Document:

MOODY NATIONAL REIT I, INC. 10-K

Exhibit 10.62

Loan No. 30-4100763 

 

 

ASSUMPTION
AGREEMENT

 

This
Assumption Agreement (the “Agreement”) is made this 18th day of December, 2015, by U.S. BANK NATIONAL ASSOCIATION,
IN ITS CAPACITY AS TRUSTEE, SUCCESSOR-IN-INTEREST TO BANK OF AMERICA, N.A., IN ITS CAPACITY AS TRUSTEE, SUCCESSOR-IN-INTEREST
TO WELLS FARGO BANK, N.A, IN ITS CAPACITY AS TRUSTEE FOR THE REGISTERED HOLDERS OF COBALT CMBS COMMERCIAL MORTGAGE TRUST 2007-C3,
COMMERCIAL MORTGAGE PASS-THROUGH CERTIFICATES, SERIES 2007-C3 (“Lender”), MOODY NATIONAL TPS FORT WORTH H,
LLC, a Delaware limited liability company (“Moody H”), each TIC Borrower listed on Exhibit A attached
hereto, each a Delaware limited liability company (each, a “TIC Borrower,” and, jointly and severally with
Moody H, “Borrower”), Brett C. Moody (“Original Guarantor”), each TIC Guarantor listed on
Exhibit A attached hereto (jointly and severally with Original Guarantor, “Guarantor”), MOODY NATIONAL
INTERNATIONAL-FORT WORTH HOLDING, LLC, a Delaware limited liability company (“Buyer”), and MOODY NATIONAL REIT
I, INC., a Maryland corporation (“New Guarantor”).

 

RECITALS

 

	A.	 	CITIGROUP GLOBAL MARKETS
REALTY CORP., a New York corporation (“Original Lender”), made a loan to Moody H and to Moody National TPS
Fort Worth S, LLC, a Delaware limited liability company (“Moody S”), in the original principal amount of SEVEN
MILLION EIGHT HUNDRED FORTY THOUSAND AND NO/100 DOLLARS ($7,840,000) (the “Loan”), under the terms and provisions
set forth in the following loan documents, all of which are dated as of May 18, 2007, unless otherwise noted:
	 	 	 
	 	1.	Fixed Rate Note
(the “Note”) in the original principal amount of the Loan, made by Moody H and Moody S and payable to
Original Lender;
	 	 	 
	 	2.	Deed of Trust, Assignment
of Leases and Rents, Security Agreement and Fixture Filing (as assigned, as set forth below, the “Security Instrument”),
executed by Moody H and Moody S for the benefit of Original Lender, which secures the Note and other obligations of Borrower and
which was recorded on May 23, 2007 as County Clerk’s File No. D207178289. in the Official Records of Tarrant County, Texas
(the “Official Records”), the Original Lender’s interest under which was assigned by instrument recorded
on February 22, 2008 as County Clerk’s File No. D208061332 in the Official Records, and further assigned by instrument recorded
on July 13, 2009 as County Clerk’s File No. D209185421 in the Official Records, and as further assigned by instrument recorded
immediately prior hereto in the Official Records. The land, improvements and other real property which are subject to the Security
Instrument are hereinafter referred to as the “Property” and the equipment, machinery and other personal property
which are subject to the Security Instrument are hereinafter referred to as the “Collateral”;
	 	 	 
	 	3.	Assignment of Leases
and Rents (as assigned, as set forth below), executed by Moody H and Moody S in favor of Original Lender which was recorded on
May 23, 2007 as County Clerk’s File No. D207178290 in the Official Records, the Original Lender’s interest under which
was assigned by instrument recorded on February 22, 2008 as County Clerk’s File No. D208061332 in the Official Records,
and further assigned by instrument recorded on July 13, 2009 D209185421 in the Official Records, and further assigned by instrument
recorded immediately prior hereto in the Official Records;

 

    	 

    	 

    

 

	 	4.	Guaranty (the “Original
Guaranty”) executed by Original Guarantor;
	 	 	 
	 	5.	Environmental Liabilities
Agreement (the “Environmental Indemnity”) executed by Moody H, Moody S, Original Guarantor and Original Lender;
	 	 	 
	 	6.	UCC-1 Financing Statements
filed with the Secretary of State of Delaware, as amended (one naming Borrower as debtor and another naming Master Tenant (as
defined herein) as debtor and Borrower as assignor secured party);
	 	 	 
	 	7.	UCC-1 Financing Statement
filed with the Official Records on May 23, 2007 as as County Clerk No. D207178292;
	 	 	 
	 	8.	Assignment of Agreements,
Permits and Contracts from Moody H and Moody S to Original Lender;
	 	 	 
	 	9.	Cash Management Agreement
by and among Moody H, Moody S, Original Lender and Moody National TPS Forth Worth MT, LLC, a Delaware limited liability company;
and

 

		The
                                         above documents and any other documents executed and/or delivered by Moody H and Moody
                                         S and Original Guarantor in connection with the Loan, including, in each case, any prior
                                         amendments thereto, are hereinafter collectively defined as the “Original Loan
                                         Documents”.

 

	B.	 	The TIC Borrowers listed
on Exhibit A attached hereto individually assumed the obligations of Moody S under the Loan and the Original Loan Documents
pursuant to seventeen (17) separate Assumption Agreements, as more particularly described on Exhibit A attached hereto
(collectively, the “Prior Assumption Agreements”). Upon the consummation of the transfer contemplated by the
last of the Prior Assumption Agreements, Moody S ceased to own any interest in the Property or the Collateral, and has since been
dissolved. The TIC Guarantors listed on Exhibit A attached hereto individually assumed certain obligations of Original
Guarantor under the Loan and the Original Loan Documents pursuant to seventeen (17) separate TIC Principal Guaranty Agreements,
as more particularly described on Exhibit A attached hereto (collectively, the “TIC Principal Guaranty Agreements,”
and, together with the Original Guaranty and the Completion Guaranty, the Guaranty”).
	 	 	 
	C.	 	The Prior Assumption
Agreements, the TIC Principal Guaranties and any other documents executed and/or delivered by Borrower and Guarantor in connection
therewith are hereinafter collectively defined as the “Prior Assumption Documents”. The Original Loan Documents
and the Prior Assumption Documents, including, in each case, any prior amendments thereto, together with this Agreement and any
other documents executed and/or delivered by Buyer and New Guarantor in connection herewith, are hereinafter collectively defined
as the “Loan Documents”.
	 	 	 
	D.	 	Capitalized terms used
herein and not defined herein shall have the meanings set forth in the Security Instrument.
	 	 	 
	E.	 	As of December 7, 2015,
2015:
	 	 	 
	 	1.	The principal balance
outstanding under the Note was $7,167,151.25;
	 	 	 
	 	2.	Accrued interest on
the Note had been paid through December 5, 2015;
	 	 	 
	 	3.	Accrued but unpaid interest
on the Note was $1,221.60;
	 	 	 
	 	4.	The balance in the tax
escrow reserve was $(99,991.60);
	 	 	 
	 	5.	The balance in the insurance
escrow reserve was $34,744.18; and
	 	 	 
	 	6.	The balance in the FF&E
Reserve was $0.00.

 

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	F.	 	Concurrently with the
closing of the transaction contemplated hereby, Borrower will sell and convey the Property and the Collateral to Buyer, and both
parties desire to obtain from Lender, among other things, a consent to such transfer and a waiver of any right Lender may have
under the Loan Documents to accelerate the Maturity Date of the Note by virtue of such conveyance.
	 	 	 
	G.	 	Subject to the terms
and conditions hereof, Lender is willing to consent to the requested transfer of the Property and the Collateral to Buyer, and
to waive any right of acceleration of the Maturity Date of the Note, conditioned upon assumption by Buyer, subject to the terms
and conditions of this Agreement, of all obligations of Borrower under the Loan Documents (the “Assumption”).

 

NOW
THEREFORE, FOR VALUABLE CONSIDERATION, including, without limitation, the mutual covenants and promises contained herein, the
parties agree as follows:

 

	 	1.	Incorporation.
The foregoing recitals are incorporated herein by this reference.
	 	 	 
	 	2.	Assumption Fee.
As consideration for Lender’s execution of this Agreement and in addition to any other sums due hereunder, Lender shall
be paid (all as set forth in the escrow instructions to be executed in connection with the closing of this assumption) an assumption
fee of [Assumption Fee Amount], due at the closing of the Assumption.
	 	 	 
	 	3.	Conditions Precedent.
The following are conditions precedent to Lender’s obligations under this Agreement:

 

	 	a.	Commonwealth Land Title
Insurance Company (“Title Company”) to issue a replacement loan policy in substantially the same form
as Title Policy No. 483744 M, dated June 15, 2007, in form and substance acceptable to Lender and without deletions or exceptions
other than as expressly approved by Lender in writing, insuring Lender that the priority and validity of the Security Instrument
has not been and will not be impaired by this Agreement, the conveyance of the Property, or the transaction contemplated hereby;
	 	 	 
	 	b.	Receipt and approval
by Lender of: (i) the executed original of this Agreement in form and substance acceptable to Lender; and (ii) any other documents
and agreements which are required pursuant to this Agreement, in form and content acceptable to Lender;
	 	 	 
	 	c.	Recordation in the Official
Records of this Agreement, together with such other documents and agreements, if any, required pursuant to this Agreement or which
Lender has requested to be recorded or filed;
	 	 	 
	 	d.	Buyer’s delivery
to Lender of UCC-1 Financing Statements in proper form for filing in the appropriate jurisdictions as determined by Lender;
	 	 	 
	 	e.	Execution and delivery
to Lender by New Guarantor of a Guaranty (the “New Guaranty”) in favor of Lender and in form and substance
acceptable to Lender, pursuant to which New Guarantor irrevocably guarantees payment of certain matters under the Loan as more
specifically set forth in the New Guaranty;
	 	 	 
	 	f.	Execution and delivery
to Lender by Buyer and New Guarantor of a personal Environmental Liabilities Agreement (the “New Environmental
Indemnity”) in favor of Lender and in form and substance acceptable to Lender, pursuant to which Buyer and New Guarantor
agree to indemnify Lender with respect to certain environmental matters as more specifically set forth in the New Environmental
Indemnity;
	 	 	 
	 	g.	Delivery to Lender of
such resolutions or certificates as Lender may require, in form and content acceptable to Lender, authorizing the assumption of
the Loan and executed by the appropriate persons and/or entities on behalf of Buyer and New Guarantor;

 

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	 	h.	The representations
and warranties contained herein are true and correct;
	 	 	 
	 	i.	Receipt by Lender of
a copy, or other evidence satisfactory to Lender, of Buyer’s casualty insurance policy and comprehensive liability insurance
policy with respect to the Property, each in form and amount satisfactory to Lender;
	 	 	 
	 	j.	Receipt by Lender of
a copy of the grant deed by which title to the Property will be conveyed to Buyer, and the purchase and sale agreement documenting
the sale of the Property to Buyer;
	 	 	 
	 	k.	Receipt by Lender of
an executed Form W-9 for Buyer and for Moody National International-Fort Worth MT, LLC, a Delaware limited liability company (“Master
Tenant”);
	 	 	 
	 	l.	Receipt by Lender of
a copy of the new master lease agreement for the Property between Borrower and Master Tenant, in form and substance acceptable
to Lender (the “Master Lease”);
	 	 	 
	 	m.	Receipt by Lender of
a copy of a replacement Assignment of Leases and Rents and Security Agreement, in substantially the form of the Assignment of
Leases and Rents and Security Agreement executed for the benefit of Borrower and otherwise in form and substance acceptable to
Lender, pursuant to which Master Tenant grants to Buyer a lien on, and security interest in, substantially all assets of Master
Tenant as security for its obligations under the Master Lease (the “Master Tenant ALR”);
	 	 	 
	 	n.	Receipt by Lender of
a copy of the new property management agreement for the Property (the “Management Agreement”) in form and substance
acceptable to Lender, between Master Tenant and Moody National Hospitality Management, LLC, a Texas limited liability company;
	 	 	 
	 	o.	Receipt by Lender of
a copy of the new comfort letter from Marriott International, Inc. in form and substance acceptable to Lender;
	 	 	 
	 	p.	Deposit by Buyer or
Master Tenant in the amount of $2,688,795.00 for completion of the work identified in the Property Improvement Plan delivered
to Lender in connection with the Assumption (the “PIP Reserve”);
	 	 	 
	 	q.	Receipt by Lender of
one or more opinions of counsel to Borrower, Master Tenant and New Guarantor regarding due formation, valid existence, good standing,
due authorization and execution, and enforceability of this Agreement and of the other Loan Documents executed by any of them
in connection with the Assumption, each of which shall be in form and substance satisfactory to Lender;
	 	 	 
	 	r.	Receipt by Lender an
opinion of counsel to Lender with respect to the compliance of this Agreement, the transfer to Buyer, and the transactions referenced
herein with the provisions of the Internal Revenue Code as the same pertain to real estate mortgage investment conduits;
	 	 	 
	 	s.	Payment of the assumption
fee provided for in Section 2 above; and
	 	 	 
	 	t.	Reimbursement to Lender
of Lender’s costs and expenses incurred in connection with this Agreement and the transactions contemplated hereby, including,
without limitation, title insurance costs, escrow and recording fees, attorneys’ fees, appraisal, engineers’ and inspection
fees and documentation costs and charges, whether such services are furnished by Lender’s employees, agents or independent
contractors.

 

	 	4.	Effective Date.
The effective date of this Agreement shall be the date this Agreement is recorded in the Official Records (the “Effective
Date”).
	 	 	 
	 	5.	Assumption.
Buyer hereby assumes and agrees to pay when due all sums due or to become due or owing by Borrower under the Note, the Security
Instrument and the other Loan Documents and shall hereafter faithfully perform all of Borrower’s obligations under and be
bound by all of the provisions of the Loan Documents and assumes all liabilities of Borrower under the Loan Documents as if Buyer
were an original signatory thereto. The execution of this Agreement by Buyer shall be deemed its execution of the Note, the Security
Instrument and the other Loan Documents.

 

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	 	6.	Partial Release
of Borrower; Release of Lender. Lender hereby releases (on the Effective Date) Borrower from liability under the Loan
Documents other than this Agreement; provided however, that the parties hereby acknowledge and agree that Borrower is expressly
not released from and nothing contained herein is intended to limit, impair, terminate or revoke, any of Borrower’s obligations
with respect to the matters set forth in Sections 12(c) and 12(d) of the Note to the extent the same arise out of or in connection
with any act or omission occurring on or before the Effective Date, to the extent the same arise out of or in connection with
any act or omission occurring on or before the Effective Date (the “Retained Obligations”), and that
such obligations shall continue in full force and effect in accordance with the terms and provisions thereof and hereof. Borrower’s
obligations under the Loan Documents with respect to the Retained Obligations shall not be discharged or reduced by any extension,
amendment, renewal or modification to, the Note, the Security Instrument or any other Loan Documents, including, without limitation,
changes to the terms of repayment thereof, modifications, extensions or renewals of repayment dates, releases or subordinations
of security in whole or in part, changes in the interest rate or advances of additional funds by Lender in its discretion for
purposes related to those set forth in the Loan Documents. Each of Borrower, Guarantor, Buyer and New Guarantor hereby fully releases
(on the Effective Date) Lender and any servicer(s) of the Loan from any liability of any kind to Borrower arising out of or in
connection with the Loan or the Loan Documents other than this Agreement. Each of Borrower, Guarantor, Buyer and New Guarantor
after consultation with its respective attorney, hereby expressly waives the benefits of the provisions of any applicable law
which provides to the effect that:

 

	 	“A general release does not extend to claims
which the creditor does not know or suspect to exist in his favor at the time of executing the release which, if known by him,
must have materially affected his settlement with the debtor.”	 

 

	 	From time to time without first requiring performance
on the part of Buyer, Lender may look to and require performance by Borrower of all Retained Obligations. Borrower waives all
presentments, demands for performance, notices of nonperformance, protests, notices of protest and notices of dishonor of all
or any part of the indebtedness now existing or hereafter arising under the Loan Documents.

 

	 	7.	Confirmation of Guaranty; Partial
Release of Respective Guarantor. Nothing contained herein is intended to limit, impair, terminate or revoke Guarantor’s
obligations under the Guaranty to the extent the same arise out of or in connection with any act or omission occurring on or before
the Effective Date and such obligations shall continue in full force and effect in accordance with the terms and provisions of
the Guaranty; provided, however, Lender hereby releases each Guarantor from its respective obligations under the Guaranty to the
extent the same arise out of or in connection with any act or omission occurring after the Effective Date.
	 	 	 
	 	8.	Modifications
to the Loan Documents.

 

		a.	As
                                         of the Effective Date, the Loan Documents shall be modified as set forth on Exhibit
                                         B attached hereto.

 

	 	9.	Post-Closing Obligations.

 

	 	a.	Deferred Maintenance.
Buyer shall complete the deferred maintenance items listed on Exhibit C attached hereto (the “Deferred Maintenance”)
within the time frames set forth therein (the “Completion Period”). Buyer’s failure to complete the Deferred
Maintenance items on or before the Completion Period shall constitute an Event of Default.

 

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	 	10.	Property Improvement
Reserve. 

 

	 	a.	In connection with the
sale of Property to Buyer and the Assumption, Master Tenant has entered into a Relicensing Franchise Agreement between Marriot
International, Inc. and Master Tenant, dated as of the date hereof (the “Franchise Agreement”) in which Master
Tenant is obligated to perform each of the changes, additions, upgrades and deficiencies noted in the Project Improvement Plan
addendum to the Franchise Agreement.
	 	 	 
	 	b.	Lender requires as a
condition to consenting to the Assumption that Buyer or Master Tenant deposit $2,688,795.00 (the “PIP Deposit”)
with Lender, which funds shall be held for the benefit of Buyer, and as additional security for Buyer’s obligations under
the Loan Documents.
	 	 	 
	 	c.	Concurrently with the
execution of this Agreement, Buyer shall deposit with Lender the PIP Deposit in an account (the “PIP Reserve Account”)
which shall meet the standards for custodial accounts as required by Lender from time to time. The PIP Deposit and all other funds
in the PIP Reserve Account are referred to collectively as the “PIP Reserve Funds.” The PIP Reserve Funds may
be commingled with Lender’s or its representative’s other funds, or funds held by them in trust for others or as security
for other obligations under the Loan Documents or otherwise. The PIP Reserve Account may be maintained as a subaccount under Lender’s
or its designated representative’s internal accounting methodology for accounts holding funds in addition to and other than
the PIP Reserve Funds. Lender or a designated representative of Lender shall have the sole right to make withdrawals from the
PIP Reserve Account.
	 	 	 
	 	d.	Buyer hereby pledges,
assigns and grants to Lender a continuing perfected security interest in and to the PIP Reserve Account, as additional security
for the payment and performance of all of Buyer’s obligations under the Loan Documents. Lender shall have with respect to
the Collateral, in addition to the rights and remedies herein set forth, all of the rights and remedies available to a secured
party under the UCC, as if such rights and remedies were fully set forth herein; provided, however, Lender shall make disbursements
from the PIP Reserve Funds to Buyer in accordance with the terms of this Agreement.
	 	 	 
	 	e.	Requests for disbursement
of the PIP Reserve Funds shall be in a form specified or approved by Lender, and shall be subject to satisfaction of each of the
following conditions, and upon the satisfaction of such conditions, the requested PIP Reserve Funds shall be timely paid to Buyer:

 

	 	(i)	no Event of Default
shall exist; and
	 	 	 
	 	(ii)	in the event that funds
are requested prior to the completion of all of the required work, Buyer shall (A) provide, in connection with each such disbursement:
(1) copies of invoices for which the work relates, which Buyer must demonstrate is work that was required under the PIP Agreement,
(2) lien waivers from each contractor or subcontractor for which payment is requested (which waiver may be conditioned solely
on payment of the requested amount, and which waivers shall only be required from contractors or subcontractors who have performed
structural work at the Property or whose work primarily consisted of manual labor at the Property), and (3) evidence reasonably
satisfactory to Lender that the work for which the request for disbursement relates has been completed in a good and workmanlike
manner or (B). if approved Lender, in its reasonable discretion, with respect to initial deposits and progress payments required
under contracts entered into for purposes of satisfying the PIP requirements, Buyer and Master Tenant shall certify that the amount
requested is a deposit or installment payment required under the terms of such contract.

 

Notwithstanding
anything to the contrary contained herein: (A) in no event shall Buyer be entitled to more than one (1) request for disbursement
each two (2) week period, (B) each request for disbursement must be for an amount equal to or greater than $5,000, (C) Lender
will use best efforts to process all requests for disbursement within ten (10) business days after Lender’s receipt of all
items necessary for Lender to process said request, (D) with respect to any invoice that is being paid by Lender (as opposed to
a reimbursement), such payment shall be by joint check to Buyer and to the applicable vendor).

 

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	 	(iii)	in
connection with the disbursement that will complete Buyer’s obligations (or if Buyer only makes a single request for disbursement)
with respect to the TownPlace Suites hotel (and Buyer shall be required to indicate the same in connection with the corresponding
request for disbursement), Buyer shall additionally be required to provide either written evidence from the franchisor under the
PIP Agreement that each of the changes, additions, upgrades and deficiencies noted in the PIP Agreement for which disbursement
is requested has been timely made in accordance with the terms of the PIP Agreement, or alternatively, Buyer must provide, as
a condition of disbursement, such other evidence as is satisfactory to Lender in Lender’s sole discretion with respect to
the full completion of such items.

 

At
such time as no Event of Default shall exist and Buyer shall have provided Lender with either written evidence from the franchisor
that each of the changes, additions, upgrades and deficiencies noted in the PIP Agreement have been completed, or such other evidence
as is satisfactory to Lender in Lender’s sole discretion with respect to the completion of such items, Lender shall disburse
any remaining PIP Reserve Funds to Buyer, so long as Buyer additionally provides Lender with written evidence from the franchisor
that there is no default under the Franchise Agreement.

 

	 	f.	Buyer understands that,
upon the occurrence and during the continuance of an Event of Default, then, without limitation on any other rights or remedies
that may be available to Lender under law, the Note, the Security Instrument, or any other Loan Document, Lender shall be able
to exercise all of its rights and remedies with respect to the PIP Reserve.

 

	 	11.	FF&E Funds.

 

	 	a.	Buyer hereby acknowledges
and agrees that beginning with the next monthly payment date occurring after the date hereof, the FF&E Deposit Amount shall
be deposited with Lender.

 

	 	12.	Representations
and Warranties.

 

	 	a.	Assignment. Moody
H and Buyer each hereby represents and warrants to Lender that, effective as of the Effective Date, Borrower will have irrevocably
and unconditionally transferred and assigned to Buyer all of Borrower’s right, title and interest in and to:

 

	 	i.	The Property and the
Collateral;
	 	 	 
	 	ii.	The Loan Documents;
	 	 	 
	 	iii.	All leases related to
the Property or the Collateral;
	 	 	 
	 	iv.	All rights as named
insured under all casualty and liability insurance policies (and all endorsements in connection therewith) relating to the Property
or the Collateral (unless, but only to the extent that, Buyer is obtaining its own such insurance policies);
	 	 	 
	 	v.	All reciprocal easement
agreements, operating agreements, and declarations of conditions, covenants and restrictions related to the Property;
	 	 	 
	 	vi.	All prepaid rents and
security deposits, if any, held by Borrower in connection with leases of any part of the Property or the Collateral; and
	 	 	 
	 	vii.	All funds, if any, deposited
in impound accounts held by or for the benefit of Lender pursuant to the terms of the Loan Documents.

 

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Moody
H and Buyer each hereby further represents and warrants to Lender that no consent to the transfer of the Property and the Collateral
to Buyer is required under any agreement to which Borrower or Buyer is a party, including, without limitation, under any lease,
operating agreement, mortgage or security instrument (other than the Loan Documents), or if such consent is required, that the
parties have obtained all such consents.

 

		b.	Assignment.
                                         Each TIC Borrower severally represents and warrants to Lender that, effective as of the
                                         Effective Date, it will have irrevocably and unconditionally transferred and assigned
                                         to Buyer all of its respective right, title and interest in and to:

 

		i.	The
                                         Property and the Collateral;

 

		ii.	The
                                         Loan Documents;

 

		iii.	All
                                         leases related to the Property or the Collateral;

 

		iv.	All
                                         rights as named insured under all casualty and liability insurance policies (and all
                                         endorsements in connection therewith) relating to the Property or the Collateral (unless,
                                         but only to the extent that, Buyer is obtaining its own such insurance policies);

 

		v.	All
                                         reciprocal easement agreements, operating agreements, and declarations of conditions,
                                         covenants and restrictions related to the Property;

 

		vi.	All
                                         prepaid rents and security deposits, if any, held by Borrower in connection with leases
                                         of any part of the Property or the Collateral; and

 

		vii.	All
                                         funds, if any, deposited in impound accounts held by or for the benefit of Lender pursuant
                                         to the terms of the Loan Documents.

 

	 	Each TIC borrower further severally represents
    and warrants to Lender that no consent to the transfer of its interest in the Property and the Collateral to Buyer is required
    under any agreement to which it is a party, including, without limitation, under any lease, operating agreement, mortgage
    or security instrument (other than the Loan Documents), or if such consent is required, that the parties have obtained all
    such consents.
	 	 
	 	Each TIC borrower further severally represents
    and warrants to Lender that, to its actual knowledge, no consent to the transfer of its interest in the Property and the Collateral
    to Buyer is required under any agreement to which Buyer is a party, including, without limitation, under any lease, operating
    agreement, mortgage or security instrument (other than the Loan Documents), or if such consent is required, that the parties
    have obtained all such consents.

  

	 	c.	No Defaults.
Buyer, Moody H and each TIC Borrower hereby severally represents and warrants, to the best of its respective knowledge, that no
default, event of default, breach or failure of condition has occurred, or would exist with notice or the lapse of time or both,
under any of the Loan Documents, as modified by this Agreement, and all representations and warranties herein and in the other
Loan Documents, as modified by this Agreement, are true and correct in all material respects.
	 	 	 
	 	d.	Loan Documents.
Buyer represents and warrants to Lender that Buyer has actual knowledge of all terms and conditions of the Loan Documents, and
agrees that Lender has no obligation or duty to provide any information to Buyer regarding the terms and conditions of the Loan
Documents. Buyer further agrees that all representations, agreements and warranties in the Loan Documents regarding Borrower,
its status, authority, financial condition and business, other than those that speak as of a specific date, shall apply to Buyer,
as though Buyer were the borrower originally named in the Loan Documents. Buyer further understands and acknowledges that, except
as expressly provided in this Agreement or another writing executed by Lender, Lender has not waived any right of Lender or obligation
of Borrower or Buyer under the Loan Documents and Lender has not agreed to any modification of any provision of any Loan Document
or to any extension of the Loan.

 

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	 	e.	Financial Statements.
Buyer represents and warrants to Lender that the financial statements of Buyer, New Guarantor and their members or constituent
entities, if applicable, delivered by Moody H, Buyer or any of such parties to Lender: (i) are materially complete and correct;
(ii) present fairly the financial condition of each of such parties; and (iii) have been prepared in accordance with generally
accepted accounting principles consistently applied or other accounting standards previously accepted by Lender. Buyer further
represents and warrants to Lender that, since the date of such financial statements, there has been no material adverse change
in the financial condition of any of such parties, nor have any assets or properties reflected on such financial statements been
sold, transferred, assigned, mortgaged, pledged or encumbered except as previously disclosed in writing by Buyer to Lender and
approved in writing by Lender.
	 	 	 
	 	f.	Reports. Buyer
represents and warrants to Lender that all reports, documents, instruments and information delivered by or on behalf of Buyer
to Lender in connection with Buyer’s assumption of the Loan: (i) are correct in all material respects and sufficiently complete
to give Lender accurate knowledge of their subject matter; and (ii) do not contain any misrepresentation of a material fact or
omission of a material fact which omission makes the provided information misleading.
	 	 	 
	 	g.	Buyer Location.
Buyer’s chief executive office (or principal residence, if applicable) is located at the following address: 6363 Woodway,
Suite 110, Houston, TX 77057. Buyer is an organization organized solely under the laws of the State of Delaware. All copies of
organizational documents of Buyer delivered to Lender are complete and accurate in every respect. Buyer’s legal name is
exactly as shown on page one of this Agreement. Buyer shall not change Buyer’s name or, as applicable, Buyer’s chief
executive office, Buyer’s principal residence or the jurisdiction in which Buyer is organized, without giving Lender at
least 30 days’ prior written notice.
	 	 	 
	 	h.	No Adverse Change.
Buyer represents and warrants to Lender that since the date of the financial statements for Buyer and New Guarantor submitted
by Buyer in connection with its application to assume the Loan, there has occurred no adverse change in the financial condition
of Buyer or New Guarantor.
	 	 	 
	 	i.	No Pledge of Equity
Interests. Buyer represents and warrants to Lender that (i) all closing funds related to Buyer’s acquisition of the
Property and Buyer’s assumption of the Loan (the “Acquisition”) are being contributed as capital contributions
to Buyer, (ii) no portion of the capital contributed to Buyer, directly or indirectly, in connection with the Acquisition consists
of borrowed funds or is secured, directly or indirectly, by any interest in Buyer, the Property or the Collateral and (iii) no
equity interest in Buyer or in any entity that directly owns an equity interest in Master Tenant and no controlling equity interest
in New Guarantor or in Moody National Operating Partnership I, L.P., a Delaware limited liability company that is (A) the sole
manager of Buyer’s sole member and (B) the sole member of Master Tenant’s sole member, or in any other direct or indirect
owner of Buyer or Master Tenant in violation of the Loan Documents, has been pledged, hypothecated or otherwise encumbered as
security for any obligation.

 

     9

     

    

 

	 	j.	Embargoed Person.
Buyer and New Guarantor represent and warrant that (a) to the best of their knowledge, none of the funds or other assets of Buyer
and New Guarantor constitute property of, or are beneficially owned, directly or indirectly, by any person, entity or government
subject to trade restrictions under U.S. law, including, but not limited to, USA PATRIOT Act (including the anti-terrorism provisions
thereof), the International Economic Powers Act, 50 U.S.C. §§1701, et. Seq., the Trading with the Enemy Act, 50 U.S.C.
App. 1 et. seq., and any Executive Orders or regulations promulgated thereunder, including those related to Specifically Designated
Nationals and Specifically Designated Global Terrorists (“Embargoed Person”), (b) no Embargoed Person has any
interest of any nature whatsoever in Buyer or New Guarantor with the result that the investment in Buyer (whether directly or
indirectly) is prohibited by law and (c) none of the funds of Buyer or New Guarantor have been derived from any unlawful activity
with the result that the investment in Buyer or New Guarantor (whether directly or indirectly) is prohibited by law or the Loan
or is in violation of law. Neither Buyer nor New Guarantor is (or will be) a Person with whom Lender is restricted from doing
business under OFAC regulations (including those persons named on OFAC’s Specially Designated and Blocked Persons list)
or under any statute, executive order (including the September 24, 2001 #13224 Executive Order Blocking Property and Prohibiting
Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action and is not or shall
not engage in any dealings or transactions or otherwise be associated with such Persons in violation of law and (x) neither Buyer
nor New Guarantor, to the best of its knowledge, is engaged, and (y) each of Buyer and New Guarantor shall take commercially reasonable
action to ensure that it does not hereafter engage, in any dealing or transactions or otherwise be associated with such Persons.
In addition, to help the US Government fight the funding of terrorism and money laundering activities, The USA Patriot Act (and
the regulations thereunder) requires the Lender to obtain, verify and record information that identifies its customers. Buyer
shall provide the Lender with any additional information that the Lender deems necessary from time to time in order to ensure
compliance with The USA Patriot Act and any other applicable Legal Requirements concerning money laundering and similar activities.

  

	 	13.	Waiver of Acceleration.
Lender hereby agrees that it shall not exercise its right to cause all sums secured by the Security Instrument to become immediately
due and payable because of the conveyance of the Property and the Collateral from Borrower to Buyer; provided, however,
Lender reserves its right under the terms of the Security Instrument or any other Loan Document to accelerate all principal and
interest in the event of any subsequent sale, transfer, encumbrance or other conveyance of the Property, the Collateral or any
interest in Buyer, except as permitted by the Loan Documents.
	 	 	 
	 	14.	Hazardous Materials.
Without in any way limiting any other provision of this Agreement, Buyer and Borrower expressly reaffirm as of the date hereof,
and Buyer reaffirms continuing hereafter: (a) each and every representation and warranty in the Loan Documents respecting “Hazardous
Materials”; and (b) each and every covenant and indemnity in the Loan Documents respecting “Hazardous Materials”.
	 	 	 
	 	15.	Multiple Parties.
If more than one person or entity has signed this Agreement as Buyer or Borrower, then all references in this Agreement to
Buyer or Borrower shall mean each and all of the persons so signing, as applicable. The liability of all persons and entities
signing shall be joint and several with all others similarly liable except that the joint and several liability of Borrower and
Guarantor under this Agreement and the Loan Documents shall be to the extent currently set forth in the Loan Documents.
	 	 	 
	 	16.	Confirmation of
Security Interest. Nothing contained herein shall affect or be construed to affect any lien, charge or encumbrance created
by any Loan Document or the priority of that lien, charge or encumbrance. All assignments and transfers by Borrower to Buyer are
subject to any security interest(s) held by Lender.
	 	 	 

