Document:

Exhibit 10.1

Exhibit 10.1

_____________

ADOBE SYSTEMS INCORPORATED 
2003 EQUITY INCENTIVE PLAN

Amended as of April 10, 2014
_____________

Exhibit 10.1

TABLE OF CONTENTS

	
				
	1.
	 
	Establishment, Purpose and Term of Plan
	1

	1.1
	 
	Establishment
	1

	1.2 
	 
	Purpose
	1

	1.3 
	 
	Term of Plan
	1

	2.   
	 
	Definitions and Construction
	1

	2.1 
	 
	Definitions
	1

	2.2 
	 
	Construction
	6

	3.   
	 
	Administration
	6

	3.1 
	 
	Administration by the Committee
	6

	3.2 
	 
	Authority of Officers
	6

	3.3 
	 
	Administration with Respect to Insiders
	6

	3.4 
	 
	Committee Complying with Section 162 (m)
	6

	3.5 
	 
	Powers of the Committee
	6

	3.6 
	 
	Repricing
	7

	3.7 
	 
	Indemnification
	8

	4.   
	 
	Shares Subject to Plan
	8

	4.1 
	 
	Maximum Number of Shares Issuable
	8

	4.2 
	 
	Adjustments for Changes in Capital Structure
	9

	5.   
	 
	Eligibility and Award Limitations
	9

	5.1 
	 
	Persons Eligible for Awards
	9

	5.2 
	 
	Participation
	9

	5.3 
	 
	Incentive Stock Option Limitations
	9

	5.4 
	 
	Award Limits
	10

	6.  
	 
	Terms and Conditions of Options
	11

	6.1
	 
	Exercise Price
	11

	6.2
	 
	Exercisability and Term of Options
	12

	6.3
	 
	Payment of Exercise Price
	12

	6.4
	 
	Effect of Termination of Service
	13

	6.5 
	 
	Transferability of Options
	13

	7.   
	 
	Terms and Conditions of Stock Appreciation Rights
	13

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	7.1 
	 
	Types of SARs Authorized
	13

	7.2 
	 
	Exercise Price
	13

	7.3 
	 
	Exercisability and Term of SARs
	14

	7.4 
	 
	Exercise of SARs
	14

	7.5 
	 
	Deemed Exercise of SARs
	14

	7.6 
	 
	Effect of Termination of Service
	15

	7.7 
	 
	Nontransferability of SARs
	15

	8. 
	 
	Terms and Conditions of Stock Awards
	15

	8.1
	 
	Types of Stock Awards Authorized
	15

	8.2 
	 
	Purchase Price
	15

	8.3 
	 
	Purchase Period
	15

	8.4 
	 
	Payment of Purchase Price
	15

	8.5 
	 
	Vesting; Restrictions on Transfer; Deferral
	16

	8.6 
	 
	Voting Rights; Dividends and Distributions
	16

	8.7 
	 
	Effect of Termination of Service
	17

	8.8 
	 
	Nontransferability of Stock Award Rights
	17

	9.   
	 
	Terms and Conditions of Performance Awards
	17

	9.1 
	 
	Types of Performance Awards Authorized
	17

	9.2 
	 
	Initial Value of Performance Shares and Performance Units
	17

	9.3 
	 
	Establishment of Performance Period, Performance Goals and Performance Award Formula
	18

	9.4 
	 
	Measurement of Performance Goals
	18

	9.5 
	 
	Settlement of Performance Awards
	18

	9.6 
	 
	Dividend Equivalents
	19

	9.7 
	 
	Effect of Termination of Service
	19

	9.8 
	 
	Nontransferability of Performance Awards
	20

	10.  
	 
	Performance-Based Compensation under Code Section 162(m)
	20

	10.1 
	 
	General
	20

	10.2 
	 
	Performance Goals
	20

	10.3 
	 
	Performance Goals Based on Performance Measures
	22

	11.
	 
	Standard Forms of Award Agreement
	24

	11.1 
	 
	Award Agreements
	24

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	11.2 
	 
	Authority to Vary Terms
	25

	11.3 
	 
	Clawback/Recovery
	25

	12.  
	 
	Change of Control
	25

	12.1 
	 
	Awards Granted Prior to January 24, 2008
	25

	12.2 
	 
	Awards Granted On or After January 24, 2008
	26

	13.  
	 
	Compliance with Securities Law
	28

	14.  
	 
	Tax Withholding
	28

	14.1 
	 
	Tax Withholding in General
	28

	14.2 
	 
	Withholding in Shares
	28

	15.  
	 
	Termination or Amendment of Plan
	29

	16.  
	 
	Miscellaneous Provisions
	29

	16.1 
	 
	Repurchase Rights
	29

	16.2 
	 
	Provision of Information
	29

	16.3 
	 
	Rights as Employee, Consultant or Director
	29

	16.4 
	 
	Rights as a Stockholder
	29

	16.5 
	 
	Fractional Shares
	30

	16.6 
	 
	Beneficiary Designation
	30

	16.7 
	 
	Unfunded Obligation
	30

	16.8 
	 
	Section 409A
	30

    

    
    

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Exhibit 10.1

ADOBE SYSTEMS INCORPORATED
2003 EQUITY INCENTIVE PLAN

1.ESTABLISHMENT, PURPOSE AND TERM OF PLAN.
1.1    Establishment.  Adobe Systems Incorporated, a Delaware corporation, hereby establishes the Adobe Systems Incorporated 2003 Equity Incentive Plan (as amended and restated, the “Plan”) effective as of April 9, 2003, the date of its approval by the stockholders of the Company (the “Effective Date”).
1.2    Purpose.  The purpose of the Plan is to advance the interests of the Participating Company Group and its stockholders by providing an incentive to attract, retain and reward persons performing services for the Participating Company Group and by motivating such persons to contribute to the growth and profitability of the Participating Company Group.  The Plan seeks to achieve this purpose by providing for Awards in the form of Options, Stock Appreciation Rights, Stock Purchase Rights, Stock Bonuses, Restricted Stock Units, Performance Shares and Performance Units.
1.3    Term of Plan.  The Plan shall continue in effect until the earlier of its termination by the Board or the date on which all of the shares of Stock available for issuance under the Plan have been issued and all restrictions on such shares under the terms of the Plan and the agreements evidencing Awards granted under the Plan have lapsed.  However, all Incentive Stock Options shall be granted, if at all, within ten (10) years from the earlier of the date the Plan is adopted, as amended, by the Board or the date the Plan is duly approved, as amended, by the stockholders of the Company. 
2.    DEFINITIONS AND CONSTRUCTION.
2.1    Definitions.  Whenever used herein, the following terms shall have their respective meanings set forth below:
(a)    “Affiliate” means (i) an entity, other than a Parent Corporation, that directly, or indirectly through one or more intermediary entities, controls the Company or (ii) an entity, other than a Subsidiary Corporation, that is controlled by the Company directly, or indirectly through one or more intermediary entities.  For this purpose, the term “control” (including the term “controlled by”) means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of the relevant entity, whether through the ownership of voting securities, by contract or otherwise; or shall have such other meaning assigned such term for the purposes of registration on Form S‐8 under the Securities Act.
(b)    “Award” means any Option, SAR, Stock Purchase Right, Stock Bonus, Restricted Stock Unit, Performance Share or Performance Unit granted under the Plan.
(c)    “Award Agreement” means a written agreement between the Company and a Participant setting forth the terms, conditions and restrictions of the Award 

    

granted to the Participant.  An Award Agreement may be an “Option Agreement, an “SAR Agreement,” a “Stock Purchase Agreement,” a “Stock Bonus Agreement, ” a “Restricted Stock Unit Agreement,” ” a “Performance Share Agreement” or a “Performance Unit Agreement.”
(d)    “Board” means the Board of Directors of the Company.
(e)    “Code” means the Internal Revenue Code of 1986, as amended, and any applicable regulations promulgated thereunder.
(f)    “Committee” means the Executive Compensation Committee or other committee of the Board duly appointed to administer the Plan and having such powers as shall be specified by the Board.  If no committee of the Board has been appointed to administer the Plan, the Board shall exercise all of the powers of the Committee granted herein, and, in any event, the Board may in its discretion exercise any or all of such powers.
(g)    “Company” means Adobe Systems Incorporated, a Delaware corporation, or any successor corporation thereto.
(h)    “Consultant” means a person engaged to provide consulting or advisory services (other than as an Employee or a member of the Board) to a Participating Company, provided that the identity of such person, the nature of such services or the entity to which such services are provided would not preclude the Company from offering or selling securities to such person pursuant to the Plan in reliance on (i) registration on a Form S‐8 Registration Statement under the Securities Act, or (ii) Rule 701 of the Securities Act, or (iii) other means of compliance with the securities laws of all relevant jurisdictions.
(i)    “Director” means a member of the Board or the board of directors of any other Participating Company.
(j)    “Disability” means the permanent and total disability of the Participant, within the meaning of Section 22(e)(3) and 409A(a)(2)(c)(i) of the Code.
(k)    “Dividend Equivalent” means a credit, made at the discretion of the Committee or as otherwise provided by the Plan, to the account of a Participant in an amount equal to the cash dividends paid on one share of Stock for each share of Stock represented by an Award held by such Participant.
(l)    “Employee” means any person treated as an employee (including an Officer or a member of the Board who is also treated as an employee) in the records of a Participating Company and, with respect to any Incentive Stock Option granted to such person, who is an employee for purposes of Section 422 of the Code; provided, however, that neither service as a member of the Board nor payment of a director’s fee shall be sufficient to constitute employment for purposes of the Plan.
(m)    “Exchange Act” means the Securities Exchange Act of 1934, as amended.

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(n)    “Fair Market Value” means, as of any date, the value of a share of Stock or other property as determined by the Committee, in its discretion, or by the Company, in its discretion, if such determination is expressly allocated to the Company herein, subject to the following:
(i)    If, on such date, the Stock is listed on a national or regional securities exchange or market system, the Fair Market Value of a share of Stock shall be the closing price of a share of Stock (or the mean of the closing bid and asked prices of a share of Stock if the Stock is so quoted instead) as quoted on the Nasdaq Global Select Market, The Nasdaq SmallCap Market or such other national or regional securities exchange or market system constituting the primary market for the Stock, as reported in The Wall Street Journal or such other source as the Company deems reliable.  If the relevant date does not fall on a day on which the Stock has traded on such securities exchange or market system, the date on which the Fair Market Value shall be established shall be the last day on which the Stock was so traded prior to the relevant date, or such other appropriate day as shall be determined by the Committee, in its discretion.
(ii)    If, on such date, the Stock is not listed on a national or regional securities exchange or market system, the Fair Market Value of a share of Stock shall be as determined by the Committee in good faith without regard to any restriction other than a restriction which, by its terms, will never lapse.
(o)    “Incentive Stock Option” means an Option intended to be (as set forth in the Award Agreement) and which qualifies as an incentive stock option within the meaning of Section 422(b) of the Code. If an Option is not specifically designated as an Incentive Stock Option, or if an Option is designated as an Incentive Stock Option but some portion or all of the Option fails to qualify as an Incentive Stock Option under the applicable rules, then the Option (or portion thereof) will be a Nonstatutory Stock Option.
(p)    “Insider” means an Officer, a member of the Board or any other person whose transactions in Stock are subject to Section 16 of the Exchange Act.
(q)    “Nonstatutory Stock Option” means an Option not intended to be (as set forth in the Award Agreement) an incentive stock option within the meaning of Section 422(b) of the Code.
(r)    “Officer” means any person designated by the Board as an officer of the Company.
(s)    “Option” means the right to purchase Stock at a stated price for a specified period of time granted to a participant pursuant to Section 6 of the Plan.  An Option may be either an Incentive Stock Option or a Nonstatutory Stock Option.
(t)    “Parent Corporation” means any present or future “parent corporation” of the Company, as defined in Section 424(e) of the Code.

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(u)    “Participant” means any eligible person who has been granted one or more Awards.
(v)    “Participating Company” means the Company or any Parent Corporation, Subsidiary Corporation or Affiliate.
(w)    “Participating Company Group” means, at any point in time, all corporations collectively which are then Participating Companies.
(x)    “Performance Award” means an Award of Performance Shares or Performance Units.
(y)    “Performance Award Formula” means, for an Award, a formula or table established by the Committee, which provides the basis for computing the value of an Award at one or more threshold levels of attainment of the applicable Performance Goal(s) measured as of the end of the applicable Performance Period.
(z)    “Performance Goal” means a performance goal established by the Committee and may or may not include performance goals relating to a Performance Measure (as defined in Section 10).
(aa)    “Performance Period” means a period established by the Committee at the end of which one or more Performance Goals are to be measured.
(bb)    “Performance Share” means a bookkeeping entry representing a right granted to a Participant pursuant to Section 9 of the Plan to receive a payment equal to the value of a Performance Share based on performance.
(cc)    “Performance Unit” means a bookkeeping entry representing a right granted to a Participant pursuant to Section 9 of the Plan to receive a payment equal to the value of a Performance Unit based upon performance.
(dd)    “Predecessor Plans” mean, collectively, the Adobe Systems Incorporated 1994 Stock Option Plan and the Adobe Systems Incorporated 1999 Equity Incentive Plan.
(ee)    “Restricted Stock Unit” means a bookkeeping entry representing a right granted to a Participant pursuant to Section 8 of the Plan to receive one share of Stock, a cash payment equal to the value of one share of Stock, or a combination thereof, as determined in the sole discretion of the Committee.
(ff)    “Restriction Period” means the period established in accordance with Section 8.5 of the Plan during which shares subject to a Stock Award are subject to Vesting Conditions.
(gg)    “Rule 16b‐3” means Rule 16b‐3 under the Exchange Act, as amended from time to time, or any successor rule or regulation.

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(hh)    “SAR” or “Stock Appreciation Right” means a bookkeeping entry representing, for each share of Stock subject to such SAR, a right granted to a Participant pursuant to Section 7 of the Plan to receive payment of an amount equal to the excess, if any, of the Fair Market Value of a share of Stock on the date of exercise of the SAR over the exercise price.
(ii)    “Section 162(m)” means Section 162(m) of the Code.
(jj)    “Securities Act” means the Securities Act of 1933, as amended.
(kk)    “Service” means a Participant’s employment or service with the Participating Company Group as an Employee, a Consultant or a Director, whichever such capacity the Participant held on the date of grant of an Award.  Unless otherwise determined by the Committee, a Participant’s Service shall be deemed to have terminated if the Participant ceases to render service to the Participating Company Group in such initial capacity.  However, a Participant’s Service shall not be deemed to have terminated merely because of a change in the Participating Company for which the Participant renders such Service in such initial capacity, provided that there is no interruption or termination of the Participant’s Service.  A Participant’s Service shall be deemed to have terminated either upon an actual termination of Service or upon the corporation for which the Participant performs Service ceasing to be a Participating Company.  Subject to the foregoing, the Company, in its discretion, shall determine whether the Participant’s Service has terminated and the effective date of such termination.
(ll)    “Stock” means the common stock of the Company, as adjusted from time to time in accordance with Section 4.2 of the Plan.
(mm)    “Stock Award” means an Award of a Stock Bonus, a Stock Purchase Right or a Restricted Stock Unit Award.
(nn)    “Stock Bonus” means Stock granted to a Participant pursuant to Section 8 of the Plan.
(oo)    “Stock Purchase Right” means a right to purchase Stock granted to a Participant pursuant to Section 8 of the Plan.
(pp)    “Subsidiary Corporation” means any present or future “subsidiary corporation” of the Company, as defined in Section 424(f) of the Code.
(qq)    “Ten Percent Owner” means a Participant who, at the time an Option is granted to the Participant, owns stock possessing more than ten percent (10%) of the total combined voting power of all classes of stock of a Participating Company (other than an Affiliate) within the meaning of Section 422(b)(6) of the Code.
(rr)    “Vesting Conditions” mean those conditions established in accordance with Section 8.5 of the Plan prior to the satisfaction of which shares subject to a Stock Award remain subject to forfeiture or a repurchase option in favor of the Company.

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2.2    Construction.  Captions and titles contained herein are for convenience only and shall not affect the meaning or interpretation of any provision of the Plan.  Except when otherwise indicated by the context, the singular shall include the plural and the plural shall include the singular.  Use of the term “or” is not intended to be exclusive, unless the context clearly requires otherwise.
3.    ADMINISTRATION.
3.1    Administration by the Committee.  The Plan shall be administered by the Committee.  All questions of interpretation of the Plan or of any Award shall be determined by the Committee, and such determinations shall be final and binding upon all persons having an interest in the Plan or such Award.
3.2    Authority of Officers.  Any Officer shall have the authority to act on behalf of the Company with respect to any matter, right, obligation, determination or election which is the responsibility of or which is allocated to the Company herein, provided the Officer has apparent authority with respect to such matter, right, obligation, determination or election.  To the extent consistent with applicable law (including but not limited to Delaware General Corporation Law Section 157(c)), the Board may, in its discretion, delegate to a committee comprised of one or more Officers (any such committee, an “Officer Committee”) the authority to designate Employees (other than themselves) to receive one or more Options or rights to acquire shares of Stock and to determine the number of shares of Stock subject to such Options and rights, without further approval of the Board or the Committee. Any such grants will be subject to the terms of the Board resolutions providing for such delegation of authority.
3.3    Administration with Respect to Insiders.  With respect to participation by Insiders in the Plan, at any time that any class of equity security of the Company is registered pursuant to Section 12 of the Exchange Act, the Plan shall be administered in compliance with the requirements, if any, of Rule 16b‐3.
3.4    Committee Complying with Section 162(m).  If the Company is a “publicly held corporation” within the meaning of Section 162(m), the Board may establish a Committee of two or more “outside directors” within the meaning of Section 162(m) to approve the grant of any Award which might reasonably be anticipated to result in the payment of employee remuneration that would otherwise exceed the limit on employee remuneration deductible for income tax purposes pursuant to Section 162(m).
3.5    Powers of the Committee.  In addition to any other powers set forth in the Plan and subject to the provisions of the Plan, the Committee shall have the full and final power and authority, in its discretion:
(a)    to determine the persons to whom, and the time or times at which, Awards shall be granted and the number of shares of Stock or units to be subject to each Award;
(b)    to determine the type of Award granted and to designate Options as Incentive Stock Options or Nonstatutory Stock Options;

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(c)    to determine the Fair Market Value of shares of Stock or other property;
(d)    to determine the terms, conditions and restrictions applicable to each Award (which need not be identical) and any shares acquired pursuant thereto, including, without limitation, (i) the exercise or purchase price of shares purchased pursuant to any Award, (ii) the method of payment for shares purchased pursuant to any Award, (iii) the method for satisfaction of any tax withholding obligation arising in connection with Award, including by the withholding or delivery of shares of Stock, (iv) the timing, terms and conditions of the exercisability or vesting of any Award or any shares acquired pursuant thereto, (v) the Performance Award Formula and Performance Goals applicable to any Award and the extent to which such Performance Goals have been attained, (vi) the time of the expiration of any Award, (vii) the effect of the Participant’s termination of Service on any of the foregoing, and (viii) all other terms, conditions and restrictions applicable to any Award or shares acquired pursuant thereto not inconsistent with the terms of the Plan;
(e)    to determine whether an Award of SARs, Restricted Stock Units, Performance Shares or Performance Units will be settled in shares of Stock, cash, or in any combination thereof;
(f)    to approve one or more forms of Award Agreement;
(g)    to amend, modify, extend, cancel or renew any Award or to waive any restrictions or conditions applicable to any Award or any shares acquired pursuant thereto;
(h)    to accelerate, continue, extend or defer the exercisability or vesting of any Award or any shares acquired pursuant thereto, including with respect to the period following a Participant’s termination of Service;
(i)    to prescribe, amend or rescind rules, guidelines and policies relating to the plan, or to adopt sub-plans or supplements to, or alternative versions of, the Plan, including, without limitation, as the Committee deems necessary or desirable to comply with the laws of or to accommodate the laws, regulations, tax or accounting effectiveness, accounting principles or custom of, foreign jurisdictions whose citizens may be granted Awards; and
(j)    to correct any defect, supply any omission or reconcile any inconsistency in the Plan or any Award Agreement and to make all other determinations and take such other actions with respect to the Plan or any Award as the Committee may deem advisable to the extent not inconsistent with the provisions of the Plan or applicable law.
3.6    Repricing.  Without the affirmative vote of holders of a majority of the shares of Stock cast in person or by proxy at a meeting of the stockholders of the Company at which a quorum representing a majority of all outstanding shares of Stock is present or represented by proxy, the Board shall not approve a program providing for either (a) the cancellation of outstanding Options or SARs and the grant in substitution therefor of new Awards having a lower exercise or purchase price or (b) the amendment of outstanding Options or SARs 

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to reduce the exercise price thereof.  This paragraph shall not be construed to apply to “issuing or assuming a stock option in a transaction to which section 424(a) applies,” within the meaning of Section 424 of the Code.
3.7    Indemnification.  In addition to such other rights of indemnification as they may have as members of the Board or the Committee or as officers or employees of the Participating Company Group, members of the Board or the Committee and any officers or employees of the Participating Company Group to whom authority to act for the Board, the Committee or the Company is delegated shall be indemnified by the Company against all reasonable expenses, including attorneys’ fees, actually and necessarily incurred in connection with the defense of any action, suit or proceeding, or in connection with any appeal therein, to which they or any of them may be a party by reason of any action taken or failure to act under or in connection with the Plan, or any right granted hereunder, and against all amounts paid by them in settlement thereof (provided such settlement is approved by independent legal counsel selected by the Company) or paid by them in satisfaction of a judgment in any such action, suit or proceeding, except in relation to matters as to which it shall be adjudged in such action, suit or proceeding that such person is liable for gross negligence, bad faith or intentional misconduct in duties; provided, however, that within sixty (60) days after the institution of such action, suit or proceeding, such person shall offer to the Company, in writing, the opportunity at its own expense to handle and defend the same.
4.    SHARES SUBJECT TO PLAN.
4.1    Maximum Number of Shares Issuable.  Subject to adjustment as provided in Section 4.2, the maximum aggregate number of shares of Stock that may be issued under the Plan shall be two hundred fifty-five million nine hundred ninety-nine thousand six hundred twenty (255,999,620) .  The number of shares of stock available for issuance under the Plan shall be reduced (a) by one share for each share issued pursuant to options or rights granted pursuant to the Predecessor Plans or pursuant to Options or Stock Appreciation Rights, and (b) by one and seventy seven-hundredths (1.77) shares for each share issued pursuant to Awards other than those set forth in the preceding clause (a); provided, however, that (A) for Awards granted prior to April 5, 2007, the reduction was one share of Stock for each share of Stock issued pursuant to any Awards, (B) for Awards granted on April 5, 2007 through and including April 9, 2008, the reduction was two and one-tenth (2.1) shares for each share issued pursuant to any Awards other than options or rights granted pursuant to the Predecessor Plans or pursuant to Options or Stock Appreciation Rights, and (C) for Awards granted on April 10, 2008 through and including March 31, 2009, the reduction was two and four-tenths (2.4) shares for each share issued pursuant to any Awards other than options or rights granted pursuant to the Predecessor Plans or pursuant to Options or Stock Appreciation Rights.  Such shares shall consist of authorized but unissued or reacquired shares of Stock or any combination thereof.  If an outstanding Award for any reason expires or is terminated or canceled without having been exercised or settled in full, or if shares of Stock acquired pursuant to an Award subject to forfeiture or repurchase are forfeited or repurchased by the Company at the Participant’s purchase price to effect a forfeiture of unvested shares upon termination of Service, the shares of Stock allocable to the terminated portion of such Award or such forfeited or repurchased shares 

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of Stock shall be added back to the Plan share reserve in an amount corresponding to the reduction in such share reserve previously made in accordance with the rules described above in this Section 4.1 and again be available for issuance under the Plan.  Shares of Stock shall not be deemed to have been issued pursuant to the Plan with respect to any portion of an Award (other than a SAR that may be settled in shares of Stock and/or cash) that is settled in cash. Shares withheld in satisfaction of tax withholding obligations pursuant to Section 14.2 shall not again become available for issuance under the Plan.  Upon exercise of a SAR, whether in cash or shares of Stock, the number of shares available for issuance under the Plan shall be reduced by the gross number of shares for which the SAR is exercised.  If the exercise price of an Option is paid by “net exercise” (as described in Section 6.3(a)(iv)) or tender to the Company, or attestation to the ownership, of shares of Stock owned by the Participant, the number of shares available for issuance under the Plan shall be reduced by the gross number of shares for which the Option is exercised.  
4.2    Adjustments for Changes in Capital Structure.  In the event of any change in the Stock through merger, consolidation, reorganization, reincorporation, recapitalization, reclassification, stock dividend, stock split, reverse stock split, split-up, split-off, spin-off, combination of shares, exchange of shares or similar change in the capital structure of the Company, or in the event of payment of a dividend or distribution to the stockholders of the Company in a form other than Stock (excepting normal cash dividends) that has a material effect on the Fair Market Value of shares of Stock, appropriate adjustments shall be made in the number and class of shares subject to the Plan, in the ISO Share Limit (as defined in Section 5.3(a)), the Award limits set forth in Section 5.4 and to any outstanding Awards, and in the exercise or purchase price per share under any outstanding Award.  Notwithstanding the foregoing, any fractional share resulting from an adjustment pursuant to this Section 4.2 shall be rounded down to the nearest whole number, and in no event may the exercise or purchase price under any Award be decreased to an amount less than the par value, if any, of the stock subject to such Award.  The adjustments determined by the Committee pursuant to this Section 4.2 shall be final, binding and conclusive.
5.    ELIGIBILITY AND AWARD LIMITATIONS.
5.1    Persons Eligible for Awards.  Awards may be granted only to Employees, Directors and Consultants.  No Award shall be granted prior to the date on which such person commences Service.
5.2    Participation.  Except as otherwise provided in Section 3.2, Awards are granted solely at the discretion of the Committee.  Eligible persons may be granted more than one (1) Award.  However, eligibility in accordance with this Section shall not entitle any person to be granted an Award, or, having been granted an Award, to be granted an additional Award.
5.3    Incentive Stock Option Limitations.
(a)    Persons Eligible.  An Incentive Stock Option may be granted only to a person who, on the effective date of grant, is an Employee of the Company, a Parent Corporation or a Subsidiary Corporation (each being an “ISO-Qualifying Corporation”).  Any 

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person who is not an Employee of an ISO-Qualifying Corporation on the effective date of the grant of an Option to such person, but who is otherwise an Employee or a Director of, or Consultant to, the Company or any of its Affiliates, may be granted only a Nonstatutory Stock Option.  
(b)    ISO Share Limit.  Subject to adjustment as provided in Section 4.2, the maximum number of shares of Stock that may be issued upon the exercise of Incentive Stock Options granted under the Plan and the Predecessor Plans will equal the aggregate Share number stated in the first sentence of Section 4.1, plus, to the extent allowable under Code Section 422 and the Treasury Regulations promulgated thereunder, any shares of Stock that become available for issuance under the Plan pursuant to Section 4.1 (the “ISO Share Limit”).
(c)    Fair Market Value Limitation.  To the extent that options designated as Incentive Stock Options (granted under all stock option plans of the Participating Company Group, including the Plan) become exercisable by a Participant for the first time during any calendar year for stock having a Fair Market Value greater than One Hundred Thousand Dollars ($100,000), the portion of such options which exceeds such amount shall be treated as Nonstatutory Stock Options.  For purposes of this Section, options designated as Incentive Stock Options shall be taken into account in the order in which they were granted, and the Fair Market Value of stock shall be determined as of the time the option with respect to such stock is granted.  If the Code is amended to provide for a different limitation from that set forth in this Section, such different limitation shall be deemed incorporated herein effective as of the date and with respect to such Options as required or permitted by such amendment to the Code.  If an Option is treated as an Incentive Stock Option in part and as a Nonstatutory Stock Option in part by reason of the limitation set forth in this Section, the Participant may designate which portion of such Option the Participant is exercising.  In the absence of such designation, the Participant shall be deemed to have exercised the Incentive Stock Option portion of the Option first.  Upon exercise, each portion shall be separately identified.  
(d)    Leaves of Absence.  For purposes of Incentive Stock Options, no leave of absence may exceed three (3) months, unless reemployment upon expiration of such leave is guaranteed by statute or contract.  If reemployment upon expiration of a leave of absence approved by the Company is not so guaranteed, then six (6) months following the first (1st) day of such leave, any Incentive Stock Option held by the Participant will cease to be treated as an Incentive Stock Option and will be treated for tax purposes as a Nonstatutory Stock Option.
5.4    Award Limits.
(a)    Section 162(m) Award Limits.  The following limits shall apply to the grant of any Award if, at the time of grant, the Company is a “publicly held corporation” within the meaning of Section 162(m).
(i)    Options and SARs.  Subject to adjustment as provided in Section 4.2, no Employee shall be granted within any fiscal year of the Company one or more Options or Freestanding SARs which in the aggregate are for more than four million (4,000,000) 

