Document:

Exhibit 10.23

 Exhibit 10.23 
 MORTGAGE, SECURITY AGREEMENT, 
 ASSIGNMENT OF RENTS AND LEASES 
 AND FIXTURE FILING 

 MORTGAGE, SECURITY AGREEMENT, 
 ASSIGNMENT OF RENTS 
 AND FIXTURE FILING 
 TABLE OF CONTENTS 
  

					
	 	  	 	  	PAGE
	 1.
	  	Payment of Indebtedness	  	6
			
	 2.
	  	Covenants of Title	  	6
			
	 3.
	  	Usury	  	7
			
	 4.
	  	Impositions	  	7
			
	 5.
	  	Tax Deposits	  	8
			
	 6.
	  	Change in Taxes	  	10
			
	 7.
	  	Insurance	  	10
			
	 8.
	  	Insurance/Condemnation Proceeds	  	12
			
	 9.
	  	Restoration Following Fire and Other Casualty or Condemnation	  	13
			
	 10.
	  	Disposition of Condemnation or Insurance Proceeds	  	17
			
	 11.
	  	Fire and Other Casualty; Self-Help	  	18
			
	 12.
	  	Rent Insurance Proceeds	  	18
			
	 13.
	  	Repair; Alterations; Waste; Environmental	  	19
			
	 14.
	  	Environmental Indemnification	  	20
			
	 15.
	  	Independence of Security	  	20
			
	 16.
	  	No Other Liens	  	20
			
	 17.
	  	Management	  	21
			
	 18.
	  	[Omitted]	  	21
			
	 19.
	  	Sidewalks, Municipal Charges	  	21
			
	 20.
	  	Assignment of Rents and Leases	  	22
			
	 21.
	  	Future Leases	  	23
			
	 22.
	  	[Omitted]	  	23
			
	 23.
	  	Operating Agreement/Easement Agreements	  	23
			
	 24.
	  	Events of Default	  	24
			
	 25.
	  	Remedies Upon Default	  	25
			
	 26.
	  	Receiver	  	28
			
	 27.
	  	[Omitted]	  	29
			
	 28.
	  	Prepayment Fees	  	29
			
	 29.
	  	Acceleration Interest	  	29
			
	 30.
	  	Late Charge	  	29
			
	 31.
	  	Waiver of Statutory Rights	  	30
			
	 32.
	  	Security Interest	  	30

					
	 33.
	  	Right of Entry	  	31
			
	 34.
	  	Estoppel Certificate	  	31
			
	 35.
	  	Annual Statements	  	31
			
	 36.
	  	Rights Cumulative	  	33
			
	 37.
	  	Subrogation	  	33
			
	 38.
	  	No Waiver	  	33
			
	 39.
	  	Mortgage Extension	  	33
			
	 40.
	  	Indemnification	  	33
			
	 41.
	  	Nonrecourse	  	34
			
	 42.
	  	Attorneys’ Fees	  	35
			
	 43.
	  	Administrative Fees	  	36
			
	 44.
	  	[Omitted]	  	36
			
	 45.
	  	Protection of Security; Costs and Expenses	  	36
			
	 46.
	  	Notices	  	37
			
	 47.
	  	Release	  	37
			
	 48.
	  	Applicable Law	  	38
			
	 49.
	  	[Omitted]	  	38
			
	 50.
	  	Invalidity	  	38
			
	 51.
	  	Captions	  	38
			
	 52.
	  	Modifications	  	38
			
	 53.
	  	Bind and Inure	  	38
			
	 54.
	  	Replacement of Note	  	38
			
	 55.
	  	Time of the Essence	  	38
			
	 56.
	  	Business Day	  	38
			
	 57.
	  	[Omitted]	  	38
			
	 58.
	  	Authority of Mortgagee	  	39
			
	 59.
	  	Waivers of Operating Tenant	  	39
			
	 60.
	  	Obligor’s Financial Condition	  	41
			
	 61.
	  	Statutory Condition; Statutory Power of Sale	  	41
			
	 62.
	  	Fixture Filing	  	41

 EXHIBIT A - Legal Description 

 Recording Requested By and 
 After Recording, Return to: 
 Bruce A. Douglas 
 Bingham McCutchen LLP 
 One State Street 
 Hartford, CT 06103 
 MORTGAGE, SECURITY AGREEMENT, ASSIGNMENT OF 
 RENTS AND LEASES AND FIXTURE FILING 
 MASSACHUSETTS 
 THIS MORTGAGE, SECURITY AGREEMENT, ASSIGNMENT OF RENTS AND LEASES AND FIXTURE FILING (this “Mortgage”) is made as of the 6th day
of December, 2005 by HH BOSTON BACK BAY LLC, a Delaware limited liability company and having its principal place of business at c/o Highland Hospitality Corporation, 8405 Greensboro Drive, Suite 500, McLean, Virginia 22102
(“Borrower”) and HHC TRS OP LLC, a Delaware limited liability company, having its principal place of business at c/o Hospitality Corporation, 8405 Greensboro Drive, Suite 500, McLean, Virginia 22102 (“Operating
Tenant” and, together with Borrower, collectively referred to herein as “Mortgagor”), to CONNECTICUT GENERAL LIFE INSURANCE COMPANY, a Connecticut corporation, having its principal place of business at c/o CIGNA
Realty Investors, 280 Trumbull Street, Hartford, Connecticut 06103, Attention: Debt Asset Management, H-11G (hereinafter referred to as “Mortgagee”). 
 W I T N E S S E T H: 
 THAT, to secure (i) payment to Mortgagee of the principal indebtedness of Sixty-Nine Million and No/100 Dollars ($69,000,000.00), together with interest thereon (the “Loan”), as evidenced by that certain
Promissory Note of even date herewith in the original principal amount of Sixty-Nine Million and No/100 Dollars ($69,000,000.00) from Borrower, payable to Mortgagee (the “Note”), and any renewals, extensions or modifications thereof
(including, without limitation, any modification increasing the Interest Rate (defined in the Note), the principal amount, the monthly payments or extending the maturity date) with the final payment of the entire outstanding balance of the Note
being due and payable on January 1, 2013, in and by which Note the Mortgagor promises to pay the said principal indebtedness and interest at the rate and in installments as provided in the Note, (ii) the performance of the covenants herein
contained and the payment of any monies expended by Mortgagee in connection therewith, (iii) the payment of all obligations and the performance of all covenants of Mortgagor under any other loan documents, agreements or instruments between
Mortgagor and Mortgagee given in connection with or related to this Mortgage or the Note and (iv) any and all additional advances made by Mortgagee to protect or preserve the Security (hereinafter defined) or the security 

 interest created hereby on the Security, or for taxes, assessments, or insurance premiums as hereinafter provided or for
performance of any of Mortgagor’s obligations hereunder or for any other purpose provided herein (whether or not the original Mortgagor remains the owner of the Security at the time of such advances) (all of the aforesaid indebtedness and
obligations being herein called the “Indebtedness”, and all of the documents, agreements and instruments now or hereafter evidencing or securing the repayment of, or otherwise pertaining to, the Indebtedness being herein
collectively called the “Loan Documents”), Mortgagor does hereby mortgage, grant with MORTGAGE COVENANTS, UPON THE STATUTORY CONDITION AND WITH THE STATUTORY POWER OF SALE, bargain, sell, assign, pledge, transfer, and convey unto
Trustee and to Trustee’s successors and assigns, in trust, with power of sale and right of entry and possession forever, all of the following described land, improvements real and personal property, rents and leases, and all of its estate,
right, title and interest therein and thereto (hereinafter collectively called the “Security”). 
 The real property
described in Exhibit A attached hereto and made a part hereof, situated, lying and being in the City of Boston, Suffolk County, Massachusetts (the “Land”); 
 TOGETHER with all buildings and other improvements now or hereafter located on the Land or any part thereof including but not limited to, all
extensions, betterments, renewals, renovations, substitutes and replacements of, and all additions and appurtenances to the Security (the “Improvements”); 
 TOGETHER with all of the right, title and interest of Debtor with regard to any and all air rights appurtenant to the ownership of the Land (the
“Air Rights”); 
 TOGETHER with all of the right, title and interest, if any, of Mortgagor in and to the land lying
in the bed of any street, road, highway or avenue in front of or adjoining the Land to the center lines thereof; 
 TOGETHER with (to
the extent assignable) all of the right, title and interest, if any, that Mortgagor may have in the right to use, in connection with the operation of the Security, the name “Hilton” and any other name similar thereto, and any other
licenses, trademarks, service marks or trade names, and good will associated therewith, used in connection with the Security; 
 TOGETHER with all easements now or hereafter located on or appurtenant to the Land and/or Improvements or under or above the same or any part thereof, rights-of-way, licenses, air rights, permits, approvals, and privileges, belonging
or in any way appertaining to the Land and/or Improvements including without limitation (i) any drainage ponds or other like drainage areas not located on the Land which may be required for water run-off, (ii) any easements necessary to
obtain access from the Land to such drainage areas, or to any other location to which Mortgagor has a right to drain water or sewage, (iii) any land required to be maintained as undeveloped land by the zoning rules and regulations applicable to
the Real Property, and (iv) any easements and agreements which are or may be established to allow inter alia, parking (whether on-site or off-site), satisfactory ingress to, egress from and operation of the Real Property, and any
other easement agreement or covenant or benefit as to land use (collectively, the “Easement Agreements”); 
  

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 TOGETHER with any and all awards heretofore made and hereafter to be made by any municipal or
other governmental authorities to the present and all subsequent owners of the Security for the taking of all or any portion of the Security by power of eminent domain, including, without limitation, awards for damage to the remainder of the
Security and any awards for any change or changes of grade of streets affecting the Security, which said awards are hereby assigned to Mortgagee, and Mortgagee, at its option, is hereby authorized, directed and empowered to collect and receive the
proceeds of any such awards from the authorities making the same and to give proper receipts and acquittances therefore, and, subject to the terms hereof, to apply the same toward the payment of the Indebtedness, notwithstanding the fact that such
amount may not then be due and payable; and Mortgagor hereby covenants and agrees to and with Mortgagee, upon request by Mortgagee, to make, execute and deliver, at Mortgagor’s expense, any and all assignments and other instruments sufficient
for the purpose of assigning the aforesaid awards to or for the benefit of Mortgagee, free, clear and discharged of any and all encumbrances of any kind or nature whatsoever (all of the foregoing Land, Improvements, rights, easements, rights-of-way,
licenses, privileges, and awards, collectively, the “Real Property”); 
 TOGETHER with all proceeds, insurance or
otherwise, paid for the damage done to any of the Security and all proceeds of the conversion, voluntarily or involuntarily, of any of the Security into cash or liquidated claims; 
 TOGETHER with all fixtures, machinery, equipment, furniture, goods, and every other article of personal property, tangible and intangible, now or
hereafter attached to or used in connection with the Real Property, or placed on any part thereof and whether or not attached thereto, appertaining or adapted to the use, management, operation or improvement of the Real Property, insofar as the same
and any reversionary right thereto may now or hereafter be owned or acquired by Mortgagor, including, but without limitation, all goods, supplies, equipment, appliances, implements, furniture, furnishings, fixtures, machinery, inventory and
construction materials and all personal property used in the operation of a hotel on the Real Property, including, without limiting the generality of the foregoing, all hotel furniture, furnishings and equipment, heating, lighting, plumbing,
ventilating, refrigerating, incinerating, elevator, escalator, air conditioning and communication plants or systems with appurtenant fixtures; vacuum cleaning systems; call systems; sprinkler systems and other fire prevention and extinguishing
apparatus and materials; all telephone, computer and other electronic equipment and appurtenances thereto, including any software owned by Mortgagor and necessary for the operation of the Security (except to the extent the transfer thereof would
cause a material breach of any licensing agreement in connection therewith) but expressly excluding software that is owned by or licensed to the Manager under the Management Agreement (as such terms are defined below); and all other machinery,
pipes, poles, appliances, equipment, wiring, fittings, panels and fixtures; and any proceeds therefrom, any replacements thereof or additions or accessions thereto; curtains, draperies, hangings, televisions, radios, phonographs and stereo
equipment, pianos, organs, paintings, pictures, frames, sculptures, mirrors, lamps, bric-a-brac, vases, ornaments, carpets, rugs, beds, springs, mattresses, bedding, pillows, blankets, comforters, spreads, bed linens, vanities, secretaries, bureaus,
chiffonniers, chests, love seats, benches, night stands, costumers, smoking stands, sand jars, statuary, china, glassware, table linens, towels, bath mats, shower curtains, hollowware, flatware, cutlery, cooking, baking, and other kitchen utensils
and apparatus, crockery, kettles, pots, pans, pails, toasters, mixers, trays, racks, electric irons and 
  

 3 

 apparatus, bathroom furniture and furnishings, hamperettes, cash registers, typewriters, typewriter stands, adding
machines, calculators, comptometers, multilith machines, addressographs, graphotypes, time stamps, time recorders, posting machines, bookkeeping machines, checking machines, payroll machines, computer reservation systems, accounting and other
computer software, and other office and accounting equipment, drills, presses, planers, saws, and other tools, scales, uniforms, and all other tangible personal property used or to be used or placed or to be placed in the rooms, halls, lounges,
offices, lobbies, lavatories, basements, cellars, vaults and other portions of said Real Property or any building or buildings hereafter constructed or erected thereon, whether herein enumerated or not, and whether or not contained in any such
building, and which are used or useful in the operation and maintenance thereof, or in the business conducted therein, including the operation of any restaurants on the Real Property by or on behalf of Mortgagor, including but not limited to all
restaurant furnishings and equipment, foodstuffs, and beverages, including (to the extent assignable or transferable) wine and other alcoholic beverages owned by Mortgagor, and all replacements and substitutions for all personal property from time
to time be located, placed, installed or used in or upon, or procured for use, or useful in connection with the operation of the whole, or any useful part of, the Real Property (the foregoing items of furniture, furnishings, fixtures and equipment
collectively are referred to as “FF&E”); provided, however, FF&E shall not include any of the foregoing items which are owned by parties other than Mortgagor including, but not limited to, any tenants of the Real Property or
the operator under any management agreement; and all building materials, supplies and other property delivered to the Real Property for incorporation into the Improvements thereon, all of which, to the extent permitted by law, are declared to be a
part of the realty and covered by the lien hereof, but said lien shall not cover any fixture, machinery, equipment or article of personal property which is owned by a tenant, other than Operating Tenant, provided said fixture, machinery, equipment
or article of personal property is not permanently affixed to the realty and may be removed without material damage thereto and is not a replacement of any item which shall have been subject to the lien hereof, but said lien shall include any other
fixture, machinery, equipment or article of personal property so incorporated into the Improvements so as to constitute realty under applicable law, whether or not owned by Mortgagor; 
 TOGETHER with all of Mortgagor’s books of account and records relating to the Security, including, without limitation, all information stored
on computers and software to the extent relating thereto; 
 TOGETHER with all (i) contracts, agreements, assignable permits and
licenses, including occupancy permits, business licenses and liquor licenses, warranties and representations relating to or governing the use, occupancy, operation, management, hotel group, name or chain affiliation and/or guest reservation system,
repair or service of the Real Property, (ii) all agreements with credit card issuers, sponsors or administrators, (iii) all rights to payment for the rental of guest rooms, banquet rooms, retail premises and other facilities on the Real
Property, (iv) all rights to payment from any credit/charge card organization or entity such as or similar to, and including, without limitation, the organizations or entities which sponsor and administer the American Express Card, the
Discovery Card, the Visa Card, the Carte Blanche Card, the Diners Club card and the MasterCard; and (v) all leases, occupancy agreements, registration and concession agreements, and commitments to provide rooms or facilities in the future to
the extent that they are not solely interests in real estate, including all amendments, modifications and supplements to any of the foregoing; 
  

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 TOGETHER with all cars, trucks, trailers, construction and earth moving equipment and other
vehicles owned by Mortgagor covered by a certificate of title law of any state used in the operation of the Real Property and all tires and other appurtenances to any of the foregoing; 
 TOGETHER with all of Mortgagor’s right, title and interest of in, to and under that certain Lease Agreement dated as of October 24, 2005
(the “Operating Lease”), by and between Borrower and Operating Tenant; 
 TOGETHER with all of Mortgagor’s
right, title and interest as lessee in, to and under any equipment or personal property leases (the “Personalty Leases”) for the lease of any furniture, equipment and/or other personal property used by Mortgagor in the operation of
the Improvements or otherwise located on the Real Property (the “Leased Personalty”). 
 TOGETHER with all of
Mortgagor’s right, title and interest in, to and under that certain Management Agreement dated October 24, 2005, by and between Hilton Hotels Corporation, a Delaware corporation (“Manager”) and Operating Tenant (the
“Management Agreement”); 
 TOGETHER with all of Mortgagor’s right, title and interest in, to and under that
certain Franchise License Agreement (Hilton Boston Back Bay) having an effective date of October 24, 2005 by and between Hilton Inns, Inc., a Delaware corporation and Operating Tenant; 
 TOGETHER with all contracts for sale and leases in the nature of sales of the Real Property, or any portion thereof, now and hereafter entered
into and all right, title and interest of Mortgagor thereunder, including, without limitation, cash or securities deposited thereunder to secure performance by the lessees or contract purchasers; all letter of credit rights; all proceeds and
revenues arising from or out of the Real Property or any part thereof including, without limitation, room revenues, banquet revenues and cancellation payments relating to the use and enjoyment of the Real Property; all sanitary sewer, drainage,
water and utility service agreements benefiting the Real Property or any part thereof, together with all accounts, accounts receivable, credit card receipts, contract rights, reserve accounts required to be established hereunder or under any
management agreement affecting the Real Property; inventory, operating supplies, general intangibles, documents, instruments and chattel paper and proceeds of any of the foregoing arising from or in connection with the Real Property, including all
books and records in connection with the operations of the Real Property; and all rights of Mortgagor under any leases, covenants, agreements, restrictions or declarations recorded with respect to, or as an appurtenance to, the Real Property or any
part thereof (all of the tangible and intangible personal property described in this and the previous nine paragraphs collectively, the “Personal Property”); 
 TOGETHER with all of the right, title and interest of Mortgagor in and to all and singular the tenements, hereditaments and appurtenances
belonging to or in any way pertaining to the Security; all the estate, right, title and claim whatsoever of Mortgagor, either in law or in equity, in and to the Security; and any and all other, further or additional title, estate, interest or right
which may at any time be acquired by Mortgagor in or to the Security, and if Mortgagor 
  

 5 

 shall at any time acquire any further estate or interest in or to the Security, the lien of this Mortgage shall attach,
extend to, cover and be a lien upon such further estate or interest automatically without further instrument or instruments, and Mortgagor, upon request of Mortgagee, shall execute such instrument or instruments as shall reasonably be requested by
Mortgagee to confirm such lien; 
 TO HAVE AND TO HOLD the Security, and each and every part thereof, unto the Mortgagee and its
successors and assigns, for the purposes and uses herein set forth. 
 UPON THE TERMS AND SUBJECT TO THE CONDITIONS which are
hereinafter set forth; 
 PROVIDED, HOWEVER, that if Mortgagor pays or causes to be fully and irrevocably paid to Mortgagee all sums
secured by this Mortgage on the dates and in the manner provided in the Note and in this Mortgage, and observes and performs all of the terms, conditions and obligations contained in this Mortgage and the Note, then the estate, right, title and
interest of the Mortgagee in and to the Security shall cease, and upon proof being given to the satisfaction of the Mortgagee that the Indebtedness has been paid or satisfied according to the terms of the Note, and that all of Mortgagor’s
obligations under this Mortgage have been fully satisfied, and upon payment of all fees, costs, charges and liabilities chargeable to or incurred by the Mortgagee pursuant to the Note or otherwise provided for in this Mortgage, the Mortgagee shall,
on receipt of a written request therefore from Mortgagor, and at Mortgagor’s sole expense, (a) release and discharge the lien of this Mortgage, (b) deliver to Mortgagor the original Note, and (c) transfer and deliver to
Mortgagor, without warranty, any security which is then subject to the lien of this Mortgage and is in Mortgagee’s possession. 
 AND, Mortgagor hereby further covenants, agrees and warrants as follows: 
 1. Payment of Indebtedness. Mortgagor will
pay the principal indebtedness and interest thereon in accordance with the provisions of the Note and all prepayment fees, late charges and fees required thereunder, and all extensions, renewals, modifications, amendments and replacements thereof,
and will keep and perform all the covenants, promises and agreements, and pay all sums provided in (i) the Note or any other promissory note or notes at any time hereafter issued to evidence the Indebtedness, (ii) this Mortgage and
(iii) any and all other Loan Documents, all in the manner herein or therein set forth. If, at any time in the future transfers shall occur such that Mortgagor shall become more than one party, then each of the entities constituting a Mortgagor
shall be fully liable for such payment and performance, and such liability shall be joint and several, subject to all of the terms and provisions of Section 41 of this Mortgage. 
 2. Covenants of Title. Borrower has good and indefeasible fee simple title to the entire Land and the Air Rights, has absolute unencumbered title
to the Improvements, the Personal Property (other than the Leased Personalty) and the Personalty Leases, and has good right and full power to sell, mortgage and convey the same; the Security is free and clear of easements, restrictions, liens,
leases and encumbrances, except those easements, restrictions, liens, leases and encumbrances listed on Schedule B of the policy or policies of title insurance delivered to Mortgagee as of the recordation of this Mortgage (the “Permitted
Encumbrances”), 
  

 6 

 to which this Mortgage is expressly subject, or which may hereafter be created in accordance with the terms hereof; and
Borrower will warrant and defend title to the Security against all claims and demands whatsoever except the Permitted Encumbrances. Mortgagee shall have the right, at its option and at such time or times as it, in its sole discretion, shall deem
necessary, to take whatever action it may deem necessary to defend or uphold the lien of this Mortgage or otherwise enforce any of the rights of Mortgagee hereunder or any obligation secured hereby, including without limitation, the right to
institute appropriate legal proceedings for such purposes. 
 3. Usury. All agreements between Mortgagor and Mortgagee, whether now
existing or hereafter arising and whether written or oral, are hereby limited so that in no contingency, whether by reason of acceleration of the maturity of the Note or otherwise, shall the interest contracted for, charged or received by Mortgagee
exceed the maximum amount permissible under applicable law. If, from any circumstance whatsoever, interest would otherwise be payable to Mortgagee in excess of the maximum lawful amount, the interest payable to Mortgagee shall be reduced to the
maximum amount permitted under applicable law; and if from any circumstance Mortgagee shall ever receive anything of value deemed interest by applicable law in excess of the maximum lawful amount, an amount equal to any excessive interest shall be
applied to the reduction of the principal of the Note and not to the payment of interest, or if such excessive interest exceeds the unpaid balance of principal of the Note such excess shall be promptly refunded to Mortgagor. All amounts paid or
agreed to be paid to Mortgagee for the use, forbearance, or detention of the Indebtedness, whether designated as interest herein or judicially or otherwise interpreted or deemed to be interest, shall, to the extent permitted by applicable law, be
amortized, prorated, allocated, and spread throughout the full period until payment in full of the principal (including the period of any renewal or extension of the Note) so that the interest on the Note for such full period shall not exceed the
maximum amount permitted by applicable law. The terms “maximum amount permissible under applicable law”, “the maximum lawful amount,” and similar terms refer to the law in effect on the date of the first disbursement of the Note;
provided that if it subsequently becomes lawful to charge more interest on the Note, then such terms shall refer to the maximum interest which may from time to time be lawfully charged. This paragraph shall control all agreements with respect to the
Loan between Mortgagor and Mortgagee. 
 4. Impositions. Mortgagor shall pay, or cause to be paid pursuant to the Management Agreement
(or any Replacement Agreement, as defined below), not later than the last day on which the same may be paid without penalty or interest, all real estate taxes and payments due in lieu of real estate taxes (collectively, the “Real Estate
Taxes”) (unless there shall be in full force and effect a Tax Escrow Agreement [defined in Section 5 hereinbelow] with respect to which Mortgagor shall have performed its obligations), and any municipal sewer rents, municipal water
charges, municipal electric and all other municipal and governmental assessments, rates, charges, or impositions which are secured by liens on the Real Property (including the Real Estate Taxes, collectively hereinafter referred to as
“Impositions”) which now or hereafter are imposed by law upon the Security, whether relating directly to the Security or to property adjoining or abutting the Security. If any Imposition is not paid within the time hereinabove specified,
Mortgagee shall have the right to pay the same, together with any penalty and interest thereon, and the amount or amounts so paid or advanced shall forthwith be payable by Mortgagor to Mortgagee and shall be secured by the lien of this Mortgage; but
Mortgagor 
  

 7 

 may in good faith contest, at Mortgagor’s sole cost and expense, by proper legal proceedings, the validity or amount
of any Imposition, on the condition that Mortgagor first shall deposit with or provide evidence to Mortgagee that Manager has escrowed an amount sufficient to pay such contested Imposition, as security for the payment of such contested item, an
amount equal to the contested item plus all penalties and interest which would be payable if Mortgagor is ultimately required to pay such contested item, and on the further condition that no amount so contested may remain unpaid for such length of
time as shall permit the Security, or the lien thereon created by the item being contested, to be sold for the nonpayment thereof, or as shall permit an action, either of foreclosure or otherwise, to be commenced by the holder of any such lien.
Mortgagor will not claim any credit on, or make any deduction from the Indebtedness by reason of the payment of, any Imposition. 
 Mortgagor
hereby assigns to Mortgagee all rights of Mortgagor now or hereafter arising in and to the refund of any Imposition and any interest thereon. If following receipt of any such refund by Mortgagee there exists no Event of Default hereunder, then
Mortgagee shall pay over the same to Mortgagor promptly; if there exists an Event of Default hereunder, Mortgagee may apply said refund in reduction of the Indebtedness in whatever order Mortgagee may elect. 
 5. Tax Deposits. Mortgagor and Mortgagee have entered into a certain Real Estate Tax Escrow and Security Agreement of even date herewith (the
“Tax Escrow Agreement”), the terms of which provide for the escrow and payments of money with respect to Real Estate Taxes imposed on the Real Property under certain circumstances as described therein. Notwithstanding the provisions of
Section 4 hereof, Mortgagor covenants to perform its obligations under the Tax Escrow Agreement and Mortgagee has agreed that Mortgagor may perform its obligations under this Mortgage with respect to the Real Estate Taxes in accordance with the
Tax Escrow Agreement. During any period that Mortgagor shall be in default under the Tax Escrow Agreement, or the Tax Escrow Agreement shall be terminated for any reason, or in the event that the Tax Escrow Agreement becomes ineffective or otherwise
unenforceable, then the balance of the terms and conditions of this Section 5 shall be applicable and control with respect to the payment of Real Estate Taxes imposed on the Real Property. 
 On receipt of the Activation Notice (as defined in the Tax Escrow Agreement), Mortgagor shall thereafter deposit with Mortgagee, or with an escrow agent
selected by Mortgagee, commencing on the Activation Date (as defined in the Tax Escrow Agreement) and on the first day of each calendar month thereafter (each of which dates is hereinafter called the “monthly tax deposit date”)
until the payment in full of the Indebtedness, a sum equal to one-twelfth (1/12) of the Real Estate Taxes to be levied, charged, assessed or imposed upon or for the Security within one (1) year after said monthly tax deposit date. If on
any monthly tax deposit date the amount of Real Estate Taxes to be levied, charged, assessed or imposed within the ensuing one year period shall not be fixed, such amount for the purpose of computing the deposit to be made by Mortgagor hereunder,
shall be reasonably estimated by Mortgagee based upon prior payments of Real Estate Taxes imposed on the Real Property, with appropriate adjustment when such amount is fixed. 
 The sums deposited by Mortgagor under this Section 5 shall be held in an interest bearing account with interest being retained by Mortgagee and free
of trust except to the extent, 
  

 8 

 if any, that applicable law shall otherwise require and applied in payment of the Real Estate Taxes when due. Mortgagor
or Manager on behalf of Mortgagor shall give fifteen (15) days’ prior written notice to Mortgagee in each instance when an Imposition is due, specifying the Imposition to be paid and the amount thereof, the place of payment and the last
day on which the same may be paid in order to be within the time limit specified in Section 4 hereof entitled “Impositions”. 
 Notwithstanding the foregoing provision, so long as Mortgagor holds title to and controls the Security, Impositions are paid in full when due and there has occurred no Event of Default, or any state of facts which, with the passage of time
or giving of notice, or both, would constitute an Event of Default under the Loan Documents, the interest earned by such escrows, less reasonable escrow costs, will, at Mortgagor’s option, be (i) credited to Mortgagor against escrow
payments next becoming due, or (ii) paid to Mortgagor on each real estate tax payment date. 
 If for any reason the sums on deposit
with Mortgagee as escrow agent under this Section shall not be sufficient to pay any Real Estate Taxes within the time specified in Section 4 hereof, then Mortgagor shall, on the earlier of (A) three (3) Business Days prior to the
date the payment of such Impositions becomes delinquent or (B) within ten (10) Business Days after notice by Mortgagee, deposit sufficient sums so that Mortgagee may pay such Real Estate Taxes in full, together with any penalty and
interest thereon. Mortgagee may change its estimate of Real Estate Taxes for any period, on the basis of a change in an assessment or tax rate or on the basis of a prior miscalculation, in which event Mortgagor shall deposit with Mortgagee as escrow
agent within ten (10) Business Days after demand the amount of any excess of the deposits which would theretofore have been payable under the revised estimate over the sums actually deposited. 
 If any Real Estate Taxes shall be levied, charged, assessed or imposed upon or for the Security, or any portion thereof, and if such Real Estate Taxes
shall also be a levy, charge, assessment or imposition upon or for any other premises not covered by the lien of this Mortgage, then the computation of the amounts to be deposited under this Section 5 shall be based upon the entire amount of
such Real Estate Taxes and Mortgagor shall not have the right to apportion any deposit with respect to such Real Estate Taxes. 
 Upon an
assignment of this Mortgage, Mortgagee shall have the right to arrange to transfer all amounts deposited and still in its possession to the assignee and Mortgagee shall thereupon be completely released from all liability with respect to such deposit
and Mortgagor or owner of the Security shall look solely to the assignee or transferee in reference thereto. 
 Upon the payment in full by
Mortgagor of the entire Indebtedness, any sums then held by Mortgagee under this Section 5 shall be promptly refunded to Mortgagor. 
 All amounts deposited shall be held by Mortgagee as additional security for the sums secured by this Mortgage, and Mortgagor hereby grants to Mortgagee a security interest in such sums, and upon the occurrence of an Event of Default
hereunder Mortgagee may, in its sole and absolute discretion, apply said amounts to the payment of the Indebtedness in whatever order Mortgagee may elect. 
  

 9 

 Immediately upon receipt of such by Mortgagor, Mortgagor shall deliver to Mortgagee copies of all
notices, demands, claims, bills, and receipts in relation to the Impositions. 
 6. Change in Taxes. In the event any tax shall be due
or become due and payable to the United States of America, the Commonwealth of Massachusetts or any political subdivision thereof with respect to the execution and delivery or recordation of this Mortgage or any other Loan Document or the interest
of Mortgagee in the Security except for taxes in the nature of income or franchise taxes, Mortgagor shall pay such tax at the time and in the manner required by applicable law and Mortgagor shall hold Mortgagee harmless and shall indemnify Mortgagee
against any liability of any nature whatsoever as a result of the imposition of any such tax. In the event of the enactment, after the date of this instrument, of any law changing in any way the present law as to the taxation of notes or debts
secured by mortgages, for Federal, State, or local purposes (except for changes in income or franchise taxes), or the manner of collection of any Impositions, so as to affect this Mortgage or the Note secured hereby, then Mortgagor shall upon demand
make such payments to Mortgagee and take such other steps, as may be necessary in Mortgagee’s reasonable judgment, to place Mortgagee in the same financial position as it was prior to any such enactment, failing which, or if the Mortgagor is
not permitted by law to make such payments, the Indebtedness shall, at the option of Mortgagee, immediately become due and payable at par. 
 7. Insurance. Borrower (to the extent of Mortgagor’s obligations set forth in this Section 7) and Operating Tenant (to the extent of its obligations under the Operating Lease) shall at all times until the Indebtedness shall
be paid in full, keep the Security insured against loss or damage in an amount sufficient to prevent Mortgagee or Mortgagor from becoming a co-insurer under the terms of the applicable policies, but in any event in an amount not less than 100% of
the then full replacement cost of the Improvements (exclusive of the cost of excavations, foundations and footings below the lowest basement floor) without deduction for physical depreciation (which replacement cost shall be reset once a year at
Mortgagee’s option in accordance with then customary insurance underwriting standards used by reasonable and prudent mortgage lenders for a property of comparable size, mass, construction, type, location, and use) under policies of All Risk
Replacement Cost Insurance (including nuclear explosion, if available), and otherwise upon the following terms and conditions: 
 (a) Mortgagor shall further provide the following insurance in such amounts as shall be reasonably approved by Mortgagee: flood insurance (if the Security is situated in an area that is considered a flood risk area by the federal government
agency thereof); boiler and machinery insurance; earthquake insurance; rent loss insurance in an amount sufficient to cover the total of all rents (including any expenses payable by tenants) accruing from the Security for a one year period; business
interruption and “Extra Expense” insurance (either as endorsements to policies satisfying commercial general liability insurance requirements as herein provided or on a separate policy) written on an “all risks” form on an
“Actual Loss Sustained” basis in an amount equal to at least one (1) year’s net income from the Property before income taxes plus continuing normal operating expenses, including Manager’s Fixed Management Fee and Incentive
Management Fee (as such terms are defined in the Management Agreement), and other fees and reimbursable expenses and other amounts payable to Manager under the 
  

 10 

 Management Agreement, that continue, notwithstanding the business interruption; the insurance shall also
provide “extended period of indemnity” for payment of loss until normal operations resume, but in any event for a period of not less than one hundred eighty (180) days after business operations have resumed; the insurance shall also
include an “ordinary payroll endorsement” for a minimum of ninety (90) days. The insurance shall also include the following: commercial general liability insurance in a minimum amount of One Million Dollars ($1,000,000), and excess or
umbrella liability of at least One Hundred Million Dollars ($100,000,000); comprehensive automobile liability in an amount not less than One Million Dollars ($1,000,000) per occurrence covering liability for bodily injury and property damage arising
out of the ownership, maintenance or use of all private passenger and commercial vehicles, including but not limited to owned, hired and non-owned autos and other equipment required to be licensed for road use; safe depository insurance in an amount
not less than One Hundred Thousand Dollars ($100,000) per occurrence; innkeeper’s legal liability insurance covering the property of hotel guests in an amount not less than One Thousand Dollars ($1,000) per guest and One Hundred Thousand
Dollars ($100,000) per occurrence; employment practices liability with minimum limits of Two Million Dollars ($2,000,000) per occurrence or in such amounts as Manager or Mortgagee shall reasonably require; fiduciary liability (ERISA liability)
insurance with minimum limits of Five Million Dollars ($5,000,000) per occurrence or in such amounts as Manager or Mortgagee shall reasonably require; broad form umbrella/excess liability insurance, which shall cover defense costs on a “first
dollar” basis and shall provided coverage not less than “following form” in respect of all underlying coverages, in an amount not less than One Hundred Million Dollars ($100,000,000) per occurrence, and such other appropriate
insurance as Mortgagee may require from time to time. 
 (b) Such insurance shall contain no exclusion for acts of terrorism
and shall include: (i) coverage for acts of domestic and international terrorism, (ii) coverage whether or not a specific act is certified under the Terrorism Risk Insurance Act of 2002 as an act of terrorism by the U.S. Secretary of the
Treasury, and (iii) coverage amounts, deductibles and limits/sublimits acceptable to Mortgagee in its sole discretion. 
 (c) During any period of restoration, Mortgagor shall provide a policy or policies of builder’s “all risk” insurance in an amount not less than the full insurable value of the Security. 
 (d) Mortgagor will assign and deliver to Mortgagee an original certificate of the policy or policies of all insurance required to be
provided hereunder and provide copies of the policy or policies described therein to Mortgagee unless Mortgagor participates in Manager’s insurance program, in which event Mortgagor shall provide a copy of the description of coverages provided
by Manager to Mortgagor. Each policy of insurance provided by Mortgagor shall (i) be issued by a company or companies approved by Mortgagee and rated not less than a Best’s rating of A-/X, (ii) name Mortgagee as an additional insured
or loss payee, as the case may be, (iii) provide that all proceeds shall be payable to Mortgagee, (iv) provide that it may not be cancelled or modified except upon thirty (30) days prior written notice to Mortgagee, (v) provide
that no act or thing done by Mortgagor shall invalidate the policy as against Mortgagee, 
  

 11 

 (vi) be endorsed with standard noncontributory mortgagee clauses in favor of and in form acceptable
to Mortgagee, and (vii) otherwise be in such form as shall be reasonably acceptable to Mortgagee, so that at all times until the payment in full of the Indebtedness, Mortgagee shall have and hold the said policy and policies as further
collateral for the payment of all Indebtedness. 
 (e) If Mortgagor shall fail to obtain any such policy or policies required
by Mortgagee, or shall fail to deliver an original certificate evidencing the same to Mortgagee, then Mortgagee may obtain such insurance and pay the premium or premiums therefore, in which event Mortgagor shall, on demand of Mortgagee, repay such
premium or premiums to Mortgagee and such repayment shall be secured by the lien of this Mortgage. If Mortgagor fails to maintain the level of insurance required under this Mortgage, then Mortgagor shall indemnify Mortgagee to the extent that a
casualty occurs and insurance proceeds would have been available had such insurance been maintained. 
 (f) Mortgagor shall
promptly provide to Mortgagee copies of any and all notices (including notice of non renewal), claims, and demands which Mortgagor receives from insurers of the Security. 
 (g) Effective from and after any Event of Default, Mortgagor hereby assigns to Mortgagee all rights of Mortgagor in and to any unearned
premiums on any insurance policy required to be furnished by Mortgagor. 
 Anything in this Section 7 to the contrary notwithstanding, as long as
(i) Manager is managing the Real Property and Mortgagor participates in Manager’s insurance programs, (ii) there then exists no default under the Management Agreement or Event of Default hereunder, (iii) Manager is making all
required insurance payments as and when due pursuant to the Management Agreement, and (iv) Mortgagor provides to Mortgagee acceptable evidence that such insurance is, at all times, in full force and effect as regards the Real Property, then
Mortgagee acknowledges and agrees that the insurance requirements set forth in the Management Agreement shall govern and control over any inconsistent provisions set forth in the provisions of this Section 7. 
 8. Insurance/Condemnation Proceeds. Mortgagor hereby assigns to Mortgagee all insurance proceeds or Condemnation (defined in Section 9 below)
awards which Mortgagor may be entitled to receive for loss or damage to, or a taking of, the Security. In the event of loss or damage to, or a taking of, the Security, the proceeds of said insurance or Condemnation award shall be payable to
Mortgagee alone and Mortgagor hereby authorizes and directs any affected insurance company or government agency to make payment of the insurance proceeds or Condemnation awards directly to Mortgagee. In the event that any such insurance proceeds or
Condemnation awards are paid directly to Mortgagor, Mortgagor shall make such proceeds or awards available to Mortgagee within five (5) Business Days of Mortgagor’s receipt thereof. No such loss or damage shall itself reduce the
Indebtedness unless Mortgagee elects to apply the proceeds and such proceeds are actually applied to the Indebtedness as provided in Section 10 below. Prior to an Event of Default, Mortgagor and Mortgagee shall jointly and reasonably agree on
the prompt adjustment and compromise of such loss, to collect and receive such proceeds or awards and to endorse any check in payment thereof. During an Event of Default, or 
  

 12 

 in the event of a loss or damage to, or a taking of, the security in excess of $1,500,000, Mortgagee is authorized to
adjust and compromise such loss without the consent of Mortgagor, to collect and receive such proceeds or awards in the name of Mortgagee and Mortgagor and to endorse Mortgagor’s name upon any check in payment thereof. Furthermore, if an
insurance claim is no greater than $250,000 (a “Minor Claim”), Mortgagee agrees that insurance proceeds may be made available directly to the Mortgagor provided that no Event of Default is then in existence and so long as Mortgagor
promptly commences and diligently pursues to completion any required restoration Work utilizing such insurance proceeds. Subject to the provisions of Sections 9, 10 and 11 hereof, such proceeds or awards shall be applied first toward reimbursement
of all costs and expenses of Mortgagee in collecting said proceeds or awards, then toward payment of the Indebtedness or any portion thereof, whether or not then due and payable, in whatever order Mortgagee may elect, or Mortgagee may, at its
option, make said insurance proceeds or Condemnation awards available to Mortgagor in whole or in part toward restoration of the Security for which such insurance proceeds or Condemnation awards shall have been paid. 
 In the event of foreclosure of this Mortgage or other transfer of title to the Security and extinguishment, in whole or in part, of the Indebtedness, all
right, title, and interest of Mortgagor in and to any insurance policy, or premiums or payments in satisfaction of claims or any other rights thereunder then in force, shall pass to the purchaser or grantee notwithstanding the amount of any bid at
such foreclosure sale. Nothing contained herein shall prevent the accrual of interest as provided in the Note on any portion of the principal balance due under the Note until such time as the insurance proceeds or Condemnation awards are actually
received and applied to reduce the principal balance outstanding. 
 9. Restoration Following Fire and Other Casualty or Condemnation.
In the event of damage to the Security by reason of fire or other hazard or casualty, Mortgagor shall give prompt written notice thereof to Mortgagee, and, so long as Mortgagee provides its consent that any insurance proceeds can be made available
as provided in Section 10 hereof, shall proceed with reasonable diligence to perform repair, replacement and/or rebuilding work (hereinafter referred to as the “Work”) to restore the Security to its condition prior to such damage in
full compliance with all legal requirements; provided, however, in the event that Mortgagee does not provide its consent that any insurance proceeds can be made available, nothing contained herein shall prevent Mortgagor from using other funds to
perform the Work in Mortgagor’s sole discretion. In the event of a taking by power of eminent domain or conveyance in lieu thereof (a “Condemnation”), if restoration is feasible as reasonably determined by Mortgagee, then Mortgagor
shall proceed with reasonable diligence to perform such restoration (also referred to herein as the “Work”). Before commencing the Work, Mortgagor shall comply with the following requirements: 
 (a) With respect to any Work reasonably expected to exceed One Million Five Hundred Thousand Dollars ($1,500,000) in cost (“Major
Work”), Mortgagor shall furnish to Mortgagee complete plans and specifications for the Work, for Mortgagee’s approval, which approval shall not be unreasonably withheld. Said plans and specifications shall bear the signed approval thereof
by an architect reasonably satisfactory to Mortgagee and shall be accompanied by the architect’s signed estimate, bearing the architect’s seal, of the entire cost of completing the Work, and shall provide that upon completion of the Work,
the Security shall be at least equal in value and general utility to its value and general utility prior to the damage or Condemnation. 
  

 13 

 (b) Mortgagor shall furnish to Mortgagee certified copies of all permits and approvals
required by law in connection with the commencement and conduct of the Work. 
 (c) With respect to any Major Work, Mortgagor
shall furnish to Mortgagee, prior to the commencement of the Work, a surety bond for or guaranty of timely completion of and payment for the Work, which bond or guaranty shall be in form reasonably satisfactory to Mortgagee and shall be signed by a
surety or sureties, or guarantor or guarantors, as the case may be, who are reasonably acceptable to Mortgagee, and in an amount not less than the architect’s estimate of the entire cost of completing the Work, less the amount of insurance
proceeds or Condemnation award, if any, then held by Mortgagee and which Mortgagee shall have elected or shall be required to apply toward restoration of the Security as provided in Section 10 hereof. 
 Mortgagor shall not commence any of the Work until Mortgagor shall have complied with the above requirements, and thereafter Mortgagor shall perform the
Work diligently and in good faith in accordance with the plans and specifications referred to in subsection (a) above. 
 If, as
provided in Section 10 hereof, Mortgagee shall have elected or is required to apply any insurance proceeds or Condemnation awards toward repair or restoration of the Security, then so long as the Work is being diligently performed by Mortgagor
in accordance with the provisions of this Mortgage, Mortgagee shall disburse such insurance proceeds or Condemnation awards to Mortgagor from time to time during the course of the Work in accordance with the following provisions: 
 A. The Work shall be in the charge of an experienced construction manager reasonably satisfactory to Mortgagee with the consultation of an
architect or engineer if the scope of the work so requires (provided, the project property manager shall be acceptable so long as it does not constitute Major Work); 
 B. Each request for payment shall not be made more often than at thirty (30) day intervals, on ten (10) Business Days (as
defined in Section 59 hereinbelow) prior notice to Mortgagee, and shall be accompanied by a certificate reasonably satisfactory to Mortgagee, of the architect or engineer, dated not more than ten (10) days prior to the application for
withdrawal of funds, stating: 
  

	 	(i)	that all of the Work for which payment is being requested is in place and has been completed in compliance with the approved plans and specifications and all applicable legal
requirements; 

  

	 	(ii)	that the sum then requested to be withdrawn has been paid by Mortgagor and/or is justly due to contractors, subcontractors, materialmen, engineers, architects or other persons
(whose names and addresses shall be stated) who have rendered or furnished 

  

 14 

 certain services or materials for the Work and giving a brief description of such services and materials
and the principal subdivisions or categories thereof and the respective amounts so paid or due to each of said persons in respect thereof and stating the progress of the Work up to the date of said certificate; 
  

	 	(iii)	that the sum requested to be withdrawn, plus all sums previously withdrawn, does not exceed the cost of the Work insofar as actually accomplished up to the date of such certificate;

  

	 	(iv)	that the remainder of the moneys held by Mortgagee will be sufficient to pay in full for the completion of the Work; and 

  

	 	(v)	that no part of the cost of the services and materials described in the foregoing paragraph (ii) of this Clause B has been or is being made the basis of the withdrawal of any
funds in any previous or then pending application. 

 Mortgagor shall also provide Mortgagee with respect to any
Major Work such other evidence as Mortgagee shall reasonably require that: (1) all of the Work for which payment is being requested is in place and has been completed in substantial compliance with all applicable legal requirements;
(2) that the sum then requested to be withdrawn, plus all sums previously withdrawn, does not exceed the cost of the Work insofar as actually accomplished up to the date of such certificate; (3) that the remainder of the moneys held by
Mortgagee will be sufficient to pay in full for the completion of the Work; (4) that the Work is anticipated to be completed consistent with all requirements, including applicable zoning provisions, pertinent to preserve any and all rights,
including, without limitation, with respect to any non-conforming use; and (5) that, except for the amounts, if any, specified in the foregoing paragraph (ii) of this Clause B to be due for services or materials, there is no outstanding
indebtedness known, after due inquiry, which is then due and payable for work, labor, services or materials in connection with the Work which, if unpaid, might become the basis of a vendor’s, mechanic’s, laborer’s or
materialmen’s statutory or other similar lien upon the Security or any part thereof. 
 C. Mortgagor shall deliver to
Mortgagee reasonably satisfactory evidence that the Security and every part thereof, and all materials and all property described in the certificate furnished pursuant to the foregoing Clause B, are free and clear of all mortgages, liens, charges or
encumbrances, except (a) encumbrances, if any, securing indebtedness due to persons (whose names and addresses and the several amounts due them shall be stated) specified in said certificate furnished pursuant to the foregoing Clause B, which
encumbrances will be discharged upon disbursement of the funds then being requested, and (b) this Mortgage. Mortgagee shall accept as satisfactory evidence under this Clause C a certificate of a title insurance company acceptable to Mortgagee
or an endorsement to Mortgagee’s existing loan title policy insuring the lien of this Mortgage, dated as of the date of the making of the disbursement, confirming the foregoing. 
  