 

     10

     

    

 

	 	17.	Notices. All
notices to be given to Buyer and Lender pursuant to the Loan Documents shall be addressed as follows:

 

	 	If
                                         to Buyer:

 

	 	 	Moody National International-Fort Worth Holding,
LLC
	 	 	6363 Woodway, Suite 110
	 	 	Houston, TX 77057
	 	 	Attn: Alex Sims
	 	 	 
	 	 	With a copy to
	 	 	 
	 	 	Gresham Savage Nolan & Tilden, PC
	 	 	550 West C Street, Suite 1810
	 	 	San Diego, California 92101
	 	 	Attention: Jerome A. Grossman, Esq.

 

	 	If
                                         to Lender:

 

	 	 	U.S. BANK NATIONAL ASSOCIATION, IN ITS CAPACITY
AS TRUSTEE, SUCCESSOR-IN-INTEREST TO BANK OF AMERICA, N.A., IN ITS CAPACITY AS TRUSTEE, SUCCESSOR-IN-INTEREST TO WELLS FARGO BANK,
N.A,, IN ITS CAPACITY AS TRUSTEE FOR THE REGISTERED HOLDERS OF COBALT CMBS COMMERCIAL MORTGAGE TRUST 2007-C3, COMMERCIAL MORTGAGE
PASS-THROUGH CERTIFICATES, SERIES 2007-C3
	 	 	c/o Wells Fargo Bank, National Association
	 	 	Commercial Mortgage Servicing
	 	 	1901 Harrison Street, 7th Floor
	 	 	Oakland, California 94612
	 	 	Attention: Asset Manager
	 	 	 
	 	 	with a copy to:
	 	 	 
	 	 	K&L Gates, LLP
	 	 	Hearst Tower, 47th Floor
	 	 	214 North Tryon Street
	 	 	Charlotte, North Carolina 28202-2367
	 	 	Attention: Stacy G. Ackermann, Esq.

 

	 	18.	Integration; Interpretation.
The Loan Documents, including this Agreement, contain or expressly incorporate by reference the entire agreement of the parties
with respect to the matters contemplated herein and supersede all prior negotiations. The Loan Documents shall not be modified
except by written instrument executed by Lender and Buyer. Any reference in any of the Loan Documents to the Property or the Collateral
shall include all or any parts of the Property or the Collateral.
	 	 	 
	 	19.	Successors and
Assigns. This Agreement is binding upon and shall inure to the benefit of the heirs, successors and assigns of the parties
but subject to all prohibitions of transfers contained in any Loan Document.
	 	 	 
	 	20.	Attorneys’
Fees; Enforcement. If any attorney is engaged by Lender to enforce, construe or defend any provision of this Agreement,
or as a consequence of any default under or breach of this Agreement, with or without the filing of any legal action or proceeding,
Buyer shall pay to Lender, upon demand, the amount of all attorneys’ fees and costs reasonably incurred by Lender in connection
therewith, together with interest thereon from the date of such demand at the rate of interest applicable to the principal balance
of the Note as specified therein.
	 	 	 
	 	21.	One-Time Right
of Transfer of Property. The parties acknowledge that Section 12(g) of the Security Instrument provides that Lender shall,
one (1) time only, consent to the voluntary sale or exchange of all of the Property, all subject, however, to the terms and conditions
set forth therein. The parties agree that this Agreement and the actions to be taken as contemplated herein shall constitute such
one consent and that hereafter, Lender shall not be required to consent to any further such sale or exchange.

 

     11

     

    

 

	 	22.	NOTICE PURSUANT
TO SECTION 26.02 OF THE TEXAS BUSINESS AND COMMERCE CODE. Buyer and New Guarantor acknowledge and agree that each has
received a copy of the disclosure attached hereto as Exhibit D.
	 	 	 
	 	23.	Miscellaneous.
This Agreement shall be governed and interpreted in accordance with the laws of the jurisdiction(s) specified in the other
Loan Documents as governing the other Loan Documents. In any action brought or arising out of this Agreement, Borrower and Buyer,
and their respective general partners, members and joint venturers, hereby consent to the jurisdiction of any state or federal
court having proper venue as specified in the other Loan Documents and also consent to the service of process by any means authorized
by the law of such jurisdiction(s). Except as expressly provided otherwise herein, all terms used herein shall have the meaning
given to them in the Security Instrument or, if not defined therein, in such other Loan Document as does provide the applicable
definition. Time is of the essence of each term of the Loan Documents, including this Agreement. If any provision of this Agreement
or any of the other Loan Documents shall be determined by a court of competent jurisdiction to be invalid, illegal or unenforceable,
that portion shall be deemed severed therefrom and the remaining parts shall remain in full force as though the invalid, illegal,
or unenforceable portion had been a part thereof.
	 	 	 
	 	24.	Counterparts.
This Agreement may be executed in any number of counterparts, each of which when executed and delivered will be deemed an
original and all of which taken together will be deemed to be one and the same instrument.

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

 

     12

     

    

 

	 	LENDER:
	 	 
	 	U.S. BANK NATIONAL ASSOCIATION, IN ITS CAPACITY
AS TRUSTEE, SUCCESSOR-IN-INTEREST TO BANK OF AMERICA, N.A., IN ITS CAPACITY AS TRUSTEE, SUCCESSOR-IN-INTEREST TO WELLS FARGO BANK,
N.A,, IN ITS CAPACITY AS TRUSTEE FOR THE REGISTERED HOLDERS OF COBALT CMBS COMMERCIAL MORTGAGE TRUST 2007-C3, COMMERCIAL MORTGAGE
PASS-THROUGH CERTIFICATES, SERIES 2007-C3

  

		By:	Wells
                                         Fargo Bank, National Association, solely in its capacity as Master Servicer, pursuant
                                         to that certain Pooling and Servicing Agreement dated as of August 1, 2007

 

	 	By:	 
	 	Name:	Joyce Fray
	 	Title:	Vice President

 

    	 

    	 

    

 

ACKNOWLEDGMENT

 

	A
notary public or other officer completing this certificate
verifies only the identity of the individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.

  

	State
    of California	)	 
	 	)	ss.
	County
    of Alameda	)	 

  

On
__________ ___, 2015, before me, ________________________________, a notary public, personally appeared Joyce Fray, who
proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

 

I
certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	                [notary
signature]	 	 
	 	 	[seal]

 

    	 

    	 

    

 

	 	BORROWER:	 
	 	 	 
	 	MOODY NATIONAL TPS FORT
WORTH H, LLC, a
 Delaware limited
liability company	 

 

	 	By:	 	 
	 	Name:	Brett C. Moody	 
	 	Title:	President	 

 

	STATE OF	 	)	 
	 	 	)	 
	COUNTY OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared ____________________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

 

	 	GUARANTOR:
	 	
	 	Brett C. Moody, individually

 

	STATE
    OF	 	)	 
	 	 	)	
	COUNTY
    OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared ____________________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	 
	 	TIC TPS Fort Worth 1,
LLC, a Delaware limited liability company

 

	 	By:	Golden Phoenix LLC, an Arizona limited liability
company, its sole member

 

	 	By:	Lai Investments & Management, LLC, a California
limited liability company, its sole member

 

	 	By:	 
	 	 	Alfred Lai, as Trustee of the Alfred Lai Living
Trust dated June 1, 1994, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	 
	 	Alfred Lai

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Alfred Lai,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	 
	 	TIC TPS Fort Worth 2,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Charles Edward Wynn, as Trustee of the Wynn Family
Trust dated October 31, 1989, its sole member
	 	 	 
	 	By:	 
	 	 	Lorene Rossum Wynn, as Trustee of The Wynn Family
Trust dated October 31, 1989, its sole member

  

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official seal.	 	 
	 	 	 
	 	 	 	 	 
	Signature of
Notary Public       	 	Place Notary Seal Above

  

    	 

    	 

    

 

	 	GUARANTOR:
	 	 
	 	Charles E. Wynn
	 	 
	 	GUARANTOR:
	 	 
	 	Lorene Rossum Wynn

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Charles E.
Wynn, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Lorene Rossum
Wynn, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

 

	 	BORROWER:
	 	 
	 	TIC TPS Fort Worth 3,
LLC, a Delaware limited liability company

  

	 	By:	AGR Properties, LLC,
a Utah limited liability company, its sole member

 

	 	By:	
	 	 	Ann C. Watts, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	 
	 	Ann C. Watts

 

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 20015, before me, ____________________________________________________________, personally appeared Ann C. Watts,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	 
	 	TIC TPS Fort Worth 4,
LLC, a Delaware limited liability company

  

	 	By:	GRW Properties, LLC,
a Utah limited liability company, its sole member

 

	 	By:	
	 	 	Gregory R. Watts, its Manager

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Gregory R. Watts

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Gregory R.
Watts, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

  

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 5,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Wallace R. Alvey, as husband and wife as Joint Tenants
with right of survivorship, its sole member
	 	 	 
	 	By:	 
	 	 	Sharon S. Alvey, as husband and wife as Joint Tenants
with right of survivorship, its sole member

  

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

  

	 	GUARANTOR:
	 	
	 	Wallace R. Alvey
	 	 
	 	 
	 	Sharon S. Alvey

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Wallace R.
Alvey, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Sharon S. Alvey,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 6,
LLC, a Delaware limited liability company

  

	 	By:	The Odyssey Group, LLC,
a South Dakota limited liability company, its sole member

 

	 	By:	
	 	 	Don Stephen Gull, Managing Director

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

  

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Don Stephen Gull

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Don Stephen
Gull, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 7,
LLC, a Delaware limited liability company

 

	 	By:	
	 	 	Roland Covey, an individual, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Roland Covey

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Roland Covey,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 8,
LLC, a Delaware limited liability company

 

	 	By:	
	 	 	Stephen C. Taylor, as husband and wife as Joint
    Tenants with right of survivorship, its sole member
	 	 	
	 	By:	 
	 	 	Sue Ann. Taylor, as husband and wife as Joint
    Tenants with right of survivorship, its sole member

  

	STATE
OF	 	 	)	 
	 	 	 	)	 
	COUNTY
OF	 	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	 	)	 
	 	 	 	)	 
	COUNTY
OF	 	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Stephen C. Taylor
	 	 
	 	
	 	Sue Ann Taylor

 

	STATE
OF	 	 	)	 
	 	 	 	)	 
	COUNTY
OF	 	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Stephen C.
Taylor, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	 	)	 
	 	 	 	)	 
	COUNTY
OF	 	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Sue Ann Taylor,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 9,
LLC, a Delaware limited liability company

 

	 	By:	The Moine Family Limited
Partnership, a Texas limited partnership, its sole member

 

	 	By:	
	 	 	Harriet E. Moine, as Trustee of the Moine Family
    Management Trust, its general partner

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Helen E. Moine

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Helen E. Moine,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 10,
LLC, a Delaware limited liability company

  

	 	By:	 
	 	 	George S. Winnacker, as Co-Trustee of the Winnacker
    Family Trust dated November 15, 1996, its sole member
	 	 	 
	 	By:	 
	 	 	Mieko K. Winnacker as Co-Trustee of the Winnacker
    Family Trust dated November 15, 1996, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	George S. Winnacker
	 	 
	 	
	 	Mieko K. Winnacker

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared George S. Winnacker,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Mieko K. Winnacker,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 11,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Michael L. McGregor, as husband and wife as
    Joint Tenants with right of survivorship, its sole member
	 	 	 
	 	By:	 
	 	 	Deborah S. McGregor, as husband and wife as
    Joint Tenants with right of survivorship, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Michael L. McGregor
	 	 
	 	 
	 	Deborah S. McGregor

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Michael L.
McGregor, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Deborah S.
McGregor, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 13,
LLC, a Delaware limited liability company

 

	 	By:	Quinlan Real Estate
LLC, a California limited liability company, its sole member

 

	 	By:	 
	 	 	Patrick T. Quinlan, as Co-Trustee of the Quinlan
Living Trust established December 7, 2001, its sole member
	 	 	 
	 	By:	 
	 	 	Darecc M. Quinlan, as Co-Trustee of the Quinlan
Living Trust established December 7, 2001, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Patrick T. Quinlan
	 	 
	 	 
	 	Darece M. Quinlan

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Patrick T.
Quinlan, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Darece M. Quinlan,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 14,
LLC, a Delaware limited liability company

 

	 	By:	
	 	 	Gary Lee Thomas, as Trustee of The Gary and
    Barbara Thomas Revocable Trust dated August 12, 1994, its sole member
	 	 	 
	 	By:	 
	 	 	Barbara Irene Thomas, as Trustee of The Gary
    and Barbara Thomas Revocable Trust dated August 12, 1994, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

  

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Gary Lee Thomas
	 	 
	 	 
	 	Barbara Irene Thomas

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Gary Lee Thomas,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Barbara Irene
Thomas, personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 15,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Joanne Gong, as Trustee of the Joanne Gong Revocable
    Trust dated December 3, 1998, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Joanne Gong

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Joanne Gong,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 16,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Daniel L. Soffa, an individual, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Daniel L. Soffa

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Daniel L. Soffa,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 17,
LLC, a Delaware limited liability company

 

	 	By:	 
	 	 	Hugh T. Smith, as Trustee of the 1986 Hugh T.
    Smith and Helen G. Smith Living Trust, its sole member
	 	 	 
	 	By:	 
	 	 	Helen G. Smith, as Trustee of the 1986 Hugh
    T. Smith and Helen G. Smith Living Trust, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Hugh T. Smith
	 	 
	 	 
	 	Helen G. Smith

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Hugh T. Smith,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Helen G. Smith,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

  

	 	BORROWER:
	 	
	 	TIC TPS Fort Worth 18,
LLC, a Delaware limited liability company

 

	 	By:	
	 	 	Susan C. Soffa, an individual, its sole member

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
_________ __, 2015, before me, _______________________________________________________, personally appeared _______________________________,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	GUARANTOR:
	 	
	 	Susan C. Soffa

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

  

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Susan C. Soffa,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

	 	BUYER:
	 	
	 	MOODY NATIONAL INTERNATIONAL-FORT
WORTH HOLDING, LLC, a Delaware limited liability company

  

	 	By:	 
	 	 	 
	 	 	Brett C. Moody, President

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Brett C. Moody,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

 

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

  

    	 

    	 

    

 

	 	NEW
GUARANTOR:
	 	
	 	MOODY NATIONAL
REIT I, INC., a Maryland corporation
	 	 
	 	By:	 
	 	 	 
	 	 	Brett C. Moody, Chief
Executive Officer

 

	STATE
OF	 	)	 
	 	 	)	 
	COUNTY
OF	 	)	 

 

On
__________ ___, 2015, before me, ____________________________________________________________, personally appeared Brett C. Moody,
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies),
and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.

  

	WITNESS my hand and official
seal.	 	 
	 	 	 
	 	 	 
	Signature of Notary Public	 	Place Notary Seal Above

 

    	 

    	 

    

 

Exhibit
A

 

Prior
Assumption Documents

 

	TIC

(BORROWERS)	TIC

(GUARANTORS)	PRIOR
ASSUMPTION AGREEMENTS	TIC
PRINCIPAL GUARANTIES	PERCENTAGE
INTERESTS
	TIC
TPS Fort Worth 1, LLC	Alfred
Lai	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 1, LLC,
recorded on June 15, 2007 as Document No. 000209183 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Alfred Lai for the benefit of Citigroup Global Markets Realty Corp.	13.9454%
	TIC
TPS Fort Worth 2, LLC	Charles
E. Wynn 

Lorene Rossum Wynn	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 2, LLC,
recorded on June 15, 2007 as Document No. 000209185 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Charles E. Wynn and Lorene Rossum Wynn for the benefit of Citigroup Global
Markets Realty Corp.	6.6812%
	TIC
TPS Fort Worth 3, LLC	Ann
C. Watts	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 3, LLC,
recorded on June 15, 2007 as Document No. 000209187 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Ann C. Watts for the benefit of Citigroup Global Markets Realty Corp.	5.4645%
	TIC
TPS Fort Worth 4, LLC	Gregory
R. Watts	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 4, LLC,
recorded on June 15, 2007 as Document No. 000209189 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Gregory R. Watts for the benefit of Citigroup Global Markets Realty Corp.	5.4645%
	TIC
TPS Fort Worth 5, LLC	Wallace
R. Alvey

Sharon S. Alvey	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Forth Worth S, LLC and TIC TPS Fort Worth I,
LLC, recorded on June 15, 2007 as Document No. 000209191 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Wallace R. Alvey and Sharon S. Alvey for the benefit of Citigroup Global Markets
Realty Corp.	9.3552%

  

    	 

    	 

    

 

	TIC

(BORROWERS)	TIC

(GUARANTORS)	PRIOR
ASSUMPTION AGREEMENTS	TIC
PRINCIPAL GUARANTIES	PERCENTAGE
INTERESTS
	TIC
TPS Fort Worth 6, LLC	Don
Stephen Gull	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 6, LLC,
recorded on June 15, 2007 as Document No. 000209193 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Don Stephen Gull for the benefit of Citigroup Global Markets Realty Corp.	3.2787%
	TIC
TPS Fort Worth 7, LLC	Roland
Covey	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 7, LLC,
recorded on June 15, 2007 as Document No. 000209195 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Roland Covey for the benefit of Citigroup Global Markets Realty Corp.	5.0919%
	TIC
TPS Fort Worth 8, LLC	Stephen
C. Taylor

Sue Ann Taylor	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 8, LLC,
recorded on June 15, 2007 as Document No. 000209197 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Stephen C. Taylor   and Sue Ann Taylor for the benefit of Citigroup Global
Markets Realty Corp.	5.4645%
	TIC
TPS Fort Worth 9, LLC	Harriet
E. Moine	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 9, LLC,
recorded on June 18, 2007 as Document No. 000211101in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Harriet E. Moine for the benefit of Citigroup Global Markets Realty Corp.	6.5574%
	TIC
TPS Fort Worth 10, LLC	George
S. Winnacker

Mieko K. Winnacker	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 10,
LLC, recorded on June 15, 2007 as Document No. 000209200 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by George S. Winnacker and Mieko K. Winnacker for the benefit of Citigroup Global
Markets Realty Corp.	3.2539%

 

    	 

    	 

    

 

	TIC

(BORROWERS)	TIC

(GUARANTORS)	PRIOR
ASSUMPTION AGREEMENTS	TIC
PRINCIPAL GUARANTIES	PERCENTAGE
INTERESTS
	TIC
TPS Fort Worth 11, LLC	Michael
L. McGregor   Deborah S. McGregor	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 11,
LLC, recorded on February 22, 2007 as Document No. 000209202 in the Official Records	TIC
Principal Guaranty executed as of February 22, 2007, by Michael L. McGregor and Deborah S. McGregor for the benefit of Citigroup
Global Markets Realty Corp.	7.6020%
	TIC
TPS Fort Worth 13, LLC	Patrick
T. Quinlan   

Darece M. Quinlan	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 12,
LLC, recorded on June 15, 2007 as Document No. 000209204 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Patrick T. Quinlan and Darece M. Quinlan for the benefit of Citigroup Global
Markets Realty Corp.	4.5000%
	TIC
TPS Fort Worth 14, LLC	Gary
Lee Thomas  

Barbara Irene Thomas	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 13,
LLC, recorded on June 15, 2007 as Document No. 000209206 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Gary Lee Thomas and Barbara Irene Thomas for the benefit of Citigroup Global
Markets Realty Corp.	6.5574%
	TIC
TPS Fort Worth 15, LLC	Joanne
Gong	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 14,
LLC, recorded on February 22, 2007 as Document No. 000209208 in the Official Records	TIC
Principal Guaranty executed as of February 22, 2007, by Joanne Gong for the benefit of Citigroup Global Markets Realty Corp.	6.6126%
	TIC
TPS Fort Worth 16, LLC	David
L. Soffa	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 15,
LLC, recorded on June 15, 2007 as Document No. 000209210 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by David L. Soffa for the benefit of Citigroup Global Markets Realty Corp.	1.3403%
	TIC
TPS Fort Worth 17, LLC	Hugh
T. Smith 

Helen G. Smith	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 16,
LLC, recorded on June 15, 2007 as Document No. 000209212 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by Hugh T. Smith and Helen G. Smith for the benefit of Citigroup Global Markets
Realty Corp.	5.6831%
	TIC
TPS Fort Worth 18, LLC	Susan
C. Soffa	Assumption
Agreement by and among Citigroup Global Markets Realty Corp., Moody National TPS Fort Worth S, LLC and TIC TPS Fort Worth 17,
LLC, recorded on June 15, 2007 as Document No. 000209214 in the Official Records	TIC
Principal Guaranty executed as of June 7, 2007, by J Susan C. Soffa for the benefit of Citigroup Global Markets Realty Corp.	1.3403%

 

    	 

    	 

    

 

EXHIBIT
B

 

	 	1.	All references in the
Loan Documents to “Borrower”, or “Trustor”, as applicable, shall mean “New Borrower”.
	 	 	 
	 	2.	All references in the
Loan Documents to “Guarantor” shall mean “New Guarantor”.
	 	 	 
	 	3.	All references in the
Loan Documents to “Master Tenant” shall mean “Moody National International-Fort Worth MT, LLC, a Delaware limited
liability company”.
	 	 	 
	 	4.	All references in the
Loan Documents to “Master Lease” shall mean “that Master Lease Agreement dated as of the date hereof by and
among New Borrower and Moody National International-Fort Worth MT, LLC, a Delaware limited liability company.”
	 	 	 
	 	5.	All references in the
Loan Documents to “Manager” or “TownPlace, in its capacity as Manager” shall mean “Moody National
Hospitality Management, LLC”.
	 	 	 
	 	6.	All references in the
Loan Documents to “Management Agreement” shall mean “that certain Management Agreement entered into by Moody
National Hospitality Management, LLC and Moody National International-Fort Worth MT, LLC”.
	 	 	 
	 	7.	The last sentence of
the second paragraph of the Security Instrument is hereby modified by deleting the phrase “date hereof” and replacing
the same with “the date of the Assumption Agreement.”
	 	 	 
	 	8.	All references in the
Loan Documents to “Sponsor Entity” are hereby deleted and replaced with a reference to “Borrower.”
	 	 	 
	 	9.	Section 9 of the Security Instrument is hereby modified
as follows:

 

	 	a.	Section 9(m) is hereby
revised by (i) deleting the clause “ (i) owning the Property as a tenant in common with other Borrowers, and/or (ii)”
and (ii) restating clause (ii) to read as follows: “the commingling of funds with the Master Tenant pursuant to the cash
management provisions of the Loan Documents shall not be, nor deemed to be, a violation of this provision.”
	 	 	 
	 	b.	Section 9(n) is hereby
revised by (i) deleting the clause “(i) owning the Property as a tenant in common with other Trustors, and/or (ii)”;
and (ii) restating clause (ii) to read as follows: “the commingling of funds with the Master Tenant pursuant to the cash
management provisions of the Loan Documents shall not be, nor deemed to be, a violation of this provision.”
	 	 	 
	 	c.	Section 9(o) is hereby
revised by deleting the clause “, except to the extent that each Trustor is liable for the Debt jointly and severally with
other Trustors”.

 

	 	10.	Section 12(b) of the
Security Instrument is hereby revised by adding the following to end thereto:

 

    	 

    	 

    

 

	 	“Notwithstanding anything to the contrary
    herein, the sale, conveyance, transfer, disposition, alienation, hypothecation, pledge or encumbering of all or any portion
    of the direct or indirect ownership interests in Moody National REIT I, Inc., a Maryland corporation (the “Moody REIT”),
    (each a “Permitted REIT Transfer”) shall be permitted without (1) Lender’s consent, (2) notice to Lender,
    and (3) the payment of any fee, premium, penalty or other payment to Lender other than payment of Lender’s actual out-of-pocket
    expenses, if any, provided, however, that after such Permitted REIT Transfer (a) except with the Lender’s prior written
    consent to the contrary, the Moody REIT is required to file, with respect to the equity interests of such company, periodic
    reports with the Securities and Exchange Commission under Section 13 or Section 15(d) of the Securities Exchange Act of 1934,
    as amended, (b) if, as a result of any such Permitted REIT Transfer, any Person that, together with such Person’s Affiliates,
    did not already own, Control or hold a lien or pledge on twenty percent (20%) or more of the direct or indirect ownership
    interests in the Moody REIT, would own, Control or hold a lien or pledge on twenty percent (20%) or more of the direct or
    indirect ownership interests in the Moody REIT, then Trustor shall provide prior written notice to Lender and such Person
    shall be subject to Lender’s customary credit and background searches, (c) no Person, together with such Person’s
    Affiliates, shall own, Control or hold a lien or pledge on, more than forty-nine percent (49%) of the direct or indirect ownership
    interest in the Moody REIT, and (d) no individual transfer, or related series of transfers, shall result in a change of Control
    in Trustor, the Moody REIT or Master Tenant. “

 

	 	d.	Section 12(f) of the
Security Instrument is hereby deleted in its entirety and replaced with “Reserved.”
	 	 	 
	 	e.	Section 12(h) of the
Security Instrument is hereby deleted in its entirety and replaced with “Reserved.”

 

	 	11.	Section 17(b)(iii) of
the Security Instrument is hereby revised by (a) deleting the clause “; provided, however, that as to items described in
subsection (C), such deliveries shall not be required from any co-borrower or its respective constituents or its respective Guarantor,
other than the Sponsor Entity (at any time it owns an interest in the Property), and its respective Guarantors, unless such other
co-borrower holds at least a twenty percent (20%) undivided interest in the Property”; and (b) substituting therefor, a
“.”.
	 	 	 
	 	12.	Section 22 of the Security
Instrument is hereby revised by deleting the last two paragraphs therefrom.
	 	 	 
	 	13.	Section 69 of the Security
Instrument is hereby deleted in its entirety.
	 	 	 
	 	14.	Section 12 of the Note
is hereby deleted in its entirety and the following is hereby substituted in its stead:

 

	 	“12.Limitations on Recourse.
	 	 
	 	(a)     Notwithstanding
    anything in the Loan Documents to the contrary, but subject to the qualifications and other provisions in clauses (b), (c)
    and (d) of this Section 12 below, Payee and Maker agree that: (i) Maker shall be liable upon the Debt and for the other
    obligations arising under the Loan Documents to the full extent (but only to the extent) of the security therefor, the same
    being all properties (whether real or personal), rights, estates and interests now or at any time hereafter securing the payment
    of the Debt and/or the other obligations of Maker under the Loan Documents; (ii) if a default occurs in the timely and proper
    payment of all or any part of the Debt, any judicial proceedings brought by Payee against Maker shall be limited to the preservation,
    enforcement and foreclosure, or any thereof, of the liens, security titles, estates, assignments, rights and security interests
    now or at any time hereafter securing the payment of the Debt and/or the other obligations of Maker under the Loan Documents,
    and no attachment, execution or other writ of process shall be sought, issued or levied upon any assets, properties or funds
    of Maker other than the Property; and (iii) in the event of a foreclosure of such liens, security titles, estates, assignments,
    rights or security interests securing the payment of the Debt, no judgment for any deficiency upon the Debt shall be sought
    or obtained by Payee against Maker.

 

    	 

    	 

    

 

	 	(b)     Nothing contained
    in this Section 12 shall (A) be deemed to be a release or impairment of the Debt or the lien of the Loan Documents
    upon the Property, (B) preclude Payee from foreclosing under the Loan Documents in case of any default or from enforcing any
    of the other rights of Payee, including naming Maker as a party defendant in any action or suit for foreclosure and sale under
    the Mortgage, or obtaining the appointment of a receiver or prohibit Payee from obtaining a personal judgment against Maker
    on the Debt to the extent (but only to the extent) such judgment may be required in order to enforce the liens, security titles,
    estates, assignments, rights and security interests securing payment of the Debt, (C) limit or impair in any way whatsoever
    any Guaranty (the “Guaranty”) executed and delivered in connection with the indebtedness evidenced by this
    Note or release, relieve, reduce, waive or impair in any way whatsoever, any obligation of any party to the Guaranty, or (D)
    release, relieve, reduce, waive or impair in any way whatsoever any obligations of any person other than Maker which is a
    party to any of the other Loan Documents.
	 	 
	 	(c)     In the event
    (1) any petition or proceeding for bankruptcy, reorganization or arrangement pursuant to federal bankruptcy law, or any
    similar federal or state law, shall be filed by Maker, or against Maker by any Affiliate of Maker, or if Maker or any Affiliate
    of Maker or their respective agents (at the direction of Maker or such Affiliate of Maker), affiliates, officers or employees
    consent to, acquiesce in, arrange or otherwise participate in bringing about the institution of such petition or proceeding
    against any Maker (without Payee’s prior written consent), or (2) if subsequent to the commencement of any voluntary
    bankruptcy proceeding with respect to Maker, any involuntary bankruptcy proceeding is brought by Payee against Maker and Maker
    or its Affiliate files any motion contesting the same (each of the facts, events, acts or circumstances described in the foregoing
    clauses (1) and (2) with respect to Maker is herein referred to as a “Special Recourse Event with respect to
    Maker), then, the limitations on recourse set forth in this Section 12, including the provisions of clauses (i),
    (ii) and (iii) of Section 12(a) above, shall be null and void and completely inapplicable with respect to Maker, and
    this Note shall be full recourse to Maker to which the limitations on recourse set forth in this Section 12 are inapplicable.
	 	 
	 	(d)     Maker shall
    be fully and personally liable, and subject to legal action, for any loss, cost, expense, damage, claim or other obligation
    (including without limitation reasonable attorneys’ fees and court costs) incurred or suffered by Payee (“Payee’s
    Costs”) arising out of or in connection with the following:

 

	 	(i)     any fraud or intentional
material misrepresentation by Maker or any of its Maker Affiliates in connection with the Loan Documents, but not for fraud or
material misrepresentation by any other person comprising Maker or such other person’s affiliates;
	 	 
	 	(ii)    any breach of the Environmental
Liabilities Agreement executed by Maker and any guarantor therein for the benefit of Payee, dated on or about the date hereof,
including the indemnification provisions contained therein;
	 	 
	 	(iii)   any application in violation
of the Loan Documents by such Maker or any of its Maker Affiliates of any funds derived from the Property, including security
deposits, insurance proceeds and condemnation awards;
	 	 
	 	(iv)   after the occurrence of an
Event of Default or otherwise to the extent the Loan Documents require such application, the failure of Maker or any of its Maker
Affiliates to apply proceeds of rents (including rents collected in advance) or any other receipts in respect of the leases (lease
termination and modification payments and recoveries upon defaulted leases) and other income or funds derived from the Property
or any other collateral when received to the costs of maintenance and operation of the Property and to the payment of taxes, lien
claims, insurance premiums, monthly payments of principal and interest or escrow payments or other payments due under the Loan
Documents;
	 	 
	 	(v)    if Maker or any of its
Maker Affiliates or their respective agents (at the direction of Maker or any of its Maker Affiliates), affiliates, officers or
employees contests or in any way interferes with, directly or indirectly, any foreclosure action or sale commenced by Payee or
with any other enforcement of Payee’s rights, powers or remedies under any of the Loan Documents or under any document evidencing,
securing or otherwise relating to the Property or any other collateral for the Debt (whether by making any motion, bringing any
counterclaim, claiming any defense, seeking any injunction or other restraint, commencing any action seeking to consolidate any
such foreclosure or other enforcement with any other action, or otherwise), other than contests brought in good faith;

 

    	 

    	 

    

 

	 	(vi)   the seizure or forfeiture
of the Property, or any portion thereof, or Payee’s interest therein, resulting from criminal wrongdoing by Maker or any
of its Maker Affiliates or their respective agents (at the direction of Maker or such Maker Affiliate), affiliates, officers or
employees;
	 	 
	 	(vii)  in the event Payee has waived (or
Maker has failed to pay or the Mortgage does not require) the monthly collection for real and personal property taxes, assessments,
insurance premiums, or ground rents, then failure by Maker to pay any or all such taxes, assessments, premiums and rents to the
extent funds are available to Maker from the Property and Maker has not applied available funds to the Property;
	 	 
	 	(viii)  material intentional physical
waste of the Property caused by the acts or omissions of Maker or any of its Maker Affiliates;
	 	 
	 	(ix)   any knowing failure by Maker
to insure the Property in accordance with the Loan Documents to the extent that funds are available to Maker from the Property
and Maker has not applied the funds to the Property;
	 	 
	 	(x)   the removal or disposal
of any portion of the Property by Maker or any of its Maker Affiliates after an Event of Default to the extent such Property is
not replaced by Maker with like property of equivalent value, function and design;
	 	 
	 	(xi)  if there shall occur any material
Event of Default by Maker under the provisions of Section 9 of the Mortgage (entitled “Single Purpose Entity/Separateness”),
other than any breach of Sections 9(d) (with respect to the payment of permitted trade debt only), 9(f), 9(k) and 9(p) thereof;
	 	 
	 	(xii) if there shall occur any material
Event of Default by Maker under the provisions of Section 12 of the Mortgage (entitled “Transfer or Encumbrance of the Property”);
and
	 	 
	 	(xiii)if in the absence of the Payee’s
prior written consent, or unless otherwise permitted under the Loan Documents, Maker enters into any amendment to, modification
of or termination of the Master Lease (as defined in the Mortgage).

 

Maker
shall additionally be personally liable for (and the provisions of Section 12(a) above shall not be applied to limit
or otherwise affect Maker’s personal liability for) and shall pay to Payee upon demand any and all fees, costs and expenses,
including without limitation reasonable legal fees and expenses, incurred by Payee and its servicers in connection with the enforcement
by Payee of any obligations of Maker for which Maker is personally liable hereunder and under the Environmental Liabilities Agreement,
together with interest accrued for any such unpaid obligations at the Default Rate, only to the extent the unpaid obligations
are not paid in full within ten (10) days of demand therefor.”

