Document:

Unassociated Document

 

Exhibit 10.2

 

SECURITIES PURCHASE AGREEMENT

This SECURITIES PURCHASE AGREEMENT (the “Agreement”), dated as of November 29, 2011, by and between THE GRAYSTONE COMPANY, INC., a Delaware corporation, with headquarters located at 2620 Regatta Drive - Suite 102, Las Vegas, NV 89128 (the “Company”), and ASHER ENTERPRISES, INC., a Delaware corporation, with its address at 1 Linden Place, Suite 207, Great Neck, NY 11021 (the “Buyer”).

WHEREAS:

A. The Company and the Buyer are executing and delivering this Agreement in reliance upon the exemption from securities registration afforded by the rules and regulations as promulgated by the United States Securities and Exchange Commission (the “SEC”) under the Securities Act of 1933, as amended (the “1933 Act”);

B. Buyer desires to purchase and the Company desires to issue and sell, upon the terms and conditions set forth in this Agreement an 8% convertible note of the Company, in the form attached hereto as Exhibit A, in the aggregate principal amount of $42,500.00 (together with any note(s) issued in replacement thereof or as a dividend thereon or otherwise with respect thereto in accordance with the terms thereof, the “Note”), convertible into shares of Class A Common Stock, $0.0001 par value per share, of the Company (the “Common Stock”), upon the terms and subject to the limitations and conditions set forth in such Note.

C. The Buyer wishes to purchase, upon the terms and conditions stated in this Agreement, such principal amount of Note as is set forth immediately below its name on the signature pages hereto; and

NOW THEREFORE, the Company and the Buyer severally (and not jointly) hereby agree as follows:

1. Purchase and Sale of Note.

a. Purchase of Note.  On the Closing Date (as defined below), the Company shall issue and sell to the Buyer and the Buyer agrees to purchase from the Company such principal amount of Note as is set forth immediately below the Buyer’s name on the signature pages hereto.

b. Form of Payment.  On the Closing Date (as defined below), (i) the Buyer shall pay the purchase price for the Note to be issued and sold to it at the Closing (as defined below) (the “Purchase Price”) by wire transfer of immediately available funds to the Company, in accordance with the Company’s written wiring instructions, against delivery of the Note in the principal amount equal to the Purchase Price as is set forth immediately below the Buyer’s name on the signature pages hereto, and (ii) the Company shall deliver such duly executed Note on behalf of the Company, to the Buyer, against delivery of such Purchase Price.

 

  

  

  

c. Closing Date.  Subject to the satisfaction (or written waiver) of the conditions thereto set forth in Section 6 and Section 7 below, the date and time of the issuance and sale of the Note pursuant to this Agreement (the “Closing Date”) shall be 12:00 noon, Eastern Standard Time on or about December 5, 2011, or such other mutually agreed upon time.  The closing of the transactions contemplated by this Agreement (the “Closing”) shall occur on the Closing Date at such location as may be agreed to by the parties.

2. Buyer’s Representations and Warranties.  The Buyer represents and warrants to the Company that:

a. Investment Purpose.  As of the date hereof, the Buyer is purchasing the Note and the shares of Common Stock issuable upon conversion of or otherwise pursuant to the Note (including, without limitation, such additional shares of Common Stock, if any, as are issuable (i) on account of interest on the Note, (ii) as a result of the events described in Sections 1.3 and 1.4(g) of the Note or (iii) in payment of the Standard Liquidated Damages Amount (as defined in Section 2(f) below) pursuant to this Agreement, such shares of Common Stock being collectively referred to herein as the “Conversion Shares” and, collectively with the Note, the “Securities”) for its own account and not with a present view towards the public sale or distribution thereof, except pursuant to sales registered or exempted from registration under the 1933 Act; provided, however, that by making the representations herein, the Buyer does not agree to hold any of the Securities for any minimum or other specific term and reserves the right to dispose of the Securities at any time in accordance with or pursuant to a registration statement or an exemption under the 1933 Act.

b. Accredited Investor Status.  The Buyer is an “accredited investor” as that term is defined in Rule 501(a) of Regulation D (an “Accredited Investor”).

c. Reliance on Exemptions.  The Buyer understands that the Securities are being offered and sold to it in reliance upon specific exemptions from the registration requirements of United States federal and state securities laws and that the Company is relying upon the truth and accuracy of, and the Buyer’s compliance with, the representations, warranties, agreements, acknowledgments and understandings of the Buyer set forth herein in order to determine the availability of such exemptions and the eligibility of the Buyer to acquire the Securities.

d. Information.  The Buyer and its advisors, if any, have been, and for so long as the Note remain outstanding will continue to be, furnished with all materials relating to the business, finances and operations of the Company and materials relating to the offer and sale of the Securities which have been requested by the Buyer or its advisors.  The Buyer and its advisors, if any, have been, and for so long as the Note remain outstanding will continue to be, afforded the opportunity to ask questions of the Company.  Notwithstanding the foregoing, the Company has not disclosed to the Buyer any material nonpublic information and will not disclose such information unless such information is disclosed to the public prior to or promptly following such disclosure to the Buyer.  Neither such inquiries nor any other due diligence investigation conducted by Buyer or any of its advisors or representatives shall modify, amend or affect Buyer’s right to rely on the Company’s representations and warranties contained in Section 3 below.  The Buyer understands that its investment in the Securities involves a significant degree of risk. The Buyer is not aware of any facts that may constitute a breach of any of the Company's representations and warranties made herein.

 

  

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e. Governmental Review.  The Buyer understands that no United States federal or state agency or any other government or governmental agency has passed upon or made any recommendation or endorsement of the Securities.

f. Transfer or Re-sale.  The Buyer understands that (i) the sale or re-sale of the Securities has not been and is not being registered under the 1933 Act or any applicable state securities laws, and the Securities may not be transferred unless (a) the Securities are sold pursuant to an effective registration statement under the 1933 Act, (b) the Buyer shall have delivered to the Company, at the cost of the Buyer, an opinion of counsel that shall be in form, substance and scope customary for opinions of counsel in comparable transactions to the effect that the Securities to be sold or transferred may be sold or transferred pursuant to an exemption from such registration, which opinion shall be accepted by the Company, (c) the Securities are sold or transferred to an “affiliate” (as defined in Rule 144 promulgated under the 1933 Act (or a successor rule) (“Rule 144”)) of the Buyer who agrees to sell or otherwise transfer the Securities only in accordance with this Section 2(f) and who is an Accredited Investor, (d) the Securities are sold pursuant to Rule 144, or (e) the Securities are sold pursuant to Regulation S under the 1933 Act (or a successor rule) (“Regulation S”), and the Buyer shall have delivered to the Company, at the cost of the Buyer, an opinion of counsel that shall be in form, substance and scope customary for opinions of counsel in corporate transactions, which opinion shall be accepted by the Company; (ii) any sale of such Securities made in reliance on Rule 144 may be made only in accordance with the terms of said Rule and further, if said Rule is not applicable, any re-sale of such Securities under circumstances in which the seller (or the person through whom the sale is made) may be deemed to be an underwriter (as that term is defined in the 1933 Act) may require compliance with some other exemption under the 1933 Act or the rules and regulations of the SEC thereunder; and (iii) neither the Company nor any other person is under any obligation to register such Securities under the 1933 Act or any state securities laws or to comply with the terms and conditions of any exemption thereunder (in each case).  Notwithstanding the foregoing or anything else contained herein to the contrary, the Securities may be pledged as collateral in connection with a bonafide margin account or other lending arrangement.

g. Legends.  The Buyer understands that the Note and, until such time as the Conversion Shares have been registered under the 1933 Act may be sold pursuant to Rule 144 or Regulation S without any restriction as to the number of securities as of a particular date that can then be immediately sold, the Conversion Shares may bear a restrictive legend in substantially the following form (and a stop-transfer order may be placed against transfer of the certificates for such Securities):

“NEITHER THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.  THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION OF COUNSEL (WHICH COUNSEL SHALL BE SELECTED BY THE HOLDER), IN A GENERALLY ACCEPTABLE FORM, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE 144 OR RULE 144A UNDER SAID ACT.  NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES.”

 

  

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The legend set forth above shall be removed and the Company shall issue a certificate without such legend to the holder of any Security upon which it is stamped, if, unless otherwise required by applicable state securities laws, (a) such Security is registered for sale under an effective registration statement filed under the 1933 Act or otherwise may be sold pursuant to Rule 144 or Regulation S without any restriction as to the number of securities as of a particular date that can then be immediately sold, or (b) such holder provides the Company with an opinion of counsel, in form, substance and scope customary for opinions of counsel in comparable transactions, to the effect that a public sale or transfer of such Security may be made without registration under the 1933 Act, which opinion shall be accepted by the Company so that the sale or transfer is effected.  The Buyer agrees to sell all Securities, including those represented by a certificate(s) from which the legend has been removed, in compliance with applicable prospectus delivery requirements, if any. In the event that the Company does not accept the opinion of counsel provided by the Buyer with respect to the transfer of Securities pursuant to an exemption from registration, such as Rule 144 or Regulation S, at the Deadline, it will be considered an Event of Default pursuant to Section 3.2 of the Note.

h. Authorization; Enforcement. This Agreement has been duly and validly authorized.  This Agreement has been duly executed and delivered on behalf of the Buyer, and this Agreement constitutes a valid and binding agreement of the Buyer enforceable in accordance with its terms.

 

i. Residency.  The Buyer is a resident of the jurisdiction set forth immediately below the Buyer’s name on the signature pages hereto.

3. Representations and Warranties of the Company.  The Company represents and warrants to the Buyer that:

a. Organization and Qualification.  The Company and each of its Subsidiaries (as defined below), if any, is a corporation duly organized, validly existing and in good standing under the laws of the jurisdiction in which it is incorporated, with full power and authority (corporate and other) to own, lease, use and operate its properties and to carry on its business as and where now owned, leased, used, operated and conducted.  Schedule 3(a) sets forth a list of all of the Subsidiaries of the Company and the jurisdiction in which each is incorporated.  The Company and each of its Subsidiaries is duly qualified as a foreign corporation to do business and is in good standing in every jurisdiction in which its ownership or use of property or the nature of the business conducted by it makes such qualification necessary except where the failure to be so qualified or in good standing would not have a Material Adverse Effect.  “Material Adverse Effect” means any material adverse effect on the business, operations, assets, financial condition or prospects of the Company or its Subsidiaries, if any, taken as a whole, or on the transactions contemplated hereby or by the agreements or instruments to be entered into in connection herewith.  “Subsidiaries” means any corporation or other organization, whether incorporated or unincorporated, in which the Company owns, directly or indirectly, any equity or other ownership interest.

 

  

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b. Authorization; Enforcement.  (i) The Company has all requisite corporate power and authority to enter into and perform this Agreement, the Note and to consummate the transactions contemplated hereby and thereby and to issue the Securities, in accordance with the terms hereof and thereof, (ii) the execution and delivery of this Agreement, the Note by the Company and the consummation by it of the transactions contemplated hereby and thereby (including without limitation, the issuance of the Note and the issuance and reservation for issuance of the Conversion Shares issuable upon conversion or exercise thereof) have been duly authorized by the Company’s Board of Directors and no further consent or authorization of the Company, its Board of Directors, or its shareholders is required, (iii) this Agreement has been duly executed and delivered by the Company by its authorized representative, and such authorized representative is the true and official representative with authority to sign this Agreement and the other documents executed in connection herewith and bind the Company accordingly, and (iv) this Agreement constitutes, and upon execution and delivery by the Company of the Note, each of such instruments will constitute, a legal, valid and binding obligation of the Company enforceable against the Company in accordance with its terms.

 

c. Capitalization.  As of the date hereof, the authorized capital stock of the Company consists of: (i) 700,000,000 shares of Class A Common Stock, $0.0001 par value per share, of which 186,050,000 shares are issued and outstanding;  (ii) 5,000,000 shares of Class B Common Stock, $0.001 par value per share of which 1,400,000 shares are issued and outstanding; and (iii) there are no authorized shares of Preferred Stock,; except as otherwise disclosed in the Company's SEC Documents, no shares are reserved for issuance pursuant to the Company’s stock option plans, no shares are reserved for issuance pursuant to securities (other than the Note) exercisable for, or convertible into or exchangeable for shares of Common Stock and 1,597,744 shares are reserved for issuance upon conversion of the Note.  All of such outstanding shares of capital stock are, or upon issuance will be, duly authorized, validly issued, fully paid and non-assessable.  No shares of capital stock of the Company are subject to preemptive rights or any other similar rights of the shareholders of the Company or any liens or encumbrances imposed through the actions or failure to act of the Company.  As of the effective date of this Agreement, (i) there are no outstanding options, warrants, scrip, rights to subscribe for, puts, calls, rights of first refusal, agreements, understandings, claims or other commitments or rights of any character whatsoever relating to, or securities or rights convertible into or exchangeable for any shares of capital stock of the Company or any of its Subsidiaries, or arrangements by which the Company or any of its Subsidiaries is or may become bound to issue additional shares of capital stock of the Company or any of its Subsidiaries, (ii) there are no agreements or arrangements under which the Company or any of its Subsidiaries is obligated to register the sale of any of its or their securities under the 1933 Act and (iii) there are no anti-dilution or price adjustment provisions contained in any security issued by the Company (or in any agreement providing rights to security holders) that will be triggered by the issuance of the Note or the Conversion Shares.  The Company has furnished to the Buyer true and correct copies of the Company’s Certificate of Incorporation as in effect on the date hereof (“Certificate of Incorporation”), the Company’s By-laws, as in effect on the date hereof (the “By-laws”), and the terms of all securities convertible into or exercisable for Common Stock of the Company and the material rights of the holders thereof in respect thereto.  The Company shall provide the Buyer with a written update of this representation signed by the Company’s Chief Executive on behalf of the Company as of the Closing Date.

 

  

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d. Issuance of Shares.  The Conversion Shares are duly authorized and reserved for issuance and, upon conversion of the Note in accordance with its respective terms, will be validly issued, fully paid and non-assessable, and free from all taxes, liens, claims and encumbrances with respect to the issue thereof and shall not be subject to preemptive rights or other similar rights of shareholders of the Company and will not impose personal liability upon the holder thereof.

e. Acknowledgment of Dilution.  The Company understands and acknowledges the potentially dilutive effect to the Common Stock upon the issuance of the Conversion Shares upon conversion of the Note.  The Company further acknowledges that its obligation to issue Conversion Shares upon conversion of the Note in accordance with this Agreement, the Note is absolute and unconditional regardless of the dilutive effect that such issuance may have on the ownership interests of other shareholders of the Company.

f. No Conflicts.  The execution, delivery and performance of this Agreement, the Note by the Company and the consummation by the Company of the transactions contemplated hereby and thereby (including, without limitation, the issuance and reservation for issuance of the Conversion Shares) will not (i) conflict with or result in a violation of any provision of the Certificate of Incorporation or By-laws, or (ii) violate or conflict with, or result in a breach of any provision of, or constitute a default (or an event which with notice or lapse of time or both could become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, indenture, patent, patent license or instrument to which the Company or any of its Subsidiaries is a party, or (iii)  result in a violation of any law, rule, regulation, order, judgment or decree (including federal and state securities laws and regulations and regulations of any self-regulatory organizations to which the Company or its securities are subject) applicable to the Company or any of its Subsidiaries or by which any property or asset of the Company or any of its Subsidiaries is bound or affected (except for such conflicts, defaults, terminations, amendments, accelerations, cancellations and violations as would not, individually or in the aggregate, have a Material Adverse Effect).  Neither the Company nor any of its Subsidiaries is in violation of its Certificate of Incorporation, By-laws or other organizational documents and neither the Company nor any of its Subsidiaries is in default (and no event has occurred which with notice or lapse of time or both could put the Company or any of its Subsidiaries in default) under, and neither the Company nor any of its Subsidiaries has taken any action or failed to take any action that would give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, indenture or instrument to which the Company or any of its Subsidiaries is a party or by which any property or assets of the Company or any of its Subsidiaries is bound or affected, except for possible defaults as would not, individually or in the aggregate, have a Material Adverse Effect. The businesses of the Company and its Subsidiaries, if any, are not being conducted, and shall not be conducted so long as the Buyer owns any of the Securities, in violation of any law, ordinance or regulation of any governmental entity.  Except as specifically contemplated by this Agreement and as required under the 1933 Act and any applicable state securities laws, the Company is not required to obtain any consent, authorization or order of, or make any filing or registration with, any court, governmental agency, regulatory agency, self regulatory organization or stock market or any third party in order for it to execute, deliver or perform any of its obligations under this Agreement, the Note in accordance with the terms hereof or thereof or to issue and sell the Note in accordance with the terms hereof and to issue the Conversion Shares upon conversion of the Note.  All consents, authorizations, orders, filings and registrations which the Company is required to obtain pursuant to the preceding sentence have been obtained or effected on or prior to the date hereof.  The Company is not in violation of the listing requirements of the Over-the-Counter Bulletin Board (the “OTCBB”) and does not reasonably anticipate that the Common Stock will be delisted by the OTCBB in the foreseeable future.  The Company and its Subsidiaries are unaware of any facts or circumstances which might give rise to any of the foregoing.

 

  

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g. SEC Documents; Financial Statements.  The Company has timely filed all reports, schedules, forms, statements and other documents required to be filed by it with the SEC pursuant to the reporting requirements of the Securities Exchange Act of 1934, as amended (the “1934 Act”) (all of the foregoing filed prior to the date hereof and all exhibits included therein and financial statements and schedules thereto and documents (other than exhibits to such documents) incorporated by reference therein, being hereinafter referred to herein as the “SEC Documents”).  Upon written request the Company will deliver to the Buyer true and complete copies of the SEC Documents, except for such exhibits and incorporated documents.  As of their respective dates, the SEC Documents complied in all material respects with the requirements of the 1934 Act and the rules and regulations of the SEC promulgated thereunder applicable to the SEC Documents, and none of the SEC Documents, at the time they were filed with the SEC, contained any untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in light of the circumstances under which they were made, not misleading.  None of the statements made in any such SEC Documents is, or has been, required to be amended or updated under applicable law (except for such statements as have been amended or updated in subsequent filings prior the date hereof).  As of their respective dates, the financial statements of the Company included in the SEC Documents complied as to form in all material respects with applicable accounting requirements and the published rules and regulations of the SEC with respect thereto.  Such financial statements have been prepared in accordance with United States generally accepted accounting principles, consistently applied, during the periods involved  and fairly present in all material respects the consolidated financial position of the Company and its consolidated Subsidiaries as of the dates thereof and the consolidated results of their operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to normal year-end audit adjustments).  Except as set forth in the financial statements of the Company included in the SEC Documents, the Company has no liabilities, contingent or otherwise, other than (i) liabilities incurred in the ordinary course of business subsequent to September 30, 2011, and (ii) obligations under contracts and commitments incurred in the ordinary course of business and not required under generally accepted accounting principles to be reflected in such financial statements, which, individually or in the aggregate, are not material to the financial condition or operating results of the Company. The Company is subject to the reporting requirements of the 1934 Act.

h. Absence of Certain Changes.  Since September 30, 2011, there has been no material adverse change and no material adverse development in the assets, liabilities, business, properties, operations, financial condition, results of operations, prospects or 1934 Act reporting status of the Company or any of its Subsidiaries.

i. Absence of Litigation.  There is no action, suit, claim, proceeding, inquiry or investigation before or by any court, public board, government agency, self-regulatory organization or body pending or, to the knowledge of the Company or any of its Subsidiaries, threatened against or affecting the Company or any of its Subsidiaries, or their officers or directors in their capacity as such, that could have a Material Adverse Effect.  Schedule 3(i) contains a complete list and summary description of any pending or, to the knowledge of the Company, threatened proceeding against or affecting the Company or any of its Subsidiaries, without regard to whether it would have a Material Adverse Effect.  The Company and its Subsidiaries are unaware of any facts or circumstances which might give rise to any of the foregoing.

 

  

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j. Patents, Copyrights, etc.  The Company and each of its Subsidiaries owns or possesses the requisite licenses or rights to use all patents, patent applications, patent rights, inventions, know-how, trade secrets, trademarks, trademark applications, service marks, service names, trade names and copyrights (“Intellectual Property”) necessary to enable it to conduct its business as now operated (and, as presently contemplated to be operated in the future); there is no claim or action by any person pertaining to, or proceeding pending, or to the Company’s knowledge threatened, which challenges the right of the Company or of a Subsidiary with respect to any Intellectual Property necessary to enable it to conduct its business as now operated (and, as presently contemplated to be operated in the future); to the best of the Company’s knowledge, the Company’s or its Subsidiaries’ current and intended products, services and processes do not infringe on any Intellectual Property or other rights held by any person; and the Company is unaware of any facts or circumstances which might give rise to any of the foregoing.  The Company and each of its Subsidiaries have taken reasonable security measures to protect the secrecy, confidentiality and value of their Intellectual Property.

k. No Materially Adverse Contracts, Etc.  Neither the Company nor any of its Subsidiaries is subject to any charter, corporate or other legal restriction, or any judgment, decree, order, rule or regulation which in the judgment of the Company’s officers has or is expected in the future to have a Material Adverse Effect.  Neither the Company nor any of its Subsidiaries is a party to any contract or agreement which in the judgment of the Company’s officers has or is expected to have a Material Adverse Effect.

l. Tax Status.  The Company and each of its Subsidiaries has made or filed all federal, state and foreign income and all other tax returns, reports and declarations required by any jurisdiction to which it is subject (unless and only to the extent that the Company and each of its Subsidiaries has set aside on its books provisions reasonably adequate for the payment of all unpaid and unreported taxes) and has paid all taxes and other governmental assessments and charges that are material in amount, shown or determined to be due on such returns, reports and declarations, except those being contested in good faith and has set aside on its books provisions reasonably adequate for the payment of all taxes for periods subsequent to the periods to which such returns, reports or declarations apply.  There are no unpaid taxes in any material amount claimed to be due by the taxing authority of any jurisdiction, and the officers of the Company know of no basis for any such claim.  The Company has not executed a waiver with respect to the statute of limitations relating to the assessment or collection of any foreign, federal, state or local tax.  None of the Company’s tax returns is presently being audited by any taxing authority.

m. Certain Transactions.  Except for arm’s length transactions pursuant to which the Company or any of its Subsidiaries makes payments in the ordinary course of business upon terms no less favorable than the Company or any of its Subsidiaries could obtain from third parties and other than the grant of stock options disclosed on Schedule 3(c), none of the officers, directors, or employees of the Company is presently a party to any transaction with the Company or any of its Subsidiaries (other than for services as employees, officers and directors), including any contract, agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring payments to or from any officer, director or such employee or, to the knowledge of the Company, any corporation, partnership, trust or other entity in which any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner.

 

  

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n. Disclosure.  All information relating to or concerning the Company or any of its Subsidiaries set forth in this Agreement and provided to the Buyer pursuant to Section 2(d) hereof and otherwise in connection with the transactions contemplated hereby is true and correct in all material respects and the Company has not omitted to state any material fact necessary in order to make the statements made herein or therein, in light of the circumstances under which they were made, not misleading.  No event or circumstance has occurred or exists with respect to the Company or any of its Subsidiaries or its or their business, properties, prospects, operations or financial conditions, which, under applicable law, rule or regulation, requires public disclosure or announcement by the Company but which has not been so publicly announced or disclosed (assuming for this purpose that the Company’s reports filed under the 1934 Act are being incorporated into an effective registration statement filed by the Company under the 1933 Act).

o. Acknowledgment Regarding Buyer’ Purchase of Securities.  The Company acknowledges and agrees that the Buyer is acting solely in the capacity of arm’s length purchasers with respect to this Agreement and the transactions contemplated hereby.  The Company further acknowledges that the Buyer is not acting as a financial advisor or fiduciary of the Company (or in any similar capacity) with respect to this Agreement and the transactions contemplated hereby and any statement made by the Buyer or any of its respective representatives or agents in connection with this Agreement and the transactions contemplated hereby is not advice or a recommendation and is merely incidental to the Buyer’ purchase of the Securities.  The Company further represents to the Buyer that the Company’s decision to enter into this Agreement has been based solely on the independent evaluation of the Company and its representatives.

p. No Integrated Offering.  Neither the Company, nor any of its affiliates, nor any person acting on its or their behalf, has directly or indirectly made any offers or sales in any security or solicited any offers to buy any security under circumstances that would require registration under the 1933 Act of the issuance of the Securities to the Buyer.  The issuance of the Securities to the Buyer will not be integrated with any other issuance of the Company’s securities (past, current or future) for purposes of any shareholder approval provisions applicable to the Company or its securities.

q. No Brokers.  The Company has taken no action which would give rise to any claim by any person for brokerage commissions, transaction fees or similar payments relating to this Agreement or the transactions contemplated hereby.

r. Permits; Compliance.  The Company and each of its Subsidiaries is in possession of all franchises, grants, authorizations, licenses, permits, easements, variances, exemptions, consents, certificates, approvals and orders necessary to own, lease and operate its properties and to carry on its business as it is now being conducted (collectively, the “Company Permits”), and there is no action pending or, to the knowledge of the Company, threatened regarding suspension or cancellation of any of the Company Permits.  Neither the Company nor any of its Subsidiaries is in conflict with, or in default or violation of, any of the Company Permits, except for any such conflicts, defaults or violations which, individually or in the aggregate, would not reasonably be expected to have a Material Adverse Effect.  Since September 30, 2011, neither the Company nor any of its Subsidiaries has received any notification with respect to possible conflicts, defaults or violations of applicable laws, except for notices relating to possible conflicts, defaults or violations, which conflicts, defaults or violations would not have a Material Adverse Effect.

 

  

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s. Environmental Matters.

(i) There are, to the Company’s knowledge, with respect to the Company or any of its Subsidiaries or any predecessor of the Company, no past or present violations of Environmental Laws (as defined below), releases of any material into the environment, actions, activities, circumstances, conditions, events, incidents, or contractual obligations which may give rise to any common law environmental liability or any liability under the Comprehensive Environmental Response, Compensation and Liability Act of 1980 or similar federal, state, local or foreign laws and neither the Company nor any of its Subsidiaries has received any notice with respect to any of the foregoing, nor is any action pending or, to the Company’s knowledge, threatened in connection with any of the foregoing.  The term “Environmental Laws” means all federal, state, local or foreign laws relating to pollution or protection of human health or the environment (including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata), including, without limitation, laws relating to emissions, discharges, releases or threatened releases of chemicals, pollutants contaminants, or toxic or hazardous substances or wastes (collectively, “Hazardous Materials”) into the environment, or otherwise relating to the manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of Hazardous Materials, as well as all authorizations, codes, decrees, demands or demand letters, injunctions, judgments, licenses, notices or notice letters, orders, permits, plans or regulations issued, entered, promulgated or approved thereunder.

(ii) Other than those that are or were stored, used or disposed of in compliance with applicable law, no Hazardous Materials are contained on or about any real property currently owned, leased or used by the Company or any of its Subsidiaries, and no Hazardous Materials were released on or about any real property previously owned, leased or used by the Company or any of its Subsidiaries during the period the property was owned, leased or used by the Company or any of its Subsidiaries, except in the normal course of the Company’s or any of its Subsidiaries’ business.

(iii) There are no underground storage tanks on or under any real property owned, leased or used by the Company or any of its Subsidiaries that are not in compliance with applicable law.

 

t. Title to Property.  The Company and its Subsidiaries have good and marketable title in fee simple to all real property and good and marketable title to all personal property owned by them which is material to the business of the Company and its Subsidiaries, in each case free and clear of all liens, encumbrances and defects except such as are described in Schedule 3(t) or such as would not have a Material Adverse Effect.  Any real property and facilities held under lease by the Company and its Subsidiaries are held by them under valid, subsisting and enforceable leases with such exceptions as would not have a Material Adverse Effect.

 

  

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u. Insurance.  The Company and each of its Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks and in such amounts as management of the Company believes to be prudent and customary in the businesses in which the Company and its Subsidiaries are engaged.  Neither the Company nor any such Subsidiary has any reason to believe that it will not be able to renew its existing insurance coverage as and when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue its business at a cost that would not have a Material Adverse Effect.  Upon written request the Company will provide to the Buyer true and correct copies of all policies relating to directors’ and officers’ liability coverage, errors and omissions coverage, and commercial general liability coverage.

 

v. Internal Accounting Controls.  The Company and each of its Subsidiaries maintain a system of internal accounting controls sufficient, in the judgment of the Company’s board of directors, to provide reasonable assurance that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with generally accepted accounting principles and to maintain asset accountability, (iii) access to assets is permitted only in accordance with management’s general or specific authorization and (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate action is taken with respect to any differences.

w. Foreign Corrupt Practices.  Neither the Company, nor any of its Subsidiaries, nor any director, officer, agent, employee or other person acting on behalf of the Company or any Subsidiary has, in the course of his actions for, or on behalf of, the Company, used any corporate funds for any unlawful contribution, gift, entertainment or other unlawful expenses relating to political activity; made any direct or indirect unlawful payment to any foreign or domestic government official or employee from corporate funds; violated or is in violation of any provision of the U.S. Foreign Corrupt Practices Act of 1977, as amended, or made any bribe, rebate, payoff, influence payment, kickback or other unlawful payment to any foreign or domestic government official or employee.

x. Solvency.  The Company (after giving effect to the transactions contemplated by this Agreement) is solvent (i.e., its assets have a fair market value in excess of the amount required to pay its probable liabilities on its existing debts as they become absolute and matured) and currently the Company has no information that would lead it to reasonably conclude that the Company would not, after giving effect to the transaction contemplated by this Agreement, have the ability to, nor does it intend to take any action that would impair its ability to, pay its debts from time to time incurred in connection therewith as such debts mature.  The Company did not receive a qualified opinion from its auditors with respect to its most recent fiscal year end and, after giving effect to the transactions contemplated by this Agreement, does not anticipate or know of any basis upon which its auditors might issue a qualified opinion in respect of its current fiscal year.

y. No Investment Company.  The Company is not, and upon the issuance and sale of the Securities as contemplated by this Agreement will not be an “investment company” required to be registered under the Investment Company Act of 1940 (an “Investment Company”).  The Company is not controlled by an Investment Company.

z. Breach of Representations and Warranties by the Company.  If the Company breaches any of the representations or warranties set forth in this Section 3, and in addition to any other remedies available to the Buyer pursuant to this Agreement, it will be considered an Event of default under Section 3.4 of the Note.

 

  

11

  

4. COVENANTS.

a. Best Efforts.  The parties shall use their best efforts to satisfy timely each of the conditions described in Section 6 and 7 of this Agreement.

b. Form D; Blue Sky Laws.  The Company agrees to file a Form D with respect to the Securities as required under Regulation D and to provide a copy thereof to the Buyer promptly after such filing.  The Company shall, on or before the Closing Date, take such action as the Company shall reasonably determine is necessary to qualify the Securities for sale to the Buyer at the applicable closing pursuant to this Agreement under applicable securities or “blue sky” laws of the states of the United States (or to obtain an exemption from such qualification), and shall provide evidence of any such action so taken to the Buyer on or prior to the Closing Date.

c. Use of Proceeds.  The Company shall use the proceeds for general working capital purposes.

d. Right of First Refusal.  Unless it shall have first delivered to the Buyer, at least seventy two (72) hours prior to the closing of such Future Offering (as defined herein), written notice describing the proposed Future Offering, including the terms and conditions thereof and proposed definitive documentation to be entered into in connection therewith, and providing the Buyer an option during the seventy two (72) hour period following delivery of such notice to purchase the securities being offered in the Future Offering on the same terms as contemplated by such Future Offering (the limitations referred to in this sentence and the preceding sentence are collectively referred to as the “Right of First Refusal”) (and subject to the exceptions described below), the Company will not conduct any equity financing (including debt with an equity component) (“Future Offerings”) during the period beginning on the Closing Date and ending twelve (12) months following the Closing Date.  In the event the terms and conditions of a proposed Future Offering are amended in any respect after delivery of the notice to the Buyer concerning the proposed Future Offering, the Company shall deliver a new notice to the Buyer describing the amended terms and conditions of the proposed Future Offering and the Buyer thereafter shall have an option during the seventy two (72) hour period following delivery of such new notice to purchase its pro rata share of the securities being offered on the same terms as contemplated by such proposed Future Offering, as amended.  The foregoing sentence shall apply to successive amendments to the terms and conditions of any proposed Future Offering.  The Right of First Refusal shall not apply to any transaction involving (i) issuances of securities in a firm commitment underwritten public offering (excluding a continuous offering pursuant to Rule 415 under the 1933 Act) or (ii) issuances of securities as consideration for a merger, consolidation or purchase of assets, or in connection with any strategic partnership or joint venture (the primary purpose of which is not to raise equity capital), or in connection with the disposition or acquisition of a business, product or license by the Company.  The Right of First Refusal also shall not apply to the issuance of securities upon exercise or conversion of the Company’s options, warrants or other convertible securities outstanding as of the date hereof or to the grant of additional options or warrants, or the issuance of additional securities, under any Company stock option or restricted stock plan approved by the shareholders of the Company.

 

  

12

  

e. Expenses.  At the Closing, the Company shall reimburse Buyer for expenses incurred by them in connection with the negotiation, preparation, execution, delivery and performance of this Agreement and the other agreements to be executed in connection herewith (“Documents”), including, without limitation, reasonable attorneys’ and consultants’ fees and expenses, transfer agent fees, fees for stock quotation services, fees relating to any amendments or modifications of the Documents or any consents or waivers of provisions in the Documents, fees for the preparation of opinions of counsel, escrow fees, and costs of restructuring the transactions contemplated by the Documents.  When possible, the Company must pay these fees directly, otherwise the Company must make immediate payment for reimbursement to the Buyer for all fees and expenses immediately upon written notice by the Buyer or the submission of an invoice by the Buyer. The Company’s obligation with respect to this transaction is to reimburse Buyer’ expenses shall be $2,500.

f. Financial Information.  Upon written request the Company agrees to send or make available the following reports to the Buyer until the Buyer transfers, assigns, or sells all of the Securities: (i) within ten (10) days after the filing with the SEC, a copy of its Annual Report on Form 10-K its Quarterly Reports on Form 10-Q and any Current Reports on Form 8-K; (ii) within one (1) day after release, copies of all press releases issued by the Company or any of its Subsidiaries; and (iii) contemporaneously with the making available or giving to the shareholders of the Company, copies of any notices or other information the Company makes available or gives to such shareholders.

g. [INTENTIONALLY DELETED]

h. Listing.  The Company shall promptly secure the listing of the Conversion Shares upon each national securities exchange or automated quotation system, if any, upon which shares of Common Stock are then listed (subject to official notice of issuance) and, so long as the Buyer owns any of the Securities, shall maintain, so long as any other shares of Common Stock shall be so listed, such listing of all Conversion Shares from time to time issuable upon conversion of the Note.  The Company will obtain and, so long as the Buyer owns any of the Securities, maintain the listing and trading of its Common Stock on the OTCBB or any equivalent replacement exchange, the Nasdaq National Market (“Nasdaq”), the Nasdaq SmallCap Market (“Nasdaq SmallCap”), the New York Stock Exchange (“NYSE”), or the American Stock Exchange (“AMEX”) and will comply in all respects with the Company’s reporting, filing and other obligations under the bylaws or rules of the Financial Industry Regulatory Authority (“FINRA”) and such exchanges, as applicable.  The Company shall promptly provide to the Buyer copies of any notices it receives from the OTCBB and any other exchanges or quotation systems on which the Common Stock is then listed regarding the continued eligibility of the Common Stock for listing on such exchanges and quotation systems.

i. Corporate Existence.  So long as the Buyer beneficially owns any Note, the Company shall maintain its corporate existence and shall not sell all or substantially all of the Company’s assets, except in the event of a merger or consolidation or sale of all or substantially all of the Company’s assets, where the surviving or successor entity in such transaction (i) assumes the Company’s obligations hereunder and under the agreements and instruments entered into in connection herewith and (ii) is a publicly traded corporation whose Common Stock is listed for trading on the OTCBB, Nasdaq, Nasdaq SmallCap, NYSE or AMEX.

 

  

13

  

j. No Integration.  The Company shall not make any offers or sales of any security (other than the Securities) under circumstances that would require registration of the Securities being offered or sold hereunder under the 1933 Act or cause the offering of the Securities to be integrated with any other offering of securities by the Company for the purpose of any stockholder approval provision applicable to the Company or its securities.

k. Breach of Covenants.  If the Company breaches any of the covenants set forth in this Section 4, and in addition to any other remedies available to the Buyer pursuant to this Agreement, it will be considered an event of default under Section 3.4 of the Note.

l. Failure to Comply with the 1934 Act.  So long as the Buyer beneficially owns the Note, the Company shall comply with the reporting requirements of the 1934 Act; and the Company shall continue to be subject to the reporting requirements of the 1934 Act.

m. Trading Activities.  Neither the Buyer nor its affiliates has an open short position in the common stock of the Company and the Buyer agree that it shall not, and that it will cause its affiliates not to, engage in any short sales of or hedging transactions with respect to the common stock of the Company.

5. Transfer Agent Instructions.  The Company shall issue irrevocable instructions to its transfer agent to issue certificates, registered in the name of the Buyer or its nominee, for the Conversion Shares in such amounts as specified from time to time by the Buyer to the Company upon conversion of the Note in accordance with the terms thereof (the “Irrevocable Transfer Agent Instructions”).  In the event that the Borrower proposes to replace its transfer agent, the Borrower shall provide, prior to the effective date of such replacement, a fully executed Irrevocable Transfer Agent Instructions in a form as initially delivered pursuant to the Purchase Agreement (including but not limited to the provision to irrevocably reserve shares of Common Stock in the Reserved Amount) signed by the successor transfer agent to Borrower and the Borrower. Prior to registration of the Conversion Shares under the 1933 Act or the date on which the Conversion Shares may be sold pursuant to Rule 144 without any restriction as to the number of Securities as of a particular date that can then be immediately sold, all such certificates shall bear the restrictive legend specified in Section 2(g) of this Agreement.  The Company warrants that: (i) no instruction other than the Irrevocable Transfer Agent Instructions referred to in this Section 5, and stop transfer instructions to give effect to Section 2(f) hereof (in the case of the Conversion Shares, prior to registration of the Conversion Shares under the 1933 Act or the date on which the Conversion Shares may be sold pursuant to Rule 144 without any restriction as to the number of Securities as of a particular date that can then be immediately sold), will be given by the Company to its transfer agent and that the Securities shall otherwise be freely transferable on the books and records of the Company as and to the extent provided in this Agreement and the Note; (ii) it will not direct its transfer agent not to transfer or delay, impair, and/or hinder its transfer agent in transferring (or issuing)(electronically or in certificated form) any certificate for Conversion Shares to be issued to the Buyer upon conversion of or otherwise pursuant to the Note as and when required by the Note and this Agreement; and (iii) it will not fail to remove (or directs its transfer agent not to remove or impairs, delays, and/or hinders its transfer agent from removing) any restrictive legend (or to withdraw any stop transfer instructions in respect thereof) on any certificate for any Conversion Shares issued to the Buyer upon conversion of or otherwise pursuant to the Note as and when required by the Note and this Agreement.  Nothing in this Section shall affect in any way the Buyer’s obligations and agreement set forth in Section 2(g) hereof to comply with all applicable prospectus delivery requirements, if any, upon re-sale of the Securities.  If the Buyer provides the Company, at the cost of the Buyer, with (i) an opinion of counsel in form, substance and scope customary for opinions in comparable transactions, to the effect that a public sale or transfer of such Securities may be made without registration under the 1933 Act and such sale or transfer is effected or (ii) the Buyer provides reasonable assurances that the Securities can be sold pursuant to Rule 144, the Company shall permit the transfer, and, in the case of the Conversion Shares, promptly instruct its transfer agent to issue one or more certificates, free from restrictive legend, in such name and in such denominations as specified by the Buyer.  The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to the Buyer, by vitiating the intent and purpose of the transactions contemplated hereby.  Accordingly, the Company acknowledges that the remedy at law for a breach of its obligations under this Section 5 may be inadequate and agrees, in the event of a breach or threatened breach by the Company of the provisions of this Section, that the Buyer shall be entitled, in addition to all other available remedies, to an injunction restraining any breach and requiring immediate transfer, without the necessity of showing economic loss and without any bond or other security being required.

 

  

14

  

6. Conditions to the Company’s Obligation to Sell.  The obligation of the Company hereunder to issue and sell the Note to the Buyer at the Closing is subject to the satisfaction, at or before the Closing Date of each of the following conditions thereto, provided that these conditions are for the Company’s sole benefit and may be waived by the Company at any time in its sole discretion:

a. The Buyer shall have executed this Agreement and delivered the same to the Company.

b. The Buyer shall have delivered the Purchase Price in accordance with Section 1(b) above.

c. The representations and warranties of the Buyer shall be true and correct in all material respects as of the date when made and as of the Closing Date as though made at that time (except for representations and warranties that speak as of a specific date), and the Buyer shall have performed, satisfied and complied in all material respects with the covenants, agreements and conditions required by this Agreement to be performed, satisfied or complied with by the Buyer at or prior to the Closing Date.

d. No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by or in any court or governmental authority of competent jurisdiction or any self-regulatory organization having authority over the matters contemplated hereby which prohibits the consummation of any of the transactions contemplated by this Agreement.

 

  

15

  

7. Conditions to The Buyer’s Obligation to Purchase.  The obligation of the Buyer hereunder to purchase the Note at the Closing is subject to the satisfaction, at or before the Closing Date of each of the following conditions, provided that these conditions are for the Buyer’s sole benefit and may be waived by the Buyer at any time in its sole discretion:

a. The Company shall have executed this Agreement and delivered the same to the Buyer.

b. The Company shall have delivered to the Buyer the duly executed Note (in such denominations as the Buyer shall request) in accordance with Section 1(b) above.

c. The Irrevocable Transfer Agent Instructions, in form and substance satisfactory to a majority-in-interest of the Buyer, shall have been delivered to and acknowledged in writing by the Company’s Transfer Agent.

d. The representations and warranties of the Company shall be true and correct in all material respects as of the date when made and as of the Closing Date as though made at such time (except for representations and warranties that speak as of a specific date) and the Company shall have performed, satisfied and complied in all material respects with the covenants, agreements and conditions required by this Agreement to be performed, satisfied or complied with by the Company at or prior to the Closing Date.  The Buyer shall have received a certificate or certificates, executed by the chief executive officer of the Company, dated as of the Closing Date, to the foregoing effect and as to such other matters as may be reasonably requested by the Buyer including, but not limited to certificates with respect to the Company’s Certificate of Incorporation, By-laws and Board of Directors’ resolutions relating to the transactions contemplated hereby.

e. No litigation, statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by or in any court or governmental authority of competent jurisdiction or any self-regulatory organization having authority over the matters contemplated hereby which prohibits the consummation of any of the transactions contemplated by this Agreement.

f. No event shall have occurred which could reasonably be expected to have a Material Adverse Effect on the Company including but not limited to a change in the 1934 Act reporting status of the Company or the failure of the Company to be timely in its 1934 Act reporting obligations.

g. The Conversion Shares shall have been authorized for quotation on the OTCBB and trading in the Common Stock on the OTCBB shall not have been suspended by the SEC or the OTCBB.

 

  

16

  

h. The Buyer shall have received an officer’s certificate described in Section 3(c) above, dated as of the Closing Date.

 

8. Governing Law; Miscellaneous.

a. Governing Law.  This Agreement shall be governed by and construed in accordance with the laws of the State of New York without regard to principles of conflicts of laws.  Any action brought by either party against the other concerning the transactions contemplated by this Agreement shall be brought only in the state courts of New York or in the federal courts located in the state and county of Nassau.  The parties to this Agreement hereby irrevocably waive any objection to jurisdiction and venue of any action instituted hereunder and shall not assert any defense based on lack of jurisdiction or venue or based upon forum non conveniens.  The Company and Buyer waive trial by jury.  The prevailing party shall be entitled to recover from the other party its reasonable attorney's fees and costs.  In the event that any provision of this Agreement or any other agreement delivered in connection herewith is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall be deemed modified to conform with such statute or rule of law.  Any such provision which may prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision of any agreement.   Each party hereby irrevocably waives personal service of process and consents to process being served in any suit, action or proceeding in connection with this Agreement or any other Transaction Document by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof.  Nothing contained herein shall be deemed to limit in any way any right to serve process in any other manner permitted by law.

b. Counterparts.  This Agreement may be executed in one or more counterparts, each of which shall be deemed an original but all of which shall constitute one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other party.

 

c. Headings.  The headings of this Agreement are for convenience of reference only and shall not form part of, or affect the interpretation of, this Agreement.

d. Severability.  In the event that any provision of this Agreement is invalid or unenforceable under any applicable statute or rule of law, then such provision shall be deemed inoperative to the extent that it may conflict therewith and shall be deemed modified to conform with such statute or rule of law.  Any provision hereof which may prove invalid or unenforceable under any law shall not affect the validity or enforceability of any other provision hereof.

 

  

17

  

e. Entire Agreement; Amendments.  This Agreement and the instruments referenced herein contain the entire understanding of the parties with respect to the matters covered herein and therein and, except as specifically set forth herein or therein, neither the Company nor the Buyer makes any representation, warranty, covenant or undertaking with respect to such matters.  No provision of this Agreement may be waived or amended other than by an instrument in writing signed by the majority in interest of the Buyer.

f. Notices.  All notices, demands, requests, consents, approvals, and other communications required or permitted hereunder shall be in writing and, unless otherwise specified herein, shall be (i) personally served, (ii) deposited in the mail, registered or certified, return receipt requested, postage prepaid, (iii) delivered by reputable air courier service with charges prepaid, or (iv) transmitted by hand delivery, telegram, or facsimile, addressed as set forth below or to such other address as such party shall have specified most recently by written notice.  Any notice or other communication required or permitted to be given hereunder shall be deemed effective (a) upon hand delivery or delivery by facsimile, with accurate confirmation generated by the transmitting facsimile machine, at the address or number designated below (if delivered on a business day during normal business hours where such notice is to be received), or the first business day following such delivery (if delivered other than on a business day during normal business hours where such notice is to be received) or (b) on the second business day following the date of mailing by express courier service, fully prepaid, addressed to such address, or upon actual receipt of such mailing, whichever shall first occur.  The addresses for such communications shall be:

If to the Company, to:

THE GRAYSTONE COMPANY, INC.

2620 Regatta Drive - Suite 102

Las Vegas, NV 89128

Attn: PAUL HOWARTH, Chief Executive Officer

facsimile: [enter fax number]

With a copy by fax only to (which copy shall not constitute notice):

[enter name of law firm]

Attn: [attorney name]

[enter address line 1]

[enter city, state, zip]

facsimile: [enter fax number]

                   If to the Buyer:

ASHER ENTERPRISES, INC.

1 Linden Pl., Suite 207

Great Neck, NY. 11021

Attn: Curt Kramer, President

facsimile: 516-498-9894

With a copy by fax only to (which copy shall not constitute notice):

Naidich Wurman Birnbaum & Maday LLP

80 Cuttermill Road, Suite 410

Great Neck, NY 11021

Attn: Bernard S. Feldman, Esq.

facsimile: 516-466-3555

 

  

18

  

Each party shall provide notice to the other party of any change in address.

g. Successors and Assigns.  This Agreement shall be binding upon and inure to the benefit of the parties and their successors and assigns.  Neither the Company nor the Buyer shall assign this Agreement or any rights or obligations hereunder without the prior written consent of the other.  Notwithstanding the foregoing, subject to Section 2(f), the Buyer may assign its rights hereunder to any person that purchases Securities in a private transaction from the Buyer or to any of its “affiliates,” as that term is defined under the 1934 Act, without the consent of the Company.

h. Third Party Beneficiaries.  This Agreement is intended for the benefit of the parties hereto and their respective permitted successors and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other person.

i. Survival.  The representations and warranties of the Company and the agreements and covenants set forth in this Agreement shall survive the closing hereunder notwithstanding any due diligence investigation conducted by or on behalf of the Buyer.  The Company agrees to indemnify and hold harmless the Buyer and all their officers, directors, employees and agents for loss or damage arising as a result of or related to any breach or alleged breach by the Company of any of its representations, warranties and covenants set forth in this Agreement or any of its covenants and obligations under this Agreement, including advancement of expenses as they are incurred.

j. Publicity.  The Company, and the Buyer shall have the right to review a reasonable period of time before issuance of any press releases, SEC, OTCBB or FINRA filings, or any other public statements with respect to the transactions contemplated hereby; provided, however, that the Company shall be entitled, without the prior approval of the Buyer, to make any press release or SEC, OTCBB (or other applicable trading market) or FINRA filings with respect to such transactions as is required by applicable law and regulations (although the Buyer shall be consulted by the Company in connection with any such press release prior to its release and shall be provided with a copy thereof and be given an opportunity to comment thereon).

k. Further Assurances.  Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as the other party may reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby.

l. No Strict Construction.  The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and no rules of strict construction will be applied against any party.

 

  

19

  

m. Remedies.  The Company acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to the Buyer by vitiating the intent and purpose of the transaction contemplated hereby.  Accordingly, the Company acknowledges that the remedy at law for a breach of its obligations under this Agreement will be inadequate and agrees, in the event of a breach or threatened breach by the Company of the provisions of this Agreement, that the Buyer shall be entitled, in addition to all other available remedies at law or in equity, and in addition to the penalties assessable herein, to an injunction or injunctions restraining, preventing or curing any breach of this Agreement and to enforce specifically the terms and provisions hereof, without the necessity of showing economic loss and without any bond or other security being required.

IN WITNESS WHEREOF, the undersigned Buyer and the Company have caused this Agreement to be duly executed as of the date first above written.

THE GRAYSTONE COMPANY, INC.

By:/s/ Paul Howarth

PAUL HOWARTH

Chief Executive Officer

ASHER ENTERPRISES, INC.

By:/s/ Curt Kramer

Name: Curt Kramer

Title:   President

1 Linden Pl., Suite 207

Great Neck, NY. 11021

AGGREGATE SUBSCRIPTION AMOUNT:

Aggregate Principal Amount of Note:                                                                                        $42,500.00

Aggregate Purchase Price:                                                                                                           $42,500.00

 

  

20Exhibit 10.1

 Exhibit 10.1 

 
  

 
 SENIOR
UNSECURED CREDIT AGREEMENT 
 Dated as of December 14, 2011 

among 

LASALLE HOTEL OPERATING PARTNERSHIP, L.P., 

as the Borrower, 

LASALLE HOTEL PROPERTIES, 

as the Parent, 

THE GUARANTORS NAMED HEREIN, 

as the Guarantors, 
 Citibank, N.A., 
 as Administrative Agent, 

THE ROYAL BANK OF SCOTLAND PLC, 

and 

BANK OF MONTREAL, 
 as Co-Syndication Agents, 
 The Banks Party Hereto, 

as the Banks, 

REGIONS BANK, 
 U.S. BANK NATIONAL ASSOCIATION, 

BANK OF AMERICA, N.A., 
 COMPASS BANK, 
 DEUTSCHE
BANK TRUST COMPANY AMERICAS, 
 RAYMOND
JAMES BANK, FSB, 
 and 
 ROYAL BANK OF CANADA, 

as Co- Documentation Agents 
 and 
 CITIGROUP GLOBAL MARKETS
INC., 
 RBS SECURITIES INC., 

and 
 BMO
CAPITAL MARKETS, 
 as Joint Lead Arrangers and Joint Book Running Managers, 

 
  

 

 TABLE OF CONTENTS 

 

							
	 	  	 	  	PAGE	 
	 ARTICLE I DEFINITIONS AND ACCOUNTING
TERMS
	  	 	1	  
			
	 Section 1.01
	  	Certain Defined Terms	  	 	1	  
	 Section 1.02
	  	Computation of Time Periods	  	 	24	  
	 Section 1.03
	  	Accounting Terms; Changes in GAAP	  	 	24	  
	 Section 1.04
	  	Types of Advances	  	 	25	  
	 Section 1.05
	  	Miscellaneous	  	 	25	  
	 Section 1.06
	  	Commitment Increases	  	 	25	  
	 Section 1.07
	  	Maturity Date Extension	  	 	25	  
		
	 ARTICLE II THE ADVANCES AND THE LETTERS
OF CREDIT
	  	 	26	  
			
	 Section 2.01
	  	The Advances	  	 	26	  
	 Section 2.02
	  	Method of Borrowing	  	 	26	  
	 Section 2.03
	  	Fees	  	 	29	  
	 Section 2.04
	  	Reduction of the Commitments	  	 	29	  
	 Section 2.05
	  	Repayment of Advances	  	 	30	  
	 Section 2.06
	  	Interest	  	 	30	  
	 Section 2.07
	  	Prepayments	  	 	31	  
	 Section 2.08
	  	Breakage Costs	  	 	31	  
	 Section 2.09
	  	Increased Costs	  	 	31	  
	 Section 2.10
	  	Payments and Computations	  	 	33	  
	 Section 2.11
	  	Taxes	  	 	34	  
	 Section 2.12
	  	Illegality	  	 	36	  
	 Section 2.13
	  	Letters of Credit	  	 	36	  
	 Section 2.14
	  	Bank Replacement	  	 	39	  
	 Section 2.15
	  	Sharing of Payments, Etc	  	 	39	  
	 Section 2.16
	  	Defaulting Lenders	  	 	40	  
		
	 ARTICLE III CONDITIONS OF LENDING
	  	 	42	  
			
	 Section 3.01
	  	Conditions Precedent to Initial Advance	  	 	42	  
	 Section 3.02
	  	Conditions Precedent for each Borrowing or Letter of Credit	  	 	44	  
		
	 ARTICLE IV REPRESENTATIONS AND WARRANTIES
	  	 	46	  
			
	 Section 4.01
	  	Existence; Qualification; Partners; Subsidiaries	  	 	46	  
	 Section 4.02
	  	Partnership and Corporate Power	  	 	47	  
	 Section 4.03
	  	Authorization and Approvals	  	 	47	  
	 Section 4.04
	  	Enforceable Obligations	  	 	47	  
	 Section 4.05
	  	Parent Stock	  	 	47	  
	 Section 4.06
	  	Financial Statements	  	 	48	  
	 Section 4.07
	  	True and Complete Disclosure	  	 	48	  
	 Section 4.08
	  	Litigation	  	 	48	  
	 Section 4.09
	  	Use of Proceeds	  	 	48	  
	 Section 4.10
	  	Investment Company Act	  	 	49	  
	 Section 4.11
	  	Taxes	  	 	49	  

  
 -i-

							
	 Section 4.12
	  	Pension Plans	  	 	49	  
	 Section 4.13
	  	Condition of Hotel Property; Casualties; Condemnation	  	 	49	  
	 Section 4.14
	  	Insurance	  	 	50	  
	 Section 4.15
	  	No Burdensome Restrictions; No Defaults	  	 	50	  
	 Section 4.16
	  	Environmental Condition	  	 	50	  
	 Section 4.17
	  	Legal Requirements, Zoning, Utilities, Access	  	 	50	  
	 Section 4.18
	  	Existing Indebtedness	  	 	51	  
	 Section 4.19
	  	Title; Encumbrances	  	 	51	  
	 Section 4.20
	  	Leasing Arrangements	  	 	51	  
	 Section 4.21
	  	Unencumbered Properties	  	 	51	  
		
	 ARTICLE V AFFIRMATIVE COVENANTS
	  	 	52	  
			
	 Section 5.01
	  	Compliance with Laws, Etc.	  	 	52	  
	 Section 5.02
	  	Preservation of Existence, Separateness, Etc.	  	 	52	  
	 Section 5.03
	  	Payment of Taxes, Etc.	  	 	53	  
	 Section 5.04
	  	Visitation Rights; Bank Meeting	  	 	53	  
	 Section 5.05
	  	Reporting Requirements	  	 	54	  
	 Section 5.06
	  	Maintenance of Property	  	 	56	  
	 Section 5.07
	  	Insurance	  	 	56	  
	 Section 5.08
	  	Use of Proceeds	  	 	56	  
	 Section 5.09
	  	New Guarantors	  	 	56	  
		
	 ARTICLE VI NEGATIVE COVENANTS
	  	 	57	  
			
	 Section 6.01
	  	Liens, Etc	  	 	57	  
	 Section 6.02
	  	Indebtedness	  	 	58	  
	 Section 6.03
	  	Agreements Restricting Distributions From Subsidiaries	  	 	59	  
	 Section 6.04
	  	Restricted Payments	  	 	59	  
	 Section 6.05
	  	Fundamental Changes; Asset Dispositions	  	 	59	  
	 Section 6.06
	  	Participating Lessee Ownership	  	 	60	  
	 Section 6.07
	  	Investments, Loans, Future Properties	  	 	60	  
	 Section 6.08
	  	Affiliate Transactions	  	 	61	  
	 Section 6.09
	  	Sale and Leaseback	  	 	61	  
	 Section 6.10
	  	Sale or Discount of Receivables	  	 	61	  
	 Section 6.11
	  	Restriction on Negative Pledges	  	 	61	  
	 Section 6.12
	  	Material Documents	  	 	62	  
	 Section 6.13
	  	Limitations on Development, Construction, Renovation and Purchase of Hotel Properties	  	 	62	  
		
	 ARTICLE VII FINANCIAL COVENANTS
	  	 	62	  
			
	 Section 7.01
	  	Fixed Charge Coverage Ratio	  	 	62	  
	 Section 7.02
	  	Maintenance of Net Worth	  	 	62	  
	 Section 7.03
	  	Limitations on Total Liabilities	  	 	63	  
	 Section 7.04
	  	Limitations on Unsecured Indebtedness	  	 	63	  
	 Section 7.05
	  	Limitations on Secured Indebtedness	  	 	63	  

  

							
	 ARTICLE VIII EVENTS OF DEFAULT; REMEDIES
	  	 	63	  
			
	 Section 8.01
	  	Events of Default	  	 	63	  

  
 -ii-

							
	 Section 8.02
	  	Optional Acceleration of Maturity	  	 	66	  
	 Section 8.03
	  	Automatic Acceleration of Maturity	  	 	66	  
	 Section 8.04
	  	Cash Collateral Account	  	 	66	  
	 Section 8.05
	  	Non-exclusivity of Remedies	  	 	67	  
	 Section 8.06
	  	Right of Set-off	  	 	67	  
		
	 ARTICLE IX NEW YORK PROPERTIES
	  	 	67	  
			
	 Section 9.01
	  	New York Term Notes	  	 	67	  
		
	 ARTICLE X AGENCY AND ISSUING BANK
PROVISIONS
	  	 	71	  
			
	 Section 10.01
	  	Authorization and Action	  	 	71	  
	 Section 10.02
	  	Administrative Agent’s Reliance, Etc.	  	 	71	  
	 Section 10.03
	  	Administrative Agent and Its Affiliates	  	 	72	  
	 Section 10.04
	  	Bank Credit Decision	  	 	72	  
	 Section 10.05
	  	Indemnification	  	 	72	  
	 Section 10.06
	  	Successor Administrative Agent and Issuing Banks	  	 	72	  
	 Section 10.07
	  	Co-Syndication Agents, Joint Lead Arrangers and Joint Book Running	  			
		  	Managers, Co-Documentation Agents	  	 	73	  
	 Section 10.08
	  	Designation of Additional Agents	  	 	73	  
		
	 ARTICLE XI MISCELLANEOUS
	  	 	73	  
			
	 Section 11.01
	  	Amendments, Etc.	  	 	73	  
	 Section 11.02
	  	Notices, Etc.	  	 	75	  
	 Section 11.03
	  	No Waiver; Remedies	  	 	77	  
	 Section 11.04
	  	Costs and Expenses	  	 	77	  
	 Section 11.05
	  	Binding Effect	  	 	77	  
	 Section 11.06
	  	Bank Assignments and Participations	  	 	77	  
	 Section 11.07
	  	Indemnification	  	 	80	  
	 Section 11.08
	  	Execution in Counterparts	  	 	81	  
	 Section 11.09
	  	Survival of Representations, Indemnifications, etc.	  	 	81	  
	 Section 11.10
	  	Severability	  	 	81	  
	 Section 11.11
	  	Entire Agreement	  	 	81	  
	 Section 11.12
	  	Usury Not Intended	  	 	81	  
	 Section 11.13
	  	Governing Law	  	 	82	  
	 Section 11.14
	  	Consent to Jurisdiction; Service of Process; Jury Trial	  	 	82	  
	 Section 11.15
	  	Knowledge of Borrower	  	 	83	  
	 Section 11.16
	  	Banks Not in Control	  	 	83	  
	 Section 11.17
	  	Headings Descriptive	  	 	83	  
	 Section 11.18
	  	Time is of the Essence	  	 	83	  
	 Section 11.19
	  	Scope of Indemnities	  	 	83	  
	 Section 11.20
	  	Confidentiality	  	 	83	  
	 Section 11.21
	  	USA Patriot Act Notice	  	 	84	  
	 Section 11.22
	  	No Fiduciary Duties	  	 	84	  

  
 -iii-

					
	EXHIBITS:	  		  	
			
	EXHIBIT A	  	—	  	FORM OF NOTE
	EXHIBIT B	  	—	  	FORM OF ASSIGNMENT AND ACCEPTANCE
	EXHIBIT C	  	—	  	FORM OF COMPLIANCE CERTIFICATE
	EXHIBIT D	  	—	  	FORM OF ENVIRONMENTAL INDEMNITY
	EXHIBIT E	  	—	  	FORM OF GUARANTY
	EXHIBIT F	  	—	  	FORM OF NOTICE OF BORROWING
	EXHIBIT G	  	—	  	FORM OF NOTICE OF CONVERSION OR CONTINUATION
	EXHIBIT H	  	—	  	FORM OF NEW YORK MORTGAGE
	EXHIBIT I	  	—	  	FORM OF NEW YORK TERM NOTE

  

					
	SCHEDULES:	  		  	
			
	SCHEDULE 1.01(A)	  	—	  	COMMITMENTS
	SCHEDULE 1.01(B)	  	—	  	EXISTING PROPERTIES
	SCHEDULE 1.01(C)	  	—	  	GUARANTORS
	SCHEDULE 1.01(D)	  	—	  	QUALIFIED GROUND LEASES
	SCHEDULE 1.01(E)	  	—	  	EXISTING LETTERS OF CREDIT
	SCHEDULE 4.01	  	—	  	SUBSIDIARIES
	SCHEDULE 4.08	  	—	  	LITIGATION
	SCHEDULE 4.17	  	—	  	LEGAL REQUIREMENTS; ZONING; UTILITIES; ACCESS
	SCHEDULE 4.18	  	—	  	EXISTING INDEBTEDNESS
	SCHEDULE 5.07	  	—	  	INSURANCE

  
 -iv-

 SENIOR UNSECURED CREDIT
AGREEMENT 
 This SENIOR UNSECURED CREDIT
AGREEMENT, dated as of December 14, 2011, is among LASALLE HOTEL OPERATING PARTNERSHIP, L.P., a Delaware limited partnership, as the Borrower,
LASALLE HOTEL PROPERTIES, a Maryland trust, as the Parent, the Guarantors from time to time party hereto, the Banks from time to time party hereto, CITIBANK, N.A., as
Administrative Agent, THE ROYAL BANK OF SCOTLAND PLC, and BANK OF MONTREAL, as Co-Syndication Agents,
REGIONS BANK, U.S. BANK NATIONAL ASSOCIATION, BANK OF AMERICA, N.A., COMPASS BANK,
DEUTSCHE BANK TRUST COMPANY AMERICAS, RAYMOND JAMES BANK, FSB and ROYAL BANK OF
CANADA, as Co- Documentation Agents, and CITIGROUP GLOBAL MARKETS INC., RBS SECURITIES INC. and BMO CAPITAL
MARKETS, as joint lead arrangers and joint book running managers. 
 The Borrower has requested, and the Banks
have agreed to extend, certain credit facilities on the terms and conditions of this Agreement. In consideration of the mutual agreements contained in this Agreement, the parties hereto do hereby agree as follows: 

WITNESSETH THAT: 
 WHEREAS, the Borrower has requested that the Banks extend credit to the Borrower, and the Banks, upon the occurrence of the Closing Date and subject to the terms hereof, have agreed to lend
monies and/or make advances, extensions of credit or other financial accommodations to, on behalf of or for the benefit of the Borrower pursuant hereto. 
 NOW, THEREFORE, in consideration of the recitals set forth above, which by this reference are incorporated into this Agreement set forth below, and for other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged and subject to the terms and conditions hereof and on the basis of the representations and warranties herein set forth, the parties hereto hereby agree to the
following: 
 ARTICLE I 
 DEFINITIONS AND ACCOUNTING TERMS 
 Section 1.01 Certain Defined Terms. As used in this Agreement, the following terms shall have the following meanings (unless otherwise indicated, such meanings to be equally applicable to both
the singular and plural forms of the terms defined): 
 “Accession Agreement” means an Accession Agreement in
the form attached respectively to the Guaranty and Environmental Indemnity as Annex 1 thereto, which agreement causes the Person executing and delivering the same to the Administrative Agent to become a party to the Guaranty and the
Environmental Indemnity. 
 “Adjusted Base Rate” means a fluctuating interest rate per annum in effect from
time to time, which rate per annum shall at all times be equal to the greatest of (a) the rate of interest announced publicly by Citibank in New York, New York, from time to time, as Citibank’s base rate, (b) 2% per annum
above the Federal Funds Rate and (c) the one-month LIBOR plus 1% per annum. 
 “Adjusted Corporate
EBITDA” means, for the Rolling Period of the Parent most recently ended for which financial statements have been, or are required to be, delivered to the Banks hereunder, the Corporate EBITDA for such period adjusted for any Hotel Property
acquired or disposed of during such period to include or exclude, as appropriate, the Adjusted NOI of such Hotel Property for such period, 

 
plus the aggregate FF&E Reserves for such period for such Hotel Property; provided that with regard to any acquisition of a Hotel Property, the addition of such Hotel
Property’s Adjusted NOI for such period is subject to verification by either an accounting firm reasonably acceptable to the Administrative Agent or written certification reasonably acceptable to the Administrative Agent from an officer of the
Borrower that such Adjusted NOI is true and accurate. 
 “Adjusted Net Worth” means, for the Parent as of any
date, the sum of (a) the Parent’s Net Worth on such date plus (b) the minority interest reflected in the Parent’s balance sheet on such date determined in accordance with GAAP. 

