)         comply
with all Applicable Law that pertain to the maintenance and disposition of tenant security deposits;

 

(4)         at
all times maintain records sufficient to demonstrate compliance with the provisions of this Section 6.02(e) (Compliance with Laws);

 

(5)         promptly
after receipt or notification thereof, provide Lender copies of any building code or zoning violation from any Governmental Authority
with respect to any Mortgaged Property; and

 

(6)         cooperate
fully with Lender with respect to any proceedings before any court, board, or other Governmental Authority which may in any way
affect the rights of Lender hereunder or any rights obtained by Lender under any of the other Loan Documents and, in connection
therewith, permit Lender, at its election, to participate in any such proceedings.

 

(f)          Alterations
to any Mortgaged Property.

 

No alteration, improvement,
demolition, removal, or construction (collectively, “Alterations”) shall be made to any Mortgaged Property without
the prior written consent of Lender if:

 

(1)         such
Alteration could reasonably be expected to adversely affect the value of such Mortgaged Property or its operation as a Multifamily
Residential Property in substantially the same manner in which it is being operated on the date such property became Collateral;

 

(2)         the
construction of such Alteration could reasonably be expected to result in interference to the occupancy of tenants of such Mortgaged
Property such that tenants in occupancy with respect to five percent (5%) or more of the tenants under the Leases would be
displaced or permitted to terminate their Leases or to abate the payment of all or any portion of their rent; or

 

(3)         such
Alteration will be completed in more than twelve (12) months from the date of commencement or in the last year of the Term
of this Master Agreement.

 

In addition, Borrower
must obtain Lender’s prior written consent to construct Alterations with respect to any Mortgaged Property costing in excess
of, with respect to any Mortgaged Property, the number of units in such Mortgaged Property multiplied by $5,000, but in any event,
costs in excess of $250,000, Borrower must give prior written notice to Lender of its intent to construct Alterations at any time
with respect to any Mortgaged Property costing in excess of $100,000; provided, however, that the preceding requirements shall
not be applicable to Alterations made, conducted, or undertaken by Borrower as part of Borrower’s routine maintenance and
repair of the Mortgaged Properties as required by the Loan Documents (including any Repair or Replacement).

 

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Section 6.03           Administration
Matters Regarding the Property.

 

(a)          Property
Management.

 

From and after the
Effective Date, each property manager and each property management agreement must be approved by Lender. In the event that the
Management Agreement expires or is terminated (without limiting any obligation of Borrower to obtain Lender’s consent to
any termination or modification of the Management Agreement in accordance with the terms and provisions of the Loan Documents),
Borrower shall promptly enter into a replacement management agreement consented to in writing by Lender with a property manager
that is approved in advance by Lender in writing. If Lender waives in writing the requirement that Borrower enter into a written
contract for management of a Mortgaged Property, and Borrower later elects to enter into a written contract or change the management
of such Mortgaged Property, such new property manager or the property management agreement must be approved by Lender. As a condition
to any approval by Lender, Lender may require that Borrower and such new property manager enter into a collateral assignment of
the property management agreement on a form approved by Lender.

 

(b)          Subordination
of Fees to Affiliated Property Managers.

 

Any property manager
that is a Borrower Affiliate to whom fees are payable for the management of a Mortgaged Property must enter into an assignment
of management agreement or other agreement with Lender, in a form approved by Lender, providing for subordination of those fees
and such other provisions as Lender may require.

 

(c)          Property
Condition Assessment.

 

If, in connection with
any inspection of any Mortgaged Property, Lender determines that the condition of such Mortgaged Property has deteriorated (ordinary
wear and tear excepted) since the Effective Date that such Mortgaged Property was added to the Collateral Pool, Lender may obtain,
at Borrower’s expense, a property condition assessment of each Mortgaged Property. Lender’s right to obtain a property
condition assessment pursuant to this Section 6.03(c) (Property Condition Assessment) shall be in addition to any other rights
available to Lender under this Master Agreement in connection with any such deterioration. Any such inspection or property condition
assessment may result in Lender requiring Additional Lender Repairs or Additional Lender Replacements as further described in Section
13.02(a)(9)(B) (Additional Lender Replacements and Additional Lender Repairs).

 

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ARTICLE
7

LEASES AND RENTS

 

Section 7.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 7.01 (Leases and Rents – Representations and Warranties) are made
as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

(a)          Prior
Assignment of Rents.

 

Borrower has not executed
any:

 

(1)         prior
assignment of Rents (other than an assignment of Rents securing prior indebtedness that has been paid off and discharged or will
be paid off and discharged with the proceeds of the Initial Advance or a Future Advance); or

 

(2)         instrument
which would prevent Lender from exercising its rights under this Master Agreement or the Security Instrument.

 

(b)          Prepaid
Rents.

 

Borrower has not accepted,
and does not expect to receive prepayment of, any Rents for more than two (2) months prior to the due dates of such Rents.

 

Section 7.02           Covenants.

 

(a)          Leases.

 

Borrower shall:

 

(1)         comply
with and observe Borrower’s obligations under all Leases, including Borrower’s obligations pertaining to the maintenance
and disposition of tenant security deposits;

 

(2)         surrender
possession of the applicable Mortgaged Property, including all Leases and all security deposits and prepaid Rents, immediately
upon appointment of a receiver or Lender’s entry upon and taking of possession and control of such Mortgaged Property, as
applicable;

 

(3)         require
that all Residential Leases have initial lease terms of not less than six (6) months and not more than twenty-four (24) months
(notwithstanding the foregoing, Residential Leases with initial
terms of less than six (6) months, but not less than one (1) month, shall be permitted for up to ten percent (10%) of the units
at the Mortgaged Property without Lender’s consent; however, if customary in the applicable market for properties
comparable to the applicable Mortgaged Property, more than ten
percent (10%) of the Residential Leases with terms of less than six (6) months (but in no case less than one (1) month)
may be permitted with Lender’s prior written consent); and

 

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(4)         promptly
provide Lender a copy of any non-Residential Lease at the time such Lease is executed (subject to Lender’s consent rights
for Material Commercial Leases in Section 7.02(b) (Commercial Leases)), and, upon Lender’s written request, promptly provide
Lender a copy of any Residential Lease then in effect.

 

(b)          Commercial
Leases.

 

(1)         With
respect to Material Commercial Leases, Borrower shall not:

 

(A)         enter
into any Material Commercial Lease except with the prior written consent of Lender; or

 

(B)         modify
the terms of, extend, or terminate any Material Commercial Lease (including any Material Commercial Lease in existence on the Effective
Date) without the prior written consent of Lender.

 

(2)         With
respect to any non-Material Commercial Lease, Borrower shall not:

 

(A)         enter
into any non-Material Commercial Lease that materially alters the use and type of operation of the premises subject to the Lease
in effect as of the Effective Date or reduces the number or size of residential units at a Mortgaged Property; or

 

(B)         modify
the terms of any non-Material Commercial Lease (including any non-Material Commercial Lease in existence on the Effective Date)
in any way that materially alters the use and type of operation of the premises subject to such non-Material Commercial Lease in
effect as of the Effective Date, reduces the number or size of residential units at a Mortgaged Property, or results in such non-Material
Commercial Lease being deemed a Material Commercial Lease.

 

(3)         With
respect to any Material Commercial Lease or non-Material Commercial Lease, Borrower shall cause the applicable tenant to provide
within ten (10) days after a request by Borrower, a certificate of estoppel, or if not provided by tenant within such ten (10)
day period, Borrower shall provide such certificate of estoppel, certifying:

 

(A)         that
such Material Commercial Lease or non-Material Commercial Lease is unmodified and in full force and effect (or if there have been
modifications, that such Material Commercial Lease or non-Material Commercial Lease is in full force and effect as modified and
stating the modifications);

 

(B)         the
term of the Lease including any extensions thereto;

 

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(C)         the
dates to which the Rent and any other charges hereunder have been paid by tenant;

 

(D)         the
amount of any security deposit delivered to Borrower as landlord;

 

(E)         whether
or not Borrower is in default (or whether any event or condition exists which, with the passage of time, would constitute an event
of default) under such Lease;

 

(F)         the
address to which notices to tenant should be sent; and

 

(G)         any
other information as may be reasonably required by Lender.

 

(c)          Payment
of Rents.

 

Borrower shall:

 

(1)         pay
to Lender upon demand all Rents after an Event of Default has occurred and is continuing;

 

(2)         cooperate
with Lender’s efforts in connection with the assignment of Rents set forth in the Security Instrument; and

 

(3)         not
accept Rent under any Lease (whether a Residential Lease or a non-Residential Lease) for more than two (2) months in advance.

 

(d)          Assignment
of Rents.

 

Borrower shall not:

 

(1)         perform
any acts nor execute any instrument that would prevent Lender from exercising its rights under the assignment of Rents granted
in the Security Instrument or in any other Loan Document; nor

 

(2)         interfere
with Lender’s collection of such Rents.

 

(e)          Further
Assignments of Leases and Rents.

 

Borrower shall execute
and deliver any further assignments of Leases and Rents as Lender may reasonably require.

 

(f)          Options
to Purchase by Tenants.

 

No Lease (whether a
Residential Lease or a non-Residential Lease) shall contain an option to purchase, right of first refusal to purchase or right
of first offer to purchase, except as required by Applicable Law.

 

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Section 7.03           Administration
Regarding Leases and Rents.

 

(a)          Material
Commercial Lease Requirements.

 

Each Material Commercial
Lease, including any renewal or extension of any Material Commercial Lease in existence as of the Effective Date, shall provide,
directly or pursuant to a subordination, non-disturbance and attornment agreement approved by Lender, that:

 

(1)         the
tenant shall, upon written notice from Lender after the occurrence of an Event of Default, pay all Rents payable under such Lease
to Lender;

 

(2)         such
Lease and all rights of the tenant thereunder are expressly subordinate to the lien of the Security Instrument;

 

(3)         the
tenant shall attorn to Lender and any purchaser at a Foreclosure Event (such attornment to be self-executing and effective upon
acquisition of title to the Mortgaged Property by any purchaser at a Foreclosure Event or by Lender in any manner);

 

(4)         the
tenant agrees to execute such further evidences of attornment as Lender or any purchaser at a Foreclosure Event may from time to
time request; and

 

(5)         such
Lease shall not terminate as a result of a Foreclosure Event unless Lender or any other purchaser at such Foreclosure Event affirmatively
elects to terminate such Lease pursuant to the terms of the subordination, non-disturbance and attornment agreement.

 

(b)          Residential
Lease Form.

 

All Residential Leases
entered into from and after the Effective Date shall be on forms approved by Lender.

 

ARTICLE
8

BOOKS AND RECORDS; FINANCIAL REPORTING

 

Section 8.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 8.01 (Books and Records; Financial Reporting – Representations
and Warranties) are made as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations
and Warranties Schedule.

 

(a)          Financial
Information.

 

All financial statements
and data, including statements of cash flow and income and operating expenses, that have been delivered to Lender in respect of
the Mortgaged Properties:

 

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(1)         are
true, complete, and correct in all material respects; and

 

(2)         accurately
represent the financial condition of the Mortgaged Properties and present fairly the financial condition of Borrower and Guarantor.

 

(b)          No
Change in Facts or Circumstances.

 

All information in
the Loan Application and in all financial statements, rent rolls, reports, certificates, and other documents submitted in connection
with the Loan Application are complete and accurate in all material respects. There has been no material adverse change in any
fact or circumstance that would make any such information incomplete or inaccurate.

 

Section 8.02           Covenants.

 

(a)          Obligation
to Maintain Accurate Books and Records; Access; Discussions with Officers and Accountants.

 

(1)         Borrower
shall keep and maintain at all times at the Mortgaged Property or the property management agent’s offices or Borrower’s
General Business Address and, upon Lender’s written request, shall make available at the Land:

 

(A)         complete
and accurate books of account and records (including copies of supporting bills and invoices) adequate to reflect correctly the
operation of the Mortgaged Property; and

 

(B)         copies
of all written contracts, Leases and other instruments that affect Borrower or the Mortgaged Property.

 

(2)         To
the extent permitted by Applicable Law and subject to the provisions of Section 6.02(d) (Property Inspections), Borrower shall
permit Lender to:

 

(A)         inspect,
make copies and abstracts of, and have reviewed, such of Borrower’s books and records as may relate to the obligations of
Borrower under this Master Agreement and the other Loan Documents or the Mortgaged Properties;

 

(B)         at
any time discuss Borrower’s affairs, finances, and accounts with Senior Management or property managers and independent public
accountants;

 

(C)         discuss
the Mortgaged Properties’ conditions, operation, or maintenance with the Property Manager, the officers, and employees of
Borrower, Guarantor, and Key Principal; and

 

(D)         receive
any other information that Lender reasonably deems necessary or relevant in connection with any Loan Document or the obligations
of Borrower under this Master Agreement from the officers and employees of such Borrower.

 

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(3)         Borrower
shall promptly inform Lender in writing of:

 

(A)         the
occurrence of any act, omission, change, or event that has, or would have, a Material Adverse Effect, subsequent to the date of
the most recent financial statements of Borrower delivered to Lender pursuant to Section 8.02 (Books and Records; Financial Reporting
– Covenants); and

 

(B)         any
material change in Borrower’s accounting policies or financial reporting practices.

 

(b)          Items
to Furnish to Lender.

 

Borrower shall furnish
to Lender the following, certified as true, complete, and accurate, in all material respects, by an individual having authority
to bind Borrower (or Guarantor, as applicable), in such form and with such detail as Lender reasonably requires:

 

(1)         within
forty-five (45) days after the end of each Calendar Quarter, a statement of income and expenses for Borrower, Guarantor, and
Key Principal, including Borrower’s operation of the Mortgaged Property on a Calendar Quarter basis as of the end of each
Calendar Quarter;

 

(2)         within
one hundred twenty (120) days after the end of each Calendar Year:

 

(A)         for
any Borrower that is an entity, a statement of income and expenses and a statement of cash flows for such Calendar Year;

 

(B)         for
any Borrower that is an individual, or a trust established for estate-planning purposes, a personal financial statement for such
Calendar Year;

 

(C)         when
requested in writing by Lender, balance sheet(s) showing all assets and liabilities of Borrower and a statement of all contingent
liabilities as of the end of such Calendar Year;

 

(D)         if
an energy consumption metric for the Mortgaged Property is required to be reported to any Governmental Authority, the Fannie Mae
Energy Performance Metrics report, as generated by ENERGY STAR® Portfolio Manager, for the Mortgaged Property for such Calendar
Year, which report must include the ENERGY STAR score, the Source Energy Use Intensity (EUI), the month and year ending period
for such ENERGY STAR score and such Source Energy Use Intensity, and the ENERGY STAR Portfolio Manager Property Identification
Number; provided that, if the Governmental Authority does not require the use of ENERGY STAR Portfolio Manager for the reporting
of the energy consumption metric and Borrower does not use ENERGY STAR Portfolio Manager, then Borrower shall furnish to Lender
the Source Energy Use Intensity for the Mortgaged Property for such Calendar Year;

 

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(E)         an
Annual Certification (Borrower) in the form attached as Exhibit G;

 

(F)         an
Annual Certification (Guarantor) in the form attached as Exhibit H;

 

(G)         an
accounting of all security deposits held pursuant to all Leases, including the name of the institution (if any) and the names and
identification numbers of the accounts (if any) in which such security deposits are held and the name of the person to contact
at such financial institution, along with any authority or release necessary for Lender to access information regarding such accounts;

 

(H)         written
confirmation of:

 

(i)          any
changes occurring since the Effective Date (or that no such changes have occurred since the Effective Date) in (1) the direct owners
of Borrower, (2) the indirect owners (and any non-member managers) of Borrower that Control Borrower or own a Restricted Ownership
Interest in Borrower (excluding any Publicly-Held Corporations or Publicly-Held Trusts), or (3) the indirect owners of Borrower
that hold twenty-five percent (25%) or more of the Ownership Interests in Borrower (excluding any Publicly-Held Corporations
or Publicly-Held Trusts), and their respective interests;

 

(ii)         the
names of all officers and directors of (1) any Borrower which is a corporation, (2) any corporation which is a general partner
of any Borrower which is a partnership, or (3) any corporation which is the managing member or non-member manager of any Borrower
which is a limited liability company; and

 

(iii)        the
names of all managers who are not members of (1) any Borrower which is a limited liability company, (2) any limited liability company
which is a general partner of any Borrower which is a partnership, or (3) any limited liability company which is the managing member
or non-member manager of any Borrower which is a limited liability company;

 

(I)         if
not already provided pursuant to Section 8.02(b)(2)(A) (Items to Furnish to Lender) above, a statement of income and expenses for
Borrower’s operation of the Mortgaged Property on a year-to-date basis as of the end of each Calendar Year;

 

(3)         within
forty-five (45) days after the end of each Calendar Quarter, and at any other time upon Lender’s written request, a
rent schedule for the Mortgaged Property showing the name of each tenant and for each tenant, the space occupied, the lease expiration
date, the rent payable for the current month, the date through which rent has been paid, and any related information requested
by Lender;

 

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(4)         upon
Lender’s written request (but, absent an Event of Default, no more frequently than once in any six (6) month period):

 

(A)         any
item described in Section 8.02(b)(1) or Section 8.02(b)(2) (Items to Furnish to Lender) for Borrower, certified as true, complete,
and accurate by an individual having authority to bind Borrower;

 

(B)         a
property management or leasing report for the Mortgaged Property, showing the number of rental applications received from tenants
or prospective tenants and deposits received from tenants or prospective tenants, and any other information requested by Lender;

 

(C)         a
statement of income and expenses for Borrower’s operation of the Mortgaged Property on a year-to-date basis as of the end
of each month for such period as requested by Lender, which statement shall be delivered within thirty (30) days after the
end of such month requested by Lender;

 

(D)         a
statement of real estate owned directly or indirectly by Borrower and Guarantor for such period as requested by Lender, which statement
shall be delivered within thirty (30) days after the end of such month requested by Lender; and

 

(E)         for
any Guarantor, by the later of thirty (30) days after the date requested by Lender and the date one hundred twenty (120)
days after the end of the most recent Calendar Year:

 

(i)          that
is an entity, a statement of income and expenses and a statement of cash flows for such calendar year;

 

(ii)         that
is an individual, or a trust established for estate-planning purposes, a personal financial statement for such calendar year; and

 

(iii)        balance
sheet(s) showing all assets and liabilities of Guarantor and a statement of all contingent liabilities as of the end of such calendar
year; and

 

(F)         a
statement that identifies:

 

(i)          the
direct owners of Borrower and their respective interests;

 

(ii)         the
indirect owners (and any non-member managers) of Borrower that Control Borrower or own a Restricted Ownership Interest in Borrower
(excluding any Publicly-Held Corporations or Publicly-Held Trusts) and their respective interests; and

 

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(iii)        the
indirect owners of Borrower that hold twenty-five percent (25%) or more of the Ownership Interests in Borrower (excluding
any Publicly-Held Corporations or Publicly-Held Trusts) and their respective interests; and

 

(5)         Borrower
shall furnish to Lender within one hundred twenty (120) days after the end of each Calendar Year, or upon Lender’s written
request, an Officer’s Certificate stating whether or not Borrower and SPE Owner, if applicable, are in compliance with the
covenants set forth in Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status) and, if not in compliance,
setting forth the particulars of such noncompliance and the steps that Borrower and SPE Owner (as applicable) have taken, are taking
or intend to take to cure such noncompliance.

 

(c)          Audited
Financials.

 

In the event Borrower
or Guarantor receives or obtains any audited financial statements and such financial statements are required to be delivered to
Lender under Section 8.02(b) (Items to Furnish to Lender), Borrower shall deliver or cause to be delivered to Lender the audited
versions of such financial statements.

 

(d)          Delivery
of Books and Records.

 

If an Event of Default
has occurred and is continuing, Borrower shall deliver to Lender, upon written demand, all books and records relating to the Mortgaged
Property or its operation.

 

Section 8.03         Administration
Matters Regarding Books and Records and Financial Reporting.

 

(a)          Lender’s
Right to Obtain Audited Books and Records.

 

Lender may require
that Borrower’s or Guarantor’s books and records be audited, at Borrower’s expense, by an independent certified
public accountant selected by Lender in order to produce or audit any statements, schedules, and reports of Borrower, Guarantor,
or the Mortgaged Property required by Section 8.02 (Books and Records; Financial Reporting – Covenants), if

 

(1)         Borrower
or Guarantor fails to provide in a timely manner the statements, schedules, and reports required by Section 8.02 (Books and Records;
Financial Reporting – Covenants) and, thereafter, Borrower or Guarantor fails to provide such statements, schedules and reports
within the cure period provided in Section 14.01(c) (Events of Default Subject to Extended Cure Period or Release);

 

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(2)         the
statements, schedules, and reports submitted to Lender pursuant to Section 8.02 (Books and Records; Financial Reporting –
Covenants) are not full, complete, and accurate in all material respects as determined by Lender and, thereafter, Borrower or Guarantor
fails to provide such statements, schedules, and reports within the cure period provided in Section 14.01(c) (Events of Default
Subject to Extended Cure Period or Release); or

 

(3)         an
Event of Default has occurred and is continuing.

 

Notwithstanding the
foregoing, the ability of Lender to require the delivery of audited financial statements shall be limited to not more than once
per Borrower’s fiscal year so long as no Event of Default has occurred during such fiscal year (or any event which, with
the giving of written notice or the passage of time, or both, would constitute an Event of Default has occurred and is continuing).
Borrower shall cooperate with Lender in order to satisfy the provisions of this Section 8.03(a) (Lender’s Right to Obtain
Audited Books and Records). All related costs and expenses of Lender shall become due and payable by Borrower within ten (10)
Business Days after demand therefor.

 

(b)          Credit
Reports; Credit Score.

 

No more often than
once in any twelve (12) month period, Lender is authorized to obtain a credit report (if applicable) on Borrower or Guarantor,
the cost of which report shall be paid by Borrower. Lender is authorized to obtain a Credit Score (if applicable) for Borrower
or Guarantor at any time at Lender’s expense.

 

ARTICLE
9

INSURANCE

 

Section 9.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 9.01 (Insurance – Representations and Warranties) are made as of
each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

(a)          Compliance
with Insurance Requirements.

 

Borrower is in compliance
with Lender’s insurance requirements (or has obtained a written waiver from Lender for any non-compliant coverage) and has
timely paid all premiums on all required insurance policies. With respect to each Mortgaged Property, Borrower has delivered to
Lender certificates of insurance and duplicate original Insurance Policies currently in effect as of the date such Mortgaged Property
was added to the Collateral Pool.

 

(b)          Property
Condition.

 

(1)         No
Mortgaged Property has been damaged by fire, water, wind, or other cause of loss; or

 

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(2)         if
previously damaged, any previous damage to any Mortgaged Property has been repaired and such Mortgaged Property has been fully
restored.

 

Section 9.02           Covenants.

 

(a)          Insurance
Requirements.

 

As required by Lender
and Applicable Law, and as may be modified from time to time, Borrower shall:

 

(1)         keep
the Improvements insured at all times against any hazards, which insurance shall include coverage against loss by fire and all
other perils insured by the “special causes of loss” coverage form, general boiler and machinery coverage, business
income coverage, and flood (if any of the Improvements are located in an area identified by the Federal Emergency Management Agency
(or any successor) as an area having special flood hazards and to the extent flood insurance is available in that area), and may
include sinkhole insurance, mine subsidence insurance, earthquake insurance, terrorism insurance, windstorm insurance and, if any
Mortgaged Property does not conform to applicable building, zoning, or land use laws, ordinance and law coverage;

 

(2)         maintain
at all times commercial general liability insurance, workmen’s compensation insurance, and such other liability, errors and
omissions, and fidelity insurance coverage; and

 

(3)         maintain
builder’s risk and public liability insurance, and other insurance in connection with completing the Repairs or Replacements,
as applicable.

 

(b)          Delivery
of Policies, Renewals, Notices, and Proceeds.

 

Borrower shall:

 

(1)         cause
all insurance policies (including any policies not otherwise required by Lender) which can be endorsed with standard non-contributing,
non-reporting mortgagee clauses making loss payable to Lender (or Lender’s assigns) to be so endorsed;

 

(2)         promptly
deliver to Lender a copy of all renewal and other notices received by Borrower with respect to the policies and all receipts for
paid premiums;

 

(3)         deliver
evidence, in form and content acceptable to Lender, that each Insurance Policy under this Article 9 (Insurance) has been renewed
not less than fifteen (15) days prior to the applicable expiration date, and (if such evidence is other than an original or
duplicate original of a renewal policy) deliver the original or duplicate original of each renewal policy (or such other evidence
of insurance as may be required by or acceptable to Lender) in form and content acceptable to Lender within ninety (90) days
after the applicable expiration date of the original Insurance Policy;

 

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(4)         provide
immediate written notice to the insurance company and to Lender of any event of loss;

 

(5)         execute
such further evidence of assignment of any insurance proceeds as Lender may require; and

 

(6)         provide
immediate written notice to Lender of Borrower’s receipt of any insurance proceeds under any Insurance Policy required by
Section 9.02(a)(1) (Insurance Requirements) above and, if requested by Lender, deliver to Lender all of such proceeds received
by Borrower to be applied by Lender in accordance with this Article 9 (Insurance).

 

Section 9.03           Administration
Matters Regarding Insurance.

 

(a)          Lender’s
Ongoing Insurance Requirements.

 

Borrower acknowledges
that Lender’s insurance requirements may change from time to time. All insurance policies and renewals of insurance policies
required by this Master Agreement shall be:

 

(1)         in
the form and with the terms required by Lender;

 

(2)         in
such amounts, with such maximum deductibles and for such periods required by Lender; and

 

(3)         issued
by insurance companies satisfactory to Lender.

 

BORROWER ACKNOWLEDGES
THAT ANY FAILURE OF BORROWER TO COMPLY WITH THE REQUIREMENTS SET FORTH IN Section
9.02(a) (Insurance Requirements) OR Section 9.02(b) (Delivery of Policies, Renewals,
Notices, and Proceeds) ABOVE SHALL PERMIT LENDER TO PURCHASE THE APPLICABLE INSURANCE AT BORROWER’S COST. SUCH INSURANCE
MAY, BUT NEED NOT, PROTECT BORROWER’S INTERESTS. THE COVERAGE THAT LENDER PURCHASES MAY NOT PAY ANY CLAIM THAT BORROWER MAKES
OR ANY CLAIM THAT IS MADE AGAINST BORROWER IN CONNECTION WITH ANY Mortgaged Property. IF
LENDER PURCHASES INSURANCE FOR ANY Mortgaged Property AS PERMITTED HEREUNDER, BORROWER WILL BE RESPONSIBLE FOR THE COSTS
OF THAT INSURANCE, INCLUDING INTEREST AT THE DEFAULT RATE AND ANY OTHER CHARGES LENDER MAY IMPOSE IN CONNECTION WITH THE PLACEMENT
OF THE INSURANCE UNTIL THE EFFECTIVE DATE OF THE CANCELLATION OR THE EXPIRATION OF THE INSURANCE. THE COSTS OF THE INSURANCE SHALL
BE ADDED TO BORROWER’S TOTAL OUTSTANDING BALANCE OR OBLIGATION AND SHALL CONSTITUTE ADDITIONAL INDEBTEDNESS. THE COSTS OF
THE INSURANCE MAY BE MORE THAN THE COST OF INSURANCE BORROWER MAY BE ABLE TO OBTAIN ON ITS OWN. BORROWER MAY LATER CANCEL ANY INSURANCE
PURCHASED BY LENDER, BUT ONLY AFTER PROVIDING EVIDENCE THAT BORROWER HAS OBTAINED INSURANCE AS REQUIRED BY THIS MASTER AGREEMENT
AND THE OTHER LOAN DOCUMENTS.

 

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(b)          Application
of Proceeds on Event of Loss.

 

(1)         Upon
an event of loss, Lender may, at Lender’s option:

 

(A)         hold
such proceeds to be applied to reimburse Borrower for the cost of Restoration (in accordance with Lender’s then-current policies
relating to the restoration of casualty damage on similar multifamily residential properties); or

 

(B)         apply
such proceeds to the payment of the Indebtedness, whether or not then due; provided, however, Lender shall not apply insurance
proceeds to the payment of the Indebtedness and shall require Restoration pursuant to Section 9.03(b)(1)(A) (Application of Proceeds
on Event of Loss) if all of the following conditions are met:

 

(i)          no
Potential Event of Default or Event of Default has occurred and is continuing;

 

(ii)         Lender
determines that the combination of insurance proceeds and amounts provided by Borrower will be sufficient funds to complete the
Restoration;

 

(iii)        Lender
determines that after completion of the Restoration (1) the Net Cash Flow from the applicable Mortgaged Property will be sufficient
to support the Debt Service Coverage Ratio set forth in the definition of Individual Property Coverage and LTV Tests (on a pro
forma basis), and (2) the Loan to Value Ratio of such Mortgaged Property will be no greater than the Loan to Value Ratio immediately
prior to the event of loss, but in no event greater than ninety percent (90%);

 

(iv)        Lender
determines that the Restoration will be completed before the earlier of (1) one year before the latest Maturity Date of any Advance
Outstanding, or (2) one year after the date of the loss or casualty; and

 

(v)         Borrower
provides Lender, upon written request, evidence of the availability during and after the Restoration of the insurance required
to be maintained by Borrower pursuant to this Master Agreement.

 

After the completion of Restoration
in accordance with the above requirements, as determined by Lender, the balance, if any, of such proceeds shall be returned to
Borrower.

 

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(2)         Notwithstanding
the foregoing, if any loss is estimated to be in an amount equal to or less than $100,000, Lender shall not exercise its rights
and remedies as power-of-attorney herein and shall allow Borrower to make proof of loss, to adjust and compromise any claims under
policies of property damage insurance, to appear in and prosecute any action arising from such policies of property damage insurance,
and to collect and receive the proceeds of property damage insurance; provided that each of the following conditions shall be satisfied:

 

(A)         Borrower
shall immediately notify Lender of the casualty giving rise to the claim;

 

(B)         no
Potential Event of Default or Event of Default has occurred and is continuing;

 

(C)         the
Restoration will be completed before the earlier of (i) one year before the Termination Date, or (ii) one year after the date of
the loss or casualty;

 

(D)         Lender
determines that the combination of insurance proceeds and amounts provided by Borrower will be sufficient funds to complete the
Restoration;

 

(E)         all
proceeds of property damage insurance shall be issued in the form of joint checks to Borrower and Lender;

 

(F)         all
proceeds of property damage insurance shall be applied to the Restoration;

 

(G)         Borrower
shall deliver to Lender evidence satisfactory to Lender of completion of the Restoration and obtainment of all lien releases;

 

(H)         Borrower
shall have complied to Lender’s satisfaction with the foregoing requirements on any prior claims subject to this provision,
if any; and

 

(I)         Lender
shall have the right to inspect the applicable Mortgaged Property (subject to the rights of tenants under the Leases).

 

(3)         If
Lender elects to apply insurance proceeds to the Indebtedness in accordance with the terms of this Master Agreement, Borrower shall
not be obligated to restore or repair the applicable Mortgaged Property. Rather, Borrower shall restrict access to the damaged
portion of such Mortgaged Property and, at its expense and regardless of whether such costs are covered by insurance, clean up
any debris resulting from the casualty event, and, if required or otherwise permitted by Lender, demolish or raze any remaining
part of the damaged Mortgaged Property to the extent necessary to keep and maintain the Mortgaged Property in a safe, habitable
and marketable condition. Nothing in this Section 9.03(b) (Application of Proceeds on Event of Loss) shall affect any of Lender’s
remedial rights against Borrower in connection with a breach by Borrower of any of its obligations under this Master Agreement
or under any Loan Document, including any failure to timely pay Monthly Debt Service Payments or maintain the insurance coverage(s)
required by this Master Agreement.

 

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(c)          Payment
Obligations Unaffected.

 

The application of
any insurance proceeds to the Indebtedness shall not extend or postpone the Maturity Date, or the due date or the full payment
of any Monthly Debt Service Payment, Monthly Replacement Reserve Deposit, or any other installments referred to in this Master
Agreement or in any other Loan Document. Notwithstanding the foregoing, if Lender applies insurance proceeds to the Indebtedness
in connection with a casualty of less than an entire Mortgaged Property, then Lender shall permit an adjustment to the Monthly
Debt Service Payments that become due and owing thereafter, based on the Underwriting and Servicing Requirements.

 

(d)          Foreclosure
Sale.

 

If a Mortgaged Property
is transferred pursuant to a Foreclosure Event or Lender otherwise acquires title to a Mortgaged Property, Borrower acknowledges
that Lender shall automatically succeed to all rights of Borrower in and to any insurance policies and unearned insurance premiums
applicable to such Mortgaged Property and in and to the proceeds resulting from any damage to such Mortgaged Property prior to
such Foreclosure Event or such acquisition.

 

(e)          Appointment
of Lender as Attorney-In-Fact.

 

Borrower hereby authorizes
and appoints Lender as attorney-in-fact pursuant to Section 14.03(c) (Appointment of Lender as Attorney-In-Fact).

 

ARTICLE
10

CONDEMNATION

 

Section 10.01         Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 10.01 (Condemnation – Representations and Warranties) are made
as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

(a)          Prior
Condemnation Action.

 

No part of any Mortgaged
Property has been taken in connection with a Condemnation Action.

 

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(b)          Pending
Condemnation Actions.

 

Except with respect
to a Release Mortgaged Property that is the subject of a Release Request, no Condemnation Action is pending nor, to Borrower’s
knowledge, is threatened for the partial or total condemnation or taking of any Mortgaged Property.

 

Section 10.02         Covenants.

 

(a)          Notice
of Condemnation.

 

Borrower shall:

 

(1)         promptly
notify Lender of any Condemnation Action of which Borrower has knowledge;

 

(2)         appear
in and prosecute or defend, at its own cost and expense, any action or proceeding relating to any Condemnation Action, including
any defense of Lender’s interest in any Mortgaged Property tendered to Borrower by Lender, unless otherwise directed by Lender
in writing; and

 

(3)         execute
such further evidence of assignment of any condemnation award in connection with a Condemnation Action as Lender may require.

 

(b)          Condemnation
Proceeds.

 

Borrower shall pay
to Lender all awards or proceeds of a Condemnation Action promptly upon receipt.

 

Section 10.03         Administration
Matters Regarding Condemnation.

 

(a)          Application
of Condemnation Awards.

 

Lender may apply any
awards or proceeds of a Condemnation Action, after the deduction of Lender’s expenses incurred in the collection of such
amounts, to:

 

(1)         the
restoration or repair of the applicable Mortgaged Property, if applicable;

 

(2)         the
payment of the Indebtedness, with the balance, if any, paid to Borrower; or

 

(3)         Borrower.

 

(b)          Payment
Obligations Unaffected.

 

The application of
any awards or proceeds of a Condemnation Action to the Indebtedness shall not extend or postpone any Maturity Date, or the due
date or the full payment of any Monthly Debt Service Payment, Monthly Replacement Reserve Deposit, or any other installments referred
to in this Master Agreement or in any other Loan Document.

 

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(c)          Appointment
of Lender as Attorney-In-Fact.

 

Borrower hereby authorizes
and appoints Lender as attorney-in-fact pursuant to Section 14.03(c) (Appointment of Lender as Attorney-In-Fact).

 

(d)          Preservation
of Mortgaged Property.

 

If a Condemnation Action
results in or from damage to any Mortgaged Property and Lender elects to apply the proceeds or awards from such Condemnation Action
to the Indebtedness in accordance with the terms of this Master Agreement, Borrower shall not be obligated to restore or repair
such Mortgaged Property. Rather, Borrower shall restrict access to any portion of the Mortgaged Property which has been damaged
or destroyed in connection with such Condemnation Action and, at Borrower’s expense and regardless of whether such costs
are covered by insurance, clean up any debris resulting in or from the Condemnation Action, and, if required by any Governmental
Authority or otherwise permitted by Lender, demolish or raze any remaining part of the damaged Mortgaged Property to the extent
necessary to keep and maintain the Mortgaged Property in a safe, habitable, and marketable condition. Nothing in this Section
10.03(d) (Preservation of Mortgaged Property) shall affect any of Lender’s remedial rights against Borrower in connection
with a breach by Borrower of any of its obligations under this Master Agreement or under any Loan Document, including any failure
to timely pay Monthly Debt Service Payments or maintain the insurance coverage(s) required by this Master Agreement.

 

ARTICLE
11

LIENS, TRANSFERS, AND ASSUMPTIONS

 

Section 11.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 11.01 (Liens, Transfers, and Assumptions – Representations and
Warranties) are made as of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations
and Warranties Schedule.

 

(a)          No
Labor or Materialmen’s Claims.

 

All parties furnishing
labor and materials on behalf of Borrower have been paid in full. There are no mechanics’ or materialmen’s liens (whether
filed or unfiled) outstanding for work, labor, or materials (and no claims or work outstanding that under Applicable Law could
give rise to any such mechanics’ or materialmen’s liens) affecting any Mortgaged Property, whether prior to, equal
with, or subordinate to the lien of the Security Instrument.

 

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(b)          No
Other Interests.

 

No Person:

 

(1)         other
than Borrower has any possessory ownership or interest in any Mortgaged Property or right to occupy the same except under and pursuant
to the provisions of existing Leases, the material terms of all such Leases having been previously disclosed in writing to Lender;
nor

 

(2)         has
an option, right of first refusal, or right of first offer (except as required by Applicable Law) to purchase any Mortgaged Property,
or any interest in any Mortgaged Property.

 

Section 11.02           Covenants.

 

(a)          Liens;
Encumbrances.