 

    	 

    	 

    

 

Exhibit
C

 

Deferred
Maintenance

 

 

	Deferred
Maintenance Items	Required
Completion Date
	Repair
of cracked pool deck fence footings	120
Days from the date hereof

 

    	 

    	 

    

  

EXHIBIT
D

 

NOTICE
PURSUANT TO SECTION 26.02

OF THE TEXAS BUSINESS AND COMMERCE CODE

  

	BORROWER:	 	LENDER:
	 	 	
	MOODY NATIONAL INTERNATIONAL-FORT WORTH, LLC	 	U.S. BANK NATIONAL ASSOCIATION, IN ITS CAPACITY
AS TRUSTEE, SUCCESSOR-IN-INTEREST TO BANK OF AMERICA, N.A., IN ITS CAPACITY AS TRUSTEE, SUCCESSOR-IN-INTEREST TO WELLS FARGO BANK,
N.A,, IN ITS CAPACITY AS TRUSTEE FOR THE REGISTERED HOLDERS OF COBALT CMBS COMMERCIAL MORTGAGE TRUST 2007-C3, COMMERCIAL MORTGAGE
PASS-THROUGH CERTIFICATES, SERIES 2007-C3
	GUARANTOR:	 	 
	 	 	 
	MOODY NATIONAL REIT I, INC.	 	 

 

Description
of Transaction:

 

Borrower’s
assumption of the loan in the original principal amount of $7,840,000.00, made by Citigroup Global Markets Realty Corp., a New
York Corporation (“Original Lender”) to MOODY NATIONAL TPS FORT WORTH H, LLC, a Delaware limited liability
company, each TIC Borrower (as defined in the Assumption Agreement) and guaranteed by Brett C. Moody as assigned by Original Lender
to Lender, is evidenced by the Loan Documents (collectively, the “Written Instruments”):

 

THE
WRITTEN INSTRUMENTS DESCRIBED ABOVE REPRESENT THE FINAL AGREEMENT BETWEEN THE PARTIES, AND MAY NOT BE CONTRADICTED BY EVIDENCE
OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

 

This
Notice may be executed in several separate counterparts, which together shall be fully effective as an original and together constitute
one and the same instrument; the signature of any party to any counterpart shall be deemed a signature to, and may be appended
to, any other counterpart.MOODY NATIONAL REIT I, INC. 10-K

 

EXECUTED
VERSION 

 

Exhibit 10.63 

 

 

 

TOWNEPLACE
SUITES BY MARRIOTT

RELICENSING
FRANCHISE AGREEMENT

 

	franchisor:	MARRIOTT INTERNATIONAL, INC.
	 	 
	franchisee:	MOODY NATIONAL INTERNATIONAL-FORT WORTH MT, LLC
	 	 
	LOCATION:	4200 International Plaza, Fort Worth, TX 76109
	 	 
	DATE:	DECEMBER 18, 2015

 

     

     

    

 

TABLE
OF CONTENTS

 

	 	Page
	 	 
	1.      LICENSE	1
	 	 
	1.1  	Limited Grant.	1
	1.2 	Franchisor’s Reserved Rights.	1
	 	 	 
	2.      TERM	1
	 	 
	2.1   	Term.	1
	2.2   	Not Renewable.	1
	 	 	 
	3.     FEES, CHARGES AND COSTS	1
	 	 
	3.1	Application Fee; Expansion Fee.	1
	3.2  	Franchise Fees.	2
	3.3  	Franchisor Travel Costs.	2
	3.4  	Other Fees, Charges and Costs.	2
	3.5  	Calculation of Fees, Charges and Costs.	2
	3.6  	Timing of Payments and Performance of Services.	2
	3.7 	Interest on Late Payments.	2
	 	 	 
	4.     HOTEL CONSTRUCTION, RENOVATION AND MAINTENANCE	3
	 	 
	4.1  	Number of Guestrooms; Expansion.	3
	4.2 	Initial Construction or Renovation of the Hotel.	3
	4.3  	Periodic Renovations.	3
	4.4 	Design Process.	3
	4.5 	Maintenance.	4
	 	 	 
	5.     FURNITURE, FIXTURES, EQUIPMENT, INVENTORIES AND SUPPLIERS	4
	 	 
	5.1 	Uniformity of System.	4
	5.2 	Suppliers.	4
	 	 	 
	6.     ADVERTISING AND MARKETING; PRICINGS, RATES AND RESERVATIONS	4
	 	 
	6.1 	Franchisee’s Local Advertising and Marketing Programs.	4
	6.2 	Marketing Fund.	5
	6.3   	Additional Marketing Programs.	6
	6.4  	Pricing, Rates and Reservations.	6
	 	 	 
	7.     ELECTRONIC SYSTEMS	7
	 	 
	7.1  	Systems Installation and Use.	7
	7.2  	Reservation System.	7
	7.3 	Electronic Systems Provided Under License.	7
	7.4 	Access to Information.	7
	 	 	 
	8.     HOTEL OPERATIONS	7
	 	 
	8.1  	Operator of the Hotel.	7
	8.2  	Employees.	8
	8.3  	Compliance with the Standards.	8
	8.4 	System Promotion; No Diversion to Other Businesses.	9

  

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	9.     TRAINING, COUNSELING AND ADVISORY SERVICES	9
	 	 
	9.1  	Training.	9
	9.2 	Counseling and Advisory Services.	9
	 	 	 
	10.  SYSTEM AND STANDARDS; FRANCHISEE ASSOCIATION	9
	 	 
	10.1 	Compliance with System and Standards.	9
	10.2  	Modification of the System and Standards.	9
	10.3 	Franchisee Association.	10
	 	 	 
	11.   PROPRIETARY MARKS AND INTELLECTUAL PROPERTY	10
	 	 
	11.1 	Franchisor’s Representations Concerning the Proprietary Marks.	10
	11.2 	Franchisee’s Use of Intellectual Property and the System.	10
	11.3 	Franchisee’s Use of Other Marks.	12
	11.4  	Websites and Domain Names.	12
	 	 	 
	12.   CONFIDENTIAL INFORMATION; DATA PROTECTION LAWS	12
	 	 
	12.1  	Confidential Information.	12
	12.2 	Data Protection Laws.	13
	 	 	 
	13.   ACCOUNTING AND REPORTS; TAXES	13
	 	 
	13.1 	Accounting.	13
	13.2  	Books, Records and Accounts.	13
	13.3 	Accounting Statements.	13
	13.4  	Franchisor Examination and Audit of Hotel Records.	14
	13.5  	Taxes.	14
	 	 	 
	14.   INDEMNIFICATION	15
	 	 
	15.   INSURANCE	15
	 	 
	15.1 	Insurance Required.	15
	15.2 	Other Requirements.	16
	 	 	 
	16.   FINANCING OF THE HOTEL	16
	 	 
	17.   TRANSFERS	16
	 	 
	17.1 	Franchisee’s Transfer Rights.	16
	17.2 	Transfers Not Requiring Notice or Consent.	16
	17.3  	Transfers Requiring Notice but Not Consent.	17
	17.4 	Transfers Requiring Notice and Consent.	19
	17.5  	Proposed Transfer to Competitor and Right of First Refusal.	20
	17.6  	Restricted Persons.	21
	17.7  	Transfers by Franchisor.	21
	 	 	 
	18.   PROSPECTUS REVIEW	21
	 	 
	18.1 	Franchisor’s Review of Prospectus.	21
	18.2 	Exemption from Review.	22
	 	 	 
	19.   DEFAULT AND TERMINATION	22
	 	 
	19.1	Immediate Termination.	22
	19.2	Default with Opportunity to Cure.	23
	19.3 	Suspension of Reservation System.	24
	19.4  	Damages.	24

 

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	20.   POST-TERMINATION	25
	 	 
	20.1  	Franchisee Obligations.	25
	20.2  	Franchisor’s Rights on Expiration or Termination.	26
	 	 	 
	21.   CONDEMNATION AND CASUALTY	26
	 	 
	21.1 	Condemnation.	26
	21.2 	Casualty.	27
	 	 	 
	22.   COMPLIANCE WITH APPLICABLE LAW; LEGAL ACTIONS	27
	 	 
	22.1 	Compliance with Applicable Law.	27
	22.2  	Notice of Legal Actions.	27
	 	 	 
	23.   RELATIONSHIP OF PARTIES	27
	 	 
	24.   GOVERNING LAW; INTERIM RELIEF; COSTS OF ENFORCEMENT; WAIVERS	28
	 	 
	24.1   	Governing Law and Jurisdiction.	28
	24.2   	Equitable Relief.	28
	24.3   	Costs of Enforcement.	28
	24.4   	WAIVER OF PUNITIVE DAMAGES.	28
	24.5   	WAIVER OF JURY TRIAL.	28
	 	 	 
	25.   NOTICES	28
	 	 
	26.   REPRESENTATIONS AND WARRANTIES	29
	 	 
	26.1  	 Existence; Authorization; Ownership; Other Representations.	29
	26.2  	 Additional Franchisee Acknowledgments and Representations.	29
	 	 	 
	27.   MISCELLANEOUS	30
	 	 
	27.1   	Counterparts.	30
	27.2  	Construction and Interpretation.	30
	27.3  	Reasonable Business Judgment.	31
	27.4  	Consents and Approvals.	31
	27.5  	Waiver.	32
	27.6 	Entire Agreement.	32
	27.7  	Amendments.	32
	27.8  	Survival.	32
	 	 	 
	EXHIBIT A KEY TERMS	A-1
	 	 
	EXHIBIT B DEFINITIONS	B-1
	 	 
	EXHIBIT C CHANGE OF OWNERSHIP	C-1

 

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RELICENSING
FRANCHISE AGREEMENT

 

This
Agreement between Franchisor and Franchisee is executed and becomes effective on the Effective Date.

 

RECITALS

 

A.          Franchisor
owns the System and Franchisee has requested a license to use the System to operate the Hotel as a System Hotel at the Approved
Location.

 

B.         Franchisor
has agreed to grant a license to Franchisee subject to the terms of this Agreement.

 

C.         Guarantor
will provide the Guaranty.

 

NOW,
THEREFORE, in consideration of the promises in this Agreement and other good and valuable consideration, the receipt and sufficiency
of which are acknowledged, Franchisor and Franchisee agree as follows:

 

	1.	LICENSE

 

 1.1         Limited
Grant.

Franchisor
grants to Franchisee a limited, non-exclusive license to use the Proprietary Marks and the System to operate the Hotel as a System
Hotel at the Approved Location under the terms of this Agreement.

 

1.2        Franchisor’s
Reserved Rights.

 

A.          Development
Activities. Franchisee agrees that Franchisor and its Affiliates reserve the right to conduct Development Activities at any
location, other than the Approved Location, without notice to Franchisee, subject to Item 9 of Exhibit A. Franchisee covenants
not to do anything that may interfere with Franchisor’s and its Affiliates’ exercise of such right to conduct Development
Activities.

 

B.         Territorial
Rights. Franchisee agrees that it is not entitled to any territorial rights or exclusivity, except as stated in Item 9 of
Exhibit A.

 

C.         Use
of the System. Franchisee acknowledges that Franchisor and its Affiliates will allow other Franchisor Lodging Facilities to
use various parts of the System and may allow other lodging facilities to use various parts of the System under affiliation or
marketing agreements.

 

	2.	TERM

 

2.1         Term.
The term of this Agreement is stated in Item 4 of Exhibit A (the
“Term”).

 

2.1         Not
Renewable. This Agreement expires on the last day of the Term, and the rights granted under
it are not renewable and, except as expressly provided in Item 4 of Exhibit A, Franchisee has no expectation of any right
to extend the Term.

 

	3.	FEES, CHARGES AND COSTS 

 

3.1         Application
Fee; Expansion Fee. Franchisee has paid Franchisor the non-refundable application fee stated
in Item 10 of Exhibit A. If Franchisor approves an increase in the number of Guestrooms in the Hotel under Section 4.1,
Franchisee will pay an expansion fee equal to the then-current per-Guestroom charge for calculating the application fee for System
Hotels, multiplied by the number of additional Guestrooms.

 

     

     

    

  

3.2         Franchise
Fees. Beginning on the Opening Date, Franchisee will pay Franchisor for each month an amount equal to the percentage of Gross
Room Sales stated in Item 11 of Exhibit A for such month (the “Franchise Fees”). Franchisee will
not offer complimentary or reduced-price Guestrooms or food and beverage to benefit any other business at or outside of the Hotel.

 

3.3         Franchisor
Travel Costs. If Franchisor requests, Franchisee will reimburse Franchisor for all Travel Costs for individuals designated
by Franchisor to provide training, inspections or services for the Hotel, including counseling and advisory services, which will
not exceed the amounts permissible under Franchisor’s corporate travel policies. If the Hotel is not in a sold-out position,
Franchisee will provide complimentary lodging at the Hotel to such individuals while they are providing such training, inspections,
or services, and to Franchisor’s representatives or independent auditors while conducting audits.

 

3.4         Other
Fees, Charges and Costs. Franchisee will pay the fees, charges and costs in the following Sections: Section 4.4 (Design
Process); Sections 6.2 and 6.3 (Marketing Fund and Additional Marketing Programs); Section 7 (Electronic Systems); Section 8.3.A.
(F&B Support); Section 8.3.C. (Inspections); Section 9.1 (Training); Section 16 (Comfort Letter); Section 17 (Transfer);
Section 20.1.B. (Termination); and Exhibit C (Inspections; Additional Work; Site Visits; Extensions). Franchisee will also
pay Franchisor for: (i) any goods or services purchased, leased or licensed by Franchisee from Franchisor, including any costs
related to purchasing, installing and upgrading any Electronic Systems; (ii) any optional or mandatory programs in which Franchisee
participates; (iii) any costs of System modifications; and (iv) any other amounts due under this Agreement and any other
Marriott Agreement.

 

3.5         Calculation
of Fees, Charges and Costs. The fees, charges and costs under Section 3.4 will be computed on a fair and consistent basis
among similarly situated System Hotels. Franchisor may change such fees, charges and costs to reflect: (i) any increase or
decrease in the costs of providing the relevant goods or services; (ii) any change in the method Franchisor uses to determine
allocation of the applicable charges; or (iii) any change in the competitive needs of the System.

 

3.6        Timing
of Payments and Performance of Services.

 

A.         Timing
of Payments. Franchise Fees are due within 15 days after the end of each month. All other payments are due as invoiced.
All payments will be made by wire transfer to the accounts designated by Franchisor or by such other method as Franchisor approves.

 

B.          Affiliates
and Designees. Any service or obligation of Franchisor under this Agreement may be performed by an Affiliate or designee of
Franchisor. Franchisor may designate that payment be made to the Person performing the service. Any reference in this Agreement
to Franchisor concerning payments or performance of services includes such Affiliates and designees. Any designation for the performance
of services will not relieve Franchisor or Franchisee of any of their obligations under this Agreement.

 

3.7         Interest
on Late Payments. If any payment due under this Agreement is
not received by its due date, such payment will be overdue, and Franchisor may require Franchisee to pay interest that will accrue
at a rate of 18% per annum (or, if less, the maximum interest rate permitted by Applicable Law) from the date such overdue amount
was due until paid. Franchisor’s right to receive interest is in addition to any other remedies Franchisor may have.

 

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	4.	HOTEL CONSTRUCTION, RENOVATION AND MAINTENANCE

 

4.1
        Number of Guestrooms; Expansion. The Hotel will have the number of Guestrooms
stated in Item 7 of Exhibit A or such other number approved by Franchisor. Franchisee may expand the Hotel or build additional
Guestrooms in compliance with this Agreement only with Franchisor’s prior written approval. If additional Guestrooms are
approved, Franchisee will pay an expansion fee under Section 3.1.

 

4.2         Initial
Construction or Renovation of the Hotel. Franchisee will timely start and complete the initial construction or renovation
of the Hotel, as applicable, to Franchisor’s satisfaction in accordance with Section 4.4, Exhibit C and the Standards
(the “Initial Work”).

 

4.3         Periodic
Renovations. Franchisee will timely
start and complete the periodic renovation of all Guestrooms and Public Facilities to Franchisor’s satisfaction in accordance
with Section 4.4 and the Standards, including replacing Soft Goods and Case Goods periodically as required by the Standards
(“Periodic Renovations”). At the time of any replacement of FF&E, Franchisor may require Franchisee to
upgrade the rest of the Hotel to conform to the Standards applicable to similarly situated System Hotels.

 

4.4         Design
Process. Franchisee will obtain the Design Criteria from Franchisor within 10 days of the Effective Date for the Initial
Work, and in a timely manner for any Periodic Renovation. In connection with the Initial Work and any Periodic Renovation, Franchisee
will comply with the following requirements (the “Design Process”):

 

A.         Design
Team. For the Initial Work, and as needed for Periodic Renovations, Franchisee will retain a qualified registered architect,
engineer and interior designer, and based on the nature of the project, Franchisor may require that Franchisee retain other specialty
consultants. Franchisee will provide Franchisor the name, address and relevant work experience on similar projects for any such
Person that Franchisee proposes to retain, and Franchisor will have 30 days after receipt of such information to notify Franchisee
of its election to consent or withhold its consent. Franchisor’s election to consent or withhold its consent will be based
on prior experiences with such Person and such Person’s reputation and experience on similar projects. If Franchisor does
not respond to Franchisee within 30 days after Franchisor’s receipt of such information, then Franchisee may retain such
Person. Neither Franchisor’s failure to respond nor Franchisor’s consent to the use of such Person will be deemed
an endorsement or recommendation by Franchisor. Franchisor is not liable for the unsatisfactory performance of any Person retained
by Franchisee.

 

B.          Submission
of Plans. For the Initial Work and Periodic Renovations, Franchisee will adapt the Design Criteria to the Hotel and Applicable
Law, including Accessibility Requirements. For the Initial Work, and if Franchisor requests for any Periodic Renovations, Franchisee
will prepare and submit Plans electronically in the phases and with the detail required by the Standards. The Plans will not deviate
from the Design Criteria unless previously approved by Franchisor, and any such deviations will be clearly designated in a separate
document delivered along with the Plans.

 

C.          Review
of Plans. Franchisor will promptly review the Plans only for compliance with the Design Criteria and any applicable property
improvement plan, and in the case of the Initial Work, to confirm that the number, configuration and location of Guestrooms and
the size, configuration and location of Public Facilities are as previously approved by Franchisor. If Franchisor determines that
the Plans do not satisfy such requirements, Franchisor may require changes and Franchisee will deliver revised Plans incorporating
such changes. If Franchisor determines that the Plans are incomplete, Franchisor may defer its review of the Plans until it receives
complete Plans. Based on the level of complexity of the Plans, the custom nature of the project or the services requested or needed,
Franchisor may charge its then-current fee for reviewing the Plans and inspecting the Hotel plus Travel Costs. Franchisee will
not begin the Initial Work or any Periodic Renovation requiring submission of Plans until Franchisor confirms in writing that
such Plans comply with such requirements. On receipt of Franchisor’s confirmation, Franchisee will promptly submit the final
Plans electronically. Once finalized, the Plans will not be changed without Franchisor’s prior consent. Franchisee will
ensure that the renovation of the Hotel is completed in accordance with the Plans.

 

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D.         Compliance
with Applicable Law. Franchisee (and not Franchisor or its Affiliates) is responsible for ensuring that the Plans comply with
Applicable Law, including Accessibility Requirements. Franchisor and its Affiliates will have no liability or obligation concerning
the means, methods or techniques used in constructing or renovating the Hotel. Franchisee will not reproduce, use or permit the
use of any Design Criteria or Plans other than for the Hotel.

 

4.5         Maintenance. Franchisee
will maintain the Hotel in good repair and first-class condition and in conformity with Applicable Law and the Standards. Franchisee
will make repairs, alterations and replacements to the Hotel as required by the Standards. Franchisee will not make any material
alterations to the Hotel without Franchisor’s prior consent, unless such alterations are required by Applicable Law or for
the continued safe and orderly operation of the Hotel.

 

	5.	FURNITURE, FIXTURES, EQUIPMENT, INVENTORIES AND SUPPLIERS

 

5.1         Uniformity
of System. Franchisee will use only such FF&E, Inventories and Fixed Asset Supplies that comply with the Standards.
The requirements of this Section 5.1 are to ensure that items used at System Hotels are uniform and of high quality to maintain
the identity, integrity and reputation of the System. Before purchasing FF&E to be used in constructing or renovating the
Hotel, if requested by Franchisor, Franchisee will prepare furnished models of Guestrooms, color boards and drawings for Franchisor’s
confirmation that such proposed FF&E will meet the Standards. Franchisor will promptly respond to Franchisee’s proposal.

 

5.2         Suppliers. Franchisor
may designate suppliers, including Franchisor, for certain items related to FF&E, Inventories and Fixed Asset Supplies. Franchisee
may propose new suppliers by delivering sufficient information and samples for Franchisor’s confirmation that such item
meets the Standards and the proposed supplier is capable of providing such item in accordance with the Standards. Franchisor may
require: (i) reimbursement for the cost of such review; (ii) that such supplier have insurance protecting Franchisor and Franchisee;
and (iii) that any supplier using the Intellectual Property enter into an agreement for its use. Franchisor will have no
liability for damage to any sample. Franchisor may refuse to permit future purchases if the supplier fails to meet the requirements
of this Section 5.2 or the Standards.

 

	6.	ADVERTISING AND MARKETING; PRICINGS, RATES AND RESERVATIONS

 

6.1        Franchisee’s
Local Advertising and Marketing Programs.

 

A.         Local
Advertising. Franchisee will undertake local advertising, marketing, promotional, sales and public relations programs and
activities for the Hotel, including preparing and using any Marketing Materials, in accordance with the Standards.

 

B.         Use
of Signs and Marketing Materials. Franchisee will use signs and other Marketing Materials only in the places and manner approved
or required by Franchisor and in accordance with the Standards and Applicable Law. Franchisee will deliver samples of Marketing
Materials not provided by Franchisor and obtain prior approval from Franchisor before any use. If Franchisor withdraws its approval,
Franchisee will promptly stop using such Marketing Materials. Any Marketing Materials developed by Franchisee may be used or modified
by other Franchisor Lodging Facilities without compensation to Franchisee.

 

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6.2        Marketing
Fund.

 

A.         Marketing
Fund Activities. To promote general public recognition of the Proprietary Marks and use of System Hotels, Franchisor may undertake
the following activities (the “Marketing Fund Activities”):

 

1.          brand
strategy and brand development activities;

 

2.          the
creation, production, placement and distribution of Marketing Materials in any form of media;

 

3.          advertising,
marketing, promotional, public relations, inventory management, reservation activities and sales campaigns, programs, sponsorships,
seminars and other sales activities;

 

4.          market
research and oversight and management of the guest satisfaction program and the Loyalty Programs; and

 

5.         the
retention or employment of personnel, advertising agencies, marketing consultants and other professionals or specialists to assist
in the development, implementation and administration of any such activities.

 

These
activities may be conducted on a local, regional, national or Category basis. Franchisor may modify the Marketing Fund Activities
from time to time.

 

B.          Marketing
Fund Contribution. Beginning on the Opening Date, Franchisee will pay Franchisor for each month an amount equal to the percentage
of Gross Room Sales stated in Item 12.A of Exhibit A for such month, which Franchisor will use for the Marketing Fund
Activities (the “Marketing Fund Contribution”). Franchisor may change the method of funding the Marketing Fund
Activities (including by establishing methods of funding Marketing Fund Activities other than by the Marketing Fund Contribution)
or the amount of the Marketing Fund Contribution, subject to Item 12.B of Exhibit A, and Franchisee will be bound by any
such changes. System Hotels operated by Franchisor or its Affiliates will make contributions to the Marketing Fund at the same
percentage of Gross Room Sales required of System franchisees.

 

C.          Benefits.
Franchisor may use the Marketing Fund for purposes that benefit or include System Hotels as a whole, groups of System Hotels
and other Franchisor Lodging Facilities in addition to System Hotels. Franchisor has no obligation to ensure that any particular
System Hotel, including the Hotel, benefits from Marketing Fund Activities on a pro-rata or other basis or that the Hotel will
benefit from the Marketing Fund Activities proportionate to the Marketing Fund Contribution paid by Franchisee.

 

D.         Allotment
of Marketing Materials. If Marketing Materials are produced using funds from the Marketing Fund, all System Hotels will receive
an allotment of relevant materials. If Franchisee requests Marketing Materials in addition to the portion allotted to Franchisee,
Franchisor may require Franchisee to pay additional costs.

 

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E.          No
Fiduciary Duty. Franchisor and its Affiliates do not hold the Marketing Fund Contribution as a trustee or as a trust fund
and have no fiduciary duty to Franchisee for the Marketing Fund. The Marketing Fund Contribution may be commingled with other
money of Franchisor and its Affiliates and used to pay all costs, including administrative costs, salaries and overhead, and collection
and accounting costs, incurred by Franchisor or any of its Affiliates for the Marketing Fund and the Marketing Fund Activities.
Franchisor or its Affiliates may (but are not obligated to): (i) loan money for Marketing Fund Activities and charge interest
on any such loan; and (ii) use the Marketing Fund Contribution to repay any such loan plus interest. On request, Franchisor will
provide to Franchisee an unaudited accounting of the uses of amounts in the Marketing Fund for any fiscal year of Franchisor if
such request is made between 90 and 180 days after the end of such fiscal year.

 

F.          Permitted
Changes. Franchisor may change the local, country, regional, continental or international scope of the Marketing Fund or the
Marketing Fund Activities and discontinue any Marketing Fund Activities.

 

6.3         Additional
Marketing Programs. Franchisor may provide,
and Franchisee will participate in, Additional Marketing Programs that are mandatory for similarly situated System Hotels. Franchisee
may elect to participate in optional Additional Marketing Programs. Franchisee will pay for Additional Marketing Programs in which
it participates on the same basis as other participating System Hotels.

 

 

6.4        Pricing,
Rates and Reservations.

 

 A.         Pricing
and Rates. Franchisee is responsible for setting its own prices and rates for Guestrooms and other products and services at
the Hotel, including determining any prices or rates that appear in the Reservation System. Franchisor may, however: (i) prohibit
certain types of charges or billing practices that Franchisor determines are misleading or detrimental to the System, including
price-gouging or incremental fees for services that guests would normally expect to be included in the Guestroom charge; (ii) require
that Franchisee price consistently in all distribution channels; or (iii) impose other pricing requirements permitted by
Applicable Law.

 

B.          Pricing
Recommendations; Participation in Programs. Franchisor may recommend prices or rates for the products and services offered
by Franchisee or require participation in various sales or inventory management programs or promotions offered by Franchisor.
Franchisor’s recommendations are not mandatory; Franchisee is ultimately responsible for determining the prices or rates
at which it offers its products and services, and Franchisor’s recommendations are not a representation or warranty by Franchisor
that the use of such recommended prices or rates will produce, increase, or optimize Franchisee’s profits. Franchisor will
have no liability for any such recommendations, including those made in connection with any sales activity or Inventory Management.
Franchisor may require Franchisee to participate in Inventory Management or may act as Sales Agent for Franchisee. If Franchisor
is acting as Sales Agent for Franchisee, Franchisee consigns hotel inventory to Franchisor, and Franchisee retains all risk of
loss of unsold inventory or inventory sold at a reduced price.

 

C.          Honoring
Reservations. Franchisee will provide its prices and rates for use in the Reservation System in accordance with the Standards.
Franchisee will: (i) honor any prices, rates or discounts that appear in the Reservation System or elsewhere; (ii) honor
all reservations made through the Reservation System or that are confirmed; and (iii) not charge any Hotel guest a rate higher
than the rate specified for the Hotel guest’s reservation in the Reservation System or, if not made through the Reservation
System, in the reservation confirmation. Franchisee will also honor all pricing and terms for any other product or service offered
in connection with the Hotel.

 

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	7.	ELECTRONIC SYSTEMS

 

7.1         Systems
Installation and Use. At its cost, Franchisee will purchase or lease, install, maintain and use at the Hotel all mandatory
Electronic Systems (and optional Electronic Systems that Franchisee elects to use) in compliance with the Standards or other approved
specifications. Franchisee will pay all Electronic Systems Fees to Franchisor. Franchisee will not use the Electronic Systems
for any purpose except for the benefit of the Hotel.

 

7.2         Reservation
System. Subject to Section 19.3, Franchisor will make the Reservation System available to the Hotel. Franchisee will
cause the Hotel to participate in the Reservation System in accordance with the Standards and this Agreement. Franchisor is not
required to make the Reservation System available to the Hotel for any reservations occurring after the expiration or termination
of this Agreement.

 

7.3         Electronic
Systems Provided Under License. As
a condition to using the Electronic Systems, Franchisee will execute the Electronic Systems License Agreement. The Electronic
Systems that are proprietary to Franchisor or third-party vendors, as applicable, will remain their sole property. Franchisee
will treat the Electronic Systems as confidential at all times. The Electronic Systems may be modified, replaced or become obsolete,
and new Electronic Systems may be created to meet the needs of the System and changes in technology. If Franchisor determines
that it is necessary to amend or replace the Electronic Systems License Agreement because of such events, Franchisee will execute
the then-current form of, or an amendment to, the Electronic Systems License Agreement.

 

7.4         Access
to Information. Franchisor may access the Electronic Systems to obtain marketing, sales and guest information and Franchisee
will take all actions reasonably necessary to provide such access. Franchisor and its Affiliates may use any data related to the
Hotel, Franchisee and its Affiliates obtained through the Electronic Systems, including Guest Profile Data.

 

	8.	HOTEL OPERATIONS

 

8.1        Operator
of the Hotel.

 

A.         Franchisor
Consent Required. The Hotel will be operated only by Franchisee or a Management Company, in either case, only with the prior
consent of Franchisor. Any Management Company and Franchisee will execute and deliver to Franchisor a Management Company Acknowledgment
in the form contained in the then-current Disclosure Document. Franchisee will at all times be responsible for complying with
the obligations of this Agreement even though Franchisee may retain a Management Company. Franchisor has consented to the Person
identified in Item 8 of Exhibit A to operate the Hotel. Franchisor’s consent may be withdrawn at any time if Franchisor
determines that such Person is no longer qualified to operate the Hotel.

 

B.         Conditions
for Consent. Franchisor may withhold its consent to any proposed management company that: (i) Franchisor determines (a)
is not financially capable, (b) does not have the managerial skills or operational capacity required to operate the Hotel
in accordance with the Standards and this Agreement or (c) is a Competitor, an Affiliate of a Competitor, or the principal operator
of hotels for a Competitor; (ii) does not provide Franchisor with all information and access that Franchisor reasonably requests;
or (iii) has (or any of its Affiliates have) (a) been convicted of a Serious Crime, (b) engaged in conduct that Franchisor
determines may adversely affect the Hotel, the System or Franchisor’s interests or (c) been a party to any material civil
litigation with Franchisor or its Affiliates. Franchisor will not consent to any proposed management company that is a Restricted
Person, is an Affiliate of a Restricted Person, or in which a Restricted Person has an interest. Franchisor has the right to review
any management agreement between Franchisee and its proposed management company.

 

     7

     

    

 

C.         Change
in Circumstances. If there is a change in Control of the Management Company or if the Management Company becomes a Competitor
(or an Affiliate of a Competitor) or a Restricted Person (or an Affiliate of a Restricted Person), or if Management Company becomes
the principal operator for a Competitor or if there is a material adverse change to the financial condition or operational capacity
of the Management Company, Franchisee will promptly notify Franchisor of any such event together with such additional information
that Franchisor may reasonably request. Based on these changed circumstances, Franchisor may require Franchisee to terminate its
agreement with such Management Company and retain a replacement management company that will be subject to Franchisor’s
consent. After Franchisor receives such notice and any such additional information Franchisor reasonably requests, Franchisor
will respond to Franchisee within 30 days.

 

8.2        Employees.

 

A.         Hotel
Staffing. Franchisee will ensure that suitable qualified individuals are employed at the Hotel sufficient to staff the Hotel.
Managers at the Hotel will devote their full time to the management and operation of the Hotel and supervision of employees. Franchisee
will use its best efforts to ensure that Hotel employees at all times comply with the Standards.

 

B.          Hotel
Employment Matters. All employment decisions at the Hotel will be made solely by Franchisee or the Management Company. Franchisor
does not direct or control the employment policies or decisions for the Hotel. All employees at the Hotel are solely employees
of Franchisee or the Management Company, not Franchisor, and neither Franchisee nor the Management Company is Franchisor’s
agent for any purpose with regard to Hotel employees. Franchisee or the Management Company will promptly inform Franchisor whenever
it hires a general manager.

 

C.          Communication
with Managers and Management Company. Franchisor may communicate directly with the managers at the Hotel and the Management
Company about day-to-day operations of the Hotel and Franchisor may rely on such statements of the managers and Management Company.
Such communications will not affect the requirements of Section 25 or Section 27.7. Franchisor will under no circumstances direct
or control such Hotel operations.

 

8.3        Compliance
with the Standards.

 

A.         Required
Activities. Franchisee will: (i) operate the Hotel at all times in compliance with the Standards; (ii) fully participate in
the Quality Assurance Program and all mandatory programs for System Hotels (which may require providing complimentary guestrooms
and refunds); (iii) offer all guest services required for System Hotels (which may include complimentary services); (iv) make
all payments due in accordance with the terms of all contracts and invoices related to the Hotel, except for payments that are
disputed in good faith; and (v) provide all food and beverage service in the Hotel in compliance with the Standards and Applicable
Law and pay the F&B Support Fee to Franchisor.

 

B.          Prohibited
Activities. Except as permitted in the Standards, Franchisee will not, without Franchisor’s prior approval: (i) knowingly
permit gambling to take place at the Hotel or use the Hotel for any casino, lottery, or other type of gaming activities, or directly
or indirectly associate with any gaming activity; (ii) knowingly permit adult entertainment activities at the Hotel; or (iii) sell,
display or use in the Hotel any vending machines, honor bars, video or other entertainment devices or similar products.