 15 

 D. If the Work affects the foundation, or changes in the footprint of the Improvements,
Mortgagor shall deliver to Mortgagee a survey of the Security dated as of a date within ten (10) days prior to the making of the advance (or revised to a date within ten days prior to the advance) showing no encroachments other than those, if
any, acceptable to Mortgagee. 
 E. There exists no Event of Default, or any state of facts existing which, with the passage
of time or the giving of notice, or both, would constitute an Event of Default. 
 Mortgagee at its option may waive any of the foregoing
requirements. 
 Upon compliance by Mortgagor with the foregoing Clauses A, B, C, D, and E (except for such requirements, if any, as
Mortgagee at its option may have waived), Mortgagor shall, to the extent of the insurance proceeds or Condemnation awards, if any, which Mortgagee shall have elected or shall be required to apply to restoration of the Security, pay or cause to be
paid to the persons named in the certificate furnished pursuant to the foregoing Clause B, the respective amounts stated in said certificate to be due them, less ten percent (10%) retainage (“Retainage”), and Mortgagee shall
pay to Mortgagor the amounts stated in said certificate to have been paid by Mortgagor, less Retainage. 
 If upon completion of the Work
there shall be insurance proceeds or Condemnation awards held by Mortgagee over and above the amounts withdrawn pursuant to the foregoing provisions, plus Retainage, then Mortgagee, at Mortgagee’s option, may either retain such proceeds or
awards and apply the same in reduction of the Indebtedness in whatever order Mortgagee may elect (without payment of any prepayment fee or premium with respect to such insurance proceeds or Condemnation awards), or Mortgagee may pay over such
proceeds or awards to Mortgagor. 
 Upon completion of the Work, in addition to the requirements of the foregoing Clauses A, B, C, D, and E,
Mortgagor shall promptly deliver to Mortgagee: 
  

	 	(1)	With respect to Major Work, a written certificate of the construction manager, architect or engineer that the Work has been fully completed in a good and workmanlike manner in
accordance with the approved plans and specifications and with respect to any other Work, a certificate from Mortgagor or its property manager to the same effect; 

  

	 	(2)	A written report and policy of a title insurance company reasonably acceptable to Mortgagee insuring the Security against mechanics’ and materialmen’s liens;

  

	 	(3)	A certificate by Mortgagor reasonably satisfactory to Mortgagee in form and substance, listing all costs and expenses in connection with the completion of the Work and the amount
paid by Mortgagor with respect to the Work; and 

  

	 	(4)	A temporary certificate of occupancy, if required for occupancy of any of the Improvements affected by the Work and all other applicable 

  

 16 

 certificates, licenses, consents and approvals issued by governmental agencies or authorities with
respect to the Security and by the appropriate Board of Fire Underwriters or other similar bodies acting in and for the locality in which the Security is situated, provided that within thirty (30) days after completion of the Work, Mortgagor
shall obtain and deliver to Mortgagee a permanent certificate of occupancy for the Security, if a certificate of occupancy is required for any of the Improvements affected by the Work. 
 Upon receipt of the foregoing items, Mortgagee shall pay any Retainage held by Mortgagee to or for the benefit of Mortgagor. 
 10. Disposition of Condemnation or Insurance Proceeds. Except in the case of a Minor Claim, Mortgagee, in its absolute discretion, may decide
whether and to what extent, if any, proceeds of insurance or Condemnation awards will be made available to Mortgagor for repair or restoration of the Security, but Mortgagor shall effect such repair or restoration as provided above whether or not
Mortgagee agrees that any available insurance proceeds and Condemnation awards may be made available for restoration. Notwithstanding the foregoing, Mortgagee shall make insurance proceeds or Condemnation awards available to Mortgagor for repair or
restoration provided the following conditions are satisfied: 
 (a) Not more than thirty percent (30%) of the Real
Property is damaged, and, in the case of a Condemnation, the portion remaining after the taking is still economically viable in the reasonable opinion of Mortgagee; 
 (b) There has been no monetary Event of Default in the prior twelve (12) months and there does not then exist an Event of Default or
a state of facts which, with the passage of time or the giving of notice, or both, would constitute an Event of Default hereunder or under any other Loan Document; 
 (c) Mortgagor can demonstrate to Mortgagee’s reasonable satisfaction that Mortgagor has the financial ability to make all scheduled
payments when due under the Loan Documents during reconstruction, whether from the proceeds of rent and/or business interruption insurance, operation of the Improvements, Mortgagor’s own funds or otherwise; 
 (d) Such damage or destruction occurs prior to the last two (2) Loan Years (as such term is defined in the Note); 
 (e) The funds are released under escrow/construction funding arrangements specified in Section 9 hereof; 
 (f) The repairs and restoration will restore the Improvements to substantially the size, design and utility as existed immediately prior
to the casualty or Condemnation; and 
  

 17 

 (g) Mortgagor can demonstrate to Mortgagee’s reasonable satisfaction that Mortgagor
has the financial ability to complete the repair and restoration, whether from the proceeds of insurance, Mortgagor’s own funds, or otherwise. 
 Provided that there then exists no Event of Default, any application of insurance or Condemnation proceeds required by Mortgagee shall be at par without payment of any prepayment fee or premium. If Mortgagee has the right under this
Mortgage and elects not to make the proceeds available for the Work, then such proceeds shall be applied to reduce the Indebtedness in whatever order Mortgagee may elect. Any principal reduction resulting from an early involuntary prepayment as a
result of a Condemnation proceeding or insurance settlement will cause a re-calculation of debt service payments based upon the reduced Loan balance, the remaining amortization schedule and the Interest Rate. 
 11. Fire and Other Casualty; Self-Help. If within one hundred twenty (120) days after the occurrence of any damage to the Security or the
condemnation of any portion of the Security, Mortgagor shall not have submitted to Mortgagee and received Mortgagee’s approval of plans and specifications for any Major Work or shall not have obtained approval of such plans and specifications
from all governmental authorities whose approval is required for such Work, or if Mortgagor shall fail to promptly commence such Work, or if thereafter Mortgagor fails to perform the Work diligently or is delinquent in the payment to mechanics,
materialmen or others of the costs incurred in connection with the Work, or, if Mortgagor shall fail to complete the Work promptly, then, in addition to all other rights herein set forth, Mortgagee may give written notice thereof to Mortgagor and if
such failure is not cured within ten (10) Business Days of such written notice, then Mortgagee, or any lawfully appointed receiver of the Security, may at its respective option, perform or cause the Work to be performed, and may take such other
steps as it deems advisable to perform or cause to be performed the Work, and may enter upon the Security for any of the foregoing purposes, and Mortgagor hereby waives, for Mortgagor and all others holding under Mortgagor, any claim against
Mortgagee or such receiver arising out of anything done by Mortgagee or such receiver pursuant to this Section 11, and Mortgagee may apply insurance and/or Condemnation proceeds (without the need to fulfill the requirements of Section 9
hereof) to reimburse Mortgagee, and/or such receiver for all amounts expended or incurred by them, respectively, in connection with the performance of the Work, and any excess costs shall be paid by Mortgagor to Mortgagee upon demand, with interest
at the Default Rate (hereinafter defined), and such payment shall be secured by the lien of this Mortgage. 
 12. Rent Insurance
Proceeds. If Mortgagor shall promptly commence and diligently perform the Work in accordance with the requirements of Section 11 hereinabove and there shall be no Event of Default under the Loan Documents, then Mortgagee shall each month
pay to Mortgagor out of the rent and/or business interruption insurance proceeds held by Mortgagee a sum equal to that amount, if any, of the rent and/or business interruption insurance proceeds paid by the insurer which is allocable to the Income
Loss (as defined below) for the preceding month and any earlier period of time. Mortgagee , at its option, may waive any of the foregoing conditions to the payment of rent and/or business interruption insurance proceeds. If Mortgagor does not
fulfill the foregoing conditions entitling Mortgagor to monthly disbursements of rent and/or business interruption insurance proceeds, then such rent and/or business interruption insurance proceeds may be applied by Mortgagee, at Mortgagee’s
option, to the payment of the Indebtedness in whatever order Mortgagee may elect. As used in this Section 12, “Income Loss” 
  

 18 

 shall mean (i) loss of base rent, minimum rent, percentage rent, additional rent and all other sums that tenants may
owe to Mortgagor as landlord under space leases affecting the Real Property, as applicable (ii) the loss of Gross Revenues (as defined in the Management Agreement, but excluding the rent related items previously listed), and (iii) all
other sums owed to Mortgagor in connection with the Improvements or Land. 
 13. Repair; Alterations; Waste; Environmental. Mortgagor
shall keep all of the Security in good and substantial repair subject to normal wear and tear, and expressly agrees that it will neither permit nor commit any waste upon the Security, nor do any other act or suffer or permit any act to be done,
whereby the Security will become less valuable or the lien hereof may be impaired and shall comply in all material respects with all zoning laws (including, without limitation, preservation of any rights as to any non-conforming use), building
codes, subdivision laws, environmental laws, and other laws, ordinances, rules and regulations made or promulgated by any government or municipality, or by any agency thereof or by any other lawful authority, which are now or may hereafter become
applicable to the Security; provided that nothing herein shall preclude Mortgagor from contesting any matter in good faith through appropriate legal means diligently pursued so long as Mortgagor shall repair or restore any building now or hereafter
under construction on the Security and complete the same within a reasonable period of time. Mortgagor agrees not to initiate or acquiesce in any zoning variance or reclassification, without Mortgagee’s prior written consent, which consent
shall not be unreasonably withheld, conditioned or delayed so long as it does not impair the value of the Security. Mortgagor shall not construct any additional building or buildings or make any other improvements on the Land, nor alter, remove or
demolish any building or other Improvements on the Land, without the prior written consent of Mortgagee. 
 Mortgagor shall comply with the
Americans with Disabilities Act of 1990, as amended, including, without limitation, any regulations, rulings and orders promulgated pursuant thereto in connection with any Work, any repair to the Security or any tenant improvements to be performed
by Mortgagor. 
 If Mortgagor fails to observe any of the provisions of this Section, or suffers or permits any Event of Default to exist
under this Section, Mortgagee or a lawfully appointed receiver of the Security at its option, from time to time, may perform, or cause to be performed, any and all repairs and such other work as it deems necessary to bring the Security into
compliance with the provisions of this Section and may enter upon the Security for any of the foregoing purposes, and Mortgagor hereby waives any claim against Mortgagee and/or such receiver, arising out of such entry or out of any other act carried
out pursuant to this Section. Mortgagor shall upon notice repay to Mortgagee and such receiver, with interest at the Default Rate, all amounts expended or incurred by them, respectively, in connection with any action taken pursuant to this Section,
and such repayment shall be secured by the lien of this Mortgage. 
 Mortgagor represents and warrants that there are currently at least the
number of paved and designated parking spaces (including adequate, properly-sized, delineated and assigned handicap parking spaces) available on of the Real Property as are shown on the survey delivered to Mortgagee. Mortgagor covenants and agrees
that throughout the Term (as defined in Section 1 of the Note) it shall continue to make available, sufficient parking spaces on the Real Property to comply with all leases, all applicable government regulations, the Easement Agreements and, to
the extent applicable, the License Agreement (as hereinafter defined). 
  

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 14. Environmental Indemnification. Reference is made to that certain Environmental Indemnification
Agreement of even date herewith executed by Mortgagor and Highland Hospitality, L.P., a Delaware limited partnership (collectively, the “Indemnitors”) (the “Environmental Indemnification Agreement”), and by this reference is
incorporated herein in its entirety and made a part hereof. This Mortgage also secures the performance of all obligations due to Mortgagee by Indemnitors under the Environmental Indemnification Agreement. A release of this Mortgage shall not be
construed as or be deemed to constitute a termination of the Environmental Indemnification Agreement, which instead shall continue in existence and terminate by its own terms. 
 15. Independence of Security. Mortgagor shall not by act or omission permit any building or other improvement on any premises not subject to the
lien of this Mortgage to rely on the Security or any part thereof or any interest therein to fulfill any municipal or governmental requirement, and Mortgagor hereby assigns to Mortgagee any and all rights to give consent for all or any portion of
the Security or any interest therein to be so used. Similarly, no part of the Security shall rely on any premises not subject to the lien of this Mortgage or any interest therein to fulfill any governmental or municipal requirement. Mortgagor shall
not by act or omission impair the integrity of the Real Property as one or more complete subdivided parcels of land bearing the same zoning classification, and as one or more complete tax parcels separate and apart from all other premises. Any act
or omission by Mortgagor, which would result in a violation of any of the provisions of this Section, shall be void. 
 16. No Other
Liens. Mortgagor shall not consent, agree to, or permit any mortgage lien, or security interest upon or affecting the Security or any part thereof except (a) as granted or permitted in this Mortgage and any other lien or security interest
granted to Mortgagee and (b) under any Personalty Leases (to the extent they are deemed to constitute financing agreements), subject to Mortgagor’s right to contest involuntary liens as hereinafter provided. 
 Mortgagor will promptly pay and discharge any and all amounts which are now or hereafter become liens against the Security whether or not superior to the
lien hereof or to any assignment of rents and leases given to Mortgagee; provided, however, in the case of an involuntary lien Mortgagor may in good faith contest, at Mortgagor’s sole cost and expense, by proper legal proceedings, the validity
or amount of any involuntary lien, on the condition that if such involuntary lien exceeds $100,000, Mortgagor first shall deposit with Mortgagee, as security for the payment of such contested item, an amount equal to the contested item plus all
penalties and interest which would be payable if Mortgagor is ultimately required to pay such contested item, and on the further condition that no amount so contested may remain unpaid for such length of time as shall permit the Security, or the
lien thereon created by the item being contested, to be sold for the nonpayment thereof, or as shall permit an action, either of foreclosure or otherwise, to be commenced by the holder of any such lien. Mortgagor will not claim any credit on, or
make any deduction from the Indebtedness by reason of the payment of, any lien. 
  

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 The covenants of this Section shall survive any foreclosure and sale of the Security and any conveyance
thereof by deed in lieu of foreclosure with respect to any such liens in existence as of the date of transfer of title. 
 17. Management.

 (a) During the term of the Loan, Mortgagor shall at all times retain a professional management company satisfactory to
Mortgagee to operate and manage the Security pursuant to a management agreement reasonably satisfactory to Mortgagee. If the Management Agreement is terminated for any reason during the term of the Loan, Mortgagee will have the right to declare the
entire indebtedness immediately due and payable unless Mortgagor enters into a replacement management agreement (the “Replacement Agreement”) on terms and conditions reasonably acceptable to Mortgagee with a substitute manager reasonably
acceptable to Mortgagee within thirty (30) days following termination of the Management Agreement. As a condition to Mortgagee’s approval of any replacement manager, the manager shall consent to an assignment of management agreement
substantially similar in form and substance as to the Agreement Regarding Hotel Management Agreement (the “Assignment of Management Agreement”) dated of even date herewith by and among Mortgagor, Manager and Mortgagee. Pursuant to the
Assignment of Management Agreement, the rights of Manager, as manager, under the Management Agreement are expressly made subordinate to Mortgagee’s rights under this Mortgage and the other Loan Documents, all as more particularly set forth in
the Assignment of Management Agreement. 
 (b) Mortgagor shall furnish to Mortgagee, within five (5) Business Days after
receipt thereof, or after the mailing or service thereof by Mortgagor, as the case may be, a copy of each notice of default Mortgagor gives to, or receives from any person, based upon the occurrence, or alleged occurrence, of any default or defaults
in the performance of any covenant, condition, promise or obligation under the Management Agreement. 
 18. [Omitted] 
 19. Sidewalks, Municipal Charges. Mortgagor will promptly pay and discharge any and all license fees and similar charges, with penalties and
interest thereon, which may be imposed by the municipality in which the Security is situated, for the use of vaults, chutes, areas and other space beyond the lot line and under or abutting the public sidewalks in front of or adjoining the Security,
and Mortgagor will promptly cure any violation of law and comply with any order of such municipality respecting the repair, replacement or condition of the sidewalk or curb in front of or adjoining the Security, and in default thereof Mortgagee may,
upon five (5) Business Days’ notice to Mortgagor, pay any and all such license fees or similar charges, with penalties and interest thereon, and the charges of the municipality for such repair or replacement, and any amount so paid or
advanced by Mortgagee and all costs and expenses incurred in connection therewith (including, without limitation, Attorneys’ Fees (defined in Section 42 hereinbelow)), with interest thereon at the Default Rate, shall be a demand obligation
of Mortgagor to Mortgagee, and, to the extent permitted by law, shall be added to the Indebtedness and shall be secured by the lien of this Mortgage. 
  

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 20. Assignment of Rents and Leases. Mortgagor hereby presently, irrevocably, absolutely, and
unconditionally grants, transfers, assigns and sets over unto Mortgagee all of its right, title and interest in and to all present and future leases, license agreements, concession agreements, lease termination agreements and other occupancy
agreements of any nature, oral or written, of the Land and of space in the Improvements together with all modifications, supplements, extensions, renewals and replacements thereof now existing or hereafter made, and also together with the rights to
sue for, collect and receive all present and future rents, prepaid rents, additional rents, royalties, security deposits, parking revenues, receipts, refunds, rebates, damages payable upon default by tenant, or other sums in any of said leases
provided to the lessor thereunder, profits, income (including revenues from the letting of hotel rooms), license fees, concession fees, lease termination fees, lease modification and extension fees and issues of the Security, including all proceeds
thereof (collectively, the “Rents”), to be applied by Mortgagee in payment of the Indebtedness, and also together with any and all guaranties of the obligations of the tenants thereunder and the rights of Mortgagor to receive, hold and
apply all bonds and security in all of said leases provided to be furnished to the lessor thereunder, and also together with the rights of Mortgagor to enforce any and all of the agreements, terms, covenants and conditions in all of said leases
provided and to give notices thereunder. Mortgagee grants to Mortgagor a revocable license to collect the Rents as they become due and to enforce such leases and agreements, so long as no Event of Default exists hereunder. Mortgagee may receive and
collect the Rents personally or through a receiver upon the occurrence and during the continuance of an Event of Default so long as any such Event of Default shall exist and during the pendency of any foreclosure proceeding and during any redemption
period. Mortgagor agrees to consent to a receiver if this is believed reasonably necessary or desirable by Mortgagee to enforce its rights under this Section. 
 Mortgagor shall not otherwise assign or pledge, or contract, expressly or by implication, to assign or pledge, any lease of the Land or space in the Improvements or the rights to sue for, collect and receive any
Rents, or the rights to receive, hold and apply any bonds and security in any of said leases provided to be furnished to the lessor thereunder, or the rights to enforce any of the agreements, terms, covenants or conditions of said leases or to give
notices thereunder, unless in each instance the written consent thereto of Mortgagee be first obtained. 
 Nothing in this Mortgage shall be
construed to obligate Mortgagee, expressly or by implication, to perform any of the covenants of Mortgagor as lessor under any of the leases hereinabove assigned or to pay any sum of money or damages therein provided to be paid by the lessor.

 If Mortgagee shall from time to time suffer or permit Mortgagor to sue for, collect or receive any Rents, or to receive, hold or apply any
bonds or security under said leases, or to enforce any of the agreements, terms, covenants or conditions thereunder or to give notices thereunder, neither such sufferance nor permission shall constitute a waiver or relinquishment by Mortgagee of the
rights hereunder and hereby assigned to Mortgagee with respect to any subsequent Rents, or with respect to any subsequent receipt, holding or application of bonds or security or any subsequent enforcement of such agreements, terms, covenants or
conditions or any subsequent notices. 
  

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 21. Future Leases. Mortgagor will not hereafter make any lease to any tenant, or materially amend,
modify, terminate, renew or extend any lease (other than a renewal to which a tenant is entitled under the terms of an existing lease or contained in a lease that is subsequently approved by Mortgagee), affecting more than 2,500 rentable square feet
within the Improvements (a “Material Lease”), including without limitation the Operating Lease (other than minor non-material amendments or modifications which do not materially and adversely impact Mortgagee’s rights in the
Security), unless Mortgagee shall first consent in writing to the form and substance of said Material Lease or amendment, modification, renewal or extension thereof, which consent shall not be unreasonably withheld, conditioned or delayed. For
purposes of this Section, reductions in rent, shortening of the term of a lease, increases in Mortgagor’s obligations under a lease and any release of a significant tenant obligation under a lease shall be deemed “material.”

 Other than the leases in effect on the date hereof (“Existing Leases”) as disclosed to and approved by Mortgagee, all
leases must be subordinate to the lien of this Mortgage unless Mortgagee otherwise specifies. Other than the Existing Leases, each lease must contain a provision that, upon notice to tenant by Mortgagee, the lease shall become superior, in whole or
in part, to the lien of this Mortgage. Without limiting the foregoing, Mortgagee hereby reserves the right to subordinate this Mortgage to any lease subsequently made by recording with the Suffolk County Registry of Deeds, Commonwealth of
Massachusetts, in which this Mortgage is recorded, a declaration to that effect, executed by Mortgagee, which declaration once so recorded shall be binding upon the tenant under such lease and such tenant’s successors and assigns. 

Mortgagor will furnish to Mortgagee a true and complete copy of each Material Lease, or any amendment, modification, extension, or renewal of a
Material Lease hereafter made by Mortgagor with respect to space in the Security, within ten (10) Business Days after delivery of each such lease, amendment, modification, extension, or renewal by the parties thereto. Mortgagor shall also
furnish to Mortgagee an original mortgagee subordination and attornment agreement executed by each tenant under a Material Lease and an original estoppel, addressed to Mortgagee, from each tenant under a Material Lease in form and substance
reasonably satisfactory to Mortgagee. 
 Mortgagor will from time to time upon demand of Mortgagee, confirm in writing the assignment to
Mortgagee of any or all leases of the Land and space in the Improvements, and such written confirmation shall be in such form as Mortgagee shall reasonably require and as shall be necessary to make the same recordable. 
 22. [Omitted] 
 23. Operating
Agreement/Easement Agreements. Mortgagor hereby represents and warrants to Mortgagee that there exist no agreements affecting the development or operation of the Security, other than the Leases, the Management Agreement, that certain Hilton
Boston Back Bay Franchise License Agreement dated October 24, 2005 (the “License Agreement”), between Hilton Inns, Inc., a Delaware corporation, as Licensor, and Operating Tenant, as Licensee, service contracts and Personalty Leases
entered into in the ordinary course of the operation of the Security and the covenants and restrictions included in the Permitted Encumbrances (collectively, the “Operating Agreements”). Mortgagor shall, at Mortgagor’s cost and
expense, 
  

 23 

 promptly and fully perform each and every covenant, condition, promise and obligation of the owner of the Security under
the Operating Agreements and shall make all payments therein and thereby required to be made by the owner of the Security. Mortgagor shall not cancel, transfer, amend in any material respect, or assign the Operating Agreements without the prior
written consent of Mortgagee which consent shall not be unreasonably withheld, conditioned or delayed, and Mortgagor shall not consent to the cancellation, transfer, amendment in any material respect, or assignment of the Operating Agreements by any
other party thereto, without the prior written consent of Mortgagee which consent shall not be unreasonably withheld, conditioned or delayed. 
 24. Events of Default. Each of the following shall constitute an “Event of Default” hereunder and shall entitle the Mortgagee to exercise its remedies hereunder and under any of the other Loan Documents or as otherwise
provided by law: 
 (a) Any payment of any installment of principal or interest under the Note is not received by Mortgagee by
5:00 p.m. (Hartford, Connecticut time) within five (5) Business Days following the date when such payment was due or any escrow payment under the Tax Escrow Agreement or Section 5 hereof is not received by escrow holder or Mortgagee, as
applicable, by 5:00 p.m. (Hartford, Connecticut time) within five (5) Business Days following the monthly tax deposit date; 
 (b) Failure of Mortgagor in the observance or performance of any other monetary or non-monetary covenant, promise or agreement provided in this Mortgage or in any other Loan Document (a “failure to perform”), for thirty
(30) days after the giving of notice by Mortgagee to Mortgagor specifying the nature of the failure to perform; provided, however, that if the nature of such failure to perform is such that the same is not susceptible of cure within such thirty
(30) day period, such failure to perform shall not be deemed an Event of Default so long Mortgagor shall within such period commence to cure such failure to perform and thereafter diligently prosecute the cure to completion, but in no event
more than one hundred twenty (120) days in the aggregate from the date of the original notice of failure to perform. Notwithstanding anything contained herein to the contrary, the notice and cure period provided under this clause (b) shall
not be applicable to and shall not be in addition to any specific notice and cure or performance period provided under any other provision of this Mortgage, and the specific notice and cure or performance period provided for in such provision shall
control, and a failure by Mortgagor to cure a default under such provision within the applicable cure period shall be an Event of Default under this Mortgage; 
 (c) Any representation, warranty, or statement of Mortgagor contained herein or in any of the Loan Documents, including without limitation
the Environmental Indemnification Agreement, or in any writing delivered to Mortgagee on or before the execution and delivery of the Loan Documents, proves to be untrue in any material respect as of the date when made; 
 (d) Mortgagor or the managing member of Mortgagor shall (i) have an order for relief entered in a proceeding under Title 11, United
States Code, whether such order shall result from a voluntary or involuntary petition, (ii) seek or consent to the appointment of a receiver or trustee for itself or for any of the Security, (iii) file a petition 
  

 24 

 or initiate a proceeding under the bankruptcy, insolvency, receivership, or similar laws of the United
States, any state or any other jurisdiction, (iv) make a general assignment for the benefit of creditors, or (v) be unable to pay its debts as they mature; 
 (e) A court shall enter an order, judgment or decree appointing, without the consent of Mortgagor, a receiver or trustee for it or for any
of the Security or approving a petition filed against Mortgagor which seeks relief under the bankruptcy or other similar laws of the United States, any state or any other jurisdiction, and such order, judgment or decree shall remain in force,
undischarged or unstayed, sixty (60) days after it is entered; 
 (f) Without the prior written consent of Mortgagee,
except with respect to Permitted Transfers (as hereinafter defined), (i) the Security or any portion thereof or interest therein shall be mortgaged, encumbered, sold, assigned or otherwise transferred by Mortgagor or by operation of law
(excluding Condemnation and worn-out or obsolete Personal Property that is replaced with Personal Property substantially similar thereto in quality and quantity), (ii) if Mortgagor is a partnership, joint venture, limited liability company,
syndicate or other group, all or any portion of the interest of any partner or member thereof is pledged or otherwise encumbered or is sold or otherwise transferred, or (iii) any interest in any entity that owns or Controls Mortgagor is pledged
or otherwise encumbered or is sold or otherwise transferred. As used herein, “Controls” shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether
through the ownership of voting securities, by contract, or otherwise. The term “Person” means with respect to this Mortgage any natural person, general partnership, limited partnership, limited liability company, trust, estate,
association, corporation, custodian, nominee or any other individual or entity in its own or any representative capacity. As used herein “Permitted Transfers” means the pledge or transfer of (1) any limited partnership interests or
units in Highland Hospitality, L.P. and (2) the membership interests in Mortgagor, provided, that after such any such pledge or transfer, Highland Hospitality, L.P., Highland Hospitality Corporation or their affiliates continue to own not less
than fifty-one percent (51%) of (A) the partnership interests or units in Highland Hospitality, L.P. and (B) the membership interests in Mortgagor, as applicable. 
 25. Remedies Upon Default. Immediately upon the occurrence of any Event of Default, Mortgagee shall have the option, in addition to and not in
lieu of or substitution for all other rights and remedies provided in this Mortgage or any other Loan Document or provided by law or in equity, and is hereby authorized and empowered by Mortgagor, to do any or all of the following: 
 (a) Mortgagee may, at its option without waiving any Event of Default, pay, perform or observe any or all of Mortgagor’s obligations
under the Loan Documents, and all payments made or costs or expenses incurred by Mortgagee in connection therewith shall be secured hereby and shall be, without demand, immediately repaid by Mortgagor to Mortgagee with interest thereon at the
Default Rate. Mortgagee shall be the sole judge of the necessity for any such actions and of the amounts to be paid. Mortgagee is hereby empowered to enter and to authorize others to enter upon the Security or any part thereof for the purpose of
performing or observing any such defaulted term, covenant or condition without thereby becoming liable to Mortgagor or any person in possession holding under Mortgagor. 
  

 25 

 (b) This Mortgage is upon the STATUTORY CONDITION and upon the further condition that all
covenants and agreements of, and conditions imposed upon, Mortgagor contained herein and in the other Loan Documents shall be kept and fully performed, for any breach of which, which constitutes an Event of Default under this Mortgage or the other
Loan Documents, Mortgagee shall have the STATUTORY POWER OF SALE, and upon the further condition that upon any Event of Default as aforesaid, Mortgagee shall have as to the Personal Property, all the rights and remedies of a secured party under the
Uniform Commercial Code including, but not limited to, the option to proceed as to both the Land and Improvements under the law relating to foreclosure of real estate mortgages, and such further remedies as from time to time may hereafter be
provided in the Commonwealth of Massachusetts for a secured party, and upon the further condition that all rights of Mortgagee under this Mortgage and the other Loan Documents as to the Personal Property, Land and Improvements may be exercised
together or separately and, at Mortgagee’s discretion, in connection with the exercise by Mortgagee of its rights under any one or more of this Mortgage and the other Loan Documents. 
 In exercising its power of sale under this instrument, Mortgagee may sell the Personal Property or any part thereof, either separately
from or together with the Land and Improvements and the balance of the Security, or any part thereof, either as one parcel or unit or in such separate parcels or units, all as Mortgagee may in its discretion elect; and may so sell the Security or
the Land and Improvements, as one parcel or unit or in such separate parcels or units, all as Mortgagee may in its discretion elect; and may so sell the Land and Improvements or any part thereof either separately from or together with the whole or
any part of other collateral which may constitute security for any obligation secured by the Security, also as Mortgagee may in its discretion elect. 
 In the event Mortgagee, in the exercise of the power of sale under this instrument elects to sell in parts or parcels, said sales may be held from time to time, and need not occur on the same day, and said power of
sale shall not be fully executed or exhausted until all of the Security or other collateral securing the Loan Documents not previously sold shall have been sold. 
 (c) Cause to be brought down to date a title examination and tax histories of the Security, procure title insurance or title reports or,
if necessary, procure new abstracts and tax histories. 
 (d) Procure an updated or entirely new environmental audit of the
Security including building, soil, ground water and subsurface investigations; have the Improvements inspected by an engineer or other qualified inspector and procure a building inspection report; procure an MAI or other appraisal of the Security or
any portion thereof; enter upon the Security at any time and from time to time to accomplish the foregoing and to show the Security to potential purchasers and potential bidders at foreclosure sale; make available to potential purchasers and
potential bidders all information obtained pursuant to the foregoing and any other information in the possession of Mortgagee regarding the Security. 
  

 26 

 (e) Subject to the terms and conditions of that certain Agreement Regarding Hotel
Management Agreement by and among Borrower, Operating Tenant, Manager and Mortgagor dated as of                     , 2005, either by itself
or by its agent to be appointed by it for that purpose or by a receiver appointed by a court of competent jurisdiction, as a matter of strict right, without notice and without regard to the adequacy or value of any security for the Indebtedness or
the solvency of any party bound for its payment, to take possession of the Security and, whether or not Mortgagee has taken possession of the Security, to operate the Security, Mortgagor hereby waiving any right Mortgagor might have to object to or
oppose any such possession, and, to collect and apply the Rents and other Gross Revenue, including those past due and unpaid, in such order and manner as Mortgagee or such receiver in its sole discretion shall consider advisable, to or upon the
following, in such order and amounts as Mortgagee shall elect: the expenses of receivership, if any; the proper costs of upkeep, maintenance, repair and/or operation of the Security; the repayment of any sums theretofore or thereafter advanced
pursuant to the terms of this Mortgage; the interest then due or next to become due upon the Indebtedness; the taxes and assessments upon the Security then due or next to become due; and/or the unpaid principal of such Indebtedness. The collection
and/or receipt of Rents and other Gross Revenue from the Security by Mortgagee, its agent or receiver, after declaration of default and election to cause the Security to be sold under and pursuant to the terms of this Mortgage, shall not affect or
impair such default or declaration of default or election to cause the Security to be sold or any sale proceedings predicated thereon, but such proceedings may be conducted and sale effected notwithstanding the receipt and/or collection of any such
Rents and other Gross Revenue. Any such Rents and other Gross Revenue in the possession of Mortgagee, its agent or receiver, at the time of sale and not theretofore applied as herein provided, shall be applied in the same manner and for the same
purposes as the proceeds of the sale. Except for damage caused by Mortgagee’s gross negligence or willful misconduct, Mortgagor hereby waives any claim Mortgagor may have against Mortgagee for mismanagement of the Security during
Mortgagee’s operation of the Security under this subparagraph or as mortgagee in actual possession under applicable statutes. 
 (f) Apply against the Indebtedness in such order as Mortgagee shall determine any funds held for the benefit of Mortgagor in escrow by Mortgagee or by any third-party escrow agent under any of the Loan Documents, including, without
limitation, any funds held under the escrow established pursuant to Section 5 of this Mortgage. 
 (g) Upon any
foreclosure sale, Mortgagee may bid for and purchase the Security and shall be entitled to apply all or any part of the Indebtedness as a credit to the purchase price. In the event of any sale of the Security by foreclosure, through judicial
proceedings, by advertisement, by power of sale, or otherwise, the proceeds of any such sale which are applied in accordance with this Mortgage shall be applied in the following order to: (i) all expenses incurred for the collection of the
Indebtedness and the foreclosure of this Mortgage, including reasonable compensation to Trustee and Mortgagee, their agents and attorneys; (ii) all sums expended or incurred by Mortgagee 
  

 27 

 and/or Trustee directly or indirectly in carrying out the terms, covenants and agreements of the Note or
notes evidencing the Indebtedness, of this Mortgage and any other Loan Documents, together with interest thereon as therein provided; (iii) all late payment charges, prepayment fees, advances and other amounts due under any of the Loan
Documents; (iv) all accrued and unpaid interest upon the Indebtedness; (v) the unpaid principal amount of the Indebtedness; and (vi) the surplus, if any, to the person or persons legally entitled thereto. 
 Mortgagor will pay to Mortgagee upon demand all reasonable costs and expenses incurred by Mortgagee in the exercise of Mortgagee’s rights and
remedies under this Mortgage and the other Loan Documents for collection of the Indebtedness, foreclosure on the Security or otherwise, including without limitation title insurance fees and premiums, environmental consultant’s charges and
appraisal, engineering and inspection fees under subparagraph 25(d), receiver’s fees, costs and agent’s compensation under subparagraph 25(f), auctioneer’s fees and foreclosure sale advertising costs, any deed excise tax stamps
required to be affixed to the foreclosure deed and court filing fees, together with attorney’s fees and costs which shall include without limitation all attorney’s fees and costs incurred in connection with (A) the exercise of
Mortgagee’s rights and remedies as aforesaid, (B) any negotiations, other services and advice rendered regarding restructuring of the Indebtedness prior to any foreclosure sale, whether or not any such restructuring is actually
accomplished, and (C) any petition filed by or against Mortgagor under Title 11, United States Code. Any such amounts incurred by Mortgagee shall be secured hereby and shall be immediately repaid by Mortgagor to Mortgagee upon demand with
interest thereon at the Default Rate, all of such amounts together with such interest being collectively referred to as “foreclosure costs.” 
 In the event of any acceleration of the Indebtedness pursuant to the first paragraph of this Section, Mortgagor shall pay to Mortgagee together with the principal indebtedness and interest thereon an amount equal to
the Prepayment Fee or Default Prepayment Fee, as applicable, provided for in the Note and such fee shall be included as part of the Indebtedness. 
 Mortgagee shall not be under any obligation to make any of the payments or do any of the acts referred to in this Section and any of the actions referred to in this Section may be taken by Mortgagee irrespective of whether any notice of
default or election to sell has been given hereunder and without regard to the adequacy of the security for the indebtedness evidenced by the Note. 
 Failure to exercise any option to accelerate in the event of a default or other circumstance permitting the exercise of such option, shall not constitute a waiver of the default or of the right to exercise such option at a later time, or a
waiver of the right to exercise such option in the event of any other default or circumstance specified above. 
 26. Receiver. If an
Event of Default shall have occurred, Mortgagee, to the maximum extent permitted by law, shall be entitled, as a matter of right, to the appointment of a receiver of the Security, without notice or demand, and without regard to the adequacy of the
security for the Indebtedness or the solvency of Mortgagor. Mortgagor hereby irrevocably consents to such appointment and waives notice of any application therefor. Any such receiver or receivers shall have all the usual powers and duties of
receivers in like or similar cases and all the powers and duties of Mortgagee in case of entry and shall continue as such and exercise all such powers until 
  

 28 

 the date of confirmation of sale of the Security, unless such receivership is sooner terminated. If an Event of Default
shall have occurred, Mortgagee shall also be entitled to become a mortgagee in possession with all the powers, rights and remedies that a duly appointed receiver would have. 
 27. [Omitted] 
 28. Prepayment
Fees. Immediately upon the first insertion of any advertisement or notice of any such sale, there shall become due and owing by Mortgagor all expenses incident to such advertisement or notice, all court costs and all expenses incident to any
foreclosure proceedings brought under this Mortgage or otherwise in connection with such sale, plus interest thereon at the Default Rate, and no party shall be required to receive only the aggregate Indebtedness then secured hereby unless it is
accompanied by a tender of payment of such expenses, costs, and interest. In partial consideration for Mortgagee agreeing to make the Loan to Mortgagor, Mortgagor agrees that upon the occurrence of an Event of Default and acceleration of the
Indebtedness secured hereby, any tender of payment by or on behalf of Mortgagor of the amount necessary to satisfy all of such Indebtedness made at any time before or at any foreclosure sale shall constitute an evasion of the payment terms of the
Note and hereunder, and shall be deemed to be a voluntary prepayment, and such payment, to the extent permitted by law, shall be accompanied by the Prepayment Fee, or the Default Prepayment Fee (as appropriate), as provided in the Note, and
Mortgagee shall not be obligated to accept any such tender of payment unless such tender of payment includes such Prepayment Fee, or such Default Prepayment Fee (as applicable). 
 29. Acceleration Interest. In addition to any late payment charge which may be due under the Note, Mortgagor shall pay interest on all sums due
hereunder at a rate (the “Default Rate”) equal to the lesser of (i) the Interest Rate plus three percent (3%) per annum, or (ii) the maximum rate permitted by law, from and after the first to occur of the following
events: (A) Mortgagee sends notice to Mortgagor that it elects to cause the acceleration of the Indebtedness; (B) a petition under Title 11, United States Code, shall be filed by or against Mortgagor or if Mortgagor shall seek or consent
to the appointment of a receiver or trustee for itself or for any of the Security, file a petition seeking relief under the bankruptcy or other similar laws of the United States, any state or any other jurisdiction, make a general assignment for the
benefit of creditors, or be unable to pay its debts as they become due; (C) a court shall enter an order, judgment or decree appointing, with or without the consent of Mortgagor, a receiver or trustee for it or for any of the Security or
approving a petition filed against Mortgagor which seeks relief under the bankruptcy or other similar laws of the United States, any state or any other jurisdiction, and any such order, judgment or decree shall remain in force, undischarged or
unstayed, sixty (60) days after it is entered; or (D) if all sums due hereunder are not paid on the Maturity Date (as defined in the Note). 
 30. Late Charge. In the event any sums of principal, interest and applicable escrow amounts due under the Note, this Mortgage or any other Loan Document, are not paid by Mortgagor when due, without regard to
any cure or grace period, Mortgagor shall pay to Mortgagee for the month during which such payment is not made when due, a one-time late charge equal to the lesser of three percent (3%) of such installment or the maximum amount allowed by law,
as the reasonable estimate by Mortgagee and Mortgagor of a fair average compensation for the loss that may be sustained by Mortgagee due to the failure of Mortgagor to 
  

 29 

 make timely payments, and such amount shall be secured hereby, provided that such late charge shall not apply to the
payment of the entire outstanding Indebtedness due on the Maturity Date. Such late charge shall be paid without prejudice to the right of Mortgagee to collect any other amounts provided to be paid or to declare an Event of Default under this
Mortgage or any other Loan Document. 
 31. Waiver of Statutory Rights. 
 (a) Mortgagor agrees, to the fullest extent permitted by law, that in an Event of Default on the part of Mortgagor hereunder, neither
Mortgagor nor anyone claiming through or under Mortgagor will set up, claim, or seek to take advantage of any moratorium, reinstatement, forbearance, appraisement, valuation, stay, extension or exemption laws now or hereafter in force, in order to
prevent or hinder the enforcement or foreclosure of this Mortgage, or the sale of the Security, or the delivery of possession thereof immediately after such sale to the purchaser at such sale, and Mortgagor, for itself and all who may at any time
claim through or under it, hereby waives to the fullest extent that it may lawfully do so, the benefit of all such laws, and any and all rights to have the assets subject to the security interest of this Mortgage marshaled upon any foreclosure or
sale under the power granted herein and agrees that Mortgagee or any court having jurisdiction to foreclose such lien may sell the Security in part or in its entirety. 
 (b) TO THE EXTENT NOT PROHIBITED BY LAW, MORTGAGOR AND MORTGAGEE HEREBY KNOWINGLY, VOLUNTARILY, AND INTENTIONALLY WAIVE ANY RIGHTS THEY
MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH, THIS MORTGAGE OR ANY OTHER LOAN DOCUMENTS, OR ANY COURSE OF CONDUCT, COURSE OF DEALING, STATEMENTS (ORAL OR WRITTEN) OR ACTIONS
OF MORTGAGOR OR MORTGAGEE. THIS PROVISION IS A MATERIAL INDUCEMENT FOR MORTGAGEE MAKING THE LOAN SECURED HEREBY. 
 32. Security
Interest. This Mortgage shall, as to any equipment and other Personal Property covered hereby, be deemed to constitute a security agreement, and Mortgagor, as debtor, hereby grants to Mortgagee, as secured party, a security interest therein
pursuant to the Uniform Commercial Code of the Commonwealth of Massachusetts. Mortgagor agrees, upon request of Mortgagee, to furnish an inventory of Personal Property (including the FF&E) owned by Mortgagor and subject to this Mortgage and,
upon request by Mortgagee, to execute any supplements to this Mortgage, any separate security agreement, any financing statements and any continuation statements in order to include specifically said inventory of Personal Property or otherwise to
perfect the security interest granted hereby. Upon any Event of Default, Mortgagee shall have all of the rights and remedies provided in said Code or otherwise provided by law or by this Mortgage, including but not limited to the right to require
Mortgagor to assemble such Personal Property and make it available to Mortgagee at a place to be designated by Mortgagee which is reasonably convenient to both parties, the right to take possession of the Personal Property with or without demand and
with or without process of law and the right to sell and dispose of the same and distribute the proceeds according to law. The parties hereto agree that any requirement of reasonable notice shall be met if Mortgagee sends such notice to Mortgagor

  

 30 

 at least ten (10) days prior to the date of sale, disposition or other event giving rise to the required notice, and
that the proceeds of any disposition of any such Personal Property may be applied by Mortgagee first to the reasonable expenses in connection therewith, including reasonable Attorneys’ Fees and legal expenses incurred, and then to payment of
the Indebtedness. With respect to the Personal Property that has become so attached to the Real Property that an interest therein arises under the real property law of the Commonwealth of Massachusetts, this Mortgage shall also constitute a
financing statement and a fixture filing under the Massachusetts Uniform Commercial Code. Mortgagor is the record owner of the Real Property and the addresses of Mortgagor and Mortgagee are as set forth on the first page of this Mortgage. Mortgagor
represents and warrants that it is a “registered organization” organized under the laws of the State of Delaware. Mortgagor covenants that it will not alter such registration without the prior written consent of Mortgagee. Mortgagor
further represents and warrants that its name is exactly as set forth in the signature page of this Mortgage. Mortgagor also covenants that its name shall not be altered without the prior written consent of Mortgagee. Mortgagor hereby acknowledges
and agrees that this Mortgage is an authenticated record, and authorizes the filing of financing statements by Mortgagee without the execution thereof by Mortgagor. 
 33. Right of Entry. Mortgagee and Mortgagee’s representatives may at all times during normal business hours and with reasonable notice to Mortgagor and Manager enter upon the Security and inspect the same,
or cause it to be inspected by agents, employees or independent contractors of Mortgagee, and show the same to others, but Mortgagee shall not be obligated to make any such entry or inspection. Notwithstanding the immediately preceding sentence,
Mortgagee shall give reasonable prior notice to Mortgagor of Mortgagee’s intent to exercise its rights under this Section so long as no Event of Default has occurred and is continuing. 
 34. Estoppel Certificate. Mortgagor, within fifteen (15) days after written request from Mortgagee, will furnish a signed statement in
writing, duly acknowledged, of the amount then due or outstanding hereunder and whether or not any offsets or defenses exist against the Indebtedness, and if so, specifying such offsets and defenses. Upon request by Mortgagee, Mortgagor shall
exercise any right it may have to request an estoppel certificate from any or all of the tenants on the Security within ten (10) days following Mortgagee’s request. 
 35. Annual Statements. Mortgagor will furnish Mortgagee with the following financial statements and information, all of which reports will be in
hard copy and electronic format: 
 (a) within forty-five (45) days after the end of each calendar quarter, an unaudited
balance sheet and a statement of revenues and expenses for such quarter and year-to-date; 
 (b) within ninety (90) days
after the end of each calendar year, (a) a reviewed balance sheet and (b) a statement of revenues and expenses for the Real Property and Mortgagor, certified as true and correct by the chief financial officer of the general partner of
Mortgagor; 
  

 31 

 (c) Within ninety (90) days after the end of each calendar year, annual capital
expenditure summaries for the Real Property; and 
 (d) Such other financial information as Mortgagee may reasonably request
in writing. 
 In addition to the regularly scheduled reports required above, Mortgagor agrees to provide Mortgagee within five
(5) Business Days after a written request therefor, a balance sheet and year-to-date operating statements for the Real Property certified by the chief financial officer of the general partner of Mortgagor. Mortgagor also agrees to reasonably
cooperate with Mortgagee and Mortgagee’s loan servicer in providing information and access to the Real Property in connection with the annual inspection of the Real Property, or such other inspections as Mortgagee may reasonably require.

 Notwithstanding the provisions of subsections (a) and (b) above, Mortgagee agrees that subsection (b) above shall be waived
by Mortgagee, provided that Mortgagee shall retain the right, in its sole discretion and any time and from time to reinstate the requirements of subsection (b) by written notice to Mortgagor, effective upon receipt by Mortgagor of such notice.

 Mortgagor acknowledges that Mortgagee may sell, transfer or assign the Loan, or any interest therein (whether by sale of the entire Loan,
the issuance of participation certificates in private unrated transactions, or in connection with a securitization of the Loan individually or as part of a pool of loans in a public or private rated transaction, or otherwise). In connection
therewith, Mortgagor agrees that Mortgagee shall be entitled to disclose, as Mortgagee may deem necessary or desirable, to any and all investors, purchasers, transferees, servicers, participants, investors, rating agencies or organizations
maintaining databases on the underwriting and performance of commercial mortgage loans, all documents and information which Mortgagee has or may hereafter acquire relating to the Loan, whether furnished by Mortgagor or any guarantor or indemnitor.

 If Mortgagor omits to prepare and deliver promptly any report required by this Section, and such failure continues for thirty
(30) days after written notice thereof, Mortgagee may elect, in addition to exercising any remedy for an Event of Default as provided for in this Mortgage, to make an audit of all books and records of Mortgagor and its beneficial owners (but
excluding Highland Hospitality Corporation), including their bank accounts, which in any way pertain to the Security, and to prepare the statement or statements which Mortgagor failed to procure and deliver. Such audit shall be made and such
statements shall be prepared by an independent certified public accountant to be selected by Mortgagee. Mortgagor shall pay all expenses of the audit and other services, which expenses shall be secured hereby as part of the Indebtedness and shall be
immediately due and payable with interest thereon at the Default Rate. 
 Mortgagee shall afford any information received pursuant to this
Section 35 the same degree of confidentiality that Mortgagee affords similar information proprietary to Mortgagee; provided, however, that Mortgagee does not in any way warrant or represent that such information received from Mortgagor will
remain confidential, and, provided further, that Mortgagee shall have the unconditional right to disclose, as necessary, any such information in the event Mortgagee sells, transfers, conveys, or assigns this Mortgage or any portion of the
Indebtedness. 
  

 32 

 36. Rights Cumulative. Each right and remedy of Mortgagee under this Mortgage, the Note and the
other Loan Documents, shall be in addition to every other right and remedy of Mortgagee and such rights and remedies may be enforced separately, successively and in any combination and order. 
 37. Subrogation. To the extent that proceeds of the Indebtedness are used to pay any outstanding lien, charge or encumbrance affecting the
Security, and such proceeds have been advanced by Mortgagee at Mortgagor’s request, Mortgagee shall be subrogated to all rights, interest and liens owned or held by any owner or holder of such outstanding liens, charges and encumbrances,
irrespective of whether such liens, charges or encumbrances are released of record; provided, however, that the terms and provisions hereof shall govern the rights and remedies of Mortgagee and shall supersede the terms, provisions, rights, and
remedies under the lien or liens to which Mortgagee is subrogated hereunder. 
 38. No Waiver. Any failure by Mortgagee to insist upon
the strict performance by Mortgagor of any of the terms and provisions hereof shall not be deemed to be a waiver of any of the terms and provisions hereof, and Mortgagee, notwithstanding any such failure, shall have the right thereafter to insist
upon the strict performance by Mortgagor of any and all of the terms and provisions hereof to be performed by Mortgagor. 
 39. Mortgage
Extension. The lien hereof shall remain in full force and effect during any postponement or extension of the time of payment of the Indebtedness, or of any part thereof, and any number of extensions or modifications hereof, or any additional
notes taken by Mortgagee, shall not affect the lien hereof or the liability of Mortgagor or of any subsequent obligor to pay the Indebtedness unless and until such lien or liability be expressly released in writing by Mortgagee. 
 40. Indemnification. Mortgagor shall indemnify and hold Mortgagee harmless from and against all obligations, liabilities, losses, costs, expenses,
fines, penalties or damages (including Attorneys’ Fees) which Mortgagee may incur by reason of this Mortgage or with regard to the Security prior to such time as Mortgagee takes actual physical possession of and manages and operates the Real
Property after an Event of Default, except for such claims that are caused by the gross negligence or willful misconduct of Mortgagee or the escrow holder under any escrow agreements controlled by Mortgagee; provided, however, that such obligation
to indemnify and hold Mortgagee harmless shall not apply to the extent that such obligations, liabilities, losses, costs, expenses, fines, penalties or damages arise after (i) any transfer of the Real Property by foreclosure under this Mortgage
or by a deed-in-lieu thereof, (ii) the repayment of the Loan in full, and/or (iii) the release of the lien of the Mortgage from the Real Property. Mortgagor shall defend Mortgagee against any claim or litigation involving Mortgagee for the
same, and should Mortgagee incur such obligation, liability, loss, cost, expense, fine, penalty or damage, then Mortgagor shall reimburse Mortgagee upon demand. Any amount payable to Mortgagee under this provision shall be secured hereby and, if not
paid within five (5) days following demand therefor, shall bear interest at the Default Rate. 
  

 33 

 41. Nonrecourse. Except as provided in this Section 41 and in Section 17 of the Note,
notwithstanding anything else to the contrary contained herein or in any of the other Loan Documents, no judgment for the repayment of the indebtedness evidenced by the Note or in any action to foreclose this Mortgage or to collect any amount
payable under the Note or the other Loan Documents or for the performance or discharge of any covenants, obligations or undertakings of Mortgagor will be satisfied out of the personal assets of Mortgagor or of any holders of beneficial interest in
Mortgagor. Mortgagee’s sole recourse for such judgment(s) shall be against the Real Property and other collateral as provided pursuant to this Mortgage and any of the other Loan Documents. The foregoing limitation on liability shall not apply,
and Mortgagor shall be personally liable, for all damages and losses incurred by Mortgagee and any equitable relief as a court may award for the following acts or omissions, to the extent described: 
  

					
	  	  	 Act or Omission
	  	 Liability

	 (i)     
	  	Mortgagor misapplies any Condemnation (defined in Section 9 of this Mortgage) awards or insurance proceeds attributable to the Real Property,	  	To the extent of such misapplication;
			
	 (ii)
	  	Mortgagor misapplies any security deposits or reserves attributable to the Real Property,	  	To the extent of such misapplication;
			
	 (iii)
	  	Mortgagor collects rents in advance in violation of any covenant under the Loan Documents,	  	To the extent of such rents collected in advance;
			
	 (iv)
	  	Mortgagor commits any fraud, misrepresentation or waste,	  	To the extent of any remedies available at law or in equity;
			
	 (v)
	  	Gross revenues from the Real Property are sufficient to pay any portion of the indebtedness, operating and maintenance expenses, insurance premiums deposits into a reserve or escrow account, or
other sums required by the Loan Documents, and Mortgagor fails to make such payments or deposits when due,	  	To the extent of any funds diverted from such payments or expenses (during the twelve (12) months prior to Mortgagee’s notice of acceleration through the date Mortgagee takes title to the
Real Property);
			
	 (vi)
	  	Mortgagor enters into any guarantee and/or indemnification agreement(s), as may be required under this Mortgage,	  	As provided in such guarantee or indemnification;

  

 34 

					
	  	  	 Act or Omission
	  	 Liability

	 (vii)
	  	Mortgagor fails to pay Real Estate Taxes and other Impositions which are a lien against the Real Property during the period of Mortgagor’s ownership,	  	To the extent of any unpaid Real Estate Taxes and other Impositions, and any additional interest, penalties or other charges assessed as a result of such non-payment; provided, however, to the
extent Mortgagor makes escrow deposits for Real Estate taxes under the Tax Escrow Agreement or under Section 5 hereof, Mortgagor shall have not liability for nonpayment of such Real Estate Taxes, to the extent of such escrowed
funds.
			
	 (viii)
	  	Mortgagor fails to maintain the levels, coverages and maximum deductibles of insurance required under the Loan Documents, to the extent that a casualty or liability occurs or arises and
insurance proceeds would have been available had such insurance been maintained,	  	In the amount of the loss incurred as the result of such uninsured casualty or uninsured liability.

 There shall be no limitation on Mortgagor’s personal liability under, nor on the exercise of any of
Mortgagee’s rights under, any indemnity from Mortgagor to Mortgagee, including without limitation the Environmental Indemnification Agreement, except as may be expressly set forth in the terms of such indemnity. 
 42. Attorneys’ Fees. Any reference to “Attorney Fees”, “Attorneys’ Fees”, or “Attorney’s Fees” in
this document includes but is not limited to both the reasonable fees, charges and costs incurred by Mortgagee through Mortgagee’s retention of outside legal counsel and the allocable reasonable fees, costs and charges for services rendered by
Mortgagee’s in-house counsel. Any reference to “Attorney Fees”, “Attorneys’ Fees”, or “Attorney’s Fees” shall also include but not be limited to those reasonable attorneys or legal fees, costs and charges
incurred by Mortgagee in the collection of any Indebtedness, the enforcement of any obligations hereunder, the protection of the Security, the appointment of a receiver as permitted hereunder, the foreclosure of this Mortgage, the sale of the
Security, the defense of actions arising hereunder and the collection, protection or setoff of any claim the Mortgagee may have in a proceeding under Title 11, United States Code, or any state bankruptcy or insolvency statute. Attorneys’ Fees
provided for hereunder shall accrue whether or not Mortgagee has provided notice of default or of an intention to exercise its remedies for such default. 
  