 

Borrower shall not
permit the grant, creation, or existence of any Lien, whether voluntary, involuntary, or by operation of law, on all or any portion
of any Mortgaged Property (including any voluntary, elective, or non-compulsory tax lien or assessment pursuant to a voluntary,
elective, or non-compulsory special tax district or similar regime) other than:

 

(1)         Permitted
Encumbrances;

 

(2)         the
creation of:

 

(A)         any
tax lien, municipal lien, utility lien, mechanics’ lien, materialmen’s lien, or judgment lien against any Mortgaged
Property if bonded off, released of record, or otherwise remedied to Lender’s satisfaction within sixty (60) days after
the earlier of the date Borrower has actual notice or constructive notice of the existence of such lien; or

 

(B)         any
mechanics’ or materialmen’s liens which attach automatically under the laws of any Governmental Authority upon the
commencement of any work upon, or delivery of any materials to, any Mortgaged Property and for which Borrower is not delinquent
in the payment for any such work or materials; and

 

(3)         the
lien created by the Loan Documents.

 

(b)          Transfers.

 

(1)         Mortgaged
Property.

 

A Transfer
as described in clause (b) of the definition of Transfer of all or any part of any Mortgaged Property (including any interest in
any Mortgaged Property) shall not occur other than:

 

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(A)         a
Transfer to which Lender has consented in writing;

 

(B)         Leases
permitted pursuant to the Loan Documents;

 

(C)         [reserved];

 

(D)         a
Transfer of obsolete or worn out Personalty or Fixtures that are contemporaneously replaced by items of equal or better function
and quality which are free of Liens (other than those created by the Loan Documents);

 

(E)         the
grant of an easement, servitude, or restrictive covenant to which Lender has consented, and Borrower has paid to Lender, upon
demand, all costs and expenses incurred by Lender in connection with reviewing Borrower’s request including reasonable attorney’s
fees and the Review Fee. Notwithstanding the foregoing, Borrower
shall be permitted to grant an easement over the Mortgaged Property to a publicly operated or private franchise utility where
(a) such easement is between Borrower and the utility, (b) the granting of such easement does not affect Borrower’s access
to the Mortgaged Property or the use of any easements or amenities which benefit the Mortgaged Property, (c) the granting of such
easement does not result in the loss of the use of any units, (d) the granting of such easement could not reasonably be expected
to have a Material Adverse Effect, or does not result in an effect on the health or safety of the tenants under any Residential
Leases, that is adverse in any meaningful way, and (e) the consideration paid to Borrower (which consideration may be retained
by Borrower as provided in the following sentence), after deducting Borrower’s costs and expenses incurred in connection
with the granting of such easement, is less than $250 per individual dwelling unit. Prior to the granting of an easement described
in the immediately preceding sentence, Borrower shall (x) provide Lender with copies of the utility easement, for Lender’s
review and approval, which approval shall not be unreasonably withheld, conditioned or delayed, and, (y) deliver evidence reasonably
satisfactory to Lender that conditions in subsections (a) through (e) have been met. So long as no Event of Default exists, any
compensation received from the easement holder shall be paid: first, to cover the expenses of recording the easement; second,
to reimburse or pay Lender’s out of pocket expenses incurred by Lender in connection with its review of the easement in
accordance with this Section 11.02(b)(1)(E); third, if applicable, to pay the cost to repair or restore any portion of the Mortgaged
Property damaged as a result of the exercise of the rights granted by easement holder, to the extent not paid directly by such
easement holder, and fourth, to Borrower for its own account; provided, that in the event any compensation to be retained by the
Borrower in accordance with this provision exceeds $250 per dwelling unit (after deducting Borrower’s costs and expenses
incurred in connection with the granting of such easement), such amounts shall be deposited in the Replacement Reserve Account;

 

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(F)         a
lien permitted pursuant to Section 11.02 (Liens, Transfers, and Assumptions – Covenants) of this Master Agreement; or

 

(G)         the
conveyance of any Mortgaged Property following a Foreclosure Event.

 

(2)         No
Transfers of Interests in Borrower, Key Principal, or Guarantor.

 

Subject to
the provisions of this Article 11 (Liens, Transfers, and Assumptions), a Transfer as described in clause (a) of the definition
of Transfer, a Change of Control, or a Transfer of the Restricted Ownership Interest shall not occur.

 

Notwithstanding the restrictions
on Control and Restricted Ownership Interests, or anything in Section 11.02(d) to the contrary, if a Publicly-Held Corporation
or a Publicly-Held Trust Controls Borrower, Key Principal, or Guarantor (or is the Key Principal or Guarantor), or owns a direct
or indirect Restricted Ownership Interest in Borrower, Key Principal, or Guarantor, a Transfer of any ownership interests in such
Publicly-Held Corporation or Publicly-Held Trust (including, but not limited to, the issuance of preferred stock by such Publicly-Held
Corporation or Publicly Held Trust that entitles the holder to a dividend and a liquidation preference that takes priority over
the common stock of such Publicly-Held Corporation or Publicly Held Trust (and the commensurate issuance of preferred limited partnership
interests in any operating partnership of such Publicly-Held Corporation or Publicly Held Trust), so long as Control of such Publicly-Held
Corporation or Publicly-Held Trust remains the same after such issuance and at the time of such issuance no Person owns ten percent
(10%) or more of such issuance) shall not be prohibited under this Master Agreement as long as (i) such Transfer does not result
in a conversion of such Publicly-Held Corporation or Publicly-Held Trust to a privately held entity, and (ii) Borrower provides
written notice to Lender not later than thirty (30) days thereafter of any such Transfer that results in any Person owning
ten percent (10%) or more of the Ownership Interests in such Publicly-Held Corporation or Publicly-Held Trust.

 

(3)         Name
Change or Entity Conversion.

 

Lender shall
consent to a Borrower changing its name, changing its jurisdiction of organization, or converting from one type of legal entity
into another type of legal entity for any lawful purpose, provided that:

 

(A)         Lender
receives written notice at least thirty (30) days prior to such change or conversion, which notice shall include organizational
charts that reflect the structure of such Borrower both prior to and subsequent to such name change or entity conversion;

 

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(B)         such
Transfer is not otherwise prohibited under the provisions of Section 11.02(b)(2) (No Transfers of Interests in Borrower, Key Principal,
or Guarantor);

 

(C)         Borrower
executes an amendment to this Master Agreement and any other Loan Documents required by Lender documenting the name change or entity
conversion;

 

(D)         Borrower
agrees and acknowledges, at Borrower’s expense, that (i) Borrower will execute and record in the land records any instrument
required by the Property Jurisdiction to be recorded to evidence such name change or entity conversion (or provide Lender with
written confirmation from the title company (via electronic mail or letter) that no such instrument is required), (ii) Borrower
will execute any additional documents required by Lender, including the amendment to this Master Agreement, and allow such documents
to be recorded or filed in the land records of the Property Jurisdiction, (iii) Lender will obtain a “date down” endorsement
to the Lender’s Title Policy (or obtain a new Title Policy if a “date down” endorsement is not available in the
Property Jurisdiction), evidencing title to the Mortgaged Property being in the name of the successor entity and the Lien of the
Security Instrument against the Mortgaged Property, and (iv) Lender will file any required UCC-3 financing statement and make any
other filing deemed necessary to maintain the priority of its Liens on the Mortgaged Property; and

 

(E)         no
later than ten (10) days subsequent to such name change or entity conversion, Borrower shall provide Lender (i) the documentation
filed with the appropriate office in such Borrower’s state of formation evidencing such name change or entity conversion,
(ii) copies of the Organizational Documents of such Borrower, including any amendments, filed with the appropriate office in Borrower’s
state of formation reflecting the post-conversion Borrower name, form of organization, and structure, and (iii) if available, new
certificates of good standing or valid formation for such Borrower.

 

(4)         No
Delaware Statutory Trust or Series LLC Conversion.

 

Notwithstanding any provisions
herein to the contrary, no Borrower Entity shall convert to a Delaware Statutory Trust or a series limited liability company.

 

Notwithstanding
the foregoing, Borrower shall provide Lender prompt notice of any name change or entity conversion of any other Borrower Entity
or Identified Party.

 

(c)          No
Other Indebtedness.

 

Other than the Advances,
Borrower shall not incur or be obligated at any time with respect to any loan or other indebtedness (except trade payables as otherwise
permitted in this Master Agreement), including any indebtedness secured by a Lien on, or the cash flows from, the Mortgaged Property.

 

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(d)          No
Mezzanine Financing or Preferred Equity.

 

Neither Borrower nor
any direct or indirect owner of Borrower shall: (1) incur any Mezzanine Debt other than Permitted Mezzanine Debt; (2) issue any
Preferred Equity other than Permitted Preferred Equity; or (3) incur any similar indebtedness or issue any similar equity.

 

Section 11.03         Administration
Matters Regarding Liens, Transfers, and Assumptions.

 

(a)          Transfer
of Collateral Pool.

 

Lender shall consent
to a Transfer of the entire Collateral Pool (by deed conveyance of all Mortgaged Properties or transfers of the Ownership Interests
in all Borrowers or some combination of both) to and an assumption of the Loan Documents by a new borrower if each of the following
conditions is satisfied prior to the Transfer:

 

(1)         Borrower
has submitted to Lender all information required by Lender to make the determination required by this Section 11.03(a) (Transfer
of Collateral Pool);

 

(2)         no
Event of Default has occurred and is continuing, and no Potential Event of Default has occurred and is continuing;

 

(3)         Lender
determines that:

 

(A)         the
proposed new borrower, new key principal, and any other new guarantor fully satisfy all of Lender’s then-applicable borrower,
key principal, or guarantor eligibility, credit, management, and other loan underwriting standards, which shall include an analysis
of (i) the previous relationships between Lender and the proposed new borrower, new key principal, new guarantor, and any Person
in Control of them, and the organization of the new borrower, new key principal, and new guarantor (if applicable), and (ii) the
operating and financial performance of the Mortgaged Property, including physical condition and occupancy;

 

(B)         any
proposed new borrower complies with the SPE Requirements, and all entities Controlling Borrower comply with the SPE Requirements
(as applicable);

 

(C)         none
of the proposed new borrower, new key principal, and any new guarantor, or any owners of the proposed new borrower, new key principal,
and any new guarantor, are a Prohibited Person; and

 

(D)         none
of the proposed new borrower, new key principal, and any new guarantor (if any of such are entities) shall have an organizational
existence termination date that ends before the Termination Date;

 

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(4)         [reserved];

 

(5)         the
proposed new borrower has:

 

(A)         executed
an assumption agreement acceptable to Lender that, among other things, requires the proposed new borrower to assume and perform
all obligations of Borrower (or any other transferor), and that may require that the new borrower comply with any provisions of
any Loan Document which previously may have been waived by Lender for Borrower, subject to the terms of Section 11.03(g) (Further
Conditions on Transfers Requiring Lender’s Consent);

 

(B)         if
required by Lender, delivered to the Title Company for filing or recording in all applicable jurisdictions, all applicable Loan
Documents including the assumption agreement to correctly evidence the assumption and the confirmation, continuation, perfection,
and priority of the Liens created hereunder and under the other Loan Documents; and

 

(C)         delivered
to Lender a “date-down” endorsement to the Title Policy acceptable to Lender (or a new title insurance policy if a
“date-down” endorsement is not available);

 

(6)         one
or more individuals or entities acceptable to Lender as new guarantors have executed and delivered to Lender:

 

(A)         an
assumption agreement acceptable to Lender that requires the new guarantor to assume and perform all obligations of Guarantor under
any Guaranty given in connection with the Loan Documents; or

 

(B)         a
substitute Non-Recourse Guaranty and other substitute guaranty in a form acceptable to Lender;

 

(7)         Lender
has reviewed and approved the Transfer documents;

 

(8)         Lender
shall be the servicer of the Loan Documents;

 

(9)         Borrower
has satisfied the applicable provision of Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s Consent) including
Lender’s receipt of the fees described in Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s Consent);
and

 

(10)        if
any MBS is Outstanding, the Transfer shall not result in a “significant modification,” as defined under applicable
Treasury Regulations, of any Advance that has been securitized in an MBS.

 

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(b)          Permitted
Transfers of Ownership Interests.

 

Notwithstanding the
provisions of Section 11.02(b)(2) (No Transfers of Interests in Borrower, Key Principal, or Guarantor), the following Transfers
are permitted without the consent of Lender (“Permitted Transfers”):

 

(1)         a
Transfer of any direct or indirect Ownership Interest in Borrower, Guarantor, Key Principal, or any Identified Party; provided,
however, that no Change of Control and no Transfer of the Restricted Ownership Interest occurs as the result of such Transfer;

 

(2)         the
issuance by Borrower, Guarantor, Key Principal, or any Identified Party of additional membership interests, partnership interests,
or stock (including by creation of a new class or series of interests or stock), as the case may be, and the subsequent direct
or indirect Transfer of such interests or stock; provided, however, that no Change of Control and no Transfer of the Restricted
Ownership Interest occurs as the result of such Transfer;

 

(3)         a
merger with or acquisition of another entity by Key Principal or Guarantor, as applicable, provided that (A) such Key Principal
or Guarantor, as applicable, is the surviving entity after such merger or acquisition, (B) no Change of Control or Transfer of
the Restricted Ownership Interest occurs, and (C) such merger or acquisition does not result in an Event of Default;

 

(4)         a
Transfer of any direct or indirect Ownership Interest in Borrower or any Identified Party to a subsidiary of Guarantor or Key Principal,
provided that no Transfer of the Restricted Ownership Interest occurs; and

 

(5)         any
conversion of Key Principal or Guarantor from one type of entity to another type of entity or any amendment, modification, or any
other change in the governing instrument or instruments of Key Principal or Guarantor; provided, however, that

 

(A)         no
Change of Control occurs as a result of any such Transfer;

 

(B)         the
decision-making powers and rights of the board of directors of Key Principal and the board of directors of Guarantor are not eliminated,
materially impaired, or materially reduced as a result of such Transfer (provided, however, that the creation of new committees
of the board of directors of Key Principal or the board of directors of Guarantor that are delegated certain powers and authority
of the board of directors of Key Principal or the board of directors of Guarantor (as applicable) will not be deemed to be an elimination,
material impairment, or material reduction of the decision-making powers of the board of directors of Key Principal or the board
of directors of Guarantor, so long as the board of directors of Key Principal or the board of directors of Guarantor, as applicable,
Controls the composition of any such committee and has the right to rescind any such delegation); and

 

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(C)         the
board of directors of Key Principal and the board of directors of Guarantor continue to exist and Control the Key Principal or
Guarantor, as applicable.

 

If the conditions set forth in this Section
11.03(b) (Permitted Transfers of Ownership Interests) are satisfied, the Transfer Fee shall be waived provided Borrower shall pay
the Review Fee and out-of-pocket costs set forth in Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s
Consent).

 

(c)          Estate
Planning.

 

Notwithstanding the
provisions of Section 11.02(b)(2) (No Transfers of Interests in Borrower, Key Principal, or Guarantor), so long as (1) the Transfer
does not cause a Change of Control and (2) Key Principal and Guarantor, as applicable, maintain the same right and ability to Control
Borrower as existed prior to the Transfer, Lender shall consent to Transfers of direct or indirect Ownership Interests in Borrower,
and Transfers of direct or indirect Ownership Interests in an entity Key Principal or entity Guarantor to:

 

(A)         Immediate
Family Members of such transferor each of whom must have obtained the legal age of majority;

 

(B)         United
States domiciled trusts established for the benefit of the transferor or Immediate Family Members of the transferor; or

 

(C)         partnerships
or limited liability companies of which the partners or members, respectively, are comprised entirely of (i) such transferor and
Immediate Family Members (each of whom must have obtained the legal age of majority) of such transferor, (ii) all Immediate Family
Members (each of whom must have obtained the legal age of majority) of such transferor, or (iii) United States domiciled trusts
established for the benefit of the transferor or Immediate Family Members of the transferor.

 

If the conditions set forth in this Section
11.03(c) (Estate Planning) are satisfied, the Transfer Fee shall be waived provided Borrower shall pay the Review Fee and out-of-pocket
costs set forth in Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s Consent).

 

(d)          Termination
or Revocation of Trust.

 

If any of Borrower,
Guarantor, or Key Principal is a trust (other than a REIT), or if a Restricted Ownership Interest would be violated, or if Control
of Borrower, Guarantor, or Key Principal would be Transferred due to the termination or revocation of a trust, the termination
or revocation of such trust is an unpermitted Transfer; provided that the termination or revocation of the trust due to the death
of an individual trustor shall not be considered an unpermitted Transfer so long as:

 

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(1)         Lender
is notified within thirty (30) days of the death; and

 

(2)         such
Borrower, Guarantor, Key Principal, or other Person, as applicable, is replaced with an individual or entity acceptable to Lender,
in accordance with the provisions of Section 11.03(a) (Transfer of Collateral Pool) within ninety (90) days of the date of
the death causing the termination or revocation.

 

If the conditions set forth in this Section
11.03(d) (Termination or Revocation of Trust) are satisfied, the Transfer Fee shall be waived; provided Borrower shall pay the
Review Fee and out-of-pocket costs set forth in Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s Consent).

 

(e)          Death
of Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death.

 

(1)         If
a Key Principal or Guarantor that is a natural person dies, or if a Transfer of the Restricted Ownership Interest or a Change of
Control occurs as a result of the death of a Person (except in the case of trusts which is addressed in Section 11.03(d) (Termination
or Revocation of Trust)), Borrower must notify Lender in writing within ninety (90) days in the event of such death. Unless
waived in writing by Lender, the deceased shall be replaced by an individual or entity within one hundred eighty (180) days,
subject to Borrower’s satisfaction of the following conditions:

 

(A)         Borrower
has submitted to Lender all information required by Lender to make the determination required by this Section 11.03(e) (Death of
Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death);

 

(B)         Lender
determines that, if applicable:

 

(i)          any
proposed new key principal and any other new guarantor (or Person Controlling such new key principal or new guarantor) fully satisfies
all of Lender’s then-applicable key principal or guarantor eligibility, credit, management, and other loan underwriting standards
(including any standards with respect to previous relationships between Lender and the proposed new key principal and new guarantor
(or Person Controlling such new key principal or new guarantor) and the organization of the new key principal and new guarantor);

 

(ii)         none
of any proposed new key principal or any new guarantor, or any owners of the proposed new key principal or any new guarantor, is
a Prohibited Person; and

 

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(iii)        none
of any proposed new key principal or any new guarantor (if any of such are entities) shall have an organizational existence termination
date that ends before the Maturity Date; and

 

(C)         if
applicable, one or more individuals or entities acceptable to Lender as new guarantors have executed and delivered to Lender:

 

(i)          an
assumption agreement acceptable to Lender that requires the new guarantor to assume and perform all obligations of Guarantor under
any Guaranty given in connection with this Master Agreement; or

 

(ii)         a
substitute Non-Recourse Guaranty and other substitute guaranty in a form acceptable to Lender.

 

(2)         In
the event a replacement Key Principal, Guarantor, or other Person is required by Lender due to the death described in this Section
11.03(e) (Death of Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death), and such
replacement has not occurred within such period, the period for replacement may be extended by Lender to a date not more than one
year from the date of such death; however, Lender may require as a condition to any such extension that:

 

(A)         the
then-current property manager be replaced with a property manager reasonably acceptable to Lender (or if a property manager has
not been previously engaged, a property manager reasonably acceptable to Lender be engaged); or

 

(B)         a
lockbox agreement or similar cash management arrangement (with the property manager) reasonably acceptable to Lender during such
extended replacement period be instituted.

 

If the conditions set forth in this Section
11.03(e) (Death of Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death) are satisfied,
the Transfer Fee shall be waived, provided Borrower shall pay the Review Fee and out-of-pocket costs set forth in Section 11.03(g)
(Further Conditions on Transfers Requiring Lender’s Consent).

 

(f)          [Intentionally
Deleted.]

 

(g)          Further
Conditions on Transfers Requiring Lender’s Consent.

 

(1)         In
connection with any Transfer for which Lender’s approval is required under this Master Agreement including any Transfer under
Section 11.02(b)(1)(A) (Liens, Transfers, and Assumptions – Covenants – Transfers – Mortgaged Property) and Section
11.03(a) (Transfer of Collateral Pool), Lender may, as a condition to any such approval, require:

 

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(A)         additional
collateral, guaranties, or other credit support to mitigate any risks concerning the proposed transferee or the performance or
condition of any Mortgaged Property;

 

(B)         amendment
of the Loan Documents to delete or modify any specially negotiated terms or provisions previously granted for the exclusive benefit
of original Borrower, Key Principal, or Guarantor and to restore the original provisions of the standard Fannie Mae form multifamily
loan documents, to the extent such provisions were previously modified;

 

(C)         a
modification to the amounts required to be deposited into the Reserve/Escrow Account pursuant to the terms of Section 13.02(a)(3)(B)
(Adjustment of Deposits – Transfers);

 

(D)         in
connection with any assumption of the Loan Documents, after giving effect to the assumption, the provisions of the General Conditions
Schedule shall be satisfied;

 

(E)         delivery
to the Title Company for filing or recording in all applicable jurisdictions, all applicable Loan Documents including assumption
documents and any other appropriate documents in form and substance reasonably satisfactory to Lender in form proper for recordation
as may be necessary in the opinion of Lender to correctly evidence the assumptions and the confirmation of Liens created hereunder;
or

 

(F)         if
any MBS is Outstanding, the Transfer shall not result in a “significant modification,” as defined under applicable
Treasury Regulations, of any Advance that has been securitized in an MBS.

 

(2)         In
connection with any request by Borrower for consent to a Transfer, Borrower shall pay to Lender upon demand:

 

(A)         the
Transfer Fee (to the extent charged by Lender);

 

(B)         the
Review Fee (regardless of whether Lender approves or denies such request); and

 

(C)         all
of Lender’s out-of-pocket costs (including reasonable attorneys’ fees) incurred in reviewing the Transfer request,
regardless of whether Lender approves or denies such request.

 

(h)          Additional
Florida Mortgaged Property.

 

Upon satisfaction of
the terms and conditions of Section 2.02(c) (Making Advances) and Section 2.10(c) (Right to Add Additional Mortgaged Properties
As Collateral) of the Master Agreement in connection with the making of a Future Advance in connection with the Addition of an
Additional Mortgaged Property pursuant to Section 2.02(c) (Making Advances) of the Master Agreement, any Borrower that does not
own a Mortgaged Property on the Initial Effective Date is permitted to acquire, hold, own, lease, and manage a Multifamily Residential
Property (either in fee simple or as tenant under a ground lease meeting all of the Underwriting and Servicing Requirements) so
long as such Borrower adds such Mortgaged Property on the date of acquisition to the Collateral Pool as an Additional Mortgaged
Property.

 

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(i)          Additional
Permitted Transfers.

 

Upon satisfaction of the terms and conditions
of (1) Section 2.10(d) (Right to Substitutions) of this Master Agreement in connection with a Substitution, and/or (2) Section
2.10(c) (Right to Add Additional Mortgaged Properties As Collateral) of this Master Agreement in connection with any Addition,
Lender shall consent to the following Transfers: (a) the merger of the then current owner of a Multifamily Residential Property
into a current Borrower under this Master Agreement, (b) the Transfer of the membership interests in the Borrower surviving such
merger that is held by BRG FNMA Shelf Member, LLC, a Delaware limited liability company, immediately prior to the merger to a new
limited liability company that is directly or indirectly majority owned and Controlled by Bluerock Operating Partnership, and (c)
the concurrent replacement of BRG FNMA Shelf Manager, LLC a Delaware limited liability company, as the manager of the Borrower
surviving such merger with a new manager that is directly or indirectly majority owned and Controlled by Bluerock Operating Partnership,
provided that (i) such Borrower is the surviving entity after such merger and satisfies the representations, warranties, and requirements
of an Additional Borrower post-merger including Section 4.02(d)(17) (Borrower Status – Covenants – Single Purpose Status),
and (ii) no Change of Control or Transfer of the Restricted Ownership Interest occurs. Upon satisfaction of such terms and conditions,
the Transfer Fee and Review Fee shall be waived.

 

ARTICLE
12

IMPOSITIONS

 

Section 12.01           Representations
and Warranties.

 

The representations
and warranties made by Borrower to Lender in this Section 12.01 (Impositions – Representations and Warranties) are made as
of each Effective Date and are true and correct except as disclosed on the Exceptions to Representations and Warranties Schedule.

 

(a)          Payment
of Taxes, Assessments, and Other Charges.

 

Borrower has:

 

(1)         paid
(or with the approval of Lender, established an escrow fund sufficient to pay when due and payable) all amounts and charges relating
to the Mortgaged Properties that have become due and payable before any fine, penalty interest, lien, or costs may be added thereto,
including Impositions, leasehold payments, and ground rents;

 

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(2)         paid
all Taxes for the Mortgaged Properties that have become due before any fine, penalty interest, lien, or costs may be added thereto
pursuant to any notice of assessment received by Borrower and any and all taxes that have become due against Borrower before any
fine, penalty interest, lien, or costs may be added thereto;

 

(3)         no
knowledge of any basis for any additional assessments that are not disclosed in writing to Lender;

 

(4)         no
knowledge of any presently pending special assessments against all or any part of the Mortgaged Properties, or any presently pending
special assessments against Borrower; and

 

(5)         not
received any written notice of any contemplated special assessment against any Mortgaged Property, or any contemplated special
assessment against Borrower.

 

Section 12.02         Covenants.

 

(a)          Imposition
Deposits, Taxes, and Other Charges.

 

Borrower shall:

 

(1)         deposit
the Imposition Deposits with Lender on each Payment Date (or on another day designated in writing by Lender) in amount sufficient,
in Lender’s discretion, to enable Lender to pay each Imposition before the last date upon which such payment may be made
without any penalty or interest charge being added, plus an amount equal to no more than one-sixth (1/6) (or the amount permitted
by Applicable Law) of the Impositions for the trailing twelve (12) months (calculated based on the aggregate annual Imposition
costs divided by twelve (12) and multiplied by two (2));

 

(2)         deposit
with Lender, within ten (10) days after written notice from Lender (subject to Applicable Law), such additional amounts estimated
by Lender to be reasonably necessary to cure any deficiency in the amount of the Imposition Deposits held for payment of a specific
Imposition;

 

(3)         except
as set forth in Section 12.03(c) (Payment of Impositions; Sufficiency of Imposition Deposits) below, pay all Impositions, leasehold
payments, ground rents, and Taxes when due and before any fine, penalty interest, lien, or costs may be added thereto;

 

(4)         promptly
deliver to Lender a copy of all notices of, and invoices for, Impositions, and, if Borrower pays any Imposition directly, Borrower
shall promptly furnish to Lender receipts evidencing such payments; and

 

(5)         promptly
deliver to Lender a copy of all notices of any special assessments and contemplated special assessments against any Mortgaged Property
or Borrower.

 

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Section 12.03           Administration
Matters Regarding Impositions.

 

(a)          Maintenance
of Records by Lender.

 

Lender shall maintain
records of the monthly and aggregate Imposition Deposits held by Lender for the purpose of paying Taxes, insurance premiums, and
each other obligation of Borrower for which Imposition Deposits are required.

 

(b)          Imposition
Accounts.

 

All Imposition Deposits
shall be held in an institution (which may be Lender, if Lender is such an institution) whose deposits or accounts are insured
or guaranteed by a federal agency and which accounts meet the standards for custodial accounts as required by Lender from time
to time. Lender shall not be obligated to open additional accounts, or deposit Imposition Deposits in additional institutions,
when the amount of the Imposition Deposits exceeds the maximum amount of the federal deposit insurance or guaranty. No interest,
earnings, or profits on the Imposition Deposits shall be paid to Borrower unless Applicable Law so requires. Imposition Deposits
shall not be trust funds, nor shall they operate to reduce the Indebtedness, unless applied by Lender for that purpose in accordance
with this Master Agreement. For the purposes of §9-104(a)(3) of the UCC, Lender is the owner of the Imposition Deposits and
shall be deemed a “customer” with sole control of the account holding the Imposition Deposits.

 

(c)          Payment
of Impositions; Sufficiency of Imposition Deposits.

 

Lender may pay an Imposition
according to any bill, statement, or estimate from the appropriate public office or insurance company without inquiring into the
accuracy of the bill, statement, or estimate or into the validity of the Imposition. Imposition Deposits shall be required to be
used by Lender to pay Taxes, insurance premiums and any other individual Imposition only if:

 

(1)         no
Event of Default exists;

 

(2)         Borrower
has timely delivered to Lender all applicable bills or premium notices that it has received; and

 

(3)         sufficient
Imposition Deposits are held by Lender for each Imposition at the time such Imposition becomes due and payable.

 

Lender shall have no
liability to Borrower or any other Person for failing to pay any Imposition if any of the conditions are not satisfied. If at any
time the amount of the Imposition Deposits held for payment of a specific Imposition exceeds the amount reasonably deemed necessary
by Lender to be held in connection with such Imposition, the excess may be credited against future installments of Imposition Deposits
for such Imposition.

 

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(d)          Imposition
Deposits Upon Event of Default.

 

If an Event of Default
has occurred and is continuing, Lender may apply any Imposition Deposits, in such amount and in such order as Lender determines,
to pay any Impositions or as a credit against the Indebtedness.

 

(e)          Contesting
Impositions.

 

Other than insurance
premiums, Borrower may contest, at its expense, by appropriate legal proceedings, the amount or validity of any Imposition if:

 

(1)         Borrower
notifies Lender of the commencement or expected commencement of such proceedings;

 

(2)         Lender
determines that the applicable Mortgaged Property is not in danger of being sold or forfeited;

 

(3)         Borrower
deposits with Lender (or the applicable Governmental Authority if required by Applicable Law) reserves sufficient to pay the contested
Imposition, if required by Lender (or the applicable Governmental Authority);

 

(4)         Borrower
furnishes whatever additional security is required in the proceedings or is reasonably requested in writing by Lender; and

 

(5)         Borrower
commences, and at all times thereafter diligently prosecutes, such contest in good faith until a final determination is made by
the applicable Governmental Authority.

 

(f)          Release
to Borrower.

 

Upon payment in full
of all sums secured by the Security Instrument and this Master Agreement and release by Lender of the lien of the Security Instrument,
Lender shall disburse to Borrower the balance of any Imposition Deposits then on deposit with Lender.

 

ARTICLE
13

REPLACEMENT RESERVE AND REPAIRS

 

Section 13.01           Covenants.

 

(a)          Initial
Deposits to Replacement Reserve Account and Repairs Escrow Account.

 

On the Effective Date,
Borrower shall pay to Lender:

 

(1)         the
Initial Replacement Reserve Deposit for deposit into the Replacement Reserve Account; and

 

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(2)         the
Repairs Escrow Deposit for deposit into the Repairs Escrow Account.

 

(b)          Monthly
Replacement Reserve Deposits.

 

Borrower shall deposit
the applicable Monthly Replacement Reserve Deposit into the Replacement Reserve Account on each Payment Date.

 

(c)          Payment
for Replacements and Repairs.

 

Borrower shall:

 

(1)         pay
all invoices for the Replacements and Repairs, regardless of whether funds on deposit in the Replacement Reserve Account or the
Repairs Escrow Account, as applicable, are sufficient, prior to any request for disbursement from the Replacement Reserve Account
or the Repairs Escrow Account, as applicable (unless Lender has agreed to issue joint checks in connection with a particular Replacement
or Repair);

 

(2)         pay
all applicable fees and charges of any Governmental Authority on account of the Replacements and Repairs, as applicable; and

 

(3)         provide
evidence satisfactory to Lender of completion of the Replacements and any Required Repairs (within the Completion Period or within
such other period or by such other date set forth in the Required Repair Schedule and any Borrower Requested Repairs and Additional
Lender Repairs (by the date specified by Lender for any such Borrower Requested Repairs or Additional Lender Repairs)).

 

(d)          Assignment
of Contracts for Replacements and Repairs.

 

Borrower shall collaterally
assign to Lender as additional security any contract or subcontract for Replacements or Repairs, upon Lender’s written request,
on a form of assignment approved by Lender.

 

(e)          Indemnification.

 

If Lender elects to
exercise its rights under Section 14.03 (Additional Lender Rights; Forbearance) due to Borrower’s failure to timely commence
or complete any Replacements or Repairs, Borrower shall indemnify and hold Lender harmless for, from and against any and all actions,
suits, claims, demands, liabilities, losses, damages, obligations, and costs or expenses, including litigation costs and reasonable
attorneys’ fees, arising from or in any way connected with the performance by Lender of the Replacements or Repairs or investment
of the Reserve/Escrow Account Funds; provided that Borrower shall have no indemnity obligation for the actual costs of completing
such Replacement or Repairs, or if such actions, suits, claims, demands, liabilities, losses, damages, obligations, and costs or
expenses, including litigation costs and reasonable attorneys’ fees, arise as a result of the willful misconduct or gross
negligence of Lender, Lender’s agents, employees, or representatives as determined by a court of competent jurisdiction pursuant
to a final non-appealable court order.

 

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(f)          Amendments
to Loan Documents.

 

Subject to Section
5.02 (Advances – Covenants) Borrower shall execute and deliver to Lender, upon written request, an amendment to this Master
Agreement, the Security Instrument, any other Loan Document deemed necessary or desirable to perfect Lender’s lien upon any
portion of each Mortgaged Property for which Reserve/Escrow Account Funds were expended.

 

(g)          Administrative
Fees and Expenses.

 

Borrower shall pay
to Lender:

 

(1)         by
the date specified in the applicable invoice, the Repairs Escrow Account Administrative Fee and the Replacement Reserve Account
Administration Fee for Lender’s services in administering the Repairs Escrow Account and Replacement Reserve Account and
investing the funds on deposit in the Repairs Escrow Account and the Replacement Reserve Account, respectively;

 

(2)         upon
demand, a reasonable inspection fee, not exceeding the Maximum Inspection Fee, for each inspection of a Mortgaged Property by Lender
in connection with a Repair or Replacement, plus all other reasonable costs and out-of-pocket expenses relating to such inspections;
and

 

(3)         upon
demand, all reasonable fees charged by any engineer, architect, inspector or other person inspecting a Mortgaged Property on behalf
of Lender for each inspection of such Mortgaged Property in connection with a Repair or Replacement, plus all other reasonable
costs and out-of-pocket expenses relating to such inspections.

 

Section 13.02           Administration
Matters Regarding Reserves.

 

(a)          Accounts,
Deposits, and Disbursements.

 

(1)         Custodial
Accounts.

 

(A)         The
Replacement Reserve Account shall be an interest-bearing account that meets the standards for custodial accounts as required by
Lender from time to time. Lender shall not be responsible for any losses resulting from the investment of the Replacement Reserve
Deposits or for obtaining any specific level or percentage of earnings on such investment. All interest, if any, earned on the
Replacement Reserve Deposits shall be added to and become part of the Replacement Reserve Account; provided, however,
if Applicable Law requires, and so long as no Event of Default has occurred and is continuing under any of the Loan Documents,
Lender shall pay to Borrower the interest earned on the Replacement Reserve Account not less frequently than the Replacement Reserve
Account Interest Disbursement Frequency. In no event shall Lender be obligated to disburse funds from the Reserve/Escrow Account
if an Event of Default has occurred and is continuing.

 

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(B)         Lender
shall not be obligated to deposit the Repairs Escrow Deposits into an interest-bearing account.

 

(2)         Disbursements
by Lender Only.

 

Only Lender
or a designated representative of Lender may make disbursements from the Replacement Reserve Account and the Repairs Escrow Account.
Except as provided in Section 13.02(a)(7) (Conditions to Disbursement), disbursements shall only be made upon Borrower request
and after satisfaction of all conditions for disbursement.

 

(3)         Adjustment
to Deposits.

 

(A)         Mortgaged
Properties in Collateral Pool over Ten (10) Years.

 

If any Mortgaged
Property is part of the Collateral Pool for ten (10) years or more, a property condition assessment shall be ordered by Lender
for such Mortgaged Property at the expense of Borrower (which expense may be paid out of the Replacement Reserve Account if excess
funds are available). The property condition assessment shall be performed no earlier than the sixth (6th) month and no later
than the ninth (9th) month of the tenth (10th) year after such Mortgaged Property was added to the Collateral Pool (and
of the twentieth (20th) year if applicable). After review of the property condition assessment, the amount of the Monthly
Replacement Reserve Deposit may be adjusted by Lender for the remaining Facility Year by written notice to Borrower so that the
Monthly Replacement Reserve Deposits are sufficient to fund the Replacements as and when required and/or the amount to be held
in the Repairs Escrow Account may be adjusted by Lender so that the Repairs Escrow Deposit is sufficient to fund the Repairs as
and when required.

 

(B)         Transfers.

 

In connection
with any Transfer of any Mortgaged Property in connection with an assumption, or any Transfer of Ownership Interest(s) in a Borrower
Entity that requires Lender’s consent, Lender may review the amounts on deposit, if any, in the Replacement Reserve Account
or the Repairs Escrow Account, the amount of the Monthly Replacement Reserve Deposit for the applicable Mortgaged Property(ies)
and the likely repairs and replacements required by such Mortgaged Property(ies), and the related contingencies which may arise
during the remaining Term of this Master Agreement. Based upon that review, Lender may require an additional deposit to the Replacement
Reserve Account or the Repairs Escrow Account, or an increase in the amount of the Monthly Replacement Reserve Deposit as a condition
to Lender’s consent to such Transfer.

 

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(4)         Insufficient
Funds.

 

Lender may,
upon thirty (30) days’ prior written notice to Borrower, require an additional deposit(s) to the Replacement Reserve
Account or Repairs Escrow Account, or an increase in the amount of the Monthly Replacement Reserve Deposit, if Lender determines
that the amounts on deposit in either the Replacement Reserve Account or the Repairs Escrow Account are not sufficient to cover
the costs for Required Repairs or Required Replacements or, pursuant to the terms of Section 13.02(a)(9) (Replacements and Repairs
Other than Required Replacements or Required Repairs), not sufficient to cover the costs for Borrower Requested Repairs, Additional
Lender Repairs, Borrower Requested Replacements, or Additional Lender Replacements. Borrower’s agreement to complete the
Replacements or Repairs as required by this Master Agreement shall not be affected by the insufficiency of any balance in the Replacement
Reserve Account or the Repairs Escrow Account, as applicable.