 

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C.          Inspection
Rights. Franchisee will permit Franchisor’s representatives to enter and inspect the Hotel at all reasonable times to
confirm that Franchisee is complying with the terms of this Agreement and the Standards, and to test the equipment, food products
and supplies at the Hotel. In conducting such inspections, Franchisor will not unduly interfere with the operation of the Hotel.
Franchisee will pay any costs related to such inspections, including costs of third-party inspectors, and costs of the development,
ongoing sustainment and field support and a reasonable return on capital related to the inspection component of the Quality Assurance
Program.

 

8.4        System
Promotion; No Diversion to Other Businesses.

 

A.         System
Promotion. Franchisee will use reasonable efforts to encourage and promote the use of System Hotels and will refer reservation
requests that cannot be fulfilled by the Hotel to other System Hotels or Franchisor Lodging Facilities in accordance with the
Standards.

 

B.          No
Diversion to Other Businesses. Franchisee will not use any part of the Hotel for any business other than operating a System
Hotel. Franchisee will not use any part of the Hotel or the System to divert business to, or promote, any other business at or
outside of the Hotel. This prohibition includes advertising hotels, vacation or timeshare facilities or any similar product sold
on a periodic basis not operated under a trade name or trademark owned by Franchisor or any of its Affiliates (including those
which Franchisee or its Affiliates operate or in which they have an Ownership Interest).

 

	9.	TRAINING, COUNSELING AND ADVISORY SERVICES

 

9.1         Training. The
Hotel will at all times be managed by personnel who have successfully completed all mandatory training under the Standards. Franchisor
may offer optional training related to operating System Hotels. Franchisee will pay (i) all tuition, supplies, and Travel Costs
and allocations of internal costs and overhead of Franchisor and its Affiliates for any training in which Franchisee participates;
(ii) an annual charge based on an allocation among System Hotels for the costs of developing and providing such training; and
(iii) a charge for the general manager conference, regardless of whether Franchisee’s personnel attend. Franchisee will
provide training required by Franchisor for personnel working at the Hotel.

 

9.2         Counseling
and Advisory Services. Franchisor will make representatives available at Franchisor’s designated offices or at
the Hotel to consult with Franchisee about the design and operation of the Hotel as a System Hotel. Franchisor may require Franchisee
to pay the Travel Costs of such representatives who consult at the Hotel.

 

	10.	SYSTEM AND STANDARDS; FRANCHISEE ASSOCIATION

 

10.1       Compliance
with System and Standards. Franchisee
agrees that conformity with all aspects of the System and the Standards is essential to maintain the uniform quality and guest
service of System Hotels. Franchisee will comply at all times with the Standards and operate the Hotel in compliance with the
System and the Marriott Agreements. Franchisor will make the Standards available to Franchisee through the Electronic Systems
or in such other manner Franchisor deems appropriate. The Standards will at all times remain the sole property of Franchisor and
its Affiliates.

 

10.2       Modification
of the System and Standards. Franchisor and its Affiliates may modify the System and Standards, and such modifications
may include materially changing, adding or deleting elements of the System or the Standards. Franchisee agrees that modifications
to the System may be made for all System Hotels or for any Category of System Hotels. Franchisor may allocate the costs of System
modifications among System Hotels or any Category of System Hotels on a fair and consistent basis. Such costs may include development
costs and a reasonable return on capital.

 

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10.3       Franchisee
Association. If Franchisor creates or approves the creation of an association organized to consider and make recommendations
on matters related to the operation of System Hotels (the “Association”), Franchisee, Franchisor and other
System Hotel franchisees will be eligible for membership. Franchisee will pay any Association dues and assessments, which will
be consistently applied to all System Hotel franchisees. The Association will vote on bylaws and election of officers. Franchisor
will regard recommendations of the Association as expressing the consensus of members of the Association.

 

	11.	PROPRIETARY
MARKS AND INTELLECTUAL PROPERTY

 

11.1      Franchisor’s
Representations Concerning the Proprietary Marks.

 

A.         Representations.
Franchisor represents that:

 

1.         Franchisor
and its Affiliates have the right to grant Franchisee the right to use the Proprietary Marks in accordance with this Agreement;
and

 

2.         Franchisor
and its Affiliates will take all steps reasonably necessary to preserve and protect the ownership and validity of the Proprietary
Marks. Franchisor will not be required to maintain any registration for any Proprietary Marks that Franchisor determines, in its
sole discretion, cannot or should not be maintained.

 

B.          Indemnification
for Infringement Claims. Franchisor will indemnify and hold Franchisee harmless against claims that Franchisee’s use
of the Proprietary Marks in accordance with this Agreement infringes the rights of any third party unrelated to Franchisee, if
Franchisee: (i) is in compliance with this Agreement, (ii) gives prompt notice of any such claim to Franchisor, (iii) permits
Franchisor to have sole control over the defense and settlement of the claim and (iv) cooperates fully with Franchisor in defending
or settling the claim.

 

11.2      Franchisee’s
Use of Intellectual Property and the System.

 

A.         Use
of the Intellectual Property and the System. Franchisee agrees that:

 

1.         Franchisee
will use the Intellectual Property and the System only for the operation of the Hotel and only in the form and manner as provided
in the Standards or approved by Franchisor. Franchisee will offer or sell only those goods and services under the Proprietary
Marks that are of a nature and quality that comply with the Standards. Any use of the System not authorized by Franchisor will
constitute an infringement of Franchisor’s rights and a default under Section 19.2 of this Agreement;

 

2.         Franchisee
will use the Proprietary Marks only in substantially the same places, combination, arrangement and manner as provided in the Standards
or approved by Franchisor;

 

3.         Franchisee
will identify itself as a franchisee or licensee of Franchisor and the owner or operator of the Hotel only in the form and manner
as provided in the Standards. Franchisee will not use any Proprietary Marks in any manner that could imply that Franchisee has
an Ownership Interest in the Proprietary Marks;

 

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4.         Franchisee
has no right to, and will not, Transfer, sublicense or allow any Person to use any part of the System, unless permitted in this
Agreement;

 

5.         Franchisee
will not use any part of the System to incur any obligation or indebtedness on behalf of Franchisor or any of its Affiliates;

 

6.         Franchisee
will not use any of the Proprietary Marks or any names or marks that consist of, contain or are similar to or an abbreviation
of any Proprietary Marks, in Franchisor’s sole opinion (“Similar Marks”), as part of Franchisee’s
corporate or legal name, in connection with any business activity except the Hotel, or as a road name or address, whether alone
or in combination with Other Marks;

 

7.         Franchisee
will not register or apply to register any of the Proprietary Marks or Similar Marks, whether alone or in combination with other
trademarks;

 

8.         Franchisee
will notify Franchisor of any required business, trade, fictitious, assumed or similar name registration, and indicate in the
registration that Franchisee may use such name only in accordance with this Agreement;

 

9.         if
litigation involving the Intellectual Property is instituted or threatened against Franchisee, or a claim of infringement involving
the Intellectual Property is made against Franchisee, or Franchisee becomes aware of any infringement of the Intellectual Property,
Franchisee will promptly notify Franchisor and will cooperate fully in any action, defense or settlement of such matters. Franchisee
will not make any demand, serve any notice, institute any legal action or negotiate, litigate, compromise or settle any controversy
about any such matter without first obtaining Franchisor’s prior consent, which may be withheld in Franchisor’s sole
discretion. Franchisor will have the right to bring any action and to join Franchisee as a party to any action involving the Intellectual
Property; and

 

10.       if
Franchisor believes, in its sole discretion, that Franchisee’s use of the Intellectual Property does not conform with the
Marriott Agreements or the Standards, then Franchisee will immediately stop the non-conforming use on notice from Franchisor.

 

B.         Ownership
of the System. Franchisee agrees that:

 

1.         Franchisor
and its Affiliates are the owners or licensees of all right, title and interest in and to the System (except certain Electronic
Systems provided by third parties), and all goodwill arising from Franchisee’s use of the System, including the Proprietary
Marks, will inure solely and exclusively to the benefit of Franchisor and its Affiliates. On the expiration or termination of
this Agreement, no monetary amount will be attributable to any goodwill associated with Franchisee’s use of the System;

 

2.         the
Proprietary Marks are valid and serve to identify the System and System Hotels, and any infringement of the Proprietary Marks
will result in irreparable injury to Franchisor;

 

3.         the
Proprietary Marks may be deleted, replaced or modified by Franchisor or its Affiliates in their sole discretion. Franchisor
may require Franchisee, at Franchisee’s expense, to discontinue or modify Franchisee’s use of any of the Proprietary
Marks or to use one or more additional or substitute marks;

 

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4.         Franchisee
will not directly or indirectly: (i) attack the ownership, title or rights of Franchisor or its Affiliates in the System;
(ii) contest the validity of the System or Franchisor’s right to grant to Franchisee the right to use the System in
accordance with this Agreement; (iii) take any action that could impair, jeopardize, violate or infringe any part of the
System; (iv) claim any right, title, or interest in the System except rights granted under this Agreement; or (v) misuse
or harm or bring into disrepute the System;

 

5.         Franchisee
has no, and will not obtain any, Ownership Interest in any part of the System (including any modifications made by or on behalf
of Franchisee or its Affiliates). Franchisee assigns, and will cause each of its employees or independent contractors who contributed
to System modifications to assign, to Franchisor, in perpetuity throughout the world, all rights, title and interest (including
the entire copyright and all renewals, reversions and extensions of such copyright) in and to such System modifications. Except
to the extent prohibited by Applicable Law, Franchisee waives, and will cause each of its employees or independent contractors
who contributed to System modifications to waive, all “moral rights of authors” or any similar rights in such System
modifications. For the purposes of this Section 11.2.B.5, “modifications” includes any derivatives and additions;
and

 

6.         Franchisee
will execute, or cause to be executed, and deliver to Franchisor any documents, and take any actions required by Franchisor to
protect the Proprietary Marks and the title in any System modifications.

 

11.3       Franchisee’s
Use of Other Marks. Franchisee will not use any Mark, in connection with the Hotel or the System that is not a Proprietary
Mark, including the names of restaurants or other outlets at the Hotel (“Other Marks”) without Franchisor’s
prior approval. Franchisee will not use any Other Marks that may infringe or be confused with a third party’s trade name,
trademark or other rights in intellectual property. Franchisee consents to the use of the Other Marks by Franchisor and its Affiliates
during the Term. Franchisee represents that there are no claims or proceedings that would materially affect Franchisor’s
use of the Other Marks.

 

11.4       Websites
and Domain Names. Franchisee will not display any of the Proprietary Marks on, or associate the System with (through
a link or otherwise), any website, electronic Marketing Materials, application or software for mobile devices or other technology
or media, domain name, address, designation or listing on the internet or other communication system or medium without Franchisor’s
consent or as permitted in the Standards. Franchisee will not register or use any internet domain name, address, mobile application
or other designation that contains any Proprietary Mark or any mark that is, in Franchisor’s sole opinion, confusingly similar.
At Franchisor’s request, Franchisee will promptly cancel or transfer to Franchisor any such domain name, address or other
designation under Franchisee’s control.

 

	12.	CONFIDENTIAL
INFORMATION; DATA PROTECTION LAWS

 

12.1      Confidential
Information.

 

A.         Confidentiality
Obligations. Franchisee will use Confidential Information only for the benefit of the Hotel. Franchisee will protect Confidential
Information and will promptly report to Franchisor the theft or loss of any Confidential Information. Franchisee may divulge Confidential
Information only to Franchisee’s employees or agents who require access to it to operate the Hotel, and only after they
are advised that such information is confidential and that they are bound by Franchisee’s confidentiality obligations under
this Agreement. Without Franchisor’s prior consent, Franchisee will not copy, reproduce or make Confidential Information
available to any Person not authorized to receive it. The Confidential Information is proprietary and a trade secret of Franchisor
and its Affiliates. Franchisee agrees that the Confidential Information has commercial value and that Franchisor and its Affiliates
have taken reasonable measures to maintain its confidentiality. Franchisee is liable for any breaches of such confidentiality
obligations by its employees or agents.

 

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B.         Confidentiality
of Negotiated Terms. Franchisee agrees it will not disclose to any Person the content of the negotiated terms of this
Agreement or other Marriott Agreements without the prior consent of Franchisor except: (i) as required by Applicable Law; (ii)
as may be necessary in any legal proceedings; and (iii) to those of Franchisee’s managers, members, officers, directors,
employees, attorneys, accountants, agents or lenders to the extent necessary for the operation or financing of the Hotel and only
if Franchisee informs such Persons of the confidentiality of the negotiated terms. Franchisee will be in default under this Agreement
for any disclosure of negotiated terms by any such Persons.

 

12.2       Data
Protection Laws. Franchisee will comply with all Data Protection Laws and the Standards and take such actions and
execute such documents as requested by Franchisor that are necessary for compliance with any of the Data Protection Laws by Franchisor
or its Affiliates. Franchisee will not take any action that could cause Franchisor or its Affiliates to violate any of the Data
Protection Laws. Franchisee will reimburse Franchisor and its Affiliates for all costs and damages incurred in connection with
Franchisee’s loss of data, including Guest Profile Data, or Franchisee’s non-compliance with the Data Protection Laws
or the Standards.

 

	13.	ACCOUNTING
AND REPORTS; TAXES 

 

13.1       Accounting. Franchisee
will account for Gross Room Sales and Gross Revenues on an accrual basis and in compliance with this Agreement.

 

13.2       Books,
Records and Accounts. Franchisee will maintain and preserve complete and accurate books, records and accounts for the
Hotel in accordance with the Uniform System and United States generally accepted accounting principles, consistently applied,
Applicable Law and the Standards. Franchisee will preserve these books, records and accounts for at least 5 years from the dates
of their preparation.

 

13.3      Accounting
Statements.

 

A.         Monthly
Statements. At Franchisor’s request, for each full or partial month after the Opening Date, Franchisee will prepare
and deliver to Franchisor an operating statement containing the information required by Franchisor, including Gross Revenues and
Gross Room Sales for such month.

 

B.          Annual
Statements. For each full or partial year or fiscal year (whichever is used by Franchisee for income tax purposes), Franchisee
will prepare and provide to Franchisor a complete statement of income and expense from the operation of the Hotel for the preceding
year. This statement is due within 90 days after each year. This statement will be prepared in accordance with the Uniform System
and the United States generally accepted accounting principles, consistently applied, Applicable Law, the Standards, and the Uniform
System “Income Statement” with standard line items specified by Franchisor, and Franchisee will provide such supporting
documentation and other information that Franchisor may require relating to this statement. In addition, Franchisee will promptly
deliver to Franchisor such other reports and financial information relating to Franchisee and the Hotel as Franchisor may request.

 

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13.4      Franchisor
Examination and Audit of Hotel Records.

 

A.         Examination
and Audit. Franchisor and its authorized representatives may, at any time, but on reasonable notice to Franchisee, examine
and copy all books, records, accounts and tax returns of Franchisee related to the operation of the Hotel during the five years
preceding such examination. Franchisor may have an independent audit made of any such books, records, accounts and tax returns.
Franchisee will provide any assistance reasonably requested for the audit and will provide copies of any documentation requested
by Franchisor without charge.

 

B.          Underreporting.
If an examination or audit reveals that Franchisee has made underpayments to Franchisor, Franchisee will promptly pay Franchisor
on demand the amount underpaid plus interest under Section 3.7. If an examination or audit finds that Franchisee has understated
payments due Franchisor by 5% or more for the relevant period, or if the examination or audit reveals that the accounting procedures
are insufficient to determine the accuracy of the calculation of payments due, Franchisee will reimburse Franchisor for all costs
relating to the examination or audit (including reasonable accounting and legal fees). If the examination or audit establishes
a pattern of underreporting, Franchisor may require that the annual financial reports due under Section 13.3.B be audited
by an independent accounting firm consented to by Franchisor. The rights of Franchisor in this Section 13.4 are in addition to
any other remedies that Franchisor may have, including the right to terminate this Agreement.

 

C.          Overpayments.
If an examination or audit reveals that Franchisee has made overpayments to Franchisor, the amount of such overpayment, without
interest, will be promptly credited against future payments due Franchisor.

 

13.5      Taxes.

 

A.         Payment
of Taxes. Franchisee will pay when due all Taxes relating to the Hotel, Franchisee, this Agreement, any other Marriott Agreement
or in connection with operating the Hotel, except income or franchise taxes assessed against Franchisor.

 

B.         Withholding
Taxes. 

 

1.          The
amounts payable to Franchisor will not be reduced by any deduction or withholding for any present or future Taxes.

 

2.          If
Applicable Law imposes an obligation on Franchisee to deduct or withhold Taxes directly from any amount paid to Franchisor, then
Franchisee will deduct or withhold the required amount and will timely pay the full amount deducted or withheld to the relevant
governmental authority in accordance with Applicable Law. The amount paid to Franchisor will be increased so that after the deduction
or withholding has been made in accordance with Applicable Law, the net amount actually received by Franchisor will equal the
full amount originally invoiced or otherwise payable. If required or permitted, Franchisee must promptly pay any such deduction
or withholding directly to the relevant governmental authority and provide Franchisor proof of payment.

 

3.          If
Applicable Law does not impose an obligation on Franchisee to deduct or withhold Taxes directly from any amount paid to Franchisor,
but requires Franchisor to pay such Taxes, then Franchisee will pay Franchisor, within 15 days after request, the full amount
of the Taxes paid or payable by Franchisor with respect to such payment so that the net amount actually retained by Franchisor
after payment of Taxes (other than taxes assessed on Franchisor’s net income) will equal the full amount originally invoiced
or otherwise payable.

 

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C.          Sales
Tax & Similar Taxes. The amounts payable to Franchisor will not be reduced by any sales, goods and services, value added
or similar taxes, all of which will be paid by Franchisee. Therefore, in addition to making any payment to Franchisor required
under this Agreement, Franchisee will: (i) pay Franchisor the amount of these taxes due with respect to the payment; or (ii) if
required or permitted by Applicable Law, pay these taxes directly to the relevant taxing authority.

 

D.         Tax
Disputes. If there is a Dispute by Franchisee as to any Tax liability, Franchisee may contest the Tax liability in accordance
with Applicable Law, but Franchisee will not permit a sale, seizure or attachment to occur against the Hotel. If such Dispute
involves payments of Taxes that will be withheld, deducted and paid by Franchisee related to payments to Franchisor as provided
in this Section 13.5, Franchisee will notify Franchisor before taking action with regard to the Dispute with the tax authority
and, if requested by Franchisor, cooperate with Franchisor in preparing its response. Upon Franchisor’s request, Franchisee
will pay such Taxes and seek reimbursement from the governmental authority. Franchisee will be responsible for any interest or
penalties assessed.

 

	14.	INDEMNIFICATION

 

Franchisee
will indemnify, defend and hold harmless Franchisor and its Affiliates (and each of their respective predecessors, successors,
assigns, current and former directors, officers, shareholders, subsidiaries, employees and agents), against all Claims and Damages,
including allegations of negligence by such Persons, to the fullest extent permitted by Applicable Law, arising from: (i) the
unauthorized use of the Proprietary Marks; (ii) the violation of Applicable Law; or (iii) the construction, conversion
and renovation, repair, operation, ownership or use of the Hotel or the Approved Location (including Claims and Damages arising
from the use of the Other Marks) or of any other business related to the Hotel or the Approved Location. Franchisor will have
the right, at Franchisee’s cost, to control the defense of any Claim (including the right to select its counsel or defend
or settle any Claim) if Franchisor determines such Claim may affect the interests of Franchisor or its Affiliates. Such undertaking
by Franchisor will not diminish Franchisee’s indemnity obligations. Neither Franchisor nor any indemnified Person will be
required to seek recovery from third parties or mitigate its losses to maintain its right to receive indemnification from Franchisee.
The failure to pursue such recovery or mitigate its losses will not reduce the amounts recoverable from Franchisee by an indemnified
Person. Franchisee’s obligation to maintain insurance under Section 15 will not relieve Franchisee of its obligations under
this Section 14. Franchisee’s obligations under this Section 14 will survive the termination or expiration of this Agreement.

 

	15.	INSURANCE

 

15.1       Insurance
Required. During the Term, Franchisee will procure and maintain insurance with the coverages, deductibles, limits, carrier
ratings, and policy obligations required by the Standards. Such insurance requirements may include: property insurance including
business interruption, earthquake, flood, terrorism and windstorm; workers’ compensation; commercial general liability;
liquor liability; business auto liability; umbrella or excess liability; fidelity coverage; employment practices liability; cyber
liability; and such other insurance customarily carried on hotels similar to the Hotel. Franchisor may change such requirements
in the Standards and may also require Franchisee to obtain additional types of insurance or increase the amount of coverages.
All insurance will by endorsement specifically:

 

A.         name
as unrestricted additional insureds Franchisor, any Affiliate designated by Franchisor and their employees and agents (except
for workers’ compensation and fidelity insurance);

 

B.         provide
that the coverages will be primary and that any insurance carried by any additional insured will be excess and non-contributory;

 

     15

     

    

 

C.          contain
a waiver of subrogation in favor of Franchisor and any Affiliate of Franchisor; and

 

D.          provide
that the policies will not be canceled, non-renewed or reduced without at least 30 days’ prior notice to Franchisor.

 

15.2      Other
Requirements. Franchisee will
deliver to Franchisor a certificate of insurance (and certified copy of such insurance policy if requested) evidencing the insurance
required. Renewal certificates of insurance will be delivered to Franchisor not less than 10 days before their respective inception
dates. If Franchisee fails to procure or maintain the required insurance, Franchisor will have the right and authority to procure
(without any obligation to do so) such insurance at Franchisee’s cost, including a reasonable fee for Franchisor’s
procurement and maintenance of such insurance. If Franchisee delegates its insurance obligations to any other Person, Franchisee
will ensure that such Person satisfies such obligations. Such delegation will not relieve Franchisee of its obligations under
this Section 15 and the Standards. Any failure to satisfy the insurance requirements is a default under this Agreement. Franchisee
will cooperate with Franchisor in pursuing any claim under insurance required by this Agreement.

 

	16.	FINANCING
OF THE HOTEL

 

Franchisee
and each Interestholder in Franchisee may grant a lien or other security interest in the Hotel or the revenues of the Hotel, or
pledge Ownership Interests in Franchisee or a Control Affiliate as collateral for the financing of the Hotel. If any Person exercises
its rights under such lien, security interest or pledge, Franchisor will have the rights under Section 19.1. Franchisee will not
pledge this Agreement as collateral or grant a security interest in this Agreement, but Franchisor may provide a comfort letter
to a lender in the form included in the then-current Disclosure Document and, if it does so, Franchisee will pay the then-current
lender comfort letter processing fee.

 

	17.	TRANSFERS

 

17.1       Franchisee’s
Transfer Rights. Franchisee agrees that its rights and duties in this Agreement are personal to Franchisee and that Franchisor
entered into this Agreement in reliance on the business skill, financial capacity and character of Franchisee and its Affiliates
and their principals. Accordingly, any Transfer of the Hotel, or any Ownership Interest in Franchisee, a Control Affiliate or
the Hotel, may be made only in accordance with this Section 17 and only if such Transfer does not violate Section 17.6. This Agreement
may not be Transferred without Franchisor’s prior consent.

 

17.2       Transfers
Not Requiring Notice or Consent. As long as the following Transfers of Passive Investor Interests do not result in a
change of Control of Franchisee, no notice to or consent by Franchisor is required:

 

A.         Publicly-traded
Securities. A Transfer of publicly-traded securities purchased on the open market, pursuant to a registration statement or
through a registered broker/dealer or investment adviser;

 

B.          10%
Threshold. A Transfer of Passive Investor Interests (other than those held by a Guarantor) to a transferee that immediately
before and after the Transfer owns less than 10% of the Ownership Interests in Franchisee; and

 

C.          Investment
Fund. A Transfer of limited partnership interests in an investment fund formed by a sponsoring company in the business of
raising capital for investment purposes, as long as such fund has at least 20 limited partners, none of which owns (immediately
before or after such Transfer) 10% or more of the Ownership Interests in Franchisee or directs the decisions of, or exercises
any Control over, the fund or the companies in which the fund invests.

 

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17.3       Transfers
Requiring Notice but Not Consent. Franchisee must provide notice to Franchisor at least 20 days prior to any of the following
Transfers, but no consent by Franchisor is required:

 

A.         Passive
Investor Transfer. A Transfer of Passive Investor Interests (not covered in Section 17.2) if the following requirements are
met:

 

1.         Franchisee
provides Franchisor with the identity of the proposed transferees and their Interestholders, together with all other related information
reasonably requested by Franchisor;

 

2.         such
Transfer, individually and in the aggregate, will not result in: (i) a change in Control of Franchisee; (ii) any Person and its
Affiliates that did not own a majority of the Ownership Interests in Franchisee before such Transfers collectively owning a majority
of the Ownership Interests in Franchisee after such Transfer; or (iii) a Transfer of all of Guarantor’s Ownership Interest
in Franchisee;

 

3.         each
new Interestholder meets Franchisor’s then-current owner qualifications (which may include that such Interestholder or any
of its Affiliates has not been convicted of a Serious Crime and has not engaged in conduct that may adversely affect the Hotel,
the System, or Franchisor, and has not been a party to any material civil litigation with Franchisor or its Affiliates), and Franchisee
pays the fees for any required background checks; and

 

4.         if
Franchisor requests, Franchisee will execute an amendment to this Agreement that updates the ownership information in Exhibit
A, and pay Franchisor’s outside counsel costs related to such documentation, if any.

 

B.         Transfer
to Affiliates; Transfer for Estate Planning Purposes. A Transfer of the Hotel or an Ownership Interest in Franchisee to an
Affiliate of Franchisee, or a Transfer of an Ownership Interest in Franchisee for estate planning purposes to an immediate family
member or to an entity owned by, or a trust for the benefit of, an immediate family member, in the case of each such Transfer,
if the following requirements are met:

 

1.         Franchisee
or its Control Affiliate owns, directly or indirectly, more than 50% of the economic interests of the proposed transferee (if
the transferee is an entity), and such Transfer does not otherwise result in a change of Control of Franchisee or the Hotel;

 

2.         Franchisee
provides the identity of the proposed transferee and its Interestholders, documentation acceptable to Franchisor evidencing the
Transfer, and all other related information reasonably requested by Franchisor;

 

3.         each
Guarantor acknowledges the Transfer and reaffirms its obligations under the Guaranty and, if required by Franchisor, another party
acceptable to Franchisor executes a guaranty substantially identical to the form in the then-current Disclosure Document;

 

4.         Franchisee
is not in breach or default under any of the Marriott Agreements, or if there is a breach or default, there is an agreement to
cure such breach or default;

 

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5.         each
new Interestholder meets Franchisor’s then-current owner qualifications (which may include that such Interestholder or any
of its Affiliates has not been convicted of a Serious Crime and has not engaged in conduct that may adversely affect the Hotel,
the System, or Franchisor, and has not been a party to any material civil litigation with Franchisor or its Affiliates), and Franchisee
pays the fees for any required background checks; and

 

6.         if
Franchisor requests, Franchisee and such transferee will execute any documents required by Franchisor to reflect the Transfer,
and Franchisee will pay Franchisor’s outside counsel costs related to such documentation, if any.

 

C.          Special
Moody REIT Transfer. Notwithstanding that such Transfer would result in a change of Control of Franchisee and the Hotel, (X)
Moody National Operating Partnership I, L.P. (“Op Partnership”), and/or Moody National REIT I, Inc. (“REIT I”),
may Transfer (including, without limitation, by way of merger or consolidation) all (but not less than all) of its Ownership Interest
in Franchisee and Owner to Moody National REIT II, Inc. (“REIT II”) or to any Affiliate of REIT II that is Controlled
exclusively by REIT II, and/or (Y) Franchisee and Owner may Transfer their respective interests in this Agreement and the Hotel
to any Affiliate of REIT II that is Controlled exclusively by REIT II; provided that the following requirements are met:

 

1.         immediately
before the Transfer, REIT I and REIT II are managed and advised by the same executive management team, and, immediately after
the Transfer, either (1) REIT I and REIT II continue to be managed and advised by the same executive management team (which executive
management team will be led by Brett Moody), or (2) if REIT I no longer exists, the executive management team managing and advising
REIT II is substantially the same as was managing and advising REIT I immediately before the Transfer (which executive management
team will be led by Brett Moody);

 

2.         the Net Worth of REIT II (as defined
below) immediately after such Transfer will be equal to or greater than the product of (i) the aggregate number of hotels owned
directly or indirectly by REIT II that are operated under franchise or license agreements with Franchisor or its Affiliates and
(ii) $5,000,000, as demonstrated by Franchisee to Franchisor’s satisfaction in its sole discretion;

 

3.         Franchisee provides the identity of
the proposed transferee and its Interestholders, documentation acceptable to Franchisor evidencing the Transfer, and all other
related information reasonably requested by Franchisor;

 

4.         each Guarantor acknowledges the Transfer
and reaffirms its obligations under the Guaranty (or, in the case of REIT I, REIT II assumes the obligations of REIT I under the
Guaranty or, if required by Franchisor, executes a guaranty substantially identical to the form in the then-current Disclosure
Document);

 

5.         Franchisee is not in breach or default
under any of the Marriott Agreements, or if there is a breach or default, there is an agreement to cure such breach or default;

 

6.         Franchisee is current on all amounts
then due to Franchisor and its Affiliates, and no amount then due to Franchisor and its Affiliates by any Affiliate of Franchisee
has remained due and unpaid for more than 60 days;

 

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7.         each new Interestholder meets Franchisor’s
then-current owner qualifications (which may include that such Interestholder or any of its Affiliates has not been convicted
of a Serious Crime and has not engaged in conduct that may adversely affect the Hotel, the System, or Franchisor, and has not
been a party to any material civil litigation with Franchisor or its Affiliates), and Franchisee pays the fees for any required
background checks; and

 

8.         if Franchisor requests, Franchisee and
such transferee will execute any documents required by Franchisor to reflect the Transfer, and Franchisee will pay Franchisor’s
outside counsel costs related to such documentation, if any.

 

For the purposes of this Section 17.3.C, (i) the term “Net Worth
of REIT II” means the value (marked to market) of REIT II’s total assets other than Excluded Assets, less total liabilities,
and (ii) the term “Excluded Assets” means all intangibles, and all notes receivable and other assets consisting of
amounts owing from Affiliates of REIT II (including its executive management team or Affiliates of such Persons).

 

17.4       Transfers
Requiring Notice and Consent. Transfers of the Hotel or a Controlling Ownership Interest in the Franchisee, a Control
Affiliate or the Hotel may be made only with at least 30 days’ advance notice to Franchisor and Franchisor’s prior
consent.

 

A.         Conditions
to Transfer. Franchisor’s consent to a Transfer under this Section 17.4 will be subject to satisfaction of the
following conditions:

 

1.         Franchisee
provides Franchisor the identity of all parties and their Interestholders, a copy of the purchase agreement, the organizational
documents of the transferee and its Interestholders, together with all other information reasonably requested by Franchisor;

 

2.         payment
by Franchisee of the then-current non-refundable property improvement plan fee, and payment of the then-current application fee
for System Hotels to Franchisor by the transferee with its submission of the application. If Franchisor does not consent to the
Transfer, Franchisor will refund the application fee, less $10,000;

 

3.         satisfaction
by each Interestholder of the transferee of Franchisor’s then-current owner qualifications (which may include that such
Interestholder or any of its Affiliates has not been convicted of a Serious Crime and has not engaged in conduct that may adversely
affect the Hotel, the System, or Franchisor, and has not been a party to any material civil litigation with Franchisor or its
Affiliates);

 

4.         retention
of a management company consented to by Franchisor under Section 8.1 if Franchisor determines in its sole discretion that the
transferee is not qualified to operate the Hotel;

 

5.         execution
by the transferee of the then-current form of franchise and related agreements. The new franchise agreement will contain the standard
terms for new franchise System Hotels as of the date of the Transfer, including the then-current fees and charges, except that
the duration will be shortened to the remaining Term (as extended pursuant to Item 4 of Exhibit A). The new franchise agreement
will also include a property improvement plan requiring the transferee to address any renovations necessary to comply with the
Standards;

 

6.         payment
of all amounts due Franchisor and execution of a general release of all claims against Franchisor and its Affiliates; and

 

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7.         payment
of Franchisor’s outside counsel costs related to the Transfer.

 

Prior
Transfers of Ownership Interests by or to a Person that already owns Ownership Interests or an Affiliate of such Person will be
taken into account in determining whether a Transfer of a Controlling Ownership Interest has occurred. Within 30 days after Franchisor
receives notice and all required information, Franchisor will notify Franchisee of its consent to such Transfer or the reason
Franchisor is withholding its consent.

 

 B.         Withholding
of Consent. Even if the conditions in Section 17.4.A. are satisfied, Franchisor may withhold its consent to a Transfer under
this Section 17.4 if:

 

1.         Franchisor
determines that the proposed transferee’s debt service or overall financial status will not permit the Hotel to be operated
in compliance with the Standards; or

 

2.         an
uncured breach or default of a Marriott Agreement exists, and there is no agreement to cure such breach or default in connection
with the Transfer; or

 

3.         the
Hotel is not in good standing under the Quality Assurance Program.