“Adjusted NOI” means, for any Hotel Property for the Rolling Period of the Parent most recently ended for which
financial statements have been, or are required to be, delivered to the Banks hereunder, an amount (if positive) equal to (a) the net income of such Hotel Property for such period after taxes, as determined in accordance with GAAP, excluding,
however, those items that the Administrative Agent determines are extraordinary items, including but not limited to (i) any net gain or loss during such period arising from the sale, exchange, or other disposition of capital assets (such term
to include all fixed assets) other than in the ordinary course of business, (ii) any write-up or write-down of assets, and (iii) expenses incurred in connection with hotel conversions prior to the opening of any such converted hotels;
provided that to the extent that the net income for any Hotel Property does not include a reasonable allocation of administrative, accounting or other overhead of the Person or Persons who directly or indirectly own or lease such Hotel
Property which directly pertains to the operation of Hotel Properties, then such allocation amount shall be deemed subtracted from such net income for purposes of the financial tests and other definitions contained in this Agreement which utilize
Adjusted NOI, plus (b) to the extent deducted in determining Adjusted NOI, Interest Expense, income taxes, depreciation, amortization, and other non-cash items for such period, as determined in accordance with GAAP, minus
(c) the aggregate FF&E Reserves for such period for such Hotel Property; provided further that in no event shall the Adjusted NOI for any Hotel Property be less than zero. 

“Administrative Agent” means Citibank, in its capacity as Administrative Agent for the Banks pursuant to Article X
and any successor Administrative Agent appointed pursuant to Section 10.06. 
 “Advance” means an Advance
by a Bank to the Borrower, any such Advance being either a Base Rate Advance or a LIBOR Advance. 
 “Affected
Bank” has the meaning set forth in Section 2.14(a). 
 “Affiliate” means, as 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. The term “control” (including the terms
“controlled by” or “under common control with”) means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of a Control
Percentage, by contract or otherwise. 
 “Agreement” means this Senior Unsecured Credit Agreement, as the same
may be amended, modified, restated or supplemented from time to time. 
 “Allocation Percentage” means, for any
Person, with respect to a Person’s Joint Venture Subsidiary, the percentage ownership interest of such Person in such Joint Venture Subsidiary. 

  
 -2-

 “Applicable Lending Office” means, with respect to each Bank, such
Bank’s Domestic Lending Office in the case of a Base Rate Advance and such Bank’s LIBOR Lending Office in the case of a LIBOR Advance. 
 “Applicable Margin” means, (a) with respect to each Type of Advance at any date, the applicable percentage per annum set forth below based upon the Status then in effect under the
column for such Type of Advance, and (b) with respect to the letter of credit fee payable under Section 2.03(b) at any date, the applicable percentage per annum set forth below under the column “Letters of Credit & LIBOR
Advances,” based upon the Status then in effect. 
  

							
	 	  	LEVERAGE RATIO	 	BASE RATE
ADVANCES	 	LETTERS OF CREDIT &
LIBOR ADVANCES
	 Level I Status
	  	£ 4.00:1.00	 	0.75%	 	1.75%
	 Level II Status
	  	> 4.00:1.00 but £ 4.75:1.00	 	1.00%	 	2.00%
	 Level III Status
	  	> 4.75:1.00 but £ 5.00:1.00	 	1.25%	 	2.25%
	 Level IV Status
	  	> 5.00:1.00	 	1.70%	 	2.70%

 “Approved Electronic Communications” means each Communication that the Borrower or any
Guarantor is obligated to, or otherwise chooses to, provide to the Administrative Agent pursuant to any Credit Document or the transactions contemplated therein, including any financial statement, financial and other report, notice, request,
certificate and other information materials required to be delivered pursuant to Sections 5.05(a) through (d), (h), and (k); provided, however, that solely with respect to delivery of any such Communication by the Borrower or any
Guarantor to the Administrative Agent and without limiting or otherwise affecting either the Administrative Agent’s right to effect delivery of such Communication by posting such Communication to the Approved Electronic Platform or the
protections afforded hereby to the Administrative Agent in connection with any such posting, “Approved Electronic Communication” shall exclude (i) any notice of borrowing, letter of credit request, swing loan request, notice of
conversion or continuation, and any other notice, demand, communication, information, document and other material relating to a request for a new, or a conversion of an existing, Borrowing, (ii) any notice pursuant to
Section 2.07(b) and any other notice relating to the payment of any principal or other amount due under any Credit Document prior to the scheduled date therefor, (iii) all notices of any Default or Event of Default and (iv) any
notice, demand, communication, information, document and other material required to be delivered to satisfy any of the conditions set forth in Article III or any other condition to any Borrowing or other extension of credit hereunder or any
condition precedent to the effectiveness of this Agreement. 
 “Approved Electronic Platform” has the meaning
specified in Section 11.02(c). 
 “Approved Other Country” means each of the following countries: Canada,
Mexico, United Kingdom, France, Germany, Spain, Belgium, The Netherlands, Luxembourg, Italy, Portugal, Austria, Switzerland, Norway, Sweden, Denmark, U. S. Virgin Islands, Bahamas, and Puerto Rico. 

“Approved Third Party Operating Leases” means all operating leases for which either the Borrower or a Guarantor is the
lessor thereunder, except any operating lease for which LaSalle Leasing or a Subsidiary of LaSalle Leasing is a lessee. 

“Asset Disposition” means any sale, lease of substantially all of a Hotel Property (in which the Borrower or a Guarantor
is lessor), conveyance, exchange, transfer, or assignment of any Property by the Borrower or a Guarantor to a Person other than the Borrower or a Guarantor. 

  
 -3-

 “Asset Value” means, with respect to any Hotel Property, as of any date,
(a) the Calculated Value of such asset; provided, however, that the value of each Hotel Property during the first twelve (12) months following acquisition shall be equal to the greater of (i) the acquisition price or
(ii) the Calculated Value, (b) in the case of any Development Property, the undepreciated book value of such Hotel Property as determined in accordance with GAAP, or (c) in the case of any Hotel Property held by a Joint Venture
Subsidiary, the pro rata share of such Hotel Property as determined in accordance with clause (a) or (b), as applicable. 
 “Assignment and Acceptance” means an assignment and acceptance entered into by a Bank and an Eligible Assignee, and accepted by the Administrative Agent, in substantially the form of the
attached Exhibit B. 
 “Banks” means the lenders listed on the signature pages of this Agreement and each
Eligible Assignee that shall become a party to this Agreement pursuant to Section 11.06. 
 “Base Rate
Advance” means an Advance which bears interest as provided in Section 2.06(a). 
 “Borrower”
means LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership. 
 “Borrowing” means a
borrowing consisting of simultaneous Advances of the same Type made by each Bank pursuant to Section 2.01 or Converted by each Bank to Advances of a different Type pursuant to Section 2.02(b). 

“Business Day” means a day of the year on which banks are not required or authorized to close in New York City and, if
the applicable Business Day relates to any LIBOR Advances, on which dealings are carried on in the London interbank market. 

“Calculated Value” means for any Hotel Property (a) if such Hotel Property is leased to a Subsidiary of the
Borrower, the Adjusted NOI for such Hotel Property for the preceding Rolling Period and, if such Hotel Property is not leased to a Subsidiary of the Borrower, the lesser of (i) the Adjusted NOI for such Hotel Property for the preceding Rolling
Period or (ii) the actual rental payments received by the Parent or its Subsidiary under the participating lease for such Hotel Property during such Rolling Period divided by (b) the Capitalization Rate. 

“Capital Expenditure” means any payment made directly or indirectly for the purpose of acquiring or constructing fixed
assets, Real Property or equipment which in accordance with GAAP would be capitalized in the fixed asset accounts of such Person making such expenditure, including, without limitation, amounts paid or payable for such purpose under any conditional
sale or other title retention agreement or under any Capital Lease, but excluding repairs of Property in the normal and ordinary course of business. 
 “Capitalization Event” means any sale or issuance by the Parent or any of its Subsidiaries of equity securities except for the issuance of the Borrower’s operating partnership units
in exchange for a direct or indirect ownership interest in a Hotel Property or a Person that owns a Hotel Property. 

“Capitalization Rate” means 8.25%. 
 “Capital Lease” means, for any Person, any lease of any Property (whether real, personal or mixed) by that Person as lessee which, in accordance with GAAP, is or should be accounted
for as a capital lease on the balance sheet of that Person. 

  
 -4-

 “Capitalized Lease Obligations” means, as to any Person, the capitalized
amount of all obligations of such Person or any of its Subsidiaries under Capitalized Leases, as determined on a Consolidated basis in conformity with GAAP. 
 “Cash Collateral Account” means a special cash collateral account containing cash deposited pursuant to the terms of this Agreement to be maintained at Citibank in accordance with
Section 8.04. 
 “Cash Collateralize” means, in respect of an Obligation, to provide and pledge (as a
first priority perfected security interest) cash collateral in U.S. Dollars, at a location and pursuant to documentation in form and substance satisfactory to the Administrative Agent and each Issuing Bank (and “Cash
Collateralization” has a corresponding meaning). 
 “CERCLA” means the Comprehensive Environmental
Response, Compensation, and Liability Act of 1980, as amended, state and local analogs, and all rules and regulations and requirements thereunder in each case as now or hereafter in effect. 

“Citibank” means Citibank, N.A. 
 “Closing Date” means the date of this Agreement or such other date as may be agreed upon by the Borrower and the Administrative Agent. 

“Code” means the Internal Revenue Code of 1986, as amended, and any successor statute. 

“Commitment” means, with respect to any Bank, the amount set opposite such Bank’s name on Schedule 1.01(a) as its
Commitment, or if such Bank has entered into any Assignment and Acceptance, the amount set forth for such Bank as its Commitment in the Register maintained by the Administrative Agent pursuant to Section 11.06(c), as such amount may be reduced
pursuant to Section 2.04. 
 “Compliance Certificate” means a certificate of the Borrower in substantially
the form of the attached Exhibit C. 
 “Communications” means each notice, demand, communication,
information, document and other material provided for hereunder or under any other Credit Document or otherwise transmitted between the parties hereto relating to this Agreement, the other Credit Documents, the Borrower or any Guarantor or any of
their respective Affiliates, or the transactions contemplated by this Agreement or the other Credit Documents including, without limitation, all Approved Electronic Communications. 

“Consolidated” refers to the consolidation of the accounts of the Borrower with the Borrower’s Subsidiaries and the
Parent with the Parent’s Subsidiaries, as applicable, in accordance with GAAP. 
 “Consolidated Total Book
Value” means, at any time the same is to be determined, the aggregate book value of all assets that would appear on the balance sheet of the Parent and the Parent’s Subsidiaries determined on a Consolidated basis in accordance with
GAAP, plus the aggregate book value of the accumulated depreciation of such assets determined on a Consolidated basis in accordance with GAAP. 
 “Control Percentage” means, with respect to any Person, the percentage of the outstanding capital stock of such Person having ordinary voting power which gives the direct or indirect
holder of such stock the power to elect a majority of the Board of Directors of such Person. 

  
 -5-

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

“Corporate EBITDA” means, for the Rolling Period of the Parent most recently ended for which financial statements have
been, or are required to be, delivered to the Banks hereunder, an amount equal to (a) the net income of the Parent (on a Consolidated basis) for such period after taxes, as determined in accordance with GAAP, excluding, however, those
items that the Administrative Agent determines are extraordinary items, including but not limited to (i) any net gain or loss during such period arising from the sale, exchange, or other disposition of capital assets (such term to include all
fixed assets and all securities) other than in the ordinary course of business, (ii) any write-up or write-down of assets, and (iii) expenses incurred in connection with hotel conversions prior to the opening of any such converted hotels,
plus (b) to the extent deducted in determining Corporate EBITDA, Interest Expense, income taxes, depreciation, amortization, and other non-cash items for such period, as determined in accordance with GAAP. 

“Convert”, “Conversion”, and “Converted” each refers to a conversion of Advances of
one Type into Advances of another Type pursuant to Section 2.02(b). 
 “Credit Documents” means this
Agreement, the Notes, the Guaranties, the Environmental Indemnities, the Fee Letter and, to the extent delivered, any New York Mortgage, any New York Term Note, and each other agreement, instrument or document executed by the Borrower, any of its
Subsidiaries or the Parent at any time in connection with this Agreement. 
 “Default” means (a) an Event
of Default or (b) any event or condition which with notice or lapse of time or both would, unless cured or waived, become an Event of Default. 
 “Defaulting Lender” means at any time, subject to Section 2.16(f), (i) any Bank that has failed for two or more Business Days to comply with its obligations under this Agreement
to make an Advance, make a payment to any Issuing Bank in respect of a Letter of Credit or make any other payment due hereunder (each, a “funding obligation”), unless such Bank has notified the Administrative Agent and the Borrower
in writing that such failure is the result of such Bank’s determination that one or more conditions precedent to funding has not been satisfied (which conditions precedent, together with the applicable default, if any, will be specifically
identified in such writing), (ii) any Bank that has notified the Administrative Agent, the Borrower or any Issuing Bank in writing, or has stated publicly, that it does not intend to comply with its funding obligations hereunder, unless such
writing or statement states that such position is based on such Bank’s determination that one or more conditions precedent to funding cannot be satisfied (which conditions precedent, together with the applicable default, if any, will be
specifically identified in such writing or public statement), (iii) any Bank that has, for three or more Business Days after written request of the Administrative Agent or the Borrower, failed to confirm in writing to the Administrative Agent
and the Borrower that it will comply with its prospective funding obligations hereunder (provided that such Bank will cease to be a Defaulting Lender pursuant to this clause (iii) upon the Administrative Agent’s and the
Borrower’s receipt of such written confirmation), or (iv) any Bank with respect to which a Lender Insolvency Event has occurred and is continuing with respect to such Bank or its Parent Company, provided that a Bank shall not be a
Defaulting Lender solely by virtue of the ownership or acquisition of any equity interest in that Bank or any direct or indirect Parent Company thereof by a Governmental Authority so long as such ownership interest does not result in or provide such
Bank with immunity from the jurisdiction of courts within the United States or from the enforcement of judgments or writs of attachment on its assets or permit such Bank (or such Governmental Authority) to reject, repudiate, disavow or disaffirm any
contracts or agreements made with such Bank (provided that in each case, neither the reallocation of funding obligations provided for in 

  
 -6-

 
Section 2.16(b) as a result of a Bank’s being a Defaulting Lender nor the performance by Non-Defaulting Lenders of such reallocated funding obligations will by themselves cause the
relevant Defaulting Lender to become a Non-Defaulting Lender). Any determination by the Administrative Agent that a Bank is a Defaulting Lender under any of clauses (i) through (v) above will be conclusive and binding absent manifest
error, and such Bank will be deemed to be a Defaulting Lender (subject to Section 2.16(f)) upon notification of such determination by the Administrative Agent to the Borrower, each Issuing Bank and the Banks. 

“Development Property” means either (a) a new Hotel Property under construction including the conversion of a
non-Hotel Property into a Hotel Property or (b) an existing Hotel Property which is undergoing an expansion pursuant to which the total guest rooms for such Hotel Property will be increased by 50% or more. 

“Dollars” and “$” means lawful money of the United States of America. 

“Domestic Lending Office” means, with respect to any Bank, the office of such Bank specified as its “Operations
Contact” in the questionnaire such Bank provided to the Administrative Agent, or such other office of such Bank as such Bank may from time to time specify to the Borrower and the Administrative Agent. 

“Eligible Assignee” means (a) a commercial bank (or other financial institution acceptable to the Administrative
Agent and, unless a Default has occurred and is continuing at the time any assignment is effected pursuant to Section 11.06, the Borrower, which approval shall not be unreasonably withheld or delayed) organized under the laws of the United
States, or any State thereof, and having primary capital of not less than $250,000,000 and approved by the Administrative Agent, which approval will not be unreasonably withheld or delayed, (b) a commercial bank (or other financial institution
acceptable to the Administrative Agent and, unless a Default has occurred and is continuing at the time any assignment is effected pursuant to Section 11.06, the Borrower, which approval shall not be unreasonably withheld or delayed) organized
under the laws of any other country which is a member of the Organization for Economic Cooperation and Development and having primary capital (or its equivalent) of not less than $250,000,000 and approved by the Administrative Agent, which approval
will not be unreasonably withheld or delayed, (c) a finance company, insurance company or other financial institution or fund (whether a corporation, partnership, trust or other entity) acceptable to the Administrative Agent and, unless a
Default has occurred and is continuing at the time any assignment is effected pursuant to Section 11.06, the Borrower, which approval shall not be unreasonably withheld or delayed, that is engaged in making, purchasing or otherwise investing in
commercial loans in the ordinary course of its business and having total assets in excess of $250,000,000, (d) a Bank (without approval of the Administrative Agent or the Borrower), and (e) an Affiliate of the respective assigning Bank,
without approval of any Person but otherwise meeting the eligibility requirements of (a) or (b) above; provided, however, that neither the Borrower nor any Affiliate of the Borrower shall qualify as an Eligible Assignee under
this definition. For avoidance of doubt, the Borrower shall have no approval or consent rights with respect to an Eligible Assignee so long as a Default has occurred and is continuing at the time any assignment is effected pursuant to
Section 11.06. 
 “Environment” or “Environmental” shall have the meanings set forth in
42 U.S.C. § 9601(8), as amended. 
 “Environmental Claim” means any third party (including
governmental agencies and employees) action, lawsuit, claim, demand, regulatory action or proceeding, order, decree, consent agreement or notice of potential or actual responsibility or violation (including claims or proceedings under the
Occupational Safety and Health Acts or similar laws or requirements relating to health or safety of employees) which seeks to impose liability under any Environmental Law. 

  
 -7-

 “Environmental Indemnity” means that certain Environmental Indemnification
Agreement effective the date hereof executed by the Borrower, the Parent and the Guarantors, any additional Environmental Indemnity Agreements in substantially the form of the attached Exhibit D and any future environmental indemnities executed
in connection with any Hotel Property, as any of such environmental indemnities may be amended hereafter in accordance with the terms of such agreements. 
 “Environmental Law” means all Legal Requirements arising from, relating to, or in connection with the Environment, health, or safety, including without limitation CERCLA, relating to
(a) pollution, contamination, injury, destruction, loss, protection, cleanup, reclamation or restoration of the air, surface water, groundwater, land surface or subsurface strata, or other natural resources; (b) solid, gaseous or liquid
waste generation, treatment, processing, recycling, reclamation, cleanup, storage, disposal or transportation; (c) exposure to pollutants, contaminants, hazardous, medical, infectious, or toxic substances, materials or wastes; (d) the
safety or health of employees; or (e) the manufacture, processing, handling, transportation, distribution in commerce, use, storage or disposal of hazardous, medical, infectious, or toxic substances, materials or wastes. 

“Environmental Permit” means any permit, license, order, approval or other authorization under Environmental Law.

 “ERISA” means the Employee Retirement Income Security Act of 1974, as amended from time to time. 

“Eurocurrency Liabilities” has the meaning assigned to that term in Regulation D of the Federal Reserve Board (or
any successor), as in effect from time to time. 
 “Exchange Act” means the Securities Exchange Act of 1934, as
amended from time to time. 
 “Existing Issuing Bank” means Bank of Montreal; provided, however, that
the Existing Issuing Bank shall act as an Issuing Bank hereunder solely with respect to the continuance of the Existing Letters of Credit and shall have no obligation to and shall not issue any new Letters of Credit or replace, renew, increase or
extend the Existing Letters of Credit. 
 “Existing Letters of Credit” means the letters of credit listed on
Schedule 1.01(e) hereto. 
 “Existing New York Mortgage” means a mortgage creating a Lien on a New York
Property. 
 “Existing New York Note” means the promissory note or notes evidencing the Indebtedness secured by
an Existing New York Mortgage. 
 “Existing Park Central Mortgage” means those certain mortgages consolidated
under that certain Consolidation, Extension and Modification Agreement made by and between Park Central Hotel (DE) LLC and U.S. Bank National Association, as Trustee for the Credit Suisse First Boston Mortgage Securities Corp. Commercial Mortgage
Pass-Through Certificates, Series 2007-TFLl (successor-in-interest to Column Financial, Inc.), dated November 9, 2006, and recorded in the Office of the City Register of the City of New York on December 1, 2006 as CRFN 2006000663702.

 “Existing Park Central Note” means the promissory note or notes evidencing the Indebtedness secured by the
Existing Park Central Mortgage. 

  
 -8-

 “Existing Properties” means collectively the Hotel Properties listed on
Schedule 1.01(b), and “Existing Property” means any of such Hotel Properties. 
 “Extension
Date” has the meaning set forth in Section 1.07. 
 “Extension Fee” has the meaning set forth in
Section 1.07. 
 “Event of Default” has the meaning set forth in Section 8.01. 

“Expiration Date” means, with respect to any Letter of Credit, the date on which such Letter of Credit will expire or
terminate in accordance with its terms. 
 “FATCA” has the meaning set forth in Section 2.11(a).

 “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 any such day on such transactions received by the Administrative Agent from
three Federal funds brokers of recognized standing selected by it. 
 “Federal Reserve Board” means the Board
of Governors of the Federal Reserve System or any of its successors. 
 “Fee Letter” has the meaning set forth
in Section 2.03(c). 
 “FF&E” means furniture, fixtures and equipment. 

“FF&E Reserve” means, for any Person or any Hotel Property at any time, a reserve equal to four percent (4%) of
gross revenues from any Hotel Property owned by such Person or from such Hotel Property, as applicable, for the Rolling Period of the Parent most recently ended for which financial statements have been, or are required to be, delivered to the Banks
hereunder. 
 “Fiscal Quarter” means each of the three-month periods ending on
March 31, June 30, September 30 and December 31. 
 “Fiscal Year” means the
twelve-month period ending on December 31. 
 “Fixed Charge Coverage Ratio” means, as of the end of any
Rolling Period, a ratio of (a) the Corporate EBITDA for such Rolling Period less the aggregate FF&E Reserves for such period in respect of each Hotel Property owned by the Parent or its Subsidiaries (whether located on land owned by or land
leased to such owner of the Hotel Property) to (b) the Fixed Charges for such Rolling Period. 
 “Fixed
Charges” means, for the Rolling Period of the Parent most recently ended for which financial statements are required to be delivered to the Banks hereunder, the sum of the following amounts for the Parent and the Parent’s Subsidiaries
on a Consolidated basis: (a) the amount (without duplication) of all mandatory principal payments scheduled to be made (excluding optional prepayments and scheduled principal payments in respect of any such Indebtedness which is payable in a
single installment at final maturity), (b) Parent’s Interest Expense, (c) all payments scheduled to be made in respect of Capital Leases, and (d) all preferred stock dividends. 

  
 -9-

 “Funding Date” has the meaning set forth in Section 1.06(b).

 “Future Property” means any Hotel Property except for the Existing Properties which the Borrower or any
Subsidiary of the Borrower acquires. 
 “GAAP” means United States generally accepted accounting principles as
in effect from time to time, applied on a basis consistent with the requirements of Section 1.03. 
 “Governmental
Authority” means any foreign governmental authority, the United States of America, any state of the United States of America and any subdivision of any of the foregoing, and any agency, department, commission, board, authority or
instrumentality, bureau or court having jurisdiction over any Bank, the Parent, the Borrower, any Subsidiaries of the Borrower or the Parent, any participating lessee, a manager or any of their respective Properties. 

“Governmental Proceedings” means any action or proceedings by or before any Governmental Authority, including, without
limitation, the promulgation, enactment or entry of any Legal Requirement. 
 “Guarantor” means (a) the
Parent, (b) each Subsidiary which owns an Unencumbered Property, (c) each Operating Lessee, and (d) each Material Subsidiary, in each case excluding Permitted Other Subsidiaries and any Joint Venture Subsidiary which is contractually
prohibited from acting as a Guarantor by the terms of (i) any document evidencing or securing Indebtedness of the Borrower or its Subsidiaries permitted by the terms of this Agreement or (ii) the organizational documents of such Person.
The Guarantors on the Closing Date are identified on Schedule 1.01(c). 
 “Guaranty” means that certain
Guaranty and Contribution Agreement effective the date hereof executed by the Parent, the Borrower and the Guarantors, evidencing the joint and several guaranty by the signatories thereto of the Obligations of Borrower in respect of the Credit
Documents, any additional Guaranty and Contribution Agreements in substantially the form of the attached Exhibit F executed to secure Advances and any future guaranty and contribution agreement executed to secure Advances, as any of such
agreements may be amended hereafter in accordance with the terms of such agreements. 
 “Hazardous Substance”
means the substances identified as such pursuant to CERCLA and those regulated under any other Environmental Law, including without limitation pollutants, contaminants, petroleum, petroleum products, radio nuclides, radioactive materials, and
medical and infectious waste. 
 “Hazardous Waste” means the substances regulated as such pursuant to any
Environmental Law. 
 “Hotel Property” for any hotel means the Real Property and the Personal Property for such
hotel. 
 “Improvements” for any hotel means all buildings, structures, fixtures, tenant improvements and other
improvements of every kind and description now or hereafter located in or on or attached to the Land for such hotel; and all additions and betterments thereto and all renewals, substitutions and replacements thereof. 

“Indebtedness” means (without duplication), at any time and with respect to any Person, (a) indebtedness of such
Person for borrowed money (whether by loan or the issuance and sale of debt securities) or for the deferred purchase price of property or services purchased (other than amounts constituting trade payables, accruals or bank drafts arising in the
ordinary course of business); (b) indebtedness of others in the amount which such Person has directly or indirectly assumed or guaranteed or otherwise provided credit support therefor or for which such Person is liable as a partner of such
Person; (c) indebtedness of others in the amount secured by a Lien on assets of such Person, whether 

  
 -10-

 
or not such Person shall have assumed such indebtedness; (d) obligations of such Person in respect of letters of credit, acceptance facilities, or drafts or similar instruments issued or
accepted by banks and other financial institutions for the account of such Person (other than trade payables or bank drafts arising in the ordinary course); (e) obligations of such Person under Capital Leases; (f) obligations under
interest rate swap agreements, interest rate cap agreements, interest rate collar agreements or other similar agreements or arrangements designed to protect against fluctuations in interest rates; and (g) all preferred stock that is issued by
such Person that is redeemable by the holder thereof in cash, a cash equivalent or some type of Indebtedness or convertible to some type of Indebtedness. 
 “Interest Expense” means, for any Person for any period for which such amount is being determined, the total interest expense (including that properly attributable to Capital Leases in
accordance with GAAP) and all charges incurred with respect to letters of credit determined on a Consolidated basis in conformity with GAAP, plus capitalized interest of such Person and its Subsidiaries. 

“Interest Period” means, for each LIBOR Advance comprising part of the same Borrowing, the period commencing on the date
of such Advance or the date of the Conversion of any Base Rate Advance into such an Advance and ending on the last day of the period selected by the Borrower pursuant to the provisions below and Section 2.02 and, thereafter, each subsequent
period commencing on the last day of the immediately preceding Interest Period and ending on the last day of the period selected by the Borrower pursuant to the provisions below and Section 2.02. The duration of each such Interest Period shall
be one, two, three or six months, or, if approved by all Banks, nine or twelve months (provided, however, that there may be a one-time duration of two weeks for the initial Interest Period), in each case as the Borrower may select,
upon notice received by the Administrative Agent not later than 1:00 P.M. (New York City time) on the third Business Day prior to the first day of such Interest Period, provided, however, that: 

(a) Interest Periods for Advances of the same Borrowing shall be of the same duration; 

(b) whenever the last day of any Interest Period would otherwise occur on a day other than a Business Day, the last day of
such Interest Period shall be extended to occur on the next succeeding Business Day, provided that if such extension would cause the last day of such Interest Period to occur in the next following calendar month, the last day of such Interest
Period shall occur on the next preceding Business Day; 
 (c) any Interest Period which begins on the last
Business Day of a calendar month (or on a day for which there is no numerically corresponding day in the calendar month at the end of such Interest Period) shall end on the last Business Day of the calendar month in which it would have ended if
there were a numerically corresponding day in such calendar month; 
 (d) each successive Interest Period shall
commence on the day on which the next preceding Interest Period expires; and 
 (e) no Interest Period with
respect to any portion of any Advance shall extend beyond the Maturity Date. 
 “Interest Rate Agreements”
means any interest rate swap agreement, interest rate cap agreement, interest rate collar agreement or other similar agreement or arrangement designed to protect the Borrower, the Parent or any of their respective Subsidiaries against fluctuations
in interest rates. 

  
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 “Investment” means, with respect to any Person, (a) any loan or
advance to any other Person, (b) the ownership, purchase or other acquisition of, any Stock, Stock Equivalents, other equity interest, obligations or other securities of, (i) any other Person, or (ii) all or substantially all of the
assets of any other Person, or (iii) all or substantially all of the assets constituting the business of a division, branch or other unit operation of any other Person, or (c) any joint venture or partnership with, or any capital
contribution to, or other investment in, any other Person or any real property. 
 “Investment Amount” means
(a) for any Hotel Property the sum of (i) for any Existing Property, the amount set forth for such Existing Property on Schedule 1.01(b) attached hereto, and for any other Hotel Property, the aggregate purchase price paid by the
Borrower or its Subsidiary for such other Hotel Property (giving effect to any securities used to purchase a Hotel Property at the fair market value of the securities at the time of purchase based upon the price at which such securities could be
exchanged into the Parent’s common stock assuming such exchange occurred on the date of acquiring the Hotel Property), and (ii) 95% of (A) the actual cost of any Capital Expenditures or FF&E expenditures for such Hotel Property
made by the Borrower or its Subsidiaries during any period minus (B) the FF&E Reserve for such Hotel Property, and (b) for any other Investment the aggregate purchase price paid by the Borrower or its Subsidiary for such other
Investment (giving effect to any securities used to purchase such Investment at the fair market value of the securities at the time of purchase based upon the price at which such securities could be exchanged into the Parent’s common stock
assuming such exchange occurred on the date of acquiring such Investment). 
 “Issuing Bank” means (a) the
Existing Issuing Bank, (b) Citibank, N.A., (c) any Bank approved by the Administrative Agent and the Borrower as an “Issuing Bank” or (d) any Bank acting as a successor issuing bank pursuant to Section 10.06, and
“Issuing Banks” means, collectively, all of such Banks. 
 “Joint Venture Guarantor” means a direct
or indirect Wholly-Owned Subsidiary of the Borrower that (a) has no assets other than its equity interests in Joint Venture Subsidiaries whose sole assets are Unencumbered Properties, (b) is not liable for any Indebtedness other than the
Obligations, (c) complies in all material respects with all of the covenants and requirements of the Guarantors under the Credit Documents and (d) has delivered to the Administrative Agent either (A) an original Guaranty and
Environmental Indemnity Agreement executed by it or (B) an Accession Agreement executed by it. 
 “Joint Venture
Subsidiary” means any Subsidiary in which the Parent or any of its Subsidiaries (a) holds a majority of equity interests and (b) after giving effect to all buy/sell provisions contained in the applicable constituent documents of
such Subsidiary, controls all material decisions of such Subsidiary, including without limitation the financing, refinancing and disposition of the assets of such Subsidiary. 
 “Land” for any hotel means the real property upon which the hotel is located, together with all rights, title and interests appurtenant to such real property, including without limitation
all rights, title and interests to (a) all strips and gores within or adjoining such property, (b) the streets, roads, sidewalks, alleys, and ways adjacent thereto, (c) all of the tenements, hereditaments, easements, reciprocal
easement agreements, rights-of-way and other rights, privileges and appurtenances thereunto belonging or in any way pertaining thereto, (d) all reversions and remainders, (e) all air space rights, and all water, sewer and wastewater
rights, (f) all mineral, oil, gas, hydrocarbon substances and other rights to produce or share in the production of anything related to such property, and (g) all other appurtenances appurtenant to such property, including without
limitation, any now or hereafter belonging or in anywise appertaining thereto. 
 “LaSalle Leasing” means
LaSalle Hotel Lessee, Inc. 

  
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 “Legal Requirement” means any law, statute, ordinance, decree, requirement,
order, judgment, rule, regulation (or official interpretation of any of the foregoing) of, and the terms of any license or permit issued by, any Governmental Authority. 
 “Lender Insolvency Event” means that (i) the Bank or its Parent Company is insolvent, or is generally unable to pay its debts as they become due, or admits in writing its inability
to pay its debts as they become due, or makes a general assignment for the benefit of its creditors, or (ii) such Bank or its Parent Company is the subject of a bankruptcy, insolvency, reorganization, liquidation or similar proceeding, or a
receiver, trustee, conservator, intervenor or sequestrator or the like has been appointed for such Bank or its Parent Company, or such Bank or its Parent Company has taken any action in furtherance of or indicating its consent to or acquiescence in
any such proceeding or appointment. 
 “Letter of Credit” means, individually, (a) any Existing Letter of
Credit and (b) any letter of credit issued by an Issuing Bank in accordance with the provisions of Section 2.13 of this Agreement, and “Letters of Credit” means all such letters of credit collectively. 

“Letter of Credit Documents” means, with respect to any Letter of Credit, such Letter of Credit and any reimbursement or
other agreements, documents, and instruments entered into in connection with or relating to such Letter of Credit. 

“Letter of Credit Exposure” means, at any time, the sum of (a) the aggregate undrawn maximum face amount of each
Letter of Credit and (b) the aggregate unpaid amount of all Letter of Credit Obligations at such time. 
 “Letter
of Credit Obligations” means all obligations of the Borrower arising in respect of the Letter of Credit Documents, including without limitation the aggregate drawn amounts of Letters of Credit which have not been reimbursed by the Borrower
or converted into a Base Rate Advance pursuant to the provisions of Section 2.13(c). 
 “Leverage Ratio”
means the percentage obtained by dividing (a) the Parent’s Total Liabilities by (b) the Adjusted Corporate EBITDA. 
 “LHL Facility” means that certain unsecured credit facility entered into by LaSalle Hotel Lessee, Inc., as borrower, and U.S. Bank National Association, as lender, pursuant to that
certain Second Amended and Restated Revolving Credit Note, dated contemporaneously herewith, from LaSalle Hotel Lessee, Inc. to U.S. Bank National Association, in the maximum principal amount of $25,000,000, as the same may be extended or amended to
the extent permitted by Section 6.02. 
 “LIBOR” means, for the Interest Period for each LIBOR Advance
comprising part of the same Borrowing, an interest rate per annum equal to (A) the rate per annum (rounded upwards, if necessary, to the nearest 1/100 of 1%) determined by the Administrative Agent to be the offered rate that appears on the
Reuters Screen LIBOR01 Page (or any successor thereto) as the British Bankers Association London interbank offered rate for deposits in Dollars (for delivery on the first day of such Interest Period) with a term equivalent to such Interest Period,
determined as of approximately 11:00 A.M. (London time) two (2) Business Days prior to the first day of such Interest Period, provided that, if such rate is not available for any reason, the rate for this clause (A) shall be the
rate per annum (rounded upwards, if necessary, to the nearest 1/100 of 1%) at which deposits in Dollars are offered by the Administrative Agent to leading banks and accepted by leading banks in the London interbank eurodollar market at
approximately 11:00 A.M. (London time) two (2) Business Days before the first day of such Interest Period, in an amount substantially equal to the Administrative Agent’s LIBOR Advance comprising part of such Borrowing and for a period
equal to such Interest Period divided by (B) one minus the LIBOR Reserve Requirement. It is agreed that for purposes of this definition, LIBOR Advances made hereunder shall be deemed to constitute Eurocurrency Liabilities as defined in
Regulation D and to be subject to the reserve requirements of Regulation D. 

  
 -13-

 “LIBOR Advance” means any Advance which bears interest as provided in
Section 2.06(b). 
 “LIBOR Lending Office” means, with respect to any Bank, the office of such Bank
specified as its “Operations Contact” in the questionnaire such Bank provided to the Administrative Agent, or such other office of such Bank as such Bank may from time to time specify to the Borrower and the Administrative Agent.

 “LIBOR Reserve Requirement” shall mean, on any day, that percentage (expressed as a decimal fraction) which
is in effect on such date, as provided by the Board of Governors of the Federal Reserve System (or any successor) for determining the maximum reserve requirement (including, without limitation, any emergency, supplemental or other marginal reserve
requirement) for a member bank of the Federal Reserve System in New York City with respect to liabilities or assets consisting of or including “Eurocurrency liabilities” as currently defined as Regulation D (or with respect to
any other category of liabilities that includes deposits by reference to which the interest rate LIBOR Rate Advances is determined) having a term equal to such Interest Period. Each determination by the Administrative Agent of the LIBOR Reserve
Requirement, shall, in the absence of manifest error, be conclusive and binding upon the Borrower. 
 “Lien”
means any mortgage, lien, pledge, charge, deed of trust, security interest, encumbrance or other type of preferential arrangement to secure or provide for the payment of any obligation of any Person, whether arising by contract, operation of law or
otherwise (including, without limitation, the interest of a vendor or lessor under any conditional sale agreement, Capital Lease or other title retention agreement). 
 “Liquid Investments” means cash and the following: 

(a) direct obligations of, or obligations the principal of and interest on which are unconditionally guaranteed by, the
United States; 
 (b) (i) negotiable or nonnegotiable certificates of deposit, time deposits, or other
similar banking arrangements maturing within 180 days from the date of acquisition thereof (“bank debt securities”), issued by (A) any Bank or (B) any other bank or trust company which has a combined capital surplus and undivided
profit of not less than $250,000,000, if at the time of deposit or purchase, such bank debt securities are rated not less than “A” (or the then equivalent) by the rating service of S&P or of Moody’s, and (ii) commercial paper
issued by (A) any Bank or (B) any other Person if at the time of purchase such commercial paper is rated not less than “A-2” (or the then equivalent) by the rating service of S&P or not less than “P-2” (or the then
equivalent) by the rating service of Moody’s, or upon the discontinuance of both of such services, such other nationally recognized rating service or services, as the case may be, as shall be selected by the Borrower with the consent of the
Administrative Agent; 
 (c) repurchase agreements relating to investments described in clauses (a) and
(b) above with a market value at least equal to the consideration paid in connection therewith, with any Person who regularly engages in the business of entering into repurchase agreements and has a combined capital surplus and undivided profit
of not less than $250,000,000, if at the time of entering into such agreement the debt securities of such Person are rated not less than “A” (or the then equivalent) by the rating service of S&P or of Moody’s; and 

  
 -14-

 (d) such other instruments (within the meaning of New York’s Uniform
Commercial Code) as the Borrower may request and the Administrative Agent may approve in writing, which approval will not be unreasonably withheld. 
 “Material Adverse Change” shall mean a material adverse change in the business, financial condition, or results of operations of the Borrower, the Parent or the Borrower, the Parent and
the other Guarantors taken as a whole, in each case since the date of the most recent financial statements of the Borrower or the Parent delivered to the Banks. 
 “Material Subsidiary” means any Subsidiary which owns assets that have an aggregate undepreciated book value greater than $10,000,000. 

“Maturity Date” means January 30, 2016; as such date may be extended pursuant to the provisions of
Section 1.07. 
 “Maximum Rate” means the maximum nonusurious interest rate under applicable law.

 “Minimum Tangible Net Worth” means, with respect to the Parent, at any time, the sum of
(a) $1,333,261,000 plus (b) 75% of the aggregate net proceeds received by the Parent or any of its Subsidiaries after September 30, 2011 in connection with any offering of Stock or Stock Equivalents of the Parent or its
Subsidiaries; provided however, that any such net proceeds used solely for the purpose of redeeming the Parent’s preferred stock shall not be included in such sum. 
 “Moody’s” means Moody’s Investor Service Inc. 

“Multiemployer Plan” means a “multiemployer plan” as defined in Section 4001(a)(3) of ERISA to which the
Parent, the Borrower or any member of a Controlled Group is making or accruing an obligation to make contributions. 

“Net Income” means, for any period for which such amount is being determined, the net income of the Parent (on a
consolidated basis) after taxes, as determined in accordance with GAAP, excluding, however, those items that the Administrative Agent determines are extraordinary items, including but not limited to (i) any net gain or loss during such period
arising from the sale, exchange, or other disposition of capital assets (such term to include all fixed assets and all securities) other than in the ordinary course of business, (ii) any write-up or write-down of assets and (iii) expenses
incurred in connection with hotel conversions prior to the opening of any such converted hotels. 
 “Net Worth”
means, for any Person, stockholders equity of such Person determined in accordance with GAAP. 
 “New Property”
means, as at any date, any Hotel Property that has been owned for less than four (4) Fiscal Quarters, by the Parent or by a Person that has been a Subsidiary of the Parent during such entire period. 

“New York Mortgage” means any consolidated, amended and restated mortgage by and from a Subsidiary that owns a New York
Property to the Administrative Agent, in substantially the form of Exhibit H hereto. 
 “New York Property” has
the meaning set forth in Section 9.01. 

  
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 “New York Term Note” means any consolidated, amended and restated
promissory note made by a Subsidiary that owns a New York Property and payable to the order of the Administrative Agent and with respect to which the Borrower shall be deemed to be a co-obligor with such Subsidiary, in substantially the form of
Exhibit I hereto. 
 “Non-Core Hotel Property” means a Hotel Property which is either (a) a full service
hotel located in a secondary market or (b) a limited service hotel located in a non-urban market. 

“Non-Defaulting Lender” means, at any time, a Bank that is not a Defaulting Lender or a Potential Defaulting Lender.

 “Note” means a promissory note of the Borrower payable to the order of any Bank, in substantially the form
of the attached Exhibit A, evidencing indebtedness of the Borrower to such Bank resulting from Advances owing to such Bank, and “Notes” means all of such promissory notes. 

“Notice of Borrowing” means a notice of borrowing in the form of the attached Exhibit F signed by a Responsible
Officer of the Borrower. 
 “Notice of Conversion or Continuation” means a notice of conversion or continuation
in the form of the attached Exhibit G signed by a Responsible Officer of the Borrower. 
 “Obligations”
means all Advances, Letter of Credit Obligations, and other amounts payable by the Borrower to the Administrative Agent or the Banks under the Credit Documents. 
 “Operating Lease” means any operating lease of an Unencumbered Property between the applicable Subsidiary that owns such Unencumbered Property (whether in fee simple or subject to a
Qualifying Ground Lease) and the applicable Operating Lessee that leases such Unencumbered Property, as each may be amended, restated, supplemented or otherwise modified from time to time. 

“Operating Lessee” means a lessee of an Unencumbered Property pursuant to an Operating Lease. 

“Parent” means LaSalle Hotel Properties, a Maryland trust. 

“Parent Common Stock” means the common shares of beneficial interest of Parent, par value $.01 per share. 

“Parent Company” means, with respect to a Bank, the bank holding company (as defined in Federal Reserve Board Regulation
Y), if any, of such Bank, and/or any Person owning, beneficially or of record, directly or indirectly, a majority of the shares of such Bank. 
 “Parent Hotel Properties” means all Hotel Properties owned or leased by the Parent or one of the Parent’s Subsidiaries, including without limitation Unencumbered Properties.

 “Parent’s Interest Expense” means, for the period for which such amount is being determined, the
Interest Expense for the Parent and the Parent’s Subsidiaries on a Consolidated basis. 
 “Park Central
Asset” means the Hotel Property located at 870 Seventh Avenue, New York, New York and commonly known as the Park Central Hotel. 
 “Participant Register” has the meaning set forth in Section 11.06(e). 

  
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 “Patriot Act” has the meaning set forth in Section 3.01(a)(ix).

 “PBGC” means the Pension Benefit Guaranty Corporation or any entity succeeding to any or all of its
functions under ERISA. 
 “Permitted Encumbrances” means the Liens permitted to exist pursuant to
Section 6.01. 
 “Permitted Hazardous Substances” means (a) Hazardous Substances, petroleum and
petroleum products which are (i) used in the ordinary course of business and in typical quantities for a hotel and (ii) generated, used and disposed of in accordance with all Legal Requirements and good hotel industry practice and
(b) non-friable asbestos to the extent (i) that no applicable Legal Requirements require removal of such asbestos from the Hotel Property and (ii) such asbestos is encapsulated in accordance with all applicable Legal Requirements and
such reasonable operations and maintenance program as may be required by the Administrative Agent. 
 “Permitted Hotel
Sale” means the Asset Disposition of all or a portion of (a) a Hotel Property or (b) the ownership interest in a Subsidiary of the Borrower which owns a Hotel Property, in either case with respect to which no Default has occurred
and is continuing or would occur upon the consummation of such Asset Disposition. 
 “Permitted Non-Unencumbered
Property” means any Hotel Property or other Property (a) which is not an Unencumbered Property; (b) which is owned by a Permitted Other Subsidiary; and (c) which neither is subject to any Environmental Claim, nor contains any
Hazardous Substance which could reasonably be expected to cause a Material Adverse Change. 
 “Permitted Other
Subsidiaries” means a Wholly-Owned Subsidiary or a Joint Venture Subsidiary of the Borrower which (a) does not own any Unencumbered Property, and (b) is a bankruptcy remote, single purpose Person. 

“Person” means an individual, partnership, corporation (including a business trust), joint stock company, trust,
unincorporated association, limited liability company, joint venture or other entity, or a government or any political subdivision or agency thereof or any trustee, receiver, custodian or similar official. 

“Personal Property” for any Hotel Property means all FF&E, inventory and other personal property of every kind,
whether now existing or hereafter acquired, tangible and intangible, now or hereafter located on or about the Land, and used or to be used in the future in connection with the operation of such Hotel Property. 

“Plan” means an employee benefit plan (other than a Multiemployer Plan) maintained for employees of the Parent, the
Borrower or any member of a Controlled Group and covered by Title IV of ERISA or subject to the minimum funding standards under Section 412 of the Code. 
 “Potential Defaulting Lender” means, at any time, (i) any Bank with respect to which an event of the kind referred to in the definition of “Lender Insolvency Event” has
occurred and is continuing in respect of any Subsidiary of such Bank, (ii) any Bank that has notified, or whose Parent Company or a Subsidiary thereof has notified, the Administrative Agent, the Borrower or the Issuing Banks in writing, or has
stated publicly, that it does not intend to comply with its funding obligations under any other loan agreement or credit agreement or other similar agreement, unless such writing or statement states that such position is based on such Bank’s
determination that one or more conditions precedent to funding cannot be satisfied (which conditions precedent, together with the applicable default, if any, will be 

  
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specifically identified in such writing or public statement), or (iii) any Bank that has, or whose Parent Company has, a non-investment grade rating from Moody’s or S&P or another
nationally recognized rating agency. Any determination by the Administrative Agent that a Bank is a Potential Defaulting Lender under any of clauses (i) through (iii) above will be conclusive and binding absent manifest error, and such
Bank will be deemed a Potential Defaulting Lender (subject to Section 2.16(f)) upon notification of such determination by the Administrative Agent to the Borrower, the Issuing Banks and the Banks. 

“Prescribed Forms” means such duly executed form(s) or statement(s), and in such number of copies, which may, from time
to time, be prescribed by law and which, pursuant to applicable provisions of (a) an income tax treaty between the United States and the country of residence of the Bank providing the form(s) or statement(s), (b) the Code, or (c) any
applicable rule or regulation under the Code, permit the Borrower to make payments hereunder for the account of such Bank free of deduction or withholding of income or similar taxes (except for any deduction or withholding of income or similar taxes
as a result of any change in or in the interpretation of any such treaty, the Code or any such rule or regulation). 

“Property” of any Person means any property or assets (whether real, personal, or mixed, tangible or intangible) of such
Person. 
 “Property Owner” for any Existing Property or Future Property, means the Person who owns fee or
leasehold title interest (as applicable) in and to such Property. 
 “Pro Rata Share” means, at any time with
respect to any Bank, either (a) the ratio (expressed as a percentage) of such Bank’s Commitment at such time to the aggregate Commitments at such time or (b) if the Commitments have been terminated, the ratio (expressed as a
percentage) of such Bank’s aggregate outstanding Advances and participation interest in the Letter of Credit Exposure at such time to the aggregate outstanding Advances and Letter of Credit Exposure of all the Banks at such time. 

“Qualified Ground Lease” means each of the ground leases or ground subleases set forth on Schedule 1.01(d) hereto and
for a Future Property means any ground lease (a) which is a direct ground lease or ground sublease granted by the fee owner of real property or a master ground lessee from such fee owner, (b) which may be transferred and/or assigned
without the consent of the lessor (or as to which the lease expressly provides that (i) such lease may be transferred and/or assigned with the consent of the lessor and (ii) such consent shall not be unreasonably withheld or
delayed) or subject to certain reasonable pre-defined requirements, (c) which has a remaining term (including any renewal terms exercisable at the sole option of the lessee) of at least twenty (20) years, (d) under which no
material default has occurred and is continuing, (e) with respect to which a Lien may be granted without the consent of the lessor (but subject to customary requirements regarding the nature of the holder of such Lien and prior notice to the
lessor), (f) which contains customary and reasonable lender protection provisions, including, without limitation, provisions to the effect that (i) the lessor shall notify any holder of a Lien in such lease of the occurrence of any default
by the lessee under such lease and shall afford such holder the option to cure such default, and (ii) in the event that such lease is terminated, such holder shall have the option to enter into a new lease having terms substantially identical
to those contained in the terminated lease and (g) which otherwise contains no non-customary terms that are material and adverse to the lessee. 
 “Qualified Intermediary” shall have the meaning set forth in the definition of the term Unencumbered Property. 
 “Real Property” for any hotel means the Land and the Improvements for such hotel, including without limitation, any retail or office space incorporated in the Improvements or located on
the Land, parking rights and any and all real property rights to other ancillary functions necessary or desirable for the operation of such hotel. 

  
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 “Refinancing Debt” has the meaning set forth in Section 6.02(e).

 “Register” has the meaning set forth in paragraph (c) of Section 11.06. 

“REIT” means a real estate investment trust under Sections 856-860 of the Code. 

“Release” shall have the meaning set forth in CERCLA or under any other Environmental Law. 

“Reportable Event” means any of the events set forth in Section 4043(b) of ERISA. 

“Required Lenders” means, at any time, Banks holding at least 51% of the then aggregate unpaid principal amount of the
Notes and the Letter of Credit Exposure of the Banks at such time, or, if no such principal amount of the Notes and Letter of Credit Exposure is then outstanding, Banks having at least 51% of the aggregate amount of the Commitments at such time.

 “Response” shall have the meaning set forth in CERCLA or under any other Environmental Law. 

“Responsible Officer” means the Chief Executive Officer, President, Executive Vice President, Chief Operating Officer,
Chief Financial Officer, or Treasurer of any Person. 
 “Restricted Payment” means (a) any direct or
indirect payment, prepayment, redemption, purchase, or deposit of funds or Property for the payment (including any sinking fund or defeasance), prepayment, redemption or purchase of Indebtedness not permitted by this Agreement, and (b) 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 dividends or distributions payable in such Person’s stock, limited liability company interests or any partnership interests. 

“Rolling Period” means, as of any date, the four Fiscal Quarters ending on or immediately preceding such date.

 “S&P” means Standard & Poor’s Ratings Services, a division of The McGraw-Hill Companies,
Inc., or any successor thereof. 
 “Secured Indebtedness” means all Secured Recourse Indebtedness plus all
Secured Non-Recourse Indebtedness of the Parent and the Parent’s subsidiaries determined on a Consolidated basis in accordance with GAAP; provided, however, that Secured Indebtedness shall exclude, to the extent provided in
Section 9.01(b), the Indebtedness evidenced by any New York Term Note. 
 “Secured Non-Recourse
Indebtedness” of any Person means all Indebtedness of such Person with respect to which recourse for payment is limited to specific assets encumbered by a Lien securing such Indebtedness; provided, however, that personal
recourse of a holder of Indebtedness against any obligor with respect thereto for fraud, misrepresentation, misapplication of cash, non-payment of real estate taxes or ground lease rent, waste, non-permitted transfers or liens, bankruptcy, violation
of special purpose covenants and other circumstances customarily excluded from non-recourse provisions in non-recourse financing of real estate shall not, by itself, prevent any Indebtedness from being characterized as Secured Non-Recourse
Indebtedness, provided further that if a personal recourse claim is made in connection therewith, such claim shall not constitute Secured Non-Recourse Indebtedness for the purposes of this Agreement. 

  
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 “Secured Recourse Indebtedness” of any Person means any Total Liabilities
(excluding any Secured Non-Recourse Indebtedness) of such Person for which the obligations thereunder are secured by a Lien on any assets of such Person or its Subsidiaries. 
 “Status” means the existence of Level I Status, Level II Status, Level III Status, or Level IV Status as the case may be. As used in this definition: 

“Level I Status” exists at any date if, at such date, the Leverage Ratio is less than or equal to 4.00 to
1.00; 
 “Level II Status” exists at any date if, at such date, the Leverage Ratio is greater
than 4.00 to 1.00 but less than or equal to 4.75 to 1.00; 
 “Level III Status” exists at any
date if, at such date, the Leverage Ratio is greater than 4.75 to 1.00 but less than or equal to 5.00 to 1.00; and 
 “Level IV Status” exists at any date if, at such date, the Leverage Ratio is greater than 5.00 to 1.00. 
 Status shall be determined and changed as of the 45th day following any Fiscal Quarter; provided, that until the 45th day following the Fiscal Quarter first ending after the Closing Date, the
Status shall be determined with reference to the Compliance Certificate delivered in connection with the initial Borrowing hereunder. The Leverage Ratio shall be based upon the components of the calculation of the Leverage Ratio for the Rolling
Period just ended or as of the end of such Rolling Period, as applicable. 
 “Stock” means shares of capital
stock, beneficial or partnership interests, participations or other equivalents (regardless of how designated) of or in a corporation or equivalent entity, whether voting or non-voting, and includes, without limitation, common stock and preferred
stock. 
 “Stock Equivalents” means all securities (other than Stock) convertible into or exchangeable for
Stock and all warrants, options or other rights to purchase or subscribe for any stock, whether or not presently convertible, exchangeable or exercisable. 
 “Subsidiary” of a Person means any corporation, association, partnership or other business entity of which more than 50% of the outstanding shares of capital stock (or other equivalent
interests) having by the terms thereof ordinary voting power under ordinary circumstances to elect a majority of the board of directors or Persons performing similar functions (or, if there are no such directors or Persons, having general voting
power) of such entity (irrespective of whether at the time capital stock (or other equivalent interests) of any other class or classes of such entity shall or might have voting power upon the occurrence of any contingency) is at the time directly or
indirectly owned or controlled by such Person, by such Person and one or more Subsidiaries of such Person or by one or more Subsidiaries of such Person. 
 “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 the Parent, the 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. 

  
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 “Total Commitments” means the aggregate amount of the Banks’
Commitments which shall initially be Seven Hundred Fifty Million Dollars ($750,000,000); as such amount may be increased pursuant to the provisions of Section 1.06 or decreased pursuant to the provisions of Section 2.04 or other applicable
provisions of this Agreement. 
 “Total Liabilities” of any Person means the sum of the following (without
duplication): (a) all Indebtedness of such Person and its Subsidiaries determined on a Consolidated basis in conformity with GAAP, plus (b) such Person’s Unconsolidated Entity Percentage of Indebtedness (including Secured
Non-Recourse Indebtedness) of such Person’s Unconsolidated Entities, plus (c) to the extent not already included in the calculation of either of the preceding clauses (a) or (b), the aggregate amount of letters of credit
for which such Person or any of its Subsidiaries would have a direct or contingent obligation to reimburse the issuers of such letters of credit upon a drawing under such letters of credit, minus (d) to the extent included in the
calculation of any of the preceding clauses (a), (b) or (c), (i) trade payables and accruals incurred in the ordinary course of business, (ii) the amount of any minority interests and (iii) Capital Lease Obligations for a
ground lease for any Hotel Property, minus (e), with respect to the Parent, the sum of (i) the Parent’s cash proceeds from (x) any sale or issuance of equity securities of the Parent or Indebtedness of the Parent,
provided that such sale or issuance occurred within the 60 days proceeding the date such Total Liabilities are determined and (y) any “like-kind exchange” under Section 1031 of the Code, provided that such
“like-kind exchange” proceeds shall be held in escrow in accordance with the requirements of such Section 1031, (ii) Indebtedness that has been defeased in accordance with the loan documents for such Indebtedness and for which
the Borrower certifies as to such defeasance in a manner reasonably satisfactory to the Administrative Agent and (iii) cash on hand of the Parent and its Subsidiaries in an amount not to exceed 0.50% of Consolidated Total Book Value,
provided that such cash is not subject to any Lien or other encumbrance or restriction of any kind. 
 “Total
Unencumbered Asset Value” means, at any date of determination, an amount equal to the sum of (i) the Asset Values of all Unencumbered Properties (which shall include, to the extent provided in Section 9.01(a), any New York
Property) on such date plus (ii) Liquid Investments of the Parent on a Consolidated basis on such date that are not subject to any Liens of any kind (including any such Lien or restriction imposed by (A) any agreement governing
Indebtedness and (B) the organizational documents of the Parent or any of its Subsidiaries) and, in each case, that (a) are not subject to any agreement (including (x) any agreement governing Indebtedness and (y) if
applicable, the organizational documents of the Parent or any of its Subsidiaries) which prohibits or limits the ability of the Parent or any of its Subsidiaries to create, incur, assume or suffer to exist any Lien upon such assets (excluding any
agreement or organizational document which limits generally the amount of Indebtedness which may be incurred by the Parent or its Subsidiaries), and (b) are is not subject to any agreement (including any agreement governing
Indebtedness) which entitles any Person to the benefit of any Lien on such assets, or would entitle any Person to the benefit of any such Lien upon the occurrence of any contingency (including, without limitation, pursuant to an “equal and
ratable” clause), but excluding any agreement that conditions the ability of the Parent or its Subsidiaries to encumber their assets upon the maintenance of one or more specified ratios that limit the ability of such Persons to encumber
their assets but that do not generally prohibit the encumbrance of assets, or the encumbrance of specific assets); provided that, for purposes of calculating this amount, (1) Unencumbered Properties owned or leased by Joint Venture
Subsidiaries may not exceed 25% of the Total Unencumbered Asset Value, and (2) Non-Core Hotel Properties may not comprise more than 10% of Total Unencumbered Asset Value. 
 “Type” has the meaning set forth in Section 1.04. 