 35 

 43. Administrative Fees. Mortgagee shall have the right to charge reasonable administrative fees
during the Term of the Note as Mortgagee may determine, its reasonable discretion, in connection with any servicing requests made by Mortgagor requiring Mortgagee’s evaluation, preparation and processing of any such requests not to exceed
$5,000.00 in any one matter. Administrative fees shall not be charged for routine servicing matters contemplated by the Loan Documents including, without limitation: processing payments; processing insurance and UCC continuation documentation;
processing escrow draws; review of tenant leases, subordination non-disturbance and attornment agreements and tenant estoppels on standard forms approved by Mortgagee without material modifications. Such administrative fees shall apply to requests
for matters not permitted or contemplated by the Loan Documents, including, without limitation requests for transfers or assignments, requests for partial releases; requests for review of new easements and loan modifications and to requests, which
while contemplated by the Loan Documents, because of the nature of the request, will require significantly more time than an institutional lender, acting reasonably, would contemplate for such request (including without limitation, requests for the
approval of tenant leases, tenant estoppels and tenant subordination, non-disturbance and attornment agreements which contain material differences from Mortgagee’s standard forms). Mortgagee shall also be entitled to reimbursement for
professional fees it incurs for such administration, including without limitation, those of architects, engineers and Attorneys’ Fees, provided that Mortgagee shall be entitled to reimbursement of Attorneys’ Fees for either in-house
counsel or outside counsel, but not both. 
 44. [Omitted] 
 45. Protection of Security; Costs and Expenses. Mortgagor shall appear in and defend any action or proceeding purporting to affect the security
hereof or the rights or powers of Mortgagee, and shall pay all costs and expenses, including without limitation cost of evidence of title and reasonable Attorneys’ Fees, in any such action or proceeding in which Mortgagee may appear, and in any
suit brought by Mortgagee to foreclose this Mortgage or to enforce or establish any other rights or remedies of Mortgagee hereunder. If Mortgagor fails to perform any of the covenants or agreements contained in this Mortgage within any applicable
notice and cure periods provided for in this Mortgage, or if any action or proceeding is commenced which affects Mortgagee’s interest in the Security or any part thereof, including, but not limited to, eminent domain, code enforcement, or
proceedings of any nature whatsoever under any federal or state law, whether now existing or hereafter enacted or amended, relating to bankruptcy, insolvency, arrangement, reorganization or other form of debtor relief, or to a decedent, then after
compliance with the applicable notice and cure provisions provided for in this Mortgage, Mortgagee may, but without obligation to do so and without further notice to or demand upon Mortgagor and without releasing Mortgagor from any obligation
hereunder, make such appearances, disburse such sums and take such action as Mortgagee deems necessary or appropriate to protect Mortgagee’s interest, including, but not limited to, disbursement of reasonable Attorneys’ Fees, entry upon
the Security to make repairs or take other action to protect the security hereof, and payment, purchase, contest or compromise of any encumbrance, charge or lien which in the judgment of Mortgagee appears to be prior or superior hereto. Mortgagor
further agrees to pay all reasonable expenses of Mortgagee (including without limitation Attorney’s Fees and disbursements) (i) incident to the protection of the rights of Mortgagee hereunder, or (ii) incident to the enforcement or
collection of payment of the Indebtedness, whether by judicial or non-judicial proceedings, or in connection with any 
  

 36 

 bankruptcy, insolvency, arrangement, reorganization or other debtor relief proceeding of Mortgagor, or otherwise, or
(iii) in connection with any title insurance coverage ordered in connection with any foreclosure proceedings hereunder. Mortgagor also agrees to pay all taxes (except federal and state income taxes) and other governmental charges or impositions
imposed by any governmental authority on Mortgagee by reason of their interest in the Loan Documents. Any amounts disbursed by Mortgagee pursuant to this Section 45 shall be additional indebtedness of Mortgagor secured by the Loan Documents as
of the date of disbursement and shall bear interest at the Default Rate. All such amounts shall be payable by Mortgagor immediately without demand. Nothing contained in this Section shall be construed to require Mortgagee to incur any expense, make
any appearance, or take any other action. 
 46. Notices. Any notice, demand, request, statement or consent made hereunder shall be in
writing, signed by the party giving such notice, request, demand, statement, or consent, and shall be deemed to have been properly given when either delivered personally, delivered to a reputable overnight delivery service providing a receipt or
deposited in the United States mail, postage prepaid and registered or certified return receipt requested, at the address set forth below, or at such other address within the continental United States of America as may have theretofore have been
designed in writing. The effective date of any notice given as aforesaid shall be the date of personal service, one (1) Business Day after delivery to such overnight delivery service, or three (3) Business Days after being deposited in the
United States Mail, whichever is applicable. For purposes hereof, the addresses are as follows: 
  

			
	If to Mortgagee:	  	Connecticut General Life Insurance Company
		  	c/o CIGNA Realty Investors
		  	280 Trumbull Street
		  	Hartford, Connecticut 06103
		  	Attn: Debt Asset Management, H-11G
		
	with a copy to:	  	CIGNA Corporation
		  	280 Trumbull Street
		  	Hartford, Connecticut 06103
		  	Attn: Real Estate Law, H-16C
		
	If to Mortgagor:	  	HH Boston Back Bay LLC
		  	c/o Highland Hospitality Corporation
		  	8405 Greensboro Drive, Suite 500
		  	McLean, Virginia 22102
		  	Attention: General Counsel
		  	with a courtesy
		
	 with a courtesy
 copy to:
	  	Highland Hospitality Corporation
		  	8405 Greensboro Drive, Suite 500
		  	McLean, Virginia 22102
		  	Attention: Chief Financial Officer

 47. Release. Upon the satisfaction in full of the Indebtedness, Mortgagee shall promptly
release of record the Security from the lien hereof and shall surrender all notes evidencing indebtedness secured by this Mortgage to Mortgagor. Mortgagor shall pay all costs of recordation. 
  

 37 

 48. Applicable Law. The provisions hereof shall be construed in accordance with the laws of the
Commonwealth of Massachusetts, without giving effect to any principles of conflicts of laws. 
 49. [Omitted] 
 50. Invalidity. If any provision of this Mortgage shall be held invalid or unenforceable, the same shall not affect in any respect whatsoever the
validity of the remainder of this Mortgage, except that if such provision relates to the payment of principal or interest, then the Mortgagee may, at its option, declare the Indebtedness due and payable upon one hundred (120) days prior written
notice to Mortgagor and, provided there exists no Event of Default hereunder, without prepayment fee. 
 51. Captions. The captions in
this instrument are inserted only as a matter of convenience and for reference, and are not and shall not be deemed to be any part hereof. 
 52. Modifications. This Mortgage may not be changed or terminated except in writing signed by both parties. The provisions of this Mortgage shall extend and be applicable to all renewals, amendments, extensions, consolidations, and
modifications of the other Loan Documents, and any and all references herein to the Loan Documents shall be deemed to include any such renewals, amendments, extensions, consolidations or modifications thereof. 
 53. Bind and Inure. The provisions of this Mortgage shall be binding on the Mortgagor and its heirs, successors and assigns, and any subsequent
owners of the Security. The covenants of Mortgagor herein shall run with the land, and this Mortgage and all of the covenants herein contained shall inure to the benefit of the Mortgagee, its successors and assigns. 
 54. Replacement of Note. Upon receipt of evidence reasonably satisfactory to Mortgagor of the loss, theft, destruction or mutilation of the Note,
and in the case of any such loss, theft or destruction, upon delivery of an indemnity agreement reasonably satisfactory to Mortgagor or, in the case of any such mutilation, upon surrender and cancellation of the Note, Mortgagor will execute and
deliver, in lieu thereof, a replacement Note, identical in form and substance to the Note and dated as of the date of the Note and upon such execution and delivery all references in this Mortgage to the Note shall be deemed to refer to such
replacement Note. 
 55. Time of the Essence. Time is of the essence with respect to each and every covenant, agreement and obligation
of Mortgagor under this Mortgage, the Note and any of the other Loan Documents. 
 56. Business Day. The terms “Business
Day” and “Business Days” as used in this Mortgage shall mean any calendar day other than a Saturday, a Sunday or a federal holiday on which the U.S. Postal Service’s offices are closed for business in one or more of
McLean, Virginia; Hartford, Connecticut or Boston, Massachusetts. 
 57. [Omitted] 
  

 38 

 58. Authority of Mortgagee. As Operating Tenant is not a maker of the Note, Operating Tenant
hereby authorizes Mortgagee to perform any of the following acts at any time and from time to time, all without notice to Operating Tenant and without affecting Mortgagee’s rights or Operating Tenant’s obligations under this Mortgage:
(i) alter any terms of the Loan Documents, including renewing, compromising, extending or accelerating, or otherwise changing the time for payment of, or increasing or decreasing the rate of interest under, the Note, (ii) take and hold
security for the Loan Documents, accept additional or substituted security for the Loan Documents, and subordinate, exchange, enforce, waive, release, compromise, fail to perfect, sell or otherwise dispose of any such security, (iii) apply any
security now or later held for the Loan Documents in any order that Mortgagee in its sole discretion may choose, and direct the order and manner of any sale of all or any part of it and bid at any such sale, (iv) release any obligor under the
Note or any of the other Loan Documents, including without limitation Borrower (each an “Obligor”) of its liability under any Loan Document, and/or (v) substitute, add or release any one or more guarantors or endorsers of the Loan
Documents. 
 59. Waivers of Operating Tenant. Operating Tenant absolutely, unconditionally, knowingly, and expressly waives:

 (a) (1) notice of acceptance hereof; (2) notice of any loans or other financial accommodations made or extended
under this Mortgage and the Loan Documents to which it is a party or the creation or existence of any Indebtedness; (3) notice of the amount of the Indebtedness, subject, however, to the Operating Tenant’s right to make inquiry of the
Mortgagee to ascertain the amount of the Indebtedness at any reasonable time; (4) notice of any adverse change in the financial condition of any Obligor or of any other fact that might increase Operating Tenant’s risk hereunder;
(5) notice of presentment for payment, demand, protest, and notice thereof as to any instruments among the Loan Documents to which the Operating Tenant is a party; (6) notice of any Event of Default; and (7) all other notices (except
if such notice is specifically required to be given to Operating Tenant hereunder or under the Loan Documents to which the Operating Tenant is a party) and demands to which Operating Tenant might otherwise be entitled. 
 (b) its right to require the Mortgagee to institute suit against, or to exhaust any rights and remedies which the Mortgagee has or may
have against, any Obligor or any third party, or against any collateral for the Indebtedness provided by any Obligor or any third party. Operating Tenant further waives any defense arising by reason of any disability or other defense (other than the
defense that the Indebtedness shall have been fully and finally performed and indefeasibly paid) of any Obligor or by reason of the cessation from any cause whatsoever of the liability of any Obligor in respect thereof. 
 (c) (1) any rights to assert against Mortgagee any defense (legal or equitable), set-off, counterclaim, or claim which the Operating
Tenant may now or at any time hereafter have against any Obligor or any other party liable to the Mortgagee; (2) any defense, set-off, counterclaim, or claim, of any kind or nature, arising directly or indirectly from the present or future lack
of perfection, sufficiency, validity, or enforceability of the Indebtedness or any security therefor; (3) any defense the Operating Tenant has to performance hereunder, or otherwise, arising by reason of: the impairment 
  

 39 

 or suspension of the Mortgagee’s rights or remedies against any Obligor; the alteration by the
Mortgagee of the Indebtedness; any discharge of any Obligor’s obligations to the Mortgagee by operation of law as a result of the Mortgagee’s intervention or omission; or the acceptance by the Mortgagee of anything in partial satisfaction
of the Indebtedness; and (4) the benefit of any statute of limitations affecting Mortgagor’s liability hereunder or the enforcement thereof, and any act which shall defer or delay the operation of any statute of limitations applicable to
the Indebtedness shall similarly operate to defer or delay the operation of such statute of limitations applicable to Mortgagor’s liability hereunder. 
 (d) Operating Tenant absolutely, unconditionally, knowingly, and expressly waives any defense arising by reason of or deriving from (i) any claim or defense based upon an election of remedies by any Mortgagee
including any defense based upon an election of remedies by the Mortgagee under the laws of the Commonwealth of Massachusetts or any other jurisdiction; or (ii) any election by any Mortgagee under Section 1111(b) of the Bankruptcy Code to
limit the amount of, or any collateral securing, its claim against an Obligor. 
 Mortgagee may elect, in its sole discretion, upon the
occurrence of an Event of Default to foreclose this Mortgage in any manner permitted by law, without diminishing or affecting the liability of Operating Tenant hereunder except to the extent the Indebtedness is repaid with the proceeds of such
foreclosure. The Operating Tenant is hereby relinquishing a defense to the enforceability of this Mortgage and the Loan Documents to which Operating Tenant is a party and hereby waives any right to assert against the Mortgagee any defense to the
enforcement of this Mortgage and the Loan Documents to which Operating Tenant is a party, whether denominated “estoppel” or otherwise. Operating Tenant understands that the effect of the foregoing waiver may be that Operating Tenant may
have liability hereunder for amounts with respect to which Operating Tenant may be left without rights of subrogation, reimbursement, contribution, or indemnity against any Obligor or other guarantors or sureties. 
 (e) Operating Tenant hereby absolutely, unconditionally, knowingly, and expressly waives: (i) any right of subrogation such Operating
Tenant has or may have as against any Obligor with respect to the Indebtedness; (ii) any right to proceed against any Obligor or any other person or entity, now or hereafter, for contribution, indemnity, reimbursement, or any other suretyship
rights and claims, whether direct or indirect, liquidated or contingent, whether arising under express or implied contract or by operation of law, which such Operating Tenant may now have or hereafter have as against any Obligor with respect to the
Indebtedness; and (iii) any right to proceed or seek recourse against or with respect to any property or asset of any Obligor. 
 Notwithstanding anything to the contrary in this Mortgage, except with respect to the obligations of Mortgagor set forth in Sections 4 (Impositions), 7 (Insurance), 41 (Nonrecourse), and this Section 59 (Waivers of Operating Tenant),
for all purposes Operating Tenant shall not have any responsibility to perform or provide any obligation, covenant, representation or warranty under this Mortgage, except and only to the extent Mortgagee has accelerated the obligations secured by
the Mortgage and Mortgagee reasonably determines that Operating Tenant’s performance of any such excluded obligation or covenant is required in order 
  

 40 

 for Mortgagee to realize upon all or any portion of the Security. Operating Tenant’s obligations under
Section 41 shall be limited to acts or omissions which arise in connection with Operating Tenant’s duties under the Operating Lease. So long as no Event of Default shall have occurred and be continuing, nothing contained in this Section
shall be construed so as to negatively affect Highland Hospitality Corporation’s continued qualification as a real estate investment trust under the Internal Revenue Code. 
 Except as approved by Mortgagee in writing, Operating Tenant further agrees that it does not now and will not in the future operate any other hotels or
similar projects whether under agreements similar to the Operating Lease or otherwise. 
 60. Obligor’s Financial Condition.
Operating Tenant assumes full responsibility for keeping informed of Obligor’s financial condition and business operations and all other circumstances affecting Obligor’s ability to pay and perform its obligations to Mortgagee, and agrees
that Mortgagee shall have no duty to disclose to Operating Tenant any information which Mortgagee may receive about Obligor’s financial condition, business operations or any other circumstances bearing on Obligor’s ability to perform.

 61. Statutory Condition; Statutory Power of Sale. This Mortgage is upon the STATUTORY CONDITION for any breach of which, or upon
the breach of any other of Mortgagor’s covenants and undertakings hereunder, Mortgagee shall have the STATUTORY POWER OF SALE. 
 62.
Fixture Filing. Upon its recording in the Suffolk County Registry of Deeds, this Mortgage shall be effective as a financing statement filed as a fixture filing under the Uniform Commercial Code of the Commonwealth of Massachusetts. In
addition, a carbon, photographic or other reproduced copy of this Mortgage and/or any financing statement relating hereto shall be sufficient for filing and/or recording as a financing statement. The filing of any other financing statement relating
to any collateral, rights or interest described herein shall not be construed to diminish any right or priority hereunder. 
 [Remainder
of Page Intentionally Left Blank; Signature Page Follows] 
  

 41 

 IN WITNESS WHEREOF, the Mortgagor has duly executed this Mortgage as a sealed instrument on the
day and year first above written. 
  

			
	MORTGAGOR:
	
	 HH BOSTON BACK BAY LLC,
 a Delaware limited
liability company

		
	By:	 	 /s/ James L. Francis

	Name:	 	James L. Francis
	Title:	 	President
	
	            -and-
	
	 HHC TRS OP LLC,
 a Delaware limited liability
company

		
	By:	 	 /s/ James L. Francis

	Name:	 	James L. Francis
	Title:	 	President

 Signature Page to Mortgage, Security Agreement, 
 Assignment of Rents and Leases and Fixture Filing 

							
	STATE OF Maryland	  	)	  		  	
		  	)	  	ss:	  	
	 COUNTY OF Montgomery
	  	)	  		  	
		  		  		  	November 22, 2005

 On this 22 day of November, 2005, before me, the undersigned notary public, personally appeared James L. Francis,
proved to me through satisfactory evidence of identification, which was drivers license, to be the person whose name is signed on the preceding or attached document, and acknowledged to me that he signed it voluntarily for its stated purpose in his
capacity as President for HH Boston Back Bay LLC. 
  

	
	 /s/ Sharon A. Rowe

	Notary Public
	My commission expires: 10/01/08

  

							
	STATE OF Maryland	  	)	  		  	
		  	)	  	ss:	  	
	 COUNTY OF Montgomery
	  	)	  		  	
		  		  		  	November 22, 2005

 On this 22 day of November, 2005, before me, the undersigned notary public, personally appeared James L. Francis,
proved to me through satisfactory evidence of identification, which was drivers license, to be the person whose name is signed on the preceding or attached document, and acknowledged to me that he signed it voluntarily for its stated purpose in his
capacity as President for HHC TRS OP LLC. 
  

	
	 /s/ Sharon A. Rowe

	Notary Public
	My commission expires: 10/01/08

 Acknowledgment Page to Mortgage Security Agreement 
 Assignment of Rents and Leases and Fixture Filing 

 EXHIBIT A 
 TO 
 MORTGAGE AND SECURITY AGREEMENT 
 Legal Description 
 All that certain real property situated in the City of Boston, Suffolk
County, Commonwealth of Massachusetts, described as follows: 
 EXHIBIT AExhibit 10.24

 Exhibit 10.24 
 EXECUTION VERSION 
 Loan No. 102919 
 CREDIT AGREEMENT 
 by and among 
 HIGHLAND HOSPITALITY, L.P. 
 THE
LENDERS PARTY HERETO 
 and 
 WELLS FARGO BANK, NATIONAL ASSOCIATION, 
 as Administrative Agent for the Lenders 
 and 
 Sole Lead Arranger

 and 
 PNC BANK,
NATIONAL ASSOCIATION 
 as Documentation Agent 
 Executed as of February 24, 2006 

 Table of Contents 
  

			
	 ARTICLE 1. DEFINITIONS
	  	1
		
	           1.1  DEFINED TERMS.
	  	1
	           1.2  EXHIBITS AND SCHEDULES INCORPORATED.
	  	23
		
	 ARTICLE 2. LOAN
	  	23
		
	           2.1  LOAN.
	  	23
	           2.2  FEES.
	  	23
	           2.3  LOAN DOCUMENTS
	  	24
	           2.4  EFFECTIVE DATE
	  	24
	           2.5  REQUESTS FOR REVOLVING ADVANCES
	  	24
	           2.6  INTEREST ON THE LOANS.
	  	25
	           2.7  PAYMENTS.
	  	28
	           2.8  MATURITY DATE
	  	29
	           2.9  BORROWING BASE
	  	29
	           2.10  SWINGLINE LOANS
	  	29
	           2.11  TERMINATION AND REDUCTION OF COMMITMENTS
	  	30
	           2.12  FACILITY INCREASE.
	  	31
	           2.13  LENDERS’ ACCOUNTING
	  	32
	           2.14  OPTION TO EXTEND
	  	32
	           2.15  MAXIMUM INTEREST RATE.
	  	33
		
	 ARTICLE 3. DISBURSEMENT OF LOAN
	  	34
		
	           3.1  CONDITIONS PRECEDENT TO INITIAL ADVANCE
	  	34
	           3.2  CONDITIONS PRECEDENT TO ALL ADVANCES
	  	35
	           3.3  FUNDS TRANSFER DISBURSEMENTS
	  	35
		
	 ARTICLE 4.
	  	36
		
	           4.1  ADDITION OF PROPERTIES
	  	36
	           4.2  DESIGNATION OF POOL PROPERTIES.
	  	37
	           4.3  REMOVAL OF POOL PROPERTIES.
	  	37
	           4.4  ACCELERATION OF SEASONED DATE
	  	38
		
	 ARTICLE 5. REPRESENTATIONS AND WARRANTIES
	  	39
		
	           5.1  FORMATION AND GOOD STANDING
	  	39
	           5.2  AUTHORITY
	  	39
	           5.3  BINDING OBLIGATIONS
	  	39
	           5.4  ORGANIZATIONAL DOCUMENTS
	  	39
	           5.5  PARENT.
	  	39
	           5.6  NO LEGAL BAR; NO CONSENT
	  	40

  

 i 

 Table of Contents 
  

			
	           5.7  COMPLIANCE
	  	40
	           5.8   LITIGATION
	  	40
	           5.9   FINANCIAL CONDITION
	  	40
	           5.10   NO MATERIAL ADVERSE CHANGE
	  	41
	           5.11   ACCURACY
	  	41
	           5.12   NO DEFAULTS
	  	41
	           5.13   TITLE TO PROPERTIES
	  	41
	           5.14   TAX LIABILITY; OTHER CLAIMS
	  	41
	           5.15   PENSION PLANS
	  	41
	           5.16   GROUND LEASES
	  	42
	           5.17   BUSINESS LOAN; MARGIN STOCK.
	  	42
	           5.18   INVESTMENT COMPANY ACT
	  	42
	           5.19   SUBSIDIARIES AND UNCONSOLIDATED AFFILIATES
	  	42
	           5.20   CONDITION OF PROPERTIES
	  	43
	           5.21   CASUALTIES; CONDEMNATION
	  	43
	           5.22   INSURANCE
	  	43
	           5.23   POOL PROPERTIES
	  	43
	           5.24   TAX SHELTER REGULATIONS
	  	43
		
	 ARTICLE 6. HAZARDOUS MATERIALS
	  	43
		
	           6.1   SPECIAL REPRESENTATIONS AND WARRANTIES
	  	43
	           6.2   HAZARDOUS MATERIALS COVENANTS
	  	44
	           6.3   INSPECTION BY ADMINISTRATIVE AGENT
	  	45
	           6.4   HAZARDOUS MATERIALS INDEMNITY
	  	45
		
	 ARTICLE 7. COVENANTS OF BORROWER
	  	46
		
	           7.1   EXPENSES
	  	46
	           7.2   ERISA COMPLIANCE
	  	46
	           7.3   LIENS
	  	47
	           7.4   USE AND MAINTENANCE OF PROPERTY; INSURANCE.
	  	47
	           7.5   INSPECTION OF PROPERTY; BOOKS AND RECORDS;
DISCUSSIONS
	  	48
	           7.6   BUSINESS; INVESTMENTS
	  	48
	           7.7   MANAGEMENT, FRANCHISE AND OTHER AGREEMENTS.
	  	49
	           7.8   ORGANIZATIONAL DOCUMENTS
	  	50
	           7.9   MAINTENANCE OF EXISTENCE AND GOOD STANDING
	  	50
	           7.10   CASUALTY; CONDEMNATION.
	  	50
	           7.11   REQUIRED NOTICES
	  	50
	           7.12   OPERATING LEASES
	  	51
	           7.13   FURTHER ASSURANCES
	  	51
	           7.14   ASSIGNMENT
	  	51
	           7.15   REQUIREMENTS OF LAW
	  	51
	           7.16   RESTRICTED PAYMENTS
	  	51
	           7.17   GUARANTIES FROM FUTURE SUBSIDIARIES; RELEASE OF
GUARANTORS.
	  	52

  

 ii 

 Table of Contents 
  

			
	           7.18   USE OF PROCEEDS
	  	53
	           7.19   LIMITATIONS ON FUNDAMENTAL CHANGES.
	  	53
	           7.20   TRANSACTIONS WITH AFFILIATES
	  	53
	           7.21   NO NEGATIVE PLEDGES
	  	53
	           7.22   COVENANTS WITH RESPECT TO REIT
	  	54
	           7.23   GROUND LEASES.
	  	54
	           7.24   PAYMENT OF TAXES, ETC
	  	54
	           7.25   AGREEMENTS RESTRICTING DISTRIBUTIONS FROM
SUBSIDIARIES
	  	54
	           7.26   LEVERAGE RATIO
	  	55
	           7.27   NEW PROPERTY RATIO
	  	55
	           7.28   SECURED DEBT RATIO
	  	55
	           7.29   FIXED CHARGE COVERAGE RATIO
	  	55
	           7.30   UNSECURED INTEREST COVERAGE RATIO
	  	55
	           7.31   RATIO OF UNSECURED DEBT TO UNENCUMBERED PROPERTY
VALUE
	  	55
	           7.32   TANGIBLE NET WORTH
	  	55
		
	 ARTICLE 8. REPORTING COVENANTS
	  	55
		
	           8.1   FINANCIAL INFORMATION
	  	55
	           8.2   BORROWING BASE CERTIFICATE
	  	57
	           8.3   COMPLIANCE CERTIFICATE
	  	57
	           8.4   KNOWLEDGE OF DEFAULT; ETC
	  	57
	           8.5   PROCEEDINGS
	  	58
		
	 ARTICLE 9. DEFAULTS AND REMEDIES
	  	58
		
	           9.1   DEFAULT.
	  	58
	           9.2   ACCELERATION UPON DEFAULT; REMEDIES.
	  	60
	           9.3   REPAYMENT OF FUNDS ADVANCED
	  	61
	           9.4   RIGHTS CUMULATIVE, NO WAIVER
	  	61
		
	 ARTICLE 10. ADMINISTRATIVE AGENT; INTERCREDITOR PROVISIONS
	  	61
		
	           10.1   APPOINTMENT AND AUTHORIZATION.
	  	61
	           10.2   WELLS FARGO AS LENDER
	  	62
	           10.3   LOAN DISBURSEMENTS.
	  	63
	           10.4   DISTRIBUTION AND APPORTIONMENT OF PAYMENTS; DEFAULTING
LENDERS.
	  	64
	           10.5   PRO RATA TREATMENT
	  	65
	           10.6   SHARING OF PAYMENTS, ETC
	  	65
	           10.7   APPROVALS OF LENDERS
	  	66
	           10.8   NOTICE OF DEFAULTS
	  	66
	           10.9   ADMINISTRATIVE AGENT’S RELIANCE, ETC
	  	66
	           10.10   INDEMNIFICATION OF ADMINISTRATIVE AGENT
	  	67
	           10.11   LENDER CREDIT DECISION, ETC
	  	68

  

 iii 

 Table of Contents 
  

			
	           10.12   SUCCESSOR ADMINISTRATIVE AGENT
	  	69
	           10.13   TITLED AGENTS
	  	69
		
	 ARTICLE 11. MISCELLANEOUS PROVISIONS
	  	70
		
	           11.1   INDEMNITY
	  	70
	           11.2   FORM OF DOCUMENTS
	  	70
	           11.3   NO THIRD PARTIES BENEFITED
	  	70
	           11.4   NOTICES
	  	70
	           11.5   SETOFF
	  	71
	           11.6   ACTIONS
	  	71
	           11.7   INTENTIONALLY OMITTED.
	  	71
	           11.8   RELATIONSHIP OF PARTIES
	  	71
	           11.9   DELAY OUTSIDE LENDER’S CONTROL
	  	71
	           11.10   ATTORNEYS’ FEES AND EXPENSES;
ENFORCEMENT
	  	72
	           11.11   IMMEDIATELY AVAILABLE FUNDS
	  	72
	           11.12   AMENDMENTS AND WAIVERS.
	  	72
	           11.13   SUCCESSORS AND ASSIGNS.
	  	74
	           11.14   CERTAIN ALLOWED DISCLOSURES
	  	75
	           11.15   CAPITAL ADEQUACY.
	  	76
	           11.16   LENDER’S AGENTS
	  	77
	           11.17   INTENTIONALLY OMITTED.
	  	77
	           11.18   WAIVER OF RIGHT TO TRIAL BY JURY
	  	77
	           11.19   SEVERABILITY
	  	77
	           11.20   TIME
	  	78
	           11.21   HEADINGS
	  	78
	           11.22   GOVERNING LAW; CHOICE OF FORUM; SERVICE OF
PROCESS
	  	78
	           11.23   USA PATRIOT ACT NOTICE; COMPLIANCE
	  	79
	           11.24   INTEGRATION; INTERPRETATION
	  	79
	           11.25   COUNTERPARTS
	  	79
	           11.26   ELECTRONIC DOCUMENT DELIVERIES
	  	79

  

			
	 SCHEDULES AND EXHIBITS

		
	SCHEDULE 1	    	 COMMITMENTS AND PRO RATA SHARES

	SCHEDULE 2	    	 PROPERTIES

	SCHEDULE 3	    	 INITIAL POOL PROPERTIES

	SCHEDULE 4	    	 PERMITTED LIENS

	SCHEDULE 5	    	 SUBSIDIARY GUARANTORS

	SCHEDULE 6	    	 EXCEPTIONS TO REPRESENTATIONS AND WARRANTIES

	SCHEDULE 7	    	 PARENT STOCK

	SCHEDULE 8	    	 LITIGATION

	SCHEDULE 9	    	 LIST OF SUBSIDIARIES AND UNCONSOLIDATED AFFILIATES

	SCHEDULE 10	    	 NEGATIVE PLEDGES

	 EXHIBIT A
	    	 PRICING GRID

  

 iv 

 Table of Contents 
  

			
	EXHIBIT B	    	DOCUMENTS
	EXHIBIT C	    	 FORM OF ASSIGNMENT AND ASSUMPTION

	EXHIBIT D	    	 FORM OF BORROWING BASE CERTIFICATE

	EXHIBIT E	    	 FORM OF COMPLIANCE CERTIFICATE

	EXHIBIT F	    	 FORM OF FACILITY INCREASE SUPPLEMENT

	EXHIBIT G	    	 FORM OF FIXED RATE NOTICE

	EXHIBIT H	    	 FORM OF NOTE

	EXHIBIT I	    	 FORM OF SWINGLINE NOTE

	EXHIBIT J	    	 FORM OF BORROWING NOTICE

	EXHIBIT K	    	 FORM OF TRANSFER AUTHORIZER DESIGNATION

	EXHIBIT L	    	 FORM OF UNENCUMBERED POOL SUPPLEMENT

  

 v 

 Loan No. 102919 
  

 CREDIT AGREEMENT 
 THIS CREDIT AGREEMENT (“Agreement”) is executed as of February 24, 2006, by and among HIGHLAND HOSPITALITY, L.P., a limited partnership formed under the laws of the State of Delaware
(“Borrower”), each of the financial institutions initially a signatory hereto (or that becomes a party hereto pursuant to a Facility Increase Supplement as herein defined) together with their respective assignees under
Section 11.13 (“Lenders”) and WELLS FARGO BANK, NATIONAL ASSOCIATION (“Wells Fargo”) as contractual representative of the Lenders to the extent and in the manner provided in Article 10 (in such
capacity, “Administrative Agent”). 
 RECITAL: 
 Borrower desires to borrow from Lenders, and Lenders agree to loan to Borrower, the amounts described below on the terms described below. 
 NOW, THEREFORE, Borrower, Administrative Agent and Lenders hereby agree as follows: 
 ARTICLE 1. DEFINITIONS 
 1.1 DEFINED TERMS. 
 The following capitalized terms used in this Agreement shall have the meanings defined or referenced below. Certain other capitalized terms used only in
specific sections of this Agreement are defined in such sections. 
 “Additional Commitment” – means a new Commitment
(in the case of an Additional Lender that is not an existing Lender) or an increase of the Commitment of a Lender (in the case of an Additional Lender that is an existing Lender), in either case made pursuant to a Facility Increase Supplement to
effect a Facility Increase in accordance with Section 2.12. 
 “Additional Lender” – means an Eligible
Assignee approved by Borrower and Administrative Agent that agrees to issue an Additional Commitment. 
 “Adjusted NOI”
– means, for any period of time for any Property, the amount by which (a) the Gross Operating Revenues of such Property for such period of time exceed (b) the Gross Operating Expenses of such Property for such period of time;
provided, however, that in the case of any Property that is owned by Borrower, Parent or any of their Subsidiaries or Unconsolidated Affiliates and leased to a lessee that is not a Subsidiary of Borrower, Parent or Unconsolidated
Affiliate, the Adjusted NOI shall be the lesser of (i) the amount determined as provided above and (ii) the actual rental payments received by Borrower, Parent or such Subsidiary or Unconsolidated Affiliate during such period. 

“Administrative Agent” – means Wells Fargo Bank, National Association, or any successor Administrative Agent appointed pursuant
to Section 10.12. 
  

 1 

 Loan No. 102919 
  

 “Advance” – means (a) an advance of Revolving Loans made, converted or
continued on the same date and, in the case of Fixed Rate Loans, as to which a single Interest Period is in effect or (b) an advance of a Swingline Loan. 
 “Affected Pool Property” – shall have the meaning given to such term in Section 7.10(a). 
 “Affiliate” – means, with respect to any Person, any other Person that, directly or indirectly, through one or more intermediaries, Controls, is Controlled by, or is under common Control with,
such Person or any Subsidiary of such Person. 
 “Affiliate Interest Expense” – means, with respect to any
Unconsolidated Affiliate, for any period of time without duplication, the Interest Expense of such Unconsolidated Affiliate and its Subsidiaries on a consolidated basis, all determined in accordance with GAAP for such period. 
 “Affiliate Net Income” – means, with respect to any Unconsolidated Affiliate for any period of time, the net income (or loss) of
such Unconsolidated Affiliate and its Subsidiaries on a consolidated basis, all determined in accordance with GAAP for such period. 
 “Aggregate Commitment” – means all of the Commitments in the aggregate. As of the date hereof, the Aggregate Commitment is in the amount of $150,000,000. 
 “Agreement” – means this Agreement, as it may hereafter be modified, amended or restated. 
 “Alternate Rate” – means a rate of interest per annum five percent (5%) in excess of the applicable Effective Rate in effect
from time to time. 
 “Applicable LIBO Rate” – means the rate of interest, rounded upward to the nearest whole multiple
of one-hundredth of one percent (0.01%), equal to the sum of: (a) the Applicable Margin plus (b) the LIBO Rate for the applicable Fixed Rate Period. 
 “Applicable Margin” – means (a) with respect to any Fixed Rate Advance, the “Applicable Margin for Fixed Rate Loans”
determined from time to time pursuant to the Pricing Grid and (b) with respect to any Variable Rate Advance, the “Applicable Margin for Variable Rate Loans” determined from time to time pursuant to the Pricing Grid. 
 “Assignee” – shall have the meaning given to such term in Section 11.13(c). 
 “Assignment and Assumption Agreement” – means an Assignment and Assumption Agreement among a Lender, an Assignee and Administrative
Agent, substantially in the form of Exhibit C. 
 “Bankruptcy Code” – means the Bankruptcy Reform Act of 1978 (11 USC
§ 101-1330) as now or hereafter amended or recodified. 
  

 2 

 Loan No. 102919 
  

 “Base Rate” – on any day means the higher of (a) the Prime Rate in effect
on that day, and (b) the Federal Funds Rate in effect on that day as announced by the Federal Reserve Bank of New York plus 0.5%. 
 “Book Value” – means, with respect to any asset, the book value of such asset as determined in accordance with GAAP. 
 “Borrower” – shall have the meaning given to such term in the preamble hereto. 
 “Borrowing
Base” – means, at any time, an amount equal to the product of (a) 55% and (b) the sum of the Operating Property Value of all Pool Properties as determined pursuant to the most recent Borrowing Base Certificate (but excepting
any Properties that have been removed from the Unencumbered Pool since the date as of which such Borrowing Base Certificate was prepared) (such sum, as it may be reduced as hereinafter provided, is herein referred to as the “Aggregate Pool
Value”), provided, however, that the Aggregate Pool Value shall exclude (if and as applicable) (i) the amount by which the sum of the Operating Property Value of all Leased Properties (other than the Plaza San Antonio
Marriott Hotel) in the Unencumbered Pool exceeds 20% of the Aggregate Pool Value, (ii) the amount by which the Operating Property Value of any single Pool Property exceeds 30% of the Aggregate Pool Value and (iii) the amount by which the
Operating Property Value of all New Properties in the Unencumbered Pool exceeds 30% of the Aggregate Pool Value. 
 “Borrowing Base
Certificate” – means a calculation of the Borrowing Base, substantially in the form of Exhibit D attached hereto and made a part hereof, signed by the chief financial officer or other authorized senior officer of Borrower.

 “Borrowing Date” – shall have the meaning given to such term in Section 2.5. 
 “Borrowing Notice” – shall have the meaning given to such term in Section 2.5. 
 “Business Day” – means any day (but not a Saturday, a Sunday or a legal holiday) on which the offices of Administrative Agent in
San Francisco, California are open to the public for carrying on substantially all of Administrative Agent’s business functions; provided that in the case of loans bearing interest at the Applicable LIBO Rate, such day is also a day on which
dealings between banks are carried on in U.S. dollar deposits in the London interbank market. Unless specifically referenced in this Agreement as a Business Day, all references to “days” shall be to calendar days. 
 “Capital Lease Obligations” of any Person means the obligations of such Person to pay rent or other amounts under any lease of (or other
arrangement conveying the right to use) real or personal property, or a combination thereof, which obligations are required to be classified and accounted for as capital leases on a balance sheet of such Person under GAAP, and the amount of such
obligations shall be the capitalized amount thereof determined in accordance with GAAP. 
 “Cash Equivalents” – means:
(a) securities issued or directly and fully guaranteed or insured by the United States Government or any agency or instrumentality thereof having 
  

 3 

 Loan No. 102919 
  

 maturities of not more than 90 days from the date of acquisition; (b) time deposits and certificates of deposit
of any Lender, or of any domestic or foreign commercial bank which has capital and surplus in excess of $500,000,000 or which has a commercial paper rating meeting the requirements specified in clause (d) below, having maturities of not
more than 90 days from the date of acquisition; (c) repurchase obligations with a term of not more than 30 days for underlying securities of the types described in clauses (a) and (b) above entered into with any bank
meeting the qualifications specified in clause (b) above; and (d) commercial paper of any Person rated at least A-2 or the equivalent thereof by S&P or P-2 or the equivalent thereof by Moody’s and in either case maturing
within 90 days after the date of acquisition. 
 “Change in Control” – means the occurrence of any one or more of the
following events: 
 (a) (i) the acquisition of ownership, directly or indirectly, beneficially or of record, by any
Person or group (within the meaning of the Securities Exchange Act of 1934 and the rules of the Securities and Exchange Commission thereunder as in effect on the date hereof), of Equity Interests representing 30% or more of the aggregate ordinary
voting power represented by the issued and outstanding Equity Interests of Parent; (ii) occupation of a majority of the seats (other than vacant seats) on the board of directors of Parent by Persons who were neither (A) nominated by the
board of directors of Parent nor (B) appointed by directors so nominated; or (iii) except as hereinafter provided, the acquisition of direct or indirect Control of Parent by any Person or group; or 
 (b) (i) at any time Parent shall cease to own (A) 51% or more of the aggregate Equity Interests of Borrower or (B) directly
or indirectly, 100% of the general partnership interests in Borrower; or (ii) except as hereinafter provided, the acquisition of direct or indirect Control of Borrower by any Person or group (other than Parent). 
 The replacement of or other changes in the officers of Parent or (other than as described in clause (a)(ii)) directors of Parent shall not
constitute a Change in Control. 
 “Code” – means the Internal Revenue Code of 1986 and the rules and regulations
promulgated thereunder, as amended, modified, succeeded or replaced from time to time. References to sections of the Code should be construed also to refer to any successor sections. 
 “Commitment” – means (a) as to each Lender, such Lender’s obligation to make Revolving Loans hereunder, in an amount up
to, but not exceeding the amount set forth for such Lender (i) on Schedule 1 attached hereto as such Lender’s “Commitment Amount” or (ii) in the applicable Assignment and Assumption Agreement or (iii) (in
the case of an Additional Lender) in the applicable Facility Increase Supplement executed by it, and as the same may be reduced from time to time pursuant to the terms of this Agreement or as appropriate to reflect any assignments to or by such
Lender effected in accordance with Section 11.13 and (b) as to the Swingline Lender, its obligation to make Swingline Loans hereunder, in an amount up to, but not exceeding $10,000,000. 
 “Compliance Certificate” – means a certificate substantially in the form of Exhibit E attached hereto and made a part
hereof, signed by the chief financial officer or other authorized senior officer of Borrower. 
  

 4 

 Loan No. 102919 
  

 “Consolidated Interest Expense” – means, for any period of time without
duplication, the Interest Expense of Parent and its Subsidiaries (including Borrower and its Subsidiaries) on a consolidated basis, all determined in accordance with GAAP for such period. 
 “Consolidated Net Income” – means, for any period of time, the net income (or loss) of Parent and its Subsidiaries (including
Borrower and its Subsidiaries) on a consolidated basis, all determined in accordance with GAAP for such period. 
 “Construction in
Process” – means any real property upon which the construction of improvements has commenced but which improvements have not yet been substantially completed. 
 “Contested Items” – shall have the meaning given to such term in Section 7.3. 
 “Control” – means the possession, directly or indirectly, of the power to direct or cause the direction of the management or
policies of a Person, whether through the ability to exercise voting power, by contract or otherwise. “Controlling” and “Controlled” have the meanings correlative thereto. 
 “Controlled Group” – means all members of a controlled group of corporations and all entities (whether or not incorporated) under
common control which, together with Parent and Borrower, are treated as a single employer under Section 414 of the Code. 
 “Debtor Relief Law” – shall have the meaning given to such term in Section 9.1(f). 
 “Default” – shall have the meaning given to such term in Section 9.1. 
 “Defaulting
Lender” – means any Lender which fails or refuses to perform its obligations under this Agreement within the time period specified for performance of such obligation or, if no time frame is specified, if such failure or refusal
continues for a period of five (5) Business Days after notice from Administrative Agent. 
 “Dollars” and
“$” – means the lawful money of the United States of America. 
 “EBITDA” – means, for any period
of time without duplication, the sum of the following: 
 (i) the sum of the following amounts: (a) Consolidated Net Income for such
period (before minority interests and preferred distributions); (b) income taxes deducted from revenues in determining such Consolidated Net Income; (c) depreciation and amortization deducted from revenues in determining such Consolidated
Net Income; (d) Consolidated Interest Expense deducted from revenues in determining such Consolidated Net Income; (e) other non-cash charges and expenses (including any write-down of assets) deducted from revenues in determining such
Consolidated Net Income; and (f) any losses arising outside of the ordinary course of business which have been included in the determination of such Consolidated Net Income; less the sum of (x) any write-up of assets included in the
determination of such Consolidated Net Income, (y) any non-cash credits included in revenues in determining such Consolidated Net Income and (z) any gains arising outside of the ordinary course of business included in the determination of
such Consolidated Net Income; plus 
  

 5 

 Loan No. 102919 
  

 (ii) the sum of the applicable Ownership Shares of the following amounts for each Unconsolidated
Affiliate: (a) Affiliate Net Income of such Unconsolidated Affiliate for such period (before minority interests and preferred distributions); (b) income taxes deducted from revenues in determining such Affiliate Net Income;
(c) depreciation and amortization deducted from revenues in determining such Affiliate Net Income; (d) Affiliate Interest Expense deducted from revenues in determining such Affiliate Net Income; (e) other non-cash charges and expenses
(including any write-downs of assets) deducted from revenues in determining such Affiliate Net Income; and (f) any losses arising outside of the ordinary course of business which have been included in the determination of such Affiliate Net
Income; less the sum of (x) any write-up of assets included in the determination of such Affiliate Net Income, (y) any non-cash credits included in revenues in determining such Affiliate Net Income and (z) any gains arising outside of
the ordinary course of business included in the determination of such Affiliate Net Income. 
 “Effective Date” – means
the date on which the Initial Advance is made hereunder. 
 “Effective Rate” – shall have the meaning given to such
term in Section 2.6(e). 
 “Eligible Assignee” – means any Person that is: (a) an existing Lender;
(b) a commercial bank, trust company, savings and loan association, savings bank, insurance company or investment bank organized under the laws of the United States of America, any state thereof or the District of Columbia, and having total
assets in excess of $5,000,000,000; or (c) a commercial bank organized under the laws of any other country which is a member of the Organization for Economic Co-operation and Development, or a political subdivision of any such country, and
having total assets in excess of $10,000,000,000, provided that such bank is acting through a branch or agency located in the United States of America. If such entity is not currently a Lender, such entity’s (or in the case of a bank which is a
subsidiary, such bank’s parent’s) senior unsecured long term indebtedness must be rated BBB or higher by S&P, Baa2 or higher by Moody’s or the equivalent or higher of either such rating by another rating agency acceptable to
Administrative Agent. 
 “Environmental Assessment” – means, with respect to any Pool Property, the environmental site
assessment of such Pool Property furnished by Borrower to Administrative Agent prior to the Effective Date (in the case of the Initial Pool Properties) or pursuant to Section 4.2(a). 
 “Equity Interests” – means shares of capital stock, partnership interests, membership interests in a limited liability company,
beneficial interests in a trust or other equity ownership interests in a Person, and any warrants, options or other rights entitling the holder thereto to purchase or acquire any such equity interests. 
 “ERISA” – means the Employee Retirement Income Security Act of 1974, as in effect from time to time. 
  

 6 

 Loan No. 102919 
  

 “Exempt Subsidiary” – means any Subsidiary of Borrower or Parent that is
prohibited by its organizational documents from acting as a Guarantor or contractually prohibited from acting as a Guarantor by the terms of any document evidencing or securing Indebtedness of Borrower, Parent or any of their Subsidiaries permitted
by the terms of this Agreement. 
 “Extended Maturity Date” – means the first anniversary of the Original Maturity
Date. 
 “Facility Increase” – shall have the meaning given to such term in Section 2.12(a). 
 “Facility Increase Supplement” – means a supplement to this Agreement, substantially in the form of Exhibit F hereto,
executed by Borrower, Administrative Agent and each Additional Lender, completed (as applicable) to reflect the terms of the Facility Increase with respect to which such supplement is executed. 
 “Federal Funds Rate” – means, for any period, a fluctuating interest rate per annum equal for each day during such period to the
weighted average of the rates on overnight Federal Funds transactions with members of the Federal Reserve System arranged by Federal Funds brokers, as published for such day (or, if such day is not a Business Day, for the next preceding Business
Day) by the Federal Reserve Bank of New York, or, if such rate is not so published for any day which is a Business Day, the average of the quotations for such day on such transactions received by Administrative Agent from three Federal Funds brokers
of recognized standing selected by Administrative Agent. 
 “FF&E” – means all furniture, fixtures, equipment and
all other items of personal property located at the Properties. 
 “Fixed Charges” – means, for any period of time,
without duplication, the sum of the following amounts: (a) Consolidated Interest Expense plus the applicable Ownership Share of Affiliate Interest Expense of all Unconsolidated Affiliates; (b) (i) all mandatory principal payments on
Indebtedness scheduled to have been made by Borrower, Parent or any of their Subsidiaries during such period plus (ii) the applicable Ownership Share of all mandatory principal payments on Indebtedness scheduled to have been made by
Unconsolidated Affiliates during such period (excluding, in the case of both clauses (i) and (ii), optional prepayments and scheduled principal payments in respect of Indebtedness payable in a single installment at maturity);
(c) (i) payments in respect of Capitalized Lease Obligations scheduled to have been made by Borrower, Parent or any of their Subsidiaries during such period plus (ii) the applicable Ownership Share of payments in respect of
Capitalized Lease Obligations scheduled to have been made by Unconsolidated Affiliates during such period; (d) dividends on any preferred stock of Parent paid or payable during such period; and (e) (i) an amount equal to four percent
(4%) of the Gross Operating Revenues during such period of each Property owned by Borrower, Parent or any of their Subsidiaries plus (ii) four percent (4%) of the applicable Ownership Share of Gross Operating Revenues during such
period of each Property owned by any Unconsolidated Affiliate. 
 “Fixed Rate” – means the Applicable LIBO Rate as
accepted by Borrower as an Effective Rate for a particular Fixed Rate Period and Fixed Rate Advance. 
  

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 Loan No. 102919 
  

 “Fixed Rate Advance” – means a Revolving Advance which Borrower selects to have
subject to a Fixed Rate in accordance herewith, each of which is an amount not less than ONE MILLION DOLLARS ($1,000,000) and is an even multiple of ONE HUNDRED THOUSAND DOLLARS ($100,000). 
 “Fixed Rate Commencement Date” – means, with respect to a particular Fixed Rate Loan, the date upon which the Fixed Rate Period
commences with respect thereto. 
 “Fixed Rate Loan” – means a Revolving Loan that comprises part of a Fixed Rate
Advance. 
 “Fixed Rate Notice” – means a written notice in the form shown on Exhibit G hereto which requests a
Fixed Rate for a particular Fixed Rate Period and Fixed Rate Portion. 
 “Fixed Rate Period” – means the period or
periods of one (1), two (2), three (3) or six (6) months selected by Borrower and confirmed in a Fixed Rate Notice; provided that no Fixed Rate Period shall extend beyond the Maturity Date. 
 “Fixed Rate Price Adjustment” – shall have the meaning given to such term in Section 2.6(h). 
 “Fixed Rate Taxes” – means, collectively, all withholdings, interest equalization taxes, stamp taxes or other taxes (except income
and franchise taxes) imposed by any domestic or foreign governmental authority and related in any manner to a Fixed Rate. 
 “Flag” – means the hotel brand name under which a Property is operated pursuant to a Franchise Agreement or Management Agreement, as applicable. 
 “Franchise Agreement” – means, with respect to a Property, the franchise or license agreement for such Property providing for the
Flag under which such Property is or will be operated, as each such agreement may hereafter be amended, supplemented, restated, replaced or otherwise modified from time to time. 
 “Franchisor” – means the franchisor or licensor under a Franchise Agreement. 
 “Funds From Operations” – means, for any period without duplication, the sum of (a) Consolidated Net Income (excluding gains
(or losses) from restructuring of debt and sales of Properties and other assets), plus depreciation and amortization (except for amortization of deferred financing costs) for such period, and (b) for each of the Unconsolidated Affiliates, the
applicable Ownership Share of Affiliate Net Income (excluding gains (or losses) from restructuring of debt and sales of Properties and other assets), plus depreciation and amortization (except for amortization of deferred financing costs) for such
period. 
 “GAAP” – means generally accepted accounting principles in effect from time to time in the United States of
America, consistently applied. 
  

 8 

 Loan No. 102919 
  

 “Governmental Authority” – means any and all courts, boards, agencies,
commissions, offices or authorities of any nature whatsoever for any governmental unit (Federal, state, county, district, municipal, city or otherwise), whether now or hereafter in existence. 
 “Gross Asset Value” – means, without duplication, the sum of (a) the following amounts with respect to the following assets
owned by Parent or any of its Subsidiaries (including Borrower and its Subsidiaries): (i) the Operating Property Value of all Properties; (ii) the amount of all Unrestricted Cash and Cash Equivalents; (iii) the Book Value of all
Construction in Process; (iv) the Book Value of all Land Held for Development; and (v) the contract purchase price for all Purchase Assets; plus (b) the applicable Ownership Share of the following amounts with respect to the following
assets owned by Unconsolidated Affiliates: (i) the Operating Property Value of all Properties; (ii) the amount of all Unrestricted Cash and Cash Equivalents; (iii) the Book Value of all Construction in Process; (iv) the Book
Value of all Land Held for Development; and (v) the contract purchase price for all Purchase Assets. 
 “Gross Operating
Expenses” – means, with respect to any Property for any period of time (and as determined in accordance with GAAP), the normal and customary expenses incurred operating such Property for said period of time. Notwithstanding the
foregoing, said expenses shall include, without limitation, (a) management fees equal to the greater of (i) three percent (3%) of the Gross Operating Revenues of such Property for such period of time and (ii) the actual
management fees incurred under the applicable Management Agreement with respect to such Property for such period of time, (b) a reserve for FF&E equal to the greater of (i) four percent (4%) of Gross Operating Revenues of such
Property for such period of time and (ii) the actual reserves for FF&E required under the applicable Management Agreement or Franchise Agreement for such Property for such period of time; and (c) reasonable reserves for real estate
taxes and insurance for such Property for such period of time. Notwithstanding the foregoing, “Gross Operating Expenses” shall not include (A) amortization, depreciation or any other similar expense of a noncash nature,
(B) income taxes, (C) the payment of principal or interest due on any Indebtedness or (D) rent payable under any Operating Lease. 
 “Gross Operating Revenues” – means, with respect to any Property for any period of time (and as determined in accordance with GAAP), all receipts, revenues, income and proceeds of sales of every kind actually received
in connection with the operation of such Property, and shall include, without limitation: room rentals; amounts received in connection with the sale of food and liquor; rent or other payments received from tenants, licensees, and occupants of
commercial, office and retail space; revenues received in connection with leases of space for antennae, satellite dishes, microwave towers and other telecommunication towers; the proceeds of insurance with respect to use and occupancy or business
interruption insurance; deposits forfeited and not refunded; and any amount (net of associated legal fees and expenses) recovered in any legal action or proceeding or settlement thereof pertaining to room revenues or rents or other income which
arose out of the operation of such Property. Notwithstanding the foregoing, Gross Operating Revenues shall exclude all sales and excise taxes and any similar taxes collected as direct taxes payable to taxing authorities; credits or refunds to
guests; value of complimentary rooms; proceeds of insurance (except for proceeds of insurance with respect to use and occupancy or business interruption insurance); proceeds of sales of depreciable property; proceeds of condemnation; and rent paid
under any Operating Lease. 
  