 

C.
         Mental Incompetency or Death. If any Person holding a Controlling Ownership Interest in Franchisee becomes mentally
incompetent or dies, the interest of such Person may be Transferred subject to the terms of this Section 17.4 and only if: (i)
any such Transfer will be made within 12 months after such Person is deemed mentally incompetent or dies; and (ii) the obligations
of Franchisee will be satisfied pending the Transfer and the Hotel is operated in compliance with this Agreement. If such Person
was a Guarantor, Franchisor may require another party acceptable to Franchisor to execute a Guaranty substantially identical to
the form in the then-current Disclosure Document. If an executor, custodian, or other representative is appointed to oversee the
management of Franchisee, Franchisee will give Franchisor notice of such appointment within 30 days and the appointee will cause
the Hotel to be operated in compliance with this Agreement.

 

17.5      Proposed
Transfer to Competitor and Right of First Refusal.

 

A.         Right
of First Refusal. If there is a proposed Transfer of the Hotel or an Ownership Interest in Franchisee or a Control Affiliate
to a Competitor, Franchisee will notify Franchisor stating the identity of the prospective transferee (including the Interestholders
of such prospective transferee), the terms of the proposed transaction, and all other information reasonably requested by Franchisor.
Within 30 days after receipt of such notice and information, Franchisor will notify Franchisee of its election of one of the following:

 

1.         if
the proposed Transfer is a cash transaction, Franchisor (or its designee) will have the right to purchase or lease the Hotel or
acquire the Ownership Interest at the same price and on the same terms as the Competitor, and Franchisee and Franchisor (or its
designee) will promptly enter into an agreement on such terms; or

 

2.         if
the proposed Transfer is a non-cash transaction or other form of Transfer, Franchisor (or its designee) will have the right to
purchase or lease the Hotel or acquire the Ownership Interest for its fair market value; if Franchisee and Franchisor are unable
to agree on the fair market value within 14 days of Franchisor’s election, Franchisor will promptly provide Franchisee with
a list of at least three nationally recognized appraisers of hotel properties, and within five days Franchisee will select one
of such appraisers to appraise the Hotel or the Ownership Interest. Franchisor and Franchisee will share the costs of the appraisal
equally. Such appraisal will constitute the fair market value of the Hotel or the Ownership Interest for purposes of this Section
17.5.A.2. Within 30 days of receipt of the appraisal, Franchisor (or its designee) may either: (i) enter into an agreement to
purchase the Hotel or the Ownership Interest at the fair market value determined by the appraiser; or (ii) place Franchisee in
default and give notice of its intent to terminate this Agreement under Section 19.1.B.; or

 

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3.         Franchisor
may place Franchisee in default and give notice of its intent to terminate this Agreement under Section 19.1.B., in which case
either: (i) Franchisee will cancel the Transfer; or (ii) this Agreement will terminate and Franchisee will pay liquidated damages
and comply with its post-termination obligations; or

 

4.         Franchisor
may consent to such Transfer, which consent will be on such terms as Franchisor may require, in its sole discretion.

 

B.          Real
Estate Interest and Injunctive Relief. Franchisee acknowledges that Franchisor’s rights under Section 17.5.A. are rights
in real estate. Franchisor may record such interest in the appropriate real estate records of the jurisdiction where the Hotel
is located, and Franchisee will cooperate in such filing. Franchisee agrees that damages are not an adequate remedy if Franchisee
breaches its obligations under this Section 17.5, and Franchisor will be entitled to injunctive relief without proving the inadequacy
of money damages as a remedy and without posting a bond. If this Agreement is terminated and Franchisor’s rights under Section
17.5 are no longer in effect, on request, Franchisor will execute a termination of such interest.

 

C.          Survival
of Right of First Refusal. Except for termination of this Agreement under Section 17.5.A.3. or in connection with a Transfer
consented to by Franchisor under Section 17.5.A.4., Franchisor’s rights under Section 17.5.A. survive early termination
of this Agreement and will apply to any Transfer to a Competitor that occurs within six months after such termination.

 

17.6      Restricted
Persons. No Transfer of any Ownership Interest in Franchisee, the Hotel or any Marriott Agreement will be made to a Restricted
Person, an Affiliate of a Restricted Person or a Person in which a Restricted Person has an interest or provides funding. Any
such Transfer is a default under Section 19.1.B.

 

17.7      Transfers
by Franchisor.

 

A.         Transfer
to Affiliates. Franchisor may Transfer this Agreement to any of its Affiliates that assumes Franchisor’s obligations
to Franchisee and is reasonably capable of performing Franchisor’s obligations, without prior notice to, or consent of,
Franchisee.

 

B.         Transfer
to Other Persons. Franchisor may Transfer this Agreement to any Person that assumes Franchisor’s obligations to Franchisee,
is reasonably capable of performing Franchisor’s obligations and acquires substantially all of Franchisor’s rights
in System Hotels, without prior notice to, or consent of, Franchisee. Franchisee agrees that any such Transfer will constitute
a release of Franchisor and a novation of this Agreement. 

 

C.          Franchisor’s
Successors and Assigns. This Agreement will be binding on and inure to the benefit of Franchisor and its permitted successors
and assigns.

 

	18.	PROSPECTUS
REVIEW

 

18.1       Franchisor’s
Review of Prospectus. Except as stated in Section 18.2, if any Prospectus uses the Proprietary Marks, identifies the
Hotel or Franchisor or its Affiliates or describes the relationship between Franchisor or Franchisee and their respective Affiliates,
Franchisee will:

 

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A.         deliver
to Franchisor for its review a copy of such Prospectus and all related materials at least 30 days before the earlier of the date
such Prospectus is delivered to a potential purchaser, a potential investor or filed with the Securities and Exchange Commission
or other governmental authority. Franchisor may require Franchisee to pay its outside counsel costs for the review of such Prospectus;

 

B.          indemnify,
defend and hold harmless Franchisor and its Affiliates in connection with such Prospectus and the offering; and

 

C.          use
any Proprietary Marks in such Prospectus and in any related materials only as consented to by Franchisor.

 

Franchisor’s
review of any Prospectus is conducted solely to determine the accuracy of any description of Franchisor’s relationship with
Franchisee and compliance with this Agreement, including the requirements of Section 12.1 and this Section 18, and not to benefit
any other Person. Such consent will not constitute an endorsement or ratification of the proposed offering or Prospectus.

 

18.2       Exemption
from Review. Franchisor will waive the requirement for its review of a Prospectus if such Prospectus: (i) only uses the
Proprietary Marks in block letters to identify the Hotel, (ii) provides a clear statement that the Hotel is operated under a license
from Franchisor, and (iii) provides that Franchisor has not reviewed, endorsed or ratified the proposed offering or Prospectus.

 

	19.	DEFAULT
AND TERMINATION

 

19.1       Immediate
Termination. Franchisee will be in default and Franchisor may terminate this Agreement without providing Franchisee any
opportunity to cure the default, effective on notice to Franchisee (or on the expiration of any notice or cure period given by
Franchisor in its sole discretion or required by Applicable Law), if any of the following occurs:

 

A.         Financial
Defaults. 

 

1.         Franchisee
or any Guarantor files a voluntary petition or a petition for reorganization under any bankruptcy, insolvency or similar law;

 

2.         Franchisee
or any Guarantor consents to an involuntary petition under any bankruptcy, insolvency or similar law or fails to vacate any order
approving such an involuntary petition within 90 days from the date the order is entered;

 

3.         Franchisee
or Guarantor is unable to pay its debts as they become due;

 

4.         Franchisee
or Guarantor is adjudicated to be bankrupt, insolvent or of similar status by a court of competent jurisdiction;

 

5.         A
receiver, trustee, liquidator or similar authority is appointed over the Hotel;

 

6         .Execution
is levied against the Hotel, Franchisee or any material real or personal property in the Hotel in connection with a final judgment;
or

 

7.         A
suit to foreclose any lien, mortgage or security interest in the Hotel or any material personal property at the Hotel, or any
security interest in Franchisee is filed and is not vacated within 90 days.

 

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B.           Non-Financial
Defaults.

 

1.         Franchisee
or any Guarantor or any other Person that Controls or has an Ownership Interest in Franchisee is or becomes a Restricted Person;

 

2.         Franchisee
or any of its Affiliates or any Guarantor takes any action that constitutes a violation of Applicable Law that adversely affects
the Hotel or the System;

 

3.         Franchisee
or any of its Affiliates or any Guarantor becomes a Competitor or an Affiliate of a Competitor or a Transfer occurs that does
not comply with the terms of Section 17;

 

4.         Franchisee
or any of its Affiliates that hold a Controlling Ownership Interest in Franchisee or any Guarantor dissolves or liquidates;

 

5.         Franchisee
loses its right to operate or possess the Hotel, or loses ownership of the Hotel; or, if the Hotel is subject to a lease referenced
in Item 17 of Exhibit A, Franchisee or the Owner referenced in Item 17 of Exhibit A is in default under such lease,
or such lease is terminated for any reason;

 

6.         the
Hotel ceases to operate as a System Hotel;

 

7.         Franchisee
engages in a pattern of underreporting amounts payable to Franchisor under this Agreement involving three or more months within
any 24-month period;

 

8.         a
threat to public health or safety occurs from the condition of the Hotel or its operation, that in the opinion of Franchisor,
could result in: (i) substantial liability; or (ii) an adverse effect on the Hotel, other System Hotels, the System
or the Proprietary Marks and Franchisee fails to close the Hotel and remedy the condition on notice from Franchisor;

 

9.         the
Hotel fails to achieve the thresholds of performance established by the Quality Assurance Program and such failure has not been
cured within the applicable cure period; or

 

10.       any
Confidential Information is disclosed in breach of Section 12.

 

19.2       Default
with Opportunity to Cure. Franchisee will be in default and Franchisor may terminate this Agreement for the events listed
below, if after 30 days’ notice of default (or such greater number of days given by Franchisor in its sole discretion or
as required by Applicable Law), Franchisee fails to cure the default as specified in the notice:

 

A.         Franchisee
fails to timely start and complete construction or conversion of the Hotel or fails to timely open the Hotel in accordance with
this Agreement and the Standards; or

 

B.          Franchisee
fails to timely complete any renovation or repair of the Hotel in accordance with this Agreement and the Standards; or

 

C.          Franchisee
and its Affiliates fail to pay any amounts due under the Marriott Agreements; or

 

D.         any
Marriott Agreement is in default or terminated based on a default of Franchisee or its Affiliates (or any Owner referenced in
Item 17 of Exhibit A); or

 

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E.          Franchisee
or any Interestholder in Franchisee, or any officer, director or employee of Franchisee, is convicted of a Serious Crime or is
engaged in conduct that may adversely affect the Hotel, the System, any Franchisor Lodging Facility or Franchisor, and such Person
is not terminated from its relationship with Franchisee; or

 

F.          Franchisee
fails to comply with the Standards or there occurs any other breach of the Marriott Agreements, including any representations
and warranties by Franchisee; or

 

G.          Franchisee
or Owner is in breach of or default under the lease described in Item 17 of Exhibit A.

 

19.3      Suspension
of Reservation System. If Franchisee is in default under this Agreement and the default is not cured within the cure
period (if any), Franchisor may, in addition to any other remedies, suspend the Hotel from the Reservation System while such default
remains uncured. Once the default is cured, Franchisor will promptly reconnect the Hotel to the Reservation System. Franchisee
waives all claims against Franchisor and its Affiliates arising from any suspension from the Reservation System arising as a result
of Franchisee’s default under this Agreement.

 

19.4      Damages.

 

A.         Harm
to Franchisor. Franchisee agrees that if it fails to operate the Hotel as a System Hotel for the entire Term, Franchisor will
incur damages, including loss of future Franchise Fees and Marketing Fund Contributions and loss of opportunities for Development
Activities, and that replacement of the Hotel with a comparable hotel will take significant time and effort. Franchisee agrees
that it is difficult to calculate such damages over the remainder of the Term and that the liquidated damages provided for in
this Agreement are not a penalty and represent a reasonable estimate of fair compensation for the damages that Franchisor will
incur. Franchisee acknowledges that if this Agreement is terminated under the circumstances described in clauses 1 through 4 of
Section 19.4.B., Franchisor and the System will suffer greater damages due to the increased difficulty in replacing Franchisor
Lodging Facilities and the loss of competitive advantage and customer confidence.

 

B.
         Payment of Liquidated Damages. If Franchisor terminates this Agreement due to Franchisee’s default, Franchisee
will promptly pay as liquidated damages to Franchisor an amount equal to (i) the average monthly Franchise Fees and Marketing
Fund Contributions payable during the immediately preceding 24 months (without giving effect to any discounts or incentives) multiplied
by (ii) the lesser of (x) 36 or (y) 1/2 the number of months remaining in the Term (the “LD Amount”),
except:

 

1.         If,
in addition to the termination of this Agreement, at least one (but not more than eight) additional franchise, license or management
agreement for Franchisor Lodging Facilities between Franchisor and Franchisee, or their respective Affiliates, is terminated within
12 months of the termination of this Agreement, Franchisee will pay 150% of the LD Amount;

 

2.         If
this Agreement is terminated as a result of a Transfer to a Competitor, Franchisee will pay 150% of the LD Amount;

 

3.         If
this Agreement is terminated as a result of a Transfer to a Competitor and at least one (but not more than eight) additional franchise,
license or management agreement for Franchisor Lodging Facilities between Franchisor and Franchisee, or their respective Affiliates,
is terminated within 12 months of the termination of this Agreement, Franchisee will pay 200% of the LD Amount; or

 

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4.          If,
in addition to the termination of this Agreement, at least nine additional franchise, license or management agreements for Franchisor
Lodging Facilities between Franchisor and Franchisee, or their respective Affiliates, are terminated within 12 months of the termination
of this Agreement, Franchisee will pay 300% of the LD Amount.

 

If
the Hotel had been operating as a System Hotel for less than 24 months prior to termination, the “LD Amount” means
(i) the greater of (a) the average monthly Franchise Fees and Marketing Fund Contributions payable for the previous 24 months
for all System Hotels on a per room basis multiplied by the number of Guestrooms at the Hotel or (b) the average monthly
Franchise Fees and Marketing Fund Contributions payable for the Hotel during the period the Hotel was operating as a System Hotel
multiplied by (ii) 36. If either Franchisee or Franchisor believes that such calculation does not fairly represent the Hotel’s
projected stabilized performance, it will notify the other, and clause (i) will be replaced by “the average monthly Franchise
Fees and Marketing Fund Contributions that would have been payable based on the stabilized Hotel revenue projected by Franchisee
in its application, without giving effect to any discounts or incentives.”

 

C.
         Other Remedies. Payment of liquidated damages will not preclude Franchisor from pursuing any equitable or other remedies
under Applicable Law (other than recovery of future Franchise Fees and Marketing Fund Contributions) and will not affect the obligations
of Franchisee to comply with Section 20.

 

	20.	POST-TERMINATION

 

20.1      Franchisee
Obligations.

 

A.         De-Identification.
On the expiration or other termination of this Agreement, Franchisee will immediately:

 

1.         cease
to operate the Hotel as a System Hotel and not represent or create the impression that it is a present or former franchisee or
licensee of Franchisor or that the Hotel is or was previously part of the System, unless required under Section 20.1.A.8. or 9.
below;

 

2.         permanently
cease to use, and remove from the Hotel and any other place of business, any Intellectual Property and any other identifying characteristics
of the System, including any Electronic Systems, advertising or any articles that display any of the Proprietary Marks or any
trade dress or distinctive features or designs associated with the System or Franchisor Lodging Facilities;

 

3.         remove
any signs containing any Proprietary Marks (if Franchisee is unable to remove the signs immediately, Franchisee will cover the
signs and remove them within 48 hours);

 

4.         remove
from any internet sites all content under its control related to the System or Franchisor and take all actions necessary to disassociate
itself from Franchisor on the internet. Franchisee will, at Franchisor’s option, cancel or assign to Franchisor or its designee,
any domain name under the control of Franchisee or its Affiliates that contains any Proprietary Mark, or any mark that Franchisor
determines is confusingly similar, including misspellings and acronyms;

 

5.         cancel
any fictitious, trade or assumed name or equivalent registration that contains any Proprietary Mark or any variations, and provide
satisfactory evidence to Franchisor of its compliance within 30 days after expiration or termination of this Agreement;

 

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6.         deliver
to Franchisor the originals and all copies of any Intellectual Property and all other materials relating to the operation of the
Hotel under the System. Franchisee will not retain a copy of any Intellectual Property or other System materials, except for any
documents that Franchisee reasonably needs for compliance with Applicable Law. If Franchisor explicitly permits Franchisee to
use any Intellectual Property after the termination or expiration date, such use by Franchisee will be in accordance with this
Agreement;

 

7.         cease
using any of the Confidential Information or the System and disclosing it to anyone not authorized by Franchisor to receive it;

 

8.         make
such necessary alterations to the Hotel so that the public will not confuse it with a System Hotel. Until such alterations are
completed, Franchisee will place a conspicuous sign at the registration desk, stating that the Hotel is no longer a System Hotel;
and

 

9.         advise
all customers in accordance with the Standards that the Hotel is no longer a System Hotel.

 

B.         Other
Obligations and Termination Costs. On expiration or termination of this Agreement, Franchisee will (a) comply with the obligations
in the Sections referenced under Section 27.8; and (b) promptly pay: (i) all amounts owing to Franchisor; (ii) all
of Franchisor’s costs or fees charged for removing the Hotel from the System; and (iii) a reasonable estimate of costs
and fees that will be due but have not yet been invoiced (if the estimated payment exceeds actual amounts due, Franchisor will
refund the difference to Franchisee). Franchisor will have the right to recover reasonable legal fees and court costs incurred
in collecting such amounts. If this Agreement is terminated under Section 21.2, Franchisee will cooperate with Franchisor in pursuing
its claim under the business interruption insurance required under this Agreement.

 

20.2       Franchisor’s
Rights on Expiration or Termination. Before or on the expiration or termination of this Agreement, Franchisor may give
notice that the Hotel is leaving the System and take any other action related to customers, Travel Management Companies, suppliers
and other Persons affected by such expiration or termination.

 

	21.	CONDEMNATION
AND CASUALTY

 

21.1      Condemnation.

 

A.         Condemnation
Notification. Franchisee will promptly notify Franchisor if it receives notice of any proposed taking of any portion of the
Hotel by eminent domain, condemnation, compulsory acquisition or similar proceeding by any governmental authority.

 

B.          Condemnation
Restoration. If the condemnation award is sufficient to restore the Hotel to meet the Standards, Franchisee will cause the
Hotel to be promptly restored and reopened within a reasonable time.

 

C.         Condemnation
Termination. If the taking in Section 21.1.A. would materially affect the continued operation of the Hotel as a System Hotel,
Franchisor or Franchisee may terminate this Agreement, in which case, Franchisor and Franchisee will execute a termination agreement
and release on Franchisor’s then-current form, and Franchisee will comply with the post-termination obligations in Section 20.

 

D.         No
Liquidated Damages on Condemnation Termination. A termination under this Section 21.1 will not be a default under this Agreement
and Franchisee will not be required to pay liquidated damages. However, Franchisor will be entitled to receive a fair and reasonable
portion of any condemnation award to compensate Franchisor for its lost revenue, but not more than the amount of liquidated damages
that would have been due under Section 19.4.B.

 

     26

     

    

 

21.2     Casualty.

 

A.         Casualty
Notification. Franchisee will promptly notify Franchisor if the Hotel is damaged by any casualty.

 

B.         Casualty
Restoration. If the Hotel is damaged by any casualty and the cost to restore the Hotel to the same condition as existed previously
is less than 60% of the Hotel’s replacement cost at the time of the casualty, Franchisee will cause the Hotel to be promptly
renovated and reopened within a reasonable time under Section 4.

 

C.         Casualty
Termination. If the Hotel is damaged by any casualty and the cost to restore the Hotel to the same condition as existed previously
is 60% or more of the Hotel’s replacement cost at the time of the casualty, Franchisee will have 180 days after the
date of the casualty to elect whether it will restore the Hotel to its previous condition or terminate this Agreement. If Franchisee
elects to restore the Hotel, the Hotel will be promptly renovated and reopened within a reasonable time under Section 4. If Franchisee
elects to terminate this Agreement, Franchisor and Franchisee will execute a termination agreement and release on Franchisor’s
then-current form and Franchisee will comply with the post-termination obligations in Section 20. Such termination will not affect
Franchisor’s right to business interruption insurance proceeds.

 

D.          No
Liquidated Damages on Casualty Termination. A termination under this Section 21.2 will not be a default under this Agreement
and Franchisee will not be required to pay liquidated damages unless, before the date on which the Term otherwise would have ended,
Franchisee or any of its Affiliates operates an Other Lodging Product at the Approved Location.

 

	22.	COMPLIANCE
WITH APPLICABLE LAW; LEGAL ACTIONS

 

22.1      Compliance
with Applicable Law. Franchisee will comply with all Applicable Law, and will obtain all permits, certificates and licenses
necessary to operate the Hotel and comply with the Marriott Agreements.

 

22.2       Notice
of Legal Actions. Within seven days of receipt, Franchisee will notify Franchisor and provide copies of: (i) any
Claim involving the Hotel, Franchisee or Franchisor; (ii) any judgment, order, or other decree related to the Hotel or Franchisee;
or (iii) any inspection reports and warnings about a material failure to meet health or life safety requirements or any other
material violation of Applicable Law related to the Hotel or Franchisee. This Section 22.2 will not change any notice requirement
that Franchisee may have under any insurance policies.

 

	23.	RELATIONSHIP
OF PARTIES

 

This
Agreement does not create a fiduciary relationship between Franchisor and Franchisee. Franchisee is an independent contractor,
and neither party is an agent, legal representative, joint venturer, partner or employee of the other for any purpose and Franchisee
will make no representation to the contrary. Nothing in this Agreement authorizes Franchisee to make any agreement or representation
on Franchisor’s behalf or to incur any obligation in Franchisor’s name.

 

     27

     

    

 

	24.	GOVERNING
LAW; INTERIM RELIEF; COSTS OF ENFORCEMENT; WAIVERS

 

24.1      Governing
Law and Jurisdiction.

 

A.         Governing
Law. This Agreement takes effect on its acceptance and execution by Franchisor in Maryland and will be construed under and
governed by Maryland law, which law will prevail if there is any conflict of law. Nothing in this Section 24.1 will make the Maryland
Franchise Registration and Disclosure Law apply to this Agreement or the relationship between Franchisor and Franchisee, if such
law would not otherwise apply.

 

B.          Jurisdiction.
Franchisee expressly and irrevocably submits to the non-exclusive jurisdiction of the courts of the State of Maryland for the
purpose of any Dispute. So far as permitted under Maryland law, this consent to personal jurisdiction will be self-operative.

 

24.2       Equitable
Relief. Franchisor is entitled to injunctive or other equitable relief, including restraining orders and preliminary
injunctions, in any court of competent jurisdiction for any threatened or actual material breach of the Marriott Agreements or
non-compliance with the Standards. Franchisor is entitled to such relief without the necessity of proving the inadequacy of money
damages as a remedy, without the necessity of posting a bond and without waiving any other rights or remedies.

 

24.3       Costs
of Enforcement. If
either party initiates any legal or equitable action to protect its rights under this Agreement or other Marriott Agreements,
the prevailing party will be entitled to recover its costs, including reasonable legal fees.

 

24.4       WAIVER
OF PUNITIVE DAMAGES. EACH OF FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES THE RIGHT TO
CLAIM OR RECEIVE PUNITIVE DAMAGES IN ANY DISPUTE RELATED TO THE HOTEL, THE MARRIOTT AGREEMENTS, THE RELATIONSHIP OF THE PARTIES,
OR ANY ACTIONS OR OMISSIONS IN CONNECTION WITH ANY OF THE ABOVE. NOTHING IN THIS SECTION 24.4 LIMITS FRANCHISEE’S OBLIGATIONS
UNDER SECTION 14.

 

24.5       WAIVER
OF JURY TRIAL. EACH OF FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN
ANY DISPUTE RELATED TO THE HOTEL, THE MARRIOTT AGREEMENTS, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS IN CONNECTION
WITH ANY OF THE ABOVE.

 

	25.	NOTICES

 

A.         Written
Notices. Subject to Section 25.B., all notices, requests, statements and other communications under this Agreement will be:
(i) in writing; (ii) delivered by hand with receipt, or by courier service with tracking capability; and (iii) addressed,
(a) in the case of Franchisor, to the address stated in Item 15 of Exhibit A; and (b) in the case of Franchisee, to
the address stated in Item 16 of Exhibit A, or in either case at any other address designated in writing by the party entitled
to receive the notice. Any notice will be deemed received (i) when delivery is received or first refused, if delivered by hand
or (ii) one day after posting of such notice, if sent via overnight courier.

 

B.          Electronic
Delivery. Franchisor may provide Franchisee with electronic delivery of routine information, invoices, the Standards and other
System requirements and programs. Franchisor and Franchisee will cooperate with each other to adapt to new technologies that may
be available for the transmission of such information.

 

     28

     

    

 

	26.	REPRESENTATIONS
AND WARRANTIES

 

26.1      Existence;
Authorization; Ownership; Other Representations.

 

A.         Existence.
Each of Franchisor and Franchisee represents and warrants that it: (i) is duly formed, validly existing and in good standing
under the laws of the jurisdiction of its formation; and (ii) has and will continue to have the ability to perform its obligations
under this Agreement.

 

B.          Authorization.
Each of Franchisor and Franchisee represents and warrants that the execution and delivery of this Agreement and the performance
of its obligations under this Agreement: (i) have been duly authorized; (ii) do not and will not violate, contravene or result
in a default or breach of (a) any Applicable Law, (b) its governing documents or (c) any agreement, commitment or restriction
binding on the relevant party; and (iii) do not require any consent that has not been obtained by the relevant party.

 

C.          Prior
Representations. Franchisee represents and warrants that all of the representations, warranties and information in the application
and provided for this Agreement were true as of the time made and are true as of the Effective Date, regardless of whether such
representations, warranties and information were provided by Franchisee or another Person.

 

D.         Restricted
Person. Franchisee represents and warrants that Franchisee is not, and that none of its Affiliates (including their directors
and officers), Interestholders or the funding sources for any of them, is a Restricted Person.

 

E.          Ownership
of Franchisee. Franchisee represents and warrants that its Interestholders are completely and accurately listed in Attachment
Two to Exhibit A. Upon any Transfer under Section 17 or otherwise permitted by Franchisor, Franchisee will provide a list
of the names and addresses of the Interestholders and documents necessary to confirm such information and update Attachment Two
to Exhibit A.

 

F.          Ownership
of the Hotel. Unless stated in Item 17 of Exhibit A, Franchisee represents and warrants that either: (i) it is
the sole owner of the Hotel and holds good and marketable fee title to the Approved Location; or (ii) the Approved Location is
subject to a valid purchase contract, and on closing of such contract, Franchisee will be the sole owner of the Hotel and will
hold good and marketable fee title to the Approved Location. If the Approved Location is subject to a purchase contract, Franchisee
will deliver a copy of the recorded deed in Franchisee’s name to Franchisor no later than the Construction Start Deadline.

 

26.2      Additional
Franchisee Acknowledgments and Representations.

 

A.         NO
RELIANCE. IN ENTERING THIS AGREEMENT, FRANCHISEE REPRESENTS AND WARRANTS THAT IT DID NOT RELY ON, AND NEITHER FRANCHISOR NOR
ANY OF ITS AFFILIATES HAS MADE, ANY PROMISES, REPRESENTATIONS, WARRANTIES OR AGREEMENTS RELATING TO THE FRANCHISE, THE HOTEL,
OR THE APPROVED LOCATION OR THE SYSTEM, UNLESS CONTAINED IN THIS AGREEMENT.

 

B.          BUSINESS
RISK. FRANCHISEE AGREES THAT THE BUSINESS VENTURE CONTEMPLATED BY THIS AGREEMENT INVOLVES SUBSTANTIAL BUSINESS RISK, IS A
VENTURE WITH WHICH FRANCHISEE HAS RELEVANT EXPERIENCE AND ITS SUCCESS IS LARGELY DEPENDENT ON FRANCHISEE’S ABILITY AS AN
INDEPENDENT BUSINESS. FRANCHISOR DISCLAIMS THE MAKING OF, AND FRANCHISEE AGREES IT HAS NOT RECEIVED, ANY INFORMATION, WARRANTY
OR GUARANTEE, EXPRESS OR IMPLIED, AS TO THE POTENTIAL REVENUES, PROFITS OR SUCCESS OF SUCH BUSINESS VENTURE. FRANCHISOR WILL NOT
INCUR ANY LIABILITY FOR ANY ERROR, OMISSION OR FAILURE CONCERNING ANY ADVICE, TRAINING OR OTHER ASSISTANCE FOR THE HOTEL PROVIDED
TO FRANCHISEE, INCLUDING FINANCING, DESIGN, CONSTRUCTION, RENOVATION OR OPERATIONAL ADVICE.

 

     29

     

    

 

C.          DISCLOSURE
AND NEGOTIATION. FRANCHISEE ACKNOWLEDGES THAT IT HAS READ AND UNDERSTOOD THE DISCLOSURE DOCUMENT AND THE MARRIOTT AGREEMENTS.
FRANCHISEE HAS HAD SUFFICIENT TIME AND OPPORTUNITY TO CONSULT WITH ITS ADVISORS ABOUT THE POTENTIAL BENEFITS AND RISKS OF ENTERING
INTO THIS AGREEMENT. FRANCHISEE HAS HAD AN OPPORTUNITY TO NEGOTIATE THIS AGREEMENT.

 

D.          HOLDING
PERIODS. FRANCHISEE ACKNOWLEDGES THAT IT RECEIVED A COPY OF THIS AGREEMENT, ITS EXHIBITS AND ATTACHMENTS, IF ANY, AND RELATED
AGREEMENTS, IF ANY, AT LEAST SEVEN DAYS BEFORE THE DATE ON WHICH THIS AGREEMENT WAS EXECUTED. FRANCHISEE FURTHER ACKNOWLEDGES
THAT IT HAS RECEIVED THE DISCLOSURE DOCUMENT AT LEAST 14 DAYS BEFORE THE DATE ON WHICH IT EXECUTED THIS AGREEMENT OR MADE ANY
PAYMENT TO FRANCHISOR IN CONNECTION WITH THIS AGREEMENT.

 

E.          DISCLOSURE
EXEMPTION. NOTWITHSTANDING FRANCHISEE’S ACKNOWLEDGMENT IN SECTION 26.2.D, FRANCHISEE REPRESENTS AND ACKNOWLEDGES THAT
THIS FRANCHISE SALE IS FOR MORE THAN $1,084,900, EXCLUDING THE COST OF UNIMPROVED LAND AND ANY FINANCING RECEIVED FROM FRANCHISOR
OR ITS AFFILIATES, AND THUS IS EXEMPTED FROM THE FEDERAL TRADE COMMISSION’S FRANCHISE RULE DISCLOSURE REQUIREMENTS PURSUANT
TO 16 CFR 436.8(a)(5)(i).

 

	27.	MISCELLANEOUS

 

27.1      Counterparts. This
Agreement may be executed in any number of counterparts, each of which will be deemed an original and all of which constitute
one and the same instrument. Delivery of an executed signature page by electronic transmission is as effective as delivery of
an original signed counterpart.

 

27.2     Construction
and Interpretation.

 

A.         Partial
Invalidity. If any term of this Agreement, or its application to any Person or circumstance, is invalid or unenforceable at
any time or to any extent, then: (i) the remainder of this Agreement, or the application of such term to Persons or circumstances
except those as to which it is held invalid or unenforceable, will not be affected and each term of this Agreement will be valid
and enforced to the fullest extent permitted by Applicable Law; and (ii) Franchisor and Franchisee will negotiate in good
faith to modify this Agreement to implement their original intent as closely as possible in a mutually acceptable manner.

 

B.          Non-Exclusive
Rights and Remedies. No right or remedy of Franchisor or Franchisee under this Agreement is intended to be exclusive of any
other right or remedy under this Agreement at law or in equity.

 

     30

     

    

 

C.          No
Third-Party Beneficiary. Nothing in this Agreement is intended to create any third-party beneficiary or give any rights or
remedies to any Person except Franchisor or Franchisee and their respective permitted successors and assigns.

 

D.         Actions
from Time to Time. When this Agreement permits Franchisor to take any action, exercise discretion or modify the System, Franchisor
may do so from time to time.

 

E.          Interpretation
of Agreement. Franchisor and Franchisee intend that this Agreement excludes all implied terms to the maximum extent permitted
by Applicable Law. Headings of Sections are for convenience and are not to be used to interpret the Sections to which they refer.
All Exhibits to this Agreement form an integral part of this Agreement and are incorporated by reference, including all Items
of Exhibit A even if such Items are not specifically referred to in this Agreement. Words indicating the singular include
the plural and vice versa as the context may require. References to days, months and years are all calendar references. References
that a Person “will” do something mean the Person has an obligation to do such thing. References that a Person “may”
do something mean a Person has the right, but not the obligation, to do so. References that a Person “may not” or
“will not” do something mean the Person is prohibited from doing so. Examples used in this Agreement and references
to “includes” and “including” are illustrative and not exhaustive.

 

F.          Definitions.
All capitalized terms in this Agreement have the meaning stated in Exhibit B.

 

27.3      Reasonable
Business Judgment.

 

A.         Definition.
Reasonable Business Judgment means:

 

1.         For
decisions affecting the System, that the rationale for Franchisor’s decision has a business basis that is intended to: (i) benefit
the System or the profitability of the System, including Franchisor, regardless of whether some hotels may be unfavorably affected;
(ii) increase the value of the Proprietary Marks; (iii) enhance guest, franchisee or owner satisfaction; or (iv) minimize
potential brand inconsistencies or customer confusion; and

 

2.         For
decisions unrelated to the System (for example, a requested approval for the Hotel), that the rationale for Franchisor’s
decision has a business basis and Franchisor has not acted in bad faith.