“Unconsolidated Entity” means, with respect to any Person, at any date, any other Person in whom such Person holds an
Investment, which Investment is accounted for in the financial statements of such Person on an equity basis of accounting or as a loan or advance to the other Person, and whose 

  
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financial results would not be consolidated under GAAP with the financial results of such Person on the consolidated financial statements of such Person, if such statements were prepared as of
such date. Any Person that is an Unconsolidated Entity with respect to another Person shall not be deemed to be a Subsidiary of such Person. 
 “Unconsolidated Entity Percentage” means, for any Person, with respect to a Person’s Unconsolidated Entity, the percentage ownership interest of such Person in such Unconsolidated
Entity; provided that, in the event that such Person is the general partner of such Unconsolidated Entity, such Person’s Unconsolidated Entity Percentage with respect to such Unconsolidated Entity shall be 100% with respect to any
Indebtedness for which recourse may be made against any general partner of such Unconsolidated Entity (provided that such Indebtedness shall not be deemed to be recourse to such general partner solely because of customary carveouts to
non-recourse Indebtedness as described in the definition of “Secured Non-Recourse Indebtedness”); provided further that when the Investment in an Unconsolidated Entity is in the form of preferred stock or a loan or advance, the
Unconsolidated Entity Percentage shall be a percentage equal to (a) the amount of such Investment divided by (b) the aggregate amount of the Investments by all Persons in the Unconsolidated Entity. 

“Unencumbered” means, with respect to any Hotel Property, at any date of determination, the circumstance that such Hotel
Property on such date: 
 (a) is not subject to any Liens (including restrictions on transferability or
assignability) of any kind (including any such Lien or restriction imposed by (i) any agreement governing Indebtedness, and (ii) the organizational documents of the Borrower or any of its Subsidiaries, but excluding Permitted Encumbrances
and, in the case of any Qualified Ground Lease (to the extent permitted by the definition thereof), restrictions on transferability or assignability in respect of such Qualified Ground Lease); 

(b) is not subject to any agreement (including (i) any agreement governing Indebtedness, and (ii) if applicable,
the organizational documents of the Borrower or any of its Subsidiaries) which prohibits or limits the ability of the Borrower or any of its Subsidiaries to create, incur, assume or suffer to exist any Lien upon such Hotel Property, other than
Permitted Encumbrances (excluding any agreement or organizational document which limits generally the amount of Indebtedness which may be incurred by the Borrower or its Subsidiaries); and 

(c) is not subject to any agreement (including any agreement governing Indebtedness) which entitles any Person to the
benefit of any Lien (other than Permitted Encumbrances) on such Hotel Property, or would entitle any Person to the benefit of any such Lien upon the occurrence of any contingency (including, without limitation, pursuant to an “equal and
ratable” clause). 
 For the purposes of this Agreement, any Hotel Property owned by a Subsidiary of the Borrower shall not be deemed to be
Unencumbered unless both (i) such Hotel Property and (ii) all Stock owned directly or indirectly by Borrower in such Subsidiary is Unencumbered. 
 “Unencumbered Property” means, as of any date it is to be determined, each Hotel Property that is owned or leased by the Borrower or any Guarantor, and that satisfies each of the
following conditions: 
 (a) such Hotel Property (i) is Unencumbered, (ii) free of all material title
defects, and (iii) either (A) owned (together with the land on which it is located) in fee simple by the Borrower or its direct or indirect Wholly-Owned Subsidiary or Joint Venture Subsidiary, (B) owned by the Borrower or
its direct or indirect Wholly-Owned Subsidiary or Joint Venture 

  
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Subsidiary and located on land leased to the Borrower or such Subsidiary pursuant to a Qualified Ground Lease, or (C) owned (together with the land on which it is located ) in fee simple by
a qualified intermediary within the meaning of Internal Revenue Service Regulation 1.1031(k)-1(g)(4) that is acting for the benefit of the Borrower or its direct or indirect Wholly-Owned Subsidiary or Joint Venture Subsidiary (each such entity,
a “Qualified Intermediary”), all as evidenced by a copy of the most recent ALTA Owner’s Policy of Title Insurance (or commitment to issue such a policy to the Borrower or its Subsidiary owning or to own such Hotel Property)
relating to such Hotel Property showing the identity of the fee titleholder thereto and all matters of record as of its date and, if such Hotel Property is owned by a Qualified Intermediary, documents establishing that the Qualified Intermediary
acts at the direction of the Borrower or its direct or indirect Wholly-Owned Subsidiary or Joint Venture Subsidiary; 
 (b) If the Property Owner for such Hotel Property is not the Borrower, the Property Owner shall be (i) either a Wholly-Owned Subsidiary or a Joint Venture Subsidiary of the Borrower whose sole assets
are Unencumbered Properties, who is not liable for any Indebtedness other than the Obligations, who complies in all material respects with all of the covenants and requirements of Guarantors under the Credit Documents and who has delivered to the
Administrative Agent either (A) an original Guaranty and Environmental Indemnity executed by such Subsidiary or (B) an Accession Agreement executed by such Subsidiary, (ii) a Qualified Intermediary, as defined in clause
(a) above, whose sole assets are Unencumbered Properties, who is not liable for any Indebtedness, and whose sole beneficiary is either the Borrower or a Wholly-Owned Subsidiary or Joint Venture Subsidiary of the Borrower that complies in all
material respects with all of the covenants and requirements of Guarantors under the Credit Documents and has delivered to the Administrative Agent either (A) an original Guaranty and Environmental Indemnity executed by such Subsidiary or
(B) an Accession Agreement executed by such Subsidiary, or (iii) a Joint Venture Subsidiary that has more than 50% of its outstanding equity interests owned by a Joint Venture Guarantor or the Borrower. 

(c) if such Hotel Property is subject to a Qualified Ground Lease, no default by the lessee under the Qualified Ground
Lease exists and the Qualified Ground Lease remains in full force and effect; 
 (d) such Hotel Property is free
of all material structural defects; 
 (e) such Hotel Property is (i) in compliance, in all material
respects, with all applicable Environmental Laws, and (ii) not subject to any material Environmental Claim; 

(f) neither all nor any material portion of such Hotel Property shall be the subject of any proceeding by a governmental
authority for the condemnation, seizure or appropriation thereof, nor the subject of any negotiations for sale in lieu of condemnation, seizure or appropriation; 

(g) such Hotel Property is (i) located in either the United States of America or in an Approved Other Country and
(ii) either (A) a full service hotel located in a resort, convention or urban market, (B) a limited service hotel located in an urban market, or (C) a Non-Core Hotel Property; and 

(h) the Borrower shall have executed and acknowledged (or caused to be executed and acknowledged) and delivered to the
Administrative Agent, on behalf of the Banks, all documents, and taken all actions reasonably required by the Administrative Agent from time to time to confirm the rights created or now or hereafter intended to be created under the Credit

  
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Documents, or otherwise to carry out the purposes of the Credit Documents, and the transactions contemplated thereunder, the Administrative Agent shall have received all other evidence and
information that it may reasonably require. 
 “Unsecured Indebtedness” of any Person means the Total
Liabilities of such Person, plus, with respect to the Parent, to the extent deducted in determining Total Liabilities, those items included in clause (e) of the definition of Total Liabilities, minus all Secured Indebtedness of
such Person. 
 “Unused Commitment” means, with respect to any Bank at any time, such Bank’s Commitment at
such time minus such Bank’s Pro Rata Share of the total Letter of Credit Exposure minus the aggregate principal amount of all Advances made by such Bank and outstanding at such time. 

“Unused Fee” has the meaning specified in Section 2.03(a). 

“Wholly-Owned Subsidiary” of a Person means any Subsidiary for which such Person’s ownership interest is 99% or
more. 
 Section 1.02 Computation of Time Periods. In this Agreement in the computation of periods of time from a
specified date to a later specified date, the word “from” means “from and including” and the words “to” and “until” each means “to but excluding”. 

Section 1.03 Accounting Terms; Changes in GAAP. (a) All accounting terms not specifically defined in this Agreement shall be
construed in accordance with GAAP applied on a consistent basis. 
 (b) Unless otherwise indicated, all financial statements of
the Borrower and the Parent, all calculations for compliance with covenants in this Agreement, and all calculations of any amounts to be calculated under the definitions in Section 1.01 shall be based upon the Consolidated accounts of the
Borrower, the Parent and their respective Subsidiaries (as applicable) in accordance with GAAP. 
 (c) If any changes in
accounting principles after the Closing Date required by GAAP or the Financial Accounting Standards Board of the American Institute of Certified Public Accountants or similar agencies results in a change in the method of calculation of, or affects
the results of such calculation of, any of the financial covenants, standards or terms found in this Agreement, then the parties shall enter into and diligently pursue negotiations in order to amend such financial covenants, standards or terms so as
to equitably reflect such change, with the desired result that the criteria for evaluating the financial condition of Borrower and its Subsidiaries (determined on a Consolidated basis) shall be the same after such change as if such change had not
been made. Until covenants, standards, or terms of this Agreement are amended in accordance with this Section 1.3(c), such covenants, standards and terms shall be computed and determined in accordance with accounting principles in effect prior
to such change in accounting principles. 
 (d) Notwithstanding any other provision contained herein, all terms of an accounting
or financial nature used herein shall be construed, and all computations of amounts and ratios referred to herein shall be made (i) without giving effect to any election under Accounting Standards Codification 825-10-25 (or any other Accounting
Standards Codification or Financial Accounting Standard having a similar result or effect) to value any Indebtedness or other liabilities of the Borrower or any Subsidiary at “fair value”, as defined therein, and (ii) without giving
effect to any treatment of Indebtedness in respect of convertible debt instruments under Accounting Standards Codification 470-20 (or any other Accounting Standards Codification or Financial Accounting Standard having a similar result or effect) to
value any such Indebtedness in a reduced or bifurcated manner as described therein, and such Indebtedness shall at all times be valued at the full stated principal amount thereof. 

  
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 Section 1.04 Types of Advances. Advances are distinguished by “Type”.
The “Type” of an Advance refers to the determination whether such Advance is a LIBOR Advance or Base Rate Advance, each of which constitutes a Type. 
 Section 1.05 Miscellaneous. Article, Section, Schedule and Exhibit references are to Articles and Sections of and Schedules and Exhibits to this Agreement, unless otherwise specified.

 Section 1.06 Commitment Increases. (a) The Borrower shall be entitled to request that the Total Commitments be
increased to an amount not exceeding One Billion Dollars ($1,000,000,000); provided that (i) no Default then exists, (ii) the Borrower gives the Banks thirty (30) days’ prior written notice of such election, (iii) no
Bank shall be obligated to increase such Bank’s Commitment without such Bank’s written consent which may be withheld in such Bank’s sole discretion, (iv) the Borrower, not the Banks or the Administrative Agent, is responsible for
arranging for Persons to provide the additional Commitment amounts; and (v) any Person providing any additional Commitment amount must qualify as an Eligible Assignee and be reasonably acceptable to the Administrative Agent if such Person is
not already a Bank. In connection with any such increase in the Total Commitments the parties shall execute any documents reasonably requested in connection with or to evidence such increase, including without limitation an amendment to this
Agreement. 
 (b) On the date (“Funding Date”) of any future increase in the Total Commitments permitted by
this Agreement, such date designated by the Administrative Agent, the Banks whose Commitments have increased in connection with such future increase in the Total Commitments shall fund to the Administrative Agent such amounts as may be required to
cause each of them to hold its Pro Rata Share of Advances based upon the Commitments as of such Funding Date, and the Administrative Agent shall distribute the funds so received to the other Banks in such amounts as may be required to cause each of
them to hold its Pro Rata Share of Advances as of such Funding Date. The Banks receiving such amounts to be applied to LIBOR Advances may demand payment of the breakage costs under Section 2.08 as though Borrower had elected to prepay such
LIBOR Advances on such date and the Borrower shall pay the amount so demanded as provided in Section 2.08. The first payment of interest and letter of credit fees received by the Administrative Agent after such Funding Date shall be paid to the
Banks in amounts adjusted to reflect the adjustments of their respective Pro Rata Shares of the Advances as of the Funding Date. On the Funding Date each Bank shall be deemed to have either sold or purchased, as applicable, participations in the
Letter of Credit Exposure sold to the Banks pursuant to Section 2.13(b) so that upon consummation of all such sales and purchases each Bank holds participations in the Letter of Credit Exposure equal to such Bank’s Pro Rata Share of the
total Letter of Credit Exposure as of such Funding Date. 
 Section 1.07 Maturity Date Extension. The Borrower shall
be entitled to extend the Maturity Date to January 30, 2017; provided that (i) no Default then exists, (ii) the Borrower gives the Administrative Agent, at least ninety (90) days but no more than one hundred twenty
(120) days prior to the initial Maturity Date, written notice of such extension, (iii) on or prior to the initial Maturity Date, the Borrower pays to the Administrative Agent for the ratable benefit of the Banks an extension fee equal to
0.15% of the Total Commitments that will exist as of the first day of the one (1) year extension (the “Extension Fee”), and (iv) the Administrative Agent shall have received on or prior to the initial Maturity Date for the
account of each Bank a certificate signed by a Responsible Officer of the Parent, dated as of the initial Maturity Date (the “Extension Date”), stating that: (a) the representations and warranties contained in Article IV
are true and correct on and as of the Extension Date as such representations and warranties may have changed based upon events or activities not prohibited by this Agreement, (b) no 

  
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Default or Event of Default has occurred and is continuing or would result from such extension, and (c) the Loan Parties are in compliance with the covenants contained in Article VII
immediately before and, on a pro forma basis, immediately after the extension, together with a Compliance Certificate or other reasonable supporting information demonstrating such compliance. The Borrower’s delivery of written notice to
extend shall be irrevocable, and the Administrative Agent shall promptly notify each Bank of any such notice. In connection with any such extension, the parties hereto shall execute any documents reasonably requested in connection with or to
evidence such extension. 
 ARTICLE II 
 THE ADVANCES AND THE LETTERS OF CREDIT 

Section 2.01 The Advances. Each Bank severally agrees, on the terms and conditions set forth in this Agreement, to make
Advances to the Borrower from time to time on any Business Day up to 30 days prior to the Maturity Date in an aggregate amount not to exceed at any time outstanding an amount equal to such Bank’s Commitment less such Bank’s Pro Rata Share
of the Letter of Credit Exposure at such time. The aggregate amount of all outstanding Advances and Letter of Credit Exposure at any time may not exceed the Total Commitments at such time. Within the limits of each Bank’s Commitment, the
Borrower may from time to time prepay pursuant to Section 2.07 and reborrow under this Section 2.01. 

Section 2.02 Method of Borrowing. (a) Notice. Each Borrowing shall be made by telephone (promptly confirmed in writing
on the same day) pursuant to a Notice of Borrowing, given not later than 1:00 P.M. (New York City time) (i) on the third Business Day before the date of the proposed Borrowing, in the case of a Borrowing consisting of LIBOR Advances, or
(ii) on the Business Day before the date of the proposed Borrowing, in the case of a Borrowing consisting of Base Rate Advances, by the Borrower to the Administrative Agent, which shall give each Bank prompt notice on the day of receipt of such
timely telephone call or Notice of Borrowing of such proposed Borrowing by telecopier. Each Notice of Borrowing shall be in writing or by telecopier specifying the requested (i) date of such Borrowing, (ii) Type of Advances comprising such
Borrowing, (iii) aggregate amount of such Borrowing, and (iv) if such Borrowing is to be comprised of LIBOR Advances, the Interest Period for each such Advance. In the case of a proposed Borrowing comprised of LIBOR Advances, the
Administrative Agent shall promptly notify each Bank of the applicable interest rate under Section 2.06(b). Each Bank shall, before 1:00 P.M. (New York City time) on the date of such Borrowing, make available for the account of its
Applicable Lending Office to the Administrative Agent at its address referred to in Section 11.02, or such other location as the Administrative Agent may specify by notice to the Banks, in same day funds, such Bank’s Pro Rata Share of such
Borrowing. Upon fulfillment of the applicable conditions set forth in Article III, the Administrative Agent will make such funds available to the Borrower at its account with the Administrative Agent or to such other account as the Borrower
shall specify to the Administrative Agent in writing. 
 (b) Conversions and Continuations. In order to elect to Convert
or continue Advances comprising part of the same Borrowing under this Section, the Borrower shall deliver an irrevocable Notice of Conversion or Continuation to the Administrative Agent at the Administrative Agent’s office no later than
1:00 P.M. (New York City time) (i) on the date which is at least three Business Days in advance of the proposed Conversion or continuation date in the case of a Conversion to or a continuation of a Borrowing comprised of LIBOR Advances and
(ii) on the Business Day prior to the proposed conversion date in the case of a Conversion to a Borrowing comprised of Base Rate Advances. Each such Notice of Conversion or Continuation shall be in writing or by telecopier, specifying
(i) the requested Conversion or continuation date (which shall be a Business Day), (ii) the Borrowing amount and Type of the Advances to be Converted or continued, (iii) whether a Conversion or continuation is requested, and if a
Conversion, into what Type of Advances, and (iv) in the case of a Conversion to, or a 

  
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continuation of, LIBOR Advances, the requested Interest Period. Promptly after receipt of a Notice of Conversion or Continuation under this paragraph, the Administrative Agent shall provide each
Bank with a copy thereof and, in the case of a Conversion to or a continuation of LIBOR Advances, notify each Bank of the applicable interest rate under Section 2.06(b). For purposes other than the conditions set forth in Section 3.02, the
portion of Advances comprising part of the same Borrowing that are Converted to Advances of another Type shall constitute a new Borrowing. If the Borrower shall fail to specify an Interest Period for a LIBOR Advance including the continuation of a
LIBOR Advance, the Borrower shall be deemed to have selected a Base Rate Advance. 
 (c) Certain Limitations.
Notwithstanding anything in paragraphs (a) and (b) above: 
 (i) in the case of LIBOR Advances each
Borrowing shall be in an aggregate amount of not less than $1,000,000 or such greater amount that is an integral multiple of $100,000; 
 (ii) except for Borrowings for the acquisition by the Borrower or its Subsidiary of Investments permitted under Sections 6.07 (c) and (d), the Borrower may not request Borrowings more than three
times in any calendar month; 
 (iii) at no time shall there be more than eight (8) Interest Periods
applicable to outstanding LIBOR Advances; 
 (iv) the Borrower may not select LIBOR Advances for any Borrowing to
be made, Converted or continued if a Default has occurred and is continuing; 
 (v) if any Bank shall, at any
time prior to the making of any requested Borrowing comprised of LIBOR Advances, notify the Administrative Agent that the introduction of or any change in or in the interpretation of any law or regulation after the date hereof makes it unlawful, or
that any central bank or other governmental authority asserts that it is unlawful, for such Bank or its LIBOR Lending Office to perform its obligations under this Agreement to make LIBOR Advances or to fund or maintain LIBOR Advances, then such
Bank’s Pro Rata Share of such Borrowing shall be made as a Base Rate Advance, provided that such Base Rate Advance shall be considered part of the same Borrowing and interest on such Base Rate Advance shall be due and payable at the same
time that interest on the LIBOR Advances comprising the remainder of such Borrowing shall be due and payable; and such Bank agrees to use commercially reasonable efforts (consistent with its internal policies and legal and regulatory restrictions)
to designate a different Applicable Lending Office if the making of such designation would avoid the effect of this paragraph and would not, in the reasonable judgment of such Bank, be otherwise materially disadvantageous to such Bank; 

(vi) if the Administrative Agent is unable to determine the LIBOR for LIBOR Advances comprising any requested Borrowing,
the right of the Borrower to select LIBOR Advances for such Borrowing or for any subsequent Borrowing shall be suspended until the Administrative Agent shall notify the Borrower and the Banks that the circumstances causing such suspension no longer
exist, and each Advance comprising such Borrowing shall be a Base Rate Advance; 
 (vii) if the Required Lenders
shall, at least one Business Day before the date of any requested Borrowing, notify the Administrative Agent that the LIBOR for LIBOR Advances comprising such Borrowing will not adequately reflect the cost to such Banks of making or funding their
respective LIBOR Advances, as the case may be, for such Borrowing, the 

  
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right of the Borrower to select LIBOR Advances for such Borrowing or for any subsequent Borrowing shall be suspended until the Administrative Agent shall notify the Borrower and the Banks that
the circumstances causing such suspension no longer exist, and each Advance comprising such Borrowing shall be a Base Rate Advance; and 
 (viii) if the Borrower shall fail to select the duration or continuation of any Interest Period for any LIBOR Advances in accordance with the provisions contained in the definition of “Interest
Period” in Section 1.01 and paragraph (a) or (b) above, the Administrative Agent will forthwith so notify the Borrower and the Banks and such Advances will be made available to the Borrower on the date of such Borrowing as Base
Rate Advances or, if an existing Advance, Converted into Base Rate Advances. 
 (d) Notices Irrevocable. Each Notice of
Borrowing and Notice of Conversion or Continuation shall be irrevocable and binding on the Borrower. In the case of any Borrowing which the related Notice of Borrowing specifies is to be comprised of LIBOR Advances, the Borrower shall indemnify each
Bank against any loss, out-of-pocket cost or expense incurred by such Bank as a result of any condition precedent for Borrowing set forth in Article III not being satisfied for any reason, including, without limitation, any loss, cost or
expense actually incurred by reason of the liquidation or reemployment of deposits or other funds acquired by such Bank to fund the Advance to be made by such Bank as part of such Borrowing when such Advance, as a result of such failure, is not made
on such date. 
 (e) Administrative Agent Reliance. Unless the Administrative Agent shall have received notice from a
Bank before the date of any Borrowing that such Bank will not make available to the Administrative Agent such Bank’s Pro Rata Share of the Borrowing, the Administrative Agent may assume that such Bank has made its Pro Rata Share of such
Borrowing available to the Administrative Agent on the date of such Borrowing in accordance with paragraph (a) of this Section 2.02 and the Administrative Agent may, in reliance upon such assumption, make available to the Borrower on such
date a corresponding amount. If and to the extent that such Bank shall not have so made its Pro Rata Share of such Borrowing available to the Administrative Agent, such Bank and the Borrower severally agree to immediately repay to the Administrative
Agent on demand, and without duplication, such corresponding amount, together with interest on such amount, for each day from the date such amount is made available to the Borrower until the date such amount is repaid to the Administrative Agent, at
(i) in the case of the Borrower, the interest rate applicable on each such day to Advances comprising such Borrowing and (ii) in the case of such Bank, the Federal Funds Rate for each such day. If such Bank shall repay to the
Administrative Agent such corresponding amount and interest as provided above, such corresponding amount so repaid shall constitute such Bank’s Advance as part of such Borrowing for purposes of this Agreement even though not made on the
same day as the other Advances comprising such Borrowing. 
 (f) Bank Obligations Several. The failure of any Bank to
make the Advance to be made by it as part of any Borrowing shall not relieve any other Bank of its obligation, if any, to make its Advance on the date of such Borrowing. No Bank shall be responsible for the failure of any other Bank to make the
Advance to be made by such other Bank on the date of any Borrowing. 
 (g) Notes. Upon the request of a Bank, the
indebtedness of the Borrower to such Bank resulting from Advances owing to such Bank shall be evidenced by the Note of the Borrower payable to the order of such Bank in substantially the form of Exhibit A; provided, however, that to the
extent no Note has been issued to a Bank, this Agreement shall be deemed to comprise conclusive evidence for all purposes of the indebtedness resulting from the Advances and extensions of credit made hereunder. 

  
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 Section 2.03 Fees. (a) Unused Fee. The Borrower shall pay to the
Administrative Agent for the account of the Banks an unused commitment fee (the “Unused Fee”), from the date hereof or upon the effectiveness of any Assignment and Acceptance pursuant to which it became a Bank until the Maturity
Date, payable in arrears quarterly on the last day of each March, June, September and December, commencing December 31, 2011, and on the Maturity Date. The Unused Fee payable in Dollars for the account of each Bank shall be calculated for each
period for which the Unused Fee is payable on the average daily Unused Commitment of such Bank during such period at the rate per annum equal to, (a) for any period in which the average daily Unused Commitment of such Bank for such period is
less than 50% of such Bank’s aggregate Commitments, 0.30% per annum, and (b) for any period in which the average daily Unused Commitment of such Bank for such period is greater than or equal to 50% of such Bank’s aggregate
Commitments, 0.40% per annum. 
 (b) Letter of Credit Fees. The Borrower agrees to pay to the Administrative Agent
for the benefit of the Banks, fees in respect of all Letters of Credit outstanding at a rate per annum equal to the Applicable Margin calculated based upon a 360-day year and in respect of the maximum amount available from time to time to be drawn
under such outstanding Letters of Credit, payable quarterly in arrears for those quarters ending on the last day of each March, June, September and December (i) on the date which is 30 days following the last Business Day of each March, June,
September and December and (ii) on the Maturity Date. In addition, the Borrower agrees to pay to each Issuing Bank for its own account a fee on the average daily amount of the aggregate undrawn maximum face amount of each Letter of Credit
issued by such Issuing Bank at a rate per annum equal to 0.125%, such fees due and payable quarterly in arrears (i) on the date which is 30 days following the last Business Day of each March, June, September and December and (ii) on the
Maturity Date. 
 (c) Administrative Agent Fees. The Borrower agrees to pay to the Administrative Agent for the
Administrative Agent’s account the fees set forth in any separate letter agreement executed and delivered by the Borrower and to which the Administrative Agent is a party, as the same may be amended from time to time (collectively, the
“Fee Letter”) in accordance with the terms thereof, as and when the same are due and payable pursuant to the terms of such Fee Letter. 
 (d) Extension Fee. The Borrower agrees to pay the Extension Fee at the time specified in, and to the extent required by, Section 1.07. 

(e) Defaulting Lender. Anything herein to the contrary notwithstanding, during such period as a Bank is a Defaulting Lender, such
Defaulting Lender will not be entitled to any fees accruing during such period pursuant to Section 2.03(a) and Section 2.03(c) (without prejudice to the rights of the Non-Defaulting Lenders in respect of such fees), provided that
(a) to the extent that all or a portion of the Letter of Credit Exposure of such Defaulting Lender is reallocated to the Non-Defaulting Lenders pursuant to Section 2.16(b), such fees that would have accrued for the benefit of such
Defaulting Lender will instead accrue for the benefit of and be payable to such Non-Defaulting Lenders, pro rata in accordance with their respective Commitments, and (b) to the extent that all or any portion of such Letter of Credit
Exposure cannot be so reallocated, such fees will instead accrue for the benefit of and be payable to the Issuing Banks (and the pro rata payment provisions of Section 2.10(e) will automatically be deemed adjusted to reflect the
provisions of this Section). 
 Section 2.04 Reduction of the Commitments. The Borrower may, upon at least three
Business Days’ prior notice to the Administrative Agent, permanently terminate in whole or permanently reduce ratably in part the Commitments of the Banks; provided, however, that (i) each partial reduction shall be in the
aggregate amount of not less than $5,000,000 or an integral multiple of $1,000,000 in excess thereof, and (ii) no such reduction shall result in the Total Commitments of the Banks being less than $100,000,000 unless the Commitments have been
permanently terminated. 

  
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 Section 2.05 Repayment of Advances. The Borrower shall repay the outstanding
principal amount of each Advance on the Maturity Date. 
 Section 2.06 Interest. The Borrower shall pay interest on
the unpaid principal amount of each Advance made by each Bank from the date of such Advance until such principal amount shall be paid in full, at the following rates per annum: 

(a) Base Rate Advances. If such Advance is a Base Rate Advance, a rate per annum (computed on the actual number of
days elapsed, including the first day and excluding the last, based on (x) a 365 or 366, as the case may be, day year to the extent the interest rate is based upon Citibank’s base rate and (y) a 360 day year to the extent the interest
rate is based upon either the Federal Funds Rate or LIBOR) equal at all times to the lesser of (i) the Adjusted Base Rate in effect from time to time plus the Applicable Margin and (ii) the Maximum Rate, payable in arrears on the first day
of each calendar month, provided that during the continuance of an Event of Default, Base Rate Advances shall bear interest at a rate per annum equal at all times to the lesser of (1) the rate required to be paid on such Advance
immediately prior to the date on which such Event of Default commenced plus two percent (2%) and (2) the Maximum Rate. 
 (b) LIBOR Advances. If such Advance is a LIBOR Advance, a rate per annum (computed on the actual number of days elapsed, including the first day and excluding the last, based on a 360 day year)
equal at all times during the Interest Period for such Advance to the lesser of (i) the LIBOR for such Interest Period plus the Applicable Margin and (ii) the Maximum Rate, payable in arrears on the last day of such Interest Period, and on
the date such LIBOR Advance shall be paid in full, and, with respect to LIBOR Advances having an Interest Period in excess of one month, the numerically corresponding day to the initial day of such Interest Period in each calendar month during such
Interest Period; provided, however, that if there is no numerically corresponding day in any such month or if the Interest Period begins on the last Business Day of a calendar month, interest shall be payable on the last Business Day
of each calendar month during the Interest Period; provided further that during the continuance of an Event of Default, LIBOR Advances shall bear interest at a rate per annum equal at all times to the lesser of (i) the rate required to
be paid on such Advance immediately prior to the date on which such Event of Default commenced plus two percent (2%) and (ii) the Maximum Rate. 
 (c) Usury Recapture. In the event the rate of interest chargeable under this Agreement or the Notes at any time is greater than the Maximum Rate, the unpaid principal amount of the Notes shall bear
interest at the Maximum Rate until the total amount of interest paid or accrued on the Notes equals the amount of interest which would have been paid or accrued on the Notes if the stated rates of interest set forth in this Agreement had at all
times been in effect. In the event, upon payment in full of the Notes, the total amount of interest paid or accrued under the terms of this Agreement and the Notes is less than the total amount of interest which would have been paid or accrued if
the rates of interest set forth in this Agreement had, at all times, been in effect, then the Borrower shall, to the extent permitted by applicable law, pay the Administrative Agent for the account of the Banks an amount equal to the difference
between (i) the lesser of (A) the amount of interest which would have been charged on the Notes if the Maximum Rate had, at all times, been in effect and (B) the amount of interest which would have accrued on the Notes if the rates of
interest set forth in this Agreement had at all times been in effect and (ii) the amount of interest actually paid or accrued under this Agreement on the Notes. In the event the Banks ever receive, collect or apply as interest any sum in excess
of the Maximum Rate, such excess amount shall, to the extent permitted by law, be applied to the reduction of the principal balance of the Notes, and if no such principal is then outstanding, such excess or part thereof remaining shall be paid to
the Borrower. 

  
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 (d) Other Amounts Overdue. If any amount payable under this Agreement
other than the Advances is not paid when due and payable, including without limitation, accrued interest and fees, then such overdue amount shall accrue interest hereon due and payable on demand at a rate per annum equal to the Adjusted Base Rate
plus two percent (2%), from the date such amount became due until the date such amount is paid in full. 
 Section 2.07
Prepayments. 
 (a) Right to Prepay. The Borrower shall have no right to prepay any principal amount of any Advance
except as provided in this Section 2.07. 
 (b) Optional Prepayments. The Borrower may elect to prepay any of the
Advances, after giving by 1:00 P.M. (New York City time) (i) in the case of LIBOR Advances, at least three Business Days’ prior written notice or (ii) in case of Base Rate Advances, at least one Business Day’s prior written
notice to the Administrative Agent stating the proposed date and aggregate principal amount of such prepayment, and if applicable, the relevant Interest Period for the Advances to be prepaid. If any such notice is given, the Borrower shall prepay
Advances comprising part of the same Borrowing in whole or ratably in part in an aggregate principal amount equal to the amount specified in such notice, and with respect to LIBOR Advances shall also pay accrued interest to the date of such
prepayment on the principal amount prepaid and amounts, if any, required to be paid pursuant to Section 2.08 as a result of such prepayment being made on such date; provided, however, that each partial prepayment shall be in
an aggregate principal amount not less than $1,000,000 and in integral multiples of $100,000. 
 (c) Ratable Payments.
Each payment of any Advance pursuant to this Section 2.07 or any other provision of this Agreement shall be made in a manner such that all Advances comprising part of the same Borrowing are paid in whole or ratably in part. 

(d) Effect of Notice. All notices given pursuant to this Section 2.07 shall be irrevocable and binding upon the Borrower.

 Section 2.08 Breakage Costs. If (a) any payment of principal of any LIBOR Advance is made other than on the
last day of the Interest Period for such Advance as a result of any payment pursuant to Section 2.07 or the acceleration of the maturity of the Notes pursuant to Article VIII or otherwise; (b) any Conversion of a LIBOR Advance is made
other than on the last day of the Interest Period for such Advance pursuant to Section 2.12 or otherwise; or (c) the Borrower fails to make a principal or interest payment with respect to any LIBOR Advance on the date such payment is due
and payable, the Borrower shall, within 10 days of any written demand sent by any Bank to the Borrower through the Administrative Agent, pay to the Administrative Agent for the account of such Bank any amounts (without duplication of any other
amounts payable in respect of breakage costs) required to compensate such Bank for any losses (other than lost profit), out-of-pocket costs or expenses which it reasonably incurs as a result of such payment or nonpayment, including, without
limitation, any loss, cost or expense incurred by reason of the liquidation or reemployment of deposits or other funds acquired by any Bank to fund or maintain such Advance. 
 Section 2.09 Increased Costs. (a) LIBOR Advances. If, due to either (i) the introduction of or any
change (other than any change by way of imposition or increase of reserve requirements included in the calculation of the LIBOR) in or in the interpretation of any law or regulation enacted, issued or promulgated after the date of this
Agreement or (ii) the compliance with any guideline, rule, directive or request from any central bank or other Governmental Authority (whether or not having the force of law) enacted, issued or promulgated after the date of this Agreement,
there shall be any increase in the cost to any Bank of agreeing to make or making, funding, converting into, continuing or maintaining LIBOR 

  
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Advances, then the Borrower shall from time to time, within 10 days of written demand by such Bank (with a copy of such demand to the Administrative Agent), pay to the Administrative Agent for
the account of such Bank additional amounts (without duplication of any other amounts payable in respect of increased costs) sufficient to compensate such Bank for such increased cost; provided, however, that, before making any such demand, each
Bank agrees to use commercially reasonable efforts (consistent with its internal policy and legal and regulatory restrictions) to designate a different Applicable Lending Office if the making of such a designation would avoid the need for, or reduce
the amount of, such increased cost and would not, in the reasonable judgment of such Bank, be otherwise disadvantageous to such Bank. A certificate as to the amount of such increased cost and detailing the calculation of such cost submitted to the
Borrower and the Administrative Agent by such Bank at the time such Bank demands payment under this Section shall be conclusive and binding for all purposes, absent manifest error. 

(b) Capital Adequacy. If any Bank or Issuing Bank determines in good faith that compliance with any law or regulation or any
guideline, rule, directive or request from any central bank or other Governmental Authority (whether or not having the force of law) enacted, issued or promulgated after the date of this Agreement affects or would affect the amount of capital or
liquidity required or expected to be maintained by such Bank or Issuing Bank or any corporation controlling such Bank or Issuing Bank and that the amount of such capital is increased by or based upon the existence of such Bank’s commitment to
lend or such Issuing Bank’s commitment to issue Letters of Credit or any Bank’s commitment to risk participate in Letters of Credit and other commitments of this type, then, upon 30 days prior written notice by such Bank or such Issuing
Bank (with a copy of any such demand to the Administrative Agent), the Borrower shall immediately pay to the Administrative Agent for the account of such Bank or to such Issuing Bank, as the case may be, from time to time as specified by such Bank
or such Issuing Bank, additional amounts (without duplication of any other amounts payable in respect of increased costs) sufficient to compensate such Bank or such Issuing Bank, in light of such circumstances, (i) with respect to such Bank, to
the extent that such Bank reasonably determines such increase in capital to be allocable to the existence of such Bank’s commitment to lend under this Agreement or its commitment to risk participate in Letters of Credit and (ii) with
respect to such Issuing Bank, to the extent that such Issuing Bank reasonably determines such increase in capital to be allocable to the issuance or maintenance of the Letters of Credit. A certificate as to such amounts and detailing the calculation
of such amounts submitted to the Borrower and the Administrative Agent by such Bank or such Issuing Bank shall be conclusive and binding for all purposes, absent manifest error. 

(c) Letters of Credit. If any change in any law or regulation or in the interpretation thereof by any court or administrative or
Governmental Authority charged with the administration thereof enacted, issued or promulgated after the date of this Agreement shall either (i) impose, modify, or deem applicable any reserve, special deposit, or similar requirement against
letters of credit issued by, or assets held by, or deposits in or for the account of, any Issuing Bank or any Bank or (ii) impose on any Issuing Bank or any Bank any other condition regarding the provisions of this Agreement relating to the
Letters of Credit or any Letter of Credit Obligations, and the result of any event referred to in the preceding clause (i) or (ii) shall be to increase the cost to any Issuing Bank of issuing or maintaining any Letter of Credit, or
increase the cost to such Bank of its risk participation in any Letter of Credit (which increase in cost shall be determined by such Issuing Bank’s or such Bank’s reasonable allocation of the aggregate of such cost increases resulting from
such event), then, within 10 days of written demand by such Issuing Bank or such Bank (with a copy sent to the Administrative Agent), as the case may be, the Borrower shall pay to the Administrative Agent for the account of such Issuing Bank or
Bank, as the case may be, from time to time as specified by such Issuing Bank or such Bank, additional amounts which shall be sufficient to compensate such Issuing Bank or such Bank for such increased cost. Each Issuing Bank and each Bank agrees to
use commercially reasonable efforts (consistent with internal policy and legal and regulatory restrictions) to designate a different Applicable Lending Office for the booking of its Letters of Credit or risk participations if the making of such
designation would avoid the effect of this paragraph 

  
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and would not, in the reasonable judgment of such Issuing Bank or such Bank, be otherwise disadvantageous to such Issuing Bank or such Bank, as the case may be. A certificate as to such increased
cost incurred by such Issuing Bank or such Bank, as the case may be, as a result of any event mentioned in clause (i) or (ii) above, and detailing the calculation of such increased costs submitted by such Issuing Bank or such Bank to the
Borrower and the Administrative Agent, shall be conclusive and binding for all purposes, absent manifest error. 
 (d)
Notwithstanding anything to the contrary contained in this Agreement, the Dodd-Frank Wall Street Reform and Consumer Protection Act, as amended, and all requests, rules, guidelines or directives thereunder or issued in connection therewith,
regardless of the date enacted, adopted or issued, and all requests, rules, guidelines or directives promulgated by the Bank for International Settlements or the Basel Committee on Banking Supervision (or any successor or similar authority) shall in
each case be deemed an introduction or change of the type referred to in this Section 2.09, regardless of the date enacted, adopted or issued. 
 Section 2.10 Payments and Computations. 
 (a) Payment
Procedures. Except if otherwise set forth herein, the Borrower shall make each payment under this Agreement and under the Notes not later than 12:00 Noon (New York City time) on the day when due in Dollars to the Administrative Agent
without setoff, deduction or counterclaim at the location referred to in the Notes (or such other location as the Administrative Agent shall designate in writing to the Borrower) in same day funds. The Administrative Agent will on the same day such
payment is deemed received from the Borrower cause to be distributed like funds relating to the payment of principal, interest or fees ratably (other than amounts payable solely to the Administrative Agent, the Issuing Banks, or a specific Bank
pursuant to Section 2.03(b), 2.03(c), 2.06(c), 2.08, 2.09, 2.11, 2.12, or 2.13(c) but after taking into account payments effected pursuant to Section 11.04) to the Banks in accordance with each Bank’s Pro Rata Share for the account of
their respective Applicable Lending Offices, and like funds relating to the payment of any other amount payable to any Bank or any Issuing Bank for the account of its Applicable Lending Office, in each case to be applied in accordance with the terms
of this Agreement. If and to the extent that the Administrative Agent shall not have so made payment to a Bank on the day required under this Agreement, the Administrative Agent agrees to immediately pay such Bank such payment, together with
interest on such amount, for each day from the date such amount was deemed received by the Administrative Agent until the date such amount is paid to such Bank at the Federal Funds Rate for each such day. 

(b) Computations. All computations of interest based on Citibank’s base rate shall be made by the Administrative Agent on the
basis of a year of 365 or 366 days, as the case may be, and all computations of fees and interest based on the LIBOR and the Federal Funds Rate shall be made by the Administrative Agent on the basis of a year of 360 days, in each case for the actual
number of days (including the first day, but excluding the last day) occurring in the period for which such interest or fees are payable. Each determination by the Administrative Agent of an interest rate shall be conclusive and binding for all
purposes, absent manifest error. 
 (c) Non-Business Day Payments. Whenever any payment shall be stated to be due on a
day other than a Business Day, such payment shall be made on the next succeeding Business Day, and such extension of time shall in such case be included in the computation of payment of interest or fees, as the case may be; provided,
however, that if such extension would cause payment of interest on or principal of LIBOR Advances to be made in the next following calendar month, such payment shall be made on the next preceding Business Day. 

  
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 (d) Administrative Agent Reliance. Unless the Administrative Agent shall have
received written notice from the Borrower prior to the date on which any payment is due to the Banks that the Borrower will not make such payment in full, the Administrative Agent may assume that the Borrower has made such payment in full to the
Administrative Agent on such date and the Administrative Agent may, in reliance upon such assumption, cause to be distributed to each Bank on such date an amount equal to the amount then due such Bank. If and to the extent the Borrower shall not
have so made such payment in full to the Administrative Agent, each Bank shall repay to the Administrative Agent forthwith on demand such amount distributed to such Bank, together with interest, for each day from the date such amount is distributed
to such Bank until the date such Bank repays such amount to the Administrative Agent, at the Federal Funds Rate for each such day. 
 (e) Application of Payments. Unless otherwise specified in Section 2.07 hereof, whenever any payment received by the Administrative Agent under this Agreement is insufficient to pay in full
all amounts then due and payable under this Agreement and the Notes, such payment shall be distributed and applied by the Administrative Agent and the Banks in the following order: first, to the payment of fees and expenses due and payable to
the Administrative Agent under and in connection with this Agreement or any other Credit Document and the payment of fees and expenses due and payable to the Syndication Agent, each Issuing Bank and each Bank under Section 11.04, ratably among
such parties in accordance with the aggregate amount of such payments owed to each such party; second, to the payment of all expenses due and payable under Section 2.11(c), ratably among the Banks in accordance with the aggregate amount
of such payments owed to each such Bank; third, to the payment of fees due and payable to each Issuing Bank pursuant to Section 2.03(b); fourth, to the payment of all other fees due and payable under Section 2.03;
fifth, to the payment of the interest accrued on all of the Notes and the interest accrued on Letter of Credit Obligations, ratably among the Banks in accordance with their respective Pro Rata Shares; and sixth, to the payment of the
principal amount of all of the Notes and all other Letter of Credit Obligations, regardless of whether any such amount is then due and payable, ratably among the Banks in accordance with their respective Pro Rata Shares. 

(f) Register. The Administrative Agent shall record in the Register the Commitment and the Advances from time to time of each Bank
and each repayment or prepayment in respect to the principal amount of such Advances of each Bank. Any such recordation shall be conclusive and binding on the Borrower and each Bank, absent manifest error; provided however, that failure to
make any such recordation, or any error in such recordation, shall not affect the Borrower’s obligations hereunder in respect of such Advances. 
 Section 2.11 Taxes. 
 (a) No Deduction for Certain Taxes. Any
and all payments by the Borrower shall be made, in accordance with Section 2.10, free and clear of and without deduction for any and all present or future taxes, levies, imposts, deductions, charges or withholdings, and all liabilities with
respect thereto, excluding, (i) in the case of each Bank, each Issuing Bank, and the Administrative Agent, taxes imposed on its income, and franchise taxes imposed on it, by the jurisdiction under the laws of which such Bank, such Issuing Bank,
or the Administrative Agent (as the case may be) is organized or any political subdivision of such jurisdiction or by the jurisdiction of such Bank’s Applicable Lending Office or any political subdivision of such jurisdiction and (ii) any
U.S. federal withholding tax imposed pursuant to Sections 1471 through 1474 of the Code (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), including any current or future
implementing Treasury Regulations and administrative pronouncements thereunder (collectively, “FATCA”) (all such non-excluded taxes, levies, imposts, deductions, charges, withholdings and liabilities being hereinafter
referred to as “Taxes”). If the Borrower shall be required by law to deduct any Taxes from or in respect of any sum payable to any Bank, any Issuing Bank, or the Administrative Agent, (i) the

  
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sum payable shall be increased as may be necessary so that, after making all required deductions (including deductions applicable to additional sums payable under this Section 2.11), such
Bank, such Issuing Bank, or the Administrative Agent (as the case may be) receives an amount equal to the sum it would have received had no such deductions been made; provided, however, that if the Borrower’s obligation to deduct
or withhold Taxes is caused solely by such Bank’s, such Issuing Bank’s, or the Administrative Agent’s failure to provide the forms described in paragraph (e) of this Section 2.11 and such Bank, such Issuing Bank, or the
Administrative Agent could have provided such forms, no such increase shall be required; (ii) the Borrower shall make such deductions; and (iii) the Borrower shall pay the full amount deducted to the relevant taxation authority or other
authority in accordance with applicable Legal Requirements. 
 (b) Other Taxes. In addition, the Borrower agrees to pay
any present or future stamp or documentary taxes or any other excise or property taxes, charges or similar levies which arise from any payment made or from the execution, delivery or registration of, or otherwise with respect to, this Agreement, the
Notes, or the other Credit Documents (hereinafter referred to as “Other Taxes”). 
 (c) Indemnification.
Subject to the proviso of Section 2.11(a), the Borrower indemnifies each Bank, each Issuing Bank, and the Administrative Agent for the full amount of Taxes or Other Taxes (including, without limitation, any Taxes or Other Taxes imposed by any
Governmental Authority on amounts payable under this Section 2.11) paid by such Bank, such Issuing Bank, or the Administrative Agent (as the case may be) and any liability (including interest and expenses) arising therefrom or with respect
thereto, whether or not such Taxes or Other Taxes were correctly or legally asserted. Each payment required to be made by the Borrower in respect of this indemnification shall be made to the Administrative Agent for the benefit of any party claiming
such indemnification within 30 days from the date the Borrower receives written demand detailing the calculation of such amounts therefor from the Administrative Agent on behalf of itself as Administrative Agent, any Issuing Bank, or any such Bank.
If any Bank, the Administrative Agent, or any Issuing Bank receives a refund in respect of any Taxes or Other Taxes paid by the Borrower under this paragraph (c), such Bank, the Administrative Agent, or such Issuing Bank, as the case may be,
shall promptly pay to the Borrower the Borrower’s share of such refund. 
 (d) Evidence of Tax Payments. The
Borrower will pay prior to delinquency all Taxes and Other Taxes payable in respect of any payment. Within 30 days after the date of any payment of Taxes, the Borrower will furnish to the Administrative Agent, at its address referred to in
Section 11.02, the original or a certified copy of a receipt evidencing payment of such Taxes or Other Taxes. 
 (e)
Foreign Bank Withholding Exemption. Each Bank and each Issuing Bank that is not incorporated under the laws of the United States of America or a state thereof agrees that it will deliver to the Borrower and the Administrative Agent on the
date of this Agreement or upon the effectiveness of any Assignment and Acceptance two duly completed copies of the Prescribed Forms, certifying in each case that such Bank is entitled to receive payments under this Agreement and the Notes payable to
it, without deduction or withholding of any United States federal income taxes. Each Bank which delivers to the Borrower and the Administrative Agent a Prescribed Form further undertakes to deliver to the Borrower and the Administrative Agent two
further copies of a replacement Prescribed Form, on or before the date that any such Prescribed Form expires or becomes obsolete or after the occurrence of any event requiring a change in the most recent form previously delivered by it to the
Borrower and the Administrative Agent, and such extensions or renewals thereof as may reasonably be requested by the Borrower and the Administrative Agent certifying that such Bank is entitled to receive payments under this Agreement without
deduction or withholding of any United States federal income taxes. If an event (including without limitation any change in treaty, law or regulation) has occurred prior to the date on which any delivery required by the preceding sentence would
otherwise be required which 

  
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renders all such forms inapplicable or which would prevent any Bank from duly completing and delivering any such Prescribed Form with respect to it and such Bank advises the Borrower and the
Administrative Agent that it is not capable of receiving payments without any deduction or withholding of United States federal income tax, such Bank shall not be required to deliver such forms. The Borrower shall withhold tax at the rate and in the
manner required by the laws of the United States with respect to payments made to a Bank failing to timely provide the requisite Prescribed Forms. If a payment made to a Bank under any Credit Document would be subject to U.S. federal withholding tax
imposed by FATCA if such Bank were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the Code, as applicable), such Bank shall deliver to the Borrower and the
Administrative Agent at the time or times prescribed by law and at such time or times reasonably requested by the Borrower or the Administrative Agent such documentation prescribed by applicable law (including as prescribed by
Section 1471(b)(3)(C)(i) of the Code) and such additional documentation reasonably requested by the Borrower or the Administrative Agent as may be necessary for the Borrower and the Administrative Agent to comply with their obligations under
FATCA and to determine that such Bank has complied with such Bank’s obligations under FATCA or to determine the amount to deduct and withhold from such payment. Solely for the purposes of this subsection (e), “FATCA” shall include any
amendments made to FATCA after the date of this Agreement. 
 Section 2.12 Illegality. If any Bank shall notify the
Administrative Agent and the Borrower that the introduction of or any change in or in the interpretation of any Legal Requirement makes it unlawful, or that any central bank or other Governmental Authority asserts that it is unlawful for such Bank
or its LIBOR Lending Office to perform its obligations under this Agreement to maintain any LIBOR Advances of such Bank then outstanding hereunder, then, notwithstanding anything herein to the contrary, the Borrower shall, if demanded by such Bank
by notice to the Borrower and the Administrative Agent no later than 12:00 Noon (New York City time), (a) if not prohibited by Legal Requirement to maintain such LIBOR Advances for the duration of the Interest Period, on the last day of
the Interest Period for each outstanding LIBOR Advance of such Bank or (b) if prohibited by Legal Requirement to maintain such LIBOR Advances for the duration of the Interest Period, on the second Business Day following its receipt of such
notice from such Bank, Convert all LIBOR Advances of such Bank then outstanding to Base Rate Advances, and pay accrued interest on the principal amount Converted to the date of such Conversion and amounts, if any, required to be paid pursuant to
Section 2.08 as a result of such Conversion being made on such date. Each Bank agrees to use commercially reasonable efforts (consistent with its internal policies and legal and regulatory restrictions) to designate a different Applicable
Lending Office if the making of such designation would avoid the effect of this paragraph and would not, in the reasonable judgment of such Bank, be otherwise disadvantageous to such Bank. 

Section 2.13 Letters of Credit. 
 (a) Issuance. From time to time from the date of this Agreement until three months before the Maturity Date, at the request of the Borrower, the Issuing Bank shall, on any Business Day and on
the terms and conditions hereinafter set forth, issue, increase, decrease, amend, or extend the Expiration Date of Letters of Credit, and the Existing Issuing Bank shall continue any Existing Letters of Credit, for the account of the Borrower (for
its own benefit or for the benefit of any of its Subsidiaries); provided that no Existing Letter of Credit shall be renewed by the Existing Issuing Bank but shall be replaced by Citibank as the Issuing Bank upon submission by the Borrower to
Citibank of a request for an issuance of a Letter of Credit. No Letter of Credit will be issued, increased, or extended (i) if such issuance, increase, or extension would cause the Letter of Credit Exposure to exceed the lesser of
(x) $100,000,000 or (y) an amount equal to (A) the Total Commitments less (B) the aggregate outstanding Advances and Letter of Credit Exposure at such time; (ii) unless such Letter of Credit has an Expiration Date not
later than the earlier of (A) one year after the date of issuance thereof (unless the Administrative Agent shall otherwise consent in writing to a later date) and (B) on or prior to the Maturity

  
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Date; (iii) unless the face amount of such Letter of Credit is equal to or greater than $100,000 and such Letter of Credit is otherwise in form and substance acceptable to the respective
Issuing Bank; (iv) unless such Letter of Credit is a standby letter of credit; (v) unless the Borrower has delivered to the respective Issuing Bank the completed and executed Letter of Credit Documents (other than the Letter of Credit) on
such Issuing Bank’s standard form, which shall contain terms no more restrictive than the terms of this Agreement; (vi) unless such Letter of Credit is governed by the International Standby Practices (1998) (“ISP”) or
any successor to the ISP; and (vii) unless no Default has occurred and is continuing or would result from the issuance of such Letter of Credit. If the terms of any of the Letter of Credit Documents referred to in the foregoing clause
(v) conflicts with the terms of this Agreement, the terms of this Agreement shall control. 
 (b) Participations. On
the date of the issuance or increase of any Letter of Credit in accordance with provisions of the preceding Section 2.13(a), each Issuing Bank shall be deemed, and with respect to the Existing Letters of Credit, the Existing Issuing Bank shall
be deemed upon the date hereof, to have sold to each other Bank and each other Bank shall have been deemed to have purchased from such Issuing Bank a participation in the Letter of Credit Exposure related to the Letters of Credit issued by such
Issuing Bank equal to such Bank’s Pro Rata Share at such date and such sale and purchase shall otherwise be in accordance with the terms of this Agreement. Each Issuing Bank shall promptly notify each such participant Bank by telex, telephone,
or telecopy of each Letter of Credit of such Issuing Bank issued, increased or decreased, and the actual dollar amount of such Bank’s participation in such Letter of Credit. Each Bank’s obligation to purchase participating interests
pursuant to this Section and to reimburse the respective Issuing Bank for such Bank’s Pro Rata Share of any payment under a Letter of Credit by such Issuing Bank not reimbursed in full by the Borrower shall be absolute and unconditional
and shall not be affected by any circumstance, including, without limitation, (i) any of the circumstances described in paragraph (d) below, (ii) the occurrence and continuance of a Default, (iii) an adverse change in the
financial condition of the Borrower or any Guarantor, or (iv) any other circumstance, happening or event whatsoever, whether or not similar to any of the foregoing, except for any such circumstance, happening or event constituting or arising
from gross negligence or willful misconduct on the part of such Issuing Bank. 
 (c) Reimbursement. The Borrower shall
pay promptly on demand to each Issuing Bank in respect of each Letter of Credit issued by such Issuing Bank an amount equal to any amount paid by such Issuing Bank under or in respect of such Letter of Credit. In the event any Issuing Bank makes a
payment pursuant to a request for draw presented under a Letter of Credit and such payment is not promptly reimbursed by the Borrower upon demand, such Issuing Bank shall give notice of such payment to the Administrative Agent and the Banks, and
each Bank shall promptly reimburse such Issuing Bank for such Bank’s Pro Rata Share of such payment, and such reimbursement shall be deemed for all purposes of this Agreement to constitute a Base Rate Advance to the Borrower from such Bank. If
such reimbursement is not made by any Bank to any Issuing Bank on the same day on which such Issuing Bank shall have made payment on any such draw, such Bank shall pay interest thereon to such Issuing Bank for each such day from the date such
payment should have been made until the date repaid at a rate per annum equal to the Federal Funds Rate for each such day. The Borrower hereby unconditionally and irrevocably authorizes, empowers, and directs the Administrative Agent and the Banks
to record and otherwise treat each payment under a Letter of Credit not immediately reimbursed by the Borrower as a Borrowing comprised of Base Rate Advances to the Borrower. 
 (d) Obligations Unconditional. Except to the extent provided in Section 2.13(e), the obligations of the Borrower under this Agreement in respect of each Letter of Credit shall be unconditional
and irrevocable, and shall be paid strictly in accordance with the terms of this Agreement under all circumstances, notwithstanding the following circumstances: 

  
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 (i) any lack of validity or enforceability of any Letter of Credit
Documents; 
 (ii) any amendment or waiver of or any consent to departure from any Letter of Credit Documents;

 (iii) the existence of any claim, set-off, defense or other right which the Borrower or any Bank or any other
Person may have at any time against any beneficiary or transferee of such Letter of Credit (or any Persons for whom any such beneficiary or any such transferee may be acting), the respective Issuing Bank or any other Person or entity, whether in
connection with this Agreement, the transactions contemplated in this Agreement or in any Letter of Credit Documents or any unrelated transaction; 
 (iv) any statement or any other document presented under such Letter of Credit proving to be forged, fraudulent, invalid or insufficient in any respect or any statement therein being untrue or inaccurate
in any respect to the extent the respective Issuing Bank would not be liable therefor pursuant to the following paragraph (e); 
 (v) payment by the respective Issuing Bank under such Letter of Credit against presentation of a draft or certificate which does not comply with the terms of such Letter of Credit; or 

(vi) any other circumstance or happening whatsoever, whether or not similar to any of the foregoing. 

(e) Liability of Issuing Banks. The Borrower assumes all risks of the acts or omissions of any beneficiary or transferee of any
Letter of Credit with respect to its use of such Letter of Credit. No Issuing Bank, nor any other Bank, nor any of their respective officers or directors shall be liable or responsible for: 

(i) the use which may be made of any Letter of Credit or any acts or omissions of any beneficiary or transferee in
connection therewith; 
 (ii) the validity, sufficiency or genuineness of documents, or of any endorsement
thereon, even if such documents should prove to be in any or all respects invalid, insufficient, fraudulent or forged; 
 (iii) payment by such Issuing Bank against presentation of documents which do not comply with the terms of a Letter of Credit, including failure of any documents to bear any reference or adequate
reference to the relevant Letter of Credit; or 
 (iv) any other circumstances whatsoever in making or failing to
make payment under any Letter of Credit (including such Issuing Bank’s own negligence); 
 except that the Borrower shall have a
claim against such Issuing Bank to the extent of any direct, as opposed to consequential, damages suffered by the Borrower which the Borrower proves were caused by (A) such Issuing Bank’s willful misconduct or gross negligence in
determining whether documents presented under a Letter of Credit comply with the terms of such Letter of Credit or (B) such Issuing Bank’s gross negligence in failing to make lawful payment under any Letter of Credit after the presentation
to it of a draft and certificate strictly complying with the terms and conditions of such Letter of Credit. In furtherance and not in limitation of the foregoing, any Issuing Bank may accept documents that appear on their face to be in order,
without responsibility for further investigation. 

  
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 (f) Cash Collateral. (i) In the event that any Letter of Credit remains
outstanding on that date three (3) Business Days prior to the Maturity Date and (ii) when required pursuant to Section 8.03(b), then, in either such case, the Borrower shall deposit into the Cash Collateral Account on or prior to such
date an amount of cash equal to the outstanding Letter of Credit Exposure as security for the Obligations to the extent the Letter of Credit Obligations are not otherwise paid at such time. 

Section 2.14 Bank Replacement. 
 (a) Right to Replace. The Borrower shall have the right to replace any Defaulting Lender and each Bank affected by a condition under Section 2.02(c)(v), 2.09, 2.11, or 2.12 for more than 90
days (each such affected Bank, an “Affected Bank”) in accordance with the procedures in this Section 2.14 and provided that no reduction of the total Commitments occurs as a result thereof. 

(b) First Right of Refusal; Replacement. (i) Upon the occurrence of any condition permitting the replacement of a Bank, the
Administrative Agent in its sole discretion shall have the right to reallocate the amount of the Commitments of the Affected Banks, including without limitation to Persons which are not already party to this Agreement but which qualify as Eligible
Assignees, which election shall be made by written notice within 30 days after the date such condition occurs. 

(ii) If the aggregate amount of the reallocated Commitments is less than the Commitments of the Affected Banks,
(A) the respective Commitments of the Banks which have received such reallocated Commitments shall be increased by the respective amounts of their proposed reallocations, and (B) the Borrower shall have the right to add additional Banks
which are Eligible Assignees to this Agreement to replace such Affected Banks, which additional Banks would have aggregate Commitments no greater than those of the Affected Banks minus the amounts of the Commitments already reallocated. 