 

(5)         Disbursements
for Replacements and Repairs.

 

(A)         Disbursement
requests may only be made after completion of the applicable Replacements and only to reimburse the applicable Borrower for the
actual approved costs of the Replacements. Lender shall not disburse from the Replacement Reserve Account the costs of routine
maintenance to any Mortgaged Property or for costs which are to be reimbursed from the Repairs Escrow Account or any similar account.
Disbursement from the Replacement Reserve Account shall not be made more frequently than the Maximum Replacement Reserve Disbursement
Interval for such Mortgaged Property. Other than in connection with a final request for disbursement, disbursements from the Replacement
Reserve Account shall not be less than the Minimum Replacement Reserve Disbursement Amount for such Mortgaged Property.

 

(B)         Disbursement
requests may only be made after completion of the applicable Repairs and only to reimburse the applicable Borrower for the actual
cost of the Repairs, up to the Maximum Repair Cost for such Mortgaged Property. Lender shall not disburse any amounts which would
cause the funds remaining in the Repairs Escrow Account after any disbursement (other than with respect to the final disbursement)
to be less than the Maximum Repair Cost of the then-current estimated cost of completing all remaining Repairs. Lender shall not
disburse from the Repairs Escrow Account the costs of routine maintenance to any Mortgaged Property or for costs which are to be
reimbursed from the Replacement Reserve Account or any similar account. Disbursement from the Repairs Escrow Account shall not
be made more frequently than the Maximum Repair Disbursement Interval. Other than in connection with a final request for disbursement,
disbursements from the Repairs Escrow Account shall not be less than the Minimum Repairs Disbursement Amount for such Mortgaged
Property.

 

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(6)         Disbursement
Requests.

 

Each request
by Borrower for disbursement from the Replacement Reserve Account or the Repairs Escrow Account must be in writing, must specify
the Replacement or Repair for which reimbursement is requested (provided that for any Borrower Requested Replacements, Borrower
Requested Repairs, Additional Lender Replacements and Additional Lender Repairs, Lender shall have approved the use of the Reserve/Escrow
Account Funds for such replacements or repairs pursuant to the terms of Section 13.02(a)(9) (Replacements and Repairs Other than
Required Replacements or Required Repairs)), and must:

 

(A)         if
applicable, specify the quantity and price of the items or materials purchased, grouped by type or category;

 

(B)         if
applicable, specify the cost of all contracted labor or other services involved in the Replacement or Repair for which such request
for disbursement is made;

 

(C)         if
applicable, include copies of invoices for all items or materials purchased and all contracted labor or services provided;

 

(D)         include
evidence of payment of such Replacement or Repair satisfactory to Lender (unless Lender has agreed to issue joint checks in connection
with a particular Repair or Replacement as provided in this Master Agreement); and

 

(E)         contain
a certification by Borrower that the Repair or Replacement has been completed lien free and in a good and workmanlike manner, in
accordance with any plans and specifications previously approved by Lender (if applicable) and in compliance with all Applicable
Law, and otherwise in accordance with the provisions of this Master Agreement.

 

(7)         Conditions
to Disbursement.

 

Lender may
require any or all of the following at the expense of Borrower as a condition to disbursement of funds from the Replacement Reserve
Account or the Repairs Escrow Account (provided that for any Borrower Requested Replacements, Borrower Requested Repairs, Additional
Lender Replacements, and Additional Lender Repairs, Lender shall have approved the use of the Reserve/Escrow Account Funds for
such replacements or repairs pursuant to the terms of Section 13.02(a)(9) (Replacements and Repairs Other than Required Replacements
or Required Repairs)):

 

(A)         an
inspection by Lender of the applicable Mortgaged Property and the applicable Replacement or Repair;

 

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(B)         an
inspection or certificate of completion by an appropriate independent qualified professional (such as an architect, engineer or
property inspector, depending on the nature of the Repair or Replacement) selected by Lender;

 

(C)         either:

 

(i)          a
search of title to the applicable Mortgaged Property effective to the date of disbursement; or

 

(ii)         a
“date-down” endorsement to Lender’s Title Policy (or a new Lender’s Title Policy if a “date-down”
is not available) extending the effective date of such policy to the date of disbursement, and showing no Liens other than (1)
Permitted Encumbrances, (2) liens which Borrower is diligently contesting in good faith that have been bonded off to the satisfaction
of Lender, or (3) mechanics’ or materialmen’s liens which attach automatically under the laws of any Governmental Authority
upon the commencement of any work upon, or delivery of any materials to, the Mortgaged Property and for which Borrower is not delinquent
in the payment for any such work or materials; and

 

(D)         an
acknowledgement of payment, waiver of claims, and release of lien for work performed and materials supplied from each contractor,
subcontractor or materialman in accordance with the requirements of Applicable Law and covering all work performed and materials
supplied (including equipment and fixtures) for the applicable Mortgaged Property by that contractor, subcontractor, or materialman
through the date covered by the disbursement request (or, in the event that payment to such contractor, subcontractor, or materialman
is to be made by a joint check, the release of lien shall be effective through the date covered by the previous disbursement).

 

(8)         Joint
Checks for Periodic Disbursements.

 

Lender may,
upon Borrower’s written request, issue joint checks, payable to Borrower and the applicable supplier, materialman, mechanic,
contractor, subcontractor or other similar party, if:

 

(A)         the
cost of the Replacement or Repair exceeds the Replacement Threshold or the Repair Threshold, as applicable, for such Mortgaged
Property and the contractor performing such Replacement or Repair requires periodic payments pursuant to the terms of the applicable
written contract;

 

(B)         the
contract for such Repair or Replacement requires payment upon completion of the applicable portion of the work;

 

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(C)         Borrower
makes the disbursement request after completion of the applicable portion of the work required to be completed under such contract;

 

(D)         the
materials for which the request for disbursement has been made are on site at the applicable Mortgaged Property and are properly
secured or installed;

 

(E)         Lender
determines that the remaining funds in the Replacement Reserve Account designated for such Replacement, or in the Repairs Escrow
Account designated for such Repair, as applicable, are sufficient to pay such costs and the then-current estimated cost of completing
all remaining Required Replacements or Required Repairs (at the Maximum Repair Cost), as applicable, and any other Borrower Requested
Replacements, Borrower Requested Repairs, Additional Lender Replacements, or Additional Lender Repairs that have been previously
approved by Lender;

 

(F)         each
supplier, materialman, mechanic, contractor, subcontractor, or other similar party receiving payments shall have provided, if requested
in writing by Lender, a waiver of liens with respect to amounts which have been previously paid to them; and

 

(G)         all
other conditions for disbursement have been satisfied.

 

(9)         Replacements
and Repairs Other than Required Replacements or Required Repairs.

 

(A)         Borrower
Requested Replacements and Borrower Requested Repairs.

 

Borrower may
submit a disbursement request from the Replacement Reserve Account or the Repairs Escrow Account to reimburse Borrower for any
Borrower Requested Replacement or Borrower Requested Repair. The disbursement request must be in writing and include an explanation
for such request. Lender shall make disbursements for Borrower Requested Replacements or Borrower Requested Repairs if:

 

(i)          they
are of the type intended to be covered by the Replacement Reserve Account or the Repairs Escrow Account, as applicable;

 

(ii)         the
costs are commercially reasonable;

 

(iii)        the
amount of funds in the Replacement Reserve Account or Repairs Escrow Account, as applicable, is sufficient to pay such costs and
the then-current estimated cost of completing all remaining Required Replacements or Required Repairs (at the Maximum Repair Cost),
as applicable, and any other Borrower Requested Replacements, Borrower Requested Repairs, Additional Lender Replacements or Additional
Lender Repairs that have been previously approved by Lender; and

 

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(iv)        all
conditions for disbursement from the Replacement Reserve Account or Repairs Escrow Account, as applicable, have been satisfied.

 

Nothing in
this Master Agreement shall limit Lender’s right to require an additional deposit to the Replacement Reserve Account or an
increase to the Monthly Replacement Reserve Deposit in connection with any such Borrower Requested Replacements, or an additional
deposit to the Repairs Escrow Account for any such Borrower Requested Repairs.

 

(B)         Additional
Lender Replacements and Additional Lender Repairs.

 

Lender may
require, as set forth in Section 6.02(b) (Property Maintenance), Section 6.03(c) (Property Condition Assessment), or otherwise
from time to time, upon written notice to Borrower, that Borrower make Additional Lender Replacements or Additional Lender Repairs.
Lender shall make disbursements from the Replacement Reserve Account for Additional Lender Replacements or from the Repairs Escrow
Account for Additional Lender Repairs, as applicable, if:

 

(i)          the
costs are commercially reasonable;

 

(ii)         the
amount of funds in the Replacement Reserve Account or the Repairs Escrow Account, as applicable, is sufficient to pay such costs
and the then-current estimated cost of completing all remaining Required Replacements or Required Repairs (at the Maximum Repair
Cost), as applicable, and any other Borrower Requested Replacements, Borrower Requested Repairs, Additional Lender Replacements
or Additional Lender Repairs that have been previously approved by Lender; and

 

(iii)        all
conditions for disbursement from the Replacement Reserve Account or Repairs Escrow Account, as applicable, have been satisfied.

 

Nothing in
this Master Agreement shall limit Lender’s right to require an additional deposit to the Replacement Reserve Account or an
increase to the Monthly Replacement Reserve Deposit for any such Additional Lender Replacements or an additional deposit to the
Repairs Escrow Account for any such Additional Lender Repair.

 

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(10)        Excess
Costs.

 

In the event
any Replacement or Repair exceeds the approved cost set forth on the Required Replacement Schedule for Replacements, or the Maximum
Repair Cost for Repairs, Borrower may submit a disbursement request to reimburse Borrower for such excess cost. The disbursement
request must be in writing and include an explanation for such request. Lender shall make disbursements from the Replacement Reserve
Account or the Repairs Escrow Account, as applicable, if:

 

(A)         the
excess cost is commercially reasonable;

 

(B)         the
amount of funds in the Replacement Reserve Account or the Repairs Escrow Account, as applicable, is sufficient to pay such costs
and the then-current estimated cost of completing all remaining Required Replacements or Required Repairs (at the Maximum Repair
Cost), as applicable, and any other Borrower Requested Replacements, Borrower Requested Repairs, Additional Lender Replacements,
or Additional Lender Repairs that have been previously approved by Lender; and

 

(C)         all
conditions for disbursement from the Replacement Reserve Account or the Repairs Escrow Account have been satisfied.

 

(11)        Final
Disbursements.

 

Upon completion
of all Repairs in accordance with this Master Agreement and so long as no Event of Default has occurred and is continuing, Lender
shall disburse to Borrower any amounts then remaining in the Repairs Escrow Account. Upon payment in full of the Indebtedness and
release by Lender of the lien of the Security Instrument, Lender shall disburse to Borrower any and all amounts then remaining
in the Replacement Reserve Account and the Repairs Escrow Account (if not previously released).

 

(b)          Approvals
of Contracts; Assignment of Claims.

 

Lender retains the right
to approve all contracts or work orders with materialmen, mechanics, suppliers, subcontractors, contractors, or other parties providing
labor or materials in connection with the Replacements or Repairs. Notwithstanding Borrower’s assignment (in the Security
Instrument) of its rights and claims against all Persons supplying labor or materials in connection with the Replacement or Repairs,
Lender will not pursue any such right or claim unless an Event of Default has occurred and is continuing or as otherwise provided
in Section 14.03(c) (Appointment of Lender as Attorney-In-Fact).

 

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(c)          Delays
and Workmanship.

 

If any work for any Replacement
or Repair has not timely commenced, has not been timely performed in a workmanlike manner, or has not been timely completed in
a workmanlike manner, Lender may, without notice to Borrower:

 

(1)         withhold
disbursements from the Replacement Reserve Account or Repairs Escrow Account for such unsatisfactory Replacement or Repair, as
applicable;

 

(2)         proceed
under existing contracts or contract with third parties to make or complete such Replacement or Repair;

 

(3)         apply
the funds in the Replacement Reserve Account or Repairs Escrow Account toward the labor and materials necessary to make or complete
such Replacement or Repair, as applicable; or

 

(4)         exercise
any and all other remedies available to Lender under this Master Agreement or any other Loan Document, including any remedies otherwise
available upon an Event of Default pursuant to the terms of Section 14.02 (Remedies).

 

To facilitate
Lender’s completion or making of such Replacements or Repairs, Lender shall have the right to enter onto each Mortgaged Property
and perform any and all work and labor necessary to make or complete the Replacements or Repairs and employ watchmen to protect
such Mortgaged Property from damage. All funds so expended by Lender shall be deemed to have been advanced to Borrower, shall be
part of the Indebtedness and shall be secured by the Security Instrument and this Master Agreement.

 

(d)          Appointment
of Lender as Attorney-In-Fact.

 

Borrower hereby
authorizes and appoints Lender as attorney-in-fact pursuant to Section 14.03(c) (Appointment of Lender as Attorney-In-Fact).

 

(e)          No
Lender Obligation.

 

Nothing in this
Master Agreement shall:

 

(1)         make
Lender responsible for making or completing the Replacements or Repairs;

 

(2)         require
Lender to expend funds, whether from the Replacement Reserve Account, the Repairs Escrow Account or otherwise, to make or complete
any Replacement or Repair;

 

(3)         obligate
Lender to proceed with the Replacements or Repairs; or

 

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(4)         obligate
Lender to demand from Borrower additional sums to make or complete any Replacement or Repair.

 

(f)          No
Lender Warranty.

 

Lender’s
approval of any plans for any Replacement or Repair, release of funds from the Replacement Reserve Account or Repairs Escrow Account,
inspection of any Mortgaged Property by Lender or its agents, representatives, or designees, or other acknowledgment of completion
of any Replacement or Repair in a manner satisfactory to Lender shall not be deemed an acknowledgment or warranty to any Person
that the Replacement or Repair has been completed in accordance with applicable building, zoning or other codes, ordinances, statutes,
laws, regulations or requirements of any Governmental Authority, such responsibility being at all times exclusively that of Borrower.

 

ARTICLE 14

DEFAULTS/REMEDIES

 

Section 14.01         Events
of Default.

 

The occurrence of any one
or more of the following in this Section 14.01 (Events of Default) shall constitute an Event of Default under this Master Agreement.

 

(a)          Automatic
Events of Default.

 

Any of the following shall constitute an automatic
Event of Default:

 

(1)         any
failure by Borrower to pay or deposit when due any amount required by the Note, this Master Agreement or any other Loan Document;

 

(2)         any
failure by Borrower to maintain the insurance coverage required by any Loan Document;

 

(3)         any
failure by Borrower to comply with the provisions of Section 4.02(d) (Borrower Status – Covenants – Single Purpose
Status) relating to its single asset status;

 

(4)         if
any warranty, representation, certification, or statement of Borrower or Guarantor in this Master Agreement or any of the other
Loan Documents is false, inaccurate, or misleading in any material respect when made;

 

(5)         fraud,
gross negligence, willful misconduct or material misrepresentation or material omission by or on behalf of Borrower, Guarantor
or Key Principal or any of their officers, directors, trustees, partners, members, or managers in connection with:

 

(A)         the
application for, or creation of, the Indebtedness;

 

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(B)         any
financial statement, rent roll, or other report or information provided to Lender during the Term of this Master Agreement; or

 

(C)         any
request for Lender’s consent to any proposed action, including a request for disbursement of Reserve/Escrow Account Funds
or Collateral Account Funds;

 

(6)         the
occurrence of any Transfer not permitted by the Loan Documents;

 

(7)         the
occurrence of a Bankruptcy Event;

 

(8)         the
commencement of a forfeiture action or proceeding, whether civil or criminal, which, in Lender’s reasonable judgment, could
result in a forfeiture of any Mortgaged Property or otherwise materially impair the lien created by this Master Agreement or the
Security Instrument or Lender’s interest in any Mortgaged Property;

 

(9)         if
Borrower, Guarantor or Key Principal is a trust (other than a REIT), or if a Transfer of the Restricted Ownership Interest or a
Change of Control occurs due to the termination or revocation of a trust, the termination or revocation of such trust, except as
set forth in Section 11.03(d) (Termination or Revocation of Trust);

 

(10)        any
failure by Borrower to complete any Repair related to fire, life or safety issues in accordance with the terms of this Master Agreement
within the Completion Period (or such other date set forth on the Required Repair Schedule or otherwise required by Lender in writing
for such Repair);

 

(11)        any
exercise by the holder of any other debt instrument secured by a mortgage, deed of trust, or deed to secure debt on any Mortgaged
Property of a right to declare all amounts due under that debt instrument immediately due and payable; or

 

(12)        a
dissolution or liquidation for any reason (whether voluntary or involuntary) of Borrower Entity or any general partner, managing
member, or sole member of any Borrower Entity.

 

(b)          Events
of Default Subject to a Specified Cure Period.

 

Any of the following shall
constitute an Event of Default subject to the cure period set forth in the Loan Documents:

 

(1)         if
Key Principal or Guarantor is a natural Person, the death of such individual, unless all requirements of Section 11.03(e) (Death
of Key Principal or Guarantor; Restricted Ownership Interest/Controlling Interest Transfer Due to Death) are met;

 

(2)         [intentionally
deleted]

 

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(3)         any
failure by Borrower, Key Principal, or Guarantor to comply with the provisions of Section 5.02(b) (Further Assurances) and Section
5.02(c) (Sale of Advances); and

 

(4)         any
failure by Borrower to perform any obligation under this Master Agreement or any Loan Document that is subject to a specified written
notice and cure period, which failure continues beyond such specified written notice and cure period as set forth herein or in
the applicable Loan Document.

 

(c)          Events
of Default Subject to Extended Cure Period or Release.

 

The following shall constitute
an Event of Default if the existence of such condition or event, or such failure to perform or default in performance continues
for a period of thirty (30) days after written notice by Lender to Borrower of the existence of such condition or event, or
of such failure to perform or default in performance, provided, however, such period may be extended for up to an additional
thirty (30) days if Borrower, in the discretion of Lender, is diligently pursuing a cure of such; provided, further, however,
no such written notice, grace period or extension shall apply if, in Lender’s discretion, immediate exercise by Lender of
a right or remedy under this Master Agreement or any Loan Document is required to avoid harm to Lender or impairment of the Indebtedness,
the Mortgaged Property or any other security given to secure the Indebtedness:

 

(1)         any
failure by Borrower to perform any of its obligations under this Master Agreement or any Loan Document (other than those specified
in Section 14.01(a) (Automatic Events of Default) or Section 14.01(b) (Events of Default Subject to a Specified Cure Period)) as
and when required.

 

Notwithstanding anything
to the contrary herein or in any other Loan Document, if an Event of Default shall occur hereunder or under any other Loan Document
because a representation, warranty, affirmative covenant, negative covenant, or other provision hereunder or thereunder shall be
breached or violated that in Lender’s sole and exclusive judgment is with respect to a particular Mortgaged Property (other
than any misappropriation of funds collected in respect thereof) (each, a “Property-Specific Event of Default”),
such Event of Default shall be deemed cured if Borrower shall satisfy all of the conditions set forth in Section 2.10(b) (Right
to Obtain Releases of Mortgaged Property) of this Master Agreement relating to the Release of such Mortgaged Property from the
Collateral Pool within thirty (30) days of Borrower acquiring knowledge of such Event of Default (the “Release Cure
Period”). During the Release Cure Period, Lender agrees that it shall not have the right to exercise the remedy set forth
in Section 14.02 (Remedies) of this Master Agreement; provided, however, that the foregoing shall not impair Lender’s right
to exercise the remedies available to Lender under any of the other Loan Documents or at law or in equity or under Section 14.03(b)
(No Waiver of Rights or Remedies) during such Release Cure Period. If Lender shall elect to exercise any such remedies during such
period, and if Borrower releases such Mortgaged Property pursuant to the provisions of the Mortgaged Property Release Schedule
as described in the preceding sentence and at the time of such release no other Event of Default has occurred and is continuing,
Lender shall cease exercising such remedies with respect to the applicable Property-Specific Event of Default and discontinue any
proceedings it may have initiated in connection therewith, and the parties shall be restored to their former positions and rights
hereunder; provided, however, that if Borrower shall fail to satisfy all of the conditions set forth in the Mortgaged Property
Release Schedule relating to the release of such Mortgaged Property from the Collateral Pool during the Release Cure Period, Lender
may thereafter exercise any and all remedies available to Lender under Article 14 (Defaults/Remedies) of this Master Agreement,
including, without limitation, the remedies set forth in Section 14.02 (Remedies).

 

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Section 14.02         Remedies.

 

(a)          Acceleration;
Foreclosure.

 

(1)         If
an Event of Default has occurred and is continuing, the entire unpaid principal balance of the Advances Outstanding, any Accrued
Interest, interest accruing at the Default Rate, the Prepayment Premium (if applicable), and all other Indebtedness, at the option
of Lender, shall immediately become due and payable, without any prior written notice to Borrower, unless Applicable Law requires
otherwise (and in such case, after any required written notice has been given). Lender may exercise this option to accelerate regardless
of any prior forbearance. In addition, Lender shall have all rights and remedies afforded to Lender hereunder and under the other
Loan Documents, including, foreclosure on and/or the power of sale of any or all of the Mortgaged Properties, as provided in the
Security Instrument, and any rights and remedies available to Lender at law or in equity (subject to Borrower’s statutory
rights of reinstatement, if any). Any proceeds of a Foreclosure Event may be held and applied by Lender as additional collateral
for the Indebtedness pursuant to this Master Agreement. Notwithstanding the foregoing, the occurrence of any Bankruptcy Event of
Borrower shall automatically accelerate the Indebtedness, which Indebtedness shall be immediately due and payable without written
notice or further action by Lender.

 

(2)         Lender
may Accelerate any Note without the obligation, but the right to accelerate any other Note (if more than one). In the exercise
of its rights and remedies under the Loan Documents, Lender may, except as provided in this Master Agreement, exercise and perfect
any and all of its rights in and under the Loan Documents with regard to any Mortgaged Property without the obligation (but with
the right) to exercise and perfect its rights and remedies with respect to any other Mortgaged Property. Any such exercise shall
be without regard to the Allocable Facility Amount assigned to such Mortgaged Property. Lender may recover an amount equal to the
full amount Outstanding in respect of any of the Notes in connection with such exercise. Any such amount shall be applied to the
Obligations as determined by Lender.

 

(b)          Loss
of Right to Disbursements from Collateral Accounts.

 

If an Event of Default
has occurred and is continuing, Borrower shall immediately lose all of its rights to receive disbursements from the Reserve/Escrow
Accounts and any Collateral Accounts. During the continuance of any such Event of Default, Lender may use the Reserve/Escrow Account
Funds and any Collateral Account Funds (or any portion thereof) for any purpose, including:

 

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(1)         repayment
of the Indebtedness, including principal prepayments and the Prepayment Premium applicable to such full or partial prepayment,
as applicable (however, such application of funds shall not cure or be deemed to cure any Event of Default);

 

(2)         reimbursement
of Lender for all losses and expenses (including reasonable legal fees) suffered or incurred by Lender as a result of such Event
of Default;

 

(3)         completion
of the Replacement or Repair or for any other replacement or repair to a Mortgaged Property; and

 

(4)         payment
of any amount expended in exercising (and the exercise of) all rights and remedies available to Lender at law or in equity or under
this Master Agreement or under any of the other Loan Documents.

 

Nothing in this Master
Agreement shall obligate Lender to apply all or any portion of the Reserve/Escrow Account Funds or Collateral Account Funds on
account of any Event of Default by Borrower or to repayment of the Indebtedness or in any specific order of priority.

 

(c)          Remedies
Cumulative.

 

Each right and remedy provided
in this Master Agreement is distinct from all other rights or remedies under this Master Agreement or any other Loan Document or
afforded by Applicable Law, and each shall be cumulative and may be exercised concurrently, independently or successively, in any
order. Lender shall not be required to demonstrate any actual impairment of its security or any increased risk of additional default
by Borrower in order to exercise any of its remedies with respect to an Event of Default.

 

Section 14.03         Additional
Lender Rights; Forbearance.

 

(a)          No
Effect Upon Obligations.

 

Lender may, but shall not
be obligated to, agree with Borrower, from time to time, and without giving notice to, or obtaining the consent of, or having any
effect upon the obligations of, Guarantor, Key Principal, or other third party obligor, to take any of the following actions:

 

(1)         the
time for payment of the principal of or interest on the Indebtedness may be extended, or the Indebtedness may be renewed in whole
or in part;

 

(2)         the
rate of interest on or period of amortization of the Advances or the amount of the Monthly Debt Service Payments payable under
the Loan Documents may be modified;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 99
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(3)         the
time for Borrower’s performance of or compliance with any covenant or agreement contained in any Loan Document, whether presently
existing or hereinafter entered into, may be extended or such performance or compliance may be waived;

 

(4)         any
or all payments due under this Master Agreement or any other Loan Document may be reduced;

 

(5)         any
Loan Document may be modified or amended by Lender and Borrower in any respect, including an increase in the principal amount of
the Advances;

 

(6)         any
amounts under this Master Agreement or any other Loan Document may be released;

 

(7)         any
security for the Indebtedness may be modified, exchanged, released, surrendered, or otherwise dealt with, or additional security
may be pledged or mortgaged for the Indebtedness;

 

(8)         the
payment of the Indebtedness or any security for the Indebtedness, or both, may be subordinated to the right to payment or the security,
or both, of any other present or future creditor of Borrower; or

 

(9)         any
other terms of the Loan Documents may be modified.

 

(b)          No
Waiver of Rights or Remedies.

 

Any waiver of an Event
of Default or forbearance by Lender in exercising any right or remedy under this Master Agreement or any other Loan Document or
otherwise afforded by Applicable Law, shall not be a waiver of any other Event of Default or preclude the exercise or failure to
exercise of any other right or remedy. The acceptance by Lender of payment of all or any part of the Indebtedness after the due
date of such payment, or in an amount which is less than the required payment, shall not be a waiver of Lender’s right to
require prompt payment when due of all other payments on account of the Indebtedness or to exercise any remedies for any failure
to make prompt payment. Enforcement by Lender of any security for the Indebtedness shall not constitute an election by Lender of
remedies so as to preclude the exercise or failure to exercise of any other right available to Lender. Lender’s receipt of
any insurance proceeds or amounts in connection with a Condemnation Action shall not operate to cure or waive any Event of Default.

 

(c)          Appointment
of Lender as Attorney-In-Fact.

 

Borrower hereby irrevocably
makes, constitutes, and appoints Lender (and any officer of Lender or any Person designated by Lender for that purpose) as Borrower’s
true and lawful proxy and attorney-in-fact (and agent-in-fact) in Borrower’s name, place, and stead, with full power of substitution,
to:

 

(1)         use
any of the funds in the Replacement Reserve Account or Repairs Escrow Account for the purpose of making or completing the Replacements
or Repairs;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 100
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(2)         make
such additions, changes, and corrections to the Replacements or Repairs as shall be necessary or desirable to complete the Replacements
or Repairs;

 

(3)         employ
such contractors, subcontractors, agents, architects, and inspectors as shall be required for such purposes;

 

(4)         pay,
settle, or compromise all bills and claims for materials and work performed in connection with the Replacements or Repairs, or
as may be necessary or desirable for the completion of the Replacements or Repairs, or for clearance of title;

 

(5)         adjust
and compromise any claims under any and all policies of insurance required pursuant to this Master Agreement and any other Loan
Document, subject only to Borrower’s rights under this Master Agreement;

 

(6)         appear
in and prosecute any action arising from any insurance policies;

 

(7)         collect
and receive the proceeds of insurance, and to deduct from such proceeds Lender’s expenses incurred in the collection of such
proceeds;

 

(8)         commence,
appear in, and prosecute, in Lender’s or Borrower’s name, any Condemnation Action;

 

(9)         settle
or compromise any claim in connection with any Condemnation Action;

 

(10)        execute
all applications and certificates in the name of Borrower which may be required by any of the contract documents;

 

(11)        prosecute
and defend all actions or proceedings in connection with any Mortgaged Property or the rehabilitation and repair of any Mortgaged
Property;

 

(12)        take
such actions as are permitted in this Master Agreement and any other Loan Documents;

 

(13)        execute
such financing statements and other documents and to do such other acts as Lender may require to perfect and preserve Lender’s
security interest in, and to enforce such interests in, the Collateral; and

 

(14)        carry
out any remedy provided for in this Master Agreement and any other Loan Documents, including endorsing Borrower’s name to
checks, drafts, instruments, and other items of payment and proceeds of the Collateral, executing change of address forms with
the postmaster of the United States Post Office serving the address of Borrower, changing the address of Borrower to that of Lender,
opening all envelopes addressed to Borrower, and applying any payments contained therein to the Indebtedness.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 101
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Borrower hereby acknowledges
that the constitution and appointment of such proxy and attorney-in-fact are coupled with an interest and are irrevocable and shall
not be affected by the disability or incompetence of Borrower. Borrower specifically acknowledges and agrees that this power of
attorney granted to Lender may be assigned by Lender to Lender’s successors or assigns as holder of the Note (and the other
Loan Documents). The foregoing powers conferred on Lender under this Section 14.03(c) (Appointment of Lender as Attorney-In-Fact)
shall not impose any duty upon Lender to exercise any such powers and shall not require Lender to incur any expense or take any
action. Borrower hereby ratifies and confirms all that such attorney-in-fact may do or cause to be done by virtue of any provision
of this Master Agreement and any other Loan Documents.

 

Notwithstanding the foregoing
provisions, Lender shall not exercise its rights as set forth in this Section 14.03(c) (Appointment of Lender as Attorney-In-Fact)
unless: (A) an Event of Default has occurred and is continuing or (B) Lender determines, in its discretion, that exigent circumstances
exist or that such exercise is necessary or prudent in order to protect and preserve the Mortgaged Property, or Lender’s
lien priority and security interest in the Mortgaged Property.

 

(d)          Borrower
Waivers.

 

If more than one Person signs this Master Agreement
as Borrower, each Borrower, with respect to any other Borrower, hereby agrees that Lender, in its discretion, may:

 

(1)         bring
suit against Borrower, or any one or more of Borrower, jointly and severally, or against any one or more of them;

 

(2)         compromise
or settle with any one or more of the persons constituting Borrower, for such consideration as Lender may deem proper;

 

(3)         release
one or more of the persons constituting Borrower, from liability; or

 

(4)         otherwise
deal with Borrower, or any one or more of them, in any manner, and no such action shall impair the rights of Lender to collect
from any Borrower the full amount of the Indebtedness.

 

Section 14.04         Waiver
of Marshaling.

 

Notwithstanding the existence
of any other security interests in the Mortgaged Properties held by Lender or by any other party, Lender shall have the right to
determine the order in which any or all of the Mortgaged Properties (or any part thereof) shall be subjected to the remedies provided
in this Master Agreement, any other Loan Document or Applicable Law. Lender shall have the right to determine the order in which
all or any part of the Indebtedness is satisfied from the proceeds realized upon the exercise of such remedies. Borrower and any
party who now or in the future acquires a security interest in any Mortgaged Property and who has actual or constructive notice
of this Master Agreement waives any and all right to require the marshaling of assets or to require that any of the Mortgaged Properties
be sold in the inverse order of alienation or that any of the Mortgaged Properties be sold in parcels or as an entirety in connection
with the exercise of any of the remedies permitted by Applicable Law or provided in this Master Agreement or any other Loan Documents.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 102
	Article 14	12-17	© 2017 Fannie Mae

     

    

 

Lender shall account for
any moneys received by Lender in respect of any foreclosure on or disposition of Collateral hereunder and under the other Loan
Documents provided that Lender shall not have any duty as to any Collateral, and Lender shall be accountable only for amounts that
it actually receives as a result of the exercise of such powers. NONE OF LENDER OR ITS AFFILIATES, OFFICERS, DIRECTORS, EMPLOYEES,
AGENTS, OR REPRESENTATIVES SHALL BE RESPONSIBLE TO BORROWER (a) FOR ANY ACT OR FAILURE TO ACT UNDER ANY POWER OF ATTORNEY OR OTHERWISE,
EXCEPT IN RESPECT OF DAMAGES ATTRIBUTABLE SOLELY TO THEIR OWN GROSS NEGLIGENCE OR WILLFUL MISCONDUCT AS FINALLY DETERMINED PURSUANT
TO A FINAL, NON-APPEALABLE COURT ORDER BY A COURT OF COMPETENT JURISDICTION, OR (b) FOR ANY PUNITIVE, EXEMPLARY, INDIRECT OR CONSEQUENTIAL
DAMAGES.

 

Section 14.05         Severed
Loan Documents.

 

Lender shall have the right
from time to time to sever any Note and the other Loan Documents into one or more separate notes, mortgages, and other security
documents (the “Severed Loan Documents”) in such denominations as Lender shall determine in its discretion for
purposes of evidencing and enforcing its rights and remedies provided hereunder, provided that:

 

(a)          the
amount of Advances Outstanding immediately after the effective date of such modification equals the amount of Advances Outstanding
immediately prior to such modification;

 

(b)          the
weighted average of the interest rates for Advances Outstanding immediately after the effective date of such modification equals
the weighted average of the interest rates for Advances Outstanding immediately prior to such modification;

 

(c)          each
future principal payment shall be ratably allocated to each Advance based on the Outstanding principal balance of such Advance
at the time of such modification and each future amortization payment shall be ratably paid in accordance with such allocation
at all times;

 

(d)          there
shall be no other change to the economic and/or other material terms, rights and obligations of Borrower under the Loan Documents;
and

 

(e)          the
Collateral and the revenue therefrom shall continue to secure, and be available to be applied against, the total Advances Outstanding.

 

Borrower shall execute
and deliver to Lender from time to time, promptly after the request of Lender, a severance agreement and such other documents as
Lender shall request in order to effect the severance described above, all in form and substance reasonably satisfactory to Lender.
Borrower hereby absolutely and irrevocably appoints Lender as its true and lawful attorney, coupled with an interest, in its name
and stead to make and execute all documents necessary or desirable to effect the aforesaid severance, Borrower ratifying all that
its said attorney shall do by virtue thereof; provided, however, Lender shall not make or execute any such
documents under such power until three (3) days after notice has been given to Borrower by Lender of Lender’s intent
to exercise its rights under such power. Borrower shall be obligated to pay any costs or expenses incurred in connection with the
preparation, execution, recording, or filing of the Severed Loan Documents, and the Severed Loan Documents shall not contain any
representations, warranties, or covenants not contained in the Loan Documents and any such representations and warranties contained
in the Severed Loan Documents will be given by Borrower only as of the date last given.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 103
	Article 14	12-17	© 2017 Fannie Mae

     

    

 

ARTICLE 15

MISCELLANEOUS

 

Section 15.01         Choice
of Law; Consent to Jurisdiction.

 

Notwithstanding anything
in the Notes, the Security Documents, or any of the other Loan Documents to the contrary, each of the terms and provisions, and
rights and obligations of Borrower under this Master Agreement and the Notes and the other Loan Documents, shall be governed by,
interpreted, construed, and enforced pursuant to and in accordance with the laws of the District of Columbia (excluding the law
applicable to conflicts or choice of law) except to the extent of procedural and substantive matters relating only to the creation,
perfection, and foreclosure of liens and security interests, and enforcement of the rights and remedies, against the Mortgaged
Properties, which matters shall be governed by the laws of the jurisdiction in which a Mortgaged Property is located, the perfection,
the effect of perfection and non-perfection and foreclosure of security interests on personal property, which matters shall be
governed by the laws of the jurisdiction determined by the choice of law provisions of the Uniform Commercial Code in effect for
the jurisdiction in which any Borrower is organized. Borrower agrees that any controversy arising under or in relation to the Notes,
the Security Documents (other than the Security Instruments), or any other Loan Document shall be, except as otherwise provided
herein, litigated in the District of Columbia. The local and federal courts and authorities with jurisdiction in the District of
Columbia shall, except as otherwise provided herein, have jurisdiction over all controversies which may arise under or in relation
to the Loan Documents, including those controversies relating to the execution, jurisdiction, breach, enforcement, or compliance
with the Notes, the Security Documents (other than the Security Instruments), or any other issue arising under, relating to, or
in connection with any of the Loan Documents. Borrower irrevocably consents to service, jurisdiction, and venue of such courts
for any litigation arising from the Notes, the Security Documents, or any of the other Loan Documents, and waives any other venue
to which it might be entitled by virtue of domicile, habitual residence, or otherwise. Nothing contained herein, however, shall
prevent Lender from bringing any suit, action, or proceeding or exercising any rights against Borrower and against the collateral
in any other jurisdiction. Initiating such suit, action, or proceeding or taking such action in any other jurisdiction shall in
no event constitute a waiver of the agreement contained herein that the laws of the District of Columbia shall govern the rights
and obligations of Borrower and Lender as provided herein or the submission herein by Borrower to personal jurisdiction within
the District of Columbia.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 104
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

Section 15.02         Waiver
of Jury Trial.

 

TO THE MAXIMUM EXTENT PERMITTED
BY APPLICABLE LAW, EACH OF BORROWER AND LENDER (a) COVENANTS AND AGREES NOT TO ELECT A TRIAL BY JURY WITH RESPECT TO ANY ISSUE
ARISING OUT OF THIS MASTER AGREEMENT OR ANY OTHER LOAN DOCUMENT, OR THE RELATIONSHIP BETWEEN THE PARTIES AS BORROWER AND LENDER,
THAT IS TRIABLE OF RIGHT BY A JURY AND (b) WAIVES ANY RIGHT TO TRIAL BY JURY WITH RESPECT TO SUCH ISSUE TO THE EXTENT THAT
ANY SUCH RIGHT EXISTS NOW OR IN THE FUTURE. THIS WAIVER OF RIGHT TO TRIAL BY JURY IS SEPARATELY GIVEN BY EACH PARTY, KNOWINGLY
AND VOLUNTARILY WITH THE BENEFIT OF COMPETENT LEGAL COUNSEL

 

Section 15.03         Notice.