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shares of Stock.  An Option which is canceled (or a Freestanding SAR as to which the exercise price is reduced to reflect a reduction in the Fair Market Value of the Stock) in the same fiscal year of the Company in which it was granted shall continue to be counted against such limit for such fiscal year.
(ii)    Stock Awards. Subject to adjustment as provided in Section 4.2, no Employee shall be granted within any fiscal year of the Company one or more Stock Awards intended to qualify as “performance based compensation” under Section 162(m) for more than one million five hundred thousand (1,500,000) shares of Stock in the aggregate.  
(iii)    Performance Awards.  Subject to adjustment as provided in Section 4.2, no Employee shall be granted (A) an Award of Performance Shares intended to qualify as “performance based compensation” under Section 162(m), which could result in such Employee receiving more than one million five hundred thousand (1,500,000) shares of Stock in the aggregate during any fiscal year of the Company, or (B) an Award of Performance Units intended to qualify as “performance based compensation” under Section 162(m), which could result in such Employee receiving more than two million five hundred thousand dollars ($2,500,000) during any fiscal year of the Company.  
(b)    Clarification of Limits.  For purposes of clarification regarding the foregoing limits, (A) Awards granted in previous fiscal years will not count against the Award limits in subsequent fiscal years even if the Awards from previous fiscal years are earned or otherwise settled in fiscal years following the fiscal year in which they are granted, and (B) more than one Award of the same type can be granted in a fiscal year as long as the aggregate number of shares of Stock granted pursuant to all Awards of that type (and that are intended to qualify as “performance based compensation” under Section 162(m)) do not exceed the fiscal year limit applicable to that Award type.
6.    TERMS AND CONDITIONS OF OPTIONS.
Options shall be evidenced by Award Agreements specifying the number of shares of Stock covered thereby, in such form as the Committee shall from time to time establish.  No Option or purported Option shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement.  Award Agreements evidencing Options may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions:
6.1    Exercise Price.  The exercise price for each Option shall be established in the discretion of the Committee; provided, however, that (a) the exercise price per share shall be not less than the Fair Market Value of a share of Stock on the effective date of grant of the Option and (b) no Incentive Stock Option granted to a Ten Percent Owner shall have an exercise price per share less than one hundred ten percent (110%) of the Fair Market Value of a share of Stock on the effective date of grant of the Option.  Notwithstanding the foregoing, an Option (whether an Incentive Stock Option or a Nonstatutory Stock Option) may be granted with an exercise price lower than the minimum exercise price set forth above if such Option is granted 

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pursuant to an assumption or substitution for another option in a manner qualifying under the provisions of Sections 409A and 424(a) of the Code.
6.2    Exercisability and Term of Options.  Options shall be exercisable at such time or times, or upon such event or events, and subject to such terms, conditions, performance criteria and restrictions as shall be determined by the Committee and set forth in the Award Agreement evidencing such Option; provided, however, that (a) no Option shall be exercisable after the expiration of  seven (7) years after the effective date of grant of such Option, and (b) no Incentive Stock Option granted to a Ten Percent Owner shall be exercisable after the expiration of five (5) years after the effective date of grant of such Option.  Subject to the foregoing, unless otherwise specified by the Committee in the grant of an Option, any Option granted hereunder to an Employee, Consultant or Director shall terminate seven (7) years after the effective date of grant of the Option, unless earlier terminated in accordance with its provisions.
6.3    Payment of Exercise Price.
(a)    Forms of Consideration Authorized.  Except as otherwise provided below, payment of the exercise price for the number of shares of Stock being purchased pursuant to any Option shall be made (i) in cash, by check or cash equivalent, (ii) by tender to the Company, or attestation to the ownership, of shares of Stock owned by the Participant having a Fair Market Value not less than the exercise price, (iii) by delivery of a properly executed notice of exercise together with irrevocable instructions to a broker providing for the assignment to the Company of the proceeds of a sale or loan with respect to some or all of the shares being acquired upon the exercise of the Option (including, without limitation, through an exercise complying with the provisions of Regulation T as promulgated from time to time by the Board of Governors of the Federal Reserve System) (a “Cashless Exercise”), (iv) by a “net exercise” arrangement pursuant to which the Company will reduce the number of shares of Stock issued upon exercise by the largest whole number of shares with a Fair Market Value that does not exceed the aggregate exercise price; provided, however, that the Company shall accept a cash or other payment from the Participant to the extent of any remaining balance of the aggregate exercise price not satisfied by such reduction in the number of whole shares to be issued; provided further, however, that shares of Stock will no longer be outstanding under an Option and will not be exercisable thereafter to the extent that (A) shares are used to pay the exercise price pursuant to the “net exercise,” (B) shares are delivered to the Participant as a result of such exercise, and (C) shares are withheld to satisfy tax withholding obligations; or (v) by such other consideration as may be approved by the Committee from time to time to the extent permitted by applicable law, or (v) by any combination thereof.  The Committee may at any time or from time to time grant Options which do not permit all of the foregoing forms of consideration to be used in payment of the exercise price or which otherwise restrict one or more forms of consideration.
(b)    Limitations on Forms of Consideration.
(i)    Tender of Stock.  Notwithstanding the foregoing, an Option may not be exercised by tender to the Company, or attestation to the ownership, of shares of Stock to the extent such tender or attestation would constitute a violation of the provisions of 

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any law, regulation or agreement restricting the redemption of the Company’s stock.  Unless otherwise provided by the Committee, an Option may not be exercised by tender to the Company, or attestation to the ownership, of shares of Stock unless such shares either have been owned by the Participant for more than six (6) months (or such longer or shorter period as necessary to avoid a charge to earnings for financial accounting purposes) and not used for another Option exercise by attestation during any such period or were not acquired, directly or indirectly, from the Company. 
(ii)    Cashless Exercise.  The Company reserves, at any and all times, the right, in the Company’s sole and absolute discretion, to establish, decline to approve or terminate any program or procedures for the exercise of Options by means of a Cashless Exercise.
6.4    Effect of Termination of Service.  An Option shall be exercisable after a Participant’s termination of Service to such extent and during such period as determined by the Committee, in its discretion, and set forth in the Award Agreement evidencing such Option or in another written agreement between the Company and the Participant.
6.5    Transferability of Options.  During the lifetime of the Participant, an Option shall be exercisable only by the Participant or the Participant’s guardian or legal representative.  No Option shall be assignable or transferable by the Participant, except by will or by the laws of descent and distribution.  Notwithstanding the foregoing, to the extent permitted by the Committee, in its discretion, and set forth in the Award Agreement evidencing such Option, an Option shall be assignable or transferable subject to the applicable limitations, if any, described in the General Instructions to Form S‐8 Registration Statement under the Securities Act.
7.    TERMS AND CONDITIONS OF STOCK APPRECIATION RIGHTS.
SARs shall be evidenced by Award Agreements specifying the number of shares of Stock subject to the Award, in such form as the Committee shall from time to time establish.  No SAR or purported SAR shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement.  Award Agreements evidencing SARs may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions:
7.1    Types of SARs Authorized.  SARs may be granted in tandem with all or any portion of a related Option (a “Tandem SAR”) or may be granted independently of any Option (a “Freestanding SAR”).  A Tandem SAR may be granted either concurrently with the grant of the related Option or at any time thereafter prior to the complete exercise, termination, expiration or cancellation of such related Option.
7.2    Exercise Price.  The exercise price for each SAR shall be established in the discretion of the Committee; provided, however, that (a) the exercise price per share subject to a Tandem SAR shall be the exercise price per share under the related Option and (b) the 

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exercise price per share subject to a Freestanding SAR shall be not less than the Fair Market Value of a share of Stock on the effective date of grant of the SAR.
7.3    Exercisability and Term of SARs.
(a)    Tandem SARs.  Tandem SARs shall be exercisable only at the time and to the extent, and only to the extent, that the related Option is exercisable, subject to such provisions as the Committee may specify where the Tandem SAR is granted with respect to less than the full number of shares of Stock subject to the related Option.  The Committee may, in its discretion, provide in any Award Agreement evidencing a Tandem SAR that such SAR may not be exercised without the advance approval of the Company and, if such approval is not given, then the Option shall nevertheless remain exercisable in accordance with its terms.  A Tandem SAR shall terminate and cease to be exercisable no later than the date on which the related Option expires or is terminated or canceled.  Upon the exercise of a Tandem SAR with respect to some or all of the shares subject to such SAR, the related Option shall be canceled automatically as to the number of shares with respect to which the Tandem SAR was exercised.  Upon the exercise of an Option related to a Tandem SAR as to some or all of the shares subject to such Option, the related Tandem SAR shall be canceled automatically as to the number of shares with respect to which the related Option was exercised.
(b)    Freestanding SARs.  Freestanding SARs shall be exercisable at such time or times, or upon such event or events, and subject to such terms, conditions, performance criteria and restrictions as shall be determined by the Committee and set forth in the Award Agreement evidencing such SAR; provided, however, that no Freestanding SAR shall be exercisable after the expiration of eight (8) years after the effective date of grant of such SAR.
7.4    Exercise of SARs.  Upon the exercise (or deemed exercise pursuant to Section 7.5) of an SAR, the Participant (or the Participant’s legal representative or other person who acquired the right to exercise the SAR by reason of the Participant’s death) shall be entitled to receive payment of an amount for each share with respect to which the SAR is exercised equal to the excess, if any, of the Fair Market Value of a share of Stock on the date of exercise of the SAR over the exercise price.  Payment of such amount shall be made in cash, shares of Stock, or any combination thereof as determined by the Committee.  Unless otherwise provided in the Award Agreement evidencing such SAR, payment shall be made in a lump sum as soon as practicable following the date of exercise of the SAR.  The Award Agreement evidencing any SAR may provide for deferred payment in a lump sum or in installments.  When payment is to be made in shares of Stock, the number of shares to be issued shall be determined on the basis of the Fair Market Value of a share of Stock on the date of exercise of the SAR.  For purposes of Section 7, an SAR shall be deemed exercised on the date on which the Company receives notice of exercise from the Participant.
7.5    Deemed Exercise of SARs.  If, on the date on which an SAR would otherwise terminate or expire, the SAR by its terms remains exercisable immediately prior to such termination or expiration and, if so exercised, would result in a payment to the holder of such SAR, then any portion of such SAR which has not previously been exercised shall automatically be deemed to be exercised as of such date with respect to such portion.

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7.6    Effect of Termination of Service.  An SAR shall be exercisable after a Participant’s termination of Service to such extent and during such period as determined by the Committee, in its discretion, and set forth in the Award Agreement evidencing such SAR or in another written agreement between the Company and the Participant.
7.7    Nontransferability of SARs.  SARs may not be assigned or transferred in any manner except by will or the laws of descent and distribution, and, during the lifetime of the Participant, shall be exercisable only by the Participant or the Participant’s guardian or legal representative.
8.    TERMS AND CONDITIONS OF STOCK AWARDS.
Stock Awards shall be evidenced by Award Agreements specifying whether the Award is a Stock Bonus, a Stock Purchase Right or a Restricted Stock Unit, and the number of shares of Stock subject to the Award, in such form as the Committee shall from time to time establish.  No Stock Award or purported Stock Award shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement.  Award Agreements evidencing Stock Awards may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions:
8.1    Types of Stock Awards Authorized.  Stock Awards may be in the form of a Stock Bonus, a Stock Purchase Right or a Restricted Stock Unit.  Stock Awards may be granted or vest upon such conditions as the Committee shall determine, including, without limitation, service to a Participating Company or upon the attainment of one or more Performance Goals.  If either the grant of a Stock Award or the lapsing of the Restriction Period is to be contingent upon the attainment of one or more Performance Goals based on Performance Measures, the Committee shall follow procedures set forth in Section 10 if they are intended to qualify as “performance based compensation” under Section 162(m).
8.2    Purchase Price.  The purchase price for shares of Stock issuable under each Stock Purchase Right shall be established by the Committee in its discretion.  No monetary payment (other than applicable tax withholding) shall be required as a condition of receiving shares of Stock pursuant to a Stock Bonus, the consideration for which shall be services actually rendered to a Participating Company or for its benefit.  Notwithstanding the foregoing, the Participant shall furnish consideration in the form of cash or past services rendered to a Participating Company or for its benefit having a value not less than the par value of the shares of Stock subject to such Stock Award.
8.3    Purchase Period.  A Stock Purchase Right shall be exercisable within a period established by the Committee, which shall in no event exceed thirty (30) days from the effective date of the grant of the Stock Purchase Right; provided, however, that no Stock Purchase Right granted to an Employee, a Consultant or a Director may become exercisable prior to the date on which such person commences Service.
8.4    Payment of Purchase Price.  Stock Bonuses shall be issued in consideration for past services actually rendered to a Participating Company or for its benefit.  At 

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the time of grant of Restricted Stock Units, the Committee will determine the consideration, if any, to be paid by the Participant upon delivery of each share of Stock acquired pursuant to Restricted Stock Units.  Except as otherwise provided below, payment of the purchase price for the number of shares of Stock being purchased pursuant to any Stock Purchase Right or delivered pursuant to a Restricted Stock Unit shall be made (i) in cash, by check, or cash equivalent, (ii) by such other consideration as may be approved by the Committee from time to time to the extent permitted by applicable law, or (iii) by any combination thereof, in each case consistent with any requirements under applicable law regarding payment in respect of the “par value” of the Stock.  The Committee may at any time or from time to time grant Stock Purchase Rights or Restricted Stock Units which do not permit all of the foregoing forms of consideration to be used in payment of the purchase price or which otherwise restrict one or more forms of consideration.  
8.5    Vesting; Restrictions on Transfer; Deferral.  Shares issued pursuant to any Stock Award (including, without limitation, the percentage of actual achievement relative to pre-established target Performance Goals) may or may not be made subject to vesting conditioned upon the satisfaction of such Service requirements, conditions, restrictions or performance criteria, including, without limitation, a Performance Award Formula and/or Performance Goals (the “Vesting Conditions”), as shall be established by the Committee and set forth in the Award Agreement evidencing such Award.  During any period (the “Restriction Period”) in which shares acquired pursuant to a Stock Award remain subject to Vesting Conditions, such shares may not be sold, exchanged, transferred, pledged, assigned or otherwise disposed of other than pursuant to a Change of Control as provided in Section 12, or as provided in Section 8.8.  Upon request by the Company, each Participant shall execute any agreement evidencing such transfer restrictions prior to the receipt of shares of Stock hereunder and shall promptly present to the Company any and all certificates representing shares of Stock acquired hereunder for the placement on such certificates of appropriate legends evidencing any such transfer restrictions. Restricted Stock Units may be subject to such conditions that may delay the delivery of the shares of Stock (or their cash equivalent) subject to Restricted Stock Units after the vesting of such Award. 
8.6    Voting Rights; Dividends and Distributions.  Except as provided in this Section, Section 8.5 and any Award Agreement, during the Restriction Period applicable to shares subject to a Stock Bonus or Restricted Stock Purchase Right, the Participant shall have all of the rights of a stockholder of the Company holding shares of Stock, including the right to vote such shares and to receive all dividends and other distributions paid with respect to such shares.  With respect to Restricted Stock Units, the Committee may, in its sole discretion, provide that dividend equivalents shall not be paid or provide either for the current payment of dividend equivalents or for the accumulation and payment of dividend equivalents to the extent that the Restricted Stock Units become nonforfeitable.  In the event of a dividend or distribution paid in shares of Stock or any other adjustment made upon a change in the capital structure of the Company as described in Section 4.2, then any and all new, substituted or additional securities or other property (other than normal cash dividends) to which the Participant is entitled by reason of the Participant’s Stock Award shall be immediately subject to the same Vesting Conditions 

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and, if applicable, deferral elections as the shares subject to the Stock Award with respect to which such dividends or distributions were paid or adjustments were made.
8.7    Effect of Termination of Service.  Unless otherwise provided by the Committee in the grant of a Stock Award and set forth in the Award Agreement or in another written agreement between the Company and the Participant, if a Participant’s Service terminates for any reason, whether voluntary or involuntary (including the Participant’s death or disability), then (i) the Company shall have the option to repurchase for the purchase price paid by the Participant any shares acquired by the Participant pursuant to a Stock Purchase Right which remain subject to Vesting Conditions as of the date of the Participant’s termination of Service, (ii) the Participant shall forfeit to the Company any shares acquired by the Participant pursuant to a Stock Bonus which remain subject to Vesting Conditions as of the date of the Participant’s termination of Service and (iii) the Participant shall forfeit all rights in any portion of a Restricted Stock Unit award that has not vested as of the date of the Participant’s termination of Service.  The Company shall have the right to assign at any time any repurchase right it may have, whether or not such right is then exercisable, to one or more persons as may be selected by the Company.
8.8    Nontransferability of Stock Award Rights.  Rights to acquire shares of Stock pursuant to a Stock Award may not be subject in any manner to anticipation, alienation, sale, exchange, transfer, assignment, pledge, encumbrance or garnishment by creditors of the Participant or the Participant’s beneficiary, except by will or the laws of descent and distribution, and, during the lifetime of the Participant, shall be exercisable only by the Participant or the Participant’s guardian or legal representative.
9.    TERMS AND CONDITIONS OF PERFORMANCE AWARDS.  Performance Awards shall be evidenced by Award Agreements in such form as the Committee shall from time to time establish.  No Performance Award or purported Performance Award shall be a valid and binding obligation of the Company unless evidenced by a fully executed Award Agreement.  Award Agreements evidencing Performance Awards may incorporate all or any of the terms of the Plan by reference and shall comply with and be subject to the following terms and conditions:
9.1    Types of Performance Awards Authorized.  Performance Awards may be in the form of either Performance Shares or Performance Units.  Each Award Agreement evidencing a Performance Award shall specify the number of Performance Shares or Performance Units subject thereto, the Performance Award Formula, the Performance Goal(s) and Performance Period applicable to the Award, and the other terms, conditions and restrictions of the Award.  Awards intended to qualify as “performance based compensation” under Section 162(m) shall also be subject to the provisions of Section 10.
9.2    Initial Value of Performance Shares and Performance Units.  Unless otherwise provided by the Committee in granting a Performance Award, each Performance Share shall have an initial value equal to the Fair Market Value of one (1) share of Stock, subject to adjustment as provided in Section 4.2, on the effective date of grant of the Performance Share, and each Performance Unit shall have an initial value of one hundred dollars ($100).  The final 

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value payable to the Participant in settlement of a Performance Award determined on the basis of the applicable Performance Award Formula will depend on the extent to which Performance Goals established by the Committee are attained within the applicable Performance Period established by the Committee.
9.3    Establishment of Performance Period, Performance Goals and Performance Award Formula.  In granting each Performance Award, the Committee shall establish in writing the applicable Performance Period, Performance Award Formula and one or more Performance Goals which, when measured at the end of the Performance Period, shall determine on the basis of the Performance Award Formula the final value of the Performance Award to be paid to the Participant.  The Company shall notify each Participant granted a Performance Award of the terms of such Award, including the Performance Period, Performance Goal(s) and Performance Award Formula.
9.4    Measurement of Performance Goals.  The Performance Goals shall be established by the Committee on the basis of achievement of Company-wide, divisional, or individual goals, applicable federal or state securities laws, or any other basis determined by the Committee in its discretion, except with respect to Awards intended to qualify as “performance based compensation” under Section 162(m), in which case the provisions of Section 10 will apply thereto.  Performance Goals may include a minimum, maximum, target level and intermediate levels of performance, with the final value of a Performance Award determined under the applicable Performance Award Formula by the level attained during the applicable Performance Period.  A Performance Goal may be stated as an absolute value or as a value determined relative to a standard selected by the Committee.  Performance Goals may differ from Participant to Participant and from Award to Award.  
9.5    Settlement of Performance Awards.
(a)    Determination of Final Value.  As soon as practicable following the completion of the Performance Period applicable to a Performance Award, the Committee shall determine the extent to which the applicable Performance Goals have been attained and the resulting final value of the Award earned by the Participant and to be paid upon its settlement in accordance with the applicable Performance Award Formula.
(b)    Discretionary Adjustment of Award Formula.  In its discretion, the Committee may, either at the time it grants a Performance Award or at any time thereafter, provide for the positive or negative adjustment of the Performance Award Formula applicable to a Performance Award granted to any Participant to reflect such Participant’s individual performance in his or her position with the Company or such other factors as the Committee may determine, except with respect to Awards intended to qualify as “performance based compensation” under Section 162(m), in which case the provisions of Section 10 will apply thereto.  If permitted under a Participant’s Award Agreement, the Committee shall have the discretion, on the basis of such criteria as may be established by the Committee, to reduce some or all of the value of the Performance Award that would otherwise be paid to the Participant upon its settlement notwithstanding the attainment of any Performance Goal and the resulting value of the Performance Award determined in accordance with the Performance Award Formula.  

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(c)    Effect of Leaves of Absence.  Unless otherwise required by law, payment of the final value, if any, of a Performance Award held by a Participant who has taken in excess of thirty (30) days of leaves of absence during a Performance Period shall be prorated on the basis of the number of days of the Participant’s Service during the Performance Period during which the Participant was not on a leave of absence.
(d)    Notice to Participants.  As soon as practicable following the Committee’s determination in accordance with Sections 9.5(a) and (b), the Company shall notify each Participant of the determination of the Committee.
(e)    Payment in Settlement of Performance Awards.  As soon as practicable following the Committee’s determination in accordance with Sections 9.5(a) and (b), payment shall be made to each eligible Participant (or such Participant’s legal representative or other person who acquired the right to receive such payment by reason of the Participant’s death) of the final value of the Participant’s Performance Award.  Payment of such amount shall be made in cash, shares of Stock, or a combination thereof as determined by the Committee.  Unless otherwise provided in the Award Agreement evidencing a Performance Award, payment shall be made in a lump sum.  An Award Agreement may provide for deferred payment in a lump sum or in installments at the election of the Participant or otherwise.  If any payment is to be made on a deferred basis, the Committee may, but shall not be obligated to, provide for the payment during the deferral period of Dividend Equivalents or interest.
(f)    Provisions Applicable to Payment in Shares.  If payment is to be made in shares of Stock, the number of such shares shall be determined by dividing the final value of the Performance Award by the value of a share of Stock determined by the method specified in the Award Agreement.  Such methods may include, without limitation, the closing market price on a specified date (such as the settlement date) or an average of market prices over a series of trading days.  Shares of Stock issued in payment of any Performance Award may be fully vested and freely transferable shares or may be shares of Stock subject to Vesting Conditions as provided in Section 8.5.  Any shares subject to Vesting Conditions shall be evidenced by an appropriate Award Agreement and shall be subject to the provisions of Sections 8.5 through 8.8 above.
9.6    Dividend Equivalents.  In its discretion, the Committee may provide in the Award Agreement evidencing any Performance Share Award that the Participant shall be entitled to receive Dividend Equivalents with respect to the payment of cash dividends on Stock having a record date prior to the date on which the Performance Shares are settled or forfeited.  Dividend Equivalents may be paid currently or may be accumulated and paid to the extent that Performance Shares become nonforfeitable, as determined by the Committee.  Settlement of Dividend Equivalents may be made in cash, shares of Stock, or a combination thereof as determined by the Committee, and may be paid on the same basis as settlement of the related Performance Share as provided in Section 9.5.  Dividend Equivalents shall not be paid with respect to Performance Units.
9.7    Effect of Termination of Service.  The effect of a Participant’s termination of Service on the Participant’s Performance Award shall be as determined by the 

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Committee, in its discretion, and set forth in the Award Agreement evidencing such Performance Award or in another written agreement between the Company and the Participant.
9.8    Nontransferability of Performance Awards.  Prior to settlement in accordance with the provisions of the Plan, no Performance Award may be subject in any manner to anticipation, alienation, sale, exchange, transfer, assignment, pledge, encumbrance, or garnishment by creditors of the Participant or the Participant’s beneficiary, except by will or by the laws of descent and distribution.  All rights with respect to a Performance Award granted to a Participant hereunder shall be exercisable during his or her lifetime only by such Participant or the Participant’s guardian or legal representative.
10.    PERFORMANCE-BASED COMPENSATION UNDER CODE SECTION 162(M).
10.1    General.  If the Committee, which is constituted to comply with Section 3.4, in its discretion, decides to grant an Award intended to qualify as “performance-based compensation” under Section 162(m), the provisions of this Section 10 will control over any contrary provision in the Plan; provided, however, nothing in this Section 10 will prohibit the ability of a Committee in its discretion to grant Awards that are not intended to qualify as “performance-based compensation” under Section 162(m) to such Participants that are based on Performance Goals or other specific criteria or goals, but that do not satisfy the requirements of this Section 10.
10.2    Performance Goals.  The granting and/or vesting of Stock Awards or Awards of Performance Shares or Performance Units may be made subject to the attainment of Performance Goals relating to one or more measures of business or financial performance (each, a “Performance Measure”), which may include one or more of the following, as determined by the Committee:
(i)    growth in revenue or product revenue;
(ii)    recurring revenue;
(iii)    annualized recurring revenue;
(iv)    growth in the market price of the Stock;
(v)    operating margin;
(vi)    margin, including gross margin;
(vii)    operating income;
(viii)    operating income after taxes;
(ix)    operating profit or net operating profit;

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(x)    pre-tax profit;
(xi)    earnings before interest, taxes and depreciation;
(xii)    earnings before interest, taxes, depreciation and amortization;
(xiii)    income, before or after taxes (including net income);
(xiv)    total return on shares of Stock or total stockholder return;
(xv)    earnings, including but not limited to earnings per share and net earnings;
(xvi)    return on stockholder equity or average stockholders’ equity;
(xvii)    return on net assets; 
(xviii)    return on assets, investment or capital employed;
(xix)    expenses;
(xx)    cost reduction goals;
(xxi)    return on capital;
(xxii)    economic value added;
(xxiii)    market share; 
(xxiv)    operating cash flow;
(xxv)    cash flow, as indicated by book earnings before interest, taxes, depreciation and amortization;
(xxvi)    cash flow per share;
(xxvii)    improvement in or attainment of working capital levels;
(xxviii)     debt reduction;
(xxix)    debt levels;
(xxx)    capital expenditures;
(xxxi)    sales or revenue targets, including product or product family targets;

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(xxxii)    bookings;
(xxxiii)     billings;
(xxxiv)     workforce diversity;
(xxxv)    customer satisfaction;
(xxxvi)     implementation or completion of projects or processes;
(xxxvii)    improvement in or attainment of working capital levels; 
(xxxviii)    stockholders’ equity; and
(xxxix)    other measures of performance selected by the Committee to the extent consistent with Section 162(m).
10.3    Performance Goals Based on Performance Measures.  
(a)    Determination of Performance Goals Based on Performance Measures.  Performance Goals based on Performance Measures may differ from Participant to Participant and from Award to Award.  In establishing a Performance Goal based on Performance Measures, the Committee may provide that performance shall be appropriately adjusted as follows: 
(i)    to include or exclude restructuring and/or other nonrecurring charges;
(ii)    to include or exclude exchange rate effects, as applicable, for non-U.S. dollar denominated Performance Goals; 
(iii)    to include or exclude the effects of changes to generally accepted accounting principles required by the Financial Accounting Standards Board; 
(iv)    to include or exclude the effects of any statutory adjustments to corporate tax rates; 
(v)    to include or exclude the effects of any “extraordinary items” as determined under generally accepted accounting principles; 
(vi)    to include or exclude the effect of payment of bonuses under any cash bonus plan of the Company;
(vii)    to include or exclude the effect of stock based compensation and/or deferred compensation;
(viii)    to include or exclude any other unusual, non-recurring gain or loss or other extraordinary item; 