 

B.         Use
of Reasonable Business Judgment. Franchisor will use Reasonable Business Judgment when discharging its obligations or exercising
its rights under this Agreement, including for any consents and approvals and the administration of Franchisor’s relationship
with Franchisee, except when Franchisor has reserved sole discretion.

 

C.          Burden
of Proof. Franchisee will have the burden of establishing that Franchisor failed to exercise Reasonable Business Judgment.
The fact that Franchisor or any of its Affiliates benefited from any action or decision, or that another reasonable alternative
was available, does not mean that Franchisor failed to exercise Reasonable Business Judgment. If this Agreement is subject to
any implied covenant or duty of good faith and Franchisor exercises Reasonable Business Judgment, Franchisee agrees that Franchisor
will not have violated such covenant or duty.

 

27.4       Consents
and Approvals. Except as otherwise
provided in this Agreement, any approval or consent required under this Agreement will not be effective unless it is in writing
and signed by the duly authorized officer or agent of the party giving such approval or consent. Franchisor will not be liable
for: (i) providing or withholding any approval or consent; (ii) providing any suggestion to Franchisee; (iii) any delay; or (iv) denial
of any request.

 

     31

     

    

 

 

27.5       Waiver. The
failure or delay of either party to insist on strict performance of any of the terms of this Agreement, or to exercise any right
or remedy, will not be a waiver for the future.

 

27.6       Entire
Agreement. This Agreement and the Marriott Agreements are fully integrated and contain the entire agreement between the
parties as it relates to this franchise, the Hotel and the Approved Location and, subject to Section 26.1.C, supersede and
extinguish all prior statements, agreements, promises, assurances, warranties, representations and understandings, whether written
or oral, by any Person. Nothing in this Agreement is intended to require Franchisee
to waive reliance on any representations made in the Disclosure Document.

 

27.7       Amendments. This
Agreement may only be amended in a written document that has been duly executed by the parties and may not be amended by conduct
manifesting assent, and each party is put on notice that any individual purporting to amend this Agreement by conduct manifesting
assent is not authorized to do so.

 

27.8       Survival. The
terms of Sections 11, 12, 13.4, 14, 17.5, 18, 19.4, 20, 21.1.D., 21.2.D. and 24 survive expiration or termination of this Agreement.

 

[Signatures
appear on the following page]

 

     32

     

    

  

IN
WITNESS WHEREOF, Franchisor and Franchisee have caused this Relicensing Franchise Agreement to be executed, under seal, as of
the Effective Date.

 

	 	FRANCHISOR:
	 	 
	 	MARRIOTT INTERNATIONAL, INC.

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	FRANCHISEE:
	 	 
	 	MOODY
NATIONAL INTERNATIONAL-FORT WORTH MT, LLC

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

     33

     

    

 

EXHIBIT
A

KEY TERMS

 

	1.	Trade Name(s):	TownePlace Suites by Marriott 
	 	 	 
	2.	Approved Location:	4200 International Plaza, Fort Worth, TX 76109
	 	 	 
	3.	Effective Date:	December 18, 2015
	 	 	 
	4.	Term:	Begins on Effective Date and ends on December 31, 2016.
	 	 	 
	 	 	Extension
of Term. If Franchisee completes all
of the requirements in the Property Improvement Plan Addendum, in accordance with the terms and on or before the dates set forth
therein for the completion of such requirements, and the completion of such requirements is to Franchisor’s satisfaction
in its sole discretion, Franchisee may deliver a written extension notice to Franchisor and, after Franchisee or its Affiliate
pays the Remaining Application Fee Amount to Franchisor, Franchisor and Franchisee shall execute and deliver an amendment to this
Agreement extending the term of this Agreement until March 31, 2030. Additionally, if Franchisee completes all of the requirements
in the Property Improvement Plan Addendum, in accordance with the terms and on or before the dates set forth therein for the completion
of such requirements, and the completion of such requirements is to Franchisor’s satisfaction in its sole discretion, Franchisor
agrees that commencing with the next tracking period under the Quality Assurance Program after the completion of such requirements,
the status of the Hotel under the Quality Assurance Program will be a “Clean Slate,” as such term is defined under
the Quality Assurance Program.
	 	 	 
	5.	Franchisor:	Marriott International, Inc., a Delaware corporation
	 	 	 
	6.	Franchisee:	Moody National International-Fort Worth MT, LLC, a Delaware limited liability company
	 	 	 
	7.	Number of Guestrooms:	95
	 	 	 
	8.	Entity that will Operate the Hotel:	Moody National Hospitality Company, LLC

 

    A-1 

     

    

  

	9.	Restricted Territory (TownePlace
 Suites only):	Not Applicable.
	 	 	 
	10.	Application Fee:	$75,000
	 	 	 
	11.	Franchise Fees:	5% of Gross Room Sales 
	 	 	 
	12.A	Marketing Fund Contribution:	1.5% of Gross Room Sales for the period before January 1, 2016; and 2% of Gross Room Sales on or after January 1, 2016
	 	 	 
	12.B	Marketing Fund Contribution Cap:	The total Marketing Fund Contribution will not exceed 3% of Gross Room Sales for each month.
	 	 	 
	13.	Construction Start Deadline:	Not Applicable.
	 	 	 
	14.	Opening Deadline:	Not Applicable.
	 	 	 
	15.	Franchisor Notice Address:	Marriott International, Inc.
 10400 Fernwood Road
 Bethesda, MD 20817
 Attn: Law Department 52/923.27
	 	 	 
	16.	Franchisee Notice Address:	Moody National International-Fort Worth MT, LLC
 6363 Woodway, Suite 110
 Houston, TX 77057
 Attn: David Gould
 Email: DGould@MoodyNational.com
	 	 	 
	17.	Lease Provisions:	Franchisee represents and warrants that (i) Owner is the sole owner of the Hotel, (ii) the Hotel is leased to Franchisee under a lease between Franchisee and Owner and (iii) Franchisee has all rights and authority relating to the Hotel for the performance of Franchisee’s obligations under this Agreement. If the lease provides for Owner to perform any of Franchisee’s obligations under this Agreement, Franchisee will cause Owner to perform such obligations as required under this Agreement. The existence of the lease and its terms that require Owner to perform Franchisee’s obligations are not an assignment of such obligations to Owner and do not relieve Franchisee of any obligation under this Agreement. The lease will not limit or restrict Franchisor’s rights or remedies under this Agreement in any way.   “Owner” means Moody National International-Fort Worth Holding, LLC, a Delaware limited liability company.
	 	 	 
	18.	System Hotel-specific terms:	Not Applicable.
	 	 	 
	19.	PIP Walk-through Date:	April 16, 2012
	 	 	 
	20.	Additional Terms:	Not Applicable.

 

    A-2 

     

    

  

ATTACHMENT
ONE

TO EXHIBIT A

RESTRICTED TERRITORY

 

Not
Applicable

 

    A-3 

     

    

 

ATTACHMENT
TWO

TO EXHIBIT A

OWNERSHIP INTEREST IN FRANCHISEE

 

	Name of Owner	Address	% Interest
	OWNERSHIP OF MOODY NATIONAL INTERNATIONAL-FORT WORTH MT, LLC
	MN International-Fort Worth MT, Inc.	6363 Woodway, Suite 110

Houston, TX 77057	100%

Sole Member
	OWNERSHIP OF MN International-Fort Worth MT, Inc.
	Moody National Operating Partnership I, L.P.	6363 Woodway, Suite 110

Houston, TX 77057	100%

Sole Shareholder
	OWNERSHIP OF Moody National Operating Partnership I, L.P.
	Moody National REIT I, Inc.	6363 Woodway, Suite 110

Houston, TX 77057	94.6714%

General Partner
	Moody National LPOP I, LLC	6363 Woodway, Suite 110

Houston, TX 77057	0.0007%

Limited Partner
	Contributing Limited Partners	6363 Woodway, Suite 110

Houston, TX 77057	*
	OWNERSHIP OF Moody National REIT I, Inc.**
	Shareholders	6363 Woodway, Suite 110

Houston, TX 77057	100%
	OWNERSHIP OF Moody National LPOP I, LLC
	Brett C. Moody	6363 Woodway, Suite 110

Houston, TX 77057	100%

Sole Member

 

*
Contributing limited partners received a limited partnership interest in Moody National Operating Partnership I, L.P. in exchange
for a contribution of property

 

**
Moody National REIT I, Inc. is a publicly-registered, non-traded REIT with over 900 shareholders

 

    A-4 

     

    

 

EXHIBIT
B

DEFINITIONS

 

The
following terms used in this Agreement have the meanings given below:

 

“Accessibility
Requirements” means the Americans with Disabilities Act and other applicable state laws, codes, and regulations governing
public accommodations for persons with disabilities.

 

“Additional
Marketing Programs” means advertising, marketing, promotional, public relations, and sales programs and activities that
are not funded by the Marketing Fund, each of which may vary in duration, apply on a local, regional, national, or Category basis,
or include other Franchisor Lodging Facilities. Examples include email marketing, internet search engine marketing, transaction-based
paid internet searches, sales lead referrals and bookings, cooperative advertising programs, Travel Management Companies programs,
incentive awards, gift cards, guest satisfaction programs, complaint resolution programs and Loyalty Programs.

 

“Affiliate”
means, for any Person, a Person that is directly or indirectly Controlling, Controlled by, or under common Control with such Person.

 

“Agreement”
means this Franchise Agreement, including any exhibits and attachments, as may be amended.

 

“Applicable
Law” means applicable national, federal, regional, state or local laws, codes, rules, ordinances, regulations, or other
enactments, orders or judgments of any governmental, quasi-governmental or judicial authority, or administrative agency having
jurisdiction over the Hotel, Franchisee, Guarantor, Franchisor in its capacity as licensor under this Agreement or any of the
Marriott Agreements, or the matters that are the subject of this Agreement, including any of the above that prohibit unfair, fraudulent
or corrupt business practices and related activities, including any such actions or inactions that would constitute a violation
of money laundering or terrorist financing laws and regulations.

 

“Approved
Location” means the site, including all land and easements used for the Hotel, described in Item 2 of

Exhibit A.

 

“Brand”
means a hotel brand, trade name, trademark, system, or chain of hotels.

 

“Case
Goods” means furniture and fixtures used in the Hotel such as cabinets, shelves, chests, armoires, chairs, beds, headboards,
desks, tables, mirrors, lighting fixtures and similar items.

 

“Category”
means a group of System Hotels designated by Franchisor or its Affiliates based on criteria such as geographic (for example, local,
regional, national or international) or other attributes (for example, resorts, urban, or suburban). A Category may have specific
Standards or be a descriptive classification.

 

“Claim”
means any demand, inquiry, investigation, action, claim or charge asserted, including in any judicial, arbitration, administrative,
debtor or creditor proceeding, bankruptcy, insolvency, or similar proceeding.

 

    B-1 

     

    

  

“Competitor”
means any Person that has a direct or indirect Ownership Interest in a Brand or is an Affiliate of such a Person, or any Person
that is a Master Franchisee of a Brand, or any officer or director of such Person, but only if the Brand is comprised of at least:
(i) 10 luxury hotels; (ii) 20 full-service hotels; or (iii) 50 limited-service hotels. For purposes of this definition:
“luxury” hotels are hotels that had a system average daily rate in excess of $180 for the most recent year; “full-service”
hotels are hotels that offer three meals per day and have at least 3,000 square feet of meeting space; and “limited-service”
hotels are hotels that are neither “luxury” hotels nor “full-service” hotels. No Person will be considered
a Competitor if such Person has an interest in a Brand merely as: (i) a franchisee; (ii) a management company that operates hotels
on behalf of multiple brands; or (iii) a passive investor that has no Control over the business decisions of the Brand, such
as limited partners or non-Controlling stockholders.

 

“Confidential
Information” means: (i) the Standards; (ii) documents or trade secrets approved for the System or used in
the design, construction, renovation or operation of the Hotel; (iii) any Electronic Systems and related documentation; (iv) Guest
Profile Data; or (v) any other knowledge, trade secrets, business information or know-how obtained or generated (a) through
the use of the System by Franchisee or the operation of the Hotel that Franchisor deems confidential or (b) under any Marriott
Agreements.

 

“Control”
(in any form, including “Controlling” or “Controlled”) means, for any Person, the possession, directly
or indirectly, of the power to direct or cause the direction of the management or policies of such Person or the power to veto
major policy decisions of such Person. No Person (or Persons acting together) will be considered to have Control of a publicly-traded
company merely due to ownership of voting stock of such company if such Persons collectively beneficially own less than 25% of
the voting stock of such company.

 

“Control
Affiliate” means an Affiliate of Franchisee that Controls Franchisee.

 

“Damages”
means losses, costs (including legal or attorneys’ fees, litigation costs and settlement payments), liabilities (including
employment liabilities, bodily injury, death, property damage and loss, personal injury and mental injury), penalties, interest,
and damages of every kind and description.

 

“Data
Protection Laws” means data protection and privacy laws applicable to the Hotel and the System.

 

“Design
Criteria” means those standards for the design of Hotel Improvements and such other information for planning, constructing
or renovating and furnishing a System Hotel.

 

“Design
Process” is defined in Section 4.4.

 

“Development
Activities” means the development, promotion, construction, ownership, lease, acquisition, management or operation of:
(i) Franchisor Lodging Facilities (including other System Hotels); and (ii) other business operations, in each case by Franchisor
or its Affiliates, or the authorization, licensing or franchising to other Persons to conduct similar activities.

 

“Disclosure
Document” means that certain document provided by Franchisor to prospective franchisees of System Hotels as required
by the trade regulation rule of the Federal Trade Commission entitled “Disclosure Requirements and Prohibitions Concerning
Franchising,” as such document may be updated by Franchisor.

 

“Dispute”
means any disagreement, controversy, or Claim relating to or arising out of any Marriott Agreement, the relationship created by
any Marriott Agreement, or the validity or enforceability of any Marriott Agreement.

 

“Effective
Date” means the date stated in Item 3 of Exhibit A.

 

    B-2 

     

    

  

“Electronic
Systems” means all Software, Hardware and all electronic access to Franchisor’s systems and data (including telephone
and internet access), licensed or made available to Franchisee, including the Reservation System, the Property Management System,
the Yield Management System and any other system established under Sections 7 and 10.

 

“Electronic
Systems Fees” means the fees charged by Franchisor for the Hotel’s use of the Electronic Systems, which fees include
the development and incremental operating costs, ongoing maintenance, field support costs and a reasonable return on capital related
to such system.

 

“Electronic
Systems License Agreement” means the agreement that is executed by Franchisee as a condition to using the Electronic
Systems, the current form of which is included in the Disclosure Document.

 

“F&B
Support Fee” means the fees charged by Franchisor for the food and beverage program for System Hotels, which fees include
the development, ongoing sustainment and field support costs and a reasonable return on capital related to such program.

 

“FF&E”
means Case Goods, Soft Goods, signage and equipment (including telephone systems, printers, televisions, vending machines, and
Hardware), but excludes any item included in Fixed Asset Supplies.

 

“Fixed
Asset Supplies” means items such as linen, china, glassware, tableware, uniforms and similar items included within “Operating
Equipment” under the Uniform System.

 

“Franchisee”
means the Person identified in Item 6 of Exhibit A.

 

“Franchise
Fees” is defined in Section 3.2.

 

“Franchisor”
means the Person identified in Item 5 of Exhibit A, and its successors and assigns.

 

“Franchisor
Lodging Facilities” means all hotels and other lodging facilities, chains, brands, or hotel systems owned, leased, under
development, or operated or franchised or licensed, now or in the future, by Franchisor or any of its Affiliates, including: (i)
AC Hotels by Marriott; African Pride Hotels; Autograph Collection Hotels; Bvlgari Hotels and Resorts; Courtyard by Marriott Hotels;
Delta Hotels and Resorts; Edition Hotels; Fairfield by Marriott Hotels; Fairfield Inn by Marriott Hotels; Fairfield Inn &
Suites by Marriott Hotels; Gaylord Hotels; JW Marriott Hotels & Resorts; JW Marriott Marquis Hotels; Marriott Conference Centers;
Marriott Executive Apartments; Marriott Hotels, Resorts and Suites; Marriott Marquis Hotels; Moxy Hotels; Protea Hotels; Protea
Hotels Fire & Ice!; Renaissance Hotels; Residence Inn by Marriott Hotels; Ritz-Carlton Hotels and Resorts; Ritz-Carlton Reserve;
SpringHill Suites by Marriott Hotels; and TownePlace Suites by Marriott Hotels; (ii) whole ownership facilities and other
lodging products or concepts, including Grand Residences by Marriott; JW Marriott Residences; Marriott Marquis Residences; The
Residences at The Ritz-Carlton and The Ritz-Carlton Residences; (iii) Vacation Club Products, including Marriott Vacation
Club, The Ritz-Carlton Club, and The Ritz-Carlton Destination Club; and (iv) any other lodging product or concept developed or
used by Franchisor or any of its Affiliates in the future.

 

    B-3 

     

    

  

“Gross
Revenues” means all revenues and receipts of every kind (from both cash and credit transactions, with no reduction for
charge backs, credit card service charges, or uncollectible amounts) derived from operating the Hotel. Gross Revenues includes
revenues from: (i) Gross Room Sales; (ii) food and beverage sales; (iii) licenses, leases and concessions; (iv)
equipment rental; (v) vending machines; (vi) telecommunications services; (vii) parking; (viii) health club or spa revenues;
(ix) sales of merchandise; (x) service charges; (xi) condemnation proceeds for a temporary taking; (xii) any proceeds from business
interruption or other loss of income insurance; and (xiii) any awards, judgments or settlements representing payment for loss
of revenues. Gross Revenues excludes: gratuities received by Hotel employees; value added, room, excise, goods and
services, sales or use taxes or any other taxes collected directly from customers or included as part of the sales price of any
goods or services; proceeds from the sale of FF&E; and any refunds and credits of a similar nature, paid or returned to customers
in the course of obtaining Gross Revenues.

 

“Gross
Room Sales” means all revenues and receipts of every kind that accrue from the rental of Guestrooms (with no reduction
for charge backs, credit card service charges, or uncollectible amounts). Gross Room Sales includes: (i) no-show
revenue, early departure fees, late check-out fees and other revenues allocable to rooms revenue under the Uniform System; (ii)
resort fees and mandatory surcharges for facilities (although inclusion of such fees or surcharges does not constitute approval
by Franchisor of such fees and surcharges, which may be limited or prohibited); (iii) attrition or cancellation fees collected
from unfulfilled reservations for Guestrooms; (iv) the amount of all lost sales due to the non-availability of Guestrooms in connection
with a casualty event, whether or not Franchisee receives business interruption insurance proceeds; and (v) any awards, judgments
or settlements representing payment for loss of room sales. Gross Room Sales excludes sales tax, value added tax,
or similar taxes on such revenues and receipts.

 

“Guarantor”
means the Person or Persons who guarantee the performance of Franchisee’s obligations under the Marriott Agreements.

 

“Guaranty”
means a guaranty executed by Guarantor for the benefit of Franchisor, the current form of which is included in the Disclosure
Document.

 

“Guest
Profile Data” means personally identifiable information, profiles and preferences of guests, including any information
from any Loyalty Program.

 

“Guestroom”
means each rentable unit in the Hotel consisting of a room, suite or suite of rooms used for overnight guest accommodation, the
entrance to which is controlled by the same key; however, adjacent rooms with connecting doors that can be locked and rented as
separate units are considered separate Guestrooms.

 

“Hardware”
means all computer hardware and other equipment (including all upgrades and replacements) required for the operation of any Electronic
System.

 

“Hotel”
means: (i) the Approved Location; (ii) Hotel Improvements; and (iii) all FF&E, Fixed Asset Supplies, and Inventories
at the Hotel Improvements.

 

“Hotel
Improvements” means the building or buildings containing Guestrooms, Public Facilities, administrative facilities, parking,
pools, landscaping, and all other improvements constructed or to be constructed or renovated at the Approved Location.

 

“Initial
Work” is defined in Section 4.2.

 

“Intellectual
Property” means the following items, regardless of the form or medium (for example, paper, electronic, tangible or intangible):
(i) all Software, including the data and information processed or stored by such Software; (ii) all Proprietary Marks;
(iii) all Confidential Information; and (iv) all other information, materials, and subject matter that are copyrightable,
patentable or can be protected under applicable intellectual property laws, and owned, developed, acquired, licensed, or used
by Franchisor or its Affiliates for the System.

 

    B-4 

     

    

  

“Interestholder”
means, for any Person, a Person that directly or indirectly holds an Ownership Interest in that Person.

 

“Inventories”
means “Inventories” as defined in the Uniform System, including provisions in storerooms, refrigerators, pantries
and kitchens; beverages; other merchandise intended for sale; fuel; mechanical supplies; stationery; and other expensed supplies
and similar items.

 

“Inventory
Management” means those inventory management services made available by Franchisor to Franchisee under revenue management
or consulting agreements.

 

“LD
Amount” is defined in Section 19.4.B.

 

“Loyalty
Programs” means all loyalty, recognition, affinity, and other programs designed to promote stays at, or usage of, the
Hotel, System Hotels and such other Franchisor Lodging Facilities designated by Franchisor or its Affiliates, or any similar,
complementary, or successor programs. As of the Effective Date, such programs include “Marriott Rewards,” “Ritz-Carlton
Rewards,” and various programs sponsored by airlines, credit card and other companies.

 

“Management
Company” means a management company for the Hotel selected by Franchisee and consented to by Franchisor.

 

“Management
Company Acknowledgment” means an acknowledgment signed by the Management Company, Franchisee and Franchisor, the current
form of which is included in the Disclosure Document.

 

“Marketing
Fund” means money collected by Franchisor for Marketing Fund Activities.

 

“Marketing
Fund Activities” is defined in Section 6.2.A.

 

“Marketing
Fund Contribution” is defined in Section 6.2.B.

 

“Marketing
Materials” means all advertising, marketing, promotional, sales and public relations concepts, press releases, materials,
concepts, plans, programs, brochures, or other information to be released to the public, whether in paper, digital or electronic,
or in any other form of media.

 

“Marks”
means: (i) any trademarks, trade names, trade dress, words, symbols, logos, slogans, designs, insignia, emblems, devices, service
marks, and indicia of origin (including taglines, program names, and restaurant, spa or other outlet names); and (ii) any combinations
of the above; in each case, whether registered or unregistered.

 

“Marriott
Agreements” means, collectively, this Agreement, any other agreements executed with this Agreement related to the Hotel
and any other agreement, whenever executed, related to the Hotel to which Franchisee, Guarantor or any of their respective Affiliates
is a party and to which Franchisor or any of its Affiliates is also a party or beneficiary, as such agreements may be amended.

 

“Master
Franchisee” means a Person that has the exclusive rights to develop, operate or sub-license a Brand.

 

    B-5 

     

    

  

“Opening
Date” means the date identified as the Hotel opening date in the letter agreement issued by Franchisor described in
Exhibit C.

 

“Other
Lodging Product” means a hotel, Vacation Club Products, whole ownership facilities, condominium, apartment or other
similar lodging product that is not a Franchisor Lodging Facility.

 

“Other
Mark(s)” is defined in Section 11.3.

 

“Ownership
Interest” means all forms of legal or beneficial ownership of entities or property, including the following: stock,
partnership, limited liability company, joint tenancy, leasehold, proprietorship, trust, beneficiary, proxy, power-of-attorney,
option, warrant, and any other interest that evidences ownership or Control, whether direct or indirect (unless otherwise specified).

 

“Passive
Investor Interests” means non-Controlling Ownership Interests in Franchisee.

 

“Periodic
Renovations” is defined in Section 4.3.A.

 

“Person”
means an individual (and the heirs, executors, administrators or other legal representatives of an individual), a partnership,
a joint venture, a firm, a company, a corporation, a governmental department or agency, a trustee, a trust, an unincorporated
organization or any other legal entity.

 

“Plans”
means construction documents, including a site plan and architectural, mechanical, electrical, civil engineering, plumbing, landscaping
and interior design drawings and specifications.

 

“Property
Management System” means all property management systems (including all Software, Hardware and electronic access) designated
by Franchisor for use in the front office, back-of-the-office or other operations of System Hotels.

 

“Proprietary
Marks” means any Marks, whether owned currently by Franchisor or any of its Affiliates or later developed or acquired,
that are used or registered by Franchisor or one of its Affiliates, or by usage are associated with one or more System Hotels.

 

“Prospectus”
means any registration statement, memorandum, offering document, or similar document for the sale or transfer of an Ownership
Interest.

 

“Public
Facilities” means the lobby areas, meeting rooms, convention or banquet facilities, restaurants, bars, lounges, corridors
and other similar facilities at the Hotel.

 

“Quality
Assurance Program” means the program that Franchisor uses to monitor guest satisfaction and the operations, facilities
and services at System Hotels.

 

“Reasonable
Business Judgment” is defined in Section 27.3.A.

 

“Remaining
Application Fee Amount” means $25,000 (one-half of the balance due of the $50,000 application fee to be paid by Franchisee’s
Affiliate in connection with the Franchise Agreement for the Hotel dated January 9, 2014).

 

“Reservation
System” means any reservation system designated by Franchisor for System Hotels (including Software, Hardware and related
electronic access).

 

    B-6 

     

    

  

“Restricted
Person” means a Person identified by any government or legal authority as a Person with whom Franchisor or its Affiliates
are prohibited from transacting business, including a Person: (i) described in Section 1 of U.S. Executive Order 13224;
(ii) directly or indirectly owned or controlled by the government of any country that is subject to an embargo by the United States;
and (iii) acting on behalf of a government of any country that is subject to such an embargo.

 

“Sales
Agent” means a representative of Franchisor or its Affiliates who acts on behalf of Franchisee for: (i) Inventory Management;
(ii) booking reservations at the Hotel or other booking activities, including accessing the Reservation System; or (iii) sales
activities, including arranging group sales.

 

“Serious
Crime” means a crime punishable by either or both: (i) imprisonment of one year or more; or (ii) payment of
a fine or penalty of $10,000 (or the foreign currency equivalent) or more.

 

“Similar
Marks” is defined in Section 11.2.6.

 

“Soft
Goods” means wall and floor coverings, window treatments, carpeting, bedspreads, lamps, artwork, decorative items, pictures,
wall decorations, upholstery, textile, fabric, vinyl and similar items used in the Hotel.

 

“Software”
means all computer software (including all future upgrades and modifications) and related documentation provided by Franchisor
or designated suppliers for the Electronic Systems.

 

“Standards”
means Franchisor’s manuals, procedures, systems, guides, programs (including the Quality Assurance Program), requirements,
directives, specifications, Design Criteria, and such other information and initiatives for operating System Hotels.

 

“System”
means the Standards, Intellectual Property, the Electronic Systems, the Marketing Fund Activities, Additional Marketing Programs,
Marketing Materials, training programs, and other elements that Franchisor or its Affiliates have designated for System Hotels.

 

“System
Hotel” means a hotel operated by Franchisor, an Affiliate of Franchisor, or a franchisee or licensee of Franchisor or
its Affiliates under the trade name(s) identified in Item 1 of Exhibit A in any of the 50 States of the United States of
America, the District of Columbia and Canada, and excludes any other Franchisor Lodging Facility or other business operation.

 

“Taxes”
means taxes, levies, imposts, duties, fees, charges or liabilities imposed by any governmental authority, including any interest,
additions to tax or penalties applicable to any of the foregoing.

 

“Term”
is defined in Section 2.1.

 

“Transfer”
means any absolute or conditional sale, conveyance, transfer, assignment, exchange, lease or other disposition.

 

“Travel
Costs” means all travel, food and lodging, living, and other out-of-pocket costs.

 

“Travel
Management Companies” means travel agencies, online travel agencies, group intermediaries, wholesalers, concessionaires,
and other similar travel companies.

 

    B-7 

     

    

  

“Uniform
System” means the Uniform System of Accounts for the Lodging Industry, Eleventh Revised Edition, 2014, as published
by the American Hotel & Lodging Educational Institute, or any later edition, revision or replacement that Franchisor designates.

 

“Vacation
Club Products” means timeshare, fractional, interval, vacation club, destination club, vacation membership, private
membership club, private residence club, and points club products, programs and services and includes other forms of products,
programs and services where purchasers acquire an ownership interest, use or other rights to use determinable leisure units on
a periodic basis and pay in advance for such ownership interest, use or other right.

 

“Yield
Management System” means any yield management system (including all Software, Hardware and electronic access) designated
by Franchisor for use by System Hotels.

 

    B-8 

     

    

  

EXHIBIT
C

CHANGE OF OWNERSHIP

 

In
order for the Hotel to continue to operate as a System Hotel, the Agreement is modified by, and the Hotel is to be renovated under,
the terms of this Exhibit C and Section 4.4.

 

	1.	Franchisee acknowledges that the following modifications are made to the Agreement:

 

	 	A.	“Opening Date” means November 20, 1998.

 

	 	B.	All references in Sections 3.2, 6.2.B. and 13.3.A. to “Opening Date” are deleted and replaced by references to “Effective Date.”

 

	 	C.	The following are added to Section 26.2:

 

“F.          NO
ENDORSEMENT. FRANCHISEE ACKNOWLEDGES THAT FRANCHISOR DID NOT APPROVE, RECOMMEND, ENDORSE OR PARTICIPATE IN ANY DECISIONS ABOUT
THE TERMS OF ANY TRANSACTION UNDER WHICH FRANCHISEE ACQUIRED CONTROL OF THE HOTEL, INCLUDING THE PURCHASE PRICE, AND DID NOT COMMENT
ON ANY FINANCIAL PROJECTIONS SUBMITTED TO FRANCHISEE.

 

G.          EXISTING
AGREEMENTS. FRANCHISEE AGREES TO BE BOUND BY ALL AGREEMENTS BETWEEN THE PRIOR FRANCHISEE OF THE HOTEL AND FRANCHISOR OR ITS
AFFILIATES, SUCH AS LICENSE, SERVICE OR REVENUE MANAGEMENT AGREEMENTS AND ANY OTHER AGREEMENTS RELATING TO THE HOTEL.”

 

	2.	Franchisee represents that it has paid Franchisor’s outside legal counsel fees and costs incurred for the preparation and negotiation of the Marriott Agreements.

 

	3.	Property Improvement Plan.

 

A.           Property
Improvement Plan. Based on an inspection of the Hotel, the property improvement plan prepared by Franchisor attached to this
Exhibit C as Attachment One outlines the renovation requirements for the Hotel to continue to operate as a System Hotel
(the “PIP”). All renovations, furniture, fixtures and equipment will conform to the then-current System specifications
at the time such work is completed. Completion of the PIP does not satisfy Franchisee’s obligation to renovate the Hotel
under Section 4.3.

 

B.            Material
Change Review. If any material changes to the Hotel occur after the date stated in Item 19 of Exhibit A, then Franchisor
may re-inspect the Hotel (“Material Change Review”) and modify the PIP to address such material changes. Franchisee
will complete the modified PIP, including any additional requirements, to Franchisor’s satisfaction. Franchisee and its
contractors will cooperate fully with any inspections Franchisor conducts under a Material Change Review.

 

C.            PIP
Deadlines. Franchisee will perform each item in the PIP by the date stated in the PIP with respect to such item. Time is of
the essence, but the deadlines for completion of items in the PIP will be equitably extended for any delay caused by acts of nature,
terrorism, strikes, war, governmental restrictions or other causes beyond Franchisee’s control (excluding for the avoidance
of doubt, unavailability of financing). If Franchisee wishes to extend such deadlines, Franchisee will make a written request
giving the reasons for the delay. Franchisor may, in its sole discretion, extend such deadlines, but no extension will be granted
for more than six months. For any extension, Franchisor may require Franchisee to pay its then-current extension fee. The extension
fee will be paid to Franchisor with the request for the extension and is nonrefundable unless Franchisor declines to grant the
requested extension.

 

    C-1 

     

    

 

D.           Permits
and Certifications. Franchisee will obtain all permits and certifications required for lawful renovation and operation of
the Hotel, including zoning, access, sign, building permits and fire requirements, and if requested, will certify that it has
obtained all such permits and certifications.

 

E.            Compliance.
Franchisee will ensure that the Hotel complies with Applicable Law, the Standards and Design Criteria, including the Fire Protection
and Life Safety Standards (even if such Standards exceed local code requirements).

 

F.            Franchisee’s
Responsibilities. Franchisee is responsible for the entire cost of renovating, equipping, supplying and furnishing the Hotel
as a System Hotel.

 

G.            Site
Visits. During renovation, Franchisor’s representatives may visit the job site at any time to observe the work, and
Franchisee, its contractors and subcontractors will cooperate fully with any such site visits. Upon request, Franchisee will submit
photos showing the progress of renovation to Franchisor. Franchisor may submit any deficiencies or discrepancies to Franchisee,
and Franchisee will promptly correct such items. If any site visits and inspections are necessary to ensure the Hotel
complies with the PIP, Franchisor may charge its then-current fee for the time spent inspecting the Hotel plus Travel Costs.

 

H.            Accessibility
Certification. Franchisee will not be deemed to have satisfied the requirements of the PIP until Franchisee delivers a certification
from its architect, licensed professional engineer, or recognized expert consultant on Accessibility Requirements in the form
attached to this Exhibit C as Attachment Two.

 

I.              Fire
Protection and Life Safety Certification. Franchisee will not be deemed to have satisfied the requirements of the PIP until
Franchisee has (i) delivered a certification in the form attached to this Exhibit C
as Attachment Three that verifies the Hotel complies with Franchisor’s fire protection and life safety Standards
and the fire protection and life safety systems of the Hotel are operational, or (ii) retained Franchisor and paid Franchisor
the then-current testing and inspection fee to test and inspect the fire protection and life safety systems of the Hotel, and
such testing and inspection verifies the Hotel complies with Franchisor’s fire protection and life safety Standards and
the fire protection and life safety systems of the Hotel are operational. Any such certification must be issued by a third party
licensed fire protection engineer, engineer, or recognized expert consultant on fire and life safety requirements that
has been approved by Franchisor. Franchisor may require that such certification be issued by a party that has not participated
in the design of the fire protection and life safety systems of the Hotel.