(c) Procedure. Any assumptions of Commitments pursuant to this Section 2.14 shall be (i) made by the purchasing Bank or
Eligible Assignee and the selling Bank entering into an Assignment and Assumption and by following the procedures in Section 11.06 for adding a Bank. In connection with the reallocation of the Commitments of any Bank pursuant to the foregoing
paragraph (b), each Bank with a reallocated Commitment shall purchase from the Affected Banks at par such Bank’s ratable share of the outstanding Advances of the Affected Banks and assume such Bank’s ratable share of the Affected
Banks’ Letter of Credit Exposure. 
 Section 2.15 Sharing of Payments, Etc. If any Bank shall obtain any
payment (whether voluntary, involuntary, through the exercise of any right of set-off or otherwise) on account of its Advances or its share of Letter of Credit Obligations in excess of its Pro Rata Share of payments on account of the Advances or
Letter of Credit Obligations obtained by all the Banks, such Bank shall notify the Administrative Agent and forthwith purchase from the other Banks such participations in the Advances made by them or Letter of Credit Obligations held by them as
shall be necessary to cause such purchasing Bank to share the excess payment ratably in accordance with the requirements of this Agreement with each of them; provided, however, that if all or any portion of such excess payment is
thereafter recovered from such purchasing Bank, such purchase from each Bank shall be rescinded and such Bank shall repay to the purchasing Bank the purchase price to the extent of such Bank’s ratable share (according to the proportion of
(a) the amount of the participation sold by such Bank to the purchasing Bank as a result of such excess payment to (b) the total amount of such excess payment) of such recovery, together with an amount equal to such Bank’s ratable
share (according to the proportion of (a) the amount of such Bank’s required repayment to the purchasing Bank to (b) the total amount of all such required repayments to the purchasing Bank) of any interest or other amount paid or
payable by the purchasing Bank in respect of the total amount so recovered. The Borrower agrees that any Bank so 

  
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purchasing a participation from another Bank pursuant to this Section 2.15 may, to the fullest extent permitted by Legal Requirement, unless and until rescinded as provided above, exercise
all its rights of payment (including the right of set-off) with respect to such participation as fully as if such Bank were the direct creditor of the Borrower in the amount of such participation. 

Section 2.16 Defaulting Lenders . (a) If a Bank becomes, and during the period it remains, a Defaulting Lender or a Potential
Defaulting Lender, if any Letter of Credit is at the time outstanding, any Issuing Bank may (except, in the case of a Defaulting Lender, to the extent the Commitments have been fully reallocated pursuant to Section 2.16(b)), by notice to the
Borrower and such Defaulting Lender or Potential Defaulting Lender through the Administrative Agent, require the Borrower to Cash Collateralize the obligations of the Borrower to such Issuing Bank in respect of such Letter of Credit in amount at
least equal to 100% of the aggregate amount of the unreallocated obligations (contingent or otherwise) of such Defaulting Lender or such Potential Defaulting Lender to be applied pro rata in respect thereof, or to make other arrangements
satisfactory to the Administrative Agent and to such Issuing Bank, in their sole discretion, to protect them against the risk of non-payment by such Defaulting Lender or Potential Defaulting Lender. 

(b) If a Bank becomes, and during the period it remains, a Defaulting Lender, the following provisions shall apply with respect to any
outstanding Letter of Credit Exposure of such Defaulting Lender: 
 (i) the Letter of Credit Exposure of such
Defaulting Lender will, subject to the limitation in the first proviso below, automatically be reallocated (effective on the day such Bank becomes a Defaulting Lender) among the Non-Defaulting Lenders pro rata in accordance with their
respective Commitments; provided that (a) the conditions set forth in Section 3.02 are satisfied at the time of such reallocation (and, unless the Borrower shall have otherwise notified the Administrative Agent at such time, the
Borrower shall be deemed to have represented and warranted that such conditions are satisfied at such time), (b) the sum of each Non-Defaulting Lender’s aggregate amount of all outstanding Advances and total Letter of Credit Exposure may
not in any event exceed the Commitment of such Non-Defaulting Lender as in effect at the time of such reallocation and (c) neither such reallocation nor any payment by a Non-Defaulting Lender pursuant thereto will constitute a waiver or release
of any claim the Borrower, the Administrative Agent, any Issuing Bank or any other Bank may have against such Defaulting Lender or cause such Defaulting Lender to be a Non-Defaulting Lender; 

(ii) to the extent that any portion (the “unreallocated portion”) of the Defaulting Lender’s Letter
of Credit Exposure cannot be so reallocated, whether by reason of the first proviso in clause (i) above or otherwise, the Borrower will, not later than three (3) Business Days after demand by the Administrative Agent (at the direction of
any Issuing Bank), (a) Cash Collateralize the obligations of the Borrower to such Issuing Bank in respect of such Letter of Credit Exposure in an amount at least equal to the aggregate amount of the unreallocated portion of such Letter of
Credit Exposure, or (b) make other arrangements satisfactory to the Administrative Agent, and to such Issuing Bank, as the case may be, in their sole discretion to protect them against the risk of non-payment by such Defaulting Lender; and

 (iii) any amount paid by the Borrower or otherwise received by the Administrative Agent for the account of a
Defaulting Lender under this Agreement (whether on account of principal, interest, fees, indemnity payments or other amounts) will not be paid or distributed to such Defaulting Lender, but will instead be retained by the Administrative Agent in a
segregated non-interest bearing account until (subject to Section 2.16(f)) the termination of the Commitments and payment in full of all obligations of the Borrower hereunder and will be 

  
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applied by the Administrative Agent, to the fullest extent permitted by law, to the making of payments from time to time in the following order of priority: first to the payment of any
amounts owing by such Defaulting Lender to the Administrative Agent under this Agreement, second to the payment of any amounts owing by such Defaulting Lender to the Issuing Banks (pro rata as to the respective amounts owing to each of
them) under this Agreement, third to the payment of post-default interest and then current interest due and payable to the Banks hereunder other than Defaulting Lenders, ratably among them in accordance with the amounts of such interest then
due and payable to them, fourth to the payment of fees then due and payable to the Non-Defaulting Lenders hereunder, ratably among them in accordance with the amounts of such fees then due and payable to them, fifth to pay principal
and unreimbursed Letters of Credit then due and payable to the Non-Defaulting Lenders hereunder ratably in accordance with the amounts thereof then due and payable to them, sixth to the payment of any amounts owing to the Banks in accordance
with Section 2.10(e) until such time as the outstanding Letter of Credit Exposure is held ratably among the Banks in accordance with their respective Pro Rata Shares, seventh as the Borrower may request, to the funding of any Advance in
respect of which such Defaulting Lender has failed to fund its portion thereof as required by this Agreement, as determined by the Administrative Agent, provided that no Default or Event of Default then exists, eighth if so determined
by the Administrative Agent and the Borrower, to be held in a non-interest bearing deposit account and released in order to satisfy obligations of such Defaulting Lender to fund Advances under this Agreement, ninth, so long as no Default or
Event of Default then exists, to the payment of any amounts owing to the Borrower as a result of any judgment of a court of competent jurisdiction obtained by such against such Defaulting Lender as a result of such Defaulting Lender’s breach of
its obligations under this Agreement, and tenth after the termination of the Commitments and payment in full of all obligations of the Borrower hereunder, to pay amounts owing under this Agreement to such Defaulting Lender or as a court of
competent jurisdiction may otherwise direct. 
 (c) In furtherance of the foregoing, if any Bank becomes, and during the period
it remains, a Defaulting Lender or a Potential Defaulting Lender, each Issuing Bank is hereby authorized by the Borrower (which authorization is irrevocable and coupled with an interest) to give, in its discretion, through the Administrative Agent,
Notices of Borrowing pursuant to Section 2.02 in such amounts and in such times as may be required to (i) reimburse an Advance in respect of an outstanding Letter of Credit, and/or (ii) Cash Collateralize the obligations of the
Borrower in respect of outstanding Letters of Credit in an amount at least equal to the aggregate amount of the obligations (contingent or otherwise) of such Defaulting Lender or Potential Defaulting Lender in respect of such Letter of Credit.

 (d) Anything herein to the contrary notwithstanding, if at any time the Required Lenders determine that the Person serving as
Administrative Agent is (without taking into account any provision in the definition of “Defaulting Lender” requiring notice from the Administrative Agent or any other party) a Defaulting Lender pursuant to clause (v) of the
definition thereof, the Required Lenders (determined after giving effect to Section 11.01) may by notice to the Borrower and such Person remove such Person as Administrative Agent and, in consultation with the Borrower, appoint a replacement
Administrative Agent hereunder. Such removal will, to the fullest extent permitted by applicable law, be effective on the earlier of (i) the date a replacement Administrative Agent is appointed and (ii) the date thirty (30) days after
the giving of such notice by the Required Lenders (regardless of whether a replacement Administrative Agent has been appointed). 
 (e) The Borrower may terminate the unused amount of the Commitment of a Defaulting Lender upon not less than ten (10) Business Days’ prior notice to the Administrative Agent (which will promptly
notify the Banks thereof), and in such event the provisions of Section 2.16(b)(iii) will apply to all amounts thereafter paid by the Borrower for the account of such Defaulting Lender under

  
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this Agreement (whether on account of principal, interest, fees, indemnity or other amounts), provided that such termination will not be deemed to be a waiver or release of any claim the
Borrower, the Administrative Agent, any Issuing Bank or any Bank may have against such Defaulting Lender. 
 (f) If the
Borrower, the Administrative Agent and the Issuing Banks agree in writing, in their discretion, that a Bank is no longer a Defaulting Lender or a Potential Defaulting Lender, as the case may be, the Administrative Agent will so notify the parties
hereto, whereupon as of the effective date specified in such notice and subject to any conditions set forth therein (which may include arrangements with respect to any amounts then held in the segregated account referred to in Section 2.16(b)),
such Bank will, to the extent applicable, purchase at par such portion of outstanding Advances of the other Banks and/or make such other adjustments as the Administrative Agent may determine to be necessary to cause the aggregate amount of all
outstanding Advances and the Letter of Credit Exposure of the Banks to be on a pro rata basis in accordance with their respective Commitments, whereupon such Bank will cease to be a Defaulting Lender or Potential Defaulting Lender and will be
a Non-Defaulting Lender (and such exposure of each Bank will automatically be adjusted on a prospective basis to reflect the foregoing); provided that no adjustments will be made retroactively with respect to fees accrued or payments made by
or on behalf of the Borrower while such Bank was a Defaulting Lender; and provided further that except to the extent otherwise expressly agreed by the affected parties, no change hereunder from Defaulting Lender or Potential Defaulting Lender
to Non-Defaulting Lender will constitute a waiver or release of any claim of any party hereunder arising from such Bank’s having been a Defaulting Lender or Potential Defaulting Lender. 

ARTICLE III 
 CONDITIONS OF LENDING 

Section 3.01 Conditions Precedent to Initial Advance. The obligation of each Bank to make its initial Advance under this
Agreement as part of the initial Borrowing under this Agreement and of the Existing Issuing Bank to continue the Existing Letters of Credit under this Agreement are subject to the following conditions precedent: 

(a) Documentation. The Administrative Agent shall have received counterparts of this Agreement executed by the Borrower and the
Banks, and the following duly executed by all the parties thereto, in form and substance satisfactory to the Administrative Agent, and, with respect to this Agreement, the Notes, all Guaranties and the Environmental Indemnity, in sufficient copies
for each Bank (except for each Note, as to which one original of each shall be sufficient): 
 (i) a Note duly
executed by the Borrower and payable to the order of each Bank that has requested the same, all Guaranties, and the Environmental Indemnity; 
 (ii) a certificate from the Chief Executive Officer, President or Chief Financial Officer of the Parent on behalf of the Borrower dated as of the Closing Date stating that as of the Closing Date
(A) all representations and warranties of the Borrower set forth in this Agreement and the Credit Documents are true and correct in all material respects (except to the extent that any representation or warranty that is qualified by materiality
shall be true and correct in all respects); (B) no Default has occurred and is continuing; (C) the conditions in this Section 3.01 have been met or waived in writing; and (D) to the best of the Borrower’s knowledge there are
no claims, defenses, counterclaims or offsets by the Borrower against the Banks under the Credit Documents; 

  
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 (iii) a certificate of the Secretary or an Assistant Secretary of the Parent
on behalf of the Borrower, each Guarantor, each Subsidiary of the Parent and each general partner or managing member (if any) of each of the foregoing, dated as of the Closing Date certifying as of the Closing Date to the extent applicable
(A) the names and true signatures of officers or authorized representatives of the general partner of such Person authorized to sign the Credit Documents to which such Person is a party as general partner of such Person, (B) resolutions of
the Board of Directors or the members of the general partner of such Person approving the transactions herein contemplated and of all documents evidencing other necessary corporate action and governmental and other third party approvals and
consents, if any, with respect to the transactions under the Credit Documents and each Credit Document to which it is or is to be a party, (C) a true and correct copy of the organizational documents of the general partner of such Person,
(D) a true and correct copy of the bylaws, operating agreement, partnership agreement or other governing document of such Person, and (E) a true and correct copy of all partnership or other organizational authorizations necessary or
desirable in connection with the transactions herein contemplated; 
 (iv) a certificate of the Secretary or an
Assistant Secretary of the Parent dated as of the Closing Date certifying as of the Closing Date (A) resolutions of the Board of Directors or the members of the general partner of such Person approving the transactions herein contemplated and
of all documents evidencing other necessary corporate action and governmental and other third party approvals and consents, if any, with respect to the transactions under the Credit Documents and each Credit Document to which it is or is to be a
party, (B) the copies of the charter and bylaws of the Parent and any modification or amendment to the articles or certificate of incorporation or bylaws of the Parent made since such date, and (C) that the Parent owns 100% of the general
partner interests and at least 70% of the limited partnership interests in the Borrower; 
 (v) a copy of a
certificate of the Secretary of State (or equivalent authority) of the jurisdiction of incorporation, organization or formation of each of the Parent, the Borrower and each Guarantor, dated reasonably near the Closing Date, certifying, if and to the
extent such certification is generally available for entities of the type of such Person, (A) as to a true and correct copy of the charter, certificate of limited partnership, limited liability company agreement or other organizational document
of such Person, and each amendment thereto on file in such Secretary’s office, (B) that (1) such amendments are the only amendments to the charter, certificate of limited partnership, limited liability company agreement or other
organizational document, as applicable, of such Person on file in such Secretary’s office, (2) such Person has paid all franchise taxes to the date of such certificate and (C) such Person is duly incorporated, organized or formed and
in good standing or presently subsisting under the laws of the jurisdiction of its incorporation, organization or formation; 
 (vi) A copy of a certificate of the Secretary of State (or equivalent authority) of each jurisdiction in which any of the Parent, the Borrower and each Guarantor owns or leases property or in which the
conduct of its business requires it to qualify or be licensed as a foreign corporation except where the failure to so qualify or be licensed could not reasonably be expected to result in a Material Adverse Change, dated reasonably near (but prior
to) the Closing Date, stating, with respect to each such Person that such Person is duly qualified and in good standing as a foreign corporation, limited partnership or limited liability company in such State and has filed all annual reports
required to be filed to the date of such certificate; 

  
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 (vii) (A) one or more favorable written opinions of DeCampo, Diamond
and Ash, Hagan & Associates and DLA Piper LLP, each special counsel for the Borrower, the Parent, and their Subsidiaries, in a form reasonably acceptable to the Administrative Agent, in each case dated as of the Closing Date and with such
changes as the Administrative Agent may approve, and (B) such other legal opinions as the Administrative Agent shall reasonably request, in each case dated as of the Closing Date and with such changes as the Administrative Agent may approve;

 (viii) in the event the initial Advance is a LIBOR Advance made on the Closing Date, a breakage indemnity
letter agreement executed by the Borrower and dated as of the date of the related Notice of Borrowing in form and substance satisfactory to the Administrative Agent; 

(ix) any information or materials reasonably required by the Administrative Agent or any Bank in order to assist the
Administrative Agent or such Bank in maintaining compliance with (i) the USA Patriot Act (Title III of Pub. L. 107-56 (signed into law October 26, 2001)) (the “Patriot Act”) and (ii) any applicable “know
your customer” or similar rules and regulations; 
 (x) a Compliance Certificate duly executed by a
Responsible Officer of the Parent, dated the Closing Date or, if later, the date of the initial Advance, in each case confirming that the Parent is in compliance with the covenants contained in Article VII on such date (including after giving effect
to the initial Advance, if any, made on such date); and 
 (xi) such other documents, governmental certificates,
agreements, and lien searches as the Administrative Agent may reasonably request. 
 (b) Representations and Warranties.
The representations and warranties contained in Article IV hereof, the Guaranties, and the Environmental Indemnity shall be true and correct in all material respects (except to the extent that any representation or warranty that is qualified by
materiality shall be true and correct in all respects). 
 (c) Certain Payments. The Borrower shall have paid the fees
required to be paid as of the execution of this Credit Agreement pursuant to the Fee Letter. 
 (d) Termination of Existing
Facility. The Borrower shall have satisfied and terminated the credit facility evidenced by that certain Amended and Restated Unsecured Credit Agreement dated as of June 9, 2005 with Bank of Montreal as the administrative agent, as amended
to date. 
 (e) Other. The Administrative Agent shall have received such other approvals, opinions or documents deemed
necessary or desirable by any Bank or the Administrative Agent as such party may reasonably request. 
 Section 3.02
Conditions Precedent for each Borrowing or Letter of Credit. The obligation of each Bank to fund an Advance on the occasion of each Borrowing (other than the Conversion or continuation of any existing Borrowing) and of any Issuing Bank to issue
or increase or extend any Letter of Credit shall be subject to the further conditions precedent that on the date of such Borrowing or the issuance or increase or extension of such Letter of Credit: 

(a) the following statements shall be true (and each of the giving of the applicable Notice of Borrowing and the acceptance by the
Borrower of the proceeds of such Borrowing or the issuance or increase or extension of such Letter of Credit shall constitute a representation and warranty by the Borrower that on the date of such Borrowing or the issuance or increase or extension
of such Letter of Credit such statements are true): 

  
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 (i) the representations and warranties contained in Article IV hereof,
the Guaranties, and the Environmental Indemnity are correct in all material respects (except to the extent that any representation or warranty that is qualified by materiality shall be true and correct in all respects) as such representations and
warranties may have changed based upon events or activities not prohibited by this Agreement on and as of the date of such Borrowing or the issuance or increase or extension of such Letter of Credit, before and after giving effect to such Borrowing
or to the issuance or increase or extension of such Letter of Credit and to the application of the proceeds from such Borrowing, as though made on and as of such date, except to the extent such representations and warranties expressly relate to an
earlier date; and 
 (ii) no Default has occurred and is continuing or would result from such Borrowing or from
the application of the proceeds therefrom; 
 (b) the Borrower shall have executed and delivered to the Administrative Agent a
Notice of Borrowing in accordance with Section 2.02; and 
 (c) the Administrative Agent shall have received such other
approvals, opinions or documents deemed necessary or desirable by any Bank or the Administrative Agent as such party may reasonably request in order to confirm (i) the accuracy of the Borrower’s and any Guarantor’s representations and
warranties contained in the Credit Documents, (ii) the Borrower’s and any Guarantor’s timely compliance with the terms, covenants and agreements set forth in the Credit Documents, (iii) the absence of any Default and
(iv) the rights and remedies of the Administrative Agent or any Bank or the ability of the Borrower to perform any of the Obligations. 
 In addition to the other conditions precedent herein set forth, if any Bank becomes, and during the period it remains, a Defaulting Lender or a Potential Defaulting Lender, no Issuing Bank will be
required to issue any Letter of Credit or to amend any outstanding Letter of Credit to increase the face amount thereof, alter the drawing terms thereunder or extend the expiry date thereof, unless such Issuing Bank is satisfied that any exposure
that would result therefrom is fully covered or eliminated by any combination satisfactory to such Issuing Bank of the following: 
 (x) in the case of a Defaulting Lender, the Letter of Credit Exposure of such Defaulting Lender is reallocated, as to outstanding and future Letters of Credit, to the Non-Defaulting Lenders as provided in
clause (i) of Section 2.16(b); 
 (y) in the case of a Defaulting Lender or a Potential Defaulting
Lender, without limiting the provisions of Section 2.16(a), the Borrower Cash Collateralizes the obligations of the Borrower in respect of such Letter of Credit in an amount at least equal to the aggregate amount of the unreallocated
obligations (contingent or otherwise) of such Defaulting Lender or Potential Defaulting Lender in respect of such Letter of Credit, or makes other arrangements satisfactory to the Administrative Agent and such Issuing Bank in their sole discretion
to protect them against the risk of non-payment by such Defaulting Lender or Potential Defaulting Lender; and 

(z) in the case of a Defaulting Lender or a Potential Defaulting Lender, then in the case of a proposed issuance of a
Letter of Credit by an instrument or instruments in form and substance satisfactory to the Administrative Agent and to such Issuing Bank, the Borrower agrees that the face amount of such requested Letter of Credit will be reduced by an amount equal

  
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to the unreallocated, non-Cash Collateralized portion thereof as to which such Defaulting Lender or Potential Defaulting Lender would otherwise be liable, in which case the obligations of the
Non-Defaulting Lenders in respect of such Letter of Credit will, subject to the first proviso below, be on a pro rata basis in accordance with the Commitments of the Non-Defaulting Lenders, and the pro rata payment provisions of
Section 2.10(e) will be deemed adjusted to reflect this provision; 
 provided that (1) the sum of each Non-Defaulting
Lender’s aggregate amount of all outstanding Advances and total Letter of Credit Exposure may not in any event exceed the Commitment of such Non-Defaulting Lender, and (2) neither any such reallocation nor any payment by a Non-Defaulting
Lender pursuant thereto nor any such Cash Collateralization or reduction will constitute a waiver or release of any claim the Borrower, the Administrative Agent, any Issuing Bank or any other Bank may have against such Defaulting Lender, or cause
such Defaulting Lender or Potential Defaulting Lender to be a Non-Defaulting Lender. 
 ARTICLE IV 

REPRESENTATIONS AND WARRANTIES 

The Borrower represents and warrants as follows: 
 Section 4.01 Existence; Qualification; Partners; Subsidiaries. (a) The Borrower is a limited partnership duly organized, validly existing, and in good standing under the laws of Delaware and
in good standing and qualified to do business in each jurisdiction where its ownership or lease of property or conduct of its business requires such qualification, except where the failure to so qualify would not cause a Material Adverse Change.

 (b) The Parent is a real estate investment trust duly organized, validly existing, and in good standing under the laws of
Maryland and in good standing and qualified to do business in each jurisdiction where its ownership or lease of property or conduct of its business requires such qualification, except where the failure to so qualify would not cause a Material
Adverse Change with respect to the Parent. The Parent has no first tier Subsidiaries except for (i) the Borrower, (ii) Subsidiaries the sole assets of which are direct or indirect partnership interests in the Borrower, (iii) members
of Permitted Other Subsidiaries, (iv) LHO Hollywood Financing, Inc. (QRS), a Delaware corporation, and (v) LHO New Orleans Financing, Inc., a Delaware corporation. 
 (c) The Parent is the Borrower’s sole general partner with full power and authority to bind the Borrower to the Credit Documents. 

(d) The Parent owns a 1% general partner interest in and at least 70% of the limited partnership interest in the Borrower. 

(e) Each Subsidiary of the Borrower is a limited partnership, general partnership, limited liability company or corporation duly
organized, validly existing, and in good standing under the laws of its jurisdiction of formation and in good standing and qualified to do business in each jurisdiction where its ownership or lease of property or conduct of its business requires
such qualification, except where the failure to so qualify would not have a material adverse effect on such Subsidiary. The Borrower has no Subsidiaries on the date of this Agreement other than the Subsidiaries listed on the attached
Schedule 4.01, and Schedule 4.01 lists the jurisdiction of formation and the address of the principal office of each such Subsidiary existing on the date of this Agreement. As of the date of this Agreement, the Borrower and/or the Parent
owns, directly or indirectly, at least 99% of the interests in each such Subsidiary. 

  
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 (f) As of the date of this Agreement, neither the Borrower, nor the Parent, nor any of the
Subsidiaries own directly or indirectly (i) such a percentage of the beneficial ownership interest in any participating lessee for a Hotel Property or (ii) such an Investment in the Personal Property for any Hotel Property as would cause a
potential Event of Default under Section 8.01(m). 
 Section 4.02 Partnership and Corporate Power. The
execution, delivery, and performance by the Borrower, the Parent, and each Guarantor of the Credit Documents to which it is a party and the consummation of the transactions contemplated hereby and thereby (a) are within such Persons’
trust, partnership, limited liability company and corporate powers, as applicable, (b) have been duly authorized by all necessary trust, corporate, limited liability company and partnership action, as applicable, (c) do not contravene
(i) such Person’s declaration of trust, certificate or articles, as the case may be, of incorporation or by-laws, operating agreement or partnership agreement, as applicable, or (ii) any law or any contractual restriction binding on
or affecting any such Person, the contravention of which could reasonably be expected to cause a Material Adverse Change, and (d) will not result in or require the creation or imposition of any Lien prohibited by this Agreement. At the time of
each Borrowing, such Borrowing and the use of the proceeds of such Borrowing will be within the Borrower’s partnership powers, will have been duly authorized by all necessary partnership action, (a) will not contravene (i) the
Borrower’s partnership agreement or (ii) any law or any contractual restriction binding on or affecting the Borrower, the contravention of which could reasonably be expected to cause a Material Adverse Change, and (b) will not result
in or require the creation or imposition of any Lien prohibited by this Agreement. 
 Section 4.03 Authorization and
Approvals. No authorization or approval or other action by, and no notice to or filing with, any Governmental Authority is required for the due execution, delivery and performance by the Borrower, the Parent, or any Guarantor of the Credit
Documents to which it is a party or the consummation of the transactions contemplated thereby. At the time of each Borrowing, no authorization or approval or other action by, and no notice to or filing with, any Governmental Authority will be
required for such Borrowing or the use of the proceeds of such Borrowing the absence of which could reasonably be expected to cause a Material Adverse Change. 
 Section 4.04 Enforceable Obligations. This Agreement, the Notes, and the other Credit Documents to which the Borrower is a party have been duly executed and delivered by the Borrower; each
Guaranty and the other Credit Documents to which each Guarantor and the Parent is a party have been duly executed and delivered by such Guarantor and the Environmental Indemnity has been duly executed and delivered by the parties thereto. Each
Credit Document is the legal, valid, and binding obligation of the Borrower, the Parent, and each Guarantor which is a party to it enforceable against the Borrower, the Parent, and each such Guarantor in accordance with its terms, except as such
enforceability may be limited by any applicable bankruptcy, insolvency, reorganization, moratorium, or similar law affecting creditors’ rights generally and by general principles of equity (whether considered in proceeding at law or in equity).

 Section 4.05 Parent Stock. As of December 9, 2011, the entire authorized capital stock of the Parent
consists of (a) 200,000,000 shares of Parent Common Stock of which 83,786,932 shares of Parent Common Stock are duly and validly issued and outstanding, fully paid and nonassessable as of the Closing Date, and (b) 40,000,000 preferred
shares of beneficial interest, $0.01 par value per share, of which, 15,768,888 shares in the aggregate of Series D, Series E, Series G and Series H of such preferred shares of beneficial interest are duly and validly issued and outstanding, fully
paid and nonassessable as of the Closing Date and such preferred shares of beneficial interest provide no rights to any holder thereof that may cause a violation of Section 6.04(f). The issuance and sale of such Parent Common Stock and such
preferred shares of beneficial interest of the Parent either (i) has been registered under applicable federal and state securities laws or (ii) was issued pursuant to an exemption therefrom. The Parent meets the requirements for taxation
as a REIT under the Code. 

  
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 Section 4.06 Financial Statements. The Consolidated balance sheet of the Parent
and its Subsidiaries, and the related Consolidated statements of operations, shareholders’ equity and cash flows, of the Parent and its Subsidiaries contained in the most recent financial statements delivered to the Banks, fairly present the
financial condition in all material respects and reflects the Indebtedness of the Parent and its Subsidiaries as of the respective dates of such statements and the results of the operations of the Existing Properties for the periods indicated, and
such balance sheet and statements were prepared in accordance with GAAP, subject to year-end adjustments. Since December 31, 2010, neither a Material Adverse Change, nor any material adverse change to the prospects or the Property of the Parent
or the Borrower has occurred. 
 Section 4.07 True and Complete Disclosure. No representation, warranty, or other
statement made by the Borrower (or on behalf of the Borrower) in this Agreement or any other Credit Document contains any untrue statement of a material fact or omits to state any material fact necessary to make the statements contained therein not
misleading in light of the circumstances in which they were made as of the date of this Agreement. There is no fact known to the Borrower or the Parent on the date of this Agreement that has not been disclosed to the Administrative Agent which could
reasonably be expected to cause a Material Adverse Change. All projections, estimates, and pro forma financial information furnished by the Borrower and the Parent or on behalf of the Borrower or the Parent were prepared on the basis of assumptions,
data, information, tests, or conditions believed to be reasonable at the time such projections, estimates, and pro forma financial information were furnished. No representation, warranty or other statement made in any filing required by the Exchange
Act contains any untrue statement of material fact or omits to state any material fact necessary to make the statements contained therein not misleading in light of the circumstances in which they were made as of the date same were made. Borrower
and/or Parent have made all filings required by the Exchange Act. 
 Section 4.08 Litigation. Except as set forth in
the attached Schedule 4.08 and except with respect to any other actions or proceedings that, individually or in the aggregate, could not reasonably be expected to cause a Material Adverse Change, as of the date of this Agreement there is no
pending or, to the best knowledge of the Borrower, threatened action or proceeding affecting the Borrower, the Parent, any participating lessee for a Hotel Property or any of their respective Subsidiaries before any court, Governmental Authority or
arbitrator. 
 Section 4.09 Use of Proceeds. 

(a) Advances. The proceeds of the Advances will be used by the Borrower (i) to refinance and repay existing Indebtedness,
(ii) to make investments permitted pursuant to the provisions of Section 6.07, (iii) to finance the renovation, repair, restoration and expansion of Hotel Properties, Capital Expenditures and expenditures for FF&E for any Hotel
Properties in accordance with the provisions of Section 5.06 and as permitted pursuant to the provisions of Sections 6.07 and 6.13, (iv) for general corporate purposes of the Borrower and its Subsidiaries, and (v) for costs incurred
in connection with this Agreement and any Capitalization Event done in compliance with this Agreement. 
 (b)
Regulations. 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. The 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). 

  
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 Section 4.10 Investment Company Act. Neither the Borrower, the Parent nor any of
their respective 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. 

Section 4.11 Taxes. All federal, state, local and foreign tax returns, reports and statements required to be filed (after
giving effect to any extension granted in the time for filing) by the Parent, the Borrower, their respective Subsidiaries, or any member of a Controlled Group have been filed with the appropriate governmental agencies in all jurisdictions in which
such returns, reports and statements are required to be filed, and where the failure to file could reasonably be expected to cause a Material Adverse Change, except where contested in good faith and by appropriate proceedings; and all taxes and
other impositions due and payable (which are material in amount) have been timely paid prior to the date on which any fine, penalty, interest, late charge or loss (which are material in amount) may be added thereto for non-payment thereof
except where contested in good faith and by appropriate proceedings. As of the date of this Agreement, neither the Parent, the Borrower nor any member of a Controlled Group has given, or been requested to give, a waiver of the statute of limitations
relating to the payment of any federal, state, local or foreign taxes or other impositions. None of the Property owned by the Parent, the Borrower or any other member of a Controlled Group is Property which the Parent, the Borrower or any member of
a Controlled Group is required to be treated as being owned by any other Person pursuant to the provisions of Section 168(f)(8) of the Code. Proper and accurate amounts have been withheld by the Borrower and all members of each Controlled Group
from their employees for all periods to comply in all material respects with the tax, social security and unemployment withholding provisions of applicable federal, state, local and foreign law. Timely payment of all material sales and use taxes
required by applicable law have been made by the Parent, the Borrower and all other members of each Controlled Group, the failure to timely pay of which could reasonably be expected to cause a Material Adverse Change. The amounts shown on all tax
returns to be due and payable have been paid in full or adequate provision therefor is included on the books of the appropriate member of the applicable Controlled Group. 
 Section 4.12 Pension Plans. All Plans are in compliance in all material respects with all applicable provisions of ERISA. No Termination Event has occurred with respect to any Plan, and each
Plan has complied with and been administered in all material respects in accordance with applicable provisions of ERISA and the Code. 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 applicable
provisions of ERISA and the Code. Neither the Parent, the Borrower, nor any member of a Controlled Group has had a complete or partial withdrawal from any Multiemployer Plan for which there is any material withdrawal liability. As of the most recent
valuation date applicable thereto, neither the Parent, the Borrower nor any member of a Controlled Group has received notice that any Multiemployer Plan is insolvent or in reorganization. 

Section 4.13 Condition of Hotel Property; Casualties; Condemnation. Except as disclosed in writing to the Administrative
Agent, and except for such items as the Borrower or a Subsidiary is or will be addressing consistent with sound business practices and has sufficient funds to address, each Existing Property and any Future Property (a) is and will continue to
be in good repair, working order and condition, normal wear and tear excepted, (b) is free of structural defects, (c) is not subject to material deferred maintenance and (d) has and will have all building systems contained therein and
all other FF&E in good repair, working order and condition, normal wear and tear excepted. None of the Properties of the Borrower or of any of its Subsidiaries has been materially and adversely affected as a result of any fire, explosion,
earthquake, flood, drought, windstorm, accident, strike or other labor disturbance, embargo, requisition or taking of property or cancellation of contracts, permits or concessions by a Governmental Authority, riot, activities of armed forces or acts
of God or of any public enemy. No condemnation or other like proceedings that has had, or could reasonably be expected to result in, a 

  
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Material Adverse Change, are pending and served nor, to the knowledge of the Borrower, threatened against any Property in any manner whatsoever. No casualty has occurred to any Property that
could reasonably be expected to have a Material Adverse Change. 
 Section 4.14 Insurance. The Borrower and each of
its Subsidiaries carry, or are the beneficiaries under, the insurance required pursuant to the provisions of Section 5.07. 

Section 4.15 No Burdensome Restrictions; No Defaults. (a) Except in connection with Indebtedness which is (i) either
permitted pursuant to the provisions of Section 6.02, or (ii) being repaid with the proceeds of the initial Borrowing, neither the Parent, the Borrower nor any of their respective Subsidiaries is a party to any indenture, loan or credit
agreement. Neither the Borrower, the Parent nor any of their respective Subsidiaries is a party to any agreement or instrument or subject to any charter or corporate restriction or provision of applicable law or governmental regulation which could
reasonably be expected to cause a Material Adverse Change. Neither the Borrower, the Parent nor any of their Subsidiaries is in default under or has received any notice of default with respect to (i) any contract, agreement, lease or other
instrument or (ii) any Qualified Ground Lease, franchise agreement or management agreement which default could reasonably be expected to cause a Material Adverse Change. 
 (b) No Default or Event of Default has occurred and is continuing. 

Section 4.16 Environmental Condition. (a) Except as disclosed in writing to the Administrative Agent, to the knowledge of the
Borrower, the Borrower and its Subsidiaries (i) have obtained all Environmental Permits material for the ownership and operation of their respective Properties and the conduct of their respective businesses; (ii) have been and are in
material compliance with all terms and conditions of such Environmental Permits and with all other requirements of applicable Environmental Laws; (iii) have not received notice of any violation or alleged violation of any Environmental Law or
Environmental Permit; and (iv) are not subject to any actual or contingent Environmental Claim. 
 (b) Except as disclosed
in writing to the Administrative Agent, to the knowledge of Borrower, none of the present or previously owned or operated Property of the Borrower or of any of its present or former Subsidiaries, wherever located, (i) has been placed on or
proposed to be placed on the National Priorities List, the Comprehensive Environmental Response Compensation Liability Information System list, or their state or local analogs, or have been otherwise investigated, designated, listed, or identified
as a potential site for removal, remediation, cleanup, closure, restoration, reclamation, or other response activity under any Environmental Laws which could reasonably be expected to cause a Material Adverse Change; (ii) is subject to a Lien,
arising under or in connection with any Environmental Laws, that attaches to any revenues or to any Property owned or operated by the Borrower or any of its Subsidiaries, wherever located; (iii) has been the site of any Release, use or storage
of Hazardous Substances or Hazardous Wastes from present or past operations except for Permitted Hazardous Substances, which Permitted Hazardous Substances have not caused at the site or at any third-party site any condition that has resulted in or
could reasonably be expected to result in the need for Response or (iv) none of the Improvements are constructed on land designated by any Governmental Authority having land use jurisdiction as wetlands. 

Section 4.17 Legal Requirements, Zoning, Utilities, Access. Except as set forth on Schedule 4.17 attached hereto, the use and
operation of each Hotel Property as a commercial hotel with related uses constitutes a legal use under applicable zoning regulations (as the same may be modified by special use permits or the granting of variances) and complies in all material
respects with all Legal Requirements, and does not violate in any material respect any material approvals, material restrictions of record or any material agreement affecting any Hotel Property (or any portion thereof). The Borrower and its

  
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Subsidiaries possess all certificates of public convenience, authorizations, permits, licenses, patents, patent rights or licenses, trademarks, trademark rights, trade names rights and copyrights
(collectively “Permits”) required by Governmental Authority to own and operate the Hotel Properties, except for those Permits if not obtained would not cause a Material Adverse Change. The Borrower and its Subsidiaries own and
operate their business in material compliance with all applicable Legal Requirements. To the extent necessary for the full utilization of each Hotel Property in accordance with its current use, telephone services, gas, steam, electric power, storm
sewers, sanitary sewers and water facilities and all other utility services are available to each Hotel Property, are adequate to serve each such Hotel Property, exist at the boundaries of the Land and are not subject to any conditions, other than
normal charges to the utility supplier, which would limit the use of such utilities. All streets and easements necessary for the occupancy and operation of each Hotel Property are available to the boundaries of the Land. 

Section 4.18 Existing Indebtedness. Except for the Obligations, the only Indebtedness of the Borrower, the Parent or any of
their respective Subsidiaries existing as of the Closing Date is the Secured Non-Recourse Indebtedness, Secured Recourse Indebtedness and other Indebtedness set forth on Schedule 4.18 attached hereto and certain other Indebtedness incurred in the
ordinary course of business not to exceed $50,000. No “default” or “event of default”, however defined, has occurred and is continuing under any such Indebtedness (or with respect to the giving of this representation after the
date of this Agreement, as otherwise disclosed to the Administrative Agent in writing after the date of this Agreement and prior to the date such representation is deemed given). 

Section 4.19 Title; Encumbrances. With respect to the Existing Properties, the Borrower or any Guarantor, as the case may be,
has (i) good and marketable fee simple title to the Real Property (other than for Real Property subject to a ground lease, as to which it has a valid leasehold interest) and (ii) good and marketable title to the Personal Property
(other than Personal Property for any Hotel Property for which the Property Owner has a valid leasehold interest) free and clear of all Liens, and there exists no Liens or other charges against such Property or leasehold interest or any of the real
or personal, tangible or intangible, Property of the Borrower or any Guarantor (including without limitation statutory and other Liens of mechanics, workers, contractors, subcontractors, suppliers, taxing authorities and others; provided that
certain Capital Expenditures have been made to the Hotel Properties prior to the Effective Date for which the payment is not past due), except (A) Permitted Encumbrances and (B) the Personal Property (plus any replacements thereof)
owned by the participating lessee for such Existing Property. 
 Section 4.20 Leasing Arrangements. Except for
(i) those Operating Leases between a Property Owner and LaSalle Leasing or a wholly-owned Subsidiary of LaSalle Leasing and (ii) the Approved Third Party Operating Leases, the only material leases of Unencumbered Properties for which
either the Borrower or a Guarantor is a lessee are the Qualified Ground Leases. The Property Owner for a Real Property subject to a Qualified Ground Lease is the lessee under such Qualified Ground Lease and no consent is necessary to such Person
being the lessee under such Qualified Ground Lease which has not already been obtained. The Qualified Ground Leases are in full force and effect and no defaults exist thereunder. 

Section 4.21 Unencumbered Properties The Borrower represents to the Banks and the Administrative Agent that the Unencumbered
Properties as of the date of this Agreement are identified as such on Schedule 1.01(b) attached hereto. 

  
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 ARTICLE V 
 AFFIRMATIVE COVENANTS 
 So long as any Note
or any amount under any Credit Document shall remain unpaid, any Letter of Credit shall remain outstanding, or any Bank shall have any Commitment hereunder, unless the Administrative Agent shall otherwise consent in writing (subject to the
provisions of Section 11.01), the Borrower agrees to comply with the following covenants. 
 Section 5.01
Compliance with Laws, Etc. The Borrower will comply, and cause each of its Subsidiaries to comply, in all material respects with all Legal Requirements. 
 Section 5.02 Preservation of Existence, Separateness, Etc. (a) The Borrower will (i) preserve and maintain, and cause each of its Subsidiaries and the Parent to preserve and maintain, its
partnership, limited liability company, corporate or trust (as applicable) existence, rights, franchises and privileges in the jurisdiction of its formation, and (ii) qualify and remain qualified, and cause each such Subsidiary and the Parent
to qualify and remain qualified, as a foreign partnership, limited liability company, corporation or trust, as applicable, in each jurisdiction in which qualification is necessary or desirable in view of its business and operations or the ownership
of its properties, and, in each case, where failure to qualify or preserve and maintain its rights and franchises could reasonably be expected to cause a Material Adverse Change. 

(b) (i) The Parent Common Stock shall at all times be duly listed on the New York Stock Exchange, Inc. or another nationally
recognized stock exchange and (ii) the Parent shall timely file all reports required to be filed by it with the New York Stock Exchange, Inc. and the Securities and Exchange Commission or such other nationally recognized stock exchange, as
applicable. 
 (c) The Borrower shall cause the Permitted Other Subsidiaries which have Indebtedness and own a Hotel Property
to, (i) maintain financial statements, payroll records, accounting records and other corporate records and other documents separate from each other and any other Person, (ii) maintain its own bank accounts in its own name, separate from
each other and any other Person, (iii) pay its own expenses and other liabilities from its own assets and incur (or endeavor to incur) obligations to other Persons based solely upon its own assets and creditworthiness and not upon the
creditworthiness of each other or any other Person, and (iv) file its own tax returns or, if part of a consolidated group, join in the consolidated tax return of such group as a separate member thereof. The Borrower shall use reasonable efforts
to correct any known misunderstanding or misrepresentation regarding the independence of the Permitted Other Subsidiaries from the Borrower and the Borrower’s other Subsidiaries. 

(d) The Borrower shall, and shall cause the Permitted Other Subsidiaries which have Indebtedness and own a Hotel Property to, take all
actions necessary to keep such Permitted Other Subsidiaries separate from the Borrower and the Borrower’s other Subsidiaries, including, without limitation, (i) the taking of action under the direction of the Board of Directors, members or
partners, as applicable, of such Permitted Other Subsidiaries and, if so required by the Certificate of Incorporation or the bylaws, operating agreement or partnership agreement, as applicable, of such Permitted Other Subsidiaries or by any Legal
Requirement, the approval or consent of the stockholders, members or partners, as applicable, of such Permitted Other Subsidiaries, (ii) the preparation of corporate, partnership or limited liability company minutes for or other appropriate
evidence of each significant transaction engaged in by such Permitted Other Subsidiaries, (iii) the observance of separate approval procedures for the adoption of resolutions by the Board of Directors or consents by the partners, as applicable,
of such Permitted Other Subsidiaries, on the one hand, and of the Borrower and the Borrower’s other 

  
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Subsidiaries, on the other hand, (iv) the holding of the annual stockholders meeting, if applicable, of such Permitted Other Subsidiaries, which are corporations on a date other than the
date of the annual stockholders’ meeting of the Parent, and (v) preventing the cash, cash equivalents, credit card receipts or other revenues of the Hotel Properties owned by such Permitted Other Subsidiaries or any other assets of such
Permitted Other Subsidiaries from being commingled with the cash, cash equivalents, credit card receipts or other revenues collected by the Borrower or the Borrower’s other Subsidiaries, provided that the foregoing shall not prohibit a
Permitted Other Subsidiary from making dividend payments or distributions to the Borrower. 
 (e) The Borrower shall, and shall
cause the Permitted Other Subsidiaries to, manage the business of and conduct the administrative activities of the Permitted Other Subsidiaries independently from the business of the Borrower, any of the Borrower’s other Subsidiaries and any
other Person. Any moneys earned by the Permitted Other Subsidiaries on their assets or proceeds of the sale of any of their assets shall be deposited in bank accounts separate from any of the assets of the Borrower, any of the Borrower’s other
Subsidiaries and any other Person, and no assets of the Permitted Other Subsidiaries shall become commingled with assets of such Persons. 
 (f) The Borrower shall hold itself out, and shall continue to hold itself out, to the public and to its creditors as a legal entity, separate and distinct from all other entities, and shall continue to
take all steps reasonably necessary to avoid (i) misleading any other Person as to the identity of the entity with which such Person is transacting business or (ii) implying that the Borrower is, directly or indirectly, absolutely or
contingently, responsible for the Indebtedness or other obligations of the Permitted Other Subsidiaries or any other Person. 

Section 5.03 Payment of Taxes, Etc. The Borrower will pay and discharge, and cause each of its Subsidiaries to 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 Property 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 Legal Requirement become a Lien upon its Property; provided, however, that neither the Borrower nor any such Subsidiary shall be required to
pay or discharge any such tax, assessment, charge, levy, or claim (a) which is being contested in good faith and by appropriate proceedings, (b) with respect to which reserves in conformity with GAAP have been provided, (c) such
charge or claim does not constitute and is not secured by any choate Lien on any portion of any Hotel Property and no portion of any Hotel Property is in jeopardy of being sold, forfeited or lost during or as a result of such contest,
(d) neither the Administrative Agent nor any Bank could become subject to any civil fine or penalty or criminal fine or penalty, in each case as a result of non-payment of such charge or claim and (e) such contest does not, and could not
reasonably be expected to, result in a Material Adverse Change. 
 Section 5.04 Visitation Rights; Bank Meeting. At
any reasonable time and from time to time and so long as any visit or inspection will not unreasonably interfere with the Borrower’s or any of its Subsidiaries’ operations, upon reasonable notice and during normal business hours, the
Borrower will, and will cause its Subsidiaries and any participating lessees to, permit the Administrative Agent or any of its agents or representatives thereof (at Borrower’s expense) and any Bank or any of its agents or representatives
thereof (at such Bank’s expense), to examine and make copies of and abstracts from the records and books of account of, and visit and inspect at its reasonable discretion the properties of, the Borrower and any such Subsidiary, to discuss the
affairs, finances and accounts of the Borrower and any such Subsidiary with any of their respective officers or directors. Without in any way limiting the foregoing, the Borrower will, upon the request of the Administrative Agent, participate in a
meeting with the Administrative Agent and the Banks once during each calendar year to be held at a location as may be agreed to by the Borrower and the Administrative Agent at such time as may be agreed to by the

  
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Borrower and the Administrative Agent; provided that, without limitation of the provisions of Section 11.04, the Borrower shall not be obligated to reimburse the Banks for such
Persons’ travel expenses in connection with such meeting. 
 Section 5.05 Reporting Requirements. The Borrower
will furnish to the Administrative Agent and the Banks in each case in accordance with Section 11.02(b): 

(a) Quarterly Financials. As soon as available and in any event not later than 45 days after the end of each Fiscal
Quarter of the Parent (except when such Fiscal Quarter ends on the same day as the end of a Fiscal Year of Parent), the unaudited Consolidated balance sheets of the Parent and its Subsidiaries as of the end of such quarter and the related unaudited
statements of income, shareholders’ equity and cash flows of the Parent and its Subsidiaries for such Fiscal Quarter and the period commencing at the end of the previous year and ending with the end of such Fiscal Quarter, and the corresponding
figures as at the end of, and for, the corresponding periods in the preceding Fiscal Year, all duly certified with respect to such statements (subject to year-end audit adjustments) by a Responsible Officer of the Parent as having been prepared in
accordance with GAAP, together with a Compliance Certificate duly executed by a Responsible Officer of the Parent. 
 (b) Annual Financials. As soon as available and in any event not later than 90 days after the end of each Fiscal Year of the Parent, a copy of the annual audit report for such year for the Parent
and its Subsidiaries, including therein the Consolidated balance sheets of the Parent and its Subsidiaries as of the end of such Fiscal Year and the related Consolidated statements of income, shareholders’ equity and cash flows of the Parent
and its Subsidiaries for such Fiscal Year, and the corresponding figures as at the end of, and for, the preceding Fiscal Year, and certified by KPMG L.L.P. or other independent certified public accountants of nationally recognized standing
reasonably acceptable to the Administrative Agent in an opinion, without qualification as to the scope, and including, if requested by the Administrative Agent, any management letters delivered by such accountants to the Parent in connection with
such audit, together with a Compliance Certificate duly executed by a Responsible Officer of the Parent. 
 (c)
Notices of Material Variations and Supplemental Reports. As soon as available and in any event not later than 60 days after the end of each Fiscal Quarter of the Parent and 90 days after the end of each Fiscal Year of the Parent,
(i) written notice of any anticipated material variation to the consolidated operating budget or a Capital Expenditure and FF&E expenditure budget prepared pursuant to Section 5.05(d), except for such changes resulting from the
acquisition of a New Property or the acquisitions of New Properties, (ii) a report certified by a Responsible Officer of the Parent setting forth for each Unencumbered Property for the Fiscal Quarter just ended the average daily rate, the
average occupancy, the RevPAR, the total gross revenues, the total expenses, the Adjusted NOI and the payments made under the participating leases for such Hotel Properties, and (iii) a report certified by a Responsible Officer of the Parent
setting forth for all of the Hotel Properties owned or leased by the Parent or any of its Subsidiaries on a Consolidated basis for the Fiscal Quarter just ended the average daily rate, the average occupancy, the RevPAR, the total gross revenues, the
total expenses, the Adjusted NOI and the payments made under the participating leases for such Hotel Properties. 

(d) Annual Budgets. No later than 60 days after the start of each Fiscal Year, the annual operating budget and
Capital Expenditure and FF&E expenditure budget for such Fiscal Year for (i) the Unencumbered Properties on a Consolidated basis, (ii) all of the Hotel Properties owned or leased by the Parent or any of its Subsidiaries on a
Consolidated basis, and (iii) on a Consolidated basis for the Parent and its Subsidiaries, in each case in reasonable detail and duly certified by a Responsible Officer of the Parent as the budgets presented or to be presented to the
Parent’s Board of Directors for their review. 

  
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 (e) Securities Law Filings. Promptly and in any event within 10
Business Days after the sending or filing thereof, copies of all proxy material, reports and other information which the Borrower, the Parent or any of their respective Subsidiaries sends to or files with the United States Securities and Exchange
Commission or sends to all shareholders of the Parent or partners of the Borrower. 
 (f) Defaults. As
soon as possible and in any event within five days after the occurrence of each Default known to a Responsible Officer of the Borrower, the Parent or any of their respective Subsidiaries, a statement of an authorized financial officer or Responsible
Officer of the Borrower setting forth the details of such Default and the actions which the Borrower has taken and proposes to take with respect thereto. 
 (g) ERISA Notices. As soon as possible and in any event (i) within 30 days after the Parent, the Borrower or any 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 the Parent, the Borrower or any 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 the Parent describing such Termination Event and the action, if any, which the Parent, the Borrower or such member of such Controlled Group proposes to take with respect thereto; (iii) within 10
days after receipt thereof by the Parent, the Borrower or any of a Controlled Group from the PBGC, copies of each notice received by the Parent, the 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 the Parent, the Borrower or any member of a Controlled Group from a Multiemployer Plan sponsor, a copy of each notice received by the
Parent, the Borrower or any member of such Controlled Group concerning the imposition or amount of withdrawal liability pursuant to Section 4202 of ERISA. 
 (h) Environmental Notices. Promptly upon receipt thereof by the Parent, the Borrower or any of their Subsidiaries, a copy of any form of notice, summons or citation received from the United States
Environmental Protection Agency, or any other Governmental Authority concerning (i) violations or alleged violations of Environmental Laws, which seeks to impose liability therefor, (ii) any action or omission on the part of the Parent or
Borrower or any of their present or former Subsidiaries in connection with Hazardous Waste or Hazardous Substances which, based upon information reasonably available to the Borrower, could reasonably be expected to cause a Material Adverse Change or
an Environmental Claim in excess of $1,000,000, (iii) any notice of potential responsibility under CERCLA, or (iv) concerning the filing of a Lien upon, against or in connection with the Parent, Borrower, their present or former
Subsidiaries, or any of their leased or owned Property, wherever located. 
 (i) Other Governmental Notices or
Actions. Promptly and in any event within five Business Days after receipt thereof by the Borrower, the Parent or any of their respective Subsidiaries, (i) a copy of any notice, summons, citation, or proceeding seeking to adversely modify
in any material respect, revoke, or suspend any license, permit, or other authorization from any Governmental Authority, which action could reasonably be expected to cause a Material Adverse Change, and (ii) any revocation or involuntary
termination of any license, permit or other authorization from any Governmental Authority, which revocation or termination could reasonably be expected to cause a Material Adverse Change. 

  
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 (j) Other Notices. (i) Promptly, a copy of any notice of default
or any other material notice (including without limitation property condition reviews) received by the Borrower or any Guarantor from any franchisor, property manager, or any ground lessor under a Qualified Ground Lease, and 

(ii) Promptly following any merger or dissolution of any Subsidiary of the Borrower which is permitted hereunder or event
which would make any of the representations in Sections 4.01-4.04 untrue, notice thereof. 
 (k) Material
Litigation. As soon as possible and in any event within five days of any of the Borrower, the Parent or any of their respective Subsidiaries having knowledge thereof, notice of any litigation, claim or any other event which could reasonably be
expected to cause a Material Adverse Change. 
 (l) Certificate in Support of Release. Not more than 30
days prior to a request to release a Subsidiary’s obligations under the Guaranty pursuant to Section 5.09(b), a Compliance Certificate duly executed by a Responsible Officer of the Parent. 

(m) Other Information. Such other information respecting the business or Properties, or the condition or
operations, financial or otherwise, of the Borrower, the Parent or any of their respective Subsidiaries, as the Administrative Agent may from time to time reasonably request. 
 Section 5.06 Maintenance of Property. The Borrower will, and will cause each of its Subsidiaries to, (a) maintain their owned, leased, or operated Property in a manner substantially
consistent with hotel properties and related property of the same quality and character and shall keep or cause to be kept every part thereof and its other properties in good condition and repair, reasonable wear and tear excepted, and make all
reasonably necessary repairs, renewals or replacements thereto as may be reasonably necessary to conduct the business of the Borrower and its Subsidiaries, (b) not renovate or expand any such Hotel Property except for the renovation or
expansion of a Hotel Property which complies with the limitations set forth in this Agreement on the aggregate amount of renovations and expansions the Borrower, the Parent and their Subsidiaries are permitted at any one time, (c) not knowingly
or willfully permit the commission of waste or other injury, or the occurrence of pollution, contamination or any other condition in, on or about any Hotel Property, and (d) substantially maintain and repair each Hotel Property as required by
any franchise agreement, license agreement, management agreement or ground lease for such Hotel Property. Except as may be required to maintain the Parent’s status as a REIT under the Code, any Capital Expenditures or expenditures or leases for
FF&E made for any Hotel Property shall be in the name or for the benefit of the Property Owner for such Hotel Property. 

Section 5.07 Insurance. The Borrower will maintain and/or remain the beneficiary under, and cause each of its Subsidiaries to
maintain and/or remain the beneficiary under, the insurance required pursuant to Schedule 5.07. 
 Section 5.08 Use of
Proceeds. The proceeds of the Advances have been, and will be used by the Borrower for the purposes set forth in Section 4.09(a). 
 Section 5.09 New Guarantors. The Borrower will promptly notify the Administrative Agent of the creation of or Investment in a Person which may fall within the definition of a Guarantor and
will provide any financial and other information with respect to such Person as the Administrative Agent may reasonably request. In the event the Administrative Agent (after consultation with the Borrower) determines that such Person is required to
be designated a Guarantor hereunder, the Administrative Agent shall provide notice of the same to the Borrower, it being understood and agreed that any Person that 

  
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owns an Unencumbered Property and any Person who leases an Unencumbered Property as an Operating Lessee shall be required to become a Guarantor promptly and in any event on or prior to the date
any Hotel Property owned by such Person is included as an Unencumbered Property hereunder. Within sixty (60) days after the Borrower’s receipt of such notice from the Administrative Agent, the Borrower shall cause such Person to deliver to
the Administrative Agent (i) either (a) an original Guaranty and Environmental Indemnity executed by such Person or (b) an Accession Agreement executed by such Person, and (ii) such other information or documents with respect to
such Person as the Administrative Agent may reasonably request. 
 (a) If no Default exists at such time, and any Hotel Property
no longer qualifies as an Unencumbered Property, any Subsidiary of the Borrower which owned or leased such Hotel Property, but not any other Unencumbered Property, shall be released by the Administrative Agent from such Subsidiary’s obligations
under the Guaranty upon such time that the Borrower provides the Administrative Agent with (i) a written request for such release and (ii) a Compliance Certificate evidencing pro forma compliance with Article VII hereof.

 ARTICLE VI 
 NEGATIVE COVENANTS 
 So long as any Note or
any amount under any Credit Document shall remain unpaid, any Letter of Credit shall remain outstanding, or any Bank shall have any Commitment, the Borrower agrees, unless the Administrative Agent shall otherwise consent in writing (subject to the
provisions of Section 11.01), to comply with the following covenants. 
 Section 6.01 Liens, Etc. The Borrower
will not create, assume, incur or suffer to exist, or permit any of its Subsidiaries (except for Permitted Other Subsidiaries) to create, assume, incur, or suffer to exist, any Lien on or in respect of any of its Property whether now owned or
hereafter acquired, or assign any right to receive income, except that the Borrower and its Subsidiaries may create, incur, assume or suffer to exist Liens: 
 (a) securing the Obligations; 
 (b) for taxes, assessments or
governmental charges or levies on Property of the Borrower or any Guarantor to the extent not required to be paid pursuant to Sections 5.03; 
 (c) Liens imposed by law (such as landlords’, carriers’, warehousemen’s and mechanics’ liens or otherwise arising from litigation) (a) which are being contested in good faith and
by appropriate proceedings, (b) with respect to which reserves in conformity with GAAP have been provided, (c) which have not resulted in any Hotel Property being in jeopardy of being sold, forfeited or lost during or as a result of such
contest, (d) neither the Administrative Agent nor any Bank could become subject to any civil fine or penalty or criminal fine or penalty, in each case as a result of non-payment of such charge or claim and (e) such contest does not, and
could not reasonably be expected to, result in a Material Adverse Change; 
 (d) on leased personal property to
secure solely the lease obligations associated with such property; and 
 (e) Liens securing Secured Recourse
Indebtedness and Secured Non-Recourse Indebtedness permitted pursuant to the provisions of Section 6.02. 

  
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 Section 6.02 Indebtedness. The Borrower, the Parent and their respective
Subsidiaries will not incur or permit to exist any Indebtedness other than the Obligations and the following: 

(a) Unsecured Indebtedness; provided, however, that the maximum principal amount of the LHL Facility and any
Refinancing Debt in respect thereof shall not exceed $25,000,000 at any time; 
 (b) Secured Recourse
Indebtedness and Secured Non-Recourse Indebtedness incurred by Permitted Other Subsidiaries to the extent that the covenants contained in Article VII are complied with; 

(c) Indebtedness in the form of Interest Rate Agreements; provided that (i) such agreements shall be
unsecured, (ii) the dollar amount of indebtedness subject to such agreements and the indebtedness subject to Interest Rate Agreements in the aggregate shall not exceed the sum of the amount of the Commitments and other Indebtedness permitted
pursuant to this Section 6.02 which bears interest at a variable rate, and (iii) the agreements shall be at such interest rates and otherwise in form and substance reasonably acceptable to the Administrative Agent; 

(d) Any of the following Indebtedness incurred by the Parent (to the extent the same constitutes Indebtedness):

 (i) guaranties in connection with the Indebtedness secured by a Hotel Property of (A) if the Hotel
Property is subject to a ground lease, the payment of rent under such ground lease, (B) real estate taxes relating to such Hotel Property, and (C) capital reserves required under such Indebtedness; 

(ii) indemnities for certain acts of malfeasance, misappropriation and misconduct and an environmental indemnity for the
lender under Indebtedness permitted under this Agreement; 
 (iii) indemnities for certain acts of malfeasance,
misappropriation and misconduct by the Permitted Other Subsidiaries, environmental indemnities, and other customary non-recourse carveouts as described in the definition of “Secured Non-Recourse Indebtedness”, all for the benefit of the
lenders of other Permitted Other Subsidiary Indebtedness in connection with such Indebtedness; and 
 (iv)
guaranties of franchise agreements; 
 (e) If and to the extent the same would not otherwise be permitted under
paragraphs (a) through (d) above, extensions, renewals and refinancing of any of the Indebtedness specified in paragraphs (a) - (d) above (any such extension, renewal or refinancing, “Refinancing Debt”) so long
as (A) the principal amount of such Indebtedness is not thereby increased and (B) the other the material terms, taken as a whole, of any such Indebtedness are no less favorable in any material respect to the Borrower, the Parent or any of
their respective Subsidiaries or the Banks than the terms governing the Indebtedness being extended, renewed or refinanced; 
 (f) Indebtedness of a Guarantor to the Borrower or another Guarantor provided such Indebtedness is subordinated to the Obligations in a manner reasonably acceptable to the Administrative Agent; and

  
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 (g) Capital Leases for personal property not to exceed in the aggregate
$5,000,000 at any time outstanding. For purposes of this clause (g), no Qualified Ground Lease shall comprise a Capital Lease. 

Section 6.03 Agreements Restricting Distributions From Subsidiaries. The Borrower will not, nor will it permit any of its
Subsidiaries (other than Permitted Other Subsidiaries) to, enter into any agreement (other than a Credit Document) which limits distributions to or any advance by any of the Borrower’s Subsidiaries to the Borrower. 