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(ix)    to respond to, or in anticipation of, any unusual or extraordinary corporate item, transaction, event or development; 
(x)    to respond to, or in anticipation of, changes in applicable laws, regulations, accounting principles, or business conditions; to include or exclude the effects of divestitures, acquisitions or joint ventures; 
(xi)    to include or exclude the effects on reported financial results of changes in accounting treatment for certain transactions as a result of business model changes;
(xii)    to include or exclude the effects of discontinued operations that do not qualify as a segment of a business unit under generally accepted accounting principles;
(xiii)    to assume that any business divested by the Company achieved performance objectives at targeted levels during the balance of a Performance Period following such divestiture; 
(xiv)    to include or exclude the effect of any change in the outstanding shares of Stock by reason of any stock dividend or split, stock repurchase, reorganization, recapitalization, merger, consolidation, spin-off, combination or exchange of shares or other similar corporate change, or any distributions to common shareholders other than regular cash dividends;
(xv)    to reflect a corporate transaction, such as a merger, consolidation, separation (including a spinoff or other distribution of stock or property by a corporation), or reorganization (whether or not such reorganization comes within the definition of such term in Section 368 of the Code); 
(xvi)    to reflect any partial or complete corporate liquidation;
(xvii)    to reflect shippable backlog; and
(xviii)    to include or exclude the amortization of purchased intangibles, technology license arrangements and incomplete technology.
An Award may contain provisions for achievement of Performance Goals that are not based on Performance Measures (“Non-Performance Measure Goals”), but achievement, or non-achievement of any such Performance Goals may only operate to reduce the amount of an actual Award determined based on achievement of Performance Goals that are based on Performance Measures.  That is, achievement of Non-Performance Measure Goals shall be viewed as an act of negative discretion by the Committee for purposes of determining an actual Award.
(b)    Procedures.  To the extent necessary to comply with the performance-based compensation provisions of Section 162(m), with respect to any Award granted subject to Performance Goals based on Performance Measures and intended to qualify as 

-23-

“performance-based compensation” under Section 162(m), within the first twenty-five percent (25%) of the Performance Period, but in no event more than ninety (90) days following the commencement of any Performance Period (or such other time as may be required or permitted by Section 162(m)), the Committee will, in writing, (i) designate one or more Participants to whom an Award will be made, (ii) select the Performance Goals based on Performance Measures applicable to the Performance Period, (iii) establish the Performance Goals based on Performance Measures, and amounts of such Awards, as applicable, which may be earned for such Performance Period, (iv) specify the relationship between Performance Goals based on Performance Measures and the amounts of such Awards, as applicable, to be earned by each Participant for such Performance Period, and (v) provide for such other terms and conditions as the Committee may determine that would not otherwise cause Awards to cease to qualify as “performance based compensation” under Section 162(m).
(c)    Additional Limitations.  Notwithstanding any other provision of the Plan, any Award which is granted to a Participant and is intended to constitute qualified performance-based compensation under Section 162(m) will be subject to any additional limitations set forth in the Code (including any amendment to Section 162(m)) or any regulations and ruling issued thereunder that are requirements for qualification as qualified performance-based compensation as described in Section 162(m), and the Plan will be deemed amended to the extent necessary to conform to such requirements.
(d)    Determination of Amounts Earned.  Following the completion of each Performance Period, the Committee will certify in writing whether the applicable Performance Goals based on Performance Measures have been achieved for such Performance Period.  A Participant will be eligible to receive payment pursuant to an Award intended to qualify as “performance-based compensation” under Section 162(m) for a Performance Period only if the Performance Goals based on Performance Measures for such period are achieved.  In determining the amounts earned by a Participant pursuant to an Award intended to qualified as “performance-based compensation” under Section 162(m), the Committee will have the right to (a) reduce or eliminate (but not to increase) the amount payable at a given level of performance to take into account additional factors that the Committee may deem relevant to the assessment of individual or corporate performance for the Performance Period, (b) determine what actual Award, if any, will be paid in the event of a termination of employment as the result of a Participant’s death or disability or upon a Change of Control (as defined in Section 12) or in the event of a termination of employment following a Change of Control prior to the end of the Performance Period, and (c) determine what actual Award, if any, will be paid in the event of a termination of employment other than as the result of a Participant’s death or disability prior to a Change of Control and prior to the end of the Performance Period to the extent an actual Award would have otherwise been achieved had the Participant remained employed through the end of the Performance Period.
11.    STANDARD FORMS OF AWARD AGREEMENT.
11.1    Award Agreements.  Each Award shall comply with and be subject to the terms and conditions set forth in the appropriate form of Award Agreement approved by the 

-24-

Committee and as amended from time to time.  Any Award Agreement may consist of an appropriate form of Notice of Grant and a form of Agreement incorporated therein by reference, or such other form or forms as the Committee may approve from time to time.
11.2    Authority to Vary Terms.  The Committee shall have the authority from time to time to vary the terms of any standard form of Award Agreement either in connection with the grant or amendment of an individual Award or in connection with the authorization of a new standard form or forms; provided, however, that the terms and conditions of any such new, revised or amended standard form or forms of Award Agreement are not inconsistent with the terms of the Plan. 
11.3    Clawback/Recovery.  All Awards granted under the Plan will be subject to recoupment in accordance with any clawback policy that the Company is required to adopt pursuant to the listing standards of any national securities exchange or association on which the Company’s securities are listed or as is otherwise required by the Dodd-Frank Wall Street Reform and Consumer Protection Act or other applicable law. In addition, the Committee may impose such other clawback, recovery or recoupment provisions in an Award Agreement as the Committee determines necessary or appropriate, including but not limited to a reacquisition right in respect of previously acquired shares of Common Stock or other cash or property upon the occurrence of Cause.
12.    CHANGE OF CONTROL.
12.1    Awards Granted Prior to January 24, 2008.  The following provisions shall control for Awards granted prior to January 24, 2008:
(a)    Except as otherwise provided in a Participant’s Award Agreement: 
(i)    An “Ownership Change Event” shall be deemed to have occurred if any of the following occurs with respect to the Company:  (i) the direct or indirect sale or exchange by the stockholders of the Company of all or substantially all of the voting stock of the Company; (ii) a merger or consolidation in which the Company is a party; (iii) the sale, exchange, or transfer of all or substantially all of the assets of the Company (other than a sale, exchange or transfer to one or more subsidiaries of the Company); or (iv) a liquidation or dissolution of the Company.
(ii)    A “Change in Control” shall mean an Ownership Change Event or series of related Ownership Change Events (collectively, a “Transaction”) in which the stockholders of the Company immediately before the Transaction do not retain immediately after the Transaction, direct or indirect beneficial ownership of more than fifty percent (50%) of the total combined voting power of the outstanding voting securities of the Company or, in the case of an Ownership Change Event described in Section 12.1(a)(iii), the entity to which the assets of the Company were transferred.
(b)    Effect of Change in Control on Options, SARs and Restricted Stock Units.  In the event of a Change in Control, the surviving, continuing, successor, or 

-25-

purchasing entity or parent thereof, as the case may be (the “Acquiror”), may, without the consent of any Participant, either assume the Company’s rights and obligations under outstanding Options, SARs and Restricted Stock Units or substitute for outstanding Options, SARs and Restricted Stock Units substantially equivalent equity awards for the Acquiror’s stock.  In the event the Acquiror elects not to assume or substitute for outstanding Options, SARs or Restricted Stock Units in connection with a Change in Control, the Committee shall provide that any unexercised and/or unvested portions of such outstanding Awards shall be immediately exercisable and vested in full as of the date thirty (30) days prior to the date of the Change in Control.  The exercise and/or vesting of any Option, SAR or Restricted Stock Unit that was permissible solely by reason of this paragraph 11.2 shall be conditioned upon the consummation of the Change in Control.  Any Options, SARs or Restricted Stock Units which are not assumed or replaced by the Acquiror in connection with the Change in Control nor exercised as of the time of consummation of the Change in Control shall terminate and cease to be outstanding effective as of the time of consummation of the Change in Control.
(c)    Effect of Change in Control on Stock Awards.  The Committee may, in its discretion, provide in any Award Agreement evidencing a Stock Award that, in the event of a Change in Control, the lapsing of the Restriction Period applicable to the shares subject to the Stock Award held by a Participant whose Service has not terminated prior to such date shall be accelerated effective as of the date of the Change in Control to such extent as specified in such Award Agreement.  Any acceleration of the lapsing of the Restriction Period that was permissible solely by reason of this Section 12.1(c) and the provisions of such Award Agreement shall be conditioned upon the consummation of the Change in Control.  
(d)    Effect of Change in Control on Performance Awards.  The Committee may, in its discretion, provide in any Award Agreement evidencing a Performance Award that, in the event of a Change in Control, the Performance Award held by a Participant whose Service has not terminated prior to such date shall become payable effective as of the date of the Change in Control to such extent as specified in such Award Agreement.
12.2    Awards Granted On or After January 24, 2008.  The following provisions shall control for Awards granted on or after January 24, 2008:
(a)    Except as otherwise provided in a Participant’s Award Agreement, “Change of Control” shall mean a change of control of the Company of a nature that would be required to be reported in response to Item 6(e) of Schedule 14A of Regulation 14A promulgated under the Exchange Act, whether or not the Company is then subject to such reporting requirement; provided, however, that anything in this Plan to the contrary notwithstanding, a Change of Control shall be deemed to have occurred if:
(i)    any individual, partnership, firm, corporation, association, trust, unincorporated organization or other entity or person, or any syndicate or group deemed to be a person under Section 14(d)(2) of the Exchange Act, is or becomes the “beneficial owner” (as defined in Rule 13d-3 of the General Rules and Regulations under the Exchange Act), directly or indirectly, of securities of the Company representing 30% or more of the combined 

-26-

voting power of the Company’s then outstanding securities entitled to vote in the election of directors of the Company;
(ii)    during any period of two (2) consecutive years, individuals who at the beginning of such period constituted the Board and any new directors, whose election by the Board or nomination for election by the Company’s stockholders was approved by a vote of at least three-fourths (3/4ths) of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved (the “Incumbent Directors”), cease for any reason to constitute a majority thereof;
(iii)    there occurs a reorganization, merger, consolidation or other corporate transaction involving the Company (a “Transaction”), in each case with respect to which the stockholders of the Company immediately prior to such Transaction do not, immediately after the Transaction, own securities representing more than 50% of the combined voting power of the Company, a parent of the Company or other corporation resulting from such Transaction (counting, for this purpose, only those securities held by the Company’s stockholders immediately after the Transaction that were received in exchange for, or represent their continuing ownership of, securities of the Company held by them immediately prior to the Transaction); 
(iv)    all or substantially all of the assets of the Company are sold, liquidated or distributed; or 
(v)    there is a “Change of Control” or a “change in the effective control” of the Company within the meaning of Section 280G of the Code and the regulations promulgated thereunder.
(b)    The Committee or the Board may, in its discretion, provide in any Award Agreement, severance plan or other individual agreement, that, in the event of a Change of Control of the Company, the Award held by a Participant shall become vested, exercisable and/or payable to such extent as specified in such document.  
(c)    In the event of a Change of Control, the surviving, continuing, successor, or purchasing entity or parent thereof, as the case may be (the “Acquiror”), may, without the consent of any Participant, either assume the Company’s rights and obligations under outstanding Awards or substitute for outstanding Awards substantially equivalent equity awards for the Acquiror’s stock.  In the event the Acquiror elects not to assume or substitute for outstanding Awards in connection with a Change of Control, any unexercised and/or unvested portions of such outstanding Awards shall become immediately exercisable and vested in full as of immediately prior to the effective date of the Change of Control.  The exercise and/or vesting of any Award that was permissible solely by reason of this paragraph 11.2 shall be conditioned upon the consummation of the Change in Control.  Any Awards which are not assumed or replaced by the Acquiror in connection with the Change of Control nor exercised as of the time of consummation of the Change of Control shall terminate and cease to be outstanding effective as of the time of consummation of the Change of Control.

-27-

13.    COMPLIANCE WITH SECURITIES LAW.
13.1    The grant of Awards and the issuance of shares of Stock pursuant to any Award shall be subject to compliance with all applicable requirements of federal, state and foreign law with respect to such securities and the requirements of any stock exchange or market system upon which the Stock may then be listed.  In addition, no Award may be exercised or shares issued pursuant to an Award unless (i) a registration statement under the Securities Act shall at the time of such exercise or issuance be in effect with respect to the shares issuable pursuant to the Award or (ii) in the opinion of legal counsel to the Company, the shares issuable pursuant to the Award may be issued in accordance with the terms of an applicable exemption from the registration requirements of the Securities Act.  The inability of the Company to obtain from any regulatory body having jurisdiction the authority, if any, deemed by the Company’s legal counsel to be necessary to the lawful issuance and sale of any shares hereunder shall relieve the Company of any liability in respect of the failure to issue or sell such shares as to which such requisite authority shall not have been obtained.  As a condition to issuance of any Stock, the Company may require the Participant to satisfy any qualifications that may be necessary or appropriate, to evidence compliance with any applicable law or regulation and to make any representation or warranty with respect thereto as may be requested by the Company.
13.2    If the exercise of an Award, or the purchase or delivery of shares of Stock subject to an Award, following the termination of the Participant’s Service would be prohibited at any time during the applicable post-termination period solely because the issuance of shares of Stock would violate the registration requirements under the Securities Act, then the Award shall terminate on the earlier of (i) the expiration of a period of three (3) months after the termination of the Participant’s Service during which the exercise of the Award would not be in violation of such registration requirements, or (ii) the expiration of the term of the Award as set forth in the Award Agreement.
14.    TAX WITHHOLDING.
14.1    Tax Withholding in General.  Unless prohibited by applicable law, the Company shall have the right to deduct from any and all payments made under the Plan, or to require the Participant, through payroll withholding, cash payment or otherwise, including by means of a Cashless Exercise of an Option, to make adequate provision for, the federal, state, local and foreign taxes, if any, required by law to be withheld by the Participating Company Group with respect to an Award or the shares acquired pursuant thereto.  The Company shall have no obligation to deliver shares of Stock, to release shares of Stock from an escrow established pursuant to an Award Agreement, or to make any payment in cash under the Plan until the Participating Company Group’s tax withholding obligations have been satisfied by the Participant.
14.2    Withholding in Shares.  Unless prohibited by applicable law, the Company shall have the right, but not the obligation, to deduct from the shares of Stock issuable to a Participant upon the exercise or settlement of an Award, or to accept from the Participant the tender of, a number of whole shares of Stock having a Fair Market Value, as determined by the Company, equal to all or any part of the tax withholding obligations of the Participating 

-28-

Company Group.  The Fair Market Value of any shares of Stock withheld or tendered to satisfy any such tax withholding obligations shall not exceed the amount determined by the applicable minimum statutory withholding rates.
15.    TERMINATION OR AMENDMENT OF PLAN.
The Committee may terminate or amend the Plan at any time.  However, without the approval of the Company’s stockholders, there shall be (a) no increase in the maximum aggregate number of shares of Stock that may be issued under the Plan (except by operation of the provisions of Section 4.2), (b) no change in the class of persons eligible to receive Incentive Stock Options, and (c) no other amendment of the Plan that would require approval of the Company’s stockholders under any applicable law, regulation or rule.  No termination or amendment of the Plan shall affect any then outstanding Award unless expressly provided by the Committee.  In any event, no termination or amendment of the Plan may adversely affect any then outstanding Award without the consent of the Participant, unless such termination or amendment is necessary to comply with any applicable law, regulation or rule.
16.    MISCELLANEOUS PROVISIONS.
16.1    Repurchase Rights.  Shares issued under the Plan may be subject to one or more repurchase options, or other conditions and restrictions as determined by the Committee in its discretion at the time the Award is granted.  The Company shall have the right to assign at any time any repurchase right it may have, whether or not such right is then exercisable, to one or more persons as may be selected by the Company.  Upon request by the Company, each Participant shall execute any agreement evidencing such transfer restrictions prior to the receipt of shares of Stock hereunder and shall promptly present to the Company any and all certificates representing shares of Stock acquired hereunder for the placement on such certificates of appropriate legends evidencing any such transfer restrictions.
16.2    Provision of Information.  Each Participant shall be given access to information concerning the Company equivalent to that information generally made available to the Company’s common stockholders.
16.3    Rights as Employee, Consultant or Director.  No person, even though eligible pursuant to Section 5, shall have a right to be selected as a Participant, or, having been so selected, to be selected again as a Participant.  Nothing in the Plan or any Award granted under the Plan shall confer on any Participant a right to remain an Employee, a Consultant or a Director, or interfere with or limit in any way any right of a Participating Company to terminate the Participant’s Service at any time.  To the extent that an Employee of a Participating Company other than the Company receives an Award under the Plan, that Award can in no event be understood or interpreted to mean that the Company is the Employee’s employer or that the Employee has an employment relationship with the Company.
16.4    Rights as a Stockholder.  A Participant shall have no rights as a stockholder with respect to any shares covered by an Award until the date of the issuance of such shares (as evidenced by the appropriate entry on the books of the Company or of a duly 

-29-

authorized transfer agent of the Company).  No adjustment shall be made for dividends, distributions or other rights for which the record date is prior to the date such shares are issued, except as provided in Section 4.2 or another provision of the Plan.
16.5    Fractional Shares.  The Company shall not be required to issue fractional shares upon the exercise or settlement of any Award.
16.6    Beneficiary Benefits.  Subject to local laws and procedures, the Company may request appropriate written documentation from a trustee or other legal representative, court, or similar legal body, regarding any benefit under the Plan to which the Participant is entitled in the event of such Participant’s death before such representative shall be entitled to act on behalf of the Participant and before a beneficiary receives any or all of such benefit.  
16.7    Unfunded Obligation.  Participants shall have the status of general unsecured creditors of the Company.  Any amounts payable to Participants pursuant to the Plan shall be unfunded and unsecured obligations for all purposes, including, without limitation, Title I of the Employee Retirement Income Security Act of 1974.  No Participating Company shall be required to segregate any monies from its general funds, or to create any trusts, or establish any special accounts with respect to such obligations.  The Company shall retain at all times beneficial ownership of any investments, including trust investments, which the Company may make to fulfill its payment obligations hereunder.  Any investments or the creation or maintenance of any trust or any Participant account shall not create or constitute a trust or fiduciary relationship between the Committee, the Officer Committee or any Participating Company and a Participant, or otherwise create any vested or beneficial interest in any Participant or the Participant’s creditors in any assets of any Participating Company.  The Participants shall have no claim against any Participating Company for any changes in the value of any assets which may be invested or reinvested by the Company with respect to the Plan.
16.8    Section 409A. It is intended that all of the benefits and payments provided under this Plan satisfy, to the greatest extent possible, the exemptions from the application of Code Section 409A (together, with any state law of similar effect, “Section 409A”) provided under Treasury Regulations Sections 1.409A 1(b)(4), 1.409A 1(b)(5), 1.409A-1(b)(6) and 1.409A 1(b)(9), and this Plan will be construed to the greatest extent possible as consistent with those provisions.  To the extent not so exempt, this Plan and the payments and benefits to be provided hereunder are intended to, and will be construed and implemented so as to, comply in all respects with the applicable provisions of Section 409A.  For purposes of Section 409A (including, without limitation, for purposes of Treasury Regulation Section 1.409A 2(b)(2)(iii)), any right to receive any installment payments under this Plan shall be treated as a right to receive a series of separate payments and, accordingly, each installment payment hereunder shall at all times be considered a separate and distinct payment.  
To the extent that the Committee determines that any Award granted under the Plan is, or may reasonably be, subject to Section 409A, the Award Agreement evidencing such Award shall incorporate the terms and conditions necessary to avoid the consequences described in Section 409A(a)(1) of the Code (or any similar provision).  Such terms and conditions shall include, without limitation, the following provision (or comparable provision of similar effect):  

-30-

“To the extent that (i) one or more of the payments or benefits received or to be received by a Participant upon “separation from service” (as defined under Treasury Regulation Section 1.409A-1(h) without regard to alternative definitions thereunder) pursuant to this Plan would constitute deferred compensation subject to the requirements of Section 409A, and (ii) the Participant is a “specified employee” within the meaning of Section 409A at the time of separation from service, then to the extent delayed commencement of any portion of such payments or benefits is required in order to avoid a prohibited distribution under Section 409A(a)(2)(B)(i) and the related adverse taxation under Section 409A, such payments and benefits shall not be provided to the Participant prior to the earliest of (i) the expiration of the six-month period measured from the date of separation from service, (ii) the date of the Participant’s death or (iii) such earlier date as permitted under Section 409A without the imposition of adverse taxation on the Participant.  Upon the first business day following the expiration of such applicable Section 409A(a)(2)(B)(i) period, all payments and benefits deferred pursuant to this paragraph shall be paid in a lump sum to the Participant, and any remaining payments and benefits due shall be paid as otherwise provided herein.”  If an Award Agreement is silent as to such provision, the foregoing provision is hereby incorporated by reference directly into such Award Agreement.
In addition, and notwithstanding any provision of the Plan to the contrary, in the event that the Committee determines that any Award is, or may reasonably be, subject to Section 409A and related Department of Treasury guidance (including such Department of Treasury guidance issued from time to time) or contains any ambiguity as to the application of Section 409A, the Committee may, without the Participant’s consent, adopt such amendments to the Plan and the applicable Award Agreement or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the Committee determines are necessary or appropriate to (A) exempt (or clarify the exemption of) the Award from Section 409A, (B) preserve the intended tax treatment of the benefits provided with respect to the Award, and/or (C) comply with the requirements of Section 409A and related Department of Treasury guidance.
Notwithstanding anything to the contrary contained herein, neither the Company nor any of its Affiliates shall be responsible for, or required to reimburse or otherwise make any Participant whole for, any tax or penalty imposed on, or losses incurred by, any Participant that arises in connection with the potential or actual application of Section 409A to any Award granted hereunder. 

-31-Exhibit 10.1

 

 

AGREEMENT FOR SALE AND PURCHASE

AND JOINT ESCROW INSTRUCTIONS

BY AND BETWEEN

MANSFIELD SEQ 287 & DEBBIE, LTD.,

a Texas limited partnership,

as Seller

AND

INLAND REAL ESTATE ACQUISITIONS, INC.,

an Illinois corporation,

as Purchaser

 

 

    	 

    	 

    

TABLE
OF CONTENTS

 

	1.	Certain Definitions	1
	 	 	 	 
	2.	Property	8
	 	 	 	 
	3	Purchase Price	8
	 	(a)	Deposit	8
	 	(b)	Treatment of Deposit	8
	 	(c)	Additional Escrow Instructions	8
	 	 	 	 
	4.	Seller’s Deliveries	9
	 	 	 	
	5.	Title; Survey	9
	 	(a)	Title Commitment	9
	 	(b)	Survey	9
	 	(c)	Title Objections	9
	 	 	 	 
	6.	Purchaser’s Due Diligence	11
	 	(a)	Due Diligence Investigation/Matters	11
	 	(b)	Independent Judgment	11
	 	(c)	Access	12
	 	(d)	Indemnity and Insurance	13
	 	(e)	Approved Service Contracts	14
	 	(f)	Service Contract Termination	14
	 	(g)	Survival	15
	 	 	 	 
	7.	Closing	15
	 	 	 	 
	8.	Seller’s Closing Conditions	15
	 	(a)	Seller’s Conditions to Closing	15
	 	(b)	Failure of Seller’s Closing Conditions	16
	 	 	 	 
	9.	Purchaser’s Closing Conditions	16
	 	(a)	Purchaser’s Conditions to Closing	16
	 	(b)	Failure of Purchaser’s Closing Conditions	17
	 	 	 	 
	10.	Costs	18
	 	(a)	Purchaser’s Costs	18
	 	(b)	Seller’s Costs	18
	 	(c)	Prorations and Adjustments	18
	 	(d)	Items to be Paid by Seller	22
	 	(e)	Survival	22

    	i

    	 

    

 

	 	 	 	 
	11.	Closing Deliveries	22
	 	(a)	Purchaser’s Deliveries	22
	 	(b)	Seller’s Deliveries	23
	 	 	 	 
	12.	Representations, Warranties and Covenants/As Is Purchase /Release of Claims	24
	 	(a)	Seller’s Representations and Warranties	24
	 	(b)	Covenants and Agreements	27
	 	(c)	“As Is,” “Where Is” Purchase	28
	 	(d)	Purchaser’s Representations and Warranties	30
	 	(e)	Leasing Approvals	31
	 	 	 	 
	13.	Post-Closing Indemnity	31
	 	(a)	Purchaser’s Obligations	31
	 	(b)	Seller’s Obligations	32
	 	(c)	Survival	32
	 	 	 	 
	14.	Risk of Loss	32
	 	(a)	Condemnation	32
	 	(b)	Damage or Destruction	32
	 	 	 	 
	15.	Default and Remedies	33
	 	(a)	Purchaser’s Default and Seller’s Remedies	33
	 	(b)	Seller’s Default and Purchaser’s Remedies	33
	 	(c)	Consequential Damages, etc.	33
	 	 	 	 
	16.	Duties of Escrow Agent	34
	 	 	 	 
	17.	Assignment	34
	 	 	 	 
	18.	Notice	34
	 	 	 	 
	19.	Real Estate Commission	36

    	ii

    	 

    

 

	 	 	 	 
	20.	General Provisions	36
	 	(a)	Time	36
	 	(b)	Attorneys’ and Other Fees	36
	 	(c)	Counterparts/Facsimile Transmissions	37
	 	(d)	Computation of Time Periods	37
	 	(e)	Construction	37
	 	(f)	Entire Agreement	37
	 	(g)	No Partnership	37
	 	(h)	Unenforceability of Any Provision	38
	 	(j)	Legal Construction	38
	 	(j)	No Survival of Closing	38
	 	(k)	Parties Bound	38
	 	(l)	Further Assurances	38
	 	(m)	Modification/Waiver	38
	 	(n)	Texas Law	38
	 	 	 	 
	21.	No Memorandum	39
	 	 	 	 
	22.	Tax Deferred Exchange	39
	 	 	 	 
	23.	Public Disclosure	39
	 	 	 	 
	24.	Waiver of Jury Trial	39

 

	List of Exhibits:	 
	Exhibit A	Legal Description of Real Property
	Exhibit A-1	Separate Outparcel
	Exhibit B	List of Service Contracts
	Exhibit C	Form of Special Warranty Deed
	Exhibit D	Seller’s Deliveries (Exhibit D-1, Due Diligence Checklist)
	Exhibit E	Pre-Approved Tests
	Exhibit F	Form of Lease Assignment
	Exhibit G	Form of Contract Assignment
	Exhibit H	Form of Tenant’s Notice
	Exhibit I	Form of Bill of Sale and Assignment
	Exhibit J	Seller’s Representative
	Exhibit K	Certain Tangible Personal Property
	Exhibit L-1	Estoppel Certificate (Tenant Provided)
	Exhibit L-2	Estoppel Certificate (Seller Provided)
	Exhibit M	Rent Roll

 

 

    	iii

    	 

    

AGREEMENT
FOR SALE AND PURCHASE

AND JOINT ESCROW INSTRUCTIONS

THIS AGREEMENT
FOR SALE AND PURCHASE AND JOINT ESCROW INSTRUCTIONS (this "Agreement") is made and entered into as of the
Effective Date (hereinafter defined), by and between MANSFIELD SEQ 287 & DEBBIE, LTD., a Texas limited partnership ("Seller"),
(We will need an entity other than a SPE to secure post closing obligations) and INLAND REAL ESTATE ACQUISITIONS,
INC., an Illinois corporation ("Purchaser"). Seller and Purchaser are hereinafter collectively referred to
as the "Parties" and, individually, as a "Party."