 9 

 Loan No. 102919 
  

 “Ground Lease” – means a lease or sublease of land underlying a Property or a
portion thereof between a third party as landlord and Borrower, Parent, any of their Subsidiaries, or an Unconsolidated Affiliate (as the case may be), as tenant. 
 “Guaranties” – means Parent Guaranty and the Subsidiary Guaranty. 
 “Guarantors” – means Parent and the Subsidiary Guarantors. 
 “Hazardous Materials” –
shall have the meaning given to such term in Section 6.1(a). 
 “Hazardous Materials Claims” – shall have
the meaning given to such term in Section 6.1(c). 
 “Hazardous Materials Laws” – shall have the meaning
given to such term in Section 6.1(b). 
 “Hotel” – means either a full-service hotel, a limited-service
hotel or an extended-stay hotel, including any related resort facilities. 
 “Indebtedness” – means, for any Person,
without duplication: (a) all indebtedness of such Person for borrowed money, for amounts drawn under a letter of credit, or for the deferred purchase price of property for which such Person or its assets are liable, (b) all amounts
required to be paid by such Person as a guaranteed payment to its partners and/or members or a preferred dividend, including any mandatory redemption of shares or interests, (c) all indebtedness guaranteed by such Person, directly or
indirectly, (d) all Capital Lease Obligations of such Person, (e) all obligations of such Person under any Swap Agreement, and (f) all liabilities of the type described in clauses (a) through (e) above of any
partnership of which such Person is a general partner, in each case whether such Person is liable contingently or otherwise, as obligor, guarantor or otherwise, or in respect of which obligations such Person otherwise assures a creditor against
loss; in each case excluding all trade payables and other similar operating liabilities incurred in the ordinary course of business. 
 “Indemnified Parties” – shall have the meaning given to such term in Section 6.4. 
 “Initial Advance” – means the first Advance made under this Agreement on the Effective Date. 
 “Initial Pool Properties” – means those Properties identified in Schedule 3 hereto which constitute the Unencumbered Pool as of the Effective Date. 
 “Interest Expense” – means for any Person for any period of time, without duplication: (a) all accrued, paid or capitalized
interest (excluding capitalized interest funded from an interest reserve) incurred by such Person and (b) all accrued, paid or capitalized interest (excluding capitalized interest funded from an interest reserve) incurred on any Indebtedness to
the extent such Person is liable therefor under any repayment, interest carry, performance or other guaranty. 
 “Interest
Law” – shall have the meaning given to such term in Section 2.15. 
  

 10 

 Loan No. 102919 
  

 “Investment” of a Person means any loan, advance (other than commission, travel and
similar advances to officers and employees made in the ordinary course of business), extension of credit (other than accounts receivable arising in the ordinary course of business on terms customary in the trade) or contribution of capital by such
Person; stocks, bonds, mutual funds, partnership interests, notes, debentures or other securities owned by such Person; any deposit accounts and certificates of deposit owned by such Person; and structured notes, derivative financial instruments and
other similar instruments or contracts owned by such Person. 
 “Land Held for Development” – means land acquired and
held for future development but which does not constitute Construction in Process. 
 “Leased Property” – means any
Property of which all or any part is subject to a Ground Lease. 
 “Lender” – means each financial institution from
time to time party hereto as a “Lender” (including any Additional Lender), together with its respective successors and permitted assigns. With respect to matters requiring the consent or approval of all Lenders at any given time, all then
existing Defaulting Lenders will be disregarded and excluded, and, for voting purposes only, “all Lenders” shall be deemed to mean “all Lenders other than Defaulting Lenders.” 
 “Leverage Ratio” – means, at any date of determination, the ratio (expressed as a percentage) of (a) Total Liabilities at such
date to (b) Gross Asset Value at such date. 
 “LIBO Rate” – is the rate of interest, rounded upward to the
nearest whole multiple of one-sixteenth of one percent (0.0625%), quoted by Administrative Agent from time to time as the London Inter-Bank Offered Rate for deposits in U.S. Dollars at approximately 9:00 A.M. Pacific time, two (2) Business Days
prior to a Fixed Rate Commencement Date or a Price Adjustment Date, as appropriate, for purposes of calculating effective rates of interest for loans or obligations making reference thereto for an amount approximately equal to a Fixed Rate Advance
and for a period of time approximately equal to a Fixed Rate Period or the time remaining in a Fixed Rate Period after a Price Adjustment Date, as appropriate. 
 “Lien” – means any mortgage, deed of trust, pledge, hypothecation, assignment, security interest, encumbrance (including, but not limited to, easements, rights-of-way and the like), lien
(statutory or other), springing lien, or other security agreement of any kind or nature whatsoever, including without limitation any conditional sale or other title retention agreement, the interest of a lessor under a capital lease, any financing
lease having substantially the same economic effect as any of the foregoing, the filing of any financing statement or document having similar effect (other than a financing statement filed by a “true” lessor pursuant to Section 9408
(or a successor section) of the Uniform Commercial Code) naming the owner of the asset to which such Lien relates as debtor, under the Uniform Commercial Code or other comparable law of any jurisdiction, and any restriction on transferability or
assignability. 
 “Loan” – means a Revolving Loan or a Swingline Loan. 
 “Loan Documents” – means those documents, as hereafter amended, supplemented, replaced or modified, properly executed and listed in
Exhibit B as “Loan Documents,” and each Note, Facility Increase Supplement, Unencumbered Pool Supplement and Supplemental Guaranty executed after the Effective Date. 
  

 11 

 Loan No. 102919 
  

 “Loan Party” – means Borrower, Parent, each Subsidiary Guarantor and each
Subsidiary GP. 
 “Major Agreements” – means, with respect to any Pool Property, the Franchise Agreement, the
Management Agreement and the Ground Lease (if any) for such Pool Property. 
 “Majority Lenders” – means, as of any
date, Lenders (which must include the Lender then acting as Administrative Agent) having at least 51% of the Aggregate Commitment, or, if the Commitments have been terminated or reduced to zero, Lenders holding at least 51% of the Revolving Credit
Exposure, provided that (a) in determining such percentage at any given time, all then existing Defaulting Lenders will be disregarded and excluded and such percentage will be determined solely with respect to Lenders that are not
Defaulting Lenders, and (b) at all times when two or more Lenders are party to this Agreement, the term “Majority Lenders” shall in no event mean less than two Lenders. 
 “Management Agreement” – means with respect to a Property, the management agreement for such Property, as each said agreement may
hereafter be amended, supplemented, restated, replaced or otherwise modified from time to time. If a Management Agreement also includes the license or franchise for the operation under the Manager’s Flag, such Management Agreement shall also
constitute a Franchise Agreement and such Manager shall also constitute a Franchisor. 
 “Manager” – means, with
respect to a Property, the manager under the Management Agreement for such Property. If a Management Agreement also includes the license or franchise for the operation under the Manager’s Flag, such Management Agreement shall also constitute a
Franchise Agreement and such Manager shall also constitute a Franchisor. 
 “Material Adverse Change” – means a
material adverse change in the business, financial condition, or results of operations of (i) Borrower, (ii) Parent or (iii) Parent and its Subsidiaries (including Borrower and its Subsidiaries), taken as a whole, in each case since
the date of the most recent financial statements furnished pursuant to Section 8.1(a) or (b) (as applicable), or, until such financial statements are furnished, the consolidated unaudited financial statements of Parent dated
September 30, 2005. 
 “Material Indebtedness” – means Indebtedness (other than the Loans) of any one or more of
Borrower, Parent and the Subsidiary Guarantors in an aggregate principal amount exceeding (a) $10,000,000 in the case of Recourse Indebtedness or (b) $25,000,000 in the case of any Indebtedness consisting of either (i) solely
Non-Recourse Indebtedness or (ii) both Recourse Indebtedness and Non-Recourse Indebtedness). 
 “Maturity Date” –
means the Original Maturity Date, as the same may be extended to the Extended Maturity Date pursuant to Section 2.14 hereof. 
 “Maximum Interest Rate” – shall have the meaning given to such term in Section 2.15. 
  

 12 

 Loan No. 102919 
  

 “Moody’s” – means Moody’s Investor Services, Inc. 
 “Multiemployer Plan” – means a “multiemployer plan” as defined in Section 4001(a)(3) of ERISA to which Parent,
Borrower or any member of a Controlled Group is making or accruing an obligation to make contributions. 
 “New Property”
– means (a) each Property designated as such in Schedule 2 hereto and (b) each Property acquired by Borrower, Parent or any of their Subsidiaries, or any Unconsolidated Affiliate (as the case may be), after the Effective Date
that is designated as a “New Property” pursuant to Article 4 hereof, provided, however, that, upon the Seasoned Date for any New Property, such New Property shall be converted to a Seasoned Property and shall cease to
be a New Property. 
 “New Property Ratio” – means, at any date of determination, the ratio of (a) the sum of
(i) the aggregate Operating Property Value of all New Properties owned by Borrower, Parent or any of their Subsidiaries and (ii) the aggregate amount of the applicable Ownership Share of the Operating Property Value of each New Property
owned by any Unconsolidated Affiliate to (b) the sum of (i) the aggregate Operating Property Value of all Properties owned by Borrower, Parent and their Subsidiaries and (ii) the aggregate amount of the applicable Ownership Share of
the Operating Property Value of all Properties owned by Unconsolidated Affiliates. 
 “Non-Pro Rata Advance” – means an
Advance with respect to which fewer than all Lenders have funded their respective Pro Rata Shares of such Advance in breach of their obligations under this Agreement. 
 “Non-Recourse Indebtedness” – means, with respect to any Person, any Indebtedness of such Person for which the owner of such Indebtedness has no recourse, directly or indirectly, to such Person
for the principal of, premium, if any, and interest on such Indebtedness, and for which such Person is not directly or indirectly obligated or otherwise liable for the principal of, premium, if any, and interest on such Indebtedness, except pursuant
to Liens on assets to which such Indebtedness relates, provided that recourse obligations or liabilities solely for fraud, environmental matters and other customary “non-recourse carve-outs” in respect of any Indebtedness will not
prevent Indebtedness from being classified as Non-Recourse Indebtedness. 
 “Note” or “Notes” – means
each Promissory Note (substantially in the form of Exhibit H hereto) executed by Borrower and payable to the order of a Lender in the amount of its Commitment, together with such other replacement notes as may be issued from time to time
pursuant to Section 11.13, as the same may be amended, supplemented, replaced or modified. 
 “Operating Lease”
– means, with respect to a Property, the operating lease of such Property between Borrower, Parent or the Subsidiary that owns such Property (as lessor) and an Operating Lessee (as lessee), as each such lease may hereafter be amended,
supplemented, restated, replaced or otherwise modified from time to time. 
 “Operating Lessee” – means a Subsidiary of
Borrower that operates a Property of Borrower, Parent or any of their Subsidiaries pursuant to an Operating Lease. 
  

 13 

 Loan No. 102919 
  

 “Operating Property Value” – means, at any date of determination, (a) for
each Seasoned Property, (i) the Adjusted NOI for such Property divided by (ii) nine percent (9%), and (b) for each New Property, the Property Investment for such Property. 
 “Option to Extend” – shall have the meaning given to such term in Section 2.14. 
 “Original Maturity Date” – means February 23, 2009. 
 “Organizational Documents”—means, with respect to any Person, such Person’s articles or certificate of incorporation,
formation or limited partnership, bylaws, operating agreement, partnership agreement or other comparable documents. 
 “Other Related
Documents” – means those documents, as hereafter amended, supplemented, restated, replaced or otherwise modified from time to time, properly executed and listed in Exhibit B as “Other Related Documents,” all in form
and substance reasonably acceptable to Administrative Agent. 
 “Ownership Share” – means, with respect to any
Unconsolidated Affiliate, the percentage of Equity Interests of such Unconsolidated Affiliate owned by Borrower, Parent or any of their Subsidiaries. 
 “Parent” – means Highland Hospitality Corporation, a Maryland corporation and a limited partner of Borrower. 
 “Parent Guaranty” – means the guaranty executed by Parent and identified in Exhibit B, as such guaranty may hereafter be amended, supplemented, restated, replaced or otherwise modified
from time to time. 
 “Participant” – shall have the meaning given to such term in Section 11.13.

 “PBGC” – means the Pension Benefit Guaranty Corporation or any entity succeeding to any or all of its functions
under ERISA. 
 “Permit” – means any permit, approval, authorization, license, variance or permission required from a
Governmental Authority under an applicable Requirement of Law. 
 “Permitted Liens” – means: 
  

	 	(a)	Liens (other than environmental Liens and any Lien imposed under ERISA) for taxes, assessments or charges of any Governmental Authority not yet due; 

  

	 	(b)	Any laws, ordinances or regulations affecting the applicable Property; 

  

	 	(c)	Liens imposed by laws, such as mechanics’ liens and other similar liens, arising in the ordinary course of business which secure payment of obligations not more than sixty
(60) days past due; 

  

 14 

 Loan No. 102919 
  

	 	(d)	Easements, zoning restrictions, rights-of-way and similar encumbrances on real property imposed by law or arising in the ordinary course of business that (in the case of any Pool
Property) do not secure Indebtedness and (in any case) do not materially detract from the value of the affected Property or interfere with the ordinary conduct of business of Borrower, Parent or any of their Subsidiaries or Unconsolidated
Affiliates; 

  

	 	(e)	In the case of any Property that is not a Pool Property, Liens against such Property (i) securing Indebtedness not otherwise prohibited hereunder or (ii) permitted under
the documents evidencing or securing such Indebtedness; 

  

	 	(f)	Attachment or judgment Liens not in excess of $5,000,000 in the aggregate for all Properties or $250,000 for any one Pool Property (exclusive of (i) any amounts that are duly
bonded to the satisfaction of Administrative Agent in its reasonable discretion or (ii) any amount covered by insurance to the satisfaction of Administrative Agent in its reasonable discretion); 

  

	 	(g)	Deposits or pledges to secure obligations under workmen’s compensation, social security or similar laws, or under unemployment insurance; 

  

	 	(h)	Deposits or pledges to secure bids, tenders, contracts (other than contracts for payment of money), leases, regulatory or statutory obligations, surety and appeal bonds and other
obligations of like nature arising in the ordinary course of business; 

  

	 	(i)	the Liens granted to the Administrative Agent and the Lenders under the Loan Documents; 

  

	 	(j)	Liens listed on Schedule 4 hereto; 

  

	 	(k)	Liens on leased personal property to secure the lease obligations associated with such property; and 

  

	 	(l)	Any other matters from time to time approved in writing by Administrative Agent (but specifically excluding, in the case of any Pool Property, Liens securing monetary obligations).

 “Person” – means any natural person, corporation, limited partnership, general partnership, joint
stock company, limited liability company, limited liability partnership, joint venture, association, company, trust, bank, trust company, land trust, business trust or other organization, whether or not a legal entity, or any other nongovernmental
entity, or any Governmental Authority. 
 “Plan” – means any employee pension benefit plan (other than a Multiemployer
Plan) subject to the provisions of Title IV of ERISA or Section 412 of the Code or Section 302 of ERISA, and in respect of which Parent, Borrower or any member of a Controlled Group is (or, if such plan were terminated, would under
Section 4069 of ERISA be deemed to be) an “employer” as defined in Section 3(5) of ERISA. 
  

 15 

 Loan No. 102919 
  

 “Pool Property” – means at any time any Property that is included in the
Unencumbered Pool at such time. 
 “Potential Default” - means an event, circumstance or condition which, with the giving of
notice or the lapse of time, or both, would constitute a Default. 
 “Price Adjustment Date” – shall have the meaning
given to such term in Section 2.6(h). 
 “Pricing Grid” – means the grid attached hereto as Exhibit
A pursuant to which the Applicable Margins are determined hereunder. 
 “Prime Rate” – means a base rate of
interest which Administrative Agent publishes from time to time and which serves as the basis upon which the effective rates of interest are calculated for those loans making reference thereto. Any change in an effective rate due to a change in the
Prime Rate shall become effective on the day each such change is announced by Administrative Agent at its principal office in San Francisco, California. 
 “Prior Loan Agreement” – means that certain Loan Agreement dated December 21, 2004 among HH LC Portfolio LLC, a Delaware limited liability company and HH Texas Hotel Associates L.P., a
Delaware limited partnership (each, a wholly-owned Subsidiary of Borrower), Wells Fargo Bank, as administrative agent, and the lenders party thereto. 
 “Pro Rata Share” – means, as to each Lender, the ratio, expressed as a percentage, of (a) the amount of such Lender’s Commitment to (b) the Aggregate Commitment hereunder;
provided, however, that if at the time of determination the Commitments have terminated or been reduced to zero, the “Pro Rata Share” of each Lender shall be the Pro Rata Share of such Lender in effect immediately prior to
such termination or reduction. 
 “Property” – means a Hotel that is wholly owned (including a Hotel located on land
leased or subleased pursuant to a Ground Lease) by Borrower, Parent or any of their Subsidiaries or Unconsolidated Affiliates. 
 “Property Investment” – means, at the time of determination thereof with respect to any New Property, the sum of (a) (i) in the case of any New Property listed on Schedule 2 hereto, the applicable
amount set forth on Schedule 2 (which amount consists of the applicable purchase price plus the transaction costs incurred by the applicable purchaser to purchase such Property) or (ii) in the case of any New Property acquired after the
Effective Date, the aggregate purchase price paid by Borrower, Parent or the applicable Subsidiary or Unconsolidated Affiliate for such Property (including the fair market value (determined at the time of purchase) of any securities used to purchase
such Property and the amount of any assumed Indebtedness) plus the transaction costs incurred by the applicable purchaser and (b) the amount (if any) by which (i) expenditures for capital improvements at such Property incurred by Borrower,
Parent, or such Subsidiary or Unconsolidated Affiliate of Borrower or Parent (as applicable) that owns such Property after its acquisition of such Property and through and including such date of determination exceed (ii) an amount equal to four
percent (4%) of the Gross Operating Revenues of such Property after such acquisition through and including such date of determination. 
  

 16 

 Loan No. 102919 
  

 “Purchase Assets” – means, at any time for any Person, any asset that such
Person is obligated to purchase or repurchase, which obligation is included in such Person’s Purchase Obligations. 
 “Purchase
Obligations” – means, at any time for any Person, such Person’s obligations to purchase or repurchase from any other Person any assets, including without limitation commitments to make Equity Investments. 
 “Qualified Flag” – means a Flag described in the definition of “Qualified Franchisor.” 
 “Qualified Franchisor” – means either (a) with respect to an Initial Pool Property, the franchisor of such Property with
respect to the Flag under which it is operated as of the Effective Date; (b) Hyatt Corporation, Hilton Inns, Inc., Marriott International, Inc., Westin Hotel Company, Sheraton Operating Corporation, Inter Continental or Ritz Carlton, in each
case with respect to any Flag that it licenses as of the Effective Date or any other Flag approved by Administrative Agent in its reasonable judgment; (c) in the reasonable judgment of Administrative Agent, a reputable and experienced
franchisor (which may be an Affiliate of Borrower) possessing, directly or through its Affiliates, experience in flagging hotel properties similar in size, scope, use and value as the Properties but solely with respect to such Flag or Flags as may
be approved by Administrative Agent in its reasonable judgment; or (d) any other franchisor or licensor approved by the Requisite Lenders but solely with respect to such Flag or Flags as may be approved by the Requisite Lenders. 
 “Qualified Manager” – means either (a) with respect to an Initial Pool Property, the Manager of such Property on the Effective
Date; (b) Westin Hotel Company, Sheraton Operating Corporation, Marriott International, Inc., Hilton Inns, Inc., Starwood Worldwide Resorts, Inc., Inter Continental or Ritz Carlton, (c) in the reasonable judgment of Administrative Agent, a
reputable management organization (which may be an Affiliate of Borrower) having at least five (5) years’ experience in the management of hotels with similar uses as the Properties, and in the jurisdictions in which the Properties are
located, which (x) at the time of its engagement is managing and has, for at least five (5) years prior to its engagement as Manager, managed at least five (5) properties of the same property type as the Properties, and (y) is
not, nor is any entity that Controls such Person, the subject of a bankruptcy or similar insolvency proceeding or (d) any other hotel manager approved by the Requisite Lenders. 
 “Recourse Indebtedness” – means, with respect to any Person, any Indebtedness of such Person that is not Non-Recourse Indebtedness.

 “Regulatory Costs” – means, collectively, any reserve requirements (including any requirements under Regulation D or
other regulations from time to time in effect concerning reserves for Eurocurrency Liabilities as defined in Regulation D from related institutions as though Administrative Agent were in a net borrowing position, as promulgated by the Board of
Governors of the Federal Reserve System, or its successor), assessment rates imposed by the Federal Deposit Insurance Corporation, or similar requirements or costs imposed by any domestic or foreign governmental authority and related in any manner
to a Fixed Rate. 
 “REIT” – means a real estate investment trust under Sections 856-860 of the Code. 
  

 17 

 Loan No. 102919 
  

 “Removal Event” – shall have the meaning given to such term in
Section 4.3(a). 
 “Reportable Event” – means any of the events set forth in Section 4043(b) of ERISA.

 “Requirements of Law” – means, as to any Person, the charter and by-laws, partnership agreement or other
organizational or governing documents of such entity, and any law, rule or regulation, Permit, or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or binding upon such Person or any of its
property or to which such Person or any of its property is subject, including without limitation, applicable securities laws and any certificate of occupancy, zoning ordinance, building, environmental or land use requirement or Permit or
occupational safety or health law, rule or regulation. 
 “Requisite Lenders” – means, as of any date, Lenders (which
must include the Lender then acting as Administrative Agent) having at least 66 2/3% of the Aggregate Commitment,
or, if the Commitments have been terminated or reduced to zero, Lenders holding at least 66 2/3% of the Revolving
Credit Exposure, provided that (a) in determining such percentage at any given time, all then existing Defaulting Lenders will be disregarded and excluded and such percentage will be determined solely with respect to Lenders that are not
Defaulting Lenders, and (b) at all times when two or more Lenders are party to this Agreement, the term “Requisite Lenders” shall in no event mean less than two Lenders. 
 “Restricted Payment” – means the making by any Person of any dividends or other distributions (in cash, property, or otherwise) on,
or payment for the purchase, redemption or other acquisition of, any shares of any capital stock, any limited liability company interests or any partnership interests of such Person, other than (i) dividends or distributions payable in
such Person’s stock, limited liability company interests or any partnership interests and (ii) payment of cash proceeds received from the issuance of stock of such Person for the purchase, redemption or acquisition of a different class of
such Person’s stock. 
 “Revolving Advance” – means an advance of Revolving Loans made by Lenders pursuant to
Section 2.1 in their respective Pro Rata Shares of such Advance, or a continuation or conversion of such Advance. 
 “Revolving Credit Exposure” – means, with respect to any Lender at any time, the sum of the outstanding principal amount of such Lender’s Revolving Loans and its Swingline Exposure at such time. 
 “Revolving Loan” – means a Loan made by a Lender pursuant to Section 2.1 or a continuation or conversion of such Loan.

 “S&P” – means Standard and Poor’s Rating Services, a division of The McGraw Hill Companies, Inc.

 “Seasoned Date” – means (a) with respect to each New Property identified in Schedule 2, the date so
designated in Schedule 2, (b) in the case of a New Property acquired after the Effective Date, (i) the last day of the fourth calendar quarter following the date on which such Property was acquired by Borrower, Parent or the
applicable Subsidiary or Unconsolidated 
  

 18 

 Loan No. 102919 
  

 Affiliate or (ii) such later date as may be designated either by Administrative Agent pursuant to
Section 4.1 or in an Unencumbered Pool Supplement or (c) in any case, such earlier date as may be designated by Borrower pursuant to Section 4.4. 
 “Seasoned Property” – means (a) each Property designated as such in Schedule 2 hereto, (b) each Property acquired
by Borrower, Parent or any of their Subsidiaries or Unconsolidated Affiliates (as the case may be) after the Effective Date (unless designated as a New Property either by Administrative Agent pursuant to Section 4.1 or in an Unencumbered
Pool Supplement) and (c) upon the occurrence of the Seasoned Date of any New Property, such Property. 
 “Secured Debt”
– means, at any time, (a) all Indebtedness of Borrower, Parent or any of their Subsidiaries that is secured by a Lien on any real property (including any leasehold), (b) Indebtedness in the original principal amount of $25,000,000
under the Loan Agreement dated as of August 19, 2004 between HH FP Portfolio Holding LLC and JPMorgan Chase Bank and (c) the applicable Ownership Share of all Indebtedness of all Unconsolidated Affiliates that is secured by a Lien on any
real property (including any leasehold). Indebtedness (other than the Indebtedness described in clause (b) above) that is secured by a Lien on any Equity Interest or other assets but not by a Lien on any real property (including any
leasehold) shall not constitute Secured Debt. 
 “Subsidiary” – means, with respect to any Person (the
“parent”) at any date, any corporation, limited liability company, partnership, association or other entity of which securities or other ownership interests representing more than 50% of the equity or more than 50% of the ordinary
voting power or, in the case of a partnership, more than 50% of the general partnership interests are, as of such date, owned, Controlled or held by the parent. 
 “Subsidiary GP” – means, with respect to any Subsidiary Guarantor that is a limited partnership, the general partner(s) of such Subsidiary Guarantor. 
 “Subsidiary Guarantors” – means the entities identified in Schedule 5 hereto and each other Subsidiary of Borrower or Parent
that shall, from time to time, deliver a Supplemental Guaranty pursuant to Section 7.17(a) but excluding (i) any entity that is released from the Subsidiary Guaranty pursuant to Section 7.17(b), (ii) HHC TRS Mexico,
S. De R.L. De C.V. and (iii) HHC TRS Tampa LLC. 
 “Subsidiary Guaranty” – means the guaranty executed by the
Subsidiary Guarantors and identified in Exhibit B, as such guaranty may hereafter be amended, supplemented (including, without limitation, by a Supplemental Guaranty), restated, replaced or otherwise modified from time to time. 
 “Subsidiary Managing Member” – means, with respect to any Subsidiary Guarantor that is a limited liability company, the managing
member(s) of such Subsidiary Guarantor. 
 “Supplemental Guaranty” – means a Supplemental Guaranty substantially in the
form provided for in, and attached to, the Subsidiary Guaranty. 
  

 19 

 Loan No. 102919 
  

 “Swap Agreement” – means any agreement with respect to any swap, forward,
future or derivative transaction or option or similar agreement involving, or settled by reference to, one or more rates, currencies, commodities, equity or debt instruments or securities, or economic, financial or pricing indices or measures of
economic, financial or pricing risk or value or any similar transaction or any combination of these transactions. 
 “Swingline
Exposure” – means, at any time, the aggregate principal amount of all Swingline Loans outstanding at such time. The Swingline Exposure of any Lender at any time shall be its Pro Rata Share of the total Swingline Exposure at such time.

 “Swingline Lender” – means Wells Fargo Bank in its capacity as lender of Swingline Loans hereunder. 
 “Swingline Loan” – means a Loan made by the Swingline Lender pursuant to Section 2.10. 
 “Swingline Note” – means a Promissory Note (substantially in the form of Exhibit I hereto) executed by Borrower and payable
to the order of Swingline Lender in the amount of $10,000,000. 
 “Tangible Net Worth” – means, as of any date, the
total consolidated stockholders’ equity of Parent, plus increases in accumulated depreciation and amortization accrued after the Effective Date, minus (to the extent reflected in determining such stockholders’ equity): (a) the amount
of any write-up in the book value of any assets contained in any balance sheet resulting from revaluation thereof or any write-up in excess of the cost of such assets acquired and (b) the aggregate of all amounts appearing on the assets side of
any such balance sheet for franchises, licenses, permits, patents, patent applications, copyrights, trademarks, trade names, goodwill, treasury stock, experimental or organizational expenses and other like assets which would be classified as
intangible assets under GAAP, all determined on a consolidated basis for Parent and its consolidated Subsidiaries. 
 “Termination
Event” – means (a) the occurrence of a Reportable Event with respect to a Plan, as described in Section 4043 of ERISA and the regulations issued thereunder (other than a Reportable Event not subject to the provision for
30-day notice to the PBGC under such regulations), (b) the withdrawal of Parent, Borrower or any of a Controlled Group from a Plan during a plan year in which it was a “substantial employer” as defined in Section 4001(a)(2) of
ERISA, (c) the giving of a notice of intent to terminate a Plan under Section 4041(c) of ERISA, (d) the institution of proceedings to terminate a Plan by the PBGC, or (e) any other event or condition which constitutes grounds
under Section 4042 of ERISA for the termination of, or the appointment of a trustee to administer, any Plan. 
 “Total
Liabilities” – means, at any date, without duplication, the sum of (a) Indebtedness of Parent and its Subsidiaries (including Borrower and its Subsidiaries) on a consolidated basis; (b) trade payables and other similar
liabilities of Parent and its Subsidiaries (including Borrower and its Subsidiaries) incurred in the ordinary course of business in excess of $10,000,000 in the aggregate; (c) Purchase Obligations of Parent and its Subsidiaries (including
Borrower and its Subsidiaries; and (d) the aggregate amount of the applicable Ownership Shares of the 
  

 20 

 Loan No. 102919 
  

 Indebtedness and Purchase Obligations of each Unconsolidated Affiliate, minus, to the extent included in the
calculation of any of the preceding clauses (a) or (d), Indebtedness (or, in the case of any Unconsolidated Affiliate, the applicable Ownership Share of Indebtedness) that has been defeased in accordance with the loan documents
evidencing such Indebtedness and for which Borrower certifies as to such defeasance in a manner satisfactory to Administrative Agent in its reasonable judgment. 
 “Unconsolidated Affiliate” – means any entity in which Borrower, Parent or any of their Subsidiaries owns at least a ten percent (10%) Equity Interest but that is not a Subsidiary of
Borrower, Parent or any of their Subsidiaries and whose financial results would not be consolidated under GAAP with the financial results of Parent on the consolidated financial statements of Parent. 
 “Unencumbered Adjusted NOI” – means, for any period, the Adjusted NOI of all Pool Properties for such period. 
 “Unencumbered Pool” – means, collectively, (a) the Initial Pool Properties and (b) those Properties wholly owned by
Borrower, Parent or a Wholly-Owned Guarantor that are located in the United States of America and that are hereafter designated by Borrower, and approved in writing by the Requisite Lenders, for inclusion in the Unencumbered Pool pursuant to
Section 4.2, each of which (both clauses (a) and (b)) satisfies, as of the Effective Date (in the case of each Initial Pool Property) or the date on which any other Property is first included in the Unencumbered Pool
(in the case of each such other Property), the following criteria and has not been removed from the Unencumbered Pool pursuant to Section 4.3: 
 (i) Such Property is not subject to any Lien (other than Permitted Liens); 
 (ii) Neither
Borrower nor Parent nor any of their Subsidiaries shall have entered into or be a party or subject to any agreement (other than the Loan Documents) (A) prohibiting or limiting the right to grant any Lien on such Property, (B) pledging any
Equity Interest in the entity that owns such Property or in any Person that directly or indirectly owns any Equity Interest in the entity that owns such Property or (C) entitling any Person to the benefit of any Lien (other than Permitted
Liens) on such Property or that would entitle any Person to the benefit of such Lien upon the occurrence of any contingency (such as, by way of example, an “equal and ratable” provision); 
 (iii) If such Property is a Leased Property, (A) the Ground Lease therefor shall have been approved by Administrative Agent,
(B) no default by the lessee shall exist under such Ground Lease, and (C) if required by the Adminstrative Agent in its discretion, Administrative Agent shall have received from the landlord an estoppel certificate reasonably satisfactory
to Administrative Agent; 
 (iv) Neither all nor any material portion of such Property shall be the subject of any proceeding
by any Governmental Authority for the condemnation or taking thereof by eminent domain or of any negotiations for the sale thereof in lieu of a condemnation or taking; 
  

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 Loan No. 102919 
  

 (v) The Manager (unless it is a Qualified Manager), Management Agreement, Franchisor
(unless it is a Qualified Franchisor), Flag (unless it is a Qualified Flag) and Franchise Agreement for such Property shall have been approved by the Requisite Lenders; 
 (vi) Such Property is free of all material structural defects, and Administrative Agent shall have received and approved a current (except
in the case of the Initial Pool Properties) property condition report evidencing that such Property is free of all material structural defects; 
 (vii) Such Property is free of any Liens (other than Permitted Liens) and other material title defects and Administrative Agent shall have received and approved a current (except in the case of the Initial Pool
Properties) title insurance policy (or irrevocable commitment to issue such a policy) evidencing that such Property is free of any Liens (other than Permitted Liens) and other material title defects; and 
 (viii) Such Property is in compliance with all applicable Hazardous Materials Laws and free of any material Hazardous Material Claims, and
Administrative Agent shall have received and approved a current (except in the case of the Initial Pool Properties) Environmental Assessment that evidences that such Property does not contain any “recognized environmental conditions” (as
defined by ASTM E1527.05). 
 A physical condition report, Environmental Assessment or title insurance policy or commitment shall be deemed
“current” if dated not earlier than two years prior to the date of Borrower’s applicable notice under Section 4.2(a). 
 “Unencumbered Pool Supplement” – shall have the meaning given in Section 4.2(b). 
 “Uniform System” – shall have the meaning given in the definition of “Gross Operating Expenses.” 
 “Unrestricted Cash and Cash Equivalents” – means, with respect to any Person, all cash and Cash Equivalents of such Person that are not subject to any Lien and that such Person has the free and unrestricted right to
use without the consent or approval of any other Person. 
 “Unsecured Debt” – means at any time (a) all
Indebtedness of Borrower, Parent or any of their Subsidiaries that is not Secured Debt and (b) the applicable Ownership Share of all Indebtedness of all Unconsolidated Affiliates that is not Secured Debt. For avoidance of doubt, the
Indebtedness described in clause (b) of the definition of “Secured Debt” does not constitute Unsecured Debt. 
 “Unsecured Interest Expense” – means, for any period, Consolidated Interest Expense for such period, but excluding interest incurred on Secured Debt. 
 “Unused Fee” – shall have the meaning given to such term in Section 2.2(a). 
  

 22 

 Loan No. 102919 
  

 “Variable Rate” – on any day means a floating rate at interest per annum equal
to the sum of (a) the Base Rate then in effect and (b) the Applicable Margin. 
 “Variable Rate Advance” –
means a Revolving Advance bearing interest at the Variable Rate. 
 “Variable Rate Loan” – means a Revolving Loan that
comprises part of a Variable Rate Advance. 
 “Wells Fargo Bank” – means Wells Fargo Bank, National Association.

 “Wholly-Owned Guarantor” – means a Guarantor that is a wholly-owned Subsidiary of Borrower. 
 1.2 EXHIBITS AND SCHEDULES INCORPORATED. 
 Exhibits A, B, C, D, E, F, G, H, I, J, K and L and Schedules 1, 2, 3, 4, 5,
6, 7, 8, 9 and 10 attached hereto are hereby incorporated into this Agreement. 
 ARTICLE 2. LOAN

 2.1 LOAN. 
 (a) Subject to the terms and conditions set forth herein, each Lender agrees to make loans to Borrower from time to time prior to the Maturity Date in an aggregate principal amount that will not result in (i) such Lender’s
outstanding Revolving Credit Exposure exceeding such Lender’s Commitment or (ii) the aggregate Revolving Credit Exposure of all Lenders exceeding the Borrowing Base. Within the foregoing limits and subject to the terms and conditions set
forth herein, Borrower may borrow, prepay and reborrow Revolving Loans. 
 (b) Each Revolving Loan shall be made as part of an Advance
consisting of Revolving Loans made by the Lenders in their Pro Rata Shares of such Advance. The failure of any Lender to make any Loan required to be made by it shall not relieve any other Lender of its obligations hereunder; provided that
the Commitments of the Lenders are several and no Lender shall be responsible for any other Lender’s failure to make Loans as required. 
 2.2 FEES. 
 (a) Borrower agrees to pay to Administrative Agent for the account of each Lender an unused fee (the
“Unused Fee”) at the rate of 0.20% per annum on the average daily unused portion of such Lender’s Commitment from the Effective Date to (but excluding) the Maturity Date, payable quarterly in arrears on the first day of
each calendar quarter commencing with the first calendar quarter commencing after the Effective Date and on the Maturity Date. For purposes of determining the Unused Fee payable to the Swingline Lender, its Swingline Loans shall be treated as usage
of its Commitment. 
  

 23 

 Loan No. 102919 
  

 (b) Borrower shall also pay to Administrative Agent such fees as are set forth in a separate letter
agreement between Borrower and Administrative Agent. From such fees paid to Administrative Agent, Administrative Agent shall pay to each Lender that is party to this Agreement on the Effective Date the amounts set forth in a separate letter
agreement between Administrative Agent and such Lender. 
 2.3 LOAN DOCUMENTS. Borrower shall execute and deliver to
Administrative Agent (or cause to be executed and delivered) concurrently with this Agreement each of the documents, described in Exhibit B as Loan Documents, together with those documents described in Exhibit B as Other
Related Documents. 
 2.4 EFFECTIVE DATE. The date of the Loan Documents is for reference purposes only. The Effective Date of
Borrower’s and Lenders’ obligations under the Loan Documents shall be the date the Initial Advance is made. 
 2.5 REQUESTS
FOR REVOLVING ADVANCES. Borrower shall select the type of Revolving Advance (i.e., a Variable Rate Advance or Fixed Rate Advance) and, in the case of each Fixed Rate Advance, the Fixed Rate Period applicable thereto from time to time.
Borrower shall give Administrative Agent irrevocable original request for an Advance in substantially the form attached hereto as Exhibit J (a “Borrowing Notice”) (or a facsimile thereof or a “PDF” thereof
transmitted by electronic mail) not later than 9:00 A.M., Pacific time at least one Business Day prior to the date (the “Borrowing Date”) of each Variable Rate Advance and within the time period provided for in
Section 2.6(f)(i) prior to the Borrowing Date of each Fixed Rate Advance. Borrowing Notices shall be delivered to and Wells Fargo Bank, N.A., Disbursement and Operations Center, 2120 East Park Place, Suite 100, El Segundo, California
90245, Attention: Ivonne Lopez (fax no. (310) 615-1014; e-mail address: lopezim@wellsfargo.com), with a copy to Wells Fargo Bank, N.A., 1750 H Street, Suite 400, Washington, DC 20006, Attention: Mark Monahan (fax no. (202) 419-2984; e-mail
address: monahamf@wellsfargo.com), or such other address or addressee as Administrative Agent shall designate. Each Borrowing Notice shall: 
 (i) specify the Borrowing Date, which shall be a Business Day, of such Advance, 
 (ii)
specify the aggregate amount of such Advance, and 
 (iii) identify whether the requested Advance is a Variable Rate Advance
or Fixed Rate Advance and, if it is a Fixed Rate Advance, shall include a Fixed Rate Notice in accordance with Section 2.6(f). 
 Notwithstanding the foregoing, Administrative Agent is authorized to rely upon the telephonic request and acceptance of Douglas Vicari, Sean Dell’Orto or Graham Wooten as Borrower’s duly authorized agents, or such other and/or
additional authorized agents as Borrower shall designate in writing to Administrative Agent. Borrower’s telephonic notices, requests and acceptances shall be directed to such officers of Administrative Agent as Administrative Agent may from
time to time designate and shall be followed promptly with the original or facsimile or electronic mail Borrowing Notice required pursuant to the first paragraph 
  

 24 

 Loan No. 102919 
  

 of this Section 2.5. Subject to the satisfaction of the conditions to an Advance provided for in this
Agreement, each Lender shall make available its Revolving Loan in accordance with Section 10.3(b) and Administrative Agent will make the funds so received from Lenders available to Borrower on the Borrowing Date in immediately available
funds in an account maintained by Borrower with Administrative Agent. 
 2.6 INTEREST ON THE LOANS. 
 (a) Interest Payments. Interest accrued on the outstanding principal balance of the Loans shall be due and payable, in the manner provided in
Section 2.7, on the first day of each month commencing with the first month after the Effective Date. 
 (b) Default
Interest. Notwithstanding the rates of interest specified in Sections 2.6(e) below and the payment dates specified in Section 2.6(a), at any time following the occurrence and during the continuance of any Default, the
principal balance of the Loans then outstanding and, to the extent permitted by applicable law, any interest payments on the Loans not paid when due, shall, at Requisite Lenders’ discretion, bear interest payable upon demand at the Alternate
Rate. All other amounts due Administrative Agent or Lenders (whether directly or for reimbursement) under this Agreement or any of the other Loan Documents if not paid within the later of the date when due or ten (10) days after written demand
(which written demand may consist of the invoice for such payment), shall, at Requisite Lenders’ discretion, likewise bear interest from and after demand at the Alternate Rate. 
 (c) Late Fee. Borrower acknowledges that late payment to Administrative Agent will cause Administrative Agent and Lenders to incur costs not
contemplated by this Agreement. Such costs include, without limitation, processing and accounting charges. Therefore, if Borrower fails timely to pay any sum due and payable hereunder through the Maturity Date (other than payment of the entire
outstanding balance of the Loans on the Maturity Date), unless waived by Administrative Agent (to the extent it is permitted to do so pursuant to Section 11.12(a)) or the Requisite Lenders, a late charge of four cents ($.04) for each
dollar of any such principal payment, interest or other charge due hereon and which is not paid within fifteen (15) days after such payment is due, shall be charged by Administrative Agent (for the benefit of Lenders) and paid by Borrower for
the purpose of defraying the expense incident to handling such delinquent payment. Borrower and Administrative Agent agree that this late charge represents a reasonable sum considering all of the circumstances existing on the date hereof and
represents a fair and reasonable estimate of the costs that Administrative Agent and Lenders will incur by reason of late payment. Borrower and Administrative Agent further agree that proof of actual damages would be costly and inconvenient.
Acceptance of any late charge shall not constitute a waiver of the default with respect to the overdue installment, and shall not prevent Administrative Agent from exercising any of the other rights available hereunder or any other Loan Document.
Such late charge shall be paid without prejudice to any other rights of Administrative Agent. 
 (d) Computation of Interest. Interest
shall be computed on the basis of the actual number of days elapsed in the period during which interest or fees accrue and a year of three hundred sixty (360) days on the principal balance of each applicable Loan outstanding from time

  

 25 

 Loan No. 102919 
  

 to time. In computing interest on the Loans, the date of the making of a disbursement of the Loan shall be included
and the date of payment shall be excluded. Notwithstanding any provision in this Section 2.6, interest in respect of the Loans shall not exceed the Maximum Interest Rate. 
 (e) Effective Rate. The “Effective Rate” upon which interest shall be calculated for the Advances shall, from and after the Effective
Date of this Agreement, be one or more of the following: 
 (i) Provided no Default has occurred that is continuing:

 (A) for Revolving Advances that are not Fixed Rate Advances, the Effective Rate shall be the Variable Rate. 
 (B) for Revolving Advances that are Fixed Rate Advances, the Effective Rate for the Fixed Rate Period thereof shall be the Fixed Rate
selected by Borrower and set in accordance with the provisions hereof, provided, however, if any of the transactions necessary for the calculation of interest at any Fixed Rate requested or selected by Borrower should be or become
prohibited or unavailable to Administrative Agent, or, if in Administrative Agent’s good faith judgment, it is not possible or practical for Administrative Agent to set a Fixed Rate for a Fixed Rate Advance and Fixed Rate Period as requested or
selected by Borrower, Administrative Agent shall so notify Borrower and Lenders and the Effective Rate for such Fixed Rate Advance shall remain at or revert to the Variable Rate. 
 (C) for Swingline Loans, the Effective Rate shall be the Base Rate (or such other rate as may be agreed to by Borrower and Swingline
Lender). 
 (ii) At such time as a Default has occurred and is continuing; or from and after the date on which all sums owing
under the Notes become due and payable by acceleration or otherwise; or from and after the Maturity Date; then, in each case, at Requisite Lenders’ discretion, the interest rate applicable to the then outstanding principal balance of the Loans
shall be the Alternate Rate. 
 (f) Selection of Fixed Rate. Provided no Default or Potential Default exists under this Agreement,
Borrower, at its option and upon satisfaction of the conditions set forth herein, may request a Fixed Rate as the Effective Rate for calculating interest on all or any portion of the Revolving Advances and for the period selected in accordance with
and subject to the following procedures and conditions, provided, however, that Borrower may not have in effect at any one time more than five (5) Fixed Rates: 
 (iii) Borrower shall deliver to Administrative Agent, at the addresses specified in Section 2.5, an original or facsimile
Fixed Rate Notice no later than 9:00 A.M. (Pacific time), and not less than three (3) nor more than five (5) Business Days prior to the proposed Fixed Rate Period for each Fixed Rate Advance. Any Fixed Rate Notice pursuant to this
subsection (i) is irrevocable. 
  

 26 

 Loan No. 102919 
  

 (iv) Borrower may elect (A) to convert a Variable Rate Advance to a Fixed Rate
Advance, or (B) to convert a matured Fixed Rate Advance into a new Fixed Rate Advance, provided, however, that the aggregate amount of the Revolving Advance being converted into or continued as a Fixed Rate Advance shall comply
with the Dollar amount requirements set forth in the definition of “Fixed Rate Advance.” The conversion of a matured Fixed Rate Advance back to a Variable Rate Advance or to a new Fixed Rate Advance shall occur on the last Business Day of
the Fixed Rate Period relating to such Fixed Rate Advance. Each Fixed Rate Notice shall specify (A) the amount of the Fixed Rate Advance, (B) the Fixed Rate Period, and (C) the Fixed Rate Commencement Date. 
 (v) Upon receipt of a Fixed Rate Notice in the proper form requesting a Fixed Rate Advance under subsections (i) and (ii) above,
Administrative Agent shall determine the Fixed Rate applicable to the Fixed Rate Period for such Fixed Rate Advance two (2) Business Days prior to the beginning of such Fixed Rate Period. Each determination by Administrative Agent of the Fixed
Rate shall be conclusive and binding upon the parties hereto in the absence of manifest error. Administrative Agent shall deliver to Borrower and each Lender (by facsimile) an acknowledgment of receipt and confirmation of the Fixed Rate Notice and
the Fixed Rate determined pursuant thereto; provided, however, that failure to provide such acknowledgment of receipt and confirmation of the Fixed Rate Notice to Borrower or any Lender shall not affect the validity of such
rate. 
 (vi) If Borrower does not make a timely election to convert all or a portion of a matured Fixed Rate Advance into a
new Fixed Rate Advance in accordance with this Section 2.6(f), such Fixed Rate Advance shall be automatically converted to a Variable Rate Advance upon the expiration of the Fixed Rate Period applicable to such Fixed Rate Advance.

 (g) Fixed Rate Taxes and Regulatory Costs. Upon demand by any Lender, Borrower shall pay to such Lender, in addition to all other
amounts which may be, or become, due and payable under this Agreement and the other Loan Documents, any and all Fixed Rate Taxes and Regulatory Costs applicable to such Lender in respect of any Fixed Rate Loans made by such Lender, all as certified
by such Lender in writing prior to or concurrently with such demand. Each Lender shall give Borrower notice of any Fixed Rate Taxes and Regulatory Costs applicable to such Lender as soon as practicable after their occurrence, but Borrower shall be
liable for any Fixed Rate Taxes and Regulatory Costs regardless of whether or when notice is so given. 
 (h) Fixed Rate Price
Adjustment. Borrower acknowledges that prepayment or acceleration of a Fixed Rate Advance during a Fixed Rate Period shall result in Lenders’ incurring additional costs, expenses and/or liabilities and that it is extremely difficult and
impractical to ascertain the extent of such costs, expenses and/or liabilities. Therefore, on the date a Fixed Rate Advance is prepaid or the date all sums payable hereunder become due and payable, by acceleration or otherwise (“Price
Adjustment Date”), Borrower will pay Administrative Agent, for the account of each Lender (in addition to all other sums then owing to Lenders) an amount (“Fixed Rate Price Adjustment”) equal to the then present value of
(i) the 
  

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 Loan No. 102919 
  

 amount of interest that would have accrued on the Fixed Rate Advance for the remainder of the Fixed Rate Period at
the Fixed Rate set on the Fixed Rate Commencement Date, less (ii) the amount of interest that would accrue on the same Fixed Rate Advance for the same period if the Fixed Rate were set on the Price Adjustment Date at the Applicable LIBO Rate in
effect on the Price Adjustment Date. The present value shall be calculated by using as a discount rate the LIBO Rate quoted on the Price Adjustment Date. 
 By initialing this provision where indicated below, Borrower confirms that Lenders’ agreement to make Loans at the interest rates and on the other terms set forth herein and in the other Loan Documents
constitutes adequate and valuable consideration, given individual weight by Borrower, for this agreement 
 Borrower Initials.
                             
 (i) Purchase, Sale and Matching of Funds. Borrower understands, agrees and acknowledges the following: (a) Lenders have no obligation to
purchase, sell and/or match funds in connection with the use of a LIBO Rate as a basis for calculating a Fixed Rate or Fixed Rate Price Adjustment; (b) a LIBO Rate is used merely as a reference in determining a Fixed Rate and Fixed Rate Price
Adjustment; and (c) Borrower has accepted a LIBO Rate as a reasonable and fair basis for calculating a Fixed Rate and a Fixed Rate Price Adjustment. Borrower further agrees to pay the Fixed Rate Price Adjustment, Fixed Rate Taxes and Regulatory
Costs, if any, whether or not any Lender elects to purchase, sell and/or match funds. 
 2.7 PAYMENTS. 
 (a) Manner and Time of Payment. All payments of principal, interest and fees hereunder payable to Administrative Agent or Lenders shall be made
without condition or reservation of right and free of set-off or counterclaim, in Dollars and by wire transfer (pursuant to Administrative Agent’s written wire transfer instructions) of immediately available funds, to Administrative Agent, for
the account of each Lender as applicable, not later than 11:00 A.M. (Pacific time) on the date due; and funds received by Administrative Agent after that time and date shall be deemed to have been paid on the next succeeding Business Day.

 (b) Payments on Non-Business Days. Whenever any payment to be made by Borrower hereunder shall be stated to be due on a day which
is not a Business Day, payments shall be made on the next succeeding Business Day and such extension of time shall be included in the computation of the payment of interest hereunder and of any fees due under this Agreement, as the case may be.