 

(a)          Process
of Serving Notice.

 

Except as otherwise set
forth herein or in any other Loan Document, all notices under this Master Agreement and any other Loan Document shall be:

 

(1)         in
writing and shall be:

 

(A)         delivered,
in person;

 

(B)         mailed,
postage prepaid, either by registered or certified delivery, return receipt requested;

 

(C)         sent
by overnight courier; or

 

(D)         sent
by electronic mail with originals to follow by overnight courier;

 

(2)         addressed
to the intended recipient at Borrower’s Notice Address and Lender’s Notice Address, as applicable; and

 

(3)         deemed
given on the earlier to occur of:

 

(A)         the
date when the notice is received by the addressee; or

 

(B)         if
the recipient refuses or rejects delivery, the date on which the notice is so refused or rejected, as conclusively established
by the records of the United States Postal Service or such express courier service.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 105
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

(b)          Change
of Address.

 

Any party to this Master
Agreement may change the address to which notices intended for it are to be directed by means of notice given to the other parties
identified on the Summary of Master Terms in accordance with this Section 15.03 (Notice).

 

(c)          Default
Method of Notice.

 

Any required notice under
this Master Agreement or any other Loan Document which does not specify how notices are to be given shall be given in accordance
with this Section 15.03 (Notice).

 

(d)          Receipt
of Notices.

 

Neither Borrower nor Lender
shall refuse or reject delivery of any notice given in accordance with this Master Agreement. Each party is required to acknowledge,
in writing, the receipt of any notice upon request by the other party.

 

Section 15.04         Successors
and Assigns Bound; Sale of Advances.

 

(a)          Binding
Agreement.

 

This Master Agreement shall
bind, and the rights granted by this Master Agreement shall inure to, the successors and assigns of Lender and the permitted successors
and assigns of Borrower. However, a Transfer not permitted by this Master Agreement shall be an Event of Default and shall be void
ab initio.

 

(b)          Sale
of Advances; Change of Servicer.

 

Nothing in this Master
Agreement shall limit Lender’s (including its successors and assigns) right to sell or transfer the Advances or any interest
in the Advances. The Advances or a partial interest in the Advances (together with this Master Agreement and the other Loan Documents)
may be sold one or more times without prior written notice to Borrower. A sale may result in a change of the Loan Servicer.

 

Section 15.05         Counterparts.

 

This Master Agreement may
be executed in any number of counterparts with the same effect as if the parties hereto had signed the same document and all such
counterparts shall be construed together and shall constitute one instrument.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 106
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

Section 15.06         Intentionally
Deleted.

 

Section 15.07         Relationship
of Parties; No Third Party Beneficiary.

 

(a)          Solely
Creditor and Debtor.

 

The relationship between
Lender and Borrower shall be solely that of creditor and debtor, respectively, and nothing contained in this Master Agreement shall
create any other relationship between Lender and Borrower. Nothing contained in this Master Agreement shall constitute Lender as
a joint venturer, partner, or agent of Borrower, or render Lender liable for any debts, obligations, acts, omissions, representations,
or contracts of Borrower.

 

(b)          No
Third Party Beneficiaries.

 

No creditor of any party
to this Master Agreement and no other Person shall be a third party beneficiary of this Master Agreement or any other Loan Document
or any account created or contemplated under this Master Agreement or any other Loan Document. Nothing contained in this Master
Agreement shall be deemed or construed to create an obligation on the part of Lender to any third party nor shall any third party
have a right to enforce against Lender any right that Borrower may have under this Master Agreement. Without limiting the foregoing:

 

(1)         any
Servicing Arrangement between Lender and any Loan Servicer shall constitute a contractual obligation of such Loan Servicer that
is independent of the obligation of Borrower for the payment of the Indebtedness;

 

(2)         Borrower
shall not be a third party beneficiary of any Servicing Arrangement; and

 

(3)         no
payment by the Loan Servicer under any Servicing Arrangement will reduce the amount of the Indebtedness.

 

Section 15.08         Severability;
Entire Agreement; Amendments.

 

The invalidity or unenforceability
of any provision of this Master Agreement or any other Loan Document shall not affect the validity or enforceability of any other
provision of this Master Agreement or of any other Loan Document, all of which shall remain in full force and effect, including
the Guaranty. This Master Agreement contains the complete and entire agreement among the parties as to the matters covered, rights
granted and the obligations assumed in this Master Agreement. This Master Agreement may not be amended or modified except by written
agreement signed by the parties hereto.

 

Section 15.09         Construction.

 

(a)          The
captions and headings of the sections of this Master Agreement and the Loan Documents are for convenience only and shall be disregarded
in construing this Master Agreement and the Loan Documents.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 107
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

(b)          Any
reference in this Master Agreement to an “Exhibit” or “Schedule” or a “Section” or an “Article”
shall, unless otherwise explicitly provided, be construed as referring, respectively, to an Exhibit or Schedule attached to this
Master Agreement or to a Section or Article of this Master Agreement.

 

(c)          Any
reference in this Master Agreement to a statute or regulation shall be construed as referring to that statute or regulation as
amended from time to time.

 

(d)          Use
of the singular in this Master Agreement includes the plural and use of the plural includes the singular.

 

(e)          As
used in this Master Agreement, the term “including” means “including, but not limited to” or “including,
without limitation,” and is for example only and not a limitation.

 

(f)          Whenever
Borrower’s knowledge is implicated in this Master Agreement or the phrase “to Borrower’s knowledge” or
a similar phrase is used in this Master Agreement, Borrower’s knowledge or such phrase(s) shall be interpreted to mean to
the best of Borrower’s knowledge after reasonable and diligent inquiry and investigation.

 

(g)          Unless
otherwise provided in this Master Agreement, if Lender’s approval, designation, determination, selection, estimate, action,
or decision is required, permitted, or contemplated hereunder, such approval, designation, determination, selection, estimate,
action, or decision shall be made in Lender’s sole and absolute discretion.

 

(h)          All
references in this Master Agreement to a separate instrument or agreement shall include such instrument or agreement as the same
may be amended or supplemented from time to time pursuant to the applicable provisions thereof.

 

(i)          “Lender
may” shall mean at Lender’s discretion, but shall not be an obligation.

 

Section 15.10         Loan
Servicing.

 

All actions regarding the
servicing of the Advances, including the collection of payments, the giving and receipt of notice, inspections of the Mortgaged
Properties, inspections of books and records, and the granting of consents and approvals, may be taken by the Loan Servicer unless
Borrower receives notice to the contrary. If Borrower receives conflicting notices regarding the identity of the Loan Servicer
or any other subject, any such notice from Lender shall govern. The Loan Servicer may change from time to time (whether related
or unrelated to a sale of the Advances). If there is a change of the Loan Servicer, Borrower will be given notice of the change.

 

Section 15.11         Disclosure
of Information.

 

Lender may furnish information
regarding Borrower, Key Principal or Guarantor or the Mortgaged Properties to third parties with an existing or prospective interest
in the servicing, enforcement, evaluation, performance, purchase, or securitization of the Advances, including trustees, master
servicers, special servicers, rating agencies, and organizations maintaining databases on the underwriting and performance of multifamily
mortgage loans. Borrower irrevocably waives any and all rights it may have under Applicable Law to prohibit such disclosure, including
any right of privacy.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 108
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

Section 15.12         Waiver;
Conflict.

 

No specific waiver of any
of the terms of this Master Agreement shall be considered as a general waiver. If any provision of this Master Agreement is in
conflict with any provision of any other Loan Document, the provision contained in this Master Agreement shall control.

 

Section 15.13         [Intentionally
Deleted.]

 

Section 15.14         No
Reliance.

 

Borrower acknowledges, represents, and warrants
that:

 

(a)          it
understands the nature and structure of the transactions contemplated by this Master Agreement and the other Loan Documents;

 

(b)          it
is familiar with the provisions of all of the documents and instruments relating to such transactions;

 

(c)          it
understands the risks inherent in such transactions, including the risk of loss of all or any part of any Mortgaged Property;

 

(d)          it
has had the opportunity to consult counsel; and

 

(e)          it
has not relied on Lender for any guidance or expertise in analyzing the financial or other consequences of the transactions contemplated
by this Master Agreement or any other Loan Document or otherwise relied on Lender in any manner in connection with interpreting,
entering into, or otherwise in connection with this Master Agreement, any other Loan Document, or any of the matters contemplated
hereby or thereby.

 

Section 15.15         Subrogation.

 

If, and to the extent that,
the proceeds of any Advance are used to pay, satisfy, or discharge any obligation of Borrower for the payment of money that is
secured by a pre-existing mortgage, deed of trust, or other lien encumbering any Mortgaged Property, such proceeds shall be deemed
to have been advanced by Lender at Borrower’s request, and Lender shall be subrogated automatically, and without further
action on its part, to the rights, including lien priority, of the owner or holder of the obligation secured by such prior lien,
whether or not such prior lien is released.

 

Section 15.16         Counting
of Days.

 

Except where otherwise
specifically provided, any reference in this Master Agreement to a period of “days” means calendar days, not Business
Days. If the date on which Borrower is required to perform an obligation under this Master Agreement is not a Business Day, Borrower
shall be required to perform such obligation by the Business Day immediately preceding such date; provided, however,
in respect of any Payment Date, or if the Maturity Date is other than a Business Day, Borrower shall be obligated to make such
payment by the Business Day immediately following such date.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 109
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

Section 15.17         Revival
and Reinstatement of Indebtedness.

 

If the payment of all or
any part of the Indebtedness by Borrower, Guarantor, or any other Person, or the transfer to Lender of any collateral or other
property should for any reason subsequently be declared to be void or voidable under any state or federal law relating to creditors’
rights, including provisions of the Insolvency Laws relating to a Voidable Transfer, and if Lender is required to repay or restore,
in whole or in part, any such Voidable Transfer, or elects to do so upon the advice of its counsel, then the amount of such Voidable
Transfer or the amount of such Voidable Transfer that Lender is required or elects to repay or restore, including all reasonable
costs, expenses, and attorneys’ fees incurred by Lender in connection therewith, and the Indebtedness shall be automatically
revived, reinstated, and restored by such amount and shall exist as though such Voidable Transfer had never been made.

 

Section 15.18         Time
is of the Essence.

 

Borrower agrees that, with
respect to each and every obligation and covenant contained in this Master Agreement and the other Loan Documents, time is of the
essence.

 

Section 15.19         Final
Agreement.

 

THIS MASTER AGREEMENT ALONG
WITH ALL OF THE OTHER LOAN DOCUMENTS REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES WITH RESPECT TO THE SUBJECT MATTER HEREOF
AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS. THERE ARE NO UNWRITTEN ORAL AGREEMENTS
BETWEEN THE PARTIES. All prior or contemporaneous agreements, understandings, representations, and statements, oral or written,
are merged into this Master Agreement and the other Loan Documents. This Master Agreement, the other Loan Documents, and any of
their provisions may not be waived, modified, amended, discharged, or terminated except by an agreement in writing signed by the
party against which the enforcement of the waiver, modification, amendment, discharge, or termination is sought, and then only
to the extent set forth in that agreement.

 

Section 15.20         Survival.

 

The representations, warranties,
and covenants made by Borrower in this Master Agreement shall survive the execution and delivery of this Master Agreement and other
Loan Documents, regardless of any investigation made by Lender or Fannie Mae.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 110
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

Section 15.21         Assignments;
Third-Party Rights.

 

Lender may assign its rights
and/or obligations under this Master Agreement separately or together, without Borrower’s consent, only to Fannie Mae. Upon
assignment to Fannie Mae, Fannie Mae shall be permitted to further assign its rights under this Master Agreement separately or
together, without Borrower’s consent. Fannie Mae shall have the right to hold, sell, or securitize the Advances made hereunder
without Borrower’s consent.

 

Section 15.22         Interpretation.

 

The parties hereto acknowledge
that each party and their respective counsel have participated in the drafting and revision of this Master Agreement and the Loan
Documents. Accordingly, the parties agree that any rule of construction that disfavors the drafting party shall not apply in the
interpretation of this Master Agreement and the Loan Documents or any amendment or supplement or Exhibit hereto or thereto.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 111
	Article 15	12-17	© 2017 Fannie Mae

     

    

 

IN WITNESS WHEREOF,
Borrower and Lender have signed and delivered this Master Agreement under seal (where applicable) or have caused this Master Agreement
to be signed and delivered under seal (where applicable) by their duly authorized representatives. Where Applicable Law so provides,
Borrower and Lender intend that this Master Agreement shall be deemed to be signed and delivered as a sealed instrument.

 

	 	BORROWER:
	 	 
	 	BR METROWEST, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG Metrowest Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 1, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 2, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy 	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory

 

[Signatures
continue on following page]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page S-1
	Signature Page
	12-17	© 2017 Fannie Mae

     

    

 

	 	BRG FNMA SHELF 3, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy,
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 4, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy     	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 5, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory 
	 	 	 	 
	 	BRG FNMA SHELF 6, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy       	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory

 

[Signatures
continue on following page]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page S-2
	Signature Page
	12-17	© 2017 Fannie Mae

     

    

 

	 	BRG FNMA SHELF 7, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy  	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 8, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy        	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 9, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory
	 	 	 	 
	 	BRG FNMA SHELF 10, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	BRG FNMA Shelf Manager, LLC, a Delaware
	 	 	limited liability company, its manager
	 	 	 	 
	 	 	By:	/s/ Jordan Ruddy	(SEAL)
	 	 	Name:	Jordan Ruddy
	 	 	Title:	Authorized Signatory

 

[Signatures
continue on following page]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page S-3
	Signature Page
	12-17	© 2017 Fannie Mae

     

    

 

	 	LENDER:
	 	 
	 	WALKER & DUNLOP, LLC, a Delaware limited liability company
	 	 	 	 
	 	By:	/s/ Holly Davis	(SEAL)
	 	Name:	Holly Davis	 
	 	Title:	Assistant Vice President	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page S-4
	Signature Page
	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 1 TO

MASTER CREDIT FACILITY AGREEMENT

 

Definitions Schedule

 

Capitalized terms used
in this Master Agreement have the meanings given to such terms in this Definitions Schedule.

 

“Accrued Interest” means
unpaid interest, if any, on the Advances Outstanding that has not been added to the unpaid principal balance of the Advances pursuant
to Section 2.03(b) (Capitalization of Accrued But Unpaid Interest) of this Master Agreement.

 

“Addition” has the meaning
set forth in Section 2.10(c) (Right to Add Additional Mortgaged Properties as Collateral).

 

“Addition Request” means
a written request, substantially in the form of Exhibit D to this Master Agreement, to add Additional Mortgaged Properties
to the Collateral Pool as set forth in Section 2.10(c) (Right to Add Additional Mortgaged Properties as Collateral).

 

“Additional Borrower”
means the owner of an Additional Mortgaged Property, which entity has been approved by Lender and becomes a Borrower under this
Master Agreement and the applicable Loan Documents, and its permitted successors and assigns, which owner must demonstrate to the
satisfaction of Lender that:

 

(a)          Additional
Borrower is an SPE Owner and otherwise complies with the SPE Requirements;

 

(b)          Additional
Borrower is directly or indirectly majority-owned and Controlled by Guarantor; and

 

(c)          Additional
Borrower is not a Prohibited Person.

 

“Additional Due Diligence Fee Deposit”
means the deposit made by Borrower to Lender with respect to each proposed Additional Mortgaged Property in an amount equal to
$10,500 per Additional Mortgaged Property. On or prior to the applicable Effective Date, Lender shall notify Borrower of the actual
amount of the Additional Due Diligence Fees and Borrower shall, on the Effective Date, pay to Lender the remainder of such Additional
Due Diligence Fees (if the actual amount of the Additional Due Diligence Fees exceeds the deposit and the other amounts previously
paid to Lender by Borrower) or Lender shall promptly refund to Borrower any amounts paid to Lender by Borrower in excess of the
Additional Due Diligence Fees (if the actual amount of the Additional Due Diligence Fees is less than the deposit and the other
amounts previously paid to Lender by Borrower).

 

“Additional Due Diligence Fees”
means with respect to each proposed Additional Mortgaged Property an amount equal to the actual costs of Lender’s due diligence
for such Additional Mortgaged Properties, including but not limited to third party reports required by Lender plus
a non-refundable $5,500 processing fee per Additional Mortgaged Property payable by Borrower to Lender. Borrower shall pay the
Additional Due Diligence Fee Deposit towards the Additional Due Diligence Fees.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Additional Lender Repairs”
means repairs of the type listed on the Required Repair Schedule but not otherwise identified thereon that are determined advisable
by Lender to keep the Mortgaged Property in good order and repair (ordinary wear and tear excepted) and in good marketable condition
or to prevent deterioration of the Mortgaged Property.

 

“Additional Lender Replacements”
means replacements of the type listed on the Required Replacement Schedule but not otherwise identified thereon that are determined
advisable by Lender to keep the Mortgaged Property in good order and repair (ordinary wear and tear excepted) and in good marketable
condition or to prevent deterioration of the Mortgaged Property.

 

“Additional Mortgaged Property”
means each Multifamily Residential Property owned by Borrower or an Additional Borrower (either in fee simple or as tenant under
a ground lease meeting all of the Underwriting and Servicing Requirements) and added to the Collateral Pool after the Initial Effective
Date in connection with an Addition or a Substitution pursuant to Section 2.10(c) (Right to Add Additional Mortgaged Properties
as Collateral) or Section 2.10(d) (Right to Substitutions).

 

“Additional Origination Fee”
means an origination fee equal to the following:

 

(a)          ten
(10) basis points (0.10%) multiplied by the aggregate Future Advance, plus

 

(b)          the
amount equal to the following:

 

(1)         aggregate
Future Advance amount greater than $1,000,000 up to and including $9,000,000: 1% multiplied by the aggregate Future Advance amount;

 

(2)         aggregate
Future Advance amount greater than $9,000,000 up to and including $20,000,000: the greater of 0.8% multiplied by the aggregate
Future Advance amount or $90,000;

 

(3)         aggregate
Future Advance amount greater than $20,000,000 up to and including $50,000,000: the greater of 0.5% multiplied by the aggregate
Future Advance amount or $160,000;

 

(4)         aggregate
Future Advance amount greater than $50,000,000 up to and including $75,000,000: the greater of 0.375% multiplied by the aggregate
Future Advance amount or $250,000; and

 

(5)         aggregate
Future Advance amount greater than $75,000,000: the greater of 0.25% multiplied by the aggregate Future Advance amount or $281,250.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Adjustable Rate” has the
meaning set forth in the applicable Schedule of Advance Terms.

 

“Advance” means a Variable
Advance and/or a Fixed Advance.

 

“Advance Year” has the meaning
set forth in the applicable Schedule of Advance Terms.

 

“Aggregate Debt Service Coverage Ratio”
means, for any specified period, the ratio (expressed as a percentage) of—

 

(a)          the
Net Cash Flow for the Mortgaged Properties for the preceding number of months as determined pursuant to the Underwriting and Servicing
Requirements;

 

to

 

(b)          the
Facility Debt Service for the specified period.

 

“Aggregate Loan to Value Ratio”
means, for any specified date, the ratio (expressed as a percentage) of—

 

(a)          the
Advances Outstanding on the specified date,

 

to

 

(b)          the
sum of (i) the aggregate of the Valuations most recently obtained prior to the specified date for all of the Mortgaged Properties,
plus (ii) any Substitution Deposit being held by Lender as of such specified date.

 

“Allocable Facility Amount”
means the most recently determined amount of the then Advances Outstanding allocated to a particular Mortgaged Property by Lender
in accordance with the Underwriting and Servicing Requirements and as required by this Master Agreement.

 

“Alterations” has the meaning
set forth in Section 6.02(f) (Alterations to the Mortgaged Property).

 

“Amortization Period” means
the period of thirty (30) years.

 

“Amortization Type” has
the meaning set forth in the applicable Schedule of Advance Terms.

 

“Applicable Index” means
(a) with respect to any Variable Structured ARM Advance, either One Month LIBOR or Three Month LIBOR as set forth in the applicable
Schedule of Advance Terms, or (b) with respect to any other Variable Advance, the index pursuant to which the Adjustable Rate is
determined, as set forth in the applicable Schedule of Advance Terms.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Applicable Law” means (a)
all applicable provisions of all constitutions, statutes, rules, regulations and orders of all governmental bodies, all Governmental
Approvals and all orders, judgments and decrees of all courts and arbitrators, (b) all zoning, building, environmental and other
laws, ordinances, rules, regulations and restrictions of any Governmental Authority affecting the ownership, management, use, operation,
maintenance or repair of the Mortgaged Properties, including the Americans with Disabilities Act (if applicable), the Fair Housing
Amendment Act of 1988 and Environmental Laws, (c) any building permits or any conditions, easements, rights-of-way, covenants,
restrictions of record or any recorded or unrecorded agreement affecting or concerning any Mortgaged Property, planned development
permits, condominium declarations, and reciprocal easement and regulatory agreements with any Governmental Authority, (d) all laws,
ordinances, rules and regulations, whether in the form of rent control, rent stabilization or otherwise, that limit or impose conditions
on the amount of rent that may be collected from the units of a Mortgaged Property, and (e) requirements of insurance companies
or similar organizations, affecting the operation or use of any Mortgaged Property or the consummation of the transactions to be
effected by this Master Agreement or any of the other Loan Documents.

 

“Appraisal” means an appraisal
of Multifamily Residential Property conforming to the Underwriting and Servicing Requirements.

 

“Appraised Value” means
the value set forth in an Appraisal.

 

“Bank Secrecy Act” means
the Bank Secrecy Act of 1970, as amended (e.g., 31 U.S.C. Sections 5311-5330).

 

“Bankruptcy Code” means
Title 11 of the United States Code entitled “Bankruptcy” as now and hereafter in effect, or any successor statute.

 

“Bankruptcy Event” means
any one or more of the following:

 

(a)          the
commencement, filing or continuation of a voluntary case or proceeding under one or more of the Insolvency Laws by any Borrower
Entity or Identified Party seeking to take advantage of any other laws, domestic or foreign, relating to bankruptcy, insolvency,
reorganization, debt adjustment, winding up or composition or adjustment of debts;

 

(b)          the
acknowledgment in writing by any Borrower Entity or Identified Party (other than to Lender in connection with a workout) that it
is unable to pay its debts generally as they mature;

 

(c)          the
making of a general assignment for the benefit of creditors by any Borrower Entity or Identified Party;

 

(d)          the
commencement, filing or continuation of an involuntary case or proceeding under one or more Insolvency Laws against any Borrower
Entity or Identified Party;

 

(e)          the
appointment of a receiver (other than a receiver appointed at the direction or request of Lender under the terms of the Loan Documents),
liquidator, custodian, sequestrator, trustee or other similar officer who exercises Control over Borrower or any substantial part
of the assets of any Borrower Entity or Identified Party; or

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(f)          any
action by a Borrower Entity or Identified Party for the purpose of effecting any of the foregoing, provided, however, that any
proceeding or case under (d) or (e) above shall not be a Bankruptcy Event until the ninetieth (90th) day after filing (if
not earlier dismissed) so long as such proceeding or case occurred without the consent, encouragement, active participation or
the failure to object in a timely and appropriate manner by any Borrower Entity or Identified Party (in which event such case or
proceeding shall be a Bankruptcy Event immediately).

 

“Bluerock Operating Partnership”
means Bluerock Residential Holdings, L.P., a Delaware limited partnership.

 

“Borrow Up” has the meaning
set forth in Section 2.02(c)(2)(B) (Future Advances).

 

“Borrower” means individually
(and jointly and severally if more than one), the Initial Borrower and any Additional Borrower becoming a party to this Master
Agreement and any other Loan Documents, together with their permitted successors and assigns.

 

“Borrower Affiliate” means:

 

(a)          any
Person that owns any direct Ownership Interest in Borrower, Guarantor or Key Principal, except that if Guarantor or Key Principal
is a Publicly-Held Corporation or a Publicly-Held Trust, then only the shareholders or beneficial owners of such Publicly-Held
Corporation or a Publicly-Held Trust with the power to vote twenty percent (20%) or more of the Ownership Interests in Guarantor
or Key Principal;

 

(b)          any
Person that indirectly owns, with the power to vote, twenty percent (20%) or more of the Ownership Interests in any Borrower
Entity or Identified Party;

 

(c)          any
Person Controlled by, under common Control with, or which Controls, any Borrower Entity or Identified Party;

 

(d)          any
entity in which any Borrower Entity or Identified Party directly or indirectly owns, with the power to vote, twenty percent (20%)
or more of the Ownership Interests in such entity; or

 

(e)          any
other individual that is related (to the third degree of consanguinity) by blood or marriage to any Borrower Entity or Identified
Party.

 

“Borrower Agent” means Michael
Konig and Jordan Ruddy.

 

“Borrower Entity” means,
individually and collectively, Borrower, Guarantor and Key Principal.

 

“Borrower Manager” means,
individually and collectively, any non-member manager of Borrower with contractual rights to Control Borrower.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 5
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Borrower Owner” means,
individually and collectively, the sole member, managing member or general partner of Borrower.

 

“Borrower Requested Repairs”
means repairs not listed on the Required Repair Schedule requested by Borrower to be reimbursed from the Repairs Escrow Account
and determined advisable by Lender to keep the Mortgaged Property in good order and repair and in a good marketable condition or
to prevent deterioration of the Mortgaged Property.

 

“Borrower Requested Replacements”
means replacements not listed on the Required Replacement Schedule requested by Borrower to be reimbursed from the Replacement
Reserve Account and determined advisable by Lender to keep the Mortgaged Property in good order and repair and in a good marketable
condition or to prevent deterioration of the Mortgaged Property.

 

“Borrower’s General Business
Address” has the meaning set forth in the Summary of Master Terms.

 

“Borrower’s Notice Address”
has the meaning set forth in the Summary of Master Terms.

 

“Business Day” means any
day other than (a) a Saturday, (b) a Sunday, (c) a day on which Lender is not open for business, or (d) a day on which the Federal
Reserve Bank of New York is not open for business.

 

“Calendar Quarter” means,
with respect to any year, any of the following three (3) month periods: (a) January-February-March; (b) April-May-June; (c)
July-August-September; and (d) October-November-December.

 

“Calendar Year” means the
twelve (12) month period from the first day of January to and including the last day of December, and each twelve (12)
month period thereafter.

 

“Cap Security Agreement”
means, individually and collectively, with respect to any Interest Rate Cap, a reserve, hedge assignment and security agreement
between Borrower and Lender, for the benefit of Lender in the form required by Fannie Mae from time to time, which will be issued
by Borrower to Lender concurrently with the funding of a Variable Advance requiring an Interest Rate Cap.

 

“Capitalization Rate” means,
for each Mortgaged Property, a rate selected by Lender for use in determining the Valuations.

 

“Cash Collateral Account”
means the cash collateral account established pursuant to the Cash Collateral Agreement.

 

“Cash Collateral Agreement”
means a cash collateral pledge, security and custody agreement in the form approved by Fannie Mae by and among Fannie Mae, Borrower
and a collateral agent for Fannie Mae, as the same may be amended, modified or supplemented from time to time.

 

“Change of Control” see
“Control.”

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 6
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Collateral”
means the Mortgaged Properties and other collateral from time to time or at any time encumbered by the Security Instruments, or
any other property securing Borrower’s obligations under the Loan Documents.

 

“Collateral Account” means
any account designated by Lender as such pursuant to a Collateral Agreement or as established pursuant to this Master Agreement,
including the Reserve/Escrow Account and any Cash Collateral Account.

 

“Collateral Account Funds”
means, collectively, the funds on deposit in any or all of the Collateral Accounts, including the Reserve/Escrow Account Funds
and any funds in any Cash Collateral Account.

 

“Collateral Agreement” means
any separate agreement between Borrower and Lender and any other party for the establishment of any other fund, reserve or account
affecting the Advance.

 

“Collateral Event” means,
individually and collectively, a Release, Substitution, Addition, Future Advance, and/or Conversion.

 

“Collateral Pool” means
all of the Collateral.

 

“Completion Period” has
the meaning set forth in the Summary of Master Terms.

 

“Condemnation Action” has
the meaning set forth in the Security Instrument.

 

“Confirmation of Environmental Indemnity
Agreement” means a confirmation of the Environmental Indemnity Agreement executed by Borrower in connection with any
Request after the Initial Effective Date, substantially in the form of Exhibit J to this Master Agreement.

 

“Confirmation of Guaranty”
means a confirmation of the Guaranty executed by Guarantor in connection with any Request after the Initial Effective Date, substantially
in the form of Exhibit I to this Master Agreement.

 

“Confirmation of Obligations”
means a Confirmation of Obligations executed by Borrower and Guarantor in connection with any Request after the Initial Effective
Date, pursuant to which Borrower and Guarantor confirm their obligations under the Loan Documents substantially in the form of
Exhibit L to this Master Agreement.

 

“Contribution Agreement”
means the Contribution Agreement by and among Initial Borrower and each Additional Borrower, required by Lender and satisfying
Lender’s requirements, as the same may be amended, restated, modified or supplemented from time to time.

 

“Control” (including with
correlative meanings, such as “Controlling,” “Controlled by” and “under common Control with”)
means, as applied to any entity, the possession, directly or indirectly, of the power to direct or cause the direction of the management
and operations of such entity (including, by way of illustration and not limitation, the power to (1) elect the majority of the
directors of such entity; (2) make management decisions on behalf of or independently select the manager of a limited liability
company or the managing partner of a partnership; (3) independently remove and then select a majority of those individuals exercising
managerial authority over any entity; or (4) limit or otherwise modify the extent of control over the management and operations
of an entity by any Person exercising managerial authority over such entity), whether through the ownership of voting securities
or other Ownership Interests, by contract or otherwise.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 7
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

As used herein, a “Change
of Control” means:

 

		(a)	Guarantor ceases to Control, directly or indirectly,
(i) Borrower, (ii) Bluerock Operating Partnership, (iii) any Person that directly or indirectly Controls Borrower, (iv) any Borrower
Owner, or (v) any Borrower Manager; or

 

		(b)	the Class A Common Stock of Guarantor cease to be publicly
listed or quoted on a national securities exchange or similar quotation system; or

 

		(c)	an Acquiring Person becomes (by acquisition, consolidation,
merger or otherwise), directly or indirectly, the beneficial owner of more than ten percent (10%) of the total Ownership
Interest of Guarantor and any such Acquiring Person is a Prohibited Person; or

 

		(d)	the replacement (other than solely by reason of retirement
at age fifty-five (55) or older, death or disability) of more than fifty percent (50%) (or such lesser percentage as
is required for decision-making by the board of directors or an equivalent governing body) of the members of the board of directors
(or an equivalent governing body) of any Borrower Entity over a one-year period from the directors who constituted such board
of directors at the beginning of such period and such replacement shall not have been approved (including by means of nominating
for election by shareholders of the Borrower Entity) by a vote of at least a majority of the board of directors of any Borrower
Entity then still in office who either were members of such board of directors at the beginning of such one-year period or whose
election as members of the board of directors was previously so approved (it being understood and agreed that in the case of any
entity governed by a trustee, board of managers, or other similar governing body, the foregoing clause (b) shall apply thereto
by substituting such governing body and the members thereof for the board of directors and members thereof, respectively); or

 

		(e)	Bluerock Operating Partnership ceases to Control, directly
or indirectly, any Borrower Owner, any Borrower Manager, or Borrower; or

 

		(f)	Borrower Manager ceases to Control Borrower.

 

For purposes of this definition, “Class
A Common Stock” means Class A Common Stock, $0.01 par value per share, of Guarantor.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 8
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Conversion” means the conversion
of all or a portion of a Variable Note to a Fixed Note pursuant to the Conversion Schedule.

 

“Conversion Amendment” means
an amendment to this Master Agreement and the appropriate Schedules reflecting the Conversion of all or any portion of a Variable
Note to a Fixed Note as set forth in Section 2.10(a) (Conversion from Variable Note to Fixed Note).

 

“Conversion Availability Period”
means with respect to a Conversion of any applicable Variable Advance, the date beginning on the first day of the month following
twelve (12) complete months after the Effective Date of such Variable Advance and ending on the earlier of (a) the first day
of the third month prior to the Maturity Date of such Variable Advance or (b) the first day of the month following the date ten
(10) years after the Initial Effective Date.

 

“Conversion Documents” means
the Conversion Amendment, together with an amendment to each Security Document if required by Lender and other applicable Loan
Documents, in form and substance satisfactory to Lender, reflecting the Conversion of a Variable Note to a Fixed Note pursuant
to Section 2.10(a) (Conversion from Variable Note to Fixed Note).

 

“Conversion Fee” means $25,000
per each Request for Conversion.

 

“Conversion Request” means
a written request, substantially in the form of Exhibit B to this Master Agreement, to convert all or any portion of
a Variable Note to a Fixed Note pursuant to Section 2.10(a) (Conversion from Variable Note to Fixed Note).

 

“Conversion Schedule” means
Schedule 9 attached to this Master Agreement.

 

“Coverage and LTV Tests”
means, for any specified date, each of the following financial tests:

 

(a)          The
Aggregate Debt Service Coverage Ratio is not less than 1.25:1.0 with respect to the amount of the Fixed Advances, and 1.00:1.0
with respect to the amount of the Variable Advances.

 

(b)          The
Aggregate Loan to Value Ratio does not exceed seventy five percent (75%).

 

“Credit Score” means a numerical
value or a categorization derived from a statistical tool or modeling system used to measure credit risk and predict the likelihood
of certain credit behaviors, including default.

 

“Current Index” has the
meaning set forth in applicable Schedule of Advance Terms.

 

“Debt Service Amounts” means
the Monthly Debt Service Payments and all other amounts payable under this Master Agreement, the Note, the Security Instrument
or any other Loan Document.

 

“Debt Service Coverage Ratio”
means, for any Mortgaged Property for any specified period, the ratio (expressed as a percentage) of —

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 9
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(a)          the
Net Cash Flow for the specified period for the preceding number of months as determined pursuant to the Underwriting and Servicing
Requirements;

 

to

 

(b)          the
Facility Debt Service for the specified period, assuming, for the purpose of calculating the Facility Debt Service of this definition,
that Advances Outstanding shall be the Allocable Facility Amount, in each case, for the subject Mortgaged Property.

 

“Default Rate”
means an interest rate equal to the lesser of:

 

(a)          the
sum of the Interest Rate plus four (4) percentage points; or

 

(b)          the
maximum interest rate which may be collected from Borrower under Applicable Law.

 

“Definitions Schedule” means
this Schedule 1 (Definitions Schedule – General) to this Master Agreement.

 

“Economic Sanctions” means
any economic or financial sanction administered or enforced by the United States Government (including, without limitation, those
administered by OFAC at http://www.treasury.gov/about/organizational-structure/offices/Pages/Office-of-Foreign-Assets-Control.aspx),
the U.S. Department of Commerce, or the U.S. Department of State.

 

“Effective Date” means the
Initial Effective Date and each date after the Initial Effective Date on which the funding or other transaction requested in a
Request takes place.

 

“Employee Benefit Plan”
means a plan described in Section 3(3) of ERISA, regardless of whether the plan is subject to ERISA.

 

“Enforcement Costs” has
the meaning set forth in the Security Instrument.

 

“Environmental Indemnity Agreement”
means that certain Environmental Indemnity Agreement dated as of the Effective Date made by Borrower to and for the benefit of
Lender, as the same may be amended, restated, replaced, supplemented, or otherwise modified from time to time.

 

“Environmental Inspections”
has the meaning set forth in the Environmental Indemnity Agreement.

 

“Environmental Laws” has
the meaning set forth in the Environmental Indemnity Agreement.

 

“ERISA” means the Employee
Retirement Income Security Act of 1974, as amended from time to time and the regulations promulgated thereunder.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 10
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“ERISA Affiliate” shall
mean, with respect to Borrower, any entity that, together with Borrower, would be treated as a single employer under Section 414(b)
or (c) of the Internal Revenue Code, or Section 4001(a)(14) of ERISA, or the regulations thereunder.

 

“ERISA Plan” means any employee
pension benefit plan within the meaning of Section 3(2) of ERISA (or related trust) that is subject to the requirements of
Title IV of ERISA, Sections 430 or 431 of the Internal Revenue Code, or Sections 302, 303, or 304 of ERISA, which is
maintained or contributed to by Borrower or its ERISA Affiliates.

 

“Event of Default” means
the occurrence of any event listed in Section 14.01 (Events of Default).

 

“Exceptions to Representations and
Warranties Schedule” means that certain Schedule 16 (Exceptions to Representations and Warranties) to this
Master Agreement.