R E
C I T A L S:

WHEREAS, Seller owns
that certain commercial shopping center commonly known as the "Mansfield Pointe Shopping Center " (the "Project"),
situated on the land located at the northwest corner of the intersection of U.S. Highway 287 and Home Depot Drive, in the City
of Mansfield, Tarrant County, Texas, as the same is more particularly described on Exhibit A attached hereto, together with
all easements and other rights and privileges appurtenant thereto (collectively, the "Real Property"); and

WHEREAS, pursuant
to the terms and conditions hereof, Seller desires to sell and convey to Purchaser, and Purchaser desires to purchase from Seller,
the Property (as defined below).

A G
R E E M E N T

NOW, THEREFORE,
for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged and confessed, and in consideration
of the mutual promises, covenants, conditions and agreements contained herein, the Parties hereby agree as follows:

1.                 
Certain Definitions. For purposes of this Agreement, defined terms will be indicated by initial capital letters and
will have the meanings set forth herein. As used in this Agreement, the following terms have the meanings set forth below:

"Affiliate(s)"
means, with respect to any person, any other person controlled by, controlling or under common control with such person. The term
"person" as used throughout this Agreement will be interpreted broadly to include, without limitation, any individual,
trust, corporation, company, partnership, limited liability company, professional association, governmental or quasi-governmental
authority or any political subdivision thereof or any other type of entity. The term "control" (including all inflected
forms thereof) means the possession, directly or indirectly, of the power to direct or cause the direction of the management and
policies of any person, whether through ownership of voting securities or otherwise.

"Agreement"
has the meaning set forth in the preamble hereto.

    	1

    	 

    

"Approved
Service Contract(s)" has the meaning set forth in subsection 6(e).

"Bill of Sale"
has the meaning set forth in subsection 11(b)(v).

"Business
Day" means a day other than Saturday, Sunday or any day on which: (i) federally insured banks are closed; or (ii) the
Office of the Dallas County Clerk is closed.

"City"
means the City of Mansfield, Tarrant County, Texas.

"Claim"
or "Claims" mean any and all claims, costs (including attorneys' and consultants' fees and court costs), damages
(whether general, punitive or otherwise), debts, demands, expenses, liabilities, losses, actual or derivative obligations, agreements,
express or implied warranties, sums of money, accounts, bills, covenants, contracts, claims of indemnity, claims of contribution,
promises, representations, trespass, harm, injuries, threats, judgments, executions, controversies, suits, proceedings, actions
or causes of action of any kind or character whatsoever, whether at law, in equity, by statute or otherwise, whether known, unknown,
suspected or unsuspected.

"Closing"
has the meaning set forth in Section 7.

"Closing Date"
has the meaning set forth in Section 7.

"Close of
Escrow" has the meaning set forth in Section 7.

"Contracts"
mean those agreements listed in Exhibit B (the "List of Service Contracts") to this Agreement.

"Contract
Assignment" has the meaning set forth in subsection 11(a)(iii).

"County"
means Tarrant County, Texas, acting through any appropriate agency or body.

"Deed"
means the Special Warranty Deed in the form attached hereto as Exhibit C to be delivered by Seller to Purchaser whereby
fee simple title to the Property shall be transferred to Purchaser at Closing, subject to the Permitted Exceptions.

"Default"
occurs: (i) when there is a "deemed" default by a Party under the terms of this Agreement without regard to any notice
and cure or grace period; or (ii) after a Party, upon receipt of written notice from the non-defaulting party if such notice is
required to be provided under the terms of this Agreement, fails to cure the breach of the terms of this Agreement within the applicable
notice and cure or grace period.

"Deposit"
has the meaning set forth in subsection 3(c).

"Due Diligence
Investigation" has the meaning set forth in subsection 6(a).

    	2

    	 

    

"Due Diligence
Matters" has the meaning set forth in subsection 6(a).

"Effective
Date" means the date on which both Parties have executed this Agreement and a fully-executed original has been delivered
to, and the Deposit has been received by, the Escrow Agent, as evidenced by the Escrow Agent's execution of the Consent of Escrow
Agent below.

"Environmental
Laws" mean any and all presently existing federal, state and local laws, requirements under permits issued with respect
thereto, and other requirements of any federal, state or local governmental agency, court, board, bureau or other authority having
jurisdiction with respect to or relating to the environment, to any hazardous substance or to any activity involving hazardous
substances, and shall include, without limitation, the Comprehensive Environmental Response, Compensation, and Liability Act (42
U.S.C. paragraph 9601, et seq.), the Federal Resource Conservation and Recovery Act (42 U.S.C. paragraph 6901, et seq.) and all
amendments thereto in effect as of the Effective Date.

"Escrow"
means the escrow established with the Escrow Agent pursuant to subsection 3(a).

"Escrow Agent"
means the Title Company.

"Excluded
Property" means: (i) any software owned by or licensed to any company or entity other than Seller; (ii) any professional
photographs of the Project, including but not limited to, photographs, negatives and transparencies in digital or other form; (iii)
any computers, data bases, programs, financial models and similar items used in the ownership, operation or management of the Project
or any proprietary information or materials that might otherwise comprise a part of the Improvements or Personal Property; (iv)
any vehicle owned by or licensed to Seller; (v) records, reports, correspondence and documents in Seller's care, custody, possession
or control that are considered attorney-client privileged communication or otherwise required by any agreement to remain confidential;
(vi) Seller Deposits/Refunds; (vii) all Contracts which are not Approved Service Contracts; (viii) all Contracts which require
consent to assignment for which Seller does not obtain such consent prior to Closing; provided, however, if and when
Seller obtains such consent after Closing, then, subject to Section 6(e) below, such Contract shall be deemed assigned to and assumed
by Purchaser effective as of the date set forth therein (Are there any? If not, delete.); (ix) any insurance proceeds and
condemnation awards that Seller is entitled to retain under the terms of this Agreement; (x) any Claim arising prior to Closing
enforceable by Seller against any third-party including, without limitation, any Tenant or insurer; (xi) payments by Tenants
under the Aqua Tots Lease or from Top Nails or Napoli under former leases which relate to default and other reimbursements from
such Tenants as disclosed by Seller to Purchaser in writing; and (xii) any refund or credit of 2013 General Taxes and Assessments
applicable to Seller's protest of such taxes with Seller assuming all costs therefor.

"Feasibility
Period" has the meaning set forth in subsection 6(a).

"General Taxes
and Assessments" means any and all general real estate taxes and personal property taxes imposed by Governmental Authorities
and any assessments, dues or charges by private covenant constituting a lien or charge on the Property.

    	3

    	 

    

"Governmental
Authority" or "Governmental Authorities" mean any federal, state, regional, local or municipal governmental
or quasi-governmental authority, or any political subdivision or department, commission, board, bureau, agency or instrumentality
thereof, having jurisdiction over the Property.

"Improvements"
mean all buildings, improvements and fixtures which are now or hereafter located on the Real Property, together with all appurtenances
thereto and all apparatus, equipment and appliances located on the Real Property and used in connection with the operation and
occupancy thereof such as systems or facilities for heating, ventilation, air conditioning, climate control, utility services,
parking services, garbage disposal and/or irrigation, and all landscaping and residual interests in leasehold improvements under
the Leases; provided, that the "Improvements" shall not include any equipment, fixtures, apparatus and appliances on
the Property not owned by the Seller or any of its Affiliates.

"Independent
Consideration" has the meaning set forth in Section 2.

"Later Title
Objection Notice" has the meaning set forth in subsection 5(c).

"Laws"
mean all applicable federal, state, local and other laws, statutes, regulations, codes, orders and ordinances relating to the ownership,
occupancy and use of the Property including, without limitation, those relating to fire, safety, building, land use, parking, handicapped
access and zoning.

"Lease Assignment"
has the meaning set forth in subsection 11(a)(ii).

"Leases"
mean, collectively, all leases and rental agreements (and
modifications and amendments thereto and guarantees or indemnities thereof) with respect to the ownership, occupancy and use of
the Improvements, executed prior to the date of this Agreement and as may be entered into by Seller prior to Closing in accordance
with the terms of this Agreement.

"Licenses"
means all licenses, franchises, occupancy and use certificates, permits, authorizations, consents, variances, waivers, approvals
and the like from any governmental or quasi-governmental entity or instrumentality affecting the ownership, operation or maintenance
of the Real Property or the Improvements.

"Material
Damage" has the meaning set forth in Section 14(b).

"Material
Taking" has the meaning set forth in Section 14(a).

"Mineral Estate"
means all of Seller's right, title and interest in and to all oil, gas and other minerals of every nature on, in and under the
Property, including, without limitation, if the same is subject is to existing production or an existing lease, then the same shall
include the production, the lease and all benefits from it, and upon termination of any and all such leases the interest of the
lessee shall refer to Seller.

"Parties"
has the meaning set forth in the preamble of this Agreement.

    	4

    	 

    

"Permitted
Exceptions" mean: (i) General Taxes and Assessments for the year 2014 which are, as of the Closing, not delinquent, and
for all subsequent years; (ii) supplemental taxes for any period following the Closing assessed by any Governmental Authority resulting
from the transfer of the Property from Seller to Purchaser, and any assessments against the Property occurring after the Closing;
(iii) those matters reflected in the Title Commitment and not agreed in writing to be removed by Seller pursuant to Purchaser's
objections made during the Feasibility Period; (iv) those matters shown on the Survey and not agreed in writing to be removed by
Seller pursuant to Purchaser's objections made during the Feasibility Period; and (vii) any other title exceptions or encumbrances
which are deemed approved under the terms of this Agreement or otherwise expressly approved in writing by Purchaser in its sole
discretion.

"Personal
Property" means: (i) all tangible personal property listed on Exhibit K hereto or now or hereafter owned by Seller
and used solely in connection with the Project or the ownership, operation or occupancy thereof including, without limitation,
all furniture, fixtures, machinery, appliances and equipment located on the Project (other than personal property owned by Tenants
of the Project), and all drawings, plans and specifications related to the Project, and all studies, data and drawings related
thereto (the "Tangible Personal Property"); (ii) all assignable existing warranties and guaranties (express or
implied) issued to Seller in connection with the Tangible Personal Property; and (iii) to the extent owned by Seller and assignable,
all other rights, benefits, privileges and property associated with or related to the ownership, operation, maintenance, repair,
and management of the Project or the Improvements thereon, including, without limitation, the right to the use of (without
warranty as to exclusivity or otherwise) the name "Mansfield Pointe" and all other intellectual property owned by Seller
and associated with or related solely to the Real Property and Improvements (including internet domains, telephone numbers, logos,
trademarks, designs, trade names, permits, licenses and service marks); provided, however, nothing contained in the
foregoing descriptions shall include any Excluded Property.

"Pre-Approved
Tests" has the meaning set forth in subsection 6(c).

"Project"
has the meaning set forth in the Recitals.

"Property"
means, collectively, the Real Property, the Personal Property, the Improvements, the Licenses, the Leases, the Mineral Estate
and the Approved Service Contracts, but not the Excluded Property.

"Purchase
Price" has the meaning set forth in Section 3.

"Purchaser"
has the meaning set forth in the preamble of this Agreement.

"Purchaser's
Agents" has the meaning set forth in subsection 6(d).

"Purchaser's
Closing Conditions" has the meaning set forth in subsection 9(a).

"Purchaser's
Service Contract Termination Notice" has the meaning set forth in subsection 6(f) hereof.

    	5

    	 

    

"Real Property"
has the meaning set forth in the Recitals. The Real Property excludes that certain outparcel tract described on Exhibit A-1
attached hereto. (Why not just exclude from legal description?) Seller and Purchaser agree to mutually cooperate to cause
such separate outparcel to be platted post-Closing, which agreement shall survive Closing. Such plat shall include mutual access
easements between the Real Property and the separate outparcel.

"Rent"
has the meaning set forth in subsection 10(c).

"Security
Deposits" mean all security deposits (if any) paid by the Tenants in accordance with the terms of their respective Leases,
which, as of Closing, remain outstanding and not subject to a Claim by Seller.

"Seller"
has the meaning set forth in the preamble of this Agreement.

"Seller Deposits/Refunds"
mean any of Seller's or any of Seller's Affiliates rights to receive now or in the future: (i) security or other deposits paid
to the City, the County or any other Governmental Authority or utility provider; (ii) any rebates, property tax refunds or utility
refunds accruing prior to the Closing Date; (iii) reimbursable costs, fees and expenses due and owing Seller by a Tenant under
the terms of a Lease accruing prior to the Closing Date; (iv) any reimbursements due Seller from a vendor under the terms of any
Contract entered into and relating solely to any period prior to the Closing Date, notwithstanding the assignment of such Contract
to Purchaser; and (vi) any other refunds in connection with the ownership, leasing, maintenance or operation of the Project accruing
with respect to the period prior to the Closing Date, except to the extent assigned to Purchaser at Closing.

"Seller's
Agents" has the meaning set forth in subsection 6(b).

"Seller's
Closing Conditions" has the meaning set forth in subsection 8(a).

"Seller's
Deliveries" has the meaning set forth in Section 4.

"Seller's
Later Title Objection Response Date" has the meaning set forth in subsection 5(c).

"Seller's
Reports" has the meaning set forth in subsection 6(b).

"Seller's
Representative" has the meaning set forth in subsection 12(a).

"Seller's
Response Date" has the meaning set forth in subsection 5(c).

"Service Contract
Termination Notice" has the meaning set forth in subsection 6(g).

"Survey"
has the meaning set forth in subsection 5(b).

    	6

    	 

    

"Surviving
Duties" means: (i) all duties and obligations of each Party to indemnify each other and any Affiliate (if applicable)
under the terms of this Agreement; (ii) the provisions of subsection 20(b) hereof; (iii) the representations and warranties of
Purchaser and Seller set forth in Section 12 of this Agreement, which (except for those representations and warranties which survive
forever as set forth in Section 12 of this Agreement) shall survive for a period of twenty four (24) months following Closing;
and (iv) any other duty or obligation of either Party which, expressly by its terms, survives the Closing.

"Tenant"
or "Tenants" mean, individually or collectively, the tenants under the Leases.

"Tenant Estoppel"
shall have the meaning set forth in Section 9(a)(iv).

"Termination
Fee" has the meaning set forth in subsection 6(f).

"Title Commitment"
has the meaning set forth in subsection 5(a).

"Title Company"
shall mean Chicago Title Insurance Company, whose address for this transaction is as follows:

Chicago Title Insurance Company

10 S. LaSalle Street, Suite 3100

Chicago, Illinois 60603

Attn: Nancy Castro

Telephone No.: (312) 223-2709

Facsimile No.: (312) 223-3409

email: Nancy.Castro@ctt.com

"Title Objection
Notice" has the meaning set forth in subsection 5(c).

"Title Objection
Notice Date" has the meaning set forth in subsection 5(c).

"Title Policy"
means a ALTA, latest form of owner's policy of title insurance issued to Purchaser as of the Closing Date by the Title Company
in connection with the purchase of the Property in the full amount of the Purchase Price and including the obligation to have the
survey exception modified to read "shortages in area" only and including any endorsements as may be desirable by Purchaser
at Seller’s sole cost and expense so long as such endorsements are available in the State of Texas.

    	7

    	 

    

 2.                 
Property. For and in consideration of the premises, undertakings and mutual covenants of the Parties set forth herein,
Seller's execution, delivery and performance of this Agreement and the additional sum of ONE HUNDRED AND NO/100 DOLLARS ($100.00)
(the "Independent Consideration"), the receipt and sufficiency of which is hereby acknowledged and shall be nonrefundable
consideration for Purchaser's right to purchase the Property, Seller hereby agrees to sell, assign and otherwise convey unto Purchaser,
and Purchaser hereby agrees to purchase, perform, assume and otherwise take from Seller, the Property. Seller is not transferring
to Purchaser any of Seller's rights to receive now or in the future any Seller Deposits/Refunds accruing prior to the Close of
Escrow. If Purchaser receives any such Seller Deposits/Refunds applicable to periods of time prior to the Close of Escrow, Purchaser
shall promptly remit such refunds to Seller, which such obligation shall survive Closing.

3.                 
Purchase Price. The purchase price for the Property ("Purchase Price") shall be TWENTY EIGHT MILLION
TWO HUNDRED FIFTY THOUSAND AND NO/100 DOLLARS ($28,250,000.00), payable as follows:

(a)               
Deposit. Within two (2) Business Days after this Agreement is fully-executed between the Parties, Purchaser shall
deposit into escrow ("Escrow") with the Escrow Agent the sum of FIVE HUNDRED THOUSAND AND NO/100 DOLLARS ($500,000.00)
(the "Deposit"). If Purchaser fails to timely deliver the Deposit, this Agreement shall automatically terminate
and be of no further force or effect other than any Surviving Duties.

(b)              
Treatment of Deposit. The Deposit (including any portion thereof) shall upon receipt be placed in an interest-bearing
account at a federally insured bank and shall be deemed non-refundable upon delivery to the Escrow Agent, unless otherwise provided
under the terms of this Agreement. The Deposit shall be applied to the Purchase Price at Closing. All interest on the Deposit shall
become part of the Deposit and will be reported to the Internal Revenue Service as income to Purchaser unless such interest is
forfeited to Seller in accordance with the terms of this Agreement, in which case it will be reported as income to Seller. If the
Closing does not occur for any reason other than Purchaser's default, the Deposit shall be forthwith returned to Purchaser.

(c)               
Additional Escrow Instructions. Escrow Agent is hereby authorized and directed to pay the Deposit to the Party entitled
to receive the Deposit under the terms of this Agreement. The Parties agree to execute and deliver such additional escrow instructions
as may be reasonably required by the Escrow Agent to carry out the purposes and intent of this Agreement.

    	8

    	 

    

 

4.                 
Seller's Deliveries. Within ten (10) days after the Effective Date, Seller shall deliver to Purchaser the documents
and information set forth on Exhibit D attached to this Agreement (collectively, "Seller's Deliveries").
On request, Seller will also deliver such additional information as Purchaser may reasonably request from time to time during the
Feasibility Period.

5.                 
Title; Survey.

(a)               
Title Commitment. Within ten (10) days following the Effective Date, Seller shall cause the Title Company, at Purchaser's
expense, to deliver to Purchaser a commitment for Title Insurance (the "Title Commitment"), together with copies
of all documents referred to in the Title Commitment.

(b)              
Survey. Within five (5) days after the Effective Date (to the extent not previously delivered to Purchaser), Seller
shall deliver to Purchaser a copy of the most current survey Seller has in its possession. Seller, at its sole cost and expense,
will deliver to Seller an update of such existing survey (such survey or, if applicable, such new or updated survey is hereinafter
referred to as the "Survey"). Such updated Survey shall be prepared in accordance with 2011 Minimum Standard Detail
Requirements for ALTA/ACSM Land Title Surveys adopted by ALTA and shall include Table A optional survey responsibilities 1,2,3,4,7(a),
7(b)(i),7(c),8,9,11,13,14,16,17 and 18.

(c)               
Title Objections. Purchaser shall have until 5:00 p.m. (Central time) on the fifteenth (15th) day following
the Purchaser’s receipt of the last of the Title Commitment, all documents referred to in the Title Commitment and the existing
Survey (the "Title Objection Notice Date") to give Seller written notice objecting to any matter disclosed by,
shown on or otherwise reflected in the Title Commitment and Survey (the "Title Objection Notice"). Provided Seller
has timely received the Title Objection Notice, Seller shall have five (5) Business Days after receipt of the Title Objection Notice
("Seller's Response Date") to notify Purchaser whether Seller, in its sole and absolute discretion, agrees to
cure any such objections. Purchaser hereby acknowledges and agrees that Seller has no obligation to cure or attempt to cure any
matters set forth in the Title Objection Notice and Seller's failure to deliver written notice to Purchaser agreeing to cure any
or all such objections raised in the Title Objection Notice by the Seller's Response Date shall be deemed Seller's refusal to cure
or attempt to cure any or all such objections. Notwithstanding anything to the contrary contained herein, Purchaser is deemed to
have rejected, without any need for further notice, all liens of mortgages or deeds of trust, mechanics' liens, attachments, judgments,
liens to secure the payment of income taxes of Seller, delinquent property tax and assessment liens against the Property and any
other liens or other title exceptions against the Property that have been caused solely by the willful act of Seller (collectively,
"Monetary 

    	9

    	 

    

Liens"), and Seller agrees,
at its cost, to cause all such Monetary Liens to be released or removed on or prior to the Closing Date and Seller’s failure
to do so shall be deemed in Default of this Agreement; provided, however, Seller may extend the Closing Date for up to fifteen
(15) days to facilitate the release of any Monetary Liens. If Seller elects or is deemed to have elected not to remove any objections
raised in the Title Objection Notice which Seller is not obligated to cure, Purchaser, at its election, shall have five (5) Business
Days after the Seller's Response Date to either: (i) waive its prior disapproval of such title objections and proceed to consummate
this transaction; or, (ii) receive a return of the Deposit following which this Agreement shall terminate and none of the Parties
hereto shall have any further duties, liabilities or obligations to one another hereunder, excepting the Surviving Duties. If Purchaser
does not deliver written notice of its election to waive its objections raised in the Title Objection Notice within such period,
Purchaser shall be deemed to have elected to receive a refund of the Deposit and terminate this Agreement as provided in subpart
(ii) of the immediately preceding sentence. All matters set forth in the Title Objection Notice that Seller has refused or is deemed
to have refused to cure and is not obligated to cure hereunder shall be and become Permitted Exceptions. If, within ten (10) Business
Days prior to the expiration of the Feasibility Period (hereinafter defined), (x) Purchaser is delivered an updated Survey that
discloses material and adverse matters reasonably objectionable to Purchaser which were not shown on the existing Survey delivered
to Purchaser, or (y) the Title Commitment is updated to reflect any new exception which has a material and adverse affect on title
to the Property and was not otherwise caused (whether directly or indirectly) by the acts or omissions of Purchaser, Purchaser's
Affiliates or any of Purchaser's Agents, Purchaser shall promptly notify Seller in writing of such new exception ("Later
Title Objection Notice") and Seller shall have five (5) Business Days after receipt of the Later Title Objection Notice
("Seller's Later Title Objection Response Date") to notify Purchaser whether Seller, in its sole and absolute
discretion, agrees to cure any such matters. Purchaser hereby acknowledges and agrees that Seller has no obligation to cure or
attempt to cure any matters set forth in the Later Title Objection Notice other than Monetary Liens, and Seller's failure to deliver
written notice to Purchaser agreeing to cure any or all such matters raised in the Later Title Objection Notice by the Seller's
Later Title Objection Response Date which Seller is not obligated to cure shall be deemed Seller's refusal to cure or attempt to
cure any or all such objections. If Seller does not agree, in writing, to cure those matters set forth in such Later Title Objection
Notice on or before Seller's Later Title Objection Response Date which Seller is not otherwise obligated to cure, Purchaser shall
have the right (subject to the conditions set forth in (A) and (B) below) to terminate this Agreement by delivering written notice
of termination to Seller no later than three (3) Business Days after Seller's Later Title Objection Response Date and, upon such
termination, Purchaser shall receive a return of the Deposit to the extent such has been delivered by Purchaser into Escrow (including
any amounts delivered to Seller, if applicable), and the Parties shall have no further duties, obligations or liability to each
other hereunder, except the Surviving Duties. If: (A) Purchaser does not deliver to Seller written notice of termination within
such period; or (B) the new exception on title to the Property was caused (whether directly or indirectly) by the acts or omissions
of Purchaser, Purchaser's Affiliates or any of Purchaser's Agents, this Agreement shall not terminate, but shall remain in full
force and effect, all matters set forth in such Later Title Objection Notice shall be and become Permitted Exceptions and Purchaser
shall have waived any and all rights to further object to such matters or terminate this Agreement pursuant to this subsection
5(c).

    	10

    	 

    

 

6.                 
Purchaser's Due Diligence.

(a)               
Due Diligence Investigation/Matters. Purchaser shall have until 5:00 p.m. (Central time) on the thirtieth (30th)
day following Purchaser’s receipt of the Seller’s Deliveries (the "Feasibility Period") to complete
its Due Diligence Investigation. Purchaser shall conduct, prior to the expiration of the Feasibility Period, all due diligence
deemed reasonably necessary and appropriate by Purchaser ("Due Diligence Investigation") in connection with the
purchase of the Property. Such Due Diligence Investigation shall include all matters Purchaser deems reasonably pertinent (except
for invasive testing, which must constitute a Pre-Approved Test, as hereinafter defined) regarding the Property including, but
not limited to, a thorough review and investigation of the following ("Due Diligence Matters"): (i) title to the
Property, including, without limitation, the Title Commitment (and all matters listed therein), the Survey (as such period may
be extended pursuant to Section 5(c) upon Purchaser’s receipt of an updated Survey) and all then-existing easements, covenants,
conditions and restrictions, plats, encroachments and other exceptions or potential exceptions to title; (ii) relevant ad valorem
tax assessments and information, special assessment district agreements and other similar agreements or assessments; (iii) the
physical condition of the Property, including, without limitation, engineering evaluations of the structural, mechanical, electrical,
HVAC and other systems, protective covenants, architectural, landscaping or building requirements, topographical maps and any other
reports, licenses, permits or relevant information that relate to the Property, entitlements related thereto and/or the development
and construction thereof; (iv) the status of zoning, building codes, land use applications, the assignability or transferability
of any permits or approvals; (v) all plans and specifications, Contracts, Leases, documents and materials relating to the Property;
and (vi) all other matters deemed reasonably necessary or appropriate by Purchaser in the acquisition of the Property and the ownership,
management and operation of the Project. If Purchaser determines at any time prior to the expiration of the Feasibility Period
that the Property is not satisfactory to Purchaser for any reason or no reason, in Purchaser's sole discretion, then Purchaser
may terminate this Agreement by delivering written notice of termination to Seller as soon as possible, and in any event prior
to the end of such Feasibility Period. If Purchaser terminates this Agreement pursuant to and in accordance with this subsection
6(a), then this Agreement shall be terminated, the Title Company shall return the Deposit to Purchaser, and neither Party shall
have any further rights, duties or obligations hereunder except with respect to the Surviving Duties. If Purchaser does not terminate
this Agreement pursuant to and in accordance with this subsection 6(a), the conditions of this subsection 6(a) shall be deemed
satisfied, Purchaser may not thereafter terminate this Agreement based upon any Due Diligence Matters, Due Diligence Investigation
or otherwise pursuant to this subsection 6(a), and the Deposit shall be non-refundable to Purchaser, except as expressly set
forth in this Agreement to the contrary.

    	11

    	 

    

 

(b)              
Independent Judgment. Purchaser shall use its independent judgment and shall make its own determination as to the
scope of the Due Diligence Investigation. In making such determination, Purchaser acknowledges and agrees that Purchaser has not
relied and shall not rely on any of the studies, reports, documents, plans and specifications, work product, maps or other materials
or information, if any, prepared by third parties for Seller and delivered or made available to Purchaser (collectively, "Seller's
Reports") by Seller or any partners, members, parents, Affiliates, agents, employees, directors, officers, representatives,
attorneys, contractors or consultants of any such persons (collectively, "Seller's Agents"). It is specifically
understood and agreed that, to the extent Seller has delivered and does deliver (or has made or does make available) to Purchaser
any Seller's Reports, Purchaser acknowledges and agrees that Seller makes no covenant, representation or warranty whatsoever as
to any Seller's Reports (except to the extent Seller knows that the Seller’s Reports are untrue and delivers them to Purchaser),
including, without limitation, their content, reliability, accuracy and completeness or any right of Seller to permit the use thereof
by third parties and Seller shall have no liability to Purchaser for any deficiencies in any such Seller's Reports. Purchaser further
acknowledges and agrees that Purchaser and Purchaser's Agents are knowledgeable and experienced in real estate matters and agrees
that, on or prior to expiration of the Feasibility Period, Purchaser shall have approved all of the preceding and all other aspects
of the Property and the transactions contemplated herein, or provided a written notice to Seller that Purchaser thereby terminates
this Agreement, or failing delivery of such notice shall be deemed to have determined to terminate this Agreement.