Section 6.04 Restricted Payments. Neither the Parent, the Borrower, nor any of their respective Subsidiaries, will make any
Restricted Payment, except that: 
 (a) provided no Default has occurred and is continuing or would result
therefrom, the Parent may make cash payments to its shareholders with respect to the Parent Common Stock (including in connection with the repurchase of Stock or Stock Equivalents); 

(b) provided no Default has occurred and is continuing or would result therefrom, the Borrower shall be entitled to make
cash distributions to its partners, including the Parent; 
 (c) a Subsidiary of the Borrower may make a
Restricted Payment to the Borrower; 
 (d) the limited partners of the Borrower shall be entitled to exchange
limited partnership interests in the Borrower for the Parent’s stock or redeem such interests for cash, as provided in the Borrower’s limited partnership agreement; 

(e) the Borrower shall be entitled to issue limited partnership interests in the Borrower in exchange of ownership
interests in Subsidiaries and Unconsolidated Entities which own a Future Property to the extent such Investment is permitted pursuant to the provisions of Section 6.07; 

(f) provided no Default has occurred and is continuing or would result therefrom, the Parent may pay cash dividends to the
holders of the Parent preferred stock permitted by this Agreement; and 
 (g) provided no Default has occurred
and is continuing or would result therefrom, the Parent may repurchase Parent Common Stock and repurchase or redeem Parent preferred stock. 
 Notwithstanding the foregoing, but subject to the following sentence, if a Default or Event of Default shall have occurred and be continuing, the Parent may only declare or make cash distributions to its
shareholders during any Fiscal Quarter in an aggregate amount not to exceed the minimum amount necessary for the Parent to maintain its status as a REIT. If a Default or Event of Default specified in Section 8.1(a) or
Section 8.1(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 Obligations have been accelerated pursuant to Section 8.2 of this Agreement, the Parent
shall not, and shall not permit any of its Subsidiaries to, make any Restricted Payments to any Person whatsoever other than to the Borrower or any of its Subsidiaries. 
 Section 6.05 Fundamental Changes; Asset Dispositions. Neither the Parent, the Borrower, nor any of their respective Subsidiaries (other than the Permitted Other Subsidiaries) will,
(a) merge or consolidate with or into any other Person, unless (i) a Guarantor (or another Person, if such merger with another Person is to effect an Investment permitted hereunder) is merged into the Borrower or another

  
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Guarantor and the Borrower or such other Guarantor, as the case may be, is the surviving Person or a Subsidiary (other than a Permitted Other Subsidiary which has Indebtedness other than the
Obligations) is merged into any Subsidiary (other than a Permitted Other Subsidiary which has Indebtedness other than the Obligations), and (ii) immediately after giving effect to any such proposed transaction no Default would exist;
(b) sell, transfer, or otherwise dispose of all or any of the such Person’s material property except for a Permitted Hotel Sale, dispositions or replacements of personal property in the ordinary course of business, or Hotel Properties
which are not Unencumbered Properties; (c) sell or otherwise dispose of any material shares of capital stock, membership interests or partnership interests of any Subsidiary (except for a Permitted Other Subsidiary and except to effectuate a
Permitted Hotel Sale); (d) except for sales of ownership interests not prohibited by this Agreement and the issuance of limited partnership interests in the Borrower in exchange for ownership interests in Subsidiaries and Unconsolidated
Entities to the extent permitted pursuant to the provisions of Section 6.04, materially alter the corporate, capital or legal structure of any such Person (except for a Permitted Other Subsidiary); (e) liquidate, wind-up or dissolve itself
(or suffer any liquidation or dissolution) provided that nothing herein shall prohibit the Borrower from dissolving any Subsidiary which has no assets on the date of dissolution or (f) materially alter the character of their
respective businesses from that conducted as of the date of this Agreement; in each case provided that the Parent shall be permitted to issue (i) Common Stock and (ii) preferred stock in the Parent which is not deemed Indebtedness
under this Agreement. 
 Section 6.06 Participating Lessee Ownership. Neither the Parent nor the Borrower shall, nor
shall permit any of their respective Subsidiaries to, own directly or indirectly such a percentage of the beneficial ownership interest in any participating lessee as would cause a potential Event of Default under Section 8.01(m) of this
Agreement. 
 Section 6.07 Investments, Loans, Future Properties. Neither the Parent nor the Borrower shall,
nor shall permit any of their respective Subsidiaries to, acquire by purchase, or otherwise, all or substantially all of the business, property or fixed assets of any Person or any Hotel Property or other real estate, make or permit to exist any
loans, advances or capital contributions to, or make any Investments in (including without limitation, loans and advances to, and other Investments in, Subsidiaries), or purchase or commit to purchase any evidences of Indebtedness of, stock or other
securities, partnership interests, member interests or other interests in any Person, except the following (provided that after giving effect thereto there shall exist no Default): 

(a) Liquid Investments; 
 (b) trade and customer accounts receivable which are for goods furnished or services rendered in the ordinary course of business and are payable in accordance with customary trade terms, and other assets
owned in the ordinary course of owning the Hotel Properties and operating the business of the Borrower and its Subsidiaries; 
 (c) a Future Property (or a Person that owns a Future Property) which qualifies as an Unencumbered Property or a Permitted Non-Unencumbered Property; provided that no such individual Hotel Property
shall exceed 30% of the Consolidated Total Book Value; 
 (d) Investments in (i) unimproved land which do
not in the aggregate have an Investment Amount which exceeds 5% of the Consolidated Total Book Value; (ii) Development Properties which do not in the aggregate have an Investment Amount which exceeds 15% of the Consolidated Total Book Value,
(iii) Unconsolidated Entities which do not in the aggregate have an Investment Amount which exceeds 15% of the Consolidated Total Book Value, and (iv) mortgages, deeds of trust, deeds to secure debt or similar instruments that are a lien
on real property which are improved by fully operational hotels and secure Indebtedness evidenced by a 

  
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note or bond which do not in the aggregate have an Investment Amount which exceeds 10% of the Consolidated Total Book Value; provided that the aggregate Investment Amount for all
Investments made pursuant to this Section 6.07(d) shall not exceed 30% of the Consolidated Total Book Value; 
 (e) Investments in Subsidiaries that are used by such Subsidiaries to make Investments permitted under this Section 6.07; 

(f) Capital Expenditures in Hotel Properties; and 

(g) any other Investments not covered by the preceding paragraphs of this Section 6.07 and not otherwise prohibited
by this Agreement, provided that the aggregate Investment Amount for all Investments made pursuant to this clause (g) shall not exceed 0.50% of Consolidated Total Book Value. 
 Notwithstanding the foregoing, neither the Borrower, nor the Parent, nor their respective Subsidiaries shall acquire a Future Property or otherwise make an Investment which would (a) cause a Default,
(b) cause or result in the Borrower or the Parent failing to comply with any of the financial covenants contained herein, (c) cause the aggregate Investment Amount for (i) all Future Properties located outside the United States and
(ii) all Investments made pursuant to Section 6.07(d) which are either located outside the United States or in an Unconsolidated Entity which has at least 50% of its assets located outside the United States to exceed 10% of the
Consolidated Total Book Value or (e) cause the Parent’s or any Subsidiary’s Investment in the Personal Property for any Hotel Property to cause a potential Event of Default under Section 8.01(m) of this Agreement.

 Section 6.08 Affiliate Transactions. Except as otherwise approved by a majority of the Board of Trustees of the
Parent including a majority of the independent trustees, the Borrower will not, and will not permit any of its Subsidiaries to, make, directly or indirectly (a) any transfer, sale, lease, assignment or other disposal of any assets to any
Affiliate of the Borrower which is not a Guarantor or any purchase or acquisition of assets from any such Affiliate; or (b) any arrangement or other transaction directly or indirectly with or for the benefit of any such Affiliate (including
without limitation, guaranties and assumptions of obligations of an Affiliate), other than in the ordinary course of business and at market rates. 
 Section 6.09 Sale and Leaseback. The Borrower will not, and will not permit any of its Subsidiaries to, enter into any arrangement with any Person, whereby in contemporaneous transactions the
Borrower or such Subsidiary sells essentially all of its right, title and interest in a material asset and the Borrower or such Subsidiary acquires or leases back the right to use such property. 

Section 6.10 Sale or Discount of Receivables. The Borrower will not, and will not permit any of its Subsidiaries to, directly
or indirectly, sell with recourse, or discount or otherwise sell for less than the face value thereof, any of its notes or accounts receivable, other than in the ordinary course of business and consistent with past and existing business practices.

 Section 6.11 Restriction on Negative Pledges. The Borrower will not, and will not permit any of its Subsidiaries
that directly or indirectly own an interest in any Unencumbered Property to, enter into or suffer to exist any agreement (other than this Agreement and the Credit Documents and any other agreement that conditions the ability of the Parent or its
Subsidiaries to encumber their assets upon the maintenance of one or more specified ratios that limit the ability of such Persons to encumber their assets but that do not generally prohibit the encumbrance of assets or the encumbrance of specific
assets) prohibiting the creation or assumption of any Lien upon the Unencumbered Properties, whether now 

  
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owned or hereafter acquired; provided that, the Borrower and its Subsidiaries that are Guarantors may permit a Lien upon a Hotel Property that was an Unencumbered Property at the end of
the immediately proceeding Fiscal Quarter of the Parent, so long as no Default exists at such time or would be caused thereby and the Borrower has provided to the Administrative Agent a Compliance Certificate evidencing pro forma
compliance with Article VII hereof following the removal of such Hotel Property as an Unencumbered Property. 

Section 6.12 Material Documents. The Borrower will not, nor will it permit any of its Subsidiaries (other than Permitted
Other Subsidiaries) to, enter into any termination, modification or amendment of any of the following documents without the prior written consent of the Administrative Agent: 

(a) Qualified Ground Lease; and 
 (b) Any other material agreement. 
 provided, however, that so long as no Default or
Event of Default has occurred and is continuing, such terminations, modifications or amendments shall be permitted so long as they could not reasonably be expected to (i) cause a Material Adverse Change or (ii) impair or otherwise
adversely affect in any material respect the interests or rights of the Administrative Agent or any Bank, in each case after taking into account the effect of any agreements that supplement or serve to replace, in whole or in part, such Qualified
Ground Leases or other material agreements. Any termination, modification or amendment prohibited under this Section 6.12 shall, to the extent permitted by applicable law, be void and of no force and effect. 

Section 6.13 Limitations on Development, Construction, Renovation and Purchase of Hotel Properties. Neither the Parent nor
the Borrower shall or shall permit any of their respective Subsidiaries to (a) engage in the development, construction or expansion of any Hotel Properties (except for Development Properties permitted by the provisions of
Section 6.07) or (b) enter into any binding agreements to purchase Hotel Properties or other assets; provided that the Parent, the Borrower and their Subsidiaries may enter into binding agreements to purchase Hotel Properties
or other assets if at all times such Person has available sources of capital equal to the portion of the purchase price of such Hotel Properties or other assets which constitutes a recourse obligation of the Parent, the Borrower or its Subsidiary,
which available sources of capital may include Advances to the extent that the Borrower may borrow the same for the purposes required or other Indebtedness permitted by the terms of this Agreement. 

ARTICLE VII 
 FINANCIAL COVENANTS 
 So long as any Note or
any amount under any Credit Document shall remain unpaid, any Letter of Credit shall remain outstanding, or any Bank shall have any Commitment hereunder, unless the Administrative Agent shall otherwise consent in writing (subject to the provisions
of Section 11.01), the Borrower agrees to comply and cause the Parent to comply with the following covenants. 

Section 7.01 Fixed Charge Coverage Ratio. The Parent shall maintain at the end of each Rolling Period a Fixed Charge Coverage
Ratio of not less than 1.50 to 1.0. 
 Section 7.02 Maintenance of Net Worth. The Parent shall at all times maintain
an Adjusted Net Worth of not less than the Minimum Tangible Net Worth. 

  
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 Section 7.03 Limitations on Total Liabilities. The Parent shall not at any time
permit the Leverage Ratio to be greater than 6.0 to 1.0. 
 Section 7.04 Limitations on Unsecured Indebtedness. The
Parent shall not at any time on a Consolidated basis permit the ratio of (a) the Parent’s Unsecured Indebtedness to (b) the Total Unencumbered Asset Value to exceed sixty percent (60%). 

Section 7.05 Limitations on Secured Indebtedness. The Parent shall not at any time on a Consolidated basis permit the ratio
of (a) the Parent’s Secured Indebtedness to (b) the Consolidated Total Book Value to exceed forty-five percent (45%). 
 ARTICLE VIII 
 EVENTS OF
DEFAULT; REMEDIES 
 Section 8.01 Events of Default. The occurrence of any of the
following events shall constitute an “Event of Default” under any Credit Document: 
 (a) Principal
or Letter of Credit Obligation Payment. The Borrower shall fail to pay any principal of any Note or any Letter of Credit Obligation when the same becomes due and payable as set forth in this Agreement; 

(b) Interest or Other Obligation Payment. The Borrower shall fail to pay any interest on any Note or any fee or
other amount payable hereunder or under any other Credit Document when the same becomes due and payable as set forth in this Agreement, provided however that the Borrower will have a grace period of five days after the payments covered by
this Section 8.01(b) becomes due and payable for the first two defaults under this Section 8.01(b) in every calendar year; 
 (c) Representation and Warranties. Any representation or warranty made or deemed to be made (i) by the Borrower in this Agreement or in any other Credit Document, (ii) by the Borrower (or
any of its officers) in connection with this Agreement or any other Credit Document, or (iii) by any Subsidiary in any Credit Document shall prove to have been incorrect in any material respect when made or deemed to be made; 

(d) Covenant Breaches. (i) The Borrower shall fail to perform or observe any covenant contained in Sections
5.02(a)(i), (b)(i) or (f), Article VI or Article VII of this Agreement or the Borrower shall fail to perform or observe, or shall fail to cause any Guarantor to perform or observe any covenant in any Credit Document beyond any notice
and/or cure period for such default expressly provided in such Credit Document or (ii) the Borrower or any Guarantor shall fail to perform or observe any term or covenant set forth in any Credit Document which is not covered by clause
(i) above or any other provision of this Section 8.01, in each case if such failure shall remain unremedied for 30 days after the earlier of the date written notice of such default shall have been given to the Borrower or such
Guarantor by the Administrative Agent or any Bank or the date a Responsible Officer of the Borrower or any Guarantor has actual knowledge of such default, unless such default in this clause (ii) cannot be cured in such 30 day period and the
Borrower is diligently proceeding to cure, or caused to be cured, such default, in which event the cure period shall be extended to 90 days; 

  
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 (e) Cross-Defaults. (i) with respect to (A) any Secured
Non-Recourse Indebtedness which is outstanding in a principal amount of at least $75,000,000 individually or when aggregated with all such Secured Non-Recourse Indebtedness of the Borrower, the Parent or any of their respective Subsidiaries or
(B) any other Indebtedness (but excluding Indebtedness evidenced by the Notes) which is outstanding in a principal amount of at least 0.5% of Consolidated Total Book Value individually or when aggregated with all such Indebtedness of the
Borrower, the Parent or any of their respective Subsidiaries, any of the following: 
 (A) any such Indebtedness
shall be declared to be due and payable, or required to be prepaid (other than by a regularly scheduled required prepayment), prior to the stated maturity thereof, 

(B) the Borrower, the Parent or any of their respective Subsidiaries shall fail to pay any principal of or premium or
interest of any of such Indebtedness (whether by scheduled maturity, required prepayment, acceleration, demand or otherwise), and such failure shall continue after the applicable grace period, if any, specified in the agreement or instrument
relating to such Indebtedness, or 
 (C) any other event shall occur or condition shall exist under any agreement
or instrument relating to such Indebtedness, and shall continue after the applicable grace period, if any, specified in such agreement or instrument, if the effect of such event or condition is to permit the holders of such Indebtedness to
accelerate the maturity of such Indebtedness; 
 (f) Insolvency. The Borrower, the Parent, any Guarantor,
or any of their respective Material Subsidiaries shall generally not pay its debts as such debts become due, or shall admit in writing its inability to pay its debts generally, or shall make a general assignment for the benefit of creditors; or any
proceeding shall be instituted by or against the Borrower, the Parent, any Guarantor, or any of their respective Material Subsidiaries seeking to adjudicate it a bankrupt or insolvent, or seeking liquidation, winding up, reorganization, arrangement,
adjustment, protection, relief, or composition of it or its debts under any law relating to bankruptcy, insolvency or reorganization or relief of debtors, or seeking the entry of an order for relief or the appointment of a receiver, trustee or other
similar official for it or for any substantial part of its property and, in the case of any such proceeding instituted against the Borrower, the Parent, any Guarantor, or any of their respective Material Subsidiaries, either such proceeding shall
remain undismissed for a period of 60 days or any of the actions sought in such proceeding shall occur; or the Borrower, the Parent, any Guarantor, or any of their respective Material Subsidiaries shall take any corporate action to authorize any of
the actions set forth above in this paragraph (f); 
 (g) Judgments. Any judgment or order for the
payment of money in excess of $75,000,000 (reduced for purposes of this paragraph for the amount in respect of such judgment or order that a reputable insurer has acknowledged being payable under any valid and enforceable insurance policy) shall be
rendered against the Borrower, the Parent or any of their respective Subsidiaries which, within 60 days from the date such final judgment is entered, shall not have been discharged or execution thereof stayed pending appeal; 

(h) 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, 

  
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unless such Reportable Event, proceedings or appointment are being contested by the Parent or the Borrower in good faith and by appropriate proceedings, (iv) any Plan shall terminate for
purposes of Title IV of ERISA, (v) the Parent, the 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 the Parent or the 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 the Borrower or any Guarantor
to any tax, penalty or other liabilities in the aggregate exceeding $75,000,000 at the time of such event or upon occurrence of such condition; 
 (i) Guaranty. Any Guaranty shall for any reason cease to be valid and binding on any Guarantor or any Guarantor shall so state in writing; 

(j) Environmental Indemnity. Any Environmental Indemnity shall for any reason cease to be valid and binding on any
Person party thereto or any such Person shall so state in writing; 
 (k) LaSalle Leasing. The Borrower
shall for any reason cease to own, directly or indirectly, at least 99.9% of the equity interests in LaSalle Leasing; 
 (l) Default Under Qualified Ground Lease. Qualified Ground Leases for Hotel Properties which comprise twenty-five percent (25%) or more of the Asset Value have in the aggregate either
(i) been terminated because of a default by the lessee under such Qualified Ground Lease or (ii) are subject to a default by the lessee under such Qualified Ground Lease which has not been cured or waived 10 days prior to the date the
ground lessors under such Qualified Ground Lease would have the right to terminate such Qualified Ground Leases; 

(m) Parent’s REIT Status. There shall be a determination from the applicable Governmental Authority from which
no appeal can be taken that the Parent’s tax status as a REIT has been lost; 
 (n) Parent Common
Stock. The Parent at any time hereafter fails to cause the Parent Common Stock to be duly listed on the New York Stock Exchange, Inc. or another nationally recognized stock exchange; or 

(o) Changes in Ownership and Control. Any of the following occur without the written consent of the Required
Lenders: (A) the Parent (i) amends the Borrower’s partnership agreement in any material and adverse respect (which shall not include any customary amendments to reflect transactions permitted by this Agreement so long as such
amendments are not otherwise adverse to the Administrative Agent, any Issuing Bank or any of the Banks, (ii) admits a new general partner to the Borrower, (iii) own less than 70% of the partnership interests in and beneficial ownership of
the Borrower, or (iv) resigns as general partner of the Borrower, or (B) the failure of individuals who are members of the board of directors (or similar governing body) of the Parent on the Closing Date (together with any new or
replacement directors whose initial nomination for election was approved by a majority of the directors who were either directors on the Closing Date or previously so approved) to constitute a majority of the board of directors (or similar governing
body) of the Parent. 

  
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 Section 8.02 Optional Acceleration of Maturity. If any Event of Default (other
than an Event of Default pursuant to paragraph (f) of Section 8.01 with respect to the Borrower or the Parent) shall have occurred and be continuing, then, and in any such event, 

(a) the Administrative Agent (i) shall at the request, or may with the consent, of the Required Lenders, by notice to the Borrower,
declare the obligation of each Bank to make Advances and the obligation of each Issuing Bank to issue, increase, or extend Letters of Credit to be terminated, whereupon the same shall forthwith terminate, and (ii) shall at the request, or may
with the consent, of the Required Lenders, by notice to the Borrower, declare the Notes, all interest thereon, the Letter of Credit Obligations, and all other amounts payable under this Agreement to be forthwith due and payable, whereupon the Notes,
all such interest, all such Letter of Credit Obligations and all such amounts shall become and be forthwith due and payable in full, without presentment, demand, protest or further notice of any kind (including, without limitation, any notice of
intent to accelerate or notice of acceleration), all of which are hereby expressly waived by the Borrower, 
 (b) the Borrower
shall, on demand of the Administrative Agent at the request or with the consent of the Required Lenders, deposit into the Cash Collateral Account an amount of cash equal to the Letter of Credit Exposure as security for the Obligations to the extent
the Letter of Credit Obligations are not otherwise paid at such time, and 
 (c) the Administrative Agent shall at the request
of, or may with the consent of, the Required Lenders proceed to enforce its rights and remedies under the Credit Documents for the ratable benefit of the Banks by appropriate proceedings. 

Section 8.03 Automatic Acceleration of Maturity. If any Event of Default pursuant to paragraph (f) of
Section 8.01 with respect to the Borrower or the Parent shall occur, 
 (a) the obligation of each Bank to make Advances
and the obligation of each Issuing Bank to issue, increase, or extend Letters of Credit shall immediately and automatically be terminated and the Notes, all interest on the Notes, all Letter of Credit Obligations, and all other amounts payable under
this Agreement shall immediately and automatically become and be due and payable in full, without presentment, demand, protest or any notice of any kind (including, without limitation, any notice of intent to accelerate or notice of acceleration),
all of which are hereby expressly waived by the Borrower and 
 (b) to the extent permitted by law or court order, the Borrower
shall deposit into the Cash Collateral Account an amount of cash equal to the outstanding Letter of Credit Exposure as security for the Obligations to the extent the Letter of Credit Obligations are not otherwise paid at such time. 

Section 8.04 Cash Collateral Account. (a) Pledge. The Borrower hereby pledges, and grants to the Administrative Agent
for the benefit of the Banks, a security interest in all funds held in the Cash Collateral Account from time to time, but under the control of the Administrative Agent, and all proceeds thereof, as security for the payment of the Obligations,
including without limitation all Letter of Credit Obligations owing to any Issuing Bank or any other Bank due and to become due from the Borrower to any Issuing Bank or any other Bank under this Agreement in connection with the Letters of Credit and
the Borrower agrees to execute all cash management or cash collateral agreements and UCC-1 Financing Statements requested by the Administrative Agent as needed or desirable for the Administrative Agent to have a perfected first lien security
interest in the Cash Collateral Account. Promptly upon the expiration or replacement of any Letter of Credit, the Administrative Agent will, at the Borrower’s expense, execute and deliver to the Borrower such documents as the Borrower may
reasonably request to evidence the release of the funds held in the Cash Collateral Account in respect of such Letter of Credit from the foregoing security interest. 

  
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 (b) Application against Letter of Credit Obligations. The Administrative Agent may,
at any time or from time to time apply funds then held in the Cash Collateral Account to the payment of any Letter of Credit Obligations owing to any Issuing Bank, in such order as the Administrative Agent may elect, as shall have become or shall
become due and payable by the Borrower to any Issuing Bank under this Agreement in connection with the Letters of Credit. 
 (c)
Duty of Care. The Administrative Agent shall cause Citibank to exercise reasonable care in the custody and preservation of any funds held in the Cash Collateral Account and Citibank shall be deemed to have exercised such care if such funds
are accorded treatment substantially equivalent to that which Citibank accords its own property, it being understood that neither Citibank nor the Administrative Agent shall have any responsibility for taking any necessary steps to preserve rights
against any parties with respect to any such funds. 
 Section 8.05 Non-exclusivity of Remedies. No remedy conferred
upon the Administrative Agent or the Banks is intended to be exclusive of any other remedy, and each remedy shall be cumulative of all other remedies existing by contract, at law, in equity, by statute or otherwise. 

Section 8.06 Right of Set-off. Upon (a) the occurrence and during the continuance of any Event of Default and
(b) the granting of the consent, if any, specified by Section 8.02 to authorize the Administrative Agent to declare the Notes and any other amount payable hereunder due and payable pursuant to the provisions of Section 8.02 or the
automatic acceleration of the Notes and all amounts payable under this Agreement pursuant to Section 8.03, each Bank is hereby authorized at any time and from time to time, to the fullest extent permitted by law, to set off and apply any and
all deposits (general or special, time or demand, provisional or final) at any time held and other indebtedness at any time owing by such Bank to or for the credit or the account of the Borrower against any and all of the obligations of the
Borrower now or hereafter existing under this Agreement, the Note held by such Bank, and the other Credit Documents, irrespective of whether or not such Bank shall have made any demand under this Agreement, such Note, or such other Credit Documents,
and although such obligations may be unmatured. Each Bank agrees to promptly notify the Borrower after any such set-off and application made by such Bank, provided that the failure to give such notice shall not affect the validity of such
set-off and application. The rights of each Bank under this Section are in addition to any other rights and remedies (including, without limitation, other rights of set-off) which such Bank may have; provided, however, that in the
event that any Defaulting Lender exercises such right of set-off hereunder, (x) all amounts so set off will be paid over immediately to the Administrative Agent for further application in accordance with the provisions of Section 2.16(b)
and, pending such payment, will be segregated by such Defaulting Lender form its other funds and deemed held in trust for the benefit of the Administrative Agent, the Issuing Banks and the Banks and (y) the Defaulting Lender will provide
promptly to the Administrative Agent a statement describing in reasonable detail the Obligations owing to such Defaulting Lender as to which it exercised such right of set-off. 
 ARTICLE IX 
 NEW YORK
PROPERTIES 
 Section 9.01 New York Term Notes. In the event the Borrower elects to acquire any
Hotel Property located in the State of New York (any such Hotel Property, which may include the Park Central Asset upon the acquisition thereof by a Subsidiary of the Borrower, a “New York Property”), subject to the obligations of
the borrower under the related Existing New York Note, the Borrower shall provide to the Administrative Agent not less than thirty (30) days’ prior written notice of such intent (which notice shall be deemed satisfied with respect to the
Park Central Asset). In such notice the Borrower shall request a Borrowing (a “New York Advance”) in an amount not more than the outstanding principal 

  
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amount of the related Existing New York Note and shall cause the related Existing New York Note and the related Existing New York Mortgage to be assigned to the Administrative Agent. The
obligation of the Administrative Agent and each Bank to make Advances in connection with such Borrowing shall be subject to compliance with the following conditions precedent: (i) no Default or Event of Default shall then exist, (ii) the
Borrower shall have executed and delivered to the Administrative Agent a Notice of Borrowing in the amount of the related New York Advance in accordance with Section 2.02, and (iii) the Borrower shall have satisfied the applicable
conditions set forth in Article III and any other applicable conditions precedent to a Borrowing hereunder in connection with such Borrowing. The Borrower hereby acknowledges that upon the consummation of such purchase, the related Existing New
York Note and Existing New York Mortgage shall be amended and restated as a New York Term Note and a New York Mortgage, substantially in the forms attached hereto as Exhibits H and I. Such New York Term Note will be in the amount of, and shall
evidence, the related New York Advance and made payable to the Administrative Agent and such New York Term Note and New York Mortgage will be held by the Administrative Agent for the ratable benefit of the Banks. So long as such New York Term Note
remains outstanding, the following provisions shall apply: 
 (a) New York Property as Unencumbered
Property. The New York Property shall not be disqualified as an Unencumbered Property by reason of the related New York Mortgage so long as such New York Mortgage is held by the Administrative Agent for the ratable benefit of the Banks. To the
extent such New York Property otherwise qualifies as an Unencumbered Property, then such New York Property shall constitute an Unencumbered Property hereunder and the Asset Value of such New York Property shall be included in the calculation of
Total Unencumbered Asset Value. 
 (b) Other Notes. Each New York Term Note shall evidence a portion of
the same payment Obligations under the Credit Documents as those evidenced by the Notes. So long as (but only so long as) any New York Mortgage is held by the Administrative Agent as the mortgagee thereunder, then for purposes of Article VII,
the indebtedness evidenced by the related New York Term Note shall be deemed to constitute Unsecured Indebtedness hereunder and shall not constitute Secured Indebtedness. 

(c) Payments on the New York Term Notes. 

(i) Last Repaid. So long as the total outstanding principal amount of the payment Obligations under the Credit
Documents equals or exceeds the then total outstanding principal amount of the New York Term Notes, the principal amount of the payment Obligations evidenced by the New York Term Notes and secured by the New York Mortgages shall at all times equal
only the total principal amount of the New York Term Notes. The principal amount of the New York Term Notes shall be reduced only by the last and final sums that the Borrower repays with respect to the Obligations under the Credit Documents and
shall not be reduced by any intervening repayments of such Obligations. So long as the balance of the payment Obligations under the Credit Documents exceeds the then total outstanding principal amount of the New York Term Notes, any payments and
repayments of such Obligations shall not be deemed to be applied against, or to reduce, the portion of such principal payment Obligations evidenced by the New York Term Notes and secured by the New York Mortgages. Notwithstanding the foregoing, the
Borrower may direct the Administrative Agent to apply payments and repayments of payment Obligations under the Credit Documents against the portion of such Obligations evidenced by any New York Term Note and secured by any New York Mortgage. No
Advances made under this Agreement subsequent to any particular New York Advance shall be deemed to be an Advance under the related New York Term Note or secured by the related New York Mortgage. 

  
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 (ii) Other Notes. Any amounts applied to reduce the payment
Obligations evidenced by any New York Term Note shall correspondingly reduce the Obligations of the Borrower evidenced by the other Notes on a dollar-for-dollar basis. 

(iii) Repayments and Transfers. The Borrower may transfer any New York Property to any Person in compliance with
Section 6.05. In such event and upon the request of the Borrower, the Administrative Agent shall cooperate in all reasonable respects with the Borrower to assign the related New York Term Note and the related New York Mortgage without
representation, recourse or warranty (other than (A) that the Administrative Agent is the holder of the Indebtedness evidenced and secured thereby and (B) the then outstanding principal amount thereof) to any lender to the transferee of
such Hotel Property as requested by the Borrower, at the Borrower’s sole cost and expense. Such assignment shall not require the approval of any Bank or be subject to the satisfaction of any conditions precedent other than the preparation (at
the Borrower’s sole cost and expense) of appropriate assignment documentation in customary form and otherwise satisfactory to the Administrative Agent. Further, if requested at any time by the Borrower, a Subsidiary that owns a New York
Property, the Administrative Agent or the Required Lenders, the Administrative Agent shall cause a New York Mortgage to be released. Such release of such New York Mortgage shall not require the consent of any Bank or be subject to the satisfaction
of any conditions precedent other than the preparation (at the Borrower’s sole cost and expense) of appropriate release documentation in customary form and otherwise satisfactory to the Administrative Agent. Notwithstanding anything to the
contrary contained in this Section 9.01, (1) any sale or other disposition of any New York Property occurring in connection with any such assignment or release of a New York Mortgage must comply with the provisions of Section 6.05
hereof and (2) from and after the time of any release or assignment of any New York Mortgage, any Indebtedness of the Borrower or any of its Subsidiaries secured by the related New York Property must not result in any Default or Event of
Default under Section 6.02. 
 (iv) Costs, Expenses and Indemnification. The provisions regarding
costs and expenses and indemnification Obligations contained in Section 11.04 of this Agreement shall apply in all respects to any transactions involving any Existing New York Note, any Existing New York Mortgage, any New York Term Note or any
New York Mortgage and all actions taken by the Administrative Agent and the Banks in connection therewith. Neither the Administrative Agent nor any of the Banks shall be responsible for any losses, costs or expenses incurred by the Borrower or any
of its affiliates in connection with the loss of any recording tax credits pertaining to any New York Mortgage. Further, without limitation of any other indemnification obligations of the Borrower pursuant to the Credit Documents, the Borrower will
expressly indemnify the Administrative Agent and the Banks from any and all losses, costs and expenses they may incur as a result of failure to pay any recording taxes associated with any New York Mortgage. 

(d) Borrower as Co-Obligor. The Borrower hereby acknowledges that it shall be deemed to be a co-obligor in respect
of each New York Term Note. The liability of the Borrower for the obligations evidenced by each New York Term Note shall be absolute and unconditional irrespective of: 

  
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 (i) any lack of validity or enforceability of such New York Term Note, the
related New York Mortgage, any other Credit Document, any participating lease for a Hotel Property or any other agreement or instrument relating thereto; 
 (ii) any change in the time, manner, or place of payment of, or in any other term of, such New York Term Note or New York Mortgage, or any other amendment or waiver of or any consent to departure from the
any other Credit Document or any participating lease for a Hotel Property; 
 (iii) any exchange, release, or
nonperfection of any collateral, if applicable, or any release or amendment or waiver of or consent to departure from any other agreement or guaranty, relating to such New York Term Note or any related New York Mortgage; or 

(iv) any other circumstances which might otherwise constitute a defense available to, or a discharge of the Borrower in
respect thereof. 
 (e) Certain Waivers. The Borrower makes the waivers set forth below in respect of each
New York Term Note and each New York Mortgage. 
 (i) Notice. The Borrower hereby waives promptness,
diligence, notice of acceptance, notice of acceleration, notice of intent to accelerate and any other notice with respect to any of its obligations under any New York Term Note or any New York Mortgage. 

(ii) Other Remedies. The Borrower hereby waives any requirement that the Administrative Agent or any Bank protect,
secure, perfect, or insure any Lien or any Property subject thereto or exhaust any right or take any action against the Borrower or any other Person or any collateral, if any, including any action required pursuant to a Legal Requirement.

 (iii) Waiver of Subrogation. 

(A) The Borrower hereby irrevocably waives, until satisfaction in full of all of its obligations under the New York Term
Notes and the New York Mortgages and termination of all Commitments, any claim or other rights which it may acquire against any Subsidiary that arise from the Borrower’s obligations under any New York Term Note, New York Mortgage or any other
Credit Document, including, without limitation, any right of subrogation (including, without limitation, any statutory rights of subrogation under Section 509 of the Bankruptcy Code, 11 U.S.C. §509, or otherwise), reimbursement,
exoneration, contribution, indemnification, or any right to participate in any claim or remedy of the Administrative Agent or any Bank against such Subsidiary or any collateral which the Administrative Agent or any Bank now has or acquires. If any
amount shall be paid to the Borrower in violation of the preceding sentence and the obligations under such New York Term Note or such New York Mortgage shall not have been paid in full and all of the Commitments terminated, such amount shall be held
in trust for the benefit of the Administrative Agent or any Bank and shall promptly be paid to the Administrative Agent for the benefit of the Administrative Agent or any Bank to be applied to the obligations under such New York Term Note or such
New York Mortgage, whether matured or unmatured, as the Administrative Agent may elect. The Borrower acknowledges that it will receive direct and indirect benefits from the financing arrangements contemplated by this Agreement and that the waiver
set forth in this clause (A) is knowingly made in contemplation of such benefits. 

  
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 (B) The Borrower further agrees that it will not enter into any agreement
providing, directly or indirectly, for any contribution, reimbursement, repayment, or indemnity by any Subsidiary or any other Person on account of any payment by the Borrower to the Administrative Agent or any Bank under any New York Term Note or
any New York Mortgage. 
 ARTICLE X 
 AGENCY AND ISSUING BANK PROVISIONS 
 Section 10.01 Authorization and Action. Each Bank hereby appoints and authorizes the Administrative Agent to take such action as the Administrative Agent on its behalf and to exercise such
powers under this Agreement and the other Credit Documents as are delegated to the Administrative Agent by the terms hereof and of the other Credit Documents, together with such powers as are reasonably incidental thereto. As to any matters not
expressly provided for by this Agreement or any other Credit Document (including, without limitation, enforcement or collection of the Notes), the 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 Required Lenders, and such instructions shall be binding upon all Banks and all holders of Notes;
provided, however, that the Administrative Agent shall not be required to take any action which exposes the Administrative Agent to personal liability or which is contrary to this Agreement, any other Credit Document, or applicable
law. The functions of the Administrative Agent are administerial in nature and in no event shall the Administrative Agent have a fiduciary or trustee relation in respect of any Bank by reason of this Agreement or any other Credit Document. Within 5
Business Days of the Administrative Agent or a Bank receiving actual notice (without any duty to investigate) of a Default, the Administrative Agent or such Bank, as applicable, will provide written notice of such Default to the Banks. 

Section 10.02 Administrative Agent’s Reliance, Etc. Neither the Administrative Agent nor any of its directors, officers,
agents or employees shall be liable for any action taken or omitted to be taken (including such Person’s own negligence) by it or them under or in connection with this Agreement or the other Credit Documents, except for its or their own gross
negligence or willful misconduct. Without limitation of the generality of the foregoing, the Administrative Agent: (a) may treat the payee of any Note as the holder thereof until the Administrative Agent receives written notice of the
assignment or transfer thereof signed by such payee and in form satisfactory to the Administrative Agent; (b) may consult with legal counsel (including counsel for the Borrower), 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; (c) makes no warranty or representation to any Bank and shall not be responsible to
any Bank for any statements, warranties or representations made in or in connection with this Agreement or the other Credit Documents; (d) shall not 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 Credit Document on the part of the Parent, the Borrower or their Subsidiaries or to inspect the property (including the books and records) of the Borrower or its Subsidiaries;
(e) shall not be responsible to any Bank for the due execution, legality, validity, enforceability, genuineness, sufficiency or value of this Agreement or any other Credit Document; and (f) shall incur no liability under or in respect of
this Agreement or any other Credit Document by acting upon any notice, consent, certificate or other instrument or writing (which may be by telecopier, telegram, cable or telex) believed by it to be genuine and signed or sent by the proper party or
parties. 

  
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 Section 10.03 Administrative Agent and Its Affiliates. With respect to its
Commitment, the Advances made by it and the Notes issued to it, the Administrative Agent shall have the same rights and powers under this Agreement as any other Bank and may exercise the same as though it were not the Administrative Agent. The term
“Bank” or “Banks” shall, unless otherwise expressly indicated, include the Administrative Agent in its individual capacity. The Administrative Agent and its Affiliates may accept deposits from, lend money to, act as trustee under
indentures of, and generally engage in any kind of business with, the Borrower or any of its Subsidiaries, and any Person who may do business with or own securities of the Borrower or any such Subsidiary, all as if the Administrative Agent were not
the Administrative Agent hereunder and without any duty to account therefor to the Banks. 
 Section 10.04 Bank Credit
Decision. Each Bank acknowledges that it has, independently and without reliance upon the Administrative Agent or any other Bank and based on the Parent’s and the Borrower’s financial statements and the Parent’s filings under the
Exchange Act and such other documents and information as it has deemed appropriate, made its own credit analysis and decision to enter into this Agreement. Each Bank also acknowledges that it will, independently and without reliance upon the
Administrative Agent or any other Bank and based on such documents and information as it shall deem appropriate at the time, continue to make its own credit decisions in taking or not taking action under this Agreement. Nothing in this Agreement or
any other Credit Document shall require the Administrative Agent or any of its directors, officers, agents or employees to carry out any “know your customer” or other checks in relation to any Person on behalf of any Bank and each Bank
confirms to the Administrative Agent that it is solely responsible for any such checks it is required to carry out and that it may not rely on any statement in relation to such checks made by the Administrative Agent or any of its directors,
officers, agents or employees. 
 Section 10.05 Indemnification. The Banks severally agree to indemnify the
Administrative Agent and each Issuing Bank (to the extent not reimbursed by the Borrower), according to their respective Pro Rata Shares 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 be imposed on, incurred by, or asserted against the Administrative Agent or such Issuing Bank in any way relating to or arising out of this Agreement or any action taken or
omitted by the Administrative Agent or such Issuing Bank under this Agreement or any other Credit Document (including the Administrative Agent’s or such Issuing Bank’s own negligence), provided that no Bank shall be liable for any
portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements resulting from the Administrative Agent’s or such Issuing Bank’s gross negligence or willful misconduct.
Without limitation of the foregoing, each Bank agrees to reimburse the Administrative Agent promptly upon demand for its Pro Rata Share of any out-of-pocket expenses (including reasonable counsel fees) incurred by the Administrative Agent in
connection with the preparation, execution, delivery, administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise) of, or legal advice in respect of rights or responsibilities under, this
Agreement or any other Credit Document, to the extent that the Administrative Agent is not reimbursed for such expenses by the Borrower. 
 Section 10.06 Successor Administrative Agent and Issuing Banks. (a) The Administrative Agent or any Issuing Bank may resign at any time by giving written notice thereof to the Banks and the
Borrower and may be removed at any time with cause by the Required Lenders upon receipt of written notice from the Required Lenders to such effect. Upon receipt of notice of any such resignation or removal, the Required Lenders shall have the right
to appoint a successor Administrative Agent or Issuing Bank which successor Administrative Agent or Issuing Bank shall be acceptable to the Borrower, unless an Event of Default then exists, in which event the Borrower shall have no such approval
right. If no successor Administrative Agent or Issuing Bank shall have been so appointed, and shall have accepted such appointment, within 30 days after the retiring Administrative Agent’s or Issuing Bank’s giving of

  
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notice of resignation or the Required Lenders’ removal of the retiring Administrative Agent or Issuing Bank, then the retiring Administrative Agent or Issuing Bank may, on behalf of the
Banks and the Borrower, appoint a successor Administrative Agent or Issuing Bank acceptable to the Borrower, which shall be a commercial bank meeting the financial requirements of an Eligible Assignee and, in the case of an Issuing Bank, a Bank.
Upon the acceptance of any appointment as Administrative Agent or Issuing Bank by a successor Administrative Agent or Issuing Bank, such successor Administrative Agent or Issuing Bank shall thereupon succeed to and become vested with all the rights,
powers, privileges and duties of the retiring Administrative Agent or Issuing Bank, and the retiring Administrative Agent or Issuing Bank shall be discharged from its duties and obligations under this Agreement and the other Credit Documents, except
that the retiring Issuing Bank shall remain an Issuing Bank with respect to any Letters of Credit issued by such Issuing Bank and outstanding on the effective date of its resignation or removal and the provisions affecting such Issuing Bank with
respect to such Letters of Credit shall inure to the benefit of the retiring Issuing Bank until the termination of all such Letters of Credit. After any retiring Administrative Agent’s or Issuing Bank’s resignation or removal hereunder as
Administrative Agent or Issuing Bank, the provisions of this Article X shall inure to its benefit as to any actions taken or omitted to be taken by it while it was such Administrative Agent or Issuing Bank under this Agreement and the other
Credit Documents. 
 (b) In addition to the foregoing, if a Bank becomes, and during the period it remains, a Defaulting Lender
or a Potential Defaulting Lender, any Issuing Bank may, upon prior written notice to the Borrower and the Administrative Agent, resign as an Issuing Bank effective at the close of business New York time on a date specified in such notice (which date
may not be less than thirty (30) days after the date of such notice); provided that such resignation by such Issuing Bank will have no effect on the validity or enforceability of any Letter of Credit then outstanding or on the
obligations of the Borrower or any Bank under this Agreement with respect to any such outstanding Letter of Credit or otherwise to the such Issuing Bank. 
 Section 10.07 Co-Syndication Agents, Joint Lead Arrangers and Joint Book Running Managers, Co-Documentation Agents. The Royal Bank of Scotland plc and Bank of Montreal shall be named
Co-Syndication Agents under the Credit Documents, but the Co-Syndication Agents shall have no right or duty to act as agent on behalf of the Banks in such capacity. Citigroup Global Markets Inc., RBS Securities Inc. and BMO Capital Markets shall be
named Joint Lead Arrangers and Joint Book Running Managers under the Credit Documents, but such Joint Lead Arrangers and Joint Book Running Managers shall have no right or duty to act as agent on behalf of the Banks in such capacities. Regions Bank,
U.S. Bank National Association, Bank of America, N.A., Compass Bank, Deutsche Bank Trust Company Americas, Raymond James Bank, FSB and Royal Bank of Canada shall be named Co-Documentation Agents under the Credit Documents, but the Co-Documentation
Agents shall have no right or duty to act as agent on behalf of the Banks in such capacity. 
 Section 10.08 Designation
of Additional Agents. The Administrative Agent shall have the continuing right, for purposes hereof, at any time and from time to time to designate one or more of the Banks (and/or its or their Affiliates) as “arrangers” or other
designations for purposes hereto, but no such designation shall have any substantive effect, and no such Banks or their Affiliates shall have any additional powers, duties or responsibilities as a result thereof. 

  
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 ARTICLE XI 

MISCELLANEOUS 
 Section 11.01 Amendments, Etc. No amendment or waiver of any provision of this Agreement, the Notes, or any other Credit Document, nor consent to any departure by the Borrower or any Guarantor
therefrom, nor increase in the aggregate Commitments of the Banks, shall in any event be effective unless the same shall be in writing and signed by the Administrative Agent, and then such waiver or consent shall be effective only in the specific
instance and for the specific purpose for which given; provided, however, that no amendment shall increase the Commitment of any Bank without the written consent of such Bank, and no amendment, waiver or consent shall, unless in
writing and signed by all the Banks, do any of the following: (a) increase the aggregate Commitments of the Banks in excess of $1,000,000,000, (b) reduce the principal of, or interest on, the Notes or any fees or other amounts payable
hereunder or under any other Credit Document or otherwise release the Borrower from any Obligations, (c) postpone any date fixed for any scheduled payment of principal of, or interest on, the Notes or any fees or other amounts payable
hereunder, (d) change the percentage of the Commitments of the Banks which shall be required for the Banks or any of them to take any action hereunder or under any other Credit Document, (e) amend this Section 11.01, (f) amend
the definition of “Required Lenders”, (g) amend the definition of “Asset Value”, but not the definitions that are used in such definition, (h) release any Guarantor from its obligations under the Guaranty;
provided that the Administrative Agent can, if no Default then exists, release any Subsidiary of the Borrower which no longer is a Property Owner of an Unencumbered Property, (i) modify any provisions requiring payment to be made for the
ratable account of the Banks, or (j) amend the definition of “Pro Rata Share”; and provided, further, that no amendment, waiver or consent shall, unless in writing and signed by the Administrative Agent or any Issuing
Bank in addition to the Banks required above to take such action, affect the rights or duties of the Administrative Agent or such Issuing Bank, as the case may be, under this Agreement or any other Credit Document. In addition, none of the following
decisions shall be made without the written consent of the Required Lenders: 
 (a) release any Person from its
obligations under any of the Environmental Indemnities; 
 (b) any determination to make a Borrowing after the
occurrence and during the continuance of an Event of Default; 
 (c) increases the maximum duration of Interest
Periods permitted under this Agreement; 
 (d) any waiver of or any amendment to the financial covenants
contained in Article VII of this Agreement or any definitions used therein; 
 (e) any waiver or
modification of the covenants contained in Article V or Article VI; 
 (f) any amendment, supplement or
modification to, or waiver of, the provisions of Section 8.01 of this Agreement; 
 (g) any determination to
send notice to the Borrower of, or otherwise declare, an Event of Default pursuant to Section 8.01 of this Agreement; 
 (h) any determination to accelerate the Obligations pursuant to Section 8.02 of this Agreement; 
 (i) any exercise of remedies under any Credit Document; 
 (j) any
waiver for more than 45 days of, or any amendment to, the reporting requirements set forth in clauses (a)-(d) of Section 5.05 of this Agreement; 

  
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 (k) any material waiver of the conditions to a Hotel Property qualifying as
either an Unencumbered Property or a Permitted Non-Unencumbered Property; and 
 (l) any other waiver or
modification of the Credit Documents unless the applicable provision of this Agreement expressly permits such waiver to be made by the Administrative Agent. 
 Any amendment to this Agreement which extends the expiration date of any Letter of Credit beyond the Maturity Date shall require the written consent of any Bank affected by such amendment. Any amendment
to this Agreement including a covenant of the Parent or any of its Subsidiaries or amendment to a definition shall require the Borrower’s written consent. Anything herein to the contrary notwithstanding, during such period as a Bank is a
Defaulting Lender, to the fullest extent permitted by applicable law, such Bank will not be entitled to vote in respect of amendments and waivers hereunder and the Commitment and the outstanding Advances or other extensions of credit of such Bank
hereunder will not be taken into account in determining whether the Required Lenders or all of the Banks, as required, have approved any such amendment or waiver (and the definition of “Required Lenders” will automatically be deemed
modified accordingly for the duration of such period; provided, that any such amendment or waiver that would increase or extend the term of the Commitment of such Defaulting Lender, extend the date fixed for the payment of principal or
interest owing to such Defaulting Lender hereunder, reduce the principal amount of any obligation owing to such Defaulting Lender, reduce the amount of or the rate or amount of interest on any amount owing to such Defaulting Lender or of any fee
payable to such Defaulting Lender hereunder, or alter the terms of this proviso, will require the consent of such Defaulting Lender. 
 Section 11.02 Notices, Etc. (a) Except as specifically provided herein, all notices and other communications shall be in writing (including telecopy or telex) and mailed, telecopied, telexed, hand
delivered or delivered by a nationally recognized overnight courier, (a) if to the Borrower, at its address at 3 Bethesda Metro Center, Suite 1200, Bethesda, Maryland 20814, Attention: Mr. Bruce A. Riggins, with a copy to William
Diamond at DeCampo Diamond & Ash, 747 Third Avenue, New York, New York 10017 (telephone: (212) 758-1710; telecopy (212) 758-1728) and a copy to Robert K. Hagan at Hagan & Associates, Suite 4322, 200 East Randolph
Drive, Chicago, Illinois 60601 (telephone: (312) 228-2050; telecopy (312) 228-0982); (b) if to any Bank at its Domestic Lending Office; (c) if to the Administrative Agent, at its address at Citibank, N.A. Agency Department, 1615
Brett Road OPS III, New Castle, Delaware 19720, Attention: Global Loans Agency Department, (telecopy: (212) 994-0961; telephone: (302) 894-6010; (d) if to Citibank as Issuing Bank, at its address at 1615 Brett Road OPS III, New
Castle, Delaware 19720, Attention: Global Loans Agency Department, (telecopy: (212) 994-0961; telephone: (302) 894-6010), (e) if to the Existing Issuing Bank, at its Domestic Lending Office, or, (f) as to each party, at such
other address or telecopier number as shall be designated by such party in a written notice to the other parties. All such notices and communications shall (i) when mailed, telecopied, telexed or hand delivered or delivered by overnight
courier, be effective three days after deposited in the mails, when telecopy transmission is completed, when confirmed by telex answer-back or when delivered, (ii) when delivered by posting to an Approved Electronic Platform, an Internet
website or a similar telecommunication device requiring that a user have prior access to such Approved Electronic Platform, website or other device (to the extent permitted by Section 11.02(b) to be delivered thereunder), when such notice,
demand, request, consent and other communication shall have been made generally available on such Approved Electronic Platform, Internet website or similar device to the class of Person being notified (regardless of whether any such Person must
accomplish, and whether or not any such Person shall have accomplished, any action prior to obtaining access to such items, including registration, disclosure of contact information, compliance with a standard user agreement or undertaking a duty of
confidentiality) and such Person has been notified in respect of such posting that a communication has been posted to the Approved Electronic Platform, provided that if requested by any Bank or any Issuing

  
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Bank, the Administrative Agent shall deliver a copy of the Communications to such Bank or Issuing Bank by e-mail or telecopier and (iii) when delivered by electronic mail or any other
telecommunications device, when receipt is confirmed by electronic mail as provided in this clause (a); provided, however, that notices and communications to the Administrative Agent pursuant to Article II or Article X shall not be
effective until received by the Administrative Agent; provided further that any notice or communication which is delivered after the close of regular business hours of the recipient shall be deemed received on the next Business Day. Delivery by
telecopier of an executed counterpart of a signature page to any amendment or waiver of any provision of this Agreement or the Notes or of any Exhibit hereto to be executed and delivered hereunder shall be effective as delivery of an original
executed counterpart thereof. Each Bank and each Issuing Bank agrees (i) to notify the Administrative Agent in writing of such Bank or such Issuing Bank’s e-mail address to which a notice may be sent by electronic transmission (including
by electronic communication) on or before the date such Bank and such Issuing Bank becomes a party to this Agreement (and from time to time thereafter to ensure that the Administrative Agent has on record an effective e-mail address for such Bank
and such Issuing Bank) and (ii) that any notice may be sent to such e-mail address. 
 (b) Notwithstanding clause
(a) (unless the Administrative Agent requests that the provisions of clause (a) be followed) and any other provision in this Agreement or any other Credit Document providing for the delivery of any Approved Electronic Communication by any
other means, the Borrower and the Guarantors shall deliver all Approved Electronic Communications to the Administrative Agent by properly transmitting such Approved Electronic Communications in an electronic/soft medium in a format acceptable to the
Administrative Agent to global.loans.support@citigroup.com or such other electronic mail address (or similar means of electronic delivery) as the Administrative Agent may notify to the Borrower. Nothing in this clause (b) shall prejudice the
right of the Administrative Agent or any Bank or any Issuing Bank to deliver any Approved Electronic Communication to the Borrower or any Guarantor in any manner authorized in this Agreement or to request that the Borrower effect delivery in such
manner. 
 (c) Each of the Banks and the Borrower and each Guarantor agrees that the Administrative Agent may, but shall not be
obligated to, make the Approved Electronic Communications available to the Banks by posting such Approved Electronic Communications on IntraLinksTM or a substantially similar electronic platform chosen by the Administrative Agent to be its
electronic transmission system (the “Approved Electronic Platform”). Although the Approved Electronic Platform and its primary web portal are secured with generally-applicable security procedures and policies implemented or modified
by the Administrative Agent from time to time (including, as of the Closing Date, a dual firewall and a User ID/Password Authorization System) and the Approved Electronic Platform is secured through a single-user-per-deal authorization method
whereby each user may access the Approved Electronic Platform only on a deal-by-deal basis, each of the Banks and the Borrower and each Guarantor acknowledges and agrees that the distribution of material through an electronic medium is not
necessarily secure and that there are confidentiality and other risks associated with such distribution. In consideration for the convenience and other benefits afforded by such distribution and for the other consideration provided hereunder, the
receipt and sufficiency of which is hereby acknowledged, each of the Banks and the Borrower and each Guarantor hereby approves distribution of the Approved Electronic Communications through the Approved Electronic Platform and understands and
assumes the risks of such distribution. 
 (d) THE APPROVED ELECTRONIC PLATFORM AND THE APPROVED ELECTRONIC COMMUNICATIONS ARE
PROVIDED “AS IS” AND “AS AVAILABLE”. NONE OF THE ADMINISTRATIVE AGENT NOR ANY OF ITS DIRECTORS, OFFICERS, AGENTS OR EMPLOYEES WARRANT THE ACCURACY, ADEQUACY OR COMPLETENESS OF THE APPROVED ELECTRONIC COMMUNICATIONS OR THE
APPROVED ELECTRONIC 

  
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PLATFORM AND EACH EXPRESSLY DISCLAIMS ANY LIABILITY FOR ERRORS OR OMISSIONS IN THE APPROVED ELECTRONIC COMMUNICATIONS OR THE APPROVED ELECTRONIC PLATFORM. NO WARRANTY OF ANY KIND, EXPRESS,
IMPLIED OR STATUTORY, INCLUDING, WITHOUT LIMITATION, ANY WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, NON-INFRINGEMENT OF THIRD PARTY RIGHTS OR FREEDOM FROM VIRUSES OR OTHER CODE DEFECTS, IS MADE BY THE ADMINISTRATIVE AGENT OR ANY
OF ITS DIRECTORS, OFFICERS, AGENTS OR EMPLOYEES IN CONNECTION WITH THE APPROVED ELECTRONIC COMMUNICATIONS OR THE APPROVED ELECTRONIC PLATFORM. 
 (e) Each of the Banks and the Borrower and each Guarantor agrees that the Administrative Agent may, but (except as may be required by applicable law) shall not be obligated to, store the Approved
Electronic Communications on the Approved Electronic Platform in accordance with the Administrative Agent’s generally-applicable document retention procedures and policies. 

Section 11.03 No Waiver; Remedies. No failure on the part of any Bank, the Administrative Agent, or any Issuing Bank
to exercise, and no delay in exercising, any right hereunder or under any Note shall operate as a waiver thereof; nor shall any single or partial exercise of any such right preclude any other or further exercise thereof or the exercise of any other
right. The remedies provided in this Agreement and the other Credit Documents are cumulative and not exclusive of any remedies provided by law. 
 Section 11.04 Costs and Expenses. The Borrower agrees to pay on demand all reasonable out-of-pocket costs and expenses of the Administrative Agent in connection with the preparation,
execution, delivery, due diligence, administration, modification and amendment of this Agreement, the Notes and the other Credit Documents and syndication of the Obligations including, without limitation, (a) the reasonable fees and
out-of-pocket expenses of Shearman & Sterling LLP, counsel for the Administrative Agent (and no other Bank), and (b) to the extent not included in the foregoing, the costs of any local counsel, travel expenses of the Administrative
Agent and its consultants and representatives, engineering reports, environmental reports, mortgage and intangible taxes (if any), and any title or Uniform Commercial Code search costs, any flood plain search costs, insurance consultant costs and
other costs usual and customary in connection with a credit facility of this type. In addition, the Borrower agrees to pay on demand all reasonable out-of-pocket costs and expenses, if any, of the Administrative Agent, the Syndication Agent, each
Issuing Bank, and each Bank (including, without limitation, reasonable counsel fees and expenses of the Administrative Agent, such Issuing Bank, and each Bank) in connection with the enforcement (whether through negotiations, legal proceedings
or otherwise) of this Agreement and the other Credit Documents. 
 Section 11.05 Binding Effect. This Agreement
shall become effective when it shall have been executed by the Borrower and the Administrative Agent, and when the Administrative Agent shall have, as to each Bank, either received a counterpart hereof executed by such Bank or been notified by such
Bank that such Bank has executed it and thereafter shall be binding upon and inure to the benefit of the Borrower, the Administrative Agent, each Issuing Bank, and each Bank and their respective successors and assigns, except that the Borrower shall
not have the right to assign its rights or delegate its duties under this Agreement or any interest in this Agreement without the prior written consent of each Bank. 
 Section 11.06 Bank Assignments and Participations. (a) Assignments. Any Bank may assign to one or more banks or other entities all or any portion of its
rights and obligations under this Agreement (including, without limitation, all or a portion of its Commitment, the Advances owing to it, the Notes held by it, and the participation interest in the Letter of Credit Obligations held by it);
provided, however, that (i) each such assignment shall be of a constant, and not a varying, percentage of all of such Bank’s 

  
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rights and obligations under this Agreement and shall involve a ratable assignment of such Bank’s Commitment, such Bank’s Advances and such Bank’s participation in Letter of Credit
Exposure, (ii) the amount of the resulting Commitment and Advances of the assigning Bank (unless it is assigning all its Commitment) and the assignee Bank pursuant to each such assignment (determined as of the date of the Assignment and
Acceptance with respect to such assignment) shall in no event be less than $10,000,000 and shall be an integral multiple of $1,000,000, (iii) each such assignment shall be to an Eligible Assignee, (iv) the parties to each such
assignment shall execute and deliver to the Administrative Agent, for its acceptance and recording in the Register, an Assignment and Acceptance, together with the Notes subject to such assignment, (v) the consent of the Administrative Agent
shall be required, which consent shall not be unreasonably withheld or delayed, except with respect to assignments to other Banks or an Affiliate of the assigning Bank, (vi) no such assignments shall be made to any Defaulting Lender or
Potential Defaulting Lender or any of their respective subsidiaries, or any Person who, upon becoming a Bank hereunder, would constitute any of the foregoing Persons described in this clause, and (vii) each Eligible Assignee (other than an
Eligible Assignee which is an Affiliate of the assigning Bank) shall pay to the Administrative Agent a $3,500 administrative fee. Upon such execution, delivery, acceptance and recording, from and after the effective date specified in each
Assignment and Acceptance, which effective date shall be at least three Business Days after the execution thereof, (A) the assignee thereunder shall be a party hereto for all purposes and, to the extent that rights and obligations hereunder
have been assigned to it pursuant to such Assignment and Acceptance, have the rights and obligations of a Bank hereunder and (B) such Bank thereunder shall, to the extent that rights and obligations hereunder have been assigned by it pursuant
to such Assignment and Acceptance, relinquish its rights and be released from its obligations under this Agreement (and, in the case of an Assignment and Acceptance covering all or the remaining portion of such Bank’s rights and obligations
under this Agreement, such Bank shall cease to be a party hereto). Notwithstanding anything herein to the contrary, any Bank may assign, as collateral or otherwise, any of its rights under the Credit Documents, including to any Federal Reserve Bank,
and this Section shall not apply to any such assignment. In connection with any assignment of rights and obligations of any Defaulting Lender hereunder, no such assignment will be effective unless and until, in addition to the other conditions
thereto set forth herein, the parties to the assignment make such additional payments to the Administrative Agent in an aggregate amount sufficient, upon distribution thereof as appropriate (which may be outright payment, purchases by the assignee
of participations or subparticipations, or other compensating actions, including funding, with the consent of the Administrative Agent and, unless a Default has occurred and is continuing, the Borrower, which consent shall not be unreasonably
withheld or delayed, the applicable pro rata share of Advances previously requested but not funded by the Defaulting Lender, to each of which the applicable assignee and assignor hereby irrevocably consent), to (x) pay and satisfy in full all
payment liabilities then owed by such Defaulting Lender to the Administrative Agent, each Issuing Bank and each other Bank hereunder (and interest accrued thereon), and (y) acquire (and fund as appropriate) its full pro rata share of all
Advances and participants in Letters of Credit. Notwithstanding the foregoing, in the event that any assignment of rights and obligations of any Defaulting Lender hereunder becomes effective under applicable law without compliance with the
provisions of this paragraph, then the assignee of such interest will be deemed to be a Defaulting Lender for all purposes of this Agreement until such compliance occurs. 
 (b) Term of Assignments. By executing and delivering an Assignment and Acceptance, the Bank thereunder and the assignee thereunder confirm to and agree with each other and the other parties hereto
as follows: (i) other than as provided in such Assignment and Acceptance, such Bank makes no representation or warranty and assumes no responsibility with respect to any statements, warranties or representations made in or in connection with
this Agreement or the execution, legality, validity, enforceability, genuineness, sufficiency of value of this Agreement or any other instrument or document furnished pursuant hereto; (ii) such Bank makes no representation or warranty and
assumes no responsibility with respect to the financial condition of the Borrower or the Guarantors or the performance or observance by the Borrower or the Guarantors of any of their obligations under this

  
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Agreement or any other instrument or document furnished pursuant hereto; (iii) such assignee confirms that it has received a copy of this Agreement, together with copies of the financial
statements and filings under the Exchange Act referred to in Sections 4.06 and 5.05, if applicable, and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into such Assignment
and Acceptance; (iv) such assignee will, independently and without reliance upon the Administrative Agent, such Bank or any other Bank and based on such documents and information as it shall deem appropriate at the time, continue to make its
own credit decisions in taking or not taking action under this Agreement; (v) such assignee appoints and authorizes the Administrative Agent to take such action as agent on its behalf and to exercise such powers under this Agreement as are
delegated to the Administrative Agent by the terms hereof, together with such powers as are reasonably incidental thereto; and (vi) such assignee agrees that it will perform in accordance with their terms all of the obligations which by the
terms of this Agreement are required to be performed by it as a Bank. 
 (c) The Register. The Administrative Agent shall
maintain at its address referred to in Section 11.02 a copy of each Assignment and Acceptance delivered to and accepted by it and a register for the recordation of the names and addresses of the Banks and the Commitments of, and principal
amount of the Advances owing to, each Bank from time to time (the “Register”). The entries in the Register shall be conclusive and binding for all purposes, absent manifest error, and the Borrower, the Administrative Agent, the
Issuing Banks, and the Banks may treat each Person whose name is recorded in the Register as a Bank hereunder for all purposes of this Agreement. The Register shall be available for inspection by the Borrower or any Bank at any reasonable time and
from time to time upon reasonable prior notice. 
 (d) Procedures. Upon its receipt of an Assignment and Acceptance
executed by a Bank and an Eligible Assignee, together with the Note subject to such assignment, the Administrative Agent shall, if such Assignment and Acceptance has been completed and is in substantially the form of the attached Exhibit B,
(i) accept such Assignment and Acceptance, (ii) record the information contained therein in the Register, and (iii) give prompt notice thereof to the Borrower. Within five Business Days after its receipt of such notice, the Borrower,
at its own expense, shall execute and deliver to the Administrative Agent in exchange for the surrendered Note, a new Note payable to the order of such Eligible Assignee in amount equal to, respectively, the Commitment and the outstanding Advances
assumed by it pursuant to such Assignment and Acceptance, and if the assigning Bank has retained any Commitment hereunder, a new Note payable to the order of such Bank in an amount equal to, respectively, the Commitment and the outstanding Advances
retained by it hereunder. Such new Note shall be dated the effective date of such Assignment and Acceptance and shall otherwise be in substantially the form of the attached Exhibit A. 