 

“Facility Debt Service”
means, as of any date, for all purposes other than determining the Strike Rate, the sum of the amount of interest and principal
amortization that would be payable during the applicable period determined by Lender immediately succeeding the date of determination,
except that:

 

(a)          each
Variable Structured ARM Advance to be obtained shall be deemed to require payments equal to the sum of (1) level monthly payments
of principal and interest (with the interest rate calculated as (A) the Applicable Index, plus (B) the Margin (or until
rate locked, the indicative pricing, as determined pursuant to the Underwriting and Servicing Requirements), plus (C) a stressed
underwriting margin of 300 basis points (3.00%) or such lower stressed underwriting margin determined pursuant to the Underwriting
and Servicing Requirements, in an amount necessary to fully amortize the original principal amount of the Variable Structured ARM
Advance over the Amortization Period), plus (2) the Monthly Cap Escrow Payment;

 

(b)          with
respect to each Variable Structured ARM Advance Outstanding:

 

(1)         where
an amortizing Interest Rate Cap has been purchased and is then effective, such Advance shall be deemed to require payments equal
to the sum of (A) level monthly payments of principal and interest (with the interest rate calculated as (i) the Strike Rate applicable
to such Advance, plus (ii) the Margin applicable to such Advance, in an amount necessary to fully amortize the original principal
amount of the Variable Structured ARM Advance over the Amortization Period), plus (B) any Monthly Cap Escrow Payment applicable
to such Advance; and

 

(2)         where
an interest-only Interest Rate Cap has been purchased and is then effective, such Advance shall be deemed to require payments equal
to the sum of (A) level monthly payments of interest (with the interest rate calculated as (i) the Strike Rate applicable to such
Advance, plus (ii) the Margin applicable to such Advance), plus (B) any Monthly Cap Escrow Payment applicable to such Advance;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 11
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(c)          
intentionally deleted;

 

(d)          each
Fixed Advance to be obtained or Variable Advance to be converted shall be deemed to require level monthly payments of principal
and interest (at an interest rate equal to the sum of (1) the base United States Treasury Index Rate for securities having a maturity
substantially similar to the maturity of the Fixed Advance, plus (2) the Fixed Fee (or until rate locked, the estimated Fixed Fee
as determined pursuant to the Underwriting and Servicing Requirements), in an amount necessary to fully amortize the original principal
amount of the Fixed Advance over the Amortization Period); and

 

(e)          each
Fixed Advance Outstanding shall be deemed to require level monthly payments of principal and interest (at the Interest Rate for
such Fixed Advance as set forth in the Schedule of Advance Terms, in an amount necessary to fully amortize the original principal
amount of such Fixed Advance over the Amortization Period).

 

“Facility Year” means the
twelve (12) month period from the first day of the first calendar month after the Initial Effective Date to and including
the last day before the first anniversary of the Initial Effective Date, and each twelve (12) month period thereafter.

 

“Fannie Mae” means the corporation
duly organized and existing under the laws of the United States.

 

“Fifth Anniversary” means
the date that is the first day of the month following the date five (5) years after the Initial Effective Date.

 

“First Anniversary” means
the date that is the first day of the month following the date one (1) year after the Initial Effective Date.

 

“First Payment Date” has
the meaning set forth in the applicable Schedule of Advance Terms.

 

“First Principal and Interest Payment
Date” has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Fixed Advance” means a
fixed rate loan made by Lender to Borrower under this Master Agreement evidenced by a Fixed Note.

 

“Fixed Fee” means, subject
to the provisions of the Conversion Schedule, if applicable, for any Fixed Advance, the number of basis points per annum determined
at the time of funding of such Fixed Advance by Lender as the Fixed Fee for such Fixed Advance.

 

“Fixed Note” means the promissory
note (together with all schedules, riders, allonges, addenda, renewals, extensions, amendments and modifications thereto), which
will be issued by Borrower to Lender, concurrently with the funding of each Fixed Advance, and which promissory note will be the
same or substantially similar in form to the then current form of promissory note utilized by Fannie Mae for fixed rate loans with
the applicable type of loan execution.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 12
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Fixed Monthly Principal Component”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Fixed Rate” has the meaning
set forth in the applicable Schedule of Advance Terms.

 

“Fixtures” has the meaning
set forth in the Security Instrument.

 

“Force Majeure” shall mean
acts of God, acts of war, civil disturbance, governmental action (including the revocation or refusal to grant licenses or permits,
where such revocation or refusal is not due to the fault of Borrower), strikes, lockouts, fire, unavoidable casualties or any other
causes beyond the reasonable control of Borrower (other than lack of financing), and of which Borrower shall have notified Lender
in writing within ten (10) days after its occurrence.

 

“Foreclosure Event” means:

 

(a)          foreclosure
under the Security Instrument;

 

(b)          any
other exercise by Lender of rights and remedies (whether under the Security Instrument or under Applicable Law, including Insolvency
Laws) as holder of the Note and/or the Security Instrument, as a result of which Lender (or its designee or nominee) or a third
party purchaser becomes owner of a Mortgaged Property;

 

(c)          delivery
by Borrower to Lender (or its designee or nominee) of a deed or other conveyance of Borrower’s interest in a Mortgaged Property
in lieu of any of the foregoing; or

 

(d)          in
Louisiana, any dation en paiement.

 

“Future Advance” means an
Advance made after the Initial Effective Date pursuant to Section 2.02(c)(2) (Future Advances) including any Borrow Up and any
refinance of an Advance.

 

“Future Advance Request”
means a written request for a Future Advance, substantially in the form of Exhibit E to this Master Agreement.

 

“Future Advance Schedule”
means Schedule 14 attached to this Master Agreement.

 

“GAAP” means generally accepted
accounting principles in the United States in effect from time to time, consistently applied.

 

“General Conditions” means
those conditions set forth on Schedule 7 attached hereto.

 

“General Conditions Schedule”
means that certain Schedule 7 (General Conditions Schedule) to this Master Agreement.

 

“Goods” has the meaning
set forth in the Security Instrument.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 13
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Governmental Approval”
means an authorization, permit, consent, approval, license, registration or exemption from registration or filing with, or report
to, any Governmental Authority.

 

“Governmental Authority”
means any court, board, commission, department or body of any municipal, county, state or federal governmental unit, or any subdivision
of any court, board, commission, department or body of any municipal, county, state or federal governmental unit, that has or acquires
jurisdiction over Borrower or the Mortgaged Property or the use, operation or improvement of the Mortgaged Property.

 

“Gross Revenues” means,
for any specified period, all income in respect of each Mortgaged Property as reflected on the certified operating statement for
such specified period as adjusted to exclude unusual income (e.g. temporary or nonrecurring income), income not allowed by Lender
pursuant to the Underwriting and Servicing Requirements (e.g. interest income, furniture income, etc.), and the value of any unreflected
concessions.

 

“Guarantor” means, individually
and collectively, any guarantor of the Indebtedness or any other obligation of Borrower under any Loan Document which must be a
Key Principal.

 

“Guarantor’s General Business
Address” has the meaning set forth in the Summary of Master Terms.

 

“Guarantor’s Notice Address”
has the meaning set forth in the Summary of Master Terms.

 

“Guaranty” means, individually
and collectively, any Payment Guaranty, Non-Recourse Guaranty or other guaranty executed by Guarantor in connection with this Master
Agreement.

 

“Hedging Arrangement” means
any interest rate swap, interest rate cap or other arrangement, contractual or otherwise, which has the effect of an interest rate
swap or interest rate cap or which otherwise (directly or indirectly, derivatively or synthetically) hedges interest rate risk
associated with being a debtor of variable rate debt or any agreement or other arrangement to enter into any of the above on a
future date or after the occurrence of one or more events in the future.

 

“Identified Party” means,
individually and collectively, (a) Borrower’s general partners, sole member, managing members and managers (if non-member
managed), and (b) any Person Controlling Borrower, Guarantor, Key Principal or Borrower’s general partners, sole members,
managing members or managers (if non-member managed) but excluding the individuals comprising the Board of Directors of Guarantor
and any Persons directly or indirectly owning any public stock of Guarantor with no other direct or indirect Ownership Interest
in Borrower.

 

“Immediate Family Members”
means a child, stepchild, grandchild, spouse, sibling, or parent, each of whom is not a Prohibited Person.

 

“Imposition Deposits” has
the meaning set forth in the Security Instrument.

 

“Impositions” has the meaning
set forth in the Security Instrument.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 14
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Improvements” has the meaning
set forth in the Security Instrument.

 

“Indebtedness” has the meaning
set forth in the Security Instrument.

 

“Index” has the meaning
set forth in the applicable Schedule of Advance Terms.

 

“Individual Property Coverage and
LTV Tests” means each of the following tests:

 

(a)          the
Debt Service Coverage Ratio is not less than 1.25:1.0 with respect to any Fixed Advance and 1.00:1.0 with respect to any Variable
Advance; and

 

(b)          the
Loan to Value Ratio does not exceed seventy-five percent (75%).

 

“Initial Adjustable Rate”
for a Variable Advance has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Initial Advance” means
the Fixed Advance and/or Variable Advance made on the Initial Effective Date in the aggregate amount of $64,559,000.

 

“Initial Allocable Facility Amount”
means the initial Allocable Facility Amount for each of the Initial Mortgaged Properties as set forth in Exhibit A
to this Master Agreement.

 

“Initial Borrower” means
each Borrower under this Master Agreement as of the Initial Effective Date.

 

“Initial Effective Date”
means the date of this Master Agreement.

 

“Initial Monthly Debt Service Payment”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Initial Mortgaged Properties”
means the Multifamily Residential Properties described on Exhibit A to this Master Agreement and which represent the
Mortgaged Properties that are made part of the Collateral Pool on the Initial Effective Date.

 

“Initial Replacement Reserve Deposit”
has the meaning set forth in the Summary of Master Terms.

 

“Initial Valuation” means,
when used with reference to specified Collateral, the Valuation initially performed for the Collateral as of the date on which
the Collateral was added to the Collateral Pool. The Initial Valuation for each of the Initial Mortgaged Properties is as set forth
in Exhibit A to this Master Agreement.

 

“Insolvency Laws” means
the Bankruptcy Code, together with any other federal or state law affecting debtor and creditor rights or relating to the bankruptcy,
insolvency, reorganization, arrangement, moratorium, readjustment of debt, dissolution, liquidation or similar laws, proceedings,
or equitable principles affecting the enforcement of creditors’ rights, as amended from time to time.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 15
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Insolvent” means:

 

(a)          that
the sum total of all of a specified Person’s liabilities (whether secured or unsecured, contingent or fixed, or liquidated
or unliquidated) is in excess of the value of such Person’s non-exempt assets, i.e., all of the assets of such Person that
are available to satisfy claims of creditors (provided that for the purposes of determining liability for each Borrower under this
definition, liability for the Advances Outstanding under this Master Agreement shall mean the then current Allocable Facility Amount
attributable to the Mortgaged Property owned by each Borrower); or

 

(b)          such
Person’s inability to pay its debts as they become due (provided that for the purposes of determining debt for each Borrower
under this definition, liability for the Advances Outstanding under this Master Agreement shall mean the then current Allocable
Facility Amount attributable to the Mortgaged Property owned by each Borrower).

 

“Insurance Policy” means,
with respect to any Mortgaged Property, the insurance coverage and insurance certificates evidencing such insurance required to
be maintained pursuant to this Master Agreement.

 

“Intended Prepayment Date”
means the date upon which Borrower intends to make a prepayment on an Advance, as set forth in the Prepayment Notice, which date
must be a Permitted Prepayment Date.

 

“Interest Accrual Method”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Interest Only Term” has
the meaning set forth in the applicable Schedule of Advance Terms.

 

“Interest Rate” means with
respect to a Fixed Advance, the Fixed Rate, or with respect to a Variable Advance, the Initial Adjustable Rate and the Adjustable
Rate, each as set forth in the applicable Schedule of Advance Terms.

 

“Interest Rate Cap” has
the meaning set forth in Section 2.03(a)(2)(B)(vi) (Interest Accrual and Computation; Amortization; Interest Rate Cap).

 

“Interest Rate Cap Documents”
means the Cap Security Agreement and any and all other documents required pursuant thereto or hereto or as Lender shall require
from time to time in connection with Borrower’s obligation to maintain an Interest Rate Cap when a Variable Advance is Outstanding.

 

“Interest Rate Type” has
the meaning set forth in the applicable Schedule of Advance Terms.

 

“Internal Revenue Code”
means the Internal Revenue Code of 1986, as amended.

 

“Investor” means any Person
to whom Lender intends to (a) sell, transfer, deliver or assign the Advances in the secondary mortgage market or (b) sell an MBS
backed by the Advances.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 16
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Issuer” means a financial
institution satisfactory to Fannie Mae issuing a Letter of Credit.

 

“Key Principal” means, collectively:

 

(a)          the
natural Person(s) or entity that Controls Borrower that Lender determines is critical to the successful operation and management
of Borrower and the Mortgaged Property, as identified as such in the Summary of Master Terms; or

 

(b)          any
natural Person or entity who becomes a Key Principal after the date of this Master Agreement and is identified as such in an assumption
agreement, or another amendment or supplement to this Master Agreement.

 

“Key Principal’s General Business
Address” has the meaning set forth in the Summary of Master Terms.

 

“Key Principal’s Notice Address”
has the meaning set forth in the Summary of Master Terms.

 

“Land” means the land described
in Exhibit A to the Security Instrument.

 

“Last Interest Only Payment Date”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Late Charge” means an amount
equal to the delinquent amount then due under the Loan Documents multiplied by five percent (5%).

 

“Leases” has the meaning
set forth in the Security Instrument.

 

“Lender” means the entity
identified as “Lender” in the first paragraph of this Master Agreement and its transferees, successors and assigns,
or any subsequent holder of the Note.

 

“Lender’s General Business Address”
has the meaning set forth in the Summary of Master Terms.

 

“Lender’s Notice Address”
has the meaning set forth in the Summary of Master Terms.

 

“Lender’s Payment Address”
has the meaning set forth in the Summary of Master Terms.

 

“Letter of Credit” means
a letter of credit issued by an Issuer satisfactory to Fannie Mae naming Fannie Mae as beneficiary, in form and substance approved
by Lender and Fannie Mae.

 

“Letter of Credit Schedule”
means Schedule 15 attached to this Master Agreement.

 

“LIBOR” means One Month
LIBOR or Three Month LIBOR, as specified by the Current Index set forth in the applicable Schedule of Advance Terms.

 

“Lien” has the meaning set
forth in the Security Instrument.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 17
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Loan Application” means
the application for the Advances submitted by Borrower to Lender.

 

“Loan Document Taxes” has
the meaning set forth in Section 5.02(f) (Loan Document Taxes).

 

“Loan Documents” means the
Note, this Master Agreement, the Security Instrument, the Environmental Indemnity Agreement, the Guaranty, all guaranties, all
indemnity agreements, all Collateral Agreements, all O&M Plans, and any other documents now or in the future executed by Borrower,
Guarantor, Key Principal, any other guarantor or any other Person in connection with the Advances, as such documents may be amended,
restated, replaced, supplemented or otherwise modified from time to time.

 

“Loan Servicer” means the
entity that from time to time is designated by Lender to collect payments and deposits and receive notices under the Note, this
Master Agreement, the Security Instrument and any other Loan Document, and otherwise to service the Advances for the benefit of
Lender. Unless Borrower receives notice to the contrary, the Loan Servicer shall be Lender originally named on the Summary of Master
Terms.

 

“Loan to Value Ratio” means,
for a Mortgaged Property, for any specified date, the ratio (expressed as a percentage) of —

 

(a)          the
Allocable Facility Amount of the subject Mortgaged Property on the specified date,

 

to

 

(b)          the
Valuation most recently obtained prior to the specified date for the subject Mortgaged Property.

 

“Management Agreement” means
that certain Management Agreement dated October 30, 2017 between Borrower and Property Manager, and any future management agreement
approved by Lender.

 

“Margin” means the “Margin”
set forth in the applicable Schedule of Advance Terms, which includes the Variable Fee.

 

“Master Agreement” means
this Master Credit Facility Agreement, as it may be amended, restated, supplemented or otherwise modified from time to time, including
all Recitals, Schedules and Exhibits to this Master Agreement, each of which is hereby incorporated into this Master Agreement
by this reference.

 

“Material Adverse Effect”
means, with respect to any circumstance, act, condition or event of whatever nature (including any adverse determination in any
litigation, arbitration, or governmental investigation or proceeding), whether singularly or in conjunction with any other event
or events, act or acts, condition or conditions, or circumstance or circumstances, whether or not related, a material adverse change
in or a materially adverse effect upon any of

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 18
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(a)          the
business, operations, property or condition (financial or otherwise) of any Borrower Entity, to the extent specifically referred
to in the applicable provision of the applicable Loan Document;

 

(b)          the
present or future ability of Borrower to perform the obligations of Borrower under this Master Agreement and the other Loan Documents,
or of Guarantor to perform its obligations under the Guaranty, as the case may be, to the extent specifically referred to in the
applicable provision of the applicable Loan Document;

 

(c)          the
validity, priority, perfection or enforceability of this Master Agreement or any other Loan Document or the rights or remedies
of Lender under any Loan Document; or

 

(d)          the
value of, or Lender’s ability to have recourse against, any Mortgaged Property.

 

“Material Commercial Lease”
means any Lease that is not a Residential Lease and which is:

 

(a)          a
Lease comprising five percent (5%) or more of the total gross income at any Mortgaged Property on an annualized basis; or

 

(b)          regardless
of the percentage of the total gross income at the Mortgaged Property that it comprises, any Lease relating to:

 

(1)         solar
power, thermal power generation, or co-power generation, or for the installation of solar panels or any other electrical power
generation equipment, and any related power purchase agreement;

 

(2)         mineral
rights or rights relating to subsurface oil and/or natural gas;

 

(3)         telecommunications
or a cell tower; or

 

(4)         any
dwelling unit at the Mortgaged Property leased to Guarantor, Key Principal, or another Borrower Affiliate.

 

“Maturity Date” for any
Advance has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Maximum Inspection Fee”
has the meaning set forth in the Summary of Master Terms.

 

“Maximum Repair Cost” shall
be the amount(s) set forth in the Required Repair Schedule, if any.

 

“Maximum Repair Disbursement Interval”
has the meaning set forth in the Summary of Master Terms.

 

“Maximum Replacement Reserve Disbursement
Interval” has the meaning set forth in the Summary of Master Terms.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 19
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“MBS” means an investment
security that represents an undivided beneficial interest in a pool of mortgage loans or participation interests in mortgage loans
held in trust pursuant to the terms of a governing trust document.

 

“Mezzanine Debt” means a
loan to a direct or indirect owner of Borrower secured by a pledge of such owner’s interest in an entity owning a direct
or indirect interest in Borrower.

 

“Minimum Repairs Disbursement Amount”
has the meaning set forth in the Summary of Master Terms.

 

“Minimum Replacement Reserve Disbursement
Amount” has the meaning set forth in the Summary of Master Terms.

 

“Monthly Cap Escrow Payment”
shall have the same meaning as the term “Monthly Deposit” in the Cap Security Agreement.

 

“Monthly Debt Service Payment”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Monthly Replacement Reserve Deposit”
has the meaning set forth in the Summary of Master Terms.

 

“Moody’s” means Moody’s
Investors Service, Inc., a corporation organized and existing under the laws of the State of Delaware, and its successors and assigns,
if such successors and assigns shall continue to perform the functions of a securities rating agency.

 

“Mortgaged Property” individually
has the meaning set forth in the Security Instrument and collectively means the Initial Mortgaged Properties and the Additional
Mortgaged Properties, but excluding each Release Mortgaged Property from and after the date of its Release from the Collateral
Pool.

 

“Mortgaged Property Addition Schedule”
means Schedule 11 attached to this Master Agreement.

 

“Mortgaged Property Release Schedule”
means Schedule 10 attached to this Master Agreement.

 

“Multiemployer Plan” shall
mean a multiemployer plan within the meaning of Section 4001(a)(3) or Section 3(37) of ERISA (a) to which Borrower
or any ERISA Affiliate is making or accruing an obligation to make contributions; (b) to which Borrower or any ERISA Affiliate
has in the past made contributions; or (c) with respect to which Borrower or any ERISA Affiliate could incur liability.

 

“Multifamily Project Address”
has the meaning set forth in the Summary of Master Terms.

 

“Multifamily Residential Property”
means a residential property located in the United States and conforming to the Underwriting and Servicing Requirements.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 20
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Net Cash Flow” means, for
any specified period determined by Lender with respect to any Mortgaged Property, the net income during such period equal to Gross
Revenues during such period less the aggregate Operating Expenses during such period.

 

“Non-Recourse Guaranty”
means, if applicable, that certain Guaranty of Non-Recourse Obligations of even date herewith executed by Guarantor to and for
the benefit of Lender, as the same may be amended, restated, replaced, supplemented or otherwise modified from time to time.

 

“Note” means, individually
and collectively, each Fixed Note and/or each Variable Note.

 

“O&M Plan” has the meaning
set forth in the Environmental Indemnity Agreement.

 

“OFAC” means the United
States Treasury Department, Office of Foreign Assets Control, and any successor thereto.

 

“One Month LIBOR” means
the ICE Benchmark Administration Limited (or any successor administrator) fixing of the London Inter-Bank Offered Rate for 1-month
U.S. Dollar-denominated deposits as reported by Reuters through electronic transmission. If the foregoing index is no longer posted
through electronic transmission, is no longer available or, in Lender’s determination, is no longer widely accepted or has
been replaced as the index for similar financial instruments (regardless of whether the index continues to be posted electronically
or available), Lender will choose a new Index taking into account general comparability to the previous Index and other factors
and provide notice thereof to Borrower.

 

“Operating Expenses” means,
for any period, all expenses in respect of any Mortgaged Property, as determined pursuant to the Underwriting and Servicing Requirements
based on the certified operating statement for such specified period, as may be adjusted by Lender in its sole and absolute discretion
to provide for the following:

 

(a)          all
appropriate types of expenses, including a management fee, deposits for the Replacements (whether funded or not), and deposits
for Repairs are included in the total operating expense figure;

 

(b)          upward
adjustments to individual line item expenses to reflect market norms or actual costs and to correct any unusually low expense items,
which could not be replicated by a different owner or manager (e.g., a market rate management fee will be included regardless
of whether or not a management fee is charged, market rate payroll will be included regardless of whether shared payroll provides
for economies, etc.); and

 

(c)          downward
adjustments to individual line item expenses to reflect unique or aberrant costs (e.g., non-recurring capital costs, non-operating
borrower expenses, etc.).

 

“Organizational Certificate”
means, collectively, certificates from Borrower and Guarantor to Lender, in the form of Exhibits K-1 and K-2
to this Master Agreement, certifying as to certain organizational matters with respect to each Borrower and Guarantor.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 21
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Organizational Documents”
means all certificates, instruments, other documents and any amendments thereto in effect on the Initial Effective Date and the
applicable Effective Date pursuant to which any Person is organized, operates or is governed, including (a) with respect to a corporation,
its articles of incorporation and bylaws, (b) with respect to a limited partnership, its limited partnership certificate and partnership
agreement, (c) with respect to a general partnership or joint venture, its partnership or joint venture agreement, (d) with respect
to a limited liability company, its articles of organization and operating agreement, in each case all amendments, supplements
and modifications thereto, and (e) any other document that affects the Control of, or the ability to oversee the management and
day-to-day operations of such Person.

 

“Outstanding” or “outstanding”
means, when used in connection with promissory notes, other debt instruments or the Advances, for a specified date, promissory
notes or other debt instruments which have been issued, or Advances which have been made, to the extent not repaid in full as of
the specified date.

 

“Ownership Interests” means,
with respect to any entity, any direct or indirect ownership interests in the entity and any economic rights (such as a right to
distributions, net cash flow or net income) to which the owner of such ownership interests is entitled.

 

“Ownership Interests Schedule”
means Schedule 13 attached to this Master Agreement.

 

“Payment Change Date” has
the meaning set forth in the applicable Schedule of Advance Terms.

 

“Payment Date” means the
First Payment Date and the first (1st) day of each month thereafter until the applicable Advance is fully paid.

 

“Payment Guaranty” means,
if applicable, that certain Guaranty (Payment) of even date herewith executed by Guarantor to and for the benefit of Lender, as
the same may be amended, restated, replaced, supplemented or otherwise modified from time to time.

 

“Permitted Encumbrance”
has the meaning set forth in the Security Instrument.

 

“Permitted Mezzanine Debt”
means Mezzanine Debt incurred by an indirect owner or owners of Borrower provided that (i) such loan is only secured by a pledge
of no more than forty-nine percent (49%) of the indirect Ownership Interests in Borrower and assets that are not included in the
Collateral Pool, (ii) the economic benefits or rights to cash flows attributable to indirect Ownership Interests in Borrower is
not pledged or Transferred separate from the Transfer of such pledged Ownership Interests, and (iii) the exercise of any of the
rights and remedies by the holder or holders of the Mezzanine Debt would not in any circumstance cause (a) a Change of Control,
or (b) a Transfer of a direct or indirect Restricted Ownership Interest in Borrower Entity.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 22
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Permitted Preferred Equity”
means Preferred Equity that does not (a) require mandatory dividends, distributions, payments or returns (including at maturity
or in connection with a redemption), or (b) provide the Preferred Equity owner with rights or remedies on account of a failure
to receive any preferred dividends, distributions, payments or returns (or, if such rights are provided, the exercise of such rights
do not violate the Loan Documents or are otherwise exercised with the prior written consent of Lender in accordance with Article
11 (Liens, Transfers and Assumptions) of this Master Agreement and the payment of all applicable fees and expenses as set forth
in Section 11.03(g) (Further Conditions on Transfers Requiring Lender’s Consent) of this Master Agreement).

 

“Permitted Prepayment Date”
means the last Business Day of a calendar month.

 

“Person” means an individual,
an estate, a trust, a corporation, a partnership, a limited liability company or any other organization or entity (whether governmental
or private).

 

“Personal Property” means
the Goods, accounts, choses of action, chattel paper, documents, general intangibles (including Software), payment intangibles,
instruments, investment property, letter of credit rights, supporting obligations, computer information, source codes, object codes,
records and data, all telephone numbers or listings, claims (including claims for indemnity or breach of warranty), deposit accounts
and other property or assets of any kind or nature related to the Land or the Improvements, including operating agreements, surveys,
plans and specifications and contracts for architectural, engineering and construction services relating to the Land or the Improvements,
and all other intangible property and rights relating to the operation of, or used in connection with, the Land or the Improvements,
including all governmental permits relating to any activities on the Land.

 

“Personalty” has the meaning
set forth in the Security Instrument.

 

“Potential Event of Default”
means any event or circumstance that, with the giving of notice or the passage of time, or both, would constitute an Event of Default.

 

“Preferred Equity” means
a direct or indirect equity Ownership Interest in, economic interests in, or rights with respect to, Borrower that provide an equity
owner preferred dividend, distribution, payment, or return treatment relative to other equity owners.

 

“Prepayment Lockout Period”
for any Advance has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Prepayment Notice” means
the written notice that Borrower is required to provide to Lender in accordance with Section 2.04 (Prepayment; Prepayment Lockout;
Prepayment Premium) in order to make a prepayment on an Advance, which shall include, at a minimum, the Intended Prepayment Date.

 

“Prepayment Premium” means,
individually, the amount payable by Borrower in connection with a prepayment of an Advance, as provided in Section 2.04 (Prepayment;
Prepayment Lockout; Prepayment Premium) and calculated in accordance with the Prepayment Premium Schedule applicable to such Advance
for such Advance, and, collectively, all amounts payable pursuant to all Prepayment Premium Schedules.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 23
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Prepayment Premium Period End Date”
or “Yield Maintenance Period End Date” for any Advance has the meaning set forth in the applicable Schedule
of Advance Terms.

 

“Prepayment Premium Period Term”
or “Yield Maintenance Period Term” for any Advance has the meaning set forth in the applicable Schedule of Advance
Terms.

 

“Prepayment Premium Schedule”
means, individually and collectively, Schedule 4 (Prepayment Premium) to this Master Agreement for each Advance.

 

“Prepayment Premium Term”
for any Advance has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Prohibited Person” means:

 

(a)          any
Person with whom Lender or Fannie Mae is prohibited from doing business pursuant to any law, rule, regulation, judicial proceeding
or administrative directive; or

 

(b)          any
Person identified on the United States Department of Housing and Urban Development’s “Limited Denial of Participation,
HUD Funding Disqualifications and Voluntary Abstentions List,” or on the General Services Administration’s “System
for Award Management (SAM)” exclusion list, each of which may be amended from time to time, and any successor or replacement
thereof; or

 

(c)          any
Person that is determined by Fannie Mae to pose an unacceptable credit risk due to the aggregate amount of debt of such Person
owned or held by Fannie Mae; or

 

(d)          any
Person that has caused any unsatisfactory experience of a material nature with Fannie Mae or Lender, such as a default, fraud,
intentional misrepresentation, litigation, arbitration or other similar act.

 

“Property Delivery Deadline”
has the meaning set forth in the Mortgaged Property Addition Schedule.

 

“Property Jurisdiction”
has the meaning set forth in the Security Instrument.

 

“Property Manager” means
Carroll Management Group, LLC, a Georgia limited liability company, or any other property manager approved by Lender.

 

“Property-Related Documents”
has the meaning set forth on Schedule 8 attached to this Master Agreement.

 

“Property-Related Documents Schedule”
means Schedule 8 attached to this Master Agreement.

 

“Publicly-Held Corporation”
means a corporation, the outstanding voting stock of which is registered under Sections 12(b) or 12(g) of the Securities Exchange
Act of 1934, as amended.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 24
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Publicly-Held Trust” means
a real estate investment trust, the outstanding voting shares or beneficial interests of which are registered under Sections 12(b)
or 12(g) of the Securities Exchange Act of 1934, as amended.

 

“Rate Change Date” has the
meaning set forth in the applicable Schedule of Advance Terms.

 

“Release” has the meaning
set forth in Section 2.10(b) (Right to Obtain Releases of Mortgaged Property).

 

“Release Documents” mean
instruments releasing the applicable Security Instrument as a Lien on a Mortgaged Property, and UCC-3 Termination Statements terminating
the UCC-1 Financing Statements, and such other documents and instruments to evidence the Release of such Mortgaged Property from
the Collateral Pool.

 

“Release Fee” means with
respect to any Release effected in accordance with Section 2.10(b) (Right to Obtain Releases of Mortgaged Property), a fee in the
amount of $25,000 per Release Mortgaged Property.

 

“Release Mortgaged Property”
means the Mortgaged Property to be released pursuant to Section 2.10(b) (Right to Obtain Releases of Mortgaged Property).

 

“Release Price” has the
meaning set forth in the Mortgaged Property Release Schedule.

 

“Release Request” means
a written request, substantially in the form of Exhibit C to this Master Agreement, to obtain a Release of Mortgaged
Property from the Collateral Pool pursuant to Section 2.10(b) (Right to Obtain Releases of Mortgaged Property).

 

“Remaining Amortization Period”
has the meaning set forth in the applicable Schedule of Advance Terms.

 

“Remaining Mortgaged Properties”
has the meaning set forth in the Mortgaged Property Release Schedule.

 

“Rent Roll” means, with
respect to any Mortgaged Property, a rent roll prepared and certified by the owner of such Mortgaged Property, on a form approved
by Lender.

 

“Rents” has the meaning
set forth in the Security Instrument.

 

“Repair Threshold” has the
meaning set forth in the Summary of Master Terms.

 

“Repairs” means, individually
and collectively, the Required Repairs, Borrower Requested Repairs, and Additional Lender Repairs.

 

“Repairs Escrow Account”
means the account established by Lender into which the Repairs Escrow Deposit is deposited to fund the Repairs.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 25
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Repairs Escrow Account Administrative
Fee” has the meaning set forth in the Summary of Master Terms.

 

“Repairs Escrow Deposit”
has the meaning set forth in the Summary of Master Terms.

 

“Replacement Reserve Account”
means the account established by Lender into which the Replacement Reserve Deposits are deposited to fund the Replacements.

 

“Replacement Reserve Account Administration
Fee” has the meaning set forth in the Summary of Master Terms.

 

“Replacement Reserve Account Interest
Disbursement Frequency” has the meaning set forth in the Summary of Master Terms.

 

“Replacement Reserve Deposits”
means the Initial Replacement Reserve Deposit, Monthly Replacement Reserve Deposits and any other deposits to the Replacement Reserve
Account required by this Master Agreement.

 

“Replacement Threshold”
has the meaning set forth in the Summary of Master Terms.

 

“Replacements” means, individually
and collectively, the Required Replacements, Borrower Requested Replacements and Additional Lender Replacements.

 

“Request” means a Future
Advance Request, an Addition Request, a Release Request, or a Conversion Request.

 

“Request Opinion” means
a favorable opinion of counsel (including local counsel, as applicable) to Borrower, as to the due organization and qualification
of Borrower, the due authorization, execution, delivery and enforceability of each Loan Document executed in connection with the
applicable Request and such other matters as Lender may reasonably require, each dated as of the Effective Date for the Request,
in form and substance satisfactory to Lender in all respects.

 

“Required Repair Schedule”
means that certain Schedule 6 (Required Repair Schedule) to this Master Agreement.

 

“Required Repairs” means
those items listed on the Required Repair Schedule.

 

“Required Replacement Schedule”
means that certain Schedule 5 (Required Replacement Schedule) to this Master Agreement.

 

“Required Replacements”
means those items listed on the Required Replacement Schedule.

 

“Rescinded Payment” has
the meaning set forth in Section 3.12 (Preferences, Fraudulent Conveyances, Etc.) of this Master Agreement.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 26
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Reserve/Escrow Account Funds”
means, collectively, the funds on deposit in the Reserve/Escrow Accounts.

 

“Reserve/Escrow Accounts”
means, together, the Replacement Reserve Account and the Repairs Escrow Account.

 

“Residential Lease” means
a Lease of an individual dwelling unit.

 

“Restoration” means restoring
and repairing the applicable Mortgaged Property to the equivalent of its physical condition immediately prior to the casualty or
to a condition approved by Lender following a casualty.

 

“Restricted Ownership Interest”
means:

 

(a)          with
respect to Bluerock Operating Partnership, the requirement that Bluerock Operating Partnership owns the following direct or indirect
Ownership Interests in each Borrower, Borrower Sole Owner and Borrower Manager:

 

(i)        if
Borrower, Borrower Sole Owner or Borrower Manager is a general partnership or a joint venture, at least fifty percent (50%)
of all general partnership or joint venture interests in such entity;

 

(ii)         if
Borrower, Borrower Sole Owner or Borrower Manager is a limited partnership:

 

(1)         all
general partner interests; and

 

(2)         at
least fifty-one percent (51%) of all limited partnership interests in such entity;

 

(iii)        if
Borrower, Borrower Sole Owner or Borrower Manager is a limited liability company or a limited liability partnership:

 

(1)         the
interest of any managing member;

 

(2)         the
contractual rights of any non-member manager;

 

(3)         at
least fifty-one percent (51%) of all membership or other Ownership Interests in such entity; and

 

(4)        the
amount of membership or Ownership Interests sufficient to have the power to appoint or change any manager;

 

(iv)        if
Borrower, Borrower Sole Owner or Borrower Manager is a corporation (other than a Publicly-Held Corporation) with only one class
of voting stock, at least fifty-one percent (51%) of voting stock in such corporation;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 27
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(v)         if
Borrower, Borrower Sole Owner or Borrower Manager is a corporation (other than a Publicly-Held Corporation) with more than one
class of voting stock, the amount of shares of voting stock sufficient to have the power to elect the majority of directors of
such corporation; or

 

(vi)        if
Borrower, Borrower Sole Owner or Borrower Manager is a trust (other than a land trust or a Publicly-Held Trust), the power to Control
such trust vested in the trustee of such trust or the ability to remove, appoint or substitute the trustee of such trust (unless
the trustee of such trust after such removal, appointment or substitution is a trustee identified in the trust agreement approved
by Lender).

 

(b)        With
respect to Borrower Sole Owner, the requirement that it owns at least ninety percent (90%) of the Ownership Interests in Borrower
and the right to appoint and remove any non-member manager of Borrower.

 

(c)          With
respect to Guarantor, the requirement that Guarantor owns the following Ownership Interests in Bluerock Operating Partnership:

 

(i)          all
general partner interests; and

 

(ii)         at
least sixty percent (60%) of all limited partnership interests in such entity.

 

“Re-Underwriting Fee” means
a non-refundable fee of $4,500 per Mortgaged Property then in the Collateral Pool in connection with any Borrow Up.

 

“Review Fee” means the non-refundable
fee of $6,000 payable to Lender.

 

“S&P” means Standard
& Poor’s Credit Markets Services, a division of The McGraw-Hill Companies, Inc., a New York corporation, and its successors
and assigns, if such successors and assigns shall continue to perform the functions of a securities rating agency.

 

“Sanctioned Country” means
a country subject to either a targeted or comprehensive country-wide sanctions program administered and enforced by OFAC, which
list is updated from time to time.

 

“Sanctioned Person” means
(a) a Person named on the list of “Specially Designated Nationals and Blocked Persons” maintained by OFAC, available
at http://www.treasury.gov/resource-center/sanctions/SDN-List/Pages/default.aspx, or as otherwise published from time to time;
(b) (1) an agency of the government of a Sanctioned Country, (2) an organization controlled by a Sanctioned Country,
or (3) a Person resident in a Sanctioned Country, to the extent any Person described in clauses (1), (2) or (3) is the subject
of a sanctions program administered by OFAC; and, (c) a Person whose property and interests in property are blocked pursuant to
an Executive Order or regulations administered by OFAC consistent with the guidance issued by OFAC.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 28
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Schedule of Advance Terms”
means, individually and collectively as the context may require the Schedule(s) of Advance Terms attached to this Master Agreement
as Schedule 3 as of the Initial Effective Date and as such Schedule shall be amended or supplemented with respect to
any Future Advance.

 

“Security Documents” means
the Security Instruments and any other documents executed by Borrower or Guarantor from time to time to secure any of Borrower’s
or Guarantor’s obligations under the Loan Documents, as the same may be amended, restated, modified or supplemented from
time to time.

 

“Security Instrument” means
for each Mortgaged Property, a Multifamily Mortgage, Deed of Trust or Deed to Secure Debt, Assignment of Leases and Rents and Security
Agreement given by a Borrower to or for the benefit of Lender to secure the obligations of Borrower under the Loan Documents. With
respect to each Mortgaged Property owned by a Borrower, the Security Instrument shall be substantially in the form published by
Fannie Mae for use in the state in which the Mortgaged Property is located. The amount secured by the Security Instrument shall
be equal to the aggregate original principal amount of all Advances Outstanding in effect from time to time.

 

“Selected Advance” has the
meaning set forth in Section (d) (Application of Release Price) of the Mortgaged Property Release Schedule.