(c)               
Access. In order for Purchaser to perform the Due Diligence Investigation, provided Purchaser and Purchaser's Agents
(as applicable) have delivered to Seller copies of certificates of insurance issued in the amount and in accordance with the requirements
set forth in subsection 6(d) below, Seller agrees to use commercially reasonable efforts to allow Purchaser and Purchaser's Agents,
between the Effective Date and the expiration of the Feasibility Period, during normal business hours at such reasonable times
as Purchaser may schedule with Seller, to enter onto the Property for purposes of inspecting the same or any part thereof; provided,
however, Purchaser shall only be allowed to conduct the tests on the Property which are listed on Exhibit E attached hereto
(the "Pre-Approved Tests") without further approval of Seller. Except for the Pre-Approved Tests, Purchaser may
not conduct any additional or further tests on the Property without Seller's prior written consent, which consent may be denied
by Seller in its sole discretion. Any attempt to conduct testing on the Property other than the Pre-Approved Tests without Seller's
prior written consent shall be deemed to be a Default by Purchaser hereunder. Any tests conducted by or for the benefit of Purchaser
at the Property shall be subject to any limitations set forth in the Leases and shall be conducted at such reasonable times as
Purchaser and Seller may agree upon in writing at least twenty-four (24) hours in advance and Seller may have a representative

    	12

    	 

    

accompany Purchaser and/or Purchaser's
Agents (as applicable) at the time of any such access. Purchaser agrees not to: (i) perform any invasive procedure which is not
a Pre-Approved Test unless approved in writing by Seller in its sole discretion; (ii) unreasonably disturb the Tenants or otherwise
unreasonably interfere with the business operations of the Tenants; or (iii) cause Seller to breach the terms of any Lease.

(d)              
Indemnity and Insurance. Notwithstanding anything in this Agreement to the contrary, any Due Diligence Investigation
or other investigation or inspection of the Property by Purchaser and Purchaser's employees, representatives, officers, directors,
parents, Affiliates, agents, attorneys, brokers, contractors and consultants (collectively, "Purchaser's Agents")
has been and shall be performed at the sole risk and expense of Purchaser, and Purchaser shall be solely and absolutely responsible
for the acts or omissions of Purchaser and any of Purchaser's Agents. Furthermore, Purchaser shall protect, indemnify, defend and
hold the Property, Seller and Seller's Agents and each of their respective successors and assigns harmless from and against any
and all Claims suffered or incurred by any or all of such indemnified parties (unless caused by the negligent or intentional actions
of Seller or Seller’s Agents) as a result of, due to or arising from any act or omission of Purchaser or Purchaser's Agents
in connection with: (i) Purchaser's Due Diligence Investigation; (ii) any activities, studies or investigations conducted at, to,
or on the Property by Purchaser or Purchaser's Agents; or (iii) the presence by Purchaser or Purchaser's Agents at or on the Property;
provided, however, Purchaser shall not be responsible to repair or replace any portion of the Property damaged prior to the Effective
Date hereof and the foregoing indemnity shall not be applicable to conditions merely discovered by Purchaser, but not originally
caused by Purchaser, except to the extent that such condition was exacerbated by Purchaser or Purchaser's Agents. The foregoing
indemnification shall survive the Closing or termination of this Agreement, as the case may be, and remain binding upon Purchaser
and its successors and assigns (if any) until fully observed, kept or performed. If at any time prior to Closing, Purchaser or
Purchaser's Agents cause any damage to the Property, Purchaser shall, at its sole risk and expense, immediately restore the Property
to the same condition as existed immediately prior to the occurrence of such damage. From and after the Effective Date, Purchaser
shall maintain or cause to be maintained, commercial general liability insurance and automobile liability insurance, on an occurrence
basis, with limits of at least $2,000,000 and $1,000,000, respectively, each issued by an insurance company licensed to do business
in the State where the Project is located and with an A.M. Best Company rating of at least A-VIII and a reasonably satisfactory
form of endorsement evidencing the fact that Seller is named as an additional named insured under such liability insurance policies.
Purchaser's insurance policies shall be primary with respect to any liability insurance carried by Seller and shall provide for
notice to Seller not less than fifteen (15) days prior to cancellation.

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(e)               
Approved Service Contracts. Subject to Purchaser's termination right set forth below, Purchaser will be deemed to
have approved the Contracts described on the List of Service Contracts as of the expiration of the Feasibility Period. If, after
the Effective Date and prior to Closing, Seller should desire to enter into any other service agreement other than a Contract,
then Seller shall provide Purchaser with a copy of such proposed service agreement and request that Purchaser approve same. Purchaser
must notify Seller in writing of its approval/disapproval of such service agreement within five (5) Business Days after receipt
thereof, failing which Purchaser shall be deemed to have approved such new service agreement. Notwithstanding the foregoing, Seller
shall have the unconditional right, without Purchaser's prior consent (but with written notice to Purchaser), to enter into any
new contract necessary (in the reasonable opinion of Seller) to contain, fix, repair, remediate or otherwise resolve an emergency
condition which may exist at the Project or arising out of the operation thereof, which contract shall be the sole responsibility
of Seller. Each Contract, together with any new service agreement either approved or deemed approved by Purchaser pursuant to this
subsection 6(e), is individually referred to herein as an "Approved Service Contract" and, collectively, as the
"Approved Service Contracts." Upon Closing, Purchaser shall assume and will be solely responsible and liable for
any and all duties, obligations and liability arising out of, related to or in connection with the Approved Service Contracts and
accruing after the Closing Date. Purchaser may not reject any existing Contracts with the following entities or for the following
services provided to the Project, all of which are hereby deemed to be Approved Service Contracts: (i) electric; (ii) telephone,
internet and/or telecommunication services; and (iii) water submetering.

(f)               
Service Contract Termination. Purchaser may notify Seller in writing ("Purchaser's Service Contract Termination
Notice") no later than five (5) Business Days prior to the expiration of the Feasibility Period of its desire to terminate
any Contract. If such Contract allows by its terms for the termination thereof upon delivery of a termination notice and, if applicable,
payment of a termination fee or penalty (collectively, a "Termination Fee") without any further conditions, duties,
obligations or liability to Seller or any Seller Affiliate, Seller shall, prior to Closing and after receipt of Purchaser's Service
Contract Termination Notice, notify the vendor of the applicable Contract in writing ("Service Contract Termination Notice")
of the proposed termination of the Contract, which shall terminate either upon Closing or within thirty (30) days thereafter. Subject
to Seller's timely receipt of the Service Contract Termination Notice, provided Closing occurs, Seller shall deliver to the vendor
notice of termination of the Contract and the applicable Termination Fee. Other than as set forth herein, Purchaser shall have
no right (and Seller shall have no duty or obligation) to terminate any other Contract. Notwithstanding anything herein appearing
to the contrary, Seller shall have the right to terminate any Contract as of the Closing, regardless of whether such Contract is
an Approved Service Contract. Seller shall give notice to Purchaser no later than three (3) Business Days prior to Closing as to
any and all Contracts that Seller intends to terminate.

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(g)              
Survival. Each of the parties’ duties and obligations under this Section 6 shall survive the Closing or earlier
termination of this Agreement, as the case may be.

7.                 
Closing. The consummation of the purchase and sale of the Property as contemplated herein (the "Closing")
shall occur on the date which is fifteen (15) days following the last day of the Feasibility Period (the "Closing Date,"
or the "Close of Escrow"). At Closing, Purchaser shall pay to Seller the sum of the Purchase Price and all other
sums due hereunder, less the Deposit and any other credits due and owing Purchaser hereunder, if any. The Closing shall be conducted
at the offices of the Escrow Agent and shall occur through Escrow in the customary manner for the consummation of real estate transactions
in the County in which the Closing occurs. At Closing, Purchaser will assume the management, maintenance, operation and leasing
of the Project.

8.                 
Seller's Closing Conditions.

(a)               
Seller's Conditions to Closing. Notwithstanding anything to the contrary contained herein, Seller's obligation to
proceed with Closing is subject to and conditioned upon the satisfaction of all of the following conditions before the Close of
Escrow, unless otherwise waived by Seller in writing or the time for performance is extended by Seller, in its sole and absolute
discretion (collectively, "Seller's Closing Conditions"):

(i)                
Provided Seller is not otherwise in Default and there is no unsatisfied Purchaser Closing Condition, Purchaser shall have
timely paid into Escrow the Purchase Price and all other sums due hereunder, less the Deposit and any other credits due and owing
Purchaser hereunder, if any, on or before 5:00 p.m. (Central time) on the Closing Date;

(ii)              
Purchaser shall have performed in all material respects, all covenants to performed by Purchaser under this Agreement;

(iii)            
No representation or warranty made in this Agreement by Purchaser shall be materially untrue, inaccurate or incomplete;

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(iv)            
No suit or other proceeding before any court or applicable Governmental Authority shall be pending or threatened by any
third party against Seller seeking to restrain or prohibit the transaction contemplated herein or seeking damages in connection
with, or to declare illegal, the transaction contemplated herein;

(v)              
Purchaser shall have executed, notarized (if applicable) and delivered to the Escrow Agent on or before the Closing Date
the documents and instruments described in subsection 11(a) below.

(b)              
Failure of Seller's Closing Conditions. In the event that any one or more of Seller's Closing Conditions has not
been satisfied or waived by Seller on or before the Closing Date, then such Seller's Closing Condition shall be deemed unsatisfied,
and Seller shall elect to either: (i) waive Seller's Closing Condition and consummate the transaction contemplated in this Agreement;
(ii) terminate this Agreement, in which case Escrow Agent shall promptly deliver the Deposit to Seller, this Agreement shall terminate
and neither Party shall have any further duties, obligations or liability hereunder except the Surviving Duties; or (iii) extend
the Closing Date for up to ten (10) Business Days to allow time for satisfaction of the unsatisfied Seller's Closing Condition(s).

9.                 
Purchaser's Closing Conditions.

(a)               
Purchaser's Conditions to Closing. Purchaser's obligation to proceed with Closing is subject to and conditioned upon
the satisfaction of all of the following conditions on or before the Close of Escrow (as extended by Seller), unless otherwise
waived by Purchaser in writing, in its sole and absolute discretion (collectively, "Purchaser's Closing Conditions"):

(i)                
The Title Company shall have committed to issue the Title Policy, subject only to the Permitted Exceptions;

(ii)              
No representation or warranty made in this Agreement by Seller shall be materially untrue, inaccurate or incomplete;

(iii)            
Seller shall have performed in all material respects all covenants to performed by Seller under this Agreement;

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(iv)            
Seller shall have used commercially reasonable efforts to obtain estoppel letters from 100% of the Tenants and at least
two (2) Business Days before the Closing Date, Seller shall have delivered to Purchaser an estoppel certificate from each Required
Tenant and including Lease guarantors, if any, in the form attached to this Agreement as Exhibit "L-1" (each, a "Tenant
Estoppel"). The term "Required Tenants" means a Tenant Estoppel from each Tenant occupying five thousand (5,000)
square feet of floor area at the Property, an estoppel certificate from each Tenant for which a memorandum of such Tenant’s
Lease has been recorded as an encumbrance against the Property and 80% of the Tenants occupying less than five thousand (5,000)
square feet of floor area at the Property. If Seller is unable to obtain a Tenant Estoppel from all Tenants and Lease guarantors,
if any, including the Required Tenants, Seller, is required to, sign and provide an estoppel in the form attached to this Agreement
as Exhibit "L-2" on behalf of any Tenant that fails to provide a Tenant Estoppel provided such Seller issued Tenant Estoppel
shall not be deemed to satisfy the Required Tenants requirement of this section;

(v)              
Seller shall have executed, notarized (if applicable) and delivered to the Escrow Agent by Closing the documents and instruments
described in subsection 11(b) below; and

(vi)            
Seller shall deliver an amendment to the Bed Bath & Beyond Lease, extending the current term by a period as is necessary
to provide for ten (10) years remaining on such Lease from the Closing Date, at the same rental rate currently payable by Bed Bath
& Beyond.

(b)              
Failure of Purchaser's Closing Conditions. Purchaser shall use commercially reasonable efforts to satisfy any condition
within its control, in whole or in part. In the event that any one or more of Purchaser's Closing Conditions has not been satisfied
or waived by Purchaser on or before the Closing Date, Seller's Closing Conditions have been satisfied, and Purchaser is not in
Default, then such Purchaser's Closing Condition shall be deemed unsatisfied, and Purchaser shall elect to either: (i) waive Purchaser's
Closing Condition and consummate the transactions contemplated in this Agreement; or (ii) terminate this Agreement, in which case
Purchaser shall cause Seller's Deliveries to be promptly returned to Seller and, upon receipt, Escrow Agent shall promptly deliver
the Deposit to Purchaser and, upon delivery of the Deposit, this Agreement shall terminate and neither Party shall have any further
duties, obligations or liability hereunder except the Surviving Duties.

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10.             
Costs. Costs of the Closing and Escrow shall be allocated as follows:

(a)               
Purchaser's Costs. Purchaser shall pay: (i) one-half (1⁄2) of any escrow fees; (ii) all recordation fees for
the Deed; (iii) Purchaser's attorneys' fees, and (iv) any other customary fees and charges and expenditures authorized by Purchaser
at Closing or under the terms of this Agreement.

(b)              
Seller's Costs. Seller shall pay: (i) one-half (1⁄2) of any escrow fees; (ii) premium for the Title Policy including,
but not limited to, the basic premium, extended coverage and the cost of all Purchaser required title endorsements and including
the cost of the “survey exception deletion”; (iii) the cost to obtain the updated Survey; (iv) Seller's attorneys'
fees; (v) an allowance, in the form of a credit to the Purchase Price, of $150,000, to compensate Purchaser for certain tenant
finish-out costs (Is this really a cost item or a credit under prorations?); (vi) all transfer taxes, if any, and (vii)
any other customary fees and charges and expenditures authorized by Seller at Closing or under the terms of this Agreement.

(c)               
Prorations and Adjustments

(i)                
Fixed, Minimum and Base Rents. Subject to Subsection (ix) below, all rents
(fixed, minimum, base and percentage rents) payable under the terms of the Leases (collectively referred to herein as "Rent")
shall be prorated as of the Closing Date (regardless of when such payments are actually made), with Seller being entitled to all
Rent for periods prior to the Closing Date and Purchaser being entitled to all Rent for the Closing Date and thereafter; provided,
however, Purchaser shall receive a credit at Closing against the Purchase Price for its pro rata share of Rent for the Closing
Date and for the month of Closing on a collectible basis.

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(ii)              
Common Area Maintenance and Other Charges. Except as is otherwise provided
in the Leases, some or all tenants under Leases pay monthly estimates of common area maintenance, insurance costs, and other charges
("CAM Charges") with, in most cases, an adjustment at the end of each fiscal year applicable to such charges. CAM Charges
are determined, in most cases, with respect to a fiscal year commencing January 1, and ending December 31. Seller shall credit
Purchaser at Closing with all credit balances in the Tenant accounts based upon the interim payments received by Seller less expenses
paid prior to the Closing Date. Any debit balance shall be paid by Purchaser to Seller if and when collected by Purchaser following
a reconciliation with such Tenants at the end of the calendar year in which the Closing occurs. All CAM Charges for the month of
Closing shall be prorated between Seller and Purchaser based upon the number of days occurring in the month of Closing. All amounts
received by Purchaser as interim payments of CAM Charges relating to periods after the Closing Date, except for Delinquent Amounts
(as hereinafter defined) owed as of the Closing Date, shall be retained by Purchaser. Prior to the Closing Date, Seller shall provide
Purchaser with the actual CAM Charges applicable to each Lease for fiscal year 2013, and the proposed reconciliation statements
for each tenant's CAM Charges for such fiscal year (the "Reconciliation Statements"). If, on the basis of amounts actually
incurred and the estimated payments received by Seller for fiscal year 2013, or by Purchaser from and after the Closing Date, it
is determined that Seller has retained or received amounts in excess of its allocable share, Seller shall remit such excess to
Purchaser, for delivery to Tenants in accordance with the Reconciliation Statements. Delinquent Amounts owed Seller as of the Closing
Date shall be paid to Seller, if and when collected by Purchaser. Seller shall retain responsibility for any liability to Tenants
for CAM Charges for 2013 or prior year. This responsibility shall survive Closing.

Under the
Leases, Seller and Purchaser shall be obligated, on or before March 31, 2015, to reconcile CAM Charges for fiscal year 2014. Seller's
allocable share of actual CAM Charges for each of the Leases in effect as of the Closing Date for fiscal year 2014 shall be determined
by multiplying the total payments collected from such tenant for such fiscal year (the sum of estimated payments plus or minus
year-end adjustments) by a fraction, the numerator of which is the actual CAM Charges incurred by Seller with respect to such Lease
during such fiscal year (within that portion of the fiscal year prior to Closing Date in which such Lease is in effect), and the
denominator of which is the total amount of CAM Charges incurred by Seller with respect to such Lease during such fiscal year (or
that portion of the fiscal year in which such Lease is in effect). If any Lease provides for the adjustment of CAM Charges on the
basis of a period other than the common area fiscal year, a reasonable method of calculating the adjustment for that Tenant will
be determined so that all adjustments can be made at the same time. Upon such reconciliation of CAM Charges for 2014, and except
for Delinquent Amounts received by Purchaser after the Closing Date, Purchaser shall have no further liability to Seller with respect
to CAM Charges for fiscal year 2014 or any prior years.

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(iii)            
Tenant's Security Deposit and Prepaid Rents. At Closing, Purchaser shall
receive a credit against the Purchase Price in an amount equal to all tenant security deposits paid to Seller under the Leases.
All prepaid Rent covering the period of time commencing on or after the Closing Date shall be delivered by Seller to Purchaser
on the Closing Date, or Purchaser may elect to receive a credit against the Purchase Price in the amount of such prepaid Rent.

(iv)            
Contracts and Accounts Payable. Purchaser shall be entitled to a credit
against the Purchase Price for sums that are due and unpaid as of the Closing Date under any Approved Service Contracts or other
accounts payable with respect to the Property which are assumed by Purchaser and Seller shall be entitled to a credit to the extent
that sums have been paid under any Approved Service Contracts or accounts for services to be performed or goods to be delivered
on or after the Closing Date.

(v)              
General Taxes and Assessments. All personal property taxes and real estate
taxes and assessments assessed to the Property ("General Taxes and Assessments") for the tax year in which the Closing
occurs shall be prorated as of the Closing Date (using at Purchaser’s option, an estimated amount for the year in which the
Closing occurs or 110% of the prior year's tax bills as a basis for the proration if the tax bills or tax figures for the current
tax year are not available), and such proration shall, at Purchaser’s option, subject to re-proration. Purchaser shall receive
a credit against the Purchase Price in an amount equal to Seller's share of such General Taxes and Assessments. Seller shall be
entitled to receive, in cash, the amount of the refund or credit payable with respect to 2013 General Taxes and Assessments resulting
from Seller's protest thereof when and if received by Purchaser. Purchaser shall immediately pay to Seller such amount upon receipt,
whether in the form of cash or a credit against taxes payable but Purchaser shall not be obligated to pursue any claim on Seller’s
behalf for collection of such amounts.

(vi)            
Utility Charges. All utility charges payable by Seller with respect to the
Property will be determined as of the Closing Date or as soon thereafter as possible and Seller agrees, prior to Closing, to attempt
to obtain final billings therefor. Seller shall pay the final billings directly to the appropriate utility companies. Purchaser
shall be responsible for all utilities consumed on and after the Closing Date. Seller shall receive a refund of all deposits, if
any, used to secure the provision of utility services.

(vii)          
Closing Fee. The closing or escrow fee, if any, charged by the Title Company
shall be paid one-half (1/2) each by Purchaser and Seller.

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(viii)        
Other Items of Expense or Receipt. All other customarily prorated items
of expense or receipt shall be prorated between the parties hereto as of the Closing Date. Except with respect to items prorated
at Closing, and except as set forth herein to the contrary, Seller shall be responsible for payment of any and all bills or charges
incurred by Seller prior to the Closing Date for work, services, supplies or materials, and Purchaser shall be responsible for
payment of any and all bills or charges prorated at Closing and/or incurred after the Closing Date for work, services, supplies
or materials. Seller shall deliver a schedule of all prorations no later than two (2) Business Days prior to Closing.

(ix)            
Collections and Application of Payments After Closing. After the Closing
Date, Purchaser shall bill Tenants for all amounts due under Leases, including amount accruing prior to the Closing Date. Purchaser
shall prepare and send to Tenants all financial statements and data required by the Leases and Seller shall cooperate and assist
Purchaser in preparing same as may be reasonably required and requested by Purchaser. Any amounts due and owing by Tenants to Seller
before the Closing Date under the Leases, and any amounts or charges payable by Tenants on or after the Closing Date with respect
to which Seller is entitled to receive a share under this Agreement, are herein called "Delinquent Amounts". To the extent,
Purchaser collects Delinquent Amounts from each party owing such Delinquent Amounts, Purchaser shall pay such Delinquent Amounts
to Seller following the Closing Date on a monthly basis on or before the tenth (10th) day of the calendar month following the month
of receipt. Notwithstanding the foregoing or any direction from Tenants to the contrary, Rent and other payments received by Purchaser
from Tenants on or after the Closing Date shall be first applied toward the payment of Rent and other charges for the then-current
period, and any excess monies, if any, received shall be applied toward the payment of Delinquent Amounts in accordance herewith.
Purchaser may not waive any Delinquent Amounts nor modify a Lease so as to reduce amounts or charges owed under Leases which Seller
is entitled to receive without first obtaining Seller's written consent but Purchaser shall not have the obligation to pursue collection
thereof other than billing Tenants for such amounts. From and after the Closing Date, Seller shall have the right to pursue reasonable
collection remedies against any Tenant owing Delinquent Amounts, provided that (i) Seller shall notify Purchaser of its intent
to institute any collection remedy or proceeding not less than fifteen (15) days prior to the institution thereof, and (ii) Seller
shall in no event institute any proceeding to evict or dispossess a Tenant from the Property. Purchaser may, by written notice
to Seller within ten (10) days of receipt of Seller's notice of intent to institute collection remedies or proceedings, restrict
Seller from collecting such Delinquent Amounts, but only if Purchaser first pays Seller such Delinquent Amounts in exchange for
Seller's assignment to Purchaser of all of Seller's rights and causes of action with respect thereto. With respect to Delinquent
Amounts owed by tenants who are no longer tenants of the Property as of the Closing Date, and to the payments owed by Aqua Tots,
Seller shall retain all rights relating thereto except that Seller shall not have the right to institute any proceedings to dispossess
or evict Aqua Tots from the Property.

    	21

    	 

    

 

(d)              
Items to be Paid by Seller. The parties hereby acknowledge and agree that Seller shall be responsible and liable
to pay and shall pay when due (or such amounts will be credited to Purchaser on the settlement statement) the following expenses
of the Project (collectively, "Leasing Costs"), but only as to the current term of the Leases (and not as to any
future renewal or extension term, or as to any expansion of leased premises under any Lease) and Purchaser shall be responsible
for payment for all leasing costs not the responsibility of Seller pursuant to this clause:

(i)                
any real estate or leasing commission in respect of the Leases executed prior to the date of this Agreement (including,
without limitation, (x) all installments thereof whether or not currently due, and (y) any costs related to the execution of amendments
to the Bed Bath & Beyond and Petsmart leases which are payable prior to Closing; Seller shall have no obligations thereafter);

(ii)              
any tenant inducements or tenant allowances in the form of cash payments (i.e., free rent is not a tenant inducement for
purposes of this provision) payable under the Leases executed prior to the date of this Agreement;

(iii)            
any costs and expenses of any lease take-over, assignment, assumption or other commitments required pursuant to the Leases
executed prior to the date of this Agreement;

(iv)            
the costs and expenses of any initial tenant build-out work or improvements to rentable or rental space in the Project required
to be performed by the landlord thereunder and arising pursuant to the Leases executed prior to the date of this Agreement;

(e)               
Survival. The obligations set forth in this Section 10 shall survive the Close of Escrow.

11.             
Closing Deliveries. Seller and Purchaser shall each deliver to the other through Escrow such instruments and funds
as are necessary to consummate the purchase and sale of the Property, including the following:

(a)               
Purchaser's Deliveries. Purchaser shall deliver to the Escrow Agent the following, all executed and notarized by
Purchaser, as applicable, on or before the Closing Date:

(i)                
Purchase Price and all other sums due hereunder, less the Deposit and any other credits due and owing Purchaser hereunder,
if any, on or before 5:00 .p.m. (Central time) on the Closing Date;

    	22

    	 

    

(ii)              
Assignment and Assumption of Tenant Leases (the "Lease Assignment") substantially in the form attached
hereto as Exhibit F;

(iii)            
Assignment and Assumption of Contracts (the "Contract Assignment") substantially in the form attached hereto
as Exhibit G;

(iv)            
if applicable, evidence of the due formation and good standing of Purchaser and qualification to do business in Texas, and
the authority of each person executing this Agreement, as reasonably requested by the Title Company;

(v)              
a notice to each service provider under all Approved Service Contracts, substantially in the form attached as Exhibit C
to the Contract Assignment, executed by Purchaser, which Purchaser shall deliver to each such service provider promptly upon Closing;
and

(vi)            
any other items reasonably required by Title Company in order to close the transactions contemplated herein.

(b)              
Seller's Deliveries. Seller shall deliver to the Escrow Agent the following on or before the Closing Date:

(i)                
the Deed, duly executed by Seller and notarized;

(ii)              
a counterpart of the Lease Assignment, duly executed by Seller;

(iii)            
a counterpart of the Contract Assignment, duly executed by Seller;

(iv)            
a bring down certificate of Seller’s representations and warranties effective as of the Closing Date;

(v)              
a certified Rent Roll in the form as set forth on Exhibit M updated and certified as of the Closing Date;

(vi)            
a notice to the Tenants (the "Tenant's Notice") substantially in the form attached hereto as Exhibit
H executed by Seller, which Seller shall deliver to each Tenant promptly upon Closing;

(vii)          
a Bill of Sale and Assignment (the "Bill of Sale") substantially in the form attached hereto as Exhibit
I executed by Seller;

(viii)        
an owner's affidavit in the form customarily used by Title Company in the County in which the Property is located;

    	23

    	 

    

(ix)            
originals, or copies of all originals to the extent originals are not available, of all Leases and Approved Service Contracts;

(x)              
A Non-Foreign Affidavit for purposes of compliance with Section 1445(b)(2) of the Internal Revenue Code of 1986, as
amended, and the regulations adopted thereunder;

(xi)            
if applicable, evidence of the due formation and good standing of Seller and qualification to do business in Texas, and
the authority of each person executing this Agreement and any other documents to be delivered at Closing by Purchaser, as reasonably
requested by Title Company; and

(xii)          
any other items reasonably required by Title Company in order to close the transactions contemplated herein.

12.             
Representations, Warranties and Covenants/As Is Purchase/Release of Claims.

(a)               
Seller's Representations and Warranties. For the purposes of this Section 12, the term "Seller's knowledge"
shall be limited to the current actual knowledge of the representative of Seller listed on Exhibit J attached hereto (the "Seller's
Representative"), and shall not include the knowledge of any other person or any knowledge which would be imputed to Seller's
Representative or any other person, as a matter of Law or otherwise. Seller hereby certifies that the Seller’s Representatives
are knowledgeable of all matters contained in Seller’s Representations and Warranties. Seller's Representative shall have
no personal liability hereunder. Seller hereby makes the following representations and warranties to and for the benefit of Purchaser
as of the Effective Date and the Closing Date only:

(i)                
This Agreement has been duly authorized, executed and delivered by and, subject to equitable principles generally and covenants
of good faith and fair dealing and to the federal laws relating to bankruptcy, is binding upon Seller in accordance with its terms;
Seller has the authority to enter into this Agreement and nothing prohibits or restricts the right or ability of Seller to enter
into this Agreement; this Agreement and the actions contemplated hereby do not and will not hereafter breach, invalidate, cancel,
make inoperative or interfere with, or result in the acceleration or maturity of, any agreement, document, instrument, right or
interest affecting or relating to Seller; and the individual signing this Agreement on behalf of Seller has the authority to bind
Seller to this Agreement.