(e) Participations. Each Bank may sell participations to one or more banks or other entities in or to all or a portion of its
rights and obligations under this Agreement (including, without limitation, all or a portion of its Commitment, the Advances owing to it, its participation interest in the Letter of Credit Obligations, and the Notes held by it); provided,
however, that (i) such Bank’s obligations under this Agreement (including, without limitation, its Commitment to the Borrower hereunder) shall remain unchanged, (ii) such Bank shall remain solely responsible to the other
parties hereto for the performance of such obligations, (iii) such Bank shall remain the holder of any such Note for all purposes of this Agreement, (iv) the Borrower, the Administrative Agent, and the Issuing Banks and the other Banks
shall continue to deal solely and directly with such Bank in connection with such Bank’s rights and obligations under this Agreement, and (v) such Bank shall not require the participant’s consent to any matter under this Agreement,
except for change in the principal amount of any Note in which the participant has an interest, reductions in fees or interest, or extending the Maturity Date except as permitted in this Agreement. The Borrower hereby agrees that participants shall
have the same rights under Sections 2.08, 2.09, and 2.11(c) hereof as the Bank to the extent of their respective participations, 

  
 -79-

 
provided that no participant shall be able to collect in excess of amounts payable to the Bank selling to such participant under such Sections in respect of the interest sold to such
participant or to collect any such amounts from the Borrower. Each Bank that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Borrower, maintain a register on which it enters the name and address of each
participant and the principal amounts (and stated interest) of each participant’s interest in the Advances or other obligations under the Loan Documents (the “Participant Register”); provided that no Bank shall have any
obligation to disclose all or any portion of the Participant Register (including the identity of any participant or any information relating to a participant’s interest in any commitments, loans, letters of credit or its other obligations under
any Loan Document) to any Person except to the extent that such disclosure is necessary to establish that such commitment, loan, letter of credit or other obligation is in registered form under Section 5f.103-1(c) of the United States Treasury
Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and such Bank shall treat each Person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this
Agreement notwithstanding any notice to the contrary. For the avoidance of doubt, the Administrative Agent (in its capacity as Administrative Agent) shall have no responsibility for maintaining a Participant Register. 

(f) Confidentiality. Each Bank may furnish any information concerning the Borrower and its Subsidiaries in the possession of such
Bank from time to time to assignees and participants (including prospective assignees and participants); provided that, prior to any such disclosure, the assignee or participant or proposed assignee or participant shall agree in writing to
preserve the confidentiality of any confidential information relating to the Borrower and its Subsidiaries received by it from or on behalf of such Bank in accordance with Section 11.20. Such Bank shall promptly deliver a signed copy of any
such confidentiality agreement to the Administrative Agent. 
 Section 11.07 Indemnification. (a) The Borrower shall
indemnify the Administrative Agent, the Banks (in any capacity or title and including any lender which was a Bank hereunder prior to any full assignment of its Commitment), the Issuing Banks, and each affiliate thereof and their respective
directors, officers, employees and agents from, and discharge, release, and hold each of them harmless against, any and all losses, liabilities, claims or damages (including reasonable legal fees) to which any of them may become subject, insofar as
such losses, liabilities, claims or damages (including reasonable legal fees) arise out of or result from (i) any actual or proposed use by the Borrower or any Affiliate of the Borrower of the proceeds of any Advance, (ii) any breach by
the Borrower or any Guarantor of any provision of this Agreement or any other Credit Document, (iii) any investigation, litigation or other proceeding (including any threatened investigation or proceeding) relating to the foregoing
regardless of the identity of the party bringing such investigation, litigation or other proceeding, or (iv) any Environmental Claim or requirement of Environmental Laws concerning or relating to the present or previously-owned or operated
properties, or the operations or business, of the Borrower or any of its Subsidiaries, and the Borrower shall reimburse the Administrative Agent, each Issuing Bank, and each Bank, and each affiliate thereof and their respective directors, officers,
employees and agents, upon demand for any reasonable out-of-pocket expenses (including legal fees) incurred in connection with any such investigation, litigation or other proceeding; and expressly including any such losses, liabilities, claims,
damages, or expense incurred by reason of the Person being indemnified’s own negligence, but excluding any such losses, liabilities, claims, damages or expenses incurred by reason of such indemnified Person’s gross negligence or willful
misconduct or willful breach in bad faith of a material provision of this Agreement as determined in a final non-appealable judgment by a court of competent jurisdiction. 
 (b) To the fullest extent permitted by applicable law, the Borrower shall not assert, and hereby waives, any claim against any such indemnified party, on any theory of liability, for special, indirect,
consequential or punitive damages (as opposed to direct or actual damages) arising out of, in connection with, or as a result of, this Agreement, any other Loan Document or any agreement or instrument contemplated hereby, the transactions
contemplated hereby or thereby, any Advance or Letter of Credit, or the use of the proceeds thereof. 

  
 -80-

 (c) No indemnified Person referred to in this Section 11.07 shall be liable for
any damages arising from the use by unintended recipients of any information or other materials distributed by it through telecommunications, electronic or other information transmission systems in connection with this Agreement or the other Loan
Documents or the transactions contemplated hereby or thereby. 
 Section 11.08 Execution in Counterparts. This
Agreement may be executed in any number of counterparts and by different parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same
agreement. 
 Section 11.09 Survival of Representations, Indemnifications, etc. All representations, warranties
contained in this Agreement or made in writing by or on behalf of the Borrower in connection herewith shall survive the execution and delivery of this Agreement and the Credit Documents, the making of the Advances and any investigation made by or on
behalf of the Banks, none of which investigations shall diminish any Bank’s right to rely on such representations and warranties. All obligations of the Borrower provided for in Sections 2.08, 2.09, 2.11(c), 10.05 and 11.07 shall survive any
termination of this Agreement and repayment in full of the Obligations. 
 Section 11.10 Severability. In case one
or more provisions of this Agreement or the other Credit Documents shall be invalid, illegal or unenforceable in any respect under any applicable law, the validity, legality and enforceability of the remaining provisions contained herein or therein
shall not be affected or impaired thereby. 
 Section 11.11 Entire Agreement. This Agreement, the Notes and the
other Credit Documents constitute the entire understanding among the parties hereto with respect to the subject matter hereof and supersede any prior agreements, written or oral, with respect thereto. 

Section 11.12 Usury Not Intended. It is the intent of the Borrower and each Bank in the execution and performance of this
Agreement and the other Credit Documents to contract in strict compliance with applicable usury laws, including conflicts of law concepts, governing the Advances of each Bank including such applicable laws of the State of New York and the United
States of America from time to time in effect. In furtherance thereof, the Banks and the Borrower stipulate and agree that none of the terms and provisions contained in this Agreement or the other Credit Documents shall ever be construed to create a
contract to pay, as consideration for the use, forbearance or detention of money, interest at a rate in excess of the Maximum Rate and that for purposes hereof “interest” shall include the aggregate of all charges which constitute interest
under such laws that are contracted for, charged or received under this Agreement; and in the event that, notwithstanding the foregoing, under any circumstances the aggregate amounts taken, reserved, charged, received or paid on the Advances,
include amounts which by applicable law are deemed interest which would exceed the Maximum Rate, then such excess shall be deemed to be a mistake and each Bank receiving same shall credit the same on the principal of its Notes (or if such Notes
shall have been paid in full, refund said excess to the Borrower). In the event that the maturity of the Notes is accelerated by reason of any election of the holder thereof resulting from any Event of Default under this Agreement or otherwise, or
in the event of any required or permitted prepayment, then such consideration that constitutes interest may never include more than the Maximum Rate and excess interest, if any, provided for in this Agreement or otherwise shall be canceled
automatically as of the date of such acceleration or prepayment and, if theretofore paid, shall be credited on the applicable Notes (or, if the applicable Notes shall have been paid in full, refunded to the

  
 -81-

 
Borrower). In determining whether or not the interest paid or payable under any specific contingencies exceeds the Maximum Rate, the Borrower and the Banks shall to the maximum extent permitted
under applicable law amortize, prorate, allocate and spread in equal parts during the period of the full stated term of the Notes all amounts considered to be interest under applicable law at any time contracted for, charged, received or reserved in
connection with the Obligations. The provisions of this Section shall control over all other provisions of this Agreement or the other Credit Documents which may be in apparent conflict herewith. 

Section 11.13 Governing Law. ANY DISPUTE BETWEEN
THE BORROWER, THE ADMINISTRATIVE AGENT, ANY ISSUING BANK, ANY BANK, OR
ANY INDEMNITEE ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL
TO THE RELATIONSHIP ESTABLISHED BETWEEN THEM IN CONNECTION WITH, THIS AGREEMENT
OR ANY OF THE OTHER CREDIT DOCUMENTS, AND WHETHER ARISING IN
CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL BE RESOLVED IN ACCORDANCE WITH
THE INTERNAL LAWS (INCLUDING, WITHOUT LIMITATION, SECTION 5-1401 OF THE GENERAL
OBLIGATIONS LAW, BUT OTHERWISE WITHOUT REGARD TO THE CONFLICTS OF LAWS
PROVISIONS) OF THE STATE OF NEW YORK. 
 Section 11.14 Consent to Jurisdiction; Service of Process; Jury Trial. (a) Exclusive Jurisdiction. Except as provided in subsection (b), each of the parties hereto agrees that all
disputes among them arising out of, connected with, related to, or incidental to the relationship established among them in connection with, this Agreement or any of the other Credit Documents whether arising in contract, tort, equity, or otherwise,
shall be resolved exclusively by state or federal courts located in the City, county and state of New York, but the parties hereto acknowledge that any appeals from those courts may have to be heard by a court located outside of New York. Each of
the parties hereto waives in all disputes brought pursuant to this subsection (a) any objection that it may have to the location of the court considering the dispute. 
 (b) Other Jurisdictions. The Borrower agrees that the Administrative Agent, any Bank or any Indemnitee shall have the right to proceed against the Borrower or its Property in a court in any
location to enable such person to (1) obtain personal jurisdiction over the Borrower or (2) enforce a judgment or other court order entered in favor of such Person. The Borrower agrees that it will not assert any permissive counterclaims
in any proceeding brought by such Person to enforce a judgment or other court order in favor of such Person. The Borrower waives any objection that it may have to the location of the court in which such Person has commenced a proceeding described in
this subsection (b). 
 (c) Service of Process. The Borrower waives personal service of any process upon it and
irrevocably consents to the service of process of any writs, process or summonses in any suit, action or proceeding by the mailing thereof by the Administrative Agent or the Banks by registered or certified mail, postage prepaid, to the Borrower
addressed as provided herein. Nothing herein shall in any way be deemed to limit the ability of the Administrative Agent or the Banks to serve any such writs, process or summonses in any other manner permitted by applicable law. The Borrower
irrevocably waives any objection (including, without limitation, any objection of the laying of venue or based on the grounds of forum non conveniens) which it may now or hereafter have to the bringing of any such action or proceeding with
respect to this Agreement or any other Instrument, Document or Agreement executed or delivered in connection herewith in any jurisdiction set forth above. 
 (d) Waiver of Jury Trial. Each of the Parties hereto irrevocably waives any right to have a jury participate in resolving any dispute, whether sounding in contract, tort, or otherwise, arising out
of, connected with, related to or incidental to the relationship established among them in connection with this Agreement or any other Instrument, Document or Agreement executed or delivered in connection herewith. Each of the Parties hereto agrees
and consents that any such claim, demand, action or cause of action shall be decided by court trial without a jury and that any Party hereto may file an original counterpart or a copy of this Agreement with any court as written evidence of the
consent of the Parties hereto to the waiver of their right to trial by jury. 

  
 -82-

 (e) Waiver of Bond. The Borrower waives the posting of any Bond otherwise required of
any Party hereto in connection with any judicial process or proceeding to realize on the collateral enforce any judgment or other court order entered in favor of such Party, or to enforce by specific performance, temporary restraining order,
preliminary or permanent injunction, this Agreement or any other Credit Document. 
 Section 11.15 Knowledge of
Borrower. For purposes of this Agreement, “knowledge of the Borrower” means the actual knowledge of any of the executive officers and all other Responsible Officers of the Parent. 

Section 11.16 Banks Not in Control. None of the covenants or other provisions contained in the Credit Documents shall or
shall be deemed to, give the Banks the rights or power to exercise control over the affairs and/or management of the Borrower, any of its Subsidiaries or any Guarantor, the power of the Banks being limited to the right to exercise the remedies
provided in the Credit Documents. 
 Section 11.17 Headings Descriptive. The headings of the several Sections and
paragraphs of the Agreement are inserted for convenience only and shall not in any way affect the meaning or construction of any provision of this Agreement. 
 Section 11.18 Time is of the Essence. Time is of the essence under the Credit Documents. 
 Section 11.19 Scope of Indemnities. The Borrower acknowledges and agrees that certain of its Obligations and indemnities under this Agreement include any claims resulting from the
negligence or alleged negligence of the Administrative Agent, the Banks, or any other Person being indemnified. 

Section 11.20 Confidentiality. (a) The Administrative Agent, each Issuing Bank and each Bank severally agrees that it will
use its commercially reasonable efforts not to disclose without the prior written consent of the Parent or the Borrower (other than to an Affiliate or such Person’s or their Affiliate’s directors, officers, employees, auditors, regulators
or counsel) any Information (as defined below) with respect to the Parent or the Borrower which is furnished pursuant to this Agreement except that the Administrative Agent, each Issuing Bank and each Bank may disclose any such Information
(a) which is or becomes generally available to the public other than by a breach of this Section 11.20, (b) which is known by or becomes known by such Person from another Person, (c) as may be required or appropriate in any
report, statement or testimony submitted to any Governmental Authority, regulatory authority or self-regulatory authority (whether in the United States or elsewhere), (d) as may be required or appropriate in response to any summons or subpoena
or any law, order, regulation, ruling or similar legal process applicable to such Agent, each Issuing Bank or Bank, (e) to any other party hereto, (f) in connection with the exercise of any remedies hereunder or under any other Loan
Document or any action or proceeding relating to this Agreement or any other Loan Document or the enforcement of rights hereunder or thereunder, (g) subject to an agreement containing provisions substantially the same as those of this
Section 11.20, to (1) any prospective participant or assignee in connection with any contemplated transfer pursuant to Section 11.06 in accordance with the provisions of Section 11.06(f) or (2) any actual or prospective
party to any swap, derivative or other transaction under which payments are to be made by reference to the Borrower and its obligations, this Agreement or payments hereunder, (h) on a confidential basis to (1) any rating agency in
connection with rating the Parent or its Subsidiaries or this Agreement or (2) the CUSIP Service Bureau or any similar agency in connection with the issuance and monitoring of CUSIP numbers with respect to this Agreement, (i) with the
consent of the Borrower, or (j)

  
 -83-

 
to the extent such Information becomes available to the Administrative Agent, any Bank, any Issuing Bank or any of their respective Affiliates on a nonconfidential basis from a source other than
the Borrower. For purposes of this Section, “Information” means all information received from the Parent or any of its Subsidiaries (including the Fee Letter and any information obtained based on a review of the books and records of the
Parent or any of its Subsidiaries) relating to the Parent or any of its Subsidiaries or any of their respective businesses; provided that, in the case of information so received after the date hereof, such information is clearly identified at the
time of delivery as confidential. Any Person required to maintain the confidentiality of Information as provided in this Section shall be considered to have complied with its obligation to do so if such Person has exercised the same degree of care
to maintain the confidentiality of such Information as such Person would accord to its own confidential information. 
 (b)
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 applied from the commencement of discussions between the parties to the tax treatment and tax structure of the transactions contemplated by the Credit 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 Credit 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 Credit 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. 
 Section 11.21 USA Patriot Act Notice. The Patriot Act 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, the Administrative Agent
(for itself and/or as Administrative Agent for all Banks hereunder) may from time-to-time request, and the Borrower shall provide the Administrative Agent, the Borrower’s and each Guarantor’s name, address, tax identification number and/or
such other identification information as shall be necessary for each Bank 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. 

Section 11.22 No Fiduciary Duties. The Parent, the Borrower and each Guarantor agrees that nothing in the Loan Documents or
otherwise will be deemed to create an advisory, fiduciary or agency relationship or fiduciary or other implied duty between the Administrative Agent, any Issuing Bank, any Bank or any Affiliate thereof, on the one hand, and the Parent, the Borrower
or such Guarantor, as applicable, its stockholders or its Affiliates, on the other. The Loan Parties agree that the transactions contemplated by the Loan Documents (including the exercise of rights and remedies hereunder and thereunder) are
arm’s-length commercial transactions. The Parent, the Borrower and each Guarantor agrees that it has consulted its own legal and financial advisors to the extent it deemed appropriate and that it is responsible for making its own independent
judgment with respect to such transactions and the process leading thereto. The Parent, the Borrower and each Guarantor acknowledges that the Administrative Agent, the Issuing Banks, the Banks and their respective Affiliates may have interests in,
or may be providing or may in the future provide financial or other services to other parties with interests which the Parent, the Borrower or such Guarantor may regard as conflicting with its interests and may

  
 -84-

 
possess information (whether or not material to the Parent, the Borrower or such Guarantor) other than as a result of (x) the Administrative Agent acting as administrative agent hereunder or
(y) the Banks acting as lenders hereunder, that the Administrative Agent, any Issuing Bank or any Bank may not be entitled to share with the Parent, the Borrower or any Guarantor. Without prejudice to the foregoing, each of the Parent, the
Borrower and each Guarantor agrees that the Administrative Agent, the Issuing Banks, the Banks and their respective Affiliates may (a) deal (whether for its own or its customers’ account) in, or advise on, securities of any Person, and
(b) accept deposits from, lend money to, act as trustee under indentures of, accept investment banking engagements from and generally engage in any kind of business with other Persons in each case, as if the Administrative Agent were not the
Administrative Agent and as if the Issuing Banks and Banks were not lenders hereunder, and without any duty to account therefor to the Parent, the Borrower or any Guarantor. The Parent, the Borrower and each Guarantor hereby irrevocably waives, in
favor of the Administrative Agent, the Issuing Banks and the Banks, any conflict of interest which may arise by virtue of the Administrative Agent, the Issuing Banks and the Banks acting in various capacities under the Loan Documents or for other
customers of the Administrative Agent, any Issuing Bank or any Bank as described in this Section 11.22. 
 [Balance of
page intentionally left blank] 

  
 -85-

 EXECUTED as of the date first referenced above. 

 

							
	 BORROWER:
  

LASALLE HOTEL OPERATING
 PARTNERSHIP,
L.P.,
 a Delaware limited partnership

			
	By:	 		 	 LaSalle Hotel Properties
 General Partner

				
		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

  

			
	 PARENT:
  

LASALLE HOTEL PROPERTIES,
 a
Maryland real estate investment trust

		
	By: 	 	/s/ Bruce A. Riggins
		 	 Name: Bruce A. Riggins

Title: Chief Financial Officer

  
 S-1

 
			
	
	 GUARANTORS:
  

LASALLE HOTEL LESSEE, INC.,
 an Illinois
corporation

		
	By: 	 	/s/ Bruce A. Riggins
		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	  
 GLASS HOUSES,

a Maryland real estate investment trust

		
	By: 	 	/s/ Bruce A. Riggins
		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer

  

							
	 DA ENTITY, LLC,
 a Delaware limited liability company

			
	By:	 		 	 LaSalle Hotel Properties
 Member
  

		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

  

									
	and	 	
			
	By:	 		 	 RDA Entity, Inc.
 Member
  

		 		 	By:	 	/s/ Bruce A. Riggins
		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

  
 S-2

 
			
	 RDA ENTITY, INC
 LHO GRAFTON LESSEE, INC.
 LHO LE PARC LESSEE, INC.

LHO SANTA CRUZ ONE LESSEE, INC.
 LUCKY
TOWN BURBANK LESSEE, INC.
 RAMROD LESSEE, INC.
 LHO MISSION BAY ROSIE LESSEE, INC.
 PARADISE LESSEE, INC.

GEARY DARLING LESSEE, INC.
 CHAMBER
MAID LESSEE, INC.
 SEASIDE HOTEL LESSEE, INC.
 LET IT FLHO LESSEE, INC.

LASALLE WASHINGTON ONE LESSEE, INC.
 LHO LEESBURG ONE LESSEE, INC.,
 each, a Delaware corporation

		
	By: 	 	/s/ Bruce A. Riggins
		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer

  

							
	 LHO WASHINGTON HOTEL ONE, L.L.C.
 LHO WASHINGTON HOTEL TWO, L.L.C.
 LHO WASHINGTON HOTEL THREE, L.L.C.

LHO WASHINGTON HOTEL FOUR, L.L.C.
 LHO
WASHINGTON HOTEL SIX, L.L.C.
 I&G CAPITOL, LLC
 LHO TOM JOAD CIRCLE DC, L.L.C.
 H STREET SHUFFLE, LLC,

each, a Delaware limited liability company

			
	By:	 		 	 Glass Houses

Managing Member
  

		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

  
 S-3

 
							
	 DC ONE LESSEE, L.L.C.
 DC TWO LESSEE, L.L.C.
 DC THREE LESSEE, L.L.C.

DC FOUR LESSEE, L.L.C.
 DC SIX LESSEE,
L.L.C.
 DC I&G CAPITAL LESSEE, L.L.C.
 LHO TOM JOAD CIRCLE LESSEE DC, L.L.C.
 H STREET SHUFFLE LESSEE, LLC,

each, a Delaware limited liability company

			
	By:	 		 	 LaSalle Washington One Lessee, Inc.
 Managing Member
  

		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

  

											
	 LHO ALEXANDRIA ONE, L.L.C.
 NYC SERANADE, L.L.C.
 LHO VIKING HOTEL, L.L.C.

LHO CHICAGO RIVER, L.L.C.
 LHO ALEXIS
HOTEL, L.L.C.
 LHO ONYX HOTEL ONE, L.L.C.,
 each, a Delaware limited liability company

			
	By:	 		 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member
  

		 		 	By:	 		 	 LaSalle Hotel Properties
 General Partner
  

		 		 		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer

  

															
	 SEASIDE HOTEL, LP,
 a Delaware limited partnership

			
	By:	 		 	 Seaside Hotel, LLC

General Partner
  

		 		 	By:	 		 	 LaSalle Hotel Operating Partnership, L.P.

		 		 		 		 	 Managing Member

 

		 		 		 		 	By: 	 	 LaSalle Hotel Properties
 General Partner
  

		 		 		 		 		 		 	By:	 	 /s/ Bruce A. Riggins

		 		 		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 		 		 	Title: Chief Financial Officer

  
 S-4

 
									
	 GEARY DARLING, LP,
 a Delaware limited partnership

		
	By:	 	Geary Darling, LLC
		 	General Partner
			
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

				
		 		 	By:	 	 LaSalle Hotel Properties
 General Partner

		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

  

									
	 CHAMBER MAID, LP,
 a Delaware limited partnership

		
	By:	 	Chamber Maid, LLC General Partner
		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 LET IT FLHO, LP,
 a Delaware limited partnership

		
	By:	 	 Let It FLHO, LLC

General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

  
 S-5

 
									
	 LHO GRAFTON HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO Grafton Hotel, L.L.C.
 General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 LHO LE PARC HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO Le Parc, L.L.C.

General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 LHO SANTA CRUZ HOTEL ONE, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO Santa Cruz Hotel One,
 L.L.C General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

  
 S-6

 
									
	 LUCKY TOWN BURBANK, L.P.,
 a Delaware limited partnership

		
	By:	 	 Lucky Town Burbank, L.L.C.
 General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 LHO MISSION BAY ROSIE HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO Mission Bay Rosie Hotel, L.L.C.
 General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 LHO MISSION BAY HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO San Diego Financing, L.L.C
 General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

  
 S-7

 
									
	 LHO SAN DIEGO FINANCING, L.L.C.,
 a Delaware limited liability company

		
	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Member

		 		 	
		 	By:	 	 LaSalle Hotel Properties
 General Partner

		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
											
	 LHO HOLLYWOOD LM, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO Hollywood Financing, Inc.
 General Partner

		 		 		 	
		 		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 		 	
		 		 		 		 		 	

 
											
	 LHO NEW ORLEANS LM, L.P.,
 a Delaware limited partnership

		
	By:	 	 LHO New Orleans Financing, Inc.
 General Partner

		 		 		 	
		 		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer

  
 S-8

 
									
	 WILD INNOCENT I, LP,
 a Delaware limited partnership

		
	By:	 	 Innocent I, LLC

General Partner

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	 LaSalle Hotel Properties
 General Partner

		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 CHIMES OF FREEDOM, LLC,
 a Delaware limited liability company

		
	By:	 	 OF Freedom I, LLC

Managing Member

		 		 	
		 	By:	 	 LaSalle Hotel Operating Partnership, L.P.
 Managing Member

		 		 		 		 	
		 		 	By:	 	 LaSalle Hotel Properties
 General Partner

		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

 
									
	 WILD I, LLC

CHIMES I, LLC
 OF FREEDOM I,
LLC,
 each, a Delaware limited liability company

		
	By:	 	 LaSalle Hotel Operating Partnership,
 L.P. Managing Member

		 		 	
		 	By:	 	 LaSalle Hotel Properties
 General Partner

		 		 		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
		 		 		 		 	
		 		 		 		 	

  
 S-9

 
									
	 LHO ALEXANDRIA ONE LESSEE, L.L.C.
 LHO ONYX ONE LESSEE, L.L.C.
 NYC SERANADE LESSEE, L.L.C.

LHO CHICAGO RIVER LESSEE, L.L.C.
 LHO
ALEXIS LESSEE, L.L.C.
 CHIMES OF FREEDOM LESSEE, LLC
 WILD INNOCENT I LESSEE, LLC,
 each, a Delaware limited liability
company

		
	By:	 	 LaSalle Hotel Lessee, Inc.
 Managing Member

		 		 	
		 		 		 	By: 	 	/s/ Bruce A. Riggins
		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	 Title: Executive Vice-President and
             Chief Financial Officer

  
 S-10

 
			
	 ADMINISTRATIVE AGENT, ISSUING BANK AND BANK:

 
 CITIBANK, N.A., as Administrative Agent, Issuing Bank, and a
Bank

		
	By:  	 	/s/ John C. Rowland
		 	Name: John C. Rowland
		 	Title: Vice President

  
 S-11

 
			
	 BANKS:
  

THE ROYAL BANK OF SCOTLAND PLC, 
 as a
Bank

		
	By:  	 	/s/ Brett E. Thompson
		 	Name: Brett E. Thompson
		 	Title: Senior Vice President

  
 S-12

 
			
	 BANK OF MONTREAL,
 as an Issuing Bank and a Bank

		
	By:  	 	/s/ Lloyd Baron
		 	Name: Lloyd Baron
		 	Title: Vice President

  
 S-13

 
			
	 REGIONS BANK, 
 as a Bank

		
	By:  	 	/s/ Michael R. Mellott
		 	Name: Michael R. Mellott
		 	Title: Director

  
 S-14

 
			
	 U.S. BANK NATIONAL ASSOCIATION, 
 a national association, as a Bank

		
	By:  	 	/s/ William Rick Anthony
		 	Name: William Rick Anthony
		 	Title: SVP

  
 S-15

 
			
	 BANK OF AMERICA, N.A., 
 as a Bank

		
	By:  	 	/s/ Roger C. Davis
		 	Name: Roger C. Davis
		 	Title: Senior Vice President

  
 S-16

 
			
	 COMPASS BANK, 
 as a Bank

		
	By:  	 	/s/ Don Byerly
		 	Name: Don Byerly
		 	Title: Senior Vice President

  
 S-17

 
			
	 DEUTSCHE BANK TRUST COMPANY
 AMERICAS, as a Bank

		
	By: 	 	/s/ James Rolison
		 	Name: James Rolison
		 	Title: Managing Director
		
	By: 	 	/s/ Joanna Soliman
		 	Name: Joanna Soliman
		 	Title: Vice President

  
 S-18

 
			
	 RAYMOND JAMES BANK, FSB, 
 as a Bank

		
	By:  	 	/s/ Alexander L. Rody
		 	Name: Alexander L. Rody
		 	Title: Senior Vice President

  
 S-19

 
			
	 ROYAL BANK OF CANADA, 
 as a Bank

		
	By:  	 	/s/ G. David Cole
		 	Name: G. David Cole
		 	Title: Authorized Signatory

  
 S-20

 
			
	 PNC BANK, NATIONAL ASSOCIATION, 
 as a Bank

		
	By:  	 	/s/ J.E. Spedden, Jr.
		 	 Name: J.E. Spedden, Jr.

Title: S.V.P.

  
 S-21

 
			
	 BARCLAYS BANK PLC, 
 as a Bank

		
	By:  	 	/s/ Diana Rolfe
		 	 Name: Diana Rolfe
 Title:
Director

  
 S-22

 
			
	 BRANCH BANKING AND TRUST COMPANY,
 as a Bank

		
	By:  	 	/s/ James E. Davis
		 	 Name: James E. Davis
 Title:
Senior Vice President

  
 S-23

 
			
	 GOLDMAN SACHS BANK USA, 
 as a Bank

		
	By:  	 	/s/ Mark Walton
		 	 Name: Mark Walton
 Title:
Authorized Signatory

  
 S-24

 
			
	 MORGAN STANLEY BANK, N.A., 
 as a Bank

		
	By:  	 	/s/ Michael King
		 	 Name: Michael King
 Title:
Authorized Signatory

  
 S-25

 
			
	 FIRST COMMERCIAL BANK,
 as a Bank

		
	By:  	 	/s/ Jason Lee
		 	 Name: Jason Lee
 Title: VP
& General Manager

  
 S-26

 
			
	 CHANG HWA COMMERCIAL BANK, LTD., 
 as a Bank

		
	By:  	 	/s/ Eric Y.S. Tsai
		 	 Name: Eric Y.S. Tsai
 Title:
Vice President and General Manager

  
 S-27

 EXHIBIT A 

FORM OF NOTE 

 

			
	 $            
	  	            , 20    

 For value received, the undersigned LaSalle Hotel Operating Partnership, L.P., a Delaware limited
partnership (the “Borrower”), hereby promises to pay to the order of
                                        (the
“Bank”) the principal amount of                     and         /100 Dollars
($        ) or, if less, the aggregate outstanding principal amount of each Advance (as defined in the Credit Agreement referred to below) made by the Bank to the Borrower, together with interest on the unpaid
principal amount of each such Advance from the date of such Advance until such principal amount is paid in full, at such interest rates, and at such times, as are specified in the Credit Agreement. 

This Note is one of the Notes referred to in, and is entitled to the benefits of, and is subject to the terms of, the Senior Unsecured
Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from time to time (the “Credit Agreement”) among the Borrower, LaSalle Hotel Properties, a Maryland real estate investment trust (the
“Parent”), the Guarantors party thereto, the Banks party thereto, Citibank, N.A., as the Administrative Agent and the other parties from time to time party thereto. Capitalized terms used in this Note and not otherwise defined in
this Note have the meanings assigned to such terms in the Credit Agreement. The Credit Agreement, among other things, (a) provides for the making of Advances by the Bank to the Borrower, from time to time, in an aggregate amount not to exceed
at any time outstanding the Dollar amount first above mentioned, the indebtedness of the Borrower resulting from each such Advance being evidenced by this Note and (b) contains provisions for acceleration of the maturity of this Note upon the
happening of certain events stated in the Credit Agreement and for prepayments of principal prior to the maturity of this Note upon the terms and conditions specified in the Credit Agreement. 

Both principal and interest are payable in lawful money of the United States of America to the Administrative Agent at Citibank, N.A.
Agency Department, 1615 Brett Road OPS III, New Castle, Delaware 19720, Attention: Global Loans Agency Department (or at such other location or address as may be specified by the Administrative Agent to the Borrower) in same day funds. The Bank
shall record all Advances and payments of principal made under this Note, but no failure of the Bank to make such recordings shall affect the Borrower’s repayment obligations under this Note. 

Except as specifically provided in the Credit Agreement, the Borrower hereby waives presentment, demand, protest, notice of intent to
accelerate, notice of acceleration, and any other notice of any kind. No failure to exercise, and no delay in exercising, any rights hereunder on the part of the holder of this Note shall operate as a waiver of such rights. 

This Note shall be governed by, and construed and enforced in accordance with, the laws of the state of New York. 

[Balance of page intentionally left blank] 

 
					
	BORROWER:
	
	LASALLE HOTEL OPERATING
	PARTNERSHIP, L.P.,
	a Delaware limited partnership
		
	By:	 	LaSalle Hotel Properties
		 	General Partner
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 EXHIBIT B 

ASSIGNMENT AND ACCEPTANCE 

Dated             , 20     

Reference is made to the Senior Unsecured Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from
time to time (the “Credit Agreement”) among LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the
“Parent”), the Guarantors party thereto, the Banks party thereto, Citibank, N.A., as the Administrative Agent and the other parties from time to time party thereto. Capitalized terms not otherwise defined in this Assignment and
Acceptance shall have the meanings assigned to them in the Credit Agreement. 
 Pursuant to the terms of the
Credit Agreement,                     (“Assignor”) wishes to assign and delegate     %1 of its rights and obligations under the Credit Agreement and
                    (“Assignee”) desires to assume and accept such rights and obligations. Therefore, Assignor, Assignee, and the
Administrative Agent agree as follows: 
 1. As of the Effective Date (as defined below), Assignor hereby sells and assigns and
delegates to Assignee, and Assignee hereby purchases and assumes from Assignor, without recourse to Assignor and without representation or warranty except for the representations and warranties specifically set forth in clauses (i),
(ii), and (iii) of Section 2 hereof, a     % interest in and to all of Assignor’s rights and obligations under the Credit Agreement in connection with its Commitment, including, without
limitation, such percentage interest in Assignor’s Commitment and the Advances owing to Assignor, the participation interest in the Letter of Credit Obligations held by Assignor, and the Note held by Assignor. 

2. Assignor (i) represents and warrants that, prior to executing this Assignment and Acceptance, its Commitment is
$            , the aggregate outstanding principal amount of Advances owed to it by the Borrower is $            , and its Pro
Rata Share of the Letter of Credit Exposure is $            ; (ii) represents and warrants that it is the legal and beneficial owner of the interest being assigned by it hereunder and
that such interest is free and clear of any adverse claim; (iii) makes no representation or warranty and assumes no responsibility with respect to any statements, warranties, or representations made in or in connection with the Credit Agreement
or any other Credit Document or the execution, legality, validity, enforceability, genuineness, sufficiency, or value of the Credit Agreement or any other Credit Document or any other instrument or document furnished pursuant thereto;
(iv) makes no representation or warranty and assumes no responsibility with respect to the financial condition of the Borrower or any Guarantor or the performance or observance by the Borrower or any Guarantor of any of its obligations under
the Credit Agreement or any other Credit Document or any other instrument or document furnished pursuant thereto; and (v) attaches the Note referred to in Section 1 above and requests that the Administrative Agent exchange such Note
for a new Note dated             , 20    in the principal amount of $            , payable to the order of
Assignee, [and a new Note dated             , 20    in the principal amount of $            , payable to the
order of Assignor]. 
  

	1 	 Specify percentage in no more than 5 decimal points. 

 3. Assignee (i) confirms that it has received a copy of the Credit
Agreement, together with copies of the financial statements referred to in Section 4.06 thereof and such other documents and information as it has deemed appropriate to make its own credit analysis and decision to enter into this Assignment and
Acceptance; (ii) agrees that it will, independently and without reliance upon the Administrative Agent, Assignor, or any other Bank and based on such documents and information as it shall deem appropriate at the time, continue to make its own
credit decisions in taking or not taking action under the Credit Agreement or any other Credit Document; (iii) appoints and authorizes the Administrative Agent to take such action as administrative agent on its behalf and to exercise such
powers under the Credit Agreement and any other Credit Document as are delegated to the Administrative Agent by the terms thereof, together with such powers as are reasonably incidental thereto; (iv) agrees that it will perform in accordance
with their terms all of the obligations which by the terms of the Credit Agreement or any other Credit Document are required to be performed by it as a Bank; (v) specifies as its Domestic Lending Office (and address for notices) and LIBOR
Lending Office the offices set forth beneath its name on the signature pages hereof; (vi) attaches the forms prescribed by the Internal Revenue Service of the United States certifying as to Assignee’s status for purposes of determining
exemption from United States withholding taxes with respect to all payments to be made to Assignee under the Credit Agreement and its Note or such other documents as are necessary to indicate that all such payments are subject to such rates at a
rate reduced by an applicable tax treaty2, and
(vii) represents that it is an Eligible Assignee. 
 4. The effective date for this Assignment and
Acceptance shall be                     (the “Effective Date”)3 and following the execution of this Assignment and Acceptance, the Administrative Agent will record it in the Register.

 5. Upon such recording, and as of the Effective Date, (i) Assignee shall be a party to the Credit Agreement for all
purposes, and, to the extent provided in this Assignment and Acceptance, have the rights and obligations of a Bank thereunder and (ii) Assignor shall, to the extent provided in this Assignment and Acceptance, relinquish its rights (other than
rights against the Borrower pursuant to Sections 2.09, 2.11(c) and 11.07 of the Credit Agreement, which shall survive this assignment) and be released from its obligations under the Credit Agreement. 

6. Upon such recording, from and after the Effective Date, the Administrative Agent shall make all payments under the Credit Agreement
and the Notes in respect of the interest assigned hereby (including, without limitation, all payments of principal, interest, and commitment fees) to Assignee. Assignor and Assignee shall make all appropriate adjustments in payments under the Credit
Agreement and the Notes for periods prior to the Effective Date directly between themselves. 
 7. This Assignment and
Acceptance shall be governed by, and construed and enforced in accordance with, the laws of the State of New York. 
 8. This
Assignment and Acceptance may be executed in multiple counterparts, each of which shall be an original, but all of which shall together constitute one Assignment and Acceptance. 

[Balance of page intentionally left blank] 

 

	2 	 If the Assignee is organized under the laws of a jurisdiction outside the United States. 

	3 	 See Section 11.06. Such date shall be at least three Business Days after the execution of this Assignment and Acceptance.

  
 -2-

 The parties hereto have caused this Assignment and Acceptance to be duly executed as of the
date first above written. 
  

					
	[ASSIGNOR]

 
					
		
	 By:
	 	  

		 	Name:	 	  

					
		 	Title:	 	  

					
	
	 CITIBANK, N.A., as Administrative Agent

		
	 By:
	 	  

		 	Name:	 	  

					
		 	Title:	 	  

					
	
	[ASSIGNEE]

 
					
		
	 By:
	 	  

		 	Name:	 	  

					
		 	Title:	 	  

	
	 Domestic Lending Office:

		
	 Address:
	 	  

		 	  

	 Attention:
	 	
	 Telecopy:
	 	
	 Telephone:
	 	  

	
	 LIBOR Lending Office:

		
	 Address:
	 	  

		 	  

	 Attention:
	 	
	 Telecopy:
	 	
	 Telephone:
	 	  

 [Signature Page to Assignment and Acceptance] 

 EXHIBIT C 

FORM OF COMPLIANCE CERTIFICATE 

This Compliance Certificate is executed this      day of
            , 20    , for the period ended              and is prepared pursuant to that certain Senior
Unsecured Credit Agreement dated as of December 14, 2011, as the same may be amended or modified from time to time (the “Agreement”), among LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the
“Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Banks party thereto, Citibank, N.A., as the Administrative Agent and the other parties
from time to time party thereto. Capitalized terms used herein but not otherwise defined herein shall have the meanings specified by the Agreement. 
 1. Representations, Covenants, Defaults: Borrower hereby certifies to the Administrative Agent and the Banks, effective as of the date of execution of this Compliance Certificate, as follows:

 1.1. Covenants. All covenants of Borrower set forth in Articles V and VI of the Agreement required
to be performed as of the date hereof have been performed and maintained in all material respects, and such Covenants continue to be performed and maintained as of the execution date of this certificate, except as follows: 

                      
                                       [specify]

 1.2. Representations and Warranties. All representations and warranties of Borrower set forth in
Article IV of the Agreement are true and correct in all material respects as of the execution date of this certificate, except as follows: 
                                  
                            [specify] 

 

	 	1.3.	Event of Default. There exists no Event of Default except as follows: 

                                  
                            [specify] 

2. Operating Covenants. Borrower hereby certifies to the Administrative Agent and the Banks, effective as of the calendar quarter
ending             ,         , that the amounts and calculations made hereunder pursuant to Article VII of the Agreement are true and correct.

  

	 	2.1.	Fixed Charge Coverage Ratio (Section 7.01 of the Agreement). 

 Minimum Requirement – 1.50x 
  

							
	(a)	  	Corporate EBITDA:	  	$	 	  
		  		  	  
	  
	 
	(b)	  	Aggregate FF&E Reserves:	  	$	 	  
		  		  	  
	  
	 
	(c)	  	(a) minus (b) above:	  	$	 	  
		  		  	  
	  
	 
	(d)	  	Fixed Charges:	  	$	                    	  
		  		  	  
	  
	 
	(e)	  	Ratio of (c) to (d) above:	  			
		  		  	  
	  
	 

  

	 	2.2.	Maintenance of Net Worth (Section 7.02 of the Agreement). 

  

							
	(a)	  	Parent’s Net Worth (accordance with GAAP):	  	$	 	  
		  		  	  
	  
	 
	(b)	  	minority interest of Parent (in accordance with GAAP)	  	$	 	  
		  		  	  
	  
	 
	(c)	  	Sum of (a) and (b) above:	  	$	                    	  
		  		  	  
	  
	 

 The Minimum Tangible Net Worth for the Parent, as of the Rolling Period ending on
            ,         , is as set forth in (c) below, based upon the sum of (a) and (b): 

 

							
	(a)	  	$1,333,261,000	  	$	1,333,261,000	  
	(b)	  	 75% of net proceeds from any offering of Stock or Stock Equivalents after September 30, 2011:
	  	$	 	  
		  		  	  
	  
	 
	(c)	  	The sum of (a) and (b) above:	  	$	 	  
		  		  	  
	  
	 

  

	 	2.5.	Limitations on Total Liabilities of Parent (Section 7.03 of the Agreement). 

Maximum Requirement – 6.0 to 1.0 
  

							
	(a)	  	the Parent’s Total Liabilities:	  	$	                    	  
		  		  	  
	  
	 
			
	(b)	  	 Adjusted Corporate EBITDA, which is equal to (i) plus or minus (ii), as appropriate:
	  			
			
		  	 (i)     Corporate EBITDA:
	  	$	 	  
		  		  	  
	  
	 
		  	 (ii)    Adjustments for Hotel Properties acquired or disposed of:
	  	$	 	  
		  		  	  
	  
	 
		  	 (iii)  Adjusted Corporate EBITDA:
	  	$	 	  
		  		  	  
	  
	 
			
	(c)	  	Leverage Ratio: total of (a) divided by (b)(iii) above:	  	$	 	  
		  		  	  
	  
	 

  

	 	2.6.	Limitations on Unsecured Indebtedness of Parent 

 (Section 7.04 of the Agreement). 
 Maximum Requirement – 60%

  

							
	(a)	  	Parent’s Unsecured Indebtedness:	  	$	 	  
		  		  	  
	  
	 
	(b)	  	Liquid Investments:	  	$	 	  
		  		  	  
	  
	 
	(c)	  	Sum of Asset Values of all Unencumbered Properties:	  	$	 	  
		  		  	  
	  
	 
	(d)	  	Sum of Lines (b) and (c) (Total Unencumbered Asset Value):	  	$	                    	  
		  		  	  
	  
	 
	(e)	  	Ratio of (a) to (d):	  			
		  		  	  
	  
	 

  

	 	2.6.	Limitations on Secured Indebtedness of Parent 

 (Section 7.05 of the Agreement). 
 Maximum Requirement – 45%

  

							
	(a)	  	Parent’s Secured Indebtedness:	  	$	 	  
		  		  	  
	  
	 
	(b)	  	Consolidated Total Book Value:	  	$	                    	  
		  		  	  
	  
	 
	(c)	  	Ratio of (a) to (b):	  			
		  		  	  
	  
	 

  
 -2-

 3. Other Covenants. Borrower hereby certifies to the Administrative Agent and the
Banks, effective as of the Rolling Period ending             , 20    , that the following amounts and calculations made pursuant to the Agreement are true and correct:

  

	 	3.1.	Status; Applicable Margin (Article 1 of the Agreement) 

 Pursuant to Article I of the Agreement, the Status applicable to the loan facility is             , based upon a Leverage Ratio of
             (as calculated above). Based on the foregoing, the Applicable Margin for each subsequent Advance is as follows: 

 

					
	 Base Rate Advances:
	  	 	                    	% 
		  	  
	  
	 
	 LIBOR Rate Advances:
	  	 	    	% 
		  	  
	  
	 
	 Unused Commitment Fee:
	  	 	    	% 
		  	  
	  
	 

  

	 	3.2.	Unencumbered Properties (Article I of the Agreement) 

 A list of all Unencumbered Properties and the Asset Values therefor, is set forth on Schedule 1 to Compliance Certificate attached hereto. 

[Balance of page intentionally left blank] 

  
 -3-

 EXECUTED as of the date first referenced above. 

 

			
	BORROWER:
	
	LASALLE HOTEL OPERATING PARTNERSHIP, L.P.
		
	By:	 	LaSalle Hotel Properties, its general partner

 
					
			
		 	By:	 	  

					
		 	Name:	 	  

					
		 	Title:	 	  

  
 -4-

 SCHEDULE 1 TO COMPLIANCE
CERTIFICATE 
 LIST OF UNENCUMBERED PROPERTIES
AND THEIR ASSET VALUES 
  

			
	 Unencumbered Property
	  	Asset Value

  
 -5-

 EXHIBIT D 

FORM OF ENVIRONMENTAL INDEMNIFICATION AGREEMENT

 This Environmental Indemnification Agreement (this “Agreement”) is made and entered
into effective for all purposes as of the 14th day of
December, 2011, by the parties signatory hereto or to an Accession Agreement (as hereinafter defined) (collectively, “Indemnitor”, whether one or more), to and for the benefit of Citibank, N.A., as the Administrative Agent (the
“Administrative Agent”), for the benefit of the banks and other lenders named in the Credit Agreement herein described (collectively, the “Banks”). 

INTRODUCTION 
 WHEREAS, LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the
“Parent”), the Guarantors party thereto, the Administrative Agent, the Banks party thereto and the other parties from time to time party thereto have entered into that certain Senior Unsecured Credit Agreement dated as of
December 14, 2011 (such Senior Unsecured Credit Agreement, as the same may be amended or modified from time to time, being referred to herein as the “Credit Agreement”); 

WHEREAS, the Borrower and Subsidiaries of the Borrower now or hereafter will own certain Hotel Properties which include
without limitation the Existing Properties, the Future Properties, the Permitted Non-Unencumbered Properties and the properties owned by the Permitted Other Subsidiaries (said properties together with all property owned by any participating lessees
in connection with such Hotel Properties, all rights and appurtenances to such Hotel Properties and all improvements presently located or hereafter constructed on such Hotel Properties are hereinafter collectively called the
“Properties”, and each a “Property”); 
 WHEREAS, the Borrower is the principal
financing entity for capital requirements of its Subsidiaries, and from time to time the Borrower has made and will continue to make capital contributions and advances to its Subsidiaries, including the Subsidiaries which are parties hereto. Other
than the Parent, each Indemnitor is a direct or indirect subsidiary of the Borrower. Each Indemnitor will derive substantial direct and indirect benefit from the transactions contemplated by the Credit Agreement; and 

WHEREAS, as a condition to extending credit to the Borrower under the Credit Agreement, the Banks have required, among
other things, that the Indemnitor execute and deliver this Agreement. 
 AGREEMENT 

NOW, THEREFORE, Indemnitor, as an inducement to the Banks to make the Advances, hereby covenants and agrees
to and for the benefit of the Banks as follows: 
 1. Defined Terms. All terms used in this Agreement, but
not defined herein, shall have the meaning given such terms in the Credit Agreement. 
 2. Hazardous
Material. As used in this Agreement, the term “Hazardous Materials” shall mean any flammable explosives, radioactive materials, hazardous wastes, 

 
hazardous materials, hazardous or toxic substances, or related materials as defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (42 U.S.C.
9601 et. seq.), the Hazardous Materials Transportation Act, as amended (49 U.S.C. 1801 et seq.), the Resource Conservation and Recovery Act, as amended (42 U.S.C. 6901 et seq.), and in the regulations adopted and
publications promulgated pursuant thereto, and all friable asbestos, petroleum derivatives, polychlorinated biphenyls, and materials defined as hazardous materials under any federal, state or local laws, ordinances, codes, rules, orders, regulations
or policies governing the use, storage, treatment, transportation, manufacture, refinement, handling, production or disposal thereof (collectively, “Environmental Laws”). 

3. Representation. Except as disclosed in writing to the Administrative Agent, to the knowledge of Borrower, none
of the present or previously owned or operated Property of the Borrower or of any of its present or former Subsidiaries, wherever located, (i) has been placed on or proposed to be placed on the National Priorities List, the Comprehensive
Environmental Response Compensation Liability Information System list, or their state or local analogs, or have been otherwise investigated, designated, listed, or identified as a potential site for removal, remediation, cleanup, closure,
restoration, reclamation, or other response activity under any Environmental Laws which could reasonably be expected to cause a Material Adverse Change; (ii) is subject to a Lien, arising under or in connection with any Environmental Laws, that
attaches to any revenues or to any Property owned or operated by the Borrower or any of its Subsidiaries, wherever located; (iii) has been the site of any Release, use or storage of Hazardous Substances or Hazardous Wastes from present or past
operations except for Permitted Hazardous Substances, which Permitted Hazardous Substances have not caused at the site or at any third-party site any condition that has resulted in or could reasonably be expected to result in the need for Response
or (iv) none of the Improvements are constructed on land designated by any Governmental Authority having land use jurisdiction as wetlands. 
 4. Covenant. Indemnitor covenants and agrees not to cause or permit the presence, use, generation, release, discharge, storage, disposal or transportation of any Hazardous Materials on, under, in,
about, to or from any of the Properties except for Permitted Hazardous Substances. 
 5. Indemnification.
Indemnitor shall exonerate, indemnify, pay and protect, defend (with counsel approved pursuant to the Credit Agreement) and save the Administrative Agent, the Banks, and their respective directors, trustees, beneficiaries, officers, shareholders,
employees and agents of the Banks (collectively, the “Indemnified Parties”), harmless from and against any claims (including, without limitation, third party claims for personal injury or real or personal property damage), actions,
administrative proceedings (including informal proceedings), judgments, damages, punitive damages, penalties, fines, costs, taxes, assessments, liabilities (including, without limitation, sums paid in settlements of claims), interest or losses,
including reasonable attorneys’ fees and expenses (including, without limitation, any such reasonable fees and expenses incurred in enforcing this Agreement or collecting any sums due hereunder), consultant fees, and expert fees, together with
all other reasonable costs and expenses of any kind or nature (collectively, “Costs”) that arise directly or indirectly in connection with the presence, suspected presence, release or suspected release of any Hazardous Materials in
or into the air, soil, ground water, surface water or improvements at, on, about, under or within any of the Properties, or any portion thereof, or elsewhere in connection with the transportation of Hazardous Materials to or from any of the
Properties (any such release being referred to herein as a “Release”); provided, however, that Indemnitor shall not be so liable for any Costs arising because of the gross negligence or willful misconduct of an Indemnified
Party or Costs arising because of a Release from or on a Property after the Administrative Agent or the Administrative 

 
Agent’s nominee acquires title to such Property. INDEMNITOR’S OBLIGATION TO SO INDEMNIFY THE INDEMNIFIED PARTIES SHALL INCLUDE INDEMNIFICATION FOR ANY OF SUCH MATTERS CAUSED IN WHOLE
OR IN PART BY THE NEGLIGENCE OF ANY OF THE INDEMNIFIED PARTIES. The indemnification provided in this Section 5 shall specifically apply to and include claims or actions brought by or on behalf of tenants or employees of Indemnitor;
Indemnitor hereby expressly waives (with respect to any claims of the Indemnified Parties arising under this Agreement) any immunity to which Indemnitor may otherwise be entitled under any industrial or worker’s compensation laws. In the event
any of the Indemnified Parties shall suffer or incur any such Costs, Indemnitor shall pay to the Administrative Agent for the benefit of the Indemnified Party the total of all such Costs suffered or incurred by such Indemnified Party within ten
(10) days after demand therefor, such payment to be disbursed by the Administrative Agent in accordance with the Credit Agreement. Without limiting the generality of the foregoing, the indemnification provided by this Section 5
shall specifically cover Costs, including, without limitation, capital, operating and maintenance costs, incurred in connection with any investigation or monitoring of site conditions, any clean-up, containment, remedial, removal or restoration work
required or performed by any federal, state or local governmental agency or political subdivision (“Governmental Agency”) or performed by any non-governmental entity or person as required or requested, by any Governmental Agency
because of the presence, suspected presence, release or suspected release of any Hazardous Materials in or into the air, soil, groundwater, surface water or improvements at, on, under or within any of the Properties (or any portion thereof), or
elsewhere in connection with the transportation of Hazardous Materials to or from any of the Properties, and any claims of third parties for loss or damage due to such Hazardous Materials. 

6. Remedial Work. In the event any investigation or monitoring of site conditions or any clean-up, containment,
restoration, removal or other remedial work (“Remedial Work”) is required (a) under any Environmental Law, (b) by any judicial, arbitral or administrative order, (c) in order to comply with any agreements affecting
any of the Properties, or (d) to maintain any of the Properties in a standard of environmental condition which prevents the release or generation of any Hazardous Materials except for Permitted Hazardous Substances, Indemnitor shall perform or
cause to be performed such Remedial Work; provided, however, that Indemnitor may withhold commencement of such Remedial Work pending resolution of any good faith contest regarding the application, interpretation or validity of any law,
regulation, order or agreement, subject to the requirements of Section 7 below. All Remedial Work shall be conducted (i) in a diligent and timely fashion by a licensed environmental engineer, (ii) pursuant to a detailed written
plan for the Remedial Work approved by any Governmental Agency with a legal or contractual right to such approval, (iii) with such insurance coverage pertaining to liabilities arising out of the Remedial Work as is then customarily maintained
with respect to such activities and (iv) only following receipt of all required permits, licenses or approvals. In addition, Indemnitor shall submit to the Banks promptly upon receipt or preparation, copies of any and all reports, studies,
analyses, correspondence, governmental comments or approvals, proposed removal or other Remedial Work contracts and similar information prepared or received by Indemnitor in connection with any Remedial Work or Hazardous Materials relating to any of
the Properties. All costs and expenses of such Remedial Work shall be paid by Indemnitor, including, without limitation, the charges of the Remedial Work contractors and the consulting environmental engineer, any taxes or penalties assessed in
connection with the Remedial Work and the Banks’ reasonable fees and costs incurred in connection with monitoring or review of such Remedial Work. In the event Indemnitor should fail to commence or cause to be commenced such Remedial Work, in a
timely fashion, or fail diligently to prosecute to completion, such Remedial Work, the Administrative Agent following consent of the Required Lenders (following thirty (30) days written notice to Indemnitor) may, but shall not be required

 
to, cause such Remedial Work to be performed, and all costs and expenses thereof, or incurred in connection therewith shall be Costs within the meaning of Section 5 above. All such
Costs shall be due and payable to the Administrative Agent by Indemnitor upon thirty (30) days after demand therefor, such payments to be disbursed by the Administrative Agent in accordance with the Credit Agreement. 

7. Permitted Contests. Notwithstanding any provision of this Agreement to the contrary, Indemnitor may contest by
appropriate action any Remedial Work requirement imposed by any Governmental Agency or similar agency provided that (a) Indemnitor has given the Banks written notice that Indemnitor is contesting or shall contest and Indemnitor does in fact
contest the application, interpretation or validity of the law, regulation, order or agreement pertaining to the Remedial Work by appropriate legal or administrative proceedings conducted in good faith and with due diligence and dispatch,
(b) such contest shall not subject any of the Indemnified Parties nor any assignee of all or any portion of the Banks’ interest in the Advances nor any of the Properties to civil or criminal liability and does not jeopardize any such
party’s lien upon or interest in any of the Properties and (c) if the estimated cost of the Remedial Work is greater than $1,000,000, Indemnitor shall give such security or assurances as may be reasonably required by the Banks as
determined pursuant to the Credit Agreement to ensure ultimate compliance with all legal or contractual requirements pertaining to the Remedial Work (and payment of all costs, expenses, interest and penalties in connection therewith) and to prevent
any sale, forfeiture or loss by reason of nonpayment or non-compliance. 
 8. Reports and Claims.
Indemnitor shall deliver to the Banks copies of any reports, analyses, correspondence, notices, licenses, approvals, orders or other written materials relating to the environmental condition of any of the Properties promptly upon receipt, completion
or delivery thereof. Indemnitor shall give notice to the Banks of any claim, action, administrative proceeding (including, without limitation, informal proceedings) or other demand by any governmental agency or other third party involving Costs or
Remedial Action at the time such claim or other demand first becomes known to Indemnitor. Receipt of any such notice shall not be deemed to create any obligation on the Banks to defend or otherwise respond to any claim or demand. All notices,
approvals, consents, requests and demands upon the respective parties hereto shall be in writing, including telegraphic communication and delivered or teletransmitted to the Administrative Agent, as set forth in the Credit Agreement and to each
Indemnitor, at the address set forth beneath such Indemnitor’s signature or in the Accession Agreement executed by such Indemnitor, or to such other address as shall be designated by any Indemnitor or the Administrative Agent in written notice
to the other parties. All such notices and other communications shall be effective when delivered or teletransmitted to the above addresses. 
 9. Banks as Owner. If for any reason, the Administrative Agent or any of the Banks (or any successor or assign of such parties) becomes the fee owner of any of the Properties and any claim, action,
notice, administrative proceeding (including, without limitation, informal proceedings) or other demand is made by any governmental agency or other third party which implicate Costs or Remedial Work, Indemnitor shall cooperate with such party in any
defense or other appropriate response to any such claim or other demand; provided, however, that Indemnitor shall not be so liable for any Costs arising because of the gross negligence or willful misconduct of an Indemnified Party.
Indemnitor’s duty to cooperate and right to participate in the defense or response to any such claim or demand shall not be deemed to limit or otherwise modify Indemnitor’s obligations under this Agreement. Any party subject to a claim or
other proceeding referenced in the first sentence of this Section 9 shall give notice to Indemnitor of any claim or demand governed by this Section 9 at the time such claim or other demand first becomes known to such party.