 

“Senior Management” means
Ramin Kamfar, Michael Konig, Jordan Ruddy or Chris Vohs.

 

“Servicing Arrangement”
means any arrangement between Lender and the Loan Servicer for loss sharing or interim advancement of funds.

 

“Single Purpose” means compliance
with Section 4.01(h) (Borrower Status – Representations and Warranties – Single Purpose Status) and Section 4.02(d)
(Borrower Status – Covenants – Single Purpose Status) of this Master Agreement.

 

“SPE Owner” means the entities
identified on the Ownership Interests Schedule that comply with the provisions of Section 4.02(d) (Borrower Status – Covenants
– Single Purpose Status) and the SPE Requirements, as such schedule may be updated with the Addition of new Borrowers to
the Master Agreement. At the time of the Initial Effective Date, there are no SPE Owners other than Borrowers.

 

“SPE Requirements” means
those provisions set forth on the SPE Requirements Schedule.

 

“SPE Requirements Schedule”
means Schedule 17 attached to this Master Agreement.

 

“Staggered Substitution”
means a Substitution of Additional Mortgaged Property that occurs subsequent to the release of the Release Mortgaged Property.

 

“Strike Rate”
means:

 

(a)          In
determining the Strike Rate for new Interest Rate Caps (other than replacement Interest Rate Caps) purchased in connection with
Future Advances that are Variable Advances made under this Master Agreement, the Strike Rate shall be the lower of (x) the
percentage approved by Lender and (y) the percentage derived by taking:

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 29
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(1)         the
Net Cash Flow for all Mortgaged Properties, minus

 

(A)         the
product of (i) 1.25 and (ii) the payment due on each Fixed Advance provided that:

 

(1)         each
Fixed Advance to be obtained or Variable Advance to be converted shall be deemed to require level monthly payments of principal
and interest (at an interest rate equal to the sum of (A) the base United States Treasury Index Rate for securities having
a maturity substantially similar to the maturity of the Fixed Advance, plus (B) the Fixed Fee (or until rate locked, the estimated
Fixed Fee as determined pursuant to the Underwriting and Servicing Requirements), in an amount necessary to fully amortize the
original principal amount of the Fixed Advance over the Amortization Period) (provided, however, if there are no principal payments
due on a Fixed Advance during the Interest Rate Cap term for which the Strike Rate is being calculated, then the payments relating
to such Fixed Advance shall not be required to include principal amortization for purposes of this calculation);

 

(2)         each
Fixed Advance Outstanding shall be deemed to require level monthly payments of principal and interest (at the Interest Rate for
such Fixed Advance as set forth in the Schedule of Advance Terms, in an amount necessary to fully amortize the original principal
amount of such Fixed Advance over the Amortization Period) (provided, however, if there are no principal payments due on a Fixed
Advance during the Interest Rate Cap term for which the Strike Rate is being calculated, then the payments relating to such Fixed
Advance shall not be required to include principal amortization for purposes of this calculation);

 

minus

 

(B)         the
product of (i) 1.00 and (ii) the payment due on each Variable Structured ARM Advance Outstanding, provided that each Variable Structured
ARM Advance Outstanding shall be deemed to require payments equal to the sum of (1) monthly payments of principal and interest
(with the interest rate calculated as (A) the weighted average Strike Rate for all outstanding Interest Rate Caps plus (B) the
Margin applicable to such non-replacement Interest Rate Caps, in an amount necessary to fully amortize the original principal amount
of the Variable Structured ARM Advance over the Amortization Period, and the principal component of the Variable Structured ARM
Advance payment(s) equal to the Fixed Monthly Principal Component as set forth in the Schedule of Advance Terms), plus (2) the
Monthly Cap Escrow Payments, if any, for the succeeding twelve (12) month period (provided, however, if there are no principal
payments due on a Variable Structured ARM Advance during the Interest Rate Cap term for which the Strike Rate is being calculated,
then the payments relating to such Variable Structured ARM Advance shall not be required to include principal amortization for
purposes of this calculation). Notwithstanding the foregoing, if there are Variable Structured ARM Advances Outstanding for which
there are no Interest Rate Caps outstanding at the time of the calculation, then such Variable Advances shall be included in (3)
below;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 30
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

divided by

 

(2)         1.00

 

divided by

 

(3)         the
total of all Variable Advances to be obtained or Variable Advances Outstanding, that were not included in (a)(1)(B), at the time
of the calculation of the Strike Rate

 

minus

 

(4)         the
amortization factor for all Variable Advances to be obtained or Variable Advances Outstanding if principal is to be paid during
the Interest Rate Cap term

 

minus

 

(5)         the
Margin (or for Variable Structured ARM Advances to be obtained, until rate locked, the indicative pricing as determined pursuant
to the Underwriting and Servicing Requirements).

 

(b)          In
determining the Strike Rate for any replacement Interest Rate Cap purchased in connection with this Master Agreement pursuant to
the Cap Security Agreement, the Strike Rate shall be the lower of (x) the percentage approved by Lender and (y) the percentage
derived by taking:

 

(1)         the
Net Cash Flow for all Mortgaged Properties, minus

 

(A)         the
product of (i) 1.25 and (ii) the payment due on each Fixed Advance provided that each Fixed Advance Outstanding shall be deemed
to require level monthly payments of principal and interest (at the Interest Rate for such Fixed Advance as set forth in the Schedule
of Advance Terms, in an amount necessary to fully amortize the original principal amount of such Fixed Advance over the Amortization
Period) (provided, however, if there are no principal payments due on a Fixed Advance during the Interest Rate Cap term for which
the Strike Rate is being calculated, then the payments relating to such Fixed Advance shall not be required to include principal
amortization for purposes of this calculation)

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 31
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

minus

 

(B)         the
product of (i) 1.00 and (ii) the payment due on each Variable Structured ARM Advance Outstanding where the applicable Interest
Rate Cap is not being replaced in connection with the calculation of the Strike Rate, provided that each Variable Structured ARM
Advance Outstanding shall be deemed to require payments equal to the sum of (1) monthly payments of principal and interest (with
the interest rate calculated as (A) the weighted average Strike Rate for all outstanding Interest Rate Caps plus (B) the Margin
applicable to such non-replacement Interest Rate Caps, in an amount necessary to fully amortize the original principal amount of
the Variable Structured ARM Advance over the Amortization Period, and the principal component of the Variable Structured ARM Advance
payment(s) equal to the Fixed Monthly Principal Component as set forth in the Schedule of Advance Terms), plus (2) the Monthly
Cap Escrow Payments, if any, for the succeeding twelve (12) month period (provided, however, if there are no principal payments
due on a Variable Structured ARM Advance during the Interest Rate Cap term for which the Strike Rate is being calculated, then
the payments relating to such Variable Structured ARM Advance shall not be required to include principal amortization for purposes
of this calculation). Notwithstanding the foregoing, if there are Variable Structured ARM Advances Outstanding for which there
are no Interest Rate Caps outstanding at the time of the calculation, then such Variable Advances shall be included in (3) below

 

divided by

 

(2)         1.00

 

divided by

 

(3)         the
total of all Variable Advances Outstanding, that were not included in (b)(1)(B), at the time of the calculation

 

minus

 

(4)         the
amortization factor for all Variable Advances to be obtained or Variable Advances Outstanding if principal is to be paid during
the Interest Rate Cap term

 

minus

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 32
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

(5)         the
Margin (or for Variable Structured ARM Advances to be obtained, until rate locked, the indicative pricing as determined pursuant
to the Underwriting and Servicing Requirements).

 

“Substitution” has the meaning
set forth in Section 2.10(d) (Right to Substitutions).

 

“Substitution Cost Deposit”
has the meaning set forth in the Mortgaged Property Release Schedule.

 

“Substitution Costs” has
the meaning set forth in the Mortgaged Property Release Schedule.

 

“Substitution Deposit” has
the meaning set forth in the Mortgaged Property Release Schedule.

 

“Substitution Fee” means
with respect to any Substitution effected in accordance with Section 2.10(d) (Right to Substitutions), a fee in the amount which
is the greater of (a) 50 basis points (.50%) multiplied by the Allocable Facility Amount of the Mortgaged Property being added
in connection with the Substitution, and (b) $50,000.

 

“Summary of Master Terms”
means that certain Schedule 2 (Summary of Master Terms) to this Master Agreement.

 

“Survey” means the as-built
survey of each Mortgaged Property prepared in accordance with the Underwriting and Servicing Requirements.

 

“Taxes” has the meaning
set forth in the Security Instrument.

 

“Term of this Master Agreement”
means the period beginning on the Initial Effective Date and ending on the Termination Date.

 

“Termination Date” means
the earlier of (a) the date this Master Agreement is terminated pursuant to a Termination Request and (b) at any time during which
Advances are Outstanding, the latest Maturity Date for any Advance Outstanding.

 

“Termination Documents”
means the instruments releasing the Security Instruments as liens on the Mortgaged Properties, UCC-3 Termination Statements terminating
the UCC-1 Financing Statements in favor of Lender, and such other documents and instruments necessary to evidence the release of
the Collateral from any Lien securing the Indebtedness, and the Notes, all in connection with the termination of this Master Agreement
pursuant to Section 2.11 (Termination of Master Agreement).

 

“Termination Request” means
a written request, substantially in the form of Exhibit F to this Master Agreement, to terminate this Master Agreement
pursuant to Section 2.11 (Termination of Master Agreement).

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 33
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Three Month LIBOR” means
the ICE Benchmark Administration Limited (or any successor administrator) fixing of the London Inter-Bank Offered Rate for 3-month
U.S. Dollar-denominated deposits as reported by Reuters through electronic transmission. If the foregoing index is no longer posted
through electronic transmission, is no longer available or, in Lender’s determination, is no longer widely accepted or has
been replaced as the index for similar financial instruments (regardless of whether the index continues to be posted electronically
or available), Lender will choose a new Index taking into account general comparability to the previous Index and other factors
and provide notice thereof to Borrower.

 

“Title Company” means the
title company which provides title insurance for the applicable Mortgaged Property.

 

“Title Policy” means, individually
and collectively, the mortgagee’s loan policies of title insurance issued by the Title Company from time to time in connection
with the Advances and insuring the lien of the Security Instrument as set forth therein, as approved by Lender, including any endorsements
attached thereto.

 

“Transfer” means:

 

(a)          as
used with respect to Ownership Interests, (1) a sale, assignment, pledge, grant or creation of a lien, encumbrance or security
interest, transfer or other disposition (whether voluntary, involuntary, or by operation of law) in any right, title or interest
in any Ownership Interest in a Borrower Entity or Identified Party, or (2) the issuance or other creation of new Ownership Interests
in a Borrower Entity, or (3) a merger or consolidation of Borrower Entity or Identified Party into another entity or of another
entity into Borrower Entity or Identified Party as the case may be, or (4) the conversion of a Borrower Entity or Identified Party
from one type of entity to another type of entity, or (5) the amendment, modification or any other change in the governing instrument
or instruments of Borrower Entity or Identified Party which has the effect of changing the relative powers, rights, privileges,
voting rights or economic interests of the Ownership Interests in such Borrower Entity or Identified Party; or (6) the withdrawal,
removal or involuntary resignation of any owner or manager of any Borrower Entity or Identified Party;

 

(b)          as
used with respect to a Mortgaged Property, (1) a sale, assignment, lease, pledge, transfer or other disposition (whether voluntary
or by operation of law) other than Residential Leases, Material Commercial Leases or non-Material Commercial Leases permitted by
this Master Agreement, or (2) a grant, pledge, creation or attachment of a lien (other than a Permitted Encumbrance), encumbrance
or security interest (whether voluntary, involuntary, or by operation of law) in, any estate, rights, title or interest in the
Mortgaged Property, or any portion thereof.

 

“Transfer Fee” means a fee
equal to one percent (1%) of the unpaid principal balance of the Advances Outstanding (or such lesser amount as determined
by Lender) payable to Lender.

 

“Treasury Regulations” means
regulations, revenue rulings and other public interpretations of the Internal Revenue Code by the Internal Revenue Service, as
such regulations, rulings and interpretations may be amended or otherwise revised from time to time.

 

“UCC” has the meaning set
forth in the Security Instrument.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 34
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“UCC Collateral” has the
meaning set forth in the Security Instrument.

 

“Underwriting and Servicing Requirements”
means Lender’s overall requirements for Multifamily Residential Properties in connection with similar loans sold or anticipated
to be sold to Fannie Mae, pursuant to Fannie Mae’s then current guidelines, including, requirements relating to appraisals,
property condition assessments, environmental site assessments, and servicing and asset management, as such requirements may be
amended, modified, updated, superseded, supplemented or replaced from time to time.

 

“Valuation” means, for any
specified date, with respect to a Multifamily Residential Property, (a) if an Appraisal of the Multifamily Residential Property
was more recently obtained by Lender than a Capitalization Rate for the Multifamily Residential Property, the Appraised Value of
such Multifamily Residential Property, or (b) if a Capitalization Rate for the Multifamily Residential Property was more recently
obtained by Lender than an Appraisal of the Multifamily Residential Property, the value derived by dividing—

 

(1)         the
Net Cash Flow of such Multifamily Residential Property, by

 

(2)         the
most recent Capitalization Rate determined by Lender.

 

Notwithstanding the foregoing, any Valuation
for a Multifamily Residential Property calculated for a date occurring before the first anniversary of the date on which the Multifamily
Residential Property becomes a part of the Collateral Pool shall equal the Appraised Value of such Multifamily Residential Property,
unless Lender determines that changed market or property conditions warrant that the value be determined as set forth in the preceding
sentence. If, after the first anniversary of the date on which any Multifamily Residential Property becomes a part of the Collateral
Pool, Borrower disputes the Valuation of such Multifamily Residential Property determined by utilizing the Capitalization Rate
pursuant to subsection (b) above, then at Borrower’s written request, Lender shall obtain an Appraisal of such Multifamily
Residential Property, at Borrower’s sole cost and expense, to determine Valuation.

 

“Variable Advance” means
any variable rate execution approved by Lender evidenced by a Variable Note.

 

“Variable Fee” means for
any Variable Advance, the number of basis points per annum determined at the time of funding of such Variable Advance by Lender
as the Variable Fee for such Variable Advance.

 

“Variable Note” means the
promissory note (together with all schedules, riders, allonges, addenda, renewals, extensions, amendments and modifications thereto),
which will be issued by Borrower to Lender, concurrently with the funding of each Variable Advance, and which promissory note will
be the same or substantially similar in form to the then current form of promissory note utilized by Fannie Mae for variable rate
loans with the applicable type of loan execution.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 35
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

“Variable Structured ARM Advance”
means a loan made by Lender to Borrower that is anticipated to be sold to Fannie Mae under the Fannie Mae Structured Adjustable
Rate Mortgage Program.

 

“Voidable Transfer” means
any fraudulent conveyance, preference or other voidable or recoverable payment of money or transfer of property.

 

“Yield Maintenance Period End Date”
or “Prepayment Premium Period End Date” for any Advance has the meaning set forth in the applicable Schedule
of Advance Terms.

 

“Yield Maintenance Period Term”
or “Prepayment Premium Period Term” for any Advance has the meaning set forth in the applicable Schedule of
Advance Terms.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 36
	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 1 TO

MASTER CREDIT FACILITY AGREEMENT

 

Definitions Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial
                                         Page

	Schedule 1 (Definitions Schedule)
	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 2 TO

MASTER CREDIT FACILITY AGREEMENT

 

Summary of Master Terms

 

	I.           GENERAL PARTY AND MULTIFAMILY PROJECT INFORMATION
	Borrower	
         

        (a)   BR
        METROWEST, LLC, a Delaware limited liability company

        (b)   BRG
        FNMA SHELF 1, LLC, a Delaware limited liability company

        (c)   BRG
        FNMA SHELF 2, LLC, a Delaware limited liability company

        (d)   BRG
        FNMA SHELF 3, LLC, a Delaware limited liability company

        (e)   BRG
        FNMA SHELF 4, LLC, Delaware limited liability company

        (f)    BRG
        FNMA SHELF 5, LLC, a Delaware limited liability company

        (g)   BRG
        FNMA SHELF 6, LLC, a Delaware limited liability company

        (h)   BRG
        FNMA SHELF 7, LLC, a Delaware limited liability company

        (i)    BRG
        FNMA SHELF 8, LLC, a Delaware limited liability company

        (j)    BRG
        FNMA SHELF 9, LLC, a Delaware limited liability company

        (k)   BRG
        FNMA SHELF 10, LLC, a Delaware limited liability company

         

	Lender	Walker & Dunlop, LLC, a Delaware limited liability company
	Key Principal	
         

        (a)   Bluerock
        Residential Growth REIT, Inc., a Maryland corporation

        (b)   Bluerock
        Residential Holdings, L.P., a Delaware limited partnership

         

	Guarantor	Bluerock Residential Growth REIT, Inc., a Maryland corporation

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 2 (Summary of Master Terms)	12-17
	© 2017 Fannie Mae

     

    

 

	Multifamily Project	ARIUM MetroWest Apartments: 2450 Lake Debra Drive, Orange County, Orlando, FL 32835
	ADDRESSES
	Borrower’s General Business Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

	Borrower’s Notice Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

        Attn: Michael Konig, Esq. and Jordan Ruddy

        mkonig@bluerockre.com and jruddy@bluerockre.com

	Multifamily Project Address	ARIUM MetroWest Apartments:  2450 Lake Debra Drive, Orange County, Orlando, FL 32835
	Key Principal’s General Business Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

	Key Principal’s Notice Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

        Attn: Michael Konig, Esq. and Jordan Ruddy

        mkonig@bluerockre.com and jruddy@bluerockre.com

	Guarantor’s General Business Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

	Guarantor’s Notice Address	
        c/o Bluerock Real Estate, LLC

        712 Fifth Avenue, 9th Floor

        New York, NY 10019

        Attn: Michael Konig, Esq. and Jordan Ruddy

        mkonig@bluerockre.com and jruddy@bluerockre.com

	Lender’s General Business Address	
        Walker & Dunlop, LLC

        7501 Wisconsin Avenue, Suite 1200

        Bethesda, Maryland 20814

	Lender’s Notice Address	
        Walker & Dunlop, LLC

        7501 Wisconsin Avenue, Suite 1200

        Bethesda, Maryland 20814

        Email: servicing@walkerdunlop.com

	Lender’s Payment Address	
        Walker & Dunlop, LLC

        7501 Wisconsin Avenue, Suite 1200

        Bethesda, Maryland 20814

        Attention: Loan Servicing

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 2 (Summary of Master Terms)	12-17
	© 2017 Fannie Mae

     

    

 

	II.          RESERVE INFORMATION
	Completion Period	Within the time period shown on the Required Repair Schedule (provided that life safety Repairs shall be completed prior to the Effective Date unless the Mortgaged Property is being acquired in an arm’s-length transaction with an unrelated third party, in which case life safety Repairs shall be completed within one (1) month of the Effective Date).
	Initial Replacement Reserve Deposit	As set forth on the Required Replacement Schedule
	Maximum Inspection Fee	$750.00
	Maximum Repair Disbursement Interval	One time(s) per calendar month
	Maximum Replacement Reserve Disbursement Interval	One time(s) per calendar month
	Minimum Repairs Disbursement Amount	$5,000.00
	Minimum Replacement Reserve Disbursement Amount	$5,000.00
	Monthly Replacement Reserve Deposit	As set forth on the Required Replacement Schedule 
	Repair Threshold	$10,000.00
	Repairs Escrow Account Administrative Fee	$250.00 payable one time
	Repairs Escrow Deposit	As set forth on the Required Repair Schedule
	Replacement Reserve Account Administration Fee	$250.00, payable annually
	Replacement Reserve Account Interest Disbursement Frequency	Annually
	Replacement Threshold	$5,000.00

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Schedule 2 (Summary of Master Terms)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 2 TO

 MASTER CREDIT FACILITY AGREEMENT

 

Summary of Master Terms

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule
                                         2 (Summary of Master Terms)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 3.1 TO

MASTER CREDIT FACILITY AGREEMENT

 

	
        III.         INFORMATION
        FOR $64,559,000 FIXED ADVANCE

        MADE APRIL 30, 2018

	Advance Amount	$64,559,000
	Advance Term	84 months
	Advance Year	The period beginning on the Effective Date and ending on the last day of April, 2019, and each successive twelve (12) month period thereafter.
	Amortization Type	
         ̈     Amortizing

         ̈     Full
        Term Interest Only

        x     Partial
        Interest Only

	Effective Date	April 30, 2018.
	First Payment Date	The first day of June, 2018.
	First Principal and Interest Payment Date	The first day of June, 2021.
	Fixed Rate	4.43%
	Interest Accrual Method 	Actual/360 (computed on the basis of a three hundred sixty (360) day year and the actual number of calendar days during the applicable month, calculated by multiplying the unpaid principal balance of the Advance by the Interest Rate, dividing the product by three hundred sixty (360), and multiplying the quotient obtained by the actual number of days elapsed in the applicable month).
	Interest Only Term	36 months
	Interest Rate	The Fixed Rate

 

    	Master Credit Facility Agreement	Form 6001.MCFA

	Page 1
	Schedule 3.1 (Schedule of Advance Terms)	 12-17	© 2017 Fannie Mae

     

    

 

	Interest Rate Type	Fixed Rate
	Last Interest Only Payment Date	The first day of May, 2021.
	Maturity Date	The first day of May, 2025, or any earlier date on which the unpaid principal balance of the Advance becomes due and payable by acceleration or otherwise.
	Monthly Debt Service Payment	
        (i)          $246,274.65
        for the First Payment Date;

        (ii)         for
        each Payment Date thereafter through and including the Last Interest Only Payment Date:

        (a)          $222,441.62
        if the prior month was a 28-day month;

        (b)          $230,385.96
        if the prior month was a 29-day month;

        (c)          $238,330.31
        if the prior month was a 30-day month; and

        (d)          $246,274.65
        if the prior month was a 31-day month; and

        (iii)        $324,431.30
        for the First Principal and Interest Payment Date and each Payment Date thereafter until the Advance is fully paid.

	Prepayment Lockout Period	0 Advance Years of the of the term of the Advance.
	Remaining Amortization Period	As of the First Principal and Interest Payment Date and each Payment Date thereafter, the Amortization Period minus the number of scheduled principal and interest Monthly Debt Service Payments that have elapsed since the Effective Date.

 

	IV.          YIELD MAINTENANCE/PREPAYMENT PREMIUM INFORMATION
	Yield Maintenance Period End Date	The last day of October, 2024.
	Yield Maintenance Period Term	78 months

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA

	Page 2
	Schedule 3.1 (Schedule of Advance Terms)	 12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 3.1 TO

MASTER CREDIT FACILITY AGREEMENT

 

Schedule of Advance Terms

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA

	Initial Page

	Schedule 3.1 (Schedule of Advance Terms)	 12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 4.1 TO

MASTER CREDIT FACILITY AGREEMENT

 

Prepayment Premium Schedule

(Standard Yield Maintenance – Fixed
Rate)

 

1.             Defined
Terms.

 

All capitalized terms used
but not defined in this Prepayment Premium Schedule shall have the meanings assigned to them in this Master Agreement.

 

2.            Prepayment
Premium.

 

Any Prepayment Premium
payable under Section 2.04 (Prepayment; Prepayment Lockout; Prepayment Premium) of this Master Agreement shall be computed
as follows:

 

(a)          If
the prepayment is made at any time after the Effective Date and before the Yield Maintenance Period End Date, the Prepayment Premium
shall be the greater of:

 

(1)         one
percent (1%) of the amount of principal being prepaid; or

 

(2)         the
product obtained by multiplying:

 

(A)         the
amount of principal being prepaid,

 

		by	

 

(B)         the
difference obtained by subtracting from the Fixed Rate on the Advance, the Yield Rate (as defined below) on the twenty-fifth (25th)
Business Day preceding (i) the Intended Prepayment Date, or (ii) the date Lender accelerates the Advance or otherwise
accepts a prepayment pursuant to Section 2.06 (Application of Collateral) of this Master Agreement,

 

		by	

 

(C)         the
present value factor calculated using the following formula:

 

1 - (1 + r)-n/12

r

 

		[r =	Yield Rate

 

		n =	the number of months remaining between (i) either of the following: (x) in the case of
a voluntary prepayment, the last day of the month in which the prepayment is made, or (y) in any other case, the date on which
Lender accelerates the unpaid principal balance of the Advance and (ii) the Yield Maintenance Period End Date.

 

    	Master Credit Facility Agreement
	Form 6104.01.MCFA	Page 1
	Schedule 4.1 (Prepayment Premium Schedule)
	08-13
	© 2017 Fannie Mae

     

    

 

For purposes of this clause (2),
the “Yield Rate” means the yield calculated by interpolating the yields for the immediately shorter and longer
term U.S. “Treasury constant maturities” (as reported in the Federal Reserve Statistical Release H.15 Selected Interest
Rates (the “Fed Release”) under the heading “U.S. government securities”) closest to the remaining
term of the Yield Maintenance Period Term, as follows (rounded to three (3) decimal places):

  

 

		a =	the yield for the longer U.S. Treasury constant maturity

		b =	the yield for the shorter U.S. Treasury constant maturity

		x =	the term of the longer U.S. Treasury constant maturity

		y =	the term of the shorter U.S. Treasury constant maturity

		z =	“n” (as defined in the present value factor calculation above) divided by twelve (12).

 

Notwithstanding any provision to
the contrary, if “z” equals a term reported under the U.S. “Treasury constant maturities” subheading
in the Fed Release, the yield for such term shall be used, and interpolation shall not be necessary. If publication of the Fed
Release is discontinued by the Federal Reserve Board, Lender shall determine the Yield Rate from another source selected by Lender.
Any determination of the Yield Rate by Lender will be binding absent manifest error.]

 

(b)          If
the prepayment is made on or after the Yield Maintenance Period End Date but before the last calendar day of the fourth (4th)
month prior to the month in which the Maturity Date occurs, the Prepayment Premium shall be one percent (1%) of the amount
of principal being prepaid.

 

    	Master Credit Facility Agreement
	Form 6104.01.MCFA	Page 2
	Schedule 4.1 (Prepayment Premium Schedule)
	08-13
	© 2017 Fannie Mae

     

    

 

(c)          Notwithstanding
the provisions of Section 2.04 (Prepayment; Prepayment Lockout; Prepayment Premium) of this Master Agreement, no Prepayment
Premium shall be payable with respect to any prepayment made on or after the last calendar day of the fourth (4th) month prior
to the month in which the Maturity Date occurs.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement
	Form 6104.01.MCFA	Page 3
	Schedule 4.1 (Prepayment Premium Schedule)
	08-13
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 4.1 TO

MASTER CREDIT FACILITY AGREEMENT

 

Prepayment Premium Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement
	Form 6001.MCFA	Initial Page
	Schedule 4.1 (Prepayment Premium Schedule)
	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 5 TO

MASTER CREDIT FACILITY AGREEMENT

 

Required Replacement Schedule

 

	Mortgaged Property	 	Initial Replacement Reserve 
 Deposit	 	 	Monthly Replacement 
 Reserve Deposit	 
	ARIUM MetroWest Apartments	 	$	0	 	 	$	10,242.50	 

 

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement
	Form 6001.MCFA
	Page 1
	Schedule 5 (Required Replacement Schedule)
	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 5 TO

MASTER CREDIT FACILITY AGREEMENT

 

Required Replacement Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement
	Form 6001.MCFA
	Initial Page

	Schedule 5 (Required Replacement Schedule)
	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 6 TO

MASTER CREDIT FACILITY AGREEMENT

 

	Mortgaged Property Name:	ARIUM MetroWest Apartments
	 	 
	Repairs Escrow Deposit:	$0.00
	 	 
	Repairs:	None

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 6 (Required Repair Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 6 TO

MASTER CREDIT FACILITY AGREEMENT

 

Required Repair Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 6 (Required Repair Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 7 TO

MASTER CREDIT FACILITY AGREEMENT

 

General Conditions Schedule

 

Borrower’s right
to close any transaction requested in a Request (other than a Termination Request) shall be subject to satisfaction of the following
General Conditions precedent, in addition to any other applicable conditions precedent contained in this Master Agreement:

 

(a)          No
Material Adverse Effect.

 

There has been no Material
Adverse Effect since the later of the Initial Effective Date and the date of the last amendment to the Master Agreement.

 

(b)          No
Default.

 

There shall exist no Event
of Default or Potential Event of Default (that is not otherwise cured by the closing of such Request). The closing of such Request
shall not result in an Event of Default or Potential Event of Default.

 

(c)          No
Insolvency.

 

Receipt by Lender on the
Effective Date for the Request of evidence satisfactory to Lender that neither Borrower nor any general partner or sole member
of Borrower is Insolvent or will be rendered Insolvent by the transactions contemplated by the Loan Documents or, after giving
effect to such transactions, will be left with an unreasonably small capital with which to engage in its business or undertakings,
or will have intended to incur, or believe that it has incurred, debts beyond its ability to pay such debts as they mature or will
have intended to hinder, delay or defraud any existing or future creditor.

 

(d)          Representations
and Warranties.

 

All representations and
warranties made by Borrower and Guarantor in the Loan Documents shall be true and correct on the Effective Date for the Request
with the same force and effect as if such representations and warranties had been made on and as of the Effective Date for the
Request.

 

(e)          Payment
of Expenses.

 

The payment by Borrower
of Lender’s and Fannie Mae’s reasonable third party out-of-pocket fees and expenses payable in accordance with this
Master Agreement, including the legal fees and expenses described in Section 4.02(g) (Payments of Costs, Fees, and Expenses) of
this Master Agreement whether or not the Request closes; provided, however, if Borrower makes a Request and fails to close on a
Request for any reason other than the default by Lender, then Borrower shall also pay to Lender and Fannie Mae all actual damages
incurred by Lender and Fannie Mae in connection with the failure to close.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 7 (General Conditions Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(f)          No
Untrue Statements.

 

The Loan Documents shall
not contain any untrue or misleading statement of a material fact and shall not fail to state a material fact necessary to make
the information contained therein not misleading.

 

(g)          Covenants.

 

Borrower and Guarantor
are in full compliance with each of the covenants contained in the Loan Documents, without giving effect to any notice and cure
rights of Borrower and Guarantor.

 

(h)          Delivery
of Closing Documents.

 

The receipt by Lender of
the following, each dated as of the Effective Date for the Request, in form and substance satisfactory to Lender in all respects:

 

(1)         the
Loan Documents relating to such Request including an Organizational Certificate; and

 

(2)         such
other documents, instruments, approvals (and, if requested by Lender, certified duplicates of executed copies thereof) and opinions
as Lender may reasonably request.

 

(i)          [Intentionally
Deleted.]

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 7 (General Conditions Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 7 TO

MASTER CREDIT FACILITY AGREEMENT

 

General Conditions Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 7 (General Conditions Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 8 TO

MASTER CREDIT FACILITY AGREEMENT

 

Property-Related Documents
Schedule

 

With respect to any Additional
Mortgaged Property or Future Advance, it shall be a condition precedent that Lender receive from Borrower each of the documents
and reports required by Lender in connection with the addition of such Mortgaged Property to the Collateral Pool or making of such
Future Advance and, each of the following, each dated as of the applicable Effective Date, in form and substance satisfactory to
Lender in all respects (the “Property-Related Documents”):

 

(a)          a
commitment for the Title Policy applicable to each Mortgaged Property being added and a pro forma Title Policy based on the commitment
in the amount of title insurance afforded by the Title Policy for each Mortgaged Property being added to the Collateral Pool (1)
if tie-in endorsements are available for all or a portion of the Mortgaged Properties, in an aggregate amount equal to the combined
Allocable Facility Amounts for all of the Mortgaged Properties covered by the tie-in endorsements, not to exceed the amount of
the aggregate original principal amount of all Advances Outstanding, or (2) if a tie-in endorsement is not available for any Mortgaged
Property, then with respect to such Mortgaged Properties not subject to the tie-in endorsement an amount equal to one hundred twenty-five
percent (125%) of the Valuation of such Mortgaged Property not subject to the tie-in endorsement (or such lesser amount that
is the maximum allowed by law or regulation);

 

(b)          a
Security Instrument for each Additional Mortgaged Property. The amount secured by each Security Instrument shall be equal to the
aggregate original principal amount of all Advances Outstanding in effect from time to time;

 

(c)          a
title instruction letter directing the Title Company to file and/or record in all applicable jurisdictions, all applicable Loan
Documents required by Lender to be filed or recorded, including duly executed and delivered original copies of the Security Instruments
covering the applicable Mortgaged Properties and UCC-1 Financing Statements covering the portion of the Collateral comprised of
personal property, and other appropriate instruments, in form and substance satisfactory to Lender and in form proper for recordation,
as may be necessary in the opinion of Lender to perfect the Liens created by the applicable Security Instruments and any other
Loan Documents creating a Lien in favor of Lender, and the payment of all taxes, fees and other charges payable in connection with
such execution, delivery, recording and filing;

 

(d)          if
the Title Policy for an Additional Mortgaged Property contains a tie-in endorsement (as available), an endorsement to each Title
Policy for each Mortgaged Property in the Collateral Pool containing a tie-in endorsement, adding a reference to the Additional
Mortgaged Property;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 8 (Property-Related Documents Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(e)          if
required by Lender, amendments to this Master Agreement, the Notes and the existing Security Instruments, reflecting any Addition,
Substitution or Future Advance and increase in the secured amount of each Security Instrument, if applicable, and, as to any Security
Instrument or Note so amended or if Lender determines that such endorsement is necessary to maintain the priority of the Lien created
in favor of Lender with respect to the Outstanding Indebtedness or to maintain the validity of any Title Policy, the receipt by
Lender of an endorsement to each Title Policy insuring the amended Security Instruments, amending the effective date of each Title
Policy to the Effective Date and showing no additional exceptions to coverage other than the exceptions shown on the initial Effective
Date for such Mortgaged Property, Permitted Encumbrances and other exceptions approved by Lender, together with any reinsurance
agreements required by Lender;

 

(f)          clean
UCC searches, judgment searches and tax lien searches on Borrower, Guarantor, and SPE Owner and other Identified Parties;

 

(g)          the
Insurance Policy (or a certified copy of the Insurance Policy) applicable to the Additional Mortgaged Property;

 

(h)          unless
waived by Lender, the Survey applicable to the Additional Mortgaged Property and approved by Lender (which shall be last revised
no more than forty-five (45) days prior to the applicable Effective Date);

 

(i)          either
(1) (A) letters or other evidence with respect to the Additional Mortgaged Property from the appropriate Governmental Authority
concerning applicable zoning and building laws, and (B) a zoning endorsement to the Title Policy or (2) a zoning opinion letter,
in each case in substance satisfactory to Lender;

 

(j)          a
Guaranty or Confirmation of Guaranty by each party providing a Guaranty to Lender;

 

(k)          a
Contribution Agreement or an amendment thereto;

 

(l)          an
Environmental Indemnity Agreement, amendment thereto or Confirmation of Environmental Indemnity Agreement, as required by Lender;

 

(m)          an
Assignment of Management Agreement or an amendment thereto applicable to the Additional Mortgaged Property, on the standard form
required by Lender;

 

(n)          an
assignment of leases and rents applicable to the Additional Mortgaged Property, if Lender determines one to be necessary or desirable;

 

(o)          any
required subordination, non-disturbance and attornment agreements and/or estoppel certificates with respect to any commercial leases,
master leases and/or ground lease (if any) affecting the Additional Mortgaged Property; and

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 8 (Property-Related Documents Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(p)          such
other documents, instruments and approvals (and if requested by Lender, certified duplicates of executed copies thereof) as Lender
may reasonably request.

 

[Remainder
of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Schedule 8 (Property-Related Documents Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 8 TO

MASTER CREDIT FACILITY AGREEMENT

 

Property-Related Documents Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 8 (Property-Related Documents Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 9 TO

MASTER CREDIT FACILITY AGREEMENT

 

Conversion Schedule

 

The procedure for converting
all or any portion of a Variable Note to a Fixed Note contained in this Conversion Schedule shall apply to all Conversion of Variable
Notes to Fixed Notes which are permitted during the Conversion Availability Period.

 

(a)          Request.

 

Borrower shall deliver
a Conversion Request to Lender. Each Conversion Request shall designate the amount of the Variable Note Outstanding to be converted.
Each Conversion Request shall be in the minimum amount of $5,000,000 or such other amount permitted by Lender.

 

(b)          Underwriting
and Terms of Conversion.

 

(1)         Coverage
and LTV Tests; Failure to Underwrite.

 

After giving
effect to the requested Conversion, the Coverage and LTV Tests shall be satisfied. In the event that the Coverage and LTV Tests
would not be satisfied after the proposed Conversion, if Borrower continues to elect the Conversion, Borrower shall prepay such
Advances or a portion of an Advance to meet the Coverage and LTV Tests and shall pay all Prepayment Premiums and other fees associated
with such prepayment.

 

(2)         Maturity
Date of Converted Advances.

 

Upon Conversion,
such converted Note shall have a Maturity Date specified by Borrower, provided that such Maturity Date shall be subject to Section
2.03(a)(5) (Maturity Dates).

 

(3)         Interest
Rate for Converted Note; Guaranty and Servicing Fee.

 

The
Interest Rate for such converted Note shall be determined by Lender at the time of the Conversion. The guaranty and servicing fee
applicable to such converted Note shall be determined by Lender prior to such Conversion.

 

(c)          Conditions
Precedent.