(ii)              
Seller is a limited liability company, duly organized, validly existing and in good standing under the laws of the State
of Texas and duly qualified to do business in the State of Texas. Seller is not a "foreign person" within the meaning
of Section 1445(b)(2) of the Internal Revenue Code of 1986, as amended.

    	24

    	 

    

(iii)            
To Seller's knowledge, unless otherwise disclosed to Purchaser in writing prior to the 5th Business Day prior to the end
of the Feasibility Period, there is no litigation, action or administrative proceeding which in any way affects the Property, the
Leases, or Seller's ability to perform its obligations under this Agreement.

(iv)            
Attached hereto as Exhibit M is a true and complete rent roll (“Rent Roll”) listing all Tenants, Leases, the
commencement and expiration dates of each Lease, all delinquencies, the amount of any Rent and Security Deposit. The Leases delivered
to Purchaser for review are true, correct, and complete copies of the actual Leases in Seller's possession or control and, as of
the Effective Date, the Leases are the complete written documentation of the agreement between Seller and the Tenants. Such Leases
have not been amended, modified, terminated or in any other way changed and there is no other document or understanding between
Seller and the Tenants which contradicts or otherwise changes any of the terms of the Leases. Except as otherwise disclosed to
Purchaser in writing, there are no unpaid commissions, tenant improvement allowances or concessions due or owing with respect to
any Lease. Except as has been or is hereafter disclosed in writing to Purchaser prior to the 5th Business Day prior to the end
of the Feasibility Period, to Seller's knowledge, neither Seller nor any of the Tenants are in default under the terms of their
respective Leases and the Leases are in full force and effect in accordance with their terms. Seller has received no notices of
the bankruptcy of any of the Tenants or any Tenant’s request for relief or reduction in the Rents or any claims with respect
to the Leases or the Project. There are no options to purchase all or any portion of the Property either in favor or Tenant of
any third party.

(v)              
Seller has not received any written notice from a Governmental Authority that: (A) the Improvements located on the Property
are in violation of any applicable building, zoning, access (including, without limitation, the Americans with Disabilities Act
of 1990, as amended), safety and other laws, Environmental Laws, ordinances, rules, codes, resolutions, statutes or regulations
("Property Laws") or any covenants, conditions or restrictions affecting the Property; and (B) the conformity
of the Property with applicable Property Laws (or the legality of the current use of the Property) is based, in whole or in part,
upon any Improvements being a so-called "nonconforming" use or similar exemption.

(vi)            
To Seller's knowledge, all financial statements and operating reports delivered to Purchaser are in the form relied upon
by Seller in Seller's ordinary course of business.

(vii)          
No written notice has been received by Seller of any pending or threatened change to, any zoning ordinance or other zoning
by-law materially affecting all or any portion of the Property, or any local improvements made by any governmental authority and
chargeable (and not paid) to all or any portion of the Property and Seller is not aware of any contemplated, pending or threatened
change.

    	25

    	 

    

(viii)        
Seller is not a debtor in any state or federal insolvency, bankruptcy or receivership proceeding.

(ix)            
Seller has not received written notice from any governmental authority having jurisdiction of any actual or contemplated
condemnation of all or any part of the Property.

(x)              
Seller has not received any written notice of any special assessments affecting the Property.

(xi)            
There are no unemployment taxes due with respect to the Property.

(xii)          
Seller is not:

(A)            
listed on the Specially Designated Nationals and Blocked Persons List maintained by OFAC pursuant to the Order and/or on
any other list of terrorists or terrorist organizations maintained pursuant to any of the rules and regulations of OFAC or pursuant
to any other applicable Orders (such lists are collectively referred to as the "Lists");

(B)             
a Person who has been determined by competent authority to be subject to the prohibitions contained in the Orders; or

(C)             
owned or controlled by, or acting for or on behalf of, any Person on the Lists or any other Person who has been determined
by competent authority to be subject to the prohibitions contained in the Orders.

(xiii)        
The representations and warranties contained in this subsection 12(a) are made as of the date this Agreement is executed
by Seller and shall be true and correct at the Closing as a condition to Purchaser's obligation to proceed with the Closing, and
shall survive Closing for a period of twenty four (24) month except that the representations set forth in Section 12(a)(i)-(iii);
and (xii) shall survive forever.

(xiv)        
The representations and warranties set forth in Section 12(a) hereof shall survive the Closing as set forth in Subsection
12(a)(xiii) above; provided however, that any claim against Seller for a violation or alleged violation of Section 12(a) shall
be asserted within twenty four (24) month following the Closing in a written notice to Seller giving reasonable details of the
claims and, if not so asserted within such time, Seller shall have no further liability with respect thereto. Provided if Purchaser
asserts its claim during the twenty four (24) month survival period, Seller hereby agrees to indemnify the Purchaser and its successors
and assigns for any loss, cost or expense including, but not limited to court costs and reasonable legal fees necessary to enforce
this provision, resulting from any of Seller’s representations or warranties being untrue. Notwithstanding anything to the
contrary contained herein, if prior to Closing, Purchaser

    	26

    	 

    

has actual
knowledge that any representation or warranty of Seller set forth in this Agreement including, without limitation, in Section 12.1(a),
is not true, and nevertheless Purchaser proceeds to close the transaction, then Purchaser shall be deemed to have irrevocably and
unconditionally waived its rights to assert any claim against Seller after the Closing with respect to any misrepresentation of
which it had knowledge prior to the Closing.

(b)              
Covenants and Agreements. Seller hereby specifically covenants and agrees with Purchaser as follows after the Effective
Date and until the Close of Escrow:

(i)                
Seller shall keep and perform all of the obligations to be performed by the landlord under the Leases. Purchaser acknowledges
and agrees that, to the extent Seller has the right or is otherwise required or obligated to perform any duty or obligation under
the terms of any Lease which is inconsistent with the terms of this Agreement, Seller may, upon prior written notice to Purchaser,
exercise such rights and perform such duties and obligations as Seller deems necessary under the terms of the applicable Lease,
provided Purchaser reserves its rights to terminate this Agreement and receive a refund of the Deposit in the event Purchaser objects
to such action from Seller.

(ii)              
Prior to the Closing, Seller shall maintain the Improvements of the Property in their present condition and repair, except
for normal wear and tear and any casualty or condemnation, and Seller shall not remove any fixtures, equipment, furnishings and
other personalty (except for Excluded Property) from the Improvements without replacing them with comparable items of equal value.

(iii)            
Seller will not take, approve or consent to any action that would change the zoning, use, permits or licenses of or for
the Property.

(iv)            
Seller shall promptly deliver to Purchaser copies of any notices received from any Governmental Authority and parties to
any of the Leases or the Approved Service Contracts that would have a material effect on the value of the Property or Purchaser's
ability to operate the Property in its current use.

(v)              
Except to the extent, Seller is otherwise obligated or permitted to take such action pursuant to any other provision in
this Agreement, Seller shall not enter into any new Leases or amend, modify, terminate or waive any rights under the existing Leases
without Purchaser’s prior written consent and Seller shall not enter into any new Contracts or amend, modify or waive any
rights under any Contracts without Purchaser’s prior consent.

    	27

    	 

    

 

(c)               
"AS IS," "WHERE IS" PURCHASE. PURCHASER COVENANTS TO SELLER THAT PURCHASER WILL PERFORM ITS OWN
INSPECTIONS OF THE PROPERTY DURING THE FEASIBILITY PERIOD AND EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, RELY SOLELY ON ITS
OWN INVESTIGATION AND THAT PURCHASER IS NOT AND SHALL NOT RELY ON ANY SELLER'S REPORT OR OTHER INFORMATION PROVIDED OR NOT PROVIDED
TO PURCHASER BY SELLER TO MAKE A DECISION CONCERNING THE PURCHASE OR NON-PURCHASE OF THE PROPERTY. SELLER HAS NO DUTY TO DISCLOSE
ANY INFORMATION TO PURCHASER CONCERNING THE PROPERTY. OTHER THAN AS SET FORTH IN THIS AGREEMENT, SELLER MAKES NO REPRESENTATION
OR WARRANTY AS TO THE ACCURACY OF ANY INFORMATION PROVIDED TO PURCHASER. PURCHASER SPECIFICALLY UNDERSTANDS THAT ANY INFORMATION
PROVIDED BY SELLER IS SUBJECT TO PURCHASER'S VERIFICATION AND, NOTWITHSTANDING PURCHASER'S FAILURE TO SO VERIFY THE INFORMATION,
PURCHASER WILL NOT HOLD SELLER LIABLE OR MAKE ANY FUTURE CLAIMS AGAINST SELLER AS TO THE ACCURACY OR INACCURACY OF ANY INFORMATION
PROVIDED BY SELLER INCLUDING, WITHOUT LIMITATION, ANY INFORMATION CONTAINED WITHIN SELLER'S "FOR-SALE" PACKAGES,
ANY RENT ROLLS, OPERATING STATEMENTS, PROPERTY MANAGEMENT REPORTS, PLANS, SPECIFICATIONS OR SO-CALLED "AS-BUILT"
PLANS. IF PURCHASER DOES NOT TERMINATE THIS AGREEMENT PRIOR TO THE EXPIRATION OF THE FEASIBILITY PERIOD, PURCHASER ACCEPTS THE
PROPERTY IN ITS CURRENT "AS-IS" CONDITION REGARDLESS OF NON-CONFORMITY TO ANY LAWS, PLANS OR SPECIFICATIONS AND
PURCHASER EXPRESSLY WAIVES AND RELEASES ANY CLAIMS IT MAY ALLEGE AS A RESULT OF NON-CONFORMITY OF THE PROPERTY AS ACTUALLY CONSTRUCTED
WITH ANY PLANS AND SPECIFICATIONS.

EXCEPT FOR ANY REPRESENTATIONS
AND WARRANTIES SET FORTH IN THIS AGREEMENT, SELLER, SELLER'S AFFILIATES AND SELLER'S BROKER HEREBY SPECIFICALLY DISCLAIM, AND PURCHASER
EXPRESSLY WAIVES AND RELEASES, ANY WARRANTY, GUARANTY OR REPRESENTATION, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, OR
CONCERNING: (i) THE NATURE AND PHYSICAL CONDITION OF THE PROPERTY, INCLUDING, WITHOUT LIMITATION, THE WATER, SOIL AND GEOLOGY,
AND THE SUITABILITY THEREOF AND OF THE PROPERTY FOR ANY AND ALL ACTIVITIES AND USES WHICH PURCHASER MAY ELECT TO CONDUCT THEREON;
(ii) THE NATURE, ENFORCEABILITY AND EXTENT OF ANY EASEMENT, RIGHT-OF-WAY, LEASE, POSSESSION, LIEN, ENCUMBRANCE, LICENSE, RESERVATION,
CONDITION OR OTHERWISE; AND (iii) THE COMPLIANCE OF THE PROPERTY OR ITS OPERATION WITH ANY LAWS, ORDINANCES OR REGULATIONS OF ANY
GOVERNMENT OR OTHER BODY INCLUDING, WITHOUT LIMITATION, THE AMERICANS WITH DISABILITIES ACT OR THE FAIR HOUSING ACT AND RELATED
RULES AND REGULATIONS. PURCHASER SHALL INSPECT THE PROPERTY AND RELY SOLELY

    	28

    	 

    

ON ITS OWN INVESTIGATION
AND NOT ON ANY INFORMATION PROVIDED OR TO BE PROVIDED BY SELLER OR ANY OF ITS AFFILIATES, THERE BEING NO, AND PURCHASER EXPRESSLY
WAIVING AND RELEASING ANY, OBLIGATION ON SELLER'S PART TO PROVIDE OR DISCLOSE INFORMATION OTHER THAN AS SPECIFICALLY SET FORTH
HEREIN. PURCHASER FURTHER ACKNOWLEDGES THAT THE INFORMATION PROVIDED AND TO BE PROVIDED WITH RESPECT TO THE PROPERTY WAS OBTAINED
FROM A VARIETY OF SOURCES AND THAT NEITHER SELLER NOR ANY OF ITS AFFILIATES, EXCEPT AS OTHERWISE SET FORTH IN THIS AGREEMENT: (X)
HAS MADE ANY INDEPENDENT INVESTIGATION OR VERIFICATION OF SUCH INFORMATION; AND (Y) MAKES NO REPRESENTATIONS AS TO THE ACCURACY
OR COMPLETENESS OF SUCH INFORMATION. THE SALE OF THE PROPERTY AS PROVIDED FOR IN THIS AGREEMENT IS MADE ON AN "AS IS,
WHERE IS" BASIS. PURCHASER EXPRESSLY ACKNOWLEDGES, IN CONSIDERATION OF THE AGREEMENTS OF SELLER HEREIN, THAT EXCEPT
FOR ANY REPRESENTATIONS AND WARRANTIES OF SELLER CONTAINED IN THIS AGREEMENT, NEITHER SELLER NOR ANY OF ITS AFFILIATES MAKES, AND
SUCH PERSONS AND ENTITIES SPECIFICALLY DISCLAIM, ANY WARRANTY OR REPRESENTATION, EXPRESS OR IMPLIED, OR ARISING BY OPERATION OF
LAW, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTY OF CONDITION, HABITABILITY, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE,
IN RESPECT OF THE PROPERTY.

PURCHASER AGREES THAT
NEITHER SELLER NOR SELLER'S AFFILIATES SHALL BE RESPONSIBLE OR LIABLE TO PURCHASER OR ANY HEIR, LEGAL OR PERSONAL REPRESENTATIVE,
SUCCESSOR OR ASSIGNEE OF PURCHASER FOR ANY CONSTRUCTION DEFECTS, ERRORS, OMISSIONS, OR ANY OTHER CONDITIONS AFFECTING THE PROPERTY,
AS PURCHASER IS PURCHASING THE PROPERTY AS IS, WHERE IS, AND WITH ALL FAULTS. PURCHASER OR ANYONE CLAIMING BY, THROUGH OR UNDER
PURCHASER, HEREBY FULLY RELEASES SELLER AND SELLER'S AFFILIATES, THEIR PARTNERS AND MEMBERS, AND THEIR RESPECTIVE EMPLOYEES, OFFICERS,
DIRECTORS, REPRESENTATIVES AND AGENTS FOR ANY COST, LOSS, LIABILITY, DAMAGE, EXPENSE, DEMAND, ACTION OR CAUSE OF ACTION ARISING
FROM OR RELATED TO ANY CONSTRUCTION DEFECTS, ERRORS, OMISSIONS, OR OTHER CONDITIONS AFFECTING THE PROPERTY. PURCHASER FURTHER ACKNOWLEDGES
AND AGREES THAT THIS RELEASE SHALL BE GIVEN FULL FORCE AND EFFECT ACCORDING TO EACH OF ITS EXPRESS TERMS AND PROVISIONS, INCLUDING,
BUT NOT LIMITED TO, THOSE RELATING TO UNKNOWN AND SUSPECTED CLAIMS, DAMAGES AND CAUSES OF ACTION. THIS COVENANT RELEASING SELLER
AND SELLER'S AFFILIATES AND OTHERS SHALL BE A COVENANT RUNNING WITH THE PROPERTY AND SHALL BE BINDING UPON PURCHASER, ITS SUCCESSORS
AND ASSIGNS.

THE FOREGOING PROVISIONS
OF THIS SUBSECTION 12(c) SHALL NOT AFFECT, REDUCE, DIMINISH, MITIGATE OR ACT AS A WAIVER OR RELEASE OF (A) SELLER'S LIABILITY FOR
FRAUD OR INTENTIONAL MISREPRESENTATION, OR (B) PURCHASER'S RIGHT TO RELY ON THE REPRESENTATIONS AND WARRANTIES OF SELLER IN SUBSECTION
12(a) IN THIS AGREEMENT.

    	29

    	 

    

THE FOREGOING PROVISIONS
OF THIS SUBSECTION 12(c) SHALL SURVIVE THE CLOSING AND SHALL BE CONTAINED IN THE DEED.

(d)              
Purchaser's Representations and Warranties. Purchaser hereby represents and warrants to Seller as follows:

(i)                
This Agreement has been duly authorized, executed and delivered by and, subject to equitable principles generally and covenants
of good faith and fair dealing and to the federal laws relating to bankruptcy, is binding upon Purchaser in accordance with its
terms; Purchaser has the legal authority to enter into this Agreement and nothing prohibits or restricts the right or ability of
Purchaser to enter into this Agreement; this Agreement does not and will not hereafter breach, invalidate, cancel, make inoperative
or interfere with, or result in the acceleration or maturity of, any agreement, document, instrument, right or interest to which
Purchaser is a party; and the individual signing this Agreement on behalf of Purchaser has the authority, without the act, signature
or consent of any other party to bind Purchaser in connection with this Agreement.

(ii)              
Any permitted assignee of Purchaser shall be an entity duly organized, validly existing and in good standing under the laws
of the state of formation and, if applicable, duly qualified to do business in the State of Texas.

(iii)            
There is no pending or threatened litigation, action, administrative proceeding or other Claim including, without limitation,
assignments for the benefit of creditors, or voluntary or (to Purchaser's knowledge) involuntary proceedings in bankruptcy or under
other debtor relief laws, by or against Purchaser which would prohibit, restrict or otherwise affect in any material respect Purchaser's
ability to perform its obligations under this Agreement.

(iv)            
Purchaser is in compliance with the requirements of the Order and other similar requirements contained in the rules and
regulations of OFAC and in any enabling legislation or other Orders. Further, Purchaser covenants and agrees to make its policies,
procedures and practices regarding compliance with the Orders, if any, available to Seller for its review and inspection during
normal business hours and upon reasonable prior notice.

(v)              
Neither Purchaser nor any beneficial owner of Purchaser:

(A)            
is listed on the Specially Designated Nationals and Blocked Persons List maintained by OFAC pursuant to the Order and/or
on any other Lists;

(B)             
is a Person who has been determined by competent authority to be subject to the prohibitions contained in the Orders; or

    	30

    	 

    

(C)             
is owned or controlled by, or acts for or on behalf of, any Person on the Lists or any other Person who has been determined
by competent authority to be subject to the prohibitions contained in the Orders.

(vi)            
The representations and warranties contained in this subsection 12(e) are made as of the date this Agreement is executed
by Purchaser and shall be true and correct at the Closing as a condition to Seller's obligation to proceed with the Closing. Should
this Agreement terminate prior to the Close of Escrow, Purchaser shall, at its sole cost and expense, immediately return or cause
to be returned to Seller or destroy all copies of Seller's Reports, which obligation shall survive the termination of this Agreement.

(e)               
Leasing Approvals. Prior to three (3) Business Days before the expiration of the Feasibility Period, Seller may execute,
modify, amend or terminate any proposed or existing Leases, provided that Seller notifies Purchaser of the same and provides Purchaser
with a copy of any such document, prior to the date of such action intended to be undertaken by Seller. Following the expiration
of the Feasibility Period, Seller shall notify Purchaser with respect to any new lease and with respect to any amendment, termination
or modification to an existing Lease, which notice shall also be accompanied by a copy of such proposed document, and the same
shall be subject to Purchaser's prior written consent which shall not be unreasonably withheld, conditioned or delayed, it being
understood that Purchaser's failure to object to an amendment, termination, modification or new Lease within five (5) Business
Days after the date of Seller's notification to Purchaser thereof shall be deemed Purchaser's approval thereof. Except as otherwise
expressly set forth in this Agreement, any and all costs, commissions, and tenant improvement costs (excluding any attorneys' fees)
relating to new leases executed after the Feasibility Period shall be paid by Purchaser at Closing and Seller shall have no liability
therefor; and, if Seller has paid any such costs, commissions, or tenant improvement costs prior to the Closing, Seller shall receive
a credit against any of Seller's payments or credits due at Closing.

13.             
Post-Closing Indemnity.

(a)               
Purchaser's Obligations. Except as otherwise set forth in this Agreement and except for Claims, liabilities, damages,
losses, costs and expenses asserted by third parties related to actions of Seller or conditions on the Property which existed as
of the Closing Date, Purchaser hereby irrevocably and unconditionally agrees to forever indemnify, defend and hold Seller and its
Affiliates harmless from and against any and all Claims, liabilities, damages, losses, costs and expenses arising out of, related
to, or in connection with Claims, or the ownership, use, maintenance, management, financing, leasing or operation of the Property
or the Project by Purchaser, its successors or assigns, including, without limitation, any breach of the terms of this Agreement,
breach of the terms of any of the Leases or Contracts, and any covenants, conditions or restrictions affecting the Property or
the Project.

    	31

    	 

    

(b)              
Seller's Obligations. From and after Closing, subject to the conditions and limitations set forth in this Agreement,
provided Purchaser or Purchaser's Agents did not cause, or otherwise waive such Claim prior to Closing, Seller hereby irrevocably
and unconditionally agrees to forever indemnify, defend and hold Purchaser and its Affiliates harmless from and against any and
all Claims, liabilities, damages, losses, costs and expenses arising out of, related to, or in connection with Claims, or the ownership,
use, maintenance, management, financing, leasing or operation of the Property or the Project by Seller including, without limitation,
any breach of the terms of this Agreement, breach of the terms of any of the Leases or Contracts, and any covenants, conditions
or restrictions affecting the Property or the Project.

(c)               
Survival. The obligations set forth in this Section 13 shall survive Closing and delivery of the Deed.

14.             
Risk of Loss.

(a)               
Condemnation. Seller shall promptly notify Purchaser, in writing, if all of the Property is taken or proposed to
be taken pursuant to the power of eminent domain, or any proceedings with respect thereto are instituted prior to the Closing.
In the event of either a proposed taking of all of the Property or, alternatively, the commencement of any proceedings with respect
thereto prior to the Closing, which involves an area in excess of 5% of the total land area of the Property or which would permit
any Tenant to terminate its Lease (a "Material Taking"), Purchaser shall have the option, to be exercised by written
notice delivered to Seller within fifteen (15) days after the giving of written notice by Seller to Purchaser, to either: (i) elect
not to acquire the Property, in which case this Agreement shall be terminated and the Deposit shall be returned to Purchaser; or
(ii) complete the acquisition of the Property, in which case Seller shall assign to Purchaser at Closing the proceeds of such taking
that are attributable to the portion of Property so taken. If no notice is given by Purchaser within such fifteen (15) day period
of time, Purchaser will be deemed to have elected alternative (ii) above. If any taking involves a portion of the Property which
does not constitute a Material Taking, Purchaser shall be deemed to have elected to proceed to Closing under Section 14(a)(ii)
above

(b)              
Damage or Destruction. Seller shall promptly notify Purchaser, in writing, of the occurrence of any material damage
to or destruction of the Property. "Material Damage" shall be defined as total destruction of any improvements
located upon the Property, which involves a total cost to repair in excess of $200,000 or which would permit any Tenant to terminate
its Lease. In the event of any damage to or destruction of the Property, then Purchaser, at its option may either: (i) terminate
this Agreement by written notice to Seller within fifteen (15) days of the receipt of written notice of the damage by Purchaser
(or this option is waived), in which case this Agreement shall terminate and the Deposit shall be returned to Purchaser; or (ii)
consummate the purchase evidenced by this Agreement. In the event that Purchaser elects or is deemed to have elected by waiver,
to consummate the purchase pursuant to clause (ii) above, or in the event any casualty event does not result in "Material
Damage" as defined above, there shall be no delay in Closing nor any adjustment to the Purchase Price and Seller shall assign
to Purchaser at Closing all insurance proceeds Seller is entitled to receive and use to restore the Property to Purchaser, and
Seller shall pay to Purchaser the amount of any deductible applicable to any such loss covered by Seller's insurance. If Seller's
lender receives any portion of the proceeds then the amount thereof shall be deducted from the Purchase Price.

    	32

    	 

    

 

15.             
Default and Remedies.

(a)               
Purchaser's Default and Seller's Remedies. If Purchaser defaults in the performance of any of its obligations under
this Agreement, Seller shall be entitled, as its sole and exclusive remedy, to terminate this Agreement and receive the Deposit
as liquidated damages as more fully described below. IF, AFTER A DEFAULT BY PURCHASER, SELLER ELECTS TO TERMINATE THIS AGREEMENT
AND RECEIVE THE DEPOSIT AS LIQUIDATED DAMAGES, SELLER SHALL BE DEEMED TO HAVE WAIVED ALL OTHER RIGHTS OR REMEDIES IN THE EVENT
OF SUCH A DEFAULT BY PURCHASER AND SELLER COVENANTS AND AGREES THAT THE RECEIPT OF THE DEPOSIT SHALL BE SELLER'S SOLE AND EXCLUSIVE
REMEDY FOR ANY SUCH DEFAULT BY PURCHASER TO CLOSE OR OTHERWISE PERFORM ITS OBLIGATIONS HEREUNDER. THE PARTIES HAVE AGREED THAT,
IN SUCH EVENT, SELLER'S ACTUAL DAMAGES, IN THE EVENT OF A DEFAULT BY PURCHASER AND A TERMINATION HEREOF, WOULD BE EXTREMELY DIFFICULT
OR IMPRACTICABLE TO DETERMINE. THEREFORE, THE PARTIES ACKNOWLEDGE THAT THE DEPOSIT HAS BEEN AGREED UPON, AFTER NEGOTIATION, AS
THE PARTIES' REASONABLE ESTIMATE OF SELLER'S DAMAGES AND, IF ELECTED BY SELLER AND SUBJECT TO THE RECEIPT OF THE DEPOSIT, AS SELLER'S
SOLE AND EXCLUSIVE REMEDY AGAINST PURCHASER, AT LAW OR IN EQUITY, IN THE EVENT OF A DEFAULT UNDER THIS AGREEMENT ON THE PART OF
PURCHASER AND A TERMINATION HEREOF.

(b)              
Seller's Default and Purchaser's Remedies. If Seller defaults in the performance of any of its obligations under
this Agreement and fails to cure such default within ten (10) days after receipt of written notice from Purchaser to Seller specifying
such default, Purchaser shall be entitled, as Purchaser's sole and exclusive remedy, to elect to either: (i) terminate this Agreement
and receive a prompt return of the Deposit (less the Independent Consideration), and, in such event, Purchaser shall be entitled
to Purchaser’s actual third party costs or expenses; (ii) pursue specific performance to enforce Seller’s failure to
perform or (iii) waive such default; provided that if Seller’s default is intentional or if specific performance is not available
or practical as a result of Seller’s intentional default, Purchaser may terminate this Agreement and also receive liquidated
damages from Seller in an amount equal to the Deposit. Nothing contained herein is intended to limit Purchaser’s remedies
for Seller’s breach of any of its representations or warranties. PURCHASER WAIVES ALL OTHER RIGHTS OR REMEDIES IN THE EVENT
OF A DEFAULT BY SELLER. PURCHASER COVENANTS AND AGREES THAT THE FOREGOING REMEDIES ARE PURCHASER'S SOLE AND EXCLUSIVE REMEDIES
FOR ANY SUCH DEFAULT BY SELLER TO CLOSE OR OTHERWISE PERFORM ITS OBLIGATIONS HEREUNDER.

(c)               
Consequential Damages, etc. In no event shall either Party be entitled to consequential, special, exemplary, punitive
or other special damages, and any and all rights thereto are hereby waived. The provisions of this Section 15 shall survive the
termination of this Agreement and Close of Escrow.