 (c) Voluntary Prepayment. Borrower may, upon not less than three (3) Business Days’ prior written notice to
Administrative Agent in the case of a Fixed Rate Advance and upon not less than one (1) Business Day’s written notice to Administrative Agent in the case of a Variable Rate Advance, in each case not later than 11:00 A.M. (Pacific time) on
the date given, at any time and from time to time, prepay all or any portion of any Revolving Advance without penalty, except as otherwise expressly set forth in this Section 2.7(c). Any notice of prepayment given to Administrative Agent
under this Section 2.7(c) shall specify the date of prepayment and the principal amount of the prepayment. Any payment of less than the entire amount of any 
  

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 Loan No. 102919 
  

 Revolving Advance shall be in an amount that is an integral multiple of $1,000,000 and not less than $5,000,000. In
the event of a prepayment of any Fixed Rate Advance, Borrower shall concurrently pay any Fixed Rate Price Adjustment payable in respect thereof. 
 2.8 MATURITY DATE. All sums due and owing under this Agreement and the other Loan Documents shall be repaid in full on or before the Maturity Date. 
 2.9 BORROWING BASE. If the outstanding principal balance of all Loans shall at any time exceed the Borrowing Base, Borrower shall, within thirty (30) days, repay outstanding Advances in an amount
equal to such excess and pay any Fixed Rate Price Adjustment payable by reason of such principal payment. 
 2.10 SWINGLINE
LOANS. (a) Subject to the terms and conditions set forth herein, Swingline Lender agrees to make Swingline Loans to Borrower from time to time prior to the Maturity Date, in an aggregate principal amount at any time outstanding that
will not result in (i) the aggregate principal amount of outstanding Swingline Loans exceeding $10,000,000 or (ii) the total Revolving Credit Exposures of all Lenders exceeding the Aggregate Commitment; provided that Swingline
Lender shall not be required to make a Swingline Loan to refinance an outstanding Swingline Loan. Swingline Loans shall be evidenced by the Swingline Note. Each Swingline Loan shall be in an integral multiple of $100,000 and in the minimum amount of
$1,000,000. Within the foregoing limits and subject to the terms and conditions set forth herein, Borrower may borrow, prepay and reborrow Swingline Loans. 
 (b) Swingline Loans shall be repaid in full on the earlier of (i) the seventh (7th) Business Day following the advance of such Swingline Loan and (ii) the Maturity Date and may be repaid in whole, but not in part, on one Business Day’s notice. 
 (c) To request a Swingline Loan, Borrower shall deliver to Swingline Lender, not later than 9:00 A.M., Pacific time on the day of the proposed Swingline
Loan, to the address designated in Section 2.5 or at such other address as Swingline Lender shall designate, an original Borrowing Notice (or facsimile thereof or “PDF” thereof transmitted by electronic mail) requesting a
Swingline Loan. Each such Borrowing Notice shall be irrevocable and shall specify the requested date (which shall be a Business Day) and amount of the requested Swingline Loan, which shall comply with the provisions of paragraph
(a) above. Notwithstanding the foregoing, Swingline Lender is authorized to rely upon the telephone request and acceptance of Douglas Vicari, Sean Dell’Orto or Graham Wooten as Borrower’s duly authorized agents, or such other
and/or additional authorized agents as Borrower shall designate in writing to Swingline Lender. Borrower’s telephonic notices, requests and acceptance shall be directed to such officers of Swingline Lender as Swingline Lender may from time to
time designate and shall be followed promptly with the original, facsimile or electronic mail Borrowing Notice required pursuant to the first sentence of this Section 2.19(c). Subject to the conditions set forth in Article 3,
Swingline Lender shall make each Swingline Loan available to Borrower in immediately available funds by means of a credit to an account of Borrower with Swingline Lender. 
 (d) Swingline Lender may by written notice given to Lenders not later than 11:00 A.M., Pacific time, on any Business Day require Lenders to acquire participations on such 
  

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 Loan No. 102919 
  

 Business Day in all or a portion of the Swingline Loans outstanding. Such notice shall specify each Lender’s Pro
Rata Share of such Swingline Loan or Loans. Each Lender hereby absolutely and unconditionally agrees, upon receipt of notice as provided above, to pay to Swingline Lender, such Lender’s Pro Rata Share of such Swingline Loan or Loans. Each
Lender acknowledges and agrees that its obligation to acquire participations in Swingline Loans pursuant to this paragraph is absolute and unconditional and shall not be affected by any circumstance whatsoever, including the occurrence and
continuance of a Default or reduction or termination of the Commitments, and that each such payment shall be made without any offset, abatement, withholding or reduction whatsoever. Each Lender shall comply with its obligation under this paragraph
by wire transfer of immediately available funds, in the same manner as provided in Section 10.3 with respect to Loans made by such Lender. Administrative Agent shall notify Borrower of any participations in any Swingline Loan acquired
pursuant to this paragraph, and thereafter payments in respect of such Swingline Loan shall be made to Administrative Agent and not to Swingline Lender. Any amounts received by Swingline Lender from Borrower (or other party on behalf of Borrower) in
respect of a Swingline Loan after receipt by Swingline Lender of the proceeds of a sale of participations therein shall be promptly remitted to Administrative Agent; any such amounts received by Administrative Agent shall be promptly remitted by
Administrative Agent to Lenders that shall have made their payments pursuant to this paragraph and to Swingline Lender, as their interests may appear; provided that any such payment so remitted shall be repaid to Swingline Lender or to
Administrative Agent, as applicable, if and to the extent such payment is required to be refunded to Borrower for any reason. The purchase of participations in a Swingline Loan pursuant to this paragraph shall not relieve Borrower of any default in
the payment thereof. 
 2.11 TERMINATION AND REDUCTION OF COMMITMENTS. (a) Unless previously terminated, the Commitments
shall terminate on the Maturity Date. 
 (b) Borrower may at any time terminate, or from time to time reduce, the Aggregate Commitment;
provided that (i) each reduction of the Aggregate Commitment shall be in an amount that is an integral multiple of $1,000,000 and not less than $5,000,000 and (ii) Borrower shall not terminate or reduce the Aggregate Commitment if,
after giving effect to any concurrent prepayment of the Loans in accordance with Section 2.7(c), the sum of the Revolving Credit Exposures would exceed the Aggregate Commitment. 
 (c) Borrower shall notify Administrative Agent of any election to terminate or reduce the Aggregate Commitment under paragraph (b) of this
Section at least three (3) Business Days prior to the effective date of such termination or reduction, specifying such election and the effective date thereof. Promptly following receipt of any notice, Administrative Agent shall advise Lenders
of the contents thereof. Each notice delivered by Borrower pursuant to this Section shall be irrevocable; provided that a notice of termination of the Aggregate Commitment delivered by Borrower may state that such notice is conditioned upon
the effectiveness of other credit facilities, in which case such notice may be revoked by Borrower (by notice to Administrative Agent on or prior to the specified effective date) if such condition is not satisfied. Any termination or reduction of
the Commitments shall be permanent. Each reduction of the Aggregate Commitment shall be made ratably among Lenders in accordance with their respective Commitments. 
  

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 Loan No. 102919 
  

 2.12 FACILITY INCREASE. 
 (a) Subject to the provisions of this Section 2.12, Borrower may, at any time and from time to time, by notice to Administrative Agent,
increase the Aggregate Commitment (each such increase, a “Facility Increase”) subject to the following terms and conditions: 
 (i) each Facility Increase shall be in an amount that is an integral multiple of $1,000,000 and not less than $5,000,000; 
 (ii) the Aggregate Commitment shall not be increased to an amount greater than the lesser of (A) the amount of the Borrowing Base (as such Borrowing Base may be increased as a result of the addition of Properties
to the Unencumbered Pool effected at the same time as such Facility Increase) and (B) $200,000,000; 
 (iii) no Facility
Increase shall be effected at any time following any reduction of the Aggregate Commitment pursuant to Section 2.11; 
 (iv) no Default or Potential Default shall exist at the time of such Facility Increase; and 
 (v) one or more
Additional Lenders shall have agreed to make Additional Commitments in an aggregate amount equal to such Facility Increase in accordance with paragraph (b) below. The Additional Commitment of any Additional Lender shall (unless otherwise
agreed by Borrower and Administrative Agent) be in an amount that is an integral multiple of $1,000,000 and not less than $5,000,000. 
 (b)
Each Facility Increase shall be effected by the execution and delivery of the following documents, all reasonably satisfactory to Administrative Agent: 
 (i) a Facility Increase Supplement executed by Borrower, Administrative Agent and each Additional Lender; 
 (ii) a Note or Notes executed by Borrower evidencing the Facility Increase; 
 (iii) the consent of the Guarantors and ratification
of their Guaranties; 
 (iv) resolutions, consents and other documents evidencing the requisite approvals of the Facility Increase by the
applicable Loan Parties; 
 (v) opinions of counsel (substantially similar to those delivered pursuant to Section 3.1) with
respect to the foregoing documents; and 
 (vi) such other documents and instruments as Administrative Agent shall reasonably
request. 
 (c) On the effective date of any Facility Increase (the “Increase Date”), which date shall be mutually agreed
upon by Borrower, Administrative Agent and each Additional Lender, 
  

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 Loan No. 102919 
  

 Borrower shall repay in full all outstanding Loans (together with any Fixed Rate Price Adjustments relating thereto),
which repayment may be made in whole or in part from a Revolving Advance made as of the Increase Date consisting of Revolving Loans made by Lenders (including each Additional Lender) in the proportion of their respective Commitments (as increased as
of such Increase Date). 
 (d) Nothing contained herein shall constitute, or otherwise be deemed to be, a commitment or agreement on the part
of any Lender to increase its Commitment hereunder at any time or a commitment or agreement on the part of Borrower or Administrative Agent to give or grant any Lender the right to increase its Commitment hereunder at any time. 
 2.13 LENDERS’ ACCOUNTING. Administrative Agent shall maintain a loan account (the “Loan Account”) on its books in
which shall be recorded (a) the names and addresses and the Pro Rata Shares of the commitment of each of the Lenders, and principal amount of the Loans owing to each Lender from time to time, and (b) all repayments of principal and
payments of accrued interest, as well as payments of fees required to be paid pursuant to this Agreement. All entries in the Loan Account shall be made in accordance with Administrative Agent’s customary accounting practices as in effect from
time to time. Monthly or at such other interval as is customary with Administrative Agent’s practice, Administrative Agent will render a statement of the Loan Account to Borrower and will deliver a copy thereof to each Lender. Each such
statement shall be deemed final, binding and conclusive upon Borrower in all respects as to all matters reflected therein (absent manifest error). 
 2.14 OPTION TO EXTEND. Borrower shall have the option to extend (“Option to Extend”) the Maturity Date from the Original Maturity Date to the Extended Maturity Date, upon satisfaction of each of the following
conditions precedent: 
 (a) Borrower shall provide Administrative Agent with written notice of Borrower’s request to exercise the
Option to Extend not more than ninety (90) days but not less than thirty (30) days prior to the Original Maturity Date; 
 (b) As
of the date of Borrower’s delivery of notice of request to exercise the Option to Extend, and as of the Original Maturity Date, no Default or Potential Default shall have occurred and be continuing, and Borrower shall so certify in writing;

 (c) Borrower shall execute or cause the execution of all documents as reasonably required by Administrative Agent to exercise the Option
to Extend; 
 (d) On or before the Original Maturity Date, Borrower shall pay to Administrative Agent, for the benefit of Lenders in their
Pro Rata Shares thereof, an extension fee in the amount of 0.20% of the Aggregate Commitment; 
 (e) As of the last day of the fiscal quarter
preceding the Original Maturity Date, the New Property Ratio shall not exceed 40%; 
 (f) No Material Adverse Change shall have occurred;

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 Loan No. 102919 
  

 (g) All of Borrower’s representations and warranties set forth in this Agreement shall be true
and correct in all material respects as of the Original Maturity Date, and Borrower shall so certify in writing; and 
 (h) Borrower shall
pay all reasonable out-of-pocket costs and expenses related to the exercise of the Option to Extend. 
 Except as modified by the Option to
Extend, the terms and conditions of this Agreement and the other Loan Documents shall remain unmodified and in full force and effect. 
 2.15
MAXIMUM INTEREST RATE. 
 As used herein, the term “Maximum Interest Rate” shall mean and refer to the maximum rate
of nonusurious interest, if any, that Lenders may from time to time charge Borrower and in regard to which Borrower would be prevented successfully from raising the claim or defense of usury under applicable Requirements of Law as now, or to the
extent permitted by Law, as may hereafter be, in effect (said Requirements of Law permitting the highest rate being herein referred to as the “Interest Law”). It is the intention of Borrower, Administrative Agent and Lenders to
conform strictly to the Interest Law applicable to this loan transaction. Accordingly, it is agreed that notwithstanding any provision to the contrary in this Agreement, the Notes or in any other Loan Document or in any instrument otherwise relating
thereto, the aggregate of all interest and any other charges or consideration constituting interest under applicable Interest Law that is taken, reserved, contracted for, charged or received under this Agreement, or under any of the aforesaid
agreements or otherwise on or in connection with the Loans shall under no circumstances exceed the maximum amount of interest allowed by the Interest Law applicable to this loan transaction or the Notes. If any usurious interest in such respect is
provided for, or shall be adjudicated to be so provided for, in this Agreement, in the Notes or in any of the other Loan Documents or other instruments otherwise relating thereto, or if the acceleration of the maturity of the Notes or if any
prepayment by Borrower results in Borrower having paid any interest in excess of that permitted by applicable Law, then in such event (a) the provisions of this Section 2.15 shall govern and control, (b) neither Borrower nor
Borrower’s successors or assigns or any other party liable for the payment of the Notes shall be obligated to pay the amount of such interest to the extent that it is in excess of the maximum amount of interest allowed by the Interest Law
applicable to this loan transaction, (c) any excess shall be deemed a mistake and canceled automatically and, if theretofore paid, shall be refunded to Borrower and (d) the effective rate of interest shall be automatically subject to
reduction to the Maximum Interest Rate allowed under such Interest Law as now or hereafter construed by courts of appropriate jurisdiction. All sums paid or agreed to be paid to Lenders for the use, forbearance, or detention of the indebtedness
shall, to the extent permitted by the Interest Law applicable to this loan transaction, be amortized, prorated, allocated and spread throughout the full term of said indebtedness until paid in full so that the rate or amount of interest on account
of said indebtedness does not exceed the applicable usury ceiling. The right to accelerate the maturity of the indebtedness does not include the right to accelerate any interest which has not otherwise accrued on the date of such acceleration, and
Lenders do not intend to collect unearned interest in the event of acceleration. Notwithstanding any provision contained in the Notes, this Agreement or any other Loan Document that permits the compounding of interest, including 
  

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 Loan No. 102919 
  

 without limitation any provision by which any of the accrued interest is added to the principal amount of the Notes,
the total amount of interest that Borrower is obligated to pay and Lenders are entitled to receive with respect to the Notes shall not exceed the Maximum Interest Rate on principal amounts actually advanced to or for the account of Borrower,
including the initial advance under the Notes and any advances made pursuant to this Agreement, the Notes or any other Loan Document (such as for the principal amount of the Loans or the payment of taxes, insurance premiums, and the like).

 In consideration of the agreement of Lenders to advance sums hereunder, Borrower has agreed to pay to Lenders certain loan fees
(collectively, the “Fees”). Also, in order to reimburse Lenders for certain costs that Lenders may incur in the event of late payment or in the event the Loans are prepaid, Borrower has agreed to pay Lenders the late payment charge
and Fixed Rate Price Adjustment in accordance with the terms of this Agreement. At the time the Notes are paid in full, or the payment thereof matures, howsoever said payment or maturity shall have been brought about, in no event shall the total of
said Fees, late payment charges and Fixed Rate Price Adjustment (but only to the extent said Fees, late payment charges and Fixed Rate Price Adjustment are interest under the Interest Law applicable to this loan transaction) and all interest and any
other charges or consideration constituting interest under applicable Interest Law that is taken, reserved, contracted for, charged or received under the Notes or otherwise in connection with this loan transaction (said total being hereinafter
referred to as the “Charges”) exceed the maximum amount of interest allowed by the Interest Law applicable to this loan transaction, (a) the provisions of this Section 2.15 shall govern and control, (b) neither
Borrower nor Borrower’s successors or assigns or any other party liable for the payment thereof shall be obligated to pay the amount of such excess, and (c) any such excess shall be canceled automatically and, if theretofore paid, shall be
returned to Borrower. 
 ARTICLE 3. DISBURSEMENT OF LOAN 
 3.1 CONDITIONS PRECEDENT TO INITIAL ADVANCE. Lenders’ obligation to disburse the Initial Advance shall be subject to satisfaction of each of the following conditions precedent: 
 (a) Administrative Agent shall have received all of the Loan Documents, the Other Related Documents and all other documents, instruments, policies, and
forms of evidence or other materials required by Administrative Agent under the terms of this Agreement or any of the other Loan Documents, all in form and substance reasonably acceptable to Administrative Agent. 
 (b) In Administrative Agent’s reasonable opinion, there has been no Material Adverse Change. 
 (c) Borrower shall have provided, at Borrower’s expense, an opinion of legal counsel in form and content satisfactory to Administrative Agent:
(i) to the effect that (A) upon due authorization, execution and recordation or filing as may be specified in the opinion, each of the Loan Documents and Other Related Documents shall be valid and binding instruments, 
  

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 Loan No. 102919 
  

 enforceable against the Loan Parties party thereto in accordance with their respective terms; (B) the Loan
Parties are duly formed and have all requisite authority to enter into the Loan Documents and Other Related Documents; and (ii) addressing such other matters, incident to the transactions contemplated hereby, as Administrative Agent may
reasonably request. 
 (d) Borrower shall have furnished to Administrative Agent a Borrowing Base Certificate and Compliance Certificate,
each prepared as of December 31, 2005, and properly completed to provide all information required to be included thereon or attached thereto. 
 (e) All amounts outstanding under the Prior Loan Agreement shall have been paid or concurrently on the Effective Date will be paid in full, from the proceeds of the Initial Advance or otherwise, and the Liens securing the obligations under
the Prior Loan Agreement shall have been released. 
 (f) Borrower and Guarantors shall have satisfied such other conditions as
Administrative Agent shall reasonably require. 
 3.2 CONDITIONS PRECEDENT TO ALL ADVANCES. Lenders’ obligations to
disburse any Advance (including the Initial Advance) shall be subject to (in addition to any other conditions specified in the Agreement) the satisfaction of each of the following conditions: 
 (a) Borrower shall have executed and delivered a Borrowing Notice in accordance with Section 2.5 (or, in the case of a Swingline Loan, a
request for a Swingline Loan in accordance with Section 2.10(c)). 
 (b) There shall be no Default or Potential Default under
this Agreement or under any of the other Loan Documents. 
 (c) All representations and warranties of Borrower and Guarantors under the Loan
Documents shall be true and correct in all material respects. 
 (d) Upon the making of such Advance, the outstanding principal balance of
the Loans will not exceed the Borrowing Base. 
 3.3 FUNDS TRANSFER DISBURSEMENTS. Borrower hereby authorizes Administrative
Agent to disburse the proceeds of any Loan made by Lenders pursuant to the Loan Documents as requested by an authorized representative of Borrower to any of the accounts designated in Exhibit K identified in writing by such authorized
representative. Borrower agrees to be bound by any transfer request: (a) authorized or transmitted by Borrower or (b) made in Borrower’s name and accepted by Administrative Agent in good faith and in compliance with these transfer
instructions by a Person designated in writing by Borrower to make such transfer request, even if not properly authorized by Borrower. Borrower further agrees and acknowledges that Administrative Agent may rely solely on any bank routing number or
identifying bank account number or name provided by Borrower to effect a wire or funds transfer even if the information provided by Borrower identifies a different bank or account holder than named by Borrower. Administrative Agent is not obligated
or required in any way to take any actions to detect errors in information provided by Borrower. If Administrative Agent 
  

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 Loan No. 102919 
  

 takes any actions in an attempt to detect errors in the transmission or content of transfer, requests or takes any
actions in an attempt to detect unauthorized funds transfer requests, Borrower agrees that no matter how many times Administrative Agent takes these actions Administrative Agent will not in any situation be liable for failing to take or correctly
perform these actions in the future and such actions shall not become any part of the transfer disbursement procedures authorized under this provision, the Loan Documents, or any agreement between Administrative Agent and Borrower. Borrower agrees
to notify Administrative Agent of any errors in the transfer of any funds or of any unauthorized or improperly authorized transfer requests within fourteen (14) days after Administrative Agent’s confirmation to Borrower of such transfer.
Administrative Agent will, in its sole discretion, determine the funds transfer system and the means by which each transfer will be made. Administrative Agent may delay or refuse to accept a funds transfer request if the transfer would:
(a) violate the terms of this authorization (b) require use of a bank unacceptable to Administrative Agent or prohibited by government authority; (c) cause Administrative Agent to violate any Federal Reserve or other regulatory risk
control program or guideline, or (d) otherwise cause Administrative Agent to violate any applicable law or regulation. Administrative Agent shall not be liable to Borrower or any other parties for (a) errors, acts or failures to act of
others, including other entities, banks, communications carriers or clearinghouses, through which Borrower’s transfers may be made or information received or transmitted, and no such entity shall be deemed an agent of Administrative Agent,
(b) any loss, liability or delay caused by fires, earthquakes, wars, civil disturbances, power surges or failures, acts of government, labor disputes, failures in communications networks, legal constraints or other events beyond Administrative
Agent’s control, or (c) any special, consequential, indirect or punitive damages, whether or not (i) any claim for these damages is based on tort or contract or (ii) Administrative Agent or Borrower knew or should have known the
likelihood of these damages in any situation. Administrative Agent makes no representations or warranties other than those expressly made in this Agreement. 
 ARTICLE 4. 
 4.1 ADDITION OF PROPERTIES. In the event that Borrower, Parent or any of
their Subsidiaries or Unconsolidated Affiliates (as the case may be), shall acquire a Hotel (or Equity Interests in a Person that owns a Hotel), Borrower shall (i) promptly notify Administrative Agent, and (ii) promptly furnish to
Administrative Agent such financial and other information as Administrative Agent shall reasonably request relating to such Hotel (including Borrower’s certification of the Property Investment of such Hotel), except, in the case of an
Unconsolidated Affiliate, Borrower shall furnish such information to the extent available, and will certify only that such information is a true and accurate copy of that information received by Borrower. Such Hotel shall constitute a New Property
and shall have as its Seasoned Date the last day of the fourth calendar quarter following the date on which such Property or Equity Interests were acquired, unless Administrative Agent, in its discretion and at Borrower’s request, designates a
later Seasoned Date. Such Property may be included in the Unencumbered Pool only in accordance with the provisions of Section 4.2. 
  

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 Loan No. 102919 
  

 4.2 DESIGNATION OF POOL PROPERTIES. 
 (a) Borrower may, at any time and from time to time, by written notice to Administrative Agent, request the inclusion in the Unencumbered Pool of a Hotel
owned, or to be acquired by, Borrower, Parent or a Wholly-Owned Guarantor or by a Person that will become a Wholly-Owed Guarantor and that otherwise satisfies the criteria for inclusion in the Unencumbered Pool. Not later than thirty (30) days
after such notice, Borrower shall furnish to Administrative Agent: (i) a physical description of such Hotel, including its age, location, condition, number of guest rooms, parking facilities, and amenities; (ii) operating statements for
such Hotel for the prior two calendar years, the immediately-preceding trailing twelve months and the calendar year-to-date (in each case to the extent that the Hotel has been operating during such period); (iii) cash flow projections and (to
the extent then available) a capital expenditure plan for the remainder of the current calendar year and the next three calendar years; (iv) the most recent Smith Travel Research STAR Report comparing such Hotel to its competitive set;
(v) any Ground Lease applicable to such Hotel; (vi) the Management Agreement and Franchise Agreement for such Hotel; and (vii) a property condition report, Environmental Assessment and title insurance policy (or irrevocable commitment
to issue such a policy) for such Hotel (in each case dated not more than two (2) years prior to Borrower’s notice to Administrative Agent), together with a certificate of Borrower that, to Borrower’s knowledge, there exist no facts or
circumstances with respect to such Property (within the intended scope of such physical condition report, Environmental Assessment or title insurance policy (or irrevocable commitment)) as of the date of such certificate, whether arising prior or
subsequent to the date of such report, Environmental Assessment or title insurance policy (or irrevocable commitment), that are material but are not disclosed therein. 
 (b) If such Hotel satisfies all of the criteria for inclusion in the Unencumbered Pool and the Requisite Lenders approve in writing the inclusion thereof in the Unencumbered Pool, Borrower and Administrative Agent
shall promptly enter into a supplement to this Agreement (the “Unencumbered Pool Supplement”) substantially in the form attached hereto and hereby made a part hereof as Exhibit L, confirming the inclusion of such Hotel in the
Unencumbered Pool and identifying the Major Agreements for such Hotel. If such Hotel is not yet wholly owned by Borrower, Parent or a Wholly-Owned Guarantor, such Hotel shall be included in the Unencumbered Pool only at such time as it is wholly
owned by Borrower, Parent or a Wholly-Owned Guarantor and otherwise satisfies all of the criteria for inclusion in the Unencumbered Pool and shall constitute a New Property having a Seasoned Date as described in clause (b)(i) of the
definition of “Seasoned Date.” If such Property was owned by Borrower, Parent or a Subsidiary prior to the date on which approved for inclusion in the Unencumbered Pool, it shall retain the same classification as a New Property or Seasoned
Property (as applicable) as it had immediately prior to its inclusion in the Unencumbered Pool; if it remains a New Property, it shall have the same Seasoned Date as it had immediately prior to its inclusion in the Unencumbered Pool, unless the
Required Lenders agree to a later Seasoned Date in the Unencumbered Pool Certificate. 
 4.3 REMOVAL OF POOL PROPERTIES.

 (a) Borrower shall notify Administrative Agent promptly upon the occurrence of any of the following events or circumstances (each such
event or circumstance, a “Removal Event”) or, if Borrower knows in advance thereof that such Removal Event is likely to occur, promptly 
  

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 Loan No. 102919 
  

 following the date on which Borrower attains such knowledge (except that Borrower shall not be required to give such
notice more than thirty (30) days prior to such occurrence): (A) sale or transfer of such Pool Property or any interest therein to a Person other than Borrower, Parent or a Wholly-Owned Guarantor, (B) the termination of any Major
Agreement with respect to such Pool Property unless the same has been, or promptly following such termination will be, replaced by a Major Agreement approved in accordance with Section 7.7(c) or 7.23 (as applicable), (C) such
Property shall become subject to any Lien that is not a Permitted Lien (other than a Lien that is or shall be contested as permitted under Section 7.3), (D) the execution and delivery of any agreement described in clause
(ii) of the definition of “Unencumbered Pool,” (E) any default by the lessee under any Ground Lease affecting such Property that, if not cured, would permit the lessor to terminate such Ground Lease (provided,
however, that, notwithstanding that Borrower shall be required to provide notice of such default, such default shall constitute a Removal Event only if not cured within the applicable grace or cure period provided for in such Ground Lease),
(F) any casualty or condemnation of which Borrower is required to give notice under Section 7.10 (provided, however, that, notwithstanding that Borrower shall be required to give such notice, such casualty or
condemnation shall constitute a Removal Event only if Administrative Agent so elects as provided in Section 7.10), (G) the discovery or occurrence of any material structural defect or material title defect or (H) the discovery
or occurrence of any violation of any Hazardous Material Laws. Upon the occurrence of any Removal Event with respect to a Pool Property, such Property shall be removed from the Unencumbered Pool effective upon such Removal Event and shall cease to
be a Pool Property. 
 (b) Within ten (10) days after the first to occur of Borrower’s notice under paragraph (a) or a
Removal Event, Borrower shall deliver to Administrative Agent a revised Borrowing Base Certificate, prepared on the basis of the financial information and results contained in the Borrowing Base Certificate then most recently delivered hereunder,
but adjusted to exclude from the Unencumbered Pool and the determination of the Borrowing Base the Property so removed from the Unencumbered Pool. 
 (c) Within twenty (20) days after the date on which such Borrowing Base Certificate is required to be delivered or, in the case of a Removal Event voluntarily incurred by Borrower, Parent or a Wholly-Owned Subsidiary, within one
(1) Business Day of such Removal Event, Borrower shall repay outstanding Advances to the extent required to reduce the outstanding balance of the Loans to an amount that does not exceed the Borrowing Base (as adjusted as provided in
paragraph (b)) and any Fixed Rate Price Adjustment payable by reason of such principal payment. 
 4.4 ACCELERATION OF SEASONED
DATE. Borrower may, by written notice to Administrative Agent, irrevocably designate as the Seasoned Date for any Property a date that is earlier than the Seasoned Date for such Property specified in Schedule 2, by Administrative
Agent pursuant to Section 4.1 or in the applicable Unencumbered Pool Supplement (as applicable) but in no event shall such date be a date that is earlier than the date on which such notice is given. Administrative Agent shall promptly
notify Lenders of the contents of any such notice. 
  

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 Loan No. 102919 
  

 ARTICLE 5. REPRESENTATIONS AND WARRANTIES 
 As a material inducement to Lenders’ entry into this Agreement, Borrower represents and warrants to Administrative Agent and Lenders (except as set
forth in Schedule 6): 
 5.1 FORMATION AND GOOD STANDING. Each of Borrower, Parent and their Subsidiaries is a
corporation, partnership or limited liability company duly incorporated or formed, validly existing and in good standing under the laws of its respective jurisdiction of incorporation or formation, is duly qualified to do business as, and is in good
standing as, a foreign corporation, partnership or limited liability company in each jurisdiction in which the conduct of its business or the ownership or leasing of its properties makes such qualification necessary except where the failure to so
qualify would not result in a Material Adverse Change and has all requisite corporate, partnership or limited liability company power and authority to conduct its business and to own and lease its properties. 
 5.2 AUTHORITY. Borrower has the requisite power, capacity and authority to perform its obligations hereunder and under the other Loan
Documents and Other Related Documents to which it is a party, and each other Loan Party has the requisite power, capacity and authority to perform its obligations under the Loan Documents and Other Related Documents to which it is a party.

 5.3 BINDING OBLIGATIONS. Borrower and each other Loan Party is authorized to execute, deliver and perform its obligations
under, and has duly executed and delivered, the Loan Documents to which it is a party, and such obligations are valid and binding obligations of Borrower or the applicable other Loan Party enforceable in accordance with their terms, except to the
extent that enforcement may be limited by applicable bankruptcy, insolvency and other similar laws affecting creditors’ rights generally and general principles of equity. 
 5.4 ORGANIZATIONAL DOCUMENTS. Borrower has delivered to Administrative Agent all Organizational Documents of Borrower, the other Loan
Parties and of such other entities as provided for on Exhibit B, and all such Organizational Documents remain in full force and effect and have not been amended or modified since they were delivered to Administrative Agent (except for
amendments or modifications which are made after the Effective Date and of which copies are furnished to Administrative Agent in accordance with Section 7.8). 
 5.5 PARENT. 
 (a) HHC GP Corporation is Borrower’s sole general partner, and Parent owns
100% of the outstanding capital stock of HHC GP Corporation. 
 (b) Parent owns not less than 80% of the limited partnership interests in
Borrower. 
 (c) Schedule 7 hereto accurately sets forth the number of shares of common stock and preferred stock of Parent that are
issued and outstanding as of the Effective Date, all of which are duly and validly issued, fully paid and nonassessable. The issuance and sale of such stock have been registered in accordance with applicable federal and state securities laws, or
were issued pursuant to exemptions therefrom. 
  

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 Loan No. 102919 
  

 (d) Parent meets the requirements for taxation as a REIT under the Code. 
 5.6 NO LEGAL BAR; NO CONSENT. Neither the execution and delivery of this Agreement by Borrower or of any of the Loan Documents by Borrower
or any other Loan Party nor the consummation of the transactions contemplated hereby or thereby will, with or without notice and/or lapse of time: (a) constitute a breach of any of the terms and provisions of, or constitute a default under, any
notice, contract, document, instrument, agreement or undertaking to which Borrower or any Loan Party is a party or to which Borrower’s or any Loan Party’s property is subject, except where such breach could not reasonably be expected to
result in a Material Adverse Change; (b) accelerate or constitute an event entitling the holder of any Indebtedness of Borrower or any Loan Party to accelerate the maturity of any such Indebtedness; (c) conflict with or result in a breach
of any writ, order, injunction or decree against Borrower or any Loan Party of any court or governmental agency or instrumentality, whether national, state, local or other except where such conflict or breach could not reasonably be expected to
result in a Material Adverse Change; or (d) conflict with or be prohibited by any Requirements of Law, except where the violation of such Requirement of Law could not reasonably be expected to result in a Material Adverse Change. No consent of
any other Person not heretofore obtained and no consent, approval or authorization of, or registration, declaration or filing with any Governmental Authority or other Person whatsoever is required in connection with the valid execution, delivery or
performance by Borrower of this Agreement or by Borrower or any other Loan Party of any other Loan Documents or any other documents required to be executed and delivered hereunder or thereunder, or in connection with any other transaction
contemplated by this Agreement or any other Loan Documents. 
 5.7 COMPLIANCE. Each of Borrower, Parent and their Subsidiaries
(i) is in compliance with all Requirements of Law and other requirements applicable to its business, except where such noncompliance could not reasonably be expected to result in a Material Adverse Change and (ii) has obtained all
authorizations, consents, approvals, orders, licenses, permits and exemptions from, and has accomplished all material filings, registrations or qualifications with, any Governmental Authority that are necessary for the transaction of its business,
except where the failure to obtain the same could not reasonably be expected to result in a Material Adverse Change. 
 5.8
LITIGATION. Except as disclosed on Schedule 8 attached hereto and made a part hereof, there are no claims, actions, suits or proceedings pending, or to the best of Borrower’s knowledge threatened, against Borrower or any
other Loan Party or affecting any Pool Property (except for claims for personal injury or property damage that are covered by insurance and, in the case of actions or proceedings that have been commenced, have been tendered to the insurer for
defense and with respect to which the insurer has not denied coverage) before any Governmental Authority or arbitrator that, if adversely determined, could reasonably be expected to result in a Material Adverse Change. 
 5.9 FINANCIAL CONDITION. All financial statements and financial information heretofore delivered to Administrative Agent by Borrower,
Parent or any other Loan Party, including, without limitation, information relating to the financial condition of Borrower, Parent or any of their Subsidiaries and their Properties, fairly and accurately represent the financial 
  

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 Loan No. 102919 
  

 condition of the subject thereof in all material respects and, with respect to all financial statements (but not
necessarily other financial information), have been prepared in accordance with GAAP. Borrower acknowledges and agrees that Administrative Agent or any Lender may request and obtain additional information from third party credit reporting agencies
or any such similar service regarding any of the above, including, without limitation, credit reports. 
 5.10 NO MATERIAL ADVERSE
CHANGE. There has been no Material Adverse Change since the dates of the latest financial statements furnished to Administrative Agent. 
 5.11 ACCURACY. To the best of Borrower’s knowledge, all reports and Major Agreements delivered to Administrative Agent by Borrower, Parent or any of their Subsidiaries concerning the Pool Properties are accurate and
correct in all material respects and sufficiently complete to give Lenders true and accurate knowledge of their subject matter, and do not contain any material misrepresentation or omission. 
 5.12 NO DEFAULTS. No Default or Potential Default exists, and neither Borrower, Parent nor any of their Subsidiaries is in default under
any contract, agreement, lease or other document (including without limitation any Major Agreement) by which it or its Properties or other assets are bound, which default could reasonably be expected to result in a Material Adverse Change.

 5.13 TITLE TO PROPERTIES. Borrower, Parent or the applicable Subsidiary has good, marketable and insurable title to each
Property purported to be owned by it (or, in the case of the leasehold estate under a Ground Lease, a good, valid and insurable leasehold estate), subject only to the Permitted Liens or Liens not likely to result in a Material Adverse Change, and
Borrower, Parent or the applicable Subsidiary or Operating Lessee has a good and sufficient title to or a valid leasehold interest in all FF&E and other personal property (except such as may be owned by the Manager as provided in the applicable
Management Agreement) necessary for the continued operation of such Property in the ordinary course. 
 5.14 TAX LIABILITY; OTHER
CLAIMS. Each of Borrower, Parent and their Subsidiaries has paid and discharged (a) all taxes, assessments and governmental charges or levies imposed upon it or upon its income or profits or Properties or other assets that are material
in amount (except for Contested Items), and (b) all lawful claims that are material in amount which, if unpaid, could reasonably be expected to result in a Material Adverse Change (except for Contested Items). 
 5.15 PENSION PLANS. All Plans are in compliance in all material respects with all provisions of ERISA applicable thereto. No Termination
Event has occurred with respect to any Plan, and each Plan is in compliance with and been administered in accordance with applicable provisions of ERISA and the Code applicable thereto. No “accumulated funding deficiency” (as defined in
Section 302 of ERISA) has occurred and there has been no excise tax imposed under Section 4971 of the Code. No Reportable Event has occurred with respect to any Multiemployer Plan, and each Multiemployer Plan has complied with and been
administered in all material respects with ERISA and the Code applicable thereto. Neither Parent, Borrower, nor any member of a Controlled Group has had a complete or partial withdrawal from any 
  

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 Loan No. 102919 
  

 Multiemployer Plan for which there is any material withdrawal liability. As of the most recent valuation date
applicable thereto, neither Parent, Borrower nor any member of a Controlled Group has received notice that any Multiemployer Plan is insolvent or in reorganization. 
 5.16 GROUND LEASES. Each Ground Lease relating to any Property of Borrower, Parent or any of their Subsidiaries is in full force and effect and, in the case of any Ground Lease relating to any Pool
Property, has not been materially modified or amended (except for such amendments as have been entered into, and furnished to Administrative Agent, prior to the Effective Date and any amendments entered into after the Effective Date that are
approved in writing by Administrative Agent). There exists no default by the lessee under any Ground Lease relating to any Pool Property that has continued beyond the applicable grace or cure period provided for in such Ground Lease and that would
permit the lessor to terminate such Ground Lease. All rents, additional rent and other sums currently due and payable under each Ground Lease relating to any Pool Property have been paid in full. 
 5.17 BUSINESS LOAN; MARGIN STOCK. 
 (a) The Advances hereunder constitute a business loan transaction solely for the purpose of carrying on the business of Borrower. 
 (b) No proceeds of Advances will be used to purchase or carry any margin stock in violation of Regulations T, U or X of the Federal Reserve Board, as the same is from time to time in effect, and all official rulings and interpretations
thereunder or thereof. Borrower is not engaged in the business of extending credit for the purpose of purchasing or carrying margin stock (within the meaning of Regulation U of the Federal Reserve Board). 
 5.18 INVESTMENT COMPANY ACT. Neither Borrower, Parent nor any of their Subsidiaries is an “investment company” or a company
“controlled” by an “investment company” within the meaning of the Investment Company Act of 1940, as amended. 
 5.19
SUBSIDIARIES AND UNCONSOLIDATED AFFILIATES. Schedule 9 hereto correctly sets forth as of the date hereof, and each updated Schedule 9 delivered pursuant to Section 8.1(h) sets forth as of the last day of the
applicable fiscal quarter, (i) the names and jurisdictions of incorporation or formation of all Subsidiaries and Unconsolidated Affiliates in which Borrower, Parent or any of their Subsidiaries has an Equity Interest as of the date of this
Agreement, (ii) the names of the Persons that own Equity Interests in each Subsidiary and the percentage interests owned by each such Person and (iii) the name of the Loan Party or Subsidiary that owns an Equity Interest in each
Unconsolidated Affiliate and the percentage interest owned by it. Except as described in Schedule 9 and except for Investments permitted under this Agreement that are made after the Effective Date and described in the updates of Schedule
9 furnished by Borrower from time to time pursuant to Section 8.1(i), neither Borrower nor Parent nor any of their Subsidiaries owns any Equity Interest in any Person. All outstanding shares of capital stock or other Equity
Interests, as the case may be, of each Subsidiary and each Unconsolidated Affiliate that are owned by Borrower, Parent or any of their Subsidiaries are (1) (except as described in Schedule 9) owned beneficially by Borrower, Parent or one
or more of their Subsidiaries, free and clear of all Liens (other than Permittted Liens), claims, encumbrances 
  

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 Loan No. 102919 
  

 and rights of others, and (2) in the case of Equity Interests in each Subsidiary, duly authorized, validly
issued, fully paid, nonassessable, and issued in compliance with all applicable state and federal securities laws and other Requirements of Law. 
 5.20 CONDITION OF PROPERTIES. Except as disclosed in writing to Administrative Agent, to the best of Borrower’s knowledge, (a) each Property (including mechanical and other building systems and FF&E therein) is
in good repair, working order and condition, (b) each Property is free of any structural defects and (c) there is not any material deferred maintenance with respect to any Property (including mechanical and other building systems and
FF&E therein) that, in the case of clauses (a), (b) or (c), individually or in the aggregate, has resulted in, or could reasonably be expected to result in, any Material Adverse Change. 
 5.21 CASUALTIES; CONDEMNATION. None of the Properties has been adversely affected (except for effects that have been substantially repaired
or corrected) by any fire, casualty, strike, lockout or other labor disturbance, any riot or civil disturbance, any action by any police or armed forces, any termination or cancellation of permits or concessions by any Governmental Authority, or any
condemnation or taking by eminent domain or other similar action that, individually or in the aggregate, has resulted in, or could reasonably be expected to result in, any Material Adverse Change. 
 5.22 INSURANCE. Borrower, Parent or the applicable Subsidiary carry the insurance provided for in Section 7.4(c). 

5.23 POOL PROPERTIES. Each of the Properties included in the Unencumbered Pool satisfies all of the criteria for inclusion in the
Unencumbered Pool. 
 5.24 TAX SHELTER REGULATIONS. Neither Borrower, Parent nor any of their Subsidiaries intends to treat the
Loans or the transactions contemplated by this Agreement and the other Loan Documents as being a “reportable transaction” (within the meaning of Treasury Regulation Section 1.6011-4). If Borrower or any other party to the Loans
determines to take any action inconsistent with such intention, Borrower will promptly notify Administrative Agent thereof. If Borrower so notifies Administrative Agent, Borrower acknowledges that Lenders may treat the Loans as part of a transaction
that is subject to Treasury Regulation Section 301.6112-1, and Lenders will maintain the lists and other records, including the identity of the applicable party to the Loans to the extent required by such Treasury Regulation. 
 ARTICLE 6. HAZARDOUS MATERIALS 
 6.1
SPECIAL REPRESENTATIONS AND WARRANTIES. Without in any way limiting the other representations and warranties set forth in this Agreement, and after reasonable investigation and inquiry, Borrower hereby specially represents and warrants
to the best of Borrower’s knowledge as follows: 
 (a) Hazardous Materials. Except as set forth in the applicable Environmental
Assessment, none of the Pool Properties is or has been a site for the use, generation, manufacture, storage, treatment, release, threatened release, discharge, disposal, transportation or 
  

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 Loan No. 102919 
  

 presence of any oil, flammable explosives, asbestos, urea formaldehyde insulation, radioactive materials, hazardous
wastes, toxic or contaminated substances or similar materials, or fungus, mold, mildew, spores or other biological or microbial agents the presence of which could reasonably be expected to adversely affect human health, impair occupancy or
materially adversely affect the value or utility of the applicable Pool Property, including, without limitation, any substances which are “hazardous substances,” “hazardous wastes,” “hazardous materials,” “toxic
substances,” “wastes,” “regulated substances,” “industrial solid wastes,” or “pollutants” under the Hazardous Materials Laws, as described below, and/or other applicable environmental laws, ordinances and
regulations (collectively, the “Hazardous Materials”). “Hazardous Materials” shall not include commercially reasonable amounts of such materials used, generated, stored, treated, released, discharged, disposed of,
transported or present in the ordinary course of operation and maintenance of the applicable Pool Property which are used, generated, stored, treated, released, discharged, disposed of, transported or present in accordance with all applicable
environmental laws, ordinances and regulations. 
 (b) Hazardous Materials Laws. Except as set forth in the applicable Environmental
Assessment, each of the Pool Properties is in material compliance with all laws, ordinances and regulations relating to Hazardous Materials (“Hazardous Materials Laws”), including, without limitation: the Clean Air Act, as amended,
42 U.S.C. Section 7401 et seq.; the Federal Water Pollution Control Act, as amended, 33 U.S.C. Section 1251 et seq.; the Resource Conservation and Recovery Act of 1976, as amended, 42 U.S.C. Section 6901
et seq.; the Comprehensive Environment Response, Compensation and Liability Act of 1980, as amended (including the Superfund Amendments and Reauthorization Act of 1986), 42 U.S.C. Section 9601 et seq.; the Toxic
Substances Control Act, as amended, 15 U.S.C. Section 2601 et seq.; the Occupational Safety and Health Act, as amended, 29 U.S.C. Section 651, the Emergency Planning and Community Right-to-Know Act of 1986, 42 U.S.C.
Section 11001 et seq.; the Mine Safety and Health Act of 1977, as amended, 30 U.S.C. Section 801 et seq.; the Safe Drinking Water Act, as amended, 42 U.S.C. Section 300f et seq.; and all
comparable state and local laws, laws of other jurisdictions or orders and regulations. 
 (c) Hazardous Materials Claims. Except as
set forth in the applicable Environmental Assessment, there are no material claims or actions by any Governmental Authority or by any other Person relating to Hazardous Materials or pursuant to the Hazardous Materials Laws (“Hazardous
Materials Claims”) pending or threatened against any Pool Property or against Borrower, Parent, or any of their Subsidiaries relating to any Pool Property. 
 (d) No Material Adverse Change. Without limitation of the foregoing provisions of this Section 6.1, there are (i) no Hazardous Materials present on any of the Properties, (ii) no
violations of any Hazardous Materials Laws at any Property or (iii) no claims or actions by any Governmental Authority relating to Hazardous Materials Laws pending or threatened against Borrower, Parent or any of their Subsidiaries or
Unconsolidated Affiliates that (in the case of clauses (i), (ii) and (iii), taken as a whole) have resulted in or could reasonably be expected to result in a Material Adverse Change. 
  

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 Loan No. 102919 
  

 6.2 HAZARDOUS MATERIALS COVENANTS. Borrower agrees as follows: 
 (a) No Hazardous Activities. Borrower shall not cause or permit any Pool Property owned by Borrower, Parent or any of their Subsidiaries or
Unconsolidated Affiliates to be used as a site for the use, generation, manufacture, storage, treatment, release, discharge, disposal, transportation or presence of any Hazardous Materials. 
 (b) Compliance. Borrower, Parent and their Subsidiaries shall comply and cause all Pool Properties to comply in all material respects with all
Hazardous Materials Laws. 
 (c) Notices. Borrower shall promptly notify Administrative Agent in writing of: (i) the discovery of
any Hazardous Materials on, under or about any Pool Property that materially violates or requires reporting pursuant to any Hazardous Materials Laws or could reasonably be expected to materially adversely affect the value of such Pool Property;
(ii) any knowledge by Borrower that any Pool Property does not comply with any Hazardous Materials Laws; and (iii) any Hazardous Materials Claims. 
 (d) Remedial Action. In response to the presence of any Hazardous Materials on, under or about any Pool Property, Borrower shall promptly take, or cause Parent or the applicable Subsidiary to take, at its sole
expense (but without limiting its rights against third parties), all material remedial action required by any Hazardous Materials Laws or any binding judgment, consent decree, settlement or compromise in respect to any Hazardous Materials Claims.

 (e) Material Adverse Change. Without limitation of the foregoing provisions of this Section 6.2, Borrower shall, or
shall cause Parent or the applicable Subsidiary to, comply and cause its Properties to comply with all Hazardous Materials Laws (including any requirements for remediation) to the extent that the failure to do so would or could reasonably be
expected to result in a Material Adverse Change. 
 6.3 INSPECTION BY ADMINISTRATIVE AGENT. Upon reasonable prior notice to
Borrower (but no more often than once per year, unless a Default has occurred and is continuing or Administrative Agent reasonably believes that the conditions hereafter described exist, and so long as any visit will not unreasonably interfere with
Borrower’s or any Subsidiary’s operations), Administrative Agent, its employees and agents, may from time to time enter and inspect any Pool Property, at a time mutually acceptable to Administrative Agent and Borrower, and, if requested by
Borrower, accompanied by a representative of Borrower, for the purpose of determining the existence, location, nature and magnitude of any past or present release or threatened release of any Hazardous Materials into, onto, beneath or from such
Property. 
 6.4 HAZARDOUS MATERIALS INDEMNITY. BORROWER HEREBY AGREES TO DEFEND, INDEMNIFY AND HOLD HARMLESS ADMINISTRATIVE AGENT
AND EACH LENDER, AND THEIR RESPECTIVE DIRECTORS, OFFICERS, EMPLOYEES, AGENTS, SUCCESSORS AND ASSIGNS FROM AND AGAINST ANY AND ALL LOSSES, DAMAGES, LIABILITIES, CLAIMS, ACTIONS, JUDGMENTS, COURT COSTS AND LEGAL OR OTHER EXPENSES (INCLUDING, WITHOUT
LIMITATION, REASONABLE ATTORNEYS’ FEES AND EXPENSES) WHICH 
  

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 Loan No. 102919 
  

 ADMINISTRATIVE AGENT AND/OR ANY LENDER MAY INCUR AS A DIRECT OR INDIRECT CONSEQUENCE OF THE USE, GENERATION,
MANUFACTURE, STORAGE, DISPOSAL, THREATENED DISPOSAL, TRANSPORTATION OR PRESENCE OF HAZARDOUS MATERIALS IN, ON, UNDER OR ABOUT ANY ONE OR MORE OF THE PROPERTIES OF BORROWER, PARENT OR ANY OF THEIR SUBSIDIARIES OF UNCONSOLIDATED AFFILIATES, EXCEPT TO
THE EXTENT ARISING FROM THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF A PARTY INDEMNIFIED UNDER THIS PARAGRAPH. BORROWER SHALL IMMEDIATELY PAY TO ADMINISTRATIVE AGENT AND/OR ANY LENDER, UPON DEMAND, ANY AMOUNTS OWING UNDER THIS INDEMNITY, TOGETHER
WITH INTEREST FROM THE DATE THE INDEBTEDNESS ARISES UNTIL PAID AT THE VARIABLE RATE. BORROWER’S DUTY AND OBLIGATIONS TO DEFEND, INDEMNIFY AND HOLD HARMLESS ADMINISTRATIVE AGENT AND EACH LENDER SHALL SURVIVE THE CANCELLATION OF THE NOTES.

 ARTICLE 7. COVENANTS OF BORROWER 
 7.1 EXPENSES. Borrower shall promptly pay Administrative Agent upon demand (which shall be accompanied by reasonably detailed supporting documentation) (i) all reasonable costs and expenses incurred
by Administrative Agent in connection with: (a) the preparation of this Agreement, all other Loan Documents and Other Related Documents contemplated hereby; (b) the syndication of the credit facility under this Agreement, and (c) the
administration of this Agreement, the other Loan Documents and Other Related Documents for the term of the Credit Agreement and repayment in full of the Loans; and (ii) all reasonable costs and expenses incurred by Administrative Agent or any
Lender in connection with the enforcement or satisfaction by Administrative Agent, Lenders or Swingline Lender of any of Borrower’s obligations under this Agreement, the other Loan Documents or the Other Related Documents. For all purposes of
this Agreement, Administrative Agent’s, Lenders’ and Swingline Lender’s costs and expenses shall include, without limitation, all appraisal fees, cost engineering and inspection fees, reasonable legal fees and expenses, accounting
fees, environmental consultant fees, auditor fees, and Administrative Agent’s internal charges for review of environmental and property condition reports, in each case in connection with the Loan Documents (not to exceed $9,000 in the aggregate
for such reviews in connection with the Initial Advance). If any of the services described above are provided by an employee of Administrative Agent, Administrative Agent’s costs and expenses for such services shall be calculated in accordance
with Administrative Agent’s standard charge for such services. 
 7.2 ERISA COMPLIANCE. Each of Borrower, Parent and any
of their Subsidiaries that are members of the Controlled Group shall at all times comply with the provisions of ERISA with respect to any Plan to which it is a party as employer, and as soon as possible after Borrower knows, or has reason to know,
that any Reportable Event (as defined in ERISA) with respect to any such Plan has occurred, it shall furnish to Administrative Agent a written statement setting forth details as to such Reportable Event and the action, if any, which Borrower, Parent
or such Subsidiary proposes to take with respect thereto, together with a copy of the notice of such Reportable Event furnished to the Pension Benefit Guaranty Corporation. 
  

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 Loan No. 102919 
  

 7.3 LIENS. Borrower covenants and agrees that, except for the Permitted Liens and as
may otherwise be expressly permitted under the Loan Documents (and subject to the limitations provided for therein), neither Borrower, Parent nor any of their Subsidiaries shall create or permit to exist any Lien upon or with respect to any one or
more of the Properties. Notwithstanding anything to the contrary contained herein or in any of the other Loan Documents, Borrower, Parent and their Subsidiaries shall have the right to contest by appropriate legal proceedings diligently prosecuted
and in a manner that shall prevent interference with the use of the applicable Property for its intended purpose (i) any governmental requirement, act or action affecting any Property, (ii) any taxes or assessments imposed or assessed upon
any Property or which may be or become a lien thereon, and (iii) any mechanic’s, materialman’s or other liens or claims for lien (including subordinate liens) upon any Property (all herein called “Contested Items”),
and the existence of a Contested Item shall not constitute a Default hereunder, provided, that the same is contested in accordance with Section 7.24. 
 7.4 USE AND MAINTENANCE OF PROPERTY; INSURANCE. 
 (a) Borrower shall use and operate, or cause to be used and operated, each Pool Property as a Hotel under the Flag under which it is operated at the date hereof or under the Qualified Flag of a Qualified Franchisor or
Qualified Manager (in the case of the Initial Pool Properties) or the Qualified Flag identified in the Unencumbered Pool Supplement or the Qualified Flag of a Qualified Franchisor or Qualified Manager with respect to such Pool Property and not
change, or permit to be changed, the use of any of the Pool Properties (except for changes in ancillary uses that do not materially adversely impact the operation of such Pool Property as a Hotel in accordance with the provisions of this Agreement)
without the consent of the Majority Lenders. Borrower shall maintain and operate, or cause to be maintained and operated, each Property in material compliance with all applicable Requirements of Law and maintain, or cause to be maintained, all of
the material licenses, permits and approvals necessary for the continued operation of the Properties. 
 (b) Borrower, Parent and their
Subsidiaries shall keep in all material respects all Properties owned or leased by them in good repair and working order, condition and appearance (ordinary wear and tear excepted), free of any structural defects and otherwise in a manner consistent
with industry standards in the area in which such Property is located. 
 (c) Borrower, Parent and their Subsidiaries shall maintain
insurance for their respective Properties and businesses, (1) with financially sound and reputable insurance companies or associations and must have an A.M. Best Company financial rating of not less than “A” and (2) of such types
(including insurance against theft and fraud and against loss or damage by fire, flood, explosion or hazard of or to property, comprehensive public liability insurance), in such amounts and with such deductibles, covering such casualties and
contingencies and otherwise on such terms as those usually carried by companies of established reputations engaged in similar businesses and owning similar properties and assets in the same general areas in which Borrower, Parent or their applicable
Subsidiaries operate or as may otherwise be required by applicable Requirements of Law. Borrower shall furnish to Administrative Agent, upon written request, reasonable information as to the insurance carried. 
  