 

J.             Completion.
Franchisee will not be deemed to have satisfied the requirements of the PIP until Franchisor has confirmed completion.

 

    C-2 

     

    

 

ATTACHMENT
ONE

PROPERTY IMPROVEMENT PLAN

 

All items must be completed within twelve (12) months after the Effective Date, unless otherwise noted with respect to a particular
item.

 

ADA
Certification Requirement

 

As
required under the Agreement, the attached ADA Certification (see attachment A) must be completed and submitted to Franchisor
by the Property Improvement Plan (PIP) completion date.

 

Systems

 

	 	1.	Replace PBX & Voicemail Systems

 

Décor
Package Implementation

 

Implement
all required elements of the Turning Points TownePlace Suites by Marriott décor package in public space and guestrooms
or custom package with Franchisor’s approval. Must submit design, plans, layouts and custom selections to Franchisor Interior
Design for approval prior to purchasing.

 

Architectural Façade/Building Envelope

 

	 	1.	Clean and repair exterior building finishes to a “like-new” condition to include façade waterproofing.
	 	2.	Verify the condition of all exterior windows, doors, frames, sills, and seals, and repair/replace as necessary to prevent wind, rain and noise from leaking into building.
	 	3.	Touch up and repaint front entrance door.
	 	4.	Replace door hardware at all entry doors.
	 	5.	Replace rooftop HVAC Unit (GM Office and Exercise Room).

Exterior Signage and Graphics/Lighting

 

	 	1.	Replace exterior “Office” signage with “Welcome” signage.
	 	2.	Replace all decorative pole lighting (parking lot or others).
	 	3.	Replace exterior decorative lighting (i.e. sconces, pendant fixtures) with new exterior decorative lighting.
	 	4.	Replace any cracked/yellowed light covers at exterior light fixtures.

 

Hardscape and Parking Areas

 

	 	1.	Powerwash sidewalks and repair any damaged areas.
	 	2.	Repair, reseal and re-stripe parking areas.
	 	3.	Remove wheel stops.
	 	4.	Repair all damaged sidewalks.

 

    C-3 

     

    

  

Landscape/Visual
Barriers

 

	 	1.	Remove and replace all dead or misshapen landscaping.
	 	2.	Provide additional landscaping at main entry.

 

Miscellaneous Site Features

 

	 	1.	Replace all trash receptacles with decorative trash receptacles to be compatible with main building exterior.
	 	2.	Replace exterior ash/trash urn.

 

Lobby

 

	 	1.	Install new flooring and base.
	 	2.	Install new brand walk-off mat.
	 	3.	Paint walls (including accent walls).
	 	4.	Repaint door trim/frames.
	 	5.	Install corner guards.
	 	6.	Remove connectivity center millwork and replace with new kiosk.
	 	7.	Provide new upholstered bench cushion.
	 	8.	Replace upholstered seating.
	 	9.	Install new tables.
	 	10.	Install new artwork.
	 	11.	Install new wall mounted 39”+ TV if not existing.
	 	12.	Replace window treatments.
	 	13.	Paint ceiling.
	 	14.	Construct new storage closet across from vending.
	 	15.	Remove non-standard items in public areas (i.e. candy machine, bookshelves, plants/florals).
	 	16.	Replace doors throughout public space.

 

Breakfast Room

 

	 	1.	No work required in this area.

 

Elevator

 

	 	1.	Replace flooring with current TownePlace Suites by Marriott brand standard.
	 	2.	Install new ceiling panel/lens diffuser and new recessed lighting.
	 	3.	Replace elevator cab wall panels.

 

Guest Laundry 

 

	 	1.	Install vinyl flooring and base.
	 	2.	Paint walls.
	 	3.	Install artwork.
	 	4.	Install half glass vision panel in entry door.
	 	5.	Install card-reader access to entry door.
	 	6.	Paint door trim/frames.
	 	7.	Paint doors.
	 	8.	Install window treatments if window exists.
	 	9.	Paint ceiling.
	 	10.	Replace any damaged or stained acoustical ceiling tiles and/or grid.
	 	11.	Install a wall-mounted house phone with direct connection to the front desk.
	 	12.	Install a 4’ folding counter and clothes hanging rod.
	 	13.	Install interior graphics/signage.

 

    C-4 

     

    

 

Exercise
Room

 

	 	1.	Expand Exercise Room per size requirements listed below to include additional equipment (or new if not current TownePlace Suites by Marriott brand standard) to fit within larger space. This may require encroaching on adjacent room(s), expanding exterior wall, or relocating space to a new area of the Hotel. Plans must be submitted to Franchisor for approval prior to beginning work.

 

	 	<100
rooms	450 square feet or more

 

	 	2.	Replace flooring and base with current TownePlace Suites by Marriott brand specification.
	 	3.	Paint walls.
	 	4.	Install full-height, 1-1/2” wide corner guards to match the color tone of adjacent walls.
	 	5.	Install new millwork towel cabinet.
	 	6.	Remove artwork and do not replace.
	 	7.	Replace window treatments.
	 	8.	Replace exercise equipment with integrated LCD TV to meet current minimum TownePlace Suites by Marriott brand standards and quantities.
	 	9.	Relocate/add power and cable as required for new equipment.
	 	10.	Replace interior graphics/signage.
	 	11.	Paint ceiling.

 

Patio

 

	 	1.	Re-stamp concrete patio deck.
	 	2.	Replace furniture.

 

Pool

 

	 	1.	Replace pool graphics/signage.
	 	2.	Install a wall-mounted house phone with direct connection to the front desk.
	 	3.	Replace outdoor decorative lighting (i.e. pole lighting) with new outdoor decorative lighting.
	 	4.	Replace pool furniture in a combination of chaise lounges, tables and chairs.

 

Public
Restrooms

 

	 	1.	No work required in this area.

 

Administrative
Offices

 

	 	1.	Replace window treatments.
	 	2.	Replace interior graphics/signage.

 

Employee
Dining

 

	 	1.	Replace window treatments.

 

    C-5 

     

    

 

Back
of House

 

	 	1.	Replace commercial washing machines.

 

Corridors/Stairwells

 

	 	1.	Replace carpet, padding and carpet base.
	 	2.	Replace stairwell carpet, padding and stair nosing.
	 	3.	Paint walls, including accent colors.
	 	4.	Repaint/touch up door frames.
	 	5.	Replace guestroom entry doors with six-panel, residential style. Entry doors may be either solid core hardboard or metal hollow-core.
	 	6.	Replace electronic door locks.
	 	7.	Install 1-3/4” rubber threshold at guestroom entry doors with carpet to carpet transition.
	 	8.	Replace corner guards with new full-height, 1-1/2” wide corner guards to match the color tone of adjacent walls.
	 	9.	Replace artwork.
	 	10.	Replace window treatments.
	 	11.	Replace decorative hardwired lighting.
	 	12.	Install additional lighting to increase light levels.
	 	13.	Replace interior graphics/signage.
	 	14.	Replace any damaged or stained acoustical ceiling tiles and/or grid.

 

Guestrooms

 

	 	1.	Replace carpet, padding and base.
	 	2.	Replace thresholds at connector and entry doors with full width and length “T” strip at connector doors and 1-3/4” W “T” strip at entry doors.
	 	3.	Paint walls, including accent colors.
	 	4.	Replace upholstered seating, including dining chairs.
	 	5.	Replace casegoods, to include home office in 100% of studios and one bedroom suites.
	 	6.	Provide track lighting above home office, where not existing.
	 	7.	Remove cocktail table and install C-Table.
	 	8.	Replace upholstered seating.
	 	9.	Replace mattress and box spring.
	 	10.	Remove bed scarf and do not replace.
	 	11.	Provide new cumulus top sheet at bed.
	 	12.	Provide new washable decorative pillow.
	 	13.	Install new artwork and accessories.
	 	14.	Replace lamps and shades.
	 	15.	Install new decorative hardwired lighting.
	 	16.	Provide new sheers.
	 	17.	Replace closet doors, track, and hardware.
	 	18.	Install Container Store closet system in 100% of one and two bedroom suites.
	 	19.	Install Container Store closet system in 50% of studio suites.
	 	20.	Touch-up wood cap at kitchen half-wall.
	 	21.	Replace kitchen flooring.
	 	22.	Install hard surface countertop in kitchen (sink can be reused).
	 	23.	Provide new kitchen sink faucet.
	 	24.	Replace kitchen cabinets.
	 	25.	Replace ceiling fan (if existing).

 

    C-6 

     

    

  

	 	26.	Replace Packaged Terminal Air Conditioner (“PTAC”) units to include remote thermostats.
	 	27.	Install stainless steel appliances.
	 	28.	Replace interior graphics/signage.
	 	29.	Paint ceiling.

 

Guestroom
Bath

 

	 	1.	Replace bath flooring.
	 	2.	Paint walls.
	 	3.	Provide new vanity base and hardware.
	 	4.	Install granite vanity top and undermount china bowl.
	 	5.	Remove wall-mounted hair dryers.
	 	6.	Replace decorative vanity mirror.
	 	7.	Install new vanity light fixture and bulbs.
	 	8.	Replace two-part shower curtain and rings.
	 	9.	Replace ceiling light fixture if discolored or light levels are below standards.
	 	10.	Paint ceiling.
	 	11.	Refinish tubs to like new condition.
	 	12.	Replace tub surrounds.

 

Engineering/Fire
Protection/Life Safety

 

Property
must comply with all standards and requirements as detailed in the Fire and Life Safety Audit items listed below regardless of
current status of compliance with local codes or previous guidelines.

 

The
above property was surveyed on March 3, 2015, for compliance with Marriott Module 14 and applicable national codes. The requirements
sited in light of work described are defined in NFPA 101 Life Safety Code Chapter 43 as RENOVATION. Renovation includes
the replacement in kind or strengthening of load-bearing elements; or the refinishing, replacement, bracing, strengthening, or
upgrading of existing materials, elements, equipment, or fixtures, without involving reconfiguration of spaces. If the scope of
work evolves beyond this definition, you must contact Marriott Fire Protection immediately for a reassessment of the fire and
life safety requirements.

 

The
following must be corrected within the established timeframes, and in accordance with Marriott Design Standard Module 14, “Fire
and Life Safety”. They must be verified, tested and inspected by Marriott Fire Protection prior to acceptance as completed.

 

Property
Description:

 

	 	●	Two 3 story residential buildings, building “A” has gate house attached. 1998 built, wood frame with wood truss attic. Total of 94 guestrooms.
	 	●	Fully sprinkler protected, single riser, wet and dry [attic] systems, no remote ITV’s or fire pump.
	 	●	Original Notifier AP200 fire alarm panel, monitored by 3rd party.
	 	●	Guestrooms have 120v stand alone ionization type smoke detectors, suites are not interconnected.
	 	●	No linen chute, kitchen hood, or generator.

 

    C-7 

     

    

  

Within
30 days of Effective Date:

 

	 	1.	Install emergency lighting in the main laundry.
	 	2.	Install an exit sign in the main laundry [a combination exit sign emergency light fixture is recommended to save on wiring].
	 	3.	Install emergency lighting in the corridor between the breakfast room and the reception desk [a combination exit sign emergency light fixture to replace the exit light between the laundry door and the sales office is recommended to save on wiring].
	 	4.	Install FDC signs on the rear of each building over the fire department connection. The sign must be 4” white letters on a red background.
	 	5.	Chain and padlock the shut off controls wheels for the sprinkler system water supply at the back flow preventer that is located in the underground vault, back parking lot of Building”A”.
	 	6.	Remove all stored materials from the closets in the first floor landing of the stairs in Building “B”. Change the locks and do not distribute keys to prevent future storage.
	 	7.	Provide an exterior storage cage for the propane grill bottles. Propane is prohibited from storage in the Hotel building footprint.
	 	8.	Close up the hole in the ceiling of the sprinkler riser room, rear of Building “A” with gypsum wall board or approved fire caulk.

 

Within
180 days of Effective Date:

 

	 	9.	Replace all guestroom ionization type smoke detectors with hard wired photo electric type detectors with battery backup.
	 	10.	Smoke detectors in multi-room suites must be interconnected so that if one detector in the suite activates and sounds, the other detectors within the same suite will sound.
	 	11.	The strobe light warning devices in the hearing impaired guestroom sleeping area must be 110 cd strobe intensity if more than 24” from the ceiling, or 177 cd if within 24” of the ceiling. Currently, they are 15 cd devices and must be replaced.
	 	12.	Install inspectors test valves at or near the distant end of each sprinkler zone. These remote test valves must be connected to an express drain terminating to the exterior or an interior drain that can handle full flow. Consult Marriott Fire Protection and Life Safety for suitable locations prior to installation.

 

	
FOR INTERNAL USE ONLY  
 
	OASIS TR:	12 Months
	OASIS RD Date:	12 months

 

    C-8 

     

    

 

ATTACHMENT
TWO

TO EXHIBIT C

ADA CERTIFICATION

 

(to
be completed by Franchisee’s architect, engineer, or ADA consultant)

 

In
connection with the TownePlace Suites Fort Worth Southwest, TX (the “Hotel”), I hereby certify to Moody National International-Fort
Worth MT, LLC and to Marriott International, Inc. that:

 

I
                                         have used professionally reasonable efforts to ensure that the Hotel complies with the
                                         requirements of the Americans with Disabilities Act (“ADA”), and all other
                                         related or similar state and local laws, regulations, and other requirements governing
                                         public accommodations for persons with disabilities in effect at the time that this certification
                                         is made; and

 

In
                                         my professional judgment, the Hotel does in fact comply with such requirements.

 

	 	By:	 	 
	 	 	 	 
	 	Print
Name:	 	 
	 	 	 	 
	 	Firm:	 	 
	 	 	 	 
	 	Date:	 	 

 

    C-9 

     

    

 

ATTACHMENT
THREE

TO EXHIBIT C

FIRE & LIFE SAFETY CERTIFICATION

 

(to
be completed by Franchisee’s third-party licensed fire protection engineer, engineer or fire and life safety consultant)

 

In
connection with the TownePlace Suites Fort Worth Southwest, TX (the “Hotel”), I hereby certify to Moody National International-Fort
Worth MT, LLC and to Marriott International, Inc. that:

 

I
                                         have used professionally reasonable efforts to ensure that the Hotel complies with Marriott
                                         International, Inc.’s Fire Protection and Life Safety Standards in effect as of
                                         the [EFFECTIVE DATE OF FRANCHISE AGREEMENT] ; and

 

In
my professional judgment, the Hotel does in fact comply with such standards.

 

	 	By:	 	 
	 	 	 	 
	 	Print
Name:	 	 
	 	 	 	 
	 	Firm:	 	 
	 	 	 	 
	 	Date:	 	 

 

    C-10 

     

    

 

GUARANTY

 

This
Guaranty (“Guaranty”) is executed as of December 18, 2015 (“Effective Date”) by Moody National
REIT I, Inc., a Maryland corporation, and Brett C. Moody (jointly and severally, “Guarantor”) for the benefit
of Marriott International, Inc., a Delaware corporation (“Franchisor”).

 

In
consideration of and as an inducement to Franchisor to execute the TownePlace Suites by Marriott Relicensing Franchise Agreement
dated December 18, 2015 (as such agreement may be amended, the “Agreement”), between Franchisor and Moody National
International-Fort Worth MT, LLC, a Delaware limited liability company (“Franchisee”), for the hotel located
at 4200 International Plaza, Fort Worth, TX 76109, Guarantor agrees as follows:

 

1.          Unconditional
Guaranty. Guarantor unconditionally guarantees that all of Franchisee’s obligations under the Marriott Agreements will
be punctually paid and performed. On default by Franchisee and notice from Franchisor, Guarantor will immediately make each payment
and perform each obligation required by Franchisee under the Marriott Agreements. Franchisor may extend, modify or release any
indebtedness or obligation of Franchisee, or settle, adjust or compromise any Claim against Franchisee without notice to Guarantor,
and any such action will not affect the obligations of Guarantor under this Guaranty.

 

2.          Waiver
of Notices. Guarantor waives (i) notice of any amendment of any of the Marriott Agreements and (ii) notice of demand for payment
or performance by Franchisee. Guarantor’s guarantee applies to any extension or renewal of any of the Marriott Agreements.
Guarantor unconditionally and irrevocably waives notice of acceptance of this Guaranty, presentment, demand, diligence, protest
and dishonor or of any other notice to which Guarantor otherwise might be entitled under Applicable Law.

 

3.          Obligations
of Guarantor.

 

A.         No
Limitations. The obligations of Guarantor under this Guaranty will not be reduced, limited, terminated, discharged, impaired
or otherwise affected by (i) Franchisee’s failure to pay a fee or provide consideration to Guarantor for the issuance of
this Guaranty; (ii) the occurrence or continuance of a default under any of the Marriott Agreements; (iii) any assignment of any
of the Marriott Agreements; (iv) any amendment, waiver, consent or other action taken related to any Marriott Agreement,
including any discounts or extensions of time for payment of any amounts due under any of Marriott Agreement or extensions of
time for the performance of any obligation of Franchisee under any Marriott Agreement; (v) the voluntary or involuntary liquidation,
sale or other disposition of all or any portion of Franchisee’s assets, or the receivership, insolvency, bankruptcy, reorganization
or similar proceedings affecting Franchisee or its assets or the release or discharge of Franchisee from any of its obligations
under any Marriott Agreement; or (vi) any change of circumstances, whether or not foreseeable, and whether or not any such change
could affect the risk of Guarantor.

 

B.         Changes
to the Marriott Agreements. Any modifications, amendments, waivers or consents to the Marriott Agreements may be agreed to
or granted without the approval or consent of Guarantor.

 

4.          Payment
and Performance. This Guaranty constitutes a guaranty of payment and performance and not of collection. Guarantor waives any
right to require Franchisor to proceed, by way of set-off or otherwise, against (i) Franchisee; (ii) any assets of Franchisee;
(iii) any assets of Franchisee held by any Person as security; or (iv) any other guarantor.

 

    1 

     

    

 

5.          Preferences
or Other Return Payments. This Guaranty will continue to be effective or be reinstated, as the case may be, if at any time
payment under any of the Marriott Agreements is rescinded or must otherwise be restored or returned by Franchisor due to the insolvency,
bankruptcy or reorganization of Franchisee or Guarantor, all as though such payment had never been made.

 

6.          Notices.
All notices and other communications will be: (i) in writing; (ii) delivered by hand with receipt, or by courier
service with tracking capability; and (iii) addressed as provided below or at any other address designated in writing by
Guarantor. Any notice will be deemed received (i) when delivery is received or first refused, if delivered by hand or (ii) one
day after posting of such notice, if sent via overnight courier.

 

7.          Joint
and Several Liability. If more than one Person has executed this Guaranty as a Guarantor, the liability of each Guarantor
will be joint, several and primary.

 

8.          Death
of Guarantor. On the death of any individual Guarantor, the estate of such Guarantor will be bound by this Guaranty but only
for defaults and obligations existing at the time of death. In such event, the obligations of any other Guarantors will continue
in full force and effect.

 

9.          Existence;
Authorization; Prior Representations.

 

A.         Existence.
Each Guarantor that is not an individual represents and warrants that it: (i) is duly formed, validly existing and in
good standing under the laws of the jurisdiction of its formation and (ii) has, and will continue to have, the ability to
perform its obligations under this Guaranty.

 

B.          Authorization.
Each Guarantor represents and warrants that the execution and delivery of this Guaranty and the performance of its obligations
under this Guaranty: (i) have been duly authorized; (ii) do not and will not violate, contravene or result in a default or
breach of (a) any Applicable Law, (b) its governing documents or (c) any agreement, commitment or restriction binding on the relevant
party; and (iii) do not require any consent that has not been properly obtained by the relevant party.

 

C.          Prior
Representations. Guarantor represents and warrants that all of the information in the application and provided in the Marriott
Agreements, was true as of the time made and is true as of the Effective Date, regardless of whether such representations and
warranties were provided by Franchisee or another Person.

 

D.         Restricted
Persons. Guarantor represents that neither Guarantor nor any of its Affiliates (including their directors and officers), the
Interestholders or the funding sources for any of them, is a Restricted Person.

 

10.        Governing
Law; Jurisdiction. This Guaranty will be construed under and governed by Maryland law which law will prevail if there is any
conflict of law. Guarantor expressly and irrevocably submits to the non-exclusive jurisdiction of the courts of the State of Maryland
for the purpose of any Dispute relating to this Guaranty. So far as is permitted under Maryland law, this consent to personal
jurisdiction will be self-operative.

 

11.        Costs
of Enforcement. Guarantor agrees to pay all costs, including reasonable legal fees, incurred by Franchisor and its Affiliates
to enforce or protect any rights or to collect any amounts due under this Guaranty or any other Marriott Agreement.

 

    2 

     

    

  

12.        WAIVER
OF PUNITIVE DAMAGES. EACH OF GUARANTOR AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES THE RIGHT TO CLAIM
OR RECEIVE PUNITIVE DAMAGES IN ANY DISPUTE RELATED TO THIS GUARANTY, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS
IN CONNECTION WITH ANY OF THE ABOVE.

 

13.        WAIVER
OF JURY TRIAL. EACH OF GUARANTOR AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY DISPUTE
RELATED TO THIS GUARANTY, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS IN CONNECTION WITH THE ABOVE.

 

14.        Counterparts.
This Guaranty may be executed in any number of counterparts, each of which will be deemed an original and all of which constitute
one and the same instrument. Delivery of an executed signature page by electronic transmission is as effective as delivery of
an original signed counterpart.

 

15.        Definitions.
All capitalized terms not defined in this Guaranty have the meaning stated in the Agreement.

 

16.        Waiver.
Franchisor’s failure to exercise any right or to insist on compliance by Guarantor with any provision of this Guaranty
will not constitute a waiver of Franchisor’s right to demand later full compliance with any provision of this Guaranty.

 

17.        Amendments.
This Guaranty may only be amended in a written document that has been duly executed by the parties and may not be amended
by conduct manifesting assent, and each party is put on notice that any individual purporting to amend this Guaranty by conduct
manifesting assent is not authorized to do so.

 

18.        Survival.
The provisions of Sections 1, 7, 10, 11, 12 and 13 will survive the expiration or termination of the Agreement.

 

[Signatures
appear on the following page]

 

    3 

     

    

 

IN
WITNESS WHEREOF, Guarantor has executed this Guaranty, under seal, as of the Effective Date.

 

 

	 	GUARANTOR:
	 	 
	 	MOODY
NATIONAL REIT I, INC.

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 
	 	 	 	 
	 		(SEAL)
	 	Brett C. Moody, an Individual	 
	 	 	 	 
	ADDRESS
FOR NOTICES TO GUARANTOR:	 	 	 
	 	 	 	 
	6363
Woodway Drive, Suite 110	 	 	 
	Houston,
TX 77057	 	 	 

 

    4 

     

    

 

MANAGEMENT
COMPANY ACKNOWLEDGMENT

 

This
Management Company Acknowledgment (this “Acknowledgment”) is executed on December 18, 2015 (“Effective
Date”) by Marriott International, Inc., a Delaware corporation (“Franchisor”), Moody National International-Fort
Worth MT, LLC, a Delaware limited liability company (“Franchisee”) and Moody National Hospitality Company,
LLC, a Texas limited liability company (“Management Company”).

 

RECITAL

 

Management
Company has entered into an agreement (“Management Agreement”) with Franchisee to operate the hotel located
at 4200 International Plaza, Fort Worth, TX 76109 (the “Hotel”), under the TownePlace Suites by Marriott Relicensing
Franchise Agreement dated December 18, 2015 (as such agreement may be amended, the “Agreement”) between Franchisor
and Franchisee.

 

NOW,
THEREFORE, in consideration of the promises in this Acknowledgment and other good and valuable consideration, the receipt and
sufficiency of which are acknowledged, the parties agree as follows:

 

1.          Franchisor’s
Consent. 

 

A.         Consent
and Grant. Franchisor consents to the operation of the Hotel by Management Company on behalf of Franchisee and grants to Management
Company the right to use the System to operate the Hotel in compliance with the Standards, this Acknowledgment and the Agreement.
Franchisor’s consent is personal to Management Company, and this Acknowledgment is not assignable by Franchisee or Management
Company. Such consent and grant will terminate without notice to Management Company on: (i) the expiration or termination
of the Agreement; (ii) the execution of another management company acknowledgment with respect to the Hotel by Franchisor,
Franchisee and another management company; or (iii) the execution of an amendment to the Agreement consenting to the operation
of the Hotel by Franchisee.

 

B.          Change
in Circumstances. If there is a change in Control of Management Company or if Management Company becomes a Competitor
(or an Affiliate of a Competitor) or a Restricted Person (or an Affiliate of a Restricted Person) or if Management Company becomes
the principal operator for a Competitor or if there is a material adverse change to the financial condition or operational capacity
of Management Company, Franchisee will promptly notify Franchisor of any such change. In such circumstance, Management Company
will be subject to the consent process under the Agreement as if it were a new operator of the Hotel.

 

C.          Withdrawal
of Consent. If Management Company breaches any provision of the Agreement, Franchisor may withdraw its consent for Management
Company to operate the Hotel.

 

2.          Management
Company Representations. Management Company represents and warrants to Franchisor that: (i) neither it nor any
Person that controls Management Company has been convicted of a Serious Crime; (ii) neither Management Company nor any Affiliate
of Management Company is a Competitor; (iii) the Management Agreement is valid, binding and enforceable, contains no terms that
may cause a breach of the Agreement and is for a term of not less than five years; and (iv) neither Management Company nor
any Affiliate of Management Company is a Restricted Person.

 

3.          Management
Company and Franchisee Acknowledgments. Management Company and Franchisee acknowledge that:

 

    1 

     

    

 

A.         Management
Company will have the exclusive authority and responsibility for the day-to-day management of the Hotel on behalf of Franchisee.
The general manager of the Hotel will be an employee of Management Company and devote his or her full time and attention to the
management and operation of the Hotel and will have successfully completed Franchisor’s mandatory management training program
required by the Standards. Management Company will promptly inform Franchisor whenever it hires a general manager. In addition
to the general manager, the other department managers of the Hotel will be employees of the Management Company, while other staff
at the Hotel may be employed by Franchisee;

 

B.          Management
Company will operate the Hotel in strict compliance with the Standards. Management Company will comply with the terms of the Agreement
for the management and operation of the Hotel, including those related to Intellectual Property, as if Management Company had
executed the Agreement as “Franchisee.” Management Company, however, will have no rights under the Agreement except
as stated in this Acknowledgment and such rights do not constitute a franchise or license to Management Company. If Franchisee
delegates the insurance obligations under the Agreement to Management Company, Management Company will satisfy such obligations.
Management Company will comply with Applicable Law;

 

C.          Franchisor
may enforce directly against Management Company all terms in the Agreement regarding Intellectual Property and the management
and operation of the Hotel (including insurance, if such obligations have been delegated to Management Company). Franchisor will
have the right to seek and obtain all remedies against the Management Company available at law and in equity for Management Company’s
failure to comply with the terms of this Acknowledgment, in addition to any remedies Franchisor may have against Franchisee;

 

D.         Management
Company assigns, and will cause each of its employees or independent contractors who contributed to System modifications to assign,
to Franchisor, in perpetuity throughout the world, all rights, title and interest (including the entire copyright and all renewals,
reversions and extensions of such copyright) in and to such System modifications. Except to the extent prohibited by Applicable
Law, Management Company waives, and will cause each of its employees or independent contractors who contributed to System modifications
to waive, all “moral rights of authors” or any similar rights in such System modifications (for purposes of this Section
3, “modifications” includes any derivatives and additions);

 

E.          Management
Company will execute or cause to be executed and deliver to Franchisor, any documents, and take any actions required by Franchisor
to protect the title in any System modifications;

 

F.          Any
default under the Agreement caused solely by Management Company will constitute a default under the Management Agreement, and
Franchisee will have the right to terminate the Management Agreement;

 

G.          Franchisee
and Management Company will not modify the Management Agreement in any way that is inconsistent with the Agreement or this Acknowledgment;

 

H.         Franchisee
will not allow the Management Agreement to expire or terminate the Management Agreement without providing Franchisor at least
30 days’ notice, unless Franchisee needs to remove Management Company on an expedited basis due to theft, fraud or other
material defaults of Management Company or a default under the Agreement caused by Management Company; and

 

    2 

     

    

 

I.           Management
Company will perform the day-to-day operations of the Hotel. Franchisor may communicate directly with Management Company and the
managers at the Hotel about day-to-day operations of the Hotel and Franchisor may rely on such statement of the managers and the
Management Company. Franchisor will under no circumstances direct or control such Hotel operations.

 

4.          Existence.
Each party represents and warrants that it: (i) is duly formed, validly existing, and in good standing under the laws
of the jurisdiction of its formation; and (ii) has and will continue to have the ability to perform its obligations under
this Acknowledgment.

 

5.          Authorization.
Each party represents and warrants that the execution and delivery of this Acknowledgment and the performance of its obligations
under this Acknowledgment: (i) have been duly authorized, (ii) do not and will not violate, contravene or result in a default
or breach of (a) any Applicable Law, (b) its governing documents or (c) any agreement, commitment or restriction binding on the
relevant party; and (iii) do not require any consent that has not been properly obtained by the relevant party. Each of Management
Company and Franchisee represents that it has the right to perform its obligations under this Acknowledgment as of the Effective
Date and covenants that it will continue to have such right as long as this Acknowledgment remains in effect.

 

6.          Controlling
Agreement. If any provision of the Agreement or this Acknowledgment conflicts with the Management Agreement, the provision
of the Agreement or this Acknowledgment will control.

 

7.          No
Release. Franchisee will remain responsible for the performance of all obligations under the Agreement. This Acknowledgment
will not release Franchisee from any liability or obligation under the Agreement.

 

8.          Definitions.
All capitalized terms not defined in this Acknowledgment have the meaning stated in the Agreement.

 

9.          Counterparts.
This Acknowledgment may be executed in any number of counterparts, each of which will be deemed an original and all of which
constitute one and the same instrument. Delivery of an executed signature page by electronic transmission is as effective as delivery
of an original signed counterpart.

 

10.        Governing
Law. This Acknowledgment will be construed under and governed by the Maryland law, which law will prevail if there is any
conflict of law. Management Company expressly and irrevocably submits to the non-exclusive jurisdiction of the courts of the State
of Maryland for the purpose of any Dispute related to this Acknowledgment. So far as permitted under Maryland law, this consent
to personal jurisdiction will be self-operative.

 

11.        Management
Company’s Address. Management Company’s mailing address is provided on the signature page. Management Company
agrees to provide notice to both Franchisee and Franchisor if there is any change in Management Company’s mailing address.

 

12.        Partial
Invalidity. If any term of this Acknowledgment, or its application to any Person or circumstance, is invalid or unenforceable
at any time or to any extent, then (i) the remainder of this Acknowledgment, or the application of such term to Persons or
circumstances other than those as to which it is held invalid or unenforceable, will not be affected and each term of this Acknowledgment
will be valid and enforced to the fullest extent permitted by Applicable Law; and (ii) Franchisor, Franchisee and Management
Company will negotiate in good faith to modify this Acknowledgment to implement their original intent as closely as possible in
a mutually acceptable manner.

 

    3 

     

    

  

13.        No
Third-Party Beneficiary. Nothing in this Acknowledgment is intended to create any third-party beneficiary or
give any rights or remedies to any Person other than Franchisor and its permitted successors and assigns.

 

14.        Equitable
Relief. Franchisor is entitled to injunctive or other equitable relief, including restraining orders and preliminary injunctions,
in any court of competent jurisdiction for any threatened or actual material breach of this Acknowledgment or non-compliance with
the Standards. Franchisor is entitled to such relief without the necessity of proving the inadequacy of money damages as a remedy,
without the necessity of posting a bond and without waiving any other rights or remedies.

 

15.        WAIVER
OF PUNITIVE DAMAGES. EACH OF MANAGEMENT COMPANY, FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES
THE RIGHT TO CLAIM OR RECEIVE PUNITIVE DAMAGES IN ANY DISPUTE RELATED TO THE HOTEL, THIS ACKNOWLEDGMENT, THE RELATIONSHIP OF THE
PARTIES OR ANY ACTIONS OR OMISSIONS IN CONNECTION WITH ANY OF THE ABOVE.

 

16.        WAIVER
OF JURY TRIAL. EACH OF MANAGEMENT COMPANY, FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL
BY JURY IN ANY DISPUTE RELATED TO THE HOTEL, THIS ACKNOWLEDGMENT, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS
IN CONNECTION WITH ANY OF THE ABOVE.

 

17.        Costs
of Enforcement. If either party initiates any legal or equitable action to protect its rights under this Acknowledgment or
other Marriott Agreements, the prevailing party is entitled to recover its costs, including reasonable legal fees.

 

18.        Entire
Agreement. This Acknowledgment and the Marriott Agreements are fully integrated and contain the entire agreement between the
parties as it relates to the Hotel and the Approved Location and supersede all prior understandings and writings.

 

19.        Amendments.
This Acknowledgment may only be amended in a written document that has been duly executed by the parties and may not be amended
by conduct manifesting assent, and each party is put on notice that any individual purporting to amend this Acknowledgment by
conduct manifesting assent is not authorized to do so.