 10. Subrogation of Indemnity Rights. If Indemnitor fails to fully
perform its obligations under Sections 5 and 6 above, the Indemnified Parties shall be subrogated to any rights or claims Indemnitor may have against any present, future or former owners, tenants or other occupants or users of any
of the Properties, any portion thereof or any adjacent or proximate properties, relating to the recovery of Costs or the performance of Remedial Work. 
 11. Assignment by Administrative Agent and Banks. No consent by Indemnitor shall be required for any assignment or reassignment of the rights of the Administrative Agent or the Banks under this
Agreement to any successor of such party or a purchaser of the Advances or any interest in or portion of the Advances including participation interests in accordance with the terms of the Credit Agreement. 

12. Merger, Consolidation or Sale of Assets. In the event Indemnitor is dissolved, liquidated or terminated or all
or substantially all the assets of Indemnitor are sold or otherwise transferred to one or more persons or other entities, the surviving entity or transferee of assets, as the case may be, (i) shall be formed and existing under the laws of a
state, (ii) shall deliver to the Banks an acknowledged instrument in recordable form assuming all obligations, covenants and responsibilities of Indemnitor under this Agreement. 

13. Independent Obligations; Survival. The obligations of Indemnitor under this Agreement shall survive the
consummation of the credit transaction described above and the repayment of the Advances. The obligations of Indemnitor under this Agreement are separate and distinct from the obligations of Indemnitor under the Credit Documents. This Agreement may
be enforced by the Administrative Agent and/or the Banks without regard to or affecting any rights and remedies the Administrative Agent and/or the Banks may have against Indemnitor under the Credit Documents and without regard to any limitations on
the Administrative Agent’s or the Banks’ recourse for recovery of the Advances as may be provided in the Credit Documents. Enforcement of this Agreement is not and shall not be deemed to constitute an action for recovery of the
indebtedness of the Advances. 
 14. Default Interest. In addition to all other rights and remedies of the
Administrative Agent and/or the Banks against Indemnitor as provided herein, or under applicable law, Indemnitor shall pay to the Administrative Agent, immediately upon demand therefor, Default Interest (as defined below) on any Costs and other
payments required to be paid by Indemnitor to the Banks under this Agreement which are not paid within ten (10) days after demand therefor, such payments to be disbursed by the Administrative Agent in accordance with the Credit Agreement.
Default Interest shall be paid by Indemnitor from the date such payment becomes delinquent through and including the date of payment of such delinquent sums. “Default Interest” shall mean a per annum interest rate equal to three
percent (3%) above the Adjusted Base Rate or reference rate for the then current calendar month, as of the first day of such calendar month, which is publicly announced from time to time by the Administrative Agent. 

15. Contribution. As a result of the transactions contemplated by the Credit Agreement, each of the Indemnitors
will benefit, directly and indirectly, from the Obligations and in consideration thereof desire to enter into a contribution agreement among themselves as set forth in this Section 15 to allocate such benefits among themselves and to
provide a fair and 

 
equitable arrangement to make contributions in the event any payment is made by any Indemnitor hereunder to the Administrative Agent or the Banks (such payment being referred to herein as a
“Contribution,” and for purposes of this Agreement, includes any exercise of recourse by the Administrative Agent against any Property of a Contributor and application of proceeds of the sale of such Property in satisfaction of such
Indemnitor’s obligations under this Agreement). The Indemnitors hereby agree as follows: 
 15.1.
Calculation of Contribution. In order to provide for just and equitable contribution among the Indemnitors in the event any Contribution is made by an Indemnitor (a “Funding Indemnitor”), such Funding Indemnitor shall be
entitled to a contribution from certain other Indemnitors for all payments, damages and expenses incurred by that Funding Indemnitor in discharging any of the obligations under this Agreement (the “Obligations”), in the manner and
to the extent set forth in this Section 15. The amount of any Contribution under this Agreement shall be equal to the payment made by the Funding Indemnitor to the Administrative Agent or any other beneficiary pursuant to this Agreement
and shall be determined as of the date on which such payment is made. 
 15.2. Benefit Amount Defined. For
purposes of this Agreement, the “Benefit Amount” of any Indemnitor as of any date of determination shall be the net value of the benefits to such Indemnitor and all of its Subsidiaries (including any Subsidiaries which may be
Indemnitors) from extensions of credit made by the Banks to the Borrower under the Credit Agreement; provided, however, that in determining the contribution liability of any Indemnitor which is a Subsidiary to its direct or indirect
parent corporation or of any Indemnitor to its direct or indirect Subsidiary, the Benefit Amount of such Subsidiary and its Subsidiaries, if any, shall be subtracted in determining the Benefit Amount of the parent corporation. Such benefits shall
include benefits of funds constituting proceeds of Advances made to the Borrower by the Banks which are in turn advanced or contributed by the Borrower to such Indemnitor or its Subsidiaries and benefits of Letters of Credit issued pursuant to the
Credit Agreement on behalf of, or the proceeds of which are advanced or contributed or otherwise benefit, directly or indirectly, such Indemnitor and its Subsidiaries (collectively, the “Benefits”). In the case of any proceeds of
Advances or Benefits advanced or contributed to a Person (an “Owned Entity”) any of the equity interests of which are owned directly or indirectly by an Indemnitor, the Benefit Amount of an Indemnitor with respect thereto shall be
that portion of the net value of the benefits attributable to Advances or Benefits equal to the direct or indirect percentage ownership of such Indemnitor in its Owned Entity. 

15.3. Contribution Obligation. Each Indemnitor shall be liable to a Funding Indemnitor in an amount equal to the
greater of (A) the (i) ratio of the Benefit Amount of such Indemnitor to the total amount of Obligations, multiplied by (ii) the amount of Obligations paid by such Funding Indemnitor and (B) 95% of the excess of the fair saleable
value of the property of such Indemnitor over the total liabilities of such Indemnitor (including the maximum amount reasonably expected to become due in respect of contingent liabilities) determined as of the date on which the payment made by a
Funding Indemnitor is deemed made for purposes of this Agreement (giving effect to all payments made by other Funding Indemnitors as of such date in a manner to maximize the amount of such contributions). 

 15.4. Allocation. In the event that at any time there exists more
than one Funding Indemnitor with respect to any Contribution (in any such case, the “Applicable Contribution”), then payment from other Indemnitors pursuant to this Agreement shall be allocated among such Funding Indemnitors in
proportion to the total amount of the Contribution made for or on account of the Borrower by each such Funding Indemnitor pursuant to the Applicable Contribution. In the event that at any time any Indemnitor pays an amount under this Agreement in
excess of the amount calculated pursuant to clause (A) of Subsection 15.3 above, that Indemnitor shall be deemed to be a Funding Indemnitor to the extent of such excess and shall be entitled to contribution from the other
Indemnitors in accordance with the provisions of this Section 15.4. 
 15.5. Subsidiary
Payment. The amount of contribution payable under this Section 15 by any Indemnitor shall be reduced by the amount of any contribution paid hereunder by a Subsidiary of such Indemnitor. 

15.6. Equitable Allocation. If as a result of any reorganization, recapitalization, or other corporate change in
the Borrower or any of its Subsidiaries, or as a result of any amendment, waiver or modification of the terms and conditions of other Sections of this Agreement or the Obligations, or for any other reason, the contributions under this
Section 15 become inequitable as among the Indemnitors, the Indemnitors shall promptly modify and amend this Section 15 to provide for an equitable allocation of contributions. Any of the foregoing modifications and
amendments shall be in writing and signed by all Indemnitors. 
 15.7. Asset of Party to Which Contribution is
Owing. The Indemnitors acknowledge that the right to contribution hereunder shall constitute an asset in favor of the Indemnitor to which such contribution is owing. 

15.8. Subordination. No payments payable by an Indemnitor pursuant to the terms of this Section 15
shall be paid until all amounts then due and payable by the Borrower to the Administrative Agent or any Bank, pursuant to the terms of the Credit Documents, are paid in full in cash. Nothing contained in this Section 15 shall affect the
obligations of any Indemnitor to the Administrative Agent or any Bank under the Credit Agreement or any other Credit Documents. 
 16. Miscellaneous. If there shall be more than one Indemnitor hereunder, or pursuant to any other indemnification of Banks relating to Hazardous Materials arising out of or in connection with the
Advances (“Other Indemnitor”), each Indemnitor and Other Indemnitor agrees that (a) the obligations of the Indemnitor hereunder, and each Other Indemnitor, are joint and several, (b) a release of any one or more
Indemnitors or Other Indemnitors or any limitation of this Agreement in favor of or for the benefit of one or more Indemnitors or Other Indemnitors shall not in any way be deemed a release of or limitation in favor of or for the benefit of any other
Indemnitor or Other Indemnitor and (c) a separate action hereunder may be brought and prosecuted against any or all Indemnitors or Other Indemnitors. If any term of this Agreement or any application thereof shall be invalid, illegal or
unenforceable, the remainder of this Agreement and any other application of such term shall not be affected thereby. No delay or omission in exercising any right hereunder shall operate as a waiver of such right or any other right. This Agreement
shall be binding upon, inure to the benefit of and be enforceable by Indemnitor, the Administrative Agent and the Banks, and their respective successors and assigns, including (without limitation) any assignee or purchaser of all or any portion of
any of the Banks’ interest in (i) the Advances, (ii) the Credit Documents, or (iii) any of the Properties. 

 17. GOVERNING
LAW. ANY DISPUTE BETWEEN THE INDEMNITOR OR ANY INDEMNIFIED PARTY
ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE
RELATIONSHIP ESTABLISHED BETWEEN THEM IN CONNECTION WITH, THIS AGREEMENT OR ANY
OF THE OTHER CREDIT DOCUMENTS, AND WHETHER ARISING IN CONTRACT, TORT,
EQUITY, OR OTHERWISE, SHALL BE RESOLVED IN ACCORDANCE WITH THE INTERNAL
LAWS (INCLUDING, WITHOUT LIMITATION, SECTION 5-1401 OF THE GENERAL OBLIGATIONS LAW,
BUT OTHERWISE WITHOUT REGARD TO THE CONFLICTS OF LAWS PROVISIONS) OF
THE STATE OF NEW YORK. 
 18. CONSENT TO JURISDICTION; SERVICE OF PROCESS; JURY TRIAL.
(A) EXCLUSIVE JURISDICTION. EXCEPT AS PROVIDED IN SUBSECTION
(B) OF THIS SECTION 18, EACH OF THE PARTIES HERETO AGREES THAT
ALL DISPUTES AMONG THEM ARISING OUT OF, CONNECTED WITH, RELATED TO,
OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED AMONG THEM IN CONNECTION WITH,
THIS AGREEMENT OR ANY OF THE OTHER CREDIT DOCUMENTS WHETHER ARISING
IN CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL BE RESOLVED EXCLUSIVELY BY
STATE OR FEDERAL COURTS LOCATED IN NEW YORK, NEW YORK, BUT THE
PARTIES HERETO ACKNOWLEDGE THAT ANY APPEALS FROM THOSE COURTS MAY HAVE
TO BE HEARD BY A COURT LOCATED OUTSIDE OF NEW YORK, NEW
YORK. EACH OF THE PARTIES HERETO WAIVES IN ALL DISPUTES BROUGHT
PURSUANT TO THIS SUBSECTION (A) ANY OBJECTION THAT IT MAY HAVE
TO THE LOCATION OF THE COURT CONSIDERING THE DISPUTE. 

(B) OTHER JURISDICTIONS. THE
INDEMNITOR AGREES THAT ANY INDEMNIFIED PARTY SHALL HAVE THE RIGHT TO
PROCEED AGAINST THE INDEMNITOR OR ANY OF THE PROPERTIES IN A COURT
IN ANY LOCATION TO ENABLE SUCH PERSON TO (1) OBTAIN PERSONAL JURISDICTION
OVER THE INDEMNITOR OR (2) ENFORCE A JUDGMENT OR OTHER COURT ORDER
ENTERED IN FAVOR OF SUCH PERSON. THE INDEMNITOR AGREES THAT IT WILL
NOT ASSERT ANY PERMISSIVE COUNTERCLAIMS IN ANY PROCEEDING BROUGHT BY SUCH
PERSON TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN FAVOR OF
SUCH PERSON. THE INDEMNITOR WAIVES ANY OBJECTION THAT IT MAY HAVE TO
THE LOCATION OF THE COURT IN WHICH SUCH PERSON HAS COMMENCED A
PROCEEDING DESCRIBED IN THIS SUBSECTION (B). 
 (C) SERVICE OF PROCESS. THE INDEMNITOR WAIVES PERSONAL
SERVICE OF ANY PROCESS UPON IT AND IRREVOCABLY CONSENTS TO THE
SERVICE OF PROCESS OF ANY WRITS, PROCESS OR SUMMONSES IN ANY SUIT,
ACTION OR PROCEEDING BY THE MAILING THEREOF BY ANY INDEMNIFIED PARTY
BY REGISTERED OR CERTIFIED MAIL, POSTAGE PREPAID, TO THE INDEMNITOR ADDRESSED
AS PROVIDED HEREIN. NOTHING HEREIN SHALL IN ANY WAY BE DEEMED TO
LIMIT THE ABILITY OF ANY INDEMNIFIED PARTY TO SERVE ANY SUCH WRITS,
PROCESS OR SUMMONSES IN ANY OTHER MANNER PERMITTED BY APPLICABLE LAW.
THE INDEMNITOR IRREVOCABLY WAIVES ANY OBJECTION (INCLUDING, WITHOUT LIMITATION, ANY
OBJECTION OF THE LAYING OF VENUE OR BASED ON THE GROUNDS OF
FORUM NON CONVENIENS) WHICH IT MAY NOW OR HEREAFTER HAVE TO THE
BRINGING OF ANY SUCH ACTION OR PROCEEDING WITH RESPECT TO THIS
AGREEMENT OR ANY OTHER CREDIT DOCUMENT OR AGREEMENT EXECUTED OR DELIVERED
IN CONNECTION HEREWITH IN ANY JURISDICTION SET FORTH ABOVE. 

(D) WAIVER OF JURY
TRIAL. EACH OF THE PARTIES HERETO IRREVOCABLY WAIVES ANY RIGHT
TO HAVE A JURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER

 
SOUNDING IN CONTRACT, TORT, OR OTHERWISE, ARISING OUT OF,
CONNECTED WITH, RELATED TO OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED AMONG
THEM IN CONNECTION WITH THIS AGREEMENT OR ANY OTHER CREDIT DOCUMENT
OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH. EACH OF THE
PARTIES HERETO AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION
OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A
JURY AND THAT ANY PARTY HERETO MAY FILE AN ORIGINAL COUNTERPART OR
A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF
THE CONSENT OF THE PARTIES HERETO TO THE WAIVER OF THEIR RIGHT
TO TRIAL BY JURY. 
 (E)
ADVICE OF COUNSEL. EACH OF THE PARTIES REPRESENTS TO EACH
OTHER PARTY HERETO THAT IT HAS DISCUSSED THIS AGREEMENT AND, SPECIFICALLY,
THE PROVISIONS OF THIS SECTION 18, WITH ITS COUNSEL. 

19. Amendments/Accession Agreement. No amendment or waiver of any provision of this Agreement nor consent to any
departure by any Indemnitor therefrom shall be effective unless the same shall be in writing and signed by the Administrative Agent; provided, however, that any amendment or waiver releasing any Indemnitor from any liability hereunder
shall be signed by the Required Lenders; and provided further that any waiver or consent shall be effective only in the specific instance and for the specific purpose for which given. Notwithstanding the foregoing, in the event that any
Subsidiary or Affiliate of the Borrower hereafter is required in accordance with the terms of the Credit Agreement or otherwise agrees to become an Indemnitor under this Agreement, then such Subsidiary or Affiliate may become a party to this
Agreement by executing an Accession Agreement (“Accession Agreement”) in the form attached hereto as Annex 1, and each Indemnitor and the Administrative Agent hereby agrees that upon such Subsidiary’s or
Affiliate’s execution of such Accession Agreement, this Agreement shall be deemed to have been amended to make such Person an Indemnitor hereunder for all purposes and a party hereto and no signature is required on behalf of the other
Indemnitors or the Administrative Agent to make such an amendment to this Agreement effective. 
 [Balance of page intentionally
left blank] 

 IN WITNESS WHEREOF, Indemnitor has caused this
Agreement to be executed as of the day and year first written above. 
  

							
	INDEMNITORS:
	
	 LASALLE HOTEL OPERATING PARTNERSHIP, L.P.,
 a Delaware limited partnership

		
	By:	 	 LaSalle Hotel Properties
 General Partner

			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
							
	
	 LASALLE HOTEL PROPERTIES, 
 a Maryland real estate investment trust

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer

 
					
	 LASALLE HOTEL LESSEE, INC.,
 an Illinois corporation

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	 GLASS HOUSES,

a Maryland real estate investment trust

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	 DA ENTITY, LLC,
 a Delaware limited liability company

		
	By:	 	LaSalle Hotel Properties
		 	Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
			
	and	 		 	
		
	By:	 	RDA Entity, Inc.
		 	Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
					
	RDA ENTITY, INC
	LHO GRAFTON LESSEE, INC.
	LHO LE PARC LESSEE, INC.
	LHO SANTA CRUZ ONE LESSEE, INC.
	LUCKY TOWN BURBANK LESSEE, INC.
	RAMROD LESSEE, INC.
	LHO MISSION BAY ROSIE LESSEE, INC.
	PARADISE LESSEE, INC.
	GEARY DARLING LESSEE, INC.
	CHAMBER MAID LESSEE, INC.
	SEASIDE HOTEL LESSEE, INC.
	LET IT FLHO LESSEE, INC.
	LASALLE WASHINGTON ONE LESSEE, INC.
	 LHO LEESBURG ONE LESSEE, INC.,
 each, a Delaware corporation

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	LHO WASHINGTON HOTEL ONE, L.L.C.
	LHO WASHINGTON HOTEL TWO, L.L.C.
	LHO WASHINGTON HOTEL THREE, L.L.C.
	LHO WASHINGTON HOTEL FOUR, L.L.C.
	LHO WASHINGTON HOTEL SIX, L.L.C.
	I&G CAPITOL, LLC
	LHO TOM JOAD CIRCLE DC, L.L.C.
	 H STREET SHUFFLE, LLC,
 each, a Delaware limited liability company

		
	By:	 	Glass Houses
		 	Managing Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
									
	DC ONE LESSEE, L.L.C.
	DC TWO LESSEE, L.L.C.
	DC THREE LESSEE, L.L.C.
	DC FOUR LESSEE, L.L.C.
	DC SIX LESSEE, L.L.C.
	DC I&G CAPITAL LESSEE, L.L.C.
	LHO TOM JOAD CIRCLE LESSEE DC, L.L.C.
	 H STREET SHUFFLE LESSEE, LLC,
 each, a Delaware limited liability company

		
	By:	 	LaSalle Washington One Lessee, Inc.
		 	Managing Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
	
	LHO ALEXANDRIA ONE, L.L.C.
	NYC SERANADE, L.L.C.
	LHO VIKING HOTEL, L.L.C.
	LHO CHICAGO RIVER, L.L.C.
	LHO ALEXIS HOTEL, L.L.C.
	 LHO ONYX HOTEL ONE, L.L.C.,
 each, a Delaware limited liability company

		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer
	
	 SEASIDE HOTEL, LP,
 a Delaware limited partnership

		
	By:	 	Seaside Hotel, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member

 
											
					
		 		 		 	By:	 	LaSalle Hotel Properties
		 		 		 		 	General Partner
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer

 
									
	GEARY DARLING, LP,
	a Delaware limited partnership
		
	By:	 	Geary Darling, LLC
		 		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership,
		 		 	L.P. Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 CHAMBER MAID, LP,
 a Delaware limited partnership

		
	By:	 	Chamber Maid, LLC General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer
	
	 LET IT FLHO, LP,
 a Delaware limited partnership

		
	By:	 	Let It FLHO, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 
											
	LHO GRAFTON HOTEL, L.P.,
	a Delaware limited partnership
		
	By:	 	LHO Grafton Hotel, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 LHO LE PARC HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Le Parc, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
					
		 		 		 	By:	 	LaSalle Hotel Properties
		 		 		 		 	General Partner
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer
	
	 LHO SANTA CRUZ HOTEL ONE, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Santa Cruz Hotel One, L.L.C
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
					
		 		 		 	By:	 	LaSalle Hotel Properties
		 		 		 		 	General Partner
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer

 
									
	LUCKY TOWN BURBANK, L.P.,
	a Delaware limited partnership
		
	By:	 	Lucky Town Burbank, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 LHO MISSION BAY ROSIE HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Mission Bay Rosie Hotel, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 LHO MISSION BAY HOTEL, L.P.,
 a California limited partnership

		
	By:	 	LHO San Diego Financing, L.L.C
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 
							
	LHO SAN DIEGO FINANCING, L.L.C.,
	a Delaware limited liability company
		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer
	
	 LHO HOLLYWOOD LM, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Hollywood Financing, Inc.
		 	General Partner
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
	
	 LHO NEW ORLEANS LM, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO New Orleans Financing, Inc.
		 	General Partner
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
									
	WILD INNOCENT I, LP,
	a Delaware limited partnership
		
	By:	 	Innocent I, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 CHIMES OF FREEDOM, LLC,
 a Delaware limited liability company

		
	By:	 	OF Freedom I, LLC
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	WILD I, LLC
	CHIMES I, LLC
	 OF FREEDOM I, LLC,
 each, a Delaware limited liability company

		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

 
							
	LHO ALEXANDRIA ONE LESSEE, L.L.C.
	LHO ONYX ONE LESSEE, L.L.C.
	NYC SERANADE LESSEE, L.L.C.
	LHO CHICAGO RIVER LESSEE, L.L.C.
	LHO ALEXIS LESSEE, L.L.C.
	CHIMES OF FREEDOM LESSEE, LLC
	 WILD INNOCENT I LESSEE, LLC,
 each, a Delaware limited liability company

		
	By:	 	 LaSalle Hotel Lessee, Inc.
 Managing Member

			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title:	 	Executive Vice-President and Chief Financial Officer
		
		 	Address for the above Indemnitors:
			
		 		 	 3 Metro Center, Suite 1200
 Bethesda, Maryland 20814
 Attn: Mr. Bruce A. Riggins

 ANNEX 1 

TO ENVIRONMENTAL INDEMNIFICATION AGREEMENT 

ACCESSION AGREEMENT 
                                   
       [Name of Entity], a [limited partnership/corporation] (the “Company”), hereby agrees with (i) Citibank, N.A., as the Administrative Agent (the “Administrative Agent”) under
the Senior Unsecured Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from time to time (the “Credit Agreement”) among LaSalle Hotel Operating Partnership, L.P., a Delaware limited
partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Banks (as defined in the Credit Agreement), the Administrative Agent
and the other parties from time to time party thereto; (ii) the parties to the Environmental Indemnity and Agreement (the “Environmental Indemnity”) dated as of December 14, 2011 executed in connection with the Credit
Agreement, (iii) the parties to the Guaranty and Contribution Agreement (the “Guaranty”) dated as of December 14, 2011 executed in connection with the Credit Agreement, as follows: 

The Company hereby agrees and confirms that, as of the date hereof, it (a) intends to be a party to the Environmental Indemnity and
the Guaranty and undertakes to perform all the obligations expressed therein, respectively, of an Indemnitor and a Guarantor (as defined in the Environmental Indemnity and the Guaranty, respectively), (b) agrees to be bound by all of the
provisions of the Environmental Indemnity and the Guaranty as if it had been an original party to such agreements, (c) confirms that the representations and warranties set forth in the Environmental Indemnity and the Guaranty, respectively,
with respect to the Company, a party thereto, are true and correct in all material respects as of the date of this Accession Agreement and (d) has received and reviewed copies of each of the Environmental Indemnity and the Guaranty. 

For purposes of notices under the Environmental Indemnity and the Guaranty the address for the Company is as follows: 

 

					
		 	Attention:	 	  

					
		 	Telephone:	 	  

					
		 	Telecopy:	 	  

 This Accession Agreement shall be governed by and construed in accordance with the laws of the State of
New York. 
 IN WITNESS WHEREOF this Accession Agreement was executed and delivered
as of the          day of             , 20    . 

 

			
	[NAME OF ENTITY]
		
	By:	 	  

			
	Title:	 	  

 EXHIBIT E 

FORM OF GUARANTY AND CONTRIBUTION AGREEMENT

 This Guaranty and Contribution Agreement (this “Agreement”) is made and entered into
effective for all purposes as of the 14th day of
December, 2011, by the parties signatory hereto or to an Accession Agreement (as hereinafter defined) (collectively, the “Guarantor”, whether one or more) to and for the benefit of Citibank, N.A., as the Administrative Agent
(the “Administrative Agent”),, and the banks and other lenders named in the Credit Agreement herein described (collectively, the “Banks”). 
 INTRODUCTION 
 WHEREAS, LaSalle Hotel
Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Administrative Agent,
the Banks party thereto and the other parties from time to time party thereto have entered into that certain Senior Unsecured Credit Agreement dated as of December 14, 2011 (such Senior Unsecured Credit Agreement, as the same may be
amended or modified from time to time, being referred to herein as the “Credit Agreement”); 

WHEREAS, pursuant to the Credit Agreement the Banks have agreed to extend credit to Borrower as more specifically
described therein; 
 WHEREAS, the Borrower is the principal financing entity for capital requirements of its
Subsidiaries, and from time to time the Borrower has made and will continue to make capital contributions and advances to its Subsidiaries, including the Subsidiaries which are or will become parties hereto. Other than the Parent, each Guarantor is
a direct or indirect subsidiary of the Borrower. Each Guarantor will derive substantial direct and indirect benefit from the transactions contemplated by the Credit Agreement; and 

WHEREAS, as a condition to extending credit to the Borrower under the Credit Agreement, the Banks have required, among
other things, that the Guarantor execute and deliver this Agreement. 
 AGREEMENT 

NOW, THEREFORE, in order to induce the Banks to make the Advances and the Issuing Bank to issue its Letters
of Credit, each Guarantor hereby agrees as follows: 
  

	SECTION 1.	DEFINED TERMS. 

 All terms used in this Agreement, but not defined herein, shall have the meaning given such terms in the Credit Agreement. 
  

	SECTION 2.	GUARANTY. 

 Each
Guarantor hereby unconditionally and irrevocably guarantees the punctual payment when due, whether at stated maturity, by acceleration or otherwise, of all obligations of the Borrower now or hereafter existing under the Credit Agreement, the Notes
and any other Credit Document, whether for 

 
principal, interest, fees, expenses, or otherwise (such obligations being the “Guaranteed Obligations”) and any and all expenses (including reasonable counsel fees and expenses)
incurred by the Administrative Agent or any Bank in enforcing any rights under this Agreement. Each Guarantor agrees that its guaranty obligation under this Agreement is a guarantee of payment, not of collection and that such Guarantor is primarily
liable for the payment of the Guaranteed Obligations. 
  

	SECTION 3.	LIMIT OF LIABILITY. 

 Each Guarantor that is a Subsidiary of the Borrower shall be liable under this Agreement with respect to the Guaranteed Obligations only for amounts aggregating up to the largest amount that would not
render its guaranty obligation hereunder subject to avoidance under Section 548 of the United States Bankruptcy Code or any comparable provisions of any state law. 

 

	SECTION 4.	GUARANTY ABSOLUTE. 

 Each Guarantor guarantees that the Guaranteed Obligations will be paid and performed strictly in accordance with the terms of the Credit Agreement, the other Credit Documents, as applicable, regardless of
any law, regulation, or order now or hereafter in effect in any jurisdiction affecting any of such terms or the rights of the Administrative Agent or any Bank. The liability of each Guarantor under this Agreement shall be absolute and unconditional
irrespective of: 
 (a) any lack of validity or enforceability of the Credit Agreement, any other Credit Document
or any other agreement or instrument relating thereto; 
 (b) any change in the time, manner, or place of payment
of, or in any other term of, any of the Guaranteed Obligations, or any other amendment or waiver of or any consent to departure from the Credit Agreement or any other Credit Document; 

(c) any exchange, release, or nonperfection of any collateral, if applicable, or any release or amendment or waiver of or
consent to departure from any other agreement or guaranty, for any of the Guaranteed Obligations; or 
 (d) any
other circumstances which might otherwise constitute a defense available to, or a discharge of the Borrower or a Guarantor. 
  

	SECTION 5.	CONTINUATION AND REINSTATEMENT, ETC. 

Each Guarantor agrees that, to the extent that (i) the Borrower makes payments to the Administrative Agent or any Bank or
(ii) the Administrative Agent or any Bank receives any proceeds of any property of Borrower or any Guarantor, and in either such case such payments or proceeds or any part thereof are subsequently invalidated, declared to be fraudulent or
preferential, set aside, or otherwise required to be repaid, then to the extent of such repayment the Guaranteed Obligations shall be reinstated and continued in full force and effect as of the date such initial payment or collection of proceeds
occurred. The Guarantor shall defend and indemnify the Administrative Agent and each Bank from and against any claim or loss under this Section 5 (including reasonable attorneys’ fees and expenses) in the defense of any such action
or suit. 

	SECTION 6.	CERTAIN WAIVERS. 

 Section 6.01. Notice. Each Guarantor hereby waives promptness, diligence, notice of acceptance, notice of acceleration, notice of intent to accelerate and any other notice with respect to any
of the Guaranteed Obligations and this Agreement. 
 Section 6.02. Other Remedies. Each Guarantor hereby waives any
requirement that the Administrative Agent or any Bank protect, secure, perfect, or insure any Lien or any Property subject thereto or exhaust any right or take any action against the Borrower or any other Person or any collateral, if any, including
any action required pursuant to a Legal Requirement. 
 Section 6.03. Waiver of Subrogation. 

(a) Each Guarantor hereby irrevocably waives, until payment in full of all Guaranteed Obligations and termination of all Commitments, any
claim or other rights which it may acquire against the Borrower that arise from such Guarantor’s obligations under this Agreement or any other Credit Document, including, without limitation, any right of subrogation (including, without
limitation, any statutory rights of subrogation under Section 509 of the Bankruptcy Code, 11 U.S.C. §509, or otherwise), reimbursement, exoneration, contribution, indemnification, or any right to participate in any claim or remedy of
the Administrative Agent or any Bank against the Borrower or any collateral which the Administrative Agent or any Bank now has or acquires. If any amount shall be paid to any Guarantor in violation of the preceding sentence and the Guaranteed
Obligations shall not have been paid in full and all of the Commitments terminated, such amount shall be held in trust for the benefit of the Administrative Agent or any Bank and shall promptly be paid to the Administrative Agent for the benefit of
the Administrative Agent or any Bank to be applied to the Guaranteed Obligations, whether matured or unmatured, as the Administrative Agent may elect. Each Guarantor acknowledges that it will receive direct and indirect benefits from the financing
arrangements contemplated by the Credit Agreement and that the waiver set forth in this Section 6.03(a) is knowingly made in contemplation of such benefits. 
 (b) Each Guarantor further agrees that it will not enter into any agreement providing, directly or indirectly, for any contribution, reimbursement, repayment, or indemnity by the Borrower or any other
Person on account of any payment by such Guarantor to the Administrative Agent or any Bank under this Agreement. 
  

	SECTION 7.	REPRESENTATIONS AND WARRANTIES. 

 Each Guarantor hereby represents and warrants as follows: 
 Section 7.01.
Corporate Authority. Such Guarantor is either a corporation, limited liability company, limited partnership or trust duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization. The execution,
delivery and performance by such Guarantor of this Agreement are within such Guarantor’s organizational powers, have been duly authorized by all necessary organizational action and do not contravene (a) such Guarantor’s organizational
authority or (b) any law or material contractual restriction affecting such Guarantor or its Property. 

Section 7.02. Government Approval. No authorization or approval or other action by and no notice to or filing with, any
Governmental Authority is required for the due execution, delivery and performance by such Guarantor of this Agreement. 

 Section 7.03. Binding Obligations. This Agreement is the legal, valid and
binding obligation of such Guarantor enforceable against such Guarantor in accordance with its terms subject to the effect of any applicable bankruptcy, insolvency, reorganization, moratorium, or similar law affecting creditors’ rights (whether
considered in a proceeding at law or in equity). 
  

	SECTION 8.	COVENANTS. 

 Each
Guarantor will comply with all covenant provisions of Article V and Article VI of the Credit Agreement to the extent such provisions are applicable. 

 

	SECTION 9.	CONTRIBUTION. 

 As
a result of the transactions contemplated by the Credit Agreement, each of the Guarantors will benefit, directly and indirectly, from the Guaranteed Obligations and in consideration thereof desire to enter into a contribution agreement among
themselves as set forth in this Section 9 to allocate such benefits among themselves and to provide a fair and equitable arrangement to make contributions in the event any payment is made by any Guarantor hereunder to the Administrative
Agent or any Bank (such payment being referred to herein as a “Contribution,” and for purposes of this Agreement, includes any exercise of recourse by the Administrative Agent against any Property of a Guarantor and application of
proceeds of such Property in satisfaction of such Guarantor’s obligations under this Agreement). The Guarantors hereby agree as follows: 
 Section 9.01. Calculation of Contribution. In order to provide for just and equitable contribution among the Guarantors in the event any Contribution is made by a Guarantor (a “Funding
Guarantor”), such Funding Guarantor shall be entitled to a contribution from certain other Guarantors for all payments, damages and expenses incurred by that Funding Guarantor in discharging any of the Guaranteed Obligations, in the manner
and to the extent set forth in this Section 9. The amount of any Contribution under this Agreement shall be equal to the payment made by the Funding Guarantor to the Administrative Agent or any other beneficiary pursuant to this
Agreement and shall be determined as of the date on which such payment is made. 
 Section 9.02. Benefit Amount
Defined. For purposes of this Agreement, the “Benefit Amount” of any Guarantor as of any date of determination shall be the net value of the benefits to such Guarantor and all of its Subsidiaries (including any Subsidiaries
which may be Guarantors) from extensions of credit made by the Banks to the Borrower under the Credit Agreement; provided, however, that in determining the contribution liability of any Guarantor which is a Subsidiary to its direct or
indirect parent corporation or of any Guarantor to its direct or indirect Subsidiary, the Benefit Amount of such Subsidiary and its Subsidiaries, if any, shall be subtracted in determining the Benefit Amount of the parent corporation. Such benefits
shall include benefits of funds constituting proceeds of Advances made to the Borrower by the Banks which are in turn advanced or contributed by the Borrower to such Guarantor or its Subsidiaries and benefits of Letters of Credit issued pursuant to
the Credit Agreement on behalf of, or the proceeds of which are advanced or contributed or otherwise benefit, directly or indirectly, such Guarantor and its Subsidiaries (collectively, the “Benefits”). In the case of any proceeds of
Advances or Benefits advanced or contributed to a Person (an “Owned Entity”) any of the equity interests of which are owned directly or indirectly by a Guarantor, the Benefit Amount of a Guarantor with respect thereto shall be that
portion of the net value of the benefits attributable to Advances or Benefits equal to the direct or indirect percentage ownership of such Guarantor in its Owned Entity. 
 Section 9.03. Contribution Obligation. Each Guarantor shall be liable to a Funding Guarantor in an amount equal to the greater of (A) the (i) ratio of the Benefit Amount of such
Guarantor to the total 

 
amount of Guaranteed Obligations, multiplied by (ii) the amount of Guaranteed Obligations paid by such Funding Guarantor and (B) 95% of the excess of the fair saleable value of the
property of such Guarantor over the total liabilities of such Guarantor (including the maximum amount reasonably expected to become due in respect of contingent liabilities) determined as of the date on which the payment made by a Funding Guarantor
is deemed made for purposes of this Agreement (giving effect to all payments made by other Funding Guarantors as of such date in a manner to maximize the amount of such contributions). 

Section 9.04. Allocation. In the event that at any time there exists more than one Funding Guarantor with respect to any
Contribution (in any such case, the “Applicable Contribution”), then payment from other Guarantors pursuant to this Agreement shall be allocated among such Funding Guarantors in proportion to the total amount of the Contribution
made for or on account of the Borrower by each such Funding Guarantor pursuant to the Applicable Contribution. In the event that at any time any Guarantor pays an amount under this Agreement in excess of the amount calculated pursuant to clause
(A) of Section 9.03 above, that Guarantor shall be deemed to be a Funding Guarantor to the extent of such excess and shall be entitled to contribution from the other Guarantors in accordance with the provisions of this
Section 9.04. 
 Section 9.05. Subsidiary Payment. The amount of contribution payable under this
Section 9 by any Guarantor shall be reduced by the amount of any contribution paid hereunder by a Subsidiary of such Guarantor. 
 Section 9.06. Equitable Allocation. If as a result of any reorganization, recapitalization, or other corporate change in the Borrower or any of its Subsidiaries, or as a result of any
amendment, waiver or modification of the terms and conditions of other Sections of this Agreement or the Guaranteed Obligations, or for any other reason, the contributions under this Section 9 become inequitable as among the Guarantors,
the Guarantors shall promptly modify and amend this Section 9 to provide for an equitable allocation of contributions. Any of the foregoing modifications and amendments shall be in writing and signed by all Guarantors. 

Section 9.07. Asset of Party to Which Contribution is Owing. The Guarantors acknowledge that the right to contribution
hereunder shall constitute an asset in favor of the Guarantor to which such contribution is owing. 
 Section 9.08.
Subordination. No payments payable by a Guarantor pursuant to the terms of this Section 9 shall be paid until all amounts then due and payable by the Borrower to any Bank, pursuant to the terms of the Credit Documents, are paid in
full in cash. Nothing contained in this Section 9 shall affect the obligations of any Guarantor to any Bank under the Credit Agreement or any other Credit Documents. 

 

	SECTION 10.	MISCELLANEOUS. 

Section 10.01. Addresses for Notices. All notices and other communications provided for hereunder shall be in writing,
including telegraphic communication and delivered or teletransmitted to the Administrative Agent, as set forth in the Credit Agreement and to each Guarantor, at the address set forth under such Guarantor’s signature hereto or in the Accession
Agreement executed by such Guarantor, or to such other address as shall be designated by any Guarantor or the Administrative Agent in written notice to the other parties. All such notices and other communications shall be effective when delivered or
teletransmitted to the above addresses. 

 Section 10.02. Amendments, Etc. No amendment or waiver of any provision of this
Agreement nor consent to any departure by any Guarantor therefrom shall be effective unless the same shall be in writing and signed by each Guarantor and the Administrative Agent; provided, however, that any amendment or waiver
releasing any Guarantor from any liability hereunder shall be signed by all the Banks (provided that the Administrative Agent can, if no Default then exists, release any Subsidiary of the Borrower which no longer is a Property Owner of an
Unencumbered Property); and provided further that any waiver or consent shall be effective only in the specific instance and for the specific purpose for which given. Notwithstanding the foregoing, in the event that any Subsidiary or
Affiliate of the Borrower hereafter is required in accordance with the terms of the Credit Agreement or otherwise agrees to become a guarantor of the Borrower’s obligations under the Credit Documents, then such Subsidiary or Affiliate may
become a party to this Agreement by executing an Accession Agreement (“Accession Agreement”) in the form attached hereto as Annex 1 and each Guarantor and the Administrative Agent hereby agrees that upon such
Subsidiary’s or Affiliate’s execution of such Accession Agreement, this Agreement shall be deemed to have been amended to make such Person a Guarantor hereunder for all purposes and a party hereto and no signature is required on behalf of
the other Guarantors or the Administrative Agent to make such an amendment to this Agreement effective. 

Section 10.03. No Waiver; Remedies. No failure on the part of the Administrative Agent or any Bank to exercise, and no delay
in exercising, any right hereunder shall operate as a waiver thereof; nor shall any single or partial exercise of any right hereunder preclude any other or further exercise thereof or the exercise of any other right. The remedies herein provided are
cumulative and not exclusive of any remedies provided by law. 
 Section 10.04. Right of Set-Off. Upon the
occurrence and during the continuance of any Event of Default, the Administrative Agent and the Banks are hereby authorized at any time, to the fullest extent permitted by law, to set off and apply any deposits (general or special, time or demand,
provisional or final) and other indebtedness owing by the Administrative Agent or any Bank to the account of any Guarantor against any and all of the obligations of such Guarantor under this Agreement, irrespective of whether or not the
Administrative Agent or any Bank shall have made any demand under this Agreement and although such obligations may be contingent and unmatured. The Administrative Agent and the Banks agree promptly to notify each Guarantor affected by any such
set-off after any such set-off and application made by the Administrative Agent or any Bank; provided, however, that the failure to give such notice shall not affect the validity of such set-off and application. The rights of the
Administrative Agent and any Bank under this Section 10.04 are in addition to other rights and remedies (including, without limitation, other rights of set-off) which the Administrative Agent or any Bank may otherwise have. 

Section 10.05. Continuing Guaranty; Transfer of Interest. This Agreement shall create a continuing guaranty and shall
(a) remain in full force and effect until payment in full and termination of the Guaranteed Obligations, (b) be binding upon each Guarantor, its successors and assigns, and (c) inure, together with the rights and remedies of the
Administrative Agent hereunder, to the benefit of the Administrative Agent and the Banks and their respective successors, transferees and assigns. Without limiting the generality of the foregoing clause, when any Bank assigns or otherwise transfers
any interest held by it under the Credit Agreement or other Credit Document to any other Person pursuant to the terms of the Credit Agreement or other Credit Document, that other Person shall thereupon become vested with all the benefits held by
such Bank under this Agreement. Upon the payment in full and termination of the Guaranteed Obligations, the guaranties granted hereby shall terminate and all rights hereunder shall revert to each Guarantor to the extent such rights have not been
applied pursuant to the terms hereof. Upon any such termination, the Administrative Agent will, at each Guarantor’s expense, execute and deliver to such Guarantor such documents as such Guarantor shall reasonably request and take any other
actions reasonably requested to evidence or effect such termination. 

 Section 10.06. GOVERNING LAW.
ANY DISPUTE BETWEEN THE GUARANTOR, THE ADMINISTRATIVE AGENT, ANY BANK, OR
ANY INDEMNITEE ARISING OUT OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL
TO THE RELATIONSHIP ESTABLISHED BETWEEN THEM IN CONNECTION WITH THIS AGREEMENT
OR ANY OF THE OTHER CREDIT DOCUMENTS, AND WHETHER ARISING IN
CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL BE RESOLVED IN ACCORDANCE WITH
THE INTERNAL LAWS (INCLUDING, WITHOUT LIMITATION, SECTION 5-1401 OF THE GENERAL
OBLIGATIONS LAW, BUT OTHERWISE WITHOUT REGARD TO THE CONFLICTS OF LAWS
PROVISIONS) OF THE STATE OF NEW YORK. 
  

	SECTION 10.07.	CONSENT TO JURISDICTION; SERVICE OF PROCESS; JURY
TRIAL. 

 (A) EXCLUSIVE JURISDICTION.
EXCEPT AS PROVIDED IN SUBSECTION (B) OF THIS SECTION 10.07, EACH
OF THE PARTIES HERETO AGREES THAT ALL DISPUTES AMONG THEM ARISING OUT
OF, CONNECTED WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED
AMONG THEM IN CONNECTION WITH, THIS AGREEMENT OR ANY OF THE OTHER
CREDIT DOCUMENTS WHETHER ARISING IN CONTRACT, TORT, EQUITY, OR OTHERWISE, SHALL
BE RESOLVED EXCLUSIVELY BY STATE OR FEDERAL COURTS LOCATED IN NEW
YORK, NEW YORK, BUT THE PARTIES HERETO ACKNOWLEDGE THAT ANY APPEALS
FROM THOSE COURTS MAY HAVE TO BE HEARD BY A COURT LOCATED
OUTSIDE OF NEW YORK, NEW YORK. EACH OF THE PARTIES HERETO WAIVES
IN ALL DISPUTES BROUGHT PURSUANT TO THIS SUBSECTION (A) ANY OBJECTION
THAT IT MAY HAVE TO THE LOCATION OF THE COURT CONSIDERING THE
DISPUTE. 
 (B) OTHER JURISDICTIONS. THE
GUARANTOR AGREES THAT THE ADMINISTRATIVE AGENT, ANY BANK OR ANY INDEMNITEE
SHALL HAVE THE RIGHT TO PROCEED AGAINST THE GUARANTOR OR ITS PROPERTY
IN A COURT IN ANY LOCATION TO ENABLE SUCH PERSON TO (1) OBTAIN
PERSONAL JURISDICTION OVER THE GUARANTOR OR (2) ENFORCE A JUDGMENT OR OTHER
COURT ORDER ENTERED IN FAVOR OF SUCH PERSON. THE GUARANTOR AGREES
THAT IT WILL NOT ASSERT ANY PERMISSIVE COUNTERCLAIMS IN ANY PROCEEDING
BROUGHT BY SUCH PERSON TO ENFORCE A JUDGMENT OR OTHER COURT ORDER
IN FAVOR OF SUCH PERSON. THE GUARANTOR WAIVES ANY OBJECTION THAT IT
MAY HAVE TO THE LOCATION OF THE COURT IN WHICH SUCH PERSON
HAS COMMENCED A PROCEEDING DESCRIBED IN THIS SUBSECTION (B). 

(C) SERVICE OF PROCESS. THE GUARANTOR
WAIVES PERSONAL SERVICE OF ANY PROCESS UPON IT AND IRREVOCABLY CONSENTS
TO THE SERVICE OF PROCESS OF ANY WRITS, PROCESS OR SUMMONSES IN
ANY SUIT, ACTION OR PROCEEDING BY THE MAILING THEREOF BY ANY AGENT
OR THE BANKS BY REGISTERED OR CERTIFIED MAIL, POSTAGE PREPAID, TO THE
GUARANTOR ADDRESSED AS PROVIDED HEREIN. NOTHING HEREIN SHALL IN ANY WAY
BE DEEMED TO LIMIT THE ABILITY OF ANY AGENT OR THE BANKS
TO SERVE ANY SUCH WRITS, PROCESS OR SUMMONSES IN ANY OTHER MANNER
PERMITTED BY APPLICABLE LAW. THE GUARANTOR IRREVOCABLY WAIVES ANY OBJECTION
(INCLUDING, WITHOUT LIMITATION, ANY OBJECTION OF THE LAYING OF VENUE OR
BASED ON THE GROUNDS OF FORUM NON CONVENIENS) WHICH IT MAY
NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY SUCH ACTION OR
PROCEEDING WITH RESPECT TO THIS AGREEMENT, ANY OTHER CREDIT DOCUMENT OR
ANY AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH IN ANY JURISDICTION
SET FORTH ABOVE. 
 (D) WAIVER OF
JURY TRIAL. EACH OF THE PARTIES HERETO IRREVOCABLY WAIVES ANY
RIGHT TO HAVE A JURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER
SOUNDING IN CONTRACT, TORT, OR OTHERWISE, ARISING OUT OF, CONNECTED WITH,
RELATED TO OR 

 
INCIDENTAL TO THE RELATIONSHIP ESTABLISHED AMONG THEM IN
CONNECTION WITH THIS AGREEMENT, ANY OTHER CREDIT DOCUMENT OR ANY OTHER
AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH. EACH OF THE PARTIES
HERETO AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION OR
CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY
AND THAT ANY PARTY HERETO MAY FILE AN ORIGINAL COUNTERPART OR A
COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE
CONSENT OF THE PARTIES HERETO TO THE WAIVER OF THEIR RIGHT TO
TRIAL BY JURY. 
 (E) ADVICE OF
COUNSEL. EACH OF THE PARTIES REPRESENTS TO EACH OTHER PARTY
HERETO THAT IT HAS DISCUSSED THIS AGREEMENT AND, SPECIFICALLY, THE PROVISIONS
OF THIS SECTION 10.07, WITH ITS COUNSEL. 
 [Balance of page intentionally left blank] 

 Each Guarantor has caused this Agreement to be duly executed as of the date first above written. 

 

			
	GUARANTORS:
	
	 LASALLE HOTEL PROPERTIES,
 a Maryland real estate investment trust

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer

 
					
	LASALLE HOTEL LESSEE, INC.,
	an Illinois corporation
		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	 GLASS HOUSES,

a Maryland real estate investment trust

		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	 DA ENTITY, LLC,
 a Delaware limited liability company

		
	By:	 	LaSalle Hotel Properties
		 	Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
	
	and
		
	By:	 	RDA Entity, Inc.
		 	Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
					
	RDA ENTITY, INC
	LHO GRAFTON LESSEE, INC.
	LHO LE PARC LESSEE, INC.
	LHO SANTA CRUZ ONE LESSEE, INC.
	LUCKY TOWN BURBANK LESSEE, INC.
	RAMROD LESSEE, INC.
	LHO MISSION BAY ROSIE LESSEE, INC.
	PARADISE LESSEE, INC.
	GEARY DARLING LESSEE, INC.
	CHAMBER MAID LESSEE, INC.
	SEASIDE HOTEL LESSEE, INC.
	LET IT FLHO LESSEE, INC.
	LASALLE WASHINGTON ONE LESSEE, INC.
	LHO LEESBURG ONE LESSEE, INC.,
	each, a Delaware corporation
		
	By:	 	  

		 	Name: Bruce A. Riggins
		 	Title: Chief Financial Officer
	
	LHO WASHINGTON HOTEL ONE, L.L.C.
	LHO WASHINGTON HOTEL TWO, L.L.C.
	LHO WASHINGTON HOTEL THREE, L.L.C.
	LHO WASHINGTON HOTEL FOUR, L.L.C.
	LHO WASHINGTON HOTEL SIX, L.L.C.
	I&G CAPITOL, LLC
	LHO TOM JOAD CIRCLE DC, L.L.C.
	 H STREET SHUFFLE, LLC,
 each, a Delaware limited liability company

		
	By:	 	Glass Houses
		 	Managing Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
											
	DC ONE LESSEE, L.L.C.
	DC TWO LESSEE, L.L.C.
	DC THREE LESSEE, L.L.C.
	DC FOUR LESSEE, L.L.C.
	DC SIX LESSEE, L.L.C.
	DC I&G CAPITAL LESSEE, L.L.C.
	LHO TOM JOAD CIRCLE LESSEE DC, L.L.C.
	H STREET SHUFFLE LESSEE, LLC,
	each, a Delaware limited liability company
		
	By:	 	LaSalle Washington One Lessee, Inc.
		 	Managing Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
	
	LHO ALEXANDRIA ONE, L.L.C.
	NYC SERANADE, L.L.C.
	LHO VIKING HOTEL, L.L.C.
	LHO CHICAGO RIVER, L.L.C.
	LHO ALEXIS HOTEL, L.L.C.
	 LHO ONYX HOTEL ONE, L.L.C.,
 each, a Delaware limited liability company

		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer
	
	 SEASIDE HOTEL, LP,
 a Delaware limited partnership

		
	By:	 	Seaside Hotel, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
					
		 		 		 	By:	 	LaSalle Hotel Properties
		 		 		 		 	General Partner
						
		 		 		 		 	By:	 	  

		 		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 		 	Title: Chief Financial Officer

 
									
	GEARY DARLING, LP,
	a Delaware limited partnership
		
	By:	 	Geary Darling, LLC
		 	General Partner
			
		 	      By:	 	LaSalle Hotel Operating Partnership,
		 		 	L.P. Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 

									
	 CHAMBER MAID, LP,
 a Delaware limited partnership

		
	By:	 	Chamber Maid, LLC General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 LET IT FLHO, LP,
 a Delaware limited partnership

		
	By:	 	Let It FLHO, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 
									
	LHO GRAFTON HOTEL, L.P.,
	a Delaware limited partnership
		
	By:	 	LHO Grafton Hotel, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	    Name: Bruce A. Riggins
		 		 		 		 	    Title: Chief Financial Officer

 

									
	 LHO LE PARC HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Le Parc, L.L.C.
		 	 General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	        By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 

									
	 LHO SANTA CRUZ HOTEL ONE, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Santa Cruz Hotel One, L.L.C
		 	 General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	        By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 
									
	LUCKY TOWN BURBANK, L.P.,
	a Delaware limited partnership
		
	By:	 	Lucky Town Burbank, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 LHO MISSION BAY ROSIE HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Mission Bay Rosie Hotel, L.L.C.
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 

									
	 LHO MISSION BAY HOTEL, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO San Diego Financing, L.L.C
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	  By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer

 
							
	LHO SAN DIEGO FINANCING, L.L.C.,
	a Delaware limited liability company
		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer
	
	 LHO HOLLYWOOD LM, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO Hollywood Financing, Inc.
		 	General Partner
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer
	
	 LHO NEW ORLEANS LM, L.P.,
 a Delaware limited partnership

		
	By:	 	LHO New Orleans Financing, Inc.
		 	General Partner
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Chief Financial Officer

 
									
	WILD INNOCENT I, LP,
	a Delaware limited partnership
		
	By:	 	Innocent I, LLC
		 	General Partner
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	 CHIMES OF FREEDOM, LLC,
 a Delaware limited liability company

		
	By:	 	OF Freedom I, LLC
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 		 	Managing Member
				
		 		 	By:	 	LaSalle Hotel Properties
		 		 		 	General Partner
					
		 		 		 	By:	 	  

		 		 		 		 	Name: Bruce A. Riggins
		 		 		 		 	Title: Chief Financial Officer
	
	WILD I, LLC
	CHIMES I, LLC
	 OF FREEDOM I, LLC,
 each, a Delaware limited liability company

		
	By:	 	LaSalle Hotel Operating Partnership, L.P.
		 	Managing Member
			
		 	By:	 	LaSalle Hotel Properties
		 		 	General Partner
				
		 		 	By:	 	  

		 		 		 	Name: Bruce A. Riggins
		 		 		 	Title: Chief Financial Officer

 
					
	LHO ALEXANDRIA ONE LESSEE, L.L.C.
	LHO ONYX ONE LESSEE, L.L.C.
	NYC SERANADE LESSEE, L.L.C.
	LHO CHICAGO RIVER LESSEE, L.L.C.
	LHO ALEXIS LESSEE, L.L.C.
	CHIMES OF FREEDOM LESSEE, LLC
	WILD INNOCENT I LESSEE, LLC,
	each, a Delaware limited liability company
		
	By:	 	LaSalle Hotel Lessee, Inc.
		 	Managing Member
			
		 	By:	 	  

		 		 	Name: Bruce A. Riggins
		 		 	Title: Executive Vice-President and
		 		 	          Chief Financial Officer
		
		 	Address for the above Guarantors:
		
		 	3 Metro Center, Suite 1200
		 	Bethesda, Maryland 20814
		 	Attn: Mr. Bruce A. Riggins

 ANNEX 1 

GUARANTY AND CONTRIBUTION AGREEMENT 

ACCESSION AGREEMENT 
                                   
       [Name of Entity], a [limited partnership/corporation] (the “Company”), hereby agrees with (i) Citibank, N.A., as the Administrative Agent (the “Administrative Agent”) under
the Senior Unsecured Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from time to time (the “Credit Agreement”) among LaSalle Hotel Operating Partnership, L.P., a Delaware limited
partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Banks (as defined in the Credit Agreement), the Administrative Agent
and the other parties from time to time party thereto; (ii) the parties to the Environmental Indemnity and Agreement (the “Environmental Indemnity”) dated as of December 14, 2011 executed in connection with the Credit
Agreement, (iii) the parties to the Guaranty and Contribution Agreement (the “Guaranty”) dated as of December 14, 2011 executed in connection with the Credit Agreement, as follows: 

The Company hereby agrees and confirms that, as of the date hereof, it (a) intends to be a party to the Environmental Indemnity and
the Guaranty and undertakes to perform all the obligations expressed therein, respectively, of an Indemnitor and a Guarantor (as defined in the Environmental Indemnity and the Guaranty, respectively), (b) agrees to be bound by all of the
provisions of the Environmental Indemnity and the Guaranty as if it had been an original party to such agreements, (c) confirms that the representations and warranties set forth in the Environmental Indemnity and the Guaranty, respectively,
with respect to the Company, a party thereto, are true and correct in all material respects as of the date of this Accession Agreement and (d) has received and reviewed copies of each of the Environmental Indemnity and the Guaranty. 

For purposes of notices under the Environmental Indemnity and the Guaranty the address for the Company is as follows: 

Attention:                    
                     

Telephone:                     
                  

Telecopy:                     
                    
 This
Accession Agreement shall be governed by and construed in accordance with the laws of the State of New York. 

IN WITNESS WHEREOF this Accession Agreement was executed and delivered as of the
    day of             , 20    . 
  

			
	[NAME OF ENTITY]
		
	By:	 	  

 

			
	Title:	 	  

 EXHIBIT F 

FORM OF NOTICE OF BORROWING 

            , 20     

Citibank, N.A. 
 as Administrative Agent under
the Credit Agreement herein described 
 c/o Citibank, N.A. Agency Department 
 1615 Brett Road OPS III 
 New Castle, Delaware 19720 

Attention: Global Loans Agency Department 

Ladies and Gentlemen: 
 The
undersigned, LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), refers to the Senior Unsecured Credit Agreement dated as December 14, 2011 as the same may be amended or modified from
time to time (the “Credit Agreement,” the defined terms of which are used in this Notice of Borrowing unless otherwise defined in this Notice of Borrowing) among the Borrower, LaSalle Hotel Properties, a Maryland real estate
investment trust (the “Parent”), the Guarantors party thereto, the Banks party thereto, Citibank, N.A., as the Administrative Agent and the other parties from time to time party thereto, and hereby gives you irrevocable notice
pursuant to Section 2.02(a) of the Credit Agreement that the undersigned hereby requests a Borrowing, and in connection with that request sets forth below the information relating to such Borrowing (the “Proposed Borrowing”) as
required by Section 2.02(a) of the Credit Agreement: 
 (a) Business Day of the Proposed Borrowing is
            , 20    . 
 (b) The
Proposed Borrowing will be a Borrowing composed of [Base Rate Advances] [LIBOR Rate Advances]. 
 (c) The
aggregate amount of the Proposed Borrowing is $            . 
 (d) The Interest Period for each LIBOR Rate Advance made as part of the Proposed Borrowing is [    month[s]]. 
 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) the representations and warranties contained in the Credit Agreement and the other Credit Documents are correct in all
material respects, before and after giving effect to the Proposed Borrowing and the application of the proceeds therefrom, as though made on the date of the Proposed Borrowing; and 

(b) no Default has occurred and remains uncured, or would result from such Proposed Borrowing or from the application of
the proceeds therefrom. 

 Citibank, N.A., as Administrative Agent 
             , 20     
 Page 2 
  

			
	Very truly yours,
	
	LASALLE HOTEL OPERATING PARTNERSHIP, L.P.
		
	By: 	 	 LASALLE HOTEL PROPERTIES, its general
partner

 
			
		
	By:	 	  

 

			
	Name:	 	  

 

			
	Title:	 	  

 EXHIBIT G 

FORM OF NOTICE OF CONVERSION OR
CONTINUATION 
             ,
20     
 Citibank, N.A. 
 as Administrative Agent under the Credit Agreement herein described 
 c/o Citibank, N.A. Agency
Department 
 1615 Brett Road OPS III 

New Castle, Delaware 19720 
 Attention: Global
Loans Agency Department 
 Ladies and Gentlemen: 
 The undersigned, LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), refers to the Senior Unsecured Credit Agreement dated as December 14,
2011 as the same may be amended or modified from time to time (the “Credit Agreement,” the defined terms of which are used in this Notice of Borrowing unless otherwise defined in this Notice of Borrowing) among the Borrower, LaSalle
Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Banks party thereto, Citibank, N.A., as the Administrative Agent and the other parties from time to time party thereto, and
hereby gives you irrevocable notice pursuant to Section 2.02(b) of the Credit Agreement that the undersigned hereby requests a Conversion or continuation of an outstanding Borrowing, and in connection with that request sets forth below the
information relating to such Conversion or continuation (the “Proposed Borrowing”) as required by Section 2.02(b) of the Credit Agreement: 
 (a) The Business Day of the Proposed Borrowing is             , 20    . 

(b) The Proposed Borrowing will be composed of [Base Rate Advances] [LIBOR Rate Advances]. 

(c) The aggregate amount of the Borrowing to be Converted or continued is
$            and consists of [Base Rate Advances] [LIBOR Rate Advances]. 
 (d) The Proposed Borrowing consists of [a Conversion to [Base Rate Advances] [LIBOR Rate Advances]] [a continuation of [Base Rate Advances] [LIBOR Rate Advances]]. 

 Citibank, N.A., 
 as Administrative Agent 
             ,
20     
 Page 2 
  

 (e) The Interest Period for each LIBOR Rate Advance made as part of the
Proposed Borrowing is [    month[s]]. 
  

							
	Very truly yours,
	
	LASALLE HOTEL OPERATING PARTNERSHIP, L.P.
		
	By:	 	LASALLE HOTEL PROPERTIES, its general partner
			
		 	By:	 	  

		 		 	Name:	 	  

		 		 	Title:	 	  

  
 -2-

 EXHIBIT H 
 FORM OF NEW YORK MORTGAGE 
 [See attached pages.] 