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 7.5 INSPECTION OF PROPERTY; BOOKS AND RECORDS; DISCUSSIONS. Each of Borrower, Parent
and their Subsidiaries shall keep proper books, records and accounts in which full, true and correct entries in conformity in all material respects with GAAP and all Requirements of Law shall be made of all dealings and transactions in relation to
its business and activities; and permit representatives of any Lender (a) to visit and inspect any of the Pool Properties as requested on reasonable prior notice, (b) to examine and make abstracts from any of its books and records at any
reasonable time and as often as may reasonably be desired upon prior written notice to be given no more than once per year unless a Default has occurred that is continuing or Administrative Agent reasonably believes such books, records and accounts
have not been kept in conformity with GAAP, and (c) to discuss the business, operations, Properties and financial and other condition of Borrower, Parent or any of their Subsidiaries and such Unconsolidated Affiliates in which Borrower, Parent
or any of their Subsidiaries owing an interest, as reasonably requested with officers and employees of Borrower, Parent or any of their Subsidiaries and with its independent certified public accountants. 
 7.6 BUSINESS; INVESTMENTS. The activities of Borrower, Parent and their Subsidiaries shall be limited to the acquisition and disposition,
ownership, leasing, maintenance, operation, renovation, development and re-branding of Hotels and business activities incidental thereto, and neither Borrower, Parent nor any of their Subsidiaries will make any Investments, except: 
 (a) extensions of trade credit and other payables in the ordinary course of business; 
 (b) Investments in Cash Equivalents; and 
 (c) Investments in Hotels and Investments incidental thereto, subject to the following limitations: 
 (i) The Book
Value of Investments by Borrower or Parent (directly or indirectly) in Subsidiaries that are not wholly-owned Subsidiaries and in Unconsolidated Affiliates (including loans and advances to such Subsidiaries or Unconsolidated Affiliates) shall not
exceed, in the aggregate at any time, 15% of Gross Asset Value; 
 (ii) The Book Value of Investments by Borrower or Parent
(directly or indirectly) (including Investments through Unconsolidated Affiliates, joint ventures or private equity funds) in hotel properties outside of the United States shall not exceed, in the aggregate at any time, 15% of Gross Asset Value;

 (iii) The Book Value of Investments by Borrower or Parent (directly or indirectly) in Land Held for Development included in
Gross Asset Value shall not exceed, in the aggregate at any time, 2.5% of Gross Asset Value; 
 (iv) The budgeted costs of
development and construction (to completion) of all Construction in Process and Land Held for Development in which Borrower and Parent have any direct or indirect Investments shall not exceed, in the aggregate at any time, 5% of Gross Asset Value;

  

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 (v) Other Investments by Borrower or Parent (directly or indirectly) in any Equity
Interests in, or in any loans or advances (other than loans or advances described in clause (vi) below) to, other Persons shall not exceed, in the aggregate at any time, 1% of Gross Asset Value; 
 (vi) The Book Value of Investments by Borrower or Parent (directly or indirectly) consisting of loans or advances secured by mortgages,
deeds of trust, deeds to secure debt or similar instruments that are a lien on real property not improved with fully operational hotels shall not exceed, in the aggregate at any time, 5% of Gross Asset Value; and 
 (vii) The aggregate Book Value of Investments described in clauses (i) through (vi) above shall not exceed, in the
aggregate at any time, 25% of Gross Asset Value. 
 7.7 MANAGEMENT, FRANCHISE AND OTHER AGREEMENTS. 
 (a) Borrower shall, or shall cause Parent or the applicable Subsidiary Guarantor or Operating Lessee to, perform and observe in all material respects all
of the terms and conditions on its part to be performed and observed under the Major Agreements to which such Person is a party. 
 (b)
Borrower shall, or shall cause Parent or applicable Subsidiary Guarantor or Operating Lessee to, use commercially reasonable efforts to cause each Manager to manage and operate such Person’s applicable Pool Properties in accordance with the
Major Agreements relating thereto. 
 (c) Without the prior written consent of the Majority Lenders (which consent shall not be unreasonably
withheld, conditioned or delayed), Borrower shall not permit any material modification or amendment of any Management Agreement or Franchise Agreement with respect to any Pool Property. Without prior written consent of the Majority Lenders, Borrower
shall not permit the termination of any Franchise Agreement or Management Agreement with respect to any Pool Property unless, prior to terminating such Management Agreement or Franchise Agreement, Borrower or the applicable Subsidiary Guarantor or
Operating Lessee shall have entered into a replacement Management Agreement with a Qualified Manager or replacement Franchise Agreement with a Qualified Franchiser (as applicable), which agreement has (except as hereafter provided) been approved in
writing by the Majority Lenders. Approval of a replacement Management Agreement with a Qualified Manager or replacement Franchise Agreement with a Qualified Franchisor shall not be required if the business terms of the replacement agreement are
substantially the same as those contained in the agreement it is replacing and the form of agreement is substantially the same as a form of agreement so approved with respect to another Pool Property. 
 (d) Except for the Management Agreements and Franchise Agreements identified in Schedule 3 (in the case of the Initial Pool Properties) or in the
applicable Unencumbered Pool Supplement (in the case of any Property designated for inclusion in the Unencumbered Pool after the Effective Date), Borrower covenants and agrees not to enter into, and not to permit Parent or any Subsidiary Guarantor
or Operating Lessee to enter into, any license or franchise agreement with respect to any of the Pool Properties or any agreement for the management of any of the Pool Properties (except as provided in Section 7.7(c)). 
  

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 7.8 ORGANIZATIONAL DOCUMENTS. The Organizational Documents of Borrower, Parent and the
other Loan Parties shall not be modified or amended in any material respect without the prior written consent of Administrative Agent, which shall not be unreasonably withheld, conditioned or delayed. Borrower shall promptly furnish to
Administrative Agent copies of all amendments of the Organizational Documents of Borrower, Parent and any other Loan Party (without respect to which Administrative Agent’s prior written consent hereto is required hereunder). 
 7.9 MAINTENANCE OF EXISTENCE AND GOOD STANDING. Borrower covenants and agrees that each of Borrower, Parent and their Subsidiaries shall
maintain its status as a validly existing corporation, partnership or limited liability company in good standing under the laws of its respective jurisdiction of incorporation or formation, and shall at all times be duly qualified to do business as,
and in good standing as, a foreign corporation, partnership or limited liability company in each jurisdiction in which the conduct of its business or the ownership or leasing of its Properties or other assets makes such qualification necessary
except where the failure to maintain its existence or to so qualify would not result in a Material Adverse Change. 
 7.10 CASUALTY;
CONDEMNATION. 
 (a) In the event that any Pool Property is damaged by fire or other casualty (whether or not insured) or any
Governmental Authority shall commence proceedings to condemn or give notice of the exercise of its right to condemn all or any part of any Pool Property, then Borrower shall promptly give notice thereof to Administrative Agent identifying the
applicable Pool Property (such Pool Property being herein referred to as an “Affected Pool Property”) and describing the nature and extent of the effect on such Pool Property resulting or anticipated to result from such casualty or
condemnation. If such casualty or condemnation impairs, or can reasonably be expected to impair, the value of the Affected Pool Property by an amount that exceeds 10% of its Operating Property Value, then Administrative Agent may elect, by notice to
Borrower, to remove such Affected Pool Property from the Unencumbered Pool, which election shall constitute a Removal Event under Section 4.3(a). 
 (b) Upon completion of the restoration and commencement of full operation of any Affected Pool Property that has been removed from the Unencumbered Pool, Borrower may, subject to and in accordance with the provisions
of Section 4.2, request that such Property again be included in the Unencumbered Pool. 
 7.11 REQUIRED NOTICES.
Borrower covenants and agrees to notify Administrative Agent within ten (10) Business Days after the occurrence of any of the following: (a) any event known to Borrower (or the receipt of any notice by Borrower) that could reasonably be
expected to result in a Material Adverse Change; (b) receipt by Borrower of any notice regarding any material violation of any Requirements of Law affecting Borrower or any other Guarantor or any Pool Property; or (c) the exercise of
rights or remedies under any Major Agreement or the occurrence of a condition that after the giving of notice, the passage of time or both, could constitute a default (by any party thereto) under any Major Agreement. 
  

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 7.12 OPERATING LEASES. Borrower shall and shall cause the parties to each Operating
Lease in respect of a Pool Property to timely perform all of their material obligations under such Operating Lease, and the same shall not be terminated, surrendered, amended, restated or otherwise modified in any material respect without the prior
consent of Administrative Agent (which consent shall not be unreasonably withheld, conditioned or delayed). 
 7.13 FURTHER
ASSURANCES. Upon Administrative Agent’s request and at Borrower’s sole cost and expense, Borrower shall execute, acknowledge and deliver any other instruments and perform any other acts necessary, desirable or proper, as determined
by Administrative Agent in its reasonable judgment, to carry out the purposes of this Agreement and the other Loan Documents. 
 7.14
ASSIGNMENT. Without the prior written consent of all Lenders, Borrower shall not assign Borrower’s interest under any of the Loan Documents, or in any monies due or to become due thereunder, and any assignment without such consent
shall be void. In this regard, Borrower acknowledges that Lenders would not make the Loans except in reliance on Borrower’s and Parent’s expertise, reputation and prior experience in owning and operating hotels, and Lenders’ knowledge
of Borrower and Parent. 
 7.15 REQUIREMENTS OF LAW. Borrower, Parent and their Subsidiaries shall comply in all material
respects with all Requirements of Law. 
 7.16 RESTRICTED PAYMENTS. Neither Borrower, Parent nor any Subsidiary Guarantor will
make any Restricted Payment, except that: 
 (a) provided no Default has occurred and is continuing or would result therefrom, Parent may
make cash payments to its shareholders with respect to common stock (including in connection with the repurchase of stock) which, together with the previous such cash payments in the same fiscal year, are not in excess of the greater of
(i) ninety-five percent (95%) of the Funds From Operations during such fiscal year and (ii) the amount required (on an annualized basis) for Parent to maintain its status as a REIT under the Code; 
 (b) provided no Default has occurred and is continuing or would result therefrom, Borrower shall be entitled to make cash distributions to its partners,
including Parent; 
 (c) a Subsidiary of Borrower may make a Restricted Payment to Borrower and, provided no Default has occurred and is
continuing or could result therefrom, to any other Person; 
 (d) the limited partners of Borrower shall, to the extent provided for in
Borrower’s limited partnership agreement, be entitled to exchange limited partnership interests in Borrower for Parent’s stock or to redeem such interests for cash; 

  

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 (e) Borrower shall be entitled to issue limited partnership interests in Borrower in exchange for
ownership interests in any Person that becomes a Subsidiary or Unconsolidated Affiliate that owns a Property to the extent such Investment is permitted hereunder; and 
 (f) provided no Default has occurred and is continuing or would result therefrom, Parent may pay cash dividends to the holders of its preferred stock. 
 Notwithstanding the foregoing, but subject to the following sentence, if a Default shall have occurred and be continuing, Parent shall not declare or
make cash distributions to its shareholders during any fiscal year in an aggregate amount that exceeds the minimum amount necessary for Parent to maintain its status as a REIT. If a Default specified in Section 9.1(a) or
Section 9.1(f) of this Agreement shall have occurred and be continuing, or if as a result of the occurrence of any other Event of Default the Loans have been accelerated pursuant to Section 9.2 of this Agreement, Parent shall
not, and shall not permit Borrower or any Subsidiary to, make any Restricted Payments to any Person whatsoever other than to Borrower or any of its Subsidiaries. 
 7.17 GUARANTIES FROM FUTURE SUBSIDIARIES; RELEASE OF GUARANTORS.  
 (a) Borrower shall
promptly secure the execution and delivery of the Subsidiary Guaranty (or, after the Effective Date, a Supplemental Guaranty) from each Subsidiary of Borrower and each Subsidiary of Parent, in each case whether now existing, or formed or organized
after the date hereof or in which Borrower, Parent or any of their Subsidiaries acquires any Equity Interest after the date hereof; provided that any Exempt Subsidiary shall not be required to deliver a Subsidiary Guaranty (or Supplemental
Guaranty). Each Subsidiary (other than an Exempt Subsidiary) that does not deliver the Subsidiary Guaranty on the Effective Date shall execute and deliver a Supplemental Guaranty within ten (10) Business Days after (i) such Subsidiary
acquires any material assets or (ii) Borrower, Parent or another Subsidiary acquires an Equity Interest in such Subsidiary (as applicable), provided, however, that Borrower may defer the delivery of such Supplemental Guaranty by
such Subsidiary if, within the ten (10) Business Day period during which such Supplemental Guaranty would otherwise be required to be delivered, Borrower notifies Administrative Agent in writing that such Subsidiary has incurred or intends to
incur, within eighty (80) days of such notice, Indebtedness that would cause such Subsidiary be an Exempt Subsidiary, in which event such Supplemental Guaranty shall be required to be delivered at the end of such 80-day period if such
Indebtedness has not yet been incurred or such later date to which Administrative Agent may, in its discretion, agree. Concurrently with the execution and delivery by such Subsidiary of a Supplemental Guaranty, Borrower will deliver to
Administrative Agent such legal opinions and evidence of corporate or other action and authority in respect thereof as shall be reasonably requested by Administrative Agent. 
 (b) In the event that any Subsidiary Guarantor shall become an Exempt Subsidiary, Borrower may request the release of such Subsidiary Guarantor from its
obligations under the Subsidiary Guaranty, and provided no Default or Potential Default exists, Administrative Agent shall deliver to Borrower, within ten (10) Business Days following such request, a written release 

  

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 of such Subsidiary Guarantor from its obligations under the Subsidiary Guaranty and shall so notify Lenders. If such
Subsidiary was the owner of a Pool Property prior to such release, such Property shall cease to be included in the Unencumbered Pool. 
 (c)
Borrower shall not cause or permit the Organizational Documents of any Subsidiary (whether heretofore or hereafter formed) to include provisions that would cause such Subsidiary to be an Exempt Subsidiary unless required by the terms of any
agreement between Borrower, Parent or such Subsidiary and a third party this is not an Affiliate of Borrower, Parent or such Subsidiary. 
 7.18 USE OF PROCEEDS. Borrower shall use the proceeds of the Advances (a) in the case of the Initial Advance, for repayment of the obligations under the Prior Loan Agreement and (b) in the case of any Advance, for
general corporate or other business purposes, including without limitation the repayment of Indebtedness, property acquisitions and capital expenditures. Borrower will not use, or permit the use of, any of the proceeds of the Advances to purchase or
carry any “margin stock” (as defined in Regulation U) or for any purpose not permitted hereunder. 
 7.19 LIMITATIONS ON
FUNDAMENTAL CHANGES. 
 (a) Neither Borrower, Parent nor any of the Subsidiary Guarantors will enter into any merger, consolidation
or amalgamation, or liquidate, wind up or dissolve itself (or suffer any liquidation or dissolution), except that any Subsidiary Guarantor of Borrower or Parent may be merged or consolidated (i) with or into Borrower or Parent, provided
that Borrower or Parent shall be the continuing or surviving entity, or (ii) with or into any one or more Subsidiaries of Borrower or Parent, provided that, the continuing or surviving entity shall (unless it is or becomes an Exempt
Subsidiary) also be a Subsidiary Guarantor or become a Subsidiary Guarantor on the effective date of such merger or consolidation; and 
 (b)
Neither Borrower nor Parent shall convey, sell, lease, assign, transfer or otherwise dispose of all or substantially all of its property, business or assets. 
 7.20 TRANSACTIONS WITH AFFILIATES. Neither Borrower, Parent nor any of the Subsidiary Guarantors will enter into any transaction, including any purchase, sale, lease (other than an Operating Lease) or
exchange of property or the rendering of any service, with any Affiliate unless such transaction is otherwise permitted under this Agreement, or is upon fair and reasonable terms no less favorable to Borrower, Parent or such Subsidiary, as the case
may be, than it would obtain in a comparable arm’s-length transaction with a Person not an Affiliate. 
 7.21 NO NEGATIVE
PLEDGES. Neither Borrower, Parent nor any Subsidiary Guarantor will enter into, assume or become subject to any agreement prohibiting or otherwise restricting the creation or assumption of any Lien upon its properties or assets, whether now
owned or hereafter acquired, or requiring the grant of any security for such obligation if security is given for some other obligation except as set forth in (a) the Loan Documents, (b) agreements which evidence or secure Indebtedness
secured by Liens permitted under this Agreement so long as such prohibition applies only to the assets subject to such Lien, (c) any contract for the sale of such property or assets, and (d) covenants contained in existing agreements
described in Schedule 10. 

  

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 7.22 COVENANTS WITH RESPECT TO REIT. Parent shall at all times be a publicly-traded
REIT on the New York Stock Exchange, the American Stock Exchange or NASDAQ and shall at all times maintain its status as a REIT under Section 856 of the Code. 
 7.23 GROUND LEASES. 
 (a) Borrower, Parent or the applicable Subsidiary shall perform its
obligations under each Ground Lease affecting any Property in accordance with the terms and provisions thereof. 
 (b) Borrower, Parent or
the applicable Subsidiary shall not cause or permit (i) any material amendment or modification of any Ground Lease affecting any Pool Property without the prior written approval of the Majority Lenders (which approval shall not be unreasonably
withheld, conditioned or delayed), or (ii) the termination of any Ground Lease affecting any Pool Property (other than in connection with purchase of a fee interest), in each case without the prior written approval of a replacement Ground Lease
by the Majority Lenders. 
 (c) Borrower shall promptly give notice to Administrative Agent of any event or occurrence that, with notice or
passage of time or both, would constitute an event of default under any Ground Lease affecting any Pool Property and shall promptly furnish to Administrative Agent a copy of any notice given or received by Borrower, Parent or the applicable
Subsidiary pursuant to any Ground Lease relating to any Pool Property alleging any breach or default by either party thereunder. 
 7.24
PAYMENT OF TAXES, ETC. Each of Borrower, Parent and their Subsidiaries shall pay and discharge, before the same shall become delinquent (a) all taxes, assessments and governmental charges or levies imposed upon it or upon its
income or profits or Properties or other assets that are material in amount, prior to the date on which penalties attach thereto and (b) all lawful claims that are material in amount which, if unpaid, might by Requirements of Law become a Lien
upon their Properties or other assets; provided, however, that neither Borrower, Parent nor any Subsidiary shall be required to pay or discharge any such tax, assessment, charge, levy, or claim (i) that is being contested in good
faith and by appropriate proceedings, (ii) with respect to which reserves in conformity with GAAP have been provided, (iii) if such charge or claim does not constitute and is not secured by any choate Lien on any portion of any Property
and no portion of any Property is in jeopardy of being sold, forfeited or lost during or as a result of such contest, (iv) neither Administrative Agent nor any Lender could become subject to any civil or criminal fine or penalty, in each case
as a result of non-payment of such charge or claim and (v) such contest does not, and could not reasonably be expected to, result in a Material Adverse Change. 
 7.25 AGREEMENTS RESTRICTING DISTRIBUTIONS FROM SUBSIDIARIES. Borrower will not, nor will it permit Parent or any of the Subsidiary Guarantors to, enter into any agreement which limits distributions to or
any advance by any of the Subsidiary Guarantors to Borrower or Parent except for (a) the Loan Documents, (b) prohibitions on transfers contained in any contract for the sale of property or assets entered into by a Subsidiary Guarantor and
(c) covenants contained in existing agreements described in Schedule 10. 

  

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 7.26 LEVERAGE RATIO. The Leverage Ratio shall not at any time exceed 60%. 

7.27 NEW PROPERTY RATIO. The New Property Ratio shall not exceed (a) 50% at any time from and after January 1, 2007 through
and including the Original Maturity Date or (b) 40% at any time after the Original Maturity Date. 
 7.28 SECURED DEBT
RATIO. The ratio (expressed as a percentage) of Secured Debt to Gross Asset Value shall not exceed (a) 50% at any time from and after the Effective Date through and including December 31, 2006 or (b) 45% at any time after
December 31, 2006. 
 7.29 FIXED CHARGE COVERAGE RATIO. The ratio of EBITDA to Fixed Charges for any period of four
consecutive fiscal quarters shall not be less than (a) 1.30 to 1.00 determined as of the last day of any fiscal quarter after the Effective Date through and including December 31, 2006 or (b) 1.50 to 1.00 determined as of the last day
of any fiscal quarter after December 31, 2006. 
 7.30 UNSECURED INTEREST COVERAGE RATIO. The ratio of Unencumbered
Adjusted NOI to Unsecured Interest Expense for any period of four consecutive fiscal quarters determined as of the last day of any fiscal quarter shall not at any time be less than 2.00 to 1.00. 
 7.31 RATIO OF UNSECURED DEBT TO UNENCUMBERED PROPERTY VALUE. The ratio (expressed as a percentage) of Unsecured Debt to the Operating
Property Value of all Pool Properties in the aggregate shall not at any time exceed 55%. 
 7.32 TANGIBLE NET WORTH. Tangible
Net Worth shall at all times exceed the sum of (a) $419,459,000, plus (b) 80% of the net cash proceeds or value derived from the issuance or sale of equity securities of Parent or partnership units of Borrower after
December 31, 2005 (net of equity securities redeemed with such proceeds), plus (c) an amount equal to 80% of the market value of any equity securities of Parent or partnership units of Borrower at the time the same are used to pay for any
assets acquired by Borrower, Parent or any of their Subsidiaries after December 31, 2005. 
 ARTICLE 8. REPORTING COVENANTS

 8.1 FINANCIAL INFORMATION. Borrower shall furnish (or cause to be furnished) to Administrative Agent, the following
financial statements and information at the following times: 
 (a) As soon as available, and in any event within 90 days after the close of
each fiscal year of Parent, a consolidated balance sheet and income statement of Parent and its Subsidiaries (including Borrower and its Subsidiaries), as of the end of such fiscal year, together with a related consolidated statement of cash flows
for such fiscal year, setting forth in comparative form consolidated figures for the preceding fiscal year, audited by KPMG or by independent certified public accountants of recognized national standing reasonably acceptable to 

  

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 Administrative Agent and whose opinion shall be to the effect that such financial statements have been prepared in
accordance with GAAP and shall not be limited as to the scope of the audit or qualified in any manner, except for qualifications resulting from changes in GAAP and required or approved by Parent’s independent certified public accountants.

 (b) As soon as available, and in any event within forty-five (45) days after the close of each fiscal quarter (except when such
fiscal quarter is the last fiscal quarter of the fiscal year) of such fiscal year of Parent, the unaudited consolidated balance sheet and income statement of Parent and its Subsidiaries (including Borrower and its Subsidiaries), as of the end of
such quarter, together with a related unaudited consolidated statement of cash flows for such fiscal quarter, in each case setting forth in comparative form consolidated figures for the corresponding period of the preceding fiscal year, accompanied
by a certificate of an authorized financial officer of Parent to the effect that such consolidated statements are true and correct and have been prepared in accordance with GAAP, subject to changes resulting from audit and normal year-end audit
adjustments. 
 (c) Within thirty (30) days after the end of each fiscal quarter of each fiscal year of Parent, with respect to each
Pool Property an operating statement for each Pool Property for the preceding calendar quarter (prepared in accordance with GAAP), certified as true, correct and complete by an authorized financial officer of Parent, together with: (i) a
comparison of the results for such quarter with (A) the projections for such quarter contained in the budget and business plan and (B) the actual results for the same calendar quarter in the immediately preceding calendar year;
(ii) an operating statement for the twelve-month period ending with such quarter, together with a comparison of such operating statement with (A) the projections for such twelve-month period contained in the budget and business plan and
(B) the actual results for the twelve-month period ending with the same calendar quarter in the immediately preceding calendar year; and (iii) an operating statement showing year-to-date results for the period ending with such quarter,
together with a comparison of such operating statement with (A) the projections for such year-to-date period contained in the budget and business plan and (B) the actual results for the year-to-date period ending with the same calendar
quarter in the immediately preceding calendar year. The quarterly operating statement and the items referred to in clauses (i), (ii) and (iii) shall include, for the applicable periods, a breakdown of sales, revenues and
operating expenses, the calculation of Adjusted NOI, house profit, average daily room rate, average occupancy, and revenue per available room. 
 (d) Within thirty (30) days after the end of each calendar quarter, the most recent Smith Travel Research Star Reports comparing each Pool Property to its competitive set. 
 (e) Within ninety (90) days of the end of each fiscal year, profit and loss operating statements for such fiscal year, budgets for the current
fiscal year and the planned capital expenditure budget for each Property owned by Borrower, Parent or any of their Subsidiaries. 
 (f)
Within forty-five (45) days of the end of each fiscal quarter, a certificate of an authorized senior officer of Parent that Parent continues to be qualified as a REIT under the Code. 
  

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 (g) Within thirty (30) days of receipt of same by Borrower or any Subsidiary Guarantor or
Operating Lessee, copies of all material reports of any Manager or Franchisor with respect to any Pool Property. 
 (h) Within forty-five
(45) days of the end of each fiscal quarter, an update of Schedule 9 (reflecting any changes therein since the most recent such Schedule delivered hereunder) and a certificate of an authorized senior officer of Borrower that the
representations and warranties in Section 5.19 are true and correct (as applied to such updated Schedule 9). 
 (i)
Promptly and in any event within 10 Business Days after the filing thereof, copies of all documents that Parent files with the United States Securities and Exchange Commission relating to any equity offering or shelf registration. 
 (j) As soon as possible and in any event (i) within 30 days after Parent, Borrower or any member of a Controlled Group knows that any Termination
Event described in clause (a) of the definition of Termination Event with respect to any Plan has occurred, (ii) within 10 days after Parent, Borrower or any member of a Controlled Group knows that any other Termination Event with respect
to any Plan has occurred, a statement of the Chief Financial Officer of Parent describing such Termination Event and the action, if any, which the Parent, Borrower or such member of such Controlled Group proposes to take with respect thereto;
(iii) within 10 days after receipt thereof by Parent, Borrower or any member of a Controlled Group from the PBGC, copies of each notice received by Parent, Borrower or any such member of such Controlled Group of the PBGC’s intention to
terminate any Plan or to have a trustee appointed to administer any Plan; and (iv) within 10 days after receipt thereof by Parent, Borrower or any member of a Controlled Group from a Multiemployer Plan sponsor, a copy of each notice received by
Parent, Borrower or any member of such Controlled Group concerning the imposition or amount of withdrawal liability pursuant to Section 4202 of ERISA. 
 (k) Such other financial information and reports with respect to Borrower, Parent or any of their Subsidiaries or Unconsolidated Affiliates (to the extent available) or any Properties owned by any of them as
Administrative Agent or any Lender may from time to time reasonably require. 
 All of the foregoing financial statements, certificates and
reports shall be in form and detail reasonably acceptable to Administrative Agent. 
 8.2 BORROWING BASE CERTIFICATE. Within
thirty (30) days after the close of each fiscal quarter of each fiscal year, Borrower shall provide a Borrowing Base Certificate properly completed to provide all information required to be included thereon or attached thereto. 
 8.3 COMPLIANCE CERTIFICATE. Within thirty (30) days after the close of each fiscal quarter of each fiscal year, Borrower shall provide
a Compliance Certificate properly completed to provide all information required to be included thereon or attached thereto. 
 8.4
KNOWLEDGE OF DEFAULT; ETC. Borrower shall promptly, upon obtaining knowledge thereof, report in writing to Administrative Agent the occurrence of any 
  

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 Default or Potential Default. In the case of any Potential Default, such notice shall include, as applicable, the
affirmative steps which Borrower has taken or intends to take during the applicable cure period in order to avoid the occurrence of a Default with respect to the subject event, circumstance or condition. 
 8.5 PROCEEDINGS. Borrower shall promptly, upon obtaining knowledge thereof, report in writing to Administrative Agent, (i) the
institution of, or threat of, any proceeding against or affecting Borrower, Parent or any of their Subsidiaries or any Property, including any eminent domain or other condemnation proceedings affecting any Property, or (ii) any material
development in any proceeding already disclosed, which, in either case, has resulted in or could reasonably be expected to result in a Material Adverse Change, which notice shall contain such information as may be reasonably available to Borrower to
enable Administrative Agent and its counsel to evaluate such matters. 
 ARTICLE 9. DEFAULTS AND REMEDIES 
 9.1 DEFAULT. 
 The occurrence
of any one or more of the following shall constitute an event of default (hereinafter, “Default”) under this Agreement and the other Loan Documents: 
 (a) Monetary. Borrower’s failure to pay (i) any principal of any Loan when due under this Agreement, the Notes or under any of the other Loan Documents (including without limitation principal amounts
payable under Sections 2.9 and 4.3(c)), (ii) any sums payable under this Agreement, the Notes or the other Loan Documents at maturity (by acceleration or otherwise) or (iii) except or as otherwise provided above, any sum
payable under this Agreement, the Notes or the other Loan Documents within five (5) Business Days of the later of (A) the date when such payment is due or (B) written notice (which may include the invoice for such payment) that such
payment is due; or 
 (b) Performance of Obligations. The failure of any Loan Party within thirty (30) days after written notice
to cure any non-monetary default hereunder (or under any other Loan Document) for which no other grace period is specifically provided herein or therein; provided, however, that: (i) if such default is not susceptible of cure within such thirty
(30) day period, such thirty (30) day period shall be extended to a ninety (90) day period, but only if (A) such Loan Party shall commence such cure within such thirty (30) day period and shall thereafter prosecute such cure
to completion, diligently and without delay, and (B) no other Default or Potential Default shall have occurred; and (ii) the grace period provided in this section shall in no event apply to any default relating to (A) maintaining the
insurance required hereunder, (B) the payment of money to any Person, (C) the fraudulent or intentional misapplication of any funds (including, but not limited to, insurance and condemnation proceeds, rents and other revenues received by
Borrower), (D) Sections 9.1(c) through 9.1(n) of this Agreement or (E) any other Default for which this Agreement or the applicable Loan Document specifically provides that no period of grace shall be applicable; or

 (c) Use. The prohibition, enjoining or interruption of Borrower’s, Parent’s or any Subsidiary Guarantor’s or
Operating Lessee’s right to occupy, operate, use or rent any Pool Property for a continuous period of more than thirty (30) days (other than by reason of any casualty or condemnation); or 
  

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 (d) Liens, Attachment. (i) The recording of any claim of Lien (other than a Permitted
Lien) against any Pool Property and the continuance of such claim of Lien for thirty (30) days without discharge, satisfaction or provision for payment being made by Borrower in a manner satisfactory to Administrative Agent; or (ii) the
sequestration or attachment of, or any levy or execution upon any Pool Property, or any substantial portion of the other assets of Borrower, which sequestration, attachment, levy or execution is not released, expunged or dismissed prior to the
earlier of thirty (30) days or the sale of the assets affected thereby; or 
 (e) Representations and Warranties. The material
breach of any representation or warranty of any Loan Party in any of the Loan Documents on the date made or deemed to have been made; or 
 (f) Voluntary Bankruptcy; Insolvency; Dissolution. (i) The filing of a petition by Borrower or Parent for relief under the Bankruptcy Code or any other present or future state or federal law regarding bankruptcy, reorganization
or other debtor relief law (each such law, including the Bankruptcy Code, a “Debtor Relief Law”); (ii) the filing of any pleading or an answer by Borrower or Parent in any involuntary proceeding under any Debtor Relief Law
which admits the jurisdiction of the court or the petition’s material allegations regarding Borrower’s or Parent’s insolvency; (iii) a general assignment by Borrower or Parent for the benefit of creditors; (iv) Borrower or
Parent applying for, or the appointment of, a receiver, trustee, custodian or liquidator of Borrower or Parent or any of its property; or (v) Borrower or Parent takes any action authorizing any of the foregoing; or 
 (g) Involuntary Bankruptcy. The failure of Borrower or Parent to effect a full dismissal of any involuntary petition under any Debtor Relief Law
that is filed against Borrower or Parent or in any way restrains or limits Borrower, Parent, Administrative Agent or Lenders regarding the Loan prior to the earlier of the entry of any court order granting relief sought in such involuntary petition,
or sixty (60) days after the date of filing of such involuntary petition; or 
 (h) Partners; Guarantors. The occurrence of any
of the events specified in Section 9.1(f) or Section 9.1(g) as to any Guarantor or other Loan Party (other than Borrower or Parent); or 
 (i) Encumbrances; Change in Control. If all or any portion of any direct or indirect interest in Borrower (excluding (A) partnership interests in Borrower owned by any Person other than Parent and (B) stock in Parent) is
pledged, hypothecated or encumbered or any Change in Control occurs, all whether voluntarily, involuntarily, by operation of law or otherwise; or 
 (j) Judgments. Borrower, Parent or any of their Subsidiaries shall fail, prior to delinquency, to pay, bond or otherwise discharge one or more judgments or orders (except to the extent stayed on appeal) for the payment of money in
excess of $10,000,000 in the aggregate; or 
  

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 (k) Indebtedness. Failure of Borrower, Parent or any Subsidiary Guarantor to pay when due any
Material Indebtedness (beyond the applicable grace period with respect thereto, if any); or the default by Borrower, Parent or any Subsidiary Guarantor in the performance of any term, provision or condition contained in any Material Indebtedness
Agreement or any other event shall occur or condition exist, which default, event or condition results in such Material Indebtedness becoming due prior to its stated maturity or in the termination of any commitment to lend under any Material
Indebtedness Agreement prior to its stated expiration date or any Material Indebtedness of Borrower, Parent or any Subsidiary Guarantor shall be declared to be due and payable or the repurchase, prepayment, defeasance or redemption thereof shall be
required prior to the stated maturity thereof; or 
 (l) ERISA. (i) Any Person shall engage in any “prohibited
transaction” (as defined in Section 406 of ERISA or Section 4975 of the Code) involving any Plan, (ii) any “accumulated funding deficiency” (as defined in Section 302 of ERISA), whether or not waived, shall exist
with respect to any Plan, (iii) a Reportable Event shall occur with respect to, or proceedings shall commence to have a trustee appointed, or a trustee shall be appointed, to administer or to terminate, any Plan, which Reportable Event or
commencement of proceedings or appointment of a trustee is likely to result in the termination of such Plan for purposes of Title IV of ERISA, unless such Reportable Event, proceedings or appointment are being contested by the Parent or
Borrower in good faith and by appropriate proceedings, (iv) any Plan shall terminate for purposes of Title IV of ERISA, (v) Parent, Borrower or any member of a Controlled Group shall incur any liability in connection with a withdrawal
from a Multiemployer Plan or the insolvency (within the meaning of Section 4245 of ERISA) or reorganization (within the meaning of Section 4241 of ERISA) of a Multiemployer Plan, unless such liability is being contested by Parent or
Borrower in good faith and by appropriate proceedings, or (vi) any other event or condition shall occur or exist, with respect to a Plan; and in each case in clauses (i) through (vi) above, such event or condition,
together with all other such events or conditions, if any, could subject Borrower or any Guarantor to any tax, penalty or other liabilities in the aggregate exceeding $1,000,000 at the time of such event or upon occurrence of such condition; or

 (m) Loan Documents. Any Loan Documents shall for any reason cease to be valid and binding on any Loan Party that is a party thereto
or any such Loan Party shall so state in writing (except as contemplated herein in respect of the Subsidiary Guaranty); or 
 (n)
Additional Defaults. If at any time (i) there is a violation of Section 7.7(c), 7.7(d), 7.14, 7.16, 7.18, 7.19, or 7.23(b) of this Agreement or (ii) a violation of
Section 7.26, 7.27, 7.28, 7.29, 7.30, 7.31 or 7.32 of this Agreement that is not cured within thirty (30) days after the occurrence thereof. 
 9.2 ACCELERATION UPON DEFAULT; REMEDIES. 
 (a) Upon the occurrence of any Default specified in Section 9.1(f) or (g), all Loans and all other sums owing to Lenders and Administrative Agent under the Notes, this Agreement and the other Loan
Documents shall be immediately due and payable and all Commitments shall terminate. Upon the occurrence of any other Default specified in this Article 9, Administrative Agent may, and upon the direction of the Requisite Lenders shall, declare
all Loans and all other sums owing to Lenders and Administrative Agent under the Notes, this Agreement and the other Loan Documents immediately due and payable and all Commitments shall terminate. 
  

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 (b) Except as otherwise provided in any Loan Document, Borrower waives: grace; presentment; demand;
notice of dishonor; notice of default or delinquency; notice of intent to accelerate; notice of acceleration; notice of protest and nonpayment; notice of costs, expenses or losses and interest thereon; notice of late charges; and diligence in taking
any action to collect any Loan or any other sums owing under the Notes. 
 9.3 REPAYMENT OF FUNDS ADVANCED. Any funds expended
by Administrative Agent or any Lender in the exercise of its rights or remedies under this Agreement and the other Loan Documents shall be payable to Administrative Agent upon demand, together with interest at the rate applicable to the principal
balance of the Notes from the date the funds were expended. 
 9.4 RIGHTS CUMULATIVE, NO WAIVER. All of Administrative
Agent’s and Lenders’ rights and remedies provided in this Agreement and the other Loan Documents, together with those granted by law or at equity, are cumulative and may be exercised by Administrative Agent and Lenders at any time and from
time to time. Administrative Agent’s or any Lender’s exercise of any right or remedy shall not constitute a cure of any Default unless all sums then due and payable to Administrative Agent and Lenders under the Loan Documents are repaid
and Borrower has cured all other Defaults. No waiver shall be implied from any failure of Administrative Agent or any Lender to take, or any delay by Administrative Agent or any Lender in taking, action concerning any Default or failure of condition
under the Loan Documents, or from any previous waiver of any similar or unrelated Default or failure of condition. Any waiver or approval under any of the Loan Documents must be in writing and shall be limited to its specific terms. 
 ARTICLE 10. ADMINISTRATIVE AGENT; INTERCREDITOR PROVISIONS 
 10.1 APPOINTMENT AND AUTHORIZATION. 
 (a) Each Lender hereby irrevocably
appoints and authorizes Administrative Agent to take such action as contractual representative on such Lender’s behalf and to exercise such powers under this Agreement, the other Loan Documents and Other Related Documents as are specifically
delegated to Administrative Agent by the terms hereof and thereof, together with such powers as are reasonably incidental thereto. Not in limitation of the foregoing, each Lender authorizes and directs Administrative Agent to enter into the Loan
Documents and Other Related Documents for the benefit of the Lenders. 
 (b) Each Lender hereby agrees that, except as
otherwise set forth herein, any action taken by the Requisite Lenders (or, where this Agreement so specifies, the Majority Lenders) in accordance with the provisions of this Agreement, the Loan Documents or the Other Related Documents, and the
exercise by the Requisite Lenders (or, where this Agreement so specifies, the Majority Lenders) of the powers set forth herein or therein, together with such other powers as are reasonably incidental thereto, shall be authorized and binding upon all
of the Lenders. 
  

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 (c) Nothing herein shall be construed to deem Administrative Agent a trustee or
fiduciary for any Lender or to impose on Administrative Agent duties or obligations other than those expressly provided for herein. Without limiting the generality of the foregoing, the use of the terms “Administrative Agent”,
“Agent”, “agent” and similar terms in the Loan Documents or Other Related Documents with reference to Administrative Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency
doctrine of any applicable Requirements of Law. Instead, use of such terms is merely a matter of market custom, and is intended to create or reflect only an administrative relationship between independent contracting parties. 
 (d) Administrative Agent shall deliver to each Lender, promptly upon receipt thereof by Administrative Agent, copies of each of the
financial statements, certificates, notices and other documents delivered to Administrative Agent pursuant to Article 8. Administrative Agent will also furnish to any Lender, upon the request of such Lender, a copy (or, where appropriate, an
original) of any document, instrument, agreement, certificate or notice furnished to Administrative Agent by Borrower, any Loan Party or any other Affiliate of Borrower, pursuant to this Agreement or any other Loan Document not already delivered to
such Lender pursuant to the terms of this Agreement or any such other Loan Document. 
 (e) As to any matters not expressly
provided for by the Loan Documents and Other Related Documents (including, without limitation, enforcement or collection of any of Borrower’s obligations hereunder), Administrative Agent shall not be required to exercise any discretion or take
any action, but shall be required to act or to refrain from acting (and shall be fully protected in so acting or refraining from acting) upon the instructions of the Requisite Lenders (or all of the Lenders if explicitly required under any other
provision of this Agreement), and such instructions shall be binding upon all Lenders and all holders of any of the obligations of Borrower; provided, however, that, notwithstanding anything in this Agreement to the contrary,
Administrative Agent shall not be required to take any action which exposes Administrative Agent to personal liability or which is contrary to this Agreement or any other Loan Document or Requirements of Law. Not in limitation of the foregoing,
Administrative Agent shall exercise any right or remedy it or the Lenders may have under any Loan Document upon the occurrence of a Potential Default or Default unless the Requisite Lenders have directed Administrative Agent otherwise. Without
limiting the foregoing, no Lender shall have any right of action whatsoever against Administrative Agent as a result of Administrative Agent acting or refraining from acting under this Agreement, the other Loan Documents, or the Other Related
Documents in accordance with the instructions of the Requisite Lenders, or where applicable, all the Lenders. 
 10.2 WELLS FARGO AS
LENDER. Wells Fargo, as a Lender, shall have the same rights and powers under this Agreement and any other Loan Document as any other Lender and may exercise the same as though it were not Administrative Agent; and the term
“Lender” or “Lenders” shall, unless otherwise expressly indicated, include Wells Fargo in each case in its individual capacity. Wells Fargo and its affiliates may each accept deposits from, maintain deposits or credit balances
for, invest in, lend money to, act as trustee under indentures of, serve as financial advisor to, and generally engage in any kind of business with Borrower, any other Loan Party or any other affiliate thereof as if it were any other bank and
without any duty to 
  

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 account therefor to the other Lenders. Further, Administrative Agent and any affiliate may accept fees and other
consideration from Borrower for services in connection with this Agreement and otherwise without having to account for the same to the other Lenders. The Lenders acknowledge that, pursuant to such activities, Wells Fargo or its affiliates may
receive information regarding Borrower, other Loan Parties, other subsidiaries and other Affiliates (including information that may be subject to confidentiality obligations in favor of such Person) and acknowledge that Administrative Agent shall be
under no obligation to provide such information to them. 
 10.3 LOAN DISBURSEMENTS. 
 (a) Each Lender shall make available to Administrative Agent (or the funding bank or entity designated by Administrative Agent), the
amount of such Lender’s Pro Rata Share of such disbursement in immediately available funds not later than the times designated in Section 10.3(b). Unless Administrative Agent shall have been notified by any Lender not later than the
close of business (Pacific time) on the Business Day immediately preceding the Borrowing Date in respect of any disbursement that such Lender does not intend to make available to Administrative Agent such Lender’s Pro Rata Share of such
disbursement, Administrative Agent may assume that such Lender shall make such amount available to Administrative Agent. If any Lender does not notify Administrative Agent of its intention not to make available its Pro Rata Share of such
disbursement as described above, but does not for any reason make available to Administrative Agent such Lender’s Pro Rata Share of such disbursement, such Lender shall pay to Administrative Agent forthwith on demand such amount, together with
interest thereon at the Federal Funds Rate. In any case where a Lender does not for any reason make available to Administrative Agent such Lender’s Pro Rata Share of such disbursement, Administrative Agent, in its sole discretion, may, but
shall not be obligated to, fund to Borrower such Lender’s Pro Rata Share of such disbursement. If Administrative Agent funds to Borrower such Lender’s Pro Rata Share of such disbursement and if such Lender subsequently pays to
Administrative Agent such corresponding amount, such amount so paid shall constitute such Lender’s Pro Rata Share of such disbursement. Nothing in this Section 10.3(a) shall alter the respective rights and obligations of the parties
hereunder in respect of a Defaulting Lender or a Non-Pro Rata Advance. 
 (b) Requests by Administrative Agent for funding by
Lenders of disbursements will be made by telecopy. Each Lender shall make the amount of its disbursement available to Administrative Agent in Dollars and in immediately available funds, to such bank and account, in El Segundo, California (or to such
bank and account in such other place) as Administrative Agent may designate, not later than 9:00 A.M. (Pacific time) on the Borrowing Date designated by Administrative Agent with respect to such disbursement, but in no event earlier than two
(2) Business Days following Lender’s receipt of the applicable request for disbursement of a Fixed Rate Loan or one (1) Business Day following Lender’s receipt of the applicable request for disbursement of a Variable Rate Loan.

 (c) Nothing in this Section 10.3 shall be deemed to relieve any Lender of its obligation hereunder to make its
Pro Rata Share of disbursements on any Borrowing Date, nor shall Administrative Agent or any Lender be responsible for the failure of any other Lender to 
  

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 perform its obligations to make any disbursement hereunder, and the Commitment of any Lender shall
not be increased or decreased as a result of the failure by any other Lender to perform its obligation to make a disbursement. 
 10.4
DISTRIBUTION AND APPORTIONMENT OF PAYMENTS; DEFAULTING LENDERS. 
 (a) Subject to Section 10.4(b)
below, payments actually received by Administrative Agent for the account of Lenders shall be paid to them promptly after receipt thereof by Administrative Agent, but in any event within one (1) Business Day, provided that Administrative Agent
shall pay to Lenders interest thereon, at the lesser of (i) the Federal Funds Rate and (ii) the rate of interest applicable to the Loan, from the Business Day following receipt of such funds by Administrative Agent until such funds are
paid in immediately available funds to Lenders. All payments of principal, interest, and other payments under the Loan Documents or Other Related Documents shall be allocated among such of Lenders as are entitled thereto, in proportion to their
respective Pro Rata Shares in the Revolving Loans or otherwise as provided herein or as separately agreed by Administrative Agent and any Lender, provided, however, that all payments in respect of Swingline Loans shall be paid to the
Swingline Lender. Administrative Agent shall promptly distribute, but in any event within one (1) Business Day, to each Lender at its primary address set forth on the appropriate signature page hereof or on the Assignment and Assumption
Agreement or Facility Increase Supplement, or at such other address as a Lender may request in writing, such funds as it may be entitled to receive, provided that Administrative Agent shall in any event not be bound to inquire into or determine the
validity, scope or priority of any interest or entitlement of any Lender and may suspend all payments and seek appropriate relief (including, without limitation, instructions from Requisite Lenders or all Lenders, as applicable, or an action in the
nature of interpleader) in the event of any doubt or dispute as to any apportionment or distribution contemplated hereby. The order of priority herein is set forth solely to determine the rights and priorities of Lenders as among themselves and may
at any time or from time to time be changed by Lenders as they may elect, in writing in accordance with this Agreement, without necessity of notice to or consent of or approval by Borrower or any other Person. All payments or other sums received by
Administrative Agent for the account of Lenders shall not constitute property or assets of Administrative Agent and shall be held by Administrative Agent, solely in its capacity as agent for itself and the other Lenders, subject to the Loan
Documents and the Other Related Documents. 
 (b) Notwithstanding any provision hereof to the contrary, until such time as a
Defaulting Lender has funded its Pro Rata Share of each prior Revolving Loan disbursement which was previously a Non-Pro Rata Advance, or all other applicable Lenders have received payment in full (whether by repayment or prepayment) of the amounts
due in respect of such Non-Pro Rata Advance, all of the indebtedness and obligations owing to such Defaulting Lender hereunder shall be subordinated in right of payment, as provided in the following sentence, to the prior payment in full of all
principal, interest and fees in respect of all Non-Pro Rata Advances in which the Defaulting Lender has not funded its Pro Rata Share (such principal, interest and fees being referred to as “Senior Loans”). All amounts paid by
Borrower and otherwise due to be applied to the indebtedness and obligations owing to the Defaulting Lender pursuant to the terms 
  

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 hereof shall be distributed by Administrative Agent to the other Lenders in accordance with their
respective Pro Rata Shares (recalculated for purposes hereof to exclude the Defaulting Lender’s Pro Rata Share), until all Senior Loans have been paid in full. This provision governs only the relationship among Administrative Agent, each
Defaulting Lender, and the other Lenders; nothing hereunder shall limit the obligations of Borrower under this Agreement. The provisions of this section shall apply and be effective regardless of whether a Default occurs and is then continuing, and
notwithstanding (i) any other provision of this Agreement to the contrary, (ii) any instruction of Borrower as to its desired application of payments or (iii) the suspension of such Defaulting Lender’s right to vote on matters
which are subject to the consent or approval of Requisite Lenders or all Lenders. Administrative Agent shall be entitled to (A) withhold or setoff, and to apply to the payment of the defaulted amount and any related interest, any amounts to be
paid to such Defaulting Lender under this Agreement, and (B) bring an action or suit against such Defaulting Lender in a court of competent jurisdiction to recover the defaulted amount and any related interest. In addition, the Defaulting
Lender shall indemnify, defend and hold Administrative Agent and each of the other Lenders harmless from and against any and all liabilities and costs, plus interest thereon at the Alternate Rate, which they may sustain or incur by reason of or as a
direct consequence of the Defaulting Lender’s failure or refusal to perform its obligations under this Agreement. 
 10.5 PRO RATA
TREATMENT. Except to the extent otherwise provided herein: (a) each borrowing of Revolving Loans from Lenders shall be made from the Lenders, each payment of the fees shall be made for the account of the Lenders, and each termination or
reduction of the amount of the Commitments pursuant to this Agreement shall be applied to the respective Commitments of the Lenders, pro rata according to the amounts of their respective Commitments; (b) each payment or prepayment of principal
of any Revolving Loan by Borrower shall be made for the account of the Lenders pro rata in accordance with the respective unpaid principal amounts of such Revolving Loan held by them, provided that if immediately prior to giving effect to any such
payment in respect of any Revolving Loan the outstanding principal amount of such Revolving Loan shall not be held by the Lenders pro rata in accordance with their respective Commitments in effect at the time such Revolving Loan was made, then such
payment shall be applied to such Revolving Loan in such manner as shall result, as nearly as is practicable, in the outstanding principal amount of the Revolving Loans being held by the Lenders pro rata in accordance with their respective
Commitments; and (c) each payment of interest on the Revolving Loans by Borrower shall be made for the account of the Lenders pro rata in accordance with the amounts of interest on such Revolving Loan then due and payable to the respective
Lenders. 
 10.6 SHARING OF PAYMENTS, ETC. Lenders agree among themselves that (i) with respect to all amounts received by
them which are applicable to the payment of the obligations of Borrower or Guarantor under the Revolving Loans, equitable adjustment will be made so that, in effect, all such amounts will be shared among them ratably in accordance with their Pro
Rata Shares in the Revolving Loans, whether received by voluntary payment, by counterclaim or cross action or by the enforcement of any or all of such obligations, (ii) if any of them shall by voluntary payment or by the exercise of any right
of counterclaim or otherwise, receive payment of a proportion of the aggregate amount of such obligations held by it which is greater than its Pro Rata Share in the Revolving Loans of the payments on account of such 
  

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 obligations, the one receiving such excess payment shall purchase, without recourse or warranty, an undivided
interest and participation (which it shall be deemed to have done simultaneously upon the receipt of such payment) in such obligations owed to the others so that all such recoveries with respect to such obligations shall be applied ratably in
accordance with such Pro Rata Shares; provided, that if all or part of such excess payment received by the purchasing party is thereafter recovered from it, those purchases shall be rescinded and the purchase prices paid for such participations
shall be returned to that party to the extent necessary to adjust for such recovery, but without interest except to the extent the purchasing party is required to pay interest in connection with such recovery. Borrower agrees that any Lender so
purchasing a participation from another Lender pursuant to this Section 10.6 may, to the fullest extent permitted by law, exercise all its rights of payment with respect to such participation as fully as if such Lender held such interest
as a direct lender rather than as a participant. 
 10.7 APPROVALS OF LENDERS. All communications from Administrative Agent to
any Lender requesting such Lender’s determination, consent, approval or disapproval (a) shall be given in the form of a written notice to such Lender, (b) shall be accompanied by a description of the matter or issue as to which such
determination, approval, consent or disapproval is requested, or shall advise such Lender where information, if any, regarding such matter or issue may be inspected, or shall otherwise describe the matter or issue to be resolved, (c) shall
include, if reasonably requested by such Lender and to the extent not previously provided to such Lender, written materials and a summary of all oral information provided to Administrative Agent by Borrower in respect of the matter or issue to be
resolved, and (d) shall include Administrative Agent’s recommended course of action or determination in respect thereof. Unless a Lender shall give written notice to Administrative Agent that it specifically objects to the recommendation
or determination of Administrative Agent (together with a reasonable written explanation of the reasons behind such objection) within ten (10) Business Days (or such lesser or greater period as may be specifically required under the express
terms of the Loan Documents or Other Related Documents) of receipt of such communication, such Lender shall be deemed to have conclusively approved of or consented to such recommendation or determination. 
 10.8 NOTICE OF DEFAULTS. Administrative Agent shall not be deemed to have knowledge or notice of the occurrence of a Default or Potential
Default unless Administrative Agent has received notice from a Lender or Borrower referring to this Agreement, describing with reasonable specificity such Default or Potential Default and stating that such notice is a “notice of default”.
If any Lender (excluding the Lender which is also serving as Administrative Agent) becomes aware of any Default or Potential Default, it shall promptly send to Administrative Agent such a “notice of default”. Further, if Administrative
Agent receives such a “notice of default,” Administrative Agent shall give prompt notice thereof to the Lenders. 
 10.9
ADMINISTRATIVE AGENT’S RELIANCE, ETC. Notwithstanding any other provisions of this Agreement, any other Loan Documents or the Other Related Documents, neither Administrative Agent nor any of its directors, officers, agents,
employees or counsel shall be liable for any action taken or not taken by it under or in connection with this Agreement or any other Loan Document, except for its or their own gross negligence or willful misconduct in connection with its duties
expressly set forth herein or therein. Without limiting the generality of 
  