    	33

    	 

    

 

16.             
Duties of Escrow Agent.
The duties of the Escrow Agent shall be as follows: (a) to retain and
safely keep all funds, documents and instruments deposited with it; (b) to confirm that all conditions to the Closing specified
in this Agreement have been met; (c) upon the Closing, to deliver to the Parties entitled thereto all funds, documents and instruments
to be delivered through Closing; (d) upon the Closing, to cause the recordation of the Deed in the Office of the County Recorder
of Dallas County, Texas; (e) to comply with all request of the Seller's lender and all applicable federal, state and local reporting
and withholding requirements relating to the close of this transaction (the Parties hereby agreeing that Escrow Agent, as the party
responsible for closing the Escrow, shall comply with the reporting requirements of Section 6045(e) of the Internal Revenue
Code and the permanent regulations (Section 1.6045-4) issued thereunder and made effective on January 1, 1991; and (f) to comply
with the terms of this Agreement and any additional instructions jointly executed by Purchaser and Seller. The Escrow Agent's rights
and obligations shall be further specified by such additional terms and provisions acceptable to Purchaser and Seller as said Escrow
Agent customarily requires in real property escrows administered by it; provided, however, in no event shall such additional terms
and provisions conflict with the terms of this Agreement.

17.             
Assignment. Purchaser shall not assign its interest in this Agreement without
Seller's prior, written consent, which consent shall not be unreasonably withheld, conditioned or delayed except that Purchaser
may, without Seller’s consent, but with notice to Seller, assign this Agreement to an Affiliate or to a real estate investment
trust sponsored by an Affiliate.

Upon any permitted
assignment of this Agreement, Purchaser shall promptly deliver to Seller a copy of the fully executed assignment of this Agreement
and the assumption by the assignee of Purchaser's obligations under this Agreement. Any such assignment must include the assignee's
tax identification number.

Seller may not assign
its interest in the Agreement.

18.             
Notice. Any notice
or demand to either Party must be in writing and may be: (a) personally delivered to the person to whom or to whose attention
such notice is to be given as hereinafter provided; (b) deposited in the United States or Canadian mail, duly certified or registered,
postage prepaid, return receipt requested, addressed to the Party to be notified at the address specified herein; (c) deposited
with a reputable overnight delivery service with proof of delivery; (d) transmitted by telecopier to such person or to the attention
of such person (provided that electronic confirmation of the other Party's receipt is obtained), and may be given by counsel for
the Party delivering such notice, or (e) transmittal by email, provided the sender of such notice simultaneously delivers a duplicate
of such notice by another permitted method of delivery for notices hereunder. Any such notice will be deemed received on the date
of personal delivery or telecopy or email transmittal to the Party (or such Party's authorized representative) or, if sent by United
States mail, three (3) Business Days after deposit in the United States mail as set forth in (b) above, or, if sent by overnight
delivery service, one (1) Business Day after deposit with such service, as the case may be.

    	34

    	 

    

	 	Seller’s Address:	
        Mansfield SEQ 287 & Debbie. Ltd

        2525 McKinnon Street

        Suite 700

        Dallas, Texas 75201

	 	 	Attn:	Alan P. Shor and David C. Wilson
	 	 	Email:	ashor@theretailconnection.net
        and

        dwilson@theretailconnection.net

	 	 	Telephone:	(214) 572-8441
	 	 	Facsimile:	(214) 572-0009
	 	 	 	 
	 	With a copy to:	
        Kane Russell Coleman & Logan PC

        3700 Thanksgiving Tower

        1601 Elm Street

        Dallas, Texas 75201

	 	 	Email:	rkane@krcl.com
	 	 	Attention:	Raymond Kane
	 	 	Facsimile:	(214) 777-4299
	 	 	 	 
	 	With a copy to:	
        Granite Properties

        5601 Granite Parkway, Suite 800

        Plano, Texas 75024

	 	 	Attention:	Paul Bennett and Sheryl Troiani
	 	 	Email:	PBennett@GraniteProp.com
        and

        STroiani@GraniteProp.com

	 	 	Telephone	(972) 731-2300
	 	 	Facsimile:	(972) 731-2360
	 	 	 	 
	 	Purchaser’s Address:	
        Inland Real Estaste Acquisitions, Inc.

        5057 Keller Springs Road, Suite 450

        Addison, Texas 75001

	 	 	Attn:	Matt Tice
	 	 	Email:	tice@inlandgroup.com
	 	 	Telephone:	(972) 423-5080
	 	 	Facsimile:	(972) 930-0222
	 	 	 	 
	 	With a copy to:	
        The Inland Real Estate Group, Inc.

        2901 Butterfield Road

        Oak Brook, Illinois 60523

	 	 	Attn:	Gary Pechter
	 	 	Email:	gpechter@inlandgroup.com
	 	 	Telephone:	(630) 645-2084

 

Either Party may change
its address for notices by delivering written notice to the other Party as provided herein.

    	35

    	 

    

 

19.             
Real Estate Commission. Upon the Closing of the transactions contemplated in this Agreement, Seller shall instruct
Escrow Agent to pay to a broker to be identified by Seller (the "Seller's Broker") from the proceeds due Seller
a commission pursuant to the terms of a separate written agreement. Seller and Purchaser each hereby warrant and represent to the
other that, other than Seller's Broker, no other brokers, agents, finder's fees or commissions, or other similar fees, are due
or arising in connection with the entering into of this Agreement, the sale and purchase of the Property or the consummation of
transactions contemplated herein, and Seller and Purchaser each hereby agree to indemnify and hold the other harmless from and
against all Claims which the other Party shall suffer or incur because of any Claim by a broker, agent or finder (other than Seller's
Broker) claiming by, through or under such indemnifying party, whether or not such Claim is meritorious, for any compensation with
respect to the entering into of this Agreement, the sale and purchase of the Property or the consummation of transactions contemplated
herein. The obligations of the Parties under this Section 19 shall survive the Closing under this Agreement.

20.             
General Provisions.

(a)               
Time. Time is of the essence of this Agreement.

(b)              
Attorneys' and Other Fees. Should any Party hereto employ an attorney for the purpose of enforcing or construing
this Agreement, or any judgment based on this Agreement, in any legal proceeding whatsoever, including insolvency, bankruptcy,
arbitration, declaratory relief or other litigation, including appeals and rehearings, the prevailing party will be entitled to
receive from the other party or parties thereto reimbursement for all costs and expenses, including reasonable attorneys' and other
fees, incurred by the prevailing party in connection with such action or proceeding. The term "attorneys' and other fees"
will mean and include, without limitation, attorneys' fees, accountants' fees, service of process costs, filing fees, court and
court reporter costs, investigative costs, expert witness fees, the cost of any bonds, and any and all other similar fees incurred
in connection with the action or proceeding, preparations therefor and all appeals thereof, whether taxable or not. The prevailing
party will be entitled to include such reimbursement in any judgment or final order issued in that proceeding or to maintain a
separate action therefor. The "prevailing party" means the Party determined by the court to most nearly prevail and not
necessarily the one in whose favor a judgment is rendered.

    	36

    	 

    

 

(c)               
Counterparts/Facsimile Transmissions. This Agreement or any escrow instructions pursuant to this Agreement may be
executed in multiple counterparts, each of which will be deemed an original, but all of which will constitute one and the same
Agreement after each Party has signed such a counterpart. A facsimile or similar transmission of a counterpart executed by a Party
hereto shall be regarded as executed by such Party for purposes hereof.

(d)              
Computation of Time Periods. All periods of time referred to in this Agreement will include all Business Days and
non Business Days, unless the period of time specifies Business Days; provided, however, that if the date or last date to perform
any act or give any notice or approval will fall on a non-Business Day, such act or notice may be timely performed or given on
the next Business Day.

(e)               
Construction. Headings at the beginning of each subsection and Section are solely for the convenience of the Parties
and are not a part of this Agreement. Any and all exhibits and schedules attached hereto are hereby incorporated herein by this
reference. Unless otherwise indicated, all references herein to subsections, Sections or provisions are to those in this Agreement.
Any reference to a Section herein includes all subsections thereof. This Agreement will not be construed as if it had been prepared
by only Purchaser or Seller, but rather as if both Purchaser and Seller had prepared the same. In the event any portion of this
Agreement shall be declared by any court of competent jurisdiction to be invalid, illegal or unenforceable, such portion will be
deemed severed from this Agreement and the remaining parts hereof will remain in full force and effect, as fully as though such
invalid, illegal or unenforceable portion had never been part of this Agreement.

(f)               
Entire Agreement. This Agreement, together with all exhibits and schedules attached hereto and other agreements expressly
referred to herein, constitutes the entire agreement between the Parties with respect to the purchase and sale of the Property.
All prior or contemporaneous agreements or understandings, oral or written, are hereby superseded.

(g)              
No Partnership. Seller shall not be deemed to be a partner, joint venturer, co tenant, agent, guarantor or surety
of Purchaser in connection with this Agreement, the Property or the Project or any action taken under or pursuant to this Agreement.

    	37

    	 

    

 

(h)              
Unenforceability of Any Provision. If any provision of this Agreement shall be held in violation of any applicable
law or unenforceable for any reason, the unenforceability of any such provision shall not invalidate or render unenforceable any
other provision hereof.

(i)                
Legal Construction. Purchaser shall acquire no real property interest in any of the Property by reason of the execution
of this Agreement. Purchaser's rights in and to the Property shall vest only upon the recordation of the Deed conveying the Property
to Seller and the payment of the Purchase Price therefor.

(j)                
No Survival of Closing. Except for the Surviving Duties and as otherwise set forth herein, all of the terms, conditions,
provisions, representations, warranties, covenants and agreements of this Agreement shall not survive the Close of Escrow and delivery
and recordation of the Deed and shall be merged therein for the benefit of the Parties and their respective legal representatives,
successors and assigns.

(k)              
Parties Bound. Except as specifically limited hereby, this Agreement shall inure to the benefit of and be binding
on the Parties hereto and their respective legal and personal representatives, successors and assigns.

(l)                
Further Assurances. The Parties agree to take such further actions and execute such additional documents and instruments
as may be reasonably required in order to more effectively carry out the terms of this Agreement and the intentions of the parties.

(m)            
Modification/Waiver. A modification of any provision herein contained, or any other amendment to this Agreement,
will be effective only if such modification or amendment is in writing and signed by Seller and Purchaser. No waiver by any Party
of any default or breach will be considered to be a waiver of any other default or breach.

(n)              
Texas Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Texas,
without regard to choice of law principles.

    	38

    	 

    

 

21.             
No Memorandum. The Parties agree that neither this Agreement nor a Memorandum of this Agreement shall be recorded
in any public records of Tarrant County, Texas, or any other county in the State of Texas.

22.             
Tax Deferred Exchange. Purchaser and Seller hereby agree to cooperate with each other and shall execute any and all
documents necessary, in the form reasonably approved by the both parties, which shall assign all of such party's right, title and
interest in and to this Agreement to an intermediary, which intermediary shall complete the sale/purchase of the Property, in order
to accommodate a tax-deferred exchange for such party pursuant to the provisions of Section 1031 of the Internal Revenue Code of
1986, as amended (a "1031 Exchange"); provided, however neither party shall incur additional costs, expenses
or liabilities in assisting the party with the tax-deferred exchange other than for review of the exchange documents, such exchange
shall not delay the Closing, nor shall either party be required to take title to other property in connection with such tax-deferred
exchange. Additionally, Seller shall have the right to undertake any number of interim transfers, assignments or conveyances to
constituent members, partners, shareholders or owners of Seller to accommodate one or more individual 1031 Exchanges with respect
to the fractional ownership interests of such constituent members, partners, shareholders or owners of Seller, provided, however,
that notwithstanding any such interim conveyances the entirety of the Property will be conveyed to Purchaser on the Closing Date.

23.             
Public Disclosure. Prior to and after the Closing, any release to the public of information with respect to the sale
contemplated herein or any matters set forth in this Agreement will be made only in the form approved by Purchaser and Seller;
provided, that after Closing, the limitations set forth in this sentence shall no longer apply to either Party. Except as hereinabove
set forth, the provisions of this Section 23 shall survive the Closing or any termination of this Agreement. Seller acknowledges
that Purchaser or its assignee will be required to issue a press release at the end of the Feasibility Period if it determines
to proceed with the transaction.

24.             
Waiver of Jury Trial. TO THE MAXIMUM EXTENT PERMITTED BY LAW, EACH OF THE PURCHASER AND SELLER IRREVOCABLY WAIVES
ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT
OF OR RELATING TO ANY OF THE PROVISIONS OF THIS AGREEMENT.

[SIGNATURE PAGE FOLLOWS]

    	39

    	 

    

 

IN
WITNESS WHEREOF, the
parties have executed
this Agreement as
of the date
set forth below, to
be effective as of the
Effective Date.

 

	 	SELLER:	 
	 	 	 	 
	 	
        MANSFIELD SEQ & DEBBIE LTD.,

        A Texas Limited Partnership

	 	 	 	 
	 	By:	
        Mansfield SEQ 287 & Debbie GP,
        LLC,

        A Texas limited liability company,

        Its General Partner

	 	 	 	 
	 	By:	/s/ Alan P. Shor
	 	Name:	Alan P. Shor
	 	Title:	Manager
	 	 	 	 
	 	Date of Execution:	2/18/14
	 	 	 	 
	 	 	 	 
	 	By:	
        Granite Properties, Inc.,

        A Delaware corporation,

        Its General Partner

	 	 	 	 
	 	By:	/s/ William P. Brown
	 	Name:	William P. Brown
	 	Title	Senior Director of Investments
	 	 	 	 
	 	Date of Execution:	2/18/14
	 	 	 	 
	 	 	 	 
	 	PURCHASER:	 
	 	 	 
	 	
	 	 	 	 

  

 

    	 

    	 

    

CONSENT OF ESCROW
AGENT

The undersigned Escrow
Agent acknowledges receipt of this Agreement as executed by both Purchaser and Seller, and the Deposit, and hereby agrees to: (a)
accept the foregoing Agreement and the Deposit; (b) hold and disburse the Deposit as provided herein; (c) be Escrow Agent under
the Agreement; (d) be bound by the Agreement in the performance of its duties as Escrow Agent; and (e) issue the title coverage
required by the terms of this Agreement pursuant to a co-insurance agreement with Old Republic Title Company, utilizing the title
abstract previously prepared by Old Republic Title Company; provided, however, the undersigned shall have no obligations, liability
or responsibility under this Consent or otherwise, unless and until the Agreement, fully signed by Seller and Purchaser, and the
Deposit have been delivered to the undersigned.

Date: ____2/18________________
2014

 

	 	CHICAGO TITLE INSURANCE COMPANY
	 	 	 
	 	By:	/s/ Nancy R. Castro
	 	Name:	Nancy R. Castro
	 	Title:	Vice President

 

    	 

    	 

    

 

EXHIBIT
A

LEGAL DESCRIPTION OF REAL PROPERTY

 

Lot 2, Block 1, Mansfield Pointe Addition,
an addition to the City of Mansfield, Tarrant County, Texas, according to the Plat thereof recorded in Cabinet A, Page 12076, Plat
Records, Tarrant County, Texas, save and except that certain outparcel shown on Exhibit A-1 attached hereto, which shall be platted
following the Closing in accordance with the terms of the Agreement.

    	 

    	 

    

EXHIBIT
"A-1"

SEPARATE OUTPARCEL

?

    	 

    	 

    

EXHIBIT
B

LIST OF SERVICE CONTRACTS

1.

2.

3.

    	 

    	 

    

EXHIBIT
C

FORM OF SPECIAL WARRANTY DEED

[The form of Special Warranty Deed follows
this cover page.]

 

    	 

    	 

    

NOTICE OF CONFIDENTIALITY RIGHTS: IF
YOU ARE A NATURAL PERSON, YOU MAY REMOVE OR STRIKE ANY OF THE FOLLOWING INFORMATION FROM THIS INSTRUMENT BEFORE IT IS FILED FOR
RECORD IN THE PUBLIC RECORDS: YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER'S LICENSE NUMBER.

SPECIAL
WARRANTY DEED

KNOW ALL MEN BY THESE PRESENTS:

THAT MANSFIELD SEQ
287 & DEBBIE, LTD., a Texas limited partnership ("Grantor"), FOR AND IN CONSIDERATION of the sum of TEN AND
NO/100 DOLLARS ($10.00) in hand paid to Grantor by _________________, a _________, with a mailing address of ____________________________
("Grantee"), that certain real property located in Dallas, Dallas County, Texas, being more particularly described on
Exhibit "A" attached hereto and fully made a part hereof (the "Land"), together with all improvements
located thereon and all rights and appurtenances thereto in anywise belonging to Grantor, including but not limited to, all rights,
titles and interests, if any, of Grantor in (a) any land lying in or under the bed of any highway, avenue, street, road, alley,
open or proposed, in, on, across, abutting or adjacent to the Land, but only from the Land to the center line of such highway,
avenue, street, road, or alley; and (b) all rights, titles and interests of Grantor, if any, in and to any awards made, or to be
made in lieu thereof, for damage by reason of change in grade of any such highway, avenue, street, road or alley with respect to
the Land only (all of said Land, property and interest being collectively referred to herein as the "Property"), subject,
however, to those matters described on Exhibit "B" attached hereto and fully made a part hereof (the "Permitted
Exceptions").

TO HAVE AND TO
HOLD the above described Property, subject to the Permitted Exceptions, together with any and all the rights and appurtenances
thereto in anywise belonging to Grantor, unto the said Grantee, its legal representatives, successors and assigns FOREVER, and
Grantor does hereby bind itself and its legal representatives, successors and assigns to WARRANT AND FOREVER DEFEND all and singular
the Property unto the said Grantee, its successors, legal representatives and assigns, against every person whomsoever lawfully
claiming or to claim the same or any part thereof by, through or under Grantor, but not otherwise.

Ad valorem taxes
applicable to the Property have been paid up to and including the year 20__, and ad valorem taxes applicable to the Property for
the year 20___ have been estimated and prorated by Grantor and Grantee as of the date of this Special Warranty Deed. Subject to
any rights regarding reallocation of said prorations contained in any document executed between Grantor and Grantee, Grantee hereby
assumes payment of ad valorem taxes for the year 20___ and each year thereafter.

GRANTEE ACKNOWLEDGES
THAT THE PROPERTY IS BEING SOLD "AS IS, WHERE IS" WITHOUT ANY OBLIGATION OF GRANTOR, EXCEPT AS EXPRESSLY SET FORTH IN
THE PURCHASE AND SALE AGREEMENT FOR THE PROPERTY DATED _____________, 2014 (THE "AGREEMENT"), TO THE CONTRARY, TO PERFORM
ANY REPAIRS, IMPROVEMENTS, MAINTENANCE OR OTHER WORK TO THE PROPERTY OR ANY PART THEREOF, AND WITHOUT, EXCEPT AS EXPRESSLY SET
FORTH HEREIN OR IN THE AGREEMENT TO THE CONTRARY, ANY WARRANTIES, EXPRESS OR IMPLIED, OF ANY KIND FROM GRANTOR, INCLUDING, BUT
NOT LIMITED TO, WARRANTIES OF FITNESS, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, HABITABILITY, TENANTABILITY OR ENVIRONMENTAL
CONDITION. GRANTOR EXPRESSLY DISCLAIMS ANY REPRESENTATIONS AND WARRANTIES WITH RESPECT TO THE PROPERTY, EXCEPT AS SPECIFICALLY
SET FORTH IN THIS SPECIAL WARRANTY DEED, INCLUDING ANY REPRESENTATIONS BY ANY BROKERS OR SALESMEN, AND GRANTEE DOES HEREBY ACKNOWLEDGE
THAT, IN PURCHASING THE PROPERTY, GRANTEE IS RELYING ONLY UPON THOSE REPRESENTATIONS OF GRANTOR CONCERNING THE PROPERTY EXPRESSLY
SET FORTH AS SUCH IN THIS SPECIAL WARRANTY DEED. FURTHER, GRANTEE HEREBY WAIVES ANY CLAIM IT MAY HAVE AGAINST GRANTOR AS TO MATTERS
RELATED TO THE PROPERTY OR GRANTOR. GRANTEE ASSUMES THE RISK THAT ADVERSE MATTERS, INCLUDING BUT NOT LIMITED TO, ADVERSE PHYSICAL
AND ENVIRONMENTAL CONDITIONS, MAY NOT HAVE BEEN REVEALED BY GRANTEE'S INVESTIGATIONS, AND GRANTEE IS HEREBY DEEMED TO HAVE WAIVED,
RELINQUISHED AND RELEASED GRANTOR (AND GRANTOR'S OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) FROM AND AGAINST ANY
AND ALL CLAIMS, DEMANDS, CAUSES OF ACTION (INCLUDING CAUSES OF ACTION IN TORT), LOSSES, DAMAGES, LIABILITIES, COSTS AND EXPENSES
(INCLUDING REASONABLE ATTORNEYS' FEES) OF ANY AND EVERY KIND OR CHARACTER, KNOWN OR UNKNOWN, THAT GRANTEE MIGHT HAVE ASSERTED OR
ALLEGED AGAINST GRANTOR (AND GRANTOR'S OFFICERS, DIRECTORS, SHAREHOLDERS, EMPLOYEES AND AGENTS) AT ANY TIME BY REASON OF OR ARISING
OUT OF ANY LATENT OR PATENT PHYSICAL CONDITIONS, VIOLATIONS OF ANY APPLICABLE LAWS AND ANY AND ALL OTHER ACTS, OMISSIONS, EVENTS,
CIRCUMSTANCES OR MATTERS REGARDING THE PROPERTY, EXCEPT ANY SUCH CLAIM, DEMAND, CAUSE OF ACTION, LOSS, DAMAGE, LIABILITY, COST
OR EXPENSE ARISING OUT OF ANY BREACH BY GRANTOR OF ANY REPRESENTATION OR WARRANTY EXPRESSLY SET FORTH IN THE AGREEMENT.

    	 

    	 

    

EFFECTIVE as of the
______ day of _________________, 2014.

GRANTOR:

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited liability company,

its General Partner

 

 

By:    _________________________

Alan P. Shor, Manager

 

STATE OF
TEXAS         §

§

COUNTY OF DALLAS §

This instrument was
acknowledged before me on ____________, 2014, by _________________________, as Manager of Mansfield SEQ 287 & Debbie GP, LLC,
a Texas limited liability company, the General Partner of MANSFIELD SEQ 287 & DEBBIE, LTD., a Texas limited partnership, on
behalf of said corporation and limited partnership.

____________________________________

Notary Public for the State of
Texas

 

 

AFTER RECORDING RETURN TO:

_________________________________

    	 

    	 

    

EXHIBIT A

TO

SPECIAL WARRANTY DEED

LEGAL DESCRIPTION OF PROPERTY

 

    	 

    	 

    

EXHIBIT B

TO

SPECIAL WARRANTY DEED

PERMITTED EXCEPTIONS

[to be completed]

 

    	 

    	 

    

EXHIBIT
D

SELLER'S DELIVERIES

		1.	True and correct copies of the Leases, and all amendments.

		2.	Seller's existing survey.

		3.	Existing environmental reports.

		4.	Seller's existing title policy.

		5.	Any contractor warranties in Seller's possession.

		6.	Tax certificates in Seller's possession.

		7.	A Certified Rent Roll

		8.	All other items listed on the Due Diligence checklist attached hereto as Schedule D-1

    	 

    	 

    

 

SCHEDULE D-I

 

DUE DILIGENCE CHECKLIST

 

	5.	 	 	Seller Comments
	A	FINANCIAL INFORMATION	 	 	 
	 	1	Leases	 	 	 
	 	 	a	Copies of all leases, amendments and any guarantees	 
	 	 	 	We need within three (3) days after acceptance of agreement.	 
	 	 	b	Copies of any REA, OEA, easements and encumbrances, owner association documents, if applicable.	 
	 	 	 	We need within three (3) days after acceptance of agreement.	 
	 	 	c	Standard Lease form.	 	 	 
	 	 	 	 	 	 	 
	 	2	Rent Roll	 	 	 
	 	 	a	Current Rent Roll	 	 	 
	 	 	 	We need within three (3) days after acceptance of agreement.	 
	 	 	b	Rent Roll as of December 31 of previous year	 
	 	 	c	Rent information for any tenant who occupied a space during previous year, including vacated tenants as of December 31 of previous year.	 
	 	 	d	Future rent information for any tenant to occupy a space in the current year whose lease was signed and finalized as of December 31 of the previous year.	 
	 	 	e	Schedule of rents for free ret and stopped rent periods	 
	 	 	 	 	 	 	 
	 	3	Copies of Commencement Letters to Tenants.	 
	 	 	 	 	 	 	 
	 	4	Latest leasing status report	 	 	 
	 	 	 	 	 	 	 
	 	5	Summary of recent lease transactions including rate and tenant improvement allowances	 
	 	 	 	 	 	 	 
	 	6	Percentage Rent	 	 	 
	 	 	a	List of current tenants on percentage rent only or percentage rent in lieu basis	 
	 	 	b	Summary of percentage rents for the year ended December 31 of previous year and related support	 
	 	 	 	 	 	 	 
	 	7	List of specialty license agreements	 	 	 
	 	 	 	 	 	 	 
	 	8	Operating Statements	 	 	 
	 	 	a	Prior five full years income / operating statements ending December 31	 
	 	 	b	Income / Operating Statement from January 1 through the end of the most recent quarter.	 
	 	 	c	Year-to-date income / operating statement	 
	 	 	d	Balance Sheet as of December 31 of previous year	 
	 	 	e	Current year / full year operating budgets	 
	 	 	f	Following year budget	 	 	 
	 	 	 	 	 	 	 
	 	9	General Ledger	 	 	 
	 	 	a	General ledger detail for income statement accounts for the previous year ending December 31	 
	 	 	b	Year-to-date general ledger statement	 
	 	 	 	 	 	 	 
	 	10	Copies of bills for Real Estate Taxes (last three years)	 
	 	 	 	 	 	 	 
	 	11	Seller's Insurance	 	 	 
	 	 	a	Liability - copy of Declaration page for current and previous three years	 
	 	 	b	Property - copy of Declaration page for current and previous three years	 
	 	 	c	Property and Liability loss runs	 
	 	 	d	Elevation Certification for Flood Insurance	 
	 	 	 	 	 	 	 
	 	12	Tenant Reconciliations	 	 	 
	 	 	a	Copies of reconciliations for CAM / Tax / Insurance for year ended December 31 of previous year for all tenants including vacated Tenants.	 
	 	 	b	Statement of current monthly amounts paid by tenants for CAM / Tax / Insurance plus a year-to-date balance of amounts paid by each tenant (Tenant Ledgers)	 
	 	 	 	 	 	 	 
	 	13	Information related to any recent CAM or Tax Audits, including copies of reports	 
	 	 	 	 	 	 	 
	 	14	Leakage report of reimbursable expenses by tenant	 
	 	 	 	 	 	 	 
	 	15	Receivables status / Aging Report	 	 	 
	 	 	 	 	 	 	 
	 	16	Tenant Sales reports for last three years (absolutely required for tenants who have kick-outs for sales or who paid percentage rent.)	 
	 	 	 	 	 	 	 