 

20.        Survival.
The terms of Sections 3, 14, 15, 16 and 17 survive expiration or termination of this Acknowledgment and, to the extent applicable
to Management Company, Section 27.8 of the Agreement.

 

[Signatures
appear on the following page]

 

    4 

     

    

  

IN
WITNESS WHEREOF, the parties have executed this Acknowledgment, under seal, as of the Effective Date.

 

	 	FRANCHISOR:
	 	 
	 	MARRIOTT INTERNATIONAL, INC.

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	FRANCHISEE:
	 	 
	 	MOODY
NATIONAL INTERNATIONAL-FORT WORTH MT, LLC

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	MANAGEMENT
COMPANY:
	 	 
	 	MOODY
NATIONAL HOSPITALITY COMPANY, LLC

 

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 
	 	 	 	 
	ADDRESS
FOR MANAGEMENT COMPANY:	 	 	 
	 	 	 	 
	6363
Woodway Drive, Suite 110	 	 	 
	Houston,
TX 77057	 	 	 

 

    5 

     

    

 

ELECTRONIC
SYSTEMS LICENSE AGREEMENT

 

This
Electronic Systems License Agreement (this “License Agreement”) is executed on December 18, 2015 (the “Effective
Date”) between Marriott International, Inc. (“Franchisor”) and Moody National International-Fort
Worth MT, LLC (“Franchisee”).

 

RECITALS

 

A.         As
of the Effective Date, Franchisor and Franchisee have entered into a TownePlace Suites by Marriott relicensing franchise agreement
(the “Franchise Agreement”) to operate the Hotel located at 4200 International Plaza, Fort Worth, TX 76109
under the System.

 

B.          Franchisee
is required to use the Electronic Systems that are made available under this License Agreement for the operation of the Hotel
under the Franchise Agreement.

 

NOW,
THEREFORE, in consideration of the promises in this License Agreement and other good and valuable consideration, the receipt and
sufficiency of which are acknowledged, Franchisor and Franchisee agree as follows:

 

1.          Limited
Grant. Franchisor grants to Franchisee a limited, non-exclusive license to use the Electronic Systems. Franchisee acknowledges
that the Electronic Systems may be modified, enhanced, replaced or may become obsolete, and that new Electronic Systems may be
created to meet the needs of the System and continual changes in technology.

 

2.          Term.
The term of this License Agreement begins on the Effective Date and ends on expiration or termination of the Franchise Agreement.
For each Electronic System, the license begins on the date it is installed and ends on this License Agreement’s termination
or when such Electronic System is no longer used as part of the System for operating the Hotel.

 

3.          Ownership
of the Electronic Systems. The Electronic Systems that are proprietary to Franchisor or third-party vendors, as applicable,
will remain their sole property, and Franchisee will not contest such ownership.

 

4.          Support
Services. Franchisor will use commercially reasonable efforts to maintain and support the Electronic Systems (the “Support
Services”) during the term of this License Agreement. The Support Services may be provided by Franchisor or third-party
vendors.

 

5.          Fees
and Costs. Franchisee will pay the fees and costs for the Electronic Systems as provided in the Franchise Agreement.

 

6.          Use
of the Electronic Systems. Franchisee will use the Electronic Systems exclusively for operating the Hotel under the Franchise
Agreement.

 

7.          Confidentiality
Obligations. Franchisee will treat the Electronic Systems as Confidential Information under the Franchise Agreement. Franchisee
will ensure that only authorized Persons have access to the Electronic Systems and that the Electronic Systems are only used for
their intended purpose. Franchisee will not, without the consent of Franchisor or any applicable third-party vendor, copy, reverse
engineer, modify or provide unauthorized access to the Electronic Systems or any of its components. Franchisee will not attempt
to disregard or circumvent any measures used by Franchisor to safeguard the Electronic Systems and the Intellectual Property.

 

    1 

     

    

 

8.          Suspension.
Franchisor reserves the right to suspend Franchisee’s access to any Electronic System in order to protect the Intellectual
Property or the intellectual property of third-party vendors.

 

9.          Third-Party
Vendors. Franchisee will comply with the terms of any license for any of the Electronic Systems provided by a third-party
vendor. Any third-party vendor will have the right to enforce such terms directly against Franchisee. Franchisor will have no
liability for Franchisee’s use of any Electronic System provided by a third-party vendor. Franchisee may be required to
execute agreements with third-party vendors in order to obtain access to certain Electronic Systems.

 

10.        Preferred
Vendors. Franchisor may designate a third-party vendor of the Electronic Systems as a preferred vendor and require Franchisee
to use the Electronic Systems provided by the preferred vendor.

 

11.        NO
ENDORSEMENT OR WARRANTY. FRANCHISOR DOES NOT ENDORSE OR MAKE ANY REPRESENTATION OR WARRANTY ABOUT ANY ELECTRONIC SYSTEM PROVIDED
BY THIRD-PARTY VENDORS, INCLUDING PREFERRED VENDORS. FRANCHISOR PROVIDES THE ELECTRONIC SYSTEMS AND THE SUPPORT SERVICES ON AN
AS-IS BASIS. FRANCHISOR DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS
FOR A PARTICULAR PURPOSE, AND CUSTOM OR USAGE IN THE TRADE, RELATED TO FRANCHISEE’S USE OF THE ELECTRONIC SYSTEMS AND THE
SUPPORT SERVICES.

 

12.        Limitation
on Liability. Franchisor is not liable for any loss or damage arising out of the use or failure of any Electronic Systems
or Support Services, including corruption or loss of data, and Franchisee waives any right to, or claim of, any direct, exemplary,
incidental, indirect, special, consequential or other similar damages (including loss of profits) in connection with the use,
inability to use, breach or failure of any Electronic Systems or Support Services, even if Franchisor has been advised of the
possibility of such damage, breach or failure. To the extent permissible, Franchisor will use reasonable efforts to make available
for Franchisee any warranties or other similar protections provided by Franchisor’s vendors with respect to the Electronic
Systems.

 

13.        Indemnification.
Franchisee will indemnify, defend and hold harmless Franchisor and its Affiliates (and each of their respective predecessors,
successors, assigns, current and former directors, officers, shareholders, subsidiaries, employees and agents), against all Claims
and Damages, including allegations of negligence by such Persons, to the fullest extent permitted by Applicable Law, arising from
or related to Franchisee’s use of the Electronic Systems or any failure by Franchisee to comply with this License Agreement.
Franchisee’s obligations in this Section are incorporated into Franchisee’s indemnification obligations in the Franchise
Agreement.

 

14.        Software
License Rights Upon Termination. The Software that Franchisee will purchase through Franchisor is generally not assignable
to Franchisee upon termination of this License Agreement (“Non-Assignable Software”). When this License Agreement
terminates, Franchisee will not have any right to use the Non-Assignable Software. At Franchisee’s request, Franchisor will
use reasonable efforts to facilitate the assignment of any Software that is assignable (“Assignable Software”).
On termination of this License Agreement, Franchisee will delete both Assignable Software and Non-Assignable Software obtained
through Franchisor. Franchisee may reinstall Assignable Software using copies obtained by Franchisee directly from the applicable
vendor.

 

    2 

     

    

  

15.        Governing
Law. This License Agreement takes effect upon its acceptance and execution by Franchisor in Maryland and will be construed
under and governed by Maryland law, which law will prevail if there is any conflict of law.

 

16.        WAIVER
OF PUNITIVE DAMAGES. EACH OF FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES THE RIGHT TO CLAIM
OR RECEIVE PUNITIVE DAMAGES IN ANY DISPUTE RELATED TO THE HOTEL, THE MARRIOTT AGREEMENTS, THE RELATIONSHIP OF THE PARTIES OR ANY
ACTIONS OR OMISSIONS IN CONNECTION WITH ANY OF THE ABOVE. NOTHING IN THIS SECTION 16 LIMITS FRANCHISEE’S OBLIGATIONS UNDER
SECTION 13.

 

17.        WAIVER
OF JURY TRIAL. EACH OF FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN ANY DISPUTE
RELATED TO THE HOTEL, THE MARRIOTT AGREEMENTS, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS IN CONNECTION WITH
ANY OF THE ABOVE.

 

18.        Notices.
All notices and other communications under this License Agreement will be in writing and will be delivered as provided in
the Franchise Agreement.

 

19.        Counterparts.
This License Agreement may be executed in any number of counterparts, each of which will be deemed an original and all of which
constitute one and the same instrument. Delivery of an executed signature page by electronic transmission is as effective as delivery
of an original signed counterpart.

 

20.        Construction
and Interpretation.

 

A.         Partial
Invalidity. If any term of this License Agreement, or its application to any Person or circumstance, is invalid or unenforceable
at any time or to any extent, then: (i) the remainder of this License Agreement, or the application of such term to Persons
or circumstances except those as to which it is held invalid or unenforceable, will not be affected and each term of this License
Agreement will be valid and enforced to the fullest extent permitted by Applicable Law; and (ii) Franchisor and Franchisee
will negotiate in good faith to modify this License Agreement to implement their original intent as closely as possible in a mutually
acceptable manner.

 

B.          Non-Exclusive
Rights and Remedies. No right or remedy of Franchisor or Franchisee under this License Agreement is intended to be exclusive
of any other right or remedy under this License Agreement at law or in equity.

 

C.          No
Third-Party Beneficiary. Nothing in this License Agreement is intended to create any third-party beneficiary or give any rights
or remedies to any Person other than Franchisor or Franchisee and their respective permitted successors and assigns.

 

D.         Actions
from Time to Time. When this License Agreement permits Franchisor to take any action, exercise discretion or modify the System,
Franchisor may do so from time to time.

 

E.          Interpretation
of Agreement. Franchisor and Franchisee intend that this Agreement excludes all implied terms to the maximum extent permitted
by Applicable Law. Headings of Sections are for convenience and are not to be used to interpret the Sections to which they refer.
Words indicating the singular include the plural and vice versa as the context may require. References that a Person “will”
do something mean the Person has an obligation to do such thing. References that a Person “may” do something mean
a Person has the right, but not the obligation, to do so. References that a Person “may not” and “will not”
do something mean a Person is prohibited from doing so.

 

    3 

     

    

 

F.          Definitions.
All capitalized terms not defined in this License Agreement have the meaning stated in the Franchise Agreement.

 

21.        Entire
Agreement. This License Agreement and the Marriott Agreements are fully integrated and contain the entire agreement between
the parties as it relates to the Hotel and the Approved Location and supersede all prior understandings and writings.

 

22.        Amendments.
This License Agreement may only be amended in a written document that has been duly executed by the parties and may not be
amended by conduct manifesting assent, and each party is put on notice that any individual purporting to amend this License Agreement
by conduct manifesting assent is not authorized to do so.

 

23.        Survival.
The provisions of Sections 3, 7, 11, 12, 13, 14, 15, 16, 17 and 20 will survive expiration or termination of this License
Agreement.

 

[Signatures
appear on the following page]

 

    4 

     

    

  

IN
WITNESS WHEREOF, Franchisor and Franchisee have caused this License Agreement to be executed, under seal, as of the Effective
Date.

 

	 	FRANCHISOR:
	 	 
	 	MARRIOTT
INTERNATIONAL, INC.

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	FRANCHISEE:
	 	 
	 	MOODY
NATIONAL INTERNATIONAL-FORT WORTH MT, LLC

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

    5 

     

    

 

RELATED

 

OWNER
AGREEMENT

 

This
Owner Agreement (“Agreement”) is executed on December 18, 2015 (the “Effective Date”), by
Marriott International, Inc., a Delaware corporation (“Franchisor”), Moody National International-Fort Worth
MT, LLC, a Delaware limited liability company (“Franchisee”), and Moody National International-Fort Worth Holding,
LLC, a Delaware limited liability company (“Owner”).

 

RECITALS

 

A.         Franchisor
and Franchisee are parties to the TownePlace Suites by Marriott Relicensing Franchise Agreement dated December 18, 2015 (the “Franchise
Agreement”) relating to the Hotel, a copy of which is attached as Exhibit C.

 

B.          Franchisee
and Owner have entered into a lease (the “Lease”). Franchisee will lease the Hotel from Owner and will operate
the Hotel as a System Hotel.

 

NOW,
THEREFORE, in consideration of the promises in this Agreement and other good and valuable consideration, the receipt and sufficiency
of which are acknowledged, the parties agree as follows:

 

1.            ACKNOWLEDGMENTS
AND COMPLIANCE

 

1.1        Acknowledgments.
Owner acknowledges that:

 

A.
        Franchisor has granted to Franchisee a limited, non-exclusive license to use the Proprietary Marks and the System to operate
the Hotel as a System Hotel under the terms of the Franchise Agreement for the Term;

 

B.          Franchisee
is obligated to operate the Hotel as a System Hotel for the Term; and

 

C.
         Owner will benefit from the operation of the Hotel as a System Hotel.

 

1.2        Compliance;
Confidential Information.

 

A.         Compliance.
If Owner has undertaken such obligations in the Lease, Owner will develop, construct and maintain the Hotel in strict compliance
with the Marriott Agreements and the Standards as if Owner had executed the Franchise Agreement as “Franchisee.” Owner
will procure the insurance required under the Franchise Agreement if it is not obtained by Franchisee. Owner will comply with
Applicable Law. Owner, however, will not be responsible for the operation of the Hotel or payment obligations under the Franchise
Agreement.

 

B.          Confidential
Information. Owner will maintain the confidentiality of any Confidential Information in compliance with Section 12 of the
Franchise Agreement. Owner will obtain no other rights to use the Intellectual Property or to operate the Hotel as a System Hotel.

 

C.          Not
a Franchise or License. This Agreement does not constitute a separate franchise or license to Owner.

 

     1

     

    

 

2.            TERM.

 

The
term of this Agreement will begin on the Effective Date and will expire at the end of the Term of the Franchise Agreement unless
this Agreement is terminated earlier. If the Franchise Agreement is renewed or extended, this Agreement will automatically be
extended to expire at the end of the renewal Term or extended Term of the Franchise Agreement.

 

3.            PROVISIONS
OF THE LEASE.

 

The
following terms will be considered incorporated into the Lease. If the Lease has inconsistent terms, the terms below will control:

 

A.         Possession
and Control. Franchisee will have exclusive possession of the Hotel and exclusive control of the day-to-day operations of
the Hotel for a term that is no shorter than the Term.

 

B.          Compliance
with Franchise Agreement. The Hotel will be operated in compliance with the Franchise Agreement, and the Franchise Agreement
will control in case of conflict with the Lease.

 

4.            OWNER’S
OBLIGATION TO CURE DEFAULTS UNDER FRANCHISE AGREEMENT.

 

Franchisor
will copy Owner on any notice of default issued to Franchisee under the Franchise Agreement. Owner must cure such default on behalf
of Franchisee during the cure period stated in the default notice.

 

5.            RIGHTS
AND OBLIGATIONS ON TERMINATION OF FRANCHISE AGREEMENT

 

5.1        New
Franchise Agreement or Management Agreement. On Franchisor’s request, and if Franchisor terminates the Franchise Agreement
due to a default that is not caused by Owner, Owner will elect to either:

 

A.
        enter into (or cause a substitute franchisee to enter into) a new franchise agreement with Franchisor, in which case Owner (or
such substitute franchisee) will execute such agreement, together with any related agreements required by Franchisor, to be effective
on the date of the termination of the Franchise Agreement (“New Franchise Agreement”). The New Franchise Agreement
will be in a form contained in the then-current Disclosure Document, except that (a) the Franchise Fees will be the same
as in the Franchise Agreement; and (b) the term will be the remaining Term of the Franchise Agreement; or

 

B.          enter
into a management agreement with an Affiliate of Franchisor, in which case Owner will execute such agreement, together with any
related agreements required by Franchisor, to be effective on the date of the termination of the Franchise Agreement (“Management
Agreement”). The Management Agreement will be in Franchisor’s standard form and the term will be equal to or longer
than the remaining Term of the Franchise Agreement.

 

Owner
will notify Franchisor of its election under this Section within 30 days of the date Owner receives the notice of termination
of the Franchise Agreement and will enter into the applicable agreement within 30 days of its election. If the Franchise Agreement
is terminated before a New Franchise Agreement or a Management Agreement is signed, Owner will execute a short-term agreement
to operate the Hotel under the terms and conditions of the Franchise Agreement on an interim basis until the New Franchise Agreement
or Management Agreement is executed.

 

     2

     

    

 

5.2        Qualifications
for a New Franchise Agreement. To obtain a New Franchise Agreement, the franchisee must be, as determined by Franchisor in
its sole discretion: (i) financially capable and responsible; (ii) sufficiently qualified in managerial skills and operational
capacity (unless a third party management company consented to by Franchisor will operate the Hotel); and (iii) able to perform
the obligations of the New Franchise Agreement. Such franchisee will provide Franchisor all information reasonably requested to
determine that it meets Franchisor’s then-current qualifications for franchisees of System Hotels.

 

5.3        Additional
Obligations. If Franchisor does not make a request under Section 5.1 to continue the relationship with Owner, after termination
of this Agreement and the Franchise Agreement, Owner and Franchisee will be obligated, jointly and severally, to remove the Hotel
from the System, pay all amounts due, including liquidated damages and comply with the post-termination obligations in Section
9 of this Agreement and Section 20 of the Franchise Agreement. Franchisor may enforce the Franchise Agreement directly against
Owner as if Owner were the Franchisee under the Franchise Agreement.

 

6.            RIGHTS
AND OBLIGATIONS ON TERMINATION OF THE LEASE

 

If
Owner terminates the Lease due to a default by Franchisee, Owner and Franchisor will proceed in accordance with Section 5. However,
if there is a dispute between Owner and Franchisee about the termination of the Lease, and Franchisee retains possession of the
Hotel, Franchisor may permit Franchisee to continue to operate the Hotel under the Franchise Agreement as long as it retains possession.
Franchisor’s rights under this Agreement will be reserved pending resolution of the dispute between Owner and Franchisee.

 

7.            TRANSFERS

 

7.1        Owner’s
Transfer Rights. Owner agrees that its rights and duties in this Agreement are personal to Owner, and that Franchisor entered
into this Agreement in reliance on the business skill, financial capacity and character of Owner and its Affiliates and their
principals. Given that Owner may obtain a franchise under Section 5, the Hotel or any Ownership Interest in Owner, a Control Affiliate
or the Hotel, may be Transferred only in accordance with Section 17 of the Franchise Agreement, as if Owner were “Franchisee.”
This Agreement may not be Transferred without Franchisor’s prior consent.

 

7.2        Competitor
Right of First Refusal. Owner acknowledges that Franchisor’s rights under Section 17.5.A. of the Franchise Agreement
are rights in real estate. Franchisor may record such interest in the appropriate real estate records of the jurisdiction where
the Hotel is located, and Owner will cooperate in such filing. Owner agrees that damages are not an adequate remedy if Owner breaches
its obligations under this Section, and Franchisor will be entitled to injunctive relief if available without proving the inadequacy
of money damages as a remedy and without posting a bond. If this Agreement is terminated and Franchisor’s rights under this
Section are no longer in effect, on request, Franchisor will execute a termination of such interest.

 

7.3        Transfers
by Franchisor.

 

A.         Transfer
to Affiliates. Franchisor may Transfer this Agreement to any of its Affiliates that assume Franchisor’s obligations
to Owner and is reasonably capable of performing Franchisor’s obligations, without prior notice to, or consent of, Owner.

 

B.          Transfer
to Other Persons. Franchisor may Transfer this Agreement to any Person that assumes Franchisor’s obligations to Owner,
is reasonably capable of performing Franchisor’s obligations, and acquires substantially all of Franchisor’s rights
for System Hotels, without prior notice to, or consent of, Owner. Owner agrees that any such Transfer will constitute a release
of Franchisor and a novation of this Agreement.

 

     3

     

    

 

C.          Franchisor’s
Successors and Assigns. This Agreement will be binding on and inure to the benefit of Franchisor and its permitted successors
and assigns.

 

8.            DEFAULTS
AND TERMINATION

 

8.1        Immediate
Termination. 

 

A.         Defaults
Applicable to Owner under Franchise Agreement. If Owner would be in default under Section 19.1 of the Franchise Agreement
as if Owner were “Franchisee,” then Owner will be in default and Franchisor may terminate this Agreement without providing
Owner any opportunity to cure the default. This termination is effective on notice to Owner or on the expiration of any notice
or cure period given by Franchisor in its sole discretion or required by Applicable Law.

 

B.          Defaults
under Franchise Agreement Caused by Owner. If Franchisor terminates the Franchise Agreement based on a default that is caused
by an act or omission of Owner, Franchisor may, on notice to Owner and without further action, immediately terminate this Agreement
and the Hotel’s relationship with the System and require Owner to comply with Section 9.

 

8.2        Default
with Opportunity to Cure.

 

A.         Defaults
Applicable to Owner under Franchise Agreement. Owner will be in default and Franchisor may terminate this Agreement for the
events listed in Section 19.2 of the Franchise Agreement to the extent such default is applicable to Owner, if after 30 days’
notice of default (or such greater number of days given by Franchisor in its sole discretion or as required by Applicable Law),
Owner fails to cure the default as specified in the notice.

 

B.          Defaults
under this Agreement. Owner will be in default and Franchisor may terminate this Agreement if Owner fails to cure any default
under this Agreement after 30 days’ notice of default (or such greater number of days given by Franchisor in its sole discretion
or as required by Applicable Law).

 

9.            POST-TERMINATION
OBLIGATIONS OF OWNER

 

If
the Franchise Agreement and this Agreement are terminated and Franchisee fails to perform any post-termination obligation under
the Franchise Agreement, Franchisor may enforce the Franchise Agreement directly against Owner as if Owner were “Franchisee,”
and Owner will perform, or cause to be performed, all post-termination obligations of Franchisee under Section 20.1.A of the Franchise
Agreement.

 

10.          CONDEMNATION
AND CASUALTY

 

A.         Condemnation.
Owner will promptly notify Franchisor if it receives notice of any proposed taking of any portion of the Hotel by eminent
domain, condemnation, compulsory acquisition or similar proceeding by any governmental authority, and will cause the Hotel to
be restored and reopened if and as required under Section 21.1 of the Franchise Agreement. Franchisor will be entitled to receive
a fair and reasonable portion of any condemnation award as provided under Section 21.1 of the Franchise Agreement.

 

     4

     

    

 

B.          Casualty.
Owner will promptly notify Franchisor if the Hotel is damaged by any casualty, and will cause the Hotel to be renovated and
reopened if and as required under Section 21.2 of the Franchise Agreement.

 

11.          FINANCING
OF THE HOTEL 

 

Owner
and each Interestholder in Owner may grant a lien or other security interest in the Hotel or the revenues of the Hotel, or pledge
Ownership Interests in Owner or a Control Affiliate as collateral for the financing of the Hotel. If any Person exercises its
rights under such lien, security interest or pledge, Franchisor will have the rights under Section 8.1 of this Agreement and Section
19.1 of the Franchise Agreement. Owner will not pledge this Agreement as collateral or grant a security interest in this Agreement.

 

12.          GOVERNING
LAW; INTERIM RELIEF; COSTS OF ENFORCEMENT

 

12.1     Governing
Law. This Agreement takes effect on its acceptance and execution by Franchisor in Maryland and will be construed under and
governed by Maryland law, which law will prevail if there is any conflict of law. Owner expressly and irrevocably submits to the
non-exclusive jurisdiction of the courts of the State of Maryland for the purpose of any Dispute related to this Agreement. So
far as permitted under Maryland law, this consent to personal jurisdiction will be self-operative.

 

12.2     Equitable
Relief. Franchisor is entitled to injunctive or other equitable relief, including restraining orders and preliminary injunctions,
in any court of competent jurisdiction for any threatened or actual material breach of the Marriott Agreements or non-compliance
with the Standards. Franchisor is entitled to such relief without the necessity of proving the inadequacy of money damages as
a remedy, without the necessity of posting a bond and without waiving any other rights or remedies.

 

12.3     Costs
of Enforcement. If either party initiates any legal or equitable action to protect its rights under this Agreement, the prevailing
party will be entitled to recover its costs, including reasonable legal fees.

 

12.4     WAIVER
OF PUNITIVE DAMAGES. EACH OF OWNER, FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES THE RIGHT
TO CLAIM OR RECEIVE PUNITIVE DAMAGES IN ANY DISPUTE RELATED TO THIS AGREEMENT, THE MARRIOTT AGREEMENTS, THE HOTEL, THE RELATIONSHIP
OF THE PARTIES OR ANY ACTIONS OR OMISSIONS IN CONNECTION WITH ANY OF THE ABOVE.

 

12.5     WAIVER
OF JURY TRIAL. EACH OF OWNER, FRANCHISEE AND FRANCHISOR ABSOLUTELY, IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN
ANY DISPUTE RELATED TO THIS AGREEMENT, THE MARRIOTT AGREEMENTS, THE HOTEL, THE RELATIONSHIP OF THE PARTIES OR ANY ACTIONS OR OMISSIONS
IN CONNECTION WITH ANY OF THE ABOVE.

 

13.          NOTICES

 

Subject
to Section 25.B of the Franchise Agreement, all notices, requests, statements and other communications under this Agreement will
be (i) in writing; (ii) delivered by hand with receipt, or by courier service with tracking capability; and (iii) addressed
as provided in Exhibit B or at any other address designated in writing by the party entitled to receive the notice.
Any notice will be deemed received (i) when delivery is received or first refused, if delivered by hand or (ii) one day after
posting of such notice, if sent via overnight courier.

 

     5

     

    

 

14.          REPRESENTATIONS
AND WARRANTIES

 

A.         Existence.
Each party represents and warrants that it (i) is duly formed, validly existing and in good standing under the laws of
the jurisdiction of its formation; and (ii) has and will continue to have the ability to perform its obligations under this
Agreement.

 

B.          Authorization.
Each of Franchisor, Franchisee and Owner represents and warrants that the execution and delivery of this Agreement and the
performance of its obligations under this Agreement: (i) have been duly authorized; (ii) do not and will not violate,
contravene or result in a default or breach of (a) any Applicable Law, (b) its governing documents or (c) any agreement, commitment
or restriction binding on the relevant party; and (iii) do not require any consent that has not been obtained by the relevant
party.

 

C.          Restricted
Person. Owner represents and warrants that Owner is not, and that none of its Affiliates (including their directors and officers),
Interestholders or the funding sources for any of them, is a Restricted Person.

 

D.         Ownership
of Owner. Owner represents and warrants that its Interestholders are completely and accurately listed in Exhibit A. If there
have been changes, Owner will provide a list of the names and addresses of the Interestholders and documents necessary to confirm
such information and update Exhibit A.

 

E.          Ownership
of the Hotel. Owner represents and warrants that it is the sole owner of the Hotel and holds good and marketable fee title
to the Approved Location.

 

15.          MISCELLANEOUS

 

15.1     Counterparts.
This Agreement may be executed in any number of counterparts, each of which will be deemed an original and all of which constitute
one and the same instrument. Delivery of an executed signature page by electronic transmission is as effective as delivery of
an original signed counterpart.

 

15.2     Construction
and Interpretation.

 

A.         Partial
Invalidity. If any term of this Agreement, or its application to any Person or circumstance, is invalid or unenforceable
at any time or to any extent, then (i) the remainder of this Agreement, or the application of such term to Persons or circumstances
other than those as to which it is held invalid or unenforceable, will not be affected and each term of this Agreement will be
valid and enforced to the fullest extent permitted by Applicable Law; and (ii) Franchisor, Franchisee and Owner will negotiate
in good faith to modify this Agreement to implement their original intent as closely as possible in a mutually acceptable manner.

 

B.          Non-Exclusive
Rights and Remedies. No right or remedy of Franchisor, Franchisee or Owner under this Agreement is intended to be exclusive
of any other right or remedy under this Agreement at law or in equity.

 

     6

     

    

 

C.          No
Third-Party Beneficiary. Nothing in this Agreement is intended to create any third-party beneficiary or give any rights or
remedies to any Person except Franchisor, Franchisee and Owner and their respective permitted successors and assigns.

 

D.         Interpretation
of Agreement. Franchisor and Franchisee intend that this Agreement excludes all implied terms to the maximum extent permitted
by Applicable Law. Headings of Sections are for convenience and are not to be used to interpret the Sections to which they refer.
All Exhibits to this Agreement are incorporated by reference. Words indicating the singular include the plural and vice versa
as the context may require. References to days, months and years are all calendar references. References that a Person “will”
do something mean the Person has an obligation to do so. References that a Person “may” do something mean a Person
has the right, but not the obligation, to do so. References that a Person “may not” or “will not” do something
mean the Person is prohibited from doing so.

 

E.          Definitions.
All capitalized terms not defined in this Agreement have the meaning stated in the Franchise Agreement.

 

15.3     Reasonable
Business Judgment.

 

A.         Use
of Reasonable Business Judgment. Franchisor will use Reasonable Business Judgment when discharging its obligations or exercising
its rights under this Agreement, including for any consents and approvals and the administration of Franchisor’s relationship
with Owner, except when Franchisor has reserved sole discretion.

 

B.          Burden
of Proof. Owner will have the burden of establishing that Franchisor failed to exercise Reasonable Business Judgment. The
fact that Franchisor or any Affiliate of Franchisor benefited from any action or decision or that another reasonable alternative
was available does not mean that Franchisor failed to exercise Reasonable Business Judgment. If this Agreement is subject to any
implied covenant or duty of good faith and Franchisor exercises Reasonable Business Judgment, Owner agrees that Franchisor will
not have violated such covenant or duty.

 

15.4     Waiver.
The failure or delay of either party to insist on strict performance of any of the terms of this Agreement, or to exercise
any right or remedy, will not be a waiver for the future.

 

15.5     Entire
Agreement. This Agreement and the Marriott Agreements are fully integrated and contain the entire agreement between the parties
as it relates to the Hotel and the Approved Location and supersede all prior understandings and writings.

 

15.6     Amendments.
This Agreement may only be amended in a written document that has been duly executed by the parties and may not be amended
by conduct manifesting assent, and each party is put on notice that any individual purporting to amend this Agreement by conduct
manifesting assent is not authorized to do so.

 

15.7     Survival.
The terms of Sections 1, 5, 9, 10 and 12 survive expiration or termination of this Agreement and, to the extent applicable
to Owner, Section 27.8 of the Franchise Agreement.

 

[Signatures
appear on the following page]

 

     7

     

    

  

IN
WITNESS WHEREOF, the parties have caused this Owner Agreement to be executed, under seal, as of the Effective Date.

 

	 	FRANCHISOR:
	 	 
	 	MARRIOTT
INTERNATIONAL, INC.

	 	 	 	 
	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	FRANCHISEE:
	 	 
	 	MOODY
NATIONAL INTERNATIONAL-FORT WORTH MT, LLC

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

	 	OWNER:
	 	 
	 	MOODY
NATIONAL INTERNATIONAL-FORT WORTH HOLDING, LLC

 

	 	By:	 	(SEAL)
	 	Name:	 	 
	 	Title:	 	 

 

     8

     

    

 

EXHIBIT
A

OWNERSHIP INTERESTS IN OWNER

 

	Name of Owner	Address	% Interest
	OWNERSHIP OF Moody National International-Fort Worth Holding, LLC
	MN Fort Worth Venture, LLC	6363 Woodway, Suite 110
 Houston, TX 77057	100%
 Sole Member
	OWNERSHIP OF MN Fort Worth Venture, LLC
	Moody National Operating Partnership I, L.P.	6363 Woodway, Suite 110
 Houston, TX 77057	____%
 Managing Member
	Tenant in Common Owners*	6363 Woodway, Suite 110
 Houston, TX 77057	Limited Members
	OWNERSHIP OF Moody National Operating Partnership I, L.P.
	Moody National REIT I, Inc.	6363 Woodway, Suite 110
 Houston, TX 77057	94.6714%
 General Partner
	Moody National LPOP I, LLC	6363 Woodway, Suite 110
 Houston, TX 77057	0.0007%
 Limited Partner
	Contributing Limited Partners	6363 Woodway, Suite 110
 Houston, TX 77057	**
	OWNERSHIP OF Moody National REIT I, Inc.***
	Shareholders	6363 Woodway, Suite 110
 Houston, TX 77057	100%
	OWNERSHIP OF Moody National LPOP I, LLC
	Brett C. Moody	6363 Woodway, Suite 110
 Houston, TX 77057	100%
 Sole Member

 

*
The original tenant in common owners have contributed their ownership interest in the property in exchange for membership interests
in MN Fort Worth Venture, LLC

 

**
Contributing limited partners received a limited partnership interest in Moody National Operating Partnership I, L.P. in exchange
for a contribution of property

 

***
Moody National REIT I, Inc. is a publicly-registered, non-traded REIT with over 900 shareholders

 

     9

     

    

 

EXHIBIT
B

NOTICE ADDRESSES

 

	To Franchisor:
	 
	 	Marriott International, Inc.
	 	10400 Fernwood Road
	 	Bethesda, MD 20817
	 	Attn: Law Department 52/923.27
	 	 
	with a copy to:
	 	 
	 	Marriott International, Inc.
	 	10400 Fernwood Road
	 	Bethesda, MD 20817
	 	Attn: Global Lodging Services
	 	 
	To Owner:
	 	 
	 	Moody National International-Fort Worth Holding, LLC
	 	6363 Woodway, Suite 110
	 	Houston, TX 77057
	 	Attn: David Gould
	 	Email: DGould@MoodyNational.com
	 	 
	To Franchisee:
	 
	 	MOODY NATIONAL INTERNATIONAL-FORT WORTH MT, LLC
	 	6363 Woodway, Suite 110
	 	Houston, TX 77057
	 	Attn: David Gould
	 	Email: DGould@MoodyNational.com

 

     10

     

    

 

EXHIBIT
C

FRANCHISE AGREEMENT

 

11

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