 

The
Conversion of all or a portion of a Variable Note to a Fixed Note on the applicable Effective Date shall be subject to satisfaction
of the following conditions precedent:

 

(1)         satisfaction
of the tests set forth in (b) (Underwriting and Terms of Conversion) of this Conversion Schedule;

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 1
	Schedule 9 (Conversion Schedule)	12-17	© 2017 Fannie Mae

     

    

 

(2)         receipt
by Lender of:

 

(A)         if
required by Lender, an endorsement to each Title Policy, amending the effective date of the Title Policy to the Effective Date
and showing no additional exceptions to coverage other than the exceptions shown on the Effective Date when each Title Policy was
issued, Permitted Encumbrances and other exceptions approved by Lender;

 

(B)         clean
UCC searches, judgment searches and tax lien searches on Borrower, Guarantor, and SPE Owner and other Identified Parties;

 

(C)         the
Conversion Fee;

 

(D)         a
Request Opinion; and

 

(E)         one (1)
or more executed, original counterparts of all Conversion Documents, dated as of the Effective Date, each of which shall be in
full force and effect and in form and substance satisfactory to Lender in all respects; and

 

(3)         satisfaction
of all General Conditions.

 

(d)          Closing.

 

The Effective Date shall
occur during the Conversion Availability Period and in connection with a Variable Structured ARM Advance on a Rate Change Date.
The Effective Date of a Conversion shall not be earlier than thirty (30) Business Days after Lender’s receipt of the
Conversion Request (or on such other date as Borrower and Lender may agree). At the closing, Lender and Borrower shall execute
and deliver, at the sole cost and expense of Borrower, in form and substance satisfactory to Lender, the Conversion Documents.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 2
	Schedule 9 (Conversion Schedule)	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 9 TO

MASTER CREDIT FACILITY AGREEMENT

 

Conversion Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Initial Page

	Schedule 9 (Conversion Schedule)	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 10 TO

MASTER CREDIT FACILITY AGREEMENT

 

Mortgaged Property Release
Schedule

 

Any Mortgaged Property
released from the Collateral Pool pursuant to Section 2.10 (Collateral Events) of this Master Agreement shall be subject to the
terms of this Master Agreement including this Mortgaged Property Release Schedule.

 

(a)          Request.

 

(1)         To
obtain a Release of a Mortgaged Property from the Collateral Pool, Borrower shall deliver a Release Request to Lender. Borrower
shall not be permitted to re-borrow any amounts that will be prepaid in connection with the Release and any prepayments associated
with such release shall automatically result in a permanent reduction of the Advances Outstanding.

 

(2)         In
connection with a Substitution, Borrower shall simultaneously deliver to Lender both a completed and executed Release Request and
Addition Request pursuant to the Mortgaged Property Addition Schedule (unless the substitute Additional Mortgaged Property has
not been identified by Borrower, in which case Borrower shall submit the Addition Request not less than sixty (60) Calendar
Days prior to the date on which Borrower desires to add such Additional Mortgaged Property, but not later than sixty (60)
Calendar Days prior to the Property Delivery Deadline). The Release Request shall indicate whether Borrower is requesting a simultaneous
Substitution or a Staggered Substitution (as described in Section (e)(2)(B) (Closing) of the Mortgaged Property Addition Schedule).

 

(b)          Underwriting.

 

(1)         Lender
shall release a Released Mortgaged Property pursuant to a Release Request if all of the following conditions are satisfied:

 

(A)         the
resulting Collateral Pool satisfies the Coverage and LTV Tests; and

 

(B)         the
Aggregate Debt Service Coverage Ratio will not be reduced and the Aggregate Loan to Value Ratio will not be increased as a result
of such Release.

 

(c)          Release
Price. 

 

(1)         The
“Release Price” for each Release Mortgaged Property means the greater of

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 1
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(A)         one
hundred percent (100%) of the Allocable Facility Amount for the Release Mortgaged Property; and

 

(B)         one
hundred percent (100%) of the amount, if any, of Advances Outstanding that are required to be repaid by Borrower to Lender in connection
with the proposed Release of the Release Mortgaged Property from the Collateral Pool so that, immediately after the Release, the
provisions of Section (b) (Underwriting) of this Mortgaged Property Release Schedule shall be satisfied.

 

(2)         In
addition to the Release Price, Borrower shall pay to Lender all associated Prepayment Premiums and other amounts due under the
Notes evidencing the Advances being repaid. In connection with a Staggered Substitution, Borrower shall post a Substitution Deposit
(which shall include the Release Price) pursuant to the terms of this Mortgaged Property Release Schedule.

 

(d)          Application
of Release Price.

 

(1)         The
Release Price for the Release Mortgaged Property shall be applied in reduction of the principal amounts of the Advances Outstanding
in the order selected by Borrower, provided that (A) any amount of the Note that Borrower elects to prepay must be prepaid in full
or, if the Release Price is not sufficient to do so, the Note shall be the only Note partially prepaid; (B) prepayment is permitted
under such Note; (C) any Prepayment Premium due and owing is paid; and (D) interest is paid through the end of the month. If Borrower
does not give Lender direction with respect to the application of the Release Price or if the selected Note does not comply with
the provisions of (A) and (B) above, then the Release Price shall be applied:

 

(i)          first
against any Variable Advances Outstanding so long as the prepayment is permitted under the Variable Note (and any Prepayment Premium
due and owing is paid), until any Variable Advance is no longer Outstanding (provided that, in the event there are multiple Variable
Advances Outstanding, Lender shall determine the order of application of the Release Price taking into account factors including
the unpaid principal balances of the Variable Notes, and which Variable Note Outstanding has the lowest prepayment costs or highest
interest rate);

 

(ii)         then
against any Fixed Advances Outstanding, so long as prepayment is permitted under the applicable Fixed Note (and any Prepayment
Premium due and owing is paid) (provided that, in the event there are multiple Fixed Advances Outstanding, Lender shall determine
the order of application of the Release Price taking into account factors including the unpaid principal balances of the Fixed
Notes, and which Fixed Note Outstanding has the lowest prepayment costs or the highest interest rate).

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 2
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

The Note to be prepaid or partially
prepaid as determined pursuant to this Section (d) (Application of Release Price), shall be referred to as the “Selected
Advance”.

 

(2)         In
connection with a Substitution, Borrower may substitute a Mortgaged Property that has an estimated Allocable Facility Amount that
is less than the Allocable Facility Amount of the Release Mortgaged Property so long as Borrower pays the Release Price associated
with the difference between such Allocable Facility Amounts.

 

(e)          Conditions
Precedent.

 

The Release of a Mortgaged
Property from the Collateral Pool is subject to the satisfaction of the following conditions precedent on or before the Effective
Date:

 

(1)         the
Selected Advance must be prepayable as of the Effective Date of the Release of such Mortgaged Property;

 

(2)         receipt
by Lender of the fully executed Release Request;

 

(3)         immediately
after giving effect to the requested Release, the provisions of Section (b) (Underwriting) of this Mortgaged Property Release Schedule
are satisfied;

 

(4)         receipt
by Lender of the Release Price and all amounts owing under Section (c) (Release Price) of this Mortgaged Property Release Schedule,
or, in connection with a Staggered Substitution, receipt by Lender of the Substitution Deposit (inclusive of the Substitution Cost
Deposit) to the extent necessary under Section (g)(1) (The Substitution Deposit) of this Mortgaged Property Release Schedule;

 

(5)         receipt
by Lender of the Release Fee, or in connection with a Substitution, receipt by Lender of the Substitution Fee;

 

(6)         receipt
by Lender of all legal fees and expenses in connection with a Release Request;

 

(7)         receipt
by Lender of one (1) or more executed, original counterparts of all Release Documents, dated as of the Effective Date, each
of which shall be in full force and effect, in form and substance satisfactory to Lender in all respects;

 

(8)         if
required by Lender, amendments to this Master Agreement, the Notes and the Security Instruments, reflecting the release of the
Release Mortgaged Property from the Collateral Pool and, as to any Security Instrument or Note so amended or if Lender determines
that such endorsement is necessary to maintain the priority of the Lien created in favor of Lender with respect to the Outstanding
Indebtedness or to maintain the validity of any Title Policy, the receipt by Lender of an endorsement to each Title Policy insuring
the Security Instruments, amending the effective date of each Title Policy to the Effective Date and showing no additional exceptions
to coverage other than the exceptions shown on the initial Effective Date for such Mortgaged Property, Permitted Encumbrances and
other exceptions approved by Lender;

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 3
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(9)         satisfaction
of all applicable General Conditions;

 

(10)        if
the Release Mortgaged Property is one phase of a project, and one or more other phases of the project are Mortgaged Properties
which will remain in the Collateral Pool (“Remaining
Mortgaged Properties”), the Remaining Mortgaged Properties must be able to be operated separately from the Release
Mortgaged Property and any other phases of the project which are not Mortgaged Properties, taking into account any cross use agreements
or easements, access, utilities, marketability, community services, ownership and operation of the Remaining Mortgaged Properties
and any other relevant factors pursuant to the Underwriting and Servicing Requirements. Borrower shall deliver to Lender evidence
satisfactory to Lender that this condition precedent is satisfied prior to the closing of the transaction that is the subject of
the Request. Borrower acknowledges that none of the Initial Mortgaged Properties are part of a phase of a project;

 

(11)        after
the Release no Borrower owns the Release Mortgaged Property or any portion thereof, and any remaining SPE Owner continues to satisfy
the SPE Requirements;

 

(12)        receipt
by Lender of endorsements to the tie-in endorsements of the Title Policies, if deemed necessary by Lender, to reflect the Release.
Notwithstanding anything to the contrary herein, no Release of any Mortgaged Property in the Collateral Pool shall be made unless
Borrower has provided title insurance to Lender in respect of each of the remaining Mortgaged Properties in the Collateral Pool
in an amount equal to one hundred twenty-five percent (125%) of the Initial Valuation of such Mortgaged Properties (which
amount shall take into account the title insurance coverage provided by any “tie-in” endorsements); and

 

(13)        receipt
by Lender on the Effective Date of a Confirmation of Obligations and a Confirmation of Guaranty.

 

(f)          Closing.

 

If all conditions precedent
contained in this Master Agreement are satisfied, (i) Lender shall cause the Release Mortgaged Property to be Released on an Effective
Date selected by Lender, and occurring within thirty (30) days after Lender’s receipt of the Release Request (or on
such other date as Borrower and Lender may agree), by executing and delivering, and causing all applicable parties to execute and
deliver, all at the sole cost and expense of Borrower, the Release Documents, and (ii) upon Release of the Release Mortgaged Property,
Lender shall disburse to Borrower the portion (if any) of any Imposition Deposits and amounts on deposit in the Replacement Reserve
Account and the Repairs Escrow Account that are allocable to such Release Mortgaged Property. If approved by Lender, Borrower may
prepare the Release Documents and submit them to Lender for its review.

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 4
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(g)          Staggered
Substitution Specific Terms.

 

The following provisions
are applicable to Staggered Substitutions only:

 

(1)         The
Substitution Deposit.

 

If a Substitution
is a Staggered Substitution, on or before the Effective Date of the Release of the Release Mortgaged Property, Borrower shall deposit
with Lender the “Substitution Deposit” described below in the form of cash in a non-interest bearing account
held by Lender as additional Collateral. In lieu of (or in addition to) depositing cash for the Substitution Deposit, Borrower
may post a Letter of Credit as additional Collateral issued by a financial institution reasonably acceptable to Lender in accordance
with the Letter of Credit Schedule, with a face amount available to be drawn equal to the Substitution Deposit (less any amount
deposited in cash) as additional Collateral.

 

(2)         Substitution
Deposit Amount.

 

(A)         The
“Substitution Deposit” for each proposed Staggered Substitution shall be an amount equal to the sum of:

 

(i)          the
Release Price relating to the Release Mortgaged Property; plus

 

(ii)         any
and all Prepayment Premiums, as applicable, for the Selected Advance determined in accordance with the conditions set forth in
Section (d) (Application of Release Price) of this Mortgaged Property Release Schedule, as the Advance(s) that shall be prepaid
if the Substitution fails to take place. The Prepayment Premium shall be calculated as of the end of the month in which the Property
Delivery Deadline occurs, as if the Selected Advance were to be prepaid in such month; plus

 

(iii)        estimated
costs, expenses and fees of Lender and Fannie Mae pertaining to the Substitution (such costs, fees and expenses, the “Substitution
Cost Deposit”); plus

 

(iv)        without
duplication to any other amounts included in the definition of Substitution Deposit, in the event that (1) at the time of the Release
no Note is prepayable (i.e. all Notes are subject to a lockout period) or (2) the Release Price is in excess of all Notes that
are open to prepayment, all scheduled principal and interest due and owing through the end of the lockout period with respect to
such Selected Advance.

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 5
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

The amount of
the required Substitution Deposit shall be recalculated by Lender in the event the Property Delivery Deadline is extended pursuant
to Section (e) (Closing) of the Mortgaged Property Addition Schedule, and in the event a Substitution is partially satisfied by
the Addition of an Additional Mortgaged Property, as further set forth in Section (f)(2)) (Substitution Deposit Disbursement and
Recalculation) of the Mortgaged Property Addition Schedule.

 

(B)         The
Substitution Cost Deposit shall be used by Lender to cover all reasonable out-of-pocket costs and expenses incurred by Lender and
Fannie Mae, including any out-of-pocket legal fees and expenses incurred by Fannie Mae and Lender in connection with such Substitution
whether such Substitution actually closes (the “Substitution Costs”).

 

(3)         Continued
Obligations; Restriction on Borrowings.

 

(A)         Borrower
shall continue to be obligated to make any regularly scheduled payments of principal and interest due under all Notes Outstanding
during the Staggered Substitution period. Until the completion of the Staggered Substitution, no Future Advances will be permitted
unless and until the provisions of Section (f)(1) (Failure to Close Substitution) of the Mortgaged Property Addition Schedule are
satisfied.

 

(B)         In
connection with a Staggered Substitution, until the Addition of the Additional Mortgaged Property to the Collateral Pool and closing
of the Substitution occurs, no Future Advances or other Requests will be permitted, provided that a Termination Request shall be
permitted subject to satisfaction of the conditions in Section 2.11 (Termination of Master Agreement), and a Conversion pursuant
to a Conversion Request shall be permitted subject to satisfaction of the conditions in the Conversion Schedule; provided further,
however, with respect to any Conversion, the Substitution Deposit shall be recalculated based on the provisions in Section (g)
(Staggered Substitution Specific Terms) of this Mortgaged Property Release Schedule and Borrower shall deposit with Lender as additional
Collateral all increases, if any, in such Substitution Deposit within five (5) days after receipt of notice of the same).

 

(C)         Notwithstanding
anything to the contrary in this Master Agreement, no Staggered Substitution shall be permitted unless immediately after the Release
of the Release Mortgaged Property the requirements in Section 2.10(e) (Limitation on Collateral Events) are satisfied.

 

(h)          Release
of Borrower and Guarantor.

 

Except for any provisions
of this Master Agreement and the other Loan Documents that are expressly stated to survive any release or termination or for any
liabilities or obligations of such Borrower or Guarantor which arose prior to the Effective Date of such Release, upon the Release
of a Mortgaged Property, Borrower that is the owner of such Release Mortgaged Property (assuming Borrower owns no other Mortgaged
Property in the Collateral Pool) shall be released automatically of all obligations under the Loan Documents, and Guarantor shall
be released automatically of all obligations solely related to the Release Mortgaged Property as set forth in this Master Agreement
and the other Loan Documents.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 6
	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 10 TO

MASTER CREDIT FACILITY AGREEMENT

 

Mortgaged Property Release Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Initial Page

	Schedule 10 (Mortgaged Property Release Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 11 TO

MASTER CREDIT FACILITY AGREEMENT

 

Mortgaged Property Addition
Schedule

 

Any Mortgaged Property
(including a Mortgaged Property added in connection with a Substitution) added to the Collateral Pool pursuant to Section 2.10
(Collateral Events) of this Master Agreement shall be subject to the terms of this Master Agreement including this Mortgaged Property
Addition Schedule.

 

(a)          Request.

 

(1)         From
time to time, Borrower may deliver to Lender an Addition Request to add one (1) or more Additional Mortgaged Properties to
the Collateral Pool.

 

(2)         Any
Addition Request shall be accompanied by the Additional Due Diligence Fees and Additional Due Diligence Fee Deposits. Borrower
shall provide Lender information similar to the property-related information required by Lender in connection with the Initial
Advances made hereunder and any additional information Lender may reasonably request.

 

(b)          Underwriting.

 

(1)         The
following tests shall be satisfied as of the Effective Date:

 

(A)         the
proposed Additional Mortgaged Property satisfies the Individual Property Coverage and LTV Tests;

 

(B)         immediately
after such Addition, the Collateral Pool satisfies the Coverage and LTV Tests;

 

(C)         in
connection with a Substitution, the Aggregate Debt Service Coverage Ratio of the Collateral Pool will not be less than the Aggregate
Debt Service Coverage Ratio of the Collateral Pool immediately prior to the Release (taking into account any paydown Borrower may
make in order to comply with such ratio, subject to the terms of this Master Agreement); and

 

(D)         in
connection with a Substitution, the Aggregate Loan to Value Ratio of the Collateral Pool will not be greater than the Aggregate
Loan to Value Ratio of the Collateral Pool immediately prior to the Release (taking into account any paydown Borrower may make
in order to comply with such ratio, subject to the terms of this Master Agreement).

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

Notwithstanding anything
to the contrary in this Master Agreement, no Collateral Event shall be permitted unless immediately after such Collateral Event
the provisions of Section 2.10(e) (Limitation on Collateral Events) shall be satisfied.

 

(2)         Lender
shall evaluate the proposed Additional Mortgaged Property in accordance with the Underwriting and Servicing Requirements. Lender
shall determine the Loan to Value Ratio of the proposed Additional Mortgaged Property and the Aggregate Loan to Value Ratio applicable
to the Collateral Pool on the basis of the lesser of:

 

(A)         the
acquisition price of the proposed Additional Mortgaged Property, if purchased by Borrower within twelve (12) months of the
related Addition Request, and

 

(B)         a
Valuation made with respect to the proposed Additional Mortgaged Property.

 

(3)         After
receipt of the Addition Request and all reports, certificates and documents required by Lender to determine compliance with this
Mortgaged Property Addition Schedule, Lender shall notify Borrower whether the proposed Additional Mortgaged Property meets the
requirements for Additions set forth in this Mortgaged Property Addition Schedule.

 

(4)         If
the proposed Additional Mortgaged Property meets the conditions set forth in this Mortgaged Property Addition Schedule, Lender
shall notify Borrower of the Aggregate Debt Service Coverage Ratio, the Aggregate Loan to Value Ratio, and (in connection with
any Future Advance made in connection with an Addition) the Advance amount that shall result from the Addition.

 

(c)          Additional
Borrower.

 

On the Effective Date of
the Addition of an Additional Mortgaged Property, the owner of such Additional Mortgaged Property, if such owner is an Additional
Borrower, shall become a party to the Contribution Agreement in a manner satisfactory to Lender. Any Additional Borrower shall
join into this Master Agreement and other Loan Documents and shall execute and deliver to Lender an amendment adding such Additional
Borrower as a party to this Master Agreement and revising the Schedules and Exhibits hereto, as applicable, to reflect the Additional
Mortgaged Property and Additional Borrower, in each case satisfactory to Lender. Any Additional Borrower and any SPE Owner must
comply with the provisions of this Master Agreement, including the Single Purpose requirements of Section 4.01(h) (Borrower Status
– Representations and Warranties – Single Purpose Status) unless otherwise waived by Lender.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(d)          Conditions
Precedent.

 

The Addition of an Additional
Mortgaged Property to the Collateral Pool on the applicable Effective Date is subject to the satisfaction of the following conditions
precedent:

 

(1)         satisfaction
of the provisions of Section (b) (Underwriting) of this Mortgaged Property Addition Schedule;

 

(2)         receipt
by Lender of the Additional Due Diligence Fee and the Additional Due Diligence Fee Deposit;

 

(3)         satisfaction
of all General Conditions;

 

(4)         receipt
by Lender of all Property-Related Documents; and

 

(5)         receipt
by Lender of a Request Opinion.

 

(e)          Closing.

 

(1)         Additions.

 

Other than in
connection with a Substitution, if the proposed Additional Mortgaged Property meets the conditions set forth in this Mortgaged
Property Addition Schedule, and Borrower timely elects to add the proposed Additional Mortgaged Property to a Collateral Pool,
the proposed Additional Mortgaged Property shall be added to the Collateral Pool on an Effective Date selected by Lender, occurring
within thirty (30) Business Days after all of the conditions for an Addition have been satisfied (or on such other date as
Borrower and Lender may agree).

 

(2)         Substitutions.

 

In connection
with a Substitution, if the Additional Mortgaged Property satisfies the conditions set forth herein and Borrower timely elects
to proceed with the Substitution, the proposed Additional Mortgaged Property shall be added in replacement of the Mortgaged Property
being released on an Effective Date selected by Lender (or on such other date as Borrower and Lender may agree) and occurring:

 

(A)         if
the Substitution of the proposed Additional Mortgaged Property is to occur simultaneously with the release of the Release Mortgaged
Property, within sixty (60) days after Lender’s receipt of Borrower’s Release Request indicating there is to be
a Substitution (or on such other date to which Borrower and Lender may agree); or

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(B)         if
the Substitution is a Staggered Substitution, within ninety (90) days after the release of such Release Mortgaged Property
(provided such date shall be extended an additional ninety (90) days if Borrower provides reasonable evidence of Borrower’s
diligent efforts in finding a suitable proposed Additional Mortgaged Property) (the “Property Delivery Deadline”)
in accordance with the terms of the Mortgaged Property Release Schedule and this Mortgaged Property Addition Schedule.

 

(f)          Staggered
Substitutions.

 

(1)         Failure
to Close Substitution.

 

If the Substitution
of the proposed Additional Mortgaged Property does not occur by the Property Delivery Deadline, then such Borrower shall have irrevocably
waived its right to substitute such Release Mortgaged Property with the proposed Additional Mortgaged Property, and the release
of the Release Mortgaged Property shall be deemed to be a Release pursuant to the terms of the Mortgaged Property Release Schedule
and shall trigger payment pursuant to the terms of the Mortgaged Property Release Schedule, plus the Release Fee.

 

(2)         Substitution
Deposit Disbursement and Recalculation.

 

(A)         On
or prior to the Effective Date of the Substitution, Lender shall notify Borrower of the actual amount of the Substitution Costs
incurred by Lender and Fannie Mae in connection with the Substitution and Borrower shall, on or before the Effective Date of the
Substitution, pay to Lender the remainder of such Substitution Costs (if the actual amount of the Substitution Costs exceed the
Substitution Cost Deposit (as defined in Section (g) (Staggered Substitution Specific Terms) of the Mortgaged Property Release
Schedule) and the other amounts previously deposited with Lender by Borrower) or Lender shall promptly refund to Borrower any Substitution
Cost Deposit deposited with Lender by Borrower in excess of the Substitution Costs (if the actual amount of the Substitution Costs
is less than the Substitution Cost Deposit deposited with Lender by Borrower).

 

(B)         At
closing of the Substitution, Lender shall disburse or return the Substitution Deposit (as defined in Section (g) (Staggered Substitution
Specific Terms) of the Mortgaged Property Release Schedule), as applicable (less any portion of the Substitution Cost Deposit used
by Lender to cover all reasonable out-of-pocket costs and expenses incurred by Lender and Fannie Mae, including any out-of-pocket
legal fees and expenses incurred by Fannie Mae and Lender in connection with such Substitution), directly to Borrower at such time
as the conditions precedent for the Substitution have been satisfied, which must occur no later than the Property Delivery Deadline.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

(C)         If,
pursuant to Section (b) (Underwriting) of this Mortgaged Property Addition Schedule, Borrower substitutes a Mortgaged Property
that has an estimated Allocable Facility Amount that is less than the Allocable Facility Amount of the Release Mortgaged Property
and Borrower notifies Lender that no further property will be substituted or Borrower fails to timely identify an additional replacement
Mortgaged Property, then Lender shall disburse to Borrower that portion of the Substitution Deposit (less any portion of the Substitution
Cost Deposit used by Lender to cover all reasonable out-of-pocket costs and expenses incurred by Lender and Fannie Mae, including
any out-of-pocket legal fees and expenses incurred by Fannie Mae and Lender in connection with such Substitution) equal to the
Allocable Facility Amount of such substitute Mortgaged Property and apply the remainder of the Substitution Deposit pursuant to
Section (d) (Application of Release Price) of the Mortgaged Property Release Schedule.

 

(D)         Notwithstanding
the foregoing, in the event that (i) the Property Delivery Deadline is extended pursuant to Section (e)(2)(B) (Closing) of this
Mortgaged Property Addition Schedule or (ii) Borrower adds an Additional Mortgaged Property to the Collateral Pool prior to the
Property Delivery Deadline but the addition of such Additional Mortgaged Property has not in and of itself satisfied the requirements
of this Mortgaged Property Addition Schedule, Lender shall recalculate the Substitution Deposit. Any reduction, if any, in the
Substitution Deposit shall be returned to Borrower, or in the case of a Letter of Credit, such Letter of Credit shall be reduced
by such reduction in the Substitution Deposit. Any increase, if any, in the Substitution Deposit shall be paid by Borrower to Lender
within three (3) Business Days of notice from Lender.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 5
	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 11 TO

MASTER CREDIT FACILITY AGREEMENT

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 11 (Mortgaged Property Addition Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 12 TO

MASTER CREDIT FACILITY AGREEMENT

 

[Intentionally Deleted.]

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement
	Form 6001.MCFA	Page 1
	Schedule 12 (Additional Collateral Schedule)	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 13 TO

MASTER CREDIT FACILITY AGREEMENT

 

Ownership Interests Schedule

 

 

SPE Owners: None

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 1
	Schedule 13 (Ownership Interests Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 13 TO

MASTER CREDIT FACILITY AGREEMENT

 

Ownership Interests Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Initial Page

	Schedule 13 (Ownership Interests Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 14 TO

MASTER CREDIT FACILITY AGREEMENT

 

Future Advance Schedule

 

Any Future Advance made
under this Master Agreement shall be subject to the terms of this Master Agreement including this Future Advance Schedule.

 

(a)          Request.

 

Borrower shall deliver
a Future Advance Request to Lender. Any Future Advance Request for a Future Advance shall be in the minimum amount of $5,000,000
or such other amount permitted by Lender.

 

(b)          Underwriting.

 

Any Future Advance shall
be subject to satisfaction of the following tests:

 

(1)         if
the Future Advance is a Borrow Up, the Coverage and LTV Tests would be satisfied and all of the Underwriting and Servicing Requirements
shall be satisfied; or

 

(2)         if
the Future Advance is being made in connection with the Addition of an Additional Mortgaged Property, the conditions of Section
(b) (Underwriting) of the Mortgaged Property Addition Schedule would be satisfied.

 

(c)          Conditions
Precedent.

 

The funding of any Future
Advance on the applicable Effective Date is subject to the satisfaction of the following conditions precedent:

 

(1)         satisfaction
of the underwriting tests set forth in (b) (Underwriting) above;

 

(2)         Lender’s
determination that the proposed borrower, key principal, and guarantor meet all of Lender’s eligibility, credit, management
and other standards customarily applied by Lender in connection with the origination or purchase of similar mortgage finance structures
on similar Multifamily Residential Properties at the time of the Future Advance Request for the Future Advance;

 

(3)         if
required by Lender, if the Future Advance is a Variable Advance, receipt by Lender at least five (5) days prior to the applicable
Effective Date of the confirmation of an Interest Rate Cap commitment, in accordance with the Cap Security Agreement, effective
as of the Effective Date;

 

(4)         if
required by Lender, if the Future Advance is a Variable Advance, receipt by Lender, within fifteen (15) days after the applicable
Effective Date, of Interest Rate Cap Documents, in accordance with the Cap Security Agreement, effective as of the Effective Date;

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 1
	Schedule 14 (Future Advance Schedule)	12-17	© 2017 Fannie Mae

     

    

 

(5)         if
the Future Advance is a Fixed Advance, delivery of one or more Fixed Notes, duly executed by Borrower, in the amount and reflecting
all of the terms of the Fixed Advance;

 

(6)         if
the Future Advance is a Variable Advance, delivery of one or more Variable Notes, duly executed by Borrower, in the amount and
reflecting all of the terms of the Variable Advance;

 

(7)         receipt
by Lender of the completed Schedule of Advance Terms and Prepayment Premium Schedule, in each case applicable to the Future Advance,
together with an amendment to this Master Agreement in form and substance acceptable to Lender incorporating such Schedules in
their entirety to this Master Agreement;

 

(8)         if
the Future Advance is made in connection with the Addition of a Mortgaged Property, satisfaction of the conditions set forth in
the Mortgaged Property Addition Schedule including payment receipt by Lender of all fees required pursuant to the Mortgaged Property
Addition Schedule;

 

(9)         receipt
by Lender of the Additional Origination Fee;

 

(10)        if
the Future Advance is a Borrow Up, receipt by Lender of the non-refundable Re-Underwriting Fee;

 

(11)        receipt
by Lender of any other costs and expenses including all legal fees incurred by Lender and Fannie Mae;

 

(12)        satisfaction
of all General Conditions;

 

(13)        receipt
by Lender of a Request Opinion; and

 

(14)        receipt
by Lender of all applicable Property-Related Documents, if applicable.

 

(d)          Closing
of Future Advance.

 

If the conditions
set forth in Section 2.02 (Advances) for a Future Advance are satisfied, Lender shall make the requested Future Advance on an Effective
Date selected by Lender (or on such other date as Borrower and Lender may agree).

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 2
	Schedule 14 (Future Advance Schedule)	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 14 TO

MASTER CREDIT FACILITY AGREEMENT

 

Future Advance Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Initial Page

	Schedule 14 (Future Advance Schedule)	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 15 TO

MASTER CREDIT FACILITY AGREEMENT

 

Letter of Credit Schedule

 

Any Letter of Credit required
or permitted pursuant to this Master Agreement shall be subject to the terms of this Master Agreement and this Letter of Credit
Schedule. Any Letter of Credit must be issued by a financial institution satisfactory to Fannie Mae (“Issuer”).

 

(a)          Issuer;
Letter of Credit Requirements.

 

The Letter of Credit shall
be in form and substance satisfactory to Lender and Lender shall be entitled (pursuant to Section (b) (Draws Under Letter of Credit)
below) to draw under such Letter of Credit solely upon presentation of a sight draft to the Issuer. Any Letter of Credit shall
be for a term of at least three hundred sixty-four (364) days (provided that in connection with a Substitution, the term of
any Letter of Credit shall be no earlier than the date ten (10) Business Days after the Property Delivery Deadline).

 

(b)          Draws
Under Letter of Credit.

 

Lender shall have the right
to draw monies under the Letter of Credit:

 

(1)         upon
the occurrence of an Event of Default;

 

(2)         if
thirty (30) days prior to the expiration of the Letter of Credit, either the Letter of Credit has not been extended for a
term of at least three hundred sixty-four (364) days (provided that in connection with a Substitution, the term of any Letter
of Credit shall be at least until the date ten (10) Business Days after the Property Delivery Deadline) or Borrower has not
replaced the Letter of Credit with substitute cash collateral in the amount required by Lender;

 

(3)         upon
the downgrading of the ratings of the long-term or short-term debt obligations of the Issuer below a level satisfactory to Fannie
Mae, the failure of Borrower within five (5) days after notice of such downgrading to deliver to Lender either (A) an acceptable
replacement Letter of Credit or (B) substitute cash collateral in the amount required by Lender; or

 

(4)         upon
the failure to close a Substitution pursuant to Section (f)(1) (Failure to Close Substitution) of the Mortgaged Property Addition
Schedule.

 

(c)          Deposit
to Cash Collateral Agreement.

 

If Lender draws under the
Letter of Credit pursuant to this Master Agreement or Section (b) (Draws Under Letter of Credit) above for reasons other than
an Event of Default, Lender shall deposit such draw monies into a Cash Collateral Account until the earliest of the following events
occurs:

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 15 (Letter of Credit Schedule)	12-17	© 2017 Fannie Mae

     

    

 

(1)         Borrower
presents an acceptable replacement Letter of Credit and Lender agrees to accept such Letter of Credit (provided that any agreement
by Lender to accept a replacement Letter of Credit will be conditioned upon Borrower’s payment of all administrative and
legal costs incurred by Lender and Fannie Mae in connection with the replacement of the Letter of Credit);

 

(2)         the
applicable provisions of this Master Agreement pursuant to which the Letter of Credit was provided are satisfied;

 

(3)         Borrower
pays all amounts due and payable under the Loan Documents and Lender releases the liens of all Security Instruments;

 

(4)         Lender
consents to Borrower’s request to apply the funds to the principal balance of a Note specified by Borrower and to any Prepayment
Premium due in connection with such application; or

 

(5)         an
Event of Default occurs and Lender elects to apply the proceeds as described below in Section (d) (Default Draws) of this Letter
of Credit Schedule.

 

(d)          Default
Draws.

 

If Lender draws under the
Letter of Credit pursuant to Section (b) (Draws Under Letter of Credit) of this Letter of Credit Schedule as a result of an Event
of Default, Lender shall have the right to use monies drawn under the Letter of Credit for any of the following purposes:

 

(1)         to
pay any amounts required to be paid by Borrower under the Loan Documents (including, without limitation, any amounts required to
be paid to Lender under this Master Agreement);

 

(2)         to
prepay any Note (on Borrower’s behalf, or on its own behalf, if Lender becomes the owner of any Mortgaged Property) in whole
or in part, including any Prepayment Premium;

 

(3)         to
deposit monies into the Cash Collateral Account; or

 

(4)         to
exercise any other remedies available to Lender pursuant to this Master Agreement.

 

(e)          Legal
Opinion.

 

Prior to or simultaneous
with the delivery of any new Letter of Credit (but not the extension of any existing Letter of Credit), Borrower shall cause the
Issuer’s counsel to deliver a legal opinion satisfactory in form and substance to Lender.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Schedule 15 (Letter of Credit Schedule)	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 15 TO

MASTER CREDIT FACILITY AGREEMENT

 

Letter of Credit Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 15 (Letter of Credit Schedule)	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 16 TO

MASTER CREDIT FACILITY AGREEMENT

 

Exceptions to Representations and Warranties
Schedule

 

Section 4.01(f) (Effect of Master Agreement
on Financial Condition). Any Borrower that, on the Initial Effective Date, does not own any Mortgaged Property will be rendered
Insolvent by the transactions contemplated by the provisions of the Master Agreement and other Loan Documents and will not have
sufficient working capital to pay all of such Borrower’s outstanding debts as they come due, including all Debt Service Amounts
until such time as a Multifamily Residential Property meeting all of the Underwriting and Servicing Requirements is acquired by
such Borrower and concurrently added to the Collateral Pool in connection with a Future Advance made subject to and in accordance
with the terms of the Master Agreement.

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Page 1
	Schedule 16 (Exceptions to Representations and Warranties Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 16 TO

MASTER CREDIT FACILITY AGREEMENT

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA
	Initial Page

	Schedule 16 (Exceptions to Representations and Warranties Schedule)	12-17
	© 2017 Fannie Mae

     

    

 

SCHEDULE 17 TO

MASTER CREDIT FACILITY AGREEMENT

 

SPE Requirements Schedule

 

Each Borrower under the
Master Agreement is required to be an SPE Owner in compliance with the terms herein. Borrowers may not be general partnerships,
individuals or trusts. If a Borrower or other entity Controlling Borrower is a corporation or multi-member limited liability company,
the shareholders or members are not required to be SPE Owners. If the Controlling entity is a trust, the beneficiaries are not
required to be SPE Owners. If Borrower satisfies the terms below, no other direct or indirect entity Controlling Borrower are required
to be SPE Owners. Otherwise, all other entities Controlling Borrower, directly or indirectly, must be SPE Owners as set forth below
until the requirements below are satisfied.

 

As used herein, SPE
Owner shall mean a corporation, limited partnership or limited liability company that complies with the following requirements:

 

1.          since
the date of its formation and at all times on and after the date thereof, has complied with Section 4.01(h) (Borrower Status –
Representations and Warranties – Single Purpose Status) of the Master Agreement;

 

2.          at
all times on and after the date the applicable Borrower becomes party to the Master Agreement, shall comply with the requirements
in Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status) of the Master Agreement;

 

3.          if
such entity is a limited partnership, it has and shall have at least one general partner and has and shall have, as its only general
partners, SPE Owners each of which is a (a) corporation, (b) single-member limited liability company in compliance with the
requirements of (4) below, or (c) a limited partnership in compliance with 3(a) and 3(b) above. General partners may not be individuals
or trusts; and

 

4.          if
such entity is a single-member limited liability company:

 

(a)          it
shall have two (2) natural persons or one (1) entity that is not a member of the company, that has signed its limited
liability company agreement and that, under the terms of such limited liability company agreement, becomes a member of the company
immediately prior to the withdrawal or dissolution of the last remaining member of the company;

 

(b)          it
shall include in its limited liability agreement or operating agreement requisite language under Applicable Law (if any) to prevent
premature dissolution or liquidation; and

 

(c)          for
non-Delaware single-member limited liability companies, Borrower shall provide an opinion of counsel (acceptable to Lender) that
the provisions of the limited liability company agreement or operating agreement relating to the springing member provisions in
4(a) and dissolution provisions in 4(b) above are consistent with Applicable Law and enforceable against Borrower and its sole
member.

 

The sole member of an entity may
be an individual provided the provisions of this Section 4 are satisfied.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Schedule 17 (SPE Requirements Schedule)	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 17 TO

MASTER CREDIT FACILITY AGREEMENT

 

SPE Requirements Schedule

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Initial Page

	Schedule 17 (SPE Requirements Schedule)	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 18 TO

MASTER CREDIT FACILITY AGREEMENT

 

Waiver of Imposition Deposits

 

The foregoing Master Agreement
is hereby modified as follows:

 

1.          Capitalized
terms used and not specifically defined herein have the meanings given to such terms in this Master Agreement.

 

2.          The
Definitions Schedule is hereby amended by adding the following new definitions in the appropriate alphabetical order:

 

“Insurance Impositions”
means the premiums for maintaining all Required Insurance Coverage.