	 	17	Tenant financial statements (non-anchor tenants)	 
	 	 	 	 	 	 	 
	 	18	Lease Expirations	 	 	 
	 	 	a	Next three years	 	 	 
	 	 	b	Status of expirations, with kick-outs, with respect to renewal possibilities	 
	 	 	 	 	 	 	 
	 	19	Description and breakdown of Promotional Income and Marketing Fund	 
	 	 	 	 	 	 	 
	 	20	Leasing Plan	 	 	 
	 	 	 	 	 	 	 
	B	EXPENSE INFORMATION	 	 	 
	 	1	Utility Bills - 12 months of consecutive bills	 
	 	 	a	Water	 	 	 
	 	 	b	Gas	 	 	 
	 	 	c	Electric	 	 	 
	 	 	d	Telephone and dedicated lines (alarms)	 
	 	 	 	 	 	 	 
	 	2	Service Agreements - Copies of all service agreements , contracts or leases that encumber the property	 
	 	 	a	Fire / Sprinkler / Burglar Alarms	 
	 	 	b	Antenna Cable / Satellite Dish	 
	 	 	c	Cleaning	 	 	 
	 	 	d	Exterminating	 	 	 
	 	 	e	Landscaping	 	 	 
	 	 	f	Scavenger	 	 	 
	 	 	g	Security Service	 	 	 
	 	 	h	Snow Removal	 	 	 
	 	 	i	Towing	 	 	 
	 	 	j	Union Contracts	 	 	 
	 	 	k	Elevator	 	 	 
	 	 	l	Uniform Rental	 	 	 
	 	 	m	Water Softeners	 	 	 
	 	 	n	Leasing	 	 	 
	 	 	o	Management Agreement	 	 	 
	 	 	p	Advertising	 	 	 
	 	 	q	Tax reduction legal fees	 	 	 
	 	 	r	Any other service contracts or leases not cancelable in 90 days	 
	 	 	 	 	 	 	 
	 	3	Copies of one month's invoices for recurring contractual operating expenses (contractual, landscaping, sweeping, etc.)	 
	 	 	 	 	 	 	 
	 	4	Copies of invoices for various significant expense items (repairs, maintenance, contractual)	 
	 	 	 	 	 	 	 
	 	5	Detail of legal fees and any legal matters related to the property and/or tenants	 
	 	 	 	 	 	 	 
	 	6	Capital Improvements	 	 	 
	 	 	a	Capital improvements over the last 36 months	 
	 	 	b	Five-year capital expenditure forecast	 
	 	 	c	Assignable warranties (other than roof)	 
	 	 	 	 	 	 	 
	C	ENVIRONMENTAL REPORTS - Existing Phase I (and Phase II, if applicable)	 
	 	 	 	 	 	 	 
	D	STAFFING	 	 	 
	 	1	Itemized by position and salary	 	 	 
	 	 	 	 	 	 	 
	E	SITE INSPECTIONS	 	 	 
	 	1	Inspection Report	 	 	 
	 	2	Photos	 	 	 
	 	 	 	 	 	 	 
	F	MISCELLANEOUS	 	 	 
	 	1	Code Violations	 	 	 
	 	 	a	Current and outstanding	 	 	 
	 	 	b	Last 24 months with compliance	 	 	 
	 	 	c	Contact municipalities as to other problems	 
	 	 	 	 	 	 	 
	 	2	Copies of all warranties	 	 	 
	 	 	a	Roof	 	 	 
	 	 	b	Construction	 	 	 
	 	 	 	 	 	 	 
	 	3	Current Tenant Contact List	 	 	 
	 	 	 	 	 	 	 
	 	4	Certificates of Insurance for each tenant	 
	 	 	 	 	 	 	 
	 	5	Appraisal	 	 	 
	 	 	 	 	 	 	 
	 	6	Copy of Management Agreement	 	 	 
	 	 	 	 	 	 	 
	 	7	Marketing / Leasing Brochures	 	 	 
	 	 	 	 	 	 	 
	 	8	Survey	 	 	 
	 	 	 	 	 	 	 
	 	9	Site Plan	 	 	 
	 	 	 	 	 	 	 
	 	10	Building Photographs and aerials	 	 	 
	 	 	 	 	 	 	 
	 	11	Certificates of Occupancy	 	 	 
	 	 	 	 	 	 	 
	 	12	Zoning Letter	 	 	 
	 	 	 	 	 	 	 
	 	13	Building Plans and Specifications	 	 	 
	 	 	 	 	 	 	 
	 	14	Estoppels (Tenants, Guarantors, REAs, OEAs, Association's, if any)	 
	 	 	 	 	 	 	 
	 	15	Engineering (Property Condition) Report	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	Base Rent / Physical Occupancy

Previous Five Years	 	 	 
	Year Ending December 31	Occupancy Rate 

as of December 31	 	Effective Annual Rental Rate 

as of December 31	 
	2012	 	 	 	 
	2011	 	 	 	 

    	 

    	 

    

EXHIBIT
E

PRE-APPROVED TESTS

1.Indoor air quality sampling for
humidity, carbon monoxide, methane and radon only.

2.Non-invasive engineering inspections.

3.Non-invasive water proofing inspections.

4.Non-invasive Phase I environmental
site assessment.

5.Appraisal.

 

    	 

    	 

    

EXHIBIT
F

FORM OF LEASE ASSIGNMENT

[The form of Lease Assignment follows
this cover page.]

    	 

    	 

    

LEASE ASSIGNMENT

THIS LEASE ASSIGNMENT
(this "Assignment") is made and entered into as of _____________, 2014 ("Assignment Date"), by
MANSFIELD SEQ 287 & DEBBIE, LTD., a Texas limited partnership ("Assignor"), whose address is 2525 McKinnon,
Suite 700, Dallas, Texas 75201, for the benefit of ________________________________, a _____________________________ ("Assignee"),
with reference to the following facts:

A.Concurrently
with the execution of this Assignment, Assignee has acquired from Assignor that certain land more particularly described on Exhibit
A attached hereto (the "Land"), together with all rights and privileges appurtenant thereto, and all buildings
and other Improvements located thereon or attached thereto, pursuant to the terms of that certain Agreement for Sale and Purchase
and Joint Escrow Instructions dated as of _____________, 2014 (the "Contract"), by and between Assignor, as seller,
and Assignee, as purchaser, as such agreement has been assigned and otherwise amended, supplemented and/or modified, the terms
of which are incorporated herein by reference.

B.Assignor desires
to assign, transfer and convey to Assignee all of Assignor's right, title and interest, as landlord, in and to (i) those Leases
listed on Exhibit B attached hereto, (ii) all other leases and rental agreements with respect to the ownership, occupancy
and use of the Improvements entered into by Assignor prior to Closing, (iii) any and all amendments, supplements and modifications
to any of the foregoing, and (iv) any and all guarantees of the tenant's obligations thereunder (collectively, the "Leases"),
upon the terms and conditions set forth herein.

NOW, THEREFORE, in
consideration of the foregoing and other good and valuable consideration in hand paid by Assignee to Assignor, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

1.Assignment
of Leases. Assignor hereby irrevocably assigns and transfers to Assignee from and after the Assignment Date all of Assignor's
right, title and interest in and to the Leases, including, without limitation: (a) the full amount of all rent payable to Assignor
pursuant to the Leases; (b) the full amount of all tenant security and other related deposits delivered to Assignor pursuant to
the Leases; and (c) any other payments due to Assignor under the Leases; provided, however, nothing contained in this Assignment
shall be construed to include any Excluded Property. Notwithstanding the foregoing, Assignor and Assignee understand and agree
that Assignor is retaining the right to receive certain payments from Aqua Tots, which payments have been disclosed to Assignee.
(We need an indemnity for all liabilities accruing prior the Closing Date.) 

2.Assignee's
Assumption. Assignee assumes and agrees to perform all duties, obligations, terms, covenants and conditions of the Leases on
the part of Assignor (either as the landlord or otherwise) therein required to be performed arising on or after the Assignment
Date. Assignee also assumes and agrees to hold and pay the Security Deposits delivered or credited to Assignee to the persons entitled
to them, subject to the terms of the applicable Lease.

3.Governing
Law. This Assignment shall be governed by and construed in accordance with the substantive laws of the State of Texas.

4.Binding Obligations.
The provisions of this Assignment shall be binding upon and inure to the benefit of Assignor and Assignee and their respective
successors and permitted assigns.

5.Counterparts/Facsimile
Transmission. This Assignment may be executed in one or more counterparts, each of which will be deemed an original, but all
of which shall constitute one and the same document. A facsimile or similar transmission of a counterpart executed by a party hereto
shall be regarded as executed by such party for purposes hereof.

[Signatures appear on the following
page.]

    	 

    	 

    

IN WITNESS WHEREOF,
Assignor and Assignee have executed this Assignment to be effective as of the Assignment Date.

ASSIGNOR:

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited liability company,

its General Partner

 

 

By:                                            

Alan P. Shor, Manager

 

ASSIGNEE:

 

___________________________________,

a __________________________________

 

 

By:_________________________________

Name: ______________________________

Title:________________________________

 

 

    	 

    	 

    

Exhibit A

to Lease Assignment

Legal Description of Land

 

 

    	 

    	 

    

Exhibit B

to Lease Assignment

Leases

    	 

    	 

    

EXHIBIT
G

FORM OF CONTRACT ASSIGNMENT

[The form of Contract Assignment follows
this cover page.]

    	 

    	 

    

CONTRACT
ASSIGNMENT

THIS CONTRACT ASSIGNMENT
(this "Assignment") is made and entered into as of ________________, 2014 ("Assignment Date"),
by MANSFIELD SEQ 287 & DEBBIE, LTD., a Texas limited partnership ("Assignor"), whose address is 2525 McKinnon,
Suite 700, Dallas, Texas 75201, for the benefit of ______________________________, a ____________________ ("Assignee"),
with reference to the following facts:

A.Concurrently
with the execution of this Assignment, Assignee has acquired from Assignor that certain land more particularly described on Exhibit
A attached hereto (the "Land"), together with all rights and privileges appurtenant thereto, and all buildings
and other Improvements located thereon or attached thereto, pursuant to the terms of that certain Agreement for Sale and Purchase
and Joint Escrow Instructions dated as of __________________, 2014 (the "Agreement"), by and between Assignor,
as seller, and Assignee, as purchaser, as such agreement has been assigned and otherwise amended, supplemented and/or modified,
the terms of which are incorporated herein by reference.

B.Assignor desires
to assign, transfer and convey to Assignee all of Assignor's right, title and interest in and to the Contracts (hereinafter defined),
upon the terms and conditions set forth herein.

NOW, THEREFORE, in
consideration of the foregoing and other good and valuable consideration in hand paid by Assignee to Assignor, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

1.Assignment
of Contracts. Assignor hereby irrevocably assigns and transfers to Assignee from and after the Assignment Date all of Assignor's
right, title and interest in and to those contracts, agreements, commitments, service contracts, utility contracts and maintenance
agreements which relate to the operation, management, maintenance, use or occupancy of the Property listed on Exhibit B
(the "Contracts") to this Assignment; provided, however, nothing contained in this Assignment shall be construed
to include any Excluded Property. (Seller’s indemnity)

2.Assignee's
Assumption. Assignee hereby assumes and agrees to diligently perform all duties, obligations, terms, covenants and conditions
of the Contracts on the part of the Assignor therein required to be performed arising on or after the Assignment Date.

3.Notice to
Service Providers. Assignee shall provide written notice to each service provider under each Contract by Purchaser is the form
attached thereto as Exhibit C.

4.Governing
Law. This Assignment shall be governed by and construed in accordance with the substantive laws of the State of Texas.

5.Binding Obligations.
The provisions of this Assignment shall be binding upon and inure to the benefit of Assignor and Assignee and their respective
successors and permitted assigns.

6.Counterparts/Facsimile
Transmission. This Assignment may be executed in one or more counterparts, each of which will be deemed an original, but all
of which shall constitute one and the same document. A facsimile or similar transmission of a counterpart executed by a party hereto
shall be regarded as executed by such party for purposes hereof.

[Signatures appear on the following
page.]

    	 

    	 

    

IN WITNESS WHEREOF,
Assignor and Assignee have executed this Assignment to be effective as of the Assignment Date.

ASSIGNOR:

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited liability company,

its General Partner

 

 

By:                                               

Alan P. Shor, Manager

 

 

 

ASSIGNEE:

 

_______________________________,

a ______________________________

 

 

By:_____________________________

Name: __________________________

Title:____________________________

    	 

    	 

    

Exhibit A

to Contract Assignment

Legal Description of Land

 

 

    	 

    	 

    

Exhibit B

to Contract Assignment

List of Approved Service Contracts

 

 

    	 

    	 

    

Exhibit C

to Contract Assignment

Form of Notice of Assumption

    	 

    	 

    

EXHIBIT
H

FORM OF TENANT'S NOTICE

[The form of Tenant's Notice follows
this cover page.]

 

 

    	 

    	 

    

MANSFIELD SEQ 287 & DEBBIE, LTD.

2525 McKinnon, Suite 700

Dallas, Texas 75201

 

_____________, 2014

Dear Tenant:

We are pleased to
announce that ________________________________ ("Purchaser"), is the new owner of ______________________ Mansfield
Pointe Shopping Center.

The shopping center
will be managed by ______________________________, a ____________________ ("Manager"), authorized property manager
for Purchaser, and you are hereby notified to make all future rental and other payments required under your lease to Manager at
______________________________ and direct all future notices and correspondence relating to the lease to Manager at the same address.
All checks must be made payable to ____________________. [Include if there is a security deposit:] [The balance of your
security deposit in the amount of $________________ has been transferred to Purchaser and such deposit will be held pursuant to
the terms of your lease.]

Please feel free to
call the Manager at (____) __________ if you have any questions.

Very truly yours,

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited liability company,

its General Partner

 

 

By:                                                       

Alan P. Shor, Manager

    	 

    	 

    

EXHIBIT
I

FORM OF BILL OF SALE AND ASSIGNMENT

[The form of Bill of Sale and Assignment
follows this cover page.]

 

    	 

    	 

    

BILL OF
SALE AND ASSIGNMENT

THIS BILL OF SALE
AND ASSIGNMENT (this "Agreement") is made effective as of this ___ day of ________, 2014 (the "Effective
Date"), by MANSFIELD SEQ 287 & DEBBIE, LTD., a Texas limited partnership ("Assignor"), whose address
is 2525 McKinnon Street, Suite 700, Dallas, Texas 75201, for the benefit of ______________________________, a ____________________
("Assignee").

A.Concurrently
with the execution of this Agreement, Assignee has acquired from Assignor that certain commercial shopping center commonly known
as "Mansfield Pointe" (the "Project") situated on the land more particularly described on Exhibit A
attached hereto (the "Land"), together with all rights and privileges appurtenant thereto, and all buildings and
other Improvements located thereon or attached thereto, pursuant to the terms of that certain Agreement for Sale and Purchase and
Joint Escrow Instructions dated as of ____________, 2014 (the "Contract"), by and between Assignor, as seller,
and Assignee, as purchaser, as such agreement has been assigned and otherwise amended, supplemented and/or modified, the terms
of which are incorporated herein by reference.

B.Assignor desires
to assign, transfer and convey to Assignee all of Assignor's right, title and interest in and to all of the following Personal
Property (hereinafter defined) upon the terms and conditions set forth herein.

NOW, THEREFORE, in
consideration of the foregoing and other good and valuable consideration in hand paid by Assignee to Assignor, the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:

1.Personal Property.
Assignor does hereby ASSIGN, TRANSFER and DELIVER and GRANT, SELL and CONVEY to Assignee:

(a)all tangible
personal property now or hereafter owned by Assignor and used solely in connection with the Project or the ownership, operation
or occupancy thereof including, without limitation, all furniture, fixtures, machinery, appliances and equipment located on the
Project (other than personal property owned by Tenants of the Project), all tangible personal property listed on Exhibit A
hereto, and all drawings, plans and specifications related to the Project, and all studies, data and drawings related thereto (the
"Tangible Personal Property");

(b) all assignable
existing warranties and guaranties (express or implied) issued to Assignor in connection with the Tangible Personal Property;

(c) to the extent
assignable, all other rights, benefits, privileges and property associated with or related to the ownership, operation, maintenance,
repair, and management of the Project or the improvements thereon to the extent owned by Seller and assignable, all other rights,
benefits, privileges and property associated with or related to the ownership, operation, maintenance, repair, and management of
the Project or the Improvements thereon, including, without limitation, the right to the use of (without warranty as to exclusivity
or otherwise) the name "Mansfield Pointe " and all other intellectual property owned by Seller and associated with or
related solely to the Land and improvements (including internet domains, telephone numbers, logos, trademarks, designs, trade names
and service marks); provided, however, nothing contained in the foregoing descriptions shall include any Excluded Property; and

(d) to the extent
assignable, all licenses, franchises, occupancy and use certificates, permits, authorizations, consents, variances, waivers, approvals
and the like from any governmental or quasi-governmental entity or instrumentality affecting the ownership, operation or maintenance
of the Land or the improvements thereon.

All of the foregoing
is herein referred to as the "Personal Property."

2.Title. Subject
to the conditions and limitations set forth herein, Assignor binds itself, its successors and assigns, to warrant and forever defend
title to all and singular the Personal Property against every person whomsoever lawfully claiming or to claim title to the Personal
Property or any part thereof, by, through, and under Assignor, but not otherwise.

3."AS-IS";
Disclaimer of Warranties. Other than as set forth in paragraph 2 above, ALL OF THE PERSONAL PROPERTY IS USED AND IS CONVEYED AND
ACCEPTED "AS-IS, WHERE IS AND WITH ALL FAULTS" WITHOUT ANY WARRANTIES OR REPRESENTATIONS OF WHATSOEVER KIND OR NATURE,
INCLUDING, WITHOUT LIMITATION, AS TO MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, WHETHER EXPRESS OR IMPLIED, OR WHETHER
WRITTEN OR ORAL, CONCERNING ANY AND ALL DEFECTS OF A PHYSICAL NATURE, WHETHER IN MATERIAL OR WORKMANSHIP AND WHETHER OR NOT SUCH
DEFECT WOULD BE VISIBLE OR APPARENT UPON ASSIGNEE'S FULL INSPECTION AND EXAMINATION OF THE PERSONAL PROPERTY.

4.Governing Law.
This Agreement shall be governed by and construed in accordance with the substantive laws of the State of Texas.

 

EXECUTED by Assignor
to be effective as of the Effective Date.

ASSIGNOR:

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited liability company,

its General Partner

 

 

By:                                                              

Alan P. Shor, Manager

    	 

    	 

    

Exhibit A

Legal Description of Land

    	 

    	 

    

EXHIBIT
J

SELLER'S REPRESENTATIVE

 

Chad Bradshaw

 

    	 

    	 

    

EXHIBIT
K

CERTAIN TANGIBLE PERSONAL PROPERTY

 

 

 

    	 

    	 

    

EXHIBIT
L-1

TENANT ESTOPPEL CERTIFICATE

 

To:
   Inland Real Estate Acquisitions, Inc.

Inland Real Estate Income Trust,
Inc.,

its lender, and their respective
successors and assigns (“Purchaser”)

2901 Butterfield Road

Oak Brook, Illinois 60523

Attn: Sharon Anderson-Cox

 

		Re:	Lease Agreement dated   and amended   (“Lease”), between   as
“Landlord”, and  , as “Tenant”, guaranteed by   (“Guarantor”) for leased premises
known as   (the “Premises”) of the property commonly known as   (the “Property”).

 

		1.	Tenant hereby certifies that the following represents with respect to the Lease are accurate and
complete as of the date hereof.

 

a. Dates of all amendments,
letter 

agreements, modifications
and waivers 

related to the Lease

 

b. Commencement Date

 

c. Expiration Date

 

d. Current Annual
Base Rent 

Adjustment DateRental
Amount

 

e. Fixed or CPI Rent
Increases    

 

f. Square Footage
of Premises  

 

g. Security Deposit
Paid to Landlord 

 

h. Renewal Options
  Additional Terms for  

________ years at $
 per year

 

i. Termination OptionsTermination
Date ______________ 

Fees Payable _________________

 

2.Tenant further certifies to Purchaser that:

 

		a.	the Lease is presently in full force and effect and represents the entire agreement between Tenant
and Landlord with respect to the Premises;

		b.	the Lease has not been assigned and the Premises have not been sublet by Tenant;

		c.	Tenant has accepted and is occupying the Premises, all construction required by the Lease has been
completed and any payments, credits or abatements required to be given by Landlord to Tenant have been given;

		d.	Tenant is open for business or is operating its business at the Premises;

		e.	no installment of rent or other charges under the Lease other than current monthly rent has been
paid more than 30 days in advance and Tenant is not in arrears on any rental payment or other charges;

		f.	Landlord has no obligation to segregate the security deposit or to pay interest thereon;

		g.	Landlord is not in default under the Lease and no event has occurred which, with the giving of
notice or passage of time, or both, could result in a default by Landlord;

		h.	Tenant has no existing defenses, offsets, liens, claims or credits against the payment obligations
under the Lease;

		i.	Tenant has not been granted any options or rights to terminate the Lease earlier than the Expiration
Date (except as stated in paragraph 1(i));

		j.	Tenant has not been granted any options or rights of first refusal to purchase the Premises or
the Property;

		k.	Tenant has not received notice of violation of any
federal, state, county or municipal laws, regulations, ordinances, orders or directives relating to the use or condition of the
Premises or the Property;

		l.	Intentionally omitted; 

		m.	Tenant has not filed, and is
not currently the subject of any filing, voluntary or involuntary, for bankruptcy or reorganization under any applicable bankruptcy
or creditors rights laws;  and

		n.	Rent has been paid through ______ __, 2013.

 

		3.	This certification is made with the knowledge that Purchaser may acquire title to the Property.
The undersigned is authorized to execute this Tenant Estoppel Certificate on behalf of Tenant.

 

[TENANT]

By: 

 

Its: 

 

Date:

    	 

    	 

    

EXHIBIT
"L-2"

ESTOPPEL
CERTIFICATE (Seller Provided)

SELLER
TENANT CERTIFICATE

_______________________, 2014

[**Purchaser Address**]

Re:Property known as

Ladies and Gentlemen:

This Certificate is
being delivered to you pursuant to Section ____ of that certain _____________________ (the "Purchase Agreement")
captioned dated as of __________, 2014, between ___________________________________ ("Seller"), and __________________________
("Purchaser").

Seller certifies to
you, your lenders and your respective successors and assigns, that none of the following statements is, as of the date hereof,
inaccurate in any material respect, except as provided in the lease, as amended (the "Lease") more particularly
described in the attached Schedule "A" which is hereby incorporated (the "Schedule"):

(1)The Lease constitutes
the entire agreement between __________, a _______ ("Tenant") and the landlord thereunder with respect to the
subject matter thereof and the Lease has not been modified, amended or supplemented in any way except by the amendments or other
agreements described in the Schedule.

(2)The summary
of the terms of the Lease contained in the Schedule is true and correct.

(3)Except as provided
in the Schedule, to Seller’s Knowledge, Tenant has not assigned or entered into a sublease for any portion of the premises
covered by the Lease and no person or firm other than Tenant or its employees is in possession of such premises or any portion
thereof.

(4)Except as set
forth in Schedule A, (a) Tenant is not in default under the Lease, (b) Tenant has no claim, off-set or counterclaim against the
landlord thereunder, (c) the landlord thereunder is not in any material default; and (d) all improvements to Tenant's leased premises
that are required to be performed by the landlord by the terms of the Lease have been completed and accepted.

(5)Tenant has
no option, right of first refusal or otherwise to purchase the Property or any portion thereof or any interest therein and the
only interest of the Tenant in the Property is that of a tenant pursuant to the terms of the Lease.

(6)To Seller's
Knowledge Tenant is not the subject of any bankruptcy, insolvency, debtor's relief, reorganization, receivership or other similar
proceedings.

Notwithstanding anything
to the contrary herein, this Certificate shall not be effective unless and until the "Closing" (as defined in the
Purchase Agreement) occurs.

SELLER:

 

MANSFIELD SEQ 287 & DEBBIE,
LTD.,

a Texas limited partnership

 

By:Mansfield SEQ 287 & Debbie
GP, LLC,

a Texas limited
liability company,

its General Partner

 

By:                                                    

Alan P. Shor,
Manager

    	 

    	 

    

 

EXHIBIT
M

rent roll

    	 

    	 

    

FIRST AMENDMENT TO AGREEMENT FOR SALE AND PURCHASE

AND JOINT ESCROW INSTRUCTIONS

 

This First Amendment to
Agreement for Sale and Purchase and Joint Escrow Instructions (“First Amendment”) dated March 20, 2014 by and
between MANSFIELD SEQ 287 & Debbie GP, LLC, a Texas limited liability partnership as Seller and INLAND REAL ESTATE ACQUISITIONS,
INC., an Illinois corporation as Purchaser, amends and modifies that certain Agreement for Sale and Purchase and Joint Escrow Instructions
dated February 18, 2014 for purchase and sale of the Project commonly known as Mansfield Pointe Shopping Center.

 

WHEREAS, the Feasibility
Period has an expiration date of March 21, 2014, and

 

WHEREAS, Purchaser
is willing to waive its inspection rights subject to the following conditions of Closing.

 

NOW THEREFORE, for
good and valuable consideration the receipt of which is hereby acknowledged, the parties hereto agree as follows:

 

	1.	The Purchaser hereby waives its inspection rights as set forth in Section 6(a) of the Agreement.
	 	 	 
	2.	All of the following shall remain conditions of Closing:
	 	(a)	Delivery of the 2013 tenant reconciliations of CAM Charges and real estate tax payments to all tenants of the Property, Seller shall remain liable and shall indemnify Purchaser for all Claims related to the 2013 tenant reconciliations and for all Claims related to prior year tenant reconciliations of CAM Charges and real estate taxes.
	 	(b)	A resolution of all disputes with PetsMart based upon PetsMart’s common area maintenance and real estate tax audits related to the Property to the satisfaction of Purchaser; provided, if such disputes are not resolved prior to Closing.  Seller shall escrow all sums in dispute, if these sums are known or can be reasonably estimated, in a joint order escrow with the Escrow Agent, be responsible for all offset of rents in connection with such disputes and shall not settle any dispute in a manner which will adversely affect Purchaser after Closing and in any event, without Purchaser’s written approval.
	 	(c)	Purchaser’s approval of all updated delinquent ledgers related to the Property.

    	 

    	 

    

 

	 	(d)	Purchaser’s receipt of a fully executed amendment to the PetsMart lease in the form previously approved by Purchaser extending the term thereof until 1/31/24 along with evidence of payment of $137,320 to PetsMart as an inducement allowance.  
	 	(e)	Purchaser’s receipt of a first amendment to the Bed, Bath and Beyond lease extending the term thereof to 1/31/24; provided any such amendment shall not provide for a reduction of basic rent less than $9.75 per square foot and Seller shall credit Purchaser at Closing with the amount of any proposed tenant improvement allowance
	 	(f)	Completion of a Declaration of Easements, Covenants and Restrictions (or a similar instrument) in a form acceptable to Purchaser confirming (i) the availability of all of the existing parking spaces on the outlot for use by the Purchaser, (ii) the agreement to create all additional parking spaces as may be necessary to maintain, at least, a ratio of 4.5 spaces for each 1,000 square feet of any new building built on the outlot, and (iii) the applicability to the new outlot of all use restrictions, exclusive uses and covenants regarding use as are set forth in the leases or recorded documents encumbering the Property.
	 	(g)	Seller shall deliver a revised survey prior to Closing which shall comply with the requirements of Gary Pechter’s title and survey review letter dated March 12, 2014.
	 	 	 
	       Purchaser shall not unreasonably withhold, delay or condition its approval of any items above that is subject to its prior approval of satisfaction.
	 	 	 
	3.	Purchaser shall not unreasonably withhold its approval of a modification of the Aqua Tots Lease to allow direct payments to Seller of payments that Seller is otherwise entitled to under the Agreement.
	 	 
	4.	Except as modified hereby, the Agreement shall remain in full force and effect in accordance with its terms.
	 	 
	5.	All future reference to the Agreement shall include both the initial Agreement and this First Amendment.
	 	 
	6.	All capitalized terms not expressly defined herein shall have the meaning set forth in the initial Agreement.
	 	 

 

[Signature Page to Follow]

    	 

    	 

    

 

 

IN WITNESS WHEREOF,
Seller and Purchaser have duly executed this First Amendment as of the day and year first written above.

 

 

	 	Seller:
	 	 	 
	 	
        MANSFIELD SEQ 287 & DEBBIE LTD., 

        a Texas limited partnership

	 	 	 
	 	By:	
        Mansfield SEQ 287 & Debbie GP, LLC,

        a Texas limited liability company,

        its General Partner

	 	 	 
	 	 	By:	/s/ Alan P. Shor
	 	 	Name:	Alan P. Shor
	 	 	Its:	Manager
	 	 	 
	 	Purchaser:
	 	 	 
	 	By:	
        INLAND REAL ESTATE ACQUISITIONS, INC.,

        An Illinois corporation

	 	 	 
	 	 	By:	/s/ Matthew Tice
	 	 	Name:	Matthew Tice
	 	 	Its:	Vice President

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