 CONSOLIDATED, AMENDED AND RESTATED MORTGAGE 

by and from 
 [            ], “Mortgagor” 
 to 
 CITIBANK, N.A., in its capacity as Agent,
“Mortgagee” 
 Dated as of
[            , 20    ] 
  

					
	 Location:
	  	 	[                    	] 
	 Municipality:
	  	 	[                    	] 
	 County:
	  	 	[                    	] 
	 State:
	  	 	New York	  

 THE MAXIMUM PRINCIPAL INDEBTEDNESS WHICH IS SECURED BY OR WHICH BY ANY CONTINGENCY MAY BE SECURED BY THIS MORTGAGE IS
$            . 
 THIS MORTGAGE DOES NOT ENCUMBER REAL PROPERTY PRINCIPALLY
IMPROVED OR TO BE IMPROVED BY ONE OR MORE STRUCTURES CONTAINING IN THE AGGREGATE NOT MORE THAN SIX RESIDENTIAL DWELLING UNITS, EACH HAVING ITS OWN SEPARATE COOKING FACILITIES. 

PREPARED BY, RECORDING REQUESTED BY, 
 AND WHEN RECORDED MAIL TO: 
 Shearman & Sterling LLP

 599 Lexington Avenue 
 New York, New York 10022-6069 
 Attention: Malcolm K. Montgomery, Esq.

 File #31900/288 

 CONSOLIDATED, AMENDED AND RESTATED MORTGAGE 

THIS CONSOLIDATED, AMENDED AND RESTATED MORTGAGE (this “Mortgage”) is dated as of
[            ], 20    ] by and from [                    ], a
[                    ] [                    ]
(“Mortgagor”), whose address is
[                                        ] to
CITIBANK, N.A., a national association, as administrative Agent (in such capacity, “Agent”) for the Banks (as defined in the Credit Agreement (defined below)), having an address at 388 Greenwich Street,
11th Floor, New York, NY 10013 (Agent, together with its successors and assigns, “Mortgagee”). 
 W I T N E S S E T H: 
 WHEREAS, Mortgagee is the assignee, present owner and holder of the mortgages described on Exhibit B attached hereto (the “Existing Mortgages”) securing certain
indebtedness evidenced by the promissory notes described on Exhibit C attached hereto (the “Existing Notes”). The Existing Mortgages are liens on, among other things, the interest of Mortgagor in the
**[Land][Unit]** (defined below) described in Exhibit A attached hereto. Mortgagee is now the owner and holder of the Existing Notes evidencing the indebtedness secured by the Existing Mortgages; 

WHEREAS, simultaneously herewith Mortgagee and Mortgagor have consolidated, amended and restated all the terms, covenants and
conditions of the Existing Notes, with such amendment and restatement evidenced by the execution and delivery of the Term Note (defined below); and 
 WHEREAS, Mortgagor and Mortgagee have agreed to modify the terms, covenants and provisions of the Existing Mortgages so that such terms and provisions shall be as hereinafter set forth, 

Mortgagor and Mortgagee by these presents do hereby agree as follows: 

MODIFICATION OF EXISTING NOTES 
 The terms, covenants and conditions of the Existing Notes have been amended, modified and restated in their entirety so that (x) such terms, covenants and conditions are now as set forth in the Term
Note executed and delivered by Mortgagor simultaneously herewith in substitution for the Existing Notes but not in payment, satisfaction or cancellation of the outstanding indebtedness evidenced by the Existing Notes, (y) the Term Note
constitutes evidence of but one debt in the aggregate principal amount of $[            ] and (z) the terms, covenants, agreements, rights, obligations and conditions contained in the
Term Note supersede and control the terms, covenants, agreements, rights, obligations and conditions of the Existing Notes (it being agreed, however, that the consolidation of the Existing Notes does not impair the indebtedness evidenced by each of
the Existing Notes). 
 CONSOLIDATION AND MODIFICATION OF EXISTING MORTGAGES 

The Existing Mortgages and this instrument (collectively, the “Consolidated Mortgage”) are consolidated and
coordinated hereby so that the Consolidated Mortgage shall hereafter constitute in law but one consolidated first mortgage, a single first lien securing the payment of the aggregate principal amount of [dollar amount]
($            ) (the “Secured Amount”), together with interest thereon at the rate or rates specified in the Term Note. The terms of the Existing Mortgages as
consolidated are hereby amended and restated in their entity by the terms hereof. 
 ANYTHING CONTAINED HEREIN TO THE CONTRARY
NOTWITHSTANDING, THE MAXIMUM AMOUNT OF PRINCIPAL DEBT OR PRINCIPAL OBLIGATION WHICH IS OR UNDER ANY CONTINGENCY MAY BE SECURED BY THIS MORTGAGE AT THE DATE OF EXECUTION HEREOF OR AT ANY TIME THEREAFTER IS [dollar amount]
($            ). 

  
 3 

 ARTICLE 1 
 DEFINITIONS 
 Section 1.1 Definitions. All capitalized
terms used herein without definition shall have the respective meanings ascribed to them in that certain Senior Unsecured Credit Agreement dated as of December 14, 2011, as the same may be amended, amended and restated, supplemented or
otherwise modified from time to time (the “Credit Agreement”), among LaSalle Hotel Operating Partnership, L.P. (collectively, “Borrower”) LaSalle Hotel Properties, the Banks, Citibank,
N.A., as Administrative Agent and the other parties from time to time party thereto. As used herein, the following terms shall have the following meanings: 
 (a) “Event of Default”: The default by Mortgagor in the observance or performance of any covenant, condition or agreement expressly set forth in this Mortgage and the
continuance of such default unremedied for a period of: (x) in the case of a default that is susceptible to cure by the payment of money, five (5) Business Days after receipt of written notice thereof from Mortgagee, or (y) in the
case of all other such defaults, thirty (30) days after receipt of written notice thereof from Mortgagee. 
 (b)
“Indebtedness”: (1) All indebtedness of Mortgagor to Mortgagee under that certain Term Note from Borrower to Agent, as agent for the Banks, dated as of
[            ], 20[    ] (the “Term Note”), including, without limitation, the sum of all (a) principal, interest and other amounts owing
under or evidenced or secured by the Term Note. The Indebtedness secured hereby includes, without limitation, all interest and expenses accruing after the commencement by or against Mortgagor or any of its affiliates of a proceeding under the
Bankruptcy Code (defined below) or any similar law for the relief of debtors. 
 NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY,
THIS MORTGAGE SHALL SECURE ONLY PRINCIPAL OBLIGATIONS COMPRISED OF TERM BORROWINGS UNDER THE TERM NOTE. THIS MORTGAGE SHALL NOT SECURE REVOLVING CREDIT BORROWINGS OR SWING LINE BORROWINGS OR ANY NOTES EVIDENCING SUCH BORROWINGS OR ANY PAYMENT OF
OBLIGATIONS IN RESPECT OF LETTERS OF CREDIT. FURTHER, NO ADVANCE MADE UNDER THE CREDIT AGREEMENT SUBSEQUENT TO ISSUANCE OF THE TERM NOTE SHALL BE SECURED BY THIS MORTGAGE. 
 (c) “Mortgaged Property”: **[The fee interest in the real property described in Exhibit A attached hereto and incorporated herein by this reference, together
with any greater estate in such real property as hereafter may be acquired by Mortgagor (the “Land”)][That certain condominium unit known as
[                    ], together with the undivided interest in the common elements appurtenant to such unit (hereinafter referred to as the
“Unit”) comprising part of the building (the “Building”) and premises known as [                    ]
(the “Condominium”) and by the street address [                    ], and situate on the land (the
“Land”) more particularly described in Exhibit A annexed hereto, said Unit being described in that certain declaration more particularly described in Exhibit E annexed hereto (which declaration, as it may from
time to time be amended, being hereinafter referred to as the “Declaration”; the Declaration, together with the By-Laws of
[                    ] annexed as Exhibit [    ] to the Declaration, as they may from time to time be amended (the
“By-Laws”), collectively, the “Condominium Documents”) establishing a plan for condominium ownership of said premises under Article 9-B of the Real Property Law of the State of New York (the
“Condominium Act”)]**, and all Mortgagor’s right, title and interest now or hereafter acquired in and all of Mortgagor’s right, title and interest now or hereafter acquired in and to (1) all improvements now
owned or hereafter acquired by Mortgagor, now or at any time situated, placed or constructed upon the **[Land][Unit]** 

  
 4 

 
(the “Improvements”; the **[Land][Unit]** and Improvements are collectively referred to as the “Premises”),
(2) all materials, supplies, equipment, apparatus and other items of personal property now owned or hereafter acquired by Mortgagor and now or hereafter attached to, installed in or used in connection with any of the Improvements or the
**[Land][Unit]**, and water, gas, electrical, telephone, storm and sanitary sewer facilities and all other utilities whether or not situated in easements, and all equipment, inventory and other goods in which Mortgagor now has or hereafter acquires
any rights or any power to transfer rights and that are or are to become fixtures (as defined in the UCC, defined below) related to the **[Land][Unit]** (the “Fixtures”), (3) all leases, licenses,
concessions, occupancy agreements or other agreements (written or oral, now or at any time in effect) which grant to any Person a possessory interest in, or the right to use, all or any part of the Mortgaged Property, together with all related
security and other deposits (the “Leases”), (4) all of the rents, revenues, royalties, income, proceeds, profits, accounts receivable, security and other types of deposits, and other benefits paid or
payable by parties to the Leases for using, leasing, licensing possessing, operating from, residing in, selling or otherwise enjoying the Mortgaged Property (the “Rents”), (5) all rights, privileges,
tenements, hereditaments, rights-of-way, easements, appendages and appurtenances appertaining to the foregoing, and (6) all accessions, replacements and substitutions for any of the foregoing and all proceeds thereof (the
“Proceeds”). As used in this Mortgage, the term “Mortgaged Property” shall mean all or, where the context permits or requires, any portion of the above or any interest therein. 

(d) “Obligations”: All of the agreements, covenants, conditions, warranties, representations and
other obligations of Mortgagor under the Term Note. 
 NOTWITHSTANDING ANYTHING CONTAINED HEREIN TO THE CONTRARY, THIS MORTGAGE SHALL SECURE
ONLY PRINCIPAL OBLIGATIONS COMPRISED OF TERM BORROWINGS UNDER THE TERM NOTE. THIS MORTGAGE SHALL NOT SECURE REVOLVING CREDIT BORROWINGS OR SWING LINE BORROWINGS OR ANY NOTES EVIDENCING SUCH BORROWINGS OR ANY PAYMENT OF OBLIGATIONS IN RESPECT OF
LETTERS OF CREDIT. FURTHER, NO ADVANCE MADE UNDER THE CREDIT AGREEMENT SUBSEQUENT TO ISSUANCE OF THE TERM NOTE SHALL BE SECURED BY THIS MORTGAGE. 
 (e) “Permitted Liens”: Liens described in Sections 6.01(a) through (e) of the Credit Agreement. 
 (f) “UCC”: The Uniform Commercial Code of the State of New York or, if the creation, perfection and enforcement of any security interest herein granted is governed by
the laws of a state other than the State of New York, then, as to the matter in question, the Uniform Commercial Code in effect in that state. 
 ARTICLE 2 
 GRANT 

Section 2.1 Grant. To secure the full and timely payment of the Indebtedness and the full and timely performance of
the Obligations, Mortgagor MORTGAGES, GRANTS, BARGAINS, ASSIGNS, SELLS, CONVEYS and CONFIRMS, to Mortgagee the Mortgaged Property, subject, however, only to the matters that are set forth on Exhibit D attached hereto (the
“Permitted Encumbrances”) and to Permitted Liens, TO HAVE AND TO HOLD the Mortgaged Property to Mortgagee, WITH POWER OF SALE (to the extent permitted by applicable law), and Mortgagor does hereby bind itself, its successors
and assigns to WARRANT AND FOREVER DEFEND the lien of this Mortgage unto Mortgagee. 

  
 5 

 ARTICLE 3 
 WARRANTIES, REPRESENTATIONS AND COVENANTS 
 Mortgagor warrants, represents and covenants to
Mortgagee as follows: 
 Section 3.1 Title to Mortgaged Property and Lien of this Instrument. Mortgagor owns
the Mortgaged Property free and clear of any liens, claims or interests, except the Permitted Encumbrances and the Permitted Liens. This Mortgage creates valid, enforceable first priority liens and security interests against the Mortgaged Property.

 Section 3.2 First Lien Status. Mortgagor shall preserve and protect the first lien and security interest
status of this Mortgage. 
 Section 3.3 Payment and Performance. Mortgagor shall pay the Indebtedness when
due under the Term Note and shall perform the Obligations in full when they are required to be performed. 
 ARTICLE 4

 DEFAULT AND FORECLOSURE 
 Section 4.1 Remedies. Upon the occurrence and during the continuance of an Event of Default, Mortgagee may, at Mortgagee’s election, exercise any or all of the following rights,
remedies and recourses: 
 (a) Acceleration. Subject to the provisions of the Term Note providing for the automatic
acceleration of the Indebtedness upon the occurrence of certain Events of Default, declare the Indebtedness to be immediately due and payable, without further notice, presentment, protest, notice of intent to accelerate, notice of acceleration,
demand or action of any nature whatsoever (each of which hereby is expressly waived by Mortgagor), whereupon the same shall become immediately due and payable. 
 (b) Foreclosure and Sale. Institute proceedings for the complete foreclosure of this Mortgage by judicial action or, to the extent permitted by applicable law, by power of sale, in which case the
Mortgaged Property may be sold for cash or credit in one or more parcels as Mortgagee may determine. With respect to any notices required or permitted under the UCC, Mortgagor agrees that ten (10) days’ prior written notice shall be deemed
commercially reasonable. At any such sale by virtue of any judicial proceedings, power of sale, or any other legal right, remedy or recourse, the title to and right of possession of any such property shall pass to the purchaser thereof, and to the
fullest extent permitted by law, Mortgagor shall be completely and irrevocably divested of all of its right, title, interest, claim, equity, equity of redemption, and demand whatsoever, either at law or in equity, in and to the property sold and
such sale shall be a perpetual bar both at law and in equity against Mortgagor, and against all other Persons claiming or to claim the property sold or any part thereof, by, through or under Mortgagor. Mortgagee or any of the Banks may be a
purchaser at such sale. If Mortgagee or a Bank is the highest bidder, Mortgagee or such Bank may credit the portion of the purchase price that would be distributed to Mortgagee or such Bank against the Indebtedness in lieu of paying cash. In the
event this Mortgage is foreclosed by judicial action, appraisement of the Mortgaged Property is waived. 
 (c) Receiver.
Make application to a court of competent jurisdiction for, and obtain from such court as a matter of strict right and without notice to Mortgagor or regard to the adequacy of the Mortgaged Property for the repayment of the Indebtedness, the
appointment of a receiver of the Mortgaged Property, and Mortgagor irrevocably consents to such appointment. Any such receiver shall 

  
 6 

 
have all the usual powers and duties of receivers in similar cases, including the full power to rent, maintain and otherwise operate the Mortgaged Property upon such terms as may be approved by
the court, and shall apply such Rents in accordance with the provisions of Section 4.6. 
 (d) Other.
Exercise all other rights, remedies and recourses granted under the Term Note or otherwise available at law or in equity. 

Section 4.2 Separate Sales. The Mortgaged Property may be sold in one or more parcels and in such manner and order as
Mortgagee in its sole discretion may elect. The right of sale arising out of any Event of Default shall not be exhausted by any one or more sales. 
 Section 4.3 Remedies Cumulative, Concurrent and Nonexclusive. Mortgagee shall have all rights, remedies and recourses granted in the Term Note and available at law or equity (including
the UCC), which rights (a) shall be cumulative and concurrent, (b) may be pursued separately, successively or concurrently against Mortgagor, or against the Mortgaged Property, or against any one or more of them, at the sole discretion of
Mortgagee, as the case may be, (c) may be exercised as often as occasion therefor shall arise, and the exercise or failure to exercise any of them shall not be construed as a waiver or release thereof or of any other right, remedy or recourse,
and (d) are intended to be, and shall be, nonexclusive. No action by Mortgagee in the enforcement of any rights, remedies or recourses under the Term Note or otherwise at law or equity shall be deemed to cure any Event of Default. 

Section 4.4 Release of and Resort to Collateral. Mortgagee may release, regardless of consideration and without the
necessity for any notice to or consent by the holder of any subordinate lien on the Mortgaged Property, any part of the Mortgaged Property without, as to the remainder, in any way impairing, affecting, subordinating or releasing the lien or security
interest created in or evidenced by the Term Note or their status as a first and prior lien and security interest in and to the Mortgaged Property. For payment of the Indebtedness, Mortgagee may resort to any other security in such order and manner
as Mortgagee may elect. 
 Section 4.5 Discontinuance of Proceedings. If Mortgagee shall have proceeded to
invoke any right, remedy or recourse permitted under the this Mortgage or the Term Note and shall thereafter elect to discontinue or abandon it for any reason, Mortgagee, as the case may be, shall have the unqualified right to do so and, in such an
event, Mortgagor, Mortgagee shall be restored to their former positions with respect to the Indebtedness, the Obligations, the Term Note, this Mortgage, the Mortgaged Property and otherwise, and the rights, remedies, recourses and powers of
Mortgagee shall continue as if the right, remedy or recourse had never been invoked, but no such discontinuance or abandonment shall waive any Event of Default which may then exist or the right of Mortgagee thereafter to exercise any right, remedy
or recourse under this Mortgage or the Term Note for such Event of Default. 
 Section 4.6 Application of
Proceeds. The proceeds of any sale of, and the Rents and other amounts generated by the holding, leasing, management, operation or other use of the Mortgaged Property, shall be applied by Mortgagee (or the receiver, if one is appointed) in
the following order unless otherwise required by applicable law: 
 (a) to the payment of the costs and expenses of taking
possession of the Mortgaged Property and of holding, using, leasing, repairing, improving and selling the same, including, without limitation (1) receiver’s fees and expenses, including the repayment of the amounts evidenced by any
receiver’s certificates, (2) court costs, (3) attorneys’ and accountants’ fees and expenses, and (4) costs of advertisement; 

  
 7 

 (b) to the payment of the Indebtedness and performance of the Obligations in such manner and
order of preference as Mortgagee in its sole discretion may determine; and 
 (c) the balance, if any, to the Persons legally
entitled thereto. 
 Section 4.7 Occupancy After Foreclosure. Any sale of the Mortgaged Property or any part
thereof in accordance with Section 4.1(b) will divest all right, title and interest of Mortgagor in and to the property sold. Subject to applicable law, any purchaser at a foreclosure sale will receive immediate possession of the
property purchased. If Mortgagor retains possession of such property or any part thereof subsequent to such sale, Mortgagor will be considered a tenant at sufferance of the purchaser, and will, if Mortgagor remains in possession after demand to
remove, be subject to eviction and removal, forcible or otherwise, with or without process of law. 
 Section 4.8
Costs of Enforcement. Mortgagor shall pay all expenses (including reasonable attorneys’ fees and expenses) of or incidental to the perfection and enforcement of this Mortgage or the Term Note, or the enforcement, compromise or
settlement of the Indebtedness or any claim under this Mortgage, and for the curing thereof, or for defending or asserting the rights and claims of Mortgagee in respect thereof, by litigation or otherwise. 

Section 4.9 No Mortgagee in Possession. Neither the enforcement of any of the remedies under this Article 4,
the security interests under Article 6, nor any other remedies afforded to Mortgagee under the Term Note, at law or in equity shall cause Mortgagee to be deemed or construed to be a mortgagee in possession of the Mortgaged Property, to
obligate Mortgagee to lease the Mortgaged Property or attempt to do so, or to take any action, incur any expense, or perform or discharge any obligation, duty or liability whatsoever under any of the Leases or otherwise. 

ARTICLE 5 

MISCELLANEOUS 
 Section 5.1 Notices. Any notice required or permitted to be given under this Mortgage shall be given in accordance with Section 11.02 of the Credit Agreement. 

Section 5.2 Covenants Running with the Land. All Obligations contained in this Mortgage are intended by Mortgagor and
Mortgagee to be, and shall be construed as, covenants running with the Land. As used herein, “Mortgagor” shall refer to the party named in the first paragraph of this Mortgage and to any subsequent owner of all or any portion of the
Mortgaged Property. 
 Section 5.3 Successors and Assigns. This Mortgage shall be binding upon and inure to
the benefit of Mortgagee and Mortgagor and their respective successors and assigns. Mortgagor shall not, without the prior written consent of Mortgagee, assign any rights, duties or obligations hereunder. 

Section 5.4 Release or Reconveyance. Upon payment in full of the Indebtedness and performance in full of the
Obligations or upon a sale or other disposition of the Mortgaged Property permitted by the Credit Agreement, Mortgagee, at Mortgagor’s request and expense, shall release the liens and security interests created by this Mortgage or reconvey the
Mortgaged Property to Mortgagor. 
 Section 5.5 Applicable Law. The provisions of this Mortgage regarding the
creation, perfection and enforcement of the liens and security interests herein granted shall be governed by and construed under the laws of the state in which the Mortgaged Property is located. All other provisions of this Mortgage shall be
governed by the laws of the State of New York (including, without limitation, Section 5-1401 of the General Obligations Law of the State of New York). 

  
 8 

 Section 5.6 Headings. The Article, Section and Subsection titles hereof
are inserted for convenience of reference only and shall in no way alter, modify or define, or be used in construing, the text of such Articles, Sections or Subsections. 
 Section 5.7 Severability. If any provision of this Mortgage shall be held by any court of competent jurisdiction to be unlawful, void or unenforceable for any reason, such provision
shall be deemed severable from and shall in no way affect the enforceability and validity of the remaining provisions of this Mortgage. 
 Section 5.8 Entire Agreement. This Mortgage, the Credit Agreement and the Term Note embody the entire agreement and understanding between Mortgagee and Mortgagor relating to the subject
matter hereof and thereof and supersede all prior agreements and understandings between such parties relating to the subject matter hereof and thereof. There are no unwritten oral agreements between the parties. 

Section 5.9 Mortgagee as Agent; Successor Agents. 

(a) Agent has been appointed to act as Agent hereunder by the Banks. Agent shall have the right hereunder to make demands, to give
notices, to exercise or refrain from exercising any rights, and to take or refrain from taking any action (including, without limitation, the release or substitution of the Mortgaged Property) in accordance with the terms of the Credit Agreement,
any related agency agreement among Agent and the Banks (collectively, as amended, amended and restated, supplemented or otherwise modified or replaced from time to time, the “Agency Documents”) and this
Mortgage. Mortgagor and all other Persons shall be entitled to rely on releases, waivers, consents, approvals, notifications and other acts of Agent, without inquiry into the existence of required consents or approvals of the Banks thereof.

 (b) Mortgagee shall at all times be the same Person that is Agent under the Agency Documents. Written notice of resignation
by Agent pursuant to the Agency Documents shall also constitute notice of resignation as Agent under this Mortgage. Removal of Agent pursuant to any provision of the Agency Documents shall also constitute removal as Agent under this Mortgage.
Appointment of a successor Agent pursuant to the Agency Documents shall also constitute appointment of a successor Agent under this Mortgage. Upon the acceptance of any appointment as Agent by a successor Agent under the Agency Documents, that
successor Agent shall thereupon succeed to and become vested with all the rights, powers, privileges and duties of the retiring or removed Agent as the Mortgagee under this Mortgage, and the retiring or removed Agent shall promptly (i) assign
and transfer to such successor Agent all of its right, title and interest in and to this Mortgage and the Mortgaged Property, and (ii) execute and deliver to such successor Agent such assignments and amendments and take such other actions, as
may be necessary or appropriate in connection with the assignment to such successor Agent of the liens and security interests created hereunder, whereupon such retiring or removed Agent shall be discharged from its duties and obligations under this
Mortgage. After any retiring or removed Agent’s resignation or removal hereunder as Agent, the provisions of this Mortgage and the Agency Documents shall inure to its benefit as to any actions taken or omitted to be taken by it under this
Mortgage while it was Agent hereunder. 
 ARTICLE 6 

LOCAL LAW PROVISIONS 
 Section 6.1. Inconsistencies. In the event of any inconsistencies between the terms and conditions of this Article 6 and the other provisions of this Mortgage, the terms
and conditions of this Article 6 shall control and be binding. 

  
 9 

 Section 6.2. Trust Fund. Pursuant to Section 13 of the New
York Lien Law, Mortgagor shall receive the advances secured hereby and shall hold the right to receive the advances as a trust fund to be applied first for the purpose of paying the cost of any improvement and shall apply the advances first to the
payment of the cost of any such improvement on the Mortgaged Property before using any part of the total of the same for any other purpose. 
 Section 6.3. Commercial Property. Mortgagor represents that this Mortgage does not encumber real property principally improved or to be improved by one or more structures
containing in the aggregate not more than six residential dwelling units, each having its own separate cooking facilities. 

Section 6.4. Insurance. The provisions of subsection 4 of Section 254 of the New York Real Property Law
covering the insurance of buildings against loss by fire shall not apply to this Mortgage. In the event of any conflict, inconsistency or ambiguity between the provisions of the Credit Agreement and the provisions of subsection 4 of Section 254
of the New York Real Property Law covering the insurance of buildings against loss by fire, the provisions of the Credit Agreement shall control. 
 Section 6.5. Leases. Mortgagee shall have all of the rights against lessees of the Mortgaged Property set forth in Section 291-f of the Real Property Law of New York.

 Section 6.6. Statutory Construction. The clauses and covenants contained in this Mortgage that are
construed by Section 254 of the New York Real Property Law shall be construed as provided in those sections (except as provided in Section 6.4). The additional clauses and covenants contained in this Mortgage shall afford rights
supplemental to and not exclusive of the rights conferred by the clauses and covenants construed by Section 254 and shall not impair, modify, alter or defeat such rights (except as provided in Section 6.4), notwithstanding that such
additional clauses and covenants may relate to the same subject matter or provide for different or additional rights in the same or similar contingencies as the clauses and covenants construed by Section 254. The rights of Mortgagee arising
under the clauses and covenants contained in this Mortgage shall be separate, distinct and cumulative and none of them shall be in exclusion of the others. No act of Mortgagee shall be construed as an election to proceed under any one provision
herein to the exclusion of any other provision, anything herein or otherwise to the contrary notwithstanding. In the event of any inconsistencies between the provisions of Section 254 and the provisions of this Mortgage, the provisions of this
Mortgage shall prevail. 
 Section 6.7. Maximum Principal Amount Secured. Notwithstanding anything to
the contrary contained in this Mortgage, the maximum amount of principal indebtedness secured by this Mortgage or which under any contingency may be secured by this Mortgage is the Secured Amount as set forth in the Recitals above. 

Section 6.8. Power of Sale. Upon the occurrence of an Event of Default, Mortgagee shall have the right to sell
the Mortgaged Property by exercise of any right of power of sale then available under applicable law. 
 [The remainder of
this page has been intentionally left blank] 

  
 10 

 IN WITNESS WHEREOF, Mortgagor has on the date set forth in the acknowledgement
hereto, effective as of the date first above written, caused this instrument to be duly EXECUTED AND DELIVERED by authority duly given. 
  

							
	 MORTGAGOR:
	 	[                           
             ],	 	
		 	a [            ] [            ]	 	
				
		 	By:	 	  
	 	
		 		 	Name:	 	
		 		 	Title:	 	

  

							
	STATE OF	  	  
	  	)	  	
		  		  	)	  	SS.:
	COUNTY OF	  	  
	  	)	  	

 ON THE      DAY OF              IN THE
YEAR 20     BEFORE ME, THE UNDERSIGNED, A NOTARY PUBLIC IN AND FOR SAID STATE, PERSONALLY APPEARED                     ,
PERSONALLY KNOWN TO ME OR PROVED TO ME ON THE BASIS OF SATISFACTORY EVIDENCE TO BE THE INDIVIDUAL(S) WHOSE NAME(S) IS (ARE) SUBSCRIBED TO THE WITHIN INSTRUMENT AND ACKNOWLEDGED TO ME THAT HE/SHE/THEY EXECUTED THE SAME IN HIS/HER/THEIR CAPACITY(IES),
AND THAT BY HIS/HER/THEIR SIGNATURE(S) ON THE INSTRUMENT, THE INDIVIDUAL(S), OR THE PERSON UPON BEHALF OF WHICH THE INDIVIDUAL(S) ACTED, EXECUTED THE INSTRUMENT. 
  

					
		 	  
	  	

 (SIGNATURE AND OFFICE OF INDIVIDUAL TAKING ACKNOWLEDGEMENT) 

Signature page 

 EXHIBIT A 
 LEGAL DESCRIPTION 
 Legal Description of premises located at
[                                        ], New
York, [                    ]: 
 [To Come] 

  
 Exh. A-1

 EXHIBIT B 
 EXISTING MORTGAGES 
 [To Come] 

  
 Exh. B-1

 EXHIBIT C 
 EXISTING NOTES 
 [To Come] 

  
 Exh. C-1

 EXHIBIT D 
 PERMITTED ENCUMBRANCES 
 Those exceptions set forth in Schedule B of that certain title
commitment number [            ] issued by [                    ] on or about
[            ], 20[    ]. 

  
 Exh. D-1

 [EXHIBIT E 
 (Description of the Declaration)] 

  
 Exh. E-1

 EXHIBIT I 

FORM OF NEW YORK TERM NOTE 

AMENDED AND RESTATED CONSOLIDATED PROMISSORY
NOTE 
  

			
	 $            
	  	            , 20    

 This AMENDED AND RESTATED CONSOLIDATED
PROMISSORY NOTE (this “Note”) is made this      day of             , 20     by and between
[                    ], a
[                    ] as maker, having its principal place of business at
[                    ] (the “Maker”) and Citibank, N.A., a national association, having an address at Citibank, N.A. Agency
Department, 1615 Brett Road OPS III, New Castle, Delaware 19720, Attention: Global Loans Agency Department, as the Administrative Agent (together with its successors and/or assigns, “Agent”), for the benefit of the Banks named in
the Credit Agreement herein described. 
 RECITALS 
 WHEREAS, the Maker is the mortgagor under certain mortgages as more particularly described in Exhibit A attached hereto (hereinafter referred to as the “Existing Security
Instruments”) and the maker under certain notes, bonds or other obligations, as consolidated by [INSERT DESCRIPTION OF CONSOLIDATED NOTE], secured thereby (hereinafter referred to as the “Existing Notes”); 

WHEREAS, there is now owing on the Existing Notes and the Existing Security Instruments the unpaid principal sum of
[INSERT AMOUNT IN WORDS] ($[            ]), together with interest; 

WHEREAS, in connection with the making of an Advance or Advances in the aggregate principal amount of [INSERT AMOUNT IN
WORDS] ($[            ]) by the Banks under that certain Senior Unsecured Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from time to time (the
“Credit Agreement”) among LaSalle Hotel Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the
“Parent”), the Guarantors party thereto, the Banks party thereto, Agent and the other parties from time to time party thereto, to the Maker, the Maker has agreed to (i) continue its obligations under the Existing Notes and has
requested that Agent consolidate the Existing Notes and amend and restate the terms and provisions of the Existing Notes into this Note, and (ii) continue its obligations under the Existing Security Instruments into that certain Amended and
Restated Consolidated Mortgage of even date herewith (the “Mortgage”). 
 NOW,
THEREFORE, in consideration of the premises, the agreements hereinafter set forth and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby covenant and agree as
follows, effective as of the date first above written: 
 A. The Existing Notes are hereby combined and consolidated so that
together they shall hereafter constitute in law but one indebtedness evidenced by this Note in the aggregate principal amount of [INSERT AMOUNT IN WORDS] ($[            ]) together with
interest thereon as hereinafter provided. 

 B. The Existing Notes are hereby amended and restated in their entirety to read as follows:

 PROMISSORY NOTE 

 

			
	$            	 	            , 20    

 For value received, the undersigned
[                    ] (the “Maker”), hereby promises to pay to the order of Citibank, N.A., as the administrative agent (the
“Administrative Agent”) the principal amount of                      and     /100 Dollars
($            ) advanced by the Administrative Agent to the Maker, together with interest on such unpaid principal amount, at such interest rates, and at such times, as are specified in the
Credit Agreement. 
 This Note is a “New York Term Note” referred to in, and is entitled to the benefits of, and is
subject to the terms of, Section 9.01 of the Senior Unsecured Credit Agreement dated as of December 14, 2011 as the same may be amended or modified from time to time (the “Credit Agreement”) among LaSalle Hotel
Operating Partnership, L.P., a Delaware limited partnership (the “Borrower”), LaSalle Hotel Properties, a Maryland real estate investment trust (the “Parent”), the Guarantors party thereto, the Banks party thereto
(the “Banks”), the Administrative Agent and the other parties from time to time party thereto. Capitalized terms used in this Note and not otherwise defined in this Note have the meanings assigned to such terms in the Credit
Agreement. 
 Both principal and interest are payable in lawful money of the United States of America to the Administrative
Agent at Citibank, N.A. Agency Department, 1615 Brett Road OPS III, New Castle, Delaware 19720, Attention: Global Loans Agency Department (or at such other location or address as may be specified by the Administrative Agent to the Borrower) in same
day funds. The Administrative Agent shall record all payments of principal made under this Note, but no failure of the Administrative Agent to make such recordings shall affect the Maker’s repayment obligations under this Note. 

The principal amount of this Note shall be reduced only by the last and final sums that the Borrower repays with respect to the
Obligations under the Credit Documents and shall not be reduced by any intervening repayments of such Obligations. So long as the balance of the payment Obligations under the Credit Documents exceeds the then outstanding principal amount of this
Note, any payments and repayments of such Obligations shall not be deemed to be applied against, or to reduce, the portion of such principal payment Obligations evidenced by this Note. Notwithstanding the foregoing, the Borrower may direct the
Administrative Agent to apply payments and repayments of payment Obligations under the Credit Documents against the portion of such Obligations evidenced by this Note and secured by that certain Consolidated, Amended and Restated Mortgage, dated as
of the date hereof, by and from [                    ], as mortgagor, to Agent, as mortgagee. Any amounts applied to reduce the payment Obligations
evidenced by this Note shall correspondingly reduce the Obligations of the Borrower evidenced by the other Notes (as such term is defined in the Credit Agreement) on a dollar-for-dollar basis. 

The Maker hereby waives presentment, demand, protest, notice of intent to accelerate, notice of acceleration, and any other notice of any
kind. No failure to exercise, and no delay in exercising, any rights hereunder on the part of the holder of this Note shall operate as a waiver of such rights. 
 This Note shall be governed by, and construed and enforced in accordance with, the laws of the state of New York. 
 [Balance of page intentionally left blank] 

  
 -2-

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

			
	MAKER:
	
	
[                        
                ],
 a
[                                      
]

		
	By:	 	  

		 	Name:
		 	Title:

  
 S-1

 EXHIBIT A 

EXISTING SECURITY INSTRUMENTS 

  
 Exh. A

 SCHEDULE 1.01(A) 

COMMITMENTS 
  

							
	 LENDER
	  	 TITLE
	  	FINAL ALLOCATION	 
	 Citibank, N.A.
	  	Administrative Agent	  	$	75,000,000	  
	 The Royal Bank of Scotland plc
	  	Co-Syndication Agent	  	 	75,000,000	  
	 Bank of Montreal
	  	Co-Syndication Agent	  	 	75,000,000	  
	 Regions Bank
	  	Co-Documentation Agent	  	 	55,000,000	  
	 U.S. Bank National Association
	  	Co-Documentation Agent	  	 	55,000,000	  
	 Bank of America, N.A.
	  	Co-Documentation Agent	  	 	50,000,000	  
	 BBVA Compass
	  	Co-Documentation Agent	  	 	50,000,000	  
	 Deutsche Bank Trust Company Americas
	  	Co-Documentation Agent	  	 	50,000,000	  
	 Raymond James Bank
	  	Co-Documentation Agent	  	 	50,000,000	  
	 Royal Bank of Canada
	  	Co-Documentation Agent	  	 	50,000,000	  
	 PNC Bank, National Association
	  	Senior Managing Agent	  	 	40,000,000	  
	 Barclays Bank PLC
	  	Lender	  	 	25,000,000	  
	 Branch Banking and Trust Company
	  	Lender	  	 	25,000,000	  
	 Goldman Sachs Bank USA
	  	Lender	  	 	25,000,000	  
	 Morgan Stanley Bank, N.A.
	  	Lender	  	 	25,000,000	  
	 First Commercial Bank
	  	Lender	  	 	15,000,000	  
	 Chang Hwa Commercial Bank, Ltd.
	  	Lender	  	 	10,000,000	  
		  		  	  
	  
	 
	 Total
	  		  	$	750,000,000	  
		  		  	  
	  
	 

  

					
	Sch. 1.01(A)	 	-1-	 	

 SCHEDULE 1.01(C) 

GUARANTORS 
  

					
	 DA Entity, LLC, a Delaware limited liability company
	  	 	27-1510334	  
	 RDA Entity, Inc., a Delaware corporation
	  	 	27-1507213	  
	 I&G Capitol, LLC, a Delaware limited liability company
	  	 	52-2363632	  
	 LaSalle Hotel Lessee, Inc., an Illinois corporation
	  	 	36-4220546	  
	 LaSalle Hotel Properties, a Maryland real estate investment trust
	  	 	36-4219376	  
	 LHO Grafton Hotel Lessee, Inc., a Delaware corporation
	  	 	20-2140342	  
	 LHO Grafton Hotel, L.P., a Delaware limited partnership
	  	 	20-2138667	  
	 LHO Hollywood LM, L.P., a Delaware limited partnership
	  	 	52-2248273	  
	 LHO Le Parc Lessee, Inc., a Delaware corporation
	  	 	20-3870017	  
	 LHO Le Parc, L.P., a Delaware limited partnership
	  	 	20-3868653	  
	 LHO Mission Bay Hotel, L.P., a California limited partnership
	  	 	36-4232561	  
	 LHO Mission Bay Rosie Hotel, L.P., a Delaware limited partnership
	  	 	20-3819466	  
	 LHO Mission Bay Rosie Lessee, Inc., a Delaware corporation
	  	 	20-3819286	  
	 LHO San Diego Financing, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 LHO Santa Cruz Hotel One, L.P. a Delaware limited partnership
	  	 	20-2494600	  
	 LHO Santa Cruz One Lessee, Inc., a Delaware corporation
	  	 	20-1812234	  
	 Lucky Town Burbank Lessee, Inc., a Delaware corporation
	  	 	20-8668065	  
	 Lucky Town Burbank, L.P. a Delaware limited partnership
	  	 	20-8669197	  
	 Ramrod Lessee, Inc., a Delaware corporation
	  	 	26-2644161	  
	 Paradise Lessee, Inc., a Delaware corporation
	  	 	26-2555404	  
	 Geary Darling Lessee, Inc., a Delaware corporation
	  	 	27-3093379	  
	 Geary Darling, LP a Delaware limited partnership
	  	 	27-3313990	  
	 Chamber Maid, LP a Delaware limited partnership
	  	 	27-3602665	  
	 Chamber Maid Lessee, Inc., a Delaware corporation
	  	 	27-3602695	  
	 Seaside Hotel, LP a Delaware limited partnership
	  	 	27-4510347	  
	 Seaside Hotel Lessee, Inc., a Delaware corporation
	  	 	27-4484507	  
	 Let IT FLHO, LP a Delaware limited partnership
	  	 	45-3323336	  
	 Let It FLHO Lessee, Inc., a Delaware corporation
	  	 	45-3180571	  
	 Glass Houses, a Maryland real estate investment trust
	  	 	26-2526042	  
	 LaSalle Washington One Lessee, Inc., a Delaware corporation
	  	 	36-4412231	  
	 LHO Washington Hotel Four, L.L.C., a Delaware limited liability company
	  	 	52-2361130	  
	 LHO Washington Hotel One, L.L.C., a Delaware limited liability company
	  	 	52-2361142	  
	 LHO Washington Hotel Six, L.L.C., a Delaware limited liability company
	  	 	81-0622154	  
	 LHO Washington Hotel Three, L.L.C., a Delaware limited liability company
	  	 	52-2361124	  
	 LHO Washington Hotel Two, L.L.C., a Delaware limited liability company
	  	 	52-2361117	  
	 DC One Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2563826	  
	 DC Two Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2564209	  
	 DC Three Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2564466	  

  

					
	Sch. 1.01(C)	 	-1-	 	

					
	 DC Four Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2564627	  
	 DC Six Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2564789	  
	 DC I&G Capital Lessee, L.L.C., a Delaware limited liability company
	  	 	26-2564700	  
	 LHO Tom Joad Circle DC Lessee, L.L.C., a Delaware limited liability company
	  	 	36-4220546	  
	 LHO Tom Joad Circle DC, L.L.C., a Delaware limited liability company
	  	 	20-3868735	  
	 H Street Shuffle, LLC, a Delaware limited liability company
	  	 	27-1869414	  
	 H Street Shuffle Lessee, LLC, a Delaware limited liability company
	  	 	27-1869550	  
	 LHO Chicago River Lessee, L.L.C, a Delaware limited liability company
	  	 	36-4220546	  
	 LHO Chicago River, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 LHO Onyx Hotel One, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 LHO Onyx One Lessee, L.L.C., a Delaware limited liability company
	  	 	36-4220546	  
	 NYC Serenade, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 NYC Serenade Lessee, L.L.C., a Delaware limited liability company
	  	 	27-0900157	  
	 Chimes of Freedom Lessee, LLC., a Delaware limited liability company
	  	 	27-3168127	  
	 Chimes I, LLC., a Delaware limited liability company
	  	 	27-3254069	  
	 Of Freedom I, LLC., a Delaware limited liability company
	  	 	27-3254204	  
	 Chimes of Freedom, LLC., a Delaware limited liability company
	  	 	27-3375998	  
	 Wild I, LLC., a Delaware limited liability company
	  	 	27-3168357	  
	 Wild Innocent I, LP a Delaware limited partnership
	  	 	20-5780150	  
	 Wild Innocent I Lessee, LLC., a Delaware limited liability company
	  	 	30-0642182	  
	 LHO Viking Hotel, L.L.C., a Delaware limited liability company
	  	 	36-4294378	  
	 LHO Alexandria One Lessee, L.L.C., a Delaware limited liability company
	  	 	36-4220546	  
	 LHO Alexandria One, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 LHO Leesburg One Lessee, Inc., a Delaware corporation
	  	 	58-2671994	  
	 LHO New Orleans LM, L.P. a Delaware limited partnership
	  	 	52-2248283	  
	 LHO Alexis Hotel, L.L.C., a Delaware limited liability company
	  	 	36-4217399	  
	 LHO Alexis Lessee, L.L.C., a Delaware limited liability company
	  	 	36-4220546	  

  

					
	Sch. 1.01(C)	 	-2-	 	

 SCHEDULE 1.01(D) 

QUALIFIED GROUND LEASES 
 San Diego Paradise Point (San Diego, California) 
 That certain Percentage Lease dated as of
May 15, 2000, by and among the City of San Diego as Lessor and LHO Mission Bay Hotel, L.P., as Lessee. 
 Hyatt Harborside (Boston,
Massachusetts) 
 Amended and Restated Ground Lease for Phase C of The Bird Island Flats Development by and between Massachusetts Port
Authority and LHO Harborside Hotel, L.L.C., dated as of March 1, 2001. 
 Hilton San Diego Resort (San Diego, California)

 Lease Agreement dated as of September 12, 2000, executed between the City of San Diego, and Hilton San Diego Corporation as assigned
to LHO Mission Bay Rosie Hotel, L.P., by the Assignment and Assumption of Ground Lease dated December 1, 2005. 
 Roger Williams (New
York, NY) 
 Lease dated December 29, 1995 between Madison Avenue Baptist Church and Roger Williams Associates, LLC as amended by a
First Amendment of Lease, dated August 26, 1997 and a Second Amendment to Lease dated October 6, 2010 entered into by Madison Avenue Baptist Church as Lessor and RW New York, L.L.C. as Lessee. 

Viceroy Santa Monica (Santa Monica, CA) 

Ground Lease dated September 25, 2000, by and between the City of Santa Monica and Roscoe Real Estate Limited Partnership as assigned to Seaside
Hotel, LP by the Assignment and Assumption of Ground Lease and Grant of Improvements dated March 16, 2011. 
 Hotel Solamar (San Diego,
CA) 
 Ground Lease dated as of August 1, 2006 entered into by and between 6th and J Street Landowner, L.L.C. as Lessor, and Souldriver, L.P., as
Lessee. 
 Indianapolis Marriott (Indianapolis, IN) 
 Convention Center Hotel Sublease dated as of June 23, 1999 by and between Convention Hotel Partners, L.L.C. and the Metropolitan Development Commission of Marion County, Indiana, as assigned to LHO
Indianapolis Hotel One, L.LC. by the Assignment of Project Agreements dated February 10, 2004. 

  

					
	Sch. 1.01(D)	 	-1-	 	

 SCHEDULE 1.01(E) 

EXISTING LETTERS OF CREDIT 

 

											
	 	 	Beneficiary	  	Expiration Date	  	Amount	 	  	Instrument ID
					
	 1.
	 	 Alternative Re Ltd. & Arch Insurance(a)
	  	April 11, 2012	  	$	468,671	  	  	BMCH99708OS
					
	 2.
	 	 Federal Insurance Company
	  	April 13, 2012	  	$	677,773	  	  	BMCH191134OS
					
	 3.
	 	 National Union Fire Insurance Company
	  	April 13, 2012	  	$	439,152	  	  	BMCH242873OS
					
	 4.
	 	 National Union Fire Insurance Company
	  	April 13, 2012	  	$	225,000	  	  	BMCH272738OS
					
	 5.
	 	 Liberty Mutual Insurance
	  	April 13, 2012	  	$	154,500	  	  	BMCH345101OS

  

	(a)	Beneficiary is Bank of New York in Trust for Alternative Re Ltd. & Arch Insurance Company 

  

					
	Sch. 1.01(E)	 	-1-	 	

 SCHEDULE 4.01 

SUBSIDIARIES 
 LaSalle Hotel Lessee, Inc., an Illinois corporation 
 LHO Grafton Hotel Lessee, Inc., a Delaware
corporation 
 LHO Grafton Hotel, L.L.C., a Delaware limited liability company 
 LHO Grafton Hotel, L.P., a Delaware limited partnership 
 LHO Hollywood Financing, Inc., a Delaware
corporation 
 LHO Hollywood LM, L.P. a Delaware limited partnership 
 LHO Le Parc Lessee, Inc., a Delaware corporation 
 LHO Le Parc, L.L.C., a Delaware limited
liability company 
 LHO Le Parc, L.P., a Delaware limited partnership 
 LHO Mission Bay Hotel, L.P., a California limited partnership 
 LHO Mission Bay Rosie Hotel, L.P.,
a Delaware limited partnership 
 LHO Mission Bay Rosie Hotel, L.L.C., a Delaware limited liability company 

LHO Mission Bay Rosie Lessee, Inc., a Delaware corporation 
 LHO San Diego Financing, L.L.C., a Delaware limited liability company 
 LHO San Diego Hotel One,
L.P., a Delaware limited partnership 
 LHO San Diego Hotel One, L.L.C., a Delaware limited liability company 

LHO San Diego One Lessee, Inc., a Delaware corporation 
 LHO Santa Cruz Hotel One, L.P., a Delaware limited partnership 
 LHO Santa Cruz Hotel One, L.L.C.,
a Delaware limited liability company 
 LHO Santa Cruz One Lessee, Inc., a Delaware corporation 

Souldriver, L.L.C., a Delaware limited liability company 
 Souldriver, L.P., a Delaware limited partnership 
 Souldriver Lessee, Inc., a Delaware corporation

 Lucky Town Burbank Lessee, Inc., a Delaware company 
 Lucky Town Burbank, L.L.C., a Delaware limited liability company 
 Lucky Town Burbank, L.P., a
Delaware limited partnership 
 Ramrod Lessee, Inc., a Delaware corporation 
 Paradise Lessee, Inc., a Delaware corporation 
 Geary Darling Lessee, Inc., a Delaware corporation

 Geary Darling, LP, a Delaware limited partnership 
 Geary Darling, LLC, a Delaware limited liability company 
 Chamber Maid, LLC, a Delaware limited
liability company 
 Chamber Maid, LP, a Delaware limited partnership 
 Chamber Maid Lessee, Inc., a Delaware corporation 
 Seaside Hotel, LP, a Delaware limited
partnership 
 Seaside Hotel Lessee, Inc., a Delaware corporation 
 Seaside Hotel, LLC, a Delaware limited liability company 
 Let It FLHO, LLC., a Delaware limited
liability company 
 Let It FLHO, LP, a Delaware limited partnership 
 Let It FLHO Lessee, Inc., a Delaware corporation 
 LaSalle Washington One Lessee, Inc., a Delaware
corporation 
 LHO Washington Hotel One, L.L.C., a Delaware limited liability company 

  

					
	Sch. 4.01	 	-1-	 	

 LHO Washington Hotel Two, L.L.C., a Delaware limited liability company 

LHO Washington Hotel Three, L.L.C., a Delaware limited liability company 
 LHO Washington Hotel Four, L.L.C., a Delaware limited liability company 
 LHO Washington Hotel Six,
L.L.C., a Delaware limited liability company 
 DC One Lessee, L.L.C., a Delaware limited liability company 

DC Two Lessee, L.L.C., a Delaware limited liability company 
 DC Three Lessee, L.L.C., a Delaware limited liability company 
 DC Four Lessee, L.L.C., a Delaware
limited liability company 
 DC Six Lessee, L.L.C., a Delaware limited liability company 
 DC I&G Capital Lessee, L.L.C., a Delaware limited liability company 
 I&G Capitol, LLC, a
Delaware limited liability company 
 LHO Tom Joad Circle DC Lessee, L.L.C., a Delaware limited liability company 

LHO Tom Joad Circle DC, L.L.C., a Delaware limited liability company 
 H Street Shuffle, LLC, a Delaware limited liability company 
 H Street Shuffle Lessee, LLC, a
Delaware limited liability company 
 LHO Chicago River Lessee, L.L.C., a Delaware limited liability company 

LHO Chicago River L.L.C., a Delaware limited liability company 
 LHO Michigan Avenue Freezeout Lessee, L.L.C., a Delaware limited liability company 
 LHO Michigan
Avenue Freezeout, L.L.C., a Delaware limited liability company 
 LHO Indianapolis One Lessee, L.L.C., an Indiana limited liability corporation

 LHO Indianapolis Hotel One MM, L.L.C., a Delaware limited liability company 
 LHO Indianapolis Hotel One CMM, Inc., a Delaware corporation 
 LHO Indianapolis Hotel One L.L.C, a
Delaware limited liability company 
 LHO Backstreets Lessee, L.L.C., a Delaware limited liability company 

LHO Backstreets, L.L.C., a Delaware limited liability company 
 Westban Hotel Investors, L.L.C., a Delaware limited liability company 
 LHO Harborside Hotel,
L.L.C., a Delaware limited liability company 
 LHO Onyx Hotel One, L.L.C., a Delaware limited liability company 

LHO Onyx One Lessee, L.L.C., a Delaware limited liability company 
 NYC Serenade, L.L.C., a Delaware limited liability company 
 NYC Serenade Lessee, L.L.C., a
Delaware limited liability company 
 RW New York, L.L.C., a Delaware limited liability company 

RW New York Lessee, L.L.C., a Delaware limited liability company 
 PC Festivus, L.L.C., a Delaware limited liability company 
 PC Festivus Lessee, L.L.C., a Delaware
limited liability company 
 Chimes of Freedom Lessee, LLC, a Delaware limited liability company 

Chimes I, LLC, a Delaware limited liability company 
 Of Freedom I, LLC, a Delaware limited liability company 
 Chimes of Freedom, LLC, a Delaware
limited liability company 
 Wild I, LLC, a Delaware limited liability company 
 Innocent I, LLC, a Delaware limited liability company 
 Wild Innocent I, LP, a Delaware limited
partnership 
 Wild Innocent I Lessee, LLC, a Delaware limited liability company 
 LHO Viking Hotel, L.L.C., a Delaware limited liability company 
 LHO Alexandria One, L.L.C., a
Delaware limited liability company 
 LHO Alexandria One Lessee, L.L.C., a Delaware limited liability company 

  

					
	Sch. 4.01	 	-2-	 	

 LHO Leesburg One Lessee, Inc., a Delaware corporation 

LHO New Orleans LM, L.P., a Delaware limited partnership 
 LHO New Orleans Financing, Inc., a Delaware corporation 
 LHO Alexis Hotel, L.L.C., a Delaware
limited liability company 
 LHO Alexis Lessee, L.L.C., a Delaware limited liability company 

LHO Badlands Lessee, L.L.C., a Delaware limited liability company 
 LHO Badlands, L.L.C., a Delaware limited liability company 
 DA Entity, LLC, a Delaware limited
liability company 
 RDA Entity, Inc., a Delaware corporation 
 Glass Houses, a Maryland real estate investment trust 
 The address of the principal office of
each subsidiary is 3 Metro Center, Suite 1200, Bethesda, Maryland 20814 

  

					
	Sch. 4.01	 	-3-	 	

 SCHEDULE 4.08 

LITIGATION 
 NONE 

  

					
	Sch. 4.08	 	-1-	 	

 SCHEDULE 4.17 

LEGAL REQUIREMENTS; ZONING; UTILITIES; ACCESS

 NONE 

  

					
	Sch. 4.17	 	-1-	 	

 SCHEDULE 4.18 

EXISTING INDEBTEDNESS 

 

	1.	Unsecured Recourse Indebtedness in the amount of $0.00 outstanding on the $25.0 million LHL Facility. Matures January 30, 2016 with a one year extension option to
January, 2017, subject to certain conditions. The lender is US Bank, National Association; 

  

	2.	Hilton Gaslamp Quarter, San Diego, CA – Secured Non-Recourse Indebtedness in the amount of $59.6 million related to LHO San Diego One, L.P. Matures July, 2012. The
lender is KeyBank National Association; 

  

	3.	Hotel Solamar, San Diego, CA – Secured Non-Recourse Indebtedness in the amount of $60.9 million related to Souldriver, L.P. Matures December, 2013. The lender is
Bank of America, N.A.; 

  

	4.	Hotel Deca, Seattle, WA – Secured Non-Recourse Indebtedness in the amount of $9.4 million related to LHO Badlands, L.L.C. Matures August, 2014. The lender is
Bridger Commercial Funding, L.L.C.; 

  

	5.	Westin Copley Place, Boston, MA – Secured Non-Recourse Indebtedness in the amount of $210.0 million related to LHO Backstreets, L.L.C. Matures September, 2015. The
lender is Wells Fargo Bank, National Association; 

  

	6.	Westin Michigan Avenue, Chicago, IL – Secured Non-Recourse Indebtedness in the amount of $139.0 million related to LHO Michigan Avenue Freezeout, L.L.C. Matures
April, 2016. The lender is Wells Fargo Bank, National Association; 

  

	7.	Indianapolis Marriott, Indianapolis, IN – Secured Non-Recourse Indebtedness in the amount of $101.4 million related to LHO Indianapolis Hotel One, L.L.C. Matures
July, 2016. The lender is Bank of America, N.A.; 

  

	8.	Hotel Roger Williams, New York, NY – Secured Non-Recourse Indebtedness in the amount of $63.7 million related to RW New York, L.L.C. Matures August, 2016. The
lender is Wells Fargo Bank, N.A., a national banking association, as Trustee for the Registered Holders of Credit Suisse First Boston Mortgage Securities Corp., Commercial Mortgage Pass-Through Certificates, Series 2006-C5; and

  

	9.	Hyatt Harborside, Boston, MA – Secured Non-Recourse Indebtedness in the amount of $42.5 million related to LHO Harborside Hotel, L.L.C. Matures March, 2018. Bonds
are weekly floaters, secured by Letters of Credit issued by The Royal Bank of Scotland, Plc. 

  

					
	Sch. 4.18	 	-1-	 	

 SCHEDULE 5.07 

INSURANCE 
 (a) Insurance Policies Required. While any obligation of the Borrower or any Guarantor under any Credit Document remains outstanding, the Borrower shall procure and maintain or shall cause to be
procured and maintained continuously in effect policies of insurance in form and amounts and issued by companies, associations or organizations licensed to do business in the states the Hotel Properties are located, with a Best’s Rating of no
less than A-, VIII and otherwise satisfactory to the Administrative Agent covering such casualties, risks, perils, liabilities and other hazards, which insurance shall be in such amounts and covering such risks as is usually carried by companies
engaged in similar businesses and owning similar properties in the same general areas in which such Hotel Properties are located. All original policies (to the extent reasonably available to Borrower), or certificates thereof, and related
endorsements and renewals thereof shall be delivered to and retained by the Administrative Agent unless the Administrative Agent waives this requirement in writing. Without limiting the generality of the foregoing, the Borrower shall provide or
cause to be provided (whether by a manager of a Hotel Property or otherwise) the following types of insurance coverage: 
 i.
until repayment of the Notes and satisfaction of all obligations under the Credit Documents: (i) property insurance on an “all risks” full replacement cost basis without deduction for depreciation (or fire, extended coverage and
difference in conditions basis), including flood, earthquake (for any Hotel Property located in the State of California, or in any other location that, according to determination by the appropriate agency of the United States Government, has an
above average risk of seismic activity) and sinkhole coverages in an amount equal to the replacement cost of the Improvements (except for earthquake insurance which for each required Hotel Property shall, to the extent available, be in an amount
which is equal to or greater than the maximum probable loss determined pursuant to a written report by a seismic engineer, which report and engineer are acceptable to the Administrative Agent); (ii) Comprehensive General Liability Insurance
(including contractual liability, owners and contractors protective coverages, products and completed operations, personal and advertising injury liability, fire damage legal liability and alienated premises coverage) and Comprehensive Auto
Liability Insurance in a minimum amount of $50,000,000 each occurrence and in the aggregate; (iii) Statutory Workers’ Compensation and Employer’s Liability Insurance in the minimum amounts of $1,000,000 each accident, $1,000,000 each
employee - disease, $1,000,000 policy limit - disease; and (iv) Rent loss insurance against loss of income by reason of any hazard covered under the insurance required under this subparagraph (a) in an amount sufficient to avoid any
co-insurance penalty, but in any event for not less than twelve (12) months gross receipts from all sources of income from the Hotel Property. Each such policy of property insurance shall contain a replacement cost endorsement and such other
endorsements as are sufficient to prevent the Borrower, the Administrative Agent and/or the Borrower’s Subsidiaries from becoming a co-insurer with respect to such buildings and improvements. 

ii. During the renovation or expansion of any Hotel Property the Borrower will additionally provide: (i) Builder’s Risk
Insurance on an “all risks” basis including flood, earthquake (if required pursuant to the provisions of and in the amount stated in clause (a)) and sinkhole coverages, and also including Stored Materials and materials while in transit,
and (ii) Statutory Workers’ Compensation and Employer’s Liability Insurance in the minimum amounts of $1,000,000 each accident, $1,000,000 each employee - disease, $1,000,000 policy limit - disease, covering each contractor and all
other contractors or subcontractors who may have occasion to be at the job site. 

  

					
	Sch. 5.07	 	-1-	 	

 iii. Such additional insurance as may be reasonably required by the Administrative Agent
from time to time in the event that any Hotel Property is exposed to hazards and risks with respect to which the Administrative Agent deems the existing insurance inadequate to properly protect its interests. 

All policies of liability insurance shall name the Administrative Agent, the Banks and their respective directors, officers,
representatives, agents and employees (the “Banks’ Parties”) as additional insureds. The Borrower shall furnish the Administrative Agent with a certified copy of an original policy, to the extent reasonably available to the
Borrower, and a certificate of insurance of all policies of insurance required. All policies or certificates, as the case may be, of insurance shall set forth the coverage, the limits of liability, the name of the carrier, the policy number, the
Best’s Rating of the carrier and the period of coverage. In addition, all policies of property insurance required under the terms hereof shall contain an endorsement or agreement by the insurer that any loss shall be payable in accordance with
the terms of such policy notwithstanding any act or negligence of the Borrower, the Participating Lessee, the Manager or any party holding under any such Person which might otherwise result in a forfeiture of said insurance and the further agreement
of the insurer waiving all rights of setoff, counterclaim or deductions against the Borrower. At least 30 days prior to the expiration of each required policy, the Borrower shall deliver to the Administrative Agent evidence of the renewal or
replacement of such policy, continuing such insurance in the form as required by this Agreement. All such policies shall contain a provision that notwithstanding any contrary agreement between the Borrower and the applicable insurance company, such
policies will not be canceled, allowed to lapse without renewal, surrendered or amended (which provision shall include any reduction in the scope or limits of coverage) without at least 30 days’ prior written notice to the Administrative Agent.

 In the event the Borrower intends to acquire any New York Property and enter into a New York Mortgage with respect to such
New York Property, the Administrative Agent shall have received, prior to or concurrently with the execution of such New York Mortgage, (i) evidence as to whether such New York Property is in an area designated by the Federal Emergency
Management Agency as having special flood or mud slide hazards (a “Flood Hazard Property”) pursuant to a standard flood hazard determination form ordered and received by the Administrative Agent, and (ii) if such New York
Property is a Flood Hazard Property, (A) evidence as to whether the community in which such New York Property is located is participating in the National Flood Insurance Program, (B) the written acknowledgment of the Borrower or the
Subsidiary of the Borrower which will own such New York Property of receipt of written notification from the Administrative Agent as to the fact that such New York Property is a Flood Hazard Property and as to whether the community in which each
such Flood Hazard Property is located is participating in the National Flood Insurance Program and (C) copies of the application for a flood insurance policy plus proof of premium payment, a declaration page confirming that flood insurance has
been issued, or such other evidence of flood insurance satisfactory to the Administrative Agent and naming the Administrative Agent as sole loss payee on behalf of the Banks. 

  

					
	Sch. 5.07	 	-2-

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