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 the foregoing, Administrative Agent: may consult with legal counsel (including its own counsel or counsel for
Borrower or any other Loan Party), independent public accountants and other experts selected by it and shall not be liable for any action taken or omitted to be taken in good faith by it in accordance with the advice of such counsel, accountants or
experts. Neither Administrative Agent nor any of its directors, officers, agents, employees or counsel: (a) makes any warranty or representation to any Lender or any other Person and shall be responsible to any Lender or any other Person for
any statement, warranty or representation made or deemed made by Borrower, any other Loan Party or any other Person in or in connection with this Agreement or any other Loan Document; (b) shall have any duty to ascertain or to inquire as to the
performance or observance of any of the terms, covenants or conditions of this Agreement or any other Loan Document or the satisfaction of any conditions precedent under this Agreement or any Loan Document on the part of Borrower or other Persons or
inspect the property, books or records of Borrower or any other Person; (c) shall be responsible to any Lender for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement or any other Loan
Document, any other instrument or document furnished pursuant thereto; (d) shall have any liability in respect of any recitals, statements, certifications, representations or warranties contained in any of the Loan Documents or Other Related
Documents or any other document, instrument, agreement, certificate or statement delivered in connection therewith; or (e) shall incur any liability under or in respect of this Agreement or any other Loan Document by acting upon any notice,
consent, certificate or other instrument or writing (which may be by telephone, telecopy or electronic mail) believed by it to be genuine and signed, sent or given by the proper party or parties. Administrative Agent may execute any of its duties
under the Loan Documents or Other Related Documents by or through agents, employees or attorneys-in-fact and shall not be responsible for the negligence or misconduct of any agent or attorney-in-fact that it selects in the absence of gross
negligence or willful misconduct. 
 10.10 INDEMNIFICATION OF ADMINISTRATIVE AGENT. Regardless of whether the transactions
contemplated by this Agreement, the other Loan Documents and Other Related Documents are consummated, each Lender agrees to indemnify Administrative Agent (to the extent not reimbursed by Borrower and without limiting the obligation of Borrower to
do so) pro rata in accordance with such Lender’s respective Pro Rata Share, from and against any and all liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature
whatsoever which may at any time be imposed on, incurred by, or asserted against Administrative Agent (in its capacity as Administrative Agent but not as a “Lender”) in any way relating to or arising out of the Loan Documents or Other
Related Documents, any transaction contemplated hereby or thereby or any action taken or omitted by Administrative Agent under the Loan Documents and Other Related Documents (collectively, “Indemnifiable Amounts”); provided,
however, that no Lender shall be liable for any portion of such Indemnifiable Amounts to the extent resulting from Administrative Agent’s gross negligence or willful misconduct as determined by a court of competent jurisdiction in a final,
non-appealable judgment provided, however, that no action taken in accordance with the directions of the Requisite Lenders shall be deemed to constitute gross negligence or willful misconduct for purposes of this Section. Without limiting the
generality of the foregoing, each Lender agrees to reimburse Administrative Agent (to the extent not reimbursed by Borrower and without limiting the obligation of Borrower to do so) promptly upon demand for its ratable share of any out-of-pocket
expenses (including the reasonable fees and expenses of the counsel to 
  

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 Administrative Agent) incurred by Administrative Agent in connection with the preparation, negotiation, execution,
administration, or enforcement (whether through negotiations, legal proceedings, or otherwise) of, or legal advice with respect to the rights or responsibilities of the parties under, the Loan Documents and Other Related Documents, any suit or
action brought by Administrative Agent to enforce the terms of the Loan Documents and Other Related Documents and/or collect any obligation of Borrower hereunder, any “Lender liability” suit or claim brought against Administrative Agent
and/or the Lenders, and any claim or suit brought against Administrative Agent and/or the Lenders arising under any Hazardous Materials Laws. Such out-of-pocket expenses (including counsel fees) shall be advanced by the Lenders on the request of
Administrative Agent notwithstanding any claim or assertion that Administrative Agent is not entitled to indemnification hereunder upon receipt of an undertaking by Administrative Agent that Administrative Agent will reimburse the Lenders if it is
actually and finally determined by a court of competent jurisdiction that Administrative Agent is not so entitled to indemnification. The agreements in this Section shall survive the payment of the Loans and all other amounts payable hereunder or
under the other Loan Documents or Other Related Documents and the termination of this Agreement. If Borrower shall reimburse Administrative Agent for any Indemnifiable Amount following payment by any Lender to Administrative Agent in respect of such
Indemnifiable Amount pursuant to this Section, Administrative Agent shall share such reimbursement on a ratable basis with each Lender making any such payment. 
 10.11 LENDER CREDIT DECISION, ETC. Each Lender expressly acknowledges and agrees that neither Administrative Agent nor any of its officers, directors, employees, agents, counsel, attorneys-in-fact or
other affiliates has made any representations or warranties to such Lender and that no act by Administrative Agent hereafter taken, including any review of the affairs of Borrower, any other Loan Party or Affiliate, shall be deemed to constitute any
such representation or warranty by Administrative Agent to any Lender. Each Lender acknowledges that it has, independently and without reliance upon Administrative Agent, any other Lender or counsel to Administrative Agent, or any of their
respective officers, directors, employees, agents or counsel, and based on the financial statements of Borrower, the other Loan Parties or Affiliates, and inquiries of such Persons, its independent due diligence of the business and affairs of
Borrower, the other Loan Parties and other Persons, its review of the Loan Documents and the Other Related Documents, the legal opinions required to be delivered to it hereunder, the advice of its own counsel and such other documents and information
as it has deemed appropriate, made its own credit and legal analysis and decision to enter into this Agreement and the transactions contemplated hereby. Each Lender also acknowledges that it will, independently and without reliance upon
Administrative Agent, any other Lender or counsel to Administrative Agent or any of their respective officers, directors, employees and agents, and based on such review, advice, documents and information as it shall deem appropriate at the time,
continue to make its own decisions in taking or not taking action under the Loan Documents or Other Related Documents. Administrative Agent shall not be required to keep itself informed as to the performance or observance by Borrower or any other
Loan Party of the Loan Documents or Other Related Documents or any other document referred to or provided for therein or to inspect the properties or books of, or make any other investigation of, Borrower, any other Loan Party. Except for notices,
reports and other documents and information expressly required to be furnished to the Lenders by Administrative Agent under this Agreement, any of the other Loan Documents or Other Related Documents, Administrative Agent shall have no duty or
responsibility to provide 
  

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 any Lender with any credit or other information concerning the business, operations, property, financial and other
condition or creditworthiness of Borrower, any other Loan Party or any other Affiliate thereof which may come into possession of Administrative Agent or any of its officers, directors, employees, agents, attorneys-in-fact or other Affiliates. Each
Lender acknowledges that Administrative Agent’s legal counsel in connection with the transactions contemplated by this Agreement is only acting as counsel to Administrative Agent and is not acting as counsel to such Lender. 
 10.12 SUCCESSOR ADMINISTRATIVE AGENT. Administrative Agent may resign at any time as Administrative Agent under the Loan Documents and
Other Related Documents by giving written notice thereof to the Lenders and Borrower. In addition, the Lenders (other than the Adminstrative), acting unanimously, may remove Administrative Agent in the event that Administrative Agent commits gross
negligence or willful misconduct in the performance of its duties thereunder. Upon any such resignation or removal, the Requisite Lenders shall have the right to appoint a successor Administrative Agent which appointment shall, provided no Default
or Potential Default exists, be subject to Borrower’s approval, which approval shall not be unreasonably withheld or delayed (except that Borrower shall, in all events, be deemed to have approved each Lender and any of its Affiliates as a
successor Administrative Agent). If no successor Administrative Agent shall have been so appointed in accordance with the immediately preceding sentence, and shall have accepted such appointment, within thirty (30) days after the current
Administrative Agent’s giving of notice of resignation, then the current Administrative Agent may, on behalf of the Lenders, appoint a successor Administrative Agent, which shall be a Lender, if any Lender shall be willing to serve, and
otherwise shall be an Eligible Assignee. Upon the acceptance of any appointment as Administrative Agent hereunder by a successor Administrative Agent, such successor Administrative Agent shall thereupon succeed to and become vested with all the
rights, powers, privileges and duties of the current Administrative Agent, and the current Administrative Agent shall be discharged from its duties and obligations under the Loan Documents and the Other Related Documents. After any Administrative
Agent’s resignation hereunder or removal as Administrative Agent, the provisions of this Article 10 shall continue to inure to its benefit as to any actions taken or omitted to be taken by it while it was Administrative Agent under the Loan
Documents and the Other Related Documents. Notwithstanding anything contained herein to the contrary, Administrative Agent may assign its rights and duties under the Loan Documents and the Other Related Documents to any of its Affiliates by giving
Borrower and each Lender prior written notice. 
 10.13 TITLED AGENTS. Each Lender designated as a Documentation Agent assumes
no responsibility or obligation hereunder in its capacity as Documentation Agent, including, without limitation, for servicing, enforcement or collection of the Loans, nor any duties as an agent hereunder for the Lenders. The title given to the
Documentation Agent is solely honorific and implies no fiduciary responsibility on the part of the Documentation Agent to Administrative Agent, any Lender, Borrower or any other Loan Party and the use of such titles does not impose on the
Documentation Agent any duties or obligations greater than those of any other Lender or entitle the Documentation Agent to any rights other than those to which any other Lender is entitled. 
  

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 ARTICLE 11. MISCELLANEOUS PROVISIONS 
 11.1 INDEMNITY. BORROWER HEREBY AGREES TO DEFEND, INDEMNIFY AND HOLD HARMLESS ADMINISTRATIVE AGENT AND EACH LENDER, THEIR RESPECTIVE
DIRECTORS, OFFICERS, EMPLOYEES, AGENTS, SUCCESSORS AND ASSIGNS FROM AND AGAINST ANY AND ALL LOSSES, DAMAGES, LIABILITIES, CLAIMS, ACTIONS, JUDGMENTS, COURT COSTS AND LEGAL OR OTHER EXPENSES (INCLUDING, WITHOUT LIMITATION, REASONABLE ATTORNEYS’
FEES AND EXPENSES) WHICH ADMINISTRATIVE AGENT OR ANY LENDER MAY INCUR AS A RESULT OF: (A) THE PURPOSE TO WHICH BORROWER APPLIES THE LOAN PROCEEDS; (B) THE FAILURE OF BORROWER TO PERFORM ANY OBLIGATIONS AS AND WHEN REQUIRED BY THIS
AGREEMENT, ANY OF THE OTHER LOAN DOCUMENTS OR ANY OTHER RELATED DOCUMENT; (C) ANY FAILURE AT ANY TIME OF ANY OF BORROWER’S REPRESENTATIONS OR WARRANTIES TO BE TRUE AND CORRECT IN ALL MATERIAL RESPECTS BUT SPECIFICALLY EXCLUDING LIABILITIES
INCURRED AS A RESULT OF ADMINISTRATIVE AGENT’S OR SUCH LENDER’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. BORROWER SHALL PROMPTLY PAY TO ADMINISTRATIVE AGENT OR SUCH LENDER UPON DEMAND ANY AMOUNTS OWING UNDER THIS INDEMNITY, TOGETHER WITH
INTEREST FROM THE DATE THE INDEBTEDNESS ARISES UNTIL PAID AT THE VARIABLE RATE. BORROWER’S DUTY AND OBLIGATION TO DEFEND, INDEMNIFY AND HOLD HARMLESS ADMINISTRATIVE AGENT AND EACH LENDER SHALL SURVIVE CANCELLATION OF THE NOTES.

 11.2 FORM OF DOCUMENTS. The form and substance of all documents, instruments, and forms of evidence to be delivered to
Administrative Agent under the terms of this Agreement, any of the other Loan Documents or Other Related Documents shall be subject to Administrative Agent’s approval and shall not be modified, superseded or terminated in any respect without
Administrative Agent’s prior written approval. 
 11.3 NO THIRD PARTIES BENEFITED. No person other than Administrative
Agent, Lenders and Borrower and their permitted successors and assigns shall have any right of action under any of the Loan Documents or Other Related Documents. 
 11.4 NOTICES. All notices, demands, or other communications under this Agreement, the other Loan Documents or the Other Related Documents shall be in writing and shall be delivered to the appropriate
party at the address set forth on the signature page of this Agreement (subject to change from time to time by written notice to all other parties to this Agreement). Notices shall be considered as properly given if mailed by first class United
States mail, postage prepaid, registered or certified with return receipt requested, Federal Express or other overnight delivery service, or by delivering same in person to the intended addressee. Notice so mailed shall be effective on the earlier
of its receipt or three (3) Business Days after its deposit; notice given in any other manner shall be effective only if and when received by the addressee; provided, however, that non-receipt of any notice as the result of any
change of address of which the sending party was not notified or as the result of a refusal to accept delivery shall be deemed receipt of such notice. Any party shall have the right to change its address for notice hereunder to any other location
within the continental United States by the giving of fifteen (15) Business Days’ prior notice to the other parties in the manner set forth hereinabove. 
  

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 11.5 SETOFF. Subject to Section 10.6 and in addition to any rights now or
hereafter granted under applicable law and not by way of limitation of any such rights, Administrative Agent, each Lender and each Participant is hereby authorized by Borrower, at any time or from time to time while a Default exists, without notice
to Borrower or to any other Person, any such notice being hereby expressly waived, but in the case of a Lender or a Participant subject to receipt of the prior written consent of Administrative Agent exercised in its sole discretion, to set off and
to appropriate and to apply any and all deposits (general or special, including, but not limited to, indebtedness evidenced by certificates of deposit, whether matured or unmatured) and any indebtedness at any time held or owing by Administrative
Agent, such Lender or any affiliate of Administrative Agent or such Lender, to or for the credit or the account of Borrower against and on account of any of the Loans or other obligations of Borrower under the Loan Documents, irrespective of whether
or not any or all of the Loans and all other obligations have been declared to be, or have otherwise become, due and payable as permitted by Section 9.2, and although such obligations shall be contingent or unmatured. 
 11.6 ACTIONS. Borrower agrees that Administrative Agent or any Lender, in exercising the rights, duties or liabilities of Administrative
Agent, Lenders or Borrower under the Loan Documents or Other Related Documents, may commence, appear in or defend any action or proceeding purporting to affect any Property, the Loan Documents or the Other Related Documents and Borrower shall
promptly reimburse Administrative Agent or such Lender upon demand for all such reasonable expenses so incurred or paid by Administrative Agent or such Lender, including, without limitation, reasonable attorneys’ fees and expenses and court
costs. 
 11.7 INTENTIONALLY OMITTED. 
 11.8 RELATIONSHIP OF PARTIES. The relationship of Borrower, Administrative Agent and Lenders under the Loan Documents and Other Related Documents is, and shall at all times remain, solely that of
borrower and lender, and Administrative Agent and Lenders neither undertake nor assume any responsibility or duty to Borrower or to any third party with respect to any Property, except as expressly provided in this Agreement, the other Loan
Documents and the Other Related Documents. 
 11.9 DELAY OUTSIDE LENDER’S CONTROL. No Lender or Administrative Agent shall
be liable in any way to Borrower or any third party for Administrative Agent’s or such Lender’s failure to perform or delay in performing under the Loan Documents (and Administrative Agent or any Lender may suspend or terminate all or any
portion of Administrative Agent’s or such Lender’s obligations under the Loan Documents) if such failure to perform or delay in performing results directly or indirectly from, or is based upon, the action, inaction, or purported action, of
any governmental or local authority, or because of war, rebellion, insurrection, strike, lock-out, boycott or blockade (whether presently in effect, announced or in the sole judgment of Administrative Agent or such Lender deemed probable), or from
any act of God or other cause or event beyond Administrative Agent’s or such Lender’s reasonable control (specifically excluding, however, the lack of available funds). 
  

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 11.10 ATTORNEYS’ FEES AND EXPENSES; ENFORCEMENT. If any attorney is engaged by
Administrative Agent or any Lender to enforce or defend any provision of this Agreement, any of the other Loan Documents or Other Related Documents, or as a consequence of any Default under the Loan Documents or Other Related Documents, with or
without the filing of any legal action or proceeding, and including, without limitation, any reasonable fees and expenses incurred in any bankruptcy proceeding of Borrower, then Borrower shall promptly pay to Administrative Agent or such Lender,
upon demand, the amount of all reasonable attorneys’ fees and expenses and all costs incurred by Administrative Agent or such Lender in connection therewith, together with interest thereon from the date of such demand until paid at the Variable
Rate. 
 11.11 IMMEDIATELY AVAILABLE FUNDS. Unless otherwise expressly provided for in this Agreement, all amounts payable by
Borrower to Administrative Agent or any Lender shall be payable only in United States Dollars, immediately available funds. 
 11.12
AMENDMENTS AND WAIVERS. 
 (a) Generally. Except as otherwise expressly provided in this Agreement (including without
limitation Section 11.12(b)), (i) any consent or approval required or permitted by this Agreement or in any Loan Document to be given by the Lenders may be given, (ii) any term of this Agreement or of any other Loan Document
(other than any fee letter solely between Borrower and Administrative Agent) may be amended, (iii) the performance or observance by Borrower or any other Loan Party of any terms of this Agreement or such other Loan Document (other than any fee
letter solely between Borrower and Administrative Agent) may be waived, and (iv) the continuance of any Default may be waived (either generally or in a particular instance and either retroactively or prospectively) with, but only with, the
written consent of the Requisite Lenders (or Administrative Agent at the written direction of the Requisite Lenders), and, in the case of an amendment to any Loan Document, the written consent of each Loan Party which is party thereto.
Notwithstanding the previous sentence, Administrative Agent, shall be authorized on behalf of all the Lenders, without the necessity of any notice to, or further consent from, any Lender, to waive the imposition of the late fees provided in
Section 2.6(c), up to a maximum of three times per calendar year. 
 (b) Unanimous Consent. Notwithstanding the foregoing,
no amendment, waiver or consent shall, unless in writing, and signed by all of the Lenders (or Administrative Agent at the written direction of the Lenders), do any of the following: 
 (i) increase the Commitments of the Lenders (excluding any increase as a result of an assignment of Commitments permitted under
Section 11.13) or subject the Lenders to any additional obligations (except, in each case, for any Additional Commitment of a Lender pursuant to a Facility Increase Supplement); 
 (ii) reduce the principal of, or interest rates that have accrued or that will be charged on the outstanding principal amount of, any
Loan; 
  

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 (iii) reduce the amount of any fees payable to the Lenders hereunder (except that any
change in fees payable to Administrative Agent for its own account shall not require the consent of any Lender other than Administrative Agent); 
 (iv) postpone any date fixed for any payment of principal of, or interest on, any Loan (including, without limitation, the Maturity Date) or for the payment of fees or any other obligations of Borrower or any
Guarantor; 
 (v) change the Pro Rata Shares (excluding any change as a result of an assignment of Commitments permitted under
Section 11.13 or as a result of a Facility Increase); 
 (vi) amend this Section or amend the definitions of the
terms used in this Agreement or the other Loan Documents insofar as such definitions affect the substance of this Section; 
 (vii) modify the definitions of the terms “Majority Lenders” or “Requisite Lenders” or modify in any other manner the number or percentage of the Lenders required to make any determinations or waive any rights hereunder
or to modify any provision hereof; 
 (viii) release any Guarantor from its obligations under a Guaranty (except as provided
in Section 7.17(b)); 
 (ix) waive a Default or Event of Default under Section 9.1(a); or 

(x) effect any change, approval or waiver that specifically requires the consent of all Lenders under this Agreement (including
Section 7.14, the second sentence of Section 10.12 and Section 11.13(a)). 
 (c) Amendment of
Administrative Agent’s Duties, Etc. No amendment, waiver or consent unless in writing and signed by Administrative Agent, in addition to the Lenders required hereinabove to take such action, shall affect the rights or duties of
Administrative Agent under this Agreement, any of the other Loan Documents or Other Related Documents. No amendment, waiver or consent unless in writing and signed by Swingline Lender in addition to the Lenders required hereinabove to take such
action, shall affect the rights or duties of Swingline Lender under this Agreement or any of the other Loan Documents. No waiver shall extend to or affect any obligation not expressly waived or impair any right consequent thereon and any amendment,
waiver or consent shall be effective only in the specific instance and for the specific purpose set forth therein. No course of dealing or delay or omission on the part of Administrative Agent or any Lender in exercising any right shall operate as a
waiver thereof or otherwise be prejudicial thereto. Any Default occurring hereunder shall continue to exist until such time as such Default is waived in writing in accordance with the terms of this Section, notwithstanding any attempted cure or
other action by Borrower, any other Loan Party or any other Person subsequent to the occurrence of such Default. Except as otherwise explicitly provided for herein or in any other Loan Document, no notice to or demand upon Borrower shall entitle
Borrower to other or further notice or demand in similar or other circumstances. 
  

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 11.13 SUCCESSORS AND ASSIGNS. 
 (a) Generally. The provisions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective
successors and assigns, except that Borrower may not assign or otherwise transfer any of its rights under this Agreement without the prior written consent of all the Lenders (and any such assignment or transfer to which all of the Lenders have not
consented shall be void). 
 (b) Participations. Any Lender may at any time grant to an Affiliate of such Lender, or one or more banks
or other financial institutions (each a “Participant” ) participating interests in its Commitment or the obligations owing to such Lender hereunder. No Participant shall have any rights or benefits under this Agreement or any other
Loan Document. In the event of any such grant by a Lender of a participating interest to a Participant, such Lender shall remain responsible for the performance of it obligations hereunder, and Borrower and Administrative Agent shall continue to
deal solely and directly with such Lender in connection with such Lender’s rights and obligations under this Agreement. Any agreement pursuant to which any Lender may grant such a participating interest shall provide that such Lender shall
retain the sole right and responsibility to enforce the obligations of Borrower hereunder including, without limitation, the right to approve any amendment, modification or waiver of any provision of this Agreement; provided however,
such Lender may agree with the Participant that it will not, without the consent of the Participant, agree to (i) increase such Lender’s Commitment, (ii) extend the date fixed for the payment of principal on any Loan or a portion
thereof owing to such Lender, or (iii) reduce the rate at which interest is payable thereon. An assignment or other transfer which is not permitted by subsection (c) below shall be given effect for purposes of this Agreement only to the
extent of a participating interest granted in accordance with this subsection (b). 
 (c) Assignments. Any Lender may with the prior
written consent of Administrative Agent and Borrower (which consent, in each case, shall not be unreasonably withheld) at any time assign to one or more Eligible Assignees (each an “Assignee”) all or a portion of its rights and
obligations under this Agreement and the Notes; provided, however, (i) no such consent by Borrower shall be required (x) if a Default or Potential Default shall exist or (y) in the case of an assignment to another Lender or an
Affiliate of any Lender; (ii) any partial assignment shall be in an amount at least equal to $10,000,000 and after giving effect to such assignment the assigning Lender retains a Commitment, or if the Commitments have been terminated, holds a
Note having an outstanding principal balance, of at least $10,000,000, and (iii) each such assignment shall be effected by means of an Assignment and Assumption Agreement. Upon execution and delivery of such instrument and payment by such
Assignee to such transferor Lender of an amount equal to the purchase price agreed between such transferor Lender and such Assignee, such Assignee shall be deemed to be a Lender party to this Agreement and shall have all the rights and obligations
of a Lender with a Commitment as set forth in such Assignment and Assumption Agreement, and the transferor Lender shall be released from its obligations hereunder to a corresponding extent, and no further consent or action by any party shall be
required. Upon the consummation of any assignment pursuant to this subsection (c), the transferor Lender, Administrative Agent and Borrower shall make appropriate arrangements so the new Notes are issued to the Assignee and such transferor Lender,
as appropriate. In connection with any such 
  

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 assignment, the transferor Lender shall pay to Administrative Agent an administrative fee for processing such
assignment in the amount of $3,500. Anything in this Section to the contrary notwithstanding, no Lender may assign or participate any interest in any Loan held by it hereunder to Borrower, or any of its respective Subsidiaries. 
 (d) Tax Withholding. At least five (5) Business Days prior to the first day on which interest or fees are payable hereunder for the account
of any Lender, each Lender that is not incorporated under the laws of the United States of America, or a state thereof, shall furnish Administrative Agent and Borrower with a properly completed executed copy of either Internal Revenue Service Form
W-8ECI or Internal Revenue Service Form W-8BEN and either Internal Revenue Service Form W-8 or Internal Revenue Service Form W-9 and any additional form (or such other form) as is necessary to claim complete exemption from United States withholding
taxes on all payments hereunder. At all times each Lender shall own or beneficially own a Note, such Lender shall (i) promptly provide to Administrative Agent and Borrower a new Internal Revenue Service Form W-8ECI or Internal Revenue Service
Form W-8BEN and Internal Revenue Service Form W-8 or Internal Revenue Service Form W-9 and any additional form (or such other form) (or any successor form or forms) upon the expiration or obsolescence of any previously delivered form and comparable
statements in accordance with applicable United States laws and regulations and amendments duly executed and completed by such Lender, and (ii) comply at all times with all applicable United States laws and regulations, including all provisions
of any applicable tax treaty, with regard to any withholding tax exemption claimed with respect to any payments on any Loan. If any Lender cannot deliver such form, then Borrower may withhold from payments due under the Loan Documents such amounts
as Borrower is able to determine from accurate information provided by such Lender are required by the Internal Revenue Code. 
 (e)
Federal Reserve Bank Assignments. In addition to the assignments and participations permitted under the foregoing provisions of the Section, and without the need to comply with any of the formal or procedural requirements of this Section, any
Lender may at any time and from time to time, pledge and assign all or any portion of its rights under all or any of the Loan Documents and Other Related Documents to a Federal Reserve Bank; provided that no such pledge of assignment shall release
such Lender from its obligation thereunder. 
 (f) Information to Assignee, Etc. A Lender may furnish any information concerning
Borrower or any other Loan Party in the possession of such Lender from time to time to Assignees and Participants (including prospective Assignees and Participants but shall advise them that any such information that is not publicly available is
confidential). In connection with such negotiation, execution and delivery, Borrower authorizes Administrative Agent and Lenders to communicate all information and documentation related to the Loan (whether to Borrower or to any Participant,
Assignee, legal counsel, appraiser or other necessary party) directly by e-mail, fax, or other electronic means used to transmit information. 
 11.14 CERTAIN ALLOWED DISCLOSURES. Notwithstanding anything to the contrary set forth herein or in any other written or oral understanding or agreement to which the parties hereto are parties or by which they are bound, the
parties hereto acknowledge and agree that (i) any obligations of confidentiality contained herein and therein do not apply and have not 
  

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 applied from the commencement of discussions between the parties to the tax treatment and tax structure of the
transactions contemplated by the Loan Documents or Other Related Documents (and any related transactions or arrangements), and (ii) each party (and each of its employees, representatives, or other agents) may disclose to any and all parties as
required, without limitation of any kind, the tax treatment and tax structure of the transactions contemplated by the Loan Documents and Other Related Documents and all materials of any kind (including opinions or other tax analyses) that are
provided to such party relating to such tax treatment and tax structure, all within the meaning of Treasury Regulations Section 1.6011-4; provided, however, that each party recognizes that the privilege each has to maintain, in its sole
discretion, the confidentiality of a communication relating to the transactions contemplated by the Loan Documents and Other Related Documents, including a confidential communication with its attorney or a confidential communication with a federally
authorized tax practitioner under Section 7525 of the Internal Revenue Code, is not intended to be affected by the foregoing. 
 11.15
CAPITAL ADEQUACY. 
 (a) Borrower’s Obligation to Pay. If any Lender or any Participant or Assignee in any Loan
determines that compliance with any law or regulation or with any guideline or request from any central bank or other governmental agency (whether or not having the force of law) affects or would affect the amount of capital required or expected to
be maintained by such Lender, such Participant or such Assignee, or any corporation controlling such Lender, such Participant or such Assignee, as a consequence of, or with reference to, such Lender’s, such Participant’s or such
Assignee’s or such corporation’s commitments or its making or maintaining advances below the rate which such Lender, such Participant or such Assignee or such corporation controlling such Lender, such Participant or such Assignee could
have achieved but for such compliance (taking into account the policies of such Lender, such Participant or such Assignee or corporation with regard to capital), then (without duplication of any other obligation of Borrower under the Loan Documents)
Borrower shall, from time to time, within thirty (30) calendar days after written demand by such Lender, such Participant or such Assignee, pay to such Lender, such Participant or such Assignee additional amounts sufficient to compensate such
Lender, such Participant or such Assignee or such corporation controlling such Lender, such Participant or such Assignee to the extent that such Lender, such Participant or such Assignee in good faith determines such increase in capital is allocable
to such Lender’s, such Participant’s or such Assignee’s obligations to Borrower hereunder. A certificate as to such amounts, submitted to Borrower by such Lender, such Participant or such Assignee, shall be conclusive and binding for
all purposes, absent manifest error. 
 (b) Replacement of Lender. If any Lender or any Participant or Assignee requests compensation
under Section 11.15(a) that is not requested by other Lenders, Participants or Assignees, then, provided no Default has occurred that is continuing, Borrower may, at its sole expense and effort, upon notice to the applicable Lender or
Assignee (or the Lender that has entered into the Participation Agreement with such Participant) and to Administrative Agent (i) require the Lender or Assignee requesting such compensation to assign and delegate, without recourse, in accordance
with and subject to the limitations contained in Section 11.13(c) (except that either Borrower or the Eligible Assignee to which such assignment shall be made shall pay the fee provided for therein) its rights and obligations hereunder
to an Eligible Assignee 
  

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 approved by Borrower and Administrative Agent (which approval shall not be unreasonably withheld) that shall assume
such rights and obligations and shall pay (or cause to be paid) to such Lender or Assignee the outstanding principal amount of the Loans then held by it hereunder and all other obligations owing to it under the Loan Documents or (ii) in the
case of a Participant requesting such compensation, require the Participant to assign and delegate (without recourse) its rights and obligations under its participant agreement to a replacement Participant approved by the Lender party to such
participation agreement, which replacement Participant shall assume such rights and obligations and shall pay (or cause to be paid) to the assigning Participant the outstanding principal amount of its participation interest in the Loans and all
other obligations owing to it by reason of such participation interest. A Lender or Assignee or Participant shall not be required to make such assignment and delegation if, prior thereto, such Lender, Participant or Assignee shall waive its claim
for the compensation theretofore claimed under Section 11.15(a). 
 11.16 LENDER’S AGENTS. Administrative
Agent and/or any Lender may designate an agent or independent contractor to exercise any of such Person’s rights under this Agreement, any of the other Loan Documents and Other Related Documents. Any reference to Administrative Agent or any
Lender in any of the Loan Documents or Other Related Documents shall include Administrative Agent’s and such Lender’s agents, employees or independent contractors. Borrower shall pay the costs of such agent or independent contractor either
directly to such person or to Administrative Agent or such Lender in reimbursement of such costs, as applicable, in accordance with Section 7.1. 
 11.17 INTENTIONALLY OMITTED. 
 11.18 WAIVER OF RIGHT TO TRIAL BY JURY. EACH
PARTY TO THIS AGREEMENT HEREBY EXPRESSLY WAIVES, TO THE EXTENT PERMITTED BY LAW, ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION (a) ARISING UNDER THE LOAN DOCUMENTS OR OTHER RELATED DOCUMENTS, INCLUDING, WITHOUT
LIMITATION, ANY PRESENT OR FUTURE MODIFICATION THEREOF OR (b) IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH RESPECT TO THE LOAN DOCUMENTS OR OTHER RELATED DOCUMENTS (AS NOW OR
HEREAFTER MODIFIED) OR ANY OTHER INSTRUMENT, DOCUMENT OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH, OR THE TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION IS NOW EXISTING OR
HEREAFTER ARISING, AND WHETHER SOUNDING IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY PARTY TO THIS AGREEMENT MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE
CONSENT OF THE PARTIES HERETO TO THE WAIVER OF ANY RIGHT THEY MIGHT OTHERWISE HAVE TO TRIAL BY JURY. 
 11.19 SEVERABILITY.
If any provision or obligation under this Agreement, the other Loan Documents or Other Related Documents shall be determined by a court of competent 
  

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 jurisdiction to be invalid, illegal or unenforceable, that provision shall be deemed severed from the Loan Documents
and the Other Related Documents and the validity, legality and enforceability of the remaining provisions or obligations shall remain in full force as though the invalid, illegal, or unenforceable provision had never been a part of the Loan
Documents or Other Related Documents, provided, however, any amount payable under the Notes or this Agreement or any other Loan Document, or the right of collectibility therefor, are declared to be or become invalid, illegal or
unenforceable (other than as addressed in Section 2.15), Lenders’ obligations to make advances under the Loan Documents shall not be enforceable by Borrower. 
 11.20 TIME. Time is of the essence of each and every term of this Agreement. 
 11.21 HEADINGS. All article, section or other headings appearing in this Agreement, the other Loan Documents and Other Related Documents
are for convenience of reference only and shall be disregarded in construing this Agreement, any of the other Loan Documents and Other Related Documents. 
 11.22 GOVERNING LAW; CHOICE OF FORUM; SERVICE OF PROCESS. This Agreement shall be construed and interpreted in accordance with and shall be governed by the laws of the District of Columbia except to the
extent preempted by United States federal law. Administrative Agent or Lenders may bring any action or proceeding to enforce or arising out of this Agreement in any court of competent jurisdiction. If Administrative Agent or Lenders commence such an
action in a court located in the District of Columbia, or the United States District Court for the District of Columbia, Borrower hereby agrees that it will submit and does hereby irrevocably submit to the personal jurisdiction of such courts and
will not attempt to have such action dismissed, abated, or transferred on the ground of forum non conveniens or similar grounds; provided, however, that nothing contained herein shall prohibit Borrower from seeking, by
appropriate motion, to remove an action brought in a District of Columbia court to the United States District Court for the District of Columbia. If such action is so removed, however, Borrower shall not seek to transfer to any other district any
action which Administrative Agent or Lenders originally commence in such federal court. Any action or proceeding brought by Borrower arising out of this Agreement shall be brought solely in a court of competent jurisdiction located in the District
of Columbia or in the United States District Court for the District of Columbia. 
 Borrower agrees that a summons and complaint or
equivalent documents commencing an action or proceeding in any court shall be validly and properly served and shall confer personal jurisdiction over Borrower if served to Corporation Service Company, 1090 Vermont Ave. NW, Washington, DC 20005 or
Carol Weld King, Esq., Hogan & Hartson L.L.P., 555 Thirteenth Street, NW, Washington, DC 20004, each of whom Borrower hereby designates and appoints as Borrower’s authorized agent to accept and acknowledge on its behalf service of any
and all process which may be served in such action or proceeding in any such court. Borrower shall be sent, by certified mail to Borrower’s notice address as provided herein, a copy of such summons and complaint at the time of service upon
either of such agents; provided, however, that any such copy shall be sent solely as a courtesy to Borrower and its failure to receive such copy shall in no way affect the validity and propriety of the service made on Borrower through such agent.
Borrower waives any objection which it may now or hereafter have to venue of any such action 
  

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 or proceeding and waives any right to seek removal of any action or proceeding commenced in accordance herewith.
Borrower agrees that if it desires to make any change in its agents for service, such change shall be subject to Administrative Agent’s written approval, which approval shall not be unreasonably withheld. 
 11.23 USA PATRIOT ACT NOTICE; COMPLIANCE. The USA Patriot Act of 2001 (Public Law 107-56) and federal regulations issued with respect
thereto require all financial institutions to obtain, verify and record certain information that identifies individuals or business entities which open an “account” with such financial institution. Consequently, Administrative Agent may
from time to time request, and Borrower shall provide to Administrative Agent, Borrower’s name, address, tax identification number and/or such other identification information as shall be necessary for Administrative Agent or any Lender to
comply with federal law. An “account” for this purpose may include, without limitation, a deposit account, cash management service, a transaction or asset account, a credit account, a loan or other extension of credit, and/or other
financial services product. 
 11.24 INTEGRATION; INTERPRETATION. The Loan Documents and Other Related Documents contain or
expressly incorporate by reference the entire agreement of the parties with respect to the matters contemplated therein and supersede all prior negotiations or agreements, written or oral, including without limitation any application, term sheet or
commitment letter. The Loan Documents shall not be modified except by written instrument executed by all parties (except to the extent that this Agreement provides that the same may be modified by less than all of the Lenders). Any reference to the
Loan Documents or Other Related Documents includes any amendments, renewals or extensions now or hereafter approved by Administrative Agent (or, to the extent this Agreement provides that the same require approval of the Majority Lenders, Requisite
Lenders or all Lenders, by the Majority Lenders, Requisite Lenders or all Lenders (as applicable)) in writing. 
 11.25
COUNTERPARTS. To facilitate execution, this document may be executed in as many counterparts as may be convenient or required. It shall not be necessary that the signature of, or on behalf of, each party, or that the signature of all
persons required to bind any party, appear on each counterpart. All counterparts shall collectively constitute a single document. It shall not be necessary in making proof of this document to produce or account for more than a single counterpart
containing the respective signatures of, or on behalf of, each of the parties hereto. Any signature page to any counterpart may be detached from such counterpart without impairing the legal effect of the signatures thereon and thereafter attached to
another counterpart identical thereto except having attached to it additional signature pages. 
 11.26 ELECTRONIC DOCUMENT
DELIVERIES. Documents required to be delivered pursuant to the Loan Documents shall be delivered by electronic communication and delivery, including the internet, e-mail or intranet websites to which Administrative Agent and each Lender have
access (including a commercial, third-party website such as www.Edgar.com <http://www.Edgar.com> or a website sponsored or hosted by Administrative Agent or Borrower) provided that (A) the foregoing shall not apply to notices to any
Lender pursuant to Article 2 and (B) Lender has not notified Administrative Agent or Borrower that it cannot or does not want to receive electronic communications. Administrative Agent or Borrower may, in 
  

 79 

 Loan No. 102919 
  

 its discretion, agree to accept notices and other communications to it hereunder by electronic delivery pursuant to
procedures approved by it for all or particulate notices or communications. Documents or notices delivered pursuant to procedures electronically shall be deemed to have been delivered twenty-four (24) hours after the date and time on which
Administrative Agent or Borrower posts such documents or the documents become available on a commercial website and Administrative Agent or Borrower notifies each Lender of said posting and provides a link thereto, provided if such notice or other
communication is not sent or posted during the normal business hours of the recipient, said posting date and time shall be deemed to have commenced as of 9:00 A.M. on the opening of business on the next Business Day for the recipient.
Notwithstanding anything contained herein, in every instance Borrower shall be required to provide paper copies of the certificate required by Sections 8.2 and 8.3 to Administrative Agent and shall deliver paper copies of any documents
to Administrative Agent or to any Lender that requests such paper copies until a written request to cease delivering paper copies is given by Administrative Agent or such Lender. Except for the certificates required by Sections 8.2 and
8.3, Administrative Agent shall have no obligation to request the delivery of or to maintain paper copies of the documents delivered electronically, and in any event shall have no responsibility to monitor compliance by Borrower with any such
request for delivery. Each Lender shall be solely responsible for requesting delivery to it of paper copies and maintaining its paper or electronic documents. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 80 

 Loan No. 102919 
  

 IN WITNESS WHEREOF, Borrower, Administrative Agent and Lenders have executed this Agreement as of the
date appearing on the first page of this Agreement. 
  

					
	“BORROWER”	 	
		
	 HIGHLAND HOSPITALITY, L.P., a
 Delaware
limited partnership
	 	Borrower’s Address:
		
	 By: HHC GP CORPORATION, a Maryland
 corporation, its General Partner
	 	 Highland Hospitality, L.P.
 8405 Greensboro
Drive, Suite 500
 McLean, VA 22102
  
 Attention: General Counsel
  
 And
  
 Highland Hospitality, L.P.
 8405 Greensboro Drive, Suite 500
 McLean, VA 22102
  
 Attention: Chief
Financial Officer

		 
	By:	 	 /s/ Douglas W. Vicari
	 
	Name:	 		 
	Title:	 	EVP, CFO & Treasurer	 
		 		 
		 		 
		 		 

  

 81 

 Loan No. 102919 
  

					
	“ADMINISTRATIVE AGENT”	 	
		
	 WELLS FARGO BANK, NATIONAL
 ASSOCIATION, as
Administrative Agent and Lender
	 	Administrative Agent’s Address:
			
		 		 	 Wells Fargo Bank, N.A.
 c/o Real Estate Group

1750 H Street, NW, Suite 400

	By:	 	 /s/ Mark F. Monahan
	 	Washington, D.C. 20006
		 	Mark F. Monahan	 	Attention: Manager, Loan
		 	Vice President	 	Administration Department
			
		 		 	With a copy to:
			
		 		 	 Wells Fargo Bank, N.A.
 Real Estate Group
 420 Montgomery Street, Sixth Floor
 San Francisco, CA 94111
 Attention: Chief Credit Officer
                  Real Estate Group

 Loan No. 102919 
  

 SCHEDULE 1 
 Pro Rata Shares 
 Schedule 1 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
  

							
	 Lender
	  	Commitment	  	Pro Rata Share	 
	 WELLS FARGO BANK, NATIONAL ASSOCIATION
	  	 	$60,000,000	  	40.0	%
	 PNC BANK, NATIONAL ASSOCIATION
	  	$	25,000,000	  	16.6666666666	%
	 ALLIED IRISH BANKS, p.l.c.
	  	$	22,500,000	  	15.0	%
	 THE BANK OF NEW YORK
	  	$	22,500,000	  	15.0	%
	 MERRILL LYNCH CAPITAL, a Division of Merrill Lynch Business Financial Services, Inc.. a Delaware corporation
	  	$	20,000,000	  	13.3333333333	%
		  	 	 	  	 	 
	TOTALS	  	$	150,000,000	  	100	%

 Loan No. 102919 
  

 SCHEDULE 2 
 Properties 
 Schedule 2 to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
  

												
	 Hotel Property
	  	Location	  	Keys	  	OPV	  	Classification	  	 
	Seasoned Properties	  		  		  			  		  	
	 Portsmouth Renaissance and Conference Center
	  	Portsmouth, VA	  	249	  	$	17,874,000	  	Seasoned	  	
	 Sugar Land Marriott and Conference Center
	  	Houston, TX	  	300	  	 	43,724,000	  	Seasoned	  	
	 Hilton Garden Inn Virginia Beach Town Center
	  	Virginia Beach, VA	  	176	  	 	21,724,000	  	Seasoned	  	
	 Hilton Tampa Westshore
	  	Tampa, FL	  	238	  	 	34,028,000	  	Seasoned	  	
	 Hilton Garden Inn BWI Airport
	  	Linthicum, MD	  	158	  	 	21,790,000	  	Seasoned	  	
	 Dallas/Fort Worth Airport Marriott
	  	Dallas, TX	  	491	  	 	76,471,000	  	Seasoned	  	
	 Courtyard Savannah Historic District
	  	Savannah, GA	  	156	  	 	30,359,000	  	Seasoned	  	
	 Residence Inn Tampa Downtown
	  	Tampa, FL	  	109	  	 	13,889,000	  	Seasoned	  	
	 Omaha Marriott
	  	Omaha, NE	  	299	  	 	38,476,000	  	Seasoned	  	
	 Courtyard Denver Airport
	  	Denver, CO	  	202	  	 	24,117,000	  	Seasoned	  	
	 Plaza San Antonio Marriott
	  	San Antonio, TX	  	252	  	 	39,036,000	  	Seasoned	  	
	 Sheraton Annapolis
	  	Annapolis, MD	  	196	  	 	21,978,000	  	Seasoned	  	
	 Hyatt Regency Savannah
	  	Savannah, GA	  	347	  	 	42,867,000	  	Seasoned	  	
		  		  	 	  	 	 	  		  	
	 Total Seasoned Properties
	  		  	3,173	  	$	426,333,000	  		  	
						
	 	  	 	  	 	  	Property
Investment	  	 	  	Seasoned
Date
	New Properties	  		  		  			  		  	
	 Churchill Hotel
	  	Washington, D.C.	  	144	  	 	48,750,000	  	New	  	12/31/06
	 Hilton Parsippany
	  	Parsippany, NJ	  	510	  	 	78,000,000	  	New	  	12/31/07
	 Crowne Plaza Atlanta-Ravinia
	  	Atlanta, GA	  	495	  	 	69,500,000	  	New	  	12/31/06
	 Hyatt Regency Wind Watch Long Island
	  	Hauppauge, NY	  	360	  	 	59,000,000	  	New	  	12/31/06
	 Courtyard Boston Tremont
	  	Boston, MA	  	322	  	 	42,500,000	  	New	  	06/30/07
	 Radisson Mount Laurel (Marriott Conversion)
	  	Mt. Laurel, NJ	  	283	  	 	16,750,000	  	New	  	06/30/07
	 Barcelo Tucancun Beach
	  	Cancun, Mexico	  	332	  	 	31,000,000	  	New	  	12/31/07
	 Wyndham Palm Springs
	  	Palm Springs, CA	  	410	  	 	57,000,000	  	New	  	12/31/06
	 Hilton Boston Back Bay
	  	Boston, MA	  	385	  	 	110,000,000	  	New	  	12/31/06
	 Westin Princeton at Forrestal Village
	  	Princeton, NJ	  	294	  	 	53,500,000	  	New	  	12/31/06
	 Total New Properties
	  		  	3,535	  	 	566,000,000	  		  	
		  		  	 	  	 	 	  		  	
	 Operating Property Value (Seasoned and New)
	  		  	6,708	  	$	992,333,000	  		  	
		  		  	 	  	 	 	  		  	

 Loan No. 102919 
  

 SCHEDULE 3 
 Initial Pool Properties 
 Schedule 3 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
  

												
	 Hotel Property
	  	Location	  	Keys	  	OPV	  	Seasoned/
New	  	Seasoned
Date
	 Churchill Hotel
  
 •      Management Agreement between HHC TRS Highland LLC and Crestline Hotels &
Resorts, Inc.
	  	Washington, D.C.	  	144	  	$	38,179,000	  	Seasoned	  	N/A
						
	 Sugar Land Marriott and Conference Center
  
 •      Management Agreement between HHC TRS Sugar Land LLC and Crestline Hotels &
Resorts, Inc., as amended by the First Amendment to Management Agreement
  
 •      Re-licensing Franchise Agreement between Marriott International, Inc. and HHC TRS Sugar Land LLC, as amended by the First Amendment to Marriott Hotel Re-licensing Franchise
Agreement and Settlement and Release of Claims
	  	Houston, TX	  	300	  	 	43,724,000	  	Seasoned	  	N/A

 Loan No. 102919 
  

											
	 Hotel Property
	  	Location	  	Keys	  	OPV	  	Seasoned/
New	  	Seasoned
Date
	 Hilton Garden Inn Virginia Beach Town Center
  
 •      Management Agreement between HHC TRS OP LLC and Crestline Hotels & Resorts,
Inc., as assigned and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio
  
 •      Franchise License Agreement between Hilton Inns, Inc. and A/H BCC Virginia Beach Hotel,
LLC, as assumed and amended by the Assumption of, and Amendment to, License Agreement between HHC TRS OP LLC and Hilton Inns, Inc. and as further assigned, assumed and amended by the Assignment and Assumption of, and Amendment to, License Agreement
among HHC TRS OP LLC, HHC TRS LC Portfolio LLC and Hilton Inns, Inc.
	  	Virginia Beach, VA	  	176	  	21,724,000	  	Seasoned	  	N/A
						
	 Plaza San Antonio Marriott
  
 •      Management Agreement between HHC TRS OP LLC and Crestline Hotels & Resorts,
Inc., as assigned and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio LC
  
 •      Re-licensing Franchise Agreement between Marriott International, Inc. and HHC TRS OP
LLC, as assigned and assumed pursuant to the Assignment and Assumption of Franchise Documents among HHC TRS OP LLC, Highland Hospitality, L.P., HHC TRS LC Portfolio LLC and HH Texas Hotel Associates, L.P.
	  	San Antonio, TX	  	252	  	39,036,000	  	Seasoned	  	N/A

 Loan No. 102919 
  

											
	 Hotel Property
	  	Location	  	Keys	  	OPV	  	Seasoned/
New	  	Seasoned
Date
	 Radisson Hotel Mount Laurel
  
 •      Management Agreement between HHC TRS OP LLC and Sage Client 280 LLC for Radisson Hotel
Mount Laurel, as assigned and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC, HHC TRS LC Portfolio LLC and consented to by Sage Client 280 LLC
  
 •      License Agreement
between Radisson Hotels International, Inc. and HHC TRS OP LLC, as assigned and assumed pursuant to the Assignment and Assumption of License Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio LLC
	  	Mount Laurel, NJ	  	283	  	16,750,000	  	New	  	6/30/2007
						
	 Omaha Marriott
  
 •      Management Agreement between HHC TRS OP LLC and Crestline Hotels & Resorts,
Inc. as assigned and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio LLC
  
 •      Franchise Agreement between Marriott International Inc. and HHC TRS OP LLC as assigned
and assumed pursuant to the Assignment and Assumption of Franchise Documents among Highland Hospitality, L.P., HHC TRS LC Portfolio LLC and HH LC Portfolio LLC
	  	Omaha, NE	  	299	  	38,476,000	  	Seasoned	  	N/A

 Loan No. 102919 
  

												
	 Hotel Property
	  	Location	  	Keys	  	OPV	  	Seasoned/
New	  	Seasoned
Date
	 Residence Inn Tampa Downtown
  
 •      Management Agreement between HHC TRS OP LLC and McKibbon Management LLC, as assigned
and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio LLC
  
 •      Franchise Agreement between Marriott International Inc. and HHC TRS OP LLC, as assigned
and assumed pursuant to the Assignment and Assumption of Franchise Documents among HHC TRS OP LLC, Highland Hospitality, L.P., HHC TRS LC Portfolio LLC and HH LC Portfolio LLC
	  	Tampa, FL	  	109	  	 	13,889,000	  	Seasoned	  	N/A
						
	 Courtyard Savannah Historic District
  
 •      Management Agreement between HHC TRS OP LLC and McKibbon Management LLC, as assigned
and assumed pursuant to the Assignment and Assumption of Management Agreement between HHC TRS OP LLC and HHC TRS LC Portfolio LLC
  
 •      Amended and Restated Franchise Agreement between Marriott International, Inc. and HHC
TRS OP LLC
	  	Savannah, GA	  	156	  	 	30,359,000	  	Seasoned	  	N/A
						
	Total Pool Properties	  		  	1,719	  	$	242,137,000	  		  	

 Loan No. 102919 
  

 SCHEDULE 4 
 Permitted Liens 
 Schedule 4 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 NONE 

 Loan No. 102919 
  

 SCHEDULE 5 
 Subsidiary Guarantors 
 Schedule 5 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 HHC GP Corporation, a Maryland corporation (“HHC GP”) 
 HHC Texas GP LLC, a Delaware limited liability company (“HHC Texas GP”) 
 HHC TRS Holding Corporation, a Maryland corporation (“HHC TRS Holding”) 
 HH Princeton LLC, a Delaware limited liability company (“HH Princeton”) 
 HHC TRS Princeton LLC, a Delaware limited liability company (“HHC TRS Princeton”) 
 HH Churchill Hotel Associates, L.P., a Delaware limited partnership (“Churchill”) 
 HHC TRS GP LLC, a Delaware limited liability company (“HHC TRS GP”) 
 HHC TRS Highland LLC, a Delaware limited liability company (“HHC TRS Highland”) 
 HH Texas Hotel Associates, L.P., a Delaware limited partnership (“HH Texas”) 
 HH DFW Hotel Associates, L.P., a Delaware limited partnership (“HH DFW”) 
 HH LC Portfolio LLC, a Delaware limited liability company (“HH LC”) 
 HHC TRS LC Portfolio LLC, a Delaware limited liability company (“HHC TRS LC”) 
 HHC TRS OP LLC, a Delaware limited liability company (“HHC TRS OP”) 
 HH Annapolis Holding LLC, a Delaware limited liability company (“HH Annapolis Holding”) 
 HH Annapolis LLC, a Delaware limited liability company (“HH Annapolis”) 
 HH Palm Springs LLC, a Delaware limited liability company (“HH Palm Springs”) 
 HH Boston Back Bay LLC, a Delaware limited liability company (“HH Boston”) 
 HH Mexico Holding LLC, a Delaware limited liability company (“HH Mexico Holding”) 
 HH Mexico LLC, a Delaware limited liability company (“HH Mexico”) 
 HHC TRS Mexico Holding One LLC, a Delaware limited liability company (“HHC TRS Mexico One”) 
 HHC TRS Mexico Holding Two LLC, a Delaware limited liability company (“HHC TRS Mexico Two”) 

 Loan No. 102919 
  

 SCHEDULE 6 
 Exceptions to Representations and Warranties 
 Schedule 6 to CREDIT AGREEMENT among HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 The following are excluded from all representations and warranties made in Article 5: 
 HHC TRS Mexico, S. De R.L. De C.V. (“HHC TRS Mexico”) and the Barcelo Tucancun Beach property, located in Cancun, Mexico and leased by HHC TRS Mexico. 