 

“Required Insurance Coverage”
means the insurance coverage required pursuant to Article 9 (Insurance) of this Master Agreement and under any other Loan
Document.

 

3.          Section 12.02
(Imposition Deposits, Taxes, and Other Charges – Covenants) of this Master Agreement is hereby amended by adding the following
provisions to the end thereof:

 

(b)          Conditional
Waiver of Collection of Imposition Deposits.

 

(1)         Notwithstanding
anything contained in this Section 12.02 (Imposition Deposits, Taxes, and Other Charges – Covenants) to the contrary,
Lender hereby agrees to waive the collection of Imposition Deposits for Insurance Impositions, provided, that:

 

(A)         Borrower
shall pay such Insurance Impositions directly to the carrier or agent ten (10) days prior to expiration or as necessary to
prevent the Required Insurance Coverage from lapsing due to non-payment of premiums;

 

(B)         Borrower
shall provide Lender with proof of payment acceptable to Lender of all Insurance Impositions within five (5) days after the
date such Insurance Impositions are paid; and

 

(C)         Borrower
shall cause its insurance agent to provide Lender with such certifications regarding the Required Insurance Coverage as Lender
may request from time to time evidencing that the Insurance Impositions have been paid in a timely manner and that all of the Required
Insurance Coverage is in full force and effect.

 

    	Master Credit Facility Agreement
	Form 6228 [modified]	Page 1
	Schedule 18 (Waiver of Imposition Deposits)	12-17	© 2017 Fannie Mae

     

    

 

(2)         Lender
reserves the right to require Borrower to deposit the Imposition Deposits with Lender on each Payment Date for Insurance Impositions
in accordance with this Section 12.02 (Imposition Deposits, Taxes, and Other Charges – Covenants) upon:

 

(A)         Borrower’s
failure to pay Insurance Impositions or to provide Lender with proof of payment of Insurance Impositions as required in this Section 12.02(b)
(Conditional Waiver of Collection of Imposition Deposits);

 

(B)         Borrower’s
failure to maintain insurance coverage in accordance with the requirements of Article 9 (Insurance);

 

(C)         the
occurrence of any Transfer which is not permitted by the Loan Documents, or any Transfer which requires Lender’s consent;
or

 

(D)         the
occurrence of an Event of Default under any of the other terms, conditions and covenants set forth in this Master Agreement or
any of the other Loan Documents.

 

(3)         Except
as specifically provided in this Section 12.02(b) (Conditional Waiver of Collection of Imposition Deposits), the provisions
of Article 9 (Insurance) shall remain in full force and effect.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement
	Form 6228 [modified]	Page 2
	Schedule 18 (Waiver of Imposition Deposits)	12-17	© 2017 Fannie Mae

     

    

 

INITIAL PAGE TO SCHEDULE 18 TO

MASTER CREDIT FACILITY AGREEMENT

 

Waiver of Imposition Deposits

 

	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	/s/ JR
	Borrower Initials	 	Borrower Initials
	 	 	 
	/s/ JR	 	 
	Borrower Initials	 	 

 

     

     

    

 

EXHIBIT
A TO MASTER CREDIT FACILITY AGREEMENT

 

SCHEDULE OF INITIAL MORTGAGED PROPERTIES

AND INITIAL VALUATIONS

 

	PROPERTY	 	LOCATION	 	OWNER	 	INITIAL
 VALUATION	 	 	INITIAL
 ALLOCABLE
 FACILITY
 AMOUNT	 	 	GREEN
 MORTGAGE
 LOAN
	ARIUM Metrowest Apartments	 	2450 Lake Debra Drive,
 Orange County,
 Orlando, FL 32835	 	BR METROWEST, LLC, a Delaware limited
    liability company	 	$	86,500,000	 	 	$	64,559,000	 	 	No

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit A	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
B TO MASTER CREDIT FACILITY AGREEMENT

 

CONVERSION
REQUEST

 

__________________

 

VIA: _______________________

 

WALKER & DUNLOP, LLC,

a Delaware limited liability company (“Lender”)

7501 Wisconsin Avenue, Suite
1200

Bethesda, Maryland 20814

Attention: Loan Servicing

 

E-mail: servicing@walkerdunlop.com

 

[Note: Subject to change in the event Lender
or its address changes]

 

		Re:	CONVERSION REQUEST issued pursuant to that certain Master Credit Facility Agreement, dated as of
April 30, 2018, by and among the undersigned (“Borrower”) and Lender (as amended, restated or otherwise modified
from time to time, the “Master Agreement”).

 

Ladies and Gentlemen:

 

This constitutes a Conversion Request pursuant
to the terms of the above-referenced Master Agreement.

 

Section 1.          Request.
Borrower hereby requests that there occur a conversion of all or a portion of a Variable Note to a Fixed Note in accordance with
the terms of the Master Agreement. Following is the information required by the Master Agreement with respect to this Request:

 

(a)        Designation
of Amount of Conversion. The amount of the conversion shall be $_________________________.

 

(b)        Prepayment
of Advances. (If any) The Advances Outstanding (or portion thereof) which will be prepaid on the Effective Date for the conversion
are as follows:

 

	Maturity Date of Note to be prepaid:	 

 

	Amount to be prepaid:	 

 

(c)        Accompanying
Documents. All documents, instruments and certificates required to be delivered pursuant to the conditions contained in Section
2.10(a) (Conversion from Variable Note to Fixed Note) and the Conversion Schedule of the Master Agreement, including (1) the Conversion
Documents, as well as (2) an Organizational Certificate will be delivered on or before the Effective Date.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit B	12-17	© 2017 Fannie Mae

     

    

 

Section 2.          Conversion
Fee. Pursuant to the terms of the Master Agreement, Borrower shall pay the Conversion Fee as a condition to the closing
of the Conversion.

 

Section 3.          Capitalized
Terms. All capitalized terms used but not defined in this Request shall have the meanings ascribed to such terms in the
Master Agreement.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit B	12-17	© 2017 Fannie Mae

     

    

 

	 	Sincerely,
	 	 
	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit B	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
C TO MASTER CREDIT FACILITY AGREEMENT

 

RELEASE REQUEST

 

__________________

 

WALKER & DUNLOP, LLC,

a Delaware limited liability company (“Lender”)

7501 Wisconsin Avenue, Suite
1200

Bethesda, Maryland 20814

Attention: Loan Servicing

 

E-mail: servicing@walkerdunlop.com

 

[Note: Subject to change in the event Lender or its address
changes]

 

		Re:	REQUEST issued pursuant to that certain Master Credit Facility Agreement, dated as of April 30,
2018, by and among the undersigned (“Borrower”) and Lender (as amended, restated or otherwise modified from
time to time, the “Master Agreement”)

 

Ladies and Gentlemen:

 

This constitutes a Release Request pursuant
to the terms of the above-referenced Master Agreement.

 

Section
1.            Release Request. Borrower hereby requests
that the Release Mortgaged Property described in this Request be released from the Collateral Pool in accordance with the terms
of the Master Agreement. Following is the information required by the Master Agreement with respect to this Request:

 

(a)          Description
of Release Mortgaged Property. The name, address and location (county and state) of the Mortgaged Property, or other designation
of the proposed Release Mortgaged Property is as follows:

 

	 	Name:	 	 
	 	Address:	 	 
	 	 	 	 
	 	Location:	 	 

 

(b)          Type
of Release. This Request is being delivered in connection with:

 

		 ̈	a Release

 

		 ̈	a simultaneous Substitution

 

		 ̈	a Staggered Substitution

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit C	12-17	© 2017 Fannie Mae

     

    

 

(c)          Accompanying
Documents. All documents, instruments and certificates required to be delivered pursuant to the conditions contained in Section
2.10(b) (Right to Obtain Releases of Mortgaged Property) of the Master Agreement and the Mortgaged Property Release Schedule will
be delivered on or before the Effective Date.

 

Section
2.            [FOR A RELEASE: Release Price and Release Fee.
Pursuant to the terms of the Master Agreement, Borrower shall pay the Release Price, if applicable, and the Release Fee as a condition
to the closing of the release of the Release Mortgaged Property from the Collateral Pool.]

 

Section
2.            [FOR A SUBSTITUTION: Substitution Deposit and Substitution
Fee. Pursuant to the terms of the Master Agreement, Borrower shall deposit with Lender the Substitution Deposit, if applicable,
and pay the Substitution Fee as a condition to the closing of the release of the Release Mortgaged Property from the Collateral
Pool.]

 

Section
3.            Capitalized Terms. All capitalized terms
used but not defined in this Request shall have the meanings ascribed to such terms in the Master Agreement.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit C	12-17	© 2017 Fannie Mae

     

    

 

	 	Sincerely,
	 	 
	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit C	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
D TO MASTER CREDIT FACILITY AGREEMENT

 

ADDITION REQUEST

 

__________________

 

WALKER & DUNLOP, LLC,

a Delaware limited liability company (“Lender”)

7501 Wisconsin Avenue, Suite
1200

Bethesda, Maryland 20814

Attention: Loan Servicing

 

E-mail: servicing@walkerdunlop.com

 

[Note: Subject to change in the event Lender or its address
changes]

 

		Re:	REQUEST issued pursuant to that certain Master Credit Facility Agreement, dated as of April 30,
2018, by and among the undersigned (“Borrower”) and Lender (as amended, restated or otherwise modified from
time to time, the “Master Agreement”)

 

Ladies and Gentlemen:

 

This constitutes an Addition Request pursuant
to the terms of the above-referenced Master Agreement.

 

Section
1.            Addition Request. Borrower hereby requests
that the Multifamily Residential Property described in this Request be added to the Collateral Pool [in connection with a Substitution
of Collateral] in accordance with the terms of the Master Agreement. Following is the information required by the Master Agreement
with respect to this Request:

 

(a)          Property
Description Package. Attached to this Request is the information and documents relating to the proposed Additional Mortgaged
Property required by Lender and the Master Agreement;

 

(b)          Due
Diligence Fees. Enclosed with this Request is a check in payment of the Additional Due Diligence Fees and Additional Due Diligence
Fee Deposits required to be submitted with this Request pursuant to the Mortgaged Property Addition Schedule; and

 

(c)          Accompanying
Documents. All reports, certificates and documents required to be delivered pursuant to the conditions contained in [Section
2.10(c) (Right to Add Additional Mortgaged Properties as Collateral) and the Mortgaged Property Addition Schedule of the Master
Agreement] [or in connection with a Substitution, Section 2.10(d) (Right to Substitutions) and the Mortgaged Property Addition
Schedule of the Master Agreement] will be delivered on or before the Effective Date of the [Addition][Substitution].

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit D	12-17	© 2017 Fannie Mae

     

    

 

Section
2.            Capitalized Terms. All capitalized terms
used but not defined in this Request shall have the meanings ascribed to such terms in the Master Agreement.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit D	12-17	© 2017 Fannie Mae

     

    

 

	 	Sincerely,
	 	 
	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit D	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
E TO MASTER CREDIT FACILITY AGREEMENT 

 

FUTURE ADVANCE REQUEST

 

__________________

 

WALKER & DUNLOP, LLC,

a Delaware limited liability company (“Lender”)

7501 Wisconsin Avenue, Suite
1200

Bethesda, Maryland 20814

Attention: Loan Servicing

 

E-mail: servicing@walkerdunlop.com

 

[Note: Subject to change in the event Lender
or its address changes]

 

		Re:	FUTURE ADVANCE REQUEST issued pursuant to that certain Master Credit Facility Agreement, dated
as of April 30, 2018, by and among the undersigned (“Borrower”) and Lender (as amended, restated or otherwise
modified from time to time, the “Master Agreement”)

 

Ladies and Gentlemen:

 

This constitutes a Future Advance Request
pursuant to the terms of the above-referenced Master Agreement.

 

Section 1.            Request.
Borrower hereby requests that Lender make a Future Advance in accordance with the terms of the Master Agreement. Following is the
information required by the Master Agreement with respect to this Request:

 

(a)          Amount.
The amount of the Future Advance shall be $_____________.

 

(b)          Designation
of Advance. The Future Advance is a: [Check one]

 

		 ̈	Fixed Advance

 

		 ̈	Variable Advance

 

(c)          Maturity
Date. The Maturity Date of the Future Advance is as follows: _____________.

 

(d)          Accompanying
Documents. All documents, instruments and certificates required to be delivered pursuant to the conditions contained in Section
2.02 (Advances) of the Master Agreement, including (1) a Variable Note (for Variable Advances), (2) a Fixed Note (for Fixed Advances),
and (3) an Organizational Certificate, will be delivered on or before the Effective Date.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit E	12-17	© 2017 Fannie Mae

     

    

 

Section 2.            Fees.
Pursuant to the terms of the Master Agreement, Borrower shall pay the Additional Origination Fee and, if applicable, the Re-Underwriting
Fee, as a condition to the closing of the Future Advance.

 

Section 3.            Capitalized
Terms. All capitalized terms used but not defined in this Request shall have the meanings ascribed to such terms in the
Master Agreement.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit E	12-17	© 2017 Fannie Mae

     

    

 

	 	Sincerely,
	 	 
	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit E	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
F TO MASTER CREDIT FACILITY AGREEMENT

 

TERMINATION REQUEST

 

__________________

 

WALKER & DUNLOP, LLC,

a Delaware limited liability company (“Lender”)

7501 Wisconsin Avenue, Suite
1200

Bethesda, Maryland 20814

Attention: Loan Servicing

 

E-mail: servicing@walkerdunlop.com

 

[Note: Subject to change in the event Lender
or its address changes]

 

		Re:	TERMINATION REQUEST issued pursuant to that certain Master Credit Facility Agreement, dated as
of April 30, 2018, by and among the undersigned (“Borrower”) and Lender (as amended, restated or otherwise modified
from time to time, the “Master Agreement”)

 

Ladies and Gentlemen:

 

This constitutes a Termination Request
pursuant to the terms of the above-referenced Master Agreement.

 

Section 1.           Request.
Borrower and Guarantor hereby request a termination of the Master Agreement in accordance with the terms of the Master Agreement.
All documents, instruments and certificates required to be delivered pursuant to the conditions contained in Section 2.11 (Termination
of Master Agreement) of the Master Agreement will be delivered on or before the Effective Date.

 

Section 2.            Prepayments.
Borrower shall, in accordance with the terms of the Master Agreement, pay in full all Outstanding Indebtedness, including all Notes
Outstanding, and any required Prepayment Premiums as a condition to the termination of the Master Agreement.

 

Section 3.            Capitalized
Terms. All capitalized terms used but not defined in this Request shall have the meanings ascribed to such terms in the
Master Agreement.

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit F	12-17	© 2017 Fannie Mae

     

    

 

	 	Sincerely,
	 	 
	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit F	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
G TO MASTER CREDIT FACILITY AGREEMENT

 

ANNUAL CERTIFICATION

(Borrower)

 

	Credit Facility:	 	 
	Property Names:	 	 

 

The undersigned, ______________________,
a _____________________ (“Borrower”) certifies to FANNIE MAE the following:

 

1.            Capitalized
terms used and not specifically defined in this Annual Certification (the “Certificate”) have the meanings given
to such terms in the Master Agreement.

 

2.            All
statements made in this Certificate and all statements and information set forth in the attachments to this Certificate are true,
complete, and accurate to the best of the undersigned’s knowledge.

 

3.            Attached
to this Certificate are the following with respect to calendar year _______:

 

(a)          if
Borrower is an individual or a trust established for estate-planning purposes, a personal financial statement (including a statement
of all contingent liabilities if requested by Lender), dated ________, _____;

 

(b)          if
Borrower is an entity, a statement of income and expenses for Borrower, dated ________, _____;

 

(c)          if
Borrower is an entity, statement of cash flows of Borrower, dated ________, _____;

 

(d)          a
Rent Roll, dated ________, _____;

 

(e)          if
Borrower is an entity, a balance sheet showing all assets and liabilities of Borrower (including a statement of all contingent
liabilities) as of the end of such calendar year, dated ________, _____;

 

(f)           a
property management or leasing report for the Mortgaged Property, showing for the period requested by Lender (i) the number of
rental applications received from tenants or prospective tenants, (ii) the amount of all deposits received from tenants or prospective
tenants for such period, and (iii) any other information requested by Lender, dated ________, _____;

 

(g)          a
statement of income and expenses for Borrower’s operation of the Mortgaged Property on a year-to-date basis as of the end
of each month for such period as requested by Lender, which statement shall be delivered within thirty (30) days after the
end of such month requested by Lender;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit G	12-17	© 2017 Fannie Mae

     

    

 

(h)          a
statement of real estate owned by Borrower for such period as requested by Lender, which statement shall be delivered within thirty (30)
days after the end of such month requested by Lender; and

 

(i)           such
other statement as set forth below and for the period indicated:

 

(i)          ____________________________________;

 

(ii)         ____________________________________;
and

 

(iii)        ____________________________________.

 

4.          If
an energy consumption metric is required to be reported for the Mortgaged Property to any Governmental Authority, Borrower certifies
that it has reported such energy consumption metric and either:

 

(a)          attached
hereto is the Fannie Mae Performance Metric report as generated by ENERGY STAR® Portfolio Manager showing:

 

(i)          the
ENERGY STAR score, including the month and year ending period for such ENERGY STAR score,

 

(ii)         the
Source Energy Use Intensity (EUI), including the month and year ending period for such Source Energy Use Intensity, and

 

(iii)        the
ENERGY STAR Portfolio Manager Property Identification Number, or

 

(b)          if
the Governmental Authority does not require the use of ENERGY STAR Portfolio Manager for the reporting of the energy consumption
metric and Borrower does not use ENERGY STAR Portfolio Manager, then Borrower hereby certifies that the Source Energy Use Intensity
for the Mortgaged Property is ____________ for the calendar year ___________ [DRAFTING NOTE: LIST ALL MORTGAGED PROPERTIES].

 

5.          Borrower
certifies that, other than provisions of Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status)
regarding Borrower’s single purpose status that have been specifically waived by Lender, Borrower has taken no action in
violation of Section 4.02(d) (Borrower Status – Covenants – Single Purpose Status) of the Master Agreement;

 

6.          Borrower
certifies as of the date hereof [DRAFTING NOTE: BORROWER AND EITHER AN AFFILIATED PROPERTY OPERATOR OR PROPERTY OPERATOR MUST
PROVIDE THE CERTIFICATIONS BELOW AS APPLICABLE]:

 

	 	 	YES	NO	 
	 	 	 	 	 
	 	(a)	 ̈	 ̈	Borrower has received no notice of any building code violation;

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit G	12-17	© 2017 Fannie Mae

     

    

 

IF NO,

 

 ̈     Borrower
has received notice of a building code violation which has not been remediated and plans for remediation are attached hereto as
Schedule 1;

 

OR

 

 ̈     Borrower
has received notice of a building code violation and such notice and evidence of remediation are attached hereto as Schedule 1;

 

	 	 	YES	NO	 
	 	 	 	 	 
	 	(b)	 ̈	 ̈	Borrower has made no application for rezoning and has not received any notice that any Mortgaged Property has been or is being rezoned;
	 	 	 	 	 
	 	(c)	 ̈	 ̈	Borrower has taken no action and has no knowledge of any action that would violate the provisions of Section 11.02(b)(1)(F) (Transfers – Mortgaged Property) of the Master Agreement regarding Liens encumbering any Mortgaged Property;
	 	 	 	 	 
	 	(d)	 ̈	 ̈	there has been no change since the later of the delivery of the last Certificate and the Initial Effective Date that would materially adversely affect any Mortgaged Property or the validity, enforceability or the ability of Borrower to perform its obligations under the Master Agreement or any other Loan Document.

 

[If “NO” is checked on
any of the above questions, attach additional 

explanations as Schedule 1.]

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit G	12-17	© 2017 Fannie Mae

     

    

 

IN WITNESS WHEREOF,
Borrower has signed and delivered this Certificate or has caused this Certificate to be signed and delivered by its duly authorized
representatives under seal (where applicable).

 

Date:   ____________________

 

	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Exhibit G	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 1

 

	If applicable, complete an explanation of any relevant matters

 involving this Certificate.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 5
	Exhibit G	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
H TO MASTER CREDIT FACILITY AGREEMENT

 

ANNUAL CERTIFICATION

(Guarantor)

 

	Credit Facility:	 	 
	Property Names:	 	 

 

The undersigned, BLUEROCK
RESIDENTIAL GROWTH REIT, INC., a Maryland corporation (“Guarantor”) certifies to FANNIE MAE the following:

 

1.            Capitalized
terms used and not specifically defined in this Annual Certification (the “Certificate”) have the meanings given
to such terms in the Master Agreement.

 

2.            All
statements made in this Certificate and all statements and information set forth in the attachments to this Certificate are true,
complete, and accurate to the best of the undersigned’s knowledge.

 

3.            Attached
to this Certificate are the following with respect to calendar year _______:

 

(a)          if
Guarantor is an individual or a trust established for estate-planning purposes, a personal financial statement (including a statement
of all contingent liabilities), dated ________, _____;

 

(b)          if
Guarantor is an entity, a statement of income and expenses for Guarantor, dated ________, _____;

 

(c)          if
Guarantor is an entity, statement of cash flows of Guarantor, dated ________, _____;

 

(d)          if
Guarantor is an entity, a balance sheet showing all assets and liabilities of Guarantor (including a statement of all contingent
liabilities) as of the end of such calendar year, dated ________, _____; and

 

(e)          such
other statement as set forth below and for the period indicated:

 

(i)          ____________________________________;

 

(ii)         ____________________________________;
and

 

(iii)        ____________________________________.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit H	12-17	© 2017 Fannie Mae

     

    

 

	 	4.	YES	NO	 
	 	 	 	 	 
	 	 	 ̈	 ̈	There has been no change since the later of the delivery of the last Certificate and the Initial Effective Date that would materially adversely affect any Mortgaged Property or the validity, enforceability or the ability of Guarantor to perform its obligations under the Guaranty or any other Loan Document.

 

[Any additional explanations are attached
hereto as Schedule 1.]

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit H	12-17	© 2017 Fannie Mae

     

    

 

IN WITNESS WHEREOF,
Guarantor has signed and delivered this Certificate or has caused this Certificate to be signed and delivered by its duly authorized
representatives under seal (where applicable).

 

Date:   ____________________

 

	 	GUARANTOR:
	 	 
	 	[INSERT GUARANTOR SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit H	12-17	© 2017 Fannie Mae

     

    

 

SCHEDULE 1

 

	If applicable, complete an explanation of any relevant matters

 involving this Certificate.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Exhibit H	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
I TO MASTER CREDIT FACILITY AGREEMENT

 

CONFIRMATION
OF GUARANTY

 

This CONFIRMATION OF
GUARANTY is made as of __________________, by BLUEROCK RESIDENTIAL GROWTH REIT, INC., a Maryland corporation (individually
and collectively, “Guarantor”), for the benefit of (i) WALKER & DUNLOP, LLC, a Delaware limited liability
company (“Lender”) and (ii) FANNIE MAE, the corporation duly organized and existing under the laws of
the United States (“Fannie Mae”).

 

Guarantor entered into
that certain Guaranty of Non-Recourse Obligations dated as of April 30, 2018, for the benefit of Lender (as amended, restated or
otherwise modified from time to time, the “Guaranty”) to guaranty the guaranteed obligations (as described in
the Guaranty) under that certain Master Credit Facility Agreement dated as of April 30, 2018, by and among borrowers signatory
thereto (individually and collectively, the “Borrower”) and Lender (as amended, restated or otherwise modified
from time to time, the “Master Agreement”).

 

All Lender’s
right, title and interest in the Master Agreement and the Loan Documents executed in connection with the Master Agreement or the
transactions contemplated by the Master Agreement have been assigned to Fannie Mae pursuant to that certain Assignment of Master
Credit Facility Agreement and Other Loan Documents, dated as of April 30, 2018 (the “Assignment”). Fannie Mae
has not assumed (i) any of the obligations of Lender once an agreement is made for Lender to make a Future Advance under the Master
Agreement to make Future Advances or (ii) any of the obligations of Lender which are servicing obligations delegated to Lender
as servicer of the Advances. Fannie Mae has designated Lender as the servicer of the Advances contemplated by the Master Agreement.

 

[Borrower, Lender
and Fannie Mae have modified the credit facility under the Master Agreement and made certain other changes to the terms and conditions
of the Master Agreement pursuant to that certain [__________] Amendment to Master Credit Facility Agreement dated as of even date
herewith (the “[__________] Amendment”). As a condition to entering into the [__________] Amendment, Guarantor is required
to confirm its obligations under the Guaranty.][Lender has agreed to make the Future Advance to Borrower under the Master Agreement.
As a condition to making the Future Advance, Guarantor is required to confirm its obligations under the Guaranty.]

 

Guarantor hereby (a)
acknowledges and consents to the [addition of the Additional Borrower under the Master Agreement][making of the Future Advance],
[(b) acknowledges and consents to the [explain change] other changes and the terms and conditions of the Master Agreement all as
set forth in the [__________] Amendment,] and (c) confirms to Lender and Fannie Mae that the terms and provisions of the Guaranty
remain in full force and effect.

 

Guarantor hereby confirms
and ratifies the Loan Documents it has previously executed in connection with the Master Agreement.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit I	12-17	© 2017 Fannie Mae

     

    

 

All capitalized terms
used but not defined in this Confirmation of Guaranty shall have the meanings ascribed to such terms in the Master Agreement.

 

Dated as of ________________

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit I	12-17	© 2017 Fannie Mae

     

    

 

	 	GUARANTOR:
	 	 
	 	[INSERT GUARANTOR SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit I	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
J TO MASTER CREDIT FACILITY AGREEMENT

 

CONFIRMATION OF ENVIRONMENTAL INDEMNITY
AGREEMENT

 

This CONFIRMATION OF
ENVIRONMENTAL INDEMNITY AGREEMENT is made as of __________________, by [BORROWER], a ____________________ (individually
and collectively, “Borrower”), for the benefit of (i) WALKER & DUNLOP, LLC, a Delaware limited liability
company (“Lender”) and (ii) FANNIE MAE, the corporation duly organized and existing under the laws of
the United States (“Fannie Mae”).

 

Borrower entered into
that certain Environmental Indemnity Agreement dated as of April 30, 2018, for the benefit of Lender (as amended, restated or otherwise
modified from time to time, the “Environmental Indemnity Agreement”) under that certain Master Credit Facility
Agreement dated as of April 30, 2018, by and among Borrower and Lender (as amended, restated or otherwise modified from time to
time, the “Master Agreement”).

 

All Lender’s
right, title and interest in the Master Agreement and the Loan Documents executed in connection with the Master Agreement or the
transactions contemplated by the Master Agreement have been assigned to Fannie Mae pursuant to that certain Assignment of Master
Credit Facility Agreement and Other Loan Documents, dated as of April 30, 2018 (the “Assignment”). Fannie Mae
has not assumed (i) any of the obligations of Lender once an agreement is made for Lender to make a Future Advance under the Master
Agreement to make Future Advances or (ii) any of the obligations of Lender which are servicing obligations delegated to Lender
as servicer of the Advances. Fannie Mae has designated Lender as the servicer of the Advances contemplated by the Master Agreement.

 

[Borrower, Lender
and Fannie Mae have modified the credit facility under the Master Agreement and made certain other changes to the terms and conditions
of the Master Agreement pursuant to that certain [__________] Amendment to Master Credit Facility Agreement dated as of even date
herewith (the “[__________] Amendment”). As a condition to entering into the [__________] Amendment, Borrower is required
to confirm its obligations under the Environmental Indemnity Agreement.][Pursuant to the [________] Amendment, new borrowers are
joining into the Master Agreement and other Loan Documents (individually and collectively, the “Additional Borrower”)
and new properties are being added as security for the Advances (the “Additional Mortgaged Property”).] [Lender has
agreed to make the Future Advance to Borrower under the Master Agreement. As a condition to making the Future Advance, Borrower
is required to confirm its obligations under the Environmental Indemnity Agreement.]

 

Borrower hereby (a)
acknowledges and consents to the [addition of the Additional Borrower to the Environmental Indemnity Agreement] [addition of
the Additional Mortgaged Property to the schedule to the Environmental Indemnity Agreement] [making of the Future Advance], [(b)
acknowledges and consents to the [explain change] other changes and the terms and conditions of the Master Agreement all as set
forth in the [__________] Amendment,] and (c) confirms to Lender and Fannie Mae that the terms and provisions of the Environmental
Indemnity Agreement remain in full force and effect.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit J	12-17	© 2017 Fannie Mae

     

    

 

Borrower hereby confirms
and ratifies the Loan Documents it has previously executed in connection with the Master Agreement.

 

All capitalized terms
used but not defined in this Confirmation of Environmental Indemnity Agreement shall have the meanings ascribed to such terms in
the Master Agreement.

 

Dated as of ________________

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit J	12-17	© 2017 Fannie Mae

     

    

 

	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit J	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
K-1 TO MASTER CREDIT FACILITY AGREEMENT

 

ORGANIZATIONAL CERTIFICATE

(Borrower)

 

I, the undersigned,
______________________, hereby certify as follows:

 

Section 1.             Position.
I am the [Secretary/Officer] of [BORROWER], a ____________________ (“Borrower”), and I am authorized
to deliver this Certificate on behalf of Borrower.

 

Section 2.            Master
Agreement. Borrower entered into that certain Master Credit Facility Agreement, dated as of April 30, 2018, by and among
Borrower and WALKER & DUNLOP, LLC, a Delaware limited liability company (“Lender”) (as amended, restated
or otherwise modified from time to time, the “Master Agreement”). The rights of Lender under the Master Agreement
have been assigned to Fannie Mae. This Certificate is issued pursuant to the terms of the Master Agreement.

 

Section 3.            Due
Authorization of Request. I hereby certify that no action by the [directors, general partners, manager, members or trustees,
as applicable – CHECK ORGANIZATIONAL DOCUMENTS], of Borrower is necessary to duly authorize the execution and delivery
of, and the consummation of the transaction contemplated by the Request with respect to which this Certificate is delivered, or,
if necessary, that attached as Exhibit A to this Certificate is a true copy of either (a) resolutions duly adopted at a
meeting of the board of directors, partners, managers, or members, as the case may be, or (b) a duly executed written consent,
and in either case that such resolutions or consent authorize the action. Any such resolutions or consent are in full force and
effect and are unmodified as of the date of this Certificate.

 

Section 4.            No
Changes. Since the date of the most recent Organizational Certificate delivered to Lender, or, if there are none, since
the date of the Master Agreement, there have been no changes in any of the Organizational Documents of Borrower, except as set
forth in Exhibit B to this Certificate, and Borrower remains duly qualified in the jurisdictions in which it is required
to be qualified under the terms of the Master Agreement.

 

Section 5.            Incumbency
Certificate. One or more of the persons authorized to execute and deliver any documents required to be delivered in connection
with the Request are set forth below:

 

	Name	 	Title
	 	 	 
	 	 	 

 

Section 6.            Capitalized
Terms. All capitalized terms used but not defined in this Certificate shall have the meanings ascribed to such terms in
the Master Agreement.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit K-1	12-17	© 2017 Fannie Mae

     

    

 

Dated: ___________________, ____

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit K-1	12-17	© 2017 Fannie Mae

     

    

 

	 	By:	 
	 	Name:	 
	 	Title:	[Secretary/Officer]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit K-1	12-17	© 2017 Fannie Mae

     

    

 

Exhibit A

 

Resolutions

 

See attached.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Exhibit K-1	12-17	© 2017 Fannie Mae

     

    

 

Exhibit B

 

Changes to Organizational Documents

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 5
	Exhibit K-1	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
K-2 TO MASTER CREDIT FACILITY AGREEMENT

 

ORGANIZATIONAL CERTIFICATE

(Guarantor)

 

I, the undersigned,
____________________, hereby certify as follows:

 

Section 1.            Position.
I am the ________________ of BLUEROCK RESIDENTIAL GROWTH REIT, INC., a Maryland corporation (“Guarantor”),
and I am authorized to deliver this Certificate on behalf of Guarantor.

 

Section 2.            Guaranty.
Guarantor entered into that certain Guaranty of Non-Recourse Obligations, dated as of April 30, 2018, for the benefit of WALKER
& DUNLOP, LLC, a Delaware limited liability company (“Lender”) (as amended from time to time, the “Guaranty”).
The rights of Lender under the Guaranty have been assigned to Fannie Mae. This Certificate is issued pursuant to the terms of the
Guaranty.

 

Section 3.            Due
Authorization of Request. I hereby certify that no action by the [directors, general partners, manager, members or trustees,
as applicable – CHECK ORGANIZATIONAL DOCUMENTS] of Guarantor is necessary to duly authorize the execution and delivery
of, and the consummation of the transaction contemplated by the Request with respect to which this Certificate is delivered, or,
if necessary, that attached as Exhibit A to this Certificate is a true copy of either (a) resolutions duly adopted at a
meeting of the board of directors, partners, managers, or members, as the case may be, or (b) a duly executed written consent,
and in either case that such resolutions or consent authorize the action. Any such resolutions or consent are in full force and
effect and are unmodified as of the date of this Certificate.

 

Section 4.            No
Changes. Since the date of the most recent Organizational Certificate delivered to Lender, or, if there are none, since
the date of the Guaranty, there have been no changes in any of the Organizational Documents of Guarantor, except as set forth in
Exhibit B to this Certificate, and Guarantor remains in existence and is duly qualified in the jurisdictions in which it
is required to be qualified under the terms of the Guaranty.

 

Section 5.            Incumbency
Certificate. One or more of the persons authorized to execute and deliver any documents required to be delivered by Guarantor
in connection with the Request are as follows:

 

	Name	 	Office
	 	 	 
	 	 	 

 

Section 6.            Capitalized
Terms. All capitalized terms used but not defined in this Certificate shall have the meanings ascribed to such terms in
the Master Credit Facility Agreement among (a) [BORROWER], a __________________ (“Borrower”); and
(b) Lender dated as of April 30, 2018.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit K-2	12-17	© 2017 Fannie Mae

     

    

 

Dated: ___________________, ____

 

[Remainder of Page Intentionally Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit K-2	12-17	© 2017 Fannie Mae

     

    

 

	 	By:	 
	 	Name:	 
	 	Title:	[Secretary/Officer]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit K-2	12-17	© 2017 Fannie Mae

     

    

 

Exhibit A

 

Resolutions

 

See attached.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 4
	Exhibit K-2	12-17	© 2017 Fannie Mae

     

    

 

Exhibit B

 

Changes to Organizational Documents

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 5
	Exhibit K-2	12-17	© 2017 Fannie Mae

     

    

 

EXHIBIT
L TO MASTER CREDIT FACILITY AGREEMENT

 

CONFIRMATION OF OBLIGATIONS

 

This CONFIRMATION OF
OBLIGATIONS (the “Confirmation of Obligations”) is made as of __________________, by and among [BORROWER],
a ____________________ (“Borrower”) for the benefit of WALKER & DUNLOP, LLC, a Delaware limited liability
company (“Lender”) and Fannie Mae.

 

RECITALS

 

A.            Borrower
and Lender are parties to that certain Master Credit Facility Agreement, dated as of April 30, 2018 (as amended, restated or otherwise
modified from time to time, the “Master Agreement”).

 

B.            All
Lender’s right, title and interest in the Master Agreement and the Loan Documents executed in connection with the Master
Agreement or the transactions contemplated by the Master Agreement have been assigned to Fannie Mae pursuant to that certain Assignment
of Master Credit Facility Agreement and Other Loan Documents, dated as of April 30, 2018 (the “Assignment”).
Fannie Mae has not assumed (i) any of the obligations of Lender once an agreement is made for Lender to make a Future Advance under
the Master Agreement to make Future Advances or (ii) any of the obligations of Lender which are servicing obligations delegated
to Lender as servicer of the Advances. Fannie Mae has designated Lender as the servicer of the Advances contemplated by the Master
Agreement.

 

C.            Borrower
has delivered to Lender a Release Request pursuant to the Master Agreement to release a Release Property from the Collateral Pool.

 

D.            Lender
has consented to the Release Request.

 

E.             The
parties are executing this Confirmation of Obligations pursuant to the Master Agreement to confirm that each remains liable for
all of its obligations under the Master Agreement and the other Loan Documents notwithstanding the release of the Release Property
from the Collateral Pool.

 

NOW, THEREFORE, Borrower,
in consideration of Lender’s consent to the release of the Release Property from the Collateral Pool and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, hereby agree as follows:

 

Section 1.            Confirmation
of Obligations. Borrower confirms that, except with respect to the Release Property, none of its respective obligations
under the Master Agreement and the Loan Documents is affected by the release of the Release Property from the Collateral Pool,
and each of its respective obligations under the Master Agreement and the Loan Documents shall remain in full force and effect,
and it shall be fully liable for the observance of all such obligations, notwithstanding the release of the Release Property from
the Collateral Pool.

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 1
	Exhibit L	12-17	© 2017 Fannie Mae

     

    

 

Section 2.            Beneficiaries.
This Confirmation of Obligations is made for the express benefit of both Lender and Fannie Mae.

 

Section 3.            Capitalized
Terms. All capitalized terms used in this Confirmation of Obligations which are not specifically defined herein shall have
the respective meanings set forth in the Master Agreement.

 

Section 4.            Counterparts.
This Confirmation of Obligations may be executed in counterparts by the parties hereto, and each such counterpart shall be considered
an original and all such counterparts shall constitute one and the same instrument.

 

[Remainder of Page Intentionally
Blank]

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 2
	Exhibit L	12-17	© 2017 Fannie Mae

     

    

 

IN WITNESS WHEREOF,
the parties hereto have executed the Confirmation of Obligations as an instrument under seal as of the day and year first above
written.

 

	 	BORROWER:
	 	 
	 	[INSERT BORROWER SIGNATURE BLOCK(S)]
	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 
	 	Title:	 

 

    	Master Credit Facility Agreement	Form 6001.MCFA	Page 3
	Exhibit L	12-17	© 2017 Fannie Mae

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