 Loan No. 102919 
  

 SCHEDULE 7 
 Parent Stock 
 Schedule 7 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 As of the Effective Date, there are 51,802,343 common equity shares and 3,200,000 Series A preferred shares of Parent issued and outstanding. 

 Loan No. 102919 
  

 SCHEDULE 8 
 Litigation Disclosure 
 Schedule 8 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 NONE 

 Loan No. 102919 
  

 SCHEDULE 9 
 Subsidiaries and Unconsolidated Affiliates 
 Schedule 9 to CREDIT AGREEMENT among HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 Subsidiaries: 
  

					
	 Entity Name
	  	 Jurisdiction of
 Incorporation or
 Formation
	  	 Equity Interest Owner(s); Percentage Interest

	Highland Hospitality L.P.	  	Delaware	  	Highland Hospitality Corporation –98.89% LP
			
		  		  	HHC GP Corporation – .1% GP
			
		  		  	Barcelo Crestline – 1.01% LP
			
	HHC GP Corporation	  	Maryland	  	Highland Hospitality Corporation – 100%
			
	HHC TRS Holding Corporation	  	Maryland	  	Highland Hospitality L.P. – 100%
			
	HHC Texas GP LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH Tampa Westshore LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HHC TRS Tampa LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Savannah LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HHC TRS Savannah LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Baltimore Holdings LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH Baltimore LLC	  	Delaware	  	HH Baltimore Holdings LLC – 100%
			
	HH TRS Baltimore LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH FP Portfolio Holding LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH FP Portfolio LLC	  	Delaware	  	HH FP Portfolio Holding LLC – 100%
			
	HHC TRS FP Portfolio Holding LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HHC TRS FP Portfolio LLC	  	Delaware	  	HHC TRS FP Portfolio Holding LLC – 100%

 Loan No. 102919 
  

					
	 Entity Name
	  	Jurisdiction of
Incorporation or
Formation	  	 Equity Interest Owner(s); Percentage Interest

	HH Princeton LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HHC TRS Princeton LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Churchill Hotel Associates, L.P.	  	Delaware	  	Highland Hospitality L.P. – 99% LP
			
		  		  	HHC TRS GP LLC – 1% GP
			
	HHC TRS GP LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HHC TRS Highland LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Texas Hotel Associates, L.P.	  	Delaware	  	Highland Hospitality L.P. – 99.9% LP
			
		  		  	HHC Texas GP LLC – .1% GP
			
	HH DFW Hotel Associates, L.P.	  	Delaware	  	Highland Hospitality L.P. – 99.9% LP
			
		  		  	HHC Texas GP LLC – .1% GP
			
	HHC LC Portfolio LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HHC TRS LC Portfolio LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	Portsmouth One LLC	  	Delaware	  	Highland Hospitality L.P. – 90%
			
		  		  	Portsmouth Two LLC – 10%
			
	Portsmouth Two LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	Portsmouth Hotel Associates LLC	  	Delaware	  	Portsmouth One LLC – 1%
			
		  		  	Highland Hospitality L.P. – 99%
			
	HH TRS Portsmouth LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Denver LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH TRS OP LLC	  	Delaware	  	HHC TRS Holding Corporation – 100%
			
	HH Annapolis Holding LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH Annapolis LLC	  	Delaware	  	HH Annapolis Holding LLC
			
	HH Palm Springs LLC	  	Delaware	  	Highland Hospitality L.P. – 100%
			
	HH Boston Back Bay LLC	  	Delaware	  	Highland Hospitality L.P. – 100%

 Loan No. 102919 
  

					
	 Entity Name
	  	 Jurisdiction of
 Incorporation or
 Formation
	  	 Equity Interest Owner(s); Percentage Interest

	 HHC Mexico Holding LLC
	  	Delaware	  	 Highland Hospitality L.P. – 100%

			
	 HH Mexico LLC
	  	Delaware	  	 HH Mexico Holding LLC – 100%

			
	 HHC TRS Mexico Holding One LLC
	  	Delaware	  	 HHC TRS Holding Corporation – 100%

			
	 HHC TRS Mexico Holding Two LLC
	  	Delaware	  	 HHC TRS Holding Corporation – 100%

			
	 HHC TRS Mexico, S. De R.L. De C.V.
	  	Mexico	  	 HHC TRS Mexico Holding One - 99%

			
		  		  	 HHC TRS Mexico Holding Two – 1%

 Unconsolidated Affiliates: 
 None. 

 Loan No. 102919 
  

 SCHEDULE 10 
 Negative Pledges 
 Schedule 10 to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
 NONE 

 Loan No. 102919 
  

 EXHIBIT A 
 PRICING GRID 
 Exhibit A to CREDIT AGREEMENT among HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
  

							
	 Leverage Ratio
	  	Applicable Margin for
Fixed Rate Loans	 	 	Applicable Margin
for Variable Rate
Loans	 
	 < 40%
	  	1.50	%	 	0	 
	 3 40% < 45%
	  	1.60	%	 	0	 
	 3 45% < 50%
	  	1.75	%	 	0.25	%
	 3 50% < 55%
	  	1.95	%	 	0.50	%
	 3 55% < 60%
	  	2.25	%	 	0.75	%

 The Applicable Margin shall be determined in accordance with the foregoing table based on the
Leverage Ratio as reflected in the then most recent annual or quarterly financial statements of Borrower delivered pursuant to Section 8.1(a) or (b) (the “Financial Statements”). Adjustments, if any, to the
Applicable Margin resulting from changes in the Leverage Ratio shall be effective five (5) Business Days after Administrative Agent has received the applicable Financial Statements. If Borrower fails to deliver the Financial Statements to
Administrative Agent at the time required pursuant to Section 8.1, then the Applicable Margin shall be the highest Applicable Margin set forth in the foregoing table until five (5) Business Days after such Financial Statements are
so delivered. 
  

 A-1 

 Loan No. 102919 
  

 EXHIBIT B 
 DOCUMENTS 
 Exhibit B to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower,” WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent,” and various Lenders, dated as of February 24, 2006. 
  

	A.	Loan Documents. The documents listed below, numbered 1 through 4 inclusive, and amendments, modifications, restatements and supplements thereto which have received the prior
written consent of Administrative Agent, together with any documents executed in the future that are approved by Administrative Agent and that recite that they are “Loan Documents” for purposes of this Agreement, are collectively referred
to herein as the Loan Documents. 

  

	1.	Credit Agreement 

  

	2.	The following Promissory Notes: 

  

	 	(a)	Note payable to Wells Fargo Bank in the principal amount of $60,000,000 

  

	 	(b)	Note payable to PNC Bank, National Association, in the principal amount of $25,000,000 

  

	 	(c)	Note payable to Allied Irish Banks, p.l.c. in the principal amount of $22,500,000 

  

	 	(d)	Note payable to The Bank of New York in the principal amount of $22,500,000 

  

	 	(e)	Note payable to Merrill Lynch Capital, a Division of Merrill Lynch Business Financial Services Inc., a Delaware corporation, in the principal amount of $20,000,000

  

	 	(f)	Swingline Note payable to Wells Fargo Bank in the principal amount of $10,000,000 

  

	3.	Guaranty executed by Parent (Parent Guaranty) 

  

	4.	Guaranty executed by Subsidiary Guarantors (Subsidiary Guaranty) 

  

	B.	Other Related Documents (Which Are Not Loan Documents): 

  

	1.	Transfer Authorizer Designation 

  

 B-1 

 Loan No. 102919 
  

	2.	Copies of the following documents, certified by Borrower to be true, accurate, complete and in full force and effect: 

  

	 	(a)	Operating Lease for each Pool Property 

  

	 	(b)	Management Agreement for each Pool Property 

  

	 	(c)	Franchise Agreement for each Pool Property, as applicable; 

  

	 	(d)	Ground Lease for each applicable Pool Property 

  

	3.	The following documents with respect to Highland Hospitality L.P. (Borrower): 

  

	 	(a)	Certificate of limited partnership 

  

	 	(b)	Certified copy of limited partnership agreement 

  

	 	(c)	Borrowing authorization 

  

	 	(d)	Certificate of good standing – Delaware 

  

	4.	The following documents with respect to Highland Hospitality Corporation (Parent): 

  

	 	(a)	Certified copy of articles of incorporation 

  

	 	(b)	Certified copy of by-laws 

  

	 	(c)	Certified resolutions 

  

	 	(d)	Certificate of good standing – Maryland 

  

	5.	The following documents with respect to each Subsidiary Guarantor and each Subsidiary GP that is a limited liability company: 

  

	 	(a)	Certified copy of articles of formation 

  

	 	(b)	Certified copy of operating agreement 

  

	 	(c)	Authorization to deliver Subsidiary Guaranty (from its board of managers or other similar governing persons) 

  

	 	(d)	Incumbency certificate 

  

	 	(e)	Certificate of good standing – state of formation 

  

	 	(f)	Certificate of authority to do business – state in which applicable Properties is located 

  

 B-2 

 Loan No. 102919 
  

	6.	The following documents with respect to each Subsidiary Guarantor and each Subsidiary GP that is a limited partnership: 

  

	 	(a)	Certificate of limited partnership 

  

	 	(b)	Certified copy of limited partnership agreement 

  

	 	(c)	Authorization to deliver Subsidiary Guaranty (partners’ consent) 

  

	 	(d)	Certificate of good standing – state of formation 

  

	 	(e)	Certificate of authority to do business – state(s) in which applicable Properties are located 

  

	7.	The following documents with respect to each Subsidiary Guarantor and each Subsidiary GP that is a corporation: 

  

	 	(a)	Certified copy of articles of incorporation 

  

	 	(b)	Certified copy of by-laws 

  

	 	(c)	Certified resolutions 

  

	 	(d)	Incumbency certificate 

  

	 	(e)	Certificate of good standing – state of incorporation 

  

	8.	Legal opinions from counsel to Loan Parties 

  

 B-3 

 Loan No. 102919 
  

 EXHIBIT C 
 FORM OF ASSIGNMENT AND ASSUMPTION AGREEMENT 
 Exhibit C to CREDIT AGREEMENT between HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, and as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 ASSIGNMENT AND ASSUMPTION AGREEMENT 
 THIS ASSIGNMENT AND ASSUMPTION AGREEMENT (this “Agreement”) is dated as of                     ,
    , between                              (“Assignor”)
and                              (“Assignee”). 
 RECITALS: 
 A. Assignor is a Lender
under the Loan Agreement dated as of              (as from time to time amended, supplemented or restated, the “Loan Agreement”), by and among
                    , a
                     (“Borrower”), the persons named therein as Lenders and such other Persons as may become Lenders in
accordance with the terms of the Loan Agreement, and Wells Fargo Bank, National Association, as Administrative Agent (“Administrative Agent”). (Capitalized terms used in this Agreement without definition have the same meanings as in
the Loan Agreement.) 
 B. Currently, Assignor’s Percentage Share of the Loan is equal to
            % and Assignee’s Percentage Share of the Loan is equal to             %. Assignor desires to
assign to Assignee, and Assignee desires to accept and assume, [all/a portion] of the rights and obligations of Assignor under the Credit Agreement. 
 C. Assignor desires to assign to Assignee, and Assignee desires to accept and assume, a portion of the rights and obligations of Assignor under the Loan Agreement. 
 NOW, THEREFORE, in consideration of the mutual agreements herein contained, the parties hereto agree as follows: 
 1. Assignment. 
 (a)
Effective on the Assignment Effective Date (as defined in Section 3 below), Assignor hereby assigns to Assignee the Assigned Share (as defined below) of [all/a portion of] of Assignor’s rights, title, interest and obligations
under the Loan Agreement and other Loan Documents, including without limitation those relating to Assignor’s Pro Rata Share of the Loan. The Assigned Share of all such rights, title, interest and obligations is referred to collectively as the
“Assigned Rights and Obligations”. 
  

 C-1 

 Loan No. 102919 
  

 (b) The “Assigned Share” means the portion of Assignor’s
Percentage Share in the Loan being assigned hereby, such portion being equal to             % of the Loan (or
$             of Commitment). The new Percentage Share of Loan being held by Assignee (after giving effect to the assignment hereunder), and the Percentage Share in the Loan retained
by Assignor, shall be as specified on the signature pages of this Agreement 
 2. Assumption. Effective on the Assignment Effective
Date, Assignee hereby accepts the foregoing assignment of, and hereby assumes from Assignor, the Assigned Rights and Obligations. 
 3.
Effectiveness. This Agreement shall become effective on a date (the “Assignment Effective Date”) selected by Assignor, which shall be on or as soon as practicable after the execution and delivery of counterparts of this
Agreement by Assignor, Assignee, Administrative Agent and Borrower. Assignor shall promptly notify Assignee, Administrative Agent and Borrower in writing of the Assignment Effective Date. 
 4. Payments on Assignment Effective Date. In consideration of the assignment by Assignor to Assignee, and the assumption by Assignee, of the
Assigned Rights and Obligations, on the Assignment Effective Date Assignee shall pay to Assignor such amounts as are specified in any written agreement or exchange of letters between them and additionally shall pay to Administrative Agent an
assignment processing fee of $             
 5. Allocation and Payment
of Interest and Fees. 
 (a) Administrative Agent shall pay to Assignee all interest and other amounts (including Fees,
except as otherwise provided in the written agreement referred to in Section 4 above) not constituting principal that are paid by or on behalf of Borrower pursuant to the Loan Documents and are attributable to the Assigned Rights and
Obligations (“Borrower Amounts”), that accrue on and after the Assignment Effective Date. If Assignor receives or collects any such Borrower Amounts, Assignor shall promptly pay them to Assignee. 
 (b) Administrative Agent shall pay to Assignor all Borrower Amounts that accrue before the Assignment Effective Date (or otherwise
pursuant to the written agreement referred to in Section 4 above) when and as the same are paid by Administrative Agent to the other Lenders. If Assignee receives or collects any such Borrower Amounts, Assignee shall promptly pay such
amounts to Assignor. 
 (c) Unless specifically assumed by Assignee, Assignor shall be responsible and liable for all
reimbursable liabilities and costs and indemnification obligations which accrue under Section 10.12 of the Loan Agreement prior to the Assignment Effective Date, and such liability shall survive the Assignment Effective Date. 

 

 C-2 

 Loan No. 102919 
  

 6. Administrative Agent Liability. Administrative Agent shall not be liable for any allocation
or payment to either Assignor or Assignee subsequently determined to be erroneous, unless resulting from Administrative Agent’s willful misconduct or gross negligence. 
 7. Representations and Warranties. 
 (a) Each of Assignor and Assignee represents and warrants to the other and to Administrative Agent as follows: 
 (i) It has full power and authority, and has taken all action necessary, to execute and deliver this Agreement and to fulfill its obligations under, and to consummate the transactions contemplated by, this Agreement;

 (ii) The making and performance of this Agreement and all documents required to be executed and delivered by it hereunder
do not and will not violate any law or regulation applicable to it; 
 (iii) This Agreement has been duly executed and
delivered by it and constitutes its legal, valid and binding obligation enforceable in accordance with its terms; and 
 (iv)
All approvals, authorizations or other actions by, or filings with, any governmental authority necessary for the validity or enforceability of its obligations under this Agreement have been made or obtained. 
 (b) Assignor represents and warrants to Assignee that Assignor owns the Assigned Rights and Obligations free and clear of any Lien or
other encumbrance. 
 (c) Assignee represents and warrants to Assignor as follows: 
 (i) Assignee is and shall continue to be an “Eligible Assignee” as defined in the Loan Agreement; 
 (ii) Assignee has made and shall continue to make its own independent investigation of the financial condition, affairs and
creditworthiness of Borrower and any other Loan Party; and 
 (iii) Assignee has received copies of the Loan Documents and
such other documents, financial statements and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Agreement. 
 8. No Assignor Responsibility. Assignor makes no representation or warranty regarding, and assumes no responsibility to Assignee for: 
 (a) the execution (by any party other than Assignor), effectiveness, genuineness, validity, enforceability, collectibility or sufficiency
of the Loan Documents 
  

 C-3 

 Loan No. 102919 
  

 or any representations, warranties, recitals or statements made in the Loan Documents or in any
financial or other written or oral statement, instrument, report, certificate or any other document made or furnished or made available by Assignor to Assignee or by or on behalf of any Loan Party to Assignor or Assignee in connection with the Loan
Documents and the transactions contemplated thereby; 
 (b) the performance or observance of any of the terms, covenants or
agreements contained in any of the Loan Documents or as to the existence or possible existence of any Default or Potential Default under the Loan Documents; or 
 (c) the accuracy or completeness of any information provided to Assignee, whether by Assignor or by or on behalf of any Loan Party.

 Assignor shall have no initial or continuing duty or responsibility to make any investigation of the financial condition, affairs or
creditworthiness of any of the Loan Parties, in connection with the assignment of the Assigned Rights and Obligations or to provide Assignee with any credit or other information with respect thereto, whether coming into its possession before the
date hereof or at any time or times thereafter. 
 9. Assignee Bound By Loan Agreement. Effective on the Assignment Effective Date,
Assignee (a) shall be deemed to be a party to the Loan Agreement and as such, shall be directly liable to Borrower for any failure by Assignee to comply with Assignee’s assumed obligations thereunder, including, without limitation,
Assignee’s obligation to fund its Pro Rata Share of the Loan in accordance with provisions of the Loan Agreement, (b) agrees to be bound by the Loan Agreement to the same extent as it would have been if it had been an original Lender
thereunder, (c) agrees to perform in accordance with their respective terms all of the obligations which are required under the Loan Documents to be performed by it as a Lender, and (d) agrees to maintain its status as an Eligible
Assignee. Assignee appoints and authorizes Administrative Agent to take such actions as agent on its behalf and to exercise such powers under the Loan Documents as are delegated to Administrative Agent by the terms thereof, together with such powers
as are reasonably incidental thereto. 
 10. Assignor Released From Loan Agreement. Effective on the Assignment Effective Date,
Assignor shall be released from the Assigned Rights and Obligations; provided, however, that Assignor shall retain all of its rights to indemnification under the Loan Agreement and the other Loan Documents for any events, acts or omissions occurring
before the Assignment Effective Date, and, to the extent not assumed by Assignee, Assignor shall continue to be responsible for the liabilities and obligations described in Section 5(c) of this Agreement. 
 11. New Notes. On or promptly after the Assignment Effective Date, Borrower, Administrative Agent, Assignor and Assignee shall make appropriate
arrangements so that new Notes executed by Borrower, dated the Assignment Effective Date and in the amount of the respective Pro Rata Shares of Assignor and Assignee in the original Loan amount, after giving effect to this Agreement, are issued to
Assignor and Assignee, in exchange for the surrender by Assignor and Assignee to Borrower of any applicable outstanding Notes, marked “Exchanged”. 
  

 C-4 

 Loan No. 102919 
  

 12. General. 
 (a) No term or provision of this Agreement may be amended, waived or terminated orally, but only by an instrument signed by the parties
hereto. 
 (b) This Agreement may be executed in one or more counterparts. Each set of executed counterparts shall be an
original. Executed counterparts may be delivered by facsimile transmission. 
 (c) If Assignor has not assigned its entire
remaining Pro Rata Share of the Loan to Assignee, Assignor may at any time and from time to time grant to others, subject to applicable provisions in the Loan Agreement, assignments of or participation in all of Assignor’s remaining Pro Rata
Share of the Loan. 
 (d) This Agreement shall be binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns. Neither Assignor nor Assignee may assign or transfer any of its rights or obligations under this Agreement without the prior written consent of the other and Administrative Agent and (subject to the provisions of
Section 11.13) Borrower. The preceding sentence shall not limit the right of Assignee to grant to others a participation in all or part of the Assigned Rights and Obligations subject to the terms of the Loan Agreement. 
 (e) All payments to Assignor or Assignee hereunder shall, unless otherwise specified by the party entitled thereto, be made in United
States dollars, in immediately available funds, and to the address or account specified on the signature pages of this Agreement. The address of Assignee for notice purposes under the Loan Agreement shall be as specified on the signature pages of
this Agreement. 
 (f) If any provision of this Agreement is held invalid, illegal or unenforceable, the remaining provisions
hereof will not be affected or impaired in any way. 
 (g) Each party shall bear its own expenses in connection with the
preparation and execution of this Agreement. 
 (h) This Agreement shall be governed by and construed in accordance with the
laws of the State of                     . 
 (i) [Foreign Withholding. On or before the Assignment Effective Date, Assignee shall comply with the provisions of Section 11.13(d) of the Loan Agreement.] 
 (REMAINDER OF PAGE INTENTIONALLY LEFT BLANK) 
  

 C-5 

 Loan No. 102919 
  

 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above
written. 
  

					
	ASSIGNOR:	 	  

			
		 	By:	 	  

		 	Name:	 	  

		 	Its:	 	  

		
		 	Pro Rata Share:             %
		 	Share of Original Loan: $            
		
		 	Payment Instruction:
		
		 	  

		 	  

			
		 	ABA No.:	 	  

		 	Account No.:	 	  

		 	Reference:	 	  

		 	Loan No. :	 	  

		 	Attn :	 	  

		 	Telephone:	 	  

		 	Facsimile:	 	  

		
	ASSIGNEE:	 	  

			
		 	By:	 	  

		 	Name:	 	  

		 	Its:	 	  

		
		 	Pro Rata Share:             %
		 	Share of Original Loan: $            
		
		 	Payment Instruction:
		
		 	  

		 	  

			
		 	ABA No.:	 	  

		 	Account No.:	 	  

		 	Reference:	 	  

		 	Loan No. :	 	  

		 	Attn :	 	  

		 	Telephone:	 	  

		 	Facsimile:	 	  

  

 C-6 

 Loan No. 102919 
  

					
	ACKNOWLEDGED AND AGREED:	 		 	
		
	BORROWER:	 	                                      
  ,
		 	a
                                        
            
			
		 	By:	 	  

		 	Name:	 	  

		 	Its:	 	  

		
	ADMINISTRATIVE AGENT:	 	WELLS FARGO BANK, NATIONAL ASSOCIATION
			
		 	By:	 	  

		 	Name:	 	  

		 	Its:	 	  

  

 C-7 

 Loan No. 102919 
  

 EXHIBIT D 
 FORM OF BORROWING BASE CERTIFICATE 
 Exhibit D to CREDIT AGREEMENT between HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 To: Administrative Agent under the Credit Agreement described below 
 This Certificate is furnished pursuant to Section 8.2 of that certain Credit Agreement (as amended, modified, renewed or extended from time to time, the “Agreement”) between HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent” and various Lenders, dated as of February 24, 2006. Unless otherwise defined herein, capitalized terms used in this
Certificate have the meanings ascribed thereto in the Agreement. 
 The undersigned hereby certifies that Schedule 1 attached hereto
sets forth the calculation of the Borrowing Base, as of this      day of                     ,
200  . 
 The foregoing certification is made by the undersigned for and on behalf of Borrower, and the undersigned shall
have no personal liability under this Certificate. 
  

			
	By:	 	  

	Name:	 	
	Title:	 	
	Highland Hospitality, L.P.

  

 D-1 

 Loan No. 102919 
  

 EXHIBIT E 
 FORM OF COMPLIANCE CERTIFICATE 
 Exhibit E to CREDIT AGREEMENT between HIGHLAND HOSPITALITY,
L.P., a Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 CERTIFICATE OF BORROWER 
 To: Administrative Agent and Lenders party to the Credit Agreement described below 
 This Certificate is furnished pursuant to
Section 8.3 of that certain Credit Agreement (as amended, modified, renewed or extended from time to time, the “Agreement”) between HIGHLAND HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower”, WELLS
FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent” and various Lenders, dated as of February 24, 2006. Unless otherwise defined herein, capitalized terms used in this Certificate have the meanings ascribed thereto in the
Agreement. 
 THE UNDERSIGNED HEREBY CERTIFIES THAT: 
 1. I am the
                                        
         of Borrower. 
 2. I have reviewed the terms of the Agreement and the other Loan
Documents, and I have made a review in reasonable detail of the transactions and condition of Borrower during the accounting period covered by such financial statements for the period ending
                    , 200  , and such review has not disclosed the existence during or at the end of such accounting period,
nor do I have knowledge of the existence as of the date of this certificate, of any condition or event which constitutes a Default or a Potential Default, [or, if any such condition or event existed or exists, this certificate shall specify the
nature and period of existence thereof and what action has been taken, is being taken and is proposed to be taken with respect thereto.] 
 3. Schedule I attached hereto sets forth financial data and computations required to establish compliance with the covenants contained in Sections 7.6, 7.16, 7.26, 7.27, 7.28, 7.29, 7.30,
7.31 and 7.32 of the Agreement as of the [last day of the quarter covered by the financial statements], all of which data and computations are true, complete and correct in all material respects. 
 The foregoing certifications, together with the computations set forth in Schedule I hereto and the operating statements delivered with this Certificate
in support hereof, are made and delivered this      day of                     , 200  .

  

 E-1 

 Loan No. 102919 
  

 The foregoing certifications are made by the undersigned for and on behalf of Borrower, and the
undersigned shall have no personal liability under this Certificate. 
  

	
	  

  

 E-2 

 EXHIBIT F 
 FORM OF FACILITY INCREASE SUPPLEMENT 
 Exhibit F to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 FACILITY INCREASE SUPPLEMENT 
 This Facility Increase Supplement (this
“Supplement”) dated as of                     , 200  , is entered into among the parties listed on the signature
pages hereof. Capitalized terms used herein and not otherwise defined herein shall have the meanings attributed to them in the Credit Agreement (as defined below). 
 PRELIMINARY STATEMENTS 
 Reference is made to that certain Credit Agreement dated as of February 24,
2006, by and among Highland Hospitality, L.P., a Delaware limited partnership, Wells Fargo Bank, National Association, as Administrative Agent, and the Lenders that are parties thereto (as the same may from time to time be amended, modified,
supplemented or restated, in whole or in part and without limitation as to amount, terms, conditions or covenants, the “Credit Agreement”). 
 Pursuant to Section 2.12 of the Credit Agreement, the Borrower has requested an increase in the Aggregate Commitment from $             to
$            . Such increase in the Aggregate Commitment is to become effective on             ,
200   (the “Increase Date”), In connection with such requested increase in the Aggregate Commitment, Borrower, Administrative Agent and the lenders identified in Schedule I (each an “Accepting Lender”) hereby
agree as follows: 
 1. ACCEPTING LENDERS’ COMMITMENTS. Effective as of the Increase Date, (a) the Commitment of each Accepting
Lender that is a Lender under the Credit Agreement prior to the execution and delivery of this Supplement shall be increased from the amount set forth on Schedule I as its “Original Commitment” to the amount set forth on Schedule I as its
“New Commitment” and (b) each Accepting Lender that is not a Lender under the Credit Agreement prior to the execution and delivery of this Supplement (each, a “New Lender”) shall have a Commitment under the Credit Agreement
in the amount set forth on Schedule I as its “New Commitment.” 
 2. REPRESENTATIONS AND AGREEMENTS OF ACCEPTING LENDERS.

 (a) Each of the Accepting Lender represents and warrants as follows: 
 (i) It has full power and authority, and has taken all action necessary, to execute and deliver this Supplement and to fulfill its
obligations under, and to consummate the transactions contemplated by, this Supplement; 
  

 F-1 

 Loan No. 102919 
  

 (ii) The making and performance of this Supplement and all documents required to be
executed and delivered by it hereunder do not and will not violate any law or regulation applicable to it; 
 (iii) This
Supplement has been duly executed and delivered by it and constitutes its legal, valid and binding obligation enforceable in accordance with its terms; and 
 (iv) All approvals, authorizations or other actions by, or filings with, any Governmental Authority necessary for the validity or enforceability of its obligations under this Supplement have been made or obtained.

 (b) Each New Lender represents and warrants as follows: 
 (i) It is an “Eligible Assignee” as defined in the Credit Agreement; 
 (ii) It has made and shall continue to make its own independent investigation of the financial condition, affairs and creditworthiness of
Borrower and any other Loan Party; and 
 (iii) it has received copies of the Loan Documents and such other documents,
financial statements and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Supplement. 
 (c) Effective on the Increase Date, each New Lender (i) shall be deemed to be a party to the Credit Agreement and, as such, shall be directly liable to Borrower for any failure by New Lender to comply with its obligations thereunder,
including, without limitation, its obligation to fund its Pro Rata Share of the Revolving Loans in accordance with provisions of the Credit Agreement, (ii) agrees to be bound by the Credit Agreement to the same extent as it would have been if
it had been an original Lender thereunder, (iii) agrees to perform in accordance with their respective terms all of the obligations which are required under the Loan Documents to be performed by it as a Lender, (iv) agrees to maintain its
status as an Eligible Assignee and (v) appoints and authorizes Administrative Agent to take such actions as agent on its behalf and to exercise such powers under the Loan Documents as are delegated to Administrative Agent by the terms thereof,
together with such powers as are reasonably incidental thereto. 
 3. REPRESENTATIONS OF THE BORROWER. Borrower hereby represents and
warrants that, as of the date hereof and as of the Increase Date, (a) no event or condition shall have occurred and then be continuing which constitutes a Default or Potential Default and (b) all representations and warranties of Borrower
made under this Credit Agreement are true and correct in all material respects. 
  

 F-2 

 Loan No. 102919 
  

 4. NOTICES. For the purpose of notices to be given under the Credit Agreement, the address of each
New Lender (until notice of a change is delivered) shall be the address set forth beneath its signature. 
 5. GENERAL. 
 (a) This Supplement may be executed in one or more counterparts. Each set of executed counterparts shall be an original. Executed counterparts may be
delivered by facsimile transmission. 
 (b) This Supplement shall be construed and interpreted in accordance with and governed by the laws of
the District of Columbia, except to the extent preempted by United States federal law. 
  

 F-3 

 Loan No. 102919 
  

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

			
	BORROWER:
	
	HIGHLAND HOSPITALITY, LP., a
	Delaware limited partnership
		
	By:	 	HHC GP CORPORATION
		 	a Maryland corporation, its General Partner
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	ADMINISTRATIVE AGENT:
	
	WELLS FARGO BANK, NATIONAL ASSOCIATION, AS ADMINISTRATIVE AGENT
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  

 F-4 

 SIGNATURE PAGE OF THE UNDERSIGNED AS AN ACCEPTING LENDER UNDER THE 
 FACILITY INCREASE SUPPLEMENT WITH HIGHLAND HOSPITALITY, L.P. 
  

			
	  

		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	Address [required for New Lenders only]

  

 F-5 

 Loan No. 102919 
  

 SCHEDULE I 
 ACCEPTING LENDERS AND COMMITMENTS 
  

					
	 Accepting Lender
	  	Original
Commitment	  	New Commitment

  

 G-1 

 Loan No. 102919 
  

 EXHIBIT G 
 FORM OF FIXED RATE NOTICE 
 Exhibit G to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 FIXED RATE NOTICE 
  

							
	TODAY’S DATE:                     	  	LOAN MATURITY DATE:	  	February 23, 2009
				
	TO:	  	WELLS FARGO BANK, N.A.	  	LOAN ADMINISTRATOR:	  	  

		  	DISBURSEMENT AND OPERATIONS CENTER	  		  	
		  	FAX # (310) 615-1014 or (310) 615-1016	  	RELATIONSHIP MANAGER:	  	  

		  	ATTENTION: RATE OPTION DESK	  		  	

 BORROWER INTEREST RATE OPTION REQUEST 
 Rate Quote Line (888) 293-2362 x:472 Use One Form Per Transaction 
  

					
	LOAN #: 102919	  	BORROWER NAME: HIGHLAND HOSPITALITY, L.P.
		
	RATE SET DATE:                     	  	FIXED RATE COMMENCEMENT DATE:                     
(1350)
	FIXED RATE PERIOD (TERM):
                                        
        	  	(i.e. 1, 2, 3 months, etc. as allowed per Credit Agreement)
	

  

																		
	INDEX:	  	LIBO	  	RATE:	  	%	  	+	  	Application Margin	  	=	  	%	  	(1350	)
		  		  		  	Quote	  		  	Spread	  		  	Applicable Rate	  		

  

														
	FIXED RATE ADVANCE EXPIRING ON:	  	 	_____________	  	$                            	  	
	1.	  	AMOUNT ROLLING OVER	  	$	            	  	FROM OBLGN#:	  		  		  	
	2.	  	ADD: AMT TRANSFERRED FROM	  			  		  		  		  	
		  	VARIABLE RATE ADVANCE	  	$	            	  	FROM OBLGN#:	  	_______	  	TO OBLGN# :	  	_______
		  		  			  		  	(5522)	  		  	(5020)
	3.	  	ADD: AMT TRANSFERRED FROM	  			  		  		  		  	
		  	OTHER FIXED RATE ADVANCE	  	$	            	  	FROM OBLGN#:	  	_______	  	TO OBLGN# :	  	_______
		  		  			  		  	(5522)	  		  	(5020)
		  	ADD: AMT TRANSFERRED FROM	  			  		  		  		  	
		  	OTHER FIXED RATE ADVANCE	  	$	            	  	FROM OBLGN#:	  	_______	  	TO OBLGN# :	  	_______
		  		  			  		  	(5522)	  		  	(5020)
	4.	  	LESS: AMT TRANSFERRED TO	  			  		  		  		  	
		  	VARIABLE RATE ADVANCE	  	$	            	  	FROM OBLGN#:	  	_______	  	TO OBLGN# :	  	_______
		  		  			  		  	(5522)	  		  	(5020)
	TOTAL FIXED RATE ADVANCE	  	$	            	  		  		  		  	

  

 G-1 

 Loan No. 102919 
  

					
	ADMINISTRATION FEE DUE:	  	-0-                    
	CHARGE FEES TO DDA#: _______	  	YES, charge DDA	  	DDA#: ________________________________________
	                                       
        _______	  	NO, to be remitted	  	PLEASE REMIT FEE TO: 2120 E. Park Place, Suite 100
		  		  	                                       
         El Segundo, CA 90245

 Borrower confirms, represents and warrants to Administrative Agent and each Lender, (a) that this selection
of a Fixed Rate is subject to the terms and conditions of the Credit Agreement among Borrower, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006 (the “Credit
Agreement”) and the other Loan Documents defined therein, and (b) that terms, words and phrases used but not defined in this Notice have the meanings attributed thereto in the Credit Agreement, and (c) that no Default or Potential
Default has occurred or exists under the Credit Agreement or any other Loan Document. 
  

					
	REQUESTED BY (as allowed per documents): _______________________________	  	TELEPHONE #:	  	(                            )
			
	PRINT NAME: ______________________________________________	  	FAX #:	  	(                            )

  

 G-2 

 Loan No. 102919 
  

 EXHIBIT H 
 FORM OF NOTE 
 Exhibit H to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a Delaware
limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 PROMISSORY NOTE 
  

			
	 $                    
	 	                         ,
20    

 FOR VALUE RECEIVED, HIGHLAND HOSPITALITY, L.P., a Delaware limited partnership
“Borrower”) HEREBY PROMISES TO PAY to the order of
                                 (“Lender”) the principal sum of
                                     Dollars
($                    ), or if less, the aggregate unpaid principal amount of all disbursements disbursed by Lender pursuant to the
requirements set forth in the Credit Agreement dated as of February 24 (as amended, supplemented or restated from time to time the “Credit Agreement”), among Borrower, Lender, certain other Lenders named therein or made parties
thereto and Wells Fargo Bank, National Association, as Administrative Agent, together with interest on the unpaid principal balance hereof at the rate (or rates) determined in accordance with Section 2.6 of the Credit Agreement from the
date such principal is advanced until it is paid in full. It is contemplated that there will be advances and payments under this Note from time to time, but no advances or payments under this Note (including payment in full of the unpaid balance of
principal hereof prior to maturity) shall affect or impair the validity or enforceability of this Note as to future advances hereunder. 
 This Note is one of the Notes referred to in and governed by the Credit Agreement, which Credit Agreement, among other things, contains provisions for the acceleration of the maturity hereof and for the payment of certain additional sums to
Lender upon the happening of certain stated events. Capitalized terms used in this Note without definition have the same meanings as in the Credit Agreement. 
 The principal amount of this Note, unless accelerated in accordance with Credit Agreement as described below, if not sooner paid, will be due and payable, together with all accrued and unpaid interest and other
amounts due and unpaid under the Credit Agreement, on the Maturity Date. 
 Interest on the Loan is payable in arrears on the first Business
Day of each month during the term of the Credit Agreement, commencing with the first Business Day of the first calendar month to begin after the date of this Note. Interest will be computed on the basis of the actual number of days elapsed in the
period during which interest accrues and a year of three hundred sixty (360) days. The Credit Agreement provides for the payment by Borrower of various other charges and fees, in addition to the interest charges described in the Credit
Agreement, as set forth more fully in the Credit Agreement. 
  

 H-1 

 Loan No. 102919 
  

 All payments of any amount becoming due under this Note shall be made in the manner provided in the
Credit Agreement, in Dollars. 
 Upon and after the occurrence of a Default, this Note may, without further demand, notice or legal process
of any kind, be declared immediately due and payable as provided in the Credit Agreement. Upon and after the occurrence of certain Defaults identified in the Loan Agreement, this Note shall, without any action by Lenders and without demand, notice
or legal process of any kind, automatically and immediately become due and payable. 
 Demand, presentment, protest and notice of nonpayment
and protest, notice of intention to accelerate maturity, notice of acceleration of maturity and notice of dishonor are hereby waived by Borrower. Subject to the terms of the Credit Agreement, Lender may extend the time of payment of this Note,
postpone the enforcement hereof, grant any indulgences, release any party primarily or secondarily liable hereon or agree to any subordination of Borrower’s obligations hereunder without affecting or diminishing Lender’s right of recourse
against Borrower, which right is hereby expressly reserved. 
 This Note has been delivered and accepted in Washington, District of Columbia.
This Note shall be interpreted in accordance with, and the rights and liabilities of the parties hereto shall be determined and governed by, the laws of the District of Columbia, except to the extent preempted by United States federal law.

 All notices or other communications required or permitted to be given pursuant to this Note shall be given to Borrower or Lender at the
address and in the manner provided for in the Credit Agreement. 
 The provisions of Section 2.15 of the Credit Agreement are
hereby incorporated herein by reference. 
 Whenever possible each provision of this Note shall be interpreted in such manner as to be
effective and valid under applicable law, but if any provision of this Note shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the
remainder of such provision or the remaining provisions of this Note. 
 [This Note is issued in replacement of a Note dated
                     in the amount of
$                    , previously issued by Borrower to
                     pursuant to the Credit Agreement and shall evidence Revolving Loans made by
                     that are outstanding as of the date hereof, together with accrued and unpaid interest thereon and other amounts payable
with respect thereto, as well as future advances hereunder.] 
  

 H-2 

 Loan No. 102919 
  

			
	 HIGHLAND HOSPITALITY, L.P., a
 Delaware
limited partnership
  
 By: HHC GP CORPORATION, a Maryland
 corporation, its General Partner

		
	 By:
	 	  
  

		
	 Name:
	 	  
  

		
	Its:	 	  
  

  

 H-3 

 Loan No. 102919 
  

 EXHIBIT I 
 FORM OF SWINGLINE NOTE 
 Exhibit I to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 PROMISSORY NOTE 
  

			
	 $10,000,000
	 	February 24, 2006

 FOR VALUE RECEIVED, HIGHLAND HOSPITALITY, L.P., a Delaware limited partnership
“Borrower”) HEREBY PROMISES TO PAY to the order of WELLS FARGO BANK, NATIONAL ASSOCIATION (“Swingline Lender”) the principal sum of Ten Million and No/100ths Dollars ($10,000,000), or if less, the aggregate unpaid
principal amount of all Swingline Loans disbursed by Lender pursuant to the requirements set forth in the Credit Agreement dated as of February 24, 2006 (as amended, supplemented or restated from time to time the “Credit
Agreement”), among Borrower, Lender, certain other Lenders named therein or made parties thereto and Wells Fargo Bank, National Association, as Administrative Agent, together with interest on the unpaid principal balance hereof at the rate
(or rates) determined in accordance with Section 2.6 of the Credit Agreement from the date such principal is advanced until it is paid in full. It is contemplated that there will be advances and payments under this Note from time to
time, but no advances or payments under this Note (including payment in full of the unpaid balance of principal hereof prior to maturity) shall affect or impair the validity or enforceability of this Note as to future advances hereunder. 

This Note is the Swingline Note referred to in and governed by the Credit Agreement, which Credit Agreement, among other things, contains provisions
for the acceleration of the maturity hereof and for the payment of certain additional sums to Lender upon the happening of certain stated events. Capitalized terms used in this Note without definition have the same meanings as in the Credit
Agreement. 
 Each Swingline Loan advanced under the Credit Agreement shall be repaid in full on the seventh (7th) day following such advance. The unpaid principal balance of this Note, unless accelerated in accordance with Credit
Agreement as described below, if not sooner paid, will be due and payable, together with all accrued and unpaid interest and other amounts due and unpaid under the Credit Agreement, on the Maturity Date. 
 Interest on the Swingline Loans is payable in arrears on the first Business Day of each month during the term of the Credit Agreement, commencing with
the first Business Day of the first calendar month to begin after the date of this Note. Interest will be computed on the basis of the actual number of days elapsed in the period during which interest accrues and a year of three hundred sixty
(360) days. The Credit Agreement provides for the payment by Borrower of various other charges and fees, in addition to the interest charges described in the Credit Agreement, as set forth more fully in the Credit Agreement. 
  

 I-1 

 Loan No. 102919 
  

 All payments of any amount becoming due under this Note shall be made in the manner provided in the
Credit Agreement, in Dollars. 
 Upon and after the occurrence of a Default, this Note may, without further demand, notice or legal process
of any kind, be declared immediately due and payable as provided in the Credit Agreement. Upon and after the occurrence of certain Defaults identified in the Loan Agreement, this Note shall, without any action by Swingline Lender or the other
Lenders and without demand, notice or legal process of any kind, automatically and immediately become due and payable. 
 Demand,
presentment, protest and notice of nonpayment and protest, notice of intention to accelerate maturity, notice of acceleration of maturity and notice of dishonor are hereby waived by Borrower. Subject to the terms of the Credit Agreement, Swingline
Lender may extend the time of payment of this Note, postpone the enforcement hereof, grant any indulgences, release any party primarily or secondarily liable hereon or agree to any subordination of Borrower’s obligations hereunder without
affecting or diminishing Swingline Lender’s right of recourse against Borrower, which right is hereby expressly reserved. 
 This Note
has been delivered and accepted in Washington, District of Columbia. This Note shall be interpreted in accordance with, and the rights and liabilities of the parties hereto shall be determined and governed by, the laws of the District of Columbia,
except to the extent preempted by United States federal law. 
 All notices or other communications required or permitted to be given
pursuant to this Note shall be given to Borrower or Swingline Lender at the address and in the manner provided for in the Credit Agreement. 
 The provisions of Section 2.15 of the Credit Agreement are hereby incorporated herein by reference. 
 Whenever possible
each provision of this Note shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Note shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the
extent of such prohibition or invalidity, without invalidating the remainder of such provision or the remaining provisions of this Note. 
  

			
	 HIGHLAND HOSPITALITY, L.P., a

	 Delaware limited partnership

	
	 By:  HHC GP CORPORATION, a

	         Maryland corporation, its General Partner

		
	 By:
	 	  
  

		
	 Name:
	 	  
  

		
	Its:	 	  
  

  

 I-2 

 Loan No. 102919 
  

 EXHIBIT J 
 FORM OF BORROWING NOTICE 
 Exhibit J to CREDIT AGREEMENT between HIGHLAND HOSPITALITY, L.P., a
Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 BORROWING NOTICE 
                         , 200   
 Wells Fargo Bank, National Association 
 as Administrative Agent under the Credit Agreement herein described 
 Ladies and Gentlemen:

 The undersigned, Highland Hospitality, L.P., a Delaware limited partnership (the “Borrower”), refers to the Credit
Agreement dated as of February 24, 2006 (as the same may be amended or modified from time to time, the “Credit Agreement;” defined terms used in this Notice of Borrowing unless otherwise defined in this Notice of Borrowing are
defined in the Credit Agreement) among Borrower, Wells Fargo Bank, National Association as Administrative Agent, and the Lenders party thereto, and hereby gives you irrevocable notice pursuant to Section [2.5/2.10] of the Credit Agreement that the
Borrower hereby requests a [Revolving Advance/Swingline Loan], and in connection with that request sets forth below the information relating to such [Revolving Advance/Swingline Loan] (the “Proposed Borrowing”) as required by the
Credit Agreement. 
 (a) The Business Day of the Proposed Borrowing is
                    ,200  . 
 (b) The aggregate amount of the Proposed Borrowing is $                    . 
 (c) The Proposed Borrowing is a [Variable Rate Advance/Fixed Rate Advance]. [Only applicable to Revolving Advance] 
 The undersigned hereby certifies that the following statements are true on the date hereof, and will be true on the date of the Proposed Borrowing: 
 (a) There exists no Default or Potential Default under the Credit Agreement or under any of the other Loan Documents. 
  

 J-1 

 Loan No. 102919 
  

 (b) All representations and warranties of Borrower and Guarantors under the Loan
Documents are true and correct in all material respects. 
 (c) Upon the making of such [Revolving Advance/Swingline Loan] the
outstanding principal balance of the Loans will not exceed the Borrowing Base. 
  

			
	HIGHLAND HOSPITALITY, L.P., a
	Delaware limited partnership
	
	 By: HHC GP CORPORATION, a Maryland
 corporation, its General Partner

		
	By:	 	  
  

		
	Name:	 	  
  

		
	Title:	 	  
  

  

 J-2 

 Loan No. 102919 
  

 EXHIBIT K 
 FORM OF TRANSFER AUTHORIZER DESIGNATION 
 Exhibit K to CREDIT AGREEMENT between HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 (For Disbursement of Loan Proceeds by Funds Transfer) 
  ̈     ̈    NEW     ̈    REPLACE PREVIOUS DESIGNATION     ̈    ADD     ̈    CHANGE     ̈    DELETE LINE NUMBER 
 The following representatives of
Highland Hospitality, L.P. (“Borrower”) are authorized to request the disbursement of Loan Proceeds and initiate funds transfers for Loan Number 102919 dated February 24, 2006 among Wells Fargo Bank, National Association
(“Administrative Agent”), Borrower and the Lenders party thereto. Administrative Agent is authorized to rely on this Transfer Authorizer Designation until it has received a new Transfer Authorizer Designation signed by Borrower, even in
the event that any or all of the foregoing information may have changed. 
  

								
	 	  	 Name
	  	 Title
	  	 Maximum Wire
 Amount1

	 1.
	  	James L. Francis	  	President and CEO	  	$	150,000,000
	 2.
	  	Douglas W. Vicari	  	Executive Vice President and Treasurer	  	$	150,000,000
	 3.
	  	Tracy M.J. Colden	  	Executive Vice President and Secretary	  	$	150,000,000
	 4.
	  	Patrick W. Campbell	  	Executive Vice President	  	$	150,000,000

 Beneficiary Bank and Account Holder Information 
 1. 
  

			
	 Transfer Funds to (Receiving Party Account Name): Highland Hospitality, L.P.

		
	 Receiving Party Account Number: 1019265521
	  	
		
	 Receiving Bank Name, City and State: PNC Bank, Pittsburgh, PA
	  	Receiving Bank
Routing (ABA)
Number
043-000-096
		
	 Maximum Transfer Amount: $150,000,000
	  	
		
	 Further Credit Information/Instructions:
	  	

  

 K-1 

 Loan No. 102919 
  

 2. 
  

			
	 Transfer Funds to (Receiving Party Account Name):

	
	 Receiving Party Account Number:

		
	 Receiving Bank Name, City and State:
	  	 Receiving Bank
 Routing

(ABA) Number

	 Maximum Transfer Amount:
	  	
	
	 Further Credit Information/Instructions:

 3. 
  

			
	 Transfer Funds to (Receiving Party Account Name):

	
	 Receiving Party Account Number:

		
	 Receiving Bank Name, City and State:
	  	 Receiving Bank
 Routing (ABA)

Number

	
	 Maximum Transfer Amount:

	
	 Further Credit Information/Instructions:

         Maximum Wire Amount may not exceed the Loan Amount.

 Date:
                        , 2006 
  

			
	                “BORROWER”
	 HIGHLAND HOSPITALITY, L.P., a
 Delaware
limited partnership

	
	 BY: HHC GP CORPORATION, a Maryland
        corporation, its General Partner

		
	By:	 	  
  

		
	Name:	 	  
  

		
	Title:	 	  
  

  

 K-2 

 Loan No. 102919 
  

 EXHIBIT L 
 FORM OF UNENCUMBERED POOL SUPPLEMENT 
 Exhibit L to CREDIT AGREEMENT between HIGHLAND
HOSPITALITY, L.P., a Delaware limited partnership, as “Borrower”, WELLS FARGO BANK, NATIONAL ASSOCIATION, as “Administrative Agent”, and various Lenders, dated as of February 24, 2006. 
 UNENCUMBERED POOL SUPPLEMENT 
 This
Unencumbered Pool Supplement (this “Supplement”) dated as of                     , 200  , is entered into among the
parties listed on the signature pages hereof. Capitalized terms used herein and not otherwise defined herein shall have the meanings attributed to them in the Credit Agreement (as defined below). 
 PRELIMINARY STATEMENTS 
 Reference is made to
that certain Credit Agreement dated as of February 24, 2006, by and among Highland Hospitality, L.P., a Delaware limited partnership, Wells Fargo Bank, National Association, as Administrative Agent, and the Lenders that are parties thereto (as
the same may from time to time be amended, modified, supplemented or restated, in whole or in part and without limitation as to amount, terms, conditions or covenants, the “Credit Agreement”). 
 Borrower, Administrative Agent and the Requisite Lenders signatory hereto hereby covenant and agree as follows: 
 1. NEW POOL PROPERTY. Effective as of             , the
             Hotel located at          constitutes a Pool Property under the Credit Agreement. The Seasoned Date and Major Agreements
for such Pool Property are set forth in Exhibit A attached hereto and hereby made a part hereof. 
 2. REPRESENTATIONS OF THE BORROWER.
Borrower hereby represents and warrants that, as of the date hereof, (a) no event or condition shall have occurred and then be continuing which constitutes a Default or Potential Default and (b) all representations and warranties of
Borrower made under this Credit Agreement are true and correct in all material respects. 
 3. GENERAL. 
 (a) This Supplement may be executed in one or more counterparts. Each set of executed counterparts shall be an original. Executed counterparts may be
delivered by facsimile transmission. 
  

 L-1 

 Loan No. 102919 
  

 (b) This Supplement shall be construed and interpreted in accordance with and governed by the laws of
the District of Columbia, except to the extent preempted by United States federal law. 
 IN WITNESS WHEREOF, the parties hereto have
executed this Supplement by their duly authorized officers as of the date first above written. 
  

			
	BORROWER:
	
	HIGHLAND HOSPITALITY, LP., a
	Delaware limited partnership
		
	By:	 	 HHC GP CORPORATION
 a Maryland corporation, its
General Partner

		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	LENDERS:
	
	WELLS FARGO BANK, NATIONAL
	ASSOCIATION, AS ADMINISTRATIVE AGENT AND LENDER
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	LENDER:
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	LENDER:
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  

 L-2 

 Loan No. 102919 
  

			
	LENDER:
		
	By:	 	  

	Name:	 	  

	Title:	 	  

	
	LENDER:
		
	By:	 	  

	Name:	 	  

	Title:	 	  

  

 L-3 

 Loan No. 102919 
  

 EXHIBIT A 
 To Unencumbered Pool Supplement 
 New
Property:                                      
                   
 Seasoned
Date:                                       
                
 Major
Agreements:                                      
           
  

 L-4

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